Loading...
The URL can be used to link to this page
Your browser does not support the video tag.
HRA 08/14/1997 - 6280
HOUSING & REDEVELOPMENT AUTHORITY MEETING THURSDAY, AUGUST 14, 1997 7:30 P.M. PUBLIC COPY (Please return to Community Development Dept.) HRA RESOLUTION NO. 16 - 1997 A RESOLUTION AUTHORIZING EXECUTION AND DELIVERY OF A FIRST AMENDMENT TO THE CONTRACT FOR EXCLUSIVE NEGOTIATIONS BY AND BETWEEN THE HOUSING AND REDEVELOPMENT AUTHORITY IN AND FOR THE CITY OF FRIDLEY AND MEPC AMERICAN PROPERTIES, INC. BE IT RESOLVED by the Board of Commissioners (the "Commissioners ") of the Housing and Redevelopment Authority in and for the City of Fridley, Minnesota (the "Authority ") as follows: Section 1. Recitals. 1.01.It has been proposed that the Authority enter into a First Amendment to the Contract for Exclusive Negotiations (the "Amendment") with MEPC American Properties, Inc. (the. "Redeveloper "). Section 2. Findings. 2.01. The Authority hereby finds that it has approved and adopted a development plan known as the Modified Redevelopment Plan for its Redevelopment Project No. 1 (the "Redevelopment Plan ") pursuant to Minnesota Statutes, Section 469.001 et. sea. 2.02. The Authority hereby finds that it has approved and executed a Contract for Exclusive Negotiations between the Authority and the Redeveloper effective as of December 1, 1995. Section 3. Authorizations. 3.01. The Chairman and the Executive Director (the "Officers ") of the Authority are hereby authorized to execute and deliver the Amendment when the following condition is met: Substantial conformance of an Amendment to the Amendment presented to the Authority as of this date with such additions and modifications as the Officers may deem desirable or necessary as evidenced by the execution thereof. PASSED AND ADOPTED BY THE HOUSING.& REDEVELOPMENT AUTHORITY OF THE CITY OF FRIDLEY THIS 14TH DAY OF AUGUST, 1997. LAWRENCE R. COMMERS - CHAIRMAN ATTEST: WILLIAM W. BURNS - EXECUTIVE DIRECTOR HRA RESOLUTION NO. 15 - 1997 A RESOLUTION ADOPTING 1997 TAX LEVIES COLLECTIBLE IN 1998 BE IT RESOLVED by the Board of Commissioners (the "Commissioners ") of the Housing and Redevelopment Authority in and for the City of Fridley, Minnesota (the "Authority ") as follows: Section 1. Recitals. 1.01.The Authority is authorized by Minnesota Statutes Section 469.033 to adopt a levy on all taxable property within its area of operation, which is the City of Fridley, Minnesota (the "City "). 1.02. The Authority is authorized to use the amounts collected by the levy for the purposes of Minnesota Statutes Sections 469.001 to 469.047 (the "General Levy "). Section 2. Findings. 2.01.The Authority hereby finds that it is necessary and in the best interests of the City and the Authority to adopt the General Levy to provide funds necessary to accomplish the goals of the Authority and in furtherance of its Modified Redevelopment Plan. Section 3. Adoption of General Lew. 3.01.The following sums of money are hereby levied for the current year, collectible in 1998, upon the taxable property of the City for the purposes of the General Levy described in Section 1.02 above: Total General Levy: .0144% of Taxable Market Value Amount: Maximum Allowed by Law Section 4. Resort to City and Filing of Levies. 4.01.The executive director of the Authority is hereby instructed to transmit a certified copy of this Resolution to the City Council for its consent to the General Levy. 4.02. After the City Council has consented by resolution to the General Levy, the executive director of the Authority is hereby instructed to transmit a certified copy of this Resolution to the county auditor of Anoka County, Minnesota. r Page 2 - HRA Resolution No. 15 - 1997 PASSED AND ADOPTED BY THE HOUSING & REDEVELOPMENT AUTHORITY OF THE CITY OF FRIDLEY THIS 14TH DAY OF AUGUST, 1997. ATTEST: WILLIAM W. BURNS - EXECUTIVE DIRECTOR LAWRENCE R. COMMERS - CHAIRMAN CITY OF FRIDLEY .MOUSING-& REDEVELOPMENT AUTHORITY MEETING THURSDAY, AUGUST 14, 1997 7:30 P.M. AGENDA LOCATION: Council Chambers (upper level), Fridley Municipal Center CALL TO ORDER ROLL CALL APPROVAL OF MINUTES: July 10, 1997 regular HRA meeting July 21, 1997 joint City Council /HRA meeting CONSENT AGENDA: Resolution Adopting HRA Tax Levy for Taxes Payable ............. 1 - 1 L in 1998 Authorize Execution of Metropolitan Council -Tax Base ............:.. 2-2P Revitalization Account Grant Agreements for Dealers Manufacturing Revenue and Expenses ..... ............................. .3 -.0 ACTION ITEMS: Resolution Authorizing Execution of Extension of #fie _^'............ 4 - 4F 3 Contract for Exclusive Negotiations with MEPC ' American Properties INFORMATION ITEMS: Update Regarding Highway 65 Streetlights ....................... 5-5D Update on Paschke TIF Request .. ..............................6 - 6A OTHER ROSINESS: ADJOURNMENT CITY OF FRIDLEY HOUSING & REDEVELOPMENT AUTHORITY MEETING JULY 10, 1997 CALL TO ORDER: Chairperson Commers called the July 10, 1997, Housing and Redevelopment Authority meeting to order at 7:30 p.m. ROLL CALL: Members Present: Larry - Commers, Virginia Schnabel, Jim McFarland, Duane Prairie Members Absent: John Meyer Others Present: William Burns, Executive Director Barbara Dacy, Community Development Director Jim Casserly, Financial Consultant Grant Fernelius, Housing Coordinator Craig Ellestad, Accountant Robert Eller, Robert Eller Associates' Glen VanWormer, SEH Cheryl Schneider, 6190.Stinson Blvd. N.E. r Mayor Nancy Jorgenson Florence Tapsak, 6059 Central Avenue N.E. Ralph Wedgewood, 5$71 W. Moore Lake Dr. N.E. Dr. Kay & Jeanne.Ingebrigtsen, 5811 W. Moore Lake Drive N.E. Todd Koopman, 5851 W. Moore Lake Drive N.E. Elizabeth Frischmon, 870 W. Moore Lake Dr. NE Connie.Metcalf, 860 W. Moore -Lake Drive N.E: Bob Cook, 5761 West Moore Lake Drive N.E. Councilmember Steve Billings Councilmember Bob Barnette Mark & Laura Ingebrigtsen, 5831 West Moore Lake Drive N.E. APPROVAL OF JUNE 12, 1997, HOUSING AND REDEVELOPMENT AUTHORITY., MEETING: Mr. McFarland noted a correction on page 10, the first paragraph which should read, "Mr. Commers asked what happens then to the value " MOTION by Ms. Schnabel, seconded by Mr. Prairie, to approve the June 12, 1997, Housing and Redevelopment Authority minutes as amended. UPON A VOICE VOTE, ALL VOTING AYE, CHAIRPERSON COMM]E:RS DECLARED THE MOTION CARRIED UNANIMOUSLY. -0 HOUSING & REDEVELOPMENT AUTHORITY MEETING, JULY 10, 1997 PAGE 2 INFORMATIONAL HEARING: 1. STREET LIGHTS ALONG HIGHWAY 65 MOTION by Mr. Prairie, seconded by Ms. Schnabel, to open the public hearing. UPON A VOICE VOTE, ALL VOTING AYE, CHAIRPERSON COmMERS DECLARED THE MOTION CARRIED AND THE PUBLIC HEARING OPEN AT 7.32 P.M. Ms. Dacy stated she had a presentation and a video showing some examples of the types of fixtures in the metro area. - Slie'also introduced the consultants who 'are•_at -the = feting a • -r o�z ces _ -__. ' Mr. Glenn VanWormer from Short Elliot Hendrickson (SEH) who is the consulting engineering for designing the plans and specifications for the Highway 65 intersection improvement at Lake.Pointe Drive.; and Mr. Bob Eller who is the lighting consultant. Both worked with the City 10 years ago when the--project-was evaluated at that time. Representatives from the.City Council are here tonight as well as the Mayor. Councilmember Schneider, who had intended to come to the meeting, was called out -of -town and.could not attend. His wife, Cheryl, is present to represent him. The show is also being taped so that he can review the outcome of this meeting.. Ms. .Dacy stated this.is.an information hearing regarding-the Highway 65 streetlights along the causeway. The purpose of .the. hearing is to review the nature of the proposal; to answer questions from the City Council, HRA and:the public; and to receive testimony from the public. The HRA is not. to be making a decision tonight. The purpose of the hearing is to.take comments which will be.incorporated into the decision-making-process. Ms. Dacy stated the proposal is to install 25 -foot to 40 -foot tall, 400 -watt high pressure sodium lights along Highway 65 from the East Moore Lake Drive intersection to the area just north of the I- 694 interchange. The lights would be staggered on either side of the causeway approximately 150 feet apart. The proposal is to include the installation of the light standards as part of the project to reconstruct the intersection at Lake Pointe Drive and Central Avenue. That is planned to begin in April, 1998. Ms. Dacy stated the history goes back about 10 years. The street lights were included and approved as part of the intersection improvement plan in 1987. At that time according to the file, what was being evaluated was a 40 -foot tall pole with a shoebox fixture. In the 1980's, the City was. undergoing an analysis of redevelopment areas in a City -wide effort to improve the appearance of intersections primarily related to the University Avenue area. It was out of that study that came the design and HOUSING & REDEVELOPMENT AUTHORITY MEETING, JULY 10, 1997 PAGE 3 the idea to install the double ball fixtures which were ultimately included in the East Moore Lake Drive redevelopment area and the Mississippi Street redevelopment area. The approximate cost of the lights as part of the Lake Pointe intersection at that time was about $100,000. Ms. Dacy stated the current is called a shepherd's hook dark bronze, the bulb would and would have a flat glass straight down toward the pa, globe standards used on the this time. proposal is to look at a design which design which would be painted black or be fully contained within the fixture across it. The light would be aimed Dement. The pole design mimics the East Moore Lake Drive right of way at Ms. Dacy stated one.may ask why install the lights. Installation of streetlights is a typical amenity to a reconstruction or redevelopment project. Part of the reason for the amenity is that it helps to identify the City.if the City -wants to create a certain look. It can be a decoration on the highway. -It can. improve the overall image. At nighttime, the addition of .light improves the.visibility and helps to improve the safety of the .roadway. If the City.decidesto install the lights, including the work-as part of the intersection: work would be the. most cost effective. Ms. Dacy stated in the last few.weeks staff has researched a number of.communities to find examples which exemplify the decorative light fixture and to find examples of fixtures which are directly related to what is being proposed. -A video was presented showing example.s of fixtures in New Brighton, Maple Grove, St. Louis Park, and Minneapolis. Ms. Dacy stated the theory is to design the height, wattage and location of fixtures so it provides enough light for the highway itself s0 that as you move away a distance the brightness. significantly decreases. you can see the fixture on the horizon and you can see the bulb, but it is not like a floodlight. An example of lighting along Hiawatha Avenue may be good because on the east side there is a string of industrial properties. A number of these properties have wall packs so there was more. ambient light in that area. Ms. Dacy stated, from Highway 65, the first home to the west.is 200 feet from the intersection: As you proceed north along the west side of the lake, the distance increases to 1,350 feet at the north edge of the 5800 block. To the east, the first house on Central Avenue is approximately 300 f.eet.with the distance increasing to about 800.feet near the beach house. During the evening hours when driving along the causeway, you see a very nice 19 HOUSING & REDEVELOPMENT AUTHORITY MEETING, JULY 10, 1997 PAGE 4 reflection of the Shorewood sign and some of the parking lot lights. There are lights on the Moore Lake parking lot and the tennis court. At East Moore Lake Drive is the standard decorative light with a similar design to what is being proposed. Ms. Dacy stated another question is what will be the lighting impact. The height and wattage are designed to show enough light to immediately illuminate the area. The taller the pole, you can have fewer poles with more space between. If you decrease the wattage, you need more poles to adequately illuminate the area. It is important to provide-uniform spacing between the poles so you don't get light spots and then dark spots. The_proposal at a 40 -foot height at 400 w_ tts___1�uts.' enough fight on the - h1'ghw4y,: •but • :. away from the highway there would not be a significant impact or glare into the homes. The bulbs are not exposed. Although you will see the lights and reflection in Moore Lake, it will not impair the operation of the homes or the enjoyment the homeowner has during the evening hours. Ms. Dacy stated the cost involved with this proposal is approximately $120,000 with the shepherd's hook design. An executive style shoebox design is approximately $100,000. It has been.suggested the City.and HRA share the costs equally. There will bean annual electric charge to the City of between $6,000 and $8,000. The City will have to.store extra bulbs in case of damage in order to replace in the future. Ms. Dacy stated the first step.is to complete the hearing tonight. - Then the City Council and the HRA will have to-decide-whether to include the installation of the lights as part of the intersection improvement. The City Council will meet July 28. The next meeting for the HRA is August 14. If the City Council and the HRA were to approve this in the project, they would include the street lights as an option in the bid specifications to find out the . exact cost. If the City and the HRA decide to proceed.and all of the other steps go smoothly, then installation would begin in concurrence with the intersection work to be done in the spring of next year. Mr. Eller, the lighting consultant, and Mr. VanWormer, SEH, are available. Mr.. VanWormer has information on traffic accident issues pertaining to Highway 65. Mr. VanWormer stated there is quite a bit of accident information - that is available. It is limited in scope. The information, requested comes out in a tabular form. This ihformation has to be pulled out of the MnDOT computer which lists all the accidents and sorts them by location. They have three years of accidents from January 1993 through December 1995. This information is for a section of road from north of East Moore Lake to south of Lake Pointe Drive. They take the intersections from 500 feet north to HOUSING & REDEVELOPMENT AUTHORITY MEETING, JULY 10, 1997 PAGE 5 500 feet south and call it intersection related. The data includes the two intersections plus the causeway in between which they call non - intersection. In those three years, there were about 136 accidents in that corridor. 76 accidents were at Lake Pointe, 36 at East Moore Lake, and 25 on the causeway in between. Mr. VanWormer stated they can pull out a lot of different information. The basic information is that about 400 of the accidents were at night or 10 out of 25. That is a little bit higher than normal night to day ratio of accidents on this type of roadway. All were rear end or they did not have the type of accident' recorded. Accidents at the intersections were about the same proportion of day /night acci_ dens,: ,_.. _.Again, : -the -_ highest number of those accidents were rear end accidents.''MnDOT has a.system of trying to evaluate whether or not they would install lighting but it is tailored toward their capital improvement program. They look for a higher than normal amount of nighttime accidents relative to daytime on the same roadway, as well as volumes, speeds, etc. There are also a number of different formulas that you can get nationally from the Federal highway administration or .the national research board, etc. All.formulas are geared towards giving you an idea of whether the rate is higher than the normal . nighttime accidents relative to the day. With only 25 accidents r� a in three years, it would be hard to.say that this is more than normal. The only way to get more information would be to pull-all 136 accidents which would be a substantial-amount of work and probably would not yield a lot more information. Mr. Eller stated there have been various studies.that show that lighting does have a good effect on stopping accidents.at• night. The.type of fixtures being considered project light almost straight down. People will not be looking at a- direct light source with these fixtures. They will see some distant visual brightness. The fixtures being considered are .excellent. Mr. Commers asked what that means in terms of the homes that are a. few hundred feet from the lighting source. Mr. Eller stated they.will see the lighted area. He has does quite a bit of work with other cities on light trespass, particularly used car lots and the like. Those fixtures are tipped up so that people can look up and actually see the bulb. That is a bad light trespass situation. These fixtures are straight down. They will see visual brightness but really that is all. Mr. Commers opened the meeting for public comment. Mr. Cook stated he took issue with the recommended standards. HOUSING & REDEVELOPMENT AUTHORITY MEETING, JULY 10, 1997 PAGE 6 Item #4.on page 3 states, "The standard enhances the "identity" of the City and makes a statement that the City is committed to quality development and improvements." The only thing he can think that the lights will do, besides the smell of the lake, is that they will also be able to see the weeds. You have money for lighting but nothing for the lake itself which does not make sense to him. Mr. Commers stated the condition of the lake is a different issue and that is not before.the HRA. Mr. Cook stated-he knew that. It is still tax money. Since it is tax money, let us beautify the-lake and make-it more handsome so that people who would like to build over at Lake Pointe can comma down to the lake and spend some time instead of wearing noseclips when they come to work. The last time he checked the neighbors .were willing..to kick in but the state won't pay for their footage on the road. Mr. Koopman stated he would like to thank Councilmember.Schneide.r for bringing.this issue to their attention, thanked the HRA for having the informational meetings so.the residents -can express their concerns and thanked the residents for attending.the meeting to express their concerns. He asked.for.an explanation of the role of the HRA and City Council. Mr. Commers stated the HRA is an independent non- profit public body. The members are suggested by the City Council and appointed. by the courts. Members serve according to a charter that directs the types of activities in which the HRA may be involved. This is before the HRA because of the HRA's work in rehab and redevelopment, and we are in the process of redeveloping the intersection. That Is what has presented the issue. Mr. Koopman stated he-opposes the lights along the causeway. In the five years that he has lived there, he felt that he had enough light pollution coming into the environment surrounding his yard. He can sit in his den and see the lights and the traffic or he can sit down in his backyard and get the.lights from the. traffic or the lights from the buildings. In the evening, he can.see lights coming down the road toward the beach house, lights from the beach house, the neon sign from the Shorewood, .lights from the health club, and lights not from the church but from the funeral home across the street. The only reason he does not .see lights from the rest of the East Moore Lake development is that there is the island. He feels he has enough light coming in. He understands that the lights were in the original proposal for the causeway. Just because the idea was there does not mean it was a good one or that it should be executed. HOUSING & REDEVELOPMENT AUTHORITY MEETING, JULY 10, 1997 PAGE.? Mr. Koopman stated, regarding the accident history, the ratio of accidents between day and night was the same on the causeway, a non - intersection area, as it was at the intersections. That tells him that the lights are not a large impact on those accident ratios because there are lights at the intersections. Mr. Koopman stated he does support beautifying the entrance into the City. He thought that was very important. He has seen the lights across the bridges on the freeways and thought they were very attractive. He does support decorative lights at the intersections where he feels they are needed, where the vast majority of the accidents are, and where traffic -i-s most congested: and crossing. Those areas have to be improved and-he supports that. He does not think lights add to the beauty of.the causeway itself. Let the lake add beauty to the causeway. Let the lake itself be the signature point into the City. He would support spending funds on beautifying the causeway where they have that impact - either new railings, although he thought that was MnDOT's responsibility, or landscaping. He supports.those efforts and thought.that was important; however, he supports the standards at the intersections. When he looks at the map, he thought•the six . lights at the south end and the five lights at the north end Gould have a nice impact on those intersections. When he tells peopke where he lives, they say, "Oh, the lake with the weeds." If we are going to spend money on beautifying and creating an image for Fridley, then spend money on weed control and make that better not .just for the passerby or commuters, but for the many..people who use the park on the east side. Mr. Wedgewood stated essentially his. comments echo the two previous speakers. He thought the lights were.decorative and the so- called safety issue was contrived justification because the decorative issue is not sufficient to carry the day on the lights. H,g wished that-Mr. Cook, a former police.