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2019-08-19 City Council Agenda PacketN1bertville City of Albertville Council Agenda Small living. flfg life. Monday, August 19, 2019 City Council Chambers 7:00 p.m. BUDGET WORKSHOP — Immediately Following Regular Meeting 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. Public Forum — (time reserved 5 minutes) A. Award Presentation from Resource Training & Solutions 5. Amendments to the Agenda 6. 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 August 5, 2019regular City Council meeting minutes as presented (pgs 4- 8) B. Approve the August 5, 2019 City Council workshop meeting minutes as presented (pgs 9-11) C. Authorize the Monday, August 19, 2019 payment of claims as presented, except bills specifically pulled which are passed by separate motion. The claims listing has been provided to City Council as a separate document and is available for public view at City Hall upon request (pg 12) D. Approve a Minor Temporary Outdoor Music Permit for the 152 Club, Inc., located at 5794 Main Ave NE for Saturday, September 7, 2019 (pgs 13-15) 7. Public Hearings A. Vacate Portions of Drainage and Utility Easements for Nine Single -Family Home Lots in the Towne Lakes 7th Addition (pgs 16-23) • Open public hearing • Close public hearing P:ACity Council\Council Agendas\2019 Agenda Packets\2019-08-19 City Council Agenda.docx Meeting Date: August 19, 2019 Agenda Page 1 City of Albertville Council Agenda Monday, August 19, 2019 Page 2 of 3 Motion to Adopt Resolution Number 2019-032_to vacate a portion of a drainage and utility easement over Lots 1-9 Block 1 Towne Lakes 7111 Addition. 8. Department Business A. City Council 1). Committee Updates (STMA Ice Arena, Planning, JPWB, Parks, Fire Board, FYCC, etc.) B. Finance 1). Sale of General Obligation Sanitary Sewer Revenue Bonds, Series 2019A (pgs 24-43) (Motion to Adopt Resolution No. 033 Awarding the Sale of General Obligation Sanitary Sewer Revenue Bonds, Series 2019A, in the Original Aggregate Principal Amount of $5,700,000; Fixing Their Form and Specifications; Directing Their Execution and Delivery; and Providing For Their Payment.) 2). Revolving Loan Funds (pg 44) (Motion to Request the release of "Revolving Loan Funds " under the onetime exception from Minnesota Employment and Economic Development.) C. Planning/Zoning 1). Amendment To The PUD (Planned Unit Development) Zoning for the Federated Co-Ops Property Located at 11229 60th Street NE in Albertville to Allow for the Installation of a 10,000 Gallon Gasoline Storage Tank within its Tank Storage Area (pgs 45-63) (Motion to Adopt Ordinance Number 2019-05 entitled a Ordinance amending the PUD district on the Federated Co-ops property located at 11229 60th Avenue in the City of Albertville to allow a 7th fuel storage tank within its tankfield. The new storage tank will consist of a 10, 000 gallon gasoline tank.) D. City Clerk 1). Set Truth in Taxation Hearing (Motion to set the Truth in Taxation Hearing for the 2020 Levy for Monday, December 2, 2019 at p.m. in the Albertville Council Chambers.) E. Fire — None F. Public Works/Engineering — None G. Building —None H. Legal —None P:ACity Council\Council Agendas\2019 Agenda Packets\2019-08-19 City Council Agenda.docx Meeting Date: August 19, 2019 Agenda Page 2 City of Albertville Council Agenda Monday, August 19, 2019 Page 3 of 3 I. Administration 1). City Administrator's Update (pgs 64-65) 9. Announcements and/or Upcoming Meetings August 26 Joint Powers Water Board, 6:00 p.m. Parks Committee, 7:00 p.m. September 2 City Offices Closed, Labor Day September 3 City Council, 7: 00 p.m. September 7 Opens Streets STMA, Central Park Area, 10:00 a.m.-2:00 p.m. September 9 STMA Ice Arena Board, 6:00 p.m. September 10 Planning Commission, 7:00 p.m. September 16 City Council, 7:00 p.m. September 21 Centennial Celebration, 11:00 a.m. -8:00 p.m. September 23 Joint Powers Water Board, 6:00 p.m. Parks Committee, 7:00 p.m. September 30 Joint Governance Meeting, TBD -.UST Su M Tu W Th F Sa 1 2 3 4 cc 6 7 8 9 10 11 Ice 12 14 15 16 17 18 cc 19 20 21 22 23 24 25 PK 26JP 27 28 29 30 31 10. Adjournment Su OR EMBER M Tu W f!TJhF Sa 1 "2 cc3 4 5 6 7 8 Ice 9 11 12 13 14 15 cc 16, 17 18 19 20 21 22 PK 23�P 24 25 26 27 28 29 Jm 30 P:ACity Council\Council Agendas\2019 Agenda Packets\2019-08-19 City Council Agenda.docx Meeting Date: August 19, 2019 Agenda Page 3 Albertville Smog T— IMnq. eq Cky ui.. ALBERTVILLE CITY COUNCIL Monday, August 5, 2019 DRAFT MINUTES ALBERTVILLE CITY HALL 1. CALL TO ORDER - PLEDGE OF ALLEGIANCE Acting Mayor Vetsch called the meeting to order at 7:02 p.m. 2. ROLL CALL Present: Acting Mayor Vetsch, Councilmembers Cocking, Halling and Olson Absent: Mayor Hendrickson 7:00 PM Staff Present: City Administrator-PWD Adam Nafstad, City Attorney Mike Couri, City Planner Alan Brixius, Fire Chief Eric Bullen, Finance Director Tina Lannes and City Clerk Kimberly Hodena 3. RECOGNITIONS — PRESENTATIONS — INTRODUCTIONS - None 4. PUBLIC FORUM There was no one present for the forum. 5. AMENDMENTS TO THE AGENDA Nafstad added "No Truck Routes" as Item F1 under Public Works. Motioned by Cocking seconded by Halling, to approve the Agenda as amended. Ayes: Vetsch, Cocking, Halling and Olson. Nays: None. Absent. Hendrickson. MOTIONDECLARED CARRIED. 6. 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 July 15, 2019 regular City Council meeting minutes as presented B. Authorize the Monday, August 5, 2019 payment of claims as presented, except bills specifically pulled which are passed by separate motion. The claims listing has been provided to City Council as a separate document and is available for public view at City Hall upon request Page 1 Agenda Page 4 C. Approve a One -Day Temporary Intoxicating Liquor License for the Albertville Lions Car Show, extend the park hours to 11:00 p.m. and approve the closure of Main Avenue NE from 59th to 58th Street, 58th Street from Main Avenue NE to Lander Avenue NE, Lander Avenue 58th to 57th Street NE for the Albertville Lions annual Cruisin' and Rock'n Car Show on Saturday, September 7, 2019 from 3:00-10:00 p.m. D. Approve the partial closure of 581h Street NE at 10778 58th Street and 10440 62" d Street NE from 10408 through 10460 62nd Street NE for the annual National Night Out event on Tuesday, August 6, 2019 E. Approve a One -Day Temporary 3.2% Malt Liquor License for the Church of St. Albert's Annual Parish Festival and approve the closure of Lander Ave NE between the Church of St. Albert and the Parish Center from 8:00 a.m. to 5:00 p.m. on Sunday, September 15, 2019 F. Waive the liquor license fee for the Foxtailers Snowmobile Club for a One -Day Temporary On -Sale Intoxicating Liquor for the Albertville Centennial Celebration on Saturday, September 21, 2019 G. Set a Budget Workshop to immediately follow the regular August 19, 2019 City Council meeting H. Reduce Letter of Credit No. 631834603, held as security for the Karston Cove 5th development, to no less than $15,152 conditioned on any outstanding balances owed to the City being paid in full Motioned by Cocking, seconded by Olson, to approve the ConsentAgenda as amended. Ayes: Vetsch, Cocking, Hailing and Olson. Nays: None. Absent: Hendrickson. MOTIONDECLARED CARRIED. 7. PUBLIC HEARINGS — None 8. DEPARTMENT BUSINESS A. City Council 1). Committee Updates (STMA Ice Arena, Planning, JPWB, Parks, Fire Board, FYCC, etc.) Fire Advisory Committee Olson reported that they discussed the payback for the two new fire trucks with Lannes showing options for a five, seven or ten year payback plan. He reported fire calls are at a record high to date. Otsego purchased land for a future fire hall; there are no set plans as of now. Olson reported the cost - share ratio for fire service is Albertville at 5 1 % and Otsego at 49%. Bullen stated there is another three years of the current contract after 2019. Nafstad stated that Otsego may want to revisit discussions of a joint powers agreement. City Council Meeting Minutes Page 2 Regular Meeting of August 5, 2019 Agenda Page 5 B. Legal 1). Solicitor Ordinance Modifications — Discussion Couri reported that the proposed ordinance has significant changes to the current solicitor ordinance. He stated that the changes are due to recent state and federal court rulings that have ruled against cities with strict restrictions on such activities. The courts have ruled that limiting hours of sales prohibits commercial speech and is against the 1st Amendment of the Constitution. He added that a government entity must show a significant and compelling reason for limitation of hours. He stated that the City of Bloomington was sued and the judge ruled against their ordinance. He reminded the Council of the correspondence from a company licensed in Albertville that hinted at such action and the stand down agreement the city and the company reached. The current ordinance only allows soliciting between the hours of 9:00 a.m. and 4:00 p.m. He suggested amending the ordinance in order to avoid a lawsuit where the city could possibly be responsible to pay the other party's attorney's fees. The proposed hours are 7:00 a.m. to 9:00 p.m. Cocking inquired why they should have hours in which to solicit at all if they can't restrict them the way they want to. Couri reported he has been working with the League of MN Cities and his contact there said 9:00 p.m. seems to be the time that is a break point for the courts. Couri said there may be more latitude with start time if Council was uncomfortable having it at 7:00 a.m., such as waiting until kids are in school. Bullen felt there needs to be a cutoff time for safety reasons and to prohibit prowling and loitering. Cocking felt that a compelling government reason could possibly vary by entity. Couri then walked through the other minor changes. He stated that he had included language regarding issuance of a license after a background check, but the city currently does not do background checks and issues them over the counter. He stated that the Council may want to leave that language out. If a conviction of a certain type is found, he is not sure if they could legally deny the license. Cocking and Halling felt background checks should be done. Halling suggested listing the type of felonies/convictions that the city would not accept or issue a license to. Court replied that if a person's time has been served and their rights restored, it may be a problem to deny; he would like to review other court cases and bring back for more discussion before any action is taken on the ordinance. Cocking also had concerns about out of state convictions. Couri stated that they most likely need to reduce the fee as they can only charge actual costs. Nafstad asked Couri if there is a benefit to licensing soliciting. Couri stated that there is a benefit to know who is in the community. Hodena stated she informs the sheriff's office who is licensed so they also know who is out in the neighborhoods. Also it provides contact information in case staff needs to contact the company. 2). City Attorney Report There were no questions on the report. C. Fire —None D. Finance — None City Council Meeting Minutes Page 3 Regular Meeting of August 5, 2019 Agenda Page 6 E. City Clerk — None F. Public Works/Engineering 1). No Truck Routes Discussion Nafstad asked the Council about posting no truck signs on certain residential streets.. The roads proposed to have signs would be 51st Street NE, 551h Street NE, 57th Street NE, and Main Avenue NE. Nafstad discussed the process and ordinance that would be needed. Council saw no issues with such an ordinance and Nafstad will draft an ordinance for Council's review. G. Planning/Zoning — None H. Building —None I. Administration 1). Daze & Knights Social Event Invitation Nafstad reminded Council of the Daze & Knights social event on Friday at 5:00 p.m. in St. Michael 2). Sheriffs Monthly Report Olson inquired if they could see the monthly report with the previous month's calls. He would like to see the difference in number of calls. He also inquired if it would be possible to see surrounding communities' monthly call reports for comparison. Bullen stated that those cities may receive reports including self -initiated calls, so they would need to ask for those to be removed in order to compare with Albertville calls. 