HomeMy WebLinkAboutAgenda Packets - 2013/01/14
CITY OF MOUNDS VIEW
CITY COUNCIL MEETING AGENDA
MOUNDS VIEW CITY HALL
Monday, January 14, 2013
7:00 p.m.
1. CALL TO ORDER
2. PLEDGE OF ALLEGIANCE
3. ROLL CALL: Flaherty, Gunn, Hull, Meehlhause, Mueller
4. APPROVAL OF AGENDA
5. PUBLIC INPUT:
Citizens may speak to issues not on tonight’s agenda. Before speaking, please give
your full name and address for the minutes. Also, please limit your comments to three
minutes.
6. SPECIAL ORDER OF BUSINESS
7. COUNCIL BUSINESS
A. 7:00 pm Public Hearing to Consider the Revocation of the “Tires and More”
Conditional Use Permit
B. First Reading and Introduction of Ordinance 877, an Ordinance Amending Chapter
405 of the Mounds View City Code to Increase the Size of the Parks, Recreation
and Forestry Commission from Seven to Nine Members
C. Resolution 8043, Selection of the City’s Official Newspaper
D. Consider Outreach Transportation Services, LLC, Office Space Lease at Mounds
View Community Center
E. Resolution 8041, Accepting Miscellaneous Cash Donations for 2012
F. Resolution 8046, Approving Transfers Between Funds for 2012
8. CONSENT AGENDA
A. Resolution 8044, Approving the 2012 Pay Equity Report
B. Resolution 8042, Authorizing a Garbage Contract for City Buildings
C. Resolution 8045, Appointing Gary Stevenson as Chairperson and Paul Schiltgen
as Vice-Chairperson to the Planning and Zoning Commission
D. Set a Public Hearing for 7 pm, January 28, 2012 to Consider the First Reading of
Ordinance 878 Amending Section 4.02 of the Mounds View City Charter Relating
to “Filing for Office”
9. JUST AND CORRECT CLAIMS
10. APPROVAL OF MINUTES - None
City Council Agenda
Monday, January 14, 2013
Page 2
11. REPORTS
A. Reports of Mayor and Council
B. Reports of Staff
1. Discuss Draft of the Council/Staff Retreat Agenda
C. Reports of City Attorney
12. Next Council Work Session: Monday, February 4, 2013, at 7pm
Next Council Meeting: Monday, January 28, 2013, at 7pm
13. ADJOURNMENT
Item No: 07A
Meeting Date: Jan 14, 2013
Type of Business: CB
City of Mounds View Staff Report
To: Honorable Mayor and City Council
From: James Ericson, City Administrator
Item Title/Subject: Hearing to Consider Possible Revocation of the Conditional
Use Permit Associated with Tires and More, Located at
2832 County Road 10
Introduction:
On August 27, 2012, the City Council approved the attached Resolution 7984 which
authorized approval of a Conditional Use Permit to Naoufel Soussi to operate a tire and
minor auto repair facility on the property. The resolution had specific conditions which
were to be satisfied, including the following:
“The applicant must receive a satisfactory inspection report and comply with all
orders from the Mounds View Fire Marshal.”
Discussion:
During the Council meeting, the Mayor asked Mr. Soussi if he understood the conditions
such as installing a fire sprinkler system in accordance with the Fire Marshal’s orders. Mr.
Soussi acknowledged this and other conditions and expressed his intent to abide by all
conditions. Mr Soussi was given three months until December 5th to install the sprinkler
system. When that date passed and the system had not been installed, staff scheduled
the hearing to reconsider the CUP.
Subsequent to setting the hearing date, Mr. Soussi arranged to have the requisite system
installed to avert CUP revocation. Fire Marshal Jeremiah Anderson reports the system is
operational and satisfies the MN Fire Code. Fire Marshal Anderson’s report is attached for
the Council’s reference.
Recommendation:
Staff recommends the Council take no further action regarding the possible revocation of
the Conditional Use Permit as the owner has satisfied the requirement to have a fire
sprinkler system installed and operational.
Respectfully submitted,
________________________
James Ericson
City Administrator
RESOLUTION NO. 7984
CITY OF MOUNDS VIEW
COUNTY OF RAMSEY
STATE OF MINNESOTA
APPROVING A CONDITIONAL USE PERMIT TO ALLOW A TIRE AND MINOR AUTO
REPAIR STORE AT 2832 COUNTY ROAD 10;
PLANNING CASE CU2012-001
WHEREAS, Naoufel Soussi with Tires N’ More, has applied for a conditional use
permit to operate a tire and minor auto repair store at 2832 County Road 10; and,
WHEREAS, the subject property is zoned B-3, Highway Business, and is legally
described as follows:
Lot 1, Block 1, Velmeir CVS Addition, Ramsey County,
Minnesota
PIN 06-30-23-34-0086 and 06-30-23-34-0089
WHEREAS, the Mounds View Zoning Code conditionally allows minor auto repair
and tire and battery stores and services in B-3 and higher zoning districts; and,
WHEREAS, the Planning Commission and City Council have reviewed the following
documents regarding this proposal:
1. Zoning Map
2. Aerial Views
3. Comprehensive Plan Existing and Future Land Use Maps
4. Staff Report
NOW, THEREFORE, BE IT RESOLVED that the Mounds View City Council makes
the following findings of fact related to the conditional use permit request:
1. The proposed tire and minor auto repair store meets the requirements as
outlined in Chapters 1114 and 1125 of the Zoning Code.
2. The request is consistent with the Mounds View Comprehensive Plan in that the tire and minor auto repair store use is consistent with the Community Commercial land use designations for this area. 3. The proposed tire and minor auto repair store would not be out of place given it is located on County Road 10, which is the main commercial corridor in the City.
4. The proposed tire and minor auto repair store is located on County Road 10,
adjacent to several other commercial businesses, and should not depreciate the
neighboring properties.
5. The applicant has sufficiently demonstrated that a need exists.
Resolution 7984 Page 2
NOW, THEREFORE, BE IT RESOLVED that the Mounds View City Council
recommends approval of the conditional use permit for the tire and minor auto repair store,
with conditions as follows:
1. The applicant must install a parking lot with the minimum required number of
parking spaces and curbing. The parking lot construction may be done in phases,
but must be completed by September 1, 2013. If required, a permit from Rice
Creek Watershed District must be approved before the City will issue a permit for
the parking lot construction.
2. The applicant must install a minimum six foot tall privacy fence along the west side
of the property to provide screening for the adjacent residentially zoned properties.
The privacy fence must be installed by September 1, 2013.
3. The applicant must receive a satisfactory inspection report and comply with all
orders from the Mounds View Fire Marshal.
4. This Conditional Use Permit may be reviewed by the Planning Commission and
City Council if any problems develop or if there are any changes to the operation
deemed substantial enough to warrant such a review, in the estimation of the City
Administrator or the City Council.
NOW THEREFORE, BE IT FINALLY RESOLVED that this Conditional Use Permit
shall have no expiration date and shall remain in force so long as the conditions agreed
upon herein are observed.
Adopted this 27th day of August, 2012.
_____________________________________
Joe Flaherty, Mayor
ATTEST:
_____________________________________
James Ericson, City Administrator
(SEAL)
Item No: 07B
Meeting Date: January 14, 2013
Type of Business: CB
Administrator Review : ____
City of Mounds View Staff Report
To: Honorable Mayor and City Council
From: Desaree Crane, Assistant City Administrator
Item Title/Subject: First Reading and Introduction of Ordinance 877, an
Ordinance Amending Chapter 405 of the Mounds View City
Code to Increase the Size of the Parks, Recreation and
Forestry Commission from Seven to Nine Members
Background:
The City Council directed Staff at the December 10, 2012, City Council Meeting to increase
the members from seven to nine on the Parks, Recreation and Forestry Commission. This
was also recommended by the Parks, Recreation and Forestry Commission.
Discussion:
Attached is a draft Ordinance 877, which amends Section 405.02 of the Mounds View City
Code to allow nine members to be appointed to the Parks, Recreation and Forestry
Commission. Changes to this section are highlighted in red and blue.
405.02: MEMBERSHIP; OATH; COMPENSATION:
Subd. 1. Appointment of Members: The Commission shall consist of seven (7) nine (9)
members appointed by the City Council and based on the recommendation of the
Parks and Recreation Commission, from the applications submitted. Based upon the
recommendation of the Parks and Recreation Commission, the City Council shall
appoint a chairperson. (1988 Code §34.02; Ord. 627, 2-8-99; Ord. 707, 10-28-02;
Ord. 714, 5-12-03; Ord. 741, 6-28-04)
Recommendation:
Staff recommends that the City Council review and provide feedback on the attached
Ordinance. A second reading and consideration for adoption is currently scheduled for the
January 28, 2013, City Council Meeting.
