2009-09-08 CC PacketbertvillmE City of Albertville •
S-d1 T... UW Council Agenda
^g. e,A cry ua.
TUESDAY
SEPTEMBER 89 2009
7:00 PM
PUBLIC COMMENTS -The City of Albertville welcomes and encourages public in
on the agenda or of general community interest. Advertised public hearings are scheduled
the public is afforded an opportunity to speak. Citizens wishing to address the put on issues listed
regarding specific agenda items, other than public hearings should indicate so and willas such so that
Mayor and Council
Opportunity during the discussion of said item, Council willing and time be afforded an
speak on matters not listed on the agenda (or items on the agenda that did not include an opportunity
speak) are always afforded the opportunity to do so under the hea Permitting. Citizens wishing to
usually scheduled at the beginning and end of the agenda. Presentations are limited to 5) mis to
any case, citizens are asked to complete a 'Request to ding "Citizens Addressing the Council",
9 Speak Card'. free (5) minutes. In
1. PLEDGE OF ALLEGIANCE
2. CALL TO ORDER — ROLL CALL
3. RECOGNITIONS — PRESENTATIONS — INTRODUCTIONS
4. CITIZENS OPEN FORUM — (time reserved 5 minutes)
5. AMENDMENTS TO THE AGENDA
6. MINUTES
A. Approve August 17, 2009 regular City Council minutes (pgs. I-10)
�• CONSENT AGENDA
All items with an asterisk (0) are considered to be routine in nature by the City
staff ands
will be enacted by one motion. There will be no separate discussion of these item
Council member, staff, or citizen so requests. In such event, the item will be removeds less a
from the Consent Agenda; a separate discussion will take place during the General
Or
of Business and considered in its normal sequence on the agenda that will re ui ral Order
separate motion. q rre a
Items
10 8.C.1. Utilities Dept. — Utilities Dept. Report Update (pg. 11
W 8.D.1. Building Dept. — Building Dept. Report )
4* 8.E.1. Finance — Semi-monthly Payment of Claims bills)
At 8.E.2. Finance — Knights of Columbus donation ( (pgs 15-22)
8.E.3. Finance — Set Truth -in -Taxation date (pg.(pgs' 23-24)
Irk 8.E.4. Finance — STMA Ice Arena Promissory25)
28)
0 8.I.1. Engineering — Letter of Credit No. 805 Reductions(Pote (Pgs. s.
Irk 8•J•1• Legal — Electric Franchise Agreements g45-46)
(pgs. 47-67)
City of Albertville Council Agenda
Tuesday, September 8, 2009
8• DEPARTMENT BUSINESS
A. Fire Department
B. Public Works Department
C. Utilities Department (WWTp)
1)• 0 Accept the Utilities Department Superintendent's Report Update dated
Thursday, August 27, 2009 (pg. 11)
0
E.
Building Department
1)• ft Accept the Building Official's Report dated August 20, 2009 (pgs. 13-14)
2 of 4
Finance Department
1)• ft Authorize the Tuesday, September 8, 2009 Payment of Claims (bills) for
check numbers 027412 to 027458 (pgs. 15-22)
2)• 0 Approval Resolution No. 2009-029 entitled a Resolution Acknowledging a
Donation from the Knights of Columbus (KC) Organization in the amount of
$2,000 from the Knights of Columbus Organization to be applied towards the
Friendly City Days Committee 2009 expenses (pgs. 23-24)
3)• 0 Set Monday, December 7, 2009 for the 2009 Truth -in -Taxation Hearing
beginning at 6:15 p.m.; and Monday, December 21, 2009 beginning at 6:30 p.m.
to continue the Truth -in -Taxation Hearing if necessary (pg. 25)
4)• 0 Approve amending the STMA Arena Board Promissory Note payable for the
Locker Room addition to change and extend the final payment of $51,328.94 due
April 29, 2010 to $26,651.57 due April 29, 2010 and $25,664.47 due April 29
2011 (pgs. 27-28) p ,
5). Approve ONE of the three (3) Resolutions related to Adopting the 2010
Preliminary Property Tax Levy (pgs. 29-39)
a• Resolution No. 2009-030A entitled a Resolution Adopting the 2010
Preliminary Property Tax Levy in the amount of $2,939,767
b• Resolution No. 2009-030B entitled a Resolution Adopting the 2010
Preliminary Property Tax Levy in the amount of $2,954,017
C. Resolution No. 2009-030C entitled a Resolution Adopting the 2010
Preliminary Property Tax Levy in the amount of $2,954,153
6). Approve Resolution No. 2009-031 entitled a Resolution Adopting the 2010
Preliminary Budget (pg. 41)
7). Approve Resolution No. 2009-032 entitled a Resolution Adopting the 2010
Capital Improvement Plan (pg. 43, plus insert)
F. City Clerk
G- City Council
1)• Oral Update on the Joint Powers Water Board meeting (if applicable)
M:\Public Data\City Council\Council Packet information\2009\09-08-09 (Tue)\09 08 2009 1-A Agenda.doc
Meeting Date: September 8, 2009
City of Albertville Council Agenda
Tuesday, September 8, 2009
Yage 3 of 4
H. Planning and Zoning
1). Ordinance Review Regarding Billboards on top of Buildings (discussion)
I. Engineering
1)• W Authorize staff to reduce Letter of Credit No. 805 to no less than $40,870
upon satisfactory completion of the required street and county road
improvements and all outstanding balances owed to the City being paid in full
(pgs. 45-46)
2). Oral Update on Kalland Avenue NE Sidewalk (discussion)
J. Legal
1)• 0 Approve the Ordinance Amendments relating to the Electric Franchise
Agreements (pgs.47-67):
a. Approve Ordinance No. 2009-xxx entitled an Ordinance Granting to
WRIGHT HENNEPIN COOPERATIVE ELECTRIC ASSOCIATION, a
Minnesota Corporation, its Successors and Assigns, Permission to Construct,
Operate, Repair and Maintain in the City of Albertville, Minnesota, an
Electric Distribution System and Transmission Lines, Including Necessary
Poles, Lines, Fixtures and Appurtenances, for the Furnishing of Electric
Energy to the City, its Inhabitants, and Others, and to Use the Public Ways
and Public Grounds of the City for Such Purposes
b• Approve Ordinance No. 2009-xxx entitled an Ordinance Granting to
NORTHERN STATES POWER COMPANY, a Minnesota Corporation,
D/B/A XCEL ENERGY, a Minnesota Corporation, its Successors and
Assigns, Permission to Construct, Operate, Repair and Maintain in the City
of Albertville, Minnesota, an Electric Distribution System and Transmission
Lines, Including Necessary Poles, Lines, Fixtures and Appurtenances, for
the Furnishing of Electric Energy to the City, its Inhabitants, and Others, and
to Use the Public Ways and Public Grounds of the City for Such Purposes
2). Approve AMENDMENT TO PLANNED UNIT DEVELOPMENT
AGREEMENT TOWNE LAKES 6TH ADDITION; and approve AGREEMENT
RELATING TO COST OF UTILITY INSTALLATION (pgs. 68-85)
K. Administration
1). Update on the St. Michael -Hanover -Albertville Library Project (discussion)
9. CITIZENS OPEN FORUM - (continued if necessary)
10. ANNOUNCEMENTS and or UPCOMING MEETINGS
September 2009
9 7:00 p.m. Planning and Zoning Commission meeting
14 6:00 p.m. STMA Ice Arena Board meeting
21 7:00 p.m. City Council meeting
28 6:00 p.m. Joint Powers Water Board meeting
28 7:00 p.m. Committee of the Whole Workshop (tentative)
M:\Public Data\City Council\Council Packet informati0n\2009\09-08-09 (Tue)\09 08 2009 1-A Agenda.doc
Meeting Date: September 8, 2009
City of. Albertville Council Agenda
Tuesday, September 8, 2009 Page 4 of 4
September 2009 (continued)
30 6:00 p.m. Jt. Cities of Albertville & St. Michael and STMA School
Board meeting (new STMA High School)
October 2009
5
7:00 p.m.
City Council meeting
12
all day
Columbus Day observed — City Offices closed
12
6:00 p.m.
STMA Ice Arena Board meeting
12
7:00 p.m.
Family -Youth Community Cooperative (FYCC)
13
7:00 p.m.
Planning and Zoning Commission meeting
19
7:00 p.m.
City Council meeting
26
6:00 p.m.
Joint Powers Water Board meeting
26
7:00 p.m.
Committee of the Whole Workshop (tentative)
November 2009
1
2:00 a.m.
Daylight Savings Ends
2
7:00 p.m.
City Council meeting
9
6:00 p.m.
STMA Ice Arena Board meeting
10
7:00 p.m.
Planning and Zoning Commission meeting
11
all day
Veterans' Day observed — City offices closed
16
7:00 p.m.
City Council meeting
23
6:00 p.m.
Joint Powers Water Board meeting
26
all day
Thanksgiving Day observed — City offices closed
30
tentative
Jt. City of Albertville; City of St. Michael and
STMA School Board meeting (location to be determined)
11. ADJOURNMENT
M:\Public Data\City Council\Council Packet information\2009\09-08-09 (Tue)\09 08 2009 1-A Agenda.doc
Meeting Date: September 8, 2009
>A\1bcrtvljJ4E Mayor and Council Communication
5-97� Wkno. 902 0tv ur.
August 27, 2009
SUBJECT: CITY COUNCIL MINUTES
RECOMMENDATION: It is respectfully requested that the Mayor and Council consider the
following motions:
Motion to approve the Monday, August 17, 2009 regular City Council minutes as presented,
which a final copy will be printed; signed; then the signed copy will be scanned; the electronic
scanned version will be kept on file in the office of the City Clerk and serve as the official
record.
9
BACKGROUND: The City Council appoint or designate an individual that serves as a
Recording Secretary to document motions made on items, topics, or subjects on the agenda or
brought up in the meeting. Following the meeting, the Recording Secretary prepares a typed
form of the motions made during the meeting and presents them to the Council to review and
amend as necessary at the next scheduled meeting.
KEY ISSUES:
• Minutes are to reflect the motions made by the Council during a regular and or special
City Council meeting.
• Minutes may include a summary of the Council's and staff s discussion of agenda items
at a regular and or special City Council meeting.
• Amend the content of the minutes if necessary to reflect the true action taken or
statements made.
• Approve the minutes that have been prepared by the Recording Secretary as presented in
the Council packet.
POLICY/PRACTICES CONSIDERATIONS: It is at the discretion of the Mayor and Council
whether the City Council minutes that have been prepared and submitted should be amended.
FINANCIAL CONSIDERATIONS: There are no financial considerations as it relates to
approval of the City Council minutes.
LEGAL ISSUES: In accordance with Council practices, the Mayor, Council, and staff members
have the ability to amend minutes, which requires a consensus of the City Council.
Respectfully submitted,
eR. se
City Administrator
Department/Responsible Person: Administration/Bridget Miller, City Clerk
Attachments: August 17, 2009 regular Council minutes
M:\Public Data\Requests for Council Actions (RCA)\2009\09 08 2009 City Council minutes RCA.doc
Agenda Item No. 6.
Meeting Date September 8, 2009
A�Ibcrtvillc
SnKm Toum LW611ft my ur.,
ALBERTVILLE CITY COUNCIL
AUGUST 17, 2009
MINUTES
ALBERTVILLE CITY HALL
PLEDGE OF ALLEGIANCE — CALL TO ORDER
The Mayor called the August 17, 2009 regular City
Klecker invited the audience to stand for the Pled F
ROLL CALL
PRESENT: Mayor Ron Klecker,
Larry Sorensen
OTHERS PRESENT: City Administrator L,
Planner Alan Brixlus, AsSIstant City Attorney
Tim Guimont, and C�fy-clerk Brldgt Miller
ABSENT: City Attorney
asked Wri
County is
7:00 PM
Jbncil meeting to order a Q0 p.m.
.neer Adam Nafstad, City
Public Works Superintendent
IM1
Elmer Eichelberg to update the Council on
Mr. Eichelberg i by congratulating Albertville on their award of Federal Funding for the I-
94 Project. Eicherwaware of the hard work that went into the preparation of the
documents that were sltted and wanted to let the Council know that the County supported
Albertville.
Eichelberg updated the Council on the fact that it is budget time for municipalities, which
included the County. Wright County is talking about budget cuts and doing their best to balance
the budget.
Klecker, on behalf of the City and Council, wanted to "Thank" the County for their support and
cooperation helping staff prepare the documents for funding of the I-94 Project.
M:\Public Data\City Council\Council Minutes\2009 Minutes\Drafts\M 08-17-09 B-drafts.doe
Agenda Item No. 6.
Meeting Date September 8, 2009
2
City of Albertville
City Council Minutes
August 17, 2009
Page 2 of 9
CITIZEN FORUM
Klecker acknowledged that there were two (2) individuals that wanted to speak.
Kelly Myers of 408 Elder Court NE in St. Michael introduced herself to the Council as the
Albertville Royalty Committee Coordinator. Ms. Myers wanted to "Thank" the Council and the
City for their support in the Albertville Royalty program by providing some funding for the
Scholarships for the Queen, Princesses and US Savings Bonds for the or Royalty.
Myers gave the Council an idea of the various activities that the
,96
during their reign. The Royal Court attends approximately 25 parade
which Miss Albertville represents Albertville at the Winter Ca iivaI
Court participates in
_,qughout Minnesota,
Aquatenmal. Other Community Service projects include assisting the AT
Pancake Breakfast and at Meat Raffles; assisting the ,S I A Women of To
and or Fall Craft Fair; assist the Salvation Army by raging the]
bank during the "Breakfast with the Bunny" Easter eVti, the R
West Chamber of Commerce to participate in business o fining
the Senior Royal Court works during at least two (2) of the,`Fe
New this year, the Senior Court will be roiling to kids at "Espy
reading week. The Senior Court will be aend
Awareness (MEADA) Coalition Event that wil
which the gals will be hanging out with the mid
movie event. _
Myers expressed her concern in Npj ng that the
Royal Court in futur&NWby proArling the Sc
a Methamphe
:held at the S
Minneapolis
,ville Lions at a
at Coborn
Court is it
the Spring
�, a local
,v the I-94
or ribbon cuttmg'ceremomes;
l My Starving Children' events.
Tally for Children" during
Buie Education and Drug
School(s), in
g them during the
will continue supporting the Albertville
ships and US Savings Bonds.
City Adminlstrtor Kruse staid that��lurdet workshop the funding for the scholarships
was cut; c Iinance T?rctor met with the Friendly City Days Committee Coordinator
V
to discuss the scholarsh`` nding'r>cern To the best of the Administrator's knowledge of the
discus �i�r�� Friendly City � was phi ng on funding the scholarships in 2009-2010 for Royal
< ,
Court Bind 2010, it is uIpar as ti who will be assisting or funding the scholarship and
what amount,1 be budgete,or.
'� `�
Mayor Klecker leMs, My ow that the Council will be going into a continued Budget
Workshop following Ieeting. During the Budget meeting, the Council will discuss more on
how the City could co" ue supporting the Senior and Junior Royal Court.
Beau Bennell wanted to speak in regards to the Towne Lakes Trail issue that is already on the
agenda.
M:\Public Data\City Council\Council Minutes\2009 Minutes\Drafts\M 08-17-09 B-drafts.doc
Agenda Item No. 6.
Meeting Date September 8, 2009
City of Albertville
City Council Minutes
August 17, 2009
Page 3 of 9
AMENDMENTS TO THE AGENDA
The following amendments were made to the agenda:
8.14.2. City Planner's 750 foot Billboard Potential
MOTION BY Council member Wagner, seconded by Council member Sorensen to approve the
Monday, August 17, 2009 regular City Council agenda to include the following item: 8.H.2.
City Planner's 750 foot Billboard Potential. Motion carried unanimously
MINITTES
August 3, 2009 regular City Council minutes
MOTION BY Council member Wagner, seconded bkouncil znelnber Sorensen approve the
Monday, August 3, 2009 regular City Council minutes as presented, that will be printed and
signed; following signing the minutes will be scanned and fi- Iectronic scanned version will be
kept on file in the office of the City Cleri<that will serve as the official copy. Motion carried
unanimously.`
CONSENT AGENDA
CONSENT AGE*�-A
All items with an asterisk ) are J6 nsidered to b6*0ine in nature by the City staff and will be
enacted by one motion. Ther 4�wparate di§cussion of these items unless a Council
member, staM�tx�zn so reclts In such event, the item will be removed from the Consent
Agendas` eparate Zl�s�on w� �e place during the General Order of Business and
consic]±d in its norma `ence on te`�genda that will require a separate motion.
, U
There werQ (2) items lased on the Consent Agenda, in which the 8.B.1. Accepting the Public
Works Supec's Report dd August 11, 2009 was pulled and a separate discussion will take
place during the feral Ord; of Business. A separate motion accepting the report will not be
necessary; howe4 I.KCauncil may make a motion regarding the Kalland Avenue NE sidewalk
issues that is contamectthin the PW Report.
MOTION BY Council member Vetsch, seconded by Council member Fay to approve the
August 17, 2009 Consent Agenda that included the following item: 8.E.1. Authorize the
Monday, August 17, 2009 payment of the claims that includes check numbers 027349 to 027407
as presented except the bills specifically pulled, which are passed by separate motion, in which
the following item was pulled for further discussion and a separate motion. Motion carried
unanimously.
M:\Public Data\City Council\Council Minutes\2009 Minutes\Drafts\M 08-17-09 B-drafts.doc
Agenda Item No. 6.
Meeting Date September 8, 2009
rd
City of Albertville
City Council Minutes
August 17, 2009
Page 4 of 9
DEPARTMENT BUSINESS
FIRE DEPARTMENT — no comments
PUBLIC WORKS DEPARTMENT
Accept the Public Works Supervisor's Report dated August 11, 2
Mayor Klecker began the discussion by expressing his
(slope) for the recent installation of the sidewalk along
City Engineer Nafstad presented a aerial photo outlin
recently installed sidewalk on Kalland Avenue NE� %
concerns with the sidewalk when it would butt -up agri
at the amount of slope in the finished product. Slopes
of 2% was required in the contract.
klecker recalled in previous years that the' City L
sidewalks or trails. Council inquired as to vYhetr
something be done to correct it.
The City Engineer, legal counland administra
interest of the City to (Wrect the'stdewalk slope
being drafted to tha cohtactor stating that the sic
requires correction. The It 11, t�rk with the
motion that was;made:
MOTION BY Cound
to hgl t „y
a ment to He
�.
approxim� 800 feet of
th
Avenue NO 57
contractor to pt the si
sidewalk concern:lfltior
I_1
the
was
tthe
had con
idewalk
th the workmanship
percentage varied along the
- there may belies or
ways; however,as surprised
2% to 12% and a maximum
is with the construction of
uk, remain this way or will
gave Council the impression that in the best
es. Staff notified the Council that a letter is
ilk= does not meet ADA Compliance and
tractor to resolve the problem. Below is the
r V6rer, seconded by Council member Sorensen to direct staff
Lake CU.". Co. in the amount not to exceed $20,419 to install
°(5) foal wide sidewalk located on the west side of Kalland
NE and Kantar Court NE; and directed staff to work with the
ilk issues, and report back to the Council the outcome of the
Tied unanimously.
UTILITIES DEPARTMENT (WWTP) — no comments
BUILDING DEPARTMENT — no comments
M:\Public Data\City Council\Council Minutes\2009 Minutes\Drafts\M 08-17-09 B-drafts.doc
Agenda Item No. 6.
Meeting Date September 8, 2009
5
City of Albertville
City Council Minutes
August 17, 2009
Page 5 of 9
FINANCE DEPARTMENT
iV Authorize the Monday, August 17, 2009 payment of the claims that includes check numbers
027349 to 027407 as presented except the bills specifically pulled, which are passed by separate
motion
MOTION BY Council member Vetsch, seconded by Council member Fay to authorize the
Monday, August 17, 2009 payment of the claims that includes check numbers 027349 to 027407
x
as presented except the bills specifically pulled, which are passed by separate motion. Motion
carried unanimously.
CITY CLERK — no comments
CITY COUNCIL
Oral Update on the STMA Ice Arena Board meeting
Council member Wagner gave an overview of the August S
Arena Board basically adopted or approve&the I010 Budge
increased. The Board continues to discuss tl* expanston
the `pop-up/fabric' style structure. The STMA Ice Arena i
until there are sufficient ". 8 put aside to con stacuct a perm;
Oral Update on the Albert1W Plahning„and Zoning Comm
Council I??br4W;r, sl
0,. ..
