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CCA 08/13/2018 "`'f CITY COUNCIL MEETING OF AUGUST 13, 2018 Fridley The City of Fridley will not discriminate against or harass anyone in the admission or access to, or treatment, or employment in its services, programs, or activities because of race, color, creed, religion, national origin, sex, disability, age, marital status, sexual orientation or status with regard to public assistance. Upon request, accommodation will be provided to allow individuals with disabilities to participate in any of Fridley's services, programs, and activities. Hearing impaired persons who need an interpreter or other persons with disabilities who require auxiliary aids should contact Roberta Collins at 572-3500. (TTD/572-3534) CONFERENCE MEETING (5:30 p.m.) 1. Tree Ordinance Update 2. Code Enforcement Update 3. 2019 Levy Discussion PLEDGE OF ALLEGIANCE. PRESENTATION: Summer Systematic Code Enforcement Summary by Sam Burns, Zoning & Code Enforcement Intern APPROVAL OF PROPOSED CONSENT AGENDA: APPROVAL OF MINUTES: 1. City Council Meeting of July 23, 2018 1 - 8 NEW BUSINESS: 2. Resolution Appointing Election Judges for the 2018 Primary and General Elections 9 - 10 FRIDLEY CITY COUNCIL MEETING OF AUGUST 13, 2018 PAGE 2 APPROVAL OF PROPOSED CONSENT AGENDA: NEW BUSINESS (CONTINUED): 3. Resolution Approving a Definitive Settlement Agreement between the City of Fridley and Lary B. Falck, Owner of the Property Generally Located at 1135 — 73rd Avenue N.E. to Accommodate Limited Outdoor Storage (Ward2) 11 - 18 4. Resolution to Approve an Agreement with the Minnesota Department of Transportation to Provide for a Master Partnership Contract 19 - 37 5. Resolution Authorizing Application to the Minnesota Department of Natural Resources for Grant Funding for the "Management of Emerald Ash Borer in Community Forests" 38 - 39 6. Resolution Repealing and Replacing Resolution No. 2018-16 and Calling for a Public Hearing on a Proposal for a Housing Finance Program and Giving Preliminary Approval to the Issuance of Housing Facility Revenue Bonds to Finance a Multifamily Housing Project pursuant to Minnesota Law, and Authorizing the Publication of a Notice of the Hearing (Ward 1) 40 - 51 7. Claims: (ACH PCard 1807; 181687 - 181928) 52 - 93 8. License 94 OPEN FORUM, VISITORS: Consideration of items not on Agenda — 15 minutes 9. Informal Status Reports 95 ADJOURN. rt 11Lv FRIDLEY CITY COUNCIL MEETING OF August 13, 2018 7:00 p.m. - City Council Chambers Attendance Sheet Please print name, address and item number you are interested in. Print Name (Clearly) Address Item No. My l ��L(.�lV" `�`� �IV / /`� / N - eV VL N q, „ po 5�e r C, S D, w (Ng A-All 1-A-KF_ ,t)2 CITY COUNCIL MEETING CITY OF FRIDLEY JULY 23, 2018 The City Council meeting for the City of Fridley was called to order by Mayor Lund at 7:00 p.m. ROLL CALL: MEMBERS PRESENT: Mayor Lund Councilmember Barnette Councilmember Saefke Councilmember Varichak Councilmember Bolkcom OTHERS PRESENT: Wally Wysopal, City Manager James Kosluchar, Public Works Director Scott Hickok, Community Development Director Jay Karlovich, City Attorney Courtney Miller, Crime Prevention Specialist PROCLAMATION: Night to Unite 2018—Tuesday,August 7,2018 APPROVAL OF PROPOSED CONSENT AGENDA: APPROVAL OF MINUTES: 1. City Council Meeting of July 9, 2018. APPROVED. NEW BUSINESS: 2. Final Plat Request, PS #18-03, by Cornerstone Private Asset Trust Co., LLC, FBO Gary Valley, to Subdivide One Large Single-Family Lot to Create Three Single- Family Lots, Generally Located at 6663 Lucia Lane N.E.; and Resolution Approving a Plat, PS #18-03, Valley Addition, by Cornerstone Private Asset Trust Company LLC, the Property Owner of the Lot Located 6663 Lucia Lane N.E. (Ward 2). 1 FRIDLEY CITY COUNCIL MEETING OF JULY 23,2018 PAGE 2 APPROVED FINAL PLAT REQUEST, PA #18-03 BY CORNERSTONE PRIVATE ASSET TRUST CO., LLC, FBO GARY VALLEY AND ADOPTED RESOLUTION NO. 2018-35. 3. Receive Bids and Award the Audio Visual Equipment and Services Project for the Police, Fire, City Hall and Public Works Complexes for the City of Fridley. RECEIVED BIDS AND AWARDED AUDIO VISUAL EQUIPMENT AND SERVICES PROJECT TO VIDEO SERVICES, INC., OF MANKATO,MINNESOTA. 4. Claims (181482— 181686). APPROVED. ADOPTION OF PROPOSED CONSENT AGENDA: MOTION by Councilmember Barnette to adopt the proposed consent agenda as presented. Seconded by Councilmember Varichak. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. OPEN FORUM, VISITORS: No one from the audience spoke. ADOPTION OF AGENDA: MOTION by Councilmember Bolkcom to adopt the agenda. Seconded by Councilmember Saefke. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. PUBLIC HEARING: 5. Consider the Revocation of Special Use Permit, SP #07-01, for Sam's Auto Parts, to Allow an Auto Recycling Center (Junk Yard) in M-1, Light Industrial Zoning District, Generally Located at 1230 — 73" Avenue N.E., 1240 - 73'/2 Avenue N.E., and 7340 Central Avenue N.E. (Ward 2). (Continued July 9,2018). MOTION by Councilmember Varichak to remove this item from the table. Seconded by Councilmember Saefke. 2 FRIDLEY CITY COUNCIL MEETING OF JULY 23,2018 PAGE 3 UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY AND THE ITEM WAS REMOVED FROM THE TABLE AT 7:07 P.M. Scott Hickok, Community Development Director, stated this item is to consider revocation of a special use permit for Sam's Auto Parts at the intersection of 73`d and Old Central. The good news is that they have signed on with the consulting engineering firm of Carlson McKane who has been working with the City's engineering department on finishing the liner in a proper fashion. They anticipate the liner will be installed and approved by the City's engineering staff within 30 days. Mr. Hickok stated his recommendation to Council is to hold this public hearing open until the meeting of September 10. They will see that the pond liner is installed properly, according to engineering standards. Staff is pleased with the progress and would like to provide them with the additional time to do it right. Mayor Lund stated it seems appropriate. He asked whether Sam's Auto Parts felt that postponing this until the September 10 Council meeting would be sufficient time for it to be completed and approved. Mr. Hickok replied, yes. They took that timeframe from Carlson McKane engineers. MOTION by Councilmember Varichak to continue the public hearing to the September 10, 2018, City Council meeting. Seconded by Councilmember Saefke. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY AND THE PUBLIC HEARING WAS CONTINUED UNTIL SEPTEMBER 10,2018. NEW BUSINESS: 6. Consider Extension Request for Variance, VAR #14-03, by James Lange for the Property Generally Located at 6940 Hickory Drive N.E. (Ward 3). Scott Hickok, Community Development Director, stated on July 2, 2014, the Appeals Commission approved a variance for a property located at 6940 Hickory Drive. The variance was granted to reduce the front yard setback and that is Hickory Place since it is on a corner, from 25 feet to 81.2 feet. The second variance is to reduce the side yard setback on the north side of the lot from 25 feet to 20 feet. The City Code does require that when a lot to the rear of the corner lot has frontage on a side street, an accessory structure needs to be 25 feet back from the common property line. Mr. Hickok stated City staff received an extension request from Mr. Lange on July 6, 2018. His father who was going to help him with the construction suffered a stroke this year, so the project again had to be put on hold. He realizes that this will be his fourth extension but has continued interest in the project and would like to not have to go through the entire variance process again. 3 FRIDLEY CITY COUNCIL MEETING OF JULY 23,2018 PAGE 5 mobilizes. It would be a change order Anoka County issues as part of their project and eliminates mobilization for the work. Mr. Kosluchar stated there is also an opportunity because of the delay in not getting the Moore Lake project approved. That project was to have $100,000 dedicated to match the federal funding which is not going to be expended until 2019; therefore, the City has an opportunity to act on this project. This project would not impact the 2018 CIP. The City would reassign those dollars and shift the CIP walk trail funding timing to various projects through 2023 as indicated in staff's memo. Mr. Kosluchar stated staff is recommending the City Council move to approve the attached Joint Powers Agreement for the East River Road sidewalk extension project and approve an amendment to the capital investment plan as described. If approved, staff will notify Anoka County and proceed with the execution of the Joint Powers Agreement. Councilmember Bolkcom referred to page 53. In the second paragraph, it should probably say commuter rail and not light rail. She asked whether there is enough room to install the sidewalk. Mr. Kosluchar said it was Anoka County's right-of-way and there are retaining walls they will be butting right up to. It is a tight squeeze but they can fit it in that area. Councilmember Bolkcom asked if the City would plow it. Mr. Kosluchar said it does add to their maintenance, but because it is a connecting route—they are on this route to plow near Stevenson and further south by Georgetown. Councilmember Bolkcom asked whether there was any room to put a bus shelter there. Mr. Kosluchar replied, no, there is not for the foreseeable future. Met Council would probably have to work with the County to acquire some right-of-way to put a shelter there. Councilmember Bolkcom stated even though it is a County road, the City pay for the sidewalks. Mr. Kosluchar replied, yes, it is a relatively common practice in which county highway departments do not fund pedestrian improvements. Councilmember Bolkcom asked how staff would let the homeowners know what is going on. Mr. Kosluchar replied, the City would send a notice to the homeowners. Councilmember Bolkcom asked when it would start. Mr. Kosluchar replied, they are getting ready to install the curb. They would install the curb in a certain way where the walk can be set on that. They could potentially start later this week if they approve it and the County approves the agreement. 4 FRIDLEY CITY COUNCIL MEETING OF JULY 23,2018 PAGE 4 Mr. Hickok stated staff recommends approval of a one-year extension to July 23, 2019, for Variance Request, VAR#14-03. Councilmember Barnette asked if the side yard was considered the front yard. Mr. Hickok replied, it is. The narrowest lot dimension on a corner lot, regardless of what way the house is facing, is considered the front lot. MOTION by Councilmember Bolkcom to approve a one-year extension for Variance, VAR #14-03, by James Lange for the property generally located at 6940 Hickory Drive N.E. Seconded by Councilmember Saefke. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. 7. Approve Joint Powers Agreement between the City of Fridley and County of Anoka for the East River Road Sidewalk Extension Project in the City of Fridley (Ward 3). James Kosluchar, Public Works Director, stated Anoka County is rehabilitating CSAH 1. There has been a lot of construction on East River Road. Their project relative to this presentation is from Charles Street to Rice Creek Parkway (basically to Rice Creek). Rehabilitation includes pavement mill and overlay, curb and gutter, and storm sewer improvements. The project was identified in April of this year for construction so the City has very little time available to coordinate with other projects. Staff immediately recognized, however, that there was a stretch of pedestrian way that was identified in a prior plan and they wanted to see whether it could be constructed. Mr. Kosluchar stated the City proposed a Joint Powers Agreement with Anoka County to include this sidewalk in conjunction with their project which includes 2,000 lineal feet of sidewalk from Mississippi Street to the Northstar station. It provides pedestrian access in connection to bus stops and the light rail station. Mr. Kosluchar stated in the Council's packet there are some maps showing this plan which is the southerly portion. The yellow line shows there is some walkway along the Northstar station from 61St north for one block and then it dies out. When staff was out doing some field recognizance, people were using it as a walk. They walk along behind the curb in the grass. He then pointed out on a map the extension piece to Mississippi Street where it will connect to another existing concrete walk where the BP station is. Mr. Kosluchar stated the City's Active Transportation Plan and the East River Road Corridor Study both recommended and identified a sidewalk within this segment. Project costs are estimated to be $92,000. It pays for removal, excavation, subgrade preparation, concrete sidewalk, and reconstruction of a drainage structure. It gets the City about four-tenths of a mile of walk. There is a cost-savings with constructing the improvement now before the contractor 5 FRIDLEY CITY COUNCIL MEETING OF JULY 23,2018 PAGE 6 Councilmember Bolkcom asked if they would pave everything when they get done. Mr. Kosluchar replied, that is his understanding. Councilmember Barnette stated he assumes the City is going to be responsible for snow removal. He asked where they are going to put the snow. Mr. Kosluchar replied, as the City does with the County's clean street policy, they do plow down to pavement so the City is often handling their snow. They will get snow plowed on this walk from the roadway. The City will have to run it probably multiple times after a substantial snowfall. They will be able to do it. Mayor Lund asked if the neighboring property owners have been advised. Mr. Kosluchar said at this point he would say, no, other than through the East River Road corridor plan which a lot of them actually participated in. That was only about five years ago where they talked about the designation of those walks and that was incorporated into the plan. They would have to remind them and there may be some new owners that did not participate. In this case, it is a little different because generally what you see here is a vegetation separation or a fence separation or a retaining separation so there is kind of that definite designation of County right-of-way. He said he was surprised the property owners maintain the turf to the level that they do because it is so separate from their yards. Mayor Lund stated there is a natural berm there, and it makes sense because there is probably a lot of traffic noise they try and minimize or buffer. Because it is a busy street the sidewalk makes good sense. Councilmember Bolkcom stated there are a lot of people who walk along there. Mayor Lund asked about signage and if it would go a little to the right. Mr. Kosluchar replied, that is correct. Generally it is just put behind the curb. There is a little bit of separation there. Mayor Lund asked in extreme cases if they really get snowed in, since they have a sidewalk plow with a chute, is there a truck to dump it into. Mr. Kosluchar said correct. He may recall on Mississippi Street a few winters ago they had a couple of seasons where they had some pretty hefty snows, and the County has been a pretty good partner with that. When they get into a bind where the City cannot move the snow anymore, it impacts them, too, when they are plowing their roads. The City works together with them. Mr. Kosluchar stated also making a connection north of Mississippi Street was also taken into consideration. It is fairly expensive, but this is actually a pretty good price for this. The reason 6 FRIDLEY CITY COUNCIL MEETING OF JULY 23,2018 PAGE 7 they would do the southerly side versus the northerly side is it does have a little more room and can be a more independent project. Mayor Lund stated he saw what is called the B612 curb is pretty common, and then they were going to modify the curb so that the sidewalk actually sat inside the top of the curb? It looked to him like they already put the curb in. Maybe not in that stretch? Mr. Kosluchar replied, no. MOTION by Councilmember Bolkcom to approve the Joint Powers Agreement between the City of Fridley and County of Anoka for the East River Road Sidewalk Extension Project in the City of Fridley. Seconded by Councilmember Bolkcom. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY. Councilmember Bolkcom stated to Mr. Kosluchar the City can get something out to the neighbors relatively soon now and asked him to keep looking for more money. There are so many people walking along this road and there are no sidewalks anywhere. The City is encouraging people to walk and bike. Mr. Kosluchar replied Mr. Hickok has been working on the portion south of here, too. It is a team effort trying to get these in. It is not always the easiest. They do have to work with the property owners. 7. Informal Status Reports. Councilmember Bolkcom asked Mr. Hickok to update everyone on the Locke Park Pointe project. Mr. Hickok stated the first patio home is going in. It will be ready for the fall Parade of Homes. The response to the patio homes and requests for information has been really positive, and people are really excited about all of that happening. People have probably also seen some of the outline of what will be the parkway going in including the silt fence. They may recall through the patio home neighborhood there will be a couple of new homes also. That area is going to really take shape and look very different between now and the first snowfall. Mr. Hickok stated also, as to the park, there is some playground equipment and an area for throwing a football. That area is not gone for good. They will see that it is gone for now but it is being moved over to what the City believes to be the optimum location. Right now they are looking at the best design for that. After the parkway goes in, they will see more focus put on that. Mr. Hickok stated they have one more piece to that and that is the water feature and the new parkway. They have narrowed it down to two candidate developers for development of that 7 FRIDLEY CITY COUNCIL MEETING OF JULY 23,2018 PAGE 8 portion. They are continuing with negotiations and discussions with them to make sure they get exactly the right feel and right number of units and layout in that development. Councilmember Barnette asked when they anticipated the other 25 homes would be completed. Mr. Hickok replied, they will build through 2019 and the full build-out will be done by the end of 2019 with 26 homes. With the amount of interest they have had, they can do a new start every couple of weeks and hope they can just keep that pace going until it is built out. ADJOURN: MOTION by Councilmember Barnette to adjourn. Seconded by Councilmember Varichak. UPON A VOICE VOTE, ALL VOTING AYE, MAYOR LUND DECLARED THE MOTION CARRIED UNANIMOUSLY AND THE MEETING ADJOURNED AT 7:36 P.M. Respectfully submitted by, Denise M.Johnson Scott J. Lund Recording Secretary Mayor 8 CITY COUNCIL MEETING mirr Fridley OF AUGUST 13, 2018 To: Walter T. Wysopal, City Manager From: Debra A. Skogen, City Clerk?' Date: August 6, 2018 Re: Resolution Appointing Election Judges for the 2018 Primary and General Elections The attached resolution appoints election judges for the 2018 primary and general elections. The election judges are appointed without precinct assignments at this time to allow the city more flexibility in determining precinct assignments. Election judges receive training which qualifies them to serve a two year term as an election judge. The election judges being appointed have been selected from previous work as election judges, lists which have been provided by the political parties and those interested individuals who have applied to be an election judge. 9 RESOLUTION NO. 2018- RESOLUTION APPOINTING ELECTION JUDGES FOR THE 2018 PRIMARY AND GENERAL ELECTIONS NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Fridley, Anoka County, Minnesota, at a regular meeting on August 13, 2018 that the following individuals are hereby appointed to act as Judges for said elections except that the City Clerk is hereby authorized to appoint qualified substitutes as set forth in Chapter 4, Section 4.05 of the City Charter: Donna Bahls Robert Hosman Shirley O'Neill Jerold Bahls Leah Howe Elaine Pitezel Ann Bangen Wayne Howe Tanya Plummer Provost Brendan Bremener Teresa Hub Bruce Pomerantz Barbara Brooks Katherine Jensen Peggy Price Kent Buell Bonita Johnson Anne Reineck Heidi Burmis Roberta Johnson Barb Reiland Joan Clark Jacalyn Kasick Norma Rust Angela Clarke Diane Kasick William Rust Maureen Collins Colleen Kennedy Barbara Saefke Judith Condon Coreen Kennedy Beverly Sax Bee Davidson Esther Kisch Cynthia Schreiner Julann Delaney Janet Kothman Donna Siedlecki Amelia Demulling Melvin Kuehni Mary Simms Bev Drewry Aaron Kurrell Paul Sleasar Kristina Eaton William Linton John Soule Don Findell Randy Lohmer Debra Strand Thomas Forsythe Richard Lundorff Jerry Teinter Jacqueline Frogh Carolyn Mathei-Lund Susan Teinter Kathy Garman Joseph McHugo Ron Thureen Delores Ginthner Judith McHugo Barbara Tollakson Margaret Greshik Angela McShane Jackie Walther Lynne Grigor Theresa Miller John Walther Elaine Gunderson Gwen Nawrocki Stephen Wallerius Mike Halloran Roger Nawrocki Joe Westenfield Ann Hansen Lynn Nehring Novella E X Balogun Sally Hellman Jeannine Nelson Linda Yaeger Earl Hendricks Richard Nelson David Zerby Phyllis Hildreth Susan Okeson Judy Zerby Mary Ann Hoffman Virgil Okeson Maureen Zgutowicz Jane Hosman Oluwaseyi Olawore SECTION 4. Compensation for said Judges will be paid at the rate of$10 per hour for regular Judges and $11 for the Chairperson of the Election Board. PASSED AND ADOPTED BY THE CITY COUNCIL OF THE CITY OF FRIDLEY THIS 13TH DAY OF AUGUST 2018. SCOTT J. LUND -MAYOR ATTEST: DEBRA A. SKOGEN-CITY CLERK 10 AGENDA ITEM J7 &eJCITY COUNCIL MEETING OF y AUGUST 13, 2018 Date: August 9, 2018 r To: Walter T. Wysopal, City Manage/W From: Scott Hickok,Community Development Director Julie Jones, Planning Manager Amy Kempf,Neighborhood Preservation Specialist Subject: Resolution to Approve Falck Mediated Settlement Agreement Background In 2012,the City Council approved a Compliance Agreement with Lary Falck,the owner of industrial property located at 1135 73rd Avenue. Mr. Falck had developed the property in 1982 and currently,two separate businesses,operated by his sons, are using the building. In April of 1982,the City approved a plan for storm water management/erosion control,paving,parking, landscaping,fencing, and screening for the site. In 2009,during summer systematic code enforcement inspections, staff observed that extensive,unscreened, exterior storage existed on the site with no record of a special use permit allowing it. Upon further investigation, it became apparent that the site plan for the Falck property was approved prior to the approval of more stringent ordinance requirements for outdoor storage that went into effect in 1983. When staff tried to hold the property owner to the original site plan approved in 1982, disagreement over interpretation of the original site plan ensued. Legal counsel became involved on both sides and the drafting of a Compliance Agreement was the result. The City Council approved that Compliance Agreement in 2012.The Agreement gave the owner a few months to modify the location of fencing on the site,which they complied with. However, in the following months and years,Mr. Falck and staff have disagreed about the screening requirements of the Agreement. It is staff's position that fully screened on their site means the gates on both 73`d and 73 V2 Avenues both need to be shut when vehicles are not entering or exiting. Frustrated with staff continuing to try to gain compliance with the 2012 Agreement, Mr. Falck filed for a declaratory judgement on interpretation of the Agreement. The District Court asked both parties to go to mediation to attempt to resolve the matter outside court. The City counter sued. On August 3, 2018,the mediation occurred and resulted in creation of the attached Definitive Settlement Agreement. Recommendation Staff recommends that the City Council approve the attached resolution, approving the attached Definitive Settlement Agreement with Lary Falck. 11 RESOLUTION NQ. 2018- RESOLUTION APPROVING A DEFINITIVE SETTLEMENT AGREEMENT BETWEEN THE CITY OF FRIDLEY AND LARY B. FALCK, OWNER OF THE PROPERTY GENERALLY LOCATED AT 1135-73RD AVENUE NE TO ACCOMMODATE LIMITED OUTDOOR STORAGE WHEREAS, The City Council approved a Stormwater Management and Erosion Control Plan for the property at 1135 - 73rd Avenue on April 30, 1982; and WHEREAS, The Legal Description for this property is as follows: Lots 3 - 5 Inclusive, Block 2, Central View Manor, excluding the road subject to easements of record, Anoka County, Minnesota; and WHEREAS, in June 2009, the City recognized that this legally described site was not in compliance with an approved plan for the site dated April 30, 1982; and WHEREAS, on May 7, 2012, the Fridley City Council approved a negotiated Compliance Agreement with the property owner, Lary Falck, for a revised site plan to accommodate the outside storage; and WHEREAS, following repeated attempts by City staff to get the site into compliance with the screening requirements in the terms of the 2012 Compliance Agreement, Lary Falck filed a complaint for declaratory judgement against the City of Fridley in District Court; and WHEREAS, the City of Fridley agreed to attempt to mediate the case on August 3, 2018, at which time a mediated settlement agreement was reached. A copy of the Definitive Settlement Agreement has been attached as Attachment 1; NOW, THEREFORE, BE IT RESOLVED that the City Council approves the attached Definitive Settlement Agreement, including Exhibit 1, for the property at 1135 73`d, authorizing the Mayor and City Manager to execute the agreement and further directs staff to record said agreement at Anoka County. PASSED AND ADOPTED BY THE CITY COUNCIL OF THE CITY OF FRIDLEY THIS 13th DAY OF AUGUST, 2018. SCOTT J. LUND - MAYOR ATTEST: DEBRA A. SKOGEN - CITY CLERK 12 DEFINTIVE SETTLEMENT AGREEMENT This definitive Settlement Agreement (the "Agreement") is entered into by the City of Fridley (the "City") and Lary Falck ("Falck"). RECITALS: 1. WHEREAS, Lary Falck is the owner of property located at 1135 73rd Avenue, Fridley, Minnesota("the Property"); and 2. WHEREAS, going back to at least 2009 there have been ongoing disputes between Falck and the City regarding the Property's compliance with various Codes, City ordinances, and the Stormwater Management and Erosion Control Plan as approved by the City on April 30, 1982 (the "Plan"); and 3. WHEREAS, efforts to reach a resolution of these disputes culminated in a Compliance Agreement entered into by the City and Falck in May 2012, which was approved by the Fridley City Council via Resolution No. 2012-30 dated May 7, 2012 (the "Compliance Agreement"); and 4. WHEREAS, the City subsequently sent Falck numerous non-compliance notices related to matters in the Compliance Agreement, Falck contended that he had complied with the Agreement, and a dispute arose about whether Falck had complied with the requirements set forth in that agreement; and S. WHEREAS, Falck initiated a lawsuit in Anoka County, Minnesota titled Lary Falck v. The City of Fridley, Court File No. 02-CV-17-5652, an action for declaratory judgment seeking "a determination of the parties' rights, duties, and obligations under the Compliance Agreement . . ." (the "Lawsuit); and 1 13 6. WHEREAS, the City answered, denying that Falck was entitled to a declaratory judgment in his favor and contending that Falck was in violation of the Compliance Agreement and that the City was entitled to a declaratory judgment; and 7. WHEREAS, Falck and the City now desire to settle all claims arising out of or related to the Compliance Agreement and which have been asserted in the Lawsuit, together with any existing but unasserted claims, as more fully set forth below. RELEASE: NOW, THEREFORE, IN CONSIDERATION of Falck's agreement to dismiss the Lawsuit, and other good and valuable consideration between the parties, the sufficiency of which is hereby acknowledged by the parties, Falck and the City hereby unconditionally agree to mutually release each other, their agents, members, family members, officers, employees, insurers, attorneys, and other representatives and affiliates from any and all claims, counter-claims, and cross claims, known or unknown, asserted or unasserted, that they may have against each other as of the date this Agreement is approved by the City Council. IT IS FURTHER UNDERSTOOD AND AGREED: 1. Upon approval of this Settlement Agreement by the Fridley City Council and performance of the provisions in paragraph 2, a Stipulation of Dismissal With Prejudice will be filed with the District Court dismissing the Lawsuit and all claims and counterclaims without further cost or expense to any of the parties. 2. Subparagraphs a.-d. of Section 1 of the Compliance Agreement are replaced and superseded with the following requirements: a. Within ninety days of the City's approval of this Agreement, Falck will add five fence segments, designated on the attached drawing (Exhibit 1) as Fences A, B, 2 14 C, D, and E. The additional fence segments will be the same height as adjoining fencing. The parties agree that Fences B and E may not be installed if the fencepost is angled out to reasonably achieve the drive aisle in 2.b. Falck may, but is not required, to replace fencing on the property up to a height of 8 feet in the future. b. The parties agree that there will be an 18' wide drive aisle from the building curb to Fences B, D, and E. c. Falck will install slatting on Fences A, 13, C, D, and E and the existing center fence at Falck's own expense. d. Falck will stripe six 9' x 18' parking stalls on the paved area of the property. e. At or before the time that Fences A, B, C, D, and E are installed, Falck will install signage on the driveway instructing that semi (tractor/trailer) deliveries are one way only entering from 73`d Avenue and exiting onto 731/2 Avenue. Falck will paint at least two arrows on the driveway showing the direction for semi (tractor/trailer) deliveries. f. Falck's use of the fenced area is not an expansion or increase of the legal non- conforming outsidestorage area beyond what existed at the time the Compliance Agreement was executed and approved by the Fridley City Council on May 12, 2012. As long as the storage is confined within the fenced area and is not on the parking spaces described in paragraph 2.d or in the areas shaded green between points B and E on Exhibit 1, it is not an expansion or increase of the legal non- conforming outside storage. Vehicles and trailers may be stored in outside storage. 