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1996-08-19 CC Agenda/Packet• ALBERTVILLE CITY COUNCIL AGENDA August 19, 1996 7:00 PM • n 7:00 PM 1. CALL TO ORDER/ROLL CALL/ADOPT AGENDA (Mayor/Clerk/Council) 7:02 PM 2. UNFINISHED BUSINESS a. Skateboarding Site (LMCIT) , b. 1996 Street Overlay Project (Engineer) C. Water Tower Lot Title (Attorney) 7 : 30 PM 3. NEW BUSINESS - a. P,arkside 3rd Addition request to use CSAH 19/37 temproary easements (Attorney) b. JMJ Proposed Outlet Mall (Attorney) C. Appraisal Reports for CSAH 37/19 Project (Atty) d. Planning & Zoning Recommendations - Comp Plan Update - revised map, proposed use concepts for annexed areas - $2,000 - Budget 1997 Planning Requests - $16,000 e. Budget & Tax Levy 1997 - Preliminary Discussion f. Personnel Committee Recommendations - Resolution #1996-20 Establishing a Process for Disciplinary Procedures - Resolution #1996-21 Establishing a Process for Termination of Employment - Resolution #1996-22 Establishing a Process for Grievance Procedure - Job Description - Revision/Adoption - Lead Maintenance - Maintenance Worker II - PW Department Staffing ,- g. Approve City 1997 City Audit Engagement Letter h. Resolution #1996-18 (An Ordinance Amending Ordinance #1990-7 Titled An Ordinance Establishing Salary For Mayor and Council Members) i . Capital Improvement Program 1997 - (Finance Committee) 8 : 45 PM 4. ADJOURNMENT (Counci 1) ALBERTVILLE CITY COUNCIL SPECIAL FETING August 19, 1996 Albertville City Hall 7:00 PM PRESENT: Mayor Michael Potter, Councilmembers Duane Berning, Curt Muyres, John Vetsch and Sharon Anderson, City Engineer Pete Carlson, City Administrator Garrison Hale, City Clerk Linda Houghton Mayor Potter called the meeting to order. The agenda was amended with the following additions: Item 3i - Snow Plowing Contracting Item 3k - 60th Street Trunk Sewer Extension Bids Berning made a motion to approve the agenda as amended. Anderson seconded the motion. All voted aye. The Council reviewed the memo from the League of Minnesota Cities Insurance Trust (LMCIT) regarding risk factors associated with organized skateboarding and skateboarding ramps. Nine loss control guidelines were listed, including having the area fenced, controlled access, and adult supervision. Councilmember Muyres explained to those present that the costs associated with creating a skateboarding area, including the necessary insurance costs estimated up to $10,000 and personnel required for supervision, were prohibitive. The consensus of the Council is that the City will not support a skateboarding facility. City Engineer Pete Carlson reported that the 1996 Street Overlay Project has been completed. Because not all of 51st Street required overlaying, the extra quantities of material were used to pave the shoulder of 50th Street to the high school and to overlay 59th Street between Main Avenue and Large Avenues. Total costs will be nearly the same as those projected. Final costs and pay requests will be presented at the September meeting. The Council reviewed the memo from City Attorney Couri regarding the water tower lot. Couri recommends that the City reimburse the Carlsons for site preparation and building design costs in the amount of $827 (Meyer Rohlin's invoice for surveying the lot in the amount of $275.00, Country Homes invoice in the amount of $472.00 and Nailbender Corp. in the amount of $80.00 for soil borings) provided an agreement releasing the City from further liability is signed. The Carlsons could also be allowed first option on the lot at the currently -agreed upon price plus any reimbursement the Council authorizes when and if the quiet title action succeeds. ALBERTVILLE CITY COUNCIL August 19, 1996 Page 2 of 4 Muyres made a motion to approve the attorney's recommendation and reimburse the Carlsons for expenses in the amount of $827.00, contingent upon an agreement releasing the City from further liability be signed by the Carlsons and the City. Anderson seconded the motion. All voted aye. City Administrator Hale reported that the Environmental Assessment Worksheet for JMJ Properties' Minneapolis Factory Shoppes proposal has been submitted. In a recent meeting with the developer, development costs for SAC, WAC, Joint Powers WAC, Storm Water Fees, Building Permit Fees, etc. of approximately $500,000 were discussed. The developer has asked the City to work with him to reduce these fees, but he has not been required to escrow funds for City expenses as is typical with other developments. The developer is also requesting that the planner and engineer review his most recent concept plan and the attorney begin to draft a Developer's Agreement from which the structure of the development