HomeMy WebLinkAbout08.16.10 Council Packet
City of Farmington
430 Third Street
Farmington, MN 55024
Mission Statement
Through teamwork and cooperation,
the City of Farmington provides quality
services that preserve our proud past and
foster a promising future.
FARMINGTON CITY COUNCIL
Todd Larson, Mayor
Terry Donnelly Julie May
Christy Fogarty Steve Wilson
AGENDA
REGULAR CITY COUNCIL MEETING
AUGUST 16,2010
7:00 P.M.
CITY COUNCIL CHAMBERS
Action Taken
1. CALL TO ORDER 7:00 P.M.
2. PLEDGE OF ALLEGIANCE
3. ROLL CALL
4. APPROVE AGENDA
5. ANNOUNCEMENTS/COMMENDATIONS
a) Recognize Girls V15 Soccer Team - Council
Recognized
6. CITIZEN COMMENTS / RESPONSES TO COMMENTS (This time is reservedfor
citizen comments regarding non-agenda items. No official Council action can be taken on these items.
Speakers are limited to fTVe minutes to address the Council during "Citizen Comment" time.)
7. CONSENT AGENDA
a) Approve Council Minutes (8/2/10 Regular) (8/9/10 Workshop)
b) Accept Results Community Survey - Parks and Recreation
c) School and Conference - Police
d) School and Conference - Police
e) School and Conference - Planning
f) July 2010 Financial Report - Finance
g) Approve Bills
Approved
Accepted
Iriformation Received
Information Received
Information Received
Information Received
Approved
REGULAR AGENDA
(The Council takes a separate action on each item on the Regular Agenda. If you wish to address the
Council regarding any or all of the items on the Regular Agenda, please address the item when the
item is discussed. Speakers will be given at least three minutes to speak per item. Additional time
may be granted to speakers representing two or more persons.)
8. PUBLIC HEARINGS
9. AWARDOFCONTRACT
10. PETITIONS, REQUESTS AND COMMUNICATIONS
a) Storm Water Program Update - Natural Resources
b) Adopt Ordinance - Amending Title 10, Chapter 6, Section 11 of the Zoning
Code Concerning Woodland and Tree Preservation - Planning
c) Adopt Resolution - Approve Final Plat Riverbend 3rd Addition - Planning
d) Adopt Resolution - Approve Requesting School District Assistance Arena
Improvement Project - Parks and Recreation
11. UNFINISHED BUSINESS
a) Former Rambling River Center Building Update - Planning
12. NEW BUSINESS
13. COUNCIL ROUNDTABLE
14. EXECUTIVE SESSION
a) Performance Issues
Information Received
Tabled
R47-10
15. ADJOURN
Persons with a disability may request a reasonable accommodation by contacting the City Administrator's office at 651-280-6803.
Request should be made 24 hours in advance or as early as possible to allow time to arrange accommodation.
Table of Contents
Agenda. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2
Approve Council Minutes (8/2/10 Regular) (8/9/10 Workshop)
8/2/10 Minutes. . . . . . . .4
8/9/10 Minutes. . . . . . . . 11
Accept Community Survey Report
Community Survey Memo. . 16
School and Conference
081610 cell phone technology. .17
School and Conference
081610 MINSCIA conference. . 18
School and Conference
Memo . . . . . . . . . 19
Conference Agenda. . 20
July 2010 Financial Report
July Financial Memo. . 25
July Financial Report . . 30
Approve Bills
List of Bills. . . . . . . . 34
Stormwater Program Update
Stormwater Programs. . 64
stormwater programs _ attachment. . 67
Adopt Ordinance - Amending Title 10, Chapter 6, Section 11 of
the Zoning Code Concerning Woodland and Tree Preservation
Memo . . . . . . . . . 102
Ordinance. . . . . . .103
Ordinance Summary. . 112
TKDA Memo. . . . . .113
Tree Bank. . . . . . . 116
Tree Bank Locations. . 117
Adopt Resolution - Riverbend 3rd Addition Final Plat
Riverbend 3rd Add Final Plat CC memo . 118
Riverbend 3rd add final plat resolution . 120
Riberbend 3rd Final Plat. . . . . . . . . . 121
Construction Plans . . . . . . . . . . . . 123
Adopt Resolution Approve Requesting School District
Assistance Arena Improvement Project
School Assistance Memo. . . . . . . . . 128
School Assistance Resolution. . . . . . . 129
Former Rambling River Center Building Update
Memo . . . . . . . 130
Contract. . . . . .131
Promissory Note. . 165
Mortgage . . . . .171
1
City of Farmington
430 Third Street
Farmington, Minnesota
651.280.6800 . Fax 651.280.6899
www.ci.farmington.mn.us
Exhibit A
Exhibit B
Exhibit C
Exhibit D
Exhibit E
Storm Damage Recap
August 13,2010
Assessment by Building Official, Ken Lewis
Resident Information on City Website
Map of Affected Area
Red Cross Assistance
Dakota County Storm Assessment
E;)t. A
Peter Herlofsky
From:
Sent:
To:
Subject:
Ken Lewis
Monday, August 16, 2010 1:39 PM
Peter Herlofsky; Kevin Schorzman; Jim Constantineau; Brian Lindquist
Storm Damage report
The storm started at Charles Wood at Exception trail and moved at a North East direction covering from a half a block
wide to approx. one and a half blocks wide ending at 187th St. W.
The totals that I came up with is 124 homes affected by this storm. The break downs are 98 homes that have had some
kind of damage done, roofs, siding, windows, ect.. 13 homes had minor to moderate structural damage to their garages
and or parts of their homes. Also 13 homes have moderate damage to which the homeowners can no longer be habitable
and have limited acess until repairs are made. These consist of missing parts of their roofs, interior ceilings collapsing,
water damage, collapse attached garages, walls buckling in.! believe I have all assessed, but there could be a few that
have minor damage out there that I could have missed but this is the blunt of it.
Thanks Jim C. for the assistance you provided me on Friday. Helping keep the contractors at bay and the onlookers
and also information provided made my job easier than what it could of been.
Ken Lewis
Building Official
City of Farmington
1
Ex. 6
[Type text]
City of Farmington
Storm Damage Response
August 13, 2010
Information to Residents
. Damaged materials and tree materials will be picked up next week. Please cut trees in 3
foot sections and place in the boulevard. Please separate tree material from other
debris and PLACE NOTHING IN THE STREET.
. The city building inspector will be in the affected areas to assist in the evaluation of
homes and issue permits.
. Dumpsters will be available for storm damage materials only.
. If your neighbors are out of town, please check on their house and contact them if
necessary.
. Take many pictures of your property damage for your insurance company.
. Call your insurance company for assistance in securing your residence.
. Make sure that any contractor you hire is licensed and bonded.
. Any contracting company going door to door MUST have a City of Farmington solicitors
permit. If they do not, please call 911.
. Call 651-680-6700 over the weekend for issues that cannot wait until Monday. City staff
may be paged if the need arises.
Farmington Police Department -19500 Municipal Drive - Farmington, MN 55024 - 651.280.6700
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Peter Herlofsky
From:
Sent:
To:
Subject:
Brian Lindquist
Monday, August 16, 2010 1:35 PM
Peter Herlofsky
FW: Farmington recap
-----Original Message-----
From: Gisch) David [mailto:David.Gisch@CO.DAKOTA.MN.US]
Sent: Saturday) August 14) 2010 10:55 AM
To: Brian Lindquist
Subject: FW: Farmington recap
Red Cross information. I would like a recap of what your building inspector comes up with.
From: Jill Hallonquist [jhallonquist@redcrosstc.org]
Sent: Saturday) August 14) 2010 1:35 AM
To: jekornmann@ci.lakeville.mn.usj Gisch) David
Subject: FW: Farmington recap
FYI -
Hope the two of you have a peaceful weekend!
From: Jill Hallonquist
Sent: Saturday) August 14) 2010 1:28 AM
To: Emergency Services Groupj Tracking Form Group - ESj Holly Hamdorf
Subject: Farmington recap
We wrapped up our response in Farmington at around 8pm tonight. We served a total of 232
meals (lunch donated by Pilot Knob Pizzeria and Subway) supper donated by Domino's) and 626
snacks (if that number seems high) remember that each bottle of water counts as a snack in
the Red Cross disaster response worldl)
We had a great team of volunteers who were very much appreciated in the community (many
people waving at the ERV and shouting thanks made for a rewarding day) Damage Assessment -
Silena Vega) Lori Olsson) Vivian Klauber) Hildred Dungan) Claudia Kelly) Donna Francisco Mass
Care/ERV - Rick Campion) Jan Moyer) Karen Campion Logistics - Brent Jordahl
Staff support - In Kind Donations: Lacy and Sam) Public Affairs - Lynette) Coordination
and Dispatch - Megan) Mass Care - Jill
Damage assesment totals from DA co-lead Lori Olsson:
Major - 4
Minor - 22
Affected - 52
This is an area where the residents had resources. It's mostly occupied by insured
homeowners) so Red Cross direct financial assistance wasn't needed. The residents of one
home with major damage are out of town and may need assistance when they get back) but it is
most likely that they are insured also and will be assisted in that way.
Mobile feeding won't be needed tomorrow.
and will be back to their routines soon.
Residents have done the majority of the clean up
There was also a lot of coverage of flooding in
1
Lakeville/Farmington. The Lakeville Police have assured us that there was no damage to homes
due to that.
Lynette has posted some photos of our response at
htto://www.flickr.com/ohotos/twincitiesredcross/.
Let me know if you have questions. Thanks!
Jill
2
. . . .
E' x. E:
Peter Herlofsky
From:
Sent:
To:
Subject:
Brian Lindquist
Monday, August 16, 2010 1:35 PM
Peter Herlofsky
FW: Tornado in Farmington
-----Original Message-----
From: Gisch, David [mailto:David.Gisch@CO.DAKOTA.MN.US]
Sent: Sunday, August 15, 2010 7:42 PM
To: Brian Lindquist
Subject: FW: Tornado in Farmington
Update Chief.....
From: Todd.Krause@noaa.gov [Todd.Krause@noaa.gov]
Sent: Sunday, August 15) 2010 7:04 PM
To: Gisch, David
Subject: Tornado in Farmington
Hi Dave...
It turns out it was a tornado in Farmington. We'll rate it EF-l with winds around 100 mph,
and a path length of about 1.5 miles. Just a weird storm - it didn1t even look severe when
looking at the conventional method on radar, but the second look showed strong rotation
developed and the tornado touched down almost immediately. We might have been able to get
one or two minutes of warning for you, but we didn't. So if you get complaints about no
sirens, it1s not anything Dakota County did or didn1t do. We just had no warning in effect.
Todd
Original Message -----
From: "Gisch, David" <David.Gisch@CO.DAKOTA.MN.US>
Date: Saturday, August 14, 2010 10:16 pm
Subject: RE: Farmington storm damage survey Sunday
To: Todd Krause <Todd.Krause@noaa.gov>
> Hi Todd.
> YEP, that location puts you in the general area.
> of Pilot Knob will put the people in the area.
> I was also thinking maybe Downburst wind might be
> how fast those storms were moving?
>
>
>
>
>
>
>
>
>
>
>
>
190th to 193rd just
a cause.
I wonder
From: Todd Krause [Todd.Krause@noaa.gov]
Sent: Saturday, August 14, 2010 9:07 PM
To: Gisch) David; James Taggart
Subject: Farmington storm damage survey
Sunday
Hi Dave...
One of our guys will be in Farmington Sunday to look at the storm
damage (or what1s left of it). A second look at one of the radar
displays indeed shows a strong rotation signature for just a few
1
> minutes right over Farmington. I know you called here Friday to say
> it looked like straight line winds. For weak tornadoes that are fast
> moving, the damage can also look all in the same direction, but it is
> a narrow path. Downburst damage (which this may have been I realize)
> would be over a broader area. So we just want to see what it was.
>
>
>
>
>
We have an address of 4829 189th Street West, Farmington.
general neighborhood?
Thanks.Todd
2
.. . . .
Is that the
fez.
COUNCIL MINUTES
REGULAR
August 2,2010
1. CALL TO ORDER
The meeting was called to order by Mayor Larson at 7:00 p.m.
2. PLEDGE OF ALLEGIANCE
Mayor Larson led the audience and Council in the Pledge of Allegiance.
3.
ROLL CALL
Members Present:
Members Absent:
Also Present:
Audience:
Larson, Donnelly, Fogarty, May, Wilson
None
Joel Jamnik, City Attorney; Lisa Shadic1(, Administrative Services
Director; Teresa Walters, Finance Director; Randy Distad, Parks
and Recreation Director; Lee Smick, City Planner; Cynthia Muller,
Executive Assistant
Ron & Bev Ersfeld, Sarah Miller, Charlie & Joanne Weber, David
Pritzlaff, Jerry Ristow, Jeff Thelen, Julie McKnight
4. APPROVE AGENDA
Councilmember Wilson pulled item 7b) Fire Relief Association 2011 Pension Request
for discussion.
MOTION by Fogarty, second by Wilson to approve the Agenda. APIF, MOTION
CARRIED.
5. ANNOUNCEMENTS
a) CEEF Board
Ms. Julie McKnight, representing the CEEF organization, stated a year ago she
was here asking for a loan. Tonight she was present to repay 20% of that amount
($4,655). She thanked Council for their support in helping their organization
come back. There were a number ofvolunteers helping to organize Dew Days
2010 and most are back helping for Dew Days 2011.
b) MRP A Recognition - Parks and Recreation
The Rambling River Center improvement project was completed in 2009. Ms. Jill
Anfang, MRP A was present to present their 2009 Award of Excellence to the City
of Farmington Parks and Recreation Department for their work on the Rambling
River Center improvement project. She also recognized Parks and Recreation
Director Distad for nominating the project. The awards committee was impressed
by the level of partnerships, the scope of improvements, the vo lunteer and
fundraising spirit and the concise time line demonstrated by this project. Mayor
Larson thanked staff and volunteers who worked so hard on this project. It is a
credit to Parks and Recreation Director Distad and his staff for having a vision
and guiding the volunteers.
4
Council Minutes (Regular)
August 2, 2010
Page 2
6. CITIZEN COMMENTS
Mr. David Pritzlaft: 20255 Akin Road, stated at the last budget workshop, Council
became aware of some fmancial situations of the City. We will have to levy $650,000
more for a few projects we have not levied enough for. One project that is not going well
is Vermillion River Crossing. The other project is the Hill Dee reconstruction project,
which went well. With the financial situation, he felt Council has to look at some serious
cuts. He noted Dakota County will cut $10.6 million from their budget and have asked
all departments to cut $5-7 million from their operating budgets. We need to make
serious cuts rather than just looking at the small picture. At the last workshop it was
stated building permits are at 95% of budget. It was also stated that the Vermillion River
Crossings project was optimistic, but it did not payoff. Staff is counting 84 building
permits for next year from the CDA senior housing project in Vermillion River Crossing
and Twin Ponds. He felt that was too optimistic. They are county projects and the
county is cutting $10 million. He felt Council should not count on those projects. He
asked Council to make some real cuts; more than $50,000 here and there so the taxpayers
are not impacted so much.
Councilmember Fogarty stated she has spoken with Commissioner Joe Harris and he has
said the CDA project has already been given approval for next year by the County Board.
7. CONSENT AGENDA
MOTION by Fogarty, second by Wilson to approve the Consent Agenda as follows:
a) Approved Council Minutes (7/19/10 Regular) (7/26/10 Workshop)
c) Approved Temporary Liquor License VFW - Administration
d) Approved Temporary Liquor License St. Michael's Church - Administration
e) Adopted RESOLUTIONR44-10 Approving 2010 Safe and Sober Campaign-
Police
f) Adopted RESOLUTION R45-10 Approving Participation in Livable
Communities Act 2011-2020 - Planning
g) Approved 3.2. Beer License Weng's Kitchen - Administration
h) Approved Bills
APIF, MOTION CARRIED.
b) Approve Fire Relief Association 2011 Pension Request - Finance
Councilmember Wilson wanted to make sure Council fully understands the
situation of the Relief Association to make sure the department is fully protected
and the Council is protected as well. He asked if the adjustment of$5,175 is the
fmal adjustment for the year. Finance Director Walters confIrmed it is. The
$126,000 was an estimate for the budget. Investments are measured from June
2009 to June 2010 and they are doing better. Councilmember Wilson was
confident they do a good job managing their money, but Council is held hostage
to make them whole. He asked that staff meet with the Relief Association
quarterly and provide updates to Council.
5
Council Minutes (Regular)
August 2, 2010
Page 3
Councilmember May recalled last year they received spreadsheets to provide
more information as to where the number came from. She was uncomfortable
with the whole process and that Council has to arbitrarily vote, but they have no
say in the investments or how the process works. They can put funds into risky
investments, but if they lose, they come to the City. Finance Director Walters
explained it is a decision by the State that they are allowed to do this. They want
to be able to improve their investments. There is an incentive for the Relief
Association to watch their investments, because the City would not increase their
pension because of covering the required contribution. MOTION by Wilson,
second by Donnelly to approve the City's required contribution in the amount of
$131,175 and approve maintaining the pension benefit level at $4,575 as in 2010.
APIF, MOTION CARRIED.
8. PUBLIC HEARINGS
a) Adopt Ordinance - Amending 2010 Fee Schedule Increasing State Surcharge
for Building Permits - Engineering
The State has increased surcharge fees for building permits from $.50 to $5.00 for
July 1, 2010 - June 30, 2011. MOTION by Fogarty, second by Wilson to close
the public hearing. APIF, MOTION CARRIED.
Councilmember Wilson asked who would be impacted by this increase. City
Planner Smick explained it is for all types of building permits. This impacts
every community.
Councilmember May referred to the memo from the State, and the fact the City is
borrowing from internal funds for the budget deficit, this shows what happens. It
will be a cause of concern as we work through our budget issues. It can put a
temporary band aid on things, but when you borrow funds, the money still has to
be replaced. It is a bit unfair to the taxpayer who somewhere along the line had
paid that fee or tax for a specific purpose and the original purpose goes away.
This will become a common trait; how do you replace those dollars. She did not
want to see the City start doing that. MOTION by Wilson, second by Fogarty to
adopt ORDINANCE 010-625 amending the 2010 fees and charges ordinance.
APIF, MOTION CARRIED.
b) Approve Wine License Weng's Kitchen - Administration
Mr. Tony Weng has applied for an On-Sale Wine License for Weng's Kitchen,
Inc., 115 Elm Street. MOTION by Fogarty, second by Wilson to close the public
hearing. APIF, MOTION CARRIED. MOTION by Fogarty, second by
Wilson to approve an On-Sale Wine License for Weng's Kitchen, Inc. APIF,
MOTION CARRIED.
9. AWARD OF CONTRACT
a) Approve Pilot Knob Trail Extension Contract - Engineering
This project is to install a trail connection on the west side of Pilot Knob from
200th Street to CSAH 50. Construction will be fmished by October 1,2010. The
6
Council Minutes (Regular)
August 2, 2010
Page 4
City prepared the design of the trail and the County will perform. all of the
inspections. Six bids were received. The low bidder was Minnesota Dirt Works
for $260,462. The project will be funded by the County for $157,000, the Park
Improvement fund will pay $10,000, and the road and bridge fund will pay
$119,000. This also includes a 10% contingency.
Councilmember Wilson asked ifwe have a history of working with Minnesota
Dirt Works. City Planner Smick explained the City has worked with them on
private projects. Councilmember Wilson noted the bid spread is $72,000 and
asked if the low bidder captured everything in the bid. Staff stated they did.
When City Engineer Schorzman determined the estimate, rather than doing a
statewide review of other estimates, he did an estimate that was within the vicinity
of Farmington. Other bidders may have been looking outside the Farmington
area. Any change orders will be shared between the City and the County.
Councilmember Wilson noted this is the most glaring trail connection in the
Farmington area. Parks and Recreation Director Distad agreed the length of this
trail is significant. Councilmember Wilson stated ifwe were not getting County
participation to the level we are, he would not approve this project. Also, the park
improvement fund and road and bridge fund are for projects that benefIt the entire
community.
Councilmember Fogarty asked about the portion of the bid showing removing
bituminous. Mayor Larson stated on 200th Street there will have to be a curb cut
and a ped ramp will be installed for ADA compliance. MOTION by Wilson,
second by Fogarty to adopt RESOLUTION R46-10 accepting the base bid of
Minnesota Dirt Works in the amount of$26,462.20 and awarding the project.
Mr. David Pritzlaff, 20255 Akin Road, stated it would be nice to have this trail
connection, but felt the City could not afford it. It is $10,000 out of the park
improvement fund and $119,000 out of the road and bridge fund which is
taxpayers' money. Here is a cut Council can make and try to save the taxpayers
some money. He agreed we receive money from the County, but we also received
a grant for a bridge which the City also had to contribute $1 million and that
project has not gone well. Here is a real cut the Council can make. Delay the
project. It is not necessary. It is $129,000 from the City that we are spending, no
matter what fund, it is taxpayers' money. He felt we should delay this, and use
this as one of the fIrst decent sized cuts in the budget.
Voting for: Larson, Donnelly, Fogarty, Wilson. Voting against: May.
MOTION CARRIED.
10. PETITIONS, REQUESTS AND COMMUNICATIONS
a) Approve High School Hockey Agreement - Parks and Recreation
The contract with the School District covering ice rental for the boys and girls
hockey games has been revised. Staff reviewed the current contract for items that
7
Council Minutes (Regular)
August 2, 2010
Page 5
have not been covered in the past. New costs to be covered from the rental fee
during games are as follows:
- Administrative costs associated with the Facilities Maintenance Supervisor
being at the junior varsity and varsity hockey games. This cost was not billed in
the past.
- Additional charge for cleaning of the Arena after hockey games. In the past this
was not charged.
- Cover administrative costs associated with the use of the Arena such as
scheduling the facility for games, scheduling employees for the games, counting
money from game receipts, depositing money from games and invoicing of the
games.
- Cover increased cost for disposing of increased garbage that is generated from
the crowd watching the game compared to little or no garbage created during
practices.
In addition to increasing the hourly rental fee to provide the Arena for high school
hockey games, staff is also proposing to increase the gate split from 60% City /
40% school district to 75% City /25% school district. All of the overhead costs
for running the games are borne by the City. Previously the City received $950
from the school district which covered a four hour rental of the Arena during the
junior varsity and varsity boys games. The City received $900 from the girls
junior varsity and varsity games. The girls were renting the Arena for 3.75 hours,
but it is now 4 hours. As a result of the change, the City will charge $325/hour
which would be $1300 for the four hour rental. In addition, revenues will also
increase from the higher gate receipts. There will be a total of26 games played in
the upcoming season which should generate $8,550 more for the Arena. This
only pertains to the games. The practice times will remain at $200/hour.
Councilmember May asked if the Hockey Association set a dollar amount they
would contribute. Councilmember Fogarty stated it was a percent.
Councilmember May recalled the conditions also contained certain times and
asked if that has been worked out. Parks and Recreation Director Distad stated
that would pertain to practice ice time; this is for game ice time. The games are
set by the State Conference. Councilmember May asked if the school district has
approached the City about assisting with the arena improvements. They have not.
Staff is trying to show the true costs of allowing the Arena to be used for their
games. Councilmember May asked if there will be any discussion regarding the
renovations. Staffhas discussed it with school staff, but no offer has been made.
Councilmember Fogarty suggested having a resolution at the next meeting with
Council formally asking the School Board. Councilmember May understood the
money comes from the same pockets, but the school district has a bigger base.
Staff stated the school district staffwill take the agreement to the School Board
for approval.
Mayor Larson stated when the City uses the school facilities for events, we are
also charged these types of charges. MOTION by Fogarty, second by Wilson to
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Council Minutes (Regular)
August 2, 2010
Page 6
approve the Farmington High School Game Ice Rental Agreement with the
Farmington School District. APIF, MOTION CARRIED.
11. UNFINISHED BUSINESS
12. NEW BUSINESS
a) Set Budget Workshop - Finance
Mayor Larson requested that a closed session be held with the City Administrator
to discuss some performance issues before the budget workshop. It was decided
to hold the closed session following the August 16,2010, Council meeting. The
budget workshop will be held on August 23, 2010, at 6:30 p.m. The EDA
meeting will be held at 6:00 p.m. Finance Director Walters also asked that
Council turn in their budget comments. Councilmember Fogarty asked if full
staff needed to attend the budget workshop or just the City Administrator and
Finance Director. It is more a discussion that Council needs to have. Council had
no further questions for Department Heads, therefore, they do not need to attend
the budget workshop.
b) Set Parks Tour - Parks and Recreation
The Parks and Recreation Commission selected August 11 or August 30 to give
Council a tour ofthe parks. Council preferred August 30. Parks and Recreation
Director Distad noted August 30 was being held open in case the budget
workshop needed to be continued. If that is the case, a second budget workshop
would be held on August 30, rather than the Parks tour.
13. COUNCIL ROUNDTABLE
Councilmember Fogarty: She attended the Relay for Life and thanked the people who
organized the event. It was a really nice event. The theme was "Fighting Cancer to
Enjoy More Birthdays."
She attended a benefIt at the Legion for Gracie Norland. She thanked all those who
attended. They raised almost $20,000.
August 3, is National Night Out.
Administrative Services Director Shadick: The Primary Election is Tuesday, August
10,2010. Candidate filing is August 3 -17, 2010.
She thanked Liquor Operations Manager Randy Petrofske for the Flavors of Farmington
event. It was a wonderful event and over 100 people attended. Randy and his staff did a
lot ofwork.
Mayor Larson: Encouraged everyone to sign up for NixIe or Twitter on the City's
website to receive City messages.
9
Council Minutes (Regular)
August 2, 2010
Page 7
The Fair starts the week of August 9, 2010. Please watch for pedestrians.
Regarding the Pilot Knob trail extension that was approved, he realized they spent some
money on it, but he considers it public safety. There are a lot of people on that road, and
it is not safe.
He urged residents to support Farmington businesses. Ifwe want more, we need to
support the ones we have.
He was unable to attend the Flavors of Farmington because he was attending a soccer
game where the Farminron VIS girls team won the State Championship. Boys Lacrosse
7th & 8th graders won 4 place in the State tournament.
14. ADJOURN
MOTION by Fogarty, second by Wilson to adjourn at 7:59 p.m. APIF, MOTION
CARRIED.
Respectfully submitted,
Cynthia Muller
Executive Assistant
10
Council Workshop Minutes
August 9,2010
Mayor Larson called the workshop to order at 6:30 p.m.
Present: Larson, Donnelly, Fogarty, May (arrived 6:41 p.m.)
Parks & Recreation Commission - Mike Haley, Dave McMillen, Charlie Weber, Karen Neal,
Dawn Johnson
Planning Commission - Doug Bonar, John Franceschelli, Steve Kuyper
Absent:
Wilson, Rotty, Vanderbeck
Also Present: Peter Herlofsky, City Administrator; Randy Distad, Parks and Recreation
Director; Tony Wippler, Assistant City Planner; Cynthia Muller, Executive Assistant
MOTION by Fogarty, second by Donnelly to approve the agenda. APIF, MOTION
CARRIED.
Mr. Ron Vine, Leisure Vision, presented the results of the Community Survey. The survey was
based on usage, customer satisfaction, needs, unmet needs, and priority questions. The goal was
to complete 400 surveys, and there were actually 623 surveys returned for the same amount of
money. The results have a 95% level of confidence with a margin of error of +/- 3.9%. Each
question was broken down by demographic factors. Highlights include:
74% of residents use neighborhood parks and trails.
50% use community parks.
93% of residents use at least one of the facilities. The national benchmark is 72%.
Of those using the facilities, 60% state the Rambling River Center is in excellent condition, 36%
indicated it was in good condition. This shows the dollars were well invested for the
improvement project.
Of all the facilities, 40% considered the Rambling River Center to be in excellent condition.
Over 50% say the parks are excellent or good. This means staff needs to decide if a good system
is good enough or if you want a combination of excellent and good. This is a lower rating than is
normally seen for a parks system.
Over 50% use trails and neighborhood parks the most. Of households with just adults, trails
were the most used facility. For households with children under 10 years of age, neighborhood
parks and playgrounds were the facilities used the most often. Trails cover more demographic
users than any facility.
Of the facilities used, 25% rate the quality of the facilities as excellent and 54% rate the quality
as good. In an average community the benchmark is a 30% rating.
The seasonal brochure is used the most at 76% to find out about the system. The benchmark
average is 52%. The brochure is distributed door to door. This method of delivery gives the
highest percentage.
(Councilmember May arrived).
11
Council Workshop Minutes
August 9, 2010
Page 2
Regarding the parks system, 19% are very satisfied, 38% are somewhat satisfied. This is a little
lower than the national average. Only 8% are dissatisfied. 600 households returned the survey.
They are saying this is how I use the parks system today, this is how satisfied I am, and this is
my vision for the parks system for my household.
It was asked if they have a need for a specific facility and listed 26 facilities. 85% said they had
a need for paved walking and biking trails, 71 % small neighborhood parks, 51 % natural areas,
53% playgrounds. A lot of outdoor, passive activities rise to the top. Youth baseball at 25% is
very good as this is the population that has children 13-15 years of age. The typical household
has a need for 5-7 types of facilities.
As far as unmet needs, 1400 households have unmet needs for natural areas, next is o:ffleash dog
areas, nature center, outdoor pool, paved walking and biking trails, municipal golf course, camp
grounds. These are the top categories for unmet needs. Unmet needs are more important to look
at than needs that are met. As far as priorities, 65% say paved walkinglbiking trails are the most
important, 50% say neighborhood parks are most important, and then it goes to playground
equipment 28%, natural areas 24%, and large community parks. The senior center does not have
as high a need, but for those who feel it is important, they rate it as very important.
Neighborhood parks are fIrst and second priorities in all demographics. Paved trails are most
important in all demographic groups except for households with children under 10, of which
playgrounds are one ofthe fIrst priorities.
The survey also looked at programs. This showed 73% had a need for the Farmer's Market, next
was special events, adult fitness, youth sports programs, youth learn to swim programs, etc. The
unmet needs for programs showed at the top is special events, then adult fitness, Farmer's
Market, nature trails, adult continuing education, water fitness, golf lessons, etc. Highest
priorities for programs showed 50% for a Farmer's Market, next is youth sports programs, adult
fitness, and special events. Youth sports programs and youth learn to swim programs are the
most important for households with children under 10. The Farmer's Market, youth sports
programs and teen programs are the most important for households with children 10-19. It is
unusual for youth sports to be that high for households 10-19. The Farmer's Market, adult
fitness and welIness programs are the most important for households without children.
The survey then looked at how people participate in the facilities. 40% use the Farmer's Market,
26% use youth sports programs and youth learn to swim programs. The Farmer's Market is a
program for households with or without children in which people participate the most. Youth
sports is the second most used program. Comparing how the City programs match up compared
to programs most important to residents, 28% say youth sports programs are the most important
and 26% utilize the facilities. The City is matching up the needs as far as usage. The Farmer's
Market, youth learn to swim programs, preschool programs also match up well. Programs not
penetrating as well were 28% adult fitness was most important and only 9% use adult fitness
facilities. The City should determine if they want to get into this market or let others fill this
need. Also for adult programs 14% say that is most important and 6% utilize the facilities.
Next the survey looked at financial support for what residents would like to see. For existing
systems, 59% would support maintaining trails and neighborhood parks. 50% said they have no
12
Council Workshop Minutes
August 9, 2010
Page 3
use for outdoor sports facilities. For support for new facilities, at the top was to complete
connections for existing trails, pedestrian bridges, underpasses, neighborhood parks, install new
playground equipment, outdoor aquatic facilities. These are also the items they are most willing
to fund, with 66% saying they would put some dollars in, 34% said they would not put money in.
