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HomeMy WebLinkAbout1993-04-13 CC Packet Special Meeting e e e '" ... q3-13 TO: FROM: DATE: SUBJECT: Jlt . ;:; / r il~(lt~r ~ - - ~ - TH~RTHPlACE OF MINNESOTA ~ M E M 0 MAYOR AND COUNCIL MARY LOU JOHNSON, CITY CLERK APRIL 8, 1993 SPECIAL COUNCIL WORKSHOP MEETING, TUESDAY, APRIL 13, 1993, 6:30 P.M. This is just a reminder to Council that a Special Council Meeting has been scheduled for Tuesday evening, April 13, 1993, at 6:30 P.M. in the Council Chambers of City Hall, 216 No. Fourth St., Stillwater, Minnesota to discuss the following: 1. Continuation of Review of "Process Engineering Study" proposals; . 2. 1993 Sidewalk Replacement Program; 3. Any other business Council may wish to discuss. CITY HAll: 216 NORTH FOURTH STillWATER. MINNESOTA 55082 PHONL 612-439-6121 r il~(lt~r "~ . - - ~ -- -~ THE BIRTHPLACE OF MINNESOTA J e TO: FROM: DATE: MEMORANDUM MAYOR AND CITY COUNCIL STEVE RUSSELL, COMMUNITY DEVELOPMENT DIRECTOR ~ APRIL 13, 1993 SUBJECT: VALUE OF LAND LEASED TO STILLWATER YACHT CLUB FOR BOAT LAUNCHING AND PARKING When the City purchased the Mulberry Point land from the Glacier Park Company an appraisal was prepared for the property. Based on the appraisal, the 1.88 acre site has a value of $281,560. e e CITY HALL: 216 NORTH FOURTH STILLWATER, MINNESOTA 55082 PHONE: 612-439-6121 CERTIFICATe: OF SURVEY PART OF GOVT. LOTS 2 a 3, SEC. ~8, T30N, R20W, WASH. CO., MINN.. AND PART OF THE ORIG. TOWN. N,OW CITY .~F STILLWATER. MINN. " \ ( ~L \ I- UJ UJ 0:: I- en ~.. :z '. <i ::;: ;..-"- r'O --, t-':-'- ::;:"-1}' .- 1..: ":'::. . .....,.", ~ ~i -...--.. ,-...- .- - - 1- - IT -- .-- ---; ..-1 . / / , . " ~(. ,./ I / I ':::7~~:-- I .r.__i. ..... ~ i -/ STREET . . . ..... '. ..4' .' .;'....'01" 1 BL. 18 . .".... , ,. ".-.- ~ STREET ~ ()s-'.-::" ~ :x: BL. 27 I- 0:: 0 :z oJ C"""oC"C'''' -.., '.. .-,; '" , -, '. ~ i': .... :t '-. 1-' a:.~. o.~ :z ., . .". r' .' ....-........ ... ,i I , 'i J I' 1 \ , II ' \ 1 i. i "i 7~t"O'" 11 i 38: II: i ! I .r i ! .. :." ...--. i I I ,~ ~~::~-j, i ! J III ,~ 18 'i \ '. .__ \ I .. _. rI I- UJ UJ 0:: I- (Jl :- .' \ \ : ~ l.' i:- <:,: .~ " ,,' C I ~I.. 1'-' \(\) L. ~ ..~ .., -' :::..:: . \)0. '-.- I.... .1r,I 0:: IlJ I- ~ ;;c 3A .~ 174'h f " .t J-1J 1c.f:$'f j.' "-r.= ~ ~ I .',' I;~" f '.- . I : r ... I I r I _ _ . j r'~- ~ " .:.:.!' ..-.~~ :---=0 I .~- J 2A,., _.._. ~ 2 I b 0:: <l: a.. ;. ...5; 11'4~. Fr. l BL 2 -I -I UJ ;;c- O .J -I .. . I J I r 1'- I . .. J__ ~~.,.! I ,. , . So Lake Saint Croix Ordioary Pool Eley. 675; ~ ~ J '. e e ~...'" .-~ e e e e .. MEMORANDUM TO: Mayor and City Council FR: Public Works Director DA: April 6, 1993 RE: 1993 SIDEWALK REPLACEMENT" PROGRAM. I have met with Dick Moore to develop a workable (and I think necessary) sidewalk replacement program for 1993. The sidewalks proposed to be replaced are shown on the attached "sidewalk inventory" worksheet. The cost to remove and replace the proposed sidewalks is estimated to be $358,502.76. In order to accomplish the work it will be necessary to proceed either under Minnesota statute Chapter 429 (Local Improvements) or our City Code Chapter 38 - Nuisance Abatement. In order to proceed under Chapter 429 the City must: 1. Direct the engineer to prepare a feasibility report; 2. Conduct an improvement hearing and order improvement by 4jSths vote; 3. Advertise for bids; 4. Contract for the work; and 5. Conduct an assessment hearing. I estimate that at least 200 property owners would be affected. This would necessitate conducting two separate hearings because of the numbers involved. In order to proceed under City Code Chapter 38, we must send property owners notice to repair/replace their sidewalks within a certain number of days. If the owner does not repair/replace the sidewalk, the City can proceed and as,:;ess the owner. The Chapter 429 process is a better process ~n terms of consistency of work and in being able to have a more orderly process, since we would have one or a small number of contracts. The City Code Chapter 38 process requires a special notice to each owner and if they don1t respond or do the work we would still need our own contractor to do the work. However, if they elect to do the work themselves, could probably be able to do the work at a lesser cost. Workmanship however, would be more difficult to monitor. In addition, obligations issued to finance our work under the code is limited to obligations payable within two years of issuance. In terms of efficiency and to ensure that the work is consistent and timely, I would recommend proceedings under Chapter 429. The City would have to establish the assessment policy to determine how much of the work is to be assessed. In the past the City has required the owner to pay 100 percent of the cost. The City will also have to add the appropriate amount to its bonding needs for 1993. STILLWATER, MINNESOTA 03/25/93 SIDEWALK INVENTORY COST/SF $5.67 ----------. SHEET SIDEWALK REPLACE SW REPAIR SIDEWALK NO. SEGMENT FROM TO LENGTH SCORE RECOMM. WIDTH PANELS AREA COSTS -----------------------------------------.-------------------------------------------------------~-----------------. --------------------------------------------------------.----------------------------------------------------------. 289 FOURTH ST S. WILLARD ST. W. PINE ST. 670 65 PR 5 150 3,750 21,262.50 282 WILLARD ST W. SO. SIXTH ST. SO. FIFTH ST. 410 71 PR 5 20 500 2,835.00 281 WILLARD ST W. SO. FIFTH ST. SO. THIRD ST. 523 71 PR 5 44 1,100 6,237.00 299 SO. SIXTH ST. WILLARD ST. CHURCILl ST. 645 71 PR 4 27 432 2,449.44 5 FOURTH ST. MYRTLE ST. MULBERRY ST. 745 77 PR 5 17 425 2,409.75 427 CHERRY STREET FOURTH ST. THIRD ST. 365 78 PR 5 20 500 2,835.00 313 WILLIAM ST MULBERRY ST. MYRTLE ST. 883 79 PR 5 120 3,000 17,010.00 43 MARTHA ST. MULBERRY ST. OLIVE ST. 877 80 PR 5 36 900 5,103.00 40 HARRIET STREET MYRTLE ST. MULBERRY ST. 898 80 RE 5 ~S--- --875 4,901 .25 410 * MYRTLE STREET OWENS ST. FIFTH ST. (WEST) 2285 80 RE 5 90 2,250 12,757.50 60 SECOND ST. LAUREL ST. LAUREL,511' NO. 511 80 RE 4 80 1,280 7,257.60 59 SECOND ST. LAUREL ST. MULBERRY ST 1006 81 RE 4 88 1,408 7,983.36 36 SIXTH. STREET S. MYRTLE ST. OLIVE ST. 586 83 RE 5 25 625 3,543.75 296 SIXTH ST S. PINE ST. WILLARD ST. 450 83 RE 5 100 2,500 14,175.00 280 SECOND ST S. E. WILLARD ST. 264'N.OF E.wILL 264 84 RE 5 30 750 4,252.50 1 · CHESTNUT STREET FIFTH ST. FOURTH ST. 366 84 RE 5 5 125 708.75 372 * GREELEY ST S. W. ORLEANS ST. W. CHURCHILL ST 1920 84 RE 5 5 125 708.75 327 NORTHLAND AVE. CROIXWOOD BLVD. 100 S'OF SUNRISE 2400 85 RE 4 23 368 2,086.56 426 CHERRY STREET FIFTH ST. FOURTH ST. 325 86 RE 5 50 1,250 7,087.50 277 WILLARD ST. E. SO. FIRST ST. SO. THIRD ST. 630 87 RE 5 60 1,500 8,505.00 291 * FOURTH ST S. E. CHURCHILL ST W. WILLARD ST. 647 88 RE 5 4 100 567.00 428 CHERRY STREET THIRD ST. SECOND ST. 353 88 RE 5 25 625 3,543.75 181 PINE STW. S. GREELEY ST. S. HOLCOMBE ST. 1641 89 RM 5 200 5,000 28,350.00 406 * OLIVE STREET THIRD ST. SO. HOLCOMBE ST 1900 93 RM 5 120 3,000 17,010.00 406.1 OLIVE STREET SO. HOLCOMBE ST SO.MARTH ST.(E) 1900 93 RM 5 140 3,500 19,845.00 407 OLIVE STREET S. MARTHA (EAST) GREELEY (WEST) 1055 91 RE 5 120 3,000 17,010.00 430 LAUREL STREET OWEN ST. FOURTH ST. 2135 91 RE 5 180 4,500 25,515.00 431 * LAUREL STREET FOURTH ST. THIRD ST. 356 92 RE 5 20 500 2,835.00 286 SO. SIXTH AVE. LOCUST ST. E. CHURCHILL ST. 1068 92 RE 5 30 750 4,252.50 432 LAUREL ST. THIRD ST. SECOND ST. 329 92 RE 5 25 625 3,543.75 14 * FIFTH ST WILKINS ST. MAPLE ST. 1295 93 RE 5 175 4,375 24,806.25 62 SECOND ST. MULBERRY ST. LAUREl ST. 1010 93 RE 4 88 1,408 7,983.36 193 SO. FOURTH ST. E. CHURCHILL ST. E. ORLEANS ST. 1890 93 RE 5 55 1,375 7,796.25 310 * GREELEY STREET MULBERRY ST. LINDEN ST. 302 94 RM 5 20 500 2,835.00 9 * FOURTH ST. STilL. ST.TO W. STILL. ST.TO E. 122 94 RM 5 20 500 2,835.00 e P.NO.1 e e e e STILLWATER, MINNESOTA SIDEWALK INVENTORY 03/25/93 " COST/SF $5.67 SHEET NO. SEGMENT FROM TO SIDEWALK REPLACE SW REPAIR SIDEWALK LENGTH SCORE RECOMM. WIDTH PANELS AREA COSTS =========================:===============:=========================================================================: 18 MARTHA STREET ELM ST. ASPEN ST. 360 94 RM 5 30 750 4,252.50 8.1 FOURTH ST. MAPLE ST. ASPEN ST. 974 94 RM 5 77 1,925 10,914.75 373 * GREELEY ST S. W. CHURCHILL ST OLIVE ST 1815 94 RM 5 20 500 2,835.00 33 EVERETT STREET MULBERRY ST. MYRTLE ST. 890 97 AM 5 30 750 4,252.50 32 EVERETT STREET LAUREL,250' SO. MULBERRY ST. 745 98 RM 5 15 375 2,126.25 30 EVERETT STREET LAUREL STREET LAUREL,180'SO. 180 99 RM 5 18 450 2,551.50 24 WILLIAM ST MAPLE ST. HICKORY ST. 360 99 RM 5 30 750 4,252.50 15 FIFTH ST. MAPLE ST. CHERRY ST. 710 100 RM 5 120 3,000 17,010.00 309 GREELEY STREET OLIVE ST. MYRTLE ST. 585 100 RM 5 7 175 992.25 31 * EVEREIT STREET LAUREL, 180' SO. LAUREL,250' SO. 70 100 RM 5 7 175 992.25 275 * CHURCHILL ST. HOLCOMBE ST. SO. SIXTH AVE. 2585 100 RM 5 1 25 141.75 208 * SIXTH AVE S. BURLINGTON ST. CHURCHILL ST. 874 100 RM 5 20 500 2,835.00 411 MYRTLE STREET FIFTH ST.(WEST) THIRD ST. 725 100 RM 6 12 432 2,449.44 ----------. ----------. I * INDICATES CONTACT OWNER $358,502.76 COST BASED ON: $2.00/SF REMOVAL $2.00/SF CONSTRUCT $1.00/LF SOD PLUS 35% PAGE NO.2 e A.T Kearney. 11Ie. 8500 NOl'malli/ale Lake Boulevard Su ill' 1730 Milllleapolis. .\lillllesola 55437 6129218480 Facsimile 612 921 8465 AJanagement Consultanls ~117tE4RNEY April 1, 1993 Nile Kriesel City Coordinator City of Stillwater 216 N. Fourth Stillwater, MN 55082 Dear Nile: e Thank you for inviting A.T. Kearney to propose on your request for a work-flow study of the City of Stillwater's administrative functions. After reviewing our commitments to current clients, I regret to inform you that we will not be able to submit a proposal at this time. If our backlog changes, I will be glad to check with you to see if we might be of assistance at that time. Please let me know if I can help you find qualified consultants for this critical undertaking. Best regards, iC 6-Tr )~t(!P J!;-t Scott Gillespie Associate cc: Bart Kocha, A.T. Kearney e \~~O;, '=> ~~ e e e l. . Apri 1 6, 1993 Mr. Charles M. Hooley, Mayor City of Stillwater 216 North 4th Street Stillwater, MN 55082 MORRISON/WALlJAR\ ARCHITECTS 2189 FOURTH STREEl WHITE BEAR LAKE, MINNESOTA 55110 426-3287 426-5440 FAX Dear Mayor Hooley: The firm of Morrison/Walijarvi Architects, Inc., with Peter Racchini of Peter Racchini Associates as Consultant, is pleased to make a Proposal for the your proposed Efficiency Study. In reviewing our proposal, please bear in mind the following points: Our firms have been in business for 28 and 25 years respectively, and our three principals have 67 years experience as principals of .firms. We have served over 35 municipalities and have been involved with many repeat projects, most of them in smaller cities immediately north of the metro area. The design team we have formed is multi-disciplinary and offers complete architectural, mechanical, electrical, structural, acoustical and civil engineering services. Our architectural staff consists of thirteen persons: Five registered Architects, two Architects in training, two draftsmen, three secretaries and one consultant. Our Structural Engineering Consultant is Larson Engineering of Minnesota, now located in Vadnais Heights. Our Mechanical and Electrical Engineers are Gausman and Moore in Little Canada, our Acoustic Consultant is Bill Kroll of Minnetonka. We feel that our team can perform in accordance with your scope of services and offer the City of Stillwater experienced professional design services rooted in genuine personal interest. We offer local presence, knowledge, familiarity, and concern. Our offices are within 15 minutes of the project. City of Stillwater April 6, 1993 Page 2 Peter Racchini designed your City Hall and Fire Station and has continued to work on var'ous projects for the City of Stillwater. We appreciate this oppor unity to be considered. If I may clarify anything or answer any Questions, pl~ase do not hesitate to call me. Sincerely, ~v-~ Roger Tomten ! I ! ~M~ Eldon Morrison e e e e e. e EFFICIENCY STUDY PROPOSAL CITY OF STILLWATER. MN 1 . The general qualification of our firm. We are an architecture office in general practice with emphasis on schools, churches, and municipal buildings. Our expertise in these areas is exemplified by our list of projects and our references for past work done. fn the programming phase of our projects, particularly in the areas of schools, churches, and municipal bu i 1 dings; we often are asked to analyze the processes of the functions that go on in these projects. This includes interviews with the users of the buildings, flow charts showing the processes that are to be accomplished in these spaces, and schematic design drawi ngs showi ng how these processes can be accommodated in the space requirements, and the determination of the space requirements. We have always felt it is important to put extra effort in the programming of a project prior to designing of the space and the determination of the square footage of the project. In your case, we would be analyzing your present situation, how it is functioning within the spaces that you now have, and how the spaces could possibly be modified to increase the efficiency of the processes that are being undertaken. 2. Names, experience and qualifications of the person responsible for the management and administration of the study. The person to be in charge of this project and do the basic work would be ROGER TOMTEN, a resident of Stillwater, Minnesota, who has a degree in architectJre and has been with our firm for five years in an architect apprentice situation. His resume is attached. e EFFICIENCY STUDY PROPOSAL Page 2 3. References and/or a li t of previous projects worked on which are similar in nature to the requested work, We are currently working with the City of Vadnais Heights for the first project in their;. proposed City Center. This is a fire station project designed from scratch with a series of meetings with the fire fighters and city officials. The result is a well- designed and planned fire s ation with insight into specific needs of this department. Other recent projects; City of White Bear La~'e, City Hall Elk River Fire Depart ent Sandstone City Hall a d Library Remodeling Sandstone City Fire D partment. e 4. A description of the w rk program that will be used to conduct the study including a f estimated time table for beginning and completing the prOjeC1 . Our staff will inter iew each staff member in the Administrative/Finance Dep rtment. The goals of the interviews will be to determine any i efficiencies in the daily tasks of each employee, and inefficienci s caused by inappropriate or inadequate office equipment. We will lso use the interviews to determine the most efficient work space and the spacial relationships between staff members. From.this information, we will compile a total program and sChematic1diagrams of the entire department. We will use our in-depth knowledge of the existing facility and analyze alternatives to i plement the program within the current structure. From these alternatives, we would prepare cost estimates for any remodeling work required. The enti re department st dy from the time the interviews are performed to the present tion of alternatives would cover four weeks. The start of staf interviews would begin as soon as this proposal is approved. e e EFFICIENCY STUDY PROPOSAL Page 3 5. An estimate of the cost to conduct the study including estimated billable hours and billable hour rates. Estimated billable cost to conduct the study: Phase I 40 to 60 hours @ $40./Hr. = $1,600.00 - $2,400.00 Phase II & III to, be modified according to results of Phase I. Of this proposal meets with your approval, please sign two copies and return one.copy to us. e Yours truly, e Eldon Morrison, AlA Roger Tomten, AIT Agreement for above services for City of Stillwater. RESUME - ROGER TOMTEN Education 1978 1984 Associations Experience Projects e B che 1 or of Sc i ences, Envi ronmenta 1 Des i gn M ster of Architecture U iversity of Minnesota, Minneapolis, MN A erican Insitute of Architects S . Paul Chapter C mmittee on the Environment R ger has worked as a project designer on f cilities of all sizes since joining the f'rm in 1987. His past experience as a p rtner in a design-build firm has h i ghtened Roger I s awareness to the i~portance of good commun;c;at;on between djSigner and contractor. A keen interest in energy and e vironmental issues has led Roger to i plement environmental friendly Clnstructon materials and build'ng t chn;ques on his project. . M ss;ah Lutheran Church, Lakeville L$ster Prairie Public School F~ith Lutheran Church, Forest Lake Zlon Lutheran Church, Annandale N tional Car Rental - Emerald Centre J maica Food Mart - Cottage Grove P pin-Hugunin Residence, Grant Township e e e e e 500 Pillsbury Center Minneapolis, MN 55402-1459 612332-0001 FAX 612 332-8361 April 5, 1993 Mr. Charles M. Hooley Mayor City of Stillwater 216 North Fourth Street St. Paul, Minnesota 55082 GrantThomton fi Accountants and Management Consultants The U.S. Member Firm of Grant Thornton International Dear Mr. Hooley: We are pleased to have received your inquiry and request soliciting our proposal to conduct an efficiency study and planning process for the City of Stillwater (City). Grant Thornton considers this an important opportunity to provide our professional management consulting services to the City on an important, thoughtfully appraised matter. This proposal describes our understanding of the project and your objectives, the scope of services you desire, our approach and proposed workplan for effectively completing the pro- ject, the qualifications of the professionals involved, a planned schedule and an estimate of project costs. We believe that you will agree, after your review of our proposal, that we have the required skills and related experiences to successfully complete the project, that our proposal is responsive to the needs you have identified, and that our approach conveys an appropriate, effective methodology for completing the planning project. OUR UNDERSTANDING OF YOUR OBJECTIVES: PROJECT GOAL The City of Stillwater has initiated this study following an assessment of the space problems and issues relating to the adequacy of the present city hall and a commitment to performing City business better. While there are no known community pressures for betterment and improvement at this time, the Mayor, Council and City Coordinator are committed to continuing the management of the City in an efficient, effective manner. You believe that conducting this study at this time should provide the City with alternatives and ideas for improving the efficiency of the City's operating functions--police, public works, planning, finance, and administration--and the departments involved. We believe that this identifies and describes the Project Goal. Mr. Charles M. Hooley City of Stillwater AprilS, 1993 Page 2 e In Mr. Nile Kriesel's March 30th I letter , which provided more specificity on our March 8th meeting, he identified the followin~ outcomes as important to completing this study: 1. complete a descriptive anal sis of the paper flows, including flow charting, and an assessment of their effici ncies; 2. complete an analysis of d develop recommendations for current space allocations and utiliza . on, considering department functions and interrelationships; 3. complete an analysis of p esent office equipment and systems and develop recommendations for impro ements; and 4. identify other areas and fu ctions of the City that would benefit from similar analysis. We believe that in identifying thes outcomes you have outlined the objectives the City desires for this study. ! As we discussed, you want this S\. udy to be conducted in three (3) phases, which we have described in the next section of this proposal: Phase I Admi istration/Finance Department e Phase II Polic Department Phase ill Publi Works Department, which includes the park and recreation function You have asked us to consider eac phase as a separate project, with a go-no go decision to be made at the conclusion of the prec ing phase. We agree that the completion of Phase I may encourage appropriate modificatio s in the scope and/or. approach to conducting the next phase. SCOPE AND APPROACH Grant Thornton has develop an a proach to conducting efficiency studies and process flow analyses that is based on our co mitment to Total Quality Management principles. Our approach includes an overall fram~1 work and supporting methodology developed through the collective experience of Grant Tho ton management consultants and our clients, together with the experiences of quality manage ent leaders in several industries. We have found that each engagement requires a unique appr ach--implying that we must carefully select those elements of the total methodology that app y and incorporate those elements that will best fulfill the Project Goal and objectives for the City of Stillwater. e e e e Mr. Charles M. Hooley City of Stillwater April 5, 1993 Page 3 Prior to commencing any project or study, we also develop the specific project approach by identifying the project goal and objectives, preparing a comprehensive work plan, describing the key components and subjects to be covered, developing the expected work steps involved in the project, and identifying all deliverables. This project approach enables us to carefully plan the engagement, to clearly identify the project tasks, and to use the resultant work plan in controlling our work activities. You will have a means, with this approach, of better understanding and monitoring our effort, as well. Phase 1. Administration/Finance Deparlment The scope of this phase of the engagement is an analysis of the efficiency of the office layout, procedures, office systems/equipment, and paper flows in the Administration/Finance Department. We have developed the approach for the study of this department with three tasks as follows: Project Assessment ~ & ,...