fees can be negotiated. Muyres made a motion directing the administrator to prepare a breakdown on the anticipated costs for the Minneapolis Factory Shoppes development and provide a recommendation to the Council regarding development fees. Berning seconded the motion. Muyres, Berning, Anderson and Vetsch voted aye. Potter abstained. The motion carried. The Council received and reviewed the appraisal reports for the CSAH 19/37 project. Necessary temporary construction easements for the project were appraised at $17 , 240 and the permanent roadway easements were appraised at $74,975. Muyres made a motion to table the resolution approving the appraisals and payments to landowners until the attorney and the administrator are prepared to provide financing options and time lines for the project. Anderson seconded the motion. All voted aye. Muyres made a motion to order a Comp Plan Update covering the newly acquired territories at a cost of $2,000 and to refer the Planning & Zoning 1997 budget requests to the Finance Committee for consideration. Vetsch seconded the motion. All voted aye. The Council briefly reviewed the preliminary 1997 budget and referred the budget to the Finance Committee for further study. _ Muyres made a motion to approve RESOLUTION #1996-20 (ESTABLISHING A PROCESS FOR DISCIPLINARY PROCEDURES). Vetsch seconded the motion. All voted aye. ALBERTVILLE CITY COUNCIL August 19, 1996 Page 3 of 4 Muyres made a motion to approve RESOLUTION #1996-21 (ESTABLISHING A PROCESS FOR TERMINATION OF EMPLOYMENT). Vetsch seconded the motion. All voted aye. Muyres made amotion to approve RESOLUTION #1996-22 (ESTABLISHING A PROCESS FOR GRIEVANCE PROCEDURE). Vetsch seconded the motion. All voted aye. Anderson requested that the job description for Lead Maintenance Worker be removed from consideration at this time. Muyres made a motion to approve the job description for Maintenance Worker II dated 07/96. Vetsch seconded the motion. All voted aye. Berning made a motion to approve the second year Audit Engagement Letter for 1996 in accordance with their three year agreement with Kern, DeWenter, Viere, Ltd. of St. Cloud, MN, for performing the City's 1996 audit at a not to exceed cost of $6,300 and to authorize the mayor and clerk to sign the engagement letter. Anderson seconded the motion. All voted aye. Anderson made a motion to approve ORDINANCE #1996-18 titled AN ORDINANCE AMENDING ORDINANCE #1990-7 TITLED AN ORDINANCE ESTABLISHING SALARY FOR MAYOR AND COUNCIL MEMBERS. Muyres seconded the motion. All voted aye. The Council discussed the contracting snow plowing for the season. The Public Works Committee has determined that the City must either contract the snow plowing or purchase additional equipment and hire more personnel. Councilmember Muyres stated that the Council make a reasonable conclusion having a cost analysis done on contracted plowing vs, in-house plowing. Muyres made a motion to table discussion on contracted snow plowing and to direct the Public Works Committee to seek contract snow plow bids and make a cost analysis of the options available and present it to the Council in September or October. Berning seconded the motion. All voted aye. Anderson made a motion to confirming that the low bidder on the 60th Street Trunk Sewer Project is LaTour Construction at a bid price of $209,465.47. Muyres seconded the motion. All voted aye. Anderson made a motion to table the request from the Parkside 3rd developer to use the easements secured CSAH 19/37 Project for the construction of the 60th Street sewer line until September 3. Muyres seconded the motion. All voted aye. ALBERTVILLE CITY COUNCIL August 19, 1996 Page 4 of 4 The meeting was adjourned at 8:55 PM. r Michael Potter, Mayor L ✓l, 0 / Linda Houghton, Cit Clerk I'' UNDERWRITING MEMORANDUM April 16, 1992 PROGRAM: LMCIT REFERENCE: Skateboard Ramps Orgax&,ed skateboarding and skateboard ramps present a unique exposure to LMCM'. As of this underwriting memorandum, the commercial insurance marketplace for a skateboard ramp is very limited. Most of the surplus lines carriers will not even consider skateboard ramps. The key concern is the catastrophe exposure presented by a skateboard ramp and the uncontrolled nature of the activity. Any requests for a skateboard ramp must be referred to the underwriting manager. We wdl take a very cautious view towards this exposure and we wM not consider this exposure if it is not tightly controlled and the lose corttrol guidelines followed. As a general rula, the following should be present: I. The facility must be fenced. 2. The scenes to the facility must be controlled at all times. 3. There must be adult supervision at all tithes. 