The highest percentages were $3-$5 or $9-$11/month. When asked if they actually paid the
amount they stated how would they vote, 27% said they would vote in favor, 30% said they
might vote in favor, 22% said they would vote against, and 21 % were not sure.
Mr. Vine stated it would be extremely difficult to pass a referendum today. You want to see vote
in favor at least 2:1 over vote against. In this case vote against and vote in favor are about equal.
He has rarely seen vote in favor being lower than 35% be successful. With 22% voting against,
that is a high number. Usually you get 40% of those who say they would vote in favor. Because
of this, it would not pass an election today. The bond referendum would be for new facilities.
There is strong support for investing more money in what we have today before we start building
new. The excellent ratings are not that high, and with 90% using facilities, they are saying a lot
of people use the system and think it is good, but not excellent. We should look at the existing
system and move it from good to excellent. This could be funded more from operating dollars.
Councilmember Fogarty clarified we do not have answer to the question if they would be willing
to fund through a bond referendum maintenance and improvements on existing structures. Mr.
Vine explained we did in a third of the question. The question was acquisition, development and
repair. Two of the things were about new - acquisition and development. Repair is existing.
Mayor Larson asked if they are asking us to maintain and repair with existing dollars. Mr. Vine
stated they do not know how many dollars the City is spending, but he felt it would be existing
dollars because they are not in favor of a bond referendum. Councilmember Fogarty asked why
we have such a high usage of trails and parks. Mr. Vine stated it would be hard to speculate. He
would have rated the system as good. The City has done an excellent job of being good across
the board. On his tour of the City, from the outside the ice arena looked pretty bad. The pool is
old fashioned. It was good and clean and looked inviting for swimming, but most people who
use water don't swim. Most kids play in the water. Walk in pools and water slides are popular
with children 10 and under.
Mr. Dave Pritzlaff, 20255 Akin Road, stated regarding the need for maintaining rather than
building more and being able to afford to maintain the infrastructure as far as extending and
expanding it, he asked what ratio would be used for funding vs. maintenance. Mr. Vine stated if
we looked at the budget and how much is being invested for maintenance and repair and how
that compares to an average community, the public looks at repair and maintenance as most
important before we build new. The public knows there are millions of dollars invested in the
system and they want to make sure those dollars are used wisely. Anything beyond that would
be policy decisions.
Mr. Pritzlaff stated Council approved this survey. He noted question 14 has very supportive,
somewhat supportive or not supportive of each item. But in the 20 items listed below it only
says very supportive, somewhat supportive, supportive, not sure. Not supportive is not shown as
an option, and Mr. Pritzlaff asked how that affects the validity of the survey. Mr. Vine stated
that question should have said that, but it does not impact the validity. People look at what is
most important based on what they are very supportive of. If there would have been a difference
13
Council Workshop Minutes
August 9, 2010
Page 4
between what they are very supportive of and what they are willing to fund, then it would have
showed the question was not understood. The correlation between what was very supportive and
what they are willing to fund matched.
Mr. Pritzlaff stated the bond question was broken up into three sections. He asked why wasn't
there a question just for maintaining facilities. Mr. Vine stated the question stated for
acquisition, development and repair because that is how it was requested to be asked.
Sometimes Cities will put money from a bond election into maintaining what they have. They
have no way of knowing what will be the most important. They did separate maintaining
existing facilities and developing new in the questions.
Councilmember May stated a lot of the comments are about the trails and the parks. Her
question is related to the programs. She asked if the commission will look at the importance of
the facilities vs. the programs. It is evident the taxpayers are not willing to support a levy, so we
are dealing with a defined pot of money. She asked if the commission will discuss programs vs.
putting the money more towards maintenance of the trails which is top on many ofthe questions.
It needs to be determined where the programs fit in vs. trails and parks. Ifwe have a defined
amount of money, how are we going to spend that money because some of the trails do need
attention. It also needs to be determined what is the cost of replacing a trail vs. maintenance.
We need to have a maintenance schedule. Many taxpayers think the maintenance is part of the
budget.
Mr. John Franceschelli, Planning Commission, asked why does the survey stop where it stops?
The survey covers when we have green grass and no snow. We don't do anything in the winter?
We don't have an opportunity to go cross country skiing? We don't use our facilities outside?
This survey does not go far enough; it does not do us justice. It is suspect. We wasted our
money. We need something for seasonal use too. Our people do not sit inside when the snow
falls. They are snowmobiling, cross country skiing, snow shoeing, they are using our facilities.
Here we are talking about summertime usage. We are not fmished. Not by a landslide; not by a
miniscule part. We have not fmished our job. When are we going to?
Mr. Jerry Ristow, 516 Lower Heritage Way, stated 12-14 years ago we had the same question
and the survey came back the same; to maintain what we have, so we funded more for
playground equipment. His biggest complaint would be the Rambling River trail. There has
never been any maintenance. He felt the survey was good. You don't know if you don't ask.
Councilmember Fogarty noted he stated they increased park and rec money for maintenance.
Mr. Ristow stated the Council compiled everything and said to maintain the park and rec budget
and that is how we got the park facilities. Councilmember Fogarty asked where the funding
source came from. She recalled the building permits were up at that time and that is where the
funding was coming from, so at some point money coming from the general fund to park and rec
was increased and somewhere along the line that was eliminated out of the general fund. There
was a line item in the general fund that gave money to parks and rec to maintain facilities. Mr.
Ristow agreed, the same as any department.
Mr. Vine stated one of the most difficult things with a survey is having enough questions to
make decisions, but not have it too long for people to respond to. This survey was shortened
14
Council Workshop Minutes
August 9, 2010
Page 5
because there where other questions that were not park and rec specific. Mr. Vine felt this
information should be extremely helpful in decision making. During the next year, as a client, if
the City would like additional analysis of these questions, that is offered at no charge.
Mr. Mike Haley, Parks and Recreation Commission, stated the survey was done to learn what
our citizens want. We did learn a lot and it was very clear that trails are very important and that
we need to repair, maintain, connect and build new. The citizens do not want to spend a lot of
money. The commission needs to determine the minimum we can do with what we have and see
ifthere is something that will cost them $1 or $2 rather than $10 or $12 and sell that.
MOTION by Fogarty, second by May to adjourn at 7:37 p.m. APIF, MOTION CARRIED.
Respectfully submitted,
Cynthia Muller Executive Assistant
15
Ib
City of Farmington
430 Third Street
l'arlllington, Minnesota
651.280.6800. Fax 651.280.6899
www.ci.tarmington.mn.LL.l
TO: Mayor, Council Members and City Administrator
FROM: Randy Distad, Parks and Recreation Director
SUBJECT: Accept Community Survey Report
DATE: August 16,2010
ACTION REOUESTED
The community survey report on parks, trails, recreational facilities, recreational programs and
storm water management was publicly presented to the City Council, Park and Recreation
Advisory Commission and Planning Commission at a City Council workshop on August 9, 2010
by Leisure Vision (a division ofETC Institute) a consulting firm hired by the City to complete
the survey. The community survey report has been posted to the City's website for public
viewing. Now that the community survey has been presented publicly, the City Council only
needs to formally accept the community survey report.
Respectfully Submitted,
Randy Distad,
Parks and Recreation Director
16
/C-
City of Farmington
430 Third Street
farmington, Minnesota
651.280.6800. Fax 651.280.6899
w\'iw.ci.mrmil'lgt",n..mn..u."1
TO: Mayor and Councilmember's
City Administrator
FROM: Brian Lindquist
Police Chief
SUBJECT: School and Conference
Police Investigations
DATE: August 16,2010
INTRODUCTION / DISCUSSION
Detective Sergeant Hollatz will be attending "How to Use Cell Phone Technology in Criminal
Investigations" put on by the Public Agency Training Council sponsored by the Anoka County
Sheriff's Office. This course will be held on August 26 & 27, 2010 in Andover, MN. The
purpose of the training is to expose our detective to proficient and effective investigations
utilizing available databases and cellular usage records.
This course will enhance the Farmington Police Dept. Investigation Unit with increased
knowledge and proven effective techniques to augment their criminal investigations where
cellular technology was used. This course will be taught by an instructor with extensive field
experience in digital technology, computer forensics and cellular data. This course will cover
eighteen hours of training and instruction.
BUDGET IMPACT
The cost for attending this course will be a total of approximately $400 (tuition, lodging &
meals). The funding will come out of the 2010 investigation budget.
ACTION REOUESTED
Information only.
Respectfully submitted,
.r.;.:~'" //.".~ ~::~- J
r,," p ~t.l' ~
.-----~t..,..,...,.... ~. ,.....~~ _"''',J. ;
l-/i.i'IT.::fi 30"
Brian Lindquist
Chief of Police
17
)j
City of Farmington
430 Third Street
Farmington, Minnesota
651.280.6800. Fax 651.280.6899
w\\ow.ci.timningttm.m1l.1.l."I
TO: Mayor and Councilmember's
City Administrator
FROM: Brian Lindquist
Police Chief
SUBJECT: School and Conference
Police Investigations
DATE: August 16,2010
INTRODUCTION / DISCUSSION
Detective Sergeant Hollatz, Detective Sundgren and Detective Dirks will be attending the
MNSCIA (Minnesota Sex Crimes Investigation Association) yearly conference September 29th
through October 1st, 2010 held in Nisswa, MN. Officers have attended the training for the past
17 years and found it to be very beneficial. The training will cover the latest and most advanced
techniques in the sexual crimes investigations.
BUDGET IMPACT
The cost for three members to attend this training is approximately $1200.00 (covers conference
fee, lodging, meals) and funding for this training is included in the 2010 Investigation Division
Budget.
ACTION REOUESTED
Information only.
Respectfully submitted,
.,~~ / /-;
... '/t. ....,.
CbR;,~dL#' . 4o<1~-<-"'~
Brian Lindquist
Chief of Police
18
7e
City of Farmington
430 Third Street
Farmington, Minnesota
651.280.6800. Fax 651.280.6899
www.ci.t3rmingtI11l.n11l.LL.l
TO: Mayor, Councilmembers,
City Administrator
FROM: Lee Smick, City Planner
AICP, CNU
SUBJECT: School & Conference - Planning
DATE: August 16,2010
INTRODUCTION
City Planner Lee Smick would like to attend the Minnesota Main Street Basic Training seminar
on August 17-18,2010 in Red Wing, MN.
DISCUSSION
The seminar will deal with marketing of retail and restaurant spaces, the promotion of retail
areas, and downtown design principles.
BUDGET IMPACT
The cost of the seminar is $220. The adopted 2010 budget includes funding for this seminar.
ACTION REOUESTED
For information only.
Respectfully submitted,
Lee Smick, City Planner
AICP, CNU
19
MINNESOTA MAIN STREET
BASIC TRAINING 2010
AGENDA
During August 17-18,8 a.m. - 5 p.m. each day
Location: Red Wing, MN
Registration Deadline: August 10, register online at mnpreservation.org/prolrrams/main-street
Who should attend? Staff, board members, volunteers, city officials, other local partners,
and interested citizens are all welcome.
It is up to the local Main Street Program to arrange for lodging and transportation during each
training.
DAY 1
8:00 AM - Registration
8:30 AM - Main Street Overview, Todd Barman
1. Main Street Four-Point Approach@
2. 8 Principles
3. Role of National Trust Main Street Center
9:15 AM - Break
9:30 AM - Economic Restructuring Committee, Todd Barman & Jay Schlinsog
1. Fundamental Economic Restructuring
2. Know the market
3. Developing space
4. Developing businesses
5. Developing customers
6. Developing partners
12:30 PM - Lunch on your own
MINNESOTA
Af!"',l!JmrtIo;dllhe
P~Vil!!j<1I'11if]!l!fIte..'M~
2:00 PM - Promotion Committee, Jay Schlinsog & Jim Engle
1. Inside Promotion (Overview)
2. Purpose of Promotion
3. Promotion Committee Goals, Players and Roles, Volunteers and Jobs
4. Types and purposes of promotion
5. Campaigns and campaign planning
6. Marketing and communications channels -Internet, news releases, collateral materials, etc.
7. Evaluating promotional activities and events
8. Funding promotions - Sponsorships, fees, sales, etc.
9. The promotion committee work plan
10. Fourteen ways to bring a promotion to life and to kill a promotion
11. Tools, examples and exercises
5:00 PM - Adjourn
20
DAY 2
8:00 AM - The Main Street Board, Jim Engle & Todd Barman
1. Roles & Responsibilities
2. Ten Ways to Be a Better Board Member
3. Committees
4. T,he Executive Director
5. Running Effective Meetings
6. Gathering and Reporting Statistics
9:15 AM - Break
9:30 AM - Board & Non-Profit Issues AND Organization Committee, Donna Harris
Board & Non-Profit Issues
1. Recent changes to IRS 990 form focuses on governance, conflict of interest and compensation
issues-what Board policies are needed by local Main Street organizations now
2. Mission and vision statements
3. Board composition for increased project capacity
4. Program based budgeting
Organization Committee
1. How to run an Organization Committee
2. Volunteer recruitment, retention, and recognition
11:30 AM - Catered box lunch provided
12:15 PM - Continuation of Organization Committee, Donna Harris
3. Diversifying your funding base
4. Communication tools and methods
1:30 OR 2:00 PM - Design Committee, Joe Lawniczak
1. Brief overview of Elements of Design
2. Design Committee Duties
3. Downtown Design Principles
4. What is Historic Preservation? Why is it important?
5. Why Historic Preservation makes economic sense and is environmentally friendly
6. The evolution of Main Street buildings over the years
7. Elements of a fa~ade
8. Maintaining proportions & transparency
9. Illustrated overview of the Secretary of Interior of Interior Standards
10. Maintenance & Repair
11. Alley-side Improvements
12. Interactive Exercise "What's Wrong With This Picture"
13. Public Improvements
14. Parking (lack of parking or merely parking management problems)
15. Signage
16. Awning & canopy design principles
17. Visual Merchandising Principles
18. Historic Preservation Tools & Resources
4:30 OR 5:00 PM - Adjourn
21
PRESENTERS
Todd Barman joined the National Trust Main Street Center in January of 2006 and has over 13 years of
firsthand Main Street experience. He is an experienced trainer with demonstrated ability to connect Main
Street's Four Points and convey the big picture. He is a leader at the Center in the area of economic
restructuring including research and applications in the area of entrepreneurship and market position. He
served as the Assistant State Coordinator for the Wisconsin Main Street Program from 1999 until 2006 where
he provided comprehensive technical assistance in the field of downtown revitalization to Wisconsin's Main
Street communities. Mr. Barman coordinated the market analysis technical support service in Wisconsin and
led efforts to develop the nationally recognized Downtown and Business District Market Analysis Toolbox.
Todd regularly works with executives/staff, board members, and volunteers of nonprofit community
development organizations to build organizational capacity. As a Program Officer, he has served as team
leader and team member for over twenty five Resource Team Visits, Program Evaluations/Assessments and
Reconnaissance/Start-Up Visits. He is an accomplished facilitator of Visioning, Strategic Planning, Action
Planning, Non-profit business planning and Retreats. During his tenure as the assistant state coordinator of
Wisconsin Main Street, Todd was instrumental in developing the state's first networking workshop for local
board members.
Prior to working with Wisconsin Main Street, Todd was a Main Street manager in Darlington, Wisconsin for
three years. Todd holds both bachelors and masters degrees in landscape architecture from the University of
Wisconsin. He is a graduate of the Wisconsin Rural Leadership Program.
Jim Engle is the Director of the Bureau of Planning and Downtown Development for the Department of
Commerce and also Director of the Wisconsin Main Street Program. Before joining the staff of the Wisconsin
Main Street Program in 1990 Jim served as the Program Manager for the Main Street Program in Oskaloosa,
Iowa. He also served as the Associate Director of Admissions and Transfer Coordinator for Upper Iowa
University in Fayette, Iowa. Jim holds a degree in Business Administration from Central College in Pella, Iowa.
In Jim's current position as Director of the Wisconsin Main Street Program he manages the overall technical
assistance program offered to Wisconsin Main Street communities. This includes development of downtown
revitalization services, budgeting, management of staff and actual delivery of generalist services in the field of
downtown revitalization. Areas of expertise include business development, volunteer development, promotional
planning, non-profit management, fund raising, and the Main Street Approach. .
Jim participates in a range of services to Wisconsin Main Street communities including:
. Main Street Assessment Visits
. Issue Specific Technical Assistance visits
. Board and Executive Director Training
. Main Street Resource Teams
. Vision Planning
. Main Street Committee Training
. Development of quarterly workshops
Additionally, Jim has provided Main Street consulting services in other Main Street states including lowal
Washington, Indiana, Illinois and Tennessee.
Donna Harris, Heritage Consulting Inc. provides assistance to non-profit organizations, government agencies
and corporate clients nationwide in three practice areas: downtown and commercial district revitalization,
historic preservation and non-profit organizational development. Donna Ann Harris is the firm principal and she
works with one full time and two part time associates in her office based in Center City Philadelphia.
Prior to starting her firm in 2004, Ms. Harris was state coordinator for the Illinois Main Street program for two
years and the manager of the Illinois suburban Main Street program for four years. During her tenure as State
coordinator, Ms. Harris served 56 Illinois Main Street communities, led a staff of 12 and managed a budget of
over a million dollars.
22
Since she began her consulting practice, Ms. Harris has worked with state and local Main Street programs in
Baltimore, Delaware, Florida, Kansas, Illinois, Michigan, Missouri, Oakland County Michigan, New Mexico,
Nebraska, New Jersey, New York, Texas, Philadelphia, Pennsylvania, Washington State, Wisconsin and
Wyoming.
Ms. Harris has published several feature articles in the National Trust Main Street Center's monthly journal
Main Street News: "Make More Money from Members" (August, 2008); "Is a BID Feasible for Your Town? Ten
Questions to Ponder" (April 2007) and "A Valiant Effort" and What You Can Do, Lessons From Illinois Main
Street" (January 2005). She is working on a new article for Main Street Now for publication in fall 2010. For the
last six years Ms. Harris has spoken at the National Main Street Center annual conference, and for the last two
years at the International Downtown Association annual meeting. Ms. Harris became a Certified Main Street
Manager in 2002. In 2007 Ms. Harris taught the Organization point day-long session at Certification Institute for
the National Trust Main Street Center.
Prior to her Main Street career, Ms. Harris spent 15 years as an executive director of three start-up and two
mature historic preservation organizations. In these positions in
Ms. Harris earned a Master of Science degree in Historic Preservation from Columbia University in New York
City, and a Master of Governmental Administration degree from the Fels Center of Government at the
University of Pennsylvania in Philadelphia. She holds a BA in both American Studies and Art History from the
State University of New York at Albany.
Joe Lawniczak has been the design specialist with Wisconsin Main Street since 2001. He works daily with
building owners, city officials, volunteers, etc. in the thirty-six Main Street communities throughout Wisconsin in
preserving and restoring historic building facades, establishing local preservation tools such as design
guidelines, design review, preservation and sign ordinances, etc., and providing preservation and design
education. Prior to joining Wisconsin Main Street, Lawniczak worked for twelve years at the architectural firm of
Berners-Schober Assoc. in Green Bay, Wisconsin. For six of those years, he was an active volunteer on the
On-Broadway Design Committee, Green Bay's neighborhood Main Street program.
Lawniczak has worked as a consultant for several other organizations, including Montana Main Street, Main
Street Iowa, and Michigan Main Street, providing hands-on design services. He has also been a featured
speaker on preservation and design topics for Kansas Main Street, Illinois Main Street, South Carolina Main
Street, the Minnesota Historical Society/Preservation Alliance of Minnesota, the Wisconsin Historical Society,
the Wisconsin Chapter of the American Planning Association, and the University of Wisconsin-Extension,
among others.
Lawniczak has been actively involved with the National Main Street Center (NMSC). He has written and edited
several articles and chapters for various NMSC publications, including three chapters in the newly released
book Revitalizing Main Street, as well as the feature article in the November 2005 issue of Main Street News,
titled Inappropriate Building Materials on Main Street. He also serves on the National Main Street Conference
speaker selection committee, as well as their sustainability leadership panel. He has also been one of the key
planners for the annual architects and designers meetings, held in conjunction with the National Main Street
Conference. He has written feature articles for Wisconsin Main Street and the University of
Wisconsin-Extension on topics ranging from preservation and sustainability, to low cost, high impact building
improvements. In addition, Lawniczak serves on the Scenic Byways Advisory Committee for the Wisconsin
Department of Transportation, and is a former member of the Public Policy Committee for the Wisconsin Trust
for Historic Preservation.
Jay Schlinsog, CMSM is the owner and managing principal of Downtown Professionals Network, a research
and planning firm based in Batavia, Illinois. Since 1992, Jay has worked as an independent consultant
specializing in areas that include marketing & promotion, visioning & strategic planning, market research and
analysis, economic development and non-profit organization start-up and management.
Jay's Main Street experience includes tenures as Executive Director with downtown development and
revitalization organizations in Idaho, Illinois and Wisconsin. His professional background also includes
experience in sales, marketing, and retail management & consulting.
23
Jay is a graduate of the National Trust's Main Street Certification Institute and has been a speaker, trainer and
technical services provider for a number of regional, state and national Main Street organizations including:
. Main Street Iowa
. Main Street Oakland County (MI)
. Michigan Main Street Center
. Milwaukee (WI) Main Street
. Missouri Main Street Connection
. National Trust Main Street Center
. New Hampshire Main Street Center
. Oregon Main Street
. Washington Main Street
. Wisconsin Main Street
Jay has served as manager and consultant on projects and contracts to provide planning, market research and
technical assistance to a diverse mix of clients and communities, from rural communities with a population of
less than 1,000 to urban neighborhoods and communities in large metropolitan areas. In Iowa, Michigan and
Wisconsin alone, Jay has provided technical assistance and managed projects in more than fifty communities
ranging in size from 1,157 people (Central City, Iowa - Census 2000) to densely populated urban
neighborhood business districts in the Des Moines, Lansing and Milwaukee metro areas.
24
)-F
City of Farmington
430 Third Street
farmington, Minnesota
651.280.6800. Fax 651.280.6899
w\\ow.ci.farmingttm.mn.u."I
TO: Mayor, CounciImembers and City Administrator
FROM: Teresa Walters, Finance Director
SUBJECT: July Financial Report
DATE: August 16,2010
Enclosed is the financial report for the months of January through July 2010. The report shows
revenues and expenditures for 58% ofthe year. Below is a list of any discrepancies along with
reasons for the variance from the 58%. If you have any questions prior to the meeting, please e-
mail me at twalters@ci.farmington.mn.us or call me at 651-280-6880.
General Fund
Revenues
Property taxes
Amount Received
51.2%
Reason for Variance
We received the frrst halfofour
property taxes in June and July.
Licenses 73.19% License revenue is higher due to
the payment of the third quarter
liquor licenses.
Permits 90.12% The majority of this line item is
building permit revenue. Bldg
permit revenue is at 96.4% of the
budget. YTD total building permit
revenue is $216,866 compared to
the annual budget of$225,000.
Fines 35.54% Court Fines are below the
projected budget.
25
Intergovernmental
48.84%
Charges for services
35.78%
Franchise Fees
67.15%
Investment Interest
34.09%
26
We have not received any Police
or Fire Aid. This normally does
not show up until Fall. We have
received 98.9% of our State Aid
Maintenance.
GIS fees are budgeted for $5,000,
no fees have been collected YTD.
Fees are anticipated to be received
when the development contract is
signed for the CDA Senior
Housing project. Fire charges are
not received until the end of the
year. Police service charges are at
40%.
Payment received. The balance of
the payment will be received prior
to year-end.
The procedure for distributing
interest has been to allocate
interest to the various funds based
on budget. At the end of the year
the actual interest would be
calculated and interest would be
adjusted up or down (to reflect
actual) within each of the funds
that have a budget. This process
allocated interest to funds with
negative balances. This process
showed interest on the fmancial
report as being in line with the
budget, when this mayor may not
have been the case. Because
interest rates are extremely low
right now, and need to be
monitored more closely, interest is
now allocated on an actual basis.
Miscellaneous
73.20%
Expenditures
Historical Preservation
148.59%
Patrol Services
59.71%
In June we sold the property on
308 Elm Street. It was coded to
the General Fund in error. This
has been corrected. Miscellaneous
also includes Rental income (for
picnic shelters, conference rooms,
and our Allina Health Lease
payment). The ALF payment is
also included. This is the only
ALF payment we will receive this
year.
The Historic Preservation is
$3,829 over budget. We are
anticipating additional grant
money (a matching grant) for
consultant services. This revenue
should be received by October
2010.
Actual vehicle parts have
exceeded the budget due to
renovations for the K-9 squad
vehicle. K-9 Expenditures were
not budgeted; however, we
received donations to cover a
portion of this.
Overall General Fund Revenues are at 51.33% of the budget. This is below budget; however,
some of the revenues (police and fIre) do not come in until later in the year. Expenditures look
good since they are slightly lower than anticipated at 53.59% of the budget.
8necial Revenue Funds: The Special Revenue funds are established to account for specific
revenue sources (grants) or to fmance a specific activity. Assistance may be needed from the
general fund or another designated fund to operate.
The Recreation and Ice Arena funds continue to operate with a defIcit fund balance. A transfer
will need to be completed to bring up the balance if it is not positive by year-end. The actual
defIcit balance in the Recreation Funds at the end of2009 was ($229,946). The actual defIcit in
27
the Ice Arena Fund was ($178,985). As of July, 2010, the Recreation Deficit has increased to
($422,519). The Arena Deficit has increased to ($240,805).
Revenues
Amount Received
Reason for Variance
EDA
144.08%
Revenues are $5,731 over budget.
We received a grant from the
County.
Park Improvement
169%
Building Permit Revenues and
Special assessments go into this
fund.
Expenditures
Rambling River Center
Renovation
176.61%
Renovation costs. In June
expenditures included $21,500 for
a heating! Air condition system.
We anticipate receiving a
Community Development Block
Grant to help off-set some of the
costs.
Enternrise funds: The Enterprise funds are self supporting and do not need fmancial assistance
from the General fund.
Liquor Revenues were $80,565 over expenditures in July. This added to the Fund balance.
Overall expenditures are under budgeted amounts to date.
Overall the Sewer. Solid Waste. Storm Water. and Water enterprise revenues are exceeding
expenditures for the year.
Street Light Utility: Street light utility revenues were received for the first time in March 2010.
Revenues were below expenditures for the month. Current month expenditures include payment
of the Electric bill. This increased the negative fund balance bringing it from a negative $22,170
in June to a negative $31,977 in July. Revenues are currently two months behind due to the
billing cycle. We are watching this for the year; we expect to break even at year-end.
28
Granh: The graph shows that overall 2010 YTD fund balance exceeds 2009's fund balance at
this time. The City's goal should be to maintain not only a positive fund balance throughout the
year, but also a fund balance that falls within the State Auditor's recommended 35-50%. Our
current fund balance was at 24.9% at the end of2009, the highest point ofthe year.
The recreation funds and the Arena's fund balances have reduced by $254,393 since
January 2010, adding to the deficit carried over from 2009.
A healthy fund balance is needed to operate during the year because our main source of revenue
only comes twice per year. The fund balance should also be utilized to assist other funds when
operations revenue is not as high as anticipated as we have seen with the Recreation and Ice
Arena funds. As special revenue funds, these funds need the support of the general fund in
order to operate. The Enterprise funds should ensure fees are adequate to cover costs. The
Street light Utility fees are currently not covering the costs needed to operate the utility.
Respectfully submitted,
Teresa Walters
Finance Director
29
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City of Farmington
430 Third Street
Farmington, Minnesota
651,280.6800. Fax 651.280.6899
www.ci.mrmingtun.nm.LL.l
TO: Mayor, CounciImembers, City Administrator
FROM: Jennifer Dullum, Natural Resource Specialist
SUBJECT: Stormwater Programs
DATE: August 16,2010
INTRODUCTION
This is an informational memo on upcoming stormwater programs and requirements.
DISCUSSION
2011 MS4 Permit
A draft 2011 Municipal Separate Storm Sewer System (MS4) permit is currently being written.
There are a few new and or updated items will be included in the next five year permit cycle:
Impaired waters and TMDLs
The federal Clean Water Act (CW A) requires states to protect waters from pollution by adopting
water quality standards. These standards defme how much of a pollutant can be in the water and
still allow it to meet designated uses, such as for drinking, fishing and swimming. The standards
are based on a wide range of pollutants, including bacteria, nutrients and turbidity (cloudy water
due to suspended sediments). A water body is "impaired" if it fails to meet one or more water
quality standards. Federal and state regulations require implementation of restoration measures
to meet TMDLs (total daily maximum loads). Currently the City of Farmington has discharges
into three watersheds that have, or will have a TMDL; the Lower Mississippi River Basin
TMDL, the Lake Pepin TMDL and the Vermillion River Watershed (described later in this
memo ).
Pond Inventory
The purpose of this required inventory is to identify stormwater ponds, wetlands and other water
bodies impacted by the collection, treatment and conveyance of storm water. The inventory will
need ID numbers of waters with stormwater discharge and the location, surface area and number
of discharge points into each of these waters. This is Stage 1 of the pond inventory; additional
Stages have yet to be published. Stage 1 inventory information will be due to the MPCA with
the permit application for the revised MS4 permit expected after June 1, 2011.
Construction Stormwater Erosion and Sediment Control will have new requirements and,
Post Construction & Pollution Prevention - BMP Operation and Maintenance will
require MS4 cities to maintain pre-development runoff and will contain new performance
standards for ponds.
64
MPCA Audits
The MPCA is in the process of auditing all MS4s. They will be comparing the City's MS4
annual report with what is currently being done in the City. The MPCA will provide the City a
60 day notice. The City is required to provide any materials to the MPCA 30 days before the
audit. Audits can be half-day events up to 2 to 3 full days. The MPCA will be following the
United States Environmental Protection Agency's 185 page guidance for the audits.
Vermillion River Watershed TMDL
The MPCA has requested a TMDL work plan from the Vermillion River Watershed Joint
Powers Organization (VRWJPO) which would include all impairments within the watershed.
This would mean that the watershed as a whole would be involved in implementing the TMDL
plan. Impairments such as fecal coliform (E. coli), dissolved oxygen and turbidity are in sections
of North Creek, Middle Creek, the South Branch of the Vermillion River and the Vermillion
River within the City limits.
Antidegradation
On April 1 , 2009 the City received a generic letter from the MPCA regarding their review of our
Loading Assessment and Non-degradation (now antidegradation) report. The letter outlined
overall fmdings and highlighted items that the MPCA deems necessary for cities to modify in-
order to be in compliance with their MS4 permit. At a minimum, the City of Farmington will
have to address the following:
. The City of Farmington will be "required to develop and implement a process to evaluate
the treatment effectiveness of the BMPs in their stormwater management system". This
must consider;
o design criteria
o as built construction
o maintenance of stormwater BMPs
. Farmington must also address portions of their system that currently do not have BMPs
for treating stormwater prior to discharge.