•officer, had perhaps provided some insight into safety and traffic problems. over the two decades he was a policeman. He thought the lights would create as much problem for casting shadows as illuminating the road bed. He thought it an unnecessary and intrusive urbanization project. Why does it need to lit up as bright as Hennepin Avenue? If he is not mistaken, sodium lights cast .a yellow light which would be particularly offensive. If you impose this on the residents along Moore Lake, he thought they could.have a more appealing light. Mr. Wedgewood stated, again if you are going to spend money, he has tried to get the weed issue addressed. When he was dealing with the City, you have to get so many signatures. from all the residents and you have to pay $25. By the time you get all those HOUSING & REDEVELOPMENT AUTHORITY MEETING JULY 10 1997 PAGE 8 signatures, it is practically fall. If the City can spend money on improving Locke Lake, spending chump change to eliminate weeds is a major production. Perhaps the City Council can be more sensitive to that entire waterway. Mr. Commers asked Mr. Eller if there was a color to the light. Mr. Eller stated the lights are high pressure sodium which is very strong in the yellow spectrum. A metal haylight such as those used in baseball fields pretty much appears white. The reason they use high pressure sodium for street lighting is because it is the most energy efficient. You get much more light per watt. Ms. Schnabel -asked Mr. Eller if he had ariy -idea" or if 'there were any statistics to suggest that sodium light cast on water would have an effect on aquatic life in the water. Does the light have any effect on increasing weed growth in water? Mr. Eller stated mercury street lights increase growth. It is not quite so true of high pressure sodium because of the lack of ultra- violet light. Mercury lights have a lot of ultraviolet light which encourages growth. There is no ultraviolet light in high pressure sodium so it should not increase the weeds. It is almos& a bug l; aht in„ itself because bugs cannot see high pressure sodium. Ms. Schnabel asked if these lights have any effect on aquatic life. Mr. Eller stated he has never seen such a study. Ms. .Metcalf stated she thought she was representing her neighbors on the north side of the lake. She agrees with the previous comments. She thanked Councilmember Schneider for providing them this opportunity. It seems that frequently buildings go up or lights are put in and the taxpayers do not have knowledge that it is coming. Ms. Metcalf stated she was concerned with the increased use of electricity. She is perhaps old fashioned. She thought they were becoming increasingly dependent on nuclear power and she personally has a fear of that. She did not believe you could store nuclear residue in the mountains forever. She thought they needed to conserve on electricity. When she sees more Christmas lights going up on the homes around her and the profligate use of electricity by the cities for such things as lighting, she is concerned about that. She thought they might realize how this does multiply. Staff is saying the lights will enhance the entry to the City. She would prefer to have the lake improved. In the HOUSING & REDEVELOPMENT AUTHORITY MEETING, JULY 10, 1997 PAGE 9 longer term, perhaps it would be wiser-for the City and for all of us to try to limit use of electricity. She hopes that the Councilmembers would consider limiting the use of lights on the tennis courts. This can be done by a switch. Ms. Metcalf stated, when Ms. Dacy spoke about the 200 -foot distance of the spread of this light, that is a considerable distance. She talked about reading a paper at that distance which was not possible but as she approached the light she could. This means the spread will be considerable and she thought it would affect the aesthetics for those living on the lake. She enjoys watching the scenes of the lake which are beautiful. It is a beautiful .setting. Seeing more lights there 'and cars _ggingby pare fun to watch, but she is opposed to fixed lighting. 'If safety is a factor at the intersection, we have to accept that and that would temper her opposition somewhat. She thought the lights along the lake would not enhance the approach to the City. Mr. Commers asked Ms. Dacy to review the distances from the causeway to the homes on Moore Lake. How far away are those homes on Moore Lake Drive as compared to those living on Old Central? Ms. Dacy stated the first home at West Moore Lake Drive is the closest at 200 feet. As you move north,.the distance increases to 1,350 feet. On the east side, the home on the corner at Central Avenue is about 300 feet.. As you move north on Central Avenue where.the beach house is, it is about 800 feet.., As you go north, the distance increases..to about 1,100 feet.. The Nelson-home is about 900 feet. Along the northwest side is about 1,300 feet on the aerial photograph.' The church because of the size and the island screen the northern residents-from-the lights. Ms. Tapsak stated she lives just past the park area. She likes. . the idea of fixing• upl-t'he intersections but she does not see accident -wise why there are so many lights needed on the causeway. She likes the other idea. They have lived in their present home about 13 years. They have lived in Fridley about 24 years. The intersection is very bad there, and she thought fixing that area up will help with the accidents. She did not see a lot of credibility for lights on the causeway. Ms. J. Ingebrigtsen stated she lives on the southwest side of the lake near the intersection. She asked how far away they were from the lights. Ms. Dacy stated they were approximately 450.feet to 500 feet. Ms. Ingebrigtsen stated she had written down two words - intrusive and identity. She thought the City was trying to seek an HOUSING & REDEVELOPMENT AUTHORITY MEETING, JULY 10, 1997 PAGE 10 identity. When she thinks of an identity, she thinks of Paul Bunyan. She thought Fridley could come up with a different identity than this. She feels sorry for the people on the east side of the lake who have a beautiful view of the sunset and they will be looking at these spokes. Ms. Ingebrigtsen stated she agreed with the comments given. Instead of doing what everyone else did, she started scribbling the following: For more than 40 years or so, she has asked for trees to shield the shores from blinking and ambulances, 'til suddenly this song and dance. Who wants this shore outside our-door-destroying the view we are paying for? Are .you so blind and cannot 'see how much you do distresses me? What next I ask, a kangaroo. You're bringing the light, making a zoo. This isn't what we bargained for. You changed the meaning of our shore. Take note that lake should be serene, a change of pace from one that is mean. A charming place of peace, a park. Not Disneyland. It isn't pomp and circumstance that designates a city. For if it were we all would move and that would be a pity. We need a place of peacefulness where good folks live not under stress. Ms. Metcalf asked, when talking about distance, has there been concern about the reflection in the-water. Ms. Dacy stated there will be some reflection in the water, but is it going to go all the way across the lake. The fixtures point down toward the pavement. Mr. Eller stated he did not have an, absolute answer. He did not think it will be as much as some light reflected but he really did not know. He has not seen it. He is a boater on Lake Minnetonka. He boats at night.and does not see lights bouncing.up.off the water. Mr. Commers asked.if there were lights such as those being proposed around any of the lakes in Minneapolis. Mr. Eller stated there are similar lights by the Lake of the Isles. Mr. Commers stated those were a low -type lighting along the walkway. Mr. Eller stated those types of light scatter the light more than what is proposed. Ms. Dacy stated the light along the Camden bridge over the HOUSING & REDEVELOPMENT AUTHORITY MEETING, JULY 10, 1997 PAGE 11 Mississippi River may be an example to investigate. Mr.. Eller stated his personal experience is that he has not noticed light bouncing off the water and illuminating something else. You can see a reflection. Mr. Koopman stated what he heard commented on was that light spreads in a comb but it is not the street itself that is going to be lit, but quite a distance out into the lake itself. As you look out toward the causeway, it is not just the causeway that will be lit, but a fairly substantial portion of the lake on either side of the causeway itself. Ms. Commers stated that is whit they are trying to determine. It sounds as though the fixtures direct the light straight down.. Mr. Koopman stated, if the lights are spaced 150 feet apart alternating, that tells him that the spread of any individual light is somewhere between 75 feet and 150 feet. Mr. Commers asked Mr. Eller if there was overlap in the light. Mr. Eller stated the light pattern from these lights is not a perfectly round circle: It is a asymmetric light pattern more like a kidney shape. The lights are designed so the light behind ;� the light will shine on the. roadway and practically to the edge of the lake.. There will be some light going 5 or 6 feet into the water. The light is coming down 40 feet but only 8.to 10 -feet behind it. Mr. VanWormer stated, with the old cobra -style light, the lighting pattern is more out front than it is behind. It comes out-on the roadway for a distance but not behind. The newer lights are-even more.dramatic. Mr. Ingebrigtsen stated, when he got the notice, he thought what is going on here, He looked through the information because he thought there must be a safety reason. From what he is hearing tonight, he did not see a safety reason to put in the lights. It amazes him that someone thinks they are going to beautify the entrance to Fridley and Moore Lake simply by putting lights there. He has lived on Moore Lake for 42 years. If he was a few years older, he would have fought the road through the lake in the first place. Now we are here 43 years later wanting to accent that folly from years ago by lighting it up. He did not agree with that at all. It is not just the homeowners, but anyone who has spend time at the beach area or the west side has seen light reflecting off. It is not going to be a natural light which is what a lake is all about. He is amazed. If there are no safety HOUSING & REDEVELOPMENT AUTHORITY MEETING, JULY 10, 1997 PAGE 12 reason for doing this, why we are even considering doing this? Ms. J. Ingebrigtsen asked if there had not been any alternative ways to handle what they conceive as a problem along the causeway. If they are concerned about traffic, out west they use reflectors which seem to do a good job. She thought reflectors could do a good job there. She has a hard time conceiving the reason for this.. She thought the City was doing this because they have the funding and that is too bad. She felt there was something else or some place else the city could make.some grand improvement rather than lights across the lake. She wished someone in the City could come up with a grand improvement. This would not be where she would go. She has pictures of- :when} -this was - dome yin, 1965__and: °t_he = -- :T�- - residents had nothing to say about it. Ms. Dacy stated she wanted to clarify. Although the city has received Federal funds to help defray the cost of reworking the intersection, the decision of whether or not to install the lights is not the case of having.an excess amount of funds. If the City- Council and HRA views the streetlights a.s an important.amenity, there is a window of opportunity to install and save as much money as possible during the intersection improvement. There is always. going. t.o be a consequence to the HRA budget and to the City budget if they. deci.de,to. proceed with the project.. There is .$6D,000 on either side that some other issue may not get funded. — When doing a budget, the City must weigh the pros and cons of each type of project and to identify a priority. This is an ongoing decision process. Tonight there has been a number of comments about what the priorities are - is it the streetlights, is it controlling the weeds in the lake, is it placing plantings along the highway, is it doing a decorative guard rail-as opposed to the standard issue, etc. She wanted to clarify there are other issues the City Council and HRA have to take into account when making decisions. Mr. Commers stated it is true that there is not a lot of free money available to do this project. The money and assistance received is limited to the intersection itself on. the Federal funds. This would be something that would have to come out of the HRA and City budgets and would interfere with some other projects. Ms. L. Ingebrigtsen stated see that many of the peoplE Lake. We have the experier already. They see lights f the funeral home, the churc lights once, they get to SE told these lights will not finds it interesting there of the lake at the meeting. she thought it interesting tonight to. here are on the west side of Moore ce of lighting on that side of the lake rom the Shorewood, the health center, h, etc. They not only get to see the e it twice. Even though they have been reflect, she thought they would. Ste.,_ is only one person from the east side She is also concerned about the weeds HOUSING & REDEVELOPMENT AUTHORITY MEETING, JULY 10, 1997 PAGE 13 in the lake. She is concerned with Mr. Eller's comment that he was not sure whether this lighting will create more weeds or inhibit growth. If further study is done and it is found that it does create more weeds, it is not a good thing there. Mr. Commers stated he understood there was no ultraviolet light with these high pressure sodium lights so that growth of weeds would not occur as with other types of lighting. Ms. L. Ingebrigtsen stated it would be great if they cleaned up that side of the lake. She agreed with the comments already made. Mr. Cook stated years ago, whdit; the aerator was first put in, the Lions -put in a fountain.- There 'was a very marked difference between the east and west sides of the lake after the aerator was installed. The east side was a beautiful color. The west side was crappy. At that time, the Lions Club offered to buy aerators for the west side of the - lake.' The engineer at that time said it would not be worthwhile. It was dramatic to .see the.change. Back then, you could get an aerator for about $15,000. For this amount of money, the City could install three aerators and save money on electricity. Mr. Ingebrigtsen stated it was clear to.- him.that: anyone living in the area is going to look at the lights as'highlighting that highway going through there. It will-take away the peacefulness and serenity of a lake with wildlife. People driving through may like-the looks of the highway they are.driving on. But for the residents who live in that area, he cannot see one good thing about looking at that highway. Then it doesn't just have cars, it will be highlighted and have more light out there. It is clear that it is not a peaceful, beautiful thing. Ms. Schneider stated they had received several calls in the last week from both sides. People who called have stated they would like the intersection fixed but they would not like lights. They received calls from Mr. Nickrad who is also angry that, if you are going to fix something, he would appreciate it if you would fix the lake first. Ms. Schneider stated they have a -boat. When they are out in the water, the only way they can see is if they turn all of their lights off. The lights create a terrible glare. They cannot leave the lights on in their lower cabin when they are out there at night. The lights they do have in the front they cannot see when they are turned on. They cannot see where they are going or if there is anything out there. It just glares. She is curious how that would work on that road. She and her husband have tried to see on that road late at night but the Shorewood sign.glares on HOUSING & REDEVELOPMENT AUTHORITY MEETING, JULY-10, 1997 PAGE 14 the road and makes it hard to see. She thought these lights would do the same. Mayor Jorgenson provided copies of a letter from Bob and Gloria Gilstad stated July 9, 1997, regarding their concerns about the proposed lighting along the causeway. She asked that this letter be included in the public record. The Gilstad's live on Hackman Avenue behind the gas station which is probably the closest residential area to the lake. She had an opportunity to speak with most of the neighbors on the east side of Moore Lake in the last few weeks. Some of the questions they asked have already been answered. She stated she would present those questtions which had not yet been answered. The _- .first, was,_ _" Are any _:of: _the previously named or city - like roadways shown'on the'vidd6tape a state highway ?" Ms. Dacy stated the street in.New Brighton is a local street and .the size of the standard established for-that was a 20 -foot tall standard. It is a different type of fixture with a different intent. The bulbs on the luminaires are 150 watts. In Maple Grove, she was�not sure if that was or was not a state highway. The standard was the typical 35 to-40 -foot tall standard with a shoebox fixture. This was shown to serve an.example of that style. of fixture,.and the consultant has recommended this style as acceptable for this particular stretch...