HomeMy WebLinkAbout2005.08.15 EDA Packet R
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AGENDA
CITY OF HUGO
ECONOMIC DEVELOPMENT AUTHORIZTY
MONDAY, AUGUST 15, 2005 - 8:30 AM
HUGO CITY HALL
8:30 am 1. Call to Order
8:31 am 2. Roll Call
8:32 am 3. Approval of Minutes
• EDA Meeting of July 18, 2005
8:35 am 4. Presentation from the Beard Group on the Commercial
Component of the Downtown Redevelopment Proposal
9:15 am 5. Discussion of Possible City Purchase of Property at
5757 147`h ST
9:30 am 6. Update of August 10,2005 Meeting of the TIF
Subcommittee
• Discuss Preliminary TIF District Analysis
10:00 am 7. Update on Negotiations to Acquire Carpenters
Restaurant and the Old Antique Store
10:10 am 8. Discussion of Obtaining Business and Economic
Development Consultation Services from Kirstin Barness
10:20 am 9. Update on Sale of`End Zone' Property to Terry Montpetit
10:30 am 10. Adjournment
BACKGROUND MEMO FOR EDA MEETING OF
AUGUST 15, 2005
3. JULY 18, 2005 EDA MEETING MINUTES
City staff recommends the board approve the minutes for the July 18, 2005 meeting as
presented.
4. PRESENTATION FROM THE BEARD GROUP ON THE COMMERCIAL
COMPONENT OF THE DOWNTOWN REDEVELOPMENT PROPOSAL
At the last EDA meeting Chris Enger from the Ryland Group gave a presentation on
redeveloping the downtown area. Ryland group would like to work with the city to redevelop
the entire downtown area into a pedestrian friendly town center which would include a mix of
office space, retail and residential uses. The EDA recommended that Ryland Group come to the
next meeting to show more commercial development for the downtown area. Bill Beard of the
Beard Group, a commercial and retail developer and Ryland Homes have partnered on the
project and Mr. Beard will give a presentation on their proposed plan for the downtown area.
City staff seeks direction from the EDA about whether to proceed with Ryland Group as the
master developer for downtown Hugo.
5. DISCUSSION OF POSSIBLE CITY PURCHASE OF PROPERTY AT 5757147TH ST
The property at 5757 147`h St is owned by John Granger and located to the north of Egg Lake
fronting 147`h St to the north and Lower 147`h St to the south. Mr. Granger recently approached
the city about demolishing the existing home on the site and redeveloping the site into a twin
home. City staff inquired if Mr. Granger would be interested in selling the property to the city
instead of redeveloping the site. Over the last few years the city has been purchasing properties
along the east end of Egg Lake as they become available. There has recently been a lot of
interest by developers in extending the downtown redevelopment area to include some of the
parcels along the north end of Egg Lake. Mr. Granger is here today to discuss the possibility of
selling the property. City staff is requesting input from the EDA on whether or not to consider
purchasing the Granger property or other properties along the north edge of Egg Lake.
6. UPDATE ON AUGUST 12, 2005 MEETING OF THE TIF SUBCOMMITTEE
At its last meeting the EDA directed the TIF subcommittee, consisting of Mike Granger, Frank
Puleo, Nick Skarich, and Theresa Charpentier, to conduct preliminary tests of the downtown Tax
Increment Financing (TIF)redevelopment district to determine if the district would meet state
qualifications for the establishment of a TIF district. City staff, Mikaela Huot and Paul
Steinman of Springsted, and the subcommittee met on August 10, 2005. Theresa Carpentier and
Mike Granger were unable to attend. City staff presented the preliminary findings from the
blight analysis test and the occupancy test for the TIF district with the subcommittee and
discussed different approaches on how to proceed with establishing the district. At the EDA
meeting city staff and subcommittee members will provide a summary of the meeting to the
EDA on the preliminary results of the TIF district analysis and discuss the next steps.
