01-26-2021 Regular City Council AgendaREGULAR CITY COUNCIL MEETING
VIRTUAL MEETING HELD VIA WEBEX
JANUARY 26, 2021
7:00 PM
INTRODUCTORY PROCEEDINGS
Call to order
Pledge of Allegiance
Open forum
Each speaker is to keep their comment period to three minutes to allow sufficient time for others.
Comments are to be an opportunity to address the Council on items not on the agenda. Individuals who
wish to address the Council may call 612-861-0651 during the open forum portion of the meeting.
Individuals may also call 612-861-9711 or email kwynn@richfieldmn.gov prior to the meeting.
Approval of the Minutes of the (1) City Council Work Session January 12, 2021; and (2) City Council Meeting of
January 12, 2021.
PRESENTATIONS
1. Richfield Foundation awarding of grants presentation.
AGENDA APPROVAL2.Approval of the Agenda
3.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.Consider the adoption of resolutions authorizing the:
1.Joint Powers Agreement between the Metropolitan Airports Commission and the City of Richfield
for the ownership and maintenance of 77th Street Underpass improvements; and
2.Temporary Easement Agreement between the Metropolitan Airports Commission and the City of
Richfield for property located near 77th Street and Longfellow Avenue.
Staff Report No. 10
B.Consider the approval of the purchase of a 2021 Versa-Vac 1000PD Trailer Mounted Vacuum/Hydro
Excavation Unit from Flexible Pipe Tool Company in the sum of $162,610.00 (including trade-in).
Staff Report No. 11
C.Consider approval of a resolution approving a Joint Powers Agreement for Distracted Driving Vehicle
Program.
Staff Report No. 12
D .C onsider the approval of a second reading of an ordinance amending C ity C ode S ubsection 721.03
related to connections and discharges to the stormwater system and approval of a resolution authorizing
summary publication.
S taff Report No. 13
E .C onsider a resolution designating an official newspaper for 2021.
S taff Report No. 14
4.C onsideration of items, if any, removed from C onsent C alendar
P U B LIC H E AR IN G S
5.P ublic hearing and consider the approval of a noise variance permit for Wood L ake dewatering as part of the
Wood L ake L ift S tation Improvement P roject.
S taff Report No. 15
6.P ublic hearing to consider approval of a modification to the Redevelopment P lan and approval of a Tax Increment
F inancing P lan for the 2020-2 Tax Increment F inance D istrict: E mi.
S taff Report No. 16
R E S O L U T IO N S
7.C onsideration of the approval of a resolution pertaining to filing of the P ay E quity Report with the Minnesota
Management and B udget D epartment.
S taff Report No. 18
O T H E R B U S IN E S S
8.C onsider representatives to serve as the 2021 liaisons to various local, regional and state organizations, and C ity
boards and commissions.
S taff Report No. 17
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 ayroll
C O U N C IL D ISC U SSIO N
11.Hats Off to Hometown Hits
12.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
City Council Work Session
January 12, 2021
CALL TO ORDER
The meeting was called to order by Mayor Regan Gonzalez at 5:45 p.m. virtually via WebEx.
Council Members Maria Regan Gonzalez, Mayor; Ben Whalen; Mary Supple; Simon
Present: Trautmann; and Sean Hayford Oleary
Staff Present: Katie Rodriguez, City Manager; Chris Regis, Finance Director; Amy Markle,
Recreation Services Director; John Stark, Community Development Director;
Mary Tietjen, City Attorney; Blanca Martinez Gavina, Executive Analyst; and
Kelly Wynn, Senior Office Assistant.
Others Present: Rebecca Kurtz, Ehlers; Peter Coyle, Co-Counsel Post 435 Attorney; Glen
McClusky, Co-Counsel Post 435 Attorney; and Diane Miller, Post 435
Controller
Item #1
COMMUNITY CENTER FEASIBILITY AT THE AMERICAN LEGION PROPERTY
City Manager Rodriguez introduced the item and provided an overview of the property,
described a plan provided by staff and thanked staff for their time putting the plan together.
