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01-14-85 agendaCITY OF RICHFIELD, MINNESOTA -/� Office of City Manager Council Letter No. 20 Agenda January 14, 1985 The Honorable Mayor and Members of the City Council City of Richfield Subject: League of Minnesota Cities Local Government Aid (LGA) 1986 Formula Council Members: History The 1983 Local Government Aid (LGA) formula changes coupled with the already growing dissatisfaction over the 1979 LGA formula results caused much dissension and bitterness among city officials in the state resulting in various coalitions forming to lobby extremely diverse points of view. The suburbs have asked this question: "Are the suburbs getting their money's worth for the metro tax dollars ?" Suburban officials can support Minneapolis and St. Paul getting more aid than suburban cities on a per capita basis because the central cities have to deal with problems of poverty, unemploymnet and housing. However, when the core cities get LGA at a ratio of 5 to 1 or so, then suburban officials cry foul ball. Here are some examples: Minneapolis $159 St. Paul $126 Richfield $ 75 Minnetonka $ 39 St. Louis Park $ 57 Burnsville $ 37 Hopkins $ 69 Bloomington $ 29 Edina $ 12 Robbinsdale $ 76 Average Suburb 35 to 60 The way it was planned, the Metropolitan Losers Group (15 suburbs) would have dropped from $14.8 million in 1983 to $11.7 million in 1984 down to $9.6 million in 1985. The 1984 legislature revised that diection and the losers group will end . up with $13.5 million in LGA in 1985 as a result of a • -2- supplemental appropriation which fully funds the LGA formula. The maximum increase remains at 6 %, but a grandfather clause was initiated so that no city will receive less than the 1984 certified plus supplemental aid. Where We Are In The Process LMC 1983 -4 President Bob Anderson appointed a special LGA Policy Task Force last February (1984). This task force came up with a policy recommendation. League members had an opportunity to testify on the recommendations at the annual meeting in June at Duluth. The LMC Board of Directors approved the policy at the August 7, 1984 board meeting (Exhibit A). LMC has developed a new LGA formula (Exhibit B). This formula will be voted on at the Legislative Conference to be held on January 29. In order to fund the formula the Legislature will need to increase funding by approximately 10% or from $260 million to $290 million. Impact on Richfield Richfield's 1985 LGA allocation is $2,791,125. This is the amount budgeted. If Richfield were to receive the minimum allocation based upon $25 per capita, our 1985 LGA would be $929,000. The 1986 LGA formula for Richfield will increase our allocation to $2,909,825, or 4.3% more provided the Legislature fully funds the recommended LGA package. How Other Cities Fare The vast majority of cities receive increases of 10% or more in 1986. No city will be cut. All cities are guaranteed a 1% increase as a minimum. Minneapolis St. Paul Richfield Minnetonka St. Louis Park Burnsville Bloomington Edina Robbinsdale Hopkins Percent 1985 1986 Change LGA LGA From 1985 (000 omitted) 58,041 63,845 10.0 33,863 37,249 10.0 2,791 2,909 4.3 1,583 1,741 10.0 2,436 2,477 1.7 1,427 1,570 10.0 2,420 2,662 10.0 551 1,132 105.5 1,006 1,107 10.0 1,059 1,112 5.0 -3- • Richfield has been treated very fairly by the LGA formulas. The new formula does not hurt Richfield while it helps cities which have not received their fair share. The City Manager recommends support of the LMC LGA formula for 1986. JGC /eja 40 LI R ectful fitted, John G. Cartes ' tj City Manager l ja. 1i 1HU111 Ex4trscr- LOCAL GOVERNMENT AID POLICY Passed by LMC Board of Directors August 7, 1984 SYNOPSIS A Local Government Aid formula should be a simple expression of the Legislature's intent. Local government aid (LGA) should be distributed according to 1) the city's revenue raising capacity, as measured by its taxable assessed value; and 2) the city's need, as measured by its population and /or households and its expenditures for basic municipal services. STATEMENT AND RATIONALE Local Government Aid is an essential property tax relief program that provides cities with an important source of revenue to finance municipal services. Cities rely heavily on LGA. Eliminating LGA would create extreme property tax increases in many areas. Local government aid complements cities' other major revenue source, the property tax. As such, LGA must be distributed in a way which alleviates the problems inherent in reliance on the property tax as the major revenue source cities control. Cities vary markedly in their ability to raise money from property taxes. There are also wide variations among cities in their citizens' need for services and the costs of providing those services. A complementary revenue source for cities is necessary precisely because a city's ability to raise revenue from the property tax does not necessarily coincide with the cost of the services which that city must provide to its citizens. An LGA formula must reflect both the individual city's need and its local revenue raising capacity. A city's capacity to raise revenues from the property tax is easily measured by the city's equalized assessed value. (For metro -area cities, the assessed value after fiscal disparities distributions is the appropriate figure.) An acceptable aid formula should provide proportionally more aid to cities with less taxable assessed value, other things being equal. Need is more difficult to define and to measure. There is no single data item which measures need equitably; rather, we must rely on a combination of factors to approximate need. Need is clearly related to some extent to the city's number of inhabitants. Cities provide services to people. Because some services relate more closely to households than to individuals, the formula should reflect both the population and the number of households. Every city should receive a basic LGA distribution based on its population and /or number of households. - OVER - 1 Local Government Aid Policy Page 2 However, neither population nor the number of households completely reflects need. Cities with similar populations and numbers of households may be faced with quite different service needs. (Factors such as age, construction and density of buildings, crime rates, elderly population, school age population, climate, geographic size, population density, poverty levels, crime rates, seasonal or daily influx of people, need to construct or replace capital facilities, and a myriad of other factors may cause similar sized cities' needs to differ.) Clearly, a formula cannot attempt to incorporate measures of all of these factor; the result would necessarily be complicated and to some extent arbitrary. Rather, the formula should rely on the judgment made by the persons in the best position to evaluate a city's used: that city's council. The local city council's judgment as to the expenditures required in order to provide the type and level of service needed by its citizens should be reflected in the formula. The formula should reflect all expenditures for basic municipal services. "Basic municipal services" include public safety, streets, sanitation, libraries, redevelopment, and general government and related purposes. This definition is intended as a limit, to assure that a city will not receive additional local government aid as a result of its discretionary spending on non - essential services. So far as possible, the formula should not be affected by the city's choice: among tax levies, special assessments, or user fees to finance basic municipal services. To attempt to measure used by the tax levy, or by past LGA, or by a combination of those factors is not acceptable. The past LGA distribution is the result of several formula changes accompanied by grandfather provisions, minimum increase guarantees, etc. The resulting distribution pattern is at least somewhat arbitrary. And to focus on past aids and levies or levy limits ignores the other revenues which cities' citizens contribute so that the city can meet their service needs. A formula developed in accordance with this policy would likely result in a substantially different distribution of funds. The transition must be handled in an orderly fashion, avoiding drastic year -to -year increases or decreases in aid. Increases and decreases should be phased in, to avoid the need for sudden "shock" property tax increases on one hand, and the temptation to view increased aid as a windfall on the other. • 1111 �ilii .— league of minnesota cities December 31, 1984 TO: Mayors, Managers and City Clerks FROM: Mary Anderson, President RE: Proposed LGA Formula The Board of Directors and I are pleased to be able to share with you a new local government aid formula that we feel all cities can unite behind. This formula will be voted on at our Legislative Conference on January 29. We are all aware of the, many shortcomings of the current local government aid (LGA) formula. While many have agreed that change is necessary it has been difficult in the past to get agreement on what those changes should be. I am impressed that this formula has been reviewed through our committee process by over 40 cities and received overwhelming endorsement. The formula was developed by a LGA Technical Committee composed of representatives of many different types of cities. They worked hard for months reviewing stacks of computer printouts. The formula they have developed represents much give and take by all involved. The details of the formula are shared in other materials in this mailing. The formula is fairly easy to understand. But some important points need to be highlighted. The vast majority of cities get significant. increases. 87% of all cities receive increases of 10% or more in 1986. No city will be cut - -all cities are guaranteed a 1% increase. Only 73 of the 855 cities in Minnesota are affected by that provision. All different types of cities are represented in that group. This is a formula which can over a reasonable period of time achieve a very important goal -- having all cities receive their aid on the same basic formula without special provisions. We are impressed that this formula can work towards that goal while providing so much additional revenue to the vast majority of cities. If the formula is adopted by the League membership, the Technical Committee which initially developed this formula will continue to meet to help guide its course through the legislature. They will also be addressing longterm implementation issues such as examining plans for getting all cities on the formula within five years. Their expertise and knowledge is much appreciated. 0 (over) 6.- uri!versity avenue east, st. maul, minnesota 551 01 [61 21 227 -5600 2 It is particularly important this year that cities work together. As you are aware, there is tremendous pressure to cut income taxes and reduce the overall size of the state budget. Cities are not high on every legislator's budget list. We must work hard together to inform them of our needs and the importance of the property tax relief they provide through local government aid. The division of the legislature by party and the momentum for major changes in the overall tax system will make our task even more challenging. If cities approach the Legislature united and speak in one voice we feel our chances for success will be greatly improved. We can focus attention on the needs of cities rather than on the differences between them. Working together it will be easier to get increased appropriations that will benefit all of us. Please share this letter and the enclosed materials with your city councilmembers. On behalf of the board I would like to thank all of the dedicated individuals who helped us reach this point. I look. forward to seeing many -of you at the legislative conference. I would also like to extend a special thank you to the member of the League °s LGA Technical Committee. The members of the committee are: Bob Thistle, City Manager, Coon Rapids; Walt Fehst, City Manager, Robbinsdale; Duane Knutson, Mayor, Fertile; Jim Nitchals, City Administrator, Fergus Falls; Lyle Olson, Director of Administration, Bloomington; Henry Pappone, Councilmember, Virginia (alternate -- Mac Karpen, Executive Directors, Range Association of Municipalities and School Districts); Lyall Schwarzkopf, City Coordinator., Minneapolis (alternate -- Duke Addicks, Legislative Coordinator); Sig Stene, Mayor, Lindstrom. • • K-Ij uu 1111 ��j�j 1 II U league of minnesota cities LOCAL GOVERNMENT AID POLICY MAILING LIST OF ENCLOSED MATERIALS 1. RS -1. Local Government Aid Policy Statement 2. Explanation of Proposed LGA Distribution Formula 3. Policy Framework for Formula Development 4. Explanation of Computer Runs 5. LGA Formula Printout 6. LGA Factors Printout 80 university avenue east, st. maul. minnesota X51 01 [E 1 2) 227 -E5600 DRAFT POLICY RS -1. Local Government Aid (A) The League strongly supports the continuation of Local Government Aid wi an appropriation of $612 million in the 1986 -87 biennium. The League further supports adoption of the League - proposed LGA formula for distribution of LGA. The League's propose formula would distribute LGA based on a city's need (as measured by its expenditures for basic municipal services and its population) and its revenue - raising capacity (as measured by its equalized assessed value per capita). The formula provides a minimum aid amount of $25 per capita for each city. Each city is guaranteed a minimum annual increase of one percent; no city's aid may increase more than ten percent annually, and; each city would be required to levy at least 2 equalized mills to qualify for LGA. Local Government Aid is an essential property tax relief program that provides cities with an important source of revenue to finance municipal services. Local Government Aid complements cities' other major revenue source, the property tax. Cities vary markedly in their ability to raise revenue from property taxes. A complementary revenue source for cities is necessary precisely because a city's ability to raise revenue from the property tax does not necessarily coincide with the cost of the services which that city must provide to its citizens. The Legislature must make appropriations sufficient to adequately fund a LGA program that distributes aid in a way which alleviates the problems inherent in the property tax. The Local Government Aid issue has been the subject of a great deal of controversy in recent years. The formula proposed by the League is the product of many hours of hard work and compromise, taking well over a year. The formula itself and the policy underlying it have been widely publicized among cities with many opportunities for city officials to express their interests, and has been endorsed by a wide range of cities. We urge the Legislature to adopt the League's LGA formula, funded at $612 million for the 1986 -87 biennium, to provide the most fair and equitable LGA distribution for cities. EXPLANATION OF'PROPOSED LGA DISTRIBUTION FORMULA. AID : (.53 * BMX) * (SAAVPC /CAAVPC) Minimum aid of $25 per capita.or 1% over-previous year's.LGA, beyond that the maximum increase- is LOX_. Must levy 2 mills to qualify for state aid.. BMX s 3 YEAR AVERAGE OF BASIC MUNICIPAL EXPENDITURES SAAVPC - STATEWIDE AVERAGE ADJUSTED ASSESSED VALUE'_ PER CAPITA CAAVPC = INDIVIDUAL CITY'S. ADJUSTED ASSESSED VALUE.PER CAPITA BASIC RATIONALE The proposed formula provides that-local government. aid (LGA) should . be distributed on the basis of. need and capacity. Need is reflected . by population and- expenditures for basic municipal services. Every city should receive a basic amount of LGA per capita. Beyond that minimum amount, aid is distributed based on need. (basic municipal expenditures) adjusted for capacity for raising funds: locally (adjusted assessed value). No cities would be cut. Cities who currently receive more than -the formula would grant tben$ will get a 1X increase over the previous. year's aid until the. others catch up. No city can increase more than 10% per-year once they reach the $25 per capita: minimum. Any incentive to spend is tempered by the select definition of basic expenditures, the three year lag in the expenditure data, and by cutting the basic expenditure average in half. The assessed value adjustment provides that cities with below • average assessed value per capita will. get proportionately more LGA while cities above average in assessed value will get less. BASIC MUNICIPAL EXPENDITURE FACTOR The definition of basic municipal expenditures is included in the LGA Policy Framework adopted by the League Board of Directors in August after- a public hearing. Basic municipal expenditures. include: public safety,streets,sanitation (excluding garbage collection), libraries, redevelopment, and general government and. related purposes. Related purposes includes insurance-and judgements and unallocated pensions. These represent current expenses, not capital improvements to city property. The figures are taken from the Annual Report of the State Auditor on Revenues, Expenditures, and Debt of Cities. A three year rolling average of basic municipal expenditures is used in the formula. For the 1986 LGA distribution, expenditures from 1981 -83 will be used. This three year lag is necessary because the Auditor's Office will not have completed review of the 1984 financial reports until the fall of 1985 and 1986 LGA must be certified in August. On average, the basic municipal expenditures equal approximately two thirds of a city's total current expenditures and 48% of their total expenditures. When the basic expenditures are cut in half by multiplication by .53, it means that the proposed LGA formula only factors in about one fourth of a city's expenditures. It is felt that limiting this factor by its definition, the three year lag, and the calculation of the formula will effectively limit concern about any incentive to spend more to receive additional LGA. (over) -2- i • ADJUSTED ASSESSED VALUE FACTOR An individual city's adjusted assessed value per capita is compared to the statewide average assessed value per capita ($7,134). Cities with below average assessed value per capita get more aid, cities with above average assessed value get less. For cities near the average of $7,134 per capita, this factor doesn't have a great deal of influence. $25 PER CAPITA FLOOR This was determined to be a basic amount of LGA that each city should receive. 130 cities (15X of the total) currently receive less than this amount currently. The cost of raising them to this floor is approximately $3 million. No city is allowed. to be raised above the pure formula amount by this provision. MAXIMUM INCREASE After achieving $25 per capita in aid, no city is allowed to gain more than 10X. per year in additional aid.. MINIMUM LEVY in order to qualify for any local government aid, cities would be required to levy 2 equalized mills. ONE PERCENT MINIMUM INCREASE • Each city would receive. a minimum increase of 1% per year. This would apply to those 73 cities whose current LGA amounts are over the amount they would earn under the proposed formula. CUTBACKS If the Legislature does-riot fund our requested appropriation for LGA, the following system would be implemented. All cities would still be guaranteed $25 per capita. Beyond that all increases would be cut back proportionately. For example, if a city now receives $100 and would be raised to $120 under our requested appropriation. If the Legislature provides 10% less than the League appropriation request, this city's increase of $20 would.be cut back 10% . Their total aid would be $118. $120 - (.10 * 20). • • EXPLANATION OF COMPUTER RUNS The computer runs included in this mailing were prepared by League staff using data supplied by the Department of Revenue and the State Auditor's Office. Run l - Technical Committee LGA Formula (printed on yellow paper) This run provides estimates of what each city would receive in LGA under the new formula. Cities are listed in alphabetical order. The columns are described below: 1985 LGA - This is the amount each city will receive in 1985 under the current formula. 1986 LGA with caps - This is an estimate of what each city would receive in 1986 under the new formula. It takes into account all of the maximums and minimums of the proposed formula. Actual amounts in 1986 would be somewhat different as 1984 assessed va -lue data not currently available would be used. However this printout will give you a fairly good idea of how your city and others will fare. % Change from 85 - This shows the percent increase from 1985 to 1986. Formula Provision - This column indicates what formula provision would apply in 1986 to that city. They are abbreviated as follows: FORM - on pure formula HX10 - gets maximum increase of 10% Ml% - gets minimum increase of 1% PCAP - gets aid under $25 per capita provision MXPC - $25 per capita is over pure formula amount so gets full formula amount (same as FORM) Pure Formula No Caps - What a city would receive under the basic formula without any maximums or minimums. un 2 - Factors used Population 83 or 84 calculation of 1985 cities. in Technical Committee LGA Formula - Same population figures being used by the Dept. of Revenue for LGA. 83 estimates for non -metro cities, 84 estimates for metro 83 Adjusted Assessed Value - 83 pay 84 assessed value adjusted by sales ratio. This is calculated by the Dept. of Revenue. The sales ratio adjustment puts all cities at 100% of market value for assessment purposes so that no city gets more or less aid depending upon their assessment practices. This is the same assessed value figure used in calculating 85 LGA. 83 AAV per Cap - 83 Adjusted assessed value divided by population. Basic Expend. Average 81 -83 - Three year average of expenditures for basic municipal expenditures as defined by the LGA Policy Framework. Data is from the annual financial reports submitted to the State Auditor for the years 81,82, and 83. For the 15 -20 cities who did not report in all of those years, a one or two year average is used for illustrative purposes. 1985 LGA - What the city will receive in 1985 under the current formula. $25 per capita - Population times $25 - - - -6- • • .7 f r� n� t= M I?J r1l m -t � I ?.1 r- S 1-IJ U7 � r- Cn S M W r- S S -+ rl- M CM n M d N -» M W -. to N �. 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Under the proposal, the FAA would publish them in the Federal Register and, if necessary, temporarily suspend the is proposed restrictions in order to call a public hearing to receive comments. The FAA would then make a determination as to the lawfulness of the restrictions. What are Use Restrictions? The National Organization to Insure a Sound - Controlled Environment (NOISE) says examples of airport use restrictions are: curfews, restrictions or bans on certain aircraft, pre- ferential runways, required approach or departure routes, etc. The administrative burden is placed on airports. The proposed rule, says NOISE "would require an airport operator to request permission of FAA to do anything that might conceivabley affect aircraft operations at its installations." Recommendation The city manager recommends the city council direct the city manager to immediately advise the FAA of the city's strong objections to federal interference in the airport operations that concern noise control matters. pectfu mined i.1.. C� Tj ohn G. art right City Manager N '6 0 * lie So i.t v�J C: �r�c _!•.. .. - -� .i. ..„ i 1. Es '620 EYE= S7 R=_=_7, .1. Sr., -L'CC. .',4 AS i�,,.... December 18, 1984 MEMORANDUM TO: Board of Directors and Other Interested Parties FROM: Thomas N7 SUBJECT: ATA Request for Rule - Making I have attached a summary of a request to FAA for Rule - Making submitted by the Air Transport Association (ATA). Very briefly, the proposed rule would require an airport operator to request permission of FAA to do anything that might conceivably affect aircraft operations at its installations. The details of the proposal are in the summary and in the copy of the ATA request which I have also • enclosed. The closing date for comments is Dec. 24, 1984. Whether or not the date is extended, as N.O.I.S.E. has requested, every member city should submit a comment against adoption of the proposed rule. Neighboring airports, cities, and counties should also comment. This is an intergovernmental issue as much as any other kind. There is strong justification for all local governments to respond, regardless of whether or not they operate airports or have an aviation noise problem. Airport Operators Council International (AOCI) opposes the proposed rule and will file a strong comment. Each local airport should do the same. Comments should be sent in triplicate to: Office of the Chief Counsel Attn: Rules Docket (AGC -204) Federal Aviation Administration 800 Independence Ave. SW, Rm. 916 Washington, DC 20592 They should refer to Docket No. 24246 .10 Comments are considerably more effective if they are not obviously carbon copies. I recommend that you have your City Attorney or Planning Department propose a comment which reflects your own circumstances and policy. Board of Directors December 18, 1984 Page Two Here are some points which can be argued in a comment. Feel free to pick, choose, or better yet, add to the following: - There is no aviation crisis or problem sufficient to require such an intrusion into State and local government activities. - There is no apparent legislative authority for FAA to do this. - This is a reversal, even a perversion, of the EIR process which is used to prevent, rather than promote, environmental progress. - Local problems should be worked out locally. This process would Shift every local problem and its solution to the Federal Register. - It is a basic intrusion by the Federal government into the legitimate authority of State and local government. - The proposed rule runs directly contrary to the Administration's policy of reducing or eliminating the regulatory burden. - The proposal offers no benefit, cost or otherwise, to offset the time, effort and difficulty of having to comply with it locally and administer it in Washington. - The process and filings are enormously difficult and burdensome. - The effect of this would be to transfer airport operations from the executive power of local government to a legislative process. - Any intergovernmental process, one of whose usual outcomes is a lawsuit by the Federal government against a local government, is inherently bad. - The proposal will seriously hinder efforts to reduce aviation noise. • 12/17/84 • The Air Transport Association (ATA) has filed a Petition for Rule - Making with the Federal Aviation Administration (FAA). It was published for comment in the Federal Register on October 25tn, 1984, p. 43020. It has been given a Docket Number of 24246.* ATA proposes that FAA adopt a process that involves four major phases: - Issue a formal policy statement that lists the general requirements that an "airport use restriction" must meet. - Require an airport to submit, at least ninety days prior to its effective date, a description of any proposed use restriction. FAA would publish it for comment in the Federal Register. FAA can decide to conduct an investigation, including public hearings. It can delay the effective date of the proposed restriction up to six months for this purpose. - After the investigation, FAA issues an opinion that the proposed use restriction does or does not meet the standards in its policy statement. - If an airport operator implements a use restriction which FAA has advised does not meet the standards, FAA would be required to sue the operator in Federal Court. 0 In considering this proposal it is useful to consider: - What a "use restriction" is. - 'Anat the standards in the proposed policy statement are. - The administrative requirements for submissions. "Airport use restrictions" is defined as an action taken by an airport operator which would limit aircraft in operating to, from or at an airport. Examples quoted in the filing include: curfews, bans or restrictions on certain aircraft, use of Stage 3 aircraft only, preferential runways, required approach or departure routes, perimeter rules (such as use of Washington National by flignts within 600 miles only), use of slots, caps on number of passengers, prohibition of training flights. Both in the preamble and in the proposed regulation,tnere is ambiguity in the relationship of use restrictions and noise. In some passages they are so closely linked that the whole issue seems to be environmental, that is, use restrctions adopted for noise reduction purposes. In other parts there is no connection at all, implying control over anything an airport might do that affects operations, for any reason whatsoever. Examples could be not building new ticket •counters, not widening entrance roads, closing runways to repaint markers, holding air snows. * s the Docket Number pub ined in the edera egister 5 is incorrect. ATA 9Page Two The proposed policy statement to be issued by FAA would say that there are seven standards that a restriction would have to meet. It snould not . 1) Reduce safety. 2) Disrupt efficient use of navigable airspace. 3) Be an undue burden on interstate commerce or interfere unduly with the national air transport system. 4) Prevent "arbitrarily or unnecessarily" the use of airport facilities. 6) Be unjustly discriminating. 6) Conflict with a federal law or regulation or preempt areas Congress intended to occupy. 