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HomeMy WebLinkAboutCC PACKET 12011998 Meeting Sheet IIIIIIVIIIVIIIVIIIVIIIVIIIIIIIIIII 106483 Box: 37 Folder: CC PACKETS 1998 Document: CC PACKET 12011998 CITY OF ST. ANTHONY CITY COUNCIL WORK SESSION AGENDA December 1, 1998 7:00 PM Council Chambers PAGE(S) I. CALL TO ORDER. II. ROLL CALL. III. DISCUSSION ON TIF ISSUE . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 - 17 IV. PERFORMANCE REPORT ON INVESTMENT PORTFOLIO . . . . . . . . 18 - 26 V. DISCUSSION ON UTILITY FUND/NON-OPERATING - • REVENUES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 27 - 29 VI. DISCUSS WATER FILTRATION FUNDS . . . . . . . . . . . . . . . . . . . . 30 - 32 VII. REVIEW OF ESTIMATED EXPENDITURES AND REVENUES FOR 1998 GENERAL FUND . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 33 VIII. REVIEW ORDINANCE ON POLITICAL SIGNS . . . . . . . . . . . . . . . . . . . . 34 IX. REVIEW FUTURE AGENDA ITEMS . . . . . . . . . . . . . . . . . . . . . . . 35 - 36 X. DISCUSSION ON GOAL SETTING RETREAT XI. UPDATE ON CENCO, ST. ANTHONY SHOPPING CENTER, AND APACHE PLAZA. XII. OTHER BUSINESS. XIII. ADJOURNMENT. III.-- DISCUSSION ON`TIFISSUE: - -= } MEMORANDUM DATE: November 24, 1998 TO: Mike Mornson, City Manager FROM: Roger Larson, Finance Director ITEM: TIF REPORT/UPDATE Bob Thistle, from Springsted, Inc., will be at the December Work Session to discuss the effect that the Class Rate Changes (made by the Legislature over the last two years) had on St. Anthony's TIF Districts. A summary of his analysis if as follows: Annual District Ending Decrease Condition of Projected District Increment District Fund Balance Walbon ($ 5,100) Healthy $340,930 Expires 2012 Evergreen ($ 8,271) Healthy $ 62,991 Expires 2002 Hellickson ($ 3,154) Healthy $311,500 Expires 2020 Chandler ($11,884) Deficit ($832,029) Expires 2011 Apache ($15,580) Deficit ($326,152) Expires 2019 Kenzie ($35,607) Healthy $5,083,346 Expires 2009 Springsted's analysis confirms that the Class Rate Changes have created deficits in the Chandler and Apache TIF Districts. Current legislation allows for the transfer of funds between Districts to cover deficits created by the Class Rate Changes. Since Chandler and Apache do not have sufficient increment to make their debt service obligations, a transfer is necessary from Kenzie Terrace. Kenzie's debt was paid off on 2/1/98 and the District's project annual increment of$409,482 is sufficient to offset the current deficits. Recommendation: Council authorize the transfer of Tax Increment from the Kenzie Terrace TIF District to Chandler as outlined in Exhibit E1 and Apache as outlined in Exhibit F1. City of St. Anth� Minnesota DO A Summary of Existing Tax Increment Financing (TIF) Districts 1 2 3 4 5 6 City TIF# 1950 1952 58 7C 9G 1 H County TIF# 1950 1952 Hsg.#3 2 3 4 County Hennepin Hennepin Ramsey Ramsey Ramsey Ramsey School District# 282 282 282 282 282 282 Name/Description Kenzie Walbon Chandler Evergreen Apache Hellicksan Dental Type of TIF District Housing Red. Housing Soils Cond. Red. Red. Date Certification Requested 6/28/82 7/9/85 10/10/85 10/2/89 4/26/93 4/26/93 Date Certified 9/28/82 8/19/85 10/23/85 6/8/90 10/18/93 10/18/93 1st Year Increment Collected 1983 1987 1986 1990 1997 1995 Last Year of District(Estimated) 2008 2011 2010 2009 2018 2018 Base Inflation Factor(if applicable) NA NA NA NA NA NA Current Tax Rate 133.770% 134.600% 140.929% 140.929% 140.929% 140.929% Frozen Tax Rate NA NA NA 109.393% 132.452% 132.452% Current Net Tax Capacity(a) 369,360 36,081 134,704 63,866 405,152 23,022 Less: Base Net Tax Capacity 36,633 4,509 29,292 858 307,130 3,176 Less: Fiscal Disparities 0 0 0 0 0 0 Equals: Retained Captured NTC 332,727 31,572 105,412 63,008 98,022 19,846 Times:Applicable Tax Rate(b) 133.770% 134.600% 140.929% 109.393% 132.452% 132.452% Equals:Tax Increment 445,089 42,496 148,556 68,926 129,832 26,286 Projected Tax Increment(c) 409,482 37,396 136,672 60,655 114,252 23,132 (a) The NTC values shown above are as assessed in 1997 for taxes payable in 1998. (b) Lessor of the current and frozen rate. (c) Tax increment is estimated for class rate changes effective payable 1999. Prepared by: Springsted Incorporated (11/23/98) E B City of St. Anthony, Minnesota Tax Increment Financing (Housing) District No. 1952 Walbon TIF#1952 Less Less $215,000 Tax Annual Projected Admin. Auditor Annual GO TIF Annual Maximum Collection Period Tax Expenses Deduction Net Ref Bonds Surplus Cumulative Pooling Year Ending Increment 10.00% 025% Revenue Series 1994A (Deficit) Balance 10000% (1) (2) (3) (4) (5) (6) (7) (8) (9) (10) 1997 02/01/98 (25,425) 1998 02/01/99 42,496 4,239 106 38,151 33.975 4,176 (21,249) 42,390 1999 02/01/00 37,396 3,730 93 33,573 37,835 (4,262) (25,511) 37,303 2000 02/01/01 37,396 3,730 93 33,573 36,435 (2,862) (28,373) 37,303 2001 02/01/02 37,396 3,730 93 33,573 0 33,573 5,200 37,303 2002 02/01/03 37,396 3,730 93 33,573 0 33,573 38,773 37,303 2003 02/01/04 37,396 3,730 93 33,573 0 33,573 72,346 37,303 2004 02/01/05 37,396 3,730 93 33,573 0 33,573 105,919 37,303 2005 02/01/06 37,396 3,730 93 33,573 0 33,573 139,492 37,303 _ 2006 02/01/07 37,396 3,730 93 33,573 0 33,573 173,065 37,303 2007 02/01/08 37,396 3,730 93 33,573 0 33,573 206,638 37,303 2008 02/01/09 37,396 3,730 93 33,573 0 33,573 240,211 37,303 2009 02/01/10 37,396 3,730 93 33,573 0 33,573 273,784 37,303 2010 02/01/11 37,396 3,730 93 33,573 0 33,573 307,357 37,303 2011 02/01/12 37,396 3,730 93 33,573 0 33,573 340,930 37,303 2012 02/01/13 0 0 0 0 0 0 340,930 0 528,649 52,733 1,315 474,601 108,245 366,356 527,334 (1) Collection year of tax increment. City# 1952 (2) Annual period ending date. County# 1952 (3) Projected tax increment revenues from TIF District#1952(as per Hennepin County). School District 282 (4) Maximum Administrative Expenses(as per TIF Plan). Type Red. (5) Auditor deduction(as per MN Statute). Name/Description Walborn (6) Total annual net revenue (3)-(4)-(5). Certified 8/19/85 (7) $215,000 G.O.Tax Increment Refunding Bonds,Series 1994A. 1st Collection 1987 (8) Annual cash flow(6)-(7). Last Collection 2011 (9) 12/31/97 ending balance including interest earnings-2/1/98 debt service payments(as per City) Base Inflation% NA (10) Maximum Pooling allowed including Administrative Expenses(as per MN Statute). TC Rate% 134.600% ` 1 TC Rate(Pay.Year) 1998 I W Prepared by: Springsted Incorporated (11/23/98) E0 C City of St. Anthony, Minnesota Tax Increment Financing (Housing) District No.X Evergreen TIF#7C Less Less Tax Annual Projected Admin. Auditor Annual Evergreen Annual Maximum Collection Period Tax Expenses Deduction Net Townhome Surplus Cumulative Pooling Year Ending Increment 1000% 025% Revenue Pay-Go (Deficit) Balance 100.00% (1) (2) (3) (4) (5) (6) (7) (8) (9) 110) 1997 02/01/98 70,883 1998 02/01/99 68,926 6,875 172 61,879 69,771 (7,892) 62,991 68,754 1999 02/01/00 60,655 6,050 152 54,453 54,453 0 62,991 60,503 2000 02/01/01 60,655 6,050 152 54,453 54,453 0 62,991 60,503 2001 02/01/02 60,655 6,050 152 54,453 54,453 0 62,991 60,503 2002 02/01/03 0 0 0 0 0 0 62,991 0 250,892 25,026 628 225,237 233,130 (7,892) 250,264 (1) Collection year of tax increment City# 7C (2) Annual period ending date. County# 2 (3) Projected tax increment revenues from TIF District#7C(as per Ramsey County). School District 282 (4) Maximum Administrative Expenses(as per TIF Plan). Type Soils Cond (5) Auditor deduction(as per MN Statute). Name/Description Evergreen (6) Total annual net revenue (3)-(4)-(5). Certified 6/8/90 (7) Soils Correction Pay-as you-go(ends 2/1/01). 