Commis on meeting v
Topics for 11 ;. y, August
Board meeting R*Ote meets
School (March 30'wQ9
minutes)
VIAAUe.Arena Board meeting. The
in wNioh the Ice Arena fees were
to Ice %ena and is still considering
Msdering leasing the structure
ent facility.
meeting
ith the Couh6il that the August Planning and Zoning
due to no development applications.
�2009 Joint Cities of Albertville -St. Michael and STMA School
begins at 6: 00 p.m. and will be held at the new STMA High
Cities of Albertville -St. Michael and STMA School Board
City Administrator Kruse received an e-mail that he shared with the Council, in which the City
of St. Michael asked to have the meeting re -scheduled to Wednesday, September 30.
Council was in agreement to re -schedule the Joint Cities of Albertville -St. Michael and STMA
School Board meeting to Wednesday, September 30, 2009 with the assumption the meeting will
be held at the new STMA High School and will begin at 6:00 p.m.
M:\Public Data\City Council\Council Minutes\2009 Minutes\Drafts\M 08-17-09 B-drafts.doc
Agenda Item No. 6.
Meeting Date September 8, 2009
City of Albertville
City Council Minutes
August 17, 2009
Page 6 of 9
PLANNING AND ZONING
Comp Plan Review of Commercial Industrial Zoning (discussion)
City Planner Brixius reviewed an area in Albertville that was located below 70th Street NE and
east of Kadler Avenue NE. Staff would like to know if Council would consider re -zoning the
parcels.
Staff continued by stating the Land Use map was last updated in 20002t,m vZhich the Planning
and Zoning Commission along with the City Council were in ag.r t with the zoning of the
land. Brixius commented that some Council members may recall in 20It2, John Darkenwald
prepared and presented a Preliminary Plat for the land abuttinghe Allietalle Premium Outlets
and the Northwest Commercial Park additions that were ap arov d. DurirnH preparation for
the Preliminary Plat, Mr. Darkenwald had contracted ilh a firm to conduct WAUAR Study.
On the Plat it was noted how 67th Street NE wouldcntinue from Keystone Avenue NE to
Kadler Avenue NE.
Staff is looking for Council direction as to whether to revlec'"
and, discuss as to whether the land should:be re -zoned. Staff
fo,prepare and present an amendment to the 2092,Comp Plan,
and presenting the Comp Plan to the Planning anc Zoning Co
following the Planning Commission approvatthe Coria'
the Council for review and approval. Brixius
range.
MOTION BY Councit;mber c
an amendment to the 200bmp
*V
Commission approval to corid
Planning atad Z i lmissi
reviewed,I d approv�e C
co
current Comprehensive Plan;
�d for a motion directing them
Gr'h would consist of preparing
iss,1orl for review and approval;
eridment would be presented to
d be nominal in the $2,000
Jul by Mayor Klecker directing staff to prepare
tat, bn, review, and Planning and Zoning
brthwest section of Albertville; following
002 Comp Plan Amendment will be presented,
Motion carried unanimously.
Billboard Sp"041tng Along theV-4 Corridor to 750 feet Consideration
City Planner se*. d a layout that demonstrated how many additional billboards could
be constructed alonsI 4 corridor per Council's request. Brixius noted that if the Council
decided to amend the y Code reducing the billboard spacing to 750 feet that about three (3)
additional billboards could be located along the I-94 corridor
The Council and staff discussed the pros and cons of allowing additional billboards. The
following motion was made:
MOTION BY Council member Vetsch, seconded by Council member Wagner to relax the I-94
Billboard Spacing to 750 feet, presenting the consideration to the Planning and Zoning
M:\Public Data\City Council\Council Minutes\2009 Minutes\Drafts\M 08-17-09 B-drafts.doc
Agenda Item No. 6.
Meeting Date September 8, 2009
City of Albertville
City Council Minutes
August 17, 2009
Page 7 of 9
Commission for review and approval; following Planning Commission approval present to the
City Council for approval. Council member Vetsch and Wagner voted aye. Mayor Klecker,
Council members Fay, and Sorensen voted nay. Motion denied.
ENGINEERING
Accept the quote from Oman Brothers, Inc., in the amount of $3, 200,
trail segment located on Outlot B of the Towne Lakes 6rh Addition co
the improvement be reimbursement to the City of Albertville from A
OR
Accept the quote from Oman Brothers, Inc., in the amount
trail segment located on Outlot B of the Towne Lakes 61h
Mayor Klecker re -opened the discussion re
segment located on Outlot B of the Towne
August 3, 2009 regular Council meeting.
City Engineer Nafstad began the discussing
the trail on Outlot B in the Towne Lakes 6"
staff was directed to discuss the funding of d
Developer. At this time, the developer does
construction of the trail. Wltkx the change of
fairly substantial out;
out with the finances
Bean Bennell of 11656
appreciative o f §Ws <
being discu§§6d`.,-
sectionSiff,the trail. Tait+
benef%l the trail syste
residents�.utilize the
the
stating it is the
dtion. At the A
tf4 project with
t see why fey sl
inerhip the'
IzC owner; theref
Mete the bituminous
d upon the cost of
Lakes Association
200, to emplet
n with park trai
[on of a bitumii
't,;was tabled at
the bituminous
funds
N!
's intention to complete
32,2009 Council meeting,
6Wne Lakes Addition
f be binding to pay for the
Lakes Association inherited a
unable at this time to help
ketti e Drive NE )Anted to let the Council know that he was
>ri keen him and the Association in the loop as to what was
it,realize it Would be such a big ordeal to complete the small
t Bi il's presentation to the Council, Bennell reiterated how
the T6WI akes neighborhood. Bennell said there are a lot of
The Council & 1, .pd back an,, rth as to how to proceed, in which the following motion was
made: 'w vL .:
MOTION BY Counc hember Sorensen, seconded by Council member Wagner to accept the
quote from Oman Brothers, Inc., in the amount of $3,200, to complete the bituminous trail
segment located on Outlot B of the Towne Lakes 6th Addition using City Park Trail Funds and
directing staff to send a letter to the Towne Lakes Association asking either the Association or
individual Towne Lakes residents to make a donation to the Parks and Trail fund in an effort to
make up for some of the unbudgeted costs. Donations are not required but appreciated as the
project was planned to be installed and paid for at the developer's expense when they did the
next phase of development. Motion carried unanimously.
M:\Public Data\City Council\Council Minutes\2009 Minutes\Drafts\M 08-17-09 B-drafts.doc
Agenda Item No. 6.
Meeting Date September 8, 2009
City of Albertville
City Council Minutes
August 17, 2009
Page 8 of 9
CSAH 37 Turn -lane /Potter request
City Engineer Nafstad stated that per Council direction at the July 6, 2009 Council meeting, staff
met and reviewed Mr. Potter's request for a right -turn lane off of CSAH 37 at MacKenzie
Avenue NE.
Nafstad stated that in general, studies have shown that turn lanes reduce the potential for
accidents and have both operational and safety benefits. Turn lanes pro`��de an area for
deceleration and storage, which reduces potential conflict between tt5ugh` and turning traffic.
Turn lanes also increase capacity and improve the level of servicen intersection.
Staff stated that a detailed cost estimate has not been f
excluding potential costs associated with right-of-way
reasonable to presume that the cost for such a prof ect A
$55,000. Staff continued by explaining that through
County supports the turn lane and recommends the i
process, that funding assistance is not typically granter
roads.
e& r a right rn lane; however,
*idn and uti71 `relocation, it is
amount to or pot 'f'il y exceed
;ions with Wright Cb�t�, the
meet otaff learned, duri the
anty for turn lanes onto local
Staff concluded by stating these roadwayatprs are implemented: or required at the time of
development. If the City desires to pursue a right tum lane improvement in advance of
additional MacKenzie Avenue NE development, a report should be prepared to better
identify costs and project funding sources.
It is the consensus of t Council that due to costs the CSAH 37 does not merit a right -in turn
lane onto MacKenzl Avue NE atahis time; howverj in the future when the land is developed
there will be a need to irist I::a riaii=turn lane_
LEGAL
ADMINIS
OUNCEMVN an&* UPCOMIN
Mayor Klecker acknovedged the upcoming meetings and calendar of events. The Monday,
August 31, 2009 joinfineeting has been cancelled and re -scheduled for Wednesday, September
30, 2009 at 6:00 p.m. and will be held at the new STMA High School.
August 2009
24 6:00 p.m. Joint Powers Water Board meeting
31 6:00 p.m. Jt. City of Albertville; City of St. Michael and
STMA School Board meeting (new STMA High School)
M:\Public Data\City Council\Council Minutes\2009 Minutes\Drafts\M 08-17-09 B-drafts.doc
Agenda Item No. 6.
Meeting Date September 8, 2009
9
City of Albertville
City Council Minutes
August 17, 2009
Page 9 of 9
September 2009
7
all day
Independence Day observed — City Offices closed
8
1-4 p.m.
Local Board of Appeal & E I- ti
ion
8
7:00 p.m.
City Council meeting h4Ww
9
7:00 p.m.
Planning and Zoning Commission meeting
14
6:00 p.m.
STMA lee Arena Board meeting
21
7:00 p.m.
City Council meeting
28
6:00 p.m.
Joint Powers Water Board meeting
28
7:00 p.m.
Committee of the Whole Works ,(tentative)
October 2009
5
7:00 p.m.
City Council meeting
12
all day
Columbus Day obscol.,', d — fices _�kl ffices
.1B 0 cla
1.2
6:00 p.m.
STMA Ice Arena,Wiard meeting
12
7:00 p.m.
Family -Youth Cbmifit" jty C 'grative (FY
13
7:00 p.m.
Planning and Zoning Comip'"sion meeting
19
7:00 p.m.
City Council meeting
26
6:00 p.m.
Joint P6wprs Water Board meting
26
7:00 p.m.
Committee the, Whole 'W ork§ft,,(tentative)
November 2009
2 7:00 p.m. City Council meeting
9 6:00 MA Ice A "A reA#Board meting
10 7:0 4,p.m. Pla
ning wing and Zoning Commission meeting
41
V e*rans Day obs ed —City Offices closed
16 7:00 v-&&I, Cites oCouncil meetit.10
V,
Atbr Board meeting
,00 p.m. �;114,Jqmun
-M,
nksgiv in 'bay observed — City Offices closed
ntali 1110
9
b* it of Albertville; City of St. Michael and
STAU.School Board meeting (location to be determined)
MOTION BY Count giber Sorensen, seconded by Council member Fay to adjourn the
Monday, August 17, 209 regular City Council meeting at 8:3 5 p.m. Motion carried
unanimously.
Bridget Miller, City Clerk (recording secretary)
M:\Public Data\City Council\Council Minutes\2009 Minutes\Drafts\M 08-17-09 13-drafts.doc
Agenda Item No.6.
Meeting Date September 8, 2009
10
.A\1bcrtvi11c
Sfnog Toum Uvkbia. 90a Ohs U(4B
TO: Mayor and City Council
FROM: John Middendorf
DATE: August 27, 2009
RE: Wastewater Treatment Plant and Water Department Update
WASTEWATER
• The new pump in the main lift station has been in service for several months with out any
problems.
• Albert Villas lift station has now become our troubled station. It has been burning out start
capacitors and starter contactors regularly. We will contact the supplier for possible
solutions to limit down time.
• We cleaned out one of the old aluminum sulfate tanks, and are now using it for ferric
chloride. This allows us to purchase a larger volume getting a better price.
REED BED UPDATE
• The reeds look very good this summer, the best growth we have seen yet in all beds.
However, we are continuing to work with S.E.H. on the issue of too much volume and the
quality of the sludge being applied.
• Our first effort to correct sludge handling is to cycle the blower run times. There are now
running for one hour on and off for three hours. We installed some timers to maintain this
schedule the same every day including weekends. This should save on electricity even if it
does not help with the sludge issues.
FIRE HYDRANT ROD REPLACEMENT PROGRAM
• The hydrant rod replacement project is completed. We did not hire a part time person. We
benefitted from the use of a young man in the Central Minnesota Jobs and Training Services
Program. There were 256 hydrants cleaned and repaired. If the hydrant was in good
condition with no rust, we could complete the work in 20 minutes.
M:\Public Data\City Council\Council Packet information\2009\09-08-09 (Tue)\09 08 2009 Utilities Dept Report.doc
Agenda Item No. 8. C. I .
Meeting Date September 8, 2009
11
Albertville Mayor and Council Communication
August 20, 2009
Brief Description Building/Zoning Dept. July 09 Monthly Report
Recommended Action None
Background Activity report for Council review
• Construction Activity: We had 47 permits processed in July for a total value of $414,503.
The permit activity consisted mainly of storm related reroof, reside, finish basements, additions,
decks, and fence permits. We also had 3 commercial permits at the Outlet Mall including a
tenant finish for Charlotte Russe along with several other commercial plumbing and mechanical
permits. We are having continued conversations with the Architect and expecting a permit
application soon for a Convenience Store/Gas Station/Restaurant on the Phil Morris property.
• Storm Damage: Storm damage repair, permit activity, and inspections continue albeit at a
slower pace.
• Planning and Zoning: We have been working on a few zoning enforcement issues in the city
related to; The Use of Property without requesting or receiving the required City Council
Conditional Use Permit Approvals, Grading and Filling without Permits, Exterior Storage,
Construction without Permits, Expansion of a deck area without authorization by the Council,
Conditional Use Permit follow up. We continue discussions with the residents of Green Haven
Estates when the opportunity arises regarding the needed street/sewer and water upgrades to that
neighborhood.
• Rental Housing, Miscellaneous Enforcement, Foreclosures: Various enforcement activities
for the month include, but are not limited to, monitoring, inspecting, and follow up with vacant
and or foreclosed properties. Assisting Public Works with high grass and weed enforcement
with inspections, notices and letters to owners to mow property. Review on the draft Ordinance
regarding Vacant Dwellings that has been prepared by the City Attorney continues and should
be ready for the Council review at the next meeting.
• Various: We have worked on answering numerous and various zoning enforcement activities,
sign violations, exterior storage, fences, work without permits, rental licensing, and inspections.
Foreclosed properties that have sold continue to generate work with various repairs and
improvements being made. Tori continues to assist the Finance, Water, and Public Works
Departments.
• Fire Code Inspections with the Fire Department: We are nearing completion with working
with the 152 club bringing into compliance with the Fire Chief s inspection notices.
Recommendation None
Submitted through: Larry Kruse, City Administrator
Originated by: Jon Sutherland, Building Official/Zoning Administrator
Tori Leonhardt, Building Permit Tech
M:\Public Data\City Council\Council Packet information\2009\09-08-09 (Tue)\09 08 2009 BO Report for July 2009.doc
Agenda Item No. 8.D. I .
Meeting Date September 8, 2009
July 2009 Building Department Revenue Report
Valuation Permit Fees
Sub Total 2009 $ 414,503.00 $ 8,740.73
Less SAC, WAC Storm Water, S & W & Meter $ -
Less Signs $ 271.09
JULY 2009 TOTAL BUILDING DEPT REVENUE 1 $ 8,469.64
2008 Valuation Permit Fees
Sub Totals $ 2,467,760.00 $ 92,725.87
Less SAC, WAC Storm Water, S & W & Meter $ 48,062.00
Less Signs $ -
JULY 2008 TOTAL BUILDING DEPT REVENUE 1 $ 44,663.87
INSPECTIONS
July 126
Daily Average 8
Year To Date 1357
14
>�1bertvilie Mayor and Council Communication
September 1, 2009
SUBJECT: 0 FINANCE DEPARTMENT - PAYMENT OF BILLS
RECOMMENDATION: It is respectfully requested that the Mayor and Council consider the
following motion:
Motion authorize the Monday, August 17, 2009 payment of the claims that includes check
numbers 027412 to 027458as presented except the bills specifically pulled, which are passed by
separate motion.
BACKGROUND: The City process's claims on a semi-monthly basis. The bills are approved
through their respective departments and administration and passed onto the City Council for final
approval.
KEY ISSUES:
Check No. 027416 Carol Barthel — Refund damage deposit for park shelter rental
Check No. 027420 Dan Hallen — Refund landscape escrow
Check No. 027421 Document Destruction — destroy documents. With the student help we had
at City Hall we purged documents and needed a second pick up
Check No. 027433 Kjolhaug Environmental — Monitoring wet lands Hunters Pass, paid with
escrow
Check No. 027443 Prairie Restorations — Wetland Hunters pass, paid with escrow
Check No. 027444 Railroad Management — annual permit fee for water pipelines crossing
railroad property (rent)
PRACTICES/POLICY CONSIDERATIONS: It is the City's policy to review and approve
payables on a semi-monthly basis.
FINANCIAL CONSIDERATIONS: City staff has reviewed and verified the invoices and
recommends approval of payments presented.
LEGAL CONSIDERATIONS: The Mayor and Council have the authority to approve all bills
pursuant to Minnesota State Law, which requires all bills to be paid in a timely manner, generally
within 30 days unless one party determines disputes the billing.
Respectfully submitted,
ogj��V40A_e__i_.
Larry Fj Kruse
City Administrator
Department/Responsible Person: Finance/Tina Lannes, Finance Director
Attachments: Check Register Detail
M:\Public Data\Requests for Council Actions (RCA)\2009\09 08 2009 Finance Bills Report (RCA).doc
Agenda Item No. 8. E. I .
Meeting Date September 8, 2009
A\1bertville
Small Town living. Big City We.
Check Detail Register
September 8, 2009
Check Amt Invoice
Comment
10100 Premier Bank
Paid Chk# 027412
9/8/2009 AFLAC
G 101-21710 Other Deducations
$16.16 473057
AFLAC Insurance Prem
Total AFLAC
$16.16
Paid Chk# 027413
9/8/2009 ALLEY COMPANIES INC
E 101-42000-200
Office Supplies (GENERAL)
$34.92 7085
tp, towels, ppr products
E 601-49450-210
Operating Supplies (GENERAL)
$34.92 7085
tp, towels, ppr products
E 101-41940-210
Operating Supplies (GENERAL)
$34.94 7085
tp, towels, ppr products
E 101-43100-215
Shop Supplies
$34.92 7085
tp, towels, ppr products
E 602-49400-210
Operating Supplies (GENERAL)
$34.92 7085
tp, towels, ppr products
Total ALLEY COMPANIES INC
$174.62
Paid Chk# 027414
9/8/2009 ARAMARK UNIFORM SERVICES
E 101-43100-417
Uniform Rentals
$13.08 6296797523
uniforms PW
E 601-49450-417
Uniform Rentals
$13.08 6296797523
uniforms Swr
E 101-45100-417
Uniform Rentals
$13.08 6296797523
uniforms PKS
E 602-49400-417
Uniform Rentals
$13.08 6296797523
uniforms Wtr
E 101-41940-405
Repair/Maint - Buildings
$85.01 6296797524
mats,rugs,mops
E 601-49450-417
Uniform Rentals
$13.08 6296802272
Uniforms Wtr
E 101-45100-417
Uniform Rentals
$13.08 6296802272
Uniforms PKS
E 101-43100-417
Uniform Rentals
$13.08 6296802272
Uniforms PW
E 602-49400-417
Uniform Rentals
$13.08 6296802272
Uniforms Swr
Total
ARAMARK UNIFORM SERVICES
$189.65
Paid Chk# 027415
9/8/2009 BERRY COFFEE COMPANY
E 101-41100-200
Office Supplies (GENERAL)
$30.95 812554
Coffee
Total BERRY COFFEE COMPANY
$30.95
Paid Chk# 027416
9/8/2009 CAROL BARTHEL
G 101-22900 Rental Deposit Escrow
$100.00
Park shelter damage deposit
Total CAROL BARTHEL
$100.00
Paid Chk# 027417
9/8/2009 CITY OF MONTICELLO
E 101-42700-309
Animal Control Contract
$288.56 4989
Animal Control Service
Total CITY OF MONTICELLO
$288.56
Paid Chk# 027418
9/8/2009 CITY OF ST. MICHAEL
E 101-45000-598
Pledges & Contributions
$4,487.50
Pmt 3 Senior Center (July -Sept 2009)
E 101-45000-598
Pledges & Contributions
$3,275.00
Pmt 3 Library (July -Sept 2009)
Total CITY OF ST. MICHAEL
$7,762.50
Paid Chk# 027419
9/8/2009 CUSHMAN MOTOR CO., INC.
E 101-45100-210
Operating Supplies (GENERAL)
$213.75 147505
Fastline white - PW
Total CUSHMAN MOTOR CO., INC.
