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03-24-14 (a) Charter Packet
LINO LAKES CHARTER COMMISSION SPECIAL MEETING PRESENTATION BY CITY STAFF ON COUNCIL PROPOSED CHARTER AMENDMENTS (CHAPTER 8) AGENDA MONDAY, MARCH 24, 2014 6:00 PM 1. Call to Order and Roll Call 6:00 PM 2. Pledge of Allegiance 3. Presentation by City Staff on City Council Proposed Charter Amendments (Chapter 8). 4. New Business A. Next meeting date, Thursday, April 10, 2014 Adjournment Connie Sutherland Kathryn Timm Caroline Dahl Chair Vice Chair Secretary CITY COUNCIL WORK SESSION March 3, 2044 DRAFT 90 Ms. Larsen pointed out that there are similar homes built in The Lakes development in 91 Blaine and she will send out location information so the council can take a look. 92 Modifications requested by the council will be included in the resolution that the council 93 sees on Monday. The council concurred. 94 95 4. 7309 Lake Drive (Regular Agenda Item)—Community Development Director 96 Grochala noted that discussions about this property have been ongoing since early 2013 97 and they involve a code enforcement issue. Through discussions with the property 98 owner, staff has worked out a land use agreement that will eventually end the problem use 99 and provide some control in the meantime. He reviewed the terms of the proposed 100 agreement. Mayor Reinert asked what would happen if, in the meantime, other 101 enforcement issues arise? Mr. Grochala replied that staff would then intend to follow 102 through with the necessary legal steps relative to that issue. Mayor Reinert suggested 103 that this agreement appears to be what the city needs to do to get some control and bring 104 this to a manageable situation and the council concurred. 105 106 5. FEMA Map Revision—Community Development Director Grochala explained 107 the flood plain information before the council. It involves a map showing flood plain 108 areas within the city. This information is required in order to qualify for flood insurance. 109 There are designated points where the map indicates structures that are not on the flood 110 plain. He noted changes to some area lakes (water has risen). The city has a 90 day 111 review period and WSB has been asked to calculate impacts to the city. It appears that 112 there is little gain of flood plain—it actually stays pretty even. Eventually the city would 113 adopt its flood plain ordinance to mirror the new map details. The positive of this new 114 map is that it will provide updated information to property owners. 115 116 6. Charter Amendment/Street Reconstruction Plan—Community Development 117 Director Grochala recalled that at the previous work session, the council reviewed options 118 for advancing street reconstruction projects and directed staff to report back on all three 119 options. Staff began by working on a street reconstruction plan that will be reviewed. 120 Regarding the charter amendment process, staff is presenting two options. Option one is 121 basically what went to the voters in 2012 with a few changes that are outlined in the staff 122 report (clarifying language regarding benefiting properties, lowering the percentage of 123 signatures needed to require an election and lengthening the time period to gather a 124 petition). The council discussed the charter amendment process included in statute. 125 Mayor Reinert suggested that a meeting with the Charter Commission is very important 126 and he hopes that will occur. Mr. Grochala then reviewed charter amendment ordinance 127 option two. This ordinance follows existing charter language except for some updating 128 and adds the option of street reconstruction financing under state statute. 129 130 Mr. Grochala noted that the first reading of an ordinance needs to occur at the next 131 council meeting to stay within the schedule for ballot submission. The council discussed 132 which ordinance they'd like to submit to the Charter Commission. Ordinance one would 133 be more familiar to the commission since it was reviewed in 2012. Ordinance two keeps 134 much of the current Charter language for everything except street reconstruction projects. 3 CITY COUNCIL WORK SESSION March 3, 2044 DRAFT 135 That type of project, meeting the requirements of state law, would follow an assessment 136 process allowed under state law. It also streamlines language relative to projects that are 137 one hundred percent assessed and does leave the exempt zone language in the Charter. 138 139 Mayor Reinert said it is time to fix some roads and he'd like to see a street project done 140 this year. A change to the Charter has been attempted several times. He is supportive of 141 meeting with the Charter Commission to see if that is productive. He understands that 142 discussion needs to occur soon though because there is a schedule necessary to get 143 anything on the ballot if that is the choice. The council discussed the time it could take 144 to fulfill the process. Ordinance two would possibly be easier to explain because it 145 simply deals with one element of public improvements—street reconstruction. 146 147 Mayor Reinert said he likes the idea of working with the Charter Commission. He 148 would have concern about considering an amendment this year and not getting a project 149 done though. If a change can occur working with the Commission, that would be great. 150 If not, the roads must be fixed. Mr. Grochala suggested that some preliminary work can 151 be done while the charter process goes on—a street reconstruction plan put in place, a 152 feasibility plan prepared for a project under the current charter language. The council can 153 do a first reading at the March 10 council meeting and forward an ordinance to the 154 Commission. 155 156 The council looks forward to a joint meeting with the Commission at which the groups 157 can work together on an appropriate change. It will be up to the Commission to be open 158 to having a special meeting and then having an open discussion. Engineer Wedel 159 remarked that a goal of coming to an end at one meeting may be ambitious; it may be best 160 to plan for more than a single meeting. 161 162 The council discussed which ordinance they'd like to forward to the Commission. They 163 concluded that both ordinances should be on Monday's council agenda for consideration. 164 165 Mr. Grochala reviewed the street reconstruction bonding process under state law. The 166 law requires an approved street reconstruction plan, keeping assessments within a certain 167 range, and following Statute Chapter 429 for assessment procedure. Mayor Reinert 168 asked Mr. Grochala to prepare a chart that compares proposals and current law and 169 charter. 170 171 Mr. Grochala noted that staff has put together a draft street reconstruction program which 172 he reviewed. It involves updated ranking of street conditions, including traffic volumes, 173 and weighting the average. That leaves a top-ten project area broken into five phases. 174 The next step would be to begin looking at financing options based on those plans. The 175 council is requested to authorize staff to proceed on financing review with some 176 consultant assistance. After further reviewing how the public would be involved in 177 reviewing a plan, the council concurred with the direction. 178 4 CITY COUNCIL WORK SESSION March 3, 2044 DRAFT 179 7. Council/Charter Commission Joint Meeting with Facilitator—Administrator 180 Karlson explained that WSB, the city's contract engineering firm, has a new employee 181 brought on to deal specifically with risk management and strategic analysis. It's been 182 suggested that this new service provided by Philip Barnes would be a good fit for the 183 council's work with the Charter Commission. A facilitated meeting could serve to 184 establish a vision for success on which a working relationship could be built. The 185 services are being offered at a nominal cost because it is a new service. 186 187 City Engineer Wedel explained Mr. Barnes' background, having worked successfully 188 with MnDOT facilitating discussions with citizens. 189 190 Council Member Kusterman expressed interest noting that it is a good value because it is 191 a new service for them so WSB is making it a good opportunity for the city. 192 193 The council would like to schedule a joint meeting as soon as possible and they discussed 194 possible dates within the next two weeks. Mr. Karlson will check on Mr. Barnes' 195 schedule and contact the Commission chair about their availability for a special meeting. 196 197 8. Monthly Progress Report—Administrator Karlson updated the council, highlighting 198 the following: 199 -Digital Scanning Project—covered on regular council meeting 200 -Labor Negotiations—The proposal for the police officers for three years has 201 been forwarded to the union with no word back yet. Mr. Karlson will be bringing 202 forward proposals to the council for the 2014 contract with AFSCME and the 49ers. 203 - ECFE Building—the loan for the day care center facility is moving forward but 204 slowly. There should be a proposal for a lease agreement possibly in a few weeks. 205 -Fire Department Analysis—the council had a conference call with Dave 206 Unmacht and the consultant who would lead an analysis. Mr. Karlson is assisting them 207 in any way he can as they prepare for their work. An official approval of their services 208 will be on the council agenda. The mayor asked staff to stay on the alert for grant funding 209 that is available for fire departments; Chief Streich should have knowledge of the system. 210 211 9. Schedule Meeting with Advisory Boards—Mayor Reinert remarked that he'd like 212 to schedule a meeting with all the advisory boards at one time—an agenda would be 213 established but mostly he sees it as a get to know each other session and a listening 214 session for the council. He suggests scheduling that sometime during the spring season. 215 216 10. 2015 Budget-Administrator Karlson noted that the management team is already 217 thinking about the budget. They are discussing a five-year financial plan. The mayor 218 remarked that it's been most difficult to do that plan under economic stress—now that 219 things are moving in a better direction that type of planning becomes more possible. Mr. 220 Karlson noted that based on the assessor's projections, property values are moving up. 221 Mayor Reinert remarked that it will be an important time for restraint but the news is 222 good. Finance Director Rolek added that the best reason to do a five year plan is 5 COUNCIL MINUTES March 40, 2044 DRAFT 180 181 Council Member Stoesz ensured that the city would still be able to enforce regulations not to do with 182 the storage issue. 183 184 Council Member Roeser moved to approve Resolution No. 14-26 as presented. Council Member 185 Kusterman seconded the motion. Motion carried on a unanimous voice vote. 186 187 6D) Resolution No. 14-25,Approving Site Performance Agreement with Metro Transit—City 188 Engineer Wedel showed the location of the transit park and ride facility on an overhead. Another 189 element impacting this project is construction of the roadway, a joint project with the City of 190 Centerville. The agreement is a standard required by this city and outlines project information and 191 fee/requirements. 192 193 Council Member Rafferty moved to approve Resolution No. 14-25 as presented. Council Member 194 Stoesz seconded the motion. Motion carried on a unanimous voice vote. 195 196 6E) 1st Reading of Ordinance No. 03-14,Amending Chapter 8 of the Lino Lakes City 197 Charter, Regarding Public Improvements and Special Assessments 198 199 Community Development Director Grochala explained that there are two options (ordinances) that 200 were forwarded from the council's work session discussion. 201 202 Mayor Reinert asked staff to explain why charter amendments are important. Mr. Grochala 203 explained that the Lino Lakes City Charter is unique in how it addresses public improvements. State 204 Statute Chapter 429 provides cities the means to assess for public improvements costs. The city 205 charter allows for neighborhood veto and also,past that process, election is required if any property 206 tax funding is used. In terms of street reconstruction, the problem has been the difficulty in getting 207 any of that type of work accomplished. A modification that provides a more streamlined process for 208 public improvements is desired. Something that provides residents with a voice and the opportunity 209 of ballot consideration if that is desired. He explained that the two proposed amendments are 210 outlined in the staff report. Briefly the first option is generally consistent with the amendment placed 211 before voters in 2012 with some changes incorporated that mostly respond to concerns heard about 212 the 2012 ordinance (changes reviewed). Option two combines some of the changes from option one 213 as well as retains language existing in the current Charter. The hearing process is the same (follows 214 Chapter 429)but a requirement is added that the hearing notice include a cost assessment notification. 215 This option also allows the neighborhood 60 days to petition against the project(existing Charter 216 language). It would still require an election if any property tax dollars are proposed to be used except 217 for street reconstruction projects to be done under state law (street reconstruction bonding). The 218 remainder of changes proposed in option two were reviewed and Mr. Grochala indicated they are 219 fairly general in nature. 220 221 Staff is in the process of preparing a synopsis that will compare the amendment(s) with Minnesota 222 Statutes. Because of the statutory process for charter amendments, the council would need to move 223 now on forwarding an ordinance to the Charter Commission in order to meet the ballot deadline. 224 5 COUNCIL MINUTES March 40, 2044 DRAFT 225 Mayor Reinert explained that option one represents the same concept that got more than 50% of the 226 vote in 2012. He knows the council would like to also consider putting a road project on the ballot 227 this fall. He thinks working with the Charter Commission is also a good idea and noted that many of 228 their suggestions from last time have been included in option one. The council originally discussed 229 making a decision about which option to forward to the Commission but the more he's thought about 230 it, the more he sees that both ordinances are good options. It's important to move ahead because of 231 that statutory calendar. He hopes for the best outcome—to have a recommendation forwarded by the 232 Commission for a council vote. 233 234 Mayor Reinert suggested that the council consider forwarding both ordinances. It puts more options 235 on the table for consideration of the Charter Commission. Mr. Grochala suggested that he isn't 236 aware of anything that would prohibit forwarding both ordinances. 237 238 Council Member Roeser asked if a joint meeting with the Charter Commission has been established. 239 City Clerk Bartell indicated that the Commission Chair has expressed the possibility of holding a joint 240 meeting on April 10 (their regular meeting day). Mr. Grochala noted that that the Commission has 241 requested a meeting with staff prior to a joint session. 