HomeMy WebLinkAbout05-14-2001 Council PacketAGENDA FOR COUNCIL MEETING SET FOR MONDAY, MAY 14, 2001, 7:00 P.M.
ORONO COUNCIL CHAMBERS, 2780 KELLEY PARKWAY, ORONO, MINNESOTA
(•) Asterisk items are considered to be routine items to he enacted upon by one motion by the City Council
under the Consent Item* on the agenda. Memos regarding each of the Agenda items are available in the
Public Packet - located on the counter new the sign in sheet.
ROLL CALL
CONSENT AGENDA
I. Approve/Amend
PUBLIC HEARING - 7:00 P.M.
2. TIF District No. 1-1
3. Housing Program
4. TEFRA
APPROVAL OF MINUTES
• 5. Regular Council Meeting of April 23, 2001
PARK COMMISSION COMMENTS - Debora Halvorson, Representatives
PLANNING COMMISSION COMMENTS - Dale Lindquist, Representative
PUBLIC COMMENTS - (Limit S Minutes Per Person)
ZONING ADMINISTRATOR'S REPORT
6. Consideration of No Wake Limitations for Long Lake
MAYOWCOUNCIL REPORT
PUBLIC SERVICE DIRECTOR'S REPORT
7. Extension of Joint Powers Agreement for West Hennepin Recycling Commission - Resolution
8. No Parking Sign - Forest Lake Landing
9. Approve Golf Course Retaining Wall
CITY ADMINISTRATOR'S REPORT
10. Acquisition of Property at 3770'ihoreline Drive
11. Proclamation of Law Enforcement Week - Resolution
12. Budget Amendments for Year 2(N)0
13. 2001 /2002 Police Officer Contract Settlement
CITY ATTORNEY'S REPORT
• 14, LICENSES
• 15. BILLS
ADJOURNMENT
AGENDA FOR COUNCIL MEETING SET FOR MONDAY. MAY 14, 2001, 7:00 P.M.
ORONO COUNCIL CHAMBERS, 2780 KELLEY PARKWAY, ORONO, MINNESOTA
UPCOMING ISSC FS AND EVENTS
PITY!
05/19 - Leaf & Grass Disposal, 8:00 a.m. - Noon
05/21 - Planning Commission, 6:30 p.m.
05/26 - Leaf & Grass Disposal, 8:00 a.m. - Noon
05/28 - HOLIDAY, Memorial Day Observance
05/29 - Council Meeting, Tuesday, 7:00 p.m.
06102 - Leaf & Grass Disposal, 8:00 a.m. - Noon
0G104 - Park Meeting, 7:15 p.m.
06/09 - Leaf & Grass Disposal, 8:00 a.m. - Noon
06111 - Council Meeting, 7:00 p.m.
06/IS - Planning Commission, 6:30 p.m.
06/25 - Council Meeting, 7:00 p.m.
PUBLIC ATTENDANCE
MEETING DATE - y-
COUNCIL
PLANNING COMMISSION PLEASE FILLOUTTIIE INFORMATION REQUESTED
❑ PARK COMMISSION BELOW FOR OUR CITY RECORDS.
❑ OTHER
PRESENT FOR (from agenda)
NAME (please print) ADDRESS NAME OR NUMBER
1 fn v V, rzs 17L Z- s i erg- lNV
2 L�fi�' FiAMV-/
11
4��In �(`�Iw.OIO�RL.HW�IM.�1T
AGENDA FOR COUNCIL MEETING SET FOR MONDAY, MAY 14, 2001, 7:00 P.M.
ORONO COUNCIL CHAMBERS, 2780 KELLEY PARKWAY, ORONO, MINNESOTA
(') Asterisk items are considered to be routine items to be enacted upon by one motion by the City Council
under the Consent Item' on the agenda. Memos regarding each of the Agenda items are available in the
Public Packet - located on the counter near the sign in sheet.
ROLL CALL
Cn,n,..o nrcETING
CONSENT AGENDA MAY 1 4 2000
1. Approve/Amend
PUBLIC HEARING - 7:00 P.M. Ct t It ur UMUIVU
2. TIF District No. 1-1
3. Housing Program
4. TEFRA
APPROVAL OF MINUTES
• 5. Regular Council Meeting of April 23, 2001
PARK COMMISSION COMMENTS - Debom Halvorson, Representatives
PLANNING COMMISSION COMMENTS'- Dale Lindquist, Representative
PUBLIC COMMENTS - (Limit 5 Minutes Per Person)
ZONING ADMINISTRATOR'S REPORT
6. Consideration of No Wake Limitations for Long Lake
MAYOR/COUNCIL REPORT
PUBLIC SERVICE DIRECTOR'S REPORT
7. Extension of Joint Powers Agreement for West Hennepin Recycling Commission -Resolution
8. No Parking Sign - Forest lake Landing
9. Approve Golf Course Retaining Wall
CITY ADMINISTRATOR'S REPORT
10. Acquisition of Property at 3770 Shoreline Drive
11. Proclamation of Law Enforcement V'eek - Resolution
12. Budget Amendments for Year 2000
13. 2001/2002 Police Officer Contract Settlement
CITY ATTORNEY'S REPORT
• 14. LICENSES
• 15. BILLS
ADJOURNMENT
no'"" " "''TIN4REQUEST FOR COUNCIL ACTION
MAY 1 4 M.
Date: May 8, 2001
t .. r sir UNONO
Department Approval: Administrator
Approval:
Name: Ron Moore
Title: City Administrator
Item No.: -,?. 3- If
Agenda Section:
City Administrator's Report
Item Description: Public Hearing Regarding Elements of the Financial Package for the Orono
Woods Senior Housing Project
Attachments:
1. Schedule of Events (Revised May 8, 2001) Orono Woods Senior Housing Project
2. Program for the Financing of a Multifamily Rental Housing Development for Seniors
(Housing Program)
3. Tax Increment Financing Plan
4. Development Plan for Housing Project No. 1
5. Council Resolution approving the Development Plan, Establishing the TIF District,
and approving the TIF Plan
6. HRA Resolution approving the Development Plan, Establishing the TIF District, and
approving the TIF Plan
7. Council resolution approving Housing Program and stating intent to issue Housing
Revenue Bonds
8. TIF District Overview
The financial package for the Orono Woods senior housing project, which includes tax increment
financing and housing revenue bonds, requires a number of actions by the City Council. These
actions are listed in the attached "Schedule of Events". At the May 14 Council meeting, the
Council will hold a public hearing regarding three elements of the financial package:
1. Establishment of Tax Increment Financing District No. 1-1
2. Adoption of a Housing Program
3. A TEFRA hearing on the issuance of housing revenue bonds.
Because Mayor Peterson and Councilmember Flint will not b able to attend the May 14 Council
meeting, it is recommended that the Council hold the hearing � ,ntinm action on the
resolutions to the May 29 Council meeting.
COUNCIL ACTION REQUESTED
Motion to continue action on the resolutions related to the elements of the financial package for
the Orono Woods Senior Housing Project to the May 29, 2001 Council meeting.
A'r'rica.%� 1
SCHEDULE OF EVENTS
CITY OF ORONO
ORONO HOUSING AND REDEVELOPMENT AUTHORITY
ORONO WOODS HOUSING PROJECT
Revised - May S. 2001
March 12, 2001
City Council calls for public hearing on the establishment Project Area No. I and
Tax Increment Financing District No. I -I (a qualified housing district).
March 23, 2001
Project information, property identification numbers, and maps sent to Ehlers and
A:-ociates for drafting documentation.
March 29, 2001
Letter received by County Commissioner giving notice of potential housing tax
increment financing district (at least 30 Jays prior to publication of public hearing
notice). [Sent by March 18, 2001]
March 30, 2001
Project information submitted to the County Board for review of county road
impacts (at least 45 days prior to public hearing).
April 10, 2001
Ehlers confirms with the City whether building permits have been issued on the
property to be included in the TIF District.
April 13, 2001
Draft of TIF Plan including fiscal and economic implications received by School
Board Clerk and County Auditor (at least 30 days prior to public hearing). (Sent
by April 12, 20011
April 23, 2001
LIRA approves draft housing program and adopts resolution calling for public
hearing on housing program and requesting corresponding action by City Council
on TIF Plan and housing program.
April 23, 2001
City Council adopts resolution calling for public hearing on housing program and
TEFRA hearing on issuance of 501(cx3) bonds.
April 27, 2001
Housing Program submitted to Metropolitan Council for review.
April 28, 2001
Date of publication for the following: (1) Notice of hearing (with map) on
establishment of Project t Area No. 1 and Tax Increment Financing District No. 1-
1; (2) Notice of hearing on Housing Program; and (3) Notice of TEFRA on bonds.
[The Laker/Pioneer Newpapers publication deadline April 23, 2001]
EHLERS
Orono Woods Schedule
May 8, 2001
Page Two
May 14, 2001 City Council holds public hearings on
I. Establishment of Tex Increment Financing District No. I-1.
2. Adoption of Housing Program.
3. TEFRA hearing on issuance of housing revenue bonds.
The City Council will conduct the hearings for each of the above, but will not take
any approving actions on this date.
May 29, 2001 City Council (1) adopts resolution approving the Development Plan and TIF Plan,
(2) adopts resolution approving Housing Program, and (3) adopts resolution
approving issuance of the housing revenue bonds.
HRA (1) adopts resolution approving the Development Plan and TIF Plan, and (2)
adopts resolution approving Housing Program
This date assumes that the regular meeting is moved due to Memorial Os hese
action may also be taken at a later meeting. The City has 60 days from th- .ate of
submission of the Plan by the HRA to approve or disapprove.
June 9, 2001 HRA development agreement.
City Council approves development agreement and 501(c)(3) bond documents.
By June 30, 2001 Ehlers certifies District with :ouniy and state.
'Bewuw the Cay staff believes that the prcpoNd tax acrementdistndwlll not require unplanned county road improvements, the TIF
Plan wasweFMrviarded to the County Board to days phor to the p,,bbc hearing. The County Board, by law, has 45 days to review
the plan to determine if any county roads Will be Impeded by the development Pleoc Le amine that the County Board could cialm
that tax increment should be used for county roads, even aaar the public hearing.
O ' EHLERS u.urs n. . r
ion Moome- HousingProgram- rono. oc -- Page
PROGRAM FOR THE FINANCING
OF A MULTIFAMILY RENTAL HOUSING DEVELOPMENT
FOR SENIORS
Pursuant to Minnesota Statutes, Chapter 462C (the "Act"), the City of Orono (the "City")
has been authorized to develop and administer programs of multifamily housing developments
under the circumstances and within the limitations set forth in the Am. Minnesota Statutes,
Section 462C.07 provides that such programs for multifamily housing developments may be
ftn=ced by revenue bonds issued by the City.
The City has determined that it is in the best interests of the residents of the City to create
a program of financing to encourage and facilitate the development of multifamdy rental housing
for seniors in the City (the "Program"). The City has received a proposal from representatives of
Wedum Foundation, a Minnesota nonprofit corporation, end Orono Senior Housing, LLC (the
"Owner'), requesting that, pursuant to the Act, the City approve a program providing for the
acquisition of the Land and construction of 62 units of multifamily housing for seniors (the
"Project") to be located at in the City and intended, by location and
design, to provide safe and affordable housing for, and to be occupied by, persons age 62 and
older. The acquisition and construction of the Project is to be funded through the issuance of up
to $9,000,000 in revenue bonds issueO by the City (the "Bonds") pursuant to the Act. At least
twenty percent (20%) of the units financed will be specifically reserved for tenants whose
incomes are not greater than fifty percent (500A) of the area median income. It is estimated that
rents for the Projco 01 rart[e from S_ per month to $ per month, depending on unit
size and amenities.
The City, in establishing this Program, has considered, among other things (i) the
availability and affordability of other government housing programs; (ii) the availability and
affordability of private marketing financing for the construction of multifamily housing units;
(III) an analysis of population, employment trends and projections of future population trends and
future employment needs; (iv) the recent housing trends and future housing needs of the City;
and (v) an analysis of how the Program will meet the needs of persons and families residing and
expected to reside in the City.
The City, in adopting the Program, has further considered (i) the amount, timing and sale
of Bonds to finance the estimated costs of the housing units, to fund the appropriate reserves and
to pay the cost of issuance; Ili) the method of monitoring and implementation of the Program to
imure compliance with the City's housing plan and its objectives; (iii) the method of
administering, servicing and supervising the Program; (iv) the costs of the City, including future
a4ministrative expenses; (v) the restrictions on the multifamily development to be financed under
the Program; and (vi) certain other limitations.
The City, in adopting the Program, considered the potential financing impact of a bond
issuance on affected public agencies. In addition, the City reviewed the method of marketing the
Program. Such review examined the equal opportunity for participation by (i) minorities; (ii)
households with incomes at the lower end of the range that can be served by the Program; (iii)
households displaced by public or private actions; and (iv) accessibility to the handicapped.
Houso+o PRCKA AI
Ron Poorse - Housing Program -Orono doc Page 2
The Project will be cunstructed and financed pursuant to Subdivision I(a) of Section
462C.05 of the Act.
Subsection A. Definitions. The following terms used in this Program shall have the
following meanings, respectively:
(1) "Act" shall mean Minnesota Statutes, Chapter 462C, as currently in effect
and as the same may be from time to time amended.
(2) "Authority" shall mean the Orono Housing and Development Authority.
(3) "Bonds" shall mean the revenue bonds to be issued by the City or at the
discretion of the City, the Agency, to finance the Program.
(4) "City" shall mean the City of Orono, State of Minnesota.
(5) "Housing Unit" shall mean any one of the apartment units located in the
Project, occupied by one person or family, and containing complete living facilities.
(6) "Land" shall mean the parcel of real property upon which the Project is to
be constructed.
(7) "Owner" shall me,m Wedum Foundation, a Minnesota nonprofit
corporation or Orono Senior Housing, LLC, a Minnesota limited liability company.
(8) "Program" shall mean the program for the financing of the Project
pursuant io the Act.
(9) 'Project" shall mean the 62 unit senior housing facility to be located at
Subsection fs. Proamm For Financing the Project. It is proposed that the City establish
this Program to provide financing for acquisition of the Land and construction of the Project
thereon by the Owner at a cost and upon such other terns and conditions as are set forth herein
and as may be agreed uNmn in writing between the City, the initial purchaser of the Bonds and the
respective Owner. To do this, the City or, upon authorintion by the City, the Authority, expects
to issue Bonds the proceeds of which will be loaned to the Owner for financing the acquisition of
the Project. If determined to be necessary, a trustee � ill be appointed by the City to monitor the
disbursement of proceeds of the Bonds and payments of principal and interest on the Bonds. Th
cost of any additional security devices for the Bonds will be bome by the Owner and payable in
addition to the principal and' serest on the Bonds except u otherwise provided by resolution of
the City.
It is contemplated that the Bonds shall have a maturity of up to forty (40) years and will
be priced to the market at the time of ;ssuance. The Bonds may be issued in two series, one of
which has a claim on revenues*wo the other
The City will hire no additional staff for the administration of the Program. The City
intends to select and contract with a financial institution or trustee experienced in trust matters to
Houma nwo
Ron Morrse- HousingProgram-rono.oc Page3
administer the Bonds.
Insofar as the City will be contracting with underwriters, legal counsel, bond counsel, the
trustee, and others, all of whom will be reimbursed from bond proceeds and revenues generated
by the Program, no administrative costs will be paid from the City's budget with respect to this
Program except as otherwise provided by resolution of the City. The Bonds will not be general
obligation bonds of the City, but are to be paid only from properties pledged to the payment
thereof, which may include additional security such as additional collateral, insurance or a letter
of credit.
Subsection C. Local Contributions To The Program. it is presently contemplated that
there will be a local contribution of funds to the Project consisting of tax increment financing by
the Authority or the City for Land acquisition and certain public costs, together with an
appropriation of funds for a local contribution.
Subsection D. Standards and Repuimments Relating to the Financing of the Proiects
Pursuant to the Program. The following standards and requirements shall apply with respect to
the operation of the Project by the Owner pursuant to this Program:
(1) Substantially all of the proceeds of the sale of the Bonds will be used to
provide funds for the acquisition and construction of the Project. The funds will be made
available to the Owner pursuant to the terms of the Bond offering, which may include
certain covenants to be entered into between the City and the Owner.
(2) The Owner will not arbitrarily reject an application from a proposed tenant
because of race, color, creed, religion, national origin, sex, marital status, or status with
regard to public assistance or disability.
0) No Housing Unit may be in violation of applicable zoning ordinances or
other applicable land use regulations, including any urban renewal plan or development
district plan, and including the state building code as set forth under Minnesota Statutes,
Section 16.83, at seq.
Subsection E. Evidence of Compliance. The City may require from the Owner or such
other person deemed necessary at or before the issuance of the Bonds, evidence satisfactory to
the City of the ability and intention of the Owner to complete the Project, and evidence
satisfactory to the City of compliance with the standards and requirements for the making of the
financing established by the City, as set forth herein; and in connection therewith, the City or its
representatives may inspect the relevant books and records of the Owner in order to confirm such
ability, intention and compliance. In addition, the City may periodically require certification
from either the Owner or such other person deemed necessary concerning compliance with
various aspects of the Program.
Subsection F. Issuance of Bonds. To finance the Program authorized by this Section, the
City may by resolution authorize, issue and sell its Revenue Bonds in one or more series, and
using any additional credit enhancement devices determined by the City to a necessary or
desirable for each such series, in an aggregate principal amount estimated to be up in $9,000,000.
The Bonds shall be issued pursuant to Section 462C.07, Subdivision 1 of the Act, and shall be
xouswc vaocwn — - -�
3
[FtonMoorse -Housing rogram-Orono.doc -- 'm" Page
payable primarily from the revenues of the Program authorized by this Section. The City
anticipates the issuance of such amount prior to the end of 2001.
Subsection G. SeverabiliN. The provisions of this Program are severable and if any of
its provisions, sentences, clauses or paragraphs shall be held unconstitutional, contrary to statute,
exceeding the authority of the City or otherwise illegal or inoperative by any count of competent
jurisdiction, the decision of such court shall not affect or impair any of the remaining provisions.
Subsection H. Amendment. The City shall not amend this Program while Bonds
authorized hereby ere outstanding, to the detriment of the holders of such Bonds.
Subsection 1. Issuance of Tax Increment Notes. At the discretion of the City and
Authority, obligation to finance the Land and certain public costs of the Program may be issued
by the Authority or City pursuant to authority granted by Minnesota Statues, Section 469.178.
M191W1601
As of May 9, 2001
Drtfrfor Public flearing
TAX INCREMENT FINANCING PLAN
for the establishment of
TAX INCREMENT FINANCING DISTRICT NO. 1-1
(a housing district)
within
HOUSING PROJECT AREA NO. 1
CITY OF ORONO
ORONO HOUSING AND REDEVELOPMENT AUTHORITY
HENNEPIN COUNTY
STATE OF MINNESOTA
Public Hearing: May 14, 2001
Adopted:
E H L E R S Prepared by EHLERS a ASSOCIATES. INC
3050 Centre Points Drive, Roseville, Minnesota 5511 } 1105
. .n.auna 1., (851)887.8500 fax (851)807-8555 vrvlw.eblma-inc.00m
TABLE OF CONTENTS
(for reference purposes only)
SECTION II
TAX INCREMENT FINANCING PLAN FOR TAX INCREMENT FINANCING
DISTRICT NO. 1-1
.....................................................
2-1
Subsection 2-1.
Foreword ..............................................
2-1
Subsection 2 2.
Statutory Authority .......................................
2-1
Subsection 2-3.
Statement of Objectives ...................................
2-1
Subsection 2-4.
Development Plan Overview ........ ......................
2-1
Subsection 2-5.
Description of Property in the District and Property To Be Acquired
. 2.2
Subsection 2-6.
Classification of the District ................................
2-2
Subsection 2-7.
Duration of the District .... ...... ........................
2-3
Subsection 2-8.
Original Net Tax Capacity ..................................
2-3
Subsection 2-9.
Prior Planned Improvements ..............................
24
Subsection 2-10.
Original Tax Rate ........................................
24
Subsection 2-11.
Estimated Tax Increment ..................................
24
Subsection 2-12.
Use of Tax Increment .....................................
2.5
Subsection 2-13.
Sources of Revenue ......................................
2-6
Subsection 2-14.
Bonded Indebtedness ......................... _ _ .. _ ....
2-6
Subsection 2-15.
Uses of Funds ..........................................
2-8
Subsection 2-16.
Local Contribution (State Tax Increment Financing Aid) ...........
2-7
Subsection 2-17.
Fiscal Disparities Election ......... _ . ............. _ ......
2-8
Subsection 2-18.
Business Subsidies ........................ _ .... .......
2-8
Subsection 2-19.
County Road Costs .................................. _
. 2-8
Subsection 2-20.
Estimated Impact on Other Taxing Jurisdictions .................
2-8
Subsection 2-21.
Supporting Documentation .................................
2-9
Subsection 2-22.
Modifications ...........................................
2-9
Subsection 2.23.
Time Factors ..........................................
2-9
Subsection 2-24.
Administration of the District ...............................
2-11
Subsection 2.25.
Administrative Expenses ................... .............
2-11
Subsection 2-26.
Excess Tax Increments ..................................
2-12
Subsection 2-27.
Requirements for Agreements with the Developer ..............
2-12
Subsection 2.28.
Assessment Agreements ..... _ ...... ........... I .....
2-12
Subsection 2-29.
Annual Disclosure Requirements .. .......................
2-12
Subsection 2-30.
Reasonable Expectations ......... ......................
2-13
Subsection 2-31.
Other Limitations on the Use of Tax Increment .. .. ...
2-13
APPENDIX A
PROJECT DESCRIPTION .......... A-1
APPENDIX B
ESTIMATED CASH FLOW FOR THE DISTRICT ... B-1
APPENDIX C
BUTIFOR QUALIFICATIONS .................. C-1
SECTION II
TAX INCREMENT FINANCING P N FOR TAX INCREMENT FINANCING DISTRICT NO. 1.1
Subsection 2.1. Foreword
The Orono Housing and R^development Authority, (the "Authority"), the City of Orono (the "City"). staff,
and consultants have prepared the following information to expedite the establishment of Tax Increment
Financing District No. 1-1 ("the District"). a housing tax increment financing district, located in Housing
Project Area No. I (the "Project Area"). This Section contains the Tax Increment Financing Plan (the "TIF
Plan") for Tax Increment Financing District No. 1-I. Other relevant information is contained in the
Development Plan for Housing Project Area Nr 1. The Tax Increment Financing Plan for the District was
prepared by Ehlers & Associates, Inc., "ud Centre Pointe Drive, Roseville, Minnesota 55113-1105,
telephone 651-697-8500.
Subsection 2-2. Statutory Authority
Within the City, there exist areas where public involvement is necessary to :ause development or
redevelopment to occur. To this end, the Authority has certain statutory powers pursuant to Minnesota
Stances ("M.& %, 469.001 through 469.047. inclusive, as amended (the "Hill Act"), and M.S., Sections
469.174 through 469.179, inclusive, as amended (the "Tax Increment Financing Act- or "TIF Act").
This Plan is based on statutory authority at the time of adoption. Subsequent legislation action may alter the
ability of the Authority to use tax increment collected from the District.
Subsection 2-3. Statement of Objectives
The District currently consists of one parcel of land and adjacent and internal rights -of -way. The District
is being created to facilitate construction of senior housing in the Cily of Orono consisting of approximately
62 units ofhous;ng for senior citizens (the "Project"). The Project will provide safe, decent, and affordable
housing for persons of low and moderate income. Contracts for this have not been entered into at the time
of preparation of this TIF Plan, but the proposed development will begin in the summer of 2001. This TIF
Plan is expected to achieve many of the objectives outlined in the Development Plan for Housing Project
Area No. 1.
The activities contemplated in the Development Plan and the TIF Plan do not preclude the undertaking of
other qualified development or redevelopment activities. These activities are anticipated to occur over the
life of Housing Project Area No. i end the District.
Subsectlon 2-4. Development Plan OVerview
Activities to be undertaken by the Authority and the City pursuant to the Development Plan for Housing
Project No. 1 include, but are not limited to, the following:
1. Property to be Acquired - Property located within the District may be acquired by the
Authority and is further described in this TIF Plan.
2. Upon approval of a developers plan relating to the Project and completion of the necessary
legal requirements, the Authority may sell or lease to a developer selected properties that
they me% acquire within the District.
0Hzc I , ln<rrmrm lmananr PW f"r T. ma,rmsm r�n.,nr mama r i i = I
3. The City and the Authority may perform or provide for some or all necessary acquisition.
construction, relocation, demolition, and required utilities and public streets work within I lie
District.
Subsection 2-5. Description of Property in the District and Property To Be Acquired
The District encompasses all the parcel and adjacent rights-oFway identified below. The map below shows
the parcel included in the District and the boundaries of Housing Project No.11I�.
L .. -� i �, e y, , • LII
A4
a e �! _ a yWa
wr ✓ �� a s
- �• -s �i ! E
Atd� v
Wane Blvd. i5"tqY
e
t
� Housing
Project No. 1
1p - TIF District 1.1
Parcel Numbers
34-118-23-24-0058-
•the uhmr pored number rrpreremr torrent rdenufionnon
The pa... I.dl be mbd,.ded utd a,ww purer1 xd1 be mvRned
m the propern.,I.,kd x ohm he Dutrm
Any prop" within the Project Area ma} be acquired by the Authority.
Subsection 2.6. Classification of the District
The Authority, in determining the need to create a tat increment financing district in accordance with U.S.