3 15 g. All fences will be maintained on the Property in good repair, and the new fencing will match existing fencing in color and style as much as feasible. h. Gates can remain open during business operations. i. Shipping containers like those in the existing outside storage are acceptable in the outside storage. j. Falck will place a sign on the fence/gate in both directions to remind customers to park within the Property and not on the street. 3. The Compliance Agreement remains in full force and effect except as specifically modified in this Settlement Agreement. This includes, but is not limited to, the provisions that "[a]ny and all existing compliance issues related to outside storage and Fencing with the Code are hereby resolved." Also, "the City represents and agrees it will not initiate a City Code or City Zoning Code violation or noncompliance action related to the outside storage consistent with" this Settlement Agreement and the Compliance Agreement. Also, the City will not pursue a criminal action against Falck related to the outside storage as long as Falck is compliant with this Agreement. 4. The City agrees that all known and existing Code issues at the Property are resolved by this Agreement. 5. The Property is subject to the 1971 City Code, and the Stormwater Management and Erosion Control Plan(the "Plan") as approved by the City on April 30, 1982. 6. The City will release the bond, if any, for the Property and will provide Falck with the final Certificate of Occupancy for the Property upon confirmation that condition 1 of the. Temporary Certificate of Occupancy dated November 2, 1982, has been satisfied. The 4 16 City will be precluded from arguing in the future that the Property is an illegal non- conforming use. 7. This Agreement will be recorded and will run with the Property. 8. This Agreement is subject to the approval of the Fridley City Council. City staff will recommend and advocate for its adoption by the City Council. 9. This Agreement is governed by the laws of Minnesota. 10. The Agreement may only be modified in a writing signed and authorized by both parties. 11. This Agreement may be signed in any number of counterparts. The counterparts together will be a single instrument. Signatures may be transmitted electronically and faxed or emailed copies will be treated and enforced as originals. Dated: Lary Falck Dated: CITY OF FRIDLEY By: Its: After Recording, Return To: Sarah E. Bushnell Arthur Chapman Kettering Smetak &Pikala, P.A. 81 S. 9th Street, Suite 500 Minneapolis, MN 55402 5 17 , 41111F, N %nazaaa ..„ , ,.. , _ IF 4.,:tik - -1-1-"- 1.4rawaaL — ita, Mt , t tA,L7".,,,4 .14.‘ear''' ne7,.."7 010111•111•111131111•111 EEEEE II MMM Ni,1111"..MM.141•1111,JIINE•111, e 1,.., ..A. r ,_,I, ,.A.. , • , - , .--:**-- lea c: AIF i'9 : 4 ' "v-. „,, ,, * '_% - 'it' 4.6" , / 1.-.'' '-. ... .. /-/ a .:.•.„,. ..,,,._, ., ,- ,.... 74.7 . r "0-4,'i: ,..._ , , ' 1- , , • - '1-' ' 1 .„ '-',, ; :.:0 :'_L ''' ' ,„ !:.7 ' ' -, - •.......MMMMM•M•M••-••:1 : ' E 4 \' 41, : „, ,.„, _.4...440 ..y -' ----z-- smikieser,: . -- ----- ''. : / - ...• , . -...-. ..,,,o6... r . t • ,i_- --• ,, Nir••••••.....• - , : '.:,1 1 , • ' ';'1-m A \ -- istoress., • t , / , ///, i \ - ,• - isx9/ ,Prking Boatel misermeocir o o op it . ?Ts?, 4 ' • '• 1135 73rd Ave. NE - tgridngSpace1 to , oilie Alrorrilodourin Fyiezo iv . , Fridley Paridng Space] . - , . - 1,..umil7mmommilimmismilitemaMOISOmmilmilimin 0 D.'.----, ‘,.8x9 4„,.... , _ , , • v : - 0101E rdifirsispliga . . 42--- ,a Pr 1;;PirradAilrilaLCS Arlaciite ,, -7,Tr, ,. ,,,, , as ' riirkIng Space . - . . - -- • ` : "-,-, / • / -41g'°It''''''41111166 • k IP • 7// //// . ., .. 11111L .... . // / / / 0-1 • I . a . -...- I 416110Ter7- -, , Fencing .., *The parties agree no storage will be kept within the sight 00 Existing lines as indicated by the green shaded areas between B and E. 013 `" DEXICJ Extension _ 73RD AVE NE *The parties agree that Fences B and Edo not have to be -- - 0 10 20 30 40 ft Installed if the fencepost is angled out to reasonably achieve the 18' wide drive aisle. MINI .not to scale 4- 7,466, ,k : - 18 - - 00 of 1 '� AGENDA ITEM Fridley CITY COUNCIL MEETING OF AUGUST 13, 2018 TO: Walter Wysopal, City Manager PW18-048 FROM: James Kosluchar, Public Works Directo DATE: August 2, 2018 SUBJECT: Resolution to Approve Master Partnership Contract 1028137 with the Minnesota Department of Transportation The City has received the attached draft agreement from MnDOT,along with a letter requesting approval of the attached resolution to allow execution of the agreement. Under this agreement, MnDOT wishes to cooperate closely with the City to coordinate delivery of transportation services and maximize the efficient delivery of such services at all levels of government. Essentially,the agreement allows the City to collaborate with MnDOT quickly and efficiently on design, construction, maintenance and operation of state and local roads as may be beneficial to both parties. The contract does not commit the City or MnDOT to any specific work. It has been determined that having the ability to write work orders against a master contract would provide the greatest speed and flexibility in responding to identified needs. The City and MnDot have entered into a similar agreement bi-annually.The City has used this contract in the past to provide for materials testing services on concrete, gravel, etc. in a cost- effective manner. The City has also performed minor maintenance and been reimbursed for its costs under this agreement in the past. Staff recommends the City Council move to approve the attached resolution directing the Mayor and City Manager to execute MnDOT Agency Agreement 1028137 to provide for a Master Partnership Contract. If approved, staff will forward signed copies to MnDOT for their execution. JPK/bc Attachments 19 RESOLUTION NO. 201 - RESOLUTION TO APPROVE AN AGREEMENT WITH THE MINNESOTA DEPARTMENT OF TRANSPORTATION TO PROVIDE FOR A MASTER PARTNERSHIP CONTRACT WHEREAS,the Minnesota Department of Transportation (MnDOT) wishes to cooperate closely with local units of government to coordinate the delivery of transportation services and maximize the efficient delivery of such services at all levels of government; and WHEREAS, MnDOT and local governments are authorized by Minnesota Statutes sections 471.59, 174.02, and 161.20,to undertake collaborative efforts for the design, construction, maintenance and operation of state and local roads; and WHEREAS, MnDOT and the City of Fridley(City)wish to be able to respond quickly and efficiently to such opportunities for collaboration, and have determined that having the ability to write "work orders"against a master contract would provide the greatest speed and flexibility in responding to identified needs. NOW, THEREFORE, BE IT RESOLVED, 1. That the City of Fridley enter into a Master Partnership Contract with the Minnesota Department of Transportation,a copy of which was before the Fridley City Council. 2. That the proper City officers are authorized to execute such contract and any amendments thereto. 3. That the City Engineer is authorized to negotiate work order contracts pursuant to the Master Contract, which work order contracts may provide for payment to or from MnDOT, and that the City Engineer may execute such work order contracts on behalf of the City of Fridley without further approval by this Fridley City Council. PASSSED AND ADOPTED BY THE CITY COUNCIL OF THE CITY OF FRIDLEY THIS 13th DAY of AUGUST,2018. • SCOTT J. LUND-MAYOR ATTEST: DEBRA A. SKOGEN - CITY CLERK 20 mDEPARTMENT OF TRANSPORTATION MnDOT Contract Number: 1028137 STATE OF MINNESOTA AND CITY OF FRIDLEY MASTER PARTNERSHIP CONTRACT This master contract is between the State of Minnesota,acting through its Commissioner of Transportation in this contract referred to as the"State"and the City of Fridley,acting through its City Council in this contract referred to as the"Local Government." Recitals 1. The parties are authorized to enter into this contract pursuant to Minnesota Statutes, §§15.061,471.59 and 174.02. 2. Minn. Stat. § 161.20, subd.2, authorizes the Commissioner of Transportation to make arrangements with and cooperate with any governmental authority for the purposes of constructing, maintaining and improving the trunk highway system. 3. Each party to this contract is a"road authority"as defined by Minn. Stat. §160.02,subd. 25. 4. Minn. Stat. § 161.39, subd. 1, authorizes a road authority to perform work for another road authority. Such work may include providing technical and engineering advice, assistance and supervision, surveying, preparing plans for the construction or reconstruction of roadways,and performing roadway maintenance. 5. Minn. Stat. §174.02, subd. 6,authorizes the Commissioner of Transportation to enter into contracts with other governmental entities for research and experimentation; for sharing facilities,equipment, staff, data, or other means of providing transportation-related services; or for other cooperative programs that promote efficiencies in providing governmental services, or that further development of innovation in transportation for the benefit of the citizens of Minnesota. 6. Each party wishes to occasionally purchase services from the other party, which the parties agree will enhance the efficiency of delivering governmental services at all levels. This Master Partnership Contract(MPC)provides a framework for the efficient handling of such requests.This MPC contains terms generally governing the relationship between the parties. When specific services are requested,the parties will (unless otherwise specified) enter into a"Work Order"contracts. 7. After the execution of this MPC,the parties may(but are not required to)enter into"Work Order"contracts. These Work Orders will specify the work to be done,timelines for completion,and compensation to be paid for the specific work. 8. The parties are entering into this MPC to establish terms that will govern all of the Work Orders subsequently issued under the authority of this Contract. Master Partnership Contract 1. Term of Master Partnership Contract; Use of Work Order Contracts; Survival of Terms 1.1. Effective Date:This contract will be effective on the date last signed by the Local Government, and all State officials as required under Minn. Stat. § 16C.05,subd. 2. 1.2. A party must not accept work under this Contract until it is fully executed. 1.3. Expiration Date. This Contract will expire on June 30,2022. Page 1 of 13 CM Master Partnership Contract(CM Rev.04/10/2017) 21 MnDOT Contract Number: 1028137 1.4. Work Order Contracts. A work order contract must be negotiated and executed(by both the State and the Local Government)for each particular engagement,except for Technical Services provided by the State to the Local Government as specified in Article 2.The work order contract must specify the detailed scope of work and deliverables for that project. A party must not begin work under a work order until the work order is fully executed.The terms of this MPC will apply to all work orders contracts issued, unless specifically varied in the work order.The Local Government understands that this MPC is not a guarantee of any payments or work order assignments, and that payments will only be issued for work actually performed under fully-executed work orders. 1.5. Survival of Terms. The following clauses survive the expiration or cancellation of this master contract and all work order contracts: 12. Liability; 13. State Audits; 14. Government Data Practices and Intellectual Property; 17. Publicity; 18. Governing Law,Jurisdiction,and Venue;and 22. Data Disclosure. All terms of this MPC will survive with respect to any work order contract issued prior to the expiration date of the MPC. 1.6. Sample Work Order. A sample work order contract is available upon request from the State. 1.7. Definition of"Providing Party"and"Requesting Party". For the purpose of assigning certain duties and obligations in the MPC to work order contracts,the following definitions will apply throughout the MPC. "Requesting Party" is defined as the party requesting the other party to perform work under a work order contract. "Providing Party" is defined as the party performing the scope of work under a work order contract. 2. Technical Services 2.1. Technical Services include repetitive low-cost services routinely performed by the State for the Local Government. These services may be performed by the State for the Local Government without the execution of a work order,as these services are provided in accordance with standardized practices and processes and do not require a detailed scope of work.Exhibit A—Table of Technical Services is attached. 2.1.1. Every other service not falling under the services listed in Exhibit A will require a work order contract. 2.2. The Local Government may request the State to perform Technical Services in an informal manner,such as by the use of email,a purchase order,or by delivering materials to a State lab and requesting testing. A request may be made via telephone,but will not be considered accepted unless acknowledged in writing by the State. 2.3. The State will promptly inform the Local Government if the State will be unable to perform the requested Technical Services. Otherwise,the State will perform the Technical Services in accordance with the State's normal processes and practices, including scheduling practices taking into account the availability of State staff and equipment. 2.4. Payment Basis. Unless otherwise agreed to by the parties prior to performance of the services,the State will charge the Local Government the State's then-current rate for performing the Technical Services. The then-current rate may include the State's normal and customary additives.The State will invoice the Local Government upon completion of the services,or at regular intervals not more than once monthly as agreed upon by the parties.The invoice will provide a summary of the Technical Services provided by the State during the invoice period. 3. Services Requiring A Work Order Contract 3.1. Work Order Contracts:A party may request the other party to perform any of the following services under individual work order contracts. Page 2 of 13 CM Master Partnership Contract(CM Rev.04/10/2017) 22 MnDOT Contract Number: 1028137 3.2. Professional and Technical Services. A party may provide professional and technical services upon the request of the other party. As defined by Minn. Stat. §16C.08, subd. 1,professional/technical services "means services that are intellectual in character, including consultation,analysis,evaluation,prediction, planning, programming, or recommendation;and result in the production of a report or completion of a task."Professional and technical services do not include providing supplies or materials except as incidental to performing such services. Professional and technical services include(by way of example and without limitation)engineering services,surveying,foundation recommendations and reports, environmental documentation, right-of-way assistance(such as performing appraisals or providing relocation assistance, but excluding the exercise of the power of eminent domain),geometric layouts, final construction plans,graphic presentations, public relations,and facilitating open houses. A party will normally provide such services with its own personnel; however, a party's professional/technical services may also include hiring and managing outside consultants to perform work provided that a party itself provides active project management for the use of such outside consultants. 