04-10-2018 Complete AgendaS P E C IAL JO IN T C IT Y C O U N C IL AN D PL AN N IN G C O MMISSIO N W O R K S E S S IO N
R IC H F IE L D MU N IC IPAL C E N TE R, B AR TH O LO ME W R O O M
APR IL 10, 2018
5:45 P M
C all to order
1.P resentation and discussion of comprehensive plan update
2.D iscussion of sign ordinance updates
A djournment
Auxiliary aids for individuals with disabilities are available upon request. Requests must be made at
least 96 hours in advance to the City Clerk at 612-861-9738.
CITY OF RICHFIELD, MINNESOTA
Office of City Manager
April 5, 2018
Council Memorandum No. 22 Planning Commission Memorandum No. 1
The Honorable Mayor Members of the Planning Commission
and City of Richfield
Members of the City Council
Subject: Comprehensive Plan Update
Council Members and Commissioners:
On Tuesday, April 10 at 5:45pm, Community Development staff and consultant Lance
Bernard of Hoisington Koegler Group, Inc. (HKGI) will present an overview of the past
18 months of work on the update of the City’s Comprehensive Plan. The presentation
will focus on changes from the 2008 Comprehensive Plan. In advance of this meeting,
draft chapters have been posted on the Comprehensive Plan page of the City’s website:
www.richfieldmn.gov/compplan.
Respectfully submitted,
Steven L. Devich
City Manager
SLD:mnp
Email: Assistant City Manager
Department Directors
Marry Supple, Chair of Housing and Redevelopment Authority
Lisa Rudolph, Chair of Community Service Commission
Ted Weidenbach, Chair of Transportation Commission
CITY OF RICHFIELD, MINNESOTA
Office of City Manager
April 5, 2018
Council Memorandum No. 23 Planning Commission Memorandum No. 2
The Honorable Mayor Members of the Planning Commission
and City of Richfield
Members of the City Council
Subject: Sign Regulations – Proposed changes to Zoning Code Section 549
Council Members and Commissioners:
On Tuesday, April 10, planning staff will brief policymakers on efforts to update the
City’s Sign Ordinance, which was last overhauled in 2007. Staff has been considering
changes to two sets of regulations – those concerning portable signs and the Penn
Avenue Design Guidelines, particularly as they relate to freestanding signs, internally lit
signs, and dynamic displays (changeable message signs).
Portable signs – Under the current sign ordinance, portable signs of any kind are
prohibited. Staff is looking to gauge policymaker interest in allowing limited types of
portable signs, with restrictions on size, placement, and hours of display.
Penn Avenue Design Guidelines – In the Penn Central business district, there are a set
of design guidelines that further restrict certain types of signs. These guidelines prohibit
internally lit box signs, and staff has interpreted this prohibition to include electronic
changeable message signs (also known as dynamic displays). The Penn Avenue
Design Guidelines document acknowledges that the size and quantity of signs is
perceived to be a visual blight, but these guidelines do not currently include restrictions
on height, size or quantity of freestanding signs. Staff is looking to gauge interest in
modifying these regulations to allow the use of dynamic displays, while simultaneously
introducing stricter limitations on the height, size and quantity of freestanding signs.
Staff would also like to discuss if those regulations should apply only in the Penn
Central business district, or be applied more broadly to all commercial zoning districts.
Respectfully submitted,
Steven L. Devich
City Manager
SLD:mrb
Email: Assistant City Manager
Department Directors
Assistant Community Development Director
R EG U LAR C IT Y C O U N C IL MEET IN G
R IC H F IE L D MU N IC IPAL C E N TE R, C O U N C IL C H AMB E R S
APR IL 10, 2018
7:30 P M
IN TR O D U C TO RY P R O C E E D IN G S
C all to order
Open forum (15 minutes maximum)
E ach speaker is to keep their comment period to three minutes to allow sufficient time for others. C omments
are to be an opportunity to address the C ouncil on items not on the agenda. I ndividuals who wish to address
the C ouncil must have registered prior to the meeting.
P ledge of A llegiance
A pproval of the minutes of the: (1) S pecial C ity C ouncil work session of March 22, 2018; (2) S pecial C ity C ouncil work
session of March 27, 2018; (3) S pecial C ity C ouncil work session of March 27, 2018; and (4) Regular C ity C ouncil
meeting of March 27, 2018.
P R E S E N TATIO N S
1.F ire C aptain P romotion
2.F ire L ieutenant P romotion
3.Richfield B loomington C redit Union (RB C U) C heck P resentation to Richfield F ire D epartment
C O U N C IL D ISC U SSIO N
4.Hats Off to Hometown Hits
AG E N D A APPR O VAL
5.A pproval of the A genda
6.Consent Calendar contains several separate items, which are acted upon by the City Council in one
motion. Once the Consent Calendar has been approved, the individual items and recommended
actions have also been approved. No further Council action on these items is necessary. However, any
Council Member may request that an item be removed from the Consent Calendar and placed on the
regular agenda for Council discussion and action. All items listed on the Consent Calendar are
recommended for approval.
A .C onsideration of the adoption of a resolution authorizing the acceptance of monetary support from Richfield
B loomington C redit Union for the F ire D epartment to purchase integrated thermal imaging cameras.
S taff Report No. 64
B .C onsideration of the adoption of a resolution supporting the application to host a Minnesota GreenC orps
member and authorizing the C ity Manager to execute a host site agreement with the Minnesota P ollution
C ontrol A gency.
S taff Report No. 65
C .C onsideration of the adoption of a resolution providing for the sale of $9,975,000 General Obligation S treet
Reconstruction B onds, S eries 2018A .
S taff Report No. 66
D .C onsideration of the approval of bid minutes and tabulation and authorization of a contract with Midwest
A sphalt in the amount of $80,900 for parking lot improvements at the municipal liquor store at 6444 P enn
Avenue S outh and authorization of the C ity Manager to approve contract changes under $50,000 without
further C ity C ouncil consideration.
S taff Report No. 67
7.C onsideration of items, if any, removed from C onsent C alendar
R E S O L U T IO N S
8.C onsideration of the adoption of a resolution approving the contract with the P olice S ergeants Teamsters 320 for
the contract period J anuary 1, 2018 through D ecember 31, 2019 and authorize the C ity Manager to execute the
agreement.
S taff Report No. 68
C IT Y MAN AG E R’S R E P O R T
9.C ity Manager's Report
C LAIMS AN D PAYR O L LS
10.C laims and P ayrolls
Open forum (15 minutes maximum)
E ach speaker is to keep their comment period to three minutes to allow sufficient time for others. C omments
are to be an opportunity to address the C ouncil on items not on the agenda. I ndividuals who wish to address
the C ouncil must have registered prior to the meeting.
11.A djournment
Auxiliary aids for individuals with disabilities are available upon request. Requests must be made at least 96
hours in advance to the City Clerk at 612-861-9738.
CITY COUNCIL MEETING MINUTES
Richfield, Minnesota
Special City Council Work Session
March 22, 2018
CALL TO ORDER
The work session was called to order by Mayor Elliott at 8:08 a.m. in the Bartholomew Room.
Council Members Pat Elliott, Mayor; Edwina Garcia; Maria Regan Gonzalez; Michael Howard;
Present: and Simon Trautmann.
Staff Present: Steven L. Devich, City Manager; Pam Dmytrenko, Assistant City Manager/HR
Manager; Kristin Asher, Public Works Director; John Stark, Community
Development Director; Jay Henthorne, Public Safety Director/Police Chief;
Jim Topitzhofer, Recreation Services Director; Wayne Kewitsch, Fire Services
Director/Fire Chief; Bill Fillmore, Liquor Operations Director; Chris Regis,
Finance Manager; Neil Ruhland, Media Coordinator; and Jared Voto,
Executive Aide/Analyst.
Others Present: Patrick Ibarra, Mejorando Group
Item #1
2018 CITY COUNCIL STRATEGIC PLANNING AND GOAL SETTING
Patrick Ibarra, Mejorando Group, facilitated the City Council and City staff discussion of annual
goal setting and strategic planning.
ADJOURNMENT
The work session was adjourned by unanimous consent at 3:56 p.m.
Date Approved: April 10, 2018
_____________________________
Pat Elliott
Mayor
_____________________________ ____________________________
Jared Voto Steven L. Devich
Executive Aide/Analyst City Manager
CITY COUNCIL MEETING MINUTES
Richfield, Minnesota
Special City Council Work Session
March 27, 2018
CALL TO ORDER
The work session was called to order by Mayor Elliott at 8:37 a.m. in the Bartholomew Room.
Council Members Pat Elliott, Mayor; Edwina Garcia; Maria Regan Gonzalez; Michael Howard;
Present: and Simon Trautmann.
Staff Present: Steven L. Devich, City Manager; Kristin Asher, Public Works Director; Jay
Henthorne, Public Safety Director/Police Chief; Wayne Kewitsch, Fire
Services Director/Fire Chief; Bill Fillmore, Liquor Operations Director; Chris
Regis, Finance Manager; Melissa Poehlman, Assistant Community
Development Director; Neil Ruhland, Media Coordinator; and Jared Voto,
Executive Aide/Analyst.