-- Reporting Kick-off Analysis Each task is explained in more detail in the next sections and pages. moo Task 1: Project Kick-off This task, that will effectively initiate the engagement and our work, is important to the overall project, even though it requires a minimum of time. We will meet with you and other mem- bers of the project management team to establish deadlines and meeting schedules, affirm the project goal and objectives, and identify guidelines for our activities and work arrangements. We will assist in communicating with key personnel and informing them of the purpose and scope of this project, as well as enlisting their support. At this time, we will want to ensure that the project's organization and work program are consistent with sound quality management approaches. We will want to obtain and study current plans and possibly budget documents. Your help will also be important to identifying and collecting other essential materials. We will want to document the current organizational structure, the office layout, and the City's strategic direction in preparation for the assessment and analysis task--Task 2. Mr. Charles M. Hooley City of Stillwater April 5, 1993 Page 4 e We will also arrange for progrl1 ss meetings which we recommend should be conducted monthly during the project. Tasks and Deliverables . . Affirm project workplJ . Conduct project "kick-off' meeting to review project objectives and timetable Document organizationail structure and office layout . Clarify City's strategic direction and business goals, critical success factors, and core competencies D-B-D Tas 2: Assessment and Analysis The purpose of this task is to asse s the City of Stillwater's current processes, procedures, and office systems/equipment approa hes and to identify major areas for improvement. In this .. task, we will use the following tec niques: ,., Facilitated Sessions - We propose to utilize facilitated sessions as the primary method for collecting inti ation regarding strategies and business processes. Facilitated sessions have so proven to be an excellent technique for evaluating alternatives and gaining corsensus on short term improvement opportunities. Process Modeling - We u ilize process modeling as a basic component of our assessment methodology. We will develop process models based on your current business practices. We will then utilize them to identify opportunities for short and long term im rovement. The process models will also provide the foundation for developing office systems/equipment automation plan. Using process modeling will nable us to chart and document these business operations, practices, and rocesses, which we believe exceeds your objective of analyzing paper flows. H wever, we believe that it is essential to focus first on processes and major opera . ons and then focus on significant paper flows. Information Assessment - echnology and information will be addressed from three perspectives. First, re will assist in outlining the technology needs of the Department based on the efficiency improvement objective. Second, we will inventory the existing in~<ymation systems and applications, both computer and non-computer based, to iientify where and the extent to which technology is I e e e e Mr. Charles M. Hooley City of Stillwater April 5, 1993 Page 5 presently used, and then to assess how effective that technology is. Third, we will identify opportunities for adding or expanding technology that could improve operations. Space Allocation and Layout - Following the completion of the above assessments and analyses, we will offer our recommendations for space allocation and layout in the current City Hall, without the specificity of detailed drawings. We believe that it is imperative that the processes and business functions be assessed before space matters are addressed since space matters must depend on the functional recommendations. We will offer our ideas for space needs that might exceed the capacity of the current City Hall. Detailed space analysis is beyond the scope of this study. Tasks and Deliverables Compile documentation of existing procedures Assess current practices, processes, and work flows Analyze current space layouts and assess future space needs Identify present information and office systems Develop Critical Success Factor Matrix vs. Business Processes Determine Performance Measures Identify recommendations for short term and long term improvements DD-&1 Task 3: Reporting The purpose of this task is to report our findings and recommendations for improvements in the operating efficiency of the Administration/Finance Department of the City of Stillwater. Our report will develop our findings based on the assessment and analysis we completed for the business practices and operations of the Department and will present our recommendations for improved efficiencies. Tasks . Prepare presentation of findings and recommendations Deliverables Department team awareness . Critical Success Factors . Process efficiency improvement recommendations Mr. Charles M. Hooley City of Stillwater AprilS, 1993 Page 6 e Phase II. Police Depattment We have not included in this proposal any Phase II work. Following the completion of the Phase I work, we will discuss Phase II, Police Department Efficiency Study, with you. We want you to know of our interest, I however, in assisting the City with this next phase if that should be the decision. We will ~onfrrm with a subsequent engagement letter the Phase II work you will desire us to underuf:e. Phase III. Public Works De a ent We have not included in this pro sal any Phase III work. Until the work in Phases I and II are completed, we will discuss P ase III, Public Works Department Efficiency Study, with you. We want you to know of our! interest, however, in assisting the City with this next phase if that should be the decision. We I will confrrm with a subsequent engagement letter the Phase III work you will desire us to und~rtake. i . I I ENGAGEMENT SCHEDULE e We have estimated the elapsed tim of each task of the project. Task 1 Task 2 Task 3 Kick-off Assessment Reporting 1 week 2-4 weeks 1 week This schedule is flexible and will ary based on time available from your staff for interviews. As we progress, we will contin y monitor our performance to schedule and bring to your I attention any deviations from this ; stimate. OUR UALIFICATIONS AND RO ECT TEAM The project team proposed for thi project and described in this section was developed based on four significant factors: The breadth and scope f this project. The specialized and tec nical skills necessary. The experience in publi sector management and planning. The need for effective cilitation and communication skills. e . Mr. Charles M. Hooley City of Stillwater April 5, 1993 Page 7 e To best serve the needs of the City of Stillwater, we have assembled a team of Grant Thornton personnel experienced in the following: Local government operations Efficiency studies and management audits Office systems planning Business process re-engineering Total quality management Strategic business planning Minnesota Quality Award We think this project will best achieve the desired outcomes through a joint effort of the City of Stillwater's Administration/Finance Department and Grant Thornton personnel. The City of Stillwater's participation will include access to personnel for interviews and assisting with process analyses, documentation, and follow-up inquiries. A review of our project organization will illustrate the level of experience Grant Thornton pro- fessionals bring to this project and how we will efficiently work with the City. e The following narrative summarizes the role and experience of each key project member. Grant Thornton Proiect Director -- Thomas N. Watson Thomas N. Watson, a Senior Manager, will serve as the Project Director for this project. Mr. Watson heads the Exempt Organizations Management Consulting Practice in our Minneapolis Office. He has extensive experience in education, State and local government, and exempt and business organizations in areas of strategic management, management productivity studies, organizational analysis, management systems and financial management. He has actively managed and participated in Minnesota government, as an employee, a local government elected official, and a management consultant, for over twenty years. Mr. Watson has the following experience that is particularly relevant and will add important value to this project: e principal consultant to Minnesota state government on management planning and evaluation projects, including the following examples - completed an organizational review and issues analysis for the Governor's Office and Department of Administration' completed a planning and operations review for the Minnesota Department of Education, completed a performance and operations evaluation for the Minnesota State Board of Investment; Mr. Charles M. Hooley City of Stillwater April 5, 1993 Page 8 principal consultant to Ilocal government on management planning, efficiency studies/management au4its, and evaluation projects, including the following examples - management improvement study of a shared data processing/computer center, analysis of telecomm~nications functions for cost and service improvements financial and operatiqns analysis of a health and human services department seeking impr9ved efficiencies and services i principal consultant to the management of small and medium sized businesses for effecting change, "turn,ounds", and planned growth; adjunct professor of fin~ce and accounting and a community faculty member at Metropolitan State Univ~rsity (Graduate Program in Management and Administra- tion), University of St. Thomas (MBA program and Management Center), and the University of Minnesota~ . Pro" ect Consultant -- Phili D. Kru er Phil Kruger, a manager in Qrant Thornton's Minneapolis Management Consulting Department, has "hands on" and e I tensive management experience in engineering, marketing and manufacturing for the govern nt and commercial sectors. His background also includes strategic planning, total quality p ograms, operations process reengineering, process value analysis, benchmarking, competitiv analyses, training, and strategic cost management. Mr. Kruger has the following expe "ence that is relevant to the project's needs: Completed strategic pI ning engagements that included a process for determining company mission, visio , identifying competitive issues, defining functional goals, and determining perfor ance measure. Completed a strategic developing a function alternative applications a time-phased plan for i information systems planning project that included model to define information flows, recommending velopment according to business needs, and preparation of plementation. e e Assisted a majorent the VISIOn and strategic goals; benchmarking of best practices in back office and distribution operations; implementing the TQM/ rations plan; business process reengineering techniques to improve speed and exibility, and periodic assessment of performance against a plan for continuous imp vement. .. e e e Mr. Charles M. Hooley City of Stillwater AprilS, 1993 Page 9 Phil has over twenty years experience In industry and management consulting and is a Minnesota Quality Award Examiner. Grant Thornton Partner in Char~e -- Jack R. Nicolai It is the policy of Grant Thornton that each major engagement be conducted under the direc- tion of a partner level management professional. Jack R. Nicolai, Partner and Department Head of Grant Thornton's Minneapolis Office Management Consulting Department will be the Partner in Charge for this engagement. Mr. Nicolai has more than twenty years of manage- ment consulting in systems and planning for a wide variety of government and business clients. He will be responsible for Grant Thornton's overall involvement in this project and will ensure that the highest quality of service is provided to the City of Stillwater. Detailed resumes of our Project Team are attached to this proposal. Specific refenences will be made available for any projects referred to above. Tom has one reference in Washington County for a related project situation, who you can contact: Charles Swanson County Administrator Washington County PROFESSIONAL FEES: The estimated hours necessary to complete the project in a thorough, professional manner are affected by the scope of work you have identified. Based on our experience, we are prepared to complete this project as proposed in this proposal for professional fees the should not exceed $12,500. Our professional fees are based on the hours budgeted to complete each task and the project extended at our proposed hourly rates. We are also reimbursed for the project expenses incurred on your behalf such as mileage, report production, and certain clerical services. We seek every opportunity throughout a project such as this to use your personnel and services, where that is appropriate, which also reduces our out-of-pocket expenses. It is our practice to submit our billings monthly. We appreciate receiving your payment within ten working days thereafter. Due to the timing of this project, we are prepared to start immediately. However, in the event the City will not make its decision immediately, this proposal will remain in effect for sixty days. Mr. Charles M. Hooley City of Stillwater April 5, 1993 Page 10 This proposal. includes only those services specifically described in this letter. Consistent with our normal policy, our liability und~r the terms of this engagement, if any, shall not exceed the amount of fees collected for our services. * * i* * * * * We fully recognize the challenges and opportunities involved, the effect of our work for the City of Stillwater, and the impo~ce of our having the requisite capabilities and related experiences to successfully complet~ this project. Please address any questions about our proposal. to Thomas N. Watson, wh~ can be contacted at (612) 332-0001 in our Minneapolis office. We are anxious to commenc9 this project immediately. Very truly yours, .4ta'1L~l-- ,;;2~''r-Z''1~~r;;'2-- GrantThomton * * * * * * * * * * * * If you agree with and accept this lett r, please sign and date both copies, return one to us, and retain one copy for your fIles. The foregoing letter fully describes e services rendered, and we accept your proposal.. City of Stillwater Mr. Charles M. Hooley Mayor Date . e e e e e TE.NNESSEN ASSOCIATES, INC. Industriall Management Consultants 3200 EAST 5ht STREET. MINNEAPOLIS, MN 55417 612-729-0595 e April 5, 1993 Mr. Charles Hooley City of Stillwater City Hall 216 North Fourth Street Stillwater, MN 55082 Dear Mr. Hooley: Attached is our proposal and guaranteed maximum cost estimate to conduct an Efficiency Study for your firm. Guaranteed cost covers the amount of time required to do a thorough analysis and design. Your tlnal cost may be less, depending upon availability of information and ease of data extraction. If less time is required, you will be billed only for actual hours used. I am confident that this proposal will be successful in meeting your present and future needs, and that savings from increased space utilization, improved work flow and better inventory control processes will exceed the cost of the study. Besides our experience in servicing more than 80 clients, my experience in te4ching a class in Administrative Process Flow provides the background to make your study successful. Thank you for this opportunity to offer our services, and I look forward to working with you. Sincerely, /~ ----- L/4~-.~_~ /- James V. Tennessen Presiden t _____..,..1,1.-..... ..l..lL'f\.',.....,._ .,_-'pIlo 110.._._ e EFFICIENCY STUDY FOR CITY OF STILLWATER e PHASE I - ADMINISTRATION/FINANCE DEPARTMENT TENNESSEN ASSOCIATES, INC. Industrial/Management Consultants e. April, 1993 e Efficiency Study Prepared for: e City of Stillwater City Hall 216 North Fourth St. Stillwater, MN 55082 I 1, By: TE , SEN ASSOCIATES, INC. Indus rial/Management Consultants 3200 East 51st Street inneapolis, MN 55417 612-729-0595 e e TABLE OF CONTENTS I. SCOPE OF STUDY A. Objective B. Study Parameters II. BASIC SERVICES e A. Review Project Parameters B. Review City Plans C. Provide Process Orientation Training D. Document Current Processes E. Develop Improved Processes F. Prepare Process Narratives G. Document Employee and Department Requirements H. Document Employee and Facility Support Requirements I. Develop Relationship Chart J. Approve Space Requirements K. Develop Detail Layout L. Develop Final Report III. COMPENSATION A. Total Expense B. Basic Services C. Reimbursable Expenses D. Billable Hourly Rates IV. HOURLY BREAKDOWN BY PROJECT PHASE V. PROJECT TEAM e. VI. REFERENCES e 1:\ SCOt'\'. OF Sf\JP'l I \ \ - e e e e I. SCOPE OF STUDY A. Objective Study objectives are to: . Analyze and develop improved administrative processes. . Develop narrative for improved administrative processes. . Document employee workstation and department requirements. . Document employee and facility support requirements. . Provide layouts for proposed space. B. Project Parameters . Project approach will be based upon active participation by client; therefore, client should assign key management and operating people to work with consultant. . Department personnel involved in performance of tasks are: City Coordinator, Finance Director, City Clerk, Senior Account Clerks (2), Junior Account Clerk, and Secretaries (2). . Overall paper flow requirements will be documented based upon overview interviews with identified department personnel. Detailed process improvement studies for individual processes, such as Recruitment, Staffing and Placement Activities, will be completed in additional studies. . Current administrative processes will be documented through use of process flow chart. . Improved administrative processes will be developed jointly by client and consultant. . Blue prints of the planned building will be provided by client. . Developed detailed layouts will be based upon existing facility configurations. 1 - 11. $1\SlC SBR'l1CBS \ \ \ \ \ \ \ - e e e e ll. BASIC SERVICES A. Review Project Parameters A meeting will be held so that consultant can review details of accepted proposal with management and selected project team, to insure complete understanding of team goals, expected outcomes, and planned due dates. B. Review City Plans Consultant will review city plans for Administration/Finance Department with client to obtain an understanding of future plans, and will also review planned staffing levels and involved processes to obtain a clear understanding of anticipated administrative requirements. C. Provide Process Orientation Training Consultant will provide a two-hour employee and management training session on administrative process identification, documentation, measurement and evaluation. Additional training on work flow process can be provided as an additional service. D. Document Current Processes Client and consultant will jointly review job descriptions of individual members covered by the study, and identify those tasks that account for the major amount of paper work flow. Consultant will develop work flow diagrams for those tasks selected by client. During development of work flow diagrams, individual problems and overall concerns will be recorded. Developed flow diagrams will be presented to client for review and approval. Adjustments to flow diagrams requested by client will be made before proceeding to completion of process flow chart for selected processes. Completed process flows will identify individual activities within the selected process, show their sequence in the process, indicate who performs the activities, and identify required forms and equipment. 2 e Developed process flow ch~s will be reviewed with management and operating personnel to verify complettess and accuracy of documentation of current process. I I E. Develop Improved Pr~ ! Upon approval of documenJtion of current process, client and consultant will jointly review documented adm~~istrative processes to identify potential areas for improvement, time consumi!ng activities, and processes that involve duplication of effort. Appropriate quality I!and continuous improvement tools will be utilized to identify and develop change to current process. Each activity on current procless flow chart will be discussed for possible elimination. Activities that cannot be eWninated will be evaluated for possible combination with other activities, change in s~uence or person, simplification, or automation. Developed flow charts will h1inimize paper work flow and ensure that personnel are processing work in a timely I and efficient manner; promote quality; identify tasks to eliminate or combine; ideIltify person most capable of performing the task and determine appropriate technqlogy and work space for accomplishing the required task. e Proposed flow charts which j'dOCument proposed processes will be presented to client for review and approval. ! . I F. Prepare Process Narrative I ! Consultant will develop p~rl minary process narrative for each approved process flow chart identifying required sks, sequence of tasks, personnel responsible for each activity, and equipment n . s. Completed preliminary narr1' tive will be submitted to client for review and approval. Adjustments requested by lient will be made before proceeding to final narrative development. I I Approved process flow char1s and process narratives will document planned processes, which will be incorporated ~nto policy manuals by client. I I G. Document Em 10 ee and ent R uirements A list of Administration/Pi ance offices will be developed through interviews with _ management. Survey forms Fill be presented to client for documentation of employee ., workstation and department equirements (storage, files, mail rooms, computer rooms, 3 e and other support space) that are needed to successfully complete the identified tasks related to each process. Summary of employee workstation and department space requirements will be presented to client for review and approval. Prototypal workstation designs will be developed for selected categories of clerical and supervisory personnel based upon collected information. Developed workstation designs will be presented to client for review. Approved design standards will be used during office layout. Total square foot requirements, based upon individual workstation needs and department requirements, will be identified and presented to management for review and approval. H. Document Employee and Facility Suw<>rt Requirements Based upon projected employee workstation and department requirements, employee support requirements (lunchrooms, conference rooms and restrooms) and facility support requirements (electrical, telephone, and mechanical rooms) will be developed. Documented space requirements for employee and facility support will be presented to management for review and approval. e I. Approve Space Requirements Documented space requirements for employee workstations, department support, employee support and facility support will be presented to management for review and approval. Identified square foot requirements will reflect study findings, developed processes, designed employee workstations, department support needs, and employee and facility support. Approved square foot requirements will reflect space necessary to accommodate developed Administration and Finance processes and will indicate if current available space can meet projected city plans. J. DevelQp Relationship Chart e Consultant will discuss paper work flow, communications, and supervisory control needs with client for ranking of spatial relationships between employee workstations, department requirements and employee support needs. 