9. Announcements and/or Upcoming Meetings August 12 STMA Ice Arena Board, 6:00 p.m. August 13 Planning Commission, 7:00 p.m. August 19 City Council, 7:00 p.m. Budget Workshop, Immediately Following August 26 Joint Powers Water Board, 6:00 p.m. Parks Committee/Centennial Planning, 7:00 p.m. September 2 City Offices Closed, Labor Day September 3 City Council, 7:00 p.m. September 9 STMA Ice Arena Board, 6:00 p.m. September 10 Planning Commission, 7:00 p.m. September 16 City Council, 7:00 p.m. September 21 Centennial Celebration, 11:00 a.m.-8:00 p.m. September 23 Joint Powers Water Board, 6:00 p.m. Parks Committee, 7:00 p.m. September 30 Joint Governance Meeting, TBD 10. ADJOURNMENT City Council Meeting Minutes Page 4 Regular Meeting of August 5, 2019 Agenda Page 7 Motioned by Vetsch, seconded by Olson, to adjourn the meeting at 9:43 p.m Ayes: Vetsch, Cocking, Halling and Olson. Nays: None. Absent: Hendrickson an Halling. MOTION DECLARED CARRIED. Respectfully submitted, Kimberly A. Hodena, City Clerk City Council Meeting Minutes Page 5 Regular Meeting of August 5, 2019 Agenda Page 8 lb�rtvij�� Smol Town LhAng. ft City Ufs ALBERTVILLE CITY COUNCIL BUDGET WORKSHOP Monday, August 5, 2019 DRAFT MINUTES Call to Order Actor Mayor Vetsch called the meeting to order at 8:18 p.m. Present: Acting Mayor Vetsch and Councilmembers Cocking, Halling and Olson Staff Present: City Adininistrator-PWD Adam Nafstad, Finance Director Tina Lannes, Fire Chief Eric Bullen and City Clerk Kimberly Hodena 2. Long Range Plan Discussion There were no questions on the long range plan. 3. Draft 2019 Preliminary Budget Lannes stated that the preliminary budget has a levy increase of approximately 4.76%. The enterprise budgets will come to Council at a later date as they are not part of the general levy. 4. Senior Center/Library Lannes reviewed the payback plan for the Senior Center/Library. She stated that the bond for the building was back -end loaded; but in order to not have such a balloon payment at the end of the term, the city has been budgeting a level number over the years. 5. Building Department Lannes reported the contract for building official services went up slightly. Olson inquired why it went up and whether they should look for their own building official. Nafstad stated that the formula used to figure the cost involves both population and commercial property. He felt they are not quite to the point where it would be more cost effective to bring that position/duties in- house again; but it is something they continue to monitor. 6. FYCC Lannes reported there was a small increase to the FYCC budget and was typical compared to previous years. Agenda Page 9 7. LGA Lannes stated the city will receive a cut in Local Government Aid (LGA) next year so Council should expect to see that. 8. Fire Capital Lannes reported that payback for the two new fire trucks was discussed at the Fire Advisory Committee. She said they need to determine if the payback will be five, seven or ten years out. Otsego was willing to pursue a five year payback plan. 9. Law Enforcement — Contract/Coverage Review Lannes reported that the contract will increase a total of 9% over two years. Even though staff is not looking for formal approval at this time, there is a deadline of August 15 if the city wants to make changes or cancel the contract. Olson expressed his frustration that the cities that contract with Wright County for law enforcement services were not consulted prior to the renewal agreement going out. Cocking and Vetsch agreed. Vetsch inquired how long the city could continue to have these types of increases; he stated they may need to look at cutting hours. Cocking agreed but realizes that there is no better option for law enforcement services. Olson would like to see how Albertville compares to other cities for calls and services. Vetsch agreed they have limited options but believes residents would be supportive of less hours of coverage versus the increased cost. Nafstad stated that starting a department would cost millions of dollars and they do get a lot of services in the contract including prosecution, attorneys, jail facilities, vehicles and investigation services. Halling thought perhaps some of the cities could come together to form a cooperative department. Vetsch would like to cut hours and Lannes replied hours come in four hour blocks of time. Nafstad stated that hours should be reflective of need, not necessarily funds. He would be uncomfortable going backward in terms of hours. Vetsch stated that he has a hard time justifying an increase of approximately $75,000 over the course of two years. Cocking felt that it doesn't serve the residents to reduce hours and would not like to go backwards. Cocking also felt that response/action to calls could be improved. Vetch reiterated his disappointment in the process of the renewal and wished someone from the sheriff's office would have presented this to the Council earlier. Cocking wanted it on the record that the 4.76% levy increase is specifically due to other government entities and mandates such as the MPCA mandates for improvements to the wastewater treatment plant and the law enforcement contract. The law enforcement contract increase is more than a 1 % levy increase to the Albertville budget. Halling 10. Council Wages Nafstad distributed a handout showing council wages of cities in Wright County as well as cities with a similar population. He stated that any adjustments in council wages must be done prior to the end of the year. Hodena stated wages cannot be adjusted during an election year and the last P:ACity Council\Council Packet Information\2019\081919\2019-08-05 City Council Workshop Minuutes.docx Meeting Date: August 5, 2019 Agenda Page 10 time the wages were adjusted was in 2006. The Council felt the wages were fine as is and did not want to make any adjustments. 11. Other Nafstad inquired if Council had any purchases or improvements they would like included in the budget. Vetsch asked where the city is at in terms of a cold storage building. Nafstad replied that the city would most likely have to issue debt for a new building or building addition. Vetsch felt indoor storage prolongs the life of equipment. Vetsch inquired when Central Park improvements would occur as well as paving of 58th Street NE and the Central Park parking lot. Nafstad stated the park projects are identified in the five year CIP. Vetsch would also like Nafstad to talk to the County about the law enforcement contract and receiving information on proposed changes. 12. Adjourn Motioned by Vetsch, seconded by Olson, to adjourn the meeting at 9:21 p.m. Ayes: Vetsch, Cocking, Halting and Vetsch. Nays: None. Absent: Hendrickson. MOTION DECLARED CARRIED. Respectfully submitted, Kimberly A. Hodena, City Clerk P:ACity Council\Council Packet Information\2019\081919\2019-08-05 City Council Workshop Minuutes.docx Meeting Date: August 5, 2019 Agenda Page 11 A\1bertville Mayor and Council Request for Action Smolt LWing. Big Ufs. August 15, 2019 SUBJECT: CONSENT - FINANCE— PAYMENT OF BILLS RECOMMENDATION: It is respectfully requested that the Mayor and Council consider the following: MOTION TO: Authorize the Monday, August 19, 2019 payment of the claims as presented except the bills specifically pulled, which are passed by separate motion. The claims listing has been provided to Council as a separate document. The claims listing is available for public viewing at City Hall upon request. BACKGROUND: The City processes 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) and key issues will be presented in the claims listing document. 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 deten-nines to dispute the billing. Responsible Person: Tina Lannes, Finance Director Submitted through: Adam Nafstad, City Administrator-PWD Attachment: List of Claims (under separate cover) P:ACity Council\Council Packet Information\2019\081919\2019-08-19 Finance Bills Report (RCA).docx Meeting Date: August 19, 2019 12 �lbertvillc Mayor and Council Request for Action August 15, 2019 SUBJECT: CONSENT - CITY CLERK -152 CLUB MINOR OUTDOOR MUSIC PERMIT FOR SEPTEMBER 7, 2019 RECOMMENDATION: It is respectfully requested that the Mayor and City Council consider the following motion: MOTION TO: Approve a Minor Temporary Outdoor Music Permit for the 152 Club, Inc., located at 5794 Main Ave NE for Saturday, September 7, 2019. BACKGROUND: The 152 Club, Inc. has submitted an application for a one -day Minor Temporary Outdoor Music Permit for their premises at 5794 Main Avenue NE for Saturday, September 7, 2019. KEY ISSUES: The event will be held from 1:00-5:00 p.m. on Saturday, September 7, 2019. The music will be a DJ for the event. • The applicant has submitted the appropriate application and fee. POLICY/PRACTICES CONSIDERATIONS: The Mayor and City Council have the right to approve or deny outdoor music permits. FINANCIAL CONSIDERATIONS: There is a minimal fee collected for the permit. Responsible Person/Title: Kimberly A. Hodena, City Clerk Submitted Through: Adam Nafstad, City Administrator-PWD Attachments: Temporary Outdoor Music Application P:ACity Council\Council Packet Information\2019\081919\2019-08-19 152 Club Music RCA.docx Meeting Date: August 19, 2019 13 A�]b�rty� j � 5959 Main Avenue NE P.O. Box 9 Albertville, MN 55301 Sinad Torun udnp. 819 City Ufs. APPLICATION FOR TEMPORARY OUTDOOR MUSIC Temporary Outdoor Music Application must be submitted a minimum of 14 business days prior to a Council meeting. Office Use Onlv r ec'd: �G/ 9 Cash:mailed: 1. Applicant Name and/or Contact Person: Address: Day -time Phone No.: Amount Pd: �,SQ Mtg Date: Z11 071 q' Sheriff notified: c�2. 01u,6 Address: 2. Address of wh re the Outdoor Musical Performance will take place: IC3ZrIIUJO U. 3. Date(s) the Qutdoor Musical Performance will take place: 4. Hours of the Outdoor Musical Performance: CHECKLIST OF ITEMS NEEDED WHEN SUBMITTING AN APPLICATION TO THE PLANNING DEPARTMENT FOR A TEMPORARY OUTDOOR MUSIC PERMIT Staff will review Section 5-5-3 of the City Code in determining whether to grant the request for temporary outdoor musical performance. Applicants should review this section of the Ordinance to understand conditions the City places on outdoor musical performances. In addition, permit approval will be based upon the applicants providing the following information for review by City staff. Agenda Page 14 The applicant shall demonstrate that the event site can satisfy the requirements the City has set forth with regards to holding an outdoor music event. They shall submit a written narrative and/or'Isite plan addressing the following: r Anticipated number of people at the outdoor music event. YM Kv The provision of sanitary facilities for the music event. The provision of security and/or fencing to control access to the music event. � The location of off-street parking for the music event. The location and orientation of the proposed stage, speakers, amplifiers, and performers. j In addition, applicants shall indicate the distance between these entities and any i residence/building in a residential zoning district, which must be a minimum of 300 feet. I 1 A calendar of days in the week when outdoor music events may occur. A YP description of the type of musical performance (i.e. instrumental, acoustic, etc.) p I It\ <ZCo _ p*ants nature Date Agenda Page 15 A\1bcrtvi11c 9m §T...W.g.dig cmyOb. Mayor and Council Request for Action August 14, 2019 SUBJECT: PLANNING - HSB VENTURE LLC'S APPLICATION TO VACATE PORTIONS OF DRAINAGE AND UTILITY EASEMENTS FOR NINE SINGLE-FAMILY HOME LOTS IN THE TOWNE LAKES 7TH ADDITION RECOMMENDATION: It is respectfully requested that the Mayor and Council consider the following: MOTION TO: Adopt Resolution No. 2019-2019-032 to vacate a portion of a drainage and utility easement over Lots 1-9 Block 1 Towne Lakes 711 Addition. BACKGROUND: HSB Venture LLC has filed an application to vacate portions of drainage and utility easements for nine single-family home Lots in the Towne Lakes 7th Addition in Albertville. The site is owned by HSB Venture LLC. The property owner is requesting to vacate a 5 foot portion of a drainage and utility easement to accommodate the construction of patios for the single family homes to be constructed on these Lots. The easement lying within the south 5.00 feet of the north 40.00 feet of said Lots 1, 2, 3, 4, 5, 6, 7, 8 and 9, all in Block 1 of Towne Lakes 71h Addition. The following describes the proposed vacate easement of each Lot: The west 5.00 feet and the east 7.50 feet of said Lot 1; The west 7.50 feet and the east 5.00 feet of said Lot 2; The west 