1st Collection 1990 (8) Annual cash flow(6)-(7). Last Collection 2009 (9) 12/31/97 ending balance including interest earnings-2/1/98 debt service payments(as per City) Base Inflation% NA (10) Maximum Pooling allowed including Administrative Expenses(as per MN Statute) TC Rate% 109.393% - TC Rate(Pay.Year) 1990 Prepared by: Springsted Incorporated (11/23/98) TD now City of St. Anthony, Minnesota Tax Increment Financing(Housing) District No. 1H Hellickson Dental TIF#1H Less Less Tax Annual Projected Admin. Auditor Annual Limited Annual Maximum Collection Period Tax Expenses Deduction Net Revenue Surplus Cumulative Pooling Year Ending Increment 1000% 025% Revenue TIF Note (Deficit) Balance 2500% (1) (2) (3) (4) (5) (6) (7) (8) (9) (10) 1997 02/01/98 0 1998 02/01/99 26,286 2,622 66 23,598 23,598 0 0 6,555 1999 02/01/00 23,132 2,307 58 20,767 20,767 0 0 5,769 2000 02/01/01 23,132 2,307 58 20,767 20,767 0 0 5,769 2001 02/01/02 23,132 2,307 58 20,767 20,767 0 0 5,769 2002 02/01/03 23,132 2,307 58 20,767 20,767 0 0 5,769 2003 02/01/04 23,132 2,307 58 20,767 20,767 0 0 5,769 2004 02/01/05 23,132 2,307 58 20,767 20,767 0 0 5,769 2005 02/01/06 23,132 2,307 58 20,767 0 20,767 20,767 5,769 2006 02/01/07 23,132 2,307 58 20,767 0 20,767 41,533 5,769 2007 02/01/08 23,132 2,307 58 20,767 0 20,767 62,300 5,769 2008 02/01/09 23,132 2,307 58 20,767 0 20,767 83,067 5,769 2009 02/01/10 23,132 2,307 58 20,767 0 20,767 103,833 5,769 2010 02/01/11 23,132 2,307 58 20,767 0 20,767 124,600 5,769 2011 02/01/12 23,132 2,307 58 20,767 0 20,767 145,367 5,769 2012 02/01/13 23,132 2,307 58 20,767 0 20,767 166,133 5,769 2013 02/01/14 23,132 2,307 58 20,767 0 20,767 186,900 5,769 2014 02/01/15 23,132 2,307 58 20,767 0 20,767 207,666 5,769 2015 02/01/16 23,132 2,307 5B 20,767 0 20,767 228,433 5,769 2016 02/01/17 23,132 2,307 58 20,767 0 20,767 249,200 5,769 2017 02/01/18 23,132 2,307 58 20,767 0 20,767 269,966 5,769 2018 02/01/19 23,132 2,307 58 20,767 0 20,767 290,733 5,769 2019 02/01/20 23,132 2,307 58 20,767 0 20,767 311,500 5,769 2020 02/01/21 0 0 0 0 0 0 311.500 0 512,060 51,078 1,284 459,698 148,198 311,500 127,694 (1) Collection year of lax increment. City# 1H (2)Annual period ending date. County# 4 (3) Projected tax increment revenues from TIF District#1 H(as per Ramsey County). School District 282 (4) Maximum Administrative Expenses(as per TIF Plan). Type Hellickson (5)Auditor deduction(as per MN Statute). Name/Description Red. (6) Total annual net revenue (3)-(4)-(5). Certified 10/18/93 (7) $130,000 Limited Revenue TIF Note issued by the HRA. 1 st Collection 1995 (8)Annual cash flow(6)-(7). Last Collection 2018 (9) 12/31/97 ending balance including interest earnings-2/1/98 debt service payments(as per City). Base Inflation% NA (10) Maximum Pooling allowed including Administrative Expenses(as per MN Statute). TC Rate% 132.452% TC Rate(Pay.Year) 1993 r v I Prepared by: Springsted Incorporated (11/23/98) TE City of St. Anthony, Minnesota Tax Increment Financing(Housing)District No.58 Chandler TIF#58 Less Less- $2,650,000 Tax Annual Projected Admin Auditor Transfer Annual GO TIF Annual Maximum Collection Period Tax Expenses Deduction from Net Bonds Surplus Cumulative Pooling Year Ending Increment 1000% 025% TIF#1950 Revenue Series 1995B (Deficit) Balance 10000% (1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) 1997 02/01/98 415,962 1998 02/01/99 148,556 14,819 371 0 133,367 250,793 (117,426) 298,536 148,185 1999 02/01/00 136,672 0 342 0 136,330 249,775 (113,445) 185,091 136,330 2000 02/01/01 136,672 0 342 0 136,330 248,400 (112,070) 73,021 136,330 2001 02/01/02 136,672 0 342 0 136,330 251,735 (115,405) (42,384) 136,330 2002 02/01/03 136,672 0 342 0 136,330 249,475 (113,145) (155,529) 136,330 2003 02/01/04 136,672 0 342 0 136,330 251,825 (115,495) (271,024) 136,330 2004 02/01/05 136,672 0 342 0 136,330 253,545 (117,215) (388,239) 136,330 2005 02/01/06 136,672 0 342 0 136,330 249,615 (113,285) (501,524) 136,330 2006 02/01/07 136,672 0 342 0 136,330 250,255 (113.925) (615,449) 136,330 2007 02/01/08 136,672 0 342 0 136,330 255,210 (118,880) (734,329) 136,330 2008 02/01/09 136,672 0 342 0 136,330 254,210 (117,880) (852,209) 136,330 2009 02/01/10 136,672 0 342 0 136,330 252.480 (116,150) (968,359) 136,330 2010 02/01/11 136,672 0 342 0 136,330 0 136,330 (832,029) 136,330 2011 02/01/12 0 0 0 0 0 0 0 (832,029) 0 1,788,615 14,819 4,475 0 1,769,322 3,017,318 (1,247,996) 1,784,140 (1) Collection year of lax increment. (2)Annual period ending date City# 58 (3) Projected lax increment revenues from TIF District#58(as per Ramsey County). County# Hsg #3 (4) Maximum Administrative Expenses(as per TIF Plan). School District 282 (5) Auditor deduction(as per MN Statute). Type Housing (6)Transfer from TIF#1950. Name/Description Chandler (7) Total annual net revenue (3)-(4)-(5)+(6). Certified 10/23/85 (8) $2,650,000 G.O.Tax Increment Bonds,Series 1995B. 1 st Collection 1986 (9)Annual cash flow(7)-(8). Last Collection 2010 (10) 12/31/97 ending balance including interest earnings-2/1/98 debt service payments(as per City) Base Inflation% NA (11) Maximum Pooling allowed including Administrative Expenses(as per MN Statute) TC Rate% 140.929% TC Rate(Pay.Year) 1998 Prepared by: Springsted Incorporated(11/23/98) E E1 City of St. Anthony, Minnesota Tax Increment Financing(Housing)District No.58 Chandler(Annual Transfer From Kenzie) TIF#58 Less. Less $2,650,000 Tax Annual Projected Admin Auditor Annual Transfer GO TIF Annual Maximum Collection Period Tax Expenses Deduction Net from Bonds Surplus Cumulative Pooling Year Ending Increment 1000% 025% Revenue TIF#1950 Series 19958 (Deficit) Balance 10000% (1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) 1997 02/01/98 415,962 1998 02/01/99 148,556 14,819 371 133,367 0 250,793 (117,426) 298,536 148,185 1999 02/01/00 136,672 0 342 136,330 0 249.775 (113,445) 185,091 136,330 2000 02/01/01 136,672 0 342 136,330 0 248,400 (112,070) 73,020 136,330 2001 02/01/02 136,672 0 342 136,330 42,385 251,735 (73,020) 0 136,330 2002 02/01/03 136,672 0 342 136,330 113,145 249,475 0 0 136,330 2003 02/01/04 136,672 0 342 136,330 115,495 251,825 0 0 136,330 2004 02/01/05 136,672 0 342 136,330 117,215 253,545 0 0 136,330 2005 02/01/06 136,672 0 342 136,330 113,285 249,615 0 0 136,330 2006 02/01/07 136,672 0 342 136,330 113,925 250,255 0 0 136,330 2007 02/01/08 136,672 0 342 136,330 118.880 255,210 0 0 136,330 2008 02/01/09 136,672 0 342 136,330 117,880 254,210 0 0 136,330 2009 02/01/10 136,672 0 342 136,330 116,150 252,480 0 0 136,330 2010 02/01/11 136,672 0 342 136,330 0 0 136,330 136,330 136,330 2011 02/01/12 0 0 0 0 0 0 0 136,330 0 1,788,615 14,819 4,475 1,769,322 968,363 3,017,318 (279,632) 1,784,140 (1) Collection year of lax increment. (2)Annual period ending date. City# 58 (3) Projected tax increment revenues from TIF District#58(as per Ramsey County) County# Hsg.#3 (4) Maximum Administrative Expenses(as per TIF Plan). School District 282 (5)Auditor deduction(as per MN Statute). Type Housing (6) Total annual net revenue (3)-(4)-(5). Name/Description Chandler (7)Annual transfer from TIF#1950(Kenzie). Certified 10/23/85 (8) $2,650,000 G.O.Tax Increment Bonds,Series 19958. 1 sl Collection 1986 (9)Annual cash flow(6)+(7)-(8). Last Collection 2010 (10) 12/31/97 ending balance including interest earnings-2/1/98 debt service payments(as per City). Base Inflation% NA (11) Maximum Pooling allowed including Administrative Expenses(as per MN Statute). TC Rate% 140.929% TC Rate(Pay.Year) 1998 V Prepared by- Sprinqsted Incorporated(11/23/98) E E2 City of St. Anthony, Minnesota Tax Increment Financing(Housing)District No.58 Chandler(Lump Sum Transfer From Kenzie) TIF#58 Less. Less, $2,650,000 Tax Annual Projected Admin. Auditor Annual Transfer GO TIF Annual Maximum Collection Period Tax Expenses Deduction Net from Bonds Surplus Cumulative Pooling Year Ending Increment 1000% 025% Revenue TIF#1950 Series 19958 (Deficit) Balance 10000% (1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) 1997 02/01/98 415,962 1998 02/01/99 148,556 14,819 371 133,367 968,359 250,793 850,933 1,266.895 148,185 1999 02/01/00 136,672 0 342 136,330 0 249,775 (113,445) 1,153,450 136,330 2000 02/01/01 136,672 0 342 136.330 0 248,400 (112,070) 1,041,380 136,330 2001 02/01/02 136,672 0 342 136,330 0 251,735 (115,405) 925,975 136.330 2002 02/01/03 136,672 0 342 136,330 0 249,475 (113,145) 812.830 136,330 2003 02/01/04 136,672 0 342 136,330 0 251,825 (115,495) 697,335 136,330 2004 02/01/05 136.672 0 342 136,330 0 253,545 (117,215) 580,120 136,330 2005 02/01/06 136,672 0 342 136,330 0 249,615 (113,285) 466,835 136,330 2006 02/01/07 136,672 0 342 136,330 0 250,255 (113,925) 352,910 136,330 2007 02/01/08 136,672 0 342 136,330 0 255,210 (118,880) 234,030 136,330 2008 02/01/09 136,672 0 342 136,330 0 254,210 (117.880) 116,150 136,330 2009 02/01/10 136,672 0 342 136,330 0 252,480 (116,150) 0 136,330 2010 02/01111 136,672 0 342 136,330 0 0 136,330 136,330 136,330 2011 02/01/12 0 0 0 0 0 0 0 136,330 0 1,788,615 14,819 4,475 1,769,322 968,359 3,017,318 (279.637) 1,784,140 (1) Collection year of tax increment. (2)Annual period ending date. City# 58 (3) Projected tax increment revenues from TIF District#58(as per Ramsey County). County# Hsg #3 (4) Maximum Administrative Expenses(as per TIF Plan). School District 282 (5)Auditor deduction(as per MN Statute). Type Housing (6)Total annual net revenue (3)-(4)-(5). Name/Description Chandler (7) Lump sum transfer from TIF#1950(Kenzie). Certified 10/23/85 (8) $2,650,000 G.O.Tax Increment Bonds,Series 19958. 