HomeMy WebLinkAboutCC PACKET 05102012H.R.A. Meeting immediately
following City Council meeting
CITY OF ST. ANTHONY
CITY COUNCIL MEETING AGENDA
May 8, 2012
"7:00 p.m.
Call to Order.
Pledge of Allegiance.
Roll Call.
Consideration, Discussion, and Possible Action on All of the following items::
I. Approval of the May 8, 2012, City Council Meeting Agenda. (action requested)
II. Proclamations and Recognitions. (action requested)
A. Proclamation for National Police Week, May 13 -19, 2012. (pp. 1-2)
III. Consent Agenda. (action requested)
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.
A. Approval of April 24, 2012, Council Meeting Minutes and the April 24, 2012, Closed Session Meeting Minutes.
(pp. 3-10)
B. Licenses and Permits. (pp. 11-12)
C. Claims. (pp. 13-14)
D. Adopting a Policy for Remote Access. (pp. 15-20)
E. Adopting the Post Issuance Debt Compliance Policy and Procedures. (pp. 21-30)
IV. Public Hearing. None.
V. Reports from Commission and Staff. None.
VI. General Business of Council.
A. GreenStep Presentation by University of Minnesota Sustainability Minor Students. (pp. 31-36)
VII. Reports from City Manager and Council members.
VIII. Community Forum.
Inditrduals may address the City Gunal about any item not included on the regalara8enda. Speakers are .requested to come to the podium, sign their name and address on the form at the
podium, state their name and address for the Clerk's recorg and limit their remarks to fits minutes Generally, the City Council will not take oSt al action on items diseased at this time, but
may typically refer 11e matter to staff for a futurr report or direct the matter to be scheduled on an upcoming agenda.
IX. Information and Announcements.
X. Adjournment.
Our Mission is to be a progressive and livable community, a walkable village, which is sustainable, safe and secure.
FACouncil Meetings\20121050820121agendapg#.docx
CITY OF ST. ANTHONY
TO RECOGNIZE NATIONAL POLICE WEEK 2012 AND TO HONOR THE SERVICE AND
SACRIFICE OF THOSE LAW ENFORCEMENT OFFICERS KILLED IN THE LINE OF DUTY
WHILE PROTECTING OUR COMMUNfTIES AND SAFEGUARDING OUR DEMOCRACY.
WHEREAS, there are approximately 900,000 law enforcement officers serving in communities
across the United States, including the dedicated members of the SAINT ANTHONY
POLICE DEPARTMENT; and
WHEREAS, nearly 60,000 assaults against law enforcement officers are reported each year,
resulting in approximately 16,000 injuries; and
WHEREAS, since the first recorded death in 1791, almost 20,000 law enforcement officers in
the United States have made the ultimate sacrifice and been killed in the line of
duty; and
WHEREAS, the names of these dedicated public servants are engraved on the walls of the National
Law Enforcement Officers Memorial in Washington, D.C.; and
WHEREAS, names of fallen heroes are being added to the National Law Enforcement Officers
Memorial this spring, including 163 officers killed in 2011 and 199 officers killed in
previous years; and
WHEREAS, the service and sacrifice of all officers killed in the line of duty will be honored
during the National Law Enforcement Officers Memorial Fund's 24'x' Annual
Candlelight Vigil, on the evening of May 13, 2012; and
WHEREAS, the service and sacrifice of all officers killed in the line of duty will be honored
during the MINNESOTA LAW ENFORCEMENT MEMORIAL ASSOCIATION'S
Annual Candlelight Vigil, on the evening of May 15, 2012; and
WHEREAS, the Candlelight Vigil is part of National Police Week, which takes place this year on
May 13-19; and
WHEREAS, May 15'x' is designated as Peace Officers Memorial Day, in honor of all fallen officers
and their families; and
THEREFORE, BE IT RESOLVED that the Saint Anthony City Council formally designates May
13-19, 2012, as Police Week in the City of St. Anthony, and publicly salutes the service of law
enforcement officers in our community and in communities across the nation.
Adopted this 8°i day of May, 2012.
ATTEST:
City Clerk
Reviewed for Administration:
Mayor
City Manager
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3
1 CITY OF ST. ANTHONY
2 CITY COUNCIL REGULAR MEETING MINUTES
3 APRIL 24, 2012
4
5 CALL TO ORDER.
6
7 Mayor Faust called the meeting to order at 7:00 p.m.
8
9 PLEDGE OF ALLEGIANCE.
10
11 Mayor Faust invited the Council and audience to join him in the Pledge of Allegiance.
12
13 ROLL CALL.
14
15 Present: Mayor Faust; Councilmembers Gray, Jenson, Roth, and Stille.
16 Absent: None.
17 Also Present: City Manager Mark Casey, City Attorney Jay Lindgren, Finance Director Shelly
18 Rueckert, and Director of Public Works Jay Hartman.
19 Guests: Janelte Borgen (WS13 & Associates) and Students from the University of Minnesota
20 Capstone Program.
21
22
23 CONSIDERATION, DISCUSSION, AND POSSIBLE ACTION ON ALL OF THE FOLLOWING
24 ITEMS.
25
26 L APPROVAL OF APRIL 24, 2012, CITY COUNCIL MEETING AGENDA.
27
28 Mayor Faust noted the addition of agenda item II.A. to recognize the 50°i anniversary of the
29 Kiwanis Club of St. Anthony, Minnesota.
30
31 Motion by Councilmember Gray, seconded by Councilmember Roth, to approve the City
32 Council Meeting Agenda of April 24, 2012, as amended.
33
34 Motion carried unanimously.
35
36 II. PROCLAMATIONS AND RECOGNITIONS.
37
38 A. Resolution 12-046; To Recognize the 50°i Anniversary of the Kiwanis Club of St.
39 Anthony, Minnesota.
40
41 Councilmember Jenson recited the proclamation recognizing the 50°i anniversary of the Kiwanis
42 Club of St. Anthony.
43
44 Motion by Councilmember Jenson, seconded by Councilmember Stille, to approve Resolution
45 12-046; "fo Recognize the 50°i Anniversary of the Kiwanis Club of St. Anthony, Minnesota.
46
47 Motion carried unanimously.
48
49 III. CONSENT AGENDA.
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City Council Regular Meeting Minutes
April 24, 2012
Page 2
IV.
V.
39 VI.
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A. Consider April 10, 2012, Council meeting minutes,
B. Consider licenses and permits;
C. Consider payment of claims; and
D. Consider Resolution 12-044; Amending the Joint Powers Agreement with East Metro
Special Weapons & Tactics Team (SWAT) relating to Automobile Liability Coverage.
Motion by Councilmember Stille, seconded by Councilmember Jenson, to approve the Consent
Agenda items.
Motion carried unanimously.
PUBLIC HEARING.
A. 2013 Budget. Mark Casey, City Manager, and Shelly Rueckert, Finance Director,
presenting.
Mayor Faust opened the public hearing at 7:06 p.m.
City Manager Casey explained that the City conducts a public hearing early in the budget
process to solicit input from the community as the budget is developed. He reviewed the 2013
budget calendar, noting that the City Council will review the proposed 2013 budget and levy at
its September 11, 2012, meeting, followed by formal adoption on December 11, 2012.
Finance Director Rueckert presented the 2012 General Fund revenues and stated the 2012 budget
is approximately $5.5 million with a tax levy of $3,045,166 or 55% of overall revenues. She
indicated that the remaining 45% of revenue comes primarily from the joint powers agreement
with Falcon Heights and Lauderdale for public safety services, which represents approximately
22% of the overall budget. She then presented the 2012 General Fund expenditures, noting that
the City has a balanced budget with approximately 65% of the City's budget spent on public
safety. She stated the City expects to prepare the 2013 budget using the 2012 budget model.
No speakers were present. Mayor Faust closed the public hearing at 7:13 p.m.
REPORTS FROM COMMISSION AND STAFF.
None.
GENERAL BUSINESS OF COUNCIL.
A. Resolution 12-045; Adopt the Amendments to the Greater Metropolitan Housing
Corporation's Program Guidelines. Mark Casey, City Manager, presenting. (Tabled from
the March 13, 2012, meeting.)
City Council Regular Meeting Minutes
April 24, 2012
Page 3
1 City Manager Casey presented the proposed amendments to the Greater Metropolitan Housing
2 Corporation's program guidelines and noted this item was tabled from the March 13, 2012, City
3 Council meeting in order to clarify some of the repayment terms.
4
5 Councilmember Jenson asked if the interest rate was reduced in the program guidelines and
6 whether the maximum loan amount was changed.
7
8 City Manager Casey replied the interest rate was reduced from 4% to 3% to reflect the current
9 market. He added the maximum loan amount has not changed.
10
11 Councilmember Stille advised that the program guidelines were previously silent the repayment
12 schedule and he requested the guidelines clarify that the repayment schedule is fully amortized,
13 which was the intent of Greater Metropolitan Housing Corporation.
14
15 Motion by Councilmember Roth, seconded by Councilmember Gray, to approve Resolution 12-
16 045; Adopting the Greater Metropolitan Housing Corporation's Program Guidelines as amended.
17
18 Motion carried unanimously.
19
20 B. Update on Silver Lake Road LED Pedestrian Crossing Study_Janelle Borgen, WSB &
21 Associates, and Students from the University of Minnesota Capstone Program presenting.
22
23 Director of Public Works Hartman introduced Janelle Borgen and stated Ms. Borgen has been
24 working with students from the University of Minnesota Capstone Program on a pedestrian
25 crossing safety enhancement project to increase pedestrian safety throughout the City.
26
27 Ms. Borgen thanked the City Council for the opportunity to work with the students on this
28 project and stated their work has been focused on the mid -block crossing in front of City Hall.
29
30 Ms. Amanda Larson thanked the City Council for allowing them to present their findings and
31 stated their project focused on the pedestrian crossing at Silver Lake Road and 34°i Avenue with
32 an objective of enhancing the crosswalk to increase pedestrian safety without disrupting
33 aesthetics. She explained the scope of their work included a site assessment, traffic study, and
34 design recommendations with an outcome of increasing use of the crosswalk and decreasing
35 jaywalkers.