Seorions 469. 174 to 469179. as amended. inclusise, finds that the District, to be established, is a housing
district pursuant to 6f S. Section 469 1'4..Athd 11 as defined below.
o ' it" T. IM w .. h...,,nr Piers tie I . Incrtn,em Rna¢mg fhamo tiu L I
"Housing district"means a type of lax increment financing distrin which consists of a project. or
a portion ofa project, imended for occurioncy. in part, by persons orfamilies uflow and moderate
income, as defined in chapter 462A. Title 11 of the National Housing Act of 1934. the National
HousingAcl of 1959. the United Stales Housing Act of 1937. as amended, Title V efthe Housing Act
gt'1949, as amended. any other similar present orfuture federal, state, or municipal legislation. or
the regulations promulgated under any ofthose acts. A district does nor qualify as a hous ing district
under this subdivision if the fair marker value of the improvements which are constructed in the
diswici for commercial toes or for uses other than low and moderate income housing consists of
more that# 10 percent of the total fair market value of the planned improvements in the development
plan or agreement The fair market value of the improvements may be determined suing the cost of
construction, capualizedincome. or otherappropriale melhodofestimating market valise. Housing
project means aproject. orpordon ofa project, that meets all the qualifications ofa housingdlstrict
tinder this subdivision. whether or not actually established as a housing district.
In meeting the statutory criteria the Authority relies on the following facts and findings:
• The District consists of one parcel.
• The development will consist of 62 units of rental housing for senior citizens.
• 20% of the units will be occupied by persons with incomes less than 50% of the area median income
Pursuant to 469.176 Subd. 7, the District does not contain any parcel or part of a parcel that qualified under
the provisions of Section 273.11 I or 273.112 ofChapter 473H (Green Acres) for taxes payable in any of the
five calendar years before the filing of the request for certification of the District.
Subsection 2.7. Duration of the District
Pursuant to U.S. Section 469.175. Subd 1, and Section 469.176, Subd. 1, the duration of the District must
be indicated within the TIF Plan. Pursuant to M.S.. Section 469.176. Subd. lb, the duration of the District
will be 25 years after receipt of the first increment by the Authority (a total of 26 years). The date of receipt
by the Authority of the first tax increment is expected to be 2003. Thus, it is estimated that the District,
including any modifications of the TIF Plan for subsequent phases or other changes, would terminate after
2026, or when Into TIF Plan is satisfied. If increment is received in 2002, the term of the District will be
2027. The Authority reserves the right to decertify the District prior to the legally required date.
Subsection 2-6. Original Net Tax Capacity
The Original Net Tax Capacity (ONTC) value of the District is the base value of the parcels. The ONTC
certified for the district pursuant to MS, Section 469.174. Subd. l and MS, Section 469.177, Subd 1, will
be based on the Assessor's Estimated Market Value in 2000 for ;axes payable 2001. The value will be
prorated after the parcel is split for development. Based on the current market value, the ONTC of the
District is estimated to be $1.570.
Changes in the following factors may alter the amount of the ONTC in future years:
I. change in tax exempt status of property:
2. reduction or enlargement of the geographic boundaries of the district;
3. change due to adjustments, negotiated or court -ordered abatements;
4. change in the use and sex clasaif#caticn of the property:
S. change in statutory rates used to determine Tax Capacity.
Q HM in Incrtmem F,wcma Pln 4. L� Incrtmcm f mmcma Drsma No 1-I 2J
In any year in which the current Net Tax Capacity value of the District declines below the ONTC, no value
will be captured and no tax increment will be payable to the Authority.
Subsection 2-9. Prior Planned Improvements
The Authority has determined that no building permits have been issued for property within the District
during the eighteen (18) months immediately preceding approval of the TIF Plan by the municipality
pursuant to M.S. Section 469.175, Subd. 3.
Subsection 2-10. Original Tax Rate
The amount of tax increment is calcu!n!ed by multiplying the total local tax rate (excluding market value
rates) by the Captured Tax Capacity value of the District. If the current total local tax rate exceeds the
Original Tax Rate (OTR), the amount of tax increment produced by the tax rate above the OTR is distributed
to the taxing jurisdictions as excess tax increment.
The OTR for the District will be the local tax rate for taxes payable 2001, assuming the request for
certification is made before June 30, 2001. The local tax rate for taxes payable 2001 is 104.005%
Subsection 2.11. Estimated Tax Increment
The Authority estimates that the total tax capacity value of property within the District upon completion of
the proposed development will be $73,935. The amount of annual tax increment revenue is shown in the
table below.
Project Estimated Tax Capacity upon Completion (PTC) 573,935
Original Estimated Net Tax Capacity(ONTC) (1,570)
Estimated Captured Tax Capacity (CTC) $72,365
Original Local Tax Rate (OTR) 104.0050% Par 2001
Estimated Annual Tax Increment (CTC x Local Tax Rate) $75,263
Percent Retained by the Authority 100%
The Authority requests 100 percent of the available increase in tax capacity for repayment of its obligations
and current expenditures, beginning in the tax year payable 2003
The following factors will determine the actual amount of tax increment received by the Authority:
• Actual market value of property within the District as determined by the Assessor.
• Statutory rates for setting tax capacity values.
• Actual total local tax rate.
The cash Bow projections in Appendix B show the potential tax increment revenues collected by the
Authority.
Q HRA la.In:rrmrm Rnuwmr Plan fm Ta. Incmmem Fnanone Dssma Nu 1-1 24
Subsection 2-12. Use of Tax Increment
Revenues derived from tax increment from a housing district must be used solely to finance the cost
of housing projects as defined in M.S., Section 469.174, Subd IL The cost of public improvements
directly related /o the housing projects and the allocated administrative expenses of the Authority may
be included in the cost of a housing project. Within this limitation, the Authority hereby determ,nes that
it will use 100 percent of the captured net tax capacity of taxable property located in the District for the
following purposes:
1. to pay the principal of and interest on bonds issued to finance a project;
2. to finance, or otherwise pay the public development costs of the Housing Project Area No. I
pursuant to the MS. Sections 469.001 to 469.047;
3. to pay for project costs as identified in the budget set forth in the TIF Plan;
4. to finance, or otherwise pay for other purposes as provided in MS.. Section 469.176, Subd. 4;
5. to pay principal and interest on any loans, advances or other payments made to or on behalf the
Authority or for the benefit of Housing Project Area No. I by a developer;
6. to finance or otherwise pay premiums and other costs for insurance or other security guaranteeing
the payment when due of principal of and interest on bonds pursuant to the TIF Plan or pursuant to
MS., Chapter 462C. U.S.. Sections 469,152 through 469.163, and/or U.S.. Sections 469,178; and
7. to accumulate or maintain a reserve securing the payment when due of the principal and interest on
the tax increment bonds or bonds issued pursuant to M.S. Chapter 461C, MS.. Sections 469.152
through 469.165, and/or MS. Sections 469.178.
These revenues shall not be used to circumvent any levy limitations applicable to the City nor for other
purposes prohibited by MS., Section 469.176, subd. 4.
Tax increments generated in the District will be paid by Hennepin County to the Authority for the Tax
Increment Fund of said District. The Authority will pay to the developer(s) annually an amount not toexceed
an amount as specified in a developer's agreement to reimburse the costs of land acquisition, public
improvements, demolition and relocation, site preparation, and administration. Remaining increment funds
will be used for Authority administration (up to 10 percent) and the costs of public improvement activities.
Pursuant to MS. Section 469.1763. (1) At least 80°/s of the tax increment derived from the District must be
expended on Public Costs incurred within said district, and up to 20%of said tax increments may be spent
on Public Costs incurred outside of the District but within Housing Project Area No. I: provided that in the
case of a housing district, a housing project, as; defined in MS., Section 469.174. Subd. I is deemed to be
an activity in the District, and (2) pubic costs within the District steal: be limited to reimbursement of public
costs paid before or within five years after certification of said district by the County Auditor and interest
on all such unreimbursed expenditures.
Oran HIu Ta, bmrcovni Flnmon, Hm for L, Inemm i F.n�ms D sump No I 1 - ,
Subsection 2.13. Snurees of Revenue
The estimated sources of revenue for the District are contained in the table below.
SOURCES OF FUNDS TOTAL
Tax Increment
$2.030,000
Other City Funds
$0
PROJECT REVENUES
52,030,000
Interfund Loans/Transfers
51393,000
Bond Proceeds
$0
TOTAL PROJECT AND FINANCING REVENUES 53,423,000
The costs outlined in the Uses of Funds will be financed primarily through the annual collection of tax
increments. The Authority and the City reserve the right to use other sources of revenue legally applicable
to the Authority, the City and the TIF Plan, including, but not limited to, special assessments, general
property taxes, state aid for road maintenance and construction, proceeds from the sale of land, other
contributions from the developer and investment income, to pay for the estimated public costs.
In addition to the actual tax increment collected by the Authority, the TIF Act I M.S. Section 469.174, Subd
23) places restrictions on the use of revenues derived from the following sources:
• the proceeds from the sale or lease of property, tangible or intangible, purchased by the authority with
tax increments;
• repayments of loans or other advances made by the authority with tax increments; and
• interest or other investment earnings on or from tax increments.
Subsection 2-14. Bonded Indebtedness
It is anticipated that the Authority will use a pay-as-you-go note to reimburse the Developer for eligible
expenses and interest on the unpaid balance. The City may use an interfund loan or a transfer of funds to
pay for public costs. Tax increment revenues may be used to repay an interfund loan or transfer.
The City reserves the right to incur bonded indebtedness or other indebtedness as a result of the TIF Plan.
Any bonded indebtedness will be incurred by the City or the Authority without a modification to the TIF
Plan pursuant to applicable statutory requirements. This provision does not obligate the City to incur debt.
The City will issue bonds or incur other debt only upon the determination that such action is in the best
interest of the City.
It is expected that the Authority or the City will issue not more than $9.000.000 of housing rev!nfronds
under M.S. Chapter 462C to provide for the costs of the Project that are not paid by tax increment or a local
contribution.
Subsection 2-15. Uses of Funds
Currently under consideration for the District is a proposal to facilitate construction of senior housing. The
Q HRA T. Ineu'mrm F,mmanr PI•n foe ra Inart..l Fmuwme Di•vmt N 1 1 24
Authority has determined that it will be necessary to provide financial assistance to the project. To facilitate
the proposed development, this TIF Plan authorizes the use of tax increment financing to pay for the cost of
certain eligible expenses. The estimate of public costs and uses of funds associated with the District is
outlined in the following table.
USES OF FUNDS TOTAL
LandBuilding Acquisition $775,000
Site Improvements/Preparation 100.000
Public Utilities 77,000
Parking Facilities
Streets and Sidewalks
562,000
Other Public Improvements
31,000
Interest on Pay-as-you-go Note
$1,159,000
Administrative Costs (up to 10%)
70,000
PROOF. T r'OSTS TOTAL
S Trd fl M1
Interfund Loans/Transfers
$649,000
Loan Interest
0
Bond Interest
0
Bond Principal
0
TOTAL FINANCING AND PROM,( I COST"S
S3,423,000
Theabove budget is organized acenrding to the current Statereponingitt s. The information in Appendix
A contains additional information about the project.
Estimated costs associated with the District are subject to change among categories without a modification
to this TIF Plan. The cost of all activities to be considered for tax increment financing will not exceed the
Total Project Costs in the table above without formal modification of this Plan pursuant to the applicable
statutory requirements. The Authority may expend funds for qualified housing activities outside of the
District boundaries.
Subsection 2-16. Local Contribution (State Tax Increment Financing Aid)
The Qv elects to make the annual focal contribution to the project (pursuant to M.S., Section 273.1399,
Subl.. 6) to exempt ase/ffroar the LGA-NACA penalty set forth in M.S. Section 273.1399.
The District is exempt from the LGA-NACA reduction if the elect• to make a qualifying local contribution
at the time of approving the tax increment financing plan. To qualify for the exemption in each year, the
must make a qualifying local contribution to the project in an amount equal to five percent (5%) oflhe annual
tax increment for the District. The maximum local contribution for all districts in the City in any year is
limited to two percent of the City's net tax capacity, after which point the City must make an additional
contribution equal to the lesser of (a) 0.25 percent of the City's net tax capacity or (b) 3 percent of tax
increment revenues for that year.
0. HRA Taa Imvemen, Fiv nig Pin to, TM Inaemenl Fmmanr nua¢t No 1-1 2d
The amount of the local contribution must be made out of unrestricted money of the City, such as the general
fund, a property tax levy, or a federal or state grant-in-aid which may be spent for general government
purposes. The local contribution may not be made, directly or indirectly, with tax increments ordeveloper
payments. The local contribution must be used to pay project costs and cannot be used for general
government purposes. Such contribution may be in form ofeither lump sum or annual payments (in addition
to tax increment payments) towards costs identified in this Plan or other costs related to that development
or redevelopment. The contribution may also be made in the form of public improvements financed by the
City or other unit of government with unrestricted funds.
Subsection 2-17. Fiscal Disparities Election
It is not anticipated that the District will contain commercial/industrial property. Therefore, the Fiscal
disparities provision does not apply to the District.
Subsection 2-18. Business Subsidies
Pursuant to M.S. Statutes 1161.993, Subdivision 3, assistance for housing is not considered a business
subsidy.
Subsection 2-19. County Road Costs
Pursuant to MS. Section 469.175, Subd. in, the county board may require the Authority to pay for all or pan
of the cost of county road improvements If the proposed development to be assisted by tax increment will,
in the judgement of the county, substantially increase the use of county roads requiring construction of road
improvements or other road costs and if the road improvements are not scheduled within the next five years
under a capital improvement plan or within five years under another county plan.
In the opinion of the Authority and consultants, the proposed des elopment outlined in this TIF Plan will have
little or no impact upon county roads. If the county elects to use increments to improve county roads, it must
notify the Authority within forty-five days of receipt of this TIF Plan.
Subsection 2.20. Estimated Impact on Other Taxing Jurisdictions
The estimated impact on other taxingjurisdictions assumes that the redevelopment contemplated by the TIF
Plan would occur without the creation of the District. However, the Authority has determined that such
development or redevelopment would not occur "but for" tax increment financing and that, therefore, the
fiscal impact on other taxing jurisdictions is $0. The estimated fiscal impact of the District would be as
follows if the 'but for" test was not met:
IMPACT ON TAX BASE
20002001
Estimated Captured
Total Net
Tax Capacity (CTC)
Percent of CTC
Tax Called
Upon Completion
to Entity Total
Hennepin County
1,385.934,076
72.365
0.0052
City of Orono
17,779.001
72.365
0.4070%
Orono ISD No. 278
23,991,541
72.365
0.3016 G
0. HRA Tay I..., Rnuumt M. fm T. 1..,m n. Rnulcmr usual No I.I b11
IMPACT ON TAX RATES
2000/2001 Percent Potential
Extension Rat of Tot&t CC Taxes
Hennepin County 0.376240 36.18% 72,365 27,227
City of Orono 0.137080 13.18% 72,365 9,920
Orono ISD No. 278 0.431840 41.52% 72,365 31,250
Other 0,094890 9.12% 72,365 6.867
Total 1.040050 100.000/o '75,263
The estimates listed above display the captured lax capacity when all construction is completed. The tax rate
and total net tax capacities used for calculations is for taxes payable in 2001.
Subsection 2-21. Supporting Documentation
Pursuant to M.S. Section 469.175 Subd la, clause 7 the TIF Plan must contain identification and description
of studies and analyses used to make the detenninstion set forth in M.S. Section 469.175 Subd 3, clause (2).
Following is a list of reports and studies on file at the Authority that support the authority's findings:
A list of applicable studies, if any, will be listed here prior to the public hearing.
Subsection 2-22. Modifications
The Authority reserves the right to make future modifications to the TIF Plan and District. In accordance
with the TIF Act (MS Section 469.173. Subd. 4) the following modifications may be made only upon the
notice and after the discussion, public hearing and findings required for approval of the original TIF Plan:
I. reduction or enlargement of the geographic area of Housing Project Area No. I or the District;
2. increase in amount of bonded indebtedness to be incurred, including a determination to capitalize
interest on debt if that determination was not a part of the original plan, or to increase or decrease the
amount of interest on the debt to be capitalized;
3. increase in the portion of the captured net tax capacity to be retained by the Authority;
4. increase in total estimated tax increment expenditures; or
5. designation of additional property to be acquired by the Authority,
Subsection 2-23. Time Factors
1. District Enlargement
Pursuant to U.S. Section 469.175 Subd 4(b), the geographic area of the District may be reduced, but
shall not be enlarged after five years following the date of certification of the original net tax capacity
by the county auditor. If a housing district is enlarged, the reasons and supporting facts for the
determination that the addition to the district meets the criteria of MS.. Section 469.174. Subd. 11
must be documented. The requirements of this paratimph do not apply if (1) the only modification
is elimination of parcel(s) from Housing Project Area No I or the District and (2) (A) the current
net tax capacity of the parcel(s) eliminated from the District equals or exceeds the net tax capacity
Uan HJtA to Incrtmrm F..,.., Plm fw T. Incr[mtm fi,uncma Usaml Nu 1.1 2.9
of those parcel(s) in the District's original net tax capacity or (B) the Authority agrees that.
notwithstanding MS. Section 469.177. Sttbd. 1, the original net tax capacity will be reduced by no
more than the current net tax capacity of the parcel(s) eliminated from the District. The Authority
must notify the County Auditor of any modification that reduces or enlarges the geographic area of
Housing Project Area No. I or the District. Modifications to the District in the form of a budget
modification or an expansion of the boundaries will be recorded in the TIF Plan.
2. Activity Within 3 Years
No tax increment shall be paid to the Authority for the District after three (3) years from the date of
certification of the Original Net Tax Capacity value of the taxable property in the District by the
County Auditor (MS. Section 469.176, Subd 1a) unless:
(a)bonds have been issued in aid of the project containing the district pursuant to MS.
Section 469.178, or any other law, except revenue bonds issued pursuant to MS.
Sections 469.152 to 469.165, or
(b)the Authority has acquired property within the District, or
(c)the Authority has constructed or caused to be constructed public improvements within
the District.
The bonds must be issued, or the Authority must acquire property or construct or cause public
improvements to be constructed by approximately June, 2004 and report such actions to the County
Auditor.
3. 4-Year Knockdown
Parcels without "qualifying activity" will be knocked out of the District after four years from the date
of certification of the original net tax capacity. U.S. Section 469.176, Subd. 6 defines qualifying
activities as " demolition, rehabilitation or renovation of property or other site preparation, including
qualified improvement of a street adjacent to a parcel but not installation of utility service including
sewer or water systems" in accordance with the TIF Plan. For purposes of the knock down
requirements, qualified improvements of a street are limited to (1) construction or opening of a new
street, (2) relocation of street, and (3) substantial reconstruction or rebuilding of an existing street.
Knock down means that the original net tax capacity of that parcel is excluded from the original net
tax capacity of the District and no tax increment maybe collected from that parcel. If the Authority
or the owner of the parcel subsequently commences a qualify ing activity in accordance with the TIF
Plan, the Authority shall certify to the county auditor that the activity has commenced and the county
auditor shall certify the net tax capacity thereof as most recently certified by the commissioner of
revenue and add it to the original net tax capacity of the tax increment financing district. The
Authority must submit to the county auditor evidence that the required activity has taken place for
each parcel in the district. The evidence for a parcel must be submitted by February 1 of the fifth year
following the year in which the parcel was certified as included in the district.
The Authority, the City or a property owner must improve parcels within the District by
approximately June, 2005 and report such actions to the Count)Auditor.
(xwro HRA lw Imrtmrm Vinux'inE PI. for Tn Inartmrm FnmanE t .,t Nn I - I b to
5-Year Limit
After five years from the date of certification of the TIF District, tax increment may only he used to
(1) repay existing bonds the proceeds of which must be used to finance the activity, are issued and
sold to a third party before or within five years after certification, the revenues are spent to repay the
bonds, and the proceeds of the bonds either are, on the date of issuance, reasonably expected to be
spent before the end of the later of (a) the five-year period, or (b) a reasonable temporary period
within the meaning of the use of that term under § 148(cx 1) of the Internal Revenue Code, x are
deposited in a reasonably required reserve or replacement fund; (2) reimburse a developer or other
third party for eligible expenses paid before or within five year period, including interest on
unmimbursed costs; (3) eligible administrative expense; and (4) eligible expenses under h1.S. Section
469.1763, Subd. 2 (Pooling).
Subsection 2-24. Administration of the District
Adm.nistranon of the District ss ill be handled by the City Administrator.
Subsection 2-25. Administrative Expenses
In accordance with MS., Section 469.174. Subd 14. and MS., Section 469.174. Subd. 3, administrative
expenses means all expenditures of the Authority, other than:
I. amounts paid for the purchase of land;
2. amounts paid to contractors or others providing materials and services, including architectural and
cngincering services, directly connected with the physical development of the real property in the
project;
3. relocation benefits paid to or services provided for persons residing or businesses located in the
project; or
4, amounts used to pay principal or interest on, fund a reserve for, or sell at a discount bonds issued
pursuant to MS., Section 469.178; or
5. amounts used to pay other financial obligations to the extent those obligations were used to finance
costs described in sections I to 3.
Fordistricts for which the request for certification were made before August I, 1979, or after June 30, 1982.
administrative expenses also include amounts paid for services provided by bond counsel, fiscal consultants,
and planning or econom is development consultants. Tax increment may be used to pay any authorized and
documented administrative expenses for the District up to but not to exceed 10 percent of the total tax
increment expenditures authorized by the TIF Plan or the total tax increment expenditures for Housing
Project Area No. I. whichever is less.
Pursuant to MS. Section 469.176. Subd. 4h, tax increments may be used to pay for the county's actual
administrative expenses incurred in connection with the District. The county may require payment of those
expenses by February 15 of the year following the year the expenses were incurred.
Pursuant to M.S.. Section 469, 177. Subd 11, the county treasurer shall deduct an amount equal to 0.25
percent of any increment v 'stributed to the Authorityand the county treasurer shal I pay the amount deducted
to the state treasurer for deposit in the state general fund to be appropriated to the State Auditor for the cost
of financial reporting of tax increment financing information aI,J the cost of examining and auditing
authorities' use of tax increment financing.
Q HKA T. Incrt,mm Rnenanr Plan lu, T. Incmmem Fnu,cmg novas F,• 1 1 2-11
Subsection 2-26. Excess Tax Incroments
Pursuant to M.S., Section 469.176. Nubd 7, ii. any year in which the tax increment exceeds the amount
necessary to pay the costs authorized by the TIF Plan, including the amount necessary to cancel any tax levy
as provided in MS., Section 475.61, Subd. 3, the Authority shall use the excess amount to do any of the
following:
I. prepay any outstanding bonds;
2. dis%.harge the pledge of tax increment therefor;
3. pay into an escrow account dedicated to the payment of such bonds; or
4. return the excess to the County Auditor for redistribution to the respective taxing jurisdictions in
proportion to their local tax rates.
In addition, the Authority may, subject to the limitations set forth herein, choose to modify the TIF Plan in
order to finance additional public costs in Housing Project Area No. I or the District.
Subsection 2-27. Requirements for Agreements with the Developer
The Authority will review any proposal for private devcl_ parent to determine its conformance with the
Development Program and with applicable municipal o, dinances and codes. To facilitate this effort, the
following documents may be requested for review an.; approval: site plan, construction, mechanical and
electrical system drawings, landscaping plan, grading and storm drainage plan, signage system plan, and any
other drawings or narrative deemed necessary by the Authority to demonstrate the conformance of the
development with Authority plans and ordinadces. The Authority may also use 'he Agreements to address
other issues related to the developmer'
Pursuant to M.S..Section 469.176. Subd 5, no more than 10 percent, by acreage, of the property to be
acquired in the District as set forth in the TIF Plan shall at any time be owned by the Authority as a result
of acquisition with the proceeds of bonds issued pursuant to M.S.. Section 469.179 to which tax increments
from property acquired is pledged, unless prior to acquisition in excess of 10 percent of the acreage, the
Authority concluded an agreement for the development ofthe property acquired and which proviJes recourse
for the Authority should the development not be completed.
Subsection 2.28. Assessment Agreements
Pursuant to MS.. Section 469.177. Subd 8, the Authority may enter into a written assessment agreement in
recordable form with the developerof property within the District which establishesa minimum market value
of the land and completed improvements for ,he duration of the District. The assessment agreement shall
be presented to the assessor who shall review the plans and specifications for the improvements to be
constructed, review the market value previously assigned to the land upon which the improvements are to
be constructed and, so long as the minimum market value contained in the assessment agreement appears,
in the judgment of the assessor, to be a reasonable estimate, the assessor shall also certify the minimum
market value agreement.
Subsection 2-29. Annual Disclosure Requirements
Pursuant to M.S.. Section 469.1'5, .Subd. 5 6 and 6a the Authority must undertake financial reporting for
all tax increment financing districts to the Office of the State Auditor. County Board, County Auditor and
School Board on or before August I of each year. bf.S. Section 469.1'5..Subd 5 also pro%ides that an
(Moro NM 1. IM¢ment Fi....r Pl.n rw T... IwmnKnl F....., Doom N. 1.1 2 12
annual statement shall be published in a newspaper of general circulation in the Authority on or before
August 15.
If the Authority fails to make a disclosure or submit a report containing the information required by MS.
Section 469.175 Subd. 5 and Subd. 6, the Office of the State Auditor will direct the County Auditor to
withhold the distribution of tax increment from the District.