1 st Collection 1986 (9)Annual cash flow(6)+(7)-(8). Last Collection 2010 (10) 12/31/97 ending balance including interest earnings-2/1/98 debt service payments(as per City). Base Inflation% NA (11) Maximum Pooling allowed including Administrative Expenses(as per MN Statute) TC Rate% 140.929% TC Rate(Pay.Year) 1998 lz�:1Q Prepared by: Springsted Incorporated (11/23/98) 4b ( *-T F City of St. Anthony, Minnesota Tax Increment Financing(Housing)District No.9G Apache TIF#9G Less Less $1,720,000 Tax Annual Projected Admin Auditor Transfer in Annual GO Taxable Annual Maximum Collection Period Tax Expenses Deduction From Net TIF Bonds Surplus Cumulative Pooling Year Ending Increment 1000% 025% TIF#1950 Revenue Series 1996A (Deficit) Balance 2500% (1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) 1997 02/01/98 157,637 1998 02/01/99 129,832 0 325 0 129,507 131,080 (1,573) 156,064 32,377 1999 02/01/00 114,252 0 286 0 113.966 206,080 (92,114) 63,950 28,492 2000 02/01/01 114,252 0 286 0 113,966 205,830 (91,864) (27,913) 28,492 2001 02/01/02 114,252 0 286 0 113,966 205,190 (91,224) (119.137) 28,492 2002 02/01/03 114,252 0 286 0 113,966 204,113 (90,146) (209.283) 28,492 2003 02/01/04 114,252 0 286 0 113.966 207.768 (93,801) (303,085) 28,492 2004 02/01/05 114,252 0 286 0 113.966 205,238 (91,271) (394,356) 28.492 2005 02/01/06 114,252 0 286 0 113.966 207,415 (93,449) (487,805) 28.492 2006 02/01/07 114,252 0 286 0 113.966 203,790 (89,824) (577,628) 28,492 2007 02/01/08 114,252 0 286 0 113,966 204,730 (90.764) (668,392) 28,492 2008 02/01/09 114,252 0 286 0 113,966 204,785 (90,819) (759,211) 28.492 2009 02/01/10 114,252 0 286 0 113,966 203,935 (89,969) (849,180) 28.492 2010 02/01/11 114,252 0 286 0 113,966 207,235 (93,269) (942,448) 28.492 2011 02/01/12 114,252 0 286 0 113.966 204,200 (90,234) (1,032,682) 28,492 2012 02/01/13 114,252 0 286 0 113,966 205,200 (91,234) (1,123,916) 28,492 2013 02/01/14 114,252 0 286 0 113,966 0 113,966 (1,009.950) 28,492 2014 02/01/15 114.252 0 286 0 113,966 0 113,966 (895,983) 28.492 2015 02/01/16 114,252 0 286 0 113,966 0 113.966 (782,017) 28,492 2016 02/01/17 114,252 0 286 0 113.966 0 113.966 (668,051) 28,492 2017 02/01/18 114,252 0 286 0 113,966 0 113,966 (554,085) 28,492 2018 02/01/19 114,252 0 286 0 113,966 0 113,966 (440,118) 28,492 2019 02/01/20 114,252 0 286 0 113.966 0 113,966 (326,152) 28,492 2,529,129 0 6,331 0 2,522.798 3,006,588 (483,789) 630,700 (1)Collection year of tax increment (2)Annual period ending date. City# 9G (3)Projected tax increment revenues from TIF District#913(as per Ramsey County). County# 3 (4)Maximum Administrative Expenses(as per TIF Plan) School District 282 (5)Auditor deduction(as per MN Statute) Type Red (6)Transfer from TIF#1950(Kenzie) Name/Description Apache (7)Total annual net revenue (3)-(4)-(5)+(6). Certified 10/18/93 (8)$1,720,000 G.O.Taxable Tax Increment Bonds,Series 1996A 1st Collection 1997 (9)Annual cash flow(7)-(8). Last Collection 2018 (10) 12131/97 ending balance including interest earnings-2/1/98 debt service payments(as per City). Base Inflation% NA (11)Maximum Pooling allowed including Administrative Expenses(as per MN Statute) TC Rate% 132.452% TC Rate(Pay Year) 1993 Prepared bv- Springsted Incorporated(11/23/98) 4b F1 City of St. Anthony, Minnesota Tax Increment Financing(Housing)District No.9G Apache(Annual Transfer From Kenzie) TIF 09G Less Less $1,720,000 Tax Annual Projected Admin Auditor Annual Transfer in GO Taxable Annual Maximum Collection Period Tex Expenses Deduction Net From TIF Bonds Surplus Cumulative Pooling Year Ending Increment 10.00% 0 25% Revenue TIF#1950 Series 1996A (Deficit) Balance 2500% (1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) 1997 02/01/98 157,637 1998 02/01/99 129,832 0 325 129,507 0 131,080 (1,573) 156,064 32.377 1999 02/01/00 114,252 0 286 113,966 0 206,080 (92,114) 63,950 28,492 2000 02/01/01 114,252 0 286 113,966 27,913 205,830 (63,950) 0 28.492 2001 02/01/02 114,252 0 286 113,966 91,224 205,190 0 0 28,492 2002 02/01103 114,252 0 286 113,966 90146 204,113 0 0 28,492 2003 02101/04 114,252 0 286 113,966 93,801 207,768 0 0 28,492 2004 02/01/05 114,252 0 286 113,966 91,271 205,238 0 0 28.492 2005 02/01/06 114,252 0 286 113,966 93,449 207,415 0 0 28,492 2006 02/01/07 114,252 0 286 113,966 89,824 203,790 0 0 28.492 2007 02/01/08 114,252 0 286 113,966 90,764 204,730 0 0 28.492 2008 02/01/09 114,252 0 286 113,966 90,819 204,785 0 0 28.492 2009 02/01/10 114,252 0 286 113,966 89,969 203.935 0 0 28,492 2010 02/01/11 114,252 0 286 113,966 93,269 207.235 0 0 28,492 2011 02/01/12 114,252 0 286 113,966 90,234 204,200 0 0 28,492 2012 02/01/13 114,252 0 286 113,966 91,234 205,200 0 0 28,492 2013 02/01/14 114,252 0 286 113,966 0 0 113,966 113,966 28,492 2014 02/01/15 114,252 0 286 113,966 0 0 113,966 227,932 28,492 2015 02/01/16 114,252 0 286 113,966 0 0 113,966 341,899 28,492 2016 02/01/17 114.252 0 286 113.966 0 0 113,966 455.865 28,492 2017 02/01/18 114,252 0 286 113,966 0 0 113.966 569.831 28,492 2018 02101/19 114,252 0 286 113,966 0 0 113.966 683,797 28,492 2019 02101/20 114,252 0 286 113,966 0 0 113,966 797,764 28,492 2,529,129 0 6,331 2.522,798 1,123,916 3.006.588 640,127 630,700 (1)Collection year of tax increment (2)Annual period ending date. City# 913 (3) Projected tax increment revenues from TIF District#9G(as per Ramsey County) County# 3 (4)Maximum Administrative Expenses(as per TIF Plan) School District 282 (5)Auditor deduction(as per MN Statute) Type Red (6)Total annual net revenue (3)-(4)-(5). Name/Description Apache (7)Annual transfer from TIF#1950(Kenzie) Certified 10/18/93 (8)$1,720,000 G.O Taxable Tax Increment Bonds,Series 1996A. 1st Collection 1997 (9)Annual cash flow(6)+(7)-(8) Last Collection 2018 (10) 12/31/97 ending balance including Interest earnings-2/1/98 debt service payments(as per City). Base Inflation% NA (11)Maximum Pooling allowed including Administrative Expenses(as per MN Statute) TC Rate% 132.452% TC Rate(Pay Year) 1993 f)rnnn rorl by ¢nrinnetorl Inr'nrnnrRtPrl/110I1QRl E 0 F2 City of St. Anthony, Minnesota Tax Increment Financing(Housing)District No.9G Apache(Lump Sum Transfer From Kenzie) TIF 09G Less- Less $1,720,000 Tax Annual Projected Admin Auditor Annual Transfer in GO Taxable Annual Maximum Collection Period Tax Expenses Deduction Net From TIF Bonds Surplus Cumulative Pooling Year Ending Increment 1000% 025% Revenue TIF#1950 Series 1996A (Deficit) Balance 2500% (1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) 1997 02/01/98 157,637 1998 02/01/99 129,832 0 325 129.507 1,123,916 131,080 1,122.343 1,279.980 32,377 1999 02/01/00 114,252 0 286 113,966 0 206,080 (92,114) 1,187,866 28,492 2000 02/01/01 114,252 0 286 113,966 0 205,830 (91,864) 1,096,003 28,492 2001 02/01/02 114,252 0 286 113,966 0 205,190 (91,224) 1,004,779 28.492 2002 02/01/03 114,252 0 286 113,966 0 204,113 (90.146) 914,633 28,492 2003 02/01/04 114,252 0 286 113,966 0 207,768 (93.801) 820,831 28,492 2004 02/01/05 114,252 0 286 113,966 0 205,238 (91,271) 729,560 28.492 2005 02/01/06 114,252 0 286 113,966 0 207,415 (93,449) 636,111 28,492 2006 02/01/07 114,252 0 286 113,966 0 203,790 (89,824) 546,288 28,492 2007 02/01/08 114,252 0 286 113,966 0 204,730 (90,764) 455,524 28,492 2008 02/01/09 114,252 0 286 113,966 0 204,785 (90,819) 364,705 28,492 2009 02/01/10 114,252 0 286 113,966 0 203.935 (89,969) 274,736 28,492 2010 02/01/11 114,252 0 286 113,966 0 207,235 (93.269) 181,468 28,492 2011 02/01/12 114,252 0 286 113,966 0 204,200 (90,234) 91,234 28.492 2012 02/01/13 114,252 0 286 113,966 0 205,200 (91,234) 0 28,492 2013 02/01/14 114,252 0 286 113,966 0 0 113,966 113,966 28,492 2014 02/01/15 114,252 0 286 113,966 0 0 113,966 227,933 28.492 2015 02/01/16 114,252 0 286 113,966 0 0 113,966 341,899 28,492 2016 02/01/17 114,252 0 286 113,966 0 0 113.966 455,865 28,492 2017 02/01/18 114,252 0 286 113,966 0 0 113,966 569,831 28,492 2018 02/01/19 114,252 0 286 113,966 0 0 113,966 683,798 28,492 2019 02/01/20 114,252 0 286 113,966 0 0 113,966 797,764 28,492 2,529,129 0 6,331 2,522,798 1,123,916 3,006.588 640,127 630,700 (1)Collection year of tax Increment (2)Annual period ending date. City# 9G (3) Projected tax increment revenues from TIF District#913(as per Ramsey County) County# 3 (4)Maximum Administrative Expenses(as per TIF Plan). School District 282 (5)Auditor deduction(as per MN Statute). Type Red. (6)Total annual net revenue (3)-(4)-(5). Name/Descnption Apache (7) Lump sum transfer from TIF#1950(Kenzie) Certified 10/18/93 (8) $1,720,000 G.O.Taxable Tax Increment Bonds,Series 1996A. 1st Collection 1997 (9)Annual cash flow(6)+(7)-(8) Last Collection 2018 (10) 12/31/97 ending balance including interest earnings-2/1/98 debt service payments(as per City) Base Inflation% NA (11) Maximum Pooling allowed including Administrative Expenses(as per MN Statute) TC Rate% 132.452% TC Rate(Pay Year) 1993 Prnnarpri by Cnrinnctpri Inrnrnnratari(11/?3/9R) 4b G City of St. Anthony, Minnesota Tax Increment Financing(Housing)District No. 1950 Kenzie TIF#1950 Less Less Tax Annual Projected Admin. Auditor Annual Transfer Transfer Annual Maximum Collection Period Tax Expenses Deduction Net To To Surplus Cumulative Pooling Year Ending Increment 1000% 025% Revenue TIF#58 TIF#913 (Deficit) Balance 100.00% (1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) 1997 02/01/98 1,007,647 1998 02/01/99 445,089 44,398 1,113 399,578 0 0 399,578 1,407,226 443,976 1999 02/01/00 409,482 40,846 1,024 367,612 0 0 367,612 1,774,838 408,458 2000 02/01/01 409,482 40,846 1,024 367,612 0 0 367,612 2,142,450 408,458 2001 02/01/02 409,482 40,846 1,024 367,612 0 0 367,612 2,510,062 408,458 2002 02/01/03 409,482 40,846 1,024 367,612 0 0 367,612 2,877,674 408,458 2003 02/01/04 409,482 40,846 1,024 367,612 0 0 367,612 3,245,286 408,458 2004 02/01/05 409,482 40,846 1,024 367,612 0 0 367,612 3,612,898 408,458 2005 02/01/06 409,482 40,846 1,024 367,612 0 0 367,612 3,980,510 408,458 2006 02/01/07 409,482 40,846 1,024 367,612 0 0 367,612 4,348,122 408,458 2007 02/01/08 409,482 40,846 1,024 367,612 0 0 367,612 4,715,734 408,458 2008 02/01/09 409,482 40,846 1,024 367,612 0 0 367,612 5.083,346 408,458 2009 02/01/10 0 0 0 0 0 0 0 5,083,346 0 4,539,907 452,855 11,353 4,075,698 0 0 4,075,698 4,528,554 (1) Collection year of tax increment. (2)Annual period ending date. City# 1950 (3) Projected tax increment revenues from TIF District#1950(as per Hennepin County). County# 1950 (4) Maximum Administrative Expenses(as per TIF Plan). School District 282 (5)Auditor deduction(as per MN Statute). Type Housing (6)Total annual net revenue (3)-(4)-(5). Name/Description Kenzie (7)Transfer to TIF#58. Certified 9/28/82 (8)Transfer to TIF#9G. 1 st Collection 1983 (9) Annual cash flow(6)-(7)-(8). Last Collection 2008 (10) 12/31/97 ending balance Including interest earnings-2/1/98 debt service payments(as per City) Base Inflation% NA (11) Maximum Pooling allowed including Administrative Expenses(as per MN Statute). TC Rate% 133.770% TC Rate(Pay.Year) 1998 lv Prepared by: Springsted Incorporated (11/23/98) E G1 City of St. Anthony, Minnesota Tax Increment Financing(Housing)District No. 1950 Kenzie (Annual Transfer to Apache and Chandler) TIF#1950 Less Less Tax Annual Projected Admin. Auditor Annual Transfer Transfer Annual Maximum Collection Penod Tax Expenses Deduction Net To To Surplus Cumulative Pooling Year Ending Increment 10.00% 025% Revenue TIF#58 TIF#9G (DeficN) Balance 10000% (1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) 1997 02/01/98 1,007,647 1998 02/01/99 445,089 44,398 1,113 399,578 0 0 399,578 1,407,226 443,976 1999 02/01/00 409,482 40,846 1,024 367,612 0 0 367,612 1,774,838 408,458 2000 02/01/01 409,482 40,846 1,024 367,612 0 27,913 339,699 2,114,536 408,458 2001 02/01/02 409,482 40,846 1,024 367,612 42,385 91,224 234,003 2,348,539 408,458 2002 02/01/03 409,482 40,846 1,024 367,612 113,145 90,146 164,320 2,512,860 408,458 2003 02/01/04 409,482 40,846 1,024 367,612 115,495 93,801 158,315 2,671,175 408,458 2004 02/01/05 409,482 40,846 1,024 367,612 117,215 91,271 159,125 2.830,300 408,456 2005 02/01/06 409,482 40,846 1,024 367,612 113,285 93,449 160,878 2,991,178 408,458 2006 02/01/07 409,482 40,846 1,024 367,612 113,925 89,824 163,863 3,155,041 408,458 2007 02/01/08 409,482 40,846 1,024 367,612 118,880 90,764 157,968 3.313,009 408,458 2008 02/01/09 409,482 40,846 1,024 367,612 117,880 90,819 158,913 3,471,922 408,458 2009 02/01/10 0 0 0 0 116,150 89,969 (206,119) 3,265,803 0 2010 02/01/11 0 0 0 0 0 93,269 (93,269) 3,172,534 0 2011 02/01/12 0 0 0 0 0 90,234 (90,234) 3,082,300 0 2012 02/01/13 0 0 0 0 0 91,234 (91,234) 2,991,066 0 2013 02/01114 0 0 0 0 0 0 0 2,991,066 0 4,539,907 452,855 11,353 4,075,698 968,363 1,123,916 1,983,419 4,528,554 (1) Collection year of tax Increment. (2)Annual period ending date. City# 1950 (3) Projected tax Increment revenues from TIF District#1950(as per Hennepin County). County# 1950 (4) Maximum Administrative Expenses(as per TIF Plan). School District 282 (5)Auditor deduction(as per MN Statute). Type Housing (6) Total annual net revenue (3)-(4)-(5). Name/Description Kenzie (7) Transfer to TIF#58. Certified 9/28/82 (8)Transfer to TIF#9G. 1st Collection 1983 (9)Annual cash flow(6)-(7)-(8). Last Collection 2008 (10) 12/31/97 ending balance Including Interest earnings-2/1/98 debt service payments(as per City). Base Inflation% NA (11) Maximum Pooling allowed including Administrative Expenses(as per MN Statute). TC Rate% 133.770% TC Rate(Pay.Year) 1998 PranarP(l hv• Rnrinnsted Incomorated 01/23/98) EYAMILT G2 City of St. nthony, Minnesota Tax Increment Financing(Housing)District No.1950 Kenzie(Lump Sum Transfer to Apache and Chandler) TIF#1950 Less: Less: Tax Annual Projected Admin. Auditor Annual Transfer Transfer Annual Maximum Collection Period Tax Expenses Deduction Net To To Surplus Cumulative Pooling Year Ending Increment 10.00% 025% Revenue TIF#58 TIF#913 (Deficit) Balance 100.00% (1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) 1997 02/01/98 1,007,647 1998 02/01/99 445,089 44,398 1,113 399,578 968,359 1,123,916 (1,692,697) (685,049) 443,976 1999 02/01/00 409,482 40.846 1,024 367,612 0 0 367,612 (317,437) 408,458 2000 02/01/01 409,482 40,846 1,024 367,612 0 0 367,612 50,175 408,458 2001 02/01/02 409,482 40.846 1,024 367,612 0 0 367,612 417,787 408,458 2002 02/01/03 409,482 40,846 1,024 367,612 0 0 367,612 785,399 408,458 2003 02/01/04 409,482 40,846 1,024 367,612 0 0 367,612 1,153,011 408,458 2004 02/01/05 409,482 40,846 1,024 367,612 0 0 367,612 1,520,623 408,458 2005 02/01/06 409,482 40,846 1,024 367,612 0 0 367,612 1,888,235 408,458 2006 02/01/07 409,482 40,846 1,024 367,612 0 0 367,612 2,255,847 408,458 2007 02/01/08 409,482 40,846 1,024 367,612 0 0 367,612 2,623,459 408,458 2008 02/01/09 409,482 40,846 1,024 367,612 0 0 367,612 2,991,071 408,458 2009 02/01/10 0 0 0 0 0 0 0 2,991,071 0 4,539,907 452,855 11,353 4,075,698 968,359 1,123,916 1,983,423 4,528,554 (1)Collection year of tax increment. (2)Annual period ending date. City# 1950 (3) Projected tax increment revenues from TIF District#1950(as per Hennepin County). County# 1950 (4) Maximum Administrative Expenses(as per TIF Plan). School District 282 (5)Auditor deduction(as per MN Statute). Type Housing (6)Total annual net revenue (3)-(4)-(5). Name/Description Kenzie (7)Transfer to TIF#58. Certified 9/28/82 (8)Transfer to TIF#9G. 1st Collection 1983 (9)Annual cash flow(6)-(7)-(8). Last Collection 2008 (10) 12/31/97 ending balance including interest earnings-2/1/98 debt service payments(as per City). Base Inflation% NA (11) Maximum Pooling allowed Including Administrative Expenses(as per MN Statute). TC Rate% 133.770% TC Rate(Pay.Year) 1998 Prepared by: Springsted Incorporated(11/23/98) MEMORANDUM DATE: September 30, 1996 TO: Mayor and Councilmembers Planning Commission Members FROM: Michael Mornson, City Manager ITEM: AMENDMENT TO THE CITY OF ST. ANTHONY REDEVELOPMENT PLAN On October 8th, the City Council and Housing and Redevelopment Authority (HRA) will call for a public hearing to amend the City's Redevelopment Plan. On November 12th, the hearing will be held. Prior to the hearing, the Planning Commission will review the amendment to the Plan and submit a written opinion which'will be the minutes of the September 17, 1996 meeting. The City of St. Anthony will hold a hearing to amend its Tax Increment Financing (TIF) and Redevelopment Districts. The City does not intend to establish a new district, nor to extend the life of the existing districts. The purpose of