Director Markle provided a historical background of the current Richfield Community Center;
the Parks Master Plan; results from a 2020 community survey; considerations noted from other
communities; factors associated with costs; assessing needs; meeting needs in the short, medium
and long term; and planning for the future.
Director Regis described the range of estimated costs to construct a new community center;
project funding options; impact on the tax levy; tax levy impact on residents; estimated annual
operations; and impact with a $1millio subsidy.
Director Markle spoke of Richfield’s current socioeconomics.
Director Regis discussed other considerations such as the impact on debt limit, future facility
capital maintenance and impact on the bond rating.
Director Markle spoke of moving forward which included recovering from the pandemic.
Council Member Hayford Oleary asked about buying the land now with the possibility of not
building on it or building at a later date.
City Manager Rodriguez explained neither of those options would meet the needs of Post 435.
Council Work Session Minutes -2- January 12, 2021
Attorney Coyle stated he supported staff recommendation but believed Post 435 will need to
be a private sale. Post 435 wanted to be clear with their intentions and forward with the future of its
members.
Council Member Whalen wanted to discuss the pertinent need for a new nature center and
options at the current site.
Director Markle explained how the previous Recreation Services Director was strategic in the
maintenance of the current community center but it is a dated building. She spoke of how it could be
earmarked for future construction as it has a good location and is easily accessible. However, Wood
Lake Nature Center is in desperate need of improvements and is currently about a new or renovated
community center at this current time.
Council Member Supple reiterated that it does not seem financially possible to construct a
brand new community center but would like to see a possible partnership with Wood Lake Nature
Center and a facilities assessment.
Council Member Trautmann thanked staff for the hours spent and for the thorough
presentation. He assumed with such a high cost to construct a new community center that it would
require a bond and that is not currently a high priority. He then asked about a possible partnership
with the school district.
Director Markle stated that has not yet been discussed with the schools but is an avenue worth
pursuing. She spoke of high schoolers that have reached out about wanting an indoor space to play
and work out.
City Manager Rodriguez stated she would like to set expectations that this would not be an
immediate item but would look more into 2022.
Council Member Whalen echoed that the financial piece is clear but also stated that raising
taxes is not always a bad thing as it invests in things the community needs. However, raising taxes
25% or more is not an option. He spoke of the need for banquet and meeting spaces in the
community but with the pandemic it is unclear when large indoor gatherings could resume. He asked
about what Post 435 would like to see in the new development including Veteran’s housing, meeting
space, etc.
Attorney McClusky spoke of how Post 435 would be more than happy to continue discussions
around making space available to the community.
Mayor Regan Gonzalez explained the immediate issue concerns the small area plan and long
term planning and it is not financially responsible for the city to purchase this area. She spoke of how
things have changed due to the pandemic and created drastic challenges. This project is an example
of just how tough things are right now and how this could put a lot of burden on city staff during an
already challenging pandemic. She also spoke of how this is an item that needs to be addressed now
for the community and unfortunately the answer can’t always be ‘yes.’
Council Member Hayford Oleary appreciated the information and spoke of how this will be a
good way to build the tax base and create discussions with the community of why the city shouldn’t
borrow to build a new community center right now.
Council Member Trautmann echoed comments from Mayor Regan Gonzalez and Council
Member Hayford Oleary in that the capacity staff can efficiently work at and the city tax base are both
extremely important.
Mayor Regan Gonzalez expressed her excitement with the presentation provided and to be
able to plan a future for the community.
Council Work Session Minutes -3- January 12, 2021
Council Member Supple stated she is looking forward to going into the ice arena to see the
renovations when tours become possible.
Director Markle spoke of the renovations wrapping up and staff will look into providing a virtual
tour of the renovations.
City Manager Rodriguez gave a recap of discussion from the work session in that the city will
not pursue buying the Post 435 property; more research will be done to follow Director Markle’s
direction provided in the presentation; and avenues will be explored in partnering with the school
district in possibility of a new community center.
