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W� Items Dispensed Per Consensus ADMINISITRATIVETSSUES 1. Discussion of 1996 Legislative Session (Senator Novak/Representative Pellow) 2. Airport Task Force Update (per Councilmember Hankner) 3. Discussion of Request for Enabling Legislation for Volunteer Firefighters Spring Lake Park/Blaine/Mounds View Fire Department (Presenter: Nyle Zikmund, Fire Chief) AGENDA PAGE TWO DECEMBER 4, 1995 0.014KRINITYDEVELOPIKA Effr 4. Discussion-of TIF Fl ndingforltousingFrograms(Jennifer Bergman) ( ECOINOMIC 5. Discussion Regarding Redevelopment of Highway 10(Cathy Bennett) 6. Discussion Regarding Phase II of North Metro Business Retention and Development Commission (Cathy Bennett) AGENDA PAGE THREE DECEMBER 4, 1995 ( PUBLIC:WORKS ) 7. Update of Old Htghway 8 Reconstruction ichae[Ulrich) COUNCLISSUES ( 8. Update of 610 North Crosstown Parkway Toll Road (Paul Harrington) 9. Discussion of Night Depository Location (Per Councilmember Quick) AGENDA PAGE FOUR DECEMBER 4, 1995 10. Discussion of Citizen Task Force for the Pedestrian Bridge (per Councilmember Trude) 11. Discussion of Annual Housekeeping Items to be Approved at Annual Meeting in January (Paul Harrington) 12. Discussion Regarding General Council Practices (Per Councilmember Quick) 13. Discussion of 1995 Budget Rollovers (Paul Harrington) !OF REQUEST FOR COUNCIL CONSIDERATION Agenda Section: 1. STAFF REPORT Report Number: 9 5-1 5 i 9TA N LEW AGENDA SESSION DATE December 4. 1995 Report Date: 11 30 95 DISPOSITION Item Description: Discussion of 1996 Legislative Session Administrator's Review/Recommendation: - No comments to supplement this report - Comments attached. Explanation/Summary (attach supplement sheets as necessary.) SUMMARY; Attached are legislative issues Council may want to address at Monday's work session with the State Representatives. Form One is a worksheet to help set priorities; the remainder of packet includes policies set by the North Metro Mayors Association, the League of Minnesota Cities and the Association of Metropolitan Municipalities. Lidisfn Dawn Postudensek, Administrative Intern RECOMMENDATION; ra O U 0 A 'T O �; v O U '�... t' O 1" cd O '0 W N O N N g W IX) O w p g y bA I z.. O v. O a) .CC � 0 -0 ,0 U U U 0 i�# N '!� O ,. . 1 a CI 0 W 'ce o . Z � E51" o › � ° Mt cc a� 17; 0 ma °'o-d � � a RLL4 cd .0. .0 z o'er U U o ..� '0 • .' U H o ..0 ) z o � oq g H U O & • r (424oto W a 2 ani U t5 .2 a o"0PI 0g p s E C7 ON a, P4 H �, H H bp I. a 0 V) O U 0 -bo I- v LLI I.LI o CO .V 00) V O .0 � c a S d . o c.� o boCFI LLI a m 0 +4 0 Z Na "CJ VI 4cd 0 d +44 O 9 NUm Q o0 O m ' •s o 442 cc ... o 4 28 ® o .t, A z'. a, -*� wo LL O ti - , • Oa -..5. ed. .4 bp bA • .� Z0p.,.. g i a . i ,n 0 Q c) 0 a e° N +4 i 0 O � � � , 110 tit' la4.4 0 V) 1 ° t o ocn a04 'Fw 5 0 cA 03 0 03 03 0 u zi U o o : o �• �, 2 o � . qbW EE o , 2 49 cA 9 O U . i ..1w w a — I co g 0 ° Cd 0 a ° °° col O 3 ° 14 ) b ° CT g W �' ,44 >a) Z03 cli g 44 00 0 � O � > a) -a cc '5 c cd g o CC 0 cA 64 O 0 C bOA S-I O O 0 I.O O • y O 'lc i i 0 0 +.) 0 a) VCZ It2U 0 0 , -d °,0 a 0 g 1 00.0 E Ell 5 .4_, .!.... , , 1-4 W 'd to > l0 O 8 ° rn 2 •O cd <4 flu 01 El uo O U C7 A Ii -r. — w W a I 0 Y 0 O 4.4 CAoCIS . o � .E CA Cri Ca Gn W �, 41 Z Ug 0 0 o o a) OA owi ) m �]. u. 4) N pj) O z 1 1 .� �, p• 3 ,0 LL � � " bo o 0 --1 ami t o g..0 C7 -o o o y �7 U rA 0 ° W .l z � E z 2E U Kms ° 0 fl C � U o x1 a m 0. ° a� 0o0 o._ O -dbn - cd 00 00 W , " O ° � °' CT 1-1 d p0 ) FY''S 14 (A E .4 an H E 2 o 0 U W o w ," I CO 0 c.) co) 0Oma, • I 0 y ~ ° W a) Z O . UJ at G oO a C.. C i . ' g o LL W a•• a) �: Po .0 o 0 .0 v, O'+ N a 2 ° a C4 ci at 0U E.., -D .. li i 21.4.1 •lb ae C" Oar a ,0 � 1. A Ra E-I E-1 VI c° O 0 V to I— LLI o w i a --1 CO o 0 W 1 z 0 o 4 H Z a fr E O z a N i W 2 a F" W W O .. Ez, x VI a Al w1-4 4e ci) n c W c.) LAN w 01 VC a H U 0. 4C O C7 'cb I-- W 5C CC 0 4 p cr 0 w E-4 � w � o CU X CA H � w Otei E4 W o O � grf REQUEST FOR COUNCIL CONSIDERATION Agenda Section: 3. WPM STAFF REPORT Report Number: 95-1 54flWS UL`JJ AGENDA SESSION DATE December 4, 1995 Report Date: 11 30 95 DISPOSITION Item Description: Discussion of Request for Enabling Legislation for Volunteer Firefighters Administrator's Review/Recommendation: - No comments to supplement this report Comments attached. Explanation/Summary (attach supplement sheets as necessary.) ,SUMMARY; Traditionally, the majority of the fire service in the United States combated fire through suppression efforts only. This has been a losing battle in terms of saving lives and property proven out by the worst fire statistics in the industrialized world. Other nations have been extremely successful in combating fire through prevention. Numerous examples exist worldwide, here in the United States and also in the State of Minnesota. For example, the City of Chicago has more fire deaths than the entire country of Austria. St. Paul Fire adopted a program in 1988 that reduced their annual fire deaths for children under the age of 5 from 2 .8 per year to zero. This department is committed to combating the fire problem equally through prevention and suppression. Prevention occurs in two forms; on the industrial/commercial side it requires adoption of sprinkler codes coupled with strong enforcement and inspection of fire codes. For residential structures, prevention occurs in the form of public fire education. This entails, among other things, school programs, senior programs, cable programming, newspaper articles, mall events, high risk programs such as mobile home parks, and neighborhood floods to name a few. The resolution before you would support this department's efforts to obtain legislation allowing us to recruit volunteer firefighters to perform these prevention functions. Presently, there is a state-wide system operated on a local level that enables departments to compensate suppression volunteers with a pension after vested years of service. This had proven to be extremely effective in retaining volunteers. The legislation this department is seeking is permissive to this department and the communities we serve, allowing us to place these prevention volunteers into the pension program. While the City has a required municipal contribution to this plan, long term goals include the ability to reduce the number of personnel as needs subside thereby reducing the required contribution. ' -7rIre.ejc...4.1.41- 1/ RECOMMENDATION; Nyle Zik nd�,` 'F re Chief DRAFT - (11 -30-95) CITY OF MOUNDS VIEW RESOLUTION WHEREAS, fire kills more than 5,000 individuals every year in the United States and damages more than 11 billion dollars in property every year; and WHEREAS, in the State of Minnesota, more than 350 people have died from fire and more than 590 million dollars of property has been destroyed by fire over the last five years; and WHEREAS, the cost of having available emergency fire response capability is estimated to exceed 1.5 billion dollars on an annual basis in the State of Minnesota. WHEREAS, an average of 125 firefighters are killed every year in the United States combating fire, the vast majority of which deaths DO NOT occur on the fire ground; and WHEREAS, the State of Minnesota's fire problem and the Community of Mounds View's fire problem are similar in nature to the national problem; and WHEREAS, the leading of cause of accidental death for children under the age of five is fire; and WHEREAS, proof exists throughout the World, Nation, State and selected Minnesota Cities that FIRE PREVENTION CAN AND DOES WORK TO SAVE LIVES AND PROPERTY with considerably less cost and danger to all emergency responders; and WHEREAS, the City of Spring Lake Park experienced a fire death in 1994 and the City of Mounds View has experienced fire deaths in its history; and WHEREAS, the City of Mounds View is committed to combating fire equally through prevention and suppression and is equally committed to increasing the prevention effort. NOW, THEREFORE, BE IT RESOLVED that the City of Mounds View categorically supports the efforts of its fire department, the Spring Lake Park Fire Department, Inc., to obtain legislation enabling the department to employ volunteer firefighters who perform prevention duties as a primary responsibility and receive, among other things, compensation in the form of a volunteer firefighter's pension. an°OF REQUEST FOR COUNCIL CONSIDERATION Agenda Section: 4. OUNDS STAFF REPORT Report Number: 9 5-1 41WS W USYM AGENDA SESSION DATE December 4, 1995 Report Date: 11 30 95 DISPOSITION Item Description: Discussion of TIF Funding for Housing Programs Administrator's Review/Recommendation: - No comments to supplement this report 47.444- - - Comments attached. Explanation/Summary (attach supplement sheets as necessary.) ,SUMMARY; In September, Cathy, Paul and I attended a meeting with Arlin Waelti, John Utley and Pamela Souku, attorneys' from Gray, Plant and Mooty, who generously spent an hour and a half with us discussing housing programs using tax increment funds. Both Arlin Waelti and John Utley were contributors to the original Tax Increment Financing laws. In addition, they have established housing programs for other cities using Tax Increment Financing. Examples of housing programs in Crystal and Robbinsdale are listed below. The City of Crystal has created, through special legislation, a housing replacement program. The City purchases a home through voluntary acquisition, demolishes the home and hires a contractor to build a new home or sell raw land to developer. The special legislation allowed the City of Crystal to bring the current value of the property down to zero making increments much larger than if having to use the current appraised value. The City of Robbinsdale has a similar program. They identified several single family owner-occupied houses in the City that were in very poor condition and sent letters to the owners stating that they would be interested in purchasing their homes. A few home owners responded indicating interest in selling. The home owners and the City agree on a purchase price that is, generally, at or below the assessed value. After they agree upon the price, they ask the home owners to sign a waiver of their relocation benefits. Upon sale, they put out a bid for a contractor for demolitition and reconstruction of the site. The City requires that a contractor complete the construction within a certain period of time. We discussed Mounds View's options for housing programs using Tax Increment Financing (TIF). Unfortunately, we cannot use TIF for owner-occupied single-family because an interest rate reduction (or a revolving loan fund), similar to the business loan the City of Mounds View, is not allowed under TIF law. They gave several additional options that would be allowed under the TIF laws to establish housing programs. Four examples are listed below: 9 4 , t Je er rgm n STAFF REPORT PAGE TWO DECEMBER 4, 1995 1. Housing Replacement with Special Legislation: Special legislation such as that received by Crystal and Fridley, to reduce the value of the property to zero (0) after acquisition of the property. When the new building is created, we receive the increment based on zero instead of assessed value at time of purchase and demolishion. Jim O'Meara, Mounds View's Bond Attorney, recommended we that-we contact-a—legislator-Wet as Novak) to carry thbill and work with a lobbyist, such as James Casserly, who was the author of the bill for Fridley and Crystal in the last legislative session. 2. Housing Replacement without Special Legislation: Target specific areas for redevelopment. For example, target the fourplexes on Hillview or Quincy. Purchase the properties one at a time. Bid for a contractor and let them redevelop the land. We could put these areas into a TIF district but would only receive the increment based on the assessed value. The City would likely lose most of the money interest. 3. Multi-family Rehabilitation -Occupied: Interest rate reduction program for multi housing complexes similar to the business loan program. With this type of program, we could team up with MHFA and/or CDBG programs. 4. Acquisition/Rehabilitation (Single and multi-family): The City of Mounds View could purchase properties that are in need of rehabilitation, sell them to a nonprofit agency with the requirements that they fix up the property. With a multi-family building we could assist them in their rehabilitation, with a single family house we would need to go through a non profit agency such as Affordable Suburban Housing, Inc. They have sent us a description of their new program, Affordable Single Family New Construction Homeownership Program. (See attached) The primary advise given was to discuss policy issues between council and staff to decide what options would best suit Mounds View's goals. These policy questions should be answered before establishing a housing plan with TIF. Some policy questions are listed below: 1. What is the focus of the program? Single family or multi family? STAFF REPORT PAGE THREE DECEMBER 4, 1995 2. Do we want to focus on rehabilitation? For single family homes, do we want to purchase the home, resell it to a contractor and oversee the rehab? 3. Do we want to target a specific area? Either single- or multi-family? 4. Do we want to want to establish a housing replacement program similar to Crystal's? A. If so, should we seek special legislation to bring the value to zero enabling us to capture a larger increment? B If so, do we wait until the special legislation until we begin the housing program? 5. Are we concerned about the pay back of TIF? Typically, when using TIF for housing redevelopment, you do not make money and often times you intially lose money. However, it can significantly upgrade the housing stock and stimulate rehabilitation of other homes. Because of the constantly changing laws regarding the use of TIF, they advised establishing a program as soon as possible with our TIF. In addition, CDBG grant applications will be coming out the beginning of January. We could apply for money from the County to use in cooperation with our TIF. It is our goal to attempt to have policy questions answered and a plan drafted before the applications for CDBG. At the work session, we need answers to these policy questions to gain direction on what way the Council would like to go with the improvement of housing in the City of Mounds View. Affordable Suburban Housing, Inc.-- A non-profit housing corporation Bill Schatzlein Executive Director Telephone(612)835-5498 10306 Morris Road Bloomington, MN 55437 Affordable Single Family New Construction Homeownership Program Background - a number of suburban communities have developed programs to facilitate the construction of affordable new single family homes. Some of the program objectives are: (1) to replace small lower value housing on scattered sites throughout the city with larger, new, higher value housing designed for families, (2) to eliminate the blighting'influence of substandard housing, thus improving residential • neighborhoods, and (3) to increase the supply of affordable housing for families. These objectives are achieved through the acquisition of property and the construction of new single family homes. Affordable Suburban Housing's Role - A.S.H. has developed this Affordable Single Family New Construction Homeownership Program in response to the need for affordable new single family homes in suburban communities. A.S.H. will work with Local Government Agencies in suburban communities in order to carry out our mission of providing affordable housing. A.S.H. will serve as the non-profit n-profit housing developer to implement this program. New Home Sites - The Local Government Agency (HRA) will acquire single family home sites. The Agency will contract with A.S.H. to design, market, and construct a new single family home on the site acquired by the Agency. A.S.H. will market the home through a pre-sale marketing program.The home will be sold to a low and moderate income family with a first mortgage on the home, and the land will be sold to the family subject to a second mortgage held by the Agency, with no payments. An appraisal will establish the value of the land. If the home is sold, the sale must be made to a qualified low and moderate income family, or the value of the land must be repaid to the Agency. • Housing To Be Built - A.S.H. has architectural plans for several "standard', two story, three bedroom homes. The selection of a house plan will be based on the site, and the needs of the buyer. The home will be well designed, well built, with good quality materials, and include energy saving features. A.S.H. will pre-sell the homes to low and moderate income families. The buyer will have the opportunity to make minor modifications to the plan, including upgrades depending on what they can afford. We anticipate that all of the homes will have a double garage. Construction - A.S.H. will select a construction company that has the capacity to build these new homes using the construction management method, or the general contracting method. A.S.H. staff will assist the construction staff with all aspects of the construction and provide on-site inspections. Marketing - A.S.H. staff will work with the Local Government Agency to develop, and implement, a marketing plan for this program. The primary market wi a familiet are low and-moderateincome,with family income that does not exceed 80 percent of the median income of the Twin Cities Metropolitan Area, as determined by the Local Government Agency. Assistance with marketing from the Local Government Agency will help reduce the marketing costs for each home and therefore help reduce the price. Financing - A.S.H. has identified several sources of construction financing that will be available at a reasonable rate. Regarding permanent mortgage financing, A.S.H. will work with the buyer to obtain a mortgage committment from a bank or mortgage company. Affordability - The primary objective of this program is to single family homes. We will provide the best qualityprovide affordable new e lowest cost. This will be accomplished through the following cost saving t at hmethods:possible 1. A.S.H. is a non-profit developer. A.S.H. must include overhead costs in the price of the new homes but does not include any profit. 