Loading...
12-28-81 agenda CITY OF RICHFIELD, MINNESOTA Office of City Manager Council Letter No. 460 Agenda December 28, 1981 The Honorable Mayor and Members of the City Council City of Richfield Council Members: Subject: Resolution Amending 1981 Budget There is an extra item placed on the December 28, 1981 city council agenda providing for council consideration of a resolution which would amend the city's 1981 General Fund budget. The City Charter provides that the city council must appropriate monies for operations of the city on a department level basis. During the course of the year, the city council usually amends the oper- ating budget at least once, by approving a revised budget proposal in conjunction with approving the next year's proposed budget. However, during the course of 1981, circumstances arose which meant that in the Other Agencies activity budget, 1981 expenditures ex- ceed the appropriation contained even in the revised 1981 budget. The Other Agencies budget appears to be overspent by about $15,000, which is entirely costs associated with the cable tele- vision franchising process. The costs were items that were expend- ed in cash by the City of Edina on behalf of the Southwest Subur- ban Cable Commission (SWSCC). All of the SWSCC costs are split be- tween the five communities with the costs being born by the cable company. In order to accurately reflect the real costs, the City of Richfield must accrue $15,000 of expenditures and an offsetting $15,000 of revenue for the cable franchising process. Although expenditures by the city council are under budget, it appears that the overall Legislative Dept. budget may be overspent if the budget appropriation for this department is not amended. Therefore, it is recommended that the city council adopt the attached resolution, authorizing the transfer of appropriations from the Community Service Department budget to the-Legislative De- partment budget as described. Respectfully submitted, Karl Nollenberger • City Manager cc: Community Services Director Administrative Services Director Finance Coordinator KN/eja RESOLUTION NO. RESOLUTION AUTHORIZING REVISIONS OF 1981 BUDGET OF VARIOUS DEPARTMENTS WHEREAS, Resolution Number 6290 appropriated funds for personal services, and other expenses and capital outlays for each department of the City for the year 1981; and WHEREAS, the City Manager has requested a revision of the 1981 budget appropriations in accordance with Charter provisions. NOW, THEREFORE BE IT RESOLVED by the City Council of the City of Richfield, Minnesota, as follows: 1. That the 1981 appropriations for the following department of the General Fund be revised as follows: GENERAL FUND AMOUNT Legislative $15,000 Increase 2. That the 1981 estimated revenues of the General Fund be revised as follows: GENERAL FUND AMOUNT • Charges for Services $15,000 Increase 3. That the City Manager bring into effect the provisions of this resolution. Passed by the City Council of the City of Richfield, Minnesota, this 28th day of December, 1981. Donald J. Priebe Mayor ATTEST: Sylvia K. Bergh City Clerk CITY OF RICHFIELD, MINNESOTA Office of City Manager 0 The Honorable Mayor and Members of the City Council City of Richfield Council Members: Subject: City Manager Compensation Council Letter No. 459 Agenda December 28, 1981 When the city council last considered the compensation package for the city manager, I believe it was your intent to reconsider the issue in December for an effective date of January 1, 1982. This would put the city manager's compensation back on the normal city review schedule and bring it into the same schedule as most of the rest of the metropolitan cities. I have enclosed a salary survey showing the existing salary situation in cities over 25,000 population in the metro area. The average salary for 1981 is $47,367 (-ompared to the current salary of $47,253 in Richfield. So far, eight of the 14 cities have made determinations for 1982 averaging an 8.7 percent increase. The increases ranged from five percent to ten percent, with most of the cities going around nine percent. On an internal comparison basis, our management pay plan was adjusted by eight percent for 1982. This means that employees who are in the mid-part of their salary range (such as I am as it relates to city manager positions) would be eligible for pay increases as follows: Unsatisfactory 0% Adequate 60 Standard 8% Above Standard 10% Outstanding 12% The average salary increase given in our management will be around 9.0 percent. Council Letter No. 459 -2- December 28, 1981 There are three areas of compensation that the council might like to consider: salary, retirement and car allowance. I would suggest that the salary increase be limited to five percent in order v? to keep the total salary below $50,000. Any additional increase that the council would like to give could go as a contribution to the retirement plan of the city manager. In addition, I would suggest that the council increase the car allowance from $225 per month to $245 per month, an 8.9 percent increase. This allowance was last increased two years ago, and I find the business use of my vehicle has exceeded the $225 per month figure in the last year and one-half. Respectfully submitted, Karl Nollenberger City Manager • i 0 0 x n 3 m d Fl ;j td n 3 m Cn b7 n n n o r? o r r n (t a ?C Fd O ?j r m n O n O r O C 'z3 rt (D x O N C to rh (D ?-N, t' w (D n w £ (D s; (D r C xi r- rt O N• n r H O ?C rt N r fy (D O l< F-' O H' F- li? N r• ? (D F r a rr ( D I- n (D CL b O (D b O i-h E? rf- 7' Fi (D 7 rr co Fl :D' O (D 3 (D (D N N W W W w w w W W W XA .n ,A J Fl- rt- Ul Cl O O O N U7 (.P J co ?.o N N Un Q0 ? ?-l 1 ?3' O J C1 O C) l.C w Ui --l F-' -1 N J 00 O J (t '"o N N N N N F--' N IA W W Up O W Cl 00 O O O O O O O O O O O O O O O O r- rr (? Sv ?3, n pi O a A a p QP A A a a a l -cn -1 C r- --1 W C) H .A C1 00 l0 .A J w J OJ U .P (D 1.3 () O Oo O H C, m Ul Ul O N w H O U-1 O a F- O O O .A A O O O UP O Un O O O (D F- O O O O lD O O O w m w O O O r n a (D (D t:5 a cn Ul z U-1 .tom z u, z z Ln z v, to rl \ O w \ O \ \ 00 \ N \ ,p cn cn I O O F- H OJ X, W N O C7 O A ?O ?I O W O O ?h Q1 O O J O O W O Al (t ? !L I-' Co Z \O u, Z l0 Z O U-1 > O O O > > O ,n H FC rd O l? y H O FL' rr Q0 ?y co d N FC H Z ?O LO Z do > O W xJ O do N F1 Jy m n m n m x ?o w CTS w b n ? r• a o n n n n r• rt o ? a N 1? H ' u O O r K: O 0 n N O ?C t -3 r ?J ?:l O CZ co O ?3" t (D ?:5 O F-' (D (D 7 F- rt 7 ?-h C to P) ?l O 0 0 ?D N < (D N r rt cn F-I a r• (D rt a a n b b (D o cn rt >v .A .A .A .A .n .A .A .A .A .P ? .A .A .A . (n ?l N Li w .A G) 0) -_j ? -_j co co w F W co O O Cl O F N O UD Ui UP O Cl QJ m .A O O O O O Ul Lp O O O O O A U H -l O 01 O O O ?C O W W O O O O O ?O FC it LP n c? to Lp Ul I Z z v, Ul Z cn N W \ \ 00 O O F-' I ' \ \ \ A 0 \ > > FJ F A F cc O W N O ,> w O O ,A ?I O W O O ly N J O O O O QO W O W x H Cn n > x C t7 > Cn ;o to H n y Cn O x t-' y m l•J (n y n r• r• H K O? C r (D 2 n> c Ut ? O U O > O b O K C LI. >J x rt C P- t- O K RESOLUTION NO. RESOLUTION ESTABLISHING 1982 COMPENSATION FOR CITY MANAGER WHEREAS, the City has a Letter of Understanding with Karl Nollenberger, City Manager, dated May 14, 1979; and WHEREAS, the City Council of the City of Richfield desires to establish certain 1982 compensation provisions for the city manager effective January 1, 1982. NOW, THEREFORE, BE IT RESOLVED that the Letter of Understanding between Karl Nollenberger and the City of Richfield is amended as follows: Section 2. SALARY. Is amended to read "The City of Richfield agrees to pay Karl Nollenberger an annual salary at the rate of $ per year for the year starting January 1, 1982, and thereafter at such rate as may from time to time be fixed by the City Council." Section 3. CITY PLANS. Subparagraph a. CAR ALLOWANCE. Is amended to read "Nollenberger will be paid a car allowance of two hundred forty-five ($245) dollars per month to compensate him for all city driving on City business within the seven (7) county µr,-. ?.^11 .'er?er will be further compensated for all city driving on City business outside the seven (7) county area at the rate of twenty-two (.22) cents per mile (this rate shall be subject to change from time to time due to economic changes and will be handled by Resolution) in addition to the two hundred forty-five ($245) dollars per month car allowance. Section 8. RETIREMENT, ICMA Plan. The City agrees to continue the agreement provided by the ICMA retirement plan and the City of Richfield. The City will contribute percent of salary to the ICMA plan in addition to any contribution to the plan which Nollenberger requests to be deducted from his salary. Passed by the City Council of the City of Richfield this 28th day of December, 1981. Donald J. Priebe, Mayor ATTEST: 0 Sylvia K. Bergh City Clerk C-0 CITY OF RICHFIELD, MINNESOTA Office of City Manager The Honorable Mayor and Members of the City Council City of Richfield Council Members: Council Letter No. 458 Agenda December 28, 1981 Subject: Temporary Loan to Various Capital Improvement Projects During 1981, the city initiated four Capital Improvement projects which are to be financed in large part by special assess- ments. Because of the timing for completion of these projects, the special assessment rolls will not be adopted and certified until sometime in early 1982, and the first special assessment revenues collected until very late 1982 or in conjunction with property tax payments received on July of 1983. In order to meet the costs already incurred for these public improvement special assessment projects, it is requested that the council authorize the issuance of Temporary Improvement Bonds from the Refunding Bonds of 1978 debt service fund. The temporary bonds will finance these projects until the permanent bonds are sold. The attached reoslution provides for the issuance of temporary bonds dated December 1, 1981, in the amount of $510,000. These temporary bonds will finance the front end project design and engineering costs as well as the already incurred construction costs a for CP 734, permanent alley improvements, CP 761, arterial street lighting, CP 765, the 1981 alley maintenance program, and CP 770, the L/I3/N maintenance program (July through December 1981). The bonds will mature on December 4, 1984, but may be recalled earlier. It is recommended that the city council adopt the attached resolution, authorizing the issuance of these temporary bonds. Respectfully submitted, 1 Karl Nollenberger City Manager KN/sh • cc: Administrative'Services Director Community Development Director Community Services Director City Engineer Finance Coordinator RESOLUTION NO. • RESOLUTION DIRECTING THE ISSUANCE AND SALE OF TEMPORARY IMPROVEMENT BONDS, SERIES 33 TO THE REFUNDING BONDS OF 1978 SINKING FUNDS IN ACCORDANCE ti4ITH MINNESOTA STATUTES, CHAPTER 429 BE IT RESOLVED BY THE City Council of the City of Richfield, Hennepin County, Minnesota, as follows: 1. The total estimated costs of City Projects No. 734, 761, 765 and 770, otherwise known as 1981 Permanent Alley Improvements, Arterial Street Lighting, 1981 Alley Maintenance and L/H/N Maintenance has been estimated at $510,000. It is now estimated that this sum is currently necessary to provide financing for the cost of said projects, and it is hereby determined to be necessary to borrow said amount for the payment of obligations now incurred and for expenses necessarily incurred in connection with the construction of said project. There has been created a Bond Fund into which shall be paid the proceeds of temporary bonds issued pursuant to this resolution and out of which shall be paid all amounts due and payable as costs or expenses incident to or incurred in connection with the making of said improvements. There is also hereby created Series 33 accounts in the Temporary Improvement Bonds Common Sinking Fund into which fund shall be paid the proceeds of all special assessments levied against benefited property by reason of the making of said improvements and out of which shall be paid principal and interest on all temporary improve- ment bonds issued to finance said projects. • 2. It is hereby determined that the sum shall be borrowed to finance the following City Projects: City Project No. 734 $260,000 City Project No. 761 195,000 City Project No. 765 30,000 City Project No. 770 25,000 by issuance of Temporary Improvement Bonds of the city as authorized in Minnesota Statutes, Section 429.091, Subdivision 3. Said bonds shall be payable from the Temporary Improvement Bonds Common Sinking Fund, Series 33 accounts, but the city further recognizes its statutory duty, as provided by Section 429.091, and covenants and agrees with the purchaser and all holders from time to time of said temporary improvement bonds, at or prior to the maturity thereof it will pay and retire such bonds and the interest thereon out of the proceeds of definitive improvement bonds which the council shall issue and sell at or prior to the maturity of the Temporary Improvement Bonds, to the extent that the same cannot be paid out of funds available in the Temporary Improvement Bonds Common Sinking Fund, Series 33 accounts, or out of other municipal funds which are properly available and are appropriated by the council for such purposes. 0 3. It is hereby determined to levy special assessments against benefited property by reason of the making of City Projects No. 734, 761, 765 and 770 and ad valorem taxes, if necessary, to produce sums sufficient to pay principal when due on said temporary improvement bonds and on any definitive bonds to be • issued as herein provided, such special assessments to be placed on the tax v rolls subject to the time when said City Projects have been completed and the total costs thereof have been determined. 4. Said temporary improvement bonds in the amount of $510,000 shall be dated December 1, 1981 shall be one in number inclusive, in the denomination of $510,000, shall mature December 1, 1984, and shall be subject to redemption at par. Not less than 30 days before the date specified for redemption of said bonds the City Treasurer shall mail notice of the call thereof to the holder, if known, and said Treasurer shall maintain a record of the names and addresses of the holders of said bond insofar as such information is made available to him by the holders thereof, for the purpose of mailing said notice. The principal of said bond shall be payable at the Richfield City Hall, 6700 Portland Avenue, Richfield, Minnesota, 55423. 5. Said Temporary Improvement Bond shall be offset printed with attached interest coupon in substantially the following form: • is -2- UNITED STATES OF AMERICA ' STATE OF MINNESOTA COUNTY OF HENNEPIN CITY OF RICHFIELD TEMPORARY IMPROVEMENT BOND SERIES THIRTY-THREE NO. ONE $510,000 KNOW ALL MEN BY THESE PRESENTS that the City of Richfield, a duly organized municipal corporation of Hennepin County Minnesota, acknowledges itself to be indebted and for value received, promises to pay to bearer the sum of FIVE HUNDRED AND TEN THOUSAND DOLLARS on the first day of December, 1984 on a date prior thereto on which this bond has been duly called for redemption. Principal is payable at the City Hall, City of Richfield, 6700 Portland Avenue, Richfield, Minnesota, 55423, in any currency or coin of the United States of America on which the respective dates of payment is public tender for private and public debts. For the prompt and full payment of such principal as the same became due the full faith, credit and taxing powers of the city are hereby irrevocably pledged. This bond is one, a series in the aggregate principal amount of $510,000 issued by said city for the purpose of defraying expenses incurred and to be incurred in the construction of improvements designated as "City Projects No. 734, 761, 765 and 770" by the City of Richfield, consisting of Permanent Alley Surfacing, Arterial Street Lighting, 1981 Alley Maintenance and L/H/N Maintenance, and is issued pursuant to and in full conformity with resolutions • duly adopted by the city council after hearing as required by law and pursuant to and in full conformity with the constitution and Laws of the State of Min- nesota thereunto enabling, including Minnesota Statutes, Section 429.091, Subdivision 3. This bond is payable primarily from the Temporary Improvement Bonds Common Sinking Fund, Series 33 accounts of the city, but the council is required to pay the principal thereon out of any funds in the treasury in the event that the monies on hand in aid funds are at any time insufficient to meet the payment of maturing principal, and is further required at or prior to the maturity of this bond, to provide for the payment and retirement thereof by the issuance of definitive bonds, to the extent, if any, that the assessments and taxes or other municipal funds theretofore collected and received in said Sinking Fund may be insufficient for such purpose. This bond is subject to redemption and prepayment at the option of the city, at a price of par upon notice of call for redemption mailed not less than 30 days prior to the date specified for such redemption, to the holder, if known. Bond holders desiring to receive such notice may have their names and addresses and the serial numbers of their bonds recorded by the City Treasurer. is -3- IT IS HEREBY CERTIFIED, RECITED, COVENANTED AND AGREED that all acts, conditions and things required by the Constitution and laws of the State of Minnesota to be done, to exist, to happen and to be performed preliminary to and in the • issuance of this bond in order to make it a valid and binding general obligation of said city according to its terms have been done, to exist, have happened and have been performed as so required; that the city has duly determined the necessity of and provided for the construction of said improvements; that the Temporary Improvement Bonds Common Sinking Fund, Series 33 accounts have been duly created and provision has been made for the support thereof by ad valorem taxes and special assessments to be levied, at or prior to the time of issuance of said definitive bonds, for the years and in aggregate amounts not less than five percent (5%) in excess of sums sufficient to pay the principal on all bonds payable from said fund as such principal becomes due, and additional taxes, if needed for said purpose, may be levied upon all taxable property in the city, without limitation as to rate or amount; that the holder hereof shall have and may enforce by appropriate proceedings all duties imposed by said Chapter 429 upon the city and its officers with reference to the levy and collection of said assessments and taxes and the issuance of said definitive bonds; and that the issuance of this bond did not cause the indebtedness of said city to exceed any constitutional or statutory limitation. IN WITNESS WHEREOF the City of Richfield, Hennepin County, Minnesota, by its City Council, has caused this bond to be executed in its behalf of the signature of its mayor and manager and sealed with its official seal, and the interest coupon appurtenant thereto to be executed and authenticated by the facsimile signatures of said officers,:and has caused this bond to be dated as of --------------------------- Mayor Manager ---? -- - -4- 6. Said bonus shall be prepared under the direction of the city clerk and shall be executed on behalf of the city by the signatures of the Mayor and Manager, and the corporate seal of the city shall be affixed thereto, and the appurtenant interest coupon shall be executed and authenticated, by the printed, engraved or lithographed facsimile signature of said Mayor and Manager. When said bond has been executed and authenticated, it shall be delivered by the Treasurer to the purchaser thereof, upon payment of the purchase price heretofore agreed upon and said purchaser shall not be obliged to see the application thereof. 7. The city clerk is hereby authorized and directed to file a certified copy of this resolution with the County Auditor of Hennepin County, together with such other information as he shall require and to obtain from said County Auditor a certificate that said bonds have been entered on his bond register. 8. The officers of the city and the County Auditor of Hennepin County are hereby authorized and directed to prepare and furnish to the purchaser of said bond and to the attorneys approving the legality of the issuance thereof, certified copies of all proceedings and records relating to said bond and to the financial affairs of said city, and such other affidavits, certificates and information as may be required to show the facts relating to the legality and marketability of said bond as the same appear from the books and records under their custody and control or as otherwise known to them, and such certificates, certified copies and affidavits, including any heretofore furnished, shall be deemed representations of the city as to the correctness of all statements contained thereon. . 9. It is hereby determined that there is at the present time a total amount in excess of $510,000 in the various sinking funds and other funds of the city which will not be required for other purposes prior to December 1, 1984. 