4 Completed relationship charts will be summarized by consultant and used to develop e block diagrams which show relative size of workcenters and conceptual relationships between employee works1fitions and related support needs. I I Block layouts will be ~eveloped to provide overall conceptual space plan for Administration and Finani'e. Layouts will illustrate relative employee workstation size and location. Developed b ock layout will be presented to management for review and approval. I K. Develop Detail Layout i Upon approval of block layout, consultant will prepare detailed layout which will identify the actual locat on of equipment and furniture in individual employee workstations, department support areas and employee and facility support spaces. I Detailed layout will be P*". sented to management for review. Client's questions will be researched and necessfY adjustments made before second presentation. Changes requested by client during second review will be documented. Consultant will make appropriate changes to drawings before presentation of drawings for third review. e L. Develop Final Report Findings, recommendati ns, approved process flow charts, work flow diagrams, developed employee wor tations, department requirements, and employee support needs will be document in a final report. Report will be presented to management for review and approval. Detailed drawings will be provided under ~ separate cover. Changes will be made based upon client requests. e 5 e e ill. COMPENSATION e ill. COMPENSATION A. Total Expense Total Basic Services and R~imbursable Expenses, as defined in following paragraphs, is $8,913. i I B. Basic Services For management planning services rendered, consultant will be compensated on a fee schedule based upon wQrk effort expended. Guaranteed maximum cost for basic services is $7,780. ! i c. Reimbursable Expen~1 Reimbursable expense~ include actual expenditures for the project, such as cost of reproduction of docum~nts, postage, automobile travel at $.27 per mile, long distance telephone calls, meals ~d lodging, data processing and other expenses as authorized a by client. Guaranteed total cost for reimbursable expenses is $1,133. ., D. Billable Hourly Ra1 Principal Consultant I Systems Analyst Project Leader Project Analyst Data Processing rator Computer Process1 I I I I ! $75.00/hour $55.00/hour $55.00/hour $40.00/hour $35.00/hour $ 15.00/hour 6 e e It e N . HOURLY BREAKDOWN BY PROJECT PHASE e HOURLY BREAKDOWN BY PROJECT PHASE PHASES I I A: Review Project Parameters I \ B: Review City Plans C: Provide Process Orientation T+ing D: Document Current Processes I E: Develop Improved Processes F: Prepare Process Narratives I G: Document Employee and Departlment Requirements H: Document Employee and Facilitr. Support Requirements I: Approve Space Requirements \ J: Develop Relationship Chart ! I K: Develop Detail Layout L: Develop Final Report TOTAL 7 HOURS 3 4 2 40 19 16 16 5 4 4 36 8 157 e - e e e V. PROJECT TEAM e JAMES V. TENNFSSEN PROJECT CONTRIBUTION: , Jim Tennessen has over twenty years of experience with military, insurance, utilities, manufacturing, printing, graphic ajrts, medical, government and service organizations. His ability to integrate business processes i~ used in successful project management, manufacturing and office facility design, move planqing, work simplification, office systems planning, warehouse design, and organizational studie~. i ACADEMIC AND PROFESSIONAL BACKGROUND: Jim has a B.A. in Economics, I an M.B.A. in Business Administration, and an M.S. in Management. His professional ~ssociations include the International Facility Management Association, Institute ofIndustrial iEngineers, Material Handling Society, Institute of Management Consultants, Council of Independent Professional Consultants, Minnesota Council for Quality, Warehousing Education and Res$ch Council and American Production and Inventory Control Society. I EMPLOYMENT BACKGROUND: Ellerbe: conducted long term Sf' ace planning studies; State of Minnesota: conducted data processing studies; United States Air Force: directed development of manning standards. PROJECT ACCOMPLISHMENk i i · Developed process for person*el placement for governmental agency serving seven-county metropolitan area. Shortened hiring cycle, improved coordination, and achieved better understanding of overall Plac!ent process. · Documented warehouse opera .ons processes for an electric public utility. Study produced flow charts and narrative whi h streamlined daily operating processes, provided uniform training material for warehou I personnel, and served as guidance for other locations. · Developed 2,200 square foot ail and distribution function for a major health maintenance organization. Installed opera ng processes that resulted in improved operations and reduced staffing needs. Ident fied most appropriate equipment for processing mail and distribution jobs. · Developed prototype compute facility for Fortune 500 company to improve operating processes, communication, sc eduling flexibility and operating layout. Model included computer room, warehouse d support areas totalling about 10,000 square feet. 8 e e e JOHN J. ULRICK e PROJECT CONTRIBUTION: John Ulrick has twenty years of data processing experience in application design, programming, and technical and customer support, using large mainframe systems and mini-computers at major local firms. As a programmer and consultant, he currently focuses on personal computers as a business tool. ACADEMIC AND PROFESSIONAL BACKGROUND: John studied accounting and economics at North Iowa Community College, Mason City, and has a Certificate of Data Processing. He is a member of the Independent Computer Consultants Association. EMPLOYMENT BACKGROUND: 1. C. System Inc.: as programming manager, established Information Center; National Computer Systems: established Business Programming Department; International Multifoods Corporation: designed order processing and sales reporting systems; Control Data: e programmed financial data. PROJECT ACCOMPLISHMENTS: . Analyzed needs of many small businesses, helped develop PC based systems for controlling their administrative requirements, and provided daily technical assistance. . Implemented complete corporate accounting system, order processing and sales reporting systems and manufacturing control system for small manufacturing firm. . Analyzed workflow requirements for a laboratory, identified management control requirements needed to accomplish daily activities, and developed documentation manuals to support system. . Developed survey processing systems for local and national management consultant companies. Surveys are usually given to client management teams before and after training in a specific subject. System provides graphic and tabular pictures of training needs and accomplishments. e . Developed property tax. analysis system for severa1local chambers of commerce. System produced analyses of current tax. structures based on tax. data from 900 Minnesota cities, and examined sources for new revenues including property values, incomes and actual taxes paid. 9 ROBERTJ.ZEMAN PROJECT CONTRIBUTION: Bob Zeman is an experienced project manager with knowledge of material handlingt maintenance and facility layoutt and da~-to-day workings of a warehouse. He has more than 20 years experience in integrating met~ods and procedures analysist work simplification studies and layout development and relpcation planning. ACADEMIC AND PROFESSIONAL BACKGROUND: I I Robert studied Engineering Technology at St. Cloud State College and has attended numerous Material Handlingt Plant Layoutt Material Requirements Planning and Material Handling Seminars. Professional associations include mem~ership in the American Institute of Industrial Engineers and Material Handling Society. I I EMPLOYMENT BACKGROUND: Farm Credit Services: directed all majntenancet housekeepingt construction and security operations; Tennant Company: condutted material handling and engineering studies. PROJECT ACCOMPLISHMENTS: I · Developed 30tOOO square foot laytt for warehouset printingt mail room and computer operation for national debt collecti n company. Developed manual processes required for implementation of new computer SI ftware programs. I . Programmed and designed 15tooo~square foot corporate mail room to support two facilities for national insurance company. eveloped mail handling processes and conducted feasibility study for installation of a selective vertical conveyor. I . Developed process for completing ad orders or supplier of audio, video and personal computer merchandize. Reduced ata entry timet staffing level, reworkt cycle time and increased on-time shipmentst and uality of work. . Improved processes for order pre arationt order entry, purchasingt receiving, picking, shippingt billing and customer ret rns system for importer and retailer of seasonal merchandise. Study increased per onnel utilizationt improved management control and reduced operating costs. 10 e e! e e . ' e '11. RBFE1~..BNCES - REFERENCES I METROPOLITAN WASTE CONTRdL COMMISSION Mears Park Centre St. Paul, Minnesota 55101 Jean Erickson 612-229-2008 NORTHERN STATES POWER PO Box 600 Monticello, Minnesota 55362-0600 John Weyhrauch 612-295-5151 I CONTROL DATA BUSINESS CENTkRS Box 0 Minneapolis, Minnesota 55440 George Hadges 612-853-6772 AVEDA 321 Lincoln Street NE Minneapolis, Minnesota 55413 Eric Brichta .612-379-8500 ST. PAUL COMPANIES 385 Washington St. Paul, Minnesota 55102 Dave Block 612-221-7233 UNITED HEALTHCARE CORPORAffION PO Box 1459 Minneapolis, Minnesota 55440 George Solnitzky 612-936-1978 MEDTRONIC, INC. 6972 Central Avenue NE Minneapolis, Minnesota 55432 Rodger McCombs 612-574-4343 LIEBERMAN ENTERPRISES, INC. 10801 Red Circle Drive Minnetonka, Minnesota 55343 Bob Pockrandt 612-945- 3200 11 " . . e e e e e e r il~(lt~r "~. - ~ ~ -~ THE BIRTHPLACE OF MINNESOTA J April 8, 1993 M E M 0 TO: FROM: SUBJECT: MAYOR AND COUNCIL MARY LOU JOHNSON, CITY CLERK BOARD OF REVIEW, WEDNESDAY, APRIL 14, 1993 Thisd memo is a reminder to Council that the Stillwater Board of Review meeting is fast approaching and will be held on Wednesday, April 14, 1993 beginning at 3:00 P.M. until approximately 7:00 P.M. to hear residents concerns about their valuation and classification of property. As stated previously, Scott Renne, Washington County Assessor, has stressed the importance of having a quorum of members present. Also, please bring your information booklets distributed earlier regarding the 1993 assessment and specific responsbilities of Local Boards. CITY HALL: 216 NORTH FOURTH STILLWATER, MINNESOTA 55082 PHONE: 612-439-6121 e e e APR 08 '93 09:40 OAK PARK HEIGHTS P.2/2 AGENDA CITY OF OAK PARK HEIGHTS MONDAY, APRIL 12, 1993 -- 5:00 P.M. 5:00 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 Seggelke - Parks Doerr - Administration O'Neal - Police Cable Update Consolidation Update Water Management Update IV. Old Business Blacktop Quotes Cash Transfers Ordinance #302 Street Reconstruction Plan TIF Money Resolution V. Review Minutes - March 8th & 22nd VI. New Business Advertise for Park Attendants Sidewalk - Oak Park School to Orleans Street MN Soil & Water Request VII. Bills Presented for Approval & Treasurer's Report VIII. Correspondence Presenten MN DOT NSP Metropolitan Council peA City of Bayport MN-WI Boundary Area Commission City Engineer Metropolitan Airports Commission Valley Branch Watershed District Metropolitan council I I ! APR 08 '93 09:40 OAK PARK HEIGHTS P.1/2 City Engineer MN Department of Revenue Washington: County Surveyor centervillf' Freshwater Foundation i Post-lt'U brand tax transmittal memo 767'l r If of pAges '" ..;1. 10 .,n'lit. From:! I r . (J,. ! j I'> () I'~ t./ Co. I Co- Dept. Pnone /I Faxl J...Jj 9 - Ct.}.5 (" Fax" e e e .~ e e e NEWS RELEASE FOR THE STILLWATER GAZETTE, COURIER AND ST. CROIX VALLEY PRESS The City of Stillwater has formed a Dispute Resolution Committe whose job is to make recommendations on behalf of the City of Stillwater regarding any complaints relative to the collection of garbage within the City limits. The Dispute Resolution Committee is composed of William Herzog, appointed by Junker Sanitation Co., Bob Fritz, appointed by the Stillwater City Council, and William Fierke, appointed by Mr. Herzog and Mr. Fritz in order to have a deciding vote. The procedures set up by the Dispute Resolution Committee are as follows: A letter in writing shall be sent to Bob Fritz, 1575 No. Second St., Stillwater, Minn. 55082. Complaints must be in writing and signed. If a complaint requires immediate response or action, the complainant may call Bob Fritz, at 439-0772, who will schedule a meeting of the Dispute Resolution Committee and render an opinion which will be copied to the City Council and Junker Sanitation. MAGNUSON & THOLE LAW OFFICE e LICENSED IN MINNESOTA AND WISCONSIN THE GRAND GARAGE & GALLERY 324 SOUTH MAIN STREET SUITE 1260 P.O. BOX 438 STILLWATER, MN 55082 TELEPHONE: (612) 439-9464 TELECOPIER: (612) 439-5641 MEMORANDUM Legal Assistants Gail A. Mahr Shelley L. Sundberg DAVID T. MAGNUSON EIDCCi9pLE Mayor and city council Nile Kriesel, City Coordinator steve Russell, Community Development Director FROM: David T. Magnuson, city Attorney DATE: April 13, 1993 RE: Abramowitz Annexation When the Abramowitz/Palmer/Newman annexation resolution was being finalized and before it was sent to the Minnesota Municipal Board, several new facts were discovered. e First, the filing fee for annexations such as this has gone from $300 to $600. The Abramowitz petitioners have paid to the City $300 and an additional $300 is required before the petition can be filed. In addition, significant expenses will probably be incurred in the pressing forward on this annexation, including planning, engineering and legal fees associated with a contested hearing before the Minnesota Municipal Board. It is important that the Council decide whether these expenses will be borne by the City or whether the petitioners will be obligated to reimburse the City for expenses incurred. If the petitioners are expected to bear the expense of these proceedings, perhaps they should be notified in advance. In some circumstances, the City has required a deposit from the petitioners before substantial work is done. Next, it was discovered that Mr. Palmer has transferred title to two small parcels of real estate that would have made him an abutting owner to the Abramowi tz annexation peti tioners. Accordingly, the Council has at least three options: 1. The Council could delete the Palmer property from the pending annexation request. 2. The Council could table the entire annexation request until a means is found to make the Palmer property abutting. 3. We could file the petition as is and hope that before a Municipal Board hearing, a means could be obtained to make the Palmer property abutting. I would expect a hearing to be set some time during the summer of 1993. - Respectfully submitted. DTM/sls ~ Minnesota Pollution Control Agency April 12, 1993 TO WHOM IT MAY CONCERN RE: Public Comment Period For Permanent List of Priorities Pursuant to the Minnesota Environment Response and Liability Act, Minn. Stat. ~ 115B.17 (1990), and Minn. Rules pt. 7044 (1993), the Minnesota pollution Control Agency (MPCA) is publishing for public comment the proposed update of Permanent List of priorities (PLP) among releases or threatened releases of hazardous substances, pollutants, or contaminants. Prior to updating the PLP, the MPCA must solicit public comment on the proposed update for thirty (30) days. The public comment period ends May 13, 1993, at 4:30 p.m. e According to MPCA records, you may have an interest in one or more of the sites proposed for addition to, or deletion from, the PLP. Therefore, please find enclosed a copy of the April 12, 1993, State Reqister notice on this matter. If you have any comments, please submit them as directed in the enclosed Public Notice. Should you know of additional interested parties concerning this update of the PLP, please advise them of the public Notice and public comment period. 112relYt ~:.f~~r Division Manager Ground Water and Solid Waste Division JLW/GLK:tac Enclosure - 520 Lafayette R'd.; St. Paul, MN 551554194 ( - ; 612) 296-6300; Regional Offices: Duluth. Brainerd. Detroit Lakes. Marshall. Rochester Equal Opportunity Employer. Printed on ReCYCled Paper . Minnesota Pollution Control Agency Ground Water and Solid Waste Division ~Minnesota Department of Agriculture Agronomy Services Division Notice of Proposed Update of the Permanent List.of priorities Among Releases or Threatened Releases of Hazardous Substances or Pollutants or Contaminants NOTICE IS HEREBY GIVEN that the Minnesota Pollution Control Agency (MPCA), and the Minnesota Department of Agriculture (MDA), are publishing for public comment proposed additions and deletions to the Permanent List of priorities (PLP) among releases or threatened releases of hazardous substances, pollutants, or contaminants for which the MPCA or the MDA may take removal or remedial actions under the Minnesota Environmental Response and Liability Act (MERLA), Minn. Stat. ch. 115B. The statutory basis for, and explanation of, the PLP is discussed below. Pursuant to Minn. Stat. ~ 115B.17 (1992), the MPCA is authorized to take any removal or remedial action which the MPCA deems necessary to protect the public health, welfare, or the environment whenever there is a release, or substantial threat of release, from a facility of any pollutant or contaminant which presents an imminent and substantial danger to the public health, welfare, or the environment, or whenever a hazardous substance is released or there is a threatened release of a hazardous substance from a facility. e Where the hazardous substance or pollutant or contaminant is an agricultural chemical, as defined in Minn. Stat. ~ 18D.01, subd. 3, the Commissioner of Agriculture is authorized under MERLA to take any removal or remedial action deemed necessary with regard to such releases or threatened releases, Minn. Stat. ~~ 115B.17; 115B.20; and 18D.1051 (1992). Minn. Stat. ~ 115B.17, subd. 13 (1984), required the MPCA to establish priority rules regarding releases or threatened releases of hazardous substances, and pollutants or contaminants. The revised priority rules, Minn. Rules ch. 7044, became effective on April 5, 1993. Minn. Stat. ~ 115B.17, subd. 13 also requires the MPCA to adopt the PLP and to update the list annually according to the criteria set forth in the priority rules. Before any update of the PLP is adopted by the MPCA, it must be published in the State Reqister and a 30-day public comment period must be provided. This notice is, therefore, published to inform the public that the MPCA and MDA propose to update the PLP and to solicit public comment on the proposed additions and deletions. The proposed additions to the PLP have been ranked using the Hazard Ranking System (HRS) method as required by Minn. Rules pt. 7044.0350 (1993). The HRS is based on the revised HRS scoring system adopted by the U.S. Environmental Protection Agency (EPA), as published in the Federal Register on December 14, 1990. - -1- . The following 5 MPCA sites are proposed for addition to the PLP, with HRS scores for each site in parentheses: Voss Scrapyard, Belle Plain (48); Old Freeway Dump, Burnsville (66); Former Stillwater City Dump, Stillwater (27); Bemidji Gas Mfg., Bemidji (14); Former White House Restaurant, Golden Valley (39) . e The MDA is not proposing to add sit~s to the PLP at this time. i I The numerical scores generated by the HRS scoring process should not be interpreted as exact number priorities. The scores shown indicate the relative ranking and general classification of s~tes, but sites with scores within approximately ten points of each other ~ay be considered roughly equivalent in terms of a known or possible public health or environmental threat. Generally, the cleanup of a hazardous waste site involves a three-phase program: I 1. Remedial Investigation/Feasibil~ty Study - investigation of the extent, magnitude, and nature of the release or threatened release, and identification, evaluation, andi selection of appropriate removal or remedial action(s); 2: Remedial Design - detailed design of the selected removal or remedial action(s); and 3. Response Action - implementatio~ of the selected removal or remedial action(s) . , I Minn. Rules pt. 7044.0450 (1993) requires that sites with a release or threatened release be assigned to response action classes. The four response action classes are defined as follows: e CLASS A - Declared Emerqencies. ~is class includes all sites at which an I emergency has been declared by the MP~ Commissioner or Commissioner of Agriculture pursuant to MERLA. Accordi~g to Minn. Rules pt. 7044.0200, subp. 4 (1993), an "emergency" means that "therie is an imminent risk of fire or explosion, that a temporary water supply is needed where an advisory has been issued, or that immediate adverse human health effects may be anticipated due to direct contact or inhalation and an advrisory has been issued." An "advisory" is defined in Minn. Rules pt. 7044.0200, ~ubp. 3 to mean a