7. UPDATE ON NEGOTIATIONS TO ACQUIRE CARPENTER RESTAURANT AND
THE OLD ANTIQUE STORE
City staff and officials have been in discussion with Mike and Catherine Anderson about
purchasing the old antique store from them. Mike and Catherine Anderson also own the
adjacent Carpenters Restaurant. The property owners have recently expressed interest in selling
both the antique store and the adjacent Carpenters Restaurant to the city at the same time. City
staff will provide and update to the EDA on the negotiations to purchase these two properties.
8. DISCUSSION OF OBTAINING BUSINESS AND ECONOMIC DEVELOPMENT
CONSULTATION SERVICES FROM KIRSTIN BARNESS
Kirsten Barsness of Barsness Consulting Services, Inc is interested in offering her consultant
services to the City of Hugo and the EDA. Mrs. Barsness specializes in providing project
management, TIF district coordination, and project marketing services to cities. City staff is
requesting input from the EDA on the types of business consultant services that might be
beneficial to fulfilling the goals of the city and the mission of the EDA.
9. UPDATE ON SALE OF `END ZONE' PROPERTY TO TERRY MONTPETIT
Terry Montpetit has recently entered into a contract to purchase the former `End Zone
Property' located at 13891 Forest Blvd. At the last EDA meeting Scott Montgomery asked
the city for financial assistance in acquiring the property. Mr. Montgomery owns some of
the surrounding parcels and would like to redevelop the area into a mix of office space and
residential uses. City staff suggested to Terry Montpetit that he consider working with
Scott Montgomery to develop the entire area simultaneously.
MINUTES FOR THE EDA MEETING OF JULY 18,2005
The meeting was called to order by Mayor Fran Miron at 8:30 am.
Present: Miron,Arcand, Klein,Bever, Granger, Charpentier
Absent: Skarich
City Administrator, Mike Ericson
Community Development Director, Bryan Bear
Community Development Intern, Andrew Gitzlaff
2. EDA MEETING OF JUNE 20,2005
City staff recommended the board approve the minutes for the June 20, 2005
meeting as presented.
Klein made motion,Arcand seconded to approve the minutes for the June 20, 2005
meeting as presented.
All aye. Motion carried
3. PRESENTATION FROM RYLAND GROUP INC. ON THE DOWNTOWN
REDEVELOPMENT PLAN
Chris Enger of Ryland Homes gave a presentation to the EDA on their proposal to
redevelop the downtown into a pedestrian friendly town center with would include
a mix of office space,retail and residential uses. Ryland intends to adhere to the
city's recently completed downtown plan and the proposed design guidelines for
the district. Ryland Homes requested a letter of intent from the city to become the
master developer for the project. The EDA suggested that Ryland Homes come to
the next EDA meeting and give a presentation on the commercial component of
their proposal.
4. PRESENTATION FROM SCOTT MONTGOMERY ON THE END ZONE
PROPERTY REDEVELOPMENT PLAN
Scott Montgomery of Kelmont gave an update to the EDA on their plans to redevelop the
former End Zone bar and adjacent residential properties fronting the east side of Hwy 61
south of 140`h St N into a mix of office space and residential uses. Scott Montgomery
already owns some of the parcels at the location but is having trouble acquiring the `End
Zone' property and would like some financial help from the city. The EDA requested
that Scott Montgomery continue to keep the city staff and city officials informed on the
property acquisition process and any future plans for the site.
5. JULY 11, 2005 RFP SUB COMMITEE REPORT
With direction from the EDA and city council, staff previously sent out a request for
proposal (RFP)for the development of the city owned property at the northeast corner of
Fenway Blvd and Fenway Blvd Circle in the Bald Eagle Industrial Park(BEIP). City
staff has also been in contact with three businesses that have expressed interest in the
recently reacquired"Rink-Tec"property on Fenway Blvd. Circle in the BEIP. At its last
meeting on July 11, 2005, the RFP subcommittee met with the four businesses that
submitted RFP's for both properties in the Bald Eagle Industrial Park. The
subcommittee listened and reviewed four proposals for the development of the two sites
and city staff reviewed an additional proposal from another business interested in the
Rink-Tec site earlier in the day. At the EDA meeting city staff provided a summary of
the RFP meeting and the recommendations of the RFP sub-committee as to which
businesses to enter into purchase agreements with for the city owned properties.