5.00 feet and the east 5.00 feet of said Lot 3; The west 5.00 feet and the east 5.00 feet of said Lot 4; The west 5.00 feet and the east 5.00 feet of said Lot 5; The west 5.00 feet and the east 5.00 feet of said Lot 6; The west 5.00 feet and the east 5.00 feet of said Lot 7; The west 5.00 feet and the east 5.00 feet of said Lot 8; The west 5.00 feet and the east 5.00 feet of said Lot 9. KEY ISSUES: • The vacated portion is not necessary to serve the public of the remaining easement and is no longer required by the City. • Drainage. The drainage patterns within the Block will not be altered with the vacation of this portion of the easement according to the City Engineer. HSB Venture LLC — Vacate Easement Application 16 Meeting Date: August 19, 2019 Mayor and Council Request for Action — August 19, 2019 (HSB Venture LLC) Page 2 of 2 • Approval of HOA. Submitted plans were approved by Towne Lake's HOA architecture review committee. • The vacation of this portion of the easement will expand the buildable area of the rear yard and will accommodate the construction of on -grade patios at the rear of the homes. The patios will make the homes more attractive to buyers. POLICY/PRACTICES CONSIDERATIONS: In accordance with State Law, public notice was published, and a public hearing held on August 19, 2019 by the City Council for the vacate easement application. FINANCIAL CONSIDERATIONS: The applicant shall be responsible for all costs associated with the vacate easement application. There are no significant financial issues related to the vacate easement application LEGAL CONSIDERATIONS: In accordance with Council procedures, the Mayor and Council have the authority approve the application, and grant the vacate drainage and utility easement, which requires a majority vote of the City Council and becomes effective upon publication. Department/Responsible Person: Alan Brixius, City Planner Submitted Through: Adam Nafstad, City Administrator - PWD Attachments: Engineer's Report dated August 8, 2019 Easement Drawing Resolution No. 2019-032 Notice of Completion of Proceedings HSB Venture LLC — Vacate Easement Application 17 Meeting Date: August 19, 2019 L MEMORANDUM Date: August 8, 2018 To: Al Brixius - City Planner Cc: Mike Couri — City Attorney Scott Dahlke, P.E. — Civil Engineering Site Design From: Adam Nafstad, P.E., City Engineer Subject: Towne Lakes 7te Addition, Partial Easement Vacation on Lots 1-9 of Block 1 I have reviewed the Developer's request to vacate a portion of the rear yard drainage and utility easement on Lots 1 through 9, Block 1 of Towne Lakes 7th Addition and offer the following: The rear yard drainage and utility easements as platted are 40'. The Developer's request is to reduce the rear yard easements by 5' to 35' to accommodate a larger building pad. The side yard easements will remain as platted. 2. There is existing storm sewer pipe (15" HDPE) and inlet structures in the rear yard easement. The storm sewer is relatively shallow (aprox. 4'). With a reduced easement, the storm sewer will be approximately 5' from the southerly boundary line of the easements. 3. I find the request reasonable with the following conditions: a. Lot certificates for Lots 1 thru 9, Block 1 will need to depict and include reference to the vacated portion of the easement. b. The Developer will need to ensure rear yard drainage swales remainwithin easements. c. Civil plans will be updated to show reduced easement. Reference Materials: 7/16/19 Easement Vacation Exhibit prepared by Meyer-Rohlin 9/12/17 Civil Site Drawings prepared by Civil Engineering Site Design Please let me know if you have any questions. Albertville City Hall • 5959 Main Avenue NE, PO Box 9 • Albertville, MN 55301 • (763) 497-3384 Agenda Page 18 N N 0) z Q) 1 cn W Z Z 1 W Q N i NUn WO Q _ } / z O m roa �v CC m J G� (� R o J w r3 z m uZ LU = Za �Z �� ]w �I Q Q J "I-, co QQ W �_ '0P = o o N ~J W > Hti w�ca Q) O '- v�' a a� R,m N Z N �� z o �r•, N O U a � � a J O O W m ¢ w w 0 �_ W U 00 �� ~ "' Z Zz w z � � 2 Q¢ z o � �� w W o w ZN> w co z a �� W a �fibb w0 w w >J � z J z �LL3 0 0 ® �LLro $ o m Q _ Q n Co U r� �i � � ■ �, r. R II I �% I N M 7 L CO r- W 0) ti }> ° ao a a a a a a a a a U. - -—L j- _ �^ Lao co(o(o co w h h� lo J ° oaU o 0 0 0 0 0 0 0 0 a ` o ~ u) aU o L crj M a a,.c 2 00 o 0 0 0 0 0 0 0 am m Sri m n Sri Sri LO ° a) W Q m m m m m m m m m N Y I m m(D Q) m m a) a) CD I — Q -Q a) a) (1) (1) N N m a) a) w N O Y w W Q c) c c c c c c c m c �O c o U z)) ro co m ro m mm m Ma m� ,��,,' p m o o v " o o 0 o o p o p o LU 1 6 m m� 0cs o o �n CD6 0 0 6 6 v ui ui Sri ui u'i Sri � 1 � N Y +-..0 � O h � y y 'n y y co y m m (b m a) a) a) a) W m0 - °, m U Q) '-' U Q) 0 � CITY OF ALBERTVILLE COUNTY OF WRIGHT STATE OF MINNESOTA RESOLUTION NO. 2019-032 RESOLUTION VACATING PORTIONS OF DRAINAGE AND UTILITY EASEMENTS IN TOWNE LAKES 71h ADDITION WITHIN THE CITY OF ALBERTVILLE WHEREAS, the City Council, pursuant to a petition submitted to it by HSB Ventures, LLC under Minnesota Statute §412.851, did hold a public hearing on August 19, 2019 at 7 p.m. at the Albertville City Hall. At said time and place the City Council heard all interested parties on whether to vacate portions of drainage and utility easements described below in this resolution. WHEREAS, all notice requirements of Minnesota Statute §412.851 have been satisfied; and WHEREAS, the City Council finds and determines that it is in the public interest to vacate those portions of the drainage and utility easements described below as such easements are no longer required by the City. NOW THEREFORE BE IT RESOLVED that the City Council of City of Albertville, Wright County, Minnesota does hereby order as follows: That the following drainage and utility easements are hereby vacated: The drainage and utility easement dedicated on the plat of Towne Lakes 7th Addition, according to the recorded plat thereof, Wright County, Minnesota, lying within the south 5.00 feet of the north 40.00 feet of said Lots 1, 2, 3, 4, 5, 6, 7, 8, and 9, all in Block 1 of said Towne Lakes 7th Addition. Except therefrom the following described parts of said Lots: The west 5.00 feet and the east 7.50 feet of said Lot 1; The west 7.50 feet and the east 5.00 feet of said Lot 2; The west 5.00 feet and the east 5.00 feet of said Lot 3; The west 5.00 feet and the east 5.00 feet of said Lot 4; The west 5.00 feet and the east 5.00 feet of said Lot 5; The west 5.00 feet and the east Page 1 Agenda Page 20 City of Albertville Meeting of August 19, 2019 Resolution No, 2019-032 Page 2 5.00 feet of said Lot 6; The west 5.00 feet and the east 5.00 feet of said Lot 7; The west 5.00 feet and the east 5.00 feet of said Lot 8 The west 5.00 feet and the east 5.00 feet of said Lot 9. 2. The City Clerk is directed to file a certified copy of this Order in the records of the City and a "Notice of Completion of Proceeding" with the Office of the Wright County Auditor and Recorder. 3. Said Vacation approval shall be subject to the applicant satisfying the following conditions: a. Lot certificates for Lots 1 through 9, Block 1 will need to depict and include reference to the vacated portion of the easement. b. The Developer will need to ensure rear yard drainage swales remain with the easement. c. Civil drawings will be updated to show the reduced easement. Adopted by the Albertville City Council on the 19th day of August, 2019. ATTEST: Kimberly A. Hodena, City Clerk Jillian Hendrickson, Mayor Agenda Page 21 CITY OF ALBERTVILLE COUNTY OF WRIGHT STATE OF MINNESOTA NOTICE OF COMPLETION OF PROCEEDINGS FOR THE VACATION OF THE DRAINAGE AND UTILITY EASEMENTS IN TOWNE LAKES 7TH ADDITION WITHIN THE CITY OF ALBERTVILLE The City of Albertville, Wright County, Minnesota did, on the 19' day of August, 2019, by resolution No. 2019- duly passed, vacate the drainage and utility easements as follows: The drainage and utility easement dedicated on the plat of TOWNE LAKES 7th ADDITION, according to the recorded plat thereof, Wright County, Minnesota, lying within the south 5.00 feet of the north 40.00 feet of said Lots 1, 2, 3, 4, 5, 6, 7, 8, and 9, all in Block 1 of said TOWNE LAKES 7TH ADDITION. Except therefrom the following described parts of said Lots: The west 5.00 feet and the east 7.50 feet of said Lot 1; The west 7.50 feet and the east 5.00 feet of said Lot 2; The west 5.00 feet and the east 5.00 feet of said Lot 3; The west 5.00 feet and the east 5.00 feet of said Lot 4; The west 5.00 feet and the east 5.00 feet of said Lot 5; The west 5.00 feet and the east 5.00 feet of said Lot 6; The west 5.00 feet and the east 5.00 feet of said Lot 7; The west 5.00 feet and the east 5.00 feet of said Lot 8; The west 5.00 feet and the east 5.00 feet of said Lot 9. All Council members voted in favor of the resolution. Dated: August 19, 2019 Kimberly A. Hodena Albertville City Clerk Agenda Page 22 STATE OF MINNESOTA ) ) ss. COUNTY OF WRIGHT ) The foregoing instrument was acknowledged before me this day of August, 2019, by Kimberly A. Hodena, as Clerk of the City of Albertville, a Minnesota municipal corporation, on behalf of the city and pursuant to the authority of the City Council. DOCUMENT DRAFTED BY: Michael C. Couri COURI & RUPPE 705 Central Avenue East P.O. Box 369 St. Michael, MN 55376 763-497-1930 Notary Public Agenda Page 23 Extract of Minutes of Meeting of the City Council of the City of Albertville Wright County, Minnesota Pursuant to due call and notice thereof, a regular meeting of the City Council of the City of Albertville, Minnesota, was duly held in the City Hall in said City on Monday, August 19, 2019, commencing at 7:00 P.M. The following members were present: and the following were absent: The Mayor announced that the next order of business was consideration of the proposals which had been received for the purchase of the City's General Obligation Sanitary Sewer Revenue Bonds, Series 2019A, to be issued in the original aggregate principal amount of $ The City Administrator presented a tabulation of the proposals that had been received in the manner specified in the Notice of Sale for the Bonds. The proposals were as set forth in EXHIBIT A attached. After due consideration of the proposals, Member then introduced the following written resolution, the reading of which was dispensed with by unanimous consent, and moved its adoption: 606927v1AL141-69 Agenda Page 24 RESOLUTION NO. 2019-033 A RESOLUTION AWARDING THE SALE OF GENERAL OBLIGATION SANITARY SEWER REVENUE BONDS, SERIES 2019A, IN THE ORIGINAL AGGREGATE PRINCIPAL AMOUNT OF $5,700,000; FIXING THEIR FORM AND SPECIFICATIONS; DIRECTING THEIR EXECUTION AND DELIVERY; AND PROVIDING FOR THEIR PAYMENT BE IT RESOLVED By the City Council of the City of Albertville, Wright County, Minnesota (the "City"), as follows: Section 1. Sale of Bonds. 1.01 Authority. Pursuant to a resolution adopted by the City Council of the City on July 15, 2019, the City authorized the sale of its General Obligation Sanitary Sewer Revenue Bonds, Series 2019A (the "Bonds"), to finance the rehabilitation of a wastewater treatment plant in the City (collectively, the "Project"), pursuant to Minnesota Statutes, Sections 115.46 and 444.075 and Minnesota Statutes, Chapter 475, as amended (together the "Act"). 1.02. Award to the Purchaser and Interest Rates. The proposal of , (the "Purchaser"), to purchase the Bonds of the City is hereby found and determined to be a reasonable offer and is hereby accepted, the proposal being to purchase the Bonds at a price of $ (par amount of $ , plus net original issue premium of $ , less underwriter's discount of $ ), plus accrued interest to date of delivery, if any, for Bonds bearing interest as follows: Year Interest Rate Year Interest Rate 2020 % 2030 % 2021 2031 2022 2032 2023 2033 2024 2034 2025 2035 2026 2036 2027 2037 2028 2038 2029 2039 Net Interest Cost: % 1.03. Purchase Contract. The amount proposed by the Purchaser in excess of the minimum bid shall be credited to the Debt Service Fund hereinafter created or deposited in the Construction Fund hereinafter created, as determined by the City Administrator in consultation with the City's municipal advisor. The City Administrator is directed to deposit the good faith check or deposit of the Purchaser, pending completion of the sale of the Bonds, and to return the good faith deposits of the unsuccessful proposers. The Mayor and City Administrator are directed to execute a contract with the Purchaser on behalf of the City. 1.04. 