242 243 Council members commented that forwarding both ordinances makes sense for flexibility as long as 244 one can be pulled back when the time comes. Putting forward two proposals shows clearly that the 245 council is interested in meeting the commission at a point of agreement. The two ordinances are not 246 about indecision but about extending more options for consideration. 247 248 Motion by Council Member Roeser, seconded by Council Member Kusterman, to approve the 1st 249 Reading of Ordinance No. 03-14 as presented. Motion adopted on unanimous voice vote. 250 251 Motion by Council Member Roeser, seconded by Council Member Rafferty, to approve the 1st 252 Reading of Ordinance No. 04-14 as presented. Motion adopted on a unanimous voice vote. 253 254 UNFINISHED BUSINESS 255 256 There was no Unfinished Business. 257 258 NEW BUSINESS 259 260 There was no New Business. 261 262 COMMUNITY EVENTS 263 264 MONTHLY RECYCLE DAY will be held at Lino Park(7850 Lake Drive) on Saturday, March 15, 265 2014 from 10:00 a.m. to 2:00 p.m. See city website for a list of accepted items. 266 267 BENEFIT HELD FOR LOCAL MOM—A benefit will be held for Cyndi Eckart and her family on 268 Saturday, March 15 from 4-7:00 p.m. Cyndi is a lifetime resident and mother of four. 269 6 1 sr Reading: March 10, 2014 Publication: 2n Reading: Effective: CITY OF LINO LAKES ORDINANCE NO. 03-14 AN ORDINANCE AMENDING CHAPTER 8 OF THE LINO LAKES CITY CHARTER, REGARDING PUBLIC IMPROVEMENTS AND SPECIAL ASSESSMENTS The City Council of the City of Lino Lakes does ordain: Section 1. That Chapter 8, Section 8.01, 8.02, 8.03, 8.04, of the Lino Lakes City Charter be and are hereby repealed: acc tion &01. Powerto Make improvements and Levy Assessments. The City may make any type of p4he impt:avemeats not fe�idden by law and levy speeial- assessments to pay all of! any pat4 of the eost of stieh improvements as are of a loeal chameten The total assessments for- any loeal impr-ovement may fiat e*eeed the eost of the impr-evemefit-, ineluding all costs and expenses eenneeted thefewith, with intet!est. No assessment shall exeeed the 1 eflef is to the p oftt ccleeal n shall mean a publie ant finaneed pai4ly or- wholly from speeial assessments) shall be eaffied otit twenty (120) days aftef this Chai4er- goes inte eff-eet and befefe leeal impr-ovements ean be aeted detefmination of assessments and sessment > > assessments,of id > > and the eei4if�,ing of unpaid assessments for- eofle�tien by the P-rope-F County of-4--ev-4f. appellate > > > 0 the > > • The Cettneil f!eselutiefi shall state the nature and seepe ef pr-epesed impfwvenient including th stteh estimate, the Getmeil shall by f:eselutien set a date fef: a p4lie heafifig en the proposed shall be published in the ef-fieial newspaper ef the City fie les-R > at least ofie week apart, than twe (2) weeks pfief te the date ef said > > benefitted preperty ewnef at his/her-last knewn addt!ess at least t--,A,e (2) weeks prier-te the date e said heafifig. Failtir-e te give mailed fiefiee, or- any defeets in the fietiee, shall fiat invalidate the pr-eeeedings. At sueh hearing the City shall t!eeeti-- ffiny vffitten and er-al sta4etnefits, and heat!any present a speeial assessfnent f6fmtila and an analysis ef the assessment ineome expeeted to offset bef6r-e an), fuFther aetion shall be taken by the Ceuneil, en the proposed inipt!ovetnent. if within pfepesed to be assessed for- stteh t, or- when the impr-evement has been petitioned > > at leas-t e"al to the f+umber- of these who petitiefied fer- the improvement, the Getmeil shall not Mal > uniess, filed with t4e Catineil a petitien asking that the impr-ovement be made, signed by pr-opef4y signed the petition against the impr-ovement; in whieh event the Gotmeil may disr-egaf:d the for- a loeal impr-ovement, may withdfaw his/her- name by statement in writing filed with t than one hundr-ed in the meantime thet!e b-e assessments,9-46) per-eent of the estima4ed eost of the proposed impr-ovement is to be paid fe-F by speeial oefineetien ehaFges, the City gener-al Rind, the Cetineil shall submit the proposed loeal improvement and i sehedttled to oeettr- within 160 days after- the eoneltision of the pttblie heafing, the Gotmeil shall > the Gettneil may by feselutien, Pat. if after- bids are r-eeeived on the pr-ojeet the proposed eentfaet exeeeds the eest of the engineer- stated at the p"he hearing held tmder- 94&visien 1 by more tha ten six4y (60) days and ene (1) year- after- the eenehision ef the ptiblie hearing, pr-eeeed on the ) per-eent, the City Couneil may not award the eofAr-aet for- the proposed bt4 may r-ebid the pr-E�eet for one (1) time only. subdivisions, the Gotineil shall not wtp, A:R th P. ,q hfnen4 within a period of one (1) ye after the ,.,,1 he l,o.,,-;ng a said; ,mot Section 2. That Chapter 8 of the Lino Lakes City Charter be amended by adding thereto a new Section 8.01 to read as follows: Section 8.01. Local Improvements Defined; Charter Provisions Effective. Subdivision 1. For the purposes of this Chapter, the term "local improvements" means any public improvements financed in whole or in part from special assessments. Subdivision 2. For the purposes of any objection or petition under this Chapter, (a) only one person or entity may sign an objection or petition on behalf of all owners of a parcel; and (b) if the same person or entity owns more than one parcel affected by a local improvement, that person or entity may sign an objection or petition only once; and (c) for the purpose of identifying recipients of any notice under this Chapter, owners are determined in accordance with Minnesota Statutes, Section 429.031, subdivision 1. Subdivision 3. The Ci . may undertake any local improvements not forbidden by law and levy pecial assessments to pay all or any part of the cost of such local improvements. The principal amount of special assessments for any local improvements shall not exceed the cost of the local improvement, including all design, financing and related costs, and shall not exceed the benefit to the property determined in accordance with state law. Subdivision 4. Local improvements shall be carried out exclusively under the provisions of this Charter, except to the extent otherwise provided in Section 8.02. Section 3. That Chapter 8 of the Lino Lakes City Charter be amended by adding thereto a new Section 8.02 to read as follows: Section 8.02. Local Improvement Procedure. Subdivision 1. Local improvements shall be carried out in accordance with state law, except as provided in this Section. Subdivision 2. If more than 50 percent of the owners of the real property within the area proposed to be assessed as defined in the mailed notice of the improvement hearing under Minnesota Statutes, Section 429.031, subdivision 1, sign written objections regarding the local improvements, and file such objections with the city clerk prior to the improvement hearing or present such objections to the presiding officer at the hearing, then after the hearing the council shall schedule a special meeting to be held at least 45 days after the date of the hearing. At least 10 days prior to the date of the special meeting, the city shall publish notice of the special meeting and mail notice of the special meeting to all owners who received the initial notice under Section 429.031, subdivision 1. Such published and mailed notice shall include all the information provided in the initial mailed notice, along with a statement as to the number and percentage of affected owners who filed objections at or before the hearing. At the special meeting, the council shall hear additional testimony on behalf of any objecting property owners, and may consider further written or oral testimony from appropriate city officials and other witnesses, as to the nature of the local improvements, the advisability of proceeding with such local improvements, the proposed financing for such local improvements, any proposed amendments to the plans or financing for such local improvements, and the methodology used to calculate individual special assessments for such local improvements. Subdivision 3. A resolution ordering the local improvements (as such local improvements may have been amended in response to the hearing or special meeting Section 8.02, Subdivision 2) may be adopted at any time within six months after the date of the special meeting by vote of a majority of all members of the council when the local improvement has been petitioned for by not less than 35 percent of the owners of the real property within the area proposed to be assessed defined in the petition as the location of the local improvement; and when there has been no such petition, the resolution may be adopted only vote of four-fifths of all members of the council. The effective date of a resolution ordering the local improvement must be at least 30 days after adoption. Within five days after adoption of the resolution, a summary of the resolution must be mailed to the affected owners. If more than 50 percent of the affected owners sign written objections regarding the resolution, and file such objections with the city clerk prior to the effective date of the resolution, the resolution does not become effective and the local improvement is not ordered. Any objections filed under Section 8.02, Subdivision 2 will not constitute objections under this Subdivision 3. If the required number of owners do not file a timely objection under this subdivision, the local improvement may proceed after the effective date of the resolution, except as otherwise provided in Subdivisions 5 and 6. Subdivision 4. If timely objections are not filed by the required number of property owners under Subdivision 2 of this Section, Subdivisions 2 and 3 of this Section do not thereafter gpply to the subject local improvements, and all subsequent procedures for approval of and levying of special assessments for those local improvements shall be in accordance with state law, except as otherwise provided in this subdivision and Subdivisions 5 and 6. Notwithstanding an. hing to the contrary in Minnesota Statutes, Section 429.031, subdivision 1, clause (f), a resolution ordering the local improvement may be adopted at any time within six months after the date of the hearing by vote of a majority of all members of the council when the local improvement has been petitioned for by not less than 35 percent of the owners of the real property within the area proposed to be assessed as defined in the petition as the location of the local improvement; and when there has been no such petition, the resolution may be adopted only vote of four-fifths of all members of the council. Subdivision 5. If any portion of the cost of a local improvement is to be paid from ad valorem taxes, the ordering of the local improvement shall be suspended for 45 days after the effective date of the resolution ordering the local improvement under subdivision 3 (if no timely objection was filed by the required number of owners) or under subdivision 4. If a petition requesting a vote on the local improvement signed_ by registered voters equal to at least 5 percent of the votes cast in the last general municipal election is filed with the City Clerk by the end of that 45-day period, then the City may proceed with the local improvement, and may issue general obligation bonds to finance the local improvement, only after obtaining approval of a majority of the voters voting on the question at a general or special election. The ballot shall generally describe the proposed local improvement, the estimated principal amount of bonds to be issued to finance the local improvement, and the estimated percentage of total debt service on the bonds expected to be paid from ad valorem taxes. Subdivision 6. If the voters do not approve a local improvement and issuance of bonds therefore at an election required by subdivision 5, the provisions of Minnesota Statutes, section 475.58, subd. la shall apply. Section 4. That Chapter 8, Section 8.05, of the Lino Lakes City Charter is hereby amended as follows: Section 8.0-53. Assessments for Services. The Council may provide by ordinance that the cost of City services to streets, sidewalks, or other public or private property may be assessed against property benefitted and may be collected in the same manner as special assessments. Such eestsservices shall not be deemed to be "speeial assessments"local improvements for the purposes set forth in Section 8.0301 of this chapter. Section 5. That Chapter 8, Section 8.06, of the Lino Lakes City Charter is hereby repealed: is petitioned for-by one 4undr-ed 0 ev�%er-s may after- the mailing of nefiee of a publie hearing, petition to waive fifty (50) of sixty (60) days waiting period. After- sueh petition, the City Couneil may immediately ofder-the proposed pr-oj eet. (Amended) Section 6. That Chapter 8, Section 8.07, of the Lino Lakes City Charter is hereby amended as follows: Section 8.0-74. Local Improvement; Special Provisions. Subdivision 1. Except as provided in Subdivision 3, in the geographic areas of the City described in Subdivision 2, the construction of local improvements, the levy of special assessment for the financing of those improvements must be conducted in accordance with procedures specified in state law. Subdivision 2. Subdivision 1 applies to land within three (3) geographic areas, each not exceeding 430 acres, legally described as follows: AREA NO. 1 - Trunk Highway#49 (Hodgson Road) and County State Aid Highway#23 Intersection(Lake Drive) -All Government Lot 1, Section 30, T31, R22, PIN. 30-31-22-210001 -That part of Lots 14, 15, 16 and 17, Auditor's Subdivision No. 151 lying south and east of State Trunk Highway#49 (Hodgson Road) right-of-way AREA NO. 2 - Interstate I35E and County Road 242 (Main Street) Interchange -Northeast one quarter(1/4) of Section 24 - That part of the southeast one quarter(1/4) of Section 24 lying north of Cedar Street - East one half(1/2) of the southwest one quarter(1/4) of Section 24 - East one half(1/2) of the northwest one quarter(1/4) of Section 24 AREA NO. 3 Interstate I35W and Trunk Highway#49 (Lake Drive) Interchange -North one half(1/2) of the southwest one quarter(1/4) of Section 18 - That part of the south one half(1/2) of the southwest one quarter(1/4) of Section 18 lying north of the Interstate I35W right-of-way - That part of the southwest one quarter (1/4) of Section 17 lying west of Trunk Highway #49 (Lake Drive) right-of-way - All of the northwest one quarter(1/4) of Section 17 with the exception of that part of the southeast one quarter(1/4) of said northwest one quarter(1/4) of Section 17 as follows: beginning at a point at the intersection of the south line of said southeast one quarter(1/4) of the northwest one quarter(1/4) with the east right-of-way line of Trunk Highway#49; thence northeasterly along said right-of-way line 938.14 feet(+ or-) ; thence southeasterly 672. 