2. A second mortgage on the land with no payments. 3. Reduced marketing costs with assistance from the local government agencies. 4. Reduced financing costs. at Burnet Passion. B URS Burnet Fire. REALTY HOT PROPERTY: NEW CONSTRUCTION CITY FINANCIAAL SUPPORT AAVAILABLE This new split level home with a double garage, located on a beautiful corner lot, will be constructed for a qualified buyer. Affordable Suburban Housing, Inc—(a non-profusirrg corporation) is now considering applicants for this favorable financing program who are first time home buyers. While the price is $120,000 the City of Richfield will provide a second mortgage of$26,000 allowing the buyer to pay only$94,000 at closing- subject to final approval by Richfield Housing and Redevelopment Authority. The second mortgage carries no interest charge. Its principal balance will be due upon sale of the home in the future. 95% financing is available so that a down payment of$4,700 and approximately $3,000 of closing costs is all that is required. Buyers with four family members earning no more than $39,900 are eligible for consideration. (Families of other sizes qualify at different income levels. Call the sales agent for more information.) Property Description: • Home Size 1,029 square feet • Full basement partially finished • Maintenance free vinyl siding exterior �\-�- • Partial brick front and bay window 'A.. - '.,a,..)64 • Two full baths • Wooded corner lot 48 x 135 • Double car detached garage I' 'i ,- 1. ;+ i ,.'n fir,- • _ Hi I I I iit I "`�. ___IL:,..,,_ Room Dimensions: ��� ,� ,I 1 1 1 1 1 1� 1 , __ • Living Room 16'0" x 12' r-- —• Eat-inKitchen 11'6" x10' = 1 1 ± Y ! 1�*t67:1_ � I • Bedroom 12'6" x 10' , T z2 r- G."� " 1 a „ l , - � • Bedroom 10,6" x 8'6" `=? „, ,� , i . �, • Bedroom 3' „ r n .� , ' i � 1 1���'���_.1 1� 0 x126 ► ) 11 6844 14th Avenue JOHN BEAL 920-5605 Q ® Livable communities Act is a solid program An Oct. 28 Star Tribune editorial Also under the agreement, the cit.. )uggests the Legislature might have to Counterpoint will increase home-ownership oppor=.. 'start over" in shaping public policy tunities using not only local and re-:;: Jn affordable housing.Meanwhile,the gional resources,but also financing op,;; nk on the new Metropolitan Livable ing throughout the region,without tin- dons through such organizations as the Zommunities Act, passed this year, is posing costly government policies that Minnesota Housing Finance Agency!: rarely dry. To start over would be un- are too intrusive in local affairs. (MHFA). MHFA, for example, recently fortunate and irresponsible, and shat- Maple Grove was first to,sign on to announced an award of $750,000 in.= :er any hope of progress on a region- Livable Communities and first to adopt first-time buyer funds to Maple Grove.. ;( wide housing and community develop- housing goals developed in coopera- Livable Communities also addresses :rent program. tion with the Metropolitan Council.As cleanup of polluted lands to make wa)r: A year ago,the kind of dialogue and a city with rapid growth and escalating for business development and jobs.Fi-- confrontation we were experiencing land values, it is a good example of -nally, it encourages communities to. Dut the affordable housing issue at a local commitment to affordable and address issues of sprawl by providing;. standstill. Today, local officials life-cycle housing. City officials made funds for local models of compact, cre, throughout the area are talking about this commitment because it makes ative and transit-oriented development and planning for affordable housing good sense for their community, and and redevelo•ment. • -_- - ' •- •- -.-communities,in- .they understand the importance o Livable Communities recognizes lo- eluding those where job growth is these goals to the region. cal units of government are best suited highest and the need for affordable Currently, 4 percent of Maple to make decisions about how they will: housing most apparent. Grove's rental housing is considered grow and develop, but also acknowl The Livable Communities Act is an affordable. Under the agreement, the edges it will take partnerships and:i investment in the region's- economic city will strive over the next 15 years to shared responsibility to continue the: future. Livable Communities does not make 35 percent,between 630 and 750, region's economic successes.The pro:- set unattainable"quotas"at significant of its new rental units affordable to gram represents common ground, :ost to taxpayers. The new law gives households earning up to $25,500 a among the many people involved and:: the region a framework for cooperation year. A portion of these units will be deserves a chance to succeed. and negotiation. It will accomplish a affordable to very-low-income house- —Curt Johnson, St.Paul. Chair, Met- greater distribution of affordable hous- holds making$15,300 or less. ropolitan Council. tots S -L .1 /.1014,e A/aY ij (fgr— suburbs interested#nje a _ _ — k t t -1s..Yt�-H -- �1 -. �. t„a Q•�;i� �f�-�,�+�..��_ ��t�b����i�..'_�h:��..�� • • in of f orda •-;a�4r}-�'C.r' b 1 e housing • Aid offered under state act •' C ev ✓`� By Wednesday's deadline, fordable housing without using • , t� r „ most or the Twin Cities' largest the get-tough tactics urged bi �t � A suburbs had signed up for the housing advocates. The act alsc '- • — d, 4` - Metropolitan Livable Communi- defines an affordable home a: _dr �t i ' i, ties Act, the new state program one costing S115,000 in 1994 dol - 7 offering$1 million in 1996 to help lars — a figure that critics corn- , •us;� • rzv e �- ' suburbs build more affordable plain is out of reach for most o. r,1 • r - - . : housing. the Twin Cities'truly needy. 3? Of the 187 eligible communi- The program also provide: ° z r , IZ� ties, 90 had signed up as of $6.5 million annually to clean tict• :rr�Wit¢ Wednesday. More important, of polluted sites in participating cit �� ;, , ;" � - the 79 developing suburbs — ies and $4.6 million next year tc those where all the buildingis revitalize neighborhoods. The • � ' T � K taking place — all but 19 siged Metropolitan Council, which is • 4 up. The program is the Legisla- administering the program, saic ti - , � 77 ture's attempt to push suburbs to suburbs still may sign up. -�t ,a,,,•.l* . ,k.£���,. �:�. V� 16 l QP,S` Star Triune Graphic by Jane Friedmann meetgoals for building more of —Mike Kas.'uba REQUEST FOR COUNCIL CONSIDERATION Agenda Section: 5. 1111706 STAFF REPORT Report Number: 95-1542ws , ArTFANnA SESSION n ATEReport Date: � - December 4. 1995 11-30-95 DISPOSITION Item Description: Continued Discussion Regarding Redevelopment of Highway 10 Administrator's Review/Recommendation: - No comments to supplement this report 42411 - Comments attached. Explanation/Summary (attach supplement sheets as necessary.) SUMMARY; The closing of 2625 Highway 10, scheduled for November 27, 1995, was delayed due to the results of the environmental report performed by AA Environmental in Blaine. The environmental report noted concerns with dumping piles, deposits of car batteries, antifreeze and mounds of an unknown nature on the property or adjacent properties. Upon discussion with the property owner he feels the areas in question are not on his property but rather on the adjacent property to the north-west. Therefore, we requested that he have the property staked to identify the actual location of the debris. After the property is staked, at the owners expense, AA Environmental will reevaluate if the debris is located within the property lines. In light of the report completed by AA Environmental, I contacted three other environmental companies for quotes on Phase II environmental services. All three companies felt the report was not industry standard Phase I material and that the information was too vague to substantiate the need for a Phase II study which would be both lengthy and costly. Each company suggested either performing a standard Phase I or address the issues presented in the report with more thorough evaluation and soil samples. I discussed this matter with Larry Wertheim of Kennedy 8t Graven and he suggested, at a minimum, addressing the areas in question. This can be reevaluated once we determine if the debris is encroaching on the property. 6 Cathy Bennedconomic Development Coordinator RECOMMENDATION• Draft Request for Qualifications: I have drafted and the EDC has reviewed the attached request for qualification regarding the potential options for redeveloping the area on Highway 10 between County Road I and Sunnyside. This document is not a formal request for proposal but would provide the City with possible options for redevelopment since there is a potential opportunity to establish a tax increment district in this area. I have included the whole block as a potential redevelopment area. This may generate more interest from developers rather than just focussing on 2625 Highway 10. This does not mean that the EDA would be required to redevelop the entire block or any of the parcels it is just a document to generate ideas from the development community. Potential Tax Increment District: In discussions with Mounds View's development attorney Jim O'Meara, the EDA may want to consider establishing a redevelopment tax increment district for the block between County Road I and Sunnyside. The resolution would allow us to remove the structure on 2625 Highway 10 prior to establishing the district and still enable the property to be considered blighted for inclusion in the district. We would have three years from the date of demolition to evaluate the benefits of establishing a district in the area and still be able to include the property in the district. I have attached a draft copy of the resolution, excerpt from the tax increment financing act and memo from Mr. O'Meara relating to this matter. The resolution would not need to be signed prior to the purchase of the property but rather prior to demolition of the property. I have brought these items before you for discussion and direction only. vQ �, - Q The City of Mounds View Economic Development Authority Highway 10 Redevelopment Phase / Request for Qualifications December 1995 The City of Mounds View's Economic Development Authority(EDC) would like to solicit your input regarding the highest and best use for a redevelopment area on State Highway 10 in Mounds View. It is anticipated that your assistance will lead to a formal request for proposal on the sites in question. Therefore, your input and ideas are critical to moving the process forward. The redevelopment of Highway 10 has been identified as the #1 Goal in the Council\Staff 5-year strategic planning session. Therefore, several properties have been identified as priorities to increase the tax base and improve aesthetics of the City. Background: The City of Mounds View is located 10 miles north of Minneapolis and St. Paul directly west of Interstate 35W on Highway 10. Mounds View is on the most north west border of Ramsey County and is bordered by the communities of New Brighton, Blaine and Spring Lake Park. Mounds View has a population of 13,000 people and has grown from a small sleepy suburb to a bustling community with diverse residential neighborhoods and quality business development. (See Attached Communtiy Profile) With the development of Mounds View Business Park, Silver Lake Pointe Apartments and the Bridges Technolgy Center over the past five years, Mounds View is now committed to focusing on the redevelopment of its main corridor, namely Highway 10. The City's Economic Development Authority was established in 1994 to oversee the development of Mounds View's Tax increment Financing Districts and the use of future and current excess tax increment funds. Mounds View residents and businesses take great pride in the community and its future. To capture this dedication Mounds View recently adopted a new image statement. Cow OF 1 •,, (iii v� S ogr"Ss•Partne<S�`Q RAFT //- 2 - `'C DATE r/ The Site: The site includes approximately 7 acres located on the North-West side of Highway 10 between County Road I and Sunnyside Road. (See attached map). Currently the site consists of a mix of single family residential, multi-family residential and commercial office. Most of the parcels are substandard and are in need of redevelopment. The location is in the heart of Mounds View's service center which includes two small retail strip centers (Moundsview Square and Silverview Plaza), Fast Food Restaurants (Hardees and Burger King), SuperAmerica, a bike shop and radio store, and an 85-Unit Senior Housing Facility. The site is one of the last corners to be developed to tie into the city -centerof Mounds View. Site Concerns\Control: One of the major factors that will dictate the development of this site is the impact of a development on the residential neighborhood to the north of the site. Mounds View has always taken pride in ensuring that there is a balance between commercial and residential development. Adequate buffering and a use that would be sensitive to the needs of the residential neighborhood will be highly considered. A use that would have limited evening traffic, such as an office complex, would be desired. The EDA may consider the use of tax increment financing to assist in the proper redevelopment of the site. Currently, the City owns the parcel on the corner of Highway 10 and County Road I. The EDA may consider using these funds for the following activities: ► Real estate acquisition, ► Relocation and site clearance, ► Public improvements, ► Utilities, and ► Surface water management requirements. Traffic: State Highway 10 accommodates over 40,000 vehicles and is the major thoroughfare between St. Paul and other Ramsey County communities to the North West suburbs if Coon Rapids and Anoka. In addition, traffic counts for the County Road I and Highway 10 intersection exceed 16,500. Currently, there are several access points off of Highway 10 onto the subject properties. The City would work closely with MnDot to ensure that adequate and safe access to the properties is achieved. 2 DRAFT // DATE Submission Requests: Please submit the following information: 1. Description of development company including name, address, phone, fax, primary contact and the type development your firm concentrates in. Please include a brief description and the location of other redevelopment projects completed in Minnesota. 2. Please provide the proposed land use that would be the highest and best use for the property-taking-into-consideration-the-site constraints—and-controls:Specify potential square footage required. Provide general descriptions of the proposed use to include potential design and landscaping. A site plan or character sketch is desired but not required at this stage. Please submit qualifications no later thn January 15, 1996 and direct questions regarding t ill S'r2tf ues t0.--�`� Cathy Bennett Economic Development Coordinator City of Mounds View 2401 Highway 10 Mounds View, MN 55112 612-784-3055 612-784-3462 (fax) Review Process and Follow-Up: The qualifications will be reviewed by staff and the Economic Development Commission in late January. Upon satisfactory review, the City's EDA will go out for a formal Request for Proposal to all of the companies that submitted qualifications by the above deadline. 3 �iuou G=ti UUONL JCiE• +..... , 1 o o1or ., c o V - � so in v M r N I I c n N :eZ4Z 2 •. p mlcolb, n + nlr• l4 co ,, ml! ( �� bZ j ^ ^ n n 1 I n n I n O n i. r 9 4Z 4£4Z Nn 7 —i, m ^1 '� ^1 o N v Zr. n N p U. i M M� cis. ►' , 1 . -J � lakNe r�ol �Imla�ol �Irm nOInI � Inln n '74Z _ !-4,:'. r.v. -1`O " -- J ob VN08 os4z os4z = li '1; 1 ago m a) m n o o ,� c rn }}. �s ^ I ^ nI N. t. ` nIn nlnlnlnl � r d F_ N. "8S4Z ^ ) rn a ?) u) cs i m m m m m v I.' . U O co m m co m n n n n n n 9942 C I n I ^ n nIn I°iN. n n� n n n r^. i.. •� 994Z �M NMbr1000M =,i IMO - n N. h N ( O a0 00 ID r O 04771 m ao CO OD CO mo n n N N n,OSZ •OSZ � • — N I n N n N N N n N N n N OS 1: I I •OS•, 80SZ 1 i'a milk e ;Z rte' trn N. ,/ .4ZSZ A. m :Z I N Z 1 s, �' N n o o rn m n ,' SZ N OZSZ M 47 i, n co conmono ^'^ ^ ^I^ p 3>i'v'1MINIMON0'1 co N 10ch. 