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HomeMy WebLinkAbout12.04.00 Council Packet COUNCIL MEETING REGULAR December 4, 2000 1. CALL TO ORDER 7:00 P.M. 2. PLEDGE OF ALLEGIANCE 3. ROLL CALL 4. APPROVEAGENDA 5. ANNOUNCEMENTS a) Citizen Recognition - Police Department 6. CITIZEN COMMENTS (Open for Audience Comments) a) Burning Permit Issuance Request - Community Development b) County Road 72 Assessments - Citizen Request - Administration 7. CONSENT AGENDA a) Approve Council Minutes (11/20100) (Regular), (11/8100) (Special) b) Accept 2000 CIP Status Report - Administration c) Appointment Recommendation - Public Works d) Appointment Recommendation - Parks and Recreation e) Capital Outlay - Fire Department f) Consider Resolution - Tree City USA Application - Parks and Recreation g) Approve Bills 8. PUBLIC HEARINGS a) Truth in Taxation Hearing - Finance Department 9. AWARDOFCONTRACT 10. PETITIONS, REQUESTS AND COMMUNICATIONS a) Consider Developer Request Building Permit Issuance - Farmington Family Townhomes - Community Development b) Consider Developer Request for Feasibility Report - 195th Street - Public Works 11. UNFINISHED BUSINESS a) Consider Adoption Adult Entertainment Ordinance - Community Development 12. NEW BUSINESS a) Consider Approval of Joint Powers Agreement Dakota County Narcotics Task Force - Police Department b) Consider Issuance of Certificates of Indebtedness - Finance Department c) Public Facilities Site Planning and Project Budget Update - Administration Action Taken Rec()~ized Iriformation. Received DeftrralDenied Approved Accepted Ratified Ratified Information Received R96..00 Approved Iriformation Received Authorized R97..00 R98..00 Ord 000..457 Approved R99..00 Authorized 13. COUNCIL ROUNDTABLE 14. ADJOURN ~ ~ 5a., City of Farmington 325 Oak Street, Farmington, MN 55024 (651) 463-7111 Fax (651) 463-2591 www.c1.farmington.mn.us FROM: Mayor, Councilmembers and City Administrator~ Daniel M. Siebenaler Chief of Police TO: SUBJECT: Citizen Recognition David Scott Blaiser DATE: December 4, 2000 INTRODUCTION / DISCUSSION On November 4t\ 2000 officers of the Farmington Police Department responded to a call of a suspicious person in the area of 3rd and Main Streets. Upon arrival the officers were confronted by an extremely violent person. When that first suspect was handcuffed and under control the officers heard a second individual yelling belligerently and acting irrationally a distance away in the 300 block of Main St. While two officers maintained control of the initial suspect, Officer Gary Deutschle responded alone to speak with the second individual. Immediately upon his arrival Officer Deutschle was confronted by the suspect and attempted to verbally order him to the ground without success. The second suspect was also under the influence of a controlled substance and was not responsive to the officer's orders. A physical confrontation followed. During the course of the brief fight with the suspect, a resident in the vicinity observed the situation and could see that the officer needed help. Without concern for himself, Mr. David Blaiser left the safety of his home and went to the aid of the officer. By the time other officers arrived to help, Officer Deutschle and Mr. Blaiser had the second suspect under control. It is a rare occurrence when a private citizen, such as Mr. Blaiser, comes forward and places himself in harms way to assist a police officer. The importance of his help in this instance is only heightened by the fact that the suspect was under the influence of a controlled substance (LSD), which made him even more dangerous to the officer and himself. It has been said that a Police Department does not create the image of a community, but acts as a mirror, reflecting the image of the community it serves. The Farmington Police Department is proud to reflect the values of a community characterized by the acts of Mr. David Blaiser. ACTION REQUESTED The City of Farmington wishes to publicly thank and commend Mr. David Scott Blaiser for his unselfish act of bravery in assistance to a member of the Farmington Police Department, and present Mr. David Blaiser with the City of Farmington Meritorious Service Award. ~~~E!fu:!~ ~ubmitted, ,-~.~~~.:\J, .-;/~-: .~ .~ J ~ ....~,~~}~~,. Daniel M. Siebenaler Chief of Police City of Farmington 325 Oak Street, Farmington, MN 55024 (651) 463-7111 Fax (651) 463-2591 www.c:i.farmington.mn.us CCP TO: Mayor and Councilmembers City Administrator1~/ FROM: David L. Olson Community Development Director SUBJECT: Citizen Comment - Burning Permit Issuance Request DATE: December 4, 2000 INTRODUCTION Al Deaton of 18775 Pilot Knob Road appeared at the November 20, 2000 City Council meeting and expressed concerns regarding issuance of a Burning Permit. DISCUSSION Attached please find a memo from Matt Brokl, Assistant City Attorney addressing several of the issues raised by Mr. Deaton. The memo addresses issues regarding the previous citation that was issued, the disposition of that citation in District Court and the conditions regarding the issuance of a new Recreation Burning Permit. Also attached is copy of a letter from Fire Marshal Brad Schmoll which indicates his and the Fire Chiefs willingness to meet with Mr. Deaton and Ms. Schwartz and outlines the requirements for Recreation Burning Permits in the City. After this meeting has taken place and Mr. Deaton and Ms. Schwartz agree to the requirements for Recreational Burning Permits in the City of Farmington, a permit will be issued. ACTION REOUESTED For information only. cc: Al Deaton, 18775 Pilot Knob Road Memo To: Farmington City Council, John Erar, and David Olson From: Matt Brokl, Assistant City attorney Date: 11/28/00 Re: Open Burning ordinance: Mr. AI Deaton I write to respond to comments made by Mr. AI Deaton at the last City Council meeting. My first contact with Mr. Deaton occurred in court on the day of his trial at the Hastings Court House. Mr. Deaton was charged with leaving a fire unattended and having a fire without the required permit. Both charges were misdemeanor offenses. Mr. Deaton sat in a conference room with me while I telephoned Brad Schmoll, the City Fire Marshal. Mr. Deaton was concemed about his attempts to obtain a buming permit for future use. Mr. Deaton, Brad Schmoll and I discussed the matter and it was agreed that after the criminal case was completed Mr. Deaton would meet with Brad Schmoll to review the City's requirements and conditions for obtaining a burning permit. No promise was made regarding the issuance of a permit. On the criminal matter I negotiated an agreement with Mr. Deaton whereby he pleaded guilty to permitting an unattended fire. The other charge was dismissed and Mr. Deaton paid a fine. No court record exists regarding the potential meeting between Mr. Deaton and Brad Schmoll because the resolution of the criminal case had nothing at all to do with the future meeting between the parties. After the court matter, Mr. Deaton called me to complain that he could not meet with Brad Schmoll during business hours, and he just wanted a permit to be issued to him. I told him he had to meet with Brad Schmoll. Mr. Deaton was not very happy and he told me this was a big "joke" and that Brad Schmoll was "out to get him." I told Mr. Deaton this was no joke and that if he wanted a permit he had to reach an agreement or understanding with Brad Schmoll before the City would consider his request. Mr. Deaton indicated this issue was being blown out of proportion. I said that the matter was becoming more complicated but that it could be handled simply if he would meet with Brad Schmoll, and if issued a permit, that he abide by the terms of the permit. Mr. Deaton said he wanted to file a complaint about this issue and I directed him to City Hall. The burning permit issue has been reviewed by Brad Schmoll, David Olson, John Erar and me and the conclusion remains the same; If Mr. Deaton wants a permit, he must first meet with City staff. If issued a permit, Mr. Deaton must abide by its terms. rXB'r M.~. 1'16rOI rI'Bo~ .DEPIBrM~rE"I'T ~A ~ rr ~ .... ~ ~ Ii, ~ ~,~ =~~ ~ .a.......,Jl.1 ~ Established 1880 325 Oak Street Farmington, Minnesota 55024 November 27,2000 Ms. Kimberly A. Schwartz & Mr. Alan L. Deaton 18775 Pilot Knob Road Farmington, MN 55024 t~[?y Re: Request for Recreational Burn Permit Dear Ms. Schwartz & Mr. Deaton, Please be advised, in order to obtain a recreational fIre permit, it will be necessary that both of you meet with Fire Chief Ken Kuchera and myself at City Hall. Please call either the fIre chief or myself to schedule such a meeting. The meeting must be scheduled during staff hours of 8:00 AM to 4:30 PM most Thursdays and Fridays. The purpose of the meeting will be to go over the parameters of the minimum requirements of the Uniform Fire Code and all local requirements that pertain to the recreational permit that the both of you are requesting. This meeting was indicated as a requirement to you by Matt Brokl, Assistant City Attorney, as a condition to your plea on the recently unattended burning citation. Also, in order to receive the permit that you are requesting, the property owner or fee owner must sign the permit along with the individual who has requested such permit. Furthermore, it will be the property owner's responsibility along with the individual who has requested such permit to strictly adhere to the requirements of the Uniform Fire Code and all local requirements as established by the City of Farmington. #1: The requirements for recreational fires in the City of Farmington are as follows: Recreational fIre site-requirements as set forth through local fIre code requirements and state law: Is an area of no more than a three- (3) foot diameter circle (measured from the inside of the fITe ring or border), and completely surrounded by non-combustible and non-smoke odor producing material. Such as, natural rock, cement, brick, tile or block ferrous metal only and which the area is depressed below the ground or on the ground. Recreational fIre sites shall not be located closer than twenty-five (25) feet to any structure. Burners, burn barrels and portable fireplaces are prohibited and are not considered recreational fITe sites. #2: Fire Extinguishing Equipment: Buckets, Shovels, Garden hoses or a fIre extinguisher with a minimum rating of at least a 4A- 60BC shall be available for use at all times during a recreational bum. #3: Attendance: recreational fires shall be constantly attended at all times by a person lrnowledgeable in the use of the fIre extinguishing equipment required by the Uniform Fire Code. An attendant shall supervise a recreational fire until such fITe has been completely extinguished. #4: Discontinuance: The Fire Chief or the Authority Having Jurisdiction is authorized to require that recreational fires, open burning and or permits be immediately discontinued if the Chief or the Authority Having Jurisdiction determines that smoke emissions are offensive to occupants of surrounding property, or if it constitutes a hazardous condition. #5: Winds must be less than five (5) MPH. #6: An adult shall be in attendance at all times. #7: The smoke cannot offend anyone. #8: Only Firewood can be burned; No Leaves Yard, Waste, Paper, Garbage or other Flammable Materials are allowed. In addition, Prohibited burning materials are: Oil, rubber, plastics, tires, Chemically treated materials such as railroad ties, treated lumber, composite shingles, tar paper, insulation, composition board, leaves, hazardous waste, or trash. #9: Daily hours permitted for burning are 6:00 AM to 10:00 PM. In consideration for granting such a permit, the property owner agrees as follows: The property owner will defend, indemnify, and hold harmless the City of Farmington, its Fire Marshal, officers, agents, employees, and contractors from any and all liability, loss, cost, damages, expense, claims, or actions which the City or its Fire Marshal, Fire Chief may sustain. Permit Holder Responsibility: The permit holder is responsible for compliance and implementation of all general conditions, and special conditions as established in the permit issued. The permit holder shall be responsible for all costs incurred as a result of the burn including, but not limited to, fire suppression and administrative fees. Recreational Fire Permits are only valid for one year prior to meeting all the minimum requirements as set forth through State Codes and local requirements. In addition, for your convenience the City has included the necessary permit that is required to be filled out and signed by both parties. If you should need any further assistance, you may contact Fire Chief Ken Kuchera or myself at the numbers listed below. Sincerely,....., ,? /" /;/ 0./ ' ", v' " /' , . J ~ . ....<' ..../ .' /~-G-'..J- _.,,-.,>~/~~( , 0"- Brad C. Schmoll Farmington Fire Marshal. (651) 463-1840 cc: Ken Kuchera, Farmington Fire Chief, (651) 463-4771 Matt Brokl, Assistant City Attorney file City of Farmington 325 Oak Street, Farmington, MN 55024 (651) 463-7111 Fax (651) 463-2591 www.ci.farmington.mn.us Cb TO: Mayor and Council Members FROM: John F. Erar, City Administrator SUBJECT: County Road 72 Project - Citizen Request DATE: December 4, 2000 INTRODUCTION At the November 20, 2000 Council meeting, Mrs. Elaine Schultz, the former owner of property located at 3403 213 th Street, appeared before the City Council to request a deferral, waiver or reduction of special assessments against this property which is comprised of two (2) separate lots. The lot in question was assessed for improvements associated with storm sewer and street improvements and presently houses a storage shed structure, along with access to 213th Street (formerly County Road 72). A previous request raised by Mr. and Mrs. Schultz for the deferment of assessments for water and sanitary sewer against this lot was granted at the public hearing scheduled on October 2, 2000. However, it was concluded during the special assessment process that given the fact that the lot in question accesses 213th Street (formerly C.R. 72) and that there is currently a structure on the lot, project benefit in the form of street and storm sewer improvements was appropriately conferred. DISCUSSION The issue raised by Mrs. Schultz at this time is for an additional deferment, waiver or reduction of special assessments for road and storm sewer improvements on the subject lot. Deferments of special assessments are typically granted for undeveloped property. Similarly, a waiver is typically not granted for taxable property and a reduction in a special assessment is only considered subject to statutory guidelines when the assessment exceeds the benefit conferred by the public improvement. In this particular situation, the property supports a storage shed and has driveway access to the public improvements. The subject lot is further developable and would support a single-family housing structure upon demolition of the storage structure. Further, Dakota County assigned the subject lot a separate parcel identification number (P.I.N.) in recognition of a previous request by a former property owner that the lot could be developed separately. Mrs. Schultz indicated that the property was already assigned two separate PIN numbers at the time they purchased the property. Mayor and City Council County Road 72 Project - Citizen Request Page 2 of3 A deferment for water and sanitary sewer assessment on this lot was granted by Council in light of the fact that the lot, as it exists today, does not connect to the utilities presently and consequently would not benefit from water and sanitary sewer. Once developed, the lot would then be assessed for the utilities. With respect to Ms. Schultz's most recent request, there are several issues identified in the next section of this memorandum that complicate how the City may respond in this matter. Administrative Findings 1. Mr. and Mrs. Schultz are no longer the fee owners of the subject property as they sold the property in early 1999. This fact alone raises a number of questions relative to whether Mr. and Mrs. Schultz have proper standing to make a request for deferment, waiver or reduction on a property they no longer own. The current owners have not contacted this office or expressed any concerns or objections to the remaining special assessments. It is my understanding that Mr. and Mrs. Schultz, as the former owners, are financially responsible for any pending assessments on the property they sold. 2. A Special Assessment/Sewer Connection Agreement was signed by both Mr. and Mrs. Schultz and the new owners of the property, Mr. and Mrs. States. This agreement commits both the former and new owners to accept assessments on both lots and waives their rights and any objections to the assessments on both lots. 3. Mrs. Schultz introduced a letter, dated May 14, 1999, indicating that they did not wish to have water and/or sanitary sewer stubbed to the lot in question. With respect to this request, City policy regarding the installation of utilities indicates that stub-ins for water and sanitary sewer are generally installed during a project to buildable lots to avoid having to open up the street at a later date. In review, the issue of stubbing in the utilities is moot given the fact that the special assessments for water and sanitary sewer have been deferred until such time as the lot is developed. 4. Council held a special assessment hearing on October 2, 2000, and adopted the project assessments without any objections noted by either the current or former property owners to the assessments. It should be noted that this office spoke with Mr. and Mrs. Schultz prior to the October 2, 2000 public hearing regarding the deferment of sanitary sewer and water, and they were aware that the remaining assessments for street and storm sewer improvements in the amount of $2,825.99 would be adopted by Council at the public hearing. Mr. Schultz was invited and did attend the public hearing and made no objection to the remaining assessments. In accordance with state statute, the period of time to raise an objection to a proposed special assessment is either prior to or at the public hearing. Consequently, the appropriate time period to raise such an objection has expired. 