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2012-03-05 CC PacketIbcywt ille City of Albertville Council Agenda SWW* T trip. ft 04, Uri. Monday, March 5, 2012 7:00 PM PUBLIC COMMENTS -The City of Albertville welcomes and encourages public input on issues listed on the agenda or of general community interest. Citizens wishing to address the Council regarding specific agenda items, other than public hearings are invited to do so under Public Forum and are asked to fill out a "Request to Speak Card". Presentations are limited to five (5) minutes. 1. CALL TO ORDER 2. PLEDGE OF ALLEGIANCE — ROLL CALL 3. RECOGNITIONS — PRESENTATIONS — INTRODUCTIONS 4. CITIZENS OPEN FORUM — (time reserved 5 minutes) 5. PRESENTATIONS 6. AMENDMENTS TO THE AGENDA 7. CONSENT AGENDA All items under the Consent Agenda are considered to be routine by the City staff and will be enacted by one motion. In the event an item is pulled it will be discussed in the order it is listed on the Consent agenda following the approval of the remaining Consent items. These items will be approved by a separate motion. A. Approve the February 21, 2012 regular City Council minutes as presented (pgs 1-3) B. Authorize the Monday, March 5, 2012 payment of the claims that includes electronic payments 1.022EFT-1032EFT and check numbers 30753 to 30789 as presented (pgs 4-9) C. Approve the following list of Annual Renewal Liquor License Applications (pgs 10- 11) 1). 2012-2013 On -Sale Intoxicating Liquor License to Cedar Creek Golf Course LLC for Cedar Creek Golf Course; and, 2012-2013 Sunday Liquor License to Cedar Creek Golf Course LLC for Cedar Greek Golf Course; and, 2). 2012-2013 Off -Sale Intoxicating Liquor License to Coborn's Inc, for Coborn's Liquor Store; and, 3). 2012-2013 Off -Sale 3.2% Malt Beverage Liquor License to Coborn's Inc. for Coborn's Grocery Store; and, 4). 2012-2013 On -Sale Intoxicating Liquor License to D. Michael B's 1I Inc. for D. Michael B's; and, 2012-2013 Sunday Liquor License to D. Michael B's II Inc. for D. Michael B's; and, City of Albertville Council Agenda Monday, March 5, 2012 Page 2 of 4 5). 2012-2013 On -Sale Intoxicating Liquor License to Morris Walker Ltd for Emma KrumBees Restaurant -Albertville; and, 2012-2013 Sunday Liquor License to Morris Walker Ltd for Emma KrumBees Restaurant -Albertville; and, 6). 2012-2013 Off -Sale Intoxicating Liquor License to All G LLC for Heidi's Brew Wine & Spirits; and, 7). 2012-2013 On -Sale Wine License to Hong Thai Inc. for Hong Thai; and, 2012- 2013 On -Sale 3.2% Malt Beverage License to Hong Thai Inc. for Hong Thai; and, 8). 2012-2013 On -Sale Intoxicating Liquor License to LMG Inc. for Space Aliens Grill & Bar; and, 2012-2013 Sunday Liquor License to LMG Inc. for Space Aliens Grill & Bar; and, 9). 2012-2013 Off -Sale Intoxicating Liquor License to S & D Liquor, Inc. for Westside Liquor; and, 10). 2012-2013 Off -Sale Intoxicating Liquor License to C.L. Gentile Inc. for Geez Sports Bar & Grill; and, 2012-2013 On -Sale Intoxicating Liquor License to C.L. Gentile Inc. or Geez Sports Bar & Grill; and, 2012-2013 Sunday Liquor License to C.L. Gentile Inc. for Geez Sports Bar & Grill; and, D. Acknowldge the notes from the Barthel Industrial Park Meeting on February 28, 2012 (pg 12-13) E. Acknowledge the Draft Planning and Zoning Minutes from February 15, 2012 (14-16) F. Acknowledge the Draft STMA Arena Minutes from February 13, 2012 (pgs 17-19) 8. DEPARTMENT BUSINESS A. City Council 1). Richard Hirstein, Allied Waste Services- Recycling Update 2). Dominium Development — Karston Cove 3rd Addition Multi -family Housing Project Presentation. 3). Public Hearing on Bond Issuance B. Utilities Department (WWTP) 1). Wastewater Treatment Plan and Water Department Report (pgs 20-21) 2). League of Minnesota Cities No-fault Sewer Backup Insurance. Motion to approve Resolution No. 2012-0011. (pgs 22) C. Building Department 1). Building Department Report (pgs 23-25) D. Finance Department 1). 2012A General Obligation Improvement Crossover Refunding Bonds: Motion to adopt resolution No. 2012 entitled a Resolution Awarding the Sale of $2,310,000 General Obligation Improvement Crossover Refunding Bonds, Series 2012A: Fixing their Execution and Delivery; and Providing for Their Payment. (pgs 26-43) 2). 2012B Amended Capital Improvement Plan, Providing for the Issuance and Sale of General Obligation Capital Improvement Plan Refunding Bonds. M:\Public Data\City Council\Council Agendas\2012 Agendas\03 05 2012 Agenda.doc Meeting Date: February 6, 2012 City of Albertville Council Agenda Monday, March 5, 2012 Page 3 of 4 Motion to adopt Resolution No. 2012-010 entitled a Resolution Approving Amended Capital Improvement Plan and Issuance and Sale of General Obligation Capital Improvement Plan Refunding Bonds; Series 2012B. (pgs 44- 48) E. Engineering 1). I-94 Update (oral) F. Legal 1). City Attorney Report (pgs 49) 2). Agreement with Wright County for I-94 Funding (pgs 49a,b,c) G. Administration 1). Board of Appeals and Equalization Training Sessions (pgs50-51) 9. ANNOUNCEMENTS and or UPCOMING MEETINGS Su M I Tu W I Th F I Sa 1 2 3 4 �� .' 6 7 8 9 10 11 14 15 16 17 18 20121 22 23 24 2510 27 28 29 30 31 MARCH 2O12 05 7:00 p.m. 12 6:00 p.m. 13 13 7:00 p.m. 19 7:00 p.m. 26 6:30 p.m. APRIL 2012 02 7:00 p.m. 09 6:00 p.m. 16 7:00 p.m. 23 6:30 p.m. City Council meeting STMA Ice Arena I-94 Bid Opening Planning Commission meeting City Council meeting I-94 Improvement Hearing/Contract Award Joint Powers Water meeting City Council meeting STMA Ice Arena meeting City Council meeting Joint Powers Water meeting M:\Public Data\City CounciWouncil Agendas\2012 Agendas\03 05 2012 Agenda.doc Meeting Date: February 6, 2012 City of Albertville Council Agenda Monday, March 5, 2012 Page 4 of 4 10. AJOURNMENT TO WORKSHOP — Economic Development Authority and Staffing M:\Public Data\City Council\Council Agendas\2012 Agendas\03 05 2012 Agenda.doc Meeting Date: February 6, 2012 SPANNED 1bcrtvillc Small Town Uvin9 . BigCity Ufa. V ALBERTVILLE CITY COUNCIL Tuesday, February 21, 2012 MINUTES ALBERTVILLE CITY HALL CALL TO ORDER — PLEDGE OF ALLEGIANCE 7:00 PM Mayor Meehan called the regular City Council meeting to order at 7:00 p.m. All individuals present said the Pledge of Allegiance. ROLL CALL Present: Mayor Mark Meehan, Council members Larry Sorensen, Dan Wagner, Jillian Hendrickson and John Vetsch Absent: None Others Present: City Administrator Larry Kruse, Public Works Supervisor Tim Guimont, City Engineer Adam Nafstad, City Attorney Michael Couri and City Planner Alan Brixius. Absent: None AMENDMENTS TO THE AGENDA Meehan noted there were no amendments to the agenda. CMs Vetsch/Hendrickson motioned to approve the Tuesday, February 21, 2012 agenda as sent and presented. Motion carried unanimously. CONSENT AGENDA All items under the Consent Agenda are considered to be routine by the City staff and will be enacted by one motion. In the event an item is pulled it will be discussed in the order it is listed on the Consent Agenda following the approval of the remaining Consent items. These items will be approved by a separate motion. MAPublic Data\City Council\Council Minutes\2012 Minutes\City Council\M 02 21 2012.doc City of Albertville Council Minutes February 21, 2012 Page 2 of 3 A. Approval of the February 6, 2012 City Council minutes. B. Authorize the February 21, 2012 Payment of Claims (bills) for electronic payments 29382EFT — 29396EFT and 20697 to 30740 as presented. C. Approve set the Local Board of Appeals meeting for Wednesday, April 18a' at 5:30 p.m. in the Albertville Council Chambers. CMs Sorensen/Wagner motioned to approve the Consent Agenda as presented. Motion carried unanimously. PUBLIC WORKS Christmas Decoration Purchase Public Works Supervisor Guimont reported the City's current Christmas decorations are over fifteen years old and don't look very good anymore and require a lot of maintenance each fall. They are also very heavy and hard to install. The Parks committee has discussed replacing them and recommends purchasing new decorations. The Parks and Recreation Committee recommended and the Council moved to purchase up to $4,000 of new Christmas decorations. The Albertville Lions donated $2,500 towards the cause. Public Work Supervisor Tim Guimont showed the Council examples of what the Committee would like to purchase. Council Member Vetsch asked about expanding where we have decorations, but the lack of festoon electrical outlets limits where they can be installed. CMs Sorensen/Hendrickson motioned to authorize the Parks Committee to purchase up to $4,000 of new Christmas decorations with funds coming from the donation account. Motion carried unanimously. CITY ADMINISTRATOR'S REPORT Wright County I-94 Agreement City Administrator Kruse presented the Council with a draft Agreement between the City and Wright County documenting the County's $1,640,000 commitment to fund the project. City Attorney Couri reviewed the draft agreement. No action was requested and the Agreement will be placed on the March 5t1i Council Agenda. Randy Stangler Building Code Enforcement Letter for the Mattress Store at 6737 LaBeaux Avenue. NE. City Attorney Couri shared a draft letter which requires the Mattress Store at 6737 LaBeaux NEW vacate the property within 30 days as the business does not comply with Occupancy MAPublic Data\City Council\Council Minutes\2012 Minutes\City Council\M 02 21 2012.doc City of Albertville Council Minutes February 21, 2012 Page 3 of 3 Zoning. There are a number of issues, but the main one is the need to install fire sprinklering to meet the Fire Code. The building is an older one and will likely be redeveloped some day. City Attorney Couri reviewed the history of City Staff working with the business to meet the requirements, however, the business has decided to not meet the requirements and now needs to vacate. Couri said that staff wanted the Council to be appraised of the situation prior to the letter being sent. The Council expressed their interest and concern to be business friendly. After some discussion the Council agreed with the proposed action. ADJOURNMENT CMs Wagner/Sorensen motioned to adjourn the meeting at 7:35 p.m. Motion carried unanimously. Larry Kruse, City Administrator MAPublic Data\City Council\Council Minutes\2012 Minutes\City Council\M 02 21 2012.doc A.1bertville Mayor and Council Communication Small Town Wng. Big My We. March 1, 2012 SUBJECT: CONSENT - FINANCE DEPARTMENT — PAYMENT OF BILLS RECOMMENDATION: It is respectfully requested that the Mayor and Council consider the following: MOTION TO authorizing the Monday, March 5, 2012 payment of the claims that includes check numbers 1022EFT—1032EFT and 30753 to 30789 as presented except the bills specifically pulled, which are passed by separate motion. BACKGROUND: The City process's claims on a semi-monthly basis. The bills are approved through their respective departments and administration and passed onto the City Council for approval. KEY ISSUES: Account codes starting with 810 are STMA Arena ExpensesNendors (bolded) Check No. 1026E SimplexGrinnell — City Hall security panel board failed and had to be replaced. Check No. 30780 Pizza Man — set up an account for purchasing pizza for Arena Concessions. POLICY/PRACTICES CONSIDERATIONS: It is the City's policy to review and approve payables on a semi-monthly basis. FINANCIAL CONSIDERATIONS: City staff has reviewed and recommends approval of payments presented. LEGAL CONSIDERATIONS: The Mayor and Council have the authority to approve all bills pursuant to Minnesota State Law, which requires all bills to be paid in a timely manner, generally within 30 days unless one party determines disputes the billing. Submitted through: Larry R. Kruse, City Administrator Department/Responsible Person: Finance/Tina Lannes, Finance Director Attachments: Check Register Detail Mayor and Council Communication — March 5, 2012 Finance — Payment of Claims March 2012 10100 Premier Bank Paid Chk# E 604-49660-303 A,Ibertville Small Town Uving. Big City Ufa. Check Detail Register Check Invoic Comment 2/29/2012 BOLTON & MENK, INC Engineering Fees $2,655.00 0145011 Total BOLTON & MENK, INC $2,655.00 Paid Chk# 2/29/2012 GOPHER STATE ONE -CALL E 602-49400-209 Locates $10.15 32741 E 601-49450-209 Locates $10.15 32741 Total GOPHER STATE ONE -CALL $20.30 Page 2 of 6 UD Ditch 9 Topographic Survey UD locates UD locates Paid Chk# 2/29/2012 MVTL LABORATORIES, INC E 601-49450-218 Testing Expenses $125.40 589681 UD chem testing on water samples E 601-49450-218 Testing Expenses $101.40 590637 UD chem testing on water samples E 601-49450-218 Testing Expenses $101.40 591286 UD chem testing on water samples Total MVTL LABORATORIES, INC $328.20 Paid Chk# 2/29/2012 RANDYS SANITATION E 810-00000-384 Refuse/Garbage $447.34 1-56027-1&3 Arena garbage service Total RANDYS SANITATION $447.34 Paid Chk# 2/29/2012 SIMPLEXGRINNELL E 101-41940-405 Repair/Maint - Buildings $1,388.78 67458807 CH replace touchpad key panel Total SIMPLEXGRINNELL $1,388.78 Paid Chk# 2/29/2012 S & T OFFICE PRODUCTS E 101-42000-200 Office Supplies $33.73 01 PA4632 FD SOGs folders E 101-45100-210 Operating Supplies $36.72 01 PA4632 PD ink cartridges E 101-43100-215 Shop Supplies $16.53 01 PA4632 PW ink cartridge Total S & T OFFICE PRODUCTS $86.98 Paid Chk# 2/29/2012 WATSON COMPANY E 810-00000-252 Food/Consessions For $448.63 809466 Arena concession supplies lollies, kit kat, cherry nibs, popcorn, etc. Total WATSON COMPANY $448.63 Paid Chk# 2/29/2012 WRIGHT COUNTY ASSESSOR R 355-00000-36100 Special Assessments $249.75 SA-2012 2012 Spec Assessment Contract Total WRIGHT COUNTY $249.75 Paid Chk# 2/29/2012 WRIGHT-HENNEPIN COOP ELECTRIC E 101-45100-381 Electric Utilities $282.43 1001631-02 PD TL parks E 101-43100-381 Electric Utilities $572.06 1001631-02 PW TL gen'I street E 601-49450-381 Electric Utilities $98.51 1001631-02 UD TL liftstation Total WRIGHT-HENNEPIN COOP $953.00 Paid Chk# 2/29/2012 SHRED RIGHT -A ROHN INDUSTRIES E 101-41400-300 Professional Srvs $30.00 117021 document destruction Total SHRED RIGHT -A ROHN $30.00 Paid Chk# 2/29/2012 WRIGHT COUNTY AUD/TREASURER E 101-41000-301 Auditing and Acct g $150.00 C12- Audit info request Total WRIGHT COUNTY $150.00 Mayor and Council Communication - March 5, 2012 Finance - Payment of Claims Page 3 of 6 Check Invoic Comment Paid Chk# 3/5/2012 AMERICAN SUPPLY GROUP INC. E 810-00000-405 Repair/Maint -Buildings $163.88 37130 Arena toilet paper, paper towels, disinfectant cleaner, vinyl gloves Total AMERICAN SUPPLY GROUP $163.88 Paid Chk# 3/5/2012 APPOLLO SYSTEMS - COMMERCIAL D E 101-45100-405 Repair/Maint - Buildings $20.31 161476 PD security system Total APPOLLO SYSTEMS - $20.31 Paid Chk# 3/5/2012 ARAMARK UNIFORM SERVICES E 101-43100-417 Uniform Rentals $12.99 629- PW uniforms E 601-49450-417 Uniform Rentals $12.98 629- UD uniforms E 101-45100-417 Uniform Rentals $12.98 629- PD uniforms E 602-49400-417 Uniform Rentals $12.98 629- UD uniforms E 101-42000-405 Repair/Maint Buildings $25.00 629- FD towels/mops/matts E 101-41940-405 Repair/Maint Buildings $25.00 629- CH towels/mops/malts E 601-49450-417 Uniform Rentals $12.35 629- UD uniforms E 101-45100-417 Uniform Rentals $12.34 629- PD uniforms E 602-49400-417 Uniform Rentals $12.34 629- UD uniforms E 101-43100-417 Uniform Rentals $12.34 629- PW uniforms E 602-49400-417 Uniform Rentals $9.85 629- UD uniforms E 601-49450-417 Uniform Rentals $9.86 629- UD uniforms E 101-43100-417 Uniform Rentals $9.86 629- PW uniforms E 101-45100-417 Uniform