. The above assessment processes must outline a schedule to;
o inventory
o assess
o prioritize
o correct poorly performing BMPs
o outline corrective measures for those areas that do not have stormwater treatment
. The city will be "required to develop and implement a volume reduction strategy. ..to
mitigate for the increase in Volume load." Farmington will be required, to the extent that
is reasonable and practical, to reduce Volume load levels to what has been calculated in
the loading assessment for 1988 to return waters to their non-degraded state by;
o identifying actions that will be utilized to reduce volume for both new and
redevelopment projects
o including volume reduction methods in road and public works projects
o modify SWPPP with an outline of tasks and schedule to develop and implement
the volume reduction strategy
65
MPCA Water Quality Permit Fees
On March 15, 2010 the MPCA enacted new rules increasing permit application fees. This new
fee rule is retroactive to July 1, 2009. The City of Farmington received an invoice for an
additional $890.00 to be paid to the MPCA for a General Permit for the Walnut Street
Reconstruction project. The total cost for the General Permit is now $1,240.00.
BUDGET IMPACT
None at this time.
ACTION REOUESTED
For information only.
Respectfully submitted,
Jennifer Dullum
Natural Resource Specialist
cc: file
66
Minnesota Pollution Control Agency
520LafayetteRoadNorth 1 StPaul,MN55155-4194 I 651-296-6300 I 800-657-3864 I 651-282-5332 TTY I www.pca.state.mn.us
June 5, 2009
Farmington City MS4
Kevin Schorzman, City Engineer
430 Third Street
Farmington, MN 55024
Dear Kevin Schorzman:
As the Minnesota Pollution Control Agency (MPCA) moves forward with the
development and implementation of Total Maximum Daily Load (TMDL) studies, as a
regulated Municipal Separate Storm Sewer System (MS4) community you may find
yourseif a bit confused with the role you play in the process. This letter is for
informational purposes and should clear up some of the confusion you may be
experiencing surrounding impaired waters and your MS4 General Permit. Included with
this letter is a list of impaired waters near or within the jurisdiction of your MS4,
including the impairment(s) the water is listed for, and the status of the TMDL study.
Status indicated on the attached list applies to the following four potential conditions:
1. A TMDL has been approved by the United States Environmental Protection
Agency (EPA) and you have received a Wasteload Allocation (WLA) in that
TMDL.
2. A TMDL study is in draft form, but has not yet been approved by the EP A. You
will have a WLA in the TMDL.
3. A TMDL study is underway. Based on the projected boundaries of the study area,
you will receive a WLA in the approved TMDL.
4. A TMDL study is not underway. To generate this list, we queried all impaired
waters within one mile of your jurisdictional boundary. There is no way of
knowing yet whether you will be included in the TMDL for this impaired water.
Similarly, there may be impaired waters more than one mile from your boundary
for which you will eventually receive a WLA. At the time a TMDL study begins
and the watershed is defined, you should receive a letter informing you the TMDL
study is starting.
Additional information can be provided should you be interested. Please note that the
information provided-is what the MPCA has to date; however, some of the information
may change in the future, and there is the potential that a TMDL study will provide a
different geographic study area than the GIS estimates that are being used to generate this
list at this time. Therefore, consider the list as a guide.
The current MS4 General Permit requires within 18 months of TMDL approval by the
Environmental Protection Agency that permittees review the adequacy of their
~
St, Paul I Brainerd I Detroit Lakes I Duluth I Mankato I Marshall I Rochester I WlJlmar
67
150 YEARS
ff'STATEHOOD
18S8.2008
.i
8tormwater Pollution Prevention Program (8WPPP) in meeting the 'tMDL's wasteload
allocation. There is currently no specific reporting requireinent associated with impaired
waters and TMDLs; however, the MPCA can require' that the 8WPPP be modified as
needed to comply with the goals arid requirements of the Clean. Water Act or water
quality standards (MS4 Permit- part IV .H.l.d). It is through this authority that the
, MPCA is requesting SWPPP modifications be made to achieve the goals ofthe,TMDLs
and meet W'LAs.
':..
The MPCA's Stormwater Programs and Impaired Waters Web site ,
(http://www.pca.state.mn.us/waterlstofmwater/impairedwaters.html#guidance ) has
several pollutant-specific fact sheets that may be useful in writing or modifying 8WPPPs.
It is recommended that stakeholders become involved in the TMDL process to the extent
that they are able. Please refer to the enclosed list for information on TMDLs currently
underway that may affect y~ur MS4. Stakeholder meeting information can be foUnd by
, contacting the MPCA TMJ)L,project m.anagers ot connecting ,with our stormwater-
TMDL liaisons. Please feel free to contact Mike Trojan at Mike.troian@pca.state.mn.Us
or 651-757-2790 or Anna Kerr at'Anna.kerr@pca.state.mn.us or 651-:-757-2488 ~four '
staff with any questions or concerns.
,-
,'1
:~
",
,.c .
Sincerely,
/J~~9~ hAr.
<1
Dale B. Thompson ,
8uperyisor, Municipal, Storrnwater Unit
81. Paul Office . '
Municipal Division
DBT/AK:wgp
Enclosure '
I
'!
,:J.
i
68
Farmington City MS4
Impaired Waters and TMDL Study Status
* Approved = TMDL has been approved by EP A
Draft = draft TMDL report has been prepared, but not yet approved by EP A
, Underway = TMDL study has begun, work plan is in place
Not Underway =;: TMDL study has not started
TMDL Project Name Impairment Status*
Lower Vermillion River, Lower Mississpi River Turbidity draft
Basin - Turbiditv
Lower Mississippi River Basin - Fecal Coliform Fecal Coliform Approved
..
(
-
.
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Phase II MS4 Audit Process
What permit holders can expect during a
compliance evaluation of their stormwater program
Minnesota
Pollution
Control
Agency
Unlike other NPDES permits,
. Municipal Separate Storm Sewer
System (MS4) permits do not
contain specific end-of-pipe discharge
effluent limits. Phase II MS4 permits use .
programmatic requirements to reduce
pollutants discharged to the "maximum
extent practicable" (MEP) through the
implementation of Best Management
Practices (BMPs). MS4 permittees are
granted flexibility in selecting the types of
BMPs implemented to meet pennit
requirements. This flexibility, coupled with
the variable nature ofMS4 permittees,
necessitates the use of a comprehensive
question and answer type audit session to
ascertain the performance of the MS4's
stonnwater program as mandated under
State and Federal regulations.
Audit Types
All Phase, II MS4 permittees will be
evaluated over the next 5 years. The level
of evaluation will range from a
comprehensive audit of all six minimum
control measures (MCM) to a brief, overall
screening-level audit consisting of a
detailed look at only a few minimum
control measures. Many evaluations will
have a field component where MPCA staff,
along with the appropriate MS4 staff will
visit private or municipally-owned
construction sites or stonnwater facilities.
Notification Process
An MS4 permittee selected for an audit
will be contacted in writing a minimum of
60 days in advance of the anticipated audit
date. The initial contact letter will explain
the type of audit to be conducted and
provide a checklist of items to collect in
Enter Category Code No · June 2009
preparation for the audit. Items requested
for review by MPCA staff prior the
evaluation will be indicated on the
checklist and should be submitted to the
MPCA within 30 days of the date of the
letter. The infonnation requested by MPCA
may include:
. Public outreach materials,
organizational chart, staff training
and responsibilities
. Ordinances, pond maintenance
plans or other agreements, etc.
. List of 3-4 active construction
sites that may be visited
. Inspection forms and reports, or
other database tracking
infonnation
Length of Audits
The length of the audit will be based on the
number of program components to be
covered, preparedness of the MS4,
complexity of the MS4's program and
amount of field work. The time needed to
complete the audit will be one to two days.
What to Expect Duri~g the Audit
The audit will take place at the MS4
location. The MS4 Stormwater Coordinator
will be responsible for securing attendance
of all necessary participants and selecting
the meeting site.
Document Number
MInnesota Pollution Control Agency. 520 Lafayette Rd. N., St. Paul, MN 55155-4194 . WNW,pca.state.mn,us
651-296-6300 . 800-657-3864 . TTY 651-282-5332 or 800-657-3864 . Available In alternative formats
75
The purpose of the audit is to assess the performance of
the permittee's stormwater management program in
meeting requirements of the MS4 pennit and water
quality regulations. The evaluation will measure
program effectiveness based on individual Stormwater
Pollution Prevention Programs (SWPPPs) as MS4s vary
across the state. Hence, the process will allow permittees
to describe their unique approach to each program area.
To ensure that all topics are covered in sufficient depth
and consistently for each MS4, the evaluator will ask
questions from a set of program evaluation worksheets.
The interview process will follow a conversational style
that will allow the interviewees ample opportunity to
explain their answers and provide background and input
into the interview process.
Review of MS4 Construction Activities
For the first series of audits, the MPCA has placed
emphasis on the construction site stonnwater runoff
control program (MCM 4). Evaluation ofMCM 4 will
include an interview portion conducted in the office and
a field component conducted at permitted construction
sites with approved erosion and sediment control plans.
In the interview portion, MPCA staffwill address
construction stormwater plan review procedures such as:
. Pre-application meetings with developers &
contractors
. Plan review coordination with other departments
. Thresholds for stormwater plan review &
stormwater management requirements
. Standard conditions of approval that incorporate
erosion and sediment control requirements
MPCA staff will also observe MS4 field inspections at
construction sites. Preferably the sites visited during an
audit will consist of different project types, such as
residential, commercial and municipal construction.
During the field inspections, MS4 inspection staffwill
describe how they evaluate site compliance with .
municipal requirements, including erosion /sediment
control BMPs, and other local and state stormwater
construction permits.
Post Audit Activities
After conducting the MS4 audit, MPCA staff will follow
up with a written report of the findings. The report will
provide a concise assessment of the MS4 stonnwater
program performance based on regulations, permit
requirements and the MS4's SWPPP. The findings will
clearly identify
. Positive or commendable program elements
. Program deficiencies
. Recommendations for improvement
. Rule or permit violations
While the primary function of the audit is to assess and
improve MS4 program performance, as with all
regulatory programs there is potential for enforcement
actions with penalties for alleged violations. If
deficiencies or violations are identified, a follow-up
audit may be warranted. Permit holders will have an
opportunity to respond to the written report.
For more information, please contact the following
Municipal Stormwater staff:
MS4 Permit Staff
Keith ChenyhoImes. 651-757-2270
Scott Fox. 651-757-2368
Joyce Cieluch. 218-846-8126
Amv Garcia. 651-757-2377
Supervisor
Dale Thompson. 651-757-2776
Title · Category Code Number . Month Year
M1nnesOtiI Pollution
. Control Agency
page 2
76
Minnesota Pollution Phase II MS4 Evaluation Program Checklist
Control Agency
- vera rogram anagemen
" Permit Item
Reference
Part V.G.d, MOUs or other agreements
V.GA V.G.5.
~ Part III.CA. Stormwater program staff lists, responsible parties, organizational charts
Part V.E., Meeting schedules (Internal or external)
V.G.d.
Part V.G. Performance standards, measurable goals or other applicable documents used to
measure oroaram effectiveness
Part V.C. Annual Report Including reporting procedures
sWPPP 0
liP
M
t
~ Permit Item
Reference
Part V.G.1, Outreach strategy
V.G.1.a
Part V.G.1.a Outreach materials containing central messages for each MCM
Part Studies or procedures to establish target audiences
V.G.1.c.1 (1-
3)
Part V.G.1.a, Distribution tracking Information
Part VI.D.1.
Part Public Meeting Notice
V.G.1.e.2,
V.G.2.a.
Part V.G.2.c. Public comments received on stormwater program components
Part V.G.1.a. Stormwater website or other methods of outreach used
MCM 1 & 2 Public Education/Involvement
ICI ISC arge e ec Ion Imma Ion
". Permit Item
Reference
-.:.j Part V.G.3.b. Illicit Discharge Ordinance or Regulatory Mechanism, Including enforcement
escalation Dollcv
Part V.G.3.c. illicit discharge investigation procedures including tracking records and/or
databases
Part V.G.3.c. Spill Response Plan and records
Part V.G.3.d. Recycled oil and household hazardous waste educational materials
Part V.G.3.c., Webslte or other educational materials including procedures for reporting illicit
V.G.3.d. discharaes/dumpina
-:y Part V.G.3.a Storm Sewer System Map
MCM 3 III" at Da h
D t f
&EI"
f
77
MCM 4 Construction Site Stormwater Runoff Control
Permit Item
Reference
Part V.GA.a.
Grading, Erosion & Sediment Control, Stormwater or other related ordinance or
other Re uiato Mechanism Includln enforcement rovlsions
List of 3 to 4 active construction sites requiring an NPDES Construction permit,
Includln at least one munici al ro ect If a licabie
Part V.GA.b. Guidance documents on BMPs appropriate to address this MCM such as design
standards, BMP manuals, or fact sheets made available to developers, contractors
and/or builders .
Part V.GA.d. Procedures for construction site plan review Including the job title and department of
the lndividual(s) responsible for plan review and checkllst(s) used by plan reviewers
and relevant documentation for one com ieted site Ian review.
Standard Conditions of Approval or comprehensive plan or other control document
that lists the review criteria and regulatory control requirements that address this
MCM
Part V.GA.f. Procedures for site Inspection and enforcement of control measures Including the
job title and department of the indlvidual(s) responsible for Inspections, Inspection
forms or checklists used and exam Ie of enforcement action used
Part V.GA.e. , Procedures for receipt and consideration of reports of noncompliance (I.e. webslte,
, hone number etc
Part V.GA.
Part V.GA.
MCM 5 Post-Construction
-.J Permit Item
Reference
Part V.G.5. Procedures for post-construction site plan review Including the job title and
department of the Inqividual(s) responsible for plan review and checklist(s) used by
olan reviewers '
Part V.G.5. Standard Conditions of Approval or comprehensive plan or other control document
that lists the review criteria and regulatory control requirements that address this
MCM
Part LIst of BMPs selected as appropriate to address this MCM: Design standards, BMP
V.G.5.a. manuals or fact sheets for develooers, builders & contractors that address this MCM
Part Post-construction ordinance(s) or regulatory mechanism
V.G.5.b
Part BMP inspection records and/or tracking system
'V.G.5.c.
Part V.G.5. List of 2 active post-construction sites requiring an NPDES Construction permit,
Including at least one munlcloal proiect
Part Example maintenance agreement for privately owned BMPs
V.G.5.c.
p'ermit
Reference
Part
V.G,6.b.2,
V.G.6,b.5
MCM 6 Pollution Prevention/Good Housekee in
Item
Inventory, maintenance and Inspection records of structural pollution control devices
78
Part Inventory, maintenance and inspection records of M54 outfalls. sediment basins and
V.G.6.b.3, stormwater ponds
V.G.6.b.5
Part Inventory, maintenance and inspection records of exposed stockpile, storage and
V.G.6.b.4, material handling areas
V.G.6.b.5
Part V.G.6.a Training materials for employees
PartV.G.6. Contract language for MS4 operation and maintenance activities not completed in-
house
Part V.B. Street sweeping records
79
DateJTime
10:00 am- 10:15 am
10:15 am - 11:00 am
11 :00 am - 12:00 pm
12:00 pm - 1 :30 pm
1:30 pm-3:30 pm
3:30 pm - 5:00 pm
10:00 am - 11 :00 pm
11 :00 am - 12:00 pm
12:00 pm - 1:30 pm
1:30 am-3:30 pm
3:30 pm-4:00 pm
MS4 Program Full Audit - Sample Schedule
Kickoff Meeting
Program Management
Public Education!
Public Involvement
Lunch
Municipal Operations
(office and field)
Illicit Discharge
Detection and
Elimination
Construction (in
office)
Post-construction
Lunch
Construction
Inspections (in field)
Outbrief '.
Deseri tl08
Introductions, audit purpose, agenda
Staff: Stormwater program manager, others
participating in audit, department managers
SWMP development, staffing, program organization,
roles and responsibilities, reporting
Staff: Stormwater program manager
Public outreach, community events, classroom
education, etc.
Staff: Outreach/communication specialist
City maintenance procedures, such as street sweeping,
minor road maintenance, storm drain system cleaning,
open space management, material storage/spill response
procedures, etc. Visit maintenance yard.
Staff: Public works staffresponsiblefor performing
relevant activities, parks maintenance manager/staff,
facility maintenance manager/staff
IDDE reporting, investigation, follow-up, tracking, and
enforcement procedures. Spill control and response.
Staff: stormwater or other staffresponsible for
responding to and investigating illicit discharges,
enforcement staff, spill responder(s)
Discuss construction (E&S) plan review procedures.
Review construction inspection protocols, including
scheduling, tracking, follow-up, enforcement, and
recordkeeping. .
Staff: Plan review staff, construction inspector(s)
Discuss plan review procedures. Examine one or more
development plans to demonstrate plan review
procedure.
Staff: Plan reviewer(s)
Accompany one or more inspectors on construction site
inspections to observe their procedures.
Staff: Construction inspector(s)
Review preliminary fmdings, offer clarifications, ask
questions, etc.
Staff: Stormwater program manager, any interested
staff, department managers
80
'i::l4c. \ 'Z., 2.0(:;'1 - ~d2Qo ~n.i-\keQ..
Minnesota Pollution Control Agency
520 Lafayette Road North I St. Paul, MN 55155-4194 I 651-296-6300 I 800-657-3864 I 651-282-5332 TTY I www.pca.state.mn.us
April 1,2009
Farmington City MS4
Kevin Schorsman
Assistant City Engineer
325 Oak St
FanrnWngton>>~ 55024
./
Dear Kevin Schorsman:
The Minnesota Pollution Control Agency (MPCA) staff has completed a review of all the
Loading Assessments and Non-degradation Reports (Report) which have been submitted by the
Selected MS4s as outlined in the MS4 Permit (permit). The purpose of this letter is to outline the
overall fmdings based on this review and to highlight the Stormwater Pollution Prevention
Program (SWPPP) modifications which the MPCA staff feels are necessary to meet Permit and
Minn. R. 7050.0185 requirements. The MPCA will send each Selected MS4 a detailed letter with..
conclusions and any additional control measures necess to inco orate into the SWPPP prior
to public notlc~. e WI 0 a stateWI e pu lic notice of the fmdings and the basiS or
each non-degradation determination as required by the Permit over the course of the next nine
months.
-------.
As outlined in the MS4 Permit, the purpose of the Loading Assessments conducted by the
Selected MS4s was to determine>> by modeling>> whether increased pollutant loading has or would
occur within their jurisdiction based on an evaluation of two time periods; from 1988 to present
and from present to 2020. The parameters evaluated as part ofthis Loading Assessment included
Average Annual Stormwater Flow Volume (yolume)>> Total Suspended Solids (TSS)>> and
Phosphorus (TP). The determination whether increased loading had or would occur would be
based on modeled results of these parameters.
The MPCA staff review has identified many similarities within the modeled results from the
Loading Assessments. All of the Loading Assessments indicated a positive relationship between
increased urban development and the increased loading of Volume, TSS and TP. For the time
periods modeled>> this relationship was strongly correlated with the growth patterns for each
MS4. The largest increases in loading coincide with the time periods in which individual cities
experience their fastest growth and development. There were a few Selected MS4s which were
largely built-out prior to 1988 and their model results showed minimal change in loading over
the two time periods. In summary>> the main fmding that MPCA staff was able to draw from the
Loading Assessments was that in most cases, if not mitigated>> urban development and the
conversion from undeveloped to urbanized land uses will result in an increased loading of
Volume>> TSS and TP.
For the Reports each of the Selected MS4s alsq factored in the treatment effect of stormwater
Best Management Practices (BMPs) on the modeled load calculations. Although other treatment
s:E
St.paull Brainerd I DetroltLakes I Duluth I Mankato I Marshall I Rochester I W1l1mar
81
150 YEARS
P/ST:}~~~D
BMPs were considered, stormwater pond systems were the dominant treatment method evaluated
in the Reports. With the inclusion of the stormwater treatment associated with BMPs many
Selected MS4s calculated 2020 TSS and TP loads at levels close to or below 1988 levels. MPCA
staff noted that high TSS and TP coefficients (high removal efficiency) were typically used when
evaluating stormwater pond treatment, even though little or no documentation was provided that
these BMPs were achieving these levels of treatment. In general, for many existing stormwater
BMPs, the actual treatment performance has not been specifically evaluated by MS4s. The
Reports have made a case that traditional stormwater BMPs may be effective in addressing
increased loading ofTSS and TP, however, the MPCA finds that the actual assessment ofBMP
performance is needed to validate that these systems are functioning as claim~. Increased TSS
and TP loading can be prevented only if the BMPs have been properly designed, constructed and
maintained and are functioning as indicated in the model assumptions.
Most Selected MS4s acknowledged that stormwater ponds and most other traditional stormwater
BMPs would have a minimal effect on addressing the Volume load increases. Many Reports did
not discuss specific volume reduction BMPs and did not identify mitigation for the increase in
the Volume loads calculated for the present and 2020 conditions. Where reductions of Volume
loads were calculated; the MS4 typically outlined a specific strategy to mitigate Volume
increases from both new and existing development. As outlined in the MS4 Permit and rules, the
MPCA believes that increased Volume load will result in increased pollutant loading. The
impacts from increased Volume load must therefore be addressed by the Selected MS4s through
SWPPP modifications.
Moving forward, the MPCA will be sending individual letters to each of the Selected MS4s. The
letters will focus on the SWPPP modifications that have been proposed or which must be
incorporated by each ofthe Selected MS4s into their SWPPPs in order to meet non-degradation
requirements. The following elements have been determined to be necessary in order to validate
the Loading Assessments and reported conclusions and therefore demonstrate compliance with
the non-degradation rule. All Selected MS4 SWPPPs will be required, at a minimum, to address
the following:
. Selected MS4s will be required to develop and implement a process to evaluate the
treatment effectiveness of the BMPs in their stormwater management system. The
-assessment process must consider design criteria, as built construction and '
maintenance of stormwater BMPs to determine whether they are providing adequate
treatment. The MPCA encourages MS4s to utilize the assessment process described
in The Minnesota Stormwater Manual Appendix N: Three Tiered BMP Performance
Range for TSS and TP. The Center for Watershed Protection document entitled
"Urban Stormwater Retrofit Practices", version 1.0, dated August 2007, further
expands on this BMP evaluation approach. The University of Minnesota document
"Assessment of Stormwater Best Management Practices" provides additional
information and guidance for developing a BMP assessment process. In addition to
assessing the effectiveness of existing stormwater BMPs the process must also
identify those portions of the system (stormsheds) which currently do not have BMPs
for treating stormwater prior to discharge. The BMP performance assessment process
must outline a schedule to inventory, assess, prioritize and correct poorly performing
82
HMP's as well as outline corrective measures for those stormsheds determined not to
have stormwater treatment.
.i.
. ,
. Selected M84s will be requi(ed to develop and implement a volume reduction
strategy for their 'city to mitigate for the inctease in Volume load. A.s stated in the
1\.184 Permit Selected M84s are required, to the extent that is'reasonable and practical;
to reduce the Volume load to the level calculated in their. load assessment for 1988. .
The underlying goal of the volume reduction strategy, how~ver, should be its
incorporation in an overall stormwater management plan for the MS4 to return waters
back to a non-degraded state. The volume reduction strategy must identify specific
actions that will be taken to reduce volume for both new development ~d
redevelopment projects. Volume reduction measures associated with public works
and road projects should also be included as part of this strategy. Chapter 3 of The
Minnesota Stormwater Manual outlines volume reduction techniques which should be
incorp~rated into the volume ~educiion' strategy. Selected MS4s will be required to
develop SWPPP modifications which include a detailed outline of the tasks and
schedule needed to develop and implement this volume reduction strategy.
As indicated, the MPCA intends to send each Selected MS4 a letter to address specific issues
raised by MS4sin their Non-degradation Reports and proposed non-degradation related SWPPP
modifications. The MPCAwill also identify any additional measures that must be incorporated
to address the elements outlined above. Selected MS4~ will be given 60 days to respond to 'the '
MPCA det~rmination and make any necessary revisions or. modifications to the SWPPP. The
MPCA intends to public notice the non-degradation reiated SWPPP modifications as a part of the
non-degradation det<::rmination in accordance with the MS4 Permit.
Please feel free to contact me at 651-751-2368 if you have any questions.
SinJrely,
,~~ %~
scoftL/ .~
Hydrologist 3 '
Stormwater Section
,Municipal Division
SJF:wgp
83
wq-rule3-38
Draft, 7/19/10
Proposed Antidegradation Implementation Procedures for NPDES-
Permitted Phase n MS4s
Implementation procedures in the current rule and guidance focus on individual
wastewater treatment facilities and are not adequate for regulated storm water discharges.
Each type of regulated storm water activity (municipal, industrial and construction) has
unique characteristics that require implementation procedures specific to the activity.
Considerations for how antidegradation protection will be implemented for NPDES-
permitted Phase IT Municipal Separate Storm Sewer Systems (MS4s) include:
. Storm sewer systerils are designed and/or used for collecting or conveying storm
water from developed areas; they are not a combined sewer, nor are they a part of
a publicly owned treatment works.
. Activities are covered under a general permit.
. Discharge characteristics include:
o intermittent flows dependent upon precipitation and snow melt;
o multiple sources and pollutants; and
o multiple receiving waters, including waters of high quality I , waters with
impairments and waters designated as Outstanding Resource Value Waters
(ORVWs).
. Control of pollutants and causes of pollution is achieved through best
management practices (BMPs), both structural and non-structural.
. Permit authorization for discharge is granted to a regulated jurisdiction, rather
than an individual project or facility.
. Storm water systems connect impervious cover over relatively large areas and
may cross local jurisdictional boundaries where decisions regarding
implementation of control measures are made.
. Long-term duration of authorization to discharge, with multiple and on-going
permit cycles.
. Moderate to high number (233) of individual permittees.
. Few, if any, activities with effluent monitoring requirements.
. Antidegradation reviews (the determination of "expanded discharge" and the
identification of control measures to maintain baseline loading) have not been
conducted for each of the MS4s.
The goal is to develop implementation procedures that, given the unique characteristics
of regulated municipal storm water activities, are protective of water resources yet can
reasonably be implemented through the issuance of a general permit. The general permit
will be developed such that antidegradation requirements are fulfilled when an applicant
demonstrates the ability to adhere to permit conditions. The applicant must certify in the
permit application that they can/will/do meet antidegradation permit conditions stated in
the permit. Antidegradation requirements specified in permit conditions must:
. maintain and protect existing and designated uses;
I High water quality is that quality better than the criterion ofthe applicable standard, on a
parameter by parameter basis. Waters are assumed to be of high quality unless they are impaired.
I
84
Draft, 7/19110
. prevent unnecessary degradation of high water quality;
. protect and maintain ORVWs; and
. outline corrective measures to address degradation which has occurred since the
effective date (i.e., 1988 for high water quality; date of designation through rule
adoption for ORVWs).
Because general permits are developed to provide coverage for numerous dischargers that
have similar processes and pollutants, implementation procedures will differ from that
required of individual permits. Implementation procedures will be considered for the full
range of authorized activities as a whole covered by the permit, not tailored specially for
individual applicants covered under the permit. Implementation procedures include Tier 2
review, corrective action, adaptive management, annual reporting, protection ofORVWs,
and protection against further degradation of impaired waters.
I. Antidegradation Tier 2 Review Procedures
Described below is a proposed step-wise process for conducting antidegradation Tier 2
review for NPDES-permitted Phase II MS4 storm water discharges. These steps are also
laid out in Fig. 1.
Step 1. Is Tier 2 review triggered?
Due to the characteristics of storm water discharges, those falling under NPDES authority
are typically regulated through BMPs, rather than through numerical effluent limits and
effluent monitoring used to regulate waste water treatment discharges. The determination
of whether a review is triggered by the potential for increased permitted loading is
therefore more difficult for regulated storm water discharges. A surrogate measure for
permitted loading used to trigger review will evaluate changes in land use (e.g., increases
in impervious surfaces, intensification of use) and water quality management practices.
The trigger threshold is any projected changes in land use (e.g., development,
redevelopment) and water quality management practices that have the potential to
increase net loading to waters ofthe state beyond 1988 loadings. Because development
and redevelopment activities occur within the applicant's jurisdiction and there is the
potential for increased loading from these activities over the permit cycle, a review will
always be triggered by the issuance of the general permit.
Step 2. Alternatives analysis is conducted by the Agency during general permit
development.
Parameters of concern (poes) will be identified during the development of the general.
permit. Likely candidates include volume, total suspended solids and total phosphorus.
2
85
Draft, 7/19/10
The Agency will identify prudent and feasible2 alternatives that reduce, avoid, minimize
or mitigate net increases in permitted loading. Selected alternatives will be incorporated
into permit conditions as specific control measures.
Control measures that reduce loading over time are a unique requirement for
antidegradation provisions. Generally antidegradation provisions and their associated
control measures are intended to prevent any additional, unpermitted loading. The
issuance of the current permit was challenged, in part, because there were no
determinations of whether individual MS4s were "expanded discharges". As a result ofa
Minnesota Court of Appeals ruling, the MPCA commissioner selected 30 MS4s to
provide a more detailed nondegradation (= antidegradation) review. Loading assessments
estimated changes in average annual flow, phosphorus and total suspended solids from
1988-1990 to the present (2000-2005), and from the present to 2020. The loading
assessments were used as a means of determining if storm water discharges from a given
city were considered to be "expanded" discharges. Those cities found to have "expanded"
discharges were required to submit nondegradation reports which identified additional
control measures to bring the volume and or loadings back to the 1988 levels.
The work done by the selected 30 cities under the MS4 Stormwater Permit allowed the
Agency to draw some clear conclusions which will change future MS4 permit
antidegradation requirements. The loading assessments completed by the selected 30
cities demonstrate a clear correlation between increased urban development and increases
in storm water runoff volume, total phosphorus and total suspended solids loading.
Where there is documented evidence that loading has exceeded the 1988 baseline,
alternatives will need to be considered to reduce loading to baseline conditions.
The identification ofPOCs and the alternatives analysis process will be subject to
comment from the public and affected government entities during general permit
development.
Step 3. MS4s seeking coverage verify that antidegradation permit conditions will be
implemented within their jurisdictions.
Step 4. MS4s require that individual projects within their jurisdictions adhere to
antidegradation permit conditions.
Each MS4 is responsible for ensuring that antidegradation provisions are followed for
each project within its jurisdiction, thus protecting individual waters of the state within
and downstream of the MS4. This will likely occur through the implementation and
2 The use of the term "prudent and feasible" is used in the context of the alternatives analysis
because it is a familiar standard currently used to test if discharges to Restricted ORVWs may be
avoided. "Feasible" means an alternative that can be implemented with existing technology and in
a manner that meets good engineering standards. An alternative is not feasible ifthe technology
involved is experimental or unproven, or cannot be implemented with sound engineering. An
alternative is "prudent" if it is better for the environment than what was originally proposed, and
does not have unusual or extraordinary social or economic costs.
3
86
Draft, 7/19/1 0
enforcement of ordinances that meet the permit's antidegradation permit conditions (e.g.,
performance standards).
Step 5. Opportunity for offsets where individual projects cannot meet antidegradation
requirements.
For activities impacting high water quality and where Tier 2 requirements cannot be met
for a given site, the project proponent will be given the opportunity to offset increased
loading prior to project initiation by reducing the loading from another site upstream
from the activity. Offsets will consider geographic conditions and the fate and transport
of the parameters in question to ensure that net increases in loading are avoided to the
receiving water impacted by the proposed activity.
Offsets will also be considered for post 1988 redevelopment projects unable to achieve
the load reductions outlined in the permit (i.e., through redevelopment performance
standards). The procedures and process for offsetting will be outlined in the permit and
managed by the MS4.
Implementation of approved offsets avoids the need for a demonstration of importance.
Step 6. Identification of the least degrading alternatives and a demonstration of
importance for important social and economic development are required for
activities/projects resulting in an increase in permitted loading which cannot be offset.