36
37 Mr. Ryan Anderson presented the results of the preliminary traffic study, which observed traffic
38 on March 27 and March 29 from 7:00-8:30 a.m. and from 2:30-5:00 p.m. He stated that 19% of
39 pedestrians were classified as jaywalkers and 81 % of pedestrians used the crosswalk. He stated
40 the average yield rate observed during the study was 49% and the installation of an Intelligent
41 Transportation System (ITS) device can increase the yield rate up to 75% or 90%.
42
43 Mr. Tom Sachi presented possible solutions, including installation of a HAWK system, overhead
44 beacons, blinker beacons, rectangular rapid flash beacons, in -pavement LED markings, and in -
45 pavement LED blinker lights. I Ie stated a HAWK system is typically used in higher traffic areas
46 and costs $100,000, is very large, and not aesthetically pleasing. He stated the overhead beacon
5
6City Council Regular Meeting Minutes
April 24, 2012
Page 4
I costs $100,000 and hangs over the road using flashing yellow lights. He stated the blinker
2 beacon costs $15,000 per light and there is a blinker beacon installed north of City Hall so this
3 system is not recommended because it may confuse drivers. IIe indicated the rectangular rapid
4 flash beacon uses flashing LED lights, which are often too bright to use in neighborhoods and
5 are currently approved for use only in school zones. He stated the in -pavement L,ED crosswalk
6 markings are relatively unobtrusive, sit even with the pavement, and do not require installation of
7 additional poles. He stated this technology would increase the yield rate and would have
8 approximately 15,000 lights. He stated the LED blinker signs cost $5,000 per sign and noted
9 that the City currently has an LED blinker sign at 29`x' and Crestview.
10
11 Mr. James Fladung stated the group's recommendation is to install in -pavement LED lights and
12 an LED blinker sign activated by push button. He explained this would increase driver
13 awareness of the crosswalk and would be visible for one mile. He stated the in -pavement LEDs
14 are at eye level to drivers and would not be obtrusive to the surrounding homes.
15
16 Mr. Ryan Schuehle stated the LED system is cheaper than other systems, estimated at $50,000
17 with minimal operational costs. He stated that maintenance costs are approximately $2,100 per
18 year, which represents the amount necessary to replace the system at the end of its life
19 expectancy of 10 to 15 years. He noted the system is fully covered by warranty for five years.
20 IIe stated this system costs $26,000 and installation costs are expected to be $24,000. He noted
21 this project was funded by a Local Operational Research Assistance grant of $10,000 and they
22 will submit a report to share their findings with neighboring communities.
23
24 Ms. Larson presented the final design plan for installation of seven in -pavement LEDs as well as
25 two LED blinker signs. She stated the system would be installed this year and an evaluation plan
26 would be completed to compare earlier traffic and pedestrian counts, as well as to determine if
27 the percentage of conflicts decreases and whether yield rates increase. She noted the number of
28 pedestrians not using the sign will also be counted to make sure the system is being used
29 effectively. She stated the evaluation plan will be used to find other locations in the City that
30 could benefit from this system, including Kenzie Terrace at Pentagon Drive, which has a
31 significant number of pedestrians using a crosswalk that extends across several lanes of traffic
32 with a small median for refuge and most vehicles do not stop.
33
34 Mayor Faust asked if consideration was given to putting the intersection on the south side of the
35 34`x' entrance.
36
37 Ms. Borgen explained that they used this location because there is already a pedestrian crossing
38 on the north side of 34°i Avenue, which was installed as part of the Silver Lake Road
39 reconstruction in 2008. She stated they were confident that the in -pavement LED lights would
40 be clearly visible to drivers and once the system is in place, use of the crosswalk should increase.
41
42 Mayor Faust congratulated the students on their upcoming graduation and thanked them for their
43 hard work on this project.
44
45 VII. REPORTS FROM CITY MANAGER AND COUNCIL MEMBERS.
46
City Council Regular Meeting Minutes
April 24, 2012
Page 5
1 City Manager Casey — No report.
2
3 Councilmember Jenson reported on his attendance at the April 23`d City Council worksession.
4
5 Councilmember Roth reported on his attendance at the April 2151 CTV 15 strategic planning
6 meeting to discuss evolving technology and enhancing CTV 15 service to residents.
7
8 Councilmember Stille reported on his attendance at the April 17°i Planning Commission meeting
9 where the City's consultant planner was introduced. I -Ie added Ms. Jacqueline ("Jack") Corkle
10 will have office hours at City Hall on Tuesday afternoons but is available anytime.
11
12 Councilmember Gray reported on his attendance at the April 23`d City Council worksession. Ile
13 also reported on his attendance at the April 19°i annual Chamber of Commerce meeting. He
14 congratulated Chris Gulachek who was named 2012 Villager of the Year and Jean Rarick of
15 Annona Gourmet who was named Outstanding Business of the Year.
16
17 Mayor Faust reported on his attendance at the following:
18 • April 23`1 City Council worksession.
19 • April 19°i annual Chamber of Commerce meeting.
20
21 VIII. COMMUNITY FORUM.
22
23 Mayor Faust invited residents to come forward at this time and address the Council on items that
24 are not on the regular agenda. Hearing none, Mayor Faust moved forward with the agenda.
25
26 IX. INFORMATION AND ANNOUNCEMENTS.
27
28 Mayor Faust stated he was recently contacted by the City of St. Anthony, Idaho, to see if the City
29 was interested in some sort of city -to -city relationship. He indicated this city's first mayor lived
30 in St. Anthony, Minnesota, before moving to Idaho and prevailing wisdom is that is the reason
31 he sponsored the name of St. Anthony. He stated that St. Anthony, Idaho, is having a 120 -year
32 celebration next year and he will get further information. He stated he was asked to speak on
33 May 3`1 to welcome the Finnish Ambassador to the United States. He added that he learned the
34 City's Proclamation recognizing Sauli Niinist6 as the new Finnish President was sent to Mr.
35 Niinisto and Mr. Niinisto remembers his visit to the City in 1992.
36
37 X. ADJOURNMENT.
38
39 Mayor Faust adjourned the meeting at 7:39 p.m.
40
41 Respectfully submitted,
42 Barbara Hughes, TimeSaver Off Site Secretarial, Ine.
43
44 Mayor
45 ATTEST:
46 City Clerk
7
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CITY OF ST. ANTIMONY
CITY COUNCIL CLOSED SESSION MEETING MINUTES
APRIL 24, 2012
CALL TO ORDER.
Mayor Faust called the meeting to order at 7:41 p.m.
ROLL CALL.
Present: Mayor Faust; Councilmembers Gray, Jenson, Roth, and Stille.
Absent: None.
Also Present: City Manager Mark Casey and City Attorney Jay Lindgren.
CLOSED SESSION.
Mayor Faust stated the City Council will be meeting in closed session and asked City Attorney
Lindgren to read a statement.
City Attorney Lindgren requested a closed session pursuant to Minn. Stat. § 13D.05, subd. 3, and
the entire statement will be included in the official record.
Motion by Councilmember Stille, seconded by Councilmember Jenson, to close the meeting at
7:43 p.m. for purposes of discussing litigation strategy and settlement options regarding the
March 21, 2012, ACLU letter.
Motion carried unanimously.
The City Council met in closed session and the meeting adjourned at 8:44 p.m.
ATTEST:
City Clerk
Mayor
A
10
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Saint Anthony Village
DATE:
May 8, 2012 Approved:
TO:
Mayor and Councilmembers
FROM:
License Clerk
ITEM:
License and Permits for Approval:
Image Sign, Woodbury, MN
east Tree, Minneapolis, MN
er Tree & Landscape, Pierz, MN
ias Grace Construction, Stillwater, MN
Floating, St Paul, MN
Crystina Yang
25001lwy 88 #217
Britania Childress
3553 Stinson Blvd
Applicant: Gross Golf Course
Location: 2201 St. Anthony Blvd.
Temporary
3.2 Beer Parks Permit:
Applicant:
Susan Westacott
Location:
Central Park
Date:
May 19, 2012
Laura Oksnerad
Emerald Park
June 10, 2012
11
12
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US BANK
CITY OF ST. ANTHONY
CHECK REGISTER
VENDOR
PAYEE
CHECK#
DATE
AMOUNT
9967
MINNESOTA POLICE AND PEA
17554
4/20/2012
$150.00
20
AA BATTERY CO
17556
5/9/2012
$64.07
8621
ALLIANCE MECHANICAL
17557
5/9/2012
$3,235.50
3714
B & F FASTENER SUPPLY
17558
5/9/2012
$42.45
.0386
BAKER/JOVITA
17559
5/9/2012
$10.62
8864
BASARA/JOE
17560
5/9/2012
$21.90
9968
BEAM'S INDUSTRIES INC.
17561
5/9/2012
$233.66
320
BEISSWENGER'S
17562
5/9/2012
$99.96
4293
BELLBOY CORP.
17563
5/9/2012
$12,486.67
9778
BERNICK'S
17564
5/9/2012
$253.07
7168
BOYER TRUCKS, INC.
17565
5/9/2012
$48.39
7253
BRAKE & EQUIPMENT WAREHO
17566
5/9/2012
$45.71
4231
CAPITOL BEVERAGE SALES
17567
5/9/2012
$44,009.85
610
CATCO
17568
5/9/2012
$11.87
9252
CENTURYFENCE
17569
5/9/2012
$84.39
9907
CENTURYLINK
17570
5/9/2012
$336.48
4080
CHISAGO LAKES DISTRIBUTI
17571
5/9/2012
$2,718.76
9969
CITY OF LONG LAKE
17572
5/9/2012
$158.00
4095
COCA COLA BOTTLING COMPA
17573
5/9/2012
$534.92
4055
COMMERCIAL ELECTRIC, LIG
17574
5/9/2012
$80.00
4107
COMPTON'S COMMERCIAL CLN
17575
5/9/2012
$3,823.99
9820
CRYSTAL SPRINGS ICE
17576
5/9/2012
$167.40
7178
D-ROCK CENTER & SMALL EN
17577
5/9/2012
$73.74
8557
DAILEY DATA & ASSOCIATES
17578
5/9/2012
$62.50
4110
DICKSON ELECTRIC
17579
5/9/2012
$464.00
8437
DIRECTV INC
17580
5/9/2012
$897.50
7371
DISCOUNT STEEL, INC.