5. Finally, a review of all the project documentation on file suggests that the properties in question were properly noticed as separate lots from the project's inception. A review of the special assessment notice indicates that two separate lots were referenced through their respective parcel identification numbers. In addition, a memorandum dated March 29, 1999 by City Engineer Mann indicated that the costs were on an "Estimated Assessment per lot" basis suggesting that there were two lots. In conversations with the City Engineer and Mayor and City Council County Road 72 Project - Citizen Request Page 3 of3 ' Finance Director, both staff members indicated that the properties were always viewed as two separate lots during the special assessment process as evidenced by the City's special assessment roll. Administrative Conclusions At this point, Mrs. Schultz is requesting that the remaining assessment of $2,825.99 be deferred, waived or reduced based on the belief that it was her understanding that the two lots would be treated as one property and consequently, assessments would only be levied on one lot. I had the opportunity to meet with Mrs. Schultz on this matter and appreciated her patience and courteous nature throughout our discussions. While this office understands the substance of Mrs. Schultz's contention, a thorough administrative review of the special assessment process and project documentation fails to support a contention in favor of any further deferment, waiver or reduction of special assessments on the subject lot. Based on these findings, this office cannot support any further reduction, waiver or deferment of the special assessments in question. Legal Considerations In discussing this situation with the City Attorney, under state statute, Council does have the discretion of reassessing the lot in question based on a "findings of fact" in support of a decision to either defer, waive or reduce the assessments. In the absence of a findings of fact in support of such a request, any waiver or deferment may expose the City Council to claims that such a decision is, in fact, arbitrary and may be construed as a "gift" which is expressly forbidden in state statute. Council may have additional questions relative to the legal or statutory implications of such an action and may wish to contact the City Attorney's office. ACTION REOUESTED Consider the request by Ms. Elaine Schultz for a reduction, deferral or waiver of special assessments in the amount of $2,825.99. Respectfully submitted, File Cc: Mrs. Elaine Schultz, 20475 Chippendale Avenue, Farmington, MN Council Minutes (Regular) October 2, 2000 Page 2 MOTION by Strachan, second by Cordes to approve the Consent Agenda as follows: a) Approved Council Minutes (9/18/00) (Regular) b) Approved Appointment Recommendation - Police Department c) Received Information Capital Outlay - Finance Department d) Adopted RESOLUTION R74-00 Accepting Donation - Senior Center e) Adopted RESOLUTION R75-00 Approving Submittal of Application for Landfill Abatement Funds from Dakota County g) Adopted RESOLUTIONS R77, 78, 79, 80, 81,82, 83, 84-00 Approving Private Development Project Closeouts h) Approved Bills APIF, MOTION CARRIED. .'1 J ,r"'- -~ 8. PUBLIC HEARINGS ". ". a) Consider Resolution - 2000 Sealcoat Project Assessment Hearinf . Streets in Nelsen Hills 4th and 5th Additions, Troyhills 1 st through 4t Additions, Industrial Park 1 st and 2nd Additions, East Farmington 1 st and 2nd Additions, Prairie Creek 4th Addition and areas in downtown Farmington were seal coated. The total project cost for the 2000 Sealcoat Project is $100,040.06. The proposed assessment amount is $54.26 per buildable lot. The total amount to be assessed to benefiting properties is $26,858.70. The City's portion of the project cost is $73,181.36 and will be funded through the Road and Bridge fund. MOTION by Soderberg, second by Cordes to close the Public Hearing. APIF, MOTION CARRIED. An inquiry was received from a resident, Mr. Merle McClintock, 3704 Cartwright Court, Bonita Springs, FL that he has a lot north of Main Street, that is behind another lot. He felt since the street does not front his lot, he should not be assessed. Staff investigated and there is a garage on the back of the building so he is accessing the lot and utilizing the property. Therefore, it is appropriate to assess him for his property. MOTION by Strachan, second by Soderberg adopting RESOLUTION R85-00 adopting the assessment roll for the 2000 Seal Coat project. APIF, MOTION CARRIED. b) Consider Resolution - County Road 72 Project Assessment Hearing The total project cost for the County Road 72 improvement project is $1,089,004.60. The project is split into a reconstruction area and a new ,Rol4l:> 117.3.7.6 construction area. The cost for the reconstruction area is $460,165.08. The new /JJATI.'i. l'2.q~..n. construction area is $628,839.52. Assessments to township properties will be 1 ~ ba IS. 'Z 3 deferred until those properties come into the City. There are two circumstances ,~o.t~S. ~'l. .71 where there are multiple assessments per property. There are two properties I lCl) \~ .4$ (reoI' A) owned by Daniel and Darcy States. There is a house on one parcel and a garage . straddles the property line in the back of that property. It is recommended that the 'I "l.. (PltbP (? ) . wfo w..-.+tN ~) e4;\ . 't: property that IS hooked up to sewer and water be assessed for the sewer, storm ~. ( se~er and street in the amount of $8,841.22. And the second property which is 1 pteop A- ~. -' ~ 2825.'fi being utilized but does not need sewer and water service be assessedJor the--~ roadway and storm sewer amount only at this time in the amount 0[$2,825.99. The other property is the Breckie property which is undeveloped at ~. and is 4 equivalent units. The assessment will be deferred until it is developed. City of Farmington 325 Oak Street, Farmington, MN 55024 (651) 463-7111 Fax (651) 463-2591 www.ci.farmington.mn.us March 29, 1999 Ms. Elaine Schultz 3403 213th Street West Farmington, MN 55024 Re: County Road 72 Estimated Assessments Dear Ms. Schultz: Pursuant to your request, this letter outlines the estimated assessments that were discussed at the public hearing for the County Road 72 project. The estimated assessments that would affect your properties at 3403 213th Street for the various items are as follows: Item Estimated Assessment per lot Roadway improvements Sanitary sewer improvements (includes the sewer line in the street and installation of the service up to the property line) $2,000 $6,200 Storm sewer improvements Water service (include only for lots that do not currently have water service, installation of the service up to the property line) Total ~ UJ lfiY---/!Rd (if property does not currently have water service) $1 , 1 00 $2,000 $11,3000 In addition, cost estimates for connecting the existing residential properties to the sewer system were presented. The estimated cost to connect to the sewer system for your property at 3403 213th Street is $1,350. This estimate does not include the cost to abandon the existing septic system. The costs and work associated with connecting the properties to the sewer system are not a part of the County Road 72 project. Each Ms. Elaine Shultz Page 2 individual property owner will need to hire a contractor to connect the property to the City installed sewer service and abandon the septic system If you have any further questions or comments regarding the estimated assessments for the County Road 72 project, please do not hesitate to contact me at 463-1601. Sincerely, ~J/1~ Lee M. Mann, P .E. Director of Public works/City Engineer cc: file City of Farmington 325 Oak Street, Farmington, MN 55024 (651) 463-7111 Fax (651) 463-2591 www.ci.farmington.mn.us Fax To: Elaine Schultz From: Robin Roland Fax: 952-435-1126 Pag..: 4 ...... 952-435-1389 Date: September 29, 2000 Re: Assessment agreement cc: o Urgent 0 For Review 0 Pl.... Comment 0 P..... Reply o ....... Recycl. . Comments: (Reserved for Recording Data) ASSESSMENT/SEWER CONNECTION AGREEMENT THIS AGREEMENT (the "Agreement") made this /; day of.7;1~~"'1999, by and between the CITY OF FARMINGTON, a Minnesota municipal corporation ("City") with offices at 325 Oak Street, Farmington, Minnesota, and Jerry J. and Elaine F. Schultz, husband and wife, "Sellers" and Daniel S. States and Darcy J. States, husband and wife, "Buyers" (collectively "Owners"). Recitals: Sellers and Buyers have recently entered into a Purchase Agreement for the sale and purchase of the real property located in Dakota County legally described on Exhibit "A" attached hereto and incorporated herein, also with the Parcel Identification Numbers of 140320003026 and 140320004026 and a street address of 3403 213th Street West, Farmington, MN 55024 ("Subject Property"). Sellers have provided Buyers with a Warranty Deed to the Subject Property, but Dakota County records do not yet reflect the sale of the Subject Property to Buyers and the Certificate of Title still shows title to the Subject Property in the name of the Sellers. The Subject Property shall be assessed costs, fees and charges associated with the reconstruction of 213th Street from Trunk Highway 3 to the easterly City limits ("Improvements") including the provision of sanitary sewer service to the subject property. The Owners have requested to be allowed to hook up to the City's sanitary sewer system prior to completion of the project and the final assessment hearing. Execution of this agreement allows the Owners to connect a service line for the subject property to the City provided sewer service at the property line. Actual construction of the connection cannot commence until a sewer connection permit is issued by the City. Final connection of the service line to the house and discharge of sewage to the City's sanitary sewer system may not occur until the sanitary sewer has been tested and City has provided the Owners with written notification to proceed with the final connection. . NOW THEREFORE, IN CONSIDERATION OF THE MUTUAL COVENANTS SET FORTH HEREIN, THE PARTIES AGREE AS FOLLOWS: The Subject Property shall be assessed by the City for the Assessments. The total Assessments shall be determined subsequent to construction of the Improvements. Payment of the Assessments shall be made over a period of fifteen (15) years, accruing interest at the rate of six and 5/10 percent (6.5%) per annum. The estimated assessment amount for the sanitary sewer is $6200. The final assessment amount will be determined subsequent to the completion of the improvements. In addition to the sanitary sewer improvement assessment amount, sanitary sewer hookup fees that need to be paid include the Metropolitan Council SAC fee - $1050, the City SAC fee - $350, and a sewer connection permit fee _ $55. The hookup fees are typically paid at the time of sewer connection permit issuance, however, the hookup fees may be assessed if so desired by the Owners. Execution of this agreement by the Owners authorizes the City to assess the hookup fees against the Subject Property if the Owners do not wish to pay the hookup fees at the time of sewer connection permit issuance. The Owners, by signing this Agreement, acknowledge that all procedural and subitantive objections to the Assessments are hereby waived unconditionally, such waiver includes any rights of Owners, their successors or assigns to hearing requirements and any claim that the assessments exceed the benefit to the Subject Property. The Owner further waives any appeal rights otherwise available pursuant to M.S.A. ~ 429.081. CITY OF FARMINGTON: By: <J,~.L.fJ /.::J. 0 ~ , Gerald G. Ristow, Mayor By: OWNERS: By: ~~L~ Jerry . Schultz By;J~~~ Elaine F. Schultz Daniel S. States By: a By: ~1JA Darcy J.. t S STATE OF MINNESOTA) ) ss. COUNTY OF DAKOTA ) The foregoing instrument was acknowledged before me this <:6' .,<.4 day of J;;?~999, by GERALD e. RISTOW and by JOHN F. ERAR, respectfully the Mayor and City Administrator/Clerk of the CITY OF FARMINGTON, a Minnesota municipal corporation, on behalf of the corporation and pursuant to the authority granted by its City Council. .1t..~~~~JA~J_"~V""'.,IA...V\A. leCYNTHIAA. MULLER I NOTARY PUBLIC - MINNESOTA My Conm. ExplNa Jan. 31. 2000 ...--qnbV+V"N<N';."~"~~. ~ O?n~ ~tary Public STATE OF MINNESOTA) ) ss. COUNTY OF DAKOTA ) The foregoing instrument was acknowledged before me this ltJ+/\ day of October, 1999, by Jerry F. Schultz and Elaine F. Schultz, husband and wife. SUSAN J. MILLER NOTARY PUBLIC-MINNESOTA MY COMMISSION EXPIRES 1-31-00 0JA-<J 11 f\ Lt. 'fliJJL/l Notary Public ..~ STATE OF MINNESOTA) ) ss. COUNTY OF DAKOTA ) The foregoing instrument was acknowledged before me this ;1./51- day of October, 1999, by Daniel S. States and Darcy J. States, husband and wife. SUSAN J. MILLER NOTARY PUBLIC-MINNESOTA MY COMMISSION EXPIRES 1.31-00 ~ 4 'ffLdh~ Notary Public ~ ", EXHIBIT "A" to ASSESSMENT/SEWER CONNECTION AGREEMENT DESCRIPTION OF THE SUBJECT PROPERTY That part of the Northwest Quarter (NW 1,4) of the Northwest Quarter (NW 1,4) of Section Thirty-two (32), Township One Hundred Fourteen (114), Range Nineteen (19), described as commencing at the Southwest corner of said Northwest Quarter (NW 1,4 of the Northwest Quarter (NW 1,4), thence North 89 degrees 58 minutes 51 seconds East along the South line of said Northwest Quarter (NW 1,4) of the Northwest Quarter (NW 1,4) a distance of 420.55 feet to the point of beginning, thence North 00 degrees 05 minutes 31 seconds East parallel with the East line of said Northwest Quarter (NW 1,4) of the Northwest Quarter (NW 1,4) a distance of 197.42 feet to the North line of the South 5 acres of said Northwest Quarter (NW 1,4) of the Northwest Quarter (NW 1,4), thence North 89 degrees 58 minutes 51 seconds East along said North line 167.98 feet, thence South 00 degrees 06 minutes 19 seconds East 197.42 feet to the South line of said Northwest Quarter (NW 1,4) of the Northwest Quarter (NW JA) thence West along said South line 168.57 feet to the point of beginning, according to the Government Survey thereof. MAY 14,1999 CITY OF FARMINGTON 325 OAK STREET. FARMINGTON. MN 55024 MR. JOHN ERAR CITY ADMINISTRATOR RE: COUNTY ROAD 72 3403 213TH ST W ESTIMATED ASSESSMENTS MR. JOHN ERAR WE HAVE SOLD OUR PROPERTY AT 3403 213TH STREET W. AND WE ARE REQUESTING TO HAVE ONLY ONE CONNECTION TO THE SEWER BEING IT WAS SOLD AS ONE PROPERTY. THEREFORE WE DO NOT WANT CONNECTION STUBBED IN FOR WATER OR SEWER TO THE VAN CANT LOT. IF YOU HAVE ANY QUESTIONS PLEASE CONTACT ME AT 651-463-7476 THANK YOU, SINCERELY, JERRY J & ELAINE F SCHULTZ ~ COUNCIL MINUTES REGULAR November 20, 2000 1. CALL TO ORDER The meeting was called to order by Mayor Ristow at 7:00 p.m. 2. PLEDGE OF ALLEGIANCE Mayor Ristow led the audience and Council in the Pledge of Allegiance. 3. ROLL CALL Members Present: Members Absent: Also Present: Ristow, Soderberg, Strachan Cordes, Verch Acting City Attorney Poehler, City Administrator Erar, City Management Team 4. APPROYEA GENDA MOTION by Strachan, second by Soderberg to approve the Agenda. APIF, MOTION CARRIED. 5. ANNOUNCEMENTS 6. CITIZEN COMMENTS a) Traffic Concerns _187th Street and Elgin Avenue The City's traffic engineer has reviewed the intersection at 187th Street and Elgin A venue, and the Police Department has performed a traffic survey to review speeds and turning movements at the intersection. Based on these reviews, it is recommended that no modifications be made to the intersection control at 187th Street and Elgin Avenue. Mr. Al Deaton, 18775 Pilot Knob Road, stated he has applied for a burning permit three times and has been denied each time. He stated he had been issued a ticket for an unattended fire, but no one was home at the time. The ticket issue has been taken care of. He spoke with Attorney Matt Brokl, who according to Mr. Deaton, stated there is no reason he should be denied a permit. Mr. Deaton has been waiting to hear from Fire Marshall Brad Schmoll, but has received no response. Mayor Ristow stated staffwill review the situation and respond at the December 4, 2000 Council Meeting. Ms. Elaine Schultz, 20475 Chippendale Avenue, has a concern with the assessment for County Road 72. At that time, they owned 3403 213th Street. They attended the meetings with City Engineer Lee Mann. She stated they had an understanding, part of it was verbal. There are two lots with two ID numbers. When the property was sold, and when they were working with Lee Mann, it was their understanding it would be considered as one lot, as the other lot is not buildable. They sent a letter dated May 14, 1999 to City Administrator Erar and City Engineer Mann requesting not to have sewer or Council Minutes (Regular) November 20, 2000 Page 2 water stubbed in to the vacant lot. They received a letter dated March 29, 1999 with the estimated assessment. They did sign an agreement to waive any other assessment charges with the understanding that this was going to be the approximate price. The money was set aside in escrow. The property was sold to Darcy and Daniel States. The States received the information and were assessed for both lots. One lot was assessed for $9,200, the other was approximately $10,000. She stated City Administrator Erar was great to work with to try to explain the situation. There was a meeting October 2, 2000 for residents to dispute the assessments. City Administrator Erar did get part of it deferred, with an amount owing of $2,825.99. They thought they had to pay this, and then they were not sure. If it was done per ID number, why were they not notified? Ms. Schultz would like to know if the Council can do anything. A lot of things were done verbally and would like to get it corrected if possible. Mayor Ristow stated staff will review the situation and respond at the December 4, 2000 Council Meeting. 7. CONSENT AGENDA Councilmember Soderberg pulled the Council Minutes to abstain from voting as he was absent from the 11/8/00 Special Council Meeting. As two councilmembers were absent from this meeting, approval of the Council Minutes from 11/8/00 (Special) were tabled to the December 4, 2000 Council Meeting. MOTION by Soderberg, second by Strachan to approve the Consent Agenda as follows: a) Approved Council Minutes (11/6/00) (Regular) b) Received Information on Capital Outlay - Administration c) Adopted 2001-2005 CIP d) Approved Various City License Renewals e) Approved Bills APIF, MOTION CARRIED. 8. PUBLIC HEARINGS a) Consider Certification of Delinquent Municipal Utilities Minnesota Statutes grants municipalities the authority to certify delinquent utility accounts to property owners' real estate taxes as a special assessment for collection. These utility bills can be for water, sewer, storm water, and garbage services. All property owners with utility bills over 90 days overdue were mailed notices and may pay their delinquent amount by December 1, 2000 to avoid certification. At the time of notice, 342 accounts in the total amount of $129,118.38 were outstanding. MOTION by Soderberg, second by Strachan to close the Public Hearing. APIF, MOTION CARRIED. MOTION by Strachan, second by Soderberg adopting RESOLUTION R94-00 certifying the delinquent accounts as special assessments to the 2001 taxes of the appropriate properties. APIF, MOTION CARRIED. 9. AWARD OF CONTRACT Council Minutes (Regular) November 20, 2000 Page 3 10. PETITIONS, REQUESTS AND COMMUNICATIONS a) Consider Resolution - Conveyance of Tax Forfeited Property There is a discrepancy between Dakota County and CP Railway as to whether former railroad property located between 3rd Street and 5th Street north of Elm Street should be considered tax forfeited. Staff requested this item be continued to the December 4, 2000 Council Meeting. b) Consider Proposed Adult Entertainment Ordinance - Discussion This ordinance is intended to replace the current interim ordinance. The ordinance is proposed to regulate the location of sexually oriented adult establishments through zoning restrictions. Cities are allowed to establish through zoning ordinances definitions of what constitutes an adult establishment and where these types of establishments may locate within a community. The area of the City being recommended for these types of establishments is the Light Industrial and future Business Park areas along County State Aid Highway 50 and County State Aid Highway 31 (Pilot Knob Road). This area is being recommended because of its distance from schools, churches, parks and other similar uses that are not compatible with this type of use. A public hearing was held by the Planning Commission on November 14, 2000. The Planning Commission recommended adoption of the proposed ordinance. Councilmember Strachan asked if a video store has an adult section, would that need to be located in this area? Acting City Attorney Poehler replied no, the ordinance is set up so they can locate in the business district as well as the industrial park, provided they meet certain criteria as far as amount of floor space allocated and net sales for adult type materials. There is a distinction between on- site consumption of adult materials and off-site. Councilmember Strachan asked if the ordinance deals with alcohol at adult oriented businesses? Attorney Poehler replied that would typically be a licensing issue or included in the liquor license ordinance. Councilmember Soderberg stated this ordinance provides for these types of establishments to be considered a permitted use. He asked Council if they find it curious that we have an industry that has incredible volumes of data that points out it is detrimental to a community, and would have a zoning that has a permitted use, and yet churches, schools, and other industries that are conditional use only. He would like to see this as a conditional use to provide more control. Attorney Poehler replied providing a conditional use permit requirement, where the Supreme Court requires a 5% land availability, further limits their location and leaves it more to the City Council to either permit or deny these uses, further possibly restricting the locations that are available, based on additional criteria beyond what is provided for in the ordinance that we know are legally defensible. Mayor Ristow stated staff has provided us with material, which we need to read and study for the December 4, 2000 Council Meeting. Council Minutes (Regular) November 20, 2000 Page 4 Community Development Director Olson stated there is a section in the proposed ordinance that prohibits the sale of liquor at an establishment of this type. Regarding Councilmember Strachan's question regarding a video store with an adult section, they are limited to 10% of floor area and 20% of gross receipts for that type of activity, and no on-site consumption is allowed. Councilmember Strachan asked if it can be a requirement that magazines be out of public display, such as behind the counter? Attorney Poehler replied that requirement is more of a licensing requirement, rather than a zoning requirement, but she will review it. The interim ordinance expires the middle of December so this item will be brought back to the December 4, 2000 Council Meeting. c) Developer Request for Public Improvement - Sanitary Sewer Mr. Jim Allen requested this item be continued until the December 4,2000 Council Meeting as he is currently out of town. d) Flagstaff Citizen Petition - Process Issues A petition was received at the November 6, 2000 Council Meeting regarding the condition of Flagstaff Avenue. Staff will schedule a neighborhood meeting in order to obtain resident input regarding the issues along Flagstaff Avenue. This meeting will be held in January due to the holidays. Councilmember Soderberg stated staff spent a great deal of time locating addresses. He suggested criteria be developed for accepting future petitions containing legible names and addresses. Mayor Ristow stated this could be added to the Council Goal Setting Workshop and the outcome published in the City Newsletter. 