Subsection 2-30. Reasonable Expectations
As required by the Tax Increment Financing Act, in establishing the District, the determination has been
made that the anticipated development would not reasonably be expected to occur solely through private
investment within the reasonably foreseeable future and that the increased market value of the site that could
reasonably be expected reoccur without the use of tax increment financing would be less than the increase
in the market value estimated to result from the proposed development after subtracting the present value of
the projected tax increments for the maximum duration of the District permitted by the TIF Plan. In making
said determination, reliance has been placed upon written representatives made by the developer to such
effects and upon City staffawareness of the feasibility ofdeveloping the project site. A compc;ative analysis
of estimated market values both with and without establishment of the District and the use of tax increments
has been performed as described above. Such analysis is included with the cashflow in Appendix C, and
indicates that the increase in estimated market value of the proposed development (less the indicated
subtractions) exceeds the estimated market value of the site absent the establishment of the District and the
use of tax increments.
Subsection 2.31. Other Limitations on the Use of Tax Increment
All revcr a derived front tax increment shall be used in accordance with the TIF Plan. The revenues shall
be used to finance, or otherwise pay the public development costs of the Housing Project Area No. I
pursuant to the M.S., Sections 469.001 to 469.047 and the costs of a housing development project described
in M.S. Section 469.017. These revenues shall not be used to circumvent existing levy limit law. No
revenues derived from tax increment shall be used for the acquisition, construction, renovation, operation.
or maintenance ofa building to be used prima ,; ly and regularly forconducting the business ofa municipality,
county, school district, or any other local unit of government or the state or federal government or for a
commons area used as a public park, or a facility used for social, recreational, orcenfemnce purposes. This
provision shall not prohibit the use of revenues derived from tax increments for the construction or
renovation of a parking structure or of a privately owned facility for conference purposes.
D -HRw to Inaremnm h..., Plm A, 1. 1m,,.ni Funnnr Duusi No 1-1 2-13
APPENDIX A
PROJECT DESCRIPTION
The Authority and the Developer will enter into a development agreement containing a pay-as-you-go note.
Through the Note, the Authority will reimburse the Developer for eligible expenses with interest on the
unpaid balance. The anticipated reimbursable expenses include:
Land acquisition .................................
$775.000
Site improvements ................................
100,000
Sewer connection fees ..............................
41,000
Park dedication fees ...............................
161,200
The actual costs to be reimbursed will be determined through the negotiation of the development agreement.
In undertaking the TIF Plan, the City and the Authority expect to incur certain expenses. These expenses
include, but arc not limited to, the following:
Sidewalk ........................................
$12,000
Street lighting .....................................
32,000
Bury power lines ...................... ... I ....
45,000
Traffic control (Brown Road/Highway 12) .............
150,000
Intersection improvements(Brown Road/Highway 12) ...
100,000
Access to BrimhalVHighway 12 intersection ...........
100.000
Traffic control (Brimhall Avenue) ....................
150,000
Access to Highway 12 ..............................
50,000
To the degree permissible by the TIF Act, this Plan and the available funds, the Authority and the City will
finance these activities with interfund loans and repayment from future tax increment revenues.
APPENDIX A.i
APPENDIX B
ESTIMATED CASH FLOW FOR THE DISTRICT
rly.avw.Is«n.lan
M
4w/p VnM. MXMYw
nfM
U.
MUnll
'mQj
j(q]
Ni]
i0M
$NYp'IbN7
Rn.rl
]NV/6fV
93AW
1.193
62
0
0
C
Tu In9191mn1 R9rM19n9
1].
4nn
.1
xn
foul
YU CpooM
V.lun
FNnYon
i..
IuulnM
MmfMnutl
CmWpNm
...
Bu8
I9W CioYo1
Sin
IW904I
uI00w
Ia919s1e3
55
2N1
115.
0
0
1..WS
o
0
0
a
Y@a01
0
21M),
Ho)
lam
0
a
I0.005
0
0
0
a
YVIW)
0
n0 VI03
Hp)
Ism
13.935
72.365
10.005
15.263
O.SHI
MIS
3.763
VIM113
13656
YV100.
MINI
1.1N
16,892
75,]]3
.!
IOW
H.))9
IIAU)
53
]53
3.9V
YIn00.
35153
LInfO!
MIS
1.510
16993
15.333
10.005
18.339
a.63.1
35 253
3.917
win, S
3!]5]
L1I30J6
O6 H
ISM
16.891
15,311
10.005
H.119
I1.8H1
]I35]
).911
VVMO6
35]A
LVLMI
HO]
1.610
H."1
15.323
10.005
78.339
I1.8311
351`.3
3.911
&IMOI
35]53
VIRM
H08
1.110
MASS
78.398
10.005
$1.510
.&1",
R.591
J01)
Y19008
3f 691
LIn"09
Mul
1.5H
83.161
81.591
IOW!
4.865
I5.416f
IS 39
.2.3
Ym009
38:59
Y1a010
M10
LSA
86..93
M.913
10.=
N.315
18.8311
)f+=6
1 316
b@OIS
3)'_5
VIn011
HII
U10
99.%]
U.H3
IOWS
91913
0In,
Hf
-
Y1,1011
;As
vinall
HI1
1.6H
93.SS1
91.%%
IYWO!
95665
19.661,
':-1
1183
VIn0I1
U N
=3
MIS
LIM
97,193
91.113
IO.WS
ffiNI
Mm.
L'1::
19:8
WIM13
21IMI,I
.ql.
1AH
101.195
99,6b
IOW!
103a05
f10.1601
.6511
5.1W
YI/!OH
.5:II
LIn01!
!01!
1.570
1012A
10).66)
104O05
101A1.
110.HI1
at:6
5391
YYMIS
4!:6
V M16
MIS
1.110
10,41
I01211
1O
1121M
111.2191
5046
1.10
bVM16
5045
n0 VI11
nil
LSM
IILM
I11.150
103005
11614!
111.615,
31515
5831
1I40,
51!]5
VIa0I9
HIS
I.SM
118,312
II6.901
10.00!
111,W
412.14f
'^'S56
6.01.
Y1a01a
v III
v1a0H
nil
IAM
123,101
121531
10405
116..M
n2Y01
56661
6.3M
bm019
56 N1
vIMM
10M
uH
119.031
116."1
10W5
u19M
113.1531
5a:5+
bvb
bIn030
59 :81
'win
H11
IAn
I31I51
131.583
1O 5
IMAS]
1136851
6::4
6.")
6,I4011
LNW)
n21
1.510
ISSAIS
IN."
10MOS
IU.391
111119,
N:'S
1110
bw031
6 '6
LIMB
I"
10Hw
I302,9901
LBH.IY
t01AH
The figures above are estimates of future tax increment revenues based on assumplums about property
values in the District and the operation of the property tax systems. Changes in these assumptions will alter
the pmJected revenues. These projections intended solely to illustrate the revenues that could be created
!f these assumptions become reality.
APPENDIX B-I
If collected over the maximum statutory duration, present value of the projected tax increments is estimated
to be$848,000. Based on experience with other development in Orono and in comparable communities and
based on the analysis of the proposed development, it is reasonable to expect that the increased market value
ofthe site without the use of tax increment financing would be less than $4,918.000. This amount represents
the estimated increase in market value from the proposed development minus the estimated present value of
the tax increments. This finding is based on the assumption that other development of the site would meet
similar public purposes and objectives and would comply with City plans and land use regulations.
APPENDIX B2
APPENDIX C
BUTIFOR QUALIFICATIONS
The Developer has submitted proforma analysis and other supporting information related to the need for the
use of tax increment financing. This information shows that without the use of tax increment financing.the
proposed development is not financially feasible. The rents required with the assistance cannot be supported
and do not make the housing available for persons of low and moderate income. The projected income from
the development do not produce sufficient return on investment to make a feasible project without tax
increment assistance.
The Authority will enter into a development agreement in conjunction with granting the tax increment
assistance. This agreement will provide additional representations by the Developer concerning the need for
the use of tar increment financing.
APPENDIX � i
jkB efJT �l
Draft nr of hlu) 9. ?001
For Public Hearing 4w
DEVELOPMENT PLAN
for
HOUSING PROJECT NO. 1
ORONO HOUSING AND REDEVELOPMENT AUTHORITY
CITY OF ORONO
HENNEPIN COUNTY
STATE OF MINNESOTA
Public Hearing: May In, 2001
Adopted:
E H LE R S Prepared by EHLERS & ASSOCIATES. INC
3060 Cature Pointe Drive. Rosavi8e. Minnesota 55113-1105
4 u r v c u n r u e (651) 697-85M lax (651) 697-8555 www.eb1*ni;- IC com
TABLE OF CONTENTS
(for reference purposes only)
MUNICIPAL ACTION TAKEN ............... _ .. "'
SECTION I
Development Plan or Housing Project No. 1.................................
1-1
Subsection 1.1.
Definitions .............................................
1-1
Subsection 1-2.
Statutory Authority .......................................
1-2
Subsection 1-3.
Statement of and Finding of Public Purpose ....................
1-2
Subsection 14.
Statement of Objectives ...................................
1-2
Subsection 1-5.
Statement of Public Facilities and Costs to Be Financed ..........
1-3
Subsection 1-t1.
Funding of Developments and Redevelopments ................
14
Subsection 1-7.
Environmental Controls ...................................
14
Subsection 1-B.
Proposed Reuse of Property ...............................
14
Subsection 1-9.
Open Space to Be Created ................................
14
Subsection 1-10.
Administration and Maintenance of Housing Project No. 1 .........
14
Subsection 1-11.
Rehabilitation ...........................................
1-5
Subsection 1-12.
Relocation .............................................
1-5
Subsection 1-13.
Property Acquisition .......................................
1-5
Subsection 1-14.
Modification of the Development Plan and/or Housing Project No. 1
. 1-5
Subsection 1.15.
Boundaries of Housing Project No. 1 .........................
A-1
MUNICIPAL ACTION TAKEN
(This Municipal Action is only for convenience of reference.)
Based upon the statutory authority described in the Development Plan attached hereto, the public purpose
findings by the Board of Commissioners and for the purpose of fulfilling the Authority's development
objectives as set forth in the Development Plan, the Board of Commissioners has created, established and
designated Housing Project No. 1 pursuant to and in accordance with the requirements of the HBA Act and
the TIF Act as defined in the definitions of this document.
Tax Increment Financing District No. 1.1, a housing tax increment financing district, was established at the
same time that the Housing Project No. 1 was established.
The following municipal action was taken in connection therewith:
Housiny Project No. 1:
May 14 2001: The Housing Project No. I was established by the Authority and the Development Plan
adopted.
Tax Increment Financing District No. LL
May 14, 2001: The Tax Increment Financing District No. 1-1 was established by the Authority and the Tax
Increment Financing Plan adopted.
IM
SECTION I
Development Plan for Housing Project No. 1
Subsection 1-1. Definitions
The terms defined below shall, for purposes of this Development Plan, have the meanings herein specified.
unless the context otherwise specifically requires.
I. "Authority" means the Orono Housing and Redevelopment Authority.
2. 'Board of Commissioners" means the Board of Commissioners of the Authority.
3. "City" means the City of Orono.
4. "Comprehensive Plan" means the documents which contain the objectives, policies, standards and
programs to guide public and private land use, development, redevelopment and preservation for all
lands and water within the City.
5. "County" means the County of Hennepin, Minnesota.
6. "Development Plan" means this Development Plan for Housing Project No. 1, as initially proposed, and
as it shall be modified.
7. "HRA Act" means Minnesota Statutes, Section 469.001 through 469.047.
8. "Land Use Regulations" meansall federal, state and local laws, rules, regulations, ordinances, and plans
relating to or governing the use of development of lend in the City, including but not limited to
environmental, zoning and building code laws and regulations.
9. "Project Area" means the real property within the City constituting the Housing Project No. 1.
10. "Public Costs"meansthecostsset forth in the Tax Increment Financing Plan. and any other costs eligible
to be financed by Tax Increments under the TIF Act and the HRA Act.
11. "Public Improvements" means the public improvements described in the Development Plan aad Tax
Increment Financing Plan.
12. "State" means the State of Minnesota.
13. "Tax Increment Bonds" means any tax increment bonds or notes issued by the Authority to finance the
Public Costs as stated in the Development Plan for Housing Project No. I and in the Tax Increment
Financing Plans, and any obligations issued to refund such bonds.
14. "TIF Act' means Minnesota Statutes, Sections 479.174 through 479.179, inclusive, as amended.
15. "Tax Increment Financing District' means any tax increment financing district presently established or
to be established in the future in Housing Project No. 1.
16. "Tax Increment Financing Plan" or "Plan" means the Plans adopted by the Authority for any Tax
Increment Financing District.
O. HRA Ne ,tv,m ., Pam for Hawn, RoPd No I A
Subsection 1-2. Statutory Authority
The HRA Act authorizes the Authority, upon certain public purpose findings by the Authority and City, to
establish and designate housing. development and redevelopment projects within the City and to establish,
develop and administer redevelopment plans therefore to meet the needs and accomplish the public purposes
specified in Statement of and Finding of Public Purpose. In accordance with the purposes set forth in the
HRA Act, the Authority has established Project Area. The Project Area shall be designated as Housing
Project No. I contain the area described in Subsection 1.15.
The lax Increment Financing Act authorizes the Authority, upon certain findings, establish and designate
tax increment financing districts within the Project Area and to adopt and implement a tax increment
financing plan to accomplish the Development Plan established for the Housing Project No. I.
Subsection 1-3. Statement of and Finding of Public Purpose
The Authority has determined that there is a need for the Authority to take certain actions designed to
encourage, ensure, and facilitate development ...d redevelopment by the private sector of underutilized and
unused land located within the corporate limits of the City, in order to provide adequate and affordable
housing for residents of the City and the surrounding area, to improve the tax base of the Citv, the County
and the School District, to better utilize existing public facilities and provide needed public services, and to
improve the general economy of the City, the County, and the State. Specifically, the Authority has
determined that the property within the Project Area is either underutilized or unused due to a variety of
factors, which has resulted in a lack of private investment. The Authority further finds that theprivates•ector
has not provided the variety of housing opporfunities necessary to meet the needs of the comml.nity. it is
necessary for the Authority to exercise its authority under the HRA Act and the TIF Act to develop,
implement and finance a program designed to encourage, ensure and facilitate the development of the
property located in the Project Area, to further and accomplish the public purposes specified in this
Development Plan.
The development currently proposed in the Project Area consists of approximately 62 units of rental housing
for senior citizens. The Authority finds that this development will alleviate a shortage of decent, safe and
affordable housing for persons of low and moderate income.
In adopting this Development Plan, the Authority also finds:
I. The development proposed for the Project Area ssould not occur solely through private investment in
the foreseeable future.
2. The proposed development is consistent with the overall plans for the development of the City.
3. The proposed useoftax increment financingwill afford maximum opportunity, consistent withthesound
needs of the City as a whole, for the development or redevelopment of the property located in Housing
Project No. I by private enterprise.
4. The welfare of the City, County, and the State of Minnesota requires active promotion, attraction,
encouragement and development of a variety of housing opportunities.
Subsection 1-4. Statement of Objectives
The establishment of the Project Area in the City, pursuant to the HRA Act, is necessary and in the best
interests of the City and its residents and is necessary to give the Authority the ability to meet certain public
purpose objectives that would not be obtainable in the foreseeable future without intervention by the
Authority in the normal development process.
f),o,o [IRA Derelo nl Pim for Housing Prujet, No I I'Z
The Authority intends, to the extent permitted by law, to accomplish the following objectives through the
implementation of the Development Plan:
I. Promoting and securing the prompt development of property in the Project Area in a manner consistent
with the City's planning and with a minimal adverse impact on the environment, which property is less
productive because of the lack of proper utilization and lack of investment, and thereby promoting and
securing the development of other land in the City.
2. Pre- -zing and securing additional housing opportunities within the Project Area and the City for
res s ofthe City and the surroundingarea, thereby improving living standards and preventingthe loss
of residents.
3. Securing the increase in value of property subject to taxation by the City. Schad District, County and
any other taxingjurisdictions in order to better enable such entities to pay for public improvements and
governmental services and programs required to be provided by them.
4. Securing the construction and providing moneys for the payment of the cost of public improvements in
the Project Area, which are necessary for the orderly and beneficial development of the Project Area.
5. Creating a desirable and unique character within th . Project Area through quality land use alternatives
and design quality in new buildings.
6. Providing and securing the development of increased opportunities for senior citizens to choose from
housing options which offer a wide array of services without regard to income.
Subsection 1-5. Statement of Public Facilities and Costs to Be Financed
The Authority will perform or cause to be performed, to the extent permitted by law, all project activities
pursuant to the HRA Act, the TIF Act and other applicable state laws, and in doing so anticipates that the
following may, but are not required, to be undertaking by the Authority:
The making of studies, planning, and other formal and informal activities relating to the Development
Plan.
2. The implementation and administration of the Development Plan.
3. The re -zoning of land within the City.
4. The acquisition of property, or interests in property, by purchase or condemnation, which acquisition is
consistent with the objectives of the Development Plan.
5. The resale or lease of property to private parties.
6. The establishment of covenants or other restrictions to protect public interests.
7. The preparation of property for use and development in accordance with applicable Land Use
Regulations and any development agreements, including demolition of structures, clearance of sites.
placement of fill and grading.
8. The construction of public improvements and facilities needed to serve the Project Area.
pond eRA Onelapmcm Plm fw nuusma P '. No 1 1 3
9. The construction, expansion, or relocation of private utilities
10. The construction or reconstruction of facilities to own and lease as described in the Tax Increment
Financing Plans.
IL The issuance of Tax Increment Bonds to finance the Public Costs of the Redevelopment Plan, and the
use of Tax Increments or other funds available to the Authority to pay or finance the Public Costs of the
Development Plan incurred or to be incurred by it pursuant to the Development Agreement.
12. The use of Tax Increments to pay debt service on the Tax Increment Bonds or otherwise pay or
reimburse with interest the Public Costs of the Development Plan.
13. The issuance of housing revenue bonds by the Authority or the City to finance the costs of the Project.
Subsection 1.6. Funding of Developments and Redevelopments
It is anticipated that the Public Costs of the Development Plan will be paid from proceeds of Tax Increment
revenues. the Authority reserves the right to utilize other available sources of revenue, including but not
limited to spc,.ial assessments and user charges, which the Authority may apply to pay a portion of the Public
Costs.
Subsection 1-7. Environmental Controls
All municipal actions, public improvements and private development shall be carried out in a manner
consistent with existing environmental controls and all applicable Land Use regulations.
Subsection 1-8. Proposed Reuse of Property
The Development Plan contemplates that the Authority may acquire property and reconvey or lease the same
to another entity. Prior to formal consideration of the acquisition of any property, the Authority will require
the execution of a binding development agreement with respect thereto and evidence that Tax Increments
or other funds will be available to repay the Public Costs associated with the proposed acquisition. It is the
intent ofthe Authority to negwiam the acquisition of property whenever possible. Appropriate restrictions
regarding the reuse and redevelopment of properly shall be incorporated into any development agreement
to which the Authority is a party.
Subsection 1-6. Open Space to Be Created
Any open space within the Project Area will be created in accordance with the zoning and ordinances of the
Authorio-.
Subsection 1-10. Administration and Maintenance of Housing Project No. 1
Maintenance and operation of the Project Area will be the responsibility of the i ity Admuu:tmtor. Each
)ear, the Administrator of the Project Area will submit to the Board of Commissioners the maintenance and
operation budget for the following year.
The Administrator of the Project Area will administer the Project Area pursuant to the provision of the HRA
Act; provided, however, that such powers may only be exercised at the direction of the Authority. No action
taken by the administrator of the Project Area pursuant to the above -mentioned powers shall be eff"mc
without authorization by the Authority
Q HRA M,OWaant N. fix Hou.mp P.,o Nu I I-+
Subsection 1-11. Rehabilitation
Owners of properties within the Project Area maybe encouraged to rehabilitate their properties to conform
with the applicable state and local codes and ordinances, as well as any design standards. Persons who
purchase property within the Project Area from the Authority may be required to rehabilitate their properties
as a condition of We of land. The Authority may provide such rehabilitation assistance as may be available
from federal, state or local sources.
Subsection 1-12. Relocation
Any person or business that is displaced as a result of the Development Plan will be relocated in accordance
with Minnesota Statutes, Section 117.50 to 117.56. The Authority accepts its responsibility for providing
for relocation assistance pursuant to the HRA Act.
Subsection 1-13. Property Acquisition
The Authority intends to acquire such property, or appropriate interest therein, within the Project Area as
the Authority may deem lobe necessary or desirable toassist in the implementation of the Development Plan
Subsection 1-14. Modification of the Development Plan and/or Housing Project No. 1
The Authority reserves the right to alter and amend the Development Plan and the Tax Increment Financing
Plans, subject to the provisions of state law regulating such action. The Authority specifically reserves the
right to enlarge or reduce the size of the Project Area and the Tax Increment Financing District, the
Development Plan the Public Costs and the amount of Tax Increment Bonds (if any) to be issued to finance
such cost by following the procedures specified in Minnesota Statutes, Section 469,175, subdivision 4.
(k HRA nerelONntnl PI. roi Haninr Noted No I 1.5
Subsection 1-15. Boundaries of Housing Project No. 1
The boundaries of the Project Area shall be as shown in the map below.
e
a • i
m
So r
+, m
ii�lteti-. 1(f ' �I i
Housing
w Project No. 1
TIF District 1.1
Thc::e boundaries include the following parcels and all adjacent street right -of way:
[to be added)
Oren HRA prrelupmenl Plan tar H.,,P ,,, N. I ♦ I
"v',T s
CITY OF ORONO
HENNEPIN COUNTY
STATE OF MINNESOTA
Council member introduced the following resolution and moved its
adoption:
RESOLUTION NO.
RESOLUTION ADOPTING THE REDEVELOPMENT PLAN FOR HOUSING
PROJECT AREA NO. 1, ESTABLISHING TAX INCREMENT FINANCING
DISTRICT NO. 1.1 THEREIN, AND ADOPTING THE TAX INCREMENT
FINANCING PLAN THEREFOR.
BE IT RESOLVED by the CityCouncil (the "Council") of the City of Orono, Minnesota (the
"City"), as follows:
Section I. Recitals.
1.01. It has been proposed by the Orono Housing and Redevelopment Authority (the
"HRA") and the City that the City adopt the Development Plan for Housing Project Area No. I,
establish Tax Increment Financing District No. 1.1 (the "District") therein and adopt the Tax
Increment Financing Plan therefor (collectively, the "Plans"): all pursuant to and in conformity with
applicable law, including Minnesota Statutes, 469.001 through 469.047 and 469.174 through 469.179.
all inclusive, as amended, (the "Act") all as reflected in the Plans, and presented for the Council's
consideration.
1.02. The City has investigated the facts relating to the Plans and has caused the Plans to
be prepared.
1.03. The City has performed all actions required by law to be performed prier to the
establishment of the District and the adoption and approval of the proposed Plans, including, but not
limited to, notification of Hennepin County and Independent School District No. 279 having taxing
jurisdiction over the property to be included in the District, and the holding of a public hearing upon
published notice as required by law.
1.04. Other written reports and analysis (the "Supporting Data") misting to the Plans and
to the activities contemplated therein have heretofore been prepared and submitted to the Council
and/or made a part of the City files and proceedings on the Plans. The Supporting Data include data,
information and/or substantiation constituting or misting to the bases for the other findings and
determinations made in this resolution. The Council hereby confirms, ratifies and adopts the
Supporting Data, which are hereby incorporated into and made as fully a part of this resolution to the
same extent as if set forth in full herein.
Section 2. Findings for the Adoption and Approval of the Plans.
2.01. The Council hereby finds that the Plans, are intended and, in the judgment of this
Council, the effect of such actions will be, to provide an impetus for development in the public
purpose and accomplish certain objectives as specified in the Plans, which are hereby incorporated
herein.
Section 3. Findings for the Establishment of Tax Increment Financing District No. 1-I.
3,01. The Council hereby finds that Tax Increment Financing District No. 1-1 is in the
public interest and is a "housing district" under Minnesota Statutes, Section 469.174, subd. 11.
3.02. The Council further finds that the proposed development would not occur solely
through private investment within the reasonably foreseeable future and that the increased market
value of the site that could reasonably be expected to occur without the use of tax increment financing
would be less than the increase in the market value estimated to result from the proposed development
after subtracting the present value of the projected tax increments for the maximum duration of the
District permitted by the Tax Increment Financing Plan, that the Plans conform to the general plan for
the development or redevelopment of the City as a whole: and that the Plans will afford maximum
opportunity consistent with the sound needs of the City as a whole, for the development or
redevelopment of the District by private enterprise.
3.03. The City elecisto make aqualifying local contribution in accordancewith Minnesota
Statutes, Sectior 273.1399, subd. 6(d), in order to qualify the District for exemption from state aid
losses set tordt in Section 273.1399.
3.04. The Council further finds, declares and determines that the City made the above
findings stated in this Section and has set forth the reasons and supporting facts for each determination
in writing, attached hereto as Exhibit A.
Section 4. Public Purpose
4.01. The adoption of the Plans conforms in all respects to the requirements of the Act and
will help fulfill a need to develop an area of the City which is already built up, to provide housing
opportunities, to improve the tax base and to improve the general economy of the State and thereby
serves a public purpose.
Section 5. Approval and Adoption of the Plans.
5.01. The Plans, as presented to the Council on this date, including without limitation the
findings and statements ofobjectives contained therein, are hereby approved, ratified, established, and
adopted and shall be placed on file in the office of the City Administrator.
2.
5.02. The HRA, the staff of the City, the City's advisors and legal counsel are authorized
and directed to proceed with the implementation of the Plans and to negotiate, draft, prepare and
present to this Council for its consideration all further plans, resolutions, documents and contracts
necessary for this purpose.