17581
5/9/2012
$98.33
8698
EHLERS & ASSOCIATES, INC
17582
5/9/2012
$3,000.00
9861
FASTENAL COMPANY
17583
5/9/2012
$29.37
9229
FIRSTLAB
17584
5/9/2012
$126.90
9667
FLAT EARTH BREWING CO
17585
5/9/2012
$719.00
1030
G & K SERVICES INC
17586
5/9/2012
$867.15
1110
GENERAL INDUSTRIAL SUPPL
17587
5/9/2012
$14.62
1180
GOODIN COMPANY
17588
5/9/2012
$91.83
4172
GRAPE BEGINNINGS, INC.
17589
5/9/2012
$691.25
1420
HAWKINS, INC
17590
5/9/2012
$4,415.30
7066
HENNEPIN TECHNICAL COLLE
17591
5/9/2012
$20.00
9808
HEUN ENTERPRISES, INC
17592
5/9/2012
$1,950.00
4207
HOHENSTEIN'S, INC
17593
5/9/2012
$3,649.09
8252
HOME DEPOT CREDIT SERVIC
17594
5/9/2012
$293.41
9857
JERSEY MIKE'S SUBS
17595
5/9/2012
$133.14
4125
A TAYLOR DISTRIBUTING
17596
5/9/2012
$35,340.65
4220
JOHNSON BROTHERS LIQUOR
17597
5/9/2012
$37,126.95
9755
L.T.G. POWER EQUIPMENT
17598
5/9/2012
$134.98
9114
M. AMUNDSON LLP
17599
5/9/2012
$2,906.35
13
gS43ANK
CITY OF ST, ANTHONY
CHECK REGISTER
VENDOR
PAYEE
CHECK#
DATE
AMOUNT
9970
MAPLE GROVE PRINTING
17600
5/9/2012
$192.38
2160
MARSHALL CONCRETE PROD
17601
5/9/2012
$423.65
.0387
MASSIE/MICHAEL
17602
5/9/2012
$74.04
2240
METROPOLITAN COUNCIL
17603
5/9/2012
$48,356.43
9459
MIDC ENTERPRISES
17604
5/9/2012
$49.94
8467
MIDWAY FORD
17605
5/9/2012
$93.76
2280
MIDWEST ASPHALT CORP
17606
5/9/2012
$25.00
9585
MOST DEPENDABLE FOUNTAIN
17607
5/9/2012
$62.00
2395
MTI DISTRIBUTING, INC
17608
5/9/2012
$465.98
8996
NEEDHAM DISTRIBUTING CO
17609
5/9/2012
$281.50
8883
NEW FRANCE WINE COMPANY
17610
5/9/2012
$511.50
9523
NORTHSTAR INSPECTION SER
17611
5/9/2012
$3,979.98
9715
NORTHWEST ASPHALT, INC.
17612
5/9/2012
$85,063.47
45
OFFICE DEPOT
17613
5/9/2012
$1,142.89
8528
PACE ANALYTICAL SERVICES
17614
5/9/2012
$285.00
9615
PAETEC
17615
5/9/2012
$143.32
4354
PAUSTIS & SONS
17616
5/9/2012
$2,909.75
4360
PHILLIPS WINE & SPIRITS
17617
5/9/2012
$11,707.41
4372
PLUNKETT'S
17618
5/9/2012
$72.42
7057
PRAXAIR
17619
5/9/2012
$19.81
9139
PROPERTY KEY, INC.
17620
5/9/2012
$50.00
9550
RAMSEY COUNTY
17621
5/9/2012
$450.00
4420
SIGNAL SYSTEMS INC
17622
5/9/2012
$32.06
9843
SOUTHERN WINE & SPIRITS
17623
5/9/2012
$10,109.11
8344
SPIESS/JEFF
17624
5/9/2012
$300.00
9259
SPRINT
17625
5/9/2012
$260.00
7072
ST ANTHONY CHAMBER OF CO
17626
5/9/2012
$43.00
4780
SURLY BREWING CO
17627
5/9/2012
$2,116.00
3260
T A SCHIFSKY & SONS
17628
5/9/2012
$575.92
9264
TAUTGES REDPATH, LTD.
17629
5/9/2012
$7,465.00
7337
TIMESAVER OFF SITE SECRE
17630
5/9/2012
$136.85
4905
TOM'S HOME SERVICES
17631
5/9/2012
$1,092.00
3560
TRACY PRINTING
17632
5/9/2012
$432.97
7196
TRANSPORTATION SUPPLIES
17633
5/9/2012
$233.70
8227
VERIZON WIRELESS
17634
5/9/2012
$908.31
4451
VINOCOPIA
17635
5/9/2012
$243.25
9702
W.D. LARSON COMPANIES LT
17636
5/9/2012
$91.83
8316
WINE COMPANY/THE
17637
5/9/2012
$492.40
8310
WINE MERCHANTS INC
17638
5/9/2012
$1,959.72
4175
WIRTZ BEVERAGE - (GRIGGS
17639
5/9/2012
$11,459.97
9734
WIRTZ BEVERAGE MINNESOTA
17640
5/9/2012
$27,909.70
8273
WSB & ASSOCIATES, INC.
17641
5/9/2012
$8,652.25
2680
XCEL ENERGY
17642
5/9/2012
$9,704.54
9711
Z WINES USA LLC
17643
5/9/2012
$82.50
TOTAL
$402,385.03
Policy and Procedures
Remote Network Access —tune 1, 2012
Remote Network Access Policy
Issued by: Information Technology Department
Applies to: All city employees, contractors, consultants, and temporary hires that request and are
granted remote network access.
Effective: June 1, 2012
Table of Contents
Introduction................................................................................ 1
Purpose..................................................................................... I
Definitions................................................................................ I
Scope....................................................................................... 2
Policy....................................................................................... 2
Enforcement.................................... ........................................... 3
Key Performance Indicators(KPIs).................................................... 3
Procedures................................................................................. 3
Guidelines................................................................................. 4
Contacts.................................................................................... 5
Related Documents....................................................................... 5
Introduction
Remote network access is the ability to gain access to an organization's computer network by
individuals not located at the organization's offices. This may include traveling employees,
teleworkers (employees who regularly work from home), or employees who work both from the
office and from home, and contractors or consultants that perform work and services for a city
department. In many cases, both the organization and the employee may benefit from the
increased flexibility provided by remote access, However remote access is inherently a security
risk and consequently requires policies and procedures to minimize this risk.
Purpose
The purpose of this policy is to define the approved method for City employees to remotely
connect to the City network and how their connection will be established, controlled and
managed. The procedures and guidelines provided in this document were developed to minimize
risk associated with this activity.
Definitions
Remote network access involves setting up a virtual private network (VPN) connection between
the remote computer using VPN client software and a secured gateway router that allows access
to the city network over the Internet. This requires the remote user to have available a high-speed
Internet connection. Access is granted only to users that have been granted remote access
permissions and have received, read, and acknowledge this policy.
Page I 1
15
16 Policy and Procedures
Remote Network Access —June 1, 2012
This policy applies to all employees, contractors, vendors and agents that connect to the City
servers, applications or other network attached resources. This policy applies to remote access
connections used to do work on behalf of the City, including but not limited to, file and print
access, applications, and Intranet use. Remote access implementations that are covered by this
Policy include, but are not limited to, dial -in modems, DSL,, VPN, SSII, and cable modems, etc.
Policy
It is the responsibility of City employees, authorized third party contractors, vendors and agents
with remote network access privileges to the City network to ensure that their remote access
connection is given the same consideration as the user's on-site connection to the City network.
Remote access will be granted only with the approval of the requester's supervisor and/or the
Information Technology Department Network Manager or in the case of a third party contractor,
by contractual agreement. VPN is a "user managed" service. This means that the user is
responsible for selecting an Internet Service Provider (ISP), coordinating installation, installing
any required software, and paying associated connection fees.
Additionally,
•3 VPN access is provided through the Information Technology (IT) Department. No
other department may implement VPN services.
❖ Only the VPN client software distributed by IT may be used.
❖ VPN account names and passwords will be assigned by an IT network administrator
or authorized delegate.
•S VPN access requires two -factor authentication using the established methods
approved by the IT Department.
❖ The authorized user, or their department, is required to reimburse the ff Department
for any licensing associated with the VPN client and/or authentication software.
❖ Only current Microsoft Windows platforms are supported. Additional operating
systems and platforms may be supported on a case-by-case basis but it cannot be
assumed that support will automatically be extended to non -Windows platforms.
❖ Only city -owned (domain managed) computers will be allowed to access the network
over a VPN connection. Personally owned computers are prohibited from directly
access network file shares and printers.
B• All network activity during a VPN session is subject to city computer use policies and
may be monitored for compliance.
❖ To mitigate perceived or discovered threats to the network, VPN access to the city
network and systems may be disabled at any time without advanced notification to
remote access users. Active sessions may also be disconnected without prior warning.
❖ All computers connected to the City network via VPN or any other technology must
use the most up-to-date anti-virus software that meets or exceeds the corporate
12
Policy and Procedures
Remote Network Access —June 1, 2012
standard. Proof of compliance is required prior to the assignment of a VPN account
and privileges.
❖ Consultants and contractors are limited to targeted hosts only. For example, a
contractor performing work on a HVAC control server shall have access only to the
host server running the HVAC software.
d• VPN users will automatically be disconnected from the City network after thirty
minutes of inactivity. The user must then logon again to reconnect to the network,
Pings or other artificial network processes are not to be used to keep the connection
open.
d• The VPN gateway is limited to an absolute connection time of 12 hours.
d• Contractors and consultants must understand that their computers are a de facto
extension of the City network, and as such, are subject to the same rules and
regulations that apply to city -owned equipment including, but not limited to, remote
examination and scanning by IT personnel.
Enforcement
Violations of this policy will be treated like other allegations of wrongdoing at the City.
Allegations of misconduct will be adjudicated according to established procedures. Sanctions for
inappropriate use on the City's network systems and services may include, but are not limited to,
one or more of the following:
Temporary or permanent revocation of remote network access privileges;
❖ Disciplinary action according to applicable the City policies;
❖ Termination of employment; and/or
d• Legal action according to applicable laws and contractual agreements.