Rentals $9.86 629- PD uniforms Total ARAMARK UNIFORM $190.73 Paid Chk# 3/5/2012 A -TOOL SHED RENTAL & SALES E 604-49660-406 R/M - Collection System $122.91 25489 UD rent walk behind brush mower E 601-49450-218 Testing Expenses $92.98 25656 UD rent walk behind brush mower Total A -TOOL SHED RENTAL & $215.89 Paid Chk# 3/5/2012 B2B COMPUTER PRODUCTS E 101-41940-404 Repair/Maint - $62.46 541200 CH crucial 4 GB memory cards Total B213 COMPUTER PRODUCTS $62.46 Paid Chk# 3/5/2012 BANYON DATA SYSTEMS E 810-00000-300 Professional Srvs $197.68 00147551 Arena WINPOS support E 810-00000-300 Professional Srvs $400.44 00147551 Arena WIN INVENTORY support Total BANYON DATA SYSTEMS $598.12 Paid Chk# 3/5/2012 BERRY COFFEE COMPANY E 101-41400-200 Office Supplies $50.95 998368 CH coffee Total BERRY COFFEE COMPANY $50.95 Paid Chk# 3/5/2012 BRITE STITCH MONOGRAMMING E 101-43100-215 Shop Supplies $279.00 3661 PW baseball hats/knit hats Total BRITE STITCH $279.00 Paid Chk# 3/5/2012 CARLSON BUILDING SERVICES, INC E 101-42000-405 Repair/Maint -Buildings $133.59 39239 FD March cleaning service E 101-41940-405 Repair/Maint -Buildings $422.16 39239 CH March cleaning service Total CARLSON BUILDING $555.75 Mayor and Council Communication - March 5, 2012 Finance - Payment of Claims Page 4 of 6 Check Invoic Comment Paid Chk# 3/5/2012 CENTURYLINK COMMUNICATIONS AZ E 101-42000-321 Telephone $26.81 3131178350 FD telephone service E 101-41940-321 Telephone $23.28 3131178350 tax & surcharge E 101-41940-321 Telephone $26.81 3131178350 CH telephone service E 101-41940-321 Telephone $26.81 3131178350 CH telephone service E 101-41940-321 Telephone $4.70 3131178350 late fees E 101-41940-321 Telephone $26.81 3131178350 CH telephone service E 101-45100-321 Telephone $26.94 3131178350 PD telephone service E 101-42000-321 Telephone $29.80 3131178350 FD telephone service E 101-43100-321 Telephone $29.80 3131178350 PW telephone service E 101-41940-321 Telephone $35.75 3131178350 CH telephone service E 601-49450-321 Telephone $26.81 3131178350 UD telephone service E 101-42000-321 Telephone $28.38 3131178350 FD telephone service E 601-49450-321 Telephone $27.23 3131178350 UD telephone service Total CENTURYLINK $339.93 Paid Chk# 3/5/2012 ENGINE 11 COMPANY E 101-42000-584 Capital - Turnout Gear $612.00 124 FD turnout gear Total ENGINE 11 COMPANY $612.00 Paid Chk# 3/5/2012 FERGUSON WATERWORKS E 602-49400-404 Repair/Maint - $773.05 S01345271 UD neptune maint agree 2012-2013 E 601-49450-405 Repair/Maint - Buildings $773.05 S01345271 UD neptune maint agree 2012-2013 Total FERGUSON WATERWORKS $1,546.10 Paid Chk# 3/5/2012 J. P. COOKE COMPANY E 101-41400-200 Office Supplies $118.65 167041 City Dog Tags Total J. P. COOKE COMPANY $118.65 Paid Chk# 3/5/2012 JOINT POWERS BOARD E 602-49400-377 JP Fed Wtr Test Pen $1,854.73 Feb 2012 JP Feb Test fees collected E 602-49400-375 JP Access $7.00 Feb 2012 JP Feb Access fees collected E 602-49400-371 JPDIST COMBO $2,095.19 Feb 2012 JP Feb DistCombo fees collected E 602-49400-372 JP Dist $58,673.44 Feb 2012 JP Feb Dist fees collected E 206-49400-378 JP WAC $2,001.00 Feb 2012 JP Feb WAC fees collected E 602-49400-374 JP Dist Pen $969.34 Feb 2012 JP Feb Dist Pen fees collected E 206-49400-378 JP WAC $2,001.00 Feb 2012 JP Dec WAC fees collected E 602-49400-377 JP Fed Wtr Test Pen $31.44 Feb 2012 JP Feb Test fees collected Total JOINT POWERS BOARD $67,633.14 Paid Chk# 3/5/2012 JORSON & CARLSON INC E 810-00000-300 Professional Srvs $52.29 0279095 Arena ice scrapper knives sharpened Total JORSON & CARLSON INC $52.29 Paid Chk# 3/5/2012 LANO EQUIPMENT E 101-45100-404 Repair/Maint - $115.46 49741 PD 2.5 gal hyd fluid, elbow or Total LANO EQUIPMENT $115.46 Paid Chk# 3/5/2012 LEAGUE OF MINNESOTA CITIES E 101-43100-208 Training and Instruction $20.00 157022 PW-PD Safety Loss Workshop E 101-41300-208 Training and Instruction $20.00 157022 Admin Safety Loss Workshop E 601-49450-208 Training and Instruction $20.00 157022 UD Safety Loss Workshop Total LEAGUE OF MINNESOTA $60.00 Paid Chk# 3/5/2012 MENARDS - BUFFALO E 101-43100-404 Repair/Maint - $103.99 90172 PW kickdown doorstops, screws, quick link, tow strap w/loop E 101-43100-404 Repair/Maint- $7.19 90172 PW 2x12x8lumber E 101-43100-404 Repair/Maint - $19.50 90172 PW 2x4x8 AC2 treated Ag E 101-43100-404 Repair/Maint - $97.45 90172 PW pro -bib 96" brown E 101-43100-404 Repair/Maint - $19.94 90172 PW 2x12x8 AC2 treated ag Total MENARDS - BUFFALO $248.07 Mayor and Council Communication - March 5, 2012 Finance - Payment of Claims Page 5 of 6 Check Invoic Comment Paid Chk# 3/5/2012 MES - MIDAM E 101-42000-404 Repair/Maint - $400.76 00294541_S FD replace adaptor for CPR machine Total MES - MIDAM $400.76 Paid Chk# 3/5/2012 MINNESOTA DEPT OF LABOR & INDU E 810-00000-433 Dues and Subscriptions $45.00 632448 (12- Arena Ice Arena Lic Renewal (2012- 2014) Total MINNESOTA DEPT OF $45.00 Paid Chk# 3/5/2012 MINNESOTA RURAL WATER ASSOCIAT E 602-49400-433 Dues and Subscriptions $225.00 2012 Opt B UD 2012 Annual Membership dues Total MINNESOTA RURAL WATER $225.00 Paid Chk# 3/5/2012 MN TRANSPORTATION ALLIANCE INC E 101-41100-433 Dues and Subscriptions $275.00 8757 Admin Transportation Alliance support/dues Total MN TRANSPORTATION $275.00 Paid Chk# 3/5/2012 MOLD TECH, INC. G 101-22900 Rental Deposit Escrow $100.00 Feb. 2012 CH Rental Damage Reimbursement Total MOLD TECH, INC. $100.00 Paid Chk# 3/5/2012 MOON MOTORSPORTS E 101-45100-404 Repair/Maint - $3.74 4554120 PD panhead self -tap screw E 101-45100-404 Repair/Maint - $1.06 4554120 PD panhead self -tap screw E 101-45100-404 Repair/Maint - $4.28 4554120 PD shipping E 101-45100-404 Repair/Maint - $7.75 4554120 PD oil cap E 101-45100-404 Repair/Maint - $14.43 4554120 PD fuel -oil E 101-45100-404 Repair/Maint - $1.06 4554123 PD panhead self -tap screw Total MOON MOTORSPORTS $32.32 Paid Chk# 3/5/2012 MTR SERVICES INC E 601-49450-406 R/M - Collection System $525.00 4362a UD install riser by Stan's Storage Total MTR SERVICES INC $525.00 Paid Chk# 3/5/2012 NAPA AUTO PARTS E 101-42000-404 Repair/Maint - $29.60 810666 FD oil - equipment oil change Total NAPA AUTO PARTS $29.60 Paid Chk# 3/5/2012 NORTHLAND FIRE & SECURITY E 101-41940-405 Repair/Maint - Buildings $264.52 93231 CH annual fire inspection of bldg Total NORTHLAND FIRE & $264.52 Paid Chk# 3/5/2012 OMANN BROTHERS E 101-43100-404 Repair/Maint - $60.99 9393 PW AC mix E 101-43100-404 Repair/Maint - $64.01 9397 PW AC mix Total OMANN BROTHERS $125.00 Paid Chk# 3/5/2012 PIZZA MAN E 810-00000-252 Food/Consessions For $151.00 0001 Arena food for concessions Total PIZZA MAN $151.00 Paid Chk# 3/5/2012 POSTMASTER E 601-49450-322 Postage $47.50 2012 Permit UD Permit No. 2 Renewal E 602-49400-322 Postage $47.50 2012 Permit UD Permit No. 2 Renewal E 604-49660-322 Postage $47.50 2012 Permit UD Permit No. 2 Renewal E 605-43200-322 Postage $47.50 2012 Permit UD Permit No. 2 Renewal Total POSTMASTER $190.00 Paid Chk# 3/5/2012 SCR, INC - ST. CLOUD E 810-00000-405 Repair/Maint - Buildings $583.33 245147 Arena blanket mntc - March 2012 Total SCR, INC - ST. CLOUD $583.33 Paid Chk# 3/5/2012 SENTRY SYSTEMS, INC. E 101-42000-405 Repair/Maint Buildings $4.22 651860 FD daily testing sery E 101-42000-405 Repair/Maint Buildings $22.66 651860 FD commercial monitoring sery E 101-43100-405 Repair/Maint Buildings $32.06 651860 PW commercial montoring-daily testing sery Total SENTRY SYSTEMS, INC. $58.94 Mayor and Council Communication — March 5, 2012 Finance — Payment of Claims Page 6 of 6 Check Invoic Comment Paid Chk# 3/5/2012 STRATEGIC EQUIPMENT AND SUPPLY E 101-41940-580 Capital - Other $691.76 1853386 CH kitchen equip, roasting pan, coffee servers, dinner ware Total STRATEGIC EQUIPMENT AND $691.76 Paid Chk# 3/5/2012 TRYCO LEASING INC E 605-43200-413 Office Equipment $6.27 6009 UD color copier lease E 602-49400-413 Office Equipment $41.70 6009 UD color copier lease E 601-49450-413 Office Equipment $45.87 6009 UD color copier lease E 101-41400-413 Office Equipment $93.83 6009 CH color copier lease E 604-49660-413 Office Equipment $20.85 6009 UD color copier lease E 101-42000-412 Building Rentals/Admin $113.64 6010 FD copier lease E 101-41400-413 Office Equipment $101.24 6011 CH copier lease E 601-49450-413 Office Equipment $49.49 6011 UD copier lease E 602-49400-413 Office Equipment $44.99 6011 UD copier lease E 604-49960-413 Office Equipment $22.50 6011 UD copier lease E 605-43200-413 Office Equipment $6.75 6011 UD copier lease Total TRYCO LEASING INC $547.13 Paid Chk# 3/5/2012 WRIGHT COUNTY HIGHWAY DEPT E 101-43100-221 Ice Removal $3,178.42 6617 PW sand -salt mixture purchased from W.County Total WRIGHT COUNTY HIGHWAY $3,178.42 Paid Chk# 3/5/2012 WRIGHT COUNTY MAYORS ASSOC. E 101-41100-433 Dues and Subscriptions $150.00 2012 2012 Mayor's membership dues Total WRIGHT COUNTY MAYORS $150.00 Paid Chk# 3/5/2012 XCEL ENERGY E 101-43100-381 Electric Utilities $22.57 408482568 PW 5998 LaBeaux signals E 101-45100-381 Electric Utilities $24.49 408707200 PD 11830 51st parking lot lights E 101-45100-381 Electric Utilities $3.86 408707385 PD 5799 Lander Ave parking lot lights Total XCEL ENERGY $50.92 Paid Chk# 3/5/2012 ZAHL PETROLEUM MAINTENANCE CO E 101-43100-215 Shop Supplies $64.87 0176371-IN PW placard decal -ultra low sulfur, special pump Total ZAHL PETROLEUM $64.87 10100 Premier Bank $87,309.28 Fund Summary 10100 Premier Bank 101 GENERAL FUND $10,749.98 206 WAC FUND $4,002.00 355 1999A GO IMPROVEMENT $249.75 601 SEWER FUND $2,079.98 602 WATER FUND $64,808.70 604 STORM WATER $2,868.76 605 Recycling Fund $60.52 810 STMA ARENA $2,489.59 $87,309.28 ill 1bertvi l le Mayor and Council Communication ftON Uft, February 29, 2012 SUBJECT: CONSENT ADMINISTRATION -CITY CLERK — ANNUAL RENEWAL OF LIQUOR LICENSES (PARTIAL RECOMMENDATION: It is respectfully requested that the Mayor and Council consider the following motion(s): Motion to approve the following list of Annual Renewal Liquor License Applications for the following establishments in Albertville: • 2012-2013 On -Sale Intoxicating Liquor License to Cedar Creek Golf Course LLC for Cedar Creek Golf Course; and, 2012-2013 Sunday Liquor License to Cedar Creek Golf Course LLC for Cedar Greek Golf Course; and, • 2012-2013 Off -Sale Intoxicating Liquor License to Coborn's Inc. for Coborn's Liquor Store; and, • 2012-2013 Off -Sale 3.2% Malt Beverage Liquor License to Coborn's Inc. for Coborn's Grocery Store; and, • 2012-2013 On -Sale Intoxicating Liquor License to D. Michael B's II Inc. for D. Michael B's; and, 2012-2013 Sunday Liquor License to D. Michael B's II Inc. for D. Michael B's; and, • 2012-2013 On -Sale Intoxicating Liquor License to Morris Walker Ltd for Emma KrumBees Restaurant -Albertville; and, 2012-2013 Sunday Liquor License to Morris Walker Ltd for Emma KrumBees Restaurant -Albertville; and, • 2012-2013 Off -Sale Intoxicating Liquor License to All G LLC for Heidi's Brew Wine & Spirits; and, • 2012-2013 On -Sale Wine License to Hong Thai Inc. for Hong Thai; and, 2012-2013 On - Sale 3.2% Malt Beverage License to Hong Thai Inc. for Hong Thai; and, • 2012-2013 On -Sale Intoxicating Liquor License to LMG Inc. for Space Aliens Grill & Bar; and, 2012-2013 Sunday Liquor License to LMG Inc. for Space Aliens Grill & Bar; and, • 2012-2013 Off -Sale Intoxicating Liquor License to S & D Liquor, Inc. for Westside Liquor; and, • 2012-2013 Off -Sale Intoxicating Liquor License to C.L. Gentile Inc. for Geez Sports Bar & Grill; and, 2012-2013 On -Sale Intoxicating Liquor License to C.L. Gentile Inc. or Geez Sports Bar & Grill; and, 2012-2013 Sunday Liquor License to C.L. Gentile Inc. for Geez Sports Bar & Grill; and, BACKGROUND: The State of Minnesota Alcohol and Gambling Division sends the Annual Renewal Liquor License applications for establishments within the Albertville city limits. Upon receipt of the applications, city staff prepares a letter to include with the application to the specified restaurant and or store for their individual review, completion, and signature by the owner. They are instructed to return to the signed -completed application along with their M:\Public Data\Requests for Council Actions (RCA)\2012\03 05 2012 Consent Admin-Clerk Partial Renewal of Liq Lic.doc Mayor and Council Communication — February 29, 2012 City Clerk — Annual Renewal of Liquor Licenses Page 2 of 2 `Certificate of Insurance' and the appropriate liquor license fees back to the Albertville city offices for processing. As of February 29, 2012, the date of this memorandum, the City has not received the applications from: • 2012-2013 Off -Sale Intoxicating Liquor License to 152 Club Inc. for the 152 Club; and, 2012-2013 On -Sale Intoxicating Liquor License 152 Club Inc. for the 152 Club; and, 2012- 2013 Sunday Liquor License 152 Club Inc. for the 152 Club; and, • 2012-2013 Off -Sale Intoxicating Liquor License to Neighbors Bar & Grill Inc, for Neighbors Eatery & Saloon; and, 2012-2013 On -Sale Intoxicating Liquor License to Neighbors Bar & Grill Inc. for Neighbors Eatery & Saloon; and, 2012-2013 Sunday Liquor License to Neighbors Bar & Grill Inc. for Neighbors Eatery & Saloon • 2012-2013 On -Sale Intoxicating Liquor License to TC Generations LLC for Pubhouse 19; and, 2012-2013 Sunday Liquor License to TC Generations LLC for Pubhouse 19; and, • 2012-2013 On -Sale 3.2% Malt Beverage Liquor License to D Family Pizza; and, • 2012-2013 On -Sale Wine License and a 3.2% Malt Beverage Liquor License to Romeo Food, Inc. doing business as Patti J's Cafe KEY ISSUES: Approve all or specified Liquor License Renewal Applications as submitted to the City Clerk provided the establishments will abide by the rules and restrictions set by the City, County, and State. Consider denying the renewal of the Liquor Licenses based on failure to be incompliance with the City, County, or State requirements, which would include Fire Inspection or other Building Code violations. POLICY/PRACTICES CONSIDERATIONS: It is the Mayor and City Council's policy to review and approve liquor license applications to sell liquor at various business establishments within the Albertville city limits. FINANCIAL CONSIDERATIONS: The City collects a Liquor License fee that varies depending upon the type of license applied for (ie.: `On -Sale' Intoxicating $3,300; `Special Sunday' $200; `Off -Sale' Intoxicating $150; `On -Sale' Wine $110, `On -Sale' 3.2% $100, and `Off -Sale' 3.2% Malt $100). Denial of a license will affect the financial revenue for fees collected from the applicant for liquor licensing. LEGAL CONSIDERATIONS: The Mayor and City Council have the authority to review, approve or deny; then direct staff to take action regarding any or all liquor license applications received by the City of Albertville. Submitted through: Larry R. Kruse, City Administrator Department/Responsible Person: Administration/Larry Kruse, City Clerk Attachments: none M:\Public Data\Requests for Council Actions (RCA)\2012\03 05 2012 Consent Admin-Clerk Partial Renewal of Liq Lic.doc A,lbertvill-c Small Town Uving. Big City Ufa. 5959 Main Avenue NE, Albertville, MN 55301 (763) 497-3384 Industrial Park Business February 28, 2011 Meeting Agenda and Notes 1) Overview of Meeting and Introductions 2) Business update— Economic trends (What trends are you seeing in 2012?) 