Charpentier made motion,Klein seconded to recommend to the city council that the city
enter into a purchase agreement the 3.3 acre site to Pearson Mechanical Inc.
All aye. Motion carried.
Klein made motion,Charpentier seconded to recommended to the city council that
the city sell the `Rink-Tec' property to Oneka Pet Resort
All aye. Motion carried.
Miron made motion, Granger seconded requesting that the city works with the
other businesses to find them a place in the city.
All aye. Motion carried.
6. DISCUSSION OF DOWNTOWN REDEVELOPMENT
At the last meeting of the TIF subcommittee city staff and the subcommittee identified
the parcels that should be included in the proposed TIF district. The subcommittee also
discussed the subsequent procedure for conducting blight examination and substandard
tests to determine if the district would qualify under state law for the establishment of a
TIF district. At the EDA meeting city staff and subcommittee members provided a
summary of the meeting to the EDA on the proposed boundaries and discussed extending
the boundaries south to the `End Zone' property. The EDA requested that the city staff
and the subcommittee continue to test the feasibility of the TIF district boundaries.
7. ADJOURNMENT
Granger made motion, Charpentier seconded to adjourn the meeting at 10:45
All aye. Motion carried.
John & Kim Granger
5757 147th Street North
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Article by Bruce Chamberlian of Hoisington Koegler Group, scheduled for
print in Finance and Commerce on Thursday, Aug 4, 2005.
Mound calls on its past to shape its future
The train pulls into the depot of this village known as Mound, named for its collection
of Native American burial knolls and known for its family resorts and the best fishing
on renowned Lake Minnetonka. Eager passengers step onto the platform into a
different world from the one they left in downtown Minneapolis. Visitors pick up a
few essentials at the grocer, walk to the pier and board a small steamer waiting to
carry them to cabins and resorts.
That was the scene in downtown Mound during Lake Minnetonka's thriving resort era
in the teens and twenties. While the resorts are gone, replaced by homes, the scene
is being rebuilt. In a monumental effort of public/private partnerships totaling more
than $200 million of reinvestment and years of work, downtown Mound is once again
becoming a destination.
The effort is called Mound Visions and the vision grew out of need. Despite its rich
history, Mound's downtown had fallen on hard times by the mid 1980s. The resort
era abruptly ended long ago with black Tuesday. More recently, shopping patterns
had changed to the decline of places like Mound. Famed Tonka Toys was sold and
moved from its Mound genesis to Mexico. And that canal from Lake Minnetonka to
the Mound depot? It was all but forgotten; overgrown behind dumpsters, a gravel
alley and piles of road salt.
The community, however, desired a different fate. The City completed a strategic
downtown plan in 1990 that, among other things, suggested an organized downtown
revitalization effort. That effort, soon known as Mound Visions, took root with the
adoption of the downtown master plan in 1992. The master plan was aggressive
with the suggestion to essentially tear down the entire downtown and rebuild it with
mixed-use buildings, reroute a county road, build a new main street, transit center
and farmer's market, rehabilitate the canal to Lake Minnetonka and build a public
marina. The strategy was (and still is) to create extremely compelling public
amenities and pedestrian spaces as a framework for private redevelopment. The
City learned quickly that flipping Mound's tarnished image and attracting private
investment would require bold moves and public "seed" investments in key amenities
like the canal and main street.
At the time it was unveiled in 1992, the idea of building a traditional downtown was
semi-radical. Urban designer Bruce Chamberlain, Vice President with Hoisington
Koegler Group, remembers a prominent area developer warning him that such an
aggressive plan would never be realized. But the community had unwavering
dedication; especially to a plan that focused on its Lake Minnetonka heritage.
The hurdles were at times daunting says Kandis Hanson, Mound City Manager. "Soil
contamination, county road and post office relocation, utility undergrounding, rail
abandonment, new street rights-of-way, not to mention that the permits required to
dredge a canal and build sixty boat slips has kept us focused and savvy." With the
expertise of a top notch City staff, legal and financial council from Kennedy & Graven
and Ehlers & Associates, Environmental consulting from Earth Tech as well as
engineering from MFRA and urban design, landscape architecture and Mound Visions
coordination from Hoisington Koegler Group, the public-realm team of this effort has
accomplished feats.