❖ Consultants and contractors will be subject to legal action and including the payment
of fines and penalties may be incurred and immediate termination of all contractual
agreements.
Key Performance Indicators (KPIs)
The following success of the policy will be assessed annually using the following quantifiable
measures:
No security issues over this connection
No violations of this policy
Procedures
The following procedures should be followed to acquire VPN access:
Employees
13
17
18
Policy and Procedures
Remote Network Access — June 1, 2012
1. Employees must discuss the viability of remote access with their immediate
supervisor.
2. If the supervisor approves, submit a request for VPN services via the Online
Remote Access Request Form in the Help Desk Ticketing System
(http://helpdesk. metro-inet.us).
3. The IT Manager or delegate will review the request and determine the appropriate
access method.
Consultants and Contractors
1. Intention of user must be included with bid submissions and in final contracts.
2. A Remote Access Request Form for Consultants and Contractors must be
completed for each individual who will be utilizing remote access.
3. The IT Manager or delegate will review the request and determine the appropriate
access method.
Guidelines
❖ Always ensure that you comply with city computer security policies.
1. You are responsible for making sure you apply the same security to your remote
access connection as when connecting in your office. You bear responsibility for
the consequences should your access be misused.
2. Never provide your login or email password to anyone - not even members of
your family. Your City computer account and password is for your sole use.
3. You must select a password that complies with the City minimum standard and
keep it confidential at all times.
4. You must take all reasonable steps to make sure that your computer is physically
secure when logged in: e.g. do not leave it unattended without activating a
password protected screen saver.
5. Logins must not be automated on clients (i.e. you must not click on the
"remember my password" box).
•S Your client device used to connect remotely must be running security software and
be in a secure state. The following security related tools must be running and
practices be followed on all remote computing devices.
1. Anti-virus software, with daily updates enabled and full system scans
enabled.
2. Operating system must secure with the latest security patches, including
those for Internet Explorer. Windows Update must be enabled and set to
auto -install updates.
3. Spyware detection and removal software is required.
4. An active personal firewall system (hardware or software) is strongly
recommended.
14
Policy and Procedures
Remote Network Access —June 1, 2012
Contacts
Policy Network Manager
Procedures Network Operations
Software Help Help Desk
Related Documents
Computer Use Policy
Password Policy
hale 15
network.manager@metro-iuet.us 651-792-7092
neto is a)metro-inet.us 651-792-7099
support@metro-inet.us 651-792-7095
Janney 2008
February 2012
19
20
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2>
City of St. Anthony, Minnesota
Post -Issuance Debt Compliance Policy
The City Council (the "Council") of the City of St. Anthony, Minnesota (the "City") has
chosen, by policy, to take steps to help ensure that all obligations will be in compliance
with all applicable federal regulations. This policy may be amended, as necessary, in the
future.
Background
The Internal Revenue Service (IRS) is responsible for enforcing compliance with the
Internal Revenue Code (the "Code") and regulations promulgated thereunder ("Treasury
Regulations") governing certain obligations (for example: tax-exempt obligations, Build
America Bonds, Recovery Zone Development Bonds and various "Tax Credit" Bonds).
The IRS encourages issuers and beneficiaries of these obligations to adopt and implement a
post -issuance debt compliance policy and procedures to safeguard against post -issuance
violations.
Post -Issuance Debt Compliance Policy Objective
The City desires to monitor these obligations to ensure compliance with the Code and
Treasury Regulations. To help ensure compliance, the City has developed the following
policy (the "Post -Issuance Debt Compliance Policy"). The Post -Issuance Debt Compliance
Policy shall apply to the obligations mentioned above, including bonds, notes, loans, lease
purchase contracts, lines of credit, commercial paper or any other form of debt that is
subject to compliance.
Post -Issuance Debt Compliance Policy
The Finance Director of the City is designated as the City's agent who is responsible for
post -issuance compliance of these obligations.
The Finance Director shall assemble all relevant documentation, records and activities
required to ensure post -issuance debt compliance as further detailed in corresponding
procedures (the "Post -Issuance Debt Compliance Procedures"). At a minimum, the Post -
Issuance Debt Compliance Procedures for each qualifying obligation will address the
following:
I . General post -issuance compliance;
2. Proper and timely use of obligation proceeds and obligation -financed property;
3. Arbitrage yield restriction and rebate;
4. Timely filings and other general requirements;
5. Additional undertakings or activities that support points 1 through 4 above;
6. Maintenance of proper records related to the obligations and the investment of
proceeds of obligations;
7. Other requirements that becomes necessary in the future.
22
The Finance Director shall apply the Post -Issuance Debt Compliance Procedures to each
qualifying obligation and maintain a record of the results. Further, the Finance Director
will ensure that the Post -Issuance Debt Compliance Policy and Procedures are updated on a
regular and as needed basis.
The Finance Director or any other individuals responsible for assisting the Finance Director
in maintaining records needed to ensure post -issuance debt compliance, are authorized to
expend funds as needed to attend training or secure use of other educational resources for
ensuring compliance such as consulting, publications, and compliance assistance.
Most of the provisions of this Post -Issuance Debt Compliance Policy are not applicable to
taxable governmental obligations unless there is a reasonable possibility that the City may
refund their taxable governmental obligation, in whole or in part, with the proceeds of a
tax-exempt governmental obligation. If this refunding possibility exists, then the Finance
Director shall treat the taxable governmental obligation as if such issue were an issue of
tax-exempt governmental obligations and comply with the requirements of this Post -
Issuance Debt Compliance Policy.
Private Activity Bonds
The City may issue tax-exempt obligations that are "private activity" bonds because either
(1) the bonds finance a facility that is owned by the City but used by one or more qualified
501(c)(3) organizations, or (2) the bonds are so-called "conduit bonds", where the proceeds
are loaned to a qualified 501(c)(3) organization or another private entity that finances
activities eligible for tax-exempt financing under federal law (such as certain
manufacturing projects and certain affordable housing projects). Prior to the issuance of
either of these types of bonds, the Finance Director shall take steps necessary to ensure that
such obligations will remain in compliance with the requirements of this Post -Issuance
Debt Compliance Policy.
In a case where compliance activities are reasonably within the control of a private party
(i.e., a 501(c)(3) organization or conduit borrower), the Finance Director may determine
that all or some portion of compliance responsibilities described in this Post -Issuance Debt
Compliance Policy shall be assigned to the relevant party. In the case of conduit bonds, the
conduit borrower will be assigned all compliance responsibilities other than those required
to be undertaken by the City under federal law. In a case where the Finance Director is
concerned about the compliance ability of a private party, the Finance Director may require
that a trustee or other independent third party be retained to assist with record keeping for
the obligation and/or that the trustee or such third party be responsible for all or some
portion of the compliance responsibilities.
The Finance Director is additionally authorized to seek the advice, as necessary, of bond
counsel and/or its financial advisor to ensure the City is in compliance with this Post -
Issuance Debt Compliance Policy.
23
Adopted this date May 8, 2012 by the City Council of the City of St. Anthony, Minnesota
01
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25
City of St. Anthony, Minnesota
Post -Issuance Debt Compliance Procedures
The City Council (the "Council") of the City of St. Anthony, Minnesota (the "City") has
adopted the attached Post -Issuance Debt Compliance Policy dated May 8, 2012. The Post -
Issuance Debt Compliance Policy applies to qualifying debt obligations issued by the City.
As directed by the adoption of the Post -Issuance Debt Compliance Policy, the Finance
Director of the City will perform the following Post -Issuance Debt Compliance Procedures
for all of the City's outstanding debt.
1. General Post -Issuance Compliance
a. Ensure written procedures and/or guidelines have been put in place for
individuals to follow when more than one person is responsible for ensuring
compliance with Post -Issuance Debt Compliance Procedures.
b. Ensure training and/or educational resources for post -issuance compliance
have been approved and obtained.
c. The Finance Director understands that there are options for voluntarily
correcting failures to comply with post -issuance compliance requirements
(such as remedial actions under Section 1.141-12 of the Treasury
Regulations and the ability to enter into a closing agreement under the Tax -
Exempt Bonds Voluntary Closing Agreement Program described in Notice
2008-31(the "VCAP Program")).
2. General Recordkeeping
a. Retain records and documents for the obligation and all obligations issued to
refund the obligation for a period of at least seven years following the final
payment of the obligation (or if such obligation is refunded, the final
payment of the refunding bond) unless otherwise directed by the City's
bond counsel.
b. Retain both paper and electronic versions of records and documents for the
obligation.
c. General records and documentation to be assembled and retained
i. Description of the purpose of the obligation (referred to as the project)
and the state statute authorizing the project.
ii. Record of tax-exempt status or revocation of tax-exempt status, if
applicable.
iii. Any correspondence between the City and the IRS.
iv. Audited financial statements.
v. Bond transcripts, official statements and other offering documents of
the obligation.
vi. Minutes and resolutions authorizing the issuance of the obligation.
vii. Certifications of the issue price of the obligation.
M
viii. Any formal elections for the obligation (i.e. election to employ an
accounting methodology other than the specific tracing method).
ix. Appraisals, demand surveys, or feasibility studies for property
financed by the obligation.
x. Documents related to governmental grants, associated with
construction, renovation or purchase of property financed with the
obligation.
xi. Reports of any prior IRS examinations of the City or the City's
obligation.
3. Arbitrage Yield Restriction and Rebate Recordkeeping
a. Investment and arbitrage documentation to be assembled and retained
i. An accounting of all deposits, expenditures, interest income and asset
balances associated with each fund established in connection with the
obligation. This includes an accounting of all monies deposited to the
Debt Service Account to make debt service payments on the
obligation, regardless of the source derived. Accounting for
expenditures and assets is described in further detail in Section 4.
ii. Statements prepared by Trustee or Investment Provider.
iii. Documentation of at least quarterly allocations of investments and
investment earnings to each obligation (i.e. uncommingling analysis).
iv. Documentation for investments made with obligation proceeds such
as:
1. Investment contracts (i.e. guaranteed investment contracts).
2. Credit enhancement transactions (i.e. bond insurance contracts).
3. Financial derivatives (swaps, caps, etc).
4. Bidding of financial products.
• Investments acquired with obligation proceeds are purchased at
fair market value (i.e. three bids for open market securities
needed in advance refunding escrows).
b. Computations of the arbitrage yield.
e. Computations of yield restriction and rebate amounts including but not
limited to:
i. Compliance in meeting the "Temporary Period from Yield Restriction
Exception" and limiting the investment of funds after the temporary
period expires.
ii. Compliance in meeting the "Rebate Exception".