--In St. Louis Park, she did not believe Excelsior Boulevard was a state highway. It may be a county road. Those lights were installed as part of a redevelopment project adjacent to Highway 100. The Camden.Avenue bridge is not a state highway. It was shown to depict the lights and the shoebox style. The Hiawatha Avenue corridor is the same as Highway 55. She was not certain if this was a state highway. The north part is under construction so they have a lot of temporary poles up, but the part as videotaped has lights that she thought were recently installed. Mayor Jorgenson .stated another question is, "Why isn't the Minnesota Department of Transportation providing the lighting ?" Ms. Dacy stated her understanding is that MnDOT standards are that they install their cobra lights along major freeways and interchanges. They have a minimum threshold before they install lights. In MnDOT's eyes, there is a difference between a Highway 65 and an interstate. They will only place their lights along the interstate freeway. Mayor Jorgenson stated the funding source for lighting is proposed to be covered as $60,000 by the HRA and $60,000 by the City with annual maintenance and electrical charges covered by the City. Is this correct? HOUSING & REDEVELOPMENT AUTHORITY MEETING, JULY 10, 1997 PAGE 15 Ms. Dacy stated this was correct. Mayor Jorgenson asked if this.funding source has gone through the budgeting process. Ms. Dacy stated, if approved, the City portion would be programmed into the 1998 budget which is in the process of being prepared. The HRA prepares its annual budget toward the end of each year and that would be incorporated into the 1998 budget. Mayor Jorgenson stated Mr. Commers had stated earlier that any funding that would be spent on-. this:- would- be..taken-from-other projects.' Mayor Jorgenson asked how many of the accidents were related to poor lighting. What is the-current safety rating for the intersection and causeway? Have there been any traffic studies on highway speed with increased.lighting? Does the highway speed increase with the increased lighting, stay the same or is.it less? Are there any proposed sidewalks or walkways on the highway to coincide with the lighting? Ms. Dacy stated she is not aware of any bikway /walkway proposals along- this stretch of highway. With'the right -of -way there and Moore Lake, you need a certain amount of clearance and she did not know if they would be able to-do that without additional filling. Mayor Jorgenson asked if the proposed lights are the same wattage as those at the health club. Ms. Dacy stated the building plans for the health club are currently checked out. She had tried to determine that. As another example, she checked.the height and wattage of other commercial developments. Wal -Mart has a 40 -foot tall standard with 400 -Watt bulbs. She cannot answer for certain on the health club lights, but she will find that out. Mayor Jorgenson stated the person who asked the last question suggested that the HRA stand on the Fridley Executive Center site on the southeastern portion and look at the reflection of the lights coming from the health club, the Shorewood, the beach and the tennis courts to determine what type of reflective glare they are going to be getting from those lights along that causeway. Mr. VanWormer stated MnDOT has a policy for lighting. There are a number of criteria that they-use. The general policy is that they try to light freeways which have total access control primarily because they have higher speed exits and maneuvers that are made HOUSING & REDEVELOPMENT AUTHORITY MEETING JULY 10, 1997 PAGE 16 at higher speeds so they concentrate on those. They also are limited by how many dollars they can spend on lights. They have been lighting I -694 but it is not continually lit through several areas. They just recently lit Highway 36 through Roseville which became a freeway. Their policy-is probably that they cannot light everything they would like to. As far as nighttime accidents caused by poor lighting, he would have to pull all of the accident reports to determine whether on this specific roadway and intersections there is a correlation between lighting or lack of lighting and the accident itself. Conversely, he can say that the nighttime accident rates are higher to daytime accident rates given the lower volume and the higher number of accidents. He did not think that was -isolated to the_ lighting :sir' lack _of lighting. , Regarding highway speeds, he cannot site ciny specific studies. He has been in the business for over 30 years and has monitored a lot speeds. He has never seen lighting increase speeds. There are also many variables on that. He did see that speeds went up on I- 694 when they installed lighting and went to six lanes. . Mr. Commers asked what the speed limit was on Highway 65. Mayor Jorgenson stated the speed limit from I -694 to Highway 65 is 40 miles per hour until the causeway where it jumps to 50 miles per hour. -1 MOTION by Ms. Schnabel, seconded by Mr. Prairie, to close the public hearing. UPON A VOICE VOTE, ALL VOTING AYE, CHAIRPERSON CODDW.RS DECLARED THE MOTION CARRIED AND THE PUBLIC HEARING CLOSED AT 8:55 P.M. CONSENT AGENDA: 2. REVENUE AND EXPENSES Mr. Commers stated Mr. Ellestad has distributed copies of `-° additional expenses needing approval as outlined in his memo dated July 10. MOTION by Mr. Prairie, seconded by Mr. McFarland, to approve the consent agenda and the additional expenses as outlined in Mr. Ellestad's memo dated July 10, 1997. UPON A VOICE VOTE, ALL VOTING AYE, CHAIRPERSON COHIlKERS DECLARED THE MOTION CARRIED UNANIMOUSLY. ACTION ITEMS: 3. CONSIDER CHANGE TO PROCEDURES FOR SELLING HRA LOTS HOUSING & REDEVELOPMENT AUTHORITY MEETING, JULY 10, 1997 PAGE 17 Mr. Fernelius stated, as background information, the old system they were using required that the lots were sold to the highest bidder using a sealed bid process. We advertised for proposals, established a deadline, took bids, and then reviewed those with the HRA. The bidder then would execute a development contact with the HRA and had six months to construct a house. The consequence of that often was that they were building on speculation because they did not have a buyer lined up. That was a rather risky process for the builder and translated into a lower lot price. They also provided a letter of credit as some security for the HRA and provided a mortgage to the HRA for the land costs which would be paid upon completion of the project. Mr. Fernelius stated, under the system being proposed, the.lots would be sold on a first come, first serve basis. Staff will market the sites in the newspaper; in different trade publications and put signs out to create.interest in the properties. Staff will establish a minimum price and see if the market will.respond. Staff is recommending to only allow buyer /builder teams be permitted to purchase these properties.. This process would begin with a builder working on behalf of a.buyer that has already . contacted them, paying a fee of $500, and executing what�is called a participation agreement. That would provide the builder with a 60 -day time window to work with. the buyer as. well as an architect to develop plans for the actual house. Once that is completed, the HRA would be presented with the plans. If acceptable, the HRA would enter into a development agreement with the builder. At that point, the builder would start the construction process which could take up to six months. Mr. Fernelius stated the advantages to this approach is that it reduces the risk to the builder. The advantage to the HRA is that this means a slightly higher lot price. The buyer /builder team approach prevents the*spW,,ilator from coming in, purchasing a site, and then not doi' - anything with it and tying up the land. The design guidelines are identical to what has been proposed in the past. This is a single family program. We are requiring that it be new construction. They will not allow moved in or manufactured housing to be constructed on these sites. The standard of a minimum of two bedrooms is to be provided. Larger homes are desirable: A two -car detached garage is required. Designs would encourage minimizing the garage door mass. They are looking at low maintenance siding materials. The house and building lines along with door and window placement should present a pleasing view and should try to fit in with the surrounding neighborhoods. The sites also have to be fully landscaped upon completion. The HRA has the opportunity to review all the plans to make sure these properties are what is intended for the program HOUSING & REDEVELOPMENT AUTHORITY MEETING, JULY 10, 1997 PAGE 18 and that they will improve the neighborhood. The security agreements are the same as in the past. Mr. Fernelius stated Mr. Casserly has looked at some of the other Richfield documents of which staff had obtained copies. Their development agreement is slightly different so we are in the process of evaluating the adoption of some of those components. That is something staff would present to the HRA in the future. Mr. Fernelius stated the following properties are for sale: 530 Hugo Street, 540 -550 Hugo Street, 5925 Main Street, 5857 Main Street, and 5800 Second Street. Mr. Fernelius procedure for guidelines. immediately. stated. the recommendation ._is to -,-approve the _nest__ selling the vacant lots and adopting the design Staff would then begin marketing the sites Mr. Prairie asked how staff determine the minimum price. Mr. Fernelius stated that is based on the appraisals done on the properties when they.were acquired. It is based on the appraised value of the property at the.time.of initial purchase. Mr. Comme'rs asked if there was any problem in limiting the purchasers » to a combination buyer/builder-team. -Is there.a discriminatory issue there? Mr. Casserly stated this is part of the-HR A's role in the housing program so the HRA has the ability to assure the level of quality and diversity. This program is attempting to do that so the HRA can put limitations on it in.order to achieve just that. It is not discriminatory to do that. Ms. Schnabel stated she was interested in reading the statements about trying to make the new housing compatible with the existing housing in the neighborhood. It struck her that if the garages were separate and detached that this would be a desirable feature. Is this now going to be a requirement? Mr. Fernelius stated under the current code the City does not allow detached garages for new construction so it would have to be an'attached garage. In terms of the building fitting into the neighborhood, they want the new construction to match with the parcels around it. They are trying to minimize the new construction being intrusive on the other properties. Even though the designs are modern, there are things Richfield wanted to part from and encourage designs that are more sensitive. Richfield requires buyers to work with architects and designers to come up with designs that are more sensitive. HOUSING & REDEVELOPMENT AUTHORITY MEETING, JULY 10, 1997 PAGE 19 Ms. Dacy stated staff is also evaluating amending the zoning code to allow detached garages as part of the new construction. Some people may ask how can anyone want .a detached garage in Minnesota. However, some of the current designs being built in Richfield and in housing in general are leaning toward a breezeway connection to a garage and access to a rear alley. Staff are looking at allowing that flexibility. Another design issue is the ability to expand the front of the home into the 35 -foot setback. She thought it may be time to look at the zoning code to update and encourage people to remodel, and look at the traditional suburban designs and re- evaluate them. , MOTION by Mr. McFarland, 'seconded by Ms. Schnabel, to approve the process for selling vacant lots and to authorize staff to begin preparing the necessary documents and marketing the sites. Mr. Casserly stated the motion is to adopt the design criteria. On page 3G, item #10, the first sentence reads, "The builder shall provide a Letter of Credit in an amount equal to the cost of the improvements (construction costs)." He thought it would be better phrased to state, "The builder shall provide a Letter of Credit or equivalent security to guarantee performance." There are other things we are trying to achieve. This would be more in keeping with what we are trying to do. Mr. Commers asked if this would also apply to the land mortgage. Mr. Casserly stated no. -It depends on how .we actually do it. We need to sort out the mechanics. He is not too worried about the land mortgage. If we have.a closing, we will probably not .receive our money until the developer /builder sells to the homeowner. Whether we want to accrue at 5% interest, he was not sure. That is something they will have to sort out. Mr. Commers stated that is the way we have been doing it. Mr. Casserly stated there is nothing wrong with leaving the provision there. He is trying to achieve a. certain level of security. It may be redundant. Commission members agreed to the change in wording as presented. UPON A VOICE VOTE, ALL VOTING AYE, CHAIRPERSON CARS DECLARED THE MOTION CARRIED UNANIMOUSLY. INFORMATION ITEMS: 4. UPDATE ON FRIDLEY EXECUTIVE CENTER HOUSING & REDEVELOPMENT AUTHORITY MEETING, JULY 101 1997 PAGE 20 Ms. Dacy stated she had no additional information to provide. 5. LETTER REGARDING THE FRIDLEY OFFICE PLAZA Mr. Commers stated the letter had requested No Parking. He presumed that since they did not hear from us by June 20 they went ahead. Ms. Dacy stated they had not completed that yet. The person writing the letter is not working on this particular project. '.hey may not have had the opportunity to make the arrangements. ;?he had no obj ections to the_ .request . 6. LOAN PROGRAM SUMMARY SHEET Mr. Commers stated the information shows $224,000 in citywide loans and only $12,000 in Hyde Park. It is hard to figure why that is going so slowly when we have the bulk of the people in Hyde Park. Mr. Fernelius stated he did not know how to respond. Staff will be releasing another Hyde Park newsletter in the next week or so promoting the brograms and talking about some of the other things that are going on in the neighborhood. Hopefully, that will generate some interest. Staff may do some direct marketing in late summer. Ms. Dacy stated staff have received some phone calls regarding the status of the Frank's Used Cars site. Staff ordered a minimal paint job to improve the appearance. That.eliminated the signage. The cost was $850 to $900. She had been receiving calls asking if the HRA intended to lease this. Staff thought it may be better to have a single color. The Councilmember for that area had also received calls.- Mr. Commers asked if it was an issue that this building was standing vacant. Mr. Dacy thought at this time it was fine. During the last six months, staff have been working on the Linn project and 57th Avenue. The plans for the next 18 months are to revisit a redevelopment plan for that area. If a TIF district is to be established, then that building does establish the right criteria. So far, we have been maintaining it on a regular basis. Staff intends to go back to the neighborhood in the next six months and initiate some type of process. Mr. Commers stated they would like to carry forward with the HOUSING & REDEVELOPMENT AUTHORITY MEETING, JULY 10, 1997 PAGE 21 original idea for more activity in Hyde Park. This report is a little disappointing in that regard. ADJOURNMENT: MOTION by Mr. Prairie, seconded by Ms. Schnabel, to adjourn the meeting. UPON A VOICE VOTE, ALL VOTING AYE, CHAIRPERSON CCHMERS DECLARED THE MOTION CARRIED AND THE JULY 10, 1997, HOUSING AND REDEVELOBMENT.AUTHORITY MEETING ADJOURNED AT 9:18 P.M. Respectfully submitted, Lavonn Cooper Recording Secretary C/ ) Bob & Gloria Gilstad 930 Hackmann Avenue NE Fridley, MN 55432 571 -6875 July 9, 1997 Dear City of Fridley Officials, We are writing today about our concerns regarding the proposed lighting along the Moore Lake Causeway on Hwy 65. • The brightness of 26 - 400 watt lights coming across Moore Lake will cause our yards to be lite up all night. Our bedroom window faces Hwy 65 and thus would be exposed to this lighting. • The Moore Lake Park closes at 10 PM and this lighting would tempt people to continue to use this park after dark. • The commercial development along this strip is minimal with adequate current lighting* Those most affected are the residential homes facing Moore Lake. • If you desire some type of lighting along this stretch, why not consider a dimmer decorative style that would not illuminate the neighborhood so much. Thank you much for listening to our concerns. We are sorry that we are unable to attend this meeting due to a business trip, but would be glad to visit with anyone interested in our views. Sincerely, g,k , 4 a , Bob & Gloria Gilstad S 1 G N- I N 9 H E E T HOUSING AND REDEVELOPMENT AUTHORITY MEETING, July 10, 1997 Name Address/Business 30-7 00e-p�-- EL LE P-- A) ow/U-17i len Von GdOt-rnee- Vie jer _,04 & &7 Ct, o t?- E07L Do J, MA) ze-1 U 5-411 ry� . ,V)?A JOINT HRA /CITY COUNCIL MEETING OF JULY 21, 1997 The Housing and Redevelopment Authority and the Fridley City Council met in a joint conference session on July 21, 1997. The purpose of the meeting .was to discuss the Master Plan and the contract for exclusive negotiations for the Fridley Executive Center. Those in attendance were: Nancy Jorgenson, Robert Barnette, Steven Billings, Dennis Schneider, Ann Bolkcom, John Meyer, Jim McFarland, Duane Prairie, Virginia Schnabel, William Burns, Barbara Dacy, John Flora, Jim Casserly, Dave Jellison, and Leslie Jowett. Ms. Dacy,, Community Development Director, stated that there were two issues to be discussed regarding the Fridley Executive Center. These issues are whether the City - should -- -cent- inue -• -to. - matketr the site as proposed in the currd4tfkMafte-r qF -�P Mdtbf -- thwre-i NgtMa continue a- contractual relationship with MEPC.American Properties-. Site Development: Ms. Dacy presented a video tape -on "tech flex" buildings in Golden Valley, Eden Prairie, arid. an operation center Energy- Park in St. Paul. The complex in Golden Valley is 90,000 square feet, 16 feet to 18 feet .in height and occupied by Cyber Optics and, Work Station International. The. video showed the exterior, as well as the interior offices. The 90,0:00 square foot complex in Eden Prairie, adjacent. to the Vikings: 1training camp, is currently under construction and the majority of the committed tenants previously. occupied Class A office buildings.. The operations center in St.. Paul is 100,000 to.150,000 square feet and is a two -story building. Ms. Dacy stated that at Centre Pointe in*Roseville i 100,000 square foot tech flex.building is being constructed by Ryan Construction. Mr. Weir developed this one -story office building which houses a day care center. Ms. Dacy stated that a lot of the same information Fridley has about the market was given ..to our counterparts in Roseville. Roseville had to go through a decision making process to take advantage of what is marketable at this point in time or wait for an opportunity to develop the site for corporate offices. The decision was made to develop a portion of the site as tech flex. They are in the process of closing on two sites for hotels, and they still have 16 acres available to market as corporate office space. Mr. Jellison, MEPC, stated that CSM is developing the Roseville site, but they did not want to look at Lake Pointe. The Marriott people said it was too premature, and there was not enough service areas to make it work. Ms. Dacy presented four options or scenarios for development of the Fridley executive center (formerly Lake Pointe). Option A is for a Corporate Office Park, represented in the existing Master Plan, of FRIDLEY CITY COUNCIL /HRA MEETING OF JULY 21, 1997 PAGE 2 582,000 square feet in four office buildings. There is 90,000 square feet of retail and service uses included in this option, as well as all three other options. Option B is for an operation center /office building with a 185,000 square foot multi -story office building and 261,800 square feet in two operation center buildings (these are two, two -story buildings) . MEPC has a proposal pending with a company for this use. Option C is a mixed use park with 250,000 square feet in two multi- story office buildings and 100,000 square feet in two, one -story "tech flex" buildings_ Tech flex means a one -story research and development facility with a higher grade appearance than a typical one -story office /showroom facility. Option D is all "tech flex" of 240;000 square feet in two or more tech flex, one -story buildings. Ms. Dacy summarized the financial impacts of each of the options in terms of the amount of annual taxes and the present value of tax increment. They are as follows: Option A, $2,687,513; $8,529,938 (TIF); Option B, $1,974,588; $7,124,357 (TIF); Option C, $1,462,278; $51071,479 (TIF) ; and Option D, $738,835; $3,485,934 (TI F) Ms. Davy state& in Options A and B it is assumed that all the land is written 'down to zero. Options A, B,. and C assume that all of the parking ramp expenses are assumed by the HRA (and paid for with tax increment): Option D assumes land sales and no parking ramp expenses because the proposed development is entirely one story with surface parking. Options C and D also assume revenue from a land sale for the one -story building. Councilman Schneider asked if the cost for a parking ramp was $7.5 million dollars. Mr. Burns, City.Manager; stated that the cost is $7,500 per parking space. The ramp at the municipal center was $5,000 per parking space. Ms. Dacy stated that the cost for a new ramp is $6,500 to $8,000 per parking space depending on the height. Mr. Meyer stated that $7,500 to $8;000 per parking space is.the going rate when you have multi -level parking. Ms. Dacy stated that "tech flex" is a growing market, as companies are downsizing and looking for less expensive lease rates. Mr. Prairie stated that Options B, C and D would not be as attractive as Option A. FRIDLEY CITY COUNCIL /HRA MEETING OF JULY 21, 1997 PAGE 3 Ms. Dacy stated that in Options A and B, all of the parking Js in ramps, with the exception of 15 percent surface parking. In Option C, half the site is "tech flex" and all that parking will be surface parking. There is, however, 250,000 square feet of office buildings which involves about a 1,000 car parking ramp. Councilman Schneider asked why Option A could not proceed. Ms. Dacy stated that the City has received comments about the CEO appeal, and there is concern about Fridley's image. Mr. Jellison stated that over $35,000 was spent in attempting to have Lawson Software locate on this site. The corporate headquarters building was redesigned with a high tech innovative image, as well as a research and development -buil-ding:- - - The -re were two buildings proposed for a total--o-f-340--000 s quare feet...