02-10-86 agenda .~j~ _ ~
CITY OF RICHFIELD, MINNESOTA
Office of City Manager
Council Letter No. 76
Agenda February 10, 1986
The Honorable Mayor
and
Members of the City Council
City of Richfield
Subject: Republic Airlines Credit Union Project
Council Members:
At the city council meeting of .January 27, 1986, the city
council requested the cit mana er to contact Re bl'
g u is Airlines
Y
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Credit Un`
ion re ardin the status of their build'
g g ing project at
the Cedar Avenue liquor store site because of the announcement
that Northwest Airlines and Republic Airlines were going to
merge.
On Monday, February 3, 1886, Bob Hall of Republic Airlines
Credit Union contacted the cit mana er and advised that the
Y g
credit union wished to put their project on hold until April 1,
1986. A copy of the communication from Republic Airlines
Credit Union is attached hereto for your information. The '
credit union is seeking city council approval to postpone action
on the project until April 1~so that an assessment on the long-
long-term plans for the credit union can be made. i
The city staff does not believe that such a delay would be a
negative factor in developing the site. It is to the city's
interest also to obtain the best possible development for this
site. It is the writer's understanding that the facilities for
the Northwest Airlines Credit Union may also be lacking in
adequate facilities. If .there is a possibility that the two
credit unions could merge and build a larger facility at the
Cedar Avenue site, this would certainly benefit the intensity of
development which we are seeking for the Cedar Avenue site. Of ~
course,. there is also the possibility that if the two credit
unions are to merge, they might seek some other site which could
be outside of Richfield.
City staff does not .recommend going ahead at this time with
just the liquor store and some additional retail space to be
built by Henning. This type of piecemeal development may
preclude the most favorable type of development for the
site. There is already an excess of strip commercial
development on East 66th Street. The city still has the ~
I
J
options of going with a building for Republic Airlines Credit
Union, or-a building serving a merged Republic Airlines and
Northwest Airlines Credit Union or to go back to the Lincoln
Companies for an office service center building. Also, staff
believes it is important to coordinate the design of the liquor
store building with the major project building that is to be
built on this site.
Therefore, city staff would recommend to the city council
that we advise the Republic Airlines Credit Union officials
that it is our intention to wait until April 1, 1986, but it is
also city staff's recommendation that the city not make this a
formal commitment for an extension. In this way, the city
retains complete control over its site and maintains our ability
to take whatever actions are in the .best interests of the city.
Respectf y bmitted,
ohn G. Car Wright
City Manager
JGC/eja
~I
REPUBLIC AIRLINES EMPLOYEES' CREDIT UNION
ATL SFO SEA MSP DTW MEM
February 3, 1986
Mr. John Cart~~~right
City Manager
City of Pichfield
6700 Portland Ave. So.
Richfield, MN 55423
Dear Mr. Cartwright:
The Board of Directors of the Republic Airlines Employees
Federal Credit Union met in .special session January 30 to
evaluate how the pending acquisition of Republic Airlines
by Northwest Airlines will affect our credit union. The
Board concluded that insufficient information was available
at this time, and asked that negotiations with the City of
Richfield on the development agreement for the 66th and
Cedar site be postponed until April 1, 1986. The Board
feels that the intervening time should be adequate to
gather further information, assess alternatives and make a
decision that is in the best interests of the city and the
credit union.
We will appreciate your favorable consideration of this
request, and we regret any inconvenience this unexpected
development may have caused for the City of Richfield.
Please give us your decision in writing so I may share it
with the Board.
Since ly,
i
Robert L. Hall - Vice President
Marketing and New Services
Copies Mayor Hamilton
Council Members
Peter Orlins
Board of Directors
6 1 2 8 5 4- 2 1 1 3
T W O A P P L E T R E E S O U A R E- S U I T E 2 0 0
B L O O M I N G T O N M I N N E S O T A 5 5 4 2 0
CITY OF RICHFIELD, MINNESOTA
Office of City. Manager
Council Letter No.
75
Agenda February 10, 1986
The Honorable Mayor
and
Members of the City Council
Cityof Richfield
Subject: Self Insurance .Umbrella. Account Progress Report
Council Members:
On January 2, 1986,-the City Council was presented with
a staff report concerning the renewal premium for the city's
property and casualty insurance package for 1986 (Council
Letter No. g). Pursuant to City Council direction, the staff
secured liability and property insurance coverage up to a limit
of $600,000 through the League of Minnesota Cities Insurance
Trust and $500,000 of liquor liability insurance through the
Minnesota Assigned Risk Plan (this was the maximum .amount of
liquor liability insurance available to the city). In addition,
. the council approved city staff's recommendation to establish
a self-insurance Umbrella Liability Account. The purpose of
this City Council letter is to report to the Council on the
progress of establishing the self-insurance Umbrella Account.
Action Required to Establish a Self-Insurance Account
The writer has directed the City Attorney to review the
statutory an d, city. charter provisions applicable to the
establishment of a self-insured general liability and property
insurance account. A resolution providing authority to
establish and. maintain this self-insurance account has been
prepared and will be presented to the City Council at the
second meeting in March.
It was recommended by the City Attorney's office that the
account be established as a Tort Liability Account so that
payments for any liability or property cost not covered by
insurance could be made from the account. This would include
payments for any deductible amounts of our insurance coverages,
as well as an award that exceeded our insurance coverage.
A Large Funding Balance Is Needed
It is desirable to begin the new self-insured Tort Liability
Account with as large a fund balance as is possible for these
reasons:
1. In the event of a large loss which exceeded the City's
current insurance coverages and/or its' statutory
liability ($600,000 for most liability exposures);
• 2. The city has selected a $5,000 deductible limit on
general liability coverage and $10,000 on property
insurance. Thus, losses under those limits could be
paid from this Account; and,
3. A large opening balance would provide the fund with an
investment sum which could generate interest earnings to
help offset payments from the Account.
Fund Balance Analysis
Perhaps the key consideration in preparing a
recommendation for fundin the self-insured Tort Liabili
g ty
Account is to first determine the proper level of fund balance
of the existing Self-Insurance Fund (Workers' Compensation
/Unemplo went Com ensation and Dental covera es and next to
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determine .what the fund balance for the .new Tort Liability
Account should be.
The city currently has an estimated fund balance of
$700,000 in the Workers' Compensation/Unemployment .Compensation
Account. This account was established in 1979 with an initial
appropriation of $170,000. Deloitte, Haskins and Sells, the
City's Auditor, has been engaged by the writer to evaluate the
past experience of the Workers' Compensation/Unemployment
Compensation. and Dental Accounts and to recommend the
appropriate fund balances based upon industry standards, past
reserves, and current risk exposure. An .actuarial analysis
of the existing self-insurance fund is not necessary because
the city has the required data. The auditors will, of course,
need to review the exposures. The cost of this component will
not exceed $4,900 and will be paid from the Self-Insurance
Fund.
In addition, the auditors need to determine what the fund
balance for the Tort Liability Account should be. The auditors
recommend undertaking an actuarial review of the city's deducti-
_ ble, dram shop, umbrella risks and claim reserves in order
to determine the appropriate fund balance. The city staff is
unable to financiall ro ose a .articular fund balan e
c until
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th
e cit is better aware of the risk ex o r
Y p su e that the city may
be facing. Deloitte, Haskins and Sells has proposed to
perform such an analysis, including an actuarial review for a
fee not to exceed $10,800. This fee could also be paid from the
Self-Insurance Fund. It is the writer's recommendation that the i,
auditor be engaged to prepare the actuarial analysis of the new ~
I
Tort Liabilit Account so that the cit ma lan for self-
. Y Y Y A
insurance funding on a sound fiscal basis.
~3
Financing Alternatives
Once a fund balance analysis has been completed for the
various accounts of the Self-Insurance Fund (Workers'
Compensation, Unemployment Compensation, Dental), the auditors
and the city staff can then determine if a portion of the fund
balance can be transferred to the Tort Liability Account to help
establish this new self-insurance account. The following alter-
natives have been identified as potential sources of revenue:
1. 1985 Year-end Surplus Funds
Assuming that the. final year-end financial data reflects
a-1985. budget surplus, a portion of these surplus funds
could be transferred to the Tort Liability Account ~I
of the Self-Insurance Fund instead of remaining in the
General Fund balance. If there is sufficient 1985 year-
end General Fund balance after setting aside $125,000
.for the computer purchase, it would be desirable to set
aside an additional $125,000 or more for the Tort
Liability .Account.
2. Budgeted 1986 Insurance Premiums
The 1986 budget provides $435,000 to cover the cost of
insurance premiums. This amount was arrived at by
adding to the 1985 premium of $385,000 an additional
$50,000 from the General Fund budget for potential
premium increases. The cost of insurance for II
the City in 1986, including $78,200 quoted for umbrella
liability insurance, was approximately $430,000. After
paying premiums for the 1986 primary property/casualty
package and liquor liability insurance ($378,500),
roughly $51,000 General Fund money remains available to
transfer to the Tort Liability Self-Insurance
Account without increasing 1986 budgeted
insurance costs. This could be augmented with
proportional additional assessments from the other funds
to equal the $78,000 premium. It is the writers opinion
that this funding source of $78,000 cannot be seen as a
bare minimum funding level for the Tort Liability
Account. An amount between $200,000 and $250,000 is
the writer's preliminary objective.
3. 1986 Liquor Fund Budgeted Allocation
The 1986 Liquor Fund budget provides $71,000 for
liquor liability insurance. However, the 1986 liquor
liability insurance premium amounted to $56,000. Thus,
$15,000 for liquor liability insurance remains in the
Liquor Fund. This money could be transferred to the new
self-insurance account, since the Tort Liability
Account of the Self-Insurance Fund would provide excess
coverage for liquor liability claims.
Liquor Fund Permanent Assessment
In the 1986 and subsequent budgets, a set amount for
annual assessment for Umbrella Liability Insurance could
be initiated. Since the City is unable to purchase any
type of Umbrella or Excess Liability coverage for the
liquor operation, the risk must be sustained by the Tort
Liability Account of the Self-Insurance Fund. One might
also surmise that the risk exposure is significant,
since no insurance company is offering to assume the
risk for a price. Therefore, the Liquor Fund should be
made to pay an annual assessment to obtain coverage from
the Self-Insurance Fund. This assessment would portray
a more accurate summary of the true costs. of operating
the liquor stores. Perhaps an annual assessment would
run as much as $25,000 or $35,000.
5. Transfer of A Portion Current Workers' Compensation Self-
Insurance Fund Balance
The balance of the Workers' Compensation portion
(including Unemployment Insurance) of the Self-Insurance
Fund is approximately $700,000. This fund balance is a
result of seven years of operating the Fund while. the
City contributed an average of $16,000 from the
General Fund to the Self-Insurance Fund for each of the
seven years. Originally, the Self-Insurance Fund was to
achieve and maintain a balance of $500,000. However,
since then the fund balance goal of the fund has been
increased to $650,000 to achieve a greater degree of
safety in the event of multiple claims in one year, and
to provide interest income to the fund so that future
General Fund contributions .could remain stable. Thus,
the Fund does seem to be in a relatively good fund
balance position at year-end 1985. The report to be
.completed by the City auditing firm of Deloitte,
Haskins and Sells will present the City with a more
definitive recommendation of funding for this Account.
6. .Using A Portion of The 1986 Budgeted Workers'
Compensation City Contribution for the Umbrella Self-
Insuranee Fund Instead
Each year the City contributes an amount of funding to
the Self-Insurance Fund as a workers' compensation
assessment. Initially, the annual contribution was
$170,000. This figure was based on the City's proposed
1979 Workers' Compensation Insurance premium. The
$170,000 level of funding was continued for three years,
when the contribution to the fund was reduced to roughly
$120,000. The 1985 and 1986 budgeted contributions have
been established at $125,000. With the City's past
experience and level of contribution, the Workers'
Compensation Account of the Self-Insurance Fund balance
has grown each year, to the December 31, 1985, level of
approximately $700,000.
One option for 1986 may be to allocate the funds
budgeted for the Self-Insurance Fund Workers'
Compensation Account and transfer them to the Tort
Liability Account instead. Such an action would
depend upon the auditor's recommendation for the
Workers' Compensation Account fund balance. By not
designating the budgeted $125,000 toward the Workers'
Compensation account, the fund balance of that account
would most likely be reduced by at least $75,000 due
to expected claims. Another option might be to use a
portion of the 1986 allocation for the Workers'
Compensation Account and the remainder for the Tort
Liability Account.
7. Annual Assessments to Enterprise. General and Internal
Service Funds
Once the initial fund balance has been established, a
method for ongoing funding of the Tort Liability Account
must be determined. A logical approach to such funding
would be to make annual assessments to all City General,
Enterprise and Internal Service Funds. The ongoing
level of funding, commencing with the 1987 budget,
should be no less than $75,000 annually. However, a
more realistic annual funding level might be $100,000 or
$125,000 to attempt to build up the fund balance while
paying the normal claims that will occur in the
deductible level each year. A better idea of how large
a fund balance is needed or how much of an annual
assessment is necessary can be determined after the
auditor has completed an actuarial analysis of the fund.
Summary
In conclusion, this progress report has addressed the
creation of a Tort Liability Account which would cover payment
of claims within the deductible level and/or over any primary
limits of insurance coverage the City now carries. The
following issues were considered:
- Deloitte, Haskins and Sells (the City's auditor) has been
engaged to review the City's current. self-insured
programs (workers' compensation, unemployment compensa-
tion and dental) and recommend a fund balance (reserves)
for those accounts. The cost of this service is not to
exceed $~4 , 900 .
- Upon City Council coneurranee, the City Manager will
. engage Deloitte Haskins and Sells to do an actuarial
analysis of the ..proposed Tort Liability Account to
recommend both an initial start-up amount and the
ultimate fund balance goal. The additional fee is
$10,800.
- Several funding sources to establish an initial fund
balance for 1986 and on-going funding for the Tort
Liability Account have been identified. A specific 'i
recommendation will be made after the auditors complete
a fund balance analysis for all self-insurance accounts.
- The writer will present a complete program for all self-
insurance accounts, including a resolution creating the
proposed Tort Liability Account to the City Council
during the second City Council meeting in March.
I
- All auditor fees will be paid from the Self-Insurance ~
Fund.
Respectfully submitted,
John G. Ca tw ght
_ City Manager 'I
JGC/eja
ce: Administrative Services Director
_ Finance Manager ~
Personnel Manager
Department Directors
I
CITY OF RICHFIELD, MINNESOTA
Office of City Manager ',I
Council Letter No. 74
Agenda February 10, 1986
The Honorable Mayor
and
Members of the City Council
City of Richfield
Subject: Appointments to Advisory Boards and Commissions
Council Members:
This council letter lists the appointments to be made
to each commission or advisory board; notes those who wish to
be considered for reappointment; and, lists the names of persons
seeking to be appointed for the first time to an advisory board
or commission.
Some applicants have expressed an interest in more than one
commission. Their order of preference of appointment is listed
next to their names.
Advisory Board of Health
There are seven appointments to be made to this board.
Three persons whose terms expire in January, 1986, wish to be
considered for reappointment, and there are six new applicants.
One third of the members of the ,Advisory Board of Health are to
be licensed health providers; .one-third shall be consumers
selected to represent consumer organizations within the '
community, and one-third shall represent the community at large.
Applicants
Jeannette Loftstrom-served two terms, seeks reappointment-
consumer
Jane C. Myre-served one term, seeks reappointment-consumer
Joan Pelfrey-served two terms, seeks reappointment-consumer
Margaret DaWald-provider ~I
Jacquelyn Lockman-provider
Holli Rietmulder-provider
Susan Rosenberg-consumer
Ramona Rusinak-provider
Robert Servold-provider
~
Appointments to be Made Term Expires
1. January 31, 1988
2. January 31, 1988
3. January 31, 1988
~ January 31, 1988
5. January 31, 1988
6. January 31, 1988
7. January 31, 1987
Civil Service Commission
There is one appointment to be made. The incumbent wishes
to be considered for reappointment, and four other persons are
interested in being appointed to this commission.
Applicants
Dominic Zappia-served two terms, seeks reappointment
Timothy Erlander-third choice, Planning Commission first
choice; and, Community Services Commission, second choice
Gordon Herrboldt-fourth choice, Community Services first
choice; Planning Commission second choice; ,and ::-iuman
Services, third choice
Frances Jorgensen-first choice. Human Rights second choice.
Joanne Wilmes-third choice. Planning Commission first
choice, Community Services second choice.
Appointment to be Made Term Expires
1. January 31, 1989
Community Services Commission
There are'four appointments to be made to this commission.
Three incumbents wish to be considered for reappointment, and
there are nine new applicants.
Applicants
Rodell Kopesky-served two terms, seeks reappointment
Don Anderson-served one term, seeks reappointment
Theresa Kassa-served one term, seeks reappointment
Dave Dunham
Timothy Erlander-second choice. Planning Commission,
first choice, Civil Service third choice.
Gordon Herrboldt-first choice. Planning Commission
second choice, Human Services third choice, and,
Civil Service fourth choice.
Thomas Kegley
/~,3
Robert Meyer-second choice. Planning Commission first
choice
Peter Schlemmer-second choice. Planning Commission first
choice and Human Rights third choice.
Karen Skwira
Daniel Thurber-second choice. Planning Commission first
choice.
Joanne Wilmes-second choice. Planning Commission first
choice, Civil Service third choice.
Appointments to be Made: Term Expires
1. January 31, 1989
2. January 31, 1989
3• January 31, 1989
January 31, 1988
Energy Awareness Commission
There are four appointments to be made to this commission.
One of the incumbents wishes to be reappointed, and there is one
new applicant.
Applicants
Sid Sanford-served one term, seeks reappointment.
Donald Buck
Appointments to be Made Term Expires
1. January 31, 1989 .
2. January 31, 1989
3• January 31, 1989
January 31, 1988
Human Rights Commission
There are four adult appointments to be made. All three of
the incumbents wish to be reappointed. Two of the incumbents,
Carole Rud, and Bill Svejda, were appointed to fill unexpired
terms in late 1985, and-would like an opportunity to serve a
complete term. The other incumbent, Al Moore, has served one
term and would like to be considered for reappointment.