$213.75
Paid Chk# 027420
9/8/2009 DAN HALLEN
G 101-22800 Landscaping Escrow
$3,000.00
Escrow - Sod and 2 Trees
Total DAN HALLEN
$3,000.00
Paid Chk# 027421
9/8/2009 DOCUMENT DESTRUCTION SERVICE
E 101-41100-300
Professional Srvs (GENERAL)
$30.00 140846
Destroy documents
E 101-41000-300
Professional Srvs (GENERAL)
$54.00 141546
extra service call - destroy documents
Total DOCUMENT DESTRUCTION SERVICE
$84.00
M:\Public Data\City Council\Council Packet information\2009\09-08-09 (Tue)\09 08 2009 Finance Bills Posted Batch.doc
Agenda Item No. B.E. I. .
Meeting Date September 8, 2009
17
Mayor and Council Communication -September 1, 2009
Finance - Payment of Claims
Page 2 of 6
Check Amt Invoice
Comment
10100 Premier Bank
Paid Chk# 027422
9/8/2009 EMBARQ - TX
E 101-42000-321
Telephone
$31.19
497-7474
E 101-41940-321
Telephone
$31.19
497-3695
E 101-42000-321
Telephone
$31.19
497-1340
E 101-41940-321
Telephone
$31.19
497-3486
E 101-43100-321
Telephone
$31.19
497-0774
E 101-41940-321
Telephone
$7.30
Idst
E 101-41940-321
Telephone
$31.19
497-0452
E 101-42000-321
Telephone
$33.49
497-0261
E 101-41940-321
Telephone
$165.96
taxes and surcharge
E 101-45100-321
Telephone
$16.11
497-2215
E 601-49450-321
Telephone
$31.19
497-0269
E 101-41940-321
Telephone
$31.19
497-3704
E 601-49450-321
Telephone
$16.11
497-1888
Total EMBARQ - TX
$488A9
Paid Chk# 027423
9/8/2009 EMBARQ-MO
E 101-41940-321
Telephone
$15.54
Idst
Total EMBARQ- MO
$15.54
Paid Chk# 027424
9/8/2009 FEDERATED CO-OPS,
INC.
E 101-45100-210
Operating Supplies (GENERAL)
$75.40 F32252
Trimec 992
Total FEDERATED CO-OPS, INC.
$75.40
Paid Chk# 027425
9/8/2009 FRIENDLY CITY DAYS
COMMITTEE
R 101-00000-36200 Donations
$2,000.00
KC donation
Total FRIENDLY CITY DAYS COMMITTEE
$2,000.00
Paid Chk# 027426
9/8/2009 GOPHER STATE ONE -CALL
E 602-49400-209
Locates
$76.20 9070282
locates
E 601-49450-209
Locates
$76.20 9070282
Locates
Total GOPHER STATE ONE -CALL
$152.40
Paid Chk# 027427
9/8/2009 GRAINGER
E 601-49450-404
Repair/Maint - Machinery/Equip
$101.30 9053350329
Module, timer, pole
E 601-49450-404
Repair/Maint - Machinery/Equip
$42.15 9058284507
Contractor
Total GRAINGER
$143.45
Paid Chk# 027428
9/8/2009 HEALTH PARTNERS
E 101-41300-131
Employer Paid Health
$513.15
Emp Health
E 101-41400-131
Employer Paid Health
$834.82
Emp Health
E 101-41500-131
Employer Paid Health
$921.56
Emp Health
E 101-45100-130
Employer Paid Ins (GENERAL)
$927.86
Emp Health
E 101-43100-130
Employer Paid Ins (GENERAL)
$1,982.12
Emp Health
E 101-42400-130
Employer Paid Ins (GENERAL)
$2,590.96
Emp Health
E 602-49400-130
Employer Paid Ins (GENERAL)
$1,236.28
Emp Health
E 601-49450-130
Employer Paid Ins (GENERAL)
$1,236.29
Emp Health
G 101-21706 Group Insurance Payable
$2,625.16
Emp Health
Total HEALTH PARTNERS
$12,868.20
Paid Chk# 027429
9/8/2009 HEIDIS MARKET
E 101-43100-212
Motor Fuels
$504.65
fuel
E 101-42400-212
Motor Fuels
$151.22
fuel
E 101-45100-212
Motor Fuels
$533.60
fuel
E 602-49400-212
Motor Fuels
$357.09
fuel
E 601-49450-212
Motor Fuels
$394,78
fuel
Total HEIDIS MARKET
$1,941.34
M:\Public Data\City Council\Council Packet information\2009\09-08-09 (Tue)\09 08 2009 Finance Bills Posted Batch.doc
Agenda Item No. 8.E.I .
Meeting Date September 8, 2009
Um
Mayor and Council Communication —September 1, 2009
Finance — Payment of Claims
Page 3 of 6
Check Amt Invoice Comment
10100 Premier Bank
Paid Chk# 027430 9/8/2009 HENRYS WATERWORKS, INC
E 602-49400-407 R/M - Water Mains $513.78 13605
E 602-49400-407 R/M - Water Mains $120.06 13661
Total HENRYS WATERWORKS, INC $633.84
Paid Chk# 027431 9/8/2009 JEFF DAVIS
E 101-42000-580 Other Equipment $267.35
Total JEFF DAVIS $267.35
Paid Chk# 027432 9/8/2009 JOHN DEERE COMPANY
E 101-45100-210 Operating Supplies (GENERAL) $50.79 52205773
Total JOHN DEERE COMPANY $50.79
Paid Chk# 027433 9/8/2009 KJOLHAUG ENVIRONMENTAL SERVICE
G 101-22825 Hunters Pass Escrow $166.50
Total KJOLHAUG ENVIRONMENTAL SERVICE $166.50
Paid Chk# 027434 9/8/2009 METRO FIRE
E 101-42000-404 Repair/Maint - Machinery/Equip $40.82 34766
E 101-41000-300 Professional Srvs (GENERAL) $3,402.38 35512
Total METRO FIRE $3,443.20
Paid Chk# 027435 9/8/2009 MILLS, TATE
E 101-42000-580 Other Equipment $69.64
E 101-42000-331 Travel Expenses $34.80
Total MILLS, TATE $104.44
Paid Chk# 027436 9/8/2009 MINNESOTA COPY SYSTEMS
E 101-41400-413 Office Equipment Rental $131.82 34629
E 101-42000-310 Other Professional Services $88.44 34630
Total MINNESOTA COPY SYSTEMS $220.26
Paid Chk# 027437 9/8/2009 MN DEPT. OF TRADE/ECON. DEV.
E 203-00000-310 Other Professional Services $594.04
Total MN DEPT. OF TRADE/ECON. DEV. $594.04
Paid Chk# 027438 9/8/2009 MONTICELLO ANIMAL CONTROL
E 101-42700-309 Animal Control Contract $75.00 116
Total MONTICELLO ANIMAL CONTROL $75.00
Paid Chk# 027439 9/8/2009 NAPA AUTO PARTS
E 101-43100-404 Repair/Maint - Machinery/Equip $73.42 521315
Total NAPA AUTO PARTS $73.42
Paid Chk# 027440 9/8/2009 NAPA AUTO PARTS
E 101-43100-404
Repair/Maint - Machinery/Equip
$56.71 520776
E 101-43100-404
Repair/Maint - Machinery/Equip
($34.10) 520818
E 101-43100-404
Repair/Maint - Machinery/Equip
$125.31 520892
E 101-43100-404
Repair/Maint - Machinery/Equip
$150.38 521348
E 101-43100-404
Repair/Maint - Machinery/Equip
$5.33 716928
Total NAPA AUTO PARTS
$303.63
Flange Kit/gasket
coupling sleeve (6)
Cable cutters for large battery
ROTOR
Hunter's Pass
uniform decals
Tanker Rollover replace foam and other supplies
tools for extraction, headliner removal tools Engine 11 &
Rescue 11
mileage for WC Fire Cheifs Meeting
Copy machines
copier rental FD
Fraser Loan
Dog pickups
Oxygen sensor
ditributor cap, rotor, filter
ditributor cap credit
spark plugs
fuel injector/manifold
oil filter
M:\Public Data\City Council\Council Packet infonnation\2009\09-08-09 (Tue)\09 08 2009 Finance Bills Posted Batch.doc
Agenda Item No. 8.E. l..
Meeting Date September 8, 2009
19
Mayor and Council Communication -September 1, 2009
Finance - Payment of Claims
Page 4 of 6
Check Amt Invoice Comment
10100 Premier Bank
Paid Chk# 027441
9/8/2009 NEXTEL COMMUNICATIONS
E 101-41500-323
Nextel Radio Units
$58.99 718183318093
nextel
E 101-41300-321
Telephone
$68.10 718183318093
nextel
E 101-42000-321
Telephone
$87.52 718183318093
nextel
E 101-43100-323
Nextel Radio Units
$51.16 718183318093
nextel
E 101-42400-323
Nextel Radio Units
$37.38 718183318093
nextel
E 101-45100-323
Nextel Radio Units
$51.16 718183318093
nextel
E 602-49400-323
Nextel Radio Units
$56.08 718183318093
nextel
E 601-49450-323
Nextel Radio Units
$56.08 718183318093
nextel
E 101-41400-323
Nextel Radio Units
$37.38 718183318093
nextel
Total NEXTEL COMMUNICATIONS
$503.85
Paid Chk# 027442 9/8/2009 NORTHERN SAFETY CO., INC.
E 101-43100-215 Shop Supplies $103.72 P249399301016 safety eyewear, earplugs
Total NORTHERN SAFETY CO., INC. $103.72
Paid Chk# 027443 9/8/2009 PRAIRIE RESTORATIONS, INC
G 101-22825 Hunters Pass Escrow $1,368.70 120282 Hunter's Pass
Total PRAIRIE RESTORATIONS, INC $1,368.70
Paid Chk# 027444 9/8/2009 RAILROAD MANAGEMENT COMPANY
E 602-49400-300 Professional Srvs (GENERAL) $90.75 250763
E 602-49400-300 Professional Srvs (GENERAL) $90.75 250764
Total RAILROAD MANAGEMENT COMPANY $181.50
Paid Chk# 027445 9/8/2009 RAPIT PRINTING
E 101-41410-300 Professional Srvs (GENERAL) $728.20 77739
Total RAPIT PRINTING $72820
Paid Chk# 027446 9/8/2009 SENTRY SYSTEMS, INC.
E 101-43100-405 Repair/Maint - Buildings $31.27 604512
E 101-42000-405 Repair/Maint - Buildings $34.58 604512
Total SENTRY SYSTEMS, INC. $65.85
Paid Chk# 027447 9/8/2009 ST SERVICES OF BUFFALO
E 101-41000-300 Professional Srvs (GENERAL) $350.00
Total ST SERVICES OF BUFFALO $350.00
Paid Chk# 027448 9/8/2009 T & S TRUCKING OF BUFFALO, INC
E 101-43100-227 Street Sweeping $210.00 340
Total T & S TRUCKING OF BUFFALO, INC $210.00
6" water pipeline crossing rent
12" water pipeline crossing rent
newsletter
alarm monitoring PW
alarm monitoring fire dept
Bobcat for Tanker Rollover
Sweeping Aug 3 for Tim
Paid Chk# 027449 9/8/2009 TERMINAL SUPPLY CO
E 601-49450-210 Operating Supplies (GENERAL) $31.07 536268 Supplies WWTF
Total TERMINAL SUPPLY CO $31.07
Paid Chk# 027450 9/8/2009 TODD DEBOER
E 101-41940-405 Repair/Maint - Buildings $150.00 200905 Support/installation (server) services
Total TODD DEBOER $150.00
Paid Chk# 027451
9/8/2009 TRYCO LEASING INC
E 101-42000-412
Building Rentals/Admin Fee
$113.64 4457
Copy Machine Lease
E 101-41400-413
Office Equipment Rental
$692.05 4458
Copier Lease
Total TRYCO LEASING INC
$805.69
Paid Chk# 027452
9/8/2009 USABLE LIFE
E 101-42400-130
Employer Paid Ins (GENERAL)
$22.35
Emp Life Ins
E 601-49450-130
Employer Paid Ins (GENERAL)
$34.27
Emp STDis Ins
E 601-49450-130
Employer Paid Ins (GENERAL)
$9.00
Emp Life Ins
E 602-49400-130
Employer Paid Ins (GENERAL)
$9.00
Emp Life Ins
E 101-42400-130
Employer Paid Ins (GENERAL)
$69.48
Emp STDis Ins
M:\Public Data\City Council\Council Packet information\2009\09-08-09 (Tue)\09 08 2009 Finance
Bills Posted Batch.doc
Agenda Item No. 8.E. J..
Meeting Date September 8, 2009
20
Mayor and Council Communication -September 1, 2009
Finance - Payment of Claims
Page 5 of 6
Check Amt Invoice
Comment
10100 Premier Bank
Paid Chk# 027452
9/8/2009 USABLE LIFE (continued)
E 101-41300-131
Employer Paid Health
$54.29
Emp STDis Ins
E 101-43100-130
Employer Paid Ins (GENERAL)
$49.19
Emp STDis Ins
E 101-41400-131
Employer Paid Health
$22.81
Emp STDis Ins
E 101-45100-130
Employer Paid Ins (GENERAL)
$19.55
Emp STDis Ins
E 101-41300-131
Employer Paid Health
$14.10
Emp Life Ins
E 101-43100-130
Employer Paid ins (GENERAL)
$9.30
Emp Life Ins
G 101-21710 Other Deducations
$7.50
Emp Life Ins
E 101-41400-131
Employer Paid Health
$6.60
Emp Life Ins
E 101-45100-130
Employer Paid Ins (GENERAL)
$5.40
Emp Life Ins
E 101-41500-131
Employer Paid Health
$4.95
Emp Life Ins
E 602-49400-130
Employer Paid Ins (GENERAL)
$34.25
Emp STDis Ins
E 101-41500-131
Employer Paid Health
$35.53
Emp STDis Ins
Total USABLE LIFE
$407.57
Paid Chk# 027453
9/8/2009 WASTE MANAGEMENT
E 101-43100-384
Refuse/Garbage Disposal
$56.55 515008415934 PW Garbage
E 601-49450-384
Refuse/Garbage Disposal
$56.72 515008415934 WWTF Garbage
E 101-45100-384
Refuse/Garbage Disposal
$74.07 515008415934 Parks Garbage
Total WASTE MANAGEMENT
$187.34
Paid Chk# 027454
9/8/2009 WATER LABORATORIES INC
E 601-49450-218
Testing Expenses
$1,018.00 1031
Testing Expense (CBOD-5)
Total WATER LABORATORIES INC
$1,018.00
Paid Chk# 027455
9/8/2009 WESTSIDE WHOLESALE TIRE
E 101-45100-210
Operating Supplies (GENERAL)
$15.00 624568
Repair Tire
Total WESTSIDE WHOLESALE TIRE
$15.00
Paid Chk# 027456 9/8/2009 WRIGHT-HENNEPIN COOPERATIVE
E 601-49450-381
Electric Utilities
$86.84
Lift Stations
E 101-43160-381
Electric Utilities
$451.41
Street Lights
E 101-45100-381
Electric Utilities
$249.75
Park Lights
Total WRIGHT-HENNEPIN COOPERATIVE
$788.00
Paid Chk# 027457
9/8/2009 XCEL ENERGY
E 101-45100-381
Electric Utilities
$174.95
Balifield/rink
E 601-49450-381
Electric Utilities
$38.11
4940 Kaiser Sewer
E 601-49450-381
Electric Utilities
$86.27
Lift Station
E 101-42000-381
Electric Utilities
$340.46
11350 57th St
E 101-43100-381
Electric Utilities
$318.21
11822 63rd PW
E 101-41940-381
Electric Utilities
$125.10
Auto Protetive Light
E 101-41940-381
Electric Utilities
$94.58
5964 Main Ave
E 101-43160-381
Electric Utilities
$73.53
5300 Labeaux Light
E 101-43160-381
Electric Utilities
$70.27
5050 Labeaux light
E 101-43160-381
Electric Utilities
$45.20
5050 Labeaux signal
E 101-43160-381
Electric Utilities
$37.52
11060 61st Street
E 601-49450-381
Electric Utilities
$329.02
Sewer lift station
E 601-49450-381
Electric Utilities
$4,852.85
Sewage Plant
E 101-45100-381
Electric Utilities
$9.71
Picnic Shelter
E 101-41940-381
Electric Utilities
$36.26
6002 Main
E 101-45100-381
Electric Utilities
$10.06
Park Shelter
E 101-43160-381
Electric Utilities
$31.22 284133612
Unit Signal
E 601-49450-381
Electric Utilities
$23.49 284254282
Lift Station
E 601-49450-381
Electric Utilities
$54.88 284254282
Unit Sewer
E 101-43160-381
Electric Utilities
$1,723.05 284254282
City Hall
E 101-43160-381
Electric Utilities
$23.13 284254282
5998 Labeaux
E 101-43160-381
Electric Utilities
$3.62 284254282
5799 Lander Ave
E 101-43160-381
Electric Utilities
$24.84 284254282
11830 51 st Street
Total XCEL ENERGY
$8,526.33
M:\Public Data\City Council\Council Packet information\2009\09-08-09 (Tue)\09 08 2009 Finance Bills Posted Batch.doc
Agenda Item No. 8.E.1. .
Meeting Date September 8, 2009
21
Mayor and Council Communication —September 1, 2009
Finance — Payment of Claims
Page 6 of 6
Check Amt Invoice Comment
10100 Premier Bank
Paid Chk# 027458 9/8/2009 ZEE MEDICAL SERVICE
E 101-41400-200 Office Supplies (GENERAL) $87.80 54034100 Medical Supplies
Total ZEE MEDICAL SERVICE $87.80
10100 Premier Bank $51,006.10
Fund Summary
101 GENERAL FUND
203 REVOLVING LOAN
601 SEWER FUND
602 WATER FUND
10100 Premier Bank
$39,131.04
$594.04
$8,635.70
$2,645.32
$51, 006.10
M:\Public Data\City Council\Council Packet information\2009\09-08-09 (Tue)\09 08 2009 Finance Bills Posted Batch.doc
Agenda Item No. O..i'1.1..
Meeting Date September 8, 2009
22
�+1b£r'tr✓ljj£ Mayor and Council Communication
smwlr� ►A'9. ft aw Uf-
August 26, 2009
SUBJECT: 0 FINANCE — KNIGHTS OF COLUMBUS DONATION
RECOMMENDATION: It is respectfully requested that the Mayor and Council consider the
following motion:
Motion approve Resolution No. 2009-029 entitled a Resolution Acknowledging a Donation
from the Knights of Columbus (KC) Organization in the amount of $2,000 from the Knights of
Columbus Organization to be applied towards the Friendly City Days Committee 2009 expenses.
BACKGROUND: The Knights of Columbus Organization have made donations to community
events over the years. In July 2009, the KC's made a donation to the Friendly City Days
Committee in the amount of $2,000, in which the funds will be applied towards the expenses
incurred by the Friendly City Days Committee in 2009.
KEY ISSUES:
• State law requires all donations to the City be formally accepted by the City Council
through a resolution.
POLICY CONSIDERATIONS: It is the practice of the City for the Mayor and City Council o
formally accept donations.
FINANCIAL CONSIDERATIONS: There is no financial impact on the city.
LEGAL CONSIDERATIONS: The Mayor and City Council have the authority to accept or
deny donations given to the City for designated purposes.
Respectfully submitted,
Larry R.Imse
City Administrator
Department/Responsible Person: Finance/Tina Lannes, Finance Director
Attachments: Resolution No. 2009-029
M:\Public Data\Requests for Council Actions (RCA)\2009\09 08 2009 Finance Res Accepting Donation (Friendly City Days expensesp).doc O Agenda Item No. .E.Z.
Meeting Date September 8, 2009
CITY OF ALBERTVILLE
COUNTY OF WRIGHT
STATE OF MINNESOTA
RESOLUTION NO.2009-029
A RESOLUTION ACKNOWLEDGING A DONATION
FROM THE KNIGHTS OF COLUMBUS (KC) ORGANIZATION
WHEREAS, the City of Albertville is generally authorized to accept contributions of real and
personal property pursuant to Minnesota Statutes Sections 412.21 and 465.03 for the benefit of
its citizens and is specifically authorized to accept gifts and bequests for the benefit of
recreational service pursuant to Minnesota Statues Section 471.17; and
WHEREAS, the City of Albertville has received a donation in the amount of $2,000.00 from the
Knights of Columbus, to be used towards the Friendly City Days Committee expenses; and
WHEREAS, the City Council would like to thank the Knights of Columbus, and commend them
for their support of rural communities.
NOW THEREFORE BE IT RESOLVED, by the City Council of the City of Albertville,
Minnesota, that the donation be accepted and acknowledged with gratitude. And be it further
resolved that said funds shall be deposited to the appropriate funds, and used for the designated
purposes.
Adopted this 8th day of September 2009 by the City Council of the City of Albertville.
