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HomeMy WebLinkAbout1994-04-26 CC Packet Special Meeting e e q4.-J (p r illwater ~ ~-~ -- -~ THE BIRTHPLACE OF MINNESOTA J April 21, 1994 MEMORANDUM TO: MAYOR AND COUNCIL FROM: MORLI WELDON, CITY CLERK RE: SPECIAL COUNCIL MEETING Tuesday, April 26, 1994 4:30 p.m. This memo is a reminder to Council that a Special Meeting has been scheduled for Tuesday, April 26, 1994, at 4:30 p.m., in the Stillwater City Hall Council Chambers, 216 North Fourth Street, Stillwater, MN, to discuss the following: 1. Continuation of discussion on downtown hotel development. 2. Any other business Council may wish to discuss. 3. Possible adjournment to Executive Session to discuss Labor Relations. CITY HAll: 216 NORTH FOURTH STillWATER, MINNESOTA 55082 PHONE: 612-439-6121 MEMORANDUM - TO: Mayor and City Council FR: Steve Russell, Community Development Director ~ DA: April 22, 1994 RE: REQUEST FOR PROPOSAL FOR OUTLINE OF DOWNTOWN STILLWATER HOTEL PROJECT The attached outline describes the general subject areas of a hotel request for proposals. The information describes the site available for development and city regulations and requirements for development of the site. The RFP requires the developer to identify his development team) method of financing and source of funds.. A project description is then requested detailing the number of guest rooms, meeting facilities, restaurants and parking. e The expected schedule for project review and construction in terms provided. Information on the terms of the site purchase and date of closing is then requested. City of Stillwater conditions of sale and the city proposal review process is then described. It is estimated that the RFP process will take 4-6 weeks to complete. The city council would review the requests and have an opportunity to discuss and review the proposal with the developers. Based on the interest shown at the April 19th council meeting, if the council decides on the RFP process there will be several proposals to review and select from. The Hubbs offer provides some of the information that would be required through the RFP process but would need to be augmented with more information regarding financing and sources of funds, scheduling and project description for meeting facilities and restaurant. Recommendations: If the city council feels the RFP process is appropriate, direct staff to prepare a RFP and advertise for bid. (It is anticipated that the bid period would end May 31, 1994, with project selection by e the second regular council meeting in June. e e !e REQUEST FOR PROPOSALS FOR DOWNTOWN STILLWATER HOTEL PROJECT 1. Description of Available Property, Land and Buildings (map). 2. City Regulations, Development Requirements and Review Schedules. 3. Identification, Qualifications and Experience of Development Team. a. Developer b. Architect c. Operator d. Financing e. Management Agency 4. Method of Financing and Source of Funds. a. Financing plan b. Developer participation ownership (equity) c. Other known or anticipated sources, institutional, partnerships, etc. d. Anticipated city assistance. 5. Project Description. a. Preliminary design concept. b. Rooms, number, size, type, projected average daily rate and average occupancy. c. Meeting facilities, maximum capacity, number of break out and large group rooms. d. Eating facilities, size (square feet), seating (number), liquor license required. e. Parking facilities, number of spaces, proposed area and location. f. Marketing plan. 6. Construction Schedule. a. Plan development and review. b. Final financing arrangements. c. Construction Budget d. Construction permit submittal. e. Begin construction. f. Estimated completion and occupancy. 7. Property Purchase. a. Purchase price and method of purchase. b. Estimated closing date. 8. Conditions of Sale. a. Hotel project. b. Preservation of Lumberman's Exchange Building. c. Minimum improvement value. 9. Proposal Review Process. e e e MEMORANDUM TO: Mayor and City Council FROM: City Coordinator RE: Agreements Related to Settlement with CUB on Lumberman's Exchange / Hooley Property DATE: April 25, 1994 Accompanying this memo are: 1) Agreement between the City of Stillwater and Supervalu, Inc. for the purchase of the Lumberman's Exchange/Hooley buildings lease from Supervalu if the City elects to purchase the lease; and 2) Agreement between the City of Stillwater and St. Croix Preservation Company (HUB'B5Group) for the sale of the aforementioned site if the City elects to sell the site directly to St. Croix Preservation Company without seeking RFP's. In regards to the purchase agreement to obtain the buildings, City staff has written into the agreements certain conditions that would satisfy Supervalu (i. e. , 3.1C, 3.2, and 3.4) as well as the conditions/requirements favorable to the City. The agreement would require the City to: 1) Use "pay as you" TIF assistance not to exceed $108,000 to reimburse Supervalu, Inc., for eligible expenses on the CUB Corporate headquarters development (Third and Pine Streets); 2) Pay a "rent credit" of $112,500; and 3) Pay $100,000 to obtain all rights to the property. 4) City would also assume all assessments apportioned to the site (this amounts to approximately $87,0(0) but requires Supervalu to pay all general real estate taxes that were due and payable in 1991, 1992, 1993, and through May 1, 1994. In regards to the agreement between the City of Stillwater and St. Croix Preservation Company, the agreement is the same as proposed by St. Croix Preservation Company, except for some minor modifications and except that the agreement has also been revised by adding some of the same conditions or requirements that Steve Russell suggested using if RFP's were sought. Staff can discuss the agreements with you further at the Tuesday afternoon meeting. ~~ ( AGREEMENT e This Agreement, dated _____ April, stillwater, Washington County, Minnesota, Delaware corporation, ("SUPERVALU"). 1994, is by and among the City of (the "City"), and SUPERVALU, INC., a WITNESSETH, in consideration of the mutual promises set forth in this document, the parties recite and agree as follows: ARTICLE I section 1. Backqround; Findinqs; Definition 1.01 The City and SUPERVALU have been bound as landlord and tenant since June 27, 1991, when the City, in furtherance of a Redevelopment Plan, purchased the landlord's interest in a lease agreement dated September I, 1973, Number 211,866, between the City's successor in interest and SUPERVALU as tenant (the "Lease"), a property SUPERVALU has used for, among other things, a corporate headquarters for Cub Foods, Inc., a wholly owned subsidiary of SUPERVALU ("Cub Foods"). ~ 1.02 The City and SUPERVALU have also been bound as City and Redeveloper since June 30, 1993, when the City and SUPERVALU signed a contract for private redevelopment, ("Development Agreement"), providing for tax increment aid and other public assistance needed by SUPERVALU to make feasible the substantial renovation of a vacant school building into a new, modern corporate headquarters for Cub Foods. 1.03 The renovation and reconstruction of the new Cub Food Headquarters is now complete and is fully occupied, however, the buildings subject to the Lease are now vacant and are likely to remain vacant, to the detriment of the City and SUPERVALU, unless the public assistance described in this Agreement is provided. 1.04 A controversy has arisen between the City and SUPERVALU over rights of each party in the Lease and the parties are desirous of settling the controversy completely and in all respects. 1.05 Definitions. The terms defined in this section have the meanings e given them. 1 1.06 Exhibits a) Exhibit A: b) Exhibit B: c) Exhibit C: the Lease the Development Agreement Limited Warranty Deed ARTICLE II REPRESENTATIONS AND UNDERTAKINGS 2.1 By the city a) The City is authorized by law and its Charter to enter into this Agreement and to carry out its obligations herein. b) The activities of the City contemplated by this Agreement are undertaken for the purpose of stimulating economic development and employment opportunities in the city. 2.3 Bv SUPERVALU. SUPERVALU makes the following representations as a basis for its undertakings under this Agreement. a) SUPERVALU has the legal authority and has been authorized by appropriate action of its Board of Directors to enter into this Agreement and to carry out its obligations herein. b) Neither the execution and delivery of this Agreement, the consummation of the transactions contemplated hereby, nor the fulfillment of or compliance with the terms and conditions of this Agreement is prevented, limited by or conflicts with or results in a breach of, the terms, conditions or provisions of any corporate restriction or any evidences of indebtedness, agreement or instrument of whatever nature to which SUPERVALU is now a party or by the SUPERVALU is bound. ARTICLE III THE SETTLEMENT 3.1 Return of Excess Rent a) Beginning on July 1, 1991, SUPERVALU has paid rent in addition to its other obligations as tenant under the Lease, at the rate of $70,000.00 per year, even though the actual rent stated in the Lease, including percentage rent is $25,000.00 per year, based upon the expectation that SUPERVALU could negotiate 2 " e e e a long term lease with the City that would allow SUPERVALU to amortize over the 4It life of a new long term lease, the value of improvements actually constructed on the site by SUPERVALU, or its predecessor, and having a useful life beyond the Lease expiration date of August 1, 1998. This additional rent has been paid through December 31, 1993. b) The City now desires to cancel the existing Lease and to sell the property described in the lease to a developer other than SUPERVALU, with the expectation by the City that the improvements constructed on the leased premises by SUPERVALU must be demolished at least in part, in order that a hotel be constructed on the site. c) The difference between the excess rent, $70,000.00, and actual rent of $25,000.00 is $112,500.00 and will be repaid to SUPERVALU by the City. d) The payment shall be due upon the sale of the leased premises to a third party. 