10. It is hereby determined to purchase the aforementioned $510,000 Temporary Improvement Bond, Series 33, upon initial issuance, in accordance with the provisions of Minnesota Statutes, Section 471.56 and 475.66, out of funds in the following Funds and in the following amounts and on behalf of said funds, at par and accrued interest as of the date of delivery of said bond and completion of such sale: Fund Amount Refunding Bonds of 1978 $510,000 it being further determined to be reasonable and advantageous to the above funds to invest in said Temporary Improvement Bond, Series 33, and it being further determined to be reasonable and advantageous to the city to sell said Temporary Improvement Bond, Series 33, in accordance with the provisions of this resolution. • C - J- 11. The city manager, mayor and acting authorized and directed to take any and all R provisions of the foregoing resolutions and may be necessary from time to time, to give Passed by the City Council of the City of R finance officer are hereby steps necessary to affect the to make transfers of funds as effect to the provisions thereof. ichfield this Mayor ATTEST; Sylvia K. Bergh A City Clerk 0 -6- 0 CITY OF RICHFIELD, MINNESOTA Office of City Manager The Honorable Mayor and Members of the City Council City of Richfield Council Members: Council Letter No. 457 Agenda December 28, 1981 Subject: Release of Off-street Parking Bond, SuperAmerica On December 11, 1978, the city council authorized execution of an off-street parking contract with SuperAmerica, 1240 West 98th Street, Bloomington, Minnesota, in conjunction with a convenience store with petroleium products sales, located at 2913 West 66th Street. All stipulations have been met, except stipulation Number 7 in which the council stipulated that "the applicant pay for place- ment of one-way signs on the alley adjacent to the site to prevent traffic from short-cutting through the alley." The staff recommends that this stipulation be dropped. It appears that the • short-cut problem has not materialized, and the one-way designa- tion would be difficult to enforce. Therefore, it is recommended that the city council adopt the attached resolution, authorizing release of the performance bond for this off-street parking contract. Respectfully submitted, Karl Nollenberger City Manager KN/sh cc: Community Development Director 0 RESOLUTION N0. RESOLUTION RELATING TO RELEASE OF BOND ON I'I • OFF-STREET PARKING Superamerica 1240 W. 98th Street Location: 2913 W. 66th Street Use: Convenience Store with Petroleum Products Sales Contract No. 2281, Application 78-16 WHEREAS, Superamerica had an off-street parking agreement with the City of Richfield relating to 2913 West 66th Street, which contract bears the designation of Contract No.2281, and which contract was guaranteed by an off-street parking operator's bond in the amount of Nine Thousand Dollars ($9,000) on which the Insurance Company of North America appears as j surety, and WHEREAS, said Superamerica has substantially complied with the provisions of said agreement and now seek to be relieved of any further obligation under said bond, and WHEREAS, there appears to be no justification for re- quiring said Superamerica to continue to provide a bond for security on the performance of said agreement. • NOW, THERE, BE IT RESOLVED by the city council of the City of Richfield, Minnesota, as follows: That the city manager is hereby authorized and directed to release Superamerica for any and all acts committed or incurred in violation of said Contract No. 2281, on and after the 28th day of December, 1981. ' Adopted by the city council of the City of Richfield this 28th day of December, 1981. Donal J. Priebe, Mayor ATTEST Sylvia K. Bergh, City Clerk :*I CITY OF RICHFIELD, MINNESOTA Office of City Manager • Council Letter No. 456 Agenda December 28, 1981 The Honorable Mayor and Members of the City Council City of Richfield Council Members: Subject: Request for Special Use Permit, Variance, and Off-Street Parking Permit, 1912 East 66th Street HISTORY On November 5, 1981, North Star Bumper Exchange suffered a fire which did considerable damage to their building at 1912 East 66th Street. Mr. Ray Wood of North Star Bumper Exchange has requested a special use permit and a variance to the front yard setback requirements to allow him to renovate and expand the building. There has been a question of whether or not North Star Bumper • Exchange is a non-conforming use and whether or not it could repair and expand the building to continue to operate at the site after the fire. Based on the applicant's description of the use, the city attorney's office has determined that the applicant's use is one which would be permitted by special use permit. No special use permit has been issued for the property; therefore, the use is a non-conforming use. As such, it cannot be expanded and if more than 50 percent of the market value of the building was destroyed by the fire, the use cannot be continued on the site. To end this "non-conformity," Mr. Wood has requested that a special use permit be issued for the property. PROPOSAL Mr. Wood is proposing to repair the existing building and add a 19-foot by 40-foot addition to the front of the building. This addition would reduce the front yard setback of the building from 44 feet to 25 feet. The only other building on the blokc has a frontyard setback of 24.5 feet. Thk.average existing setback on the block is 34.25 feet. Therefore, the variance requested will reduce the required setback from 34.25 feet to 25 feet (a 9.25-foot reduction). The proposed addition would be constructed of pattern concrete block and will match the existing building. In reviewing.this request, the staff has determined that two • additional variances will be necessary. The first is to allow a ten-foot high fence around the outside storage area. The zoning ordinance sets the maximum fence height at six feet. The second variance is to clear up a problem with the existing rear yard setback. The existing building has a rearyard setback of two feet. Council Letter No. 456 -2- December 28, 1981 The required rearyard setback under existing conditions is 10 feet; is with the proposed addition it would be 18 feet. The city council approved a commercial building permit and an offstreet parking permit for the building in 1959. The rearyard setback requirements were the same at that point as they are presently, but city staff can find no record of a variance ever being officially granted. There- fore, a variance to allow the building to be two feet from the rear property line should be considered to clear up this problem. ORDINANCE REQUIREMENTS Section 3.33, subdivision 2, lists uses permitted by special use permit in C-2 general commercial zoning districts. Section 3.33, subdivision 6, and Section 3.32, subdivision 4 list setback requirements in C-2 general commercial zoning districts. Section 3.40, subdivision 6 lists three conditions which must be met before a variance may be granted. Section 3.41, subdivision 5, lists conditions governing the issuance of special use permits. STAFF SPECIAL USE PERMIT REVIEW The staff has reviewed the request for a special use permit and found the following : 1. That the use is not consistent with either the existing or proposed comprehensive plan. The existing and proposed comprehensive plan indicates that the site should be • developed as medium density mixed land use, which generally would include such uses as single family dwellings, multiple dwellings, and neighborhood convenience commercial. The proposed comprehensive plan stipulates, however, that only existing convenience commercial should be permitted. In the opion of the staff, the auto parts use would not be a neigh- borhood convenience commercial use. The site is currently zoned C-2 general commercial, which allows uses other than convenience commercial uses. With the issuance of a special use permit, this use would be consistent with the C-2 zoning district use regulations. It also can be argued that because of the airport noise present at that site, this type of use would be appropriate because it would minimize the number of people exposed to the noise and the exposure would be limited to the business hours of the use. The use has existed on the site for a number of years, and a number of complaints have been filed with the city con- cerning poor maintenance of the property. 2. The proposed expansion of the building would eliminate five parking stalls. The proposal indicates that the site will be redesigned to provide a total of seven parking stalls. City parking guidelines indicate that a total of eight parking stalls should be provided. Sufficient area exists on the site to provide eight parking stalls. The proposal • also does not meet city offstreet parking lot requirements for perimeter curbing and sidewalk alone the front of the building. Council Letter No. 456 -3- December 28, 1981 3. There currently is a wood fence around the storage area and along the rear property line which is in disrepair. 4. The proposed use would not result in congestion on surrounding streets. STAFF VARIANCE REVIEW The staff has reviewed the three conditions which must be met before a variance may be granted and found the following: 1. That there are special conditions affecting this particular site. The setback of the building adjacent to the applicant's property on the block has a setback which mould be slightly less than the proposed building addition. In terms of the rear yard setback, the fact that the city issued a permit for the building at its present location could be considered a special circumstance. No special circumstances exist which would affect the fence height variance. 2. That denial of the variances would not preclude reasonable use of the property. The applicant could renovate the building and continue to use the property without getting a variance. Alternatives exist for building expansions which would not require variances. • 3. That the proposal would not be detrimental to the public welfare. The proposal would be an improvement to the property. The "character" of the block has been established by the setback of the adjacent building and the proposed addition would be consistent with that character. STAFF RECOMMENDATIONS Because the proposed use has existed on the site and is consistent with existing zoning and is an appropriate use of the site from an airport noise standpoint, the staff would recommend that the special use permit be granted with the following stipulations: 1. That the parking areas be designed to meet city offstreet parking area standards including number of spaces provided, perimeter curbing, and sidewalk. 2. That the wood screen fence along the rear of the property be repaired and properly maintained. 3. That the outside storage area enclosure be constructed to screen its contents from public view. Because the variances do not meet all of the three conditions necessary to grant a variance, the staff must recommend that the variances be denied. Council Letter No. 456 -4- December 28, 1981 The staff would recommend that the city council adopt the attached resolution approving the offstreet parking layout and authorize execution of an offstreet parking agreement subject to the following stipulations: 1. That one additional parking stalls be provided; 2. That perimeter curbing be provided; 3. That sidewalk be provided along the front of the building. PLANNING COMMISSION RECOMMENDATION The Planning Commission felt that a special use permit would not be required for this use. If the city council determines that a special use permit is necessary, the Planning Commission recommends that the special use permit be granted. The Planning Commission recommends that the variance to reduce the required frontyard setback from 34.25 feet to 25 feet be granted with the stipulation that the parking area be designed to meet city off-street parking area standards including number of spaces provided, perimeter curbing, and sidewalk. The Planning Commission recommends that the variances to allow the rearyard setback be reduced to two feet and the maximum fence height to be increased to 10 feet be granted with the stipulation that the fence materials be approved by city staff. 0 Respectfully submitted, Karl Nollenberger City Manager KN/sh cc: Community Development Director City Planner 0 RESOLUTION NO. RESOLUTION APPROVING LAYOUT AND CONTRACT FOR OFF-STREET PARKING IN ACCORDANCE WITH APPLICATION No. 81-11, CONTRACT NO. 2241 North Star Bumper Exchange 1912 E. 66th Street Location: Same Use: Auto Parts Dealership BE IT RESOLVED by the City Council of the City of Richfield, Minnesota, as follows: 1. That the proposed geometric layout of the off-street parking as contained in Off-Street Parking Application No. 81-11, of performance of the contract for such off-street parking as here- inafter authorized. 2. That the proposed off-street parking contract for the improvement of said off-street parking, bearing Contract No. 2241 be placed on file and that the manager be authorized to sign said contract and the clerk be authorized to seal the same for and on behalf of this city. 3. That the off-street parking operator provide the City of Richfield with Surety in the form of cash, passbook saving with- drawal authority, or performance bond in an amount to be determined by the community development director and city manager, to ensure • the off-street parking lot is constructed within the terms and regulations of the Off-Street Parking Agreement with the following stipulations: 1. That one additional parking stall be provided 2. That perimeter curbing be provided 3. That a sidewalk be provided along the front of the building 4. That responsibility for the proper upkeep and maintenance of said off-street parking lot shall remain the responsibility of the off-street parking lot operator in accordance with Ordinance Code 4.05. Adopted by the city council of the City of Richfield this 28th day of December, 1981. Dona J. Priebe, Mayor ATTEST: Sylvia K. Bergh, Acting City Clerk 0 F r CITY OF RICHFIELD, MINNESOTA Office of City Manager Council Letter No. 455 Agenda December 28, 1981 • • The Honorable Mayor and Members of the City City of Richfield Council Members: Subject: Council Purchases in Excess of $1,000 Chapter 6, Section 6.05 of the city charter stipulates that the city council must approve the purchase of merchandise, materials, equipment or construction when the amount exceeds $1,000. There are two (2) such items on the council agenda of December 28, 1981. BASKETS The municipal outdoor swimming pool uses a basket system for patrons to keep clothes and valuables in the bathhouse where personnel are on duty. These baskets are in need of replacement. Approximately 150 to 200 baskets are typically used as a maximum at any one time on $7.25 each of the size to fit our needs at the bathhouse (12 x 20 x 74z and zinc coated. It is recommended that the city council authorize the purchase of 360 baskets at $7.25 from Halogen Supply Company, Inc., for a total purchase price of $2,610.00. each side of the bathhouse, although the facility does have more baskets available. One of the last items in the Municipal Pool Im- provement project, CP 755, provides for the purchase of new baskets. Verbal quotations have been obtained from Halogen Supply Company, Inc. and Pools, Inc. Anchor Pools was unable to provide a quotation. Pools, Inc. indicated they could provide the baskets at $7.25 each but were unable to identify the details of the baskets, such as size and fabric. Halogen Supply Company, Inc. could provide the baskets at II 11 1 it STREET/TRAFFIC SIGNS Additional signs are needed to complete the traffic sign inventory work for replacement of signs or provision of new signs in the city. Funding for this purchase is through the street division budget, with reimbursement for a percentage of the cost from a grant program. All signs are engineer grade reflective sheeting on aluminum per State of Minnesota specifications. Quotations were received for 50 30" stop signs; 28 12" x 6" 4-way; four Do Not Enter; one One Way; 73 No Parking Any Time; two No Parking This Side of Street; five Axle Weight Limit 4 Tons; 57 single arrow; 57 double arrow; 10 Stop Ahead; seven Railroad Advance Warning; six Ped Xing (symbol); 19 Dead End; one No Passing Zone; 20 school advance (symbol); two Do Not Pass; one No Parking Between Signs; two signal ahead (symbol); 165 7' channel posts, 34/foot; and 165 7' channel posts, 2#/foot. Two quotations were submitted. Earl F. Andersen and Associates, Inc. quoted $8,092.42 for the package. Council Letter No. 455 -2- December 28, 1981 It is recommended that the city council authorize the purchase of the signs as outlined above from Gopher Signs, Inc. for a total purchase price of $8,014.67. Respectfully submitted, Karl Nollenberger City Manager KN/sh cc: Community Services Director 0 .W ''??s CITY OF RICHFIELD, MINNESOTA Office of City Manager Council Letter No. 454 Agenda December 28, 1981 The Honorable Mayor and Members of the City Council City of Richfield Council Members: Subject: Adams Hill Park Storm Drainage Ponds From time to time the city council has discussed problems relating to the Adams Hill Park storm water holding pond. This problem has consumed numerous hours of discussion, debate and concern since 1972 when the City of Richfield entered into an agreement with the City of Edina to receive storm water into the Adams Hill Park pond. The area serviced by the Adams Hill Park pond includes 146 acres of development within Edina and 127 acres of development within Richfield. The Richfield acreage is primarily residential, which would mean a high absorbency rate, while the • Edina acreage is primarily commercial, which would mean a developed hard surface situation. It became apparent very soon after the agreement between the two cities was signed in 1972 that the City of Richfield had underestimated the amount of storm water which was being received by the Adams Hill Park pond. The only means of removing storm water from the pond was a temporary pump which was contributed by the City of Edina under the agreement and which was to be manned by Richfield forces in the rare occasions when water would exceed the pond's capacity. In 1980, the city constructed a new storm water pond at Adams Hill Park, which accounted for the 100-year storm potential without flooding on private property. During 1981, the storm water pond was successful in that no private property was inundated. However, it became obvious that storm water inundation within the park reached levels of unacceptability without a permanent pumping arrangement. Previous to park development, water levels would stay in the park for periods of time similar to 1981 but did not produce an unacceptable situation since the park was not in a developed state. Intensified negotiations with the City of Edina transpired as a result of the development of the park. The negotiations with Edina have yielded the agreement which is attached to this council letter. The city management of the City of Edina has agreed to recommend this agreement to their city council if it is approved by the. City of Richfield. The agreement would call • for the City of Richfield to build a three and one-half cubic foot per second pump into a pump station to service the pond. A three and one-half cfs pump is the largest which could currently be constructF in this location due to the limitations of the piping from Adams Hill Park into the Edina system. The pump would be turned on when the elevation of the water at Adams Hill Park reaches 110 Richfield datum Council Letter No. -2- December 28, 1981 which preserves the pond for major rainfalls without inundating the north portion of the park. The entire capital work for the 1982 pump installation would be borne by the City of Richfield and is included in the 1982 budget of the sewer fund in the amount of $100,000. When the Hedberg property is developed, Edina is committed to constructing a storm sewer from the Adams Hill pump station to a storm water drainage pond to be located on the Hedberg property in southeast Edina. The City of Richfield would then be in the position to increase the pumpage capacity from Adams Hill Park pond to the Hedbera . property from three and one-half cfs to nine cfs. Nine cfs would provide the city with maximum 100-year flood protection at all times in the Adams Hill Park pond. Three and one-half cfs pumping until the Hedberq property dovetops would double the existing pumping ability that we experienced during 1981. The cost of providing the force main would be borne by the City of Edina. The cost of the force main in 1982 dollars is $138,230. At the time of the implementation for the construction of the force main, the City of Richfield would bear additional costs of $15,000 to increase the pumpage capacity. The total 1982 dolldar cost to the City of Richfield would be $LG9 00,ONI3 as compared to $138,230 for the City of Edina. The City of Edina would end up paying 56 percent of the cost compared to Richfield's 44 percent of the construction cost. It could be argued that 77 percent of the water drainage comes from the City of Edina into Adams Hill Park pond; but in light of the 1972 agreement which obligates the City of Richfield to fully take care of the water problem, the agree- ment which is before the city council appears to be a judicious one. In addition, the City of Edina will pay the electricity cost related to the pump station maintenance. The above factors indicate that the agreement attached to this council letter is beneficial to the City of Richfield and at the same time resolving a long-standing problem in our community. I would recommend that the city council approve the agreement and request the city council of the City of Edina to give it favorable consideration. KN/sh Resp ctfully submitted, ,? ? o. ?19 Karl Nollenberger City Manager cc: Community Services Director Consulting Engineers • RICHFIELD-EDINA AGREEMENT RELATING TO STORM WATER FACILITIES THIS AGREEMENT made and entered into this day of 198 by and between the CITY OF RICHFIELD, a Minnesota municipal corporation ("Richfield"), and the CITY OF EDINA, a Minnesota municipal corpor- ation ("Edina"). WITNESSETH: BACKGROUND OF AGREEMENT Richfield is the owner of a park known as Adams Park located on the boundary between Richfield and Edina. A pond located in Adams Park ("Adams Pond") is presently used as a storm water pending area. Storm water enters Adams Pond from both Richfield and Edina by both natural and artificial flow. Richfield and Edina entered into an agreement dated December 18, 1972 ("the 1972 Agreement") which imposed certain conditions and limitations upon the use of Adams Park and Adams Pond as a ponding area for storm water from Edina. The actions taken by Richfield and Edina under the 1972 Agreement have not eliminated flooding problems in Adams Park and on properties adjacent to Adams Park. By this agreement, the parties desire to make provision for additional storm water facilities which will reduce the flooding which now occurs at Adams Park. It is expected that within the next few years a tract land located in Edina on the north side of 76th Street between York and France Avenues ("the Hedberg Property") will be developed. Edina expects to establish a storm water ponding area on the Hedberg Property in conjunction with such development. That ponding area, when established, will be used to store overflow storm water pumped from Adams Pond. IT IS THEREFORE AGREED by and between Richfield and Edina as follows: 1. During the year 1982 Richfield will build a storm water pumping station on Adams Pond at the location and substantially in accordance with the plans therefor prepared by Orr-Schelen-Mayeron and Associates, Inc., a copy of which is attached hereto and made a part hereof, marked "Exhibit l." In 1982 Richfield shall install one of the two pumps shown on such plan. The pump to be so installed by Richfield shall have a 3, cfs capacity and shall be connected to the force main which now leads from Adams Park into the storm sewer system of Edina and which was constructed pursuant to the 1972 agreement. This pump shall be designed and installed so that it can provide pumping when the elevation of the water in Adams Pond reaches 110 Richfield datum. In the event of rainfalls of large volume, the two cities will cooperate to reduce water pumpage into the Edina system when private property damage might occur. The • capital costs of such 1982 work shall be paid by Richfield. The pumping station and any pumps installed therein pursuant to this agreement shall be the property of Richfield. -2- 2. When the Hedberg Property is developed Edina will construct a storm sewer from the Adams Pond storm water pumping station to a storm water drainage pond to be located on the Hedberg Property. Such storm sewer will include a force main from the pumping station to the point where storm water pumped from Adams Pond will flow by gravity into the ponding area on the Hedberg Property. Such storm sewer shall be constructed to provide sufficient capacity to handle discharge of the proposed lift station. The capital costs of such storm sewer construction shall be borne by Edina and such facilities shall be the property of Edina and shall be operated and maintained by Edina. Edina hereby makes a good faith commitment that it will not allow the Hedberg Property to develop in a piecemeal fashion so as to bypass the above noted storm drainage improvements. 3. Before Edina's completion of the storm sewers required by the foregoing paragraph 2, Richfield shall install one or more additional pumps at the Adams Pond storm water pumping station so that water may be pumped from Adams Pond into the Edina storm sewers and thence to the drainage pond on the Hedberg Property. The additional pump or pumps shall have a capacity of at least 4z cfs but not more than 5z cfs. At the time of installing such additional pump or pumps Richfield will make such piping modifications in the pump- ing station as are necessary to connect the first pump to the new Edina storm sewer, along with the additional pump or pumps. When the requirements of this paragraph 3 have been fulfilled, Edina shall be relieved of its obligation to provide the pump provided for in the 1972 agreement. 4. The operation, maintenance, repair and replacement of the pumping station and the pump located therein shall be paid for by Richfield. The electricity cost shall be paid for by Edina. 5. This agreement is an addendum to the 1972 Agreement. The 1972 Agreement remains in full force and effect except to the extent that it is modified by the provisions hereof. IN WITNESS WHEREOF, the parties hereto have caused this agreement to be executed by their appropriate officers and their seals affixed hereto as of the date hereof. IN PRESENCE OF: CITY OF RICHFIELD Mayor By By City Manager 0 1:1?