7) Create economic burdens greater than the environmental benefit. The administrative burden on airports. Prior to implementing any action which could be construed to be a use restriction, the airport operator would have to plan anead about a year. Submission to FAA g0 days prior to date Preparation of Submission 60 days FAA suspension, up to 180 days 0 The submission itself must contain: - A statement of the airport's legal authority for the proposed action and a verification that all legal and administrative requirements nave been met. - An explanation of the reasons for the action. - A copy of the proposed action. - The date and duration of the action. - A detailed description of the use restriction's method for restrictng airport operations. A justification snowing how the action meets the seven standards listed above. - An explanation of now the action will reduce or prevent additional incompatible land uses. - Alternate restrictions considered and a consideration of their comparative impacts. - Estimated economic benefit to surrounding communities and economic disbenefits to airport users. - Description of other use restrictions currently in effect. - Certification that State and local authorities, Federal agencies, airport users and the general public have been consulted. A description of consultations and results with copies of comments received. All to be submitted in duplicate. Any filing that does not meet all these requirements may be dismissed by FAA. 43020 Federal Register / Vol. 49, No. 206 / Thursday, October -25, 1984 / Proposed Rules DEPARTMENT OF TRANSPORTATION Federal Aviation Administration 14 CFR Ch. I [SItallnart► Notice No. PR -W121 Petition for Rulemaking; Air Transport Association (ATA) AGENCY: Federal Aviation Administration (FAA). DOT. ACTION: Notice of petition for rulemaking. SUMMARY: Pursuant to FAA's rulemaking provisions governing the application, processing, and disposition of petitions for rulemaking (14 CFR Part 11), this notice contains a verbatim copy of an ATA petition for rulemaking. The ATA proposes that the FAA adopt an administrative review mechanism and require certificated airports to submit all proposed airport use restrictions to the FAA for review before implementation Under the proposal, the FAA would publish them in the Federal Register and. if necessary, temporarily suspend the proposed restrictions in order to call a public hearing,to receive comments. from interested persona. The FAA would then make a determination as to the lawfulness of the restrictions. DATES: Comments on the petition must identify the petition docket number 24248 and be received on or before: December 24, 1984. ADDRESSES: Send comments on the petition in triplicate to: Federal Aviation Administration. Office of the Chief Counsel, Attn: Rules Docket (AGC -M , Petition Docket No. 21569, 800 Independence Avenue, SW., Washington. DC Z0591. The petition, any comments received. and a copy of any final disposition are filed in the assigned regulatory docket and are available for examination-in the Rules Docket (AG•C -204), Room 916, FAA Headquarters Building (FOB 10A), Federal Aviation Administration, 800 Independence Avenue, SW., Washington. DC 20591: telephone.(202) 426 -3644. FOR FURTHER INFORMATION CONTACT: John H. Candy, 426 -3073. SUPPLEMENTARY INFORMATIM Additional Information The petitioner has provided the following information to support its Proposal. The ATA is concerned- that the efficiency of the National Air' Transportation System and the procompetitive goals of the Airline Deregulation Act of 1978 are threatened by the proliferation of airport use . restrictions. It urges the FAA to: (1) issue promptly a policy statement to Announce that the FAA will bring legal. action to invalidate any such restriction; and (2) require all such restrictions to be filed with FAA for administrative. review before implementation: The ATA notes that airports have. proposed or implemented a variety of: restrictions (curfews, bans on jet aircraft, eta). It finds that legal' challenges have resulted in many court decisions. providing,.it believes: little in the way of uniform standards. The ATA contends that pragmatic accommodations by the FAA have resulted in limited service and increasing costs. The ATA believes that Aviation Safety and Noise Abater4ent Act of 1979 has been totally inadequate' in combatting what it considers to be the serious disruptions to the National Air Transportation System, because-it finds that only a handful of airports have shown an interest in submitting ' programs for FAA approval. It also asserts that airports have ignored assurances under the airport aid' program intended to preclude unjust discrimination The ATA proposes that the FAA issue a policy statement to alert all federally certificated airports that the FAA intends to take aggressive action to invalidate any restriction which would: (1) be inconsistent with specific constitutional and statutory requirements specified In the statement (eg. an undue burden on interstate or foreign commerce; unjust discrimination, or an intrusion on any area preempted by Congress) or (2)-create economic burdens greater than the environmental benefits. In the statement. the ATA proposes, the FAA should commit itself to initiate litigation promptly, review thoroughly any offending airport's grant assurances, and evaluate, where warrated, the effect of the airport's action on its federal certification The ATA believes that the statement would deter new restrictions that have historically resulted from a: misunderstanding of the limitations of federal law on local action. Coupled with the policy statement, the ATA proposes that the FAA adopt an administrative review mecbamsm and require certificated airports to subnSit proposed airport use restrictions to the - FAA. A determination by the FAA as to the lawfulness of the restrictions would follow publication of the restrictions and-. the receipt of public comment: The ATA. believes that this would result in bm*. - of clear and uniform decisions from a single federal forum. Under its priopotral; . If the restrictions did not appear ft*e, FAA to be lawful, the FAA would be committed by its policy statement io take the legal action. Petitions for Rueemaking are required to be published in the Federal Register by 14 CFR 11.27. At the request of ATA the-document being published is the verbatim copy of the text of the petition submitted by petitioner, except for Appendix A, a copy of which is contained is the public docket. This notice is. published pursuant to paragraphs (b) and (f) of 1. 11.27 of.Part 11 of the Federal Aviation Regulations (14 CFR Part 11). . Issued in Washington. D.C. on October 22, 1984.. Joim H. Cassady.. Assistant Chief Counsel. Regulations and Snfomement Division, Fedeml Aviation AdmWoft mL - Before the Federal Aviation ' Administration. Washington, D.C. In re: Restrictions on Use of Federally: Certificated Airports.Docket'.No. 24248. September 14, 1984. Communications with respect to this document should be addressed to David A. Murchison. Assistant General Counsel—Government Affairs Barney C. Parrella, Manager=Airport Policy and Administration. Air Transport Association of America. 1709 New York Avenue, Nw., Washington. D.C. 2000s. Petition for the Issuance of a Policy Statement and for the Initiation of a Rueemaking Proceeding I Introduction The efficient functioning of the national air transportation system and the achievement of the pro - competitive goals of the Airline Deregulation Act of 1.978 are being threatened by the. proliferation -of proposed and iaiplemented.use restrictions at federally certificated airports. These unilaterally developed, uncoordinated constraints take many forms —from arbitrary limitations on the number of commercial operations, to discriminatory treatment based on markets served. to unwarranted noise and environmental constraints --but • they have become the predicted "dagger pointed of the heart of commerce." i The traditional, ad hoc, reactive approach of the Federal Aviation Administration to the examination of such restrictions is clearly inadequate in the face of the burgeoning problem. .,Accordingly, the Air Transport Association of America (ATA). on - behalf of its member airlines, petitions FAA to take two essential actions. First, FAA should issue, within 30 days, a. 1,8WA Aimays Bd v. Pbrt Authority of New -•Ycel; 388 F. 2d 76. U (2d Cir.19M. • • • ;7 Federal Register / Vol. 49, No. Ma- / Th•=K*, October A 1984 /'Proposed. Rules 4302'!. formal statement of policy announcing. Its intention to bring legal action to invalidate any current or future use _ restriction which would: (a) Be inconsistent with maintaining the highest degree of safety in air commerce and air transportation ar (b) Be inconsistent with. maintaining the efficient utilization of the navigable airspace: or (c) Create an undue burden on interstate or foreign commerce, or interfere unduly with the national air transportation syystteemm,, or (d) Prevent arbitrarily or unreasonably the use of available airport facilities; or (e) Be unjustly discriminatory; or (f) Conflict with a federal statute or regulation or intrude into a field Congress has intended to yy,� or (8) Create economic burden* for airport us.:s which are disproportionately high when Compared with the anticipated environmental improvement. Second. FAA should also issue, within 80 days. a notice of proposed rulemaking which would announce the agency's .intention to establish an administrative mechanism for reviewing current or future use restrictions and determining whether such restrictions are Consistent with the standards of the aforementioned policy statement. 0. Background and Scope of the Problem In 1979, the airline industry was faced with a rapidly, growing number of noise - related airport use restrictions. Airport proprietors had proposed or implemented a wide variety of constraints. including curfews, bans on the use of jet powered aircraft, limits on- the numbers of operations permitted. unwarranted runway use restrictions, and arbitrary takeoff and landing procedures.' Legal challenges to the restrictions had resulted in a potpourri of decisions' across the land issued by courts which had widely varying. degrees of understanding of the national air transportation system and the basic functioning of the Commercial aviation business. Needless to say, the decisions reflected those differences in • understandingi dnd did little to bring . about uniform standards • for edaluating the propriety of airport noise restrictions. At the same time some restrictions' were not chaDeaged iii the courtsk but became the objects of informal 'See pedtlowforittdemaking of the A!k rnftport Asaodsti m, dated Jay 16. 2879, mpr*WW a14e FR smMeptembe & 19"1 31d. discussioaa.between the abporWs FAA. and /or the,airgort.."w . Pragmtic accommoda0ans.w" readied; -but at- the cost of limiting service,to the traveling and: gipping puhiic, increasing costs for- the.airitine industry. - To seek uniformity for the aatic;W air transportation system and to and the uncoordinated and sometimes conflicting court decisions and private arrangements. ATA •filed a Petition for Rulemaldng which asked FAA to establish "a regulatory procedure under. which any airport proprietor to implement a noise abatement p�t would restrict aircraft operations in interstate or foreign air transportation. . would not be able to implement that plan without submitting it to the FAA at least so days in advance of proposed effectiveness. " Following a hearing in . which any interested party. could participate. FAA. under the ATA proposal. would have approved or disapproved the plan based on a prescribed set of standards. The goal of this process was to establish a si>ogle.federal forum for evaluating noise - related restrictions. The foram would have had the advantages of a consistently high level of subject matter expertise and a set of publicly known and uniform deddoa making standards. It would have brought the degree of uniformity necessary for tits efficient functiard:ag of the national ai . transportation, system. ATA waraed -that ii ib proposal -were - rejected, the damages dinated use restrictions would proliferate. While the ATA.paddon was.peadiing.. Congress enacted the Aviation Safety and Noise Abatement Act of•1M Pub. 4 96-M That statate•ragain d the Secretary of Transportation to iss m a tion•es"bushin g a sFsism. for meawtinazoise at airports• and the areas smyotmding airports and for ,- determining.ths. eocponm of individuals . to noise rasniting tram airport . . operations. The$ecsatary was also . regatred m idagtlfy hone dble.land uses. The statute also permitted airport operators to submit iolvata:ily to the. _ Secretary noise expostn�e maps and noise compatibility programs foe his approval. FA&iesponded.to -that .. statutory directive. the X?A Apropos: and-a separatep'roposal Nedby the Environmental Protection Agency.-by- issuing interim Part 150. That regulation set up _a voluntary program for airport operators to submit for agency approval doise exposure maps and noise compatibility piers: Regrettably. it hat been a totally '9es letter aFPw! R.Jgaetissto iwegbsma�L.. Bwd dated Janwry 16.ION in 3 inadegaate.meehauiem for�t:om�tting- ` the serious disruptions to the• national air transportation. system reused by local noise abatement programs: - indeed. while FAA specifically urged W major airports to submit maps and programs . during the &-st year of regulation. none did. Three years later, a more handful has shown any interest whatsoever. As a result, damaging noise- related and —other airport use•restrictiond Have multiplied. An ill_ ustrative list of'such restrictions was assembled by participants in the Airport Access Task Force a which presented its report to Congress in March of 1983. Two compilations from that report are attached as Exhibit A. A few typical examples follow: . Curfews have been implemented. for example.'at Galearwater Airport. Fl:; Moose Creek, I& Ruidom N.M.. Republic Airport; N.Y., Westchester County, N.Y.; antra number of California airports, including Burbank, Long Beach. Orange County. and San Jose. Litigation was necessary to invalidate those at Republic and Westchester. Bans to the use of certain aircraft have been Imposed, for example. at Santa Monica and Torrance. California. again necessitating litigation. A combination of partial curfews and bane has been tried at Boston's Logan - Airport where FAR 36 Step 2 Aircraft were forbidden to takeoff between 9:S0 p m. and 7m0 sin.. and forbidden -to land between 10:80 p.= and-7:W a.m. Los- Angeles International (LAX) has required that landings between midnight and 8:30 a.m. be made on Runways 7L or eR only. Burbank. California has attempted to require new entrants to use only FAR 38 stage 3 aircraft, and incumbents to operate a specific . Percentage of their total operations at the airport with FAR 3ti stage 3 aircraft: Noise abatement tracks have been prescribed at such airports as Newark and LAX. Preferential runways ere assigned4 fdr example. at Chicago's O'Hare. LAX, and Dallas -Fort WoJI& indeed. nearly all of the so largest passenger vohime airports.bave restrictions requiring air carrier aircraft . -to use no is prehreipiel runways and / or noise abatement backs-for arrivals, departures, or both.- . . at-tse Task,Porae was Pub. L so-sle wharsin cowais &New dwseeeta6 of Ttanopo"Atioa td appoint an M- portAames T**. pores to study thi.probiem of aliocstfiig tit».s�ef etaroe•�irpott ficilttles sari atesesa%. #See Report and Raaommendatbw of the airport Aawn-Task Force ar 23 (Mena -2o. l8m3 43022 Federal Regla;W / Yom; 4% Nor hW / Thursdays OatObW 2 4w" R 0W At t1w swill floow new kw& d resoricaos s. not directly related to mme, have come to the free. Welk ester Cesmty Airport. for ww spy br announced its inssmlion to iestfiet Ile growth of aoasomW aviation at ib facility so so to awtn"is t the " bletorisel. MW of psaw "istion and 1, , aviation activity. Lams Island b6scAsthar Airport hat propned to duress iu facillties oo the brain ON Back considerations as'tlrpe of aircraft • • •. destination aides for non -slop or oser stop �ts . r r� time of arrival and d @arttn'f� r r r» t i� Wayem �• California. Wiposad a slot syotent aad a Fodmater rote which rawa ted in litigation. LAX and Onoario► CaliEeraia► have imposed caps a" the number, of parssngers par ya�ar. At least Was" airports haw Visa on on traieiry ides. The riot alsdora, 1!!. tta;pa�ot ojAlrpart lJre,lteaenictiosr What has been the ofiot of dwso aA other resteicdowt b its repast * Co S, tie Airport Amass Trek Fatree made the - In 8 - tiog lmdh * Uae rssniali R M slaw oil* atspest adbd the gstets Is ten errtr I its Bak UM tea national spsha sad sosse to "pow sd dewallse airpsrle is eslI , , , The as"O gds of rs kopsar • tee spssra tsreesasa wir the sop of rasltsalsss at a sown ai pol.. tho aadebift etaboamew aiI - im tee erns. the wit 1 dM etrpsrtsa rim eelfsord epwsn. and Na ee obw of sepes! ices WV, latPCW A* aorir *PWvoewl 4hP*rr' v1ennwuiemsyfar+rrriearairI , doiw a+rral l O" by r"Ok'4t fiW pesesdNIM b* asaatrwin* stn oiyoarWO/ atarketAr, by A*Wg tae me of asesre"&eJWiedtd and by Awmw ng * rousero /a*ses all e•AM&1arnMVCWand A i I s gtttivltlar�• Net or>riy. dhows. ds 600 use e"atrbriar impede its ewe functioning of the nationsi air traasporruaion sySAMM but tiny also prev,6 sab"Meam of the, PW compedtivepels ofthe Ahftww Deregutadss Act of lave` In. that stales% Congress set tie national policy far air transportrAke emus erepfeasiaed the need for "maxftsose.reiiamae ad couqPWOM nsladtat tam" and OR add am * r. r to Ple"ide the needed air A'esMpeetslise s�elem." • 'tAfter From Alfred L Warner: Commisdoner and Airport Manager. Town of blip Do a[ IMi.O+ams'e..+.aiow..g . n...itearaa:, Senior. NlreAnsiasa J<namr Aiinu irri bras T.>rel aai a8astaannsaaawrsirlsw 41O.as�wr Access Task Psasst!}WA M IMP rely U4GSi81619e40W It raped fir ow "ene snraseeeent, develppssrst, sad neintevneoe of an ab transportaden ayaless netpir4 on aotnel and poteaW tatarepe -1-1 toyroaldp efficient, immmewliew aai low peisso. and le delsessio the wrialy and piesofair haospoitsden serviOel.°•A afr am R ' dm' ieieetante et encouraging `w" into sir transportaiden I bg awr aw carrion 1=4 do smaemrsr�eaaomR e>i entry into addlliomml air bm■sMeet+ldas markets by sm1 -1 air ceeisre ~ ~y: To es a: that tbsae goal amald atd be thwu laid by kwelly developed and impoaad amstral ate; Comg< u ape r, Is , 14 prtoiibised ama mod do* eenta dng standw& arseher pso11,.r * * relating Is rMOM aautsm. sad aesYiam 04. any air caerios"- And aids rnaMmat r airports in pardcslar Coapees w the. - 1Airport 82 (AIM uneqsivoceft @nWW Am* all airport d & ww pegars aboM be adminiasared its nssaimrasaalsMat wtiltt he. ppeeoovisior d ea W age >� and 90l st dlt lredersf AvfiMusAre dzatlf ore!rete.rsg�lral for dwtPWW wPedt�r! W • * • �. Cleanly. tirpeaiUremdssotai > eslUse, restriction! is fYwse- raregMdL , When.& lseeli0eaesotai*W annowases.its in+sai.a taltapW" 8eawli iresesrrsrttsi asislislr a . by eel ieasp.iimiwmeasho iadho; `•hirl trr.imt' ef�e.mtaaNitotmmd COn�dai ieiadan aadai�r it fo COWMM UW slow eipsritmstlstW& of nesI - w 1st mwg" dlas had airpox%nat 1 o -0 esmdssthoomis- deter likV akrat air neaaa1. enf — - . services trritti bo pesoidei fo iloaedtst Thi*imW a" I t ishkedwiesoeiFi ■ er . Ceariass wra'ZletltasistsrteniM tweal■s itat.udaen asalmeense` nsrptllai under A]P, riot iR'lsii be asuiisiie "tNr publlaaee an ttifm and sm�ssasW 1■aiear and widwut ai f nrre iQirrlrea" r The pi d*o ofe6ertrseldedloak proposed or %iesealn k alit► arbit:md* or saroaasoaieip Moat drn use of I itlt esstiiserati aft aft- I11 a� actual of iidenmka@srrlss: or impossaeaamslisrdmmai lm- aeriesirie bonbon on bdom sees t forei�asrssmet+aa 1040 sas.2asom 1440n-JMC-SM 331MV49M �aeiricliltrs�s► �la :U'$,lfrt;1j7lstairasrt�ab.:. prohibited lbom providing - ndneives�Lt far tTit - we of any landing area or air nab - upow wtdelr• srisrel lard► Irw u.asawpwildc`w U.S:C: Sec.13ts(a). Som.,observere ttaa*aay that litigations atese w enflideMt b Wrvilklete the gro"hW patchwork of resMAdor s, of that private accommodation worked out amosig liar airports, FAA, and dw users can nib rWe tow problem. The fact iatw.heee.aes. drat those "ssimtlees" have t+rsdesd in (" al prof QOlr a31� %t floDfed�► complex court decisions, which itrsNYle little, if any. gsddse<ee said fta aorist of local aoesssmodatllmataiieiorffoaraase unifOr o etsadads for a national sir transportation system. A Proposed Ssbdma FAA must take two emtioam prmrapl First, it coat alter an h&ffa r certilfcaeed sirp+neta that It' tom as to take aggraeeaiws esttio� Es imshdstr say current s pespsaad awl" which would: (al fla ie>QOnsimEss whit allot waq the hwwd Isom of aft to a&. commetvs, and air transpottatim or the eflktent atiilsedois of tit atart0ibis airitpt�aet ar Cal .Cewran sm&*brrdw an intereWe ar�eafjtosIas+at► ear interfrse ti■i'sitlr alt t 010114 w tit . tran"waftesp ow am (di ores" ► as . tinr@asonsiiig!tie. asst of aeritsble airport faciiiam Or (e) Be uatlsmsbr' � ee (f1 Conflict with a federal atISOMW rosrildeat or htAtttsihaft ar.0sid Caadtrieehamoi ausosnppter "c irmlt oereaaisris boditlo iirr airport usen oriel an r=MW dna So benefits of tie andehisled enviwnanmW iepwsuaaiL FAA wtomid apedlintl~j c�rimsdt ltaetf ab daft 21 serdaw pomQety. to review thorou*V finaffiwd g awe A1P assuransim end trteersiaass. wherta wanaw". this that of so airpott'a actitat en ilsl�ssdsed arr"eawin lhf essesrssr, t�ia aestsntaat of poitq wouldcbft and ■npiamers t!e braad*afdwasrne�'e cn. ad wail ame a rescind a■d agtsedtns amwr tam N 11 tira�eor7's of its seefona st;apreasibiiitlssas� fedesekafthdw► A umMlesew to dater the peapasit and esneat" gnaw restrictfona wM& it dwW W wad the historical pattern, were develtrped witbarrt a proper - -of limiiafis■ 'band bsr pisses up0n local action. The peftatatemaat would. of course, ackhowtedge that airport pr opriatm do have legitimaravaiwers.. 9WIN AS. tie. riIM to acg1u1 as aviation easements and to establish owapatible land use programs. • • • Fiederal' Register / VoL 49. No.. 208. / Thursday, October 24 1984 / Proposed Rules: .43023 But the issuance of a policy statement is not enough. What is needed is a single. public, decisionmaking foram run by the federal agency with the continuing responsibility and-highest degree of subject matter familiarity. That fto+tm would examine all airport use restrictions and would determine whether each was free of the same unlawful attributes set forth In the policy statement That single foram would be expected to bring to the airport noise and access area coherent and uniform standards which would enhance the efficient operation of the national air transportation system and provide clear guidance on permissible and impermissible policies. The forum would differ somewhat from that proposed by ATA in 1979. FAA would not approve or disapprove the use restriction. It would determine whether the restriction conformed to a set of standards and would issue a . decision setting forth in detail its findings of act and conclusions of law. If the restriction did not conform. FAA would initiate action in accordance with the aforementioned policy statement. . A proposed'administrative: mechanism is attached as Exhibit B. It would require federally certificated airport operators to submit all proposed use restrictions of FAA 90 days before their effective date.0 The proposed restrictions would be accompanied by a compnhemsive justification for, and explanation o& the use restriction. A copy of the restriction would be published in the Federal Register within 20 days of receipt. and FAA would examine the restrictions in light of the same standards set forth in the aforementioned policy statement Those standards would also be embodied in the regulation. The Administrator of FAA would be empowered to suspend the effectiveness of the restriction for 90 days beyond its original effective date. and. under certain circumstances, for 130 days beyond its original effective . date. If the Administrator were to determine that a proposed or effective- use restriction should be suspended, he would institute a hearing for the purpose of considering evidence which any . interested person could present Not later than 60 days from the conclusion of the hearing.4 the Administrator or his r RxMus use remictione would also be > to review. 0 In caa.whoaea Dienes was not 00aVO4 On Admiais"tor or bas appointee would be nqulted is iow a decision not aster than eo days from she conclusion of hie cu minatfan of a resfttian. appointee would issue a decision stating whether'the airport use restrlction.met. the regulation's standards. The administrative mechanism, then. would not prevent an airport operator from devising any use restriction he deemed appropriate. FAA would not formally approve or disapprove any restriction. It would, however. clearly - explain its expert view on whether the restrictionwas consistent with federal and constitutional law. And. if the restriction did not appear to be so. the actions. FAA committed to take in its policy statement would be initiated. A growing-body of written decisions would emerge from a single federal forum. to bring guidance, clarity, and order to the use restriction area. V. Legal Authority Under the Federal Aviation Act of 19% as amended. "the Administrator is "empoweradand directed to encourage and foster the development of civil aeronautics and air commerce in the United States and abroad. ""In exercising his powers, he "shall give full consideration to.the requirements of. . • • • commercial and general aviation.. and to the public right of freedom of transit through the navigable airspace. " " In controlling the use of the, navigable airspace, be is to regulate civil and military operations 'In such airspace, in the. interest-of Wei-safety and effideacy of both." a' He is also empowered to "formulate policy with respect to the orderly development • . • of landing areas. Federal airways . • • and all other aids and facilities for air navigation. as will best most the needs oL and serve the interest of civil aeronautics* . • "n In addition to these broad powers which would. iii themselves. authorize the issuance of the aforemeatiotrned policy statement and adminktritive review mechanism. additional powers are found In the AIR There. Congress insisted that federal action be taken to ensure that the "Nation's airport -and airway system • • • meet the corent and projected growth of aviation and the requirements of interstate commem tho-Postal-Serviq% and the national defeme. ""Federal airport -Uodw section s(a) d the Depaetatrtet of Tranporistion Aar. 09 U.8.6 3sUK now of the f 1 cas otthe Sea e" of Tn sspoetatim an trandseted to the Admialsteator:of FAA. sup UAQ f 134e. W40 U3.G f 2507 (412phasis addedj. a► W U= t l004: ilthdiar satiiarih ii ptor)dsd in 09 U.= f 1M,; . ° 09 uAr- f 1353. •09 U.&G t ?aDi(a1(2j. .. programs are to be administered so to provide "adequate ' ' ' airport facilities, including reliever airports . •, for points where scheduled commercial service is provided." " Moreover, as noted above. "all airport and airway programs should be administered in a manner consia.zut with the provisions of section 102 and 103 of the Federal Aviation Act of 1958, with_ due regard for the goals expressed therein of fostering competition • ' ' ""FAA is also empowered to 'demand assurances from airport operators that the airport "will.be available for public use on fair and reasonable terms without unjust discriminatiow ""that "there will be no exclusive right for the use of the airport by any person providing .. • aeronautical services to the public • • •,"and that "the airport • , • will be suitably operated and maintained .. •:" n And of course. FAA is empowered to issue, deny, and revoke airport operating certificates."' When this foregoing powers are joined With FAA's pervasive noise control reaponsibilities." it it beyond doubt that the policy statement can be issued and the administrative mechanism adopted. o VI f iabilfty In the past. the federal government has been reluctant to- take a more . aggressive regulatory role in combating locally imposed airport noise restrictions. A principal reason has been the federal government's view that if it were to approve or disapprove airport noise restrictions, it would become liable for damages arising from noise related litigation. - ATA's proposed administrative mechanism is designed to remove that concern. After participating in the FAA proceeding, the airport proprietor is free to implement or not implement the restriction no matter what decision the FAA has reached. The proprietor will simply be informed as the entire public will be informed of the agency's expert view of the lawfulness of the restriction. Indeed In that way the proposed formal mechanism-has similarities to the Informal "advice" process FAA now •p U.8.C. f 22M(a)(3).. "49 U.$G f 2ag1(e)t4 009U841 f 2210( +1(31• so U s c. f 221o(aj(2j. e.w U.&C f 220(9X3X "09 U.S.C. 6'1492 See 3e, U.s.G 14310 Pub. L 90-Ift City of Burbank v. lovAhed Air Termind. Jae., 4n U.S. 69f (IMh ilrtdah Abwan Ad v. Fbrt Authority of an Ak rant 31W FJA75 (2d M.1977) •See Repot and Rscom nsudstions of the Afivare.Aoom Task Fom supra, at 36-C. 43024 Federal Resider / Vol. 4% Na 20a / Thursday, October a. 1984 / Plopmwd Rates utilizes. The vast improvements over that "advice" process that would core from implementing the ATA mechuaem are not of the nature which could tag the. federal govermood with liability. As the Supreme Court emphasized in its decision that dw airport proprietor nsost assume liability: [The airport] decided • • • where the airport would be Wit, what runways it would need, their; direction and isnpk and what land and aa*stioa easemeoft would be needed .. •." Simply requiring aproprietor to submit its proposed restriction to the federal government for analysis. permuting the taxpayers to express their views on the restriction, and declaring promptly whether the restriction conforms to federal policy are hardly actions wbidr would thrust FAA into responsibility for noise damages. VII. Conclusion The efficient functioning of the national air transportation system, and the achievement of the pror- my etiVi w goals of the Abline DeregWatiep Act of 1978 are being threatened by the proliferation of proposed and implemented use resirictl cos at federally certificated airports. FAA must act promptly and decisively to combat the burgeoning probleso. It should issue a policy statement wi+tiia 30 days which would state clew* *at legal action will be brought to iava$dste any use restriction which wool violate a detailed set of policy standards. R should then issue a Notice of Pro,osed Rulemaking announcing its iatendua to require all proposed airport use restrictions to be filed with FAA for a full administrative review prior to implementation. RespecdhRy sabmtnad, Ain Transport Asododoa of America. By David R. h6mchisbft Assistant CenralComwel Covernment Affair By Barney G Poe.eita, Manager- Abport lb&y mrdAdWWshvft a. EXHIBIT B —DRAFT Part 160- Airpod Use Restaicoiow § 160.1 Applicability and definitions. (a) The provisions of this part apply to each airport holding as operating certificate issued under Pant rA of this Title. (b) This part prescribes roiessoul procedures under which airport use restrictions wi8 be sabsiti ld yet and considered by dw Aiiistrator_ 61GhW •. County of A tee see U.