Ron Klecker, Mayor
Bridget Miller, City Clerk
24
NIbertville Mayor and Council Communication
s.� row LIA - Me c+w Ur..
August 26, 2009
SUBJECT: 0 FINANCE — SET 2009 TRUTH -IN -TAXATION HEARING
RECOMMENDATION: It is respectfully requested that the Mayor and Council consider the
following motion:
Motion set Monday, December 7, 2009 as the 2009 Truth -in -Taxation Hearing meeting and
Monday, December 21, 2009 as the continuation meeting if needed to be held at the Albertville
City Hall that will begin at 6:15 p.m. and direct staff to send the confirmation notice to the
Wright County Auditor -Treasurer's Office.
BACKGROUND: Annually the City Council sets dates for Truth -in -Taxation Hearings.
PRACTICES/POLICIES CONSIDERATIONS: It is at the discretion of the Mayor and City
Council to review Resolutions that have been prepared and submitted by staff.
FINANCIAL CONSIDERATIONS: There are no financial considerations as it relates to
approval of the Resolution setting the 2009 Truth -In -Taxation Hearing.
LEGAL ISSUES: In accordance with Council procedures, the Mayor and Council possess the
authority to amend the resolution.
Respectfully submitted,
Larry R. Kruse
City Administrator
Department/Responsible Person: Finance/Tina Lannes, Finance Director
Attachments: none
M:\Public Data\Requests for Council Actions (RCA)\2009\09 08 2009 8 Finance -Clerk (Set 2009 Truth -in -Taxation dates) RCA.doc
Agenda Item No. 8.E.3.
Meeting Date September 8, 2009
A�I
b£r'tVlllesmcs a� wrw. mo oeU ur., Mayor and Council Communication
August 26, 2009
SUBJECT: 0 FINANCE — STMA ARENA BOARD PROMISSORY NOTE
RECOMMENDATION: It is respectfully requested that the Mayor and Council consider the
following motion:
Motion approve amending the STMA Arena Board Promissory Note payable for the Locker
Room addition to change and extend the final payment of $51,328.94 due April 29, 2010 to
$26,651.57 due April 29, 2010 and $25,664.47 due April 29, 2011.
BACKGROUND: On January 8, 2007 the STMA Arena Board signed a promissory note with
the City of Albertville for the payment of the Locker Room Addition. The original payment
schedule was:
Borrower shall make principal and interest payments on April 291h of each year in the
following amounts, beginning April 29, 2007:
Year
Total Interest and Principal Payment
2007
$41,458.88
2008
$55,277.32
2009
$53,303.13
2010
$51,328.94
The STMA Arena Board is requesting an extension of the final payment over two years. If
approved the amended payment schedule shall be as follows:
Borrower shall make principal and interest payments on April 29"' of each year in the
following amounts, beginning April 29, 2007:
Year
Total Interest and Principal Payment
2007
$41,458.88
2008
$55,277.32
2609
$53,303.13
2010
$26,651.57
2011
$25,664.47
KEY ISSUES:
• The project was internally funded by the City of Albertville.
POLICY CONSIDERATIONS:
M:\Public Data\Requests for Council Actions (RCA)\2009\09 08 2009 Finance STMA Note payment schedule change.doc
Agenda Item No. 8.E.4.
Meeting Date September 8, 2009
Mayor and Council Communication — August 26, 2009
Finance — STMA Arena Board Promissory Note
Page 2 of 2
FINANCIAL CONSIDERATIONS: The Promissory Note bears an interest rate of 4%;
although the funding of the project was done internally the promissory note interest rate is higher
than the current rate of investments.
LEGAL CONSIDERATIONS:
Respectfully submitted,
4a4
Larry R. Kruse
City Administrator
Department/Responsible Person: Finance/Tina Lannes, Finance Director
Attachments: none
M:\Public Data\Requests for Council Actions (RCA)\2009\09 08 2009 Finance STMA Note payment schedule change.doc Agenda Item No. 8.E.4.
Meeting Date September 8, 2009
Nlbertvillc Mayor and Council Communication
August 25, 2009"
SUBJECT: FINANCE DEPARTMENT — 2010 PRELIMINARY BUDGET AND PROPERTY TAX LEVY
RECOMMENDATION: It is respectfully requested that the Mayor and Council consider the
following motions, in which the Council has the decision to select ONE of the three (3)
Resolutions related to Adopting the 2010 Preliminary Property Tax Levy:
Option A: Motion approve Resolution No. 2009-030A entitled a Resolution Adopting the
2010 Preliminary Property Tax Levy in the amount of $2,939,767. (+4.5% levy)
Option B: Motion approve Resolution No. 2009-030B entitled a Resolution Adopting the 2010
Preliminary Property Tax Levy in the amount of $2,954,017. (+5% levy)
Option C: Motion approve Resolution No. 2009-030C entitled a Resolution Adopting the 2010
Preliminary Property Tax Levy in the amount of $2,954,153. (+5% levy + steps)
Further, it is respectfully recommended that the Mayor and Council consider adoption of the
following two motions:
Motion approve Resolution No. 2009-031 entitled a Resolution Adopting the 2010 Preliminary
Budget.
Motion approve Resolution No. 2009-032 entitled a Resolution Adopting the 2010 Capital
Improvement Plan
BACKGROUND: After three Council budget workshops the Council has asked staff to come
back with options in the 4.5% to 5% range and Council is asked to consider one of three options.
Option A reflects a $2,939,767, 4.5 % increase levy, with $89,000 of general fund money used
to buy down the levy. Option B reflects a 2,954,017, 5% increase levy with $74,750 used to buy
down the levy. Option C reflects a $2,954,153 5% increase levy including annual step raises for
employees with $85,000 used to buy down the levy.
The City has built up a bank of $888,000 of Municipal State Aid for streets funds, hearinafter
referred to as "General Fund Dollars", as bonds were issued for the CSAH 19 project. To achieve
the desired 4.5% to 5% maximum levy, staff recommends using $333,000 to finance the current
deficit in the CSAH 19 bond fund. Further depending on which option the Council selects, staff
recommends using $89,000, $74,750 or $85,000 of these general fund dollars to achieve the
desired levy.
M:\Public Data\Requests for Council Actions (RCA)\2009\09 08 2009 8 Finance -Clerk (Preliminary Budget & Property Tax Levy) RCA a.doc
Agenda ItemNo.8.E.5.a-c & 6.7.
Meeting Date September 8, 2009
Mayor and Council Communication — August 26, 2009
FINANCE DEPARTMENT — 2010 PRELIMINARY BUDGET & PROPERTY TAX LEVY Page 2 of 4
The attached preliminary budget for 2010 totals $2,971,194. The budget includes a General
Fund tax levy of $2,188,820 for taxes payable 2010, a Special Levy (allowed by the state to
recoup Market Value Credit Cuts) $141,633, plus, the debt service levy of $698,314. Therefore,
the total levy the general fund, special levy and debt service with be dependant on the decision
for which preliminary property tax levy amount the council approves.
It is staff s recommendation to freeze the Cost of Living Allowance (COLA) for 2010 but to
grant steps. Although not specifically a contract, most City's view it in a similar light. Attached
is a survey competed by the City Association showing that cities are freezing COLA and
granting steps. Seven of the twelve employees would receive steps. Not eligible for steps
include the City Administrator, Building Official and one Street Maintenance Worker.
The estimated impact on the City of Albertville portion of property taxes would increase as
illustrated below.
The effects on households are as follows:
5% levy increase
Home Value Payable 2009 Payable 2010 Increase
Impact on $200,000 home $682 $716 $34
Impact on $300,000 home $1,022 $1,073 $51
Impact on $400,000 home $1,363 $1,431 $68
4.5% levy increase
Home Value Payable 2009 Payable 2010 Increase
Impact on $200,000 home $682 $712 $31
Impact on $300,000 home $1,022 $1,068 $46
Impact on $400,000 home $1,363 $1,424 $61
*Note (The 5% with or without steps uses a similar subsidy to buy down the levy)
KEY ISSUES:
Levy Adoption Schedule: The preliminary budget must be certified to Wright County by
September 15, 2009 and the final levy must be certified by December 15th. The final levy can be
reduced, but can not be increased.
M:\Public Data\Requests for Council Actions (RCA)\2009\09 08 2009 8 Finance -Clerk (Preliminary Budget & Property
Tax Levy) RCA a.doc
Agenda Item No.8.E.5.a—C CX 6.7.
Meeting Date September 8, 2009
Mayor and Council Communication — August 26, 2009
FINANCE DEPARTMENT— 2010 PRELIMINARY BUDGET & PROPERTY TAX LEVY Page 3 of 4
General Fund Reserves: Annually, the Mayor and Council to adopt a Preliminary Budget and set
Property Tax Levy. During the annual audit review, the Auditor cautioned the City as the
General Fund Reserves are at the lower end of the spectrum of what they want to see and what
the State Auditor recommends. The City must maintain adequate reserves to provide cash flow
for City operation through the first half of the following year providing gap financing until
property tax revenue is received in July. In 2007, the City's budget reserves were short $650,000;
in 2008 the City's budget reserves were short $788,553 and the estimate for 2009 is the City
budget reserves will be short an estimated $643,000.
It is staff s recommendation to levy the full amount allowed under State mandated levy limits at
a minimum. Staff also strongly recommends added levy to build to reserves to a five month
level. The City also has two outstanding CSAH 19 assessment lawsuits that create another
liability for the City which may impact reserves.
Other Revenue and Expense items to evaluate through the remainder of 2009: As we
approach adoption of the final levy Staff will scrutinize expenses, and identified some other
potential revenues enhancements for the 2010 budget. Although increasing fees can be difficult it
is a good discussion to have.
Right now the arena charges to use the indoor facilities, however some other sports where
the City spends a significant amount of money and time are not charged. For example,
Youth softball baseball, broomball and outdoor hockey do not pay or pay a very limited
amount.
2. Adult hockey does not pay for outside ice time
3. Mowing Rates — perhaps a progressive mowing rate schedule, whereby if we do it a
second and third time, it gets more expensive
4. It is unusual for a City to give scholarships. Right now Albertville grants $4,200 in
Scholarships and savings bonds for Albertville Royalty.
5. Implement direct deposit for vendor payments
6. Implement mandatory direct pay and electronic billing for monthly water bills
7. No sort recycling, add recycling to monthly water bill
8. Electronic Newsletters
9. Street Light Franchise Fee
10. Electronic Council/Staff/Planning Commission Packets
POLICY CONSIDERATIONS: The City is required by law to adopt a property tax levy. In the
event that none is adopted the previous years levy would become next years levy.
M:\Public Data\Requests for Council Actions (RCA)\2009\09 08 2009 8 Finance -Clerk (Preliminary Budget & Property Tax Levy) RCA a.docr�
Agenda Item No. &E.5.a^C & 6.7.
Meeting Date September 8, 2009
Mayor and Council Communication — August 26, 2009
FINANCE DEPARTMENT —2010 PRELIMINARY BUDGET & PROPERTY TAX LEVY Page 4 of 4
FINANCIAL CONSIDERATIONS: The 2009 budget is anticipated to be $643,000 short in
designated funds for the general reserve. Although staff can work with a shortfall, it is
recommended that the City Council continue to increase the General Funds reserve and not rely
on other capital reserves to fund cash flow needs. Levy limits will be on for a few years and in
certain situation will preempt the City from increasing its levy. Pending assessment lawsuits are
a concern that may impact general fund reserves.
LEGAL CONSIDERATIONS: The Mayor and Council have the authority to approve the 2009
Annual Budget and Property Tax Levy pursuant to Minnesota State Law.
Respectfully submitted,
Larry R. se
City Administrator
Department/Responsible Person: Finance/Tina Lannes, Finance Director
Attachments: 2010 Preliminary Budget Summary, Appendix A, Resolution No. 2009-030A,
Resolution No. 2009-030B, Resolution No. 2009-030C, Resolution No. 2009-031, 2010
Expanded CIP, Resolution No. 2009-032
M:\Public Data\Requests for Council Actions (RCA)\2009\09 08 2009 8 Finance -Clerk (Preliminary Budget & Property Tax Levy) RCA a.do rc�
Agenda Item No. Q. E. S. a —C & 6.7.
.
Meeting Date September 8, 2009
Nbertville
Small TCsR%" 7 Uvin _ BI Cic Llfc_
2009 BUDGET SUMMARY COMPARISON
GENERALFUND
2010 Initial Difference Diff 09 to 10 $ Difference
General Fund Revenue: 2009 Budget 2010 Budget Budget 09 to 10 $ before cuts 09 to 10 %
31010
Current Ad Valorem Taxes
2,208,496
2,188,820
2,475,989
-$19,676
$267,493
-0.89%
32100
Business Licenses & Permits
59,500
60,000
60,000
$500
$500
0.84%
32110
Liquor Licenses
28,500
30,000
30,000
$1,500
$1,500
5.26%
32120
3.2 Liquor Licenses
150
150
150
$0
$0
0.00%
32150
Sign Permits
2,500
2,500
2,500
$0
$0
0.00%
32210
Building Permits
177,321
125,000
125,000
-$52,321
-$52,321
-29.51%
32240
Animal Licenses
700
700
700
$0
$0
0.00%
33405
Police Aid
25,500
26,000
26,000
$500
$500
1.96%
33406
Fire Aid
55,000
41,000
41,000
-$14,000
-$14,000
-25.45%
33422
Other State Aid Grants
9,000
9,000
9,000
$0
$0
0.00%
33620
County Grants & Aids
10,000
10,000
10,000
$0
$0
0.00%
34000
Charges for Services
13,000
13,000
13,000
$0
$0
0.00%
34101
Lease Payments - City Property
43,200
12,000
12,000
-$31,200
-$31,200
-72.22%
34001
Administration fees
151,010
134,317
135,135
-$16,693
-$15,875
-11.05%
Engineering plan check
5,000
3,000
3,000
-$2,000
-$2,000
-40,00%
34050
Developer Fees
35,000
0
0
-$35,000
-$35,000
-100.00%
34103
Zoning & Subdivision Fees
7,000
2,500
2,500
-$4,500
-$4,500
-64.29%
Plan Check Fee
42,412
15,000
1,500
-$27,412
-$40,912
-64.63%
34105
Sale of Maps
100
100
100
$0
$01
0.00%
34106
PID/Legal Description Requests
250
100
100
-$150
-$150
-60.00%
34107
Title Searches
250
150
150
-$100
-$100
-40,00%
34302
Fire Protection Contract Charges
148,507
108,724
113,219
-$39,783
-$35,288
-26.79%
34780
Rental Fees
5,000
5,000
5,000
$0
$0
0.00%
34950
Other Revenues
10,000
12,000
12,000
$2,000
$2,000
20.00%
35000
Fines & Forfeits
500
500
500
$0
$0
0.00%
36210
Interest Earnings
68,000
30,000
30,000
-$38,000
-$38,000
-55.88%
0
0
0
$0
$0
special levy 2008
0
48,436
0
$48,436
$0
special levy 2009
93,197
48,436
$48,436
93,197
$93,197
Total Revenues
3,105,896
2,971,1941
3,250,176
-227,8991
51,083
4.34%
2010 Initial Difference Diff 09 to 10 $ Difference
General Fund Department Expendil 2009 Budget 2010 Budget Budget 09 to 10 $ before cuts 09 to 10 %
41100
Council
46,645
46,495
46,649
-$150
$4
-0.32%
41300
Administrator
137,070
137,845
137,539
$776
$470
0.57%
41400
City Clerk
132,382
128,259
128,641
-$4,124
-$3,742
-3.11%
41440
Elections
300
9,000
9,000
$8,700
$8,700
2900.00%
41500
Finance
131,342
128,716
128,591
-$2,626
-$2,751
-2.00%
41550
City Assessor
33,000
33,000
33,990
$0
$990
0.00%
41600
City Attorney
31,450
27,500
32,500
-$3,950
$1,050
-12.56%
41700
City Engineer
57,000
43,700
58,700
-$13,300
$1,700
-23.33%
41800
Economic Development
10,000
15,000
15,000
$5,000
$5,000
50.00%
41910
Planning & Zoning
30,334
31,159
31,159
$825
$825
2.72%
41940
City Hall
139,800
134,800
141,882
-$5,000
$2,082
-3.58%
42000
1 Fire Department
275,662
267,527
269,857
-$8,135
-$5,805
-2.95%
42110
Police
489,250
503,700
503,928
$14,450
$14,678
2.95%
42400
Building Inspection
287,835
287,782
288,278
-$53
$443
-0.02%
42700
Animal Control
3,200
3,296
3,296
$96
$96
3.00%
43100
Public Works - Streets
467,483
356,634
469,435
-$110,849
$1,952
-23.71%
43160
Street Lighting
80,000
83,1201
84,000
$3,120
$4,000
3.90%
43200
Recycling
48,000
54,000
52,000
$6,000
$4,000
12.50%
45000
Culture & Recreation
45,377
57,877
53,877
$12,5001
$8,5001
27.55%
45100
Parks & Recreation
165,882
176,864
166,926
$10,982
$1,0441
6.62%
49300
Capital Reserves
493,884
444,921
594,930
-$48,9631
$101,046
-9.91%
Total Expenditures 3,105,895 2,971,194 3,250,176-134,701 144,281
-4.34%
MAPublic Data\City Council\Council Packet information\2009\09-08-09 (Tue)\Summary 2010 Draft Final Budget.xls
Page 1
33
Difference
Levy
2009
2010 2010 before cut
09 to 10 %
General Fund & EDA
2,208,496
2,188,820
2,475,989
-0.89%
Special Levy 2008
48,436
48,436
Special Levy 2009
93,197
93,197
Total Tax Levy (Oper. Ler
2,208,496
2,330,453
2,617,622 18.53%
5.52%
GO Improvement Bond 03
85,370
76,045
76,045
Bonds 03 PF Lease Rev
67,940
66,785
66,785
City Hall 05
250,000
279,965
279,965
GO Im Bond 07 Lachman/1
36,769
113,831
180,315
PW Facility 04
164,688
161,688
161,688
Total Debt Service Levy
604,767
698,314
764,798 Debt Levy
15.47%
Total Levy
2,813,263
3,028,767
3,382,420 Total Levy
7.66%
Already cut
353,653 20.23%
Using MSA funds to make up the $333,000 for CSAH 19 FCD $4,250,
FYCC $19,000 Overlay $85,000
7.66%
Option A MSA Funds to by down, 4.5%
($89,000) $422,000
4.50%
Option B MSA Funds to by down, 5.0%
($74,750) $407,750
5.00%
Option C MSA Funds to by down (steps),
5.0% ($85,000) $418,000
5.00%
MAPublic Data\City Council\Council Packet information\2009\09-08-09 (Tue)\Summary 2010 Draft Final Budget.xls
Page 2
34
Appendix A
City Non union Union
I think if we can hold employee health insurance costs level, we
may be successful at a 0% COLA. Employees are still receiving
Albert Lea
their step increases on their anniversary dates.
Andover
Wage freeze
Arden Hills
0% COLA but scheduled step increases
Bemidji
no COLA for anyone but step increases still allowed.
Blaine
0% COLA steps honored
Bloomington
0 increases but allowing step increases.
Brooklyn Center
wage freeze except for step increases.
implemented a wage freeze through 2010 for non union
Burnsville
employees.
Cambridge
wage freeze
Carver
Centerville 0% increase
Champlin wage freeze
Chanhassen 0% COLA and 0% Step increases
Chisago
Wage freeze
Circle Pines
Follows union contract for non union employees
Trying to implement wage freeze. Do not know if it will just be
Cloquet
COLA or COLA and steps.
Columbi Hieghts
Allowing scheduled wage increases
honoring setp increases approved in hiring process but a freeze is
Crookston
bieng proposed for 2010,
Crystal
0% COLA
zero increase for 2010, steps that are in place will be
Dayton
implemented.
0% COLA but steps honored (80% of their staff at top tier and
Eagan, ,
would not receive a step)
East Bethel
Eden Valley
Edina
Elk River
Elko New Market
Fairmont
Falcon Heights
Council want wage freeze
proposed wage freeze for 2010
We only had one year union contracts. We are trying to negotiate a wage
freeze. I think if we can hold employee health insurance costs level, we may
be successful at a 0% COLA.
Wage Freeze
3%
union nego look so far like 3 percent and do layoffs if necessary.
Union contracts are settled throught 2010 and wage adjustments will occur per
contract.
honoring (contracts up in 2010)
1 was told it was unconstitutional by attorney to freeze contractually obligated
wage increases. We are in the middle of contracts 4th nego we are at 0% and
0% for next two years.
union contract up end of 2009 will try for 0% increase
The police officers with a union contract are in the process of
negotiating their 2010 contract, so it is not determined if they will have a
wage freeze or if they will have scheduled wage increases (with no cost
of living).