Antidegradation is not a "no growth" policy, but rather is a process which allows public
decisions to be made when a proposal is made to lower high water quality. The EPA's
Water Quality Standards Handbook states that the lowering of high water quality through
antidegradation Tier 2 review". ..is intended to provide relief only in a few
circumstances where the economic and social need for the activity clearly outweighs the
benefit of maintaining water quality above that required for "fishable/swimmable" water
and both cannot be achieved."
If a project cannot meet antidegradation permit conditions and cannot be offset, the
project proponent must identify the least degrading prudent and feasible alternative, and
provide justification for the increased loading based on important social or economic
development. This will be a two-step process.
Step 6a. Local Review. Information regarding reasoning for why permit conditions
cannot be met, selection of the least degrading prudent and feasible alternative, and
justification for increased loading must be presented by the project proponent to the
MS4. Information submitted should include:
. Name of project proponent;
. Project location;
. Description of project including prudent and feasible control measures that
minimize loading;
. Name and location of receiving waters;
4
87
Draft, 7/19/10
. Estimation of the extent to which compliance with the permit performance
standard is achieved;
. Projected impact to water quality; and
. Demonstration of importance of project for economic and social development.
The MS4 will review the information and allow for public comment. The local review
process is intended to verify that antidegradation permit conditions cannot be met. It
will also ensure that least degrading alternatives have been thoroughly analyzed and
adequate justification for social and economic development has been presented before
any Agency review is conducted.
Step 6b. Agency Review. Where the MS4 verifies that permit conditions cannot be
achieved, it will make a recommendation to the Agency regarding the selection of the
least degrading alternative and justification for lowering high water quality. The MS4
will submit the project proponent's information (specified in Step 6a) along with its
own recommendation to the Agency. Comments from the public and affected
government entities will be invited through a posting on the Agency's web site.
Ultimately the Agency will make a determination of importance on a case-by-case
basis using best professional judgment, information submitted by the MS4 and
information obtained through Agency-solicited comments. It is expected that Agency
review will be a rare occurrence. .
Guidance will be included in the permit for how the MS4 and project proponent can
make the demonstration of importance.
n. Corrective action
If information becomes available indicating degradation of high water quality is
occurring from a given site, the Agency will require additional control measures be
applied to decrease loading and prevent further degradation.
ID. Development of an adaptive management plan
The Agency recognizes that storm water management programs and their associated
control technologies are in a continual state of improvement and development. As a
result, information regarding the existence, effectiveness, or costs of control measures for
reducing pollution, meeting standards and maintaining high water quality may be
incomplete. The rule will require that an adaptive management plan be developed to
assess control measures.
Adaptive management plans will:
. Ensure that information is developed and used expeditiously to revise control
measures that meet antidegradation requirements;
. Allow for the review and refinement of management and control measures in
cycles not to exceed five years ofthe period of permit reissuance;
5
88
Draft, 7/19110
. Include a description of how information will be obtained and used to ensure full
compliance with the antidegradation rule;
. Be developed and documented in advance of permit or program approval; and
. Include performance evaluation processes to inventory, assess the design,
construction and maintenance oftheir storm water BMPs.
Plans may include an Agency-approved schedule of tasks that would achieve
antidegradation compliance.
IV. Annual Reporting
The Agency will require that the MS4's annual report include information regarding
anti degradation protection within the MS4 jurisdiction. Required information will
include:
. Projects able to meet antidegradation requirements
o Project location
o Receiving waters
o Where there are options for meeting antidegradation requirements, which
options were selected
. Offsets
o Project locations involved
o Receiving waters impacted
o Load redistributions
o Timeframe for load redistributions
. Projects unable to meet antidegradation requirements
o Information, or reference to information, submitted to the Agency in Step 6b
of the Tier 2 review process (page 4, this document.)
V. Outstanding Resource Value Waters and Existing Uses
Increases in loading to Prohibited Outstanding Resource Waters (P-ORVWs) beyond that
allowed as of the date of designation will not be permitted unless it is short term and
6
89
Draft, 7/19/10
temporary3 in nature. Tier 2 implementation procedures are required for activities
impacting Unlisted Outstanding Resource Waters (UL-ORVWs) and Restricted
Outstanding Resource Waters (R-ORVWs) where they are of high quality. Although
water quality may be lowered, through the Tier 2 review process, the special attributes or
characteristics that make the water an UL-ORVW or a R-ORVW must be maintained
(not degraded).
VI. Impaired Waters
Activities impacting waters with an approved TMDL must follow the TMDL and protect
existing uses. Activities impacting impaired waters without an approved TMDL must not
contribute to the impairment.
3 The revised rule will allow for temporary (weeks, months) lowering of water quality.
Applications for temporary degradation will be considered on a case-by-case basis, be protective
of existing uses, limit water quality changes to the shortest possible time, consider non- and
minimally-degrading alternatives, consider time intervals between activities that cause temporary
lowering of water quality, and require public participation.
The expectation is that after the temporary activity causing the water quality degradation has
ended water quality will return to the previous water quality levels.
Missouri's recently-adopted rule is a good example of what Minnesota is likely to adopt. The rule
defines temporary degradation as it applied to Tier 3 protection as:
"Degradation that is non-permanent and the effects can be regarded as insignificant following a
review of the: a) length oftime during which water quality will be lowered, b) percent change in
ambient conditions, c) parameters affected, d) likelihood for long term water quality benefits to
the segment (e.g., as may result from dredging of contaminated sediments ), e) degree to which
achieving the applicable Water Quality Standards (WQS) during the proposed activity may be at
risk, and f) potential for any residual long-term influences on existing uses."
7
90
Draft,7/19/10
Figure 1. Proposed Tier 2 review process for the issuance/reissuance of general NPDES
permits for Phase IT MS4s.
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Step 1. Is Tier 2 review triggered? Have there been or are there
projected changes in land use and water quality practices that
have or will result in increased net loading to waters of the state
from that which was present in 19887
Review not required.
(Note that it will be very
unlikely that a review
will not be triggered.)
- NO
I
YES
.
Step 2. Agency conducts alternatives analysis. Agency
identifies poes, and prudent and feasible alternatives that reduce,
avoid, minimize and mitigate net increased in loading. These are
included in permit conditions. Opportunity is provided for
comment from the public and affected government agencies.
.
Step 3. Can MS4 verify that permit conditions will be
applied witWn their jurisdiction?
I I
YES
Step 4. Does an individual project reduce or maintain loading according the
permit's antidegradation requirements (e.g., performance standards implemented
through ordinance)? MS4 makes this determination.
YES
NO
Step 5. Can the increased load be offset? MS4 makes
determination, included in annual report.
Project approved,
included in annual
report
NO
..
~YES
Step 6. Is there a demonstrated need to increase
loading (lower water quality) for important social or
economic development? Information regarding the least
degrading alternative and demonstration of importance
submitted to Agency for determination through public
participation.
YES
T
NO
.
Project denied, include
in annual report
8
91
Draft, 7/19/10
Proposed General Antidegradation Tier 2 Implementation Procedures
The following information and implementation procedures apply to all activities which
are subject to Tier 2 protection.
What is Tier 2 "rotection?
High water qualityl may not be lowered unless there is a demonstrated need for
important social or economic development in the area in which the waters are located. In
the decision of whether and to what extent water quality may be lowered there must be
public participation and intergovernmental cooperation. The highest statutory and
regulatory requirements for point sources and all cost-effective and reasonable best
management practices for nonpoint sources must be achieved. The objective of
antidegradation Tier 2 protection is to prevent unnecessary lowering of high water
quality .
How is Tier 2 protection implemented?
Tier 2 protection is implemented and enforced through the issuance and reissuance of
control documents for regulated activities where applicants seek authorization to
discharge into waters of the state. Through a decision process (Tier 2 review) the Agency
makes a determination of whether and to what extent high water quality may be lowered.
How is a Tier 2 review triggered?
A Tier 2 review is required when the issuance or reissuance of a control document has the
potential for a net increase in permitted loading to a water of the state. A "net increase"
means an increase beyond that allowed as of the effective date. The effective date is one
of the following:
i. Jan. 1, 1988, the date upon which rules were adopted to prevent
unnecessary degradation of high water quality;
ii. where a Tier 2 review has been conducted after Jan. 1, 1988, and an
increase in loading allowed through that review, the effective date is the
date of permit issuance granting the increased loading; or
Hi. where regulatory control for an activity or class of activities is authorized
after adoption of this rule, the effective date is the date upon which such
control is implemented;
1 High water quality is that quality better than the criterion of the applicable standard, on a
parameter by parameter basis. Waters are assumed to be of high quality unless they are impaired.
1
wq-rule3-37
92
Draft, 7/19/10
What are the basic steps in the Tier 2 review process?
Antidegradation Tier 2 review is a multi-step process. The first step is the alternatives
analysis which is an investigation of prudent and feasible2 alternatives that will avoid or
minimize net increases in permitted loading through pollution prevention and/or
treatment. The alternatives analysis focuses on parameters of concern (POCs) which are
pollutants or causes of water pollution that diminish the chemical, physical or biological
condition of the receiving water which can reasonably be expected in, or result from, the
discharge, and for which an antidegradation review is conducted. A review cannot be
conducted for every conceivable pollutant or cause of pollution. Rather, POCs will be
selected based on the potential for degradation. Implementation of revised
antidegradation provisions will emphasize alternatives analysis early in facility or activity
planning processes. Thus it is important to identify POCs early in the planning process to
ensure the alternatives analyses provide for the best environmental benefit. The Agency
will, through guidance, identify POCs that should be addressed for various types of
discharges. Based on the discharge-specific and/or site-specific nature of some
discharges, the Agency may require additional parameters to be reviewed.
For individual permits or authorizations, the applicant will be responsible for gathering
information and indentifying alternatives (control measures) that avoid or minimize
permitted loading. The Agency will provide, again through guidance, activity-specific
control measures for the applicant to consider, however the applicant will not be limited
to the specified alternatives. Information regarding the selection of prudent and feasible
alternatives will be submitted to the Agency for review.
The alternatives analysis for general permits or authorizations will be conducted by the
Agency at the time of permit development. Selected alternatives (control measures) that
avoid net increases in permitted loading will be incorporated into permit conditions.
When an alternative is not available that would avoid a net increase in permitted loading,
or where general permit conditions cannot be achieved, a second step requires the
applicant or project proponent to select the least degrading prudent and feasible
alternative. The applicant or project proponent must ensure that the implementation of
any alternatives that does not avoid increases in net permitted loading will maintain
existing and designated uses.
A third step, also required when avoidance of net increases in permitted loading is not
possible, is the demonstration of importance. The applicant or project proponent must
provide justification that increased loading is important for social and economic
2 The use of the term "prudent and feasible" is used in the context of the alternatives analysis
because it is a familiar standard currently used to test if discharges to Restricted ORVWs may be
avoided. ''Feasible'' means an alternative that can be implemented with existing technology and in
a manner that meets good engineering standards. An alternative is not feasible if the technology
involved is experimental or unproven, or cannot be implemented with sound engineering. An
alternative is "prudent" if it is better for the environment than what was originally proposed, and
does not have unusual or extraordinary social or economic costs.
2
93
Draft, 7/19/10
development. In other words, the applicant or project proponent must demonstrate how
the benefits of the proposed activity outweigh the lowering of water quality. The
projected change in the quality of the receiving water and the projected available
assimilative capacity3 remaining as a result ofthe proposed activity must be assessed in
order to make a determination. Where adequate assessment information is not available
but is reasonably attainable, it will be the responsibility of the applicant for its provision.
Ultimately the Agency will make a determination of whether the increase in permitted
loading and the resulting lowering of water quality is important for social or economic
development in the area where the waters are located. These determinations will be made
on a case-by-case basis using best professional judgment. The applicant's demonstration
of importance will need to be reasonable, meaning that estimation methods for net
positive and negative impacts need to be adequately explained and the conclusions need
to be supported by information readily accessible for the Agency's review. The Agency
will use information provided by both the applicant, and that received through the public
participation and intergovernmental cooperation process, in its decision" In its
determination the Agency will compare:
. An estimate of the net positive social, economic and environmental changes to be
realized through the proposed activity, including but not limited to the number
and types of new jobs developed and the tax revenues generated.
. An estimate of the net negative social, economic and environmental changes of
the proposed activity, including but not limited to lowered recreation, tourism, or
other commercial opportunities, impacts on aquatic organisms, aquatic habitat and
wildlife, loss of assimilative capacity for future industry and development,
increased water treatment costs or reduced downstream property values.
The public participation and intergovernmental cooperation requirement in the Tier
2 review process provides a way to receive input regarding activities that have the
potential to lower water quality through increases in permitted loading. This process will
allow the public and affected government agencies the opportunity to comment on the
alternatives analysis and the demonstration of importance for social or economic
development.
Where possible, opportunity for comments will be provided early in the planning process.
For example, comments may be solicited during the facility planning stage for waste
water treatment operations requiring individual permits. This may be achieved through
the public hearing requirement found in Minn. R. chapter 7077.0272. For general
permits, where the alternatives analysis is conducted by the Agency during general
permit development, there will be opportunity to comment on the selection of alternatives
(Le. permit conditions) that avoid or minimize net increases in loading.
Any application for authorization to increase net permitted loading and thus lower high
water quality must include information regarding the selection of the least degrading
3 Available assimilative capacity is the difference between the water quality criterion ofa
pollutant parameter and the ambient water quality for that pollutant parameter where it is better
than the criterion.
3
94
Draft, 7/19/10
alternative and the demonstration of importance. This information will be posted on the
Agency's website when the complete application is submitted. Further opportunity for
comment is provided when the draft permit is noticed, following procedures outlined in
Minn. R. chapter 7001.0110.
What is the relationship between the protection of Outstanding Resource Value Waters
(ORVWs) and Tier 2 protection?
Increases in loading to Prohibited Outstanding Resource Waters (P-ORVWs) beyond that
allowed as of the date of designation will not be permitted unless its impact is short term
and temporary4 in nature. Because increased loading that causes long term degradation is
not permitted to P-ORVWs, Tier 2 implementation does not apply to these waters.
However, Tier 2 implementation procedures are required for activities impacting Unlisted
Outstanding Resource Waters (UL-ORVWs) and Restricted Outstanding Resource
Waters (R-ORVWs) where they are of high quality. Where water quality is allowed to be
lowered, through the Tier 2 review process, the special attributes or characteristics that
make the water a UL-ORVWs and R-ORVWs must be maintained (not degraded).
What is the relationshi{J between restoration or impaired waters and Tier 2 protection?
Activities impacting waters with an approved TMDL must follow the TMDL and protect
existing uses. Activities impacting impaired waters without an approved TMDL must not
contribute to the impairment. Existing uses must not be removed by any activity
impacting an impaired water.
4 The revised rule will allow for temporary (weeks, months) lowering of water quality.
Applications for temporary degradation will be considered on a case-by-case basis, be protective
of existing uses, limit water quality changes to the shortest possible time, consider non- and
minimally-degrading alternatives, consider time intervals between activities that cause temporary
lowering of water quality, and require public participation.
The expectation is that after the temporary activity causing the water quality degradation has
ended water quality will return to the previous water quality levels.
Missouri's recently-adopted rule is a good example of what Minnesota is likely to adopt. The rule
defines temporary degradation as it applied to Tier 3 protection as:
''Degradation that is non-permanent and the effects can be regarded as insignificant following a
review of the: a) length of time during which water quality will be lowered, b) percent change in
ambient conditions, c) parameters affected, d) likelihood for long term water quality benefits to
the segment (e.g., as may result from dredging of contaminated sediments ), e) degree to which
achieving the applicable Water Quality Standards (WQS) during the proposed activity may be at
risk, and f) potential for any residual long-term influences on existing uses."
4
95
Minnesota Pollution Control Agency
520LafayetteRoadNorth I 5t,Paul,MN55155-4194 I 651-296-6300 I 800-657-3864 I 651-282-5332 m I www.pca.state.mn.us
July 12,2010
Re: Permit Application Fee
Dear Permit Holder:
The Minnesota Pollution Control Agency (MPCA) enacted new rules increasing permit application fees
(Minnesota Rules 7002) on March 15,2010. In addition, 2009 Session Law Chapter 37 requires these fee
rules be retroactive to July 1,2009.
You submitted an application far a permit after July 1,2009, and paid the applicable fee at that time. Due
to. the new permit application fee rules and session law, the MPCA is required to. invoice yau far
increased permit application fees. The enclased invaice is specific to yaur ~ubmitted application. The
invoice must be paid within 30 days or late fees will be assessed.,Please submit your payment and a copy
of the enclosed invoice to the address listed an the invaice.
Additional infarmatian regarding the increased fees can be faund an the Internet at Application Fee
Guidance and at MPCA Water Ouality Permit Fees. Ifyau have questions concerning this invoice, please
contact Jennie Olson at iennie.olson@state.mn.us or 65I-757-2107'or Deb Lindliefat
deb.lindlief@state.mn.us or 218-320-6652.
Sincerely,
~
Myrna M. Halbach, P .E.
Divisian Director
Operational Support Divisian
MMH:ja
Enclosure
St. Paul I Brainerd I Detroit Lakes I Duluth I Mankato I Marshall IOOhester I Wlllmar I Printed on 100% post-consumer recycled paper
Minnesota Pollution Control Agency
Permitted Facility, General Permit
Industrial Permit Application Fee (General Permit)
Invoice: 4400082115
Walnut Street Construction
ATTN: Mr. Jen DuIlum
430 3rd St
Farmington, MN 55024
USA
[ ] New Billing Contact, if changed: '
Account Number:
--------------- Minnesota Tax ID
Federal Tax ID
Invoice Date:
Due Date:
-------- Pay This Amount:
Amount Enclosed:
Submit payment with this stub to Minnesota Pollution Control Agency.
Remit by check or money order to
Minnesota Pollution Control Agency, 520 Lafayette Road, St. Paul, MN 55155-4194 with the above stub.
Minnesota Pollution Control Agency
Invoice
Permitted Facility, General Permit
Industrial Permit Application Fee (General Permit)
Company:
Walnut Street Construction
Account Number:
Invoice Number:
Invoice Date:
Due Date:
Location:
See location description Farmington, MN
55024
Amount Due:
MNG790168
8022052
416005151
7/12/2010
8/1112010
$890.00
.
--
890 00
MNG790168
4400082 II 5
7/1212010
8/1112010
$890.00
Inter-agency payments may be made
through MAPS:
Fund 330
Agency R32
Org 1210
Rev. Src. 5692
10
Amount Due
$1,240,00
$890.00
Fees are due by the due date ofthis invoice, A late fee of 10% will be added for all payments that are 60 days late. An additional 10%
may be added for each subsequent 30 days past due. Questions: call 651-757-2123.
97
,,!
MPCA Water Quality Permit Fees
Page 1 of 4
\'
, '
Minnesota Pollution Control Agency I http://www.pca.state.mn.us/
719
Home > Water, > Permits and Rules >' Water Permits and Forms
MPcA Water Qua.lity Permit Fees
Minnesota businesses, organizations and ml:Jnlclpalities (or those produclng domestic
wast~) that hold MPCA water quality ~astewater permits are charged two basic types of
permit fees: application fees and annual fees.
ON THIS PAGE
Application Fees
Annual Fees
. Application fees, are determined based on a point system. Points are assigned to a
permit actton In accordance with specific activities that are required as part of the
applicatlc:lO process. A dollar per point value is then lised to determine the actual fee
amount. Points are assigned in two categories: application points and additional
points ,
1. Application points are assigned based on the type of pertnJt action and the type
of work necessary to complete the permit action.
2. Additional points are assigned to permit actions based on the size of the project and as a result of
additional activities that are necessary based on a specific flow volume ,
Modification Fees
Links
Information/Questions
. Annual fees, are billed to permit holders each year. The amount of the fee depends upon the type of permit,
and flow capaCity of the facility. '
The statutory basis for application and annual fees is found in Minn. Stat. 116.07, subd. 4d. Basic permit fee
requirements can be found In Minn. Rules Ch. 7002. ~
Applica~jon Fees " .
Application points fees reflect the level of effort requirement to process the different types of permit applications'
, and develop a pe~it that 'complles with applicable regulations. Application points fees must be submitted with the
application.
Table 1. Water Qual~ty Wastewater Permit Application Points Fees
~-
Facility Type Application Points (1
P~lnt=$310)
-
Transfer/Name Change 0
Permit Termination 0 I
I
I
I Sewer ExtensIon, Flow Increase of 0 to 0.10 million gallons per day (mgd) 1 _J
L.__.____
I I
~ Sewer Exte,nsion, Flow Increase Greater thaI) 0.10 to 1:0 mgd 2
r- ---i
: Sewer Extensions, Flow Increase Gre~ter than 1.0 mgd 3 I
:
j General Permit Coverage --"1
4 I
~'
Geheral Permit Modification 4 I
Indlvid,ual Permit Reissuance 4
!
98 ,.'
http://www.pca.state.mn.us/index. php/water/water-permits-and-rules/water-permits-arid- fa... 6/25/2010
MPCA Water Quality Permit Fees
Page 2 o~4
Individual Permit Minor Modification 4 i
I
I
.,'
Individual Permit major Modification (no construction 8
! Individual Permit Major Modification, Construction, No Increased Design 8
Flow
-
Individual Pretreatment Permit 8
Individual Dredge Permit 8
Individual Permit Major Modification, Construction, Increased Des(gn Flow 30 i
!Individual ~astewater Permit Issua'nc~ , 30
I Individual Biosollds Treatm~nt or Storage Permit Issuance 30
I
Additional Points Appll~atlon Fees. Additional points application fees for specific permit actions reflect the
additional work effort needed to accomplish specific reviews. The fees will be billed to the applicant at the time the
permit)s placed on public notice. The additional points application fe~s must be paid before the permit will be
issued, reissued or modified.
Table 2. Water Quality Wa~tewater Permit Application Additional Points Fees
Additional Required Application Work
Additional Application Fee Points (1 Polnt=$310)
Individual Permit New or Increased Maximum Dally or Average Wet Weather D~lgn Flow (Not applicable to non-
contact cooling water discharges and not due to mine pit or quarry de-watering or sewer extensions):
1. Increase from 0.0 to 0.20 mgd (0 points)
2. Increase from 0;20 to less than 1.0 mgd (5 points)
3. Increase from 1.0 to less than 5.0 m~d (10 points)
4. Increase from 5.0 to less than 20.0 mgd (20 points)
5. Increase,from 20.0 to less tha,n sq.o mgd (30 p!'lnts).
6 Increase from 50 0 mgd or more (40 points) .
i
Individual Permit with Noncontact Cooling Water Discharge New or Increased Flow
1. Noncontact Cooling Water Flow Increase less than 50 mgd (5 points)
2. Noncontact Cooling Water F:low Increase equal to or greater than 50 mgd (20 points)
Antidegradatlon Review required under Minn. R. 7050.0180, 7050.0185, 7050.0186 or 7052.0300 to 7052.0330
(20 points) .
Va'rlance Request under Minn. R. 7000.7'000 or 7020.1900 (20 points)
Confidentiality Request under Minn. R. 7000.1300 (applicable any time request Is made) (2 points) I
Mandatory Envir.onmental Assessment Worksheet (EAW) under Minn. R. 4410.4300 where MPCA Is the
responsible government unIt. (If applicable to both AQ and WQ, check with AQ to verify cost. Perml~ee to pay
. ' 99 . .
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MPCA Water Quality Permi~ Fees
Page 3 of4
lower of the' two fees.)
1. Complete EAW under Minn. R. 441Q.4300, sJ.lbp. 18 Item A or 29 (15 points)
2. Complete EAW under Minn. R. 4410.4300, subp. 8 Item A or B, 10 Items A to C, 16, item A or D; 17 items A to
Cor E to G; or 18 Item B or C (35 points)
3. C,omplete EAW under Minn. R. 4410.4300 subp. 4; 5 item A or B; 13; 15; 16 item B or C; or 17 Item D {70
points}
Annual Fees
like applicatlqn fees, annual fees vary and are dependent upon the type of permit. Annual fees can also depend on
the design flow or design capaclty, for the different types of wastewater treatment facilltles.
Table 3. Water Quality Wastewater Permit Annual Fees
~-'----.-'l .
: Major/Non ,! Facility Type
.,... ,.,.__,...L
General
Major
Major
Major
Design Flow
Annual Fee
. Generals (not including Stormwater General)
N/A
$345.00
Munlclpal
50+ MGD
$175,500.00
Municipal
$40,350.00
20 - 49.99 MGO
Munlclpal
5 -19.99 MGO
$14,350.00
Upto 4.99 MGO
Major Municipal
20 - 49.99 MGD
I ' Major I IndustrIal
~_...,.,-,-,_.~+--_.---,. '"
, Major ,: Industrial
;
~.~.. __" A.....;
1
I
Major
Major
Nonmajor
Norimajor
; Nonmajor
"
r---'''-
: Nonmajor
Nonmajor
Nonmajor,
.- -
5 -19.99 MGD
Industrial
Up to 4.99 MGO
$8,450.00
Inclustrlal- Cooling/Mine Pit Dewatering
Any flow
$16,900.00
$1,450.00
Municipal.
> 100,000 GD
Municipal
. 0 - 100,000 GO
$505.00
i
i MunicJpal- Sewage sludge/Landspread only
; ,
I Industrial
N/A
N/A
$500J
$1,230.00 I
Non-munlclpaISeY"age
$495.00
0-100,000, GO
Non-municipal Sewage
> 109,000 GD
$1,230.00
Helpful Links .
The following links provide additional Information regarding the Minnesota Water Quality Permitting Program.
. Minnesota Rule 7002 ma-
100
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MPCA Water Quality Permit Fees
Page 4 of 4
. Water Quality Permit AppHcation and Miscellaneous Forms
. Wastewater
. Stormwater Program
. Feedlot Program
For More Information or Questions
Understandrng what fee must be submitted with your permit appffcatrons, or how your annual fee bill was derived
can be confusing and frustrating. If you have questions about which appffcation fees apply to you, your permit
appffcatlon or the purpose of t~e fees or annual fee bill, please contact the MPCA at 651-296-6300, or toll free at 1-
800-657-3864.
Minnesota Pollution Control Agency I 651-296-6300,800-657-3864 I webteam,pca@state.mn.us
101
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IOh
City of Farmington
430 Third Street
l:armington, Minnesota
651.280.6800. Fax 651.280.6899
www.ci.mrmingttm.TIlll.LL.l
TO:
Mayor, Council Members,
City Administrator
FROM:
Lee Smick, City Planner
AICP, CNU
SUBJECT:
Adopt Ordinance - Woodland & Tree Preservation
DATE:
August 16, 2010
INTRODUCTION
The recently approved Natural Resources Inventory [NRI] recommended that the City review its environmental
ordinances. It was determined by staff that the most pressing ordinance that needed to be reviewed was
regarding tree preservation.
DISCUSSION
Attached is a proposed ordinance amending Section 10-6-11 of the City Code regarding Tree Preservation. The
proposed ordinance applies to new development in all zoning districts, new building construction, expansion of
existing commercial, industrial or institutional buildings, and any project that requires a city land disturbance
permit. Also attached, is a memorandum prepared by Sherri Buss of the consulting frrm TKDA that highlights
the key sections of the proposed ordinance along with a map showing proposed tree bank locations.
The Planning Commission reviewed this ordinance in draft form on July 21, 2010 at a work session and
recommended approval of it at its meeting on August 11,2010 with a 4-0 vote.
ACTION REOUESTED
Adopt the attached ordinance amending Section 10-6-11 ofthe City Code regarding Tree Preservation.
Respectfully submitted,
Lee Smick, City Planner
AICP, CNU
102
CITY OF FARMINGTON
DAKOTA COUNTY, MINNESOTA
ORDINANCE NO.
AN ORDINANCE AMENDING SECTION 10-6-11 OF THE
ZONING CODE CONCERNING WOODLAND AND TREE PRESERVATION
THE CITY COUNCIL OF THE CITY OF FARMINGTON ORDAINS:
SECTION 1. Section 10-6-11 is amended by adding the underlined language below and deleting the
strikethrough language as follows:
SECTION 10 -6-11: WOODLAND AND TREE PRESERVATION:
(A) Intent: It is the intent of the city of Farmington to preserve '.voeded areas throoglKmt the eity aBd '.vith
respeet to future site developmoot, to retam, as :far as pmetieable, substantial existing tree eovel'.
protect. preserve and enhance the natural environment of Farmington. to encourage a resourceful and
prudent approach to the development of wooded areas. and to retain. as far as practicable. substantial
existing tree cover. The city recognizes the value of trees and woodlands for improving air quality.
protection against wind and water erosion. shade. energy conservation. wildlife habitat. scenic beauty.
and protecting the integrity of the natural environment.
(B) Credit For Existing Trees: Credit for the retention of eKisting trees '.vhieh are of aeeeptable speeies,
size and loeation may be giVeR to satisfy the :millimum number requirements set forth in this ehapter.
@l Definitions
Unless specifically dermed below. words or phrases used in this chapter shall be inter:preted so as to
give them the same meaning as they have in common usage and to give this chapter its most
reasonable application.
COMMON TREE: includes Ash. Aspen. Box Elder. Cottonwood. Elm. Hackberry. Locust. Poplar.
Silver Maple. Willow. and any other tree species not dermed as a hardwood deciduous tree or a
coniferous/evergreen tree.
CONIFEROUSIEVERGREEN TREE: a woody plant. which. at maturity. is at least twelve (2) feet
or more in height and has foliage on the outermost portion of the branches year-round. Tamaracks
(Larch) are included as a coniferous tree species.
CONSTRUCTION ACTIVITY: a disturbance to the land that results in a change in the topography.
existing soil cover (poth vegetated and non-vegetated). or the existing soil topography that may result
in accelerated storm water runoff. leading to soil erosion and movement of sediment into surface
waters or drainage systems. Examples of construction activity may include clearing. grading. filling.
excavating. building construction and landscaping.
CONSTRUCTION DAMAGE: any action such as filling. scraping. trenching or compacting the soil
around trees or wounding trees in such a manner that it may result in the eventual death of the tree.
1
103
CRITICAL ROOT ZONE: an imaginary circle surrounding the tree trunk with a radius distance of
one (1) foot per one (1) inch of tree diameter. e.g.. a twenty (20) inch diameter tree has a critical root
zone with a radius of twenty feet.
DECIDUOUS TREE: a woody plant which. at maturity. is at least fifteen (15) feet or more in height.
has a defmed crown. and sheds leaves annually.
DIAMETER: the diameter of the main stem ofthe tree at a point four and one-half (4.5) feet above
the ground.
DRIP LINE: the farthest distance away from the trunk of a tree that rain or dew will fall directly to
the ground from the leaves or the branches of the tree.
HARDWOOD DECIDUOUS TREE: includes Birch. Basswood. Black Cherty. Catalpa. Hickory.
Ironwood. Hard Maples. Oak and Walnut.
LANDSCAPING: means plantings such as trees. grass and shrubs.
INVASIVE TREE SPECIES: a tree species that is non-native to the ecosystem and whose
introduction causes economic or environmental harm. Invasive tree species include. but are not
limited to Common Buckthorn (JU1amnus cathartica). Glossy Buckthorn (Rhamnus frangula).
Tartarian Honeysuckle CLonicera tatarica). AInur Maple (Acer ginnala). and Siberian Elm (Ulmus
pumila).
NUISANCE TREE:
(1) Any living or standing tree or part thereof infected to any degree with a shade tree disease or
shade tree pest.
(2) Any logs. stumps. branches. firewood. or other part of dead or dying tree( s) infected with a
shade tree disease or shade tree pest unless properly treated under the direction of the city
forester-tree inspector.
(3) Any standing dead trees or limbs which may threaten human health or property.
