The URL can be used to link to this page

Home My WebLink AboutCC PACKET 12112000 Meeting Sheet IIIIII VIII VIII VIII IIII) VIII IIII IIII 100578 Box: 17 Folder: CC PACKETS 1999-2001 Document: CC PACKET 12112000 CITY OF ST. ANTHONY TRUTH IN TAXATION PUBLIC HEARING December 11, 2000 7:00 PM Council Chambers PAGE(S) I. CALL TO ORDER. 11. PLEDGE OF ALLEGIANCE. 111. ROLL CALL. IV. OPEN TRUTH IN TAXATION PUBLIC HEARING. V. PRESENTATION OF 2001 CITY BUDGET AND TAX LEVY BY CITY MANAGER AND FINANCE DIRECTOR. VI. SET DATE FOR ADOPTION HEARING FOR THE 2001 BUDGET AND TAX LEVY FOR WEDNESDAY, DECEMBER 20, 2000 AT 7:00 PM IN THE COUNCIL CHAMBERS. . . . . . . . . . . . . . . . . . . 1 - 16 VII. CLOSE PUBLIC HEARING. VIII. ADJOURNMENT. COUNCIL MEMBERS, PLEASE BRING YOUR 2001 BUDGET FOR THIS MEETING. EM PORTANT DATES St. Anthony Budget Schedule for 2001 Budget April 11, 2000 Preliminary Introduction with the City Council. Discuss Budget Goals for 2001/Review Estimated Revenues for 2001. April 25, 2000 Public Hearing for Citizens to Communicate 2001 Suggestions. (Department Heads will be present). April - May City Manager & Staff Meetings to discuss Budget Revisions from April 25"Meeting. July 25, 2000 City Council Afternoon Work Session (3:00 PM to 6:00 PM ) to Discuss Proposed Budget. Regular Council Meeting at 7:00 PM. August 8, 2000 . Proposed Budget is Presented to the City Council. (Overview for Council and Community): . • September 12, 2000 1) Resolution passed setting Proposed 2001 Tax Levy and Budget 2) Resolution passed setting Public Hearing and reconvening dates. 3) Passage of resolution authorizing a Tax Rate Increase for Collectible Year 2001 Tax Levy. November 29, 2000 ***** December 21, 2000 City must conduct a public hearing, which cannot conflict with Hennepin County, Ramsey County, Independent School District #282 or the Special Taxing Districts hearing dates. December 11,2000 Public Hearing Date and announcement of-second Public Hearing for reconvening/passage of the 2001 final Tax Levy. December 20, 2000 Reconvening Hearing Date and/or Public Hearing date for adoption of 2001 Tax Levy by resolution. *****Please note: The public hearing must be held between November 29th and December 18th. The City's initial public hearing cannot be held on the same day as Hennepin or Ramsey • Counties Initial Hearing Dates, I.S.D. #282 Initial Hearing Date or Metro Special Taxing Districts Hearing Date. Where theAax dollars go Other Districts City 6% School District 23% 43% 4} County 28% Tax Capacities 2000 Comm/Ind Other 25% 3% . Residential A t 56% Apartments 16% Tai Capacities 1997 . Other 0 Comm/Ind 4 /0 Residential o 27 /o 50% Apartments 19% TOTAL LOCAL TAX CAPACITY (Valuation) VERSUS TAX RATE 1997 1998 1999 2000 2001 $5926%806 $41974,964 $4,8209500 $591419361 $595899415 26.406% 29.376% 32.229% 30.377% 30.639% $ 819312 ($2949842) ($1549464) $3209861 $4489054 Changes in the City's Tax Base directly impacts the Tax Rate. • 2001 — NO CHANGES IN CLASS RATES (State Legislature sets Class Rates) Commercial/Industrial: 1997 1998 First $100,000 — 3% First $150,000 — 2.7% Over $100,000 — 4.6% Over $150,000 — 4% 1999 2000/2001 First $150,000 — 2.45% First $150,000 — 2.40% Over $150,000 — 3.50% Over $150,000 — 3.40% Apartments: 1997 - Taxable Value Times 3.4% 1998 - Taxable Value Times'2.9.% ® 1999 — Taxable Value Times 2.5% 2000/2001 — Taxable Value Times 2.4% Residential: 1997 1998 First $ 729000 — 1% First $ 759000 — 1% Over $ 72,000 — 2% Over $ 759000 — 1.85% 1999 2000/2001. . First $75,000 - 1% First $76,000 — 1% Over $75,000 — 1.70% Over $76,000 — 1.65% * CHANGES SHII+TED THE TAX BURDEN FROM COMMERCIAL AND APARTMENTS TO RESIDENTIAL PROPERTY OWNERS. Change in St Anthony Village Market Values and Tax Capacities Chance in Market Values 1999 to 2000 Change in Tax Capacities 1999 to 2000 14.0% 7.7% 7.2% 7.0% 7.3% 9.4%' ° 8.4% 2.4% ILL �y�a ��c� ��ca O`r�� ,�°�� y�a ��e�ti ��a Ors` •�°`� . Change in Market Values 1997 to 2000 Change In Tax Capacities 1997 to 2000 30.2% ° 27.1% ;., ; 9.9/° 19.8% 17.0% 10.1% S7r�ytR�;1'f 'D ; vi•,; .'.,C v. t�i.t L 1 It7xi;, ,rs't.t l� wti J�'i�llh -4.5% -6.2% 1'2.5% j. ti t k G EN ERAL FCN D g The General Fund accounts for resources devoted to financing general services. These include General Government, Police, Fire, Public Works and Parks. It is the largest budget and is the main operating fund of the City 2000 2001 Dollar Budget Budget Decrease Percentage $3,527,450 $31519,875 ($ 4.,575) (0.21 %) 2000 2001 Dollar LAC Leyy Increase Percentage s $1,646,970 $1,763,475 $1161505 7.07% GENERAL FUND • REVENUES 2001 BUDGET Property Taxes $1,7661475 Licenses $101550 Permits $99,500 Intergovernmental Revenue $738,918 Contract Revenue (Lauderdale/Falcon Heights) $569,432 Charges for Service (Fines) $100,000 Miscellaneous Revenues $135,000 Transfers 8z Miscellaneous Revenues $100,000 GENERAL FUND TOTAL REVENUES $3{519+.875 EXPENDITURES 2001 BUDGET Mayor / City Council $561000 Public/Intergovernmental Relations $19,975 Cable Franchise $207900 General Management $1001875 Elections $19,200 Finance, Insurance / Accounting $2381100 Finance, Assessing- $37,000 Legal $58,800 Engineering, Planning / Zoning $57375 City Building $105,300 Civil Defense/Emergency Management $46,400 Police Protection $9967000 Lauderdale/Falcon.Heights Contracts $491,200 Fire Protection $548,400 Inspections, Building/Plumbing/Heating/Health $71,100 Animal Control $4,000 Public Works .$379,800 Public Works, Maintenance/Repair Equipment $112,500 Tree and Weed Care $25,950 Parks $108,000 • Transfers to Other Funds $75,000 Other Expenditures (Approved by Council) . 10 GENERAL FUND TOTAL EXPENDITURES $3,519,875 GENERAL FU. ND REVENUES Misc. Transfers Fines 4.0% 2.8% 2.8% k Contracts 16.3% { � i Tax Levy " = 50.2% •. I' d ntergov't License & Revenue Permits 20.8% 3. 1 � 0 GENERAL FUND EXPENDITURES Transfers Budget General Gov't ° 8.5% Finance & , 2. 1 /° Reserves Insurance 3.2% 6.0% Public Works 20.0% : I nspections J, 2.0% ........... 3(c}k 7r 7F I ,q IYr] Fire Police 16.2%. 28.0% Contracts 14.0% -12 2001 Budget/Levy Tax Rate Budget Levy = $1,7639475 26.542% Road Levy = 272J89 4.097% $290359664 30.639% Average Valuation in Hennepin-County $137,000 City Taxes $ 469.00.Budget 72.39 Roads $ 541.39 Average Valuation in Ramsey County $147,100 City Taxes $ 513.06 Budget 79.19 Roads $ 592.25 Your Proposed Property Tax for 2 '.1s ® Important information is printed on the back of this form. Property ID NO: 06-029-23 12 0020 1999 Taxable Market Value for 2000 taxes: 125,000 HOMESTEAD 2000 Taxable Market Value for 2001 taxes: 135,600 HOMESTEAD The taxable market values shown above are final and are not a subject for the upcoming budget hearings.They were discussed at the local board of review and county board of equalization hearings held earlier this year. The final taxable market values may reflect a reduction under the limited market value law. If this property is a qualifying homestead,the final taxable market values may exclude improvements you made to the property. (1) (2) (3) (4) Addresses for 2000 Increase or Increase or Proposed Budget Hearings Dates, Correspondence Property Tax Decrease Due to Decrease Due to 2001 Times and Locations Spending Other Factors Property Tax nnepin County $628.83 39.55 74.52 . $663.86 Dec 7, 2000 . 5:30..PM 400 Government Center Commissioner Board Room Minneapolis MN 55487 A2400 Government Center 612-348-3011 Minneapolis MN 55487 City of ST. ANTHONY $476.61 45.82 11.91 $534.34 Dec 11, 2000 7:00 PM City of St Anthony City Council Chambers 3301 Silver Lake Rd 3301 Silver Lake Rd St Anthony MN 55418 St Anthony MN 55418 612-789-8881 School District 2G2 State Determined Levy: $163.69 .00 48.51 $212.20 Dec 5, 2000 6:30 PM Voter Approved Levy: $316.44 12.13 25.97 $354.54 *Multipurpose Room Other-Local Levies: $202.80 62.19 62.72 $327.71 Wilshire Park Elementary School District Total $682.93 74.32 137.20 $894.45 3600 Highcrest Rd . ISD 282 St Anthony MN 55418 3303 33rd Ave. NE Mpls MN 55418 612-706-1000 Metro Special Taxing Dist. Dec 6, 2000 6:00 PH Metropolitan Council $94.75 9.09 -2.17 $101.67 Metropolitan Council 230 Fifth St East Mears Park Centre St Paul MN 55101 230 Fifth St East 651-602-1738 St Paul MN 55101 Other Spec. Taxing Dist: $46.72 2.71 4.17 $53.60 No meeting required Fiscal Disparity Tex: No meeting required Tax Increment Tax: . No meeting required Wippecial id Waste Mgmt Fee: $23.08 3.26 -.39 $25.95 Not applicable ALS: (Excluding $1,952.92 174.75 146.20 52,273.87 Assessments) Percent change(proposed 2001 total tax over 2000 total tax) 16.4% Check out the convenient payment options available to pay NEXT YEAR's property taxes at http://www.co.hennepin.mn.us/taxsvcs/payopt/payopt.htm or call: 612-348-3011 This, is Not a Bill • Do Not Pay -. 14 Property Tax Statement: $135,600 $534.34 2001 Property Taxes 476.61 2000 Property Taxes $ 57.73 12.1% Increase $ 45.82 Increase Due to Spending .$ .35.46 Increase Due to.Budget 10.36 Increase Due to Roads $ 45.82 11.91 Increase Due to Other Factors $ 57.73 City has No Control of Changes Changes in State Aid Formula's Fiscal Disparities Formula's -15 Valuation Change of Property: $1359600 2001 Valuation $12&000 2000 Valuation $ 109'600 8.4% Increase Affect on Property Taxes: 1744 Tax Capacity in 2001 X 30.639% = $534.34 1569 Tax Capacity in 2000 X 30.377% = 476.61 $ 57.73 No Change in Valuation 1569 Tax Capacity in 2001 X 30.639% _ $480.73 p Y 1569 Tax Capacity in 2000 X 30.377% _ 476.61 Spending Increase Offset by $ 4.12 Increase in Total Tax Capacity of St. Anthony Village Increase Due to Valuation Change 53.61 $ 57.73 Total Tax Capacity of Village 2001 Total Tax Capacity $595899415 2000 Total Tax Capacity $55141 361 Increase $ 4489054 16 What Do I Get for My Tax Dollar???? Average Home = $137,000 Budget Levy $469.00 Road Levy . 72.39 $ 541.39 Mayor/Council $ 11.13 Public/Intergovernmental Relations $ 4.10 Cable Franshise $ 0.00 General Management $ 19.53 Elections $ 3.44 Finance/Insurance $ 35.30 Finance/Assessing $ 7.67 Legal $ 2.43 Engineering/Planning/Zoning $ 0.57 City Buildings $ 21:97 Civil Defense $ 7.42 Police Protection $101.28 Lauderdale/Falcon-Heights $ 0.00 Fire Protection $105.99 Inspections/Building Permits $ - 0.00 Animal Control $ 0.71 Public Works $ 58.98 P/W Maintenance &Repair $ 21.78. Tree and Weed Care $ 5.34 Parks $ 22.08 Transfers to Other Funds $ 15.75 Budget Reserves 23.52 Budget Levy $469.00 • Road Levy 72.39 Total Taxes $541.39 M ■ _H.R.A. IMMEDIATELY FOLLOWING _ REGULAR COUNCIL MEETING. • CITY OF ST. ANTHONY CITY COUNCIL REGULAR MEETING AGENDA DECEMBER 11, 2000 Immediately following Truth in Taxation Public Hearing Council Chambers PAGE(S) I. CALL TO ORDER. II. PLEDGE OF ALLEGIANCE. III. ROLL CALL. IV. APPROVAL OF DECEMBER 11, 2000 CITY COUNCIL REGULAR MEETING AGENDA. V. PROCLAMATIONS AND RECOGNITIONS. VI. COMMUNITY FORUM. • Individuals may address the City Council about any item not included on the regular agenda. Speakers are requested to come to the podium, state their name and address for the Clerk's record, and limit their remarks to five minutes. Generally, the City Council will not take official action on items discussed at this time, but may typically refer the matter to staff for a future report or direct that the matter be scheduled on an upcoming agenda. VII. CONSENT AGENDA. ........................................................................ 1 - 15 These items are considered routine and will be enacted by one motion. There will be no separate discussion of these items unless a Councilmember or citizen so requests, in which event the item will be removed from the Consent Agenda and placed elsewhere on the agenda. VIII. PUBLIC HEARINGS - None. IX. GENERAL POLICY BUSINESS OF THE COUNCIL. A. Resolution 00-096, re: Authorize tax abatement bond sale .......... 16 - 20 B. Resolution 00-097, re: Elimination of parcels for Apache Tax Increment Finance District ................................ 21 - 25 • City Council Regular Meeting Agenda December 11 , 2000 • Page 2 PAGE(S) X. REPORTS FROM COMMISSIONS AND STAFF. A. Resolution 00-094, re: Investment review proposal from Ehlers & Associates, Inc. ................................................. 26 - 29 B. Review of City's fiscal policy ................................................... 30 - 48 XI. REPORTS FROM CITY MANAGER AND COUNCILMEMBERS ...................... 49 XII. INFORMATION AND ANNOUNCEMENTS. XIII. ADJOURNMENT. • MISCELLANEOUS INFORMATIONAL DOCUMENTS ARE ATTACHED. • VII. CONSENT AGENDA. 1 . City Council/School Board Joint Meeting Minutes - November 28, 2000 2. City Council Regular Meeting Minutes - November 28, 2000 3. Licenses/Permits 4. Claims • 1 I CITY OF ST. ANTHONY • 2 CITY COUNCIL/SCHOOL BOARD OF SCHOOL DISTRICT#282 3 November 28, 2000 4 I. CALL TO ORDER. 5 Mayor Cavanaugh called the meeting to order at 7:00 p.m. 6 II. PLEDGE OF ALLEGIANCE. 7 Mayor Cavanaugh invited the Council, the School Board, and the audience to join in the Pledge 8 of Allegiance. 9 III. ROLL CALL. 10 The followiniz members from the City Council were present: 11 Mayor Cavanaugh; Councilmembers Sparks, Thuesen, Horst and Hodson 12 The following members of the School Board were present: 13 Warren Rolek, Katie Barrett, Jane Eckert, Barry Kinsey, Rick Dunn, Dave Evans, Denise Dunn. 14 Also present 15 City Manager Michael Morrison; City Attorney William Soth •16 IV. JOINT PUBLIC HEARING RELATING TO GRANTING OF A PROPERTY TAX 17 ABATEMENT WITH RESPECT TO EVERGREEN TOWNHOMES AND VILLAGE 18 TOWNHOMES TO ASSIST WITH FUNDING FOR CENTRAL PARK 19 IMPROVEMENTS. 20 A. Mayor's Comments. 21 Mayor Cavanaugh welcomed everyone in attendance and noted that the purpose of this meeting 22 was to discuss the renovation of Central Park as well as for the School Board and City Council to 23 discuss the details of the Park and the financing. 24 B. School Board Chair's Comments. 