5.03 The Auditor of Hennepin County is requested to certify the original net tax capacity
of the District, as described in the Plans, and to certify in each year thereafter the amount by which
the original net tax capacity has increased or decreased; and the City of Orono is authorized and
directed to forthwith transmit this request to the County Auditor in such form and content as the
Auditor may specify, together with a list of all properties within the District, for which building
permits have been issued during the 18 months immediately preceding the adoption of this resolution.
5.04. The City Administrator is further authorized and directed to file a copy of the Plans
as required by the Act.
The motion for the adoption of the foregoing resolution was duly seconded by Council
member _ , and upon a vote being taken thereon, the following voted in favor
thereof:
and the following voteo against the same:
Dated: .2001
ATTEST:
Mayor City Administrator
(Seal)
-3-
EXHIBIT A
RESOLUTION H
As required pursuant to Minnesota Statutes, Section 469.175, Subdivision 1, the reasons and facts
supporting the findings for the adoption of the Tex Increment Financing Plan for Tax Increment Financing District
No. 1-1, set forth below. Additional supporting information for each finding appears in the Plans and in the files
of the City.
Finding that Tar Increment Financing District No. 1-1 is a housing district as defined in MS., Section
469.174. Subd. IL
The District consists of one parcel. The proposed development will consist of approximately 62 units of
rental housing for senior citizens. Twenty percent (20%) of the units will be occupied by persons with
incomes less than 50%of the area median income.
Finding that the proposed development, in rise opinion of the City Council, would not reasonably be
expected to occur solely through private investment within the reasonablyforeseeable figure and that the
increased market value of the she that could reasonably be expected to occur without the use of tax
increment financing would be less than the increase in the market value estimated to result from the
proposed developmentaftersubtracting the present value ofthe projected tar incremems forthe maximum
duration of Tar Increment Financing District No. 1-I permitted by the Plan.
The proposed development, in the opinion of the City, would not reasonably be expected to occur solely
through private investment within the reasonablyforeseeable f rture: This finding is supported by the fact
that the development proposed in this plan is a housing that meets the City's objectives for development
and redevelopment. The cost of land acquisition, site and public improvements and militias makes this
housing development infeasible without City assistance. Due to the high cost of building affordable new
housing in the City and the cost of financing the proposed public improvements, this project is feasible only
through assistance, in pan, from tax increment financing. The developer has provided information
demonstrating that the proposed development would not have gone forward without ..x increment
assistance.
The increased market value of the site that could reasonable be expected to occur without the use of ran
incrementfnancing would be less than the increase in market value estimated to resndif •om the proposed
development after subtracting the present value ofthe projected tan increments for the maximum duration
of the TIF District permitted by the Platt. The City supported this finding on the grounds that the cost of
land acquisition, site and public improvements and utilities add to the total development cost. With the tax
increment assistance the proposed housing development could not offer rents afford able to persons of low
or moderate income. Therefore, land and site development costs in this area have made the proposed
development infeasible without tag increment assistance. The City reasonably determines that no other
development of similar scope is anticipated on this site without substantially similar assistance being
provided to the development.
A comparative analysis of estimated market values both with and without establishment of the District and
the use of tax increments has been performed as described above. If all development which is proposed
to be assisted with tax increment were to occur in the District, the total increase in market value would be
up to 55.766.000. The present value of tax increments from the District is estimated to be 5848,000. It
is the Council's finding that redevelopment with a market value of greater than 54,918.000 would occur
4-
without tax increment assistance in this district within 25 years. This finding is based upon evidence from
general past experience with the development of the area, existing land use regulations and development
objectives of the City.
Finding that the Tax Increment Financing Planfor Tax Increment Financing District No. 1-1 conforms to
the general plan for the development or redevelopment of the municipality as a whole.
The Planning Commission and the City Council have conducted r:views of the proposed development for
compliance with City land use regulations and the Comprehensive Plan. Based on the results of the
reviews, the City Council determines that the Plan conforms to the general development plan of the City.
Finding that the Tar lnerem.nl Financing Plan for Tax Increment Financing District No. 1-1 will afford
maximum opportunity, consis::n with the sound needs of, he City as a whole, for the development or
redevelopment of Housing Project Area No. 1 by private enterprise.
Through the implementation of the Plan, the City will provide provide safe, decent, and affordable housing
for persons of low and moderate income.
511
ORONO HOUSING AND REDEVELOPMENT AUTHORITY
CITY OF ORONO
HENNEPIN COUNTY
STATE OF MINNESOTA
RESOLUTION NO.
RESOLUTION ADOPTING THE REDEVELOPMENT PLAN FOR HOUSING
PROJECT NO. 1; AND ESTABLISHING TAX INCREMENT FINANCING
DISTRICT NO. 1-1 WITHIN HOUSING PROJECT NO. 1 AND ADOPTING THE
TAX INCREMENT FINANCING PLAN THEREFOR.
WHEREAS, it has been proposed by the Board of Commissioners (the "Board") of the Orono
Housing and Redevelopment Authority (the "HRA") and the City of Orono (the "City") that the HRA adopt
the Development Plan for Housing Project No. 1 and establish Tax Increment Financing District No. I-1 and
adopt the Tax;ncrement Financing Plan therefor, (collectively, the"Plans"), all pursuant to and in conformity
with applicable law, including Minnesota Statutes, Sections 469.001 through 469.047, and Sections 469.174
to 469.179, inclusive, as amended (the "Act"), all as reflected in the Plans and presented for the Board's
consideration; and
WHEREAS, the City has investigated the facts relating to the Plans and has caused the Plans to be
prepared; and
WHEREAS, the City has performed all actions required by law to be performed prior to the adoption
of the Plans. The City has also requested the Council schedule a public hearing on the Plans upon published
notice as required by law.
NOW, THEREFORE, BE IT RESOLVED by the Board as follows:
1. The HRA hereby finds that Tax Increment Financing District No. 1-1 is in the public interest
and is a "housing district" under Minnesota Statutes, Section 469.174, subd. I I and Minnesota Statutes, and
finds that the adoption of the proposed Plans conforms in all respects to the requirements of the Act and will
facilitate the development of a parcel of land in the City that due to a variety of conditions and reasons has
remained undeveloped and will result in the construction of needed decent, safe and sanitary housing for
persons of low and moderate income and thereby serves a public purpose.
2. The HRA further finds that the Mans will afford maximum opportunity, consistent with the
sound needs for the City ss a whole, for the development or redevelopment of the project area by private
enterprise in that the intent is to provide only that public assistance necessary to make the private
developments financially feasible.
J. Conditioned upon the approval thereof by the City Council following its public hearing
thereon, the Plans, as presented to the HRA on this dale, are hereby approved, established and adopted and
shall be placed on file in the office of the City Administrator.
4. Upon approval of the Plans by the City Council, the staff, the HRA's advisors and legal
counsel are authorized and directed to proceed with the implementation of the Plans and for this purpose to
negotiate, draft, prepare and present to this Board for its consideration all further plans, resolutions,
documents and contracts necessary for this purpose. Approval of the Plans does not constitute approval of
any project or a Development Agreement with any developer.
5. Upon approval of the Plans by the City Council, the City Administrator is authorized and
directed to forward a copy of the Plans to the Minnesota Department of Revenue pursuant to Minnesota
Statutes 469.175, subdivision 2.
6. The City Administrator is authorized and directed to forward a copy of the Plans to the
Hennepin County Auditor and request that the Auditor certify the original tax capacity of the District as
described in the Plans, all in accordance with Minnesota Statutes 469.177.
Approved by the HRA of the City of Orono on this day of , 2001.
ATTEST:
-2-
A
CITY OF ORONO
HENNEPIN COUNTY
STATE OF MINNESOTA
Council member introduced the following resolution and moved
its adoption:
RESOLUTION NO. _
RESOLUTION APPROVING HOUSING PROGRAM AND
STATING INTENT TO ISSUE HOUSING REVENUE BONDS
BE IT RESOLVED by the City Council (the "Council") of the City of Orono,
Minnesota (the "City"), as follows:
1. On May 14, 2001 this Council held public hearings on a Program for
the Financing of a Multifamily Rental Housing Development for Seniors (the
"Housing Program") and on the issuance of up to $9 million of housing revenue
bonds (the "Housing Bonds") pursuant to Minnesota Statutes, Chapter 462C to
finance the Program. The Program provides for acquisition of land and construction
of 62 units of multifamily housing for seniors to be located at Brown Road and
Wayzata Boulevard and to be owned by Wedum Foundation or Orono Senior
Housing, LLC.
2. The Program is hereby approved.
3. Ito issuance of the Bonds given preliminary approval. The City
intends to issue the Bonds subject to negotiation and consideration of the terms
thereo`..nd related documents. City staff, the City Attorney and bond counsel are
authorized to negotiate and prepare appropriate documents relating to the Bonds for
consideration by this Council.
The motion for the a�,option of the foregoing resolution was seconded by
Council member , and upon a vote being taken thereon
the following voted in avor thereof
and the following voted against the same
Dated:
Mayor
MI:130769.01
ATTEST:
City Administrator
QT7At.H i`�E+.-+T S
Ehlers cr Associates
Tax Increment Financing District Overview
City of Orono/Orono HRA
Tax Increment Financing District No. 1 I
Proposed action: Establishment of Housing Project Area No. and the adoption of
Devel.,pment Plan.
Establishment of Tax Increment Financing District No. 1-1 and the
adoption of the Tax Increment Financing Plan.
It is anticipated that the City Council will conduct the public hearing on
May 14, 2001, but not take any formal action. The adoption of the
resolutions approving the above actions will be considered at a subsequent
meeting.
Type of TIF District: A Housing District. Twenty percent (20%) of the units will be occupied
by persons with incomes less than 50%of the area median income.
Parcel Numbers: 34-1 18-23-24-0058° (•The parcel will be subdivided and a new parcei number
will be assigned to the property included within the district.)
Location:
t yppea •a 1 i
1� _•
HoUft
a `
•� � � f�` rlr aMrYf 11
Proposed development: Orono Woods. Approximately 62 units of housing for occupancy by
_ senior citizens.
Estimated annual tax $75.263. This amount is based on assumptions value or the proposed
increment: development after lite completion of construction. The estimate is also
based on the current parameters of the property tax system. Changes in
thew assumptions will alter the actual 1 x increment revenues.
TIP District No. I-1 -Overview
Proposed uses: Tax increment collected from the District will be used to reimburse the
Developer for costs of land acquisition and site development. The actual
terms of assistance will be set forth in a development agreement between
the City, the HRA and the developer. The City anticipates retaining 10%
of the tax increment to pay for administration and other eligible public
costs. The table below contains the authorized expenditures in the TIF
Plan. These amounts set the an tximum expenditures that can be made
without a formal modification (•f the TIF Plan. The TIF Plan does not
compel the City or the HRA to make these expenditures.
Land/Building Acquisition ..........................
$775,000
Site Improvements/Preparation .......................
$100.000
Public Utilities .....................................
$77,000
Streets and Sidewalks ..............................
$562.000
Other Public Housing Improvements ....................
$31,000
Interest on Pay-as-you-go Note .....................
$1,159,000
Administrative Costs (up to 10%) ......................
$70.000
PROJECT COSTS TOTAL ....................
$2,774,000
Interfund Loanlrransfers ............................
$649,000
Loan Interest ..........................................
$0
Bond Interest ..........................................
$0
Bond Principal .........................................
a
TOTAL FINANCING & PROJECT COSTS ..
S3,423AN
Form of financing: It is anticipated that the Authority will use a pay-as-you-go note to
reimburse the Developer for eligible expenses and interest on the unpaid
balance. The City may use an interfund loan or a transfer of funds to pay
for public costs. Tax increment revenues may be used to repay an
interfund loan or transfer.
Maximum duration: The maximum duration of the District will be 25 years after receipt of the
first increment by the HRA or City. The date of receipt by the Cityof the
first tax increment is expected to be 2003. Thus, it is estimated that the
District, including any modifications of the Plan for subsequent phases or
other changes, would terminate after 2028, or when the Plan is satisfied.
If increment is received in 2002, the term of the District will be 2027.
Administrative fee:
Up to 10% of annual increment, if costs arejustified.
LGA/HACA penalty:
The City elects to make the annual local contribution to the project to
exempt itself from the LGA-HACA penalty. Contribution for a housing
district is 5% of annual tax increment. The contribution can be made
annually or in larger contribution throughout the life of the district.
3 Year Activity Rule
At least one of the following actisities must take place in the District
(§46p 176 Subd la)
within .;am from the date of certification:
• bonds have been issued
• the authority has acquired property within the district
• the authority has constructed or caused to be constructed public
improvements within the district
The estimated date whereby this activity must take place is June. 2004.
Pope 2
TIP District No. I- I - Overview
4 Year Activity Rule
After four years from the date of certification of the District one of the
(§ 469.176 Subd 6)
following activities must have been commenced on each parcel in the
District:
• demolition
• rehabilitation
• renovation
• other site preparation (not including utility services such as sewer and
water)
If the activity has not been started by the approximately June, 2005, no
additional tax increment may be taken from that parcel until the
commencement of a qualifying activity.
5 Year Rule
• Within 5 years of certification revenues derived from tax increments
(§ 469.1763 Subd 3)
must be expended or obligated to be expended. Tax increments are
considered to have been expended on an activity within the District if
one of the following occurs:
'
• the revenues are actually paid to a third party with respect to the
activity
• bonds, the proceeds of which must be used to finance the activity, are
issued and sold to a third party the revenues are spent to repay the
bonds, and the proceeds of the bonds either are reasonably expected to
be spent before the end of the later of (i) the five year period, or (ii) a
reasonable temporary period within the meaning of the use ofthat term
..nder §. 148(cx I) of the Internal Revenue Code, or are deposited in a
reasonably required reserve or replacement fund
• binding contracts with a third party are entered into for performance
of the activity and the revenues are spent under the contractual
obligation
• costs with respect to the activin are paid and the revenues are spent to
reimburse a pay for payment of the costs, including interest on
unreimbursed costs.
Any obligations in the Tax Increment District made after approximately
June, 2006, will not be eligible for repayment from tax increments.
The previous summary contains an overview of the basic elements of the proposed Tax Increment Financing
Plan for Tax Increment Financing District No. 1-1. More detailed information on each of these topics can be
found in the complete TIF Plan.
Page 3
Hennepin County Taxpayer Services Department
A-600 Hennepin County Government Center
Minneapolis. Minnesota 55487-0060
May 7, 2001
Rusty Fifield
Financial Advisor
Ehlers & Associates, Inc.
3060 Centre Pointe Drive
Roseville, MN 55113-1105
Re: Orono Housing TIF District 1-1
Dear Mr. Fifield:
Enclosed is a report from Richard P. Johnson, Hennepin County Deputy Administrator, to the
Hennepin County Board of Commissioners, concerning the proposed Orono Housing TIF District 1-1.
Please arrange to have the report entered into the record of the public hearing of the Orono City
Council on Monday, May 14, 2001, to reflect the input of Hennepin County, as provided by Minnesota
Statutes, Section 469.175, Subd. 2.
If you have any questions about this Information, please call me at 612-346-5076.
Sincerely,
�pR/Yi. /7/• Q/•GP%G�i2sGl7i
Jean M. Bierbaum, Senior Administrative Assistanr
Financial Analysis and Support Division
Cc Ron Moorse, Administrator, City of Orono, P.O. Box fib, Crystal Bay, MN 55323
Revu 1151420010ransmUlLeller
An fq.l0 1 w,ry [mOlorrr 9" r. iro „ann
Hennepin
Hennepin County Memo
DATE: May 8, 2001
TO: Board of Commissioners ft
FROM: Richard P. Johnson, Deputy County Administrator
SUBJECT: Proposed Orono Senior Housing TIF District No. 1-1 V
Hearing Scheduled: Monday, May 14, 2001. at 7:30 p.m., Orono City Hall.
Proposal: Orono has proposed creation of its first tax increment financing district to facilitate construction of
62 units of rental senior housing for persons of low and moderate income at the north west comer of
Wayzata Boulevard and Brown Road.
Fiscal Impact: This one -parcel TIF District will have a duration of 25 years of tax increment from receipt of
the first tax increment, which is projected to occur in 2003. The district will have a life of 25 years from
receipt of the first tax increment. The project, with an estimated $125,000,000 to $150,000.000 of total
project costs, has secured funding from the Metropolitan Council of $1,200,000 in a Livable Communities
Demonstration Account to assist in parking costs/public spaces.
Sources of Publi • Funds: Uses of Public Funds
Tax Increment $2,030,000 Land/Bldg Acquisition
$775,000
Inter -Fund Loana/Transfers 1,393,000 Site Improvements
100,000
Total Sources of Funds $3.423.000 Public Utilities
77,000
Slreelsl5idewalks
562,000
Other Public Improvements
31,000
Interest on PAYG Note
1,159,000
Administrative Costs
70.000
Inter -fund Loansrfransfers
649,000
Total Project Costs
$3.423.0G0
HENNEPIN COUNTY ROAD COSTS (Comments submitted by Jim Grebe, Hennepin County Transportation
Department). 'In staffs opinion the traffic generated by this development can be carried by the inplace
facilities and that no additional roadway improvements would be required. The proposed right -in right -
out access to TH-12 from the site (west of Brown Road) would not meet County Access Spacing Guidelines.
One option might be to reconfigure this access to orientate it to the existing median opening at Shaughnessy
Avenue. If the access is reoriented. there would be issues of significant grades and the access would need
to be coordinated with the adjacent property to the west. A second option might be to orientate all site
access to the rear of the properly, where there appears to be a future streeUutility access between Brown
Road and Willow Drive. 1 ranspurtation Planning staff will be talking with Long Lake. Orono and Mn/DOT
regarding the development of an access plan for this segment of TH-12 that could establish the pattern of
local access and address traffic control.
SUMMARY: Despite projecting a maximum allowable duration of 26 years of tax it ement generation, it
otherwise appears that the proposed Orono Housing TIF District No. 1-1 satisfies thy- preference of the
Hennepin County Board of Commissoners for use of tax increment financing, as identified in Resdution 92-
10-017R7, adopted 10127/92, because it targets public assistance to low to moderate income senior rental
housing. A copy of this report will be sent to the City of Orono with a request that it be entered into the public
record of the May 14. 2001, public hearing, to reflect the County's position on this proposal
tw:Rlvudruno115142oo1J)
"bmCE 00 INISM MARINO
ADOPT"
fK A SENIOR H S Nc PPODMAI
AND THE ISSUANCE O M TIFANLY
TWREUt Agy THE pppNp
MINNESOTA
IMw. Ap+I YJ, $apt
ov of Qoro, yf n
AwmW w r, Taw ; W Ana Pww,
"'PTING Affidavit of Publication
MAY 1 4 2000 State of Minnesota, County of Hennepin.
till Y Ur uhulyv Bill Holm, being duly sworn on oath, says that he
is an authorized agent and employee Of the
publisher of the newspaper known as THE
LAKER, Mound, Minnesota, and has full
knowledge of the facts which are stated below:
A.) The newspaper has complied with all the
requirements constituting qualifications as a
qualified newspaper, as provided by Minnesota
Statute 331A.02, 331A.07, and other applicable
laws, as amended.
B.)Theprinted Senior Housing 6 Bonds
,y04yl f (
4-4� eXll�
which is attached was cut from the columns of
said newspaper, and was printed and published
once each week for 1 successive weeks.
It was first published Saturday
the 28 day of April 20 01
and was thereafter printed and published
every Saturday, to and including Saturday,
the ___ day of 20,
C
Authorized Agent
Suscribed and sworn to me on this
28th dayof1 April _,20 01,
IOtlSII HOLM
gIM,PUauc.1 wv!`MA
WCExwoJ D..I
Rate Information
(t) Lowest class,ltao rate paid by commernal uses
for comparable space $15 00 per mch
t2) klanmum rate allowed by law tot above manor S15 00
(3) Rate actually charged tot above manor $T 73 per mch
Each addamnal successwa week 56 62
ImeTUIncrement
NOTICE OF PUBLIC HEARING
OaWMPnMPath1 PW HOWMp Project N I.
T4 100emanl
0 W0Mof FMNd1p OIBNCI
No. to houl
I Buelen byCNlen iimwnens. FixiM-;Arn blication
CITY OF CASINO
(e p 1. lnaarmal Ahurno,
from Tax lmv"m Fham,N Di No.I I
HENNEPIN COUNTY
ddulct), AM adapt the Tax Increment
Financing Plan
may be Spent W A,Wof. ... wenm the
STATE OF MINNESOTA
Inlafer, (wlMctiWIY. the
'Planaj 1Mr.(Or, Mrmych.
bowCMar,olHweng VI. No I
, of Hennepin.
NOTICE I', HEBERY ONENmMax Cry
pursuant m
StIlulye, 469 Mt through 469047 and
AIIInNreavd ",We they appear at and,
Council of ma Gb of Orea, Hennapm
SlcfnS 0917. Ie AN 179. el nI[luaiw, la.
anng 11 payer, Nei near, orNq or par
County. SRIN N MNMI OM, m1 MM a Pubi
amHlMdcope. el are Plea the W Nl Am
awMbM tar PuPic iaplaan
10IM myelrrqq ero n oath, says that he
y
Mv�rgon May M, MI at axproamarsly
anne once of
BV OROEROF THE CITVCWNCIL OF
).00 P.M. a, IN CIT cwndM Cmbwn
r, city
q/IM
MG."W eI City HIM
THE CITY OF CASINO.AS MINSOTA i employee o1 the
HA11, 2750 Kelley Parkway, Oram,
MlmHepM, nlafp le MA aM M RIB
Spam
The y,epart, Io f mclpd" in Tu
Invention, Flnancmp Daniel No.
city Admrxavew 81 known as THE
of Connected. Imo 9oArIn of 1M
Orono Ho•lunyy end AMwelepmen,
1�1 N
w
1p Widen Hdre Protect No. 1 am IN
City Or The
(PuWO"in TM Laker and R.M., yea. and has full
AuVehl(me'HMj aM r�. Ciq ,ef Orono
of em. mep flow aaealW me
APn12B 2M11
are st,ted below:
(the'Coy') that the HRA Adopt no
Prdaoead pe1r" of Heuvlo ProNCI No
• Ji
d
LH
I m lied with all the
� � , a • �0• rY I rc
p00� • ;
m
v • + ,� do m
k
w'n+a era. .
•pFar
" ar E
de
joe S
!t"MAMM,
~'B�pIBYEB I •nr�. j
Y
}
7
�a1�...1
P
qualifications as a
Bided by Minnesota
Ind other applicable
:rement Financing
6 Map
Tom the columns of
`+ Inted and published
successive weeks.
%Housing 20ot..
Project No. I
and published
%.TIFD10str1ct1-1udingSaturday,
----- 20—
Authorized Agent
Suscribed and sworn to me on this
ze day of -Pill 2001
,
By
Notary Public
"a�w�BBe
e p, KRIS17 HOLM
4J MarAAY PUBLIC k9N�F.5m.
SN Camyem EapWr,,.-, 11 �5
Rate Information
I i I Lowest I.ss,hep rate paid by commercial users
to, comparable space $15 00 per mch
t2) Maximum rate allowed by law to, above mane, $15 00
(9) Rate actually charged for above mane, $7 79 par char,
Each additional successive weak $5 62
MINUTES OF THE
ORONO CITY COUNCIL MEETING
MONDAY, April 23, 2001
ROLL
The City Council met on the above -mentioned date with the following members present:
Mayor Barbara Peterson, Council Members Jay Nygard, Richard Flint, and Bob Sansevere. Council
Member Jim White arrived at 7:06 p.m. Representing Staff were City Administrator
Ron Moorse, City Attorney Tom Barren, Planning Director Michael Gaffron, Zoning Administrator
Paul Weinberger, Zoning Administrator Wendy Bottenberg, City Engineer Tom Kellogg, Public
Services Director Greg Gappa, and Recorder Jackie Young.
Mayor Peterson called the meeting to order at 7:03 p.m. ('^, asr:FTING
CONSENT AGENDA MAY 14 20W
Cl I Y Ur VMUt u
(NI) Approve/Amend
Items 10, 11, and 14 were added to the Consent Agenda.
Sansevere moved, Flint seconded, to approve the Consent Agenda as amended.
VOTE: Ayes 4, Nays 0.
PUBLIC HEARING
(M2) JAMES ANDERST PROPOSAL FOR A MUSIC FESTIVAL
Moorse stated James Anderst proposed at the April 9, 2001 Council meeting a community music
festival to be held in the Navarre public parking lot. Mr. Anderst has indicated they would like to
hold the festival over one weekend in late August, with the festival running from noon until 8:00
p.m. Moorse indicated there would be live music, food and beverages availabit.
At the previous Council meeting the Council Members had expressed a number of concems relating
to the management of traffic, parking, number of people attending the festival, s urity, and the
impact on the surrounding residents and businesses. Moorse noted the Council also wanted to
obtain some input from the residents in the area, with this matter being continued to tonight's
meeting in order to gain public input and to allow Mr. Anderst to address some of the concerns that
were raised at the last Council meeting.
Sansevere inquired how many people are expected at this event. Sansevere noted a number of 2.000
people was mentioned at the last Council meeting which would need to attend this event in order for
it to be successful.
Anderst stated he is unsure whether they will reach that 2,000 number. Anderst stated he has come
up with 677 parking spaces, which includes 97 in the municipal lot, 60 at the bowling alley across
the street, 90 spaces at the Freshwater Institute, 12 at the bank, 30 to 40 at the dry-cleaners, 63 at the
Calvary Church, 90 at the Good Shepherd Church, 30 at the liquor store, and a number at the
Hennepin County maintenance lot.
Page I
MINUTES OF THE
ORONO CITY COUNCIL MEETING
MONDAY, April 23, 2001
(James Anderst, Continued)
Mayor Peterson inquired whether all of these parking spaces were within walking distance of the
festival.