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 $ , originally dated September 24, 606927v1AL141-69 2 Agenda Page 25 2019, 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 2020 $ 2030 2021 2031 2022 2032 2023 2033 2024 2034 2025 2035 2026 2036 2027 2037 2028 2038 2029 2039 1.05. Optional Redemption. The City may elect on February 1, 2027, and on any day thereafter to prepay Bonds due on or after February 1, 2028. 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 7 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. [1.06. Mandatory Redemption; Term Bond. TO BE COMPLETED IF TERM BONDS REQUESTED BY THE PURCHASER: The Bonds maturing on February 1, 20 and February 1, 20 and shall hereinafter be referred to collectively as the "Term Bonds." The principal amount of the Term Bond 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 at par plus accrued interest on February 1 of the following years and in the principal amounts as follows:] Sinking Fund Installment Date February 1, 20 Term Bond Principal Amount * Maturity February 1, 20 Term Bond Principal Amount * Maturity 606927v1AL141-69 3 Agenda Page 26 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 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, 2020, to the registered owners of record thereof 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 606927v1AL141-69 4 Agenda Page 27 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 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 Char. 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 a Bond destroyed, stolen, or lost, upon the payment of the reasonable expenses and charges of the Registrar in connection therewith; and, in the case of a Bond destroyed, stolen or lost, upon tiling 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 of 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 the proceedings 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 ig strar. 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 thirty (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 the City Council, the City Administrator 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 those 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 a 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. 606927v1AL141-69 5 Agenda Page 28 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. Section 3. Form of Bond. 3.01. Execution of the Bonds. The Bonds will be printed or typewritten in substantially the form as attached hereto as EXHIBIT B. 3.02. Approving Legal Opinion. The City Administrator is directed to obtain a copy of the proposed approving legal opinion of Kennedy & Graven, Chartered, Minneapolis, Minnesota, and to cause the opinion to be printed on or accompany each Bond. Section 4. Payment; Security; Pledges; and Covenants. 4.01. Debt Service Fund. The Bonds will be payable from the General Obligation Sanitary Sewer Revenue Bonds, Series 2019A Debt Service Fund (the "Debt Service Fund") hereby created. The Debt Service Fund shall be administered and maintained by the City Administrator as a bookkeeping account separate and apart from all other funds maintained in the official financial records of the City. The City will continue to maintain and operate its Sewer Fund to which will be credited all gross revenues of the sanitary sewer system, and out of which will be paid all normal and reasonable expenses of current operations of such systems. Any balances therein are deemed net revenues (the "Net Revenues") and will be transferred, from time to time, to the Debt Service Fund, which Debt Service Fund will be used only to pay principal of and interest on the Bonds and any other bonds similarly authorized. There is also appropriated to the Debt Service Fund (i) ad valorem taxes hereinafter levied (the "Taxes"), which are pledged to the Debt Service Fund (ii) capitalized interest financed with proceeds of the Bonds, if any; (iii) amounts over the minimum purchase price paid by the Purchaser, to the extent designated for deposit in the Debt Service Fund in accordance with Section 1.03 hereof. There will always be retained in the Debt Service Fund a sufficient amount to pay principal of and interest on the Bonds, and the City Administrator must report any current or anticipated deficiency in the Debt Service Fund to the City Council. 4.02. Construction Fund. The City hereby creates the General Obligation Sanitary Sewer Revenue Bonds, Series 2019A Construction Fund (the "Construction Fund"). Proceeds of the Bonds, less the appropriations made in Section 4.01 hereof, will be deposited in the Construction Fund to be used solely to defray expenses of the Project. When the Project is completed and the cost thereof paid, the Construction Fund is to be closed and any funds remaining may be deposited in the Debt Service Fund. 4.03. City Covenants. The City Council covenants and agrees with the holders of the Bonds that so long as any of the Bonds remain outstanding and unpaid, it will keep and enforce the following covenants and agreements: (a) The City will continue to maintain and efficiently operate the sanitary sewer system as a public utility and conveniences free from competition of other like municipal utilities and will cause all revenues therefrom to be deposited in bank accounts and credited to the Sewer 606927v1AL141-69 6 Agenda Page 29 Fund, as hereinabove provided, and will make no expenditures from those accounts except for a duly authorized purpose and in accordance with this resolution. (b) The City will also maintain the Debt Service Fund as a separate account and will cause money to be credited thereto from time to time, out of Net Revenues and Taxes, in sums sufficient to pay principal of and interest on the Bonds when due. (c) The City will keep and maintain proper and adequate books of records and accounts separate from all other records of the City in which will be complete and correct entries as to all transactions relating to the sanitary sewer system, and which will be open to inspection and copying by any Bondholder, or the Bondholder's agent or attorney, at any reasonable time, and it will furnish certified transcripts therefrom upon request and upon payment of a reasonable fee therefor, and said account will be audited at least annually by a qualified public accountant and statements of such audit and report will be furnished to all Bondholders upon request. (d) The City Council will cause persons handling revenues of the sanitary sewer system, to be bonded in reasonable amounts for the protection of the City and the Bondholders and will cause the funds collected on account of the operations of such systems to be deposited in a bank whose deposits are guaranteed under the Federal Deposit Insurance Law. (e) The City Council will keep the sanitary sewer system insured at all times against loss by fire, tornado, and other risks customarily insured against with an insurer or insurers in good standing, in such amounts as are customary for like plants, to protect the holders, from time to time, of the Bonds and the City from any loss due to any such casualty and will apply the proceeds of such insurance to make good any such loss. (f) The City and each and all of its officers will punctually perform all duties with reference to the sanitary sewer system as required by law. (g) The City will impose and collect charges of the nature authorized by Sections 444.075 and 115.46 of the Act, at the times and in the amounts required to produce Net Revenues and Taxes adequate to pay all principal and interest when due on the Bonds and to create and maintain such reserves securing said payments as may be provided herein. (h) The City Council will levy general additional ad valorem taxes on all taxable property in the City when required to meet any deficiency in Net Revenues and Taxes. 4.04. General Obligation Pledge. For the prompt and full payment of the principal of and interest on the Bonds, as the same respectively become due, the full faith, credit, and taxing powers of the City are irrevocably pledged. If a payment of principal of or interest on the Bonds becomes due when there is not sufficient money in the Debt Service Fund to pay the same, the City Administrator is directed to pay such principal or interest from the general fund of the City, and the general fund will be reimbursed for those advances out of the proceeds of Net Revenues and Taxes when collected. 4.05. Pledge of Tax Levy. For the purpose of paying a portion of the principal of and interest on the Bonds, there is levied a direct annual irrepealable ad valorem tax upon all of the taxable property in the City, which will be spread upon the tax rolls and collected with and as part of other general taxes of the City. The Taxes will be credited to the Debt Service Fund above provided and will be in the years and amounts as attached hereto as EXHIBIT C. 606927v1AL141-69 7 Agenda Page 30 4.06. Debt Service Coverage. It is hereby determined that the estimated collection of the Net Revenues and Taxes for the payment of principal of and interest on 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. 4.07. State Credit Enhancement. (a) Pursuant to a resolution adopted by the City Council on March 19, 2019, the City Council authorized and directed City staff to enter the City into a Credit Enhancement Program Agreement (the "Credit Agreement") with the Minnesota Public Facilities Authority (the "Authority"). Pursuant to Minnesota Statutes, Section 446A.086, as amended (the "Credit Enhancement Act"), the State of Minnesota, acting through the Authority, may provide a guarantee of any deficiency of debt service payments on the Bond. Pursuant to the Credit Enhancement Act, the City makes the following representations and covenants: (i) the City will notify the Authority of any default or potential default in the payment of principal or interest due on the Bond; (11) the City will deposit with the Registrar all payments of principal and interest due on the Bond at least three (3) business days prior to the payment due date; (iii) the agreement the City enters into with the Registrar will include all provisions required by the Credit Enhancement Act; and (iv) the City will comply with all provisions of the Credit Agreement and with the Credit Enhancement Act. (b) Pursuant to subdivision 3 of the Credit Enhancement Act, the City acknowledges and agrees that the Registrar is required to inform the Minnesota Commissioner of Management and Budget and the Authority if the Registrar becomes aware of a default or potential default in the payment of principal or interest on the Bond or if, on the day two (2) business days before the date a payment is due on the Bond, there are insufficient funds to make the payment on deposit with the Registrar. 4.08. Certificate of County Auditor as to Registration. The City Administrator is authorized and directed to file a certified copy of this resolution with the County Auditor of Wright County, Minnesota and to obtain the certificate required by Section 475.63 of the Act. Section 5. Authentication of Transcript. 5.01. 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, may be deemed representations of the City as to the facts stated therein. 5.02. Certification as to Official Statement. The Mayor and the City Administrator are 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 606927v1AL141-69 8 Agenda Page 31 the Official Statement is a complete and accurate representation of the facts and representations made therein as of the date of the Official Statement. 5.03. Other Certificates. The Mayor and the City Administrator are hereby authorized and directed to furnish to the Purchaser at the closing such certificates as are required as a condition of sale. Unless litigation shall have been commenced and be pending questioning the Bonds or the organization of the City or incumbency of its officers, at the closing the Mayor and the City Administrator shall also execute and deliver to the Purchaser a suitable certificate as to absence of material litigation, and the City Administrator shall also execute and deliver a certificate as to payment for and delivery of the Bonds. Section 6. Tax Covenant. 6.01. 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. 6.02. No Rebate Required. The City will comply with 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, limitations on amounts invested at a yield greater than the yield on the Bonds, and the rebate of excess investment earnings to the United States, if the Bonds (together with other obligations reasonably expected to be issued in calendar year 2019) exceed the small -issuer exception amount of $5,000,000. 