3.2 Tax Increment Assistance. The parties agree to amend the Development Agreement by adding the following amendment: e "4.5 Tax Increment Payments - The City agrees to pay to Redeveloper over the remaining life of Tax Increment Financing District No. 6 a sum not to exceed $108,000.00, payable solely and to the extent the City shall have received available Tax Increment, as reimbursement for eligible expenses incurred by the Redeveloper during the construction of the Minimum Improvements. and 1.1.37 "Available Tax Increment" means that part any Tax Increment received by the City in any year that exceeds 105% of the amount needed to make any yearly scheduled payments on the bonds. and 1.1.38 "Eliaible Expenses" means costs incurred by the Redeveloper that are legally permissible and qualifying costs that are eligible for reimbursement by the City pursuant to the Minnesota Tax Increment Act." 3.3 The parties agree to execute and deliver such certificates and instruments as are necessary to modify the Development Agreement and to properly record the amendments. 3.4 Purchase of Buildinas. The City agrees to pay to SUPERVALU the sum I. of $100,000.00 as full and complete satisfaction of the obligation of the City 3 contained in the Lease to pay to the tenant, if the premises is required by the landlord prior to the expiration of the Lease, a sum equal to the fair market - value of the buildings owned by the tenant that cannot be removed from the site without damage. 3.4.1 Conveyance by SUPERVALU. Upon payment of the purchase price set forth in S3.4, SUPERVALU agrees to convey to the City by limited warranty deed in the form attached as Exhibit "C", containing the legal description of the leased property. 3.4.2 Time of Conveyance. Conveyance of the property, (the "Closing") shall occur on the earlier of: (i) The sale of the leased premises to a third party; (ii) Upon the determination by the City that that payment is an allowable expenditure under the Minnesota Tax Increment Act, is authorized by the Development Program for Development District No. 1 and the Plan for Tax Increment Financing District No.1; (iii) On such other date as the City and SUPERVALU agree in writing. 3.4.3 Deductions from Purchase Price. The parties agree that the stated purchase price shall be reduced by any General Real Estate Taxes plus penalty and - interest remaining unpaid that are due and payable in 1991, 1992, 1993 and through May 1, 1994. No installments of special assessments payable with the General Taxes in any of these years and remaining unpaid shall be deducted nor shall any remaining unpaid special Assessments due during the remainder of 1994 and future years, which assessments shall remain the obligation of the City. 3.4.4 Assurance by SUPERVALU. It shall be the obligation of SUPERVALU to pay, except for rent, all other obligations, including operating expenses, utilities and other charges due as tenant's lease obligations through May 1, 1994, and to satisfy, prior to the closing date, any other obligation, claim, lien, encumbrance or security interest that have attached to the leased premises during their tenancy. 3.4.5 Indemnity. SUPERVALU agrees to hold the City harmless from any and all claims and actions incurred after the Closing Date (and to pay the reasonable costs related and due) related to onsite investigation and or cleanup of hazardous wastes regulated under Environmental Law that are present at the lease e 4 property not otherwise due to the acts or omissions of the City; provided, e however, this indemnity does not cover any toxic tort claims or other third party claims related to the presence of hazardous wastes at leased property or alleged migration of wastes or emissions offsite (other than governmental claims for onsite investigation and or cleanup as provided above) arising out of acts or omissions occurring prior to the Closing Date. Further, this indemnity does not cover claims related to treatment or disposal of wastes at off site locations arising out of pre-closing acts or omissions. ARTICLE IV Miscellaneous 4.1 Conflict of Interests; Representatives Not Individuallv Liable. A city officer who is authorized to take part in any manner in making this Agreement in his or her official capacity may not voluntarily have a personal financial interest in this Agreement or benefit financially therefrom. A member, official, or employee of the City will not be personally liable to SUPERVALU, or any successor in interest, in the event of "any default or breach by the City or e for any amount which may become due to SUPERVALU or on any obligations under the terms of this Agreement. 4.2 Non-Discrimination. The provisions of Minnesota Statutes, section 181.59, which relate to civil rights and non-discrimination, and any affirmative action program of the City are a part of this Agreement and binding on SUPERVALU as though fully set forth herein. 4.3 Amendment. This Agreement may be amended by the parties only by written instrument executed in accordance with the same procedures and formality followed for the execution of this Agreement. 4.4 Counterparts. This Agreement may be executed in any number of counterparts, each of which constitute one and the same instrument. 4.5 Governinq Law. This Agreement is governed by the Laws of the State of Minnesota. 4.6 Notices and Demands. Except as otherwise expressly provided in this Agreement, a notice, demand or other communication under this Agreement by any e 5 party to any other party will be sufficiently given or delivered if it is sent by certified or registered mail, postage prepaid, return receipt requested or e delivered personally or sent by telecopier or telex: a} As to the City: Nile Kriesel City Coordinator City of stillwater 216 N. 4th street Stillwater, MN 55082 b} As to SUPERVALU SUPERVALU, INC. P.O. Box 990 Minneapolis, MN 55440 IN WITNESS WHEREOF, the city has caused this Agreement to be duly executed in their names and behalfs and the seals to be hereunto duly affixed, and SUPERVALU has caused this Agreement to be duly executed as of this _____ day of April, 1994. THE CITY OF STILLWATER, MINNESOTA By Its Mayor By e Its city Clerk SUPERVALU, INC., A Delaware Corporation By STATE OF MINNESOTA } ) ss. COUNTY OF WASHINGTON} The foregoing instrument was acknowledged before me this _____ day of April, 1994, by and , the Mayor and City Clerk of the City of stillwater, Minnesota, a Minnesota Municipal Corporation. Notary Public e 6 e e ,e J STATE OF MINNESOTA ) ) ss. COUNTY OF WASHINGTON) The foregoing instrument was acknowledged before me this day of April, 1994, by , the of SUPERVALU, INC., a Delaware Corporation, on behalf of the Corporation. Notary Public This instrument was drafted by: David T. Magnuson Magnuson Law Firm 324 South Main Street, #260 P.O. Box 438 stillwater, MN 55082 7 e e Ie I , ~ SALE AND PURCHASE OF PROPERTY THIS AGREEMENT, made and entered into this day of March, 1994, by and between the CITY OF STILLWATER with an addressor 216 North Fourth Street, stillwater, Minnesota 55082 (hereinafter referred to as "Seller"), and ST. CROIX PRESERVATION COMPANY, a Minnesota general partnership consisting of Charles R. Dougherty, John F. Berglund, and Duane Hubbs, with an address of 306 West Olive Street, stillwater, Minnesota 55082 (hereinafter referred to as "Buyer"). R E C I TAL S WHEREAS, Buyer desires to purchase and accept from Seller, and Seller desires to sell and convey to Buyer, certain real property, together with all improvements located thereon which are owned by Seller, situated in the City of stillwater, county of Washington, State of Minnesota, all on the terms and conditions set forth herein; NOW, THEREFORE, in consideration of the terms, covenants, warranties, and conditions hereinafter set forth, the parties hereto, intending to be legally bound hereby, mutually agree as follows: 1. Sale and Purchase of Property. Subject to the terms and conditions of this Agreement, Seller shall sell, transfer and assign and deliver to Buyer on the Closing Date, as such date is hereinafter defined, and Buyer agrees to purchase and accept from Seller on the Closing Date, certain real property commonly known as 405 East Myrtle Street and 127 South Water Street, stillwater, Minnesota, and all improvements, rights, interests, and appurtenance therein or thereto pertaining, legally described as set forth on Exhibit "A" attached hereto (hereinafter referred to as the "Real Prop~rty"). 