- z? CITY OF RICHFIELD, MINNESOTA Office of City Manager The Honorable Mayor and Members of the City Council City of Richfield Council Members: After adoption of the legislative policies, it is recommended that the council set a meeting to discuss these with the state legislators prior to their January legislative session. A possible date for that discussion might be prior to the regular council meeting on January 11, 1982, at 5:30 p.m. Subject: Legislative Policies Council Letter No. 453 Agenda December 28, 1981 There are a number of legislative policies attached to this council letter for review by the city council. The legislative policies relate to issues that have been or are a concern to the city. Each of the policies speaks for itself, but discussion at the council meeting may be appropriate to clarify any issues. KN/sh V? i Respectfully submitted, Karl Nollenberger City Manager cc: Community Services Director Administrative Services Director Community Development Director Public Safety Director 0 Ot HRA MEMO_ TO: FROM: SUBJ: Relocation benefits paid within the city Relocation benefits are paid under two different circum- stances within Richfield; within the LHN and outside the LHN. Within the LHN The acquisition and redevelopment activities within the LHN are financed locally, without federal dollars. On May 23, 1973, the Minnesota legislature amended Minnesota Statutes Chaper 117. The amendment incorporated by reference on existing federal statute, the Uniform Relocation and Assistance and Real Property 0 It Act of 1970. HRA's, cities, and other public acquiring bodies are thus required to pay relocation benefits as prescribed in the Uniform Act as it existed, May 23, 1973 in projects without Federal dollars. In May, 1979, HRA legal counsel pursued this matter and related issues with the Attorney General of Minnesota. The Attorney General's opinion stated that we were obligated to pay benefits under the Uniform Act as it existed on May 23, 1973. Outside the LHN (utilizing federal dollars) When federal dollars are spent to implement a project, applicable laws and regulations must be followed. When a business or residence is being displaced, relocation benefits must be paid. * 4 However, payment is made based on the current regulations rather than those in existence on may 23, 1973. LEGISLATIVE POSITION STATEMENT RELOCATION ASSISTANCE The purpose of this statement is to express the City of Richfield's support for changes in the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970. Current Legislation Minnesota Statutes provide that any city in Minnesota which acquires property for minicipal purposes, must provide all relocation assistance, service, payments and benefits provided by the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970, and any implementing regulations developed by the U.S. Department of Housing and Urban Development (HUD). Impact on the city of Richfield The City of Richfield is required to meet the relocation assist- ance provisions of the federal legislation by state law and by virtue of the federal act and regulations applying to redevelopment activi- ties assisted under Community Development Block Grant programs. The major impact of this legislation on the City of Richfield has occurred in implementation of the L/H/N redevelopment project. Development plans for this area call for HRA acquisition of a sub- stantial number of properties. The intent of congress in passing • the Relocation Assistance law is to provide for equitable treatment of citizens by the government when the government is taking property, be it through purchase or through eminent domain. The government's responsibility is to ensure that persons affected be assisted in order to relocate without incurring a substantial hardship. However, the City of Richfield has acquired several properties in conjunction with the L/H/N project implementation which appear to be distortions of the congressional intent. These properties were placed on the market due to condition in no way created or encouraged by the L/H/N project. In one instance, a property was sold because the property owner purchased a business in another state. In another, a property was sold because of re-marriage, where the new spouse did not wish to live in a property which had been occupied by a previous spouse. In each of these instances, the availability of the property on the real estate market and the HRA subsequent purchase of the property were related to personal events in the lives of the property owners, rather than events in the marketplace or pressure created by the redevelopment activity. However, for each of these acquisitions, the city was required to pay relocation assistance to the property owner or to tenants occupying the property. The City of Richfield supports the concept that government should provide assistance to persons displaced or in some way harmed by its actions. However, it is the City's position that there should be a recognition in the law that not all occupants or project properties are displaced by reason of the project, and that some persons would • have relocated regardless. In such circumstances, it is our position that the acquiring authority should not be required to provide relocation assistance. LEGISLATIVE POSITION STATEMENT PAYMENT OF BONUSES TO CITY EMPLOYEES The purpose of this statement is to express the City of Richfield's support for legislation which would permit the payment of bonuses to municipal employees. Current Legislation Minnesota State Law currently prohibits the use of any public monies for purposes of paying bonuses to municipal employees. The law clearly prohibits the payment of bonuses under any circumstances or for any purposes. Impact on Richfield A significant aspect of any employee productivity improvement or motivation program includes the ability of the employer to give bonuses for various reasons, such as innovative ideas, suggestion box winners, safety program participants, etc. Under such programs, the bonus is not intended to be an overwhelming sum of money but rather to be a token demonstrating the employer's recognition of the employee's contribution. It is well accepted in personnel man- agement theory that a cash bonus can have the effect of stimulating productivity at an overall cost savings to the employer. Accordingly, it is appropriate to support legislation which would allow city employees to be paid bonuses in an amount not to exceed $500. 0 LEGISLATIVE POSITION STATEMENT L 10 INTEREST ON UNPAID UTILITY BILLS The purpose of this statement is to express the City of Richfield's support for legislation which would allow interest to be charged on unpaid water and sewer bills which are being certified for collection through the property tax. Current Legislation Current legislation prohibits cities from charging interest on unpaid utility bills which are being certified to the county for collection. Municipalities are authorized to charge a certification fee, for purposes of recovering their special costs incurred in pre- paring the delinquent accounts for certification and collection by the county. Impact on Richfield Each year, Richfield has more than 800, out of approximately 15,000, sewer and water accounts which are certified to the county for collection. The proprieters of these accounts do not make payments on their water and sewer bills during the course of the year, but rather allow the charges to accumulate to be put on the property tax bill as an unpaid assessment. They then make payments 40 in a subsequent year in conjunction with their property tax payments. Because of the number of delinquent accounts, and the dollar value of the water and sewer services sold to those accounts, the cost of interest lost by the city for carrying those delinquent accounts is reasonably significant, approximately $10,000 on the delinquent 1981 accounts. With the increased need for the city to tighten control over its cash flow, it is only reasonable that legislation should be amended to permit cities to charge interest on delinquent accounts in the same way that other businesses can charge interest on the past due balance on delinquent accounts. LEGISLATIVE POSITION STATEMENT 0 PREFERENCE FOR A STATE REDISTRICTING PLAN The purpose of this statement is to express the City of Richfield's preference for a state redistricting plan. Current Status The Minnesota Legislature is currently redrawing legislative district boundaries to preserve the integrity of representative government in accordance with the population data established in the 1980 census. The City of Richfield must also evaluate its precinct boundaries, and is presently seeking to establish district boundaries based on the 1980 census data, in accordance with the city charter. Many proposals have been studied and submitted to the state legislature, although, at this time, no final plan has been promulgated. Impact on the City of Richfield Several of the redistricting proposal which have been studied by the state legislature would create legislative districts that would fragment municipal constituencies. The fragmentation of a municipality could impede the workings of local government by diluting the interests and concerns of a municipality that could be different from those of other municipal jurisdictions represented in the same district. Furthermore, from a practical standpoint, the administering of elections which is done by local governments could be extremely complicated by a redistricting plan that is not cognizant of municipal precinct boundaries, or municipal boundaries as a whole. It is the position of the City of Richfield that any state redistricting plan recognize the municipal boundaries, and not split the municipality for legislative district purposes. If such occurs, it is at least requested that such legislative district boundaries recognize municipal precincts and/ or district boundaries. Finally, it is the preference of the City of Richfield to be placed in a legislative district with cities of the second and third class but not with cities of the first class, if it becomes necessary to combine Richfield or portions of Richfield with other municipalities or portions thereof. 0 LEGISLATIVE POSITION STATEMENT 0 DEDICATION OF A PORTION OF SALES TAX FOR CITIES The purpose of this statement is to express the City of Richfield's support for legislation which would dedicate a portion of the state sales tax for cities. Current Status The present Minnesota sales tax is imposed on certain goods and services state wide, and revenues from that sales tax are used to support the state's general fund. Impact on City of Richfield r'or cities to be able to budget and plan in a rational and orderly manner, they must have a stable, reliable and predictable source of revenue other than the property tax. Experience with delays in local government aid payments, and cut backs in those payments over the past two years has demonstrated that that system of revenues is neither reliable or predictable. The cities are subjected to the dual uncertaintt of not knowing whether the state's revenues will be adequate, and not knowing how or when the legislature and governor will choose to make fudning cut backs if state revenues do fall short. S Under a system in which cities derive a substantial part of their revenues from state sources, cities must expect that when state revenues fall short, their state aid funding will also decline. However, cities must have assurances that they will not be forced to absorb a dispro- portionate share of a revenue short fall. As a corollary, it is also reasonable for cities to expect state funding for local government aid to increase in proportion to increases of state revenues. For these reasons, the City of Richfield feels that the appropriation for local government aids be tied directly to a specified share of the state sales tax collections. Historically, the state aid appropriation has been equivalent to about 1.5 cents of the sales sales tax. The dedication of a share of the sales tax should commence immediately through legislative action, although we recommend that ultimately this provision be enacted as a constitutional amendment. It is further recommended that the revenues be distributed to cities on a monthly basis, based on the month's sales tax collection. LEGISLATIVE POSITION STATEMENT • IMPOSITION OF MAXIMUM FEES AND CHARGES BY STATE LAW The purpose of this statement is to express the City of Richfield's support for removal of maximum fees and charges from state law. Current Legislation Currently, municipalities are authorized to regulate by license any activity which, when unrestrained, might adversely affect the public health, morals, safety or welfare. Cities have adequate leg- islative authority for almost any licensing ordinance. While a city may not use license fees as a guise for generating excess revenues or taxation, the city license and permit granting function ,_s a source of revenue to a municipality which should ensure that the city's cost of issuing the license and regulating the license business is recovered. However, several license fees are regulated by state law and can be raised only by legislative action, including the following: - The maximum license fee for an off-sale liquor license is $200. - The maximum fee for an on-sale wine license is $2,000. - The maximum fee for regulating the retail of cigarettes, cigarette papers or wrappers is $12. • - The maximum fee for bottle club licenses is $300 per year. Impact on City of Richfield The City of Richfield, through its municipal licensing authority, regulates many business activities, including those for which the state has established a maximum fee. Generally, the statutes granting authority to issue licenses and permits do not specify maximum fees, and court decisions have provided ample limitation and direction that the city's power to set license fees is restricted in that revenues produced must be related to the cost of issuing the license and regulating the license business. It appears inconsistent that the municipal licensing authority is restricted in the forenoted areas by the state establishing maximum fee provisions, when the cost to various municipalities for processing and regulating such activities may vary widely. The City of Richfield feels that the legislature should repeal these maximum fee provisions and allow cities to decide locally the appropriate fee to charge for such licenses. 0 LEGISLATIVE POSITION STATEMENT 0 LOCAL GOVERNMENT AIDS The purpose of this statement is to express the City of Richfield's support for changes in our ability to anticipate local government aids and to finance operations based on anticipation of those aids. Current Status In 1981, the local government aid payment schedule was changed so that, instead of receiving four equal installments of local government aid during the months of March, July, September and December, cities now receive six equal installments of local govern- ment aid payments each month, July through December. The result of this change in local government aid payment schedule is that cities have experienced additional cash flow problems, because of such a large portion of their revenues being withheld until the second half of the calendar year. Furthermore, the governor has delayed the local government aid and homestead credit payments which cities were due to receive in November and December, 1981, to some unspecified future date. The withholding of this local government aid, already anticipated as revenue for most cities' operations through the end of 1981, has resulted in serious cash flow and/or financial difficulties for many cities. • Impact on Richfield The City of Richfield experienced a $968,000 reduction in anticipated revenues for November and December, resulting from with- holding of the local government aid and homestead credit payments. Because of the withholding of these payments, and the previously authorized change in the annual local government aid payment schedule, the city's general fund balance will be severely diminished by the beginning of 1982 and, in fact, the city will experience a cash flow deficit by February of 1982. It is the recommendation of the City of Richfield that cities should be granted authority to borrow in anticipation of receiving local government aids, in the same way that they can now borrow in anticipation of property tax receipts, so that they have an extra tool to cope with the revised payment schedule and further payment delays. Furthermore, it is recommended that the legislature require the payment of interest on local governemnt aids deferred for cities, in the same way as the governor proposed to pay interest delayed aid payments for school districts. E LEGISLATIVE POSITION STATEMENT DISTRIBUTION OF PROPERTY TAX COLLECTIONS The purpose of this statement is to express the City of Richfield's support for an accelerated collection and remittance of property tax revenues. Current Status Under current law, counties need not distribute property tax collections to cities until three days after the June 1 and November 1 date of property tax payments to the county. Furthermore, the county does not pay interest on collected but undistributed funds until 45 days after the settlement date. After that time, the county must pay interest, but only at eight percent. Impact on City of Richfield Property taxes are currently paid to cities from counties in two semi-annual payments, usually in July and December, a system which often results in cash flow problems for cities. These cash flow problems have been aggravated by the change in the local government aid payment schedule which concentrates all of the LGA payments into the second half of the calendar year. In most counties, particularly those with computer accounting capability, the collections are virtually 100 percent available within one working week after the settlement date. While counties are retaining funds and collecting interest at market rates, many cities must borrow money at market rates to meet their cash flow needs. It is the position of the City of Richfield that the legislature require counties with computer capability to distribute to cities 90 percent of the property tax revenues on hand no later than the 15th day of the month following each property tax due date. This would mean that 90 percent of the taxes would be paid to cities by June 15 and November 15. We further recommend that the remainder be distributed to the cities by the last day of those months. Finally, it is recommended that the legislature modify the property tax collection system so that taxes are paid quarterly. Given the current statutory dates for local levy certification, and practicalities with county property tax billing procedures, the first payment date should be March 31 of each year LEGISLATIVE POSITION STATEMENT 0 LEVY LIMITS The purpose of this statement is to express the City of Richfield's support for elimination of the levy limits, or substantial modification to the previously applicable levy limits legislation. Current legislation The 1971 Minnesota Legislature established a piece of legislation which essentially limited a city's ability to support its programs and services through property tax revenues to a six percent annual increase. The original levy limit law, although changed many times, has remained essentially the same in its impact since that time. In 1979, the six percent limit was increased to eight percent, and many of the excluded levies which had previously been permitted were eliminated or severely restricted. In the approximately ten years since the original levy limit law was imposed, the annual rate of inflation has grealty exceeded six percent or even eight percent. Cities have, therefore, been forced to continually reduce expenditures and/or programs because they have not been able to even keep pace in their major revenue sources with the rate of inflation. Furthermore, changes in the levy limit law have often times served to penalize those cities that successfully held down their property tax levies in the previous year. The leg- islature has repealed the levy limit law effective for taxes payable in 1983, but has also indicated that in 1982 the issue will be subjected to study and potential reenactment. Impact on City of Richfield The City of Richfield receives more than one-half of its operating revenues from the combination of property tax and local government aid revenues, which are subject to the levy limit law. The imposition of the levy limit law has forced the City of Richfield to severely restrain growth of activities, and, in fact, the number of municipal employees in 1982 is significantly lower than the number during the early to mid-1970's, despite the addition of several entirely new services and programs, such as opening of a municipal golf course. The City of Richfield has consistently opposed the levy limit law in that it provides little flexibility to the city, is contrary to basic principles of local self government and accountability, and fails to recognize changing local conditions as to either expenditure needs of revenue sources. The city remains strongly opposed to any such levy limitation, and recommends that the Minnesota Legislature take no action to reenact levy limits. If repeal of the levy limit law cannot be maintained, the City of Richfield recommends that the following elements be incorporated into any new levy limit law: Legislative Position Statement Levy Limits Page 2 A. Levy Limit Base 1. Increase index A more accurate index of governmental costs should be incorporated into the law as a basis for automatically adjusting the levy limit. Increases in local assessed valuation should also be taken into account, so that the combined effect of levy limits and growing assessed valuation is a stabilization rather than a reduction of mill rates. 2. Method for fixing base figure i The levy limit base, to which any increase index is applied, should not be set arbitrarily based on city tax levies for a particular year. A city's property tax levy for a given year may have little relationship to its total expenditure needs in subsequent years. At the very least an average figure based on several years' levies, adjusted for inflation, should be used as a starting point. 3. Population Any levy limit should recognize that increased population requires increased revenues and thus should provide base • increases in direct proportion to population increases. Because many costs are fixed, decreases in population should not result in a base decrease. 4. State and federal aid decreases Minnesota cities have become dependent on federal revenue sharing, state local government aid and other state and federal aids and grant payments. If federal and state aids are reduced or frozed, some alternative method must be allowed to replace the loss. The city recommends that the levy base should be adjusted to allow for replace- ment of funds due to failure of state or federal aid to increase, or due to decreases or payment delays of such aid. 5. Commercial, industrial, residential growth Any levy limit law should recognize that new commercial, industrial, or residential growth causes increased city costs. Some of these are one-time capital costs for extension of city services to a particualr -development, which should be allowed as a special levy to the extent that such services are not paid for through bonded indebtedness,or special assessments. Any additional costs for general services to the new development should be added into the permanent levy limit base. If this is not done, insufficient revenues will be provided for the required services and a strong disincentive for encouraging new development within cities would exist. U Legislative Position Statement Levy Limits Page 3 B. Special Levies Special levies are an important part of any levy limit law, because they allow some flexibility based on special needs and circumstances that may affect individual cities. Therefore, we support maintaining all of the special levies that are currently allowed and, in addition, recommends that the following special levies also be included in any new levy limit law: 1. Special elections The legislature should allow for a special levy so that a city may recover local costs of holding special elections for Congress and the State Senate and House of Represent- atives. 