39 (+ or-) feet to east line of said southeast one quarter(1/4) of the northwest one quarter(1/4); thence south along said east line 588.5 (+or-) feet to the south line of said southeast one quarter(1/4) of the northwest one quarter(1/4); thence westerly along said south line 1021.59 feet (+ or -)to the point of beginning. - The north 720 feet of that part of the southwest one quarter(1/4) of the northeast one quarter(1/4) of Section 17 lying west of the Anoka County Park property - That part of the north one half(1/2) of the northeast one quarter(1/4) of Section 17 lying west of the Anoka County Park property - That part of the north one half (1/2) of the northeast one quarter (1/4) of Section 17 lying west of the Anoka County Park property - The south one half(1/2) of southeast one quarter (1/4) of the southeast one quarter (1/4) of Section 8 - The southeast one quarter (1/4) of the southeast one quarter (1/4) of the southwest one quarter(1/4) of Section 8 - The east 330 feet (+ or -) of the northeast one quarter (1/4) of the southeast one quarter (1/4) of the southwest one quarter(1/4) of Section 8 Subdivision 3. When construction of local improvements, the levy of special assessments for the financing of those improvements specially benefit a parcel of real property, in an area described in subdivision 2, on which a single family, owner occupied residential unit existed on September 30, 1993, the owner/occupant of such residential unit may file a petition with the City Clerk objecting to the special assessment to be levied against his/her parcel. Such petition shall be filed with the City at or before the first public hearing to be held on the project. After the filing of such petition the City may not specially assess such owner's property for the improvements constructed unless the owner, at his/her option, in the future elects to connect to or use the improvements constructed by the City. Any notice of hearing mailed to such single family, owner occupied units shall include notice of the property owner's right to object to the assessments as granted in this paragraph. This exception terminates on the first day that an owner occupied residential unit no longer exists on the parcel of real property. Jeff Reinert, Mayor Attest: Julianne Bartell, City Clerk Adopted by the Lino Lakes City Council this day of , 2014. The motion for the adoption of the foregoing ordinance was introduced by Council Member and was duly seconded by Council Member and upon vote being taken thereon, the following voted in favor thereof: The following voted against same: 1 sr Reading: March 10, 2014 Publication: 2n Reading: Effective: CITY OF LINO LAKES ORDINANCE NO. 04-14 AN ORDINANCE AMENDING CHAPTER 8 OF THE LINO LAKES CITY CHARTER, REGARDING PUBLIC IMPROVEMENTS AND SPECIAL ASSESSMENTS The City Council of the City of Lino Lakes does ordain: Section 1. That Chapter 8, Section 8.01, 8.02, 8.03, 8.04, 8.05 and 8.06 of the Lino Lakes City Charter be and are hereby repealed: The Gity may make any type of publie impt!ovements not fo�idden by law and levy speeial. imehiding all eests md expenses eonmeeted therewith, with inter-est. No assessment shall exeeed the benefits to the p o,t., ccloeal n shall mean a pubitic- vA,ei+t5, (Q0) days a4eF this Chai4er- goes into effeet and be�qFe loeal impFovements ean be aete4 upon, the Gatineil shall enaet suitable ofdinanee(s) goveming leeal improvements and speeial detefmination of assessments and assessment appeals from a eolleeti > ublie > of in of said > payments,enalties �qr- assessments, efdinaaee(s) shall also pr-ovide for- installment pa��eats a-Rd notiees to be given ther-ee'f-, > > > befiefitted property shall be itistittited by either-, (1) a petition of a4 least twenty five per-eent one signa4ur-e.) together- with a resolution adopted by an affirmative vote of the major-ity of all o the > > • The Council resolution shall state the nature and scope of proposed improvement including th fitimber- of betiefitted property owfiefs, and shall provide meafis to Obtain a eest estimate whie4 shall set for-th the oost of the impr-ovement both in unit price and in total thereof. Upon r-eceip . . Pffit setting fofth ther-ein the time, place and purpose of sueh hearing. Sueh r-esoluti shall be ptiblished in the of-fieial newspaper of the City tie les-R > at least one week apart, hearing,than two (2) weeks pfiof to the date of said and in addition thereto, r-esoltition ifieltidifig estimate ttflit pr-iees and estima4ed total -pr-iee thereof shall be mailed to eaeh benefitted pfopefty ownet!at hWher-last known addt!ess at least M,o (2) weeks ptior-to the date 0 said heafifig. Failtir-e to give mailed notiee, or- any defeets in the notiee, shall fiet ifwalida4e the prweedings. At sueh hear-ing the City shall t!eee,ive any--itten and or-a! statements, and heat!aiiy pr-esefit a speeial assessffletit fofmttla and an analysis of the assessment ifieome expected to off-set the -proposed impr-ovemefit eost. A pefied of six�y (60) days shall elapse aflef the ptiblie heafing befofe any fufthef! aetion shall be taken by the Couneil, on the proposed impfovement. if'within petition against stteh in . I 3e filed with the Council, signed by a majefity of the ownefs pf:oposed to be assessed for- sueh i . t, or- when the impr-ovemeat has been Petitioned f6f > > at le e"al to the f+umber- of these who petitioned for- the impr-ovement, the Couneil shall not Mal stieh impt:ovemei+t at the expense of the p-Fopefty > unless, filed with the Cotineil a petition asking that the impr-ovement be made, signed by pr-opeAy signed the petition against the impr-ovement; in whieh event the cotineil filay disregard the petition against the impf:ovement. Any per-son whose nafne appeafs on a petitiOR tO the COUR for- a loeal impr-ovement, may withdfaw his/her- name by statement in writing filed with t Subdivision 2. RegaFdless of the pr-ovisions of Subdivision 1 of this seetion, when 1 than one hundr-ed in the Meantime there be assessments,paid fo-F by speeial > sixty (60) days and one (1) year- after- the eonelusion of the p4lie hearing, pr-oeeed on the eost of the engineer- stated at the publie hearing held tmder- Subdivision 1 by mefe thaft ten which the Couneil shall base their deeision, the Couneil may by resolution, at any time between but may r-ebid the pr-ojeet for-one (1) tifne only. Subdivision 4. When a propose yement is -disallowed undeF the for-egoing after-the publie hearing on said impr-ovement. > sidewalks, Sueh eests shall not be deemed to be nspeeial assessments" foF the purposes set forth in Seetion 9.03 of this ,hapter Seetion 4 Whenunder- the f seetion Q 04, Seib iyis o 11 "ement 0 owners may after- the mailing of notiee of a p4lie hearing, petition to waive fifty (50) of six4y (60) days waiting period. AfteF sueh petition, the City Couneil may immediately ordeF the proposed pr-ojeet. (Amended) Section 2. That Chapter 8 of the Lino Lakes City Charter be amended by adding thereto a new Section 8.01 to read as follows: Section 8.01. Local Improvements Defined; Charter Provisions Effective. Subdivision 1. For the purposes of this Chapter, the term "local improvements" means any public improvements financed in whole or in part from special assessments. Subdivision 2. For the purposes of any objection or petition under this Chapter, a only one person or entity may sign an objection or petition on behalf of all owners of a parcel; and (b) if the same person or entity owns more than one parcel affected by a local improvement, that person or entity may sign an objection or petition only once; and (c) for the purpose of identifying recipients of any notice under this Chapter, owners are determined in accordance with Minnesota Statutes, Section 429.031, subdivision 1. Subdivision 3. The Ci , may undertake any local improvements not forbidden by law and levy special assessments to pay all or any part of the cost of such local improvements. The principal amount of special assessments for any local improvements shall not exceed the cost of the local improvement, including all design, financing and related costs, and shall not exceed the benefit to the property determined in accordance with state law. Subdivision 4. Local improvements shall be carried out exclusively under the provisions of this Charter, except to the extent otherwise provided in Section 8.02. Section 3. That Chapter 8 of the Lino Lakes City Charter be amended by adding thereto a new Section 8.02 to read as follows: Section 8.02. Local Improvement Procedure. Subdivision 1. Local improvements shall be carried out in accordance with state law, except as provided in this Section. Subdivision 2, The notice of hearing mailed to the owner of each parcel within the area proposed to be assessed shall include, in addition to the requirements of Minnesota Statutes, Section 429.031, subdivision 1, an estimate of the proposed assessment for each individual parcel proposed to be assessed. Subdivision 3. A period of sixty 60) days shall elapse, after the public hearing held pursuant to Minnesota Statutes, Section 429.031, subdivision 1, before any further action shall be taken by the Council, on the proposed improvement. If within such sixty 60) day period, a petition against such improvement is filed with the Council, signed a majority of the owners proposed to be assessed for such improvement, the Council shall not make such improvement at the expense of the property benefitted, unless, in the meantime there be filed with the Council a petition asking that the improvement be made, signed by property owners proposed to be assessed for such improvement at least equal in number to those who signed the petition against the improvement, in which event the Council may disregard the petition against the improvement. AU person whose name appears on a petition to the Council for a local improvement, may withdraw his/her name by statement in writing filed with the Council before such petition is presented to the Council. Subdivision 4. If any portion of the cost of a local improvement is to be paid from ad valorem taxes, then the City may proceed with the local improvement, and may issue general obligation bonds to finance the local improvement, only after obtaining approval of a majority of the voters voting on the question at a ,general or special election. The ballot shall generally describe the proposed local improvement, the estimated principal amount of bonds to be issued to finance the local improvement, and the estimated percentage of total debt service on the bonds expected to be paid from ad valorem taxes. Subdivision 5. Street reconstruction and bituminous overlays. Not withstanding subdivision 4, the City may proceed with a street reconstruction or bituminous overlay project and may issue obligation bonds if the conditions of Minnesota Statutes, Section 475.58, subdivision 3b, are met. Subdivision 6. When a proposed improvement is allowed under subdivisions 3, 4 or 5, notwithstanding anything to the contrary in Minnesota Statutes, Section 429.031, subdivision 1, clause (f), a resolution ordering the local improvement may be adopted at any time between sixtX (60) days and one (1) year after the date of the public hearing by vote of a majority of all members of the council when the local improvement has been petitioned for by not less than 35 percent of the owners of the real property within the area proposed to be assessed as defined in the petition as the location of the local improvement; and when there has been no such petition, the resolution may be adopted only by vote of four-fifths of all members of the council. Subdivision 7. If the voters do not approve a local improvement and issuance of bonds at an election as may be required by subdivision 4 or subdivision 5, the provisions of Minnesota Statutes, section 475.58, subdivision. la shall apply. Subdivision 8. When under the provisions of section 8.02, subdivision 1, an improvement is petitioned for by one hundred (100%)percent of the benefitted property owners, the City Council may immediately order the proposed project. Section 4. That Chapter 8, Section 8.05, of the Lino Lakes City Charter be amended as follows: Section 8.0-53. Assessments for Services. The Council may provide by ordinance that the cost of City services to streets, sidewalks, or other public or private property may be assessed against property benefitted and may be collected in the same manner as special assessments. Such eestsservices shall not be deemed to be "sperm smexts"local improvements for the purposes set forth in Section 8.0301 of this chapter. Section 5. That Chapter 8, Section 8.07, of the Lino Lakes City Charter be amended as follows: Section 8.0-74. Local Improvement; Special Provisions. Subdivision 1. Except as provided in Subdivision 3, in the geographic areas of the City described in Subdivision 2, the construction of local improvements, the levy of special assessment for the financing of those improvements must be conducted in accordance with procedures specified in state law. Subdivision 2. Subdivision 1 applies to land within three (3) geographic areas, each not exceeding 430 acres, legally described as follows: AREA NO. 1 - Trunk Highway#49 (Hodgson Road) and County State Aid Highway#23 Intersection(Lake Drive) -All Government Lot 1, Section 30, T31, R22, PIN. 30-31-22-210001 -That part of Lots 14, 15, 16 and 17, Auditor's Subdivision No. 151 lying south and east of State Trunk Highway#49 (Hodgson Road) right-of-way AREA NO. 2 - Interstate I35E and County Road 242 (Main Street) Interchange -Northeast one quarter(1/4) of Section 24 - That part of the southeast one quarter(1/4) of Section 24 lying north of Cedar Street - East one half(1/2) of the southwest one quarter(1/4) of Section 24 - East one half(1/2) of the northwest one quarter(1/4) of Section 24 AREA NO. 3 Interstate I35W and Trunk Highway#49 (Lake Drive) Interchange -North one half(1/2) of the southwest one quarter(1/4) of Section 18 - That part of the south one half(1/2) of the southwest one quarter(1/4) of Section 18 lying north of the Interstate I35W right-of-way - That part of the southwest one quarter (1/4) of Section 17 lying west of Trunk Highway #49 (Lake Drive) right-of-way - All of the northwest one quarter(1/4) of Section 17 with the exception of that part of the southeast one quarter(1/4) of said northwest one quarter(1/4) of Section 17 as follows: beginning at a point at the intersection of the south line of said southeast one quarter(1/4) of the northwest one quarter(1/4)with the east right-of-way line of Trunk Highway#49; thence northeasterly along said right-of-way line 938.14 feet(+ or-) ; thence southeasterly 672. 