25 Barry Kinsey, School Board Chair,thanked the Parks Commission Chair, Carol Jindra, and the 26 rest of the Parks Commission for the hard work that has taken place over the past to bring this 27 project forward. Mr. Kinsey announced that he is proud to bring this project to the public. 28 C Carol Jindra Chair of the Parks Commission will give an overview of Central Park. 29 Mayor Cavanaugh opened the public hearing at.7:05 p.m. and invited Parks Commission Chair 30 Carol Jindra to speak to the Council. 31 Chair Jindra noted that the current design of Central Park does not allow for a full use of 32 activities. She further described some of the key points that the renovated Central Park would •33 offer, such as an 8-foot trail system,baseball fields, soccer fields, concession stand, shelter and 34 other amenities. Additionally, another idea that is still being considered is making a hockey rink 35 a paved area for rollerblading in the summer. A new wading pool and play area will be . fr City Council/School Board Meeting Minutes • November 28, 2000 Page 2 1 renovated in its current location. A shuffleboard area will be added, and the northeast entrance 2 of the.park will be enhanced with new pavement.and attractive landscaping: 3 Chair Jindra announced that a meeting would be held on December 11 for residents and 4 interested parties to provide input and receive additional information. The parking lot will be 5 reconstructed and there are plans for a sledding hill. 6 Chair Jindra continued by stating that another consideration for the Park is that the Commission 7 is attempting to acquire funds to supplement the financing for the project. Water Tower Park is 8 essentially finished at this point; however,the Commission is considering some changes in the 9 future for the restroom facilities. 10 Chair Jindra stated that the entire community would clearly benefit from the renovations and 11 improvements to the Park. 12 Cavanaugh thanked Chair Jindra for her input and presentation. 13 D Bob Thistle Springsted Inc. will give an overview of tax abatement properties. . 14 Mayor Cavanaugh introduced and invited Mr. Bob Thistle to approach the Council and School 15 Board. Mr. Thistle stated that he believed that there has been a need in the community for the 16 renovation of Central Park, and the current language of the tax abatement law provided a vehicle 17 for the community to use to complete the project. 18 Mr. Thistle reviewed for the Council and the School Board the abatement process. He noted that 19 if the action for abatement proceeds and goes forward, the authority will be given to move ahead 20 with financing. He congratulated both the Council and the School Board on the joint effort to 21 take advantage of the abatement process and provide the opportunity to enhance the Park. 22 Cavanaugh thanked Mr. Thistle for his presentation. 23 V. PUBLIC INPUT. 24 Mayor Cavanaugh invited input from the public and hearing none, closed the public hearing at 25 7:14 p.m. 26 Cavanaugh thanked the School Board for joining the City Council in reviewing this important 27 issue. 28 VI. ADJOURNMENT. 29 Motion by Barry Kinsey to adjourn the meeting at 7:17 p.m. 030 Motion carried unanimous ly. City Council/School Board Meeting Minutes November 28, 2000 Page 3 1 Respectfully submitted, 2 Sue Selseth 3 Timesaver Off Site Secretarial, Inc. 4 5 Mayor 6 ATTEST: 7 City Clerk • c . 4 1 CITY OF ST. ANTHONY • 2 CITY COUNCIL REGULAR MEETING MINUTES 3 November 28, 2000 4 I. CALL TO ORDER. 5 Mayor Cavanaugh called the meeting to order at 7:25 p.m. 6 II. PLEDGE OF ALLEGIANCE. 7 Mayor Cavanaugh invited the Council and the audience to join in the Pledge of Allegiance. 8 III. ROLL CALL. 9 Councilmembers present: Mayor Cavanaugh; Councilmembers Sparks,Thuesen, Horst and 10 Hodson 11 Councilmembers absent: None. 12 Also present: City Manager Michael Mornson; City Attorney William Soth 13 IV. APPROVAL OF NOVEMBER 28,2000 CITY COUNCIL REGULAR MEETING 14 AGENDA. 15 Motion by Hodson to approve the November 28, 2000 City Council Regular Meeting Agenda as 16 presented. .17 Motion carried unanimously. 18 V. PROCLAMATIONS AND RECOGNITIONS. 19 A. Presentation of a Plaque to City Attorney William Soth. 20 Mayor Cavanaugh noted that City Attorney Bill Soth is retiring at the end of the year. In that re- 21 spect, Cavanaugh noted that Mr. Soth has been St. Anthony's City Attorney for 22 years, and 22 with the firm of Dorsey & Whitney for 34 years. 23 Mayor Cavanaugh presented a plaque to Mr. Soth and expressed the City's sincere thanks for all 24 of his hard work and dedication. Mr. Soth spoke by stating that he appreciated the opportunity to 25 work with the City, and has always felt that he was lucky to have the association with the City. 26 He remarked that the City has an excellent staff and feels that the residents can be proud of the 27 Village and Staff. 28 VI. COMMUNITY FORUM. 29 Mayor Cavanaugh invited any of the residents in the audience to discuss issues that are not on 30 the regular meeting agenda. Hearing none, Cavanaugh moved forward with the agenda. 31 VII. CONSENT AGENDA. 32 Motion by Thuesen to approve the Consent Agenda, which consisted of- 33 1. City Council Meeting Minutes of November 14, 2000. 34 2. Licenses and Permits. 35 3. Claims; and C City Council Regular Meeting Minutes November 28, 2000 • Page 2 1 4. Resolution No. 00-093. 2 Motion carried unanimously. 3 VIII. PUBLIC HEARINGS. 4 None. 5 IX. GENERAL POLICY BUSINESS OF THE COUNCIL. 6 A. Resolution 00-090 re: Granting Property Tax Abatement for Village Townhomes (Hen- 7 nepin County). 8 City Manager Michael Mornson noted that this is the issue that a public hearing was held at the 9. joint meeting of the City Council and School Board. This resolution will provide the City with 10 the opportunity to begin the abatement process. 11 Motion by Sparks to approved Resolution 00-090, a Resolution Relating to a Tax Abatement by 12 the City on Certain Property Located Within the City and in Hennepin County; Granting the 13 Abatement. 14 Motion carried unanimously. 15 B. Resolution 00-091 re Granting Property Tax Abatement for Evergreen Townhomes 16 (Ramsey County). 17 Motion by Sparks to approve Resolution 00-091, a Resolution Relating to a Tax Abatement by 18 the City on Certain Property Located Within the City and in :Ramsey County, Granting the 19 Abatement. 20 Motion carried unanimously. 21 C. Resolution 00-083 re: Final Plat for Apache Terrace 2 11 Addition. 22 City Manager Michael Mornson reviewed for the Council the background of the Apache Terrace 23 2nd Addition which is being proposed by Village North,LLP and Apache Animal Medicine P.A. 24 Mornson directed the Council's attention to page 25 of the.agenda packets, which is a letter.from 25 City Attorney William Soth dated November 9, 2000. 26 City Attorney Soth reiterated for the Council his comments on the proposal, and summarized by 27 stating that the owners of the Animal Clinic had hoped to include a portion of the railroad right 28 of way in Lot 1. However, delays have been experienced in establishing good title to the right of 29 way. For this reason, the railroad property has been left out of the plat and will need to be com- 30 bined with Lot 1 at a later date. Mr. Soth assured the Council that this combination could be ac- 31 complished with a simple document to be recorded in the real estate records, and at that time, it 32 would not be necessary to replat the property. City Council Regular Meeting Minutes November 28, 2000 • Page 3 1 Motion by Hodson to approve Resolution 00-083, a Resolution Relating to the Final Plat for 2. Apache Terrace 2nd Addition. 3 Motion carried unanimously. 4 D. Ordinance 2000-013 re: Fee Increases for Heating and Multiple Dwelling Licenses. 5 City Manager Morrison noted that, during the budgeting process, Staff conducted a revenue sur- 6 vey to compare the costs of St. Anthony's fees, licenses and permits to those of other cities. 7 Morrison continued by stating that the results of the analysis indicated that St. Anthony is in need 8 of increasing its annual fees for Heating License and Multiple Dwelling Fees. To revise the 9 rates,there needs to be a change in the Ordinance. 10 Motion by Sparks to approve Ordinance 2000-013, an Ordinance Relating to Fees, Amending 11 Section 615.06 of the 1993 St. Anthony Code of Ordinances. 12 Motion carried unanimously. 13 E. Ordinance 2000-014 re: Uncollectible Alarm Permit Fees (31d Reading). 14 City Manager Michael Morrison reviewed for the Council that a section of the Ordinance pertains 15 to security alarms that are intended to protect public safety and to avoid misuse, careless or negli- 16 gent operation of security alarms. 17 Currently there are over 200 alarms registered in St. Anthony. Most owners of security systems 18 diligently respond to registering and paying their annual permit fee. However,there is a small 19 amount of business and residential security alarm owners who do not pay the fee on a timely ba- 20 sis. 21 To alleviate the amount of Staff time dedication to the collection of unpaid security alarm 22 permits, Staff is recommending a change in the ordinance to assign unpaid security alarm permits 23 to the quarterly utility bills. 24 Motion by Thuesen to approve Ordinance 200-014, an Ordinance Relating to Alarm User Fees, 25 Amending Section 540.06, Subd. 2 of the 1993 St. Anthony Code of Ordinance. 26 Motion carried unanimously. 27 F. Resolution 00-088 re: Cily Manager's 2001 Salary. 28 Cavanaugh noted that each Councilmember has met with the City Manager and provided a 29 report. Cavanaugh thanked Thuesen for organizing this the review process. City Council Regular Meeting Minutes • November 28, 2000 Page 4 1 Motion by Horst to approve Resolution 00-088, a Resolution Approving the 2001 Salary of 2 Michael J. Morrison, wherein the City Council Of the City of St. Anthony authorizes an annual 3 salary of$78,785.00 and a car allowance of$300.00 per month, effective January 1, 2001. 4 Motion carried unanimously. 5 G. Resolution 00-092 re: Approve Transfer of Mako Alley off Rankin Road to the City of 6 St. Anthony. 7 Cavanaugh invited Chris Melsha, Planning Commissioner, to address the Council. Mr. Melsha 8 reviewed that the Council had directed the Planning Commission to review the matter of the 9 Makowske's deeding certain property over to the City. Mr. Melsha noted that the property is not 10 being utilized by the Makowskes, and insurance has become impossible to obtain on the 11 property. It was the Commission's belief that the City should accept the deed. 12 Motion by Hodson to approve Resolution 00-092, a Resolution approving the deeding of an alley 13 to the City of St. Anthony by Mako, Inc. 14 Motion carried unanimously. 15 X. REPORTS FROM COMMISSIONS AND STAFF. 16 A. Planning_Commission Meeting of November 21, 2000. 17 Chris Melsha noted that the Planning Commission discussed the proposed monument sign for the 18 City Hall. Commissioner Stille and Bergstrom have organized a committee to look into the issue 19 further and will report back to the Planning Commission. 20 21 Mr. Kalscheur from TOLD Development had reported to the Planning Commission that he had 22 held a neighborhood meeting and found the meeting to be productive and informative. Lighting 23 was a general issue and types of lighting were discussed at the Planning Commission meeting. _ 24 25 Additionally;Commissioner Thomas had requested that the City look into obtaining grant funds. 26 Originally, Mr. Thomas had thought the deadline for the grant application was in December; 27 however, upon discussions with Staff, it was determined that the deadline is in February. 28 29 Cavanaugh inquired if the Planning Commission would be working with Staff to shape a housing 30 program. City Manager Mornson noted that would be an excellent idea; however, Staff would 31 like to look into the details and fine print of the grant to ensure that it fits the City's needs. 32 33 Thuesen agreed with Mornson's comments to ensure the grant has the appropriate requirements 34 that would fit the City. 0 35 36 XI. REPORTS FROM CITY MANAGER AND COUNCILMEMBERS. 37 City Manager Michael Morrison reported on the following: City Council Regular Meeting-Minutes. • November 28, 2000 Page 5 1 2 The appraisals for the Harding Area Holding Pond have been completed and offers will be made 3 in December. The consultant that the City has hired will be making the offers. 4 Cavanaugh inquired if the Council would be made aware of the prices that the homeowners will 5 be receiving for the property. City Attorney William Soth noted that, although the Council 6 would be aware, it would be in the best interest of the City not to make those figures public. 7 Morrison noted that Staff has been requested to obtain a consultant to review the investment poli- 8 Gies of the City. He is currently working on that issue. 9 The task force for the Apache Plaza/Salvation Army property would be holding its next meeting 10 on January 18, 2001. Consultants and members of the committee have announced that there was 11 a lot of enthusiasm and positive energy generated from the meeting. 12 The School Board will meet next Tuesday to adopt the abatement resolutions. On December 11, 13 2000, the Parks Commission will hold a public hearing. • 14 Hodson reported that he had received a notice that Santa is coming to town on December 17 and 15 would be available at certain times throughout December. 16 Horst reported that he was at the Planning Commission meeting last week, and feels that the 17 Commissioner Bill Thomas is an excellent source and asset for the Commission. Horst com- 18 mented that Mr. Thomas has been very informative and helpful in learning about potential grants. 