3.3. Roadway Maintenance. A party may provide roadway maintenance upon the request of the other party. Roadway maintenance does not include roadway reconstruction. This work may include but is not limited to snow removal,ditch spraying,roadside mowing,bituminous mill and overlay(only small projects), seal coat, bridge hits, major retaining wall failures, major drainage failures,and message painting. All services must be performed by an employee with sufficient skills,training,expertise or certification to perform such work,and work must be supervised by a qualified employee of the party performing the work. 3.4. Construction Administration. A party may administer roadway construction projects upon the request of the other party. Roadway construction includes(by way of example and without limitation)the construction, reconstruction,or rehabilitation of mainline, shoulder,median,pedestrian or bicycle pathway, lighting and signal systems, pavement mill and overlays, seal coating,guardrail installation,and channelization.These services may be performed by the Providing Party's own forces, or the Providing Party may administer outside contracts for such work. Construction administration may include letting and awarding construction contracts for such work(including state projects to be completed in conjunction with local projects). All contract administration services must be performed by an employee with sufficient skills,training,expertise or certification to perform such work. 3.5. Emergency Services. A party may provide aid upon request of the other party in the event of a man-made disaster,natural disaster or other act of God. Emergency services includes all those services as the parties mutually agree are necessary to plan for,prepare for,deal with,and recover from emergency situations. These services include, without limitation,planning,engineering, construction,maintenance,and removal and disposal services related to things such as road closures,traffic control,debris removal, flood protection and mitigation,sign repair,sandbag activities and general cleanup. Work will be performed by an employee with sufficient skills,training,expertise or certification to perform such work, and work must be supervised by a qualified employee of the party performing the work. If it is not feasible to have an executed work order prior to performance of the work,the parties will promptly confer to determine whether work may be commenced without a fully-executed work order in place. If work commences without a fully-executed work order, the parties will follow up with execution of a work order as soon as feasible. 3.6. When a need is identified,the State and the Local Government will discuss the proposed work and the resources needed to perform the work. If a party desires to perform such work,the parties will negotiate the specific and detailed work tasks and cost.The State will then prepare a work order contract. Generally,a work order contract will be limited to one specific project/engagement,although"on call" work orders may be prepared for certain types of services,especially for"Technical Services"items as identified section 2.1..The work order will also identify specific deliverables required, and timeframes for completing work. A work order must be fully executed by the parties prior to work being commenced. Page 3 of 13 CM Master Partnership Contract(CM Rev.04/10/2017) 23 MnDOT Contract Number: 1028137 The Local Government will not be paid for work performed prior to execution of a work order contract and authorization by the State. 4. Responsibilities of the Providing Party 4.1. Terms Applicable to ALL Work Order Contracts. The terms in this section 4.1 will apply to ALL work order contracts. 4.1.1. Each work order will identify an Authorized Representative for each party.Each party's authorized representative is responsible for administering the work order,and has the authority to make any decisions regarding the work,and to give and receive any notices required or permitted under this MPC or the work order. 4.1.2. The Providing Party will furnish and assign a publicly employed licensed engineer(Project Engineer),to be in responsible charge of the project(s)and to supervise and direct the work to be performed under each work order contract. For services not requiring an engineer,the Providing Party will furnish and assign another responsible employee to be in charge of the project. The services of the Providing Party under a work order contract may not be otherwise assigned, sublet, or transferred unless approved in writing by the Requesting Party's authorized representative. This written consent will in no way relieve the Providing Party from its primary responsibility for the work. 4.1.3. If the Local Government is the Providing Party,the Project Engineer may request in writing specific engineering and/or technical services from the State,pursuant to Minn. Stat. Section 161.39.The work order Contract will require the Local Government to deposit payment in advance.The costs and expenses will include the current State additives and overhead rates, subject to adjustment based on actual direct costs that have been verified by audit. 4.1.4. Only the receipt of a fully executed work order contract authorizes the Providing Party to begin work on a project. Any and all effort,expenses,or actions taken by the Providing Party before the work order contract is fully executed are considered unauthorized and undertaken at the risk of non-payment. 4.1.5. In connection with the performance of this contract and any work orders issued,the Providing Agency will comply with all applicable Federal and State laws and regulations. When the Providing Party is authorized or permitted to award contracts in connection with any work order, the Providing Party will require and cause its contractors and subcontractors to comply with all Federal and State laws and regulations. 4.2. Additional Terms for Roadway Maintenance. The terms of section 4.1 and this section 4.2 will apply to all work orders for Roadway Maintenance. 4.2.1. Unless otherwise provided for by contract or work order,the Providing Party must obtain all permits and sanctions that may be required for the proper and lawful performance of the work. 4.2.2. The Providing Party must perform maintenance in accordance with MnDOT maintenance manuals,policies and operations. 4.2.3. The Providing Party must use State-approved materials, including(by way of example and without limitation), sign posts, sign sheeting,and de-icing and anti-icing chemicals. 4.3. Additional Terms for Construction Administration. The terms of section 4.1 and this section 4.3 will apply to all work order contracts for construction administration. 4.3.1. Contract(s)must be awarded to the lowest responsible bidder or best value proposer in accordance with state law. Page 4 of 13 CM Master Partnership Contract(CM Rev.04/10/2017) 24 MnDOT Contract Number: 1028137 4.3.2. Contractor(s)must be required to post payment and performance bonds in an amount equal to the contract amount.The Providing Party will take all necessary action to make claims against such bonds in the event of any default by the contractor. 4.3.3. Contractor(s) must be required to perform work in accordance with the latest edition of the Minnesota Department of Transportation Standard Specifications for Construction. 4.3.4. For work performed on State right-of-way, contractor(s)must be required to indemnify and hold the State harmless against any loss incurred with respect to the performance of the contracted work, and must be required to provide evidence of insurance coverage commensurate with project risk. 4.3.5. Contractor(s)must pay prevailing wages pursuant to applicable state and federal law. 4.3.6. Contractor(s)must comply with all applicable Federal,and State laws,ordinances and regulations, including but not limited to applicable human rights/anti-discrimination laws and laws concerning the participation of Disadvantaged Business Enterprises in federally-assisted contracts. 4.3.7. Unless otherwise agreed in a work order contract,each party will be responsible for providing rights of way,easement,and construction permits for its portion of the improvements. Each party will, upon the other's request, furnish copies of right of way certificates,easements, and construction permits. 4.3.8. The Providing Party may approve minor changes to the Requesting Party's portion of the project work if such changes do not increase the Requesting Party's cost obligation under the applicable work order contract. 4.3.9. The Providing Party will not approve any contractor claims for additional compensation without the Requesting Party's written approval, and the execution of a proper amendment to the applicable work order contract when necessary. The Local Government will tender the processing and defense of any such claims to the State upon the State's request. 4.3.10. The Local Government must coordinate all trunk highway work affecting any utilities with the State's Utilities Office. 4.3.11. The Providing Party must coordinate all necessary detours with the Requesting Party. 4.3.12. If the Local Government is the Providing Party, and there is work performed on the trunk highway right-of-way,the following will apply: 4.3.12.1 The Local Government will have a permit to perform the work on the trunk highway. The State may revoke this permit if the work is not being performed in a safe,proper and skillful manner,or if the contractor is violating the terms of any law, regulation,or permit applicable to the work. The State will have no liability to the Local Government, or its contractor,if work is suspended or stopped due to any such condition or concern. 4.3.12.2 The Local Government will require its contractor to conduct all traffic control in accordance with the Minnesota Manual on Uniform Traffic Control Devices. 4.3.12.3 The Local Government will require its contractor to comply with the terms of all permits issued for the project including, but not limited to,National Pollutant Discharge Elimination System(NPDES)and other environmental permits. 4.3.12.4 All improvements constructed on the State's right-of-way will become the property of the State. 5. Responsibilities of the Requesting Party Page 5of13 CM Master Partnership Contract(CM Rev.04/10/2017) 25 MnDOT Contract Number: 1028137 5.1. After authorizing the Providing Party to begin work,the Requesting Party will furnish any data or material in its possession relating to the project that may be of use to the Providing Party in performing the work. 5.2. All such data furnished to the Providing Party will remain the property of the Requesting Party and will be promptly returned upon the Requesting Party's request or upon the expiration or termination of this contract(subject to data retention requirements of the Minnesota Government Data Practices Act and other applicable law). 5.3. The Providing Party will analyze all such data furnished by the Requesting Party. If the Providing Party finds any such data to be incorrect or incomplete,the Providing Party will bring the facts to the attention of the Requesting Party before proceeding with the part of the project affected.The Providing Party will investigate the matter,and if it finds that such data is incorrect or incomplete, it will promptly determine a method for furnishing corrected data. Delay in furnishing data will not be considered justification for an adjustment in compensation. 5.4. The State will provide to the Local Government copies of any Trunk Highway fund clauses to be included in the bid solicitation and will provide any required Trunk Highway fund provisions to be included in the Proposal for Highway Construction,that are different from those required for State Aid construction. 5.5. The Requesting Party will perform final reviews and inspections of its portion of the project work. If the work is found to have been completed in accordance with the work order contract,the Requesting Party will promptly release any remaining funds due the Providing Party for the Project(s). 5.6. The work order contracts may include additional responsibilities to be completed by the Requesting Party. 6. Time In the performance of project work under a work order contract,time is of the essence. 7. Consideration and Payment 7.1. Consideration. The Requesting Party will pay the Providing Party as specified in the work order.The State's normal and customary additives will apply to work performed by the State,unless otherwise specified in the work order. The State's normal and customary additives will not apply if the parties agree to a"lump sum"or"unit rate"payment. 7.2. State's Maximum Obligation. The total compensation to be paid by the State to the Local Government under all work order contracts issued pursuant to this MPC will not exceed $500,000.00. 7.3. Travel Expenses. It is anticipated that all travel expenses will be included in the base cost of the Providing Party's services,and unless otherwise specifically set forth in an applicable work order contract,the Providing Party will not be separately reimbursed for travel and subsistence expenses incurred by the Providing Party in performing any work order contract. In those cases where the State agrees to reimburse travel expenses,such expenses will be reimbursed in the same manner and in no greater amount than provided in the current "MnDOT Travel Regulations"a copy of which is on file with and available from the MnDOT District Office.The Local Government will not be reimbursed for travel and subsistence expenses incurred outside of Minnesota unless it has received the State's prior written approval for such travel. 7.4. Payment. 7.4.1. Generally. The Requesting Party will pay the Providing Party as specified in the applicable work order, and will make prompt payment in accordance with Minnesota law. 7.4.2. Payment by the Local Government. Page 6 of 13 CM Master Partnership Contract(CM Rev.04/10/2017) 26 MnDOT Contract Number: 1028137 7.4.2.1. The Local Government will make payment to the order of the Commissioner of Transportation. 7.4.2.2. IMPORTANT NOTE: PAYMENT MUST REFERENCE THE"MNDOT CONTRACT NUMBER"SHOWN ON THE FACE PAGE OF THIS CONTRACT AND THE"INVOICE NUMBER"ON THE INVOICE RECEIVED FROM MNDOT. 7.4.2.3. Remit payment to the address below: MnDOT Attn: Cash Accounting RE: MnDOT Contract Number 1028137 and Invoice Number###### Mail Stop 215 395 John Ireland Blvd St. Paul, MN 55155 7.4.3. Payment by the State. 7.4.3.1. Generally. The State will promptly pay the Local Government after the Local Government presents an itemized invoice for the services actually performed and the State's Authorized Representative accepts the invoiced services. Invoices must be submitted as specified in the applicable work order, but no more frequently than monthly. 