39 (+ or-) feet to east line of said southeast one quarter(1/4) of the northwest one quarter(1/4); thence south along said east line 588.5 (+or-) feet to the south line of said southeast one quarter(1/4) of the northwest one quarter(1/4); thence westerly along said south line 1021.59 feet (+ or -)to the point of beginning. - The north 720 feet of that part of the southwest one quarter(1/4) of the northeast one quarter(1/4) of Section 17 lying west of the Anoka County Park property - That part of the north one half(1/2) of the northeast one quarter(1/4) of Section 17 lying west of the Anoka County Park property - That part of the north one half (1/2) of the northeast one quarter (1/4) of Section 17 lying west of the Anoka County Park property - The south one half(1/2) of southeast one quarter (1/4) of the southeast one quarter (1/4) of Section 8 - The southeast one quarter (1/4) of the southeast one quarter (1/4) of the southwest one quarter(1/4) of Section 8 - The east 330 feet (+ or -) of the northeast one quarter (1/4) of the southeast one quarter (1/4) of the southwest one quarter(1/4) of Section 8 Subdivision 3. When construction of local improvements, the levy of special assessments for the financing of those improvements specially benefit a parcel of real property, in an area described in subdivision 2, on which a single family, owner occupied residential unit existed on September 30, 1993, the owner/occupant of such residential unit may file a petition with the City Clerk objecting to the special assessment to be levied against his/her parcel. Such petition shall be filed with the City at or before the first public hearing to be held on the project. After the filing of such petition the City may not specially assess such owner's property for the improvements constructed unless the owner, at his/her option, in the future elects to connect to or use the improvements constructed by the City. Any notice of hearing mailed to such single family, owner occupied units shall include notice of the property owner's right to object to the assessments as granted in this paragraph. This exception terminates on the first day that an owner occupied residential unit no longer exists on the parcel of real property. Jeff Reinert, Mayor Attest: Julianne Bartell, City Clerk Adopted by the Lino Lakes City Council this day of , 2014. The motion for the adoption of the foregoing ordinance was introduced by Council Member and was duly seconded by Council Member and upon vote being taken thereon, the following voted in favor thereof: The following voted against same: References 429.031 PREI.,IllIINARY PLANS,HEARINGS. Subdivision l.Preparation of plans,notice of hearing. (a)Before the municipality awards a contract for an improvement or orders it made by day labor, or before the municipality may assess any portion of the cost of an improvement to be made under a cooperative agreement with the state or another political subdivision for sharing the cost of making the improvement,the council shall hold a public hearing on the proposed improvement following two publications in the newspaper of a notice stating the time and place of the hearing,the general nature of the improvement,the estimated cost,and the area proposed to be assessed. The two publications must be a week apart, and the hearing must be at least three days after the second publication.Not less than ten days before the hearing, notice of the hearing must also be mailed to the owner of each parcel within the area proposed to be assessed and must contain a statement that a reasonable estimate of the impact of the assessment will be available at the hearing;but failure to give mailed notice or any defects in the notice does not invalidate the proceedings. For the purpose of giving mailed notice, owners are those shown as owners on the records of the county auditor or, in any county where tax statements are mailed by the county treasurer, on the records of the county treasurer; but other appropriate records may be used for this purpose. For properties that are tax exempt or subject to taxation on a gross earnings basis and are not listed on the records of the county auditor or the county treasurer,the owners may be ascertained by any practicable means, and mailed notice must be given them as provided in this subdivision. (b)Before the adoption of a resolution ordering the improvement,the council shall secure from the city engineer or some other competent person of its selection a report advising it in a preliminary way as to whether the proposed improvement is necessary, cost-effective, and feasible and as to whether it should best be made as proposed or in connection with some other improvement. The report must also include the estimated cost of the improvement as recommended. A reasonable estimate of the total amount to be assessed, and a description of the methodology used to calculate individual assessments for affected parcels,must be available at the hearing.No error or omission in the report invalidates the proceeding unless it materially prejudices the interests of an owner. (c)Tf the report is not prepared by an employee of a municipality;the compensation for preparing the report under this subdivision must be based on the following factors: (1)the time and labor required; (2)the experience and knowledge of the preparer; (3)the complexity and novelty of the problems involved; and (4)the extent of the responsibilities assumed. (d)The compensation must not be based primarily on a percentage of the estimated cost of the improvement. (e)The council may also take other steps prior to the hearing, including, among other things,the preparation of plans and specifications and the advertisement for bids that will in its judgment provide helpful information in determining the desirability and feasibility of the improvement. (f)The hearing may be adjourned from time to time, and a resolution ordering the improvement may be adopted at any time within six months after the date of the hearing by vote of a majority of all members of the council when the improvement has been petitioned for by the owners of not less than 35 percent in frontage of the real property abutting on the streets named in the petition as the location of the improvement. When there has been no such petition,the resolution may be adopted only by vote of four- fifths of all members of the council; provided that if the mayor of the municipality is a member of the council but has no vote or votes only in case of a tie,the mayor is not deemed to be a member for the purpose of determining a four-fiftlis majority vote. (g) The resolution ordering the improvement may reduce,but not increase,the extent of the improvement as stated in the notice of hearing. Subd. 2.Approval by park board or utilities commission. A resolution ordering a park improvement may be adopted only by a four-fifths vote of the council and shall also be approved by the park board, if there is one;provided,that if the mayor of the municipality is a member of the council but has no vote or votes only in case of a tie,the mayor shall not be deemed to be a member for the purpose of determining such four-fifths majority vote.A resolution ordering an improvement of the water, sewer, steam heating, street lighting or other facility over which a utilities commission has jurisdiction shall also be approved by the utilities commission. Subd. 3.Petitionl by all owners. Whenever all owners of real property abutting upon any street named as the location of any improvement shall petition the council to construct the improvement and to assess the entire cost against their property,the council may,without a public hearing, adopt a resolution determining such fact and ordering the improvement. The validity of the resolution shall not be questioned by any taxpayer or property owner or the municipality unless an action for that purpose is commenced within 30 days after adoption of the resolution as provided in section 429.036.Nothing herein prevents any property owner from questioning the amount or validity of the special assessment against the owner's property pursuant to section 429.081. In the case of a petition for the municipality to own and install a fire protection system, a pedestrian skyway system, or on-site water contaminant improvements,the petition must contain or be accompanied by an undertaking satisfactory to the city by the petitioner that the petitioner will grant the municipality the necessary property interest in the building to permit the city to enter upon the property and the building to construct,maintain,and operate the fire protection system,pedestrian skyway system, or on-site water contaminant improvements. In the case of a petition for the installation of a privately owned fire protection system, a privately owned pedestrian skyway system, or privately owned on-site water contaminant improvements,the petition shall contain the plans and specifications for the improvement,the estimated cost of the improvement and a statement indicating whether the city or the owner will contract for the construction of the improvement. If the owner is contracting for the construction of the improvement;the city shall not approve the petition until it has reviewed and approved the plans, specifications, and cost estimates contained in the petition. The construction cost financed under section 429.091 shall not exceed the amount of the cost estimate contained in the petition. In the case of a petition for the installation of a fire protection system,a pedestrian skyway system, or on-site water contaminant improvements,the petitioner may request abandonment of the improvement at any time after it has been ordered pursuant to subdivision 1 and before contracts have been awarded for the I construction of the improvement under section 429.041. subdivision 2. If such a request is received,the City council shall abandon the proceedings but in such case the petitioner shall reimburse the city for any and all expenses incurred by the city in connection with the improvement. 429.101 UNPAID SPECIAL CHARGES MAY BE SPECIAL ASSESSMEENTS. Subdivision l.®rdiinances. (a)In addition to any other method authorized by law or charter,the governing body of any municipality may provide for the collection of unpaid special charges as a special assessment against the property benefited for all or any part of the cost of: (1) snow, ice, or rubbish removal from sidewalks; (2)weed elimination from streets or private property; (3)removal or elimination of public health or safety hazards from private property, excluding any structure included under the provisions of sections 463.15 to 463.26; (4) installation or repair of water service lines, street sprinkling or other dust treatment of streets; li (5)the trimming and care of trees and the removal of unsound trees from any street; (6)the treatment and removal of insect infested or diseased trees on private property,the repair of sidewalks and alleys; (7)the operation of a street lighting system; (8)the operation and maintenance of a fire protection or a pedestrian skyway system; (9) inspections relating to a municipal housing maintenance code violation; (10)the recovery of any disbursements under section 50413.445. subdivision 4, clause(5), including disbursements for payment of utility bills and other services, even if provided by a third party,necessary to remedy violations as described in section 50413.445 subdivision 4 clause(2); or (11) [Repealed, 2004 c 275 s 5] (12)the recovery of delinquent vacant building registration fees under a municipal program designed to identify and register vacant buildings. (b)The council may by ordinance adopt regulations consistent with this section to make this authority effective, including, at the option of the council, provisions for placing primary responsibility upon the property owner or occupant to do the work personally(except in the case of street sprinkling or other dust treatment, alley repair,tree trimming, care, and removal, or the operation of a street lighting system)upon notice before the work is undertaken, and for collection from the property owner or other person served of the charges when due before unpaid charges are made a special assessment. (c)A home rule charter city, statutory city, county, or town operating an energy improvements financing program under section 216C.436 has the authority granted to a municipality under paragraph(a) with respect to energy improvements financed under that section. Subd. 2.Procedure for assessment. Any special assessment levied under subdivision 1 shall be payable in a single installment, or by up to ten equal annual installments as the council may provide, except that a special assessment made under an energy improvements financing program under subdivision 1, paragraph (c), may be repayable in up to 20 equal installments.With these exceptions, sections 429.061,429.071, and 429.081 shall apply to assessments made under this section. Subd. 3.1ssuance of obligations. (a)After a contract for any of the work enumerated in subdivision 1 has been let, or the work commenced,the council may issue obligations to defray the expense of any such work financed in whole or in part by special charges and assessments imposed upon benefited property under this section. (b) Section 429.091 shall apply to such obligations with the following modifications: (1) such obligations shall be payable not more than two years from the date of issuance; (2)the amount of such obligations issued at one time in a municipality shall not exceed the cost of such work during the ensuing six months as estimated by the council; (3) a separate improvement fund shall be set up for each of the enumerated services referred to in subdivision 1 and financed under this section. (c)Proceeds of special charges as well as special assessments and taxes shall be credited to such improvement fund. i I� i i I I 475.58 SURD. lA.RESIBIVIISSION LIMITATION. If the electors do not approve the issuing of obligations at an election required by subdivision 1,the question of authorizing the obligations for the same purpose and in the same amount may not be submitted to the electors within a period of 180 days from the date the election was held. If the question of authorizing the obligations for the same purpose and in the same amount is not approved a second time it may not be submitted to the electors within a period of one year after the second election. 