SHADE TREE DISEASE: includes Dutch elm disease (Ophiostoma ulmi). oak wilt (Ceratocystis
fagacearum). or any other tree disease of ~idemic nature.
SHADE TREE PEST: includes Emerald Ash Borer (Agrilus planipenis). European Elm Bark Beetle
(Scolytus multistrialus). Native Elm Bark Beetle (}Iylurgopinus rufipes) or any other shade tree pest
with potential to cause widespread damage.
SIGNFICANT TREE: a healthy tree measuring a minimum of six (6) inches in diameter for
hardwood deciduous trees. eight (8) inches in diameter for coniferous/evergreen trees. or twelve (12)
inches in diameter for common trees. as defined in this section.
SIGNFICANT WOODLAND: a treed area of at least 15.000 square feet or more which includes
significant trees.
SPECIMEN TREE: a healthy hardwood deciduous tree measuring equal to or greater than thirty (30)
inches in diameter.
WOODLAND PRESERVATION PLAN: a plan pr~ared by a certified forester or landscape
architect that clearly shows which trees on a site are to be preserved. and what measures will be taken
2
104
to preserve them. The plan will also include calculations to determine the number of rt4'lacement
trees required.
(g Wooded ;\rea Restrietions: The f-oUe',ving restrietions shall apply to all developmeat oeemring in
'Nooded areas:
1. 8truetw"es shaH be loeated in SlieR a mmmer that the maximam number of trees shall be preserved.
2. Prior to granting ofa final plat, deyelopment plan, or bWlding permit, it shall be the duty efthe
person seeking the permit to demoR5t1'ate that there are no feasible or p1'1:ldent alternatives to the
eutting of trees on site.
3. Forestation, reforestation or landseaping shall utilize a variety eftree speeies as identified in this
chapter .
4. Development ineluding grading and eontooring shall take plaee in sueh a maBBer that the root
zone aeration stability of eKisting trees shan not be affeeted. Trees te be preserved shall be staked
as pro>,ided in this ehapter.
Notwithstanding the abcy:e, the remo':al of trees serioosly damaged by storms, er other natural
causes, shall not be prohibited. (Ord. 002 469,2 19 2002)
(g Applicability
.L Woodland Preservation Plan. A Woodland Preservation Plan shall be submitted to and approved
by the city. and implemented in accord with the plan in connection with any ofthe following:
00 New development in any zoning district
@ New building construction in any zoning district
liU Expansion of any existing commercial. industrial or institutional building where an approved
tree preservation plan is not on file with the city
@ Any project for which a city land disturbance permit is required
Uti Any Landscape Plan as required by Section 10-6-10 oHhis Chapter when significant trees or
significant woodlands exist in the proposed construction zone
2. Woodland Preservation Plan Requirements. The Woodland Preservation Plan shall reflect the
developer's best effort to determine the most feasible and practical layout of buildings. parking
lots. driveways. streets. storage and other physical features. so that the fewest significant trees
and/or smallest area of significant woodland are destroyed or damaged. The Woodland
Preservation Plan shall be a separate plan sheet( s) that include the following information:
00 The name and address of the applicant. and status of the applicant with respect to the land.
@ The name. telt4'hone number(s) and address of the person responsible for tree preservation
during the course of the development proiect.
liU Written consent of the owner of the land. if the applicant is not the owner.
3
105
@ Location of the property. including a street address and legal description.
Uti Boundary lines of the property with accurate dimensions as established by survey.
ill. Location of all existing and proposed structures. roads. utilities and driveways on the site.
(g) A tree inventory. indicating the size. species. general health. and location of all existing
significant trees. specimen trees and significant woodlands located within the area to be
developed or within the parcel of record. All significant trees and specimen trees must be
tagged in the field for reference on the tree preservation plan. These significant trees should
be identified on the plan sheet in both graphic and tabular form.
@. Trees that were planted as part of a commercial business such as a tree farm or nursery do not
need to be inventoried on an individual basis. A general description of the trees and an outer
boundary of the planted area must be provided. The burden of proof shall be on the applicant
to provide evidence to support the finding that the trees were planted as part of a commercial
business.
ill A listing of the total diameter inches of healthy significant trees inventoried in item (c) above.
Dead. diseased or dying trees and invasive tree species do not need to be included in the
totals.
ill A listing of the total diameter inches of healthy significant trees proposed to be removed.
total diameter inches of healthy hardwood deciduous trees to be removed. total diameter
inches of healthy coniferous/evergreen trees to be removed. and total diameter inches of
common trees to be removed.
00 Outer boundaries and areas (acres) of all contiguous wooded areas or significant woodlands.
with a general description of the natural community type or predominant canopy tree species
not meeting the significant tree size threshold.
ill Locations of the proposed buildings. structures. or impervious surfaces.
(m) Delineation of all areas to be graded and limits ofland disturbance. showing one-foot or two-
foot contour intervals.
(ill Measures proposed to be implemented to protect significant trees and specimen trees.
including required protective measures and any additional protective measures as identified in
this chapter.
(Ql Size. species. number and location of all replacement trees or woodlands to be planted on the
property' in accord with the tree r~lacement schedule. R~lacement trees or woodlands shall
not include Invasive Tree Species.
till Signature and qualifications of the personCs) pr~aring the plan. The plan shall be certified
by a forester. ecologist. landscape architect or other qualified professional retained by the
Applicant.
3. Submission requirements. The Woodland Preservation Plan shall be submitted with any
preliminary plat plan. site plan or landscape plan. as required by the regulations of this code: or
4
106
incorporated as part of a grading plan and application for any grading permit as required by this
code.
4. Implementation. All sites shall be staked. as depicted in the approved tree preservation plan. and
the required tree protection fencing shall be installed before land disturbance is to commence. The
city shall inspect the construction site prior to the beginning of the land disturbance to ensure that
protective fencing and other protective measures are in place. No encroachment. land disturbance.
trenching. filling. compaction or change in soil chemistry shall occur within the fenced areas
protecting the critical root zone of the trees to be saved.
5. Allowable tree removal. Up to thirty (30) percent of the diameter inches of significant trees on
any parcel of land being: developed may be removed without replacement requirements.
Replacement according to the tree replacement schedule is required when removal exceeds more
than thirty (30) percent of the total significant tree diameter inches.
The following types of trees do not need to be included as part of the tally of tree removals:
W Dead. diseased. or dying trees
au Trees that are transplanted from the site to another appropriate area within the city
liD. Trees that were planted as part of a commercial business such as a tree farm or nursery
@ Invasive Tree Species
6. Mitigation. In any development where the allowable tree removal is exceeded. the applicant shall
mitigate the tree loss by:
W Planting replacement trees in appropriate areas within the development in accordance with
the tree replacement schedule: or
au Planting replacement trees on city property under the direction of the parks and recreation
director or natural resource specialist: or
liD. Paying the city the fee set forth in the fee schedule adopted by City Council by ordinance.
The payment shall be deposited into an account designated specifically for tree planting.
7. Tree replacement calculations. Thirty (30) percent ofthe total diameter inches of significant trees
on the site may be removed without replacement. The allowable thirty (30) percent removal is
first credited to the common trees removed. then the conifers. and lastly the hardwood species.
The following calculation procedure must be used to determine tree placement requirements:
W Calculate thirty (30) percent of the total diameter inches of significant trees on the site. This
is the allowable tree removal limit. or the number of inches that can be removed without
replacement.
au Subtract the total diameter inches of common tree species that will be removed from the
allowable limit.
5
107
@ If there are any allowable inches left. subtract the total diameter inches of
coniferous/evergreen tree species that will be removed from the remaining allowable inches.
@ If there are any allowable inches left. subtract the total diameter inches of hardwood
deciduous tree species that will be removed from the remaining allowable inches.
If at any point in the above calculation procedure the number of inches to be removed exceeds the
thirty (30) percent allowable removal limit. the remaining inches of removal above the allowable
limit must be r~laced according to the tree r~lacement schedule in Item 8 below.
8. Tree r~lacement schedule. Tree removals over the allowable tree removal limit on the parcel
shall be r~laced according to the following schedule:
.uu Common tree species shall be r~laced with new trees. at a rate of one-eighth 0/8) the
diameter inches lost (Le. one inch diameter of replacement trees for each eight inches of tree
diameter lost). Replacement trees must be a minimum of one 0) inch diameter.
.au Coniferous/evergreen species shall be r~laced with new trees. coniferous or deciduous. at a
rate of one-fourth (1/4) the diameter inches lost (Le.. one inch diameter of replacement trees
for each four inches of tree diameter lost). Replacement trees must be a minimum of one (1)
inch in diameter. Since coniferous species are often sold by height rather than diameter inch.
the following conversion formula can be used:
Height ofR~lacement Coniferous Tree!2 = Diameter Inches of Credit
@ Hardwood deciduous tree species shall be replaced with new hardwood deciduous trees at a
rate of one-half 0/2) the diameter inches lost (Le.. one inch diameter of r~lacement trees for
each two inches of tree diameter lost). R~lacement trees must be a minimum of one (1) inch
in diameter.
9. Significant Woodland r~lacement. All significant woodlands removed must be replaced by the
Applicant. The number ofr~lacement trees shall be determined by either of the following
methods. Either method of replacement may be used when the number of r~lacement trees
required is equal. or the Applicant shall utilize the method that yields the greater number of
replacement trees:
.uu R~lacement of significant trees within the significant woodland that are da.maged or
destroyed. per the tree r~lacement schedule described in Section 7 above.
.au Replacement for every 125 square feet of significant woodland damaged or destroyed. or
increment thereof. with:
.1. One (1) deciduous tree of at least 4 caliper inches or one (1) coniferous tree at least 12
feet tall: or
2. Two (2) deciduous trees of at least 2.5 caliper inches or two (2) coniferous trees at lest 6
feet tall: or
3. Four (4) deciduous trees of at least 1.5 caliper inches or four (4) coniferous trees at least 4
feet tall.
6
108
llU Trees planted to r~lace significant woodlands must be arranged in stands to provide a habitat
similar to the damaged or destroyed habitat. An appropriate native understory seed mix must
be planted along with the r~lacement trees.
10. Species requirement. The city must approve all species used for tree r~lacement. Ornamental
trees are not acc~table for use as r~lacement trees. Where ten or more r~lacement trees are
required. not more than thirty (30) percent of the r~lacement trees shall be of the same species.
.l.1. Warranty requirement. Any r~lacement tree which is not alive or healthy. as determined by the
city. or which subsequently dies due to construction activity within two years after the date of
proiect closure shall be removed by the applicant and r~laced with a new healthy tree meeting the
same minimum size requirements within eight (8) months of removal.
12. Performance Guarantee. The Applicant shall provide the required performance guarantee
following preliminary approval of the Woodland Preservation Plan. and prior to any construction
and/or grading. The amount of the performance guarantee shall be based on the city's fee
schedule.
.u.. Required protective measures. The Woodland Preservation Plan shall identifY the measures to be
utilized to protect significant trees. The following measures are required to be utilized to protect
significant trees:
W Installation of snow fencing or polyethylene laminate safety netting placed at the drip line or
at the perimeter of the critical root zone. whichever is greater. of significant trees. specimen
trees. and significant woodlands to be preserved. No grade change. construction activity. or
storage of materials shall occur within this fenced area.
ill Identification of any oak trees requiring pruning: between Apri115 and July 1. Any oak trees
so pruned shall be required to have any cut areas sealed with an appropriate nontoxic tree
wound sealant.
llU Prevention of change in soil chemistry due to concrete washout and leakage or spillage of
toxic materials. such as fuels or paints.
@ Removal of any nuisance trees located in the areas to be preserved.
14. Additional protective measures. The following measures to protect significant trees that are
intended to be preserved according to the submitted tree preservation plan may be required by the
city:
W Installation of retaining walls or tree wells to preserve trees.
ill Placement of utilities in common trenches outside of the drip line of significant trees. or use
of tunneled installation.
llU Use of tree root aeration. fertilization. and/or irrigation systems.
@ Therapeutic pruning.
.li.. Incentives for woodland protection. As an incentive to protect contiguous wooded areas. the city
will allow the following:
7
109
00 Density transfer. Density of units that would be allowed in a protected woodland area may be
transferred to other areas of the development. in excess of the density limits of the underlying
zoning district. In order for the density transfer to be approved. the protected woodland must
be permanently dedicated to the city.
.all Unit bonus. For each acre of wooded area preserved and permanently dedicated to the city
over and above the normal ten percent parkland dedication. the developer will be allowed an
additional unit above the original unit allocation.
W Developers that own parcels without trees may dedicate appropriate areas of their plats as
''tree bank" areas. These areas would be available to acc~t trees planted as mitigation for
tree removals from other sites. For each acre of ''tree bank." area permanently dedicated to
the city over and above the normal parkland dedication. the developer will be allowed an
additional unit above the original unit allocation. The dedication may include establishment
of a fund for maintenance of the tree bank. based on the recommendation of the park and
recreation director or the natural resource specialist. The areas proposed to be dedicated to a
tree bank. must be consistent with the city's comprehensive plan provisions for greenway
opportunities. park plans. etc.. or must be adiacent to or provide an enhancement to existing
park facilities. Property dedicated must be useable upland (not wetlands. ponds or utility
easements. etc.). The city retains the right to determine whether or not it will accept the
property proposed to be dedicated for a tree bank.
lQ.. Compliance with the Woodland Protection Plan. The Applicant shall implement the Woodland
Preservation Plan prior to and during any construction. The woodland protection measures shall
remain in place until all land disturbance and construction activity is terminated or until a request
to remove the woodland and tree protection measures is made to. and approved by. the city.
00 No significant trees shall be removed until a woodland preservation plan is approved and
exc~t in accordance with the approved tree preservation plan as approved by the city. If a
significant tree(s) intended to be preserved is removed without permission of the city or
damaged so that it is in a state of decline within one year from the date ofproiect closure. a
cash mitigation. calculated per diameter inch of the removed/destroyed tree in the amount set
forth in the city fee schedule. shall be remitted to the city.
.all The city shall have the right to inspect the development and/or building site in order to
determine compliance with the approved woodland preservation plan. The city shall
determine whether compliance with the woodland preservation plan has been met.
17. Existing developed commercial properties
00 Trees that are removed that were part of an approved landscape plan must be r~laced in
accordance with the original landscaping plan. unless city approval is obtained for an
alternative landscape plan.
.all Trees that are removed that were part of a designated woodland preservation area must be
r~laced in accordance with the tree r~lacement requirements outlined in this chapter. The
thirty (30) percent allowable tree removal limit does not apply in these situations.
8
110
18. Exceptions
W Exception standards. Notwithstanding the city's desire to accomplish the tree protection
goals outlined in this chapter. there may be instances where these goals are in conflict with
other city objectives. These conflicts are most likely to occur on smalL heavily wooded
parcels. At the discretion of the City Council. exceptions may be granted if all of the
following conditions exist:
ill The subject parcel is five acres in size or less.
ill It is not feasible to combine the subject parcel with adjacent parcels that could use the
parcel as required green space.
m Strict adherence to the requirements of the tree ordinance would prevent reasonable
development that is consistent with the comprehensive plan and desirable to the city
on the parcel
@ The exception requested is the minimum needed to accomplish the desired
development.
Qll If an exception is granted. relief from the requirements of the ordinance may take the form of
reduced mitigation requirements. greater allowable tree removal. higher thresholds for
determining significant trees or any combination of the above. The City Council will approve
the form of relief that best balances the objectives of the city and tree preservation.
SECTION 2. Effective Date: This ordinance shall be effective upon its passage and publication
according to law.
ADOPI'ED this
day of
.2010, by the City Council of the City of Farmington.
CITY OF FARMINGTON
By:
Todd Larson, Mayor
ATTEST:
By:
Peter Herlofsky, Jr., City Administrator
SEAL:
Approved as to for the
day of
. 2010.
By:
City Attorney
Published in the Farmington Independent the
day of
.2010.
9
111
CITY OF FARMINGTON
DAKOTA COUNTY, MINNESOTA
SUMMARY OF ORDINANCE NO.
AN ORDINANCE AMENDING SECTION 10-6-11 OF THE ZONING CODE
CONCERNING WOOKLAND AND TREE PRESERVATION
NOTICE IS HEREBY GIVEN that, on August 16,2010, Ordinance No. was
adopted by the City Council of the City of Farmington, Minnesota.
NOTICE IS FURTHER GIVEN that, because of the lengthy nature of Ordinance No.
, the following summary of the ordinance has been prepared for publication.
NOTICE IS FURTHER GIVEN that the intent of the ordinance is to protect, preserve
and enhance the natural environment of Farmington, and to provide a woodland preservation
plan and requirements.
A printed copy of the whole ordinance is available for inspection by any person during
the City's regular office hours.
APPROVED for publication by the City Council of the City of Farmington this 16th day
of August, 2010.
CITY OF FARMINGTON
By:
Todd Larson, Mayor
ATTEST:
By:
Peter J. Herlofsky, Jr., City Administrator
SEAL
Approved as to form the _ day of August 2010.
By:
City Attorney
Published in the Farmington Independent the _ day of
2010.
112
TKDA
444 Cedar Street, Suite 1500
Salnt Paul, MN 55101.2140
ENGWEERS.ARCH~.PLANNERS
(651) 292-4400
(651) 292.0083 Fax
www.tkda.com
MEMORANDUM
To:
Farmington City Council
Farmington Planning Commission
Lee Smick~ City Planner
Randy Distad~ Parks Director
Sherri Buss~ R.L.A/Senior Planner~ TKDA
July 27~ 2010
Reference: Woodland and Tree
Preservation Ordinance
From:
Date:
Proj. No.: 14412.000
Routing:
BACKGROUND AND PROCESS TO DEVELOP PROPOSED ORDINANCE
The City~s Natural Resource Inventory and Management Plan adopted earlier this year recommended
reviewing and updating the City~s environmental ordinances to implement the plan~s recommendations.
Review of the current ordinances with the City Planner indicated that the existing Tree Preservation section
of the code (#10-6-11) was outdated and was a priority for revision. The Natural Resources Inventory and
Management Plan emphasized the need to protect woodlands as a plant community (as well as individual
trees) and to provide incentives to landowners to preserve woodlands and significant trees.
A draft ordinance was developed and reviewed by the City staff, Parks Commission, and Planning
Commission. Their comments were used to revise the draft. A copy of the proposed ordinance as
recommended by the staff and city commissions is attached. Many parts of the ordinance are based on
woodland preservation ordinances adopted in the last several years in other growing Metro Area
communities~ adapted to meet Farmington~s needs. The basic elements of the ordinance~ such as the
requirements for the tree inventory and woodland/tree replacement plan, are similar to those used in many
communities. The draft includes a few new ideas gleaned from some of the other ordinances that may be
useful in Farmington.
The sections below highlight some of the key sections of the proposed ordinance:
Section (c)l--Annlicabilitv
The proposed ordinance applies to new development in all districts~ new building construction~
expansion of existing commercial~ industrial or institutional buildings~ and any project that requires a
city land disturbance permit.
The proposed ordinance does not apply to existing residences or existing commercial and industrial
buildings that are not proposing expansion. This issue was discussed at length with both the Planning
Commission and Parks Commission. Some City Ordinances do regulate tree cutting on existing
residential and other properties~ particularly the removal of significant trees or large specimen trees.
The Planning Commission and some members of the Parks Commission recommended that the City
not regulate tree removal unless it is part of proposed development or commercial facility expansion.
An Employee Owned Company Promoting Affirmative Action and Equal Opportunity
113
Woodland Preservation Ordinance
City of Farmington
Page 2
July 27,2010
Members felt that this level of regulation infringes on private property rights, and could be a
disincentive to plant trees.
Section C02-Woodland Preservation Plan Reauirements
The requirements for the woodland preservation plan and tree inventory are similar to those of many
growing communities in the Metro Area, including Farmington's neighbors such as Rosemount and
Apple Valley. This section is also very similar to the requirements in communities such as
Woodbury, Maple Grove and Plymouth.
Item #5.
Allowable Tree Removal
Most ordinances allow developers to remove 30-35 percent of trees on a property without a
replacement requirement. This allows for reasonable use of the property without a "penalty." This
ordinance allows up to 30 percent of "significant" trees to be removed-larger numbers of "lower
value" small trees can be removed without replacement. Items 6, 7 and 8 include the replacement
requirements if more than 30 percent of the significant trees are proposed to be removed.
Item #9.
Significant Woodland Replacement Alternative.
This section gives developers two options for determining woodland replacement: an option to
replace trees based on the count of significant trees that would be lost (as described in item #7 and 8,
or to replace the trees on the basis of the square footage area of woodlands that will be impacted. It
requires that if the "woodland" replacement method is used, that trees be arranged to provide a
woodland habitat. This method might produce a better replacement from an ecological sense, and the
calculation may be easier for developers. This alternative is included in other ordinances that seek to
replace woodland habitat rather than individual trees.
Item #15.
Incentivesfor Woodland Protection
This section offers incentives for woodland protection, including density transfers and unit bonuses.
It also develops the concept of a "tree bank" for woodland replacement. These incentives were
included to respond to Planning Commission and Council Member comments on the Natural
Resource Inventory that suggested the community should provide incentives for resource protection,
not just regulation.
The proposed tree banks could be developed on City parks, greenway areas, or within developments.
We are currently working with City staff to map potential locations for tree banks.
Item # 19.
Existing developed commercial properties
This section requires replacement of trees that were removed that were part of an approved landscape
or woodland plan.
114
Woodland Preservation Ordinance
City of Farmington
Page 3
July 27,2010
We will discuss the proposed Woodland and Tree Preservation Ordinance at the Planning Commission
meeting on August 11, and hold a public hearing on the proposed ordinance. It is anticipated that the City
Council will review the proposed ordinance on August 16, 2010.
115
POTENTIAL TREE BANK LOCATIONS
Background Information and Map
The City of Farmington completed an update of its Tree and Woodland Preservation Ordinance in
August, 2010. The Ordinance includes several incentives for developers to protect trees and enhance the
City's woodland resources. These incentives were included in the ordinance at the request of the City's
Planning Commission and Council.
The ordinance allows developers to replace trees that are lost due to development on city properties, such
as parks. The City's Parks and Recreation Director and/or Natural Resource Specialist would approve the
location and plan for the tree bank.
The ordinance also allows the creation of "tree bank" areas within private developments. These areas
would need to be permanently dedicated to the City. The locations must be consistent with the City's
comprehensive plan, greenways plan, and park and trail plans. The areas could be adjacent to existing
park facilities if they would enhance these areas.
The attached map indicates potential areas for creation of tree banks. The map focuses on existing and
future parks and identified greenway areas. Potential locations for tree banks include the following:
. Meadowview Park
. Fairhill Development Community Park area (currently undeveloped)
. Meadow Creek Third Addition Park
. North Creek Park
. North Creek Greenway
. Rambling River Park
. Farmington Preserve Park
. Akin Oaks Greenway
. Middle Creek Greenway (future)
. South Creek Greenway (future)
Tree banks could also be created within private developments. These locations are not identified on the
map, as the locations will depend on the form that developments take and the developer's interest in
development of tree banks. Some criteria that could be used to evaluate the location of tree banks on
private development sites include the following:
. Location within or adjacent to an identified greenway area
. Locations adjacent to a City Park
. Locations adjacent to the Vermillion River or its tributaries where the tree bank would provide
shade for the stream
. Locations adjacent to an existing woodland, wetland or another natural area where the tree bank
would contribute to the habitat in the area
116
City of Farmington Potential Tree Bank Locations
Legend
I
o
I
0,5
J
1 Miles
N
A
------,
: : Potential Tree Bank Locations
1....--
Existing Trails
_ Parks and Open Spaces
Greenways
TKDA
Map Date: August 2010
117 Source: DNR, Metropolitan Council, City of Farmington, Dakota County, TKD
/OQ..
City of Farmington
430 Third Street
hrmington, Minnesota
651.280.6800. Fax 651.280.6899
www.ci.mrmingttm.mn.LL..
TO:
Mayor, Council Members, City Administrator
SUBJECT:
Tony Wippler, Assistant City Planner
Adopt Resolution - Riverbend 3rd Addition Final Plat
FROM:
DATE:
August 16,2010
INTRODUCTION
Mattamy Homes, the applicant, has submitted the Riverbend 3rd Addition Final Plat (Exhibit A) for the
property generally located west of Dakota County Estates and north of the Meadow Creek development in
the northeast comer of the City.
DISCUSSION
The applicant is requesting to Final Plat the northern 17.412 acres of the Riverbend subdivision, which
was originally approved by the City Council in 2005. The submitted final plat consists of 23 residential
lots and 6 outlots.
Preliminary Plat
The preliminary plat for Riverbend 2nd Addition (which included the lots for the Riverbend 3rd Addition
final plat) was reviewed by the Planning Commission and a recommendation of approval was forwarded
to the City Council on November 14, 2006. Subsequently, the City Council approved the preliminary plat
on November 20, 2006.
The approved preliminary plat consists of 78 single-family lots (of which 27 lots were final platted with
the Riverbend 2nd Addition final plat). As previously mentioned, the Riverbend 3rd Addition final plat
consists of23 residential lots of the remaining 51 lots approved in the preliminary plat. A fourth and final
phase consisting of the remaining 28 lots will be final platted at a later date.
Proposed Lot Sizes and Widths
The property is zoned R-2, LowlMedium Density Residential, which requires a minimum lot size of
6,000 square feet and a lot width of 60 feet. All of the lot sizes and widths meet the minimum standards
of the R-2 Zoning District.
Parks & Recreation
The required parkland was previously dedicated with the Riverbend 2nd Addition. Two sections of an 8
foot trail will be constructed on the eastern side of Dunbury Avenue adjacent to lots 1, 13 and 14 Block 2
within this phase. This is the continuation of a trail extending into the parkland located directly south of
the aforementioned lots.
118
Transportation
Dunbury Avenue will be extended north from its current terminus at Upper 18200 Street. A cul-de-sac,
Dunbury Court, will also be constructed with this phase of development. Dunbury Court will be
constructed at 32 feet wide front to front with a 60 foot right-of-way. Dunbury Avenue is classified as a
minor collector and will be constructed at 38 feet wide front to front with a 70 foot right-of-way.
Landscape Plan
An overall landscape plan was approved with the Riverbend 2nd Addition that included the 3rd addition
phase. Boulevard trees will be installed at a 40-foot on center spacing per the previously approved
landscape plan.
Engineering Review
The Engineering Division has recommended approval of the Final Plat contingent upon the satisfaction of
Engineering comments. Those comments have been forwarded to the developer's engineer.
Planning Commission Review
The Planning Commission reviewed the Final Plat on August 11, 2010 and recommended approval of the
Final Plat with a vote of 4-0.
ACTION REOUESTED
Adopt the Resolution approving the Riverbend 3rd Addition Final Plat subject to the following:
1. An executed deed shall be recorded with the fInal plat mylars that transfers ownership of Outlots
A, C, F Riverbend 3rd Addition to the City of Farmington.
2. The Final Plat approval is contingent on the preparation and execution of a Development
Contract.
3. The satisfaction of all engineering comments as well as approval of the construction plans for
grading, storm water and utilities by the Engineering Division.
Respectfully submitted,
Tony Wippler
Assistant City Planner
cc: Mattamy Homes
Plat File
119
RESOLUTION NO. R47-10
APPROVING FINAL PLAT AND AUTHORIZING
SIGNING OF FINAL PLAT
RIVERBEND 3RD ADDITION
Pursuant to due call and notice thereof, a regular meeting of the City Council of the City of
Farmington, Minnesota, was held in the Council Chambers of said City on the 16th day of August,
2010 at 7:00 P.M.
Members Present:
Members Absent:
Larson, Donnelly, Fogarty, May, Wilson
None
Member Fogarty introduced and Member Wilson seconded the following:
WHEREAS, the final plat for Riverbend 3rd Addition is now before the Council for review and
approval; and
WHEREAS, a public hearing of the Planning Commission was held for the preliminary plat on
November 14, 2006 after notice of the same was published in the official newspaper of the City
and proper notice sent to surrounding property owners; and
WHEREAS, the City Council reviewed the final plat; and
WHEREAS, the City Engineer has rendered an opinion that the proposed plat can be feasibly
served by municipal service.
NOW, THEREFORE, BE IT RESOL YED that the above final plat be approved and that the
requisite signatures are authorized and directed to be affixed to the final plat with the following
stipulations:
1. An executed deed shall be recorded with the final plat mylars that transfers ownership of
Outlots A, C, and F Riverbend 3rd Addition to the City of Farmington.
2. The preparation and execution of the Development Contract.
3. The satisfaction of all engineering comments as well as approval of the construction
plans for grading, storm water and utilities by the Engineering Division.
This resolution adopted by recorded vote of the Farmington City Council in open session on the
16th day of August, 2010.
~~
Mayor
SEAL
Attested to the l~-I~ day of August, 2010.
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City of Farmington
430 Third Street
!'armington, J\.1inncsota
651.280.6800. Fax 651.280.6899
www.ci.fdrmington.mn.LL..l
TO: Mayor, Councilmembers and City Administrator
FROM: Randy Distad, Parks and Recreation Director
SUBJECT: Adopt Resolution Making Formal Request of the Farmington School District for
Contributions to the Schmitz-Maki Arena Improvement Project
DATE: August 16, 2010
INTRODUCTION/ACTION REOUESTED
At its August 2, 2010 meeting the City Council requested that City staff prepare a resolution formally
requesting the Farmington School District make a contribution towards covering a portion of the costs
associated with the Schmitz-Maki Arena Improvement Project. Included with this memo is a resolution
that has been prepared by staff. Should approval be given the signed resolution will be sent to the
Farmington School District for its consideration. The action requested is for the City Council to adopt the
attached resolution.
Respectfully Submitted,
Randy Distad,
Parks and Recreation Director
128
RESOLUTION NO. R48-10
MAKING A FORMAL REQUEST TO THE FARMINGTON SCHOOL
DISTRICT FOR A CONTRIBUTION TO THE SCHMITZ MAKI ARENA
IMPROVEMENT PROJECT
Pursuant to due call and notice thereof, a regular meeting of the City Council of the City
of Farmington, Minnesota, was held in the Council Chambers of said City on the 16th day
of August, 2010 at 7:00 p.m.
Members Present:
Members Absent:
Larson, Donnelly, Fogarty, May, Wilson
None
Member Fogarty introduced and Member Wilson seconded the following:
WHEREAS, the City is currently making improvements to the Schmitz-Maki Arena;
and,
WHEREAS, the cost of such improvements is $1,022,186.95; and,
WHEREAS, the School District uses the Schmitz-Maki Arena for its high school boys
and girls hockey team practices and games and also for other educational
purposes.
NOW, THEREFORE, BE IT RESOLVED that the City of Farmington hereby makes a
formal request to the Farmington School District to contribute funds to pay for a portion
of the costs associated with the Schmitz-Maki Arena Improvement Project.
This resolution adopted by recorded vote of the Farmington City Council in open session
on the 16th day of August 2010.
~::;;?~,C -
Mayor
SEAL
Attested to the/~~~day of August 2010.
/ / cz__
City of Farmington
430 Third Street
Farmington, Minnesota
651.280.6800. Fax 651.280.6899
Ww\\'",ci. f,mn;TlgtOll.nm.LL'i
TO: Mayor, Council Members, City Administrator
FROM: Lee Smick, City Planner
AICP, CND
SUBJECT: Former Rambling River Center Building Update - Planning
DATE: August 16,2010
INTRODUCTION
The Economic Development Authority has requested that the City Council discuss the contract for private
development of the former Rambling River Center at 431 Third Street because the building is owned by
the City of Farmington. A pending contract for private development of the property is currently being
held by Mr. Paul Otten.