Anderst stated they are
Sansevere inquired whether Police Chief Good had a number of participants which should not be
exceeded for this event.
Police Chief Good expressed a concern that the Orono Police Department does not have adequate
resources to manage 2.000 people. Good stated it would be difficult to ascertain the number of
people that would be attending this event. Good indicated they would need to provide one police
officer tot every 200 people that attended this event. In addition, Good questioned whether the
municipal lot would be able to contain 2,000 people and would prefer to see the number of people
restricted to 200 to 300 people.
Anderst indicated the area of the municipal lot to be used for the festival contains 15,000 square
feet, with seven square feet being required per person.
Sansevere stated he would be following the recommendation of the police chief.
Flint slated the issue of how traffic will be managed needs to be addressed regardless of the number
of people attending this event.
Police Chief Good stated she has not received any type of written plan for this event outlining how
these various issues will be handled.
Sansevere inquired whether the 150 people that could be accommodated inside the bar were
included in the police chief's 200 to 300 figure.
Police Chief Good indicated it was not. Good stated she is unsure whether Orono's Ordinance
wo::ld permit the serving of alcohol outside the saloon. Good stated it is her understanding there
types of permits are limited to clubs, charitable, religious, or nonprofit sponsored events, and she is
unsure whether this event would qualify under those restrictions.
Moorse stated it is his understanding the license would need to be issued to one of those types of
organizations. Moorse stated Anderst may need to have a nonprofit or charitable group managing
the beer tent, with a separate agreement designating the proceeds generated from the sale of alcohol
to a specific charitable organization. Moorse stated this is a somewhat unique situation since the
event is being held on a public -owned parking lot.
Tom Barnett, City Attorney, stated there would need to be a genuine designation of the majority of
the proceeds to the charitable organization, which would not be inconsistent with the intent of the
ordinance in his opinion. Barrett stated a 50150 split with the charitable organization would be
acceptable.
White inquired how the noise generated from the live band would be handled
Page 2
MINUTES OF THE
ORONO CITY COUNCIL MEETING
MONDAY, April 23, 2001
(James Andent, Continued)
Anderst stated the sound would be amplified since the event is being held outside. Anderst stated
the sound would not be amplified to the point where it will cause major problems to the neighbors.
Mayor Peterson noted the event is scheduled to end at 8:00 p.m.
Sansevere inquired who would pay for the police officers overseeing this event.
Police Chief Good indicated normally the cost of any overtime hours associated with this event
would be assumed by the person sponsoring the event. Good reiterated she would need a formal
written plan on how all these issues will be addressed before she would be willing to commit any
police officers.
Mayor Peterson noted at the last Council meeting limiting the number of wristbands sold was raised
as an option.
Sansevere inquired whether the event could be successful if the number of people allowed to attend
the festival was limited to 200 to 300.
Anderst stated in his view the festival could not be successful with that small number of people, and
that he would need approximately 1,000 people per day in order to make it a success.
Mayor Peterson inquired whether the reserves on the police force could be u: 'ized for this event.
Police Chief Good stated even if the reserves were utilized, in her view they still would not be able
to accommodate that number of people. Good indicated issues relating to public health and safety
need to be addressed prior to the event.
Ancient stated he has contacted North Memorial for an ambulance, the Mound Fire Department, and
a sanitation company. Anderst inquired whether an outside security force could be employed for
this e,ont.
Police Chief Good reiterated that these types of festivals are normally planned and organized by a
committee of people, with a formal written plan addressing all of these concerns and issues being
submitted for her review. Good noted she has not received a written plan.
Ancient indicated he would be willing to put together a plan for the police chief.
Mayor Peterson commented there appear to be a number of issues that need to be addressed before
this event can be approved. Peterson stated in her view the next step is for Anderst to meet with the
police chief to discuss what should be included in the plan.
Sansevem reiterated he would be following the recommendation of the police chief
Mayor Peterson opened the meet ing up for public comment.
John Hollander, 200 Hollander Ro.A stated in his view they need to insure prope• medical care is
available. Hollander inquired whether puking on the streets would be allowed. Hollander noted a
Page 3
MINUTES OF THE
ORONO CITY COUNCIL MEETING
MONDAY, April 23, 2001
(James Anderst, Continued)
special permit is allowed for street parking.
Mayor Peterson stated on -street parking would not he allowed for this event
Julie Flynn, 3473 Lyric Avenue, stated she has spoken to most of the neighbors in this area who
have indicated they are in support of this event and would like the Navarre area to have its own
annual community event.
Sansevere suggested Anderst recruit some of the local neighbors to help organize this event.
Tom Flynn, 3473 Lyric Avenue, suggested a portion of Lyric Avenue be closed.
Police Chief Good stated that option has not been considered. Good commented it is helpful to
know that the area residents are in support of this event. Good stated if the street is to be closed, it
will need to be planned for prior to the event.
Flynn commented in his opinion Anderst has done a very goodjob at improving this property and
should be commended.
Gordon McFarland indicated he manages one of the properties abutting the parking lot. McFarland
stated in his view most of the business owners are supportive of this evert but would like to see the
issue of liability addressed.
Mayor Peterson noted Anderst was informed of the insurance requirements of the City at the last
meeting.
McFarland stated he would also like some assurance that parking will be available for customers of
the various businesses in the area.
Mayor Peterson inquired whether Anderst has addressed the issue of providing parking for the
customers of the businesses during the festival.
Anderst indicated he has spoken with Rick at Super Valu, who indicated that Saturday and Sunday
arc his busiest days. Anderst stated they would erect signs saying no festival parking is permitted in
the Super Veto lot, and that he would be agreeable to having someone monitor that lot to insure that
no festival parking occurs in that lot.
Louis Hudlow, 3438 Lyric Avenue, requested that the issue of garbage cleanup following the event
be addressed.
John Hollander stated it is his understanding of Orono's Ordinances that a tight lid container would
be required.
Gappa stated the City does require closed garbage cans, but that a big rollout garbage bin could be
utilized for th;, event since it would be removed the next day.
Sansevere stated the issue of cleanup would need to be included in the p'an
Page 4
MINUTES OF THE
ORONO CITY COUNCIL MEETING
MONDAY, April 23, 2001
(James Anderst, Continued)
Tom Barrett, City Attorney, stated a distinction is made between domestic and commercial
disposal of garbage and that the appropriate changes could be made to the ordinance if necessary
identifying those differences.
Anderst indicated he has checked on obtaining an eight yard dumpster for this event, which would
be removed at the end of the weekend. Anderst stated the majority of the garbage in his opinion
would consist of plastic cups and some minor food items.
Michael Shields, 1310 Vine Place, indicated he also would like to see the issue of cleanup
addressed.
Mayor Peterson closed the public hearing at 7:42 p.m.
White commented he would like to we this event be successful, but in his view a plan needs to be
developed in order to insure that everything runs smoothly.
Flint indicated he continues to he in support of this event. Flint noted a number of people over the
years have expressed a desire for an event like this to happen in the Navarre area. Flint stated
Anderst will need to develop a satisfactory plan.
Sansevere recommended Anderst have an indepth written plan prepared and ther reappear before
the Council.
Police Chief Good indicated she would like to we a written plan addressing the issues relating to
traffic management, traffic, parkinb, and security. Good recommended one specific person be
appointed who would be the person to contact in the event something happens.
Sansevere suggested Anderst approach one of the other organizations that has put on similar events
in the past to see if they would be willing to help him organize this event.
APPROVAL OF MINUTES
•(43) Regular Council Meeting of April 9, 2001
Samevere moved. flint wooded, to approve the minutes from the Regular City Council
meeting of April 9, 2061 vs submitted. VOTE: Ayes 4, Nays 0.
PARK COMMISSION COMMENTS— Pauline Bouchard, Representative
Bouchard addressed the City Council and reported that the Navarre Park is being used every day by
the children in the area and is a good asset for this area. Bouchard stated the landscaping of the park
has not been completed at this time. An article soliciting plantings and volunteers will be submitted
to the local newspaper and included in the City newsletter coming out this week.
MINUTES OF THE
ORONO CITY COUNCIL MEETING
MONDAY, April 23, 2001
(Park Commission Comments, Continued)
Mayor Peterson inquired when the Council would be meeting with the Park Commission to discuss
the lake access points.
Moorse indicated a definite date has not yet been scheduled to discuss this item but they are
anticipating it will be sometime in May.
PLANNING COMMISSION COMMENTS — Jeanne Mabusth, Representative
Mabusth indicated she would be available for questions at tonight's meeting. Mabusth stated the
Planning Commission appreciated Council Member Flint's comments to them at their last meeting.
LMCD COMMENTS— Lill McMillan
McMillan was not present at tonight's meeting.
PUBLIC COMMENTS
John Hollander, 200 Hollander Road, stated he has resided at the end of Hollander Road since 1956.
which is a private road. Hollander indicated the road was constructed in 1979. Hollander stated he
has been paying liability insurance on that road for many, many years, and is contemplating
charging the other residents on that road a portion of the costs incurred for maintaining that
insurance. Hollander requested the City send the residents on that road a Icner notifying them that it
is a private road and that he has legal title to it. Hollander stated it is his understanding under
Minnesota Law that he would be able to sell the road if he so desired.
Hollander stated he has another concern relating to Orono's Refuse Ordinance, which requires that
all garbage be kept in a tight -lid container. Hollander stated it is cheaper to use a roll -out box than
the type required by the ordinance. Hollander stated in his view everyone is in violation of this
ordinance because the garbage containers supplied by Randy's Sanitation do not meet the
requirements.
Hollander commented the City of Orono to his understanding has received a number of phone calls
relating to the improvements he is attempting to do to his property. Hollander stated he has a right
to file a lawsuit against those residents for emotional distress. Hollander indicated none of those
residents has talked to him personally or offered to help. Hollander stated he has made a request of
the City Administrator to be supplied with a list of thou residents, and a failure to comply with that
request is denying him his due process of law. Hollander indicated if he does not receive that list
from the City, his only recourse would be to file a lawsuit against the City for emotional distress and
denying him his due process of law.
Hollander raised another concern relating to parking on public or private streets. According to
Cre w's Ordinances, no parking is allowed on a pul,lic or a private street at any time except for
emergency repairs, at which time they can only be there for eight hours. Hollander indicated in hn
view he has a right to park on Hollander Road and would like this issue clarified.
MINUTES OF THE
ORONO CITY COUNCIL MEETING
MONDAY, April 23, 2001
(Public Comments, Continued)
Hollander requested the City address the high speeds on County Road 6 by better enforcement.
Mayor Peterson indicated City Staff should be able to address all of Hollander's concerns.
Gary Welsh, 1214 Wildhurst Trail, indicated he is appearing at tonight's meeting in order to address
the statements by the Lines. Welsh stated the character of the neighborhood has changed very little
since the Lines have moved to this area and that in his view it is merely a matter of personal taste.
Welsh commented if the Lines are not satisfied with the appearance of the neighborhood, they could
have purchased property elsewhere.
Welsh noted the Lines' statements that they follow the City's Ordinances is not totally accurate.
Welsh noted the City did grant some variances to the Lines in order for them to construct their
residence. The neighborhood did not contest these variances and welcomed the Lines to the
neighborhood.
Welsh stated in his opinion the Lines we complaining about normal lifestyles and activities that are
found throughout this diverse community. Welsh commented the residents have experienced loud
noise from mine of the various gatherings put on the Lines, which they have tolerated without
complaint. Welsh stated in his opinion the taking of numerous photographs of the various
residences in the neighborhood and displaying of them in a public forum is a violation of their
privacy. Welsh stated the Lines could have undertaken some due diligence prior to purchasing their
properly in order to better ascertain what the character of the neighborhood was.
Welsh commented in his view Orono is a diverse community where people of all kinds should be
able to get along.
Sansevere commented in his view it sounds like this issue may be more of a neighborhood conflict
and that really should be worked out between the local residents. Sansevere stated if there is a
violation of an ordinance, the City can become involved. Sansevere commented he is unsure what
involvement Welsh would like the Council to have in this matter.
Welsh stated in his view the Lines are attempting to get the Council involved in this matter. Welsh
stated it is his understanding none of the neighbors have bean before the Council to complain about
the noise generated from the numerous parties put on by the Lines and the number of cars. Welsh
stated they arc attempting to be good neighbors.
Rick Meyers, 2195 Rayview, Place, indicated he was present at the Council meeting when the Lines
addressed the City Council. Meyers stated in his view both sides have some issues that should be
addressed, and that everyone needs to follow the City's ordinances. Meyers stated it is the City's
duty to enforce the ordinances and it is the responsibility of the property owners to we that their
properties arc properly maintained.
A resident of W ildhurst indicated she was on the Lines' list of people who have been cited as being
in violation of the City's Ordinances. The resident stated for the past year she has been in
compliance with the City's Ordinances but apparently does not meet the standards of the Lines The
MINUTES OF THE
ORONO CITV COUNCIL MEETING
MONDAV, April 23, 2001
(Public Comments, Continued)
resident inquired what action she could take in order to stop the Lines from taking photographs of
her residence and invading her privacy.
Sansevere stated there are avenues beyond the City Council that the resident could pursue.
The resident indicated she would like the City to step in and say that they may be violating their
privacy.
Sansevere stated in his opinion this may be a matter that the Council has little authority over and
that the local residents will have to pursue other avenues.
Tom Barrett, City Attorney, stated any citizen has the right to petition the Council for redress of
their grievances if they perceive they exist. Barrett stated if they exceed the boundaries of some
other private right, then it may become a private action and the residents would need to take other
steps to protect themselves or to address their concerns.
White stated the City would become involved in situations where there are legitimate concerns that
need to be addressed.
Sansevere stated he would like to review the City's Ordinance regulating storage of boats.
Gabriel Jabbour, 985 Tonkawa Road, stated he has been a resident of Orono for 30 years and at one
time lived next door to Curt Carlson. Jabbour stated every time Gne of his neighbors would be
hosting a large gathering, they would notify the other residents in the neighborhood and would try to
be a good neighbor.
Jabbour stated it is opinion there is a fear among some of the residents of Orono that they arc not a
part of the "elite" group in Orono and that they are being forced to change their lifestyle. Jabbour
stated he is grateful for the quality of life and the diversity that exists in Orono. Jabbour encouraged
the Council to continue to preserve that quality of life and diversity.
Mayor Peterson thanked the residents for their comments
ZONING ADMINISTRATOR'S REPORT
qa4) a01-2664 MITCH AND KIM OLSON, 3265 CARMAN ROAD — VARIANCES —
RESOLUTION NO.4644
Sansevere moved, Flint seconded, to approve and adopt RESOLUTION NO. 4644, a
Resolution approving variances to structural lot coverage and hardcover to permit
construction of an attached lineage on the street side of the residence located at
3265 Carman Road. VOTE: Ayes 4, Nays 0.
MINUTES OF THE
ORONO CITY COUNCIL MEETING
MONDAY, April 23, 2001
s(NS) N01-2673 GARY GERMUNDSEN, 4101 HIGHWOOD ROAD — VARIANCES —
RESOLUTION NO.4645
Sansevere moved, Flint seconded, to approve and adopt RESOLUTION NO. 4645, a
Resolution granting renewal or variances to permit the construction of a new residence to
replace the existing residence on the property located at 4101 Highwood Road.
VOTE: Ayes 4, Nays 0.
•(N6) #01.2669 RICHARD J. WE -IT, 1396 BALDUR PARK ROAD— VARIANCES —
RESOLUTION NO. 4646
Sansevere moved, Flint seconded, to approve and adopt RESOLUTION NO. 4646, a
Resolution granting an after -the -fact variance to hardcover to permit construction of a
four foot overhang over an existing sidewalk on the street side of the residence located at
1396 Baldur Park Road. VOTE: Ayes 4, Nays 0.
(07) N01-2672 JIM & SHARON WALKER, 2685 NORTH SHORE DRIVE. - CONDITIONAL
USE PERMIT — RESOLUTION NO.4647
Jim Welker, Applicant, and Dave Erotas, Contractor, was present.
Weinberger stated the Applicants have requested a conditional use permit for a guest apartment
located within the proposed principal residence. The guest apartment would be located above the
garage and connected to the main part of the house by a fully enclosed walkway. Non -rental guest
apartments are a conditional use in "It" districts. Orono's Code requires the guest apartment be for
the sole use of the occupants of the principal residence, including their domestic employees or non-
paying guests. One access door to the apartment must be provided from within the principal
structure.
In addition, the Applicants are also requesting a variance to pen mit two accessury buildings to
remain on the lot. The buildings consist of a screen house located new the lakeshore within the
0'75' setback and the second is a tower that has been on the property for many years. The existing
house was originally constructed in approximately 1"3. A condition of approval would be that no
expansion or alterstion of the buildings would be permitted since they arc non -conforming.
The Planning Commission voted 5 to 0 to recommend approval of the conditional use permit for the
non -rental guest apartment and variance to permit the tower to remain on the property. The
Planning Commission voted 4 to I to recommend approval of the variance to permit the screen
house to remain on the property. It was the minority opinion that the screen house should be
removed because it is a structure within 75 feet of the lakeshore of Lake Minnetonka.
City Staff recommcnds approval of the conditional use permit and the variances.
Flint stated he wanted to discuss the screen house. Flint noted the City receives a number of
requests for repairs of structures. Flint stated he is comfortable with the resolution as presented. In
his view the Applicants are attempting to maintain the historic look of the property, but due to the
MINUTES OF THE
ORONO CITY COUNCIL MEETING
MONDAY, April 23, 2001
(Jim & Sharon Walker, Continued)
number of repair requests that the City receives, the City Council should consider this application
very closely and state the reasons why this building is being allowed to remain.
Sansevere inquired whether these buildings would be removed once the principal structure was
completed or would stay following construction.
Weinberger stated both buildings would remain following construction of the new principal
residence. The Applicants are requesting that the two accessory buildings remain during the
construction period.
Sansevere commented in his view these type of structures are part of the charm of the lake.
Flint stated the Council should be aware that if an adjoining property owner requested permission to
construct a similar structure in the 0-75' setback, the answer would be no because hardcover is
restricted in the 0-75' setback.
White inquired wher. the screen house was originally conRrtcted.
WalMer stated it is his understanding it was constructed i. spproximately 1907.
Flint moved, White accondc d, to approve and adopt R l: ;OLUTION NO. 4647, a Resolution
approving a Conditional Ilse Permit to permit a non -rental guest apartment within the main
residence, and a variance to permit two accessory buildings to remain on the property
following removal of the existing principal building located at 2685 North Shore Drive.
VOTE: Ayes 5, Nays 0.
CITY ADMINISTRATOR'S REPORT
(NS) SPRINT PROPOSAL FOR TELECOMMUNICATION ANTENNA
Laren Johnson, The Everest Group, and Even Rice, Anomey-at-Lew, were present
Moorse stated Sprint PCS has approached the City regarding the need for an additional
telecommunications antenna site to provide PCS coverage in the Crystal Bay area. The proposal is
for an antenna and tower to be located in the Crystal Bay area close to the Post Office. Moorse
stated the Council discussed this issue in a work session a couple of weeks ago, with the Council
indicating at that time that an 80 to 100 foot tower with an antenna was not acceptable. Moci
stated that information was forwarded to Sprint, and they arc now before the Council to discuss their
proposal.
Johnson stated at the present time there is a coverage gap in the Orono area, which Sprint would like
to address by the addition of another tower in the Crystal Bay area. Johnson stated he has discussed
this matter with the City Administrator as to other possible options as well as have their engineers
consider towers at lower heights. Johnson indicated with the topography that exists in the Orono
area, Sprint would need an 80 to 100 foot tower in order to clear the trees.
MINUTES OF THE
ORONO CITY COUNCIL MEETING
MONDAY, April 23, 2001
(Sprint Proposal, Continued)
Johnson stated Sprint's engineers have examined the proposed site at Brown Road and feel that an
80 foot lower would work, although they would prefer a tower that is 100 to 120 feet in height.
Johnson stated an 80 foot tower would be the minimum height that they would need due to the trees
in the area.
Sansevere inquired whether the antenna could be installed on top of one of the trees in the area.
Johnson stated they are unable to do that.
Flint commented he has read a number of articles regarding a type of tower they are utilizing in the
east which resembles trees. Flint inquired whether Sprint would have that type of tower available.
Johnson stated he has attempted to locate some information regarding that technology.
Rice stated those type of towers are referred to as stealth towers and typically cost more than your
av-+rage tower. Rice stated the design of the tower that Sprint is proposing to utilize at this site is a
Bag pole or needle design.
Flint inquired how much coverage a 60 foot tower would provide.
Johnson stated he is unsure whether Sprint's engineers have considered a 60 foot tower. Johnson
explained the procedure used in determining the appropriate size of the tower.
Flint indicated the City of Orono has a present policy governing telecommunication towers and
antennas. Flint stated the City of Orono is very conscious of pr -:rving the natural look of Orono
and would like to avoid the use of industrial looking towers, espy ;ally in a park setting. Flint stated
he would be willing to look at the other types of towers available, out in his opinion Orono's present
policy is the right policy to have.
Tom Barrett, City Attorney, indicated the telecommunications field is very regulated !coder Federal
Law. Barrett inquired whether Sprint in their opinion has some federal or other governing right or
authority to proceed in this situation.
Rice stated Sprint does not maintain that they have a right to any particular site, which is why they
are approaching the City of Orono at this time to engage in negotiations. Rice stated Sprint does
operate within a heavily regulated field and are obligated as pan of that Iicensure process to provide
certain coverage minimums. As a result of that, Sprint is obligated to construct a system of wireless
facilities to receive and transmit telephone communications.
Rim stated the Telecommunications Act of 1996, was a major reform in this field, and for purposes
of this meeting, the Telecommunications Act allows local governments with the authority to
regulate their zoning. Rice indicated the Act has been interpreted in this state that a local
government can take no action which prohibits or has the affect of prohibiting the installation of
Cowen. Rice stated the gist of the Act is that local governments cannot take actions which prohibit
wireless telecommunications nor discriminate between provid i s.
Page I I
MINUTES OF THE
ORONO CITY COUNCIL MEETING
MONDAY, April 23, 2001
(Sprint Proposal, Continued)
Rice stated Sprint perceives it has a gap in its coverage, and in order to meet its obligations, it needs
to find a facility in this area to help close that gap. Rice reiterated Sprint is approaching the City
tonight in an effort to open the dialogue in order to make that happen in a way that best serves the
City of Orono as well as Sprint. Rice indicated there would be some financial incentive to the City
which could be used for the maintenance of the park.
Sansevere inquired what would happen if a 55 to 60 foot tower was erected in this area.
Johnson stated that would necessitate the need for additional towers.
Smsevere inquired what the total coverage of the lower would be.
Johnson stated he could get that information. Johnson indicated he could ask Sprint's engineers to
look at that option.
Smsevem stated he would like the Council to consider the possibility of looking at more than one
tower in an effort to reduce the height.
Mayor Peterson inquired whether the other vendors have an issue with this area.
Johnson slated they do. Johnson indicated at the June 29's session of last year there were several
other vendors who were present at t'iat time who indicated they presently have gaps in this area.
Johnson stated the other vendors may not perceive this area to be a top priority.
Flint inquired what an antenna installed on the Navarre water tower would do for Sprint versus this
one.
Johnson stated if an antenna were installed on the Navarre water tower, it would make the other
sites weaker. If the towers arc too close together, they do not work properly.
Sansevere inquired whether there was another possible location in this coverage area outside of the
park where a second tower could be erected. Sansevere commented he would like to look at other
options outside of erecting an 80 foot lower.
Johnson commented the possible locations for a tower arc limited in this area due to the residential
nature of this area.
White inquired what environmental impacts the tower would have on the area.
Johnson stated he is not aware of my. Johnson stated the base of the tower would be concrete and
would need to be approximately 35 feet deep to keep the lower from tipping. Johnson stated the
equipment itself consists of various types of electronic devices.
Mayor Petersor inquired what would be [mated around the tower.
Johnson staled there is a 15 by 15 foot station, which would be fenced off. Johnson indicated in
order to address aesthetic concems, a cedar fence would be constructed as well as plating of Imes.
MINUTES OF THE.
ORONO CITY COUNCIL MEETING
MONDAY, April 23, 2001
(Sprint Proposal, Continued)
Rice stated he understands the position of the City. Rice indicated Sprint would like to start a
dialogue which would help to address some of these unresolved issues.
Sansevere commented he would like more information on the tower that resembles a tree.
Sansevere indicated he is not ready at this time to support an 80 foot tower.
Mayor Peterson stated she also cannot favor an 80 foot tower.
Flint stated he also would like more information regarding the tree tower as well as information
regarding the coverage area with a 55 to 60 foot tower.
White commented unfortunately the park is not an industrial area and the City would prefer not to
turn it into an industrial site.
Tom Barrett suggested this item be tabled to allow Sprint time to supply the additional information
requested.
Sansevere commented the City of Orono would like to work with Sprint.
Mayor Peterson reiterated the Council is interested in looking at possibly more than one tower with
heights not to exceed 55 to 60 feet and the tree option. Peterson inquired whether the idea is to stay
on Public property with the tower.
White indicated that once the tower is constructed, the land would become taxable.
Johnson stated that once public land is put to income producing use, the land could become taxable.
Tom Barrett stated it is his understanding the land could be assessed if it produces income.
Sansevere pointed out that if an 80 foot tower is approved at this site and another carrier requests an
80 foot tower at another location within the City, the City would be required to approve that request
as well so as not to discriminate between carriers.
Tom Barnett stated the Council would need to consider the discriminatory factor in making their
decision.
Flint moved, White seconded, to table Sprint's proposal for a telecommunication antenna
pending further Information being supplied by Sprint. VOTE: Ayes S, Nays 0.