4. Registration cards and signed accident warners must be kept on all users of the facility. 5. Competitive activities are not allowed. 6. The ramp must meat all applicable codes. 7. The ramp must have structural integrity. 8. The ramp should be inspected before use by a loss control specialist. 9. All new ramps and their plans should be reviewed with our loss control department. Finally, it must be stressed to the city that we arc taking a very cautious view towards skateboard ramps and based on our loan experience, our commitment may be discontinued. The premium guidelines are a premiurn charge of $7,500 to $10,000 with a $5,000 per occurrence deductible. There also would be an annual aggregate placed on all claims of $600,000. MW:pb TOTAL P.03 czcooe MEMORANDUM TO: ALBERTVILLE CITY COUNCIL; GARY HALE, CITY ADMINISTRATOR FROM: MIKE COURI, CITY ATTORNEY SUBJECT: WATER TOWER LOT --PROPOSED REIMBURSEMENT DATE: AUGUST 14, 1996 Attached are the costs incurred by the Carlsons for site preparation and building design related to the water tower lot. Also enclosed are the Carlson's costs related to the repairs made to their present house. The Carlsons would like reimbursement of these amounts. I recommend that the Council reimburse the Carlsons for $827 in costs related to the lot (Meyer Rohlin's bill in the amount of $275.00, Country Homes invoice in the amount of $472.00 and Nailbender Corp. in the amount of $80), provided that the Carlsons and the City execute an agreement releasing the City from liability to the Carlsons from the lot sale. At this point it is not clear what the chances of successfully completing a quiet title action are, or whether it will be challenged. If a quiet title action appears unlikely to succeed, then reimbursement to the Carlsons of their out-of-pocket costs would be appropriate. If a quiet title action succeeds, then the Carlsons could choose to go forward with the purchase. Under this scenario, I would expect that the Carlsons would buy the lot at the currently -agreed upon price plus those costs listed above, assuming the City reimburses the Carlsons for these costs. I do not recommend that the City reimburse the Carlsons for improvements to their house, as these improvements likely added value to the Carlson's existing house which will be returned to the Carlsons when they sell their house. ON 8-12-1996 12:35Phl =ROfl BASS AND CARLSON. PA 612 34A 1315 w BASS & CA RLSON, P.A. ATTORNEY$ AT LAW SUITE 2525 431 SOUTH SEVENTH STREET" LOUIS a. S^55 Mi NN£APOLIS. MINNESOTA 53415 )OMN $. CAP-"QN FAX TRANSMISSION SHEET DATE: 1� -a PLEASE DELIVER THE FOLLOWING MATERIAL TO: NAME: %� 7i X- e (5et1n 1 e COMPANY: TEL£COPIER NUMBER: TELEPHONE (GI?) 31-1.1555 FACSIMILE 4612) 3.24-1315 FROM: N:r �Rf`l Ca n TOTAL NUMBER OF PAGES (INCLUDING TRANSMISSION SHiE8') MESSAG8/SPECIAL INSTRUCTIONS: Ale- 171r1tg� r s3 a r a q HARD COPY TO FOLLOW: YES NO IF YOU DO NOT RECEIVE ALL OF THE PAGES, OR IF THERE IS A PROBLEM, PLEASE CALL OUR OFFICE AT (612) 344-1555 OPERATOR: THIS FACSIMILE MESSAGE CONTAINS A PRCH A. ,LAW OFFICE, WRICH COPRILWICATION IS STRICTLY CONFIDENTIAL AND INTENDED SOLELY FOR THE USE OF THE ADDRESSEE. TRe. CO NUNICATION MAY BE PRIVILEGED UNDER THE ATTORNEY -CLIENT A=IQR T1-RE ATTORNEY WORK PRODUCT RUXVILEGES. ANY NON -ADDRESSEE IS PROHIBITED F.ROFX .1X.4DXNG, DISSEMINATING, DISTRIBUTING OR COPYING THE COMMUNICATION CONTAINED HEREIN_ IF YOU ARE IN PO$$Ts'SSION OF THIS COf2WNTCATION IN ERROR, PLEASE IMMEDIATELY NOTIFY THE SENDER BY ZZLEPHONE. THANK YOU. 8- 12-1996 12 3EPM FROM BASS AND CAR-SM. PA 6 12 344 131 S P. 2 _j a U-TIM W JOWT TO:*'.' m-, t 220 771h Aveduo NEF, lW01M DRTE.- $W"* GARAGE DOOR Mtnnea' iis, MIS 5542 po E Fll REPLACES MINNEAPOLIS ST FALL- - ASIPLEVALLEY fGlQlllllllLL[ n . 21)L -255 (612) 89i-3897 (113) W3703. METRO 3344M ct*-romlER?qa 2954113. w CARLM4 001D 2274 LOMW i 2274 Lama sy Klom MR mm ST *101AIEL 7 mmmav-: CELLO -A PRID Ul RU -'.(:HEX WCOUNT.; X-kkk..­AIwlDU?frV- 16A Imut Ft: 'jk" 41'X . n6z ...... V�l 7 8-1 2-1 996 1 2. 38PM FROM BASS AND CARLSON. PA 612 344 1 31 S P_ 3 - - � •S•� ter•. .w' ' STATEMENT -ROHLINIINC METER _ ENGINEERS -LAND SURVEYORS 1111 Hwy. 2SN., autialo, Minn. 55M3 David Carlson 2274 Lambert Avenue NE St_ Michael, MN 55376�:+ 4.r ?► '2 = = 'M �1 .'• Professional Services Rendered 96202 _ Stake house in t;le Southwest Quarter of Northeast Quarter, Section 1, Township 120, Range 24 August 6, 1996 AMOUNT DUE-._.$ 275.00 Date Payments Late charge Late charge of 1% per month shall be charged on all accounts over 30 days past 1aAt QnvouRt i n 'thi a column 8-12-1 S196 12:39M FROM BASS AND CARLSON. PA 612 344 131S P- 4 air& COUNTRY HOMES 1259 by Dennis L. Butler Custom Norm Design and U Service 809 Ash Avenue NE , St_ WjrhaBj, MN 55376 --�ft 6 IW21491-4m To: l IJ�Us"n�j� Thm"k VOW 8-12-1996 12:40PM FROM BASS AND CARLSON. PA 612 344 1315 P- 5 05/24/96 s1 GM HOME VALU -- FR I DLEY 5401 EAST RIVER ROAD FRIDLEY, MN 554ci.