the amendment is to allow the City to make additional expenditure of tax increment funds in order to facilitate additional residential and commercial development. The benefit to the City will be an increase in property value and jobs. The following is a list of additional possible expenditures authorized by the St. Anthony City Council and HRA. eject Activity Funds That Could Be Authorized Redevelop vacant property between $233,000 Industrial Custom Products and the Amoco Station on 37th Avenue NE (new) Bridge work along Silver Lake Road $100,000 between 37th Avenue NE and Silver Lane - (new) Old Clark Station property redevelop- $40,000 ment on Stinson Boulevard (existing) (up $10,000 from previous plan) ' 1 fAmendment of City Redevelopment Plan Page 2 eject Activity Funds That Could Be Authorized Redevelop bowling alley property $40,000 on Kenzie Terrace' (existing) (down$20,000 from previous plan) Redevelop St. Anthony Shopping $60,000 Center area along New Brighton (up $25,000 from previous plan) Boulevard and Kenzie Terrace (existing) Redevelop vacant lots by Twin $75,000 City Federal (existing) (up $15,000 from previous plan) Redevelop 10 residential lots $1.3 million by Kenzie plus add Kentucky i (up $500,000 from previous plan) Fried Chicken, pizza, video properties and Firstar lot (existing) Redevelop Apache Plaza area (existing) $820,000 (up $520,000 from previous plan) Community Center site work (existing) $100,000 (issued bonds) Street scape within the City (new) $250,000 Delete $500,000 for Lowry Grove expenditure because of change in ownership. New expenditure total $1,533,000 In June, 1995, the City amended their Redevelopment Plan and as a result, the following activities have occurred. Prqject Money Authorized Evergreen Twin Homes, 12 $150,000 value between$160,000 to $180,000 $1.9 million l7 Amendment of City Redevelopment Plan Page 3 Prqject Money Authorized Arbors Townhomes, 16 $260,000 Valued at $180,000 $2.9 million Industrial Custom Products $125,000 $1.2 million retained plus 65 jobs Apache Plaza $300,000 $4.5 million, CUB Store plus 250 jobs plus $1.5 million in bond proceeds Community Center $2.65 million bonds issued The City invested $835,000 in the 4 redevelopment projects from the 1995 amendment and will increase or retain value of$10,500,000 and 315 jobs will be created. Benefits of Using TIF in This Manner 1. Less cost to taxpayer by not having to set up new district. 2. Less cost to taxpayer by not being penalized LGA. 3. Less cost to taxpayer by not having to issue bonds. 4. Immediate gain in tax value to some properties not in the district. Status of Existing TIF Districts District TIF Increment Terminates *Chandler Housing $240,000 per year 2010 *Kenzie Terrace Housing $461,910 debt until 1999 2008 Evergreen Townhomes Housing $59,000 2001 Walbon Housing $35,000 debt until 2001 2011 Apache Plaza Commercial 2018 *The Chandler and Kenzie Terrace districts are the districts the City is using for the expenditures. IV.� PERFORMANCE REPORT ON INVESTMENT PORTFOLIO. MEMORANDUM DATE: November 19, 1998 TO: Mike Mornson, City Manager FROM: Roger Larson, Finance Director ITEM: INVESTMENT PORTFOLIO REPORT The following is a discussion of the City's investment procedures, rate of return, market value and information relating to the investment of public funds. What brokerage firms does the City do business with? 1) Dain Bosworth 2) 4/M Fund (Investment Insights) 3) Juran & Moody 4) John G. Kinnard 5) Dean Witter 6) Firstar St. Anthony Bank (Money Market Savings) These brokerage houses are firms with strong local and national affiliations. The City does not invest with out-of-state telephone solicitation brokers. Types of Investments: 1) Certificates of Deposit 2) Commercial Paper 3) Fannie Mae's 4) Ginnie Mae's 5) Zero Coupon Bonds 6) Federal Home Loan Mortgages 7) Government Agencies All municipal investments are governed by State Statues, which restricts the type of investments that a public entity can invest. These instruments are often referred to as safe investments, with a guaranteed rate of return. If held to maturity, the investor receives the exact rate of return as stated without loss of principal. iq The investment portfolio/rate of return: (12/31/97) 1) Money Market Savings $ 1,100,078 5.13% 2) General City Investments $ 2,091,196 6.32% 3) HRA Investments $ 2,629,579 7.52% 4) Water Filtration Funds $ 4,413,315 6.01% $10,234,168 Value/Tracking of the portfolio: At the end of 1997, the total fund balances on all City Funds totaled $12,581,163 of which $10,234,168 was invested. The market value of the portfolio at year-end was $10,346,263, which is $112,595 higher than the book value and is a sound indictor of the quality of the investments. The book value to market value is tracked monthly. Spreadsheets are used to compare the current book value to market value to determine if capital gains are present and should be realized. Investment Policy: (See Attached) The City's investment policy applies to the investment of long and short term operating funds of the City of St. Anthony. The scope of the policy includes: 1) Objectives: A) Safety of Principal B) Liquidity C) Yield 2) Standards of Care: A) Prudent Person Rule a) Not taking risk to jeopardize the safety of public funds. 3) Ethics: A) Conflicts of interest 4) Delegation of Authority: A) Finance Director B) City Manager � o 5) Authorized Financial Institutions 6) Authorized Investments 7) Safekeeping 8) Investment Parameters A) Diversification B) Cash flow needs C) Short & Long Terms Investments Current/future market conditions: Rand Winspear, from Juran & Moody who manages the City's HRA investment portfolio, will be present to discuss current market conditions and answer questions regarding municipal investments. Rand's backround includes: 1) 13 years experience as a Finance Director for the Cities of Cottage Grove, Oakdale and North St. Paul. 2) Investment broker for 14 years. 3) Does business with 22 municipalities INVESTMENT POLICY 2 I. Scope . This policy applies to the investment of long term and short term operating funds of the City of St . Anthony. Individual investments are purchased using the polled approach for efficiency and maximum investment opportunity. The City will consolidate cash balances from all funds to maximize investment earnings. Each individual fund' s cash balance will continue to be reported separately in the general ledger system. Investment income will be allocated to the various funds based on their respective participation and in accordance with generally accepted accounting principles . II. Objective The primary objectives, in priority order, of investment activities shall be safety, liquidity, and yield. A. Safety Safety of principal is the foremost objective of the investment program. Investments shall be undertaken in a manner that seeks to ensure the preservation of capital in the overall portfolio. The objective will be to mitigate credit risk and interest rate risk. 1 . Credit risk. The City will minimize credit risk. Credit risk is the risk of loss due to the failure of the security issuer or backer by: a. Limiting investments to those types of securities allowable by Minnesota Statute and set forth as Authorized Investments. b. Diversifying the investment portfolio so that potential losses on individual securities will be minimized. 2 . Interest rate risk. The City will minimize the risk that the market value of securities in the portfolio will fall due to changes in general interest rates by: a. Structuring the investment portfolio so that securities will mature to meet cash requirements for ongoing operations, thereby avoiding the need to sell securities prior to maturity. b. Investing funds in those securities allowable by Minnesota . Statue #118A. B. Liquidity INVESTMENT POLICY Z The investment portfolio shall remain sufficiently . liquid to meet all operating requirements that may be reasonably anticipated. This is accomplished by structuring the portfolio so that securities mature concurrent with cash needs to meet anticipated demands. Furthermore, since all possible cash demands cannot be anticipated, the portfolio should consist of some securities with the greatest liquidity. A portion of the portfolio may be placed in money market funds that offer same day liquidity for short-term funds and are invested in those securities allowable by Minnesota Statue. C. Yield The investment ,portfolio shall be designed with the objective of attaining a market rate of return throughout budgetary and economic cycles, taking into account the investment risk constraints and liquidity needs. The core of investments are limited to relatively low risk securities in anticipation of earning a fair return relative to the risk being assumed. Securities shall be held to maturity with the following exceptions : 1. A security with declining value may be sold early to minimize loss of principal . 