Applications have also been received from five new applicants.
/1/ ~
Applicants
Al Moore-served one term, seeks reappointment
Carole Rud-appointed August, 1985, seeks reappointment
Bill Svejda-appointed August, 1985, seeks reappointment
` David Aslakson
Frances Jorgensen (second choice, Civil Service, first
choice
Darold Luze
Peter Schlemmer-third choice. Planning Commission first
choice, Community Services second choice.
Sharon Traxler
Appointments to be Made _ Term Expires
1• January 31, 1989
2• January 31, 1989
3• January 31, 1989
January 31, 1988
Human Services Commission (Serving the Seniors and Disabled)
There are three appointments to be made to this commission.
One of the incumbents, Marla Carlson, who was appointed in 1985.
• to fill an unexpired term, wishes to be considered for
reappointment. There are three other applicants for this
commission.
Applicants
Marla Carlson-appointed late 1985, seeks reappointment
Mark Erspamer
Gordon Herrboldt-third choice. Community Services first
choice, Planning Commission second choice, and, Civil
Service, fourth choice.
Patrica Marble
5
~~poi~.r~rrients to be Made Term Expires
1. January 31, 1989
2. January 31, 1989
3. January 31, 1989
Planning Commission
There are five appointments to be made. .The three
incumbents wish to be considered for reappointment. There are
also nine new .applicants interested in this commission.
Applicant
Barbara Kritzman-served two terms, seeks reappointment
Charles Kauth-served two terms, seeks reappointment
Robert Jensen-served one term, seeks reappointment
Joel Ahlstrom
Jan Bray
Timothy Erlander-first choice. Community Services second
choice, Civil Service third choice.
Gordon Herrboldt-second choice. Community Services first
choice, Human Services third choice, and Civil Service,
fourth choice.
Robert Meyer-first choice. Community Services second
choice.
John Praetorius
Peter Schlemmer-first choice. Community Services second
choice, Human Rights third choice.
Daniel Thurber-first choice. Community Services second
choice.
Joanne Wilmes-first choice. Community Services second
choice, Civil Service, third choice
Appointments to be Made Term Expires
1. January 31, 1989
2. January 31, 1989
3. January 31, 1889
January 31, 1988
5. January 31, 1988
Sister City International Committee
There are three appointments to be made to this committee.
Abdelhak Barbouche wishes to be considered for reappointment.
Three other persons have also applied for appointment.
Applicants
Abdelhak Barbouehe-served one term, seeks reappointment
Rudi Martingnaeco
Doris Ruenstein
Susan Nagel
Appointments to Be Made Term Expires
1. ~ January 31, 1989
2. January 31, 1989
3. January 31, 19$9
These appointments have been scheduled for the February 10,
1986 city council meeting.
Re ectfu~y r~itted,
L-~~' ~
J hn G. Cdrtw fight;
ity Manager ~
JGC/eja
7
Richfield, ~ -innesot~:
Febru..ry 4, 1 op c.
The Honorable f~~ayor
:end
f9embers of the City Council
and
Connie Hovers on, Ch^irperson of the Flenninn Commission.
Dear f•~ayor, City Council f~er~^ers ~:nd Connie Hoverscn:
~s of Danuary C1, 1°?_, I refired frc~ vccatcn at ''C~.. Yore:.
In order fOr me tC aCC2pt tTa~JB11nC O":~OrtUnitlES 2^d t0 ~1Ve rcre ~'_!"E LC O:.'r
stores in f•adison, +aisconsin, I find it advisable to resi~^n frog the ~lanninc
Commission. I will continue to serve ~~t vour pleasure er until si~ch tir:e as
another appointment is made. •
I have enjoyed this o;_;~ortunity to serve with you, Connie, and other
me-",bErs of the Commission, I wish you all continued success. I
• Thank you aoain for the .:rivileoe to have served in this cap~:city, f".y
hope is to continue to serve Richfield in the other areas of res~cnsi`ilities
that I have accEpted. ~
~incerel~~,
l
Vern L. Luet~in^er
Cony liven to Connie.
•
CITY OF RICHFIELD, MINNESOTA
Office of City Manager
Council Letter No. 73
• Agenda February 10, 1986
The Honorable Mayor
and _ _
Members of the City Council
City of Richfield
Subject: Alternative Resolutions Concerning the Referendum
Petitions Proposing the Repeal of an Ordinance to
'Rezone the Site of the Former Cloverleaf. Motel at
the Northeast Quadrant of 135W and I~9~
Interchange from C-2 General Commercial to
PC-2 Planned General Commercial for the Proposed
CDR Development, Bill 1985-27
Council Members:
On January 27, 1986, Mr. Ernest Lindstrom filed a
referendum petition with the City Clerk. The petition
(Attachment A) proposed the "repeal of an ordinace to rezone the
site of the former Cloverleaf. motel at the Northwest quadrant of
135W and I49~ interchange from C-2 general commercial to PC-2
planned general commercial for the proposed CDR development,
Bill 1985-27." The petition incorrectly describes the property
as the Northwest quadrant of the intersection of 135W and
I494. It should read northeast quadrant.
The Richfield City Charter, Section 5.11, provides as
follows:
"The referendum. If prior to the date when an ordinance
takes effect a petition signed by qualified voters of the
city equal in number to ten per cent of the total number of
registered voters at the time of the last regular election
is filed with the city clerk requesting that any such
ordinance. be repealed or submitted to a vote of the
registered voters, the ordinance .shall thereby be prevented
from going into operation. The council shall thereupon
reconsider the ordinance at its next regular meeting, and by
majority vote either repeal or affirm the ordinance as
passed. If the ordinance is affirmed, the council shall
immediately order a special election to be held thereon, or
.submit the ordinance at the next regular municipal election,
pending which the ordinance shall remain suspended. If a
. majority of the voters voting on the ordinance is opposed
to the ordinance, it shall not become effective; but if a
majority of the voters favor the ordinance, it shall go
into effect immediately or on the date therein specified."
The petition has been examined by the City Clerk and was
found to contain the signatures of 2,554 qualified Richfield
registered voters. This number is sufficient to meet the
required 10% (2,440) of the number of registered voters at the
time of the last regular election.
The Charter provision indicates that the Council must
reconsider the ordinance at its next regular meeting, which in
this case is February 10, 1986. At that time the Council's
options are either (a) to repeal the ordinance or (b) to affirm
the ordinance as originally passed.
In addition to the challenge to the ordinance which arises
from the referendum petition, the validity of the ordinance has
been challenged in a District Court proceeding in the case of
Sorum et al. v. City of Richfield. The lawsuit claims,
among other things, that proper notices were not given prior to
the adoption of the ordinance on October 28, 1985. The Hennepin
County District Court has issued an Order granting a temporary
injunction restraining the publication of the ordinance and from
taking certain other actions with regard to the CDR project,
until new notices are given and new hearings are held in
compliance with city ordinances and state law. If the validity
of the city's actions leading to the adoption of the ordinance
must be litigated, the litigation would no doubt involve delay
and expense. The status of redevelopment in the_Interstate-
Lyndale area would be in doubt for an extended period of time.
The Council could undertake to eliminate the questions involving
the notices. and hearings in adopting the ordinance by rescinding
their previous action so that the procedures can be started
fresh - assuming that the developer determines to proceed with a
project in some form. The ordinance has not been published and
therefore it is not now in effect.
Further, the City Attorney has indicated in an attached
memorandum concerning referendum petition that the petition I,
assumes the process of adopting the ordinance has progressed to
a point where it can be the proper subject of the petition and
that the rezoning ordinance is a proper subject for referendum
under the City charter. In a Minnesota Supreme Court case, it ~
was decided that a rezoning ordinance was subject to a refer-
endum under the Duluth Charter.
If the City Council decides to rescind its action of October
28, 1.985, and to repeal the disputed ordinance, any potential
legal questions involving the timing of the petition or
preemption of the City Charter by the State Law should be
considered moot. If the Council wishes to rescind its action
and repeal the ordinance (Bill. 1885-27), a resolution providing
the form for such action is attached.
If the City Council determines to affirm the ordinance and
call a special election, an alternative resolution providing for
such action is also attached. In order to fulfill all of the
necessary legal requirements, recruit election judges, print
ballots, and, arrange for polling places, the earliest a special
election could be scheduled is March 25, 1986. However, this _
date falls during Easter week and could create a potential
conflict with scheduled religious activities in some of the
polling places. Therefore, April 1, 1986, may be the earliest
possible date for the election. The cost of a special eleet•ion
is estimated between $5,000 to $8,000. It should be noted that
the City Council could postpone any such election until as late
as the Fall of 1986 general election. However, such an option
would not be timely to the resolution of this matter.
CDR, through its attorney, has advised the City Attorney and
the City Manager that they will ask the City Council to repeal
the zoning ordinance passed by the City Council. CDR also
requests that the action to repeal be without prejudice to its
right to pursue its rezoning petition at a later time after
efforts to gain general acceptance of its revised project. City
staff recommends that the City Council approve the resolution to
rescind and repeal the zoning ordinance.
R eetf ly witted,
ohn G. a~twright
City Manage
JGC/eja
/1--~
CITY OF RICHFIELD, MINNESOTA
Inter-Office Memorandum
DATE January 31, 1986
To John Cartwright, City Manager
FROM Thomas Ferber, City Clerk/'`~~
SUBJECT Referendum Petition
Verification of the signatures on the referendum petition has been
completed by the city clerk division. As a result, it has been determined
that 2554 of the 3159 signatures on the petition are qualified registered
voters.
Section 5.11 of the city charter states;"The Referendum. If prior to
the date when an ordinance takes effect a petition signed by qualified
registered voters of the city equal in number to ten percent of the total
number of registered voters at the time of the last regular election is
filed with the city clerk requesting that any such ordinance be repealed
or submitted to a vote of the registered voters, the ordinance shall thereby
be prevented from going into operation. The council shall thereupon re-
consider the ordinance at its next regular meeting, and by majority vote
either repeal or affirm the ordinance as passed.---If -the ordinance is -
_ affirmed, the council shall immediately order a special election to be
held thereon,or submit the ordinance at the next regular municipal election ~
pending which the ordinance shall remain suspended. If a majority of
the voters voting on the ordinance is opposed to the ordinance, it shall
not become effective; but if a majority of the voters favor the ordinance,
it shall ~o into effect immediately or on the date therein specified.
The total number of registered voters at the PJovember 5, 1985 election
was 24,399. Ten percent of this figure is 2439. Therefore, the number of
petitioners is in excess of ten percent and is sufficient in meeting the
requirements of Section 5.11.
cc: Steve Devich
` ~ REFSRENDOM PETITION
Proposing the repeal of an ordinance to rezone the site
of the former cloverleaf motel at the Northwest quadrant of I35W
and I494 Interchange from C-2 general commercial to PC-2 planned
general commercial for the proposed CDR development, Bill 1985-27,
a copy of which ordinance is hereto attached. .The proposed repeal
is sponsored by the following committee of registered voters:
Name Address
1, Diane Olson 7532 Fremont Avenue South
Richfield, Minnesota 55423
2, John J. Halloran' 7513 Fremont Avenue South
Richfield, Minnesota 55423
3, Diane Meyer 7545 Emerson.Avenue South
Richfield, Minnesota 55423
4, Thomas F. Linder 7609 Emerson Avenue South
Richfield, Minnesota 55423
5. I. O. Sorum ?537 Fremont Avenue South
Richfield, Minnesota 55423 .
6, Allan R. Aase 7617 Emerson Avenue South
.Richfield, Minnesota 55423
7,. Dale Schwie 7514 Girard Avenue South
Richfield, Minnesota 55423
The undersigned qualified registered voters, understanding
the. nature of the ordinance hereto attached and believing it to be
detrimental to the welfare of the City, petition the council for
its submission to a vote of the voters for their approval or
disapproval. .
Name Address
n
MEMORANDUM CONCERNING
• ~ REFERENDUM PETITION
The Richfield City Charter, in Section 5.11, provides as
follows:
"The referendum. If prior to the date when an ordinance
takes effect a petition signed by qualified voters of
the city equal in number to ten per cent of the total
number of registered voters at the time of the last
regular election is filed with the city clerk requesting
that any such ordinance be repealed or submitted to a
vote of the registered voters, the ordinance shall
thereby be prevented from going into operation. The
council shall thereupon reconsider the ordinance at
its next regular meeting., and by majority vote either
repeal or affirm the ordinance as passed. If the
ordinance is affirmed, the council shall immediately
order a special election to be held thereon, or submit
the ordinance at the next regular municipal election,
pending which the ordinance shall remain suspended.
If a majority of the voters voting on the ordinance.
is opposed to the ordinance, it shall not become
effective; but if a majority of the voters favor the
ordinance, it shall go into effect immediately or on
the date therein specified."
A referendum petition has been filed re uestin the re eal
q 9 P
of the ordinance rezoning the site of the Cloverleaf Motel
from C-2 general commercial to PC-2 planned general commercial,
to enable a planned unit development permit to be granted
for developments such as the proposed CDR project. The peti-
tion incorrectly states that the property involved is in the
northwest quadrant of the intersection of I35W and I494. The
petition has been examined by the city clerk and has been
found to contain the required ten percent of the number of
registered voters in the city at the time of the last regular
election.
The charter provision indicates that the council must re-
consider the ordinance at its next regular meeting, which in
this case is February 10, 1986. At that time the council's
options are either (a) to repeal the ordinance or (b) to
affirm the ordinance as originally passed.
In addition to the challenge to the ordinance which arises
from the referendum petition, the validity of the ordinance
has been challenged in a District Court proceeding in the
case of Sorum et al. v. City of Richfield. The lawsuit
claims, among other things, that proper notices were not
given prior to the adoption of the ordinance on October 28,
1985. The Hennepin County District Court has issued. an
Order granting a temporary injunction restraining the
publication of the ordinance and from taking certain other
/l- 7
actions with regard to the CDR project, until new notices
are given and new hearings are held in compliance with city
ordinances and state law. If the validity of the city's
actions leading to the adoption of the ordinance must be
litigated, the litigation would no doubt involve delay and
expense. The status of redevelopment in the Interstate-
Lyndale area would be in doubt for an extended period of
time. The council could undertake to eliminate the ques-
tions involving the notices and hearings in adopting the
ordinance by rescinding their previous action so that the
procedures can be started fresh -assuming that the devel-
oper determines to proceed with a project in some form.
The ordinance has not been published and therefore it is not
now in effect.
The referendum petition assumes that the process of adopting
the ordinance has progressed to a point where it can be the
proper subject of the petition. It also assumes that the
rezoning ordinance is a proper subject of referendum under
the city charter. In the Minnesota Supreme Court case of
Denney v. City of Duluth (1972) 202 N.W.2d 892, it was
decided that a rezoning ordinance was legislative in nature
and therefore was subject to a referendum under the Duluth
Charter.. In a footnote to its opinion in-that decision, the
Supreme Court stated:
"Defendant, for. the first time, raises in its
appeal to this court the issue of whether
Minn.St. 462.351 to 462.364 preempts the
field of zoning regulation and thereby
invalidates the referendum provisions of
the Duluth charter. See footnote 5, supra.
We have held on numerous occasions that an
unlitigated issue may not be asserted for
the first time on appeal, and accordingly
we do not attempt to resolve either this
preemption issue or the issue attended
to in footnote 6 at this time. Radke v.
Brenon, 271 Minn.. 35, 134 N.W.2d 887 (1965);
Strupp v. Canniff, 276 Minn. 558, 150 N.W.2d
574 (.1967); American Surety Co. of New York
v. Greenwald,. 223 Minn. 37, 25 N.W.2d 681
(1946); Allen v. Central Motors, Inc., 204
Minn. 295, 283 N.W.490 (1939)."
If the city council decides to rescind its action of October 28,
1985 and to repeal .the disputed ordinance, any potential
legal questions involving the timing of the petition or
preemption of the city charter by the state law would be
rendered moot. If the council wishes to .rescind its action
and repeal the ordinance, a suggested form of resolution is
attached. If the council determines to affirm the .ordinance
and call a special election, an alternative resolution
providing for such action is attached.
~
RESOLUTION NO.
A RESOLUTION RESCINDING
AND REPEALING "AMENDMENT
TO APPENDIX C OF THE
ORDINANCE CODE OF THE
CITY OF RICHFIELD" ADOPTED
OCTOBER 28, 1985._
WHEREAS, on October 28, 1985, the city council of the City
of Richfield adopted an ordinance bearing the designation
"Bill No. 1985-27" and entitled "Amendment to Appendix C of
the Ordinance Code of the City of Richfield" (the "Ordi-
nance"), and ,
WHEREAS, the publication of the Ordinance was withheld by
action of the .city council pending completion of environ-
mental procedures relating to a development proposed by CDR
Investments of Minnesota, Inc. ("CDR") on the property which
was the subject of the Ordinance, and
WHEREAS, an action has been instituted against the City of
Richfield in the case of Sorum v. City of Richfield in
District. Court of Hennepin County challenging the validity
of the Ordinance because of procedures followed by the city
in the adoption of the, Ordinance, and
.WHEREAS, such litigation has resulted in a temporary injunc-
tion restraining the city from proceeding to publish the
Ordinance and from certain other actions until new notices
have been given and new hearings have been held, and
WHEREAS, the Ordinance has also been challenged by the
filing of a referendum petition under the provisions of City
Charter Section 5.11, requesting that the Ordinance be
repealed or submitted to a referendum of the voters of the
city, and
WHEREAS, CDR has requested that the Ordinance be repealed,
without prejudice to its right to pursue its rezoning peti-
tion at a later time, to permit CDR to work with residents
of the city in an effort to develop its project in a way
which will receive general acceptance within the community,
NOW, THEREFORE, BE IT RESOLVED by the city council of the
City of Richfield as follows:
1. The action of the city council taken on October 28,
1985, adopting the Ordinance, is hereby rescinded.