Respectfully submitted,
_______________________
Desaree Crane
ORDINANCE 877
CITY OF MOUNDS VIEW
COUNTY OF RAMSEY
STATE OF MINNESOTA
AN ORDINANCE AMENDING CHAPTER 405 OF THE CITY CODE TO INCREASE
APPOINTMENT OF MEMBERS FROM SEVEN TO NINE ON THE
PARKS, RECREATION, AND FORESTRY COMMISSION
THE CITY OF MOUNDS VIEW ORDAINS:
SECTION 1. The City Council of the City of Mounds View hereby amends Chapter 405.02,
subd 1, of the Mounds View City Code pertaining to “Appointment of Members” by deleting
the stricken language and adding the underlined text as follows:
405.02: MEMBERSHIP; OATH; COMPENSATION:
Subd. 1. Appointment of Members: The Commission shall consist of seven (7) nine (9)
members appointed by the City Council and based on the recommendation of the
Parks and Recreation Commission, from the applications submitted. Based upon the
recommendation of the Parks and Recreation Commission, the City Council shall
appoint a chairperson. (1988 Code §34.02; Ord. 627, 2-8-99; Ord. 707, 10-28-02;
Ord. 714, 5-12-03; Ord. 741, 6-28-04)
SECTION 2. In accordance with Section 3.07 of the City Charter, City staff shall have the
following summary printed in the official City newspaper in lieu of the complete ordinance:
On January 28, 2013, the City Council adopted Ordinance 877 that amends Chapter 405.02,
subd. 1, of the Mounds View City Code to increase appointment of members from seven to
nine on the Parks, Recreation and Forestry Commission. A printed copy of the ordinance is
available to view during regular business hours at Mounds View City Hall and is available on
line at the City’s web site located at www.ci.mounds-view.mn.us.
SECTION 3. This ordinance takes effect 30 days after its publication in the official City
newspaper.
INTRODUCTION AND FIRST READING by the Mounds View City Council this 14th day of
January, 2013.
SECOND READING AND ADOPTION by the Mounds View City Council this 28th day of
January, 2013.
PUBLICATION DATE: ___________________________
Ordinance 877
Page 2
Joe Flaherty, Mayor
ATTEST:
______________________________
James Ericson
City Administrator
(seal)
Item No: 07C
Meeting Date: January 14, 2013
Type of Business: CB
Administrator Review : ____
City of Mounds View Staff Report
To: Honorable Mayor and City Council
From: Desaree Crane, Assistant City Administrator
Item Title/Subject: Resolution 8043, Selection of the City’s Official Newspaper
Background:
In accordance with Minnesota Statutes 412.831, it requires the City Council to also annually
designate a legal newspaper of general circulation in the City as its official newspaper.
According to my City Council staff report at the January 7, 2013, Special City Council
Meeting, Staff needed to conduct research on the circulation coverage of the Sun Focus,
Mounds View/New Brighton Bulletin and Pioneer Press newspapers. Staff has received
several complaints that many residents are not receiving the City’s current official
newspaper, The Sun Focus.
Discussion:
The Sun Focus, The Bulletin, and the Shoreview Press have each submitted proposals to be
the City’s official newspaper for 2013 (proposal letters attached). The Council selected the
Sun Focus as the City’s primary newspaper last year. All newspapers accept legal notices
via e-mail.
The City selected the Sun Focus as the City’s official newspaper in 2009, 2010, 2011, and
2012. The City Council expressed interest in selecting the Sun Focus as the City’s official
newspaper due to the better news coverage that the Sun Focus provides on City matters.
In regard to circulation in Mounds View, The Sun Focus delivers their newspaper to 3,439
households and The Bulletin delivers to 3,300 households. The Shoreview Press indicated
to Staff that circulation in Mounds View is “minimal.” Pioneer Press did not get back to the
City on their Mounds View newspaper circulation.
Last year and in years previous the Council selected the St. Paul Pioneer Press as the City’s
secondary newspaper. The Pioneer Press placed a bid to the City at $4.60 for each line
(one line = 25 characters) plus a $1 Mobile Access Fee. Since the Pioneer Press is a daily
newspaper, it would certainly be acceptable for the Council to select the Pioneer Press as
the City’s secondary newspaper.
Item 07C
January 14, 2013 City Council Meeting
Page 2
Recommendation:
Staff recommends that the City Council select an official City newspaper and adopt
Resolution 8043.
Respectfully submitted,
_______________________
Desaree Crane
RESOLUTION 8043
CITY OF MOUNDS VIEW
COUNTY OF RAMSEY
STATE OF MINNESOTA
SELECTION OF THE CITY’S OFFICIAL NEWSPAPER
WHEREAS, in accordance with Minnesota Statutes 412.831, it requires the City
Council to also annually designate a legal newspaper of general circulation in the City as its
official newspaper; and
WHEREAS, Staff received bids from The Sun Focus, The Bulletin, Shoreview Press
and the Pioneer Press; and
WHEREAS, the Mounds View City Council selects _______________, as the City’s
official newspaper and The Pioneer Press as the City’s secondary newspaper.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of
Mounds View does hereby selects the following official newspapers:
Official Newspaper: Primary: _______________
Secondary: St. Paul Pioneer Press
.
Adopted this 14th day of January, 2013.
________________________________
Joe Flaherty, Mayor
ATTEST:
________________________________
James Ericson, City Administrator
(seal)
Item No: 7D
Meeting Date: Jan. 14, 2013
Type of Business: Council Business
Administrator Review : ____
City of Mounds View Staff Report
To: Honorable Mayor and City Council
From: Heidi Steinmetz, Economic Development Specialist
Item Title/Subject: Consider Outreach Transportation Services, LLC, Office
Space Lease at Mounds View Community Center
Introduction
As shown below, there is approximately 1,330 square feet of office space available for
lease at the Mounds View Community Center. The available space consists of one, large
space and two small offices. The two small offices have been vacant for several years.
The larger space was formerly occupied by the Twin Cities North Chamber of Commerce.
Discussion
As was mentioned to the City Council on December 10, 2012, t he owner of Outreach
Transportation Services, LLC, is interested in leasing the two small offices from the City of
Mounds View.
January 14, 2013
Regular City Council Meeting
Item 7D – Outreach Transportation Services, LLC
Outreach Transportation Services is a new company that provides non-emergency
transportation services for people who use wheelchairs. Attached is the company’s
Certificate of Organization.
The owner of the company is Mike Thompson. Mr. Thompson is currently the company’s
only employee. Mr. Thompson is also a resident of Mounds View. He will be attending the
January 14, 2013, City Council meeting to introduce himself and his company to the City
Council.
The City of Mounds View’s current lease rate for the Community Center office space is
$10.00 per square foot. Therefore, the gross monthly rent for Outreach Transportation
Services, LLC, would be $275.00 + 37.50 in Internet fees if the tenant wishes to use
Internet services at the Community Center. Mr. Thompson has offered to submit six
months of rent payments to the City of Mou nds View upon entering the lease. The term of
the lease would be one year.
Attached is the draft office space lease document for the City Council’s review.
Recommendation
Staff recommends that the City Council consider the attached Outreach Transportation
Services, LLC, office space lease at the Mounds View Community Center to commence on
January 15, 2013.
Respectfully submitted,
____________________________
Heidi Steinmetz, Economic Development Specialist
Attachments: Certificate of Organization and Draft Office Space Lease
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416585v3 SJR MU210-35
LEASE AGREEMENT
By and Between
City of Mounds View,
And
Outreach Transportation Services, LLC
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416585v3 SJR MU210-35
LEASE AGREEMENT
This Lease is made effective as of January 15, 2013, by and between the City of Mounds
View, a Minnesota municipal corporation (“Landlord”) and Outreach Transportation Services,
LLC, a Minnesota limited liability company ("Tenant").
DATA SHEET
The legal significance of the terms set forth in this Data Sheet is governed by references
to such terms in the remainder of this Lease.
BUILDING. That certain building situated on the following described real estate:
Commonly known as MOUNDS VIEW COMMUNITY CENTER
PREMISES. That space in the Building, as designated on Exhibit A annexed
hereto, consisting of approximately 330 square feet measured from the exterior
surface of the exterior walls to the center of the interior walls and Tenant’s
proportionate share of the Common Areas. The street address of the Premises is
5394 Edgewood Drive in the City of Mounds View.
LANDLORD: City of Mounds View, 2401 Highway 10, Mounds View, MN
55112.
TENANT: Outreach Transportation Services, LLC.
After Occupancy 5394 Edgewood Drive, Suite, Mounds View, Minnesota 55112
1. PREMISES:
Landlord hereby leases to Tenant, and Tenant hereby leases from Landlord, for the term
and upon the conditions hereinafter provided, the Premises described in the Data Sheet.
2. TERM:
The Term of this Lease shall commence on the 15th day of January, 2013, and shall
terminate on the 15th day of January, 2014, unless earlier terminated as hereinafter provided.