warning by the MPCA Commissioner, Commissioner of the Minnesota Department of Health, Minnesota Department of Natural Resources, or th~ Minnesota Department of Agriculture issued to the public concerning a haza~dous substance or pollutant or contaminant at or near a site. CLASS B - Res onse Actions Co let d and eration and Maintenance Lonq-term Monitorinq Onqoinq. This class includes all sites where response actions have been completed and long-t~rm monitoring of these completed response actions is in progress. This class al~o includes all sites where activities are necessary to operate and maintain resp~nse actions that have previously been completed. Examples include continued~operation of a ground water pump out system, long-term monitoring, and work necessary to maintain the integrity of the site such as maintaining cover or losure. e -2- . CLASS C - Response Actions Necessarv or in Proqress or First Year Ooeration ~and Maintenance at a Site. This class includes all sites where remedial design and implementation of response actions, such as barrel removal, soil decontamination, first year ground water pump out or monitoring, are necessary to effect a permanent remedy or cleanup of a site. CLASS D - Remedial Investiqations and Feasibilitv Studies (RIfFS) Necessarv or in Proqress. This class includes all sites which require a remedial investigation (RI) to determine the extent, magnitude, and nature of the release or threatened release, and a feasibility study (FS) to evaluate and select response action(s) . The terms "response action", "removal action", and "remedial action" are defined in Minn. Stat. ~ 115B.02. Each of the sites proposed for addition to the PLP have been assigned to response action classes C and D. The MPCA is also proposing to delete the following 9 MPCA sites from the PLP, as specified under Minn. Rules pt. 7044.0950 (1993): Adrian Municipal Well Field, Adrian; Atwater Municipal Well Field, Atwater; DM&IR Car and Locomotive Shops, Proctor; DNR-Duxbury Pesticide Site, Pine County; Ford - Twin Cities Assembly Plant, St. Paul; Fritz Craig Salvage Operation, Park Rapids; HWK Enterprises/Meeker Mfg./Design Classics/Litchfield Municipal Well Site, Litchfield; Jackson Municipal Well Field, Jackson; Owatonna City Dump, Owatonna. e In addition, the Commissioner of Agriculture is proposing to delete the following MDA site from the PLP: Lund's Farmer Seed and Nursery, St. Cloud. The MPCA and MDA invite members of the public to submit written comments on these proposed additions and deletions to the PLP only. All written comments with regard to these proposed additions and deletions must be received no later than 4:30 p.m., May 13, 1993. Written comments regarding the proposed MPCA site additions or deletions should be submitted to: Gary L. Krueger, Program Development Section, Ground Water and Solid Waste Division, Minnesota Pollution Control Agency, 520 Lafayette Road, St. Paul, Minnesota 55155-4194. Written comments regarding the proposed MDA site deletion should be submitted to: Teresa L. McDill, Agronomy Services Division, Minnesota Department of Agriculture, 90 West Plato Blvd., St. Paul, Minnesota, 55107. Requests for a complete updated PLP or information on a specific site currently listed on the PLP can be directed to the MPCA's Public Informat~on Office at the above address, or by telephoning 612/296-7283. The MDA is the administering state agency for the following 6 PLP Sites: Castle Rock Ground Water Contamination, Castle Rock; Cedar 'Services, Minneapolis; Central Cooperative Oil Association, Medford; Howe Chemical Soil Contamination, Martin County; Lewiston Ground Water Contamination, Lewiston; Perham Municipal Airfield, Perham. Any questions regarding these sites should be directed to the above MDA address. It -3 - All written comments received by the above deadline will be considered by the MPCA and the MDA in establishing the updated PLP. Charles W. Williams Commissioner-MPCA Elton Redalen Commissioner-MDA -4- ~ e e e e e e 07/03/91 02/18/92 03/03/92 03/06/92 03/13/92 04/01/92 04/08/92 OS/28/92 06/30/92 12/23/92 12/30/92 01/05/93 INDEX Mulberry Point File 1) Summary of Leases purchased from Glacier Park 2) Map of Mulberry Point and Lease areas 3) Notice of Lease termination for both Leases 4) Grund's objection to Lease termination 5) city's response to Grund 6) Legal advice re: Grund's objections 7) City extends Leases 8) City grants further extension 9) Legal advice 10) Terms of extension 11) Payment of extension rent 12) Letter from Bennett 13) Letter from Sellergren 14) Letter from sellergren MAGNUSON & MOBERG ATIORNEYS AT LAW THE GRAND GARAGE &. GALLERY 314 SOUTH MAIN STREET STILLWATER, MN 55082 _avid T. Magnuson James I. Moberg MEMORANDUM Telephone: (612) 439-9464 Telecopier: (612) 439-5641 .' TO: Diane Deblon, Stillwater City.Treasurer FROM: David Magnuson, Stillwater City Attorney DATE: July 3, 1991 RE: 'Summary of Lease Data with regard to Glacier Park Purcharse I enclose and deliver to you as custodian for the City various leases that were assigned to the City in which we now own an interest as landlords as part of the purchase of real estate from Glacier Park Company. e First of all, two leases were with the City as Lessee, and now of course ar . ,'nce we own the property. The first of )< these is leas #099,97~ This covered most of the property known as Mulberry Po~n. h"is lease should no e vo' ed since it has no value to the City. The other lease;' #241,425 involving the City as Lessee, covers a strip of land r parking near Mulberry Point. The rent on this lease was payable in advance beginning on July 16th of each year.' There was remaining on this lease in the current year, the period from June 26th through July 16th, and accordingly $18.74 was credited to the City at the closing. This lease should be discarded since it has no remaining value. e Next, lease #211,866, involving SuperValue, includes the Hooley's Store, the Lumberman's Exchange Building, and the adjacent parking. The lease is paid to date. However, the annual sum of $21,250.00 plus a percentage of the profits is payable quarterly in advance. Accordingly, an invoice should be sent to SuperValue for the quarter beginning July 1st, and the lease should be reviewed since a substantial increase is envisioned based upon our negotiations with the SuperValue people. Next, Lease #066,670 is with the Maple Island Dairy. This lease calls for $130.00 per month payable annually in advance, beginning on September 1st of each year. This is $1,560.00 annually, and a credit of $282.08 was given to us at the closing. I would recommend that this lease be renewed, and that the rental amount reflect a prorata share of our purchase price for_the land. This review should begin soon since the invoice for the yearly amount should be sent to Maple Island well in advance of September 1st. * Diane Deblon July 3, 1 991 Page Two Next, Lease #223,977 is also with the Maple Island Corporation. This lease provides $170.00 per month payable annually in advance beginning on March 1st of each year. A credit of $1,386.08 was given to us at the closing. I would recommend that this lease also be reviewed and that the rent reflect a prorata amount ofl purchase price, and that well in advance of March 1, 1992, Maple Island be billed for the increased amount. Last, LeaSe~49~$ with the Stillwater Yacht Club. This calls for the suilic:>r$3, 500!. 00 per year payable in advance, and the yearly amount has been ~npaid for 2 years. The lease amounts are due on or before June 1~t of each year, and the lease, therefore, is seriously in ~efault. We did not assume any part of this delinquent obligation, except that we agree to rebate to the railroad 26 days worth of the new lease amount, beginning June 1, 1991, when and if we secure the unpaid amounts due on this lease. I would also recommend that this lease be reviewed and that the rental amount be adjusted based upon the prorata share of the purchase price. This should be done immediately, and the Yacht Club billed for the increased amount beginning retroactively on June 1, 19~1. Since all of these lea~i es were drafted, prepared and n.egotiated by Burlington No thern Railroad, successor in interest to Glacier Park, they are a I strong leases in favor of the landlord. It is the Obliga~ion of the tenants in each case to pay all taxes due and payab e in every year, and in addition all installments of special'ass ssments that are payable therewith. Each lease contains an~ indemnity and hold-harmless provision that offers some protection to the City from claims" arising under the lease. In addition, there is no obligation on t.".he part of the City as lanr. lord to pay any cost or other maintenance items involving the leased premisis. , I None of the leases shobld involve the payment of real estate taxes by the City since th~ portion leased to private parties requires that the lessee pa~ these taxes, and the 2 City leases will be exempt from taxes fpr the year payable in 1992 since the City was in possession and ~ fee owner of these properties prior to July 1, 1991. ' I am delivering a copyl of this summary and copies of ea<3h lease to Rob McGarry, our irsurance carrier, for his review. Please let me know if ther~ is anything further. I i I I e e e CITY c8 S T ILL W A-I' t k t IVIII'J I~ . Opl' e -1- - -- I rR.<9M;!; PECr. c~,v('. ...~ ..' ,J?L r. . wnu I- "'''''''''~''';L/A/E-' l 5 ~ ""''' , :>' ::: Pt7PEYE's ,y rAVE-€' N JNt?R~L/;ve- ~ t!:LEY. ~ ~ ,/ a. 7 ~-. 0 - " ::-...;:-.....~ 25; 2_;<(,4; '"'. ~;:-.....::-... / " ~ 50' ~ I ',,- <~-' I /.(;)) /- ". "'l:::<- I I lic! \ E;~ ~ L__L.~Ji~'~;~,~~:~~r=>~qq i7JJ____1 ~ I ~. -=4'-- ---- _.---4_ . .- L_ - . $r I'rNS I Ht/L.8c;eer 5r. /1..5' J'~vvn ON, \ I C/7r I ~/?,tt'5 --' 5?//Tl/5 b.;..v.,N~I1/..v I I . I /~ 'f}?~i'i, ( I I I '" r ~ if' I " ~f"'''''-z:;.,.., --5:LY-' L.;";4' '-'-,Mn'#;-.R;P~-- sJ":;r-- J . L. - \ ~ I I i I ~ I I I I I I J \\ I ",- END cF ~ Sr.,All"1 St=W~R- OvTL6'r ,. / , // ~ 7 "/ /' '/ '/ '/ / I I , \- J / / "/ r '=" Survey Prepared ExclusivelY For: \.J~ O~ ../' // ." e. tit e -- .' NOTICE OF TERMINATION February 18, 1992 stillwater Yacht Club, 422 E. Mulberry street P.O. Box 231 Stillwater, MN 55082 Inc. RE: Lease #099971, Dated the 28th of August, 1968, By and Between the City of Stillwater and Muller Boat Works, Inc., the interest of Muller Boat Works now the property of Stillwater Yacht Club. You are hereby given notice pursuant to Paragraph 9 of Railroad Lease 99971, made applicable to the above lease by reference, a copy of the Lease attached hereto, that effective 30 days from February 21, 1992, this Lease is hereby cancelled, annulled and terminated by order of the City Council this /~ day of February, 1992. I ATTEST: Ma~JO~C~ ASSIGNMENT AND ASSUMPTION e THIS ASSIGNMENT, made thi s ...2/J'# day of ~ , 1991, between GLACIER PARK COMPANY (Assignor), a Delaware 66rporation, and the CITY OF STILLWATER (Assignee). WITNESSETH THAT: WHEREAS, Assignor has sold to Assignee certain premises situated in or near St ill water, County of Wash i ngton, State of Mi nnesota, 1 ega 11 y descri bed on Exhi bit A attached hereto and hereby made a part hereof (Premises); and WHEREAS, Assignor holds the Lessor's interest in that certain lease agreement, Number 099,971 dated July 10, 1968, by and between Glacier Park Company, by itself as successor in interest to Burlington Northern Railroad Company, as Lessor, and the City of Stillwater, as Lessee, a copy of which is attached hereto as Exhibit B and hereby made a part hereof (Lease); and - WHEREAS, the property covered by the Lease is included in the Premises sold to the Assignee; e NOW, THEREFORE, in consideration of One Dollar ($1.00) and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the parties hereto hereby agree as follows: Assignor does hereby grant, transfer and assign to Assignee all of its rights as Lessor in the Lease. Assignee hereby accepts this Assignment and assumes the lease and agrees to faithfully abide by, perform, and discharge each and every term, covenant, and condition of the Lease which are to be performed by the Lessor thereunder from the date hereof and to defend and hold Assignor harmless from any lawsuits, claims, damages, costs and expenses, including actual attorneys' fees arising in connection with the Lease. This Assignment and Assumption shall be binding upon and inure to the benefit of the successors and assigns of the parties hereto. The parties hereto have duly executed this Assignment and Assumption the day and year first above written. ASSIGNOR ASSIGNEE e Titl e: JJ:r r. ~'ahrr CITY OF STILLWATER By:;;4 ~ Title: ~ " J (, P:~: ~~;.:: r SOl2S 8. Property Management e e tit EXHIBIT "All Parcel 1 That portion of Lots 1 through 8, Block 18, Original Town of Stillwater, Washington County, Minnesota, all described as follows, to-wit: The Easterly 20.0 feet of said Lots 1 through 7, Block 18, lying We~terly of the Westerly right-of-way line of N. Water Street, according to the recorded plat thereof, and the Northerly 10.0 feet of the most Easterly 20.0 feet of said Lot 8, Block 18, lying Westerly of said Westerly right-of-way of said N. Water Street. Parcel 2 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 66.0 feet Easterly of, as measured at right angles to, Burlington Northern Railroad Company1s (formerly Northern Pacific Railway Company's) Original Main Track centerline, as originally located and constructed; EXCEPTING THEREFROM all that portion of the 23.5 foot wide strip of Burlington Northern Railroad Company's right-of-way, being 8.5 feet wide on the West side and 15.0 feet wide on the East side of said Original Main Track centerline upon, over and across said Block 27. Parce 1 3 That portion of Block 18, Original Town of Stillwater, Minnesota; and that portion of the Easterly extension of Commercial 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) New Main Track centerline,' as now located and. constructed, and between the Easterly extensions of East Myrtle Street and East Mulberry Street, according to the recorded plat thereof. Parcel 4 That portion of the SE1NEl and the MEiSEl of Section 28, T30N, R20W, 4th P,M., Washington County, Minnesota, and that portion of Blocks 18 and 27, Original Town of Stillwater, Minnesota, all described as follows, to-wit: q;f .-.;- e Commencing at the intersection of the Westerly produced Northerly right-of-way line of E.Myrtle Street, according to the recorded plat thereof, and the shoreline of Lake St. Croix, Minnesota; thence Northerly along said shoreline to a point perpendicularly distant 140.0 feet Northerly of the Northerly right-of-way line of said Myrtle Street, being the True Point of Beginning of the parcel to be described; thence Northerly along said shoreline to the point of intersection with the Easterly produced Northerly line of Lot 4, Block 17, Stillwater, Washington County, Minnesota; thence Westerly along said produced line to a line drawn parallel with and perpendicularly distant 8.5 feet Easterly of Bu~l.ington Northern Railroad Company's (formerly Northern Pacific Railway Company's) most Easterly Spur track centerline, as now located and constructed upon, over and across said Section 28; thence Southerly along said parallel line and producedlU.O feet Southerly of the Southerly terminus of said Spur track centerline; thence Westerly at right angles to said parallel line a distance of 17.0 feet; thence Northerly and parallel with said Spur track centerline a distance of 20.0 feet; thence Westerly at right angles to said Spur track centerline to the point of intersection with a line drawn parallel with and perpendicularly distant 15.0 feet Easterly of Burlington Northern Railroad Company's most Easterly track centerline, as now 'located and constructed; thence Southerly along said parallel line to the point of intersection with a line drawn parallel with and distant 8.5 feet Easterly of, as measured at right angles to, said Railroad Company's Original Main Track centerline, as originally located and constructed; thence Southerly parallel with said Main Track centerline to the Northerly line extended of E. Myrtle Street; thence Easterly along said extended Northerly line of Myrtle Street to the intersection with a line drawn parallel with and distant 66.0 feet Easterly of, as measured at 'right angles to, said Original Main Track centerline; thence Northerly parallel with said Main Track centerline to the intersection with a line drawn through the True Point of Beginning and parallel with said Northerly line of E. Myrtle Street; thence Easterly to the True Point of Beginning. e e List # 2 Sequen~e # 231 108.20.2/231 ~ L--- /'i-t /-6 I / '0" e August 22, 19H6 Mr. ~ile Kriesel City of Stil1wat~r 216 North 4th Street Stil1~at~r, Mh 55iJ82 O~dr Mr. Kr-iescl: RE: Ledse 99971 (NP) - Stillwater, M~ This is ifi f'egard to th~ r"'?nu.l estdol1sheu for ~he Cibove caption.:Q h:ilse. e ill <inalyzing the curr~f1t rent, '"e have determined th~t an .!djustment is necessary to reflect ecou03lic chanyes thdt have ;Jccurred in rec;;!nt jears. 5asi:d on ddtd ata; 1.lble tCJ us, we have concluded the renti!l should be $2,500.'YJ per year. pdj'ilt,]e donur:lllj in ~dvance, effectilfe May 1, 1987. As a m~t~er of clarification. quoting the r~nt for a sp~cific p~riod and payment ill advance does Ilot convert tne lease to a defin; ti: term. Thi s letter is a suppletnent to jour lease, which wi 11 remain ilt etfect except as h1!reby dlOeJlded. Sincere 1.1 , I. B. M. Cards c1:? I C. fj.J :DL-E.. Date <3/ ~6/~/, _. G. F. Sullivan Supervisor Rental Adjustments bg fs~22 . 5 :":' ';' ._ .:, L I- A.-. ~ .. I". bee: O. J. Norman e I I I ~~TE.TERM LEASE. -- 9-62 1 R.W.l NO. 99971 NO~:rHERN PACIFIC RAILWAY COMPANY. hereinolter called Railway Company. hereby leau, to OI'l'Y OF STILLWATER, a munioipal corporation of the state of Minnesota, e Less.., the following premises, at ; ."1 Waahlngton I i and Slale of Stillwater Minnesota. h.relnaft.r called Station in the County of to..wit: That portion of Railway Company's property in Section 28, Town- ship 3Q North, Range 20 West, Fourth Principal Meridian, shown cQlored YELLOW' Ion the plat hereto attached, marked Exhibit "A", dated PebrUary 1, 196~ and JIII1de a part hereor. . , ." ,.. , '4,' . H. .'. ";' ;"t. .'Ii. . .l : ~ ' " e TO HAVE AND TO HOLD subject to the provilions. following and until this leose is t.rminated as h.reinaft.r provided: 1. Thi~ tease.sholl~. .effective from the date h.r/tOf or from the effective dote if any is hereinaft.r provided; and Lessee shall occupy sotd:premlses Within ."'.e monlhs from said .ffective dare for ,h" purpo~e of ma1nt 1 1 . b11 parking lot and boat landing area thereon and tor no ~tRe~gparg~8e.o 2. As annual renlal L..... ,hall pay in adyance Ihe Jum of One Thousand Two Hundred and No/lOO Dollars ($1200.00). 3. (a) Lessee shall pay all general taxes, Iicenle fees, or otber charges applicable to or asses5ed ogoinst soid premises, or ony por' thoreof, during the term of this 'e05e, .~"i.A"",.n....~__th..,_~r_._.__,_,,_,,_,. , e.,..n though such ta..s, licons. feos, Ot o.th~r C'haq~~s may not boco~e' d",e ond payable until oft.r expiration or concelluti",,, of thi:. I(!()ul. Any specinl asses~ment for pub. I,c Improvo~n~nts assels~d or ',Ctviod against said premisGs, or any part th~reof, will be paid by RClilwuy Company, and the annual rental spelZlflCtd above will bet Increased from tho dott', of such poymen,t in 0 '.oum equal to 8% of the amount of such special assess- mont. If anYit~xDS or special assossment is applicable to or O$so$s~d or levied o:Joinst any froct or porcel of which said premisos ~ro Q ~ort, ~a,dwQY Company may allocato the ,taxes or special assessment among ,he various palts of said 'foct Of purcol, includ- Ing. Said prof"ues. I? coso of taxos, Lessee wdl pay the pod allocutcd to said p'~mjses; and in the case of special ossossrnsnh, Railway Company will pay the same and Lesseo wi II pay increased rental os aLove provided. ~b),ln coso of nonpayment of rontol, taxes, license fees, or ~")ther charges, tile some sholl, until paid, constitute 0 lien upon any bUilding, a. othor property owned by Lessoo located upon said premises, and tho lien may le foreclosed according to low. LOlso. shall not remavo said buildings or other property until said rental, taxes, license fees, or other chargo. hovo beon paid, unleu, directed to do so by Railway Company. 4. Railway Company resorves the right to chanilo tho rental stipulated hl':rein at any time while this leoso romoins in effect. 5. Without tho consent and approval of tho Division Suporintendent of Roilwny Co.npony, no :totructure sholl bo oroch,d on said promises by-l.esso. if the some is not to bo placed parallel '0 the main troLk of Railway Compony. Lessee sholl nol ploco or p.r4 mi' to be placed any advertising moiler upon any pari of said premi sos or upon any improvornents thereon except such os is nece,. 50ry to advertise Lessee's own business. 6. (0) ~a building or Itructurilt erocted on soid premises !hall hova 0 swir',ging door or window opening towards ony railway track which, when open, will restrict the clearance to loss them 8.5 l~e' frcfTl the cOllter line of such track. (b) Lossoo shallllot placo or permit to be placed, or to romain, ony mQh~I'iol. $-trueture, pole, or other obstruction within 8.5 feat lotnally of tho center line, or within 23 foot vertically from the top of tl1010ils of OilY track. (c) Loss.o ogreds to indemnify and 50'10 harmless Railway Compony from all loss, damago, ponalties, costs, or judgments thot may bo ,assessed against or recoverod from it on .:Jccounl of or in any manner growing out of a violation of tho provi sions of thi s parogr.of." 6. ... . < .. 7. (a) It!is undorstood by the parties that said promises arc in dongerouI proximity to the trocks of Railway (o'npany and that property on ~oid premises will he in danger of injury o'r destruction by fire incident to the operation, main.tenanc~, or improvem<<nt of the 'roilwqr, and Lossoe accepts thi!