-109'7, G6i2) 571--t636 CONTRACT DIV. (612) 571-blOO RETAIL 4-*** INVOICE *44-* SOLD TO; CARLSON, I1AV i D 2274 LAMBERT AVE NE ST. MICHAEL, MN 55376 437-24350 CUSTOMER P.O.- Snip VIA PPOE: 1 TRANS. NUMBER: 1137695 TRANS. DATE: 05/c4/96 SALESPERSON: K415 DAN FELTY CUSTOMER NO: 11-497ZO50 SHIP TO: CRRLSON, DAVID 2274 LAMBERT AVE NE ST. MICHAEL MN 55Z276- COMMENT: --------------------------------------------------------------------------------- ITC-M NO. BPCK ORD SOLD PREit_ SOLID PRICE U/m & uS AMOUNT -------------------------------------------------------------------------------- 188-I� REVELRY -- ROLL :YD 26. 67 9.99 _ 00% 239. 76 COLOR: SEAL SKIN _ ST ZE t 1- X DOURE=E FACED]'1 fc'`X42' TA 'E tBOX)_'`r ,� •-'- _- -�. EACH . ' •; •. �r _ I - fir.•.. :_ _ ' ,i'i ' e . 4- LL'T_ 7•• t-•'e''.� . •�*"a ...+.. ...'ems. ' pf3YMENT: CHECKPERS13NAL ' CHECYC ....: CHECK#, NAME: 4530 bARLSON SIGNATURE: Special order items are not returnable. Product mast be accepted or rejected be - Fore use. R-eturnS must be within 30 days with receipt, and in saleable condition. NET iRaNS : LESS DISCOUNT: FRE I SHT : SALES TAX: TRANS. TOTAL; LESS DEPOSIT: TRANS. BALANCE: TENRERE-ii CHANGE DUE z ------------ 244. 74 . ee . z0 ------------ R60. 65 .00 -----` ------ C-160- 65 260.65 8-12-19% 12:41PM FROM BASS AND CARLSON. PA 612 344 131S P.6 FROM : HA I L339JD62 CORP. , I NC P1ONE NO. : 441 7799 P92 NA 1 LBENOCR CORP. , INC. I594S 2271'H AVE NW ELK RIVER, MFNNESOTA 55330 612-441 -7789 UR e-b3-3eel S7 ATE L I CE9V5E #2379 IMDCA I_ I CEN6E "95 DATE: .Iu 1 y 31b 19t}6 TD: Chri5t%4n Inc_. 21000 Rogers Drive Rogers, Minnesota 5`j�374 Attn: Jim Krysteuvk JOB NUMBER: 2ti5 INVOICE NUMBER! 2516 TERMS: NF,'i DUF 15 days f,-ao dat r of d0 1 i ng AFTER 3e DAYS FROM ABOVE DATE ADD 1_ 5% PER MONTH TO UNPAID BAL ANCE - pescript ior, of !.fork Pe,-for-med ar MZbtaria15 provided_ Provide twa bar-i(19 on 10t in Aldert""e, Mn- for a total cost of �. n �� Total agount dur' �� 8-12-1996 12:41PM FROM BASS AND CARLSON. PA 612 344 131S P. 7 k, Z Its 7,ce. f © 4.141 �o � / fi? c r• n qS �G�� a� _ _7z 7 �� 3sao MEXORANDUM TO: ALBERTVILLE CITY COUNCIL; GARY HALE, CITY ADMINISTRATOR FROM: MIKES COURT, CITY ATTORNEY SUBJECT: PRRKSIDE 3RD ADDITION REQUEST TO USE TEMPORARY EASEMENTS DATE: AUGUST 14, 1996 Kenco's engineer has requested that it be allowed to use the Highway 19/37itemporary and permanent easements the City will be acquiring as 'part of its 60th street trunk line construction project. Because the trunk line will be dedicated to the City, use of the easements to install the trunk line is permissible, provided the City Council authorizes such use. Should the City allow Kenco to use these ,easements, such approval should be conditioned upon the Developer. agreeing to restore all temporary and permanent easement areas to their prior condition, agreeing to indemnify and hold the City harmless from any damage that may result from the use of these easements, and upon 'proof of'adequate insurance to cower any such damages. 1 TOTAL P.02 08-13-199b 03:32PM FROM Padzwill & Couri Law Offs TO 49.32100 P. M$MORANDQM TO: ; ALBERTVILLE CITY COUNCIL; GARY HALE, CITY ADMINISTRATOR, FROM:1 MIRE COURT, CITY ATTORNEY SUBJECT: JMJ PROPOSED OUTLET MALL DATE: AUGUST 13, 1996 �Pn August 6, 1996, Gary Hale and I met with Jim Morse of JMJ properties to discuss the proposed outlet mall and the development costs associated with the project (Mike Potter also sat in on the meeting). Development fees (SAC, WAC, Joint Powers WAC, Storm Water Fees,: Building Permit Fees, etc.) are estimated to be approximately $500,�00!0 for this project. Typically, other cities have installed road,j sewer and other improvements for the Developer at no charge to the Developer as incentives to get the Developer to locate its Development iri the City. Jim is concerned about the size of the $500,000 estimate and has asked the City to work with him in reducing these fees. Gary and I explained that because Albertville' s�population is only 2,000 residents, we do not have the financial 'resources to waive large portions of the development fees. As an alternative, we did suggest that we may be able to recommend to the City Council that certain fees (such as SAC charges) be payable over a period of time (say 4 years) rather than all at once, and that other smaller fees (such as the City's portion of the building permit fee and the attorney/planner/ engineering costs be waived. These items will be