11. UNFINISHED BUSINESS 12. NEW BUSINESS a) Consider Resolution - 2000 Budget Reappropriations The adopted 2000 budget was prepared and submitted to Council in August of 1999. Many things may change in an 18-month period and what might have been a reasonable revenue or expenditure assumption in June of 1999 may not hold true in November of 2000. An annual reappropriation is done in the fourth quarter of the year to best reflect the City's operations for the year. The revenue projected in the 2000 General Fund adopted budget was $3,929,190 before transfers in. Because of increased building permit revenues and increased fines and forfeitures revenues, the City is anticipating an increase in revenues of $163,359. The 2000 adopted budget called for $4,152,008 of General Fund expenditures. The revised projection calls for an increase of$16,577. This is due to personnel costs in the Community Development and Police Departments and represents a 0.39% (less than one percent) change in revised expenditure forecasts from the adopted budget. Given the increased revenues in the General Fund, staff recommends that the transfer of $1 00,000 from the private Capital Projects fund be eliminated from the 2000 revised budget and those monies retained in the private Capital Projects fund for future expenditures on the Public Facilities Council Minutes (Regular) November 20, 2000 Page 5 Project. This would still designate approximately $96,464 for the fund balance. MOTION by Soderberg, second by Strachan adopting RESOLUTION R95-00, amending the budget for fiscal year 2000. APIF, MOTION CARRIED. 13. COUNCIL ROUNDTABLE a) Sales Tax Exemption Legislation (verbal) City Administrator Erar updated Council on efforts the City is making relative to the upcoming legislative session to exempt construction materials anticipated to be used in next year's public facilities projects from state sales tax. If the sales tax exemption is approved, the City could see $200,000 - $250,000 in reduced costs associated with the state sales tax. Consensus was obtained from Council to move forward with the process to obtain special legislation. Councilmember Soderberg: He received a complaint regarding the parking ordinance from someone who was visiting a resident and who was ticketed and towed during the first snowfall. This was referred to the Police Department. The numerous ways residents are notified of the parking ordinance were discussed. City Administrator Erar stated the efforts of the ordinance are not to generate additional fines or inconveniences to the citizens, but to provide more cost-effective snow plowing. Police Chief Siebenaler: In response to the parking advisories, the Police Department has created posters and they are placed at 25 high traffic locations and businesses throughout Farmington, including apartment buildings. 14. ADJOURN MOTION by Strachan, second by Soderberg to adjourn at 8:12 p.m. APIF, MOTION CARRIED. Respectfully submitted, ~.Y~~J ~~ . Cynthia Muller Executive Assistant SPECIAL CITY COUNCIL MEETING CITY COUNCIL WORKSHOP City Hall Council Chambers November 8, 2000 Members in attendance: Mayor Ristow, Council Members Cordes, and Strachan. Members absent: Council members Soderberg and Verch. Others present: City Administrator Erar, Park and Recreation Director Bell, Administrative Services Manager Finstuen, Public Works Director Mann, Community Development Director Olson and Finance Director Roland. The Mayor called the meeting to order at 4:30 p.m. The agenda was reviewed and approved by Council. The meeting was to canvass results of the 2000 municipal election which had taken place the previous day. MOTION by Cordes, second by Strachan, to adopt RESOLUTION R93- 00 Accepting the Results of the November 7, 2000 Municipal Election. APIF, MOTION CARRIED. After the canvassing of the election, staff reviewed the Proposed 2001-2005 Capital Improvement Plan with the council. The Public Facilities projects (Law Enforcement Center and Central Maintenance Facility) were discussed at length as these projects are currently in the design stages, in anticipation of contracts being let for the construction of the buildings in 2001. Other Consolidated projects discussed include Phase IV of the Industrial Park (2001), expansion and remodeling of City Hall facilities (2003), Downtown Liquor Store (2003) and satellite fire station (2005). Park and Recreation Director Bell reviewed proposed 2001 department projects. Public Works Director, Mann reviewed proposed 2001 department projects. It was agreed that, pending the completion of the pavement management analysis, the Upper 18200 Street reconstruction project should be deferred to the 2002 CIP. Council asked a variety of questions throughout the presentation and other than the requested shift of the Upper 182nd Street project, were satisfied that the proposed projects addressed anticipated community infrastructure needs. Final approval of the 2001-2005 CIP will be presented at the November 20, 2000 Council Meeting. Meeting was adjourned at 7:13 p.m. Respectfully submitted, ~1f.d Finance Director City of Farmington 325 Oak Street, Farmington, MN 55024 (651) 463-7111 Fax (651) 463-2591 www.cLfarmington.mn.us 7b TO: Mayor and Council Members FROM: John F. Erar, City Administrator SUBJECT: 2000-2004 CIP Project Completion and Status Report DATE: December 4, 2000 INTRODUCTION Council adopted the 2000-2004 Capital Improvement Plan on December 20, 1999. CIP projects proposed in 2000 had anticipated expenditures of $6,641 ,964. The purpose of this staff report is to provide Council with a year-end status report of projects authorized for completion in 2000. DISCUSSION The following table identifies projects that were originally adopted in the CIP for 2000, as well as other significant capital improvement projects that were authorized by Council during 2000. Administration Public Facilities Central Maintenance FacilitylPolice Facility Task Force Report Presented on April 3, 2000. Council authorized the Projects on May 1,2000. Facility & site planning is in process. Parks and Recreation 195th Street Ballfield Complex Acquire land to house future Ballfield Complex Land was privately acquired by competing buyer; City has identified alternative sites and will pursue acquisition in 2001. Mayor and Council 2000-2004 CIP Project Status Report Page 2 of3 Parks and Recreation Park Upgrades Additional playground equipment installations at Fairhills and Pine Knoll Parks. Projects Completed. Parks and Recreation Landscaping of Prairie Waterway 2000 Phase of Landscaping Plan. Project Completed. Parks and Recreation Trail System - Sealcoat & Maintenance Annual seal-coating of selected trails in compliance with City maintenance program. Project Completed. Parks and Recreation Ice Arena - Capital Improvements Player Gates; Seating Repair; Scoreboard Project Completed. Department of Public Works - Capital Improvement Projects Public Works Annual Seal Coating City streets seal coated on a seven- year cycle. Project Completed. Public Works Akin Road Tumback Study Conduct Feasibility Report on Akin Road Tumback improvements Report Completed; Two Neighborhood Meetings have been held; Project to be reviewed for construction in 2001. Mayor and Council 2000-2004 CIP Project Status Report Page 3 of3 Pl103CT NAME. .PROJECT DESCRlP:TION . Downtown Removal and installation of new Streetscape Project sidewalk, lighting and amenities Public Works Project substantially Complete. Minor punchlist items remain to be completed in early 2001. Public Works Storm water Pond Maintenance and Dredging Study determining the prioritization and need for storm water pond maintenance program Field work completed, study to be submitted in early 2001. Public Works Trunk Water Main - CSAH 31 Installation of water main to service new development areas. Installation of water main to support . private property needs and satisfy state agency requirements. BUDGET IMPACT Project Completed. Projects proposed in the CIP are underwritten by a variety offunding sources and are separately reviewed and authorized by Council. Other Non-CIP projects are presented as supplemental to the CIP, but follow similar project approval procedures in terms of individual Council review, proposed financing and final approval. ACTION REQUESTED For Council information. f1:RespeC~bmitted' .. ~ ~jhn F. Erar City of Farmington 325 Oak Street, Farmington, MN 55024 (651) 463-7111 Fax (651) 463-2591 www.ci.farmington.mn.us ?~ TO: Mayor and Councilmembers FROM: John F. Erar, City Administrator SUBJECT: Appointment Recommendation - Public Works Department DATE: December 4, 2000 INTRODUCTION The recruitment and selection process for the appointment of a full-time Maintenance Worker in the Public Works Department, Street and Utility Division has been completed. This opening was the result of a vacancy caused by a staff retirement. DISCUSSION After a thorough review of applicants for this position by the Public Works Department and Human Resources Office, an offer of employment has been made to Mr. Steven Arndt, subject to ratification by the City Council. Mr. Arndt has been working for the City of Savage in a similar position since September 1994 where he was responsible for a variety of utility operations and maintenance activities. Priorto his work experience with the City of Savage, Mr. Arndt was employed by the City of Bloomington in a similar street and utility maintenance capacity. In addition, Mr. Arndt has a class "B" water license and a "SB" license in collection system, and has substantial experience in many areas of street maintenance operations, including snow plowing and street repair. Mr. Arndt's work experience and background suggests he is fully qualified and capable to serve as a full- time Maintenance Worker in the Streets and Utility Division. BUDGET IMPACT Funding for this position is authorized in the 2000 Budget. RECOMMENDATION Ratify the appointment of Mr. Steven Arndt as a full-time Maintenance Worker effective December 18, 2000. hn F. Erar City Administrator City of Farmington 325 Oak Street, Farmington, MN 55024 (651) 463-7111 Fax (651) 463-2591 www.cLfarmington.mn.us lei TO: Mayor and Councilmembers FROM: John F. Erar, City Administrator SUBJECT: Appointment Recommendation - Parks and Recreation Department DATE: December 4, 2000 INTRODUCTION .The recruitment and selection process for the appointment of a full-time Solid Waste Worker in the Parks and Recreation Department, Solid Waste Division has been completed. This opening is the result of a recent staff retirement. DISCUSSION After a thorough review of internal applicants for this position by the Parks and Recreation Department and Human Resources Office, an offer of employment has been made to an internal candidate, Mr. Joseph Johnston, subject to ratification by the City Council. Mr. Johnston has been employed by the City since June 2000 as a full-time Park Keeper/Solid Waste Worker assisting both the Park Maintenance and Solid Waste Divisions. Prior to his employment with the City, Mr. Johnston was employed by two private sanitation companies dating back to May 1993 and has extensive experience in the operation of a variety of commercial vehicles dealing with sanitation services. Joe has obtained a commercial driver's license as required by job-related requirements, and has demonstrated knowledge, skills and abilities in the area of sanitation services. Mr. Johnston's work ethic, demonstrated knowledge of solid waste service and equipment operations, and his commitment to performing this job to the best of his abilities will make him an asset to the City operations. Consequently, Mr. Johnston's work experience suggests he is fully qualified and capable to serve as a full-time Solid Waste worker in the Parks and Recreation Department, Solid Waste Division. BUDGET IMPACT Funding for this position is authorized in the 2000 Budget. RECOMMENDATION Ratify the appointment of Mr. Joseph Johnston as a full-time Solid Waste Worker effective December 5, 2000. ~.s~t. 1l~2: //7 . lohn F. Erar City of Farmington 325 Oak Street, Farmington, MN 55024 (651) 463-7111 Fax (651) 463-2591 www.ci.farmington.mn.us le TO: Mayor, Councilmembers and City Administrato~~"" FROM: Ken Kuchera, Fire Chief SUBJECT: Capital Outlay - Fire Department DATE: December 4,2000 INTRODUCTION The Fire Department is planning to purchase a Knox Master Key Retention system which provides the security for the Fire Department's Knox Box keys. DISCUSSION The Knox Box Master Key allows the Fire Department to enter numerous buildings within the community very quickly. This prevents unnecessary damage to enter a building and allows for quick access without waiting for key holders. The encoder is activated by dispatch which sends a signal to a decoder mounted in the apparatus. The decoder is opened and the master key is stored securely in the decoder. The purpose of the system is to maintain key security. BUDGET IMPACT Approved in the 2000 Capital Outlay Budget. ACTION REOUESTED For information only. Respectfully submitted, ~\<SJ/1 -- Ken Kuchera Fire Chief 7-F City of Farmington 325 Oak Street, Farmington, MN 55024 (651) 463~7111 Fax (651) 463-2591 www.ci.farmington.mn.us FROM: Mayor, Councilmembers, City Administrato~ James Bell, Parks and Recreation Director TO: SUBJECT: Adopt Resolution - Tree City USA Application DATE: December 4, 2000 INTRODUCTION Council consider the adoption of a resolution authorizing application for the City's Tree City USA designation. DISCUSSION The City has received the Tree City USA designation the past number of years. Council adoption of the attached resolution will authorize the application for the Tree City USA designation for 2000. This designation honors cities that have demonstrated a commitment to forestation efforts in their respective communities. ACTION REOUESTED Adopt the attached resolution authorizing the application for the 2000 Tree City USA designation. Respectfully submitted, ----L-- 6.~ James Bell Parks and Recreation Director PROPOSED RESOLUTION No. APPROVE APPLICATION FOR TREE CITY USA DESIGNATION 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 4th day of December, 2000 at 7:00 p.m. Members Present: Members Absent: Member introduced and Member seconded the following: WHEREAS, the City of Farmington has been designated a Tree City USA in the past; and; WHEREAS, it is in the best interest of the City to become a Tree City USA. NOW, THEREFORE, BE IT RESOLVED that the City of Farmington hereby directs staff to submit an application to the National Arbor Day Foundation for the 2000 Tree City USA designation. This resolution adopted by recorded vote of the Farmington City Council in open session on the 4th day of December, 2000. Mayor Attested to the day of December, 2000. City Administrator SEAL czra.., City of Farmington 325 Oak Street, Farmington, MN 55024 (651) 463-7111 Fax (651) 463-2591 www.cLfarmington.mn.us TO: Mayor, Council members, City Administratoq1v Robin Roland, Finance Director FROM: SUBJECT: Truth in Taxation Hearing DATE: December 4, 2000 INTRODUCTION The City adopted a proposed Tax Levy and budget for 2001 with Resolution R72-00 at the Council meeting on September 5, 2000 and established the Truth in Taxation Hearing to take place at the City Council Meeting of December 4, 2000. DISCUSSION AND BUDGET IMPACT The Truth in Taxation Hearing is held pursuant to State Statute to receive input from residents and other concerned citizens on the proposed budget and tax levy. The hearing will include a presentation by staff of the highlights of the City's proposed 2001 Revenue and Expenditure Budget and the 2001 Proposed Tax Levy. Residents have received property specific notices outlining the proposed effect of the 2001 tax levy on their individual property taxes compared to the taxes levied against their property in 2000. This hearing will give residents the opportunity to share their comments and concerns about the proposed 2001 levy and budget. ACTION REQUIRED Receive input on the Proposed 2001 Budget and Tax Levy. Close the public hearing atter hearing all citizen comments and concerns. Adoption of Final Budget and Levy will take place at the December 18, 2000 City Council Meeting. gz4'~ Robin Roland Finance Director Determination of Proposed 2001 Tax Capacity Rate Fiscal Disparities Dist. (1) $ 1,508,272 X 1999 Tax Capacity Rate of equals $ 461 ,411 in Fiscal Disparities Distribution the City of Farmington will recieve in 2001 30.592% Farmington requested levy for 2001 is 2001 2,933,000 2000 2,641,645 mi 2,529,924 Minus Fiscal Disparties Distribution 461,411 433,567 393,478 Minus HACA\LPA Credit 403,466 404,409 394,981 Minus Equalization Aid Equals Levy to Collect $ 2,068,123 $ 1 ,803,669 $ 1,741,465 2001 NetTax Capacity Value (2) 8,501,076 7,197,244 6,376,496 Less Local contribution to Fiscal Disparities (3) 483,358 412,590 364,356 Less Amount to Tax Increment (3) 1,095,035 888,770 745,521 Amount used to determine Tax Capacity Rate $ 6,922,683 $ 5,895,884 $ 5,266,619 2001 Tax Capacity Rate will then be 2,068,123 (adj. Levy) divided by $ 6,922,683 $ 5,895,884 $ 5,266,619 (adj. tax capacity value) equals: 29.8746% 30.592% 33.066% (1)According to Dakota County Property Tax Division. (2) Estimated 2001 GTCV as of Dakota County Truth in Taxation notices 11/1/00. 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CO:'3 0 It) N (') I&. .... ... CD N .... 0 ~ SlI- M .; M "'0 ~ < (j :: ::Ii 0 u a:: (j) i:i W (I) >- 2- LL 0 a:: a:: (!) 