3) 1-94 Construction update 4) City Visioning Study- Alan Brixius 5) Employment— Finding qualified workers and workforce housing 6) City Industrial Park Shovel Ready Lots- Tax Increment Financing 7) Albertville Economic Development Authority Promotion 8) Wright County Economic Development Partnership 9) Minnesota's Economic Trends Present were: Brian Buhl of Intex Corp, Jon Edwards of Scherrer Brothers, Baxter Stephensen of Fraser Steel, Jon Lee and Pete Parks of Mold Tech, Alan Brixius, Albertville City Planner, Larry Kruse City Administrator and Ted LaFrance of the Wright County Economic Development Partnership. City Administrator Kruse opened the meeting by thanking everyone for attending and stated the City is interested in hearing how the City can better serve our Industrial Park Businesses and learning if there are opportunities to help them grow and prosper. Attendees introduced themselves and explained their businesses. There was somewhat of a common theme in that most businesses had a very difficult time in 2008, but since then it has been going gangbusters. Most businesses are operating at capacity with significant overtime and temporary positions. They all expressed a difficult time finding enough qualified employees. Most have vacant positions. One of the businesses commented that the STMA School has been very supportive of their business providing High School training that equips students to attend Alexandria Technical School where they get the more advance training to qualify for manufacturing jobs. City Planner Alan Brixius explained the City's Visioning process he is working on. The businesses stated they like Albertville's access to 1-94, railroad access, and good work ethic, being in Wright County and not Hennepin County, close proximity to the metro, yet a small town. City of Albertville February 28, 2012 Meeting Notes Page 2 of 2 Ted LaFrance of the Wright County Economic Development Partnership shared that they are there to assist with business development and have a revolving loan fund. He has a number of business assistance program or contacts for others to assist. Ted mentioned that there is a Job Fair coming up in March in Monticello as follows: Job Fair Information: Showcase Your Business to an available Workforce at the 8th ANNUAL CENTRAL MINNESOTA AREA JOB FAIR 2012 on Thursday, April 5, 2012 from 1:00 p.m. to 5:00 p.m. at Monticello High School, 5225 School Blvd Monticello. Each booth measures 8' x 10' and includes one 8' table, two chairs, tablecloth, piping, drapes, and a sign with your company name. Cost is $175.00 per booth. To register and be included in the employer's directory you must return your registration form and payment by March 23, 2012. To sign up call Tim at 763-271-3722 or Brad at 320-308-5364. Kruse reviewed the upcoming I-94 Interchange Project layout with the group and assured them that construction will not hinder traffic as most of the construction is off-line and the freeway and its ramps will be open at all times. Kruse said the City has four shovel ready industrial lots for sale in the Barthel Industrial Park. The City has invested $1,000,000 to install road, water, sewer, storm sewer, regional storm water ponding and has mass graded the lots. The City will make Tax Increment Financing available to assist with the land cost for qualified businesses. Depending on the value of the development, TIF can reimburse the business for a significant amount. All who attended said they learned a lot, enjoyed meeting their neighbors, identified with other businesses challenges and would like to meet again to build a working relationship. The consensus is to schedule another meeting in the near future. Larry Kruse P.O. Box 9 Albertville, MN 55301 (763) 497-3384 ext 100 M:\Public Data\EDA (Economic Development Authority)\2012\Miscellaneous Meeting Minutes\02 28 2012 Industrial Park Businesses Meeting.doc A,lbertville Small Town Uving. Big City Ufa. UNAPPROVED PLANNING and ZONING COMMISSION MINUTES February 15, 2012 CALL TO ORDER Chair Kocon called the meeting to order at 7:02 p.m. ROLL CALL Commissioners Kocon, Lindberg, Olson, Totman, and Edgren were present. Council representative Dan Wagner was absent. Staff members present: City Planner Al Brixius, and Zoning Administrator/Building Official Jon Sutherland. APPROVAL OF AGENDA: The agenda was approved as submitted. APPROVAL OF MINUTES: October 11, 2011 PCM Totman/Lindberg motioned to approve the October 11, 2011 meeting minutes with the correction that Dale Edgren was in attendance and was not absent. Motion carried unanimously. PUBLIC HEARINGS: None. REPORT FROM STAFF: City Planner Al Brixius introduced a Visioning Study and Goal Setting Report that was authorized by the City Council to undertake. Brixius added a 3 page handout to the packet as follows; TABLE 1- POPULATION, HOUSEHOLD, HOUSEHOLD SIZE. TABLE 3 —AGE CHARACTERISTICS 1990, 2000, 2010. TABLE 4 - MEDIAN AGE 1990, 2000, 2010. Housing Units by Type 2000 — 2010. Brixius introduced and reviewed the background and history behind the Visioning Study. In December 2011, the City Council approved the undertaking of a community visioning study intended to identify the issues and opportunities that city will face with regard to land use, transportation, utilities, and community services over the next 20-30 years. City of Albertville Planning & Zoning Commission Minutes February 14, 2012 Page 2 of 3 The Vision Study was identified as a tool to for the City Council to identify and prioritize future land use, development ambitions and community investments for the City. The Council will collectively define the City's vision for the next 20-30 years, providing direction to staff with regard to community priorities, policies, and goals. Brixius reviewed his report and the maps, handouts, graphics, the history of the subdivisions in the City, and discussed the amazing population growth over the last 20 years. He posed the questions - What do we want to do with the remaining land? How should we look at future growth, and uses for the land. Brixius stated we should be proactive for industrial growth if we want to have a balanced community. F. Kocon questioned Brixius as to why the industrial development has lagged behind the city's residential and commercial growth. Brixius responded by saying that many issues effect industrial growth. Based on the conversation with the property owners in northwestern Albertville the lack of the C.R. 19 interchange has reduced the viability of the land in this area of the community for industrial and commercial growth. The southwest industrial park it may be the lack of large industrial lots. The city's lots along 52" d street range in size from 2 to 3 acres. This may deter development interests. Economic Development is very competitive among cities as such the Albertville will need to define its program for economic development marketing and potential incentives. Brixius discussed the social profile and the changes from the 1990's to the 2010 stating there has been a slight reduction in the work force. He discussed life cycle housing and that as we mature we should consider more live cycle housing and that with the visioning process we will discuss more about the housing types and programs due to the cycle. Brixius commented that a vacancy rate about 5% is normal. Sutherland commented that foreclosures affect the vacancy rate and questioned if the 5% included foreclosures. Brixius responded that the statistics are based on the census, the visioning process will ask questions and seek input and this issue will be evaluated with the process. Brixius reviewed the zoning and discussed the larger undeveloped properties in the city and explained various access and development issues that impact them such as ingress, egress, adjacent uses, street layouts and future connections. He noted the visioning would include seeking input from neighboring communities and understanding the adjacent zoning, uses, connections and transportation issues. Brixius identified the steps in the Visioning Process and explained the planning commission and the City Council's roles in the Visioning Process. The Council has approved the work program as noted in the staff report. Brixius noted the Planning Commission will be an integral part to this visioning process. Draft PC min 2-14-12 City of Albertville Planning & Zoning Commission Minutes February 14, 2012 Page 3 of 3 Brixius reviewed the inventory process and stated the inventory will give the Council and the Planning Commission a snapshot of existing conditions within the City providing a base of information by which future plans can be made. It will provide a basis for identifying community issues and opportunities. The inventory will be gathered using existing City map information and the 2010 Census. Brixius discussed the Tactics Interview process; NAC will conduct 30-45 minute interviews with City staff members Property Owners, and the City Council and Planning Commission to identify community issues and opportunities. NAC will prepare an Issues and Opportunity Summary and Issues Map. This summary will identify both majority and minority opinions on each topic issue. This information will be shared with each interview participant. Brixius reviewed Workshops and Goal Setting. NAC will conduct a workshop with the Council, Commission and staff to review the Issues and Opportunities Summary to identify the most pressing concerns and goals for the City and rank them in priority order. The workshop group will also be asked for ideas to implement the identified goals. The community priorities will be added to the Issues Summary Report. NAC will work with staff to prepare a summary of the next steps for implementing the community goals. The City Council will be asked to review the final document and formally adopt the document as the foundation for future decisions. The process gives everyone a voice, both individually and collectively, in defining the future vision for Albertville Brixius inquired about scheduling times for appointments for interviews, it was determined that commissioners should contact Bridget Miller, and or Jon Sutherland for scheduling interviews. OTHER BUSINESS None ADJOURN PCM Totman/Olson motioned to adjourn the meeting at 7:36 p.m. Motion carried unanimously. Jon Sutherland Recording Secretary Draft PC min 2-14-12 STMA ARENA BOARD MINUTES Monday, February 13, 2012 6:00 p.m. Present: Chairman Jeff Lindquist, and STMA Arena Board members Larry Sorensen, Dan Wagner, Gayle Weber, Chris Schumm, and Nicole Schoen. Also present were STMA Ice Arena Manager Grant Fitch, Finance Director Lannes and Albertville City Administrator Larry Kruse. Absent: None The meeting was called to order at 6:00 p.m. by Chairman Lindquist AGENDA Motion by Wagner/Weber to approve the agenda. Motion carried unanimously. CONSENT AGENDA Motion Wagner/Weber to approve the Consent Agenda. a. Approve the minutes from the January 9, 2012. b. Approve the January list of claims as presented in the amount of $2,560.15 and the Preliminary 2011 Annual Pre -audit Financial Report. Motion carried unanimously. OLD BUSINESS Arena Roof: The contract has been awarded to Ebert Construction. Ebert will proceed with the work as soon as weather permits. The consensus of the Board was to go with the white color, to reflect heat from the sun. Radiant Heat: The Board reviewed staff s request to install a pay-as-you-go radiant heat control. The cost to install would be $1,300 and the price to use would be $1.00 for 15 minutes. Staff suggested the money go into a newly established STMA Arena Building Fund. Fitch said that this concept originated with Youth Hockey having experienced it in other arenas. Youth Hockey earlier asked to be allowed to pay for and install the system with proceeds going to Youth Hockey. Since then, they have decided they don't want to be involved. No money is collected at this time for heat used in the bleacher area. The proposed fee would cover our cost to operate the units, and this "revenue" is described as someone else paying for the gas we may normally use. It is difficult to know the off -setting cost to refrigerate the ice at different times of the year when both heating and refrigeration systems are operating. That may be irrelevant when we are currently running the heaters and the question is who is paying for it. Other arenas have found their gas bills going down when the users have to pay for the heat. The selling point is arena users can pay for heat when they want it. As with everything, there will be some time daily/weekly management of the money and system. M:\Public Data\Arena\2012\Minutes\02-13-2012 Minutes.doc STMA ARENA BOARD MINUTES Monday, February 13, 2012 Page 2 of 3 Youth Hockey President Scott Berning said they had first looked at this and later changed their mind, as arena users are already paying for this and this would in essence be another charge. By consensus the Board agreed to table this item. ARENA MANAGER'S REPORT ARENA RENTAL HOURS — JANUARY Name Prime -time Youth Hockey 150.5 hours Adult Hockey 10 hours High School Boys/Girls 62.75 hours Public Skating 12.5 hours/$0 Private rentals 1.5 hours/$140 hr Learn To Skate 2 hours/$165 hr Total hours open 249.50 hours Total Revenue January. 1 St-31 st $43,395.18 BUILDING MAINTENANCE - No major repairs at this time. Routine ongoing Ice and Building maintenance. SPRING / SUMMER RATES STMA - $145.00 NON PRIME $125.00 Bufalo - $159.00 Rogers - $140.00 Non Prime $115.00 Elk River - $145.00 Non Prime $115.00 Monticello — 1-15 hours $125 (regular rate $140) 16-30 hours $110.00 per hour 31-? hours $95.00 per hour Saturdays - $75.00 per hour OPEN PUBLIC SKATING Open skating is scheduled for Saturdays from 12:00 to 1:30 p.m. Sundays 12:30 -2:00 p.m. and Wednesdays from 12:00-1:00 p.m. We had an average of 20 to 25 skaters for the month of January. NEW BUSINESS Arena Expansion Public Awareness (Fund/Thermometer): At the School and City Joint meeting held last month, it was recommended that the STMA Arena Board provide leadership to increase public awareness of the ice arena expansion goal. The Board discussed at length ways the Board might make the broader community aware of the need to raise up to $1,000,000 for the expansion. The consensus of the Board was to establish a M:\Public Data\Arena\2012\Minutes\02-13-2012 Minutes.doc STMA ARENA BOARD MINUTES Monday, February 13, 2012 Page 3 of 3 dedicated STMA Arena Expansion Fund and install several fund raising thermometer signs. It was suggested that exterior and interior signs be installed in the two cities and at the school. Motion by Schoen/ Schumm to approve the City of Albertville setting up a dedicated STMA Arena Expansion Account and to regularly report it balances. Motion carried unanimously Motion by Weber/Schumm to approve up to $1,000 for thermometer signs. Motion carried unanimously. Water Bottle Fill Station: Fitch asked the Board if they are interested in him checking out the cost to install a water bottle fill station. The Board asked Fitch to come to the next meeting with some estimates. Discounted Summer Ice: Brent Evenson and Dan Lannazzo are starting a summer ice program which may replace or compete with one of the groups that rented ice last year. They said they wanted to stay local but could not afford to pay the STMA rates. They reported that Monticello was offering discounted rates with incremental lower hourly rates for larger blocks of time. Staff said the STMA Arena could offer lower summer rates, however, if the Board maintains the philosophy that the Arena cash flow operations, winter rates might have to be increased to cover the decreased summer revenue if more hours are not sold to make up the difference. It was stated that if the Board lowers ice rates for one group, it would need to lower it for others now committed to renting ice. The Board requested staff look at some discount pricing and report to the next meeting. ADJOURN Motion by Wagner/Weber to adjourn the meeting at 7:35 p.m. Motion carried unanimously. Attest: Larry Kruse, Recording Secretary M:\Public Data\Arena\2012\Minutes\02-13-2012 Minutes.doc A,lbertville Small Town Living. Big City Life. TO: Mayor and City Council FROM: John Middendorf DATE: March 5, 2012 RE: Wastewater Treatment Plant and Water Department Update WATER I have review the policy on curb stop repairs. There are a couple of options. 