& 84 of (19sz). (e) As wed in this part (1) "Airport° mesas an area of land or water that is used crialooded tabs used for the lance ad• tak oil at aircraft', and inciodes its banding: and facilitim if my. (2) "Akport Uoe Restriction" aasaos any ac6m taiea by as airport proprieeorby moans of a rut% regulation of other enactio"I which linens the availelA&Y of the akpat fari or which imposes any restriction out aircraft operations (to, from or at nay airport) that are in air ttansportagan. or air commerce, as defined i&TWe I of the Federal Aviation Act d 2960, as amended or which s8ects the management or safe and af4dent use of navigable airspace, or which is inconsistent with dederal law. Mechanisms for the all ocaties of access to an airport are included within this definition, (3) "Airport PmpdoW mons Board Department. C mmissiow Peet Authority ar, other pesos O do tg a State if the aiutpoet is'a politi cal sv"wision d a Stale) did Owns, Operates or 0 is 0 tat eueenises direct suI I ion mur. and respoawZ 03 hues; IlWaninegement of our airport. (4) "Person" masse any itl'ivii" fim cogertome ip, oaepQa6i, company. assooMtion W lea%pow (5) - Effective Use Res&k ImC ours any a*pM use' reo laties in offea i the effective date of this petit orwiirie becouaes effective pursueetit fs } ]fit:.. §160.3 Cano djupd omant& After blue eQecd date of this perk. no airport propristor may adapt and enforce an a' I , one resI i —' e, or revise any effadve ove reeteetio4 without filing a copy of the peaposnd we restricting, or revisiosu, wit; tins At' - I I I st ionot (911) days before the eSerdive dote of tie pvpanad use restrietiosar rewisioeu. §161ig CMftuisofuseM*&kAiMRfW with AdwhdctraW. (a) Bach aiepoet use restrietin 0 ar revision d ae effnelfve uae:essW a "msf, filed under dab pat Am& coaWks tin following: (1) A statement of tie i Vd aaiherity, pursuant is which tie I , ININ restriction orrevisiou of an effective use restrictim is to be praaadgrtsd and a : veriicatiu#n Viet &R -yi esri -- `-s ned admin straw r+e1 0 1* wet promulgation have been met (2) The re"m at i a @s tar wM the, aiepori peapeinior linos Vie proposed use restriction or rgvbim is required; (3) A copy of the use i on; (4) Ilia. effective date and anticipated duration of Ow proposed use restriction or revisio■¢ (5) A complete demiption of the ass restrictieWs ps ape , mod for ' restricting abc=fk operadosis at the subject ,aie}orisadeshAki biogthattlns_ use restriction via (i) Be asanieteuet v" sesiatainisg the highest degree of Minty hLair oosasaca and air traepertMiion, is the pukat interest: (ii) Be consistent with makdaioiag the efficient utilization of the navigable airspace; (iii} Not create as vadue burden on inteistme or foreign commerce. at interfere unduly with the national air transport system; (iv) Not arbitrarily or unmasona* prevent the use of .available airport facilities; (vi Not be unjustly dlecrhnineteay; or (vril Not conflict with a Federal statute or regulation or intrude into a field which Congress intended to occupy; "'j Not aeatc economic bum for airport users wLick are greater than the bene$ts of the mated environmental approval. (6) An explain dion of how the proposed•usn seekiicdon(s) will reduce or prevail additised incompatible land uses: (7) A use restrictlo■seouddowd and din compsaelsa b"Reeks; (8) Bitinaisdoanomic duumeAt to surrouuadieg commm sit m cad other parties and soansini - ddsbusaft In airport rams aced otlr 1 1 as. that will result hum k of Vie use restriction (9) A descripliieiu d other use restricssas ioitiMltvq i effect at the airport. (10) A castilicaden tent consodtstions cone raing to proposed restricbm have been, uaduldieu wide State and local authariiies. akpoat users: Federal . agencies and An gen,emil public, and a desmipsm of those consultations and their results, Includng a copy of comments submitted by these parties to the airport peopeieb= (b).ARy use reseeli - or reviiiod filed wiicit ins named tie puecedsref ens stIN' *strative requirems" of t!s sselilril au ff be dismip@4 irietross-ismkW Iw tin Admioistnatun (c) Bich ens resaietiaa, revision se any other document filed under *Is secdon shall be submitted in duplicate to the Federal Aviation Administration washingtft D.G iltet t. (d) Val beauty M drys oEnoeiA the Adoiaboratour sisal] Sk" rtake.ta • • is • Federal Register / Vol. 49, No. 208 / Thursday, October 25, 1984 / Proposed Rules 43025 the public regarding the filing of a proposed airport use restriction, or revision of an effective use restriction, by publishing a copy of the proposed use restriction or revision in the Federal Register. 11M.7 Suspension of proposed use restrictions. (a) Whenever any airport proprietor files a proposed airport use restriction, or revision of an effective use restriction, with the Administrator, the use restriction or revision will become effective on the date set forth therein unless the Administrator, at any time prior to the effective date of the use restriction or revision, upon complaint or his own initiative, suspends the operation of the use restriction or revision and institutes a proceeding for the purpose of determining whether the use restriction or revision conforms to the standards prescribed herein. (b) Pending the hearing and decision thereon, the Administrator may, upon giving the Notice required by 4160.17, suspend the operation of the proposed use restriction or revision for a period of ninety (90) days beyond its effective date. if the proceeding has not been concluded and a final decision made within such a period, the Administrator may from time to time extend the period of suspension, but not for a period longer than one hundred eighty (180) days beyond the time such proposed use restriction or revision would otherwise become effective. (c) If the proceeding has not been concluded and a final decision made within the period of the suspension, the proposed use restriction or revision shall- go into effect at the end of such period. § 180.9 Investigations of effective use restrictions. With respect to each airport use restriction in effect at the time this Part becomes effective, or which becomes effective thereafter, the Administrator may, at any time, upon his own initiative or upon complaint in writing by any - person. by notice in the Federal Register, institute a proceeding to determine . whether such use restrictiog conforms to the standards prescribed in this regulation. - §1W.11 Standards applicable to Airport use restrictions. In exercising and performing his powers and duties with respect to reviewing and investigating proposed or effective airport use restrictions, the Administrator shall determine whether each use restriction, either individually, or cumulatively in combination with other proposed or effective use restrictions at the same or other airports; conforms to the following standards: The use restriction must not: (a) Be inconsistent with maintaining the highest degree of safety in air commerce and air transportation in the public interest; or (b) Be inconsistent with•maintaining the efficient utilization of the navigable airspace; or (c) Create an undue burden on interstate or foreign commerce; or interfere unduly with the national air transport system; or (d) Prevent arbitrarily or unreasonably the use of available airport facilities; or (e) Be unjustly discriminatory; or (f) Conflict with a Federal statute or regulation or intrude into a field which Congress intended to occupy; or (g) Create economic burdens for airport users which are greater than the benefits of the anticipated environmental improvement 0180.13 Filing and service of complaints (a) Any person may file a complaint and request for hearing with the Administrator against any proposed or effective airport use restriction or restrictions. The complaint shall set forth fully the basis upon which the complainant believes the airport use restriction does not conform to-the standards prescribed herein. (b) A copy of the complaint filed with the Administrator shall be simultaneously served by the complainant upon: (1) Each -air carrier authorized by the Civil Aeronautics Board or its successor, or holding other appropriate authority to render regular or charter service to the airport(s) identified in the complaint. (2) The airport proprietor of each airport against whose use restriction the complaint is filed. (c) The Administrator may, in his discretion, order additional service to be made on such person or persons as the facts of the situation warrant. , (d) Service shall be made by mailing a copy of the complaint. postage prepaid, to all persons required to be served under this section. (e) A complaint requesting an investigation of an effective use restriction may be filed at anytime. § 180.15 Answer. (a) Any interested person may file an answer in support of or in opposition to the complaint within ten (10) days after the complaint is served. . (b) Any interested person includes those described in 1160.13(b) and any other served with a copy of the complaint. (c) Answers will be served upon the complainant and those served with a copy of the complaint. §1M.17 Notice and hearing. (a) If the Administrator, upon complaint or his own initiative, determines that a proposed use restriction, or-revision of an effective use restriction, should be suspended and Investigated. or an effective use restriction investigated, he shall deliver a written statement to the airport proprietor or proprietors affected thereby, and shall publish a notice in the Federal Register instituting a proceeding to determine whether the use restriction or revision conforms to the standards prescribed herein, and providing the opportunity for comment by interested persons. (b) If the Administrator determines that a hearing is necessary or appropriate to fully investigate an airport use restriction, he shall appoint a 'qualified hearing officer. (c) -Any person, including any State or subdivision thereof, State aviation commission or other public body, may appear at any hearing and present any. evidence which is relevant to the issues designated by the hearing officer. (d) A written transcript of all oral statements made at the hearing will be prepared by a certified reporter. Copies of the transcript, statements of position and all other documentary material presented at the hearing will be made available to interested persons and the .public, upon payment of applicable reproduction costs to the reporting firm. § 180.19 Administrator's decision, service thereof. (a) Not later than sixty (60) days following the institution of a non - hearing investigation, or sixty (60) days :following the conclusion fo the hearing in a hearing investigation, the Administrator or his hearing officer, as applicable, shall issue a formal written decision stating whether the airport use restriction under review conforms to the standards prescribed in 4 160.11 of these regulations. Whether the finding be positive or negative, the decision shall set forth, in detail, the specific findings of fact and conclusions of law upon which the decision is based (b) Such decision shall be published in the Federal Register and shall be served upon all parties to the proceeding. PR non t -XM idled fo-2&er !AS aml sum 000E 4910 -tsar • • C] CITY OF RICHFIELD, MINNESOTA Office of City Manager 0 Council Letter No. 22 Agenda January 14, 1985 The Honorable Mayor and Members of the City Council City of Richfield Subject: Status Report on the Proposed Terms to Modify The Franchise Ordinance with Rogers Cablesystems of Minnesota Limited Partnership Council Members: Background on Financial Crises On May 22, 1984, Rogers Cablesystems presented to the Southwest Cable commission their financial concerns facing the Southwest System. Rogers' difficulties stem from capital expenditures exceeding projections by about $5.1 million. The difference resulted from: • (a) $1.1 million in additional costs for higher than per mile plant distribution costs; (b) $1.5 million in additional costs for more plant mileage than originally projected; (c) $1.8 million in additional costs for higher per unit converter costs than expected; (d) An understatement of franchise and preoperating costs of $1.3 million; and, (e) Other favorable variances, from Rogers' original projections, of $0.6 million. The Southwest Cable Commission employed Touche Ross to evaluate Rogers request for financial relief. Touche Ross said that in addition to the $5.1 million cost overrun incurred through 1984, that the cash shortfall position of Rogers is due to the existing loan agreement which requires notably earlier repayment of principle than was assumed in the original franchise projections. In the original projections, the balance of the loan was not 14 paid off until 1996, whereas the actual loan agreement has much higher yearly payments and the balance repaid by 1990. -2- Touche Ross confirmed that the financial problems - 1985 cash shortfall of $750,000 and the $1 million payment to the Toronto Dominion for principle - are the primary financial problems. According to Popham, Haik, Schnobrich, Kaufman and Doty (attorneys for Rogers), there is an unfunded cash shortfall of $4.2 million over the next three years. Thus, the problem is not solely one of achieving more favorable long term financing. Rogers is facing a 1985 budget crises. Rogers Proposal Rogers has proposed a number of steps to help resolve the issue. The proposals that specifically deal with actions that concern the five cities are: 1. Decrease letter of credit from $50,000 to $10,000 for each city Possible Savings To Rogers $ 2,000 2. Decrease performance bonds from $300,000 to $25,000 (cities would retain the power of replaceability) $ 10,000 3. Defer the requirement to build the Institutional /Business Network $ ? • 4. Change the buyout provision to require cities to purchase system at fair market value calculated on a going concern basis $ ? 5. Cities accept a 3% franchise fee temporarily (now 5 %) $152,000 6. Cities help support public access programming at a reduced level of service $298,434 7. Receive franchise fees in quarterly installments - interest savings $ 20,400 Total Estimated Savings to Rogers $482,834 Draft Agreement Modifying Franchise A draft acceptance agreement modifying the terms of our franchise ordinance has been included in your council letter backup. This agreement terminates if: (a) Rogers fails to replace the existing $18 million indebtedness with new long term financing within 30 months; and, -3- (b) Any achievement of a positive net income and achievement of a debt service ratio exceeding 1.5. Other Cost Saving Ideas The following cost saving proposals have not been accepted by the negotiating team for SWSCC, but in the writer's opinion deserve consideration: (a) Impose a salary freeze on all Rogers salaries (Rogers just granted a 4 to 5% increase to all employees on January 1, 1985); (b) Direct the company to cease the recently started up free programming guide at an estimated annual cost of $150,000. The newspapers, in the writer's opinion, provide a very adequate TV program guide. (c) Restore city franchise payments (the 2 %) if either of the following occurs: (1) a decrease in interest rates paid by Rogers on long -term debt; (2) if Rogers can achieve a 1% decrease in bad debts ($622,000); or (3) if Rogers achieves a 50% (or more) penetration rate. Impact on Richfield - Financing and Municipal Programming A. Financial Impact 1. Fiscal Year 1984 Revenues Expenditures Surplus (Deficit) ACTUAL TO DATE TOTAL BUDGET NOV. ESTIMATED $89,300 0 0 $89,300 $34,117 $64,248 ($64,248) 2. Funds Available From Previous Fiscal Years $44,758 Projected Deficit 12/31/84 ($19,490) 3. Fiscal Year 1985 Revenues 1984 franchise fees $51,500 1st quarterly 1985 franchise fee $12,875 Total Revenues $64,375 41 1 E • is -4- Revised 1985 Cable Administration Budget 1985 Proposed 1985 Budget Revised Budget Current Expenses Personal Services $23,200 Other Services & Charges $50,540 Supplies $ 2,100 Total Current Exp. $75,840 Capital Outlay Audio Equipment Contingency for Partial Repayment on Deficit 0 $75,840 This revised budget provides for: $ 4,000 $50,010 500 $54,510 $ 6,175 $600,,685 $ 3,690 $64,375 1. Continuation of public access programming 2. Continuation of cablecasting city council meetings and a monthly Mayor /City Manager show. 3. City's share of SWSCC administrative budget All city departments will have to be directed to cease any cable programming plans and to adjust their budgets where departments anticipated charging some employee time to cable programming. The remaining portion of the 1984 deficit could be retired in small amounts in future fiscal years. Chronological Listing of Negotiation Events May 22, 1984 Rogers formally presents financial problems to Southwest Cable Commission Sept. 10, 1984 Touche -Ross preliminary report dated 9/7/84 delivered to SWSCC members Sept. 19, 1984 Rogers announces rate increase to be effective November, 1984. November, 1984 Rate increase, new billing procedure and realignment of channels goes into effect and billing mixup results in many customer complaints. -5- January, 1985 SWSCC Operating Committee votes 3 -2 to recommend a reduction in public access facilities to two studios. Re c ul4� bmitted, John G. Cartwri t City Manager JGC /eja �J 0 C7 • ROUGH DRAFT January 11, 1985 EXHIBIT A CONTRACT FOR LOCAL PROGRAMMING FACILITIES THIS AGREEMENT is made and entered . into this day of 1985, by and between the a Minnesota nonprofit corporation and ROGERS CABLESYSTEMS OF MINNESOTA LIMITED PARTNERSHIP (hereinafter Company), a Minnesota limited partnership. W I T N E S S E T H WHEREAS, Company pursuant to Chapter 238 of the Minnesota Statutes and pursuant to the Cable Communications Ordinance of City has been granted a franchise to construct, own and operate a cable communications system in the cable service territory and WHEREAS, residents of the cable service territory will bene- fit from valuable public access opportunities available through the cable communications system of Company; and IN CONSIDERATION of the covenants, conditions, undertakings and promises contained herein the parties agree as follows: SECTION I DEFINITIONS For the purposes of this Agreement, the following terms, phrases, words and their derivations shall have the meaning given herein. When not inconsistent with the context, words used in the present tense include the future, words in the plural number -1- include the singular number include the plural number. The words "shall" and "will" are mandatory and "may" is permissive. Words not defined shall be given their common and ordinary meaning. 1.01 Access or Public Access shall mean the right or privi- lege of any person to use designated facilities, equipment or channels of the cable communications system. 1.02 Cablecast shall mean programming in a video, audio or data format transmitted through the cable communications system to users and subscribers. 1.03 Cable Communications System or System shall mean the cable communications system to be owned, constructed, installed, operated and maintained within the franchise area for the provi- sion of broadband telecommunications services. 0 1.04 Channel or Television Channel shall mean a six megahertz (6 MHz) frequency band which is capable-of carrying one standard video signal, a number of audio, digital or other non -video signals, or some combination of such signals. 1.05 Company shall mean Rogers Cablesystems of Minnesota Limited Partnership, its agents, employees, lawful successors, transferees or assignees. 1.06 Franchise Area shall mean the cities of Edina, Eden Prairie, Hopkins, Minnetonka and Richfield, Minnesota together with any future annexations or lawful expansions. 1.07 Programming shall mean any video,* audio, text on data signal carried over the system. -2- • • 1.08 Subscriber Network shall mean single trunk 440 MHz cable activated immediately with fifty -four (54) downstream channels and four (4) return or upstream chanels. 1.09 User shall mean any person who utilizes the System studio or facilities, whether for a charge or without charge. SECTION TWO STUDIOS 2.01 Location. Company shall make available for public access the following premises and facilities, further identified on the floor plans which is attached as Exhibit A and incorporated herein by reference, for public access use subject to the limita- tions. set forth herein. (To be completed) 2.02 Initial Condition of Premises. acknowledges that it has examined the above - described premises and that said premises are now in good and satisfactory condition. Company represents that it is aware of no substantial defect in'the pre- mises which was not reasonably observable by and that Company is aware of no condition, restriction or limitation that would interfere with the use of said premises for public access studios. 2.03 Conditions of Usage. The studios described above shall be available for public access use subject to the following con- ditions and limitations. (To be completed) 2.04 Alterations and Improvements. A. Company shall make no alterations or improvements in the -3- studios without the advance written consent of In making such improvements or alterations Company shall not inter - fere with the use of said premises for public access purposes. Such alterations and improvements shall be made in a good and workmanlike manner and in compliance with all laws and regula- tions of any governmental agency having jurisdiction over said premises. Company shall hold harmless against all or arise out of the making of such alterations and improvements. B. Nothing herein shall prohibit the parties from mutually agreeing to alterations and improvements at a future date and the sharing of necessary and reasonable costs in an equitable manner. 2.05 Maintenance and Repair. A. The Company shall have the following duties and respon- sibilities as to the maintenance and repair of said premises: 1. Company shall maintain, repair or replace the premi ses and improvements. 2. Company shall maintain, repair or replace all structural members, walls, footings, roofs, floors and door- ways and other parts of said premises, damage to which is directly caused by the disrepair of, or by such maintenance, repair or replacement. 3. Company shall maintain, repair or replace plumbing, electrical, heating, air conditioning, ventilating, and uti- lity metering equipment and facilities. 4. All maintenance, repairs and replacement shall be • -4- • made promptly and in good and workmanlike manner and so that the defective portions of said premises are put in good and satisfactory condition. B. In the event the discretion, that said premises are tenance, may undertake provided that Company shall first advance notice and the opportunity maintenance. The time for Company maintenance may be extended by determines, in its sole in need of repair or main- such repairs or maintenance be given ten (10) business days to undertake such repairs or to undertake such repairs or 1. If, pursuant to paragraph B above, repairs or maintains the premises, may charge Company for costs in undertaking such repairs or maintenance including reasonable overhead. 2. If, pursuant to paragraph 1 above, repairs or maintains the premises such action shall be docu- mented within thirty (30) days and invoices shall be sub- mitted to Company at such time. Payment shall be due upon receipt of such invoices. 2.06 Hazard Insurance. Company shall, at all times during the term of this Agreement procure and maintain at Company's expense fire insurance with an extended coverage endorsement, insuring the improvements located on the premises to the full extent of the insurable value thereof. -5- SECTION THREE . EQUIPMENT 3.01 Public Access Equipment. Company shall, at a minimum, locate the equipment set forth in Exhibit B, attached hereto and made a part hereof, at the designated studio for public access use, shall not acquire any title or interest in the equipment, either legal or equitable, except as expressly granted herein. A. The equipment set forth in Exhibit B shall at all times be the sole and exclusive property of Company. shall have no rights or property interest in the equipment except for the right to use the equipment in the normal operation of public access. B. Company shall keep the equipment at all times free and clear from all claims, levies, liens, encumbrances and process. Company shall give immediate written notice of any such attachment or other judicial process affecting any article of equipment. C. Company shall not pledge, lend or create a security interest in or sublet the equipment or any part thereof or attempt in any manner to dispose thereof or remove the equipment, or any part thereof, from the designated studios without prior written consent. D. and Company shall cause the equipment to be operated by competent and qualified personnel. E. Company shall display notice of Company's ownership on -6- each article of equipment by means of a suitable stencil, label or plaque affixed thereto. 3.02 Transportation and Installation. Company shall be responsible for the costs of transportation of the equipment to the designated studios and for the costs of installation of the equipment. All equipment set forth in Exhibit B shall be installed or otherwise located at the studio site upon the execution of this agreement unless the time is extended by . 3.03 Inspection of Equipment. shall inspect the equipment within thirty (30) days after the execution of this Agreement. Unless within such period of time gives written notice to Company specifying any defect in or other objection to the equipment, agrees that it shall be ! presumed that has fully inspected and acknowledged that the equipment is in good condition and repair, and that is satisfied with and has accepted the equipment in good condition and repair. 3.04 Corporation Equipment. reserves the authority, at its sole discretion, to purchase, lease, rent or otherwise locate additional equipment at the studios for public access use exclusively. shall, at its own expense, maintain and replace all such equipment. shall display notice of ownership on each article of equipment by means of a suitable stencil, -label or plaque affixed thereto. s 3.05 Repair of Equipment. • A. Company shall maintain all equipment in good operating condition and repair and shall repair, fix, replace or adjust such equipment promptly. B. In the event determines, in its sole discre- tion, that any item of equipment set forth in Exhibit B is not in good operating condition and repair, may repair, fix, replace or adjust such equipment provided that Company shall be given five (5) business days advance notice and the opportunity to repair, fix, replace and adjust such equipment. The time for Company to repair, fix, replace and adjust such equipment may be extended by Corporation. C. If, pursuant to paragraph B above, repairs, fixes, replaces or adjusts any item of equipment, may charge Company for costs in repairing, fixing, replacing or adjusting said equipment including reasonable overhead and the cost of any special items needed to maintain or repair the equipment. D. If, pursuant to paragraph C above, repairs, fixes, replaces or adjusts any item of equipment such action shall be documented within thirty (30) days and paid invoices shall be submitted to Company at such time. Payment shall be due upon receipt of such invoices. E. Company shall keep maintenance records and logs of all production equipment on standard forms indicating the nature of C MM any repairs and /or maintenance and the date of same. Such records shall be retained for the term of this Agreement and shall be available for inspection by _ upon forty -eight (48) hours advance notice. 3.06 Location of Equipment. The equipment shall be installed, maintained and stored at locations as set forth in Appendix B. Company shall maintain sufficient records so as to all times keep informed as to the location of all equipment. 3.07 Mobile Van. A. Company shall provide one (1) mobile van available for public access use. The mobile van shall be equipped with the equipment and meet the specifications as set forth in Exhibit C attached hereto and made a part hereof. • B. A request for use of the mobile van shall be accompanied by a written request in a form approved by Company and • The request shall be submitted to Company and the as indicated on the request form. The shall approve each request prior to scheduling the use of the van. C. The following conditions and limitations shall apply to mobile van usage: 1. The van shall be scheduled on a first -come, first- served basis, upon receipt of a written request identifying the requirements of the planned production. 2. The van must be scheduled at least ten (10), but not more than sixty (60), calendar days in advance of the planned production. 3. The van may be requested for any day of the week. 4. The van may be scheduled for up to a twelve (12) hour period on any given day depending on the production requirements. 