0 i:i z (I) >- z W LL 0 Z a:: 0 C; ::> 0 W 0 Z 1XI (I) W !;( W (!) !;( ....I Z W 1XI (I) C3 W 0 :5 W z 0 z a:: < z :5 (I) ~ ::> z :5 W l- LL < ::> < 15 < 1XI Z ....I Z a:: lD 0 W i:!: W W 0 Z Gj Q. J: Z ::> 0 ~ 6 ::> LL a:: l- LL City of Farmington 325 Oak Street, Farmington, MN 55024 (651) 463-7111 Fax (651) 463-2591 www.ci.farmington.mn.us /Oa-, TO: Mayor, Councilmembers City Administratoo/~ FROM: David L. Olson Community Development Director SUBJECT: Developer Request for Building Permit Issuance DATE: December 4, 2000 INTRODUCTION The City has received the attached letter from Jim Deanovic regarding the Farmington Family Townhomes portion of the Tamarack Ridge Development. DISCUSSION Mr. Deanovic is attempting to proceed with the installation of sewer and water mains, fire hydrants, and class 5 base for the private street yet this year. This will be contingent on approval of engineering plans and specifications and approval of a dewatering plan that will not adversely affect adjoining properties with private wells. It is anticipated that the dewatering activity will be significantly less and much shorter in duration than the previous dewatering activities. As Mr. Deanovic's letter indicates, building permits would not be sought until after utilities have been installed. The remaining work to be completed in the Spring would include the installation of curb and gutter and paving of the street. Current standard development agreement language authorizes the City Engineer to allow building permits to be issued if weather prevents the paving of the streets. However in most of the previous instances when this has been allowed, curb and gutter have been installed. In this case Mr. Deanovic proposes to complete both curb and gutter and street paving in the spring. It should also be noted that the Developer assumes all risks and liabilities for damages to public improvements caused by his contractors or subcontractors. A portion of the financing for this rental tOwnhome project requires that the rental units be put in service by December 2001. If construction is delayed until next spring, it will be difficult for the Developer to meet this timeline in addition to the increased costs that will be incurred if construction is delayed until next spring. This project will also result in the Developer continuing to own and manage the project as rental housing. BUDGET IMPACT None ACTION REQUESTED Authorize the City Engineer to approve the issuance of building permits upon approval of plans and completion and acceptance of water (including fire hydrants), sewer and class 5 street access to Farmington Family Townhomes. Respectfully Submitted, Community Development Director cc: Jim Deanovic Monday, November 27. 2000 10:17 PM To: Dave Olson From: Jim, 952-829-5399 9465 Amesbury Lane Eden Prairie, MN 55347 November 27,2000 David L. Olson City of Farmington 325 Oak Street Farmington, M\J. 55024 Dear David, I am requesting that the City of Farmington grant building permits after we have installed the sewer, water, fire hydrants, and class 5, which appears to be permitted in your statutes. As you are aware the funding for this project comes primarily from the Minnesota Housing and Finance Agency. All of the various sources offunds are committed to the project, and the Performa balances. The MHFA has giving us an early start approval to help the project stay on budget and achieve the completion and rent up deadline of December of 200 1. The Perfornla was based on a fall start. Due to a number of circumstances the project has been delayed, by the time the City Council reads this we should have received approval for the utility installation. It would be beneficial for the project to continue from that point, to completion. This is a rental project so we are not looking for Certificate of Occupancy's until early summer when the exterior grounds and roads would be completed. We have a contractor who has done work for the City in the past, and feels confident he C2 n work with the winter schedule as he has done in other cities. The cost of construction wI: be significantly higher in the. spring, and additional monies would be spent on interest and carrying costs rather than being used to enhance the project. We understand your concern that curb would be beneficial to help plc.ce the grade of the residential slabs. We feel our surveyor is competent to follow the approved plan. If there are alternative scenarios that would still keep the project on schedule, r would like to discuss it them with you and the Council. I appreciate the help you and all the staff have given us. I hope that you can continue to endorse the progress of this project; we know it wi e an asset for the City of Fannington. Page: 2 of 2 CD~ A Dakota County . tl ~~~~.u~~~ ~:v.e~o~~.e~: ~~e~:~ November 22, 2000 Dave Olson City of Farmington Community Development Director 3325 Oak Street Farmington, MN 55024 Dear Mr. Olson: This letter is in response to your questions re~arding the Farmington Family Housing Townhome development located at Chippendale and 209 Street West in Farmington. The development received Low Income Housing Tax Credits (LIHTC) allocations in 1999 and 2000 from the Dakota County Community Development Agency (CDA) along with additional funding from the Minnesota Housing FinaQ.ce Agency. The current rent structure of the development consists of 14 2-bedroom units with gross rents at $715, 4 2- bedrooms with gross rents at $810 and 14 3-bedroom rents at $826. These rents include an utility allowance and meet the LIHTC requirement in which 40% of the units contain rents affordable to tenants at 60% of area median income. Developers have up to two years after the end of the year in which a tax credit allocation is made to complete the project. Consequently, a developer receiving an allocation of 1999 tax credits can have until December 31, 2001 to place the project in service. In order to qualify for a carryover allocation, the developer's basis in the property at the end of the year in which the allocation is received must be at least 10 percent of the amount that the project's basis is reasonably expected to be at the end of the second year following the allocation year. The Developer, the Peter Andrea Company, (Jim Deanovic) has submitted his carry-over applications for both year's allocation and has met the 10 percent carryover requirement, and therefore has until December 31, 2001 to place his units in service. The placed in service date for tax credit purposes for a newly constructed building is the date when the first unit in the building is certified as available for general occupancy. Please let me know if you have additional questions. I can be reached at (651) 423-8104. Sincerely, ~rv Heidi J. Rathmann 2496 145TH Street West * Rosemount, MN 55068 tel 651-423-4800 fax 651-423-1273 TDD 651-423-8182 ;r;r""/"l j, 3A~/ft6<'~,.,_/f,"e-/h/q/c B. Breach of the terms of this Agreement by the Developer shall be grounds for denial of building permits, including lots sold to third parties. C. If any portion, section, subsection, sentence, clause, paragraph or phrase of this Agreement is for any reason held invalid, such decision shall not affect the validity of the remaining portion of this Agreement. D. Building permits shall not be issued prior to completion of site grading, utility installation, curb and gutter, installation of erosion control devices, retaining walls, site seeding, mulching, disk anchoring and submittal of a surveyor's certificate denoting all appropriate monuments have been installed. Only construction of noncombustible materials shall be allowed until the water system is operational. If permits are issued prior to the completion and acceptance of public improvements, the Developer assumes all liability and costs resulting in delays in completion of public improvements and damage to public improvements caused by the City, Developer, its contractors, subcontractors, material men, employees, agents or third parties. Normal procedure requires that streets needed for access to approved uses shall be paved with a bituminous surface before certificates of occupancy may be issued. However, the City Engineer is authorized to waive this requirement when weather related circumstances prevent completion of street projects before the end of the construction season. The Developer is responsible for maintaining said streets in a condition that will assure the access of emergency vehicles at all times when such a waiver is granted. E. Each right, power or remedy herein conferred upon the City is cumulative and in addition to every other right, power or remedy, express or implied, now or hereafter arising, available to City 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 City and shall not be a waiver of the right to exercise at any time thereafter any other right, power or remedy. The action or inaction of the City shall not constitute a waiver or amendment to the provisions of this Agreement. To be binding, amendments or waivers shall be in writing, signed by the parties and approved by written resolution of the City Council. The City's failure to promptly take legal action to enforce this Agreement shall not be a waiver or release. F. The Developer represents to the City, to the best of its knowledge, that the plat is not of "metropolitan significance" and that an environmental impact statement is not required. However, if the City or another governmental entity or agency determines that such a review is needed, the Developer shall prepare it in compliance with legal requirements so issued from said agency. The Developer shall reimburse the City for all expenses, including staff time and attorney fees, that the City incurs in assisting in the preparation of the review. G. Compliance with Laws and Regulations. The Developer represents to the City that the plat complies with all City, County, Metropolitan, State and Federal laws and regulations, including but not limited to: subdivision ordinances, zoning ordinances and environmental regulations. If the City determines that the plat does not comply, the City may, at its option, refuse to allow any construction or development work in the plat until the Developer does comply. Upon the City's demand, the Developer shall cease work until there is compliance. H. This Agreement shall run with the land and may be recorded against the title to the property. The Developer covenants with the City, its successors and assigns, that the Developer is well seized in fee title of the property being flOal platted and/or has obtained Consents to this Contract, in the form attached hereto, from all parties who have an interest in the property; that there are no unrecorded interests in the property being final platted; and that the Developer will indemnify and hold the City harmless for any breach of the foregoing covenants. After the Developer has completed the work required of it under this Agreement, at the Developer's request the City will execute and deliver a release to the Developer. I. Developer shall take out and maintain until six months after the City has accepted the public improvements, public liability and property damage insurance covering personal injury, including death, and claims for property damage which may arise out of the Developer's work or the work of its subcontractors or by one directly or indirectly employed by any of them. Limits for bodily injury or death shall not be less than $500,000.00 for one person and $1,000,000.00 for each occurrence; limits for property damage shall not be less than $200,000.00 for each occurrence. The City shall be named as an additional named insured on said policy, the insurance certificate shall provide that the City must be given 10 days advance written notice of the cancellation of the insurance and the Developer shall file a copy of the insurance coverage with the City prior to the City signing the plat. 7 City of Farmington 325 Oak Street, Farmington, MN 55024 (651) 463-7111 Fax (651) 463-2591 www.ci.farmington.mn.us /06 TO: Mayor, Councilmembers, City Administrato~ FROM: Lee M. Mann, P.E., Director of Public Works/City Engineer SUBJECT: Consider Developer Request for Feasibility Report - 19Sth Street DATE: December 04,2000 INTRODUCTION The Developer of Autumn Glen, Arcon Development, has requested the preparation of a feasibility report for the extension of 19Sth Street to the easterly property limits of the Autumn Glen 3rd Addition (see attached letter). DISCUSSION The extension of 19Sth Street from Akin Road will provide an essential ingress/egress route for the 3rd Addition of Autumn Glen. As such, it is necessary that this connection be made in conjunction with the development of Autumn Glen 3rd Addition. The segment of 19Sth Street between Akin Road and Trunk Highway 3 has been identified in the City's Transportation Plan as an essential east-west corridor for the City. Dakota County has also recently undertaken a study that has identified 19Sth Street as an east-west corridor for the County system. Staff has discussed with the County the issue of County participation in the construction of 19Sth Street. The County's policy is to participate in those identified County alignments that provide a connection between existing County or State corridors. The project that is proposed for the subject feasibility report would not make such a connection at this time. Therefore, the County would not participate in this segment of 19Sth Street. In the future, when 19Sth Street is extended to Trunk Highway 3, the County would participate in that segment of the project. The Developer has indicated the commitment to pay Autumn Glen's proportionate share of the costs for the project. The Development Contract for the 3rd Addition will outline the terms of that commitment. The remaining benefiting properties along the alignment would be assessed for costs pursuant to M.S. 429 and City policy. Council should note that the Limerock Ridge development was assessed for the improvements to CSAH 31 and therefore will not be assessed for 19Sth Street, as is the case with any property that was assessed for CSAH 31. BUDGET IMPACT Budget impacts for the project would be outlined in the feasibility report. ACTION REQUESTED Adopt the attached resolution authorizing the preparation of a feasibility report for the 195th Street extension. Respectfully submitted, ~P1~ Lee M. Mann, P .E. Director of Public Works/City Engineer cc: file p,"oposed RESOLUTION NO. R -00 ORDERING FEASIBILITY REPORT for 19STH STREET EXTENSION Pursuant to due call and notice thereof, a regular meeting of the City Council of the City of Farmington, Minnesota, was held in the Civic Center of said City on the 4th day of December, 2000 at 7:00 PM The following members were present: The following members were absent: Member introduced and Member seconded the following resolution. WHEREAS, it is proposed to improve 19Sth Street, from Akin Road easterly to the east property line ofthe Autumn Glen 3rd Addition, and to assess the benefited property for all or a portion of the cost ofthe improvement, pursuant to Minnesota Statutes 429. NOW THEREFORE, BE IT RESOLVED that the proposed improvements be referred to the City Engineer for study and that he is instructed to report to the Council with all convenient speed advising the Council in a preliminary way as to whether the proposed improvement is necessary, cost-effective, and feasible and as to whether it should best be made as proposed or in conjunction with some other improvement, and the estimated cost of the improvement as recommended. This resolution adopted by recorded vote of the Farmington City Council in open session on the 4th day of December 2000. Mayor Attested to the day of , 2000. SEAL Clerk! Administrator ARCON 7625 METRO BLVD. · SUITE 350 · EDINA., MINNESOTA 55439 · PHONE 612/835-4981 · FAX 612/835-0069 Lee M~ Director of Public Works City of Farmington 325 Oak Street Farmington, MN 55024 RE: Autumn Glen 3rd Addition Dear Lee, Arcon Development, Inc. will soon be submitting an application for Final Plat approval for Autumn Glen 3rd Addition to the City of Farmington. Autumn Glen 3rd Addition will provide a fourth access to the development, a connection to future 195th St. along the south property line. Arcon Development, Inc. hereby requests the City of Farmington undertake a feasibility study for the construction of 195th Street from Akin Road to the east property line of Autumn Glen 3rd Addition. Arcon Development, Inc. agrees to pay its proportional costs of the feasibility report if the improvement does not proceed. We would like to proceed with Autumn Glen 3rd Addition this spring' hoping to complete streets sometime in July 2001. Consequently, the timing of the 195 street improvements is critical to us. If you need any additional information from Arcon Development, Inc., or would like to discuss this request, please contact me at 835-4981. Sincerely, 4~:fZ...I Larry n(Frank Project Manager WE DO MORE THAN DEVELOP LAND.... WE CREATE NEIGHBORHOODS DEVELOPERS - PLANNERS - CONTRACTORS City of Farmington 325 Oak Street, Farmington, MN 55024 (651) 463-7111 Fax (651) 463-2591 www.cLfarmington.mn.us /I~ TO: Mayor and Counci~1j,embers City Administrato~ FROM: David L. Olson Community Development Director SUBJECT: Proposed Ordinance - Adult Establishments DATE: December 4,2000 INTRODUCTION The attached proposed ordinance was discussed by the City Council at the November 20, 2000 City Council meeting. The proposed ordinance is intended to replace the current interim ordinance to regulate sexually oriented adult businesses in the City of Farmington. DISCUSSION During the discussion of the proposed ordinance at the November 20, 2000 meeting several questions were asked by Councilmembers. The attached letter dated November 29, 2000 from Andrea Poehler attempts to address these questions. The majority of the letter addresses the issue of requiring conditional use permits for adult establishments. As indicated in Ms. Poehler's letter, requiring a conditional use permit raises the issue of "unlawful prior restraint of the First Amendment." For the reasons indicated, staff agrees with Ms. Poehler's recommendation not to require conditional use permits for adult uses. One of the other issues raised by the Council at the November 20,2000 meeting was whether the Interim ordinance could be extended. As indicated in Ms. Poehler's letter, the Council cannot extend the Interim Ordinance that has been in place approximately IS months because it has expired. As indicated previously the Planning Commission reviewed this draft ordinance at its October 24,2000 meeting as a discussion item and conducted a public hearing at its November 14,2000 meeting. The Planning Commission recommended adoption of the attached proposed ordinance and adopted the attached resolution in support of this recommendation on a 4-0 vote. ACTION REOUESTED 1) Consider adoption of the attached resolution establishing findings of fact that zoning regulations of sexually oriented businesses are necessary to minimize secondary adverse effects of such businesses in the City of Farmington. 2) Consider adoption of the attached ordinance amending Title 10 of the City's Zoning Ordinance, by making provisions for the opportunity as well as the control of sexually oriented businesses. 3) Approve the attached ordinance summary to be published in the City's legal newspaper. Re~IYS?~ -- David L. Olson Community Development Director cc: Andrea Poehler, Campbell Knutson ~1/29/00 09:42 FAX 651 452 5550 CAMPBELL KNUTSON ~002 CAMPBELL KNUTSON Professiona \ Association Attorneys a( Law Tbmnos J. C:lmpbell Rot::er N. Knutson ThOl\"k~S M. Scutt ElIiotL B. Knwch Joc:lJ. Jllmnik (651) 452-5000 Fax (651) 452-55S0 Anc.lr~o. M<.:Dowdl Pochler Matth~w K. Brokl* John r. Kelly Mattbew J. 1"011 Marguerile M. McC::Irwll Ciinli M. P,Tan..~( November 29, 2000 .,,11;,. lrt':Nro fI\ WiscUfI$D\ Mr. Dave Olson Community Development Director City of Farmington 325 Oak Street Farmington, MN 55024-1374 Re: Adult Use Ordinance Dear Dave: The purpose of this letter is to follow up with you on a few issues raised at the November 20, 2000 City Council meeting concerning the adult use ordinance. I. Adult Uses as Conditional Uses I have done additional research concerning the suggestion that the ordinance be revised to require conditional use permits for adult uses locating in the indusn'ial district. After researching this issue, I strongly recommend against requiring adulc uses to obtain a conditional use permit. Requiring a conditional use permit weakens the ordinance and subjectS it to challenge by the adult business owner. Because me Supreme Court has determined that zoning ordinances typically are "content-neutral" with respect to the first amendment issues related to adult businesses, the Supreme Court has upheld regulation of adult uses through zoning ordinances as lawful time, place and maIliler restrictions. In upholding a zoning ordinance as a lawful time, place, and manner regulation, the Supreme Court concluded its opinion with the statement that lithe First Amendment requires only that cities refrain from effectively denying adult uses a reasonable opportunity to open and operate and adult use within a City." The draft Farmington Zoning Ordinance, as proposed. mirrors other ordinances that have been upheld by other courts. So long as the zoning ordinance provides areas within the CilY for location of adult businesses as permitted uses, together with other reasonable zoning restrictions, e.g. separation requirements, the courts will merely examine the ordinance to determine whether or not the City has a rational basis for the requirements and restrictions contained in the zoning regulation and whether the areas provided within the City offer "reasonable alternative avenues for communication" . Suite 317 . Eagclndale Office Center · L380 Corporate Center Curve · Eagan. MN 55121 11/29/00 09:43 FAX 651 452 5550 CAMPBELL KNUTSON I4J 003 ..