7.4.3.2. Retainage for Professional and Technical Services. For work orders for professional and technical services, as required by Minn. Stat. § 16C.08,subd. 2(10), no more than 90 percent of the amount due under any work order contract may be paid until the final product of the work order contract has been reviewed by the State's authorized representative. The balance due will be paid when the State's authorized representative determines that the Local Government has satisfactorily fulfilled all the terms of the work order contract. 8. Conditions of Payment All work performed by the Providing Party under a work order contract must be performed to the Requesting Party's satisfaction,as determined at the sole and reasonable discretion of the Requesting Party's Authorized Representative and in accordance with all applicable federal and state laws, rules,and regulations.The Providing Party will not receive payment for work found by the State to be unsatisfactory or performed in violation of federal or state law. 9. Local Government's Authorized Representative and Project Manager; Authority to Execute Work Order Contracts 9.1. The Local Government's Authorized Representative for administering this master contract is the Local Government's Engineer, and the Engineer has the responsibility to monitor the Local Government's performance.The Local Government's Authorized Representative is also authorized to execute work order contracts on behalf of the Local Government without approval of each proposed work order contract by its governing body. 9.2. The Local Government's Project Manager will be identified in each work order contract. 10. State's Authorized Representative and Project Manager 10.1. The State's Authorized Representative for this master contract is the District State Aid Engineer, who has the responsibility to monitor the State's performance. 10.2. The State's Project Manager will be identified in each work order contract. Page 7 of 13 CM Master Partnership Contract(CM Rev.04/10/2017) 27 MnDOT Contract Number: 1028137 11. Assignment,Amendments,Waiver,and Contract Complete 11.1. Assignment. Neither party may assign or transfer any rights or obligations under this MPC or any work order contract without the prior consent of the other and a fully executed Assignment Contract, executed and approved by the same parties who executed and approved this MPC,or their successors in office. 11.2. Amendments. Any amendment to this master contract or any work order contract must be in writing and will not be effective until it has been executed and approved by the same parties who executed and approved the original contract,or their successors in office. 11.3. Waiver. If a party fails to enforce any provision of this master contract or any work order contract,that failure does not waive the provision or the party's right to subsequently enforce it. 11.4. Contract Complete. This master contract and any work order contract contain all negotiations and contracts between the State and the Local Government. No other understanding regarding this master contract or any work order contract issued hereunder,whether written or oral may be used to bind either party. 12. Liability. Each party will be responsible for its own acts and omissions to the extent provided by law. The Local Government's liability is governed by Minn. Stat.chapter 466 and other applicable law.The State's liability is governed by Minn. Stat.section 3.736 and other applicable law. This clause will not be construed to bar any legal remedies a party may have for the other party's failure to fulfill its obligations under this master contract or any work order contract. Neither party agrees to assume any environmental liability on behalf of the other party. A Providing Party under any work order is acting only as a"Contractor"to the Requesting Party,as the term "Contractor"is defined in Minn. Stat. §115B.03 (subd. 10),and is entitled to the protections afforded to a "Contractor"by the Minnesota Environmental Response and Liability Act. The parties specifically intend that Minn. Stat. §471.59 subd. la will apply to any work undertaken under this MPC and any work order issued hereunder. 13. State Audits Under Minn. Stat. § 16C.05,subd. 5,the party's books, records, documents,and accounting procedures and practices relevant to any work order contract are subject to examination by the parties and by the State Auditor or Legislative Auditor,as appropriate,for a minimum of six years from the end of this MPC. 14. Government Data Practices and Intellectual Property 14.1. Government Data Practices. The Local Government and State must comply with the Minnesota Government Data Practices Act, Minn. Stat. Ch. 13,as it applies to all data provided by the State under this MPC and any work order contract, and as it applies to all data created,collected,received,stored, used, maintained,or disseminated by the Local Government under this MPC and any work order contract. The civil remedies of Minn. Stat. § 13.08 apply to the release of the data referred to in this clause by either the Local Government or the State. 14.2. Intellectual Property Rights 14.2.1. Intellectual Property Rights. The Requesting Party will own all rights,title,and interest in all of the intellectual property rights, including copyrights,patents,trade secrets,trademarks,and service marks in the Works and Documents created and paid for under work order contracts. Works means all inventions, improvements,discoveries(whether or not patentable), databases, computer programs,reports,notes, studies,photographs,negatives,designs, drawings, specifications,materials,tapes,and disks conceived,reduced to practice, created or originated by the Providing Party, its employees,agents,and subcontractors,either individually or jointly with others in the performance of this master contract or any work order contract. Works includes "Documents."Documents are the originals of any databases, computer programs,reports,notes, Page 8 of 13 CM Master Partnership Contract(CM Rev.04/10/2017) 28 MnDOT Contract Number: 1028137 studies,photographs,negatives,designs,drawings,specifications,materials,tapes,disks,or other materials,whether in tangible or electronic forms,prepared by the Providing Party, its employees, agents,or contractors, in the performance of a work order contract.The Documents will be the exclusive property of the Requesting Party and all such Documents must be immediately returned to the Requesting Party by the Providing Party upon completion or cancellation of the work order contract. To the extent possible,those Works eligible for copyright protection under the United States Copyright Act will be deemed to be"works made for hire."The Providing Party Government assigns all right,title,and interest it may have in the Works and the Documents to the Requesting Party. The Providing Party must,at the request of the Requesting Party,execute all papers and perform all other acts necessary to transfer or record the Requesting Party's ownership interest in the Works and Documents.Notwithstanding the foregoing,the Requesting Party grants the Providing Party an irrevocable and royalty-free license to use such intellectual property for its own non-commercial purposes,including dissemination to political subdivisions of the state of Minnesota and to transportation-related agencies such as the American Association of State Highway and Transportation Officials. 14.2.2. Obligations with Respect to Intellectual Property. 14.2.2.1. Notification. Whenever any invention, improvement,or discovery(whether or not patentable) is made or conceived for the first time or actually or constructively reduced to practice by the Providing Party, including its employees and subcontractors, in the performance of the work order contract,the Providing Party will immediately give the Requesting Party's Authorized Representative written notice thereof, and must promptly furnish the Authorized Representative with complete information and/or disclosure thereon. 14.2.2.2. Representation. The Providing Party must perform all acts,and take all steps necessary to ensure that all intellectual property rights in the Works and Documents are the sole property of the Requesting Party,and that neither Providing Party nor its employees, agents or contractors retain any interest in and to the Works and Documents. 15. Affirmative Action The State intends to carry out its responsibility for requiring affirmative action by its Contractors,pursuant to Minn. Stat. §363A.36. Pursuant to that Statute,the Local Government is encouraged to prepare and implement an affirmative action plan for the employment of minority persons,women,and the qualified disabled,and submit such plan to the Commissioner of the Minnesota Department of Human Rights. In addition,when the Local Government lets a contract for the performance of work under a work order issued pursuant to this MPC,it must include the following in the bid or proposal solicitation and any contracts awarded as a result thereof: 15.1. Covered Contracts and Contractors. If the Contract exceeds$100,000 and the Contractor employed more than 40 full-time employees on a single working day during the previous 12 months in Minnesota or in the state where it has its principle place of business,then the Contractor must comply with the requirements of Minn. Stat. § 363A.36 and Minn.R. Parts 5000.3400-5000.3600.A Contractor covered by Minn. Stat. § 363A.36 because it employed more than 40 full-time employees in another state and does not have a certificate of compliance,must certify that it is in compliance with federal affirmative action requirements. 15.2. Minn.Stat. §363A.36. Minn. Stat. § 363A.36 requires the Contractor to have an affirmative action plan for the employment of minority persons,women,and qualified disabled individuals approved by the Minnesota Commissioner of Human Rights("Commissioner")as indicated by a certificate of compliance. The law addresses suspension or revocation of a certificate of compliance and contract consequences in that event. A contract awarded without a certificate of compliance may be voided. 15.3. Minn.R. Parts 5000.3400-5000.3600. Page 9 of 13 CM Master Partnership Contract(CM Rev.04/10/2017) 29 MnDOT Contract Number: 1028137 15.3.1. General. Minn. R. Parts 5000.3400-5000.3600 implement Minn. Stat. §363A.36. These rules include,but are not limited to, criteria for contents,approval,and implementation of affirmative action plans;procedures for issuing certificates of compliance and criteria for determining a contractor's compliance status; procedures for addressing deficiencies, sanctions,and notice and hearing; annual compliance reports; procedures for compliance review; and contract consequences for non-compliance.The specific criteria for approval or rejection of an affirmative action plan are contained in various provisions of Minn. R. Parts 5000.3400-5000.3600 including, but not limited to, parts 5000.3420-5000.3500 and 5000.3552-5000.3559. 15.3.2. Disabled Workers. The Contractor must comply with the following affirmative action requirements for disabled workers: 15.3.2.1. The Contractor must not discriminate against any employee or applicant for employment because of physical or mental disability in regard to any position for which the employee or applicant for employment is qualified.The Contractor agrees to take affirmative action to employ, advance in employment,and otherwise treat qualified disabled persons without discrimination based upon their physical or mental disability in all employment practices such as the following: employment, upgrading, demotion or transfer,recruitment, advertising, layoff or termination, rates of pay or other forms of compensation, and selection for training, including apprenticeship. 15.3.2.2. The Contractor agrees to comply with the rules and relevant orders of the Minnesota Department of Human Rights issued pursuant to the Minnesota Human Rights Act. 15.3.2.3. In the event of the Contractor's noncompliance with the requirements of this clause, actions for noncompliance may be taken in accordance with Minn. Stat. Section 363A.36, and the rules and relevant orders of the Minnesota Department of Human Rights issued pursuant to the Minnesota Human Rights Act. 15.3.2.4. The Contractor agrees to post in conspicuous places,available to employees and applicants for employment,notices in a form to be prescribed by the commissioner of the Minnesota Department of Human Rights. Such notices must state the Contractor's obligation under the law to take affirmative action to employ and advance in employment qualified disabled employees and applicants for employment,and the rights of applicants and employees. 15.3.2.5. The Contractor must notify each labor union or representative of workers with which it has a collective bargaining agreement or other contract understanding,that the Contractor is bound by the terms of Minn. Stat. Section 363A.36,of the Minnesota Human Rights Act and is committed to take affirmative action to employ and advance in employment physically and mentally disabled persons. 15.3.3. Consequences. The consequences for the Contractor's failure to implement its affirmative action plan or make a good faith effort to do so include, but are not limited to, suspension or revocation of a certificate of compliance by the Commissioner,refusal by the Commissioner to approve subsequent plans,and termination of all or part of this contract by the Commissioner or the State. 15.3.4. Certification. The Contractor hereby certifies that it is in compliance with the requirements of Minn. Stat. § 363A.36 and Minn. R. Parts 5000.3400-5000.3600 and is aware of the consequences for noncompliance. 16. Workers' Compensation Each party will be responsible for its own employees for any workers compensation claims. This MPC, and any work order contracts issued hereunder, are not intended to constitute an interchange of government employees under Minn. Stat. §15.53.To the extent that this MPC,or any work order issued hereunder, is determined to be Page 10 of 13 CM Master Partnership Contract(CM Rev.04/10/2017) 30 MnDOT Contract Number: 1028137 subject to Minn. Stat. §15.53, such statute will control to the extent of any conflict between the contract and the statute. 17. Publicity 17.1. Publicity. Any publicity regarding the subject matter of a work order contract where the State is the Requesting Party must identify the State as the sponsoring agency and must not be released without prior written approval from the State's Authorized Representative. For purposes of this provision,publicity includes notices, informational pamphlets, press releases,research,reports, signs, and similar public notices prepared by or for the Local Government individually or jointly with others,or any subcontractors,with respect to the program, publications,or services provided resulting from a work order contract. 17.2. Data Practices Act. Section 17.1 is not intended to override the Local Government's responsibilities under the Minnesota Government Data Practices Act. 18. Governing Law,Jurisdiction,and Venue Minnesota law, without regard to its choice-of-law provisions,governs this master contract and all work order contracts. Venue for all legal proceedings out of this master contract or any work order contracts,or the breach of any such contracts,must be in the appropriate state or federal court with competent jurisdiction in Ramsey County,Minnesota. 