1. Qualifying for the "Small Issuer Exception"
2. Qualifying for a "Spending Exception"
• 6 Month Spending Exception
• 18 Month Spending Exception
• 24 Month Spending Exception
3. Qualifying for the "Bona Fide Debt Service Fund Exception"
27
4. Quantifying arbitrage on all funds established in connection with
the obligation in lieu of satisfying arbitrage exceptions (including
Reserve Funds and Debt Service Funds)
d. Computations of yield restriction and rebate payments.
e. Timely Tax Form 8038-T filing, if applicable.
i. Remit any arbitrage liability associated with the obligation to the IRS at
each five year anniversary date of the obligation, and the date in which
the obligation is no longer outstanding (redemption or maturity date),
whichever comes sooner, within 60 days of said date.
f. Timely Tax Form 8038-R filing, if applicable.
g. Procedures or guidelines for monitoring instances where compliance with
applicable yield restriction requirements depends on subsequent
reinvestment of obligation proceeds in lower yielding investments (for
example: reinvestment in zero coupon SLGS).
4. Expenditure and Asset Documentation to be Assembled and Retained
a. Documentation of allocations of obligation proceeds to expenditures (i.e.
allocation of proceeds to expenditures for the construction, renovation or
purchase of facilities owned and used in the performance of exempt
purposes).
i. Such allocation will be done not later than the earlier of:
eighteen (18) months after the later of the date the expenditure is paid,
or the date the project, if any, that is financed by the tax-exempt bond
issue is placed in service; or
the date sixty (60) days after the earlier of the fifth anniversary of the
issue date of the tax-exempt bond issue, or the date sixty (60) days after
the retirement of the tax-exempt bond issue.
b. Documentation of allocations of obligation proceeds to issuance costs.
c. Copies of requisitions, draw schedules, draw requests, invoices, bills and
cancelled checks related to obligation proceed expenditures during the
construction period.
d. Copies of all contracts entered into for the construction, renovation or
purchase of facilities financed with obligation proceeds.
e. Records of expenditure reimbursements incurred prior to issuing bonds for
facilities financed with obligation proceeds (Declaration of Official
Intent/Reimbursement Resolutions including all modifications).
f. List of all facilities and equipment financed with obligation proceeds.
g. Depreciation schedules for depreciable property financed with obligation
proceeds.
h. Documentation that tracks the purchase and sale of assets financed with
obligation proceeds.
i. Documentation of timely payment of principal and interest payments on the
obligation.
j. Tracking of all issue proceeds and the transfer of proceeds into the debt
service fund as appropriate.
k. Documentation that excess earnings from a Reserve Fund is transferred to
the Debt Service Fund on an annual basis. Excess earnings are balances in a
Reserve Fund that exceed the Reserve Fund requirement.
5. Miscellaneous Documentation to be Assembled and Retained
a. Ensure that the project, while the obligation is outstanding, will avoid IRS
private activity concerns.
i. The Finance Director shall monitor the use of all obligation -financed
facilities in order to:
determine whether private business uses of obligation -financed
facilities have exceeded the de minimus limits set forth in Section
141(b) of the Code as a result of sale of the facilities (including sale of
capacity rights, leases and subleases of facilities (including easements
or use arrangements for areas outside the four walls, e.g., hosting of cell
phone towers), leasehold improvement contracts, licenses, management
contracts (in which the City authorizes a third party to operate a
facility, e.g. cafeteria), research contracts, preference arrangements (in
which the City permits a third party preference, such as parking in a
public parking lot), joint ventures, limited liability companies or
partnership arrangements, output contracts or other contracts for use of
utility facilities (including contracts with large utility users),
development agreements which provide for guaranteed payments or
property values from a developer, grants or loans made to private
entities (including special assessment agreements), naming rights
agreements, or other arrangements that provide special legal
entitlements to nongovernmental persons; and
determine whether private security or payments that exceed the de
minimus limits set forth in Section 141(b) of the Code have been
provided by nongovernmental persons with respect to such obligation -
financed facilities.
ii. The Finance Director shall provide training and educational resources
to any City staff that have the primary responsibility for the operation,
maintenance, or inspection of obligation -financed facilities with regard
to the limitations on the private business use of obligation -financed
facilities and as to the limitations on the private security or payments
with respect to obligation -financed facilities.
b. The Finance Director shall undertake the following with respect to the
obligations:
i. an annual review of the books and records maintained by the City with
respect to such obligations; and
29
ii. an annual physical inspection of the facilities financed with the
proceeds of such obligations, conducted by the Finance Director with
the assistance of any City staff who have the primary responsibility for
the operation, maintenance, or inspection of such obligation -financed
facilities.
c. Changes in the project that impact the terms or commitments of the
obligation are properly documented and necessary certificates or opinions
are on file.
6. Additional Undertakings and Activities that Support Sections 1 through 5 above:
a. The Finance Director will notify the City's bond counsel, financial advisor
and arbitrage provider of any survey or inquiry by the IRS immediately
upon receipt (Usually responses to IRS inquiries are due within 21 days of
receipt. Such IRS responses require the review of the above mentioned data
and must be in writing. As much time as possible is helpful in preparing the
response).
b. The Finance Director will consult with the City's bond counsel, financial
advisor and arbitrage provider before engaging in post -issuance credit
enhancement transactions (i.e. bond insurance, letter of credit, or hedging
transactions (i.e. interest rate swap, cap).
C. The Finance Director will monitor all "qualified tax-exempt debt
obligations" within the first calendar year to determine if the limit is
exceeded, and if exceeded, will address accordingly. For tax-exempt debt
obligations issued during years 2009 and 2010, the limit is $30,000,000
(The limit was $10,000,000 prior to 2009. In 2011 and thereafter it will
remain at $10,000,000 unless changed by Congress). During this period, the
limit also applies to pooled financings of the governing body and provides a
separate $30,000,000 for each 501 (c)(3) conduit borrower.
d. Comply with Continuing Disclosure Requirements.
i. If applicable, the timely filing of annual information agreed to in the
Continuing Disclosure Certificate.
ii. Give notice of any Material Event.
e. Identify any post -issuance change to terms of bonds which could be treated
as a current refunding of `old" bonds by "new" bonds, often referred to as a
"reissuanee".
f. The Finance Director will consult with the City's bond counsel prior to any
sale, transfer, change in use or change in users of obligation -financed
property which may require "remedial action" under applicable Treasury
Regulations or resolution pursuant to the VCAP Program.
A remedial action has the effect of curing a deliberate action taken by the
City which results in satisfaction of the private business test or private loan
test. Remedial actions under Section 1.141-12(d)(e) and (f) include the
30
redemption of non-qualified bonds and alternative uses of proceeds or the
facility (i.e. use for a qualified purpose instead).
g. The Finance Director will ensure that the appropriate tax form for federal
subsidy payments is prepared and filed in a timely fashion for applicable
obligations (i.e. Build America Bonds).
7. Compliance with Future Requirements
a. Take measures to comply with any future requirements issued beyond the
date of these Post -Issuance Debt Compliance Procedures which are essential
to ensuring compliance with the applicable state and federal regulations.
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31
STAFF REPORT
DATE: May 8, 2012
TO: Mayor, Councilmembers and City Manager
FROM: Jay Hartman, Public Works Director
RE: Green Step Cities Program Step 3
Background:
On February 8, 2011, the City of St. Anthony approved a resolution to enter into the
GreenStep Cities Program which is a program sponsored by the Minnesota Pollution Control
Agency (MPCA).
The GreenStep Cities Program aims to provide Minnesota cities a clear pathway to greater
sustainability based upon implementing best practices specific to Minnesota cities of differing
sizes and capabilities. Due to the multiple environmental, economic and social dimensions of
the best practices, leadership from a city's council is needed to oversee our implementation
and coordination/ integration with other city and community activities and with other
governmental jurisdictions.
The City of St. Anthony was recognized to be a "Step 2" GreenStep City in June 2011 at the
League of Minnesota Cities Annual Conference.
City Staff has been working with the University of Minnesota Sustainability Minor students
to assist St. Anthony in advancing to a "Step 3" GreenStep City position.
Tonight, the University of Minnesota students will present a power point outling the areas
which they have worked towards St. Anthony becoming a Step 3 City. To date, the most
current information has been submitted to the MPCA for a Step 3consideration.
F:ACouncil Meetings\2012V05082012\Staff greenstep.docx - I -
32
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33
Advancing the GreenStep Cities
Program in
St. Anthony Village
Addison Lewis, Evan Hovis, Craig Bruno, Carolina Gwinn and Samuel Schroeder
University of Minnesota
Spring 2012
What is GreenSteps?
Minnesota
GreenStep Cities
"Minnesota GreenStep Cities is a voluntary
challenge, assistance and recognition program
to help cities achieve their sustainability goals
through implementation of 28 best practices."
These best practices are sorted into the five
categories of Buildings and Lighting, Land Use,
Transportation, Environmental Management,
and Economic and Community Development
34
Highlights of St. Anthony's
Greensfeps Achievements
St. Anthony is currently at Step 2
16 out of 28 best practices completed (preliminary
assessment)
All traffic signals converted to energy efficient LED
50% reduction of paper towels through addition of bathroom
hand dryers
Adopted purchasing policy to buy only EnergySfar certified
appliances and paper that is 30% recycled
Support summer and winter farmers market
The City regularly adds or replaces boulevard and park trees
2
'ow our group has helped
Inventory of best practices completed
Developed a report outlining the necessary actions
to get to Step 3
Facilitated communication between GreenSteps
representatives and the City
Presented on St. Anthony's achievements at
Sustainable Communities Conference
Developed recommendations for moving forward
in the GreenSfeps program
2
What's Next
o Preliminary assessment recommended St.