19 The input the Planning Commission was looking for from the Council was approval for the 20 Commission to look further into the grants. Horst noted that there are exciting opportunities and 21 encouraged the Councilmembers to speak with Mr. Thomas about this program. 22 Thuesen inquired about the Profit and Loss Statement for October, under Stonehouse. He ques- 23 tioned whether that number was higher than usual. Morrison noted that he would have the appro- 24 priate person check into that figure and get back to him. 25 Sparks reported that at one of the last Council meetings there was discussion regarding the 26 Middle Mississippi Watershed Organization. There have been some developments in the legisla- 27 ture since then, and the City will have an opportunity to decide whether or not to participate in 28 the levy. 29 Sparks expressed some ideas about making the Community Center more inviting to individuals. 30 She noted that Public Works Director Jay Hartman is working with someone to bring in ideas 31 and propose a committee to enhance the Community Center. City Council Regular Meeting Minutes November 28, 2000 • Page 6 l Sparks noted that the City is still in the process of deciding whether to contribute to the North- 2 west Youth and Family Services. 3 Cavanaugh stated that he would be meeting with the Executive Director this week(of Northwest 4 Youth and Family Services), and he would have additional information after that meeting and 5 would report back to the City. 6 Thuesen inquired if there were other sources to cover the needs of the City that the Northwest 7 Youth and Family Services offers. Thuesen noted he would like to hear a presentation from the 8 organization. 9 Cavanaugh thanked the Councilmembers for attending the SmartGrowth event with the Metro 10 politan Council. 11 Horst noted that he felt that Mayor Cavanaugh did an excellent job in addressing the public and 12 the Metropolitan Council. 13 Cavanaugh reported that in the Councilmembers' mail, there is a proposed outline for the annual •14 retreat. Two dates (January 18 and January 19) have been chosen, and he would request that the 15 Councilmembers report back with their feedback. 16 Discussion ensured regarding whether or not to have a facilitator. Morrison noted that in one-on- 17 one meetings with the Councilmembers, four out of five preferred having a facilitator. Morrison 18 noted that it has been shown to be beneficial in the past to have the same facilitator two years in a 19 row. 20 XII. INFORMATION AND ANNOUNCEMENTS 21 None. 22 XIII. ADJOURNMENT. 23 Motion by Hodson to adjourn the meeting at 8:05 p.m'. 24 Motion carried unanimously. 25 Respectfully submitted, 26 Sue Selseth 27 Timesaver Off Site Secretarial, Inc. 28 29 Mayor •3o ATTEST: 31 City Clerk . 10 ® Saint Anthony Village DATE: December 12, 2000 Approve TO: Mayor and Councilmembers FROM: Judy Monson, License Clerk ITEM: Licenses and Permits for Approval: General Contractors License: Schad-Tracy Signs, Oronoco, MN Sign-A-Rama, Roseville, MN Heating_License: Constroms Heating & Air Conditioning Service Station License: • Stop - N - Go, 3259 Stinson Boulevard Cigarette Retail License: Stop - N - Go, 3259 Stinson Boulevard . 11 Saint Anthony Village DATE: December-12, 2000 Approved: TO: Mayor and Councilmembers FROM: Judy Monson, License Clerk ITEM: Licenses and Permits for Approval: Temporary 3.2 Beer and Wine Permit: Mardi Gras Celebration/ February 24, 2000/Evening Dance/ St. Charles Borromeo 12 C FINANCIAL SYSTEM _ _ —. ST._ANTHO.tlY VILL.AG� /03/2000 12: Check Register GL540R–V06.27 PAGE BANK VENDOR CHECK# DATE AMOUNT LIAR LIQUOR CHECKING ACCOUNT 003160 FIRSTAR ST ANTHONY BANK 16693 11/30/00 15,000.00 003160 FIRSTAR ST ANTHONY BANK 16694 1. 1/30/00 8,000.00 004250 LUNDGREN/MATTHEW H. 16695 11/30/00 150.00 003160 FIRSTAR ST ANTHONY BANK 16696 1. 1/30/00 12,507.41 000670 CITY COUNTY CRF_DIT UNION 16697 11/30/00 485.00 000055 AETNA LIFE 81 CASUALTY 16698 1 130/00 __ 143 004208 I C M A RETIREMENT TRUS 16699 11/30/00 360.00 004380 PUBLIC EMPLOYEE RETIREME 16700 11/30/00 1 ,902.34 004233 LMCIT % BERKL_EY RISK SE _ 16702 11/30/00 195_66 004318 NAT FINANCIAL INS CO 16703 11/30/00 9.50 008313 MN CHILD SUPPORT PYMT CE 16704 11/30/00 501 .69 _ 003160 FIRSTAR ST ANTHONY RANK 1.6705 11/30/00 81000.00 003160 FIRSTAR ST ANTHONY BANK 16706 11/30/00 15,000.00 004250 LUNDGREN/MATTHEW H. 16707 11/30/00 150.00 00_3160 FIRSTAR ST ANTHONY BANK ____ 16709 11/30/00 ___10,000. 00 _ — 003160 FIRSTAR ST ANTHONY BANK 16710 11/30/00 15,000.00 004250 LUNDGREN/MATTHEW H. 16711 11/30/00 150. 00 003160 FIRSTAR ST_ANTHONY BANK _ 16712 1. 1/30/00 _ 1.2,508.96 000670 CITY COUNTY CREDIT UNION 16713 11/30/00 485. 00 • -000055 AETNA LIFE & CASUALTY 16714 11/30/00 .143.52 004208 I C M A RETIREMENT TRUS 16715 11/30/00 360.00 008313 MN CHILD SUPPORT PYMT CE 16716 1. 1/30/00 501 .69 004380 PUBLIC EMPLOYEE RETIREME 16717 11/30/00 1 ,939.60 002850 MEDICA_C:HOICE. _ __ .1671.8 _1.1/30/00 4,.562°44._. .____ 000710 PRUDENTIAL_ LIFE INSURANC 16719 11/30%00 77 .80 008289 NCPERS LIFE INSURANCE 16720 11/30/00 24.00 0042_50 _ LUNDGREN/MATTHF_W H. 16721_11 11/30/00 003160 FIRSTAR ST ANTHONY BANK 16722 11/30/00 15,000.00 003160 FIRSTAR ST ANTHONY BANK 16723 11/30/00 10,000.00 003160 FIRSTAR ST ANTHONY RANK _ 1_6724 11/30/00 15,000.00 003160 FIRSTAR ST ANTHONY BANK 16725 1.1/30/00 10,000. 00 LIQUOR CHECKING ACCOUNT _ _ _ 158,389.33 #� 13 �BRC FINANCIAL_ SYSTEM _ ___ _ ST. ANTHONY_ VILL( -12/03/2000 12: Check Register GL540R-VO6.27 PAGE BANK VENDOR C�IEC DAZE ANDUNT LIAR LIQUOR CHECKING ACCOUNT 008216 A T '& T WIRELESS SERVICE 17498 12/12/00 39.38 004225 ALL.IANT FOODSERVICE 17499 1.2/12/00 1 ,393.89 _ 004015 AMERIPRIDE L.INEN 17500 12/12/00 694.27 004293 BELLBOY CORP. 17501 1.2/12/00 2,680.27 004080 CHISAGO LAKES DIST. CO. , 17502 12/12/00 3,990 .35 004087 CITY PACE-a-- 17503 1.2/12_/00 234.00 004095 COCA COLA BOTTLING 17504 12/12/00 1 ,995.75 004120 EAGLE WINE CO 17505 12/12/00 3,896.71 004125 EAST SIDE_ BEVERAGE_ CO 17506 12/12/00 44,-377.35 __ 008359 FL.AHERTY 'S HAPPY TYME CO 17507 i.2/12/00 225.00 004141 FRITZ COMPANY, INC . 17508 12/12/00 5, 140.70 001030 G & K SERVICES INC ___17509 1_2112/00 79. 12 004157 GETTMAN HOWIE, INC . 17510 12/12/00 170.25 004172 GRAPE BEGINNINGS, INC. 17511 12/12/00 - 2,863.00 _ 004175 GR.IGGS000PEF3_�, CO INC _ 17512 1_2/12/00 13,968 ..92 004.201 HEGGIES PIZZA 17513 1.2/12/00 135. 10 008636 HENNEPIN COUNTY ENVIRONM 17514 12/12/00 621 .00 _ _008617 HINNENKAMP/WAYNE 17515_1,_2/1_2/00 65.00 004207 HOHENS"FEIN 'S, INC 17516 12/12/00 4,081 .50 004205. HOME JUICE CO. - �--=-�- '17517' 1.2/.12/00 33.90 004220 JOHNSON BROS. LIG. _1751c3_1Z/].2/00 3_1_,238.75 004230 KUETHER DISTRIBUTING CO 17519 12/12/00 52,01.6.55 002040 LIL_LIE SUBURBAN NEWSPAPE 17520 12/12/00 400.00 004265 MAR 27__ 004266 MARKET MECHANICAL_ 17522 12/12/00 391 . 12 004.272 METZ BAKING CO 17523 i.2/12/00 93.24 004334. NORTHEASTER 17524 1.2/12/09----.-_ __._ 786_._60 - 004345 , OLD DUTCH FOODS INC 17525 12/12/00 26. 16 004354 PAUSTIS & SONS 17526 12/12/00 1 ,338.45 004355 _ PEPSI COLA COMPANY 17527 12/12/00 300.76 IL 004360 PHLIPS WINE & SPIRITS 17528 12/12/00 8,218.63 004376 PRIOR WINE CO 17529 1.2/12/00 3,.452.64 004385 QUALITY WINE CO 17530 12/12/00 16,666.28 _ 008597 R.D. HANSON ASSOC . , INC. 17531 12/12/00 211 .75 004393 RON'S ICE 17532 12/12/00 344.73 0044.63 SUPERIOR PRODUCTS MFG CO_ 17533 J.2/12/00 _ _48.99 004466 SYSCO-MINNESOTA 17534 12/12/00 1 ,318.50 008310 WINE MERCHANTS INC 17535 1.2/12/00 874. 14 LIQUOR CHECKING ACCOUNT 231 ,041 .02 - 14 BRC FINANCIAL SYSTEM ST ANTHONY VI. 12/05/2000 15: Check. Register GL540R-V06.27 PAGE r BANK VENDOR CHECKd# DATE AhSUUni i FIRS FIRSTAR ST. ANTHONY CHECKING 000020 AA BATTERY CO 13426 1-2/12/00 67.34 j .00001 ACT ELECTRONICS, INC . 13427 1.2/12/00 2,405.80 ` 00001 ADVANTAGE-1 gc�g PRODUCTS 13428 12/12/00 185.00 007338 AMERICAN EXPRESS 13429 12/12/00 183.27 008660 ASPEN ENVIRONMENTAL 13430 12/12/00 238.34 008511 _1T 3.. T WI_F3EL~FS� 13431 1 ?/Lr/00 66.6 5 008708 BETTENDORF ROHRER . KNOCHF_ 13432 12/12/00 19,000.00 007253 BRAKE & EGUIPMENT WAREHO 13433 '12/12/00 76.36 000535 BUREAU OE CRIMINAL APPRE 13434 12/12/00 200.00 007386 CASTLE INSPECTION SERVIC 13435 12/12/00 2,422.32 008577 CITY OF ST. PAUL 13436 12/12/00 26.00 293. .00002 COMMONWEALTH 004107 1` COMPTON'S COMMERCIAL CLN 13438 . 12/12/00 . .3,834.00 000807 DIAMOND .VOGEL PAINTS 13439 12/12/00 19. 17: 000820 DORSEY & WHITNEY 1344Q .00002 ENNEN/PATRICK 13441 12/12/00 36.51 008496 EVERGREEN LAND SERVICES 13442 12/12/00 130.00 008221 FOSTER,WENT7_ELL HEDBAC_ 13443 i_?-L1,?/00 3sSLQ0,SLCL j 008647 FRATTALLONE 'S' HARDWARE-. 13444 12/12/00 274.34 f 001,025 G & . K SERVICES _ 13445 12/12/00 172. 16 001030' G & K SERVICES INC 13446 12/12/00 505.46_ 001145 GLENWOOD INGLEWOOD 13447 12/12/00 23.97 { 001165 GOODALL RUBBER CO 13448 12/12/00 17.65 I 001250 GRAINGER INC/W W 13449 1.2/12/00 230.25 008376 HENNF_PIN CNTY SHERIFF 'S 13450 . 12/12/00 58.47 i 007326. HENRY 3, ASSOCIATES 13451 1.2/12/00 3,216.51 008709 HENRY/SUSAN 13452 12/12/00 21 . 15 {{ 008699 HEWITT/JOEL 13453 1.2/12/00 27.62 I 008252 HOME DEPOT-GF_CF 13454 12/12/00 337.71 008658 INSTRUMENTAL RESEARCH I 13455 12/12/00 63.00 .00003 J SPANJERS CO. , INC . 13456 12/12/00 . 1 ,800.00 t { _ .00003 JINDRA/.CAROL 13457...,-12/12./00 .-_ --28.86 008680 LARSON ALLEN WEISHAIR & 13458 .12/12/00 - 750.00 008229 LOFFLER BUSINESS SYSTEMS 13459 -12/12/00 320. 18 008700 MCINTYRE PUBLICATIONS. 13460 12/12/00 90.00 008263 MCLEOD USA, INC. TEC 13461 ' 12/12/00 - 733.10 008710 MDS .'MATRX 462 :12/J.2/00 44`.96 �. .. :. ... ..._. - -007129 - MEDTOX ::: ._.. :. .. . 13463 -42/12/00 - _.. . _,: -137:00- 002240 METROPOLITAN COUNCIL 13464 12_/_12/00 30,240.00 002280 MIDWEST ASPHALT CORP 13465 - 12/12/00 34.31 - 005085 MINN STATE FIRE CHIEF 13466 12/12/00 14.0.00 008269 MINNESOTA SHREDDING LLC 13467 1.2/12/00 _54°95- _ - - -- - 008600. - _`-r MINNESOTA WASTEWATER ..:13465 -12/.12/00 rIiRHCLE •Ft�c:KtH ION. -EGUIP _ .y1o469 i�/12iuu 207. 19 x - 002515.__:._ _rip-r i TNF -rn .jAL` Bi SS..:FURNIT. r_ :=13470 12/12100 a < 395.80 -008326 - -NEWMAN TRAFFIC -SIGNS =- - - - - 13471--12/12/00 =_=- --- - 286.32 +- - 008350_ --- NORTHERN TOOL & EQUIPMEN --- --- -13472- 12/12/0() --- - - - - 4.24. 000045 OFFICE DEPOT - 13473 1.2/12100 317, 1A . 15 BRC FINANCIAL SYSTEM ST. ANTHONY V: 12/05/2000 15: Check Register GL540R-VO6.27 PAGE BANK VENDOR CHECK# DATE AMOUNT FIRS . FIRSTAR ST. ANTHONY CHECKING 008277 OFFICEMAX CRF_DIT PLAN - 13474 1217.2/00 18.18 007366 PARTS MIDWEST, INC. . 12/12/00' . 29.91 008631 PARTS PLUS ROSEVILLE 13476 12/12/00 13.21 007057 PRAXAIR 13477 12/12/00 18.82 008462 RAMSEY COUNTY 13478 12/ 12/00 273,449.97 002380 RELIANT ENERGY MINNEGASC 13479 12/12/00 4,213.01 008282 RESOFT, . .INC . - 13480 12/12/00., 1 ,320.00 003350 SEH-RCM t:.,. 13481 12/12/00 8,250.46 008199 SIGNATURE CDNCEPTS, INC 13482 12/12/00 785.95 .00004 SPL INTEGRATED SOLUTIONS 13483 12/12/00 360. 14 I 005306 SPRINGSTED, INC . 13464 12/12/00 411 .50 j 001810 ST. ANTHONY VILLAGE KIWA 13485 12/12/00 25.00 . 002420 STAR. TRIBUNE 13486 12%12/00 ` 736.00 003260w T A SCHIFSKY & SONS 13487 12/12/00 1265. 16 007337 TIMESAVER OFF SITE SECRE 13488 12/12/01) 363.26 003560 TRACY PRINTING 13489 12/12/00 115.00 004481 TWIN CITY JANITOR SUPPLY 13490 12/12/00 390.39 008010 UNIFORMS UNLIMITED 13491 12/12/00 634°95 008336 UNITED ELECTRIC:-COMPANY 13492 .12/12/00 . 22.37 j 008561 UN S UNITED RENTALS COMPANY: 13493 12/12/00 186.38 008270 UNITED STATE 'POSTAL SE R 13494 12112/00 . 600.00 008227 VERIZON WIRELESS, BELLEV 13495 12/12/00 215.58 i .00004 WADDELL/CARLTON 13496 12/12/00 50.00 1 004494 WASTE MANAGEMENT - BLAIN 13497 1.2/12/00 _ 260.77 I 002680 XCEL. ENERGY . 13498 12/ 12/00 2,246.05 000830. ZEE MEDICAL SERVICE. . 13499 12/12/.00 95.53 FIRSTAR ST. ANTHONY CHECKING 369,838.82 ...- - j --- _.- 4 - - - - IX. GENERAL POLICY BUSINESS OF THE COUNCIL. A. Resolution 00-096 B. Resolution 00-097 CITY OF ST. ANTHONY RESOLUTION 00-096 16 • RESOLUTION CALLING FOR THE SALE OF GENERAL OBLIGATION TAX ABATEMENT BONDS, SERIES 2001A BE IT RESOLVED by the City Council of the City of St. Anthony (the City), as follows: Section 1. Purpose. To finance improvements to Central Park (the Project) the City and Independent School District No. 282 (the District) have each agreed pursuant to Minnesota Statutes, Section 469.1812 to 469.1815 (the Act) to grant an abatement of property taxes imposed by the City and District on parcels of property located in the City and District. To finance the Project it is hereby determined to be in the best interests of the City to issue its General Obligation Tax Abatement Bonds, Series 2001A (the Bonds), pursuant to Minnesota Statutes, Chapters 475 and the Act. The principal of and interest on the Bonds will be paid by the property taxes abated by the City and District. The District has pledged and assigned to the City the taxes to be abated by the District under the Act to finance the Project. Section 2. Terms of Proposal. Springsted Incorporated, financial consultant to the City, has presented to this Council a form of Terms of Proposal for sale of the Bonds, which is.attached hereto and hereby approved and shall be placed on file with the City Clerk. Each and all of the provisions of the Terms of Proposal are hereby adopted as the terms and conditions of the Bonds and of the sale thereof. Springsted Incorporated, as independent financial advisors, pursuant to'Minnesota Statutes, Section 475.60,Subdivision;2, paragraph (9) is hereby ® authorized'to solicit bids for the Bonds on behalf of the City on a negotiated basis. Section 3. Sale Meeting. This Council shall meet at the City Hall on Tuesday, January 23, 2001 at 7:00 o'clock P.M. for the purpose of considering sealed bids for the purchase of the Bonds, and of taking such action thereon as may be in the best interests of the City. Section 4. Reimbursement of Costs from Proceeds of the Bonds. All or a portion of the costs of the Project may be paid by the City prior