475.58, SURD.3B.STREET RECONSTRUCTION AND BITUMINOUS OVERLAYS. (a)A municipality may,without regard to the election requirement under subdivision 1, issue and sell obligations for street reconstruction or bituminous overlays, if the following conditions are met: (1)the streets are reconstructed or overlaid under a street reconstruction or overlay plan that describes the street reconstruction or overlay to be financed,the estimated costs, and any planned reconstruction or overlay of other streets in the municipality over the next five years, and the plan and issuance of the obligations has been approved by a vote of all of the members of the governing body present at the meeting following a public hearing for which notice has been published in the official newspaper at least ten days but not more than 28 days prior to the hearing; and (2) if a petition requesting a vote on the issuance is signed by voters equal to five percent of the votes cast in the last municipal general election and is filed with the municipal clerk within 30 days of the public hearing,the municipality may issue the bonds only after obtaining the approval of a majority of the voters voting on the question of the issuance of the obligations. If the municipality elects not to submit the question to the voters,the municipality shall not propose the issuance of bonds under this section for the same purpose and in the same amount for a period of 365 days from the date of receipt of the petition. If the question of issuing the bonds is submitted and not approved by the voters,the provisions of section 475.58, subdivision la, shall apply. (b)Obligations issued under this subdivision are subject to the debt limit of the municipality and are not excluded from net debt under section 475.51. subdivision 4. (c)For purposes of this subdivision, street reconstruction and bituminous overlays includes utility replacement and relocation and other activities incidental to the street reconstruction,turn lanes and other improvements having a substantial public safety function,realignments, other modifications to intersect with state and county roads, and the local share of state and county road projects.For purposes of this subdivision, "street reconstruction" includes expenditures for street reconstruction that have been incurred by a municipality before approval of a street reconstruction plan, if such expenditures are included in a street reconstruction plan approved on or before the date of the public hearing under paragraph (a), clause (1),regarding issuance of bonds for such expenditures. (d)Except in the case of turn lanes, safety improvements,realignments, intersection modifications, and the local share of state and county road projects, street reconstruction and bituminous overlays does not include the portion of project cost allocable to widening a street or adding curbs and gutters where none previously existed. I MINNESOTA STATUTES 2013 429.036 429.036 APPEAL FROM DETERMINATION OF LEGALITY OF PETITION. Any person, being aggrieved by this determination, may appeal to the district court of the county in which the property is located by serving upon the clerk of the municipality, within 30 days after the adoption and publication of the resolution, a notice of appeal briefly stating the grounds of appeal and giving a bond in the penal sum of$250, in which the municipality shall be named as obligee, to be approved by the clerk of the municipality, conditioned that the appellant will duly prosecute the appeal, pay all costs and disbursements which may be adjudged against the appellant, and abide by the order of the court. The clerk shall furnish the appellant a certified copy of the petition, or any part thereof, on being paid by appellant of the proper charges therefor. The appeal shall be placed upon the calendar of the next general term commencing more than 30 days after the date of serving the notice and filing the bond and shall be tried as are other appeals in such cases. Unless reversed upon the appeal, the determination of the governing body as to the sufficiency of the petition shall be final and conclusive. History: (1918-34) 1927 c 311 s 2; 1986 c 444 Copyright©2013 by the Office of the Revisor of Statutes,State of Minnesota.All Rights Reserved. I MINNESOTA STATUTES 2013 429.041 429.041 COUNCIL PROCEDURE. Subdivision 1. Plans and specifications, advertisement for bids. When the council determines to make any improvement, it shall let the contract for all or part of the work, or order all or part of the work done by day labor or otherwise as authorized by subdivision 2, no later than one year after the adoption of the resolution ordering such improvement, unless a different time limit is specifically stated in the resolution ordering the improvement. The council shall cause plans and specifications of the improvement to be made, or if previously made, to be modified, if necessary, and to be approved and filed with the clerk,and if the estimated cost exceeds the amount in section 471.345, subdivision 3, shall advertise for bids for the improvement in the newspaper or recognized industry trade journal as defined in section 331A.01, subdivision 11, and for such length of time as it may deem advisable. If the estimated cost exceeds twice the amount in section 471.345, subdivision 3,publication shall be made no less than three weeks before the last day for submission of bids once in the newspaper and at least once in either a newspaper published in a city of the first class or a recognized industry trade journal. The advertisement shall specify the work to be done, shall state the time when the bids will be publicly opened for consideration by the council,which shall be not less than ten days after the first publication of the advertisement when the estimated cost is less than twice the amount in section 471.345, subdivision 3, and not less than three weeks after such publication in other cases, and shall state that no bids will be considered unless sealed and filed with the clerk and accompanied by a cash deposit,cashier's check,bid bond, or certified check payable to the clerk, for such percentage of the amount of the bid as the council may specify. In providing for the advertisement for bids the council may direct that the bids shall be opened publicly by two or more designated officers or agents of the municipality and tabulated in advance of the meeting at which they are to be considered by the council. Nothing herein shall prevent the council from advertising separately for various portions of the work involved in an improvement,or from itself,supplying by such means as may be otherwise authorized by law,all or any part of the materials, supplies, or equipment to be used in the improvement or from combining two or more improvements in a single set of plans and specifications or a single contract. Subd. 2. Contracts; day labor. In contracting for an improvement, the council shall require the execution of one or more written contracts and bonds, conditioned as required by law. The council shall award the contract to the lowest responsible bidder or it may reject all bids. If any bidder to whom a contract is awarded fails to enter promptly into a written contract and to furnish the required bond, the defaulting bidder shall forfeit to the municipality the amount of the defaulter's cash deposit, cashier's check, bid bond, or certified check, and the council may thereupon award the contract to the next lowest responsible bidder. When it appears to the council that the cost of the entire work projected will be less than the amount in section 471.345, subdivision 3, or whenever no bid is submitted after proper advertisement or the only bids submitted are higher than the engineer's estimate, the council may advertise for new bids or, without advertising for bids, directly purchase the materials for the work and do it by the employment of day labor or in any other manner the council considers proper. The council may have the work supervised by the city engineer or other qualified person but shall have the work supervised by a registered engineer if done by day labor and it appears to the council that the entire cost of all work and materials for the improvement will be more than the lowest amount in section 471.345, subdivision 4. In case of improper construction or unreasonable delay in the prosecution of the work by the contractor, the council may order and cause the suspension of the work at any time and relet the contract, or order a reconstruction of any portion of the work improperly done, Copyright 0 2013 by the Office of the Revisor of Statutes,State of Minnesota.All Rights Reserved. 2 MINNESOTA STATUTES 2013 429.041 and where the cost of completion or reconstruction necessary will be less than the amount in section 471.345, subdivision 3, the council may do it by the employment of day labor. Subd. 2a. Best value alternative.As an alternative to the procurement method described in subdivision 2, the council may issue a request for proposals and award the contract to the vendor or contractor offering the best value as described in section 16C.28, subdivision 1, paragraph (a), clause (2), and paragraph (c). Subd. 3. Day labor; detailed report. When the council has performed construction work by day labor, it shall cause a detailed report to be filed with the clerk and certified by the registered engineer or other person in charge, if there is no registered engineer. The report shall show: (a) the complete cost of the construction; (b) final quantities of the various units of work done; (c) materials furnished for the project and the cost of each item thereof; (d) cost of labor, cost of equipment hired, and supervisory costs. The report shall have attached a certificate by the registered engineer or other person in charge that the work was done according to the plans and specifications, or, if there were any deviations from them, an itemized statement of those deviations. Subd. 4. Alternate procedure on street improvements. As to any improvement or improvements consisting of grading, graveling, or bituminous surfacing of streets and alleys, the council may proceed in the manner provided in this chapter, except that it may (1) order the work done by day labor, regardless of the estimated cost of such improvement or improvements, (2) use municipal equipment or hire equipment and purchase materials for all such improvements to be done by day labor in any 12-month period by advertising once therefor, such advertisement to call for bids for the furnishing of equipment, if the municipality does not use its own equipment, and for materials at unit prices based on the quantities which the council estimates will be required, and (3) contract at one time on a unit price basis for part or all of the street improvements to be constructed by the municipality during the current year, including improvements which may thereafter be ordered constructed. Subd. 5. Cooperation with state or local government. When an improvement is made under a cooperative agreement with the state or another political subdivision by the terms of which the state or other subdivision is to construct or contract to construct the improvement, it shall not be necessary to comply with subdivisions 1 and 2. Subd. 6. Percentage payment on engineer's estimate. In case the contractor properly performs the work, the council shall, from month to month before completion of the work, pay the contractor not to exceed 95 percent of the amount already earned under the contract, upon the estimate of the engineer or other competent person selected by the council, and the contract shall so provide, and shall further agree that when the work is 95 percent or more completed upon the recommendation of the engineer such portions of the retained price shall be released as the governing body of the municipality determines are not required to be retained to protect the municipality's interest in satisfactory completion of the contract. Failure to pay any amount due and payable under the terms of the contract within 30 days of a monthly estimate or 90 Copyright 0 2013 by the Office of the Revisor of Statutes,State of Minnesota.All Rights Reserved. 3 MINNESOTA STATUTES 2013 429.041 days after the final estimate of the amount earned shall obligate the municipality to pay to the contractor simple interest on the past due amount at an annual rate equal to the monthly index of long term United States bond yields for the month prior to the month in which this obligation is incurred plus an additional one percent per annum. Interest shall not be imposed with respect to any amount which a municipality may legally withhold as a result of breach of contract or other contractual claim or if the delay is caused by the contractor. Subd. 7. Modification of contracts. After work has been commenced on an improvement undertaken pursuant to a contract awarded on a unit price basis the council may, without advertising for bids, authorize changes in the contract so as to include additional units of work at the same unit price if the cost of the additional work does not exceed 25 percent of the original contract price. Original contract price means that figure determined by multiplying the estimated number of units required by the unit price. History: 1953 c 398 s 4; 1957 c 430 s 2,3; 1961 c 525 s 3,4; 1973 c 123 art 5 s 7; 1976 c 156 s 1; 1977 c 278 s 1; 1978 c 518 s 2; 1980 c 464 s 8; 1985 c 174 s 3; 1986 c 444; 1993 c 38 s 1,2; 2001 c 5 s 1,2; 2004 c 278 s 6,7; 2007 c 148 art 3 s 25; 2009 c 152 s 18,19; 2013 c 46 s 2 Copyright©2013 by the Office of the Revisor of Statutes,State of Minnesota.All Rights Reserved. I MINNESOTA STATUTES 2013 429.061 429.061 ASSESSMENT PROCEDURE. Subdivision 1. Calculation, notice. At any time after the expense incurred or to be incurred in making an improvement shall be calculated under the direction of the council, the council shall determine by resolution the amount of the total expense the municipality will pay, other than the amount, if any, which it will pay as a property owner, and the amount to be assessed. If a county proposes to assess within the boundaries of a city for a county state-aid highway or county highway, including curbs, gutters, and storm sewers, the resolution must include the portion of the cost proposed to be assessed within the city. The county shall forward the resolution to the city and it may not proceed with the assessment procedure nor may the county allocate any cost under this section for property within the city unless the city council adopts the resolution approving the assessment. Thereupon the clerk, with the assistance of the engineer or other qualified person selected by the council, shall calculate the proper amount to be specially assessed for the improvement against every assessable lot, piece or parcel of land, without regard to cash valuation, in accordance with the provisions of section 429.051. The proposed assessment roll shall be filed with the clerk and be open to public inspection. The clerk shall thereupon, under the council's direction,publish notice that the council will meet to consider the proposed assessment. Such notice shall be published in the newspaper at least once and shall be mailed to the owner of each parcel described in the assessment roll. For the purpose of giving mailed notice under this subdivision, owners shall be those shown to be such on the records of the county auditor or, in any county where tax statements are mailed by the county treasurer, on the records of the county treasurer; but other appropriate records may be used for this purpose. Such publication and mailing shall be no less than two weeks prior to such meeting of the council. Except as to the owners of tax-exempt property or property taxes on a gross earnings basis, every property owner whose name does not appear on the records of the county auditor or the county treasurer shall be deemed to have waived such mailed notice unless the owner has requested in writing that the county auditor or county treasurer, as the case may be, include the name on the records for such purpose. Such notice shall state the date, time, and place of such meeting, the general nature of the improvement, the area proposed to be assessed, the total amount of the proposed assessment, that the proposed assessment roll is on the file with the clerk, and that written or oral objections thereto by any property owner will be considered. The notice must also state that no appeal may be taken as to the amount of any assessment adopted pursuant to subdivision 2,unless a written objection signed by the affected property owner is filed with the municipal clerk prior to the assessment hearing or presented to the presiding officer at the hearing. The notice shall also state that an owner may appeal an assessment to district court pursuant to section 429.081 by serving notice of the appeal upon the mayor or clerk of the municipality within 30 days after the adoption of the assessment and filing such notice with the district court within ten days after service upon the mayor or clerk. The notice shall also inform property owners of the provisions of sections 435.193 to 435.195 and the existence of any deferment procedure established pursuant thereto in the municipality. In addition, the notice mailed to the owner must state in clear language the following information: (1)the amount to be specially assessed against that particular lot, piece, or parcel of land; (2) adoption by the council of the proposed assessment may be taken at the hearing; (3) the right of the property owner to prepay the entire assessment and the person to whom prepayment must be made; (4)whether partial prepayment of the assessment has been authorized by ordinance; Copyright 0 2013 by the Office of the Revisor of Statutes,State of Minnesota.All Rights Reserved. 