> leose subject to sudr ~Dngers. It i:r; ther.fore- agreed, os one of the material considerations of this leaa, without which the some would not bo granted, that lease. assume" 011 risk of ID!.s, damoqc, or destruction by fire to buildin~s or,contents or to any other property brought "'pan or in proximity to said pr"mises by L.essee, Of by any other penon with tho ton sent or knowledge of Lelsoe, without ..gord to whether such .fire be the result of neQligenctt or mi sconduct of ony person In the employ or service of Railway Company or of defectivo oppliances, engines, or machinery, -except 10 the premises of Railway Company and to rolling stock belonging to Railway Company or to others, and to shipments. of third parties in the course of Irons. portotion. L~ssee heroby indemnifies and agrees to protect Railway C~mpClny fro~ all, such loss, damoga, or destruction to property, including claims and causes of action asserted against Railway Company by any nsurer of said property. , _(~) Lessee al~o agrees' to indemnify and hold harmless Railway Company for 1055, damage, injury, or ~eath from any oc:I.O' ~mis,.,i~n of:Lessoo" L~$ute's in...itoos licensees, employes, or ~~e,nts, t-?~ the person o~ pr,o~ert)' ?f the part.les horet~ andt~HH~ ~ma plo)'cs' and:to the pelSon or proporty 01 any other perSQ'1 or corporation whl!e on or Iloar 'SOld premises; and d any claim or hab,llty other than' from firo shall arise from tho joint or concurring negligence of both portie-s hercto~ it sholl be borne by them equally. "~.. 'It~ is ~greedthQ~ thop'ovi~,ions of.poragrQP'~s.6 and 7 aro for th~ equal rrot~ction.of .~!,y .other railroad compony or c:omponios heretoforo or hereafter gran'\edlhe joint use of Railway Company's property 0 which :,old premises ore a port. -:9.~:N~iwit'utandjn9~ ony requirement Herein for r.oymen' of rental in odvance for 0 period in e-)(ce'j,~ of one month, either porty may ot',any Ii",:e ter:ninato this lease thirty (30) days a hr written no-tice to the other party of termination. Lessee sholl 9iv~ its nOli,elf to ~h. M;~,~a,or, In~us!r,iQI p~velopment, of _RaJlway Company by United Stat~s moi1. Roilwoy Company ,:"oy give its notice in the same m~nne, 10 Lessee at Stillwater 1II1nnesn+;J11 or may ....serv' ~Qm. personally on Lossee or posr on-sGiapremill's"':" Any notice given by United Stutc~ mail sholl be effoc.tivo upon rhe dote it j:s,doposit~(in t~e moils. . '. ... 10. Upon,the termination of th,s Icaso punuont to the provisions of paragraph 9, Less._~c:, Ldore die expiration date fiJll:ed in tho n~tico a..nd ~xcep' as ot~etwi$e provided in paro~raph: 3 (b) hereof, ,sha. II tomo. '10 its, property _\Jod irnprovelllenh fro~ said PI~m.ise.s \ and'fill all txcav,ations thfneon; and in caso of failure to.do so, ~ailway ~ompany may ~emQ,"'e such prOP,orty and lfnp,.avom.nt~ opd \fill the excavations ot the CO$t of Lessee or may appropriate the some to Its own use wltflout cOlTlpeosotlon. ! . \ i e ,- ~'-=:y ,,~ 1'::1:3 \:~Hl };:-,,: ~T :\'~ade 0nd 110<; entered into tlli 5 -2 {., (h:, of Jucl;;" 19ff b:, e an1 betl,'ecn the ClT,' ;:,~ :>i'IL1!,.,'j';:: ",I :':l"ll It ",HT 'i,r\l:,', fICUr(POH\'i'LlJ, "ij'L'it.::2t.'1'1i: I ',crlERFc\E' The Citv of ::tilh"]tcr ,,']:' l("J~E'rl from :lo1'the1'n P:Jcific lbihny ! CO'F'3nv prODe1'tv e(Y'1I~()!11:; l!nll\'1O ,lS \"I1}'.1('r1'" "oi nt in the Ci tv 0" StilhlatEr for I thli' rur:J'JSe of ve"iele t-"rl';in,'. :Jnd I I 'jiJ.i<iU:. (C' a "orti on OJ' said nrorert.: i [" Slli b "le for vehicle parkin,-' to SElvice a b03t lallr:chi':g concession oncr,'Jted b,r Huller Bo:)t ':Iorks, Incorponted C )1tLfTPC'1l:3 to the S:l!'llC, :.~ '\} 1:1.i':L.[;'-::d, I In con"idrrltio:l of the CillO of' Fight Hundred and Fifty Dollars (.i:,f~SO.OO) i "3!'3 : lS~h Ie in tbl'ee ec;,.1J ,,:onthl:/ inrl'II1'vntf' on Lbc ISlh d'l:, of July, Vj(,P, the del.I' of ltugl1st, ]C)'r and the lSth d3"' 01' ::cptembcr, ]eft, Uw Cic:r of SUlhnter d" ~ i!nnt unto Huller ])0:1 t l-Io1'k", 1ncorron tcd, the privilc'c of utilizing dl.ring ~(,~h months :lOd times a~' their boat l:l\lllchi ng f':Jcili.tiui 'II'(; in or;criltiCJIl, for i \lSt' b\,.thcir Piltron".. 0.1'. narl<ing f.lcilitics f~' the calendar year lOrp. 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OSI _ ' i ,1 "'>':~'fl; ~.',~r\i', N ' ' · L'", I, '. -'f. , jl!"lt <~J. t,:, ':t. r'l ,Ii;: \. ,~~,\", 'i ~ .~ ,: ,.;r,' ,; . \ ,: it" .. -3.IT//"., j"'I)'i" ~ "__.41'- : ~ { ~ II ' ~ ' , ' ~ ;.. II . '. "j,." /, '{ h~'i~' I, '\;~{ Ii i')11'&\ ~'" to - j- I I I I ~ s .. .... '. ." .." ~ :......; I. ~.~ , I ',c <'/,. 0 . '-:-:iL~~~~':"?:t,-_~_. :.:~> ,/J:.,;,>. '_H_~ 'SOOtl. ^-. I ".~. ~'~ -, . / f) ~/ 'I _'. ,,< . i y,~) ,.y// "", ~ ' Ft.-, f<'(:'? ~~4" 006" · ~\ ., I .. I . 14 V.....o . '. J ;,: ~ I I'.. /D"" i"!'.J', f /~ y, _.1",_ Ic::,+.,~ '~..,~ .. , --.."" " j . .;~ .. ~. 9'1 .1 LI. r .. . - - '-iT- . _ .. ! . . --- --- . . u~ ..... .~ -I 1. .~. I\1W'N '. . --..:...: ::::..:::::--- " '~~.- -".............~.., " .... CJ e e / j / L<; I " \) "" e'- " " ~ e t. .." 't\ \ B \ \" " p..." .\\..\..~f\"'t.R, M\NN. ':lc.o\e. ,": \OQ ~eh~, \~<O4 I t.)' -...;..,../ I ~ i: c" __ !"':j Cope Con~. "! ~"jj,Q " ~j"h-' P. )OH,' ....n..; ~ . : <r-- . c c: Jf!J::!~~~-~~;-~~~~.:!.:~. io' "I e '-,C .. ._. ___.. .___. ~l" ~-:....:...:~:--..:~_-.::-~ _._ . PI "{'Olh.. ~tor09111 j' __J ._ _'to _. 'O.if'.___~ 6"c. =. P. I .II 6")2.' .,....plr 1!I~nd,,!.~L-:\ :- --r'-' ,----~- . . ,:, 1s1anci, Inc. .1 ,j Jniry : '1 I 0:; 1. 1'P~~. ~MS i~ , ., j~ . _ ~'0_~' 110 .. I\')d -- '2.4<0'.- .. n ...... :~--:'T-'; i It: j: ~: I t f n. l~.. I :,~~ v; ~I8 if~ ~ ! (s ;;., : .~__ ~~ i . iff "'1:'" .~;~ . .., [;r' ~.: ~<f) ['0 I w >- <1: N 5T. S. MAIN } I i~ r.....r... ! i 7.G ....:... " oJ:~\ I I .. !vIYRTLE Al'..LEY _I l I 'j <( , I \8 I I U , : j D:: 0 i I 1..1 " i : . , I "-;; .,.::.. ::>- I 0 i U S, I _r.~.. J r;J .--.".---....---. ~O2 2.5 I ...'D.l ~~ .1 5. UNtON III _.1 Co t-. " r.-: ! >. i I " I .1--- !'.' l.J I ~,O I ~.? \0 S. SECOND e , \C:. \ \ ,_1 \ II " \ ',\ t9-"iP \ II \ ' i,; \'.. \~: ~'4~' 1\\\ t' \ I I.l--Sj ,\' \ " \~ 11, t' . . j ,'\ I,' l':L- P.'pJlap . . -, -r a, . ":Iay t.JJ... 1'-\-': [--1 I I I I ST \.'t) i I I I I _..___._1 ! i -^ I ...:i__--' t . '::1 -/ ~. ~ I.' (/) ltl :r: C) ld aO' NOTICE OF TERMINATION 4t February 18, 1992 stillwater Yacht Club, Inc. 422 E. Mulberry street P.O. Box 231 Stillwater, MN 55082 RE: Lease #249,934 Dated June 1, 1986, By and Between Glacier Park Company as Lessor and Stillwater Yacht Club, Inc. as Lessee, the interest of Glacier Park Company assigned to the City of Stillwaier, a Municipal Corporation on the 27th of June, 1 991 . You are hereby given notice pursuant to Paragraph 14 of the Lease, a copy of which is attached hereto, that effective 30 days from February 21, 1992, this Lease is in all ways cancelled, terminated and annulled by order of the City Council of the City of Stillwater. . Dated this (g<l- day of ~ ' 1992. e ATTEST: ~o~~ 4t ASSIGNMENT AND ASSUMPTION e THIS ASSIGNMENT, made thi s c!2/)y/1 day of between GLACIER PARK COMPANY (Assignor), a Oelaware CITY OF STILLWATER (Assignee). WITNESSETH THAT: , 1991, rporation, and the WHEREAS, Assignor has sold to Assignee certain premises situated in or near Stillwater, County of Washington, State of Minnesota, legally descri bed on Exh i bit A attached hereto and hereby made a part hereof (Premises); and WHEREAS, Assignor holds the Lessor's interest in that certain lease agreement, Number 249,934 dated June 1, 1986, by and between Glacier Park Company, by itself as successor in interest to Burlington Northern Railroad Company, as Lessor, and Stillwater Yacht Club, Inc., as Lessee, a copy of which is attached hereto as Exhibit B and hereby made a part hereof (Lease); and - WHEREAS, the property covered by the Lease is included in the Premises sold to the Assignee; e NOW, THEREFORE, in consideration of One Dollar ($1.00) and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the parties hereto hereby agree as follows: Assignor does hereby grant, transfer and assign to Assignee all of its rights as Lessor in the Lease. Assignee hereby accepts this Assignment and assumes the lease and agrees to faithfully abide by, perform, and discharge each and every term, covenant, and condition of the Lease which are to be performed by the Lessor thereunder from the date hereof and to defend and hold Assignor harmless from any lawsuits, claims, damages, costs and expenses, including actual attorneys' fees arising in connection with the Lease. This Assignment and Assumption shall be binding upon and inure to the benefit of the successors and assigns of the parties hereto. The parties hereto have duly executed this Assignment and Assumption the day and year first above written. ASSIGNOR ASSIGNEE e CITY OF STILLWATER By: By: JiJat7 ~ Title: ~ I 1 '~, C " 1 T'tl -. .,,11 . ',' ",'''T 1 e: . ~ " kCilcger Sales & Property Management e e e EXHIBIT "A" Parcel 1 , That portion of Lots 1 through 8, Block 18, Original Town of Stillwater, Washington County, Minnesota, all described as follows, to-wit: The Easterly 20.0 feet of said Lots 1 through 7, Block 18, lying Wes~erly of the Westerly right-of-way line of N. Water Street, according to the recorded plat thereof, and the Northerly 10.0 feet of the most Easterly 20.0 feet of said Lot 8, Block 18, lying Westerly of said Westerly right-of-way of said N. Water Street. P a rce 1 2 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 66.0 feet Easterly of, as measured at right angles to, Burlington Northern Rail~oad Company's (formerly Northern Pacific Railway Company's) Original Main Track centerline, as originally located and constructed; EXCEPTING THEREFROM all that portion of the 23.5 foot wide strip of Burlington Northern Railroad Company's right-of-way, being 8.5 feet wide on the West side and 15.0 feet wide on the East side of said Original Main Track centerline upon, over and across said Block 27. Parcel 3 That portion of Block 18, Original Town of Stillwater, Minnesota; and that portion of the Easterly extension of Commercial 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.S feet Westerly of, as measured'at right angles to, Burlington Northern Railroad Company's (formerly Northern Pacific Railway Company 'S) New Ma i n Track centerl i ne" as now 1 ocated and. constructed, and between the Easterly extensions of East Myrtle Street and East Mulberry Street, according to the recorded plat thereof. Parcel 4 That portion of the SE~NE! and the NE:SE! of Section 28, T30N, R20W, 4th P.M., Washington County, Minnesota, and that portion of Blocks 18 and 27, Original Town of Stillwater, Minnesota, all described as follows, to-wit: dip ~ ,; ....~. e Commencing at the intersection of the Westerly produced Northerly right-of-way line of E. Myrtle Street, according to the recorded plat thereof, and the shoreline of lake St. Croix, Minnesota; thence Northerly along said shoreline to a point perpendicularly distant 140.0 feet Northerly of the Northerly right-of-way line of said Myrtle Street, being the True Point of Beginning of the parcel to be described; thence Northerly along said .shoreline to the point of intersection with the Easterly produced Northerly line of Lot 4, Block 17, Stillwater, Washington County, Minnesota; thence Westerly along said produced line to a line drawn parallel with and perpendicularly distant 8.5 feet Easterly of Butl,ington Northern Railroad Company's (formerly Northern Pacific Railway Company's) most Easterly Spur track centerline, as now located and constructed upon, over and across said Section 28; thence Southerly along said parallel line and produced 10.0 feet Southerly of the Southerly terminus of said Spur track centerline; thence Westerly at right angles to said parallel line a distance of 17.0 feet; thence Northerly and parallel with said Spur track centerline a distance of 20.0 feet; thence Westerly at right angles to said Spur track centerline to the point of intersection with a line drawn parallel with and perpendicularly distant 15.0 feet Easterly of Burlington Northern Railroad Company's most Easterly track centerline, as now located and constructed; thence Southerly along said parallel line to the point of intersection with a line drawn parallel with and distant 8.5 feet Easterly of, as measured at right angles to, said Railroad Company's Original Main Track centerline, as originally located and constructed; thence Southerly parallel with said Main Track centerline to the Northerly line extended of E. Myrtle Street; thence Easterly along said extended Northerly line of Myrtle Street to the intersection with a line drawn parallel with and distant 66.0 feet Easterly of, as measured at 'right angles to, said Original Main Track centerline; thence Northerly parallel with said Main Track centerline to the intersection with a line drawn through the True Point of Beginning and parallel with said Northerly line of E. Myrtle Street; thence Easterly to the True Point of Beginning. e e List # 2 Sequence # 231 108.20.2/231 ~ e e e '( L'fff / f:j /7 /flJ'P c:; Glacier Park Company ilEAL eSTATE oevEI.OPYENT ANO MAnAGEMENT A SUBSIOIARY OF BUAUNGTOH NOFmlEAN 1He. November 4, 1987 Mr. Charles Stone Stillwater Yacht Club, Inc. 422 E. Mulberry Street Stillwater, MN 55082 Dear Mr. Stone: RE: Lease 249,934 - parking area and roadway - Stillwater, MN Attached is your completed copy of this lease which is effective as of June 1, 1986 at a rental of $1,750.00 per annum. Per our telephone conference callan November 3, there is additional rental due to put this lease on a current basis. Our rental computation is as follows: (Rental has been paid at $1,440.00 annually through April 30, 1988) Rental due for 2 years from 6-1-86 to 5-31-88 - $3,500.00 Less credit for period 6-1-86 to 5-31-87 - -1,440.00 Less credit fo.r 334 days from 6-1-87 to 4-30-88 -1,317.70 Additional rental due through 5-31-88 $ 742.30 You are also hereby advised that the rental under this lease is being increased to the rate of $3,500.00 per annum effective as of June 1, 1988, as discussed in our conference call. This letter is a supplement to your lease, which will remain in effect on an indefinite term basis except as hereby amended. Sincerely, G. P. Peppard Manager-Property Management bc: C. F. Tye - Copy of agreement attached. M. E. Kemp - Copy of agreement attached. J. M. Reran - Copy of agreement attached. J. L. Simons - Print attached. 2000 Foshay Tower, 821 Ma,quette Ave.. . Minneapolis. MN 55402 . 612-782-3010 , 'i rOO I~:' l'r ! -J \ ',." . ",':' . '!~1('-'" IPi'; : .:. '. Ii.'; I , .':' ',: I;' ~ ,. r ,,"/ .', , " r .': ~ f ~. 11 i' ";;.r" " . "~SI/lEtIlS MAY CM/. "OUEcr Innl A78.USe '.;r~ 11'...-.:l/:'po",.:,', .t"J~ ':I("t:....'.~ I.,:.. ..-- BURLINGTON I lEASE NO ~ NORTHERN If' .~ ~ RAILROAD_ 249,934 rJJff" [ . - -: APPUCA lion r.on I.I:A,',>r= ")0' OHlGlriAL_ . r ",~'AP~"C:T~~_u_ . ,,:.,~ f: ,t. .~" II';' In'UVItt.EII on ,-nun l.f(UfJ'.V. r'P "~ (IHEn OUT BY APPUCI\tH I. PlfCANT'S TElEPHONE NUM8E 9 "NelUDlNG AnEA COOEl HOME I OFFICE: HOME o OFFICE e '176-2469 439-5658 NO NA wtlA M ONlY an lOOM ., COUNTY 9'A' St i Ilwater o L NA E 0 A on OF PPl C NI ,Al 0 INCLUDE. BllllNO nE S If: NOI HlE"SA ): Washin ton Minnesota Stillwater Yacht Club, Inc. 422 E. Mulberry'Street Stillwater, MN. 55082 Billing: P.O. Box 231 Stillwater, 55082 T 8 A con 10 .IN WHAt stAlE lEGALLY fNConronA1EO? 1" AN 'N"'VI/JV^<, "N"EA WltAT FlAM NAME ,. BU"NESS CONDUCT EO' ._.____.!!.ktJl/.(!,t'1'} -!--..,.... IF PARTNERSHIP, ulVE NAMES & ;..~fPARTNERS: I. PRECISELY WHAr PnoPERTY tS neOUlnEOl (AtTACH A SKETCH 10 SHOw BITE, INCLUDING DIMENSIONS): t ' .___________._.~H~....~hed ~..t _rkedExLlblt -AW . SP CI Y SEWIl OF TE: Parking ^rea t:7nd rCld/ U/dY DYES [jNO . UST A l LDING OR STRUCTURES PRESENtlY ON SIlE: None AND A1BE ANY BUtl01NQ OR fA T R S TO B RECTEO ON St E AND ESTlM"TED OOST: None . AI' l T REOUEST UPANCY ON: IMONTH, AY, YEAR) June I, 1986 10. DOES PlICANT H VE OTHER PROPE TY AT THIS LOC flON UNOER lEASE1 (IF Y S, SPECIFY LEASE 0_1 tt. RElssue--.' APPlICABlEI: THIS APPlICAnQN IS A nEOUUI Fon ADOlIIONAl ADJACENt rnorERTY, on ELIMINATION OF mDPERTV COVERED BY AN EXISllNG LEASE OF APPLICANT, e LEAS'''' NO.' I DATED' 12. TRANSFER- (IF PPlICAOLEt: HilS APPlICAflON COVEns F'fU)PEnTY lINDEn A CUR"EN1 lEASEIS) IIElO BY ANOTtIEn COMPANY OR INOIVIDUAL WILLING TO mANstER THe mOf'ERTY YO APPUCA"': IAPPllCANT MUST A"ACl-i A tEnF.R FROM lifE MESEtH lESSEE AUflfORllltrO CANClil.Y'TlON orZ1UE -"ESENTlEASEIS!h . / h -/ /L L. E)(I,"NOLEASElS,NO" DAlEO I ISSUED TO, A''''y /'. /tJd//t"r ~ O'eOi:f't! p. . ~#//'r/ V/O/'C7 77075 (NP) 5/20/55 Muller Boat Works / 13. An THER AN P ClAl B 9 CON I e EO APPLICANT SHOULD NOW CAREFULLY READ THE FOLLOWING LEASE AGREEMENT. IF RAILROAD IS WILLING TO LEASE THE SITE TO APPLICANT, IT WILL FILl. IN THE RENTAl. RATE AND EFFECTIVE DATE AND RETURN THE AGREEMENT FOR APPLICANTS SIGNATURE. IF THE PROPERTY IS DESIRED FOR USE AS A PUBLIC ELEVATOR, BULK OIL STATION, STORAGE OR USE OF HAZARDOUS MATERIAL, RETAIL COMMERCIAL USE, OR USE OF A RAILROAD BUILDING, AND RAILROAD IS AGREEABLE TO LEASING THE PROPERTY FOR SUCH USES, A SPECIAL ADDENDUM WILL BE ATTACHED OR DIFFERENT FORM OF AGREEMENT FURNISHED. I '_.'.'.'_._'" ....... '.0 l[^;,[ .f\{:;'~rTJ";!:r"" 'n fIr; r,orwu:Jrn l1V nAIU10",J ANO SIGNfU RY !1I1rufw.r BURLINGTON NORTHERN RAILROAD COMPANY ("Railroad"), hereby leases to the above- named Applicant ("Lessee"), the property applied for ("Premises"), on the following terms and conditions: 1. This Lease shall commence on _JillNF 1 , 19_8.6.-...-, and, as rental, Lessee shall pay the sum of $ 1,71)0 00 (OnlLlhnllc;;mct Spvpn Hllnctrpd Fifty nn.cLNnllOO nnllnrc;)----- -- - --------- - - --------- - ----- -- -- - ----------- ---------- ---- -------- -- annually in advance. Railroad reserves the right to change rental rates as conditions warrant. Billing or acceptance by Railroad of any rental shall not imply a definite term or otherwise restrict either party from cancelling this Lease as provided in paragraphs 3 and 14. 2. Lessee understands and agrees that Railroad shall apply all of these terms and conditions to any property adjacent to the Premises which Lessee may occupy lust as though the property had been specifically described herein. e 3, RAiLROAD DOES NOT WARRANT ITS TITLE TO THE PREMISES NOR UNDERTAKE TO DEFEND LESSEE IN THE PEACEABLE POSSESSION OR USE THEREOF. NO COVENANT OF QUIET ENJOYMENT IS MADE. This Lease is made subject to all outstanding rights or interests of others. If the Premises are subsequenlly found to be subject to prior claim, this Lease shall terminate, immediately on nollce to that effecl from Railroad. Lessee accepts Ihis Lease subjecl to Ihat possibility. rnrrn If'.OO9 'fl'l '."::'" 1 , I / I I i rONTlNllFn Otl PF\lFnr:F ~lnF ~ e 4. Flailroad le~QIVC:) 10 il:;,''', ,'\lId ..>II11;IS, liO'll 01 f\(;(;f,l:i,'; 10 i1:; adjoinillU I.llopell)' nnd \11~J ,I~II~I II) con3lrllcl. IIwinl'lill !lnd I)! '''1, I I,. 'I," :k:\I H, ("Ilenfl. "ip'!Iinps, sion8! '\lHI cOlllmunicatloll laclli'\l~!:, telowapl1, t'~lephofW, POWHI, "I' P ,.." I If \I '!,111i"'~li(l1l lill/.!::: liP! In. '!~('I, ;\i:IOS5, or lJene<),tl1 Iho 1'18111;:'(':;, willlOul paY"".~nl 01 ;lIlY GUln fill' nnv ';:';";1(J('. iq.,I,"linfJ daln:lqr,>!o Ultlwillg CIOpc-, oGcaslunod lIi~'I!:':I:" lito fore~Joinn rinl1l~.;. (oXGIJplllw Ii:,,!': "r"'~n<~:\ whiclt in IIncolll.lilional), Glwllnot bo f:!xelcined ill ;).111:.11111'" Ihal umeasonably illlUllomn l:iilll I.:~!',!:;nl!'g IIS0 of th~J PremIGP'f;. 5. 1\ is understood tl1al LtJm;ef~ liar; ill!;pnc!IHJ tllO Pmrni~.Hw and tal',ur; tl1em "AS IS". Railroad Is Iwl oblinalod by !1Ii:~ 1,.!,;':".' i... 1',,11' . .:1',' :, '! ': j' ' , ((, ". " .J':, ' " 1 u!".d, " ,,1 ;:111 i \ind 1101 1:.1 .-:onsl.!'II!'1 (IllY IOIl(:I~:; Lessee shall use the PremiSP.f1 ollly in IIw lI1:JnllCI described ill Ihe Application, and shall not cOllslru',;1 01 place ollllta PILlllhu:; ill I,/, '~'!. ,:i ,;:.! 1,,,11,.,,;,1':, ,;IIIIi:IUlll:;, add it iUII:'>, ur illlpIOVeJl1enl,~ ilol. (IfjsGrillf'" inlhe foregoing Appli!'3tion, 01 plalll OIIl'1l1IJV(: II I) ('!1 nlld :,hlllhlmlY, uxenpl wllh expmss wrilloll pennls(~iolt 01 Railroad, and al Lessee's sole IlsI\. 6. (a) Lessp.o 81H'1I pny pi! 1;-1:'1:8. ulililif.)~; nnd olher r;IWIUOs ""hieh ITl<'lY bocolllo due or he levlnd <'Igaillst Il1e PlfJlnir;c,~. agHill':1 1 CC:'''''', ':U:.iw;1 IIIf! bl.lsilws~: condllGled on 11m Pft~lIIisns 01 Hgaill!':! irnprovelllelll.,~ plnc,," 1I11.'r""1I ,1'liiIFllllf: ''1'111:,110111'1 IWlr:ol, p',I(,nllllJllplt !lIJclt la'W(;,Ij.:llf'I"O IN:s or 0111':' charges may nol, IJeconw ,hH' :!I:d 1';/,,1+' 1IIIlii nllo!' C[lII,;rdlHlillll III lIIi:; LfJHr;c. IIllti':; is;:1 "all(;lol ,.!: plOvidecl in linIn I? 1I11.hfl ftlJlll.'.' " ,oIi,:"i.,,,, I n~;':;(:(' '"!!!;l f11:'II',ll :;If:\lIIIP"IOlllq willi Ill(! prn~e!ll, Le!1::'-'" for pAymoll1 01 any delin'lllolll. alld; :lIi":nl lelxm:. ":'llcl1 lHlflnflp.ln.)nl" am not rnfldl~, Lflssee Hglen~ !<: pay all sucl1t<lXOS, If flailre'ad ~;IH>l'''1 ".pl.,() PIIY !;IIc11 paynHll1l!1, I.n!:~"''' shall milflLJlIlsfl RailromJ 101 ,1I1 such sums. (Il) Sl10uld 111<' Plmlli:;,':: j,,! :,""i,:.:ll>) :'I"'.I,i,.1I "nr.;!:::::1I1",,1 k'lI"lllli(; illlplllvelllent[' illUIf.' :'111'.11''1 of Five Hundred DolI"m~ ($500'11l) ('\ I"'.;". (":;!1'!I: !lhall prolllplly lellllLlllI~(J FlnilIP::lcJ Il1e amount ill full Should thf) flsne!'::Slltnlll e~cn'!'1 r'j,:.. I h':I,.IJ'!" [),llIals ($!)OllOOl. lhe ",ptal howin slt;.1I he inr;rol:ls'~,..1 :", twelve (12) percflnl per annUlll nl "It I) lolnl. e (e) In casn 01 nonpnyol!l!lll ilf 11",1:11, I:.IXO:;, 01 ol.hm Ch:II!.lO!';, 11113 sallle sh~llI. until pni!!, ';1'11 stilule a lien on allY LJuildinns (II nU\nr I'IUpAII',' ownod by Lesso/: onlhr. r'1!~Ilri'.;es,ll)lm::lo)sable accurdi'l" to law, Lessen shallnol mIllUVI' !,l,jd t"lildin~ls or propNly ufllil snid rental, laXtH;, 01 olher charges al<: paid, unless directed to do so by RaiIIOCI.d. 7.I.oSSCH) sh;.>1I noll'lacl', ." (,'!lI!!lil. ID I.lf,? pln':ed, any IIlrllf!rial, nllw.:ture, pole 01 other oLJslruGliclll within 13';2 leollalomlly 01 Uw con'''r lilH"' or withill:>1 [',)r,t vNlicall'j' Ir'"lI11 lIw lop C'! Ill(' ,nil of any Ilrwl II, by slalu 10 01 Of ,).::; 01 IIIJI/lit, , 1I n" ,; i' 1, ';!I '."I'.!I Chlill nn<.:,';) ;<1 HII be IOqUiH:d, L'!SSU8 shall :;11 icily (;(lllIpl, wilh such slalutc! or olclor. 11,011 ;1pplic:;:jliflll hv Ln::;," ". ,,jlk'l III 1]0111 '"0 lalma! ;\IIc1 \,(!,IIc;11 r:1C!alHncl'l~ (l1C! pcnniller.lt.) I..," l(l"lll~f!" IJ~' onlnr of "(lIllP/':""" I,,,hlie flIIlIlIHily, Insnn!