-.'Lfawson; however, did not envision Fridley as their corporate headquarters and they relocated in St. Paul. Ms. Dacy stated that it is still possible to proceed with Option A, but it may be some time before this would occur. The question is how long should the City wait. Councilman Schneider felt that waiting would. not change the City's image. Mr. Burns asked if there were fewer companies hooking for corporate space. Mr. Jellison stated that companies today want greater flexibility. He felt that "tech flex" does provide this alternative, and the trend is growing. He cannot think of any corporate campus. being constructed in the Twin Cities at this time. Mr. Meyer stated that H.B. Fuller was expanding their campus. Councilman Schneider felt that companies start as "tech flex." If they are successful and grow, they look at a corporate campus. This opportunity may be provided in the mixed use. Mr. Jellison stated it is their hope that this would happen. He stated that when companies grow to a certain point they want that corporate image. Some other companies approached for the possible use of the site were U.S. WEST,. Pentair, Target, and Piper Jaffray. All have found other facilities, with the exception of Piper Jaffray which will not make a decision until later this summer. Their interest would be in an operations center. Mr. Meyer asked Mr. Jellison if he has heard any criticism of the site. FRIDLEY CITY COUNCIL /HRA MEETING OF JULY 21, 1.997 PAGE 4 Mr. Jellison stated that the access has been a concern, but there is the new plan for upgrading the intersection. He knows that the City would like to have Option A, but-companies are more concerned about bottom line and flexibility than upgrading their image. Councilman Billings felt that Lawson would not have changed their mind regardless of what Fridley offered, as they wanted to locate in downtown St. Paul. Councilman Billings stated that the buildings constructed on this site will last longer than the TIF district. He stated that City should look at the impact of the taxes after the district expires after twenty years. One -sixth of the annual taxes was considered as the: City's portion, the net would be: $5,400,000 for Option A; $5,800,,000 for Option B; $7,400,00-0 for Option C; and $10,900,000.- for Option D. The point is that-, -the - Cit y should, be looking fo`r something beyond the life of the TIF district. Councilman Billings stated that the question is priority. Should.a larger amount of taxes be generated for the good of the community (the school district and county as well as the city) or should the City be looking at how much taxes can be generated for the City? Councilwoman Bolkcom felt that constructing a fancy building would not change the City's image. .This is a blue collar suburb; and Fridley is not Minnetonka or Eden Prairie. This is not a negative, and there is nothing wrong with our' City, but Fridley is an older community. Communities life Eden Prairie and Maple Grove are relatively new. Councilman Barnette felt that what was envisioned was a Radisson for the community. If this type of development occurs it would enhance the City's image. Councilman Schneider stated that he did not.care if the City waits several years if, in fact, this is an image issue. Mayor Jorgenson stated that she does not foresee a major hotel built on the site, as the market is not here for such a facility. She does not necessarily favor a service center but felt a technical center would be good for the site. Councilman Barnette asked if Fridley's image was different from Roseville's. Mr. Jellison stated it was, in that Roseville has Rosedale Shopping Center, newer homes, and more retail. Mr. Prairie stated that there is not a shortage of land adjacent to the freeway in the north and west areas, as Plymouth and Maple Grove have land available. L , FRIDLEY CITY COUNCIL /HRA MEETING OF JULY 21; 1997. PAGE 5 Ms. Schnabel stated that Roseville also has major freeways to the downtown areas. Councilman Billings felt that the City has to look at what is feasible based on all the factors in the market place. If Option A could be developed in the short term, this would be the way to proceed. This, however, does not seem realistic, and other options may need to be considered. He questioned how viable is Option B. Mr. Jellison stated that there is probably a 25 percent chance of proceeding with Option B. A company would still have to be convinced to locate in Fridley. The greater viable avenue is Options C or D with a high tech building. He would go to their board to construct a speculative building' without a lease. - _94 tech buildings are higi. quality facilities that most:-ci -td..esL care happy with. - He fee1lt °-that' there "1nddd@d to-_cb ='�aet. -;d &v 6 i in order to get momentum going. Ms. Dacy asked if there is a legitimate chance of attracting a hotel and 'restaurant if Option C is pursued and "tech flex" is in operation. Mr. Jellison felt that a Fairfield Inn or a Hampton Inn would fit in nicely on this site. Ms. Schnabel felt that it was time to begin development of this,_ site. She would favor Option C. _. Councilman Schneider felt that there was a consensus for Option C. Mr. Meyer asked if the site would require major soil reimediation. Mr. Flora stated that the majority of the areas were cleaned up,. and the soil was re- compacted. Councilman Billings asked if sites 1 and 2 were developed under Option C, if it may be possible to market sites 3 and 4 for offices. Mr. Jellison stated he cannot answer that question but would do everything he could to market this as an office site. It is more likely that they would find tech users than multi -story office users. However, once sites 1 and 2 are developed there is a much better chance of attracting other companies. Ms. Dacy stated that there is some. time. available to the City Council and HRA to market the balance of the site for office while sites 1 and 2.are being developed. Mr. Burns stated that the City was asked by an existing company in the City that needs multi -story office space to r>>at together a proposal for their company. The City was asked Llat incentives FRIDLEY CITY COUNCIL /HRA FETING OF JULY 21, 1997 PAGE 6 would be provided for a 250,00 square foot building. Option C could accommodate this request. Mr. Jellison stated that the only building they would try to construct speculatively would be the high tech. The two -story buildings would be built-to suit. Mr. Casserly stated that this existing company is at the planning stages. The earliest they could respond to a proposal would be in nine to twelve months. Councilman Billings asked how soon the City would know if an operations center is feasible. Mr. Jellison stated that he should - knew -�_�.n the next 30 to 45 days. In the meantime, he would up 'the tech space and obtain some preliminary figures. Councilman Schneider stated that he would favor proceeding with Option C but would not like to eliminate the request from the existing company in Fridley. Ms. Jowett stated that if development could proceed on the site this might change. people's thoughts 'to take a second look.* and locate on the site. Mr. Jellison stated that it was a pleasure working with the City and its staff. The lack of development on the site has.nothing to do with staff's lack of enthusiasm. Councilman Billings asked what time period MEPC would be looking at for an extension of their contract. Mr. Jellison stated .that if the City decided to continue to pursue Option A, MEPC may or may not wish to extend the contract, depending on their board_ If the City pursues other options, they would probably start developing a plan for the office service building and then take it to their board in September for approval. They would expect the contract. would be extended for a reasonable time to construct and market the building, probably about twelve months. Councilman Billings stated that, as he understands, MEPC would want a commitment for sites 1 and 2, under Option C and then would re- evaluate the rest of the site around the first of the year. Mr. Jellison. stated that MEPC would be awfully disappointed if there was board approval for sites 1 and 2, and then the City let someone else come in and build the same type of product on the balance of the site. Normally, if 'a company was going to locate on the site they would go through them. FRIDLEY.CITY COUNCIL /HRA MEETING OF JULY 21, 1997 PAGE 7 At this time, Mr. Jellison and Ms. Jowett left the meeting. Councilman Billings stated that he was willing to eliminate Option A because he did not know if it would ever happen. MEPC has done a good job for the City. He would be willing to work with MEPC for a few more months to see what plans they develop for the operations center. Perhaps the City could sell them the land to construct a one -story building. Mr. Casserly stated that if the City proceeds with the flex space, the question is how long does the City hold on to the balance of the site. There is also the question if the existing company in Fridley.would be comfortable going to MEPC. The question is if the City wants to force the existing company or any multi -users to work with MEPC. He does not have an answer and felt thi.;• needed to be discussed further with MEPC. - -:- Ms. Dacy stated that in a telephone conversation with Mr. Commers on Monday, his comments were that he would like the City to contact the existing company in the immediate future and explain the City's plans for the, site. He felt that if Option A were to. occur it would probably be with this company. If not, Option C and D may be the.way to proceed. Councilman Schneider would agree that if there is a chance with the existing company in Fridley it should be pursued. Mayor Jorgenson stated that even if the City meets with them, is the City willing to wait for them? Mr. Casserly felt that the tone of the meeting with this company was that the City is doing high quality tech space. If this fits in with the company's plans half the site can be reserved for a certain period of time. Councilman Schneider felt that it would be beneficial to have a meeting before making a decision regarding MEPC. Councilman Billings asked if the existing company has expressed an interest in the entire site. Mr. Burns stated that they have approached the City in the context of a five -year planning process. Councilman Schneider felt that someone on the CEO's staff of this company should be contacted. Mr. Casserly stated tha, if MEPC were only allowed to develop half the site, they would have to make a decision. However, if there was only a certain amount of time the site would be held for this existing company, MEPC may be willing to proceed and develop the site. It would be good to contact this existing company before an FRIDLEY CITY COUNCIL /HRA MEETING OF .JULY 21, 1997 PAGE 8. agreement is signed with MEPC. The City should advise this company about the plans and that if they want to exercise an option with the site, it needs to be done in a certain period of time. Ms. Schnabel stated that the question is how much control MEPC wants over the development of the operations center or possibly a hotel. Ms. Dacy felt that, in summary, there was a consensus on pursing Option C. Second, the City should contact the existing company as soon as possible and discuss their future plans. Third, to begin negotiations on a contract with MEPC to give them the rights to build two, 50,000 square foot one -story tech flex buildings within ninaty days after approval is executed. Finally, Council and the HR& would consider a, proposal for the operations center, and if in the next 30 to 45 days, the pending proposal is accepted by the company. There also is a preference to preserve the east part of the site for a multi -story office. Councilman Billings stated that his personal feeling is that if the operations center proceeds, it would take the space where the tech building would have been constructed. Ms. Dacy stated that in regard to the Master Plan, it has been approved by the NEPA, City Council and Planning Commission. If there is a.lower density on the site it can be interpreted that no adjustments 'are needed. The other interpretation, because kt�ri� a different approach, can be to require amendments to- Option C. Councilman Billings felt that the interpretation that should be taken is one that allows the flexibility of proceeding or not proceeding with the office building. This gives the City the ability to construct less density. The neighborhood did not want.a six -story building where people could look down into their yards. The immediate neighborhood would not have objections to taking this interpretation. In terms -of those that live farther from the site, their concern may be the financial impact. They. may have preference for the other interpretation. This interpretation would require a public hearing every time there is a modification of the direction. The first interpretation gives more flexibility. Mayor Jorgenson felt that the neighborhood wanted less density. Councilwoman Bolkcom felt that residents would be happy with some development on this site. The City should take the first interpretation. Causeway Lighting: Mr. Burns felt that it may be appropriate at this time to discuss the causeway lighting on Highway 65. FRIDLEY CITY COUNCIL /HRA MEETING OF JULY 21, 1997 PAGE 9 Councilman Barnette felt that this was .a good idea. Fridley needs some identity. He listened to the residents at the hearing. No one was in favor. Several persons have contacted him and. are in favor of it. Comments were that the lake should be cleaned rather than spend money on lighting. That is not the issue, as funds have been earmarked for this project and could not be used to clean up the lake. Councilman Schneider stated that he has heard only from residents that are opposed. He really did not know if the lighting would change the City's image. if the City is serious about their image, hire someone in this field to come up with a plan on how to turn the City's image around. Ms. Schnabel stated that she would rather spend the funds to have University Avenue mowed: -- Councilman Billings asked the HRA members if they would be willing to spend the $60,000 for causeway lighting. Mr. Meyer stated that he would be willing to spend funds for this lighting. Mr. Prairie felt that there were other places where they should use these funds such as University Avenue. He does not necessarily disagree with the lighting, but it would be down on the list of. priorities. 1 Ms. Schnabel stated that it would be nice to have new guardrails on Highway 65 along Moore Lake. She was not in favor of the lighting, as she felt lighting would. detract from the lake. This in itself creates an image for Fridley. Ms. Dacy stated that staff could investigate replacing the guardrails. Mayor Jorgenson felt that this was the state's responsibility.. Ms. Dacy said that the state could be asked to replace them. Mr. McFarland stated that he would be in favor of the lighting. Ms. Dacy stated that the image is very important. The City is building on the concepts addressed many years ago. There are a lot of projects proceeding that address some of these issues, and the fence on University Avenue may just take some time. Councilwoman Bolkcom suggested asking the residents what can be done to improve the City's image. Councilman Billings stated that the only way the state would remove the fence along - University Avenue was if the City entered Into a hold harmless agreement. . a FRIDLEY CITY COUNCIL /HRA MEETING OF JULY 21, 1997 PAGE 10 Ms_ Dacy stated that it is causeway lighting item was Councilman Schneider stated this meeting, but he would meeting, the item should be TIF Assistance: important to have a decision on the originally scheduled for July 28. that he did not know if he would be at let staff know if he is not at the scheduled for August 11. Councilman Billings-stated that he has submitted a memorandum to the HRA regarding his concern about providing funding to Mr. Paschke. Mr. Prairie asked if the request was made before the building was started. Ms. Dacy stated that the actual "-'air'thorrzd.'vioh' -"; to t �,repare the development contract occurred after issuance of the building contract. From a legal standpoint, it is to be discussed prior to establishing the district. From a policy standpoint, the HRA has not provided TIF assistance after a project has begun. Ms. Dacy stated that the soil reports have been verified. There is a history of that development receiving TIF assistance in the past. Mr. Paschke submitted a letter that outlined his costs for soil correction and the soil reports. As part of the development contract, Mr. Paschke would need to make a certification. that he, in fact, did incur those .costs -and the project would not have proceeded without TIF assistance. Councilman Billings stated that in this case, his personal feeling is that staff has gone overboard because Mr. Paschke comes off as brash and argumentative and that he is entitled to this assistance. The City did.a project with him on this site several years ago and had to work hard to get him to conform to the building contract and what he was supposed to do on the pond. There are rumors that even on the addition he, is not building it to code and is taking shortcuts. Several years ago, staff put together a packet because he stated that staff was not treating him nicely. This packet included all that he was not doing. Here again, he wants more money and has a history of not being cooperative with the City saying he is entitled to it. Councilman Billings doesn't think we should give him money if he is not going to play by the rules. Councilman Schneider stated that he started installing streets wherever he wanted them. Ms. Schnabel asked what value this adds to the property. Ms. Dacy stated that the construction value is $304,000 or about $25 per square foot and a $12,000 increase in taxes. FRIDLEY CITY COUNCIL /HRA MEETING OF JULY 21, 1997 PAGE 11 Ms. Dacy stated that in the storm that occurred on July 1, the Chief Building Official reported to her that when 'he went to inspect the damage the walls had fallen down and the core fill had not been installed. Mr. Paschke is not calling for his inspections so now he will be forced to dig up the sewer and water. The architect is saying that Mr. Paschke is not constructing the building according to the plans. The City's Chief Building Official is seriously considering revoking the building permit which has never been done in the City. No certificate of occupancy will be issued at this point in time. The development contract always requires a certificate of occupancy. The HRA is under no legal obligation to approve the resolution to authorize the development contract. It is entirely within their discretion. Councilman Billings stated that he is not trying to give direction to the HRA. He would appreciate it howeuer. ''if they would reconsider the plan to provide any funding. Perhaps including a clause in the agreement that all building will be done in conformance with the building code. He wanted to bring to their attention the fact that Mr. Paschke has not performed in the past without a tremendous amount of work on the part of staff to get him to perform. Personally, he takes exception to giving someone money who gives staff a bad time when they are trying to do their job. Ms. Schnabel stated -that at the time the HRA considers the resolution, the Chief Building Official should probably come to the meeting. Ms. Dacy .stated that tkis could be ..done or a written report provided. Mr. Meyer stated that this work may need more red tags or staff should talk to the architect. At this time, 10:35 p.m., the HRA members left the joint-meeting. Code Enforcement: Councilwoman Bolkcom asked what was happening to repeat offenders who violate the City Code. Ms. Dacy stated that tablets have been distributed to City personnel out in the field who can report code violations. The City is trying to take care of repeat offenders. Councilwoman Bolkcom felt that approach on those who have not City could pursue what other problems and repeat offenders. Locke Lake: the City needed to take a strict complied with the code. Perhaps the communities do with these types of Mr. Burns, City Manager, stated that he has written a memorandum regarding proposed actions on Locke Lake issues. Staff is trying FRIDLEY CITY COUNCIL /HRA MEETING OF JULY 21, 1997 PAGE 12 to deal with the homeowners regarding repairs and /or modifications to retaining walls. Mr. Haukaas met with several of the homeowners regarding the retaining walls. Several options are being suggested. Mr. Burns stated that in order to facilitate the rebuilding process, each abutting Locke Lake property owner would be sent a letter advising them that the level of the lake would be lowered and that they would have an opportunity to repair and /or make modifications to retaining walls. Further, the City would advise that the water level would be restored to the 821 foot level next spring. The City Attorney indicated that he would feel comfortable defending these decisions. Mr.. Burns stated that the City will receive a rebate -cad r about. $10,200 from the Rice Creek Watershed Distfict '-Perhaps h s'mdf could be used to assist property owners for modifications to the retaining walls to allow them protection from the water level of 821 feet. Mr. Burns stated that Mr. Hovey from the Department of Natural Resources felt that this was a reasonable approach, but he could not guarantee they would approve a new operating permit at the 821 elevation. The City should submit this request. Mr. Flora stated that the biggest problem is with Mr. Halvorson's property. When the lake went down the retaining wall cracked. When the water was raised to 821 feet it topped the concrete, and water saturated the fill behind the wall. The City