2. The following Ordinance is hereby adopted:
AN ORDINANCE REPEALING
"AMENDMENT TO APPENDIX C
OF THE ORDINANCE CODE OF
THE CITY OF RICHFIELD"
ADOPTED OCTOBER 28, 1985.
WHEREAS, on October 28, 1985, the city council of
the City of Richfield adopted an ordinance designated
as "Bill No. 1985-27" entitled "Amendment" to Appendix
C of the Ordinance Code of the City of Richfield"
(the "Ordinance"), and
WHEREAS, ,the Ordinance has never been published, and
WHEREAS, the validity of the Ordinance is being chal-
lenged through litigation, and
WHEREAS, the Ordinance has been challenged through
the filing of a referendum petition calling for its
repeal,
NOW, THEREFORE, ,
CITY OF RICHFIELD DOES ORDAIN:
The Ordinance, to whatever extent it may have legal
force and validity, is hereby repealed.
Passed by the city council of the City of Richfield
this day of 1986.
ATTEST:
Mayor
City Clerk City Manager
. ~
t
RESOLUTION N0.
A RESOLUTION CALLING FOR
A SPECIAL ELECTION TO DETERMINE
WHETHER ORDINANCE NO.
SHALL BE AFFIRMED OR REPEALED.
WHEREAS, on October 28, 1985, .the city council adopted an
ordinance designated as "Bill No. 1985-27" and entitled
"Amendment to Appendix C of the Ordinance Code of the
City of Richfield" providing for the rezoning of the
former Cloverleaf Motel site at the northeast quadrant
of I35W and I494 interchange from C-2`general commercial
to PC-2 planned general commercial (the "Ordinance"), and
WHEREAS, a petition has been filed pursuant to Richfield
City Charter Section 5.11 requesting that such Ordinance be
repealed or submitted to a vote of the registered voters of
the city, and
WHEREAS, the city clerk has determined that such petition
has been signed by qualified registered voters of the city
equal in number to ten percent of the total number of regis-
tered voters at the time of the last regular election of the
city, and
I
WHEREAS, the city council, upon the filing of such petition,
is required to reconsider the Ordinance and to either repeal
or affirm it, and
WHEREAS, the city council deems it to be in the best interests
of the city to affirm the Ordinance and to order a special
election to be held on the question of whether the Ordinance
shall be affirmed or repealed,
NOW, THEREFORE, BE IT RESOLVED by the city council of the
City of Richfield as follows:.
1. The Ordinance is hereby affirmed.
I
2. In order to submit the Ordinance to the voters of
the city,. a special election is hereby called to be held in
the City of Richfield on Tuesday, the day of ,
1986, between the hours of A.M. and P.M.
The election shall be held and conducted in accordance with
the laws of the State of Minnesota and the city charter
I' relating to special municipal elections.
\
1/-l~
3. The city clerk shall cause a notice of election •
to be posted and published as required by law as follows:
(a) The notice of election shall be published
once in the official newspaper of the city
at least two weeks prior to the election;
(b) The notice of election and a sample ballot
shall be posted at each of the polling places
at least ten days prior to the election;
(c) The notice of election and a sample ballot
shall be posted in the office of the city
clerk at least four days prior to the elec-
tion; and
(d) The sample ballot shall be published in the
official newspaper at least one week prior
to the election.
4. The polling places and the respective judges for
the election shall be those established by the city for the
1985 municipal election.
5. The city clerk is authorized and directed to pre-
pare separate ballots for the election to be printed on blue
paper in substantially the following form:
OFFICIAL BALLOT
SPECIAL ELECTION
CITY OF RICHFIELD
_ 1986
The city council of the City of Richfield has adopted
an Ordinance rezoning the site of the former Cloverleaf
Motel at the northeast quadrant of I35W and I494 interchange
from C-2 general commercial to PC-2 planned general commercial.
The Ordinance would have the effect of permitting the city to
grant a special use permit for a planned unit development such
as the proposed CDR development, on that property. The
Ordinance, prior to its adoption, was designated as "Bill
No. 1985-27" and is entitled "Amendment to Appendix C of the
Ordinance Code of the City of Richfield".
SHALLa~HE ABOVE-DESCRIBED ORDINANCE BE APPROVED? ~ ~ YES
NO
INSTRUCTIONS TO VOTERS: Voters desiring to vote in favor of the
Ordinance shall make a cross mark (x) in the square opposite the
word YES. Voters desiring to vote against the Ordinance shall
place a cross mark (X) opposite the word N0.
6. The city. council shall meet in the city hall on
the day ,of 1986, at
o'clock P.M., C.T. to canvass the results of the
election and to declare the results thereof.
~
CITY OF RICHFIELD, MINNESOTA
Office of City Manager
Council Letter No. 72
Agenda February 10, 1986
The Honorable Mayor
and
Members of the City Council
City of Richfield
Subject: Resolution Providing for the Issuance and Sale of
$2,525,000 General Obligation Revenue Bonds of 1986
For Storm Sewer Improvements
Council Members:
City Administration recommends approval of a resolution
providing for the issuance and sale of $2,525,000 General
Obligation Revenue Bond of 1986. The proceeds of this bond sale
will be used to finance a series of storm drainage utility
improvements. The financing of the storm drainage utility
improvements through the sale of General Obligation Revenue
bonds was a part of the storm sewer utility program adopted by
the city council in 1985. City staff has worked with Evenson-
Dodge, Inc., the city's financial consultant, and the city
attorney to make the arrangements for this bond sale.
A pre-sale analysis of the $2,525,000 bond sale has been
prepared by Wayne Burggraaff of Evenson-Dodge, Inc. and he will
be present at the February 10, 1986, city council meeting to
review the pre-sale analysis.
Purpose of the Sale
The bond sale will be used to finance the following storm
drainage utility projects:
Project Amount
69th Street/Logan Avenue to 35W $ X7,300
76th Street and Washburn Avenue X440,000
66th Street and Xerxes Avenue 189,000 j
Norby's Pond 1,204,000
Wilson's Pond 535,000
Legion Lake 155,000
Pond Dredging Projects (Christian, Milner,
Wilson) 29,700
TOTAL $2,600,000
.
Less: 1985 and 1986 Storm Drainage Utility - 300,000
Capital Improvements Revenue
$2,300,000
Capitalized Interest 155,000
Underwriters Discount X5,000
Issuance & Administrative Costs 25,000
TOTAL BOND ISSUE $2,525,000
The $2.6 million estimated storm sewer project cost includes
a built-in 18.6°b contingency to provide for engineering, legal,
administrative and other contingency costs.
Pending federal legislation would no longer permit a
municipality to earn a greater amount of interest on .investment
of bond proceeds than the net yield of the bonds if all bond
proceeds are not spent within six months of the date of the bond
sale. Further, all bond proceeds must be spent within. three.
years of the bond sale or the bonds could lose tax exempt
status. Thus, in order to meet these restrictive requirements,
Pond Dredging Projects for dredging of Christian, Milner and
Wilson ponds in the amount of $29,700 has been added to the list
of projects to be funded by the bond sale.. This is a
contingency project to be done only if monies are available from
the bond issue after completion of all other storm sewer
projects.
A contract has previously been awarded for the dredging of
Norby's Pond. Work is underway at this time.
Retirement of Debt
The retirement of the debt for the $2,525,000 General
Obligation Revenue. Bonds is pledged from the revenues generated
from the city's utility accounts. While it is anticipated that
the bonds will be retired entirely from revenues generated by
the storm drainage utility, the city may strengthen the bond
issue by pledging revenues from the city's other two utility
accounts (water and sanitary sewer) to cover the annual debt
retirement of the bonds. This-can be achieved without formally
combining the utility accounts. Instead, such a covenant to
pledge funds may be established by resolution. City staff
recommends that the city council take this action too..
To provide for the retirement of the bond issue, a series of
annual increases to the storm drainage utility quarterly fees
will probably be necessary commencing January 1, 1987. Assuming
an annualpayment of $255,000 for the retirement of the bonds,
and a annual increase in the cost of operation and
maintenance of the storm drainage utility, a 6% annual increase
in the storm drainage utility charges would make the fund self
supporting with respect to repayment of the $2,525,000 bond
issue by 1991 (see Attachment. A). Prior to that date, funds
/~;3 -
from the Sanitary Sewer and Water Funds would be needed to
assist in the debt retirement of the bonds. The assumed
repayment schedule also assumes no additional storm drainage
utility improvements until after 1991. Of course, the funds
available for bond retirement and/or capitalimprovements could
be modified based upon varying the annual percentage increases
to the storm drainage utility charges. For example, the
proposed CDR redevelopment project in the northeast quadrant of
135W and I49~+ will require a storm water runoff relief sewer to
Wood Lake.
Conclusion
The bond sale has been scheduled for March 10, 1986, so that
work may. commence during the coming spring construction season.
It is recommended that the city council adopt the attached
resolution providing for the issuance and sale of $2,525,000
General Obligation Revenue Bonds.
R ectfu s witted,
~
/
/~ohn G. Cart 'ght
City Manager
JGC:sb
FINANCIAL PLAN TO MEET DEBT
SERVICE IN EARLY YEARS OF ATTACHMENT A
$2,525,000 G.O. REVENLIE BONDS
APPROXIMATE OPERATIONS & CAPITAL ANNUAL BORROWID FROM TOTAL OWED ~
STORM SEWER MAINTENANCE IMPROVEf~NT BOND DEBT OR (REPAID) TO SANITARY SEWER
UTILITY REVENUE COSTS & DEBT RETIREMENT SANITARY FUND INCLUDING.
YEAR (6~ ANNUAL INC.) (4% ANNUAL INC.) RETIREMENT PAYMENT SEWER FUNB 9;ti ANNUAL IMI'EREST
~ ~
1986 , $400,000 , $190,000 i Paid from ; $255,000 i $ - i $ -
~ ; ; capitalized
interest from
bond sale ~
' i i i i
1987 , $424,000 , $198,000 , $226,000 i $255,000 , $ 29,000 , $31,6'10
~ i
1988 , $449,000 i $206,000 i $243,000 i $255,000 i $ 12,000 , $47,535
~ ~
1989 , $476.,000 , $214,000 i $262,000 , $255,000 i $ (7,000) i $44,.183
~ , i i i ~
1990 ; $505,000 , $222,000 , $283,000 , $255,000 , $(28,000) i $17,639
~ ~ ~
1991 , $535,000 ~ , $231,000 i $304,000 , $255,000 , $(49,000) , Repaid + $31,361
' ~ surplus
1992 , $567,000 i $240,000 i $327,000 , $255,000 i
~ ~ i i i ~
Attachment A explains where sufficient funds will be obtained to meet debt service in the
first seven years of the bond issue. For example, in the year 1987, $226,000 from storm
sewer quarterly fees will be combined with a loan of $29,000 from the sanitary sewer fund
to meet the $255,000 annual debt service payment.
i ~
s
Extract of Minutes of Meeting
of the City Council of the City
of Richfield, Hennepin County, Minnesota
Pursuant to due~call and notice thereof a regular meeting of the City
Council of the City of Richfield, Hennepin County, Minnesota, was held at
the City Hall in said City on Monday, February 10, 1986, commencing at 7:00
o'clock P.M.
The following members were present:
and the following were absent:
The following written resolution was presented by Councilmember
who moved its adoption, the reading of which was dispensed with
by unanimous consent.
RESOLUTION N0.
RESOLUTION PROVIDING FOR THE ISSUANCE
AND SALE OF $2,525,000 GENEP.AL OBLIGATION
STORM SEWER REVENUE BONDS, SERIES 1986A
BE IT RESOLVED By the City Council of the City of Richfield,
Hennepin County, Minnesota. (City) as follows:
1. It is hereby determined:
(a) The City is authorized by Minnesota Statutes, Section
444.075 (Act) to issue and sell its general obligation
(Bonds) to finance all or a portion of the cost of the
construction, enlargement and other improvements to its
storm sewer system including mains, holding areas and
ponds, and other appurtenances and related facilities
~
for the collection and disposal of storm water (Facil-
ities).
(b) The Bonds may be general obligations of the City if the
City Council in the resolution awarding the sale of the
Bonds covenants that it will impose rates and charges
for the use of the Facilities at the times and in the
amounts required to produce, together with any other
revenues pledged for payment of the Bonds, net revenues
(as defined by the Act) adequate to pay all principal
and interest when due on the Bonds.
{c) The City has duly adopted Bill No. 1985-5, (Section 8
of the Richfield Code of Ordinances) providing for a
system of rates and charges for the use of the Facil-
ities.
(d) The Director of Community Services has informed this
Council that contracts for the construction and related
costs of construction and improvements to the Faci1-
ities (Project) have been or will be incurred as
follows:
Project Item* Cost
Legion Lake $ 155,000
69th Street 47,300
76th & Washburn Ave. 440,000
66th & Xerxes Ave. 189,000
n'orby's Pond 1,204,000
Wilson Pond 535,000
Miscellaneous Projects 29,700
Subtotal $2,6Q0,000
Less City Contribution (300,000)
Balance $2,300,000
Capitalized Interest 155,000
Issuance costs 25,000
Discount bonds 45,000
Grand Total $2,525,000
*includes engineering, administration and 27, contingency costs.
(e) It is determined that it is necessary and desirable for
the sound financial management of the City and the
Facilities that the City issue and sell its General
Obligation Storm Sewer Revenue Bonds, Series 1986A
pursuant to the Act to finance all or a portion of the
costs of the Project.
2. In order to provide financing for the Project, the City
shall therefore issue and sell Bonds in the amount of $2,480,000. In
order to provide in part the additional interest required to market
the Bonds at this time, additional Bonds shall be issued in the amount
of $45,000. Any excess of the purchase price of the Bonds over the
sum of $2,480,000 shall be credited to the debt service fund for the
Bonds for the purpose 'of paying interest first coming due on such i
additional Bonds. The Bonds shall be issued and sold in accordance i
with the terms of the following Official Notice of Sale:
~
OFFICIAL
NOTICE OF SALE
i $2,525,000 General Obligation Storm Sewer Revenue Bonds,
Series 1986A
City of Richfield
Hennepin County, Minnesota
NOTICE IS HEREBY GIVEN that the City Council of the City of
Richfield, Minnesota, will receive and open sealed bids for the pur-
chase of $2,525,000 general obligation storm sewer revenue bonds of
' the City .until 2:00 p.m. on Monday, March 10, 1986 in the office of
the City Manager, 6700 Portland Avenue South, Richfield Minnesota at
which time the bids will be opened and tabulated for presentation to
the City Council at a regular meeting at 7:00 p.m. on the same day.
Purpose and Security
.The purpose of the bonds is to provide. funds for the finan-
cing of various improvements to the storm sewer system of the City.
The bonds will be general obligations of the issuer, for which its
f
ull faith credit an
d taxing powers are pledged together with net
revenues of the storm sewer, sanitary sewer and water system of the
City.
Date and Maturities /
The bonds will be issued in fully registered form, will be
dated March 1, ].986, will be in integral multiples of $5,000 each and
will mature on February 1 in the following years and amounts:
Year Amount Year Amount
1988 $60,000 199.8 $120,000
1989 65,000 1999_ 125,000
1990 70,000 2000 135,000
1991 75,000 2001 150,000
1992 80 000
2002 160,000
1993 85,000 2003 170,000
1994 90,000 2004 185,000
1995 95,000 2005 200,000
1996 100,000 2006 215,000
1997 110,000 2007 235,000
Redemption
The bonds are subject to redemption and prepayment, ir. whole or
in part, at the election of the City, on February 1, 1992 and any
interest payment date thereafter at their principal amount and accrued
interest to date of redemption plus a premium expressed as a percent-
age of the principal amount to be redeemed for the various redemption
dates as follows:
~
Redemption Date Premium
February 1, 1992 and August 1, 1992 27
February 1, 1993 and August 1, 1993 1.57
February 1, 1994 and August 1, 1994 17
February 1, 1995 and August 1, 1995 .57
February 1, 1996 and thereafter none
If redemption is in part those bonds remaining unpaid which have the
latest maturity date will be prepaid first. If only a part of the
Bonds having a common maturity date are called for prepayment the
specific bonds to be prepaid will be chosen by lot by the Registrar.
Interest
Interest on the bonds will be payable on February 1, 19S?,
and semiannually thereafter on each August 1 and February 1. All
bonds maturing on the same date must bear interest from date of issue
until paid at a single, uniform rate, not exceeding the rate specified
for bonds of any subsequent maturity. Each rate must be in an
integral multiple of 1/8 or 1/ZO of 17, and no rate of interest nor
the net effective average rate of the issue may exceed the maximum
rate of interest permitted by law on the day of sale.
Paying Agent
The City will, prior to the sale, name the .Registrar which
shall be subject to applicable SEC regulations. Principal will be
payable at the principal office of the Registrar and interest will be
payable by check or draft of the Registrar mailed to the registered
holder of a bond. The City will pay the reasonable and customary
charges for the services of the Registrar.
CUSIP Numbers
The City will assume no obligation for the assignment or
printing of CUSIP numbers on the bonds or for the correctness of any
numbers printed thereon, but will permit such numbers to be assigned
and printed at the expense of the purchaser, if the purchaser waives
any extension of the time of delivery caused thereby.
Delivery
Within 40 days after the sale, the City will furnish and
deliver to the office of the purchaser or, at its cption, will deposit
with a bank in the United States selected by it and approved by the
City as its agent to permit examination by and to deliver. to the
purchaser, the printed and executed bonds, the unqualified opinion
thereon of bond counsel, and a certificate stating that no litigation
in any manner questioning their validity is then threatened or pend-
ing. The charge of the delivery agent must be paid by the purchaser,
but all other costs will be paid by the City. The purchase price must
be paid upon delivery of the bonds in funds available for expenditure
/~-/l~
by the City on the day of payment. Delivery is expected to be made on
or about April 15, 1986.