to the issuance of the Bonds to finance the Project, and to the extent such costs are paid by the City prior to the issuance of the Bonds it is the reasonable intent of the City to reimburse all or a portion of the costs of the Project paid by the City prior to the issuance of the Bonds from the proceeds of the Bonds. Adopted this 12`.h day of December, 2000. Attest: City Clerk Mayor Reviewed for administration. City Manager 47 THE CITY HAS AUTHORIZED SPRINGSTED INCORPORATED TO NEGOTIATE THIS ISSUE ON ITS BEHALF. PROPOSALS WILL BE RECEIVED ON THE FOLLOWING BASIS: • TERMS OF PROPOSAL $625;000. CITY OF ST. ANTHONY, MINNESOTA GENERAL OBLIGATION TAX ABATEMENT BONDS,SERIES 2001A (BOOK ENTRY ONLY) Proposals for the Bonds will be received on Tuesday, January 23, 2001, until 11:00 A.M., Central Time, at the offices of Springsted Incorporated, 85 East Seventh Place, Suite 100, Saint Paul, Minnesota, after which time they will be opened and tabulated. Consideration for award of the Bonds will be by the City Council at 7:00 P.M., Central Time, of the same day. SUBMISSION OF PROPOSALS Proposals may be submitted in a sealed envelope or by fax (651) 223-3046 to Springsted. Signed Proposals, without final price or coupons, may be submitted to Springsted prior to the time of sale. The bidder shall be responsible for submitting to Springsted the final Proposal price and coupons, by telephone (651) 223-3000 or fax (651) 223-3046 for inclusion in the submitted Proposal. Springsted will assume no liability for the inability of the bidder to reach Springsted prior to the time of sale specified above. All bidders are advised-that each Proposal • shall be deemed to constitute a contract between the bidder.and the City to purchase,the.Bonds regardless of the manner of the Proposal submitted. DETAILS OF THE BONDS The Bonds will be dated February 1, 2001, as the date of original issue, and will bear interest payable on February 1 and August 1 of each.year, commencing August 1, 2001. Interest will be computed on the basis of a 360-day year of.twelve 30-day months. The Bonds will mature February 1 in the years and amounts as follows: 2002 $30,000 2005 $35,000 2008 $40,000 2011 $45,000 2014 $50,000 2003 $30,000 2006 $35,000 2009 $40,000 2012 $45,000 2015 $55,000 2004 $30,000 2007 $35,000 2010 $45,000 2013 $50,000 2016 $60,000 Proposals for the Bonds may contain a maturity schedule providing for a combination of serial bonds and term bonds, provided that no serial bond may mature on or after the first mandatory sinking fund redemption date of any term bond. All term bonds shall be subject to mandatory sinking fund redemption and must conform to the maturity schedule set forth above at a price of par plus accrued interest to the date of redemption. In order to designate term bonds, the proposal must specify "Last Year of Serial Maturities" and "Years of Term Maturities" in the spaces provided on the Proposal Form. • - i - ' 18 BOOK ENTRY SYSTEM The Bonds will be issued by means of a book entry system with no physical distribution of Bonds made to the public. The Bonds will be issued in fully registered form and one Bond, representing the aggregate principal amount of the Bonds maturing in each year, will be registered in the name of Cede & Co. as nominee of The Depository Trust Company ("DTC"), New York, New York, which will act as securities depository of the Bonds. Individual purchases of the Bonds may be made in the principal.amount of $5,000 or any multiple thereof of a single maturity through book entries made on the books and records of DTC and its participants. Principal and interest are payable by the registrar to DTC or its nominee as registered owner of the Bonds. Transfer of principal and interest payments to participants of DTC will be the responsibility of DTC; transfer of principal and interest payments to beneficial owners by participants will be the responsibility of such participants and other nominees of beneficial owners. The purchaser, as a condition of delivery of the Bonds, will be required to deposit the Bonds with DTC. REGISTRAR The City will name the registrar which shall be subject to applicable SEC regulations. The City will pay for the services of the registrar. OPTIONAL REDEMPTION The City may elect on February 1, 2009, and on any day thereafter, to prepay Bonds due on or after February 1, 2010. Redemption may be in whole or in part and if in part at the option of the City and in such manner as the City shall determine. If less than all Bonds of a maturity are .called for redemption, the City will notify DTC of the particular amount of such maturity to be prepaid. DTC will determine by lot the amount of each participant's interest in such maturity to • be redeemed and each participant will then select by lot the beneficial ownership interests in such maturity to be redeemed. All prepayments shall be at a price of par plus accrued interest. SECURITY AND PURPOSE The Bonds will be general obligations of the City for which the City will pledge its full faith and credit and power to levy direct general ad valorem taxes. In addition the City will pledge tax abatement revenue from certain specified properties. The proceeds will be used to finance various park improvements in the City. TYPE OF PROPOSALS Proposals shall be for not less than $617,810 and accrued interest on the total principal amount of the Bonds. .Proposals shall be accompanied by a Good Faith Deposit ("Deposit") in the form of a certified or cashier's check or a Financial Surety Bond in the amount of $6,250, payable to the order of the City. If a check is used, it must accompany the proposal. If a Financial Surety Bond is used, it must be from an insurance company licensed to issue such a bond in the State of Minnesota, and preapproved by the City. Such bond must be submitted to Springsted Incorporated prior to the opening of the proposals. The Financial Surety Bond must identify each underwriter whose Deposit is guaranteed by such Financial Surety Bond. If the Bonds are awarded to an underwriter using a Financial Surety Bond, then that purchaser is required to submit its Deposit to Springsted Incorporated in the form of a certified or cashier's check or wire transfer as instructed by Springsted Incorporated not later than 3:30 P.M., Central Time, on the next business day following the award. If such Deposit is not received by that time, the Financial Surety Bond may be drawn by the City to satisfy the Deposit requirement. The City • will deposit the check of the purchaser, the amount of which will be deducted at settlement and no interest will accrue to the purchaser. In the event the purchaser fails to comply with the accepted proposal, said amount will be retained by the City. No proposal can be withdrawn or - ii - 19 amended after the time set for receiving proposals unless the meeting of the City scheduled for award of the Bonds is adjourned, recessed, or continued to another date without award of the ® Bonds having been made. Rates shall be in integral multiples of 5/100 or 1/8 of 1%. Rates must be in level or ascending order. Bonds of the same maturity shall bear a single rate from the date of the Bonds to the date of maturity. No conditional proposals will be accepted. AWARD The Bonds will be awarded on the basis of the lowest interest rate to be determined on a true interest cost (TIC) basis. The City's computation of the interest rate of each proposal, in accordance with customary practice, will be controlling. The City will reserve the right to: (i) waive non-substantive informalities of any proposal or of matters relating to the receipt of proposals and award of the Bonds, (ii) reject all proposals without cause, and, (iii) reject any proposal which the City determines to have failed to comply with the terms herein. CUSIP NUMBERS If the Bonds qualify for assignment of CUSIP numbers such numbers will be printed on the Bonds, but neither the failure to print such numbers on any Bond nor any error with respect thereto will constitute cause for failure or refusal by the purchaser to accept delivery of the Bonds. The CUSIP Service Bureau charge for the assignment of CUSIP identification numbers shall be paid by the purchaser. SETTLEMENT Within 40 days following the date of their award, the Bonds will be delivered without cost to'the • purchaser through DTC in New York, New York. .Delivery will be subject to receipt by the purchaser of an approving legal opinion of Dorsey &Whitney LLP of Minneapolis, Minnesota, and of customary closing papers, including a no-litigation certificate. On the date of settlement, payment for the Bonds shall be made in federal, or equivalent, funds which shall be received at the offices of the City or its designee not later than 12:00 Noon, Central Time. Except as compliance with the terms of payment for the Bonds shall have been made impossible by action of the City, or its agents, the purchaser shall be liable to the City for any loss suffered by the City by reason of the purchaser's non-compliance with said terms for payment. CONTINUING DISCLOSURE In accordance with SEC Rule 15c2-12(b)(5), the City will undertake,-pursuant to the resolution awarding sale of the Bonds, to provide annual reports and notices of certain events. A description.of this undertaking is set forth in the Official Statement. The purchaser's obligation to purchase the Bonds will be conditioned upon receiving evidence of this undertaking at or prior to delivery of the Borids: OFFICIAL STATEMENT The City has authorized the preparation of an Official Statement containing pertinent information relative to the Bonds, and said Official Statement will serve as a nearly-final Official Statement within the meaning of Rule 15c2-12 of the Securities and Exchange Commission. For copies of the Official Statement or for any additional information prior to sale, any prospective purchaser is referred to the Financial Advisor to the City, Springsted Incorporated, 85 East Seventh Place, Suite 100, Saint Paul, Minnesota 55101, telephone (651) 223-3000. • 20 The Official Statement, when further supplemented by an addendum or addenda specifying the -. maturity dates, principal amounts and interest rates of the Bonds, together with any other information required by law, shall constitute a "Final Official Statement" of the City with respect to the Bonds, as that term is defined in Rule 15c2-12. -By awarding the Bonds to any underwriter or underwriting syndicate submitting a proposal therefor, the City agrees that, no more than seven business days after the date of such award, it shall provide without cost to the senior managing underwriter of the syndicate to which the Bonds are awarded 25 copies of the Official Statement and the -addendum or addenda described above. The City designates the senior managing underwriter of the syndicate to which the Bonds are awarded as its agent for purposes of distributing copies of the Final Official Statement to each Participating Underwriter. Any underwriter delivering a proposal with respect to the Bonds agrees thereby that if its proposal is accepted by the City (i) it shall accept such designation and (ii) it shall enter into a contractual relationship with all Participating Underwriters of the Bonds for purposes of assuring the receipt by each such Participating Underwriter of the Final Official Statement. Dated December 12, 2000 BY ORDER OF THE CITY COUNCIL /s/ Connie Kroeplin City Clerk 128100 9:49 AM • - iv - .21 • Member introduced the following resolution and moved its adoption: RESOLUTION NO. 2000-097 RESOLUTION APPROVING AMENDMENT TO TAX INCREMENT FINANCING PLAN FOR TAX INCREMENT FINANCING DISTRICT NO. 3-RAMSEY COUNTY, AND MAKING FINDINGS WITH RESPECT THERETO BE IT RESOLVED by the City Council of the City of St. Anthony, Minnesota as follows: 1. The Board of Commissioners of the Housing and Redevelopment Authority in and for the City of St. Anthony(the "HRA") and this Council by resolutions adopted August 25, 1992 approved a redevelopment plan, as defined in Minnesota Statutes, Section 469.002, subdivision 16, designated as Redevelopment Plan for Redevelopment Project Area No. 3-Ramsey County (the "Original Redevelopment Plan"), and a redevelopment project as defined in Minnesota Statutes, Section 469.002, subdivision 14, to be undertaken pursuant thereto, designated as Redevelopment Project No. 3-Ramsey County (the "Original Redevelopment Project"), and on March 23, 1993, the HRA and the City Council approved amendments to the Original Redevelopment Plan and Original Redevelopment Project (the. • Original Redevelopment Plan as so amended is herein called the "Redevelopment Plan" and the Original Redevelopment Project as so amended is herein called the "Redevelopment Project"). In order to finance the public redevelopment costs to be incurred by the HRA in connection with the Redevelopment Plan and Redevelopment Project, the HRA has approved a tax increment financing plan, pursuant to the provisions of Minnesota Statutes, Section 469.175, designated as Tax Increment Plan for Tax Increment Financing District No. 3-Ramsey County (the "Financing Plan"), which establishes a tax increment financing district, as defined in Minnesota Statutes, Section 469.174, subdivision 9, designated as Tax Increment Financing District No. 3-Ramsey County (the "District"). The HRA has requested that this Council approve an amendment to the Financing Plan following a public hearing thereon to reduce the geographic area of the District by eliminating certain parcels therefor. The HRA has furnished to this Council a copy of the Amendment to the Financing Plan for Tax Increment Financing District No. 3-Ramsey County (the"Amendment to the Financing Plan"), and this Council on July 25, 2000, held a public hearing on the same after notice of the public hearing was published in the official new_ spaper of the City, not less than 10 days prior to the date of the hearing. All persons desiring to be heard were heard. 