5. A user requesting a mobile van must provide to the at least five (5) working days prior to the production, written evidence that all necessary approvals, clearances, licenses, and copyrights for the production have been obtained. These include, but are not limited to, approvals by broadcast stations, networks, sponsors, music licensing organizations, copyright owners, performers' repre- sentatives, and all persons referred to in the programs material. Model or talent releases must be secured at the time of production for all persons referred to in the program material. Model or talent releases must be secured at the time of production for all persons appearing in the produc- tion. No production shall be cablecast without such written releases. D. A user requesting use of the mobile van shall also pro- vide to the at least five (5) working days prior to the production, assurances that the following location arrangements have been made. 1. Parking permits and a parking space for the van have been obtained, if necessary; • -10- • 2. Safe, environmentally protected work areas have been secured for crew and equipment; 3. written permission for use of the production loca- tion have been obtained, if necessary; 4. Any necessary labor approvals have been obtained; 5. Any necessary lighting, special effects, audio and electrical power will be available. E. All preventive maintenance and special repairs shall be the responsibility of Company, provided however, that any User shall be responsible for all fuel or gasoline. F. Excepting to the above shall be approved by the , in his sole discretion. 3.08 Insurance of Equipment. A. Company shall be responsible for keeping the equipment set forth in Exhibit B insured against burglary, theft, fire and vandalism. All such policies shall name as addi- tional insureds. Company shall furnish certificates evidencing such coverage to be in effect upon request of and shall provide a copy of any policies required by this Agreement when such policy becomes effective. B. Company shall maintain liability insurance with a com- pany licensed to do business in the State of Minnesota in a mini- mum amount of: 1. Five Hundred Thousand and Nc /100 Dollars ($500,000.00) for damages to any one (1) person; -11- 2. One Million and No /100 Dollars ($1,000,000.00) for damage in any one (1) accident; 3. Five Hundred Thousand and No /100 Dollars ($500,000.00) for personal injury to any one (1) person; 4. One Million and No /100 Dollars ($1,000,000.00) for personal injury in any one (1) accident. C. All policies required pursuant to paragraph B above shall name as additional insureds. Company shall furnish certificates evidencing such coverage to be in effect upon request of and shall provide a copy of any poli- cies required by this Agreement when such policy becomes effective. D. Each insurer shall agree, by endorsement upon the cer- tificate or certificates issued by it or by independent instru- ment forwarded to the , that it will give the • thirty (30) days written notice before the policy in question shall be altered or cancelled and that any proceeds shall be paid jointly to the Company and as their interest may appear. Such thirty (30) day notice may be waived only in writing by mutual consent of the parties. SECTION FOUR CHANNELS AND PROGRAMMING 4.01 Subscriber Network. A. Company shall make available during the term of this Agreement two (2) television channels on the subscriber network available for public access use. Both channels shall be on the r� -12- B. No charges may be made for channel time or playback of prerecorded programming provided, however, that personnel, equip- ment, and production costs may be assessed for live studio pre- sentations exceeding five minutes in length. Charges for such production costs and any fees for use of other public access channels must be consistent with the goal of affording the public a low -cost means of television access. C. Whenever any channel is in use during 80% of the week- days (Monday- Friday), for 80% of the time during any consecutive 3 hour period for six weeks running, and there is demand for use of an additional channel for the same purpose, Company shall then have six months in which to provide a new specially designated access channel for the same purpose. 4.02 Operation of Channels. shall operate the public access channels, equipment and facilities on a non- discriminatory, first -come, first - served basis. 4.03 Programming. shall be fully responsible for programming the public access channels and all decisions regarding such programming shall be at the sole discretion of . 4.04 Disclaimer. shall display with reasonable frequency, on each operating public access- channel, the following notice: • -13- VHF spectrum; one such channel shall be for discrete cablecasting and the other channel for area wide cablecasting. B. No charges may be made for channel time or playback of prerecorded programming provided, however, that personnel, equip- ment, and production costs may be assessed for live studio pre- sentations exceeding five minutes in length. Charges for such production costs and any fees for use of other public access channels must be consistent with the goal of affording the public a low -cost means of television access. C. Whenever any channel is in use during 80% of the week- days (Monday- Friday), for 80% of the time during any consecutive 3 hour period for six weeks running, and there is demand for use of an additional channel for the same purpose, Company shall then have six months in which to provide a new specially designated access channel for the same purpose. 4.02 Operation of Channels. shall operate the public access channels, equipment and facilities on a non- discriminatory, first -come, first - served basis. 4.03 Programming. shall be fully responsible for programming the public access channels and all decisions regarding such programming shall be at the sole discretion of . 4.04 Disclaimer. shall display with reasonable frequency, on each operating public access- channel, the following notice: • -13- This channel is operated and controlled by the The is an independent, nonprofit cor- poration-and is not an agent or affiliate of Rogers. 4.05 Content Insurance. shall maintain liability insurance with a company licensed to do business in the State of Minnesota in the amount of for damages arising out of programming errors or omissions, including copyright infringement, misappropriation of literary property or program format, defamation or invasion of privacy. SECTION FIVE TERM AND TERMINATION 5.01 Term. The term of this Agreement shall be to unless terminated earlier as provided for herein. 5.02 Termination. A. Any party may terminate this Agreement, effective at any time, by giving the other party at least thirty (30) days prior written notice, in the event a party has materially breached any of its obligations hereunder and such breach (which shall be spe- cified in such notice) is not cured by the party in breach within fifteen (15 ) days of such notice. The right of any party to ter- minate this Agreement in any such case shall be in addition to any other remedies it may have and any other specific provision of this Agreement. B. Notwithstanding anything to the contrary, this Agreement shall terminate in the event the franchise granted to Company -14- SECTION SIX MISCELLANEOUS PROVISIONS 6.01 Binding on Successors. This Agreement shall be binding upon and shall inure to the benefit of the parties hereto, their respective successors and assigns. 6.02 Force Majeure. If by reason of force majeure, any party to this Agreement is unable in whole or in part to carry out its obligations hereunder, said party shall not be deemed in viola- tion or default during the continuance of such inability. The term "force majeure" as used in this Agreement shall mean the following: strikes, acts of God, orders of the federal or state • governments, or any of their departments or agencies, lightning, • fires, storms, floods, civil disturbances, explosions, partial or entire failure of utilities, or any other cause or event not reasonably within the control of that party. 6.03 Arbitration. All claims, disputes, and other matters in dispute between the parties arising out of, or relating to, this Agreement shall be submitted to arbitration in accordance with the Commercial Arbitration Rules of the American Arbitration Association, provided, however, that Company shall appoint one arbitrator, shall appoint one (1) arbitrator. The two (2) arbitrators shall each agree upon'the selection of a third arbitrator, similarly qualified, within fifteen (15) days -15- shall be revoked, terminated, cancelled or not renewed or upon the foreclosure or other judicial sale of all or a part of System. SECTION SIX MISCELLANEOUS PROVISIONS 6.01 Binding on Successors. This Agreement shall be binding upon and shall inure to the benefit of the parties hereto, their respective successors and assigns. 6.02 Force Majeure. If by reason of force majeure, any party to this Agreement is unable in whole or in part to carry out its obligations hereunder, said party shall not be deemed in viola- tion or default during the continuance of such inability. The term "force majeure" as used in this Agreement shall mean the following: strikes, acts of God, orders of the federal or state • governments, or any of their departments or agencies, lightning, • fires, storms, floods, civil disturbances, explosions, partial or entire failure of utilities, or any other cause or event not reasonably within the control of that party. 6.03 Arbitration. All claims, disputes, and other matters in dispute between the parties arising out of, or relating to, this Agreement shall be submitted to arbitration in accordance with the Commercial Arbitration Rules of the American Arbitration Association, provided, however, that Company shall appoint one arbitrator, shall appoint one (1) arbitrator. The two (2) arbitrators shall each agree upon'the selection of a third arbitrator, similarly qualified, within fifteen (15) days -15- after appointment of the second arbitrator. 'The decision of a majority of the three (3) arbitrators shall be binding upon the parties, provided, however, that the parties may seek judicial relief to the extent authorized under Minnesota Statutes S 572.09 and S 572.19 as the same-may be amended. 6.04 Separability. A. If any law, ordinance or regulation shall require or permit any party to this Agreement to perform any service or shall prohibit any party from performing any service which may be in conflict with the terms of this Agreement, then as soon as possible following knowledge thereof, said party shall give notice to the other party of the point of conflict believed to exist between such law, ordinance or regulation. B. If any Section, sentence, paragraph, term or provision of this Agreement is determined to be illegal, invalid, or unconstitutional by any court of competent jurisdiction or by any state or federal regulatory agency having jurisdiction thereof, such determination shall have no effect on the validity of any other Section, sentence, paragraph, term or provision hereof. C. In the event such decision, law, rule or regulation is subsequently reversed, repealed, rescinded, amended or otherwise changed, so that the Section, sentence, paragraph, term or provi- sion hereof which had been invalid or modified is no longer in conflict with the decisions, law, rules and regulations then in effect, said Section, sentence, paragraph, term or provision • -16- relying on the Section, sentence, paragraph, form or provision shall give the other party or parties thirty (30) days written notice of such change before requiring compliance with said pro- vision. 6.05'iquidated Damages. A. Upon the breach of any term, condition, or provision of this Agreement, the breaching party shall pay to the non - breaching party the sum of one hundred dollars ($100.00) per day for each and every day of the breach as a liquidated damage. The parties hereby agree that the services to be performed under this Agreement are in the public interest and will further the deve- 0 lopment of the System within the Franchise Area and that the con- • tinuation of the relationship established by this Agreement is mutually beneficial. Consequently, the parties acknowledge that damage due•to a breach of this Agreement will be difficult to determine and that the liquidated damages set forth above is fair and reasonable and will not be contested. B. Whenever a party finds that the other has breached one (1) or more terms, conditions, or provisions of this Agreement, a written notice shall be given to the party in breach informing it of the breach. The party in breach shall have ten (10) days sub- sequent to receipt of the notice in which -to correct the breach or indicate its intention to proceed to arbitration or pay the -17- shall thereupon return to full force and effect and shall thereafter be binding on all parties, provided that the party relying on the Section, sentence, paragraph, form or provision shall give the other party or parties thirty (30) days written notice of such change before requiring compliance with said pro- vision. 6.05'iquidated Damages. A. Upon the breach of any term, condition, or provision of this Agreement, the breaching party shall pay to the non - breaching party the sum of one hundred dollars ($100.00) per day for each and every day of the breach as a liquidated damage. The parties hereby agree that the services to be performed under this Agreement are in the public interest and will further the deve- 0 lopment of the System within the Franchise Area and that the con- • tinuation of the relationship established by this Agreement is mutually beneficial. Consequently, the parties acknowledge that damage due•to a breach of this Agreement will be difficult to determine and that the liquidated damages set forth above is fair and reasonable and will not be contested. B. Whenever a party finds that the other has breached one (1) or more terms, conditions, or provisions of this Agreement, a written notice shall be given to the party in breach informing it of the breach. The party in breach shall have ten (10) days sub- sequent to receipt of the notice in which -to correct the breach or indicate its intention to proceed to arbitration or pay the -17- liquidated damage to the non - breaching party. C. In the event the party in breach has not corrected or can not correct the breach or indicated its intention to proceed to arbitration ten (10) days subsequent to receipt of the above- described notice, the liquidated damage shall be due and owing. Interest on the amount due and owing shall accumulate at . The non - breaching party may undertake whatever legal steps it may deem necessary to collect the amount due and owing. 6.06 Captions. The Captions to Sections throughout this Agreement are intended solely to facilitate reading and reference to the Sections and provisions of this Agreement. Such captions shall not affect the meaning or interpretation of this Agreement. 6.07 Interpretation. This Agreement has been arrived at by negotiation and shall not be construed against any party. 6.08 Governing Law. This Agreement shall be interpreted in accordance with Minnesota law. 6.09 Notices. Any notice required to be given or served upon any party in connection with this Agreement shall be in writing and shall be deemed to have been given and received, (1) three business days after a registered or certified letter containing the notice, properly addressed, with postage prepaid, is depo- sited in the United States mail; or (2) if made in any other manner, upon actual delivery to and receipt b,y the party to whom it is addressed. Notice shall be given to the parties at the following addresses: -18- • Company Corporation 6.10 Entire Agreement. This Agreement constitutes the entire agreement and understanding between the parties and no oral modi- fications or additions hereto shall be binding. No verbal or written statements of the parties shall be considered a modifica- tion of this Agreement except by a written document signed by all parties expressly stating that it is modifying the Agreement and setting forth the new condition or provision of the Agreement. 6.11 No Joint Venture. Nothing in this Agreement shall create a joint venture or principal -agent relationship between the parties and no party is authorized to (and no party shall) act toward third parties or the public in any manner which would indicate any such relationship with the other. 6.12 Nonenforcement. The failure of any party to strictly enforce any provisions of this Agreement shall be construed as a waiver or as excusing that party from future performance. 6.13 Attorneys Fees. If it is necessary for any party to -19- retain the services of an atto terms, covenants or provisions hereunder, the party who is in nants and provisions hereof or the sums due, shall pay to the such services. rney of law to enforce any of the hereof or to collect any sums due default of any of the terms, cove - who has failed to make payment of other party the actual cost of -20- • • DRAFT January ll, 1985 ACCEPTANCE AGREEMENT MODIFYING TERMS OF FRANCHISE ORDINANCES This Agreement entered into this day 1985, between ROGERS CABLESYSTEMS OF MINNESOTA L PARTNERSHIP, (hereinafter "Rogers "), a Minnesota Partnership, and City of Southwest Suburban Cable Commission (hereinafter upon the terms and conditions set forth herein. of , IMITED Limited , and the "Commission"), WHEREAS, Rogers has sought relief from its obligations in the Franchise granted to it by City, due to short term and long term financial difficulties; and WHEREAS, Rogers has represented to City that changes in the business environment affecting the cable television industry have created short term and long term financial difficulties for the system making necessary changes in its operation which must be approved by City under the terms of the Franchise; and WHEREAS, Commission, pursuant to the Joint Powers Agreement creating it, has the responsibility of administering the cable communications system of City; and WHEREAS, by virtue of the authority granted to it Commission has undertaken a thorough analysis and review of the requests of Rogers over a period of nine (9) months and has utilized the services of Touche Ross to do a financial analysis and make -1 recommendations; and WHEREAS, Commission is authorized to enter- into this Agreement effective when all Member Cities have approved this Agreement; and WHEREAS, the parties hereto enter into this Agreement in good faith, intend that this Agreement will be abided by, and that the mutual promises and obligations herein are necessary for the continued economic viability of Rogers' cable communications system. NOW, THEREFORE, based upon the foregoing, the parties hereto agree as follows: ARTICLE I. DEFINITION OF WORDS AND PHRASES A. "Cable Communications System" and "System" means a- system of antennas, cables, wires, lines, towers, waveguides or other conductors, converters, equipment or facilities, designed and constructed for the purpose of producing, receiving, transmitting, amplifying and distributing, audio, video and other forms of electronic or electrical signals, located in City. Said definition shall not include any system wholly internal to one or more multiple unit dwellings under common ownership, control or management, and does not use City streets or other public pro- perty. In any event, system as defined herein shall not be inconsistent with the definition as set out in the rules of the Minnesota Cable Communications Board. B. "City," as used herein, means the City of , -2- i and its delegations, including the delegations made by it in the Joint Powers Agreement. C. "Commission" means the organization created by the Joint Powers Agreement. D. "Debt Service Ratio" means E. "Existing Indebtedness" means the obligation dated between Rogers and Toronto Dominion, of Toronto Canada. F. "Franchise" means the Ordinance adopted by City granting a franchise to Rogers dated and the acceptance, guarantee and other documents required by it and any amendments to it. I.t does not include the terms and provisions of this Agreement. G. "Gross Revenues" means the same as "Gross Revenues" defined in Franchise. H. "Joint Powers Agreement" means the Joint and Cooperative Agreement between the Minnesota cities of Hopkins, Eden Prairie, Edina, Richfield and Minnetonka creating the Southwest Suburban Cable Commission. I. "Local Programming Commitment" means the programming of channels made available on System throughout the term of this Agreement for public access, government access, and educational access and in accordance with the requirements of a contract in a form similar to Exhibit B of this Agreement, as determined by • C` t City. Rogers' responsibility for leased access and local origina- tion continues according to Franchise. J. "Member Cities" means the Cities, parties to the Joint Powers Agreement. K. "Ordinance" means the Ordinance adopted by City authorizing execution of this Agreement. L. "Parent" means M. "Safe or Transfer," as used herein, means a bona fide sale between Rogers and another entity having the understanding and capacity, in the discretion of City, to perform the obliga- tions of the Franchise. It is not intended by this Agreement that Rogers will utilize the reductions or changes to facilitate a sale or transfer and thereby produce a continuation of the time within which the terms of the Franchise are restored. ARTICLE II. ACCEPTANCE A. Rogers agrees to be bound by and to timely and fully perform and fulfill all of the terms, agreements, provisions, conditions, promises, offers, representations and inducements contained in this Agreement. B. Rogers represents, warrants and guarantees that neither it, nor its representatives or agents, have committed any illegal acts or engaged in any wrongful conduct contrary to, or in violation of, any federal, state or local law or regulation in connection with the Ordinance amendment process leading to this • -4- • Agreement. C. Rogers further warrants and represents as follows: 1. That it is a partnership under the laws of Minnesota, and has full right and authority to enter into and fully perform this Agreement. 2. That all partnership action required to authorize the acceptance of the Ordinance and execution and delivery of this Agreement and all other documents to be executed and /or delivered by Rogers pursuant to the process, have been validly and duly acted on and are in force and effect; 3. That the Ordinance and this Agreement and all other documents executed and /or delivered by Rogers have been duly accepted and executed and the terms of each thereof are fully binding upon and enforceable against Rogers, D. With this Agreement, Rogers has also delivered to the Commission an opinion from its legal counsel, acceptable to the Commission, stating that the Ordinance is duly accepted and deli- vered, that the Ordinance and the guarantees are enforceable against Rogers and the guarantors in accordance with their respective terms, and which opinion is otherwise in form and substance acceptable to the Commission. ARTICLE III. TERM A. This Agreement shall commence upon approval and execution by each Member City and Commission within -a sixty (60) day time period beginning on the first date of approval and execution by �1 -5- any one (1) of the Member Cities and also within thirty (30) days thereafter being executed by Rogers and Rogers delivery of all documents and writings required herein. The time periods described in this paragraph may be extended only by mutual agreement of the parties. B. Except as may otherwise be provided for in this Agreement, this Agreement shall automatically terminate and the Franchise shall be restored in full upon the occurrence of any of the following events: 1. Rogers fails to secure new long term financing (in good faith intending to overcome existing debt problems relating to high interest rates and principal payment schedules) to replace the existing indebtedness of Eighteen a Million and No /100 Dollar ($18,000,000.00), within thirty (30) months from date of this Agreement as provided in Article VII, paragraph (A). Rogers shall provide Commission with written progress reports and copies to City every six (6) months concerning the status of the refinancing or restructuring of its present financing; or 2. The existing indebtedness in the amount of Eighteen Million and No /100 Dollars ($18,000,000.00) is discharged, except as provided in paragraph l; or 3. Termination as provided for in this Agreement under Article VIII, paragraph F. 4., Achievement of a positive net income as reported in • Rogers' annual audited financial statement and achievement of a Debt Service Ratio exceeding 1.5 based on the annual audited financial statement of Rogers. C. The terms and conditions of this Agreement shall become for subject review by City automatically upon the occurrence of: 1. The sale or transfer of ownership of all or part of the System. This Agreement shall terminate and the Franchise shall be restored in full unless the new owner shall, as a • part of the transfer in addition to other requirements of the Franchise: a. Agree to be bound by the terms of this Agreement in addition to the terms of the Franchise; b. Agree to execute an acceptance agreement con- forming to the terms of Article II of this Agreement. 2. Purchase by Rogers or any parent, subsidiary, related corporation, affiliated corporation, partner'or joint venture of Rogers of a System in the Twin Cities Metropolitan Area. The City may, in its sole discretion, terminate this Agreement unless Rogers shall demonstrate to City that any such purchase: a. Shall not impair the operating cash flow of Rogers; b. Shall benefit Rogers through increased company profitability; C. Shall be based on obtaining an independent -7- means of financing. 3. The achievement of fifty percent (50 %) Basic Service penetration together with a Pay Units to Basic Service subscribers ratio of not less than 1.6, provided, however, the City may, in its sole discretion, terminate this Agreement unless Rogers shall show that continuation of the Agreement is necessary for the continued economic viabi- lity of Rogers. ARTICLE IV. CONFLICTS WITH FRANCHISE During the term of this Agreement the obligations and requirements of this Agreement shall prevail, notwithstanding any term, condition, or obligation of the Franchise of City. In the case of dispute the following shall apply: A. The City shall resolve the dispute using its best 0 efforts and City shall give notice of their determination to Rogers and the date of meeting on the matter. B. Rogers shall, if dissatisfied with the City deter- mination, request in writing an opportunity to be heard on the matter no later than ten (10) days after notice is mailed to it. C. At any hearing pursuant to paragraph (B), Rogers shall have the burden of showing that the dispute should be resolved different from the determination of City. The City shall then have thirty (30) days within which to consider the evidence presented by Rogers and to make a final determination. • M= D. * The decision of the City shall be final and effec- tive on the date it takes action and deposits in the U.S. mail notice to Roger ARTICLE V. TEMPORA D6ERRAL F FRANCHISE REQUIREMENTS Except as may be qualified; ccfiditioned or modified by other requirements of this Agreement, the following requirements of the Franchise of City are changed during the term of this Agreement. Only that portion of the requirements described in this Article V is changed and all other requirements or obliga- tions as may be more fully and completely described in the Franchise shall remain in full force and effect. A. Letters of Credit. The face amount of the letter of credit shall remain at Fifty Thousand and No /100 Dollars ($50,000.00) per City. Commission is authorized to allow Rogers to reduce this amount if City determines a lesser amount is reasonable and adequate to protect the public. B. Performance Bonds. The current performance bond of Rogers required by the Franchise shall be eliminated provided, however, the City may require Rogers or its parent company to provide similar performance bond, as required under the terms of the Franchise. Rogers or its parent shall provide such perfor- mance bond within sixty (60) days from date of notice from City. C. Franchise Fee Payments. The parties acknowledge that .a. City is currently entitled to receive from Rogers a franchise fee 0 �( payment in the amount of five percent (5 %) of the gross annual p lip -9 - revenues of Rogers. The parties further acknowledge that a tem- porary reduction in the amount of the franchise fee, as con- templated by this Article V is substantial, but is intended to help resolve current and continuing cash shortfalls in operating income and is consequently needed by Rogers. Rogers acknowledges also that City should not bear the only burden of relinquishing income in order to help Rogers with its cash shortfall. Therefore, this Agreement commits Rogers and any parent to a share of this burden and requires any parent corporation to approve this Agreement in order for it to be effective. 