DISCUSSION
Mr. Otten received a contract for private development of the property at 431 Third Street from the City in
mid-March of this year. In July, Mr. Otten stated via a phone call that he is awaiting the sale of his
building at 311 Oak Street in order to purchase the building at 431 Third Street. During the closing of the
building at 311 Oak Street, it was discovered that there were pending environmental issues that need to be
resolved and that an additional 30 days may be required for the sale of the building at 311 Oak Street in
order to purchase the building at 431 Third Street. Staff will be meeting with Mr. Otten this week and
will provide an update at the Council meeting.
Attached is the staff memo and minutes (Exhibit A) from the February 10, 2010 City Council meeting
were the Council authorized staff to enter into a contract for private development with Mr. Otten.
Additionally, Mr. Otten's purchase offer, contract for private development, a promissory note, and
mortgage are attached to this information.
ACTION REOUESTED
Discuss the contract for private development for the former Rambling River Center building at 431 Third
Street.
Respectfully submitted,
Lee Smick, City Planner
AICP, CND
cc: Paul Otten
130
Ex-A/Oct-
City of Farmington
430 Third Street
Farmington, Minnesota
651.280.6800 . Fax 651.280.6899
www.ci.farmington.mn.us
!,,-, I,"" (;\
. ~ (:'~"11 ::-;:' ''I
10":
TO: Mayor, Councilmembers, and City Administrator (jl
FROM: Tina Hansmeier~ Economic Development Specialist
SUBJECT: Rambling River Center Building Proposal
DATE: February 10,2010
INTRODUCTION
Staff received direction from the City Council in 2009 to sell the city-owned property located at 431 Third
Street. The building became vacant when the Rambling River Center moved its 9peration to their new
location in 2009. On February 1,2010, a purchase offer was received from Mr. Paul Otten.
DISCUSSION
The purchase offer received proposes to purchase the property for $50,000 with the understanding that there
are significant expenses necessary to rehabilitate the building for a new retail tenant. The purchasing party
has indicated the work needed to make this space lease ready includes an estimated expense of $194,000-
$204,000.
Business Subsidy
This proposal does not meet the City's Business Subsidy Policy; however the business subsidy statute (116J,
Subd 3 (17)) exempts land sales for "redevelopment when the recipient's investment in the purchase of the
site and in site preparation is 70 percent or more of the assessor's current year's estimated market valu~,"
Mr. Otten's proposal meets this stipulation.
The assessor's current year's estimated market value of this property is $202,400.
The City Council has the ability to legally accept this offer and require that the listed improvements are made
in a timely manner. The City's Building Official, Fire Marshal, Engineer, and Economic Development staff
reviewed the proposal and determined that the listed improvements are necessary.
The options for consideration are as follows:
. Accept the purchase offer for $50,000 and enter into a Contract for Private Development which
would include requirements for Mr. Otten to malce certain improvements, or
. Continue to market the property, with the assistance of a Realtor, and look for additional offers.
131
,
.~: .,. :#..,
ACTIot'~b~;ED
Accept the purchase offer and authorize staff to enter into a Contract for Private Development with Mr.
Otten.
Respectfully Submitted,
'1c~rNU~
Tina Hansmeier
Economic Development Specialist
132
Council Minutes (Regular)
February 16,2010
Page 6
$800,000 is well worth pushing the Council to do things in a timely fashion. She
asked him to keep pushing Council. MOTION by Fogarty, second by Wilson to
adopt RESOLUTION R12-10 accepting the based bid of S.M. Hentges and Sons,
Inc. in the amount of$I,889,483.73 and awarding the project. APIF, MOTION
CARRIED.
@~TITlONS' REQUESTSAND COMMUNICATIONS
. ~ Accept Rambling River Center Building Proposal- Economic Development
Council had directed staff to sell the old Rambling River Center building. Staff
has received a purchase offer for $50,000. In order to make the space lease ready
for a new tenant, there are a significant amount of improvements that are needed.
The cost for improvements range from $194,000 - $204,000. The proposal does
meet the Business Subsidy policy. Selling the property meets several goals of the
Council:
- Selling property no longer utilized by the City.
- Adding the property to the tax rolls.
- Attracting investment to downtown.
- Retaining an existing business.
Staff recommends accepting the purchase offer and direct staff to draw up a
Contract for Private Development.
Mayor Larson asked ifthere will be a timeline for the repairs to be completed and
if there will be a surety to make sure that happens. Economic Development
Specialist Hansmeier replied the Contract for Private Development would require
the improvements be made in one year of the contract date. There would be a
letter of credit or promissory note that would ensure the improvements are made.
Councilmember May asked who would draw up the contract, and if the City
would be involved with making sure there are certain items in the contract. Staff
will work with the City Attorney to prepare the contract. The contract will come
back to the Council for final approval. MOTION by Fogarty, second by Wilson
to accept the purchase offer and authorize staff to draw up a Contract for Private
Development with Mr. Otten. APIF, MOTION CARRIED.
b) Professional Services Agreement Modification - Engineering
City Engineer Schorzman stated at the Engineering workshop in January, there
was a discussion on consulting engineering services and how we use the services
of others at the City. Based on those discussions, he asked the consulting
engineering firm. about options to change how services are currently handled.
General engineering services are covered by a retainer we pay each month no
matter what. That affords the City help with things on a day to day basis. The
option staff is recommending is a change to go away from the retainer and go to a
pay for the services you receive arrangement. The City would pay a reduced rate
for time that is spent on general engineering services which would be $70/hour
versus the rates for other City projects. The main benefit is it allows the City
more control over the budget. It may mean more tracking for staff, but you are
133
FEB-01-2010(MON) 14:57
~ pA'ULofrsN,1lo
JULI!l 1<. SIIYMOUB. 1\1
PAU,-^ M. JOSSART
E1uo 1, OLBON
RICHARD R OHL1NliIllRG
. .
Ml(nlAlsL L. }..A.NoBR.. RA.
, '
"
. ,
DATE:
TO:'
Otten & Seymour
(FAX)9527363400
P.001/012
09.mT~''''/ E '.N..
.' S'n1o.JR.
"
"
, ,
, '
Fax Transmittal F~:
. ,
February 1. 2010
, Tina lUmsmeier - Dept. of Economic DevelOJmeD;t '
, "
:' COMPANY:
City of Farmington '
B14~le otftCIJ
100 E'fofeBaIons1 Plam "
: 1601lilo,t.Hiahwav U
BumsvIIlc, Mbm~tlL5533?
. 1W...phofttl (IlSZ) 736-3300'
p'lIQ8lmIl~ (9~.2) 736.3400
FAx NTJIvmER:
(.651) 2.[;0- to,gQ9.
\'1- (~oludi~ cover)'
CJ Fannington Offlr::/!J , NO. OF P AG,ES:
.Hl0akSuC!l!t' ,
Fannlngtou, Minn~tlL 55024'
1ll1...phol\$ (651) 463-'1151
Ll M~~OUs dtttce
1150 F\Out Bxabsngo BuI1dlnB
310 Fourth Avenue Soum
M1nnaapolle, M\nn~tlL 55415
n.l~ (flU) 'J?9-9+t~
'. '
, II< QuaUfi~tl Nl&t1'4~ under
Rule .:( 14 of ehe Mfnn~ota.
, General Rules of J?'1't1ctlag
FROM:
W. Paul Otten
Otten & ~eymour
RE: , 413 Third Street buUdin~
, '
'If you have questipns or concerns. please call W. Paul. Otten at (952) 736-
3300. '
"
" . I' .
'The information contained in this tiiosImile me8sf:1ge is confidential and
intend,ed only. for the,use of the individual Qr entity' named above. If .
tho,reader ofthis,mellsage is nQt tJte intended. recipient. you. are hereby
notified thAt any disseminiltion. distribution' or i)O,pying of this , ,
connnunication is striotly'prohibited. Ifyo:u have received this,
communicatio~ in error, please'notify us. immediately by telephone an4
return the original,1'll~ssa.ge'to us at our B~!fVille ad4ress via the U.S. ,
Postal Service.
"
~.t:.~.::.,:i:.},!t :y:
FEB-Ol-2010(MON) 14:57 Otten & Seymour
(FAX)9S27363400
P. OOU01~
W. P.wr. 0TrEN 1/<
rULJB K. SSYMOtlR >!l
,
PAULA M. J088Al\'l'
BlUe T. OUON
RtCHAlm P. OuLENBBRO
M;JOHABL L, uUmml.. P,A.
Bumsllitl<< O/fkrr.
108 Profemontll Phm\'
1601 Bast Filghway 13
BtitmviUlo,.MIMesota s!J:m
ThlephoDD (!l51~ 736~3300
FacduU1e(g~Z)736.1400
, CJ FtLt'ltll1'lg'tOn Of/U.'e
311 Oak Street ,
. Fsrmfpit=l Mlnneaom, 5S0l+
'ThlBphonD (65,1) 463.7151
a. Mtmll:!aPolJlJ Offtcel
1150 Plour ~e Bu!kll1lg
310PoUfd,Av~South "
Mfnnl;$lll~ M\ftl:\Baom S5415
1Jl!ephotul (612) ~7~.*15
~l Qualified N~utrat~,
Rula 114 qf ~he' Mlnnesota
Gmrr.rc.d Rt~les of Pf'acricB
, :,O$'~ ffim./ EN'
'S]m'UR
, '
VIA,FACSIMILE
Febl1UUy i;2010
, .
, '
, Ms. .Tina Hansmei~
,City of Farmington . '
Departnient ofEeonolllic Development
430 Third. Street
FlU'mingtons MN 55044
, ,
, Deat Tina: '
, '
Attaohed is'the report fronl the inspector 1'cgarcllng 431 Third Street; foni;lerly
the Senior Center. '. ' '
, '
~e report Qonfirms what I believe everyone 'thought - the bui~ding requires ,
extensive work.,
The exterior rM{uires a. new roof and 8i~cant repair of the orpmbling lower
walls. ' , '
The interior requires ~ new flm.1.ace for. the front part of the building." (The,
newer, furnace bi. the ba~k is fine.) ,It req\lires a cooling system for the fro~t of
,the building. (Currently,the front of'the blIi1ding has nQ AC.) Itmayrequire
new support posts. (It is diftic1;Jlt to ,say at thiS point because the building
previously had a. flat roof and attic access cOuld not be found so we cannot see
, the lU'oa in'botween the' old roof and tho' new roof.) The entire building nIpS
,~equate return air ductmg. The building re~ires eleotrical work inoluding
" wire removal and breakers. It needs smoke d~tors and apparently a " '
sppnklet system is reCJ.uired pursuant to the fire oode. tn order tp fnstall a "
sprinkler syst~ a larger wa.ter pipe would need to be install~d ftom .the street
~ the inside ofthe'Duilding. 'fhi$ will requh,e stt:eet, cUrb.and sidewalk
demolition.an~ repair. The existing water meter ~d pipe ourrently require a
heater to P10vent tlie pipes from :free~g,due to the lack of insulation. The
bathrooms are not up fo ADA standards.and m~t be demolished and re.:.buUt
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M~reover, the- interior' requires ~ ~rhp'lete rem~iiel. The floor ~nd ~arpet lciok
decades old and need to be replaced. The ceiling tiles are water stained, dontt
m~tch, are,saggbig; fllld ~ui~ replacement. 'Wal)s need to be tom down .
, because oftha way thel space 18 carved up,
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FEff-Ol-2010(MON) 14:5~ Otten & Seymour
(fAX)9527363400
P.003/012
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February 1, 2010
P.~e Two
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, Wi,n all of-the work tMt'is required to 111*e the building ~tructUra1Iy' ,so)1nd, 'withf.'lut Ie. and
, 'with heat I.Uld air conditipnini. with a sprinlder systenl' which Tequires a new water line from the
Street,to ,the builwng, as welt a4 all: nftho,oo~n1etic changes necessary. I believe the building' ,
ourrentlY?a$ yery Ib:nfted:value. On tbp ~fthe government req~ spriDkler system and
, , bathroom updates, there are also mote than $5,000.99 in SAC charges ftoro.,th~ M~tropolitan
Counoll and $1,,400.00 fron,. the City to bring the larger water line to tl1e building to, '. '
, , ~COIlli11odate the 8~er system. Th~e are, on top, of~e permit oharges. ' "
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, While,'I would li,ke k! 'move a retail tenant to 1:4e bliildiDi,'and therebyput,the buildfn~ baok on
the tax rollstt! m~s.t move quiokJy or lose the opportunity. I would be Willing to pay, $50,000.00
, ,aUbis' time f~r tl1.e building. f, '
Let me know thoughts.,
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: Very truly yoms,
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W. Paul Otten
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FEB-Ol-2010(MON) 14:58
Otten & Seymour
(FAX)9527363400
P.004/Ula
c, , , ,'..." "':-''''''', ,.:, "''1 ",' , ~.~';,.\:...,,_.,.;,,>..
.1!fi~r", " ,.i"1Jllli. --:~~l~l?~!li~" i~' lNst'ECTION' i~" ' "; :,",:<' ~:
~i~~';~", "ilm"'jt'<t,lr"~ llY ~~;l.iL;" jt!~.g;1;", " ) ~. , .J!:' : {....ilff;-. " ~ '
l<~". ,', L,...1,";~ . . Iii ,'~.l<..l OR] . ,'.' ,.t:,." . .". . '.
." , ",.4 ~: ~ .' ..l.;t.~1 "'t.~,,}.~t ". "'.~ '_.. ~. . .
Property:
431 3RD ST", FARMINGTON, NlN
t:.D'
""""
__ M ~....~.,...._.~._,.....,AH~1P},.NI!? -=..,~~
. '~"'.",,",
"""'""','"' ~ -~. ~ --
Prepared for:
PAUL OTTEN
Home fnsp"t::t/Qn by Brian Soanlan on Q1/2Ji/10
HomeT(tuh In$pet:tionBt LLC 16445 Klngswood Ct.
612-160-1600 lJJkevllle, MN 66044
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. 138.
FEB-01-2010(MON) 14:59
Otten & Seymour
(FAX)9527363400
P.005/012
HomeTech Inspections, LLC
1644S Klngswood Ct., LakevllJe, MN ss044
Buslnes. Phone: 612-760-1600
E.MaIl: Inspeotorbrliifl@hotmflll.oam
Inspector: sr/an Scanlan
CONSULTATION REPORT
Pl'operty~ 431 3rd St., Farmington, MN
Client: Paul Ottan
1801 East Hwy. 13
BumBvlllfl, MN 55887
Agent: CIty of Farmington
Area: Small Town
Building Type: Oomero/a Bid.
Age: 90 YC!Bffl
Levels: 1
Street Surface~ Asphalt
Street Type: City $treet
House Faoes: West
01/26110
Garage: None
Space Below Grade: None
SoIl Condition: Frozen Snowaov$red
Sky: Cloudy
Praolpltlitlon: None
Temparl;lture: 10
start Time: 3:00
I..akeehore: 8
Manufactured:
Client Present: ~
Ownar Present~
Agent Pttlsent: J(
Oooupled: ~
Water On:
Eleotrio On: X
Gas On: X
COMERC/At iI-D. INSP. CONSULTATION
Purposs and Soope:
Prs..pU(ohBBe Inspection of vIsible Interior & filxt.erJor oomponenfll of oommerClfal buildIng.
Limitations:
Thls Im;peatlon /s ofvfslble componsnts and Is noMnvaslve lit non-d~truatlve.
Findings Of Observations:
Exterior
Heavy (i/1lf)unt of lae dam along south edge of roof Incfloates poor Insl.llatlon Of hest ssaaplng Inte(/or space & Into the aftlo.
Il1sulstlon Is flkElly very InadequatQ & s/1ol.Jl(l be lnorBased.
Multlplfl stains 6) reosnt leakage Into lnt6rfor space fndloares that t/l, roof will lIkely nsw to be repls08d. No elODeSS was found to the
sltfa 8pa~ to vlew the sheathfng, bl.lt It Is lIkely that you would ffnd Borne damaged sheathIng In a building of thl$ i!IgI'J and/or roof
botJIds wlr/J gaps bitween the boards that Qle tao large and would requfre the whola roof to be rHh,utthed when nr'I1JOHng. A
rlJ-1QOf of this size col.Jld cost between $26,000-$80,000. /he cost DOuld rise sfgnlflcanlly If there Is decelY of sheathIng or framing
18Sues.
Th~ Is oons/dQrable dt;1terloratIon of block a"~ mQrtar 0". the IQwer poItlon of the WQ./ls slang the sidewalks. Recommend repslrs by
a quallflad masonry oontrilt$r. Estimated repEl/I' (lOst: $6.000-$1 O,ODO.
Inttlrlor
Thero fa a twisted support pQSt 1/1 the front fOYlJr of the building ami $fI't'era/ posts wit,., lar(Je splIts In them. Raoommend con/ill,1ltfr)g
wlth ill stnJctuaJ engIneer or quaOfJsd (lOnrraotor to detE/Mine If the posts a(e overioadsd and/or need rep/aCflmlJnt.
Tho furnaoe Is thlJ (remt partlon of the buildIng Is 30+ years old & In poor oonctltlon. ReDOmmend imml1dlate replaoelTlinf Qf the
furnsC(l. Estimated cost $5.000. COst of duotwork (:D1'IeotJons would hfJ additIonal cost.
Them Is no central AC In the front seat/on f)f the buDding, only fl small wall unit whIch is very lnadlilql.late for th9lJfJace. FtMJommend
fnstalll/1{1 a seoond AO compressor/oondensor on the roof to air cQndit/on the SpaCfl. Est/matsd cost $6.000.
Both fumaoe $}'Stljtmlil have Improperlfnadequate return aIr duollng. Recommend I'epaJrs by a llC(ln/iled HVAO oontractof.
~01 0 HomElTeoh Insplilltlllno. Ll.O ThIs rliport la for the sole use of Paul Oitan.
01129/1Q HomaTaoh Inspeotlonu, 1..1-0 ~umes no nablllty to third q~9lrt COl'1nao~on with \he oonsultatlon and report.
PsgEl1 of~
FEB-Ol-2010(MON) 14:59
Otten & Seymour
(FAX)9521363400
P.006/012:
COIl~31)11;)liOlI R'~pc>rl [Ill '1:.\1 ?oId SI , F;'illl1l1lqion, tvlf\j ,Janumy ?o, 1 ()
1=/~/oaJ suiJ..p1Mlsl: thero ate open holes where breakers sre missing. ELECT/GAl. HAZAIW. Fteaommend corrective repaIrs by
Iloensed eleatt/oIan.
KllOhen: multfple elf1Ctfci11 wires need to be flilmaved from mfsslng appllsnoes.
smoke dt:fE1atotS should IJa (nstaJled/teplaoerJ per coda f(lt fire safety.
Water meter & wah:lr pIpe: the water line & mw Me on WI ovts!de waft & could easily bs ptone to freezing a breaking. Recommend
consulting wIth a pfumbfir for oorreotJon.
There ar@ f1lIJltJple ats/ne on oefllng t/I,;s!ndfastlng Ii ff1akfng roof system. Roof Is covered With snow a Ica & attfo aac:ess (:Ollfd not be
found. It Is Hkely that the (oaf would need to ba replaaed. A rfJ-fOol (II this size DOuld cost batween $25,OOO.$:JO,OOO. The cast could
rip $ignlflosntfy if thero !$ deaay of shaathfng Of framlng /ssuss.
Both bathrt;Jcms, mens a womsns. do not appear to msst wttent handlasp requirements. Bathroom f(;lmMel/ng DOurd cost
$5,000-$10.000. eaCh.
Conoluslons:
ThIs bvlldfng win require extensive repairs & remodeling to make It funot(onal as well as msr/(stabl" to a ten/HIt. Recommend (Jotting
firm est/mates 01 teps/fa from quallfiild c;anh'Botors prior to making a purchase decfslofl.
d010 HomeT$Clh Inspactlons. lJ.O Tnls report Is for Ihe lIole uliIEl of PIlUI Dilen.
01/29/10 HOn'leTeoh Inspac!lons. LLO llUumaa no liability 10 third partl$(I1h Donnecllon with tho oonsultaUon and report.
. 140
Pago2 of2
FEB-08-~OI0(MON) 17:06
Otten & Seymour
(FAX)9S~7363400
P.001/003
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Q.2'tIliQ &l'p'I.f.lI.J "I'
. . J-tK.N:
S. r--~
.,.' E.YMOOR'
W. PAUL OrraN 0)
JULllJ K, SllYMOUll ill
PAUJ.A M. JOSSAAT
BRIo T. OLSON
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Fax Transmittal Form
RlOHAlW p, OmBNllaRO
MICHA8r. L. LANOllll, P.A.
. DATE:
Feb1'1181,'y 8.2010
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TO:
Tin~ Hfmsmei~~ - Dept of Boonoipio Development
~'
BunlSytlkl Offlc/1.
108 ProwmontU P!t=
1001 ~t Highway H
Bun:avl1Lor Mlt\1WOta 55337
icl~phona (951) 736.~300
. ElaI!8!ml(e (1I5Z) 7311-3'100
COMP~: .
. Ci\X ofFarminston
. FAX NUMBER:
(pSi) 280-6899 .
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CJ Farmi1'lgton Office NO. OF PAGES:
:Jl1 Oak Street
F\IfIlIIniltm, MII:It1f:4t!tl\ SSOZ4
TQlcphona (6.H> 163-7Bl1
o Minm"P9Us 'O~~ FROM:
ll~O Plour Bxohtlrulo B\,UQhle "
310 llOUfrh Avenue South
'&!lnnoPpOlw, Mlmusqtq 55415
'Thlepho~ (611) .$79-944S IU;:
",,3 . (inoluding cover)
w. Paul Otten
.Otten, & SeYmour
~ 13 Third Street buildinll
, .
If you. have questions or ooncernSt pleaSe call W. Paul. Otten at ~9S2) 7360
33'00. . " '. . , "
:
The infOm1ation contained in'this fllCSiniil~ messag~ is oonfideu~ ft.O.d
intended only for the. use ?f the '1n~v!dua1 or en~ty. named above. 'If
the reader of this message is not tl;1.e intended recipient, you are hereby
notified that any disseri1ination, distribution or oOpying of this .
. communication is strictly proliibitea. If you htWe received this
communiCt\tion in error, please notify us linmed1ately by telephone and
retllm the original message to 1.18 at our Burnsville address via the U.S.
Postal SerVloe. .
I{f Qualljied NJM.I,h'al under
Rule 114 of the Minnesota
Genvrat Itulu r1/ p.,stc~e
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FEB-08-2010(MON) 17:01
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W. PAUL OrrBN 1/2, ,
Jtl1..m K. SB!MO~ lIi
PAt1LA -M. J088AB.T , '
EI\IO 1. QuoN
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RJCHARn Po OHLENBBRG
MIOMABL 1. LANDB1\, P.A. '
BinTlSville Qffke.
108 rirofcsslonal Pltnll ,
l1S01 Baal HtghWflY 13
Buwv!Il~ Mlnn=,Ol:a 55331
'Th1ephone (951) 73.6-3300
Fiu:sLmI1e (m) 736-3400
CJ Famt!ngton Offic6 ,
)11 o..k Street '
P~on, Minn...DtQ 550Z4
,'ThI.ephone (6S1) 463-7151, '
LJ Minneapolis O{fke
1150 Flour P.xobmgo BuUdll,1g
310 Fourth A"et\I.Ie South
Mlnncs:poUs, Mltlrnuata 55415
,11oIephone (lllZ) J7~.9+iS
III Q.v.a11ff.dtI. Neutral f,tnder
Rule 114 of the Minnesota
,General .Rules of PT(t.I;ti.cff
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Otten & Seymour
(FAX)9521363400
p, 002/003
0.2'0* {"~:'/ EN.
--s-mom
, VIA FACsIiwLE
February 8,2010
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'Ms. Tina, Hansineier
City dfFannington '
Department Qf Econott1lc, Development
430 Third Skeet ' '
Farmington, MN 5.5044
, D~a.r Tma:
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As a follow up to ~y ietter t~ you dated February 1. 2010. please understaltd that
there are significant expenses that are necessary to rehab~ita.te the former Seni.or
Center fol' retail occupancy. :,
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, Here is '8 list of~ork that we would likely need to undertake to obtain a t~t,
Slong with the estimated costs: ',' ,
(IJ Roof: ,$25,000,00 - S:JO,OOO.OO '
, 0, '(plus possible sheathing or. framing) ,
It ExterlorBlock' '$ 5,000.00 ~ $10.000.00
1ft Furnace $ 5,000.00
. D~ct.Work' $ S,OOO.OO
(I Smoke DeteCtors $ 1.000.00
II ..AJr Conditioning Unit $ 5.000.00
. Eleomcal ' $ 2,500.00
'II Insulate'around water meter & pipes ' $ SOO,OO
It ,Ceiling Tile~ , .$.18.000,00
, II Batbromps (to me~t current ADA code) ,$20,000.00
" II Flooring ", , $30,000.00 '
It 'Sprinkler systeIll (reqUired'hy,oode) $40,OOO,QO,
II New water line to building from street
fot sprlnkler system
lit SAC Charges (Met Councfl)
o Demolish walls & build as 'needed'
III Permits &. m:i$(lellan~qus charges
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$12,000.00
$' 5,200.00,
$15,000.00 '
,$ 4.80~.OO ,
$194,000,00 ~ $204,000.00
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fEB-OB-2010CMON) 17:07 Otten & Seymour
C FAlO 9527363400
p, 003/003
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,FebmlI11 ~t 2010
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, I;am not able to off~r more than S'O,OOQ.OO u~ess a sprlnkler systepi 'is n~t 'require.,. by,the, City
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VeiytTp.lyyo~, ,
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CONTRACT FOR PRIVATE DEVELOPMENT
FARNDNGTON,NUNNESOTA
TIllS AGREEMENT, made on or as of the _ day of . 2010, by and
between the THE CITY 0' FARNDNGTON, a Minnesota municipal corporation (the "City")
and W. PAUL OTTEN, a ("Developer").
WITNESSEm:
WHEREAS, as of the date of this Agreement there has been a proposal that the City
approve the sale of the real property located at 431 Third Street, Farmington, Minnesota, legally
described in Exhibit "A" attached hereto, (the "Property") to the Developer for renovation of the
existing building in the City of Farmington (the "Projecf'); and
WHEREAS, Developer proposes an investment in the purchase of the Property and
redevelopment costs equaling 70 percent or more of the assessor's current year's estimated
market value; and
WHEREAS, the City deems it to be in the public interest to facilitate and encourage
redevelopment of the Property by private activity; and
WHEREAS, the City believes that the Project and fulfillment generally of this
Agreement is in the best interest of the City and the health, safety, morals and welfare of the
residents of the City of Farmington and in accord with the public purposes and provisions of the
applicable state and local laws and requirements.
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:
145
ARTICLE I.
DEFINITIONS
In this Agreement, unless a different meaning clearly appears from the context:
"Agreement" means this Contract for Private Development by and between the' City and
the Developer, as the same may be from time to time modified, amended or supplemented.
"Articles and Sections" mentioned by number only are the respective Articles and
Sections of this Agreement so numbered. '
"City" means the City of Farmington, Minnesota.
"County" means the County of Dakota, Minnesota.
"Deed" means the limited warranty deed described in Section _ to be executed by the
City conveying the Property to the Developer.
"Developer" means W. Paul Otten.
"Event of Default" means an action by the Developer listed in Article VII of this
Agreement.
"Minimum Improvements" means interior and exterior improvements to the Property
more specifically described in Exhibit B attached hereto and incorporated herein.
"Parties" means the Developer and the City.
"Party" means either the Developer or the City.
"Project" means the Property and the completed Minimum Improvements thereon.
"Property" means the real property described as shown in Exhibit "A" attached hereto.
"Purchase Price" means the sum of One Hundred Forty-one Thousand Six Hundred
Eighty and No/lOOths ($141,680.00) Dollars which Developer shall pay the City for the purchase
of the Property, subject to adjustments as set forth herein.
"State" means the State of Minnesota.
"Unavoidable Delays" means delays outside the control of the Party claiming its
occurrence which are the direct result of strikes, other labor troubles, unusually severe or
prolonged bad weather, Acts of God, fire or other casualty, 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 pursuant to this Agreement) which
directly result in delays. Unavoidable Delays shall not include delays in the Developer's
150560v2
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146
obtaining permits or governmental approvals necessary directly to enable construction of the
Minimum Improvements, unless such permitting or approvals process is unforeseeably delayed.
ARTICLE D.
REPRESENTATIONS AND WARRANTIES
Section 2.1. Representations and Warranties by the City. The City represents and
warrants that:
(a) The City is a Minnesota municipal corporation and has the power to enter into this
Agreement and carry out its obligations hereunder.
(b) The City makes no representation or warranty, either express or implied, as to the
Property or its condition or soil conditions thereon, or that the Property is suitable
for the Developer's needs except as specifically set forth in this Agreement.
(c) To the best knowledge of the City, the City is not in default concerning any ofits
obligations or liabilities regarding the Property.
(d) There is no action, litigation, investigation, condemnation or proceeding of any
kind, including but not limited to condemnation, pending or, to the best
knowledge of the City, threatened against the City or any portion of the Property.
(e) The City certifies and warrants that the City does not know of any "Wells" on the
described Property within the meaning of Minn. Stat. ~ 1031. This representation
is intended to satisfy the requirements of that statute.
(f) To the best knowledge of the City, no above ground or underground tanks are
located in or about the Property, or have been located under, in or about the
Property and have subsequently been removed or filled
(g) Solely for purposes of satisfying the requirements of Minn. Stat. S 115.55, the
City represents that there is no "individual sewage treatment system" (within the
meaning of that statute) on or serving the Property.
(h) Subject to satisfacation of the terms and conditions of this Agreement, the City
will convey the Property to the Developer for development in accordance with
this Agreement.
Section 2.2. Representations and Warranties by the Developer. The Developer
represents and warrants that:
(a)
The Developer has the capacity to enter into this Agreement and to perform its
obligations hereunder.
(b)
When the Property is conveyed to the Developer, the Developer will construct,
operate and maintain the Minimum Improvements upon the Property in
150560v2
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(f)
(g)
(h)
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).
(c)
The Minimum Improvements will be constructed by the Developer, at its sole
expense, in such manner, and at such expense as are necessary to make the
Property usable by the Developer, including all such improvements as are
necessary to make said facility comply with all applicable federal, state and local
rules, regulations, ordinances and laws.
(d)
The Developer will use its best efforts to construct the Minimum Improvements in
accordance with all local, state or federal energy-conservation laws or regulations.
(e)
The Developer will use its best efforts to obtain, in a timely manner, all required
permits, iicenses and approvals and to 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 Minimum Improvements may be lawfully constructed.
The City will cooperate to expedite the processing of any application filed with
the City by the Developer. The City does not hereby warrant or represent that it
or the City will approve an application filed by Developer, except as expressly
provided in this Agreement.
The Developer will cooperate with the City, and the City will cooperate with the
Developer with respect to any litigation commenced with respect to the Property
or the Minimum Improvements.
The Developer will construct the Minimum Improvements on the Property in
accordance with the plans approved by the City.
Whenever any Event of Default occurs and if 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, the Developer agrees that it 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.
ARTICLEID.
CONVEYANCE OF PROPERTY
Section 3.1. Status of Property. Except for the representations, warranties and
covenants set forth herein and subject to the terms and conditions for this Agreement, the City
agrees to sell the Property to the Developer and the Developer agrees to purchase the Property
from the City in "as-is" condition through the execution and delivery of the Deed.