-' ~:hall stlictly c':I;nl'ly willI t.I>n 1011 liS (If flny P'll"h ')ldPI, <'Inri inrl('nl";';- '111'1 IIold Innl"";'" fbil''':1I1 IlflllI alld nO'lin',! ;IIlY :"vl ;:," claim::;, dl'lll:\Il1.!S, O:<Jl'.lWW" c(),;l~, ;mcl judonl!1111s ;11 billtJ t,l .J if.,\) in!:! ' "II '..'Iu;.;:, ul 01 d;JllI:\!J1: Il' pi OI'W Iy UI injul y 1(' lA' doall I 01 pO' ,;f'OI', OCCUlTing diroctly 01 indilocll\' I>)' IPm)OII 01 ,;ueh rnduGed cloarance, !l:lil,O;IIJ": t '."lilll!,.,d "I.' , , ,,'ill, III:lI"d''''fli! (:1 ;11' ,1f1;I"t1,."id'.,I,,!dlll:,'11 dl~:";III,-,n <;1,::11111':; conslillllo n W:li\!(:1 1I1IIIn k'll, i"il"l ,;,,,,,1',11;11''''' \)( Less(H~ '" of n'li1l'liltl'!;IIUht I,() recover 11)1 ,r-;';flljil'!' darna!Je~ 10 prnpmly or injllfY 10 or dn:Hh 01 p~r~nlm, 13. Losse(~ flhall not p';;IInil III..' f!xi:;lnncn (II any 1!1Ii!JHIH:11 Oil till: I'rol"jse~; flllall \-;1';!E!p Ih';l ['<HI'" in Glenn and snIp cOlldili!)1I <III" r",p ..01 'lilY explosive. 11,\,",,,;,111,. 01 CIJllIlJllf:lihll1 'lII3lotinl which wf.lfll,; incrGn~c lho. Ii:; I,' n~ Ji,n, f)Xc"l': ",",', ;",",,'i"III'~':H:;fl;H)' I'.) I ,,"~;'''.''s hllSillfl!iB; 8hallllothHndln 01 :>1"10.' "'1)' p/)I'~IIIi;,"!;: d"II".:r'~.'II;; 'I' I,,'; I'I::L',; 'I:.; "lid ;:11,,11 1I1l1 1""'lIil 1"1' 01;/:1.1111111;""," "! i"ll!., """II:: ..' 011101 lIn[;iultlly nl:1i"li ,,, 1.<;"" .,11'.'1 : :1, !::.I" IIXI".:lns,! 1"':0'" Ill" r':"llIifoor; ,Ind :;Iny illq"OVf"lIl~111 " \Jour! IOP,li1. I"I.IIII.,:!, I., ':;:H:H! ni, ;11, ":111,1/ ,,'ill, :'Il1:.,l<!ftll, [;1011';, l.y:.II. ,111'.' poli'.:o I/)',I'.IiI('III'.:nl.::, 1l'!J'II: ~; , orc1inancm:; alld '<lWS IClspoclir '! I III" I'i 1"llis(1fl find nclivilin:, Ihereol L e fL L~:;i~;('I: ;;11,,10 'In,i ',;l.!!' ,i I,..,,,;i, ,III!, ",,"dili!)"')!: !ill' "'II'I"i:;(':; IlIil' ',:lI\lld 1.llf.'::;':III;1 il", 10 hUllWII h,:;~1I11 1)1 \'J 1111: (;I"i";II!.'I:"!, ! . :.,:o!.: ',:1,,,11 j,H-'ell1ltiry' dll',IIIUII! IWlllllt.'f;:' n;,1ihl)"tcJ IWIII ;,:II~ :".'; 01 c1~illl ql(J~"iIlU \l'ot .,r nllY ol'\'1I,"I". ,0;,.,,/',,11.. II: II/I! 1")1'11'."\\1::"''-', ill ",';lulo 1'1 il< p,'!:I,I)\, :.\Illluili;::P.i!ld' IInuu(\ollr; f)f d:l\I\/"lolur; 1..0II,lilil)lI ',,"i.L,,<I 1;,', ';1II11;1"II,>:,! 10, '.>1 tl!-l~J1;)'/:.'It'u IJY LI.;:;:,o\:'[; I-'II;;;OIlL'-: ('II '.1'" ? ..;.-~- e LIse of the Premises or Lessee's violation of any laws, ordinances, regulations or requiremenls perlaining 10 solid or other wastes, chemicals, oil and gas, toxic, corrosive, or hazardous materials, air, water (surface or groundwater) or noise pollution, and the stora~)e, handling, use or disposal of any such material. Lessee shall bear the expense 01 all practices or worl~, proventative or remedial, Wllich may be lequired becausfJ of the condition or use of the Premise!;, by Lessee or those claiming by, Ihrough or under Lessee, during Lessee's period of occl/pancy, Lessee oxpressly agrees Ihat Ihe indemnification and hold harmless obligations it hereby assumes slwll survive c<lncellation of Ihis Lease. Lessee agrees Ihal stalulory limitation periods on actions 10 enforce those ol>li{jations shall not be deemed to commence until Railroad discovers any such health or environmental imp::\irlllenl, and Lessee hereby knowingly and voluntarily waives the benefits of any shorter Iimilation period. 10. 11 is underslood by Lessee thaI Ihe Premises are in dangerous proximity to railroad Iracks ami that persons and property on PlP.l1li~;os will be in danger of injury, death or destruction incidenlto the operation ollhe railroad, includino, without Iimili1tion, tho risl< 01 dmailment, lire, or inadequate clearance (including sight clearance or visioll ohslructioll problems al grade crossings on or adjacenl to Ihe Premises), and Lessee accepts this Lease subjecl 10 such dangers. e Lessee understands, as one of Ihe material considerations of this Lease without which it would not be granted, thaI Lessee assumos nil r isl< 01 injlHY 10 or dealh 01 all persons, and damage to or loss or destruction 01 buildings, con ton Is, or olher proporly (includinu animals) brought upon or in proximily to Ihe Premises by Lossee, or by any ollwr pelson with the Gonsenl or knowledge of Lessee, WITHOUT REGARD TO WHETHER SUCH fiE THE Rr:SLJLl Or- NEGLIGENCE OR MISCONDUCT OFANY PERSON IN THE EMPLOY OR SERVICE OF rlAltROAD OR OF DEFECTIVE T11ACI<AGE, EQUIPMENT, OR TRACI< STRUCTURES. Lessee hereby indemnifies and <loraes 10 protecl Railroad Irolll all such injury or dealh and loss, damage or destruclion 10 11Ioporty, inchldin!] claims <lnd C3uses of action asserled againsl Railroad by any insurer of said (1ro(1f!1ty, NOTWITHSTANDING THE FOFlEGOING, HOWEVER, LESSEE SHALL NOT BE LIABLE rOR INJURY TO OR DEATt"1 OF RAILllOAD'S EMPLOYEES OR AGENTS, on ROLLING STOCK BELONGING TO RAILROAD 011 OTHERS, on SHIPMENTS OF THIRD PARTIES II'J HIE COURSE OF TRANSPORTATION, WilEN SAID IN,IlJnY, DEATH OR DAMAGE IS CAUSED BY RAILROAD'S OWN, SOLE NEGLIGENCE. For example, il a train derails becallso of Ilailroad's sole negligence, Railroml will bear the cost of damage to its own people and property and properly on lhe train, but Lessee will be responsible, and will have no recourse againsl Railroad, for ils own damage, and will have to reimburse Railroad for any expense or judgmenl Railroad incurs from claims of persons on Ihe Premises or having properly on the Premises with Lessee's Imowledge or consent. Lessee also agrees to indemnify nnd hold harmless Railroad from any loss, damage, injury or death arising from any act or omission of Lessee, Lessee's Invitees, licensees, employees, or agenls, 10 the person or property of the parties hereto and their employees, and to the person or properly of any other person or corporation while on or near the Premises. 11. It is agreed thaI the provisions of Sections 7 and 10 are for the equal prolection of olher railroad companies, including National Railroad Passenger Corporation (Amtrak), permitted to use Railroad's property. 12. Lessee shall hot assign this Leaso or aliy inleresl Ihereln, or graill a security inleresl in any buildings or improvements on Ihe Premises, or sublel, and no heir, execulor, adminislralor, receiver, masler, sheriff, trustee in bankruplcy, 01 olher assi!lnee by operation of law shall assign or sublet, withoul Ihe express prior wrlllen consenl of Flailroad. 13. If, because of any acl or omission of Lessee, any mochanic's lien or other lien, charge or orde, for the payment of money shall be filed againsl Ilailroad or any portion 01 Ihe Premises, Lessee shall, at its own expense, cause the same 10 be discharged of record within Ihilly (30) days after written notice e 3 AI)OlllOtlAl IHIMS AND CCONn\lIONS ON nFVFm;F SIIJF (SIGNA HlnE'S nEClIHnEO) e from Ilailroad to Lessee o/Ihe Iilill!] thereof, and shall indenll1ify and ~.;ave haHnless Railroad against and from all costs, liabilities, ponall.ies. Find claims, including legal expenses, resulting therefrom. 14. Either parly may cancel Ihis Lease at will on thirly (30) days' advance written notice, in which event Lessee shall remove all properly or imprOvolllHnts nol owned by Railroad (regardless 0/ who made Ihem), including, wilhoullimilalion, all/oulldaliolls, slahs, and fences, Rnd Lessee shall clear the P/'f3l1lisos, including /iIling in and leveling <lilY excflvaliollS and restOlillg Ihe !Jround to a condition salis/actory 10 Railroad, within said 30 days. 1/ Lf~ssee /ail~; 10 remove said property or improvements within Ihe above time limit, Lessee hereby grants Railromlthn ahsolutn right to Imep, convey, destroy, or otherwise dispose a/them in any manner Flailroad chooses, and, in addition, Lessee agrees to pay any nel costs incurred by Railroad in doihg so, within 10 days of feceipt of Railroad's statement therefor. 15. 1/ all or any part of the Premises is subjected to taking under eminent domain laws, this Lease shall terminate /rom the lime possession is lakon by the condemning entity, with prepaid rentals pro. rated. Lessee agrees that it is not entitled 10, and hereby disclaims, any award made for such tal<ing, excepting only an award issued sololy and expressly to compensate for the taking of personal property or buildings owned or constructed by Lessoe. 16. Nothing in this Lease shall prevent Railroad from discontinuing service over any railroad line or lines by which rail service may be provided to the Premises. 17. All notices to be given by Lessoe to Railroad shall be given by letler, U.S. mail, postage prepaid, addressed to Railroad's Manager Leases, Induslrial Development and Property Management Departmenl at Continental Plaza, 777 Main Slreel, Fort Worlh, Texas 76102. All notices to be given by Railroad shall be similarly given, addressed to LessHe al tho address given in Il1e Application above. II is tile Lessee's duty to notify Railroad promptly in writing 0/ any change in lis address; if it fails to do so, any notice from Railroad sent to lis last known address shall be effective, whether or not received. e 18. 1/ this Lease is a reissue as provided in Item 11 01 the above Application, It sl1all supersede and cancel the previous Lease or Leases described therein, without prejudice to any liability accrued prior to cancellation. Tills Lease shall inure to Ihe bene/it of and be binding upon the parties hereto and their heirs, exe~utors, administrators, successors and assigns. e lESSEE STILLWATER YACHT CLUB, INC. --.- .._._..~. .....m _-mj;;;p;";'OIMlcmr.-O;PAu;NAM;j- ------.".-.---..---.-- BURLlNOTDtI NOnTllERN MIL ROAD COMPANY .IV A'_~_d~~~~:,,~.~ lld-:?,,?~~,::,::: t't~.M;!Inn.(gI.(,A!'I"!" 4 e ...:.~ . , II" f c." Ld .11." y I.." -....... J' . .. -~. ~ .f · . 'I. . J.I'Ic, .-.~~81 ..J t....... "" 1" "r-e.D 'j. .,,,,,t ,"9 51''-\. por\(. '~ ~ :~r 1,. ." { .' t ~.{,{,C e i N '9'12 .'er, a. .20' (S,;ll;.~r. Cil,;,.r,., 48 e n ~ % 'tl ' i l . \~ \ \ . p ~ \~\\\\\\ ~ n ~ ~ %~~ .~~.;. ~~:1 :-'t;,. '" r: ~ 0 \ t'. ~ b e \\ 00 Iii, :DO -1 ~ ~ ~ :t ~ -0 ~Q) "~ ~ ~ '!... ~ !. ~ -< \~\ '" t ~'" e e e MAR 5 1992 , BENNETT, INGVALDSON, McINERNY & SIMONS, P.A. . ,. ATTORNEYS AT LAW 8500 NORMANDAlE lAKE BOULEVARD SUITE 1640 MINNEAPOLIS, MINNESOTA 55437 TELEPHONE(612)921~350 TELECOPIER (612) 921-8351 ROBERT BENNETT" ERIC W, INGVALDSON . . DANIEL C, MCINERNY JEROME J, SIMONS, JR, MICHAEL P. COATY' . CIVIL TRIAL SPECIALIST CERTIFIED BY THE MINNESOTA STATE BAR ASSOCIATION AND NATIONAL BOARD OF TRIAL ADVOCACY . . REAL PROPERTY SPECIALIST CERTIFIED BY THE MINNESOTA STATE BAR ASSOCIATION March 3, 1992 ALSO ADMITTED TO PRACTICE IN , WYOMING, 'WISCONSIN David T. Magnuson, Esq. Stillwater City Attorney suite 203 The Grand Garage 324 South Main Street Stillwater, Minnesota 55082 Re: Popeye's Dear Mr. Magnuson: I have received your letter of February 19, 1992 enclosing the two Notices of Lease Termination and reviewed the City's position with my client. As you and the council are no doubt specifically aware, as you were advised of this fact by Mr. Ingvaldson at one of our prior meetings, this type of action is in direct contradiction to and disregard of the Resolution of the stillwater City council dated June 28, 1985, a copy of which I have enclosed for your further review. In addition, you and the City Council are specifically aware that Mr. Scherber and my client, among many others, reasonably relied on that 1985 Resolution in conducting their business and investment affairs. Therefore, my client respectfully requests that you stop efforts to terminate these leases or otherwise act in contravention of the City's prior Resolution. It is clear to us that this is another in a series of actions by the City of stillwater to drive our client out of business in its present location so as to further the City's new plan to redevelop that portion of the riverfront as a park. This is, of course, inconsis- tent with the City's policy in effect on June 25, 1985. While we recognize the City's power to create a park, it cannot do so by taking private property rights known to and verified by the City without just compensation or even due process. As you have indicated to me several times, the City has the means to and can "get" my client, but not without providing basic due process rights and just compensation for the injury to my client's property rights. e e e .. March 3, 1992 Page 2 Please advise me if the City of stillwater will cease and desist from this course of action by close of business March 13, 1992. If this is not done, our client will seek a declaratory judgment and a temporary restraining order in this matter. yours, Robert Bennett RB: sb cc: Robert Marois Greg Lindow VIA TELECOPIER AND REGULAR MAIL " DAVID T. MAGNUSON ATTORNEY AT LAW SUITE # 203 THE GRANO GARAGE 324 SOUTH MAIN STREET STILLWATER, MINNESOTA 55082 e (6121 439.9464 P.O. Box 438 March 6, 1992 Mr. Robert Bennett Bennett, Ingvaldson, McInery & Simons 8500 Normandale Lake Blvd., Suite 1640 Minneapolis, MN 55436 RE: Popeye's Dear Mr. Bennett: e I have reviewed your letter of March 3, 1992 with the City Council of Stillwater and I share with you their thoughts. First of all, the City wishes to assure you that Popeye's will have continued road access to the front of their building, and at least for the time being, no significant changes will take place in the parking that is allowed on the property described in the Resolution of the City Council dated the 24th of June, 1985 or on the remainder of the Mulberry Point property. Since the launching area is not located on the property you formerly leased from the railroad, I will assume you are making no claim to its continued operation. For your information, however, it will no doubt be maintained by the City for the foreseeable future and you and your guests will be allowed the same access to this launching site as are other members of the general public. You are correct in assuming that the Mulberry Point property will be eventually changed into a park, pursuant to the City of Stillwater's Downtown Capital Improvement and Rehabilitation Plan and the exact configuration of this park is shown on the public documents that have been developed since 1987 with the help of the general public and with the full involvement of owners of the Yacht Club or their representatives. These park plans show road access across the Mulberry Point property to Popeye's front door and some limited parking and, in order to give your clients some assurances, I will recommend to the City Council that this street access, when finally determined, be dedicated to the public as a street. It is the City's position, however, that the Resolution of the 25th of June, 1985 is void since to promise the exercise of Eminent Domain is an exercise of the police power that cannot be e . e surrendered nor divested nor abridged nor bargained away, state Ex ReI. City of st. Paul vs. Chicago, M. & st. P. RY. Co. et al., 160 NW Reporter, 772 (Minn. 1916), even though the City and Scherber might have intended at the time to bind the City to use the police power. The "parties" could not accomplish in this manner what they had absolutely no power to accomplish in any manner. state Ex ReI. City of st. Paul vs. Great Northern RY. Co. et al., 158 NW Reporter, 972 (Minn. 1916). The rule is best stated in City of st. Paul vs. Chicago, st. P., M. & O. RY. Co. et ale , 166 NW2d, 335. The holding in this case quotes the rule stated in 6 Ruling Case Law 190, Section 189 as follows: "The State cannot barter away the right to use the police power and cannot by any contract divest itself of the power to provide for acknowledged objects of legislation falling within the domain of the police power. Accordingly the Legislature cannot surrender or limit such powers either by affirmative action or by inaction or abridge them by any grant, contract or written delegation whatsoever. The discretion of the Legislature cannot be parted with any more than the power itself. These principals apply to the police power delegated to municipal corporations; thus the general police power possessed by a city is a continuing power and is one of which the city cannot divest itself, by contract or otherwise." e Even if you were to convince the courts to overrule a long- standing principal, there are a number of changed circumstances that would make the resolution unenforceable. 1) When MulIers operated the property, it was simply a marina with no bar was connected with it. The use of the property has changed drastically since 1985 and any promises made to Scherber does not apply. 2) Scherber or his successors, or indeed Popeye's themselves, could have purchased this land directly from the railroad sometime between 1985 and the summer of 1991. If this parcel were necessary to anyone's business, they had ample opportunity to protect themselves by purchasing it. 3) The City purchased this property from the railroad and also the adjacent Mulberry Point property with funds obtained in part from a LAWCON Grant given to the City by the State of Minnesota in furtherance of a specific park plan that included the acquisition and conversion of Mulberry -Point into a'park. Any use of this property obtained with these trust funds that is inconsistent with the plans considered by the State in approving the grant would be unconscionable and perhaps illegal. e e e e . I hope you can help your clients realize that they must adjust to a changing community and that we must all work together for the common good of one another. Hopefully, having some certainty with regard to their access and will relieve their anxiety. Yours very truly, DTM/sls " DAVID T. MAGNUSON ATTORNEY AT LAW SUITE # 203 THE GRAND GARAGE 324 SOUTH MAIN STREET STILLWATER. MINNESOTA 55082 e (6 t 2) 439.9464 P.O. Box 438 March 6, 1992 PERSONAL AND CONFIDENTIAL ATTORNEY WORK-PRODUCT/ATTORNEY/CLIENT PRIVILEGE Mayor & City Council City of Stillwater 216 N. 4th Street Stillwater, MN 55082 Dear Mayor & Council: I enclose for your review the initial letter that I received from Mr. Bennett and also my immediate response from him that I felt warranted under the circumstances. Also enclosed is my letter to him written after Tuesday night's e meeting. I think this summarizes the Council's position. We should have a strong position in this matter since the cases cited in my letter to Mr. Bennett have been the rule in Minnesota since the turn of the century. That is, that the City cannot delegate or promise away an exercise of the police power that is reserved in the present City Council. Eminent domain is clearly an exercise of the police power and the promise to use it in the 1985 Resolution should not be enforceable. Next, Barry Stack's survey reveals that the present launch area is actually on the Mulberry Point property and not on the portion of the property formerly leased by the Yacht Club from the railroad and contained in the 1985 Resolution. The launch ramp is at least 50 feet to the east of the property and therefore, the 1985 Resolution does not affect the launch ramp. Further, any promises made in 1985 were made to Scherber in furtherance of his marina plans. At that time, there were no known plans for a bar at the site. Also, Scherber and anyone else for that matter, had an ample opportunity to buy this property from the railroad. They should not complain that the City purchased it on the open market after they slept on their opportunity. e We must now complete our park plans because of the LAWCON money received from the State. It would be a violation of trust to misuse the property now. e e e ~ - However, we are obligated to provide street access to the Popeye building and this could be done by dedicating a street when the plans are implemented. Right now, of course, there is only a travelled roadway on Mulberry Point, but nothing with the definiteness that the owner's of popeye's or the Yacht Club requires to have a marketable piece of property. I would be glad to discuss this with any of you. Yours very truly, ~ David T. Magnuson DTM/Sls Enclosure cc: Nile Kriesel, City Coordinator e e e S. 5" ~ I. / DAVID T. MAGNUSON ATTORNEY AT LAW SUITE #203 THE GRANO GARAGE 324 SOUTH MAIN STREET STILLWATER. MINNESOTA 55082 (612) 439.9464 P.O. Box 438 March 13, 1992 David Sellergren Doherty, Rumble & Butler 3500 Fifth street Towers 150 S. 5th street Minneapolis, MN 55402-4235 Robert Bennett Bennett, Ingvaldson, McInery & Simons 8500 Normandale Lake Blvd., Suite 1640 Minneapolis, MN 55436 RE: Yacht Club Lease Termination Dear Mr. Sellergren and Mr. Bennett: After talking to both of you this week, I've had an opportunity to talk to the Mayor and the City Coordinator who suggested the following time table for our meetings. First of all, we would like to meet with you at the staff level on Monday, the 16th of March at 2:00 p.m. in City Hall. Nile Kriesel, the City Coordinator, Steve Russell, myself and perhaps one of the Council. At the regular meeting of the City Council scheduled for the 17th, the Council will grant a 15-day extension of the lease termination period so that any questions of a waiver of rights by letting the 30 days pass would be moot. No appearances will be necessary at this meeting. Next, the Council would like to meet with all of you and hopefully have a comprehensive agreement worked out by March 24 at 4:30. If either of you or your clients have difficulty with the Monday afternoon meeting time, please let me know. Yours very truly, DTM/sIs cc: Steve Russell Nile Kriesel Mayor Abrahamson 5581. I 4. DAVID T. MAGNUSON ATTORNEY AT LAW SUITE # 203 THE GRAND GARAGE 324 SOUTH MAIN STREET STILLWATER. MINNESOTA 55082 e (6' 2) 439.9464 P.O. Box 438 April 1, 1992 David Sellergren Doherty, Rumble & Butler 3500 Fifth street Towers 150 South 5th street Minneapolis, MN 55402-4235 Robert Bennett Bennett, Ingvaldson, McInery & Simons 8500 Normandale Lake Blvd., Suite 1640 Minneapolis, MN 55437 Ralph A. Bache Dock Association of Stillwater P.O. Box 26125 4It Shoreview, MN 55126 Gentlemen: On Tuesday, March 31st, the Stillwater City Council met in executive session to discuss the concerns of you and your clients with regard to the future of Mulberry Point and adjacent property. The Council resolved to offer the following framework for a solution: 1. The City would agree to extend both of the current leases until the end of the calendar year, 1992. This extension would. be given on the condition that the rent is paid in each case. 2. The responsible party must provide to the City evidence that any gasoline tanks that are buried underground on this property are authorized by a lawful permit from the PCA, that they are in safe, operating condition; and that the responsible party indemnify the City of Stillwater for damages caused by a release. 