2. The Amendment to the Financing Plan is hereby approved. 3. This Council has previously found that the District is a redevelopment district within the scope of Minnesota Statutes, Section 469.174, subdivision 10; on the basis that there is reasonably distributed throughout the District the following conditions: (i) parcels consisting of 70% of the area in the District are occupied by buildings, streets, utilities or other _22 • improvements and (ii) more than 50% of the buildings (not including outbuildings) are structurally substandard to a degree requiring substantial renovation or clearance. The Amendment to the Financing Plan does not change such prior findings of the Council. 4. Based upon the reasons and supporting facts set forth in the Original Redevelopment Plan and Financing Plan, pursuant to Minnesota Statutes, Section 469.175, subdivision 3, this Council has hereby found that: (A)-For reasons stated in Section 3 of this Resolution, the District is a Redevelopment District as defined in Minnesota Statutes, Section 469.174, subdivision 10. (B) The proposed redevelopment to be undertaken in accordance with the Original Redevelopment Plan in the opinion of this Council would not occur solely through private investment within the reasonably foreseeable future. (C) The Financing Plan conforms to the general plan for the development of the City as a whole. (D) The Financing Plan will afford maximum opportunity consistent with the sound needs of the City as a whole for the development of the District by private enterprise. • (E)The City elects the method of tax increment computation set forth in Minnesota Statutes, Section 469.174, subdivision 3, clause (a). The Amendment to the Financing Plan does not change such prior findings of this Council. Passed by the Council this 12`h day of December, 2000. Mayor Attest: City Clerk City Manager 2 23 ® The motion for the adoption of the foregoing resolution was duly seconded by Member , and upon vote being taken thereon, the following voted in favor thereof: and the following voted against the same:.. whereupon said resolution was declared duly passed and adopted, and was signed by the Mayor, whose signature was attested by the City Clerk. • 3 • 24 DORSEY & WHITNEY LLP • MINNEAPOLIS PILLSBURY CENTER SOUTH BRUSSELS NEW YORK 220 SOUTH SIXTH STREET COSTA MESA SEATTLE MINNEAPOLIS, MINNESOTA 55402-1498 BILLINGS DENVER TELEPHONE: (612) 340-2600 FARGO WASHINGTON,D.C. HONG KONG NORTHERN VIRGINIA FAX: .(612) 340-2868 GREAT FALLS - DES MOINES ROCHESTER LONDON TOKYO ANCHORAGE JEROME P. GMLIGAN MISSOULA SALT LAKE CITY (612) 340-2962 VANCOUVER FAX(612) 240-2644 gilligan.jerome@dorseylaw.com December 6, 2000 Ms. Connie Kroeplin City Clerk City of St. Anthony 3301 Silver Lake Road 'St. Anthony, MN 55418 • Re:• Elimination of Parcels for Apache Plaza TEF District p Dear Connie: Enclosed for the December 12`h City Council/HRA meeting are the following items: 1. Resolutions of HRA and City Council approving an amendment to the TIF Plan for the Apache Plaza TIF District. 2. Amendment to Apache Plaza TIF Plan. The Amendment to the Apache Plaza TIF Plan eliminates three tax parcels from the Apache Plaza TIP District. The parcels being eliminated are the parcel which formerly contained the New Market grocery store, the parcel containing the Apache Plaza Mall, and a small parcel located near the Taco Bell. The aggregate net tax capacity of the three parcels to be eliminated is presently less than the original net tax capacity of the parcels for purposes of determining the tax increment to be received by the District. Therefore, the elimination of these parcels will result in an ® increase in the tax increment generated by the District based upon the present net tax capacities of the eliminated parcels. 25 DORSEY & WHITNEY LLP • Ms. Connie Kroeplin December 6, 2000 Page 2 Should you have any questions or comments, please call me. Yours t y, Per me P. Gilli JPG:pmh Enclosures cc: Jim Prosser Mark Ruff • i X. REPORTS FROM COMMISSIONS AND STAFF. A. Resolution 00-094 B. Financial Management Plan . 26 CITY OF ST. ANTHONY RESOLUTION 00-094 A RESOLUTION APPROVING A PROPOSAL FOR INVESTMENT POLICY REVIEW WHEREAS, the St. Anthony City Council desires a review of the City's investment practices; and WHEREAS, Ehlers & Associates, Inc. has submitted a proposal to review the City's existing investment practices and to recommend an investment policy that will assure that City funds are invested safely at a reasonable yield. NOW, THEREFORE, BE IT RESOLVED, that the City Council of the City of St. Anthony hereby approves the proposal by Ehlers & Associates, Inc. to review the City's investment policy at a cost not to exceed $2,500.00. • Adopted this.. day of , 2000. . Mayor ATTEST: City Clerk Reviewed by Administration: City Manager • 27 _ y • December 1, 2000 �_- EHLERS r' & ASSOCIATES INC Mike Morrison City Manager . St. Anthony Village 3301 Silver Lake Road St. Anthony, MN 55418-1699 Subject: Proposal for Investment Policy Review Dear Mike, You have requested a proposal regarding a review of your investment practices. It is our understanding that the purpose of this study is to provide an investment policy that will assure that city funds are invested safely yet provides a reasonable yield. It is important to note that Ehlers&Associates does not provide direct investment services. We can and do provide our clients advise related to invest policies.The scope of these services will include the following: ❑ Review of existing investment.practices of the City of St. Anthony Village. • ❑ Recommended investment policies These services would be provided by Steve Apfelbacher and Liz Johnson. Copies of qualifications for Mr. Apfelbacher and Ms. Johnson are attached for your review. The fee for the services as outlined would be $150 per hour with a maximum fee not to exceed$2500. This work would be completed within 30 days after authorization. Please call if you have any questions regarding this proposal. We look forward to the opportunity to work with you on this project. Sincerely, EHLERS & ASSOCIATES,INC. Jim Prosser,Financial Advisor Steve A b her,President Liz Johnson,Financial Advisor N:\Min ota\SLAnthony\p roposedservices.11.28.00.wpd Equal Opportunity Employer L E A D E R S I N PUBLIC F I N A N C E Charter Member of the National Association of Independent Public Finance Advisors 3060 Centre Pointe Drive, Roseville, MN 55113-1105 651.697.8500 fax 651.697.8555 www.ehiers-inc.com -28 Elizabeth Johnson EXPERIENCE ❑ Finance Director for the City of Cottage Grove ❑ Auditor for the Minnesota Office of State Auditor ❑ Financial advisor to the Council and Administration of the City of Cottage Grove ❑ Managed the City of Cottage Grove Investment portfolio and instituted the Investment Committee ❑ Revised the City of Cottage Grove's Investment Policy, Fixed Asset Policy, Financial Advisor Economic Development Trust Fund Policy and Health Care and Dependent Care Reimbursement Policy Certified Public Accountant ❑ Completed a comprehensive review of the City's Tax Increment Financing Districts in order to determine compliance with applicable State law Bachelor of Arts, ❑ Managed the City of Cottage Grove's audit process and produced the annual University of St Thomas Comprehensive Annual Financial Statements • • Assisted in preparation of the City of Cottage Grove's annual budget and five year capital improvement plan • Auditor on the City of Minneapolis and Minneapolis Community Development Agency audits • Lead auditor for the City of Minneapolis Library Board and State and Orpheum Theatre audits • 29 • Steve Apfelbacher EXPERIENCE ❑ Actively involved in public finance with Ehlers and Associates since 1979 ❑ Serves on the Board of Directors of Ehlers and Associates ❑ Major clients include: Over 70 cities and villages in Minnesota and Wisconsin Financial Advisor Public utilities within Minnesota, Wisconsin, Michigan, and Iowa Counties PresidentlBoard School districts of Director Special districts Certified ❑ Financial Advisor for over 200 revenue bond issues resulting in extensive Independent experience with the public service commissions and other user charge Public Finance systems Advisor ❑ Financial Advisor for over 500 various general obligation municipal Bachelor of bonds, pure revenue bonds, current and advance refundings, cash flow Science; financings, lease purchase financings, pooled financing, municipal University of disclosure, bond ratings and credit enhancements Minnesota - Economics major SPECIAL EXPERTISE Graduate work; ❑ Economic development/redevelopment packaging University of ❑ Tax increment financing including the creation of over 100 tax increment Minnesota - districts Public ❑ Revenue/utility financing Administration ❑ Credit analysis/presentation to Moody's Investors Service and Standard & Poor's ❑ League of Minnesota Cities (a comprehensive cash management service for Minnesota cities) ❑ Minnesota Association of Governments Investing for Counties (a comprehensive cash management service for Minnesota counties) RELATED EXPERIENCE ❑ Three terms as city council member for a Twin Cities first tier growth community ❑ Four years as Executive Director of a Twin Cities housing and redevelopment authority and community development director. Administrated over$20 million of federal, state and local development funds resulting in over 300 new jobs and $40 million in private development ❑ Recognized public finance panelist/lecturer to various municipal and related organizations • 30 CITY OF ST. ANTHONY � j FINANCIAL MANAGEMENT • PLAN • i - 31 t CITY'OF .ST. ANTHONY FI;NANCIAL.:MANAGEMENT PLAN; Al 3 CONTENTS- . r I. SUMMARY ....................................................................................... 1 II. REVENUE MANAGEMENT ............................................................ 3 ill. CASH AND INVESTMENTS ............................................................ 5 IV. RESERVES ...................................................... .............................. 7 V. OPERATING BUDGET .................................................................... 8 VI. CAPITAL IMPROVEMENTS PLAN.................................................. 9 VII. DEBT MANAGEMENT..................................................................... 10 VII. ACCOUNTING, AUDITING, AND FINANCIAL REPORTING........................................................ 11 IX. RISK MANAGEMENT...................................................................... 12 X. ATTACHMENT: A. GLOSSARY OF TERMS City of St Antho- .32 Financial PI; CITY OF ST. ANTHONY FINANCIAL MANAGEMENT PLAN Scope: A Financial Management-Plan serves two main purposes. It draws together in a single document the City's financial policies and establishes clear principles that should help both Staff and Council members make consistent and informed financial decisions in an increasingly challenging fiscal environment. Purpose: The City of St. Anthony has an important responsibility to its citizens to plan the adequate funding of services desired by the public, including the provision and maintenance of public facilities; to manage and plan municipal finances wisely, and to carefully account for public funds. The City strives to ensure that it is capable of funding and providing local government services needed by the community. The City will maintain or improve its infrastructure on a systematic basis to provide the community with quality neighborhoods and rising property values. Prudent planners must develop adaptive policies that provide citizens with the best possible service value within the prevailing financial context. In order to achieve this purpose, this plan establishes City policy in the following areas: • Revenue Management • Cash and Investments • Reserves • Operating Budget • Capital Improvements Plan • Debt Management • Accounting, Auditing and Financial Reporting • Risk Management Objectives: • To provide both short term and long term future financial stability by ensuring adequate funding for providing services needed by the community. • To protect the City Council's policy-making ability by ensuring that important policy decisions are not controlled by financial problems or emergencies and to prevent financial difficulties in the future. • To provide sound principles to guide the decisions of the City Council and management by providing accurate and timely information concerning various financial matters. 1 City of St Ai �� Financia FINANCIAL MANAGEMENT PLAN a • To employ revenue policies, which prevent undue or unbalanced reliance on certain revenues; distribute the cost of municipal services fairly; and provide adequate funding to operate desired programs. • To provide essential public facilities and prevent deterioration of the City's public facilities and infrastructure. • To protect and enhance the City's credit rating and prevent default on any municipal debt. • To ensure the protection of all City funds through a good system of financial planning and accounting controls. • To create a document that staff and Council members can refer to during financial planning, budget preparation, and other financial management issues. 2 City of St Anthoi , . 