offered to give him rock to support the wall, but he does not want the riprap. He wants the wall replaced with concrete. Councilman Schneider asked the cost to replace the wall with concrete. Mr. Flora stated that the lake would have to be completely drained, and the cost would be about $75,000 to $100,000. Councilwoman Bolkcom stated that whether the lake is 820.3 feet or 821 feet Mr. Halvorson is still having problems. Mr. Flora stated that at 820.3 feet he is in limbo, as the wall is tipping and is cracked. The soil in back of it becomes very wet and increases the weight. Ultimately, the wall will collapse. Councilman Schneider asked if the wall could be built up. Mr. Flora suggested that this be done, but Mr. Halvorson does not want to do it. There is a gap between Mr. Halvorson's property and the dam. The City replaced that with riprap to tie into the dam and to keep his wall as vertical as possible. FRIDLEY CITY COUNCIL /HRA MEETING OF JULY 21, 1997 PAGE 13 Councilman Schneider stated that even if the lake level is at 820.3 feet he still would not be satisfied. Mr. Flora stated that Mr. Halvorson said if the City installs riprap over his wall he would lose sale price value because it would look bad. He does not like the rock, and he does not want it. Councilman Barnette stated that the only thing that will make him happy is if the City rebuilds the wall. Mr. Flora stated that he will not let the City take down the fence to do the riprap. He wants the water level kept at 820.3 feet. Mr. Burns stated that there is,a concern that if the DNR lets the City put the wall, back up they WAht pre- treated timbers. Mr. Flora stated that the DNR will give a permit for riprap.' Anything else is difficult to obtain. Councilman Barnette stated that it sounds like Mr. Halvorson may eventually sue the City. Mr. Halvorson may wait until the City raises the water level and the wall collapses. Then he will sue. Mr. Burns stated that he may sue the City anyway under the existing circumstances. Councilman Schneider asked if the City did damage. Mr. Burns stated that he did not believe so. Mr: Halvorson's argument is that we damaged his property when we let the dam collapse. We should have been more vigilant. Mr. Halvorson said that he even gave us warning. Councilman Schneider asked if there were issues with the other property owners. Mr. Flora stated that they did not give definite answers as to the riprap rock. Mr. Flora stated that riprap could be placed on the top of Mr. Halvorson's wall which would preserve it for about another ten years or so. Mr. Burns stated that if the City is under the threat of a lawsuit funds can be spent without establishing a precedent for the other properties. Councilman Barnette stated that if other property owners saw the City working on Mr. Halvorson's property they may ask what the City can do for them. FRIDLEY CITY COUNCIL /HRA MEETING OF JULY 21, 1997 PAGE 14 Councilwoman Bolkcom stated it might be looked on that the City is trying to offer more protection for the dam. Mr. Burns stated that he would probably talk with Mr. Halvorson personally. If Mr. Halvorson is willing to go with the riprap proposal and to sign a release, Mr. Burns questioned if the City should proceed. The estimated cost is $6,500. Mr. Burns confirmed that it was acceptable to send the proposed letter to the property owners. Mayor Jorgenson and Councilman Schneider indicated that they would support the offer to Mr. Halvorson. Councilwoman Bolkcom abstained from a vote, and Councilman Billings remained neutral. Mr. Flora answered questions. by Councilman Schneider on the Locke Lake summary and the allocation of the $59; 936 `from the -Locke lake Dam account to the Stonybrook Creek project. Vacanr,i PI3 Mr. Burns stated that there were three vacancies to be filled. He requested permission to fill these positions. There were no objections raised. Councilwoman Bolkcom commented on the memorandum from Dave Sallman regarding the Crime Prevention Specialist position. So far, staff has been able to survive while this person is on disability leave. Councilwoman. Bolkcom felt that perhaps other members of the staff could take up some of the slack for this position. Mr. Burns stated that Mr. Sallman could discuss this further at a Council meeting if Council so desires. Mayor Jorgenson stated that there is a request for a proclamation for Blue and White Sunday. Mr. Burns felt that perhaps the proclamation was self - serving. Mayor Jorgenson felt that it could be reworded, and the last three "whereas's" eliminated. Councilman Barnette stated that the school board wished to use the City's facilities permanently. Perhaps the only cost to them might be for Brian Strand's time. Mr. Burns stated that this could be done, as the City has used their pools and gymnasiums. Every effort would be made to accommodate their meetings which may be in conflict with the Environmental Quality and Energy Commission. Some changes may be needed in the meeting times or rooms. FRIDLEY CITY COUNCIL /HRA MEETING OF JULY 21, 1997 PAGE 15 Meeting was adjourned at 11:40 p.m. Respectfully submitted, Carole Haddad Secretary to the City Council l 21 MEMORANDUM HOUSING AND 4ZEDEV LOP M. NT AUTHORITY DATE: August 8, 1997 TO: William Burns,- Executive Director of HRA -- FROM: Barbara Dacy, Community Development Director Grant Femelius, Housing Coordinator 7s X00, V `%z -1 �- SUBJECT: Resolution Adopting HRA Tax Levy for Taxes Payable in 1998 As you recall, last year the HRA adopted .a tax levy for taxes payable in 1.997 to help support the single family housing rehabilitation program. The purpose of the tax levy was to help repay the $1.5 million loan from the City to capitalize the HRH's revolving loan program. On May 15, 1997 the HRA received $85,610 from the County which represents Y2 of the tax levy for taxes payable in 1997. The HRA tax levy is based on .0144% of the market value of all taxable real property in the City. On August 1, 1997 the first installment of the City's loan was due for a total of $71,666.46, leaving an outstanding principal balance of $1,465,833.54. Additional payments to the City of $143,33 .92 per year will be required until 2012 when the loan will be paid inVl.� .. In order for the HRA to levy taxes in 1998 it must adopt a resolution (copy attached) which is then forwarded to the City Council. The City Council must also adopt a separate resolution consenting to the tax levy prior to submission to Anoka County. The HRA's tax levy rate would remain the same, however the increased market values for 1998 will produce a slightly higher revenue projection of $176,952. Also attached is a summary showing the impact on a typical Fridley homeowner and commercial property owner. HRA Tax Levy Memo August 8, 1997 Page 2 Recommendation Staff recommends that the HRA adopt the attached resolution authorizing an HRA tax levy for taxes payable in 1998. The City Council will consider a separate resolution at their August 25, 1997 meeting. GF/ M -97 -344 . ,. - -�b Na z a Ud/Ub/97 rill) 15:43 rAAA 612 885 5969 KRASS MONROE, P.A. A T T 0 R N E Y S A T L A W ■ James R. Casserly D&ed Drat• (612) 885 -1298 TO: FROM: RE: DATE: KRASS MONROE MEMORANDUM City of Fridley Attn: Barbara Dacy, Community Development Director James R. Casserly HRA Levy August 6, 1997 -44 FRIDLEY 1M Enclosed please find the following. 1. A Resolution adopting 1.997 tax levies collectible in 1998 (the "HRA Resolution ").. 2. A Resolution consenting to the. Housing Redevelopment Authority. .-in and for .the City of Fridley. adopting. 1997 tax levies collectible in 1998 (the "City Resolution "). 3. Laws of Minnesota 1997 Chapter 231, Article 2, Section 43. Previously the Authority adopted a General Levy and a Relocation Levy. However, the 1997 legislature simply combined the two levies into a General Levy. If there are any questions regarding the Resolutions or the new legislation, .please give us a call. JRCrmm cc: City of Fridley Rick Pribyl, Finance Director w/ encl. TAWRIDLEYIHOUS97M Suite 1100 Southpoint Office Center 1650 West 82nd Street. Minneapolis, Minnesota 55431 -1447 Telephone 612.885.5999 Facsimile 612.885.5969 Q002 08/06/97 WED 15:44 FAX 612 885 5969 KRASS MONROE 444 FRIDLEY , R 003 , a HRA RESOLUTION NO. — 1997 A RESOLUTION ADOPTING 1997 TAX LEVIES COLLECTIBLE IN 1998 BE IT RESOLVED by the Board of Commissioners (the "Commissioners ") of the Housing and Redevelopment Authority in and for the City of Fridley, Minnesota (the "Authority "), as follows: Section 1. Recitals. - 1.01. The Authority is authorized by Minnesota Statutes Section 469.033 to adopt a levy on all taxable property within its area of operation, which is the City of Fridley, Minnesota (the "City "). 1.02. The Authority is authorized to use the amounts collected by the levy for the purposes of Minnesota Statutes Sections 469.001 to 469.047 (the "General Levy "). Section 2. Findings, 2.01. The Authority hereby finds that it is necessary and in the best interests of the City and the Authority to adopt the General Levy. to provide funds necessary to accomplish the goals of the Authority and in furtherance of its .Modified Redevelopment Plan. Section 3. Adoption of General Lew. 3.01. The following sums of money are hereby levied for the current year, collectible in 1998, upon the taxable property of the City for the purposes of the General Levy described in Section 1.02 above: Total General Levy: .0144% of Taxable Market Value Amount: Maximum Allowed by Law 08/06/97 WED 15:44 FAX 612 885 5969 KRASS MONROE -44 FRIDLEY IA004 Page 2 - Resolution No. Section 4. (tort to C and Filing of Levies. 4.01. The executive director of the Authority is hereby instructed to transmit a certified copy of this Resolution to the City Council for its consent to the General Levy. 4.02. After the City Council has consented by resolution to the General Levy, the executive director of the Authority is hereby instructed to_ transmit a certified copy of this Resolution to the county auditorof °Anoka -County ,Mumesotn:' -� - PASSED AND ADOPTED BY THE FRIDLEY HOUSING AND REDEVELOPMENT AUTHORITY OF THE CITY OF FRIDLEY THIS DAY OF '199—. .;0 LAWRENCE R. COMMERS - CHAIRPERSON ATTEST: WILLIAM W. BURNS - EXECUTIVE DIRECTOR SFRIDI.EMOUS97U-IR&RES lu 08/06/97 WED 15:44 FA% 612 885 5969 BRASS MONROE FRIDLEY { 05/17/97 [REVISOR ] JMR /CA CCRHF2163 1 sufficient to authorize operation of the program in its area of 2 operation for which it was created without additional local 3 governing body approval. Approval by the governing body or 4 bodies creating the authority cokstitutes approval of a housing 5 program for purposes of any-,specialvbr general law requiring 6 local approval of section a programs undertaken by city, county, 7 or multicounty authorities; and 8 (32) to secure a mortgage or loan for a rental housing 9 project by obtaining the appointment of receivers or assignments 10 of rents and profits under sections 559.17 and 576,01, except 11 that the limitation relating to--the _minimum..amounts._of. the__ 12 original principal balances of mortgages specified in sections 13 559.17, subdivision 2, clause (2); and 576.01, subdivision 2, 14 does not apply. 15 Sec. 43. Minnesota Statutes 1996, section 469.033, 16 subdivision 6, is amended to read: 17 Subd. 6. [OPERATION AREA AS TAXING DISTRICT, SPECIAL TAX.] 18 41 of the territory included within the area of operation of 19 any authority shall constitute a taxing district for the purpose 20 of levying and collecting special benefit taxes as provided in 21 this subdivision. All of the taxable property, both real and 22 personal, within that taxing district shall be deemed to be 23 benefited by projects to the extent of the special taxes levied 24 under this subdivision. Subject to the consent by resolution of 25 the governing body of the city in and.for.which it was created, .26 an authority may levy .a tax upon all taxable property within 27 that taxing district. The tax shall be extended, spread, and 28 included with and as a part of the general taxes for state, 29 county, and municipal purposes by the county auditor, to be 30 collected and enforced therewith, together with the penalty, 31 interest, and costs. As the tax, including any penalties, 32 interest, and costs, is collected by the county treasurer it 33 shall be accumulated and kept.in a separate fund to be known as 34 the "housing and redevelopment project fund." The money in the 35 fund shall be turned over•to the authority at the same time and 36 in the same manner that the tax collections for the city are Article 2 Section 43 '.i i 7Q 006 I HRA Tax Levy Projections _ Total Taxes Levy Market Payable Rate Value 1997 0.014400 $1,173,256,400 1998 0.014400 $1,211,076,900 (a) - 1 st half taxes paid 5- 15 -97. ® Projected Tax Actual Levy Paid $ 168,993.00 $ 85,610.00 (a) $ 176,952.00 $ - HRA TAX LEVY PROJECTIONS Page 1 8/6/97 IF TvDical Homeow er 63XX Monroe St. NE 63XX Quincy St. NE 7XX Bennet Dr. NE 59XX 2-1/2 St. NE 5XX Hugo St. NE Tvoical Commercial Prw-ertv 77XX University Ave. NE 78XX Ranchers Rd. 78XX Ranchers Rd. HRA Tax Levy Impact .$290,000 $ HRA $ 290,000 0% $ 41.76 HRA 1997 Tax Levy $ 578,500 1998 % Tax Levy EMV $ Impact $ 552,550 EMV Change 79.57 Impact $ 85,600 $ 12.33 $ 88,565 3% $ 12.75 $ 87,600 $ 12.61 $ 90,626 3% $ 13.05 $ 81,800 $ 11.78 $ 84,688 4% $ 12.20 $ .72,800 $ 10.48 $ 79,061 9% $ 11.38 $ 46,700 $ 6.72 $ 45,492 -3% $ .6.55 .$290,000 $ 41.76 $ 290,000 0% $ 41.76 $ 578,700 $ 83.33 $ 578,500 0% $ 83.30 $ 541,400 $ 77.96 $ 552,550 2% $ 79.57 b gyp.. Loan From City of Fridley Debt Service Schedule U* Wanding Date >: Principal; :. .:. .:Intei%t :'- D.ebt: Sernce. ....... .... .:.::rincipAl. 1,500,000.00 08/01/97 34,166.46 37,500.00 71,666.46 1,465,833.54 02/01/98 35,020.62 36,645.84 71,666.46 1,430,812.92 08/01 /98 35,896.14 35,770.32 71,666.46 1,394,916.78 02/01/99 36,793.54 34,872.92 71,666.46 1,358,123.24 08/01 /99 37,713.38 33,953.08 71,666.46 1,320,409.86 02101/00 38,656.21 33,010.25 71,666.46 1,281,753.64 08/01/00 39,622.62 32,043.84 71,666.46 1,242,131.02 02/01/01 40,613.19 31,053.28 71,666.46 1,201,517.84 08/01/01 41,628.52 30,037.95 71,666.46 1,159,889.32 02%01 /02 42,669.23 28,997.23 71,666.46 1,117,220.09 08/01/02 43,735.96 27,930.50 71-1666.46 1,073,484.13- 02/01/03 44,829.36 26,837.10 71,666.46 1,028,654.78 08/01 /03 45,950.09 25,716.37 71,666.46 982,704.68 02/01/04 47,098.84 24,567.62 71,666.46 935,605.84 08/01/04 48,276.32 23,390.15 71,666.46 887,329.53 02/01/05 49,483.22 22,183.24 71,666.46 837,846.30 08/01/05 50,720.30 20,946.16 71,666.46 787,126.00 02/01/06 51,988.31 -19,678.15 71,666.46 735,137.69 08/01/06 53,288.02 18,378.44 71,666.46 681,849.67 02/01/07 54,620.22 1Y,046.24 71,666.46 627,229.45 08/01/07 55,985.72 15,680.74 71,666.46 57.1,243.72 02/01/08 57,385.37 14,281.09 71,666.46 513,858.36 08/01/08 58,820.00 12,846.46 71,666.46 455,038.35 02/01/09 60,290.50 11,375.96 71,666.46 394,747.85 08/01/09 61,797.76_ 9,868.70 -71,666.46 332,950.09 02/01/10 63,342.71 8,323.75 71,666.46 269,607.38 08/01/10 64,926.28 6,740.18 71,666.46 204,681.10 02/01/11 66,549.43 5,117.03 71,666.46 138,.131.67 08/01/11 68,213.17 3,43.29 71,666.46 69,918.50 02/01/12 69,918.50 1,747.96 71,666.46 0.00 TOTAL 1 1,500,000.00 649,993.83 2,149,993.83 Payments are made twice a year = Feb 1 and Aug 1. There are NO Required Reserves. 1,500,000 Principal 5.0% Interest Rate 15 Amortization Term (years) The HRA began to levy with pay 97. The annual amount of the levy should be about $ 150,000. This money is earmarked to pay off the $1,500,000 loan from the city. In about 15 years, there will be a $1,500,000 loans outstanding that we'll keep lending out. File: \ EXDATA \HRA \TIFPRO98 \DEBTSERWFund =386 5/1/1997 Details Support for \EXDATA \HRA \TIFPRO98 \DEBT: )tsum.xls This is not linked to anything. HOUSING & REDEVELOPMENT AUTHORITY MTG., JULY 11, 1996 PAGE 10 UPON A VOICE VOTE, ALL VOTING AYE, CHAIRPERSON CONNERS DECLARED THE MOTION CARRIED UNANIMOUSLY. 8. RESOLUTION AUTHORIZING AN HRA LEVY 9. RESOLUTION AUTHORIZING FUNDING FOR THE REVOLVING LOAN PROGRAM Mr. Commers suggested items #8 and #9 be discussed simultaneously. These two items go hand -in -hand. As he understands it, the money the City Council was to provide for the Southwest Quadrant as proposed would be used for the revolving housing action plan end that would then be_repaid.by the levy. If we do not have -a J:eyy, then what happens?,-- -- - Mr. Casserly distributed copies of a Resolution Adopting 1996 Tax Levies Collectible in 1997. The levy can be used for any HRA authorized activities. One of the programs adopted is the revolving loan program. The levy provides a revenue stream available to the HRA which will be used to repay part of the loan from the City. If the City were to loan the HRA $1.5 million at 5o and the HRA were to make 5g:,loans, all of the loan repayments would . ga to repay. the _ City: loan . ::: The levy allows the HRA. to repay the City.-and - furxid the revolving loan program. Ms. Schnabel.. stated the ."loan.;.. from ..the - City will : cost the - HRA. about - $75; 000 per:;year�zn interest:';_° When- lookihq.!_At' the.'_r1evy will not generate enough income >to cover the interest on the loan and the loan payment. Mr. Casserly stated the -loan will be amortized like a mortgage so the payment will remain the same. The levy may not cover the interest the first year but should in subsequent years. Ms•-. Schnabel asked. how much. would the $1.5 million loan cost the HRA ultimately. Mr. Ellestad stated theoretically it should cost the HRA nothing. Mr. Commers asked how they arrived at the interest rate. Mr. Burns stated this is close to the interest rate that the City is getting in grants and loans for other projects. It seems to be a fair rate of return for the City. Mr. Casserly stated he thought this was correct. In discussions with Mr. Pribyl, he does get a bit better return on investments._ 5% represents a poorer return than what they would like to have` but with less cost then if we had to issue bonds. �' d 9 996 PAGE 1.11. -. " . ,, Mr. Casserly distributed copies of a Resolution Authorizing the Funding of the Fridley 'Revolving. Loan Program; Providing for the Delegation of Certain Powers and Duties; Authorizing the Execution of Documents. Attached to this resolution is a schedule which provides an explanation of the cash flow. They figured an average loan of $12,000 for 12 years at 5 %. He reviewed the information. Mr. Commers stated, assuming a $12,000 loan throughout the period, in 10 years they will not be worth as much. We will have to increase the loans or do less. He did not know if the number of loans projected in the last few years was realistic. If they did not have a levy, would it "be relevant to see howIthat affects- -- - our current financial status. _ - -" Mr. Casserly stated, without the levy, it is difficult to do this type of program unless you take revenues out of your existing cash flow. Mr. Commers stated he is wondering what that would do in terms of what we are doing and are able to do. Mr. Casserly stated the HRA -now has an opportunity to- provide $3 { million to the revenue stream. If you do not dc3 this; it would be absorbed-out of the current - budget at $150,000 per year. He thought the HRA would see- .increasing demands on the fund balances. Mr. McFarland asked why not take $1.5 million from their existing revenues to finance -the program. Mr. Ellestad stated the HRA has a $6 million cumulative balance. Another way to look at it is to invest by giving out loans to be paid back at 5 %. Then figure the - costs. including a 2% origination fee, a 4% handling and maintenance fee plus a 2% reserve for bad debts. This is approximately 8.5% times $150,000 which would be the true operating expense for that program. That would become another column they could add which would give the operating cost the program. Mr. Commers asked if the HRA would be better off doing that. Therefore, 8.5% plus the 5% we are paying to the City would be the true cost of operating the program. Why borrow the money from the City? Mr. Casserly stated one reason is to establish a fund in order to do the program. He thought the investment return would be better than 5 %. Mr. Ellestad stated the -HI& -investments are now making approximately 6 %. If the HRA is going to borrow from the City at 4. HOUSING & REDEVELOPMENT AUTHORITY MTG., JULY 11, 1. 