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N O i Cb C , Prepared by City of Mounds View 11/13/95 Page 1 Property Use Zoning Acres Total Value Tax Capacity 7800 Eastwood House R-1 0.95 77,500 1,203 7851 Sunnyside House R-1 0.95 79,600 1,093 7841 Sunnyside House R-1 0.3 72,800 1,070 7831 Sunnyside House R-1 0.97 85,100 1,073 2667 Hwy 10 Land R-4 1.3 37,800 1,106 2625 Hwy 10 House R-3 0.78 125,000 - 2665 Hwy 10 40 unit Apts R-4 1.62 830,000 28,220 2677 Hwy 10 2 story office B-2 0.31 113,100 5,203 Totals ( 7.18 1,420,900 38,968 DRAY _ , DATE . ✓ LAW OFFICES BRIGGS AND MORGAN PROFESSIONAL ASSOCIATION 2200 FIRST NATIONAL BANE BUILDING SAINT PAUL,MINNESOTA 55101 TELEPHONE (612) 223-6600 FACSIMILE (612) 223-6450 MINNEAPOLIS OFFICE October 10, 1995 2400OL IDS CENTER WRITER'S DIRECT DIAL NUMBER MINNEAPOLIS,MINNESOTA 55402 TELEPHONE(612)334-8400. FACSIMILE (612)334-8850 (612) 223-6420 Catherine Bennett Economic Development Coordinator City of Mounds View Mounds View City Hall 2401 Highway 10 Mounds View, Minnesota 55112-1499 Re: "Early Removal" of Substandard Buildings at 2625 Highway 10 NE Dear Cathy: I sent you a resolution on this with my letter of October 4. Following our meeting yesterday at City Hall, I have prepared and now enclose a second resolution which would provide certain findings and a basis respecting the "early removal" of the dilapidated buildings at this property, all in anticipation of subsequently (within three years) including the parcel and presumably a number of the surrounding parcels in a "redevelopment" tax increment financing district. For your information I am including copies of portions of the Tax Increment Act which pertain to the"structurally substandard" definition for these purposes and also provide the basis for taking this property down prior to actually approving or certifying such a tax increment district. I would suggest that you review the resolution to make sure that it makes sense to you in its detail. While we do give a general preliminary approval to the concept of a multi- parcel redevelopment TIF district at this time, the resolution itself pertains only to the early removal of the substandard buildings at 2625 Highway 10 NE. Please call me with any questions you may have. 'Yo rs very tru y, , G f ames P. O'Meara JO:lbh Enclosure RESOLUTION NO. RESOLUTION APPROVING REDEVELOPMENT PROJECT CONCEPT AND DETERMINING CERTAIN BUILDINGS TO BE STRUCTURALLY SUBSTANDARD It is hereby resolved by the Board of Commissioners (the "Board" ) of the Mounds View Economic Development Authority (the "Authority" ) as follows : 1 . Recitals . (a) The Authority has the powers provided in Minnesota Statutes, Sections 469 . 090 to 469 . 108. (collectively, the "Act" ) . (b) Pursuant to and in furtherance of the objectives of the Act, the Authority has undertaken a program to promote development and redevelopment of the City of Mounds View and in this connection is engaged in carrying out the Mounds View Economic Development Project (the "Development Project" ) within the City. (c) There has been approved pursuant to the Act a Project Plan for the Development Project . (d) The redevelopment and development of property within the Development Project by the Authority and by private developers are stated objectives of the Project Plan. (e) In order to achieve the objectives of the Development Project, the Authority has determined to provide substantial aid and assistance through the financing of certain of the public costs of development. (f) An approximately nine parcel redevelopment project has been proposed along Highway 10 which would consist of the redevelopment and removal of numerous existing substandard structures on such property, the assembly of a suitable commercial site, and the completion of new commercial development (s) (collectively, the "Project") based on future discussions with potential developers, and the Board has discussed the use of tax increment financing to assist the Project and has discussed the possible early removal of existing substandard structures on said property, including particularly at the present the structure (s) located at 2625 Highway 10 NE (the "Parcel") , upon acquisition thereof by the Authority. 2 . Development Agreement . Pursuant to the provisions of Minnesota Statutes, Section 469 . 174, Subdivision 10 (which in part 302612.1 provides the definition of a redevelopment tax increment financing district) , a parcel is deemed to be occupied by structurally substandard buildings for purposes of certain findings and for purposes of later including said parcel or parcels within the redevelopment tax increment district if certain conditions are met . There has been prepared and presented to the Board materials substantiating the substandard nature of the buildings on the Parcel . 3 . Structurally Substandard. The Board hereby determines that the Parcel is now occupied by buildings which are "structurally substandard" within the meaning of Minnesota Statutes, Section 469 . 174, Subdivision 10 (b) , due in part to the dilapidation, partial casualty to and/or abandonment of said buildings or structures and numerous other structural and other defects in said properties . The Board also finds that the Parcel is at least 15% covered with some type of improvement and that none of the main buildings could be modified to satisfy the building code of the City at a cost less than 15% of the cost of constructing a new structure of the same square footage and type . 4 . Tax Increment Intentions. Upon their acquisition by the Authority, the subject buildings are hereby authorized to be demolished and removed by the Authority. Subsequent to such demolition and clearance, it is the present intention of the Authority to include the Parcel within a tax increment financing district, and upon filing the request for certification of such tax increment district (if approved) , the Authority will notify the Ramsey County Director of Property Taxation that the original tax capacity of the Parcel is subject to adjustment, as provided in Minnesota Statutes, Section 469 . 177, Subdivision 1, paragraph (h) . Adopted by the Board of Commissioners of the Mounds View Economic Development Authority on , 199 President ATTEST: Secretary 302612.1 2 Secretary' s Certificate I , the undersigned, being the duly qualified and acting Secretary of the Mounds View Economic Development Authority, do hereby certify that I have carefully compared the attached and foregoing resolution adopted at a special or regular meeting of the Board of Commissioners of said Authority dul called and re•ularl held on the date therein indicated with the original thereof on file in my office and I further certify the same is a full, true, and correct copy thereof, insofar as the same relates to the approval of "early removal" of structures in certain property within the City, in anticipation of subsequently including that property within a redevelopment tax increment financing district . I further certify that Boardmember moved the adoption of said resolution, that Boardmember seconded said motion, and that upon a vote being taken thereon, the following Boardmembers voted in favor thereof: and the following Boardmembers voted against the same : whereupon said resolution was declared duly passed and adopted. WITNESS my hand as such Secretary of said Authority this day of 1995 . Secretary Mounds View Economic Development Authority 302612.1 469.174 ECONOMIC DEVELOPMENT 1124 sequent adjustments as set forth in section 469.177,subdivisions 1 and 4. In determin- ing the original net tax capacity the net tax capacity of real property exempt from taxa- . ° tion at the time of the request shall be zero,except for real property which is tax exempt by reason of public ownership by the requesting authority and which has been publicly owned for less than one year prior to the date of the request for certification, in which r event the net tax capacity of the property shall be the net tax capacity as most recently i determined by the commissioner of revenue. 1 (b) The original net tax capacity of any designated hazardous substance site or haz- , z ; ardous substance subdistrict shall be determined as of the date the authority certifies 4, c to the county auditor that the authority has entered a redevelopment or other agree- , ment for the removal actions or remedial actions specified in a development response .I i action plan, or otherwise provided funds to finance the development response action • plan.The original net tax capacity equals(i)the net tax capacity of the parcel or parcels in the site or subdistrict,as most recently determined by the commissioner of revenue, less(ii)the estimated costs of the removal actions and remedial actions as specified in a development response action plan to be undertaken with respect to theparcel or par- 0 cels, (iii) but not less than zero. (c) The original net tax capacity of a hazardous substance site or subdistrict shall be increased by the amount by which it was reduced pursuant to paragraph(b),clause (ii), upon certification by the municipality that the cost of the removal and remedial actions specified in the development response action plan,except for long-term moni- toring and similar activities, have been paid or reimbursed. (d) For purposes of this subdivision, "real property" shall include any property normally taxable as personal property by reason of its location on or over publicly owned property. Subd. 8. Project. "Project" means a project as described in section 469.142; an t industrial development district as described in section 469.058,subdivision 1;an eco- nomic development district as described in section 469.101, subdivision 1; a project x' as defined in section 469.002.subdivision 12;a development district as defined in sec- - t' tion 469.125, subdivision 9. or anm special law: or a project as defined in section 1 I, 469.153, subdivision 2, paragraph (a), (b), or (c). Subd. 9. Tax increment financing district. "Tax increment financing district" or "district" means a contiguous or noncontiguous geographic area within a project delin- eated in the tax increment financing plan, as provided by section 469.175,subdivision 1,for the purpose of financing redevelopment,mined underground space development, 1- housing or economic development in municipalities through the use of tax increment generated from the captured net tax capacity in the tax increment financing district. Subd. 10.c.Redevelopment district. (4u:"Redevelopment district" means a type of tax increment financing district consisting of a project, or portions of a project,within which the authority finds by resolution that one of the following conditions,reasonably distributed throughout the district, exists: ' (I)parcels consisting of 70 percent of the area of the district are occupied"by build- ings,streets. utilities.or other impro\ements and more than 50 percent of the buildings, - not including outbuildings,are structurally substandard to a degree requiring substan- tial renovation or clearance: or 41 (2) the property consists of vacant, unused, underused, inappropriately used, or infrequently used railyards. rail storage facilities, or excessive or vacated railroad rights-of-way. (b) For purposes of this subdivision. "titructurally substandard" shall mean con- taining defects in structural elements or a combination of deficiencies in essentlal'utili- ties and facilities,light and ventilation,fire protection including adequate egress,layout i and condition of interior partitions,or similar factors,which defects or deficiencies are of sufficient total significance to justify substantial renovation or clearance. A hiillili ' not structurally substandard if-it is in compliance with the building --; ��- ode applicable to nc.. lu0 ,cgs cou rd be muo;urd to satisfy the building code at ; i f . f----- _ . . , ., . ,. _ , ,, 1125 ECONOMIC DEVELOPMENT 469.174 1 a cost of less than 15 percent of the cost of constructing a new structure of the same square footage and type on the site. The municipality may find that a building is not disqualified as structurally substandard under the preceding sentence on the basis of reasonably available evidence, such as the size, type, and age of the building,the aver • - age cost of plumbing,electrical,or structural repairs,or other similar reliable evidence. If the evidence supports a reasonable conclusion that the building'is not disqualified • as structurally substandard, the municipality may make such a determination without an interior inspection or an independent,expert appraisal of the cost of repair and reh bilitation,of the building. ela- / i A •arcel is deemed to be occupied b a s ructurall substandard building for pur f El. . lbe poses of the finding under paragraph (a) if all of the following con•itions are m- ._> _ (1) the parcel was occupied by a substan•are •u1 •ing wit in three years of the fil- I1 .,•:: ing of the request for certification of the parcel as part of the district with the county 0,1110441 auditor; 2) the substandard buildingras demolislied or removed by the authority or the demolition or removal was financed by the authority or was done by a developer under j a development agreement with the authority; eN of (3) the authority found by resolution before the demolition or removal that the parcel was occupied by a structurally substandard building and that after demolition and clearance the authority intended to include the parcel within a district; and (4) upon filing the request for certification of the tax capacity of the parcel as part N of a district, the authority notifies the county auditor that the original tax capacity of ' s,. the(h).parcel must be adjusted as provided by section 469.177, subdivision 1,paragraph . (c),_For •u •oses of this subdivision,a parcel is not occupied by buildings,streets,= utilities, or other improvements un ess percent of the area o the parcel contains 1 improvements i r (d) For districts consisting of two or more noncontiguous areas, each area must qualifyas a redevelopment district under paragraph (a)to be included in the district,P F and the entire area of the district must satisfy paragraph (a). Subd. 10a.Renewal and renovation district.(a)"Renewal and renovation district" �`'''T means a type of tax increment financing district consisting of a project, or portions of a project, within which the authority finds by resolution that: �.3; (I)(i) parcels consisting of 70 percent of the area of the district are occupied by buildings, streets, utilities, or other improvements;(ii)20 percent of the buildings are -:;,--.,4,-'.'. structurally substandard;and(iii) 30 percent of the other buildings require substantial .. renovation or clearance to remove existing conditions such as:inadequate street layout, incompatible uses or land use relationships, overcrowding of buildings on the land, excessive dwelling unit density, obsolete buildings not suitable for improvement or conversion, or other identified hazards to the health, safety, and general well-being of - 'fir the community; and fir; (2) the conditions described in clause (1) are reasonably distributed throughout x; r" the geographic area of the district. (b) For purposes of determining whether a building is structurally substandard, s i's, whether parcels are occupied by buildings or other improvements,or whether noncon- tiguous areas qualify, the provisions of subdivision 10, paragraphs (b), (c), and (d) apply. Subd. 11. Housing district. "Housing district" means a type of tax increment financing district which consists of a project, or a portion of a project, intended for occupancy, in part, by persons or families of low and moderate income, as defined in chapter 462A. Title II of the National Housing Act of 1934,the National Housing Act 3* , of 1959, the United States Housing Act of 1937, as amended, Title V of the Housing Act of 1949,as amended,any other similar present or future federal,state,or municipal legislation, or the regulations promulgated under any of those acts.A project does not qualify under this subdivision if the fair market value of the improvements which are 4 ; 1 t 111 REQUEST FOR COUNCIL CONSIDERATION Agenda Section: 6. :DUNDS 1QI STAFF REPORT Report Number: 95-1543.JS Or a1§ AGE_vr)e cvcciOly DATE December 4, 1995 Report Date: — 11-30-95 1 f DISPOSITION Item Descriptio Discussion of Participation with projects of North Metro Business Retention and Development Commission fnr 1996 Administrator's Review/Recommendation: - No comments to supplement this report - Comments attached. Explanation/Summary (attach supplement sheets as necessary.) TUMMARY; 1 The North Metro Business Retention and Development Commission has been working on distilling the results of the survey process that was performed in 1994. This work has resulted in a 350 page report. I have been working closely with the Commission to identify the key elements of the report and evaluate the next steps in the process. i have included the summary report for your review and will be providing you with the full report on Monday. Joseph Strauss would like to make a presentation on the key findings to the EDA in early 1996. In 1995, the Commission performed Phase II of the survey process. At this time they did a brief resurvey of new businesses and key businesses that were identified as at risk in the first survey. Mounds View elected not to participate in this process since we had just completed the first phase and resurveying would have been redundant. The other communities, namely Brooklyn Park, Brooklyn Center, New Hope, and Blaine have been part of the program for at least a year earlier and it made sense for them to have their information updated. The work plan for 1996 is structured in two parts. Part I includes continuing the survey of businesses, focusing on training and employment which has been identified as a key issue for business and continuing to communicate red flags to each community for follow-up. Part II includes 15 options of which each community may contract with the commission on two of the 15 options. (Please reference the attached work plan) Joseph Strauss made a presentation to the EDC at their November meeting regarding the value of Mounds View continuing to participate in the process. The EDC recommends that the City participate in these efforts as a link to evaluating north metro business and economic issues. They recommend that Mounds View choose options 4 and 15 in Part II of the Work Plan. 5....