-.--.-----.---.-.--.- -------~-'--- Mr. Dave Olson November 29, 2000 Page 2 However, if a zoning ordinance requires an adult use to obtain a special permit, such as a conditional use permit, prior {Q locating within a city, the court I s analysis of the ordinance changes from merely requiring a rational basis for the ordinance restrictions to reviewing whether the pennit acts an unlawful prior restraint of the exercise of First Amendment freedoms. A prior restraint exists whenever a government official is given unrestricted discretion to grant or deny a permit or license to speak. A prior restraint is presumptively unconstirutional and it is the City' 5 burden to establish that it has adequate substantive and procedural safeguards to avoid suppression of the speech. Where a prior restraint on First Amendment fTeedom exists, the Supreme Court requires imposition of adequate standards for officials to apply when deciding whether to grant a permit to guarantee a prompt decision. Subjecting the zoning ordinance to a prior restraint analysis opens the door to numeroUS procedural challenges to the zoning ordinance that would not exist if the ordinance did not require a conditional use permit. Many ordinances have failed to pass constitutional muster under a prior restraint analysis. In addition, the case law concerning licensing and pennit restrictions on adult businesses is difficult to comply with, in part, because the case law is inconsistem and constantly changes with each new challenge raised by adult business owners. If the City I s zoning ordinance were successfully challenged as a prior restraint on the exercise of a f11"st amendment right, the City could be exposed to a costly legal battle and an adult use could potentially avoid the requirements of the zoning ordinance altogether if the zoning ordinance were deemed. unconstitutional. Furthermore, the City's ability to deny adult uses through a conditional use permit may further reduce the reasonable availability of property within the City for adult uses, to a level which may be considered as unconstitutional as effectively denying adult uses reasonable opportunity to locate in the community. I recommend that the City authorize adult uses as permitred use~ in the district identil:ied in the proposed zoning ordinance and that no conditional use permit be required for location of an adult use within the City. I am attaching some materials that generally speak to the subject of zoning and permit/licensing restrictions, together with the U.S. Supreme Court's opinion in Renton v. PlaYtime Theater. ll. Require Covering of Magazines, etc. The City Council questioned whether it would be appropriate to include a requirement that sexually explicit materials offered for sale be covered in areas where minors may be present. I believe that such a change to the ordinance would not be appropriate or necessary. 11/29/00 09:43 FAX 651 452 5550 CAMPBELL KNUTSON I4J 004 .- ---- Mr. Dave Olson November 29, 2000 Page 3 A. Minnesota State Law Prohibits Display Minnesota law effectively addresses this concern. Minn. Stat. ~ 617.293 requires material which is harmful to minors in its content located in any place of public accommodation where minors are or may be present to be kept in a sealed wrapper, blocked from view by opaque cover or physically segregated in a manner that physically prohibits access to and view of the material by minors. B. Not an Appropriate Zoning Requirement Requirements concerning the packaging and location of sexually explicit material are not typically associated with land use control under a zoning ordinance. Such requirements are more appropriately addressed by a licensing ordinance that regulates the activity itself. The City has inadequate mechanisms under the zoning ordinance to enforce such requirements. In the event of a violation, the City could prosecute the matter as an ordinance violation or bring a civil lawsuit enjoining the display of the material in violation of the ordinance. Since the display requirements are adequately addressed under state law and violation thereof is a misdemeanor and subject to injunctive relief, I recommend that display requirements not be included in the zoning ordinance provisions concerning adult uses. III. Interim Ordinance Based on expiration dates, the interim ordinance cannot be extended. Let me know if this response adequately addresses the issues raised and how you would like these issues presented to the City Council at its December 4, 2000 meeting. Very truly yours, Campbell Knutson Professional Association Ba;~~ Andrea McDowell Poehler AMP:cjh RESOLUTION NO. - 2000 CITY OF FARMINGTON DAKOTA COUNTY, MINNESOTA RESOLUTION ESTABLISHING FINDINGS OF FACT THAT ZONING REGULATIONS OF SEXUALLY ORIENTED BUSINESSES ARE NECESSARY TO MINIMIZETHE SECONDARY ADVERSE EFFECTS OF SUCH BUSINESSES IN THE CITY OF FARMINGTON BE IT RESOLVED by the Planning Commission/City Council of the City of Farmington as follows: LEGAL BACKGROUND WHEREAS, the Farmington Planning Commission/City Council has been provided with background information on sexually oriented businesses which, in summary fashion, is as follows: 1. The United States Supreme Court in its decision of Young v. American Mini Theaters, 106 S.Ct. 925 (1986) has held that sexually oriented businesses engaged in the offering of adult fare characterized by an emphasis on matter depicting specified sexual activities or anatomical areas may not be completely prohibited from doing business within cities by municipal ordinances. 2. The Supreme Court has further held that municipalities may regulate sexually oriented businesses with lawfully enacted content-neutral time, place and manner zoning and licensing ordinances if said regulations are not merely a pretext for completely prohibiting within a City sexually oriented businesses based on the content of the material being offered. 3. The Supreme Court has concluded that lawful content-neutral time, place and manner regulations may have as their focus the minimization of the adverse secondary effects on a community generated by the location and operation of a sexually oriented business within a community. Adverse secondary effects are defined as: a. Increased incidence of crime, b. Diminution of property values within the community and especially the values of those properties adjacent to or in close proximity to the sexually oriented business, and c. Increased risk for the spread of sexually transmitted diseases. 89634 FINDINGS OF FACT WHEREAS, based on the legal background referenced herein, the Farmington Planning Commission/City Council hereby makes the following Findings of Fact in connection with the regulation of sexually oriented businesses within the City. 89634.02 1. That the Planning Commission/City Council has had an opportunity to review and consider all the material and unsworn testimony presented before it in connection with the regulation of sexually oriented businesses within the City. 2. The Planning Commission/City Council has had an opportunity to review and study the "Report of the Attorney General's Working Group on Regulation of Sexually Oriented Businesses," dated June 6, 1989 referred to hereafter as the "Report. " 3. The Report considered evidence from studies conducted in Minneapolis and St. Paul and in other cities throughout the country relating to sexually oriented businesses. 4. The Attorney General's Report, based upon the above referenced studies and the testimony presented to it has concluded "that sexually oriented businesses are associated with high crime rates and depression of property values." In addition, the Attorney General's Work Group "* * * heard testimony that the character of a neighborhood can dramatically change when there is a concentration of sexually oriented businesses adjacent to residential property." 5. The Report concludes that sexually oriented businesses have an impact on the neighborhoods surrounding them which is distinct from the impact caused by other commercial uses. 6. The Report concludes that residential neighborhoods located within close proximity to adult theaters, book stores, and other sexually oriented businesses experience increased crime rates (sex-related crimes in particular), lowered property values, increased transiency, and decreased stability of ownership. 7. The Report concludes the adverse impacts which sexually oriented businesses have on surrounding areas diminish as the distance from the sexually oriented businesses increases. 8. The Report concludes that studies of other cities have shown that among the crimes which tend to increase either within or in the near vicinity of sexually oriented businesses are rapes, prostitution, child molestation, indecent exposure, and other lewd and lascivious behavior. 9. The Report concludes that the Phoenix, Arizona study confirmed that the sex crime rate was on the average 500 percent higher in areas with sexually oriented 2 businesses. 10. The Report concludes that many members of the public perceive areas within which sexually oriented businesses are located as less safe than other areas which do not have such uses. 11. The Report concludes that studies of other cities have shown that the values of both commercial and residential properties either are diminished or fail to appreciate at the rate of other comparable properties when located in proximity to sexually oriented businesses. 12. The Report concludes that the Indianapolis, Indiana study established that professional real estate appraisers believe that an adult book store would have a negative effect on the value of both residential and commercial properties within a one to three block area of the store'. 13. The Planning Commission/City Council finds the characteristics ofFannington are sufficiently similar to those of the cities cited by the Reports when considering the effects of sexually oriented businesses and that the findings concerning the effects of sexually oriented businesses in other cities documented in the Reports are relevant to potential circumstances in the City of Farmington. 14. The Planning Commission/City Council finds, based upon the Report and the studies cited herein, that sexually oriented businesses have the potential for adverse secondary effects upon certain pre-existing land uses within the City of Farmington and that in reliance on data and conclusions made by the studies documented in the Report, it is not necessary for the City of Farmington to conduct its own independent study concerning the effects of sexually oriented businesses located within the City. 15. The City of Farmington is currently without any ordinance regulating the location of sexually oriented businesses within the City. 16. Pursuant to the United States Supreme Court case of City of Renton v. Playtime Theaters. Inc., 106 S.Ct. 925 (1988), and others, it is clear that a permanent total prohibition against sexually oriented businesses would be unconstitutional. 17. The City of Farmington is a balanced community with residential, commercial, and industrial uses. 18. The Planning Commission/City Council finds that the location of sexually oriented businesses within he City of Farmington will have a potentially detrimental effect on the City by unnecessarily lowering property values within the City if said establishments were located in inappropriate areas. 19. The Planning Commission/City Council finds that content-neutral time, place and manner restrictions that regulate the zoning of sexually oriented businesses are 89634.02 3 necessary in the City of Farmington to minimize the potential adverse secondary effects which will accompany the location and operation of said businesses within the City but that said regulations should be drafted in such a manner as to allow for reasonable opportunity to open and operate sexually oriented businesses within the City while minimizing the secondary adverse effects. RECOMMENDATION THEREFORE, BE IT RESOL VED that the Planning Commission/City Council hereby recommends the establishment of zoning controls which will serve to minimize the adverse secondary effects of sexually oriented businesses while providing said businesses a reasonable opportunity to locate and operate within the City of Farmington. ADOPTED by the Planning Commission of the City of Farrnington, Dakota County, Minnesota, this day of , 2000. CITY OF FARMINGTON PLANNING COMMISSION Chairperson ATTEST: City Planner ADOPTED by the City Council of the City of Farmington, Dakota County, Minnesota this _ day of , 2000. CITY OF FARMINGTON CITY COUNCIL Mayor Attested to the _ day of , 2000. City Administrator SEAL 89634.02 4 ORDINANCE NO. CITY OF FARMINGTON DAKOTA COUNTY, MINNESOTA AN ORDINANCE AMENDING TITLE 10 OF THE CITY CODE, THE CITY'S ZONING ORDINANCE, BY MAKING PROVISIONS FOR THE OPPORTUNITY AS WELL AS THE CONTROL OF SEXUALLY ORIENTED BUSINESSES THE CITY COUNCIL OF THE CITY OF FARMINGTON ORDAINS: SECTION 1. Section 10-1-4 of the Farmington City Code is amended to add the following definitions: SEXUALLY ORIENTED BUSINESS: A sexually oriented arcade; sexually oriented bookstore, sexually oriented video store; sexually oriented cabaret; sexually oriented conversation/rap parlor; sexually oriented massage parlor; sexually oriented motel; sexually oriented motion picture theater; sexually oriented sauna; sexually oriented theater; escort agency; nude model studio; sexual encounter center; and other premises, enterprises, establishments, businesses, or places open to some or all members of the public, at or in which there is an emphasis on the presentation, display, depiction, or description of "specified sexual activities" or "specified anatomical areas" which are capable of being seen by members of the public. A. Specified Anatomical Area. Means any of the following: (1) Less than completely and opaquely covered human genitals, pubic region, buttocks, and female breast below a point immediately above the top of the areola; (2) Human male genitals in a discernible turgid state, even if opaquely covered. B. Specified Sexual Activities. Includes any of the following: (1) The fondling or other erotic touching of SEXUALLY ORIENTED BUSINESS - ACCESSORY: SEXUALLY ORIENTED BUSINESS - PRINCIPAL: human genitals, pubic region, buttocks, anus, or female breasts; (2) Sex acts, normal or perverted, actual or simulated, including intercourse, oral copulation, or sodomy; (3) Masturbation, actual or simulated; or (4) Excretory functions as part of or in connection with any of the activities set forth in (I) through (3) above. The offering of retail goods for sale which are classified as sexually oriented uses on a limited scale and which are incidental to the primary activity and goods and/or services offered by the establishment. Examples of such items include the sale of sexually oriented books or magazines, or the sale and/or rental of sexually oriented motion pictures. The offering of goods and/or services which are classified as sexually oriented uses as a primary or sole activity of a business or establishment and include, but are not limited to the following: A. Escort. A person who, for consideration, agrees or offers to act as a companion, guide, or date for another person, or who agrees or offers to privately model lingerie or to privately perform a striptease for another person. B. Escort Allencv. A person or business association who furnishes, offers to furnish, or advertises to furnish escorts as one of its primary business purposes, for a fee, tip, or other consideration. C. Establishment. Means and includes any of the following: (I) The opening or commencement of any sexually oriented business as a new business; 89405.05 2 Rev: 11/28/00 (2) The conversion of an existing business, whether or not a sexually oriented business, to any sexually oriented business; (3) The addition of any sexually oriented business to any other existing sexually oriented business; or (4) The relocation of any sexually oriented business. D. Nude Model Studio. Any place where a person who appears in a state of nudity or displays "specified anatomical area" is provided to be observed, sketched, drawn, painted, sculptured, photographed, or similarly depicted by other persons who pay money or any form of consideration. E. Nuditv or State of Nuditv. Nudity or State of Nudity is described as follows: (I) The appearance of a human bare buttock, anus, male genitals, female genitals, or female breasts; or (2) The state of dress which fails to opaquely cover a human buttock, anus, male genitals, female genitals, or areola of the female breast. F. Semi-Nude. A state of dress in which clothing covers no more than the genitals, pubic region, and areolae of the female breast, as well as portions of the body covered by supporting straps or devices. G. Sexual Encounter Center. A business or commercial enterprise that, as one of its primary business purposes, offers for any form of consideration: (I) Physical contact in the form of wrestling 89405.05 3 Rev: 11/28/00 or tumbling between persons of the opposite sex; or (2) Activities between male and female persons and/or persons of the same sex when one or more of the persons is in a state of nudity or semi-nude. H. Sexuallv Oriented Arcade. Any place to which the public is permitted or invited wherein coin- operated or slug-operated or electronically, electrically, or mechanically controlled still or motion picture machines, projectors, or other image-producing devices are maintained to show images to five (5) or fewer persons per machine at anyone time, and where the images so displayed are distinguished or characterized by the depicting or describing of "specified sexual activities" or "specified anatomical areas". I. Sexuallv Oriented Bookstore. or Sexual Iv Oriented Video Store. A commercial establishment which as a principal business purpose offers for sale or rental for any form of consideration anyone or more of the following: (1) Books, magazines, periodicals or other printed matter, or photographs, films, motion pictures, video cassettes or video reproductions, compact discs, computer software, digital recordings, slides, or other visual representations which depict or describe "specified sexual activities" or "specified anatomical areas"; or J. Sexuallv Oriented Cabaret. A nightclub, bar, restaurant, or similar commercial establishment which regularly features: (1) Persons who appear in a state of nudity; or (2) Live performances which are characterized by the exposure of "specified anatomical areas" or by 89405.05 4 Rev: 11/28/00 "specified sexual activities"; or (3) Films, motion pictures, video cassettes, slides, compact discs, computer software, digital recordings or other photographic reproductions which are characterized by the depiction or description of "specified sexual activities" or "specified anatomical areas". K. Sexuallv Oriented ConversationIRaD Parlor. A conversation/rap parlor which excludes minors by reason of age, or which provides the service of engaging in or listening to conversation, talk, or discussion between an employee of the establishment and a customer, if such service is distinguished or characterized by an emphasis on "specified sexual activities" or "specified anatomical areas". L. Sexuallv Oriented Massafle Parlor. A massage parlor which excludes minors by reason of age, or which provides for any form of consideration, the rubbing, stroking, kneading, tapping, or rolling of the body, if the service provided by the massage parlor is distinguished or characterized by an emphasis on "specified sexual activities" or "specified anatomical areas". M. Sexuallv Oriented Motel. A hotel, motel, or similar commercial establishment which: (I) Offers accommodations to the public for any form of consideration; provides patrons with closed-circuit television transmissions, films, motion pictures, video cassettes, slides, or other photographic reproductions which are characterized by the depiction or description of "specified sexual activities" or "specified anatomical areas"; and has a sign visible from the public right-of-way which advertises the availability of this adult type of photographic reproductions; 89405.05 5 Rev: 11/28/00 or (2) Offers a sleeping room for rent for a period of time that is less than ten (10) hours; or (3) Allows a tenant or occupant of a sleeping room to subrent the room for a period of time that is less than ten (10) hours. N. Sexual Iv Oriented Motion Picture Theater. A commercial establishment where, for any form of consideration, films, motion pictures, video cassettes, slides, or similar photographic reproductions are regularly shown which are characterized by the depiction or description of "specified sexual activities" or "specified anatomical areas". O. Sexual Iv Oriented Sauna. A sauna which excludes minors by reason of age, or which provides for any form of consideration, a steam bath or heat bathing room used for the purpose of bathing, relaxing, or reducing, utilizing steam or hot air as a cleaning, relaxing, or reducing agent, if the service provided by the sauna is distinguished or characterized by an emphasis on "specified sexual activities" or "specified anatomical areas". P. Sexual Iv Oriented Theater. A theater, concert hall, auditorium, or similar commercial establishment which regularly features persons who appear in a state of nudity or live performances which are characterized by the exposure of "specified anatomical areas" or "specified sexual activities". SECTION 2. Section 10-3-2(0), (H) and (I) of the Farmington City Code is amended by adding Sexually Oriented Businesses - Accessory, as permitted uses. SECTION 3. Section 1O-3-2(K) of the Farmington City Code is amended by adding sexually oriented businesses, principal and accessory, as permitted uses. 89405.05 Rev: 11/28/00 6 SECTION 4. Title 10, Chapter 6 of the Farmington City Code is amended to add Section 10-6-23 as follows: 10-6-23: SEXUALLY ORIENTED BUSINESSES: (A) Purpose. The purpose of this section is to establish provisions for the opportunity as well as control of sexually oriented businesses within the City of Farmington. (B) General. Sexually oriented businesses as defined in this ordinance shall be subject to the following general provisions. 