Enter the development community. Early skepticism turned to passive curiosity and
ultimately to financial commitment with Mound's establishment of a downtown tax
increment financing district and completion of early infrastructure projects. The
catalyst redevelopment project by a local hardware retailer in 2000 was quickly
followed by a mixed-use retail/housing project by MetroPlains Development and a
new downtown post office. These early projects were critical in demonstrating
market success and establishing the flavor for the important "main street" projects
to come.
Mound Harbor Renaissance, LLC (MHR), consisting of a consortium of development
interests was selected by the City in 2001 as the redeveloper of three high-visibility
main street districts in downtown. MHR and their consultants including Maxfield
Research, Landform Engineering, Barr Engineering, Fagre & Benson, Krass Monroe
and Edina Realty has embraced Mound's vision for a traditional downtown and
proven to be a wise and highly professional development partner in the effort.
MHR's proposal for mixed-use development embraces public space and pushes the
envelope in quality design and innovative stormwater systems. Tom Stokes,
president of Brenshell Townhomes, one of the development partners, says that"the
intense market interest of their downtown units prove the sophistication of today's
home buyers who are interested in a full package of high quality amenities that flow
from interior details to building architecture to site design to inviting public spaces."
The public/private teamwork of MHR and the City is gaining wide recognition and
support. In the 2005 calendar year alone the team has secured nearly $5 million in
grant funds and received large awards from Hennepin County's Transit-Oriented
Development grant and Minnesota Department of Employment and Economic
Development environmental grant. The project has also been recognized with
significant financial support from the Minnehaha Creek Watershed District as an
innovative model for stormwater treatment.
The Mound Visions effort will be complete in 2008. All told, over 350 housing units
within a five-minute walk from a downtown transit center and 150,000 square feet of
commercial space will have been built. The effort will result in roughly $40 million in
public investment and another $160 million in private investment. Property taxes
generated from this small downtown will increase by over 25 times their pre-
development levels. When asked if the effort has been worth it Mayor Pat Meisel
says, "We have reconnected with our heritage, set the stage for a generation of
success and transformed attitudes from defeatist to confidence. I'd say it's been
worth it".
Pu^hc Sector Advisors
Hugo City Council and
Economic Development
Authority Meeting
�Pri 13:2005
pro. r %
Downtown Redevelopment
Spr(ngsted
Overview Next Steps—Resources
• Planned re-route of CSAR 8 Redevelopment likely to require some form of
• Downtown top priority for policy makers public participation
• Completed downtown plan -Acquisition,demolition,relocation
• Acquisition of parcels •Redevelop substandard buildings
- Must complete interfund loan resolution to reimburse with TI -Infrastructure improvements
• Application for CDBG funds •Street,storm sewer,signalization
• Interested developers Tax Increment Financing
-Senior Housing -Redevelopment District
-Other components of downtown plan -Create a source of funds
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Redevelopment District Redevelopment District(cont.)
• Identification of District Boundaries Term
Qualifications - 25 years after the date of recut of first increment(26 years maximum).
•
— Improved parcels make up at least 709/6 of the district.To be Restrictions
considered improved,at least 15%of the parcel's area must - At least 90%of the increment must be used to finance the costs of correcting
contain Improvements. i�Wtle but arae nolo limited nation of redevelopment districts.These costs
— More than 50%of the buildings(excluding outbuildings)are Acquiring properties containing substandard improvements or hazardous
substances;
structurally substandard to a degree requiring substantial Acquiring adecent parcels necessary to provide a site of sufficient size
renovation or clearance. to permit development;
•
—A building is not considered substandard t it could be brought up Demolpgn and rehabilitation of structures,clearing of land;Removal or remedation of hazardous substances;and
to code at a cost of less than 151/6 of a comparable new building Installation of utilities,mads,sidewalks and panting facilities.
on that parcel.
1
Eligible TIF Expenditures Financing
• Specified purposes permitted in the underlying Bond Financing
development statutes for cities,HRAs,EDAs,and Port Bonds may be issued without election if at least 20%of debt
Authorities. service is reasonably expected to be paid with increment.