34 Financial PIi I. REVENUE MANAGEMENT It is essential to responsibly manage the City's revenue sources to provide maximum service value to the community. Some revenue. sources, such ,as intergovernmental transfers (LGA and HACA) are outside of direct City control and are consequently unaddressed by this policy. This policy establishes guidance for the two major sources of City revenue: property taxes and fees/charges. PROPERTY TAXES The property tax rate will not be increased without exploring all other alternatives. If, after reviewing these alternatives, an increase is required, the goal of the City will be to keep the property tax rate increase at or below the prevailing inflation rate. Basic City services, as annually defined and approved by the City Council, will be funded to the maximum extent possible by increases in market valuation, (i.e., new tax base growth and valuation increase). Priorities for increasing the property tax rate include: • Long-term protection of the City's infrastructure. • Meeting legal mandates imposed by outside agencies. • Maintaining adequate fund balance and reserve funds sufficient to maintain or improve the City's bond rating. Property tax rate increases to meet other purposes will be based on the following criteria: o A clear expression of community need. 9 The existence of community partnerships willing to share resources. Establishment of clearly defined objectives and measurements of success. SERVICE FEES AND CHARGES The City will establish service fees and charges wherever appropriate for the purpose of keeping the property tax rate at a minimum and to fairly allocate the full cost of services to the users of those services. Specifically, the City will: • Establish utility rates sufficient to fund both the operating costs and the replacement of capital equipment items, plus maintain an adequate level of working capital. 3 _ City of St Anthor 35 Financial Plan • As part of the City's enterprise effort, evaluate City services and pursue actions to accomplish the following: ■ The City will charge non-resident fees, which reflect the total cost of the activity or programs. ■ Make services financially self-supporting or, whenever possible, strive to develop and maintain them as profitable. ■ Establish user charges and fees at or near a level related to the direct, indirect, and overhead cost of providing the services for enterprise operations. • Annually review City services and identify those for which charging user fees are appropriate. These services will be identified as enterprise services and fees will be set for each. Included, as part of this process, will be a market analysis that compares our fees to that charged by other cities. • Identify some enterprise services as entrepreneurial in nature. The intent of entrepreneurial services will be to maximize revenues to the extent the market allows. • . Waive or offer reduced fees to youth, seniors, community service groups, and other special. population .groups identified by the Council as requiring preferential consideration based on policy goals. Selected criteria: To determine the specific rate to charge a fee for services rendered, the rate criteria can be one of five approaches: 1. Market Comparison ➢ Attempt to set fees equal to the market rate. 2. Maximum set by External Source ➢ Fees set by legislation, Uniform Building Code, etc. 3. Entrepreneurial Approach . ➢ Fees will be at the top of the market. 4. Recover the Cost of Service ➢ Program will be self-supporting. 5. Utility Fees ➢ An analysis will be completed each year to determine the rate necessary to balance the operating budget. 4 City of St Anthoi : - 36 Financial PIz II. CASH AND INVESTMENTS Effective cash management is essential to good fiscal management. Investment returns on funds not immediately required can provide a significant source of revenue for the City. Investment policies must be well founded and uncompromisingly applied in their legal and administrative aspects in order to protect the City funds being invested. LEGAL ASPECTS Minnesota Statutes authorize.and define an investment program for municipal governments. A, Investment Instruments Authorization • The City of St Anthony shall invest in the following instruments as allowed by Minnesota Statutes: a. United States Treasury obligations b. Federal Agency issues c. Repurchase agreements (repo's) . d. Certificates of deposit e. Commercial paper- prime f. Bankers acceptances - prime g. Money Market funds investing exclusively in U. S. government agency issues B. Supplemental Depositories ADMINISTRATIVE PROCESS Investing the City funds shall be .undertaken in.a manner, which seeks to insure the preservation of capital in the overall portfolio. Safety of principal is the foremost objective; additionally, liquidity and yield are also important considerations. It is essential that money is always available when needed; therefore, the investment goal is to maximize yield while providing cash flow to meet expenditure needs. The City shall seek to conduct its investment transactions with several reputable investment security dealers and qualifying banks. The qualifying bank or dealer must have demonstrated, over a significant period of time, a successful, profitable, and reliable operation. Special care should be exercised when considering new services. 5 City of St Anthor; .37 Financial Pla,. The City will analyze market conditions and investment securities to determine what yield can be obtained and attempt to secure the best possible return on all investments consistent with security and liquidity requirements. Portfolio diversification must also be considered so that investments are not concentrated in one institution, in one type of investment, or purchased from one dealer. The investment portfolio of the City shall be designed to attain an average rate of return regularly exceeding the average return on three month U.S. Treasury bills, while seeking to augment returns above this threshold consistent with budgetary cycles, economic conditions, risk limitations, and prudent investment principles. Investment officials participating in the investment process shall seek to act responsibly as custodians of the public trust and shall avoid any transaction that might impair public confidence in the City of St. Anthony's ability to govern effectively. Staff will provide the City Council with a monthly report of the yield and status of the City's investment portfolio. 6 City of St Antho- .38 Financial PI:. III. RESERVES It is important for the financial stability of the City to maintain reserve funds for unanticipated expenditures or unforeseen emergencies, as well as to provide adequate working capital for current operating needs so as to avoid short-term borrowing. POLICY STATEMENT 1. The City will establish and maintain a Contingency Reserve Fund from the prior year's General Fund budget. These funds are available for appropriation by the Council for unanticipated expenditures and unforeseen emergencies. Council will review the request for funding on a scheduled basis and authorize funding as necessary. In:.an emergency, the City Manager has the authority to commit funds from the Contingency Reserve Fund. 2. The City will maintain fund balances in the General and Special Revenue Funds at a level which will avoid issuing short-term debt to meet the cash flow needs of the current operating budget. Generally, the goal would be to maintain a minimum balance of 35% of the operating budget; however, this need could fluctuate with each year's budget objectives and appropriations such as large capital expenditures and variations in the collection of revenues. 7 City of St Anthor - - 39 Financial Plan IV. OPERATING BUDGET The Operating Budget is the annual financial.plan for funding the costs of City services and programs. The General Operating Budget includes the General Fund, the Special Revenue Funds,_the Street Reconstruction Fund,.the Community Center Fund and the Capital Equipment Fund. Enterprise operations are budgeted in separate Enterprise Funds. 1. The City Manager shall submit a balanced budget in which appropriations shall not exceed the total of the estimated revenues and available fund balance. 2. The City will provide for all current expenditures with current revenues. The City will avoid budgetary procedures that balance current expenditures at the expense of meeting future years' budgets. 3. The City will coordinate the development of the 5-Year Capital Equipment Budget with the development of the operating budget. Operating costs associated with capital improvements will be projected, approved by Council and budgeted on a project basis. 4. . The budget will provide for. adequate operation, maintenance, replacement of City equipment and for their orderly replacement. 5. The impact on the operating budget from any new programs or activities being proposed should be minimized by providing funding with newly created revenues whenever possible. 6. The City will maintain a budgetary control system to help it adhere to the budget. 7. The City administration will prepare monthly reports comparing actual revenues and expenditures to the budgeted amounts. 8. The operating budget will describe the major goals to be achieved and the services and programs to be delivered for the level of funding provided. 9. When establishing operating expenses, Enterprise fund budgets shall be balanced with operating revenues. Reserves from operations can be appropirated to provide replacement costs of property, buildings, equipment, or if appropriate, used when establishing rates and charges for services. 10. Each year, the City Council will approve an operating budget to establish a maximum level of total expenditures. The City Manager will be allowed to reallocate budgeted funds between departments and programs as needed during the year, provided that total maximum expenditures are not exceeded. 8 City of St Anthor - 40 Financial PIE V. CAPITAL IMPROVEMENTS The demand for services and the cost of building and maintaining the City's infrastructure continues to increase. No City can afford to accomplish every project or meet every service demand. Therefore, a methodology, must be employed that provides a realistic projection of community needs, the meeting of those needs, and a framework to support City Council prioritization of those needs. Capital improvements include the scheduling of public improvements for the community over a five-year to ten-year period and takes into account the community's financial capabilities as well as its goals and priorities. A "capital improvement" is defined as any major nonrecurring expenditure for physical facilities of government. Typical expenditures are the cost of land acquisition, construction of roads, utilities, parks, vehicles and capital equipment. Capital improvements are directly linked to goals and policies, land use, community needs and sections of the Comprehensive Plan. DEVELOPMENT PROCESS • Staff will comprise, prioritize, consolidate and recommend Capital Improvement Projects. • Devise proposed funding sources for proposed projects. Recommended funding sources will be clearly stated for each project. Analyze debt service related to new projects. Each project, when applicable, will include its separate impact on the tax levy and/or utility charges as well as its total dollar cost. • Project and analyze total debt service related to the total debt of the City. • A debt study will be provided summarizing the impact of the project, review of the revenues and proposed debt. The City Council will evaluate all proposed Capital Improvements and decide on the following: • Project Prioritization • Funding Source Acceptability • Acceptable Financial Impact on Tax Levy, Total Debt, or Utility Rate Levels. 9 City of St Anthon, - 41 Financial Plat, VI. DEBT MANAGEMENT The use of borrowing and debt is an important and flexible revenue source available to the City. Debt is a mechanism, which allows capital improvements to proceed when needed, in advance of when it would otherwise be possible. . It can reduce.long-term -costs due to inflation, prevent lost opportunities, and equalize the costs of improvements to present and future constituencies. Debt management is an integral part of the financial management of the City. Adequate resources must be provided for the repayment of debt, and the level of debt incurred by the City must be effectively controlled to amounts that are manageable and within levels that will maintain or enhance the City's credit rating. A goal of debt management is to stabilize the overall debt burden and future tax levy requirements to ensure that issued debt can be repaid and prevents default on any municipal debt. A debt level, which is too high, places a financial burden on taxpayers and can create problems for the community's economy as a whole. .POLICY STATEMENT Wise and prudent use of debt provides fiscal and service advantages. Overuse of debt places a burden on the fiscal resources of the .City and its taxpayers. The following guidelines provide a.framework and limit on debt utilization: 1. The City will confine long-term borrowing to planned capital improvements. 2. The City will not use long-term debt for current operations. 3. The City will pay back debt within a period not to exceed the expected useful life of the projects, with at least 50% of the principal retired within two-thirds of the term of the bond issue. 4. Total general obligation debt shall not exceed 2% of the total market valuation of taxable property in the City. 5. Direct net debt (gross debt less available debt service funds) shall not exceed 3% of the total market valuation of taxable property in the City. 6. The City will maintain good communications with bond rating agencies regarding its financial condition. The City will follow a policy of full disclosure in every financial report and bond prospectus. 7. The City will use refunding mechanisms to reduce interest cost when economically feasible. 10 City of St Anthor 42 . Financial Plan VII. ACCOUNTING, AUDITING, AND FINANCIAL REPORTING,.,; The key to effective financial management is to provide accurate, current, and meaningful information about the City's operations to guide decision making and enhance and protect the City's financial position.. POLICY STATEMENT 1. The City's accounting system will maintain records on a basis consistent with generally-accepted accounting standards and principles for local government accounting as set forth by the Government Accounting Standards Board (GASB) and in conformance with the State Auditor's requirements per State Statutes. 