Others Present: Congressman Keith Ellison; and Jamie Long, Deputy Chief of Staff.
Item #1
MEETING WITH CONGRESSMAN KEITH ELLISON
The City Council, City staff, and Congressman Ellison discussed topics affecting Richfield and
recent bills approved, or being worked on, in Washington.
ADJOURNMENT
The work session was adjourned by unanimous consent at 9:22 a.m.
Date Approved: April 10, 2018
_____________________________
Pat Elliott
Mayor
_____________________________ ____________________________
Jared Voto Steven L. Devich
Executive Aide/Analyst City Manager
CITY COUNCIL MEETING MINUTES
Richfield, Minnesota
Special City Council Work Session
March 27, 2018
CALL TO ORDER
The work session was called to order by Mayor Elliott at 5:50 p.m. in the Bartholomew Room.
Council Members Pat Elliott, Mayor; Edwina Garcia; Maria Regan Gonzalez; Michael Howard;
Present: and Simon Trautmann.
Staff Present: Steven L. Devich, City Manager; Jay Henthorne, Public Safety Director/Police
Chief; Jennifer Anderson, Support Services Supervisor; and Jared Voto,
Executive Aide/Analyst.
Item #1
T-21 TOBACCO INITIATIVE
Kris Klos, Advisory Board of Health (ABH) Chair, and Taylor Croissant, ABH Vice-Chair,
presented the topic of raising the tobacco sales age to 21 and provided information on tobacco use in
the Richfield School District, reasons to raise the age of tobacco sales to 21, who supports raising the
age to purchase tobacco, other cities that have raised the sales age, and frequently asked questions
about the initiative.
Council Member Regan Gonzalez thanked the ABH Chair and Vice-Chair for their presentation
and work on this topic and thanked the people in attendance for this topic. She stated as a public
health official she was in support of this initiative.
Council Member Garcia thanked the ABH Chair and Vice-Chair for their work and hearing from
residents. She thanked the residents and school board members in attendance. She suggested
sharing this information with the Chamber of Commerce and Richfield services clubs, like the
Optimists.
Council Member Trautmann thanked the ABH Chair and Vice-Chair for their presentation and
stated he had concerns about taking people’s liberty away from them. He stated he didn’t smoke, but
his brother does, and believed e-cigarettes are used as a cessation tool and within a
community/social environment. He also stated he had talked with some businesses and has concerns
that we are saying we may not want certain types of businesses in Richfield.
Mayor Elliott thanked the ABH Chair and Vice-Chair for their presentation and Council Member
Trautmann for voicing his opinion. He and stated he was not in favor of arbitrary restrictions based on
age. He stated he cannot question the medical results but unsure of the anecdotal stories. He stated
he would support the effort because it is a health crisis, but reiterated he generally opposed artifi cial
age restrictions.
Council Member Howard thanked the ABH Chair and Vice-Chair for their presentation and
Council Member Trautmann for his research and talking with businesses. He stated the research
Special Council Work Session Minutes -2- March 27, 2018
show the public health benefits will save lives and is in favor of the passage. He asked about how
enforcement would be handled.
Police Chief Henthorne responded that compliance checks are down twice a year at
businesses selling tobacco products and this would be part of those checks of the business, not of
individuals.
Council Member Garcia stated health care costs concern her and that needs to be taken into
consideration on this item.
Item #2
HUMAN RIGHTS COMMISSION PRESENTATION OF DEMOGRAPHICS OF THE
CITY ADVISORY COMMISSIONS
Mark Westergaard, Human Rights Commission Chair, presented the findings from the 2018
demographics survey of the City’s advisory commissions. This year’s responses were compared to
responses received in 2014 and 2016.
Council Member Howard asked about connecting this work with the City’s work with the
Government Alliance for Race and Equity (GARE).
City Manager Devich responded there is a connection between the work and the City’s GARE
team could present their progress to the Human Rights Commission through the year.
Mayor and Council Members discussed the recruitment and retention efforts and were
somewhat surprised by the results based anecdotally on who they have been interviewing and
appointing to commissions.
Council Member Regan Gonzalez stated the results are a good general snapshot of the
commissions. She stated she would like to think about specific outcomes and targets to reach for and
tactics to accomplish them. She also discussed building relationships within each commission and
with the community. She also stated the Commission may want to include a statement of why this is
important to Richfield.
ADJOURNMENT
The work session was adjourned by unanimous consent at 6:56 p.m.
Date Approved: April 10, 2018
Pat Elliott
Mayor
_____________________________
Jared Voto Steven L. Devich
Executive Aide/Analyst City Manager
CALL TO ORDER
The meeting was called to order by Mayor Elliott at 7:00 p.m. in the Council Chambers.
Council Members Pat Elliott, Mayor; Edwina Garcia; Michael Howard; Maria Regan Gonzalez;
Present: and Simon Trautmann.
Staff Present: Steven L. Devich, City Manager; Mary Tietjen, City Attorney; Jay Henthorne,
Public Safety Director/Chief of Police; Wayne Kewitsch, Fire Chief; Melissa
Poehlman, Assistant Community Development Director; Jennifer Anderson,
Support Services Supervisor; and Jared Voto, Executive Aide/Analyst.
OPEN FORUM
None.
PLEDGE OF ALLEGIANCE
Mayor Elliott led the Pledge of Allegiance.
APPROVAL OF MINUTES
M/Regan Gonzalez, S/Garcia to approval of the minutes of the regular City Council meeting of
March 13, 2018.
Motion carried 5-0.
Item #1
PRESENTATION BY HENNEPIN COUNTY SHERIFF RICHARD W. STANEK
Sheriff Stanek presented an update on the Hennepin County Sheriff’s Office (HCSO) and its
eight lines of business, including its jail, patrol, warrants, civil process, and crime lab.
Mayor Elliott thanked Sheriff Stanek for the update.
Council Member Howard thanked Sheriff Stanek for his presentation and asked about the
HCSO’s work and coordination with Immigration and Customs Enforcement (ICE).
CITY COUNCIL MEETING MINUTES
Richfield, Minnesota
Regular Meeting
March 27, 2018
Council Meeting Minutes -2- March 27, 2018
Sheriff Stanek stated everyone who is booked in the jail is treated the same and discussed the
booking process of the jail. He stated they do not honor detainers and they do cooperate with federal
law enforcement and tell them when someone is released from their custody, but not held beyond the
time of local charges being adjudicated.
Council Member Howard asked if there was any guidance given to people in custody at the jail
about their rights in having a conversation with ICE.
Sheriff Stanek stated immigration violations are a civil violation, not criminal, and that deputies
do not enforce federal civil law. He stated the HCSO makes a phone call available to those that ICE
wants to speak with in order to clear up their immigration concerns or issue. He also stated individuals
who are citizens of a country other than the United States they have consulate rights and the HCSO is
required to notify the consulate that you are in custody.
Commissioner Goettel thanked Sheriff Stanek for his work on opioids, shared facts on the
opioid crisis, and discussed items Hennepin County is working on related to the crisis.
Item #2
COUNCIL DISCUSSION
Hats Off to Hometown Hits
Council Member Trautmann spoke regarding the annual Friends of Wood Lake (FOWL) dinner
and fundraiser and discussed the FOW L Tree Endowment to commemorate a loved one and support
Wood Lake.
Council Member Garcia thanked the Mayor for his State of the City address and the work that
goes into the Council’s decision-making.
Mayor Elliott spoke regarding his work on the State of the City and thanked staff for the
information they supply to help with their decision-making.
Council Member Howard spoke regarding the Mayor’s State of the City address and stated it
showed how much Mayor Elliott loves the city; and he stated nominations are open until April 27 for
the Human Rights Commission’s Gene and Mary Jacobsen Outstanding Citizen Award.
Council Member Regan Gonzalez spoke regarding the City Council’s goal setting and strategic
planning session and how the city is set up to benefit in the future; the meeting with Congressman
Ellison and discussion of items of affordable housing, collaborating, and the opioid crisis.
Item #3
APPROVAL OF THE AGENDA
M/Howard, S/Trautmann to approve the agenda.
Motion carried 5-0.
Item #4
CONSENT CALENDAR
City Manager Devich presented the consent calendar.
Council Meeting Minutes -3- March 27, 2018
A. Consideration of the approval of a bid tabulation and award of contract to Bituminous
Roadways Inc. for the 2018 Mill and Overlay project in the amount $1,573,102, and
authorization of the City Manager to approve contract changes under $100,000 without further
City Council consideration. (S.R. No. 54)
B. Consideration of the approval of a bid tabulation and award of contract to McNamara
Contracting, Inc. for the 2018 Concrete Sidewalk, Curb, and Gutter Repair project in the
amount of $811,507.25, and authorization of the City Manager to approve contract changes
under $100,000 without further City Council consideration. (S.R. No. 55)
C. Consideration of the approval of a resolution of support for the METRO Orange Line Bus
Rapid Transit Station and Knox Avenue Transitway Design. (S.R. No. 56)
RESOLUTION NO. 11484
RESOLUTION OF SUPPORT FOR THE METRO ORANGE LINE BUS
RAPID TRANSIT STATION AND KNOX AVENUE TRANSITWAY
DESIGN
This resolution appears as Resolution No. 11484.