1. Activities classified as obscene as defined by Minn. Stat. ~ 617.241 are prohibited. 2. Sexually oriented businesses, either principal or accessory, shall be prohibited from locating in any building which is also used for residential purposes. 3. Sexually oriented businesses, either principal or accessory, shall be prohibited from locating in any building which is also licensed to sell intoxicating liquor, non-intoxicating malt liquor or wine. 4. A sexually oriented business which does not qualify as a sexually oriented business-accessory, shall be classified as a sexually oriented business- principal. (C) Sexuallv Oriented Business - Principal. 1. Sexually oriented business-principal shall be located at least three hundred (300) feet from County State Aid Highways 31 and 50 as measured in a straight line from the closest point of the property line of the building upon which the sexually oriented business-principal is located, to the right-of-way. 2. Sexually oriented business-principal shall be located at least three hundred (300) feet, as measured in a straight line from the closest point of the property line of the building upon which the sexually oriented business-principal is located, to the property line of: (a) Residentially zoned property. (b) Another sexually oriented business-principal. (c) Schools. (d) Churches. 89405.05 7 Rev: 11/28/00 (e) Day cares. (t) Public library. (g) Public parks/trails. (h) On/off sale liquor establishments. 3. Sexually oriented business-principal activities, as defined by this ordinance, shall be classified as one use. No two (2) sexually oriented business-principal shall be located in the same building or upon the same property and each business shall be subject to subsections (C)(l) and (2) above. (D) Sexuallv Oriented Business - Accessorv. 1. Sexually oriented business-accessory shall: (a) Comprise no more than ten percent (10%) of the floor area of the establishment in which it is located; provided that the maximum floor area used for sexually oriented business-accessory may not exceed 1,000 square feet. (b) Comprise no more than twenty percent (20%) of the gross receipts of the entire business operation. (c) Not involve or include any activity except the sale or rental of merchandise. 2. Sexually oriented business-accessory shall be restricted from and prohibit access to minors by the physical separation of such items from areas of general public access: (a) Movie Rentals. Display areas shall be restricted from general view and shall be located within a separate room, the access of which is in clear view and under the control of the persons responsible for the operation or shall be in catalogs under the direct control and distribution of the operator. (b) Magazines. Publications classified or qualifying as sexually oriented shall not be physically accessible to minors and shall be covered with a wrapper or other means to prevent display of any material other than the publication title. 89405.05 8 Rev: 11/28/00 3. Sexually oriented business-accessory activities, including sale or display of instruments, devices or paraphernalia which are used or designed for use in connection with specified sexual activities, shall be prohibited at any public show, movie, caravan, circus, carnival, theatrical or other performance or exhibition presented to the general public where minors are admitted. SECTION 5. This ordinance shall be effective immediately upon its passage. ADOPTED this City of Farmington. day of , 2000, by the City Council of the CITY OF FARMINGTON BY: Gerald Ristow, Mayor A TIEST: John Erar, CityAdministrator SEAL Approved as to form the _ day of , 2000. City Attorney Published in the Farmington Independent the _ day of . 2000. 89405.05 Rev: 11/28/00 9 ~ G) ZlQ. c e G)Q. E-c .s:::G) .~ c :c~ S~ an:; ......+:i c c G) G) E:2 c tn .- G) CUD:: 1::- G)"'C'""" ~M ::I: <( -en .go <(~ ~O ~Lt) -C::I: G)<( nien cO .2'~ tn 0 G)~ C(.) tn CU cu.c G)...... ~ G) <(en - o o M Ul z._ ~ ..... Q) Q) LL o o N ...- o o <0 l/l co ~ <( ro .C iii >. :J co " := E E E ~ Cl ~ ~ o Q) a: E o ..!!! LO a.. ::cCO..... <(Q)O U)....." O<(Q) ~c: g.~ ~ ~ :::2:M~~ - Q)- Q) ::c U) c: ~<(- ~ CO U) 0 ..... a..og8 CRlI a. l'll -E ~ ::J "0 .!!l ts Q) .0 a. == Q) .~ 19 rJl tl Q) .0 a. rJl 9> (j o ~ d. CITY OF FARMINGTON Dakota County, Minnesota SUMMARY OF ORDINANCE NO. AMENDING TITLE 10 OF THE CITY CODE, THE CITY'S ZONING ORDINANCE, BY MAKING PROVISIONS FOR THE OPPORTUNITY AS WELL AS THE CONTROL OF SEXUALLY ORIENTED BUSINESSES NOTICE IS HEREBY GIVEN that, on December 4, 2000, 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 City Council has directed that a title and summary be prepared for publication pursuant to Minn. Stat. ~ 412.191, subd. 4. NOTICE IS FURTHER GIVEN that a complete, printed copy of the whole ordinance is available for inspection by any person in the City Clerk's office at the Farmington City Hall during the City's regular office hours. NOTICE IS FURTHER GIVEN that the title of Ordinance No. is as follows: An Ordinance Amending Title 10 of the City Code, the City's Zoning Ordinance, by Making Provisions for the Opportunity as Well as the Control of Sexually Oriented Businesses. NOTICE IS FURTHER GIVEN that the general purpose of the ordinance is to amend the city ordinance by making provisions for the opportunity as well as the control of sexually oriented businesses, as follows: SECTION 1. This section amends Section 10-1-4 of the Farmington City Code by adopting definitions of sexually oriented businesses and other terms that are used in the ordinance. SECTION 2. This Section amends Subsections 10-3-2(0), (H) and (I) of the Farmington City Code by adding Sexually Oriented Businesses - Accessory, as permitted uses in the B-1, B-2 and B-3 zoning districts. SECTION 3. This Section amends subsection 10-3-2(K) of the Farmington City Code by adding sexually oriented businesses, principal and accessory, as permitted uses in the 1-1 zoning district. SECTION 4. This section amends Title 10, Chapter 6 of the Farmington City Code by adding a new Section 10-6-23, which is summarized as follows: 10-6-23: SEXUALLY ORIENTED BUSINESSES: (A) Purpose. Provides that the purpose of the Ordinance to provide opportunities and limit the location of sexually oriented businesses. 65700 1 (B) General. Provides general restrictions on sexually oriented businesses, such as prohibitions against obscene activities, location in a residential dwelling, location in an establishment licensed to sell liquor. (C) Sexually Oriented Business - Principal. Restrictions on the location of sexually oriented businesses - principal, such as setback limitations from certain sensitive uses. (D) Sexually Oriented Business - Accessory. Restrictions on sexually oriented businesses - accessory, which limits the percentage of the business that may be devoted to a sexually oriented business and provides regulations concerning sale and access by minors. SECTION 5. This section sets the effective date as immediately upon passage of the ordinance. NOTICE IS FURTHER GIVEN that the City Council has unanimously approved this Public Notice. ADOPTED this Farmington. day of , 2000, by the City Council of the City of CITY OF FARMINGTON BY: Gerald Ristow, Mayor ATTEST: City Administrator SEAL Approved as to form the _ day of , 2000. City Attorney Published in the Farmington Independent the _ day of ,2000. 65700 2 City of Farmington 325 Oak Street, Farmington, MN 55024 (651) 463-7111 Fax (651) 463-2591 www.cl.farmington.mn.us /d~ TO: Mayor, Councilmembers and City Administrato,?~ FROM: Daniel M. Siebenaler Chief of Police SUBJECT: Dakota County Drug Task Force 2001 Joint Powers Agreement DATE: December 4, 2000 INTRODUCTION The City of Farmington has been an active participant in the Dakota County Drug Task Force (formerly Southeast Metro Narcotics Task Force) for many years. In the year 2000 two Dakota County Task Forces joined together to form a single organization. Under the terms of the new Joint Powers Agreement (JPA) the agreement must be renewed annually by action of the governing boards of the participating local jurisdictions. DISCUSSION Membership in the Dakota County Drug Task Force by the City of Farmington provides the Farmington Police Department access to resources that would otherwise be unfeasible in the form of personnel and grant funding. These resources can then be used to conduct investigations and follow-up to narcotics cases in Farmington. As part of this Joint Powers Agreement the Farmington Police Department commits approximately 350 hours per year to the Task Force. Two Farmington representatives spend an average of 4 hours per week assisting in Task Force investigations. This is the City's in-kind contribution which off-sets the requirement for a local cash contribution. BUDGET IMPACT The Dakota County Drug Task Force has historically been funded by Federal Grant and proceeds from the forfeiture of cash and vehicles from drug dealers. The Federal Grant for 2001 has been approved. It is anticipated that there is sufficient funding available in the Task Force Budget to fund 2001 activity without a local cash contribution. Any excess funds generated will be returned to participating agencies in proportion to the time contributed. ACTION REQUESTED Approve the attached Dakota County. Drug Task Force Joint Powers Agreement and authorize participation by the Farmington Police Department. Respectfully submitted, cyzL Daniel M. Siebenaler Chief of Police 2001 JOINT POWERS AGREEMENT DAKOTA COUNTY DRUG TASK FORCE The parties to. this Agreement are units af gavernment respansib1e far the enfarcement af cantralled substance laws in their respective jurisdictians. This Agreement is made pursuant to. the authority canferred upan the parties by Minnesata Statutes 471.59. NOW THEREFORE, the undersigned gavernmenta1 units, in the joint and mutual exercise o.f their pawers, agree as fallaws: 1. Name. The parties hereby establish the Dakata County Drug Task Force. 2. General Purpose. The purpase af this Jaint Pawers Agreement is to. establish an arganizatian to. caardinate effarts to. apprehend and prasecute drug affenders. 3. Members. The members af this Agreement shall cansist af the fallawing units af gavernment: City af Apple Valley City af Burnsville City af Eagan City af Farmingtan City af Hastings Dakata County City af Inver Grove Heights City af Lakeville City af Rasemaunt City af Savage City af Sauth S1. Paul City af West S1. Paul 4. State and Local Assistance for Narcotics Control Program. The City af Burnsville, acting an behalf af the Dakata Caunty Drug Task Farce and its members, shall apply far funding under the State and Laca1 Assistance far Narcatics Cantra1 Pragram ("grant funds"). The Burnsville City Manager shall be the" autharized afficia1" as defined in the general pa1icies and pracedures far the pragram. 5. Administrative Board. 5.1 The gaverning baard af the Task Farce shall be canstituted as fallaws: The palice chief ar sheriff af each party shall appaint ane baard member to. serve at the chief's ar sheriff's pleasure. The Dakata Caunty Attarney shall appaint ane .baard member to. serve at the Caunty Attarney's pleasure. Baard Page 1 members appainted by the palice chiefs and sheriff must be full-time supervisary peace afficers of the jurisdictian ar affice that appaints the Baard member. 5.2 Baard members shall nat be deemed emplayees af the Task Farce and shall nat be campensated by it. 5.3 In January af each year, the Baard shall elect fram its members a chair, a vice-chair, a secretary/treasurer, and such ather afficers as it deems necessary to. canduct its meetings and affairs. The Baard may adapt rules and regulatians gaverning its meetings. Such rules and regulatians may be amended fram time to. time at either a regular ar a special meeting af the Baard pravided that at least ten (10) days' priar natice af the meeting has been furnished to. each Baard member. The Baard shall aperate by a majarity vate af all members present. A qua rum af twa-thirds (2/3) af the members shall be required for all meetings. 6. Powers and Duties of the Board. 6.1 The Baard will farmulate a pragram to. carry aut its purpase. 6.2 The Baard will caardinate intelligence between the members and the Task Farce. 6.3 The Baard shall appaint and superVIse the Agent-in-Charge af the Task Farce. The Baard may appaint and supervise an Assistant Agent-in-Charge af the Task Farce. This appaintment will be with the cancurrence af the agent's member agency. 6.4 The Baard may caaperate with ather federal, state, and lacal law enforcement agencies to. accamplish the purpase far which it is arganized. 6.5 The Baard may make cantracts, incur expenses and make expenditures necessary and incidental to. the effectuatian af its purpase and cansistent with its pawers. 6.6 The Baard shall cause to. be made an annual audit af the baaks and accaunts af the Task Farce and shall make and file a repart. to. its members which includes the fallawing infarmatian: (a) the financial canditian af the Task Farce; (b) the status af all Task Farce prajects; (c) the business transacted by the Task Farce; and (d) ather matters which affect the interests af the Task Farce. Page 2 6.7 The Task Farce's baaks, reparts, and recards shall be apen to. inspectian by its members at all reasanable times. 6.8 The Baard may recammend changes in this Agreement to. its members. 6.9 The members may nat incur abligatians ar enter into. cantracts that extend beyand the term af this Agreement. 6.10 The Baard will purchase liability insurance which shall be payable fram Task Farce funds, and the Dakata Caunty Drug Task Farce may nat take any actians under this Agreement until such liability insurance is in effect. 6.11 The Baard may receive real ar persanal praperty by grant, devise, or bequest far the use af the Task Farce. 7. Finances. 7.1 The members intend to. fund the 2001 cast af aperatian af the Task Farce tataling $803,643.00 as fallows: (1) $251,579.00 fram 2001 grant funds, and (2) $357,410.00 in matching funds fram member cities and Caunty. Matching funds shall fund the cantinued cast af maintaining the replacement afficers far the full-time afficer assigned by same members to. the Task Farce. Additional matching funds shall came fram farfeiture funds, and $10,000.00 fram the Dakata Caunty Sheriff's cantingent fund far drug and alcahal investigatians. All funds will be spent in federally autharized pragram areas. 7.2 The Task Farce's funds may be expended by the Baard in accardance with this Agreement in a manner determined by the Baard. The Baard shall designate the City af Burnsville to. act as depasitary far the Task Farce's funds. In no. event shall there be a disbursement af Task Farce funds fram the City af Burnsville depasitary withaut the signature af the Task Farce Secretary/Treasurer, ar the Chairman in the absence af the Secretary/Treasurer. 7.3 The Baard shall receive a manthly financial repart af all expenditures and receipts, and current fund balances fram the secretary/treasurer. 7.4 The members shall cantribute their grant funds and required matching funds to. aperate the Task Farce. The required matching funds will be used to. pay the 2001 salary and benefits af the full-time afficer hired to. replace the afficer assigned to. the Task Farce by same members. 7.5 The Baard shall adapt a budget based upan grant funds, member matching funds and maney made available fram ather saurces. The Baard may amend the budget fram time to. time. Page 3 7.6 The Baard may nat incur debts. 7.7 The Task Force's abligatian to. reimburse members far any expense, furnish equipment, and the like is cantingent upan the Task Force receiving at least $275,000.00 in grant funds in 2001. If grant funds less than that amaunt are received, the Baard may reduce the level af expense reimbursement and cut back an equipment and ather purchases atherwise required by this Agreement. 8. Agent. 8.1 Each member shall assign ane experienced, licensed peace afficer to. serve an the Task Farce as fallaws: Dakata Caunty City af Apple Valley City af Burnsville City af Eagan City af Farmingtan City af Hastings City af Inver Grave Heights City af Lakeville City af Rasemount City af Savage City af Sauth St. Paul City af West St. Paul Five (5) Full Time Equivalent (FTE) One (1) FTE One (1) FTE One (1) FTE One Seventeen-Hundredth (.17) FTE One Half (.5) FTE One (1) FTE One (1) FTE One Fifteen-Hundredth (.15) FTE One Quarter (.25) FTE One Half (.5) FTE Three Quarters (.75) FTE * *After July 1,2001, this pasitian will be staffed at One (1) FTE. 8.2 Agents shall nat be emplayees af the Task Farce. Agents shall remain emplayees af the member that has assigned them to. the Task Farce and shall be paid by that member, nat the Task Farce. 8.3 Agents will be respansible far drug investigatian, including intelligence management, case develapment, and case charging. Agents will also. assist ather agents in surveillance and undercaver aperatians. Task Farce agents will wark caaperatively with assisting agencies. 8.4 Agents will be supervised by the Agent-in-Charge ar, in his/her absence, by the Team Leader assigned by the Agent-in-Charge to. act in his/her absence. 8.5 The member appainting the Agent shall furnish the Agent a weapan and a vehicle and pay any lease payments, insurance, maintenance, and operating casts af the vehicle. 8.6 The members shall maintain the afficer pasitians hired to. replace the afficer assigned to. the Task Farce, ar maintain the Full Time Equivalent staffing assigned to. the Task Farce as shawn in 8.1. Page 4 9. Agent-in-Charge and Team Leader(s). 9.1 Fram the full-time Agents assigned by members, an Agent-in-Charge shall be appainted by the Baard and serve at its pleasure. The Agent-in-Charge must be a full-time, licensed supervisary peace afficer af a member. The Agent-in- Charge shall remain an emplayee af the member city ar Caunty. 