1. .Franchise Fee Payments Accrued in Fiscal Year 1984. a. The amount due to the combined five (5) member Cities of Commission is estimated to be Three Hundred Eighty Thousand and No /100 Dollars ($380,000.00). In • addition, Commission incurred certain costs and expenses during 1984 and 1985 including its costs for evaluating and working on the requests of Rogers leading to this Agreement which it is agreed are obligations of Rogers. City and Commission have determined these costs to be Sixty Thousand and No /100 Dollars ($60,000.00). By exe- cuting this Agreement, Rogers agrees to not dispute these amounts nor Rogers' responsibilities for these costs. b. Based upon the above, the total amount now due from Rogers is Four Hundred Forty Thousand and No /100 -10- • Dollars ($440,000.00). City and Commission agree that they will accept as full payment a sum equal to three percent (3 %) of Rogers' gross revenues for Rogers' fiscal 1984, plus Sixty Thousand and No /100 Dollars ($60,000.00) due Commission, in quarterly payments described in Paragraph c. C. Payment Dates. Payments shall be made by Rogers to City in equal quarterly payments based upon three percent (3%) of gross annual revenues for its fiscal 1984 generated by City. Also, Sixty Thousand and No /100 Dollars ($60,000.00) shall be paid directly to Commission at time of first payment to City. Payment dates shall be: November 1, 1984 February 1, 1985 May 1, 1985 August 1, 1985 d. If the actual franchise fee amount described in paragraph (a) due Cities is different than Three Hundred Eighty Thousand and No /100 Dollars ($380,000.00), based on verification at a subsequent date, proportionate adjustment shall be made to sums due to City. 2. Franchise Fee Payments Accrued in Fiscal Year 1985 and Thereafter. a. City and Commission agree that they will -11- accept as full payment a. sum equal to three percent (3%) of Rogers gross revenues in equal quarterly payments described in paragraph b. b. Payment Dates. Beginning with the first payment on November 1, 1985, for fiscal year 1985 of Rogers and for each subsequent fiscal year of Rogers, payments shall be made by Rogers in equal quarterly payments, based upon three percent (3 %) of gross reve- nues (as defined in Franchise) generated by City. Quarterly payment dates shall be: November 1 February 1 May 1 August 1. C. Local Programming Commitment. The parties agree Rogers shall continue to financially support local programming. This financial support shall be in an amount determined by City, Commission and Rogers. Rogers' financial support shall not be less than one percent (1%) of gross annual revenues without prior approval of City. Additional support for local programming shall be provided by City according to a local programming budget approved by it. City and Rogers agree to cooperate with one another to ensure that the level of local programming is main- 0 -12- tained and meets the needs of residents and other users within City. Further, it is understood City reserves the right to determine the organization and organiza- tional structure for its responsibilities and Rogers will fully cooperate with City and any delegation made by it. Additionally, the obligations and responsibilities of City and its delegations and Rogers shall be accomplished according to the terms of a written contract. Exhibit A is an example of the contract expected to be executed. Since the changes anticipated in organization, procedures and responsibilities will take time to arrange, Rogers will continue to perform all of the local programming functions currently required of them under the Franchise. If the written contract similar in terms and conditions to Exhibit B, as determined by City, is not executed within one hundred twenty (120) days after the commencement of the term of this Agreement by Rogers, or if Rogers does not abide by the terms of the contract during its term or in any way, in the discretion of City, does not cooperate with City or its delegations as contemplated by this paragraph, City may impose a liquidated damage of Two Hundred and No /100 Dollars ($200.00) per day, in accordance with the procedures of penalties in the Franchise. Further, if Rogers continues in default of this paragraph, City may -13- z terminate this Agreement for cause according to the pro- visions of this Agreement. D. Construction and Line Extension. Rogers shall endeavor to construct new areas and to abide by the terms of the Line Extension Policy in the ordinance, except that the following additional terms shall apply: 14 The City acknowledges that the construction of new residential developments before they are completed leads to the frequent cutting of cable. This results in an increase in construction costs that must be passed on to all subscri- bers, the interruption of service to many subscribers, and increased construction activity to make the necessary repairs which results in the disturbance of lawns and streets. a. In recognition of these costs and disruptions, 0 Rogers and the City agree that new developments should not be constructed until they are sufficiently complete so as to minimize these adverse side effects. b. City shall have the right to require Rogers to construct any area which is within the terms of the Line Extension Policy as set forth in the. Franchise, and Rogers stall bear the burden of establishing to the satisfaction of City that the additional costs and inconvenience created by the cutting of cable justifies the delaying of such construction. 2. Except as provided in Subsection 1 above, Rogers • -14- • Rogers and its parent first reduce corporate overhead (i.e., management fees) in an amount approved by the City. E. Institutional Network. The parties hereto acknowledge that provisions of the Franchise, relating to the institutional network, have not been complied with by Rogers. Further, due to changes in the cable industry, community needs, and financial projections since its original offering, Rogers' offering may need modification. It is also recognized that institutional net- works have not generally succeeded in the cable industry without substantial public initiation. In light of these reasons, and in order for the City to make a final determination on the develop - ment of an institutional network, there is by this Agreement created the SOUTHWEST INSTITUTIONAL NETWORK GROUP (SWING). 1. SWING shall include nine (9) members including a chairman appointed by the Commission. Appointments shall be made within sixty (60) days and pursuant to Subsection 2 below. 2. Rogers shall appoint four (4) members and the Commission, with the recommendation of City, shall appoint four (4) members in addition to the chairman. Each such party shall appoint qualified persons from schools, industry and institutions and financing backgrounds. 3. The staff of Rogers and the Commission shall staff -15- and its parent agree that any reduction in construction to help with cash shortfalls of Rogers shall not occur unless • Rogers and its parent first reduce corporate overhead (i.e., management fees) in an amount approved by the City. E. Institutional Network. The parties hereto acknowledge that provisions of the Franchise, relating to the institutional network, have not been complied with by Rogers. Further, due to changes in the cable industry, community needs, and financial projections since its original offering, Rogers' offering may need modification. It is also recognized that institutional net- works have not generally succeeded in the cable industry without substantial public initiation. In light of these reasons, and in order for the City to make a final determination on the develop - ment of an institutional network, there is by this Agreement created the SOUTHWEST INSTITUTIONAL NETWORK GROUP (SWING). 1. SWING shall include nine (9) members including a chairman appointed by the Commission. Appointments shall be made within sixty (60) days and pursuant to Subsection 2 below. 2. Rogers shall appoint four (4) members and the Commission, with the recommendation of City, shall appoint four (4) members in addition to the chairman. Each such party shall appoint qualified persons from schools, industry and institutions and financing backgrounds. 3. The staff of Rogers and the Commission shall staff -15- SWING. • 4. On the first anniversary date of this Agreement, a final report of SWING with its recommendations shall be pro- vided to each party. The report shall include, but not be limited to, recommendations on whether or not construction should occur, time for construction, method of financing construction and any special institutional services suggested or having a clear community need. 5. In preparing its report and recommendations, SWING shall take into account the economic viability of such a net- work on a stand alone basis and the effect, if any, the construction of the network would have on the financial con- dition of the System as a whole and on residential subscriber rates. ARTICLE VI. ROGERS SHORT TERM ORGANIZATIONAL AND OTHER MODIFICATIONS AND COMMITMENTS A. Reductions by Rogers. Any cash shortfall of Rogers remaining after reductions are made, pursuant to Article IV hereof, shall be resolved by Rogers according to a plan prepared by Rogers in accordance with the following: 1. The plan for the current fiscal year shall be sub- mitted to City and Commission for their review and comment. Thereafter, and during each year this Agreement is in effect, the plan shall be submitted to City and Commission for their review no later than sixty (60) days prior to the commence- -16- ment of the fiscal year of Rogers. 2. No further reductions shall be made to the letter of credit, performance bond, franchise fee, line extensions, institutional network, local programming or to the mix, quality or level of services offered by Rogers without advance approval of Commission. B. Organization Efficiency Study. At any time during the term of this Agreement, or if at any time during the term of this Agreement Rogers seeks further modifications to Franchise obligations, or fails to meet mutually agreed upon performance goals, City may require Rogers to contract for a detailed analy- sis of Rogers' operating efficiencies with an independent con- suiting firm expert in that field and not objected to by City. • 1. The contract shall be in an amount negotiated by Rogers and shall clearly describe a study that will examine s fully and completely any wastes, duplication or other operating inefficiencies. A copy of the final contract be- tween Rogers and the independent consulting firm shall be pro- vided to City. 2. City reserves the right to participate in oversight of the study, to receive monthly reports from Rogers and to make recommendations on the manner or means of the study to ensure a quality report. 3. If the study is requested by' City, the City and Rogers shall share equally in its cost. If the study is -17- required due to actions of Rogers, the study shall be paid for by Rogers. 4. The study shall be completed within six (6) months from date it is required and a copy of the con- sultant's report shall be furnished to City. At that time Rogers agrees to enter into good faith negotiations con- cerning proposed changes based on the study recommendations, after approval of the study by City. 5. The parties recognize that the results and other details of such a study may include trade secret information of Rogers. Therefore, City agrees that if it determines that the report of the consultant includes trade secret infor- mation of Rogers, within the meaning of the Minnesota Government Data Practices Act, MSA 13.37, subd. 1(b), the report shall be made confidential. C. Promotion and Development of Increased Subscriber Penetration. Rogers will undertake a campaign of improved ser- vice and marketing activities and will immediately implement at least the following: 1. Reports to City and Commission. Rogers shall make written reports to Commission as follows:' a. Interim Monthly Reports. Rogers shall provide the same information concerning subscriber statistics that it provides to its parent. b. Quarterly Financial Statements. Rogers shall • -18- • provide unaudited quarterly financial statements. A meeting shall be held with the Commission or its designees to discuss these statements and Rogers' progress towards achieving its goals of reducing costs, increasing revenues, handling of subscriber complaints, marketing efforts and improving service. Following this meeting, and if requested by the Commission, Rogers shall provide a written report summarizing its activities for the quarter and addressing any specific questions raised at the meeting. Commission will provide City with a report on the matters discussed and any final reports prepared by Rogers. All financial information shall be prepared in good faith and in accordance with generally accepted accounting principles. Such information shall be in sufficient detail so that City and Commission can evaluate all information necessary to determine the application of all provisions described in this Agreement. C* Annual Report. Rogers shall submit in a form provided by Commission, after consultation with Rogers and City, an annual report due on the anniversary date of this Agreement. The annual report shall be in addi- tion to all other reports required by the Franchise and is intended to help the City and Commission determine the compliance of Rogers with the terms and conditions of this Agreement. 2. Form of Reports. The form of reports shall be as follows: a. Accounting Principles Applicable. All finan- cial statements or reports required under this Agreement shall be prepared in accordance with generally accepted accounting principles and certifed by the chief finan- cial officer of Rogers. b. Notarized Reports. All reports required under this Agreement shall be signed by at least one (1) officer (authorized to sign on behalf of Rogers) and notorized. 3. Annual Review. Within sixty (60) days of receipt of annual report, Commission shall conduct a review, in a form and manner determined by Commission. a. Rogers shall, as a part of such annual review, establish to the satisfaction of the Commission that the terms of the Agreement should continue by demonstrating that the events as set forth in Article III herein have not occurred. Rogers shall further cooperate in responding to other questions from the City and Commission at the time of the annual review concerning Rogers' financial situation. b. Upon a written determination by the Commission that Rogers has failed to meet the showing required in -20- 4 • paragraph 1 above, the Commission with approval of City may require Rogers to enter into good faith negotiations to modify or terminate this Agreement. C* In the event Rogers fails to negotiate in good faith, City may, in its sole discretion, terminate this Agreement. d. At the annual review, it is understood that any changes in industry standard indicators, such as "debt service ratio," shall be identified by Rogers, City or Commission, and reviewed as to their applicabi- lity to this-Agreement throughout its term. 4. Reports to Cities. Copies of all reports described in this Agreement shall be distributed to City, in addition to Commission, by Rogers at the times described herein. 5. Annual Subscriber Survey. a. No later than of each year this Agreement is in effect, Rogers shall conduct a survey of its subscribers concerning, among other things, satisfaction with the programming offered by Rogers and satisfaction with the overall quality of ser- vice provided by Rogers. Questionnaires shall be pre- pared and conducted in a manner approved by the Commission and designed to provide statistically reliable information. b. At least thirty (30) days prior to the survey -21- being conducted, Rogers shall contact the City and Commission concerning any specific information which the City and Commission would like to ascertain through the survey. Rogers will make a good faith effort to incor- porate any requests from the City and Commission into the survey. c. The results of the survey shall be discussed with the City and Commission or its designee at the next meeting scheduled to discuss quarterly financial state- ments. The Commission shall have the right to inspect and review subscriber returned surveys. 6. Additional Rogers' Commitment to Community Programming. . a. Should Rogers at any time during the term of the Franchise achieve a debt service ratio (as defined herein) exceeding 1.75 as based on the annual audited financial statements, of Rogers, Rogers shall dedicate an amount not less than one percent (1%) of its gross revenues to community access programming and shall con- tinue to provide the additional contribution so long as Rogers maintains a debt service ratio exceeding 1.75. b. If Rogers establishes to the satisfaction of the City that its debt service ratio has fallen below 1.75, the additional contribution-shall be discontinued; provided that the additional contribution shall be • -22- • C. This additional contribution shall be in addi- tion to the restoration of Rogers' other community access programming requirements under the terms of the Ordinance. VII. ROGERS' LONG TERM ORGANIZATION CHANGES AND OTHER MODIFICATIONS AND COMMITMENTS A. Long Term Financing. In order to assist Rogers in replacing its existing indebtedness of Eighteen Million and No /100 Dollars ($18,000,000.00) by obtaining other financing for the System, the City agrees to make the following amendments to the Franchise upon receiving a commitment from a financial insti- tution or lender (within thirty (30) months from date the term of this Agreement commences) to provide such financing contingent only on said amendments becoming effective. and 1. Extend the term of the Franchise by four (4) years; 2. Amend Article XI, Section I.C. of the Franchise so that at the normal expiration of the franchise term, the City shall have the right to purchase the System at fair market value determined on a going concern basis. B. Public Financing Options. The purpose of this Section is to ensure that while private financing -is being explored, as described in this Agreement, continuing discussion and study will -23- reinstated as soon as Rogers again reaches a debt ser- vice ratio of at least 1.75. • C. This additional contribution shall be in addi- tion to the restoration of Rogers' other community access programming requirements under the terms of the Ordinance. VII. ROGERS' LONG TERM ORGANIZATION CHANGES AND OTHER MODIFICATIONS AND COMMITMENTS A. Long Term Financing. In order to assist Rogers in replacing its existing indebtedness of Eighteen Million and No /100 Dollars ($18,000,000.00) by obtaining other financing for the System, the City agrees to make the following amendments to the Franchise upon receiving a commitment from a financial insti- tution or lender (within thirty (30) months from date the term of this Agreement commences) to provide such financing contingent only on said amendments becoming effective. and 1. Extend the term of the Franchise by four (4) years; 2. Amend Article XI, Section I.C. of the Franchise so that at the normal expiration of the franchise term, the City shall have the right to purchase the System at fair market value determined on a going concern basis. B. Public Financing Options. The purpose of this Section is to ensure that while private financing -is being explored, as described in this Agreement, continuing discussion and study will -23- also occur_ recognizing that the Commission and City may acquire, own and operate the System (or provide for operation by Rogers or another third party), in order to secure the public financing necessary should private financing not be available. The City and Commission may undertake to evaluate the means of financing the acquisition and to study alternatives to the ownership and operation of all or a portion of the System. The City and Commission may seek any legislation necessary to effectuate such acquisition, ownership and operation. C. Cooperation Between Parties. Commission and Rogers shall meet regularly or at the request of City or Commission during the term of this Agreement to continue to evaluate solu- tions to long term financial and other related problems of the System. ARTICLE VIII. MISCELLANEOUS PROVISIONS A. No Recourse Against the Commission or Member Cities. 1. Rogers shall have no recourse whatsoever against Commission or City and their officials, agents or employees for any loss, costs, expense or damage arising out of any provision or requirement of this Agreement or because of the enforcement of this Agreement. 2. Rogers shall indemnify and forever hold harmless the City and Commission, their respective agents, elected officials, employees, and commissions,- from and against any and all liabilities, claims, losses, damages, costs and • -24- • expenses (including without limitation, reasonable attorneys' fees) arising out of any breach by Rogers of any provision of this Agreement which gives rise to any claim by any third party. 3. Nothing herein shall affect the duty or obligation of Rogers to indemnify the City and maintain adequate liabi- lity insurance pursuant to the terms and conditions of the Franchise. B. Severability. 1. . If any law, ordinance or regulation shall require or permit Rogers to perform any service or shall prohibit Rogers from performing any service which may be in conflict with the terms of this Agreement, then as soon as possible following knowledge thereof, Rogers shall notify City and Commission of the point of conflict believed to exist be- tween such law, ordinance or regulation. 2. If any provision of this Agreement is held by any court or by any federal, or state law, rule or regulation now or hereafter in effect, or is held by such court or agency to be modified in any way in order to conform to the require- ments of any such law, rule or regulation, said provision shall be considered a separate, distinct and independent part of this Agreement and such holding shall not affect the vali- dity and enforceability of all other provisions hereof. In the event that such law, rule or regulation is subsequently repealed, rescinded, amended or otherwise changed, so that -25- the provision which had been held invalid or modified is no longer in conflict with the law, rules and regulations then in effect, said provision shall thereupon return to full force and effect and shall thereafter be binding on Rogers and Commission, provided that Commission shall give Rogers thirty (30) days written notice of such change before requiring compliance with said provision. C. Complete Agreement. This Agreement is entered into in good faith and for the purposes set forth herein. There are no other agreements or understandings between the parties relating to the understandings and agreements made herein. D. Governing Law and Court Jurisdiction. This Agreement is governed by the laws of the State of Minnesota. In any court proceeding relating to this Agreement, Hennepin County District Court shall have jurisdiction. E. Termination for Cause. In addition to the provisions of Article II, Section B, this Agreement may be terminated by mutual agreement in writing of both parties and may also be terminated by City and Commission for cause as follows: 1. In addition to any other remedy at law or in equity, or as provided for under the Ordinance, if at any time City and Commission determine that Rogers has not complied with the requirements of this Agreement or Rogers has attempted to evade any provisions -of this Agreement or Rogers has practiced any fraud or deceit upon the City or -26- • Commission, City and Commission may terminate this Agreement, and all rights, obligations or requirements of this Agreement and this Agreement shall then be null and void; 2. Before termination is effective, City and Commission shall: a. Give Rogers thirty ( 30 ) days notice of its intent to terminate this Agreement for cause and shall specify on the notice a time, date and place for a hearing. b. If Rogers does not appear for the hearing this Agreement is terminated on that date. c. If Rogers appears at the hearing it shall have the burden of establishing, to the satisfaction of City and Commission, that this Agreement should not be ter- minated. City and Commission shall then have thirty (30) days within which to act on the evidence presented at the hearing. d. The decision of the majority of Cities and Commission shall be final and effective on the date it takes action and deposits in the U.S. mail notice to Rogers. F. Caption. The Captions to Sections throughout this Agreement are intended solely to facilitate reading and reference to the Sections and provisions of this Agreement. Such captions shall not affect the meaning or interpretation of this Agreement. -27- G. Interpretation. In the event of any dispute or question as to the meaning, interpretation or application of any term, provision or condition of this Agreement, the Commission, in its sole discretion, shall resolve such dispute or question. H. Other Laws. This Agreement is subject to federal, state and local laws and rules and to the requirements of the Federal Communications Commission and the Minnesota Cable Communications Board. I. Notices. Effective on depositing in U.S. mail to: If to Rogers: If to Commission: If to City: This Agreement is accepted, and we agree to be bound by all its terms and conditions. DATED: CITY OF By Its: By Its: • -28- 0 ) STATE OF MINNESOTA) ss. COUNTY OF ) Subscribed and Sworn to before me this day of , 198 DATED: STATE OF MINNESOTA) ss. COUNTY OF ) SOUTHWEST SUBURBAN CABLE COMMISSION By Its: By Its: Subscribed and Sworn to before me this day of is , 1984. Notary Public DATED: ROGERS CABLESYSTEMS OF MINNESOTA LIMITED PARTNERSHIP, a Minnesota Limited Partnership, By Its: STATE OF ) ss. COUNTY OF ) I hereby certify that on this day of , 1984, before me, an officer fully authorized in the State afore- said and in the County aforesaid to take acknowledgements, per- sonally appeared , to be known and known to be the person described in and who executed the foregoing instruments as of Rogers Cablesystems of Minnesota Limited Partnership, a Limited Partnership named -29- 0 therein, and acknowledged before me that he executed the same as such officer, in the name of and for and on behalf of said partnership. Notary Public DATED: (Parent Company) By Its: -30- 0 • • CITY OF RICHFIELD, MINNESOTA Office of City Manager Council Letter No. 21 Agenda January 14, 1985 The Honorable Mayor and Members of the City Council City of Richfield Subject: Richfield City Official Representation at National League of Cities Congressional Conference Council Members: The National League of Cities /Congressional Conference will be held in Washington D.C. March 23 through March 26, 1985. The new congress will confront key municipal issues, such as whether to reauthorize general revenue sharing and the community development block grant program. It is important that Richfield officials attend this annual conference. In the approved 1985 budget, funds were appropriated for one council member and the city manager to attend this conference. The total cost of the conference is estimated to be $1,000 for each person attending. Council Members Bunce and Sandahl, as well as the City Manager have expressed an interest in attending this conference. This item has been placed on the January 14, 1985 city council agenda in order for the city council to designate the city's representatives to this conference, and to approve their attendance at this conference. The City Manager recommends that the City Council designate Council Members Bunce and Sandahl as our representatives with the City Manager as alternate. JGC /eja 0 R ectfury omi tr t ed , G. ar City PROGRAM IN BRIEF * SATURDAY, MARCH 23 Pre-Conference Seminars ADM* 9:00 a.m. -5:00 p.m. Policy Leaders Telecommunications City Economic Development Computer Literacy 2:00 p.m. -5:00 p.m. Women in Municipal Government Policy Steering Committee Meetings 9:00 a.m.-12:00 noon Human (HD) Development Energy, (EENR) Environment and . Natural Resources Community & (CED) Economic Development Finance, (FAIR) Administration & Intergovernmental Relations 1:30 pm.-4:30 p.m. Transportation & (T &C) Communications * SUNDAY, MARCH 24 7:30 a.m. State Municipal League Presi- dents and Executive Directors Breakfast 7:30 am. Minority- Caucus Coalition Breakfast 9:00 aim.-12:00 noon Policy Committees Plenary Ses- sion on Federal Tax Reform 12:15 p-m- -1:45 pm. Delegates' Luncheon 2:00 p.m. -4;30 p.m. Policy Committee Meetings T &C, HD, EENR, CED. FAIR 4:30 pm.-6:00 p.m. Constituency Group Meetings 6:00 p.m. -7:30 p.m. Welcoming Reception *.MONDAY, MARCH 25 8:00 am.-9:30 a.m. Delegates' Breakfast 10.00 a.m. -12:00 noon Legislative Workshops 12:30 p.m. 2:00 p.m. Delegates Luncheon 2:30 p.m.-4:30 p.m. Legislative Workshops * TUESDAY. MARCH 26 Congressional appointments on Capitol Hill. Shuttle his, .ert-ice Neill be provided from the Hil- ton Hotel to the Capitol contin- uously until 10:00 a.m. Consult your league director for sched- uling Congressional appoint- ments. SATURDAY, MARCH 23 Early Registration: open all day. special interest Group Meeting's Pre - Conference Seminars POLICY LEADERS SEMINAR: MAKING THE MOST OF YOUR COMMUNITY'S ASSETS .ks local budgets get tighter — and as national financial sup- port to cities continues to de- cline—it is more critical than ever for local officials to make the best possible use of the many ph};sical. human. and fis- cal resources which their com- munities possess. This all -dav seminar will offer practical sug- gestions and "real world" tips on how to make better use of cin- assets. Sessions will focus on programs dealing with phys- ical assets ( cin- -owned land in- yenton•ing and management, uses for abandoned buildings. housing stock modifications. surplus propem- and equip- ment acquisition and disposi- tion): human assets ( public pri- vate economic development and small business expansion plans. the use of citizen volun- teers, cin school system coop- er atn e programs): and fiscal as- sets (cash and investment management practices. real es- tate tax and utilin hilling proce- dures). Feef w the sunihiar is S'5. TELECOMMUNICATIONS IN A CKUNGING WORLD The rapidly- changing telecorn- nuutiCttions field presents a % :1 ricty of challenges to local elected officials. Cite leaders have important roles to pLIN :n hush regulature and user, of 110y teleronununiC:uiuns Ierh- nokwws. This den -long enunar \\ill prrn ide local utficiak \yith practical guidance nn how dt- iu< ran rumple with the pn wi- sions of the rerentli-pa.. "cd Ca ble Communications Policy Act I f 19ti4: hoAV Cities rani 0';lna0.