19. Prompt Payment; Payment to Subcontractors The parties must make prompt payment of their obligations in accordance with applicable law.As required by Minn. Stat. § 16A.1245,when the Local Government lets a contract for work pursuant to any work order,the Local Government must require its contractor to pay all subcontractors, less any retainage,within 10 calendar days of the prime contractor's receipt of payment from the Local Government for undisputed services provided by the subcontractor(s)and must pay interest at the rate of one and one-half percent per month or any part of a month to the subcontractor(s)on any undisputed amount not paid on time to the subcontractor(s). 20. Minn. Stat. § 181.59.The Local Government will comply with the provisions of Minn. Stat. § 181.59 which requires: Every contract for or on behalf of the state of Minnesota,or any county, city,town,township,school, school district, or any other district in the state, for materials, supplies,or construction shall contain provisions by which the Contractor agrees:(1)That, in the hiring of common or skilled labor for the performance of any work under any contract,or any subcontract,no contractor,material supplier, or vendor,shall,by reason of race, creed, or color,discriminate against the person or persons who are citizens of the United States or resident aliens who are qualified and available to perform the work to which the employment relates; (2)That no contractor, material supplier,or vendor,shall, in any manner,discriminate against,or intimidate,or prevent the employment of any person or persons identified in clause(1)of this section,or on being hired,prevent,or conspire to prevent,the person or persons from the performance of work under any contract on account of race,creed, or color; (3)That a violation of this section is a misdemeanor;and(4)That this contract may be canceled or terminated by the state, county, city,town, school board,or any other person authorized to grant the contracts for employment,and all money due, or to become due under the contract,may be forfeited for a second or any subsequent violation of the terms or conditions of this contract. 21. Termination; Suspension 21.1. Termination by the State for Convenience. The State or commissioner of Administration may cancel this MPC and any work order contracts at any time,with or without cause, upon 30 days written notice to the Local Government. Upon termination,the Local Government and the State will be entitled to payment, determined on a pro rata basis,for services satisfactorily performed. 21.2. Termination by the Local Government for Convenience. The Local Government may cancel this MPC and any work order contracts at any time,with or without cause,upon 30 days written notice to the State. Page H of 13 CM Master Partnership Contract(CM Rev.04/10/2017) 31 MnDOT Contract Number: 1028137 Upon termination,the Local Government and the State will be entitled to payment,determined on a pro rata basis,for services satisfactorily performed. 21.3. Termination for Insufficient Funding. The State may immediately terminate or suspend this MPC and any work order contract if it does not obtain funding from the Minnesota legislature or other funding source; or if funding cannot be continued at a level sufficient to allow for the payment of the services covered here. Termination or suspension must be by written or fax notice to the Local Government. The State is not obligated to pay for any services that are provided after notice and effective date of termination or suspension. However,the Local Government will be entitled to payment,determined on a pro rata basis, for services satisfactorily performed to the extent that funds are available.The State will not be assessed any penalty if the master contract or work order is terminated because of the decision of the Minnesota legislature or other funding source,not to appropriate funds.The State must provide the Local Government notice of the lack of funding within a reasonable time of the State's receiving that notice. 22. Data Disclosure Under Minn. Stat. §270C.65, subd. 3,and other applicable law,the Local Government consents to disclosure of its federal employer tax identification number, and/or Minnesota tax identification number, already provided to the State,to federal and state tax agencies and state personnel involved in the payment of state obligations. These identification numbers may be used in the enforcement of federal and state tax laws which could result in action requiring the Local Government to file state tax returns and pay delinquent state tax liabilities, if any. 23. Defense of Claims and Lawsuits If any lawsuit or claim is filed by a third party(including but not limited to the Local Government's contractors and subcontractors), arising out of trunk highway work performed pursuant to a valid work order issued under this MPC,the Local Government will,at the discretion of and upon the request of the State,tender the defense of such claims to the State or allow the State to participate in the defense of such claims. The Local Government will, however,be solely responsible for defending any lawsuit or claim, or any portion thereof,when the claim or cause of action asserted is based on its own acts or omissions in performing or supervising the work. The Local Government will not purport to represent the State in any litigation,settlement, or alternative dispute resolution process.The State will not be responsible for any judgment entered against the Local Government,and will not be bound by the terms of any settlement entered into by the Local Government except with the written approval of the Attorney General and the Commissioner of Transportation and pursuant to applicable law. 24. Additional Provisions [The balance of this page has intentionally been left blank—signature page follows] Page 12 of 13 CM Master Partnership Contract(CM Rev.04/10/2017) 32 MnDOT Contract Number: 1028137 LOCAL GOVERNMENT COMMISSIONER OF TRANSPORTATION The Local Government certifies that the appropriate person(s)have executed the contract on behalf of the Local Government as required by applicable ordinance,resolution,or charter provision. By: By: (with delegated authority) Title: Title Assistant Commissioner or Assistant Division Director Date: Date: COMMISSIONER OF ADMINISTRATION By: As delegated to Materials Management Division Title By: Date: Date: Page 13 of 13 CM Master Partnership Contract(CM Rev.04/10/2017) 33 Page I of 4 MPC Program FY 2017-2022 Date:04/20/2017 Exhibit A-Table of Tech Sery Used with TA98 Project IDs If a source code is not on this list,a work order is needed. 0032 Business Unit Management All expenses of business/office managers for general management and administration of support functions.includes administering central facilities maintenance and facilities capital budgets. 0152 Support Services Work that supports general office management,system management such as entering data into SWIFT,PPMS,PUMA and other MnDOT systems,attending staff meetings and other indirect support activities. 0400 Equipment Calibration-Mat Insp Use when performing periodic equipment calibration for equipment used in the materials lab or on construction projects. 0600 General Training Attended All costs(time,registration,materials,travel expenses,etc.)for attending or participating informal or informal training,including conferences that primarily provide training. 1182 Soils/Foundation Field/Laboratory Tests All laboratory testing necessary to provide geotechnical information to complete roadway soils recommendations and approvals for use in the development of Final Design Plans and Special Provisions.Lab work includes R-value,resilient modulus,soil classification,gradation,proctor testing,unconfined compression,consolidation,direct simple shear,direct sheer,permeability and triaxial tests. 1312 Tech Assist-Outside MnDOT Use when providing technical assistance to an organization external to MnDOT. 1421 Bridge Management System Use for tasks related to the Bridge Management System,including operations,administration,or data entry. Operation/Administration/Data 1434 Structural Metals Inspection-Non DOT Reviewing shop drawings furnished by suppliers,fabricators,and contractors(working drawing or calculations),and for tasks related to structural metals inspection(materials surveys,physical and chemical laboratory testing,material inspection and engineering,and technical services in the field and offices)for local agency projects. 1501 Traffic Management System(TMS) Used by traffic operations staff for all tasks that support the RTMC's operations center(or TOCC)providing traveler information, managing incidents and monitoring the FMS.Includes dynamic message sign maintenance,ramp meter maintenance,camera maintenance,and loop detection activities.Includes maintenance activities related to any ITS or TMS device such as RTMC cables, monitor wall,switchers,routers,or modems.Use to record all costs for maintenance activities related to traffic management fiber optics.Use for tasks related to maintaining traffic operations software including minor software enhancements and fixes.Use when providing traffic operations technical assistance external to MnDOT. 1513 Traffic Management System(TMS) For tasks associated with the incorporation of new and existing TMS devices(cameras,loops,DMS,and other ITS devices)into Integration existing infrastructure to ensure proper operation.Use with the Construction/Program Delivery Appropriation. 1520 Pavement Management System For tasks related to the operation of the pavement management system,including development and maintenance/technical support. Includes tasks to meet needs external to MnDOT. 1716 Record Sampling Used by Materials and Research Section and district materials staff to verify inspector"sampling and testing procedures and checking inspectors'equipment during project construction as required by FHWA.Use when performing field tests on split sample. 1721 Traffic Sign Work Orders Use for work involved in preparing work orders for traffic signs.Use only with Maintenance Operations appropriation(T790081). If a source code is not on this list,a work order is needed. 34 Page 2 of 4 MPC Program FY 2017-2022 Date.04/20/2017 Exhibit A-Table of Tech Sery Used with TA98 Project IDs If a source code is not on this list,a work order is needed. 1732 Material Testing&Inspection Performing construction phase and research physical and chemical laboratory testing,and related technical services in the districts and central labs,and for performing research and construction phase non-destructive testing materials surveys,and related technical services in the field and offices.Includes detour surveys.Non-destructive tests include,skid resistance and falling weight deflectometer(FWD)testing. 1733 Concrete Plant Inspections Performing QA/QC physical testing at the plant;sampling and transporting of materials from the plant to the lab for lab testing,plant reviews,and operations;investigating plant discrepancies;and other technical services in the plant or office associated with stationary concrete plants or mobile concrete paving plant inspection. 1734 Construction Materials Inspections Performing construction phase material inspection and engineering,for structural steel,precast and pre-stressed concrete, reinforcement steel,and electrical'products and related technical services in the field and office for materials to be used in multiple projects.Includes travel time,sampling,and sample delivery.Includes tasks related to reviewing shop drawings furnished by suppliers or fabricators and contractor working drawings or calculations,and for tasks related to structural metals inspection (materials surveys,physical and chemical laboratory testing,material inspection and engineering,and technical services in the field and offices). 1735 Bituminous Plant Inspection Performing QA/QC physical testing at the plant;sampling and transporting of materials from the plant to the lab for lab testing,plant reviews,and operations;investigating plant discrepancies;and other technical services in the plant or office associated with bituminous plant inspection. 1738 State Project-Specific Materials Performing material inspection for materials designated for a specific construction project(SP).Generally applies to inspection of Inspection such things as structural steel,prestressed concrete items,and most precast concrete items and for SP specific tasks related to structural metals inspection(materials surveys,physical and chemical laboratory testing,material inspection and engineering and technical services in the field and offices). 1800 Field Inspection Occasional construction project field inspection(not cyclical inspection of assets);Includes field inspection of materials such as gradations,densities/DCP,proctors,compaction,slump tests,and field air testsand collecting and transporting samples for lab tests, but not the actual laboratory verifications. 1870 Traffic Signal Maintenance This work will not substitute for or alter existing cooperative construction agreements or traffic signal maintenance agreements. Work related to the occasional repair and replacement of traffic signal system structures and all electrical maintenance for traffic signal systems including electrical power,labor,equipment materials,GSOC locates,traffic control and responses to public inquiries. 1871 Lighting Maintenance&Utilities All work related to installing,maintaining,restoring,or removing highway lighting systems and fixtures.Includes repairing, maintaining,or replacing supports necessary for roadway lighting luminaries.Includes patrol highway lighting,inspect lighting structures,electrical service for highway lighting,re-lamping,pump stations,anti-icing systems,truck roll-over warning systems and electrical repairs.Includes traffic control in support of roadway lighting activities.Use for tasks related to public inquiries/complaints,review utility billings,provide data,and conduct field reviews. 1875 Locate One Call Finding and marking locations of buried conduit,cables,hand holes,loops,etc.in order to maintain or repair the traffic management system,signal systems,or roadway lighting systems. If a source code is not on this list,a work order is needed. 35 Page 3 of 4 MPC Program FY 2017-2022 Date:04/20/2017 Exhibit A-Table of Tech Sery Used with TA98 Project IDs If a source code is not on this list,a work order is needed. toieHt 1876 Traffic Counting Use to record labor,equipment usage,and material costs for activities related to traffic counts made for statewide traffic monitoring or traffic operations.Includes all activities related to traffic counting,such as taking requests,assigning priorities,collecting field data,processing data,and developing new techniques for collection. 2102 Patching Related source type codes:2103-Heavy patching,2104-Bituminous paving,2105-Blow patching 2142 Overhead Sign Panel Maintenance Work related to the repair and replacement of overhead sign panels,extruded sign panels mounted on I-beams,and overhead sign structures.Includes related cable locates and traffic control.Does not include structural work. 2210 Guardrail-Install/Repair/Maintenance Install,repair,or maintain low tension cable,plate beams,and end treatments;cable tension adjustments;and reflector replacement. includes related traffic control. 