1) Keep the policy the same, having the homeowner responsible for the house side of the curb stop. 2) Have the City be responsible for house side of curb stop, but not fix the driveway if disturbed. This would be added expenditures for the Water Dept. 3) Have the City be responsible for house side and the street side of curb stop, and fix the driveway if disturbed. This would be added expenditures for the Water Dept. I will be at the meeting and share some historical information. Leaks on the private side of the curb stop happen a little over once a year. City leaks between the main and the curb stop happen on average two times a year for our 2,400 accounts. It is fairly easy to determine if the leak is private or a City responsibility. We listen for the leak, then, shut the service off. If the leaking sound stops, it is a private responsibility. If the leaking sound continues, the leak is on the City's side of the curb stop. When it is dug up, this information is then confirmed. If we do repairs beyond the right of way, the cost can increase significantly with patching driveways. If the City takes on the responsibility, residents likely will be unhappy with a patch as it has color differential and can settle. They typically want more extensive work to the driveway than the repair merits and the City to warranty the work. Residents have various finishes, from grass, pavers, bituminous to concrete. If they hire their own contractor the City can stay out of determining the extent of the work and any warranty problems. Typically, when there is a private leak, we give the homeowner an option to fix it themselves or most of the time they want the City to repair it. They can if they want, have a licensed contractor complete the repair and the City will just inspect. Regarding curb stop tap downs. That is normal maintenance and the curb stop is made to adjust up and down. We have successfully managed the current policy so far and would recommend no change. MAPublic Data\City Council\Council Packet information\2012\03 05 2012\Utilities Dept Report.docx A fire hydrant was hit by a semi truck on 62nd street. The semi truck left the freeway near the bus accident site. The truck then struck the fire hydrant on 62nd street rupturing the fuel tank on the truck. The truck then spilled fuel down 62nd street into the Town Lakes area stopping at a catch basin. The Fire Dept has called a hazardous cleanup crew, and the site is being monitored by them. The fire hydrant was able to be repaired. The cost associated with the cleanup and hydrant will be billed to the owner of the truck. This month water shut offs. We put in 19 shut off notices in doors. With 6 shut offs, 2 of those were assumed to be vacant homes. 4 accounts were turned back on after payment was made. The Water/Wastewater Operator posting is set to close March I't. The successful applicant should start in April. We are receiving a significant amount of applicants. WASTEWATER The mild winter has been good for wastewater treatment operations. The digester process definitely works better in warm weather. However with the large number of mechanical equipment we do have break downs. This month one of our mixers is out for new bearings and seals. We maintain a stock of spare equipment and parts, and I have a spare mixer for this occasion. REED BED UPDATE We have completed harvesting the reed beds. This is the process where we cut the reed plants and burn them. This year has been difficult. The warm weather hampered the freezing of the sludge, and when the sludge froze it was very rough. Most of the cutting had to be done by hand with a hedge trimmer instead of the walk behind sickle mower. COUNTY DITCH 9 CLEANING • Clearing of trees and brush from county ditch 9 continues. We are now working in St. Michael. This area is not a high priority for St. Michael and the City of Albertville is the main beneficiary. However the City of St. Michael taking care of the brush pile all we have to do is cut it and pile it. This seems fair considering other tradeoffs we do with them. We have cleared 1600 feet total with about 200 feet left. Datal MAPublic Data\City Council\Council Packet information\2012\03 05 2012\Utilities Dept Report.docx 1-1 �bcrtvi l l iie Mayor and Council Communication 5-011 T— Winq. 111119 City LN.. February 29, 2012 SUBJECT: CITY COUNCIL - LEAGUE OF MINNESOTA CITIES NO FAULT SEWER COVERAGE RECOMMENDATION: It is respectfully requested that the Mayor and City Council adopt the following: Motion approve the Resolution 2012-011, increase the "No Fault Sewer Coverage" provided by the League of Minnesota Cities Insurance Trust (LMCIT) from $10,000 to $25,000 per occurrence. BACKGROUND: The city in recent years purchased additional coverage in the amount of $10,000 per occurrence for "No Fault Sewer". The recommendation is to increase that coverage amount to $25,000 because more residents have finished lower levels in their homes. This insurance provides first dollar coverage beyond the homeowners insurance. The Cost of the initial $10,000 of sewer backup insurance is $1,060. The League establishes a premium based on both the number of sewer backup incidents and the quality of our maintenance program. Our insurance is reasonable low because we have not had a significant amount of backups, and we have a quality sewer maintenance program. The $188 is a modest amount of premium to cover the increased investments residents have in their basements. POLICY CONSIDERATIONS: The City does not have a policy on insurance and these issues are handled on a case by case basis. FINANCIAL CONSIDERATIONS: The cost to increase coverage for "No Fault Sewer" is $188 for the year. LEGAL CONSIDERATIONS: The Mayor and Council have the authority to contract for insurance coverage. Respectfully submitted, Larry R. Kruse City Administrator Department/Responsible Person: Finance/Tina Lannes, Finance Director Encl: Resolution 2012-011 A,IbertV111£ Mayor and Council Communication Small Town UWng. gig City Ufa. February 23, 2012 Building Dept. Report January, 2012 We had 22 permits issued in January for a construction value of $80,443, which consisted of mostly residential remodel permits. Little Caesars Pizza received their Certificate of Occupancy and opened for business @ 5585 Lacentre. Stephan's Meats sold their business and we have a new owner - Center Cut Meats who obtained a permit for new signs. We also issued several other temporary and permanent sign permits. Vacant properties; Work with vacant property inspections continues as we seek to have the owners or lending institutions complete the registration and inspection process. Rental housing inspections; Sue is busy processing rental licenses and we have issued 72 rental licenses to date. Zoning Enforcement; We worked with Protech Marine to resolve the fence and gate compliance issue concerning their CUP. We continue to work to resolve several sign ordinance and building occupancy violations. Enclosures: Permit Log Jan. 2012 M:\Public Data\Building Department\Reports\2012 Reports\01 312012 Bldg Report to Council.doc Agenda Item No. 2012 AlberNflle Permit Log Permit Number Date Issued Rev Compl. Date Ree'd Type of Work Address on Permit Builder/Owner Valuation Fee Paid 2012-001 01/04/12 01/04/12 01/04/12 Sign Permanent 11646 Barthel Industrial Drh Center Cut Meats $300.00 $41.75 2012-002 01/04/12 01/04/12 01/04/12 Sign Permanent 11019 61st Street NE Good Year $9,000.00 $296.55 2012-003 01/05/12 01/05/12 01/05/12 Sign Temporary 5600 LaCentre Avenue NE Sassy Seconds $0.00 $25.00 2012-004 01/05/12 05/05/12 05/05/12 Roof Repairs 5404 Kahler Majestic Custom $500.00 $25.50 2012-005 1 01/10/12 01/10/12 01/10/12 Furance 10375 Karston Avenue NE Deans Plumbing $3,900.00 $30.00 2012-006 01/10/12 01/10/12 01/10/12 Sign Permanent 11646 Barthel Industrial Dri Center Cut Meats $3,700.00 $105.25 2012-007 01/12/12 01/12/12 01/12/12 Basement Finish 10385 61st Street NE DiShneau, Tim $18,000.00 $520.09 2012-008 01/17/12 01/17/12 01/17/12 Water Softner 5532 Jason Court NE Culligan Buffalo $500.00 $30.00 2012-009 01/18/12 01/18/12 01/18/12 Demolition 5898 Main Avenue NE James Plumbing $3,000.00 $89.55 2012-010 01/19/12 01/19/12 01/19/12 Furance Replace 10465 51st Court NE Deans Plum ing $5,000.00 $30.00 2012-011 01/19/12 01/19/12 01/19/12 Remodel 5479 Main Avenue NE Grotte, Jason . $18,000.00 $520.09 2012-012 01/19/12 01/19/12 01/19/12 Reside 6827 67th Street NE Thunder Restoration $5,000.00 $120.50 2012-013 01/19/12 01/19/12 01/19/12 Basement Finish 4981 Kagan Avenue NE Eull, Brent $8,000.00 $271.71 2012-014 01/19/12 01/19/12 01/19/12 1 Right of Way LaBeaux Avenue NE Xcel Energy $0.00 $150.00 2012-015 01/23/12 01/23/12 01/23/12 Dishwasher 10572 56 Street NE Pfeifer, Troy $500.00 $30.00 2012-016 2012-017 O1/23/12 01/23/12 01/23/12 01/23/12 01/23/12 0 1/23/121 Sign, Temporary Sign, Temporary 5262 Kayler Avenue NE 5721 LaCntre #208 Patti J's Cafe Refine Dermati ue $0.00 $0.00 $25.00 $25.00 2012-018 01/23/12 01/23/12 01/23/12 Sign, Temporag 5262 Kyler Avenue D's Family Pizza $0.00 $25.00 2012-019 01/23/12 01/23/12 01/23/12 Ansul Fire System 5585 LaCentre Avenue Little Caesars $2,543.00 $147.08 2012-020 01/23/12 01/23/12 01/23/12 Right of Way Albertville Markketplace Xcel Energy $0.00 $150.00 MAPublic Data\Building DepartmentTermit Logs\2012\2012 Permit Log Page 1 of 9 2012 Albertvrile Pennit Log Permit Number Date Issued Type of Work Address on Permit Builder/Owner Valuation Fee Paid 2012-021 01/24/12 01/24/12 01/24/12 Sign, Permanent 5585 LaCentre Avenue Install This $2,500.00 $147.08 2012-022 01/30/12 01/30/12 01/30/12 Sign, Temporary 6060 Labeaux Avenue NE Saviski, Don $0.00 $25.00 TOTAL $ 80,443.00 $ 2,830.15 MAPublic Dam\Building DepartmentTermit Logs12012\2012 Permit Log Page 2 of 9 bertvi ll �1e Mayor and Council Communication Small Town UNng. gig City Ufs. February 29, 2012 SUBJECT: FINANCE DEPARTMENT - 2012A GENERAL OBLIGATION IMPROVEMENT CROSSOVER REFUNDING BONDS RECOMMENDATION: It is respectfully requested that the Mayor and Council consider the following: Motion to adopt Resolution No. 2012-009 entitled a Resolution Awarding the Sale of $2,310,000 General Obligation Improvement Crossover Refunding Bonds, Series 2012A; Fixing Their Form and Specifications; Directing Their Execution and Delivery; and Providing for Their Payment. Descripiton: This refunding involves the refinancing of the Lachman Avenue Project, Barthel Industrial Project and the New Horizon's Storm Water Pond Project bonds. KEY ISSUES: This refunding does not increase the remaining length of the debt for the City of Albertville. POLICY CONSIDERATIONS: It is the City's policy to review and approve redemption of bonds on first call date if it is feasible and has significant savings. FINANCIAL CONSIDERATIONS: Refinancing this bond does not affect the 2011 budget. Pricing on the bonds came in better than expected at $162,071.53 in future savings. LEGAL CONSIDERATIONS: The Mayor and Council have the statutory authority to reissue bonds pursuant to the bond indentures. Bond Attorney Steve Bubul of Kennedy and Graven will represent the City insuring the proper issuance of the bonds. Submitted through: Larry Kruse, City Administrator Department/Responsible Person: Finance, Tina Lannes, Finance Director Attachments: Extract of minutes and Resolution Number 2012-009 M:\Public Data\Requests for Council Actions (RCA)\2012\03 05 2012 Reissue GO Bond 2012A RCA (b).doc Agenda Item No. / .F•2. Meeting Date July 18, 2011 Mayor and Council Communication — February 15, 2011 Finance — Payment of Claims Page 2 of 2 NORTHLAND 40 SECURITIES City of Albertville, Minnesota $2,310,000 General Obligation Improvement Crossover Refunding Bonds, Series 2012A Bond Sale Summary March 5, 2012 PURPOSE: To crossover refund on February 1, 2015 the February 1, 2018 through 2023 maturities of the City's General Obligation Improvement Bonds, Series 2007A. FINANCE PLAN: To achieve net present value savings equal to at least to at least meet the 3% of the present value of the refunded debt service. RESULTS: The City's general obligation rating was reaffirmed at "Aa3" by Moody's. Total net savings of $162,071 with a present value of $145,508 representing 6.04% of refunded debt service. Final on Finance Plan 02/26/2012 011712 Par Amount $2,310,000 $2,310,000 Average Coupon 1.99% 2.00% True Interest Cost (TIC) 1.78% 1.74% Net F.V. Savings $162,071 $161,272 Net P.V. Savings $145,508 $144,766 Net P.V. / P.V. of Refunded 6.04% 6.01% D/S Debt Service Comparison Date Total P+I PCF Existing D/S Net New DIS Old Net WS Savings 02/01/2013 38,083.33 (38,083.33) 429,945.00 429,883.47 429,945.00 61.53 02/01/2014 45,700.00 (45,700.00) 428,745.00 428,745.00 428,745.00 - 02/01/2015 45,700.00 (2,270,700.00) 2,652,145.00 427,145.00 427,145.00 - 02/01/2016 70,700.00 345,800.00 416,500.00 435,145.00 18,645.00 02/01/2017 70,450.00 338,000.00 408,450.00 427,345.00 18,895.00 02/01/2018 415,200.00 - 415,200.00 434,345.00 19,145.00 02/01/2019 412,800.00 412,800.00 435,545.00 22,745.00 02/01/2020 420,300.00 420,300.00 441,145.00 20,845.00 02/01/2021 417,500.00 417,500.00 435,945.00 18,445.00 02/01/2022 414,600.00 414,600.00 435,345.00 20,745.00 02/01/2023 336,600.00 336,600.00 359,145.00 22,545.00 Total $2,687,633.33 (2,354,483.33) $4,194,635.00 $4,527,723.47 $4,689,795.00 $162,071.53 follows: CITY OF ALBERTVILLE COUNTY OF WRIGHT STATE OF MINNESOTA RESOLUTION NO.2012-009 A RESOLUTION AWARDING THE SALE OF $2,310,000 GENERAL OBLIGATION IMPROVEMENT CROSSOVER REFUNDING BONDS, SERIES 2012A; FIXING THEIR FORM AND SPECIFICATIONS; DIRECTING THEIR EXECUTION AND DELIVERY; PROVIDING FOR THEIR PAYMENT; PROVIDING FOR THE ESCROWING AND INVESTMENT OF THE PROCEEDS THEREOF; AND PROVIDING FOR THE REDEMPTION OF BONDS REFUNDED THEREBY. BE IT RESOLVED By the City Council of the City of Albertville, Minnesota (the "City") as Section 1. Sale of Bonds. 1.01. Authorization. Notwithstanding anything to the contrary in the City's resolution of February 6, 2012 authorizing the sale of the Bonds (the "Authorizing Resolution"), the City hereby finds and determines that the City is authorized by Minnesota Statues, Section 475.60, Subdivision 2(5) to negotiate the sale of the Bonds, it being determined that the Bonds are crossover refunding obligations referred to in Minnesota Statutes Section 475.67, Subd. 13. All capitalized terms herein have the meaning provided in the Authorizing Resolution. 