(119) RESOLUTION CALLING FOR A PUBLIC HEARING ON A HOUSING PROGRAM
AND A TEFRA HEARING ON THE ISSUANCE OF 501 (c) (3) BONDS FOR THE ORONO
WOODS HOUSING PROJECT
Moorst noted public hearings on the Orono Woods Taa Increment Financing Plan, Development
Plan, Housing Program, and the issuance of multi -family housing revenue bonds have been
scheduled for May 14a.
Page 13
MINUTES OF THE
ORONO CITY COUNCIL MEETING
MONDAY, April 23, 2001
Flint moved, Sansevere seconded, to approve and adopt RESOLUTION NO. 4648, a
Resolution calling for public hearings on the Orono Woods Tax Increment Financing Plan,
Development Plan, Housing Program, and the issuance of multifamily housing revenue bonds.
VOTE: Ayes 5, Nays 0.
e(NIO) YEAR ENDING DECEMBER 31,2000— INVESTMENT REPORT
The City Council reviewed the Investment Report for the Year Ended December 31, 2000.
s(NI1) REQUEST FOR AUTHORIZATION TO DISPOSE OF USED SQUAD CARS
Sansevere moved, Flint seconded, to declare Squads 167, 178, and 182 as surplus property and
to authorize their sale to the highest bidder on May 9, 2001. VOTE: Ayes 4, Nays 0.
•(0012) FLEMING TRAIL COVENANT AMENDMENT
Sansevere moved, Flint seconded, to authorize the Mayor and City Administrator to sign the
"Amendment to Declaration of Covenants" for the Fleming Trail Addition.
VOTE: Ayes 4, Nays 0.
MAYOR/COUNCIL REPORT
Flint stated his comments at the last Planning Commission meeting were regarding the fine job the
Planning Commission was doing on the applications, which enables the City Council to put a large
number of them on the Consent Agenda. Flint commented he is pleased with the quality people that
arc presently on the Planning Commission.
Flint stated a specific comment was raised regarding the Wett application. Flint stated the property
owner made the comment why did he have to go through this whole process. Flint stated in his
opinion that is one application that could have been handled entirely by City Staff. Flint stated the
Applicant extended the roof line a little further over the blacktop than what it already was, so
technically you were substituting an overhang variance for the hardcover variance that was already
there. Flint stated the City needs to come up with some specifics where those type of appixations
can be handled administratively.
Mayor Peterson indicated the three Planning Commission alternates and herself spent the majority
of Saturday at a seminar put on by John Shardlow, which was ver) infomtative and worthwhile.
Gaffmn inquired whether the fee paid on the Wett application should be refunded. Gaffron stated
the City collected a penalty fee on this application since it was an after -the -fact variance, which is
double the permit fee.
Mayor Peterson stated in her opinion the City should charge the normal application fee
Page 14
MINUTES OF THE
ORONO CITY COUNCIL MEETING
MONDAY, 4pril 23, 2001
(Mayor/Council Report, Continued)
Flint moved, Sausevere seconded, to authorize City Sta0 to refund $250 on Application
#01-2669, Richard J. Wetl, 1396 Baldur Park Road.
Tom Barrett requested the City Council articulate the reasons why this refund is being given.
Flint stated the reason he supports a refund in this situation is that this is the type of application that
should never really have gone through this review process and could have been approved
administratively. Flint indicated it was only a technical aspect of the Zoning Code that required the
application follow this procedure.
Gaffron stated normally the City charges the builder the double permit fee and not the property
owner. Gaffron stated both the builder and the property owner had the understanding that it would
not require a separate variance. Gaffron stated City Staff chose to bring this item before the Council
due to the amount of time that had elapsed from the time the original permit was initially issued.
VOTE ON THE ABOVE MOTION: Ayes S, Nays 0
s(013) LICENSES
Sansevere moved, Flint seconded, to approve the following licenses. VOTE: Ayes 4, Nays 0
SPECIAL PERMIT
1MS Homes
Luxury Lifestyle Home Tour @ 1150 Lyman Avenue
June 8, 9, 10 & 15, 16, 17 & 22, 23, 24 (Friday, Saturday & Sunday)
Fridays 1.00 p.m. - 7:00 p.m.; Saturdays and Sundays, 10:00 a.m. - 6:00 p.m.
Tony Eiden Company
Minnesota Monthly's Luxury Home Tour @ 480 Sussex Lane
June 8, 9, 10 & 15, 16, 17 & 22, 23, 24 (Friday, Saturday & Sunday)
Fridays 1:00 p.m. - 7:00 p.m.; Saturdays and Sundays 10:00 a.m. - 6:00 p.m
Gear West Ski & Bike
Duathlon (3 Mile Run/20 Mile Bike/3 Mile Run)
Orono Middle School and Surrounding Area as designated on map
Sunday. May 20, 2001
9:00 a.m. - 1 1:00 a.m.
SOLICITOR
Fund for Public Interest Research (FFPIR)
Representative Patrick Rowan
1313 - 5' Street SE
Minneapolis, MN 55414
Page 15
MINUTES OF THE
ORONO CITY COUNCIL MEETING
MONDAY, April 23, 2001
(Licenses, Continued)
Infinity Adv. Inc.
Representative: Anthony Lawler
90 West Country Road CX21
Little Canada, MN 55117
Edward Jones
Representative: Shannon M. jTaggart
1810 North 2" Avenue
Minneapolis, MN 55405
*(814) BILLS
Soosevere moved, Flint seconded, to approve payment of the All Funds Account.
VOTE: Ayes 4, Nays 0.
PUBLIC SERVICE DIRECTOR'S REPORT
None
CITY ATTORNEY'S REPORT
City Attorney Tom Barrett requested an executive session.
ADJOURNMENT
Sansevere moved, While mended, to adjourn the meeting at 9:18 p.m.
Thera being no further business to discuss, the meeting was adjourned at 9:18 p.m.
ATTEST:
Linda S. Vee, City Clerk Barbara Peterson, Mayor
REQUEST FOR COUNCIL ACTION
Date: May 11, 2001
Item No.:
Department Approval: Administrator Approval: Agenda Section:MAY 1 4 2000
Name: Michael P. Gaff o Toning
Title: Planning Director Ui IT yr vnunv
Item Description: Long Lake - Potential High Water Impacts: Consider "No Wake" Regulation
7 he City of Long Lake has received a request from a Long Lake resident asking the City to declare
a "No Wake" restriction during periods of high water. The concern is that boat wakes will result in
wave damage to the shoreline during high water periods. There are currently no Orono or Long Lake
regulations that address this concern. Long Lake staff have requested that Orono review this issue,
which is also on Long Lake's May 15 Cotmcil agenda.
City Engineer Tom Kellogg has indicated the Ordinary High Water (OH W) elevation of Long Lake
is 9447. The 10-year flood elevation is estimated at 945.5' and the 100-year at 946.0'. Based on
the elevation of mast Long Lake Road (which was under nearly a foot of water at the east end of the
Lake), the highest lake level reached as a result of the late April storms was in excess of 947'.
The LMCD makes a'High Water Declaration' when Lake Minnetonka reaches and maintains an
elevation of 930.0' (0.6' above the OHW) for a period of 8 days. The 'High Water Declaration'
triggers enforcement of a'Minimum Wake' regulation. The Sheriffs Water Patrol enforces that
regulation on Lake Minnetonka. A comparable regulation for Long Lake, if adopted, could establish
a High Water Declaration and a Minimum Wake restriction when the lake reaches a level of 945.5'
for some given period of time.
The Police Department perspective on this is that without a boat and staffing, enforcement of such
a regulation on Long Lake is virtually impossible. The Sheriffs Water Patrol due to manpower
constraints may place a low priority on responding to a complaint on Long Lake regarding viola'. ion
of such a regulation. Adoption of an unenforceable ordinance likely will create public expectations
that it will be enforced, and result in complaints when it is not.
Most lakeshore residents with boats probably understand the issue of shoreline erosion potential
during high water periods. However, because there is a boat landing in Long Lake, non-lakeshore
owners do have access to the lake and may not be aware of the problems they can cause. Posting a
sign at the landing, warning lake users of the high water damage potential, may be somewhat
effective but if not enforceable it won't stop the person who is determined to speed around the lake.
It may be worthwhile to further explore how many properties are really at risk from high water
impacts; we've had no complaints or corcems raised by Orono residents, and Long Lake has had one
call. Other options may exis a arc just a few properties affected, such as individual rip -
rapping.
COUNCIL ACTION REQUESTED
Provide direction whether Co, ncil wishes to pursue high water minimum wake restrictions for Long
Lake.
en=F_TINO
REQUEST FOR COUNCIL ACTION MAY 1 4 =
DATE: May KW VHONU
ITEM NO:
Department Approval: Administrator Reviewed: Agenda Section:
Name Lin Vee Public Service Director's
Title City Clerk Report
Item Description: Extension of Joint Powers Agreement for West Hennepin Recycling
Commission - Resolution
Since the time the City began providing curbside recycling service, the City has participated in a
Joint Powers Agreement with the cities of Greenfield, Independence, Long Lake, Loretto, Maple
Plain and Medina for the purpose of administering the curbside recycling program, and to facilitate
cooperative efforts toward planning and promoting other recycling activities.
The West Hennepin Recycling Commission has requested that each of the participating cities extend
the Joint Powers Agreement to be in agreement with the date of the curbside recycling contract. This
summer, the Commission will be going out for bids for curbside recycling for a three-year contract
to run through December 31, 2004. Staff is recommending that the existing Joint Powers
Agreement, which is in effect through December 31, 2002, be extended through December 31, 2004
to coincide with the date of the curbside recycling contract. A resolution extending the Joint Powers
Agreement is attached for Council consideration.
COUNCIL ACTION REQUESTED:
Motion to adopt a resolution approving the extension of the Joint Powers Agreement of the West
Hennepin Recycling Commission through December 31, 2004.
A RESOLUTION APPROVING EXTENSION OF
JOINT POWERS AGREEMENT OF THE
WEST HENNEPIN RECYCLING COMMISSION
WHEREAS, the cities of Greenfield, Independence, Long Lake, Loretto, Maple
Plain, Medina, and Orono entered into a Joint Powers Agreement under the authority of Minnesota
Statute 471.59 in order to create the West Hennepin Recycling Commission for the purpose of
establishing, administering, and operating a curbside recycling program in each of the membercities;
and
WHF'%EAS, the West Hennepin Recycling Commission has recommended extension
ofthe Joint Powers Agreement as revised November 8, 1999 through December 31, 2004 to coincide
with the date of the curbside recycling contract.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of
Orono, Minnesota that the Joint Powers Agreement of the West Hennepin Recycling Commission
be approved and extended through December 31, 2004.
Adopted by the City Council of the City of Orono, Minnesota at a regular meeting
held this 14th day of May, 2001.
ATTEST:
S. Vee, City Clerk
Barbara Peterson, Mayor
Page I of 1
JOINT POWERS AGREEMENT
2000 - 2002 Extension
THIS AGREEMENT made by and among the Cities of Greenfield, Independence, Long Lake, Loretto.
Maple Plain, Medina and Orono (hereinafter referred to collectively as the "Participants") is effective on the da}
and year provided herein.
1. PURPOSE AND AUTHORITY. This Agreement is entered into under the authority of Minnesota Statutes
section 471.59. The Participants have determined that it is to their mutual advantage to form a singlejoint powers
entity that shall establish and operate within the present and future boundaries of the Participants a program for
recycling acceptable materials.
Cities will offer curbside recycling to residents.
2. COMMISSION. There is hereby created the West Hennepin Recycling Commission (the "Commission")
consisting of seven commissioners.
a. Appointment and Tenn. The governing body of each Participant shall, by a majority vote, appoint a person.
who may or may not be an elected official of the Participant's, to serve as a commissioner. Appointments shall be
for a two-year period unless the respective governing body makes the appointment for a lesser period.
Commissioners shall serve until their successors are appointed and qualified. Vacancies shall be filled for the
unexpired term by the appropriate governing body. A vacancy occurs upon the death or resignation of a
commissioner.
b. Compensation. Commissioners shall serve without compensation by the Commission. Reimbursement of
expemxs for each commissioner shall be governed by state statutes and the charter, ordinances, and poiicies of the
Participant that commissioner represents.
c. Officers. The Com niw'on shall choose one of its members as a chairperson. The chairperson shall be
appointed by commission action at the first meeting of the year. The coordinator shall act as a secretary -treasurer.
The chairperson shall preside at all meetings of the Commission. The secretary -treasurer shall keep a complete
record of each meeting and of all proceedings and business of the Commission, keep it's Commissioners regularly
informed of the activities of the Commission by distribution of written minutes to each Commissioner following
each mating, and shall keep an accwate accounting of all receipts and disbursements of the Commission. The
chairperson and secretary treasurer shall sign all contracts authorized by and in the name of the Commission.
d. Mom. The Commission shall meet at such times and places as it shall deem appropriate but at least once
every twelve months. All meetings shall be open to the public.
e. Voting Requirements. .All actions of the Commission shall require a simple majority of the commissioners
present and voting. A. majority of the rommis,�,�ncrs shall constitute a quorum.
f. Financial Accountability. The Commi•,iol shall establish a separate checking account for West Hennepin
Recycling Commission (WHRC) aulhoriz:,. Commission representatives to sign checks. Two authorized
signatures will be required at all times on each check. The Commission will include costs of maintaining checking
account in its annual budget.
The annual honesty bond will be required in the amount not to exceed 10% of anticipated annual WHRC financial
activity. The commission will reimburse Recycling Coordinator for the cost of securing honesty bond.
3. POWERS. The Commission shall establish and oversee the operation of the Program. The Commission shall
have the authority to:
(a) enter into contracts in accordance with Minnesota statutes section 471.345, subd. 5, as may be necessary to
accomplish its purpose;
(b) hire, on an independent contractor basis, such persons as are necessary to operate the Program, including,
but not limited to a Program Coordinator;
(c) lease a site for a central collection facility; and
(d) apply for and administer grant monies as necessary to fund the Program.
In no event shall the Commission incur obligations in excess of its funding as provided in the following pamgraph.
Funding
Funding for the operation of the Program shall come front grant monies available from the Hennepin County
Municipal Recycling Grant, special grant programs, and funds from any sale of recyclable materials. The
Participants agree to support the annual budget of the Commission and that the distribution of Hennepin County
Municipal Recycling Grant funds will be based on each city's percentage of the total household count among the
Participants.
Each Participant agrees to contribute to the Commission any funds it receives from any source for projects or
programs involving recyclable materials. In addition, the Participants may, but are not obligated to contribute
funds additional to the budget to the Commission for the operation of the Program.
Each Participant shall provide funds for any curbside program for that city in excess of the money available from
Hennepin County.
5. PUBLIC EDUCATION. The Participants agree to assist in the distribution of recycling -related information.
The distribution of such information shall be distributed via municipal newsletters, water bill enclosures, general
media news releases, and other mutually agreeable communication methods.
6. EFFECTIVE DATE. The effective date of this Agreement shall be the date upon which the last of the seven
Participants has caused this Agreement to be executed pursuant to an authorizing resolution of its governing body.
7. TERM. This Agreement shall continue in effect until December 31, 2002, unless extended, renewed, or
terminated by the Participants pursuant to the provisions of paragraph 8 below.
8. MODIFICATION. This Agreement may be extended, renewed, terminated or amended by agreement of all
Participants as authorized by resolution of each Participant's governing body.
9. WITHDRAWAL. A Participant may withdraw prior to the expiration of the term of this Agreement or any
subsequent extensions thereof by giving 90 days' notice in the form of a resolution of its governing body, served by
certified mail on the secretary -treasurer of the Commission. Service shall be deemed to have been made on the
date of mailing. Any grant monies or other funds received by the withdrawing Participant or the Commission,
either prior to or after the effective date of withdrawal, that are attributable to the Participant's participation in the
Program prior to its witirdmwal, shall be paid to and remain the property of the Commission.
10. DISTRIBUTION UPON TERMINATION. Upon expiration of or termination of this Agreement, any assets
remaining after the pay -tent of outstanding obligations shall be distributed to the.. Participants in proportion to their
monetary contributions calculated over the life of the Agreement.
11. ADDITIONAL PARTICIPANTS. The number of Participants may be increased during the tern of this
Agreement by amendment, pursuant to the provisions of paragraph 8 above; provided that any new Participant
shall also cause the Agreement as amended to be executed, pursuant to authorizing resolution of its governing
body.
12. EXECUTIVE COMMITTEE. The Commission is empowered to appoint an Executive Committee consisting
of three Commissioners. The Coordinator will be an ex-otTicio member of the Executive Committee. The
Executive Committee will meet when directed to and for the express purpose designated by the full Commission.
Membership on the Executive Committee will rotate among the representatives of the participating communities
on an annual basis, with at least one new Executive Committee member annually.
IN WITNESS WHEREOF the Cities of Greenfield, Independence, Long Lake, Loretto, Maple Plain,
Medina and Orono have, pursuant to authorizing resolution hereto attached, caused this Agreement to be duly
executed.
rn„—,, smETtND REQUEST FOR COUNCIL ACTION
MAY 1 4 20M
GI I Y yr UHUNU
Department Approval: Administrator Reviewed:
Name Gregory A. Gappa
Title Director of Public Services
Item Description: No Parking Sign Forest Lake Landing Street
DATE: May 14, 22001
ITEM NO.: D
Agenda Section:
Pubbc Services Director's Repon
Forest Lake Landing is a dead end street with a small turnaround area near the end of the street.
We.are requesting Council approval to instail a "No Parking" sign at this turnaround area. There
have been cars parking in this area making it difficult to turn around on this street.
COUNCIL ACTION REQUESTED:
Motion to approve installation of a "No Parking" sign at the turnaround area on Forest Lake
Landing.
e�RNEEQUEST FOR COUNCIL ACTION
MAY 1 4 2000
Gi I v ur utyurvu
Department Approval: Adminislratur Reviewed:
Nome Gregory A. Gappa
Title Director of Public Services
Item Description: Golf Course Boulder Retaining Wall
DATE: May 14. 2001
ITEM NO.: `/
Agenda Section:
Public Services Director's Report
The year 2000 Golf Course Capital Budget included $8,000 for the purchase of a leaf blower
attachment for the John Deere Tractor. We purchased a walk behind leaf blower and had the
Public Works crew fabricate an attachment to allow this blower to be pulled behind the tractor.
The cost for this leaf blower was approximately $1,000 leaving $7,000 available in the Capital
Budget.
We would like to use this money for construction of a boulder retaining wall to allow for
expansion of the hole number 1 tee box. The golf course has small tee boxes, which makes it
difficult to move the tee off spot around, resulting in poor turf conditions. We had planned on
installing this retaining wall last year and adjusting the 2000 Capital Budget. However, the
contractor was unable to complete the work before winter. We are requesting approval to install
the retaining wall this spring and adjust the year 2001 capital budget accordingly. The cost for this
work is approximately $6,000 to $7,000.
COUNCIL ACTION REQUESTED:
Motion to approve a budget adjustment for the year 2001 Golf Course Capital Budget to include
$7,000 for the installation of a boulder retaining wall.
ram...,.,,., ...CTINO REQUEST FOR COUNCIL ACTION
MAY 14 2000 DATE: May 8, 2001
Vt 1 r Ur URON0
ITEM NO: I C
Department Approval: Administrator Reviewed: Agenda Section:
Name Ron Momse i LL City Administrator's
Title City Administrator hM' Report
Item Description: Purchase of Property at 3770 Shoreline Drive
The City has identified the property at 3770 Shoreline Drive as a priority for City acquisition, to be
used at least partially as parkland. The property is currently used as a storage yard for a landscaping
business. When the property recently became available, the Council authorized staff to offer
$230,000 for the property. When the property owner countered at $235,000, staff offered $235,000
subject to Council approval, and subject to an environmental review of the property. Therc is
currently a house and a significant amount of junk and debris on the property. Staff estimates the
cost to remove the house and debris will be approximately $20,000. The cost of an environmental
review will be approximately $7,000. The total cost to the City will be $262,000.
When the property adjacent to this property was purchased in 1999, the purchase was funded 50%
from the General Fund and 50% from the Park Fund, to reflect the potential to use the northern
portion of the property for park use and the southern portion for residential use. At this time, the
Park Fund does not have a sufficient balance to fund 5016 of the cost of the current parcel.
Therefore, staffs recommendation is to fund the purchase 50% from the General Fund and 50a/a
from the Community Investment Fund. Because the use of the Community Investment Fund
requires a 4/5ths vote of the Council, this action will be delayed until the May 29 Council meeting.
COUNCIL ACTION REQUESTED:
Motion to approve the purchase of the property at 3770 Shoreline Drive, at a cost of $235,000, and
to authorize the expenditure of up to $27,000 for the environmental review and the removal of the
house and debris from the site. The necessary budget adjustments to reflect the sources of funding
will be brought to the Council at the N' ty 29 meeting.
(137) 3790
38> m� 3p6�
N 6Y OWN
�093``�N. 030.66` VACA�EO RAN
Av E N�
ANA- ` 2? fI o 1 . 30 -, N;
n KO� 1 Dom,, A 13 .5
PARK yti (65)
' ^ 1 I P ,`;� •,moo ��
III G\ N ^ P 10
B0
I I J M80
i N j57 16 sp ..n y ' c
o n
NTYov
~ GS?
a,
I I
1 I N
I I O
1
I I CO) 3
I 1
I I
I I
i I
2k I
460.89 - _ 1
1 I
� I Q
I
� 1 I
(7) i i SPC A�OV( �-pr
M �•
�50 3770 4cdresscs
972 3�p0 790 i 132 534.47 Sf
150 2641----------N-6!°13'34'
— 1383.92
1 1
v
31 ' �DOC NO 5426255 486
rro.........CEIINO REQUEST FOR COUNCIL ACTION
MAY 1 4 2000 DATE: May 10, 2001
(al Y Vr unuVU / /
ITEM NO:
Department Approval: Administrator Reviewed: Agenda Section:
Name Ron Moorse City Administrators
Title City Administrator Report
Item Description: Proclamation Regarding Law Enforcement Week - Resolution
The week of May 13 - 20 has been designated as National Law Enforcement Week. Attached is a
resolution proclaiming the week of May 13 - 20 as Law Enforcement Week in Orono in recognition
of the outstanding police services provided by the Orono Police Department.
COUNCIL ACTION REQUESTED:
Motion to adopt the attached resolution proclaiming the week of May 13 - 20 as Law Enforcement
Week in Orono.
A RESOLUTION PROCLAIMING
THE WEEK OF MAY 13 - 20, 2001 AS
LAW ENFORCEMENT WEEK
IN THE CITY OF ORONO
WHEREAS, the week of May 13 - 20 has been designated as National Law Enforcement
Week; and
WHEREAS, the Orono Police Department provides outstanding police services to the
citizens of Orono and adjacent cities; and
WHEREAS, the officers, support staff, and supervisory staff of the Orono Police
Department are dedicated to providing the highest quality police services; and
WHEREAS, Law Enforcement Week is an opportunity to recognize and thank the members
of the Orono Police Department for their dedicated efforts.
NOW, THEREFORE, BE IT RESOLVED THAT the Orono City Council does hereby
proclaim the week of May 13 - 20 as Law Enforcement Week in Orono; and does also express its
sincere appreciation to the members of the Orono Police Department for their dedication and
outstanding service to the community.
Adopted by the City Council at a regular meeting held on May 14, 2001.
ATTEST:
Linda S. Yee, City Clerk Barbara Peterson,
('M "" ue'eTV4G REQUEST FOR COUNCIL ACTION
MAY 1 4 2000 DATE: Mav 4, 2001
011Y uF Uplow ITEM NO: /).
Department Approval: Administrator Reviewed: Ages a Section:
Name Tom Kuehnl"JC'� City Administrator's
Title Finance Director, Report
Item Description: 2000 General, Special Revenue and Internal Service Funds Budget
Amendments
General Fund Budget Amendments
The total General Fund revenues for2000 are $4,396,389, compared to the total expenditures
of $4,872,746. Total expenditures exceeded total revenues by $476,357, resulting in a
decrease in fund balance from $2,005,873 on 12/31/99, to $1,513,976 on 12/31/00, or a
decrease of 24.5%. This is mostly due to the purchase of two parcels of property at a total
cost of $560,000.
The General Fund fund balance at 12/31/00 is 35.3% of the 2001 General Fund expenditure
budget. This is 10% lower than the desired year-end fund balance of 45% of the budget.
The fund balance should be restored to the desired level when the development of the
recently purchased property on Willow Drive occurs.
1. General Fund Revenues
The year-end revenue for the General Fund is $4,396,389, compared to the budget of
$4,009,480, a favorable variance of $384,909, There are several revenue sources which
exceed the budget by significant amounts, and should be adjusted to match the expenditure
areas that generate or use those revenues. The revenue budget amendments total $194,000,
and affect the revenue sources as shown below. The amended General Fund revenue budget
will be $4,202,480, and the actual revenue will exceed the amended budget by $190,909.
(Please note that only the revenue items with budget amendments are listed, and those items
only add up to the total indicated at the bottom of the Amendment column).
Final Amended
Revenue Source Original Amendment Budget
Building Permits $ 213,000 $ 61,000 $ 274,000
Plan Check/Site Exam Fees 105,000 54,000 159,000
Contracted Inspection Sery 20,000 22,000 42,000
Police Special Services 30,000 13,000 43,000
Interest on Investments 100,000 44.000 144.000
Total General Fund S 4.008.480 $ 194.000 4,202,480
2. General Fund Expenditures
The General Fund operating expenditures at yearend are $4,872,746, compared to the budget
of S4,740,810, or $131,936 over budget. The adopted budget of S4,053,480 was increased
by Council approved amendments totaling $687,330. There are several departments which
require amendments to their expenditure budgets.