D. Consideration of the approval of issuance of a temporary on-sale intoxicating liquor license for
the Blessed Trinity Catholic School, located at the Assumption Catholic Church, 305 East 77th
Street, for their 2018 Fiesta event taking place April 28, 2018. (S.R. No. 57)
E. Consideration of the approval of a resolution allowing acceptance of a grant for the Fire
Department to purchase lifting safety equipment. (S.R. No. 58)
RESOLUTION NO. 11485
RESOLUTION AUTHORIZING THE ACCEPTANCE OF A GRANT FROM
THE MINNESOTA DEPARTMENT OF LABOR AND INDUSTRY FOR
THE RICHFIELD FIRE DEPARTMENT TO LIFTING SAFETY
EQUIPMENT
This resolution appears as Resolution No. 11485.
F. Consideration of the approval of the purchase of a station alerting system from U.S. Digital
Designs in the amount of $114,500 for both Richfield fire stations. (S.R. No. 59)
G. Consideration of the approval of a resolution appointing Bryan Kuffel to the Richfield Tourism
Promotion Board to complete a three-year term ending December 31, 2018, or until a
successor is chosen, whichever is later. (S.R. No. 60)
RESOLUTION NO. 11486
RESOLUTION APPOINTING A REPRESENTATIVE TO THE BOARD OF
DIRECTORS OF THE RICHFIELD TOURISM PROMOTION BOARD,
INC.
This resolution appears as Resolution No. 11486.
M/Elliott, S/Garcia to approve the consent calendar.
Motion carried 5-0.
Item #5
CONSIDERATION OF ITEMS, IF ANY, REMOVED FROM THE CONSENT
CALENDAR
Council Meeting Minutes -4- March 27, 2018
None.
Item #6
PUBLIC HEARING AND CONSIDERATION OF THE APPROVAL OF A
RESOLUTION FOR A PRELIMINARY PLAT OF "NORA CORNER" THAT WILL
COMBINE FOUR PARCELS (6529 AND 6545 PENN AVENUE, AND 2208 AND
2210 66TH STREET WEST) INTO THREE PARCELS, IN ORDER TO ALLOW
CONSTRUCTION OF A PREVIOUSLY APPROVED RESTAURANT (DUNKIN
DONUTS). (S.R. NO. 61)
Council Member Trautmann presented Staff Report No. 61 and opened the public hearing.
M/Trautmann, S/Elliott to close the public hearing
Motion carried 5-0.
M/Trautmann, S/Elliott to approve the resolution for a preliminary plat of "Nora Corner" that will
combine four parcels (6529 and 6545 Penn Avenue, and 2208 and 2210 66th Street West) into three
parcels, in order to allow construction of a previously approved restaurant (Dunkin Donuts).
RESOLUTION NO. 11487
RESOLUTION GRANTING PRELIMINARY APPROVAL OF A PLAT FOR
CEDAR POINT COMMONS SECOND ADDTION
Motion carried 5-0. This resolution appears as Resolution No. 11487.
Mayor Elliott asked if there was a timeline for beginning construction.
Assistant Community Development Director Poehlman stated building permits have been
applied for and are currently being reviewed. Generally review takes four to six weeks. She also
stated there was a representative of the developer.
Karla Carlson, Penn Avenue Partners, stated they have building permits in for review and
expect to get the demolition permit prior to building permits and demolition could start as soon as
three weeks, pending the weather, and would begin construction as soon as building permits are
approved.
Item #7
CONSIDERATION OF THE APPROVAL OF A RESOLUTION ENDORSING
SMOKE-FREE MULTI-UNIT HOUSING WITHIN THE CITY OF RICHFIELD. (S.R.
NO. 62)
Council Member Regan Gonzalez presented Staff Report No. 62.
M/ Regan Gonzalez, S/Garcia to adopt a resolution endorsing smoke-free multi-unit housing
within the city of Richfield.
RESOLUTION NO. 11488
RESOLUTION ENDORSING SMOKE-FREE MULTI-UNIT HOUSING
WITHIN THE CITY OF RICHFIELD
Council Meeting Minutes -5- March 27, 2018
Motion carried 5-0. This resolution appears as Resolution No. 11488.
Council Member Regan Gonzalez commented that she hears quite a bit about this issue from
constituents and this does directly impact our youth and families and this is an important part of the
work that the Council does.
Council Member Howard commented this is an equity issue and this can help reduce health
inequities.
Council Member Trautmann commented he supports this because it is about giving people a
safe space and it is positive for the community.
Item #8
CONSIDERATION OF THE DESIGNATION OF A MAYOR PRO TEMPORE FOR
2018. (S.R. NO. 63)
Mayor Elliott presented Staff Report No. 63 and nominated Council Member Regan Gonzalez
so that others on the Council had the opportunity to serve in the position.
M/Elliott, S/Howard to approve the City Council designation of Maria Regan Gonzalez as
Mayor Pro Tempore for 2018.
Motion carried 5-0.
Council Member Regan Gonzalez thanked the Council for the opportunity.
Item #9
CITY MANAGER’S REPORT
City Manager Devich stated he had nothing to report.
Item #10
CLAIMS AND PAYROLLS
M/Garcia, S/Elliott that the following claims and payrolls be approved:
U.S. Bank 03/27/18
A/P Checks: 266637 - 267035 $ 1,150,908.47
Payroll: 135167 - 135497 607,044.00
TOTAL $ 1,757,952.47
Motion carried 5-0.
OPEN FORUM
None.
Council Meeting Minutes -6- March 27, 2018
Item #10
ADJOURNMENT
The meeting was adjourned by unanimous consent at 7:49 p.m.
Date Approved: April 10, 2018
Pat Elliott
Mayor
Jared Voto Steven L. Devich
Executive Aide/Analyst City Manager
AGENDA SECTION:CONSENT CALENDAR
AGENDA ITEM #6.A.
STAFF RE P ORT NO. 64
CIT Y COUNCIL ME E T ING
4/10/2018
RE P O RT P RE PA RE D B Y: Wayne K ewitsch, F ire C hief
D E PA RTME NT D IRE C TO R RE V IE W: Wayne K ewitsch, F ire C hief
3/19/2018
O THE R D E PA RTM E NT RE V IE W: N/A
C ITY MA NA G E R RE V IE W: S teven L . D evich, C ity Manager
4/2/2018
I T E M F O R C O UNC IL C O NS ID E RAT I O N:
Consideration of the adoption of a resolution authorizing the acceptance of monetary support from
Richfield Bloomington Credit Union for the Fire Department to purchase integrated thermal imaging
cameras.
E X E C UT IV E S UM M ARY:
Recently the Fire Department was approached by Richfield Bloomington Credit Union (RB C U) regarding
possible opportunities to monetarily support the Fire Department. The Department was considering adding
integrated thermal imaging technology to the front-line Self-Contained-Breathing-Apparatus (S C B A) worn by
firefighters. RB C U offered to donate funds to cover the purchase cost of the devices.
RE C O M M E ND E D AC T I O N:
By motion: Adopt a resolution authorizing the acceptance of monetary support from Richfield
Bloomington Credit Union for the Fire Department to purchase integrated thermal imaging cameras.
B AS IS O F RE C O M M E ND AT I O N:
A.H IS TOR IC AL C ON T E X T
The Fire Department is occasionally approached to be the recipient of funds from a variety of
fundraising events and organizations. The department works closely with the donors to find a
suitable use of the funds that aligns with the donors' mission or intention.
B.P OL IC IE S (resolutions, ordinances, regulations, statutes, etc):
Minnesota Statute 465.03 requires every acceptance of a grant or devise of real or personal
property on terms prescribed by the donor be made by resolution and adopted by two-thirds
majority of the City Council.
The Administrative Services Department issued a memo on November 9, 2004 requiring that all
grants and restricted donations to departments be received by resolution and adopted by two-
thirds majority of the City Council in accordance with Minnesota Statute 465.03.
C.C R IT IC AL T IMIN G IS S U E S:
The donation has been received and applied to the designated area indicated by the donor.
D.F IN AN C IAL IMPAC T:
The financial donation has been deposited and the funds have been used to purchase the
integrated thermal imaging cameras. The total amount of the donation was $7,155.
E.L E GAL C ON S ID E R AT ION:
Minnesota Statute 465.03 requires every acceptance of a grant or devise of real or personal
property by received by resolution and adopted by two-thirds majority of the City Council.
ALTE R N AT IV E R E C O MME N D ATIO N(S):
Should Council not approve acceptance of the donation, the monetary donation would need to be
returned to the donor and general departmental budget funds used to pay for the equipment.
P R IN C IPAL PAR TIE S E X P E C TE D AT ME E TIN G:
None
AT TAC H ME N T S:
D escription Type
Resolution Resolution L etter
RESOLUTION NO.
RESOLUTION AUTHORIZING THE ACCEPTANCE OF
MONETARY SUPPORT FROM RICHFIELD BLOOMINGTON
CREDIT UNION FOR THE RICHFIELD FIRE DEPARTMENT TO
PURCHASE THERMAL IMAGING DEVICES
WHEREAS, the Richfield Fire Department was the beneficiary of a donation from
Richfield Bloomington Credit Union to thermal imaging devices; and
WHEREAS, the Richfield Fire Department has designated the $7,155.00 to be used to
purchase safety equipment.