2. Personal Property and Fixtures Included in the Sale. personal property or fixtures are included in this sale. No items of 3. Price and Terms. In consideration of the Seller's agreement to sell the Real property, Buyer agrees to pay to Seller as the full purchase price (the "Purchase Price") for the Real Property and Personal Property the sum of Six Hundred Thirty-Five Thousand and 00/100 Dollars ($635,000.00) payable as follows: A. Earnest money of Three Hundred and 00/100 Dollars ($3,000.00) by check, receipt of which is hereby acknowledged. B. Six Hundred Thirty-Two Thousand and 00/100 Dollars ($632,000.00) cash or collected funds on the Closing Date. 4. Possession. Buyer shall take possession of the Real Property on the Closing Date. 5. Closinq. The closing for the transaction (the "Closing Date") contemplated by this Agreement shall be held not later than one hundred twenty (120) days after execution of this agreement and satisfaction of all contingencies of both Buyer and Seller as set forth in paragraphs 9 and 10 of this Agreement by in no event any later than october 1, 1994, unless extended by written agreement of the parties. The closing shall take place at the offices of the City. 6. Marketable Title. Seller will have as of the closing Date good and marketable title to the Real Property, free and clear of all defects, liens, and encumbrances. Not later than forty-five (45) days prior to the closing Date, Seller shall deliver to Buyer and Abstract of Title or Registered Property Abstract to the 1 Real Property (the "Abstract"), which Abstract shall be properly certified to date, including proper searches covering bankruptcies, state and federal tax liens, unpaid taxes, assessments, and pending assessments. Seller shall pay the cost of obtaining said Abstract. Buyer shall be allowed twenty (20) days after the receipt of such Abstract to cause to have issued a commitment for an owner's policy of title insurance, issued by a title insurance company duly qualified to transact bus iness in the state of Minnesota and acceptable to the Buyer's lender, if any, indicating the Seller's ownership of the Real Property, subject to the exceptions of a standard ATLA form owner's policy, but without further exceptions materially adversely affecting the marketability of title. If the commitment contains any exceptions which materially and adversely affect the marketability of Seller's title, Buyer shall make written objections to said exceptions to Seller, such objections to be made within ten (10) days of delivery of the commitment or the same shall be deemed to have been waived. Seller shall be allowed sixty (60) days thereafter to make such title marketable. Seller shall use its best efforts to make the title marketable as expeditiously as possible. If such defects are cured within said sixty (60) day period, Buyer shall be notified in writing of the curing of such defects, in which case each party shall proceed to perform in accordance with the terms of this Agreement. If such title is not marketable and is not made so within the sixty (60) day period and Buyer does not waive the curing of such defects, Buyer, upon written notice to Seller, may, but is not obligated to, undertake to cure and remove all defects and encumbrances in the title to the Real Property; and Seller agrees to reimburse Buyer, upon demand, for all of its costs, expenses and attorney's fees incurred in connection with the curing of such objection. If such title is not marketable and cannot be made marketable within such time periods, this Agreement shall be voidable at Buyer's option, and all money paid by Buyer shall be refunded forthwith to Buyer, but such refund shall not waive, release or alter any other claims or rights of Buyer against Seller. Seller shall deliver all public documentation on the Real Property within thirty (30) days after acceptance and execution of this Purchase Agreement. On the Closing Date, Seller shall execute and, where appropriate, acknowledge and/or deliver the following: A. A Quit Claim Deed for the Real property in recordable form, subject to the standard ATLA exceptions; B. A Well certificate; C. An Affidavit of Seller. 7. Real Estate Taxes and Special Assessments. A. Real estate taxes due and payable in and for the year of closing shall be prorated between Seller and Buyer on a calendar year basis to the actual Closing Date with the Seller to be responsible for the Closing Date. B. Seller shall payor release on the Closing Date the installments of special assessments certified for payment with the real estate taxes due and payable in the year of closing and prior years. C. Seller shall payor release on the Closing Date all other special assessments payable with the real estate taxes in future years. D. Seller shall pay on the Closing Date any deferred real estate taxes, payment of which is required as a result of the closing of this sale. 2 I' ) e e e '\ E. e Buyer shall pay real estate taxes due and payable in the year following the Closing Date and thereafter and any unpaid special assessments payable therewith and thereafter, the payment of which is not otherwise provided for in this agreement. F. Seller warrants that the real estate taxes due and payable in the year 1994 will be non-homestead classification. 8. Representation and Warranties of Seller. Seller hereby represents and warrants as follows to Buyer, such representations and warranties to be true and correct on the date thereof, and on the closing Date, that: A. The Real Property is connected to city sewer and city water. B. There are no service contracts, management contracts, or employment contracts pertaining to the Real Property and the improvements located thereon. C. To the best of Seller's knowledge, no order or requirement for repair, replacement, or alteration to any improvement, system, or component of the Real Property issued by any governmental authority has been received by Seller. D. To the best of Seller's knowledge, there has been no change in any federal, state, or municipal law or ordinance which would make any current use of the Real Property unlawful. E. F. e G. H. 1. Seller has paid for all work, supplies, and materials performed upon and supplied to the Real Property through the date of closing. To the best of Seller's knowledge, there exists no litigation affecting the Real Property. To the best of Seller's knowledge, there is no condemnation proceedings pending with respect to any part of the Real Property. No party has an option to purchase all or any part of the Real Property. To the best of Seller's knowledge, no action or proceeding instituted against Seller by any tenant of the Real Property is presently pending in any court. J. All information and documents made available and to be made available to Buyer by Seller or its agents to the best of Seller's knowledge are and shall be true, accurate, and complete as of the date given. K. Seller certifies that the Real Property is zoned appropriately for a lodging/convention facility, including a restaurant and bar. 9. Buver's continaencies. The obligations of Buyer to consummate the transaction contemplated by this Agreement are subject to the fulfillment not later than thirty (30) days prior to Closing Date as determined in Paragraph 5, of all of the following conditions, which conditions may only be waived by Buyer in writing: Ie A. The title contingencies set forth in Paragraph 6 above, or disclosed in the surveyor environmental report. B. Buyer's review and approval of the environmental report to be furnished by Seller. 3 , C. Buyers obtaining, at its sole expense, an engineering report and Buyer's review and approval, in its sole discretion, of such report indicating that the Real Property is appropriate and adequate to construct a lodging facility to Buyer's satisfaction without extraordinary engineering or construction measures. e D. Assurances that an intoxicating, on-sale liquor license will be available for the hotel when constructed. E. Satisfactory evidence that no leasehold interests are an encumbrance on the Real Property. 