2. Mandated state and federal programs 0 The cost of local government is being influenced more and more by state and federally mandated programs and increased mandated benefits or costs for in-place programs. Some of the costs which bear no relationship to any allowed percentage levy limit increases are: workers' compensa- tion benefits; binding arbitration; federal social security; minimum wage laws; comprehensive planning; OSHA. Therefore, we recommend that the legislature re-instate the special levy for new and increased program costs mandated by state law and initiate a special levy for increased costs caused by new federally mandated programs. 3. Natural disasters and lawful orders The legislature should re-instate the special levies allowinc for expenditures of funds as a result of natural disasters and lawful orders. A city cannot really plan for either of these events, and has no control over them. Neither of these special levies would be used often, but would be extremely important to those cities needing to use them. 4. Energy We recommend that the legislature enact a special levy to pay-for costs incurred by cities for energy improvements, including capital expenditures. Voluntary energy conserva- tion improvements, as well as required expenses, should be allowed to be funded out of this special levy. 0 Legislative Position Statement Levy Limits Page 4 C. Size of City Covered by Levy Limits In both 1973 and 1975, amendments were passed to the levy limit law excluding certain cities from this law on the basis of population, because it became obvious that the normal political forces at work in smaller cities made levy limits unnecessary. In 1981, the law was applied to all cities for 1982 only. If new levy limits are enacted for 1983 or thereafter, the legislature should at least exclude all cities under 5,000 population from levy limits. D. Mandated Programs • Levy limit laws cause especially difficult problems for cities to the extent that the growth in the number and cost of federal and state mandated programs is not recognized. Congress and the legislature substitute their for local budget priorities - yet the program costs must be met within restrictive levy limits. Therefore, the following actions are recommended: 1. As an alternative to special levies (see part B) the state should provide full or partial reimbursement directly from state revenues to carry out state mandated programs. 2. The state should adopt a policy of "deliberate restraint" on its mandated programs, including a mandatory fiscal note identifying local governmental costs on any new mandated programs when they are introduced in the leg- islature and a statement of compelling state-wide interest to accompany all state mandates. 0 LEGISLATIVE POSITION STATEMENT LOCAL FIRE PROTECTION ON STATE HIGHWAYS The purpose of this statement is to express the City of Richfield's support for a change in the State's reimbursement procedure for local fire protection on State highways. Current Legislation The State law covering reiumbursement for fire service, adopted in 1977, directs the State Commissioner of Transportation to reimburse local fire departments for ordinary expenses incurred while exting- uishing a fire or eliminating the danger of a fire or explosion on any State highway. The Department of Transportation's disbursement policies are extremely restrictive, and the program as presently administered is not cost-efficient. Only half of the State's fire departments have been able to successfully claim reimbursement for services, and the administration costs are taking $30,000 of the $90,000 annual expenditure. Impact on City of Richfield The law as administered has had little positive impact on the City of Richfield, and the negative impact is growing. Less than one- third of the city's claims for 1981 have been reimbursed, yielding an estimated $1,000 from over $3,000 in claims. The cost of the services provided in 1981 have been over $5,000, but the restrictions placed on reimbursement by the MnDOT have precluded the city from claiming the true cost of fire service. Persons traveling through Richfield on State roads who experience a fire or accident are not receiving timely responses from the Fire Division as an indreict result of the MnDot policies. Since all fire department claims for service must be investigated and justified by the State Patrol, the Patrol officers have been instructed not to call for local help at emergencies until the Patrol reaches the scene of an accident and verifies that fire or emergency medical help is needed. This has resulted in people waiting over 15 minutes for medical help when the normal response is two minutes. It is suggested that the city council support efforts by the State legislature to either reduce the impediments to cost-effective claim reimbursement or repeal the law and re-direct the alloted funds to other local government aid programs. 0 CITY OF RICHFIELD, MINNESOTA Office of City Manager 0 Council Letter No. 452 Agenda December 28, 1981 The Honorable Mayor and Members of the City Council City of Richfield Council Members: Subject: Update on City's Financial Condition There is an item on the December 28, 1981 city council agenda providing for an update on the city's financial condition. At that meeting, the staff will describe the impact on the City of Richfield of the legislature's proposals, if any such proposals have been finalized by that time. Respectfully submitted, Karl Nollenberger City Manager KN/sh 0 '0 1 CITY OF RICHFIELD, MINNESOTA Office of City Manager Council Letter No. 451 Agenda December 28, 1981 The Honorable Mayor and ?. Members of the City Council City of Richfield Council Members: Subject: Godfather Block Moratorium In November, 1980, the city council passed an ordinance declaring a moratorium on development on the block bounded by 65th Street, 66th Street, Lyndale Avenue and Graham Avenue. This moratorium was requested by the HRA. The city council considered and instituted the moratorium to allow the city to determine what types of land use controls exist or could be put in place to bring about the integrated and unified development called for on the block in the L/H/N redevel- opment plan. This moratorium will expire on January 10, 1982. During the past year, members of the staff and others have met to study potential uses for the area and the need for integrated development on the block. The studies will continue and be considered by the council at the time it considers adoption of the comprehensive plan. A policy incorporated into the draft comprehensive plan requires integrated development of areas to be acquired by the HRA, to ensure that the L/H/N redevelopment plan is carried out. The draft compre- hensive plan, including this policy, was approved by the Planning Commission on June 9, 1981 and accepted by the city council. This draft comprehensive plan was submitted to the Metropolitan Council and approved by them on December 3, 1981. The city will have to officially adopt the comprehensive plan within nine months of Metropolitan Council approval. The HRA, at their December 21, 1981 meeting, reaffirmed their desire for integrated development on the block and passed the attached resolution requesting that the city council extend the moratorium for one year. It is recommended that the city council pass the attached resol- ution, extending the moratorium for one year, to allow time to consider formal adoption of the comprehensive plan and official zoning controls consistent with the comprehensive plan. 0 Council Letter No. -2- December 28, 1981 It is also recommended that the city council refer the matter of the proper zoning for the Godfather Block to the Planning Commission for review and recommendation, so as to promulgate development con- sistent with the guidelines contained in the L/H/N Redevelopment Plan. Respectfully submitted, Karl Nollenberger City Manager KN/sh cc: City Attorney Community Development Director City Planner Housing and Redevelopment Coordinator 0 !' RESOLUTION NO. RESOLUTION EXTENDING TRANSITORY ORDINANCE 16.61 FOR ADDITIONAL TWELVE MONTH PERIOD WHEREAS, on November 24, 1980, the City Council adopted Transitory Ordinance 16.61 placing a moratorium upon development of the area of land located within the City of Richfield bounded by 65th Street on the north, 66th Street on the south, Lyndale on the east and Graham Avenue on the west; and WHEREAS, the purpose of said moratorium was recited in the ordinance to be as follows: "[I]t is necessary and expedient for the purpose of protecting the planning process and preserving the health and safety, general welfare, convenience, and prosperity of the citizens that during such study period and pending the adoption of official controls, no development or redevelopment within the block occur, and no request for rezoning, special use permit, variance, platting, build- ing permit or sign permit be considered." is and; WHEREAS, during the period of the moratorium the city staff and the staff of the Housing and Redevelopment Authority have con- ducted reviews of the existing zoning and land use patterns in the area which is subject to the moratorium and have studied the potential for development of the area as an integrated project; and WHEREAS, on June 9, 1981, the Planning Commission, upon review of recommendations by the City Planning staff and following public hearing, recommended that the Richfield Comprehensive Plan Land Use Element - Central Business District Policy be amended to designated areas such as the subject block for integrated development; and WHEREAS, on June 22, 1981, The Comprehensive Plan containing the amendments recommended by the Planning Commission was forwarded to the Metropolitan Council for its review and comment as is required prior to its formal consideration by the City Council; and WHEREAS, the City has been notified that the Comprehensive Plan submittal was approved by the Metropolitan Council on December 3, 1981; and WHEREAS, the City Council intends to conduct public hearings on the Comprehensive Plan and to receive the information gathered by the staff during the past year; and WHEREAS, should the Council adopt the Comprehensive Plan, including the Land Use Element, it will also be necessary to consider the adoption of official controls implementing the ?I Comprehensive Plan; and WHEREAS, the purpose quoted above for which the moratorium was originally enacted remains valid until all of the actions outlined herein can be considered; and WHEREAS, Ordinance 16.61 provides that the Council may extend it for an additional 12 months. NOW THEREFORE, BE IT RESOLVED by the City Council of the City of Richfield, Minnesota, that Ordinance 16.61 is hereby renewed and extended for an additional 12 month period to and until January 10, 1983. BE IT FURTHER RESOLVED that the City Council requests the City Planning Commission to consider and make recommendations on the appropriate zoning classification for the subject block. taking into consideration the Comprehensive Plan of the City as finally adopted. Passed by the City Council of the City of Richfield this 28th day of December, 1981. 0 Donald J. Priebe Mayor ATTEST: Sylvia K. Bergh City Clerk •A December 28, 1981 City of Richfield Council 6700 Portland Ave. So. Richfield, MN. 55423 Dear Council: In October of 1980 you passed a resolution on my property for a mora- torium for one year, effective January 1981. I was very much opposed to that action, and so stated at various meetings. However, my likes and dislikes were disregarded and the moratorium was passed. When this happened, I made a specific request of you to be kept informed of the developments and progress concerning my property and this moratorium. It was my feeling then, as now, that the moratorium was unnecessary, as the HRA had already adopted a comprehensive plan for this area. This moratorium has caused me very considerable financial losses. Now, you are proposing to extend the moratorium for an additional year. This again will cause me to suffer further economic losses. How and when are you going to reimburse me for these losses? A year has now passed for "study" purposes. As of today, I have seen no studies. In a letter I sent to you dated July 1, 1981, I asked for this. I have had no reply for this request. I can only presume that you have not utilized the moratorium time to its best advantage, and I see no reason to have an additional one year moratorium placed on this property. After all, you have had since 1975. I would also like to point out that there are eight businesses on my property, with over 100 employees. A moratorium is bad for their busi- ness as well as their employees. It is my feeling that you have not kept me informed of development and planning for this area, that you have had more than ample time to plan (several years), and that an extension of this moratorium is not in order. I request that this letter be read into the record on the meeting on the moratorium. Sincerely, G. E: Strom CITY OF RICHFIELD, MINNESOTA Office of City Manager Council Letter No. 450 Agenda December 28, 1981 w The Honorable Mayor and Members of the City Council City of Richfield Council Members: Subject: Resolution Requesting City Council Members to Authorize the Advisory Board of Health to Facilitate the Implementation of the Comprehensive South Hennepin Human Services Plan The South Hennepin Human Services Council (SHHSC) has recently completed a needs assessment study. The study addressed 12 areas of social services. Needs were prioritized and recommendations made for possible resolution of problems. The next logical step is to facilitate implementation of the plan which was developed from that study. Bloomington, Eden Prarie and Edina, also members of the SHHSC, have appointed boards to be responsible for the facilitation of the implementation of the plan. The SHHSC has developed a tentative work plan. It requires participation by Richfield residents to further the facilitation process during the early part of 1982. At its December 8, 1981 meeting, the Richfield Advisory Board of Health passed a resolution which states, "The Advisory Board of Health requests the city council to authorize the Advisory Board of Health to facilitiate the implementation of the comprehensive South Hennepin Human Services plan for Richfield and to work with the South Hennepin Human Services Council and other appropriate resources in the community e.g. churches, schools." There will be members of the Richfield Advisory Board of Health present during the council meeting. Helen Yates, a liaison to the Advisory Board of Health from the SHHSC will be prepared to answer questions. Russ Stricker, Executive Director of the SHHSC, will also be present. Respectfully submitted, Karl Nollenberger City Manager 0 KN/sh cc: Public Safety Director Environemntal Health Manager CITY OF RICHFIELD, MINNESOTA Office of City Manager a Council Letter No. 449 Agenda December 28, 1981 The Honorable Mayor and Members of the City Council City of Richfield Council Members: Subject: Resolution Establishing Procedure for Deferment of Special Assessments Against Owner-Occupied Homestead Properties of Persons Over 65 years of Age or Persons Permanently and Totally Disabled • On October 12, 1981, the city council passed Resolution No. 6519, providing for the deferment of special assessments against owner- occupied homestead properties in certain circumstances. A copy of that resolution is attached to this council letter. That resolution listed the requirements which must be met by persons requesting deferment of assessments, and incorrectly listed number seven as follows: "Within 30 days after the filing of the application in completed form, the city manager or his/her designee shall make a report to the council on the application, with a recommendation as to whether the application shall be granted. The council shall, by resolution, either grant or deny the application and the decision of the council shall be final." The section duplicates section 8 and requires that the names of persons requesting these deferments be made public; hence, that section of the resolution should not have been included. Attached to this council letter is a resolution establishing the procedure for deferment of special assessments, deleting that provision. This item has been placed on the December 28, 1981 city council agenda for council action. Respectfully submitted, Karl Nollenberger City Manager 11 KN/ sh cc: Administrative Services Director City Clerk Finance Coordinator RESOLUTION NO. RESOLUTION ESTABLISHING PROCEDURES FOR DEFERMENT OF SPECIAL ASSESSMENTS AGAINST OWNER-OCCUPIED HOMESTEAD PROPERTIES OF PERSONS OVER SIXTY-FIVE YEARS OF AGE OR PERSONS PERMANENTLY AND TOTALLY DISABLED BE IT RESOLVED by the City Council of the City of Richfield, Minnesota as follows: 1. It is the policy of the city to consider requests for the deferment of special assessments upon homestead properties owned by persons 65 years of age or older or by persons retired by virtue of a permanent total disability for whom it would be a hardship to make payments of such special assessments. Permanent and total disability for the purpose of this section means a condition which is permanent by nature and totally incapacitates the person from working at an occupation which brings him an income. In the adoption of such policy and the procedures established by this resolution the city is acting pursuant to authority granted by Minnesota Statutes, Sections 435.193 to 435.195. 41 2. A qualifying hardship shall be deemed to exist if the owner of the homestead property and other occupants of the homestead, taken together (a) had a gross income of less than $11,000 in the previous calendar year and (b) will have an estimated income for the current calendar year and subsequent years which will not exceed said sum. 3. Application for deferral of payment of special assessments shall be made on forms prescribed by the county auditor. The home owner shall furnish the city with such information as it may require at the time of the original application and at any time thereafter while the special assessment remains unpaid, which will permit the city to establish, verify or continue the deferral of special assess- ments or to determine whether eligibility for such deferral has ended. 4. Interest on deferred special assessments shall accrue until the special assessment is paid, at the rate established by the city at the time of levying the special assessment. 5. The city manager or his designee shall examine all applica- tions for determination of his/her eligibility for deferral of payment of special assessments (a) in compliance with said statute and (b) in accordance with the standards and guidelines for deter- mining hardships contained in this resolution or any suL-)sequent amendment thereof. • 6. No deferment of payment of a special assessment shall be made unless the owner furnishes the city with an application and such supplementary documentation and verification as may be required to establish the following: 1. The legal description, plat and parcel number of the property; 2. The street address of the property; 3. Its status as homestead property; 4. The description or designation of the local improvement; i 5. The name of the homestead owner-occupant; 6. That said owner-occupant is over 65 years of age or permanently and totally disabled; 7. Tha_ payment of the special assessment on the ordinary time basis would be hardship as defined herein. 7. Within 30 days after the filing of said application for deferment of special assessments, the city manager shall review the application for consistency with and conformance to, the council prescribed standards and guidelines; and then either grant or deny the application. In the event of the existence of exceptional or unusual circumstances not covered by the standards and guidelines, the city manager shall make a full report to the city council within 30 days of the filing of said application along with a recommendation as to whether said application should be granted or denied. In the event of the denial of the applica- tion by the city manager, any applicant shall have the right to have the application considered by the city council. In those instances where the city council considers an application, it shall, by resolution, either grant or deny the application; and the decision of the city council shall be final. The city manager shall report to the city council on a quarterly basis on deferrals granted by him/her. 8. The option to defer the payment of special assessments shall terminate and all amounts accumulated, plus applicable interest, shall become due upon the occurrence of any of the following events: (a) the death of the owner, provided that the surviving spouse is not eligible for the benefits hereunder; (b) the sale, transfer or subdivision of the property or any part thereof; (c) if the property should for any reason lose its homestead status; or (d) if for any reason the taxing authority deferring the payments shall determine that there would be no hardship to require immediate or partial payment. Passed by the City Council of the City of Richfield this 12th day of October, 1981. Donald J. Priebe Mayor ATTEST: Sylvia K. Bergh City Clerk • G CITY OF RICHFIELD, MINNESOTA Office of City Manager Council Letter No. 448 Agenda December 28, 1981 The Honorable Mayor and Members of the City Council City of Richfield Council Members: Subject: Approval of Payment of Arbitration, Reichart Construction The city council has previously been informed that in April, 1981, a Demand for Arbitration was filed against the city on behalf of the water wells and pump equipment contractor at the Rich Acres Golf Course (Lee Richert Plumbing and Heating, Inc.) in the amount of $37,074.52. In late April, the city filed a counterclaim. Since that time, a three-arbitrator panel has held hearings on this matter. In late November, the arbitrators reached their decision; the city received notice of the Award of Arbitrators in December. • The Award calls for the city to pay Lee Richert Plumbing and Heating, Inc. the sum of $36,072.81. In order to assure completion of warranty work on the repair of the pressure relief valve, the city may withhold $500.00 until such time as the leak in the pressure relief valve has been repaired. The city was holding $17,353.54 on this particular contract. It is now necessary to pay this sum plus an additional $18,219.27 for a total payment of $36,572.81. Part of the additional payment represents interest on the remaining contract amount, extended warranties and insurance, and payment for work done by the contractor which was ruled by the arbitrator to be beyond work for which the city has already paid. Another $500 will be paid when the repair is complete. It is recommended that the city council authorize payment of $37,072.81 to Lee Richert Plumbing and Heating, Inc. with $36,572.81 to be paid at this time and the remaining $500.00 to be paid upon completion of the repair. Respectfully submitted, Karl Nollenberger City Manager 0 KN/sh cc: Community Services Director Finance Coordinator -1 R EIPT-NO1w,F "^ CITY OF RICHFIELD NEW ' ,J ' u 6700 Portland Avenue South LICENSE NO. Richfield, ;4N 55423 RENEWAL - APPLICATI ON FOR ;ON-INTOXICATING 1AALT ,10 OR LICENSE 1 FOR CALENDAR YEAR -----__-°----- ------------------------------ Bus. Name: y;_ Riq? field ^~er; can Leman 1+35 **Retail "On-Sale" ......... $200 Retail "Off-Sale"......... 25 Bus. Address: ?KC1 nrtlan d :vim moo. Wholesale ................ 10 Bus. Phone Number: . Club • • 100 A FULL N : li t' TOTAL O D pp ame can s AM UNT UE$_ (Women include maiden name. ) Applicant's Address: o c r ',-y P "o. Length of Residence: 2 years (Hennepin County residency required for on-sale License) Are you a resident of Hennepin County eyes no Applicant's Phone Number: 92U-2205 Applicant's Date of Birth: c,L7 - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -- - - - --- - -- Are you the actual proprietor? yes x no Are you the owner of the property at which the business will be located? des x no Has any other license of this kind been granted to you? Yes no *IF APPLYING FOR A TAVERN LICENSE, the retail "on-sale" and food licenses must be granted addition to the Tavern License. Have you applied for these licenses? _yes no **IF APPLYING FOR A "RETAIL ON-SALE" LICENSE, only a food license must be granted in addit to the "Retail On-Sale" License. Have you applied for a food license? _yes no Will you remain open between 1:15 A.M. and 5:00 A.M.? ____yes no If joint ownership or if a silent partnership is involved, specify complete names, dates o birth, addresses and telephone numbers for everyone concerned.- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - , I (we) hereby agree to operate such business in accordance with the laws of Minnesota and T the ordinances of the City of Richfield. The foregoing statements are true and correct to the best of my knowledge a belief. / - / i Authorized Signature: Title: Date: - - - - - - - - - - - /- - - - / - / - -- - - - - - - - - - - -/- - - - - - - - - -FOR CITY USE ONLY POLICE APPROVAL: YES NO Signed:i • Date; '?_ COUNCIL APPROVAL: YES NO DATE: ?V CITY OF RICHFIELD, MINNESOTA r. Office of City Manager Council Letter No. 447 Agenda December 28, 1981 The Honorable Mayor and Members of the City Council City of Richfield Council Members: Subject: Agreement with Hennepin County for Implementation of 1982-83 Community Health Services Plan In 1977, the City of Richfield received approximately $55,000 through a Community Health Service subsidy to expand our program of personal health services and strengthen the environmental health activities. The subsidy program has continued and in 1981, the subsidy was approximately $85,500. To continue this program in 1982, it is necessary for the city council to authorize execution of an agreement between the City of -? Richfield and the Hennepin County Community Health Department to provide for conveyance of the subsidy monies to the City from the County. Attached is a copy of the proposed 1982-83 Agreement. There have been several minor changes. The Agreement is now with the (County) Community Health Department. A paragraph relating to Data Privacy has been changed. There are some wording clarifications in the liability paragraph. The subsidy dollar support written into the Agreement (paragraph 2, section b) in the amount of $76,364 represents the subsidy support requested in the county-wide 1982-83 CHS plan. It is based upon legislative allocation made last spring, down approximately $9,000 from the previous allocation of $85,500. The Governor has proposed a biannual decrease in State agency spending, which includes the CHS subsidy program. If adopted by the legislation, there could be a 15-17 percent cut for the calendar year 1982 and January-June 1903. Because it is unclear when the legisla- ture will act and what the impact on the CHS program will be, the county has processed contracts in the Plan amount. If the legisla- ture cuts the CHS subsidy program, the Agreement will be renegotiated to reflect reduced funding. • Council Letter No. 447 -2- December 28, 1981 It is recommended that the city council authorize the Mayor and the City Manager to execute the contract agreement (No. 20016). Respectfully submitted, i Karl Nollenberger City Manager KN/sh cc: Public Safety Director Environmental Health Manager n U 49 , 1} AGREEMENT No. 20016 S AGREEMENT, Made between the COUNTY OF HENNEPIN, State of .;` Minnesota, hereinafter referred to as the County through the Community Health yh Department, hereinafter referred to as Department, and the CITY OF RICHFIELD, c " _ to municipality organized and existing under the laves of the State of Niinnesota, `? x_M ,hereinafter referred to as the Municipality; '•? ` WITNESSETH: 7t:: r.. `bWHEREAS, the Municipality wishes to provide Community Health Care Services; and ' 1;,-aWHEREAS, Community Health Services subsidy funds are available to Hennepin .w County from the Minnesota Department of Health; F -SNOW THEREFORE r ' , in consideration of the mutual undertakings and agreements ajr 1 ,.hereinafter set forth herein, the County through the Department and the b5?;?;rt Municipality agree as follows: ?4 12 sC 'a f?i 7 il??ht+? 1 TERM OF AGREEMENT e term of this Agreement shall be from January 1, 1982, through December 31, 1983. This Agreement shall include the period July 1, K,1983, through December 31, 1983, only if the Community Health Services Act is continued, fully funded by the State of Minnesota for ?.;•t`c?, t the 1983-84 biennium and the County receives the full amount of subsidy funds requested in the approved 1982-83 Hennepin County Community Health Services Subsidy Plan. If such funds are not available to allow for funding during the period July 1, 1983, through December 31, 1983, this Agreement shall be cancelled upon written notice from the County through the Department; such cancellation to be effective as of July 1, 1983, or this Agreement shall be renegotiated -to reflect reduced funding. 2. `e'• i. nu- CONDITIONS OF COUNTY SUPPORT a. The County through the Department agrees to make payments to the Municipality in reimbursement for the provision of Community Health Services as described in the 1982-83 Community Health Services Subsidy Plan, hereinafter referred to as Plan, written pursuant to Minnesota Statutes 145.911-145.921, a copy of which is on file at the Hennepin County Community Health Department, 4th Floor, 501 Park Avenue South, Minneapolis, Minnesota. The Plan is incorporated into and made a part of this Agreement as if fully set forth herein. h. The total 1982 cash payment to the Municipality for Community Health Services shall not exceed $76,364, and total 1983 payments shall not exceed $76,364. oi? htf? . - ^-???..?«......n v.- _-?•., . r..o.5. .?.... ? - ?'._ - ._- .- -..vb:..... _ ...?..,.•«.:...r.?ei?s.aa..?• ....c'?.•-.i.n...::.:6. t-.«'R ?5?.?. 3??..-,..rn C. These payments to the Municipality will be made in eight (8) fYF;:. „: installments to be paid on or about March 30, 1982; June 30, 1982; m September 30, 1982; Deceber 31, 1982; March 30, 1983; June 30, 1983; September 30, 1983; and December 31, 1983. Payments shall be made in the manner provided by law for payment of claims against the County. -i}, ;' :• 3. CONDITIONS OF THE PARTIES' OBLIGATIONS a. It is understood and agreed that the Agreement between the parties is conditional upon the County receiving sufficient Community Health Services funding from the State of Minnesota. If such funding is not available, this Agreement shall be cancelled immediately upon written notice to the Municipality, other provisions for cancellation of this Agreement notwithstanding. This agreement may be renegotiated to reflect any reduced funding. b. This Agreement or any part thereof may be cancelled by either ;;:''4 :........ party upon thirty (30) days written notice delivered by mail or in } ..person if by State law, regulation or policy the relationship between the County and the Municipality as it concerns the expenditure of State funds for the purpose of providing the services as described in the Plan is modified as to render the obligations under this contract materially changed. oY s. c. The Municipality agrees to make expenditures of Community Health Services funds provided through County through the Department payments within Minnesota Department of Health rules and policies relating to Community Health Services, including Minnesota Department of Health Rules 451 to 460, Policies Relating to Community Health Services, Assurances and Agreements contained in the Plan and policies contained in the - Minnesota Department of Health Fiscal Manaqement Report for Communiiy Health Services Boards, June, 1978. • d. Both parties to this Agreement shall make a good faith effort to determine if payments to subcontractors anticipated in the budget contained in the Plan duplicate payments by the County directly ? to those subcontractors pursuant to an other agreements between ? • - the County and such subcontractors, and shall endeavor to use all 4..., ; _._ information available to prevent any such duplicate payment to a subcontractor. e. Any material alterations, variations, modifications or waivers of provisions of this Agreement shall be valid only when they have been reduced to writing, as an Amendment to this Agreement signed by the parties hereto. f. cancellation or termination of this Agreement, the Upon , Municipality- will reimburse to the County through the Department any and all unobligated funds as required by the Minnesota r` .Y ate Department of Health. This reimbursement shall be made within . = ,,. Y f . ? ? - sixty (60) days of the effective date of such termination. .r.. .- . 'T!'•?4i1. ..f''' 2 i- l t y `^ ?' r. - R +y' {sue :.gym-XlS ? • y r-'Y r.._ ?.-._r ?. -,n.r;.x--,..,,.a,_...:.? ? .-. i....<?,:........> ? _ _.. ?.._ .U w. ? ?V.?+ :a..Zl,...:, y`..a ?fi4Y,."'•..?. _ 1..k... _ ?'..v:..."..svx' " ,f-? ? '?:' .?.."?.' i ?.+i: ??.:4Z.. y _.:+.1...':..... ?.a 4. AUDITS, REPORTS, MONITORING PROCEDURES, AND RECORDS a. The Municipality will: (1) Maintain a bookkeeping system which meets standards contained in the Minnesota Department of Health Fiscal Management Report for Community_ Health Services, June, 1978. (2) Provide an estimated quarterly budget/expenditure report within forty (40) days to the County through the Department on Exhibit A attached hereto, such Exhibit being incorporated into and made a part of this Agreement; provided, however, that the last quarterly report shall include actual expenditures for the ,year. (3) Provide an evaluation report meeting the requirements of the Minnesota Department of Health Rules 455.B.'', to the County through the Department within eighty-five (85) days of the expiration of this Agreement as described in the Plan. (4) Provide other reports as required by the Minnesota Department of Health. b. Municipality agrees that the County through the Department or State or any of their duly authorized representatives, at any time 1 .1 during normal business hours and as often as they may reasonably deem necessary, shall have access to and the right to examine, audit, excerpt and transcribe any books, documents, papers, records, or other materials, which are pertinent and involve transactions relating to this Agreement. Such material must be retained for five (5) years by the Municipality. 5. EQUAL EMPLOYMENT OPPORTUNITY AND CIVIL RIGHTS During the performance of this Agreement, the Municipality agrees to the following: No person shall, on the grounds of race, color, creed, religion, age, sex, handicap, marital status, affectional preference, public assistance, criminal record, or national origin, be excluded from full employment rights in, participation in, be denied the benefits of, or be otherwise subjected to discrimination under any program, service, or activity under the provisions of any and all applicable Federal and State laws against discrimination including the Civil Rights Act of 1964. The Municipality will furnish all information and reports required by the County or by Executive Order No. 11246 and Revised Order No. 4, and by the rules and regulations and orders of the Secretary of Labor for purposes of investigation to ascertain compliance with such rules, regulations, and orders. LM` 6. DATA PRIVACY All data collected, created, received, maintained or disseminated for • any purposes by the activities of the Municipality because of this iia ?..9-tom.. ?..? ?.aar'a..: -.. N _ ._......?. ... ._-.... , ?..:.._r .,.._. _.,....?.:..?. .... +w..?=- .:?...,.. Y.s.?,r:,... i:. +.?. r-..sc":...._..v:5.. ?.;w.a;„?..?..,.r._..... contract is governed by the j'?linnesota uoverninent Data Practices Act, S ?- ti 15.1611 to 15.1699, as amended by the Laws of Minnesota 1981, Chapter 311, the Minnesota Code of Agency Rules implementing such act as now in force or herein adopted, as well as Federal regulations on Data Privacy. Municipality agrees to hold the County harmless from ;'Y t a r any claims resulting from the Municipality's unlawful disclosure or use of private or confidential information. INDEMNITY The Municipality agrees to defend, indemnify and hold the County, its officers, and employees harmless from any liability, claims, damages, costs, judgments, or expenses, including reasonable attorney's fees, resulting directly or indirectly from an act or omission of the Municipality, its a gents, employees, or contractors in the performance of the services provided by this contract and against all loss by reason of the failure of said Municipality fully to perform, in any respect, all obligations under this contract. The Municipality warrants that it has sufficient insurance coverage to M; meet the Municipality liability requirements of Minnesota Statutes 466.02 and 466.04, and to comply with the foregoing indemnification provisions. `7 " `•`" 8. INDEPENDENT CONTRACTOR It is agreed that nothing herein contained is intended or should be S- t 4s , construed in any manner as creating or establishing the relationship of r'CO-partners between the parties hereto or as constituting the Municipality as the agent, representative or employee of the County for any purpose or in any manner whatsoever. Municipality is to be and h?-Y ,.'shall remain an independent contractor with respect to all services performed under this Agreement. Municipality represents that it has, or will secure at its own expense, all personnel required in performing services under this Agreement. Any and all personnel of Municipality or other persons, while engaged in the performance of any work or services s required by Municipality under this Agreement, shall have no Kr : contractual relationship with the County and shall not be considered employees of the County, and any and all claims that may or might arise under the Unemployment Compensation Act or the Worker's Compensation act of the State of Minnesota on behalf of said personnel arising out of employment or alleged employment including, without limitationclaims of discrimination against the Municipality, its .•:._ -. officers, agents, contractors or employees shall in no way be the r.r responsibility of the County; and Municipality shall defend, indemnify and hold the County, its officers, agents and employees harmless from any and all such claims irrespective of any determination of any .x frT? - pertinent tribunal, agency, board, commission or court. Such personnel or other persons shall neither require nor be entitled to any compensation, rights or benefits of any kind whatsoever from the County, including without limitation, tenure rights, medical and hospital care, sick and vacation leave, worker's compensation, unemployment ` compensation, disability, severance pay and P.E.R.A. 9. SUBCONTRACTING' AND ASSIGNMENTS The Municipality shall be responsible for the performance of all subcontractors. i .,F ate. •C.LY 1 ?..,?. J .a-S v - _ _ _q , .. V-lt '???;'a?'Z".i?"t'`... e.iti•":'..?+.•s.?6. ..a ??' - _,..-..w ?.... <,. ..._L 'F._ .......?-...-....w?`.?. ... ?...~..'.:wc..+.?;n-`..,._ra.. -.?-=.Y?+«"?..:..o__...:r. r Municipality, having signed this Agreement, and the Hennepin County Board xM;of Commissioners having duly approved this Agreement on 19_, and pursuant to such approval and the proper County officials having signed this Agreement, the parties hereto agree to be bound by the provisions herein set forth. --s_-Upon proper execution, this Agreement COUNTY OF HENENPIN, will be legally valid and binding. STATE OF MINNESOTA -Assistant Cou t> tto n Chairman of its Board to , And Assoc./Deputy County Administrator ATTEST Deputy County Auditor CITY OF RICHFIELD By Mayor And City Manager City organized under: Plan A Plan B Charter r r' ?~Y; ~ -..a-i.?..u.J....n... ??. ?.f.__..:.+..t- ...+. .?,_. ?. i..?. -..... r.?.: : ., -... .. 4 _. ... a . _ , ... .. ?- r +.? .. _<<-...:.,?... _ ...?. ..tea ` ..??.. Date :wApproved as to legality, form and execution IV1Ol A1Nnoo T1 rte...: • R.? '? ?? '.w ?{".R;:R :i'CS?^7?Shr7.,. ?-. >a:q?y',^i ti.Yy'".v? .t. 5 a : . ir r J' j ajn ,puadx3;)abpng Spun) 10 Aiunoo ao, nJaS 6u?pino'd A?ua6y io wei6o SHJ we+fio'd S H3 a»noS 'iwn luawwanoO ?eoo? ? palualJ03;paSina8 leuy ljodaa ajnlipuadx3 CD 1eui6up C AjeuiwilaJd El 1a6png O of pouad ayl jo3 ?Od32 32mIGN3dX3/1304(18 Wd2!DO'dd SH:„ ' b:..:,w-..iscti_a-.+?'Tn'is?r:`,.?,.:.••._'S?...:,...?.:^ri??.w.?.r?:cw:pslti':.-^. r C :u U t, ~ Sa L o a _ `O 4 h in n _ q ] U N Z a m W . ?... ic. - o? p > o a y y .?.._ f y Q a E ?'? a r 6 + 3f o t(: 9 w w '- m T N H c F- F- ; w U ? - f M - w - d ? c' X o •? Ti ' J y Q d r $ r w O ? u - 7= c tq. Q F- G Z t N a s iJ d zo F? V p 2 a W - m N Q . ] C w ? v _ d .m, s Y C r f - F Z G T F W (? C7 C h b 0' 01 J V O G >i?k+:: ??,?1pj?'R',?'='=F'?•?yy' f :?""?1`?/?h?t4'?114p.,?: _. c:^.'C'? ?i > K c q-6 t C G ? - - O L C 6 - ZI C ? ? c T G ml ai ? c ? wl ? E .v U z F- Q E L E- 2 v. O a: E c UI vM L O yy Q n Z C Z , C Ul'` l c SI DI wl 21 wI U LI LL w C C _I U I •. X d W ? u ? o x W J I J J O O t) CITY OF RICHFIELD, MINNESOTA Office of City Manager Council Letter No. 446 Agenda December 28, 1981 The Honorable Mayor and Members of the City Council City of Richfield Council Members: Subject: Minutes, Tabulation of Bids and Award of Contract - Ice Resurfacing Machine On December 7, 1931 bids were opened for replacement of the ice arena ice resurfacing machine. The city clerk, a representative of the city manager, and the acting community services director were present at the bid opening. A copy of the bid minutes and tabulation is attached for council review. The central garage 1982 budget includes funding for replacement of the ice resurfacing machine. The existing machine has experienced many maintenance problems, and is fully depreciated. The high main- tenance costs are exceeding any benefits of retaining this piece of equipment. Two bids were received, but one bidder did not meet the minimum specifications. Par Equipment Ltd., a firm from Winnipeg, Canada, bid a price for an Olympia ice resurfacer of $26,475. This bid, however, does not meet specifications in two key areas. A washing system was specified, but not included in the Olympia unit. This washing system is used to wash and squeeze the ice surface with- out waiting for the fresh water to form a new ice surface. The high school hockey team uses this extensively to eliminate the time needed for freezing of the water. Perhaps the most important consideration is the specification that the snow dump tank be hydraulically operated, cupping ice shavings forward. "Forward" is the important statement, in that the Richfield Ice Arena is designed for this type of dump. The Olympia unit is a side dump unit. In order to best use a side unit, it would be necessary to remodel the ice arena to accomodate a side dump unit. The alternative would be to engage in manual shoveling of ice shavings at some times which would be expensive over the life of the machine. As an added note, the specifications indicated ice shaving blades needed to be not less than 77 inches long. The Olympia unit blades are 80 inches long, meeting specifications, but would require the city to purchase at least four new blades for the opera- tion of this unit, at a total cost of $1,800. We already have spare blades for the existing Zamboni unit. Because the Olympia unit bid by Park Equipment Ltd. does not meet specifications, it.is recommended that this bid not be accepted. The • washing system could be added for a cost of $1,900 and the bidder has indicated a willingness to provides blades or retooling. The differ- ence in additional labor caused by the side dump unit would be sig- nificant over the years. More importantly, the city attorney advises Council Letter No. 446 -2- December 28, 1931 us that we cannot negotiate on these two items now but rather we would • have to reject the bids and initiate the process from the beginning. The second bid was submitted by Frank J. Zamboni and Company, Inc. for a Zamboni ice resurfacer, for an amount of $33,262. The ice resurfacing machine currently used at the arena is a Zamboni. The unit in this bid does meet specifications and the price bid is for a delivered and assembled unit. The 1982 Central Garage budget includes $33,064 for the purchase of a replacement ice resurfacer. It is recommended that the city council take the following actions: 1. Approve the bid minutes and tabulations; 2. Reject the bid submitted by Par Equipment Ltd. as not meeting spec if ications ; 3. Accept the bid submitted by Frank J. Zamboni and Company, Inc. in the amount of $33,262 with a delivery date of 45-60 days from notification of award of contract. Respectfully submitted, Karl Nollenberger City Manager • KN/sh cc: Community Services Director Finance Coordinator 0 CITY OF RICHFIELD Bid Opening December 7, 1981 Ice Resurfacing Machine Pursuant to requirements of Resolution No. 1015, a meeting of the Administrative Staff was called by Sylvia K. Bergh, City Clerk, who announced that the purpose of the meeting was to receive, open and read aloud, bids for an Ice Resurfacing Machine for the Ice Arena as advertised in the official newspaper on November 25 and December 2, 1981. Present: Joyce L. Wilde, Assistant City Manager Sylvia K. Bergh, City Clerk David Skrien, Recreation Coo -inator John Heddle, Buildings Superintendent Al. Payne, Ice Arena Supervisor The following bids were submitted and read aloud: VENDOR BID SECURITY TOTAL BID P A R Equipment, Ltd. • Winnipeg $1,323.75 $26,475 Frank J. Zamboni & Co. Paramount, CA $1,663.10 $33,262 The City Clerk announced that the bids would be tabulated and considered at the regular city council meeting of December 28, 1981. Sylvia K. Bergh City Clerk 0 CITY OF RICHFIELD, MINNESOTA Office of City Manager Council Letter No. 445 Agenda December 28, 1981 The Honorable Mayor and Members of the City Council City of Richfield Council Members: Subject: Request for Refund of Liquor License Fees, Left Guard, Inc. At the September 28, 1981 city council meeting, the city council considered a request from Mr. Max McGee that the city council refund a portion of the liquor license fee for 1981. The restaurants Chi Chi's and Maximilians at 7717 Nicollet Avenue were sold to Consul Corporation in August, 1981, and a new liquor license granted to this corporation. At the September 28, 1981 city council meeting, the council deferred action on this request, pending completion of a fence along is the edge of the property. A fence has been erected on the west side from Nicollet Avenue to the front of the building. No fence has been erected on the LaBelle', property which is a separate property owner. It is my recommendation, and that of the Public Safety Director, that the city council approve a refund in the amount of $2,500, which would be the prorated share of the annual liquor license fee which is attributable to the Consul Corporation for part of 1981 for which they did not own the license. It is my opinion that this amount might be seen as duplicating the previous license fees paid by the Left Guard, Inc. for that same period of the year. City ordinances provide that refund of any license fees may be made only by city council approval. It is recommended that the city council approve a refund of the liquor license fee for the Left Guard, Inc. in the amount of $2,500. Respectfully submitted, Karl NollenbeC;rger City Manager KN/sh 0 cc: Finance Coordinator $?: i?? CITY OF RICHFIELD, MINNESOTA Office of City Manager Council Letter No. 444 Agenda December 28, 1981 The Honorable Mayor and Members of the City Council City of Richfield Council Members: Subject: Neighborhood Meetings for Traffic Problem Along 76th Street At the December 14, 1981 city council meeting, the council requested that the staff make a recommendation to the council at its December 28 meeting on the subject of holding neighborhood meetings to discuss the traffic which currently exists along 76th Street. In reviewing this request it appears reasonable to direct the Planning Commission to hold these neighborhood meetings, study the problem, and suggest viable alternative solutions to the council. The Planning Commission is responsible for suggesting long-range planning for the city and helping to control its development. • In that background be included held during the council some staff information in this en the months be made in time will be required to gather the necessary and to compile a mailing list of persons to 3eavor, it is suggested that the meetings be of February and March and that a report to either March or April, 1982. It is suggested that the neighborhood to be included in the study be bounded by 75th Street of the north, e venue on the east, 77th Street on the south, and Xerxes Avenue on the west. In summary, it is recommended that the city council direct the Planning Commission to conduct a series of neighborhood meetings, study the issue, and recommend any viable alternatives to the city council by April, 1982. Respectfully submitted, Karl Nollenberger City Manager KN/sh • cc: Community Development Director City Planner '010, CITY OF RICHFIELD, MINNESOTA Office of City Manager Council Letter No. 443 Agenda December 28, 1981 The Honorable Mayor and Members of the City Council City of Richf ield Council Members: Subject: Relocation of Richfield Court Facility to Bloomington At the October 12, 1981 city council meeting, the city council approved temporary relocation of the Richfield Municipal Court to the City of Bloomington as of November 1, 1981, and requested that this matter be reviewed again at the December 28, 1981 city council meeting. The Hennepin County Fourth Judicial District Court had requested this move unless the City of Richfield made substantial enlargements and improvements to the court facilities provided here. The cost implications of those improvements is significant, and the City of Richfield began discussions with the court in order to attain assurances on several procedural matters if the court were moved to Bloomington. These assurances have been met to the satisfaction of the city. Our experience with the court facilities in Bloomington over the past seven weeks has been satisfactory. In accordance with state statutes, the permanent move of court facilities must be approved in resolution form by the city council. Attached to this council letter is a resolution allowing for the relocation of court facilities, and containing the assurances requested by the City of Richfield. It is recommended that the city council approve this resolution, approving the relocation of court facilities to the City fo Bloomington. Respectfully submitted, c_l Karl Nollenberger City Manager KN/sh cc: City Attorney. • Assistant City Attorney RESOLUTION NO. RESOLUTION CONSENTING TO TRANSFER OF COURT TO BLOOMINGTON WHEREAS, the Hennepin County Municipal Court has for many years conducted court without jury trials in the City of Richfield; and WHEREAS, on August 14, 1978, the City Council did express its intention to retain municipal court facilities in Richfield; and WHEREAS, beginning in 1980, members of the city staff have been discussing the possibility of a relocation of the court to Bloomington; and WHEREAS, the Municipal Court bench has aa_reed to the condi- tions set out in the letter of May 4, 1981, a copy of which is attached hereto, NOW THEREFOR of Richfield that rescinded and the tion of municipal • is subject to the above. E, BE IT RESOLVED by the City Council of the City the Resolution of August 14, 1978, is hereby City of Richfield hereby consents to the rel.oca- court activities to Bloominaton. Such action provisions of the May 4, 1981, letter referenced Passed by the City Council of the City of Richfield this 28th day of December, 1981. Donald J. Priebe, Mayor ATTEST: Sylvia K. Bergh City Clerk is 3 . A . c3?' 