NOW, THEREFORE, BE IT RESOLVED, by the City Council of the City of Richfield,
Minnesota, that the Fire Chief will accept funds designated for the purchase of thermal imaging
equipment in accordance to and as listed above.
Adopted by the City Council of the City of Richfield, Minnesota this 10th day of April,
2018.
Pat Elliott, Mayor
ATTEST:
Elizabeth VanHoose, City Clerk
AGENDA SECTION:CONSENT CALENDAR
AGENDA ITEM #6.B.
STAFF RE P ORT NO. 65
CIT Y COUNCIL ME E T ING
4/10/2018
RE P O RT P RE PA RE D B Y: Jim Topitzhofer, Recreation S ervices D irector
D E PA RTME NT D IRE C TO R RE V IE W: Jim Topitzhofer, Recreation S ervices D irector
4/3/2018
O THE R D E PA RTM E NT RE V IE W: N/A
C ITY MA NA G E R RE V IE W: S teven L . D evich, C ity Manager
4/4/2018
I T E M F O R C O UNC IL C O NS ID E RAT I O N:
Consideration of the adoption of a resolution supporting the application to host a Minnesota
GreenCorps member and authorizing the City Manager to execute a host site agreement with the
Minnesota Pollution Control Agency.
E X E C UT IV E S UM M ARY:
The Recreation Services Director has submitted a host site application to the Minnesota Pollution Control
Agency to receive services from a full-time Minnesota GreenCorps member from September 1, 2018, to J uly
31, 2019. The GreenCorps member will help establish at least two organics drop-off sites, and will help
develop and implement a community-wide education program to build excitement about the benefits of
organics collection. The member will also evaluate the success of the program after one year of operation and
develop a plan involving all City-owned facilities and parks to enable the City to become a model for waste
reduction, recycling, and organics management to the community.
RE C O M M E ND E D AC T I O N:
By motion: Adopt a resolution supporting the application to host a Minnesota GreenCorps member
and authorizing the City Manager to execute a host site agreement with the Minnesota Pollution
Control Agency.
B AS IS O F RE C O M M E ND AT I O N:
A.H IS TOR IC AL C ON T E X T
The City of Richfield is now embarking on the task of introducing organics collection to residents.
The City established a citizen advisory group on March 7, 2018, to begin establishing organics
drop-off sites in several City parks and to create a community-wide education campaign to
promote the program. The City has been actively partnering with Hennepin County to establish
and fund these drop-off sites. A full-time Minnesota GreenCorps member is requested to assist the
City with this exciting project and to help engage and educate the public in the benefits of organics
collection, including carbon emissions reduction, landfill waste reduction, and compost
regeneration. Minnesota GreenCorps, coordinated by the Minnesota Pollution Control Agency,
began in September 2009. The program places Ameri Corps members with host organizations
around the state to assist communities and local governments in addressing a variety of statewide
needs, aiming to:
Reduce solid waste and increase recycling in Minnesota communities.
Reduce greenhouse gases and other air pollutants.
Reduce water runoff and improve water quality.
Assist community members to take eco-friendly actions.
I ncrease community resilience and build local capacity to respond to the threats of climate
change.
Train new environmental professionals.
For the 2018-2019 program year, Minnesota GreenCorps anticipates placing and supporting up to
42 full-time Ameri Corps members (each serving 1,700 hours). The 42 members will serve at host
site organizations around the state. All Minnesota GreenCorps service positions are expected to
last 11 months, beginning in September 2018.
B.P OL IC IE S (resolutions, ordinances, regulations, statutes, etc):
The host site application requires a resolution authorizing the City Manager to execute an
agreement with the Minnesota Pollution Control Agency to receive the services of a Minnesota
GreenCorps member for the 2018-2019 season.
C.C R IT IC AL T IMIN G IS S U E S:
I f the City of Richfield is selected to host a Minnesota GreenCorps member, the member will
begin working on September 1, 2018, through J uly 31, 2019. This time period coincides with the
City's plan to establish organics drop-off sites.
D.F IN AN C IAL IMPAC T:
I f selected to host a GreenCorps member, there will be a small financial impact to the City of
Richfield. The GreenCorps member will be using existing office space at the Richfield Municipal
Center including an existing computer and phone. The City is responsible for mileage
reimbursement to required trainings and to inspect City facilities. Funding to establish organics
drop-off sites will be provided by Hennepin County during the period of service.
Minnesota GreenCorps members are provided with a taxable living allowance from the MP C A and
will have the opportunity to devote up to 170 hours of their time to professional development
opportunities (conferences and workshops) throughout their service. MP C A offers members basic
health insurance and an Ameri Corps Education Award of up to $5,920 for use on future higher
education expenses or on existing qualified student loans. Members may also be eligible for
childcare assistance (depending on financial status).
E.L E GAL C ON S ID E R AT ION:
None
ALTE R N AT IV E R E C O MME N D ATIO N(S):
The Council may elect to forgo the services of a GreenCorps Members or to postpone the host site
application until the following year.
P R IN C IPAL PAR TIE S E X P E C TE D AT ME E TIN G:
None
AT TAC H ME N T S:
D escription Type
Resolution Resolution L etter
0214 Recreation Services Grants and Donations
RESOLUTION NO.
RESOLUTION SUPPORTING THE HOST SITE APPLCATION FOR A
MINNESOTA GREENCORPS MEMBER
WHEREAS, The City of Richfield has applied to host an AmeriCorps member from
the Minnesota GreenCorps, a program of the Minnesota Pollution Control Agency (MPCA),
for the 2018-2019 program year; and
WHEREAS, if the MPCA selects the City of Richfield, the City is committed to
implementing the proposed project as described in the host site application, and in
accordance with pre-scoped position description; and
WHEREAS, the MPCA requires that the City of Richfield enter into a host site
agreement with the MPCA that identifies the terms, conditions, roles and responsibilities;
NOW, THEREFORE, BE IT RESOLVED, by the City Council of the City of
Richfield, Minnesota, as follows:
The City of Richfield hereby agrees to enter into and sign a host site agreement with
the Minnesota Pollution Control Agency to carry out the member activities specified therein
and to comply with all of the terms, conditions, and matching provisions of the host site
agreement and authorizes and directs the City Manager to sign the agreement on its
behalf.
Adopted by the City Council of the City of Richfield, Minnesota this 10th day of April,
2018.
Pat Elliott, Mayor
ATTEST:
Elizabeth VanHoose, City Clerk
AGENDA SECTION:CONSENT CALENDAR
AGENDA ITEM #6.C.
STAFF RE P ORT NO. 66
CIT Y COUNCIL ME E T ING
4/10/2018
RE P O RT P RE PA RE D B Y: C hris Regis, F inance Manager
D E PA RTME NT D IRE C TO R RE V IE W: S teven L . D evich, C ity Manager
4/3/2018
O THE R D E PA RTM E NT RE V IE W: N/A
C ITY MA NA G E R RE V IE W: S teven L . D evich, C ity Manager
4/3/2018
I T E M F O R C O UNC IL C O NS ID E RAT I O N:
Consideration of the adoption of a resolution providing for the sale of $9,975,000 General Obligation
Street Reconstruction Bonds, Series 2018A.
E X E C UT IV E S UM M ARY:
I ncluded within the City’s 5-Year Street Reconstruction Plan, adopted by the City Council on April 12, 2016,
are two projects, the reconstruction of 66th Street and the six year Mill and Overlay project.
The 66th Street project is a county road project and 2018 will be year two of construction. The project is
estimated to cost $61,292,000. The City’s cost share includes 25% of road construction, 66% of storm sewer,
100% of water/sewer utility replacement, and any additional streetscape elements not cost shared by the
County. T he project includes reconstruction of failing pavement, the replacement of City utilities,
undergrounding of parallel overhead utility lines, and improved bicycle and pedestrian
accommodations. T he project also addresses safety and traffic flow concerns through the use of
additional medians and roundabouts. Funding for the 66th Street project is to be provided by the
combination of the issuance of street reconstruction bonds, Municipal State Aid, Federal grants,
County and local funding, and utility rate payers.
The six year residential mill & overlay project will be entering the fourth year of the project in 2018. The overall
project is estimated to cost $19,500,000 over the six year project period.
The City previously issued the $9,130,000 G.O. Street Reconstruction Bonds, Series 2017A for the 66th
Street project and the $9,100,000 G.O. Street Reconstruction Bonds, Series 2015A, of which $5,085,000
was the Mill & Overlay project portion.
Gas and electric franchise fees will be used as a funding source and to service the debt service on the Mill &
Overlay portion, while an annual debt service tax levy will service the 66th Street portion of the bonds.
RE C O M M E ND E D AC T I O N:
By Motion: Adopt a resolution providing for the sale of $9,975,000 General Obligation Street
Reconstruction Bonds, Series 2018A.
B AS IS O F RE C O M M E ND AT I O N:
A.H IS TOR IC AL C ON T E X T
The mill & overlay program is an initiative to perform major maintenance on the City’s residential
roads, which were originally constructed in the mid 1970’s.