Section 3.2. Conditions Precedent to Conveyance of Property.
150560v2
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(a) The City's obligation to convey the Property shall be subject to the satisfaction of,
or waiver by the City of, all of the following conditions precedent:
(i) The Developer not being in default beyond applicable notice and cure
periods under the terms of this Agreement;
(ll) The Developer having secured all governmental permits and approvals,
including building permits necessary to be obtained in order to permit
construction of the Minimum Improvements; and
(ill) The Developer shall have submitted to the City and the City shall have
approved Construction Plans for the Minimum Improvements pursuant to
Article IV of this Agreement.
(b) The Developer shall be obligated to accept title to the Property subject to
satisfaction, or waiver by the Developer, of the following conditions precedent:
(i) The City not being in default beyond applicable notice and cure periods
under the terms of this Agreement; and
(ll) The Developer having secured the City's approval of the Construction
Plans and all other governmental permits and approvals, including
building permits necessary to construct the Minimum Improvements.
(ill) Approval of the condition ofthe title of the Property.
(iv) Approval of City and County zoning requirements and restrictions
applicable to the Property.
(v) The representations and warranties of the City contained in this
Agreement must be true now and on the Closing Date as if made on the
Closing Date.
Section' 3.3. Purchase Price. The Purchase Price for the Property shall be payable by
Developer as follows:
(a) Five Thousand and 00/100 Dollars ($5,000.00) as earnest money to be delivered
to Dakota County Abstract and Title ("Title") upon execution of this Agreement by Developer.
All Earnest Money shall be held by the City subject to the terms of this Agreement. If this
Agreement closes pursuant to the terms thereof, the Earnest Money and all interest shall be
applied to the Purchase Price.
(b) Forty-five Thousand and 00/100 ($45,000.00) due in cash, certified funds or wire
transfer shall be paid to the City at Closing;
150560v2
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(c) The balance in accordance with the terms of that certain promissory note, a copy
of which is attached hereto as Exhibit "C" ("Promissory Note") to be executed at Closing. At the
closing of this transaction, Developer will grant the City a Mortgage in the form attached hereto
as Exhibit "D" ("Mortgage").
Section 3.4. Closing.
(a) WithiD. ten (10) days after the satisfaction and/or waiver of all of the conditions
contained in Section 3.2 of this Agreement (and in any event no later than
.; ...;ib.~:};\Clo~mg;P~te") provided all conditions precedent for the
City and Developer to close have either been met or waived, and the Developer
pays the City the Purchase Price, the City shall convey the Property to the
Developer through the execution and delivery of the Deed, and all other
documents reasonably required by Developer and the Title Company. The
closing shall be at a location mutually agreed upon by the parties.
(b) The Developer shall take possession of the Property upon execution and delivery
of the Deed by the City at closing.
( c) The Deed shall be in recordable form and shall be promptly recorded along with
this Agreement.
(d) At closing, the Developer shall pay: all closing costs including, but not limited to,
state deed tax relating to the conveyance of the Property, all title insurance
company fees for title insurance premiums, if any, one half of closing costs, all
recording fees and conservation fees for the deed and mortgage.
(e) At the time of the conveyance of the Property by City to Developer, the City shall
deliver to Developer (if the City has not already done so), all other documents
reasonably required by Developer's title agent in order to complete the trans~ction
described herein.
Section 3.5. Title. Developer shall, at its sole cost and expense, obtain a current
commitment for the issuance of a ALTA Form B owner's policy of title insurance (the
"Commitment") issued by Title committing to insure that Developer will have good and
marketable title to the Property free and clear of all liens, restrictions, covenants and
encumbrances except those liens, restrictions, covenenants and encumbrances currently of record
(the "Permitted Encumbrances"). A mortgage, monetary lien or any other lien or encumbrance
against the property shall be deemed to be a title objection. In the event any exceptions are listed
in the Commitment (except for Permitted Encumbrances), if the City does not immediately
remove the exceptions, the Developer shall have the right to terminate this Agreement as the
Developer's sole and exclusive remedy and in such event neither the City nor the Developer shall
have any obligations or liability to the other hereunder, and the Earnest Money shall be returned
to Developer.
Section 3.6. Right of Entry. Upon reasonable notice to City, Developer and
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Developer's authorized agents shall have the right during the period from the date of this
Agreement to the Date of Closing to enter in and upon the Property in order to make, at
Developer's expense, surveys, measurements, soil tests, geotechnical tests and other tests that
Developer shall deem necessary. Developer agrees to restore any resulting damage to the
Property caused by Developer or its agents and to indemnify, hold harmless and defend City
from any and all claims by third persons of any nature whatsoever arising from Developer's right
of entry hereunder, including all actions, proceedings, demands, assessments, costs, expenses
and attorneys' fees. Notwithstanding the foregoing, Developer's indemnification obligations set
forth above shall not include any obligation to indemnify the City for the discovery of any
existing conditions discovered as a result of Developer's inspections and testing.
Section 3.7. Other Charges. In addition to the utility charges and other charges and
fees referred to in this Agreement, other fees due the City are building permit fees such as for
signs, electrical, and plumbing. Additional City charges and Metropolitan Council charges will
be required for bringing water line to building for sprinkler system installaion.
ARTICLE IV.
CONSTRUCTION OF MINIMUM IMPROVEMENTS
Section 4.1. Construction of Minimum Improvements. The Developer agrees that it
will construct the Minimum Improvements on the Property in accordance with construction plans
approved by the City, (the "Construction Plans") and will operate and maintain, preserve and
keep the Minimum Improvements or cause the Minimum Improvements to be maintained,
preserved and kept ~th the appurtenances and every part and parcel thereof in good repair and
condition.
Section. 4.2. Construction Plans.
(a) On or before . the Developer shall submit to the City a site plan
for the Property ("Site Plan") and the Construction Plans for the Minimum
Improvements. The Construction Plans shall provide for the construction of the
Minimum Improvements and shall be in conformity with this Agreement, the Site
Plan, and all applicable state and local laws and regulations. The City and/or the
City Engineer shall approve the Construction Plans in writing if, in the reasonable
discretion of the City and/or City Engineer: (i) the Construction Plans conform to
the terms and conditions of this Agreement; (ll) the Construction Plans conform. to
all applicable federal, state and local law, ordinances, rules and regulations; (ill)
the Construction Plans are adequate to provide for the construction of the subject
Minimum Improvements; and (iv) no Event of Default has occurred and is
continuing hereunder. No approval by the City and/or City Engineer under this
Section 4.2 shall relieve the Developer of the obligation to comply with the terms
of this Agreement, applicable federal, state and local laws, ordinances, rules and
regulations, or to construct the Minimum Improvements. No approval by the City
and/or City Engineer shall constitute a waiver of an Event of Default. The City
and/or City Engineer shall review the Construction Plans within thirty (30) days
after submission of a complete set of Construction Plans and either approve the
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same or provide Developer with a list of reasonable, specific required changes to
be made to the Construction Plans. Upon making the specific changes to the
Construction Plans as reasonably required by the City and/or City Engineer, the
Developer shall submit the Construction Plans with the required changes to the
City Engineer for his approval and if Developer made the required changes, the
Construction Plans shall be approved.
(b) If the Developer desires to make any material change in any Construction Plans
after their approval by the City and/or City Engineer, the Developer shall submit
the proposed change to the City Engineer for his approval. If the Construction
Plans, as modified by the proposed change, conform to the requirements of this
Section 4.2 of this Agreement with respect to such previously approved
Construction Plans, the City and/or City Engineer shall approve the proposed
change and notify the Developer in writing of its approval.
Section 4.3. Commencement and Completion of Minimum Improvements. The
Developer shall commence construction of the Minimum Improvements
Subject to Unavoidable Delays, the Developer shall substantially complete construction of the
Minimum Improvements, except for landscaping, exterior matters such as paving, and minor
"punch list items", on or before . .....
Section 4.4. Construction Requirements. In constructing the Minimum Improvements,
the Developer shall comply with all federal, state and local laws and regulations.
Section 4.5. Failure to Accept Title to Property or to Construct. In the event all
conditions precedent herewith are met or waived and the Developer fails to accept title to the
Property pursuant to Article III or construction of the Minimum Improvements is not
commenced or completed as provided in Section 4.3 of this Agreement (subject to the provisions
of Article VII hereof), the Developer shall be liable to the City for the amount of the City's actual
expenses related to this Agreement as liquidated damages.
ARTICLE V.
REAL PROPERTY TAXES
Section 5.1. The City is responsible for all real estate taxes due and payable for all years
prior to Closing, including interest and penalties. Property taxes due in the year of Closing shall
be prorated to the Closing Date. The City shall pay all taxes, interest and penalties on the on the
Property due in the years prior to the year of Closing. Developer shall assume all levied and
pending assessments.
ARTICLE VI
Events of Default
Section 6.1. Events of Default Defmed. The following shall be "Events of Default"
under this Agreement and the term "Event of Default" shall mean, whenever it is used in this
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Agreement (unless the context otherwise provides), anyone 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 when due ad valorem taxes on the Property.
(b) Failure by the Developer to commence, diligently pursue and complete
construction of the Minimum Improvements, or portions thereof, pursuant to the
terms, conditions and limitations of this Agreement.
(c) Failure by Developer to observe or perform any other covenant, condition,
obligation or agreement on its part to be observed or performed hereunder.
(d) If any warranty or representation by the Developer in this Agreement is untrue in
any material respect.
Section 6.2. City's Remedies on Default. Whenever any Event of Default by
Developer referred to in Section 6.1 of this Agreement occurs, the City may take anyone or
more of the following actions:
(a) Suspend its performance under the Agreement until it receives assurances from
the Developer, reasonably deemed adequate by the City, that the Developer will
cure its default and continue its performance under the Agreement.
(b) Terminate this Agreement;
(c) Take whatever action, including legal, equitable or administrative action, which
may appear necessary or desirable to the City to collect any payments due or
damages arising under this Agreement or to enforce performance and observance
of any obligation, agreement, or covenant of the Developer under this Agreement.
Section 6.3. No Remedy Exclusive. No remedy herein conferred upon or reserved to
the City 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. '
Section 6.4. Attorneys' Fees. Whenever any Event of Default occurs and either the City
or the Developer shall employ attorneys or incur expenses for the collection of payments due or
to become due or for the enforcement of performance or observance of any obligation or
agreement under this Agreement, the defaulting party agrees that it shall, within ten (10) days of
written demand by the other party pay the reasonable fees of such attorneys and such other
expenses so incurred by the non-defaulting party; provided, that such non-defaulting party
prevails in its claim for enforcement of this Agreement.
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ARTICLE vn.
ADDITIONAL PROVISIONS
Section 7.1. Certificate of Completion. Promptly after substantial completion of the
Minimum Improvements in accordance with those provisions of this Agreement, the City will
furnish Developer with a certificate of completion substantially in the form shown at Exhibit
"_" (the "Certificate of Completion"). Such certification by the City shall be a conclusive
determination of satisfaction and termination of the agreements and covenants in this Agreement
with respect to the obligations of Developer, and its successors and assigns, to construct the
Minimum Improvements, and shall operate to forever waive the City's interest in the Property,
including the right of reverter.
If the City shall refuse or fail to provide any certification in accordance with the provisions of
this Section 7.1, the City shall, upon demand, provide Developer with a written statement,
indicating in adequate detail in what respect Developer has failed to complete the Minimum
Improvements in accordance with the provision of this Agreement, or is otherwise in default, and
what measures or acts will be necessary, in the opinion of the City, for Developer to take or
perform in order to obtain such certification. Upon Developer's completion of the items so
described by the City, the City shall deliver a fully executed Certificate of Completion to
Developer.
Section 7.2. Restrictions on Use. The Developer agrees for itself and its successors and
assigns and every successor in interest to the Property, or any part thereof, that the Developer
and such successors and assigns shall devote the Property to, and only to, and in accordance
with, the uses specified in the City Code.
Section 7.3. Equal Employment Opportunity. The Developer, for itself and its
successors and assigns, agrees that during the construction of the Minimum Improvements
provided for in this Agreement it will comply with all applicable federal, state and local equal
employment and nondiscrimination laws and regulations.
Section 7.4. Conflicts of Interest. No member of the governing body or other official
of the City shall have any financial interest, direct or indirect, in this Agreement, the Project or
any contract, agreement or other transaction contemplated to occur or be undertaken thereunder
or with respect thereto, nor shall any such member of the governing body or other official
participate in any decision relating to the Agreement which affects his personal interest or the
interest of any corporation, partnership or association in which he is, directly or indirectly,
interested. No member, official or employee of the City shall be personally liable to the
Developer or any successors in interest, in the event of any default or breach by the City or for
any amount which may become due to the Developer or successor or on any obligations under
the terms of the Agreement.
Section 7.5. Waiver and Release by Developer. The Developer hereby waives,
releases and forever discharges the City from any claim for costs incurred in preliminary plans,
specifications, site testing improvements, professional fees or legal fees in connection with the
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Project.
Section 7.6. Titles of Articles and Sections. Any titles of the several parts, Articles and
Sections of this Agreement are inserted for convenience of reference only and shall be
disregarded in construing or interpreting any of its provisions.
Section 7.7. 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 or delivered personally to:
W. Paul Otten
Telephone:
Facsimile:
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(b) In the case of the City, is addressed or delivered personally to:
City of Farmington
430 Third Street
Farmington, MN 55024
with a copy to its Attorney:
JoelJamnik
CAMPBELL KNUTSON
Professional Association
1380 Corporate Center Curve, Suite #317
Eagan, Minnesota 55121
Telephone: (651) 452-5000
(c) Either Party may, upon written notice to the other Party, change the address to
which such notices and demands are made.
Section 7.8. Disclaimer of Relationship. 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 any third person to create any relationship of third-party
beneficiary, principal and agent, limited or general partner or joint venture between the City and
the Developer.
Section 7.9. Covenants Running with the Land. The terms and provisions of this
Agreement shall be deemed to be covenants running with the Property and shall be binding upon
any successors or assigns of the Developer and any future owners or encumbrancers of the
Property.
Section 7.10. Counterparts. This Agreement is executed in any number of
counterparts, each of which shall constitute one and the same instrument.
Section 7.11. Law Governing. This Agreement will be governed and construed in
accordance with the laws of Minnesota.
Section 7.12. Facsimile Signature. The parties hereto acknowledge and agree that in
order to expedite the signing of this Agreement and the processing, and review and compliance
with the terms hereof, the parties may utilize facsimile equipment to transmit and convey
signatures hereto and such other information as may be necessary. With respect to any such
transmission bearing a signature for any party hereto and on which the receiver is or may be
reasonably expected to rely, than if such a facsimile transmission is corroborated by regular
facsimile printout showing the telephone number from which transmitted together with a date
and time of transmission, it shall be binding on the sending party and may be relied upon by the
party receiving the same. The sending party hereby acknowledges such reliance and waives any
defenses to the use of such documents or signatures.
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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 Farmington
By:
Its Mayor
Developer:
By:
W. Paul Otten
STATE OF MINNESOTA )
)ss.
COUNTY OF DAKOTA )
The foregoing instrument was acknowledged before me this _ day of , 20_,
by and , the Mayor and City Clerk, respectively, of the City of
Farmington, a Minnesota municipal corporation, on its behalf.
Notary Public
STATEOFMINNESOTA )
)ss.
COUNTY OF DAKOTA )
The foregoing instrument was acknowledged before me this _ day of
20-, by W. Paul Otten, a
Notary Public
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DRAFTED BY:
CAMPBELL KNUTSON, P.A.
13 80 Corporate Center Curve, Suite #317
Eagan, Minnesota 55121
Telephone: (651) 452-5000
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EXHIBIT" A"
LEGAL DESCRIPTION OF THE PROPERTY
159
EXHIBIT "B"
DESCRIPTION OF MINIMUM IMPROVEMENTS
Exterior Improvements:
Increased insulation
Replace roof
Repair deterioriated block and mortar along
lower portion of walls along the sidewalk
=
$
$25,000
$ 5,000
=
=
Interior Improvements:
Replacement of support posts = $
Replacement of furnace in front portion of building = $ 5,000
Installation of AC compressor/condenser for front
portion of building = $ 5,000
Repair of improper/inadequate return air ducting for
Furnaces = $
Corrective repairs to electrical sub-panel = $
Kitchen - remove multiple electrical wires from
missing appliances = $
Instal1/Replace smoke detectors per code = $
Correction to outside water meter and water line = $
Remodel bathrooms = $10,000
160
EXHIBIT "C"
PROMISSORY NOTE
161
EXHIBIT liD"
MORTGAGE
162
EXHIBIT "E"
CERTIFICATE OF COMPLETION
The undersigned hereby certifies that W. Paul Otten ("Developer") has fully complied with its
obligations to construct the Minimum Improvements under that document titled Contract for Private
Development dated , 2010, by and between the Economic Development
Authority in and for the City of Farmington (the "City") and Developer, and that Developer is released
and forever discharged from its obligations under the Agreement with respect to the obligations of
Developer, and its successors and assigns, to construct the Minimum Improvements, and the City
waives any right, title or interest it may have in the Property, including a right of reverter. The Dakota
County Recorder's Office is hereby authorized to accept for recording the filing of this instrument, to
be a conclusive determination of the satisfaction and termination of the covenants and conditions of the
Contract for Private Development described above.
IN WITNESS WHEREOF, the City has caused this Certificate to be duly executed in its
name and behalf on or as of the date first above-written.
City of Farmington
By:
Its Mayor
STATEOFMINNESOTA )
)ss.
COUNTY OF DAKOTA )
The foregoing instrument was acknowledged before me this _ day of . 2010, by
and , the Mayor and City Clerk, respectively, ofthe City of Farmington, a
Minnesota municipal corporation, on its behalf.
Notary Public
163
PROMISSORY NOTE
$91,680.00
Farmington, Minnesota
,2010
FOR VALUE RECEIVED, the undersigned, W. PAUL OTTEN, a
whose address is ("Borrower"), promises to pay
to the order of the CITY OF FARMINGTON, a Minnesota municipal corporation, or its
successors and assigns ("City"), at its principal office at 430 Third Street, Farmington, Minnesota
55024, or at such other place as the holder of this Note (''Note'') may require, the principal sum of
Ninety-one Thousand Six Hundred Eighty and No/IOO Dollars ($91,680.00), or such greater or
lesser sum as may be actually owing, together with interest on the unpaid principal balance from the
date of advance at the Note Rate (as hereinafter described), in effect from time to time, during the
term of this Note, as required under the terms of the Contract for Private Development between the
Borrower and the City, dated . 201 0 ("Contract for Private Development").
Principal and interest payable under this Note shall be paid as follows:
(a) the outstanding principal sum together with interest on one-half of the unpaid
principal balance from the date of advance of the Note due in cash or certified funds twenty-four
months following the Date of Closing of the Contract for Private Development. Notwithstanding
the foregoing, the amount due under the Note shall be adjusted and reduced to zero and 00/1 00
Dollars ($0.00) if Borrower substantially completes the Minimum Improvements in accordance
with the terms of the Contract for Private Development.
The principal balance and interest thereon shall be payable in coin or currency which at the time of
payment is legal tender for the payment of public or private debts in the United States of America.
This Promissory Note may be prepaid in full or in part at any time.
The interest rate (termed ''Note Rate") shall be set at the minimum rate authorized under
Minn. Stat. ~116J.994, subd. 6, which shall be applied to any and all amounts of principal advanced
pursuant to the terms of this Note remaining unpaid fl.-om time to time. Per diem interest during
the Loan Term shall be computed on the basis of a three hundred sixty (360) day year but shall be
payable on the actual days elapsed during the term of this Note.
All payments made under this Note shall be applied first to costs, second to any late charges
due hereunder, then interest, and finally to principal, except that if any advances made by the City
due to the occurrence of an Event of Default are not repaid on demand, any moneys received, at the
option of the City, may first be applied to repay such advances, plus interest thereon at the Note
Rate, and the balance, if any, shall be applied on account of any principal and/or interest then due.
This Note is secured by a Mortgage of even date herewith (the ''Mortgage'') by which
Borrower has granted to the City a mortgage lien on certain real property, as therein defined,
located in Dakota County, Minnesota (the "Property"). The terms of the Mortgage are
incorporated herein by reference and made a part hereof.
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Borrower shall be in default upon the occurrence of any of the following events,
circumstances or conditions ("Events of Default"):
A. Failure by any party obligated on this Note or any other obligations Borrower has
with the City to make payment when due; or
B. The dissolution or insolvency of, the appointment of a receiver by or on behalf of,
the assignment for the benefit of creditors by or on behalf of: the voluntary or
involuntary termination of existence by, or the commencement of any proceeding
under any present or future federal or state insolvency, bankruptcy, reorganization,
~omposition or debtor relief law by or against Borrower, or any co-signer,
endorser or surety of this Note.
It is agreed that time is of the essence in performance of this Note. Notwithstanding any
provision contained in the Note, the City agrees to provide written notice to the Borrower of any
default by Borrower under the Note. The Borrower shall have an opportunity to cure such
default for a period of thirty (30) days following receipt of such notice. The City agrees not to
take any action until the expiration of the thirty (30) day period. In the event Borrower fails to
cure any defaults under the Note within thirty (30) days of the notice of a default, then, at the
City's option, ,all or any part of this Note shall be immediately due and payable without notice or
demand. The City may exercise all rights and remedies provided by law, equity, this Note, any
mortgage, deed of trust or similar instrument and any other security, loan or surety agreements
pertaining to this Note. The City is entitled to all rights and remedies provided at law or equity
whether or not expressly stated in this Note. By choosing any remedy, the City does not waive
its right to an immediate use of any other remedy if the Event of Default continues or occurs
again.
The remedies of the City, as provided herein and in the Mortgage shall be cumulative and
concurrent and may be pursued singularly, successively, or together at the sole discretion of the City
and may be exercised as often as the occasion therefor shall arise.
Upon the occurrence of an Event of Default, the City may recover from Borrower all
reasonable expenses of collection in realizing on any security interest, and if the same is referred to
an attorney for collection or any action at law or in equity is brought with respect hereto, Borrower
shall pay the City all reasonable expenses and costs of collection, including but not limited to
reasonable attorneys' fees and court costs. Any such fees and costs shall be added to the principal,
and interest shall accrue thereon at the Note Rate and shall be secured by the Collateral (as
hereinafter defined).
Regarding this Note, to the extent not prohibited by law, Borrower and any other signers:
A. Waive protest, presentment for payment, notice of intent to accelerate and notice
of dishonor.
B. Consent to any renewals and extensions for payment on this Note, regardless of
the number of such renewals or extensions.
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C. Consent to the release, substitution or impairment of any Collateral (as hereinafter
defined).
D. Consent that Borrower is authorized to modify the terms of this Note or any
instrument securing or relating to this Note.
E. Consent to any and all sales, repurchases and participations of this Note to any
person in any amounts and waive notice of such sales, repurchases or
participations of this Note.
All agreements between the City and Borrower are hereby expressly limited so that in no
contingency or event whatsoever, by reason of acceleration of maturity of the indebtedness
evidenced hereby or otherwise, shall the amount paid or agreed to be paid to the City for the use,
forbearance, loaning or detention of the indebtedness evidenced hereby exceed the maximum
permissible under applicable law. If from any circumstances whatsoever, fulfillment of any
provisions hereof or of the Mortgage shall involve transcending the limit of validity prescribed by
law, then the obligation to be fulfilled shall automatically be reduced to the limit of such validity
and if from any circumstances the City should ever receive as interest an amount which would
exceed the highest lawful rate, such amount which would be in excess of such highest lawful rate
shall be applied to the reduction of the principal balance evidenced hereby and not to the payment
of interest or returned to Borrower, at the option of the City. This provision shall control every
other provision of all agreements between Borrower and the City and shall also be binding upon
and available to any subsequent holder or endorsee of this Note.
The City is under no duty to preserve or protect any Collateral, as hereinafter defined, until
the City is in actual or constructive possession of the Collateral. For purposes of this paragraph, the
City shall only be considered to be in "actual" possession of the Collateral when the City has
physical, immediate and exclusive control over the Collateral and has affirmatively accepted such
control. The City shall only be considered to be in "constructive" possession of the Collateral when
the City has both the power and the intent to exercise control over the Collateral.
This Note is secured by the following type(s) (or items) of real property and/or personal
property ("Collateral"): the real property described in the Mortgage.
Borrower represents and warrants to the City that the Loan is for business purposes.
Borrower shall maintain property insurance covering the Collateral that secures this Loan
until such time as the Loan is paid in full. Borrower may obtain the property insurance from any
reputable insurance company of Borrower's choice that is reasonably acceptable to the City.
Borrower and all other makers, co-signers and sureties shall be jointly and severally liable
under this Note.
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Upon written request by Developer, the City shall subordinate its rights and interest in the
Property, the Minimum Improvements, this Note, and the Mortgage to the lien of a first mortgagee
on a form approved by the lender and the City Attorney, which approval will not be unreasonably
withheld, conditioned or delayed.
GENERAL PROVISIONS.
A. TIME IS OF THE ESSENCE. Time is of the essence in Borrower's performance of
all duties and obligations imposed by this Note.
B. NO WANER BY CITY. No delay or omission on the part of the City in exercising
any right hereunder shall operate as a waiver of such right or of any other remedy
under this Note. A waiver on anyone occasion shall not be construed as a bar to or
waiver of any such right or remedy on a future occasion, unless any such waiver is
in writing and is signed by the City.
C. AMENDMENT. The provisions contained in this Note may not be amended,
except through a written amendment that is signed by Borrower and the City.
D. INTEGRATION CLAUSE. This written Note, the Mortgage and the Contract for
Private Redevelopment and all documents executed concurrently herewith,
represent the entire understanding between the parties as to the obligations and may
not be contradicted by evidence of prior, contemporaneous, or subsequent oral
agreements of the parties.
E. FURTHER ASSURANCES. Borrower agrees, upon the City's request and within a
reasonable time period, to provide any information, and to execute, acknowledge,
deliver and record or file such further instruments or documents as the City may
reasonably require to secure this Note or confirm any lien.
F. GOVERNING LAW. This Note shall be governed by the laws of the State of
Minnesota, provided that such laws are not otherwise preempted by federal laws and
regulations.
G. FORUM AND VENUE. In the event of litigation pertaining to this Note, the
exclusive forum, venue and place of jurisdiction shall be in the State of Minnesota,
unless otherwise designated in writing by the City or otherwise required by law.
H. SUCCESSORS. This Note shall inure to the benefit of and bind the heirs, personal
representatives, successors and assigns of the parties; provided however, that
Borrower may not assign, transfer or delegate any of the rights or obligations under
this Note.
I. NUMBER AND GENDER. Whenever used, the singular shall include the plural,
the plural the singular, and the use of any gender shall be applicable to all genders.
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J. DEFINITIONS. The terms used in this Note, if not defined herein, shall have their
meanings as defined in the other documents executed contemporaneously or in
conjunction with this Note.
K. PARAGRAPH HEADINGS. The headings at the beginning of any paragraph, or
any subparagraph, in this Note are for convenience only and shall not be dispositive
in interpreting or construing this Note.
L. IF HELD UNENFORCEABLE. If any provision of this Note shall be held
unenforceable or void, then such provision to the extent not otherwise limited by
law shall be severable from the remaining provisions and shall in no way affect the
enforceability of the remaining provisions nor the validity of this Note.
M. CHANGE IN APPLICATION. Borrower will notify the City in writing before any
changes in its name or address.
N. NOTICE. All notices under this Note must be in writing. Any notice given by the
City to Borrower will be effective upon personal delivery or 24 hours after mailing
by first class United States mail, postage prepaid, addressed to Borrower at the
address indicated on page one of this Note. Such address may be changed by
written notice to the other party.
RECEIPT OF COPY. Borrower acknowledges that Borrower has read and received a copy
of this Note by its signature below.
BORROWER AND CITY ACKNOWLEDGE THAT THE RIGHT TO TRIAL BY JURY
IS A CONSTITUTIONAL ONE, BUT THAT IT MAY BE WANED. EACH PARTY, AFTER
CONSULTING (OR HAVING HAD THE OPPORTUNITY TO CONSULT) WITH COUNSEL
OF THEIR CHOICE, KNOWINGLY AND VOLUNTARILY, AND FOR THEIR MUTUAL
BENEFIT, WAIVES ANY RIGHT TO TRIAL BY JURY IN THE EVENT OF LmGATION
REGARDING THE PERFORMANCE OR ENFORCEMENT OF, OR IN ANY WAY RELATED
TO, TIllS NOTE OR THE INDEBTEDNESS SECURED HEREBY.
IN WITNESS WHEREOF, the undersigned has executed this Note as of the day and year
first above written.
BORROWER:
By:
W. Paul Otten
150562vl
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(Reserved for Recording Data)
MORTGAGE
TIllS INDENTURE (hereinafter referred to as the "Mortgage"), dated as of the _ day
of , 20-, between . a , whose address is
("Mortgagor"), and THE CITY OF FARMINGTON, a
public body corporate and politic under the laws of the State of Minnesota, whose address is 430
Third Street, Farmington, Minnesota 55024 ("Mortgagee").
WITNESSETH, that the said Mortgagor, in consideration of the debt hereinafter described,
the receipt and sufficiency of which is hereby acknowledged, does hereby CONVEY unto the said
Mortgagee, its successors and assigns, forever, the following real property [all of the following
being hereafter collectively referred to as the ("Property")]:
A. REAL PROPERTY. All the tracts or parcels of real property lying and being in the County
of Dakota, State of Minnesota, all as more fully described in Exhibit "A" attached hereto
and made a part hereof, together with all the estates and rights in and to the real property
and in and to lands lying in streets, alleys and roads adjoining the real property and all
buildings, structures, improvements, fixtures and annexations, access rights, easements,
rights of way or use, servitudes, licenses, tenements, hereditaments and appurtenances now
or hereafter belonging or pertaining to the real property ("Real Propertyll) subject to
encumbrances of record as of the date hereof or hereafter consented to in writing by
Mortgagee (the "Permitted Encumbrances").
AND 'TIlE SAID MORTGAGOR, for itself, its administrators, successors and assigns, does
covenant with the Mortgagee, its successors and assigns, that Mortgagor is lawfully seized of the
Property and has good right to sell and convey the same; that the Property is free from all
encumbrances except the Permitted Encumbrances; that the Mortgagee, its successors and assigns,
shall quietly enjoy and possess the Property; and that the Mortgagor will WARRANT AND
DEFEND the title to the same against all lawful claims not specifically excepted in this Mortgage.
TO HAVE AND TO HOLD THE SAME, together with the possession and right of possession of
the Property, unto the Mortgagee, its successors and assigns, forever.
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PROVIDED, NEVERTHELESS, that if the Mortgagor, its administrators, personal
representatives, successors and assigns (A) shall pay to the Mortgagee, its successors or assigns,
the sum of Eighty-Five Thousand and No/lOO Dollars ($85,000.00) or such lesser amount as may
be adjusted according to the terms of that certain Promissory Note ("Note") of even date herewith,
the terms and conditions of which are incorporated herein by reference and made a part hereof,
together with any extensions or renewals thereof, due and payable with interest thereon at the
interest rate set forth therein, the balance of said principal sum, together with interest thereon,
being due and payable in full Twenty-four months following the Date of Closing on the Contract
for Private Development, between Mortgagor and Mortgagee dated , 20_, to
which this Mortgag~ is attached as an Exhibit ("Contract for Private Developmenfj, unless due
earlier according to the terms of the Note, and (B) shall repay to the Mortgagee, its successors or
assigns, at the times demanded and with interest thereon at the same rate specified in the Note, all
sums advanced in protecting the lien of this Mortgage, in payment of taxes and special assessments
on the Property, in payment of insurance premiums covering improvements thereon, in payment of
principal and interest on prior liens, in payment of expenses and attorneys' fees herein provided for
and all sums advanced for any other purpose authorized herein (the Note and all such sums,
together with interest thereon, being collectively referred to as the "Indebtedness Secured
Hereby"), and shall keep and perform all of the covenants and agreements in the Note, the
Contract for Private Development, as amended, and herein contained, then this Mortgage shall
become null and void and shall be released at Mortgagor's expense.