2 MINNESOTA STATUTES 2013 429.061 (5)the time within which prepayment may be made without the assessment of interest; and (6) the rate of interest to be accrued if the assessment is not prepaid within the required time period. Subd. 2. Adoption; interest. At such meeting or at any adjournment thereof the council shall hear and pass upon all objections to the proposed assessment,whether presented orally or in writing. The council may amend the proposed assessment as to any parcel and by resolution adopt the same as the special assessment against the lands named in the assessment roll. Notice of any adjournment of the hearing shall be adequate if the minutes of the meeting so adjourned show the time and place when and where the hearing is to be continued. The council may consider any objection to the amount of a proposed assessment as to a specific parcel of land at an adjourned hearing upon further notice to the affected property owner as it deems advisable. At the adjourned hearing the council or a committee of it may hear further written or oral testimony on behalf of the objecting property owner and may consider further written or oral testimony from appropriate city officials and other witnesses as to the amount of the assessment. The council or committee shall prepare a record of the proceedings at the adjourned hearing and written findings as to the amount of the assessment. The amount of the assessment as finally determined by the council shall become a part of the adopted assessment roll.No appeal may be taken as to the amount of any assessment adopted under this section unless written objection signed by the affected property owner is filed with the municipal clerk prior to the assessment hearing or presented to the presiding officer at the hearing. All objections to the assessments not received at the assessment hearing in the manner prescribed by this subdivision are waived, unless the failure to object at the assessment hearing is due to a reasonable cause. If the adopted assessment differs from the proposed assessment as to any particular lot,piece, or parcel of land, the clerk must mail to the owner a notice stating the amount of the adopted assessment. Owners must also be notified by mail of any changes adopted by the council in interest rates or prepayment requirements from those contained in the notice of the proposed assessment. The assessment, with accruing interest, shall be a lien upon all private and public property included therein, from the date of the resolution adopting the assessment, concurrent with general taxes; but the lien shall not be enforceable against public property as long as it is publicly owned, and during such period the assessment shall be recoverable from the owner of such property only in the manner and to the extent provided in section 435.19. Unless otherwise provided in the resolution, all assessments shall be payable in equal annual installments extending over such period, not exceeding 30 years, as the resolution determines, payable on the first Monday in January in each year, but the number of installments need not be uniform for all assessments included in a single assessment roll if a uniform criterion for determining the number of installments is provided by the resolution. Assessments on property located in a targeted neighborhood as defined in Laws 1987, chapter 386, article 6, section 4, may be payable in variable annual installments if the resolution provides for a variable payment. The first installment of each assessment shall be included in the first tax rolls completed after its adoption and shall be payable in the same year as the taxes contained therein; except that the payment of the first installment of any assessment levied upon unimproved property may be deferred until a designated future year, or until the platting of the property or the construction of improvements thereon, upon such terms and conditions and based upon such standards and criteria as may be provided by resolution of the council. If special assessments against the property have been deferred pursuant to this subdivision, the governmental unit shall record with the county recorder Copyright 0 2013 by the Office of the Revisor of Statutes,State of Minnesota.All Rights Reserved. 3 MINNESOTA STATUTES 2013 429.061 in the county in which the property is located a certificate containing the legal description of the affected property and of the amount deferred. In any event, every assessment the payment of which is so deferred, when it becomes payable, shall be divided into a number of installments such that the last installment thereof will be payable not more than 30 years after the levy of the assessment. All assessments shall bear interest at such rate as the resolution determines. To the first installment of each assessment shall be added interest on the entire assessment from a date specified in the resolution levying the assessment, not earlier than the date of the resolution, until December 31 of the year in which the first installment is payable, and to each subsequent installment shall be added interest for one year on all unpaid installments; or alternatively, any assessment may be made payable in equal annual installments including principal and interest, each in the amount annually required to pay the principal over such period with interest at such rate as the resolution determines, not exceeding the maximum period and rate specified above. In the latter event no prepayment shall be accepted under subdivision 3 without payment of all installments due to and including December 31 of the year of prepayment, together with the original principal amount reduced only by the amounts of principal included in such installments, computed on an annual amortization basis. When payment of an assessment is deferred, as authorized in this subdivision, interest thereon for the period of deferment may be made payable annually at the same times as the principal installments of the assessment would have been payable if not deferred; or interest for this period may be added to the principal amount of the assessment when it becomes payable; or, if so provided in the resolution levying the assessment, interest thereon to December 31 of the year before the first installment is payable may be forgiven. Subd. 3. Transmitted to auditor, prepayment. After the adoption of the assessment, the clerk shall transmit a certified duplicate of the assessment roll with each installment, including interest, set forth separately to the county auditor of the county to be extended on the proper tax lists of the county; but in lieu of such certification, the council may in its discretion direct the clerk to file all assessment rolls in the clerk's office and to certify annually to the county auditor, on or before November 30 in each year, the total amount of installments of and interest on assessments on each parcel of land in the municipality which are to become due in the following year. If any installment and interest has not been so certified prior to the year when it is due, the clerk shall forthwith certify the same to the county auditor for collection in the then succeeding year; and if the municipality has issued improvement warrants to finance the improvement, it shall pay out of its general funds into the fund of the improvement interest on the then unpaid balance of the assessment for the year or years during which the collection of such installment is postponed. All assessments and interest thereon shall be collected and paid over in the same manner as other municipal taxes. The owner of any property so assessed may, at any time prior to certification of the assessment or the first installment thereof to the county auditor, pay the whole of the assessment on such property, with interest accrued to the date of payment, to the municipal treasurer, except that no interest shall be charged if the entire assessment is paid within 30 days from the adoption thereof; and, except as hereinafter provided, the owner may at any time prior to November 15 of any year, prepay to the treasurer of the municipality having levied said assessments, the whole assessment remaining due with interest accrued to December 31 of the year in which said prepayment is made. If the assessment roll is retained by the municipal clerk, the installment and interest in process of collection on the current tax list shall be paid to the county treasurer and the remaining principal balance of the assessment, if paid, shall be paid to the municipal treasurer. The council may by ordinance authorize the partial prepayment of assessments, in such manner as the ordinance may provide,prior to certification of the assessment or the first installment thereof to the county auditor. Copyright 0 2013 by the Office of the Revisor of Statutes,State of Minnesota.All Rights Reserved. 4 MINNESOTA STATUTES 2013 429.061 Subd. 4. Collection,tax-exempt property. On the confirmation of any assessments the clerk shall mail to the county auditor a notice specifying the amount payable by any county, to the clerk or recorder of any other political subdivision a notice specifying the amount payable by the political subdivision and to the owner of any right-of-way, at its principal office in the state, a notice specifying the amount payable on account of any right-of-way. The amount payable on account of any right-of-way or public property shall be payable to the municipality's treasurer and shall be payable in like installments and with like interest and penalties as provided for in reference to the installments payable on account of assessable real property, except that interest accruing shall not begin to run until the notice provided in this subdivision has been properly given and 30 days thereafter have elapsed. The governing body of any such political subdivision shall provide for the payment of these amounts and shall take appropriate action to that end. If the assessment is not paid in a single installment, the municipal treasurer shall annually mail to the owner of any right-of-way and, as long as the property is publicly owned, to the owner of any public property a notice stating that an installment is due and should be paid to the municipal treasurer of the municipality which levied the special assessment. The municipality may collect the amount due on account of the right-of-way of any railroad or privately owned public utility by distress and sale of personal property in the manner provided by law in case of taxes levied upon personal property or by suit brought to enforce the collection of this indebtedness unless a different method of collecting such amounts is provided for by any contract between the owner of any right-of-way and the municipality. Subd. 5. Special assessments; administrative expenses.Notwithstanding any general or special law to the contrary, a municipality shall pay to the county auditor all administrative expenses incurred by the county under subdivision 3 for each special assessment of any local improvement certified by the municipality to the county auditor. History: 1953 c 398 s 6; 1955 c 811 s 2; 1957 c 510 s 2; 1957 c 699 s 1; 1961 c 77 s 1; 1961 c 525 s 5-7; 1963 c 771 s 2-4; 1965 c 877 s 3; 1969 c 1045 s 1; 1969 c 1095 s 1; 1974 c 314 s 2; 1976 c 195 s 2; 1976 c 324 s 18; 1980 c 509 s 164; 1980 c 560 s 5; 1980 c 607 art 11 s 1,2; 1984 c 478 s 2; 1984 c 543 s 50; ISp1985 c 16 art I s 3; 1986 c 315 s 2; 1986 c 444; 1986 c 473 s 10,11; 1987 c 344 s 3; 1987 c 386 art 6 s 2; 1991 c 342 s 8; 1993 c 375 art 5 s 33; art 17 s 17; 2005 c 4 s 106 Copyright 0 2013 by the Office of the Revisor of Statutes,State of Minnesota.All Rights Reserved. I MINNESOTA STATUTES 2013 429.071 429.071 SUPPLEMENTAL ASSESSMENTS; REASSESSMENT. Subdivision 1. Supplemental assessments. The council may make supplemental assessments to correct omissions, errors, or mistakes in the assessment relating to the total cost of the improvement or any other particular. A supplemental assessment shall be preceded by personal or mailed notice to the owner of each parcel included in the supplemental assessment and a hearing as provided for the original assessment. Subd. 2. Reassessment.When an assessment is, for any reason whatever, set aside by a court of competent jurisdiction as to any parcel or parcels of land, or in event the council finds that the assessment or any part thereof is excessive or determines on advice of the municipal attorney that the assessment or proposed assessment or any part thereof is or may be invalid for any reason, the council may, upon notice and hearing as provided for the original assessment, make a reassessment or a new assessment as to such parcel or parcels. Subd. 3. Reapportionment upon land division. When a tract of land against which a special assessment has been levied is thereafter divided or subdivided by plat or otherwise, the council may, on application of the owner of any part of the tract or on its own motion equitably apportion among the various lots or parcels in the tract all the installments of the assessment against the tract remaining unpaid and not then due if it determines that such apportionment will not materially impair collection of the unpaid balance of the original assessment against the tract. The council may, and if the special assessment has been pledged to the payment of improvement warrants shall, require the owner or owners, as a condition of such apportionment, to furnish a satisfactory surety bond fully protecting the municipality against any loss resulting from failure to pay any part of the reapportionment assessment when due. Notice of such apportionment and of the right to appeal shall be mailed to or personally served upon all owners of any part of the tract. Within 30 days after the mailing or service of the notice of such apportionment any such owner may appeal as provided in section 429.081. Subd. 4. Reassessment, tax-forfeited land. When a parcel of tax-forfeited land is returned to private ownership and the parcel is benefited by an improvement for which special assessments were canceled because of the forfeiture, the municipality that made the improvement may, upon notice and hearing as provided for the original assessment, make a reassessment or a new assessment as to the parcel in an amount equal to the amount remaining unpaid on the original assessment. History: 1953 c 398 s 7; 1957 c 366 s 1; 1961 c 525 s 8; 1965 c 877 s 4; 1976 c 259 s I Copyright 0 2013 by the Office of the Revisor of Statutes,State of Minnesota.All Rights Reserved. I MINNESOTA STATUTES 2013 429.081 429.081 APPEAL TO DISTRICT COURT. Within 30 days after the adoption of