3% on 1 /1 and 1 % on 7/1
We have not begun bargaining process with any of our unions for 2010. All our
union contracts expire 12/31/2009.
3 unions expeire this year. Going with 0% COLA do no know what the outcome
will be.
Union contract nego pending
3.5% per contract
50 % staff is union contract expires end of 2009 in nego now council wants 0
and I have scheduled meeting to discuss with rep.
0% COLA being proposed union contracts are open for 2010 (they currently
0% COLA
have 3% COLA in addition to steps.
Step increases with no COLA
Step increases with no COLA
proposing a 0% COLA for 2010, but providing merit pay/step
increase. However, we've had two bargaining units recently
proposing a 0% COLA for 2010, but providing merit pay/step increase.
established, so we will be negotiating the initial contracts for both
in However, we've had two bargaining units recently established, so we will be
the following months. The result of those negotiations will likely
negotiating the initial contracts for both in the following months. The result of
drive what we do for non -union employees,
those negotiations will likely drive what we do for non -union employees.
Going ahead with 3% for all employees
3% for all employees
No increases for anyone.
Farmington
0% expect for step process.
One Contract settled for 2010 who gets 3% and 50 % increase in Health Ins.
Fergus Falls
no increases for 2010
Golden Valley
no salary increases
Police and Sergeants have not settled nor come to table.
We have five unions, one of which was a 3-year contract and will still be in
effect for 2010 at a 3% increase. The remaining four were 2 year contracts and
expire at the end of this year. The four union contracts that expire will be nego
Hopkins
0% COLA but allowing steps
for 0% we left in place scheduled step increases.
Lake City
zero for 2010
0 for 2010, trying to nego contracts not sure what will happen
3% 2009, proposing 1.5% increase 10/01/2009 and 1.5% increase
Lake Elmo
in 07101/2010
no union contracts
3% for all three unions. If unions won't nego then we will implement layoffs or
Lakeville
freeze on COLA but not steps
fuloughs to achieve budget goals.
LELS and 49ers union expired 12/31/08 two new unions forming. I believe
Little Falls
No wage increase 2009 or 2010 other than step
everyone is committed to no wage increase 2010.
Long Lake
0% increase,
No bargaining.
The non -union employees have met and voted for a wage freeze if
we are in the process of seeing if the unions are willing to open up their
Mankato
it means avoiding any layoffs.
contracts to renegotiate a wage freeze.
implemented a wage freeze in 2009 but approved step increases,
Marshall
predicting same for 2009. Plans on increases resuming in 2011
We still have outstanding 2009 contracts for unions.
Mendota -Heights proposing 2% PW contract 3% next year, Police nego delayed until after budget workshop
We reopened contracts with two of our four unions and renegotiated COLAs
down to 1 % for one of them and are hoping to get it down to 1 % for another. A
third contract is currently in arbitration, but we feel confident we will get it to 1 %
Minnetonka 1 % as well, and the fourth union will likely follow suit.
Montevideo 2% 4% but unions agreed to take 2% due to budget cuts
0 % COLA but is allowing step increases who are not at their last
Monticello step. 0 % COLA but is allowing step increases who are not at their last step.
MAPublic Data\City Council\Council Packet inform ation\2009\09-08-09 (Tue)\AppendvA (recap of city response towage freeze) (sorted).,ds
35
Appendix A
City
Non union
Union
All three of our unions are up for nego 2010 and 2011. We are going to try for
Mound
Admin staff ge the average of negotiated steelements.
no increases. Do no plan on having it resolved before Jan 1 st
Two of our unions are based on inflation rates with a minimum and their
New Ulm
2%
increase will most likely be 2.5%.
North Mankato
0% increasse
Police Union only and they were asked to forgo 3% they declined.
Northfield
wage freeze
trying to nego a wage freeze
Northfield
0% COLA and not step increases for 2010.
Most unions on board with this. Wating to hear from Police Union.
wage freeze but allowing step increases unless council decides to
Oak Grove
freeze those too
Oak Park Heights
is planning to allow scheduled wage increases per our union contracts
Police contracts up 12/31/2009 0%-AFSCME representing Pwand Clerical 2%
Plymouth
0%
tried to open nego for 0% unsucessful.
The AFSCME Union has a contract for 2.5% cola in 2010, but a meeting has
not been schedule to confirm what will be decided. The LELS and Teamsters
Unions do not have a 2010 contract and it is very possible it will be zero cola
and zero steps.
Prior Lake
no increases for 2010
Ramsey
3 unions heading into nego with them for 0% COLA and possibly no step
Richfield
Wage freeze 2010 with exception of those going through steps
This could change if the unions go to arbitration to get an increase and win
Everyone currently in wage freeze for 2009 subject to nego for
Everyone currently in wage freeze for 2009 subject to nego for July - Dec and
July - Dec and 2010. Considering some type of inccrease to
2010. Considering some type of inccrease to salaries amount unkown at this
Robbinsdale
salaries amount unkown at this time.
time.
primarily union 19 different groups. 12 have closed contracts with scheduled
3% increase. We have requested they provide some wage concessions in
2010 in the form of furlough days -12 or a reduction of 4.6 %, and it looks
optimisitc at this time. When we bargain with the opne contracts we will ask for
Rochester
similar concessions.
all four unions contract expire at the end of this yr and none of them have been
Rosemount
non -union wage freeze
willing to negotiate yet. Budgeted 2% incase.
Shakopee
No COLA But step increases are in.
proposing a wage freeze for union and non union employees
Disclaimer unions are with a contract as of 12/31/2009 and nego have not
Spring Lake Park
except for step increases
taken place. We have only had one budget workshop so anything can happen
3.25 % increase for all union, HR has reopened discussions to potentially
St Louis Park
non union wage freeze at 2009 levels
reduce those settlements, we are approaching a no increase point of view.
St Paul
non union staff 8.5 % pay cut
honoring contracts that end in 2010.
0% increase in wages, but increased $100 per month in employer
St. Anqthony
health insurance contribution.
St. Cloud No wage or step increases No union contrancts in place for 2010
St. Michael Wage freeze but steps will be give. No union employees
Waconia 0% COLA and 0% steps no union
White Bear Townst non -union follows union so 3% Jan 1, 2010 and .5 July 1, 2010 3% Jan 1 and .5 July 1
2010 budget does not include any salary adjustment if employee is
realtively new and would normally be entilted. to a step increase,
Whte Bear Lake they would receive that adjustment.
proposed 2% with no increase to 2010 budget (2 council members
Wyoming object they want 0% due to the private sector situation) two contracts up at the end of year and council wants 0% increase
About 50% of the above respondent comments reference About 50% of the reponses indicate some kind of increase
some kind of increase of at least steps Quite a few made reference to pending neogtiation
(0% COLA and allowing steps seems to be a common theme)
Disclaimer: Many of these a -mails state negotations are
talking place or have some level of uncertainty
Some of the a -mails were also hard to interpret the overall
wage structure of the City
M:Wublic Data\Cdy Council\Council Packet informatlonl2009109-08-09 jue)WppendixA (recap of city response to wage freeze) (sorted).)ds
C3
CITY OF ALBERTVILLE
COUNTY OF WRIGHT
STATE OF MINNESOTA
RESOLUTION NO. 2009-030A
A RESOLUTION ADOPTING THE
2009 TAX LEVY COLLECTIBLE IN 2010
BE IT RESOLVED BY THE council of the City of Albertville, County of Wright, Minnesota,
that the following sums of money be levied for the current year, collectible in 2010, upon taxable
property in the City of Albertville for the following purposes:
Total levy $2,939,767
The City Clerk is hereby instructed to transmit a certified copy of this resolution to the county
auditor of Wright County, Minnesota.
Adopted by the City Council of the City of Albertville this Bch day of September 2009.
Mayor Ron Klecker
City Clerk Bridget Miller
MAPublic Data\Resolutions\2009 Resolutions\draft\R 2009-030A (4.5% 2009 Proposed Tax Levy collected in 2010) (2).doc
37
CITY OF ALBERTVILLE
COUNTY OF WRIGHT
STATE OF MINNESOTA
RESOLUTION NO. 2009-030B
A RESOLUTION ADOPTING THE
2009 TAX LEVY COLLECTIBLE IN 2010
BE IT RESOLVED BY THE council of the City of Albertville, County of Wright, Minnesota,
that the following sums of money be levied for the current year, collectible in 2010, upon taxable
property in the City of Albertville for the following purposes:
Total levy $2,954,017
The City Clerk is hereby instructed to transmit a certified copy of this resolution to the county
auditor of Wright County, Minnesota.
Adopted by the City Council of the City of Albertville this 8th day of September 2009.
Mayor Ron Klecker
City Clerk Bridget Miller
MAPublic Data\Resolutions\2009 ResolutionsWra8\R 2009-030B (5% 2009 Proposed Tax Levy collected in 2010) (2).doc
CITY OF ALBERTVILLE
COUNTY OF WRIGHT
STATE OF MINNESOTA
RESOLUTION NO. 2009-030C
A RESOLUTION ADOPTING THE
2009 TAX LEVY COLLECTIBLE IN 2010
BE IT RESOLVED BY THE council of the City of Albertville, County of Wright, Minnesota,
that the following sums of money be levied for the current year, collectible in 2010, upon taxable
property in the City of Albertville for the following purposes:
Total levy $2,954,153
The City Clerk is hereby instructed to transmit a certified copy of this resolution to the county
auditor of Wright County, Minnesota.
Adopted by the City Council of the City of Albertville this 8th day of September 2009.
Mayor Ron Klecker
City Clerk Bridget Miller
MAPublic Data\Resolutions\2009 Resolutions\draft\R 2009-030C (5% step 2009 Proposed Tax Levy collected in 2010) (2).doc
9
CITY OF ALBERTVILLE
COUNTY OF WRIGHT
STATE OF MINNESOTA
RESOLUTION NO.2009-031
A RESOLUTION ADOPTING THE 2010 PRELIMINARY BUDGET
WHEREAS, the City Council of the City of Albertville has adopted a proposed budget; and
WHEREAS, the Albertville City Council has adopted a preliminary tax levy to be placed upon
the taxable property in the City of Albertville; and
WHEREAS, the Albertville City Council desires to reserve within the General Fund those
monies designated as capital outlays within various budget classifications, such that those
monies can be disbursed only for those capital outlays so specified within the budget.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
ALBERTVILLE, MINNESOTA:
1. The attached budget is hereby adopted as the preliminary budget for the City of Albertville
for the period January 1, 2010, through December 31, 2010.
2. All monies designated within the budget, as capital outlays shall be reserved within the
Capital Reserves Fund, such that those monies can be disbursed only for those capital
outlays so specified within the budget.
3. The Albertville City Council has hereby complied with Minnesota Statutes.
4. The Finance Director is hereby authorized to transmit certification of compliance with
Minnesota Statutes to the Commissioner of Revenue as required.
Adopted by the Albertville City Council this 8th day of September, 2009.
Ron Klecker, Mayor
Bridget Miller, City Clerk
MAPublic Data\Resolutions\2009 Resolutions\dra$\R 2009-031 (2010 Preliminary Budget) (2).doc
41
CITY OF ALBERTVILLE
COUNTY OF WRIGHT
STATE OF MINNESOTA
RESOLUTION NO.2009-032
A RESOLUTION ACCEPTING THE
CAPITAL IMPROVEMENT PLAN (CIP)
WHEREAS, the Albertville City Council has reviewed its Capital Improvement Plan
(CIP); and
NOW, THEREFORE, BE IT RESOLVED by the Albertville City Council that the
following actions are implemented:
\Exhibit A — attached
2010 Capital Improvement Plan (CIP)
Adopted by the Albertville City Council this 8th day of September, 2009.
Ron Klecker, Mayor
Bridget Miller City Clerk
M:\Public Data\Resolutions\2009 Resolutions\draft\R 2009-032 (Accepting the Capital Improv Plan) (2).doc
43
2010 CI expanded 2010 CIP Expanded
There is a hold on capital purchases, unless deemed necessary, if possible until 2010 due to budget constraints.
MAPublic Data\City Council\Council Packet information\2009\09.08-09 (Tue)\2010 expanded Draft CIP.xls
a
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-
�lbcrtvilj£ Mayor and Council Communication
September 1, 2009
SUBJECT: 0 ENGINEERING - NIEMEYER TRAILER SALES - LETTER OF CREDIT No. 805
REDUCTION No. 1
RECOMMENDATION: It is respectfully requested that the Mayor and Council consider
approval of the following motion:
Motion authorizing staff to reduce Letter of Credit No. 805 to no less than $40,870 upon
satisfactory completion of the required street and county road improvements and all outstanding
balances owed to the City being paid in full.
BACKGROUND: Tim Niemeyer, of Niemeyer Trailer Sales, is currently working to complete
certain street related improvements that are required as part of the development. Upon completion
of the street improvements, Mr. Niemeyer intends to request that the letter of credit held as surety
for the development, be reduced by an amount attributable to the completed work and consistent
with the development contract. In effort of minimizing the posting fees related to the surety, and
given its extension deadline and future Council meeting dates, Mr. Niemeyer has requested staff
seek Council's authorization to reduce the letter once the street related work has been found
complete.
KEY ISSUES:
Current amount of LOC is $71,979
If authorized, staff would reduce LOC to no less than $40,870 provided the street related
improvements are completed satisfactorily and the developer is current with all fees owed to
the City.
Typically, letter of credit reduction requests are presented to Council after required
improvements have been completed.
POLICY CONSIDERATIONS: It is City policy to have all letter of credit reductions approved
by the City Council
FINANCIAL CONSIDERATIONS: There are no financial implications for this request
LEGAL CONSIDERATIONS: The City has the legal authority under the Development
Agreement to reduce the letter of credit upon completion of the required improvements or deny
requests for reduction if the required improvements are found unacceptable.
Respectfully submitted,
Larry R. �se
City Administrator
M:\Public Data\Requests for Council Actions (RCA)\2009\09 08 2009 Engineering - Niemeyer RCA (LOC Reduct 1).doc
Agenda Item No. 8.I.1.
Meeting Date September 8, 2009
Mayor and Council Communication — September 1, 2009
Engineering — Niemeyer Trailer Sales
Page 2 of 2
Department/Responsible Person: City Engineer/Adam Nafstad
Attachments: none
M:\Public Data\Requests for Council Actions (RCA)\2009\09 08 2009 Engineering - Niemeyer RCA (LOC Reduct 1).doc
Agenda Item No. 8.I.1.
Meeting Date September 8, 2009
A.
1bNrtvi11- Mayor and Council Communication
September 3, 2009
SUBJECT: LEGAL — XCEL ENERGY AND WRIGHT-HENNEPIN ELECTRIC COOPERATIVE
FRANCHISE AGREEMENTS.
RECOMMENDATION: It is respectfully requested that the Mayor and Council consider the
following motions:
Motion: approve XCEL ENERGY ELECTRIC FRANCHISE ORDINANCE, ORDINANCE
NO. 2009- . An ordinance granting to Northern States Power Company, A Minnesota
Corporation, d/b/a Xcel Energy its successors and assigns, permission to construct, operate, repair
and maintain in the City of ALBERTVILLE, Minnesota, an electric distribution system and
transmission lines, including necessary poles, lines, fixtures and appurtenances, for the furnishing
of electric energy to the City, its inhabitants, and others, and to use the public ways and public
grounds of the city for such purposes.
"ITIl
Motion: approve WRIGHT HENNEPIN ELECTRIC COOP FRANCHISE ORDINANCE,
ORDINANCE NO. 2009- . An ordinance granting to Wright Hennepin Cooperative Electric
Association, A Minnesota Corporation, its successors and assigns, permission to construct,
operate, repair and maintain in the City of ALBERTVILLE, Minnesota, an electric distribution
system and transmission lines, including necessary poles, lines, fixtures and appurtenances, for the
furnishing of electric energy to the City, its inhabitants, and others, and to use the public ways and
public grounds of the city for such purposes.
BACKGROUND: Minnesota law permits cities to require electric service providers to enter into
franchise agreements governing the use of the City's rights -of -way, franchise fees, and other
issues related to the provision of electric power to residents of the City. The City has previously
had a 20-year electric franchise agreement with Northern States Power that expired at the end of
last year. The City did not previously have an electric franchise agreement with Wright Hennepin.
These franchise agreements are part ordinance, part contract with the electric provider. Once
passed, they bind both parties for the term of the franchise.
The League of Minnesota Cities has prepared a model franchise agreement upon which both of the
attached franchise agreements are based. The two agreements are nearly identical, and both are
for a term of 20 years. While the City does not have to approve these, staff recommends their
approval as these agreements clarify the rights and responsibilities of the parties regarding the use
of the City's rights -of -way by the utilities as well as providing a framework for the adoption of a
franchise fee should the City later choose to enact such a fee.
M:\Public Data\Requests for Council Actions (RCA)\2009\09 08 2009 Legal Franchise agreement RCA.doc
Agenda Item No. 8.e! .1.
Meeting Date September 8, 2009
r!
Mayor and Council Communication — September 3, 2009
Legal — Xcel and Wright -Hennepin Franchise Agreements
Page 2 of 2
KEY ISSUES:
• 20 year term.
• Allows the City to require utilities located within the rights of way to be moved at the
expense of the utility company if the move is necessary for a City improvement
proj ect.
• Requires the utility companies to obtain a permit from the City before digging in the
right of way and requires the utility to restore the right of way to its prior condition.
• Requires the City to give two weeks notice to the utilities before we vacate any streets
or public grounds.
• Allows the City to impose a franchise fee not to exceed 5% of the utility's gross
revenue collected within the City.
POLICY CONSIDERATIONS: Adoption of these agreements will clarify several issues
between the City and the utilities that are not fully addressed by current Minnesota statutes. The
City is not required to adopt these franchise agreements, and the utilities can continue to operate
without such agreements. Staff recommends the adoption of these agreements as a tool to better
manage the City's rights of way and to set up a structure that would allow the adoption of a
franchise fee in the future if the City so desires.
FINANCIAL CONSIDERATIONS: There are no immediate financial considerations from the
adoption of these agreements. The agreements allow the City to adopt a franchise fee (essentially
a tax on the residents' electric bills) of up to five percent of gross revenues collected by each
utility within Albertville.
LEGAL CONSIDERATIONS: These agreements will be binding upon the City and each utility
company for 20 years. While many of the terms of the agreements reflect current law, these
agreements essentially "fill in the blanks" in some areas where the law is not specific.
Respectfully submitted,
Larry R. se
City Administrator
Department/Responsible Person: Legal/Mike Couri, City Attorney
Attachments: XCEL ENERGY ELECTRIC FRANCHISE ORDINANCE, ORDINANCE NO.
2009--.; and WRIGHT HENNEPIN ELECTRIC COOP FRANCHISE ORDINANCE,
ORDINANCE NO.2009-
M:\Public Data\Requests for Council Actions (RCA)\2009\09 08 2009 Legal Franchise agreement RCA.doc
Agenda Item No. U.J . l .
Meeting Date September 8, 2009
XCEL ENERGY ELECTRIC FRANCHISE ORDINANCE
ORDINANCE NO.2009-
CITY OF ALBERTVILLE, WRIGHT COUNTY, MINNESOTA
AN ORDINANCE GRANTING TO NORTHERN STATES POWER COMPANY, A
MINNESOTA CORPORATION, DB/A XCEL ENERGY ITS SUCCESSORS AND
ASSIGNS, PERMISSION TO CONSTRUCT, OPERATE, REPAIR AND MAINTAIN IN
THE CITY OF ALBERTVILLE, MINNESOTA, AN ELECTRIC DISTRIBUTION
SYSTEM AND TRANSMISSION LINES, INCLUDING NECESSARY POLES, LINES,
FIXTURES AND APPURTENANCES, FOR THE FURNISHING OF ELECTRIC
ENERGY TO THE CITY, ITS INHABITANTS, AND OTHERS, AND TO USE THE
PUBLIC WAYS AND PUBLIC GROUNDS OF THE CITY FOR SUCH PURPOSES.
THE CITY COUNCIL OF THE CITY OF ALBERTVILLE, WRIGHT COUNTY,
MINNESOTA, ORDAINS:
SECTION 1. DEFINITIONS.
For purposes of this Ordinance, the following capitalized terms listed in alphabetical order
shall have the following meanings:
City. The City of Albertville, County of Wright, State of Minnesota.
City Utility System. Facilities used for providing non -energy related public utility service
owned or operated by City or agency thereof, including sewer and water service, but excluding
facilities for providing heating, lighting or other forms of energy.