2. The City will establish and maintain a high standard of accounting practices. 3. The City will follow a policy of full disclosure written in clear and understandable language in all reports on its financial condition. 4. A primary goal of the Finance Department is to provide timely monthly, quarterly and annual financial reports to users. 5. An independent public accounting firm will perform an annual audit and issue an opinion on the City's financial statements. 6. The City Council will review the audit report, approve its findings and meet with the Auditor to discuss any questions they might have in regard to the audit. 11 City of St Anthor �— 43 Financial PI4.: VIII. RISK MANAGEMENT A comprehensive risk management plan seeks to manage the risks of loss encountered in the everyday operations of an organization. Risk management involves such key components- as risk avoidance, risk reduction, risk assumption, and risk transfers through the purchase of"insurance. The purpose of establishing a Risk Management Policy is to help maintain the integrity and financial stability of the City, protect its employees from injury, and reduce overall costs of operations. POLICY STATEMENT 1. The City will maintain a Risk Management Program that will minimize the impact of legal liabilities, natural disasters or other emergencies through the following activities: a. Loss prevention - prevent losses where possible b. Loss control - reduce or mitigate losses C. Loss financing - provide a means to finance losses d. Loss information management - collect and analyze data to make prudent prevention, control and financing decisions 2. The City will review and analyze all areas of risk in order to; whenever possible, avoid and reduce risks or transfer risks to other entities. Of the risks that must be retained, it shall be the policy to fund the risks which the City can afford and transfer all other risks to insurers. 3. The City will maintain an active safety committee comprised of City employees. 4. The City will periodically conduct educational safety and risk avoidance programs within its various divisions. 5. The City will, on an ongoing basis, analyze the feasibility of self-funding and other cooperative funding options in lieu of purchasing outside insurance in order to provide the best coverage at the most economical cost. 12 44 y ATTACHMENT A FINANCIAL MANAGEMENT - GLOSSARY OF TERMS City of St Anthon - 45 Financial Pla FINANCIAL MANAGEMENT • GLOSSARY OF TERMS AD VALOREM TAX ...............................A tax, which is based on value, such as property taxes. AGENCY FUND.....................................A fund used to account for assets held by the City as an agent for other government units of employees. (Current agency funds are for deferred compensation for our employees and for the South Metro Drug Task Force). AUDIT.....................................................An annual third party review of financial operations and procedures required by State Statutes. BONDS.............. .....................................A written promise to pay a sum of money at specified dates, including interest at a designated time. BONDED DEBT.....................................The portion of City debt represented by outstanding bonds. BUDGET ....................................A financial operations plan of proposed expenditures for a given period of time and the proposed revenues to finance them. Proposed expenditures must equal proposed revenues. CAPITAL OUTLAY ................................Expenditures resulting from the acquisition of fixed assets. CAPITAL IMPROVEMENT BUDGET ................................................A budget created to account for financial resources to be used for the acquisition or construction of major capital projects. COMPREHENSIVE ANNUAL FINANCIAL REPORT (CAFR)...............The official annual financial report which includes combined financial statements, • supporting schedules, supplementary information, extensive introductory information, and a statistical section. i • City of Saint Anthoi - 46 Financial Play DEBT......................................................An obligation resulting from the borrowing of • money or the purchase of goods or services. DEBT SERVICE FUND..........................A fund established to account for the payment of principal and interest oh debt of the City. ENTERPRISE FUND..............................A fund established to account for the financing of services to the general public where all or most of the costs involved are recovered primarily through user fees. (City enterprise funds are water and sewer, police contract services and liquor operations. Expenditure...........................................Disbursements for operating costs debt service and capital outlay. FISCAL DISPARITIES...........................Is a tax sharing pool created to distribute dollars to areas with modest tax capacity values. FISCAL YEAR ...........................:..........The twelve month period to which the annual • budget applies and at the end of which the City . determines its financial position. The City's fiscal year is January 1"to December 31 s` FIXED ASSETS......................................Long-term tangible assets which are "fixed" in nature, such as building, land, and equipment. FUND......................................................An accounting entity with a self-balancing set of accounts in which assets, liabilities, and equity are recorded for a specific activity or objective. FUND BALANCE...................................The difference between fund assets .and fund liabilities. The fund balance can be used as a revenue source by decreasing an existing positive balance. GENERAL FUND...................................This fund is used to account for all general operations of the City, which are necessary to provide basic governmental services. • GENERAL OBLIGATION BONDS (G.O. BONDS)........................................Bonds that are backed with the full faith and credit of the City. ii 47 City of Saint Anthc Financial Plan GENERAL OPERATING BUDGET........The part of the operating budget which includes the general, special revenue,, and capital funds. (Excludes the enterprise funds). GENERALLY ACCEPTED ACCOUNTING PRINCIPLES (GAAP).....................................................Uniform minimum for standards and guidelines for financial accounting and reporting. The primary authoritative body on the application of GAAP to state and local governments is the Governmental Accounting Standards Board (GASB). GRANT...................................................A contribution of cash or other asset from a government or other organization for a specified purpose, activity,or facility. INFRASTRUCTURE...............................Immovable assets such as roads, bridges, curbs and gutters, streets and sidewalks, drainage systems, and lighting systems that are of value only to the City. • INTERGOVERNMENTAL REVENUE ..............................................Revenues from other governments in the form of grants, entitlements, shared revenues, or payments in lieu of taxes. LEVY......................................................The total amount of taxes or special assessments imposed by the City. LOCAL GOVERNMENT AID (LGA).......Funds passed down to the City by the State of Minnesota. MARKET.VALUE.......................:...:.......The value determined by the County Assessor for real estate or property used for levying taxes. OPERATING BUDGET..........................The annual financial plan for funding the costs of providing services and programs. PARKS IMPROVEMENT FUND ............A fund used to account for revenues and • expenditures for the purchase, upgrade and maintenance of City parks. iii . City of Saint Anthon.: - 48 Financial Plan PROJECT...............................................An activity or operation created to achieve a specific purpose or objective containing its • own budget, revenue source and approved expenditures. RESERVES............................................Funds set-aside for unanticipated-expenditures or unforeseen emergencies; as well as to have adequate working capital for current operating needs to avoid short-term borrowing. REVENUE..............................................Funds collected as income to offset operational expenses including property taxes, charges for service, licenses & permits, etc. RISK MANAGEMENT............................The ways and means used to avoid accidental loss or to reduce its consequences if it does occur. SPECIAL ASSESSMENT ......................A levy made against a property to defray all or part of the cost of a capital improvement or service deemed to benefit that property. SPECIAL REVENUE FUND...................These funds are used to account for a revenue • which is restricted for expenditures of a designated purpose. TAX CAPACITY VALUE........................Is the taxable portion of the market value, which is based on classification rates determined by the type of property tax. TAX INCREMENT FINANCING - (TIF)........................................................A financing method where bonds are the anticipated incremental increase in tax revenue resulting from the redevelopment of an area. TAX LEVY..............................................The amount of property taxes levied to finance operations that are not funded by other sources. TAXES....................................................Compulsory charges levied by a government to finance services performed for the common benefit. • iv XI. REPORTS FROM CITY MANAGER AND COUNCIL. .49 • MEMORANDUM DATE: December 5, 2000. TO: Mayor and Councilmembers FROM: Michael Mornson, City Manager ITEM: COUNCILMEMBERS' PARTICIPATION IN OUTSIDE ORGANIZATIONS At the first Council meeting in January, the City Council approves resolutions designating each members' participation in outside organizations. Following lists this information for the year 2000: Councilmember Orizanizations Mayor Cavanaugh North Suburban Cable Commission �. Northwest Youth and Family Sister City Councilmember Thuesen Community services Advisory Council Friends of the Library Parks Commission Liaison Councilmember Horst Chamber of Commerce VillageFest Alternate to the Cable Commission Planning Commission Liaison Councilmember Sparks Association of Metropolitan Municipalities League of Minnesota Cities ACTION Middle Mississippi Watershed District St. Anthony Orchestra Coalition of Drugs Councilmember Hodson Was appointed to the Council January 25, 2000, after passage of the "outside organizations" resolutions • 'HOUSING AND REDEVELOPMENT AUTHORITY AGENDA • CITY OF ST. ANTHONY HOUSING AND REDEVELOPMENT AUTHORITY AGENDA December 11, 2000 PAGE(S) I. CALL TO ORDER. II. ROLL CALL. III. APPROVAL OF DECEMBER 11, 2000 H.R.A. AGENDA. IV. CONSENT AGENDA . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 - 3 These items are considered routine and will be enacted by one motion. There will be no separate discussion of these items unless a Councilmember or citizen so requests, in which event the item will be removed from the Consent Agenda and placed elsewhere on the agenda. V. GENERAL POLICY BUSINESS OF THE H.R.A. A. H.R.A. Resolution 00-015, re: Authorize decertification.of parcels from Apache TIF District . . . . . . . . . . . . . . . . . . . . . . 4 -.12 VI. STAFF REPORTS. VII. H.R.A. COMMISSIONER COMMENTS. VIII. INFORMATION AND ANNOUNCEMENTS. IX. ADJOURNMENT. • IV. CONSENT AGENDA. A. H.R.A. Minutes - November 28, 2000 I CITY OF ST. ANTHONY • 2 HOUSING AND REDEVELOPMENT AUTHORITY MEETING MINUTES 3 November 28, 2000 4 I. CALL TO ORDER. 5 Mayor Cavanaugh called the meeting to order at 8:06 p.m. 6 II. ROLL CALL. 7 Commissioners present: Mayor Cavanaugh; Councilmembers Sparks, Thuesen, Horst and 8 Hodson 9 Commissioners absent: None. 10 Also present: Executive Director Michael Mornson; City Attorney William Soth. 1 I III. APPROVAL OF NOVEMBER 28,2000 H.R.A. MEETING AGENDA. 12 Motion by Sparks to approve the November 28, 2000 City Council Regular Meeting Agenda as 13 presented. Motion carried unanimously. 14 15 IV. CONSENT AGENDA. 16 Motion by Thuesen to approve the Consent Agenda which consisted of: ® 17 1. H.R.A. Minutes of October 24,-2000; and 18 2. Claims. Motion carried unanimously. 19 20 V. GENERAL POLICY BUSINESS OF THE H.R.A. 21 A H.R.A. Resolution 00-011 re: Purchase of 2654 Kenzie Terrace Custom Li uidators . 22 Cavanaugh asked for a report from Executive Director Michael Mornson. Mornson noted that 23 the proposed resolution authorizes the Chair and the Executive Director of the H.R.A. to enter 24 into a purchase agreement to purchase the Custom Liquidators building at 2654 Kenzie Terrace 25 for$600,000. The purchase agreement will be developed by the City Attorney, and will include 26 all recommendations and contingencies. 27 Motion by Thuesen to approve H.R.A. Resolution 00-011,wherein the St. Anthony Housing and 28 Redevelopment Authority hereby authorizes the Chair and Executive Director to execute the 29 purchase agreement for purchase of the property known as 2654 Kenzie Terrace, St. Anthony, 30 Minnesota, for an amount not to exceed$600,000. Said purchase shall be subject to review of 31 the agreement and subsequent contingencies/comments by the St. Anthony City Attorney. Motion carried unanimously. 32 33 B. H.R.A. Resolution 00-12 re: Call for Public Hearing,relating to Grantinp- of a Business 34 Subsidy to TOLD Development representing Walareen's. Housing and Redevelopment Authority Meeting Minutes • November 28, 2000 Page 2 1 City Manager Michael Momson.noted that he.had requested a report from Ehlers & e Walgreen's proposal for Tax Increment.Financing assistance: In 2 Associates regarding th 3 this respect,Morrison introduced Mark Ruff with Ehlers & Associates. 