• Administrative expenditures are limited to 10%of the Pay-As-You-Go Financing
expenditures authorized in the TIF Plan or 101%of actual Developer finances TIF-eligible costs as they are incurred,
increment expenditures,whichever is less. and authority promises to reimburse the developer from
• Increment may not be used to finance buildings that are tax increment over time,if and when it is generated.
used"primarily and regularly for conducting the Typically structured as a revenue note issued to the
business"of any unit of government, developer,with an interest component to compensate the
developer for costs of upfront financing.
r"3 SPflnps:..3
Adopting a TIF Plan Time Limit#1: 3 Year Rule
• Notice to County Board and School District,at least 30 Within three years of certification,one of three things must
days prior to City Council public hearing. occur for district to remain alive:
• For redevelopment districts,the individual county
commissioner representing the site must also receive a — Bonds are issued to aid the project,
notice at least 30 days before the publication of the hearing —Authority acquires property within the district,or
notice(40 days prior to public hearing).
—Authority causes public improvements to be constructed
• Published notice,10-30 days prior to public hearing. within the district.
• Review by the Planning Commission.
• Public hearing before City Council and EDA.
• Request for Certification to County Auditor.
1
Time Limit#2:4 Year Rule(Knock Down) Time Limit#3: 5 Year Rule
• Increment will not be collected from a particular parcel For increment to be considered a spent expenditure within
unless,within tour years of certification,demolition, 9
the TIF District,one of the followin must occur within five
rehabilitation or renovation of property or other site years after certification of the distract:
—TI is paid to a 3rd party for a TIF eligible expenditure,
improvements has occurred in accordance with TIF plan. — Bonds are sold to a 3rd party and proceeds expected to be
spent within 5 years,
• If a parcel is"knocked-down"and later improved,it can be — Binding contracts are entered into with a 3rd party for
reinstated in the district,but at the market value at the time performance of an activity and increment is spent under the
of reinstatement. contract,or
—Costs are incurred by a"party"and revenues are spent to
reimburse that party.
7
Next Steps-Considerations Questions?
• Approve interfund loan resolution
• Identify geographic boundary of District
Paul Sf inm -Ph.(651)2233066 MR018 Huot-Ph.(651)2233036
• Complete blight examination/substandard test E-naa,pSteNtln3 ftun—tBd<«n E--a: huotftprea W can
• Create/certify redevelopment TIF District plan
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TIF SUBCOMMITTEE MEETING
Frank Puleo
Mike Granger
Nick Skarich -
Theresa Charpentier
Paul Steinman /a
Ron Otkin
Mike Ericson
TIF Subcommittee agenda
1. Goals
a. Downtown Plan
b. CDBG Application
c. Ideas from developers
2. Interfund Loan Resolution
3. Boundaries for potential TIF district
4. Property acquisition ,
' a. Jim Powell
�o
b. Mike and Catherine Anderson `l'� "`
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Barsness Consulting Services, Inc.
Memorandum
To: Mike Ericson, Brian Bear
From: Kirstin Barsness
Date: 6/19/05
Re: Consulting Services
As requested, I have outlined a menu of consulting services for the city of Hugo.
Services are defined by three broader categories: Project Management, Tax
Increment Financing District Coordination, and Project Marketing. All three areas
are inter-linked and some services could be defined in more than one category.
Project Management
❖ Work with local businesses for retention within the downtown area.
❖ Respond to information requests and inquiries from businesses and
residents.
❖ Work with EDA and City Council to identify redevelopment priorities.
❖ Coordinate and manage communications of project progress both internally
and externally.
❖ Work with staff to create a timeline(Gantt Chart)that represents key
benchmarks in the projects development.
❖ Act as liaison between City representatives and prospective developers.
❖ Assist in negotiation of Letters of Intent, Pre-Development and
Development Agreements, and Tax Increment Agreements.
TIF District Coordination
� . . .
6/1912005
June 19, 2005
❖ Draft criteria for financial assistance based on EDA input. Generate
application and evaluation tool.
❖ Develop and manage District Budget. Work with city staff to maintain files.
❖ Act as staff contact for establishing the TIF District; work with the City's
Financial Advisor on TIF Plan and coordinate inspections.