1.02 Award to the Purchaser and Interest Rates. The proposal of Northland Securities, Inc. (the "Purchaser") is determined to be a reasonable offer and is accepted, the proposal being to purchase the Bonds at a price of $2,345,292.65 (par amount of $2,310,000, plus an original issue premium of $72,483.65, less an underwriter's discount of $37,191.00), plus $1,142.50 of accrued interest to date of delivery, for Bonds bearing interest as follows: Year Interest Rate Year Interest Rate 2017* 1.00% 2021 2.00% 2018 2.00 2022 2.00 2019 2.00 2023 2.00 2020 2.00 * Term Bonds 1.02. Purchase Contract. The Finance Director and City Administrator are directed to execute a contract with the Purchaser on behalf of the City 1.03. Terms and Principal Amounts of the Bonds. The City will forthwith issue and sell the Bonds pursuant to the Act in the total principal amount of $2,310,000, originally dated April 1, 2012, in the denomination of $5,000 each or any integral multiple thereof, numbered No. R-1, upward, bearing interest as above set forth, and maturing serially on February 1 in the years and amounts as follows: Year Amount Year Amount 2017* $50,000 2018 370,000 2019 375,000 2020 390,000 * Term Bonds 2021 $395,000 2022 400,000 2023 330,000 For the purpose of complying with Minnesota Statutes, Section 474.54, Subdivision 1, the maturity schedule for the Bonds has been combined with the maturity schedule for the $4,035,000 General Obligation Improvement Bonds, Series 2007A, as permitted by Minnesota Statutes, Section 475.54, Subdivision 2. 1.04. Optional Redemption. The City may elect on February 1, 2020, and on any day thereafter to prepay Bonds due on or after February 1, 2021. Redemption may be in whole or in part and if in part, at the option of the City and in such manner as the City will determine. If less than all Bonds of a maturity are called for redemption, the City will notify DTC (as defined in Section 8 hereof) of the particular amount of such maturity to be prepaid. DTC will determine by lot the amount of each participant's interest in such maturity to be redeemed and each participant will then select by lot the beneficial ownership interests in such maturity to be redeemed. Prepayments will be at a price of par plus accrued interest. 1.05. Term Bonds; Mandatory Redemption. The Bonds maturing on February 1, 2017 shall hereinafter be referred to collectively as the "Term Bonds." The principal amounts of the Term Bonds subject to mandatory sinking fund redemption on any date may be reduced through earlier optional redemptions, with any partial redemptions of the Term Bonds credited against future mandatory sinking fund redemptions of such Term Bonds in such order as the City shall determine. The Term Bonds are subject to mandatory sinking fund redemption and shall be redeemed in part by lot at par plus accrued interest on the sinking fund installment dates and in the principal amounts as follows: Sinking Fund Installation Date Principal Amount 2016 $25,000 2017 (maturity) 25,000 The specific Term Bonds to be redeemed will be selected by lot by the Bond Registrar. All prepayments will be at a price of par plus accrued interest. Section 2. Registration and Payment. 2.01. Registered Form. The Bonds will be issued only in fully registered form. The interest thereon and, upon surrender of each Bond, the principal amount thereof, is payable by check or draft issued by the Registrar described herein. 2.02. Dates; Interest Payment Dates. Each Bond will be dated as of the last interest payment date preceding the date of authentication to which interest on the Bond has been paid or made available for payment, unless (i) the date of authentication is an interest payment date to which interest has been paid or made available for payment, in which case the Bond will be dated as of the date of authentication, or (ii) the 3974590 MNI AL141-54 2 date of authentication is prior to the first interest payment date, in which case the Bond will be dated as of the date of original issue. The interest on the Bonds is payable on February 1 and August 1 of each year, commencing February 1, 2013, to the registered owners of record as of the close of business on the fifteenth day of the immediately preceding month, whether or not that day is a business day. 2.03. Registration. The City will appoint a bond registrar, transfer agent, authenticating agent and paying agent (the "Registrar"). The effect of registration and the rights and duties of the City and the Registrar with respect thereto are as follows: (a) Re ig ster. The Registrar must keep at its principal corporate trust office a bond register in which the Registrar provides for the registration of ownership of Bonds and the registration of transfers and exchanges of Bonds entitled to be registered, transferred or exchanged. (b) Transfer of Bonds. Upon surrender for transfer of a Bond duly endorsed by the registered owner thereof or accompanied by a written instrument of transfer, in form satisfactory to the Registrar, duly executed by the registered owner thereof or by an attorney duly authorized by the registered owner in writing, the Registrar will authenticate and deliver, in the name of the designated transferee or transferees, one or more new Bonds of a like aggregate principal amount and maturity, as requested by the transferor. The Registrar may, however, close the books for registration of any transfer after the fifteenth day of the month preceding each interest payment date and until that interest payment date. (c) Exchange of Bonds. When Bonds are surrendered by the registered owner for exchange the Registrar will authenticate and deliver one or more new Bonds of a like aggregate principal amount and maturity as requested by the registered owner or the owner's attorney in writing. (d) Cancellation. Bonds surrendered upon transfer or exchange will be promptly cancelled by the Registrar and thereafter disposed of as directed by the City. (e) Improper or Unauthorized Transfer. When a Bond is presented to the Registrar for transfer, the Registrar may refuse to transfer the Bond until the Registrar is satisfied that the endorsement on the Bond or separate instrument of transfer is valid and genuine and that the requested transfer is legally authorized. The Registrar will incur no liability for the refusal, in good faith, to make transfers which it, in its judgment, deems improper or unauthorized. (f) Persons Deemed Owners. The City and the Registrar may treat the person in whose name a Bond is registered in the bond register as the absolute owner of the Bond, whether the Bond is overdue or not, for the purpose of receiving payment of, or on account of, the principal of and interest on the Bond and for all other purposes, and payments so made to a registered owner or upon the owner's order will be valid and effectual to satisfy and discharge the liability upon the Bond to the extent of the sum or sums so paid. (g) Taxes, Fees and Charges. The Registrar may impose a charge upon the owner thereof for a transfer or exchange of Bonds sufficient to reimburse the Registrar for any tax, fee or other governmental charge required to be paid with respect to the transfer or exchange. (h) Mutilated, Lost, Stolen or Destroyed Bonds. If a Bond becomes mutilated or is destroyed, stolen or lost, the Registrar will deliver a new Bond of like amount, number, maturity date and tenor in exchange and substitution for and upon cancellation of the mutilated Bond or in lieu of and in substitution for any Bond destroyed, stolen or lost, upon the payment of the reasonable 3974590 MNI AL141-54 3 expenses and charges of the Registrar in connection therewith; and, in the case of a Bond destroyed, stolen or lost, upon filing with the Registrar of evidence satisfactory to it that the Bond was destroyed, stolen or lost, and of the ownership thereof, and upon furnishing to the Registrar an appropriate bond or indemnity in form, substance and amount satisfactory to it and as provided by law, in which both the City and the Registrar must be named as obligees. Bonds so surrendered to the Registrar will be cancelled by the Registrar and evidence of such cancellation must be given to the City. If the mutilated, destroyed, stolen or lost Bond has already matured or been called for redemption in accordance with its terms it is not necessary to issue a new Bond prior to payment. (i) Redemption. In the event any of the Bonds are called for redemption, notice thereof identifying the Bonds to be redeemed will be given by the Registrar by mailing a copy of the redemption notice by first class mail (postage prepaid) to the registered owner of each Bond to be redeemed at the address shown on the registration books kept by the Registrar and by publishing the notice if required by law. Failure to give notice by publication or by mail to any registered owner, or any defect therein, will not affect the validity of any proceeding for the redemption of Bonds. Bonds so called for redemption will cease to bear interest after the specified redemption date, provided that the funds for the redemption are on deposit with the place of payment at that time. 2.04. Appointment of Initial Re isg tsar. The City appoints Northland Trust Services, Inc., Minneapolis, Minnesota, as the initial Registrar. The Mayor and the City Administrator are authorized to execute and deliver, on behalf of the City, a contract with the Registrar. Upon merger or consolidation of the Registrar with another corporation, if the resulting corporation is a bank or trust company authorized by law to conduct such business, the resulting corporation is authorized to act as successor Registrar. The City agrees to pay the reasonable and customary charges of the Registrar for the services performed. The City reserves the right to remove the Registrar upon 30 days' notice and upon the appointment of a successor Registrar, in which event the predecessor Registrar must deliver all cash and Bonds in its possession to the successor Registrar and must deliver the bond register to the successor Registrar. On or before each principal or interest due date, without further order of this Council, the City Finance Director must transmit to the Registrar monies sufficient for the payment of all principal and interest then due. 2.05. Execution, Authentication and Delivery. The Bonds will be prepared under the direction of the City Administrator and executed on behalf of the City by the signatures of the Mayor and the City Administrator, provided that all signatures may be printed, engraved or lithographed facsimiles of the originals. If an officer whose signature or a facsimile of whose signature appears on the Bonds ceases to be such officer before the delivery of any Bond, that signature or facsimile will nevertheless be valid and sufficient for all purposes, the same as if the officer had remained in office until delivery. Notwithstanding such execution, a Bond will not be valid or obligatory for any purpose or entitled to any security or benefit under this Resolution unless and until a certificate of authentication on the Bond has been duly executed by the manual signature of an authorized representative of the Registrar. Certificates of authentication on different Bonds need not be signed by the same representative. The executed certificate of authentication on a Bond is conclusive evidence that it has been authenticated and delivered under this Resolution. When the Bonds have been so prepared, executed and authenticated, the City Administrator will deliver the same to the Purchaser upon payment of the purchase price in accordance with the contract of sale heretofore made and executed, and the Purchaser is not obligated to see to the application of the purchase price. 2.06. Temporary Bonds. The City may elect to deliver in lieu of printed definitive Bonds one or more typewritten temporary Bonds in substantially the form set forth in Section 3 with such changes as may be necessary to reflect more than one maturity in a single temporary bond. Upon the execution and delivery of definitive Bonds the temporary Bonds will be exchanged therefor and cancelled. 3974590 MNI AL141-54 4 Section 3. Form of Bond. 3.01. Form. The Bonds will be printed or typewritten in substantially the form as attached hereto as EXHIBIT A. 3.02. Approving Legal Opinion. The Administrator is authorized and directed to obtain a copy of the proposed approving legal opinion of Kennedy & Graven, Chartered, Minneapolis, Minnesota, which is to be complete except as to dating thereof and cause the opinion to be printed on or accompany each Bond. Section 4. Bonds; Security; Escrow. 4.01. Funds and Accounts. For the convenience and proper administration of the money to be borrowed and repaid on the Bonds and the Series 2007 Bonds (as defined in the Authorizing Resolution), and to provide adequate and specific security for the Purchaser and holders from time to time of the Bonds and the Series 2007 Bonds, there is herein created a special fund to be designated the General Obligation Improvement Crossover Refunding Bonds, Series 2012A Fund (the "Fund") to be administered and maintained by the Finance Director as a bookkeeping account separate and apart from all other funds maintained in the official financial records of the City. The Fund will be maintained in the manner herein specified until all of the Series 2007 Bonds have been paid and until all of the Bonds and the interest thereon will have been fully paid. There will be maintained in the Fund two separate accounts, to be designated the Escrow Account and the Debt Service Account. (a) Escrow Account. The Escrow Account will be maintained as an Escrow Account (the "Escrow Account") with Northland Trust Services, Inc. in Minneapolis, Minnesota, which is a suitable financial institution within the State, whose deposits are insured by the Federal Deposit Insurance Corporation, whose combined capital and surplus is not less than $500,000 and said financial institution is hereby designated escrow agent (the "Escrow Agent") for the Escrow Account. All proceeds of the sale of the Bonds will be received by the Escrow Agent and applied to fund the Escrow Account, to pay costs of issuing the Bonds or to fund the Debt Service Fund under Section 4.01(b). Proceeds of the Bonds not used to pay costs of issuance or to fund the Debt Service Fund under Section 4.01(b) are hereby irrevocably pledged and appropriated to the Escrow Account, together with all investment earnings thereon. The Escrow Account will be invested in securities maturing or callable at the option of the holder on such dates and bearing interest at such rates as will be required to provide sufficient funds, together with any cash or other funds retained in the Escrow Account, to pay when due the interest to accrue on each Bond, and to pay when due on the Redemption Date, the principal amount of each of the Series 2007 Bonds then outstanding. From the Escrow Account there will be paid (i) all interest paid on, or to be paid on, or to accrue on, the Bonds to and including the Redemption Date (as defined herein); and (ii) the principal of the Series 2007 Bonds due by reason of redemption on February 1, 2015 (the "Redemption Date"). The Escrow Account will be irrevocably appropriated to the payment of the principal of and interest on the Bonds until the proceeds of the Bonds therein are applied to prepayment of the Series 2007 Bonds. The moneys in the Escrow Account will be used solely for the purposes herein set forth and for no other purpose, except that any surplus in the Escrow Account may be remitted to the City, all in accordance with the Escrow Agreement (hereafter defined) by and between the City and the Escrow Agent. Any moneys remitted to the City upon termination of the Escrow Agreement will be deposited in the Debt Service Fund. (b) Debt Service Fund. To the Debt Service Fund there is hereby pledged and irrevocably appropriated and there will be credited: (i) any balance remitted to the City upon the termination of the Escrow Agreement; (ii) any balance remaining on February 2, 2017, in the Debt 3974590 MN1 AL141-54 5 Service Fund created by the City Council resolution authorizing the issuance and sale of the Series 2007 Bonds (the "Prior Resolution"); (iii) any collections of all taxes hereafter levied for the payment of the Bonds and interest thereon; (iv) all investment earnings on funds in the Debt Service Fund; (v) after February 1, 2017, all special assessments and taxes pledged to the repayment of the Series 2007 Bonds in the Prior Resolution; (vi) proceeds of the Bonds in excess of amounts needed to fund the Escrow Account and pay costs of issuance of the Bonds and (vii) any and all other moneys which are properly available and are appropriated by the City Council to the Debt Service Fund. The amount of any surplus remaining in the Debt Service Fund when the Bonds and interest thereon are paid will be used as provided in Section 475.61, Subdivision 4 of the Act. 4.02. Findings. It is hereby found and determined that based upon information provided by the Purchaser of the Bonds, the issuance of the Bonds will result in a reduction of debt service cost to the City of the Series 2007 Bonds, such that the present value of such debt service or interest cost savings (the "Reduction") is at least 6.540% of the debt service on the Series 2007 Bonds. The Reduction, after the inclusion of all authorized expenses of refunding in the computation of the effective interest rate on the Bonds is adequate to authorize the issuance of the Bonds as provided by Minnesota Statutes, Section 475.67, Subdivisions 12 and 13. 