subjects for future discussion. :Jim estimates that the outlet mall will be valued at approximately'$10,000,000, which would bring in between $100,000 and $1501000 in additional taxes to the City alone. To date we do not want to recommend that the City use any of the annual tax revenue from the building to assist the Developer with the costs of the project, as we believe that these tax revenues will be needed in the near future to upgrade Highway 19 north of the interstate and will be needed if and when a westbound interstate ramp is built at Highway 19. f 'At this time JMJ's time line is to proceed with wetland permits and the Environmental Assessment Worksheet (EAW) this fall, and flile a preliminary plat late this year or early next year, with construction beginning in the spring or summer of 1997. Both the wetland engineering and the EAW are currently in process. :Jim has requested that the planner and engineer review his I1 i 08-13-1996 03:33PM FROM Radzwill & Couri Law Offi TO 49732100 P.03 most! recent concept plan (given to the City at the August 6th meet1,ment ng) , and that our office put together a draft of a Developer's Agre from which we can begin to negotiate the structure of the development fees. To date the City has incurred attorney, planning and engineering expenses related to this project. JMJ has not put down A ideposit to cover these expenses, as is typical with other developments. �In light of our discussions to waive these fees, I would sugg6st that the City proceed with engineer/planner concept review, and � draft Developer's Agreement without requiring the Developer to piit down a deposit. While we cannot be certain that the proposed development will be built, the Developer has committed substantial resources to engineering/environmental work in order to proceed with the EAW, and all indications are that the Developer is very serious about this site. k rI believe it very important that the City provide as much cooperation as possible in order to facilitate the location of the proposed outlet mall in the City of Albertville. If the mall does not locate in Albertville, the City will be out its consultant's fees jincurred. If the mall does locate in Albertville, the City can expect an increase of better than $100,000 per year in tax revenues which. can be used to provide upgraded infrastructure, etc. cc: Me Carlson Stockman t i 1 i I K CITY OF ALBERTVILLE COUNTY OF WRIGHT STATE OF MINNESOTA RESOLUTION AUTHORIZING APPROVAL OF APPRAISALS AND PAYMENT TO LANDOWNERS FOR TEMPORARY CONSTRUCTION AND PERMANENT ROADWAY EASEMENTS FOR IMPROVEMENTS TO CSAH 19 AND CSAH 37 WHEREAS, the City of Albertville proposes to improve CSAH 19 and CSAH 37; and WHEREAS, the improvement consists of reconstructing and realigning CSAH 19 and CSAH 37; and WHEREAS, certain temporary construction and permanent roadway easements are required to reconstruct said roads as set forth in detail on Wright County Highway plat numbers 30 and 34 on file at the Wright County Courthouse, which describe the temporary construction and permanent roadway easements stating the location and the descriptions of the needed property, and the affected property owners; and WHEREAS, the City has authority to acquire said easements by eminent domain pursuant to Minn. Stat. 117.011 and 117.042; and WHEREAS, the properties over which said temporary construction and permanent roadway easements are required are owned by the persons listed on Exhibit A. WHEREAS, the City has retained William R. Waytas, a certified appraiser, to procure appraisals for the affected properties. The appraisals are on file with the City. The results of said appraisals are listed on Exhibit A; and NOW THEREFORE BE IT RESOLVED, that the Albertville city council hereby approves the appraisals and authorizes the payment of the appraisal amounts shown on Exhibit A to the court or MEMORANDUM TO: ALBERTVILLE CITY COUNCIL; GARY HALE, CITY ADMINISTRATOR, FROM: MIKE COURT, CITY ATTORNEY SUBJECT: HIGHWAY 19 & 37 APPRAISALS DATE: AUGUST 13, 1996 The appraiser for the City has finished the appraisals for all of the properties needed except Diane Vinge's property and Peterson's property (Vinge's and Peterson's property are not part of the condemnation action --we expect to negotiate with these property owners in the near future). As can be seen on Exhibit A of the proposed resolution, the permanent easement total is $74,975, and the temporary easement total is $17,240, for a grand total of $92,215. Copies of the appraisals are at City Hall. I have spoken with the appraiser regarding the appraisals. While the appraisals came in higher than I anticipated, the valuations track very closely with the recent