3. RENT:
Tenant agrees to pay Landlord, at 2401 County Road 10, Mounds View, MN 55112, or
such other place as Landlord may from time to time designate in writing, six months of Rent due
on or before January 15, 2013. Monthly Rent is due on or before the fifteenth day of each month
commencing August 15, 2013. The monthly Rent is based upon the following schedule:
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416585v3 SJR MU210-35
Year 2013
Gross Monthly Rent shall be $275.00 + 37.50 internet charge should tenant wish
to avail itself to such service.
4. USE OF PREMISES:
Tenant will use and occupy the Premises solely for general office purposes. Tenant will
not use or occupy the Premises for any unlawful purpose, and will comply with all present and
future laws, ordinances, regulations and orders of all governmental units having jurisdiction over
the Premises. Tenant will not use or occupy the Premises for overnight accommodations.
Tenant shall have access to the Premises only during the hours the Building is open to the public.
Tenant shall not cause or permit any unusual noise, vibrations, odors or nuisance in or about the
Premises and the Building and grounds nor shall Tenant permit any debris, property or
merchandise of Tenant, its officers, employees or agents to be placed or left upon the grounds;
and Tenant, its officers and employees shall observe all reasonable rules and regulations adopted
by Landlord for the general safety, comfort and convenience of Landlord, Tenant and other
Tenants including the reasonable assignment of parking spaces for the exclusive use of Tenant or
other tenants of Landlord or the Building.
In the event Tenant shall cause or permit any unusual noise, odor or nuisance or the
storage of any debris, property or merchandise of Tenant, its officers, employees or agents, in or
about the Premises, the Building or grounds in violation of the terms of this Section, landlord
shall be entitled to take any steps it deems reasonably necessary to correct or remove such
violation and Tenant shall pay Landlord, as additional rent hereunder, all costs and expenses
incurred in such correction or removal including all costs and expenses incurred in ascertaining
which Tenant is responsible for such violation.
Landlord disclaims any warranty that the Premises are suitable for Tenant's use and
Tenant acknowledges that it has had a full opportunity to make its own determination in this
regard. Landlord warrants, to the best of their knowledge, that the building is in compliance with
the Americans with Disabilities Act (ADA). In the event that the premises is found not to be in
compliance, Landlord shall be responsible for all construction or alteration of the premises to
render the premises in compliance with ADA.
Tenant will not conduct or permit to be conducted any activity, or place any equipment in
or about the Premises, which will in any way increase the rate of fire insurance or other
insurance on the building; and if any increase in the rate of fire insurance or other insurance is
stated by any insurance company or by the applicable Insurance Rating Bureau to be due to
activity or equipment of Tenant in or about the Premises, such statement shall be conclusive
evidence that such increase in such rate is due to such activity or equipment and, as a result
thereof, Tenant shall be liable for such increase and shall reimburse Landlord therefore and,
further, shall discontinue or cause the discontinuance of such conduct or shall remove such
equipment upon Landlord's demand made at any time thereafter.
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416585v3 SJR MU210-35
Tenant shall not install, use, generate, store or dispose of in or about the Premises any
hazardous substance, toxic chemical, pollutant or other material regulated by the Comprehensive
Environmental Response, Compensation and Liability Act of 1985 or the Minnesota
Environmental Response and Liability Act or any similar law or regulation, including without
limitation any material containing asbestos, PCB, CFC or HCFC (collectively "Hazardous
Materials") without Landlord's written approval of each Hazardous Material. Landlord shall not
unreasonably withhold its approval of use by Tenant of immaterial quantities of Hazardous
Materials customarily used in business operations so long as Tenant uses such Hazardous
Materials in accordance with all applicable laws. Upon expiration or termination of this Lease
Tenant shall remove all Hazardous Materials installed, used, stored or disposed of in the
Premises by Tenant. Tenant shall indemnify, defend and hold Landlord harmless from and
against any claim, damage or expense arising out of Tenant's installation, use, generation,
storage, or disposal of any Hazardous Materials, regardless of whether Landlord has approved
the activity.
5. ASSIGNMENT AND SUBLETTING:
Tenant will not assign, transfer, mortgage or encumber this Lease or sublet or rent or
franchise or permit occupancy or use of the Premises, or any part thereof by any third party; nor
shall any assignment or transfer of this Lease be effectuated by operation of law or otherwise,
(any of the foregoing being hereinafter referred to as an "Assignment") without in each such case
obtaining the prior written consent of Landlord, which consent shall be subject to Landlord’s
sole discretion. The consent by Landlord to any Assignment shall not be construed as a waiver
or release of Tenant from the terms of any covenant or obligation under this Lease, nor shall the
collection or acceptance of rent from any transferee under an Assignment constitute an
acceptance of the Assignment or a waiver or release of Tenant or any transferee of any covenant
or obligation contained in this Lease, nor shall any Assignment be construed to relieve Tenant
from the requirement of obtaining the consent in writing of Landlord to any further Assignment.
In conjunction with any requested assignment of this Lease, Landlord may require Tenant to
execute a reaffirmation of Tenant’s liability hereunder, with waiver of defenses based solely on
suretyship.
If, at any time during the Term of this Lease, Tenant (and/or the guarantor, if any) is:
(i) a corporation or a trust (whether or not having shares of beneficial
interest) and there shall occur any change in the identity of any of the persons then having
power to participate in the election or appointment of the directors, trustees, or other
persons exercising like functions and managing the affairs of Tenant, or
(ii) a partnership, limited liability company or association or otherwise not a
natural person (and is not a corporation or a trust) and there shall occur any change in the
identity of any of the persons who then are members of such partnership or association or
who comprise Tenant
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416585v3 SJR MU210-35
such change shall be deemed to be an Assignment. This Section shall not apply if Tenant (and/or
guarantor, if any) named herein is a corporation and the outstanding voting stock thereof is listed
on a recognized national securities exchange.
Whether or not Landlord has consented to assignment or sublease, Tenant shall pay
directly to Landlord the amount by which the rent or other payments received by Tenant
pursuant to such assignment or sublease exceeds, in any month, the Rent and additional rent
payable by Tenant to Landlord Hereunder.
6. MAINTENANCE AND REPAIRS:
Tenant agrees to keep, maintain and repair the Premises and the fixtures and equipment
therein in first class, properly functioning, safe, orderly and sanitary condition, will make all
necessary replacements thereto, will suffer no waste or injury thereto, and will at the expiration
or other termination of the Term of this Lease, surrender the same with all improvements in the
same order and condition in which they were on the commencement date of this lease, or in such
better condition as they may hereafter be put, excepting ordinary wear and tear as well as
casualty damage to the extent such casualty damage is covered by insurance excepted.
Notwithstanding anything apparently to the contrary in this Section, any cost of repairs or
improvements to the Building, to the Premises or to any common areas which are occasioned by
the negligence or default of Tenant, its officers, employees, agents or invitees, or by
requirements of law, ordinance or other governmental directive and which arise out of the nature
of Tenant's use and occupancy of the Premises or the installations of Tenant in the Premises shall
be paid for by Tenant.
7. ALTERATIONS; SIGNS; EQUIPMENT; MOVING:
Tenant will not make or permit anyone to make any alterations, decorations, additions or
improvements, structural or otherwise, in or to the Premises or the Building without the prior
written consent of Landlord. As a condition precedent to consent of Landlord hereunder, Tenant
agrees to obtain and deliver to Landlord such security against mechanic's liens as Landlord shall
reasonably request. If any mechanic's lien is filed against any part of the Building for work
claimed to have been done for, or materials claimed to have been furnished to Tenant, such
mechanic's lien shall be discharged by Tenant within ten days thereafter, at Tenant's sole cost
and expense, by the payment thereof or by making any deposit required by law. Regardless of
whether Landlord's consent is required or obtained hereunder: (i) all alterations shall be made in
accordance with applicable laws, codes and insurance guidelines, and shall be performed in a
good and workmanlike manner, (ii) if the construction or installation of Tenant's alterations or
fixtures causes any labor disturbance, Tenant shall immediately take any action necessary to end
such labor disturbance, and (iii) Tenant shall furnish to Landlord as-built plans in such format as
Landlord may reasonably require. All alterations, which become permanent fixtures to the
Premises shall become the property of Landlord upon expiration of the Term and shall remain
upon and be surrendered with the Premises as a part thereof without disturbance or injury, unless
Landlord requires specific items thereof to be removed by Tenant at Tenant's sole expense, in
which event Tenant shall do so prior to the expiration of the Term at its expense, and shall repair
any damage caused thereby.
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416585v3 SJR MU210-35
Tenant shall not place or maintain any sign, advertisement or notice on any part of the
outside of the Premises or the building except (i) such place, number, size, color and style as has
been approved in writing by Landlord and (ii) in accordance with the sign criteria to be
developed by Landlord. Any such signs shall be at the sole expense of Tenant. Tenant shall
remove all signs at the expiration or termination of this Lease and restore the affected area to its
original condition.