Anthony for Step 3 approval.
Final assessment May 10th
Continue to build momentum and support in the
community.
Work towards the three star level for best
practices.
Make improvements recommended on `
preliminary assessment.
)ssible best practices to be improved
6. Comprehensive Plan and Implementation
Develop a sustainability plan based on meaningful citizen
engagement and integrate it into your comprehensive
plan
8, Mixed Uses
Participate in a Minnesota Design Team charrette
23. Local Air Quality
Ban or enforce performance standards for certain types of
burning
27. Local Food
Report on percentage of residents within a 1/4 mile of a
healthy food source (farmer's market, community garden,
CSA drop point, stores with NAILS code of 445110 or
455230.
3
35
MR
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fir'^�d �, -_iC aV: �`:..ry •., .. '(wi�i�.�1'C--. �. fYY ���
FUTURE COUNCIL AGENDA ITEMS
05/08/2012
Meeting
Meeting
Items/Issues
Staff present
Date
Type
Approval of Purchase Agreement/ Development
Agreement Dominium - Council & LIRA
Shared Service Agreement with MWMO for Financial Reporting
City Council
May 22
Regular
(consent)
City Manager
Agreement with the City of New Brighton for Human Resources
Stacie Kvilvang, Ehlers
Services (consent)
Mirror Lake Engineer Report
May 29
SPECIAL
Joint Meeting with School Board
City Council
5:30 pm
WORKSESSION Following
City Manager
Presentation of the Results of the Study regarding Regulation of
City Council
June 12
Regular
Assemblies, Meeting Lodges, and Convention flails.
City Manager
Feasibility Study for the 2013 Street Improvement Project
City Iingmeer
Planning Commission Items from June 19
Approval of Election Judges for the Primary Election
City Council
June 26
Regular
2011 Audit Presentation
City Manager
City's Insurance Renewal
Finance Director
Finance Director's Annual Report
July 10
Regular
City Council
City
Manager
July 24
Regular
Planning Commission items from July 17
City Council
Nite to Unite Proclamation
City Manager
SPECIAL
City Council
August 6
5:30 pm
WORKSISSION
City Manager
Dept. I -leads
August 14
Regular
City Council
8:00 PM
City Manager
Planning Commission Items from August 21
City Council
August 28
Regular
Accept Feasibility Report and Order Plans & Specifications for
City Manager
the 2013 Street Project
City Engineer
Proclamation for Kiwanis Peanut Day
City Council
September 11
Regular
Proposed 2013 Budget &Levy
City Manager
Finance Director
September 25
Regular
Planning Commission Items from September 18
City Council
City Manager
October 9
Regular
Approval of Election Judges for the Presidential Election
City Council
City Manager
October 23
Regular
Planning Commission Items from October 16
City Council
City Manager
October 30
SPECIAL
Joint Meeting with School Board
City Council
5:30 pm
City Manager
HOUSING AND REDEVELOPMENT AUTHORITY AGENDA
CITY OF ST. ANTHONY
May 8, 2012
Call to Order.
Roll Call,
I. Approval of May 8, 2012, H.R.A. Agenda.
II. Consent Agenda.
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.
A. Approve April 24, 2012, H.R.A. Minutes. (pp. 1-2)
B. Claims. (pp. 5-4)
C. Adopting the Post Issuance Debt Compliance Policy & Procedures. (pp. 5-14))
III. Public Hearings.
IV. General Policy of Business of the Housing and Redevelopment Authority.
A. Presentation of the Purchase Agreement/Development Agreement for Dominium.
(informational only). Stacie Kvilvang, Ehlers & Associates is presenting. (pp. 15-20)
V. Staff Reports.
VI. H.R.A. Commissioner Comments.
VII. Information and Announcements.
VIII. Adjournment.
F:ICouncil Meetings120121050820121IiRA agendapg#.doex
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CITY OF ST. ANTHONY
HRA REGULAR MEETING MINU'T'ES
APRIL 24, 2012
CALL TO ORDER.
Chair Faust called the meeting to order at 7:39 p.m.
ROLL CALL.
Commissioners present: Chair Faust; Commissioners Gray, Jenson, Stille, and Roth.
Commissioners absent: None.
Also Present: Executive Director Mark Casey.
I. APPROVAL OF APRIL 24, 2012, HRA MEETING AGENDA
Motion by Commissioner Gray, seconded by Commissioner Jenson, to approve the April 24,
2012, Housing and Redevelopment Authority Agenda as presented.
Motion carried unanimously.
II. CONSENT AGENDA.
Motion by Commissioner Stille, seconded by Commissioner Roth, to approve the Consent
Agenda, which consisted of:
A. H.R.A. Meeting Minutes of April 10, 2012; and
B. Claims.
III. PUBLIC HEARINGS.
None.
IV. GENERAL POLICY OF BUSINESS OF THE H.R.A.
None.
V. STAFF REPORTS
None.
VI. H.R.A. COMMISSIONER COMMENTS
None.
Motion carried unanimously.
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2 Housing and Redevelopment Authority Meeting Minutes
April 24, 2012
Page 2
VII. INFORMATION AND ANNOUNCEMENTS
None.
VIII. ADJOURNMENT
Chair Faust adjourned the meeting at 7:41 p.m.
Respectfully submitted,
Barbara Hughes
TimeSaver Off Site Secretarial, Inc.
AYFEST:
City Clerk
Chair
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THIS PAGE LEFT INTENTIONALLY BLANK
5
Housing and Redevelopment Authority
of the City of St. Anthony, Minnesota
Post -Issuance Debt Compliance Policy
The Board of Commissioners (the "Board") of the Housing and Redevelopment Authority
of the City of St. Anthony, Minnesota (the "HRA") has chosen, by policy, to take steps to
help ensure that all obligations will be in compliance with all applicable federal
regulations. This policy may be amended, as necessary, in the future.
Background
The Internal Revenue Service (IRS) is responsible for enforcing compliance with the
Internal Revenue Code (the "Code") and regulations promulgated thereunder ("Treasury
Regulations") governing certain obligations (for example: tax-exempt obligations, Build
America Bonds, Recovery 'Lone Development Bonds and various "Tax Credit" Bonds).
The IRS encourages issuers and beneficiaries of these obligations to adopt and implement a
post -issuance debt compliance policy and procedures to safeguard against post -issuance
violations.
Post -Issuance Debt Compliance Policy Objective
The HRA desires to monitor these obligations to ensure compliance with the Code and
Treasury Regulations. To help ensure compliance, the HRA has developed the following
policy (the "Post -Issuance Debt Compliance Policy"). The Post -Issuance Debt Compliance
Policy shall apply to the obligations mentioned above, including bonds, notes, loans, lease
purchase contracts, lines of credit, commercial paper or any other form of debt that is
subject to compliance.
Post -Issuance Debt Compliance Policy
The Finance Director of the City is designated as the HRA's agent who is responsible for
post -issuance compliance of these obligations.
The Finance Director shall assemble all relevant documentation, records and activities
required to ensure post -issuance debt compliance as further detailed in corresponding
procedures (the "Post -Issuance Debt Compliance Procedures"). At a minimum, the Post -
Issuance Debt Compliance Procedures for each qualifying obligation will address the
following:
1. General post -issuance compliance;
2. Proper and timely use of obligation proceeds and obligation -financed property;
3. Arbitrage yield restriction and rebate;
4. Timely filings and other general requirements;
5. Additional undertakings or activities that support points 1 through 4 above;
6. Maintenance of proper records related to the obligations and the investment of
proceeds of obligations;
7. Other requirements that become necessary in the future.
The Finance Director shall apply the Post -Issuance Debt Compliance Procedures to each
qualifying obligation and maintain a record of the results. Further, the Finance Director
will ensure that the Post -Issuance Debt Compliance Policy and Procedures are updated on a
regular and as needed basis.
The Finance Director or any other individuals responsible for assisting the Finance Director
in maintaining records needed to ensure post -issuance debt compliance, are authorized to
expend funds as needed to attend training or secure use of other educational resources for
ensuring compliance such as consulting, publications, and compliance assistance.
Most of the provisions of this Post -Issuance Debt Compliance Policy are not applicable to
taxable governmental obligations unless there is a reasonable possibility that the HRA may
refund their taxable governmental obligation, in whole or in part, with the proceeds of a
tax-exempt governmental obligation. If this refunding possibility exists, then the Finance
Director shall treat the taxable governmental obligation as if such issue were an issue of
tax-exempt governmental obligations and comply with the requirements of this Post -
Issuance Debt Compliance Policy.
Private Activity Bonds
The HRA may issue tax-exempt obligations that are "private activity" bonds because either
(1) the bonds finance a facility that is owned by the IIRA but used by one or more qualified
501(c)(3) organizations, or (2) the bonds are so-called "conduit bonds", where the proceeds
are loaned to a qualified 501(c)(3) organization or another private entity that finances
activities eligible for tax-exempt financing under federal law (such as certain
manufacturing projects and certain affordable housing projects). Prior to the issuance of
either of these types of bonds, the Finance Director shall take steps necessary to ensure that
such obligations will remain in compliance with the requirements of this Post -Issuance
Debt Compliance Policy.
In a case where compliance activities are reasonably within the control of a private party
(i.e., a 501(c)(3) organization or conduit borrower), the Finance Director may determine
that all or some portion of compliance responsibilities described in this Post -Issuance Debt
Compliance Policy shall be assigned to the relevant party. In the case of conduit bonds, the
conduit borrower will be assigned all compliance responsibilities other than those required
to be undertaken by the HRA under federal law. In a case where the Finance Director is
concerned about the compliance ability of a private party, the Finance Director may require
that a trustee or other independent third party be retained to assist with record keeping for
the obligation and/or that the trustee or such third party be responsible for all or some
portion of the compliance responsibilities.
The Finance Director is additionally authorized to seek the advice, as necessary, of bond
counsel and/or its financial advisor to ensure the HRA is in compliance with this Post -
Issuance Debt Compliance Policy.