Kenco/Center Oaks sales. Generally, the appraiser valued the commercial land higher than residential land, valued the Marx property on the east side of highway 19 higher than the Kenco land on the West side of 19 since the Marx property already has been assessed for trunk sewer access, and has valued Barthel's and Savitski's land as fully developed commercial lots. The appraiser has also completed a benefit/assessment appraisal for two of Savitski's vacant lots (on the south side of 61st Street) detailing benefit to Savitski's lots in the amount of $21,660. A second benefit/assessment appraisal on Savitski's remaining lots is expected soon, and benefit/assessment appraisals for Vinge's and Peterson's property will be completed later in the fall. The appraiser has determined that none of the properties along highway 19 (excluding the John George property) will realize any assessable benefit from this project. Gary Hale and I have met with Kenco/Center Oaks, Beatrice Roden, Clem Marx and the Barthels to discuss the appraisals. These residents seem satisfied and I expect that they will sign an easement in exchange for the damage amount identified by the appraiser. Once an easement is signed, they will be dropped from the condemnation action. I have forwarded a copy of the appraisals to the attorney for Andy Savitski and DJ. I expect that we will meeting with Andy, DJ and their attorney shortly to discuss the condemnation appraisals and the benefit/assessment appraisals. I would like to wrap up 1 both the taking and assessment of Savitski's property in one agreement, but do not know if that is possible at this time. At this point, I would like the City Council to pass the attached resolution approving the appraisals and authorizing the payment of the appraisal amounts shown on Exhibit A to the resolution. For those landowners who are willing to sign an easement agreement, we will pay the damages directly to them and dismiss them from the suit. If any landowners are not willing to sign an easement agreement, we will pay the damage amount to the Court and have the Court issue an order granting the easement to the City. The landowner is then free to contest the amount of the damages through the condemnation process. We will need to start considering financing options (i.e. when to bond, etc.) for this project as we begin to pay landowners for their property. At the time of this writing, we are not certain whether any portion of the highway 19 & 37 project will be done this fall. At this time, the County has about 75% of the design work done. However, the County's design engineer recently underwent heart bypass surgery, which will further slow the design process. The County would prefer to start this project in Spring, 1997. I have relayed this to John George and am waiting for their response. If John George wants to construct this project this fall, the County has indicated that it will construct that portion bordering the John George property this fall and complete the remainder of the project next spring. I expect to hear from John George today or tomorrow. 6 property owners as necessary for acquisition of said easements. Motion to adopt this Resolution made by Councilmember and seconded by Councilmember , this day of , 1996. IN FAVOR: OPPOSED: CITY OF ALBERTVILLE Michael Potter Mayor ATTEST Linda Houghton City Clerk PARCEL NAME TEMPORARY PERMANENT PARCEL 20 Center Oaks $600.00 $2,000.00 Partnership PARCEL 21 Kenco Construction, $3,800.00 $7,200.00 Inc. PARCEL 22 Beatrice I. Roden $600.00 $3,300.00 PARCEL 24 Clemens Marx $3,600.00 $11,750.00 PARCEL 25 Donald G. Barthel and $1,340.00 $12,110.00 Betty L. Barthel PARCEL 26 Donald G. Barthel and -0- $3,725.00 Betty L. Barthel PARCEL 34 Andrew H. Savitski $1,580.00 $8,890.00 and Pauline C. Savitski PARCEL 35 Pauline C. Savitski, as $4,330.00 $17,520.00 trustee of the Pauline C. Savitski Revocable Trust Agreement dated January 11, 1996 Andrew H. Savitski, as trustee of the Andrew H. Savitski Revocable Trust Agreement dated January 11, 1996 PARCEL 36 DJ's Heating and Air $1,390.00 $8,480.00 Conditioning, Inc. TOTAL: $17,240.00 $74,975.00 TEMPORARY EASEMENT TOTAL: $17,240.00 PERMANENT EASEMENT TOTAL: $74,975.00 GRAND TOTAL: $92,215.00 �J COST ESTIMATE Comprehensive Plan Update Item to be Updated Task THours Cost* TEXT WORK Comp. Plan Policy Section and Development 12 hours $540.00 Framework, affecting Planning Districts 1,457 and 8 MAP WORK Address Map Created per existing map, inclusive of 8-10 hours $450.00 changes Base Map Incorporate new half sections and 5 hours $225.00 wetland data (obtain National Wetland Inventory map) Land Use Plan Generate two preliminary land use 2-3 hours $135.00 