Tenant shall not install any equipment containing Hazardous Materials nor any
equipment which will or may necessitate any changes, replacements or additions to, or in the use
of, the heating, ventilating or air-conditioning system, or other building system of the Premises
or the Building without first obtaining the prior written consent of Landlord. Equipment
belonging to Tenant which causes noise or vibration that may be transmitted to the structure of
the Building or to any space therein to such a degree as to be objectionable to Landlord or to any
tenant in the Building shall be installed and maintained by Tenant, at Tenant's expense, on
vibration eliminators or other devices sufficient to eliminate noise and vibration. Landlord shall
have the right at any time to limit the weight and prescribe the position of safes, concentrated
filing systems and other heavy equipment or fixtures.
All moving of furniture, equipment and other material shall be done under the direct
control and supervision of Landlord who shall, however, not be responsible for any damage to or
charges for moving the same unless damage is the direct result of Landlord’s sole and gross
negligence. Any and all damage or injury to the premises or the Building caused by moving the
property of Tenant in or out of the Premises, or due to the same being on the Premises, shall be
repaired by, and at the sole cost of, Tenant. No deliveries or pickups shall be left unattended at
the loading dock.
8. RIGHT OF ENTRY:
Tenant will furnish to Landlord at all times a master key to the Premises and permit
Landlord, or its representative, to enter the Premises to examine, inspect and protect the
Premises, and to make such alterations, renovations, restorations and/or repairs as in the
judgment of Landlord may be deemed necessary or desirable for the Premises, for any other
premises in the Building, or the Building itself (including access to distribution systems above
the ceiling of the Premises), or to exhibit the same to prospective tenants during the last year of
the Term of this Lease or during any period Tenant is in default hereunder, or to prospective
purchasers or lenders at any time. Landlord shall use reasonable efforts to not unreasonably
interfere with the conduct of Tenant's business, but Landlord shall in no event be liable to Tenant
for any damages in connection with such entry or installation. Landlord shall have the right of
immediate entry, without notice, for emergencies provided Tenant shall be notified as soon after
such entry as possible.
Landlord reserves the right to impose such reasonable security restrictions in the common
areas as it deems appropriate from time to time.
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416585v3 SJR MU210-35
9. SERVICES AND UTILITIES:
Tenant agrees to pay all charges for utility services to the Premises during the term of this
Lease including, but not limited to, gas, electric, sewer, water, telephone, sprinkler alarm system,
security systems and rubbish removal. Tenant shall not commit waste or use any of the utilities
in excess of ordinary and reasonable use.
10. PROTECTION FROM SUBROGATION:
Anything in this Lease to the contrary notwithstanding, neither Landlord nor Tenant shall
be liable to the other for any business interruption or any loss or damage to property or injury to
or death of persons occurring on the Premises or the adjoining properties, mall areas, sidewalks,
streets or alleys, or in any manner growing out of or connected with Tenant’s use and occupation
of the Premises, or the condition thereof or of mall areas, sidewalks, streets or alleys adjoining,
caused by the negligence or other fault of Landlord, or Tenant or of their respective agents,
employees, subtenants, licensees or assignees to the extent that such business interruption or loss
or damage to property or injury to or death of person is covered by or indemnified by proceeds
received from insurance carried by other party (regardless of whether such insurance is payable
to or protects Landlord or Tenant or both) or for which such party is otherwise reimbursed; and
Landlord and Tenant each hereby respectively waive all rights of recovery against the other, its
agents, employees, subtenants, licensees and assignees, for any such loss or damage to property
or injury to or death of persons to the extent the same is covered or indemnified by proceeds
received from any such insurance, or for which reimbursement is otherwise received. Landlord’s
and Tenant’s respective policies of insurance shall each contain a waiver of subrogation
provision incorporating the above covenant and providing that the insurance shall not be
invalidated by the insured’s written waiver prior to a loss of any or all right of recovery against
any party for any insured loss. It is expressly understood that Landlord shall not be liable t o
Tenant for any damages incurred by the latter as a result of the above and foregoing events; save
and except as to any such damages caused by the willful or wanton conduct of Landlord, its
agents or employees, provided such damages are not recoverable by Tenant pursuant to the
insurance policies required to be provided by Tenant under this Lease or otherwise.
11. WAIVER AND INDEMNITY:
Notwithstanding anything apparently to the contrary in this Lease, Landlord and its
partners, officers and employees and property manager shall not be liable to Tenant, and Tenant
hereby releases such parties from all damage, compensation or claims from any cause other than
the intentional misconduct of Landlord or its partners, officers or employees or property manager
arising from: loss or damage to personal property or trade fixtures in the Premises including
books, records, files, computer equipment, computer data, money, securities, negotiable
instruments or other papers; lost business or other consequential damage arising out of
interruption in the use of the Premises; and any criminal act by any person other than Landlord
or its partners, officers or employees. Furthermore, Tenant agrees that Landlord, its officers,
agents, partners, and employees shall not be liable to Tenant or those claiming through or under
Tenant for any injury, death or property damage occurring in, on or about the Premises, the
Building or grounds.
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Tenant agrees to indemnify, defend and hold Landlord and its partners, officers and
employees and property manager harmless from and against any claim, loss or expense arising
out of injury, death or property loss or damage occurring by reason of Tenant’s use of the
Premises, except only to the extent caused by the negligent act or intentional m isconduct of
Landlord or its partners, officers or employees or property manager.
Nothing in this Lease shall constitute a waiver or limitation of the Landlord’s immunities
or limitations on liability as set froth in Minnesota Statutes, Chapter 466.
12. INSURANCE:
Tenant agrees to purchase, in advance, and to carry in full force and effect the following
insurance:
(a) "All risk" property insurance covering the full replacement value of all of
Tenant's leasehold improvements, trade fixtures and personal property within the Premises.
Landlord shall be named as loss payee under all such policies.
(b) Commercial general liability insurance, providing coverage on an
"occurrence" rather than a "claims made" basis, which policy shall include coverage f or Bodily
Injury, Property Damage, Personal Injury, Contractual Liability (applying to this Lease), and
Independent Contractors, in current Insurance Services Office form or other form which provides
coverage at least as broad. Tenant shall maintain a combined policy limit of at least $2,000,000
aggregate $1,000,000 per occurrence applying to Bodily Injury, Property Damage and Personal
Injury, which limit may be satisfied by Tenant's basic policy, or by the basic policy in
combination with umbrella or excess policies so long as the coverage is at least as broad as that
required herein. Such liability for property damage and fire legal liability shall not be less than
$500,000.00 Such liability, umbrella and/or excess policies may be subject to aggregate lim its so
long as the aggregate limits have not at any pertinent time been reduced to less than the policy
limit stated above, and provided further that any umbrella or excess policy provides coverage
from the point that such aggregate limits in the basic policy become reduced or exhausted.
Landlord shall be named as additional insured under all such policies.
At least ten (10) days prior to entry by Tenant on the Premises, Tenant shall deliver to
Landlord evidence that the insurance required by this Lease is in full force and effect. At least
thirty (30) days prior to expiration of any such coverage, Tenant shall deliver evidence that the
coverage in question will be renewed or replaced upon expiration. Such evidence of insurance
shall be in writing signed by a party authorized to bind the insurer, authorize Landlord to rely
thereon, and shall contain sufficient information to enable Landlord to determine whether
Tenant's insurance complies with the requirements of this Lease. Upon request, Tenant shall
also furnish insurer-certified copies of all pertinent policies. All polices used to provide the
coverage required by this Lease shall (i) be endorsed to require the insurer to provide at least
thirty (30) days notice to Landlord prior to cancellation or non-renewal, and (ii) be issued by
financially sound companies having an A.M. Best Company rating of at least A:VII.
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13. FIRE OR OTHER CASUALTY:
If the Premises or the Building shall be damaged by fire or other cause Landlord shall at
its option either (a) undertake to restore such damage with all due diligence, or (b) in the event
the Premises or the Building are damaged by fire or other cause to such extent that damage
cannot, in Landlord's sole judgment, be economically repaired within 90 days after the date of
such damage (taking into account the time necessary to effectuate a satisfactory settlement with
any insurance company and using normal construction methods without overtime or other
premium), terminate this Lease, by notice given to Tenant within 60 days after the date of the
damage. Any termination hereunder by reason of damage to the Premises shall be effective as of
the date of the damage. Any termination by reason of damage to the Building but not the
Premises shall be effective as of the date notice is given. If Landlord elects to restore, Landlord
shall not be obligated to restore any improvements in the Premises which were not owned and
constructed by Landlord. Upon substantial completion by Landlord of its work, Tenant shall
undertake to restore its leasehold improvements and trade fixtures with all due diligence. This
Lease shall, unless terminated by Landlord, remain in full force and effect following such
damage, and, in the case of damage to the Premises, the Rent, prorated to the extent that the
Premises are rendered untenantable, shall be equitably abated until such repairs are completed;
provided, however, that if Tenant does not restore its leasehold improvements and trade fixtures
with due diligence, abatement shall cease as of the date restoration could have been completed
using due diligence.