85 miles of residential roads will be completed over the six year project period.
The project also includes utility and concrete curb and gutter repairs and maintenance.
B.P OL IC IE S (resolutions, ordinances, regulations, statutes, etc):
The 66th Street Reconstruction project and the Mill & Overlay project are part of the 5-Year Street
Reconstruction Plan approved by the City Council on April 12, 2016.
C.C R IT IC AL T IMIN G IS S U E S:
Construction for the 66th Street project is expected to resume mid-April, 2018, while the Mill &
Overlay program will resume in May of 2018. Therefore, it is important to have the necessary
financing in place.
D.F IN AN C IAL IMPAC T:
The estimated total cost of the six year mill & overlay program is $19,500,000.
Funding for the program is to be provided by street reconstruction bonds and gas and electric
franchise fees. Estimated funding and costs is as follows:
2015 Street Reconstruction Bonds (Net of Par) $5,000,000
2018 Street Reconstruction Bonds (Net of Par) 5,800,000
Gas and Electric Franchise Fees 8,700,000
Total Funding $19,500,000
Mill & Overlay $14,800,000
Utility 4,700,000
Total Project Cost $19,500,000
The estimated total cost of the 66th Street Reconstruction Project is $61,292,000. Funding for the
project will be provided as follows:
Street Reconstruction Bonds (Net of Par) $15,200,000
Municipal State Aid 8,200,000
Federal Funds 9,632,000
Hennepin County 26,500,000
Overhead Utility Rate Payers 1,325,000
Other 435,000
Total Funding $61,292,000
The par amount of the 2018 bonds to be issued is $9,975,000.
The debt service on the Mill & Overlay portion of the bonds will be paid from gas and electric
franchise fee collections, while the 66th Street Reconstruction portion will be provided from an
annual debt service tax levy.
The average annual estimated tax levy will be $293,392.
The estimated annual increase in taxes due to the issuance of these bonds for a residential
property valued at $200,000 will be approximately $17.68.
The final bonding for the 66th Street Reconstruction project will occur in 2019.
E.L E GAL C ON S ID E R AT ION:
Legal Counsel has reviewed the pre-sale report and resolution.
ALTE R N AT IV E R E C O MME N D ATIO N(S):
None
P R IN C IPAL PAR TIE S E X P E C TE D AT ME E TIN G:
Rebecca Kurtz, Ehlers & Associates, I nc.
AT TAC H ME N T S:
D escription Type
Resolution Resolution L etter
P re-S ale Report B ackup Material
Resolution No. ______
Resolution Providing for the Sale of
$9,975,000 General Obligation Street Reconstruction Bonds, Series 2018A
A. WHEREAS, the City Council of the City of Richfield, Minnesota has heretofore determined that it is
necessary and expedient to issue the City's $9,975,000 General Obligation Street Reconstruction
Bonds, Series 2018A (the "Bonds"), to finance the 2018 mill and overlay projects and the 66th Street
reconstruction project in the City; and
B. WHEREAS, the City has retained Ehlers & Associates, Inc., in Roseville, Minnesota ("Ehlers"), as its
independent municipal advisor for the Bonds in accordance with Minnesota Statutes, Section 475.60,
Subdivision 2(9);
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Richfield, Minnesota, as
follows:
1. Authorization; Findings. The City Council hereby authorizes Ehlers to assist the City for the sale of
the Bonds.
2. Meeting; Proposal Opening. The City Council shall meet at 7:00 PM on May 8, 2018, for the
purpose of considering proposals for and awarding the sale of the Bonds.
3. Official Statement. In connection with said sale, the officers or employees of the City are hereby
authorized to cooperate with Ehlers and participate in the preparation of an official statement for the
Bonds and to execute and deliver it on behalf of the City upon its completion.
Adopted by the City Council of the City of Richfield, Minnesota this 10th day of April, 2018.
___________________________
Pat Elliott, Mayor
ATTEST:
_________________________
Elizabeth VanHoose, City Clerk
April 10, 2018
Pre-Sale Report for
City of Richfield, Minnesota
$9,975,000 General Obligation Street Reconstruction
Bonds, Series 2018A
Prepared by:
Rebecca Kurtz, CIPMA
Senior Municipal Advisor
And
Brian Reilly, CIPMA
Senior Municipal Advisor
Presale Report
City of Richfield, Minnesota
April 10, 2018
Page 1
Executive Summary of Proposed Debt
Proposed Issue: $9,975,000 General Obligation Street Reconstruction Bonds, Series 2018A
Purposes: The proposed issue includes financing for the following purposes:
2018 Mill and Overlay project with project costs estimated at $5,800,000. Ad
valorem property taxes will be pledged to pay the debt service; however, it is
anticipated the City will cancel the annually required levy and use franchise fee
revenues to pay debt services.
66th Street reconstruction project with project costs estimated at $4,000,000.
Debt service will be paid from ad valorem property taxes. Tax impact
information is attached.
Authority: The Bonds are being issued pursuant to Minnesota Statutes, Chapter 475 and 475.58.
The City held a public hearing on April 12, 2016, and approved the 2017 – 2021 Street
Reconstruction Plan, which included the 2018 projects.
The Bonds will be general obligations of the City for which its full faith, credit and taxing
powers are pledged. The Bonds count against the City’s General Obligation Debt
Capacity Limit of 3% of market value.
Term/Call Feature: The Bonds are being issued for a 20-year term. Principal on the Bonds will be due on
February 1 in the years 2020 through 2039. Interest is payable every six months
beginning February 1, 2019.
The Bonds maturing on and after February 1, 2028, will be subject to prepayment at the
discretion of the City on February 1, 2027, or any date thereafter.
Bank Qualification: Because the City is not expecting to issue more than $10,000,000 in tax exempt debt
during the calendar year, the City will be able to designate the Bonds as “bank qualified”
obligations. Bank qualified status broadens the market for the Bonds, which can result
in lower interest rates.
Rating: The City’s most recent bond issues were rated AA+ by Standard & Poor’s. The City
will request a new rating for the Bonds.
If the winning bidder on the Bonds elects to purchase bond insurance, the rating for the
issue may be higher than the City’s bond rating in the event that the bond rating of the
insurer is higher than that of the City.
Presale Report
City of Richfield, Minnesota
April 10, 2018
Page 2
Basis for
Recommendation:
Based on our knowledge of your situation, your objectives communicated to us, our
advisory relationship as well as characteristics of various municipal financing options,
we are recommending the issuance of tax exempt General Obligation Street
Reconstruction Bonds as a suitable financing option. This option is in keeping with the
City policy and past practices to finance these types of projects with this type of debt
issue, and there are limited other options available to finance these types of projects. In
addition, the issuance of general obligation bonds provides the most overall cost-
effective option that still maintains future flexibility for the repayment of the debt.
Method of
Sale/Placement:
In order to obtain the lowest interest cost to the City, the bond will be offered by
competitive bid to local and national underwriters/banks.
We have included an allowance for discount bidding equal to 1.00% of the principal
amount of the issue. The discount is treated as an interest item and provides the
underwriter with all or a portion of their compensation in the transaction.
If the Bonds are purchased at a price greater than the minimum bid amount (maximum
discount), the unused allowance may be used to lower your borrowing amount.
Premium Bids: Under current market conditions, most investors in municipal bonds
prefer “premium” pricing structures. A premium is achieved when the coupon for any
maturity (the interest rate paid by the issuer) exceeds the yield to the investor, resulting
in a price paid that is greater than the face value of the bonds. The sum of the amounts
paid in excess of face value is considered “reoffering premium.”
The amount of the premium varies, but it is not uncommon to see premiums for new
issues in the range of 2.00% to 10.00% of the face amount of the issue. This means that
an issuer with a $2,000,000 offering may receive bids that result in proceeds of
$2,040,000 to $2,200,000.
For this issue of Bonds we have been directed to use the premium to reduce the size of
the issue. The adjustments may slightly change the true interest cost of the original bid,
either up or down.
You have the choice to limit the amount of premium in the bid specifications. This may
result in fewer bids, but it may also eliminate large adjustments on the day of sale and
other uncertainties.
Review of Existing
Debt:
We have reviewed all outstanding indebtedness for the City and find that there are no
refunding opportunities at this time.
We will continue to monitor the market and the call dates for the City’s outstanding debt
and will alert you to any future refunding opportunities.
Presale Report
City of Richfield, Minnesota
April 10, 2018
Page 3
Continuing
Disclosure:
Because the City has more than $10,000,000 in outstanding debt (including this issue)
and this issue is over $1,000,000, the City will be agreeing to provide certain updated
Annual Financial Information and its Audited Financial Statement annually as well as
providing notices of the occurrence of certain reportable events to the Municipal
Securities Rulemaking Board (the “MSRB”), as required by rules of the Securities and
Exchange Commission (SEC). The City is already obligated to provide such reports for
its existing bonds, and has contracted with Ehlers to prepare and file the reports.