❖ Serve as point of contact for property owners within the District boundaries.
❖ Complete document and proforma analysis for projects requesting TIF
assistance.
Project Marketing
❖ Create background piece, possible RFQ, or RFP for potential developers.
❖ Identify real estate development companies to "shop" pieces of the project.
Receive feedback on marketability and gage level of interest in the project.
❖ Coordinate selection process including interviews, reference and financial
checks.
❖ Develop Promotional Plan for the entire project to generate project
awareness within the Market.
All consulting time billed will have prior authorization from the City of Hugo.
Ms. Barsness' bill rate is $100.00 per hour. Portions of the project may be sub-
contracted or completed by another BCS employee with approval from the City
of Hugo. Hourly rates for sub-contracted work will be negotiated at the time of
engagement.
Expenses such as printing, postage, long-distance telephone, etc. are billed at
cost. All invoices are payable within fifteen (15) days of receipt of an invoice
showing the work completed and the direct costs for expenses.
Page 2
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Hugo Marketing Program
DRAFT — 3/15/05
Theme: Hugo —We invite everyone interested in retaining a high quality of
life, expanding personal opportunities and desires the support of the
community.
Tagline: Hugo —A community of growth and opportunity.
Marketing Action Items:
Action Item Comments Goal Person(s) Complete/
Alignment Resp. Due Date
Website Need to include EDA vision, 5 EDA 5/16
Update mission, objectives, theme, Marketing
taglines Team and
City Staff
NE Hugo Pratt homes are developing a sign 4 Jim Bever TBD
City Entry and landscape opportunity. Meet
Sign with Pratt and help to achieve the
vision.
Hugo Intent to open our EDA doors and 1/7 TBD TBD
Business be a listening post. Action items
Reception required include: personal invites
all businesses. Centerville and
Hugo. And, Washington Cty
investment board?. Phone call
follow ups to top 20%of tax base.
Paper announcement. Lighted
sign. Dates: 5/xx, xx or xx @
7pm. Dessert, coffee, water. Staff
agenda. Put event on HBA and
Lions April.
All Other For the other signs discuss at a 4 Jim Bever TBD
Hugo City Business reception and Poss.
Entry Signs Support from Lions—fund drive
EDA One single card with each of our 1/5 City Staff April 18
Business names and contact information
1
Cards along with the city defined staff.
EDA Request to solicit examples from 5 EDA April 18
Brochure other cities. Then determine
concept, design, development and
launch plan.
EDA EDA needs a drawing of the 8/3 EDA/City
Development various "opportunity locations" Staff
Plan that we can"sell"to expand,
attract and retain. This should be a
phased approach with target dates
of availability. This will also
include a"hit list"of businesses
that are desirable and undesirable.
2
CHAPTER 7
C. Technology
Moberg v.inaep.Soh.Dist.No. It is not entirely clear how the open meeting law applies to technology,
198 );S e League
re(Minn. such as e-mail or telephone calls.Although the law does not specifically
1983);See League research p � p )'
memo,Meetings of 04{ address the use of e-mail and other technology,it is likely that any form of
Councils(140B.1),for more communication between councilmembers or members of other public
information.
bodies could violate the open meeting law under certain circumstances.
As a result,city councils and other public bodies should not use e-mail,
telephone calls,and other technology to communicate with other members
of the public body when both of the following circumstances exits:
• When a quorum of the council or public body will be contacted
regarding the same matter.
• When city businesses is being discussed.
4. Open meeting exceptions
The open meeting law is designed to favor public access.Therefore,the
few exceptions that do exist are carefully limited to avoid abuse.
Minn.Stal.§§ 13D.01,subd.3; Before closing a meeting under any of the following exceptions,the public
13D.04,subd.5;See The Free
Press v.Count),of Blue Earth, body must state on the record the specific grounds that permit the meeting
6771v.w.2d 471(Minn.Ct. to be closed and describe the subject to be discussed. The same notice
App.2004)(holding that the requirements that apply to open meetings also apply to closed meetings.
county's statement that it was
closing a meeting under the
attomey-client privilege to
discuss"pending litigation"did
not satisfy the requirement of
describing the subject to be
discussed at the closed
meeting).
a. Labor negotiations
Minn.Stat.§ 13D.03,subd.1 The city council may,by majority vote in a public meeting,decide to hold a
(b)' closed meeting to consider its strategy for labor negotiations,including
negotiation strategies or developments,or discussion of labor negotiation
proposals.The council must announce the time and place of the closed
meeting at the public meeting.