4.03. Investment of Funds. The moneys in the Debt Service Fund will be used solely to pay the principal of and interest on the Bonds or any other bonds hereafter issued and made payable from the Fund. No portion of the proceeds of the Bonds will be used directly or indirectly to acquire higher yielding investments or to replace funds which were used directly or indirectly to acquire higher yielding investments, except (i) for a reasonable temporary period until such proceeds are needed for the purpose for which the Bonds were issued, and (ii) in addition to the above, in an amount not greater than the lesser of five percent of the proceeds of the Bonds or $100,000. To this effect, any proceeds of the Bonds and any sums from time to time held in the Fund (or any other City account which will be used to pay principal and interest to become due on the Bonds) in excess of amounts which under the applicable federal arbitrage regulations may be invested without regard as to yield will not be invested at a yield in excess of the applicable yield restrictions imposed by the arbitrage regulations on such investments after taking into account any applicable temporary periods or minor portion made available under the federal arbitrage regulations. In addition, the proceeds of the Bonds and money in the Fund will not be invested in obligations or deposits issued by, guaranteed by or insured by the United States or any agency or instrumentality thereof if and to the extent that such investment would cause the Bonds to be federally guaranteed within the meaning of Section 149(b) of the Internal Revenue Code of 1986, as amended (the Code). 4.04. General Obligation Pledge. For the prompt and full payment of the principal and interest on the Bonds, as the same respectively become due, the full faith, credit and taxing powers of the City will be and are hereby pledged. If the balance in the Escrow Account or the Debt Service Account, as the case may be, is ever insufficient to pay all principal and interest then due on the Bonds and any other bonds payable therefrom, the deficiency will be promptly paid out of money in the general fund of the City which is available for such purpose, and such general fund may be reimbursed with or without interest from the Escrow Account or the Debt Service Account, as the case may be, when a sufficient balance is available therein. 4.05 Cancellation of Prior Levy. (a) It is hereby determined that upon the deposit of Proceeds in the Escrow Account (as such terms are defined in Section 5 hereof), an irrevocable appropriation to the debt service fund for the Series 2007 Bonds maturing after February 1, 2017 will have been made within the meaning of Section 475.61, subdivision 3 of the Act and the City Clerk is hereby authorized and directed to certify such fact to and request the County Auditor to cancel any and all tax levies related to the Series 2007 Bonds for taxes payable 3974590 MNI AL141-54 6 in 2017 and thereafter made by the Prior Resolution. 4.06. Pledge of Tax Levy. (a) To provide money for payment of the principal and interest on the Bonds maturing after the Redemption Dates there is levied a direct annual irrepealable ad valorem tax upon all of the taxable property in the City, which tax will be spread upon the tax rolls and collected with and as part of other general taxes of the City. Such tax will be credited to the Debt Service Fund above provided and will be in the years and in the amounts as shown on the attached EXHIBIT B. (b) The tax levy is such that if collected in full it, together with all amounts in the Escrow Account to the Redemption Date, and other revenues herein pledged for the payment of the Bonds, will produce at least five percent (5%) in excess of the amount needed to meet when due the principal and interest payments on the Bonds. The tax levy will be irrepealable so long as any of the Bonds are outstanding and unpaid, provided that the City reserves the right to reduce the levy in the manner and to the extent permitted by Section 475.61, Subdivision 3 of the Act. 4.07. Filing. The City Clerk is authorized and directed to file a certified copy of this Resolution with the County Auditor of Wright County and to obtain the certificate required by Section 475.63 of the Act. 4.08. Prior Resolution Pledges. The pledges and covenants of the City made by the Prior Resolution relating to the levy and collection of special assessments against property specially benefited by improvements financed by the Series 2007 Bonds are restated and confirmed in all respects. The provisions of the Prior Resolution are supplemented to the extent necessary to give full effect to the provisions of this Resolution. Section 5. Refunding; Findings; indings; Redemption of Series 2007 Bonds. 5.01. Deposit of Proceeds. As of the date of delivery of the Bonds, proceeds of the Bonds in the amount of $2,330,848.62 (the "Proceeds") are pledged and appropriated and will be deposited in the Escrow Account. Proceeds of the Bonds used to pay costs of issuance of the Bonds ($15,525.00) will be deposited with the Escrow Agent pursuant to the Escrow Agreement. Proceeds in excess of amounts needed to fund the Escrow Account and pay costs of issuance of the Bonds are appropriated to the Debt Service Account in accordance with Section 4.01(b) of this Resolution. 5.02. Payment of the Bonds and the Series 2007 Bonds. It is found and determined that the Proceeds available and appropriated to the Escrow Account will be sufficient to pay principal of and interest on the Bonds through the Redemption Date, and to pay at maturity or redemption all of the principal of and redemption premium (if any) on each of the Series 2007 Bonds maturing after the Redemption Date. 5.03. Notice of Payment. The Series 2007 Bonds maturing on February 1, 2018 and thereafter will be redeemed and prepaid on February 1, 2015. The Series 2007 Bonds will be redeemed and prepaid in accordance with their terms and in accordance with the terms and conditions set forth in the form of Notice of Call for Redemption attached hereto as Exhibit C, which terms and conditions are hereby approved and incorporated herein by reference. The Registrar for the Series 2007 Bonds is authorized and directed to send a copy of the Notice of Redemption to the registered holder of the Series 2007 Bonds. 5.04. Escrow Agreement. On or prior to the delivery of the Bonds, the Mayor and the City Administrator are authorized and directed to execute on behalf of the City an escrow agreement (the "Escrow Agreement") with the Escrow Agent in substantially the form now on file with the City Administrator. All essential terms and conditions of the Escrow Agreement, including payment by the City of reasonable 3974590 MNI AL141-54 7 charges for the services of the Escrow Agent, are approved and adopted and made a part of this Resolution, and the City covenants that it will promptly enforce all provisions thereof in the event of default thereunder by the Escrow Agent. Section 6. Authentication of Transcript. 6.01. City Proceedings and Records. The officers of the City are authorized and directed to prepare and furnish to the Purchaser and to the attorneys approving the Bonds certified copies of proceedings and records of the City relating to the Bonds and to the financial condition and affairs of the City, and such other certificates, affidavits and transcripts as may be required to show the facts within their knowledge or as shown by the books and records in their custody and under their control, relating to the validity and marketability of the Bonds, and such instruments, including any heretofore furnished, will be deemed representations of the City as to the facts stated therein. 6.02. Certification as to Official Statement. The Mayor, City Administrator and Finance Director are hereby authorized and directed to certify that they have examined the Official Statement prepared and circulated in connection with the issuance and sale of the Bonds and that to the best of their knowledge and belief the Official Statement is a complete and accurate representation of the facts and representations made therein as of the date of the Official Statement. Section 7. Tax Covenants. 7.01. Tax -Exempt Bonds. The City covenants and agrees with the holders from time to time of the Bonds that it will not take or permit to be taken by any of its officers, employees, or agents any action which would cause the interest on the Bonds to become subject to taxation under the Internal Revenue Code of 1986, as amended (the "Code"), and the Treasury Regulations promulgated thereunder, in effect at the time of such actions, and that it will take or cause its officers, employees or agents to take, all affirmative action within its power that may be necessary to ensure that such interest will not become subject to taxation under the Code and applicable Treasury Regulations, as presently existing or as hereafter amended and made applicable to the Bonds. To that end, the City will comply with all requirements necessary under the Code to establish and maintain the exclusion from gross income of the interest on the Bonds under Section 103 of the Code, including without limitation requirements relating to temporary periods for investments and limitations on amounts invested at a yield greater than the yield on the Bonds. 7.02. Rebate. For purposes of qualifying for the small issuer exception to the federal arbitrage rebate requirements, the City finds, determines and declares that: (i) each of the Series 2007 Bonds was issued as part of an issue which was treated as meeting the rebate requirements by reason of the exception for governmental units issuing $5,000,000 or less of bonds; (ii) the average maturity of the Bonds does not exceed the remaining average maturity of the Series 2007 Bonds; and (iii) no maturity of the Bonds has a maturity date which is later than the date which is 30 years after the date the original bonds (refunded by the Series 2007 Bonds) were issued. 3974590 MNI AL141-54 8 7.03. Not Private Activity Bonds. The City further covenants not to use the proceeds of the Bonds or to cause or permit them or any of them to be used, in such a manner as to cause the Bonds to be "private activity bonds" within the meaning of Sections 103 and 141 through 150 of the Code. 7.04. Qualified Tax -Exempt Obligations. In order to qualify the Bonds as "qualified tax-exempt obligations" within the meaning of Section 265(b)(3) of the Code, the City makes the following factual statements and representations: (a) the Bonds are not "private activity bonds" as defined in Section 141 of the Code; (b) the City designates the Bonds as "qualified tax-exempt obligations" for purposes of Section 265(b)(3) of the Code; (c) the reasonably anticipated amount of tax-exempt obligations (other than private activity bonds, that are not qualified 501(c)(3) bonds) which will be issued by the City (and all subordinate entities of the City) during calendar year 2012 will not exceed $10,000,000; and (d) not more than $10,000,000 of obligations issued by the City during calendar year 2012 have been designated for purposes of Section 265(b)(3) of the Code. 7.05. Procedural Requirements. The City will use its best efforts to comply with any federal procedural requirements which may apply in order to effectuate the designations made by this section. Section 8. Book -Entry System; Limited Obligation of City. 8.01. DTC. The Bonds will be initially issued in the form of a separate single typewritten or printed fully registered Bond for each of the maturities set forth in Section 1.04 hereof. Upon initial issuance, the ownership of each such Bond will be registered in the registration books kept by the Registrar in the name of Cede & Co., as nominee for The Depository Trust Company, New York, New York, and its successors and assigns ("DTC"). Except as provided in this Section, all of the outstanding Bonds will be registered in the registration books kept by the Registrar in the name of Cede & Co., as nominee of DTC. 8.02. Participants. With respect to Bonds registered in the registration books kept by the Registrar in the name of Cede & Co., as nominee of DTC, the City, the Registrar and the Paying Agent will have no responsibility or obligation to any broker dealers, banks and other financial institutions from time to time for which DTC holds Bonds as securities depository (the "Participants") or to any other person on behalf of which a Participant holds an interest in the Bonds, including but not limited to any responsibility or obligation with respect to (i) the accuracy of the records of DTC, Cede & Co. or any Participant with respect to any ownership interest in the Bonds, (ii) the delivery to any Participant or any other person (other than a registered owner of Bonds, as shown by the registration books kept by the Registrar), of any notice with respect to the Bonds, including any notice of redemption, or (iii) the payment to any Participant or any other person, other than a registered owner of Bonds, of any amount with respect to principal of, premium, if any, or interest on the Bonds. The City, the Registrar and the Paying Agent may treat and consider the person in whose name each Bond is registered in the registration books kept by the Registrar as the holder and absolute owner of such Bond for the purpose of payment of principal, premium and interest with respect to such Bond, for the purpose of registering transfers with respect to such Bonds, and for all other purposes. The Paying Agent will pay all principal of, premium, if any, and interest on the Bonds only to or on the order of the respective registered owners, as shown in the registration books kept by the Registrar, and all such payments will be valid and effectual to fully satisfy and discharge the City's obligations with respect to payment of principal of, premium, if any, or interest on the Bonds to the extent of the sum or sums so paid. No person other than a registered owner of Bonds, as shown in the registration books kept by the Registrar, will receive 3974590 MNI AL141-54 (� a certificated Bond evidencing the obligation of this Resolution. Upon delivery by DTC to the City Finance Director of a written notice to the effect that DTC has determined to substitute a new nominee in place of Cede & Co., the words "Cede & Co.," will refer to such new nominee of DTC; and upon receipt of such a notice, the City Finance Director will promptly deliver a copy of the same to the Registrar and Paying Agent. 