Director Stark explained how in initial conversations, the location at Veteran’s Park has been
eluded to a ‘campus’ with both private and public amenities. He spoke of looking at the whole site as a
puzzle in that all the smaller pieces need to fit together which includes both Veteran’s Park and the
surrounding buildings. He stated public engagement is extremely important but will be very difficult
due to the pandemic. Most engagements will need to be virtual and that does not fit the needs of all
the community members. He asked for ideas from staff and Council on how to be inclusive for as
many residents as possible.
Mayor Regan Gonzalez asked about Post 435 working with a potential developer to meet the
needs of the members.
Director Stark stated potential developers would like to see it as a cohesive picture. He spoke
of the desire to have the park amenities to be as or more available to residents and not have private
structures hinder that access.
Mayor Regan Gonzalez thanked everyone for attending and for the robust discussion
regarding the future of the community.
ADJOURNMENT
The work session was adjourned by unanimous consent at 6:47 p.m.
Date Approved: January 26, 2021
Maria Regan Gonzalez
Mayor
Kelly Wynn Katie Rodriguez
Senior Office Assistant City Manager
CALL TO ORDER
The meeting was called to order by Mayor Maria Regan Gonzalez at 7:00 p.m. via WebEx.
Council Members Maria Regan Gonzalez, Mayor; Ben Whalen; Mary Supple; Simon Trautmann;
Present: and Sean Hayford Oleary
Staff Present: Katie Rodriguez, City Manager; Pam Dmytrenko, Assistant City Manager; Mary
Tietjen, City Attorney; Chris Regis, Finance Director; Wayne Kewitsch, Fire
Chief; Mike Dobesh, Assistant Fire Chief; Jenell Wood, Battalion Fire Chief; Jane
Skov, IT Manager; Blanca Martinez Gavina, Executive Analyst; and Kelly Wynn,
Senior Office Assistant
Others Present: Heather Eastlund, Human Rights Commission Chair
PLEDGE OF ALLEGIANCE
Mayor Regan Gonzalez led the Pledge of Allegiance
OPEN FORUM
Senior Office Assistant Wynn reviewed the options to participate:
• Participate live by calling 612-861-0651 during the open forum portion
• Call prior to meeting 612-861-9711
• Email prior to meeting kwynn@richfielmn.gov
Senior Office Assistant Wynn stated there were no comments or callers.
APPROVAL OF MINUTES
CITY COUNCIL MEETING MINUTES
Richfield, Minnesota
Regular Council Meeting
Virtual Meeting held via WebEx
January 12, 2021
Council Meeting Minutes -2- January 12, 2021
M/Supple, S/Whalen to approve the minutes of the (1) Special City Council Meeting of
November 30, 2020; (2) City Council Work Session of December 8, 2020; and (3) City Council Meeting
of December 8, 2020.
Executive Analyst Martinez Gavina took roll call vote:
Regan Gonzalez: AYE
Supple: AYE
Trautmann: AYE
Hayford Oleary: AYE
Whalen: AYE
Motion carried 5-0
Item #1
PRESENTATION OF THE HUMAN RIGHTS COMMISSION ANNUAL REPORT
Chair Eastlund explained how the pandemic impacted many of their events including but not
limited to the cancellation of Penn Fest and delay of the Citizen Award. She spoke of being hopeful to
seeing somewhat of a more normal scene in 2021. The commission worked with Richfield Towers to do
outreach where they were able to cater in food and spoke about the Census and other resources for
residents. They also put together three proclamations recognized by Council (1) LGTBQIA; (2)
Americans with Disabilities Act; and (3) 100th Anniversary of the 19th Amendment. She stated the
commission is looking forward to working with the new Equity and Inclusion Administrator as they
spend much of their time around diversity, equity and inclusion.
Council Member Supple thanked Chair Eastlund and all the commission members for their
passion and enthusiasm.
Council Member Whalen clarified William Green will be the new Equity and Inclusion
Administrator starting in January. He expressed gratitude to see the commission already gearing up for
his arrival. He stated appreciation to the commission for asking the hard questions and the willingness
to dive in.
Mayor Regan Gonzalez spoke of how thankful she was to see the commission adapting to the
change and show such leadership during this time. She will be looking to all the commission to be
bridge between community, Council and staff. She believed the commission is building strong
foundations and is helping lead into the future.