Arbitrage
Monitoring:
Because the Bonds are tax-exempt obligations/tax credit obligations, the City must
ensure compliance with certain Internal Revenue Service (IRS) rules throughout the life
of the issue. These rules apply to all gross proceeds of the issue, including initial bond
proceeds and investment earnings in construction, escrow, debt service, and any reserve
funds. How issuers spend bond proceeds and how they track interest earnings on funds
(arbitrage/yield restriction compliance) are common subjects of IRS inquiries. Your
specific responsibilities will be detailed in the Tax Certificate prepared by your Bond
Attorney and provided at closing. We recommend that you regularly monitor compliance
with these rules and/or retain the services of a qualified firm to assist you.
Other Service
Providers:
This debt issuance will require the engagement of other public finance service
providers. This section identifies those other service providers, so Ehlers can coordinate
their engagement on your behalf. Where you have previously used a particular firm to
provide a service, we have assumed that you will continue that relationship, unless the
City has directed otherwise. Fees charged by these service providers will be paid from
proceeds of the obligation, unless you notify us that you wish to pay them from other
sources. Our pre-sale bond sizing includes a good faith estimate of these fees, so their
final fees may vary. If you have any questions pertaining to the identified service
providers or their role, or if you would like to use a different service provider for any of
the listed services please contact us.
Bond Attorney: Kennedy & Graven, Chartered
Paying Agent: Bond Trust Services Corporation
Rating Agency: Standard & Poor's Global Ratings (S&P)
This presale report summarizes our understanding of the City’s objectives for the structure and terms of this
financing as of this date. As additional facts become known or capital markets conditions change, we may need
to modify the structure and/or terms of this financing to achieve results consistent with the City’s objectives.
Presale Report
City of Richfield, Minnesota
April 10, 2018
Page 4
Proposed Debt Issuance Schedule
Pre-Sale Review by City Council: April 10, 2018
Distribute Official Statement: Week of April 23, 2018
Conference with Rating Agency: Week of April 23, 2018
City Council Meeting to Award Sale of the Bonds: May 8, 2018
Estimated Closing Date: May 31, 2018
Attachments
Sources and Uses of Funds
Proposed Debt Service Schedule
Estimated Tax Impacts
Resolution Authorizing Ehlers to Proceed with Bond Sale
Ehlers Contacts
Municipal Advisors: Rebecca Kurtz (651) 697-8516
Brian Reilly (651) 697-8541
Disclosure Coordinator: Jen Chapman (651) 697-8566
Financial Analyst: Alicia Gage (651) 697-8551
The Official Statement for this financing will be mailed to the City Council at their home address or e-mailed for
review prior to the sale date.
sa
City of Richfield, Minnesota
$9,975,000 General Obligation Street Reconstruction Bonds, Series 2018A
Issue Summary
Assumes Current Market BQ AA+ Rates plus 25bps
Total Issue Sources And Uses
Dated 05/31/2018 | Delivered 05/31/2018
Mill and
Overlay
66th Street
Reconstruction
Issue
Summary
Sources Of Funds
Par Amount of Bonds $5,905,000.00 $4,070,000.00 $9,975,000.00
Total Sources $5,905,000.00 $4,070,000.00 $9,975,000.00
Uses Of Funds
Total Underwriter's Discount (1.000%)59,050.00 40,700.00 99,750.00
Costs of Issuance 43,806.52 30,193.48 74,000.00
Deposit to Project Construction Fund 5,800,000.00 4,000,000.00 9,800,000.00
Rounding Amount 2,143.48 (893.48)1,250.00
Total Uses $5,905,000.00 $4,070,000.00 $9,975,000.00
Series 2018A GO Street Re | Issue Summary | 3/29/2018 | 10:37 AM
City of Richfield, Minnesota
$9,975,000 General Obligation Street Reconstruction Bonds, Series 2018A
Issue Summary
Assumes Current Market BQ AA+ Rates plus 25bps
Debt Service Schedule
Date Principal Coupon Interest Total P+I
105%
Overlevy
02/01/2019 --199,548.00 199,548.00 209,525.40
02/01/2020 390,000.00 1.900%298,080.00 688,080.00 722,484.00
02/01/2021 395,000.00 2.000%290,670.00 685,670.00 719,953.50
02/01/2022 405,000.00 2.150%282,770.00 687,770.00 722,158.50
02/01/2023 415,000.00 2.300%274,062.50 689,062.50 723,515.63
02/01/2024 420,000.00 2.400%264,517.50 684,517.50 718,743.38
02/01/2025 430,000.00 2.500%254,437.50 684,437.50 718,659.38
02/01/2026 440,000.00 2.600%243,687.50 683,687.50 717,871.88
02/01/2027 450,000.00 2.700%232,247.50 682,247.50 716,359.88
02/01/2028 465,000.00 2.800%220,097.50 685,097.50 719,352.38
02/01/2029 475,000.00 2.900%207,077.50 682,077.50 716,181.38
02/01/2030 490,000.00 3.000%193,302.50 683,302.50 717,467.63
02/01/2031 505,000.00 3.050%178,602.50 683,602.50 717,782.63
02/01/2032 525,000.00 3.150%163,200.00 688,200.00 722,610.00
02/01/2033 540,000.00 3.250%146,662.50 686,662.50 720,995.63
02/01/2034 555,000.00 3.350%129,112.50 684,112.50 718,318.13
02/01/2035 575,000.00 3.450%110,520.00 685,520.00 719,796.00
02/01/2036 590,000.00 3.550%90,682.50 680,682.50 714,716.63
02/01/2037 615,000.00 3.600%69,737.50 684,737.50 718,974.38
02/01/2038 635,000.00 3.650%47,597.50 682,597.50 716,727.38
02/01/2039 660,000.00 3.700%24,420.00 684,420.00 718,641.00
Total $9,975,000.00 -$3,921,033.00 $13,896,033.00 $14,590,834.65
Significant Dates
Dated 5/31/2018
First Coupon Date 2/01/2019
Yield Statistics
Bond Year Dollars $120,752.71
Average Life 12.106 Years
Average Coupon 3.2471595%
Net Interest Cost (NIC)3.3297663%
True Interest Cost (TIC)3.3196327%
Bond Yield for Arbitrage Purposes 3.2156890%
All Inclusive Cost (AIC)3.3977007%
IRS Form 8038
Net Interest Cost 3.2471595%
Weighted Average Maturity 12.106 Years
Series 2018A GO Street Re | Issue Summary | 3/29/2018 | 10:37 AM
City of Richfield, Minnesota
$5,905,000 General Obligation Street Reconstruction Bonds, Series 2018A
Mill and Overlay
Assumes Current Market BQ AA+ Rates plus 25bps
Debt Service Schedule
Date Principal Coupon Interest Total P+I
105%
Overlevy
02/01/2019 --118,128.49 118,128.49 124,034.91
02/01/2020 230,000.00 1.900%176,457.50 406,457.50 426,780.38
02/01/2021 235,000.00 2.000%172,087.50 407,087.50 427,441.88
02/01/2022 240,000.00 2.150%167,387.50 407,387.50 427,756.88
02/01/2023 245,000.00 2.300%162,227.50 407,227.50 427,588.88
02/01/2024 250,000.00 2.400%156,592.50 406,592.50 426,922.13
02/01/2025 255,000.00 2.500%150,592.50 405,592.50 425,872.13
02/01/2026 260,000.00 2.600%144,217.50 404,217.50 424,428.38
02/01/2027 265,000.00 2.700%137,457.50 402,457.50 422,580.38
02/01/2028 275,000.00 2.800%130,302.50 405,302.50 425,567.63
02/01/2029 280,000.00 2.900%122,602.50 402,602.50 422,732.63
02/01/2030 290,000.00 3.000%114,482.50 404,482.50 424,706.63
02/01/2031 300,000.00 3.050%105,782.50 405,782.50 426,071.63
02/01/2032 310,000.00 3.150%96,632.50 406,632.50 426,964.13
02/01/2033 320,000.00 3.250%86,867.50 406,867.50 427,210.88
02/01/2034 330,000.00 3.350%76,467.50 406,467.50 426,790.88
02/01/2035 340,000.00 3.450%65,412.50 405,412.50 425,683.13
02/01/2036 350,000.00 3.550%53,682.50 403,682.50 423,866.63
02/01/2037 365,000.00 3.600%41,257.50 406,257.50 426,570.38
02/01/2038 375,000.00 3.650%28,117.50 403,117.50 423,273.38
02/01/2039 390,000.00 3.700%14,430.00 404,430.00 424,651.50
Total $5,905,000.00 -$2,321,185.99 $8,226,185.99 $8,637,495.29
Significant Dates
Dated 5/31/2018
First Coupon Date 2/01/2019
Yield Statistics
Bond Year Dollars $71,483.07
Average Life 12.106 Years
Average Coupon 3.2471829%
Net Interest Cost (NIC)3.3297898%
True Interest Cost (TIC)3.3196625%
Bond Yield for Arbitrage Purposes 3.2156890%
All Inclusive Cost (AIC)3.3977309%
IRS Form 8038
Net Interest Cost 3.2471829%
Weighted Average Maturity 12.106 Years