14. CONDEMNATION:
If the whole or any substantial part of the Premises shall be taken or condemned or
purchased under threat of condemnation by any governmental authority, then the Term of this
Lease shall cease and terminate as of the date when the interference with the possession,
enjoyment or value of the Premises occurs and Tenant shall have no claim against the
condemning authority, Landlord or otherwise, for any portion of the amount that may be
awarded as damages as a result of such taking or condemnation or for the value of any unexpired
Term of the Lease, provided, however, that landlord shall not be entitled to any separate award
made to Tenant for loss of business, relocation costs or the value of the cost of removal of stock
and trade fixtures and any such award is hereby condemned to the extent that it cannot, in
Landlord's sole judgment, be economically restored within a reasonable time, Landlord shall
have the option by notice given to Tenant within 30 days after the date of interference with
possession, to terminate this Lease as of the date of such interference with possession.
15. DEFAULT:
Any one of the following events shall constitute an Event of Default:
(i) Tenant shall fail to pay any monthly installment of Rent as herein
provided;
(ii) Tenant shall violate or fail to perform any of the other conditions,
covenants or agreements herein made by Tenant and such default shall continue
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for 30 days after notice from Landlord; provided, however, that if the nature of
such default is such that Tenant can cure the default, but not within fifteen (30)
days, then the Event of Default shall be suspended for a period not in excess of
thirty (30) additional days so long as Tenant commences cure within fifteen (15)
days and thereafter diligently and continuously prosecutes the curing of the
default, and so long as continuation of the default does not create material risk to
the Building or to persons using the Building;
(iii) Tenant shall file or have filed against it or any guarantor of this
Lease any bankruptcy or other creditor's action, or make an assignment for the
benefit of its creditors.
If an Event of Default shall have occurred and be continuing, Landlord may at its sole
option by written notice to Tenant terminate this Lease. Neither the passage of time after the
occurrence of the Event of Default nor exercise by Landlord of any other remedy with regard to
such Event of Default shall limit Landlord's rights.
If an Event of Default shall have occurred and be continuing, whether or not Landlord
elects to terminate this Lease, Landlord may enter upon and repossess the Premises (said
repossession being hereinafter referred to as "Repossession") by force, summary proceedings,
ejectment or otherwise, and may remove Tenant and all other persons and property therefrom.
From time to time after Repossession of the Premises, whether or not this Lease has been
terminated, Landlord may, but shall not be obligated to, attempt to relet the Premises for the
account of Tenant in the name of Landlord or otherwise, for such term or terms (which may be
greater or less than the period which would otherwise have constituted the balance of the Term)
and for such terms (which may include concessions or free rent) and for such uses as Landlord,
in its uncontrolled discretion, may determine, and may collect and receive the rent therefore.
Any rent received shall be applied against Tenant's obligations hereunder, but Landlord shall not
be responsible or liable for any failure to collect any rent due upon any such reletting.
No termination of this Lease and no Repossession of the Premises pursuant to this
Section or otherwise shall relieve Tenant of its liabilities and obligati ons under this Lease, all of
which shall survive any such termination or Repossession. In the event of any such termination
or Repossession, whether or not the Premises shall have been relet, Tenant shall pay to Landlord
the Rent and other sums and charges to be paid by Tenant up to the time of such termination or
Repossession, and thereafter Tenant, until the end of what would have been the Term in the
absence of such termination or Repossession, shall pay to Landlord, as and for liquidated and
agreed current damages for Tenant's default, the equivalent of the amount of the Rent and such
other sums and charges which would be payable under this Lease by Tenant if this Lease were
still in effect, less the net proceeds, if any, of any reletting effected pursuant to the provisions of
this Section after deducting all of Landlord's expenses in connection with such reletting,
including, without limitation, all repossession costs, brokerage and management commissions,
operating expenses, legal expenses, attorneys' fees, alteration costs, and expenses of preparation
for such reletting. Tenant shall pay such current damages to Landlord monthly on the days on
which the Rent would have been payable under this Lease if this Lease were still in effect, and
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Landlord shall be entitled to recover the same from Tenant on each such day. At any time after
such termination or Repossession, whether or not Landlord shall have collected any current
damages as aforesaid, Landlord shall be entitled to recover from Tenant, and Tenant shall pay to
Landlord on demand, as and for liquidated and agreed final damages for Tenant's default, an
amount equal to the then present value of the excess of the Rent and other sums or charges
reserved under this Lease from the day of such termination or Repossession for what would be
the then unexpired term if the same had remained in effect, over the amount of rent Tenant
demonstrates that Landlord could in all likelihood actually collect for the Premises for the same
period, said present value to be arrived at on the basis of a discount of four percent (4%) per
annum.
In addition to all other remedies of Landlord, Landlord shall be entitled to reimbursement
upon demand of all reasonable attorneys fees incurred by Landlord in connection with any Event
of Default.
Landlord shall in no event be considered to be in default of Landlord's obligations
hereunder until the expiration of a reasonable time after notice of default from Tenant.
16. SUBORDINATION:
For the purposes of this Section, the term "Mortgage" shall mean at any time, any
mortgage of record now or hereafter placed against the Building, any increase, amendment,
extension, refinancing or recasting of a Mortgage and, in the case of a sale or lease and leaseback
by Landlord of all or any part of the Building, the lease creating the leaseback. For the purposes
hereof, a Mortgage shall be deemed to continue in effect after foreclosure thereof until expiration
of the period of redemption therefrom.
This Lease is subject and subordinate to the lien of any Mortgage which may now or
hereafter encumber the Building or any development of which the Building is a part. In
confirmation of such subordination, Tenant shall, at Landlord's request from time to time,
promptly execute any certificate or other document requested by the holder of the Mortgage.
Tenant agrees that in the event that any proceedings are brought for the foreclosure of any
Mortgage, Tenant shall immediately and automatically attorn to the purchaser at such foreclosure
sale, as the landlord under this Lease, and Tenant waives the provisions of any statute or rule of
law, now or hereafter in effect, which may give or purport to give Tenant any right to terminate
or otherwise adversely affect this Lease or the obligations of Tenant hereunder in the event that
any such foreclosure proceeding is prosecuted or completed. Neither the holder of the Mortgage
(whether it acquires title by foreclosure or by deed in lieu thereof) nor any purchaser at
foreclosure sale shall be liable for any act or omission of Landlord occurring prior to date of
acquisition of title, nor subject to any offsets or defenses which Tenant might have against
Landlord nor bound by any prepayment by Tenant of more than one month's installment of Rent
nor by any modification of this Lease made subsequent to the granting of the Mortgage unless
consented to by the holder of the Mortgage. Notwithstanding anything to the contrary in this
Section, so long as Tenant is not in default under this Lease, this Lease shall remain in full force
and effect and the holder of the Mortgage and any purchaser at foreclosure sale thereof shall not
disturb Tenant's possession hereunder.
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17. SALE OR MORTGAGE OF THE BUILDING:
In the event of a sale of the Building, Landlord shall be relieved of all liability under this
Lease accruing from and after the date of sale provided Landlord has obtained the written
agreement of its transferee or assignee to assume and carry out all of the covenants and
obligations of the Landlord hereunder.
The Tenant agrees at any time and from time to time, upon not less than ten days prior
written request by Landlord, to execute, acknowledge and deliver to Landlord a statement in
writing certifying that the Lease is not modified (or modified, stating the modification) that the
Lease is in full force and affect, stating the dates to which the Rent has been paid in advance and
stating whether the Landlord is in default hereunder. It is intended that any such statement may
be relied upon by any prospective purchaser of the fee or mortgagee or assignee of any mortgage
upon the Building or real estate.
18. WAIVER:
One or more waivers of any covenant, term or condition of this Lease by either party
shall not be construed by the other party as a waiver of a subsequent breach of the same
covenant, term or condition. The consent or approval of either party to or of any act by the other
party of a nature requiring consent or approval shall not be deemed to waive or render
unnecessary consent to or approval of an y subsequent similar act. The failure or delay on the
part of either party to enforce or exercise at any time any of the provisions, rights or remedies in
this Lease shall in no way be construed to be a waiver thereof, nor in any way to affect the
validity of this Lease or any part thereof, or the right of the party to thereafter enforce each and
every such provision, right or remedy.
19. RULES AND REGULATIONS:
Tenant shall use the Premises and the common areas of the Building in accordance with
the terms of this Lease and such additional rules and regulations as may from time to time be
reasonably made by Landlord for the general safety, comfort and convenience of the Landlord,
occupants and tenants of the Building, and Tenant shall use its best efforts to cause Tenant's
customers, employees and invitees to abide by such rules and regulations. Landlord shall in no
event be responsible to Tenant for enforcement of such rules and regulations against other
tenants. These Rules and Regulations shall be in addition to, and shall not be construed to in any
way modify or amend, in whole or in part, the covenants and conditions of any lease of the
Premises. If any provision of these rules and regulations conflicts with any provision of the
Lease, the terms of the Lease shall prevail.