The following is a listing of those departments which require budget amendments due to
expenditures exceeding budgeted amounts, and those departments with expenditures
significantly below budgeted amounts. (Please note that only the departments with
budget amendments are listed, and those items only add up to the total indicated at the
bottom of the r.mendment column).
Approved
Final Amended
Department
Budget
Amendment
Budget
Mayor and Council
$ 60,650
$ 520
$ 61,170
Administration
216,230
10,350
226,580
Assessing
95,400
4,810
100,210
Legal
91,200
26,100
117,300
Central Services
189,770
15,220
203,990
Police Protection
1,634,420
81,690
1,716,110
Fire Protection
266,810
4,590
271,400
Building and Zoning
373,960
55,420
429,380
Public Works
519,040
(27,500)
491,540
Frrgincering
9,150
4,190
13,340
Recycling
79,580
(10,000)
69,580
Special Pmjr:ts
45,000
(44,380)
620
Contingency
843.$50
20,830
864380
Total General Fund
S 4,740.81 Q
S 141,840
$ 4,882,650
A brief explanation of the significant overages follows:
Administration The amendment is to fund increased Personal Services costs.
Assessing The amendment is to fund increased costs for contracted assessing
services.
Lad The amendment is necessary to fund the cost of one matter in litigation
during the year, totaling $53,751.
Central Services The amendment is to fund higher than anticipated costs
particularly in the areas of buildings and grounds maintenance, insurance,
newsletter publishing and heat and electric utilities.
Police Protection The amendments are required for greater than anticipated
wages ($8,260); overtime ($20,640); health, life insurance and other benefit
increases ($12,300); gasoline costs ($11,850); legal fees ($35,320), and
professional services related to the police chief replacement search ($14,750).
Building and Zonina The amendment is necessary to fund increases in Personal
Services costs. Changes in personnel, a general review of position classifications,
and a pay survey resulted in many significant adjustments to the wage and salary
scale during 2000. This impacted several departments.
Special Projects and Contin¢encv Within this department $45,000 was budgeted
for adjustments to wages and salaries and professional services. These amounts
are allocated to offset increases in those areas in the various departments to the
extent available. The contingency account amendment is primarily to fund the
costs related to the consolidation project ($30,100); and to the comprehensive
plan update (520,110).
Special Revenue Funds Budget Amendments
The Special Revenue Funds consist of the Park Fund, the Improvement and Equipment
Outlay Fund, the Community Investment Fund, and the Drug/Felony Forfeiture Fund.
During the year as expenditures from the Special Revenue Funds which required budget
amendments were presented to Council, it was standard practice to include a request for a
formal budget adjustment. There is one exception - vhere the expenditure item was
approved by Council but was not reflected in an amendment to the budget. The City's
auditor recommends formal budget amendments for these items be approved by the City
Council.
The revenue budgets of the Special Revenue Fonds should be adjusted to reflect higher
than anticipated revenues, as follows:
Park Fund revenue budget increases to Investment Income, $6,100; and Park
Dedication Fees, $31,000.
Imprp,vement and Caoital Outlay Fund revenue budget increases to Sale of
Equipment, $10,400.
1,ruatFelony Forfeiture Fund This fund typically has no revenue - expenditures
Budgeted as the amount of either is subject to wide fluctuation. 3 ne revenues
from the sale of forfeited property totaled $10,070, and the fund earned interest
income from the investment pool of 51,830. Those two items are the revenue
budget amendments.
The following c the amendments to the expenditure budgets of the Special Re•,enue Funds:
Budget
Amendment
Park Fund:
Willow/County Rd. 6 West - Trail 47,780
The amendment is to fund the reimbursement to Bancor for costs incurred in the
construction of the trail. The park fees remitted to the City by Bancor total
$72,500. The City has 524,720 remaining from the park fees collected from
Bancor.
Improvement and Equipment Outlay Fund: No amendments required
Community Investment Fund: No amendments required
Drug/Felony Forfeiture Fund:
Miscellaneous Charges -
$ 1.970
Related to the costs incurred prior to the sale of
confiscated property.
Internal Service Fund
Budget
Insurance Fund:
Amendment
Revenues:
Insurance Charges (to departments)
$ 12,250
Interest on Investments
3,450
LMCIT Dividends
21.800
Total
S 37.500
Expenditures
Worker Compensation $ 4,600
General Package Liability 5,500
Umbrella Liability 735
Deductibles & Other Expenditures 15.560
Total S 26,435
COUNCIL ACTION REQUESTED: Approval of the 2000 budget amendments for the
General, Special Revenue and Internal Service Fonds as presented; to he effective December
31,2000.
CITY OF ORONO - GENERAL, SPECIAL REVENUE AND INTERNAL SERVICE FUNDS
COMPARISON OF BUDGETED TO ACTUAL EXPENDITURES
BUDGET AMENDMENTS REQUESTED AS OF 12/31/00
Budget
Actual
Requestee
Od*W
Amendments
Expenditures
Requested
Budget
Adopted
Approved
Amended
Actual
Overl(Under)
Budget
Final
Carry Over
Budget
By Counts
_ _Budget_--
Fxpemlitures
Amended Su
Amendment
Budget
to 2001
GENERALFUND
Mayor B Council
60,650
0
60,650
61.161
511
520
61,170
0
Administration
216,230
0
216,230
226,571
10,341
10,350
226,580
0
Elections
10,140
0
10,140
8,984
(1,156)
0
10,140
0
Finance
167,550
0
167,550
167,242
(308)
0
167,550
0
Assessing
q$,400
0
95,400
100,210
4,810
4,810
100,210
0
Legal
91,200
0
91,200
117,277
26,077
26,100
117,300
0
Human Services
17.490
0
17,490
15,390
(2,100)
0
17,490
0
Cani Services
188, 770
0
188,770
203,983
15,213
15,220
203,990
0
Poll" Protection
1,638,640
(4,220)
1,634,420
1,716,103
81,683
81,690
1.716,110
0
Fin Protection
266,810
0
286,810
271,393
4583
4,590
271,400
0
Building 8 Zoning
373,960
0
373,960
429,378
55,418
55,420
429,380
0
Public Works
519,040
0
519.040
489,885
(29.155)
(27,500)
491,540
0
Engineering
9,150
0
9,150
13,331
4,181
4,190
13,340
0
Recycling
79.580
0
79,580
69,515
(10,066)
(10,000)
69,580
0
Parks 6 Rec
65,820
0
65,820
62.731
(3,089)
0
65,820
0
Special Services
0
Polka
22,050
0
22,050
15,051
(0,999)
(6,620)
15,430
0
Land Use App
34,000
0
34,000
40,602
6,002
6,620
40,620
0
Spec Pro)-0onting
0
Personal Serv,
30,000
0
30,000
0
(30,000)
(30,000)
0
0
Prof Sery
15,000
0
15,000
612
(14.388)
(14,380)
620
0
Contingency
47,000
7,650
54,650
75.477
20.827
20,830
75,480
0
Land Purch
0
560,000
560,000
558,950
(1,060)
0
560,000
0
Transfers Out
105,000
123,900
228,900
228,900_
0_
.. __ 0_
__228,900
_ _0_
Totals
_ 4,0.53,480
687,330
4740810
4,872.748
_31
141.840
4,882,650
- _ 0_
SPECIAL REVENUE FUNDS
PARK FUND
Navarre Play; ground
60,000
35.000
95,000
93,151
(1,849)
0
95.000
0
Roll Dock
3,000
0
3,000
0
(3,000)
0
3,000
0
1999 Park
_0
12,150
12.150
12,150
0
0
12.160
0
NAIIoiv,4 613 Vil i nail
0
_0
0
_ 47,775
47,775
471
47,780
0
Totals
63.000
4 1150
_ 1 00.150
16.3078
42,925
471
_157,930
0
.uumrenu,reww.rr�
CITY OF ORONO - GENERAL, SPECIAL REVENUE AND INTERNAL SERVICE FUNDS
COMPARISON OF BUDGETED TO ACTUAL EXPENDITURES
BUDGET AMENDMENTS REQUESTED AS OF 12131100
Budget
Actual
Requested
Original
Amendments
Expenditures
Requested
Budget
Adopted
Approved
Amended
Actual
Oven(Under)
Budget
Fiml
Cvey Owr
Budget
By Coundl_
Budget
Expenditures
Amended Budget
Amendment
Budget
to2001
IMP -EQUIP OUTLAY FUND
U. Pie Equip 2000-Pub Safety
0
13,300
13,300
13.301
1
0
13,300
0
PW Compactor - Streets
0
1,887
1,887
1,887
0
0
1,887
0
Fes Marline - Cent Sere
0
2,ODB
2.008
2,321
313
0
2,008
0
Fuel Dtselo Station - Cent Sery
0
3,375
3.375
2,750
(e25)
0
3,375
0
Cvpn 6W Colter -Cent Sery
0
0
0
2,231
2,231
0
0
0
CnWn-Admn-Cent Sery
0
0
0
1,050
1,050
0
0
0
Govern SoMmm - Cent Sery
0
37.000
(a) 37,000
30,862
(6,138)
0
37.000
0
Plow Trucli(I M)- Sueets
43.000
43,000
35,401
(7,599) }
0
43,000
0
Plow Truck (314 ton) - Streets
29,000
29.000
22.191
(61809))
0
29,000
0
Sendna Plow - Streets
8,000
8,000
16.503
8,503 }
0
81000
0
compuw lame
8,500
8,500
5.451
(3,049)
0
8,500
0
B&Z 0" equip
1.100
1,100
1.744
644
0
1,100
0
PW w Wing room - Streets
1.000
1.000
0
(1,000)
0
1,000
0
C'"w Bay PO IMP, - Cent Se'
11,100
11,100
8,710
(2,390)
0
11,100
0
Misc Equip - Streets
1,350
_
_ 1,350
0
(1,350)
0
1,350
0
Totals
103 050
57 570
=
1_60.620
_ _144.402
(16.2M
0
160,820
0
-.
(a) Carry over hom prior year
-
-.-
COMMUNITY INVESTMENT FUND
0
Trans to HRA Debt
130,000
0
130.000
130.000
0
0
130,000
0
Totals
13L,000
= _ 0
130,000
130,tW0
= _ 0
0
130 0�00
0
DRUGIFELONY FORF FUND
ForNltura expenses
0
0
_ _ 0
.18,_SS
1,9SS
1.970
1,970
0
WERNAL SERVICE FUNDS
INSURANCE FUND
Walker canpeneellon
30,000
0
30,000
34,592
4.592
4.611110
34,800
0
Genvel Padugs Llwddy
82,580
0
82,560
88,098
5.538
S.640
88,100
0
UrMralls Liability
18.125
0
18.125
18,848
723
735
18,860
0
Ind Deduchbin a Other E.0
5,000
0
5,000
20,560
15,560
16,6SO
20.560
0
Totals
135.BS6
0
135885
_-_ 182098
26i13
2BA35
1(91.20
0
awnr�ea,�ewy.us
'
Cni sscFTINO REQUEST FOR COUNCIL ACTION
MAY 14 2000 DATE: May 9, 2001
ka I r ur ORONO
ITEM NO: ! !
3
Department Approval: Administrator Reviewed: Agenda Section:
Name Ron Moorse City Administrators
Title City Administrator Report
Item Description: 2001/2002 Police Officer Contract Settlement
An agreement has been reached with the Police Officers fcr the 2001/2002 Labor Agreement. The
main terms of the settlement are as follows:
au 2002
Jan. i July l ;P—J July 1
Wages 3.00% .5% 3.5% .5%
Insurance $410/month $460/month
A full explanation of the settlement will be provided at the Council meeting.
COUNCIL ACTION REQUESTED:
REQUEST FOR COUNCIL ACTION
MAY 1 4 200U DATE: May 14, 2001
G1 V ur UKUNO
ITEM NO:
Department Approval: Administrator Reviewed: Agenda Section:
Name Lin Vee Licenses
Title City Clerk
Item Description: List of Licenses for Council Approval
SPECIAL EVENT
I. Applicant:
Event:
Location:
Date:
Time:
Amy Beeler Herman
Wedding Party
3825 Cherry Avenue
August 4, 2001
4:00 p.m. - 10:00 p.m.
2. Applicant:
Gregg Tripp
Event:
July Party
Location:
3229 Casco Circle
Date:
July 1, 2001
Time:
1:00 P.M. - 11:00 P.M.
3. Applicant:
Rick Bom / Matthew Stewart
Event:
0 of July Celebration
Location:
1535 Bohns Point Rd
Date:
July 4' Party
Time:
2:00 p.m. - Midnight
4. Applicant:
Le Gran Homes. Corp.
Event:
Parade of Homes
Location:
825 Willow Drive
Date:
September 8 - September 30, 2001 (Thursday's - Sunday's)
Time:
12 noon - 6:00 p.m. on days listed
COUNCIL ACTION REQUESTED:
Motion to approve/deny the above licenses.
Date: April 30, 2001
To: City Clerk
From:
Stephany Good, Chief of Police
Re:
Special Event Permit �%
I have reviewed the application submitted by Amy Beeler Herman. I have no objection to th!
issuance of this permit providing the following conditions are met:
— Parking must be restricted to one side of the roadway. Permit holder must post the road
and remove the posting at the conclusion of the event.
Music must end by 10:00 p.m.
PARADES & SPECIAL EVENTS PERMIT APPLICATION
CITY OF ORONO, MINNESOTA
Permit #:
Fee: $50.00
Date Received:
Phone Number.9sal . '7 71. 7 ZLI A
Location of Parade or Event:
Date of Event: i�q. 4, of o C, Hours of Event: oT P• �. .
Type of Event:
Insurance Company: v-Va-�tFoaf,'n Amount:'.1 �cr• CC,'
(Copy of insurance certificate, on which the City, its agents and employees are named as
additional insured, must be submitted with this application)
I am aware of all applicable State and other laws regarding parades and special events
and will abide by same. I also agree to hold the City of Orono harmless from all
liabilities that may arise directly or indirectly from the parade or special event
approved by the granting of this permit.
I understand some events may require off -duty or reserve officers and a fee may be
qui red for these services.
Z 1,- 91310
■. ■ �-
�i ..
Date: April 30, 2001
To: City Clerk
From: Stephany Good, Chief of Police 9
Re: Special Event Permit - July Party
I have reviewed the application submitted by Greg Tripp at 3229 Casco Circle. Providing the
following conditions/restrictions are met, I have no objection to the issuance of the permit.
— Parking must be restricted to one side of the roadway.
— Permit holder must post the street.
— Live music must end by 10:00 p.m.
— Permit holder must take down signs at end of party.
— Officer may revoke permit for any reason.
PARADES & SPECIAL EVENTS PERMIT APPLICATION
CITY OF ORONO, MINNESOTA
->, Permit #:
Fee: S50.00
v;;C��� Date Received: H--/6-ot
Grt1 0C
Phone Number: 96 K//-//se7
Name: G
Address: 3 P.7 4
City, state, Zip: lA 0. ,>., sYl �✓ SS'3 9 /
Location of Parade or Event:ihvt rr
Date of Event: J t I I Hours of Event: 1, oo Piet l�••�
Type of Event: 1'0,k2T�e _
InsuranceCom^any: SItelk rG., . Amount:
(Copy of Insu..nce certificate, on which the City, its agents and employees are named as
additional insured, must be submitted with this application.)
I am aware of all applicable State and other laws regarding parades and special events
and will abide by same. I also agree to hold the City of Orono harmless from all
liabilities that may arise directly or indirectly from the parade or special event
approved by the granting of this permit.
I understand some events may require ,)ff-duty or reserve officers and a fee may be
required for these services.
Signature
Date: April 30, 2001
To: City Clerk /
From: Stephany Good, Chief of Police/
Re: Special Event Permit /
The permit application submitted on behalf of Richard Bom has been reviewed. The following
questions/concerns should be addressed:
— There must be approval/permit from the LMCD, Water Patrol, and Fire Department due
to the fireworks display.
— Must have security officers
— No Parkin¢ on Bohn's Point Road. Permit holder must post Bohn's Pt. Road.
Music must be completea uy 10:00 p.m.
Should the permit be filled out/signed by the owner, Mr. Bom, rather than Mr. Stewart?
Insurance information to be provided.
Once above conditions are met, I have no objection to the issuance of the permit.
PARADES & SPECIAL EVENTS PERMIT APPLICATION
CITY OF ORONO, MINNESOTA
Permit #:
Fee: S50.00
Date Received:
Phone Number: LVI;L 205-a499
Name: WAT kn STF_lafl2�
Address: i535 �oNrls PT $Zn
City.State.zip: 09QN13 Yrtt. SS3'sl -930a
Location of Parade or Event: 15 35 —?� o Ny4s 1PT (Z.o
Date of Event: (i)Fo—L4 'A _HoursofEvent: R'ce—LL:e4Pm
Type of Event: Hi-b OF CS1S\0MVea
Insurance Company: Amount:
(Copy of insurance certycate, on witiclt the City, its agents and employees are named as
aMitional insured, must be submitted with this application)
I am aware ofall applicable State and other laws regarding parades and special events
and will abide by same. I also agree to hold the City of Orono harmless from all
liabilities that may arise directly or indirectly from the parade or special event
approved by the granting of this permit.
I understand some events may require off -duty or reserve officers and a fee may be
required for these servtc s.
' //� fCl�,�, .X� 3-cam - o
Date
Approved: 11 Denied: 11 By:44, //��-- `
Date: April 30, 2001
To: City Clerk
From: Stephany Good, Chief of Police �9
Re: Special Event Permit - Parade of Homes
I have reviewed the application submitted on behalf of LeGran Homes. Providing the following
conditions are met, I have no objection to the issuance of this permit.
— Parking most be restricted to one side of the roadway.
— Permit holder must post the road with signs, and most remove them at the conclusion of
the event.
PARADES & SPECIAL EVENTS PERMIT APPLICATION,.-..
CITY OF ORONO, MINNESOTA
OfIYu crlGr:,.
Permit #:
Fee: S50.00
Date Received: {L �•2/�
�3
Phone Number: 74-v- 780-.S7s4-
Name: Lt Grz&2? lto m a.s e a
Address: /, 9 / 9 ya L-e.' v f
City, State, Zip: l La, J & 197 al d ,!s-4rVy/'
Location of Parade or Event: 92 S W I i ofy, a.) D2t Ve-
-rh A" 4Atr cu..ogy
Date ofEvent:98-01 -� 9-30_01 Hours ofEvent:L,';;e Z 6:0-Erw
Type of Event:1%9&2e-
Insurance Company: �evaLte, on whRLL a, u Amount: 9�, Cd0 _
(copy of lnsurance certificaich the City, i!s agents and employees are named as
additional insured, must be submitted with this application.)
I am aware of all applicable State and other laws regarding parades and special events
and will abide by same. I also agree to hold the City of Orono harmless from all
liabilities that may arise directly or indirectly from the parade or special event
approved by the granting of this permit.
I undrrStand some events may require off -duty or reserve officers and a fee may be
required for these services.
CITY OF ORONO
check register
Cnnsv�n .rccTlN�
MAY 1 4 2000
CI I Y ur unul9u
Cheek
Pay
Check
Check
Number
Employee Name
Perl.d
Amount
Date Check States
N9113
VOID
9
$0.00
5 l Vold
049114
JOHNSON, WRY ANN
9
$790,47
5=1 Outstanding
049115
DODGE, RACHEL M.
9
$897.35
SWI Outstanding
N9116
LESKINEN, DENISE M.
9
5701.88
5=1 Outstanding
049117
MOORSE, RONALD J.
9
$1,789.28
5=1 Outstanding
049118
VEE. LINDA S.
9
$1.270.14
SR (Outstanding
049119
KUEHN, THOMAS M.
9
$1,098.50
5001 Outstanding
049120
OLSON, RONALD J.
9
$38.32
SrMl Outstanding
049121
PETTIT, SANDRA K.
9
$378 38
5=1 Outstanding
049122
ANDERSON. BRUCE L.
9
$390.77
5QJ01 Outstanding
049123
BORZIEN, SUE A.
9
$707.ea
WMI Outstanding
049124
BORIS. SCOTT W.
9
$1.087.19
5,= Outstanding
049125
BUDIG, STACIE M.
9
3704A1
512701 Outstanding
U9126
CARLSON, MICHAEL B.
9
3281.80
5/2J01 Outstanding
U9127
CORNICK, JAMES L.
9
$1.227.05
SWI Outstanding
049128
DEMBOUSKI, JAY C.
9
$1,401.99
Si Outstanding
049129
ERICKSON, KURTR
9
$1.266.23
5=1 Outstanding
0/9130
FARNIOK, CORREY L.
9
$1.784.62
5=1 Outstanding
U9131
FISCHENICH, DAN T.
9
$1,325.65
5=1 Outstanding
U9132
FISCHER. CHRISTOPHER K.
9
$1,375,15
&=I Outstanding
049133
GOOD, STEPHANY R.
9
92,001.1E
64/01 Outstanding
U9134
JOHNSON, BRADLEY P.
9
$1.715.82
5=1 Outstanding
049136
JOHNSON, JEFFREY
9
$1.043.24
5=1 Outstanding
049136
MADSON, ADRIENNE M.
9
S657.51
5RA10Wtanding
U9137
MCNALLY, STEVEN A.
9
$1.217.36
5=1 Outstanding
0491M
MCNICHOLS, DAVID L.
9
S550.40
5=1 Outstanding
049139
MOROWCZYNSKI, JAMES
9
$1.622.42
5001 OutstarA'ng
0/9140
PERSELL, WILLAM R.
9
$42641
5rMlOutstanding
049141
SCHOENHOFF, JOHN B.
9
$1.41227
5=1 Outstanding
049142
TOMCHECK, LAWRENCE F.
9
$364.99
52Dt Outstsnding
M9143
TOMCZYK, MARK W.
9
$1.279.84
5=1 Outstanding
0491"
WITTKE. ANTHONY A
9
$98771
5=1 Outstanding
049145
HENDRICKS, RONALD J
9
$741.41
tk= Outstanding
0491"
LEE, JOSEPH P.
9
$240.73
Il,=I Outstanding
N9147
BOLTERMAN, 4AATTHIEN A.
9
S977.64
Swill Outstanding
U9148
BOTTENSERG. WENDY C.
9
$1.008.56
ST/AI Outstanding
U9149
DAVIS, MARC L
9
$1,211.61
6=1 Ousanding
049150
GAFFRON. MICHAEL P
9
$1.27961
5001 Outstsnding
049151
GAPPA, GREGORYA
9
$1,64/.26
5=1 Outstanding
049152
MEYLR, WILLWAC
9
$54t 73
Ml Oulstsnding
049.53
OWN. LYLE E
9
$14019
52 1 Outstanding
U9154
WEINBERGER, PAUL E
9
$1,299.15
5=1 Outstanding
N9155
BRINKHAUS, JOHN F
9
11 N
5=1 OuNlanding
N9156
DEBAERE. DONALD L
9
$1,004.30
5201 Oulstsndmg
N9157
GREGORY. JAMES D
9
$703,39
5011001 Outstanding
05/01/01709 AM
Pie 1
CITY OF ORONO
05101/01 7:09 AM
Page 2
check register
Check
Pry
Check
Check
Numher
Employ" Name
Period
Amount
Data Check Status
019188
HANSEN, STEVEN
9
f1,325.75
5/2/Ot Outstanding
049159
OBERAIGNER, SCOTT G.
9
$614.93
5001 Outstanding
049160
OBRIEN, RANDY L.
9
f528.50
WWI Outstanding
049161
PALMER. GREGORY A.
9
178992
5/2J01 Outstanding
049162
RATHSUN,BARRYJ.
9
$980.66
S12J01 Outstanding
049163
SKREEN, DALE S.
9
$1.004.73
SIMI Outstanding
049184
ABRAHAMSON. FRED IN
9
$156.19
U2101 Outstanding
049165
SIX, MILTON. H.
9
$67.41
5201 Outstanding
049186
OAS, DANIEL O.
9
f118.21
5201 Outstanding
049167
PEICKERT, GARY J.
9
S232.48
5001 Outstanding
049168
ROSS. J011N A.
9
$140.80
5WIOutstandng
049169
STEFFENHAGEN, RONALD
9
$1.270.69
5 l Outstanding
049170
STORK, JOHN T.
9
$21269
5 1Outstanding
$51,26788
FILTER: ((year—'2001' and [pay period) in (9))) and [pay group) in ('01')
CITY OF ORONO
check register
Check
Pay
Check Check
Number Employee Name
Period
Amount Data Check Status
81R�.?^1lMO'aeau�.cl
._
: �.. :"'...'
:'LI;YS,Pn^... _ _, ; .:.
049171
PETERSON, BARBARA
5
$323.22 5114101 Outstanding
049172
MOORSE, RONALD J.
5
53a6.31 W14101 Outstanding
049173
SANSEVERE. ROBERT K.
5
$269.36 U14/01 Outstanding
049174
FLINT. RICHARD
5
$269,36 5114101 Outstanding
049175
NYOARD, JAY
5
$269.36 5114/010utstanding
049170
WHITE. JAMES M.
5
$269.36 5114/01 Outstanding
$1.746.97
FILTER: ((year-'2001' and [pay period) in (5))) and [pay group] in ('07)
OSH 1ro16:a9 AM
Page 1
CITY OF ORONO FrlEay, May 11. 2001
Check Summary Register Page 1 a13
Name
Check Dale
Check Arht
10100 Primary Cash
Pad Chid 071116
MTI DIST CO.
5114I01
$88.09
Pad Chk9071117
MUNICILITE CO.