4It 3. That all parties be involved in the development of a plan for the area that will be developed over the summer of 1992. It is expected that a great deal of community involvement will be brought to bear on the question and your input and participation in this planning is invited. The City Council would like all e e e . parties to understand that it was never their intention to deprive anyone of the access enjoyed over the property up to this point and that the implementation of the Downtown Revitalization Plan that will ultimately benefit everyone in the Downtown, will be made with the utmost concern for protecting citizens from disruption. Yours very truly, DTM/sls cc: Wally Abrahamson, Mayor City Council Members Nile Kriesel, Coordinator Steve Russell, Director e e e "l DAVID T. MAGNUSON ATTORNEY AT LAW SUITE #203 THE GRANO GARAGE 324 SOUTH MAIN STREET STILLWATER. MINNESOTA 55082 (612) 439.9464 P.O. Box 438 April 8, 1992 PERSONAL & CONFIDENTIAL ATTORNEY WORK-PRODUCT/ATTORNEY/CLIENT PRIVILEGE Mayor and City Council Nile Kriesel, Coordinator Steve Russell, Community Development Director City of Stillwater 216 N. 4th Street Stillwater, MN 55082 RE: Mulberry Point Access Issues Just a brief note to brief all of you on the legal issues that the City will face if road access to the marina is changed when the Lowell Park plans are implemented. These issues are separate and in addition to any promises that the City might be obligated to fulfil under the 1985 resolution. Ilve already done a brief to you on that and have nothing further on that at this time. ROAD BY USER Minnesota statutes ~160.05 provides that when a road or portion of road has been used and kept in repair and worked for at least six years continuously as a public highway, it shall be deemed dedicated to the public until lawfully vacated. The dedication has two elements. First, the road must have been used by the public. The recent cased entitled Town of Belle Prairie vs. Kliber, App.1989, 448 N.W.2d 375 established that public use could be shown when "a comparatively small number of persons use the road for six years continuously." Second, the road must have been worked by the public. It is not necessary to show that every part of the road was worked at government expense or that any particular part received attention every year of the six-year period. In one case, road by user was established by testimony that one or two times a year a township dragged the road and leveled it off. e e e ~lso, roads dedicated by use are not limited to the portion of the road actually traveled and include shoulders and ditches that are needed and have been used to support and maintain the traveled portion, Barfnecht vs. Town Bd. of Hollywood Tp., Carver County, 1975, 304 Minn. 505, 232 N.W.2d 420. DAMAGES FOR LOSS OF ACCESS If Road by User is established, then it remains public until vacated. Is the City liable for damages for the vacating of a street? The issue was decided in Minnesota in the landmark case of In Re Hull, 204 N.W.2d 534 (1925). The Court held that to recover damages for the vacation of the highway, it was not essential that access to the property be entirely cut off. The most important factor is that the owner suffer an injury not common to the public. I enclose a map of a leading Minnesota case in which an owner was entitled to damages, Exhibit "A". LOSS OF PARKING Minnesota Courts have routinely held that if a regulation or restriction falls within the State's "police power" no compensable loss has occurred. Included in this category of regulations are the establishment of one-way streets and lanes of traffic; median strips prohibiting or limiting crossovers from one lane of traffic to another; restrictions on U-turns, left and right hand turns, and the loss of parking spots along a street. At least up to this point, parking along a street is not a loss that is compensable. Hopefully our unique circumstances would not provide grounds to change the law. I am writing this memo so that all of you will be mindful of the significant legal rights of people to have reasonable, suitable and convenient access to their property including the right to have the premises accessible to patrons, clients and customers. It is not my intention to pre-empt the planning and design process, only to warn everyone that a significant number of people must be accommodated. Large sums of money are involved if they are not. Yours very truly, ~. David T. DTM/sls Enclosure e e " oJ or !!. I 2: .0 "< . e L-- 3'3r1. SiREEi s. ~----- ~ I ,2- , ' .:IE .a -..'. \ . .' '?? .. ; ~.. '~~i " 'f-: .' . :-t... 1::" . ".- ..0#" .... t..o:. ". \ ~ . " ---1 ..' -. .... -l '., o " ." o. S ..... ~ :.....: ~ :-:.: (It -,- -l ",. l'" . . ~ :~:::::~ uI .," ; ':':'. ~ <I' t ..':" ;.~ ~ '. \ \ I \ > .." -\ rrt ~ -- tll~ \ . ' ' , ,I" . '.~ . L ---- , . 33 rd. S'iREET S. \:----. ,1: '. .\ , ~ I ~ i ~'"O .,- 39- ~3. ...- - <UI. - E~hibit "A" CD rn ." o :D fT1 ----- e e e DAVID T. MAGNUSON ATTORNEY AT LAW THE GRAND GARAGE A GALLERY 324 SOUTH MAIN STREET SlJrI'E 12" P.O. BOX 431 STILLWATER, MN 55082 TELEPHONE: (612) 439-9464 TELECOPIER: (612) 439-5641 May 28, 1992 David Sellergren Doherty, Rumble & Butler 3500 Fifth street Towers 150 South 5th street . Minneapolis, MN 55402-4235 Robert Bennett Bennett, Ingvaldson, McInery & Simons 8500 Normandale Lake Blvd., Suite 1640 Minneapolis, MN 55437 Ralph Bache Dock Association of stillwater P.o. Box 26125 Shoreview, MN 55126 Gentlemen: On Tuesday evening, May 26th, the City Council of stillwater met in executive session, to discuss their posture with regard to future uses of Mulberry Point and to clarify their position with regard to the two leases that were assumed by the City when it purchased this area from Glacier Park. The Leases For purposes of this explanation, Lease Number 099,971 will be called the "Mulberry Point Lease". This lease covers most of Mulberry Point. The lease period is May 1, 1991 through April 30, 1992 and the rent for this lease period was $2,750.00 and remains unpaid. Lease Number 249,934 will be referred to as the "Front Yard Lease". This lease covers the smaller area used by Popeye's as their front yard. The lease period is June 1, 1991 through May 31, 1992. The annual rent is $3,500.00 and the rent for that lease period remains unpaid. The City is willing to extend both of these leases continuously from the lease periods shown above through December 31, 1992. In each case, the rent will be pro rated to equal the new lease period. This amounts to $2,042.00 for the Front Yard Lease, and $1,833.00 for the Mulberry Point Lease. The leases will only be extended, however, on the condition that the back rent and rent for the new lease period be paid in full to the City prior to July 1, 1992. If the rent is not paid by that e e e time, the leases will be considered terminated. In summary, $5,542.00 must be paid on the Front Yard Lease, and $4,583.00 must be paid on the Mulberry Point Lease. Further, neither lease will be extended beyond December 31, 1992. Meanwhile, planning for the development of the Mulberry Point area has all ready begun and will take place throughout most of the summer. I enclose for the information of all of you a paper enti tIed, "Understanding of the proj ect" prepared by the consultant architects who will be working with the city. Also enclosed are goals and objectives for Lowell Park, prepared by the City Planning Department and an outline of the time frame for developing the new plans. Anyone interested in participating directly in this process should contact Ann Pung-Terwedo at the City Planning office to insure that you are on the mailing list and receive proper notice of meetings. While the ultimate configuration of the are~ will be left to the planning process, preliminary indications are that Mulberry Point. will not be used as a parking lot, nor will the public launching of boats be allowed when the plan is completed. Further, after December 31, 1992, no special rights in either parking or the boat launch area will be available to the parties now leasing the area beyond the rights that are enjoyed by the public in general. However, the City will not deprive any property owner of access and the Council has instructed those consultants and professionals responsible for preparing the plan that owners must be left with reasonable, suitable and convenient access to their property by means of a public way. The Council has also concluded that this access should include the right to a suitable place .to load and unload. Also, every effort will also be made to accommodate parking that might be displaced by the plan by means of new or improved parking lots somewhere in the neighborhood. The Council is also of the sincere belief that the improvements expected to take place in the area will improve the appearance of the neighborhood, and ultimately increase the market value of adjacent property. Please contact me if you have any questions about this. DTM/sls cc: Wally Abrahamson, Mayor City Council Nile Kriesel, city Coordinator steve Russell, Community Development Director e e '- ..,. . l - &tillwater Yacht Club . ~{# ~81J e -- June 30, 1992 David T. Magnuson The Grand Garage Gallery 324 South Main Street Suite 260 P.o. bxo 438 Stillwater, MN 55082 Dear Mr. Magnuson: Enclosed are two checks totalling $10,125.00. These checks cover money owed for Lease number 009971 and Lease number 249934 from May I, 1991 through December 31, 1992 as per your letters dated May 28, 1992 and June 1, 1992. If you have any questions, please do not hesitate to contact me at 439-5658. Sincerely, ((j/UMt&fhek~ Brenda McNamara 422 E. Mulberry Street · P.O. Box 231 · Stillwater, MN 55082 · 16121439.5658 DOHERTY RlJMBLE .& BUTLER 3300 Fifth 5~reet Towers 2SUO \ljnnl'~:_)t(1 World Tieldc Center 30 Edst Sl":enth Stn'l't S.1int l\lllL \Iinnesota 3310-!...t.yqq \t1grudcr Bui:ding 1623 \1 Street, \:,W, \Vashingt(1n, DC 20036-3203 T e'ephone (2021 293-0353 F,\X (202) 039-0-166 16iO First Interstate Tower North 633 Seventeenth Street Denver, Colorado 80202-3616 Telephone (303) 296-3046 FAX (303) 296-3153 150S(1uth FitthStreet \linneapolis, :..Iinnesota :;3.t.02-.t.233 Telephone (612) J-UJ-5533 FAX 1.612) 3-10-338~ T~lt.'phone (hi}) 291-9333 FAX (hI2) 291-9313 PROFESSIONAL ASSOCIA no\: e Attorneys at Law \Vriter's dir..;ct didi number: 340-5571 Reply to Minneapolis office December 30, 1992 DEe 311992 David T. Magnuson Magnuson & Thole The Grand Garage and Gallery 324 South Main Street, Suite P.O. Box 38 Stillwater, MN 55082 260 Dear David: Thank you for your letter of December 18, 1992 and the enclosed Lowell Park Renovation Plan. e I have reviewed the Plan and have discussed it with Ken Grund, owner and manager of the Stillwater Marina and Yacht Club. The Plan's accommodation of vehicular access and parking on and near Mulberry Point is clearly a positive feature for Mr. Grund, the users of the marina, the dockminium owners, and tenants and patrons of the restaurant located on marina land. As I stated in my letter of March 31, 1992, the park plan can accommodate the public and private interests, and comes close to completely doing so. The one disappointing aspect in the Plan is the suggestion that the privately owned boat launch at Mulberry Point be eliminated. This appears on page 18 of the Plan, with further suggestions as to timing and alternate locations. I am somewhat comforted by the fact that it is a "suggestion" and, therefore, appears to be a nonessential component of the Plan. e Since the Plan contemplates vehicular movement on Mulberry Point, I do not see the harm to the public interest in allowing continuation of the boat launch ramp. The Plan provides for twelve car-trailer parking spaces quite nearby. Moreover, I have discussed with Mr. Grund the fact that more car-trailer parking spaces could be provided at the far north end of his land holding. I know that Steve Russell has been concerned about car-trailer parking on Mulberry Point, and the Plan eliminates that. I believe it possible to work with Mr. Grund to identify the need for car- trailer parking spaces on part of his land to the north, and thereby allow the continuation of the boat launch ramp. I believe, as well, that additional public parking is provided north of e e DOHERTY RUMBLE .&-BUTLER David T. Magnuson December 3D, 1992 Page 2 PROFESSIONAL ASSOCIATION e Mulberry Point between Main Street and Mr. Grund's land, which, too, might be utilized for car-trailer parking. I would, therefore, like to meet with Mr. Russell and you, and any others the City wishes, to discuss the manner in which the boat launch ramp might continue in operation. At that time, the meeting agenda could also include issues as to timing relative to your appropriation requests, pedestrian easements, the number of car- trailer parking spaces deemed necessary to accommodate the continued launching operations, utilities and underground storage tank easements, etc. For the record, I reiterate the position stated in my letter of June 29, 1992, to you. I will contact you in early January, 1993, relative to the requested meeting. Sincerely yours, ~ David cc: Ken Grund Des 18972 \ e e ,\ . DEe 281992 BENNETT, INGVALDSON & SIMONS, P.A. ATTORNEYS AT LAW 8500 NORMANDALE LAKE BOULEVARD SUITE 1640 MINNEAPOLIS, MINNESOTA 55437 TELEPHONE (612) 92 '-83.50 TELECOPJER (612) 921-8351 ROBERT BENNETT .' ERIC W. INGVALDSON .. JEROME J. SIMONS, JR. MICHAEL P. COATY 2 December 23, 1992 . CIVIL TRIAL SPECIALIST CERTIFIED BY THE MINNESOTA STATE BAR ASSOCIATION AND NATIONAL BOARD OF TRIAL ADVOCACY .. REAL PROPERTY SPECIALIST CERTIFIED BY THE MINNESOTA STATE BAR ASSOCIATION ALSO ADMITTED TO PRACTICE: IN I WYOMING, 2 WISCONSIN David T. Magnuson, Esq. Stillwater City Attorney 324 South Main Street, Suite 260 P.O. Box 438 Stillwater, Minnesota 55082 RE: "Mulberry Point Lease" and "Front Yard Lease" Dear Mr. Magnuson: As the holidays and year-end approach, once again my client is caused to think of the above-mentioned leases which, if I read your letter of May 28, 1992 correctly, are terminated in nine days. Nevertheless, you have stated that "the City will not deprive any property owner of access" and that "owners must be left with reasonable, suitable and convenient access to their property by means of a public way. . . [which] shQuld include the right to a suitable place to load and unload." My client assumes that Mr. Grund has been dealing with you with regard to extensions of the Mulberry Point Lease and the Front Yard Lease, but if he is not, please advise. In the event that the City continues to hold the view that those leases are terminated at the end of this year, we would expect specific advice as to how we will not be "deprived" in the way that you suggest in your May letter. This does not presume that we will not be able to work together this year or in future years. To the besLofonr knowledge and after some participation in the planning process, there is no construction scheduled for the North end of Mulberry Point in the summer of 1993. Please advise us if that is incorrect. With that understanding, we assume that the business will have parking and public access in the same way that it had in the summer of 1992. In addition, we assume that my client will have the right to use the front yard and front steps and the same will not be turned into a bike path this summer. If that is incorrect, please advise as soon as possible. As always, please keep my client and me informed of any future meetings, public or e non-public, regarding the Mulberry Point issue. You know that we are concerned and e e e .. HENNETI, INGVALDSON & SIMONS, P.A. December 23, 1992 Page 2 hopefully we can work together to try to accommodate my client's business and the City's obligations and desires. Very truly yours, Robert Bennett kra cc: Ken Grund Robert Marois Greg Lindow DOHERTY RUMBLE &: BUTLER 3500 Fiith Street Towers 150 South Fiith Street Minneapolis, ylinnesota 55~02-~235 Telephone (612) 3~0-5555 FAX (612) 3~0-55S~ 2800 Minnesota World Trade Center 30 East Seventh Street Saint Paul, Minnesota 55101-~999 Telephone (612) 291-9333 FAX (612) 291-9313 Magruder Building 1625 M Street, NW, Washington, D.C 20036-3203 Telephone (202) 293-0555 FAX (202) 659-0466 1670 First Interstate Tower North 633 Se\'enteenth Street Dem.er, Colorado 80202-3616 Telephone (303) 296-3046 FAX (303) 296-3153 PROFESSIONAL ASSOCIATION e Attorneys at Law Writer's direct dial number: (612) 340-5571 Reply to Minneapolis office February 5, 1993 FEB 0 8 1993 Nile Kriesel Stillwater City Coordinator City of Stillwater 216 North Fourth Street Stillwater, MN 55082 David T. Magnuson Stillwater City Attorney The Grand Garage and Gallery 324 South Main Street, Suite 260 P.O. Box 438 Stillwater, MN 55082 Re: Stillwater Marina and Yacht Club e Dear Mr. Kriesel and Mr. Magnuson: As has been discussed over the past several weeks, St. Croix Stillwater Marina Company (Company), owner of the Stillwater Marina and Yacht Club (Marina), wishes to propose a sale and lease back of the Marina between the City and the Company (the Proposal) We believe the Proposal achieves several public purposes. First, it assures that the Marina land will ultimately be in the public domain, available for unrestricted park development consistent with the 1992 Lowell Park Renovation Plan or its successor plan. Second, it assures a method of paying the debt on the acquisition price. Third, fixing an acquisition price in 1993 accomplishes the lowest public cost, since it forecloses increased value due to passage of time or attributable to the public funds invested in the Lowell Park Renovation. Fourth, it establishes a framework for public contractual control over future changes in use or operation. Additional public purposes are served, we mention just a few. Subject to agreement on many final business and legal terms, our proposal is generally as follows: e The Company will sell the Marina to the City for the price of $1,750,000. The fee title would be conveyed, subject to the rights of the Dock Association of Stillwater, Inc., the slip owners. The Company would lease back the Marina for a period of 20 years, with the DOHERTY RUMBLE & BUTLER PROFESSIONAL ASSOCIATION Nile Kriesel David T. Magnuson February 5, 1993 Page 2 e land rent established at a level equivalent to the debt service on the bonds issued by the City to finance the acquisition. All current operations would remain unchanged. In 20 years, the City would own the property outright, the lease having terminated by its own terms, subject to the ongoing rights of the Dock Association of Stillwater, Inc. All cash flow from operations would be the Company's. The vast bulk of the net cash flow, of course, will be used to pay the lease payments, and, in turn, the debt service on the bonds. The remainder of this Proposal elaborates on three elements. First, we describe the existing ownership, leasing and easement structure. Second, we describe, in somewhat more detail, the financing structure. Third, we provide financial information as to the Marina. e I. Current Operations What is generally known as the Stillwater Yacht Club are the land and facilities shown on the attached survey and site plan. The land is owned by St. Croix Stillwater Marina Company, a Minnesota corporation, pursuant to a contract for deed with Stillwater Yacht Club, Inc. The contract for deed would be paid off from sale proceeds. The land is currently further encumbered by a lease in favor of Beach Blanket Bingo, Inc., a Minnesota corporation, (Popeye' s) i through a series of options, the lease may be extended to May 27, 2008. The Proposal contemplates that all of the lessor's rights and responsibilities under this lease would remain the Company's. In 1987, the dock facilities of the Marina were sold to the Dock Association of Stillwater, Inc. (DAS). DAS then entered into a series of Occupancy Agreements for each individual slip owner and various parties acquired the slips through the Occupancy Agreements. Certain nonexclusive parking, access, utility and other rights for the slip owners are documented pursuant to a Long Term Renewable Lease. The Long Term Renewable Lease has an initial duration of 50 years and may be extended for another 50 years. e Des 20863 DOHERTY RUMBLE & BUTLER PROFESSIONAL ASSOCIATION Nile Kriesel David T. Magnuson February 5, 1993 Page 3 e However, the rights reserved to the DAS through the Long Term Renewable Lease are limited. They include: 1. Ingress and egressj 2. Parking for one automobile for each slipj 3. Use of shower and bathroom, etc. facilities, so long as they are in existencej 4. Use of tennis court and pool, so long as they are in existencej 5. Right to use the facilities of the gasoline dock and ship store, at market rate; 6. Launching and haul out services, at market rate; and 7. Outside boat storage in the winter, at no charge. e Attached to this Proposal are selected excerpts of information which expands on the legal relationship and long term rights existing among the Marina owner, DAS, and owners of the slips. In general, very few of the facilities on the land need to be retained but, if they are, they must be available to the slip owners. At all times, however, the slip owners retain the right to get to and from the slips across the land, the right to park one car somewhere on the land, and the right to outside storage someplace on the land in the winter. Otherwise, so long as uses are not inconsistent with a recreational marina, the land owner is free to use the land for a variety of purposes. II. Structure of Sale-Lease Back Proposal The Company proposes that the City issue general obligation bonds in an amount sufficient to pay it $1,750,000 for the Marina. Whether the issuing authority should be the City, the HRA or the Economic Development Authority remains to be determined, after consultation with your fiscal consultant, the City Coordinator, and the City Council. The Marina land and facilities would immediately be leased back, net rent equal to bond debt service, rent not to exceed $185,000 per year, with all obligations for operations being passed back to the Company. The Company would continue to pay general real estate e Des 20863 DOHERTY RUMBLE & SUTLER Nile Kriesel David T. Magnuson February 5, 1993 Page 4 PROFESSIO'Jc\L ASSOCIATION e taxes. All existing legal obligations, including the Popeye' s lease, the slip owners' documentation, easements, liabilities, etc. would remain with or be transferred back to the Company. The same is true of the financial benefits that accrue from those arrangements. The launch operation would remain, subject to modifications, consistent with suggestions made in the letter of December 30, 1992, from David Sellergren to David Magnuson. At the end of 20 years, the interest of the Company would terminate. The City would by then have paid off its bonds and hold the fee title to the property subject to the rights of the slip owners. e The Company proposes that the City issue general obligation bonds in the approximate amount of $1,850,000. The proceeds would be used as follows: $100,000 to pay the City's and the Company's transaction costs and costs of issuance, with $1,750,000 payable to the Company, from which the Company would payoff an outstanding unsecured loan and the contract for deed. We have advised the Company we do not believe tax-exempt bonds could be issued for acquisition of the Marina. If taxable bonds could be sold for a 20 -year term at approximately 7.75% interest, the annual debt service would be just under $185,000. This level of debt service would allow for approximately 1.23 debt service coverage based on the 1992 Marina cash flow before debt service of approximately $228,000. We discussed these numbers with Ron Langness of Springstead in early January and, at that time, he felt an assumed 7.75% interest rate on 20-year general obligation taxable bonds issued by the City of Stillwater was reasonable. There are at least two possible methods of issuing general obligation bonds without a referendum. The first is pursuant to the City's special authority under its Charter. The second is through issuance of the bonds by the Economic Development Authority pursuant to the approval of the City of Stillwater, the purchase by the EDA of the Marina, and the leasing of the Marina to the City. The revenues produced by the lease with the City would then be pledged to payment of the bonds, thus giving the bonds the City's rating even though the bonds would be issued by the EDA. In this structure, however, it would probably be necessary for the City to have the right to terminate the lease with the EDA at the end of any year during the term of the bonds. e Des 20863 e e e DOHERTY RUMBLE & BUTLER Nile Kriesel David T. Magnuson February 5, 1993 Page 5 PROFESSIONAL ASSOCIATION III. Financial Information Mr. Kriesel has recently met with Ken Grund, President of the Company. Mr. Grund has left with him various items of financial information about the Marina. If further information is required, please contact Mr. Grund or me. We request a meeting at your earliest convenience with appropriate City staff and fiscal consultants to refine the proposal, respond to any questions, and ascertain the level of interest. We believe it advantageous to all to keep this proposal as confidential as possible, until it is refined to the point of staff comfort with presentation to the Council members; we ask discretion in this regard. Sincerely yours, ~C P!,f?