Adopted this date May 8, 2012 by the Board of Commissioners of the Housing and
Redevelopment Authority of the City of St. Anthony, Minnesota
THIS PAGE LEFT INTENTIONALLY BLANK
Housing and Redevelopment Authority
of the City of St. Anthony, Minnesota
Post -Issuance Debt Compliance Procedures
The Board of Commissioners (the `Board") of the Housing and Redevelopment Authority
of the City of St. Anthony, Minnesota (the "HRA") has adopted the attached Post -Issuance
Debt Compliance Policy dated May 8, 2012. The Post -Issuance Debt Compliance Policy
applies to qualifying debt obligations issued by the HRA. As directed by the adoption of
the Post -Issuance Debt Compliance Policy, the Finance Director of the City will perform
the following Post -Issuance Debt Compliance Procedures for all of the HRA's outstanding
debt.
1. General Post -Issuance Compliance
a. Ensure written procedures and/or guidelines have been put in place for
individuals to follow when more than one person is responsible for ensuring
compliance with Post -Issuance Debt Compliance Procedures.
b. Ensure training and/or educational resources for post -issuance compliance
have been approved and obtained.
c. The Finance Director understands that there are options for voluntarily
correcting failures to comply with post -issuance compliance requirements
(such as remedial actions under Section 1.141-12 of the "Treasury
Regulations and the ability to enter into a closing agreement under the Tax -
Exempt Bonds Voluntary Closing Agreement Program described in Notice
2008-31 (the "VCAP Program")).
2. General Recordkeeping
a. Retain records and documents for the obligation and all obligations issued to
refund the obligation for a period of at least seven years following the final
payment of the obligation (or if such obligation is refunded, the final
payment of the refunding bond) unless otherwise directed by the I -IRA's
bond counsel.
b. Retain both paper and electronic versions of records and documents for the
obligation.
c. General records and documentation to be assembled and retained
i. Description of the purpose of the obligation (referred to as the project)
and the state statute authorizing the project.
ii. Record of tax-exempt status or revocation of tax-exempt status, if
applicable.
iii. Any correspondence between the HRA and the IRS.
iv. Audited financial statements.
v. Bond transcripts, official statements and other offering documents of
the obligation.
vi. Minutes and resolutions authorizing the issuance of the obligation.
10
vii. Certifications of the issue price of the obligation.
viii. Any formal elections for the obligation (i.e. election to employ an
accounting methodology other than the specific tracing method).
ix. Appraisals, demand surveys, or feasibility studies for property
financed by the obligation.
x. Documents related to governmental grants, associated with
construction, renovation or purchase of property financed with the
obligation.
xi. Reports of any prior IRS examinations of the HRA or the HRA's
obligation.
Arbitrage Yield Restriction and Rebate Recordkeeping
a. Investment and arbitrage documentation to be assembled and retained
i. An accounting of all deposits, expenditures, interest income and asset
balances associated with each fund established in connection with the
obligation. This includes an accounting of all monies deposited to the
Debt Service Account to make debt service payments on the
obligation, regardless of the source derived. Accounting for
expenditures and assets is described in further detail in Section 4.
ii. Statements prepared by Trustee or Investment Provider.
iii. Documentation of at least quarterly allocations of investments and
investment earnings to each obligation (i.e. uncommingling analysis).
iv. Documentation for investments made with obligation proceeds such
as:
1. Investment contracts (i.e. guaranteed investment contracts).
2. Credit enhancement transactions (i.e. bond insurance contracts).
3. Financial derivatives (swaps, caps, etc).
4. Bidding of financial products.
• Investments acquired with obligation proceeds are purchased at
fair market value (i.e. three bids for open market securities
needed in advance refunding escrows).
b. Computations of the arbitrage yield.
c. Computations of yield restriction and rebate amounts including but not
limited to:
i. Compliance in meeting the "Temporary Period from Yield Restriction
Exception" and limiting the investment of funds after the temporary
period expires.
ii. Compliance in meeting the "Rebate Exception".
1. Qualifying for the "Small Issuer Exception"
2. Qualifying for a "Spending Exception"
• 6 Month Spending Exception
• 18 Month Spending Exception
• 24 Month Spending Exception
3. Qualifying for the `Bona Fide Debt Service Fund Exception"
11
4. Quantifying arbitrage on all funds established in connection with
the obligation in lieu of satisfying arbitrage exceptions (including
Reserve Funds and Debt Service Funds)
d. Computations of yield restriction and rebate payments.
e. Timely Tax Form 8038-T filing, if applicable.
i. Remit any arbitrage liability associated with the obligation to the IRS at
each five year anniversary date of the obligation, and the date in which
the obligation is no longer outstanding (redemption or maturity date),
whichever comes sooner, within 60 days of said date.
f. Timely Tax Form 8038-R filing, if applicable.
g. Procedures or guidelines for monitoring instances where compliance with
applicable yield restriction requirements depends on subsequent
reinvestment of obligation proceeds in lower yielding investments (for
example: reinvestment in zero coupon SLGS).
4. Expenditure and Asset Documentation to be Assembled and Retained
a. Documentation of allocations of obligation proceeds to expenditures (i.e.
allocation of proceeds to expenditures for the construction, renovation or
purchase of facilities owned and used in the performance of exempt
purposes).
i. Such allocation will be done not later than the earlier of:
eighteen (18) months after the later of the date the expenditure is paid,
or the date the project, if any, that is financed by the tax-exempt bond
issue is placed in service; or
the date sixty (60) days after the earlier of the fifth anniversary of the
issue date of the tax-exempt bond issue, or the date sixty (60) days after
the retirement of the tax-exempt bond issue.
b. Documentation of allocations of obligation proceeds to issuance costs.
c. Copies of requisitions, draw schedules, draw requests, invoices, bills and
cancelled checks related to obligation proceed expenditures during the
construction period.
d. Copies of all contracts entered into for the construction, renovation or
purchase of facilities financed with obligation proceeds.
e. Records of expenditure reimbursements incurred prior to issuing bonds for
facilities financed with obligation proceeds (Declaration of Official
Intent/Reimbursement Resolutions including all modifications).
f. List of all facilities and equipment financed with obligation proceeds.
g. Depreciation schedules for depreciable property financed with obligation
proceeds.
h. Documentation that tracks the purchase and sale of assets financed with
obligation proceeds.
i. Documentation of timely payment of principal and interest payments on the
obligation.
12
j. Tracking of all issue proceeds and the transfer of proceeds into the debt
service fund as appropriate.
k. Documentation that excess earnings from a Reserve Fund is transferred to
the Debt Service Fund on an annual basis. Excess earnings are balances in a
Reserve Fund that exceed the Reserve Fund requirement.
5. Miscellaneous Documentation to be Assembled and Retained
a. Ensure that the project, while the obligation is outstanding, will avoid IRS
private activity concerns.
L The Finance Director shall monitor the use of all obligation -financed
facilities in order to:
determine whether private business uses of obligation -financed
facilities have exceeded the de minimus limits set forth in Section
141(b) of the Code as a result of sale of the facilities (including sale of
capacity rights, leases and subleases of facilities (including easements
or use arrangements for areas outside the four walls, e.g., hosting of cell
phone towers), leasehold improvement contracts, licenses, management
contracts (in which the HRA authorizes a third party to operate a
facility, e.g. cafeteria), research contracts, preference arrangements (in
which the HRA permits a third party preference, such as parking in a
public parking lot), joint ventures, limited liability companies or
partnership arrangements, output contracts or other contracts for use of
utility facilities (including contracts with large utility users),
development agreements which provide for guaranteed payments or
property values from a developer, grants or loans made to private
entities (including special assessment agreements), naming rights
agreements, or other arrangements that provide special legal
entitlements to nongovernmental persons; and
determine whether private security or payments that exceed the de
minimus limits set forth in Section 141(b) of the Code have been
provided by nongovernmental persons with respect to such obligation -
financed facilities.
ii. The Finance Director shall provide training and educational resources
to any HRA staff that have the primary responsibility for the operation,
maintenance, or inspection of obligation -financed facilities with regard
to the limitations on the private business use of obligation -financed
facilities and as to the limitations on the private security or payments
with respect to obligation -financed facilities.
b. The Finance Director shall undertake the following with respect to the
obligations:
i. an annual review of the books and records maintained by the HRA with
respect to such obligations; and
13
ii. an annual physical inspection of the facilities financed with the
proceeds of such obligations, conducted by the Finance Director with
the assistance of any HRA staff who have the primary responsibility for
the operation, maintenance, or inspection of such obligation -financed
facilities.
c. Changes in the project that impact the terms or commitments of the
obligation are properly documented and necessary certificates or opinions
are on file.
6. Additional Undertakings and Activities that Support Sections 1 through 5 above:
a. The Finance Director will notify the HRA's bond counsel, financial advisor
and arbitrage provider of any survey or inquiry by the IRS immediately
upon receipt (Usually responses to IRS inquiries are due within 21 days of
receipt. Such IRS responses require the review of the above mentioned data
and must be in writing. As much time as possible is helpful in preparing the
response).
b. The Finance Director will consult with the HRA's bond counsel, financial
advisor and arbitrage provider before engaging in post -issuance credit
enhancement transactions (i.e. bond insurance, letter of credit, or hedging
transactions (i.e. interest rate swap, cap).
C. The Finance Director will monitor all "qualified tax-exempt debt
obligations" within the first calendar year to determine if the limit is
exceeded, and if exceeded, will address accordingly. For tax-exempt debt
obligations issued during years 2009 and 2010, the limit is $30,000,000
(The limit was $10,000,000 prior to 2009. In 2011 and thereafter it will
remain at $10,000,000 unless changed by Congress). During this period, the
limit also applies to pooled financings of the governing body and provides a
separate $30,000,000 for each 501 (c)(3) conduit borrower.
d. Comply with Continuing Disclosure Requirements.
i. If applicable, the timely filing of annual information agreed to in the
Continuing Disclosure Certificate.
ii. Give notice of any Material Event.
e. Identify any post -issuance change to terms of bonds which could be treated
as a current refunding of `old" bonds by "new" bonds, often referred to as a
"reissuance".
f. The Finance Director will consult with the HRA's bond counsel prior to any
sale, transfer, change in use or change in users of obligation -financed
property which may require "remedial action" under applicable Treasury
Regulations or resolution pursuant to the VCAP Program.