10. Seller's continoencies. The obligations of Seller to consummate the transaction contemplated by this Agreement are subject to fulfillment not later than thirty (30) days prior to the closing Date as determined in paragraph 5 of all of the following conditions, which conditions may only be waived by Seller in writing: A. Approval by the City of a Design Review Permit and conditional Use Permit for the construction and operation of a hotel for the Real property. B. The Buyer has provided to the city evidence that it has obtained sufficient financing for construction and operation of the hotel on the Real property, and approval of the Buyer's financing plan revealing the method of financing and sources of funds. C. The Seller and the Buyer have negotiated and executed a binding contract for redevelopment, and an assessment agreement for the construction by the Buyer of a: hotel on the Real property. D. Buyer agrees to the specific language of a restrictive covenant that will run with and bind the land that will require the Real Property to be used for hotel, restaurant and meeting room purposes in perpetuity. e E. Buyer agrees to the specific language of a restrictive covenant that will allow the city the right to repurchase the Real property in the event the Buyers have not begun construction of the project contemplated in this Agreement within two (2) years from the date of this Agreement. F. Approval of the Buyer's construction schedule including: a. plan development and review. b. Final financing arrangements. c. construction Budget. d. construction permit submittal. e. Begin construction. f. Estimated completion and occupancy. 11. Rioht of Entry. Buyer and its duly authorized agents shall have the right during the period from the date of this Agreement through the Closing Date and thereafter to enter in and upon said Real Property in order to mak~ such surveys, measurements, soil tests, and other tests thereof and thereon as Buyer shall deem necessary, but all without expense to Seller. 12. Risk of Loss. If the Real Property and improvements located thereon is damaged or destroyed by fire, windstorm, flood or any other casualty or cause in the amount in excess of $ 5,000.00 at anytime between the date of this Agreement and the Closing Date, Buyer shall have the right, at its option, upon .1 4 e e e .. notice to Seller within ten (10) days after notice by Seller to Buyer of such fire or other cause, to terminate this Agreement. 13. Maintenance and Operation Prior to Closinq. Pending the closing, the operation and management of the Real Property will be conducted in the ordinary course and will be maintained in its present condition, save for normal wear and tear, and will not be encumbered. Further, the Lumberman's Exchange Building is a central factor in the downtown historic district, Seller will not issue a permit to alter, demolish, or remove the Lumberman's Exchange Building without the express written consent of Buyer and review and approval by the Minnesota State Historic Society. 14. Remedies. If Buyer or Seller cancels this Agreement due to the fact that conditions precedent to closing or any of them have not been satisfied, all payments made by Buyer to Seller, including any accrued interest, shall be refunded forthwith to Buyer and neither Seller nor Buyer shall be liable for any damages hereunder to the other. 15. Disclosure. No representative or warranty by Seller in this Agreement, nor any statement or document furnished by Seller pursuant hereto, or in connection with the transactions contemplated hereby, contains or will contain any untrue information, or omits or will omit to state information necessary to make the information contained therein not misleading. 16. Broker.' Seller and Buyer each represent and warrant to the other that there is no obligation to pay any commission, finders fee or similar charging in connection with the transaction provided for herein. 17. Survival of all Terms. All representations, warranties, and agreements contained in this Agreement shall survive the Closing Date and shall remain independently enforceable and shall not be merged into any instruments of conveyance delivered on the Closing Date, and the parties hereto shall be bound accordingly. 18. Utilities and Rents. All utilities, including but not limited to, telephone, city sewer, city water, electricity, gas and all other charges, together with rents from tenants and lessees, shall be prorated between the Seller and Buyer as of the Closing Date. 19. Assiqnment of Interest. Buyer reserves the right to assign its interest in this purchase agreement, prior to closing, to another entity representing these same principals. 20. Notices. Notices required herein shall be in writing and delivered personally or mailed certified mail, return receipt requested, postage prepaid to the address as shown in the heading of this Agreement, and if mailed, are effective as of the date of mailing. 21. Governino Law. This Agreement shall be governed by the laws of the State of Minnesota. SELLER: APPROVED AS TO FORM AND CONTENT: CITY OF STILLWATER By David T. Magnuson, City Attorney Jay Kimble, Acting Mayor By Nile Kriesel, City Coordinator 5 BUYER: ST. CROIX PRESERVATION COMPANY By General Partner This instrument was drafted by: David T. Magnuson Magnuson Law Firm 324 South Main street, #260 P.O. Box 438 stillwater, MN 55082 6 , e e e e .e e . EXHIBIT "A" REAL PROPERTY HOTEL PARCEL Those portions of Block 27, Original Town of Stillwater, Minnesota, and that portion of the South half of the Easterly extension of E. Myrtle Street, according to the recorded plat thereof, lying Easterly of the Easterly line of N. Water Street, according to the recorded plat thereof, and lying westerly of a line drawn parallel with and distant 8.5 feet Westerly of, as measured at right angles to, Burlington Northern Railroad Company's (formerly Northern Pacific Railway Company's) Original Main Track centerline, as originally located and constructed upon, over and across Block 27. PARKING PARCEL All surface rights on that portion of Block 18, Original Town of Stillwater, Minnesota, according to the recorded plat thereof, lying Easterly of the Easterly line of N. Water Street, according to the recorded plat thereof, and lying Westerly of a line drawn parallel with and distant 8.5 feet Westerly of, as measured at right angles to, Burlington Northern Railroad Company's (formerly Northern Pacific Railway Company's) New Main Track centerline, as now located and constructed, and between the Easterly extensions of East Myrtle Street and the Easterly extension of Commercial street, according to the recorded plat thereof, retaining in the Grantor all air rights above the surface of the parking parcel. 7 e e MEMORANDUM TO: Mayor and City Council FROM: City Coordinator RE: 1994-95 Labor Relations Negotiations DATE: April 22, 1994 I would like to request a brief (15 - 30 minutes) meeting in executive session to discuss the latest developments in the City's negotiations with the various labor units. Hopefully, we will be able to finalize negotiations with the units. .. ~vCc ~ e e Memornndum To: Mayor and Council From: Morli Weldon, City Clerk Date: April 29, 1993 Re: Filling Vacancies Attached for your information is a copy of Article III of the Charter of the City of Stillwater, relating to the filling of Council vacancies. As stated in these sections: 3.01a All vacancies, however created, shall be filled by a person who resides in the ward to which they are appointed. 3.03 Filling Vacancies. When a vacancy occurs, the council shall elect another person to fill the vacancy for the unexpired term of the vacant office, and until the successor thereto is elected and qualifies. e ARTICLE III ELECTIVE OFFICERS df 3.01 Council Composition and Election. Thc .Council sh~ll be composed of a Mayor. who shall be elccted at largc, and lour Councllmembers, who shall be clectcd by wards. Each Councilmember shall be a resident of the ward from which he is elected and shall serve for a tcrm of four years and until his succcssor is clcctcd and qualifies. The Mayor shall serve for a term of four ycars and until his succcssor is elected and qualifies. Elcctivc officcrs whosc terms havc not expired at the time of the lirst election following thc adoption of this Charter provision shall continue to hold office until the expiration of the term for which originally elected. a. General Requirements. The Charter Commission, by resolution adopted not later than May 10, 1992. or within forty-five (45) days after the Legislature has next redistricted, whichever is first, shall divide the City into wards. Wards shalI be as equal in population as practicable and each ward shalI be composed of compact, contiguous territory. The City Council shalI assign one encumbent Councilmember to each of the newly created wards. If the City Council shalI fail to assign a Councilmember within forty-five (45) days after a ward is created, the Charter Commission shall make the assignment. This assignment shall not disqualifY an incumbent Councilmember who does not reside within the ward to which they are assigned from completing the term for which they are elected, and for one additional term beyond the term of initial assignment. Thereafter, each Councilmember shalI be a resident of the ward from which they are elected, except that a change in ward boundaries shalI not disqualify a Council member from serving out the remainder of their term. AlI vacancies on the Council, however created, shalI be filIed' by a person who resides in the ward to which they are appointed. b. Redefining Ward Boundaries. The Charter Commission, by resolution, may redefine ward boundaries subject to the limitations and restrictions of State Statute. Within forty-five (45) days after --L. 2 ,*~c..1l 11/6/QO . 