Commission. The Minnesota Public Utilities Commission, or any successor agency or
agencies, including an agency of the federal government which preempts all or part of the authority
to regulate electric retail rates now vested in the Minnesota Public Utilities Commission.
Company. Northern States Power Company, a Minnesota corporation, d/b/a Xcel Energy
its successors and assigns.
Electric Facilities. Electric transmission and distribution towers, poles, lines, guys,
anchors, conduits, fixtures, and necessary appurtenances owned or operated by Company for the
purpose of providing electric energy for public use.
Gross Revenues. Gross Revenues means all sums, excluding any surcharge or similar
addition to the Company's charges to customers for the purpose of reimbursing the Company for
the cost resulting from the franchise fee, received by the Company from the sale of electric energy
to its retail customers within the corporate limits of the City.
1
Non -Betterment Costs. Costs incurred by Company from relocation, removal or
rearrangement of Electric Facilities that do not result in an improvement to the Electric Facilities.
Notice. A written notice served by one party on the other party referencing one or more
provisions of this Ordinance. Notice to Company shall be mailed to the General Counsel, 414
Nicollet Mall, 5t` Floor, Minneapolis, MN 55401. Notice to the City shall be mailed to the City
Administrator, City Hall, 5959 Main Avenue NE, P.O. Box 9, Albertville, MN 55301. Either
party may change its respective address for the purpose of this Ordinance by written notice to the
other parry.
Public Ground. Land owned by the City for park, open space or similar purpose, which is
held for use in common by the public.
Public Way. The area on, below or above a public roadway, highway, street, cart way,
bicycle lane, and public sidewalk in which the City has an interest, including other dedicated rights -
of -way for travel purposes and utility and drainage easements of the City.
SECTION 2. ADOPTION OF FRANCHISE.
2.1 Grant of Franchise. City hereby grants Company, for a period of 20 years from the
date passed and approved by the City, the right to transmit and furnish electric energy for light, heat,
power and other purposes for public and private use within and through the limits of the City as its
boundaries now exist or as they may be extended in the future. For these purposes, Company may
construct, operate, repair and maintain Electric Facilities in, on, over, under and across the Public
Ways and Public Grounds of City, subject to the provisions of this Ordinance. Company may do all
reasonable things necessary or customary to accomplish these purposes, subject, however, to such
reasonable regulations as may be imposed by the City pursuant to ordinance and to the further
provisions of this franchise agreement. Two years prior to expiration of this franchise agreement,
the parties will meet and discuss renewal of this franchise agreement.
2.2 Effective Date; Written Acceptance. This franchise agreement shall be in force and
effect from and after passage of this Ordinance, its acceptance by Company, and its publication as
required by law. The City by Council resolution may revoke this franchise agreement if Company
does not file a written acceptance with the City within 90 days after publication.
2.3 Service and Rates. The service to be provided and the rates to be charged by
Company for electric service in City are subject to the jurisdiction of the Commission. The area
within the City in which Company may provide electric service is subject to the provisions of
Minnesota Statutes, Section 21613.40.
2.4 Publication Expense. The expense of publication of this Ordinance will be paid by
City and reimbursed to City by Company.
2.5 Dispute Resolution. If either party asserts that the other parry is in default in the
performance of any obligation hereunder, the complaining party shall notify the other party of the
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default and the desired remedy. The notification shall be written. Representatives of the parties
must promptly meet and attempt in good faith to negotiate a resolution of the dispute. If the dispute
is not resolved within 30 days of the written notice, the parties may jointly select a mediator to
facilitate further discussion. The parties will equally share the fees and expenses of this mediator.
If a mediator is not used or if the parties are unable to resolve the dispute within 30 days after first
meeting with the selected mediator, either party may commence an action in District Court to
interpret and enforce this franchise or for such other relief as may be permitted by law or equity for
breach of contract, or either party may take any other action permitted by law.
2.6. Continuation of Franchise. If this franchise expires and the City and the Company
are unable to agree on the terms of a new franchise, this franchise, including any amendments
thereto, will remain in effect until a new franchise is agreed upon, or until 90 days after the City or
the Company serves written Notice to the other party of their intention to allow the franchise
agreement to expire, but in no event shall the franchise continue for more than one (1) year after
expiration of the 20-year term set forth in Section 2.1.
SECTION 3. LOCATION, OTHER REGULATIONS.
3.1 Location of Facilities. Electric Facilities shall be located, constructed and
maintained so as not to interfere with the safety and convenience of ordinary travel along and over
Public Ways and so as not to disrupt normal operation of any City Utility System previously
installed therein. Electric Facilities shall be located on Public Grounds as determined by the City.
Company's construction, reconstruction, operation, repair, maintenance and location of Electric
Facilities shall be subject to permits if required by separate ordinance and to other reasonable
regulations of the City to the extent not inconsistent with the terms of this franchise agreement.
Under this franchise agreement, the City does not relinquish its police power or regulatory authority
and the Company does not relinquish its eminent domain authority.
3.2 Field Locations. Company shall provide field locations for its underground Electric
Facilities within City consistent with the requirements of Minnesota Statutes, Chapter 216D.
3.3 Street Openings. Company shall not open or disturb any Public Way or Public
Ground for any purpose without first having obtained a permit from the City, if required by a
separate ordinance, for which the City may impose a reasonable fee. Permit conditions imposed on
Company shall not be more burdensome than those imposed on other private, non -City owned
utilities for similar facilities or work. Company may, however, open and disturb any Public Way or
Public Ground without permission from the City where an emergency exists requiring the
immediate repair of Electric Facilities. In such event Company shall notify the City by telephone to
the office designated by the City as soon as practicable. Not later than the second working day
thereafter, Company shall obtain any required permits and pay any required fees.
3.4 Restoration. After undertaking any work requiring the opening of any Public Way
or Public Ground, Company shall restore the same, including paving and its foundation, to as good
a condition as formerly existed, and shall maintain any paved surface in good condition for two
years thereafter. The work shall be completed as promptly as weather permits, and if Company
shall not promptly perform and complete the work, remove all dirt, rubbish, equipment and
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material, and put the Public Way or Public Ground in the said condition, the City shall have, after
demand to Company to cure and the passage of a reasonable period of time following the demand,
but not to exceed five days, the right to make the restoration at the expense of Company. Company
shall pay to the City the cost of such work done for or performed by the City. This remedy shall be
in addition to any other remedy available to the City for noncompliance with this Section 3.4, but
the City hereby waives any requirement for Company to post a construction performance bond,
certificate of insurance, letter of credit or any other. form of security or assurance that may be
required, under a separate existing or future ordinance of the City, of a person or entity obtaining
the City's permission to install, replace or maintain facilities in a Public Way.
3.5 Avoid Damage to Electric Facilities. Nothing in this Ordinance relieves any person
from liability arising out of the failure to exercise reasonable care to avoid damaging Electric
Facilities while performing any activity.
3.6 Notice of Improvements. The City must give Company reasonable notice of plans
for improvements to Public Ways or Public Ground where the City has reason to believe that
Electric Facilities may affect or be affected by the improvement. The notice must contain: (i) the
nature and character of the improvements, (ii) the Public Ways and Public Grounds upon which the
improvements are to be made, (iii) the extent of the improvements, (iv) the time when the City will
start the work, and (v) if more than one Public Way or Public Ground is involved, the order in
which the work is to proceed. The notice must be given to Company a sufficient length of time in
advance of the actual commencement of the work to permit Company to make any necessary
additions, alterations or repairs to its Electric Facilities.
3.7 Shared Use of Poles. Company shall make space available on its poles or towers for
City fire, water utility, police or other City facilities whenever such use will not interfere with the
use of such poles or towers by Company, by another electric utility, by a telephone utility, or by any
cable television company or other form of communication company. In addition, the City shall pay
for any added cost incurred by Company because of such use by City.
3.8. Abandoned Facilities. Company may abandon underground Electric Facilities in
place, provided, at City's request, Company will remove abandoned Electric Facilities interfering
with a City improvement project, but only to the extent such Electric Facilities are uncovered by
excavation as part of the City improvement project, and provided that the Company shall perforate
the bottom of all unremoved vaults and fill such vaults with sand until such time as their removal
may be required under the provisions of this Agreement. The Company shall preserve and maintain
records describing the location of all abandoned and retired facilities within the City, produce such
records at the City's request, and comply with the location requirements of Minnesota Statutes
Section 216D.04 with respect to all facilities, including abandoned and retired facilities.
3.9 Mapping Information. The Company must promptly provide mapping information
for any of its Electric Facilities in accordance with the requirements and Minnesota Rules Part
7819.4000 and 7819.4100.
M
PTO
SECTION 4. RELOCATIONS.
4.1 Relocation of Electric Facilities in Public Ways. If the City determines to vacate a
Public Way for a City improvement project, or at City's cost to grade, regrade, or change the line of
any Public Way, or alter or reroute the traveled surface of any Public Way or construct or
reconstruct any City Utility System in any Public Way, it may order Company to relocate its
Electric Facilities located therein if relocation is reasonably necessary to accomplish the City's
proposed public improvement. Except as provided in Section 4.3, Company shall relocate its
Electric Facilities at its own expense. The City shall give Company reasonable notice of plans to
vacate for a City improvement project, or to grade, regrade, or change the line of any Public Way or
to construct or reconstruct any City Utility System. Nothing in this Ordinance requires Company to
relocate, remove, replace or reconstruct at its own expense its Electric Facilities where such
relocation, removal, replacement or reconstruction is: 1) solely for the convenience of the City and
is not reasonably necessary for the construction or reconstruction of a Public Way or City Utility
System or other City improvement; or 2) reasonably necessary for the safety of the traveling public.
4.2 Relocation of Electric Facilities in Public Ground. Except as provided in Section
4.3 below, the City may require Company at Company's expense to relocate or remove its Electric
Facilities from Public Ground upon a finding by City that the Electric Facilities have become or
will become a substantial impairment to the existing or proposed public use of the Public Ground.
Relocation shall comply with applicable City Code ordinances and other applicable law.
4.3 Projects with Federal Funding. Relocation, removal, or rearrangement of any
Company Electric Facilities made necessary because of the extension into or through City of a
federally -aided highway project shall be governed by the provisions of Minnesota Statutes, Section
161.46, as supplemented or amended. It is understood that the right herein granted to Company is a
valuable right. City shall not order Company to remove or relocate its Electric Facilities when a
Public Way is vacated, improved or realigned because of a renewal or a redevelopment plan which
is financially subsidized in whole or in part by the Federal Government or any agency thereof,
unless the reasonable non -betterment costs of such relocation and the loss and expense resulting
therefrom are first paid to Company, but the City need not pay those portions of such for which
reimbursement to it is not available.
4.4. Waiver. The provisions of this franchise apply only to facilities constructed in
reliance on a franchise from the City and shall not be construed to waive or modify any rights
obtained by Company for installations within a Company right-of-way acquired by easement or
prescriptive right before the applicable Public Ground or Public Way was established, or
Company's rights under state or county permit.
SECTION 5. TREE TRIMMING.
Company may trim all trees and shrubs in the Public Ways and Public Grounds of City to
the extent Company finds necessary to avoid interference with the proper construction, operation,
repair and maintenance of any Electric Facilities installed hereunder, provided that Company shall
save the City harmless from any liability arising therefrom, and subject to permit or other
reasonable regulation by the City.
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SECTION 6. INDEMNIFICATION.
6.1 Indemnity of City. Company shall indemnify, keep and hold the City free and
harmless from any and all liability on account of injury to or death of persons or damage to property
occasioned by the construction, maintenance, repair, inspection, the issuance of permits, or the
operation of the Electric Facilities located in the Public Ways and Public Grounds. The City shall
not be indemnified for losses or claims to the extent such loss was occasioned through its own
negligence except for losses or claims arising out of or alleging the City's negligence as to the
issuance of permits for, or inspection of, Company's plans or work.
6.2 Defense of City. In the event a suit is brought against the City under circumstances
where this agreement to indemnify applies, Company at its sole cost and expense shall defend the
City in such suit if written notice thereof is promptly given to Company within a period wherein
Company is not prejudiced by lack of such notice. If Company is required to indemnify and
defend, it will thereafter have control of such litigation, but Company may not settle such litigation
without the consent of the City, which consent shall not be unreasonably withheld. This section is
not, as to third parties, a waiver of any defense or immunity otherwise available to the City; and
Company, in defending any action on behalf of the City shall be entitled to assert in any action
every defense or immunity that the City could assert in its own behalf.
SECTION 7. VACATION OF PUBLIC WAYS.
The City shall give Company at least two weeks prior written notice of a proposed vacation
of a Public Way. Except where required for a City improvement project, the vacation of any Public
Way, after the installation of Electric Facilities, shall not operate to deprive Company of its rights to
operate and maintain such Electric Facilities, until the reasonable cost of relocating the same and
the loss and expense resulting from such relocation are first paid to Company. In no case, however,
shall City be liable to Company for failure to specifically preserve a right-of-way under Minnesota
Statutes, Section 160.29. . In accordance with Minnesota Rules, Part 7819.3200, if the City's order
directing vacation of the Public Way does not require relocation of the Company's Electric
Facilities to prevent interference with a current public improvement, the vacation proceedings shall
not be deemed to deprive Company of its right to continue to use the right-of-way of the former
Public Way for its Electric Facilities installed prior to such order of vacation.
SECTION 8. CHANGE IN FORM OF GOVERNMENT.
Any change in the form of government of the City shall not affect the validity of this
Ordinance. Any governmental unit succeeding the City shall, without the consent of Company,
succeed to all of the rights and obligations of the City provided in this Ordinance.
SECTION 9. FRANCHISE FEE.
9.1 Fee Schedule. During the term of the franchise hereby granted, and in lieu of any
permit or other fees being imposed on Company the City may impose on Company a franchise
fee not to exceed five percent (5%) of the Company's Gross Revenues, as hereinafter defined, by
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collecting the amounts calculated on a flat fee per meter/per class, per/month basis as indicated in
a Fee Schedule set forth in a separate ordinance from each customer in the designated Customer
Classification for service at each and every customer location, based on a Fee Schedule form
similar to the following:
Class
Residential
Sm C & I — Non-Dem
Sm C & I — Demand
Large C & I
Public Street Lighting
Muni Pumping N/D
Muni Pumping Dem
Fee Per Premise Per Month
In the event the City desires to collect a franchise fee as set forth above, the City shall
give Company Notice of its intent to impose such a franchise fee by separate ordinance. Such
Notice shall set out the proposed franchise fee as a percentage of the Company's Gross Revenues
received from customers served within the City of Albertville and shall be calculated in an
amount consistent with this franchise agreement. Upon receipt of such Notice, Company shall
prepare and deliver to City within 30 days of such Notice a fee schedule that imposes said
franchise fee upon the classes of users set forth above. The annual franchise fee imposed upon
each class of user as set forth in the Fee Schedule form shall, to the extent reasonably possible,
not exceed the percentage being collected from any other class of user.
9.2 Separate Ordinance. The franchise fee shall be imposed by separate ordinance
duly adopted by the City Council, which ordinance shall not be adopted until at least thirty (30)
days after written notice enclosing such proposed ordinance has been served upon the Company
by certified mail, and written acceptance or refusal to accept thereof by Company. No action by
the City to implement a separate ordinance will commence until this Ordinance is effective.
9.3 Terms Defined. For the purpose of this Section 9, the following definitions
apply:
9.3.1 "Customer Classification" shall refer to the classes listed on the Fee
Schedule and as defined or determined in Company's electric tariffs on file with the
Commission.
9.3.2 "Fee Schedule" refers to the schedule in Section 9.1 setting forth the various
customer classes from which a franchise fee would be collected if a separate ordinance
were implemented immediately after the effective date of this franchise agreement. The
Fee Schedule in the separate ordinance may include new Customer Classifications added
by Company to its electric tariffs after the effective date of this franchise agreement
9.3.3 "Gross Revenue" means all sums, excluding any surcharge or similar
addition to the Company's charges to customers for the purpose of reimbursing the
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Company for the cost resulting from the franchise fee, received by the Company from the
sale of electricity to its retail customers within the corporate limits of the City.
9.4 Collection of the Fee. The franchise fee shall be paid based on the amount
collected by Company during complete billing months during the period for which payment is to
be made by imposing a surcharge ("additional fee") equal to the designated franchise fee for the
applicable Customer Classification in all customer billings for metered service in each class. The
payment shall be paid four times a year and due the last business day of the calendar month
following the end of each quarter (payments being due January 31, April 30, July 31, and
October 31 during each calendar year). The franchise fee may be changed by ordinance from time
to time; however, each change shall meet the same notice requirements and not occur more often
than annually, and no change shall require a collection from any customer for metered service in
excess of the amounts specifically permitted by this Section 9. The time and manner of collecting
the franchise fee is subject to the approval of the Commission, which Company agrees to use its
best efforts to obtain. Said franchise fee shall be payable by Company only to the extent
Company is legally able to first collect an amount equal to the franchise fee from its customers in
each applicable class of customers by imposing a surcharge in Company's applicable rate for
electric service. Company may pay the City the fee based upon the surcharge billed subject to
subsequent reductions to account for uncollectibles, refunds and correction of erroneous billings.
Company agrees to make its records available for inspection by the City at reasonable times
provided that the City and its designated representative agree in writing not to disclose any
information which would indicate the amount paid by any identifiable customer or customers or
any other information regarding identified customers, unless the City is required to disclose such
information under applicable state or federal law.
9.5 Equivalent Fee Requirement. The separate ordinance imposing the fee shall not
be effective against Company unless it lawfully imposes and the City quarterly or more often
collects a fee or tax of the same or greater equivalent amount on the receipts from retail sales of
electrical energy within the City by any other retail electrical energy supplier, provided that, as to
such a supplier, the City has the authority to require a franchise fee or to impose a tax without
abrogating an existing franchise agreement.
SECTION 10. PROVISIONS OF ORDINANCE.
10.1 Severability. Every section, provision, or part of this Ordinance is declared
separate from every other section, provision, or part; and if any section, provision, or part shall be
held invalid, it shall not affect any other section, provision, or part. Where a provision of any
other City ordinance conflicts with the provisions of this Ordinance, the provisions of this
Ordinance shall prevail.
10.2 Limitation on Applicability. This Ordinance constitutes a franchise agreement
between the City and Company as the only parties and no provision of this franchise shall in any
way inure to the benefit of any third person (including the public at large) so as to constitute any
such person as a third parry beneficiary of the agreement or of any one or more of the terms
hereof, or otherwise give rise to any cause of action in any person not a party hereto.
10.3 Waiver. This franchise agreement shall not be interpreted to constitute a waiver
of the City of any of its defenses of immunity or limitations on liability under any applicable law,
including, but not limited to the provisions of Minnesota Statutes Chapter 466.
SECTION 11. AMENDMENT PROCEDURE.
Either party to this franchise agreement may at any time propose that the agreement be amended to
address a subject of concern and the other parry will consider whether it agrees that the amendment
is mutually appropriate. If an amendment is agreed upon, this Ordinance may be amended at any
time by the City passing a subsequent ordinance declaring the provisions of the amendment,
which amendatory ordinance shall become effective upon the filing of Company's written
consent thereto with the City Clerk within 90 days after the date of final passage by the City of
the amendatory ordinance.
SECTION 12. PREVIOUS FRANCHISES SUPERSEDED.
This franchise supersedes any previous electric franchise granted to Company or its
predecessor.
Passed and approved:
Attest:
Bridget Miller, City Clerk
Date Published:
2008.
Ron Klecker, Mayor
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WRIGHT HENNEPIN ELECTRIC COOP FRANCHISE ORDINANCE
ORDINANCE NO.2009-
CITY OF ALBERTVILLE, WRIGHT COUNTY, MINNESOTA
AN ORDINANCE GRANTING TO WRIGHT HENNEPIN COOPERATIVE
ELECTRIC ASSOCIATION, A MINNESOTA CORPORATION, ITS SUCCESSORS
AND ASSIGNS, PERMISSION TO CONSTRUCT, OPERATE, REPAIR AND MAINTAIN
IN THE CITY OF ALBERTVILLE, MINNESOTA, AN ELECTRIC DISTRIBUTION
SYSTEM AND TRANSMISSION LINES, INCLUDING NECESSARY POLES, LINES,
FIXTURES AND APPURTENANCES, FOR THE FURNISHING OF ELECTRIC
ENERGY TO THE CITY, ITS INHABITANTS, AND OTHERS, AND TO USE THE
PUBLIC WAYS AND PUBLIC GROUNDS OF THE CITY FOR SUCH PURPOSES.
THE CITY COUNCIL OF THE CITY OF ALBERTVILLE, WRIGHT COUNTY,
MINNESOTA, ORDAINS:
SECTION 1. DEFINITIONS.