8.03. Representation Letter. The City has heretofore executed and delivered to DTC a Blanket Issuer Letter of Representations (the "Representation Letter") which will govern payment of principal of, premium, if any, and interest on the Bonds and notices with respect to the Bonds. Any Paying Agent or Registrar subsequently appointed by the City with respect to the Bonds will agree to take all action necessary for all representations of the City in the Representation Letter with respect to the Registrar and Paying Agent, respectively, to be complied with at all times. 8.04. Transfers Outside Book -Entry System. In the event the City, by resolution of the City Council, determines that it is in the best interests of the persons having beneficial interest, in the Bonds that they be able to obtain Bond certificates, the City will notify DTC, whereupon DTC will notify the Participants, of the availability through DTC of Bond certificates. In such event the City will issue, transfer and exchange Bond certificates as requested by DTC and any other registered owners in accordance with the provisions of this Resolution. DTC may determine to discontinue providing its services with respect to the Bonds at any time by giving notice to the City and discharging its responsibilities with respect thereto under applicable law. In such event, if no successor securities depository is appointed, the City will issue and the Registrar will authenticate Bond certificates in accordance with this Resolution and the provisions hereof will apply to the transfer, exchange and method of payment thereof. 8.05. Payments to Cede & Co. Notwithstanding any other provision of this Resolution to the contrary, so long as a Bond is registered in the name of Cede & Co., as nominee of DTC, payments with respect to principal of, premium, if any, and interest on the Bond and notices with respect to the Bond will be made and given, respectively in the manner provided in DTC's Operational Arrangements, as set forth in the Representation Letter. Section 9. Continuing Disclosure. 9.01. Execution of the Continuiniz Disclosure Certificate. "Continuing Disclosure Certificate" means that certain Continuing Disclosure Certificate executed by the Mayor and the City Administrator and dated the date of issuance and delivery of the Bonds, as originally executed and as it may be amended from time to time in accordance with the terms thereof. 9.02. Compliance with Provisions of the Continuing Disclosure Certificate. The City covenants and agrees that it will comply with and carry out all of the provisions of the Continuing Disclosure Certificate. Notwithstanding any other provision of this Resolution, failure of the City to comply with the Continuing Disclosure Certificate will not be considered an event of default with respect to the Bonds; however, any Bondholder may take such actions as may be necessary and appropriate, including seeking mandate or specific performance by court order, to cause the City to comply with its obligations under this Section. 3974590 MNI AL141-54 10 Section 10. Defeasance. When all Bonds and all interest thereon have been discharged as provided in this Section, all pledges, covenants and other rights granted by this Resolution to the holders of the Bonds will cease, except that the pledge of the full faith and credit of the City for the prompt and full payment of the principal of and interest on the Bonds will remain in full force and effect. The City may discharge all Bonds which are due on any date by depositing with the Registrar on or before that date a sum sufficient for the payment thereof in full. If any Bond should not be paid when due, it may nevertheless be discharged by depositing with the Registrar a sum sufficient for the payment thereof in full with interest accrued to the date of such deposit. The motion for the adoption of the foregoing resolution was duly seconded by Member and upon vote being taken thereon, the following voted in favor thereof: and the following voted against the same: whereupon said resolution was declared duly passed and adopted. 3974590 MNI AL141-54 11 EXHIBIT A FORM OF BOND No. R- UNITED STATES OF AMERICA $ STATE OF MINNESOTA COUNTY OF WRIGHT CITY OF ALBERTVILLE GENERAL OBLIGATION IMPROVEMENT CROSSOVER REFUNDING BOND, SERIES 2012A Date of Rate Maturity Original Issue CUSIP February 1, 20_ April 1, 2012 013212 P. Registered Owner: Cede & Co. The City of Albertville, Minnesota, a duly organized and existing municipal corporation in Wright County, Minnesota (the "City"), acknowledges itself to be indebted and for value received promises to pay to the Registered Owner specified above or registered assigns, the principal sum of $ on the maturity date specified above, with interest thereon from the date hereof at the annual rate specified above, payable February 1 and August 1 in each year, commencing February 1, 2013, to the person in whose name this Bond is registered at the close of business on the fifteenth day (whether or not a business day) of the immediately preceding month. The interest hereon and, upon presentation and surrender hereof, the principal hereof are payable in lawful money of the United States of America by check or draft by Northland Trust Services, Inc., Minneapolis, Minnesota, as Registrar, Paying Agent, Transfer Agent and Authenticating Agent, or its designated successor under the Resolution described herein. For the prompt and full payment of such principal and interest as the same respectively become due, the full faith and credit and taxing powers of the City have been and are hereby irrevocably pledged. The City may elect on February 1, 2020, and on any date thereafter to prepay Bonds due on or after February 1, 2021. Redemption may be in whole or in part and if in part, at the option of the City and in such manner as the City will determine. If less than all Bonds of a maturity are called for redemption, the City will notify Depository Trust Company, New York, New York ("DTC") of the particular amount of such maturity to be prepaid. DTC will determine by lot the amount of each participant's interest in such maturity to be redeemed and each participant will then select by lot the beneficial ownership interests in such maturity to be redeemed. Prepayments will be at a price of par plus accrued interest. The Bonds maturing on February 1, 2017 shall hereinafter be referred to collectively as the "Term Bonds." The principal amounts of the Term Bonds subject to mandatory sinking fund redemption on any date may be reduced through earlier optional redemptions, with any partial redemptions of the Term Bonds credited against future mandatory sinking fund redemptions of such Term Bonds in such order as the City shall determine. The Term Bonds are subject to mandatory sinking fund redemption and shall be redeemed in part 3974590 MNI AL141-54 A-1 by lot at par plus accrued interest on the sinking fund installment dates and in the principal amounts as follows: Sinking Fund Installation Date Principal Amount 2016 2017 (maturity) $25,000 25,000 The City Council has designated the issue of Bonds of which this Bond forms a part as "qualified tax exempt obligations" within the meaning of Section 265(b)(3) of the Internal Revenue Code of 1986, as amended (the "Code") relating to disallowance of interest expense for financial institutions and within the $10 million limit allowed by the Code for the calendar year of issue. This Bond is one of an issue in the aggregate principal amount of $2,310,000, all of like original issue date and tenor, except as to number, maturity date, redemption privilege, and interest rate, all issued pursuant to a resolution adopted by the City Council of the City on March 5, 2012 (the "Resolution"), for the purpose of providing money to refund in advance of maturity and on the Redemption Date, as defined in the Resolution, certain general obligation bonds of the City, pursuant to and in full conformity with the Constitution and laws of the State of Minnesota, including Minnesota Statutes, Chapters 429 and 475, and Section 475.67, Subdivisions 3 and 13. The interest hereon is payable until the Redemption Date primarily out of the Escrow Account and the Debt Service Account in the City's General Obligation Improvement Crossover Refunding Bonds, Series 2012A Fund, and after the Redemption Date from special assessments against property specially benefited by local improvements and from ad valorem taxes, as set forth in the Resolution to which reference is made for a full statement of rights and powers thereby conferred. The full faith and credit of the City are irrevocably pledged for payment of this Bond and the City Council has obligated itself to levy additional ad valorem taxes on all taxable property in the City in the event of any deficiency in special assessments and taxes pledged, which additional taxes may be levied without limitation as to rate or amount. The Bonds of this series are issued only as fully registered Bonds in denominations of $5,000 or any integral multiple thereof of single maturities. As provided in the Resolution and subject to certain limitations set forth therein, this Bond is transferable upon the books of the City at the principal office of the Registrar, by the registered owner hereof in person or by the owner's attorney duly authorized in writing, upon surrender hereof together with a written instrument of transfer satisfactory to the Registrar, duly executed by the registered owner or the owner's attorney; and may also be surrendered in exchange for Bonds of other authorized denominations. Upon such transfer or exchange the City will cause a new Bond or Bonds to be issued in the name of the transferee or registered owner, of the same aggregate principal amount, bearing interest at the same rate and maturing on the same date, subject to reimbursement for any tax, fee or governmental charge required to be paid with respect to such transfer or exchange. The City and the Registrar may deem and treat the person in whose name this Bond is registered as the absolute owner hereof, whether this Bond is overdue or not, for the purpose of receiving payment and for all other purposes, and neither the City nor the Registrar will be affected by any notice to the contrary. IT IS CERTIFIED, RECITED, COVENANTED AND AGREED that all acts, conditions and things required by the Constitution and laws of the State of Minnesota to be done, to exist, to happen and to be performed preliminary to and in the issuance of this Bond in order to make it a valid and binding general obligation of the City in accordance with its terms, have been done, do exist, have happened and have been performed as so required, and that the issuance of this Bond does not cause the indebtedness of the City to exceed any constitutional or statutory limitation of indebtedness. 3974590 MNI AL141-54 A-2 This Bond is not valid or obligatory for any purpose or entitled to any security or benefit under the Resolution until the Certificate of Authentication hereon has been executed by the Registrar by manual signature of one of its authorized representatives. IN WITNESS WHEREOF, the City of Albertville, Minnesota, by its City Council, has caused this Bond to be executed on its behalf by the facsimile or manual signatures of the Mayor and the City Administrator and has caused this Bond to be dated as of the date set forth below. Dated: CITY OF ALBERTVILLE, MINNESOTA (Facsimile) (Facsimile) City Administrator Mayor CERTIFICATE OF AUTHENTICATION This is one of the Bonds delivered pursuant to the Resolution mentioned within. NORTHLAND TRUST SERVICES, INC. By Authorized Representative The following abbreviations, when used in the inscription on the face of this Bond, will be construed as though they were written out in full according to applicable laws or regulations: TEN COM -- as tenants UNIF GIFT MIN ACT Custodian in common (Cust) (Minor) TEN ENT -- as tenants under Uniform Gifts or by entireties Transfers to Minors JT TEN -- as joint tenants with right of survivorship and Act ............ not as tenants in common (State) Additional abbreviations may also be used though not in the above list. ASSIGNMENT For value received, the undersigned hereby sells, assigns and transfers unto the within Bond and all rights thereunder, and does hereby irrevocably constitute and appoint attorney to transfer the said Bond on the books kept for registration of the within Bond, with full power of substitution in the premises. 