'Ik~~ ---..----- -. -- ---- . . . . . . e .. the official certification of each federal decennial or special census, the Charter Commission shall either confirm the existing ward boundaries as conforming to the standards of Subd. 3.01 a. or redefine ward boundaries to conform to those standards. Any action establishing new ward boundaries shall apply to the first election held at least six months after establishment of the new boundaries. No established division or redivision of the City into wards shalI be made until the Charter Commission has held a public hearing after two week's published notice. 3.02 Failing to qualify and vacancies. If any person elected as Mayor or Councilmember shalI resign the office, fail to qualify as required after the election, or shalI neglect to perform the duties of the office, or be absent from the City without consent of the Council for a period of thirty (30) days, or . shall be unable by reason of sickness or other cause to discharge the duties of office, the Council may declare the office vacant. 3.03 Filling Vacancies. When a vacancy occurs, the Council shalI elect another person to filI the vacancy for the unexpired term of the vacant office, and until the successor thereto is elected and qualifies. 3.04 Salaries. The Mayor and Council members shalI receive such lawful compensation as is fixed by the Council by ordinance. City officers and all employees of the City shalI receive compensation, salaries or wages as fixed by the Council. ARTICLE IV ELECTIONS 4.01 Regular. A regular municipal election shall be held on the first Tuesday after the first Monday in November of each even numbered year commencing in 1986. The City Clerk shalI give at least two weeks published notice of the time and place of holding the election and of the officers to be elected, but failure to give such notice shalI not invalidate the election. 4.02 Special elections. The Council may order a special election and provide all means for holding it. The City Clerk shalI give at least two weeks published notice of a special election. The procedure at the election shalI conform as nearly as possible to that prescribed for other City elections. 4.03 Filing for office. Any voters of the City qualified under the state constitution for elective office may, by IiI ing an affidavit and paying a filing 3 1. 2. 3. 4. 5. 9:00 9:00 9:10 6. 7. 9:30 8.. 9:35 TO 10:35 9. 10:45 TO 11:45 WASHINGTON COUNTY Denm. c. Hegberg Di8trict 1 MeryH_er Di8t~ct 2/Chllir Wally Abrehenwon Di8trict 3 Myra Pet....on Di8trict 4 Dave Engstrom Di8trict 5 COUNTY BOARD AGENDA APRIL 26, 1994, 9:00 A.M. ROLL CALL CONSENT CALENDAR GENERAL ADMINISTRATION - J. SCHUG, COUNTY ADMINISTRATOR DISCUSSION FROM THE AUDIENCE VISrTORS MAY SHARE THEIR CONCERNS WTnl THE COUNTY BOAllD OF COMMlSSlONf11S ON ANY lIEM NOT ON THE AGENDA. THE CHAlR W11L DIRECT THE COUNTY ADMIN1S1BATOR TO PREPARE RESPONSES TO YOUR CONCERNS. YOU ARE ENCOURAGED NOT TO BE REPElTllOUS OF PREVIOUS SPEAKERS AND TO L1Mf[' YOUR ADDRESS ro FIVE MINUTES. COMMISSIONER REPORTS - COMMENTS - QUESTIONS 7HlS PERIOD OF TIME SHAIL BE USED BY THE COMMlSSJONf11S TO REPOKT TO THE FllIL BOAllD ON COMMlITEE ACTIVITIES, MAKE COMMENTS ON MATTERS OF 1NTERES1' AND /NFORMA710N, OR RAISE QUE:S710NS ro THE STAFF. TIllS AC1l0N IS NOT INlENDED TO RESULT IN SUBSTAN11VE BCWlD AC1l0N DURING 71US TIME. ANY AC1l0N NECESSARY BECAUSE OF DISCUSSION WILL BE SCHEDULED FOR A FTmJRE BOAJID MEETING. BOARD CORRESPONDENCE ADJOURN BOARD WORKSHOP WITH HISTORIC COURTHOUSE ADV. COMMITTEE - B & C DISCUSS STRATEGIC PLAN FOR HISTORIC COURTHOUSE BOARD WORKSHOP WITH OFFICE OF ADMINISTRATION - B & C DISCUSS 1995 BUDGET PROCESS * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * Date Apr il 26 Apr il 26 April 27 April 27 ril 27 Apr il 28 April 28 Apr il 28 MEE~ING NO~ICES Committee Location Comparable Worth Reception for 12:00 p.m. ~iIIle Commissioners and Department Heads Planning Advisory Committee Joint Meeting of ITAC and Space & Facilities Planning Commission Solid Waste Mgmt. Coord. Board Reception for County Committee Volunteers Community Corrections Resource Recovery Project Board Vacancy Review Committee 7:00 p.m. 8:00'a.m. Washington County Government Center- 5th Floor Conference Room Washington County Government Center Washington County Government Center 10:30 a.m. 4:30 p.m. 2099 University Ave. W. - St. Paul Historic Courthouse - 101 W. Pine 7:30 a.m. 10:30 a.m. 2:00 p.m. Washington County Government Center 6989 55th st. N. Suite C - Oakdale Administration Conference Room qyou need aui.rumce dU4 10 disability or language barrier, pletlSe cllll 430-6003 (lDD 439-3220) AN EQUAL EMPLOYMENT OPPORTUNITY I AFFIRMATIVE ACTION EMPLOYER WASHINGTON COUNTY BOARD OF COMMISSIONERS CONSENT CALENDAR** APRIL 26, 1994 The following items are presented for Board approval/adoption: e DEPARTMENT/AGENCY ADMINISTRATION ITEM A. APPROVAL OF THE APRIL 12, 1994, BOARD MEETING MINUTES. B. APPROVAL TO AUTHORIZE DESIGNATED AREAS WITHIN THE COUNTY FACILITIES FOR PLACEMENT OF CAMPAIGN MATERIAL. C. APPROVAL OF EMPLOYMENT AGREEMENT WITH COUNTY ADMINISTRATOR. AUDITOR-TREASURER D. APPROVAL OF ONE DAY ON SALE NON-INTOXICATING HALT LIQUOR LICENSE, APRIL 30, 1994, REGIONAL AWARDS BANQUET/SOCIAL, LAKE ELMO JAYCEES, TO BE HELD AT HOOLEY HALL, COUNTY FAIRGROUNDS. E. APPROVAL OF ON SALE AND SUNDAY INTOXICATING LIQUOR LICENSE FOR THE OUTING LODGE AT PINE POINT, INC., APRIL 1, 1994 TO MARCH 31, 1995. F. APPROVAL OF ABATEMENT APPLICATIONS FOR HOMESTEAD AND REDUCTION IN VALUE. COMMUNITY SERVICES G. APPROVAL OF 1994 RATE RECOMMENDATION AND RATE VARIANCE FOR EAST SUBURBAN RESOURCES, A DAY TRAINING HABILITATION SERVICE PROVIDER FOR ADULTS WITH DEVELOPMENTAL DISABILITIES. H. APPROVAL OF 1994 RATE RECOMMENDATIONS FOR OPPORTUNITY SERVICES, A DAY TRAINING AND HABILITATION SERVICE PROVIDER FOR ADULTS WITH DEVELOPMENTAL' DISABILITIES. HUMAN RESOURCES I. APPROVAL OF INCREASED PAYMENT RATES FOR COUNTY BURIALS. J. APPROVAL TO RECLASSIFY POSITION OF ACCOUNT CLERK II TO THE CLASSIFICATION OF SR. ACCOUNTING TECHNICIAN IN THE ACCOUNTING DEPARTMENT RETROACTIVE TO DECEMBER 19, 1993; AUTHORIZATION' FOR ADJUSTMENT TO THE ACCOUNTING 1994 SALARY BUDGET OF $1,872. K. APPROVAL TO RECLASSIFY POSITION OF ACCOUNTANT I TO THE CLASSIFICATION OF ACCOUNTANT II IN THE ACCOUNTING DEPARTMENT RETROACTIVE TO MARCH 14, 1994; AUTHORIZATION FOR ADJUSTMENT TO THE ACCOUNTING 1994 SALARY BUDGET OF $1,420. L. APPROVAL TO RECLASSIFY POSITION OF FAMILY SERVICE WORKER TO THE CLASSIFICATION OF SOCIAL WOlU{ER I IN THE COMMUNITY SERVICES DEPARTMENT.EFFECTIVE APRIL 24, 1994. M. APPROVAL OF COUNTY PAID MEDICAL/HOSPITALIZATION INSURANCE PREMIUMS FOR RETIRING EMPLOYEE RICHARD D. BECKER, SHERIFF'S OFFICE, IN ACCORDANCE WITH SECTION 11 OF THE PERSONNEL RULES AND REGULATIONS. N. APPROVAL OF SEVERANCE PAYMENT FOR RICHARD D. BECKER, SHERIFF'S OFFICE, IN THE AMOUNT OF $4,700; AND AUTHORIZATION TO AMEND 1994 SALARY BUDGET, SERVICE 1668, OBJECT 6114, BY THAT SAME AMOUNT. PUBLIC WORKS O. APPROVAL OF RESOLUTION, INSTALL "NO PARKING" SIGNS ALONG AN APPROXIMATELY 400 FOOT LONG SEGMENT OF COUNTY ROAD 79 IN THE CITY OF MAHTOMEDI. RECORDER P. APPROVAL OF RES~LUTION AWARDING THE CONTRACT FOR BITUMINOUS OVERLAY ON CSAH 40, 42, 45, 21 CR 15A, 55 68 TO THE LOWEST RESPONSIBLE BIDDER, VALLEY PAVING, INC., CONDITIONED UPON THE APPROVAL AND FULL EXECUTION OF A CONTRACT AS REQUIRED BY LAW. Q. APPROVAL TO ADVERTISE FOR BIDS ON ROAD CONSTRUCTION ON CSAH 5, PROJECT #SAP 82-605-10. R. APPROVAL OF THE PLAT OF HANNINGTON DOWNS. e ."ConIeat CaJeadar ltemt are ICIICl'1lUy clef"oncd .1 itanl 01 routine buliDen, not requirinc dilc_ion. and approved ill ..... vole. CClIIIIJIiuioacn may cIcct 10 puB . COIIICIll CaJeacIar itan(l) for diJcudion ancIIor ocpanIe action. l'i NP~:;s I n Between e Vol. 2. No.9 April 1994 Association of Metropolitan Municipalities Members air concerns, query Met Council on Regional Blueprint Concerns about elevating the Regional Blueprint to Hsys- temH status from '''guide'' were voiced during a Metropolitan Council presentation to the Metropolitan Agencies Commit- tee and Housing & Economic Development Committee. Council staff outlined the philosophy behind the draft Blueprint, the new name for the Metropolitan Development and Investment Framework (MOIF). The MDIF served as a guide for cities when they prepared their comprehensive plans. The two AMlvI committees will meet jointly May 5 to