20. COVENANT OF QUIET ENJOYMENT:
Landlord covenants that it has the right to make this Lease for the term aforesaid and
covenants that if Tenant shall pay the rent and perform all of the covenants, terms and conditions
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of this Lease to be performed by Tenant, Tenant shall, during the Term hereby created, freely,
peaceably and quietly occupy and enjoy the full possession of the Premises.
21. NO REPRESENTATIONS BY LANDLORD:
Neither Landlord nor any agent or employee of Landlord has made any representations or
promises with respect to the Premises or the Building except as herein expressly set forth, and no
right, privileges, easements or licenses are acquired by Tenant except as herein expressly set
forth. No exhibit attached to this Lease nor any other materials provided by Landlord shall
constitute a warranty or agreement as to the configuration of the Building or the occupants
thereof. Landlord reserves the right from time to time to modify the Building, including
common areas, appurtenances and rentable areas, without in any case reducing the obligations of
Tenant hereunder. Tenant has no right to light or air over any premises adjoining the Building.
Tenant, by taking possession of the Premises, shall accept the same "as is" except as expressly
provided in this Lease and such taking of possession shall be conclusive evidence that the
Premises and the Building are in good and satisfactory condition at the time of such taking of
possession. In addition to and without limitation of the immediately preceding sentence, Tenant
agrees that it is leasing the Premises on an "AS IS", "WHERE IS" and "WITH ALL FAULTS"
basis, based upon its own judgment, and hereby disclaims any reliance upon any statement or
representation whatsoever made by Landlord. LANDLORD MAKES NO WARRANTY WITH
RESPECT TO THE PREMISES, THE BUILDING OR ANY PART THEREOF, EXPRESS OR
IMPLIED, AND LANDLORD SPECIFICALLY DISCLAIMS ANY WARRANTY OF
MERCHANTABILITY AND OF FITNESS FOR A PARTICULAR PURPOSE AND ANY
LIABILITY FOR CONSEQUENTIAL DAMAGES ARISING OUT OF THE USE OF OR THE
INABILITY TO USE THE PREMISES, THE BUILDING OR ANY PART THEREOF.
22. NOTICES:
All notices or other communications hereunder shall be in writing and shall be effective if
hand delivered or sent by registered or certified first-class mail, postage prepaid, or by overnight
express service which maintains confirmation of delivery, (i) if to Landlord at Landlord Address
set forth in the Data Sheet, and (ii) if to Tenant, at the Premises, unless notice of a change of
address is given pursuant to the provisions of this Section. The day notice is given by mail shall
be deemed to be the day following the day of mailing. If acceptance is refused, as evidenced by
the records of the Postal Service or overnight delivery service, notice shall be deemed given on
the date acceptance is refused.
23. SURRENDER; HOLDING OVER:
Upon the expiration of this Lease or the earlier termination of Tenant's right to
possession, Tenant shall immediately vacate the Premises, remove all of its property therefrom
and leave the Premises in the condition required by this Lease. Any property not removed shall
be deemed abandoned, and Tenant shall be liable for all costs of removal and Tenant shall
indemnify, defend and hold Landlord harmless from any cost or liability due to disposition of
any property in the Premises in which a person other than Tenant has an interest. Should Tenant
fail to surrender the Premises in the condition required by the Lease, Landlord shall be entitled to
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take whatever steps may, in Landlord’s sole discretion, be required to restore the Premises to
said condition and Tenant agrees that it shall pay to Landlord all costs incurred by Landlord in so
restoring the premises.
Should Tenant continue to occupy the Premises, or any part thereof, after the expiration
or termination of the Term, whether with or without the consent of Landlord, such tenancy shall
be from month to month and Tenant shall pay Landlord the (i) the rent last in effect plus 3
percent, for the first six months of any such period of holding over and (ii) following such six
month holdover period rent shall continue until a new rental rate is agreed upon.
24. LANDLORD REPRESENTATIONS:
Landlord agrees to be bound by the terms and conditions of this Lease.
25. MISCELLANEOUS:
(a) The captions in this Lease are for convenience only and are not a part of
this Lease.
(b) If more than one person or entity shall sign this Lease as Tenant, the
obligations set forth herein shall be deemed joint and several obligations of each such party.
(c) Time is of the essence.
(d) If any provision of this Lease is invalid or unenforceable to any extent,
then such provision and the remainder of this Lease shall continue in effect and be enforceable to
the fullest extent permitted by law.
(e) This Lease contains the entire agreement of the parties hereto with respect
to the Premises and Building. This Lease may be modified only by a writing executed and
delivered by both parties.
(f) Nothing contained in this Lease shall be deemed or construed to create a
partnership or joint venture of or between Landlord and Tenant, or to create any other
relationship between the parties other than that of landlord and tenant.
(g) This Lease shall be binding upon and inure to the benefit of the parties
hereto and, subject to the restrictions and limitations herein contained, their respective heirs,
successors and assigns.
(h) This is governed by and shall be construed according to the laws of the
State of Minnesota.
26. TAX COMPLIANCE AND STATUS OF PREMISES:
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It is the intention of the parties hereto that nothing contained in this Lease or through the
performance of this Lease shall any change occur in the tax status of the Premises that ex isted
prior to the entering into of this Lease and that in lieu of each clause, term or provision of this
Lease that is illegal, invalid, unenforceable, or not in compliance with property tax requirements,
there be added as part of this Lease a clause, term, provision, or requirement similar to such
illegal, invalid or unenforceable clause, term, provision, or property tax requirement as may be
possible and would be legal, valid, and enforceable, to retain the property tax status of the
Premises that existed prior to the entering into of this Lease. In the event that the property tax
status for the Premises is changed by any taxing jurisdiction and cannot be returned to the tax
status that existed prior to the entering into of this Lease by modification of the terms of this
Lease, the Tenant shall be responsible for any tax payments or payments in lieu of taxes should
the Premises, or a portion thereof, be deemed taxable property for any reason by any taxing
jurisdiction as a result of this Lease or the use being made thereof of the Premises, and the
Tenant shall immediately remit any required payments to the appropriate taxing jurisdiction.
27. [INTENTIONALLY BLANK]
28. ADDITIONAL HAZARDS:
Tenant covenants and agrees that it will not do or permit anything to be done in or upon
the Premises or bring in anything or keep anything therein which shall cause the cancellation of
Landlord’s insurance policies, or increase the rate of insurance, on the Building, above the
standard rate on said premises and buildings as rental property for similar uses. Tenant further
agrees that in the event it shall do anything to so increase the insurance rate, Tenant shall
promptly pay to Landlord on demand any such increase resulting therefrom, which shall be due
and payable as “additional rent” hereunder. At Tenant’s request, Landlord shall make available
for Tenant’s inspection during regular business hours, all documents pertaining to Landlord’s
calculation of Tenant’s “additional rent” required under this section. Said “additional rent” shall
be due and payable as billed by Landlord.
29. INVALIDATION OF PARTICULAR PROVISIONS:
If any clause, term or provision of this Lease, or the application thereof to any person or
circumstance shall to any extent, be invalid, unenforceable, or not in compliance with state bond
financed property requirements as set forth in Paragraph 30, the remainder of this Lease, or the
application of such term or provision to persons or circumstances other than those as to which it
is held invalid or unenforceable, shall not be affected thereby, and each term and provision of
this Lease shall be valid and be enforced to the fullest extent permitted by law. It is the intention
of the parties hereto that in lieu of each clause, term or provision of this Lease that is illegal,
invalid, unenforceable, or not in compliance with state bond financed property requirements,
there be added as part of this Lease a clause, term, provision, or state bond financed property
requirement similar to such illegal, invalid or unenforceable clause, term, provision, or state
bond financed property requirement as may be possible and would be legal, valid, and
enforceable.
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30. STATE BOND FINANCE PROPERTY ACKNOWLEDGEMENT AND
COMPLIANCE:
The Landlord and Tenant acknowledge that funding for a portion of the Premises was
obtained through a grant from the State of Minnesota’s Department of Children, Families and
Learning, and as such, the Premises is considered state bond financed property. Landlord states
and Tenant, to the best of it’s knowledge, without inquiry agrees that the following requirements
contained within this Lease are included to satisfy the state bond finance property requirements
of Minnesota Statutes Section 16A.695 for Use Agreements, to comply with the requirements
contained in the G.O. Compliance statutes, and pursuant to the Commissioner’s Order.
(a) ENTITY STATUS. The Landlord is defined as a public entity organized as a
charter city pursuant to Minnesota Statutes Chapter 410, and is thus, a Minnesota municipal
corporation.
(b) DEMISED PREMISES OWNERSHIP. The Premises is owned solely and
completely by the Landlord, the City of Mounds View.
(c) AGREEMENT AUTHORITY. The Landlord has entered into this Lease with the
Tenant pursuant to Minnesota Statutes Section 471.15 and the City of Mounds View Municipal
Charter and Municipal Code.