Legal Opinion
An unqualified legal opinion on the bonds will be furnished
by LeFevere, Lefler, Kennedy, O'Brien & Drawz, a Professional Associa-
tion of Minneapolis, Minnesota. The legal opinion will be printed or.
the bonds at the request of the purchaser. The legal opinion. will. ~
state that the bonds are valid and binding general obligations of the
C
it and that the Cit is obli a
y~ y g ted and required to levy taxes for
the rinci al and interest thereon as the
r r sz~e Uec~te 1ue without
limit as to rate or amount.
Type of Bid - Amount
Sealed bids must be mailed or delivered to the undersigned
and must be received prior to the time of said meeting. Each bid must
be unconditional and must be accompanied by a cashier's or certified
check or bank draft in the amount of X50,500, payable to the City
Finance Coordinator, to be retained by the City as liquidated damages
if the proposal is accepted and the bidder fails to comply therewith.
The check will be deposited by the City and deducted from the purchase
rice at th
p e time of delivery of the Bonds. The bid authorizing the
lowest net interest cost (total interest from date of bonds to stated
maturities, less any cash premium or plus any amount less than
$2,525,000 offered for principal) will be deemed .the most favorable.
No oral bid and na bid of less than $2,480,000 for principal plus
accrued interest on all of the bonds will be considered, and the City
reserves the right to reject any and all bids and to waive any infor-
mality in any bids.
i
BY ORDER OF THE CITY COUNCIL
I
/s/ Thomas Ferber
City Clerk
Dated: February 10, 1986.
3. The City Clerk is authorized and directed to advertise the
Bonds for sale in accordance with the foregoing Official Notice of
Sale and to cause the abbreviated notice of sale attached hereto as
Exhibit A, to be published in the manner required by law. The City
Council shall meet on Monday, March 10, 1986, at 7:00 o'clock p.m. for
the purpose of considering bids on the Bonds and taking any other
appropriate action.
4. In the resolution awarding the sale of the Bonds the City
will make the covenants regarding payment of the Bonds required by the
Act.
The motion for the adoption of the foregoing resolution was
duly seconded by Councilmember and upon vote
being taken thereon, the following voted in favor of the motion:
and the following voted against:
whereupon said resolution was declared duly passed and adopted.
is-~~ .
EXHIBIT A
NOTICE OF BOND SALE
$2,525,000
GENERAL OBLIGATION
STORM SEWEP. REVENUE BONDS, SERIES 1986A
CITX OF RICHFIELD, MINNESOTA
HENNEPIN COUNTY
Sealed bids for the above bonds will be received until 2:00 p.m. C.T.
on Monday,
March 10, 1986
in the office of the City Manager at city hall, 6700 Portland Avenue
South, Richfield, Minnesota, at which tine the bids will be tabulated
for presentation to the City Council at a regular meeting at 7:00 P.M.
on that date. The Bonds will be dated March 1, 1986, will bear
interest payable semiannually on each February 1 and August 1 to
maturity, commencing February 1, 1987, and will mature on February 1
in the amounts and years as follows:
Year Amount Year .Amount
1988 $60,000 1998 $120,000
1989 65,000 1999 125,000
1990 70,000 2000 135,000
1991 75,000. 2001 150,000
1992 80,000 2002 160,000
1993 85,000 2003 170,000
1994 90,000 2004 185,000
1995 95,000 2005 200,000
1996 100,000 2006 215,000
1997 110,000 2007 .235,000
Bonds maturing after February 1, 1992 will be subject to redemption
and prepayment on that date and on any interest payment date there-
after at a price of par plus accrued interest to the date of redemp-
tion, plus a premium ranging from 2Z in 1992 to 07 in 1996.
No rate of interest nor the net effective rate of the issue nay exceed
the maximum rate permitted by law. Proposals must specify a price of
not less than $2,480,000 plus accrued interest. A legal opinion on
the Bonds will be furnished by LeFevere, Lefler, Kennedy, O'Brien &
Drawz, a Professional Association, Minneapolis, r~innesota. The
proceeds of the Bonds will be used to finance the costs of various
storm sewer improvement projects in the City.
Prospective purchasers should be aware that the Official Notice of
Sale for the Bonds to be contained in the Official Statement for the
offering may contain additional provisions relating to the Bonds and
conditions regarding their sale. The Official Notice of Sale will
control the terms and conditions of the sale of the Bonds.
~ /
CITY OF RICHFIELD, MINNESOTA
Office of City Manager
Council Letter No. 71
Agenda: February 10,1986
The Honorable Mayor
and
Members of the City Council
City of Richfield
Subject: Ordinance Amendment Related To Snow Storage
Council Members: -
During the council discussion on January 27th of the issues
related to snow removal, city staff reported that a problem
exists with some private property owners in plowing snow onto
city sidewalks or roadway areas. The problem is an inadequate
ordinance to en
force snow storage regulations. This practice b
Y
some private-property owners results. in the deposit of snow on
sidewalks and roadways which have been plowed by the city. The
result is that some sidewalks and roadway areas continue to be
obstructed with snow following city snow removal efforts.
The City Attorney's office has prepared an ordinance to
prohibit the placement of snow on public sidewalks. It is
recommended that the city council give favorable first reading
consideration to the attached ordinance amendment.
R pectfu'1'h witted,
L
'
John G. Car Wright
City Manager
JGC/eja
%D~-~
AMENDMENT TO CHAPTER IV,
SECTION 4.01 QF THE ORDINANCE CODE
OF THE CITY OF RICHFIELD
CITY OF RICHFIELD DOES ORDAIN:
Chapter IV, Section 4.01 of the Ordinance Code of the City of
Richfield, entitled: "Regulation of Littering", is hereby
amended in the following respects:
I. By adding thereto the following new subdivisions:
Subd. 21. Snow and Ice. No owner or person in
'control of private property shall shovel, plow or
cast or permit or allow to be shoveled, plowed or
cast any snow or ice from such private property
onto any public street, sidewalk or public parking
lot. '
II. By renumbering the remaining subdivision of said Section
4.01 accordingly.
Passed by the City .Council of the City of Richfield, Minnesota
this day of , 1986.
John N. Hamilton, Mayor
ATTEST:
Thomas P. Ferber, City Clerk
CITY OF RICHFIELD, MINNESOTA
Office of City Manager
Council Letter No. 70
Agenda February 10, 1986
The Honorable Mayor
and
Members of the City Council
City of Richfield
Subject: Transitory Ordinance Providing for Certain Capital
Improvements. First Reading.
Council Members:
In October, 1985, the city council adopted the 1986 budget
document. Included in that budget was the 1986 Capital
Improvement budget, which includes a number of projects to be
funded from the Special Revenue Fund (liquor profits). The
following projects in the 1986 Capital budget include financing
from this source:
Special General
Revenue Revenue
A
Fund Sharing
Projects Alloe. Alloc. Totals
Energy Improvements' $ - $ 10,000 $ 10,000
City Hall Improvements 20,000 20,000
Legion Lake Park 225,000 225,000
Forestry 25,000 25,000
Park Land Acquisition 15,000 15,000
Parking Lots/Drives*~ 15,000 15,000
Nature Center Improvements 15.,00015,000
City Hall Cooling Tower 10,000 10,000
Fire Vehicle Reserve 30,000 30,000
Public Safety ,
Communications Reserve 15,000 15,00.0 30,000
Total $315,000 $ 80,000 $395,000
* Install double doors at Fire Station ~~2 Tower; install
exterior arena lights; replace paint stall .furnace at
garage.
Lincoln Field and Donaldson Park
While the attached ordinance gives authority. to transfer
funds-from the Special Revenue Fund to the projects identified,
no cash transfers are made until work on the project has
~
commenced and charges for payment have been incurred. To that
end, city staff may delay work on certain projects until after
more information concerning the state cutbacks to local
governments for 1986 are known.
The total 1986 Special Revenue expenditures for capital
improvement purposes is $315,000. Because these projects are
scheduled to be implemented in 1986, it is recommended that the
city council give first reading consideration to the attached
transitory ordinance, appropriating monies from the Special
Revenue Fund for these projects, at the February 10, 1986, city
council meeting.
Respectfu bmitted,
F
- ohn G. ar Wright
City Manager
JGC/eja
i
i
i
9-3
TRANSITORY ORDINANCE N0.
AN ORDINANCE PROVIDING FOR THE EXPENDITURE OF MONEY
FROM THE SPECIAL REVENUE FUND FOR CERTAhN CAPITAL IMPROVEMENTS
City of Richfield Does Ordain:
I
Section 1: It is~found and determined to be necessary and
expedient for the City to expend money from the Special Revenue
Fund for the making of Capital Improvements listed in Section 2 ~i
hereof, for which the City would be authorized to issue general
obligation bonds.
Section 2: The capital improvements and amounts of I,
expenditures for such improvements which are authorized to be
paid from the Special Revenue Fund under Section 7.12, Sub. 2 of
the City Charter, are as follows:
Nature Center Improvements $ 15,000
City Hall Improvements 20,000
Legion lake Park 225,000
Forestry 25,000
Public Safety Communications
Reserve 15,000
Parking Lots/Drives at
Lincoln Field and Donaldson Park 15,000
Total $315,000
Section 3: The expenditures herein authorized shall be made
pursuant to such contracts as are authorized from time to time
by council action. 'i
Passed by the City Council of the City of Richfield this
day of , 1986.
I
John Hamilton Mayor ~I
~I
ATTEST:
Thomas P. Ferber City Clerk
/
CITY OF RICHFIELD, MINNESOTA
Office of City Manager
Council Letter No. 69
Agenda February 10, 1986
The Honorable Mayor
and
Members of the City Council
City of Richfield
Subject: HRA Request for 1986 CDBG Discretionary
Funds For Housing Programs
City Council Members:
Hennepin County has recently notified Richfield that
$200,000 in unexpended CDBG funds (known as "discretionary
funds") are available for distribution on a county-wide
competitive basis.
Richfield has been successful in each of the last three
years in applying for discretionary funds. In 1983, the city
received $20,000 of CDBG discretionary funds to undertake a ~
comprehensive study of senior citizen needs for services to help
determine the long term facility 'requirements at the Community
Center. In 1984, Richfield. competed for and secured
approximately $60,000 to assist the acquisition of property for
the Rae Drive/66th Street townhomes now under construction. In
1985, Richfield was awarded approximately $100,000 to assist in
the acquisition of a site for Fraser-Whitbeck Schools' Section
202/Section 8 housing project for the handicapped.
This letter requests that the City Council authorize an
application to compete for $52,000 for housing rehabilitation
activities. From this amount, $42,000 would be committed to
Rehabilitation Deferred Loans; and $10,000 would be committed as
rrenergy grants" within a new element of the rehabilitation
program targeted specifically to low-cost energy conservation
needs of lower income persons. The rational for this request is
closely related to the funding level for Year XII. The Year XII
requests are presented in a companion agenda item concerning
entitlement CDBG funds (Agenda Item No. 7).
The $52,000 request in Discretionary Funds, if provided,
would augment Year XII program funding and provide a level of
funding more consistent with need. A $52,000 Discretionary Fund
award would provide for approximately seven home improvement
deferred loans and thirty-six homes could be "housedoetored"
through energy conservation grants. This would be combined with
i
the Year XII projections of 10 loans and 18 grants which would
utilize $68,000 of the $138,582 allocation. The following
paragraph, discusses the Rehabilitation Program, and explains
why it is important to provide approximately $100,000 per year.
Since 1975, the Rehabilitation Program has been a very
efficient way to expend CDBG funds. Presently deferred loans
which are recovered at a future time may be used for
additional CDBG eligible activities. Based upon a recent
Hennepin County decision,. deferred loan payments are no longer
returned to the city which made the initial loan. Loan re-
payments are now placed in a Discretionary Fund for distribution
on a county-wide competitive basis.
Since 1976 there have been approximately 210 households
assisted with $751,000 in CDBG funds A closer analysis of three
program years, all of CDBG Year IX, X, and the first half of XI,
(7/83 to 12/85) indicates the following:
-The average household income for loan recipients $10,230
-The average loan $5,200
-Approximately 30% of loan proceeds directed to major
weatherization (furnace replacement, insulation)
-Approximately 20% of loan proceeds directed to roofing
replacement
-Approximately 19~ of loan proceeds directed to exterior
maintenance (painting, siding replacement)
-Approximately 11~ of loan proceeds directed to building
code items (plumbing, electrical problems)
These aforementioned improvements are consistent with the
needs of the 25 to ~+5 year age of the housing in Richfield.
The City Building Official has observed that roof and heating
plant. replacement will continue to be priorities in the next few
years.
The demand for the deferred loan program reflects the needs
of lower income elderly and single parent households. There are,
over 1,800 lower income owner occupied households which may be
able to benefit from deferred loan improvements. The program
was last advertised in spring, 198. There has been a continual
request for assistance. In the past residents have waited one
to two years for funding.
As with the Year XII request, the Discretionary Funds would
be targeted to both lower income elderly and families. The
families are often single parent heads of household, with
children. The elderly are usually on fixed incomes. The
deferred loan program-is the only way for lower income persons
to make major repairs which help maintain the housing
stock, which, of course, benefits the occupant as well as the
entire city. They are unable to assume significant. monthly debt
payments. The "emergency loan" feature of the program continues
•
i
to be useful to ensure that lower income people can resolve what
seems like impossible situations for them: collapsed sewer
lines; deteriorated roofs during the spring rains; and,
unreliable furnaces during the heating season.
A primary objective of the Residential Energy Conservation
Program, funded by the City and managed within the Housing and
Redevelopment Division of the Department of Community
Development, is to assist lower income people in reducing energy
consumption and their fuel costs. Thus, improvements increase
affordability of existing housing but do not significantly
improve value or provide for the replacement or repair of
deficient major elements of the home such as furnaces, roofs,
etc. The financing resources for The Energy Program have
been provided by the public utilities (Minnegasco and NSP) and
the State Department of Energy and Economic Development. For
-1886, approximately $23,000 has been received from the City's
General Fund to continue program administration.
Since the program was developed in 1983, $475,000 in energy
.related improvements have been made to homes. Approximately 100
lower income households have received "housedoetor" types of
.weatherization services totaling $50,000. These funds were,
provided by Minnegasco. Staff and local banks have arranged
for approximately 135 loans totaling $425,000 in energy
conservation improvements. These reduced interest rate loans
have gone to persons having incomes adequate to support a
monthly loan payment. Staff has also programmed educational
workshops and audits that assist residents in identifying and
prioritizing needed improvements.
For the 1986-87 energy program, the public utilities
are less likely to fund "housedoctoring" efforts than in the
.past. Thus, the most cost effective delivery of weatherization
services requires that various program elements be combined. A
new pilot program, the "Home Energy Check", combines an audit,
education, and home improvements.
On January 27, 1986, the Council authorized the
establishment of an audit program with two levels of service.
In the first tier of the program, Northern States Power would
pay $50 and the homeowner $10 for a Home Energy Cheek Audit.
The auditor would examine the structure, evaluate heating system
efficiency and discuss and educate the homeowner concerning
beneficial improvements.
Based on the funds provided by each audit, a second tier of
service may occur with every third audit - basic "house-
. doctoring". Basic housedoctoring would include services
such as hot water tank insulation, living area caulking and
weatherstripping. These needs are determined by a blower door
test. An evaluation of the need for a setback thermostat,
sealing of attic bypasses, and heating system improvements is
also undertaken.
A third tier of service, possible because of the
availability of CDBG funds, would .seal attic bypasses, insulate
duct work. and exposed hot water pipes, install setback
thermostats and flue dampers if a benefit can be determined.
The third tier improvements would cost an estimated $250 per
household. Lower income persons could benefit from this third
tier weatherization and heating equipment retrofit program. The
$15,000 in CDBG funds ($10,000 Discretionary Funds, $5,000 CDBG
Year XII) would be distributed as grants to approximately 5~
lower income households that would not otherwise be able to
pursue these improvements.
Funding an established program such as Rehabilitation Loans
from competitive, discretionary funds is not normally a
desired course of action. However, in this instance it
would make up for funding short falls, return deferred loan
funds generated by the City to the City, and maintain
administrative efficiency in the delivery of the Rehabilitation
program. Additionally, it would expand the commitment to lower
income homeowners through the New Home Energy Cheek Pilot
Program.
The application for Discretionary Funds .should provide the
best balance to meet Rehabilitation needs essential to
maintaining the-value and appearance of the housing stock and
initiate new initiatives in energy conservation that improve
housing affordability in Richfield.
It is recommended that the City Council authorize an
application of $52,000 in Discretionary Funds to Hennepin
County.
Respeetfu~y) witted,
ohn G. ars~wright
City Manager'
JGC/eja ~J
/
CITY OF RICHFIELD, MINNESOTA
Office of City Manager
Council Letter No. 68
Agenda February 10, 1986
The Honorable Mayor
and
Members of the City Council
City of Richfield
Subject:. Year XII Community Development Block Grant
Program Public Hearing
Council Members:
Purpose of Public Hearing
A public hearing has been scheduled for the February 10,
1986, city council meeting for the following purposes:
1. To provide citizens with information about the
Community Development Block Grant (CDBG) program;
2. To obtain views of citizens on local housing and
community development needs;
3. To provide citizens with the opportunity to comment on
the Urban Hennepin County (UHC) Statement of Objectives
for 1986; and,
4. To provide citizens an opportunity to comment on the
City of Richfield's proposed use of $138,582 of the Year
XIS Urban Hennepin County (UHC) Community Development
Block Grant funds.
A summary of the CDBG fund requests and the staff
recommendation for levels of funding is attached to this council
letter as Attachment A.
The Community Development Act
The 1981 amendments to the Housing and Community Development
Aet of 1974 made significant changes to the CDBG program. The
amended act eliminated the requirement for a formal application
and considerably eased HUD's responsibility for review and
approval of the application replacement - a statement of local
objective, a projected use of funds, and certification assuring
proper administration and implementation. A Statement of
i
oC
Objectives has been developed to provide the guidance necessary
for planning and implementing the Year XII Urban Hennepin County
CDBG program in a manner which meets the National Objectives.