• :E PROGRAM and select telephone and other telecommunications sc>tenls «"hick optimize (lie delivers of scn ice, to citizens: and how lo- cal leaders can use tike develop- ment of a telecommunications infrastructure LiS Lin economic deVeloptnetht toot. Fee fur the semineir is S-'.S. FINANCING TECHNIQUES FOR CITY ECONOMIC DEVELOPMENT In toda\`s tight economy. cities are rely ing increasiagty on in- novative Financing mechanisms to support local economic de- velopmeni efforts. This all -da}- seminar will explore the range Of financial resources and tools which local officials can use to promote economic develop- ment in their communities. Tile ,enlillar will focus on the role and limitations of industrial de- velopment bond tin :1110119 in light of the Tax Reform Act of 1963: the «"pcs of Lievelopment asiaance current[\- available Through the states and how- to access it: [ echniques for inte- grating and assembling devel- opillent tillancing for commer. vial. industrial, and mixed use development projects: and the grotcing importance of other rix- exempt financing tools, such as historic prrsenation tax credits, km" income housing in- centives. and leasing Lu-range- nlents. to city economic revicdi- ration program,. Fee for the sollmar is S —� COMPUTER LITERACY FOR CITY OFFICIALS The u,c of computers in local government is growing r:lpidlX" sale,. however. are running ahead of the practical knowl- edge most local officials have about what contputcrs can d1) ,ulci hove itic, can huv thcnt and u,c Ihcnh 1111),1 rt'trc[ivelt. Thi, lac -long seminar 1, An in- U-1)dtliton ' 'ho a't a Rurc- for local otlicial, on the u,r, .Intl linutation, of c.nttr+utur Iech- nt)l ogt tea' local quti rttnlc11t prra n ill. tie „iom, tall N ICU, .m rccrnt Icrhrn�lt�gic;ul aLl t;ulic, hl the „nlilutur 'icla. di,L'u„ the 11111,[ rcicv;uu h,irJ nitre and software programs for municipal uses, and highlight techniques for integrating com- purerized information Svstems into Li. "':ommunit.,`s overall tele- communications infrastructure. Fee for the seminar is S75 WIMG SEMINAR: IMPROVING YOUR MEDIA IMAGE This half -dav afternoon seminar. sponsored b}- NI-C's Women in %lunicipal Government group. will provide women elected leaders with tips on how to deal effectiveh with the media and project a positive public image. The session will focus on how to use the print and electronic media to get }'our message across. highlighting the dos and don'ts of interview and press conference techniques Fee for the setttntry is 40 SUNDAY, MARCH 2`i Policy Committee Meetings PLENARY The federal tax system is de- scribed by its critics as unfair. difficult to administer. inade- quate it) generate the revenues needed to run the federal gov- ernment. and hound by per- verse economic incentives. In anticipation of a two to tour Fear effort to reform the federal tax wgem. NLC's tine standing committees will embark upon a Inalor review of the tax code in 1984 To Inmate this review. a polio\ committee plenar" ses- sion will focus on the topic. Speakers will look at the exist- ing tederal tax ,t5[enl and ma- jor changes heing proposed in it from the viewpoint of local govcrnuncni and conu» Lill it\' nerd•. Tax credits. deductions .Fred exclusion, of J'Allicuhu' henctit to cities and towns will hu Jl,ilh,elt. The Human Development .�nnminec well ualluure n, tie ` t'1OJ) the .on Fresher , tigenLla III cntrhIcntL111 is,uus. 111clud An ori}pnal design M' Rubinson, Pritchard & Boeer. ing the relationship of jobs to issues of education. social sen-- ices. and welfare. The Community and Eco- nomic Development commit- tee will focus on the Commu- ninv Development Block Grant and the Urban Developmen[ Action Grant programs. During 1985, the committee will de- velop polio} regarding the reauthorization of these pro- grams for 1986. The Finance Administra- tion and Intergovernmen- tal Relations committee vvill discuss the President's tax re- form proposals and the prog- ress being made on the Congressionally - mandated study Of federal fiscal relations with state and local governments. This stud %. is heing conducted by the Treasure' Department and will include examination of new revenue sharing formulas. measuring fiscal capacity' and nx)difj'ing the income tax code provisions affecting tax exempt hands and the deductibility' of state and local taxes. The Energy. Environment and .Natural Resources committee will focus on the police and political decisions that the administration and Congress must make in dealing with hazardous wastes and the wa,iewaier construction grants program. Panelists will discuss the Superfund program and its ettcctiveness and the future di- rection of construction grants. Thu Transportation and Communications committee will focus on the future of the Federal highwa\' and tr:ul,it pro - gninis and the role of the ted- ccll government in hodl pro - gtallA * Delegaws Luncheon:.\n ad- nuimtr:aion official will address thu — Interencu Ili a key” urban i„ct• * w elcoming Reception: �Iundav uvc :u[tg, reception will give tut �tjiciab ,I chance to nlcet heir : dlc:ugurs from -ill part, .q r.tc t��untn :old to,h;u'c rx- I)c•flt'tkL', Alld ,i11t1110t11S fit 001 - 111n'11 pre 61vElls. MONDAY MARCH 25 * Breakfast Session: NLC "s presi- dent will outline the League's lobbying priorities for 1985. * Workshops: Morning and afternoon workshops will cover key legislative and regulaton' is- sues, the important polio' mak- ers in Congress and the execu- tive branch, and the points to emphasize in lobb }'ing. * Delegates' Luncheon: A congressional leader will ad- dress the conference on a key urban issue. * State League Lobbving Sessions: State municipal leagues will meet with their congressional delegations to set forth urban viewpoints on ke}' issues. TUESDAY, MARCH 26 * Visits to Capitol Hill: State mu- nicipal leagues and individual cia officials will meet congres- sional delegations to set forth urban viewpoints on ke}' issue, Consult wur league director regarding scheduling. or if t"Utt would like NI.0 to schedule :ul appointment for mu on the Hill during the Conference. cot nhav Llo so by calling 1202) O_1,- 3030 prior « ) tike sleeting. Arc appointment., made by NLC must he confirmed prior to the meeting. 0 i 00 CITY OF RICHFIELD, MINNESOTA tJ Office of City Manager Council Letter No. 19 Agenda January 14, 1985 The Honorable Mayor and Members of the City Council City of Richfield Subject: Request for Reconsideration of the Screen Wall Requirement for the Nautilus Swim and Fitness Club. Council Members: The city council, as a condition of the approval of the final development plan amendment and special use permit for the Nautilus Swim and Fitness Club addition on the north end of the structure occupied by Hauser's Foods and Snyders Drug Store, required that a 75 foot screen wall to be constructed along the west property line adjacent to the Nautilus Swim and Fitness Club addition. In the fall of 1984, the property owners requested reconsideration of that requirement and the council subsequently reduced the length of the screen wall from 75 to 40 feet. The property owners are now requesting that they be able to substitute a wood screen enclosure area for the 40 foot masonry screen wall. The proposed screen fence would be 6 feet high and would be constructed of wood horizontal boards. The fence would extend 12 feet out from the building and then 16 feet parallel to the building. The area would be used to screen the trash dumpsters and transformer and electrical service panel. All other site improvements except tree planting have been completed. It is the position of the city staff that either solution (40 foot masonry screen wall or 16 foot wood screen fence) would provide adequate screening for the nearby residential neighborhood. It is recommended that the city council consider this request and approve or disapprove the alternative proposed by the property owner. Re pectful bmitt,ed, ohn G. Ca twrigh City Manage I V% T'-4 b �! i Fv�� �= --- -- PROJECT #� Fowler Hanley Inc _ - - Engineers- Architects _ 1207 Harmon Place i `I Minneapolis Mn. 55403 — Telephone (612)332 -8728 Fv�� �= --- -- PROJECT #� SHEET NO. ANOW - - 0ES G - -- -- r CITY OF RICHFIELD, MINNESOTA Office of City Manager Council Letter No. 18 Agenda January 14, 1985 The Honorable Mayor and Members of the City Council City of Richfield Subject: City Project No. 813, Storm Sewer Improvement for Richfield State Agency Council Members: Because special assessment bonds will be sold to finance the construction of a storm sewer outlet from the Richfield State Agency property across the Market Plaza site to Richfield Lake, it is necessary for the city council to pass the attached resolutions in order to proceed with the special assessment project. RSA has requested the city to construct the storm sewer and special assess for the cost. It is recommended the city council adopt the following resolutions: 1. Resolution Declaring Adequacy of Petition and Ordering Preparation of Report for C.P. 813, Richfield State Agency Storm Sewer Improvement; 2. Resolution Ordering C.P. 813, Richfield State Agency Storm Sewer Improvement and Preparation of Plans; and 3. Resolution Approving Plans and Specifications and Ordering Advertisement for Bids for C.P. 813, Richfield State Agency Storm Sewer Improvement. JGC /eja Respectful bmitted, ohn G. Cart ight� City Manager • • RESOLUTION NO. RESOLUTION DECLARING ADEQUACY OF PETITION AND ORDERING PREPARATION OF REPORT FOR CITY PROJECT NO. 813, RICHFIELD STATE AGENCY STORM SEWER IMPROVEMENT BE IT RESOLVED by the City Council of the City of Richfield, Minnesota: 1. A certain petition requesting the improvement of construction of a storm sewer outlet from property in the southeast quadrant of 66th Street and Lyndale Avenue to Richfield Lake across public right -of -way and across the property in the northwest quadrant of 66th Street and Lyndale Avenue filed with the Council on October 8, 1984, is hereby declared to be signed by the required percentage of owners of property affected thereby. This declaration is made in conformity to Minnesota Statutes, Section 429.035. 2. The petition is hereby referred to Orr - Schelen- Mayeron & Associates, Inc., and they are instructed to report to the council with all convenient speed advising the council in a preliminary way as to whether the proposed improvement is feasible and as to whether it should best be made as proposd or in connection, with some other improvement, and the estimated cost of the improvement as recommended. Adopted by the city council of the City of Richfield, Minnesota this 14th day of January, 1985• John Hamilton, Mayor ATTEST: Sylvia K. Bergh, City Clerk • 0 • RESOLUTION NO. RESOLUTION ORDERING CITY PROJECT NO. 813 RICHFIELD STATE AGENCY STORM SEWER IMPROVEMENT AND PREPARATION OF PLANS WHEREAS, a certain petition requesting the improvement of construction of a storm sewer outlet from property in the southeast quadrant of 66th Street and Lyndale Avenue to Richfield Lake across public right -of -way and across the property in the northwest quadrant of 66th Street and Lyndale Avenue was duly presented to the council on the 8th day of October, 1984; and WHEREAS, pursuant to resolution of the city council adopted January 14, 1985, a report has been prepared by Orr- Schelen- Mayeron & Associates, Inc., with reference to the improvement, and this report was received by the council on January 14, 1985; NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Richfield, Minnesota: 1. The council finds and determines that said petition was signed by all owners of real property abutting the location of the improvement; 2. Such improvement is hereby ordered as proposed; 3. Orr - Schelen - Mayeron & Associates, Inc., is hereby designated as the engineer for this improvement. They shall prepare plans and specifications for the making of such improvement. Adopted by the City Council of the City of Richfield, Minnesota this 14th day of January, 1985. John Hamilton, Mayor ATTEST: Sylvia K. Bergh, City Clerk RESOLUTION NO. iRESOLUTION APPROVING PLANS AND SPECIFICATIONS AND ORDERING ADVERTISEMENT FOR BIDS FOR CITY PROJECT N0. 813 RICHFIELD STATE AGENCY STORM SEWER IMPROVEMENT WHEREAS, Orr- Schelen- Mayeron & Associates, Inc., has prepared plans and specifications for the improvement of construction of a storm sewer outlet from property in the southeast quadrant of 66th Street and Lyndale Avenue to Richfield Lake across public right -of -way and across the property in the northwest quadrant of 66th Street and Lyndale Avenue as duly presented to the council on the 8th day of October, 1984, and has presented such plans and specifications to the council for approval; NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Richfield, Minnesota: 1. Such plans and specifications are hereby approved; 2. The city clerk shall prepare and cause to be inserted in the official newspaper and the Construction Bulletin an advertisement for bids upon making of such improvement under such approved plans and specifications. The published advertisement shall specify the work to be done, shall state that bids will be received by the clerk until 11 a.m. on Friday, February 15, 1985, at which time they will be publicly opened in the council chambers of the city hall by the city clerk, will then be tabulated and will be considered by the council at 7 p.m. on February 25, 1985 in the council chambers of City Hall, 6700 Portland Avenue South, and that no bids will be considered unless sealed and filed with the clerk and accompanied by a cash deposit, cashier's check, bid bond or certified check payable to the clerk for five percent (5 %) of the amount of such bid. Adopted by the City Council of the City of Richfield, Minnesota this 14th day of January, 1985. ATTEST: Sylvia K. Bergh, City Clerk • John Hamilton, Mayor r- 34, 1 c , , - _ �e .,ernc�c Ccmacrnes .6..0 .,helcr� �o�ver Mmnecaa�s..✓iN S;,a�b 61�:�t.5 546-2276 11 October 1984 City Council CITY OF RICRFIZU 6700 Portland Avenue South Richfield, :Minnesota 55423 Gentlemen: As you know, Richfield State Agency, Inc. has petitioned for major storm sewer addition which will run along 66th Street in front of Market Plaza then north along the private drive, Woodlake Drive, across 65th Street to Richfield Lake. On September 18, 1984, you received a petition from Richfield State Agency to construct this storm sewer and outlet. This petition waived any public hearing on such project and agreed that it be undertaken by the City as an assessable public improvement project. The petition was made with the understanding that the total cost of the project less the sum of $15,000 be assessed against Richfield State Agency. In meetings with Richfield State Agency and our engineer it was estimated that this improvement would provide a savings to 'iarkat Plaza, Inc. of $15,000, rather than providing our own storm sewer outlet. At these meetings it was agreed that w.arket Plaza, Inc. would pay the $15,000 as special assessment as it relates to this storm sewer. This petition is made with an understanding that $15,000 :could be assessed against :Market Plaza property being payable over 20 years with an interest of an annual rate not to eXceed 11 more than the City's average annual interest cost on bonds issued to finance the project. Sincerely, MARKET PLAZA jOLiT PE=R—Tr RDD:EJP:clb Attachment '1� 10 • 40 September 13, 1984 City Council City of Richfield 6700 Portland Avenue South Richfield, MN 55423 Gentlemen: As you know, Richfield State Agency, Inc. stantial improvements to its property in quadrant of the intersection of 66th and description of the property of Richfield is attached to this letter. is making sub - the southeast Lyndale. A legal State Agency, Inc. Our plans call for the excavation of the area along 66th Street to provide a depressed narking lot. This will necessitate a storm sewer outlet from the parking lot area. We have consulted with Orr - Schelen- Mayeron & Associates, Inc._, with representatives of the city, and with representa- tives of Market Plaza, Inc. (developer of the property in the northwest quadrant of 66th and Lyndale). A preliminary study and cost estimate has been prepared by our engineers, Orr - Schelen- Mayeron & Associates, Inc., for a storm sewer outlet which would lead from our property through the inter- section to the southerly edge of the Market Plaza project; thence along their property to a point between Market Plaza's condominium project and its commercial project; thence on a new road to an outlet in Richfield Lake. We are advised by our engineers that the estimated construc- tion cost of this project is $170,000. Richfield State Agency, Inc. hereby petitions the city of Richfield to construct this proposed storm sewer outlet. We waive any public hearing on such project and agree that it may be undertaken by the city as an assessable public improve- ment project. This petition is made with the understanding that the total cost of the project, except the sum of $13,000 to be assessed against the Market Plaza property, may be especially assessed against our property, with the special assessment being • City Council September 18, 1984 Page 2 payable over 20 years, with interest at an annual rate not to exceed one percent (1.000 more than the city's average annual interest cost on bonds issued to finance the project. very truly yours, RICHFIELD STATE AGENCY, INC. _By L e Its By Its Attachment a • - FEASIBILITY REPORT - RICHFIELD BANK STORM SEWER PRELIMINARY REPORT & ESTIMATE OF COST FOR STORM SEWER AND APPURTENANT WORK PROJECT NO. 813 FOR THE CITY OF RICHFIELD, HENNEPIN COUNTY, MINNESOTA JANUARY 14, 1985 I. TYPE OF WORK This report covers the installation of storm sewer and appurtenant work. II. REASON FOR PROJECT The proposed storm sewer will provide the removal of surface storm water from the two parcels shown on the attached map. This project is necessary to provide storm water drainage for the depressed parking lot of the Richfield Bank & Trust Co. The existing storm sewer that currently serves the bank property is • too shallow to drain the depressed parking lot. • III. LOCATION The general location of the project is the area from West 66th Street and Lyndale Avenue South to the northwest to West 65th Street and Graham Avenue. IV. DESCRIPTION OF PROJECT The proposed gravity storm sewer system will drain the Richfield Bank & Trust Co. basement level parking lot and will also provide a trunk storm sewer for the Market Plaza Area. The upstream end of the gravity storm sewer will be in the southeast corner of Lyndale Avenue and 66th Street. The storm sewer will be jacked or tunnelled across the Lyndale Avenue and 66th Street intersection. After the Godfather building has been removed, the proposed storm sewer will be installed along the north side of 66th Street. Then the line will be installed through the Market -1- Plaza Development in an easement 240 feet easterly of Graham Avenue from 66th do Street to 65th Street. The proposed storm sewer in the Market Plaza area will be designed to include catch basin lead stubs to provide drainage of the Market Plaza'a parking lots. 65th Street will be closed temporarily during the instal- lation of the storm sewer as it crosses 65th Street. The proposed storm sewer will discharge into Richfield Lake and will be combined with the 31" x 51" exist- ing storm sewer line from 65th Street to the outlet into Richfield Lake. The proposed storm sewer will have the capacity to drain the depressed park- ing lot of the Richfield Bank & Trust Co. during a 100 year rainfall event. All areas that are disturbed during construction will be replaced to their original condition. V. TIMING It is proposed to construct this project during the spring and summer of 1985. VI. LENGTH OF PROJECT This project has a total length of approximately 1,000 lineal feet of 30 ", 36" and 60" storm sewer. VII. FEASIBILITY From an engineering standpoint, the project is feasible and can be installed as proposed and does not need to be in conjunction with any other project. VIII. ESTIMATED COST Construction Costs 25% Indirect Costs Total Project Costs $160,000.00 40,000.00 $200,000.00 0 -2- a • • IX. PROPERTY TO BE ASSESSED Parcel A - All that property lying south of 66th Street, west of Grand Avenue, north of 67th Street and easterly of Lyndale Avenue; also Parcel B - All that property lying northerly of 66th Street, easterly of Graham Avenue, southerly of 65th Street and westerly of Lyndale Avenue; except Tract "A ", R.L.S. No. 1318, all lying within the City of Richfield, Hennepin County, Minnesota. X. ESTIMATED ASSESSMENT The estimated assessment is as follows: Parcel A (Richfield Bank & Trust Co.) $185,000.00 Parcel B (Market Plaza) 15,000.00 Total Estimated Assessment $200,000.00 XI. CERTIFICATION I hereby certify that this plan, specification, or report was prepared by me or under my direct supervision and that I am a duly Registered Pro- fessional Engineer under the laws of the State of Minnesota. John P. Wingard, P.E. ORR- SCHELEN- MAYERON & ASSOCIATES, INC. Date: January 14, 1985 -3- Reg. No. 15108 ca W • NA\1 .......... p (D :z GARFIELD M)l 0 i) po "j. M HARRIET AVE. "(I tt. 'k y ((Wp OT G IR A 9\4 1) (;(ttttttt- AV E. Co Cm il-----l--------..---- Z)> kkl C- 0 m rn • NA\1 .......... p (D :z GARFIELD M)l 0 i) po "j. M HARRIET AVE. "(I tt. 'k y ((Wp OT G IR A 9\4 1) (;(ttttttt- AV E. Co Cm il-----l--------..---- o P), (n 0 0 cn cn rn -V rn In -4 K V) rg F9 rT" ,u X rn M N z a I Z)> C- 0 m rn o P), (n 0 0 cn cn rn -V rn In -4 K V) rg F9 rT" ,u X rn M N z a I CITY OF RICHFIELD, MINNESOTA Office of City Manager Council Letter No. 17 Agenda January 14, 1985 The Honorable Mayor and Members of the City Council City of Richfield Subject: Traffic Signal Agreement with Hennepin County - 69th Street and Penn Avenue South Council Members: Hennepin County has submitted plans and a construction intergovernmental agreement to the City of Richfield for the construction of a traffic control signal system at the intersection of West 69th Street and Penn Avenue South. The agreement is attached for council review. Hennepin County will prepare the necessary plans, specifications and proposals, perform the required engineering • and inspection, and supervise the installation of a fully traffic actuated signal system at this intersection. The City will pay the County seventy -five percent (75 %) of the actual construction cost of the traffic control signal system with integral street lights, plus fourteen percent (14 %) as payment for engineering and inspection for the project. Municipal State Aid (M.S.A.) funds will be used to pay Richfield's portion of the costs. The estimated construction cost of this project is $53,600. Construction will occur in 1985• Dennis Hansen, the Hennepin County Traffic Engineer, has determined that the signal is warranted due to the traffic volumes on Penn Avenue and 69th Street. The cars entering Penn Avenue from the west leg of 69th Street must wait too long for an adequate gap in the Penn Avenue traffic flow. Upon completion of the installation, the County will maintain and repair the signal system at the sole expense of the County. The City will provide the electrical energy for the operation of the signal system and integral street lights and relamping of the integral street lights. The city staff recommends that the city council pass the attached resolutions to: 41 L� 40 -2- 1. Approve the plans for a signal system at West 69th Street and Penn Avenue South; Hennepin County Project No. 8327 2. Approve construction and and Penn Avenue 19 -84. JGC /eja the agreement for participation in the operation of the signal system at 69th Street South with Hennepin County; Agreement No. PW -37- Respectfbmitted, ohn G. Car righ City Manager RESOLUTION NO. RESOLUTION TO APPROVE PLANS FOR HENNEPIN COUNTY PROJECT NO. 8327 (City Project No. 815) WHEREAS, plans for Hennepin County Project No. 8327 (City Project No. 815) showing the proposed traffic control signal system at the intersection of Penn Avenue (County State Aid Highway 32) and West 69th Street for the construction thereof within the limits of the City of Richfield have been prepared and presented to the City; NOW, THEREFORE, BE IT RESOLVED by the City Council of Richfield, Minnesota: 1. That such plans are hereby approved; 2. That such share of the costs of this project to be borne by the City of Richfield will be paid by Municipal State Aid (M.S.A.) funds; 3. That said Hennepin County Project No. 8327 shall also be known as Richfield City Project No. 815 and has been assigned State Aid Project (S.A.P.) No. 157- 353 -02. Adopted by the City Council of the City of Richfield, Minnesota this 14th day of January, 1985. ATTEST: Sylvia K. Bergh, City Clerk • John Hamilton, Mayor RESOLUTION NO. RESOLUTION APPROVING AGREEMENT NO. PW- 37 -19 -84 WITH HENNEPIN COUNTY FOR CONSTRUCTION AND OPERATION OF A TRAFFIC SIGNAL CONTROL SYSTEM AT 69TH STREET AND PENN AVENUE (C.P. NO. 815, HENNEPIN COUNTY PROJECT NO. 8327, S.A.P. 157- 353 -02) WHEREAS, it is mutually desirable to install a full traffic actuated traffic control signal system with mast arms and integral street lights at the intersection of Penn Avenue (C.S.A.H. 32) and West 69th Street within the City of Richfield; AND WHEREAS, agreement for participation in the construction and operation of a traffic control system on Penn Avenue (C.S.A.H. 32) and West 69th Street, Hennepin County Project No. 8327, Agreement No. PW- 37 -19 -84 has been prepared and presented to the city. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Richfield, Minnesota: 1. That said agreement be in all things approved; 2. That the mayor and the city manager are hereby authorized to sign agreement No. PW- 37- 19 -84, Hennepin County Project No. 8327. Adopted by the City Council of the City of Richfield, Minnesota this 14th day of January, 1985• ATTEST: Sylvia K. Bergh, City Clerk • John Hamilton, Mayor Agreemment No. PW 37 -19-84 CSAH 3 attW. 199 Streeto.8327 2 City of Richfield ` County of Hennepin AGREEMENT FOR PARTICIPATION IN MBE CONSIWCrION AND OPERATION OF 'TRAFFIC CONMM SIGNAL SYSTEM AND INTEGRAL STREET LIGHT 5HIS AGRE04ENT, Made and entered into this day of , 19 , by and between the County of Hennepin, a body politic and corporate under the laws of the State of Minnesota, hereinafter referred to as the "County" and the City of Richfield, a body politic and corporate under the laws of the State of Minnesota, hereinafter referred to as the "City".. WHEREAS, It is considered mutually desirable to install a full traffic actuated traffic control signal systan with mast arms and integral-street lights at the intersection of County State Aid Highway No.32 (Penn Avenue) and West 69th Street within the City; and WH1=AIS, The City has expressed its will to participate in the construction and operating cost of said signal system and integral street lights; and WHEREAS,. Said work shall be carried out by the parties hereto under the provisions of M.S. Sec. 162.17. -1 Agreement No.PW 37-19-84 NOW, MEREF'ORE, IT IS AM= AS FCLLOWS: • I The County shall prepare the necessary plans, specifications, and proposals; shall perform the required engineering and inspection; and shall install, or cause the installation of a full- traffic actuated traffic control signal system with mast aams and integral street lights at the intersection of County State Aid No.32 (Penn Avenue) and West 69th Street. Such installation, as described immediately above, shall be identified and accomplished under. Hennepin County Project No. 8327. hereinafter referred to as the "project ", all in accordance with said project plans and specifications which plans and specifications are by this refereace made a part hereof.. The term specifications as used herein shall mean the 1983 Edition of the Minnesota Department of Transportation "Standard Specifications for Construction" and the project special provisions. III The City agrees that any City license required to perform electrical work within the City shall be issued to the Contractor or the County at no cost to the Contractor or the County. Electrical inspection fees shall be not more than those established by the State Board of Electricity in the most recently recorded Electrical Inspection Fee Schedule. 