-L,..,..L.c.-- ______ I IECO_M_I ENDATION; Cathy Benne conomic Development Coordinator 1 Mounds View's contribution to the commission is proposed at $2,000. The other communities would contribute $25,000 since they all have a larger business base. New Brighton is unsure of their participation since they have not completed the first set of interviews yet. If the Council is interested in partici acing in the work plan fro ave-p osed-to roll over funds not expensed in 1995 that were designated for professional services in business retention and development to fund the project for 1996. B. Training and Employment Significant information developed in the initial survey process clearly indicates a shortage of skilled and unskilled workers in the region. This shortage is particularly affecting the area's high growth and base building companies. Unfortunately, the linkages between public and private educational resources, employee demand, and prospective employees are at best happenstance. The need for employees is nonetheless critical for the long-term health of the area's economy. There is a need to focus resources on those businesses and industries which offer the greatest long-term potential for economic growth in the area. Special attention sho . tie directedto the needs of th- •usinesses an• w at educational institutions can do to address these Training needs. Included in this effort would be the identification of the different types of training needed, and identification of the potential employees in and out of school to fill these potential career opportunities. Strategy/Action Plan a) Select 2 - 3 target populations of businesses with high growth and base building characteristics. b) Review the existing data base for specific training needs of targeted business sectors and coordinate said training needs with local educational institutions, both public and - private. c) Meet with proprietary schools as well as community and technical colleges to help - focus their resources on the targeted population and determine what the schools need to do in order to service their needs. d) Conduct focus groups with each targeted business group to quantify demand, specific issues, as well as develop strategies to recruit employees into appropriate training for identified job opportunities. e) Meet with secondary institutions, employment and training officials, welfare offices, etc. to promote interest in training and job opportunities. C. Continue Red Flag Reporting System CRP will continue communicating newly generated Red Flags from surveys completed as part of this program. 0 7. Product and Service Needs CRP will identify one or two services frequently purchased from outside of the North Metro area. A focus group will be established of those companies purchasing from outside the area and investigate opportunities to attract these preferred suppliers to the area. CRP will work with local real estate developers to create suitable space for such businesses. ❑ 8. MSP International Airport Relocation Impact Study CRP will study the characteristics of firms that indicated that the relocation of the Minneapolis/St. Paul International Airport would negatively impact their operations, and determine any potential impact on the city as a result. ❑ 9. Study Transportation System Impact IV CRP will study the current transportation and transit system plan for the Metro Division and determine the impact on those businesses that identified transportation/transit as a critical factor in their location decision. ❑ 10. Study Day Care Needs and Availability CRP will interview businesses that indicated that day care was an important need in terms of location decisions and identify service delivery capability in relationship to business survey data. • 0 11. Produce a Business and Professional Services Directory CRP will produce and distribute a Business and Professional Services Directoryfor distribution to the entire business base. �, (ter n.'l� © ..y 12. Produce an Updated Manufacturing and Wholesale/Distribution Directory \ ' CRP will update and distribute the Manufacturing and Wholesale/Distribution sector i c\ Directory for the entire business base. ❑ 13. Foster a Business Mentoring System - CRP will work with one to three industry clusters on an experimental basis to facilitate the creation of a mentoring system, in which larger experienced firms are partnered with newer emerging firms. This would be an exploratory effort with the intention of spinning off activity to either local chambers of commerce or the community and technical colleges. O 14. International Trade Forum CRP will invite survey participants that expressed an interest in international trade as well as firms currently engaged in international trade to a series of informal meetings or focus groups to determine their need for information, and match them with known resources in the community. WORKING GROUP DISCUSSION REPORT COMMUNITY PARTNERS: AN INTRODUCTION TO THE BUSINESS BASE November 20, 1995 The Working Group has met five times over the past quarter to review the data generated by the Community Partners business survey. At each meeting two of the 10 chapters were summarized and various observations made. The following incorporates both into one document and distills the key points and findings of the survey. This document begins the process of evaluating the types of actions that might be best pursued in response to the data generated. Chapter One: Where Are We Today? Chapter-one-provides various informational pictures of the region, quantifying the make-up of the local economy's distribution of firms by type, ownership characteristics, sales volume and outlook, facility size and ownership,job categories, full and part-time jobs, and anticipated length of stay. Each of these are informative but some are, of course, more relevant than others. The Working Group was asked to rank these as to their information value and whether more or less information was required in future surveys. Work Group Question& Comments Raw Score Topic More or Less 15 Jobs &Employment * More 13 Break out by Sector * 13 Projected Time of Stay * 13 Business Outlook * 11 Facility Ownership * 10 Headquarters location 9 Sales Volume * 9 Facility Sizes 9 Minority and Female ownership Less 8 Legal Entity Less • • All members of the Working Group ranked the Jobs and Employment topic as high, and the one area where even more information should be generated. • Items with an * indicate that at least one member of the Working Group felt the data to be of high value. • Minority and female ownership, and legal entity of companies was seen as the least relevant of the data generated. 1 Summer Youth Employment Summer youth opportunities were most frequently found in retailing and especially fast food locations. There were however 3-400 responses indicating possible interest in TCPU, manufacturing, construction, and FIRE companies. During CRP's efforts as a part of Phase II, to follow-up on,these leads did not pan out. A number did however, suggesting that"Non Traditional"summer youth site development may merit attention,particularly as a means of introducing kids to areas of work, and in response to federal funds cut backs in traditional summer youth funding. Suggest that cooperative a effort be organized around the concept of generating "non traditional" summer youth work experiences. This effort could combine existing organizations like police, park and recreation, youth agencies, chambers of commerce, schools and others. Working Group Question and Comments Should summer youth employment be a high, medium, or low priority for the Commission? • The majority felt it should be a high priority. • Youth are the work force of the future. We need a quality trained work force to stay competitive in the global economy. • Summer youth jobs are a public good. Great way to stimulate interest in varying jobs and careers. Could abate youth crime levels as well. • Shortage of workers in some firms could be aided by youth workers. Labor Supply and Demand While sales, technical and skilled as well as clerical were sought after by the largest number of firms, it is also clear that demand was relatively high for unskilled workers, service workers and scientists and engineers among those firms which already employed people in such positions. The supply and demand functions of the local economy are currently being met by market forces. It may be in the public interest though to stimulate the supply end of the equation using local colleges, secondary institutions and other techniques to encourage youth and others to explore occupations currently in short supply. This approach however is fraught with pitfalls and risks if it were to be based upon a set of hiring demand data that is already old and perhaps represents already filled jobs. It may make sense to re-evaluate the survey questions to focus more on employers long-term employment projections say in five years from now. The survey should quantify not just that firms may be hiring, but also a projection of quantity over time. This may be easier to ask than it will be for companies to answer. The 15 percent of all the firms that qualified as part of the high growth category represented approximately half of projected firms anticipating hiring. The intention to hire was one of the more heavily weighted elements that formed the growth index and so this should not be surprising. It does suggest, however, that while hiring plans may be broad it is likely that the majority of demand probably comes from within a smaller subset of the entire population. • 3 Financial Assistance Companies in Brooklyn Park and Blaine were the most likely to request information on financial assistance. Each city had 10 percent or more of the responding companies requesting information on financing alternatives. TCPU and manufacturing both exceeded 20 percent interest in additional information. Firms with international sales, and high growth firms were among the most interested. High Technology Manufacturing Companies with$1 million plus in sales and 11 or more employees were the more interested, largely defined by manufacturing. This topic is better defined in the manufacturing supplement, particularly in terms of issues affecting smaller size firms. Job Training Assistance The manufacturing sector indicated the greatest need for information on job training assistance, with strong interest also in wholesale/distribution. High level base builders,particularly those with international trade were strongly interested. Firms in the 21-99 employee range were dominant. Growth index interest was also quite strong. Government Procurement TCPU and wholesale/distribution were the most interested in government procurement information. As firms grew larger so did their interest in this area. International Trade Interest was largely albeit not exclusively linked to manufacturing and wholesale/distribution firms. Interest came primarily from firms with existing base building characteristics. Permits and licensing New Hope may do something right here. They had significantly less requests for information. The greatest percentage of demand came from the wholesale/distribution and TCPU sectors. Publishing cluster firms were most interested of the clusters. City Ordinances and Zoning New Hope again had better results here. FIRE and TCPU firms most concerned. Financial services cluster most concerned(Real Estate?) Environmental Regulations Blaine and Brooklyn Park companies were the most interested in information regarding environmental regulations. Manufacturers, wholesale/distribution, and TCPU firms were most affected, although a large number of retailers (77) also asked for information. The highest level of demand came from the high growth firms. Companies with 21-99 employees were the most likely to ask for information. Employee Benefit Systems Mounds view had strong interest here. Focus was on firms in wholesale/distribution and TCPU. 5 Virtually twice as many firms placed a high priority on marketing skills. TCPU and FIRE were the most interested sectors. The machinery cluster was the least interested in increased marketing skills, while over half of the financial services clusters listed this as a high priority. Working Group Question and Comments How can we service these relatively high levels of need for additional management and marketing support? * Community Colleges-Ask to focus programs in these areas, satellite classes, evening classes. * Mentoring-find firms willing to assist other in one or the other of these two areas. * Networking.-Set up informal efforts through the development of a systematic networking scheme. * Trade show-ID possible resources and bring to a trade show format. * Other-SCORE, DTED, HEMPAC (Higher Education Manufacturing Process Applications Consortium) * Joint programs between area chambers to focus groups of industries around each of these topics as it affects individual industries across chamber borders. • "These are things we should get other people to do, but we need someone to organize, plan and execute or it will only get lip service." • " We need to be realistic as to what can be done." • "Not sure a trade show or other one time event would be effective. Needs to be on- going." Employees' Weakest Skills The survey discovered that many firms had many and diverse training interests, and many firms had employees with weak skills in a wide variety of areas. The most common sets of weak skills could be grouped into five basic categories: * Work Ethic * Management Skills * Customer Relations * Basic Ed Skills * Product Knowledge (Math, writing,reading/english, communications #1 ranking) Similarly, training interest fell into six broad categories, specific requests were very diverse within these categories. * Technical Skills * General Education * Sales * Computer * Management * General Business 7 This appears to reflect the program mix as determined by the various counties Private Industry Councils (PIC's). Working Group Question and Comments Why do Mounds View and Blaine firms seem less likely to want to use community and technical colleges? • "Distance and reputation as not having enough hands on training, plus old out dated equipment." Mentors could represent a significant program of business to business interaction, but will undoubtedly be challenging to set up. Should the Commission promote the establishment of a pilot project to flesh out the issues a consideration necessary to l_aunc a mor_e_signifcant mentoring program? • "Machine tools industries are organized and jointly participate in training programs, maybe their efforts could be built upon." • "Maybe SCORE or SBA could assist." • "Chambers would be the best group to set up a mentoring program." County programs appear to vary between counties as reflected in our data. Should the cities or Commission seek to affect the program mix of these programs? • "Maybe we should start by asking them to explain their program mix and then seek to have some influence on it." • "We really don't know what is available, a directory of training services would help." Chapter Four: Raw Materials and Supplies Supply Access Thirty-eight percent of all businesses indicated that access to supplies was an important location consideration. This was particularly true of manufacturers, but not all manufacturers equally. Those who did were in the printing, fabricated metals, industrial and commercial machinery manufacturing and the miscellaneous manufacturing sectors. Higher base builders appeared to be somewhat more supply sensitive than others. This suggests that their current location may revolve around their access to supplies while their markets are elsewhere. The long-term health of these firms as base builders within the region may be dependent upon factors affecting these firms suppliers, in addition to other factors affecting the firms themselves. Working Group Question and Comments Should these individual firms and their suppliers be identified and studied further? The first step would be to use the existing data base to focus just on these firms. Second step would be to consider the need for additional survey questions to further idents their key suppliers. Subsequent actions would be dependent upon findings. Rank this topic as a high, medium or 9 The key to understanding this section is to recognize local firms are purchasing various services from firms from throughout the region, the metro area, and far beyond. Working Group Question and Comments Should this line of inquiry be omitted from future surveys? Should we attempt to refine this data by focusing on the responses of a more targeted subsection of the