5114101
$187.86
Pad Chk/ 071118
NAVARRE HARDWARE
5114101
$261.18
Pad Cell 071119
Vold
5/14101
50.99
Pad Choy 071120
NCPERS GROUP LIFE INS
5114101
$156.00
Paid Chid 071121
NORTH STAR CHAPTER I.C.B.O.
5114101
545.00
Pad ChM 071122
OLD DUTCH FOODS INC.
5I14/01
$14,70
Pad ChM 071123
OLSON, RON
5/14N1
$30.36
Pad Chair 071124
OMAN. LYLE
5114101
$142.47
Pad Choy 071125
PEPSI-COLA
6114101
5503.80
Paid Chid 071126
PIONEER
5114/01
$293.73
Pad ChM 071127
POWERCLEAN COMPANY INC.
5/1401
$1,946.23
Pad ChM 071128
PRAIRIE OFFSET
6/14101
$93.63
Paid ChM 071129
PRAIRIE RESTORATIONS INC.
5114101
$559.13
Paid ChM 071130
PRECISION BUSINESS SYSTEMS
6014/01
$218.66
Pad ChM 071131
OWEST
5114101
$1,420.38
Pad Chkt 071132
RELLANT ENERGY
5114MI
$2.823.93
Pad ChM 07I M
RICKS SUPERVALUE
5114MI
$13.40
Paid ChM 071IN
SAGE PUBLICATIONS
5M4/01
$25.00
Pad ChM 071135
SEARS
$/14101
$224.51
Pad ChM 071136
SENIOR COMMUNITY SERVICES
5114101
$3.793,50
Pad ChM 071137
SIGNS OF THE SEASON
5114N1
$29.82
Pad ChM 071138
STA-WE LOCKSMITH
5/14101
$86.42
Pad Chair 071139
STANTON GROUP
511401
5219.25
Pad Choy 071140
STAR TRIBUNE
5114M1
$11180
Pad Choy 071141
STAR WEST
SA4101
$46586
Pad ChM 071142
STATE OF MINNESOTA - VA
5114/01
$6,111.60
Pad Choy 071143
STREICHERS
5114/01
$371.68
Pad ChM 071144
SUN NEWSPAPERS
5114101
$69.30
Pad ChM 071145
THORPE DIST CO.
5114/07
$259.00
Pad Choy 071146
TOLL GAS 8 WELDING SUPPLY
W14101
$64.32
Pad ChM 071147
TONKA EQUIPMENT COMPANY
5114101
$170.61
Pad ChM 0711"
TRACY TRIPP FUELS
5114101
$8,449.62
Pad Chk8 071149
TREADWAY GRAPHICS
5/14/01
$1.417,70
Pad Choy 071150
TRI STATE PUMP
U14101
5662.50
Pad ChM 071151
TWIN CITY GARAGE DOOR CO.
5114101
$90.88
Pad Chair 071152
TWIN CITY STRIPING
U14/01
118.200.00
Pad ChM 071153
UNIFORMS UNLIMITED
511401
$1,325,47
Pad Chka 071164
UNITED RENTALS
511410I
$2.23201
Paid ChM 071155
VERIZON DIRECTORIES
5/14N1
$29.17
Pad Chkt 071158
VERIZON WIRELESS
U1401
$670.72
Pad ChM 071157
VILLAGE CHEVROLET
U14101
$2398
Pad Chet 071158
WESTONIUI GLASS SERVICE
5114101
$40,00
Pad CeM 071159
WESTSIDE EQUIPMENT
S/14101
$32.42
Pad ChM 071160
WIDMER INC
5114/O11
$910.00
Pad Choy 0'1161
WRIGHT HENNEPIN ELECTRIC
5114MI
Sum
Pad CMt 071162
XCELENERGY
5/14101
59.060,41
Pad ChM 071163
ZARNOTH BRUSH WORKS
5114/01
$Ml 00
Pad ChM 071199
ALDRICH. ROBERT D
U14101
$133 19
Pad ChM 071200
ANCHOR PAPER
6/1401
5607 05
CITY OF ORONO Friday, May 11, 2001
Check Summary Register Page 2 of 3
Nam, Check Date Check Amt
Pad ChM 071201
AT BT-
5114101
$15.79
Paid ChM 071202
AT 8 T WIRELESS SERVICES
5/14101
$64.52
Pad ChM 071203
AUGIES MOBILE CHEF
5/14/01
$139,86
Pail ChM 071104
BAYSIDE FLORAL
5114101
$31.63
Paid Chk9071205
BOA- FORENSIC SCIENCE LAB
5/14101
$360.00
Paid ChM 071208
BERGERSON-CASWELL INC.
5/14m1
$99.50
Pad ChM 071207
RIFFS INC.
5114/01
$70.28
Pad ChM 071208
BITUMINOUS ROADWAYS INC.
5114101
$135.79
Pad ChM 071209
BLACKOWWL 8 SON
W14/01
$303.50
Pad ChM 071210
BOTTENBERG. WENDY
5/14101
$273.45
Pad ChM 071211
BUDGET PRINTING
W14/01
$145.54
Pad Chia 071212
BUDIG. STACIE
611001
$51.33
Pad ChM 071213
CARGILL SALT
5114MI
$2,111,93
Pad ChM 071214
CATOO PARTS B SERVICE
5/14m1
$15.90
Pad Chat 071215
CHUNKS LAKESHORE AUTO
5114/01
$4.981.87
Pad ChM 071216
VW
5114/01
$0.00
Pad ChM 071217
COFFEE MILL
5114101
$139.00
Pad Chat 071215
COMARK GOVERNMENTBED SALES
5114/01
$1.578.19
Pad ChM 071219
CYS UNIFORMS
5114101
$109.59
Pod ChM 071220
DAKOTA CO. TECHNICAL COLLEGE
5114/01
$340.00
Pad ChM 071221
DI Y DISTRIBUTING CO.
5/14/01
$15520
Pad ChM 071222
DCA-WIRE ONLY
U14101
$669.19
Pad ChM 071223
DEPT OF ADM - INTERTECH GROUP
5114/01
$21361
Pad ChM 071224
DOWS
W14101
899.46
Pad ChM 071225
E-Z RECYCLING
U14101
$5.820.12
Pad ChM 071226
EARL F. ANDERSON & ASSOC.
5114/01
$112.17
Pad ChM 071227
EAST SIDE BEVERAGE
5114101
$114.25
Pad ChM 071228
ELECTRIC PUMP
U14101
S4.732.76
Pad ChM 071229
EMERGENCY AUTOMOTIVE TECH INC
W14101
97784.03
Pad ChM 071230
ENCHANTED GARDEN FLORAL
511V01
$36.76
Pad ChM 071231
ENGINEERING REPRO SYSTEMS
5114101
$1,494.89
Pad ChM 071232
FARNIOK, CORREY
5/11/01
$16.51
Pad CNu 071233
GB KSERVICES
U14101
ts48.25
Pad ChM 0712M
Void
W14101
50.00
Pod ChM 07IM5
GAFFRON. MIKE
W14101
$78,47
Pad ChM 071236
GAPPA.DREG
U14MI
$165.60
Pad ChM 071237
GOLF COURSE SUPT ASSN OF AMER.
5/14/01
$285,00
PW ChN 071238
GOPHER STATE ONE -CALL
5/11/01
$19.20
Pad CNd1071239
HAMEL BUILDING CENTER
U14101
$120.56
Pad CNd 071240
HAWKINS CHEMICAL
5/14A11
51.141.10
Pad ChM 071241
HENN COUNTY TREAURER 1
5114101
S578.50
Pod ChM 071242
HENNEPIN COOP SEED EXCHANGE
6114/01
566.03
Pad ChM 071243
HENNEPIN COUNTY
5114tOt
$52.57
Pad ChM 0712"
HENNEPIN COUNTY INFOR TECH DPT
5/14m1
S48.72
Pad ChM 071245
HENNEPIN COUNTY SHERIFF
5/14/01
$147.45
Paid Chdl 071246
HOLIDAY INN EXPRESS
5114MI
33MBS
POW ChM 071247
IIMC
W14MI
016000
PW ChM 071245
IKON OFFICE SOLUTIONS
W14/01
$41396
PW CIIM 071249
INTOXIMETERS
U14101
i181 05
Pod ChM 071250
JOHNSON. JEFF
W14/01
$74 a9
Paid CNtt 071251
JOHNSON. MARY ANN
W14/01
$11 38
CITY OF ORONO Friday, May it. 2001
Check Summary Register Page 3 of 3
Nam Check Dab Check Amt
Pail ChM 071252
KENNETH N. POTTS, PA
5114101
$2,630 48
Pail ChM 071253
LABOR RELATIONS ASSOC
5114101
S40.M
Paid ChM 071254
LANGE'S BODY SHOP
5/14101
$385.00
Paid ChM 071255
LEAGUE OF MN CITIES
5114101
$597,00
Paid ChM 071256
LESKINEN, DENISE M.
6/14101
$40.63
Paid ChM 071257
LOGIS
W14101
$1,184.00
Pail ChM 071256
MACQUEEN EQUIPMENT
5114m1
$298.55
Pak!ChM 071269
MET COUNCIL ENVIRONMENTAL SER
5/1001
$18.464.07
Paid ChM 071280
METROPOLITAN COUNCIL
5/14/Ol
$300.00
Paid ChM 071251
MIDWESTASPHALT
5114101
$236.24
Paid ChM 071262
MIDWEST COCA COLA BOTTLING CO
5/14/01
$1,459.75
Paid ChM 071263
MINNEAPOLIS OXYGEN COMPANY
5114101
$43.20
. Paid ChM 071264
MN DEPT OF PUBLIC SAFETY
5/14101
$225,00
TOWI Checks $115.501.56
^O kl.F71NG
MAY 14 20M
cu r u� uti�vu
Og1"TION
ITEMS
COUNCIL MEETING
MAY 1 4 2000
OF plfY ur ut4oNu
THOMPSON&THOMPSON
LAWOFFICE
Gar, A. Th..peon' PLLP Ph..952-474-3221
Key M. Tb..p... 17717 Highway Seven Fax 952-474-2575
• R..I P..ywry La. Sp .... 61 " •.eeTING Minnet.,,k.,MN55345
G.ea.d b, Mi.—t.9n. MAY 1 4 2W0
B.,A-i.6.. April 30, 2001
Mayor and Council ur unuivu
City of Orono
P.O. Box 66
Crystal Bay, Minnesota 55323
Re: 2696 Caroline Avenue
Our clients Mr. and Mrs. Joseph Clemons
2690 Caroline Avenue
File NO. 1024-1
All through the process of approving permits for the construction of the Bupp property on
2696 Caroline Avenue, my clients and other neighbors urged, asked and demanded that a
drainage plan be approved and installed prior to occupancy being allowed. At the city
hearing on the variance request, the city staff said a drainage plan set forth in the attached
February g, 2001, letter from Greg Gappa had been submitted but had not yet been
constructed. The proximity of the newly built house to the Clemons' property and the fill
changing the lot grade severely impacted and changed the original drainage from the
property causing drainage to be routed to the Clemons' property. The Gappa letter
provides that gutters, a swale and an underground drain from the gutters were to be
installed.
What we had hoped to avoid by urging the city to properly enforce its drainage plan
requirements has now come to pass.
During and after the rain of the weekend of April 21 and 22, water came in the basement
of the Clemons' home damaging carpet, tile and linoleum Floor coverings, baseboard
moldings and wood wall paneling. As of that weekend, the gutters and downspouts had
not been installed in accordance with city requi vents nor had a drainage swale with
underground drain been created on thb Bupp property to keep drainage from the
Clemons' property. Those minimum measures should have been done before occupancy
was allowed and certainly before the spring rains came.
The amount of monitory damage done to the Clemons' property has not yet been
detZ42
utthand the property owners will have to bear that expense.
GAT/ci
cc Mr. and Mrs Joseph Clemons
Ron Moorse, City of Orono
ILL:ol,e4, l.. or HPr .5u•U1 lu:44 Na.UU2 F.02
CITY of ORONO
Municipal Omca
Strut "draw Mallln2 address:
2750 Kelley Parkway P.O. 00, 65
Orono. MN 55356 Crystal aay. MN 55323.0066
February 8, 2001
Mr. Joseph Clcmons
2690 Caroline Avenue
Wayvata MN 55391
Ucar Mr. Clemons;
Attached you will fend the approved survey, approval date January 8, 2001. for the new residence
at 2696 Caroline Avenue. This survey constitutes the drainage plan for this property. The survey
shows both the existing and proposed contours for this property. The existing contours are shown
in dashed lines, and the proposed contours are shown in solid lincs. The property owners will be
required to grade the site to match the proposed contours before final approval of this project by
the City.
The red dashed line from the house to the lakeshore indicates the drainul,c divide on this property,
with water flowing in both directions from this divide. This drainage divide is essentially the
same for both the existing and proposed conditions. Basically, the drainarc divide is down the
center of the property with the entire property draining luwurd Take Minn:ttmka. The property
elevations range from elevation 951 at the street to elevation 929 at the lal.e. Both the upper and
lower sections of the property are relatively flat with a steeper area in the center between
elevations 950 to 932. Both the existing and proposed contours show the ;;.operty on (tic west
side of the drainage divide draining northeast across the adjacent properly to the lake.
The walkout level on the lakeside of the house was cut from an existing elevation of 950 to an
elevution of 944. The Brea in front of the house was cut from elevation 946 to elevation 942 to
provide for a flatter yard. This material was them graded forward in a flatter slope than war
existing to match into existing grade at elevation 934. The new Smiling is at a flatter slope, than
was existing. This is evidenced on the survey by the grater distance between the proposed
contours than belwcen the existing contours. This flatter slope is advantageous as the velmity of
the runoff is reduced. No grading is shown within 75' of Lake Minnctonka.'lhe proposed
grading is not changing the drainage divide and will not adversely impact the adjoining property.
Telephone(952) U9.4600 • Yea (952) 249.4ata
W W WR1Ararq mn.w
fEL-:612411iiS4 Hpr ou.ul 10:46 No.uut r.uS
The driveway will he graded to drain to the east. 'I'his water will then Flow along the cast side of
the house toward the lake. At elevation 950 a swale will be graded to direct the water past the
house. From elevation 948 down the existing contours indicate a natural Swale c.. 'enced by the
contours bowing in uphill. This drainage pattern basically matches the existing drainage and will
not adversely impact the adjacent property.
The lawn area west of the driveway will drain along the house in a graded swale from an
elevation of 950 to elevation 944.5 at the bend in the property line. This swale will be
approximately five feet wide and range from one to three feet deep. Past the end of the swalc,
the water will follow the existing contours mid drain northeast toward the lake, as it always has.
The graded swale will all w for drainage past the houses into undeveloped lawn area toward the
lake.
in order to reduce the roof drainage in the Swale, a gutter and underground drainpipe system will
be installed on the west side of the house. The drainpipe outlet will be approximately 1 1(Yin
front of the ho;,sc at elevation 934. From this point the water will follow the existing contours
and drain northeast toward the lake.
There will be no site drainage directed toward Caroline Avenue as the driveway and yard will
drain past the house toward the take. This is no change from the existing conditions.
This drainage plan basically preserves the existing site drainage conditions and does not
substantially change the drainage impacts on the adjacent properties.
'thank you for your assistance in this matter. Please contact me at 932.249-4621 should you have
any questions
Sincerely;
Gregory A. Gappa P.E. �
Director of Public Services
,.,L.
�l
tCl EM(�i,l�
f
14,96 6A&L ;V, *1 .
- i.. i /iris: qp I a j . .
Minnehaha Creek &Watershed District
Improving Quality of Warn, Quality of Life
..rrriNG
GIIY ur Vnur,u MAY 1 4
ft now Oslo C OM
IWA 15a 19.Ikrone
Mao;
2500 Soadywood Road
Facalabr, MN 55331-9578
iTpla: (952) 471*90
FM (952) 47146U
admin Ominnehehacreek.ory
Web Sne
.,rdlnnehahacreek org
9oard of MomVvs
Pardee G. Merl
James Callen
Lance Fisi e,
Monica Gross
Scotl Thomas
Malcolm Reid
Robed Schroeder
611 r Vr ununu
TO: Mr. Douglas Snyder, Board of Water and Soil Resources
Mr. Jeff Spartz, Hennepin County Administrator
Mr. Richard Stoltz, Carver County Administrator
Mr. Ken Wald, Minnesota Deportment of Natural Resources
Ms. Celine Lyman, Minna to Pollution Control Agency
Mr. Mark Zabel, Minnesota Department of Agriculture
Mr. Betty Wheeler, Minnesota Department of Health
Mr. Mark Jouseau, Metropolitan Council
FROM: Glenda D. Spiona, Pla mer/Program Manager
Minnehaha Creek Watershed District
DATE: May 2, 2001
RE: Minor Plan Amendment to MCWD's Water Resources Management Plan
For Regional Wetland Restoration
Attached is a draft Minor Plan Amendment to the MC WD Water Resources
Management Plan for the Gideon Glen Wetland Restoration Project, City of
Shorewood, MN for your review. A Concept Plan for this work is being
completed for City and Board of Managers review by June 2001.
The MCWD Board of Managers authorized distribution of this Minor Plan
Amendment on March 8, 2001. A public hearing will be held for this project in
the City of Shorewood, MN at a yet to be scheduled date.
Please direct you comments or questions to me at 952471-0590.
Cc: Joel Settles, Hennepin County w/attachments
®aarwi.prwe ate.,
MINOR PLAN AMENDMENT
Gideon Glen Project
Description of Project
The overall purpose of the project is for the preservation of the Gideon Glen wetlands
and wooded area. The preservation will protect the existing wetland, a stand of mature
maplelbasswood forest, create the opportunity to restore a filled and stormwater degraded
wetland, provide for natural water quality treatment of the 88-acre sub -watershed
draining to Lake Minnetonka, and offer educational and demonstration opportunities to
enhance public awareness concerning water resource protection.
The site is approximately six acres in size and surrounded by commercial and residential
development. The property is located in Shorewood on the west side of Highway 19,
near the Tonka Bay border, across from the Smithtown Shopping Center. The property is
one of the few undeveloped areas remaining it. Shorewood.
The front third of the property (closest to Highway 19) is the site of an old homestead, the
middle third of the property is a wetland basin, and the back third is a maplefbasswood
forest. The front two thirds of the property is zoned commercial and the back third of the
property is zoned single family residential.
A cooperative agreement between the City of Shorewood and the District will be
executed to establish responsibilities for the project and define cost sharing.
Need for Project
The acquisition of the property will serve to presently preserve this environmentally
sensitive area and provide for future preservation, restoration, and education
opportunities. These opportunities include:
- Preserving existing wetland areas.
- Preserving approximately three acres of old growth maple/basswood forest.
- Restoring a filled and stormwater degraded wetland.
Improving water quality (non -point source pollution and runoff from County
Road 19 and Smithtown Shopping Center) through potentially a Best
Management Practice (BMP) and natural approach, to control rate of nmoff,
siltation and non -point source pollution into Gideon Bay and Manitou Harbor of
Lake Minnetonka.
Provide environmental education by providing public access to the area,
interpretive sign, working with schools, neighbors, and senior groups.
The project also meets the objectives of the District's Water Resources Management Plan
by fulfilling the following plan goals.
Goal 1 — To reduce the severity and frequency of flooding and high water and improve
the chemical and physical quality of surface water. The project meets this goal by
preserving the property from development, which will protect the surface water from
potential degradation.
Goal 3 — Preserve existing flood storage capacity below 100-year Flood elevations on all
water bodies in the watershed to minimize the frequency and severity of high water. The
project meets this goal by preserving theflood storage capacity ofthe properm lfthe
property were developed the district could potentially incur additional costs in order to
maintain the flood storage capacity.
Coal 8 — Enhance public participation in District activities and provide informational and
educational material to municipalities, community groups, businesses, schools,
developers, contractors, and individuals. The public education aspect of the project
fulfills these goals.
Coal I 1 — To protect existing wetlands and restore diminished or drained wetlands. The
project protects the existing wetlands and has the future potential of restoration of
additional wetland.
The project also fits into the Implementation Program of the Districts Water Resource
Management Plan. The project qualifies as a Nonstructural Solution by the protection of
natural wetland. This is an example of the District partnering with a local go. crnmental
unit to preserve a natural wetland and provide educational opportunities to the public.
Evaluation of Alternatives
There are currently no other known opportunities for cost sharing with other parties. In
addition, the purchase price of this property is below market value. Therefore, if other
similar sites existed, there is a very high probability of additional cost.
The proximity and size of the property also make it a unique alternative. The opportunity
to acquire a piece of property of this size in a developed city and in a natural drainageway
to Lake Minnetonka is very rare.
Therefore, the public acquisition and restoration of the site fits well with the Districts
goals and implementation program.
Estimated Coat
S200,000 for MCWD's share of the acquisition of the property (the City of Shorewood
providing the remaining $200,000). Future costs to restore wetlands, implement BMP's
to treat stormwater infiltration and to encourage public education and use of the area will
be cost shared with the City of Shorewood and other potential parties.
Schedule of Construction
March 2001-2003 Funding for acquisition will proceed following the approval of this
amendment. Site restoration and educational opportunities will be worked out with the
City of Shorewood and other potential parties.
Method of Financing
Cost allocation would be made using the flexible authority 103D.721 and 725. This
authority allows allocation among some or all of the following:
a. Ad valorem levy limited to 0.00798 percent of taxable market value per
year for up to IS years (estimated to be about S1,000,000 per year) for the
"basic water management portiort' of the project.
b. Assessment against the cities for general benefits.
C. Assessment against subwatershed parties contributing drainage to the site.
The City of Shorewood will be providing the remainder of the funding to acquire the
property.
Hennepin County Taxpayer Services Department
A-600 Hennepin County Government Center
Minneapolis, Minnesota 65467-0060
May 7, 2001
Rusty Fifield
Financial Advisor
Ehlers & Associates, Inc.
3060 Centre Pointe Drive
Roseville, MN 55113-1105
Re: Orono Housing TIF District 1-1
Dear Mr. Fifield:
Enclosed is a report from Richard P. Johnson, Hennepin County Deputy Administrator, to the
Hennepin County Board of Commissioners, concerning the proposed Orono Housing TIF District 1-1.
Please arrange to have the report entered into the record of the public hearing of the Orono City
Council on Monday. May 14, 2001, to reflect the input of Hennepin County, as provided by Minnesota
Statutes, Section 469.175, Subd. 2.
If you have any questions about this information, please call me at 612-348-5076.
Sincerely,
\ 2CL1'l /7/• �/.GPitG'attln77
jean M. Bierbaum, Senior Administrative Assistant
Financial Analysis and Support Division
Cc Ron Moorse, Administrator, City of Orono, P.O. Box 66, Crystal Bay, MN 55323
RavuO,.l 1514M I JT ra nsmnaiL.V&
An EQuolOppMlunrtY f,,I.,, ft,wwpG '
Hennepin
Hennepin County Memo
DATE: May B, 2001
TO:
Board of Commissioners
FROM:
Richard P. Johnson, Deputy County Administrator
SUBJECT:
Proposed Orono Senior Housing TIF District No. 1-1
Hearing Scheduled: Monday, May 14, 2001, at 7:30 p.m., Orono City Hall.
Proposal: Orono has proposed creation of Its first tax increment financing district to facilitate construction of
62 units of rental senior housing for persons of low and moderate income at the north west corner of
Wayzata Boulevard and Brown Road.
Fiscal Impact: This one -parcel TIF District will have a duration of 25 years of tax increment from receipt of
the first tax increment, which Is projected to occur in 2003. The district will have a life of 25 years from
receipt of the first tax increment. The project, with an estimated $125.000,000 to $150.000,000 of total
project costs, has secured funding from the Metropolitan Council of S1,200,000 in a Livable Communities
Demonstration Account to assist in parking costs/public spaces.
tiourus of Public Funds:
Uses of Public Funds: _
Tax Increment $2,030.000
Land/Bldg Acquisition
$775,0D0
Inter -Fund Loans/Transfers 1.393.90Q
Site Improvements
100,000
Total Sources of Funds $3,423,000
Public Utilities
77,000
Streets/Sidewalks
562,000
Other Public Improvements
31,000
Interest cn PAYG Note
1.159.000
Administrative Costs
70,000
Inter -fund Loans/Transfers
649-000
Total Project Costs
$3,423,0Dg
HENNEPIN COUNTY ROAD COSTS (Comments submitted by Jim Grubs, Hennepin County Transportation
Department): -in stalls opinion the traffic generated by this development can be carried by the inplace
facilities and that no additional roadway improvements would be required. The proposed right -in right -
out access to TH-12 from the site (west of Brown Road) would not meet County Access Spacing Guidelines.
One option might be to reconfigure this access to orientate it to the existing median opening at Shaughnessy
Avenue. If the access is reoriented, there would be issues of significant grades and the access would need
to be coordinated with the adjacent property to the west. A second option might be to orientate all site
access to the rear of the property, where there appears to be a future street/utility access between Brown
Road and Willow Drive. Transportation Planning staff will be talking with Long Lake, Orono and MNDOT
regarding the development of an access plan for this segment of TH-12 that could establish the pattern of
local access and address traffic control.
SUMMARY: Despite projecting a maximum allowable duration of 26 years of tax increment generation, it
otherwise appears that the proposed Orono Housing TIF District No. 1-1 satisfies the preference of the
Hennepin County Board of Commissioners for use of tax increment financing, as identified in Resolution 92-
10-017R1, adopted 10127/92, because it targets public assistance to low to moderate income senior rental
housing. A copy of this report will be sent to the City of Orono wM a request that it be entered into the public
record of the May 14, 2001, public hearing, to reflect the County'a position on this proposal.
(r:RewO 1151420e1J)