AND IT IS FURTHER COVENANTED AND AGREED AS FOLLOWS:
ARTICLE ONE
GENERAL COVENANTS, AGREEMENTS, WARRANTIES
SECTION 1.1: PAYMENT OF INDEBTEDNESS I OBSERVANCE OF COVENANTS. Mortgagor will
du1y and punctually payor cause to be paid each and every installment of principal and interest on
the Note and all other Indebtedness Secured Hereby, as and when the same shall become due, and
shall duly and punctually perform and observe all of the covenants, agreements and provisions
contained herein, in the Note, and any other instrument given as security for the payment of the
Note.
SECTION 1.2: MAINTENANCE; REpAIRS. Mortgagor agrees that it will keep and maintain ~e
Property in good repair and operating condition, free from any waste or misuse, and will comply
with all requirements of law, municipal ordinances and regulations, restrictions and covenants
affecting the Property and its use. Except for the improvements contemplated in the Contract for
Private Development, Mortgagor agrees that without the prior consent of the Mortgagee it will not
expand any improvements on the Property erect any new improvements or make any material
alterations in any improvements which will affect the market value of the Property, and will
complete within a reasonable time any buildings now or at any time in the process of erection on
the Property. Mortgagor agrees not to acquiesce in any rezoning classification, modification or
restriction affecting the Property. Mortgagor will not use or occupy the Property in any manner
that violates any applicable laws, rilles, regulations or orders With respect to the Property including
but not limited to the Americans with Disabilities Act.
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SECTION 1.3: PAYMENT OF OPERATING COSTS. LIENS AND LEVIES. Mortgagor agrees that it
will pay all operating costs and expenses of the Property, keep the Property free from mechanic's,
materialmen's and other liens, keep the Property free from levy, execution or attachment, and upon
request will exhibit to Mortgagee satisfactory evidence of such payment and discharge.
SECTION 1.4: PAYMENT OF IMPOSITIONS. Mortgagor will pay when due and before any penalty
all taxes, assessments, water charges, sewer charges and other fees, taxes, charges and assessments
of every kind and nature whatsoever assessed or charged against or constituting a lien on the
Property or any interest therein, or the Indebtedness Secured Hereby ("Impositions"), and will
upon demand furnish to the Mortgagee proof of the payment of any such Impositions. In the event
of a court decree or an enactment after the date hereof by any legislative authority of any law
imposing upon a mortgagee the payment of the whole or any part of the Impositions herein
required to be paid by the Mortgagor, or changing in any way the laws relating to the taxation of
mortgages or debts secured by mortgages or a mortgagee's interest in mortgaged property, so as to
impose such IIDposition on the Mortgagee or on the interest of the Mortgagee in the Property, then,
in any such event, Mortgagor shall bear and pay the full amount of such Imposition, provided that
if for any reason payment by Mortgagor of any such Imposition would be unlawful, or if the
payment thereof would constitute usury or render the Indebtedness Secured Hereby wholly or
partially usurious, Mortgagee, at its option, may declare the whole sum secured by this Mortgage
with interest thereon to be immediately due and payable, without prepayment premium, or
Mortgagee, at its option, may pay that amount or portion of such Imposition as renders the
Indebtedness Secured Hereby unlawful or usurious, in which event Mortgagor shall concurrently
therewith pay the remaining lawful and non-usurious portion or balance of said Imposition.
SECTION 1.5: CONTEST OF lMPosmONS. LIENS AND LEVIES. Mortgagor shall not be required
to pay, discharge or remove any Imposition, or any lien or levy ("Lien or Levy") so long as the
Mortgagor shall in good faith contest the same or the validity thereof by appropriate legal
proceedings which shall opemte to prevent the collection of the Levy, Lien or Imposition so
contested and the sale of the Property, or any part thereof to satisfy the same, provided that the
Mortgagor shall, prior to the date such Levy, Lien or Imposition is due and payable, have given
such reasonable security as may be demanded by the Mortgagee to insure such payments and
prevent any sale or forfeiture of the Property by reason of such non-payment. Any such contest
shall be prosecuted with due diligence and the Mortgagor shall promptly after final determination
thereof pay the amount of any such Levy, Lien or Imposition so determined, together with all
interest and penalties, which may be payable in connection therewith. Notwithstanding the
provisions of this Section, Mortgagor shall (and if Mortgagor shall fail so to do, Mortgagee may
but shall not be required to) pay any such Levy, Lien or Imposition notwithstanding such contest if
in the reasonable opinion of the Mortgagee the Property shall be in jeopardy or in danger of being
forfeited or foreclosed.
SECTION 1.6: PROTECTION OF SECURITY. Mortgagor agrees to promptly notify Mortgagee of
and appear in and defend any suit, action or proceeding that materially affects the value of the
Property, the Indebtedness Secured Hereby or the rights or interest of Mortgagee hereunder, unless
such action was commenced by Mortgagee in which case no notice to Mortgagee is necessary.
The Mortgagee may elect to appear in or defend any such action or proceeding and, except in the '
case of an action commenced by Mortgagee, Mortgagor agrees to indemnify and reimburse
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Mortgagee from any and all loss, damage, expense or cost arising out of or incurred in connection
with any such suit, action or proceeding, including costs of evidence of title and reasonable
attorneys' fees.
SECTION 1.7: ADDITIONAL ASSURANCES. Mortgagor agrees upon reasonable request by the
Mortgagee to execute and deliver such further instruments and will do such further acts as may be
necessary or proper to carry out more effectively the purposes of this Mortgage and, without
limiting the foregoing, to make subject to the lien hereof any property agreed to be subjected
hereto or covered by the granting clause hereof, or intended so to be. Mortgagor agrees to pay any
recording fees, filing fees, stamp taxes or other charges arising out of or incident to the filing or
recording of the Mortgage, such further assurances and instruments and the issuance and delivery
of the Note.
SECTION 1.8: SUBORDINATION OF TIDS MORTGAGE. Notwithstanding anything contained
herein to the contrary, upon written request by Developer, the City may subordinate its rights and
interest in the Property, the Minimum Improvements, the Note, and this Mortgage to the lien of a
first mortgagee on a form approved by the lender and the City Attorney, which approval shall not
be unreasonably withheld~ conditioned or delayed.
SECTION 1.9: MAXIMUM AMOUNT. The maximum amount this Mortgage shall secure shall not
be more than Eighty-five Thousand and No/IOO Dollars ($85~000.00) at any time~ together with
interest and all amounts expended by the Mortgagee to protect the Mortgagee's interest in the
Property secured by this Mortgage and to enforce the terms hereof.
ARTICLE TWO
INSURANCE AND ESCROWS
SECTION 2.1: INSURANCE. Mortgagor shall obtain and keep in full force and effect during the
term of this Mortgage at its sole cost and expense~ standard ItBuilder's Risk" insurance with respect
to all construction in progress on the Property and ItAll-Risklt or "Fire-extended coverage -
difference in conditions" property insurance against loss by fire, lightning and risk customarily
covered by standard extended coverage endorsement, including the cost of debris removal, all in
the amounts of not less than the full insurable value, with agreed amount and full replacement cost
endorsements~ whichever is greater, and Flood Insurance in the maximum obtainable amount
unless evidence is provided that the Property is not within a flood plain as defined by the Federal
Insurance Administration.
Such insurance policies shall be written on forms and with insurance companies satisfactory to
Mortgagee, shall name as the insured parties the Mortgagor and the Mortgagee as their interests
may appear, shall be hi amounts sufficient to prevent the Mortgagor from becoming a co-insurer of
any loss thereunder~ shall contain endorsements that no act or negligence of Mortgagor or any
occupant of the Property and no occupancy or use of the Property for purposes more hazardous
than permitted by the terms of the policy shall affect the validity and enforceability of such
insurance as against Mortgagee~ and shall bear a satisfactory mortgagee clause in favor of the
Mortgagee with loss proceeds under any such policies to be made payable to the Mortgagee,
subject~ however, to any claims by any first mortgagee lender for the Property. Mortgagee agrees
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to make any such loss proceeds available to Mortgagor in the event the parties agree to restore
and/or repair the Property. Mortgagor shall also obtain and keep in full force and effect during the
term of this Mortgage comprehensive general public liability insurance covering the legal liability
of the Mortgagor against claims for bodily injury, death or property damage occurring on, in or
about the Property in the amount of at least One Million Five Hundred Thousand and No/l 00
Dollars ($1,500,000.00), which policies shall name the Mortgagee as additional insured. All
required policies of insurance or acceptable certificates thereof, together with evidence of the
payment of current premiums therefor, shall be delivered to the Mortgagee. The Mortgagor shall,
within thirty (30) days prior to the expiration of any such policy, deliver other original policies or
certificates of the insurer evidencing the renewal of such insurance together with evidence of the
payment of current premiums therefor. All policies shall specifically provide that the Mortgagee
shall receive thirty (30) days prior written notice before cancellation of any such policies. In the
event of a foreclosure of this Mortgage or any acquisition of the Property by the Mortgagee, all
proceeds payable under this policy, whether payable before or after a foreclosure sale, or during
the period of redemption, if any, shall become the absolute property of the Mortgagee to be utilized
at its discretion. In the event of foreclosure or the failure to obtain and keep any required
insurance, the Mortgagor empowers the Mortgagee to effect insurance upon the Property at
Mortgagor's expense and for the benefit of the Mortgagee in the amounts and types aforesaid for a
period of time covering the time of redemption from foreclosure sale, and if necessary, to cancel
any or all existing insurance policies. Mortgagor agrees to furnish Mortgagee copies of all
inspection reports and insurance recommendations received by Mortgagor from any insurer.
SECTION 2.2: ESCROWS. Intentionally deleted.
ARTICLE THREE
UNIFORM COMMERCIAL CODE
INTENTIONALLY DELETED
ARTICLE FOUR
APPLICATION OF INSURANCE AND AWARDS
SECTION 4.1: DAMAGE OR DESTRUCTION OF THE PROPERTY. Mortgagor will give the
Mortgagee prompt notice of any damage to or destruction of the Property. If the insurance
proceeds are sufficient to pay all costs of repair and/or restoration, then the parties will in good
faith consider that option.
SECTION 4.2: CONDEMNATION. Subject to the rights of any first mortgagee lender of the
Property to which this Mortgage may be subordinated, Mortgagor will give the Mortgagee prompt
notice of any action, actual or threatened, in condemnation or eminent domain and hereby assigns,
transfers and sets over to the Mortgagee the entire proceeds of any award or claim for damages for
all or any part of the Property taken or damaged under the power of eminent domain or
condemnation, the Mortgagee being hereby authorized to intervene in any such action in the name
of the Mortgagor and to collect and receive from the condemning authorities and give proper
receipts and acquittances for such proceeds to the extent such proceeds and claims for damage are
not assigned to any first mortgagee lender for the Property. Any expenses incurred by the
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Mortgagee in intervening in such action or collecting such proceeds shall be reimbursed to the
Mortgagee first out of the proceeds. The proceeds or any part thereof shall be applied upon or in
reduction of the Indebtedness Secured Hereby then most remotely to be paid, whether due or not,
without the application of any prepayment premium, or to the restoration or repair of the Property,
the choice of application to be solely at the discretion of Mortgagee.
SECTION 4.3: DISBURSEMENT OF INSURANCE AND CONDEMNATION PROCEEDS. Should any
insurance or condemnation proceeds be applied to the restoration or repair of the Property, the
restoration or repair shall be done under the supervision of an architect acceptable to Mortgagee
and pursuant to plans and specifications approved by the Mortgagee. In such case the insurance or
condemnation proceeds shall be held by Mortgagee, subject to the rights of any first mortgagee
lender for the Property, for such purposes and will from time to time be disbursed by Mortgagee to
defray the costs of such restoration or repair under such safeguards and controls as the Mortgagee
may reasonably require to assure completion in accordance with the approved plans and
specifications and free of liens or claims. Any surplus which may remain after payment of all costs
of restoration or repair may at the option of the Mortgagee be applied on account of the
Indebtedness Secured Hereby then most remotely to be paid, whether due or not, without
application of any prepayment premium or shall be returned to Mortgagor as its interest may
appear, the choice of application to be solely at the discretion of Mortgagee.
ARTICLE FIVE
RIGHTS OF MORTGAGEE
SECTION 5.1: RIGHT TO CURE DEFAULT. If the Mortgagor shall fail to comply with any of the
covenants or obligations of this Mortgage, the Mortgagee may, but shall not be obligated to,
without further demand upon Mortgagor, and without waiving or releasing Mortgagor from any
obligation in this Mortgage contained, remedy such failure, and the Mortgagor agrees to repay
upon demand all sums incurred by the Mortgagee in remedying any such failure, together with
interest on all such sums advanced at a rate equal to that then in effect under the terms of the Note.
Mortgagee shall give Mortgagor at least thirty (30) days notice of the failure to comply prior to the
Mortgagee taking remedial action, but Mortgagee's failure to give any such notice shall have no
effect on Mortgagor's obligation to repay Mortgagee for any sums advanced together with interest
thereon. All such sums, together with interest as aforesaid, shall become so much additional
Indebtedness Secured Hereby, but no such advance shall be deemed to relieve the Mortgagor from
any failure hereunder.
SECTION 5.2: No CLAIM AGAINST THE MORTGAGEE. Nothing contained in this Mortgage shall
constitute any consent or request by the Mortgagee, express or implied, for the performance of any
labor or services or for the furnishing of any materials or other property in respect of the Property
or any part thereof, nor as giving the Mortgagor or any party in interest with Mortgagor any right,
power or authority to contract for or permit the performance of any labor or services or the
furnishing of any materials or other property in such fashion as would create any personal liability
against the Mortgagee in respect thereof or would permit the making of any claim that any lien
based on the performance of such labor or services or the furnishing of any such materials or other
property is prior to the lien of this Mortgage.
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SECTION 5.3: INSPECTION. Upon reasonable prior notice to Mortgagor, Mortgagor will permit
the Mortgagee's authorized representatives to enter the Property for the purpose of inspecting the
same; provided the Mortgagee shall have no duty to make such inspections and shall not incur any
liability or obligation for making or not making any such inspections.
SECTION 5.4: WAIVERS: RELEASES: RESORT TO OTHER SECURITY: ETC. Without affecting
the liability of any party liable for payment of any Indebtedness Secured Hereby or performance of
any obligation contained herein and without affecting the rights of the Mortgagee with respect to
any security not expressly released in writing, the Mortgagee may, at any time, and without notice
to or the consent of the Mortgagor or any party in interest with the Property or the Note (a) release
any person liable for payment of all or any part of the Indebtedness Secured Hereby or for
performance of any obligation herein, (b) make any agreement extending the time or otherwise
altering the terms of payment of all or any part of the Indebtedness Secured Hereby or modifying
or waiving any obligation, or subordinating, modifying or otherwise dealing with the lien or charge
hereof, (c) accept any additional security, (d) release or otherwise deal with any property, real or
personal, including any or all of the Property, including making partial releases of the Property; or
(e) resort to any security agreements, pledges, contracts of guarantee, assignments of rents and
leases or other securities, and exhaust anyone or more of said securities and the security
hereunder, either concurrently or independently and in such order as it may determine.
SECTION 5.5: RIGHTS CUMULATIVE. Each right, power or remedy herein conferred upon the
Mortgagee is cumulative and in addition to every other right, power or remedy, express or implied,
now or hereafter arising, available to Mortgagee, at law or in equity, or under any other agreement,
and each and every right, power and remedy herein set forth or otherwise so existing may be
exercised from time to time as often and in such order as may be deemed expedient by the
Mortgagee and shall not be a waiver of the right to exercise at any time thereafter any other right,
power or remedy. No delay or omission by the Mortgagee in the exercise of any right, power or
remedy arising hereunder or arising otherwise shall impair any such right, power or remedy or the
right of the Mortgagee to resort thereto at a later date or be construed to be a waiver of any default
or event of default under this Mortgage or the Note.
SECTION 5.6: SUBSEOUENT AGREEMENTS. Any agreement hereafter made by the Mortgagor
and Mortgagee pursuant to this Mortgage shall be superior to the rights of the holder of any
intervening lien or encumbrance.
SECTION 5.7: WAIVER OF MARsHALING. Mortgagor hereby waives any rights available with
respect to marshaling of assets so as to require the separate sales of any portion of the Property, or
as to require the Mortgagee to exhaust its remedies against a specific portion of the Property before
proceeding against the other and does hereby expressly consent to and authorize the sale of the
Property or any part thereof as a single unit or parcel.
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ARTICLE SIX
EVENTS OF DEFAULT AND REMEDIES
SECTION 6.1: EVENTS OF DEFAULT. It shall be an "Event of Default" under this Mortgage if
(a) the Mortgagor shall fail to pay any principal or interest due on the Note when and as the same
become due (whether at the stated maturity or at a date fixed for any installment payment or any
accelerated payment date or otherwise); or (b) the Mortgagor shall fail to pay when due any other
Indebtedness Secured Hereby; or (c) the Mortgagor shall, except as to defaults under (a), (b) above,
after 30 days prior notice from Mortgagee, fail to comply with or perform any other term,
condition or covenant of the Note, this Mortgage, the Contract for Private Development or any
other instrument securing the Note; or (d) the Mortgagor shall sell, convey, transfer, further
mortgage or encumber or dispose of the Property, or any part thereof, or any interest therein, or
agrees so to do, except in accordance with the tenns of this Mortgage; or (e) the Mortgagor shall
make an assignment for the benefit of its creditors, or shall admit in writing its inability to pay its
debts as they become due, or shall file a petition in bankruptcy, or shall be adjudicated a bankrupt
or insolvent, or shall file a petition seeking any reorganization, dissolution, liquidation,
arrangement, composition, readjustment or similar relief under any present or future bankruptcy or
insolvency statute, law or regulation or shall file an answer admitting to or not contesting the
material allegations of a petition filed against it in such proceedings, or shall not within sixty (60)
days after the filing of such a petition have the same dismissed or vacated, or shall seek or consent
to or acquiesce oin the appointment of any trustee, receiver or liquidator of a material part of its
properties, or shall not within sixty (60) days after the appointment without its consent or
acquiescence of a trustee, receiver or liquidator of any material part of its properties have such
appointment vacated; or (f) any representation or warranty made by Mortgagor herein, in the Note,
or in any other instrument given as security for the Note shall be materially false, breached or
dishonored.
SECTION 6.2: MORTGAGEE'S REMEDIES / RIGHT TO FORECLOSE. Upon the occurrence of an
Event of Default, Mortgagee shall provide written notice to Mortgagor of any default. Mortgagor
shall have an opportunity to cure such default for a period of thirty (30) days following receipt of
such notice. Mortgagee agrees not to take any action until the expiration of the thirty (30) day
period. In the event Mortgagor fails to cure any defaults within thirty (30) days of the notice of a
default, then Mortgagee may, at its option, exercise any or all of the following rights and remedies
(and any other rights and remedies available to it):
(a) Declare the entire principal of and the accrued interest on the Note, together with all sums
advanced hereunder and interest thereon, to be immediately due and payable, and thereupon the
Note, including both principal and interest accrued thereon, and all sums advanced hereunder and
interest thereon, shall be immediately due and payable without presentment, demand or notice of
any kind; or
(b) Proceed to protect and enforce its rights by a suit or suits in equity or at law (1) for the
specific performance of any covenant or agreement contained herein or in the Contract for Private
Development, or (2) in aid of the execution of any power herein or therein granted, or (3) for the
foreclosure of this Mortgage, or (4) for the enforcement of any other appropriate legal equitable
remedy; or
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(c) Foreclose this Mortgage by action or advertisement, and Mortgagor hereby authorizes
Mortgagee to do so, power being herein expressly granted to sell the Property at public auction
without any prior hearing or notice thereof and to convey the same to the purchaser, in fee simple,
pursuant to the statutes of Minnesota in such case made and provided, and out of the proceeds
arising from such sale, to pay all Indebtedness Secured Hereby with interest, and all legal costs and
charges of such foreclosure and reasonable attorney's fees permitted by law, which costs, charges
and fees Mortgagor agrees to pay. In the event of a sale under this Mortgage, whether by virtue of
judicial proceedings or advertisement or otherwise, the Property may, at the option of Mortgagee,
be sold as an entirety or in such other manner and order as Mortgagee in its sole discretion may
elect; or
(d) Without releasing Mortgagor from any obligation hereunder or under the Note and this
Mortgage, cure any Event of Default. In connection therewith, Mortgagee may enter upon the
Property and do such acts and things as Mortgagee reasonably deems necessary or desirable to
protect the Property, including without limitation: (1) paying, purchasing, contesting or
compromising any encumbrance, charge, lien or claim, property taxes and charges; (2) paying any
insurance premiums; and (3) employing counsel, accountants, contractors and other appropriate
persons to assist Mortgagee in the foregoing. Should Mortgagee make any such payments, the
amount thereof shall be secured hereby, and Mortgagor shall reimburse Mortgagee immediately
upon demand, and said amount shall bear interest at the rate specified in the Note until repaid; or
(e) It is expressly understood and agreed by Mortgagor that in the event of any foreclosure or
other sale under this Mortgage by virtue of judicial proceeding, advertisement or otherwise, the
Property may be sold as one parcel without exhausting Mortgagee's right, except as the same may
be limited by applicable law, to such remedy for any unsatisfied part of the Borrower's
indebtedness under the Note and this Mortgage or the Contract for Private Development, and
without exhausting the power to exercise such remedy for any other part of said indebtedness,
whether matured at the time or subsequently maturing. If a part of the Property is sold pursuant to
this Section 6.2 and the proceeds thereof do not fully pay and satisfy the Borrower's indebtedness
under the Note, and the Contract for Private Development, such sale, if so made, shall not in any
manner affect the unpaid and unsatisfied part of said indebtedness; or
(g) Exercise any and all remedies available to Mortgagee under .the Contract for Private
Development and any and all rights under the laws of the State of Minnesota, whether or not herein
specified.
The exercise of any right or remedy with respect to any part of the Property shall not affect the
availability of any other of Mortgagee's rights and remedies under other applicable law or this
Mortgage. All expenses (including any receivers' fees, attorneys' fees, costs and agents'
compensation) incurred by Mortgagee pursuant to the powers herein contained shall be secured
hereby and shall bear interest from the date incurred at the rate provided in the Note until paid by
Mortgagor.
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SECTION 6.3: RECEIVER. Upon the occurrence and continuance of an Event of Default
hereunder and after the expiration of any applicable cure periods, the Mortgagee shall be entitled as
a matter of right without notice and without giving bond and without regard to the solvency or
insolvency of the Mortgagor, or waste of the Property or adequacy of the security of the Property,
to apply for the appointment of a receiver in accordance with the statutes and law made and
provided for who shall collect the rents, and all other income of any kind; manage the Property so
to prevent waste; complete construction of the Minimum Improvements (as defined in the Contract
for Private Development) already under construction and pay for the same; pay all expenses for
normal maintenance of the Property and perform the terms of this Mortgage and apply the rents,
issues and profits in the following order: (a) to the payment of the reasonable fees of said receiver;
(b) to the payment when due of prior or current real estate taxes or special assessments with respect
to the Property or, if required by this Mortgage, payment of the periodic escrow for payment of the
taxes or special assessments; (c) to the payment when due of premiums for insurance of the type
required by this Mortgage or, if required by this Mortgage, payment of the periodic escrow for the
payment of the premiums; and (d) to the repayment of the Indebtedness Secured Hereby and to or
for the construction of the Improvements, operation, maintenance, upkeep and repair of the
Property, including payment of taxes on the Property and payments of premiums of insurance on
the Property. The Mortgagor does hereby irrevocably consent to such appointment
SECTION 6.4: RIGHTS UNDER UNIFORM COMMERCIAL CODE. Intentionally deleted
SECTION 6.5: REMEDIES ARE CUMULATIVE. All remedies herein expressly provided for are
cumulative of any and all other remedies existing at law or in equity and are cumulative of any and
all other remedies provided for in any other instrument securing the payment of the Note or
relating to same, or any part thereof, or otherwise benefiting Mortgagee and Mortgagee shall, in
addition to the remedies herein provided, be entitled to avail itself of all such other remedies as
may now or hereafter exist at law or in equity for the collection of the Note, and the enforcement of
the covenants herein and the foreclosure of the liens and security interest evidenced hereby, and the
resort to any remedy provided for hereunder or under any such other instrument or provided for by
law shall not prevent the concurrent or subsequent employment of any other appropriate remedy or
remedies.
SECTION 6.6: RIGHT TO DISCONTINUE PROCEEDINGS. In the event Mortgagee shall have
proceeded to invoke any right, remedy or recourse permitted under this Mortgage and shall
thereafter elect to discontinue or abandon the same for any reason, Mortgagee shall have the
unqualified right to do so and in such event Mortgagor and Mortgagee shall be restored to their
former positions with respect to the Indebtedness Secured Hereby. This Mortgage, the Property
and all rights, remedies and recourse of the Mortgagee shall continue as if the same had not been
invoked.
SECTION 6.7: ACKNOWLEDGEMENT OF WAIVER OF IlEARING BEFORE SALE. Mortgagor
understands and agrees that if any default is made under the terms of this Mortgage, Mortgagee has
the right inter alia, to foreclose this Mortgage by advertisement pursuant to Minnesota Statutes
Chapter 580, as hereafter amended, or pursuant to any similar or replacement statute hereafter
enacted; that if the Mortgagee elects to foreclose by advertisement, it may cause the Property, or
any part thereof, to be sold at public auction; that notice of such sale must be published for six (6)
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successive weeks at least once a week in a newspaper of general circulation and that no personal
notice is required to be served upon Mortgagor. Mortgagor further understands that under the
Constitution of the United States and the Constitution of the State of Minnesota, it may have the
right to notice and hearing before the Property may be sold and that the procedure for foreclosure
by advertisement described above does not insure that notice will be given to the Mortgagor and
said procedure for foreclosure by advertisement does not require any hearing or other judicial
proceeding. MORTGAGOR HEREBY RELINQUISHES, WAIVES AND GIVES UP ANY
CONSTITUTIONAL RIGHTS IT MA Y HAVE TO NOTICE AND HEARING BEFORE SALE
OF THE PROPERTY AND EXPRESSLY CONSENTS AND AGREES THAT THE PROPERTY
MAY BE FORECLOSED BY ADVERTISEMENT AS DESCRIBED ABOVE. MORTGAGOR
ACKNOWLEDGES THAT IT IS REPRESENTED BY LEGAL COUNSEL OR THAT IT HAD
THE OPPORTUNITY TO CONSULT WITH LEGAL COUNSEL; THAT BEFORE SIGNING
THIS DOCUMENT THIS PARAGRAPH AND MORTGAGOR'S CONSTITUTIONAL
RIGHTS WERE FULLY EXPLAINED BY SUCH COUNSEL AND THAT MORTGAGOR
UNDERSTANDS THE NATURE AND EXTENT OF THE RIGHTS WAIVED HEREBY AND
THE EFFECT OF SUCH WAIVER.
ARTICLE SEVEN
MISCELLANEOUS
SECTION 7.1: RELEASE OF MORTGAGE. When all Indebtedness Secured Hereby has been paid,
this Mortgage and all assignments herein contained shall be void and this Mortgage shall be
released by the Mortgagee at the cost and expense of the Mortgagor, otherwise to remain in full
force and effect.
SECTION 7.2: CHOICE OF LAW. This Mortgage is made and executed under the laws of the
State of Minnesota and is intended to be governed by the laws of said State.
SECTION 7.3: CHANGES OF OWNERSHIP. In the event that the ownership of the Property
becomes vested in a person or persons other than the Mortgagor, the Mortgagee may continue to
deal with the Mortgagor without any obligation to deal with such successor or successors in
interest with reference to this Mortgage and the Indebtedness Secured Hereby until notified of such
vesting and approval of such successor or successors in accordance with the terms of this
Mortgage. Upon such notification, the Mortgagee may thereafter deal with such successor in place
of Mortgagor without any obligation to thereafter deal with Mortgagor and without waiving any
liability of Mortgagor hereunder or under the Note.
SECTION 7.4: SUCCESSORS AND AsSIGNS. This Mortgage and each and every covenant,
agreement and other provision hereof shall be binding upon the Mortgagor and its successors and
assigns, including without limitation each and every from time to time record owner of the
Property or any other person having an interest therein, shall run with the land and shall inure to
the benefit of the Mortgagee and its successors and assigns.
SECTION 7.5: UNENFORCEABILITY OF CERTAIN CLAUSES. The unenforceability or invalidity
of any provision hereof shall not render any other provision or provisions herein contained
unenforceable or invalid.
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SECTION 7.6: CORRECTIONS OF ERRORS. Mortgagor will, upon reasonable request of
Mortgagee (a) promptly correct any defect, error or omission which may be discovered in the
contents of this Mortgage or in any other instrument executed in connection herewith or in the
execution of acknowledgment thereof, (b) execute, acknowledge, deliver, procure, and file or
record any documents or instruments (including specifically any financing statement) reasonably
necessary by Mortgagee to protect the lien or the security interest hereunder against the rights or
interest of third persons, and Mortgagor will pay all costs of recording the same.
SECTION 7.7: CAPTIONS AND IlEADINGs. The captions and headings of the various sections of
this Mortgage are for convenience only and are not to be construed as confining or limiting in any
way the scope or intent of the provisions hereof. Whenever the context requires or permits, the
singular shall include the plural, the plural shall include the singular and the masculine, feminine
and neuter shall be freely interchanged.
SECTION 7.8: NOTICES. Any notice which any party hereto may desire or may be required to
give to any other party shall be in writing and the mailing thereof by certified mail to their
respective addresses as set forth herein, or to such other places any party hereto may hereafter by
notice in writing designate, shall constitute service of notice hereunder.
MORTGAGOR AND MORTGAGEE ACKNOWLEDGE THAT THE RIGHT TO TRIAL BY
. JURY IS A CONSTITUTIONAL ONE, BUT THAT IT MAY BE WAIVED. EACH PARTY,
AFTER CONSULTING (OR HAVING HAD THE OPPORTUNITY TO CONSULT) WITH
COUNSEL OF THEIR CHOICE, KNOWINGLY AND VOLUNTARILY, AND FOR THEIR
MUTUAL BENEFIT, WAIVES ANY RIGHT TO TRIAL BY JURY IN THE EVENT OF
LITIGATION REGARDING THE PERFORMANCE OR ENFORCEMENT OF, OR IN ANY'
WAY RELATED TO, THIS MORTGAGE OR THE INDEBTEDNESS SECURED HEREBY.
IN WITNESS WHEREOF, the Mortgagor has caused these presents to be executed this
_day of .20_.
MORTGAGOR:
By:
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STATE OF MINNESOTA )
)ss.
COUNTY OF DAKOTA
The foregoing instrument was acknowledged before me this _ day of September, 2010,
~ .~ ill a
Minnesota corporation, on behalf of said corporation.
Notary Public
Drafted by and return to:
CAMPBELL KNUTSON, P.A.
1380 Corporate Center Curve, Suite 317
Eagan, Minnesota 55121
Phone: (651) 452-5000
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EXHIBIT" A"
Legal Description
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