6.03. 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. 6.04. 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 hereby 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 any 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 2019 will not exceed $10,000,000; and (d) not more than $10,000,000 of obligations issued by the City during calendar year 2019 have been designated for purposes of Section 265(b)(3) of the Code. 6.05. 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. 606927v1AL141-69 9 Agenda Page 32 Section 7. Book -Entry System; Limited Obligation of City. 7.01. 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 of the Bonds as described in Section 1.04 hereof. Upon initial issuance, the ownership of each 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. 7.02. 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 (Ili) 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 a certificated Bond evidencing the obligation of this resolution. Upon delivery by DTC to the City Administrator 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 Administrator will promptly deliver a copy of the same to the Registrar and Paying Agent. 7.03. Representation Letter. The City has heretofore executed and delivered to DTC a Blanket Issuer Letter of Representations (the "Representation Letter") which shall 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. 7.04. Transfers Outside Book-EntrS. sue. In the event the City, by resolution of the City Council, determines that it is in the best interests of the persons having beneficial interests 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 606927v1AL141-69 10 Agenda Page 33 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. 7.05. 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 8. Continuing Disclosure. 8.01. Execution of Continuing Disclosure Certificate. "Continuing Disclosure Certificate" means that certain Continuing Disclosure Certificate executed by the Mayor and 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. 8.02. Ci y Compliance with Provisions of Continuing Disclosure Certificate. The City hereby 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 is not to 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. Section 9. 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 remainder of this page is intentionally left blank.) 606927v1AL141-69 I I Agenda Page 34 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. 606927v1AL141-69 12 Agenda Page 35 1WXII1:311W1 PROPOSALS A-1 606927v1AL141-69 Agenda Page 36 No. R- EXHIBIT B FORM OF BOND UNITED STATES OF AMERICA STATE OF MINNESOTA COUNTY OF WRIGHT CITY OF ALBERTVILLE GENERAL OBLIGATION SANITARY SEWER REVENUE BOND SERIES 2019A Date of Rate Maturity Original Issue CUSIP % February 1, 20 September _, 2019 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 hereby 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 (calculated on the basis of a 360 day year of twelve 30 day months), payable February 1 and August 1 in each year, commencing February 1, 2020, 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 Bond 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, 2027, and on any day thereafter to prepay Bonds due on or after February 1, 2028. 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 The Depository Trust Company ("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. This Bond is one of an issue in the aggregate principal amount of S 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 on August 19, 2019 (the "Resolution"), for the purpose of providing money to defray the expenses incurred and to be incurred in the rehabilitation of a wastewater treatment plant project pursuant to and in full conformity with the Constitution and laws of the State of Minnesota, including Minnesota Statutes, Sections 115.46 and 444.075 and Minnesota Statutes, Chapter 475, as amended, and the principal hereof and interest hereon are payable from net 606927v1AL141-69 B-1 Agenda Page 37 revenues of the sanitary sewer system of the City and 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 net revenues and taxes pledged, which 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 55,000 or any integral multiple thereof of single maturities. 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. IT IS HEREBY CERTIFIED AND RECITED That in and by the Resolution, the City has covenanted and agreed that it will continue to own and operate the sanitary sewer system free from competition by other like municipal utilities; that adequate insurance on said systems and suitable fidelity bonds on employees will be carried; that proper and adequate books of account will be kept showing all receipts and disbursements relating to the Sanitary Sewer Fund into which it will pay all of the gross revenues from the sanitary sewer system; that it will also create and maintain a General Obligation Sanitary Sewer Revenue Bonds, Series 2019A Debt Service Fund, into which it will pay, out of the net revenues from the sanitary sewer system, and ad valorem taxes, a sum sufficient to pay principal of the Bonds and interest on the Bonds when due; and that it will provide, by additional ad valorem tax levies, for any deficiency in required net revenues of the sanitary sewer system and taxes pledged. 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 Bond 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 Bond 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 Bond 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 Bond Registrar will be affected by any notice to the contrary. IT IS HEREBY 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. 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 Bond Registrar by manual signature of one of its authorized representatives. 606927v1AL141-69 B-2 Agenda Page 38 IN WITNESS WHEREOF, the City of Albertville, Wright County, 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 City Administrator and has caused this Bond to be dated as of the date set forth below. Dated: 12019 CITY OF ALBERTVILLE, MINNESOTA (Facsimile) (Facsimile) Mayor City Administrator CERTIFICATE OF AUTHENTICATION This is one of the Bonds delivered pursuant to the Resolution mentioned within. NORTHLAND TRUST SERVICES, INC. By Authorized Representative ABBREVIATIONS 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 in common TEN ENT -- as tenants by entireties JT TEN -- as joint tenants with right of survivorship and not as tenants in common UNIF GIFT MIN ACT Custodian (Crust) (Minor) under Uniform Gifts or Transfers to Minors Act, State of Additional abbreviations may also be used though not in the above list. 606927v1AL141-69 B-3 Agenda Page 39 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 prermses. 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 Bond 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 j oint account.) Please insert social security or other identifying number of assignee 606927v1AL141-69 B-4 Agenda Page 40 PROVISIONS AS TO REGISTRATION The ownership of the principal of and interest on the within Bond has been registered on the books of the Registrar in the name of the person last noted below. Date of Registration Registered Owner Cede & Co. 2019 Federal ID #13-2555119 Signature of Officer of Re ig strar 606927v1AL141-69 B-5 Agenda Page 41 EXHIBIT C TAX LEVY 606927v1AL141-69 C-1 Agenda Page 42 STATE OF MINNESOTA ) COUNTY OF WRIGHT ) SS. CITY OF ALBERTVILLE ) I, the undersigned, being the duly qualified and City Administrator of the City of Albertville, Minnesota (the "City"), do hereby certify that I have carefully compared the attached and foregoing extract of minutes of a regular meeting of the City Council of the City held on August 19, 2019, with the original minutes on file in my office and the extract is a full, true and correct copy of the minutes insofar as they relate to the issuance and sale of the City's General Obligation Sanitary Sewer Revenue Bonds, Series 2019A, in the original aggregate principal amount of $ WITNESS My hand officially as such City Administrator and the corporate seal of the City this day of , 2019. City Administrator City of Albertville, Minnesota (SEAL) 606927v1AL141-69 Agenda Page 43 A\1bertvijjc Mayor and Council Request for Action Smolt LWing. Big Ufs. August 13, 2019 SUBJECT: FINANCE — REVOLVING LOAN FUND 203 RECOMMENDATION: It is respectfully requested that the Mayor and Council consider the following: MOTION TO: Request the release of "Revolving Loan Funds" under the onetime exception from Minnesota Employment and Economic Development. BACKGROUND: The City received Revolving Loan monies from the state in 1989 as part of an economic development grant involving Fraser Steel. Under the terms of the _rag nt, a portion of the money that the State provided to Fraser Steel was in the form of a loan that was repayable to the City that the City agreed to keep in a revolving loan fund. Fraser Steel repaid the moneX with interest to the City and the City kept this money in its revolving loan fund. By State statute, t-The revolvingloan oan funds f f the lean has special restrictions limiting to whom and for what purposes the City can loan this money out. eh esthe 4mds vefy restfietive. A few businesses were able to use this loan over the past thirty years with the major user being Fraser Steel twice, but others were not. The Legislature has passed a onetime exception in order to release any uncommitted revolving loan funds by June 1, 2020. If approved for fund release twenty percent of the balance of the fund would go back to the State of Minnesota leaving the remaining funds available to the City for transferring out of the special revolving loan fund for use as general purpose aid for any lawful expenditure. Essentially, the City can "buy" its way out of the current restrictions and free up the fund for virtually any use the City wants to put the money to. The current balance in the Revolving Loan Fund 203 is $187,237.23. FINANCIAL CONSIDERATIONS: City staff has reviewed this along with our audit film and recommends requesting release of the monies. LEGAL CONSIDERATIONS: State law currently prohibits the use of revolving loan funds for a number of uses (e.a. rehabbing a retail buildina) and reauires that iob and wane coals be part of any loan of such funds. Invoking the new law change to release 80% of the revolving loan fund will remove all State restrictions on the use of these funds and will allow the Cites use these funds for any purpose to which City monies can normallypent, giving the City much greater flexibility_ to businesses grow the future tax base of the City or allowing the City to use the money for any other lawful purpose. ?? Responsible Person/Department: Tina Lannes, Finance Director Submitted Through: Adam Nafstad, Administrator -PWD P:ACity Council\Council Packet Information\2019\081919\2019-08-19 revolving loan fund.docx Meeting Date: August 19, 2019 44 �lbcrtvi j jc S-1T..UNng.ftCity Lft. Mayor and Council Request for Action August 14, 2019 SUBJECT: PLANNING — AMENDMENT TO THE PUD (PLANNED UNIT DEVELOPMENT) ZONING FOR THE FEDERATED CO—OPS PROPERTY LOCATED AT 11229 60TH STREET NE IN ALBERTVILLE TO ALLOW FOR THE INSTALLATION OF A 10,000 GALLON GASOLINE STORAGE TANK WITHIN ITS TANK STORAGE AREA RECOMMENDATION: It is respectfully requested that the Mayor and Council consider the following motions: MOTION TO: Adopt Ordinance No. 2019-05 entitled a Ordinance amending the PUD district on the Federated Co-ops property located at 11229 60th Avenue in the City of Albertville to allow a 7th fuel storage tank within its tank field. The new storage tank will consist of a 10,000 gallon gasoline tank. BACKGROUND: In 2013, Federated Coop received City approval of a PUD/ B-3 district tied to a specific site plan that identified the uses, buildings and operations for the site at 11229 60th Street NE. Albertville. This included the approval of a storage tank field for up to 6 fuel tanks (these tanks store fuel oil and diesel fuel). Federated Co-op is now requesting an amendment to their PUD to allow a seventh tank within their tank containment area. The new tank is proposed to contain 10,000 gallons of the premium gasoline. The Planning and Zoning Commission met and held a public hearing on July 9, 2019 and August 13, 