Item #2
PRESENTATION OF SWEARING-IN OF COUNCIL MEMBERS ON JANUARY 11,
2021
A video was played containing the swearing-in of Council Member Whalen, Trautmann and
Hayford Oleary that took place on Monday, January 11, 2021 in Council Chambers.
Council Meeting Minutes -3- January 12, 2021
Council Member Trautmann stated how it is a privilege to serve the city, take an oath to support
the constitution and have a common cause even when opinions are so different. He also encouraged
residents to reach out to their Council Members anytime.
Council Member Whalen welcomed Council Member Hayford Oleary and thanked residents for
their support in re-electing him. He spoke of the importance to uphold the constitution and democracy.
He appreciated everyone who continues to recognize the importance of democracy even in troubling
times.
Council Member Hayford Oleary stated he is excited to serve Richfield and be able to engage
more with residents.
Council Member Supple congratulated everyone.
Item #3
FIRE CHIEF WAYNE KEWITSCH CAREER RECOGNITION
City Manager Rodriguez spoke of the small ceremony the Richfield Fire Department put on to
recognize badging’s of new firefighters, promotions and honoring the career of Chief Kewitsch. She
explained what a legacy Chief Kewitsch is leaving and personally thanked him for his leadership and
friendship.
Assistant City Manager Dmytrenko expressed gratitude for over twenty years of work from Chief
Kewitsch and what a wonderful person and leader he was for the city. She wished him happiness and
health going forward.
Fire Chief Kewitsch thanked staff and Council for all the support. He stated how firefighters are
in the business of being with people on the worst day of their life and the mission comes first.
Senior Assistant Wynn expressed her gratitude for being able to work with Chief Kewitsch and
the amazing team he has built.
A video was played containing clips from the badging ceremony and recognition of Fire Chief
Wayne Kewitsch’s career from Monday, January 11, 2021 as he is leaving the Fire Department.
Council Member Supple gave best wishes and thanked Chief Kewitsch for everything he has
done for the community and how he had always been the calm voice of reason.
Council Member Whalen spoke of Chief Kewitsch’s reliable leadership for the city and wished
him well for whatever comes next.
Council Member Trautmann thanked Chief Kewitsch and wished him blessings on his life. He
expressed gratitude for him and all the firefighters. He stated Chief Kewitsch was a leader among
leaders due to his integrity and ability to communicate essentials with grace and humility.
Chief Kewitsch stated he was truly blessed to work for the City of Richfield for over twenty
years. He spoke of how much he loved his job and was so fortunate to feel this way while leaving a job.
Council Meeting Minutes -4- January 12, 2021
Council Member Trautmann explained how the Richfield Fire Department has been an
instrumental part of his life and how they bring health, life and safety every day to the community. He
stated how Chief Kewitsch’s body of work can literally be translated into lives saved.
Mayor Regan Gonzalez spoke of how fortunate she was to be able to attend the ceremony. She
stated what an incredible foundation Chief Kewitsch had built over the years and how he is absolutely
one of Richfield’s biggest heroes. He has been a shining example of steady leadership and guidance.
Item #4
APPROVAL OF THE AGENDA
M/Whalen, S/Trautmann to approve the agenda
Executive Analyst Martinez Gavina took roll call vote:
Regan Gonzalez: AYE
Supple: AYE
Trautmann: AYE
Hayford Oleary: AYE
Whalen: AYE
Motion carried 5-0
Item #5
CONSENT CALENDAR
City Manager Rodriguez presented the consent calendar.