2222 Sign/Delineation/Marker Repair Replacing,repairing,and washing signs(including temporary stop signs).Includes re-sequencing intersection signing and repair/replace overhead and extrude signs mounted on I-beams.Includes related cable locates and traffic control. 2316 Brush&Tree Removal Maintaining,watering,trimming,and removing highway right of way tree and brush.Includes chipping of tree limbs and stump removal/grinding.Includes related traffic control. 2624 Indirect Expense Indirect shop expenses and shop equipment.Allocate to mobile equipment, 2629 Supplies&Small Tools Shop tools,small equipment,and supplies that cannot be directly charged to a mobile equipment unit. 2819 Bridge Curb,Walk And Railing Repairing and maintaining bridge curb,walk,rail,coping,and fencing connected to the rail.Includes glare screen and median barriers on bridges.Includes related traffic control. 2820 Bridge Deck Work associated with bridge deck and slab repair regardless of removal depth or type of material used for patching.Includes deck or slab overlays and replacements and underside deck delamination.Includes related traffic control. 2822 Miscellaneous Bridge Maintenance This source code does not include replacement or major repair.Miscellaneous maintenance tasks performed on a specific bridge or structure not covered by other source codes.Includes minor repairs and simple fixes on items such as stairways,drains,fencing,light bases,transient guards,and access doors.Includes transient removal,ordering materials,and picking up equipment.Includes related traffic control. 2824 Bridge Inspection-Non-Federal All tasks related to inventory,inspection,and load capacity rating work done on trunk highway bridges to meet the requirements of the National Bridge Inspection System and/or Minnesota Bridge Safety Inspection Program or for billing to local governments. Includes related inspection reports and deck condition surveys. 2827 Bridge Expansion,Relief Joints All maintenance tasks associated with bridge expansion joints,except joint reestablishment.Includes tightening expansion device bolts and replacing seal glands.Includes related traffic control. 2828 Bridge Inspection-Federal Fund All bridge inspection tasks for non-MnDOT bridges funded by the federal Fracture-Critical Bridge Program(Project Code will begin with TSL and with the local bridge number).Includes related inspection reports.For MnDOT Trunk Highway bridges(Project Code begins with TSO followed by the bridge number)and local and Department of Natural Resources(DNR)(bridge number begins with ' 9A follow by bridge number)bridge inspections to be billed to the local government or Department of Natural Resources(DNR)use Source Code 2824. If a source code is not on this list,a work order is needed. 36 Page 4 of 4 MPC Program FY 2017-2022 Date:04/20/2017 Exhibit A-Table of Tech Sery Used with TA98 Project IDs If a source code is not on this list,a work order is needed. 2829 Bridge Superstructure All tasks to repair any bridge component above the bridge seat that is not included in other source codes.Includes repairs to all types of bridge superstructure elements such as girders,beams,floor beams,trusses,stringers,t-beams,precast channels,and box girders. Includes related traffic control. 2830 Bridge Bearing Assemblies All tasks related to the repair and maintenance of fixed or expansion-bearing assemblies on bridges.Includes related traffic 2834 Waterway Maintenance All tasks related to waterway maintenance for deck bridges.Includes debris removal,waterway cleanup,channel repair,and channel protection repair that is not part of slope protection.Includes related traffic control. 2838 Bridge Deck Crack Sealing All tasks related to deck crack sealing.Includes related traffic control. 2863 Traffic Signal Inspection Work related to cyclical structural and electrical inspection and preventive maintenance checks of traffic signal systems/structures. Includes labor,equipment,materials,and traffic control. 3000 Class Of Frequency Coordination Use for frequency coordination done with APCO,AASHTO or FCCA. 3002 Radio/Electronic Infrastructure Use for the repair and preventative maintenance of all equipment associated with wireless two-way radio communications systems (includes mobile radios,portable radios,base stations,console workstations,recorders,etc.).Non-MnDOT equipment-Must use Project number assigned to requesting agency;Department of Public Safety(DPS)includes State Patrol(SP)Bureau of Criminal Apprehension(BCA),Fire Marshall);does not include Department of Natural Resources(DNR).See OSRC Project 3005 Radio-Mobile Equipment Use for the repair and preventative maintenance of all equipment associated with wireless two-way radio communications systems (includes mobile radios,portable radios,base stations,console workstations,recorders,etc.).Non-MnDOT equipment-Must use Project number assigned to requesting agency(State Patrol,DNR,BCA,Fire Marshall).See OSRC Project Code list. 3009 Radio/Electronic System Upgrade& Use for the installation and other services needed to provide major system upgrades or improvements to wireless or electronic Installation systems.Use for all work performed to correct or repair deficiencies found in a new installation. 3025 Tower/Building Maintenance Use for all tasks related to the maintenance of a tower building or site.Includes towers,buildings,generators,LP system,fencing, landscaping,grounding,ice bridge,cable management,climbing ladders,card key systems,and HVAC. 3027 Radio Programming Creating or modifying radio frequency programs and programming mobile and portable radios.Does not include mobile radios used as fixed base radios as part of the Inter-OP System(Use 3009). 3049 On Call Electronic Communications To be used by Statewide Radio Communications personnel to record on-call time. Infrastructure Maintenance If a source code is not on this list,a work order is needed, 37 AGENDA ITEM Fridley CITY COUNCIL MEETING OF AUGUST 13, 2018 Date: August 7, 2018 To: Walter Wysopal, City Manage / From: James Kosluchar, Public Works Director Jeffrey Jensen, Operations Manager- Streets and Parks Rachel Workin, Environmental Planner Subject: Resolution Authorizing Application to the Minnesota Department of Natural Resources for Grant Funding for the "Management of Emerald Ash Borer in Community Forests". BACKGROUND The Fridley City Council approved the Emerald Ash Borer(EAB) Mitigation Plan at the February 12, 2018 council meeting. This Plan was developed to proactively address the threat of emerald ash borer while preserving the benefits of Fridley's urban forest. The Plan was also intended to increase the resiliency of the City's urban forest against future, unknown pests by increasing tree species diversity. Execution of these activities is funded through the forestry budget within the Capital Investment Program. The Minnesota Department of Natural Resources recently released a Request for Proposals for managing ash in community forests. Competitive funds are available to cities in amounts of up to $30,000 to aid in the management or protection of ash, or reduce the loss of tree canopy caused by EAB. City staff has prepared a proposal to submit to the DNR based on the City's Emerald Ash Borer Mitigation Plan. The proposal requests $30,000 to offset the costs of the removal and replacement of 70 ash trees from the public right-of-way, the treatment of 69 ash trees within city parks, and education to residents about EAB. These activities are scheduled for January 2019-May 2020. RECOMMENDATION Staff recommends that City Council authorize staff to submit the application for"Management of Emerald Ash Borer in Community Forests" grant funding by approving the attached resolution. The grant application deadline is August 24, 2018. 38 RESOLUTION NO. 2018— A RESOLUTION AUTHORIZING APPLICATION TO THE MINNESOTA DEPARMENT OF NATURAL RESOURCES FOR GRANT FUNDING FOR THE "MANAGEMENT OF EMERALD ASH BORER IN COMMUNITY FORESTS." WHEREAS,the Minnesota Department of Natural Resources has released a Request for Proposals for grant funding for the management of emerald ash borer in community forests; and WHEREAS, an application for grant funding must be submitted to the Minnesota Department of the Natural Resources by August 24, 2018; and WHEREAS, the City of Fridley is committed to protecting and enhancing the benefits provided by its community forest; and WHEREAS, the City of Fridley has an Emerald Ash Borer Mitigation Plan to prevent the spread and mitigate the damage of the insect Emerald Ash Borer on ash trees on public lands and right- of-ways; and WHEREAS,the Emerald Ash Borer Mitigation Plan directs the City to remove and replace low- quality ash trees, treat high-quality, specimen ash trees, and educate residents about emerald ash borer. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Fridley supports seeking grant funding for the "Management of Emerald Ash Borer in Community Forests"to assist the City in the implementation of the Emerald Ash Borer Mitigation Plan. BE IT FURTHER RESOLVED that the City Council of the City of Fridley hereby approves the submittal of an application for grant funding for the "Management of Emerald Ash Borer in Community Forests." PASSED AND ADOPTED BY THE CITY COUNCIL OF THE CITY OF FRIDLEY THIS 13TH DAY OF AUGUST,2018. SCOTT J. LUND - MAYOR ATTEST: DEBRA A. SKOGEN - CITY CLERK 39 I s AGENDA ITEM � ,°j CITY COUNCIL MEETING OF Fridley August 13, 2018 DATE: August 3, 2018 TO: Wally Wysopal, City Manager* FROM: Daniel Tienter, Finance Director/City Treasurer RE: Consider adoption of a resolution to rescind and supersede Resolution No. 2018- 16, and call for a public hearing on a proposal for a housing finance program and giving preliminary approval to the issuance of housing facility revenue bonds to finance a multifamily housing project In March, the City of Fridley (City) received a proposal from Fridley Lease Housing Associates I, LLLP (FLHA), in partnership with Fridley Leased Housing Associates I, LLC (Dominium), for assistance in the acquisition and rehabilitation of Village Green Apartments (Village Green) located at 460 Mississippi Street Northeast. Specifically, FLHA requested the issuance of a $22,500,000 Housing Facility Revenue Bond (Bond) by the City to support various improvements to Village Green. These revenue bonds would be issued as Private Activity Bonds, also known as Conduit Bonds or Debt. As the name suggests, this type of debt obligation, issued through the City as a revenue note, benefits the activities of private entities. In exchange for the favorable tax treatment typical to municipal bonds, the private entity agrees to service the debt by pledging revenues generated by the project; in this case rental housing facility. As such, these types of bonds do not constitute a debt of the City, which has little to no involvement with the debt service following issuance. These activities are typically handled by a third—party, known as a Bond Trustee. Typically, the City receives similar requests from non—profit organizations, or for—profit corporations for housing projects. As a general rule, Conduit Debt issues are limited to $10,000,000 per year with limited exceptions, such as qualified affordable housing projects. Since the Project proposed by FLHA meets the requirements for this exception, the City may exceed this limit. Apart from the financial instrument, staff also reviewed the preliminary renovation plans and schedule (Attachment A) for Village Green, including recommendations to correct site drainage and other storm water issues, which Dominium remains open to addressing as part of the improvements. On April 9, 2018, the City Council (Council)approved Resolution No. 2018-16 (Resolution),which provided preliminary approval to the project, indicated the intent of the City to provide Conduit Debt and called for a to—be—scheduled public hearing. As discussed during that meeting, Dominium and its partners intended to explore other financing options before moving forward with the Bond issuance process. On July 31, 2018, Dominium, after exhausting other options, confirmed their desire to move forward with the Conduit Debt process. Additionally, they 40 requested an increase in the Bond to an amount not to exceed $27,000,000 based on collateral obtained through the Federal National Mortgage Association (Fannie Mae). In order to modify the amount of Conduit Debt, the Council must rescind and then revise Resolution to increase the principal amount of the Bond, which will then reset the timeline for the finalization of the Bond issuance. Generally, if approved, staff anticipate the following schedule: • Inducement Resolution —August, 13, 2018; • Public Hearing Notice Publication —August 24, 2018; and • Public Hearing (and possible approval)—September 10, 2018. Financial Impact As mentioned above, Conduit Debt does not constitutes a debt of the City. Therefore, it does not create any financial commitments or obligations. Additionally, the City typically charges an administrative fee of 50 basis points against the par value of the Bond. For this particular Bond issue, the fee will be $135,000. Recommendation Staff recommend the Council adopt a resolution to rescind and supersede Resolution No. 2018- 16,and call for a public hearing on a proposal for a housing finance program and giving preliminary approval to the issuance of housing facility revenue bonds to finance a multifamily housing project, pursuant to Minnesota law. 41 Attachment A OMINILTM�,;1 March 28,2018 VIA ELECTRONIC MAIL Re: Village Green of Fridley—Summary of Rehabilitation To Whom It May Concern, Village Green is currently under contract for purchase and commencing with closing will undergo a substantial rehabilitation. The purpose of this rehabilitation is to perform capital improvements,remediate deferred maintenance,reduce operational expenditures, upgrade energy efficiency, and to comply with necessary codes,rules, and regulations. The approximate construction budget for the project is$6,178,147 and it is estimated that the work will take 10 months to complete. The scope of work is subject to change as the bidding process continues. There will be a number of improvements to the site included in the rehabilitation. A significant landscape budget is included along with repairs as necessary to site drainage and irrigation. There is also a new playground area planned near the townhouses. Other site improvements include a designated smoking area, sealcoat and striping,upgraded trash enclosures, as well as accessibility upgrades. There are a number of common areas throughout the site that will be improved as a part of the rehabilitation. Above and beyond general modernizations such as new floorings, paint,and LED lights,there will be a number of new features. The currently vacant clubhouse will be repurposed to include a fitness area and business center. The midrise building will receive an upgraded beauty room, offices, and clubroom area. There will also be improvements coming to the laundry rooms and other tertiary facilities. A substantial amount of the budget is set aside to rehabilitate existing building systems. The entire domestic water plumbing system will be replaced throughout both the midrise and each