2019, to consider the request of Federated Co-ops. At these meetings the following key issues were discussed. KEY ISSUES: The addition of a new 10,000 gallon gasoline above ground storage tank will almost double the gasoline storage on the site. The applicant has provided information that the average quantities of fuel within each tank generally average less than 70% of the tank's capacity. Additionally, with the approval of the new tank the applicant will remove one 1000 gallon tank, reducing the total request to 9,000 gallons of storage over existing conditions. • Gasoline is more combustible than the other fuels stored at the site. This is a concern; however, this concern exists today within the current tank field with one of the 14.000 gallon tank currently holding gasoline. The applicant has offered operational and site improvements to better secure the tank field and improve training and response efforts in an emergency event. • The site offers not water supply to the site for the fire department. Hydrant locations exist beyond the site at both 58th and 60th streets. P:ACity Council\Council Packet Information\2019\081919\2019-08-19 Federated Coop RCA 2019.docx Meeting Date: August 19, 2019 45 Mayor and Council Request for Action — August 19, 2019 Federated Co -Op PUD Amendment Page 2 of 2 • The Albert Fire Department lacks the equipment to handle a non -routine call at the facility. The applicant has offered to participate in the creation of an Emergency Action plan for the site that would involve both the participation and training of both the Federated employees and the Albertville Fire Department. • The site offers no on -site, fire -fighting equipment that would assist the fire department with a non -routine call at the facility. Federated has offer the provision of tank monitoring app to its employees and the fire department, and to buy form in quantities specified by the fire department to be used in an emergency event on the site. Upon review of the application two planning commissioners felt that the expansion of the tank field presented a expand risk to the city with regard to public safety. Three commissioners indicated that the community risk exists with the current tank field and the addition of the new tank Upon review of the staff report and hearing public testimony, the Planning and Zoning Commission recommended with a vote of 3 in favor and 2 opposed that the City Council approve of the Planned Unit Development amendment with the conditions outlined in Ordinance 2019- 00X POLICY CONSIDERATIONS: In accordance with State Law, public notice was published and a public hearing held by the Planning Commission for an amendment to the Federated Co - Op Planned Unit Development. The Commission recommended on 3 to 2 vote that the City Council approve the Federated Co -Op PUD Amendment to allow the addition of a 10,000 gallon gasoline storage tank within their existing tank field at 11229 60th Street NE in Albertville. The City Council may accept the recommendation of the planning commission or act independently. FINANCIAL CONSIDERATIONS: There are no significant financial issues related to the Planned Unit Development Amendment. LEGAL CONSIDERATIONS: In accordance with Council procedures, the Mayor and Council have the authority to amend the 2013 Federated Co -Op Planned Unit Development zoning district, which requires a majority vote of the City Council and becomes effective upon publication. Department/Responsible Person: Planning/Alan Brixius, City Planner Attachments: Ordinance No. 2019-05 Planning Report dated August 7, 2019 Planning Report Exhibits P:ACity Council\Council Packet Information\2019\081919\2019-08-19 Federated Coop RCA 2019.docx Meeting Date: August 19, 2019 46 CITY OF ALBERTVILLE WRIGHT COUNTY, MINNESOTA ORDINANCE NO. 2019-05 AN ORDINANCE AMENDING THE PLANNED UNIT DEVELOPMENT ZONING DISTRICT ON THE FEDERATED CO-OPS PROPERTY LOCATED AT 11229 60TH AVENUE IN THE CITY OF ALBERTVILLE THE CITY COUNCIL OF THE CITY OF ALBERTVILLE, MINNEOSTA ORDAINS: SECTION 1. The Federated Co-ops Addition, Lot 1, Block 1 and Lot 1, Block 2, Wright County, Minnesota is zoned B-3/ PUD and is governed by ordinance 2013-005 and the site plans dated May 7, 2013. Said B3/PUD zoning district is hereby amended to allow the addition of a 7"' fuel storage tank within the existing tank field. Said tank shall consist of a 10,000 gallon tank for gasoline storage. The additions of this additional fuel tank shall be governed by the following conditions and standards. The above ground tank meets all building and fire code requirements per the Summit evaluation report. 2. Alarm: Federated Co -Op / property owner will train their employees and have the direct dial to the police station if the monitor ever shows an issue. The alarm will go off if the tank gets hotter than 100 degrees. 3. Monitor: Federated Co -Op staff will allow the Fire Department to have access to their tank monitoring software via a mobile app. This app, which is now in use by Federated Co -Op, would allow the Fire Department to virtually "see" the tank levels and temperatures in each of the individual tanks. Access to this application would be limited to the Fire Chief's iPad and the Fire Department's Engine 11 iPad. 4. Federated Co -Op employees, and their transport staff, will be trained in the use of the above app and directed on when to call 9-1-1 should any tank show any level or temperature issues. 5. Security: Federated Co -Op will bring in additional gravel in the low spots and will anchor the fence in a manner that prevents trespass under the fence. The fence anchoring will be subject to the approval of City Staff. 6. Safety training: Federated Co -Op will donate money for some additional joint training of both the fire department and its employees in the establishment of an emergency management plan for the site. 7. Site Lighting: Federated Co -Op will install dusk/dawn lighting in the loading area to provide employees a safer loading environment. The dusk/dawn lighting will be a deterrent to site entry from outsiders. Lighting will be 90 degree cutoff light fixtures consistent with current requirements. Page 1 Agenda Page 47 City of Albertville Meeting of August 19, 2019 Ordinance No, 2019-05 Page 2 8. Federated Co -Op will install motion detectors on both gate areas that will activate additional lighting to deter entry or tampering. Lighting will be consistent with current City lighting requirements. 9. Electrical power will remain locked out during all non -business hours via a padlocked breaker box. Federated Co-ops will explore pass code/key code power options to provide additional protection. 10. Federated Co -Op will work with the Fire Department on finding a third party vendor to construct an Emergency Action Plan for the facility allowing both Federated Co -Op staff and the Fire Department to train under one, unified, plan. Federated Co -Op has indicated they would be willing to make a monetary donation to fund this process. Federated Co - Op shall bear the expense for the development of the Emergency Action plan specific to the site. The Action plan shall be completed within 6 months of the PUD approval. 11. Federated Co -Op will remove one 1000 gallon gasoline tanks from the property with the installation of the 10,000 gallon gasoline storage tank. 12. Federated Co -Op will work with the Fire Department to secure extra firefighting foam to be used solely for any incidents at the Federated Co -Op facility. Currently our foam supply comes in 5-gallon buckets, and is stored at the Fire Department. The Fire Department would be comfortable having 100 gallons of foam on hand for the Federated Co -Op facility. Federated Co -Op has indicated they would be open to purchasing foam for potential use at their facility. 13. The entire tank field shall be an interim use for the property and shall be removed from the site if the property changes ownership. Subsequent, land owners may pursue and PUD Amendment to retain the tank field subject to the tank field meeting all current building, fire, and zoning codes in place at the time of change in ownership and compliance with the conditions of this ordinance. THIS AMENDMENT SHALL BE IN FULL FORCE AND EFFECTIVE IMMEDIATELY FOLLOWING ITS PASSAGE AND PUBLICATION. Approved by the Albertville City Council this 19 day of August, 2019. ATTEST: Kimberly A. Hodena, City Clerk Jillian Hendrickson, Mayor Agenda Page 48 NORTHWEST ASSOCIATED CONSULTANTS_, INC,, 4150 Olson Memorial Highwa} ;te. 320, Golden Valley, MN 55422 Telephone: 763.957.1100 Website: www.nacplanning.com MEMORANDUM: TO: Adam Nafstad FROM: Alan Brixius DATE: August 7, 2019 RE: Federated Co-op Fuel Tank Request. FILE NO: 165 05 19.04 PROPERTY 11229 60t" Street NE ADDRESS: PI D: 101-500-012-131 BACKGROUND: In 2013, Federated Coop received City approval of a PUD/ B-3 district tied to a specific site plan that identified the uses, buildings and operations on the site. This included the approval of a storage tank field for up to 6 fuel tanks (these tanks store fuel oil and diesel fuel). Federated Co-op is requesting an amendment to their PUD to allow a seventh tank within their tank containment area. The new tank is proposed to contain 10,000 gallons of the premium gasoline. This item was reviewed at the July 9, 2019 Planning Commission meeting, at which time the City Staff present the application and planning report and the Applicant present their plans and studies. Upon receipt of this information the planning commission continued the public hearing to its August 13, 2019 meeting asking that the applicant meet with City Staff in an effort to further mitigate the public safety concerns presented in the staff presentation. The Planning Commission also requested additional information from the Fire Chief specific to emergency management concerns and strategies. EXHIBITS: Exhibit A Site plan 11 Agenda Page 49 Exhibit B Federated Co-op Narrative Exhibit C Current Tank field layout Exhibit D Fire Chief Letter June 17, 2019 Exhibit E Fire Chief Letter August 6, 2019 Exhibit F Applicant's Email July 24, 2019 Exhibit G Applicant's Email August 8, 2019. ANALYSIS: Additional Meetings: Since the July planning commission meeting the Applicant has met with City staff on July 16th and August 6th, the result being the submission of a list of mitigation and security efforts that Federated Co -Op is willing to undertake to reduce safety concerns of the City. Exhibit s F and G attached to his report outlines the Federated proposals. Summit Companies Report: The installation of a new 10,000 gallon above ground gasoline tank raises a number of issues related to public safety and adjoining land uses. The applicant has submitted an evaluation report on the proposed new fuel tank being placed in the existing outdoor tank containment area prepared by Summit Fire National Consulting. This report offers the following findings: 1. The existing tank field meets minimum separation from property lines. 2. The containment area has diking and capacity to accommodate the new 10,000 tank. 3. The separation between tanks is adequate. 4. Existing pipelines are in a safe arrangement. 