A remedial action has the effect of curing a deliberate action taken by the
HRA which results in satisfaction of the private business test or private loan
test. Remedial actions under Section 1.141-12(d)(e) and (f) include the
AM
redemption of non-qualified bonds and alternative uses of proceeds or the
facility (i.e. use for a qualified purpose instead).
g. The Finance Director will ensure that the appropriate tax form for federal
subsidy payments is prepared and filed in a timely fashion for applicable
obligations (i.e. Build America Bonds).
7. Compliance with Future Requirements
a. Take measures to comply with any future requirements issued beyond the
date of these Post -Issuance Debt Compliance Procedures which are essential
to ensuring compliance with the applicable state and federal regulations.
1
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15
Memo
To:
Mark Casey --- HRA Executive Director
From:
Stacie Kvilvang
Date:
May 8, 2012
Subject: Purchase Agreement with Dominium — HRA Owned Parcels
Dominium is proposing to purchase the two (2) parcels owned by the HRA for development of an
approximately 152 unit senior rental facility. In addition to acquisition of the HRA's parcels, they
will need to purchase another parcel from Apache Redevelopment LLC (Len Pratt) in order to
accommodate the development of the units.
z HRA Parcels--
r� 4'
�'+"• '�-°} ° :a �$ ,'fit �' .
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N
c{t i4,ri!
Pratt Parcel
',o .'H AVF KIE
Pursuant to direction provided by the City Council4IRA at their October 31, 2011 meeting, following
are the terms of the purchase agreement for the two (2) HRA owned parcels:
1. Purchase price is $1,216,000 which equates to $8,000/unit. The HRA's portion of the land
sale proceeds are 52.88% of this amount, or $643,021.
2. Acknowledges that Dominium has/will enter into a purchase agreement with Len Pratt for the
adjacent property (for the 47.12% prorated portion of the $1,216,000 purchase price of
approximately $572,979).
E H L E RS 3060 Centre Pointe Drive
10Roseville, MN 55113-1105
LEADERS IN PUBLIC FINANCE Phone: 651-697-8506
Fax: 651-697-8555
skvilvang@ehlers-inc.com
1.6
Mark Casey
Purchase Agreement with Dominium —HRA Owned Parcels
Page 2
May 8, 2012
3. Earnest money in the amount of $25,000 ($12,500 now and $12,500 July 1 after inspection)
will be deposited with Commercial Partners Title, LLC (Escrow Agent). This money is non-
refundable upon expiration of the Financing Contingency Period, which is December 31,
2012. Dominium needs to have a financing commitment in place by this date.
4. I -IRA is selling property "As Is" and Dominium has Lentil July 1, 2012 to finalize inspection of
the property and file any written objections.
Dominium will be assuming payment of the outstanding special assessments that were levied
for the construction of 39°1 Avenue (approximately $97,500 balance remains).
6. Dominium is required to have all governmental approvals for the development of the project
by December 31, 2012 and is solely responsible for all costs related to obtaining the
approvals.
7. The City, MRA and Dominium are to enter into a Development Agreement for the project by
May 30, 2012.
8. Acknowledges that Dominium is seeking an additional $295,000 in funds from Ramsey
County on or before the expiration of the Financing Contingency Period (December 31, 2012)
and that the City will assist them as needed in obtaining the funding. Dominium can back out
of the purchase agreement if they do not receive this grant.
9. Closing is to take place by no later than March 1, 2013 and the HRA and Dominium will be
paying customary Seller and Buyer expenses.
There will be terms in the Development Agreement between the HRA, City and Dominium that will
address the possibility of an increase in the purchase price for the land. Dominium will increase the
payment for land to $10,000/unit if they receive other grant resources or if construction costs are less
than anticipated. This means that if either cost savings or grants equaled or exceeded $304,000, the
City and Mr. Pratt would be reimbursed this amount on a prorated basis accordingly (up to $160,755
for the HRA and up to $143,245 for Len Pratt). If the amount was less than $304,000, then the City
and Len Pratt would be reimbursed at the lower level accordingly (i.e. savings of $200,000 would be
prorated back to the City and Len Pratt in the amount of $105,760 to the HRA and $94,240 to Pratt).
If the HRA is agreeable to these terms, the final purchase agreement will be brought to the HRA at
their May 8, 2012 meeting. In addition, the HRA will hold a public hearing on the sale of the parcels
at the meeting in accordance with MN Statutes 469.029, Subd (2). Proceeds from the sale of the HRA
parcels will go to pay back the interfund loan to the Water Filtration Fund.
Please contact me at 651-697-8506 with any questions.
17
t5� 4. e�F✓ 1
fa i J
1'0: Mark Casey —City Manager
e" °omr Stacie Kvilvang
Dat: s. May 8, 2012
Stfld�e("L Development Agreement - Dominium Senior Housing Project
Dominium has submitted a Purchase Agreement (PA) to City's Housing and Redevelopment Authority
(HRA) to purchase the JA Cadawallader and the vacant Fannie Mae parcel from the City's Housing and
Redevelopment Authority (PA covers both parcels). In addition to acquisition of the HRA's parcels, they
will need to purchase another parcel from Apache Redevelopment LLC (Len Pratt) in order to
accommodate the development of 152 unit of senior rental housing.
Based upon the above referenced development program, following is a listing of the proposed business
terms for the final Development Agreement:
I. Land Use
a. Income and Rent Limits. Dominium covenants and agrees to rent at least 20% of the units to
seniors at or below 50% of the Area Median Income (AMI).
2. Acquisition
a. Closing. Dominium will acquire the land no later than March 1, 2013.
b. Purchase Price. The proposed purchase price is for $1,216,000 which equates to $8,000/unit. The
HRA's portion of the land sale proceeds are 52.88% of this amount, or $643,021. Dominium will
enter into a purchase agreement with Len Pratt for the adjacent property for approximately
$572,979 or the remaining 47.12% prorated portion of the $1,216,000 purchase price.
c. Purchase Price Adjustment. Dominium represents that the estimated construction costs of the
project are $13,951,371. When they receive their Certificate of Occupancy (CO) they have to
provide the City an audited construction cost statement. If based upon this statement (and the
receipt of any other grant sources), the actual construction costs are less than $13,951,371, then
Dominium will increase the payment for land to $10,000/unit. This means that if either cost
savings or grants equaled or exceeded $304,000, the City and Mr. Pratt would be reimbursed
this amount on a prorated basis accordingly (up to $160,755 for the HRA and up to $143,245
for Len Pratt). If the amount was less than $304,000, then the City and Len Pratt would be
reimbursed at the lower level accordingly (i.e. savings of $200,000 would be prorated back to
the City and Len Pratt in the amount of $105,760 to the HRA and $94,240 to Pratt).
E H L E RS R
3060 centre 5511
(Ave
Roseville, iVI5513 N 1 3-1105
LEADERS IN PUBLIC FINANCE 111hooe:651-697-8506
Fax: 651-697-8555
skvi Ivang@ehlers-inc.com
Eal
Mark Casey
Development Agreement - Dominium Senior Housing Project
May 8, 2012
Page 2
Assessment Agreement. Dominium is required to execute a Minimum Assessment Agreement
(MAA) for the project. The MAA will be for $14,440,000 ($85,000/unit) as on January 2nd in the
years 2015 through 2029 (for taxes payable in 2016-2030). The end date of 2029 is the legal end
year of the TIF district (expires on December 31, 2030). The MAA can be terminated if the State
Legislature enacts changes that would cause the property to fall below the MAA amount.
3, Development Timeline
a. Commencement and Completion. The desired commencement date is March 31, 2013and the
default date is September 30, 2013. The desired completion date is October 31, 2014 and the
default date is December 31, 2014.
4. Tax Increment
PAYGO TIF Note. The City will issue Dominium a pay-as-you-go TIF note in the principal
amount of $1,023,000 (condition precedent to issuing is filing of the MAA). The TIF Note is
payable from 90% of the TIF generated from their development and is payable on February I and
August I of every year commencing on August 1, 2015 through February 1, 2031 (15 years which
is the remaining term of the TIF district).
b. Tax Petitions. If Dominium petitions its market value, the City is only required to pay them TIF
based upon the MAA value. Once the petition is settled, then any shortfalls in TIF payments will
be made up on the next TIF note payable date (August I or February 1). Dominium is required to
inform the City of any tax petitions they subunit for the project.
c. Assignment of TIF Note. The TIF Note cannot be assigned without the written consent of the
City, provided however that such consent shall not be unreasonably be withheld.
d. Look Back Provision. As an Exhibit to the Development Agreement, a mutually agreed upon
preliminary development proforma for project will be attached. Within 60 days of the earliest of
(i) the date of stabilization of the project (93% occupancy), (ii) transfer of the project, or (iii) 3
years after the date of issuance of the CO, Dominium is required to provide the City with actual
audited financials showing the actual annualized cumulative Internal Rate of Return (IRR),
assuming a sale in the 10th year. If the IRR exceeds 20%, then 50% of the amount in excess of
the 20% IRR will go to reduce the principal amount of the TIF Note.
5. Miscellaneous.
a. City Consulting Costs. Dominium will reimburse the City for all legal and fiscal consulting fees
associated with development of the project and creation of the required documents (purchase
agreement and development agreement.
1.9
Mark Casey
Development Agreement - Dominium Senior Housing Project
May 8, 2012
Page 3
b. Park Dedication Fees. Dominium is required to pay customary park dedication fees. Based upon
the City's current fee schedule, it is estimated that the City will receive approximately $228,000
($1,500/unit).
c. Storm Pond and Park Maintenance Agreements. We are still in the process of reviewing if they
will be required to become part of the existing agreements in place for The Landings, Silver Lake
Condos and Commercial elements.
d. Default. If Dominium does not commence construction by September 30, 2013 or finish
construction by December 31, 2014, then they shall be in default of the agreement. They will
have 30 days to cure the default. If the default is not cured, then the Development Agreement and
any TIF assistance will go away.
The elements of this transaction are within industry standards that Ehlers has seen within the
Metropolitan Area on these types of developments. At this time, we anticipate that a final
Development Agreement will be brought before the City Council and HRA in May for consideration
and approval. Please contact me at 651-697-8506 with any questions.
cc: Jay Lindgren -- Dorsey & Whitney
File
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