overall business population? Can this data be used to serve as the basis of a prospective tenant search for new multi-tenant office buildings in the region? • The consensus was that the data was worth collecting, but that future efforts should attempt to be more focused in terms of industries queried about their supply needs and the specific types of services examined. • Opinions were mixed_as o whether this data_cauld_b_e_used to_fi-ncLspec-if ctenants for office buildings, but that it may serve as information of interest to possible developers for their own market studies. Heat/Metal Treatment The most frequently mentioned service needed but not adequately present in the North metro market was metal treaters. Thirty-nine percent of the major components used by local manufacturers are imported to the region from outside the Twin Cities. Further data, and or data from a wider area may lead to the identification of one or more distributors or manufacturers who have enough local customers to consider a branch operation in the region. Such firms may have even more customers in other parts of the Twin Cities area, but may be attracted to the area by outreach efforts using existing local firms as allies in the marketing effort. By recruiting such firms to the North Metro area (instead of Bloomington or Apple Valley), the North Metro regions infrastructure is strengthened. This could assist in maintaining existing manufacturers. While this goes beyond retention, successful efforts could result in both new and retained industry. Working Group Question and Comments Should the Commission establish an experimental project for 1996 that explores the demand and potential recruitment of a heat/metal treatment facility for the region? • "Seeking a metal/heat treater may not be the best focus. Maybe we should refine more what is needed by the firms who asked for such a service to be sure what it is they want and need and what seeking it would entail." • "Maybe not just metal treatment, but spend more time looking at other unmet needs." • "If there is such a facility in Minneapolis, would we be stealing it from them? Are we looking to regional cooperation, or is this an issue of who is within the `Commission' borders and who is not." 11 term risk to the key supplies and services (such as transportation) needed by the more desirable, manufacturers, etc.? • Working Group members felt they accommodated yard space issues adequately in each of their communities. While there may be a tendency to push trucking firms out, this was just a function of long-term economic trends and probably was inevitable. Chapter Six: Communication and Access to Markets The larger the firm the more likely it was to consider changes in the way they handled post production activities. This affected wholesalers and manufacturers followed by TCPU firms. These firms were also the most likely to suggests a need for better distribution. Firms with sales between $1-5 million were most likely to put a high priority on such improvements, with overall interest growing in general as sales and employee size increases. Transportation Roads were viewed as important by 84 percent of all firms surveyed. Variations between clusters, sectors, cites, size of firms etc. are relatively minor. Ten percent of all businesses express some level of dissatisfaction with current roads, most frequently in Blaine. Ten percent express dissatisfaction with postal services. Thirteen percent of all firms felt a relocation of the airport would have a negative impact on their business. TCPU, manufacturing and wholesaling firms were the most likely to express concerns that an airport relocation would be negative. Larger firms tended to see the relocation as more negative. Base builders were clearly more concerned. Thirty-eight percent of all firms thought that additional river crossings would be beneficial to their firms. This was most noted in Brooklyn Park, and less so in New Hope and Mounds View which are further from the river. Seven percent of all firms use local airports for business purposes. Manufacturing, wholesale/distribution, and professional services films were the most frequent users of the local airports. While larger firms were the most likely to use the airports, smaller firms were numerically more likely. Overall twenty percent felt a light rail system would have a positive impact on their business. Brooklyn Center firms were more likely than others to think so. FIRE,professional services and TCPU firms were the most likely to expect a positive impact. Larger companies were also more likely to feel so. Overall 29 percent felt better mass transit would be positive for their business. Brooklyn Center firms were the most positive. Professional services, FIRE and retail lead in the desire for better mass transit. Large firms were particularly strong in their support for better mass transit. 13 Working Capital 15% Capital Equipment 12% Facility Financing 9% Inventory Financing 8% New Product Development 3% Other 3% Interest in financing for varying purposes varied by the sector of firms,their relative growth profile, base building characteristics and other characteristics. Twenty-siT tlisted_additionaLcapital asa.hi gb nriority„while22 percentlisie_dit_as a-low priority. Demand for additional capital increased at the $1 million in sales mark. Wholesale/distribution firms were most interested in additional capital. Priority for additional capital was most pronounced in the machinery cluster and among minority owned firms. Firms engaged in international sales were among those most interested in additional capital, followed by those in the 1-25 percent base building range. Most firms relied on banks within the North Metro for their bank deposits. This was distinctly less true as firms increased in size. High growth firms and those with extensive sales out of the area were the most likely to use outside depositories. Financing was even less likely to be based in the North Metro,with size again being a major indicator. Manufacturing, wholesale/distribution, TCPU, FIRE and retail were less likely to rely on local banks for financing. In some categories,up to 20 percent of firms rely on financing sources from outside the Twin Cities area. On the one hand this may be good in that it demonstrates the capacity of local firms to draw dollars in from outside the area. On the other hand, it may indicate a set of institutional constraints on the local economy, and or local market niches that are not being adequately served by local financial institutions. The net result of which may be a hindering of local economic growth. One hundred forty-one firms indicated dissatisfaction with local banks and/or capital services. The manufacturing sector and machinery cluster, in particular, were among the most concerned. Finns with international sales and those with high base building characteristics were also more likely than others to express dissatisfaction. Firm size did not appear to be a determinant of dissatisfaction. Firms with$5-15 million in sales were proportionately the least satisfied. While relatively few in number these levels of dissatisfaction suggest that all is not rosy in the regions banking infrastructure. Nearly 500 firms indicated that they felt their banks were not responsive to their needs. This equates to roughly 18 percent of the entire study. Construction firms, wholesalers, manufacturers, and TCPU firms were more likely to suggest unresponsiveness. With the exception of the largest and smallest of firms these feeling of unresponsiveness was fairly 15 established to help firms enter and conduct such trade in recognition of the benefits it provides. These sales raise the economic base of the region...the dollars in the local economy capable of being re-spent and circulated within the region. Manufacturers, wholesale/distribution companies and TCPU firms were the most numerous exporters. Wholesalers were the most likely to have 25 percent or more of their sales internationally. To the extent that locally produced products made up at least some of the product they sold, it may indicate even more local manufacturers were represented in international trade, albeit indirectly. It also suggests that the role of wholesale/distribution while service oriented and perhaps not as high wage based may offer significant additional benefits to the local economy than can be measured just in terms of its relative job density or wage levels. The make-up of the sectors which are most actively engaged in international trade can be broken down even further. Within manufacturing, the industrial machinery subset is the dominant exporter. While industrial supplies and electrical apparatus make up the majority of primary products of those wholesale distributors with significant exports. National Twenty-one percent of all firms (three times as many as sell internationally) sell to national markets beyond the five state area. Manufacturers are again the most likely to engage in national sales followed by wholesalers and TCPU firms. The concentration of firms selling nationally mimics those selling internationally, being concentrated in SIC Code categories 35 and 50, but with wider participation within and without those categories. Five-State Area The sector patterns again continues as we look at who plays a role in the five state market, although the role of wholesale/distribution appears to gain in stature reflecting the Twin City metro's role as a regional hub. Twenty-seven percent of all area firms did at least some sales to the surrounding four states. Out-state Minnesota Wholesale/distribution and manufacturing again show a strong presence in out-state trade, the FIRE sector also makes a dramatic move in this market arena. Slightly more than half of all firms engaged in at least some sales in out-state Minnesota. The relatively high participation in out-state markets suggests that the North Metro may play a particularly strong role in servicing out-state communities. However, there is no comparable data from elsewhere in the metro area with which to confirm or refute this suspicion. Nonetheless, there is a strong economic link connecting the North Metro with out-state communities. This link should be communicated to legislative leaders serving the area, and as possible be used to build mutually supportive economic alliances with out-state communities. No Base Building While three percent of all firms (88)report no sales within the Twin Cities area, over 80 percent of all firms with sales less than$1 million depend upon the Twin Cities area for 75 percent or more of their sales. 17 • While there may be some value in a uniform ordinance drawn up at the Commission level this is the province of individual cites, one of which indicted they were looking at their ordinance already. Roads Roads were listed number one across the board from among the list of 21 factors queried regarding firm's location decision making process. This represents general evidence of the need for completion of T. H. 610 and other road infrastructure projects serving the region. Working Group Question and Comments Should the completion of T. H 610 be set as one of the Commission's economic development goals? • Most felt it should be a high Commission priority, one felt it was already something North Metro Mayors was doing and should not be duplicated by the Commission. Taxes A number of topics such as property taxes, income and sales taxes, unemployment insurance and worker's compensation were also highly rated as location factors by local firms. The policies behind these factors are primarily formed at the state legislative level. Working Group Question and Comments Should the Commission play an active role on behalf of area firms lobbying for legislative attention to these issues? Should the Commission merely relay information gained in the survey to legislators for their information or should the Commission strive to stay out of the fray totally? • In general the Working Group felt it appropriate to share all the data with legislative leaders, but split on how actively it would be appropriate to advocate on behalf of businesses over these issues at the legislature. Other Important Factors A number of other assets were listed as important by smaller numbers of firms. Working Group Question and Comments Which of the following should be dealt with by each city alone, by the Commission, by both or does not merit attention at this time. 19 Working Group Question and Comments For each item below list the topic as a high, medium or low priority for economic development attention, and then indicate whether these topics should be addressed by the city itself the Commission, both or neither. TOPIC Raw City Commis City& No Score Only Only Commis Action Signs 13 2 1 1 Inspections 13 3 Taxes 12 2 3 Permits 12 2 3 Crime 10 3 2 Post Office 9 3 2 Water 8 2 1 Codes 8 1 1 1 Lease Expiration Analysis suggests that approximately 7 percent of all firms have leases which expire in any given year. With some additional time and effort the data base can be revised to permit the creation of an on-going quarterly report to each city indicating those firms whose leases are expected to terminate within the following 6 to 9 months. On going maintenance of such a system may require re-surveying firms with leases a bit more frequently than owner occupied firms. Working Group Question and Comments: Would such a tickler file be of value to your city? Should such a tickler file system be limited to only high priority firms? • All cities felt such a list could be beneficial, while several felt the list could be prioritized several thought a more complete list would be informative. Chapter Ten: Business Plans and Growth While growth can result in increased jobs and tax base it also can lead to out-migration and is not clearly a function of city economic development staffs. Working Group Question and Comments Is the promotion of growth within the local economy a function that should be promoted at the city level? Should efforts to achieve such growth be promoted on a city by city level or should they be pursued regionally? • Group members felt that the promotion of local economic growth was an appropriate activity of both parties rather than one or the other. • The majority felt a regional strategy supplemented by individual city efforts to deal with local specifics was the most promising course. 21 1 to grow. Perhaps more than any other survey questions these may constitute the essence of how to target resources and the types of resources that might be most useful. Working Group Question and Comments: For each of the following, list the priority you feel should be placed on each of the six topics. Should all six be treated equally? Should we concentrate on only those which affect the most firms or perhaps just those with the most likely benefit, or should we attempt to coordinate efforts on behalf of each area? • The Working Group ranked the topics in the following order: Capital, marketing support, additional production, research and development, management support, better distribution. Capital and marketing garnered the highest priority, with most seeing a joint role between the Commission wide and the individual city initiatives. Mentoring In the survey we asked firms if they might be willing to assist other businesses in some form of mentoring and received a significant number of positive responses. In the report we suggest it may make sense to develop a pilot project to explore just how such a system would work, and iron out methodology etc. Working Group Question and Comments Do you think it should be a high, medium or low priority to include the promotion if not operation of a trial mentoring program in the 1996 WorkPlan by the Commission? • Opinions varied as the level of priority such an effort should receive. • Many felt it could be a good chamber project. • Metro East is supposed to have developed a related project that might bear review. . Chambers of Commerce The chambers of commerce have been frequently discussed as possible players in the long run programs emerging from this process. Not every community is individually represented by a chamber, and in several cases chambers are in direct competition with each other for membership. While it is assumed that chambers will be willing to cooperate in these endeavors many local issues and interests may interfere with their full cooperation. Working Group Question and Comments Do you feel that in your situation your city will have enough direct influence with its local chamber to encourage it to overcome any hesitancy or internal opposition to form a regional cooperative arrangement with other area chambers to promote regional objectives? • Working Group members felt there was general support and interest among chambers in working together and that their could well be the basis of promoting joint efforts by and between the various chambers to create and sustain projects designed to follow up on the surveys data. c:\S2crp\report\wrkgrp.doc 23 I-MYF ® REQUEST FOR COUNCIL CONSIDERATION Agenda Section: 7. 