96 PAGE 12 t 5% and then lending the money at 5 %, it is basically a wash. The HRA will not be using all that money at once. It may be possible to invest some of it and gain some revenue. Mr. McFarland stated the HRA will be generating income from the loans and money from the tax levy which is building up the fund. If you do not make a commitment up front to capitalize the HRA monies, the fund will not grow. Mr. Commers stated he thought, if they did not have the revenue, the HRA would have to capitalize it themselves. His concern is that the fund would grow less than projected, there may be a shortfall in 7 -8 years, and the HRA--is--going to be limited in some of things they might want to do. Mr. Casserly stated part of the purpose in approaching the matter in this way was that so often the projects that come to the HRA are going to be redevelopment projects. The HRA will do only some because staff and the resources can only handle so many. In the near future, the HRA will be doing projects that are. net losers. They will provide some..new' revenue but are pure redevelopment. This type of .program tried to become self- { financing in the future, If {ybw treat each .revolving loan fund and provide that as- a- separateasp , funds, you;'can- continue with loans. That is what. .you =wiif `dry to do -.in the future. The HRA will do a . few _grants. lButr loans • :are going to - be :the ;major housing n r ams : ; This tries to °address that `and .tries -',£o :'treat �J P them as separate programs. Mr. Commers stated he was trying to figure out how badly they need the levy. What does it add to this? Mr. Casserly stated this essentially gives the HRA $1.5 million up�froHt and. capitalizes the source for the program. +s= Mr. Fernelius asked if the tax levy really builds up a- balance at the end. Mr. Casserly stated that is where the effect is seen. The HRA has then paid off the loan to the City and now has a levy which can be invested into programs without having. to repay. It is very advantageous to have the levy particularly if you do not have to make repayments. It is to your advantage to borrow money to fund a program up front. In the event the program is not sound or you do not need the levy, you do not renew. This can be discontinued at any time. Mr. McFarland stated, if we are. going to invest in our housing stock, that should stabilize the tax base which will offset that percentage over time. It should be returning to the tax payer by stabilizing the tax base. a HOUSING & REDE VELOPK9NT AUTHORITY MTG. JULY 11 1996 • PAGE 13 Mr. Fernelius stated there is also the issue of encouraging other improvements to be made outside of our program. There are other Positive effects -for other owners. For every $1 we are investing, there may be $2 or $3 from the private sector being invested by owners who see people going through our program and willing to invest in their property. There are other positive effects it creates for other owners. Ms. Schnabel stated, if the improvements being made are bringing things up to code, we will not see a big increase in taxes. Mr. McFarland stated, if your housing stock is goin3 to stay with the times, they will have to update kitchens and - ba.chs or you wil have some deterioration. enhance the house. - I:nharicing the YOrsf de rfoi Mr. Commers asked if the members wanted to authorize the levy. Mr. Casserly stated he would recommend providing the maximum levy allowed by statute. In 1994, there could be two levies. In 1994, the HRA could have generated $156,000. In 1996, it could be slightly more than $150,000. Because these-levies are such small percentages, or .0144 %, for the first year-he would recommend the'maxi.mum allowed by statute.- MOTION by Mr.- McFarland, seconded.,-by Ms. :Schnabel , to approve a Resolution Adoptinq.•1996 VTx ,hevi:es_` Collectible -in' 199T." Mr. Meyer stated he would vote no because he feels this is an inappropriate tax increase for the City•s taxpayers. UPON A -VOICE VOTE, - WITH MR. COMMERS, MS. SCHNABEL AND MR. MCFARLAND VOTING AYE, AND MR. MEYER AND MR. PRAIRIE VOTING NAY, CHAIRPERSON CONNERS DECLARED THE MOTION CARRIED BY A MAJORITY _ VOTE. m MOTION by Ms. Schnabel, seconded by Mr. McFarland, to approve a Resolution Authorizing the Funding of the Fridley Revolving Loan Program; Providing for the Delegation of Certain Powers.and Duties; Authorizing the Execution of Documents. UPON A VOICE VOTE, WITH MR. COMMERS, MS. SCHNABEL AND MR. MCFARLAND VOTING AYE, AND MR. MEYER AND MR. PRAIRIE VOTING NAY, CHAIRPERSON COMMERS DECLARED THE MOTION CARRIED BY A MAJORITY VOTE. 10. RESOLUTION AUTHORIZING ADDITIONAL EXPENDITURES FOR THE MISSISSIPPI STREET /3RD STREET INTERSECTION PROJECT Ms. Dacy stated the City opened bids for the intersection project and the low bi s 212,616.20. This is a difference of R DATE: August 7, 1997 MEMORANDUM .t HOUSING AND REDEVELOPMENT AUTHORITY TO: William Bums, Executive Director of HRA FROM: Barbara Dacy, Community Development Director ` SUBJECT: Authorize Execution of Metropolitan Council Tax Base Revitalization Account Grant Agreements for Dealers Manufacturing The Metropolitan Council and DTED have fully funded the recent DealQrs Manufacturing request for pollution clean -up funds ($559.676). The HRA, at its May 8, 1997, meeting, agreed to act as the applicant on behalf of the company to access these funds. The HRA will not have any financial commitment as part of the grant; the HRA will merely act as a "pass- through" from the Meirolitan Council and DTED to the company. Attached for approval are the grant agreements for the Metropolitan Council Tax Base Revitalization funding in the amount of $443,990. The DTED agreement for its grant of $48,525 has yet to be received by staff. Once it has been received, it will be scheduled for approval for execution on a future agenda. „.; One of the conditions of approval at the May 1997 meeting was to retluire the company to enter into an agreement with the HRA to guarantee that the company will provide the match that is required by the DTED application ($67,161) and to reimburse the HRA for any additional costs to administer the grant. Dealers Manufacturing has agreed to sign the agreement, and it is now in the process of being executed. In order to property review the documentation of the clean -up activity which has already occurred and the work that has yet to be completed, the HRA will hire Kirk Davis from Bruce A. Leisch & Associates to. assist us in reviewing all receipts and disbursements. Again, the agreement with Dealers Manufacturing stipulates that they must reimburse the HRA for these costs. 6 Metropolitan Council Tax Base Revitalization Account Grant Agreements for Dealers Manufacturing August 7, 1997 - Page 2 ,. Recommendation Staff recommends that the HRA authorize the Chairperson and Executive Director to execute the grant agreements from the Metropolitan Council, subject to receiving an executed copy of the agreement with the HRA agreeing to reimburse the HRKs costs in administering the grant. BD:Is ,U M -97 -340 t �qFY 'rs f ♦SST RT- �`_.. -. 2A Grant No. SG -97 -101 METROPOLITAN LIVABLE COMMUNITIES ACT TAX BASE REVITALIZATION ACCOUNT GRANT AGREEMENT THIS GRANT AGREEMENT is made and entered into by the Metropolitan Council ( "Council ") and the Fridley Housing and Redevelopment Authority ( "Grantee "). WHEREAS, Minnesota Statutes section 473.251 creates the Metropolitan Livable Communities Fund, the uses of which fund must be consistent with and promote the purposes of the Metropolitan Livable Communities Act and the policies of the Metropolitan Development Guide adopted by the Council; and r' WHEREAS, Minnesota Statutes sections 473.251 and 473.252 establish within the Metropolitan Livable Communities Fund a Tax Base Revitalization Account and require the Council to use the funds in the account to make grants to municipalities or development authorities for the cleanup of polluted land in the seven - county metropolitan area; and WHEREAS, the Grantee is a "municipality" as defined in Minnesota Statutes section 473.252, subdivision 1 or a "development authority" as defined in Minnesota Statutes section 473.252, subdivision 1 a and submitted an application for Tax Base. Revitalization Account funds in response F- to the Council's notice of availability of grant funds for the 1997 Spring grant cycle; and WHEREAS, 'at3ls June. 26, 1997 regular meeting, the Council awarded Tax Base Revitalization Account grant funds to certain municipalities or development authorities which submitted grant applications to the Council during the 1997 Spring grant cycle, including the Grantee. NOW • THEREFORE, in consideration of the mutual promises and covenants contained in. this agreement, the Grantee and the Council agree as follows: r I. DEFINITIONS 1.01 Definition of Terms. For the purposes of this.agreement, the terms. defined in this paragraph have the meanings given them. in this paragraph unless otherwise provided or indicated by the context. (a) "Cleanup Costs". or "Costs" mean: (1) . ._ for hazardous waste contamination, the cost of implementing a Response Action Plan P approved by the Minnesota Pollution Control Agency under Minnesota Statutes section 115B.175, subdivision 3; or (2) for asbestos contamination, the cost of implementing an ksbesfllnent Plan for the Site which is carried out by contractors or subcontractors licert"d or certified'- by the Commissioner of Health -under-the Minnesota Asbestos Abatement -Act, Minnesota Page ages Statutes sections 326.70 to 326.81, in accordance with rules prescribed by the Commissioner of Health, related to asbestos abatement -_and asbestos management activity,. and meeting the federal Asbestos Hazard Emergency Reip— 6. 3e Art `AHERA') standards for asbestos; or ° (3) for petroleum contamination, the cost of implementing a Corrective Action Plan for-the. " Site approved by the Minnesota Pollution Control Agency under Minnesota Statutes, chapter 115C. (b) "Development Authority" means a statutory or home rule charter city, housing and redevelopment authority, economic development authority, or a port authority in the Metropolitan Area. (c) "Metropolitan Area" means the seven - county metropolitan area as defined Minnesota Statutes section 473.121, subdivision 2. (d) "Municipality" means a statutory. or home rule charter city or town participating in the Local Housing Incentives Program under Minnesota Statutes section 473.254, or a -county in the Metropolitan Area- (e) "Participating Municipality" means a statutory or home rule charter city or town which has elected to participate in the Local Housing Incentive Account program and negotiated affordable and life -cycle housing goals for- the Municipality pursuant to Minnesota• Statutes section 473.254. (f), "Project Costs" means all costs as defined in Minnesota Statutes section 116L552, subdivision 7. (g) "Site means the land. proposed. by the Grantee to be cleaned up and located both within the Metropolitan Area and within the jurisdiction of the Grantee. II. GRANT FUNDS 2.01 Total Grant Amount. The Council will grant_tc the Grantee a total sum of $441;990.00 which shall be funds from the Tax Base Revitalization Account of the Metropolitan Livable Communities Fund. Notwithstanding any other provision of this agreement, the Grantee understands and agrees that any reduction or termination of Tax Base Revitalization Account grant funds made available to the Council may result in a like reduction to the Grantee. 2.02 Authorized Use of Grant Funds. The total grant amount made available to the Grantee under this agreement shall be used only for Cleanup Costs for the cleanup of polluted land in the Metropolitan Area as described in the Grantee's application for Tax Base Revitalization Account grant funds (the Site). A copy of the project activity and budget provisions of the Grantee's application are attached to and incorporated into this agreement as Attachment A. If the provisions of the Grantee's application are inconsistent with -other provisions of this agreement the other provisions of this agreement shall take precedence over the provisions of the application. Grant funds must be used f6r cleanup of the Site which must be located in a Participating Municipality. If consistent with its application, the Grantee may use the grant funds to provide a portion of the local Page 2 ;es match requirement for Project Costs that qualify for a grant under Minnesota Statutes sections 1161551 to 116J.557. The Council shall bear no responsibility for cost overruns which may be incurred . by the Grantee or others iii the implementation or performance of the project activities described in Attachment A. The Grantee agrees to remit to the Council in a prompt manner. any unspent grant funds; any grant funds which are not used for the authorized purposes specified in this paragraph; and any interest earnings described in paragraph 2.04 which are not used for the purposes of implementing the project activities described in Attachment A- 2.03 Disbursement Schedule. The Council will disburse the grant funds to the Grantee in accordance with the grant fund disbursement schedule contained in Attachment B, which is incorporated into and made a part of this agreement. The Council will make disbursements only upon receipt of a written disbursement request from the Grantee's authorized agent or representative. 2.04 Interest Earnings. If the Grantee earns- any interest-of bther income fr6m.fhe- grant•-funds _, received from the Council under this agreement, the Grantee will use the interest earnings or income only for the purposes of implementing the project activities described in Attachment A. 2.05 Effect of Grant. Issuance of this grant neither implies any Council responsibility for the contamination at the Site nor imposes any obligation on the Council to participate in the cleanup of the Site contamination or in the Cleanup Costs beyond the amount of this grant. III. ACCOUNTING, AUDIT AND REPORT REQUIREMENTS 3.01 Accounting and Records. The Grantee agrees to establish and maintain accurate and complete accounts and records relating to the receipt and expenditure of all grant funds received. from the Council. Notwithstanding the expiration and termination- provisions of paragraphs 5,01 and 5.02, such accowits_ d.i9cords shall be kept and maintained by the Grantee for a period -of three (3) ,years following the completion of the project activities described in Attachment A or three (3) years following the expenditure of the grant funds, whichever occurs earlier. For all expenditures of grant funds received pursuant to this agreement, the Grantee will keep proper financial records including invoices, contracts, receipts, vouchers and other appropriate documents sufficient to evidence. in proper detail the nature and propriety of the expenditure. �Aceountii methods shall be in accordance with generally accepted accounting principles: 3.02. Audits. The above accounts and records of the Grantee shall be audited in the same manner as all other accounts and records of the Grantee are audited and may be audited or inspected on the Grantee's premises or otherwise by individuals or organizations .designated and.authorized by the Council at any time, following reasonable notification to the Grantee, for a period of three (3) years following the completion of the project activities described in Attachment A or three (3) years following the expenditure of the grant funds, whichever occurs earlier. 3.03 Report Requirements. The Grantee will ,provide to the Council one or more written reports which report on the status of the project activities described in Attachment A and the expenditures of the grant funds. The reporting schedule and the content of the written report(s) are identified in Attachment C, which is incorporated into and made a part of this agreement. Pagc 'ages 3.04 Certification of Completion. Upon completion of Site cleanup, the Grantee will provide to the Council: (a) for hazardous waste contamination, a copy of a Certificate of Completion for the Site issued by the Minnesota Pollution Control Agency pursuant to Minnesota Statutes, section I I5B.175;, or (b) for asbestos contamination, a copy of a statement from the Grantee's licensed Asbestos Abatement Contractor that the Asbestos Abatement Plan for the Site has been completed in accordance with the rules of the Minnesota Department of Health; or (c) for petroleum contamination, a copy of a Site Closure Letter issued by the Minnesota Pollution Control Agency pursuant to Minnesota Statutes chapter 115C. IV. RECOVERY ANI`) REPAYMENT — - - - -- = - - 4.01 Recovery of Funds. If the Grantee recovers funds pursuant to an action under Minnesota Statutes section 11513.04, or other law, to recover the reasonable and necessary Project Costs incurred to cleanup the Site, the Grantee shall repay to the Council that portion of the grant as provided in paragraph 4.04. 4.02 Assignment of Rights. Upon request of the Council, the Grantee shall assign its right to. recover the funds described in paragraph 4.01 to the Council, shall prepare and submit w certification of the ProjSc Costs incurred, and shall cooperate in any cost recovery action brought by the Council. - 4.03 Expenses of Recovery. The reasonable litigation expenses or other costs of legal or technical ' assistance in'urred by the Grantee, the Council, or both, may be deducted from recovery obtained in accordance with paragraphs 4.01 or 4.02 and reimbursed to the: entity incurring such costs before proceeds of the recovery. are distributed. iij accordance with paragraph 4.04. 4.04 Reimbursement. Subject to the deduction provided in paragraph 4.03, amounts recovered either by the Grantee or the Council from responsible persons and all other amounts otherwise received by the Grantee or the Council for cleanup of the Site shall be used to reimburse the Grantee, the Council, or any other nonresponsible party who contributed funds for cleanup of the Site in proportion to their respective payments for response costs. 4.05 Survival of Section. The provisions of Section IV (RECOVERY AND REPAYMENT) shall survive the expiration or termination of this agreement. V. AGREEMENT TERM 5.01 Term. This agreement is effective upon execution of the agreement by the Council. Unless terminated pursuant to paragraph 5.02, this agreement will expire upon completion of the project activities described in Attachment A or following the expenditure of all grant funds by the Grantee, whichever occurs earlier. Page rges 5.02 Termination. This agreement may be terminated by the Council for cause at any time upon fourteen (14) calendar days' written notice to the Grantee. Cause shall mean a. material breach of this agreement and any amendments of this agreement. If this agreement is terminated, the Grantee. shall receive payment on a pro rata basis for project activities described in Attachment A that have been completed. Termination of this. agreement does not alter the Council's authority to recover grant funds on the basis of a later audit or other review, and does not alter the Grantee's obligation to return any grant funds due to the Council as a result of later audits or corrections. If the Council determines the Grantee has failed to comply with the terms and conditions of this agreement and the applicable provisions of the Metropolitan Livable Communities Act, the Council may take any action to protect the Council's interests and may refuse to disburse additional grant funds and may require the Grantee to return all or part of the grant funds already disbursed. 5.03 Amendments. The Council and the Grantee may amend this agreement by mutual agreement. Amendments, changes or modifications of this agreement shall be effective only on the execution of written amendments signed by authorized representadu.es:of the - C..ouncil ,and.-the CiranW.- -_ VI. GENERAL PROVISIONS 6.01 Equal Opportunity. The Grantee agrees it will not discriminate against any employee or applicant for employment because of race, color, creed, religion, national origin, sex, marital status, status with regard .to public assistance, membership or activity in a local civil rights commission, disability, sexual orientation or age and take affirmative action to insure applicants and. employees are treated equally with respect to all aspects of employment, rates of ' pay' and other forms of compensation, and selection for training a- 6.02 Conflict of Interest. The members, officers and employees of the Grantee shall comply with all applicable state statutory and regulatory conflict of interest laws and provisions. 