/2 David C. se~Q DCS/eka Enclosures cc: Ken Grund, St. Croix Stillwater Marina Company Sherrill R. Oman Des 20863 e e e DRAFT '] ! 71 q 2..--- RECYCLING SERVICE CONTRACT BETWEEN JUNKER RECYCLING INC. AND THE CITY OF STILLWATER 1. Collection of Recyclable Material I} ~. w u-k.-- Recycling collection shall take place at least twice a lllOIitll ~&PQ:l'Y ~ 1. _....k:? for each dwelling unit. The schedule Sball be consistent with the weekly schedule of the regular refuse collection. Daily service hours shall not begin prior to 6:00 a.m. nor continue past 10:00 pm. 2} Collection will be from the curbside. At a mJ.nlIDum, collection rrmst be for newspaper, corrugated paper, glass containers, aluminum, tin and steel cans. If rrmtually agreed upon or if required by federal, state or county mandate, other materials such as plastics and metal can be added. 3} The Contractor shall compile and retain recycling material data and report this data to the City on a form furnished by the City. Upon request from the City, the required data shall include but not be limited to original truck scale tickets, and/or market receipts, when delivered, showing the name of the contractor and the market, the date of delivery to market and the net weight and type of material. The Contractor must also provide to the City any pertinent information or data required by Washington County including data pertaining to household participation. 4} The responsibility of all recyclable material collected shall be that of the Contractor from the time of pickup. Thereafter, ownership remains with the Contractor until the Contractor has marketed the materials. II. Change in Collection Schedule I} The Contractor may request a change in the day of pick-up by requesting such change in writing to the City at least twenty-one (21) days from the proposed date the requested change is to take effect. A change shall be effected only upon authorization from the City and fourteen (14) day notice to the residents. 2) The Contractor shall not be required to make regular collections on New Years Day, Memorial Day, Independence Day, Labor Day, Thanksgiving Day or Christmas Day; provided, that the routes are collected reasonably in advance thereof or thereafter in the opinion of the City Coordinator, and the week's schedule shall be completed regardless of the holiday. It shall be the Contractor's responsibility to notify residents of any changes in the collection schedule as a result of said holidays. 1 ,/ . '"" e 3) The Contractor may also request a change in the route schedule by requesting such change in writing to the City at least thirty (30) days from the proposed date the requested change is to take effect. A route change shall be effected only upon authorization from the City. 4) The Contractor shall bear all costs involved in notifying resident of approved schedule changes. The City will, when possible, include information about recycling and of any schedule changes in its quarterly newsletter. III. Performance of Collection 1) Equipment a) The Contractor shall make all collections of recyclable in water-tight metal receptacle or vehicles so constructed that their contents will not leak, spill or scatter therefrom. Should recyclables be dwnped or spilled in collecting or transporting, it shall be immediately cleaned up. A broom and shovel in good, usable condition should be placed and maintained on each vehicle for this purpose. Receptacles and vehicles shall be kept clean and free from all offensive odors as possible and shall not be allowed to stand in any street, alley or other place longer than is reasonably necessary to collect recyclable. e b) All vehicles shall be painted and marked uniformly and shall have the hauler's name prominently displayed in letters of contracting color, at least three (3) inches high, on each side of the vehicle. c) The Contractor shall keep all equipment used in the performance of the work in good operating condi tion and in a clean, sanitary condition, shall thoroughly disinfect each vehicle at least once a week unless the same has not been used since the last disinfection thereof, and shall thoroughly inspect each vehicle as necessary. They shall be equipped to meet all federal, state and municipal regulations concerning vehicles used on public roads and maintained to meet these standards. Equipment is subject to periodic inspection by the City. d) Safety Equipment. Each collection vehicle shall have a flashing light warning system, fire extinguisher and proper backup alarms as approved by the City. e) The City, after consulting with the Contractor, may require the use of specialized containers. e 2 e 2. Personnel Requirements a) Employees shall be sober at all times, in the performance of their duties, be of a presentable appearance, perform work in a neat and quiet manner and at all times be courteous to the public. b) All services to be performed for the City by the Contractor pursuant to the terms of this Contract shall be supervised by such employee, agent or officer of the City as the City shall designate. The designated inspector may have access to all of the Contractor I s records and equipment pertinent to the recycling contract program at reasonable times. 3. Complaints a) The Contractor shall establish and maintain, in a location approved by the City, an office with continuous supervision, for accepting complaints and resident calls. The office shall be in service during the hours of 8:00 a.m. and 4:30 p.m., Monday through Friday, except holidays and as specified in the Contract. Address and telephone number of such office and any changes shall be given to the City in writing. b) Whenever the City or a resident notifies the Contractor of a location which has not received scheduled service, the contractor is required to serve such location no later than the following working day from the time of complaint. A record of all complaints and action taken thereon shall be kept by the Contractor and reported monthly to the City. All complaints shall be answered by the Contractor courteously and promptly. e 4. Public Education a) The City will act as overseer for recycling publicity and public education. IV. Record Keeping and Financial Records 1) The Contractor shall keep complete and accurate records, including quarterly profit and loss statements and balance sheets, in accordance with generally accepted accounting practices and shall make available for inspection by the City or County at any reasonable time within the term of the contract, any and all books, records, documents and accounting procedures and practices pertinent to the recycling contract program. 2) If the City determines that the Contractor has falsified data or invoices submitted to the City, the City will withhold any payment until the data or invoice is corrected and may result in the termination of the contract immediately upon verifying that e 3 e e e V. falsification occurred. Falsification includes, but is not limited to: claiming the weight of recyclables to be in excess of their actual weight ("bumping"); claiming recyclables collected outside the City in data or on invoices; and requesting payment for materials not specified in the contract. Payment for Services 1) The City shall pay the Contractor $ _ 'per month beginning r,,; , 199 for recycling services for each residential unit including apartments that are billed for regular collection service. 2) The monthly rate may be adjusted upward from time to time based on cost increases and decreases in revenues from the sale of recyclable material provided that adequate support and documentation is presented to the City justifying the proposed rate increase. 3) The monthly rate may also be adjusted downward from time to time based on cost decreases or increases in revenues from the sale of recyclable materials provided that adequate support and documentation is presented to the Contractor justifying the proposed rate decrease. VI. Insurance 1) During the entire period of the Contract, the Contractor shall maintain, at its cost and expense, and file with the City, policies or certificates of Worker's Compensation and General Liability Insurance. Minimum insurance policy coverage requirements are: a) combined single limit policy of One Million Dollars ($1,000,000) including Public Liability Coverage' for both Bodily Injury and Property Damage. All policies evidencing insurance required by this paragraph shall name the City and the Contractor as named insured, and shall insure the City and the Contractor by reasons of any act or omission, including negligence, of the Contractor or of the Contractor's employees or agents in connection with the performance of this Contract, including claims arising out of the use of or operation of any vehicles used by the Contractor or the Contractor's employees or agents in performing this Contract. Such policies shall be in form and content satisfactory to the City Attorney, and shall be filed with the City Clerk. A certificate showing that the Contractor has in effect the aforesaid insurance covering both the Contractor and the City shall be filed with the City Clerk within ten (10) days from the execution of the Contract, and yearly thereafter, at least thirty (30) days prior to the date of the expiration of said policies of insurance for each year of the Contract. All of the foregoing policies shall be issued by an insurance company or companies licensed to do business in the State of Minnesota and authorized to assume the risks covered thereby. Memorandum policies and receipts for the payment of premiums shall be filed with the City showing payment of premiums for at least one year in advance and on each renewal date provided therein. "-'" j);~ 4 VII. Indemnification e 1) The Contractor agrees to indemnify and hold harmless the City, its agents, officers and employees from any and all claims, causes of action, liabilities, losses, damages, costs, expenses including reasonable attorneys' fees , suits, demands and judgments of any nature, because of bodily injury to, or death of, any person or persons, and/or because of damages to property of the Contractor or others, including loss of use from any cause whatsoever, which may be asserted against the City on any such matters, and to pay and satisfy any judgment entered thereon together with all costs and expenses incurred in connection therewith. The City shall in no way be liable for any claims or charges incurred by the Contractor in the performance of this Contract. VIII. Guaranty of Nondiscrimination 1) The Contractor agrees that during the life of the contract, the Contractor will not, within the state of Minnesota, discriminate against any employee or applicant for employment because or race, color, creed, national origin or ancestry or sex and will include a similar provision in all subcontracts entered into for the performance thereof. The Contract may be cancelled or terminated by the City and all money due or to become due may be forfeited for a second or subsequent violation of the terms or conditions of this paragraph. This paragraph is inserted in the Contract to comply with the provisions of Minnesota statutes Subsection 181.59. e IX. Legal Compliance The Contractor shall comply with ordinances of the City and the County and the laws and regulations of the state of Minnesota and its agencies relating to collection of recycled materials in effect during the term of the Contract. X. Transfer or Sale of Contract 1) The Contractor will not make or create, or suffer to be made or created, any total or partial sale, assignment, conveyance, or lease, or any trust or power, or transfer in any other mode or form of or with respect to this Agreement or any part thereof or any interest therein, or any contract or agreement to do any of the same, without the prior written approval of the City, which approval will not be unreasonably withheld. The City shall be entitled to require, except as otherwise provided in the Agreement, as conditions to any such approval that: 1) Any proposed transferee shall have the qualifications and financial responsibility, as reasonably determined by the City, necessary and adequate to fulfill the obligations undertaken in this Agreement by Contractor; and e 5 e e 2) The transfer does not create an antitrust situation in the local refuse hauling industry that is contrary to the public interest of the residents of Stillwater; and Any proposed transferee, by instrument in writing satisfactory to the City for itself and their successors assigns, and expressly assumed all of the obligations of service under this Agreement and agreed to be subject to all the conditions and restrictions to which service is subject. It is the intent of this Section, together with other provisions of this Agreement, that (to the fullest extent permitted by law and equi ty and excepting only in the manner and to the extent specifically provided otherwise in this Agreement) no transfer of, or change with respect to, ownership or any part thereof, or any interest therein, however, consummated or occurring, whether voluntary or involuntary, shall operate, legally or practically, to deprive or limit the CIty of or with respect to any rights or remedies or controls provided in or resulting from this Agreement; and 3) 4) There shall be submitted to the City for review all instruments and other legal documents involved in affecting such transfer, and if approved by the City, its approval shall be indicated to the Contractor in writing. The proposed transferee shall submit to the City for review all bonds, insurance policies and any and all other documents required by this Agreement, and if approved by the City, its approval shall be indicated to the proposed transferee in writing. XI. Modification of Contract This Contract may be modified by the City to include regulations mandated by the State of Minnesota, Metropolitan Councilor the County of Washington. XII. Duration of Contract 1) This Contract shall remain in effect until ~1l.. 19~ unless terminated by the City on the grounds that a substantial change in circumstances or conditions, not apparent at the execution of this Contract, require a change in public policy needed to protect the health, safety or welfare of the City. If terminated before ~~ 3\O.I,\.19~, the Contractor shall be entitled to 90 days written notice. XIII. Breach of Contract 1) e If the City determines that the Contractor is in breach of the Contract, a written notice will be sent to the contractor allowing him thirty (30) days to comply. Failure by the Contractor to comply with the Contract by the end of the thirty (30) day period the City will terminate the Contract by legal remedy. 6 e e e effect from arr~~ IN WITNESS WHEREOF, we have hereunto set our hands the day and year first above written. JUNKER RECYCLING, INC. CITY OF STILLWATER BY: BY: BY: BY: STATE OF MINNESOTA COUNTY OF WASHINGTON The foregoing instrument was acknowledged before me this 1992, by James L. Junker on behalf of Junker Recycling Inc. day of Notary Public STATE OF MINNESOTA COUNTY OF WASHINGTON The foregoing instrument was acknowledged before me this day of 1992, by Wallace Abrahamson, Mayor and Mary Lou Johnson, City Clerk on behalf of the City of Stillwater. Notary Public 7 ,..'-. e e e MEMORANDUM TO: City Council, City Coordinator and City Attorney FR: Mayor Hooley DA: February 2, 1993 RE: RESULTS OF NEGOTIATIONS WITH JUNKER SANITATION, INC. Issue No. Recommendation 1 FEES FOR BED AND BREAKFAST OPERATIONS Agree to a special rate for bed and breakfast's based on number of bedrooms. Should be based on a reasonable estimation of extra waste generated (i.e., bed springs, mattresses, etc.). It was agreed that Junker Sanitation will provide 30, 60 and 90 gallon containers (customer's choice). There will be no extra charge for refrigerators, white goods, etc. Junker Sanitation will document all items thrown out. This will be on a trial basis for a six-month period of time. 2 FEES FOR MULTIFAMILY UNITS 3 Agree to a rate based on NOlumejweight generated. /~ Same as Issue . 1. Customer's choice on a 30, 60 or 90 allon cont oner. Junker will ne otiate with customer and offer r~g~=liR~ bin~ in whatever size required at no extra charge. If customer insists on a dumpster, a per unit charge of $19.75 will be issued. (, ~ i'"~ FEES FOR BUSINESSES OPERATED OUT OF THE HOME Send to Solid Waste Committee for study and recommendation. Same as Issue Nos. 1 and 2. ,,~~ 4 BASIS FOR PAYMENT TO JUNKER SANITATION INC. Pay as we receive (but not more than average usage per year). Junker agrees to deliver all the bags in his possession to the City. The City will sell the bags to any supermarket or store for $1.75 per bag. Once a month the City will pay Junker for those bags sold. ,. " t,,'- e e e 5 POLICY ON VACANT UNITS INCLUDING CHANGES OF OCCUPANCY Continue present policy - maybe a special monthly rate could be charged to snowbirds. Snowbird Policy. For those customers using the $13.75 (30 gallon) container, the price shall be reduced to $7/month for the period of their absence; $9 for the 60 gallon container and $10/month for the 90 gallon container. 6 POLICY ON USE OF GARBAGE CANS Do not require Jim to have excess waste in garbage cans. Junker agrees to work with the problem if that problem exists placing City bags in a container to protect the bags from cats and dogs in tearing them apart. 7 FEES FOR PICK-UP OF CITY TRASH Junker should be paid - however he can add this to his costs so we can add it to the rates rather than paying directly out of general fund (general fund is supported by taxes rather than user fees). The City agrees to close the city d~ and eliminate cleanup days. The City will buy its containers and Junker Sanitation will empty those container at no charge. Junker will also serve the City's lift stations at no charge. 8 POSSIBLE REQUIREMENT OF CLEAR PLASTIC BAGS Send to Solid Waste Committee for study and recommendation. Left out. To be discussed at a later date. 9 CLARIFICATION OF WHAT CONSTITUTES EXTRA WASTE Require that construction material be part of regular waste and must be placed in cart or specialized bag. All material must be placed in either a container or bag, and if it constitutes major construction material, a dumpster will be required. .' t'.~ e e e 10 TIMING OF PAYMENTS TO JUNKER SANITATION FOR CERTIFIED ACCOUNTS Consider paying Jim at time of certification. This item was not able to be negotiated at this time. 11 COPY OF LIST OF ACCOUNTS BILLED BY JUNKER SANITATION, INC. Require Jim to submit list of accounts billed to City. Junker Sanitation agrees to give the City a list of accounts. 12 RENEWAL OF RECYCLING AGREEMENT Negotiate based on documentation of cost of operation. Will be negotiated at a later date. 13 ESTABLISHMENT OF DISPUTE RESOLUTION COMMITTEE Require DRC when disputes cannot be resolved. Has been resolved. 14 COPY OF ORIGINAL SIGN UP FORMS AND CONTAINER CHANGE FORMS Require documentation (i.e., forms' to be given to City). Junker Sanitation agrees to send all original signup forms that he has in his possession to the City.