3974590 MNI AL141-54 A-3 Dated: Notice: The assignor's signature to this assignment must correspond with the name as it appears upon the face of the within Bond in every particular, without alteration or any change whatever. Signature Guaranteed: NOTICE: Signature(s) must be guaranteed by a financial institution that is a member of the Securities Transfer Agent Medallion Program ("STAMP"), the Stock Exchange Medallion Program ("SEMP"), the New York Stock Exchange, Inc. Medallion Signatures Program ("MSP") or other such "signature guarantee program" as may be determined by the Registrar in addition to, or in substitution for, STAMP, SEMP or MSP, all in accordance with the Securities Exchange Act of 1934, as amended. The Registrar will not effect transfer of this Bond unless the information concerning the assignee requested below is provided. Name and Address: (Include information for all joint owners if this Bond is held by joint account.) Please insert social security or other identifying number of assignee 3974590 MNI AL141-54 A-4 EXHIBIT C NOTICE OF CALL FOR REDEMPTION $4,035,000 GENERAL OBLIGATION IMPROVEMENT BONDS, SERIES 2007A CITY OF ALBERTVILLE WRIGHT COUNTY, MINNESOTA NOTICE IS HEREBY GIVEN that, by order of the City Council of the City of Albertville, Minnesota, there have been called for redemption and prepayment on February 1, 2015 all outstanding bonds of the City designated as General Obligation Improvement Bonds, Series 2007A, dated August 1, 2007, having stated maturity dates of February 1 in the years 2018 through 2023, both inclusive, totaling $2,225,000 in principal amount, and with the following CUSIP numbers: Year of Maturity CUSIP 2018 013212 MK8 2019 013212 ML6 2020 013212 MM4 2021 013212 MN2 2022 013212 MP7 2023 013212 MQ5 The bonds are being called at a price of par plus accrued interest to February 1, 2015, on which date all interest on said bonds will cease to accrue. Holders of the bonds hereby called for redemption are requested to present their bonds for payment at the main office of Northland Trust Services, Inc. Minneapolis, Minnesota, on or before to February 1, 2015, at the following address: 45 South Seventh Street, Suite 2000, Minneapolis, Minnesota 55402. Important Notice: In compliance with the Jobs and Growth Tax Relief Reconciliation Act of 2003, federal backup withholding tax will be withheld at the applicable backup withholding rate in effect at the time the payment by the redeeming institutions if they are not provided with your social security number or federal employer identification number, properly certified. This requirement is fulfilled by submitting a W-9 Form, which may be obtained at a bank or other financial institution. Dated: BY ORDER OF THE CITY COUNCIL By /s/ Bridget Miller City Clerk City of Albertville, Minnesota 3974590 MNI AL141-54 C-1 bcrtvi j l �1c Mayor and Council Communication Smell Town Uving. Big GQy Ufa. February 29, 2012 SUBJECT: FINANCE - 2012B AMENDED CAPITAL IMPROVEMENT PLAN, PROVIDING FOR THE ISSUANCE AND SALE OF GENERAL OBLIGATION CAPITAL IMPROVEMENT REFUNDING BONDS, 2012B $3,190,000 RECOMMENDATION: It is respectfully requested that the Mayor and Council consider the following: Motion to adopt Resolution No. 2012-010 entitled a Resolution approving amended capital improvement plan and the issuance and sale of General Obligation Capital Improvement Plan Refunding Bonds; Series 2012B. BACKGROUND: In 2005, the City of Albertville bonded for the construction of the new City Hall. This refunding was not economical at the time we refunded the improvement bonds a couple of months ago, but rates have moved to warrant considering this refunding. KEY ISSUES: This refunding does not increase the remaining length of the debt for the City of Albertville. POLICY CONSIDERATIONS: It is the City's policy to review and approve redemption of bonds on first call date if it is feasible and has significant savings. FINANCIAL CONSIDERATIONS: Refinancing this bond does not affect the 2012 budget. The City could save an estimated $200,000 in interest by re -issuing this bond. LEGAL CONSIDERATIONS: The Mayor and Council have the statutory authority to reissue bonds pursuant to the bond indentures. Bond Attorney Steve Bubul of Kennedy and Graven will represent the City insuring the proper issuance of the bonds. Submitted through: Larry Kruse, City Administrator Department/Responsible Person: Finance/Tina Lannes, Finance Director Attachments: Resolution No. 2012-010 CITY OF ALBERTVILLE COUNTY OF WRIGHT STATE OF MINNESOTA RESOLUTION NO.2012-010 RESOLUTION APPROVING AMENDED CAPITAL IMPROVEMENT PLAN, PROVIDING FOR THE ISSUANCE AND SALE OF APPROXIMATELY $3,190,000 GENERAL OBLIGATION CAPITAL IMPROVEMENT PLAN REFUNDING BONDS, SERIES 2012B BE IT RESOLVED By the City Council of the City of Albertville, Wright County, Minnesota (the "City") as follows: 1. Backjzround. It is hereby determined that: (a) The Economic Development Authority for the City of Albertville (the "Authority") previously issued its $3,700,000 Public Project Lease Revenue Bonds, Series 2005B, dated December 1, 2005 (the "Series 2005B Bonds"), the proceeds of which were used to finance the acquisition and equipping of a city hall to include council chambers and administration offices (the "Facility"). (b) The Series 2005B Bonds are secured by lease payments by the City pursuant to a Lease -Purchase Agreement between the Authority and the City dated as of December 1, 2005 (the "Lease"). (c) Under the Lease, the City has the option to purchase the Facility by paying the outstanding Purchase Price, defined in the Lease as the amount necessary to provide for the full and timely payment of all interest and premium, if any, on the principal of the outstanding Series 2005B Bonds to maturity or an earlier redemption date, if applicable. (d) The City is authorized by Minnesota Statutes, Section 475.521 (the "Act") to finance certain capital improvements under an approved capital improvement plan by the issuance of general obligation bonds of the City payable from ad valorem taxes if no petition requesting a referendum regarding issuance of such bonds is filed within 30 days after the date of the public hearing regarding such bonds. Capital improvements include (among other things) acquisition or betterment of public lands, buildings or other improvements for the purpose of a city hall. (e) On the date hereof, the City held a duly -noticed public hearing regarding a 2012 through 2017 Amended Capital Improvement Plan (the "Plan"), and regarding issuance of bonds under that Plan maximum principal amount of $3,190,000 bonds, to acquire the Facility through refunding of the Series 2005B Bonds, all in accordance with the Act. (h) It is necessary and desirable for the City to acquire the Facility, and thereby reduce its debt service costs, by issuing its General Obligation Capital Improvement Plan Refunding Bonds, Series 2012B (the "Bonds") to refund the Authority's Series 2005B Bonds, of which $2,875,000 in principal amount is currently outstanding and $2,395,000 is callable on December 1, 2014 and any date thereafter. (i) As required by the Act, the City has determined that: (i) the expected useful life of the Facility will be at least five years; and (ii) the amount of principal and interest due in any year on all outstanding bonds issued by the City under the Act, including the Bonds, will not exceed 0.16 percent of the taxable market value of property in the City for taxes payable in 2012. 2. Plan Approved. The Plan is hereby approved in substantially the form on file in City Hall. 3. Negotiation of Bonds. The City Council desires to proceed with the sale of the Bonds by direct negotiation to Northland Securities, Inc. ("NSI"). NSI will purchase the Bonds in an arm's-length commercial transaction with the City. The City hereby retains Blue Rose Capital Advisors ("Blue Rose") to act as an independent financial advisor for the purpose of reviewing the pricing fairness associated with the purchase and subsequent reoffering of the Bonds. The City Administrator and City Finance Director are hereby authorized to execute an agreement with Blue Rose for an amount not to exceed $2,000, in substantially the form attached as Exhibit A hereto. It being thus determined that the City has retained an independent financial adviser in connection with such sale, the City is authorized by Minnesota Statutes, Section 475.60, Subdivision 2(9) to negotiate the sale of the Bonds. 4. Delegation of Pricing. The City Council hereby authorizes and directs the City Administrator and City Finance Director, in consultation with Blue Rose, to negotiate the purchase price for the Bonds in an aggregate principal amount of not to exceed $3,190,000 and to execute a bond purchase agreement for the purchase of the Bonds with NSI. The bond purchase agreement must contain a provision that the purchase is subject to the condition that no petition requesting a referendum regarding issuance of the Bonds has been filed within 30 days after the date hereof (i.e., by April 4, 2012), and the closing on sale of the Bonds will not occur before April 5, 2012). 5. Council Ratification. The City Council will meet at 7:00 P.M. on Monday, March 19, 2012, to adopt a resolution that ratifies the pricing determined by the Administrator and Finance Director and specifies all terms of the sale of the Bonds to NSI, and to take any other appropriate action with respect to the Bonds. 6. Bond Council Authorized. The law firm of Kennedy & Graven, Chartered, as bond counsel for the City, is authorized to act as bond counsel and to assist in the preparation 398338v1 SJB AL141-55 and review of necessary documents, certificates and instruments relating to the Bonds. The officers, employees and agents of the City are hereby authorized to assist Kennedy & Graven, Chartered in the preparation of such documents, certificates, and instruments. 7. Official Statement. NSI is authorized to prepare an Official Statement related to the sale of the Bonds. 8. Expiration of Resolution. If the City Administrator and the City Finance Director have not approved the sale of the Bonds to NSI and executed the related bond purchase agreement by April 30, 2012, this resolution shall expire. 398338v1 SJB AL141-55 EXHIBIT A PRICING SERVICES AGREEMENT BY AND BETWEEN THE CITY OF ALBERTVILLE, NUNNESOTA AND BLUE ROSE MANAGEMENT, INC This Agreement made and entered into by and between the City of Albertville, Minnesota (hereinafter "City") and Blue Rose Management, Inc., of Minneapolis, Minnesota (hereinafter 'Blue Rose"). WITNESSETH WHEREAS, the City desires to use the services of Blue Rose related to the issuance by the City of the Bonds (sometimes herein called "Obligations" or "Obligations") described in a resolution of the City adopted March 5, 2012, and WHEREAS, Blue Rose desires to furnish services to the City as hereinafter described. NOW, THEREFORE, it is agreed by and between the parties as follows: 1. Blue Rose agrees to act as an independent financial advisor to provide bond pricing opinion services to the City for the issuance of the Bonds for the purpose set forth in Minnesota Statutes, Section 475.60, Subdivision 2(9), as amended. 2. Blue Rose shall review Northland Securities, Inc.`s (herein, "NSI") purchase price, coupon rates, and reoffering prices for the Bonds. Blue Rose shall provide to the City, on or before the closing date for the Bonds, its written opinion that the pricing on the Bonds did reflect the current market conditions for bonds with similar terms and that the pricing was fair and equitable to the City. For its services, Blue Rose shall be paid a lump sum fee of $2,000 payable by the City at the closing of the Bonds or within thirty days thereafter. 4. This Agreement shall terminate when Blue Rose has received its fee set forth in Section 3 above. If the Bonds are not issued for any reason, no fee shall be due to Blue Rose. Dated: March 5, 2012. Contact Information for Blue Rose Management, Inc.: Erik T. Kelly, President 640 Flying Cloud Drive Suite 212 Eden Prairie, MN 55344 Telephone: (952) 746-6055 Email: ekelly@blueroseadvisors.com 398338v1 SJB AL141-55 Meg -Rio To: Larry Kruse, City Administrator; Albertville City Council From: Mike Couri Date: February 29, 2012 Re: Attorney Report Below is an update of the projects our office has been working on for the City. • I-94 Ramps. After several discussions with MNDOT and the Attorney General's office, MNDOT has agreed that it is not necessary that the City reacquire the easement of access from Mr. Knechtl's property. With this issue out of the way, I have completed the title opinions and forwarded them to MNDOT for their review. The open house went well, with several affected property owners attending and asking questions on all aspects of the project. • Karston Cove 3rd Addition. As of this writing I am waiting to hear from the Developer's attorney as to whether this item should be placed on the agenda. Albertville Medical Building Escrow. The City received its portion of the money from the Medical Building escrow. • Miscellaneous Ordinance Enforcement Issues. I have been working with Jon on enforcement issues related to the Stangler property and a few temporary sign ordinance violations. Page 1 of 1 MINNESOTA - REVENUE MEMO Date: February 22, 2012 To: All County and City Assessors From: Jessi Glancey Information and Education Section Subject: Board of Appeal and Equalization CATCH-UP Training Sessions The Department of Revenue has made a few changes to our Board of Appeal and Equalization trainings for 2012. We are no longer offering separate trainings for Local Board and County Board members. The trainings will now incorporate both Local Board and County Board content; therefore if members from Local Boards and County Boards are in need of training, they should attend what is now called Board of Appeal and Equalization Training (BAE Training). This change has gone into effect immediately and will be offered at our "catch up" courses this March. If a board member is in need of training for either Local Boards or County Boards prior to the 2012 Board of Appeal and Equalization season they should attend one of the scheduled "catch up" courses. The Department of Revenue has scheduled five catch-up Board of Appeal and Equalization (BAE) training sessions before the 2012 Board of Appeal and Equalization season begins. These sessions will accommodate jurisdictions that were in compliance with the training requirements on December 1, 2011 but lost their trained member due to city/township elections, resignations, or other circumstances. The training is open to any board members, but these "catch-up" sessions will only benefit those boards that were already in compliance with the training requirement and would otherwise lose their right to hold their BAE because they would not have a trained member present at the 2012 BAE meeting. It will not enable those boards that were not already in compliance to regain their boards for 2012—open book meetings will need to be conducted in those jurisdictions. Please note that these courses are in addition to the regularly -scheduled BAE courses held each year. The department anticipates offering approximately 50 courses between June 1 and November 30 at locations throughout the state, including other courses offered in conjunction with the Minnesota Association Townships. Property Tax Compliance Officers will once again be asking for volunteers to host a BAE course in their counties later this spring. If a board does not fall within the parameters of needing to attend a "catch-up" course, one of these offerings later in the year will likely be more convenient. Please notify your board members of the training sessions. They must register to ensure space is available in the session they wish to attend. To register, please have them contact the person listed at the location they will be attending. If you have any questions regarding these courses, please contact jessi.glancey@state.mn.us. MINNESOTA • REVENUE 2012 Board of Appeal and Equalization "Catch -Up" Courses Registration is Required Sessions primarily scheduled for jurisdictions with a trained member on December 1, 2011 that have lost their trained member due to city/township elections, resignations, or other circumstances Date & Time Location To Register, Contact Register by: Monday 3/12/2012 Tuesday Plymouth City Hall Janene Hebert, SAMA I City March 20, 2012 3400 Plymouth Blvd Assessor 5:30 — 8:30 pm Plymouth, Minnesota 55447 City of Plymouth The Medicine Lake Room 763-509-5378 LBAE@PlymouthMN.gov Kandiyohi County Human Services Building Register by: Monday 3/12/2012 Tuesday 2200 23rd Street NE Mike Hammerschmidt March 20, 2012 Willmar, Minnesota Kandiyohi County Assessor's Office 12:30 - 4:00 pm (Lower Level - Multi -Purpose Room) 320-231-6200 ext: 5155 mike_h@co.kandiyohi.mn.us. Register by: Tuesday 3/20/2012 Wednesday Beltrami County Administration Building Bobbi Peck March 28, 2012 701 Minnesota Avenue NW Beltrami County Assessor's Office 10:00 am —1:00 Bemidji, Minnesota 218-333-4110 pm (Commissioners Room) bobbi.peck@co.beltrami.mn.us Register by: Monday 3/19/2012 Tuesday Cotton Community Center Margaret Dunsmore March 27, 2012 9087 Highway 53 St. Louis County Assessor's Office 6:00-9:00 pm Cotton, Minnesota 218-726-2304 dunsmorem@co.st-louis.mn.us Register by: Wednesday 3/21/2012 Thursday Steele County Administration Center Pam Carty March 29, 2012 630 Florence Avenue Steele County Assessor's Office 1:00 — 4:30 pm Owatonna, Minnesota 507-444-7436 (First Floor —County Board Room) pam.carty@co.steele.mn.us