11706STAFF REPORT Report Number: 95-154414SW AGENDA SESSION DATE December 4, 1995 Report Date: 1 1 - 2 R - 9 DISPOSITION Item Description: Update of Old Hwy 8 Reconstruction Administrator's Review/Recommendation: - No comments to supplement this report 9e7 — - - - Comments attached. Explanation/Summary (attach supplement sheets as necessary.) SUMMARY; Staff met with Ramsey County officials last week to review and discuss the current plans and schedule for the reconstruction of Old Hwy 8 . Staff received a set of plans and will share with Council the County' s proposal . Items for consideration will be: a. Width of road design. b. Length of reconstruction of Co.R. H. c . Trailways d. Surface Water Quality Ponds . e. City contribution to various segments of the reconstruction. If Council has any questions or comments prior to the meeting that may require additional research, please feel free to call me. �a 41.v/ Michael Ulrich, Director of Public Works ,RECOMMENDATION; ^' P REQUEST FOR COUNCIL CONSIDERATION Agenda Section: 8. STAFF REPORT Report Number: 95-1545WS AGENDA SESSION DATE December 4, 1995 Report Date: 11-30-95 DISPOSITION Item Description: Update of 610 North Crosstown Parkway Toll Road Administrator's Review/Recommendation: - No comments to supplement this report - Comments attached. Explanation/Summary (attach supplement sheets as necessary.) $UMMARYz As per Council request, I have gathered information on the proposed toll on the North Crosstown Parkway (Highway 610). The idea originated due to the more than $5 billion worth of road projects across the state that lack funding. MnDOT called for toll proposals in July, in compliance with recent State law requiring transportation officials to consider alternative financing for all projects costing more than $10 million. The outline below will give you a better idea of what the Minnesota Transportation Group, led by Hughes Aircraft Co., is proposing to MnDOT. DESCRIPTION: The project involves the completion of the proposed four-lane Highway 610 corridor, running east and west from Interstate 94 to Interstate 35W. There would also be a new bridge over the Mississippi River and relative interchanges. Private sector proposals would need to contract with public agencies to provide for maintenance, snow removal and police services which meet or exceed MnDOT standards. COST OF CONSTRUCTION: The cost of this new construction will be approximately $281 million. In addition to private investments (Revenue Bonds), some public money would also need to be invested. Robert Zauner, of the Minnesota Transportation Group, states that, "The greater the public investment, the lower the tolls." PROPOSED TOLL: Upon completion of the project in 2000, the toll would be considered variable with an average of$1.65 for the entire corridor. a - rt14(J/01.P Dawn Postudensek, Administrative Intern RECOMMENDATIONz STAFF REPORT PAGE TWO DECEMBER 4, 1995 Motorists would also need to purchase a transponder, a three inch by three inch box, and mount it in their vehicle. Each time the vehicle passed a toll reader on the road, the necessary information would be read by the Revenue Management System without requiring the driver to stop. The toll rate would then be billed to the drivers account. The cost of the transponder would range from $20 to $30. Any vehicle not traveling a toll road enough to warrant the purchase of a transponder would have an image of their vehicle taken by the toll reader and saved for toll collection later. What would happen if the tolls did not pay for the roads? According to Zauner, "It would be the investors' problem." PROJECT GOALS: Benefits, as mentioned by the development group, include: improved safety, reduced congestion, ramp meter bypass lanes (for a fee), and reduced pollution. TOLL RFP TIMELINE: July 26, 1995- MnDOT issued RFP November 22, 1995- Initial proposals were due February 29, 1996- Community support proposals due May 10, 1996- Commissioner approves proposals and the thirty day veto period starts COMMUNITY INVOLVEMENT: The Minnesota Transportation Group has until February 29, 1996 to win community support for the proposed Highway 160 project before MnDOT will give serious consideration. Due to state law giving city councils veto power over toll projects, an early municipal veto would be likely to "knock the proposal out of consideration." Attached are informational articles, a letter from Robert Zauner, and an opposition stance from the North Metro Mayors Association (dated November 28, 1990). Sarah Nelson, of the North Metro Mayors states that 3/4 of the construction has already been funded; the only section of highway without funding is from 169 to 94. The 610 Crossing Coalition also opposes the proposed road toll for various reasons. I will keep Council updated on what is happening with the proposed toll on Highway 610. If you would like to speak will Robert Zauner directly, he can be reached at 858-9410. MnDOT's contact person is Bob Winter, who can be reached at 582-1357. - . . • TRAN OMAR"' Building Partnerships For Better TYansportation ilcet TRANSMART TOLL FACILITY PROPOSED PROJECT PROJECT NAME AND LOCATION: Trunk Highway 610 "North Cross-Town Parkway" PROJECT DESCRIPTION: Completion of TH 610 corridor between I-35W and I-94 as a four lane tollway, including a new bridge across the Mississippi River. PROPOSED-PROJECT—GOA-LS:—The-benefits-include-improved safet3,re-duce!congestion, ramp meter bypass lanes (for a fee), and reduced pollution. PHYSICALLY AFFECTED COMMUNITIES: Maple Grove, Brooklyn Park, Coon Rapids, Blaine, Spring Lake Park, and Osseo. PROJECT COST: $281 million PROPOSED FINANCING METHOD: Revenue bonds, public funds PROPOSED TOLL CHARGES: Variable with average of$1.65 for the entire corridor in year 2000. MAP ATTACHED COMMUNITY INVOLVEMENT REQUIREMENTS: Phase II of the TRANSMART process requires proposers to conduct a community involvement process that must be completed before February 29, 1996. PROPOSAL TEAM: Minnesota Transportation Group (MTG) PROPOSAL TEAM CONTACT PERSON: RobertZauner, Hughs Transportation Management Systems, Riverview Office Tower, 8009 34th Ave. S., Minneapolis, Minnesota 55425 Phone: (612)858-9410, 1-(800) 949-4610 • November 22, 1995 Office Of Alternative Transportation Financing (rs) 70' J cnn• nni cr . 7T cG 07 Annl TOT('_ JG J _7Tn 171 An einrthiM TRANSPORTATION r-Fzi=---Ni A Publication from the Minnesota Transportation Group on Important Issues November 1995 MNDOT ISSUES RFP FOR TOLL FACILITIES operators are also required to obtain Recognizing budget shortfalls, the Congestion pricing is paying for a the same environmental, navigational, Minnesota Department of space to travel on a road based on its design and safety approvals as Transportation (MNDOT) recently value at any given point in time. It is MNDOT would have to obtain if it were requested proposals from private similar to peak periods pricing and developing and operating the facilities. sector entities interested in developing would charge or increase a fee during and operating-toll-facilities in the state—heavily-traveled-periods. Firia1ly, the RFP emphasizes that of Minnesota. The bottom line behind every proposal must have local public the RFP according to Transportation Congestion pricing is considered a support. Every private sector entity Commissioner Jim Denn, "There are very effective demand management bidding for contracts will need to needed projects that won't be built tool by transportation experts, because communicate information about the toll unless we find new ways to fund charging more at rush hours causes projects to the surrounding them." many commuters to rethink how and communities. when they travel. In addition to The RFP highlights the fact that generating revenue for transportation w TOLL RFP IMELI E, congestion on Minnesota highways needs, congestion pricing reduces continues to increase along with congestion, increases safety and 7/26/95 -MNDOT,sues RFP x demand for improved roads,while decreases commuter travel time. t :, _ 6` traditional funding will not be e able to keeppace in the verynear Anytoll facility11/22/95 1`rtiop oposats�due* i proposed by the private �, F 4 x0 future. In the RFP, MNDOT states sector must meet MNDOT's standard �s _ �� tr.... 2/29/96 s, - . that public-private initiatives may be for design and construction. Private proposals due able to address the funding and sector proposals must contract with -ocramrssrcraerapprav development challenges more public agencies to provide for ki osa' d efficiently than public agencies alone. maintenance, snow removal and 5/10/96 _ - �eAod3sta w police services which meet or exceed 4 e . The RFP allows interested parties in MNDOT's standards. Private �> ,.-::-K .,...,..-,,..-.,-,:;,:-.4,,.,.:-.'4....- ---,,,, ...,.1 s a ,_ ;,. the private sector to be creative in their proposals and choose any Minnesota bridge, causeway, tunnel, road, street, WHAT OTHERS ARE SAYING highway, parking garagz, ;srmoda! --– ---- --- — _----- facility, and intelligent transportation " ith a ',20 bil ion shortfall a year in transportation infrastructure investment, I call system as a potential toll facility. on all governors to follow Virginia's leadership in this investment. [The Dulles MNDOT also leaves the door open for Greenway toll facility] a congestion pricing proposal. Federico Pena,Transportation Secretary, remarks about Virginia's tollroad "We have a brand new toll road in Atlanta which is going very well. It has What is"Transportation Trends"? dramatically increased people going downtown by making it easier to get in. Transportation Trends" is a periodic update People pay their 50 cents, they don't even worry about it. I mean it is automatic about current transportation issues, new -people are happy that they save forty minutes...I've not heard any complaints transportation technologies, demand about it." Newt Gingrich, Speaker of the US House of Representatives management innovations and alternative financing possibilities. "Transportation "The Minnesota Legislature should be given credit-along with(MNDOT)-for Trends" is prepared by a coalition of being innovative in exploring a number of unconventional options for generating Minnesota-based companies called the new revenues to meet Minnesota's transportation infrastructure needs, including Minnesota Transportation Group(MNTG) publicly and privately financed toll roads." which includes Hughes Aircraft Company, Fred J. Corrigan, Executive Director, Minnesota Transportation Alliance C.S. McCrossan, HDR, Norwest Investment Services, Dain Bosworth, Miller and "Without tolls and private partnerships to assume construction and operating risks Schroeder Financial, Piper Jaffray, BRW (Washington state) will not be able to fund the comprehensive transportation and and Faegre & Benson. environmental improvements needed to fix its growing mobility problems." Sid Morrison, DOT Secretary,Washington State The Dulles Greenway, Loudoun County Virginia The Dulles Greenway, the first private toll road to be built in over a century, was opened to ITtraffic on .`�.cptE:�.h.,Er�✓, i.: J and � ., �� The h` iS expec,ted carry 63,000 cais a day by year o rr en;,;a„ , ,s 1 rrge {o�,r_ianA h;.�,,. 2000. DID YOU KNOW. and Leesburg, VA, which is about 35 miles northwest of the Washington Monument. At least$6.5 billion is needed The Greenway was built to give drivers the opportunity to avoid the 23 stop lights along to preserve, manage and the heavily congested alternatives. Drivers of the Greenway save 10-20 minutes in expand Minnesota's current travel time depending on the time of day. transportation system to meet Motorists will be able to drive to Washington DC without stopping for a traffic light or toll demand within the next 20 booth. The booths equipped with automatic vehicle identification system will allow drivers years. Only, $3.3 billion can be to pass through tolls at speeds up to 45 miles per hour.A transponder the size of a raised by traditional funding. garage door opener, will signal a transaction as the vehicle approaches the toll station. Twin Cities travel is expected The toll is automatically deducted from the driver's account without any hassle for the to increase by 50% over the driver. next 20-years. Virginia's transportation shortfall of several billion dollars had lawmakers embracing the Minnesota's 20 cent gas tax private toll road which cost$326 million to build. Accordin._to_state_legislation,the4nvestors loses _peniy in-value-per year can opera e t e road for 42.5 years from the time it opens, after which it will become the to inflation. state's property. The idea is that investorg'get a set amount of time to recoup their investment and can earn a reasonable profit, and Virginians get a new highway financed Between 1970 and 1992,the by users of the new highway, number of miles of Twin Cities freeway experiencing Loudoun County, home of the Greenway, has been hurt by a slowdown in commercial severe traffic congestion development and hopes thatthe toll road will draw more businesses to the area and help quadrupled from 24 miles to revitalize the local economy. Hundreds of would-be developers have been scouting the 106 miles. If nothing is done area since the toll road was first propos I. The Mobil Land Development Company to increase the people announced in March that it had enterer_ into a 50-50 partnership with the Van Metre moving capacity, the Organization, a Northern Virginia builder-developer, to build a 1,500-acre community that number of miles will be the first to use the Greenway as its principal gateway. The project is zoned for experiencing severe 3,883 dwelling units, 3.6 million square %et of office space and 475,00 square feet of congestion will nearly retail space, double to 200 miles by the year 2015. 'Ai she ribbon cutting ceremony for the Dulles Greenway, Secretary of Transportation �. Federico Pena lauded the ingenuity of Virginia for allowing private enterprise to build public __ infrastructure. Secretary Penia said, "A bold project. Friendly to the environment. Friendly ., to the driver. A good investor ent-forthe-investor. A.model that I hope will be used again and again throughout the country. - - �' ,... itsvirrr lliilil��l�ll�al�ll�i�l�l��lli��llr���l�l��l�l�l 9' 1_.kt.t ZT -ZL LSS NW 'Mala spunoW 01. Ae' 11!H L0fZ Malty spunoW • ounpO e3uewes L£t99 NW `uoi.6uiw001E OL# PAIS elapueuaaoN 009 • dnoae uoplaodsuwl alosauuw EDINBROOK CROSSING TEL :612-424-1174 Nov 29 '95 15 :51 No .024 P .02 Thursday > ••, NOVEMBER 23, 1995 ` ,� ;,1 t4ibsr • • i1''"I , ., :,AY,'rY74rPt' ."*",`,i. "7+0.0.11 'ii '9411117.'t , r.1-1 y •, ,• m s propose Highways with a price Ir.Te. bum PtNete devetopere are proposing Ave tokoad -- projects h Minnesota—caller new highways or ■ • • . tpgredes of existing ones Tolls could be collected without toll booths:Overhead sensors Would building record usage from transponders in motorists': ' /1.-,.... Cro,d ive. sett,Melaka would gat 9 montlNy bIL . • 3 ` ' co Mtvy.High: Contdor / Twttgles • © ,�MINNESOTA' Coat Atoroxrnetely.$220 rnittort. ■ • Plepossd folk 254 to SL � o ' tom. � w• f",71 .. . _. r�,t��7, , i11%.- .�a • .cost Aplxoxlmatay$266 mean. I ' Publ • Ropes PRP:Varlble 65*for entire tengtt ; ' „f-.4.',.•—. to is key • to whether try " C,Crosstown" „ ` f t + o $281 ration •firm s' projectsget bzlt :��> s165;a emt8 11111.1.1111V Crl ..: A:ITAZV/11 a' " oetoT. 'a By Laurie Stake spenders the size of a garage door ' ©Wakota Gateway(1494 bridge +� Star Tribune Staff Writer • , opener,end they would have to Coat: j "? SaDn Co Approvlmatety$1�1'rr4-n. establish an account with the , Proposed torr:Vwipbig about 90R • Five toil road projects—four toll•road operator. Each tithe a'' ' ".• • . What comes next in the Twin Cities area end one car entered the toll road, the .. Duluth to NMtntii0g Truck Tel Bestway !'t°""'ndlfeb.199tx Cornmunitr irywl on oreoosals • • stretching nearly 400 miles be- . transponder would trip an over- 0 lose ARNoximetay41323 billion p May 199&Transportation commissioner selects droiacts to be tween Duluth and Winnipeg— head receiver,and the motorist's.' • •... Aopo�d tdh 1.Z es{as leer ten per.mi . >Octa1996•Nou 199ec CommunIess approve or veto projects, were proposed Wednesday by account would be billed. . • '.' ' 'It year UR'. • three private groups responding •, • But even if the hi '-tech toll • to a state plea for help in Roane- •collection methods alkwed traffic• r,. • -- _ ing road improvements. • • to flow freely, toil roads•would'•Y One, 'Managed by Intervista .Transportation Group, Is led by pletlon of Hwy.610 through With tolls ranging from 25 mean that drivers would•have pay Management,Group'from Pltoe- Hughes Aircraft Co.and includes northern suburbs. cents to 51.85 per trip,the ques-• •to use highways that.now are . nix,has•teamed up:With the 212'1 road•builder C.S.McCrossan,the to, A third group,led by Trans tion now is whether the public; free.And there would be•no easy '.Community HighweyAssociatlon.• 'city of Maple Grove and several talion Industries internation will accept them, detours around the metropolitan• on a reconetrtictioh,of Hwy.212. Twin Cities financial firms'in- Washington,D.C.,is proposir The roads would not be dotted area toll projects. .•• •. Membership..of•the'community 'eluding Norwest Investment Ser- build a Duluth:to-Winnipeg t with toll booths. Rather. fees. • .The proposals, which would,,highway association Includes the vices Inc.and Mliter.aud'Selt'roe- toll highway. would be collected via new tech- provide about$2 WWon worth of,.. mayors,of•.Chaska'and Chan.