the assessment, any person aggrieved, who is not precluded by failure to object prior to or at the assessment hearing, or whose failure to so object is due to a reasonable cause, may appeal to the district court by serving a notice upon the mayor or clerk of the municipality. The notice shall be filed with the court administrator of the district court within ten days after its service. The municipal clerk shall furnish appellant a certified copy of objections filed in the assessment proceedings, the assessment roll or part complained of, and all papers necessary to present the appeal. The appeal shall be placed upon the calendar of the next general term commencing more than five days after the date of serving the notice and shall be tried as other appeals in such cases. The court shall either affirm the assessment or set it aside and order a reassessment as provided in section 429.071, subdivision 2. If appellant does not prevail upon the appeal, the costs incurred shall be taxed by the court and judgment entered therefor. All objections to the assessment shall be deemed waived unless presented on such appeal. This section provides the exclusive method of appeal from a special assessment levied pursuant to this chapter. History: 1953 c 398 s 8; 1961 c 525 s 9; 1978 c 749 s 2; 1980 c 607 art 11 s 3; 1 Sp1986 c 3 art I s 82 Copyright C 2013 by the Office of the Revisor of Statutes,State of Minnesota.All Rights Reserved. I MINNESOTA STATUTES 2013 429.091 429.091 FINANCING. Subdivision 1. Authority. At any time after one or more improvements are ordered as contemplated in section 429.031, the council may issue obligations in such amount as it deems necessary to defray in whole or in part the expense incurred and estimated to be incurred in making the improvement or improvements, including every item of cost of the kinds authorized in section 475.65. In the event of any omission, error, or mistake in any of the proceedings required precedent to the ordering of any improvement, the validity of the obligations shall not be affected thereby. The council shall cause all further actions and proceedings to be taken with due diligence that are required for the construction of each improvement financed wholly or partly from the proceeds of obligations issued hereunder, and for the final and valid levy of special assessments and the appropriation of any other funds needed to pay the obligations and interest thereon when due. Subd. 2. Types of obligations permitted. The council may by resolution adopted prior to the sale of obligations pledge the full faith, credit, and taxing power of the municipality for the payment of the principal and interest. Such obligations shall be called improvement bonds and the council shall pay the principal and interest out of any fund of the municipality when the amount credited to the specified fund is insufficient for the purpose and shall each year levy a sufficient amount to take care of accumulated or anticipated deficiencies, which levy shall not be subject to any statutory or charter tax limitation. Obligations for the payment of which the full faith and credit of the municipality is not pledged shall be called assessment revenue notes or, in the case of bonds for fire protection, revenue bonds and shall contain a promise to pay solely out of the proper special fund or funds pledged to their payment. It shall be the duty of the municipal treasurer to pay maturing principal and interest on warrants or revenue bonds out of funds on hand in the proper funds and not otherwise. Subd. 3. Method of issuance. All obligations shall be issued in accordance with the provisions of chapter 475, except as provided in this subdivision. An election shall be required for bonds if less than 20 percent of the cost of the improvement to the municipality is to be assessed against benefited property. If the full faith, credit, and taxing power of the municipality is not pledged and the bonds are issued to finance a fire protection system, a public sale shall not be required and the obligations may (a) mature at any time or times within 30 years from date of issue; or 40 years or the useful life of the asset, whichever is less, for municipal water and wastewater treatment systems and essential community facilities financed or guaranteed by the United States Department of Agriculture; (b) mature in the amount or amounts; (c)be sold at a price equal to the percentage of their par value, plus accrued interest; and (d) bear interest at the rate or rates, as agreed by the purchaser and the municipality, notwithstanding any limitation of interest rate or cost or of the amounts of annual maturities contained in any other law. The maturities shall be such as in the opinion of the council are warranted by the anticipated collections of assessments and ad valorem levies for the municipality's share of the cost; except that the council may in its discretion issue and sell temporary improvement bonds maturing and Copyright 0 2013 by the Office of the Revisor of Statutes,State of Minnesota.All Rights Reserved. 2 MINNESOTA STATUTES 2013 429.091 subject to further conditions as set forth in subdivision 5. All obligations shall state upon their face the purpose of the issue and the fund from which they are payable. The amount of any obligations issued hereunder shall not be included in determining the net indebtedness of any municipality under the provisions of any law limiting such indebtedness. Subd. 4. Funds. The proceeds from the sale of each issue of obligations and from collections of special assessments levied and other moneys appropriated for each improvement to be financed wholly or partly from such proceeds shall be credited to a separate construction fund which shall be used solely to defray expenses of such improvements and payment of principal and interest due upon the obligations prior to completion and payment of all costs of the improvements so financed. Any balance of the proceeds of bonds remaining therein may be used to pay the cost, in whole or in part, of any other improvement instituted pursuant to this chapter. A separate account shall be maintained in the construction fund to record expenditures for each improvement, and when the total cost thereof has been paid all subsequent collections of special assessments levied for the improvement shall be credited and paid into the debt service fund for the obligations issued to finance the improvement, as provided in section 475.61. Any taxes levied for improvements financed by an issue of obligations shall be credited directly to the debt service fund. Subd. 5. Temporary improvement bonds. In anticipation of the issuance of improvement bonds, the council may by resolution issue and sell temporary improvement bonds maturing within not more than three years from their date of issue to pay any part or all of the cost of one or more improvements. To the extent that the principal of and interest on the temporary improvement bonds cannot be paid when due from receipts of special assessments, taxes, or other funds appropriated for the purpose, they shall be paid from the proceeds of improvement bonds or additional temporary improvement bonds which the council shall offer for sale in advance of their maturity but the indebtedness funded by an issue of temporary improvement bonds shall not be extended by the issue of additional temporary improvement bonds for more than six years from the date of the first issue. The holders of any temporary improvement bonds shall have and may enforce, by mandamus or other appropriate proceedings, all rights respecting the levy and collection of sufficient special assessments and taxes to pay the cost of the improvements financed by them which are granted by law to holders of improvement bonds, except the right to require the levies to be collected prior to the maturity of the temporary improvement bonds. If any temporary improvement bonds are not paid in full at maturity, the holders may require the issuance in exchange for them, at par, of new temporary improvement bonds maturing within one year from their date of issue (but not subject to any other maturity limitation), and bearing interest at the maximum rate permitted by law. Subd. 6. Investment of other municipal funds. Funds of a municipality may be invested in its temporary improvement bonds in accordance with the provisions of section I I8A.04, and may be purchased upon their initial issue, but shall be purchased only from funds which the council determines will not be required for other purposes before the maturity date, and shall be resold before maturity only in case of emergency. If purchased from a debt service fund securing other bonds, the holders of those bonds may enforce the municipality's obligations on the temporary improvement bonds in the same manner as if they held the temporary improvement bonds. Subd. 7. General obligation temporary improvement bonds. The council may by resolution adopted prior to the sale of any temporary improvement bonds pledge the full faith, credit, and taxing power of the municipality for the payment of the principal and interest, in addition to all provisions made for their security in subdivision 5. In this event the bonds shall be designated as general obligation temporary improvement bonds, and the council shall levy Copyright 0 2013 by the Office of the Revisor of Statutes,State of Minnesota.All Rights Reserved. 3 MINNESOTA STATUTES 2013 429.091 taxes for their payment in accordance with section 475.61. Proceeds of improvement bonds or temporary improvement bonds not yet sold may be treated as pledged revenues, in reduction of the tax otherwise required by section 475.61 to be levied prior to delivery of the obligations. Subd. 7a. Revolving fund bonds. The council may by resolution establish a revolving fund for the payment of the costs of any improvement or any waterworks systems, sewer systems, or storm sewer systems described in section 444.075, the costs of facilities to maintain streets and water, sewer, and storm sewer systems and for the payment of any obligations issued to pay the costs of the facilities and systems referred to in this subdivision or to refund obligations issued for those purposes. The council may create within the revolving fund a separate construction account into which the municipality may deposit the proceeds of any obligations payable from the fund, the proceeds of any special assessments collected with respect to any improvement, any net revenues of a waterworks, sewer system, or storm sewer system described in section 444.075 or any other available funds of the municipality appropriated to it. Amounts on deposit in the construction account may be used to pay the costs of any improvement or any waterworks, sewer system, or storm sewer system described in section 444.075 or any street or water, sewer, or storm sewer maintenance facilities. No funds may be expended for an improvement unless at least 20 percent of the costs of each such improvement is to be assessed against benefited property. No funds may be expended for a waterworks, sewer system, or storm sewer system, other than a sewer system described in section 115.46, or maintenance facilities unless the council estimates that the costs will be recovered from the net revenues of the system or any combined waterworks, sewer systems, or storm sewer systems operated by the municipality. The council may also create a separate debt service account within the revolving fund for the payment of principal of and interest on any obligations payable therefrom. Notwithstanding subdivision 4, the council is not required to pledge any particular assessments or other revenues to the payment of the obligations. Collections of special assessments or net revenues may be deposited in either the construction account or the debt service account as the council or an officer designated by the council may determine, having due regard for anticipated collections of special assessments and net revenues from improvements or waterworks, sewer systems, or storm sewer systems financed in whole or in part from the construction account, and taxes levied for the payment of the obligations. The council may issue obligations that are payable primarily from the debt service account for the purpose of providing funds to defray in whole or in part any expenses incurred or estimated to be incurred in making the improvement or improvements or in constructing the waterworks, sewer system, or storm sewer system, including every item of cost of the kinds authorized by section 475.65, and street and water, sewer, and storm sewer maintenance facilities or to refund obligations previously issued under this section or section 115.46 or 444.075. The obligations may be general obligations to which the full faith and credit of the municipality are pledged. If the special assessments to be levied and net revenues estimated to be available for their payment are estimated to be at least 20 percent of the principal amount of the obligations, the obligations may be issued without an election and shall not be included in determining the net indebtedness of the municipality under the provisions of any law limiting net indebtedness. The cost of a maintenance facility that may be financed under this subdivision is limited only to the portion of the facility that is fairly allocable to the maintenance of streets and water, sewer, and storm sewer systems. Subd. 8. Application; limitations under federal tax law. Sections 474A.01 to 474A.21 apply to any issuance of obligations under this section which are subject to limitation under a federal tax law as defined in section 474A.02, subdivision 8. Copyright 0 2013 by the Office of the Revisor of Statutes,State of Minnesota.All Rights Reserved. 4 MINNESOTA STATUTES 2013 429.091 History: 1953 c 398 s 9; 1955 c 811 s 3-5; 1957 c 385 s 1; 1965 c 877 s 5; 1976 c 324 s 19-21; 1981 c 171 s 1-4; 1984 c 548 s 6; 1984 c 582 s 5,6,23; 1984 c 591 s 4,5; 1984 c 633 s 4; 1 Sp1985 c 14 art 8 s 63; 1986 c 465 art I s 3; 1987 c 344 s 4,5; 1992 c 545 art 2 s 4; 1996 c 297 s 1; 1996 c 399 art 2 s 12; 2000 c 260 s 57; 2001 c 214 s 11 Copyright©2013 by the Office of the Revisor of Statutes,State of Minnesota.All Rights Reserved. I MINNESOTA STATUTES 2013 463.15 463.15 DEFINITIONS. Subdivision 1. Coverage. For purposes of sections 463.15 to 463.26 the terms defined in this section have the meanings given them. Subd. 2. Building. 