(d) GOVERNMENTAL PROGRAM. This Lease is (i) being executed and entered
into to carry out a Governmental Program, (ii) such Governmental Program is the City of
Mounds View Parks and Recreation Program, including the operation of the Community Center
and its accompanying facilities, as well as the parks within the City and general recreational
programming within the City; and (iii) such Governmental Program constitutes the Mounds
View Parks and Recreation Program and is authorized pursuant to Municipal Charter
Section 6.02, Subdivision 1, Municipal Code Section 106.05 and Chapter 405, and Minnesota
Statutes Section 471.15.
(e) GOVERNMENTAL PROGRAM OVERSIGHT. The Landlord has accepted
financing through a Government Bonding Program. If required by the State for compliance
purposes, Tenant will provide the State the right to inspect and audit Tenant’s books and records
for its operations at the Premises, with each such review to show the program budget, revenues
and expenses.
(f) TERM OF THE USE AGREEMENT. As the Premises consists of land and
buildings, the term of this Lease as provided herein relating to the building and improvements,
and including all renewals which are solely at the option the Tenant, is for a period of time which
is less then 50% of the useful life of the Premises.
(g) TERMINATION OF THE USE AGREEMENT. This Lease allows for
termination by the Landlord, pursuant to Section 13.2, in the event of default hereunder by the
Tenant. The termination of this Lease is also allowed by the Landlord, pursuant to
Section 16.13, in the event that the Governmental Program is terminated or changed.
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(h) COST OF OPERATION OF THE FACILITY (“PREMISES”). The Landlord
possesses specific statutory authority pursuant to Minnesota Statutes Section 471.15, the City’s
Municipal Charter Section 6.02, Subdivision 1, and the City’s Municipal Code Section 106.05
and Chapter 405, to expend monies to operate and maintain the Premises.
(i) RECEIPT OF MONIES/COMPLIANCE WITH TAX CODE. It is contemplated
and understood by the parties to this Lease, that the Landlord’s operation of the Premises is in
compliance with the tax code.
(j) SALE OF THE FACILITY (PREMISES).
(i) This Lease is free of any provisions which would require the Landlord to
sell the Premises for an amount less than the fair market value if it is to be
sold to a non-public entity.
(ii) This Lease is free of any provisions which would allow the Landlord to
sell the facility (Premises) without the Landlord first determining, by
official action, that the Premises is no longer usable or needed to carry out
the Governmental Program.
(iii) This Lease is free of any provisions which would require the Landlord to
sell the Premises without first obtaining the written consent of the
Commissioner of Finance, pursuant to Minn. Statutes Section 16A. 695,
Subdivision 3, and the Commissioner’s Order.
(iv) This Lease is free of any provisions which would cause the matter of
distribution of the proceeds of the sale of the Premises, which is not
provided for nor contemplated in this Lease, to violate the provisions
contained in the G.O. Compliance Bill and the Commissioner’s Order
(Minn. Statutes Section 16A.693, Subdivision 3 and the Commissioner’s
Order).
(v) This Lease contains no provisions concerning the sale of the Premises or
the termination of the Governmental Program.
[The remainder of this page intentionally blank]
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Outreach Transportation Services, LLC, as Tenant of the Building and Premises herein, hereby
agrees to the terms of this Lease.
OUTREACH TRANSPORTATION SERVICES, LLC
By:
______________________________
Its:
The City of Mounds View, as Landlord of the Building and Premises herein, hereby agrees to the
terms of this Lease.
CITY OF MOUNDS VIEW
By:
Joe Flaherty
Its: Mayor
By: ___________________________
James Ericson
Its: City Administrator
DRAFT
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416585v3 SJR MU210-35
EXHIBIT A
Floorplan Layout of the Outreach Transportation Services Area (330 Square Feet).
Item No: 7.E.
Meeting Date: January 14, 2013
Type of Business: Council Business
Administrator Review: _______
City of Mounds View Staff Report
To: Honorable Mayor and City Council
From: Mark Beer, Finance Director
Item Title/Subject: Resolution 8041 Accepting Miscellaneous Cash Donations
for 2012
Introduction:
Pursuant to MN Statute § 465.03, the City is required to accept donations by resolution.
The attached resolution provides for this acceptance for several miscellaneous donations
that were received in 2011.
Discussion:
Total miscellaneous donations received by the City in 20112 were $8,034.05. $6,600
was from Twin Cities Gateway to advertise the Festival in the Park, $50 was designated
to be used for Ramsey County League of Local Governments meeting and $1,384.05
was designated for supporting K9 activities by the various donors.
Recommendation:
Attached for your consideration is Resolution 8041, a resolution which accepts the
miscellaneous donations received in 2012.
Respectfully submitted,
________________________
Mark Beer
Finance Director
RESOLUTION 8041
CITY OF MOUNDS VIEW
COUNTY OF RAMSEY
STATE OF MINNESOTA
RESOLUTION ACCEPTING MISCELLANOUS CASH DONATIONS FOR 2012
WHEREAS, MN Statute 465.03 requires cities to accept donations by resolution;
and
WHEREAS, the City received several miscellaneous cash donations during 2012 as
follows: $50 - 03/23/12; $6,600 – 07/02/12 for a total of $6,650; and
WHEREAS, the City received several miscellaneous K9 donations during 2012 as
follows: $100 – 02/15/12; $50 – 03/21/12; $100 – 03/29/12; $100 – 05/23/12; $100 –
06/06/12; $50 – 06/26/12; $100 – 06/29/12; $125 – 08/06/12; $50 – 08/06/12; $167 –
08/09/12; $187.46 – 08/29/12; $100 – 10/24/12; $124.59 – 10/25/12; $30 – 12/27/12 for a
total of $1,384.05
NOW, THEREFORE BE IT RESOLVED, that the Mounds View City Council
gratefully acknowledges and accepts the miscellaneous donations of $8,034.05 from
several donors for 2012.
Adopted this 14th day of January, 2013
_____________________________________
Joe Flaherty, Mayor
ATTEST:
____________________________________
James Ericson, City Administrator
(seal)
Item No. 7.F
Meeting Date: January 14, 2013
Type of Business: Council Business
Administrator Review: _______
City of Mounds View Staff Report
To: Honorable Mayor and City Council
From: Mark Beer, Finance Director
Item Title/Subject: Resolution 8046 Approving Transfers Between Funds
for 2012
The City Council included a variety of transfers between funds as part of the 2012 budget.
They are listed in the attached resolution in the Budget column. Resolution 8046 formally
authorizes the listed transfers between funds in the Actual column for the year 2012.
Some of the transfers can be adjusted.
The transfer from the Special Projects Fund ($90,000) to the General Fund can be
cancelled to preserve fund balance in the Special Projects Fund. The intent of this transfer
was to off-set the cost of capital purchases that are not included with the listed equipment
in the Vehicle and Equipment fund. There were no significant capital purchases this year
that were not covered by the Vehicle and Equipment fund and not all capital purchases
were made thus the reduction in the transfer to the General fund.
Transfers from TIF Districts 1, 2, and 3 to support the EDA operations and projects can be
reduced to $40,000 each, some of the budgeted activities in the EDA fund did not occur
thus reducing the need for a higher transfer amount. Transfers from TIF District 5 to the
EDA fund should be adjusted to correspond to 5% of the increment available to be paid.
Staff is recommending approval of resolution 8046 approving transfers between funds.
Respectfully Submitted,
____________________
Mark Beer
RESOLUTION NO. 8046
CITY OF MOUNDS VIEW
COUNTY OF Ramsey
State of Minnesota
APPROVING TRANSFERS BETWEEN FUNDS FOR 2012
WHEREAS, the City has adopted budgets for various funds for 2012 that included
inter-fund transfers for various purposes; and
WHEREAS, it is possible to adjust some of the transfers from the originally
budgeted amounts; and
WHEREAS, some equipment in the General fund was not purchased; and
WHEREAS, some activities and projects budgeted for in the Economic Development
Authority Fund did not occur which eliminates the need to make the full budgeted transfers;
and
WHEREAS, The TIF District 5 transfer should reflect 5% of the increment collected.
NOW THEREFORE, BE IT RESOLVED by the City Council of the City of Mounds
View that the following transfers for the calendar year 2012 are hereby approved up to the
amounts listed in the Actual column:
From To Budget Actual
Water Fund General Fund $65,410 $65,410
Sewer Fund General Fund 51,807 51,807
Street Light Fund General Fund 2,320 2,320
Storm Water General Fund 6,756 6,756
Special Projects Fund General Fund 90,000 -
Vehicle & Equipment General Fund 11,340 11,340
General Fund Community Center 170,000 170,000
General Fund Vehicle & Equipment 75,000 75,000
Water Fund Vehicle & Equipment 58,000 58,000
Sewer Fund Vehicle & Equipment 36,000 36,000
Storm Water Fund Vehicle & Equipment 16,000 16,000
Vehicle & Equipment Water Fund 289,000 289,000
Water Fund Street Improvement Fund 100,000 100,000
Sewer Fund Street Improvement Fund 160,000 160,000
Storm Water Fund Street Improvement Fund 40,000 40,000
TIF District #1 EDA 109,675 26,000
TIF District #2 EDA 109,674 26,000
TIF District #3 EDA 109,674 26,000
TIF District #5 EDA 60,413 63,376
Total $1,561,069 $1,223,009
Page 2, Resolution 8046
Passed and adopted this 14th day of January, 2013.