•• der Financial. This group pro- , nology,Motdrisca would have to road improvements, ware made','.hassen:' r'' ' ,•.;(p. •. • ••• poses two expansion projects on • equip their cars with radio nun-. by three private groups: ' n' A second. • the ?Minnesota Interstate Hwy.494 and the cora- Turn to TOLL ROADS on A i la . ;ice PAGE AIS•STAR TRIBUNE. • . . THURSDAY,NOVEMBER 23.1995 TOLL ROADS from Al • would receive the tolls paid by showcase its toll technology here, T motorists.Based on toil roads in state officials said. New technology not booths t • other staff,the projttcts typically • 'These are the road Improve- I > > provide a return on investment of ments proposed to be financed • between 17 and 23 percent, ac- with tails: would be used to collect.tolls cording to Robert Zauner of Hughes'Transportation Manage- > A new Hwy. 212 through ilex A The three groups have until with a state law enacted earlier ment Systems.Minneapolis. southwestern suburbs.. Feb. 29 to win community sup- this year which requires transpor• Complete details ofeach pro. > A widening of 1.494 In the t port for their projects before elle tenon officials to consider alter- poses were unavailable Wednes- southwestern suburbs, plus the Transportation Department will native financing for all projects. day,but some public money also construction of a carpool-btu I give them serious consideration. .costing more.than$10 million. would he involved in each proj- lane. Because state law gives city . Highways traditionally have act.The greater the public invest- > The compaction of the north- councils veto power over to been built with state taxes on meat,the lower the toils,Zauner ern crosstown along IIwy. 610 projects,an early municipal veto gasoline and new motor vehicles, said. through the northern metro cum- � Is likely to knock the proposal out Along with federal assistance.But Zauner said his group believes' mashies.including a new bridge i of consideration, said Adel 1arl, these funding sources are not It will find public support for its over the Mississippi River. the department's director of al- keeping tip with the demand for proposals or It would not have > A new Wakota Bridge across tentative financing i.,• road Improvements and now the Invested the money necessary to the Mississippi River on 1-494 in i However,even if there is initial department says there are more make them. the auburba southwest of St.Paul. community support for the poll- than $5 billion worth of road Zauner said he sees the toll a• Toll truck lanes in northern r ewe and the department selects projects across the slate that lack projects as a business opportuttl• Minnesota along Hwy. 2 from several for serious contract nego- funding, ty because government invest- Duluth.to Crookston and a new (lotions, the communities will Transportation officials began mont in roads is shrinking while truck highway north of Crookston j have a final 30.day period be- exploring privately financed toll tits need fur better highways.Is to Winnipeg. tween October and November • roads as a way toilet more money growing. In addition, Hughes 1996 during,which they could for road construction. makes one model of the radio ' veto the projects before contracts As envisioned, private firms transponders that would he used are signed. . would contribute some equity for electronic toll collection,and The department called for toll and also would burrow mom?,to acceptance of their projects ' ,,.,,,,,,a•l.t,. T„I„ r., ,,..,ll.. a l.,,n.•,t.e ..,o .. •rr_n,......,_.. ..._..0 -n,.._. .,.- __.._ _.. ,.. w Mt— � � ° `.< E"isr� arc e, � Hm•°"R. •m yD-m- � m �� � o t�,., p r7:,3 OcGo � *k OPi nm< 02p0 CC 'Q.m'O O er 5 o O ' 0 n3 " • 0' m o0' ''' o — • _ e- ommC C ^ ny0C w0omooCCffD G Vm ►! E9.CIO Oo . • • D m ce+• e•- .. . : ey- •. D J J . o m •O y -* rD~G ^ Dr6iO Q. 1.0m � 0 C � n ^ < Gf • /L +.-- `` O v : •za � . • eUHF zK5oC0 _4 yem 0CoC m . ` CD •' oA `°:C 1p, Hb .,q0� �m 0 p co b .m m --5" s'-' C01 m�� 0 ;4-e4 ...0 , 53° 9' 00 °-0 C '1 m m btvm xmr,rtti 0''7. 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(1)--O • so m � c (c, ..., . ...DCD mmOCD • 0o' -. D (D 0 Fa a al ---. fo m G k c.C .oc "J -a , , ti °' (o cmD '� c c (° r'�` ■ ra CD `�, s O. e (02... 5• 01.... CA KO ■ . - CD co7,7 aci M 03 5 C 0 co C.,g, ."g C �� ■ i O .... • C. c.a m v m R m cD ,,, co C O,m N� . < = 3 CD CO m a.o � m g is (� < 3 ; D3 �e m co cR •CD _ _ .-s 0 0 ? O p m< c = Cl < ■■� m CD O SU o 3' C O 0 m m t--..c) a c r. < "r r. Cr c ^P a < cn 7C 3 .CA Al (agcD "Cc oc �'c� �+ D 03 0 = aa° a c�j�im co �oma� c3 `< mmrmX � _ 00 0 C _ n co .. 'p a •5Co ,,m m 0c L.O4yO m D r' O Z (DC (D CicD o 3 mJQ ' 1'.'• :1) to m 0(D Do hro m in a n> c (n. acOemst (Dm ,m ,: -,-s , < DEN m P T - CDi O 0 ccmo 5 o . a0)oCD •, 'ITA TRL%'NAIQTATIIPe GII•f P November 22, 1995 Councilmember Julie Trude % w City of Mounds View 2401 Highway 10 Mounds View, MN 55112 ,„g/ "ms.uir�. ; ,' RTATION Dea -Counci-lmember-Tnid-e: �%•J fid :1f .': .n-- ENT SYSTEMS '11Z.ZZy ' ffii "#..•°�._ySSAN, INC The Minnesota Transportation Group (MTG), a Minnesota-based team of transportation andtechnology firms, i <<:; <� : =�NST7iUCT70N ps proposing to complete -� =•`•`�>:>.>:.;w::; construction of Highway 610 as a four-lane highway from I-94 over • :�h•;.• h�.'�'fi..�"Q�:•MANY WONSIMO the Mississippi River to I-35W in Anoka County. Working in a i. ERING, INC. public/private partnership with the Minnesota Department of Transportation (Mn/DOT), the MTG proposes to complete the 610 North Crosstown within four ?r< .NWESTINENT years. ICES We believe this proposal would provide several benefits to the :4•v:i%4rirti)5:;4`?yi;ri::iiri-::ji $= 400RTH community. Principal among them is completion - finally- of this "-piagettile < {s cr♦ROE�ER important road slowed by scarce public funds. Completion will VANCIAz increase safety and improve traffic flow while offering the potential for aiog `''r'''°#':<wr g'- community investment grants. izeiMisrAr tiwitlitVE weam. $ENsoN The MTG will appreciate the opportunity to work with you and the '< $ ER community to shape the proposal as it moves forward so that it maximizes benefits to the community and meets your concerns. %FIs; z :> < ICES INC. • `} •• The:elements of the proposal include: µ Z • The 610 North Crosstown would provide a complete, * i . continuous link approximately 16 miles long between I-94 .Gi!1,svi N v*L4 and I-35W north of, and parallel to, I-694. It would include interchanges to provide access and a second EVg5IFIMi bridge over the Mississippi River. • Since public funding for completion of the road is scarce, the MTG would privately finance the cost of completing the 610 North Crosstown in a public/private partnership with the state. Riverview Office Tower 8009 34th Av. S. Minneapolis, MN 55425 612-85&9410 • An electronic toll collection system would be installed along the 610 North Crosstown to collect a small fee. The fee collected would be dedicated to repay the cost of its construction, not the construction of another project. • Utilizing state of the art technology, drivers would not have to slow down or stop at a toll booth when using the roadllather,-travelers coupe billed for their usage on a monthly basis. • The 610 North Crosstown could be completed within four years and would be constructed and maintained in accordance with the highest quality standards. The 610 North Crosstown would provide several benefits to the community: • Improved Highway Safety due to smooth traffic flows. • Possible Community Investment Grants to help the community meet its financial needs. • The Toll Is Dedicated To Completing The 610 Crosstown, not to other highway projects. • Less Air Pollution in the area due to improved traffic flow. The proposal is being submitted to Mn/DOT on Wednesday, November 22. The Commissioner of Mn/DOT, James Denn, is expected to approve proposals for negotiation of development agreements with the community by May 10, 1996. Cities and counties can veto proposals after development agreements are negotiated. If you have any questions regarding the project, don't hesitate to call me at 858-9410. I look forward to working with you to put together a project that you and your community will enjoy and prosper from for years to come. Thank you. Sincerely, n Rte % Robert Zauner Minnesota Transportation Group m1:0075655.01 • -3- EDINBROOK CROSSING TEL :612-424-1174 Nov 29 '95 15 :52 No .024 P .03 NORTH METRO MAYORS ASSOCIATION 017,4 /985 FOR MORE INFORMATION CONTACT: JOSEPH D. STRAUSS EXECUTIVE DIRECTOR NORTH METRO MAYORS ASSOCIATION 612/493-5115 FOR IMMEDIATE RELEASE NOVEMBER 28, 1990 NORTHERN COMMUNITIES OPPOSE TOLL ROAD ISSUE The Mayors of Maple Grove, Brooklyn Park, Blaine, Coon Rapids, Spring Lake Park and Anoka County Commissioners have been joined by the North Metro Mayors Associations in opposing the 16 mile toll road proposed last week by the Minnesota Tollway Authority, Inc. The following joint statement was released today by Mayor Elwyn Tinklenberg of Blaine, President of the North Metro Mayors Association. "While the Mayors and Anoka County Commissioners generally support the concept of innovative public/private ventures to construct and operate transportation facilities, they believe that this proposal skims the cream off an already in-place and programmed highway project." "Our communities have waited some 30 years for TH 10 and TH 610 to work its way through various stages of governmental approval. Both projects have now been identified as high priorities for design and construction, with funding committed for TH 10. The need for TH 10 and TH 610 Crosstown is great. It addresses a continuing east-west access problem for our communities. TH 10 and TH 610 needs to be built. It is the highest transportation priority for the communities of the North Metro area. It should , be built as part of the total metropolitan transportation system. But not as a toll road." 'We are particularly disappointed that the proponents of this idea never bothered to come to the communities directly affected by this proposal. They just simply announced one day that construction of a toll road would begin in the fall of 1991. Their approach to this proposal is presumptuous, and demonstrates a complete misunderstanding of what the public's reaction would be." 8525 Edinbrook Crossing. Suite 5. Brooklyn Park. Mnnesota 55443 Telephone 612-493-5115 FAX 612-124-1174 EDINBROOK CROSSING TEL :612-424-1174 Nov 29 '95 15 :53 No .024 P .04 'This proposal is unfair to the communities of the North Metro area as major portions of this proposed project have already been paid for in terms of right-away-acquisition, environmental impact statement work, design and initial construction." 'We will not permit outsiders to determine the fate of our communities' transportation system. Our voices will be singly focused: TH 10 and TH 61O Crosstown will not be a toll roadl" The following communities comprise the North Metro Mayors Association (NMMA): Anoka, Blaine, Brooklyn Center, Brooklyn Park, Centerville, Champlin, Columbia-Heights, Coon Rapids,-Crystal,_Dayton,Pridley, no_.akes, Minneapolis, New Brighton, New Hope, Ramsey, Robbinsdale, Spring Lake Park -30- Memorandum To: City Council Fm: Julie Trude representing the Ped. Bridge Interview Panel Date: April 26, 1995 -resubmitted for Dec. '95 work session Re: Pedestrian Bridge Task Force All of the engineering/design firms recommended the city appoint a citizen task_force tolielp determine the needs & desires of.otential users of the .edestrian bridge. The engineering contract provides for three task force meetings to accomplish this goal and one city council presentation. The interview committee discussed the potential diversity that would help create a functional design that encourages use and serves as a focal point in our city's center. With these factors in mind, Cathy Bennett, Mary Saarion and I have met and discussed groups and users that should be represented on this task force. We propose the following persons be appointed to the Pedestrian Bridge Task Force as representatives of the listed groups or users: Mounds View Square - John Streeter, Construction Mgr., Paster Enterprises Hwy. 10 Task Force; Parks & Rec. Comm. -Pam Starr Marketing Task Force (& family biker) -Debbie Oman Daycare provider (stroller user/mother Edgewood student) -Kathy Schwalbe Wildwood Manor/wheelchair user - George & Florence Johnson Irondale student who bikes, roller blades, playground leader-Angie Winkel Trailway Advocacy Group -Linka Holey or Tom Field (dep. on availability) Planning Comm. (& MNDOT employee) -Marshal Johnston Staff Representative -Mary Saarion Council Liaison - Julie Trude Addendum: Since the time this memo was prepared I would also like to ask Suzy Kaiser to recommend one or two middle school students. The Edgewood staff has been very concerned that several of their students have been hit crossing the Hwy. Making sure the bridge is enticing to this age group is very important. \ki o- v ,, tD (Do n) I.0 L . • rt kA H r_ p F-,-ft ......------1"""'''''"''. "''""""""""""Imemi____ J. %� N (D M a I O (DK rt f it rt d CD . A tr b' ,b rt 1111111111 w W a h o c 0 rt K 'Io c•b OCDrt rt O O t+. (D = 0, Q Ill ! ' b rt ID D D • D C H = AaO H fu pi O till iii'I) OO I D H0=D(D ~� • 0 •ii • k4 Q.CDi b- :48 D ViII > )4 t a N.MDe = �. rtN z. 1111,111 my ,� b tq 0 (D 0 ,-rz 11b a►0i O h 4 It CITY OF REQUEST FOR COUNCIL CONSIDERATIONIlly, Agenda Section: 13. i. , STAFF REPORT Report Number: Q5-154.6W UiEW 1 • • AGENDA SESSION DATE December 4, 1995 Report Date: 11 30 95 DISPOSITION Item Description: Consideration of 1995 Budget Rollovers Administrator's Review/Recommendation: - No comments to supplement this reportfile/ - Comments attached. Explanation/Summary (attach supplement sheets as necessary.) SUMMARY; Staff has identified a number of items which were included in the 1995 Budget which could not be purchased in 1995. Attached please find copies of staff memos describing the accounts affected and the rationale for adding them to the 1996 Budget. i . 4,e- �.) Mary E.� 'arek, Interim Finance C ordifiator / RECOMMENDATION; MEMO TO: MARY TATAREK, FINANCE COORDINATOR FROM: MARY SAARION, DIRECTOR PARKS, RECREATION AND FORESTRY DATE: NOVEMBER 29, 1995 SUBJECT: FUND ROLLOVERS - 1995 TO 1996 Please include the following in the resolution allowing the roller of 1995 funds to 1996. $31,000.00 from Parkland Acquisition Account #100-4362-703 These monies were budgeted for the purchase of property next to Groveland Park but but are unable to be used in 1995 because of delays in documentation from Ramsey County. We anticipate rolling over unused 1995 funds from the Bridges Golf Course into 1996. I will provide you with these amounts at a later date. MEMO TO: MARY TATAREK, FINANCE COORDINATOR FROM: DAWN POSTUDENSEK, ADMINISTRATION DATE: NOVEMBER 30, 1995 • SUBJECT: FUND ROLLOVERS 1995 TO 1996 Please include the following in the resolution allowing the roll of 1995 funds to 1996, if available. Up to $1,572.01 from Administration Training Account#100-4130-363000 Due to the change of City software, additional training will be required in 1996 that was unanticipated during the origination of the 1996 budget. MEMORANDUM TO: MARY TATAREK, INTERIM FINANCE COORDINATOR FROM: JOYCE PRUITT,PLANNING ASSOCIATF.9 DATE: November 29, 1995 `�� SUBJECT: FUND ROLLOVERS - 1995 TO 1996 Please include the following in the resolution allowing the rollover of 1995 funds to 1996. $2000 from account 100-4187-703 to account 100-4187-703 These monies were budgeted for the purchase of Building Inspection software ($2000). Staff has found that the Planning Associate, Building Inspector and Secretary are often times working on projects which require the sharing of information. Staff has explored several software packages, but have found either they do not include all desirable options, or the cost for the software is higher than we anticipated. Staff would like to further explore additional software packages which incorporate both Building and Code Enforcement information in one system. MEMORANDUM DATE: November 29, 1995 TO: Mary Tatarek, Interim Finance Coordinator From: Cathy Bennett, Economic Development Coordinator RE: Rollover Requests for 1996 • The following is a summaryof the_rollover reguests_fr_onzthe Fconomic Develnpment_Progr. for 1995 into the Economic Development Program Budget for 1996. Economic Development- Marketing: $1,770 from Account No. 100-4550-342, Advertisements These remaining funds in this account include the balance of the NSP Grant that is to be used to assist in funding Mounds View's 1995/96 Marketing Program. The banners have already been expended out of this account in 1995 but the remainder needs to be rolled into 1996 since the funds are to be used exclusively for the program. It is anticipated that the remaining funds will be used for various marketing activities in 1996 such as the"Buy Mounds View First" Program and a Mounds View Monument Sign. $1,150.00 from Account No. 100-4550-343, Printing These funds were designated for the printing of a Business Directory in 1995. We have not completed the production of the directory since an advertising policy for both the directory and Mounds View's newsletter needs to be evaluated at the Council level. Although we anticipate that a majority of the costs will be absorbed by advertising, we still need funds available in case the solicitation of advertising does not cover the total costs of design,production,printing and mailing. It is anticipated that an advertising policy will be presented to the Council in January with the directory produced this winter. Economic Development-Business Retention& Development: $2,000 from Account No. 100-4530-303, Other Professional Services The funds in this account are for professional services relating to Mounds View's business retention and development efforts. There is a balance in this account since the City did not decided to participate in some of the follow-up surveys of the Business Retention and Development Commission(RDC) in 1995. Rolling these funds over to 1996 would allow us to participate in RDC's 1996 work plan efforts as discussed at the December work session. J.. MEMO To: Paul Harrington, Interim City Administrator From: Michele J. Severson Subject: List of City Council Housekeeping Items Date: December 4, 1995 Listed below are the housekeeping items that are usually taken care of at the last meeting of the year or the first meeting of the new year. Resolution Appointing Official Newspapers Acting Mayor and Official Depository for 1996 (sample Resolution No. 4699 attached) Official Newspaper: Primary: Secondary: St. Paul Pioneer Press Acting Mayor: Primary Depositories: Resolution Appointing City Councilmembers and Clerk-Administrator as Representatives for City Commissions and Other Organizations (sample Resolution No. 4700 attached) 1. Planning Commission - Alternate: 2. Parks and Recreation Commission: Alternate: 3. Cable Commission: 4. EDA: Alternate: 5. Community Connections Committee: Alternate: 6. Ramsey County League of Local Government: Alternate: Paul Harrington, Interim City Administrator Page 2 December 4, 1995 7. Association of Metropolitan Municipalities: Alternate: • 8. Spring Lake Park/Blaine/Mounds View Firemen's Relief Association: Alternate: 9. Mounds View Business Association: Alternate: 10. Northwest Youth and Family Services: Altlernate: 11. League of Minnesota Cities: Alternate: Resolution Rescheduling City Council Meetings Falling on Legal Holidays (Resolution No. 4688 is attached as a sample resolution) New dates are attached. Resolution Reappointing Commission Members for Three Year Terms Expiring December 31,. 