These changes. place almost the entire responsibility on
the Urban County for ensuring that-each activity to be carried
out with CDBG funds is clearly eligible, and meets the National
Objective of the Housing and Community Development Act, as
amended. The National Objectives remain unchanged: developing
viable urban communities; providing decent housing; providing a
suitable living environment and expanded eneonomic opportunities
(principally for low and moderate income persons); aiding in the
prevention or elimination of slums or blight; or, meeting other
community development needs which have~a particular urgency.
The Statement of Objectives has been divided into CDBG
program sub-hearings. The following is a summary of the
Statement of Objectives for Hennepin County.
Program Planning and Administration.
Develop and implement a Housing and Community Development
Program which addresses Urban County community development
objectives, and meets local needs and priorities in a timely and
efficient manner. Maximize benefits resulting from each
activity, provide a balanced program primarily benefiting low
and moderate income persons. Assure citizen involvement in the
program.
Neighborhood Revitalization
Maintain and preserve viable neighborhoods and neighborhood
service centers through a program of concentrated community
development activities.
Housing
Direct housing resources to sectors of the housing market
providing the greatest benefit to lower income persons. Explore
all potential resources for the financing of assisted housing.
Housing: New Construction
Facilitate the development of new housing, including, but
not limited to, site acquisition, public improvements,.
assistance with front-end costs and multi-community projects.
Housing: Existing Rental
Maximize utilization of available rental rehabilitation and
tenant assistance programs.
Housing Rehabilitation
Provide housing rehabilitation ,assistance to eligible
households.
Public Facilities and Improvements
Rehabilitate existing public improvements and facilities,
and assist in the development of new facilities and
improvements. Emphasize activities which directly benefit low
and moderate income ersons. Coordinate the develo went of
P P
senior centers in locations suitable to the provision of other
services to the .elderly.
Handicaped Improvements
En
sure that program supported facilities and housing units
are accessible to handicapped persons. Each accessibiltiy
improvement should meet a particular need, remove a specific
barrier and represent a defined priority in the community.
Economic Development
Undertake activities to stimulate economic development
consistent with local enconomic development strategies which
provide permanent private se,etor jobs and job training
opportunities to low and moderate income persons.
Energy
Develop the urban county CDBG program in a manner sensitive
to energy conservation issues. Provide assistance to low and
moderate income homeowners for energy improvements.
Public Services
Provide funding for public services which are consistent
with CDBG. regulations and the program needs of Hennepin County
and the participating communities. CDBG funding for public
services should directly benefit low and moderate income
persons.
Displacement
Implement the Urban Hennepin County CDBG program and Housing
Assistance Plan in such a manner as to minimize the direct or
indirect displacement of owners or tenants from occupied
dwelling units, and business locations.
Expected Funding Level
Last year (Year XI) Richfield received a $206,839
. allocation. The CDBG funds for this year (Year XII) may be
reduced by as much as 33%, which would reduce Richfield's
allocation to approximately $138,582. Attached in the backup is
a document entitled "Urban Hennepin County Program Background
and Directions" which provides a history of the program and
explains the reasons for the proposed funding cuts.
Requests have been received for funds for the following
activities with Year XII Urban Hennepin County CDBG funds
starting July 1, 1986.
1. Housing Rehabilitation Loans $100,000
2. Scattered Site Acquisition for 65,000
Assisted Housing
3• Grants to lower income households 15,000
for energy improvements
Public services including H.O.M.E. Not to exceed 15~
program and child care subsidies to (15~ of $138,582
low and moderate income families. $20,78.7) of total
grant amount
5. Handicapped Accessibility Projects Unspecified amount
including curb cuts
6. Long range planning to address needs Unspecified amount
of aging population including
community center expansion and
improvement
7. Provides services to elderly and Unspecified amount 'i
handicapped including information,.
referral home chore services,
transportation, and integrative
programs for disabled
8. General Administration 10,000
Representatives from South Hennepin Human Services Council
and the Greater Minneapolis Day Care. Association will be present
at the February 10,-1986, meeting to request a specific dollar
amount to continue funding the Household and Outside Maintenance
for the Elderly (H.O.M.E.) program and the child care subsidy
program.
This letter recommends that the Council allocate $138,582
(100% of the anticipated allocation) of Year XII CDBG funds to
the HRA for housing related activities for the period July 1,
1986 through June 30, 1987. Staff recommends this request as a
result of HRA action taken in January, 1986.
On January 21, 1986, the Richfield HRA reviewed staff
recommendations for proposed. Year XII CDBG activities. If the
funding level approximated that of last year, $180,000 would
have been requested, and if available, be distributed as
follows: Rehabilitation ($100,000), New Home ($65,000), and
Energy ($15,000). If funding was less, alternative direction
was also provided to staff. The $180,000 request was based on
information available at the time that suggested that up to
7S
$206,0.00 may be available. The Year XI allocation was
$206,000. However, at the end of January, Hennepin County
indicated there would be-a 33 percent decrease from the Year XI
funding level. Thus, only $138,582_ will be available to
Richfield.
There are several reasons for devoting all of the available
funds to housing; namely: need; .importance of maintaining the
value and appearance of the housing stock; desire to improve
energy efficiency and affordability of housing; and,
administrative efficiency within the Housing and Redevelopment
Division. These items are discussed further in the letter.
On the 10th of February, the City Council .will be soliciting
comments from the public and other groups regarding the use of
Year XIL CDBG funds. For Year XI (July, 1985-June, 1986),
the HRA received 75~ of the total allocation or $156,124 for
. housing programs. The HRA expended CDBG funds under two
programs: New Home .($75,000) and Rehabilitation ($81,120 .
Twelve homes will be rehabilitated and expenditures include
$73,012 for loans and $8,112 for administrative expenses.
Within the New Home Program, approximately $34,800 is being
utilized. at Rae Drive, approximately $1,300 at the Humboldt
Avenue Vo-Tech site and about $400 at 6820-12th Avenue. A
structure must be acquired for the 1986 Vo-Tech project on 12th
Avenue and a vacant parcel will be purchased for approximately
$31,000. The balance of $7,500 is for administration.
The $138,582 available from the CDBG Year XII would provide
full funding which is needed for the New Home program
activities, provide funds to initiate a pilot Energy Program
initiative, and provide a satisfactory allbeit reduced level of
funds for rehabilitation. Staff devised the following Year XII
distribution to balance the interests of the HRA's essential
programs (New Home, Rehabilitation) with new initiatives of the
City of a more elective nature (Energy):
$70,000 - New Home program for acquisition, tenant
relocation, and demolition to obtain a
1987 Vo-Tech project site.
$ 5,000 - Energy Conservation Grants ("housedoctoring"-
sealing air leaks, caulking., weatherstripping,
heating system evaluation, and set back
thermostats; all as identified by an energy
audit) for approximately 18 lower income
households.
$63,582 - Rehabilitation Deferred Loans (repairs related to
building code, major weatherization, roof,
exterior .maintenance, etc.) for approximately
10 lower income households.
7--~
The $52,000 request in Discretionary Funds, if provided,
would return program funding to a level more consistent with
• need. The following section discusses the three recommended i
programs in more detail.
New Home Program i
The New Home program has been in existence since 1975.
Thirty units of housing have been constructed or rehabilitated.
Ten units are under development. In the process, eleven "garage
homes" have been eliminated, seventeen vacant lots developed,
and two units received moderate rehabilitation. Revenues ~
approximating $1,600,000,. primarily CDBG funds, have made this
possible.
i
The benefits which accrue to the city because of the New ~I
Home program are many. Approximately $35,000 per year in
increased revenues are being provided to various taxing
jurisdictions. Additional families and their children are being
attracted to the community because of the affordability of new
housing. Substandard blighted structures are being eliminated
as well as vacant lots, thus improving the attractiveness of the
community.
The requested $70,000 provides the acquisition, tenant
relocation and demolition funds needed to obtain another Vo-Tech
site for 1987. A portion, $11,500, will be utilized for program
administration. However, there are not enough CDBG funds
n i
available exec t b s ecial reall "
( p y p ocation competition for
Discretionary Funds with other Hennepin County communities) to
proceed with major development projects for housing low and
moderate income persons. A special allocation of $100,000 was
secured in 1`985 to assist the Fraser Section 8/Section 202
development. for the handicapped.
Energy Program
A primary objective of the Residential Energy Conservation
program, funded by the City and managed within the Housing and
Redevelopment Division, is to assist lower income people in
reducing energy consumption and their fuel costs. Improvements
may increase affordability of the existing housing but do not
significantly improve value or provide for the replacement
of deficient major elements of the home such as furnaces, roofs,
etc. The financing resources for the Energy Program have been
provided by the public utilities (Minnegaseo and NSP) and the
State Department of Energy and Economic Development. For 1986,
approximately $23,000 has been received from the City's General-
Fund to continue program administration.
Since the program was developed in 1983, $75,000 in energy
related improvements have been made to homes. Approximately 100
lower income households have received "housedoctor" types of i,
77
weatherization services totaling $50,.000. These funds were
provided by Minnegasco. Staff and local banks have arranged
for approximately 135 loans totaling $425,000 in energy
conservation improvements. These reduced interest rate loans
have gone to persons having incomes adequate to support a
monthly loan payment. Staff has also programmed educational
workshops and audits that assist residents in identifying and
prioritizing needed improvements.
For the 1986 and 1987 energy program, the public utilities
are less likely to fund "housedoetoring" efforts as in the
past. Thus, the most cost effective delivery of weatherization
services requires that various program elements be combined. A
new pilot program, the "Home Energy Check", combines an audit,
education, and home improvements together.
On January 27, 1986, the Council authorized the
establishment of an audit program with two levels of service.
In the. first tier of the program, Northern States Power would
pay $50 and the homeowner $10 for a Home Energy Cheek Audit.
The auditor examines the structure, evaluates the heating system
efficiency, and discusses and educates the homeowner concerning
beneficial improvements.
Based on the funds provided by each audit, a second tier of
service may occur with every third audit-basic
"h ousedoctoring". Basic housedoetoring would include services
such as hot water tank insulation and living area caulking and
S weatherstripping. These needs are determined by a blower door
test. An evaluation of the need for a setback thermostat,
sealing of attic bypasses, and heating system improvements is
also undertaken.
A third tier of service, possible because of the
availability of CDBG funds, would seal the attic bypasses,
insulate duct work and exposed hot water pipes, and install
thermostats and flue dampers if a benefit can be determined.
The third tier improvements would cost an estimated $250 per
household. Lower income persons could benefit from this third
tier weatherization and heating equipment retrofit program. The
$15,000 in CDBG funds ($10,000 Discretionary Funds, $5,000 CDBG
Year XII) would be distributed as grants to approximately 54
lower income households that would not otherwise be able to
pursue these improvements.
Rehabilitation Program
Since 1975, the Rehabilitation Program has been a very
efficient way to expend CDBG funds. Presently, a deferred loan
is recovered at a future time and may be used for additional
CDBG eligible activities. However, based on a County decision,
deferred loan repayments are not returned to the city which
made the initial expenditure. Rather they have been placed in
the Discretionary Fund for distribution on a county-wide
~i~ _ -
-
7- ~
competitive .basis. Since 1976, and through June, 1985, there
have been approximately 210 households assisted with $751,000 in
CDBG funds.. A closer analysis of three program years, all of
CDBG Year IX, X, and the first half of XI (July, 1983 to
December, 1985, and 5~ loans) indicates the following:
-the average household income for loan recipients = $10,230
-the average loan = $5,200
-approximately 30~ of loan proceeds directed to major
weatherization (furnace replacement, insulation)
-approximately 20% of loan proceeds directed to roofing
replacement
-approximately 19~ of loan proceeds directed to exterior
maintenance (painting, siding replacement) and,
-approximately 11~ of loan proceeds directed to building
code items (plumbing, electrical problems)
These type of improvements are consistent with the 25 to ~+5
years of age of the housing in Richfield. The City Building
Official, based on field conditions, observes that roof and
heating plant replacement will continue to be priorities in the
next few years.
The demand for the deferred loan program reflects the needs
of lower income elderly and single parent households for these
improvements. There are over 1 800 lower income owner occu ied
p
households which may be able to benefit from deferred loan
improvements. The .program was last advertised in Spring, 198+.
There has been a continual request for assistance. In the past
residents have waited one to two years for funding.
The Year XII request would be targeted to .lower income
elderly and families. The families are often single parent
heads of household, with children. The elderly are usually on
fixed incomes. The deferred loan program is the only way
for lower income persons to make major repairs and, thus help
maintain the housing stock which, of course, benefits the
occupant and also the entire city. They are unable to assume
additional significant monthly debt payments. The "emergency
loan" feature of the program continues to be useful to ensure
that lower income people can resolve what seems like impossible
situations for them: collapsed sewer lines, deteriorated roof
during the spring rains, and unreliable furnaces during the
heating season.
Relationship to 1986 CDBG Discretionary Funds
The HRA adopted a motion directing the Executive Director to
propose to the City Council that CDBG funds in the amount of
$180,000 for the Rehabilitation, New Home, and Energy Programs
be allocated to the HRA Adjustments were to be made in this
request if the CDBG funds made available to the City were
insufficient to fund the total request. The request can be
funded, $138,582 from Year XII and $52,000-from "Discretionary
7- ~
Funds". The County has notified Richfield that $200,000 in
unexpended CDBG funds are available for distribution on a county-
wide competitive basis. Of this, $~42,OOb would be committed to
Rehabilitation Deferred Loans; $10,000 would be committed as
"energy grants" within a new element of the rehabilitation
program targeted specifically to low-cost energy conservation
needs of lower income persons.
The recommended funding provides the best balance to meet
New Home and Rehabilitation Program needs essential to
maintaining the value and appearance of the housing stock and
initiate new initiatives in energy conservation that improve
affordability of existing housing.
This recommendation does not provide any funding to South
Hennepin Human Services Commission for the HOME Program, nor to
the Minneapolis day care subsidy program for calendar year
1887. Year XI CDBG funds do .provide funding to HOME and day
care for 1986. If the City Council desires to fund HOME and day
care activities for 1987,-then it is proposed that the amount
allocated be taken from the housing rehabilitatin program.
It is recommended that the City Council authorize an
allocation of $138,582 in CDBG Year XII funds to the HRA for
housing activities.
Re eetf 1 s witted,
~ti
Jg~hn G. Cart right
qty Manager
JGC/eja
~ ~o
r
APPROVED ; ; RECOMMENDED
YEAR XI , YEAR XII , YEAR XII
PROJECT ; PROJECT ; REQUESTS ; PROJECTS
~ ~ ~ i
i ~ ~ i
1. HOUSING REHAB , 81,124 , 100,000 , 63,582.
2. ACQUISITION i 75,000 i b5,000 , 70,000
3. ENERGY GRANTS , 0 i 15,000 , 5,000
4. PUBLIC SERVICE ;HOME: 7,923; ; 0
DAYCARE: 20,000; UNSPECIFIED
ADMIN: 2,792; MAX: 20,787
;TOTAL: 30,715;
5. GEN. ADMINISTRATION ; 10,000 ; 10,000 ; 0
6. RECYCLING ; 10,000 ; 0 ; 0
7. HANDICAPPED ACCESS ; 0 ; UNSPECIFIED ; 0*~*
i ~ ~ ~
8. LONG RANGE PLANNING ; 0 ; UNSPECIFIED , O~~
FOR AGII~IG POPULATION , ,
~ ~ ~ ~
9. SERVICES ~ ELDERLY ; 0 ; UNSPECIFIED ; 0~~
AND DISABILED
TOTAL , 20b,839 i 210,787 , 138,582
* RECYCLING PROJECT' RULED INELIGIBLE FUNDS MUST BE REPROGRAMMED
15% OF 138,852 = 20,787, AS ALLOWED BY CDBG REGULATIONS
**~THERE IS A STUDY UNDERWAY Tb ASSESS THE SERVICES, NEEDS AND HOUSING
STRATEGIES FbR THE ELDERLY. FUNDING LEVELS AND REQUESTS ARE AT LEAST
A YEAR AWAY.
7-/~
URBAN HENNEPIN COUNTY CDBG PROGRAM
BACKGROUND AND DIRECTIONS
Hennepin County has been an entitlement recipient of Community Develop-
ment Block Grant funds from the effective date of the program estab-
lished in the Housing and Community Development Act of 1974. Hennepin
became an entitlement recipient pursuant to the provision for Urban
Counties in the Act. In order to qualify as an Urban County; Hennepin
had to demonstrate that it possessed sufficient housing and community
development authority to be an effective participant in the. program. _
-This was accomplished through the execution of a joint powers agreement
with other units of local government within the County.
Early in 1975; a Joint Cooperation Agreement was drafted; approved by
the U.S. Department of Housing and Urban Development and executed with
twenty-two municipalities whose aggregate population exceeded the
qualifying. threshold of 200;000 people. This initiated the Urban
Hennepin County Community Development Block Grant (CDBG) program for the
first program year beginning with Fiscal Year 1975 and provided the
basis for participation in the program every year since.
As shown in Figure 1.; the Urban Hennepin County CDBG program began in
1975 with a total of 23 participants (Hennepin and 22 municipalities)
receiving an entitlement of $738;000. Currently there are 44 partici-
pants with a total population of 502;000 who shared $3;101;000 in FY
1985 (Program Year XI). Figure 2. shows that the preponderance of
activities programmed for Year XI are under $10;000 each. This con-
. figuration is typical of the total number of activities undertaken
annually and their individual budgets.
Program. dollars peaked in FY 1980 at $4;379;000 when Urban Hennepin
County consisted of 42 participants. In total; the Urban Hennepin
County program has been allocated $34;975;000 from regular CDBG appro-
priations plus $1;051;000 in a special appropriation from the Jobs Bill
' of 1983. Table 1. lists the total number of participants in the Urban
Hennepin County CDBG program by year; the total amount received and the
allocation provided to each participant for use in the development of
the Urban Hennepin County program.