9.2 The Agent-in-Charge shall be in charge af the day-ta-day aperatian af the Task Farce, including supervising the Task Farce's assigned persannel, subject to. directian received fram the Baard. The Agent-in-Charge is respansible far staffing, scheduling, case assignment, case management, recard keeping, infarmant management, buy fund management, petty cash management, and intelligence management. The Agent-in-Charge will be respansible to. keep the Baard updated as to. the Task Farce's activity, which wauld include majar case develapment within member jurisdictians. The Agent-in-Charge will supervise the drafting and executian af all search warrants initiated by the Task Farce Unit and will wark caaperatively with the agencies with venue aver the case. The Agent-in-Charge will be respansible far all buy fund manies and petty cash funds and will pravide Baard members with a manthly accaunting af all funds disbursed and a written summary af activity with the unit. 9.3 The Agent-in-Charge may exclude Agents fram further Task Farce invalvement subject to. review by the Baard and appraval af the member that assigned the Agent to. the Task Farce. 9.4 Fram the Agents assigned by members, a Team Leader(s) may be appainted by the Baard, with the cancurrence af the Agent's member agency, and serve at the Baard's pleasure. The Team Leader(s) must be a full-time, licensed peace afficer af a member and shall be paid a supervisar's salary by that member agency anly during that time that the Agent-in-Charge is absent. The difference between the rate af pay, if any, the Team Leader(s) wauld narmally have received fram the member agency and the rate af pay far the member's first line supervisar, hawever, will be paid by the Task Farce to. the member agency. The Team Leader(s) shall remain an emplayee af the member city ar Caunty at all times. 9.5. The duties, respansibilities and autharity af the Team Leader(s), while the Agent-in-Charge is absent, shall be the same as the Agent-in-Charge as described in paragraph 9.2. If there is mare than ane team leader, the Agent-in- Charge will assign ane team leader to. act as Agent-in-Charge while the Agent- in-Charge is absent. 10. Forfeiture, Seizures and Fines. Items that are seized by the Task Farce may be used to. suppart Task Farce effarts. The use af these items must be appraved by the Baard. In the case af Federal farfeiture actians, established Federal Rules shall be fallawed. All remaining farfeited items shall be divided amang Task Farce members in prapartian to. the "full-time equivalent" cantributians af each member af this agreement as set farth at paragraph 8.1 Page 5 herein. Fine ar restitutian manies ardered paid to. the Task Farce by Caurt Order shall be used to. affset equipment ar aperating casts af the Task Farce nat funded by grant ar matching funds. 11. Indemnification. Each member shall fully indemnify and hald harmless the ather members against all claims, lasses, damage, liability, suits, judgments, casts and expenses by reasan af the actian ar inactian af its emplayees assigned to. the Task Farce to. the extent nat cavered by insurance. This agreement to. indemnify and hald harmless daes nat canstitute a waiver by any member af limitatians an liability pravided by Minnesata Statutes, Chapter 466. 12. Duration. 12.1 This Agreement shall take full effect an January 1, 2001. All members need nat sign the same capy. The signed Agreement shall be filed with the City af Burnsville, who. shall natify all members in writing af its effective date. With the exceptian af paragraph 4 af this Agreement, implementatian is also cantingent upan receipt af grant funds. Priar to. the effective date af this Agreement, any signatary may rescind its appraval. 12.2 This Agreement shall terminate an December 31, 2001, unless extended by further written agreement af the parties. 12.3 This Agreement may be terminated at any time by the written agreement af a maj arity af the members. 12.4 Upan terminatian af this Agreement, all praperty af the Task Farce shall be sald or distributed to. the members in prapartian to. the '~full-time equivalent" cantributians af each member af this Agreement as set farth at paragraph 8.1 herein. IN WITNESS WHEREOF, the undersigned gavernmenta1 units, by actian af their gaverning badies, have caused this Agreement to. be executed in accardance with the autharity af Minnesata Statutes 471.59. Appraved by the City Caunci1 CITY OF APPLE VALLEY By Date af Signature Attest Date af Signature Page 6 Appraved by the City Cauncil Appraved by the City Cauncil Appraved by the City Cauncil . Appraved by the City Cauncil Appraved by the City Cauncil Appraved by the City Cauncil Page 7 CITY OF BURNSVILLE By Date af Signature Attest Date af Signature CITY OF EAGAN By Date af Signature Attest Date af Signature CITY OF FARMING TON By Date af Signature ~:~:~;f7-~l:-.o CITY OF HASTINGS By Date af Signature Attest Date af Signature CITY OF INVER GROVE HEIGHTS By Date af Signature Attest Date af Signature CITY OF LAKEVILLE By Date af Signature Attest Date af Signature Appraved by the City Cauncil Appraved by the City Cauncil Appraved by the City Cauncil Appraved by the City Caunci1 Appraved by Dakata Caunty Baard Resalutian No.. Dakata Caunty Attarney's Office Dakata Caunty Judicial Center 1560 Highway 55 Hastings, Minnesata 55033 Telephane: (651) 438-4438 K/KOO-373 2001 DCDTF Page 8 CITY OF ROSEMOUNT By Date of Signature Attest Date af Signature CITY OF SAVAGE By Date of Signature Attest Date of Signature CITY OF SOUTH ST. PAUL By Date af Signature Attest Date af Signature CITY OF WEST ST. PAUL By Date af Signature Attest Date af Signature COUNTY OF DAKOTA By Don Gudmundson, Sheriff Date af Signature Appraved as to Farm: By Assistant County Attarney/Date Approved as to. Execution: By Assistant Caunty Attarney/Date City of Farmington 325 Oak Street, Farmington, MN 55024 (651) 463-7111 Fax (651) 463-2591 www.ci.farmington.mn.us /o?6 TO: FROM: SUBJECT: Mayor, Councilmembers, City Administrato~ Robin Roland, Finance Director Consider Issuance Certificates of Indebtedness DATE: December 4, 2000 INTRODUCTION The City of Farmington's budgets for 2000 and 2001 include the purchase of several significant pieces of equipment. Funding of these purchases has been identified as coming from the issuance of Certificates of Indebtedness. DISCUSSION Under Minnesota State Statute 412.301, the City may borrow funds for the purchase of equipment by issuing Certificates of Indebtedness with a term not exceeding 5 years. The cost of the equipment to be purchased with the proposed certificates totals $710,000. The items to be purchased include: (2) Snowplow trucks Police Squad Fire Pumper (2) Pick-up Trucks Police & Fire Equipment Dump truck Boom Attachment $202,000 23,000 356,000 56,000 9,700 45,000 18,300 Historically, the City has issued Certificates as either a Bond issue subject to bonding costs and the public bidding requirements or by Council resolution, after quotes from local banking institutions have been received. After consulting the City's financial advisors (Ehlers & Assoc.), staff solicited quotes on these certificates from three local banks. Marquette Bank Lakeville proposed the best terms, with an interest rate of 5.5% for the five year period. The Certificates issued by the City of Farmington would be tax exempt to the bank. BUDGET IMPACT Issuance of Certificates to fund equipment purchases is identified in both the 2000 and 2001 City budgets. Debt service on the certificates is funded by the tax levy, as per Minnesota State Statute. ACTION REQUIRED Adopt the attached resolution issuing $710,000 of Certificates of Indebtedness at a rate of 5.5% payable over five years to Marquette Bank of Lakeville. ;i24Zr Robin Roland Finance Director CERTIFICATION OF MINUTES RELATING TO $710,000 GENERAL OBLIGATION EQUIPMENT CERTIFICATES OF INDEBTEDNESS OF 2000 Issuer: City of Farmingtan, Minnesota Governing Body: City Council Kind, date, time and place of meeting: A regular meeting held December 4,2000, at 7:00 o'clock p.m., at the City Hall in Farmington, Minnesota. Members present: Members absent: Documents Attached: Minutes of said meeting (including): RESOLUTION NO. RESOLUTION AUTHORIZING ISSUANCE, A WARDING SALE, PRESCRIBING THE FORM AND DETAILS AND PROVIDING FOR THE PAYMENT OF $710,000 GENERAL OBLIGATION EQUIPMENT CERTIFICATES OF INDEBTEDNESS OF 2000 I, the undersigned, being the duly qualified and acting recording officer of the public corporation issuing the Certificates referred to in the title of this certificate, certify that the dacuments attached hereto, as described above, have been carefully compared with the original records of said corporation in my legal custody, from which they have been transcribed; that said documents are a correct and complete transcript of the minutes of a meeting of the governing body of said corporation, and correct and complete copies of all resolutions and other actions taken and of all documents approved by the governing body at said meeting, so far as they relate to. said Certificates; and that said meeting was duly held by the governing body at the time and place and was attended throughout by the members indicated above, pursuant to call and notice of such meeting given as required by law. WITNESS my hand officially as such recording officer this 4th day of December, 2000. City Administrator Cauncilmember introduced the following resolution and moved its adoption, which motion was seconded by Councilmember RESOLUTION AUTHORIZING ISSUANCE, AWARDING SALE, PRESCRIBING THE FORM AND DETAILS AND PROVIDING FOR THE PAYMENT OF $710,000 GENERAL OBLIGATION EQUIPMENT CERTIFICATES OF INDEBTEDNESS OF 2000 BE IT RESOLVED by the City Council of the City of Farmington, Minnesota (the City), as follows: SECTION 1. AUTHORIZATION AND SALE. 1.01. Authorization. The City Council hereby determines that it is in the best interest of the City to issue its $710,000 General Obligation Equipment Certificates of Indebtedness of 2000 (the Certificates) of the City to finance the costs of acquiring items of capital equipment. Said items of capital equipment have a useful life not less than the term of the Certificates. The principal amount of the Certificates does not exceed .25 percent of the market value of taxable property in the City. 1.02. Sale. Pursuant to the provisions of Minnesota Statutes, Section 475.60, subdivision 2(2), the public sale requirements do not apply to the sale of the Certificates since the City has not and will not negotiate the sale of obligations pursuant to. said authorization in a principal amount exceeding $1,200,000 during any 12 month period prior to or following the sale of the Certificates. The Council has received an offer from Marquette Bank, N .A. Lakeville, in Lakeville, Minnesota (the Purchaser), to purchase the Certificates at a price of $710,000, on the further terms and conditions hereinafter set forth. The proposal is hereby accepted, and the Mayor and the City Administrator are hereby authorized and directed to execute a contract on the part of the City for the sale of the Certificates with the Purchaser. SECTION 2. CERTIFICATE TERMS; REGISTRATION; EXECUTION AND DELIVERY. 2.01. Issuance of Certificates. All acts, conditions and things which are required by the Constitution and laws of the State of Minnesota to be done, to exist, to happen and to be performed precedent to and in the valid issuance of the Certificates having been done, now existing, having happened and having been performed, it is now necessary for the City Council to. establish the form and terms of the Certificates, to provide security therefor and to issue the Certificates forthwith. 2.02. Interest Rates. Dates and Payment. The Certificates shall be originally dated as of the date of delivery and shall bear interest from the date of issue until paid at the annual rate of 5.50% per annum. The Certificates shall not be subject to optional redemption prior to maturity. Principal and interest on the Certificates shall be payable together in installments on the first day of each month, commencing on , 2001, to the owner of record thereof as of the close of business on the fifteenth day of the immediately preceding month, whether or not such day is a business day, in accordance with the final terms agreed upon by the City and the Purchaser; provided that the final installment of principal and interest will be payable no later than December 1,2005. The Certificates shall be issuable only in fully registered form. The installments af interest and principal in amounts agreed upon by the City and the Purchaser, shall be payable by check or draft issued by the Registrar described herein. Upon initial delivery of the Certificates pursuant to Section 2.05 and upon any subsequent transfer or exchange pursuant to Section 2.04, the date of authentication shall be noted on each Certificate so delivered, exchanged or transferred. 2.03. Appointment of Initial Registrar. The City hereby appoints the Finance Director of the City as the initial bond registrar, transfer agent and paying agent (the Registrar). The City reserves the right to remove the Registrar upon thirty days' notice and upon the appointment of a successor Registrar, in which event the predecessor Registrar shall deliver all cash and Certificates in its possession to the successor Registrar and shall deliver the bond register to the successor Registrar. 2.03. Registration. The effect of registration and the rights and duties of the City and the Registrar with respect thereto shall be as follows: (a) Register. The Registrar shall keep a bond register in which the Registrar shall provide for the registration of ownership of Certificates and the registration of transfers and exchanges of Certificates entitled to be registered, transferred or exchanged. (b) Transfer of Certificates. Upon surrender for transfer of any Certificate duly endorsed by the registered owner thereof or accompanied by a written instrument of transfer, in form satisfactory to the Registrar, duly executed by the registered owner thereof or by an attorney duly authorized by the registered owner in writing, the Registrar shall authenticate and deliver, in the name of the designated transferee or transferees, one or more new Certificates of a like aggregate principal amount and maturity, as requested by the transferor. The Registrar may, however, close the books for registration of any transfer after the fifteenth day of the month preceding each interest payment date and until such interest payment date. (c) Exchange of Certificates. Whenever any Certificates are surrendered by the registered owner for exchange the Registrar shall authenticate and deliver one or more new Certificates of a like aggregate principal amount and maturity, as requested by the registered owner or the owner's attorney in writing. (d) Cancellation. All Certificates surrendered upon any transfer or exchange shall be promptly canceled by the Registrar and thereafter disposed of as directed by the City. (e) Improper or Unauthorized Transfer. When any Certificate is presented to the Registrar for transfer, the Registrar may refuse to transfer the same until it is satisfied that -2- the endorsement on such Certificate or separate instrument of transfer is valid and genuine and that the requested transfer is legally authorized. The Registrar shall incur no liability for the refusal, in good faith, to make transfers which it, in its judgment, deems improper or unauthorized. (f) Persons Deemed Owners. The City and the Registrar may treat the person in whose name any Certificate is at any time registered in the bond register as the absolute owner of the Certificate, whether the Certificate shall be overdue or not, for the purpose of receiving payment of or on account of, the principal of and interest on the Certificate and for all other purposes; and all payments made to any registered owner or upon the owner's order shall be valid and effectual to satisfy and discharge the liability upon Certificate to the extent of the sum or sums so paid. (g) Taxes. Fees and Charges. For every transfer or exchange of Certificates (except for an exchange upon a partial redemption of a Certificate), the Registrar may impose a charge upon the owner thereof sufficient to reimburse the Registrar for any tax, fee or other governmental charge required to be paid with respect to such transfer or exchange. (h) Mutilated. Lost. Stolen or Destroyed Certificates. In case any Certificate shall become mutilated or be destroyed, stolen or lost, the Registrar shall deliver a new Certificate of like amount, number, maturity date and tenor in exchange and substitution for and upon cancellation of any such mutilated Certificate or in lieu of and in substitution for any Certificate destroyed, stolen or lost, upon the payment of the reasonable expenses and charges of the Registrar in connection therewith; and, in the case of a Certificate destroyed, stolen or lost, upon filing with the Registrar of evidence satisfactory to it that the Certificate was destroyed, stolen or lost, and of the ownership thereof, and upon furnishing to the Registrar of an appropriate Certificate or indemnity in form, substance and amount satisfactory to it, in which both the City and the Registrar shall be named as obligees. All Certificates so surrendered to the Registrar shall be canceled by it and evidence of such cancellation shall be given to the City. If the mutilated, destroyed, stolen or lost Certificate has already matured or been called for redemption in accordance with its terms it shall not be necessary to issue a new Certificate prior to payment. (i) Authenticating Agent. The Registrar is hereby designated authenticating agent for the Certificates, within the meaning of Minnesota Statutes, Section 475.55, Subdivision I, as amended. 2.05. Execution. Authentication and Delivery. The Certificates shall be prepared under the direction of the Finance Director and shall be executed on behalf of the City by the signatures af the Mayor and the City Administrator, provided that the signatures may be printed, engraved or lithographed facsimiles of the originals. In case any officer whose signature or a facsimile of whose signature shall appear on the Certificates shall cease to be such officer before the delivery -3- of any Certificate, such signature or facsimile shall nevertheless be valid and sufficient for all purposes, the same as if he had remained in office until delivery. Notwithstanding such execution, no Certificate shall be valid or obligatory for any purpose or entitled to any security or benefit under this Resolution unless and until a certificate of authentication on the Certificate has been duly executed by the manual signature of the Registrar. The executed certificate of authentication on each Certificate shall be conclusive evidence that it has been authenticated and delivered under this Resolution. When the Certificates have been prepared, executed and authenticated, the Finance Director shall deliver them to the Purchaser upon payment of the purchase price in accordance with the contract of sale heretofore executed, and the Purchaser shall not be obligated to see to the application of the purchase price. 