2 . A capital gain in principal can be realized. 3 . A security swap would improve the quality, yield or target duration in the portfolio. 4 . Liquidity needs of the portfolio require that a security be sold. III. Standards of Care The standard of care to be used by the investment official shall be the prudent person standard and shall be applied in the context of managing an overall portfolio. Investment officers, acting in accordance with written procedures and this investment policy and exercising due diligence shall be relieved of personal responsibility for an individual security' s credit risk or market price changes, provided deviations from expectations are reported in a timely fashion and the liquidity and the sale of securities are carried out in accordance with the terms of the City' s Investment Policy attachment to the broker notification and certifiction form. Investments shall be made with judgment and care, under . economic circumstances then prevailing with discretion and intelligence. 2 . INVESTMENT POLICY 3 IV. Ethics and Conflicts of Interest Officers and employees involved in the investment process shall refrain from personal business activity- that could conflict with the proper execution and management of the investment program, or that could impair their ability to make impartial decisions . Employees and investment officials shall disclose any material interests in financial institutions with which they conduct business . They shall further disclose any personal financial/investment positions that could be related to the performance of the investment portfolio. Employees and officers shall refrain from undertaking personal investment transactions with the same individual with whom business is conducted on behalf of the City. V. Delegation of Authority Authority to manage the investment program is granted to the Finance Director who shall be designated as the investment officer. The Finance Director shall develop and maintain administrative procedures for the operation of the investment program. The procedures shall include a bidding process, monitoring diversification and risk as well as a system of controls to regulate the activities of subordinate officials . The Finance Director is authorized, as allowed . under Minnesota Statute, to designed depositories and broker-dealers for City funds. In the Finance Directors absence, the City Manager shall be authorized to complete transactions as the investment official . VI. Authorized Financial Dealers and Institutions The Finance Director will maintain a list of financial institutions to provide investment services to the City. All broker-dealers who desire to become qualified bidders for investment transactions must supply the Finance Director with audited financial statements, proof of National Association of Securities Dealers certification, proof of Minnesota registrations and completion of broker notification and certification form as required by the Minnesota Statue #118A prior to any investment transactions with the City. VII. Authorized Investments The city is authorized under Minnesota Statute #118A to invest in the following securities : A. United States securities. Public funds may be invested in governmental bonds, notes, bills, (excluding mortgage backed securities) and other 3 INVESTMENT POLICY securities, which are direct obligations or are guaranteed or insured issues of the United States, its agencies, its instrumentalities, or organizations created by an act of Congress. B. State and local securities. Funds may be invested in the following: 1 . Any security which is a general obligation of any state or local government with taxing powers which is rated A or better by a national bond rating service. 2 . Any security, which is a revenue obligation of any state or local government with taxing, powers which is rated AA or better by a national bond rating service. 3 . General obligations of the Minnesota housing finance agency, which is a moral obligation of the state of Minnesota and is rated A or better by a national bond-rating agency. C. Commercial papers. Funds may be invested in commercial paper issued by United States corporation or their Canadian subsidiaries that is rated in the highest quality category by at least two nationally recognized rating agencies and mature in 270 days or less. D. Time deposits . Fund may be invested in time deposits that are fully insured by the Federal Deposit Insurance Corporation or bankers acceptances of United States banks. Any change to the stature will be deemed to be incorporated into this policy. VIII.Insurance Coverage Full insurance coverage will be required on investment accounts at a minimum of $10, 000, 000 total per account . The insurance coverage may be a combination of FDIC and SIPC insurance. The level of insurance coverage will be adjusted upward to cover the full value of the account, if the account exceeds $10, 000, 000 . IX. Safekeeping Securities purchased shall be retained at the institution where the securities are purchased. 4 INVESTMENT POLICY ;2 S X. Investment Parameters The City' s investments shall be diversified as to specific maturity, issuer and institution in order to minimize overall risk to the portfolio. Investments shall be purchased to match expected cash flow needs, minimizing the market risk associated with selling an investment before its maturity date. To the extent possible, the City shall attempt to match its investments with anticipated cash flow requirements. Unless matched to a specific cash flow, the City will directly invest in securities with a stated maturity of more than seven years. Reserve funds and other longer-term investments may be invested insecurities exceeding seven years if the maturity of such an investment is make to coincide as nearly as practicable with the expected use of such funds . Because of the inherent difficulties associated with accurately forecasting cash flow requirements, a portion of the portfolio should be continuously invested in readily available funds, such as money market funds. XI. Reporting and Review The investment officer shall prepare an investment report and present it to the City Council one time per year. The City auditor shall review all City investments and report his findings in the City' s annual financial statements. 5 Investment Policy/Mortgage Backed Securities The portfolio shall exclude High Risk Securities as defined in Minnesota Statues, Sections #I18A.04, 118A.05 and 118A.06 as follows: 1) Interest - only or Principal -only backed securities. 2) Any mortgage derivative security that: A. has an expected average life greater than ten years; B. has an expected average life which will extend more than four years as the result of an immediate and parallel shift in the yield curve of plus 300 basis; C. has an expected average life which will shorten by more than six years as the result of an immediate and sustained parallel shift in the . yield curve of minus 300 basis points; D. will have an estimated change in price of more than 17 percent, as the result of an immediate and sustained parallel shift in the yield curve of plus or minus 300 basis points. 