develop a response. A public hearing on the draft Regional Blueprint is . scheduled for May 19 and May 20. The Blueprint empha- sizes implementation and problem-solving in four areas: Environment, Urban/Rural Services Area, Regional Systems and Regional Investment, and Guiding Growth and Change. The Blueprint includes four subsectiOns in its Guiding Growth and Change: Transportation and Land Use, Concurrency of Service, Land Planning Act Update and Mix Use Development and Density. While the draft pian has four main policy areas, Karl said it stresses implementation and problem-solving, and examin- ing "multifaceted ways to address the issues." One area Council members would like to develop policy is for redefining a city's comprehensive plan. For example when planning and zoning conflicts arise, the Council envisions a comp plan superseding zoning. The council also would like to see included in a comp plan the inclusion of a natural resources element, and regularly scheduled updates. However, initiating new metro systems - the Blueprint and Housing, and an optional planning element - intergovernmental cooperation, economic development and e redevelopment - are in the draft proposal. The Council would have four guiding principals when it considers expanding the urban service area. Among them, regional sewer service would not be expanded to new cities or townships until after the year 2020. Karl said the Council could reconsider this position at some future date if an area met as-yet undefined criteria and needed the expansion of service. He explained this would be the beginning of staging . the MUSA expansion. Also, the Council would not allow expansion of the local urban service area unless adequate regional sewer and transportation capacity exists. A third criterion would call for development of urban service area compacts between the Met Council and local govenunents to outline respective roles, responsibilities and conunitments. Fmally, the Council would seek to limit incremental changes to a local urban service area. '1f you're in it, you'll get the service," Karl said. During the question-and-answer segment, Burnsville Council Member Owlie Crichton said his city objected elevating the Blueprint to system status. To do so would allow the Met Council to have complete authority over cities. . (Continued on Page 4) To the AMM Membership: A Star Tribune editorial published April 21 misstated an Association of Metropolitan Municipalities position regarding a provision of the comprehensive choice housing bill under oonsideration by the Legislature. The AMM supports the identification and removal of baniers to housing choices if and where they exist, and believes opportunities for affordable housing should be available throughout the metro area. However, the AMM does not support the imposition of penalties and has worked very hard to have this particular provision removed from the bill. The Star Tn"bune editorial stated erroneously that AMM does support penalties. AMM has spoken with the editorial writer about the misinformation and was assured that a correction regarding the AMM position will be made. Again, to be clear: The AMM policy does support removal of barriers to choice housing if they exist but does not support penalties for cities as described in the original bill. 1 f Elections, awards focus of Annual Meeting Get out those fancy duds and reserve the evening of May 25 on your calendars. The AMM Annual Meeting will be amid the beauty of the fairways and greens of Edinburgh Golf Course in Brooklyn Park. Continuing With the precedent set at November's Policy Adoption Meeting, the AMM Board of Directors decided not to have an outside speaker or program. Instead, the Board said, emphasis will be placed on elections, awards and camaraderie. . Two items will be on the evening's agenda. rtrSt, the election of officers and members of the Board of Directors. Past President Karen Anderson, Minnetonka Mayor, and managers Don Ashworth of Chanhassen and Bill Burns of Fridley will complete their terms of office at the end of May. The AMM will present its annual Innovative City Award and Peacemaker Award during the Annual Meeting. (See related story elsewhere on this page.) The Innovative City A ward honors a city project or program that, among other things, stimulates creativity, demonstrates efficiency, pro- motes economic viability develops an awareness among residents and fosters a sense of community. Previous winners include two-time champ Richfield for its adaptive recreation program and Richfield Rediscovered redevelopment/reinvestment program, Cottage Grove for its community oriented policing program and Minneapolis for its C.A.RE. program. The AMM Peacemaker Award honors a city's efforts to resolve a dispute by alternative methods, not the court system. This award was developed from a recommendation made by the AMM's Dispute Resolution Committee. The committee believed that honoring a city for resolving a dispute by non-traditional means could encourage other communities to explore the possibilities of mediation or other creative methods to resolve a dispute instead of going to court. Falcon Heights was the first honoree for its efforts in resolving an easement dispute through an alternative form of resolution. An invitation outlining the Annual Meeting activities will be mailed soon but please plan on attending the Annual Meeting. In addition to affording AMM members the opportunity to elect officers and board members, the meeting provides a chance to renew acquaintances and discuss matters of mutual interest. e Deadlines for two AMM contests May 5 It's not too late to be considered for the AMM Innovative City Award or the AMM Peacemaker Award. The deadline for the two contests is 5 p.m. Thursday, May 5. Application rules were simplified to ease the process. Creativity, efficiency, a sense of awareness or a sense of community are the by-words for the AMM Innovative City Award, now in its third year. For consideration, a city project or program must present a different approach demonstrating creativity in identifying and correcting existing community issues. It also should enhance residents' participation, and foster a sense of community through participation and communication. The Ilpplication should demonstrate the promotion of <:ollabora- tive/ rooperative efforts show that better delivery of service(s) or more efficient use of personnel was achieved and demonstrate possible monetary savings. Cities may enter as many activities and/or projects as they wish. However, each entry must be submitted separately. The activity or program must be under way or completed . The AMM Peacemaker A ward recognizes a city's efforts to handle a dispute by alternative methods, not through the court system. 1bis award developed from a recommendation made by the AMM's Dispute Resolution Committee. To be considered, an application must demonstrate that the decision to seek a more creative resolution was made to solve the problem, not avoid the problem. Criteria includes that city has a pro-active commitment to seeking alternatives to the court system to resolving disputes and demonstrate political courage to submit a tough issue to an alternative process rather than the courts. Also, the situation must be. difficult and the approach to solving it exlubits creativity, leadership and a commitment to resolve the matter. Com- plete resolution is not a prerequisite. People wanting more infonnation, criteria and application processes, and application form for either the Innovative City Award or the Peacemaker Award may call Nicole Debevec at the AMM office, 490-3301. Pre-meeting golf planned While it's not Augusta National and a green jacket isn't on the line, the AMM invites all golfers - from duffers and worm-burners to scratch and better - to , . playa round on :May 2S before the J- fJ:' / Annual Meeting at Edinburgh USA Golf ~ ~ Course in Brooklyn Park. :',$;." ~ Edinburgh USA was selected by Golf ~V Digest as one of the top 50 public golf , courses in America. It is Scottish designed and has nearly 70 bunkers and 12 acres of water. Challenging features include an island fairway and a peninsula green. Edinburgh USA also has one of the world's largest putting surfaces - a triple green combining holes 9 and 18, and the practice putting area. Afternoon tee times will be arranged by course personnel once reservations are made to Carol Williams at the AMM e office, 490-3301. A detailed flyer with infonnation about green fees, cart rental and reservation requirements will be included with the AMM Annual Meeting invitation that will be mailed soon. Now, think sunny thoughts for May 25... . 