2.06. Form of Certificates. The Certificates shall be prepared in substantially the follawing form: [Face ofthe Certificates] UNITED STATES OF AMERICA STATE OF MINNESOTA COUNTY OF DAKOTA CITY OF FARMINGTON GENERAL OBLIGATION EQUIPMENT CERTIFICATE OF INDEBTEDNESS OF 2000 Interest Rate 5.50% Date of Original Issue December _, 2000 REGISTERED OWNER: MARQUETTE BANK N.A., LAKEVILLE PRINCIPAL AMOUNT: SEVEN HUNDRED TEN THOUSAND DOLLARS THE CITY OF FARMINGTON, DAKOTA COUNTY, MINNESOTA (the City), acknowledges itself to be indebted and hereby promises to pay to the registered owner named above, or registered assigns, the principal sum specified above with interest thereon from the date of original issue specified above or from the most recent interest payment date to which interest has been paid or provided for, at the annual rate specified above, without option of prior payment, to the person in whose name this Certificate is registered at the close of business on the fifteenth day (whether or not a business day) of the immediately preceding month. The principal hereof and interest hereon are payable together in installments of $ per month payable on the first day of each month, commencing 1, 2001 and continuing on the first day of each month to and including December 1,2005, on which date all remaining principal and accrued interest shall be due and payable. The principal hereof and interest hereon are payable in lawful money of the United States of America by check or draft by the Finance Director, City of Farmington, Minnesota, as bond registrar, transfer agent and paying agent (the Registrar), or its designated successor under the Resolution described herein. For the prompt and full payment -4- of such principal and interest as the same respectively become due, the full faith and credit and taxing powers of the City have been and are hereby irrevocably pledged. This Certificate is one of an issue in the aggregate principal amount of$710,000 issued pursuant to a resolution adopted by the City Council on December 4, 2000 (the Resolution), to finance the costs of acquisition of capital equipment, and is issued pursuant to and in full conformity with the Constitution and laws of the State of Minnesota thereunto enabling, including Minnesota Statutes, Section 412.301 and Chapter 475. The Certificates are issuable only in fully registered form. As provided in the Resolution and subject to certain limitations set forth therein, this Certificate is transferable upon the books of the City at the office of the Registrar, by the registered owner hereof in person or by the owner's attorney duly authorized in writing upon surrender hereof together with a written instrument of transfer satisfactory to the Registrar, duly executed by the registered owner or the owner's attorney; and may also be surrendered in exchange for Certificates of other authorized denominations. Upon such transfer or exchange the City will cause a new Certificate or Certificates to be issued in the name of the transferee or registered owner, of the same aggregate principal amount, bearing interest at the same rate and maturing on the same date, subject to reimbursement for any tax, fee or governmental charge required to be paid with respect to such transfer or exchange. The Certificates have been designated by the City as "qualified tax-exempt obligations" pursuant to Section 265(b)(3) of the Internal Revenue Code of 1986. The City and the Registrar may deem and treat the person in whose name this Certificate is registered as the absolute owner hereof, whether this Certificate is overdue or not, for the purpose of receiving payment and for all other purposes, and neither the City nor the Registrar shall be affected by any notice to the contrary. IT IS HEREBY CERTIFIED, RECITED, COVENANTED AND AGREED that all acts, conditions and things required by the Constitution and laws of the State of Minnesota to be done, to exist, to happen and to be performed preliminary to and in the issuance of this Certificate in order to make it a valid and binding general obligation of the City in accordance with its terms, have been done, do exist, have happened and have been performed as so required; that, prior to the issuance hereof, the City Council has levied ad valorem taxes on all taxable property in the City, which taxes will be collectible for the years and in amounts sufficient to produce sums not less than five percent in excess of the principal of and interest on the Certificates when due, and has appropriated such taxes to its General Obligation Equipment Certificates of Indebtedness of 2000 Bond Fund for the payment of such principal and interest; that if necessary for payment of such principal and interest, additional ad valorem taxes are required to be levied upon all taxable property in the City, without limitation as to rate or amount; and that the issuance of this Certificate, together with all other indebtedness of the City outstanding on the date hereof and on the date of its actual issuance and delivery, does not cause the indebtedness of the City to exceed any constitutional or statutory limitation of indebtedness. -5- This Certificate shall not be valid or become obligatory for any purpose or be entitled to any security or benefit under the Resolution until the Certificate of Authentication hereon shall have been executed by manual signature of the Registrar. IN WITNESS WHEREOF, The City of Farmington, Dakota County, Minnesota, by its City Council, has caused this Certificate to be executed on its behalf by the facsimile signatures of the Mayor and City Administrator. CITY OF FARMINGTON, MINNESOTA City Administrator Mayor CERTIFICATE OF AUTHENTICATION This is one of the Certificates delivered pursuant to the Resolution mentioned within. Date of Authentication: December _, 2000. FINANCE DIRECTOR, CITY OF FARMINGTON, MINNESOTA, as Registrar By The following abbreviations, when used in the inscription on the face of this Certificate, shall be construed as though they were written out in full according to the applicable laws or regulations: TEN ENT -- as tenants by the entireties UTMA ................... as Custodian for ................ (Cust) (Minor) under Uniform Transfers to Minors Act ...... (State) TEN COM -- as tenants in common JT TEN -- as joint tenants with right of survivorship and not as tenants in common Additional abbreviations may also be used. -6- City of Farmington 325 Oak Street, Farmington, MN 55024 (651) 463-7111 Fax (651) 463-2591 www.ci.farmington.mn.us /de, TO: Mayor and Council Members FROM: John F. Erar, City Administrator SUBJECT: Public Facilities - Site Planning and Project Budget Update DATE: December 4, 2000 INTRODUCTION The purpose of this communication is to provide Council with a project update on facility planning efforts and the status of project finances associated with the Central Maintenance and Police Department facilities. DISCUSSION I am pleased to report that site and facility planning efforts are moving forward and remain on schedule. In terms of actual building construction budgets, cost estimates remain on target and are in keeping with estimates presented in the Facility Task Force Final Report. Issues that have emerged and considered the most challenging are related to site development factors. In particular, site design, campus development costs and soil correction issues have resulted in the need to revise budgetary cost estimates. These factors have resulted in 1) the need to replace poor soils, 2) the need to design a site that is compatible with a unified government campus visian and 3) cost issues associated with a redesign of utility and road infrastructure to avoid impacting the natural gas utility easement that crosses the site. . Soil conditions represent the most significant factors affecting the project budget, as both the project architect and construction manager have indicated that existing soil conditions will not support the load bearing weight of the two facilities. This issue will necessitate the removal of poor soils and their replacement with more compatible fill materials. Consequently, this activity will generate greater project expenses than originally anticipated. Costs associated with this activity are estimated at approximately $593,811 and were not included in original project budget assumptions. . In terms of site design, a campus approach will require additional road infrastructure to interconnect the facilities and require the construction of an overall site drainage and ponding system plan. Along with the need to ensure architectural compatibility between the two facilities, this aspect of campus site planning is critical to ensure proper internal traffic flow, site aesthetics and future facility expansion capabilities. Costs associated with this activity are estimated at approximately $317,659 and were not included in original project budget Mayor and Council Public Facilities - Site Planning and Project Budget Update Page 2 of5 assumptions as they related to the overall design of the site which were unknown at the time the projects were approved. Typically, campus planning issues are identified once siting af existing and future facilities has been accomplished. In terms of financing the campus site improvements, it is proposed that these costs be financed separately from the main project budget as these elements support the entire site, and are not necessarily related to anyone specific facility. . Finally, site planning with regard to the natural gas easement has created additional cost considerations in designing and constructing a workable storm sewer drainage system, parking facilities and on-site road configurations that avoids impacting the easement. While these additional costs are an unfortunate development in the project, the project remains viable from a public financing perspective, and continues to meet or exceed original project financing assumptions contained in the original Performa produced during the Public Facilities Task Force phase. Consequently, original project development scenarios still hold true and provide the City with an exceptional municipal campus from a constructability, project affordability and public service delivery perspective. The questian yau may be asking is whether these site issues should or could have been anticipated earlier? Directly speaking, it would have been very difficult to anticipate these site issues without extensive soil testing and detailed architectural layouts of the two facilities, including roads and utilities. Site development issues of this nature typically emerge after extensive architectural and engineering work has been performed. In this case, private and public development has been occurring all around the site, with Charleswood and the CSAH 31 Alignment to the west, Rottlund and DR Horton to the east and south of the City site. Needless to say, these types of soils conditions were not anticipated by anyone given the City had not received any significant indications that soils were problematic in this area. BUDGET IMPACT PROJECTBUDGETSUM~RY In review of the overall project budget, which includes soils corrections costs, anticipated expenditures remain under budget by approximately $21,224, with fully committed project contingency funds of $547,540. At this stage in the project, cost estimates provided by both the architect and construction manager indicate the need for additional project contingencies in the amount of $230,510 to address potential unanticipated building and/or site construction costs. The additional requested contingency represents approximately 3.2% of the preliminary project budget estimates recommended by the Facility Task Force and approved by Council on May 1, 2000. PROJECT CONTINGENCY RESERVE While final project estimates generally suggest that most building costs have been identified, analyzed and budgeted, the need to. ensure an adequate contingency reserve to deal with unanticipated issues during construction is a key budgetary consideration. Mayor and Council Public Facilities - Site Planning and Project Budget Update Page 3 of5 In terms of specific cost increases associated with the project, attached please find project cost estimates supplied by the City's construction manager, E&V Construction Management Consultants. Based on estimates generated from architectural schematics and engineering assessments of site development issues, project costs associated with the Central Maintenance and Police facilities, including on-site development costs, are estimated at $7,148,266. Preliminary project cost estimates generated during the Facility Task Force stage of the process were estimated at $7,169,490 indicating that project estimates at this point remain $21,224 below original construction estimates. It is important to note that final construction estimates are not reflective of actual construction costs which can only be determined after project bids are received, analyzed and awarded. In order to deal with unanticipated construction issues during project construction, the need to maintain an adequate project contingency is necessary. As a result, it is requested that Council consider an additional appropriation of $230,510 to be designated as project contingency. By increasing this portion of the project budget, the City would have available additional funds to deal with necessary project change orders or in the absence of such change orders, these funds would be committed to debt service. CAMPUS SITE INFRASTRUCTURE In addition to the project costs cited above, site development costs that will support a unified campus infrastructure have now been identified. It is important to note that campus site development costs are separate from the original project budget assumptions given that road and utility infrastructure will support the entire site and its related facilities. These costs were not identified during the Facility Task Force process due to a number of unknown site variables, such as how existing and future facilities would be designed on the site. These costs have now been estimated at approximately $317,659 and will be separately underwritten by various City funding sources. The Water Board has already been approached regarding additional project cost allocations, and has indicated a favorable consensus to these identified campus site costs. It has been discussed that in exchange for Water Board sponsored site water services, the City would offer reciprocal utility services to future Water Board facilities in the form of storm sewer and sanitary sewer system access. In light of the fact that all these facilities are essentially related to local government services, this exchange of service value is an appropriate inter-fund consideration. Funding for campus site development needs to support interior street construction, storm sewer, water and sanitary sewer systems have been reviewed and analyzed, and are available for project funding through these separate financing sources. CAPITAL EQUIPMENT - SUPPLEMENTAL Similarly, additional capital equipment purchases for the Central Maintenance facility have been recommended to be installed concurrently with construction of the facility. This includes a heavier duty overhead crane system, a heavy duty vehicle lift, rough-ins for future vehicle lifts, an oil/lubrication system, wash bay equipment and a vacuum system. By installing this Mayor and Council Public Facilities - Site Planning and Project Budget Update Page 4 of5 equipment during facility construction, the City will experience significant cost-savings and enhanced operational efficiencies. Funding for these expenditures has been reviewed and may be appropriated through the Capital Acquisition fund. PERFORMA - LONG TERM FUNDING ANALYSIS In terms of financing the additional project contingency, the original funding scenario remains viable as the project Performa was built on very conservative public financing projections. Accordingly, the original funding scenario should still be on target as it relates to meeting long- term tax capacity rate projections. According to City financial consultants, Ehlers and Associates, changing market conditions will require the City to insure the lease revenue bonds to secure a lower market interest rate. This will necessitate increasing the size of the bond from a $7.6 million issue to an $8.54 million issue. Attached, please find a copy of an analysis comparing sample bond issues that are both insured and uninsured. The difference in the net levy is due to lower interest rates that are typically conferred on insured bond issues. Accordingly, while the amaunt of the bonds will increase to accommodate both a slight increase in project costs and the additional costs of insuring the bonds, the City's original debt service levy assumptions are actually higher than the newly revised debt service levy analysis. Consequently, newly revised financial projections remain consistent with original Performa assumptions relative to maintaining a stable local tax rate of just under 30 percent. A revised Performa is attached for Council review. ACTION REQUESTED Council consideration for the following actions: 1) Authorize additional project funding in the amount of $230,51 0 for contingency reserves that will increase the total public facilities project budget to $7,400,000. 2) Authorize increasing the amount of bond issuance from $7.6 million to $8.54 million to allow for bond insurance, a debt service reserve and an increased project budget. According to City fiscal consultant projections, debt service levies should actually be lower than originally assumed due to lower borrawing costs. 3) Authorize appropriate project funding sources to underwrite campus site infrastructure elements that will support the overall site in the form of an interior road and site utilities. Final amounts will be based on lowest, qualified bids. 4) Authorize appropriate project funding sources to underwrite additional capital equipment for the Central Maintenance Facility. Final amounts will be based on actual contract prices at the time of purchase. File Mayor and Council Public Facilities - Site Planning and Project Budget Update Page 5 of5 Attachments Cc: Public Facilities Task Force Water Board Ehlers and Associates Wold Architectural Group E & V Construction Management Consultants PUBLIC FACILITIES PROJECT ESTIMATE Construction Management Cost Estimates 12/04/2000 CMF: Estimate Budaet Variance Administration $58,000 $59,600 $1,600 Fees $346,323 $547,200 $200,877 Construction (building only) $3,156,570 $3,077,200 ($79,370) Furnishings $46,000 $46,000 $0 Technology $31,750 $31,750 $0 Sub-Total $3,638,643 $3,761,750 $123,107 Applied Contingency $0 $0 $0 TOTAL $3,638,643 $3,761,750 $123,107 POLICE: Estimate Budaet Variance Administration $57,800 $61,350 $3,550 Fees $210,703 $368,850 $158,147 Construction (building only) $2,001,989 1,740,000 ($261,989) Furnishings $112,500 $112,500 $0 Technology $112,500 $112,500 $0 Sub-Total $2,495,492 $2,395,200 ($100,292) Applied Contingency $0 $100,292 $100,292 TOTAL $2,495,492 $2,495,492 $0 SITE DEVELOPMENT Estimate Budaet Variance Facility Site Construction $ 420,320 $ 465,000 44,680.00 Soil Corrections $ 593,811 $ ($593,811 ) Sub-Total $1,014,131 $465,000 ($549,131 ) Applied Contingency $0 $549,131 $549,131 TOTAL $1,014,131 $1,014,131 $0 PROJECT SUMMARY CMF $3,638,643 $3,761,750 $123,107 Police Facility $2,495,492 $2,395,200 ($100,292) Site Development $1,014,131 $465,000 ($549,131 ) Budgeted Contingency $0 $547,540 $547,540 TOTAL $7,148,266 $7,169,490 $21,224 Recommended Budaet Adiustments Additional Contingency $ 250,000 $230,510 I Revised Project Expenditures $7,398,266 $7,400,000 I 11/29/2000 PUBLIC FACILITIES PROJECT CAMPUS SITE INFRASTRUCTURE & EQUIPMENT Buildings CMF Equipment Total Buildings Expense Funding Source $ 101,700 Capital Acquisition Fund $ 101,700 Site Infrastructure - Campus Storm Sewer $ 73,744 Storm Sewer Sanitary Sewer $ 12,130 Sanitary Sewer Water Service $ 55,880 *Water Board "S" Road (@ 54%) $ 94,989 Road & Bridge "S" Road (@ 33%) $ 58,049 *Water Board "S" Road (@ 13%) $ 22,868 Solid Waste Total Campus Facilities $ 317,659 *Proposed Funding Sources; Road Funding allocation based on percentage of site utilization. Campus utility infrastructure allocated according to category of infrastructure. Total Requested Water Board contribution = $113,929. NOV. 28. 2000 10: 09AM EHLERS & ASSOCIATES PRELIMINARY - For Discussion Only ~ Uninsured 1 Uninsured 2 Project Costs 7,400,000 7,400,000 7,400,000 Investment Income (100,000) (100,000) (100,000) Costs of Issuance 91,540 41,730 44,200 Discount 111,000 136,900 137,550 Capitalized Interest 341,560 346,370 378,250 ReseNe 695,900 0 0 Total Issue 8,540,000 7,825,000 7,860,000 Average Annual 692,649 680,144 718,013 Less: Investment of Reserve 38,835 0 0 Less: Utility Revenue 277,060 272,057 287,205 Net for Levy 376,755 408,086 430,808 Reserve Yes No No Insurance Premium $50,000 $0 $0 Scale Nobles County Nobles County Nobles County sale of 11/16/00 scale plus scale adjusted 0.50% per Dain estimates Ehlers & Associates, Inc. NO. 5768 P. 3 en Z zQ oli: I-:i:..... 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