4 Mr. Ruff noted that Ehlers & Associates has completed a review of the request from 5 TOLD Development Company for assistance with the development of the Walgreens 6 store at the northwest comer of Silver Lake Road and 37th Avenue. TOLD has 7 represented that assistance is necessary due to extraordinary development cost including 8 demolition, environmental cleanup and geotechnical corrections. These expenses are 9 considered qualified redevelopment expenses. 10 Mr. Ruff reviewed for the Council the details of the TIF financing as per his memo of 11 November 17, 2000. 12 Cavanaugh inquired about the next step for the City. Mornson noted that a developer's 13 agreement would be drafted and the Council would approve the agreement at a January 14 2001 meeting. • 15 It was determined that a public hearing would not be held in connection with this matter 16 because this is not considered a business subsidy. 17 Morrison asked Mr. Ruff to discuss the issue of decertifying the Apache Plaza parcels. 18 Ehlers has prepared an analysis and in this respect, Mr. Ruff presented details of the tax 19 increment income from that area. It is recommended to decertify certain parcels from the 20 District. 21 Cavanaugh thanked Mr. Ruff for his presentation and input. 22 C. H.R.A. Resolution DO-01 3 re: Termination of TIF District Containing Village 23 Townhomes (Hennepin County). 24 Motion by Horst to approve H.R.A. Resolution 00-013, a Resolution Relating to 25 Amendment to Old Highway Eight Tax Increment Financing District(Hennepin County 26 No. 1952); approving the Termination of Tax Increment Financing District and 27 Decertification of Original Net Tax Capacity Thereof. Motion carried unanimously. 28 29 B. H.R.A. Resolution 00-014 re: Termination of TIF District Containing Evergreen • 30 Townhomes (Ramsey County). 31 Motion by Horst to approve Resolution 00-014, a Resolution Relating to Amendment to 32 Tax Increment financing District No. 2-Ramsey County (Ramsey County No. 7C); Housing and Redevelopment Authority Meeting Minutes • November 28, 2000 Page 3 1 Approving the Termination of Tax Increment Financing District and Decertification of .2 Original Net Tax Capacity Thereof. 3 Motion Carried Unanimously. 4 VI. STAFF REPORTS. 5 None. 6 VII. H.R.A. COMMISSIONER COMMENTS. 7 None. 8 VIII. INFORMATION AND ANNOUNCEMENTS. 9 None. 10 IX. ADJOURNMENT. 1 l Motion by Horst to adjourn the meeting at 8:40 p.m. • 12 Motion carried unanimously. 13 Respectfully submitted, 14 Sue Selseth 15 TimeSaver Off Site Secretarial, Inc. 16 17 Mayor 18 ATTEST: 19 City Clerk V. GENERAL POLICY BUSINESS OF THE H.R.A. A. HRA Resolution 00-015 Commissioner introduced the following resolution and moved . its adoption: H.R.A. RESOLUTION 2000- 015 RESOLUTION RELATING TO AMENDMENT TO TAX INCREMENT FINANCING PLAN FOR TAX INCREMENT FINANCING DISTRICT NO. 3-RAMSEY COUNTY; APPROVING AMENDMENT TO TAX INCREMENT FINANCING PLAN FOR TAX INCREMENT FINANCING DISTRICT NO. 3-RAMSEY COUNTY BE IT RESOLVED, by the Board of Commissioners of the Housing and Redevelopment Authority in and for the City of St. Anthony, Minnesota (the "HRA"), as follows: 1. The HRA and City Council (the"City Council") of the City of St. Anthony, Minnesota(the "City") have previously approved a redevelopment plan, as defined in Minnesota Statutes, Section 469.002, subdivision 16, designated as Redevelopment Plan for Redevelopment Project Area No. 3-Ramsey County (the "Original Redevelopment Plan"), and a redevelopment project to be undertaken pursuant thereto, as defined in Minnesota Statutes, Section 469.002, subdivision 14, to be designated as Redevelopment Project.No. 3-Ramsey County (the "Original Redevelopment Project") and on March 23, 1993,the HRA and the City Council.approved amendments to the Original Redevelopment Plan and Original Redevelopment Project (the Original Redevelopment Plan as so amended is herein called the "Redevelopment Plan" and the Original Redevelopment Project as so amended is herein called the "Redevelopment Project"). In order to finance the public redevelopment costs to be incurred by the HRA in connection with the Redevelopment Plan and Redevelopment Project, the HRA has approved the Tax Increment Financing Plan for Tax Increment Financing District No. 3-Ramsey County (the "Financing Plan"), pursuant to the provisions of Minnesota Statutes, Section 469.174, subdivision 9, to be designated as Tax Increment Financing District No. 5-Ramsey County (the "District"). It has been proposed that the HRA approve amendments to the Financing Plan designated as "Amendment to Tax Increment Financing Plan for Tax Increment Financing District No. 3-Ramsey County" (the "Amendment"), a copy. which has been presented to this Board. The Amendment reduces the geographic area of the District by eliminating certain parcels from the District. 2. The Amendment is hereby approved. 3. The HRA has previously found that the District is a redevelopment district within the scope of Minnesota Statutes, Section 469.174, subdivision 10, on the basis that there is reasonably distributed throughout the District the following conditions: (i) parcels consisting of 70% of the area in the District are occupied by buildings, streets, utilities or other improvements and (ii) more than 50% of the buildings (not including outbuildings) are structurally substandard to a degree requiring substantial renovation or clearance. The HRA finds that the Amendment does not affect such prior finding. 4. The Amendment shall be presented to the City Council for a public hearing on the Amendment pursuant to Minnesota Statutes, Section 469.175, subdivision 3. Dated the 12`h day of December, 2000. Chairman Attest: Executive Director 2 AMENDMENT TO TAX INCREMENT FINANCING PLAN FOR TAX INCREMENT FINANCING DISTRICT NO. 3 - RAMSEY COUNTY THE HOUSING AND REDEVELOPMENT AUTHORITY OF ST. ANTHONY,MINNESOTA APPROVED DECEMBER 12, 2000 . I. INTRODUCTION The Commissioners of the Housing and Redevelopment Authority of St. Anthony, Minnesota (the "HRA") and the City of St. Anthony, Minnesota (the "City"), have previously . approved a tax increment financing plan designated as the Tax Increment Financing Plan for Tax Increment Financing District No. 3-Ramsey County (the."Financing Plan")-which establishes a-. tax increment financing district designated as Tax Increment Financing District No. 3-Ramsey County (the "District"). Certain property in the District has not as yet been redeveloped in a manner which meets the objectives and purposes of the Financing Plan. In order to provide for the redevelopment of such property the HRA desires to eliminate such property from the District and include such property in a new tax increment financing district to be established by the HRA. The parcels to be eliminated from the District are identified in Exhibit A hereto (the "Eliminated Parcels"). By this Amendment, the Commissioners of the HRA eliminate the Eliminated Parcels from the District. This Amendment is approved by the Commissioners of the HRA and the City pursuant to Minnesota Statutes, Section 469.175, subdivision 4. II. AMENDMENT TO FINANCING PLAN The Financing Plan is hereby amended to reduce the geographic area of the . . District by eliminating the Eliminated Parcels from the District. III. FISCAL AND ECONOMIC IMPLICATIONS OF ELIMINATION OF ELIMINATED PARCELS FROM DISTRICT An estimate of the fiscal and economic implications of the elimination of the Eliminated Parcels from the District is attached as Exhibit B hereto and by reference incorporated herein. IV. DETERMINATIONS IN ORIGINAL FINANCING PLAN The determinations made in the Financing Plan with respect to designation of the District as a Redevelopment District, the impact of the establishment of the District and the implementation of the Redevelopment Plan (as defined in the Financing Plan) and undertaking of the Redevelopment Project (as defined in the Financing Plan) and the captured tax capacity of the District upon the redevelopment thereof are not affected by this Amendment and such determinations remain in full force and effect following the adoption of this Amendment. . V. ADDITIONAL AMENDMENTS TO PLAN The City and the HRA reserve the right to further amend or modify the Financing Plan by their joint action, subject to the provisions of state law regulating such action. VI. . ORIGINAL FINANCING PLAN The Financing Plan, except to the extent provisions thereof have previously been explicitly amended or supplemented and are explicitly amended or supplemented by this Amendment shall remain in and be in full force and effect. -2- . EXHIBIT A `. ELIMINATED PARCELS The Parcels containing the following property identification numbers: 31-30-23-33-0002-0 31-30-23-34-0015-3 31-30-23-34-0016-6 A-1 1® EXHIBIT B • ESTIMATE OF FISCAL AND ECONOMIC IMPLICATIONS OF ELIMINATION OF ELIMINATED PARCELS FROM DISTRICT Estimated Impact on Other Taxing Jurisdictions IMPACT ON TAX BASE 200012001 Parcels' Total Net Tax Capacity.Loss Percent of Tax Capacity CTC to Entity Total Ramsey County 337,756,334 48,379 0.0143% City of St. Anthony 5,589,415 48,379 0.8655% School District No. 280 6,756,163 48,379 0.7161% IMPACT ON TAX RATES 2000/2001 Percent Parcels Potential Extension of Total Tax Capacity Taxes Rates Loss Ramsey County 0.417530 29.61% 48,379 209200 City of St. Anthony 0.306390 21.73% 48,379 14,823 School District No. 280 0.614400 43.57% 48,379 29,724 Other 0.071840 5.09% 48.379 3.476 Total 1.410160 100.00% 68,222 The estimates listed above display the amount of current tax capacity of the parcels to be removed which is lower than the parcels' original tax capacity. The tax extension rates and.total net tax caspacities used for calculations are the preliminary Pay 2001 draft.figures. B-1 EHLERS • g;;` & ASSOCIATES INC QTo: Mike Morrison, City Manager From: Mark Ruff UJ Jim Prosser Subject: Apache Mall TIF Parcel Decertification Date: November 20, 2000 Ehlers & Associates has been asked to review the Apache Mall Phase I TIF (Tax Increment District No. 3)parcels to identify any parcel which should be considered for decertification from the district. The district contains eleven parcels shown in the attached table. Two of those parcels currently have a value significantly lower than at the time the district was established. The impact of the reduced value is to reduce the resources available for redevelopment expenses. Therefore it would be prudent to consider removing the parcels from the district. Two issues need to be considered before making this decision. First, it is necessary to review existing development.agreements to determine if the removal of the parcels would impair the • agreement. The assessment agreement dated April 1, 1996 between the Housing and RedevelopmentAuthority (HRA) and the Ste. Marie Company provides a minimum market value of$2,945,000. The assessment agreement supports the City's General Obligation Taxable Tax Increment Bonds, Series 1996A. The current market value and the base year market value of the district are $3,881,200 and $4,225,725; respectively. Both the base and current market value of the district are well in excess of the minimum value provided for within the minimum assessment agreement. According to the City's Bond Attorney removal of these parcels would not impair the existing assessment agreement. The impact of removing the two parcels that have declined in value since the establishment of the district is to improve the tax base in support of the bonds. The second issue is the method of decertification. State law(Minnesota Statutes, Section 469.175)permits two options for decertification of parcels from a TIF district. If a public hearing is conducted the full amount of the net tax capacity may be removed from the district. This amount would be ($48,379). This means that the captured net tax capacity would increase from $152,498 to $200,877. Based on a tax rate of 1.35059, an additional $65,340 in tax increment would be available. If a hearing is not conducted the original net tax capacity is reduced by no more than the current net tax capacity of the parcels eliminated from the district. This means that there would be no additional tax increment available in the current year. If the tax capacity continued to decline additional revenue would be available in future years. It is recommended that a public hearing be conducted to remove the two identified parcels from LEADERS IN PUBLIC FINANCE 3060 Centre Pointe Drive 651.697.8503 fax 651.697.8555 Roseville, MN 55113-1105 jim @ehlers-inc.com - 12 . Page 2 November 21, 2000 Apache Mall-TIF District No.3 the Apache Mall TIF District No. 3. It is possible that if action is taken to decertify this year that the County will remove the parcels for the pay 2001 year. PIN Current Pay 2000 Original Captured Use Class Net Tax Net Tax Net Tax Rate Capacity Capacity Capacity 31-30-23-31-0028-8 City Owned Ex - - - 31-30-23-31-0029-1 C 192,916 25,951 166,965 31-30-23-31-0030-1 C 8,106 8,809 (703) 31-30-23-31-0031-4 C 27,458 7,889 19,569 31-30-23-31-0032-7 Ex - - - 31-30-23-31-0033-0 Ex - - - 31-30-23-33-0002-0 New Market Site C 27,251 63,920 .(36,669) • 31-30-23-34-0013-7 C 22,464 7,945 14,519 31-30-23-34-0014-0 Ex - - - 31-30-23-34-0015-3 By RR track& C 2,214 1,687 527 Taco Bell 31-30-23-34-0016-6 Apache Plaza C 130,465 142,175 (11,710) Total of District 410,874 258,376 152,498 Total of parcels to be decertified 157,716 206,095 (48,379) Total of parcels to remain in district with public 253,158 52,281 200,877 hearing Total of parcels to remain in district without public 253,158 100,660 152,498 hearing Parcels to be decertified in bold • N:\Minnsota\St.Anthony\Genera1\Apache.dcert.11.16.00.wpd