9 -2- Agreement No.PW 37-19-84 N The City shall install, or cause the installation of an adequate three wire, 120/240 Volt, single phase, alternating current electrical power connection to the controller cabinet of the project at the sole cost and a of the City. i P ] Y • The City shall provide the electrical energy for the operation of the traffic control signal system and integral street lights to be installed under the project, all at the sole cost and expense of the City. V The County will advertise and receive bids for the construction. of this project.. Following the receipt of such bids, the County shall promptly submit to the City a copy of the abstract of bids received for the project together with a request - -- -for-- cancurrernae - -by --thy- City- - or the City Engineer in- the award of a -.... construction contract. The County shall not make a construction contract award for the project until the City or the City Engineer advises the County in writing of concurrence in such award. VI The construction cost of the project shall be the contract cost. It is understood that the estimated construction cost stated hereinafter is for informational purposes only. The estimated construction cost of this project is $53,600.00 -3- Agreement No.PW 37-19-84 VII The City shall, as it share of the construction costs gay the County seventy five percent (75 %) of the actual construction cost of the traffic control signal system with integral street lights, plus fourteen percent (14 %) of such share as payment for Engineering and Inspection of the County Project No.8327. The City shall, based on the contract price, deposit with the .Hennepin County Treasurer ninety percent (90 %) of the estimated City's share of the construction and engineering costs as partial payment within thirty (30) days after award of contract. The remaining amount of the City's share of construction and engineering costs of this project shall be paid to the County upon completion of the project and submittal to the City of the County's final, itemized, statement of the project costs. In the event the partial payment exceeds the City's share of these final costs, such overpayment shall be returned to the City by the County. VIII The City shall not revise by addition or deletion, nor alter or adjust any component, part, sequence, or timing of the aforesaid traffic control signal system; however, nothing herein shall be construed as restraint of prompt, prudent action by properly constituted authorities in situations where a part of -4- Agreement No.PW 37-19-84 such traffic control signal system may be directly involved in an emergency. EW Upon completion of the work, the County shall maintain and repair said traffic control signal system at the sole cost and expense of the County. Further, the County shall.maintain the integral street lights for the City except for m irntaining photoelectrical controls, relamping, glassware, and cleaning of the glassware thereof. X The construction of this project shall be under the supervision and direction of the County.. However, the City Engineer shall cooperate with the County Engineer and his staff at their request to the extent necessary, but will have no responsibility for the supervision of the work. XI It, is further agreed that the County shall not be responsible or liable to the City or to any other person or persons whomsoever for claims, damages, action, or cause of action of any kind or character arising out of or by reason of the performance of any work or part hereof by the City as provided for herein; and the City further agrees to defend at its sole cost and expense any action or Proceeding. commenced for the purpose of asserting any claim of whatsoever character arising in connection with or by virtue of performance hereunder by the City. -5- Agreement No.PW 37-19-84 It is further agreed that the City shall not be responsible or liable to the 0 County or to any other person or persons whomsoever for claims, damages, action, or cause of action of any kind or character arising out of or by reason of the performance of any work or part hereof by the County as provided for herein; and the County surther agrees to defend at its sole cost and expense any action or proceeding commenced for the purpose of asserting any claim of whatsoever character arising in connection with or by virtue of performance hereunder by the County. a It is further agreed that any and all employees of the City and all other persons engaged by the City in the performance of any work or services required or provided for herein to be performed by the City shall not be considered employees of the County, and that any and all claims that may or might arise under the Worker's Compensation Act or the Unemployment Compensation Act of the — State of Minnesota on behalf of said employees while so engaged and any and all claims made by any third parties as a consequence of any act or omission on the part of said employees while so engaged on any of the work or services provided to be rendered herein shall in no way be the obligation or responsibility of the County. Also, any and all employees of the County and all other persons engaged by the County in the performance of any work or services required or provided for herein to be performed by the County shall not be considered employees of the City, and that any and all claims that may or might arise under the Worker's Compensation Act or the Unemployment Compensation Act of the State of Minnesota on behalf of said employees while so engaged and any and all claims made by any • • Agreement No.PW 37 -19 -84 third parties as a consequence of any act or omission on the part of said employees while so engaged on any of the work or services provided to be rendered herein shall in no way be the obligation or responsibility of the City. EAN The provisions -of M.S. 181.59 and. of any applicable local ordinance relating to Civil Rights and discrimination and the affirmative action policy statement of Hennepin Cavity shall be considered a part of this agreement as though fully set forth herein. -7- Agreement No. Phi 37-19-84 Hennepin County Project No.8327 CSAH 32 at West 69th Street City of Richfield County of Hennepin IN TESTIMONY F, The parties hereto have caused this agreement to be executed by their respective duly authorized officers as of the day and year first above written. CITY OF RICHFIELD By— Mayor (SEALS Date._ ,. Manager Date Ar I ROM Li1TYa1'1' : By Deputy Clerk of the County Board Chairman of Its County Board . . Date Upon proper execution, this agreement will be ly valid and binding. By Assistant County Attorney DATE: 07- Approved as to execution: By Assistant County Attorney Date Date and Associate County Administrator and County Engineer Date. By:_ Director. Department of Transportation Date- -8- • • CITY OF RICHFIELD, MINNESOTA Office of City Manager • Council Letter No. 16 Agenda January 14, 1985 The Honorable Mayor and Members of the City Council City of Richfield Subject: Resolution Relating to Processing of Certain Construction Permits in the Interstate -ILN Study Area Council Members: The city attorney has prepared a suggested resolution for consideration by the council which would authorize the staff to continue to issue routine construction permits in the Interstate - Lyndale area pending consideration of the interim ordinance. A copy of this resolution is attached to this council letter and has been placed on the January 14, 1985 city council agenda for council action. pectf 1 ubmitted, 4 John G. Ca wrig City Manager JGC /eja • • RESOLUTION NO. RESOLUTION RELATING TO THE PROCESSING OF CERTAIN CONSTRUCTION PERMITS IN THE INTERSTATE - LYNDALE AREA WHEREAS, on December 17, 1984, this council adopted Resolution No. relating to the issuance of permits in the Interstate - Lyndale area, and WHEREAS, certain construction permits of a routine maintenance nature need to be processed by city staff pending council consideration of an interim zoning ordinance placed on first reading on that date, NOW, THEREFORE, BE IT RESOLVED by the city council of the City of Richfield as follows: Notwithstanding the restrictions, limitations and prohibitions contained in the aforementioned Resolution No. , the city staff may process and, where appropriate, grant routine construction permits in the Interstate - Lyndale area provided that such construction permits would comply with criteria contained in Section 3 of the aforementioned interim ordinance. • • • O �z- D i I i a \ ! `U• STATE HIGHWAY N4. 3511/ 1k t+ jai =Iil 1131 a Aptisl • t � `1 \� � ' � 31�i�1 ;,`�islij j? a i e � = j ; a � ! �� %� i ' � i i�dl3jdtdjdl a I aI.) yl#ltlll g j,'tiil i 13ibj a a I o dl#18� #I iAtdl3! #1! t j:!$lal d �d{ a l;i3i Aq. N �,� ? �E�Q Y $ ? la► l4i�� i!I $ I3i$j 0 m row �'�� A"L ,y . fa _�� 3 Isj :!ai <1313 i 01"1111?<IEIulil$I$/ 3!x! 3 ► ?IEISi$!$I$I�� m �3 i gi3j #I I i �a {= alyl °f _I3 '�� �Is a I: ails 1 dalsidlsliQlssj:j13J�3ji �jsia;�ja1�!e m � E iIa "a1� aja i si:�sisla��dj,jataisls I�iaj7 {i ►3lajalSle;! $ laj � a' alalsl3 !11�;ldldj #i$131yj3i #IEI9 al?;dj';IYi31$I,IQ!31 s f 3t =�; � s I dl s= ai�j>uaiai:t�I.i;EI; j� � a j 3 jaj,lsjs!�j,ia AV% ad A ,•� i I_ .� � a laieisjsi s j ;!3 i�ai�t�N�j�131aialsa��lsjajajaisiaj� ,' li ,�. '� Id\ Ia�sl:!5►Ei: � �91�£! #1xi,!,!#i31:!# �'I$ ►3{dl @14I$�6'13IaIil31� /AUNUMI AM a, y �Isi$i;ISl.js�dl 3!rl$la!;$ .jajNajaj3j3t317ie'�° LYHDALE -- - -AV _.SOUTH I 3 1 ➢I31H� $ ij� 31 ? i3 j I i I i � d ' •� $�iI IlI3I! � a I$IEIL� ?1ijS � i {7!!jt i i 1 3 / a I!I ! i jil$la,$lllt I a ►3I 71! I � i I I 3 =� ca mar •s a f I j a �a a :IililZl°,jllm 1131 Idl1 $ I 30 �1 a a jal�jilalsls 1st$jsl3i i a m •R I o6 I I✓ 4 , _ ? I3 71L13Iij3 i $It13131 $ I I. -�—�, n le E o % ajaiai ?laiai3{ai i.— m ,� I lil;;lh�alal:i:iSltiilt� �li41:!31a13� 7 i ro i ' '41111 i t dlall i lillialEi3 i ilalalt13171313j :jlj3131si7itlslaj � ! 13 1 i $I$ ►$�alEltl9!E i 3itlilai914�tj3 aI3li1y181:'ItI7j AM .d tI i 3j alEjali�sja�! ilij�ial�1 ;; #►al ►gIallfslslajFlal $i3�$Itl31a! t llyitlli �� Ilalll�I: l: 111�12j#! ;I;I;1liallla{altl fill altllitl• I Tr i aj 31!l it ij it ¢ly;;i al al?i 31313I3J 1 21 al t!4! I I G I 11 a I' �^ NICOi.6ET I I AY�Il7E 30iJTN j /�,� � � g 131:1 '�tIS � 31 71 31 21 31dIxlli il13j =1;IIi =1513 CITY OF RICHFIELD r co D .p • • • RESOLUTION No. A RESOLUTION RELATING TO THE ISSUANCE OF PERMITS IN THE INTERSTATE LYNDALE AREA WHEREAS, the city council of the City of Richfield finds that the formation of a new land use plan and program for de velopment and redevelopment of that area of the City generally referred to as the "Interstate- Lyndale Area ", hereinafter re- ferred to as the "Area ", the boundaries of which area are more specifically described in section one of the interim zoning ordinance bill number , as a means of guiding future-development of land in the area is necessary to insure a safer, more pleasant, more economic environment for residential, commercial, industrial and public activities, and to promote the public health, safety`, and general welfare of Richfield's citizens; and ,1 WHEREAS, the city council also finds that the formation of a land use plan and development- redevelopment program for the Area could bring about significant savings in both private and public expenditures, enable public and private agencies to plan their activities in harmony with the land use plan and development - redevelopment program to be formulated, assist in developing lands more wisely to serve citizens more effectively, make the provision of public services less costly, and achieve a more secure tax base; and WHEREAS, the city council in order to further promote the public health, safety, and general welfare of the citizens of Richfield has held the first reading of an interim zoning ordinance, bill number , for the purpose of protecting the planning process in the Area, regulating, restricting and prohibiting certain uses,'developments and subdivisions within the Area, pursuant to Minnesota Statutes Section 462.356 Subdivision 4, and has made findings in Section l of bill number which findings are included and adopted by reference as a part of this Resolution; and WHEREAS, the City Charter mandates that the interim ordinance not take effect until after 30 days from the date of publication of the ordinance; and WHEREAS, immediate action is needed to commence the planning process for the Area and to effectively protect the planning process and to insure that the benefits of municipal planning for the Area are secure by the City of Richfield and its citizens; NOW, THEREFORE, BE IT RESOLVED by the city council of the City of Richfield, that the city manager and city staff are authorized and directed to: 1. take immediate action initiating the planning process for the land use and long term development - redevelopment of the Area; • 2. prepare and submit to city council as soon as practicable a proposal outlining the scope of proposed planning studies and the resources and personnel required to undertake and complete such studies; and 3. formally contact the Richfield Housing and Redevelopment Authority on behalf of the city to inform them of the proposed planning study for the area, and to request that the Authority provide funds for and participate in the study. BE IT FURTHER RESOLVED that the city staff is authorized and directed to halt the processing of all requests or applications for any variances, permits, licenses, rezonings, and land divisions made pursuant to Richfield City Code Chapter III part IV, and to stop accepting any additional applications for platting made pursuant to Richfield City Code Chapter III part VI, for property located within the InterstateLyndale Area of.the City of Richfield. The prohibition against the processing of the requests and applications contained in this resolution shall not include any applications or requests approved by the council prior to December 18, 1984. This Resolution shall take effect upon its adoption and shall remain in effect until the interim zoning.ordinance, bill No. _, becomes effective, or 120 days after passage of this resolution, whichever occurs first. Passed and adopted by the City Council of the City of Richfield, Minnesota, this day of , 1984. Mayor Attest: City Clerk • • • • SILL NO. TRANSITORY ORDINANCE NO. AN INTERIM ZONING ORDINANCE ADOPTED FOR THE PURPOSE OF PROTECTING THE PLANNING PROCESS IN A CERTAIN AREA OF THE CITY, REGULATING, RESTRICTING AND PROHIBITING CERTAIN USES, DEVELOPMENTS AND SUBDIVISIONS WITHIN SUCH AREA. CITY OF RICHFIELD DOES ORDAIN: Section I. The city council of the City of Richfield finds as follows r ' A. The city is concerned with the proper and more economic use, development and possible redevelop- ment of that area of the city generally referred to as the "Interstate- Lyndale Area ", hereinafter referred to as the "Area ", the boundaries of which Area are more specifically described as follows: All of the property between Interstate No. 35W and the Minneapolis Northfield Southern. Railroad tracks and south of 77th Street with the following ad ditions: (a) the area west of Emerson Avenue, east of Interstate No. 35W, bet- ween 76th and 77th Streets; (b) in the area between Emerson and Aldrich Avenues, the Ifirst parcel abutting the north side of 77th Street; (c) the entire block between Aldrich and Lyndale Avenues south of 76th Street; (d) the east one- half block of the block between Aldrich and Lyndale Avenues and between 75th and 76th Streets; (e) the west one - half of the block between Lyndale and Garfield Avenues, south of Century Court apartments and north of 76th Street; (f) the entire block between Lyndale and Garfield Avenues between 76th and 77th Streets; and (g) between Garfield and Pleasant Avenues, the first parcel abut- ting'the north side of 77th Street. B. There are a number of planning and land use issues arising in the Area which require comprehensive planning, among which are the following: 1. The city is deficient in commercial and industrial tax base. Very little un- developed land remains within the city. The location of the-Area is such that with proper planning it has the potential to provide a location for some of the most valuable and desirable commercial and /or industrial development within the city. 2. The Area presently contains tracts of undeveloped or underdeveloped land which cannot be developed to the optimum with- out improving access and improving traffic patterns. 3. The Area may best be developed pursuant to a unified plan and /or in large segments rather than on a piecemeal basis. 4. The Area contains a number of buildings which are aging and appear to be in a deteriorating condition. Some parts of _ the Area.present a poor visual appearance because of such factors as lack of uniform setbacks, unrelated facades, inadequate or inappropriate loading and unloading areas, insufficient parking, excessive land coverage, conflicting . traffic movements and other functional inadequacies. 5. Present streets serving the Area do not appear to•provide the best access from main thoroughfares to some parcels at the east and west edges of the Area. 6. The Area includes and is bounded by single - family residence districts which are jeopardized or adversely aiefected by non - residential traffic. There appears to be a need to relocate and redesign streets and other traffic control facilities in and around the Area so as to safeguard such residen- tial areas and so as to minimize existing land use conflicts. 7. Several of the streets in the Area are of substandard design. It appears necessary and-desirable to formulate a long -range master plan for control and movement of traffic within and around the Area. 8. It appears necessary and desirable to avoid further piecemeal development and redevelopment of the Area so as to re- verse the undesirable development patterns which have existed and which now exist within the Area including fragmented land ownership and under- utilization of the land. 9. It appears that there are or may be sub- standard building conditions and unsafe and unsanitary buildings and structures used or intended to be used for indus- trial or other purposes within the Area. 10. It appears that by reason of socio- logical and technological changes, as well as by reason of dilapidation, ob- solescence and the faulty arrangement or design of buildings and improvements in the Area, there-is a need for compre- hensive planning and development of the Area. 11.. It appears that there is or may be a lack of suitable public facilities, excessive land coverage in some parts of the Area., deleterious land use, and obsolete lay - out of -land tracts and developments, requiring planning and redevelopment. 12. The foregoing factors and other factors are found to be injurious to the health, safety, morals and-welfare of the citi -- • tens and property owners of the city and persons occupying property or wo =king and being in and around the Area. 13. The presence of such conditions has caused an impairment of the value of private investments, has threatened sources of public revenues, has deprived the community and its resi- dents of better facilities and job opportunities, and has otherwise ad- versely affected the public welfare. C. There is a need for the formulation of a new comprehensive plan and program for the development and /or redevelopment of the Area. Such plan and program will require intensive study over a number of months. There is a need for an interim ordinance applicable to the Area for the purpose of protecting the planning process and the health, safety and welfare of the citizens of the �---� city and to insure that. the city and its citizens retain the benefits of • the new comprehensive plan and development- redevelopment program for the Area. There is a further need to regulate, restrict or prohibit ,uses, developments or sub- divisions of land within the Area during the planning process, so as to avoid the" occurrence of events which will be inimical to the orderly development and redevelopment of the Area in future years. Section 2. During the period that this interim ordinance is in effect, no property within the Area shall be developed or redeveloped nor shall any licenses or permi'bs, rezonings, plattings J or land divisions pursuant to Richfield Code of Ordinances, Chapter III, Parts 1, IV and VI, be issued by the city for any such development or redevelopment except as provided in Section 3 hereof. Section 3. Notwithstanding the limitations, restrictions, and prohibitions contained in the foregoing Section 2, the city council may grant permits for development or redevelopment within the Area, but only if it finds that the develop- went or redevelopment involved will comply with the following criteria: A. The permit will not involve the construction of .a new building or the enlargement of an existing building. B. The construction will not materially change the future use, development or redevelopment of the property involved or any'iajacent properties. C. The construction will not increase the fair market value of the property in- volved by more than ten percent. D. The construction of the improvement will not intensify traffic or parking problems on the subject property, adjacent properties, or adjacent highways and streets. E. The proposed project will not exacerbate or intensify conflicts between residential and non - residential traffic within the Area. F. Granting of the permit will not make a material difference in or create a serious impediment to the development or redevelopment of the property involved upon completion of the planning process. G. The permit will involve the repair, maintenance or safeguarding of existing structures or the completion of building interior improvements which are necessary to the proper continued utilization of the property pending the planning process. Section 4. This ordinance shall remain in effect for a period of one year from its effective date, provided that in the event the planning process has not been completed within the one year period,i.ts effectiveness may be extended for such additional periods as the city council may by resolution determine to be appropriate, not exceeding a total additional period of eighteen (18) months. Passed by the City Council of the City of Richfield, Minnesota, this day of , 1984. ATTEST: City Clerk Mayor CITY OF RICHFIELD, MINNESOTA�C Office of City Manager 0 Council Letter No. 15 Agenda January 14, 1985 The Honorable Mayor and Members of the City Council City of Richfield Subject: Ordinance Amendment to the Municipal Code Relating to Investigation Enforcement Penalties of the Human Rights Commission Council Members: When the Human Rights Commission was established in 1969, the Commission was given the authority to investigate discrimination complaints. The commission could also request the assistance of public safety personnel and the city attorney. A few years ago, the Minnesota State Human Rights Depart- ment, established the "No Fault Grievance Procedure" to be utilized by local commissions in dealing with discrimination complaints. The City Council authorized the Richfield Human Rights Commission to use this procedure. The No Fault Grievance Procedure is a process in which the local commission acts as a neutral party in handling complaints. If the local commission is unable to resolve the problem between the complaintant and the respondent, the person initiating the claim in advised by the commission to either file the claim with the State of Minnesota Human Rights Department or to file with a private attorney. Under the No Fault Grievance Process, the local commission does not have the authority to compel both parties to participate in the process, nor does it have the authority to enforce a settlement. All members of the local commission are trained in this No Fault Grievance Process by facilitators of the State Department of Human Rights. Since the Richfield Human Rights Commission now utilizes the No Fault Grievance Process, it is recommended that the ordinance establishing the commission be amended to bring the ordinance into compliance with the practice that is now being utilized. A copy of the proposed ordinance amendment is attached to this council letter, and has been placed on the January 14, 1985 city council agenda for first reading consideration. R e c t f ubmitted, hn G. Car wrigh City Manager • AMENDMENT TO CHAPTER XII SECTION 12.23, SUBDIVISION 6 (A) TO THE ORDINANCE ESTABLISHING THE HUMAN RIGHTS COMMISSION CITY OF RICHFIELD DOES ORDAIN: Chapter XII, Section 12.23, subdivison 6 (a) of the Ordinance Code of the City of Richfield entitled "Investigation Enforcement Penalties" is amended by amending subdivision 6 (a) thereof to read as follows: (a) In addition to the responsibilities conferred upon it by Subdivision 5, paragraph (6) of this section, the Commission may receive and investigate complaints of alleged violations of this section. The process to be used by the Commission in investigating alleged violations shall be the No Fault Grievance Process formulatedFby the Minnesota State Department of Human Rights. ��e-£ aeaee- a�- ee�aes- ie- £- i�- feeegee- a -�ieee 4eAtee- t-i - a €- 1#11ie- 4 ge -t-iiq a € -,ae �we�a��e- eet�se- �e- �e�- ie�e -��a�- saes- e- a�a�.a��se- �es- eeeaeee� ; -tee ��°e��- fed- �e- ��e- ee�n�►3ss ;eta- Passed by the City Council of the City of Richfield this day of , 1985. ATTEST: Sylvia K. Ber�'n City Clerk • John Hamilton Mayor • is • CHAPTER XII PART III. COMMISSIONS. 12.23 ESTABLISHMENT OF HUMAN RIGHTS COMMISSION. Subdivision 1. Scope of Section. It is hereby declared that it is the public policy of this city to fulfill its responsibilities as a partner of the State Department of Human Rights in securing for all citizens equal opportunity in housing, employment, public accommodations, public services and education, and to fully implement those goals set forth in Minnesota Statutes, Section 363.12, Subdivision 1, the Minnesota Human Rights Act. Subd. 2. Establishment of Commission. There is hereby established within the City a Human Rights Commission. Subd. 3. Purpose of Commission. The purpose of the commission is to secure - for all citizens equal opportunity in employment,- housing, public accommodations, public services and education and full participation in the affairs of this community and to take appropriate action consistent with the Minnesota Human Rights Act. The commission shall also advise the city council on long range programs to improve human relations in the City. Subd. 4. Composition of the Commission. The commission shall consist of 10 members to be appointed by the council. Members of the commission shall be appointed for terms of three (3) years, except that_(1) any person appointed to fill a vacancy occurring prior to the expiration of the term for which his predecessor was appointed shall be appointed only for the remainder of such and (2) any person appointed as a "youth" member of the commission who is a high school student shall be appointed only for the remainder of any un- expired term for which he was appointed, or until he is graduated from high school, whichever occurs first. Upon the expiration of his term of office a member shall continue to serve until his successor is appointed and shall have qualified. The members of the commission shall serve without compensation and may be removed from office at any time by the council, after a public hearing if a hearing is requested by the member whose removal is being considered. (Bill 1977 -9) 4/11/77 Subd. 5. Commission's Responsibilities. In fulfillment of its purpose the commission's duties and responsibilities shall be to: (1) Adopt bylaws and rules for the conduct to its affairs including the election, assumption of duties and definition of responsibilities of officers and committees. (2) Engage in discussions with the State Department of Human Rights for the purpose of delineating cooperative regulatory and enforcement procedures. (3) Enlist the cooperation of agencies, organizations and individuals in the community in an active program directed to create equal opportunity and eliminate discrimination and inequalities. (4) Formulate a human relations program for the city to provide increased effectiveness and direction to the work of all individuals and agencies ad- dressing themselves to planning, policy making and educational programming in the area of civil and human rights. ORDINANCE CODE 4/11/77 283 CITY OF RICHFIELD, MINNESO fA • • t (5) Advise the city council and other agencies of the government on human relations and civil rights problems and act in an advisory capacity with respect to planning or operation of any city department on issue: of civil and human rights and recommend the adoption of such specific policies or actions as are needed to provide for full equal opportunity in the community. (6) Study, investigate and assist in eliminating alleged violation of Chapter 363 by conference, conciliation and persuasion, and when necessary, cooperate with the State Department of Human Rights in enforcing the provisions of the State Act. (7) Develop such programs of formal and information education as will assist in the implementation of the Minnesota Human Rights Act and foster the commis- sion's assumption of leadership in recognizing and resolving potential areas in the community. Subd. 6. Investigations; Enforcement; Penalties. (a) In addition to the responsibilities conferred upon it by Subdivision 5, paragraph (6) of this section, the Commission may receive and investigate complaints of alleged violations of this section. T-lre Cp�ission many- regt-est the City Manager to direct appropriate personnel of the city to assist in the conduct of an investigation. If, upon completion of the investigation of an alleged violation, the investigator determines that there may be probable cause to believe that such a violation has occurred, he may refer his findings in writing to the City Attorney for appropriate action. Copies of investigation reports shall be provided to the Commission. (b) Minnesota Statutes, Chapter 363 is adopted by reference and made a part of this section as is fully set forth herein. (c) Violation of this section is a misdemeanor. (Bill 1974 -22) 11/12/74 CROSS REFERENCE: See Minn. Stats. Chap. 363 for the "Minnesota State Act Against Discrimination:. 12.24 JOINT POLICE AND FIRE CIVIL SERVICE COiL`4ISSION. Subdivision 1. Single Commission Created. The police civil service commission and the fire civil service commission of the city are combined to form a single commission. Subd. 2. Duties. Such single commission shall serve as both police civil service commission and firemen's civil service commission for the city. Subd. 3. Membership. The joint commission shall consist of three members appointed in the same manner, for the same terms, and with the same qualifi- cations as a police civil service commission under Minnesota Statutes, Section 419.01 to 419.18. To accomplish a transition., however, all members of the two former commissions who terms have not expired are members of the joint com- mission and shall continue to serve as members of the joint commission for the remainder of the terms for which they were originally appointed. Terms of commissioners shall be for three years commencing on February 1 of the year of appointment. One term shall commence in 1974 and one in each year there- after.