concepts, finalize one Zoning Map Update based on land use map chosen 1-2 hours $90.00 District Maps Update Districts 1,4,5,7 and 8 6-8 $360.00 PRINTING COSTS Printed in color @ 2430 inches (each) $90.00 Duplicate copies (each) -printed in color (8'/ x11) $1.50 -printed in black/white (8'/ x11) .15 -printed in black/white (2430) $3.00 ESTIMATED TOTAL COST * $2,000.00 " All costs are estimates; you will be billed hourly. .3G. CITY OF AT ,BERTV I LLE TAX IMPACT STATEMENT Taxes Payable 1997 Prepared 7/30/96 Version #1 1996 Market Value for 1997 Taxes: $78,000,000 Wright County (as of 7/30/96) (INFO: $67,105,600 1995 Market Value for 1996 taxes) 1995 Total Tax Capacity: $1,188,191 Captured Tax Increment: 103,563 Net Tax Capacity: $1,084,628 NEW NET TAX -CAPACITY City Levy: General $ 352,400 Debt Svc $ 82,600 CITY SPREAD LEVY - NET Net Levy $ 435,000 Net Tax Capacity $1,084,628 Net City Tax Rate 40.108 Example: Property Tax Rate Residential Homestead: First $72,000 of value 1.0% amount over $72,000 2.0% CITY TAX RATE COMPARISON 1996 $1,331,000 103,563 $1,227,437 $ 352,400 $ 82,600 $ 435,000 $1,227,437 35.439 Actual: Example: Proposed: Payable in 1996 Increased Value Payable in 1997 Valuation $85,600 $91,000 $91,000 Property Tax % xl% & 2% x1% & 2% xl% & 2% Tax Capacity $ 992 $ 11100 $ 1,100 Tax Capacity Rate x 40.108 x 40.108 x 35.439 PROPERTY TAX PAYABLE $ 397.87 $ 441.19 $ 389.83 PROPERTY TAX CHANGE: Actual 1996 Property Tax Payable: $ 397.87 Proposed 1997 Property Tax Payable: $ 389.83 NET CHANGE $ (8.04) NOTE: Median sales price for residential single family homes is $91,000 (Basis 19 recorded sales in 1996 with low of $62,500 and high of $121,500) LMC 145 University Avenue West, St. Paul, MN 55103-2044 League ofMinne,ota Cities Phone: (612) 281-1200 • (800) 925-1122 Cities promoting excellence Fax: (612) 281-1299 • TDD (612) 281-1290 August 12, 1996 Garrison Hale City Administrator P.O. Box 9 Albertville, MN 55301 Dear Mr. Hale: Enclosed are th data on the Loc_ al Gov_ern,,,Pnr Aid f! hich you requested. I have attached the four sheets which show all the data that go into the formula for cities with populations between 1,832 and 2,352. I have highlighted some of the numbers for Albertville which may explain your allocation. Pay particular attention to columns 16 and 17 which show how much of your allocation is from the "grandfather" (the city aid base) and how much is distributed through the formula (city formula aid). It is clear that your city was behind others of similar size when the base was frozen in 1993. And if you compare the city revenue need column, which is the measure of most of the factors which go into the current formula, your city fares only slightly better. I am unsure if your aid will grow at a faster rate than that of other cities of similar size. As I told you over the hp one, different cities see themselves as "winners" or "losers" under the current formula. used on population, Albertville does not fare well ; Property tax reform is likely to be a hot topic in the legislature next session. Several property tax reform proposals change state aid distribution formulas. You may wish to advocate for changes in state aid allocations at the League's policy adoption conference in November, or you may wish to contact your legislators directly. Our property tax reform task force meets next on August 22 at 10 a.m. at the League building. The agenda hasn't been set, but we may be discussing the LGA formula and the "grandfather" clause. If you have any further questions, please contact me at 281-1263. Sincerely, Eric Willette Legislative Policy Analyst encl. 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O W W 100 W W co W CD 1 (n V 1 0 W A 1 O) A V CO W O 1 N Cn W 1 1 W CA o A CO V PO V-4 CI) (D CD V N W N W N N W N W O N O N V W C7) (1) W [O CT N W N A C, OD V CD W O 1 A tD W V CO PD Ut co co co Cl O O V W N V N —+ cn V O W CD Cn CO N CD IV Co N V N A N A ONi QOi v W v CCD O (O1) coV0 CD Cn 0)i W v 0 W A W A W W N A W Ln V W A W AN(TNOW 001N CnNV CC) CO0 W C11 1 A A 0 w O A W O V— M O O W 0000000000000000op N W N W N N W N W (T N Co N W-4 W V OOD SOD p CEn COO OOD CJ O Un 0- N A M W W -J O) A W W -' 1 OD W O CO 0 1 O A M A CD A l A V W CD Co CT CO CO 0 N V (O t W O 0 W M 0 0 Ut N D rn D�xty W W A W N W CT W W N W W N (T 1 A O N Al W 1 A W A U) A V W V O W O W 0 W N V co O W 0 V W A— 0 W W m 0 v C 6)Arna) W O— O O V Ln-Co O)la) IN) -COO V(n V W V V A AVNCo 0 _ Ln N OON0--AiAV DlO1ONNNOOOoo D tp l/ O A N N W (T N W N N W N A A O N A CW A 1 m 0 tD j O W Co W �W OCO0000�vGAowUOiOOOONiWONOV 00:0 ,G) N0)-I ul�_ 1yU)Oo V W 0O-�AC1)C1� W-+AOWmD �+ N W O A N -W+ 1 W A V AM W A MV O W W W V M cn 0 co 0 0 D 0 C N U)mm 4- O (n W