2 AMM Legislative Update e (Action through Wednesday, April 20) OMNIBUS TAX BIll- HF3209-Rest and SF1775-DJ Johnson are in tax conference committee. The House bill restores the Local Government Trust fund (LGTF) deficit to a maximum of $35.7 million, $6 million more than the current projection. It does this by shifting the deficit into the next biennium. However, once again, through program juggling, none of the $107 million generated in the next biennium through sales tax growth is allocated to LGA/HACA. The House bill maintains the shell- or sham - of the LGTF but provides no new aid growth for 1995 or 1996. Since there is no aid growth, the 1994 aid increase is recalculated within the formula for redistribution in 1995 (1993 is the last grandfather year). With the exception of 1st Oass cities, which are capped at 1994 levels, a city's distribu- tion could go up or down depending on the formula applica- tion. . The Senate bill provides $29.5 million for the trust fund deficit, repeals the LGTF at the end of this biennium and establishes the Implicit Price Deflater (IPD) for state and local government as an index for future LGA distribution. The LGA growth will be held to a minimum of 2.5 percent per year, and a maximum of 5 percent per year. It will be distributed based on the current LGA formula, but estab- lishes a rolling grandfather based on the previous year. In either bill, if the LGTF deficit this year exceeds the funding provided, the December 1994 LGA/HACA distri- bution still could be reduced. 0nIER PROVISIONS: '7HIs OLD HOUSE": Both bills provide technical changes. The . House bill limits eligibility to homes with market values of less than $150,000 or $300,000 in cities where 50 percent of the housing is pre-1960 and the median inccIl'.e is less than thel~statewide~~n. REPLACEMENT CAPITAL EQUIPMENT SALES TAX: The House bill reduces the 6 percent sales tax by 1.2 percent per year to total exemption by July 1, 1998. The Senate phases down the sales tax to 2.5 percent by July 1, 1997, and restores the current rate in in the year 2001 if state manufacturing jobs have not increased by 4,500. Either provision, if adopted by the conference committee, will have a very significant negative impact on the LGTF. tions for soils conditions districts, and extends the time limit for economic districts and interest rate reduction programs. The TIP provisions in the two bills are so opposit that it is difficult to imagine a final compromise. FmERAL CoNFORMIIY: Both bills conform to the income tax changes made in the 1993 federal tax law. This has the effect of raising more Minnesota state income tax which then is used for property tax and business tax relief. Gov. Arne Carlson indicated that he does not support full federal conformity. Regardless of the final product, there is a good possibility that Carlson will veto it If this happens, no one knows whether a new bill will be put together. If legislators do not fashion a new bill, December LGA/HACA cuts are likely. METROPOUTAN COMPREHENSIVE CHOICE HOUSING Acr: (HF2171-Qrfield; SF1991-Novak) Both versions were modified to eliminate penalties. Language regarding sewer hook-up avail- ability in sectors also eliminated. Both versions now would seek to study and identify barriers to affordable housing. On floors of House and Senate. METROPOUTAN REINvEsTMENT Acr: (HF2174-Orfield; SF1875-F1ynn) Author delete-a11 amendment makes bill straight fiscal disparities program that pools taxes on homes valued at $150,000 or more. HF2174 was amended by author in Housing Committee. SF1875 in Jobs, Energy and Economic Development Committee. Both versions apparently died in committee. Neither is expected to be heard or acted upon by session's end. METROPOUTAN GOVERNANCE STRUCTURAL REFORM Acr: (HF2276-Orfield; SF2015-F1ynn) Would change the Metropoli- tan Council to an elected body and would eliminate various regional boards. HF2276 passed from Local Government and Metropolitan Affairs and re-referred to Transportation; SF2015 passed Metropolitan and Local Government Commit- tee as amended to eliminate elected Met Council and have Council appointed at will and pleasure of the governor (no staggered fixed terms). Passed Senate, passed substituted for HF2276 in two House Committees, and now is on House floor. TAX INCREMENT FINANCING (TIF): The House bill contains many restrictive provisions. The most onerous are volume METROPOLITAN TRUNKED RADIO SYSTEM: (HF1996-Kelley; cap limits, county approval and a stricter but-for test. The SF1826-Mondale) Extends moratorium for allocating public Senate bill eliminates the requirement of 18 percent clean-up service channels in ~megahertz band for public service use cost match coming from non-TIP sources, eliminates the unti11995 and would extend life of Metropolitan Radio LGA/HACA penalty for certain projects, expands qualifica- (Continued on Page 4) 3 e Legislative update (Continued from Page 3) Systems Planning Committee unti11995. SF1826 passed both houses and signed by governor. TRANSPORTATION P1.ANNING AND HOUSING COMPUANCE FOR HIGHWAY IMPROVEMENTS: (HF2172-Qrfield; SF1896-Pappas) Would like highway funding and sewer extension requests to compliance with choice housing allocation. HF2172 is in Transportation Committee. SF1896 passed as amended ( .. (amended to include planning provisions only) from Trans- portation Committee, passed Senate. Substituted for HF2172 in House Transportation Committee. e WASTE MANAGEMENT: (HF292D-Long, SF2523-Merriam) Re- establishes the Office of Waste Management as the Office of Environmental Assistance and transfers waste management and policy planning from Met Council to this office. HF2920 on House floor. SF2523 in Senate Fmance Committee. No direct policy; indirect AMM support. AMM response to Blueprint planned May 5 (Continued/rom Page 1) ''You might as well wipe out city government," he said. Council staff member Bob Mazenac said that the Council was interested in cooperating with cities, not in using the threat of complete control to guide development and cities in the region. Later, Mazenac said perhaps the Council needs to redefine the concept of "system" with regard to the Blue- print. Minnetonka Council member Terry Schneider asked whether the Council would examine its definitions. He said he was troubled by "available land" and whether it includes wetlands, acreage that could be developed meaningfully, or areas that perhaps isn't the right kind of land for develop- ment because of environmental concerns. Kari said if a community wished to exclude wetlands from available land, it needs to pass an ordinance and forward the ordinance to the Met Council. Vern Peterson, AMM Executive Director, asked whether freezing the MUSAon the edge of regional sewering would lead to leapfrog development into neighboring counties. Mazenac said the Council needs to talk to neighboring counties regarding land use and transportation. The Council can't dictate to those counties, but a dialog must be started. While discussing the Council's desire to explore develop- ment by sector or clustering, Cottage Grove Administrator Kevin Frazell asked how the Council would detennine the sectors/clusters development and any possible tradeoffs that would occur. Mazenac said the Council plans to let the issue define the area that it hasn't determined any criteria. On a related point, Mounds View Mayor Jerry Unke asked about the fairness of cluster planning. For example, if a city has a piece of CII property it wishes to redevelop, would the Council step in and say the city couldn't redevelop the land as CII but could develop it as residential? Mazenac said cluster development would depend on issues and objectives, which haven't been defined. Craig Dawson, Eden Prairie Assistant Manager, asked whether a process would be set up to establish priorities when issues are in conflict - e.g., wetlands, affordable land, housing mix and land outside of the urban service area. The Association of Metropolitan Municipalities is at 3490 Lexington Ave. N., St. Paul, MN 55126. The tele- phone number is 490-3301; fax, 490-0072. This edition was mailed to mayors, council members, and managers! administrators for all AMM member cities. Mazenac said the Council hopes to meet with local officials and groups such as the AMM to help sort out priorities. He also said the Council wasn't concerned about implementing or enforcing all of the Blueprint all at once. Metropolitan Agencies Committee Chair Joan Campbell, Minneapolis Council member, said she was pleased to see clean-up of polluted lands included in the Blueprint. I<ari said the Council wanted to make polluted land cleanup a key issue, but needs help in determining levels of clean for different types of activities. He also asked how one can balance levels of clean and how can cleanup be funded. J1:1lian Loscalzo, St. Paul council aide, noted a lack of re- sources and leadership. He said he had raised this issue before with the Council in earlier stages of the Blueprint drafting process. "If you want the Blueprint to be credible, these two areas need to be addressed," he said. Areas of Concern In Blueprint 1. Elevating Regional Blueprint to "system" level ,2. Lack of definition regarding "available I.and" and what types of land It includes 3. Freezing regional sewer extention In fringe until 2020 and possible leapfrog effect 4. Lack of criteria for cluster/sector develop- ment 5. No identification of financial resources to deal with urban deterioration e 4 04/20/94 23:51 CITY OF OAK PARK HEIGHTS ~ 6124390456 NO. 047 [;101 e AGENDA CITY OF OAK PARK HEIGHTS MONDAY, APRIL 25, 1994 -- 6:30 P.M. 6:30 P.M. AGENDA I. Board of Review 7:00 P.M. AGENDA I. Call to Order II. Visitors III. Departmental Reports Schaaf - Utilities Kern - Streets Building Inspector a. Inspection Uniformity Committee Seggelke - Parks ' a. Non-Union Family Medical Coverage b. Park Minutes 4/18/94 c. Spring Park Walk Doerr - Administration Cable Update Consolidation Update Water Manaqement Update IV. Public Hearings Continue Heritage Rezone & Subdivision Amend Ordinance *1403 - Peddlers , Solicitors Dvorak variance v. Old Business Blacktop Quotes RFP - Grass Cutting East Oaks PUD Norell Avenue Resolution Remote Control Camera VI. New Business Request Annual Sewer & Water Rate Study? VII. Correspondence Presented Alicia Payne Washington County Health Department Washington County Public Works Department Northern States Power Company William J. Keefer City of Stillwater (over) - I ",,' ",.....,.,.1 ,,, ,,,., " 711:'71' f 01 I~~I.