'Building" includes any structure or part of a structure. Subd. 3. Hazardous building or hazardous property. "Hazardous building or hazardous property"means any building or property,which because of inadequate maintenance, dilapidation, physical damage, unsanitary condition, or abandonment, constitutes a fire hazard or a hazard to public safety or health. Subd. 3a. Municipality. "Municipality" means a county, city, or town. Subd. 4. Owner, owner of record, and lienholder of record. "Owner," "owner of record," and "lienholder of record" means a person having a right or interest in property described in subdivision 3 and evidence of which is recorded in the office of the county recorder or registrar of titles in the county in which the property is situated. History: 1965 c 393 s 1; 1967 c 324 s 1; 1976 c 181 s 2; 1989 c 328 art 6 s 5,6; 2004 c147s1; 2005c4s113 Copyright©2013 by the Office of the Revisor of Statutes,State of Minnesota.All Rights Reserved. I MINNESOTA STATUTES 2013 463.26 463.26 LOCAL ACTS AND CHARTER PROVISIONS. Sections 463.15 to 463.26 are supplementary to other statutory and charter provisions and do not limit the authority of any city to enact and enforce ordinances on the same subject. History: 1965 c 393 s 12; 1973 c 123 art 5 s 7 Copyright©2013 by the Office of the Revisor of Statutes,State of Minnesota.All Rights Reserved. I MINNESOTA STATUTES 2013 475.51 475.51 DEFINITIONS. Subdivision 1. Terms. For the purposes of this chapter, the terms defined in this section shall have the meanings given them. Subd. 2. Municipality. "Municipality" means a city of any class, county, town, or school district. Subd. 3. Obligation. "Obligation" means any promise to pay a stated amount of money at a fixed future date or upon demand of the obligee, regardless of the source of funds to be used for its payment, made for the purpose of incurring debt, including the purchase of property through an installment purchase contract or any other deferred payment agreement, for which funds are not appropriated in the current year's budget. Subd. 4. Net debt. "Net debt" means the amount remaining after deducting from its gross debt the amount of current revenues which are applicable within the current fiscal year to the payment of any debt and the aggregate of the principal of the following: (1) Obligations issued for improvements which are payable wholly or partly from the proceeds of special assessments levied upon property specially benefited thereby, including those which are general obligations of the municipality issuing them, if the municipality is entitled to reimbursement in whole or in part from the proceeds of the special assessments. (2) Warrants or orders having no definite or fixed maturity. (3) Obligations payable wholly from the income from revenue producing conveniences. (4) Obligations issued to create or maintain a permanent improvement revolving fund. (5) Obligations issued for the acquisition, and betterment of public waterworks systems, and public lighting, heating or power systems, and of any combination thereof or for any other public convenience from which a revenue is or may be derived. (6) Debt service loans and capital loans made to a school district under the provisions of sections 126C.68 and 126C.69. (7) Amount of all money and the face value of all securities held as a debt service fund for the extinguishment of obligations other than those deductible under this subdivision. (8) Obligations to repay loans made under section 216C.37. (9) Obligations to repay loans made from money received from litigation or settlement of alleged violations of federal petroleum pricing regulations. (10) Obligations issued to pay pension fund or other postemployment benefit liabilities under section 475.52, subdivision 6, or any charter authority. (11) Obligations issued to pay judgments against the municipality under section 475.52, subdivision 6, or any charter authority. (12) All other obligations which under the provisions of law authorizing their issuance are not to be included in computing the net debt of the municipality. Subd. 5. Net tax capacity. "Net tax capacity" means the latest valuation for purposes of taxation, as finally equalized, of all property taxable within the municipality. Subd. 6. Debt service fund. "Debt service fund" means any money and investments in the treasury of a municipality appropriated to pay the principal, interest, or premiums for the Copyright C 2013 by the Office of the Revisor of Statutes,State of Minnesota.All Rights Reserved. 2 MINNESOTA STATUTES 2013 475.51 redemption of any of its obligations. "Sinking fund" means debt service fund. A separate balance sheet need not be maintained for any debt service fund, and the fund need not be segregated from other funds of the municipality in a separate bank deposit account or in a separate investment fund or account, unless so provided in a resolution or other instrument securing obligations payable from the debt service fund; but a separate bookkeeping account or accounts shall be maintained in the official financial records of the municipality reflecting all receipts and disbursements of money and investments of principal and income appropriated for the purposes of each debt service fund. Subd. 7. Acquisition. "Acquisition" includes purchase, condemnation, construction, and acquisition of necessary land, easements,buildings, structures, machinery or equipment. Subd. 8. Betterment. 'Betterment" includes reconstruction, extension, improvement, repair, remodeling, lighting, equipping, and furnishing. Subd. 9. Governing body. "Governing body" means the board, council, commission, or other body of the municipality charged with the general control of its financial affairs; provided, that where any charter or law confers bond issuing power on a particular board or body of a municipality, such board or body is the governing body under the provisions of sections 475.51 to 475.74. Subd. 10. General obligations. "General obligations" means any obligations which pledge the full faith and credit of the municipality to their payment. Subd. 11. Reporting dealer to the Federal Reserve Bank of New York. "Reporting dealer to the Federal Reserve Bank of New York" means a securities broker-dealer licensed pursuant to chapter 80A, or an affiliate thereof, which makes primary markets in United States government securities and reports daily to the Federal Reserve Bank of New York its position with respect to such securities held by it and amounts borrowed thereon. Subd. 12. Reverse repurchase agreement. "Reverse repurchase agreement" means an obligation incurred by a municipality to repurchase at a fixed future date and price a security sold by it to a financial institution on the date of the agreement, or another security identical as to the issuer, source of payment, principal amount, interest rate, maturity, and redemption provisions. The principal amount of the obligation is the sale price of the security, excluding any accrued interest thereon paid to the municipality. The interest payable by the municipality on the obligation is the difference between the sale price and the repurchase price of the security, excluding any accrued interest thereon received by the financial institution. Subd. 13. Other governmental unit. "Other governmental unit" means any public corporation, authority, governmental unit, or other political subdivision of the state of Minnesota that is not a municipality. Subd. 14. Bond reinvestment program. 'Bond reinvestment program" means a program under which a municipality, either directly or through an agent employed for the purpose, offers and sells its obligations to the holders of other obligations of the municipality. These offers and sales are directed at the reinvestment in new obligations of funds derived from maturing principal and interest and may also include offers and sales of additional newly issued obligations in addition to the reinvestment of principal and interest paid or to be paid on outstanding obligations and provision for the temporary investment of funds received for the purchase of new obligations in tax-exempt securities pending the issuance of the new obligations. History: (1936) RL s 778; 1943 c 656 s 30 Subd 3; 1947 c 296 s 2; 1949 c 682 s 1; 1951 c 422 s 1; 1961 c 752 s 8; 1971 c 903 s 1; 1973 c 123 art 5 s 7; 1974 c 380 s 1; 1976 c 324 s Copyright 0 2013 by the Office of the Revisor of Statutes,State of Minnesota.All Rights Reserved. 3 MINNESOTA STATUTES 2013 475.51 1,2,26; 1977 c 259 s 1; 1978 c 674 s 41; 1987 c 289 s 4; 1987 c 312 art I s 10; 1987 c 344 s 17; 1988 c 719 art 5 s 84; 1989 c 329 art 13 s 20; 1989 c 355 s 15,16; 1990 c 562 art 11 s 6; 1995 c 256 s 24; 1996 c 399 art 2 s 11; 1997 c 7 art 1 s 158; 1998 c 397 art 11 s 3; 2005 c 152 art I s 23; 2008 c 154 art 10 s 21 Copyright©2013 by the Office of the Revisor of Statutes,State of Minnesota.All Rights Reserved. DRAFT Synopsis of Improvement Procedures Proposed Charter Amendment Comparison City of Lino Lakes Topic Minn.Stat.Chapter 429 Citation Charter Citation Charter Amendment Citation Charter Amendment Citation Proposal Option One Proposal Option Two 1. Scope/Applicability Governs only improvements paid,in Chapter 429 Same as Ch.429 Section 8.02 Same as Ch.429 Section 8.01,Subd.1 Same as Ch.429 Section 8.01,Subd.1 part,with special assessments 2.Measurement/Allocation of Benefits=Market Value Increase. 429.051 Same as Ch.429 Section 8.01 Same as Ch.429 Section 8.01,Subd.3 Same as Ch.429 Section 8.01,Subd.3 Special Assessments Roughly proportionate. 3.Process by 100%Petition If initiated by 100%of abutting 429.031,Subd.3 If initiated by 100%of benefitted Section 8.06 Same as Ch.429 Section 8.02,Subd.1 Same as Ch.429 Section 8.02,Subd.8 property owners and 100%costs property owners and 100%costs assessed. assessed. Reports,Hearings, No feasibility report required. 429.031,Subd.3 Feasibility report required. Section 8.04,Subd.1 Same as Ch.429 Section 8.02,Subd.1 Same as Ch.429 Section 8.01,Subd.1 Notices&Subsequent Petitions No public hearing required. 429.031,Subd.3 Public hearing required. Section 8.06 Same as Ch.429 Section 8.02,Subd.1 Same as Ch.429 Section 8.02,Subd.8 Two weeks mailed,published notice of hearing. Council may order improvement by 429.031,Subd.3 60 day waiting period before any Section 8.06 Same as Ch.429 Section 8.02,Subd.1 Same as Ch.429 Section 8.02,Subd.8 majority vote action can be taken(50 of the 60 days are waivable by subsequent petition). Council may order project by majority vote. 4.Process by less than 100% If initiated by 35%of abutting 429.031,Subd.1(f) If petition received by 25%or more of Section 8.04,Subd.1 If initiated by 35%of abutting owners Section 8.02,Subd.3 If initiated by 35%of owners within Section 8.02,Subd.6 Petition frontage,Council may order project by benefited owners simple majority vote Council may order project by majority area to be assessed Council may majority vote. of council to initiate. vote. order project by majority vote. If initiated by less than 35%of 429.031,Subd.1(f) If petition received by less than Section 8.04,Subd.1 If initiated by less than 35%of Section 8.02,Subd.3 If initiated by less than 35%of Section 8.02,Subd.6 abutting frontage,Council may order 25%of benefitted property owners a abutting owners Council may order owners within area to be assessed project by 4/5(super majority)vote. 4/5 vote(super majority)vote is project by 4/5(super majority)vote. Council may order project by 4/5 required to initiate project. (super majority)vote. Reports,Hearings, Feasibility report is required. 429.031,Subd.1(b) Feasibility report is required Section 8.04,Subd.1 Feasibility report is required Section 8.02,Subd.1 Feasibility report is required Section 8.02,Subd.1 Notices&Subsequent 10 days mailed,two weeks published 429.031,Subd.1 Two weeks mailed,published notice Section 8.04,Subd.1 10 days mailed,two weeks published Section 8.02,Subd.1 10 days mailed,two weeks published Section 8.02,Subd.1 notice of hearing. of hearing. notice of hearing. notice of hearing. Notice must state time and place of 429.031,Subd.1 Notice must include time,place of Section 8.04,Subd.1 Notice same as 429. Section 8.02,Subd.1 Notice same as 429 with additional Section 8.02,Subd.1&Section hearing;general nature of the hearing and include estimate unit requirement to include estiamte of 8.02,Subd.2 improvement,the estimated cost and prices and estimated total price assessment for each parcel the area proposed to be assessed. Public hearinq is required 429.031,Subd 1 Public hearing is required Section 8.04,Subd.1 Public hearing is required Section 8.02,Subd.1 Public hearing is required Section 8.02,Subd.1 No action may be taken by council for Section 8.04,Subd.1 If greater than 50%of abutting Section 8.02,Subd.2 No action may be taken by council for Section 8.02,Subd.3 60 days owners object before or at hearing, 60 days special meeting is held at least 45 days later. Hearings,Notices& Council may order project within 6 429.031,Subd 1(f) Property owners,proposed to be Section 8.04,Subd.1 Council may order project within 6 Section 8.02,Subd.3 Property owners,proposed to be Section 8.02,Subd.3 Subsequent Petitions months of hearing assessed,have 60 days following months of special meeting. assessed,have 60 days following (continued) hearing to petition against/for project. hearing to petition against/for project. If petition against is received signed Section 8.04,Subd.1 If greater than 50%of abutting Section 8.02.Subd.3 If petition against is received signed Section 8.02,Subd.3 by a majority of owners proposed to owners file petition against within 30 by a majority of owners proposed to be assessed the project cannot days of council ordering project the be assessed the project cannot proceed at the expense of property project cannot proceed. proceed at the expense of property benefited. benefited. DRAFT 1 3/25/2014 DRAFT Synopsis of Improvement Procedures Proposed Charter Amendment Comparison City of Lino Lakes Topic Minn.Stat.Chapter 429 Citation Charter Citation Charter Amendment Citation Charter Amendment Citation Proposal Option One Proposal Option Two 5. Referendum None Required. Must hold referendum if funded,in Section 8.04,Subd.2 Subject to reverse referendum if Section 8.02,Subd.5 Must hold referendum if funded in part Section 8.02.Subd.4 and Subd.5 part,from general fund. funded in part from ad valorem taxes. from ad valorem taxes(property tax) Referendum required only if a petition unless the Street Reconstruction received signed by 5%of the votes requirements of Mn Stat.475.58, cast in the last general city election is subd.3b are met. Reverse filed within 45 days after the project is Referendum provided for in state law. ordered. 6. Reconsideration Not applicable If project is disallowed by petition or Section 8.04,Subd.4 If disallowed by election the question Section 8.02, Subd.6 If disallowed by election the question Section 8.02,Subd.7 vote council shall not vote on same may not be resubmitted for 180 days may not be resubmitted for 180 days improvement within 1 year of the from date of election. If disallowed a from date of election. If disallowed a public hearing. second time may not be resubmitted second time may not be resubmitted for 1 year from date of 2nd election for 1 year from date of 2nd election 7. Cost Increase Not Applicable Bids cannot exceed estimate by Section 8.04,Subd.3 Not Applicable Not Applicable greater than 10%. Only allowed to rebid once. 8.Assessment for Services Provides for the collection ot 429.101 Same as 429. Section 8.05 Same as 429 Section 8.02,Subd.1 Same as 429 Section 8.03 unpaid special charges as a special assessment against the property benefited. 9. Special Areas Not Applicable Minn Stat.Chapter 429 governs in 3 Section 8.07 Minn Stat.Chapter 429 governs in 3 Section 8.04 Minn Stat.Chapter 429 governs in 3 Section 8.04 special areas. special areas. special areas. Exception:Provides for opt out for Exception:Provides for opt out for Exception:Provides for opt out for single family owner occupied single family owner occupied single family owner occupied dwellings. dwellings. dwellings. DRAFT 2 3/25/2014