W A V W A W W A W O O Cp W Cn W y CA 1 O O O) tD W V N WV-4 N W 0 V COT CD O CO O) O N O Z m m 0 C-iN O 000000000000000000000000 Z WO)ANNW WN W CD N N W NA AONA W A G) �Z _r_ A1NCD'CA 0C)(O VNCDtOOACDOQoNANOtoa)OD�D� O) (n W m O m o m o O o O V W m -Al V Un W CD O ) a) r V A COD W A O W W CD W N CO N COWA 0) 0) V O) co N CO A N A W (1i O W (D V CD i V CA CD O V V A N O CT CT MI.NNESOTA Department of Revenue Commissioner's Office St. Paul, Minnesota 55146-7100 August 9, 1996 Dear Mayor: As you begin to finalize your budget decisions for 1997, I am writing to encourage you once again to hold the line on spending and property tax increases. I also want to provide you with some additional information about the "price of government" resolution adopted in March of 1995. If you recall, the resolution established revenue "targets," expressed as a percentage of Minnesota personal income. The revenues incorporated in these targets include all state and local taxes, fees, charges, and other own -source revenues. The resolution that was adopted by the Governor and the Legislature calls for a reduction in the price of government from 18.2 percent for the fiscal year 1996/97 biennium to 17.8 percent in the fiscal year 1998/99 biennium. The adopted revenue targets also incorporate a declining ratio for cities, as a group, through the next biennium. Specifically, the statewide city "price of government" target ratio declines from 2.87 percent for the fiscal year 1996/97 biennium to 2.84 percent for the fiscal year 1998/99 biennium. The price of government law also requires me, as Commissioner of Revenue, to inform the Governor and the Legislature, as part of the February forecast, about the performance of local governments (i.e. cities as a group vs. counties as a group) with respect to their revenue targets. I want to be able to report that all groups of local governments are performing within their respective revenue targets. But, this will require continued vigilance wherever spending and taxing decisions are made. As you may recall, last year just prior to your truth -in -taxation hearings it was suggested that cities, as a group, should hold their levy increase to about 4 percent. This guideline was presented to you as a way to keep city levy increases consistent with the levy increase that was incorporated into the price of government resolution. Last year, cities initially proposed levy increases of 6.8 percent or $44 million. In the end, final 1996 levies, for all cities combined, showed an increase of 5.1 percent or $33 million. This increase was approximately $7 million over the suggested guideline. An equal opporti o tv employer TDD: (612) 297-2196 Mayor August 9, 1996 Page 2 Preliminary information on other city revenues and state personal income suggests that cities are currently performing within their overall price of government targets. However, the price of government ratio is quite sensitive to variations in personal income and, while recent forecasts indicate stronger income growth than originally anticipated, the slightest economic downturn combined with current rates of increase in city revenues could put the achievement of price of government goals in jeopardy. Minnesota's overall fiscal environment remains very uncertain. Although recent reports from the Department of Finance indicate that state tax revenues are currently performing above forecast, the long term structural imbalance between revenues and spending still looms. In addition, continued actions taken by the federal government to withdraw aid and entitlement support will increase fiscal pressures on both state and local government budgets. The November 1996 forecast will provide the first real opportunity to begin assessing how state and local governments are performingcastvillso i vide resplanning o the price of government resolution. The November for projected rice of government estimates of state and local revenues and the p ro J P through the fiscal year 2000/01 biennium. Tin recast will, in effect, esolutiowhich is required, y law, tto be stage for a new price of the government rislature . March of 1997. adopted by the Governor and the Leg lit constraints, it is important for all public Because of these economic and policy can s at both the state and local levels, to do all they r ante committed to on officials, rice of government spending. Both the Governor and Leg overall price of government in Minnesota as reflected in the p reducing the each of us malting tough decisions today, it governor ent resolution targets. o t to the tighter fiscal conditions that loom in wi11 wake it Easier for all of us to adapt the future. Sincerely, James L. Girard Commissioner