A. Continue a public hearing to consider the approval of a resolution regarding the modification
of the Redevelopment Plan for the Richfield Redevelopment Project Area, the establishment of the
2020-2 Tax Increment Financing District: Emi (a redevelopment tax increment financing district), and
the proposed adoption of a Tax Increment Financing Plan. Staff Report No. 01
B. Consider approval of a Joint Powers Agreement between the City of Richfield and the
Metropolitan Council (Metro Transit) for construction of the D Line Bus Rapid Transit Project. Staff
Report No. 02
RESOLUTION NO. 11812
RESOLUTION AUTHORIZING JOINT POWERS AGREEMENT
FOR THE METRO TRANSIT D LINE PROJECT
C. Consider the first reading of an ordinance amending City Code Subsection 721.03 related to
connections and discharges to the stormwater system and schedule a second reading for January 26,
2021. Staff Report No. 03
D. Consider resolutions designating official depositories for the City of Richfield for 2021,
including the approval of collateral. Staff Report No. 04
Council Meeting Minutes -5- January 12, 2021
RESOLUTION NO. 11813
RESOLUTION DESIGNATING CERTAIN FINANCIAL
INSTITUTIONS AS DEPOSITORIES FOR THE INVESTMENT OF
CITY OF RICHFIELD FUNDS IN 2021
RESOLUTION NO. 11814
RESOLUTION DESIGNATING CERTAIN SAVING AND LOAN ASSOCIATIONS,
BANKS AND CREDIT UNIONS AS DEPOSITORIES FOR THE DEPOSIT AND INVESTMENT OF
CITY FUNDS IN 2021
RESOLUTION NO. 11815
RESOLUTION DESIGNATING U.S. BANK
A DEPOSITORY OF FUNDS OF THE CITY OF RICHFIELD
FOR THE YEAR 2021
E. Consider a resolution authorizing the use of credit cards by City employees otherwise
authorized to make purchases on behalf of the City. Staff Report No. 05
RESOLUTION NO. 11816
RESOLUTION AUTHORIZING THE USE OF CREDIT CARDS BY CITY EMPLOYEES OTHERWISE
AUTHORIZED TO MAKE PURCHASES ON BEHALF OF THE CITY OF RICHFIELD FOR THE YEAR
2021
F. Consider approval to designate an Acting City Manager for 2021. Staff Report No. 06
M/Supple, S/Whalen to approve the consent calendar.
Council Member Whalen encouraged residents to listen to the work session from December
about the D-line transit. He stated it is the most highly used bus routes and is excited to see that
improved through Richfield.
Executive Analyst Martinez Gavina took roll call vote:
Regan Gonzalez: AYE
Supple: AYE
Trautmann: AYE
Hayford Oleary: AYE
Whalen: AYE
Motion carried 5-0
Item #6
CONSIDERATION OF ITEMS, IF ANY, REMOVED FROM CONSENT
CALENDAR
Council Meeting Minutes -6- January 12, 2021
None
Item #7
CONSIDER THE DESIGNATION OF A MAYOR PRO TEMPORE FOR 2021.
STAFF REPORT NO. 08
Mayor Regan Gonzalez read staff report 08 and thanked Council Member Trautmann for
performing as the 2020 Mayor Pro Tempore and appointed Council Member Supple to resume duties
for 2021.
Council Member Trautmann thanked Mayor Regan Gonzalez for her continued leadership and
was grateful to have the opportunity to serve as Mayor Pro Tempore.
Mayor Regan Gonzalez expressed the importance of rotating the position through Council.
M/Regan Gonzalez, S/Whalen to approve the City Council designation of a Mayor Pro Tempore
for 2021 as Council Member Mary Supple.
Executive Analyst Martinez Gavina took roll call vote:
Regan Gonzalez: AYE
Supple: AYE
Trautmann: AYE
Hayford Oleary: AYE
Whalen: AYE
Motion carried 5-0
Item #8
CONSIDER CONFIRMATION OF THE APPOINTMENT OF MIKE DOBESH TO
FIRE CHIEF/FIRE SERVICES DIRECTOR FOR THE CITY OF RICHFIELD.
STAFF REPORT NO. 09
Council Member Whalen read staff report 09.
M/Whalen, S/Supple to confirm the appointment of Mike Dobesh to Fire Chief/Fire Services
Director for the City of Richfield.
Mayor Regan Gonzalez stated how lucky the city and department are to have Assistant Fire
Chief Mike Dobesh.
Council Member Trautmann spoke of how Assistant Chief Dobesh could be chief in a lot of
cities and how fortunate Richfield is to have him.