For purposes of this Ordinance, the following capitalized terms listed in alphabetical order
shall have the following meanings:
City. The City of Albertville, County of Wright, State of Minnesota.
City Utility System. Facilities used for providing non -energy related public utility service
owned or operated by City or agency thereof, including sewer and water service, but excluding
facilities for providing heating, lighting or other forms of energy.
Commission. The Minnesota Public Utilities Commission, or any successor agency or
agencies, including an agency of the federal government which preempts all or part of the authority
to regulate electric retail rates now vested in the Minnesota Public Utilities Commission.
Company. Wright Hennepin Cooperative Electric Association, its successors and assigns.
Electric Facilities. Electric transmission and distribution towers, poles, lines, guys,
anchors, conduits, fixtures, and necessary appurtenances owned or operated by Company for the
purpose of providing electric energy for public use.
Gross Revenues. Gross Revenues means all sums, excluding any surcharge or similar
addition to the Company's charges to customers for the purpose of reimbursing the Company for
the cost resulting from the franchise fee, received by the Company from the sale of electric energy
to its retail customers within the corporate limits of the City.
Non -Betterment Costs. Costs incurred by Company from relocation, removal or
rearrangement of Electric Facilities that do not result in an improvement to the Electric Facilities.
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Notice. A written notice served by one parry on the other parry referencing one or more
provisions of this Ordinance. Notice to Company shall be mailed to Wright -Hennepin
Cooperative Electric Association, PO Box 330, Rockford, MN 55373. Notice to the City shall be
mailed to the City Administrator, City Hall, 5959 Main Avenue NE, P.O. Box 9, Albertville, MN
55301. Either parry may change its respective address for the purpose of this Ordinance by
written notice to the other party.
Public Ground. Land owned by the City for park, open space or similar purpose, which is
held for use in common by the public.
Public Way. The area on, below or above a public roadway, highway, street, cart way,
bicycle lane, and public sidewalk in which the City has an interest, including other dedicated rights -
of -way for travel purposes and utility and drainage easements of the City.
SECTION 2. ADOPTION OF FRANCHISE.
2.1 Grant of Franchise. City hereby grants Company, for a period of 20 years from the
date passed and approved by the City, the right to transmit and furnish electric energy for light, heat,
power and other purposes for public and private use within and through the limits of the City as its
boundaries now exist or as they may be extended in the future. For these purposes, Company may
construct, operate, repair and maintain Electric Facilities in, on, over, under and across the Public
Ways and Public Grounds of City, subject to the provisions of this Ordinance. Company may do all
reasonable things necessary or customary to accomplish these purposes, subject, however, to such
reasonable regulations as may be imposed by the City pursuant to ordinance and to the further
provisions of this franchise agreement. Two years prior to expiration of this franchise agreement,
the parties will meet and discuss renewal of this franchise agreement.
2.2 Effective Date; Written Acceptance. This franchise agreement shall be in force and
effect from and after passage of this Ordinance, its acceptance by Company, and its publication as
required by law. The City by Council resolution may revoke this franchise agreement if Company
does not file a written acceptance with the City within 90 days after publication.
2.3 Service and Rates. The service to be provided and the rates to be charged by
Company for electric service in City are not subject to the jurisdiction of the Commission. The area
within the City in which Company may provide electric service is subject to the provisions of
Minnesota Statutes, Section 21613.40.
2.4 Publication Expense. The expense of publication of this Ordinance will be paid by
City and reimbursed to City by Company.
2.5 Dispute Resolution. If either party asserts that the other party is in default in the
performance of any obligation hereunder, the complaining party shall notify the other party of the
default and the desired remedy. The notification shall be written. Representatives of the parties
must promptly meet and attempt in good faith to negotiate a resolution of the dispute. If the dispute
is not resolved within 30 days of the written notice, the parties may jointly select a mediator to
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M.
facilitate further discussion. The parties will equally share the fees and expenses of this mediator.
If a mediator is not used or if the parties are unable to resolve the dispute within 30 days after first
meeting with the selected mediator, either parry may commence an action in District Court to
interpret and enforce this franchise or for such other relief as may be permitted by law or equity for
breach of contract, or either party may take any other action permitted by law.
2.6. Continuation of Franchise. If this franchise expires and the City and the Company
are unable to agree on the terms of a new franchise, this franchise, including any amendments
thereto, will remain in effect until a new franchise is agreed upon, or until 90 days after the City or
the Company serves written Notice to the other party of their intention to allow the franchise
agreement to expire, but in no event shall the franchise continue for more than one (1) year after
expiration of the 20-year term set forth in Section 2.1.
SECTION 3. LOCATION, OTHER REGULATIONS.
3.1 Location of Facilities. Electric Facilities shall be located, constructed and
maintained so as not to interfere with the safety and convenience of ordinary travel along and over
Public Ways and so as not to disrupt normal operation of any City Utility System previously
installed therein. Electric Facilities shall be located on Public Grounds as determined by the City.
Company's construction, reconstruction, operation, repair, maintenance and location of Electric
Facilities shall be subject to permits if required by separate ordinance and to other reasonable
regulations of the City to the extent not inconsistent with the terms of this franchise agreement.
Under this franchise agreement, the City does not relinquish its police power or regulatory authority
and the Company does not relinquish its eminent domain authority.
3.2 Field Locations. Company shall provide field locations for its underground Electric
Facilities within City consistent with the requirements of Minnesota Statutes, Chapter 216D.
3.3 Street Openings. Company shall not open or disturb any Public Way or Public
Ground for any purpose without first having obtained a permit from the City, if required by a
separate ordinance, for which the City may impose a reasonable fee. Permit conditions imposed on
Company shall not be more burdensome than those imposed on other private, non -City owned
utilities for similar facilities or work. Company may, however, open and disturb any Public Way or
Public Ground without permission from the City where an emergency exists requiring the
immediate repair of Electric Facilities. In such event Company shall notify the City by telephone to
the office designated by the City as soon as practicable. Not later than the second working day
thereafter, Company shall obtain any required permits and pay any required fees.
3.4 Restoration. After undertaking any work requiring the opening of any Public Way
or Public Ground, Company shall restore the same, including paving and its foundation, to as good
a condition as formerly existed, and shall maintain any paved surface in good condition for two
years thereafter. The work shall be completed as promptly as weather permits, and if Company
shall not promptly perform and complete the work, remove all dirt, rubbish, equipment and
material, and put the Public Way or Public Ground in the said condition, the City shall have, after
demand to Company to cure and the passage of a reasonable period of time following the demand,
but not to exceed five business days, the right to make the restoration at the expense of Company.
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Company shall pay to the City the cost of such work done for or performed by the City. This
remedy shall be in addition to any other remedy available to the City for noncompliance with this
Section 3.4, but the City hereby waives any requirement for Company to post a construction
performance bond, certificate of insurance, letter of credit or any other form of security or assurance
that may be required, under a separate existing or future ordinance of the City, of a person or entity
obtaining the City's permission to install, replace or maintain facilities in a Public Way.
3.5 Avoid Damage to Electric Facilities. Nothing in this Ordinance relieves any person
from liability arising out of the failure to exercise reasonable care to avoid damaging Electric
Facilities while performing any activity.
3.6 Notice of Improvements. The City must give Company reasonable notice of plans
for improvements to Public Ways or Public Ground where the City has reason to believe that
Electric Facilities may affect or be affected by the improvement. The notice must contain: (i) the
nature and character of the improvements, (ii) the Public Ways and Public Grounds upon which the
improvements are to be made, (iii) the extent of the improvements, (iv) the time when the City will
start the work, and (v) if more than one Public Way or Public Ground is involved, the order in
which the work is to proceed. The notice must be given to Company a sufficient length of time in
advance of the actual commencement of the work to permit Company to make any necessary
additions, alterations or repairs to its Electric Facilities.
3.7 Shared Use of Poles. Company shall make space available on its poles or towers for
City fire, water utility, police or other City facilities whenever such use meets all applicable safety
and clearance standards and will not interfere with the use of such poles or towers by Company, by
another electric utility, by a telephone utility, or by any cable television company or other form of
communication company. In addition, the City shall pay for any added cost incurred by Company
because of such use by City.
3.8. Abandoned Facilities. Company may abandon underground Electric Facilities in
place, provided, at City's request, Company will remove abandoned Electric Facilities interfering
with a City improvement project, but only to the extent such Electric Facilities are uncovered by
excavation as part of the City improvement project, and provided that the Company shall perforate
the bottom of all unremoved vaults and fill such vaults with sand until such time as their removal
may be required under the provisions of this Agreement. The Company shall preserve and maintain
records describing the location of all abandoned and retired facilities within the City, produce such
records at the City's request, and comply with the location requirements of Minnesota Statutes
Section 216D.04 with respect to all facilities, including abandoned and retired facilities.
3.9 Mapping Information. The Company must promptly provide mapping information
for any of its Electric Facilities in accordance with the requirements and Minnesota Rules Part
7819.4000 and 7819.4100.
SECTION 4. RELOCATIONS.
4.1 Relocation of Electric Facilities in Public Ways. If the City determines to vacate a
Public Way for a City improvement project, or at City's cost to grade, regrade, or change the line of
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any Public Way, or alter or reroute the traveled surface of any Public Way or construct or
reconstruct any City Utility System in any Public Way, it may order Company to relocate its
Electric Facilities located therein if relocation is reasonably necessary to accomplish the City's
proposed public improvement. Except as provided in Section 4.3, Company shall relocate its
Electric Facilities at its own expense. The City shall give Company reasonable notice of plans to
vacate for a City improvement project, or to grade, regrade, or change the line of any Public Way or
to construct or reconstruct any City Utility System. Nothing in this Ordinance requires Company to
relocate, remove, replace or reconstruct at its own expense its Electric Facilities where such
relocation, removal, replacement or reconstruction is: 1) solely for the convenience of the City and
is not reasonably necessary for the construction or reconstruction of a Public Way or City Utility
System or other City improvement; or 2) reasonably necessary for the safety of the traveling public.
4.2 Relocation of Electric Facilities in Public Ground. Except as provided in Section
4.3 below, the City may require Company at Company's expense to relocate or remove its Electric
Facilities from Public Ground upon a finding by City that the Electric Facilities have become or
will become a substantial impairment to the existing or proposed public use of the Public Ground.
Relocation shall comply with applicable City Code ordinances and other applicable law.
4.3 Projects with Federal Funding. Relocation, removal, or rearrangement of any
Company Electric Facilities made necessary because of the extension into or through City of a
federally -aided highway project shall be governed by the provisions of Minnesota Statutes, Section
161.46, as supplemented or amended. It is understood that the right herein granted to Company is a
valuable right. City shall not order Company to remove or relocate its Electric Facilities when a
Public Way is vacated, improved or realigned because of a renewal or a redevelopment plan which
is financially subsidized in whole or in part by the Federal Government or any agency thereof,
unless the reasonable non -betterment costs of such relocation and the loss and expense resulting
therefrom are first paid to Company, but the City need not pay those portions of such for which
reimbursement to it is not available.
4.4. Waiver. The provisions of this franchise apply only to facilities constructed in
reliance on a franchise from the City and shall not be construed to waive or modify any rights
obtained by Company for installations within a Company right-of-way acquired by easement or
prescriptive right before the applicable Public Ground or Public Way was established, or
Company's rights under state or county permit.
SECTION 5. TREE TRIMMING.
Company may trim all trees and shrubs in the Public Ways and Public Grounds of City to
the extent Company finds necessary to avoid interference with the proper construction, operation,
repair and maintenance of any Electric Facilities installed hereunder, provided that Company shall
save the City harmless from any liability arising therefrom, and subject to permit or other
reasonable regulation by the City.
SECTION 6. INDEMNIFICATION.
G
63
6.1 Indemnity of City. Company shall indemnify, keep and hold the City free and
harmless from any and all liability on account of injury to or death of persons or damage to property
occasioned by the construction, maintenance, repair, inspection, the issuance of permits, or the
operation of the Electric Facilities located in the Public Ways and Public Grounds. The City shall
not be indemnified for losses or claims to the extent such loss was occasioned through its own
negligence except for losses or claims arising out of or alleging the City's negligence as to the
issuance of permits for, or inspection of, Company's plans or work.
6.2 Defense of City. In the event a suit is brought against the City under circumstances
where this agreement to indemnify applies, Company at its sole cost and expense shall defend the
City in such suit if written notice thereof is promptly given to Company within a period wherein
Company is not prejudiced by lack of such notice. If Company is required to indemnify and
defend, it will thereafter have control of such litigation, but Company may not settle such litigation
without the consent of the City, which consent shall not be unreasonably withheld. This section is
not, as to third parties, a waiver of any defense or immunity otherwise available to the City; and
Company, in defending any action on behalf of the City shall be entitled to assert in any action
every defense or immunity that the City could assert in its own behalf.
SECTION 7. VACATION OF PUBLIC WAYS.
The City shall give Company at least two weeks prior written notice of a proposed vacation
of a Public Way. Except where required for a City improvement project, the vacation of any Public
Way, after the installation of Electric Facilities, shall not operate to deprive Company of its rights to
operate and maintain such Electric Facilities, until the reasonable cost of relocating the same and
the loss and expense resulting from such relocation are first paid to Company. In no case, however,
shall City be liable to Company for failure to specifically preserve a right-of-way under Minnesota
Statutes, Section 160.29. In accordance with Minnesota Rules, Part 7819.3200, if the City's order
directing vacation of the. Public Way does not require relocation of the Company's Electric
Facilities to prevent interference with a current public improvement, the vacation proceedings shall
not be deemed to deprive Company of its right to continue to use the right-of-way of the former
Public Way for its Electric Facilities installed prior to such order of vacation.
SECTION 8. CHANGE IN FORM OF GOVERNMENT.
Any change in the form of government of the City shall not affect the validity of this
Ordinance. Any governmental unit succeeding the City shall, without the consent of Company,
succeed to all of the rights and obligations of the City provided in this Ordinance.
SECTION 9. FRANCHISE FEE.
9.1 Fee Schedule. During the term of the franchise hereby granted, and in lieu of any
permit or other fees being imposed on Company the City may impose on Company a franchise
fee not to exceed five percent (5%) of the Company's Gross Revenues, as hereinafter defined, by
collecting the amounts calculated on a flat fee per meter/per class, per/month basis as indicated in
a Fee Schedule set forth in a separate ordinance from each customer in the designated Customer
31
Classification for service at each and every customer location, based on a Fee Schedule form
similar to the following:
Class
Residential
Sm C & I — Non -Derr
Sm C & I — Demand
Large C&I
Public Street Lighting
Muni Pumping N/D
Muni Pumping Dem
Fee Per Premise Per Month
In the event the City desires to collect a franchise fee as set forth above, the City shall
give Company Notice of its intent to impose such a franchise fee by separate ordinance. Such
Notice shall set out the proposed franchise fee as a percentage of the Company's Gross Revenues
received from customers served within the City of Albertville and shall be calculated in an
amount consistent with this franchise agreement. Upon receipt of such Notice, Company shall
prepare and deliver to City within 30 days of such Notice a fee schedule that imposes said
franchise fee upon the classes of users set forth above. The annual franchise fee imposed upon
each class of user as set forth in the Fee Schedule form shall, to the extent reasonably possible,
not exceed the percentage being collected from any other class of user.
9.2 Separate Ordinance. The franchise fee shall be imposed by separate ordinance
duly adopted by the City Council, which ordinance shall not be adopted until at least thirty (30)
days after written notice enclosing such proposed ordinance has been served upon the Company
by certified mail, and written acceptance or refusal to accept thereof by Company. No action by
the City to implement a separate ordinance will commence until this Ordinance is effective.
9.3 Terms Defined. For the purpose of this Section 9, the following definitions
apply:
9.3.1 "Customer Classification" shall refer to the classes listed on the Fee
Schedule and as defined or determined in Company's electric tariffs.
9.3.2 "Fee Schedule" refers to the schedule in Section 9.1 setting forth the various
customer classes from which a franchise fee would be collected if a separate ordinance
were implemented immediately after the effective date of this franchise agreement. The
Fee Schedule in the separate ordinance may include new Customer Classifications added
by Company to its electric tariffs after the effective date of this franchise agreement
9.3.3 "Gross Revenue" means all sums, excluding any surcharge or similar
addition to the Company's charges to customers for the purpose of reimbursing the
Company for the cost resulting from the franchise fee, received by the Company from the
sale of electricity to its retail customers within the corporate limits of the City.
7
65
9.4 Collection of the Fee. The franchise fee shall be paid based on the amount
collected by Company during complete billing months during the period for which payment is to
be made by imposing a surcharge ("additional fee") equal to the designated franchise fee for the
applicable Customer Classification in all customer billings for metered service in each class. The
payment shall be paid four times a year and due the last business day of the calendar month
following the end of each quarter (payments being due January 31, April 30, July 31, and
October 31 during each calendar year). The franchise fee may be changed by ordinance from time
to time; however, each change shall meet the same notice requirements and not occur more often
than annually, and no change shall require a collection from any customer for metered service in
excess of the amounts specifically permitted by this Section 9. Said franchise fee shall be payable
by Company only to the extent Company is legally able to first collect an amount equal to the
franchise fee from its customers in each applicable class of customers by imposing a surcharge in
Company's applicable rate for electric service. Company may pay the City the fee based upon the
surcharge billed subject to subsequent reductions to account for uncollectibles, refunds and
correction of erroneous billings. Company agrees to make its records available for inspection by
the City at reasonable times provided that the City and its designated representative agree in
writing not to disclose any information which would indicate the amount paid by any identifiable
customer or customers or any other information regarding identified customers, unless the City is
required to disclose such information under applicable state or federal law.
9.5 Equivalent Fee Requirement. The separate ordinance imposing the fee shall not
be effective against Company unless it lawfully imposes and the City quarterly or more often
collects a fee or tax of the same or greater equivalent amount on the receipts from retail sales of
electrical energy within the City by any other retail electrical energy supplier, provided that, as to
such a supplier, the City has the authority to require a franchise fee or to impose a tax without
abrogating an existing franchise agreement.
SECTION 10. PROVISIONS OF ORDINANCE.
10.1 Severability. Every section, provision, or part of this Ordinance is declared
separate from every other section, provision, or part; and if any section, provision, or part shall be
held invalid, it shall not affect any other section, provision, or part. Where a provision of any
other City ordinance conflicts with the provisions of this Ordinance, the provisions of this
Ordinance shall prevail.
10.2 Limitation on Applicability. This Ordinance constitutes a franchise agreement
between the City and Company as the only parties and no provision of this franchise shall in any
way inure to the benefit of any third person (including the public at large) so as to constitute any
such person as a third party beneficiary of the agreement or of any one or more of the terms
hereof, or otherwise give rise to any cause of action in any person not a parry hereto.
10.3 Waiver. This franchise agreement shall not be interpreted to constitute a waiver
of the City of any of its defenses of immunity or limitations on liability under any applicable law,
including, but not limited to the provisions of Minnesota Statutes Chapter 466.
M.
SECTION 11. AMENDMENT PROCEDURE.
Either parry to this franchise agreement may at any time propose that the agreement be amended to
address a subject of concern and the other party will consider whether it agrees that the amendment
is mutually appropriate. If an amendment is agreed upon, this Ordinance may be amended at any
time by the City passing a subsequent ordinance declaring the provisions of the amendment,
which amendatory ordinance shall become effective upon the filing of Company's written
consent thereto with the City Clerk within 90 days after the date of final passage by the City of
the amendatory ordinance.
SECTION 12. PREVIOUS FRANCHISES SUPERSEDED.
This franchise supersedes any previous electric franchise granted to Company or its
predecessor.
Passed and approved:
Attest:
Bridget Miller, City Clerk
Date Published:
Ron Klecker, Mayor
I
67
A.1b£Y" tV1ll£ Mayor and Council Communication
September 3, 2009
SUBJECT: LEGAL - AMENDMENTS TO TOWNE LAKES 6TH ADDITION DEVELOPER'S
AGREEMENT AND FEASIBILITY STUDY AGREEMENT
RECOMMENDATION: It is respectfully requested that the Mayor and Council consider the
following motions:
Motion: approve AMENDMENT TO PLANNED UNIT DEVELOPMENT AGREEMENT
TOWNE LAKES 6TH ADDITION
and
Motion: approve AGREEMENT RELATING TO COST OF UTILITY INSTALLATION
BACKGROUND: Contractor's Property Developer Company ("CPDC") was the developer for
Towne Lakes 61h Addition. In 2005, the City entered into a developer's agreement with CPDC
for Towne Lakes 6th Addition which required, among other things, that CPDC install a sewer and
water line from the 6th Addition property to the Hunters Pass property. While CPDC did install
the sewer line, they never installed the water line. In addition, CPDC did not finish installing the
wear course on many of the streets, did not construct a private road required to serve a number of
townhome lots, and failed to complete other required improvements. The City is holding a letter
of credit in the amount of $268,638.00 from Alliance Bank to secure the performance of CPDC.