Series 2018A GO Street Re | Mill and Overlay | 3/29/2018 | 10:37 AM
City of Richfield, Minnesota
$4,070,000 General Obligation Street Reconstruction Bonds, Series 2018A
66th Street Reconstruction
Assumes Current Market BQ AA+ Rates plus 25bps
Debt Service Schedule
Date Principal Coupon Interest Total P+I
105%
Overlevy
02/01/2019 --81,419.51 81,419.51 85,490.49
02/01/2020 160,000.00 1.900%121,622.50 281,622.50 295,703.63
02/01/2021 160,000.00 2.000%118,582.50 278,582.50 292,511.63
02/01/2022 165,000.00 2.150%115,382.50 280,382.50 294,401.63
02/01/2023 170,000.00 2.300%111,835.00 281,835.00 295,926.75
02/01/2024 170,000.00 2.400%107,925.00 277,925.00 291,821.25
02/01/2025 175,000.00 2.500%103,845.00 278,845.00 292,787.25
02/01/2026 180,000.00 2.600%99,470.00 279,470.00 293,443.50
02/01/2027 185,000.00 2.700%94,790.00 279,790.00 293,779.50
02/01/2028 190,000.00 2.800%89,795.00 279,795.00 293,784.75
02/01/2029 195,000.00 2.900%84,475.00 279,475.00 293,448.75
02/01/2030 200,000.00 3.000%78,820.00 278,820.00 292,761.00
02/01/2031 205,000.00 3.050%72,820.00 277,820.00 291,711.00
02/01/2032 215,000.00 3.150%66,567.50 281,567.50 295,645.88
02/01/2033 220,000.00 3.250%59,795.00 279,795.00 293,784.75
02/01/2034 225,000.00 3.350%52,645.00 277,645.00 291,527.25
02/01/2035 235,000.00 3.450%45,107.50 280,107.50 294,112.88
02/01/2036 240,000.00 3.550%37,000.00 277,000.00 290,850.00
02/01/2037 250,000.00 3.600%28,480.00 278,480.00 292,404.00
02/01/2038 260,000.00 3.650%19,480.00 279,480.00 293,454.00
02/01/2039 270,000.00 3.700%9,990.00 279,990.00 293,989.50
Total $4,070,000.00 -$1,599,847.01 $5,669,847.01 $5,953,339.36
Significant Dates
Dated 5/31/2018
First Coupon Date 2/01/2019
Yield Statistics
Bond Year Dollars $49,269.64
Average Life 12.106 Years
Average Coupon 3.2471255%
Net Interest Cost (NIC)3.3297322%
True Interest Cost (TIC)3.3195894%
Bond Yield for Arbitrage Purposes 3.2156890%
All Inclusive Cost (AIC)3.3976568%
IRS Form 8038
Net Interest Cost 3.2471255%
Weighted Average Maturity 12.106 Years
Series 2018A GO Street Re | 66th Street Reconstructio | 3/29/2018 | 10:37 AM
$4,070,000
20
3.32%
Estimated Bond Rating S&P
AA+
Actual Net Tax Capacity - Payable 2018 $30,001,418
Debt Levy @ 105% - Average 293,392
Estimated Tax Capacity Rate:
Payable - 2018 Without Proposed Bonds 57.730%
Payable - 2018 With Proposed Bonds 58.708%
Estimated Tax Rate Increase 0.978%
Estimated Market Value Taxable Net Tax Current Proposed Proposed
Market Value Exclusion Market Value Capacity City Tax Tax Increase*City Tax
50,000$ 20,000$ 30,000$ 300$ 173.19$ 2.93$ 176.12$
75,000 30,000 45,000 450 259.79 4.40 264.19
100,000 28,240 71,760 718 414.27 7.02 421.29
125,000 25,990 99,010 990 571.58 9.68 581.27
Residential 150,000 23,740 126,260 1,263 728.90 12.35 741.25
Homestead 175,000 21,490 153,510 1,535 886.21 15.01 901.23
200,000 19,240 180,760 1,808 1,043.53 17.68 1,061.20
225,000 16,990 208,010 2,080 1,200.84 20.34 1,221.18
250,000 14,740 235,260 2,353 1,358.16 23.01 1,381.16
300,000 10,240 289,760 2,898 1,672.78 28.34 1,701.12
100,000$ -$ 100,000$ 980$ 565.74$ 9.58$ 575.32$
200,000 - 200,000 2,123 1,225.77 20.76 1,246.53
Commercial/Industrial 300,000 - 300,000 3,430 1,980.09 33.54 2,013.63
400,000 - 400,000 4,737 2,734.41 46.32 2,780.73
500,000 - 500,000 6,043 3,488.73 59.10 3,547.83
1,000,000 - 1,000,000 12,576 7,260.33 122.99 7,383.32
Apartments 200,000$ -$ 200,000$ 2,500$ 1,443.25$ 24.45$ 1,467.70$
(4 or more units)300,000 - 300,000 3,750 2,164.88 36.67 2,201.55
500,000 - 500,000 6,250 3,608.13 61.12 3,669.25
150,000$ 23,740$ 126,260$ 1,263$ 728.90$ 12.35$ 741.25$
400,000 23,740 376,260 2,513 1,450.52 24.57 1,475.10
Agricultural 500,000 23,740 476,260 3,013 1,739.17 29.46 1,768.64
Homestead **600,000 23,740 576,260 3,513 2,027.82 34.35 2,062.17
800,000 23,740 776,260 4,513 2,605.12 44.13 2,649.25
1,000,000 23,740 976,260 5,513 3,182.42 53.91 3,236.33
Agricultural 1,500$ -$ 1,500$ 15$ 8.66$ 0.15$ 8.81$
Non-Homestead 2,000 - 2,000 20 11.55 0.20 11.74
(dollars per acre)2,500 - 2,500 25 14.43 0.24 14.68
100,000$ -$ 100,000$ 1,000$ 577.30$ 9.78$ 587.08$
Seasonal/Recreation 200,000 - 200,000 2,000 1,154.60 19.56 1,174.16
Residential 300,000 - 300,000 3,000 1,731.90 29.34 1,761.24
400,000 - 400,000 4,000 2,309.20 39.12 2,348.32
** For agricultural homestead property, a value of $150,000 was assumed for the house, garage and one acre.
Number of Years
PROPERTY TAX INFORMATION
* The figures in the table are based on taxes for new bonded debt only, and do not include tax levies for other purposes. Tax increases shown above are gross
increases, not including the impact of the state Property Tax Refund ("Circuit Breaker") program. Many owners of homestead property will qualify for a refund,
based on their income and total property taxes. This will decrease the net tax effect of the bond issue for many property owners.
City of Richfield, Minnesota
Estimated Tax Impact
March 29, 2018
Bond Issue Amount
BOND ISSUANCE INFORMATION
TAX IMPACT ANALYSIS
Average Interest Rate
Type of Property
Prepared by Ehlers 3/29/2018
AGENDA SECTION:CONSENT CALENDAR
AGENDA ITEM #6.D.
STAFF RE P ORT NO. 67
CIT Y COUNCIL ME E T ING
4/10/2018
RE P O RT P RE PA RE D B Y: W illiam F. F illmore, L iquor Operations D irector
D E PA RTME NT D IRE C TO R RE V IE W: W illiam F. F illmore, L iquor Operations D irector
4/6/2018
O THE R D E PA RTM E NT RE V IE W: N/A
C ITY MA NA G E R RE V IE W: S teven L . D evich, C ity Manager
4/6/2018
I T E M F O R C O UNC IL C O NS ID E RAT I O N:
Consideration of the approval of bid minutes and tabulation and authorization of a contract with
Midwest Asphalt in the amount of $80,900 for parking lot improvements at the municipal liquor store at
6444 Penn Avenue South and authorization of the City Manager to approve contract changes under
$50,000 without further City Council consideration.
E X E C UT IV E S UM M ARY:
At the December 12, 2017, City Council meeting the Council authorized a capital improvement and directed
staff to proceed with the remodeling and upgrade of the municipal liquor store located at 6444 Penn Avenue
South.
At the February 27, 2018, City Council meeting the Council authorized a construction contract for the Penn
Avenue liquor store remodel and upgrade. One upgrade component, parking area improvements, was bid
separately. Parking area improvements are needed due to the severe deterioration of the parking lot surface.
The advertisement for bids for parking lot improvements was published on March 29, 2018. Four bidders
submitted bids that were publicly opened on April 5, 2018. Midwest Asphalt submitted the lowest bid of
$80,900.
RE C O M M E ND E D AC T I O N:
By motion: Approve bid minutes and tabulation and authorize a contract with Midwest Asphalt in the
amount of $80,900 for parking lot improvements at the municipal liquor store at 6444 Penn Avenue
South and authorize the City Manager to approve contract changes under $50,000 without further City
Council consideration.
B AS IS O F RE C O M M E ND AT I O N:
A.H IS TOR IC AL C ON T E X T
At the September 6, 2017, City Council/Staff Budget Review, staff presented preliminary
renderings prepared by Wold Architectural of the Penn liquor store.
At the December 12, 2017, City Council meeting the Council authorized a capital improvement
and directed staff to proceed with upgrading the municipal liquor store at 6444 Penn Avenue
South.
Advertisement for bids for the store remodel was published February 8, 2018.
Twelve bidders submitted bids for the demolition/construction that were publicly opened on
February 20, 2018.
Ebert Construction I nc. submitted the lowest bid of $807,000 and the City Council awarded the
construction contract on February 27, 2018.