Opportunity was provided through. the Act for communities to join the
Urban County program each year through 1977. Beginning in 1978 partici-
pation was on a three year basis; locking communities in or out for that
period. Currently; all eligible communities participate in the program
except Long Lake; who dropped out in 1981 to accept a one-time discre-
tionary CDBG from HUD. Minneapolis and Bloomington do not participate
because they are entitlements onto themselves by virtue of their status
as metropolitan cities (cities with over 50;000 inhabitants and located
in a SMSA).
. ~ ~i~
i,
Through 1985; $31;538;344 has been spent; representing 88 percent of .
total dollars allocated. Figure 3. summarizes the type of activities
funded with the CDBG through calendar 1985; including funds from the
special appropriation to the program from the Jobs Bi11 of 1983.
Initially; the CDBG was viewed as a community development "revenue
sharing" measure end used as a public facility/improvement program
targeted to low and moderate income neighborhoods. It began as a means
to implement a national change in urban policy which in the mid 70's
moved away from an array of categorical grant programs sought on a
competitive basis to block grants made directly to qualifying units of
local government to use as they believed would best meet their needs.
The list of eligible activities was extensive and their selection guided
by a rather broad range of national and locally established objectives.
Since its enactment in 1974; the Housing and Community Development Act
has been amended four times: 1977; 1981; 1983 and 1984. With each of
the first three amendments to the Act; the Community Development Block
Grant program was reauthorized for three year periods. With each
authorization of the CDBG have come changes in program emphasis.
The 1977 amendments shifted the direction to activities which benefitted
low and moderate income persons; and made it increasingly difficult to
undertake projects within developing communities; or projects aimed at
addressing the commercial revitalization needs of older communities. It
was during this period that housing rehabilitation grants and the
acquisition of land for assisted housing development became program
activities; and the regulations governing the use of .CDBG funds for
public (human) services began to be relaxed.
It was the 1977 amendments that also required a three year commitment on
the part of all participants. The eligibility of split places; those
communities located in two or more counties; was expanded which provided
for inclusion of all of Chanhassen; Hanover; Rockford and St. Anthony as
eligible program areas. In addition; it became necessary to establish a
formal citizen participation plan.
In 1982; HUO began using 1980 Census data in determining the entitlement
allocation of funds to jurisdictions. This was the principal reason for
a 14~ decrease in the Hennepin County entitlement.
In 1983; through the Urban Rural Recovery Act; the 1974 Act was again
amended: The CDBG program regulations resulting from these amendments
expanded the eligibility of such program activities as public services
and economic development. This expansion of program eligibility was due
partly to offset Federal budget reductions in other domestic programs;
although another reduction in the CDBG appropriation was made; con-
ti ming a trend begun in 1981.
The 1984 amendments continued the funding flexibility for public
services, further limited the eligibility of activities designed to
prevent or eliminate slums and blight; required that all economic
•
2
7 /.3
development activities result in the generation of jobs for low and
moderate income persons; and increased pressure on the program through
further funding reductions.
Allocations from the 1986 appropriation to the CDBG Program have yet to be
made; although a substantial reduction will occur due to the following
.factors: (1) ten percent reduction in the Federal appropriation; (2)
several new Urban Counties {including Ramsey) have been designated; (3)
the Gramm-Rudman Bill will probably impact. the CDBG appropriation by about
five percent; and (4) a Presidential deferral of funds earmarked for the
program as a technique to reduce the 1986 deficit without making a like
reduction in Defense spending is expected to amount to $500;000;000;
resulting in another reduction in the program of 16 percent. In total; a
33~ decrease is projected in the 1986 Urban Hennepin County allocation
over 1985.($2;078;000 compared to $3;101;000)..
Our best current information suggests that the administration's intent is
to extend the program through 1991 at approximately the 1986 funding
level. The program must be reauthorized in 1987; however, and several.
program changes are being discussed which could have major additional
consequences for Urban Hennepin County. These potential changes include
(1) a restructuring of the allocation formula to target recipients in
greatest need; and (2) splitting the funding set aside far entitlements
and small cities. discretionary recipients (State-s) 65-35 rather than the
current 70-30. Both of these program changes; if enacted; would further
reduce the Urban Hennepin County entitlement. Introduction of the needs
formula would be hard-hitting for urban counties and under the worse
scenario could .result in Hennepin's allocation being reduced to zero.
Figure 1 shows the "worst case" (and most probable) funding projection
for 1986 and the probable range for 1987 and beyond. Table 2 shows how
the projected 1986 entitlement would be distributed among participating
communities pursuant to the Cooperation. Agreement and how these amounts
would compare with 1985 allocations.
Reductions of this magnitude suggest that a restructuring of the
Hennepin planning allocation to each cooperating unit for individual use
may be appropriate. In essence; with drastically reduced. funding and a
rather large number of low budget activities; it is increasingly
difficult to program dollars in an effective manner and is no less
demanding in an administrative sense. Although the present Joint
Cooperation Agreement with each cooperating unit assures a proportionate
allocation to use in program development; it may well be possible to
effect a distribution system and/or program development process to
better meet the challenges being faced.
There are a variety of program development alternatives which have
potential for achieving the necessary consensus among participating
communities. Some of these include:
- Using the existing formula with no changes.
3
.
- Using the existing formula with the understanding that the Citizens
Advisory Committee may recommend that some activities not be funded
based upon their small grant amount; individual projects or types of
project.
- Voluntary agreement among some cooperating units that their planning
allocations be pooled to allow for a limited discretionary account
competitive process. Only those cities releasing their planning
allocation would compete for the available pool of funds. Approval
of requests for funding would follow the established process for
funding activities from the discretionary account. A minimum
project budget threshold would be established.
- All participant communities voluntarily forgo their Year XII
planning allocation in favor of a total discretionary program. The
funding recommendation would be the responsibility of the CAC
(perhaps with greater municipal participation in the program
development process).
There are undoubtedly other possible approaches that should also be
considered by Urban Hennepin County participants in an effort to derive
maximum benefit from declining COBG revenues, ensure their equitable
distribution and .minimize the costs of administration.
ml g
OPD 1=15-86
4
. .
.
OUNT BY PROG~M YEAR
Plgure 1• GRANT AM
N1BER OF PAR"f I ~OUNTYS ~ BG PROGRAM
NU '
URBAN NENNEPIN ~ ~
~ u- a
~ ~
_ QO' ' ~ r
5 ' ~`r
~ ~ / 2 ~,i~
~ ~ s~ ~ ,~~~i ~0
/ ~i
c."3 ~ (4 . ~ ` .7 ~~f
t
a = 3.5 ~ ~
t
/ y``N~N~~i
3.0 ~`l 20
i r~ ~
i
2.5 ij
t
2.0 = ~ 10
~ ~ ~
c°~ 1' S
4-
0
~ 1.O
0
•r"
86 XIII aria
5 8
~ 83 84 XI XII beY°nd ~
8 X y
78 79 VOI V$
I VIII IX
175 7 77 IV V
II III FISCAL YEAR
I PROGRAM `TEAR
/ - /CO
100 t ~ ~
95-100 ~ ~
8o-s5 ~ Z
75-8o I
7O -75 Z
65-70 ~ I
H 60-65 1
s.
r-
0
0
0 4s-5o ~ 6
N 4o-4s ~ 1
N 35- to ~ 6
30-35
~ ZS-3Q ~
ZO-25 ~ ~
_
15-24 ~ 11
m io-15 ~ q
5-td ~ 35
O-5 ~ 3Z
Number of Activities 127
Figure 2.
Number of Activities by Budget
Year XI Urban Hennepin County CDBG Program
~
s of pollars ~ x
t1i11 ion ~ -o
w c
~ J1 ~ ~ 12 Q tD ~
~ m
-v
rn
i,and Acquisition ~ .
0
Rehab ~ ~
Housing o ~
d,
facilities -o ~
public o
Removal '
d Tree 3
Disease
itectural Barrier
Arc Removal .
Economic peVe~opment
Human Services
Focal planning
istration ~ ~
Adman
1~41M 1.
UI~C COMMUNITY DEVEIOPNENT BIOCK GRANT FUYOING .
BY LOOPENAi1N6 UYIT AND PADGRAM YEAR.
UNit 111915 1111974 111/1971 IV/1418 Vf1474 V1/1980 VII/1981 Y111/1962 T3f14B3 3/1481 11/1985 111/1984 TOteri
6k00?"lYN CENTER 325163 316029 319115 182354 3325)5 211542 210110 2097120
6kuUklYN PANK 71807 151952 155108 241181 119884 297531 309863 210619 3453]1 352118 351345 3UOe510
CHnMFLIN 71360 54192 59660 61133 68182 7099D 41032 11411 17165 361)1 539W1
CNi,NHASSEN 13418 38D49 11632 38300 38532 1Lildl
CONCGknN IU096 20854 I1511 31110 34700 34011 37199 33531 39131 31145 11489 304698
CRiSii~l 65531 177171 192]18 188911 309513 324082 303826 258212 202906 112159 110736 2531561
GA11GN 15612 25)92 25810 2N33 29165 1]554 2615] 13340 29130 30020 114096
DEEPhNVEN 10096 2GBSb 3/291 33860 36330 39011 I7I91 30851 11418 190!7 19014 3DSo85
EGEN PFAIk1E !9210 39919 45571 46890 11418 .76158 ]8000 93225 85455 69418 72750 138231
EGINA 72561 151205 119397 21)304 268391 285334 219383 231732 211014 !49517 161005 233]911
EICELSlDR 6U 3 11211 18535 28589 30169 32112 31159 24142 20558 Ib871 14641 258134
bOIGEM VAIIEY 12206 81823 01841 139315 N9167 159211 UN33 124088 115104 Bb511 85314 1263735
GkEENFIElO ISS/I 15910 14911 16811 15040 11116 4371 9313 111110
6kEENY00D 1512 3046 5213 1994 5541 5912 5715 5030 3331 3150 7)11 11424
NHM6VER 3569 IBBb 3101 3911 7204 4111 1121 ~ 6446 6315 19178
NASSAN 15345 II48B 14311 17311 18600 14096. 16149 0143 11257 1435Y0
IIGPKiNS !13293 113293
IhGEPENDENCE 28589 70398 71718 32135 28141 14144 U41S I1BS4 20357)
IGMG LAY.E 8230 8019 8526 9065 136)0
lOkEiiO 1052 2118 7569 3884 3101 3911 3993 3353 3411 1815 1931 33102
MnFIE 6ROUE IB5T9 38/53 63371 44411 11517 16061 89005 83161 106661 95619 99961 849050
MAPIE PLAIN 11523 11780 11121 11821 1]431 11137 !1179 83D3, 8091 49391
MEGICINE LAKE IIB43 12411 11684 10060 3337 18)5 1825 53258
MEGINA 14157 27142 16416 18515 30117 70790 26151 10894 140]0 I6I50 138520
NiNNET6NKA 16210 158018 16119/ 241181 281349 299!30 295938 278264 196140 115974 116113 2360512
M1611E1DNKA 6EACN 7111 7217 7785 8211 8549 1711 IbIB 1011 1011 50101
MlNNE1RJSTA 19389 32098 31412 31105 76159 31180 30181 11021 21838 23851 290570
MDUND 26151 5I149 891/5 84929 91124 !03157 105)55 B920U 92822 74870 74581 944905
NEY HOPE 52162 108190 178881 115913 188321 200208 190183 160963 187994 131470 II651) 1113121
DkGNO 33891 55498 5{102 58413 4266/ 41152 5197A 37112 28123 1)891 /12'!81
OSSEB 21115 39783 34111 12432 15323 43G12 31558 18325 12164 11286 315211
PLYMOUTH 32111 48107 112189 121016 129748 131939 115066 125117 110814 H2159 118055 1321143
RICNf1E1D 48855 106!1/ 718812 3280]4 351171 771105._ 351450 294323 288001 209150 204839 3057029
kD661N50A1E 39121 81 U1 133890 129313 139387 117192 139615 119714 1014)8 19013 77917 !191911
kOCKFDkO 13925 12113 19208 22744 21826 91{68
RU6EkS 9407 4131 !0300 11034 10225 8719 6111 8035 8081 82232
ST. NNTNONY 25155 11914 12189 15211 /8081 61171 52313 14540 31819 N061 131753
Si. 60NIfACIUS 1725 7681 .7141 8156 8472 8271 4701 7721 8303 8347 16139
Si. LOU15 FiiRK 382913 107114 383288 321024 321133 253411 251661 2321809
SHGkEYD00 13181 21110 H991 11131 17151 50111 18300 11253 29416 13302 23380 341126
' SPRING PARK 1838 10193 Ib/bI 17209 IB535 19106. 17821 I6U46 13805 11517 l1/30 157913
TONtiA 6AY 5399 11217 18383 18011 19648 20868 18400 15141 8102 6160 6200 118725
YAY2ATA 8317 17211 28535 28589 31 NO 33104 31622 26157 25286 20154 10081 211592
YOOGLAND 1418 1730 1382 3189 5015 1285 1066 30125
0
NEMNEPiN CTY I4900 122774 211350 308100 111900 131900 1328UD 3726G0 375200 301400 310100 3]82184
GkidlD TOTAL 738000 1152000 3015000 3081000 1119000 1379000 1328006 3116000 3752000 2981000 3101000 319)Su00
l/B4 1
_ 7 ~f i
1 ~ ! J
Table 2.
Projected Entitle~ent and Allocation to
~perating Units, 1986
an Hennepin County CDB6 Progra~
Unite '85 Ailoc Less 33X
BROOKLYN CENTER 240240 ~ 160961 .
BROOKLYN PARK 354365 237425
CHAMPLIN 38177 25579 _
CHANHASSEN 38532 25816
CDRCDRAN 37689 25252
CRYSTAL U073b 94293 -
DAYTON 30020 20113
DEEPHAVEN 19019 12143
EOEN PRAIRIE 12344 48414
EDINA 167005 111893
EXCELSIOR 16664 11165
GOLDEN VALLEY 85314 57204
6REENFIELD 9314 6240
6REENYODD 3747 2514
HANOVER 6375 4211
HASSAN 14257 4552
HOPKINS 113293 75906 _
INDEPENDENCE 11856 11964
LDRETTO 1934 1296
MAPLE GROVE 94961 66414
LE PLAIN 8092 5422
CINE LAKE 1825 1223
I'~ INA 16150 10821
MINNETONKA 146713 9$248
MINNETONKA BEACH 1017 681
MINNETRISTA 23851 15980
MOUND 76581 51304
NEY HOPE 136577 91507
DRDNO 21894 18689
DSSED 22286 14432 -
PLYMOUTH 148055 99197
RICHFIELD 206839 138582
ROBBINSDALE 77911 52204
RDCKFDRD 22826 15293
RD6ER5 8083 5416
SHOREWDOD 23384 15665
SPRING PARK 11430 7658
ICI 5T. ANTHONY 34061 22821
ST. BDNIFACIUS 8347 5626
ail ST. LOUIS PARK 251661 168613. -
ii TDNKA BAY 6240 4154
WAYIATA 20081 13458
MDDDLAND 4066 2724
SUBTOTAL 2190900 1864903
EPIN COUNTY 310100 207767
AL 3141000 2471670
o?D
M E M O R A N D U M
DATE: December 18, 1985 Iii
~I
T0: Rick Jopke
City Planner I
FROM: Thomas A. Morgan, Jr. I,,
Director of Public Safety
SUBJECT: COMMUNITY DEVELOPMENT BLOCK GRANT
i
On behalf of the Richfield Advisory Board of Health, I would
like to respond to your December 10th memo regarding suggested
projects for the coming year's Community Development Block Grant
Program. In 1983., the city council authorized the use of 10~ of
CDBG money for community social programming. Since that time
HUD informed the city that several of the originally suggested
projects were disqualified since they did not meet the criteria I~
of providing programs directed in principal to economically
disadvantaged, or elderly citizens. Two Richfield programs,
however, have received CDBG money over the past three years.
These are the HOME Program (household and outside maintenance II
far the elderly), administered by the South Hennepin Human
Services Council, and the Sliding Fee Child Care Subsidy Program
administered by the Greater Minneapolis Day Care Association. I,
The Advisory Board of Health has not had an opportunity to re- I
evaluate the city~s original needs assessment study upon which
they based program recommendations for CDBG financial
assistance, and the relationship of current needs to existing ~I
programs. I suspect that this will be one of the activities
that the Advisory Board of Health will become involved in during
the coming year. Therefore, the Advisory Board of Health would I,
support continued financial assistance to the HOME Program and
to the Sliding Fee Child Care Subsidy Program currently
supported, in part, with Richfield CDBG funds. ~
Thank you for your consideration of these suggestions a you
develop the year XII Community Development Block Grant Program
for our city. ~i
cc: John Cartwright I'~
Lia Ozols
i
I
I
CITY OF RICHFIELD, MINNESOTA
Inter-Office Memorandum 7 p7/
DATE: January 13, 1986
TO: John Cartwright, City Manager
FROM: Lillian Hipp, Community Center Manager
SUBJECT: Commission Response to C.D.B.G. Funding
The Human Services Commission serving Seniors & Disabled, discussed
the potential usage of C.D.B.G. funds and proposes the following
recommendations:
I. Accessibility
l) All curb cuts in Richfield are made accessible.
II. Planning
1) Develop an overall City policy addressing-the aging popula-
tion of Richfield, This would include areas of housing,
adult day care,. and services provided.
2) Develop a long range plan on the physical expansion of the
Community Center and parking facilities.
3) Construction: - Install an elevator at City Hall.
- Funding provided to the older home owner
for maintaining the private housing stock.
- Investigate expansion of Richfield Towers
for Section 202 funding or other funding
services.
III. Services
1) Fund information and xeferral service.
2) Support Home Chore Services (housecleaning, yard work,.
. snow shoveling, errands).
3) Fund Transportation projects which expand mobility of
clients unable to use the bus.