5. All aspects of the existing and proposed tank installation are in compliance with applicable code requirements. Fire Chief's Letter: Exhibit D is the Fire Chief's original review of the requested tank field expansion which outlines the concerns of the Chief, Building Official, Building Inspector/ Fire Marshal and County Emergency Management Coordinator. Exhibit E is a new letter from the Fire Chief. That addresses the new proposal from the applicant. The Chief states that the measures proposed by the Co -Op will provide more security and a more training for both the fire department and Co -Op employees for response to emergency operations. However, it is impossible to quantify or predict the still present risk of adding another 10,000 gallon gasoline storage tank to the site. The applicant in response to the City Staff concerns has identified the tank capacities and fuel storage within these tanks over a 16 day period. These figures and averages for the entire 16 day period demonstrate that the tanks not normally to full capacity and 12 Agenda Page 50 on average the tank level fluctuate to averages ranging from Tank 2 (Dyed Diesel Non Bio #2) at 70.9% to Tank 1 (Unleaded 87 Regular) at 31.7%. Tank High High low Low Mean Mean Number Gallons % Gallons % Gallons % 1 9,783.1 65.5% 928.9 6.2% 4,725.9 31.7% 2 13,654 91.5% 4,950.8 33.2% 10,589.2 70.9% 3 13,834.1 81.1 % 6,388.6 37.4% 11,100.0 65.1 % 4 16,594.7 86.7% 296.2 1.5% 8,042.9 42.0% 5 16,517.1 97.5% 1,544.4 9.1% 8,702.2 51.4% 6 13,362.2 91.0% 3,629.1 24.7% 9,124.7 62.2% The applicants have expressed a willingness to remove a smaller 1000 gallon tanks currently used for gasoline storage in exchange for the larger 10,000 gallon tank as its replacement. We note this because the amount of storage capacity over existing condition will be 9000 gallons rather than the previous 10,000 gallon figure. The aforementioned fuel storage numbers and the removal of an existing tank are provided to demonstrate that the volume of fuel within each of the tanks is seldom at the total site capacity. The applicant has indicated that all of the fuel tanks are vented which prevents the tanks from building up pressure within the tanks that would create an explosive situation. Zoning The PUD/13-3 zoning will allow both the existing fuel storage and motor fuel stations such as BP, Super America and Casey's by conditional use permit. The motor fuel stations in the city are certainly closer to adjoining land uses and neighborhoods that the separation offered by Federated Co-op, however, these fuel station tanks are below ground and offer a different level of protection. In discussion, with City staff the provision of an underground tank would be more acceptable with regard to security and emergency management. CONCLUSION: The applicants have offered a number of measures / improvements to reduce potential risks / hazards related to the current and additional fuel storage area at the Federated Co -Op site. Staff agrees that these improvements provide more security and improve 13 Agenda Page 51 emergency response operations. However, there are still hazard risks associated with the above ground storage of gasoline which is more flammable and potentially more explosive than the other fuels being stored at the Federated Co-op site. Based on City staff review and our meetings with the Applicants, we offer the following options for consideration by the planning commission and City Council. 1. Recommendation for denial of the PUD amendment with the following findings. • The addition of anew 10,000 gallon gasoline above ground storage tank will almost double the gasoline storage on the site. • Gasoline is more combustible than the other fuels stored at the site. • The site offers not water supply to the site for the fire department. • The Albert Fire Department lacks the equipment to handle a non -routine call at the facility. • The site offers no on -site, fire -fighting equipment that would assist the fire department with a non -routine call at the facility. • The new fuel storage tank does not meet the Emergency Response Guidelines for downwind evacuation separations for adjoining land uses. 2. Federated Co-op continues to be a valued business within the City and the expansion of the business is critical for their continued success. In this regard, City Staff can recommend approval of additional gasoline storage with the condition that it is an underground tank and meets the applicable performance standards of Section 4400.4 for a motor fuel station. With this approval the applicant shall submit a revised site plan and tank construction plans for review and approval of the City Staff. 3. Federated Co -Op has offered a list of improvements that will further secure and improved emergency operations for both the existing fuel tank field and the new 10,000 gallon tank. The fuel levels within the tanks are seldom at full capacity at the same time and Federated is willing to remove one of the smaller gasoline tanks which will be replace by the new larger tank. With the following conditions the Planning Commission recommends that the City Council approve the addition of a 10,000 gallon above ground gasoline storage tank based on the plans submitted dated ---------. • The above ground tank meets all building and fire code requirements per the Summit evaluation report. Alarm: The applicant will train their employees and have the direct dial to the police station if the monitor ever shows an issue. The alarm will go off if the tank gets hotter than 100 degrees. 14 Agenda Page 52 • Monitor: The applicant will give the fire chief access to the fuel tank monitor in cases of an emergency. Federated Co -Op staff will allow the Fire Department to have access to their tank monitoring software via a mobile app. This app, which is now in use by Federated Co -Op, would allow the Fire Department to virtually "see" the tank levels and temperatures in each of the individual tanks. Access to this application would be limited to the Fire Chief's iPad and the Fire Department's Engine 11 iPad. • Federated Co -Op employees, and their transport staff, will be trained in the use of the above app and directed on when to call 9-1-1 should any tank show any level or temperature issues. • Security: The Applicant will bring in additional gravel in the low spots and will anchor the fence in a manner that prevents trespass under the fence. The fence anchoring will be subject to the approval of City Staff. • Buy the fire department additional foam to help combat a fire. Quantities to be determined by the Fire Chief. • Safety training: The Applicant donate money for some additional joint training of both the fire department and its employees in the establishment of an emergency management plan for the site. • Install dusk/dawn lighting in the loading area. This will aid in providing our employees a safer loading environment. The addition of dusk/dawn lighting will be a deterrent to site entry from outsiders. Lighting will be 90 degree cutoff light fixtures consistent with current requirements. • Federated Co-ops will install motion detectors on both gate areas that will activate additional lighting to deter entry or tampering. Lighting will be consistent with current requirements • Electrical power will remain locked out during all non -business hours via a padlocked breaker box. Federated Co-ops will explore pass code/key code power options to provide additional protection. • Federated Co -Op will work with the Fire Department on finding a third party vendor to construct an Emergency Action Plan for the facility allowing both Federated Co -Op staff and the Fire Department to train under one, unified, plan. Federated Co -Op has indicated they would be willing to make a monetary donation to fund this process. Federated Co -Op shall bear the expense for the development of the Emergency Action plan specific to the site. The Action plan shall be completed within 6 months of the PUD approval. 15 Agenda Page 53 Federated Co -Op will remove any smaller fuel tanks on the property that are not needed for their day-to-day operations. • Federated Co -Op will work with the Fire Department to secure extra firefighting foam to be used solely for any incidents at the Federated Co -Op facility. Currently our foam supply comes in 5-gallon buckets, and is stored at the Fire Department. The Fire Department would be comfortable having 100 gallons of foam on hand for the Federated Co -Op facility. Federated Co -Op has indicated they would be open to purchasing foam for potential use at their facility. Cc. Maeghan Becker Eric Bullen Paul Hiens Jim Hildebrandt. 16 Agenda Page 54 s 3 � p N� �{ 19G ap > ga Ali S gs >G "€dam` MIc'�M a a Gp ag raiPy' IL li,e�^ a �kg r es -S"' 'n``.z Dig CS:Vil - 1``\ a a If z °�5sIld��lllld., a'63 S �3 III d e>5 w n aas_�f! 5s �s§-ebb;, �>u fibs$ � �NB�I�p=jIN£IIfl; L4 .ASb ay�P a'ixx�� 1 i li agll -11 in ° S S�� ]�yEll'�• II� y�e E a p8bs32 rl IM ��I.�11.?,I i g85Vgig�: �4Esa ffioL:,b ka ga Z'e JI0, I' NN'4� m`�s sgYYYY at £ AaPs .I g�Nlal t=ss €eb Sli ..E A till Nllgllu� �a $$s5 d Eda�.d::a7.nll; c S.St ;? I a z E€soda s1NGh,ilpai�iad:t' Y:x§axa? 3.3!eea z ot t \\ h $# b e On d k "mzs Ja, A 3s d a e gg G ti i �7� a ♦/ $ F 2 2 �' l q/ � / /' N+` rN'x�Ms/m:nHJ,n.ao3NSS:M Uj ilAvIG�ALrnnimM ^=sA3�_ •"V• x} tie eg S "Value for life" OFEDERATED CO-OPS Inc. Agronomy • Energy • Retail Introduction Federated Coops supplies Inputs to local farmers including fuel, oil, fertilizer, crop protection, animal health, feed, seed, equipment, consulting and application services. We also serve local hhone owners with lawn and garden products. Most products are delivered by truck in large quantities but customers also come to the facility to pick up product. We also serve the needs of commercial accounts with fuel, lubricants and outer related products. Project Federated Coop purchased and rebuilt. the bulk petroleum plant east of ourfertilizer plant in 2013. This plant currently has six:tanks with a combined storage of approximakeiy 50,000 gallons, The petroleum business has continued to grow, requiring Federated to add an additlonal.deliveiry truck.and driver. Federated now eiriploys eight full time and four seasonal people at our Albertville location, With this growth, there has been an increase in demand for additional product and capacity at.4ur plant. Federated would like to apply for an amendment to the PUD for an addition of one 10,000 gallon storage tank, to be added to the existing bulk petroleum facility, for the purpose of adding pre mlum non-oxy gasollne. Federated has contracted with Summit Fire National Consulting to. do a code review, evaluate the existing facility and the proposed fuel tank installation. I have provided a copy along with the application. All areas are fenced and secured. Adjoining Property Federated property Is surrounded by the railroad and. a mix of light Industrial business and. residential to the north and west, The city park is on the east and south borders, with a tree line on our property that acts as a natural screen. Ken O'Brien Federated Coops lnc 502 S 2°,, Street Princeton, MN 55371 Phone 763-286-2315 EXHIBIT B Agendal Page 56 a .41 a� 6 V d O co r N d E J 3 m W LLO U [V N Co L� H C EXHIBIT Al,lberiville Small Town Lhdng. Elg Cep UN. Building Department MEMORANDUM: Albertville Fire Department 5959 Main Avenue NE • P.O. Box 9 • Albertville, MN 55301 Phone: 763-497-3394 x 107 • Fax: 763-497-3210 TO: Alan Brixius —City Planner FROM: Eric Bullen -- Fire Chief RE: Federated Co-Ops PUD Amendment Application Case No: 2019-004PM June 17th, 2019 On June 11th, 2019 City Staff met to discuss the application for a PUD amendment from Federated Co- Ops to add a 7th (10,000 gallon) bulk fuel storage tank on their property at 5888 Lamont Av NE. Present at this meeting were Eric Bullen (Fire Chief), Paul Heins (Building Official), Jim Hildebrandt (Building Inspector / Fire Marshal), and Maeghan Becker (Building Permit Tech). As part of their application process, Federated Co-Ops enlisted the services of Summit Fire National Consulting (SFNC) for the purpose of doing a code review of the applicable requirements and evaluate the proposed new fuel tank installation. City Staff believes that the Fire Code review was thorough, complete and, outside of a couple minor variations, believes that both the previous bulk fuel tank installation and the proposed 7th bulk fuel tank would meet applicable code and standards. Despite the code review, City Staff has several safety and emergency management concerns regarding the Federated Co-Ops PUD Amendment Application from a risk management perspective. have also been in contact with the Wright County Director of Emergency Management, Seth Hansen, and he agrees with the concerns detailed below: 1. Limited access, to the current site, for the Fire Department. 2. No water supply, at the current site, for the Fire Department. 3. The Fire Department lacks the equipment needed to handle a non -routine call at the facility. 4. There is no, on -site, firefighting equipment that would assist in non -routine calls at the facility. EXHIBIT Agend&Page 58 5. Minimum Security of the bulk fuel facility. a. Federated Co -Op staff does a great job of managing the facility during operational hours. There are currently no after -hour security features for the property. 