CPDC has since gone out of business, and M&I Bank has succeeded to Alliance Bank's
mortgage in the Towne Lakes 61h Addition property. M&I Bank now owns the vacant 6th
Addition properties. Adam Nafstad has been working with M&I regarding the completion of
some of the outstanding items and the deferral of the remaining items until 2010. The attached
amendment to the developer's agreement represents the product of these discussions.
Under the proposed amendment, M&I will have the watermain to Hunters Pass installed this
year, but the deadline for a number of other required improvements (most of which should have
been done several years ago) will be extended to October 31, 2010. M&I would initially like to
have the City bid out the watermain project, and perhaps install it should the bids come back
favorable.
To ensure that the City will be paid for preparing the plans and specifications, the Staff is
proposing that the City enter into that attached Agreement Relating to Cost of Utility Installation.
Under this agreement, the City will prepare a feasibility study and bid the project out. If the bids
are acceptable, M&I will authorize the City to construct the watermain and will either post a cash
escrow with the City or provide authorization for the City to draw on the existing letter of credit
to ensure that the City gets paid for the watermain's construction and engineering costs.
M:\Public Data\Requests for Council Actions (RCA)\2009\09 08 2009 Legal TL 6th Dev. Agreement amendment RCA.doc
Agenda Item No. O.e! .Z.
Meeting Date September 8, 2009
Mayor and Council Communication — September 3, 2009
Legal — TL Dev Agreement Amendments
Page 2 of 3
KEY ISSUES:
Amendment to Developer's Agreement:
• Developer does not have to install the boulevard trees along Linwood Drive,
Lancaster Way, and 68th Street until it pulls a building permit for any of these
townhomes.
• Developer can delay the construction of 68th Street and its accompanying utilities
until October 31, 2010.
• Developer shall install the watermain to Hunters Pass by October 31, 2009. Once
installed, the City will reduce the letter of credit to the amount needed to fulfill the
developer's remaining obligations under the developer's agreement.
• All other municipal improvements must be installed by October 31, 2010.
• Developer shall install all on- and off -site improvements by October 31, 2010.
• The developer can assign its rights and obligations under the developer's agreement
to the purchaser of the property without the City's consent, but the City retains the
letter of credit until an acceptable replacement is provided to the City.
Utility Installation Agreement
• The City will prepare a feasibility study, plans and specs, and will solicit bids or
quotes for the watermain extension.
• If M&I approves the bids or quotes, the City will construct the watermain for M&I.
• M&I will provide the City with either a cash escrow for the estimated cost, or will
provide the City with authorization from Alliance Bank to draw on the letter of credit
for the cost of construction.
• If M&I doesn't have the City construct the watermain, M&I will pay the City's costs
of the feasibility study and the plans and specs and bidding.
POLICY CONSIDERATIONS: The City has the right under the existing developer's
agreement to default CPDC and perform most of these improvements itself. Staff would prefer
that these improvements be performed by M&I or its future buyer. This amendment will give
M&I an additional year to get this work done, but will not impair the City's existing security.
M&I is currently marketing the property and hopes to sell it to a developer who will finish the
development.
Other than extending the deadlines as noted above, the amendment does not materially alter the
City's position in the existing Towne Lakes 61h Addition Agreement. Staff recommends that the
City enter into this amendment as it represents the best opportunity the City has to get these
improvements made without the significant expenditure of City Staff time and effort.
M:\Public Data\Requests for Council Actions (RCA)\2009109 08 2009 Legal TL 6th Dev. Agreement amendment RCA.doc
Agenda Item No. 8.12.
Meeting Date September 8, 2009
Mayor and Council Communication — September 3, 2009
Legal— TL Dev Agreement Amendments
Page 3 of 3
The Utility Extension Agreement does have the City constructing the watermain extension, but
also provides for the reimbursement of the City for its costs in installing this infrastructure. This
agreement will likely result in the installation of the watermain, which will provide a secondary
source of water pressure for the entire Hunters Pass development (it is currently served by only
one watermain which is buried in the lake).
FINANCIAL CONSIDERATIONS: There are no immediate financial considerations from the
adoption of these agreements. The City's letter of credit will remain in place and the City will
not award a contract for the construction of the watermain unless the City receives a cash escrow
from M&I or authorization to draw on the existing letter of credit (a portion of which is already
set aside for the watermain installation).
LEGAL CONSIDERATIONS: These agreements will be binding upon the City and M&I
Bank, and formally recognizes that M&I Bank must perform the obligations of CPDC under the
terms of the developer's agreement. The City Attorney recommends the adoption of both of
these agreements.
Respectfully submitted,
Larry Amse
City Administrator
Department/Responsible Person: Legal/Mike Couri, City Attorney
Attachments: AMENDMENT TO PLANNED UNIT DEVELOPMENT AGREEMENT
TOWNE LAKES 6TH ADDITION; and, AGREEMENT RELATING TO COST OF UTILITY
INSTALLATION
M:\Public Data\Requests for Council Actions (RCA)\2009\09 08 2009 Legal TL 6th Dev. Agreement amendment RCA.doc
Agenda Item No. 8.12.
Meeting Date September 8, 2009
CITY OF ALBERTVILLE
AGREEMENT RELATING TO
COST OF UTILITY INSTALLATION
THIS AGREEMENT RELATING TO COST OF UTILITY INSTALLA-
TION (hereinafter the "Agreement") made as of the day of , 2009, by
and between the City of Albertville ("City") and M&I Marshall & Ilsley Bank ("M&I")
WHEREAS, M&I owns property legally described on the attached Exhibit A
("Property"); and
WHEREAS, the Property is subject to an Agreement titled "Planned Unit
Development Agreement Towne Lakes 6th Addition" ("Developer's Agreement") dated
September 7, 2005 and recorded as document number 1003634 at the Wright County
Recorder's Office, Wright County, Minnesota; and
WHEREAS, the Developer's Agreement requires, among other things, the
completion of a municipal water main through the Property as well as certain other
municipal improvements, as more particularly described on the attached Exhibit B (the
"Work"); and
WHEREAS, the Property is not currently served with such municipal water
service, and several other municipal improvement items required by the Developer's
Agreement remain unfinished; and
WHEREAS, M&I has requested that the City conduct a feasibility study and
prepare plans and specifications relating to the completion the Work; and
WHEREAS, before the City will authorize a feasibility study and prepare plans
and specifications for such Work, the City requires M&I to enter into an agreement
providing for the payment of the City's expenses in preparing the feasibility study and
plans and specifications; and
WHEREAS, provided the projected costs of the Work are acceptable to M&I, in
its discretion, M&I desires to have the City complete the Work.
72
NOW, THEREFORE, the City and M&I agree as follows:
1. M&I hereby petitions the City to extend municipal water service to the Property
pursuant to Minnesota Statutes Chapter 429.
2. The City shall conduct a feasibility study which will estimate the cost of the Work
("Feasibility Study") and shall provide a copy of the Feasibility Study to M&I.
3. The City shall prepare detailed construction plans and specifications of the Work
("Plans") and shall provide a copy of the Plans to M&I, for its review and
approval.
4. The City shall solicit quotes or advertise for bids for the Work based on such
Plans in accordance with applicable law. The City shall provide such quotes or
bids to M&I promptly after receipt by the City for its review and approval.
5. If, upon review of the Feasibility Study and quotes or bids, M&I determines that it
still desires to have the City complete the Work, M&I shall execute a petition in a
form acceptable to M&I and the city council for the City ("City Council") under
which M&I petitions the City to complete the Work on behalf of M&I.
Concurrent with the presentation of said petition, M&I shall also provide the City
with one of the following: 1) Authorization from Alliance Bank permitting the
City to draw on Alliance's existing letter of credit to pay for the Work; or 2) a
cash escrow in the amount of the City Engineer's most recent estimated cost of
the project.
6. If the City completes the Work, the cost of the Feasibility Study, along with all
necessary engineering and legal work, including the cost of drafting this
Agreement, shall become project expenses which shall be due and payable within
30 days of receipt of the City's invoice and unconditional lien waivers, from all
subcontractors, suppliers and materialmen.
7. If, upon review of the Feasibility Study, M&I determines that that it does not
desire to have the City complete the Work, M&I shall reimburse the City for all
engineering expenses incurred in preparing and presenting the Feasibility Study
and working with M&I regarding the feasibility of installing the Work, and shall
reimburse the City for all reasonable legal expenses incurred in preparing this
Agreement and any other documents related to the proposed installation of the
Work, including the Plans and Specifications. Said reimbursement shall be paid
in full within 30 days of M&I's receipt of the City's invoice; provided, however,
that upon M&I's payment of the City's expenses, City, to the extent it has the
legal authority to do so, shall grant a license in a form reasonably acceptable to
City and M&I that licenses M&I to use and modify as necessary the Plans and
Specifications for the installation of the Work.
8. In the event M&I does not reimburse the City as required by paragraph 5 above,
the City may special assess all such costs incurred in connection with the
73
completion of the Work to the Property, including costs incurred in imposing the
special assessment.
IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be
executed as of the date and year first written above.
CITY OF ALBERTVILLE
Ron Klecker, Mayor
Bridget Miller, Clerk
M&I MARSHALL & ILSLEY BANK
By:_
Name:
Title:
Attest:
Name:
Title:
STATE OF MINNESOTA )
) ss.
COUNTY OF WRIGHT )
The foregoing instrument was acknowledged before me this day of
, 2009, by Ron Klecker as Mayor of the City of Albertville, a
Minnesota municipal corporation, on behalf of the city and pursuant to the authority of the
City Council.
Notary Public
74
STATE OF MINNESOTA )
) ss.
COUNTY OF WRIGHT )
The foregoing instrument was acknowledged before me this day of
, 2009, by Bridget Miller, 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.
STATE OF WISCONSIN
ss.
COUNTY OF MILWAUKEE
Notary Public
The foregoing instrument was acknowledged before me this
2009, by
as
respectively, of M&I Marshall & Ilsley Bank.
Notary Public
DRAFTED BY:
Court, MacArthur & Ruppe P.L.L.P.
P.O. Box 369
705 Central Avenue East
St. Michael, MN 55376
(763) 497-1930
day of
and
and
75
EXHIBIT A
Legal Description
76
EXHIBIT B
Description of the Work
Construction of a ten (10) inch diameter PVC trunk watermain in the area designated on
the Developer's Agreement as Lakewood Drive, including all bends, tees, gate valves,
fire hydrants (plus accessories) and other appurtenances, necessary to complete such
work, including, but not limited to erosion control, and turf restoration, but excluding all
residential watermain services, corporation stops and related hardware, from Station
13+30 to 25+13.90 on Lakewood Drive.
3958823_4
77
CITY OF ALBERTVILLE
AMENDMENT TO PLANNED UNIT
DEVELOPMENT AGREEMENT
TOWNE LAKES 6TH ADDITION
THIS AMENDMENT TO PLANNED UNIT DEVELOPMENT
AGREEMENT TOWNE LAKES 6Tx ADDITION (hereinafter the "Amendment")
made as of the day of , 2009, by and between the City of Albertville
("City") and M&I Marshall & Ilsley Bank ("M&I").
WHEREAS, the City and Contractor Property Developers Company
("Developer"), entered into an Agreement titled "Planned Unit Development Agreement
Towne Lakes 6th Addition" ("Developer's Agreement") dated September 7, 2005 and
recorded as document number 1003634 at the Wright County Recorder's Office, Wright
County, Minnesota, which burdens the Subject Property; and
WHEREAS, the Developer's Agreement requires, among other things, that
Developer complete certain Municipal Improvements to the Subject Property, as
described and shown on those certain plans and specifications titled "Construction Plans
for Sanitary Sewer, Water Main, Storm Sewer and Streets for Towne Lakes 6th Addition"
prepared by Westwood Professional Services, Inc., originally dated February 8, 2005
with latest revision dates from March 15, 2005 to September 22, 2005, and which are on
file with the City Clerk ("6th Addition Plans"); and
WHEREAS, M&I is successor in interest to Developer's interest in the Subject
Property; and
WHEREAS, M&I seeks to extend the completion dates for the Municipal
Improvements as laid out by the Developer's Agreement, and City will accommodate
M&I's request under the terms and conditions to provided below; and
WHEREAS, M&I has renewed the letter of credit posted with the City in the
original amount of $646,808.00 ("Letter of Credit") as required by the Developer's
Agreement, and has worked with the City to monitor and market the Subject Property;
and
W
WHEREAS, M&I acknowledges that the Developer's Agreement is enforceable
against the Subject Property and that the Letter of Credit must remain intact until all
Municipal Improvements are completed.
NOW, THEREFORE, IT IS HEREBY AND HEREIN MUTUALLY
AGREED, in consideration of each party's promises and considerations herein set forth,
as follows:
Planned Unit Development. Article 2 of the Developer's Agreement is modified
to read as follows:
a. Paragraph 2J is modified to read as follows:
"Trees, shrubs, berms and screening are to be planted and installed as shown on
the landscape plan attached as Exhibit F. The Developer shall guarantee that all
new trees shall survive for two full years from the time planting has been
completed or will be replaced at the expense of the Developer. The landscaping
corresponding to each building shall be installed within 30 days after the
issuance of a certificate of occupancy. The Developer shall install all boulevard
trees along Linwood Drive, Lancaster Way and 68 Street prior to the issuance
of any building permits on Said Plat."
b. Paragraph 2R is modified to read as follows:
"Developer may, at Developer's option, delay the construction of the
construction of water and sewer utilities in 68ffi Street on Said Plat and delay the
construction of 68t' Street on Said Plat until the later of 1) seven months after the
final plat approval of Outlot A of Said Plat as one or more numbered lots; or 2)
seven months after the final plat approval of the property immediately south of
Outlot A of Said Plat (abutting the north side of 68 Street); or 3) October 31,
2010
2. Municipal Improvements. Paragraph 3A of the Developer's Agreement is
modified to read as follows:
"Except as otherwise provided herein, Developer shall construct the remaining
Municipal Improvements as detailed in the 6 h Addition Plans, in accordance
with the 6 h Addition Plans and the standards adopted by the City, by
October 31, 2010."
3. Trunk Water Main.
a. Paragraph 3B of the Developer's Agreement is modified to read as
follows:
79
"Developer shall construct, by October 31, 2009 and at Developer's expense,
a municipal water line extension through the Subject Property and Outlot B as
more particularly described on the attached Exhibit A (the "Trunk Water Main
Work") in a location approved by the City Engineer. The design of the Trunk
Water Main Work shall be approved by the City Engineer. In addition to the
foregoing, Developer shall provide the City, at no cost to the City, a
permanent drainage and utility easement over that portion of the Subject
Property and Outlot B in which the Trunk Water Main Work was installed.
Developer shall not be required to post an additional letter of credit for the
Trunk Water Main Work; provided, however the City may draw on the Letter
of Credit for Developer's failure to complete the Trunk Water Main Work."
b. A portion of the Letter of Credit was meant to secure the installation of the
Trunk Water Main Work. Accordingly, M&I shall not be required to
provide any additional letter of credit for the modified timing of the
installation of the Trunk Water Main Work noted above. However, upon
the satisfactory conclusion of such Trunk Water Main Work, the City
shall, at M&I's request, reduce the Letter of Credit to an amount not
greater than the estimated cost of completing the remaining unfinished
Municipal Improvements (including the 681h Street work described above)
and the unfinished landscaping required by the Developer's Agreement.
4. On- and Off -Site Improvements. Paragraph 4A of the Developer's Agreement
is modified to read as follows:
"Developer shall construct all on- and off -site improvements including
installation of paved streets, curb and gutter, boulevards, street signs, traffic
signs, yard top soil, sod and seed in all yards, landscaping, grading control
per lot, bituminous or concrete driveways, drainage swales, berming, and
like items as necessary, street cleanup during project development, and
erosion control, all as required by City ordinance. Front, side and portions of
the back yards of residential lots shall be sodded in accordance with the
Residential Development Standards as on file with the City
Administrator's Office. Those portions of the yards not required to be
sodded may be seeded with grass seed or sodded. In all cases permanent turf
or grass must be established over all areas of the lot not covered by a hard or
impervious surface. The Developer shall guarantee that all new plantings
shall survive for two full years from the time the planting has been
completed or will be replaced at the expense of the Developer. Said on- and
off -site improvements shall be installed no later than October 31, 2010, with
the exception of erosion control, grading control, yard top soil, drainage
swales and berming, which shall be installed upon initial grading of Said
Plat, and except that the driveways and sod/grass need not be installed in a
lot until that lot is developed (provided adequate ground cover has been
established prior to the development of such lot)."
,►,
5. On- and Off -Site Improvements. Paragraph 4B of the Developer's Agreement
is modified to read as follows:
"Developer shall, at its own expense, be responsible to ensure the following
items are installed within the development, all such items to be installed
under ground, within the street right of way or such other location as may be
approved by the City Engineer, accessible to all lots and in compliance with
all applicable state and local regulations:
i. Electrical power supply, to be provided by Xcel Energy or other such
carrier;
ii. Natural gas supply, to be provided by Reliant Energy or other such
carrier;
iii. Telephone service, to be provided by Sprint/United Telephone
Company or other such carrier;
iv. Cable TV service, to be provided by a local carrier;
In addition, the Developer shall, at its own expense, cause streetlights and
street signs to be of such type and to be installed at such locations as required
by the City Engineer and in conformance with the Manual on Uniform
Traffic Control Devices. All such streetlights shall be installed prior to the
issuance of any building permits in Said Plat. The Developer shall be
responsible for streetlight operational expense until such time as the City
accepts the Municipal Improvements."
6. Assignment of Contract. Paragraph 22 of the Developer's Agreement is
modified to read as follows:
"The rights and obligations of the Developer under this Contract can be assigned by
the Developer upon sale of the Subject Property, provided such rights and
obligations are assigned to the purchaser of the Subject Property. However, the
surety posted under this Contract shall remain in place until the assignee posts a
replacement surety acceptable to the City in the same amount as the surety
outstanding at the time of assignment."
7. Developer's Agreement. Except as specifically altered by this Amendment, the
terms of the Developer's Agreement shall remain in full force and effect for the
properties in Towne Lakes 61h Addition.
8. Definitions. Capitalized terms not defined herein shall have the meaning ascribed to
them in the Developer's Agreement.
IN WITNESS WHEREOF, the parties hereto have caused this Amendment to be
executed as of the date first written above.
CITY OF ALBERTVILLE
By
Its Mayor
By
Its Clerk
M&I MARSHALL & ILSLEY BANK
By:
Name:
Its:
By:
Name:
Its:
CONSENTED TO BY ALLIANCE BANK FOR PURPOSES OF ANY IMPACT
SUCH MODIFICATIONS MAY HAVE UPON THE LETTER OF CREDIT
ISSUED BY ALLIANCE BANK DESCRIBED ABOVE:
ALLIANCE BANK
By:
Its:
WA
STATE OF MINNESOTA )
ss.
COUNTY OF WRIGHT )
The foregoing instrument was acknowledged before me this day of
, 2009, by Ron Klecker as Mayor of the City of Albertville, a
Minnesota municipal corporation, on behalf of the city and pursuant to the authority of the
City Council.
Notary Public
STATE OF MINNESOTA )
ss.
COUNTY OF WRIGHT )
The foregoing instrument was acknowledged before me this day of
, 2009, by Bridget Miller, 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.
Notary Public
STATE OF WISCONSIN )
) ss.
COUNTY OF MILWAUKEE)
The foregoing instrument was acknowledged before me this
2009, by and _
and of Marshall & Ilsley
Marshall & Ilsley Bank.
Notary Public
day of
as
Bank, on behalf of
STATE OF MINNESOTA )
ss.
COUNTY OF WRIGHT )
The foregoing instrument was acknowledged before me this
2009, by
m
DRAFTED BY:
Couri, MacArthur & Ruppe, P.L.L.P.
P.O. Box 369
705 Central Avenue East
St. Michael, MN 55376
(763) 497-1930
m
day of
as
of Alliance Bank, on behalf of Alliance Bank.
Notary Public
01
EXHIBIT A
Construction of a ten (10) inch diameter PVC trunk watermain in the area designated on
the Developer's Agreement as Lakewood Drive, including all bends, tees, gate valves,
fire hydrants (plus accessories) and other appurtenances, necessary to complete such
work, including, but not limited to erosion control, and turf restoration, but excluding all
residential watermain services, corporation stops and related hardware, from Station
13+30 to 25+13.90 on Lakewood Drive.
3993582_4