$ · 1.1 04/20/94 23:51 CITY OF OAK PARK HEIGHTS ~ 6124390456 NO. 047 Regional Transit Board Stillwater Area Chamber of Commerce Minnesota Department of Transportation Northwest Associated Consultants, Inc. Northern States Power company City of Bayport Valley Branch watershed District City of Stillwater ~02 e - r- e e I fa i- I : j I i I i I : 'I 04/26/94 00:58 CITY OF OAK PARK HEIGHTS ~ 6124390456 [;101 NO. 055 CITY OF OAK PARK HEIGHTS MINUTES OF MEETING HELD MONDAY, APRIL 25, 1994 Board of Review was opened by Acting Mayor Seggelke at 6:35 p.m. Present: Schaaf, Kern, Doerr, Vierling, Richards, Benson, Swanson and Wilson. Absent: Mayor O'Neal. Assessor's recommendations were reviewed and discussed. Doerr, seconded by Kern, moved to close Board of Review. 4 aye votes. Carried. Staff reports were reviewed prior to the regular meeting. Regular meeting called to order at 7:00 p.m. by Acting Mayor Seggelke. Richard Murray apprised the council of the noise generated at the rifle range. Discussion ensued. Memo from Anders Hansen and letter from Ken Hartung, Bayport City Administrator, were reviewed. Doerr, seconded by, Schaaf, moved to direct Police Chief Swanson to contact Commissioner of Corrections and other law enforcement agencies to try to alleviate the problem. 4 aye votes. Carried. Kern, seconded by Schaaf, moved to blacktopping to Brochman Blacktopping. award quote 4 aye votes. for 1994 Carried. Schaaf, seconded by Kern, moved to ban dumping at Valley view Park site immediately and direct Public Works Department to find a new disposal site. 4 aye votes. Carried. A special meeting for planning the annex park will meet at city hall at 6:30 p.m. Monday, May 2nd with regular Park Commission meeting at 6;30 Monday, May 16th. Schaaf, seconded by Doerr, moved to use planning and engineering consultant fees from line item funds in the city budget for the new park development. 4 aye votes. Carried. Tree City award was accepted by Acting Mayor Segqelke and he thanked Ken Kaiser, City Arborist, for his work in achieving it. Doerr, seconded by Schaaf, moved to deduct $35/mo from non-union salaries for dependent health coverage and $7S/mo commencing January 1, 1995, with first deduction to be made May 1, 1994. 4 aye votes. Carried. Doerr, seconded by participation in the votes. Carried. Kern, moved to approve Jim Inspection Uniformity Committee. Butler's 4 aye ,To, ,,...,,.,, 04/26/94 00:59 CITY OF OAK PARK HEIGHTS ~ 6124390456 NO. 055 ~02 , e page two - Minutes 4/25/94 Schaaf, seconded by Ooerr, moved to direct staff to compile analysis on how many residents are away and for how long during the winter months. 4 aye votes. Doerr, seconded by Kern, moved to direct Chief Swanson to inform council of his recommendations for signage request on Oakgreen Place and present it first meeting in May. 4 aye votes. Carried. Heritage Development public hearing for rezoning and subdivision was continued. Acting Mayor Seggelke called for comments and discussion ensued. Kern, seconded by Schaaf, moved to schedule a workshop Tuesday, May 3rd at 7:00 p.m. with City Council, Bay town Township and property owners involved in the project. 4 aye votes. Carried. Clerk read public hearing notice, presented affidavit of publication and mailing list for variance request submitted by Mike Dvorak. Acting Mayor Seggelke called for comments and discussion ensued. Kern, seconded by Schaaf, moved to continue 4It hearing Monday, May 23, 1994 at 7:30 p.m. Applicant to resubmit application, show driveway/street access, provide soil boring test and title opinion with City Engineer and Planner to review. 4 aye votes. Carried. I I , I II i I I I i I I I I I! , j Seggelke, seconded by Kern, moved to credit applicant $150.00 previously paid. 4 aye votes. Carried. Clerk read public hearing notice and presented affidavit of publication on Ordinance Amendment *1403 relating to peddlers and solicitors. Acting Mayor called for comments and discussion ensued. Doerr, seconded by Kern, moved to amend above ordinance as presented. 4 aye votes. Carried. Doerr, seconded by Kern, moved to close above hearing. 4 aye votes. Hearing closed. Doerr, seconded by Schaaf, moved to adopt Resolution #94-04-16 accepting assessors recommendations to the Local Board of Review. Roll call vote taken with aye votes cast by Doerr, Schaaf and Seggelke. Abstain by Kern. Resolution adopted. Schaaf, seconded by Kern, moved to issue request for proposals for grass cutting services for 1994 based upon draft presented this date and send to prospective vendors. Staff to advertise summary in legal newspaper. Proposals to be returned by May 9th meeting. 4 aye votes. Carried. Schaaf, seconded by Kern, moved to table East Oaks PUD until May 9th meeting. 4 aye voteS. Carried. e e i i i i ie I I I I I i i i i I I I I I ! 1 i I I I I ~ I 'e , I I 04/26/94 00:59 CITY OF OAK PARK HEIGHTS ~ 6124390456 [;103 NO. 055 # Page three - Meeting 4/25/94 Schaaf, seconded by Kern, moved to adopt Resolution #94-04-17 authorizing the City of Oak Park Heights to enter into Agreement No. 71755 with the State of Minnesota, Department of Transportation and that proper City Officers are hereby authorized and directed to execute such agreement. Roll call vote taken with 4 aye votes cast. Resolution adopted. Schaaf, seconded by Kern, moved to approve expenditure of $2500.00 to the Stillwater Area Chamber of Commerce for the purpose of economic development funding for tourism and to be expended from Contribution Fund. 4 aye votes. Carried. Schaaf, seconded by Doerr, moved to prepare annual sewer & water rate study. direct City Engineer to 4 aye votes. Carried. Schaaf, seconded by Doerr, moved to adjourn. Adjourned at 10:00 p.m. 4 aye votes. Respectfully submitted, ~ v~tJ.,)~ La Vonne Wllson Administrator/Treasurer SPECIAL MEETING STILLWATER CITY COUNCIL MINUTES March 15, 1994 4:30 p.m. The meeting was called to order by Acting Mayor Kimble. Present: Councilmembers Bodlovick, Cummings, Funke, and Kimble Absent: Mayor Hooley Also Present: City Coordinator Kriesel Acting City Attorney Thole Finance Director Deblon Comm. Dev. Director Russell City Planner Pung- Terwedo Recording Secretary Schaubach Press: Julie Kink, The Courier Mike Marsnik, Stillwater Gazette Others: Duane Hubbs, Martha Hubbs, Chuck Dougherty, John Berglund, Todd Weiss CONTINUATION OF WORKSHOP TO DISCUSS TAX INCREMENT FINANCING ASSISTANCE FOR DOWNTOWN HOTEL DEVELOPMENT. Council received a letter from Hoffman Development Corporation stating their decision to not attend the workshop continuation. Council discussed a second proposal received for the site. Duane Hubbs, Chuck Dougherty, and John Berglund, representing St. Croix Preservation Company, presented a purchase agreement for the property, and proposed to develop a lodging/convention facility on the site. Motion by Councilmember Funke, seconded by Council member Bodlovick to approve in concept the purchase agreement presented by St. Croix Preservation Company to purchase the former Hooley's site downtown in order to develop a lodging/convention site, with the condition that it is reviewed and approved by the City Attorney, and to request input from Staff. (All in favor) Council directed the City Attorney to inform the Charter Commission of the pending sale of the property. OTHER BUSINESS Council asked the City Attorney's office to review and clarify appropriate procedure for discussion of items which are not on the Council agenda. Stillwater City Council Minutes Special Meeting March 15, 1994 RECESS Motion by Councilmember Funke, seconded by Councilmember Cummings to recess the meeting at 5:25 p.m. until the 7:00 p.m. meeting. (All in favor) ATIEST-4 ~ I, J.fldA/h. CITY CLERK Submitted by: Shelly Schaubach Recording Secretary 2