4, 13,5 1 ::onorable F M-er j. min dberq . e '.SSistarit CIAl£I i3 l; :.C` I ",Cor i'OWeX ':e z 3 lec 12 f ^I ^ lfie? d ''o? a cI_ Lt>> Deal: J uage Lir:ct,1,: ; 3I..1CjET a fC r to r_;OEs$ W:l t` .. - ae `innagor, , "ar l 1:01lC°.mberaer, t:,*: L:ia1. C •. ? E?''.?i' Llrecto'_ , ?'om _MorCran anci mnyI :e'ls: olt:_?tC LI ?. r i :+ Crl'f,^•?T :._Z1C t .'lr: ._ _iY. ?' c.• f eF? Z ili71C.`.l. pal • it 'J=: f3 i101i:1.Y' 'I2'C _ ?.n: ra=?? .. :I :;".".L?a;iLO'_? .._. _; ? ,....,^f? _ a:VCa'. ?F!C. 'r''so d2 ", T T?<Y C :eCC.;:I'iF•riC: .G`• L...:-?. t:Cl:1C-.__ _... s T. t3 C.L:;.?t.?.c)r .^..;: t?E, ?:rs;:3Ca,!:i?:1..1'.1 ?. C: ?:__? c:_)i3Xt in Ln t1-Ic'. _`f.?;'Uval Oi it c' ::zcr.:izld mur_:icil:ai cour C- activitios to t'.e <'our h 1iv. sicn head- cua: rers in Dloom ._zr tcn. ass s•ae jiscus`_;,?td cn O:_'.iay, the c4i:',7 ` -; wi "_J::r nes , t-o take necessary 341-ep Of --esc.iI ding tt13 rasol;ztion assiuneS a3 a p2'econ- Oition that the faca ° ity in Bloomington wiii be e-nod_>1oc1 to provide adequate space to ?,,ieet our needs. 11.1is oulc. i:icl..nde, an we d1-- cu3sed, an offlcEl with tolw?phone -which coulc: be. 'i,;eCa by the Richfield : -oseci.-cc -: while lie or he -s L-1 is Irv +.rde-rst.andi':Aq tha- loom ngton is Ti1:'esnnt1, CcnEJ.i.c? int.1 ,':;le remaeiing c::aich wili be necessary to praL•i,?e that office-. A decisicn from. Sir-,cmirgton is due shortly. In additicn, we arc- seeking a3surtiuic os tron t..e Court on several r,,atters of procedure once we have relocated to 11loo-Anatcn. ? . P.ichfielr,. appearances -will :till receive separato 3,7hedulin. q. t`=r ,.ntly we have arra.ignnents and is trials on Tuesday3 and Wednesdays every other i Ron. Peter J. Lindberg ;day 4, 1981 ?aq-e Two week and on Monrlay of the interim week. Jury trials and pre-trials ar-? scheduled for the interim week, except Monday. We understand that tree particular day..3 could be ;ub j .-ct to change in tine. The point is that they he separate and predictable. 2. T't:.e "oncay arraignment and court trial settings will be ar..!v in the mornings unl se additional af--terrcon er-t:'-ng3 cl-iould become necessary to relieves a case Dacfl.oc. el:. ?-:c.:cdailivi wi! 1 no- ,De '-R)ulb-'ed up" except i;t -itr.at. ons. }ri`i we mean thzt ?o •??r'?s_V'_t'.,Uc ta?'2f?.i-, T.jC>tl.#.?? 1:1V?? .•c' .?,??_.''.t;ltt:!1E3C".1??,-`! `?i0 s ,cjto-v for -4'.ch::j.'3b€? S= ;:t'i i?.'.C 4n ?'?QO."l nC7LOn. '.rarolles 'qc)u?..d . r. -Djrf a: ^ourt lxiai an-I -y ar:d a-1-1d jury trial-3 and c'ot,al?? --i.r r Trials o- cot-r_t trims. j- 9.1'n Cn :n iC ^t'' ?! obi l E17 I'_ C, nl j ,-3D : }_b CC: K. "lolle.nberc;er 12. Morgan, Jr. CITY OF RICHFIELD, MINNESOTA Office of City Manager Council Letter No. 442 Agenda December 28, 1981 The Honorable Mayor and Members of the City Council City of Richfield Council Members: Subject: Ordinance Amendment Relating to Personal Leave/Disability Insurance Benefits - Management Employees, Second Reading At the December 14, 1931 city council meeting, the city council gave first reading approval to an ordinance amendment relating to personal leave/disability insurance benefits for management employees, and scheduled a public hearing and second reading consideration for the December 28, 1981 city council meeting. A copy of the proposed ordinance amendment and a copy of the December 14, 1971 council letter detailing these proposed amendments is attached to this council letter. This item has been placed on the December 28, 1981 agenda for second reading consideration. It is recommended that the city council approve this ordinance on second reading. Respectfully submitted, Karl Nollenberger City Manager KN/sh cc: Personal Manager 0 CITY OF RICHFIELD, MINNESOTA Office of City Manager Council Letter No. 426 Agenda December 14, 1981 The Honorable Mayor and Members of the City Council City of Richfield Council Members: Subject: Ordinance Amendment Relating to Personal Leave/Disability Insurance Benefits - Management Employees. First Reading. The City of Richfield provides a number of fringe benefits to employees of the city in addition to the salaries that are paid. In the case of four employee groups (police officers, police super- visors, firefighters, supervisors and maintenance workers), the salaries and fringe benefits are determined through the negotiation process. In the case of general service and management employees, the city council determines the level and types of fringe benefits • and salaries, upon recommendation of the city manager. The city manager consults with the management team and frequently with other employees when making these recommendations. The city provides one such benefit referred to as "sick leave." All general service and management employees receive 12 days of sick leave accrual at the rate of one day per month. The employees may utilize those sick days for the following purposes: 1-physical incapacity incurred on or off-duty; 2-personal illness, including medical and dental appoint- ments during work hours; 3-enforced quarantine of the employee in accordance with community health regulations; 4-serious illness or death in the immediate family. Much discontent is generated in most cities that have sick leave plans similar to ours (as almost all cities do) due to the use of sick leave by employees. While there are some tools which the city has and uses to administer the sick leave benefit, an equitable use of sick leave for all parties in line with the purposes outlined above is impossible. There are cases where employees abuse sick leave for reasons not stated above when it is not feasible to verify the actual illness (i.e. requiring a doctor's excuse for one-day illnesses) and there are cases where people nearing retire- ment seek to utilize sick leave since the accumulation of sick leave is lost upon retirement. In addition, there are cases where employees utilize sick leave on a one-day at a time basis instead I Council Letter No. 426 -2- December 14, 1981 of accumulating days, only to find when an extended illness occurs, that they have accumulated no leave to cover their loss of pay during the time of illness. Employees who are conscientious in their use of sick leave sometimes feel frustration at the in- equity of the situation which creates morale implications that are a detriment to good working relations. All of these reasons have led us to look for alternatives to the traditional sick leave programs that might better serve the employees as well as the city. We are recommending that we be able to pursue one such alternative which consists of a personal leave plan, short-term disability, and long-term disability insur- ance in lieu of sick leave. We are suggesting the new program just for management personnel at this time, however, the city may wish to provide the benefit to general services employees in the future. In addition to the concerns outlined above with the sick leave program, there is a need for income protection in the event of extended non-job related illness or injury. This is a signifi- cant gap in our existing benefit program. Employees also frLuCnt?_` request a severance pay benefit which would be based upon unused sick leave. Due to that type of benefit in police and fire labor contracts, I would expect that request to be repeated until such time as the issue is resolved. The implementation of this program to a smaller group such as the 40 member management group will give us time to evaluate the program. Following is a description of the provisions of the new plan. PERSO -AL LL, ':-t Commencing January 1, 1982, all employees classified and com- pensated as part of the Management Pay Plan will be granted 40 hours (5 days) of annual personal leave, with pay, which may be used by the employee as follows: 1-Time lost as a result of non-job-related illness/injury to the employee or a member of the employee's immediate family; 2-Medical/dental appointments for the employee or a member of the employee's immediate family; 3-To attend to personal business; 4-Leisure time. Employees may accrue unused personal leave from year to year provided, however, that no employee may accrue in excess of 160 hours (20 days) of personal leave. Hours in excess of the 160 (20 days) limit shall be forfeited by the employee, without compen- sation. Utilization Personal leave.shall be scheduled and administered under dir- ection of the Department'IIeads. In the event of illness/injury for which personal leave is requested, the employee requesting such Council Letter No. 426 -3- December 14, 1981 leave shall notify the supervisor prior to the scheduled reporting ' time. Requests for personal leave for reasons other than illness/ injury must be submitted to the supervisor a reasonable time in advance of the period of time for which such leave is requested, to enable the supervisor to arrange for normal continuance of the department functions. In each f request or personal leave the city shall have the authority to grant or deny such leave based upon the merit of such request and the reasonable needs of the municipal service. Sick Leave Conversion Management employees who have accrued sick leave on December 31, 1981, may convert such accrued leave to personal leave accord- ing to the following formula: Accrued Sick Leave Hours _ Conversion Personal Leave Factor Hours 0-240 3 0 - 80 (max.) 241 - 720 (480 Hours) 6 0 - 80 (max.) Total Personal Leave Hours 0 -160 (max.) Examples: Employee X Sick Leave Accrual as of 12/31/81: 375 hours First 240 hours 3= 00.0 hours personal leave Remaining 135 hours (375-240) 6= 22.5 hours personal leave Total 102.5 hours personal leave Employee Y Sick Leave Accrual as of 12/31/81: 840 hours First 240 hours 3= 80.0 hours personal leave Next 480 hours (241 thru 720) 6= 80.0 hours personal leave 't'otal 160.0 hours personal leave The remaining 120 hours of sick leave (840-720) would not be elig- ible for conversion to personal leave. s Council Letter No. 426 -4- December 14, 1931 Definition SHORT-TERM DISABILITY Short-term disability is leave provided for injury or illness which prevents the employee from performing his/her duties as a city employee. Short-term disability benefits become effective on the eleventh (11th) continuous day of such absence of any eligible employee. The benefits paid will be coordinated with workers' compensation or any other supplemental pay plan. Provision Commencing January 1, 1932, all employees classified and com- pensated as part of the Management Pay Plan, will become eligible for an employer paid short-term disability benefit, which will pro- vide eligible employees with a paid leave for qualifying absences at the rate of 100% of the employee's regular base wage up to a maximum of 122 working days of disability, or until such employee's accrued "benefit days" of coverage have been exhausted, whichever comes first; provided, however, that employees shall not be elig- ible for short-term disability benefits once they have qualified for long-term disability benefits. 0 Effective January 1, 1932, eligible employees will accumulate 24 benefit days of short-term disability coverage per year for each full year of service, provided however, that such leave shall be cumulative to a maximum of 122 benefit days. Vesting of Current Management Employees Eligible employees with accrued sick leave as of December 31, 1901 will be vested with short-term disability coverage according to the following formula: Total Hours of Accrued Sick Leave (Prior to Personal Leave Conversion) -Total flours of Personal Leave Vested (From Sick Leave Conversion) =Total Vested Hours of Short-Term Disability Coverage Examples: Employee X - Sick Leave Accrual as of 12/31/81 Total hours of personal leave vested from sick version process = 102.5 hours (see conversion 375.0 hours sick leave accrued -102.5 hours personal leave vested 272.5 hours of short-term disability insurance Eptil )lovee Y - Sick Leave Accrual as of 12/31/81 - 375 hours leave con- 2xample) (34.06 benefit day. - 040 hours Total }lours of personal leave vested from sic!: leave con?'Or- sion process = 160.0 hours (see conversion example) Council Letter No. 426 -5- December 14, 1931 840 hours sick leave accrued -160 hours personal leave vested 680 hours of short term disability insurance (85 benefit days) Utilization In order to qualify for short-term disability benefits, the eligible employee must provide the city with a written statement, provided by a duly licensed physician, which verifies that the employee is unable to satisfactorily perform his/her assigned duties. At any time during the period of absence in which short-term disa- bility benefits are paid to the employee, the city manager may re- quire the employee tosubmit to an examination by a city appointed ;hysician to verify that the employee is unable to satisfactorily perform required duties. In all cases, requests for short-term disability benefits must be apporved and determined valid by the city manager. LONG-TERM DISABILITY Definition Long-term disability is income protection provided for injury or illness which prevents the employee from performing his/her duties as a city employee. Long-term disability income becomes effective after six continuous calendar months of any absence which is due to non-service related disability. The benefits paid will be coordinated with workers' compensation or any other supplemental pay plan. Provision Commencing as soon after January 1, 1982 as practicable, all employees classified and compensated as part of the management plan will become eligible for an employer paid long-term disability benefit, which will provide eligible employees with a disability income for qualifying long-term absences at the rate of 60% of the employee's base wage up to a maximum of $3,000 per month (final details depend- ent upon insurance package selected). Long-term disability income will not accrue beyond the disabled employee's 65th birthday. The city manager should annually review the maximum monthly disability payment and make adjustments as deemed necessary. Utilization Guidelines or restrictions relating to the utilization and qualification of this benefit are quite lengthy and complex and would be developed as part of the bid specifications for this cov- erage. SUMMARY The city currently.self-insures the sick leave program of the city which allows employees to be absent from work for periods of time up to six months. It is highly unusual for sickness of Council Letter No. 426 -6- December 14, 1981 these durations to occur with a low frequency occuring in the last five years. The city would continue to self-insure the short-term disability, with insurance for the more significant long-term costs of long-term disability coverage. The city has a self-insurance programs now covering the workers' self-insurance fund will cover the long-term disability insurance. T activity budgets from onerous, but illnesses which require a position fund for employer paid leave compensation insurance. The costs of both short-term and ais would relieve the individual infrequent costs of extended to remain vacant. Attached to this council letter is an ordinance amendment relating to personal leave/disability insurance benefits. This ordinance amendment has been placed on the December 14, 1981 city council agenda for first reading consideration. Respectfully submitted, Karl Nollenberger City Manager cc: Program Directors Personnel Manager KN/eja f 0 LEGAL :;OTLCE r ORDINANCE 1981-37 AN ORDINANCE AMENDING THE CITY CODE OF THE CITY OF RICHFIELD, MINNESOTA, BY ADDING A NEW SUBDIVISION 12 TO SECTION 2.34 THEREOF PROVIDING PERSONAL LEIA BENEFITS TO CITY EI•IPLOYEES COVERED BY THE MANAGEMENT PAY PLAN; AND BY ADDING NEW SUBDIVISIONS 3 AND 4 TO SECTION 2.35 THEREOF PROVIDING SHORT-T^?,...I ?`r DISABILITY AND LONG-TEPli DISABILITY BENEFITS, RESPECTIVELY, TO THE EMPLOYEES COVERED BY SAID PLAN. CITY OF RICHFIELD DOES ORDAIN: I. Section 2.34 of The Ordinance Code of the City of Richfield, Minnesota, is hereby amended by adding a new Subdivision 12 to read as follows: r 2.34 ATTENDANCE AND LEAVES. Subd. 12. Personal Leave. • (1) Eligibility and Accrual. Effective January 1, 1982, each permanent full-time or full-time probationary employee classified and compensated under the Management Pay Plan, as that Plan has been adopted and may be amended from time to time pursuant to Section 2.33 of this Code, shall be eligible to accrue and use personal leave. An eligible employee shall accrue 1.54 hours of personal leave bi-weekly and may accu:I,ulate such leave from year to year up to a maxi,'num of 160 hours of personal leave unless written author- ization extending this maximul;l is obtained frori the Depart- ment He':d and the City Manager. Hours in excess of 160 hours shall be forfeited by the employee without compen- sation. (a) Restrictions. Notwithstanding any any other I provision of this Code, no employee eligible for per- i ` sonal leave shall be eligible to accrue or use sick leave. (b) Conversion of Sick Leave Benefit. Each 4 employee who becomes eligible for personal leave and who has accrued sick leave hours shall convert such sick leave hours into personal leave hours in accord- ance with the formula developed and amended from time to time by the City Manager and set out in the City's Personnel Policy. In the event that an employee ceases to be classified under the Management Pay Plan but remains in the employ of the City, that employee's personal leave shall be converted back to the then applicable sick leave benefit in reverse application of the abovementioned formula then in effect. (2) Usage and Administration. An employee may use accrued personal leave for any reason, subject to the re- strictions stated herein, but shall be required to use accrued personal leave for illness or injury necessitating absence from work, except that personal leave shall not be used if the employee is eligible for short-term disability or long-term disability benefits provided in Section 2.35 of this Code. Personal leave shall be scheduled and adminis- tered under direction of the Department Heads. In the event 2 of illness or injury necessitating work absence, the employee requesting such leave shall notify his or _.Ar ?? r supervisor prior to the scheduled reporting time. Requests for personal leave for reasons other than illness or injury must be submitted to the supervisor a reasonable time in advance of the period of time for which such leave is re- quested to enable the supervisor to arrange for normal continuance of the department functions, and in such cases, requested personal leave will not be unreasonably refused but shall be subject to and coordinated with the adminis- trative and managerial needs of the City. Personal leave shall be chargeable only when used on regularly scheduled work days or work periods. When a holiday occurs during an employee's personal leave, and the employee is regularly titl ff th d t ti such h lid ith time will e e me o on en o ay w pay, o not be charged against the employee's personal leave. II. Section 2.35 of The Ordinance Code of the City of Richfield, i Minnesota, is hereby amended to add new Subdivisions 3 and 4 to read as follows: 2.35 GROUP INSURANCE PROVISIONS. Subd. 3. SHORT-TERM DISABILITY: ACCIDENT & SICKNESS BENEFIT. (1) Eligibility and Accrual. Effective January 1, 1982, eac'.: permanent full-time and full-time probationary employee classified and compensated under the Management Pay C. ' :17 100 P1aT:, u? p ?..?d (-in(! ? C. alilt'ndt:C1 `.r.?.m t::at Pla.."1 has bE;e1 a'G 3 _ i j d time to-time pursuant to Section 2.33 of this Code, shall be _ eligible for a short-term disability benefit providing a - disability income for qualifying absences at the rate of 100% of the employee's regular base wage up to a maximum of 122 benefit days of disability, or until such employee's i accrued benefit days of coverage have been exhausted, which- ever occurs first; provided, however, that an employee shall not be eligible for short-term disability benefits once he or she has qualified for the long-term disability benefits provided below. Effective and beginning January 1, 1982, an eligible employee shall accrue two days of short-term dis- ability coverage per month, and such unused coverage shall accumulate to a maximum of 122 benefit days. (a) Restrictions. Notwithstanding any other f thi C d i i l li ibl f prov s on o s o e, no emp oyee e g e or short- term disability benefits shall be eligible to accrue or use sick leave. (b) Conversion of Sick Leave Benefit. Each i employee who becomes eligible for short-term disability benefits, and who has sick leave hours which exceed the number of sick leave hours which can then be converted into personal leave hours under the formula provided in Section 2.34, Subd. 12(1)'(b) of