townhouse. It is estimated that approximately one half of all through-wall air conditioners as well as all hot water heaters will be replaced with new energy efficient systems. There is also a substantial budget retained for upgrades within the penthouse mechanical room at the midrise. The unit interior renovations vary based on apartment home. All 196 apartment homes will be receiving a dishwasher and microwave—these are not currently offered in any apartment home. The midrise apartment homes will be getting substantial upgrades including new kitchen cabinet boxes&fronts, countertops, sinks,vanity boxes&fronts, 2905 Northwest Blvd.Suite 150•Plymouth.MN 55441-2644•Corporate 763'354-5500•Fax 7631354-5519•Web doiuiniumapartments.eom } 42 Village Green-Fridley,MN Attachment A March 28,2018 and associated plumbing. The townhouses will be receiving new kitchen cabinet and vanity fronts. All apartment homes will be receiving LED lights as well as new energy efficient faucets and shower heads. There will be 10 units that require substantial interior unit renovations to become ADA compliant. These units will receive a far more extensive rehabilitation and upgrades. Sincerely, �- Devon M. Quist Development Associate Development Dominium 2905 Northwest Blvd.Suite 150 Plymouth, MN 55441-2644 Phone 763-354-5512 dominiumapartments.com 43 Extract of Minutes of a Meeting of the City Council of the City of Fridley, Minnesota Pursuant to due call and notice thereof, a regular meeting of the City Council of the City of Fridley, Minnesota, was duly called and held at the City Hall in said City on Monday, the 13th day of August, 2018, at 7:00 p.m. The following members were present: and the following were absent: Member introduced the following resolution and moved its adoption: RESOLUTION NO. 2018— RESOLUTION CALLING FOR A PUBLIC HEARING ON A PROPOSAL FOR A HOUSING FINANCE PROGRAM AND GIVING PRELIMINARY APPROVAL TO THE ISSUANCE OF HOUSING FACILITY REVENUE BONDS TO FINANCE A MULTIFAMILY HOUSING PROJECT PURSUANT TO MINNESOTA LAW, AND AUTHORIZING THE PUBLICATION OF ANOTICE OF THE HEARING (VILLAGE GREEN APARTMENTS PROJECT) The motion for the adoption of the foregoing resolution was duly seconded by member , and after full discussion thereof and upon vote being taken thereon, the following voted in favor thereof: and the following voted against the same: whereupon said resolution was declared duly passed and adopted. 44 RESOLUTION NO. 2018— RESOLUTION REPEALING AND REPLACING RESOLUTION NO. 2018-16 AND CALLING FOR A PUBLIC HEARING ON A PROPOSAL FOR A HOUSING FINANCE PROGRAM AND GIVING PRELIMINARY APPROVAL TO THE ISSUANCE OF HOUSING FACILITY REVENUE BONDS TO FINANCE A MULTIFAMILY HOUSING PROJECT PURSUANT TO MINNESOTA LAW,AND AUTHORIZING THE PUBLICATION OF A NOTICE OF THE HEARING (a) WHEREAS, Minnesota Statutes, Chapter 462C (the "Act"), confers upon cities, the power to issue revenue obligations to finance multifamily housing developments within the boundaries of the city; and (b) WHEREAS, the City Council of the City of Fridley, Minnesota (the "City") has received a proposal from Fridley Leased Housing Associates I, LLLP, a Minnesota limited liability limited partnership (the "Borrower"), with Fridley Leased Housing Associates I, LLC, a Minnesota limited liability company, as general partner, that the City assist in financing a Project hereinafter described, through the issuance of revenue bonds or obligations (in one or more series) (the "Bonds") to be issued in 2018 pursuant to the Act; and (c) WHEREAS, the City desires to facilitate the maintenance and development of multifamily rental housing within the community; encourage the development of affordable housing opportunities for residents of the City; encourage the development and maintenance of housing facilities designed for occupancy by low- and moderate-income households and by the elderly; and encourage the development of blighted or underutilized land and structures within the boundaries of the City; and the Project will assist the City in achieving these objectives; and (d) WHEREAS, the Project to be financed by the Bonds consists of the acquisition and rehabilitation of an existing 156,540 square-foot rentable apartment community that will consist of an approximately 196-unit multifamily housing development for low- and moderate- income households, including a portion that will be restricted to elderly heads of household, known as Village Green Apartments, located at 460 Mississippi Street NE, in the City (the "Project"). The Borrower will be the owner and operator of the Project; and (e) WHEREAS, no public official of the City has either a direct or indirect financial interest in the Project nor will any public official either directly or indirectly benefit financially from the Project; and (f) WHEREAS, before proceeding with final consideration of the request of the Borrower it is necessary for the City to hold a public hearing on the housing finance program and proposal pursuant to the Act; and (g) WHEREAS, the City has previously adopted Resolution No. 2018-16 on April 9, 2018 (the "Prior Resolution") giving preliminary approval to the Project, however, the Borrower 45 has requested that the maximum principal amount of the Bonds be increased from that approved in the Prior Resolution: NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Fridley, Minnesota, as follows: 1. This resolution hereby replaces and supersedes Resolution No. 2018-16 which is hereby rescinded and shall have no further effect. 2. A public hearing on the housing finance program and proposal of the Borrower will be held at the time and place as determined by the City Manager and as set forth in a Notice of Public Hearing substantially in the form attached hereto as Exhibit A. 3. The general nature of the proposal and an estimate of the principal amount of Bonds to be issued to finance the proposal are described in the attached form of Notice of Public Hearing. 4. A draft copy of the housing finance program with proposed forms of all attachments and exhibits shall be on file in the office of the City Clerk on the date the Notice of Public Hearing is published. 5. The City Clerk is hereby authorized and directed to cause notice of the hearing to be given one publication in the official newspaper of the City and a newspaper of general circulation available in the City, not less than 15 days nor more than 30 days prior to the date fixed for the hearing, substantially in the form of the attached Notice of Public Hearing with such changes as required or approved by Bond Counsel. 6. The City hereby gives preliminary approval to the proposal of the Borrower that the Borrower undertake the Project, and the City undertake the program of financing therefor, pursuant to the Act, consisting of financing the acquisition and rehabilitation of the Project pursuant to the Borrower's specifications and to a loan agreement between the City and the Borrower on such terms and conditions with provisions for revision from time to time as necessary, so as to produce income and revenues sufficient to pay, when due, the principal and interest on the Bonds in a total principal amount not to exceed $27,000,000 to be issued pursuant to the Act to finance the Project; and said agreement may also provide for the entire interest of the Borrower therein to be mortgaged to the purchasers of the Bonds, or a trustee for the holder(s) of the Bonds; and the City, acting by and through the City, hereby undertakes preliminarily to issue its Bonds in accordance with such terms and conditions. 7. At the option of the City, the financing may be structured so as to take advantage of whatever means are available and are permitted by law to enhance the security for, or marketability of, the Bonds; provided that any such financing structure must be consented to by the Borrower. 8. On the basis of information available to the City it appears, and the City hereby finds, that the Project constitutes a multifamily housing development within the meaning of subdivision 5 of Section 462C.02 of the Housing Program Act; that the availability of the financing under the Housing Program Act and the willingness of the City to furnish such financing will be a substantial inducement to the Borrower to undertake the Project, and that the 46 effect of the Project, if undertaken, will be to encourage the construction and maintenance of new and existing multifamily rental housing opportunities for residents of the community, and to promote more intensive development and use of land within the community. 9. The Project and the program to finance the Project by the issuance of revenue obligations, are hereby given preliminary approval by the City subject to holding a public hearing thereon and final approval by the City, the Borrower, and the purchasers of the Bonds as to ultimate details of the financing of the Project. 10. Briggs and Morgan, Professional Association, acting as bond counsel, is hereby directed to prepare a housing program for financing the Project in accordance with the provisions of Minnesota Statutes, Section 462C.03. 11. The Borrower has agreed and it is hereby determined that any and all costs incurred by the City in connection with the financing of the Project whether or not the Project is carried to completion will be paid by the Borrower. 12. Briggs and Morgan, Professional Association, acting as bond counsel, is authorized to assist in the preparation and review of necessary documents relating to the Project, to consult with Borrower and the purchaser of the Bonds as to the maturities, interest rates and other terms and provisions of the Bonds and as to the covenants and other provisions of the necessary documents and submit such documents to the City for final approval. 13. Nothing in this Resolution or the documents prepared pursuant hereto shall authorize the expenditure of any municipal funds on the Project other than the revenues derived from the Project or otherwise granted to the City for this purpose. The Bonds shall not constitute a charge, lien or encumbrance, legal or equitable, upon any property or funds of the City except the revenue and proceeds pledged to the payment thereof, nor shall the City be subject to any liability thereon. The holder of the Bonds shall never have the right to compel any exercise of the taxing power of the City to pay the outstanding principal on the Bonds or the interest thereon, or to enforce payment thereon against any property of the City, except such property as may be expressly pledged for the security of the Bonds. The Bonds shall recite in substance that the Bonds, including the interest thereon, are payable solely from the revenue and proceeds pledged to the payment thereof. The Bonds shall not constitute a debt of the City within the meaning of any constitutional or statutory limitation. 14. Subject to final approval of the Project by the City and in anticipation of the approval by all necessary entities of the housing program and the issuance of the Bonds to finance all or a portion of the Project, and in order that completion of the Project will not be unduly delayed when approved, the Borrower is hereby authorized to make such expenditures and advances toward payment of that portion of the costs of the Project to be financed from the proceeds of the Bonds, as the Borrower considers necessary, including the use of interim, short term financing, subject to reimbursement from the proceeds of the Bonds, if any, when delivered but otherwise without liability on the part of the City. 47 Adopted by the City Council of the City of Fridley, Minnesota, this 13th day of August, 2018. SCOTT J. LUND - MAYOR ATTEST: DEBRA A. SKOGEN—CITY CLERK 48 EXHIBIT A NOTICE OF PUBLIC HEARING ON A PROPOSAL FOR A HOUSING FINANCE PROGRAM AND THE ISSUANCE OF MULTIFAMILY HOUSING REVENUE BONDS TO FINANCE A MULTIFAMILY HOUSING DEVELOPMENT TO WHOM IT MAY CONCERN: Notice is hereby given that the City Council of the City of Fridley, Minnesota (the "City"), will meet in the City Council Chambers of City Hall, 6431 University Avenue NE, in the City of Fridley, at 7:00 p.m. on , _, 2018, to consider a housing finance program of the City and the proposal of Fridley Leased Housing Associates I, LLLP, a Minnesota limited liability limited partnership (the "Borrower"), with Fridley Leased Housing Associates I, LLC, a Minnesota limited liability company, as general partner, that the project described below be assisted by the issuance of housing revenue bonds under Minnesota Statutes, Chapter 462C. The "Project" consists of the acquisition and rehabilitation of an existing approximately 156,540 square-foot rentable apartment community that will consist of an approximately 196- unit multifamily housing development known as Village Green Apartments, located at 460 Mississippi Street NE, in the City. The Project will be owned and operated by the Borrower. The Project is currently anticipated to consist of the following units: Units Number of Square Footage Per Estimated Initial Units Unit Rents Per Unit 1 BR/1 BA Senior 101 616 $1,100 2 BR/1 BA Senior 2 957 $1,325 1 BR/ 1 BA Family 41 620 $950 2 BR/ 1 BA Family 19 1,170 $1,350 2 BR/ 1 BA Family 20 1,292 $1,350 3 BR/2 BA Family 12 1,525 $1,400 1 BR/ 1 BA (Non-Section 8) 1 620 $979 The maximum aggregate estimated principal amount of the Bonds or other obligations to be issued in one or more series to finance the Project pursuant to the housing finance program will be approximately $27,000,000. Subsequent to approval of a housing finance program, the City may issue revenue obligations to finance the housing finance program. The Bonds or other obligations, as and when issued, will not constitute a charge, lien, or encumbrance upon any property of the City, or its housing and redevelopment authority, except the Project and the revenues to be derived from the Project. Such Bonds or obligations will not be a charge against the City's general credit or taxing powers but are payable from sums to be paid by the Borrower pursuant to a revenue agreement. A-1 10957370v2 49 Further information concerning the housing finance program and the Project may be obtained from the City Clerk during normal business hours. At the time and place fixed for the public hearing, the City Council of the City will give all persons who appear at the hearing an opportunity to express their views with respect to the housing finance program and proposal. Written comments will be considered if submitted at the above City office on or before the date of the hearing. BY ORDER OF'THE CITY COUNCIL OF THE CITY OF FRIDLEY, MINNESOTA By Debra A. Skogen Its Clerk A-2 10957370v2 50 STATE OF MINNESOTA COUNTY OF ANOKA CITY OF FRIDLEY I, the undersigned, being the duly qualified and acting Clerk of the City of Fridley, Minnesota, DO HEREBY CERTIFY that I have compared the attached and foregoing extract of minutes with the original thereof on file in my office, and that the same is a full, true and complete transcript of the minutes of a meeting of the City Council of said City duly called and held on the date therein indicated, insofar as such minutes relate to calling for a public hearing on and giving preliminary approval to housing facility revenue bonds to finance a housing finance program. WITNESS my hand this day of , 2018. 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