6.03 Liability. To the fullest extent permitted by law, the Grantee shall defend, indemnify and hold harmless the Council and its members, employees and agents from and against all claims, damages, losses and expenses., including but not limited to attorneys' fees; arising out of or resulting from the cleanup work funded in part by this grant. Claims included in this indemnification include, without limitation, any claims asserted pursuant to the Minnesota Environmental- Response and Liability Act (MERLA), Minnesota Statutes chapter 115B, the federal Comprehensive Environmental Response, Compensation, and Liability Act of 1.990 (CERCLA) as amended, 42 U.S.C. sections 9601 et seq., and the federal Resource Conservation and Recovery Act of 1976 (RCRA) as amended, 42 U.S.C. sections 6901 et seq. This obligation shall not be construed to negate, abridge. or otherwise reduce any other right or obligation of indemnity which otherwise would exist between the Council and the Grantee. The provisions of this paragraph shall survive the termination of this agreement. This indemnification shall not be construed as a waiver on the part of either the Grantee or the Council of any immunities or limits on liability provided by Minnesota Statutes chapter 466, or other applicable state or federal law. 6.04 Acknowledgments. The Grantee shall acknowledge the financial assistance provided by the Council and the State of Minnesota in promotional materials, press releases, reports and publications relating to the project activities described in Attachment A which are funded in whole Page . Wages or in part with the grant funds. The acknowledgment should contain the following, or similar, language: This project was financed in pattvith a grant from the Metropolitan Council through the Tax Base teviialgAion Account of the Metropolitan Livable Communities Fund. 6.05. Permits, Bonds and Approvals. The Council assumes no responsibility for obtaining any applicable local, state or federal licenses, permits, bonds, authorizations or approvals necessary to perform or complete the project activities described in Attachment A. 6.06 Contractors and Subcontractors. The Grantee shall include in any contract or subcontract for project activities related to the cleanup of polluted land appropriate contract provisions to ensure contractor and subcontractor compliance with all applicable state and federal :aws. Along with such provisions, the Grantee shall require that contractors and subcontractors performing work covered by this grant comply with all applicable state and federal Occupational Safety and Health Act regulations, especially the federal Hazardous Waste Operations and Emergency Response standards under 29 C.F.R. sections 1910.120 and 1926.65. 6707 Attachments. The following are attached to this agreement and are incorporated into and made a part of this agreement: (a) Attachment A - Project activity and budget provisions of the Grantee's application for Tax Base Revitalization Account grant funds (b) Attachment B Grant Fund Disbursement Schedule (c) Attachment C - Written Report Submission Schedule 6.08 Warranty of Legal Capacity. The individual signing this agreement.on behalf of the Grantee represents and warrants on the Grantee's behalf that the individual is duly authorized to execute this agreement on the Grantee's behalf and that this agreement constitutes the Grantee's valid, binding and enforceable agreements. IN WITNESS WHEREOF, the Grantee and the Council have caused this agreement to be executed by their duly authorized representatives. This agreement is effective on the date of final . execution by the Council. Approved as to form: Associate General Counsel METROPOLITAN COUNCIL Thomas C. McElveen, Deputy Director Community Development Division Date Page ages 1w, 01. I Page ; N s Tges 2H FRIDLEY HOUSING AND REDEVELOPMENT AUTHORITY By Lawrence R- Co"Imers, Chair Date By William W. Bunis, Executive Director Date ATTACHMENT A APPLICATION FOR TAX BASE REVITALIZATION ACCOUNT GRANT FUNDS This attachment comprises pages A -1 through A -14 and incorporates the Grantee's application for Tax Base Revitalization Account grant funds which was submitted in response to the Council's notice of availability of grant funds for the 1997 Spring grant cycle. .+ I E 0 HOUSING & REDEVELOPMENT AUTHORITY MTG. MAY 8, 1997 8. HOUSING FUND UPDATE PAGE 17 Mr_ Fernelius stated last Wednesday, he, Ms_ Dacy, Mr. Casserly met with Michael Haley and Kathy Aanerud, who work for the Minnesota Housing Finance Agency (MHFA), to discuss our request for participation by the state in funding for our revolving loan programs. The meeting went well. The MHFA representative seemed interested in what we were doing. They did not commit to any particular proposal, but they wanted to meet with us as well as other first ring suburbs in similar situations to discuss ideas and go from there. To that extent, it was a positive meeting. We have more work to'do. The sense that +staff got. from the meeting was -that it is go-in t t k g o a e some- time before- somibthing will " "`' happen. There is'a regional task force meeting next Wednesday involving the first ring suburbs. He will be attending and will report back at the next meet' ing. Mr. Casserly stated a senator have introduced legislation asking to do a study to analyze the needs of fully developed. suburban communities and to report back to the legislature. Whether the timing will work for the next legislative session remains to be seen.. It -may take longer than that. The entire state did-2100 loans for last year. - For our community there were 130 loans for the.same year. That shows the disparity that" exist s for the needs. They were interested but he thought they were interested . in the complexity of the program and how it was being managed. They were fascinated by how the originations were handled, how the servicing was handled, the staff time and' commitment, and saw:it,. as being cost effectiv 9. CONSIDER T RESOLUTIONS FOR UFACTURING, 513 TION CLEAN -UP EET N.E. Ms. Dacy,.stated this is a request to apply to the Department of Trade and Economic Development. (DTED) Contamination Clean -Up Fund and the Metropolitan Council Tax Base Revitalization Fund. The request was brought to staff's attention by Dealers Manufacturing Company. They have been in the City since the early 1960's and are located at 5130 Main Street. The request is to ask the HRA to act as the applicant and essentially the sponsor of a grant application to each of the above funds. Each of these programs have been set up to provide funding sources for companies to conduct these types of projects. The total project cost is approximately $559,000 and includes costs that have been incurred to date and also includes costs which will be incurred in the next five years_ 500 of the project cost is proposed to be funded from DTED and the remaining 50% would -come from the Metropolitan Council application. DTED requires a local match which would come from the HRA_ DTED staff suggested the Dealers Manufacturing X- HOUSING & REDEVELOPMENT AUTHORITY MTG., MAY 8, 1997 PAGE 18 El Company could provide the sourcelof funds for the local match.. Ms. Dacy stated, usually when the HRA provides assistance, it does recover its funds either through tax increment or through a loan repayment. A grant has not been a policy of the HRA. The company. is willing to provide a source of funds for the local match. There is a deadline of next Thursday for both of the grant applications. Ms. Dacy stated there is a concrete container under the building which cracked and leaked contamination into the surface area underneath the building. When this was detected, the company hired a consultant in compliance of MPCA requirements that they prepare an i nterim response plan for -a -clean -up• •proj'ect TYiey have also installed a new techadIdgy' V61T• - ii -.,qF 'the building -" which mixes water'and air to treat the contaminants below the surface. This system will be described in more detail by the consultant. Ms. Dacy stated, based on the information received to date, about $273,000 has been.spent on the clean -up by the company and they. anticipate spending $208,000 in the next five years. Essentially, ..the grant applications - will help reimburse the costs to.date. Ms. Dacy stated the. HRA is being .aske* o act as the applicant. The application -form states. either the�ity -or a_public entity such as the HRA has to act as the applicant. The company's consultant, *however, would be responsible for preparing the . applications, reports and details:. The.HRA would essentially act as a pass- through agency. The HRA.would be responsible for reviewing invoices of the work that has been completed and work to be done-verifying that it is consistent with the .grant applications and submitting the invoices to the state or council. They give.-the money to the HRA and the -HRA passes it onto the company.. After applying'on May 15, the decision woulde made July. If the applications are awarded, there.would be two agreements that -the RRA would' enter into at .that •time for administration of the grant. Staff is suggestipg a separate agreement with the company to verify that 1) they would provide the funds, 2) they would indemnify the HRA from any liability issues associated with the clean -up, and 3) they reimburse any additional costs the- City may incur as part of administrating the grant. Ms. Dacy stated the information provided includes a resolution authorizing application to DTED fund, a resolution authorizing application to the Metropolitan Council fund, and a resolution authorizing the chair and executive director to execute an agreement with the company to-verify the three conditions stated 3 HOUSING & REDEVELOPMENT AUTHORITY MTG., MAY 8, 1997 PAGE 19 above. Ms. Dacy stated another minor detail is that DTED staff suggested the payment of the company to act as a local match. She .contacted the DTED staff and asked for a letter from their office or from the attorney general to verify that this would be an appropriate source of funds. Typically in the TIF world, a developer payment as a source of what the state calls "unrestricted funds" is not a legal source of funds. This is different because it is a grant application. -Staff requested the letter before determination of the award of the grant that this is appropriate. Staff met with the company and thought they understood the City's position and they have agreed to reimburse additional administrative costs.•• Mr. Schwartz, Engineering Director, for D•eale -ts Manufacturing,• Arid Mr. Carlson, consultant, are present to answer questions. Mr. Prairie asked what kind of services has the HRA provided in the past like this. Ms. Dacy stated this is new as far as she knew. We have done a number of #ant•applications. Mr. Fernelius administers the CDBG program and the h ©me programms. It is not that it is unusual in terms.of doing the paperwork. ,These pollution clean -up programs ,are. really new in the .- dustry, ,There, is a series. of programs and grants to see'.if„seme`'o hese contamination issues can be correctet :enable companies to be able to obtain financing so they can-...cantinue to .operate. The environmental issues are putting such clouds on the title and financing issues that it is becoming difficult for some companies to continue operation: Mr. Prairie asked if the applications had been done by others before and if that is now changing. Ms. Dacy stated the tax based revitalization program.was created as part of the Livable Communities Act passed twc years ago. There were three sources of funds created to help communities redevelop or create a buildable site for new development. She believed the DTED grant had been available for two years. Mr. Prairie stated that clean -ups have been done for 20 years. Ms. Dacy stated the federal source of funds was called the Super. Funds. Some of those funds are administrated through the MPCA. From what she understands, there are a number of those sites that have used a substantial amount of the dollars available for that in addition to funding cutbacks.. This is a local initiative, local programs set up by the state and region to provide these funds. HOUSING & REDEVELOPMENT AUTHORITY MTG_ MAY 8 1997 PAGE 20 Mr. Schwartz stated he was the Engineering Manager at Dealers Manufacturing Company. The Dealers Manufacturing Company is a Minnesota corporation organized in 1961. The company has re- manufactured Ford engines and engine parts since 1944_ The company acquired Fleet Supply and Machine in 1983 which permitted the company to expand its business to include distribution of small to medium size diesel engines. In 1987, the company moved its St. Paul operations to the Fridley facility. At this time, the company undertook re- manufacturing diesel engines. They currently re- manufacture medium size (150 -300 horsepower) diesel engines at this site. In 1985;'they moved the gasoline engine re- manufacturing from Fridley to Portage; -- Wisconsin: °By-1990, the' -'" company had. opportunities to expand its Ford dealership. They sell basically'through the Ford dealerships and have the territory of North Dakota, South Dakota, Minnesota, Wisconsin and -the upper peninsula of Michigan. Mr. Schwartz stated -.the company positioned itself with warehouses in Milwaukee and a central warehouse in Minneapolis. In 1996 the companymoved- its corporate headquarters and its main distribution center from the Fridley site. to a facility in Brooklyn Center. The company re- manufactures asoline, automobile and truck engines; •diesel engines p ;: an automobile parts. The company uses its warehouse facilities in Minneapolis and Milwaukee to distribute products- directly to Ford automobile and . truck dealers. The company also-distributes products* through Fold and other re- manufacturers throughout the United States and directly to Ford Motor Company. Mr. Schwartz stated the plant in Fridley is doing nothing but diesel engines which they are shipping . to -the lower 48 states and to Canada. The. building in Frrdley.,w�s constructed in 1961 for the purpose of --re- manufacturing gasoline engines and small parts. It was originally 48,300 square feet.. Subsequently with three additions were built, the most recent of 7,000 square feet last year. Currently, they have 66,112 square feet. They currently have 207 employees on two shifts and will be adding a third shift on Sunday. By the year 2001, they expect to have-417 employees on three shifts. Sales are expected to continue to increase through the year 2000. Mr. Schwartz stated their employees are from the local area. 500 are from Fridley or the first tier of.suburbs connected to Fridley. Dealers Manufacturing has always been a good partner =, with the City of Fridley. In 1995, Dealers received the Fridley Pride Business Beautification Award in the city. Mr. Schwartz stated May.2 was a big day for the company_ They had a v rw HOUSING & REDEVELOPMENT AUTHORITY MTG., MAY.8, 1997. PAGE.21 been working hard to obtain a QS9000 quality certification and last Friday they received unconditional approval_ This meant they had zero minor noncompliances. They have been supplier to Ford Motor Company since 1993. With the current contamination on the site, they are not able leverage any money against the property. They have not applied for property tax relief due to the contamination. They are paying full property taxes. Dealers Manufacturing is applying for this grant aid to help with their brown spot. They are requesting this because their capital is not of infinite depth and without it they would have to make decisions between the clean -up of the contamination., production equipment and improvements, and enlargement to,the facility. Mr. Carlson provided handouts providing information on the history of the project, site map, source area map, UVB cross section and details, and cost estimates. Mr. .Carlson is the environmental. consultant and has been working with Dealers Manufacturing since 19973. His experience with them is nothing but the very best. They are a pro.- active company in addressing environmental concerns. Mr. Carlson stated the engine re- manufacturing process requires'a number of cleaning processes and in the.earlier years a lot of so.lvents.�,ae` e used.. In 1986, Dealers was given an. order to investigate °a ` "potential spill on trA.dir property: y The thought * •it was a spill on the ground .surface": -- That started with an' investigation in 1988 by the MPCA to-investigate reported spills. This is now called a site screening-investigation. In 1988, they did not have voluntary investigation programs like today. All they had was the Super Fund. Dealers Manufacturing.went through the scoring process and was placed on the list of priorities for .the Minnesota Super Fund. In 1993, they.were.able financially.to address the contaminati,Qn,._iss,ues on the property. That is when. he came on board. w _ Mr. Carlson stated it started out simple with an overall quality plan and inhere the project would go. At the time, they did not know if there was a problem and how big the problem would be. In 1994, they completed both the Phase 1 and Phase 2 work. The Phase 2 work was very extensive and included a significant amount of drilling and a feasibility study. They identified some contamination on the property. That contamination was in regard to an old waste trap that was underneath the building. Dealers had no idea that the problem had occurred. With the practices back in the 1960's and 1970's, these solvents got into the waste stream. There was a waste trap below the floor slab that they cleaned out routinely, but it did leak and soil and groundwater was impacted. HOUSING & REDEVELOPMENT AUTHORITY MTG., MAY 8, 1997 PAGE 22 Mr. Carlson stated in 1995 they conducted"a pilot testing. Because the problem was actually underneath the building, without demolishing the building they had to dig everything up. They looked at alternatives for treatment in place without causing significant disruption to the business operations. They went through a process of selecting remedial alternatives. They came up with a new German technology which was installed in January 1995. The system has been operating for a year and they have seen a significant clean -up on the site. This will be going on for the next five years. Through this project, Dealers Manufacturing has been able to operate on a voluntary basis, have been pro- active, and have been able to reduce costs. Dealers has been recognized by the MPCA as a model site. On the other side, it is very costly. Mr. Carlson reviewed the site map indicating the location of the contamination. The source area map shows a close up view of the inside of the building and the.area of contamination under the building. Mr. Carlson stated the UVB cross section and details shows the technology installed. They do not extract any groundwater to the surface. They pump water from a lower screen.in the-well drilled inside the building.. The-water is brought into the lower screen and.aerated..in place so what you have is an in place circulation _ cell. Water passes througiYothat stripping unit multiple times... Contamination*is drawn off.}?y- ,gacuum and exhausted off the top of .the building. They haul bey, this for 16 months ..and have found it very cost effective. Mr. Carlson stated the last.page of the handout is a breakdown of the costs including incurred costs and estimates of future costs: Mr. Carlson stated, regarding the grant applications, typically these programs work with the voluntary programs.. --.They require that you have an approved response action plan., .Dealers " Manufacturing was a'little unusual in the fact that they had to.do some immediate clean -up work and do some aggressive work in the source area. Their interim response is working so well that they will not have to go through a final stage. They have the qualifications for meeting the requirements for the grant. Dealers again is a little unusual because they are a responsible party.. If the property was vacated, the state Super Fund would look for responsible parties for.remediation of the property. It is a bit unusual, but the grants provide a good opportunity to get reimbursed for some of the past costs and for future costs. MOTION by Mr- Meyer, seconded by Mr. Prairie, to recommend approval of a Resolution Authorizing Execution and Delivery of an — - - is HOUSING & REDEVELOPMENT AUTHORITY MTG., MAY 8, 1997 PAGE 23 agreement By and Between the Housing & Redevelopment Authority In and For the City of Fridley and Dealers Manufacturing Company for a. Pollution Clean -Up Program; a Resolution Authorizing Application for the Tax Base Revitalization Account; and.a Resolution Authorizing Application to the Department of Trade and Economic Development for Contamination Clean -Up Funds for Dealers Manufacturing. UPON A VOICE VOTE, ALL VOTING AYE, VICE- CHAIRPERSON SCHNABEL DECLARED THE MOTION CARRIED IINANIMOIISLY_ 10. RESOLUTION IMPLEMENTING THE PROVISIONS OF PREVAILING WAGE ORDINANCE Ms. Dacy stated no action is'6Yoposed. She provided copies of the ordinance adopted by the City Council. The ordinance would not apply for the following: a) projects with a value of $25,000 or less, b) housing projects or programs for owner occupancy, c) housing projects or programs for rental rehab with eight or fewer units, and d) and residential rehabilitation projects funded by non -HRA or community funds. Unless otherwise indicated, staff will place this on the June agenda to approve a corresponding resolution as it applies to development contracts for the HRA projects:~ Mr. Meyer asked; ..0 the status .was. of this type of ordinance in other communities. Ms. Dacy stated, in the suburban community, the City may be the first in terms of a local ordinance. It is typical for the prevailing wages to apply in all suburbar}-communities when state funds or community funds are used_ Councilmember Billings stated-he was available for questions. The City Council adopted the resolution setting the policy for the implementation of the ordinance based on the. policy of Anoka County. Basically,. they used their 'language primarily. The City, Council ._did on - ,unanimous request of the HRA implement a similar policy for placing it in our development contracts so the developer can see how they are to interact with the their contractors. He talked with Chairperson Commers about the changes. Mr. Commers seemed to be comfortable with those changes and, in concept, thought that the adoption of a policy by the HRA was a reasonable practice_ 11. HIGHWAY 65 STREET LIGHT DISCUSSION Ms. Dacy stated a number of years ago the intersection design for the Lake Pointe intersection was reviewed and approved by the City and the HRA_ A few months ago, we discussed this at fhe budget TO: FRIDLEY H.R.A FROM: CITY OF FRIDLEY RE: BILLING FOR ADMINISTRATIVE AND OPERATING EXPENSES JULY 1997 ADMINISTRATIVE BILLING: ADMINISTRATIVE PERSONAL SERVICES ADMINISTRATIVE OVERHEAD COMPUTER OVERHEAD (For Micro & Mini computers) TOTAL ADMINISTRATIVE BILLING: OPERATING EXPENSES: u L 1 It f L •J i k Z =w, 16 -Z!Zq fit f_* Z Account #'s for HRA's Use 20,394.75 284.13 206.26 460- 0000 - 430 -4107 - 0 82 . 