this Code, shall con- vert such excess sick leave hours into si-iort-term disability benefit days in accordance with the formula de•,eloped and amended from time to time by the City hlar.a,er. I-n the event that an employee ceases to be classified under the Management Pay Plan but remains in 4 the employ of the City, that employee's short-term disability benefit days shall be converted hack to the then applicable sick leave benefit in reverse applica- tion of the abovementioned formula then in effect. (2) Usace. Short-term disability is a benefit which provides disability income for injury or illness which pre- vents the employee from performing his or her duties as a City employee. Short-term disability benefits become effec- tive on the eleventh (11th) continuous day of such absence of any eligible employee. Benefits paid will be coordinated with and offset by workers' compensation or any other supple- mental pay plan. (3) Administration. In order to qualify for short- term disability benefits, the eligible employee must provide the City with a written statement from a duly licensed duties. In all cases, requests for short-term disability physician verifying that the employee is unable to perform satisfactorily his or her assigned duties due to injury or illness. At any time during the period of absence in which short-term disability benefits are paid to the employee, the city manager may require the employee to submit to an exam- ination by a City-appointed physician to verify that the employee is unable to perform satisfactorily required benefits muct be approved by the City Manager. Subd. -1. Lor:?T-Term Disability. (1) E1ir:ibility and Benefit Amount. Effective July 1, c1I1c], ftiii-t_ime probatlonafy 5 ., employee classified and compensated under the Management Pay Plan will become eligible for an employer-paid long-term disability insurance benfit, which will provide eligible employees with a disability income for qualifying long-term absences. (2) Administration. The City Manager shall annually review the long-term disability insurance benefit and shall cause such modifications in that benefit as deemed neces- sary. Passed by the City Council of the City of Richfield, Minnesota, this day of 1981. • Mayor ATTEST: City Cier w 6 0 %A CITY OF RICHFIELD, MINNESOTA Office of City Manager is Council Letter No. 441 Agenda December 28, 1981 The Honorable Mayor and Members of the City Council City of Richfield Council Members: Subject: Charter Amendment Relating to City Purchasing Practices, Amending Section 6.06 of the City Charter, Second Reading At the December 14, 1981 city council meeting, the city council gave first readig approval to a charter amendment which would change the requirement for obtaining sealed, competitive bids from $2,500 to $10,000. State law currently provides for a $10,000 requirement for sealed competitive bidding. An attorney general's opinion in 1971 indicated that the Uniform Purchasing Law of the State of Min- nesota superceded local home rule charters. For that reason, the city practice since that time has been to require sealed, competitive bids only for contracts in excess of $10,000. • The new charter language would clarify the types of contracts covered by the provision of Section 6.06, and clarify the relationship to state law and bring the city charter into conformity thereof. A copy of the proposed charter amendment is attached to this council letter and has been placed on the city council agenda for second reading at the December 28, 1981 city council meeting. It is recommended that the council approve the ordinance in second reading by the unanimous vote which is required in charter amendments. Respectfully submitted, Karl Nollenberger City Manager KN/sh cc: City Clerk C? A ,. Bill 1981-3u CHARTER At-IIEND21:17NT ORDINANCE I:0 • 11 AN ORDINANCE AMENDIi,?G THE CITY CHARTER OF THE CITY OF RICHFIELD 4. CITY OF RICHFIELD DOES ORDAIN: The City Charter of the City of Richfield, adopted '.c%,em?D er 3 1964, as subsequently amended, is hereby amended in the follo:•;in, respects: Section 6.06 thereof, entitled "Contracts: How Let" is hereby amended to read as follows: Sec. 6.06. Contracts: ??oa Let. Every contract for t;:e sale or purchase of merchandise, materials or equipment, or rentnl thereof or for the construction, alteration, rC- air or mainten.ince of real or aersonal nroocrt [or for any kind of construction work] where the amount involved is more than [$2,500.001 S10,000.00 shall be let only by the council upon the reco.-.mendation of the city manager to the lo%,est respon- sible bidder, unless, the council shall othere,rise pro•; ide by resolution adopted by a vote of a majority of the council and published once in the official le;ai newspaper of the city. The council may, however, reject any and all bids. Subject to the provisions of the charter, the council may by o:?'-;nnnco adopt further rc;;ulatior,s for makin of bids and letter of contracts. Proposed by the City Council of the City of Richfield this 14th day of December, 1981. Donald J. Priebe Mayor ATTEST: Sylvia I\'. l3ergii city clerk CITY OF RICHFIELD, MINNESOTA Office of City Manager • Council Letter No. 440 Agenda December 28, 1981 The Honorable Mayor and Members of the City Council City of Richfield Council Members: Subject: Charter Amendment Relating to City Purchasi: Practices, Amending Section 6.05 of the Cit_ Charter, Second Reading At the December 14, 1981 city council meeting, gave first reading approval to a charter amendment increase the city manager's authorization to make prior city council approval from $1,000 to $5,000. council letter detailing these changes is attached letter. the city council which would purchases without A copy of the to this council Also attached to this council letter is a copy of a resolution which would permit the city council to maintain any controls they would like to have on purchases in excess of $2,500. The points included in the council letter of December 14 are included in the resolution. A copy of the proposed charter amendment is attached to this council letter, and has been placed on the December 28, 1981 city council agenda for second reading consideration. It is recommended that the city council approve the ordinance by the unanimous vote required to pass a charter amendment. The council should also consider the resolution attached in the event that you would like the additional limitations imposed. Respectfully submitted, Karl Nollenberger City Manager KN/sh cc: Community Services Director Community Development Director Administrative Services Director Public Safety Director Liquor Operations Director City Clerk CITY OF RICHFIELD, MINNESOTA Office of City Manager • • The Honorable Mayor and Members of the City Council City of Richfield Council Members: Subject: Charter Amendment for the Adoption Amending Section and Adding a New Council Letter No. 439 Agenda December 28, 1981 Relating to Procedure of City Ordinances, 3.05 of the City Charter Section 3.12, Second Readir At the December 14, 1981 city council meeting, council gave first reading approval to a charter amendment relating to the publication procedure for the adoption of city ordinances. The current charter provision requires that the city publish in the legal newspaper ordin- ances of the city after both first and second reading. Through the end of October, the second publication costs amounted to $1,383.13 for 1981. This figure does not include the publishing costs of the proposed residential zoning ordinance, which is $576.67 to meet each publication requirement in its entirety. The proposed charter amendment eliminates the requirement that every ordinance be published in the legal newspaper at least one week prior to final passage, and requires that ordinances be published only once, after second reading. In addition, in special circumstances, when the city council determines by unanimous decision that costs of publishing an ordinance in its entirety is not justified, a summary of the ordinance may be published in its stead. Notices of the public hearings to be held on ordinances on second reading will still be required. approval to this charter amendment. A copy of the proposed charter amendment is attached to this council letter. This item has been placed on the December 28, 1981 city council agenda for second reading consideration. State law provides that charter amendments may be adopted by ordinance, after recommendation of the charter commission, by a unanimous vote of the city council. It is recommended that the city council give unanimous Respectfully submitted, is Karl Nollenberger City Manager KN/sh cc: City Clerk Bill 1981-33 CHARTER AMENDMENT ORDINANCE NO. 7 CHARTER A E.!DMENT ORDINANCE RELATING TO PROCEDURE FOR TIIE ADOPTION OF CITY ORDINANCES AMENDING SECTION 3.05 OF TIME RICHFIELD CITY CHARTER AND ADDING A NEW SECTION: 3.12. CITY OF RICHFIELD DOES ORDAIN: Section 1. Section 3.05 of the Richfield City Charter is amended to read: "Section 3.05. Procedure on ordinances. The enacting clause of all ordinances shall be in the words 'City of Richfield does ordain'. Every ordinance shall be presented in writing. .:o ordinance except an emergency ordinance shall be passed at the meeting at which it is introduced and at least seven (7) days shall elapse between its introduction and its final passage. [Every-ordinance;-ctncr-th nn-an-exftcrSency-ardinanee,-st?a?i-tee published-in-tnc-}egs?-nc?spa??cr-at-feast-enc-weer-pr?ar-te-the • finny-pa?sngc-7.. Section 2. Chapter 3 of said charter is amended by addin:,, at the end thereof, the following additional section: "Sec. 3.12. [Manner of F?t:blication of Ordinances. If the city council deterFTiinec that publication of the complete text of an ordinance is not worth the expensc and that a sunimary would clearl,/ inform the public of the intent and effect of the ordinance, the council may l)v a unani_motis vote direct that only the title of the ordinance and a =>>tir_v be published with notice that printed conies of the ordinance are available to anv t ?erson during rec.:lar office hour:; at +_he office of the city clc,rlc and any other location Wh 1Ch thy' C-C'.!"•!' ? ? (Ik's ignate:; . Pr lol- to the i?UIJl lCatlrn Of the i title a rd summary the council shall approve the text of the summary and determine that it clearly informs the public of the intent and effect of the ordinance." Se tion 3. Effective Date. This ordinance is effective thirty 430) days after its publication, subject to the provisions of Minn sota Statutes, Sec. 410.12, Subdivision 7. Proposed by the City Council of the City of Richfield this 14th day of December, 1981. Donald J. Priebe Mayor Attest: - Sylvia *. Bergh City Cler 41 CITY OF RICHFIELD, MINNESOTA Office of City Manager • Council Letter No. 438 Agenda December 28, 1981 The Honorable Mayor and Members of the City Council City of Richfield Council Members: Subject: Ordinance Amendment to City Charter Defining Status of the Public Safety Director in Relation to Civil Service, Second Reading At the initiation of the city council, the Richfield Charter Commission has recommended an amendment to the city charter which would clarify the status of the Public Safety Director in relation to the Civil Service. At the December 14, 1981 city council meeting, the city council gave first reading approval to this charter amendment. The proposal would amend the provisions in the city charter relating to the city manager's appointment powers. This language is proposed in order to clarify any consideration of the public safety director position and its applicability to civil service. While the existing public safety director position is not considered to be covered by the civil service, some dispute or confusion regarding this matter could arise under existing state law due to the way this position is handled in other cities. A copy of this proposed charter amendment is attached to this council letter and has been placed on the December 28, 1981 city council agenda for second reading consideration. State law provides that charter amendments may be adopted by the city council by ordinance with the unanimous approval of the city council. It is recommended that the city council give unanimous approval to this charter amendment. Respectfully submitted, ;J 1\3.?L?„ Karl Nollenberger City Manager KN/sh cc: Public Safety Director City Clerk 0 LEGAL NOTLCE ' f' Bill 1981-35 CHARTER AMENDMENT ORDINANCE NO. 9 An Ordinance Amending Section 6.02, Subdivision 3, of the Richfield City Charter, Defining the Status of the Director of Public Safety in Relation to Civil Service. CITY OF RICHFIELD DOES ORDAIN: Section 1. Section 6.02, Subdivision 3, of the City Charter of the City of Richfield, is amended to read: "Sub. 3 The City manager Ehe3 shall appoint and remove, upon the basis of merit and fitness and subject to applicable civil service provisions, if any, the city clerk, all heads of departments and all subordinate officers and employees in the departments. The director of public safety, having administrative and supervisory control over the police and fire divisions of the Department of Public Safety, is not under the jurisdiction of the police and fire civil service commission of the city. Appointment or removal of department heads shad be made final only upon a majority vote of the council." • Section 2. Subject to the provisions of Minnesota Statutes, Section 410.12, Subdivision 7, this ordinance is effective 30 days after its passage and publication. Mayor ATTEST: City CIer 0 ?V CITY OF RICHFIELD,MINNESOTA Office of City Manager Council Letter No. 437 Agenda December 28, 1981 The Honorable Mayor and Members of the City City of Richfield Council Members: Council Subject: Ordinance Amending City Relating to Nominations Offices, Second Reading Charter Provisions for City Elected The Richfield Charter Commission has recommended an amendment to Section 4.04 of the city charter, relating to the nomination of candidates for city elected offices. At their December 14, 1981 city council meeting, the city council gave first reading approval to this ordinance amendment. The proposed amendment would clarify the time prior to a municipal primary election during which nominating petitions can be received 16 by the city clerk. The proposed language is consistent with state law and eliminates confusion which previously existed regarding the earliest time that a candidate might submit a petition filing for office. A copy of the proposed charter amendment is attached to this council letter and has been placed on the December 28, 1981 city council agenda for second reading consideration. State law provides that charter amendments may be adopted by ordinance after recommendation of the Charter Commission upon a unanimous vote of the city council. It is recommended that the city council give unanimous approval to this charter amendment. Respectfully submitted, Karl Nollenberger City Manager KN/sh cc: City Clerk is LEGAL NOTICE Bill 1981-34 0 CHARTER AilENDMENT ORDINANCE NO. 8 CHARTER AME"TD.=T ORDINANCE RELATING TO NOMINATIONS FOR CITY ELECTIVE OFFICES, AMENDING SECTION 4.04 OF THE RIC11FIELD CITY CARTER CITY OF RICHFIELD DOES ORDAIN: Section 1. Section 4.04 of the City Charter o-f the City of Richfield relating to the nominations of candidates for City elective offices is hereby amended to provide as follows: "Section 4.04. Nominations by Petition. All candi- dates for elective office provided for-by-this charter shall be nominated by petition. The name _of_any_registered voter of the city shall be printed upon-the-ballot as a candidate for an office whenever_a petition signed by at least ten registered voters has been filed with the city clerk in his behalf at-least not more than six nor less than four weeks before the municipal primary election date provided in . Section 4.02. No registered voter shall sign petitions for more candidates for anv office than the number of persons to be chosen for that office at the election; should he do so, his signature shall be void as to the petition or petitions last filed. Each petition presented shall be accompanied by a five dollar ($5.00) filing fee. Section 2. Effective Date. This ordinance is effective thirty (30) days after its publication, subject to the provisions of Minnesota Statutes, Sec. 410.12, Subdivision 7. 0 0 5 CITY OF RICHFIELD, MINNESOTA Office of City Manager `0 Council Letter No. 436 Agenda December 28, 1981 The Honorable Mayor and Members of the City Council City of Richfield Council Members: Subject: Renewal of On-Sale Liquor nd Sunday Liquor Licenses, Ground Round Restaurant, 1504 East 78th Street 0 A public hearing has been scheduled for December 28, 1981 for consideration of the application for renewal of the above noted liquor licenses. Attached for council review is the Public Safety Department Investigative Report on issues pertinent to this license renewal request. Based on the information provided by the Public Safety Depart- ment, it is recommended that the requested license renewals be approved and the licenses issued. Respectfully submitted, KN/sh cc: Public Safety Director City Clerk Karl Nollenberger City Manager DEPARTMENT OF PUBLIC SAFETY City of Richfield, Minnesota Date: December 17, 1981 Subl,ect: INVESTIGATIVE REPORT RENEWAL OF ON-SALE LIQUOR, and SUNDAY LIQUOR LICENSES GROUND GROUND RESTAURANT An application for the above named licenses has been submitted by the Howard Johnson Company, a Maryland corporation licensed to do business within the State of Minnesota,for the continued operation of the Ground Round Restaurant. All necessary infor- mation including an accountant statement of the gross liquor and food sales, surety bond, insurance certificates, political contributions statement, and license fees have been filed with the application. It should be noted that the license fees sub- mitted were based on the 1981 license rate, rather than the license rates established for 1982 license year. The applicant has been notified of the balance in the license fee due and pay- able to the City of Richfield regarding the pending license applications. Application Investigation In accordance with the city ordinance requirements, the Public Safety Director has initiated the investigation of information required by Richfield City Ordinance Code 11.06 (Subd. 4), which relates to the control of on-sale liquor establishments. The application for the license has been submitted on behalf of the corporation by Mr. Walter W. Curcio, Vice-President of the parent corporation, The Howard Johnson Company. There have been no changes in the corporate structure during the past year which would have any impact on the pending license renewal applications. During the course of the license renewal investigation it was determined by the Department of Public Safety that the restaurant had changed operations manager. Therefore, the required background investigation of the manager was conducted as a part of this license renewal proceeding. The new manager of the local operation is Mr. William Behrens, who has been a management employee of the parent corporation since May of 1978. The background investigation found no problem which would preclude Mr. Behrens from the management position at the local establishment. The corporation was informed of the ordinance requirement to notify the City of Richfield in the event of a manager change. The instance of the change dis- covered during this investigative process simply appears to have been an oversight on tho part of the applicant. Ground Round Restaurant -2- December 17, 1981 The Department of Public Safety has verified that all of the insurance and bonding requirements have been met and are presently in force. Additionally, the Department of Public Safety has verified that all federal, state and local tax obligations have been met. It shoul present this is During t 82 incid months o incident experien of the c termed, ness. B ing, and Director corporat iate and a meetin the Poli personne has made effect o occurred incident manager ing the noted th concerns the type be noted that the applicant has only operat usiness establishment since July of 1980. T he first full year of operation which has be e past year, the Department of Public Safety nts occurring at this establishment. In the operation in 1980, the applicant experience which required Public Safety service. Of t ed during the past year, 32 involved crimina iminal incidents experienced, 26 involved wh bar type" problems including disorderly cond cause of the pattern of problems that appear the fact that the manager was changed withou of Public Safety contacted the Vice-Presiden on in September of 1981. The corporation sh very concerned response to this problem. On was held between members of the Ground Roun e Division. The parent corporation flew in to participate in this meeting. The local numerous policy changes which have had a ver the number of Public Safety incidents. Sin on October 5th through November 30th, there which occurred at the establishment. The 1 as taken a very aggressive position with reg ublic Safety problems which had developed. t the rapid response of the corporation in d raised by the Department of Public Safety sp of establishment they wish to operate in thi Aside from the 32 incidents of a criminal nature, the incident requiring Public Safety responses were for general service matters. However, of these 50 incidei matters elated to parking problems in the area of th, This trend would seem to indicate that there is insuf street parking available for the volume of business e: this establishment. Accountant's Report The on-sale liquor ordinance requires that the app. with the city a statement, by an accountant, which shy sales an the total food sales of the preceding twelve It shout be noted, that while this information has b, as required, the statement is furnished by the intern. departme t of the-parent corporation and not an indep ing firm The Department of Public Safety has been u: the financial reports. d the erefore, n monitored. has responded to first three only 5 e 82 incidents matters. t can be ct and drunken- d to be develop- notice, the of the wed an immed- October 5, staff and anagement stablishment noticeable • e the meeting ere only 2 cal operations rd to correct- t should be aling with the aks well for community. remaining 50 a variety of its, 20 involved restaurant. Eicient off- Kperienced by Licant file Dws the gross month period. Zen provided al audit =ndent account- aable to verify r Ground Round Restaurant -3- The corporation operates on a fiscal year which runs from November lst to October 31st. Based on this accounting period, the pertinent required financial information is as follows: 3 Months Ending 12 Months Ending October 31, 1980 October 31, 1981 Total Sales $ 378,155 $1,886,779 Food Sales 227,142 1,051,907 % of Food Sales to Total 60% 560 % of Liquor Sales to Total 400 44% Health and Safety Regulations Both the Health and Fire Divisions of the Department of Public Safety have made regular and routine inspections of the applicants premises during the past year. As a result of these inspections there have been only minor problems identified with regard to the food service area. These problems have been corrected immediately after being brought to the attention of the establishments manage- ment. The property is free from major violations of the Uniform Fire Code. While minor deficiencies have been identified during the fire safety inspections, the applicant has been cooperative in correcting these problems as they arose. Miscellaneous Information The applicant has filed the necessary political contribution declara- tions indicating that there were no such contributions made during the past year. The license applicant does not own the building or the property upon which the business operates. The applicant is continuing under the same lease arrangement which has existed in the past. The property owners have no interest in the business operation itself. December 17, 1981 The assessing records of the property reflect the current market value and taxes paid. It should be noted that the current record reflects a substantial improvement to the property which was