1997 (sample Resolution No. 4698 attached -terms would expire in 1998) Planning Commission: JoAnn Colleen Parks, Recreation and Forestry Commission One vacancy- no terms expiring. Police Civil Service Commission RESOLUTION NO. 4699 CITY OF MOUNDS VIEW COUNTY OF RAMSEY STATE OF MINNESOTA RESOLUTION APPOINTING OFFICIAL NEWSPAPER, ACTING MAYOR AND OFFICIAL DEPOSITORY FOR 1995 WHEREAS, it is the policy of the City of Mounds View to appoint the official newspaper, Acting Mayor and Official Depository at its Annual Meeting each year; and WHEREAS, it is the desire of the Mounds View City Council to confirm these appointments for 1995 . NOW, THEREFORE, BE IT RESOLVED the the City Council of the City of Mounds View hereby appoints the following: Official Newspaper: Primary: Bulletin Secondary: St. Paul Pioneer Press Acting Mayor - Phyllis Blanchard Primary Depository for checking accounts, savings accounts, and investments: Western Bank Secondary Depositories : • First Bank Systems Investment Services • Norwest Bank Minnesota ▪ American National Bank St. Paul • Offerman and Company, Inc . ▪ Merrill, Lunch, Fenner and Smith, Inc . • Dain, Bosworth, Inc . . Citicorp/City Bank ▪ Dean Writter Reyondls, Inc . • TCF Banks • Piper Jaffray, Inc. • Paine, Webber and Company, Inc. • Prudential Securities, Inc . • Prime Vest Financial Services, Inc . • Smith, Barney, Shearson Adopted this 9th • - • : Januar , 1995 . ATTEST: `—'� yor (SEAL) ' y A inist for RESOLUTION NO. 4700 CITY OF MOUNDS VIEW COUNTY OF RAMSEY STATE OF MINNESOTA RESOLUTION APPOINTING CITY COUNCILMEMBERS AND CLERK-ADMINISTRATOR AS REPRESENTATIVES FOR CITY COMMISSIONS AND OTHER ORGANIZATIONS WHEREAS, members of the City Council act as representatives to City Commissions and other organizations; and WHEREAS, the following members of the City Council have been named to act as representatives to the following City Commissions/Task Force for the year 1995: 1. Planning Commission - Julie Trude Alternate - Phyllis Blanchard 2 . Parks and Recreation Commission - Gary Quick Alternate - Julie Trude 3 . Golf Course Task Force - Gary Quick Phyllis Blanchard 4 . Cable Commission - Jerry Linke WHEREAS, the following members of the City Council and the Clerk-Administrator have been named to act as representatives of the City to the following organizations for the year 1995: 1. Ramsey County League of Local Government - Jerry Linke Alternate - Julie Trude 2 . Association of Metropolitan Municipalities- Jerry Linke Alternate - Sue Hankner 3 . Spring Lake Park/Blaine/Mounds View Firemen's Relief Association - Phyllis Blanchard Alternate - Samantha Orduno 4 . Mounds View Business Association - Phyllis Blanchard Alternate - Samantha Orduno 5 . Northwest Youth and Family Services - Julie Trude Alternate - Sue Hankner 6 . League of Minnesota Cities - Samantha Orduno Julie Trude RESOLUTION NO. 4700 PAGE TWO OF TWO NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Mounds View that the aforementioned appointments are hereby approved. Adopted this 9th day of January, 1995 . ATTEST: — Mayor (SEAL) A 4.41 Cit Administratar fie, °✓ RESOLUTION NO. 4688 Ci - c,`, 0'4 COUNTY OF MOUNDS VIEW bCOUNTY OF RAMSEY �-o STATE OF MINNESOTA RESOLUTION RESCHEDULING CITY COUNCIL MEETINGS FALLING ON LEGAL HOLIDAYS WHEREAS, Chaptereu1 of the Municipal Code provides for regular meetings of the Mounds View City Council to 7cur on the second and fourth Mondays of each months; and WHEREAS, Chapter of the Municipal Code states that agenda meetings of the Mounds-View-City-Council-ma eld- n-the-first and-third Mondays-of each-month; and WHEREAS, certain Mondays in 199,`are dates recognized as legal holidays, thus prohibiting an official meeting of the Mounds View City Council; and WHEREAS, it is the desire of the Mounds View City Council to reschedule those meetings in conflict with legal holidays; and WHEREAS, it is the desire of the Mounds View City Council to reschedule meetings which may represent schedule conflicts. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Mounds View that the following meeting dates are rescheduled as shown: BE IT FURTHER RESOLVED that the City Council of the City of Mounds View does hereby set the meeting schedule for 1995 as indicated inthe Attached Exhibit A, noting that changes in the schedule may take place during the year through amendments to this resolution. Original Date Rescheduled Date March 20 September 4 September 5 September 25 September 26 December 26 December 19 Adopted this 12th day %f December 1994. ATTEST: _ _ _` — Mayor (SEAL) c'LGit, r �, City Administrator 105.02 105.04 Subd. 2. Appointment Of Officers, Employees And Agents': The Council may appoint such officers, employees and agents for the Municipality as may be deemed necessary for the proper management and operation of Municipal affairs. The Council may prescribe the duties and fix the compensation of all officers, both appointive and elective, employees and agents, when not otherwise prescribed by law. The Council may, except as otherwise provided, remove any appointive officer or employee when, in its judgment, the public welfare will be promoted by the removal. Such power of removal is subject to veterans' preference and civil service laws that may be applicable. (1988 Code §2.12) 105.03: COMPENSATION2: Subd. 1. Mayor's Compensation: The salary of the Mayor is fixed at five thousand one hundred dollars ($5,100.00) per year. Subd. 2. Councilmembers' Salaries: The salary of the Councilmembers is fixed at four thousand five hundred dollars ($4,500.00) per year. (Ord. 527, 7-26-93) Subd. 3. Method Of Payment: Said compensation shall be paid monthly. (1988 Code §2.09) 105.04: MEETINGS': Subd. 1. Regular Meetings: Regular meetings of the Council shall be held on the second and fourth Mondays of each month at seven o'clock (7:00) P.M. at the Municipal Hall. If any such Monday is a legal holiday or Christmas or New Year's Eve, the meeting will be cancelled or held on another date and time as established by Council action. (1988 Code §2.01) Subd. 2. Special Meetings: Special meetings may be called by the Mayor or by any two (2) members of the Council by a written notice filed with the Clerk-Administrator who shall notify members of the time and place of meeting at least twenty four (24) hours before the meeting. (1988 Code §2.02) Subd. 3. Agenda Meetings: Agenda meetings of the Council may be held on the first and third Mondays of each month at a time set by Council resolution at the City Hall. The purpose of the meeting(s) is to discuss and prepare 1. See Section 106.01 of this Title for conflict of interest provisions. 2. See Charter Section 2.07. 3. See also Charter Section 3.01. 995 City of Mounds View COUNCIL MEETING DATES FOR 1995 REGULAR MEETINGS WORK SESSIONS January 9 January 23 February 13 February 6 February 27 March 13 March 6 March 27 April 10 April 3 April 24 May8 May1 May 22 June 12 June 5 • June 26 July 10 July 3 July 24 August 14 August 7 August 28 September 11 September 5 (Tuesday) - Labor September 26 Day October 9 October 2 October 23 November 13 November 6 November 27 December 11 December 4 December 19 . , COUNCIL MEETING DATES FOR 1996 Work Session Regular Meeting Regular Meeting January Cancelled 8 22 February 5 12 26 March 4 11 28 April 1 8 22 May 6 13 (28 Tuesday) Memorial Day June 3 10 24 July 1 8 22 August 5 12 26 September (3 Tuesday)Labor 7 23 Day October 7 14 28 November 4 (12 Tuesday) 25 Veteran's Day December 2 9 ? RESOLUTION NO. 4698 CITY OF MOUNDS VIEW COUNTY OF RAMSEY STATE OF MINNESOTA RESOLUTION REAPPOINTING COMMISSION MEMBERS FOR THREE YEAR TERMS EXPIRING DECEMBER 31, 1997 WHEREAS, the terms of the below listed persons have expired on the various commission to which they serve; and Planning Commission Henry Ruggles Jerry Peterson Parks, Recreation and Forestry Commission Pamela Starr E. Scott Dentz Police Civil Service Commission Jerry Blanchard WHEREAS, each person was contacted in regard to being • reappointed to the commission or committee to which they had been serving. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Mounds View hereby reappoints the following persons for a three year term expiring December 31, 1997: Planning Commission Henry Ruggles Jerry Peterson Parks, Recreation and Forestry Pamela Starr E . Scott Dentz Police Civil Service Commission Adopted this 9th day of January, 1995 . ATTEST: E .� • . (S AL) ���� ���'�L��-u� City Administrator THIS IS IT . . . . For the Week of November 27 - December 10, 1995 ADMINISTRATION ADMINISTRATION BUDGET HEARING UPDATE Staff will be delivering a packet for the continuation of the Budget Hearing to be held on Wednesday, December 6. The packet will include Resolutions adopting the 1996 Budget, Tax Levy and Bonds. The information will be delivered on Friday, December 1. UPDATE ON SAMANTHA Samantha phoned today (Thursday) to tell Staff that she had a rather harrowing trip out to California. While following Tommy - who was driving the family motorhome - Sam noticed that the Chevelle being towed behind the motorhome had caught fire. In an effort to make Tommy aware of the situation, Sam attempted to pass him so that she could signal him to the side of the road. As luck would have it, Sam lost control of the Ryder truck she was driving (and towing her beloved car "Abigail") and went into the ditch. The truck turned on its side and Abigail turned completely over. Sam suffered no major injuries as a result of the rollover, however, she and Tommy both suffered minor burns while attempting to unhitch the burning Chevelle from the motorhome. All things considered, Sam sounded in good spirits and sent her best to the Council and Staff. Paul • This week has been dominated by work on the closing and environmental reports for 2625 Highway 10. The item will be discussed at the work session on Monday evening and hopefully we will have some resolution and direction next week. • I had a meeting with Bart Bevins from the Minnesota Department of Trade and Economic Development regarding requirements for the Star City Process. Mounds View has completed the majority of the work with focus 2000, annual strategic planning and the work that the marketing and economic development commission does. Therefore, it is just a matter of completing the update of Mounds View's Economic Development Plan and gathering community input and compiling the information into one application report. The EDC will be focusing on this over the next several months. • As many of you may know Bridgemans has gone out of business. There was an individual that was going to buy the business but backed out at the last minute due to issues with the lease. I have passed along this information to Carol Johnson at Addie Lane Floral who may be interested in the building for a florist shop. In addition, I received a lead from the owner of an espresso shop in Northtown who is interested in opening a shop in Mounds View. I forwarded her to Addie Lane for a potential partnership. Cathy PARKS, RECREATION AND FORESTRY PARKS: • Greenfield Park was once again the target of vandalism. On Saturday, November 25 a vehicle completely pushed in the garage door of the storage building and wrote obscenities on it. • Hillview Park turf was damaged again by a vehicle leaving large ruts in the sod. • Steve and Jeff have been flooding rinks all week to a establish good ice base for the upcoming skating season. • Equipment and building maintenance continues as usual. • Expansion of Hillview Park pleasure rink is taking place. RECREATION: • Mary is attending an Executive Development School in Albuquerque, New Mexico this week. • The annual "Turkey Shoot" was held at Edgewood on November 18. Parent/child teams participated in a variety of events including hockey shoot, frisbee toss, football toss and basketball shoot. The highest scoring teams in each of three age categories won gift certificates for turkeys. Fifty-two teams participated. This event was co- sponsored by the Mounds View Lions Club. • Park and Recreation staff is busy preparing programs for the winter session. These programs will be advertised in theJanuary-February 1996 Mounds-View-Matters, scheduled to be in the homes the third week in December. FORESTRY: • Rick and his crew are continuing to perform tree maintenance including mulching of trees planted within the past five years. • A tree contractor will begin trimming prioritized boulevard trees in order to provide safe passage of snow plows under the trees. • Trees were transplanted from Hillview Park into Silver View Park in order to allow for the expansion of the pleasure skating rink. • Plans are being formulated for the power pruning of trees at City Hall and Hillview Parks. Sharie POLICE * Yesterday, the Civil Service Commission, Lt. Brick and the Chief interviewed nine applicants. Next Wednesday, we will interview nine more. * The holiday weekend was relatively uneventful. We did have more than a few "thefts from auto" reports. These incidents occurred mainly in apartment parking lots. Thieves are taking primarily radios and/or things in the glove compartments * Terry Broos just returned from a trip to Las Vegas. Tim Brennan left today for a scuba diving adventure somewhere far away. * The first DARE session ended this week at Edgewood. DARE will resume there on December 20th. DARE at Pinewood will start right after the first of the year. Tim R. FINANCE This will be short and to the point. Dorothy has been busy this week with utility payments coming into City Hall. Her husband had hip replacement surgery on Tuesday and is doing fine except for the pain. Kitty had a wonderful vacation in Maine but is now working long and hard to catch up. She is helping Dorothy enter payments. Dawn and I worked on the Budget handout for the Public Budget Hearing. Mary T. PUBLIC WORKS * The Phoneread Water Meter installation process started up again on Monday, November 27. Response for appointments has been minimal; Waterpro is sending out a mailing reminder to those that haven't responded. * We have been completing the last of the winter equipment changeovers. * The feasibility study for Bronson Drive will be mailed soon by SEH. The Sewer Department televised this street and found no noticeable defects in a majority of the pipe. Due to the condition of the road between Raymond and Quincy, this was added to the study. (There are problems with the sewer line in this area.) * We had an equipment breakdown (plow truck) during the first snow fall. (A casting for a catch basin was hit.) * Something to put on your calendar: Friday, December 15th is "Lights On For Life". This day is set aside as a showcase event for National Drunk and Drugged Driving (3D) Prevention Month (December). Source: Minnesota Safety Council, December, 1995 issue. Tracy Tracy COMMUNITY DEVELOPMENT • Jennifer Bergman will be attending the NAHRO Conference on November 29, 1995. Sessions Jennifer will be attending are focused on Tax Increment Financing. • The City has received the upgrades to the latest Windows versions of WordPerfect, and Jim Hess will be loading the software on City computers. Software training for staff is scheduled to begin on Monday. • The Planning Commission is in the process of revising the Sign Code. Joyce