Minn.Stat.§ 1313.03,subds.1 After the closed meeting,a written record of all members of the city
(d),2. council and all other people present must be available to the public. The
council must tape-record the proceedings at city expense,and preserve the
tape for two years after signing the contract. The tape-recording must be
available to the public after all labor contracts are signed for the current
budget period.
HANDBOOK FOR MINNESOTA CITIES 7-13
This chapter last revised 12/14/2004
MAY-19-2005 15:57 LEAGUE OF P1N CITIES 6512811296 P.05
— • Meetings to evaluate the performance of an;ne victual subject to the
public body's authority,
Mimi.Stat §§1:3D.05,subd..4(a)1 Procedure. The following must be done to use this exception:
131).01,suhd.
i. The public body must identify the individual to be
evaluated prior to closing the meeting.
ii. The meeting must be open at the request of the
individual who is the subject of the meeting, so some
advance notice to the individual is needed in order to
allow the individual to make an informed decision.
iii. Before closing the meeting,the council must state on
the record the specific grounds permitting the meeting
to be closed and describe the subject to be discussed.
iv, At the next open meeting,the public body must
summarize its conclusions regarding the evaluation.
The council should be careful not to release private or
confidential data in its summary.
Minn.Stitt.§13D.05,subd.i(b). . Attorney-client privilege. Meetings between the governing body and its
PriorLrike.line vicmr v.Mader, attorney to discuss active,threatened,or pending litigation may be closed
Goa N,w,24 729(Minn,20021, when the balancing of the purposes served by the attorney-client privilege
Northwest Publicatioru,Inc.v. against those served by the open meeting law dictates the need for
Ciiy of St,Paul,435 N.W2d 64 absolute confidentiality.The need for absolute confidentiality should
(Minn.App.1989). relate to litigation strategy,and will usually arise only after a substantive
decision on the underlying matter has been made.This privilege may not
be abused to suppress public observations of the decision-making process,
and does not include situations where the council will be receiving general
legal opinions and advice on the strengths and weaknesses of a proposed
underlying action that may give rise to future litigation.
Minn,Stitt.§13L),pl.subd.3;See Procedure. The following must be done to use this exception:
Ar Fria:Press v.Conray g191744,
Fpr/ll,677 N.w,2d 471(Minn. i. Before closing the meeting,the council must state on
App.2004)(holding that a the record the specific grounds permitting the
statelllent that a meeting wits being
closed under the attorney-client meeting to be closed and describe the subject to be
privilege to discuss"vending discussed, The council should also describe how a
litigation"did not satisfy the
requirement to"describe the balancing of the purposes of the attorney-client
subject to be discussed"at the privilege against the purposes of the open meeting
closed meeting)_ law demonstrates the need for absolute
confidentiality.
ii_ The council must actually communicate with its
attorney at the meeting.
2. Meetings that must be closed
There are some meetings that the law requires to be closed.The following
meetings must be closed:
Meetings of City Councils 15
Page 1 of 1
Mike Ericson
From: Scott Martin [smartin@northlandinst.org]
Sent: Thursday, August 18, 2005 2:20 PM
To: Mike Ericson
Subject: Twin Cities Community Capital Fund
Mike: Thanks for inviting me to meet with your City Council and EDA on Monday, September 19 at 8:30 a.m.
at the Hugo City Hall. Attached for your reference and distribution is the TCCCF executive summary. Please
don't hesitate to call me should you have any questions. Scott
Scott A. Martin S� l t{y,� Q y,
President
Twin Cities Community Capital Fund
13911 Ridgedale Drive, Suite 260
Minnetonka, MN 55305
Phone: (952) 546-9049
Fax: (952) 541-9684
e-mail: smartin@tcccf.org
1
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8/18/05