made at the time the applicant corporation leased the site. Based on the fiscal year of the applicant corporation, the tax information is as follows: Market Value Taxes Paid Year Ending October, 1980 $307,000 13,213 Year Ending October, 1981 $350,000 15,056 Ground bound Restaurant -4- December 17, 1981 Recommendation Based upon the investigation conducted by the Department of Public Safety, there appears no basis for not approving the applica is license renewal requests for 1982. Therefore, it is recommended that the application for renewal of the on-sale liquor and the Sunday liquor licenses be approved and iss ed. Respect ice. Thomas 2 Directo: ully submitted, u... . Morgan, Jr. of Public Safety TAM/ 1je V\ 13 ? CITY OF RICHFIELD, MINNESOTA Office of City Manager Council Letter No. 435 Agenda December 28, 1981 The Honorable Mayor and Members of the City Council City of Richfield Council Members: Subject: Renewal of On-Sale Liquor, Sunday Liquor and Tavern Licenses, Chi Chi'-: Mexican. Restaurant and Maximillian's of Mexico, 7717 Nicollet Avenue South A public hearing has been scheduled for December 28, 1981 for consideration of the application for renewal of the above noted liquor licenses. Attached for council review is the Public Safety Investiga- tive Report on the issues pertinent to the license renewal request. Based on the information developed by the Public Safety Depart- ment, it is recommended that the requested license renewals be approved and the licenses be issued. Respectfully submitted, Karl Nollenberger City Manager KN/sh cc: Public Safety Director City Clerk is DEPARTMENT OF PUBLIC SAFETY City of Richfield, Minnesota Date: December 21, 1981 Subject: INVESTIGATIVE REPORT RENEWAL OF ON-SALE LIQUOR, SUNDAY LIQUOR and TAVERN LICENSES CHI-CHI'S MEXICAN RESTAURANT and MAXIMILLIAN'S of MEXICO An application for the above named licenses has been submitted by the Consul Corporation, a Minnesota Corporation, for the continued operation of the Chi-Chi's Mexican Restaurant and Maximillians of Mexico. The two restaurants, while seperate, operate in the same building sharing common kitchen and service facilities. All necessary information including an accountant's statement of the gross liquor and food sales, surety bond, insurance certificates, political contributions statement, and license fees have been filed with the application. It should be noted that the license fee's submitted were based on. the 1981 license rate, rather than the license rates established for the 1982 license year. The applicant has been notified of the balance in the license fee due and payable to the City of Richfield regard- ing the pending license application. Application Investigation In accordance with the city ordinance requirements, the Public Safety Director has initiated the investigation of information required by Rich-field City Ordinance Code 11.06 (Subd. 4), which relates to control of on-sale liquor establishments. The applica- tion for the licenses has been submitted on behalf of the corpora- tion by Mr. John M. Hamburger, Secretary of the parent corporation, Consul Corporation. It should be noted that the liquor licenses for this operation were first issued in August of 1981. The operations of the former restaurants were purchased by Consul Corporation from the Left Guard, Inc., the previous licensee. The names of the restaurant establishments have remained the same. Consul Corporation took over operations on September 1, 1981. Th-re has been only one change in corporate officers since the original license was issued. Mr. Theodore O'Shaughnessy, who was the Regional P?anager at the time the original license was issued, has now been made the Vice-President of the corporation. During the course of the license renewal investigation it was deter- mined by the Department of Public Safety that the restaurant had changed the operations manager. Therefore, the required background investigation of the manager was conducted as a part of this license renewal proceeding. The new manager of the local operation is Mr. Michael Lucore, and has been in the restaurant management business since 1976. The background investigation found no problem which would preclude Mr. Lucore from the management position at the local establishment. The corporation was informed of the ordinance re- -2- Chi-Chi's Mexican Restaurant December 21, 1981 and Maxim llian's of Mexico • quirement manager c] this inve! oversight The Depar insurance sently in has verif have been As a part Safety ha applicant the owner In 1980, at this e Departmen under a c experienc This comp Of the 10 in the fi and the r current 1 safety ac two years criminal to notify the City of Richfield in the event of a range. The instance of the change discovered during ;tigative process simply appears to have been an on the part of the applicant. :ment of Public Safety has verified that all of the and bonding requirements have been met and are pre- force. Additionally, the Department of Public Safety .ed that all federal, state and local tax obligations met. of the investigative process, the Department of Public examined the incident experience at the licensed s location during the past year. As noted previously, hip of this business did change during the past year. he Public Safety Department responded to 94 incidents tablishment. During the past year, the Public Safety has responded to a total of 100 incidents, occurring mbination of both of the 1981 license holders operating . Of these 100 incidents, 36 involved criminal matters. res to 43 criminal incidents which occurred during 1980. incidents experienced durinq the past year, 72 occurred st nine months of the year under the previous licensee, maining 28 occurred in the last three months under the censee. It would appear that the incidents of public ivity at the establishment has been stable for the past under both owners. The number of incidents involving roblems has been reduced during the past year. It should be noted that when this license was renewed : year to t e prior applicant, it was renewed on a condi- only. Th's action was taken because of a series of pr( establishment during the 1980 license year. One of th( major con ern with this regard related to parking prob: establishment, particularly illegal parking in establi: lanes. D ring 1980, there had been a total of 27 such most of w ich involved the impounding of cars and towii the fire Lane areas. During the past year, the problei substantially with only 13 similar problems reported. 12 occurred in the first nine months of the year under of the fo er applicant, and only 1 has occurred in th months un er the present applicant. Accountant's Report The on-sale liquor.ordinance required that the applica the city statement, by an accountant, which shows th and the t tal food sales for the preceding twelve mont should be noted, that while this information has been required, the statement is furnished by the internal a ment of p rent corporation and not an independent acco -or the current --ional basis )blems at the issues of ems at the ;hed fire incidents, lg them from a was reduced of this number the operation last three it file with gross sales IN a period. It Drovided as adit depart- snting firm. -3- Chi-Chi's Mexican Restaurant and Maximillian's of Mexico December 21,1981 • The Department of Public Safety has been unable to verify the financial reports. Additionally, it should be noted that the firm has been in operation for only three months during 1981. Therefore, the financial information provided is for the opera- tions of the present applicant during the period for which the applicant was responsible for operations. The pertinent re- quired financial information, on the foregoing basis, is as follows: Total Sales Food Sales % of Food Sales to Total % of Liquor Sales to Total Health and Safety Regulations 3 Months Ending November 30, 1981 $ 931,352 493,977 53% 470 Both the Health and Fire Divisions of the Department of Public Safety have made regular and routine inspections of the applicants premises during the past year. one of the conditions of licensure for the former applicants 1981 renewal related to fixture or furn- ishing eqiupment problems in the food processing area. All of these problems have been corrected. Additionally, during the inspection process only minor problems have been identified with regard to the food service area. These problems have been corrected immediately after being brought to the attention of the establishments manage- ment. The property is free from major violations of the Uniform Fire Code, Again, this was an area addressed in the conditional license issued the former applicant for the 1981 license year. All problems related to fire safety have been corrected. While minor deficiencies have been identified during fire safety inspections, the applicant has been cooperative in correcting these problems as they arose. Privacy Fencin Reference has been made in this report to the conditional basis upon which the original 1981 license renewal application was approved. As a result of this action by the Richfield City Council, the city entered into a formal Memorandum of Agreement with the former license applicant to correct certain operational problems related to licensure. As has been noted in this report, all of the operational problems under the direct control of management have been corrected. The one remain- ing issue which has not been fully resolved relates to the interest in extending the privacy fencing on the North property line (along East 77th Street), from the existing fence West to Nicollet Avenue and East to the LaBelle building. The present applicant has installed a wooden privacy fence West from the existing fence to Nicollet Avenue. This new fence replaces a.chain link fence which had previously been -4- Chi-Chi's exican Restaurant and Maximi lian's of Mexico located in extending ing is ere by the app applicants owner to e barrier be of East 77 applicant has been s successful present ap hours, but ing lot is with priva the direct Miscellane December 21, 1981 this area. The chain link fence which Curren ast from the applicants operation to the LaB ted on property that is neither owned nor co icant. In the past, the city council has re to enter into good faith negotiations with t courage the extension of privacy fence as a ween the parking lot area and the residentia h Street. Both the former applicant and the ave attempted to negotiate such a fencing ch ccessful, nor have direct attempts by the ci in facilitating this request for fencing ch licant has some use of the parking lot area has no direct control over the property in w located. The applicant has replaced a chain y fencing on that portion of the property wh control of the applicant. Dus Information The applic nt has filed the necessary political contrib tions indicating that there were no such contributions i past year. The license applicant does not own the buil, property upon which the business operates. The applica ing under he same lease arrangement which has existed The proper y owners have no direct interest in the busi itself. • ly exists lle build- trolled uested e property Greening area North present nge. Neither y been nge. The n the evening ich the park- link fencing ch is under tion declara- ade during the ing or the t is continu-' n the past. ess operation The assess'ng records of the property reflect the current market value and taxes aid. Based upon the fiscal year of the applicant corpora- tion, the ?ax information is as follows: Year Ending November, 1980 Market Val jue Taxes Paid Recommendajtion $1,250,000 55,866 Year Ending November, 1981 $1,325,000 55,605 Based upon the investigation conducted by the Department of Public Safety,the e appears to be no basis for not approving the applicants license renewal request for 1982. Therefore, it is recommended that the application for the renewal of the on-sale liquor, the Sunday liquor and the Tavern licenses be approved and issued. Rese?tf?ul?l submited, Thomas A. orgn, IJr . Director of Public Safety TAM/lje 3 CITY OF RICHFIELD, MINNESOTA Office of City Manager Council Letter No. 434 Agenda December 28, 1981 The Honorable Mayor and Members of the City Council City of Richfield Council Members: Subject: Renewal of On-Sale Liquor, Sunday Liquor and Tavern Licenses, The Godfather, Inc. 708 West 66th Street A public hearing has been scheduled for December 28, 1981 for the consideration of the application for renewal of the above noted liquor licenses. Attached for council review is the Public Safety Investigative Report on issues pertinent to this license renewal request. Based upon the information provided by the Public Safety Depart- ment, it is recommended that the council, at hearing, consider the failure of the applicant to disclose the ownership interest that has been discovered by the Public Safety Department with regard to the applicant's second licensed liquor establishment in the metropolitan area. Additionally, consideration should be given to the applicant's management commitment with regard to these two liquor operations and the related uncertainty of who is actually managing the Richfield liquor operation. Finally, it is recommended that the council give consideration to thr increased experience of public safety problems at the Richfield establishment and determine what action the applicant proposes to take to correct these problems during the license renewal period. Respectfully submitted, Karl Nollenberger City Manager KN/sh cc: Public Safety Director City Clerk F? X C DEPARTMENT OF PUBLIC SAFETY • City of Richfield, Minnesota Date: December 16, 1981 Subject: INVESTIGATIVE REPORT RENEWAL OF ON-SALE LIQUOR, SUNDAY LIQUOR, and TAVERN LICENSE THE GODFATHER, INC. An application for the above named licenses has been submitted on behalf of the corporation by Mr. John Anzevino, Jr., Presi- dent and sole owner. All necessary information, including an accountants statement of the gross liquor and food sales, surety bond, insurance certificate, political contributions statement, and license fees have been filed with the application. It should be noted that the license fees submitted were based on the 1981 license rate, rather than the license rates established for the 1982 license year. The applicant has been notified of the balance in the license fee due and payable to the City of Richfield re- garding his pending license application. Application Investigation In accordance with the city ordinance requirements, the Public Safety Director has initiated the investigation of information required by Richfield City Ordinance Code 11.06 (Subd. 4), which relates to the control of on-sale liquor establishments. The Public Safety Department has determined that there has been an ownership change in the corporation during the past year. Pre- viously, the corporate stock had been under the ownership of two individuals, Mr. John Anzevino, Jr., and Mr. Gerald Burnett. These two individuals were the officers of the corporation in addition to the s.olb stock holders. On May 12, 1981, Mr. Burnett sold his interest in the corporation to Mr. Anzevino for a sum of $75,000. Subsequent to this transaction Mr. Burnett passed away in August of this year. Mr. Burnett had a 350 ownership interest in the corporation at the time of the sale and Mr. Anzevino was the majority share holder with a 65% interest in the corporation. Mr. Anzevino is now the sole shareholder in the corporation. As a part of the transaction involving Mr. Burnett's sale of his interest in this corporation, the corporation has borrowed a sum of $92,000 from Mr. Anzevino. Mr. Anzevino has stated that his loan to the corporation was from "personal funds". The Department of Public Safety has been unable to verify the source of the funds provided by Mr. Anzevino for this corporate loan. The Godfather, Inc. -2- December 16, 1981 The Department of Public Safety has verified that all of the insurance and bonding requirements have been met and are presently in force. Additionally, the Department of Public Safety has verified that all federal, state and local tax obligations have been met. During the past year, the Department of Public Safety has to 118 incidents occurring at the establishment. Of these 76 involved criminal matters. This compares to Public Sa during the year 1980 which involved a total of 74 incident involved criminal matters. In the past year there has bee crease in the incidents involving Public Safety service to establishment. As previously noted, during the past year, Public Safety incidents were of a criminal nature. Based ported criminal incidents during 1980, there has been a 31 this particular category of service. Over half of the cri dents involve what can be termed, "bar type" problems incl orderly conduct, drunkenness, noise complaints and assault past year there have been 4 incidents which have involved possession of alcoholic beverage. The tremendous increase required. by this business establishment during the past ye Bern. However, of even greater concern to the Department Safety is the rapid increase in calls of a criminal nature not speak well for the management techniques currently bei by the license applicant. The trend experienced during th with problems at this business establishment could clearly a major community problem if the situation is not correct esponded incidents, ety response 58 of which a 60% in- this business 76 of the n the 58 re- increase in inal inci- ding dis- inn the inors in in service r is of con- f Public This does g practiced past year develop into d. Aside from the incidents of a criminal nature, the remaining 42 Public Safety responses were for general service. These included emergency medical problems, fire alarms, assistance to the public, and a variety of miscellaneous requests for aid. Accountant's Report The on-sale liquor ordinance requires that the applicant file with the city a statement by an accountant which shows the gross sales and the total food sales of the preceding twelve month period. It should be noted, that while this information has been provided by a certified public accounting firm for the present renewal application, the informa- tion is based on unaudited data supplied through the accounting firm by the applicant corporation. Therefore, the Department of Public Safety has been unable to verify the financial reports. d r F ?F The corporation operates on a fiscal year which runs from June 1, to May 31. Based on this accounting period, the pertinent required fin- P ,'ancial information is as follows: \ 12 Months Endinq May 31, 1980 _ Total Sales $1,198,307 a, Food Sales 701,154 of Food Sales to Total 58.5% ? o o of Liquor Sales to Total 41.50 12 Months Ending May 31, 1981 , ' 1 / , / U U 763,813 53.90 46.10 The Godfather, Inc. -3- December 16, 1981 For the three month period ending August 31, 1981, the establishment had a total qross sales volume of $384,691. Of this amount $221,367, or 57.50, involved food sales. The balance of $163,324, or 42.50, involved beverage sales. The business establishment appears to be financially successful at this point in time. Based on the latest financial statement sub- mitted (August 31, 1981), the corporation showed a retained earnings balance of $68,569. Health and Safety Regulations Both the Health and Fire Divisions of the Department of Public Safety have made regular and routine inspections of the applicants premises during the past year. As a result of these inspections, there have been a number of minor problems which have been identified and brought to the attention of the corporate management. The problems have been corrected immediately. The property is free from major violations of the Uniform Fire Code. While minor deficiencies have been identified during the fire safety inspections, the applicant has been cooperative in correcting these problems as they arose. Miscellaneous Information The applicant has filed the necessary political contribution declara- tions indicating that there were no such contributions made during the past year. The license applicant does not own the building or the property upon which the business operates. The applicant is continuing to operate under the same lease arrangements which have existed in the past. The property owners have no direct interest in the business opera- tion itself. The assessing records of the property reflect the market value and taxes paid as it currently appears on city records, based on the fiscal year of the applicant corporation: Year Ending Year Ending May, 1980 May, 1981 Market Value $682,200 $600,000 Taxes Paid 30,214 24,990 Related Business Activit During the course of the investigation conducted this year by the Depart- ment of Public Safety, it was determined that the stele stockholder of the applicant corporation, had established another on-sale liquor establish- ment in the City of Medicine Lake, Minnesota. The establishment operates under the name of Vino's Godfather II, and examination of the license application in Medicine Lake lists Mr. Anzevino as the sole stockholder of that corporation. An examination of the Articles of Incorporation indicates that the company was incorporated on September 16, 1981. The City of Medicine Lake indicates that a liquor license was issued to the The Godfather, Inc. -4- December 16, 1981 f corporation on September 21, 1981. In the present renewal application there are two areas which inquire about the applicants business relationship to similar liquor establish- ments. The application was signed by Mr. Anzevino and notarized on October 29, 1981. The application submitted makes no reference to Mr. Anzevino's ownership relationship with the Medicine Lake liquor estab- lishment. A second discrepancy which developed during the course of t tion relates to the named manager for the Richfield establ Anzevino has personally been named as the manager of the ap oration enterprise in Richfield, and has been the manager s license was first issued. However, in obtaining the liquor the Medicine Lake establishment, Mr. Anzevino indicated to Lake City Council that he would be the manager of that esta In a review of the case file of the incidents occurring at during the past year, the Department of Public Safety had o November 7, 1981, to interview a Patrick Michael Anzevino. understanding of the Department of Public Safety that Patr is the brother of John Anzevino, Jr. At the time the state Patrick Anzevino stated that he was an employee of the Godf and further stated that he was the General Manager of the G rant. There is no mention of Patrick Anzevino made on the tion relating to the manager of the Richfield establishment question with regard to which establishment John Anzevino a It may be that this apparent confusion regarding the manage both of the liquor establishments and Mr. Anzevino relates in problems requiring Public Safety service at the Richfiel In any event, it is of some great concern that the applican disclose his ownership interest in the Medicine Lake establ time he filed for the renewal of his current Richfield liau Recommendation e investiga- shment. Mr. licant corp- nce the license for he Medicine lishment. he Godfather casion on t is the ck Anzevino ent was given, ther Restaurant, dfather Restau- urrent applic?. There is a tualiy manages. ent status of o the increase establishment. failed to shment at the r license. Based upon the investigation conducted by the Department of Public Safety, and the actual incident experienced by the Department during the current year, there is a concern with regard to the license renewal request. This concern is compounded by the apparent failure of the applicant to disclose his financial interest in a second on-sale liquor establishment within the metropolitan area. It is recommended that these issues be considered with the applicant at the license renewal hearing. Based upon the information provided at that hearing, it is recommended that the requested 1982 liquor licenses be issued on the basis that the applicant correct the existing problems relating to Public Safety experience during the current license year. Respectfully subm tted, 4 . ?? «-, Thomas A. Morgan, Jr. Director of Public Safety TAM/lje