6. Emergency Response Guidelines outline an initial downwind evacuation of at least 300 meters (1000 feet) for large gasoline spills and if a storage tank is involved in a fire, ISOLATE for 800 meters (1/2 mile) in all directions; also, consider initial evacuation for 800 meters (1/2 mile) in all directions. Currently, the proximity to residential and public gathering areas from the approved six tanks are: a. 170' to the Albertville Friendly City Days band stage and beer gardens. b. 210' to the nearest residence. c. 245' to the Central Park pavilion d. 500' to the Albertville City Hall e. 770' to the STMA Arena f. 800' to the Albertville Fire Hall 7. The requested additional fuel tank is for 10,000 gallons of premium unleaded gasoline. This would almost double the amount of highly flammable, potentially explosive, gasoline being kept on site. S. Extra fuel tanks have been added to the facility since the initial PUD application, adding to the fuel storage already on -site. Under its current conditions, the risks associated with the Federated Co-Ops bulk fuel storage facility already exceed what we are able to manage as a Fire Department. It is City Staffs' belief that adding an extra 10,000 gallon tank of gasoline storage will further increase those risks. Respectfully, Eric Bullen IAAI-FIT Fire Chief/ Director of Emergency Management/ Fire Marshal City of Albertville 5959 Main Ave NE P.O. Box 9 Albertville, MN 55301 Office: 763-497-3384 ext 107 Fax. 763-497-3210 Email: eballen0d albertville.mmus Agend&Page 59 A\1bertvi11c Small Town Wng. 9Eg Cdty Uf4. Building Department p.BERWILte FIRE Albertville Fire Department 5959 Main Avenue NE • P.O. Box 9 • Albertville, MN 55301 Phone: 763-497-3384 x 107 • Fax: 763-497-3210 MEMORANDUM / UPDATED: DRAFT TO: Alan Brixius —City Planner FROM: Eric Bullen — Fire Chief RE: Federated Co-Ops PUD Amendment Application Case No: 2019-004PM August 6th, 2019: On July 16th, City Staff met with representatives from Federated Co -Op to discuss the items raised at the Planning Commission meeting on July 9th As a result of this meeting, Federated Co -Op proposed several improvements to the bulk fuel site, and other miscellaneous items, with the goal of reducing and mitigating not only the current risks found at the site, but the added risk of the proposed additional fuel tank. On August 6th, City Staff met with Federated Co -Op reps at the bulk fuel site to further discuss these items and identify any other site improvements or Staff suggestions. As a result of these meetings and the attached communication provided by Federated Co -Op, I would request that any further discussion or approvals regarding the proposed 7th fuel storage tank include these items: • Federated Co -Op staff will allow the Fire Department to have access to their tank monitoring software via a mobile app. This app, which is now in use by Federated Co -Op, would allow the Fire Department to virtually "see" the tank level and temperature in each of the individual tanks. Access to this application would be limited to the Fire Chief's !Pad and the Fire Department's Engine 11 Wad. • Federated Co -Op employees, and their transport staff, will be trained in the use of the above app and directed on when to call 9-1-1 should any tank show any level or temperature issues. • Federated Co -Op will ensure the fence around the bulk fuel site is intact and in contact with the ground. Federated Co -Op will explore options to make sure the clearance space between any gates and the ground is as minimal as possible, while still allowing for the full use of the gates during any weather. Agend&Page 60 EXHIBIT • Federated Co -Op will install permanent lights in the bulk fuel storage facility to assist in their own operations, but to also provide limited security to the site. Federated Co -Op will also provide motion -activated security lighting at both truck gates leading into the bulk fuel storage facility. • Federated Co -Op will explore viable options for an electronic lock -out / tag -out device for the electrical box that allows access to the fuel pumps after hours. Currently the electrical box is locked with a padlock. • Federated Co -Op will remove any smaller fuel tanks on the property that are not needed for their day-to-day operations. • Federated Co -Op will work with the Fire Department on finding a third party vendor to construct an Emergency Action Plan for the facility allowing both Federated Co -Op staff and the Fire Department to train under one, unified, plan. Federated Co -Op has indicated they would be willing to make a monetary donation to fund this process. • Federated Co -Op will work with the Fire Department to secure extra firefighting foam to be used solely for any incidents at the Federated Co -Op facility. Currently our foam supply comes in 5- gallon buckets, and is stored at the Fire Department. The Fire Department would be comfortable having 100 gallons of foam on hand for the Federated Co -Op facility. Federated Co -Op has indicated they would be open to purchasing foam for potential use at their facility. Attached to this Memorandum is an email from Ken 0' Brien discussing the proposals from Federated Co - Op. Also included are the average tank capacities of each bulk fuel storage tank over a recent 14-day period. I do believe that the above proposals will make the bulk fuel storage site more protected from a security standpoint and more streamlined from a training and emergency operations standpoint. What is impossible to quantify, or predict, are the still -present risks associated with adding the proposed fuel storage tank holding 10,000 gallons of premium unleaded gasoline. The proposed tank would almost double the maximum amount of highly flammable, potentially explosive, gasoline being kept on site. Respectfully, Eric Bullen [AAr-e[T Fire Chief/ Director of Emergency Management/Fire Marshal City of Albertville 5959 Main Ave NE P.O. Box 9 Albertville, MN55301 Office: 763-497-3384 ext 1 r?7 Fax: 763-497-3210 Email: ebullen0ci.albertville.mn.us Agend&Page 61 Alan Brixius From: Ken O'Brien <kobrien@federatedcoops.com> Sent: Wednesday, July 24, 2019 3:29 PM To: Alan Brixius Subject: Albertville bulk fuel site Ala n, Here are a few things Federated Coops can offer in hopes to mitigate any situations at the bulk fuel site in Albertville and address some of Fire Chief Eric Bullen's concerns. • Alarm -We will make sure Kane and our employees have the direct dial to the police station if the monitor every shows an issue. I spoke with Bob N, the alarm will go off if the tank get's hotter than 100 degrees. • Monitor -We can give the fire chief access to the monitor in cases of an emergency. Bob N will get a screen shot of the monitor to include. He will also look at our two week history of inventory to show them on average how much fuel is in the tanks. • Security -We will bring in additional gravel in the low spots and could explore putting up the cement block around the base of the fence on the rail road side. The challenge will be where the gates open. I am in the camp if someone wants to get in they will cut the fence. • Motion Lights- We will upgrade our lights to LED with motion. • Buy the fire department additional foam to help combat a fire. • Evacuation plan- this is up to the chief. Mark you could probably add some thoughts. • Safety training- If they are a 501c we could donate money for some additional training. Ken O'Brien EXHIBIT F Agend&vage 62 Alan Brixlus From: mgrave@federatedcoops.com Sent: Thursday, August 08, 2019 9:14 AM To: Alan Brixius; ebullen@ci,albertville.mn.us Subject: FW: email for Albertville Mike & Ken Your thoughts on the following email ? Al & Eric Thank you for taking the time to walk through our petroleum site Tuesday. Daily average gasoline gallons in inventory were provided. one could assume the daily average of gasoline would double with the addition of another tank. Federated Co-ops proposes the following to make the site safer for our employees, firefighters, and our community. Install dusk/dawn lighting in the loading area. This will aid in providing our employees a safer loading environment. The addition of dusk/dawn lighting will be a deterrent to site entry from outsiders. Lighting will be consistent with current requirements. Considering both gates will have space underneath them, Federated Co-ops will Install motion detectors on both gate areas that will activate additional lighting to deter entry or tampering. Lighting will be consistent with current requirements Position crushed rock at the base of the fencing to deter entry. Electrical power will remain locked out during all non -business hours via a padlocked breaker box. Federated Co-ops will explore pass code/key code power options to provide additional protection. Federated Co-ops will add and include any emergency personnel who fine it beneficial to the tank monitor alert system. The alert is activated with any non -routine inventory decline or product temperature reading over 100 degrees. Federated Co-ops would like to see a site specific Emergency Action Plan for the facility for the safety of the fire department and first responders. our employees at the site would be required to take part in this training as well. Possible resources for the development of this plan would the State Fire Marshal's office or a hazard materials specialist. Federated Co-ops is willing to make a financial donation to the City to assist in the development and implementation of such a plan. Please let me know if there are other concerns we can help mitigate. Thanks Mark Grave Federated Co-ops EXHIBIT G t Agend&Page 63 Nbertvill-c Small living. Big llfe. GENERAL ADMINISTRATION City Administrator's Update August 15, 2019 Centennial Planning: The last committee meeting will be Monday, August 26 at 7:00 p.m. Budget Workshops: The next workshop will immediately follow Monday's Council meeting. Hana Building: The ownership group has pulled a demolition permit and I expect the building to be down within the week. Newsletter: We are working with Prime Advertising to move to a quarterly publication that includes advertising options for businesses. City Website: We are seeking quotes to update the city's website. The current site is approximately 7 years old and in need of many technology upgrades. ENGINEERING/PUBLIC WORKS 70th Street Project (Kadler to CSAH 19): Construction is expected to start August 19th and will take approximately 10 days, weather dependent. This project will include MnRoad test sections to help better understand how recycling can be effectively used to avoid reflective cracking in the future. These test sections will be part of a national research effort and monitored for a number of years. WWTP Forcemain Project: Crews started construction along CR 19 approximately 2000' north of 80th Street. Approximately 1000' of sewer pipe along CR 19 is installed. The plan is to continue moving north and have pipe installed to the Riverwood Property by the end of August. Construction is scheduled to begin at the treatment plant the week of August 26tn Savitski Drainage: Plans are complete. A condition of the railroad permit is we need to get soil borings in railroad right-of-way prior to construction. We are in the process of obtaining quotes to complete the soil borings. The Geotechnical Company will also need a permit from the railroad to conduct the borings. This potentially could push construction into 2020. 1-94 Improvements Update: The design build HCPCi/Mead & Hunt is working on the schedule and coordination of the project. Work is planned to begin on the west side of CSAH 19 and with construction of the EB C-D road and bridge . During bridge construction, the existing WB C-D road will be used for mainline traffic and there will be periods where the eastbound exit ramps need to be temporarily closed. 2019 Street and Trail Improvements: Construction is generally complete. The contractor is working on punchlist boulevard restoration. Agenda Page 64 Westwind Park: The grading and seeding are complete. Parking lot work will take place later this month. CSAH 19 and 70th Street: The project will be re -bid in November. The County will be doing some preliminary project grading along 70th Street over the next few weeks to accommodate utility relocates. 11435 58th Street NE House Demo: The demolition is complete. Public Works will grade and seed the lot in September. Street Striping: This has been completed. St. Michael Sewer Extension: As part of the sewer extension to Fieldstone Passage in St. Michael, staff is working with Lennar on a sign easement agreement for the HOA to have a monument sign on the pond lot owned by Albertville. 54 % Street Drainage Improvements: We are seeking quotes to install a draintile along the south curb line. City Administrator's Update Page 2 of 2 August 19, 2019 Agenda Page 65