3) In addition, the City of St. Anthony and Dain Bosworth, Inc., hereby agree that on the request of either party Dain Bosworth, Inc., shall re- purchase any and all securities, sold to the City of St. Anthony by a legal representative from Dain Bosworth, Inc., at full face value of the purchase price, which do not comply with Minnesota Statues #118A.04, 118A.05 and 118A.06 or the City of St. Anthony's Investment Policy. We agree to conduct your investment transactions in accordance with Minnesota Statues and the City of St. Anthony's Investment Policy's. Authorized Representative Date Dean Witter Reynolds, Inc. V. DISCUSSION ON UTILITY FUND/ NON-OPERATING REVENUES. • • z -7 MEMORANDUM DATE: November 2, 1998 TO: Mike Mornson, City Manager FROM: Roger Larson, Finance Director ITEM: UTILITY FUND/NON-OPERATING REVENUES The following is a recap of the Utility Funds water and sewer revenue for 1997. (It should be noted that other than interest earnings, non-operating revenues do-not subsidize water & sewer rates.): On page 67 of the auditor's financial statement, the information is provided: Water and Sewer Revenue $ 928,578 Expenditures $1,156,173 ($ 227,595) Non-Operating Revenues 447,204 NET INCOME $ 219,609 The format of presenting revenues, less expenditures, adding non-operating revenue is commonly used in the accounting profession. Upon review of the above information, an assumption could be made that non-operating revenues are subsidizing the water & sewer rates. However, a closer review of the numbers reveals that the revenues derived from quarterly water and sewer billings is adequate to balance the Utility Fund budget. Within the numbers presented above are revenues and expenditures which are associated with the Water Filtration Fund. Presentation of the numbers without including the Water Filtration numbers would be as follows: Water & Sewer Revenue $ 928,578 Add: Interest Earnings $ 21,856 (Water Sewer portion only) Other Income $ 3,700 Credits 29,346 Total Revenues $ 983,480 1997 expenditures $1,156,173 Less: Carbon filtration operation and maintenance ($ 94,240) Depreciation for water/sewer mains & lines ($ 68,756) Reimbursement for administration costs ($ 12,353) Total Expenditures $ 980,824 *The City received reimbursement for administrative expenses associated with the operation & maintenance of the Carbon Filtration Plant. The $12,353 is part of the $114,232 listed as water reimbursements (monies derived from the MPCA agreement). This analysis indicates that the Utility Rates for 1997 were adequate to balance the 1997 Operating Budget. It also reveals that there is commingling of the Water Filtration numbers and the Water/Sewer numbers. I think establishing a separate schedule for the Water Filtration numbers in the financial statements would provide a clearer presentation of the numbers. If Council agrees, I will advise the auditor accordingly. z � CITY OF ST. ANTHONY SCHEDULE 23 UTILITY FUND STATEMENT OF OPERATIONS AND CHANGES IN RETAINED EARNINGS FOR THE YEARS ENDED DECEMBER 31, 1997 AND 1996 1997 ----���-------- - --- 1996 Water Sewer Totals Totals Operating Revenues Charges for Services $382,693 $545,885_ M $928,578 `_$920,577 Operating Expenses Personal Services 192,629 94,916 287,545 276,925 Supplies 17,867 3,907 21,774 26,173 Contracted Services and Other 112,246 41,654 153,900 191,362 Filtration and Other Charges 94,240 94,240 92,260 Treatment Charges 502,404 502,404 452,218 Depreciation and Amortization 56,518✓ 39,792✓ 96,310 98,547 Total Operating Expenses 473,500 682,673 1,156,173 1,137,485 Operating Income (Loss) (90,807) (136,788) (227,595) (216,908) Nonoperating Revenues Reimbursements 114,232 3,700 117,932 100,117 Credits and Other 3,318 26,028 29,346 14,748 VAR Investment Income N292,641 7,285 299,926_ 281,258 Total Nonoperating Revenues 410,191 37,013 447,204 396,123 Net Income (Loss) $319,384 ($99,775) 219,609 179,215 ---------- ---------- 41 ---------- ---------- Retained Earnings Beginning of Year 5,285,788 5,037,234 Redistribution of Depreciation to Contributed Capital 68,756 - 69,339 il Retained Earnings End of Year $5,574,153 $5,285,788 -67- ,a VI. DISCUSS WATER FILTRATION FUNDS. • • 3v MEMORANDUM DATE: November 2, 1998 TO: Mike Mornson, City Manager FROM: Roger Larson, Finance Director ITEM: WATER FILTRATION FUNDS Attached is the annual review of water filtration funds. Presently we are in our eighth year of the agreement with the MPCA. This agreement provides 90% funding for the operation and maintenance of the carbon filtration plant through 3/31/01. Upon completion of the 10 year funding agreement, the City is responsible for 100% of the operation, maintenance, repairs and building replacement costs. A concept review of the history of the funds include: Initial settlement from the Army $3,000,000 . Less: Attorney Fees ($ 500,000) Plus: Honeywell Settlement $ 500,000 Net Results $3,000,000 All of the money has been invested since the City received it with the exception of the $1,185,000 temporary water filtration bond paid off in 1993. In 1990, the City implemented a financial plan to build the funds to a level that would provide annual interest earnings adequate to provide funding for operation and maintenance and building capital improvements without reducing the principal. The theory in place is to provide safe drinking water for the community and using the lawsuit money to pay for it. The present financial plan is accomplishing that goal. Expenditures in 1997 totaled $123,079, compared to interest earnings of$265,178. The MPCA has indicated that the projected life to clean up the water could take as long as 100 years. This means there are long term planning issues and the financial plan needs to take in consideration the funds needed for building replacement costs (the . original plant was constructed for slightly over $4,000,000). 31 The current plan that the City has in place provides interest earnings, which adequately . cover the current operation and maintenance costs plus is providing substantial funding (currently over $100,000 annually) for building replacement costs. My recommendation would be to designate the interest earnings, which exceed the annual operation and maintenance costs into a building replacement improvement fund. This will define money for plant replacement costs without putting the burden on the residents of St. Anthony, which has been the goal of the City Council since the inception of the contaminated water problem. In addition, the establishment of a long range building replacement fund provides the opportunity for long term investment philosophy, which will increase the yield of the portfolio. 4b • GAC Treatment Plant Projected Budget 4/1/91 4/1/92 411/93 4/1/94 4/1/95 4/1/98 411/97 3131/92 3/31/93 3137/94 3/31/95 3/31/98 3/31/97 3/31/98 St.Anthony 1991 Actual 1992 Actual 1993 Actual 1994 Actual 1995 Actual 1996 Actual 1997 Budget 1998 Budget 1999 Budael 2000 Budael 2001 Rudael STATE COSTS $312.31 $343.13 $174.85 $234.62 $251.72 $5,000.00 $5,000.00 $5,000.00 $0.00 1)1.10111168 Natural Gas $3,270.21 $4.048.08 $3.897.51 $3,029.60 $4,220.46 $5,813.84 $4.13824 $5,500.00 $5.750.00 $6.000.00 $6,250.00 Electricity $5,300.87 $4,900.31 $6,610.01 $4,587.90 $2,085.32 $5,870.81 $4.809.82 $7,000.00 $7,250.00 $7,850.00 $8.250.00 Sewage 51.540.04 S].500.04 51.950.04 &1.750.00 S],750.40 52.251 M 52.500.04 S2.750.4G 53.250.40 53.540-00 Total Utilities $10,071.08 $10,448.39 $12,157.52 $9.967.50 $8,835.78 $13,934.85 $11,448.06 $15.250.00 $16.000.00 $111,900.00 $18,000.00 2)Labor Operations $21,535.95 $20,436.91 $16,79120 $22.159.53 $18.307.74 $21,781.88 $20.24123 $42,500.00 $43.250.00 $44.500.00 $48.750.00 Administration 52,175.09 54.082.34 54.94241 S5280- 59105,21 S6-67S 59 57-093.90 59.540.00 59.250.44 x10.000.00 x19.750.00 Total Labor $23,711.03 $24,52921 $21,733.61 $27,440.52 $24,412.95 $28,457.47 $27,305.13 $51,000.00 $52,500 00 $54.500.00 $57.500.00 3)Activated Carbon $0.00 $85.380.00 $0.00 $71,541.40 $88,829.22 $70,897.40 $76.685.60 $98,500.00 $101,500.00 $104,500.00 $108,000.00 RemovatlReplacement 4)Consumables $307.38 $588.67 $931.71 $397.36 $950.02 $1.185.99 $1,792.94 $1,400.00 $1,350.00 $1,500.00 $1,550.00 5)Service Contracts $2,883.41 $1,07928 $1,11024 $1,143.38 $1,177.67 $1,21320 $1,249.68 - $1.800.00 $1,700.00 $1,800.00 $1,900.00 6)Laboratory Analysis $5,750.00 $8,952.00 $8,357.68 $4,410.00 $5.09200 $5,382.00 $4,368.00 $8,000.00 $8.25000 $8.500.00 $8.750.00 7)fAscellaneous/Pennil Fees $0.00 $0.00 $0.00 $150.00 $75.00 $85.00 $0.00 $0.00 $0.00 $0.00 $0.00 8)RepahMeplatement 5444 54 00 11044 54 Q4 5004 5044 SIM) 55.540 40 S6750- 57-090.44 117-254.04 Appretus TOTAL GAC BUDGET PROJECTION $42,502.88 $128,955.65 $44,803.07 $115,39327 $127,347.29 $121.390.33 $123,079.13 $187,250.00 $193.050.00 $199,700.00 $202,950.00 Equipmentrrools- $9,33524 Federal Funding(90%) $38.252.59 $116,060.00 $40.142.76 $103,853.94 $114.612.58 $109,251.30 $110,77122 $168,525.00 $173,745.00 $179.730.00 $0.00 SL Anthony Share(10%) 54,254,2$ 512.695.58 54,490.31 $11539.33 &12734.73 $12.139.03 512.307.91 518.725.00 519305.00 519.970.00 5202.950,04 Total GAC Budget $42,502.88 $138,290.79 $44,603.07 $115,39327 $127.34729 $121,390.33 $123,079.13 $187,250.00 $193,050.00 $199.700.00 $202.950.00 TOTAL REVENUE EARNINGS ArmyMoneywe812-31.90 Budget Budget Budget Budget Budget Budget Budget Budget Budget Budget Budget Balance equals$3,541,553 $3.643.920.00 $3,848,223.00 $2,840.980.00 $3,008.259.25 $3.173,899.93 $3.352,194.66 $3,541.018.68 $3,734,755.25 $3,939,535.64 $4.155.937.86 $4,202.344.25 Actual Actual Actual Actual Actual Actual Actual $4,024,721.00 $4,441,491.00 $3,644,881.00 $3,872,921.00 $4,150,316.00 $4,438,487.00 $4,812,734.00 3 cent per ($1,185,000.00) gallon Bond Payment 711193 Assumes Interest earnings of 6%annually levy -One time basis during first 10 yearshnaAmum reimbursement Is$10,000 W VII. REVIEW ESTIMATED EXPENDITURES AND REVENUES FOR 1998 GENERAL FUND. • Budget to Actual Projection: Estimated Revenues: Budget Actual Property Taxes $1,567,767.00 $1,552,089.00 Licenses $11,100.00 $10,966.00 Permits $52,800.00 $98,183.00 Building Permit Revenue Intergovernmental Revenues $1,084,301.00 $1,102,615.00 Police State Aid Municipal Court Fines $100,000.00 $98,790.00 Miscellaneous Revenues $67,850.00 $87,029.00 LMCIT Dividend Transfers $247.082.00 $244.092.00 Total Revenues $3,130,900.00 $3,193,764.00 Estimated Expenditures: Budget Actual Mayor/Council $53,800.00 $50,572.00 Intergovernmental Relations $16,400.00 $15,737.00 Cable Franshise $19,200.00 $18,548.00 General Management $107,700.00 $104,189.00 Elections $20,750.00 $15,563.00 Finance/Insurance $259,950.00 $220,515.00 Workers Comp Insurance Finance/Assessing $33,600.00 $32,908.00 Legal $58,000.00 $52,062.00 Engineering/Planning/Zoning $8,500.00 $5,909.00 City Buildings $92,350.00 $90,468.00 Civil Defense $38,300.00 $35,386.00 Police Protection $1,267,400.00 $1,210,184.00 Fire Protection $458,550.00 $455,083.00 Inspections/Building Permits $22,600.00 $66,562.00 Animal Control $5,300.00 $3,977.00 Public Works $393,700.00 $372,817.00 Public Works/Maintenance&Repair $109,800.00 $105,443.00 Tree and Weed Care $28,700.00 $22,690.00 Parks $61,300.00 $59,167.00 Transfers to other Funds $75.000.00 $75.000.00 Total Expenditures $3,130,900.00 $3,012,780.00 $180,984.00 W (Al IX. REVIEW ORDINANCE ON POLITICAL SIGNS. • • 4®RAF34- DRAFT T CITY OF ST. ANTHONY ORDINANCE 199?-? AN ORDINANCE RELATING TO SIGNS, AMENDING SECTION 1400.08, SUBD. 1 OF THE 1993 ST. ANTHONY CODE OF ORDINANCES The City Council of the City of St. Anthony hereby ordains: Section 1. Section 1400.08, Signs Requiring No Permits, Subd.1 , Political Signs will be amended to read as follows: Subd. 1. Political Signs. All political signs of any size may be posted from August 1 in a State General election year until 10 days following the State General Election. For Local General Elections (City and School), which are held the first Tuesday after the first Monday in November of odd numbered years, all political signs of any size may be posted four weeks prior to a Local General City election until five days following a Local General Election. Political signs are not allowed to be placed within ten feet from the curb. Section 2. This ordinance shall become effective as of the date of its publication. First Reading: Second Reading: Adopted: Mayor ATTEST: City Clerk Publish: St. Anthony Bulletin on X: REVIEVFUTURE AGENDA ITEMS: • • : S Meeting Date Meeting Type Item/Issue December 7 Regular Truth in Taxation hearing Ord., re: storm water (3rd reading/adopt) Political signs ord. (1s` reading) December 16 Regular 6:00 PM - 7:00 PM interview Planning Commission candidates Resolution approving 1999 budget and tax levy Appoint Planning Commissioners . Park Commission report Political signs ord. (2nd reading) January 5 Work Session Res., 3 street improvement projects -Call for hearing for 1999 street improvements -Declare assessed cost -Call hearing for proposed assessment Res., 12 annual housekeeping resolutions (i.e., Mayor Pro Tem; legal newspaper, Council's participation in outside . organizations; etc.) 3� ACTION request Water Quality Task Force Reminder on Goal Setting Retreat WSB contract January 12 Regular Political signs (3`d reading) Housekeeping resolutions 1 CITY OF ST. ANTHONY 2 WORKSESSION MINUTES 3 November 4, 1998 4 7:00 p.m. - 5 6 7 I. CALL TO ORDER. 8 Meeting called to order at 7:01 p.m. 9 10 H. ROLL CALL. 11 Councilmembers Present: Ranallo, Marks, Faust, Cavanaugh, and Thuesen. 12 Councilmembers Absent: None. 13 Also Present: Michael Morrison, City Manager; Kim Moore-Sykes, Management Assistant; 14 Jay Hartman, Public Works Director; and Dick Johnson, Fire Chief. 15 16 III. OPUS UPDATE PRESENTATION ON APACHE PLAZA. 17 Jay Scott, Russ McGinty and Paul Delatto were present to report on the Apache Plaza. Mr. 18 Scott gave a historical prospective of the project to the present. He reported that Herberger's 19 has secured the old Montgomery Ward's space in Rosedale, which he felt would open 20 redevelopment opportunities that have been limited heretofore. Mr. Scott reported that Regal 21 Theaters is interested in constructing a large-theater complex and WalMart recently contacted 22 him about their renewed interest in the Apache Plaza site. He indicated that he has gotten 23 nothing firm from WalMart. He also reported that Herberger's has not indicated to him that 24 they are leaving Apache Plaza but that this situation does not prevent Regal Theaters from 5 starting their project. 6 27 Paul Delatto, representative for Regal Theaters, indicated that they are interested in moving 28 quickly with the construction of the theater complex. He reported that they could conceivably 29 have the theaters open by the 1999 holiday season. Mr. Scott reported that these large theater 30 complexes tend to encourage peripheral development, usually restaurants. Both responded 31 that they don't anticipate traffic being an issue as that the most popular times to go to a movie 32 is after 7:00 p.m., which is long after the workday rush-hour is over and on weekends. Mr. 33 Delatto also reported that show times are staggered so that ticket lines are controlled; parking 34 will be sufficient because again most stores are closed; and they sell 80% of the seating for any 35 movie, which limits their parking requirements. 36 37 Councilmember Cavanaugh asked if copies of the partnership agreement'between OPUS and 38 Regal Theaters are available. Mr. Delatto indicated that they have not yet formalized their 39 partnership with signed agreements but that if the City was favorable to their proposal, 40 negotiations could begin. Councilmember Cavanaugh requested that the Council be provided 41 with evidence of paperwork within six months or the City would need to put-the�property back 42 into circulation. He suggested that the City consider putting a moratorium on Apache Plaza. 43 44 Mr. Scott indicated that moratoriums do not really help to get redevelopment going on a 45 property. He also indicated that because Apache Plaza is not located'close enough to freeway 6 interchanges, it is difficult to attract any interest. Most retailers are looking for easy access 7 and high visibility. ssivn; rilytt .SE. Anthony Shdo ing Center �lieves ;. 2 �Ierc�a�ts tddisco�" , ` City Manager indicated that the i 4 3• r� • W $ Finance Director wilt be re�f� Fund estimates of revenue and 'as v ced ,expenditures for'1�8. _ seemed ff tR �YUSIl`tESS% t the q .,. 1.. bty Manage PePf0 mance yor reported that he and Councilmember ssues are 1 1�2e�st whi-be con&�g the.,Cerformance review. Councilmember tted to 4fivanawughsuggestedihat the to sit in on the review session and g : perhaps ft;could bier done as pging retreat. The Management Assistant � ' .•s_ genii ted}the Cotzncihthat thereat is required to be an open meeting and private- 14 t1 at ail.perforihance reviews".e City Council;are closed meetings here the t beca ItIie nature of the discVcted as private. - Only the City Manager n the 16 c2ai;request an open meeting.id that the Council provide him with ne where 17 cottunente ley,Nbvember 1e he will ADI NMENT_ ` �Q The City Council ,iiorksession mee&0:20 p.m. i 21 said the 22 Respectfu4y Submitted.by, j new fire .ssues, 2 ailable land ' Z® Moore-Sykes t put together 2Y Management Assistant other 1e felt that - �\rector As might 6 P he Fire )blew of know i er e Chief's le.