85.14 Preemployment physical 262 -0000430 -4330 USPS - POSTAGE ' 262 -0000- 430 -4332 OFFICE SUPPLY ALLOC -1st & 2nd QTR 460- 0000 - 430 -4220 US WEST - PHONE SERVICE 460-0000-430-4332 LISPS - PO -$TALE 4604- XXP430 -4332 COPIER ALLOCATION -1 st & 2nd QTR _ 000- 430 -4335 INSURANCE ALLOCATION - ANNUAL 460- 0000 - 430 -4336 TOTAL OPERATING EXPMSES : BENEFITS EXPENSES: CITY OF FRIDLEY - HEALTH INS CITY OF FRIDLEY - DENTAL INS --CITY OF'FRIDLEY - LIFE INS 262 -0000 - 2194001 262 -0000 -219 -1100 262 -0000 - 219 -1200 TOTAL BENEFITS EXPENSES: TOTAL EXPENDITURES - JULY 1997 File: \EXDATA\HRAknF197BILL.)ds Details V 66.25 16.66 15.86 45.92 8.46 512.78 12,276.00 9 9 342.10 21.56 7.00 37o.ss Account #'s for CR City's Use Code 101 -0000- 341 -1200 101 -0000- 336 -3000 101 -0000- 336 -3000 236- 0000 - 336 -3000 236-0000-336-3000 236 -0000 -336 -3000 236 - 0000 -336 -3000 236-0000 - 336 -3000 236-0000 -336 -3000 236-0000 - 336 -3000 236- 0000 - 219 -1001 236 -0000- 219 -1100 236 - 0000 -219 -1200 H1 HA HA HA HA HA HA HA HA 11 12 13 to W uj Q< W m . z z . F- cc o a W OC . H . 2 . g . Q . H W U W � OC U W O cc CL Z W . E . a > CA � W J � ad I- 21 0a Z of-- i d cc fA W . U _ ui . W C r x W N . c ;5 m Cie O. V- . Z ox .O . U N LU7 W . Q U t- o, . LLI Z 3 co CL. In W W W . O. O\ J J J W N C2 J I U O O W W W I W I In . gm cc r O W . F PPP a -C cm (.9 r >- t� m M to o.- of 1-ooc ._ Fn Lu zco � 1- O C2 X: < < Wf. ZQ�UZ. acn Am Q ' a I W CL ce a a " (M C2 � cc In \ In M •O It M O C C to y W o v CL Q M M M d L l0 I- ti M_ Ln O O •O O M P O m r- M O Ill d O7 L L L Ln d P V1 0 00 1� N N N In O In 1 P N ►� 1 p. `u 0 o O o o 1A in N c0 P O N N 1� N I% 10 10 cm 10 r-I M •O M O O O O M Lt M 't O v O N 00 O O M I a+ s+ i+ Y a+ a+ a+ a+ M C c c C C c c c c C �j-: d d N d a) 01 N W 0 ?� P L .Ci LL J _c d L L L L L L jr O' Q . d U U V U V U X U C C co c 01 d d 10 O O J L a+ N 4+ 4+ r M 40 41 4J J,+ i+ F. M fA V U U N gcg c+ c c �c c c c c t 0 a0 J a+ J U U U d M Y i+ Y i+ 4+ i+ i+ M i+ dL Ol d d /p d d 0! d N WW N N O! a, ' L 7 7 7 3 7 7 7 7 7 7 cc w C oe S 0 0 o O o C. 0 o O o 0 o O o 0 0 0 0 0 0 o O o O o s o 0 0 0 O O O O O O O CC MI O M O In W O N, N N Tt O .O O h. °N N 1, M M M M M M M M M M S N -M M cm O O O O O O O O O O O O O O O O_ O O O O O O _ O O a O O O O Cl N M 10 N M N M O O O O O O M M M M It It M M M O O O O O O O I O O O O O O O O O N N. N N 10 10 .O %0 .O 10 10 10 10 .O 10 10 •O .O In N N N N N N N N N N N N N N �1 10 !� r8- ti ti t0 `0 C n ti \ f� t• f� f� t` \ ti \ P- ti t` L 00 O W O O 00 O 00 00 vl vl In ul vl W O O O a O O O O O O O t) C� ti ti ti ti n m r` r` ca 0 0 0 CC CC 0 CC 0 0 0 0 o v C7 Ill Ill In In to Ill In In In to In Ill In Ill Ill O O o 0 0 0 0 0 0 0 0 0 0 0 0 o f` 0 o O o 0 0 0 0 0 0 0 0 0 0 o In 0 0 0 0 0 Co 0 Co 0 0 0 0 0 0 0 � C Q�� O. a c c c LN J N J N J \ w \ \a° \o \a. .n r` Ln fl- C:) d 0 0 0 0 C3 v w v- 0 v V- In O In Vl i. vl >. Ill >. 0 t.- o o m o 07 0 07 o In o o n. o n. o a 0 0 0 0 0 i+ d 2 Z Z C C to y W o v CL Q M M M d L M M M YN = P P a J N In Ill Ill d O7 L L L d d 0 L Co 0 0 0 0 0 0 o O o o O O N O O N N 1� N I% 10 10 cm 10 r-I M M M O O O O Co O O O O O O O O O M I In •O •O •O %0 It N N N N � C Q�� O. a c c c LN J N J N J \ w \ \a° \o \a. .n r` Ln fl- C:) d 0 0 0 0 C3 v w v- 0 v V- In O In Vl i. vl >. Ill >. 0 t.- o o m o 07 0 07 o In o o n. o n. o a 0 0 0 0 0 N CO W w t , C7 W of , m z r K o , CL W OG r a Z , M P E N � , Q N . d . U . W . , , C G) , . W , . O . . a , r . , z , , W nom. C! , c W . , m W J C , . , V- W W oer , , O Q , D D 2 d r , N W , d , U . GI 7 U , N . W . C 7 x OWC � J6 FA . W ,0 m , of O . , N d 2 , M L , U O O W U a , o , i N O. N 7 . Z Q W . ppp m ti Q Q Q� r� rt- If1 WW W O \J N OtlJ.JJ . U . N O O W W W. W , L Ln .. , . ui K p W d P OO OO 2 d . N '> \M W Z.+W W O (7 i -it -cc O U W W G . w, Q d U O 2 w Q d W i O G7 IR 3 ddd . ND : Ooc W O w Z o GC d' G7 d'Ix 9z CK : ..s&..9. I a. V1 0 J N N 1Q- M O co �O O r F f- 88 U Q '' 7t Z L VI c C, i2i U) fc o i- QC C, 3 Lid; L L 0 W* X cr; iz Cr af r4 a: c tr Iz 0 > a. Wi Z P� Wi X C iz Z r W x a- z 0 W x 7. z c x z w W ij 0 0 z r- Z Z Z L�, 0 n ;Z lu ;4 Ye ?.-- z 55 --w L�J -3 L, LJ �z a L) E z W :E z a >-L'W*-X <_!Z_Z 0 i Z C > 1-4 2 U) i EJ 0 Z Z U 0 -1 C _j ti Z X X -C E Ld rlc C CL es C. I M L, !e; V" -11 P- T T 0 M, r; 10 M C� C. N M 0 `i •- 0 N u P4 i T Ir IT IT Ir Iq I.4 I;r rd' V v v v oq v v v Iq �r 7 It 4T 14, c11 7: r� IC. -3 C_ le `0 I_u SO -3 Ic. `0 a 10 le -3 10 e- 41 10 10 SO a 10 le- .0 10 N, N Ell, LN, 01 N iN N, N fli N C-4 cl U ri N N, C-, N ri N C-4 ri N, 0. N iA C-3 i Z i i 0 i i cl: z z a: z i L; Ld V. W ri -0 M U: x z z X z LOO L, Z (1) D Z I c > u :3 z c> n t.3 0 z 0 W o 0 z 1Y j w z > ojW cr; i- z Ic u M 1:0 0 z 3Z =cz f-,, w c z I— !A- to 0 w j— i 2- z z D Lf. Z <C 0 -3 ii; Fi L3 CL W 0 z 0 U, D --M it it f• y X i-4 0 M Z W CL Z X Z 0 0 w a X, , X < Ms _j Z Le 0 W:- i- W W 0 Ld C i- i-i W U M X V) t H W' 0 W u i C, a Z" C U. Q o 0 0 lz z r_ z z F-e.2f-jiz :E z i L� U_ M Z C L 0 Z L. L. I cr-I _�i z of C c _T r_ z z W U LI., T, i�� 0 i W.CeO <O)Ulj L.u;X a X OZ Z) W i� 'Z: U' -I" F- -i W Z X> cr; J.-. i ul U_ C 0 -Y Ll X Z Z L- W 0 L iz ix to al :3 z <1 i-4 It- X: i L) -i 'H. -1 -4 'i 'i rq -4 ri i vi 4 i -4 •1 • 4 v1 <-i i tt! -i Z m X. M Gi X_ G� CU M, 03 in M in km OD M M m X_ M 03 Im C.", m In. M �0 al f- C 0 C; 0 0 0 0 C_ �D 0 0 0 0 c 0 Cl M 03 M, iD iD M M Co M M M OD CO 03 0a WIA ALI. AA Wo PM MEMORANDUM HOUSING REDEVELOPMENT AUTHORITY DATE: July 31, 1997 I' TO: ,,/William Burns, Executive Director of HRA FROM: Barbara Dacy, Community Development Director _ SUBJECT: Extension of the Contract for Exclusive Negotiations At the July 21, 1997, joint City Council and HRA meeting, it was agreed that MEPC would be permitted to pursue development of the entire site including the construction of a one story, 100,000 square. foot "tech flex" building on the western side of the corporate. campus. -It was also agreed that the eastern part of the site would be � .reserved ulti -story office buildings. MEPC indicated' that they needed to review _.the, proNtOlWith1heir board in September. In order to permit them to complete their corporate process and in order for the City and the HRA to outline business terms for a a development contract with MEPC, a brief extension to the existing Contract for Exclusive Negotiations is recommended. Jim Casserly has prepared the attached amendment to the existing agreement. It is proposed that the amendment to the agreement be extended to November 1, 1997. Staff recommends that the HRA approve the extension to the Contract for Exclusive Negotiations with MEPC and American Properties. F BD:ls M -97 -333 El HOUSING AND REDEVELOPMENT AUTHORITY IN AND FOR THE CITY OF FRIDLEY COUNTY OF ANOKA, STATE OF MINNESOTA RESOLUTION NO. A• .RESOLUTION AUTHORIZING EXECUTION AND DELIVERY OF A FIRST AMENDMENT *TO THE CONTRACT FOR EXCLUSIVE NEGOTIATIONS BY AND BETWEEN THE HOUSING AND REDEVELOPMENT AUTHORITY IN AND FOR THE CITY OF FRIDLEY AND MEPC AMERICAN PROPERTIES, INC. BE IT RESOLVED by the Board of Commissioners (the "Commissioners ") of the Housing and Redevelopment Authority in and for the City of Fridley, Minnesota (the "Authority ") as follows: Section 1. Recitals. 1.01 It has been proposed that the Authority enter into a First Amendment to the Contract for Exclusive Negotiations (the "Amendment ") with MEPC American Properties, Inc. (the "Redeveloper "). Section 2. Findings. 2.01 The Auhority hereby finds that it has approved and adopted a development plan known as the.- M'Qdifita Redevelopment Flan for its Redevelopment Project No. 1 (the "Redevelopn*fit Plan") pursuant to Minnesota Statutes Section 469.001 et sea 2.02 . The Authority hereby finds that it has approved and executed a Contract for Exclusive Negotiations between the Authority and the Reaper effective as of December 1, 1995. Section 3. Authorizations. 1: 3.01 The Chairman and the Executive Director (the "Officers ") of the Authority are hereby authorized to execute and deliver the Amendment when the following condition is met: Substantial conformance of an Amendment to the Amendment presented to the Authority as of this date with such additions and modifications as the Officers may deem desirable or necessary as evidenced by the execution thereof; Adopted by the Council of the City this day of , 199. ATTEST: Executive Director G:\ WPDATA \F \FRIDLEY \14 \DOC \1AMENAES -DOC a U11 Chairman a007 Vol, uoiVI "nu lo.ao rtIA oia oaa 0000 AXADS MUNROE (A 002 KRASS MONROE, P.A. A T T O R N E Y S A T L A W ■ James R. Casserly Direct Dlak (612) 885-1296 MEMORANDUM TO: City of Fridley Barbara Dacy, Community Development Director - MEPC Attn: Dave M. Jellison FROM:. James R. Casserly RE: First Amendment to the Contract for Exclusive Negotiations DATE: Augusi 6, 1 99_',' Enclosed each of you will find a draft of the above First Amendment. The First Amendment simply moves the termination date from August 1, 1997 to November 1, 1997. If there are any problems or questions with this procedure, please give me a call. Over the next week I will be preparing a short statement of the business terms for the Redevelopment Contract. Again, please give me a call if there are any questions. JRC /jmm Encl G:\ WPDATA \F \FRIDLEY \14 \COR \M11JRC.DOC Suite 1100 Southpoint Office Center 1650 West 82nd Street, Minneapolis. Minnesota 55431 -1447 Telephone 612.885.5999 Facsimile 612.885.5969 uniuu/ul nnu 10 ;Z% VAA b1Z 68b 5969 KRASS MONROE fij003 EXECUTION: August 14, 1997 FIRST AMENDMENT TO THE CONTRACT FOR EXCLUSIVE NEGOTIATIONS By and Between THE HOUSING AND REDEVELOPMENT AUTHORITY IN AND FOR THE CITY OF FRIDLEY, MINNESOTA And :i. MEPC AMERICAN PROPERTIES, INC_ This document was drafted by: Krass Monroe, P.A. Suite 1100 Southpoint Office Center 1650 West 82nd Street Minneapolis, Minnesota 55431 James R. Casserly 08/06/97 WED 16:24 FAX 612 885 5969 KRASS MONROE FIRST AMENDMENT TO THE CONTRACT FOR EXCLUSIVE NEGOTIATIONS THIS AGREEMENT is made on or as of this 14th day of August, 1997 by and between the Housing and Redevelopment Authority in and for the City of Fridley, having its principal offices at 6431 University Avenue N.E., Fridley, Minnesota, 55432, and MEPC American Properties, Inc., a Delaware corporation with its Minnesota office at 1550 Utica Avenue South, Suite 120, Minneapolis, Minnesota 55416. WITNESSETH: WHEREAS, the Authority and the Redeveloper entered into a Contract for Exclusive Negotiations effective as of December 1, 1995 (the "Contract" - Capitalized Terms not defined in this Agreement are defined in the Contract); and WHEREAS, the Authority and Redeveloper desire to amend the Contract to further the purposes set forth therein; NOW THERE�ORE,.intonsideration of the premises and the mutual obligations of the parties hereto, the parties hereby agree as follows: Section 1, Termination xtended A. Section 5.1B of the Contract is amended by deleting "August 1" in the second line. and substituting in its place the following: "November 1" ` B., Section 5.1C of the Contract is amended by deleting "August 1" in the second line- and•substi ting in its place the following. "November 1 ". Section 2. Agreement Supersedes Contract. The terms and conditions contained in this Agreement shall supersede any conflicting provisions contained in the Contract. IN WITNESS WHEREOF, the Authority has caused this First Amendment to the Contract for Exclusive Negotiations to be duly executed in its name and behalf and the Redeveloper has executed this First Amendment to Contract for Exclusive Negotiations on or as of the date first above written. G:\ WPOATA \F \FRIDLEY \14 \DOC \lAMENCON.DOC L R004 08/06/97 WED 16:24 FAX 612 885 5969 BRASS MONROE 10005 Dated: HOUSING AND REDEVELOPMENT AUTHORITY IN AND FOR THE CITY OF FRIDLEY, MINNESOTA By Its By Its STATE OF MINNESOTA ) )ss COUNTY OF RAMSEY ) On this day of , 199_ before me, a notary public within and for Anoka County, personally appeared and to me personally known who by me duly sworn, did say that they are the'Chairman and Executive Director of the Housing and Redevelopment Authority in and for the City of Fridley, Minnesota, a political subdivision of the State of Minnesota, and acknowledged the foregoing instrument on behalf of said Authority. Notary Public Authority Signature Page First Amendment to Contract for Exclusive Negotiations G:\ WPDATA \F \FRIDLEY \14 \DDC \LAMENCON.DOC 3 Ud/Ufi/Ui WEI) 16:24 PAA b1Z 885 5969 KRASS MONROE W006 Dated: MEPC AMERICAN PROPERTIES, INC. By: Its: By; Its: STATE OF )ss COUNTY OF On this day of 199 - before me, a notary public within and for County, personally appeared and the and of MEPC Properties, Inc., a Delaware corporation, and acknowledged the foregoing instrument on behalf of said corporation. Notary Public Redeveloper Signature Page First Amendment to Contract for Exclusive Negotiations 4 W A_ 4 A�go:,--t :, MEMORANDUM Rlk a `2W`. HOUSING AND � K REDEVELOP' `'....`4..\ F a•VC�OREDEVELOPMENT ?v ., AUTHORITY DATE: July 31, 1997 TO: v-vVi-iliam Bums, Executive Director of HRA� - FROM: Barbara Dacy, Community Development Director SUBJECT: Highway 65 Streetlights The resolution authorizing installation of the streetlights along Highway 65 as part of the Lake Pointe /Central Avenue /Highway 65 intersection improvement project was not approved by the City Council at its July 28, 1997, meeting. The motion to approve the resolution failed on a tie vote. Councilmember Schneider was not present at the. . meeting, but he had previously indicated that he would not support the resolution authorizing installation of thelights. Because the Council did not approve the resolution, the corresponding resolution for HRA approval was not placed on the action agenda. Attached is the item which was included in the City Council agenda packet for their recent meeting. No action is needed by the HRA at this time. B D:ls M -97 -334 s , MEMORANDUM DEVELOPMENT DIRECTOR DATE: July 25, 1997 TO: William Bums, City Manager FROM: Barbara Dacy, Community Development Director SUBJECT: Resolution Authorizing Inclusion of Street Lights in the Intersection Improvement Project for Trunk Highway 65/Lake Pointe Drive /Central Avenue BACKGROUNDS F An informational hearing was held .on July 10, 1997 at the Housing &Redevelopment ' Authority regular meeting regarding the proposal to install 40 foot tall street lights along Highway 65. The minutes for the HRA meeting are still being prepared; however, eight people spoke in opposition to the proposal. There was no testimony in support of the proposal. y PROPOSED RESOLUTION -1. -The attachq resolutipn,,.if approved, would authorize inolusion-bf ftA get fth #s in the intersection project and authorize one -half of the .cost, not to exceed $60,000. A similar resolution is also scheduled for HRA action on August 14, 1997. . IA M -97 -330 M RESOLUTION NO. - 1997 RESOLUTION AUTHORIZING INCLUSION OF STREET LIGHTS IN THE INTERSECTION IMPROVEMENT PROJECT FOR TRUNK HIGHWAY 65 /LAKE POINTE DRIVE /CENTRAL AVENUE WHEREAS, on March 13, 1997, the Housing & Redevelopment Authority authorized the execution of a contract with Short - Elliot- Hendrickson for the development of the final plans and specifications for the improvement of the Trunk Highway 65 /Lake Pointe Drive /Central Avenue; and WHEREAS, on January 11, 1996, the Housing & Redevelopment Authority authorized the City to proceed with an ISTEA application on behalf of the HRA to construct the project; and WHEREAS, the City Council feels that it is appropriate to include street lights extending from the intersection project to East Moore Lake Drive on either side of- Highway 65; and WHEREAS, a preliminary analysis reveals that.approx�mately.25, 40 foot ta71 -; 400 watt high pressure sodium lights spaced at one per 150 feet is appropriate. NOW, THEREFORE, BE IT RESOLVED, that the City Council authorize. inclusion of the street lights into the intersection improve project. BE IT FURTHER RESOLVED that the City Council will fund up to one -half of the costs of the street lights, not to exceed $60,000. PASSED AND ADOPTED BY THE CITY COUNCIL OF THE CITY OF FRIDLEY THIS DAY OF , 1997. ATTEST: WILLIAM A. CHAMPA - CITY CLERK NANCY J. JORGENSON - MAYOR L-Ul'irt Z)rlL-EZ..D I I I I w I—r-- Air Li a) m z M Ilk- T in fl z Ib 'n x I To m IT IT i T 2A.00 LtMWAtAE SPECIFICAIMMS INTERO&L. ALL A Lelmtt CONSTRM latc. 22.et• MTVH K ".7Z- VIA. ALL ALUMINUM CONSTMY-T LEN, RMECTIO, 4romwpmro V---CLLAR ALLM" FM I.E.S. DISTQI-f IOM. :ROT."rPPEO WI to C-ARCDAL MIER. D=, INJECTION 00-M v Th n FLAT tewcc w cLan W .Mbee Tim 1'1,$7x. GASKET: GASKET BETWEEN C&-SS LE-S, LIW-LECTOR. SLOCTUCAL wr4ictcATtoo AM: WO WATT/ VOLT CORE. AhO COIL -IaUtTEO ItdiUNINI - USE FCQMtlN.- rite t4wsu= xwvttn. ov, 7- PALE sftctric•TtQwS RD" T#PEM STEEL APPVVX. B-S• VIA. X. 3.4r VIA. 9 11 Ga. WALL. LOWER SHAFT. rM SMX�ff STEEL, 10.0• VIA. 12. 2VCOLU 6g 20jr gt^. A I..O• MICAJ TWGlrl= CAST BASES t3�C 50. Xv mm To Al SICUL rL.%Tr,• l AWWRAgGs t4l V4• X MA 2.0• GALwm NTM ow A 13.0- BEAT Z7 : Fbclbl- ::WW AM-LIlMr Akc sortie Cr NOTES: A -LIL, LA=J. mpalma! On L=ATICM-. 2. ALL WIN cm0owna"S To Qr HAM WIT. OW NM. 7. FIIfT{kE MP9E0 WIN TERMINAL 0-= qrmT 7, ACCEPT TO AL -6 -UJNIMM WSRE. A. PLUG ST" COMMECT(ft CWLt3t$ lu ON U= MrTw"-W 8ALLAST. " LAW. " UALLAty AM rrg"141. W.". FOR EASY tAUA" y 3. scc 7vM3;psfQ0VA 9.75• VIA. M.DutT —11.75 13.t;0 014. SMr CIRCLE. "—CAST AUAl" 74"ISM04 COVER. BASE OETAA Cep SCALES is t/A UTI.Ok" r te"" 'MANIIII C., S.Is 10.01 GEA. STEEL TUBE. IS "'O"CLE, C, .75, Tsk. STEEL BASE PLATE. TVQ-PIECE C41 ALAWbOM RASE Ca"w. NOTE art COMPARISON OP: G0ST&1 - • - . EXECUTIVE $104,000 ($4,000 /std) FONTANA $106,600 ($4,100 /std) HUMBOLDT $111,800 ($4,300 /std) FRANKLIN III $104,000 ($4,000 /std) SHEPHERD'S HOOK $119,600 ($4,600 /std) 99 DATE: August 7, 1997 MEMORANDUM HOUSING AND REDEVELOPMENT AUTHORITY TO: William Bums, Executive Director of HRA FROM: Barbara Dacy, Community Development Director SUBJECT: Update on Paschke TIF Request The Chief Building Official, Ron Julkowski, has .reported that progress on the Paschke construction project at 7989 Main Street is progressing better than last reported. The contractor excavated the sewer and water connection so that a proper inspection could occur.. Also, Paschke's engineer and architect will be submitting copies of inspection reports on the core filling of the block walls, the desk*41ding, and other.structural _. issues. By requiring the engineer and architect to submit therequired inspection reports, a documented file is created regarding the construction of the building in compliance with the Building Code. The architect and engineer also become liable if there are any problems. Paschke has also been cooperative regarding the Building. Official's requests for more information. Jim Casserly is in the process of contacting Mr. Paschke regarding the typical requirements of the development contract. Unless otherwise directed, the development contract will be on the September 1997 agenda, along with the resolution authorizing execution. Should there be further issues regarding this matter, please do not hesitate to contact me. BD:ls M -97 -339 M. GWP G.W. PASCHKE P.O. BOX 308, ROGERS. ZAN 55374 - TELEPHONE (8121 428 -7711 PAX (6121428-7712 July 23, 1997 Ron Julkowski City of Fridley 6431 University Avenue NE Fridley, MN 55432 Dear ROrl Julkowski : This letter is written in response to our conversation earlier today with regard to the core filling of the block on the job identified as the addition at 7989 Main Street NE, Fridley.. I contacted the project engineer and he is in the process of compiling a letter which addresses the situation as to the core filling being done when the blockwork is completed as opposed to filling every four feet. This has always been the method we have used on all our buildings. At the time of the sotrm on July 1, the blockwork had just been completed and the core filling had not been done. The.storm was .intense and the building was under construction. I will forward a copy of .the engineer's letter as soon as I'receive it. If there are any questions in the meantime, please contact me. '�� �` a