Demo/Construction began on March 26, 2018.
B.P OL IC IE S (resolutions, ordinances, regulations, statutes, etc):
Council approval is required for all expenditures over $100,000.
All contracts over $100,000 require sealed bids by public notice.
C.C R IT IC AL T IMIN G IS S U E S:
The acceptance of the bid tabulation and the award of the contract will ensure that current
construction is not interrupted, the lot can be upgraded, and the project will be completed so that
the store may be open by Memorial Day.
D.F IN AN C IAL IMPAC T:
Project estimate was $100,000.
The lowest responsible and responsive bid was submitted by Midwest Asphalt for $80,900.
Resources to fund the upgrade are available with the liquor operations and other internal
financing.
E.L E GAL C ON S ID E R AT ION:
N/A
ALTE R N AT IV E R E C O MME N D ATIO N(S):
The City Council could decide to not approve the contract for the parking area at the municipal liquor
store at 6444 Penn Avenue South.
P R IN C IPAL PAR TIE S E X P E C TE D AT ME E TIN G:
N/A
AT TAC H ME N T S:
D escription Type
B id Tabulation B ackup Material
P enn L iquor Renderings B ackup Material
CITY OF RICHFIELD, MINNESOTA
Bid Opening
April 5, 2018
2:00 p.m.
Penn Avenue Liquor Store Parking Lot
Bid No. 18-05
Pursuant to requirements of Resolution No. 1015, a meeting of the Administrative Staff was called by Elizabeth
VanHoose, City Clerk, who announced that the purpose of the meeting was to receive; open and read aloud
bids for Penn Avenue Liquor Store Parking Lot, as advertised in the official newspaper on March 29th, 2018.
Present: Elizabeth VanHoose, City Clerk
Dave Conrads, Government Buildings
Jared Voto, City Manager Representative
The following bids were submitted and read aloud:
Bidder’s Name Bid
Security
Responsible
Bidder
Total Base Bid
Bituminous Roadways Inc
Mendota Heights, MN Provided Provided $97,800.00
Midwest Asphalt Services
Eden Prairie, MN Provided Provided $80,900.00
Ebert Construction
Cochoran, MN Provided Provided $106,000.00
Allied Blacktop Company
Maple Grove, MN Provided $105,998.00
The City Clerk announced that the bids would be tabulated and considered at the April 10, 2018 City
Council Meeting.
_______________________
Elizabeth VanHoose, City Clerk
AGENDA SECTION:RESOLUTIONS
AGENDA ITEM #8.
STAFF RE P ORT NO. 68
CIT Y COUNCIL ME E T ING
4/10/2018
RE P O RT P RE PA RE D B Y: Jesse S wenson, A sst. HR Manager
D E PA RTME NT D IRE C TO R RE V IE W: S teven L . D evich, C ity Manager
4/2/2018
O THE R D E PA RTM E NT RE V IE W: N/A
C ITY MA NA G E R RE V IE W: S teven L . D evich, C ity Manager
4/2/2018
I T E M F O R C O UNC IL C O NS ID E RAT I O N:
Consideration of the adoption of a resolution approving the contract with the Police Sergeants
Teamsters 320 for the contract period January 1, 2018 through December 31, 2019 and authorize the
City Manager to execute the agreement.
E X E C UT IV E S UM M ARY:
City staff has completed labor negotiations with the Police Sergeants Teamsters 320 (Union). The provisions
of the 2018-2019 labor agreement cover all of the employees in this Union, which consists of 8 positions.
The two-year contract provides a wage adjustment of 3.0% in 2018 and a wage adjustment of 3.0% in 2019.
The other provisions of the tentative agreement include:
A wage equity adjustment to step 3 and step 4 of the pay plan. Step 3 would receive an additional $20
per month in both 2018 and 2019. Step 4 would receive an additional $38 per month in both 2018 and
2019.
Up to a $75 per month increase in the City’s contribution towards health insurance.
A $0.25 per month increase towards Employee single dental coverage.
Agreement to accept the same level of contributions that Management and General Services
employees will be receiving in 2019 for health and dental insurance coverage.
An increase in clothing allowance of $15 in 2018 and an additional $15 in 2019.
RE C O M M E ND E D AC T I O N:
By motion: Adopt a resolution approving the provisions of the 2018-2019 labor agreement with the
Police Sergeants Teamsters 320 bargaining unit and authorize the City Manager to execute the
agreement.
B AS IS O F RE C O M M E ND AT I O N:
A.H IS TOR IC AL C ON T E X T
The tentatively approved two year contract settlement includes the following significant changes:
W ages: A 3.0% wage adjustment for 2018 and a 3.0% wage adjustment for 2019.
Equity Adjustment: Step 3 of the pay grade would receive an additional $20 per month in both
2018 and 2019. Step 4 of the pay grade would receive an additional $38 per month in both 2018
and 2019.
Health I nsurance: Up to a $75 increase to the Employer health insurance contribution, which
provides up to a maximum contribution of $826.00 per month for single Employee coverage,
$1,195 per month for Employee plus spouse or Employee plus child(ren) coverage and $1,290
per month for Employee plus family coverage.
Dental I nsurance: A $0.25 per month increase to the Employer contribution for Employee single
dental insurance coverage at $59.50 per month.
Clothing allowance increase of $15 in 2018 to $950 and an additional $15 in 2019 to $965.
B.P OL IC IE S (resolutions, ordinances, regulations, statutes, etc):
The City has met and negotiated in good faith with the Union and its representatives and is bound
under the Public Employer's Labor Relations Act to meet and bargain over the terms and
conditions of employment.
The proposed settlement for the health and dental insurance provisions is identical to those
provided to both union and non-union City employees. The City has a long history of providing the
same level of insurance benefits to all eligible City employees.
The 3.0% wage increase represents the same 3.0% wage adjustment implemented for non-union
City employees and all other contracts settled for 2018.
The wage adjustment and health insurance increase is comparable to other bargaining groups in
similar metro cities. A survey of Stanton 5 cities indicates that those cities are providing anywhere
from a 1.5 to 3 percent increase. The City has a long history of trying to remain as close to the
mid-range as possible for Stanton 5 cities, in terms of wages and benefits.
The 3.0% wage adjustment for 2019 is the City's and Union's best estimation of what will be the
average of such settlements in the metro area. The Fire bargaining unit, Police Officer bargaining
unit, and Police Lieutenant bargaining unit, have also agreed to this increase for 2019. The City is
aware of at least three other metro area cities that has settled at 3.0% for 2019.
The equity adjustment to step 3 and step 4 of the pay grade will make wages comparable to other
sergeant bargaining groups in similar metro cities.
C.C R IT IC AL T IMIN G IS S U E S:
I n order to allow the City's accounting personnel to modify payroll records in a timely manner for
2018 wages and benefits, it is recommended that the City Council act on April 10, 2018 to adopt a
resolution providing for contract changes, effective J anuary 1, 2018.
D.F IN AN C IAL IMPAC T:
A 3.0% wage increase for contract year 2018 and 3.0% wage increase for contract year 2019.
An equity adjustment to step 3 and step 4 of the pay plan. $20 per month increase to step 3 in
2018 and again in 2019. $38 per month increase to step 4 in 2018 and again in 2019. The budget
impact per year is approximately $3200.
A maximum $75 per month increase in Employer monthly contributions towards health insurance
coverage for 2018.
A $0.25 per month increase in Employer monthly contributions towards dental insurance in 2018.
A $15 increase to clothing allowance in 2018 and an additional $15 increase to clothing allowance
in 2019.
E.L E GAL C ON S ID E R AT ION:
I f the terms of this agreement are not approved, further negotiation and/or mediation will be
necessary.
ALTE R N AT IV E R E C O MME N D ATIO N(S):
Do not approve the terms of this agreement and prepare for further negotiation and/or mediation.
Defer discussion to another date.
P R IN C IPAL PAR TIE S E X P E C TE D AT ME E TIN G:
None
AT TAC H ME N T S:
D escription Type
Resolution Resolution L etter
RESOLUTION NO.
RESOLUTION APPROVING LABOR AGREEMENT BETWEEN THE
CITY OF RICHFIELD AND
POLICE SERGEANTS TEAMSTERS 320
BARGAINING UNIT FOR YEARS 2018 - 2019
WHEREAS, the City Manager and the Richfield Police Sergeants Teamsters 320
have reached an understanding concerning conditions of employment for years 2018 and
2019; and
WHEREAS, it would be inappropriate to penalize Sergeants Teamsters 320
members who have negotiated in good faith; and
WHEREAS, the City Ordinance requires that contracts between the City and the
exclusive representative of the employees in an appropriate bargaining unit shall be
completed by Council resolution.
NOW, THEREFORE, BE IT RESOLVED that the City Council does hereby approve
the Labor Agreement between the City of Richfield and Lieutenants Teamsters 320
Bargaining Unit for years 2018 and 2019, under the provisions of the Labor Agreement to
be implemented, effective January 1, 2018 and authorize the City Manager to execute the
contract.
Adopted by the City Council of the City of Richfield, Minnesota this 10th day of April
2018.
_______________________________
Pat Elliott Mayor
ATTEST:
______________________________
Elizabeth VanHoose City Clerk