4) Professionally print Commission. Brochure.
5) Integrative programs for disabled is encouraged.
/1d
cc: Dave Skrien, Don Fondrick
(Otttclal Publicstiss) '
NOTICE OF PUBLIC HEARING
BY THE CITY OF RICHFIELD
' CONCEANiNG YEAR Xtl COMMUNITY DEVELOPIl~ENT BLOCK GRANT
- PROGRAM
Notice b hereby given that Hennepin County and the City of Richfield, : „ cc
Minaeaota purauaat to Title I of the Housing and Community Development
Act of 1974, as amended, are sponsoring a public hearingg on Monday,
February !0, 1988, at 7 P.M., in the Council Chambers of Rich[teld C[ty Hall,
` : _ 8700 Portland Avenue South to obtain the views of citizens on focal and Urban -
County housing and community development needs and to provide citizens
with the opportunity to comment on the Urban Hennepin County Statement of •
Objectives)1886 and the City of Richfield's prop. sad use of its Year XI[ Urban
Hennepin County Communityy Development Block Grant planning allocation.
Last year (Year XU Richfield received 1208,839 allocation. The CDBG funds
for this year (Year Xll) stay be reduced byy as much as 3oq which would `
reduce Richfield's allocation to approximately 1138,000. The City of Richfield
is proposing to fund some of the following activities with Year X11 Urban
HeaAeppin County CDBG funds starting July 1,1918.
- i. Housing Rehabilitation Loans j100,000
2., Scattered Slte Acquisition for Assisted •
, Housing 183,000
' 3. Grants to lower lacome households for energy
- improvements 116,000 -
l,,, Public services Including H.O.M.E. program -
' and child care subsidies to bw and moderate
income !amities. ~ Not to exeed 1590 of
_ total groat amount
W . 1.. Handicapped Acceaibility Projects iaciudla5
8. LongcRangge Planning to address needs o[ Uaspecitfed Amauat
aging population Including community seater
expansion and improvement Unspecified Amount
7.. Provides services to elder)y and handicapped
including information, referral home chore
services, transportation, and integrative pro-
grams for disabled. Unspecified Amount
. - Fnr additional Information on proposed activities, level of funding and
program objectives, contact the Clty of Richfield, Community Development
Department, 6700 Portland Avenue uth,B89.7521.
The public hearing is being held in accord with the Urban Heaaepin Couaty
JOiat Cooperation ASreemeat pursues! to M.S., 471.59, .
(Jaa.29, 1986)-RICH - - - -
~a~
•
February 7,1986 ICI
Mr. John Hamilton,Mayor I~,
City of Richfield j
6700 Portland Avenue South
Richfield, P•linnesota -55423
I
Dear P~ayor Hamilton:
For the past few years the Richfield City Council has allocated a portion
of its Community Development Block Grant funding for .child care subsidies
for low income parents. Your city has demonstrated very positive leader-
ship in suburban Hennepin County in hearing and responding to the needs of
low income working parents and their children. Following your example,
several other suburban municipalities are now also providing similar fund-
.
ing.
I was therefore obviousl disa ointed to learn that the Cit ff '
y pp y sta is
not recommendin the continuation of that fundin I reco nize that the
9 9 9
total CDBG allocation for Richfield will probably be significantly reduced
in the coming year but I would urge that you continue some funding for
these child care subsidies. [Je obviously would like to receive a similar
allocation as this year($20,000) but we are fully aware that, if funding
is received, it would probably need to be cut in proportion to the total-
. CDBG reduction.
I am sure you recall that the 'targeted population for these funds are
Richfield residents with young children, whose gross income falls between
60% of the State Pledian Income and the Section VIII HUD icome eligibility
.cut-off guidelines by family size. Applicants must be working or in train-
ing, or a combination, for a minimum of twenty hours. This targeted popu-
lation consists of those parents whose income is just too high for them
to be eligible for total child care subsidy under Hennepin County, but
far too low for them to be able to afford the full cost of licensed child
care(an average of $4,500 for and infant and 3,450 for a child under 30
months per year).
At the present time, there are eight families being served on the program.
There are also an additional eight families on the waiting list. As you
are probably aware, these funds often enable families to move off of public
assistance and become economically self sufficient. :A~1981.:State of Ftinnesota
study of the child care subsidy program revealed that the average parent
on the program received $146. per month in subsidies but paid $214 in taxes.
~^Je do understand that the majority of CDBG funds are designated for the
physical improvement of a city, however, by allowing up to 15% for Human
Services, HUD seems to recognize that the physical improvements are partially
• • . .
Greater Minneapolis Day Care As~soC~at~on
Dale Anderson, Executive Director • Lehmann Center • 1006 West Lake • Minneapolis, Minnesota .612-823-7243
Cooperating Fund Drive
LL~~ Member Organization
~v
wasted if there are not present and ongoing opportunities for families to
work, live in and contribute to that city. !fie believe that the Sliding
Fee enhances those opportunities for Richfield citizens.
It is my understanding that. the City P•1anager has described where the
funding fvr..~~this program would come if the Council chose to continue it.
~~le certainly hope that you would exercise that option and continue this
vital program for .the low income working parents of Richfield.
I thank you again for your past support.
Sincerely,
Dale Anderson, Executive Director.
P.S. tJe are presently spending about $1200 per month in this fund
CC- Richfield City Council Members
John Cartwright, City h1anager
I
- /
- Serving Bloomington,
Eden Prairie, Richfield
and Edina -
~ ~ ~
~
ouseho{d & outside Maintenance for Elderly
1985 RECORD OF H. O. M. E. SERVICES FOR RICHFIELD
tINCLUDES MAINTENANCE/SEASONAL/HOMEMAKER SERVICES)
NUMBER OF HOUSEHOLDS SERVED BY H. 0. M. E. 116
NUMBER OF HOUSEHOLDS WITH PERSONS LIVING ALONE 89 _
NUMBER OF CUSTOMERS SERVED BY MAINTENANCE/SEASONAL 103
NUMBER OF CUSTOMERS SERVED BY HOMEMAKERS
- TOTAL NUMBER OF CUSTOMERS SERVED BY H. O. M. E. 143
NUMBER OF DIRECT SERVICE HOURS PRDVIDED BY
MAINTENANCE/SEASONAL 5,249
NUMBER OF DIRECT SERVICES HOURS PROVIDED BY HOMEMAKERS __978
TOTAL NUMBER OF SERVICE HOURS PROVIDED BY H. O. M. E. 3, 557
NUMBER OF INDIVIDUALS BELOW POVERTY LEVEL t~437 ONE
PERSON/11587 TWO PERSON HOUSEHOLD MONTHLY INCOME) it
NUMBER OF INDIVIDUALS BETWEEN POVERTY LEVEL AND HENNEPIN
COUNTY GUIDELINE t~584 ONE PER50N/*859 TWO PERSON HOUSEHOLD
MONTHLY INCOME - 135X OF POVERTY) 31
NUMBER OF INDIVIDUALS BETWEEN HENNEPIN COUNTY AND SURPLUS
FOOD COMMODITY GUIDELINE t~8G9 ONE PERSON/~1G87 TWO RERSON
HOUSEHOLD MONTHLY INCOME - 185X OF POVERTY) 37
NUMBER OF INDIVIDUALS BETWEEN SURPLUS FOOD COMMODITY AND
CDBG GUIDELINE t~1475 ONE PERSON/~ib83 TWO PER50N HOUSEHOLD
MONTHLY INCOME) _41
TOTAL NUMBER OF INDIVIDUALS BELOW CDBG GUIDELINES i5G
South Hennepin Human Services Council Creekside Center
9801 Penn Ave. So. Room 100 Bloomington, MN 55431 (fi12) 888-5530
CITY OF RICHFIELD, MINNESOTA
Office of City Manager
Council Letter No. 67
Agenda February 10, 1986
The Honorable Mayor
and
Members of the City Council
City of Richfield
Subject: Public Hearing, 1986 Alley Paving Project
City Project 822
Council Members:
The city council established a policy for the paving of
alleys in 1980. This policy provides that a petition signed
by property owners representing more than 50% of the abutting
footage is necessary for an alley to be paved. The projects are
initiated on a yearly basis. In the first five years of this
policy, 65 of the city's 96 graded alleys have been paved as a
result of the petition process.
Pursuant to this policy, on January 13, 1986, the city
council accepted the preliminary report on the two proposed
alley projects and ordered a public hearing to be held on
February 10, 1986. The following alleyshave been proposed for
paving: -
Alley Between From To
Second & Third Avenue 66th Street 67th Street
Nicollet & First Avenue 71st Street 357' North
- The estimated 1986 assessment rate-for residential abutting
property is $22.50 per foot. A typical estimated assessment
for a fifty-foot residential lot, therefore, would be $1,125.
The assessment can be prepaid in full or payment may be spread
over a twenty-year period in equal installments with interest.
Partial prepayment may be made with the unpaid balance spread
over a twenty-year period. A deferment may be granted to
persons over 65 years of age or persons permanently and totally
disabled provided that certain conditions are met.
The staff recommends that, at the close of the public
hearing, the city council adopt the resolution ordering
the project and the preparation of plans and specifications.
peetfyrl]~ ~mitted,
i'
~i i ~ -
~l_ r
John G. Ca twright
City Manage
RESOLUTION N0.
RESOLUTION ORDERING THE PAVING OF ALLEYS
AND PREPARATION OF PLANS FOR CITY PROJECT N0. 822
WHEREAS, a resolution of the city council adopted the 13th
day of January, 1986, fixed a date for a council hearing on the
proposed improvement of the following alleys:
Alley between From To
Second and Third Avenue 66th Street 67th Street
Nicollet and First Avenue 71st Street 357' north
AND, WHEREAS, ten days mailed notice of the hearing and two
weekly publications of the required notice was given as required
by law, and the hearing was held thereon on the 10th day of
February, 1986, at which all persons desiring to be heard were
given an opportunity to be heard thereon.
NOW, THEREFORE, BE IT RESOLVED by the city council of the
City of Richfield, Minnesota:
. 1. Such improvement is hereby ordered as proposed in the
council resolution adopted the 13th day of January, 1986.
2. Michael J. Eastling, City Engineer, is hereby designated
as the engineer for this improvement. He shall prepare plans
and specifications for the making of such improvement.
Adopted by the city council of the City of Richfield,
Minnesota this 10th day of February, 1986.
John Hamilton, Mayor
ATTEST:
Thomas P. Ferber, City Clerk
~
City of Richfield
(Oltlcial Publication)
LEGAL NOTICE
NOTICE OF PUBLIC HEARING ON ALLEY IMPROYEMENT
CITY PROJECT NO. 822
NOTICE IS HEREBY GIVEN that the council of tfie City of Richfield wit{
meet in the council chambers of the City Hall, 6700 Portland Avenue South, at
7 p.m. on the 10th day of February, 1988, to consider the reconstruction and
concrete paving of the following alleys in Richfield, pursuant to Minnesota
Statutes, Sections 128.011 l0 429.111:
Alley Between From To
Second and Third Avenue South 66th Street 87th Street
Nicollet and First Avenue South 7tat Street 357' North
The area proposed to be assessed for such improvement is property
abutting on such alley.
The estimated cost of the improvement is i~3,209.
The estimated assessment for a residential property is 122.60 per
assessable toot.
Such persons as desire to be heard with reference to the proposed
improvement are notified to be present and they will 4e heard.
THOMAS P. FERBER
City Clerk ,
(Jan. 29 & Feb. 5, 1986)-RICH
. /
CITY OF RICHFIELD, MINNESOTA
Office of City Manager
Council Letter No. 66
Agenda February 10, 1986
The Honorable Mayor
and
Members of the City Council
City of Richfield
Subject: Second Reading and Public Hearing On the Rezoning
of the Hampton Inn Planned Unit Development
Project (To be Continued to February 24, 1986)
Council Members:
On January 13, 1986, the City Council scheduled a public
hearing and second reading on the rezoning of the planned unit
development ordinance for the proposed Hampton Inn Motel which
is located in the northeast quadrant of Lyndale Avenue and
Interstate 4g4. City staff failed to publish the required
notice for this public hearing and second reading on this matter
and it will have to be rescheduled to February 24, 1986.
When the project was orginally submitted, it was assumed
that the Minnesota Department of Transportation (MNDot) would
relinquish the right-of-way it controlled for the I494 Frontage
Road. It was subsequently learned that MNDOT would not
relinquish this right-of-way at this time because of the
proposed Interstate 494 corridor study which is to be conducted
this year.
The developers have since redesigned the project. They have
also dropped plans to construct a restaurant on a part of the
site.
The planning commission reviewed the revised project plans
on February 4th, and found that the project is still in
substantial compliance with the plan that they approved earlier,
provided that the developer agrees to maintain the same ratio of
off-street parking spaces to total building floor area.
Because of the changes in the value and design of the
proposal (the dropping of the restaurant and the change in the
number of motel units) the Richfield Housing and Redevelopment
Authority (HRA) must approve an amendment to the development
agreement with PALSCO, the proposed developers for the Hampton
Inn project. At the present time the Community Development
Department staff is analyzing the new financial information
which has been provided by PALSCO. This item is scheduled to be
put on the HRA agenda for the February 18, 1986 meeting.
(Monday is an official holiday).
PALSCO has asked the city to make its best efforts to have
MNDot close the frontage road and provide PALSCO with a
temporary use permit on the frontage road right-of-way. The
temporary use permit is for a limited two year period. The
temporary use permit can be renewed for additional two year
periods.
MNDot will not give up its easement rights to the frontage _
road because it is involved in an I~?g~+ corridor study for the
possible widening of I~94. If I4g4 is to be widened, the '
frontage easement may be necessary to accomplish the widening.
However, PALSCO wishes to utilize the frontage road at this
time for the curb cut for an entrance road to the motel. The
remainder of the frontage road right-of-way will be used for
open space (green) and overflow parking, if necessary.
i
In the future, if MNDot made a determination that it did not
need the frontage road right-of-way for any purpose and would be
willing to vacate its easement, PALSCO would then consider
further development, such as constructing a restaurant.
The city council has before it at the February 10, 1986,
city council meeting the requested action to rezone the site in
question from C-2 general commercial to PC-2 planed general
commercial (this is a type of planned unit development). When
the ordinance is adopted, its publication will be delayed until
the moratorium ordinance either expires or is amended to extend
the moratorium.
None of the issues discussed in this council letter
considering the revised changes to the project have any effect
on the matter of rezoning. Rezoning of the site including the
frontage road area adjacent to the Hampton Inn Site is the only
action to be considered at this time.
It is recommended that the City Council hear anyone who
desires to comment on this project and then continue
the public hearing to the regular council meeting of February
2~4, 198.6.
R ectful s witted,
ohn G. artwright
City Manage r
JGC/eja
~y4-/
CITY OF RICHFIELD, MINNESOTA
Office of City Manager
Council Letter No. 65
Agenda: February 10, 1986
The Honorable Mayor
and
Members of the City Council
City of Richfield
Subject: Request For Permit To Sell Non-intoxicating Malt
Liquor At Spaghetti Dinner Assumption Church
Council Members:
On January 31, 1986, the city received an application for
a permit to sell non-intoxicating malt liquor from Mr. Michael
V, Dols, Parish Administrator for Assumption Church. This
request is in accordance with Richfield City Ordinance Code
11.02 Subd. 2, which allows the council to issue a fee waived
license to churches to sell non-intoxicating malt liquor not
more than three times a year.
Assumption Church is requesting this permit as a part of
a spaghetti dinner that will be served on Sunday, February 23,
1986, from 11:00 a.m. to x:00 p.m. The dinner is sponsored by
the Assumption Home and School Association as a fund raising
activity for the Assumption School.
The applicant has the required liquor liability insurance
coverage. A copy of the certificate of insurance will be sent
to the city. Mr. Dols has no criminal record.
It is the recommendation of the Director of Public Safety,
in which I concur, that the city council give favorable
consideration to granting a fee waived license to the Assumption-
. Church to sell non-intoxicating malt liquor on the date
requested.
Res ectfu~`y~ witted,
~ _
ohn G. Car right
City Manager
JGC/eja
/
CITY OF RICHFIELD, MINNESOTA
Office of City Manager
. .Council Letter No. 6~
Agenda February 10, 1986
The Honorable Mayor
and
Members of the City Council
City of Richfield
Subject: Sign Permit Applications: Illuminated Sign
at Richfield/Bloomington Honda; Illuminated
Signs at First Minnesota; and, Temporary
Oversize Sign at the Community Center
Council Members:
Richfield/Bloomington Honda
Nordquist Sign Company has requested an advertising permit
to install a single-faced wall sign measuring 18' x 6' at
Richfield/Bloomington Honda, X00 West 78th Street. The sign
will read "HONDA Used Cars".
First Minnesota
Nordquist Sign Company has requested an advertising permit
to install four single-faced wall signs measuring 108 square.
feet each at First Minnesota, 98 West 66th Street. The signs
will read "First Minnesota" and will be placed on all four sides
of the building.
City ordinances provide that the city council must approve
the permits for all illuminated signs. The signs comply with
all applicable city ordinances and it is recommended that the
city council approve the permits for their installation.
Lions Club Temporary Sign
The Lions Club has requested approval to erect a temporary
advertising sign at the Richfield Community Center, 7000
Nicollet Avenue. The sign will advertise the Lion's Club
pancake breakfast to be held on Sunday, April 6, 1986.
The sign will be oversize (8' x ~4' 32 square feet). City
ordinances limit temporary signs to 12 square feet. The Lion's
Club seeks approval for the sign from March 1, 1986, thorugh
April 6, 1986. It is city policy to approve the portable
Naegele sign used for promoting civic fund raising projects.
Recommendation
The City Manager recommends approval of each sign .permit
application.