_____________________________
Joe Flaherty, Mayor
ATTEST:
_____________________________
Jim Ericson, City Administrator
(seal)
Item No: 08A
Meeting Date: January 14, 2013
Type of Business: CA
Administrator Review : ____
City of Mounds View Staff Report
To: Honorable Mayor and City Council
From: Desaree Crane, Assistant City Administrator
Item Title/Subject: Resolution 8044, Approving the 2012 Pay Equity Report
Background:
Minnesota State Law requires all public jurisdictions such as cities, counties, and school
districts to eliminate any sex-based wage inequities in compensation. Pay Equity is a
method of eliminating discrimination against women who are paid less than men for jobs
requiring comparable levels of expertise. A policy to establish pay equity means that (1) all
jobs will be evaluated and given points according to the level of knowledge and responsibility
required to do the job; and (2) that salary adjustments will be made if it is discovered that
women are consistently paid less than men for jobs with similar points. The City currently
uses the State Job Evaluation System called HAY. This job evaluation was completed by
Springsted, Inc, for all City positions as part of the 2009 Compensation Study (adopted by
Resolution 7380 on December 22, 2008). Attached is some information on the HAY point
evaluation system.
It is required under Minnesota State Pay Equity Law that public jurisdictions report to the
Minnesota Department of Management and Budget on pay equitable status every three (3)
years. The City’s Pay Equity Report is due to this agency on January 31, 2013. The salaries
in this report must reflect salary amounts effective no later than December 31, 2012.
Penalties for noncompliance could result in a five percent reduction in state aid or a fine of
$100 per day, whichever is greatest.
Discussion:
Attached is the Mounds View Pay Equity Report to be submitted to the Minnesota
Department of Management and Budget. According to the report, the City appears to be
compliant under the Minnesota Pay Equity Act, and therefore, no wage adjustments are
required. The State is requiring that the City Council approve the 2012 Pay Equity Report by
Resolution. It is Staff’s intention to send this report electronically to this agency on January
15, 2013.
Item 08A
January 14, 2013, City Council Meeting
Page 2
Recommendation:
Adopt Resolution 8044, approving the 2012 Pay Equity Report.
Respectfully submitted,
_______________________
Desaree Crane
RESOLUTION 8044
CITY OF MOUNDS VIEW
COUNTY OF RAMSEY
STATE OF MINNESOTA
A RESOLUTION APPROVING THE CITY’S 2012 PAY EQUITY REPORT
WHEREAS, the Minnesota Pay Equity Act and Minnesota Rules Chapter 3920
requires cities to prepare a pay equity report every three years; and
WHEREAS, Staff completed the Pay Equity Report for salary amounts effective
December 31, 2012, as required by law; and
WHEREAS, it appears that the City has met the necessary requirements and does
not need to make any wage adjustments at this time.
NOW, THEREFORE, BE IT RESOLVED, that the Mounds View City Council
accepts the Pay Equity Report, and directs staff to submit it to the Minnesota Department of
Management and Budget.
.
Adopted this 14th day of January, 2013.
________________________________
Joe Flaherty, Mayor
ATTEST:
________________________________
James Ericson, City Administrator
(seal)
Item No: 8.B.
Meeting Date: January 14, 2013
Type of Business: Council Consent
Administrator Review: _____
City of Mounds View Staff Report
To: Honorable Mayor and City Council
From: Mark Beer, Finance Director
Item Title/Subject: Resolution 8041 8042 Authorizing a Garbage
Contract for City Buildings
REVISED AS OF MONDAY, JANUARY 14, 2013, AT 1245PM CHANGES ARE IN
RED AND BLUE
The City contracts for garbage and recycling services for the Community Center,
Public Works shop, and City Hall. That contract will expire on January 31, 2013.
Staff has solicited quotes from the five garbage haulers that provide service in the
City. Walters Recycling and Refuse, Inc. is the low quote. The quote tabulation is
attached.
Staff is recommending that the Council Authorize the City Administrator to sign the
3 year agreement.
Respectfully Submitted,
____________________
Mark Beer
RESOLUTION NO. 80418042
CITY OF MOUNDS VIEW
COUNTY OF RAMSEY
STATE OF MINNESOTA
AUTHORIZING A GARBAGE CONTRACT FOR CITY BUILDINGS
WHEREAS, the City requested quotes for garbage and recycling
service from five vendors and received quotes from four vendors; and
WHEREAS, Walters Recycling and Refuse, Inc. submitted the lowest
quote; and
WHEREAS, the monthly cost will be $785 per month for the first year
and a 5% increase in the second and third years.
NOW, THEREFORE, BE IT RESOLVED, by the City Council of the
City of Mounds View that the City Administrator is authorized to sign the three year
agreement.
Adopted this 14th day of January, 2013.
Joe Flaherty, Mayor
ATTEST:
James Ericson, City Administrator
SEAL
Item No: 08C
Meeting Date: January 14, 2013
Type of Business: CA
Administrator Review : ____
City of Mounds View Staff Report
To: Honorable Mayor and City Council
From: Desaree Crane, Assistant City Administrator
Item Title/Subject: Resolution 8045, Appointing Gary Stevenson as
Chairperson and Paul Schiltgen as Vice-Chairperson to the
Planning and Zoning Commission
Background:
According to Section 401.02, subd. 1, of the City Code, the City Council is required to appoint a
Chairperson to the Planning and Zoning Commission based upon the recommendations of the
Planning and Zoning Commission.
Discussion:
The Planning and Zoning Commission recommends appointing Gary Stevenson as Chairperson
and Paul Schiltgen as Vice-Chairperson to the Planning and Zoning Commission.
Recommendation:
Staff recommends approving Resolution 8045, appointing Gary Stevenson as Chairperson and
Paul Schiltgen as Vice-Chairperson to the Planning and Zoning Commission, based upon the
Commission’s recommendation.
Respectfully submitted,
_______________________
Desaree Crane
RESOLUTION 8045
CITY OF MOUNDS VIEW
COUNTY OF RAMSEY
STATE OF MINNESOTA
A RESOLUTION APPOINTING GARY STEVENSON AS CHAIRPERSON AND
APPOINTING PAUL SCHILTGEN AS VICE-CHAIRPERSON TO THE
PLANNING AND ZONING COMMISSION
WHEREAS, in accordance with Section 401.02, subd. 1, of the City Code, the City
Council is required to appoint a Chairperson to the Planning Commission based upon the
recommendations of the Planning and Zoning Commission; and
WHEREAS, the Planning and Zoning Commission recommended appointing Gary
Stevenson as Chairperson and Paul Schiltgen as Vice-Chairperson to the Planning and Zoning
Commission; and
WHEREAS, the City Council approves these appointments based upon the
recommendations of the Planning and Zoning Commission.
NOW, THEREFORE, BE IT RESOLVED, that the Mounds View City Council hereby
appoints Gary Stevenson as Chairperson and Paul Schiltgen as Vice-Chairperson to the
Planning and Zoning Commission.
Adopted this 14th day of January, 2013.
_______________________________
Joe Flaherty, Mayor
ATTEST:
________________________________
James Ericson, City Administrator
(seal)
Item No: 11B1
Meeting Date: Jan 14, 2013
Type of Business: Reports
City of Mounds View Staff Report
To: Honorable Mayor and City Council
From: James Ericson, City Administrator
Item Title/Subject: Discuss Goals and Desired Outcomes of the February 5,
2013, Council / Staff Retreat
Introduction:
At the December 10, 2012 City Council meeting, February 5, 2013 was chosen as the date
for the City Council / Staff Retreat. The new Lambert Park shelter was chosen as the site
of the retreat.
Discussion:
As with previous retreats, we would anticipate the meeting to run from 6 pm to 9 pm, with
an agenda as follows:
6:00 pm Food & Informal discussion
6:15 pm Welcome—review expectations (Mayor)
6:30 pm Review 2012 City & Department Accomplishments (Dept Heads)
7:15 pm Review 2012 Council Goals and Priorities (City Administrator)
7:45 pm Discuss Potential Goals and Priorities for 2013 (Council)
8:45 pm Discuss Need for a Fall 2013 Retreat
9:00 pm Retreat Conclusion
The times allotted for each discussion point are estimates based on previous retreats.
Aside from an evaluation of the Council’s goals and priorities, are there other issues that
should be discussed? Other objectives to consider?
Recommendation:
Please review the proposed agenda, start time and duration, and let us know if changes
are needed, or if there is anything more that could or should be discussed or if anything
that should be removed from the discussion.
Respectfully submitted,
________________________
James Ericson
City Administrator