- The commission shall have four members until February 1, 1974 and three members thereafter. (Bill 1973 -8) 4/23/73 ORDINANCE CODE 4/23/73 284 CITY OF RICHFIELD, MINNESO FA CITY OF RICHFIELD, MINNESOTA Zt`5 Office of City Manager Council Letter No. 14 Agenda January 14, 1985 The Honorable Mayor and Members of the City Council City of Richfield Subject: Satellite Dish Ordinance, Second Reading Council Members: On December 10, 1984 the city council gave first reading approval to an amendment to the zoning ordinance to allow the installation of satellite dish antennas as a permitted accessory use in residential districts. The second reading of this amendment to the zoning ordinance and the public hearing on this matter have been scheduled for January 14, 1985. During the discussion on the amendment the city manager recommended, and the city council concurred, that the location of satellite dish antennas be further restricted to backyards only. Also, the amendment to the zoning ordinance removes the requirement that a special use permit be obtained for ground - mounted antennas except on interior lots which abut on two streets or corner lots which abut on more than two streets. The city's current ordinance requires that a special use permit be obtained before a satellite antenna can be installed in a residential zoning district. In order to eliminate the necessity for a property owner to go through the special use permit process, a proposal has been explored for making a satellite dish antenna a permitted accessory use. The planning commission had numerous discussions concerning potential standards and restrictions which should be placed on the location of satellite dish antennas. The planning commission finally concluded that a satellite dish antenna should be subject to the same restrictions as other accessory structures such as garages. The restrictions which apply to accessory uses are: (1) maximum rearyard coverage is 30 %; (2) frontyard setback - 30 feet; (3) rearyard setback - 2 feet; (4) streetside sideyard setback - 15 feet; (5) interior sideyard setback - 2 feet -2- (6) corner lot adjacent to a key lot, the sideyard on the O street side of such corner lot shall have a width at least equal to the front yard of such key lot; (7) accessory building shall not be closer than 5 feet to the main building; (8) interior lot abutting upon two streets, no accessory building shall encroach upon the half of the lot abutting the street, nor be situated forward of the front building line; (9) interior l-at abutting upon two streets, no accessory building shall encroach upon the one- fourth of the lot abutting each street; (10) corner lot - no accessory building shall be located forward of the building front line or its extension nor nearer the side street than the street side building line or its extension where the adjoining lot is a key lot; (11) corner lot - abutting more than two streets, no accessory building shall encroach upon any one - fourth of the lot abutting any street; (12) additional requirements for other allowed uses: No building shall be located within 50 feet of any lot line of a residential district. The required setbacks shall be increased by one foot for each foot of building height in excess of 42 feet; and (13) whenever a lot in the R Residence District is sub- divided in accordance with the provisions found in Chapter III, Part VI, Section 3.55A, the minimum building setback requirements shall be applied as if the subdivision had not been made. An antenna can be roof mounted, but if it exceeds 10 feet in height above the highest point of the roof, a special use permit will have to be obtained. It is recommended that the city council conduct a public hearing on this matter and give second reading approval of the attached ordinance amendment. Respeectfu bmitted, ohn G. Car wrig City Manager JGC /eja • BILL NO. ORDINANCE NO. AMENDMENT TO CHAPTER III, PART IV OF THE ORDINANCE CODE OF THE CITY OF RICHFIELD, MN CITY OF RICHFIELD DOES ORDAIN: 1. Section 3.27, subdivision 3 is amended by adding the following new paragraph (31) and renumbering the subsequent paragraphs: (31) "Satellite antenna" means structure and all supporting apparatus which is used for receiving satellite signals. If the structure is roof - mounted and exceeds 10 feet in height above the highest point of the roof, it is considered a roof - mounted antenna. If the structure is ground- mounted it is considered an accessory building. 2. Section 3.30, subdivision 2 is amended by adding the following new paragraph (k): (k) Satellite Antenna. Provided,that if such antenna is ground- mounted it shall in addition to the other requirements contained in Section 3.30, subdivision 5 be located within the rear yard area. 3. Section 3.30, subdivision 3 paragraph (f) is amended to read as follows: (f) Freestanding or ground -based antenna structures on interior lots abutting on two streets or corner lots abutting on more than 2 streets, and roof - mounted antenna higher than ten feet from the highest point of the roof. 4. Section 3.30A, subdivision 3, paragraph (b) is amended to read as follows: (b) Freestanding or ground -based antenna structures on interior lots abutting on two streets or corner lots abutting on more than 2 streets, and roof - mounted antenna higher than ten feet from the highest point of the roof. Passed by the city council this day of , 1985. ATTEST: Sylvia Bergh City Clerk John Hamilton Mayor CITY OF RICHFIELD, MINNESOTA Office of City Manager Council Letter No. 13 Agenda: January 14, 1985 The Honorable Mayor and Members of the City Council City of Richfield Subject: Renewal Application Of On -sale Wine And Non - Intoxicating Malt Liquor Licenses For Prest Motor Znn, Inc. d /b /a The Inn Airport Council Members: On November 15, 1984, the renewal application and some of the required documents were submitted for the on -sale wine and non - intoxicating malt liquor licenses for The Inn Airport. In addition, the 1985 on -sale wine license fee of $590 was paid, also the non - intoxicating malt liquor license fee of $358. At the council meeting of December 10, 1984, failure on the part of the applicant to furnish all of the necessary documents in a timely fashion necessitated the continuance of the hearing on their license request. We now have all of the required documents. The corporate structure of the organization has remained unchanged from the previous four years. Mr. John M. Prest serves as Corporate President and Treasurer, while his wife, Sara N. Prest, serves as Corporate Vice - President and Secretary. Neither officers have any known criminal history. All 1984 real estate, state withholding and sales taxes have been paid and are current. The building and property continue to be owned by Charles M. Spear. The required $5,000 Surety Bond has been submitted and indicates that Transamerica Insurance Company is carrying the bond. A certificate of insurance detailing public and liquor liability coverages has also been submitted and lists the CNA Insurance Companies of Chicago, Illinois as affording the required coverages. The policy as originally submitted shows an expiration date of March 1, 1985, however, the amended policy that was submitted on January 4, 1985, shows that the policy has been extended to the required expiration of 12- 31 -85. An accountants's statement detailing sales percentages for • the period November 1, 1983 to October 31, 1984 has been -2- submitted by K and K Accounting, Inc., of Cottage Grove, Minnesota. The breakdown indicates that food sales accounted for 88% of the total sales while beer and wine sales accounted for 12 % of the total sales. During the past 12 month period there were 18 Public Safety contacts with The Inn compared to 20 contacts during the last renewal period. A breakdown of these contacts is as follows: 1983 1984 Total Contacts 20 18 Criminal /Bar Type 7 9 Non- Criminal,Inspections and Licensing 13 9 It should be noted that all Public Safety contacts include both the restaurant and the motel. During 1984, Mr. John Prest, Jr., replaced Mr. Dan Nelson as premises manager. Mr. Prest, Jr., appears to have the necessary background to run the Richfield establishment for his father and has no known criminal background. Upon reviewing the renewal application and required documents and conducting the necessary background investigation, • it appears that there is no basis for denial of the renewal applications as requested. Therefore, it is the recommendation of the Director of Public Safety, in which I concur, that the city council give favorable consideration to the renewal of the on -sale wine and non - intoxicating malt liquor licenses requested by the Prest Motor Inn, Inc., d /b /a The Inn Airport. JGC /eja C', Re pectfu y - omitted, ohn G. Car righ City Manager CITY OF RICHFIELD, MINNESOTA Office of City Manager • Council Letter No. 12 Agenda January 14, 1985 The Honorable Mayor and Members of the City Council City of Richfield Subject: Resolution Declaring Cost to be Assessed and Ordering the Preparation of Proposed Assessment for City Project No. 793, 1984 Alley Paving Council Members: The city staff has determined the costs to be assessed for City Project No. 793, 1984 Alley Paving. It is recommended that the city council pass the attached resolution which declares the cost to be assessed and orders the preparation of the proposed assessment. The original estimate was $19.75 /foot. It appears the actual cost will be approximately $18.10 /foot. • Once the proposed assessment roll has been prepared, it will be brought back to the city council for review and the setting of a date for the assessment hearing. At that time, a comparison of estimate to actual costs will be presented with the proposed assessment. JGC /eja • Res ectfu mitted, ohn G. Cart i�t City Manager • • • RESOLUTION NO. RESOLUTION DECLARING COST TO BE ASSESSED AND ORDERING PREPARATION OF PROPOSED ASSESSMENT FOR CITY PROJECT NO. 793, ALLEY PAVING WHEREAS, costs have been determined for the improvement of the following alleys by reconstruction and concrete paving: Alley Between Clinton and Fourth Avenue Xerxes and Washburn Avenue Xerxes and Washburn Avenue Washburn and Vincent Avenue Augsburg and Garfield Avenue Blaisdell and Nicollet Avenue Grand and Pleasant Avenue Sheridan and Thomas Avenue Bryant and Aldrich Avenue Sheridan and Russell Avenue Sheridan and Russell Avenue Harriet and Garfield Avenue Sheridan and Russell Avenue From 66th Street 69th Street 67th Street 66th Street 71st Street 72nd Street 68th Street 67th Street 63rd Street 69th Street 66th Street 71st Street 67th Street To 67th Street 70th Street 68th Street 67th Street 72nd Street 73rd Street 69th Street 68th Street Mildred Dr. 70th Street 67th Street 72nd Street 68th Street And the contract price for such improvement is $215,278.54, and the expenses incurred or to be incurred in the making of such improvement amount to $77,938.18 so that the total cost of the improvement will be $293,216.72. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Richfield, Minnesota: 1. The portion of the cost of such improvement to be paid by the city is hereby declared to be $21,981.24 and the portion of the cost to be assessed against benefited property owners is at least 20 percent of the total cost and is declared to be $271 ,235.48. 2. The city clerk and the city engineer shall forthwith calculate the proper amount to be specially assessed for such improvement against every assessable lot, piece or parcel of land within the district affected, without regard to cash valuation, as provided by law, and he shall file a copy of such proposed assessment in his office for public inspection. 3. The clerk shall upon the completion of such proposed assessment notify the council thereof. Adopted by the City Council of the City of Richfield, Minnesota this 14th day of January, 1985. John Hamilton, Mayor ATTEST: Sylvia K. Bergh, City Clerk 0 KENNEL LICENSE APPLICATION INSPECTION Name ec 2sc! Address 7F; AG-7:1 Number of Animals: _ dogs 3 eats Breed: � ` ; —��(�- Are animals currently licensed? \..,,�yes no Number of residents occupying dwelling Is yard enclosed with a .fence in good repair? Yes No Y\ Will fence keep animals on owner's property? Yes No Is yard kept clean and free of animal droppings, etc.? Yes No Is garbage stored in covered metal container? Yes X No Are pets kept for breeding purposes? Yes No X How are pets exercised? (Where = areawise ) 3iz,\ v Are there unpleasant odors present? Yes No- nave all abutting property owners signed a petition of approval for a kennel license for this number of animals? Yes ;G I° not, why not? \y k Additional Comments: Inspected Date . KENNEL LICENSE APPLICATION INSPECTION Name /i ;1/ A h Address Number of Animals: dogs eats Breed:. Are animals currently licensed? ,, yes no Number of residents occupying dwelling Is yard enclosed with a fence in good repair? Yes, f' Will fence keep animals on owner's property? Yeses No `- r Is yard kept clean and free of animal droppings, etc.? / Yes No Is garbage stored in covered metal container? Yes No Are pets kept for breeding purposes? Yes No r-- How are pets exercised? (Where - areawise)•--'17r\ � _ Are there unpleasant odors present? Yes No have all abutting property owners signed a petition of approval for a kennel license for this number of animals? Yes x `fc if not, whv not? Additional Comments: Inspected By Date • • KENNEL LICENSE APPLICATION INSPECTION Name Y 1�� Ie lzz� man Address Number of Animals: dogs -eats Breed n,�c ��e- -, ",fi t-;-,- Are animals currently licensed? ';4, yes no Number of residents occupying dwelling I-i Is yard enclosed with a fence in good repair? Yes ,k No Will fence keep animals on owner's property? Yes`/<, No Is yard kept clean and free of animal droppings, etc.? Yes X Nc Is garbage stored in covered metal container? Yes k No Are pets kept for breeding purposes? Yes No X How are pets exercised? (Where - areawise) �C-1 Are there unpleasant odors present? Yes No `X Have all abutting property owners signed a petition of approval for a kennel license for this number of animals? Yes L —No _y not, ;shy not: Additional Comments: Inspected By _ Date • • LJ • CITY OF RICHFIELD, MINNESOTA�1� Office of City Manager Council Letter No. 11 Agenda January 14, 1985 The Honorable Mayor and Members of the City Council City of Richfield Subject: Award of Contract - Lim(. Sludge Removal Council Members: On December 6, 1984, bids were opened for the excavating and disposing of lime sludge. A copy of the bid minutes and tabulations is attached for city council review. A three -year contract for removal of lime sludge, a by- product of water treatment, was completed in 1984. The specifications for a new contract permitted bidding on a one year contract (1985), a two year contract (1985 and 1986) and /or a three year contract (1985, 1986 and 1987). Five vendors obtained the specifications, and one vendor submitted a bid for a one -year period. The adopted budget for the water maintenance division includes $68,000 for lime sludge removal in 1985. The one bid submitted, by Bradley and David Fredrickson, is in the amount of $63,270. Previous contracts for lime sludge removal: YEAR LOW BID 1982 $53,550 1983 $56,250 1984 $60,210 # BIDDERS CONTRACTOR 4 4 4 (Above all one,bid, for three -year W & G Rehbein Brothers, Inc. period) 1985 $63,270 1 Bradley & David Fredrickson It is recommended the city council award a contract for lime sludge removal in 1985 to Bradley and David Fredrickson in the amount of $63,270. RIM pectfui'y bmitted , John G. `Car wrig t City Manager CITY OF RICHFIELD BID OPENING DECEMBER 6, 1984 Excavating and Disposing of Lime Sludge Pursuant to requirements of Resolution No. 1015, a meeting of the Administrative Staff was called by Sylvia Bergh, City Clerk, who announced that the purpose of the meeting was to receive, open and read aloud, bids for the Excavating and Disposing of Lime Sludge, as advertised in the official newspaper on November 14, 1984. Present: Don Fondrick, Community Services Director Sally Morton, Central Services Manager Sylvia Bergh, City Clerk The following bid was submitted and read aloud: VENDOR BID SECURITY 0 David & Bradley Bank Order Fredickson $3,165.00 • BID ONE YEAR $7.03 /Unit $63,270 Total The City Clerk announced that the bid would be tabulated and considered at the January 14, 1985 City Council Meeting. Sylvia K. Bergh City Clerk CITY OF RICHFIELD, MINNESOTA Office of City Manager is Council Letter No. 10 Agenda January 14, 1985 The Honorable Mayor and Members of the City Council City of Richfield Subject: Approval of 1985 Personal Health Services Contract with the City of Bloomington Council Members: Since 1977, the City of Richfield has contracted with the City of Bloomington to provide certain personal health services to residents. These services are supported, in part, by a Community Health Services Grant from the State of Minnesota. The amount of this grant award for 1985 is $76,364. Our 1984 contract with Bloomington for Personal Health Services was in an amount of $93,000. We have negotiated a 1985 contract in the amount of $97,650, or a 5% increase. Members of the council have previously received the annual report of our health services program. We are experiencing some potential problems in this program activity as a result of several hospitals and health maintenance organizations entering the home health field. As one might expect, the private providers of home health services limit their programs to those clients with the ability to pay. As a result of this competition we have experienced a decrease in our services for which fees are received. At the same time, we have also been experiencing an increase in requests for the services provided through this contractual program from clients who are unable to pay fees. Bloomington has been doing an excellent job of managing this Personal Health Service Program for our community. In spite of the competitive problem which seems to be developing we will be able to continue the same level of program activity in Richfield during 1985 under the contract proposal herein recommended. Both the Director of Public Safety and I feel that this speaks very well for the management of the Bloomington nursing service. 11 -2- is With these considerations in mind, it is the recommendation of the Director of Public Safety, in which I concur, that the city council authorize the Mayor and the City Manager to enter into the proposed 1985 contract with Bloomington for Personal Health Services in the amount of $97,650. This amount has already been included in the adopted Public Safety budget program for 1985. JGC /eja LJ • Respectf u mitted, ohn G. Car rig City Manager JOINT POWERS AGREEMENT THIS AGREEMENT, made and entered into this _ day of , 19,, by and between the CITY OF BLOOMINGTON, a Minnesota municipal corporation, in the County of Hennepin, State of Minnesota ( "Bloomington ") and the CITY OF RICHFIELD, a Minnesota municipal corporation, in the County of Hennepin, State of Minnesota ( "Richfield "). WITXESSETH: WHEREAS, Bloomington warrants and represents that its Division of Public Health is a duly certified public health agency operating in accordance with all applicable federal and state requirements; and WHEREAS, Bloomington's Division of Public Health provides community health services, including, but not limited to home health services, well adult clinics, well child clinics, health education. school health services, health promotion services, prevention and control, and program administration; and WHEREAS, Richfield wishes to promote, support, and maintain the health of its residents by providing community health services such as health education, communicable disease programs, nursing services, health assessment, counseling, teaching, and evaluation in the community, home and clinic setting at a nominal fee to those making use of such services, and to contract with Bloomington for Bloomington, through its Division of Public Health, to provide such services to residents of Richfield; and WHEREAS, the governing bodies of Bloomington and Richfield are authorized by Minnesota Statutes, Section 145.914, Subdivision S. Section 145.917, Sub- division 3, and by Minnesota Statutes, Section 471.59, to provide community • health services and to enter into agreements with each other for the providing by Bloomington of community health services to residents of Richfield. NOW THEREFORE, the parties hereto, and for and in consideration of the covenants hereinafter set forth, agree as follows: 1. Bloomington, through its Division of Public Health, agrees to provide residents of Richfield with the following community health services ( "Health Services "), as identified in the Bloomington Health Program budget: A. Home Health Services: This activity provides professional nursing care in the home under medical supervision for persons requiring personal care, treatment, teaching or supervision of medical surgical conditions. (home Health Services) f B. Well Adult Clinics: This activity provides health supervision for adults in the areas of maternal health and family planning. Physical assess- ments, laboratory work, immunological update, teaching and referral are provided in all clinic settings. (Parent /Child Services) C. Well Child Clinics: This activity provides child health clinics for infants and children in the areas of well child, early periodic screening, and nutrition services. (Parent /Child Services) D. Health Education:. This activity provides for coordination and delivery of health information and education to the general public and organized groups by the staff and other available resources. (Health Education) E. School. Health Services: This activity provides for coordination, consultation and delivery of services within school, including public, non- public, day care and nursery settings. (Parent /Child Services) F. Health Promotion Services: This activity provides preventive and restorative health teaching and counseling to individuals on a one -to -one basis in all areas of physical and emotional health,'including alcohol -drug related counseling. (Community Nursing Services) • G. Prevention and Control: This activity provides services for the prevention and control of communicable diseases and screening clinics for early -2- identification and referral of chronic diseases. In addition, this activity includes the provision of current health information and validation of health certificates for world travel. (Disease Prevention and Control Services) H. Program Administration: This activity reflects administrative support costs to all activities of the Division of Public Health unidentified as to specific discipline. (Community Health Services Administration) 2. The City of Richfield shall be provided and rendered hereunder to the residents of Richfield in the same manner, to at least the same extent, and with atjleast the same quality and kind of personnel, equipment, and facilities as the Health Services are provided and rendered to residents,pf Bloomington, it being the intent and purpose of this agreement to provide and render the Health Services equally to residents of Bloomington and Richfield, without discrimination in any way. 3. Bloomington shall provide the health services pursuant hereto on a confidential basis, using-capable, trained professionals. 4. All Health Services to be rendered hereunder by Bloomington shall be rendered pursuant to and subject to public health policies, rule, and• procedures now or hereafter, from time to time, adopted by the Bloomington City Council. and in full compliance with all applicable state and federal laws, provided, however, that (i) no policy, rule, or procedure hereafter adopted by the Bloomington City Council shall in any way affect, modify, or change the obligations, duties, liabilities, or rights of the parties hereto as set out in this Agreement, or reduce or detract from the kind, quality, and quantity of Health Services to be provided hereunder by Bloomington to residents of Richfield, and (ii) all such policies, rules and procedures shall be uniformly applied to all persons receiving Health Services from Bloomington, whether residents of Richfield, Bloomington, or any other municipality. Richfield agrees to adopt the same policies, rules, and procedures as are from time to -3 time adopted by Bloomington, if determined by Richfield to be necessary or desirable to facilitate or regulate the provision of Health Services by Bloomington to residents of Richfield pursuant hereto. 5. Richfield agrees to pay Bloomington, for the provision of Health Services pursuant hereto, amounts and on terms as follows: A. The annual sum of 597,650 shall be paid in quarterly payments of 524,412.50 to Bloomington within fifteen (15) days of the.,receipt by Richfield of each of the reports to be given pursuant to Paragraph 5.B hereof, sub3act, however, to the provisions of Paragraph 5.0 hereof. B. 0n April 1S, July 15, and October 15, 1985, and op January 15. 1986, Bloomington shall send Richfield a statement, certified by the person in charge of Bloomington's. Division of Public Health as being true and correct, and covering the period of three (3) calendar months preceding the. month in which the report is given, and setting forth, in such detail as Richfield from time to time shall. reasonably require, the number of persons served, the kinds of Health Services delivered, the locations where such services were delivered, and such other information as Richfield shall reasonably request. C. No payment or payments need be made by Richfield under this Agree - ment while Bloomington is in default under any of the terms and conditions hereof to be by Bloomington performed. 6. In.the event Richfield desires to inspect the financial books and records of Bloomington related to the providing of Health Services hereunder by Bloomington, Bloomington shall.make its financial books and records available at the Bloomington City Hail for inspection and copying by Richfield, or any agent, employee, or representative of Richfield, at reasonable business hours. 7. it shall be the sole responsibility of Bloomington to determine the qualifications, functions, training, and performance standards for all health service personnel who render Health Services under this Agreement; provided. -4- • • • 0 however, that Bloomington agrees that all such personnel shall be capable, trained professionals. 8. Bloomington's Division of Public Health will communicate with Richfield relative to Health Services to be performed hereunder by Bloomington, such.communication to be in the form of reports, conferences, or consultations, as the respective Richfield departments from time to time shall request. All reports relating to the providing of Health Services that are. given by Bloomington's Division of Public Health to the Bloomington City Council or to the City Manager during the term of this Agreement shall also, and at the same time, be given to Richfield. 9. Bloomington also agrees to send to Richfield an annual report describing the activities performed and Health Services rendered pursuant to this Agreement. Such report shall be in such detail and form as Richfield may reasonably from time to time request. The annual report shall be sent with and in addition to the last quarterly report.required by Paragraph 5.B hereof. Also, at Richfield's request, madee not more than two (2) times during the term of this Agreement, responsible administrative officers of Bloomington's Division of Public Health shall attend meetings of the Richfield City Council or appropriate board or commission to answer questions and give further information relative to the activities performed and Health Services rendered under this Agreement. 10. Bloomington hereby agrees to maintain in force its present policy of comprehensive liability insurance and medical malpractice insurance in the minimum amount of five hundred thousand dollars (S500,000), for the term of this contract. A copy of the policy or policies issued shall be furnished to MRichfield. Said policy shall be with an insurance company authorized to-do business in Minnesota. , 11. This Agreement shall be for a period of from January 1, 1985, to -5- December 31, 1985, provided that either party may terminate the same by'thirty (30) days' written notice to the other. Upon such termination, all obligations and liabilities of the parties hereunder shall cease and terminate, except the provisions of Paragraph 11 hereof shall continue and survive such termination. Also, in the event of termination pursuant hereto, the quarterly payment next due shall be prorated and paid for only the period ended on the date of termination, and Bloomington shall send to Richfield, within thirty (30) days after such termination, a report in the form required by Paragraph S.B, and shall also then send a final report in the form of., and in lieu of,, the annual report required by Paragraph 9 hereof,. and Richfield shall pay such reduced quarterly payment.for the period ended on the date of termination, within fifteen (15) days after receipt of both of such reports. 12. Bloomington and Richfield understand and agree that each of them shall apply and qualify, independently and separately, for any and all grants, matching funds, and payments of all kinds from state, federal, and other governmental bodies relating to, or for the provision of, any or all of the Health Services, and any and all such grants, matching funds, and payments shall belong to the recipient.and be used and applied as the recipient thereof shall determine, without regard to this Agreement. 13.- All notices, reports, or demands required or permitted to be given under this Agreement shall be in writing and shall be deemed to be given when delivered personally to any officer of the party to which notice is being given, or when deposited in the United States mail in a sealed envelope, with 9 registered or certified mail, postage prepaid thereon, addressed to the parties at the following addresses: To Bloomington: 2215 West Old Shakopee Road . Bloomington, Minnesota 55431 Attention: City Manager -6- • • To Richfield: 6700 Portland Avenue South Richfield, Minnesota 55423 Attention: City Manager Such addresses aay be changed by either party upon notice to the other party give as herein provided. IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be duly executed and their corporate seals to be affixed hereto the day and year first above Written. Upon proper execution, this CITY OF BLOOMING70N Agreement shall be a legal and binding obligation upon the City of Bloomington. City Attorney By: Its Mayor By: Its City Manager CITY OF RICHFIELD By= Its Mayor By: -7- Its City Manager CITY OF RICHFIELD, MINNESOTA Office of City Manager Council Letter No. 9 Agenda January 114, 1985 The Honorable 'Mayor and Members of the City Council City of Richfield Subject: Proclamation Declaring the Month of February as Children's Dental Health Month Council Members: The American Dental Association has declared February as Children's Dental Health Month. The Richfield Advisory Board of Health strongly endorses preventive health practices. In this regard, they support the educational effort of the American Dental Association to proclaim February as Children's Dental Health Month. To emphasize the importance of this program in the City of Richfield, the Advisory Board of Health is requesting the Richfield City Council to encourage positive, preventive health practices by young people in our, community through the adoption of the attached proclamation. A representative of the Advisory Board of Health will be present at the January 114 city council meeting to receive this proclamation. Respectfu y ubmitted, ' a ohn G .' Ca twr i City Manager JGC /eja l • PROCLAMATION ESTABLISHING THE MONTH OF FEBRUARY AS CHILDREN'S DENTAL HEALTH MONTH IN THE CITY OF RICHFIELD WHEREAS, the future is, to a large measure, dependent on the good health of our children and youth, the citizens of tomorrow; and WHEREAS, good health, physical and mental, can be achieved through good health habits learned early. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Richfield that I, John Hamilton, Mayor of the City of Richfield, do hereby proclaim the month of February, 1985 as Children's Dental Health Month in Richfield and do urge all 40 citizens and community organizations to join in the observance. DONE this 14th day of January, 1985. John Hamilton ayor •