Re ectf s witted,
ohn G. artw 'ght
City Manager
JGC/eja
PROVE ~ ( DENYU : APPROVE ~ I DEA'Y~: ,(~~t.-~
Gity MaiiaKer lnspect~~ / ~ L
Date Late .f(~-
r1PPROVE EI ~ ~EIVl' APPFOCE DE:~•~'I
~ Planninb Lepartment City Guuncil
Date J ( - ~E, Date
R ~ to above for special approval nee code General Sims
APPLIC:~:IO?: FOR AD~'EF.TISIi~G PER*:IT
City of 'r.ichfield, ainnesota
Date /'3 Zoning Sign Erected - des ho t~ Fee ~ii!-=>!fi/~C~
Con~iyl • C'r& i~ TE ~J
Address of Sign FOOD 7~Cc.c•te= r Proprietor ;game .~(~pi7~ C<.~.C3 DBA ~A~~:-E.
Si n Erector ~
g c~c - ~~n:~ r+-1 ~uK Vc«.~~ Address '72 %CV •?'7~'
Type of Sicn Design i:eather Cover Licrtinc
_ Wall Single Face ~ Clear Lexon ~ ! Constant
Projecting Double :ace Frosted Lexon Flashing
Ground Multi-Faced Plastic Covered ~ Revolving
koof Aerial/.Blimp Shaded _ Traveling
Pedestal ~ Searchlight Neon ~ Zip Lite
Changeable I Banner/Pennants _ Other Other{Explain)
Temporary ? Portable Frame: ~ Sign Colors
Trailer ~ T ~ A~ Post ~ ~q,-~CA,C~ ,C-S,QF,gt~t=G%,5•T
3 - / - ~?Co - -5/ / fo / cPCo
If Illuminated - Yes No k'atts
El~ical Contractor Address Phone
lroperty Okner or his Agent Signature Phone
Estimated Cost Sirn tiidth''y ~ Height ~ ~ Total Square Feet .3~
Position o: the advertisement structure in relationship to the adjacent buildings, sidewalks,
curbs, roadways, overhead utilit~• lines, vehicle movement lines, or public facilities on
draking Mich significant dimensions and attached hereto of major signs. *:inor signs as
defined on pa€e 2.
''_tiao blueprints of the sign, billboard, or outdoor advertising structure construction plans:
including specifications, list of materials, and explicit anchoring or fastening. details
and a cop}• of the stress sheets, calculations, color of sign structure.
hoes the sign copy relate solely to the business, institution, or activity conducted on
the premises?
Fill the sicn, structure, or billboard restrict any sicht distance under, around, or over
for sale access by persons destine:: for or passins the subject premises?
Applicant's Signature and Title kitn Firm
Date /-3/-~(p
Phone Number ~/a 9' Oc~~/ 7
. , z. -
8 ' • PLEAS£ SE£ REVERSE SIDE FOR SIGR LOCATION' SKETCH • • • ~ " • ' ~ - • "
5ivert.Hendrickson/Building•Official - 866-5061
~si`•'•r;:p ;0.]1! ~-v1•i.r....: :fs ~.~:,1. w11 47 "i ~ .•T... ~ • _ ~
r. ~s~.l ,y;.::•" 1.. ''~j+,:a:4'.?•f +.~n..•. Yy y,,y... ..i.•;,n•.h•' f.:•... ..tf. :L7. .^f'
. yc-~
1-27-86
.City Clerk of Richfield
Richfield, Mi nneso,ta
The Richfield Lion's Club is now planning to have a pancake break-
fast as a fund raiser on Sunday, April 6th. The location is at the
Community Center located at 70th and Nicollet. We are scheduled to
begin serving. at 7:00 a.m. until 1:00 p.m. on that day.
I have a request 'to ask of you. We would like to place a sign on
the South West corner adjacent to-the Community Center. I understood
' we will require permission to do this. -Our sign would be 4 feet by 8
feet and be in place from around March 1st until April 6th. The sign
would just advertise the event. The sign would be back, close to the
°corner of the building.
ti The second request is to allow parking on the South side of 70th
• ~~Ystreet adjacent to the Center. This-would be to allow handicapped
~ ,people the opportunity to be dropped off close to the door. We are
L requesting this .for only Sunday,. April 6th from 7:00 a.m. until 1:00
p.m.
This project is a joint venture with the Richfield Lioness Club and
with the support of the Senior Citizen's Group.
Your help-would greatly be appreciated.
G~~~t~=G¢~GQ
Conrad Myrvold
President, Richfield Lions
7211 16th Ave. So.
Richfield 55423
869-0047
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APPROVE I ~ DENY APPROVE ~ DENYI
City Manager lnspector ~f/~
Date Uate ~ 1. ~lp
APPROVE ~ ~E1'Y ~ : ~
t~~-~~-+ ~ APPROVE ~ ~ DE~T+
Planninb Lepartment City Guuncil
Date 1- ~ ~ Date
III Route to above f s e
or p cial approval per code General Sicns
APP:,ICa; IO:: FOR AD~'ERTISII~G FER.'IZT
Cit~• of Richfield, :Iinnesota
Date ~ Zoning Sign Erected -Yes Igo Fee
Address of 'Sign `i Q ~ 7b~ Sfi, Proprietor Name t`jChfield~ FjlCbt~11(~~ati U?~C(
~ i
Sign Erector ~,~,(s~- S)~t1 ~i'k_. Address 3~~ Ca,~e ~
Tvpe of Sien `'Jesien i:eather Cover LiEhtine
>C kall X Single Face Clear Lexon ~ Constant
Projecting Double Face ~ Frosted Lexon .Flashing.
Ground Multi-Faced ~ Plastic Covered I ~ Revolving
Roof Aerial/Blimp I Shaded ( Traveling
Pedestal Searchlight ~ Neon Zip Lite
Changeable Banner/Pennants Other ~ Other(F.~cplain)
Temporary Portable Frame: ~ Sign Colors
Trailer T ~ a ~ Post
If Iliuninated - es No k'atts
El~ical Contractor Address 1,~ ne
i roperty Ok-ner or his Agent Signature ~,~,~f ~C~C~ Ij~()Q~.1~ ftQ~(( Brie
Estiirated Cost 2,~)CC~ Sian kidth Heicht~ ~ Total Squaze : eet I~$
Position of the advertisement structure in relationship to the adjacent buildings, sideualks~
curbs, roadwa~•s, overhead utilitti• lines, vehicle movement lines, or public facilities on
Braking ~:ith significant dimensions and attached hereto of major signs. *:inor signs as
defined on page 2.
Two blueprints of the sign, billboard, cr outdooz advertising structure construction plans:
including specifications, list of materials, and explicit anchoring or faste^ing details
and a copy of the stress sheets, calculations, color of sign structure.
Does the sign copy relate solely to the business, institution, or activity conducted on
the pre:ises? L1~5 " . .
~ tr~ sicn, structure, or billboard restrict am sicht distance under, arour.?, or over
f~r afe ~ ~s y persons destined for or passing the subject premises? ?'~d ,
~
Applicant s Sign,tur and'7TiUtle kztn Firm
~Z~- lZ t I Date ~ Z7~g6
Phone :iur.:ber ~
lk ~ _ ~
- PLEASE SEE RE~'.r•.'RSE SIDE FOR SIGN LOCATION` SKETCH"'
Sivert Hendrickson/Building Official - 866-5061
1.{. wC4 M~ I: •R r~ Y f• ? iL:• "!.'1Ai%S -S?i« r, L~' _ '4~~'~~. i' 1?y.'~'..:. - . `r
~4~ ~.~r.. = ri w s,.... T.
APPROVE ~ ~ DE:?YI ~ : APPROVE DEFYI ~~~~-t--L.~~• "
Cit~• :tanager inspector~~j~;~b
Date Date
A.pPROVE ~/I DE;dY ~L,,%-L% ~~--+rj_.~.~ APPROVE ~ ~ DE:;Y~
Plannin~.Lepartment City Council
Date ;~-r''~I2u~ Date
1 I
Route to above for special approval per code C,er.eral Sicns "
A.T'PLI C.-.TIO.; FOR AD~'ERTISIT~:. PER.`AT
City of Richfield, r:innesota
Fee ~3~ Yi
Date ~ ~ ~ir Zoning ~L Sign Erected - Tes ::o
address of Sign ~ Va"~OZ'YL 7T• Proprietor tame ~ t~{~ ~ ~~'A
Sign Erector S 1~, Address 3 ~T"?
Tvpe of Sign De ~n r t+eather Cover LiEhtin_
~ kall ~ Single Face ,r Clear Lexon ~ Constant
Projecting Double Face _ Froste? Lexen Flashing
Ground aulti-Faced Plastic Covered ~ Revoivin£
_ Roof aerial/Blimp Shaded Traveling
_ Pedestal ~ Searchlight ,r Keon _ Zip Lite
_ Changeable _ Banner/Pennants Other J Other(Explain)
_ Tewporary Portable Frame: ~ Sign Colors
i Trailer ~ T ~ y ~ Post
Zf Illut:inated Yes Ko karts
~ . Phone `J~d 1
E~rical Contractor_~?/~~l~ J~~','~ ~ ~ . ' dress ~,i~. ~.t~ 7~. I '1
t ~ f
lroparty Oo.-rer or his Ager.t Signature. Phone
Estimated Cost ~Gl+~r_ Sign Nidth Height 3 ~ ~ total Square Fee_
020 X .S7 ~ •:3
Position of t're advertisement structure in relationship to the aa~acent buildings, sidewalks,
curbs, zoadwa~s, overhead utility lines, vehicle aoverient lines, o: public facilities an
e'ras:ing ~:ith significant dit:ensions and attached hereto of zajo_ signs. *:inor signs as
defined on page Z.
Two blueprints of the sign, billboard, er outdoor advertisin= s:r;:ature constructior. plans:
including specifications, list o: ::at__~als, and e:;piicit arc::c::^g or fastening details
and a cop~• o.` the stress sheets, caicui~tions, color o: site s~racture.
Does the sign cony relate solel~• to the business. instituticr., c- actin:ity conducted on .
the premises:' u~,
mil: he sip,, structure, or b~llboazd restrict any sight dista::ce under, around. or over
for :cc~: by persons destined fcr or gassing the suhiect re^ises'.' ~~3•
App icant's S 'nature acid Z'itie ~.ith First
~ t Date ~ ~
Phone *;umber ~fi"~ ~ / 1 ~ l ~
1 ~ sets d~ lu. I t~1~~5~'~ ~ E 4~2~C„
8/b^'"" FLEaSF SF.E F.F.~'ERSE SIDE FOR SIG": LC:..;;C'; S~F.;CH
A js R~.tn~~.
Sivert Hendrickson/Buildins Of:itial - 866-5061 ~ _ ~ ~F~T ~'~~~5
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CITY OF RICHFIELD, MINNESOTA ~L/B-~
Office of City Manager
Council Letter No. 63
. Agenda February 10, 1986
The Honorable Mayor
and
Members of the'City Council
City of Richfield
Subject: Authorization To Demolish The City Owned Service
Station Facility at 1825 East 66th Street
Dear Council Members:
At the City Council meeting of January 13, 1986, a decision
was made to locate and construct a new liquor store at the.
southwest quadrant of 66th Street and Cedar Avenue. The site
has been owned by the city since 1981 and is occupied by a
former service station facility which is vacant.
It would be appropriate at this time to demolish the service.
station structure, remove the five underground storage tanks and
the pavement. The visual image of the area would be improved,
the cost of removal is less during this time of year, and, it
would facilitate the timetable for the construction of the new
liquor store in the spring. An additional reason for pursuing
demolition now is the need to determine the extent to which the
soil surrounding the underground tanks may be contaminated.
Staff has received four proposals for the site clearance
work:
Herbst & Sons Construction Co. $16,500
Minnesota Lumber & Wrecking Corp. $15,800
Carl Bolander & Sons Co. $13,400
Bill Henning & Company $11,500
Under state law and the city charter, this type of
construction
work with a cost of less than $15,000 but more than
$10,000 may be authorized by the City Council on the basis of
proposals rather than through the formal bidding process. The
cost of this activity would be charged to the Cedar Avenue
Liquor Store operating fund.
It is recommended that the Cit Council authorize the
Y
dew 1
o ition of the former
service station facility at 1825 East.
66th Street by Bill Henning and Company.
Respectfu s witted,
~
/john G. Car wrigh
V`.
City Manager
JGC/eja
~y~ ~
CITY OF RICHFIELD, MINNESOTA
Office of City Manager
Council Letter No. 62
Agenda February 10, 1986
The Honorable. Mayor
and
Members of the City Council
City of Richfield
Subject: Purchase in Excess of $5,000
Council Members:
The city council policy resolution on purchasing provides
that when the purchase of merchandise, materials, equipment or
construction exceeds the amount of $5,000, the authority to
purchase will be submitted to the city council for consideration.'
There are five such items on the February 10th agenda.
Water Plant Laboratory Furnishings
The adopted 1986 budget includes $9,500 for purchase of
furnishings for the state certified laboratory at the Richfield
Water Plant. Two quotations were received for a variety of
~'1 furnishings ranging from cabinets to sinks. VWR Scientific, a ~
division of Univar, quoted $8,317.78, and Curtin Matheson '
Scientific, Inc. quoted $7,20.11.
It is recommended the city council authorize the purchase of
laboratory furnishings from Curtin Matheson Scientific, Inc. in
the amount of $7,204.11.
Turf Truckster
The adopted 1986 budget includes $7,500 for the replacement
of Unit ~~227, a Cushman truckster, which was fully depreciated
in 1984. Two quotations were received for a 1986 Cushman 4-wheel
22 H.P. Turf Truckster with flatbed and sides and other related
specifications. Horst Distributing, Inc. quoted $7,7+7 less a
trade-in value of $1,052 for Unit ~~227 for a net purchase price
of $6,695. Cushman Motor Company, Inc., quoted $7,452 for the
new unit less a trade-in allowance of $1,372, for a net purchase
price of $6,080.
It is recommended the city council authorize the purchase of
a turf truckster from Cushman Motor Company, Inc., at a net
purchase price of $6,080.
y~-~
Trash Pick-up
Quotations have been received for monthly and extra trash
pick-ups at Wood Lake Nature Center, the Community Center, Fire
Station ~~2, the central garage, city hall, the Ice Arena and the
golf course. Five quotations were received with the average
monthly cost to be shared by the divisions, computed as follows:
Expert Disposal, Inc. $ 752.83
Metro Refuse, Inc. ~ $ 753.00
Buckingham Disposal, Inc. $ 798.00
Waste Management-Savage $ 836.00
Browning-Ferris Industries of MN, Inca $1,020.60
The monthly cost for trash pickup in 1985 was $572.50.
It is recommended that the city council authorize a Master
Purchase Order for 1986 with Expert Disposal, Inc. which was
also the vendor used in 1985.
Testing And Engineering Services
Future phases of construction at Legion Lake Community Park
include provision of an amphitheater. Functionally, the
amphitheater will be used to view activities on the stage and
other locations. Seating facilities are proposed to range from
sitting on grass to chairs and benches on concrete patios.
Because of soil conditions and swamp deposits, it is important
that investigation, including testing and engineering services,.
take place in the proposed amphitheater area with
recommendations to be developed for design and construction
parameters in terms of procedures, materials and scheduling.
Geotechnical Engineering Corporation has done similar work
at the Legion Lake site and is familiar with the site and data
available. Their staff is available to do the field work this
winter while the swamp is frozen. It is anticipated a written
report would be ready by the end of April, 1986.
It is recommended the city council authorize testing and
engineering services, including test borings, field vane shear
tests, laboratory tests, settlement and slope stability
analyses, and general engineering and report preparation to be
performed by Geotechnical Engineering Corp. for an amount not to
exceed $13,000.
Air Warning Siren Conversion
As council members may recall, Richfield is participating in
a County wide effort to convert existing air-warning sirens from
land-line (telephone) activation control to radio activation
control. Competitive bids for this project have been received
by Hennepin County on behalf of the municipalities participating
in the conversion project. Based upon the competitive bid,
y~~
Richfield costs for the conversion of the existing 15 sirens is
$27,090. We anticipate federal and state reimbursements to be
75~ of the city's cost of the project. The funds for the
project are in the FY 1986 Public Safety Department budget.
It is recom
mended that the city council accept the County
bid and authorize the city to participate in this conversion
project.
• Respectf ~ ~bmit~ d,
~ ; C~~Gt2 v
j
ohn G .:'Ca twri h
g
City Manage
JGC/eja
^ /
CITY OF RICHFIELD., MINNESOTA
Office of City Manager
Council Letter No. 61
A enda Februar 10 1 86
9
g Y
The Honorable Mayor
and
Members of the City Council
City of Richfield
Subject: Students Against Drunk Drivers (SADD)
.Week Proclamation
Council Members:
Students of the Richfield High School will be present at the
February 10, 1986, city council meeting to receive a
proclamation designating February 10-17, 1986 as "Students
Against Drunk Drivers" (SADD) Week.
As part of the week's activities, a rally for SADD will be
held at the high school on February 10, 1986, and Mayor Hamilton
will be 'arrested' and held in jail the evening of February.
13th. The arrest will take place at the Richfield girls
basketball game that evening. Mayor Hamilton has raised
approximately $1,000 for this organization.
Re ectful fitted,
/l ~ 1' ' J
ohn G. Cart~jright
City Manager
JGC/eja
PROCLAMATION
DESIGNATING FEBRUARY 10-17,, 1986
STUDENTS AGAINST DRUNK DRIVERS WEEK
''Y WHEREAS, the students at the Richfield High School have
begun a campaign against persons driving a motor vehicle
while drunk, and
WHEREAS, this student group is known as S.A.D.D.
".Students Against Drunk Drivers", and.
WHEREAS, members of S.A.D.D. have been raising funds
to support this campaign which will officially kick-off on
February 10, 1986.
NOW, THEREFORE, BE IT RESOLVED that I, John Hamilton,
Mayor of the City of Richfield, do hereby proclaim February
10-17, 1986, as S.A.D.D. WEEK in the City of Richfield and
do urge all citizens and organizations to support this very
worthwhile program.
DONE at the City of Richfield this 10th day of
February, 1986.
John Hamilton Mayor
l~