Assistant Chief Dobesh thanked everyone for the support.
Council Meeting Minutes -7- January 12, 2021
Executive Analyst Martinez Gavina took roll call vote:
Regan Gonzalez: AYE
Supple: AYE
Trautmann: AYE
Hayford Oleary: AYE
Whalen: AYE
Motion carried 5-0
Item #9
CITY MANAGER REPORT
City Manager Rodriguez stated the city is implementing a new process of answering questions
or concerns brought forth in the previous open forum. Questions were brought up about the 2021
budget from Richfield resident Kathleen Balaban. The city responded how staff tries very hard to
balance a strong budget. The expenditures that were in question were deemed essential as a truck at
Public Works needed replacement and renovations to the Wood Lake Lift Station will assist with the
constant flooding. Other expenditures regarding employee reimbursement for cell phone use is a new
normal with remote working. She then provided a brief COVID update including a drop in cases and
deaths along with vaccines being rolled out to front line works and first responders. The city will be in
contact when vaccines are available for the general public. She also spoke of the new Equity and
Inclusion Administrator, William Green, starting January 19th.
Item #10
CLAIMS AND PAYROLL
M/Supple, S/Trautmann that the following claims and payrolls be approved:
U.S. Bank 12/22/2020
A/P Checks 293025 - 293437 $ 1,635,486.53
Payroll: 158675 – 158950 43269 - 43390 686,632.50
TOTAL $ 2,322,119.03
U.S. Bank 01/12/2021
A/P Checks 293438 - 293910 $ 2,227,727.76
Payroll: 158951 - 159502 1,346,960.68
TOTAL $ 3,574,688.44
Executive Analyst Martinez Gavina took roll call vote:
Regan Gonzalez: AYE
Supple: AYE
Trautmann: AYE
Hayford Oleary: AYE
Whalen: AYE
Council Meeting Minutes -8- January 12, 2021
Motion carried 5-0
Item #11
HATS OFF TO HOMETOWN HITS
Council Member Hayford Oleary spoke of seeing on social media how residents are supporting
each other and local businesses and sharing good experiences.
Council Member Trautmann reminded residents Wood Lake Nature Center is offering cross
country skiing rentals via reservation. He again thanked Chief Kewitsch for his service and welcomed
Chief Dobesh to his new role.
Council Member Whalen spoke of the meeting from Monday, January 11, 2021 where Council
met virtually with Legislators to discuss city priorities. He congratulated Representative Emma
Greenman on her appointment.
Council Member Supple thanked the community for continuing to wear masks along with staff
for pivoting and being able to provide services for residents and for Public Works keeping the streets
clear. She encouraged residents
Mayor Regan Gonzalez expressed excitement to see the transition in leadership at the Richfield
Fire Department and how grateful the department has been to have Chief Kewitsch. She also stated
the Richfield Ice Arena is open by reservation and encouraged residents to get over and skate.
Item #12
ADJOURNMENT
The meeting was adjourned by unanimous consent at 8:18 p.m.
Date Approved: January 26, 2021
Maria Regan Gonzalez
Mayor
Kelly Wynn Katie Rodriguez
Senior Office Assistant City Manager
AGENDA SECTION:CONSENT CALENDAR
AGENDA ITEM #3.A.
STAFF RE P ORT NO. 10
CIT Y COUNCIL ME E T ING
1/26/2021
RE P O RT P RE PA RE D B Y: S cott K ulzer, A dministrative A ide/A nalyst
D E PA RTME NT D IRE C TO R RE V IE W: K ristin A sher, P ublic Works D irector
1/19/2021
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: K atie Rodriguez, C ity Manager
1/20/2021
I T E M F O R C O UNC IL C O NS ID E RAT I O N:
Consider the adoption of resolutions authorizing the:
1. Joint Powers Agreement between the Metropolitan Airports Commission and the City of
Richfield for the ownership and maintenance of 77th Street Underpass improvements; and
2. Temporary Easement Agreement between the Metropolitan Airports Commission and the City of
Richfield for property located near 77th Street and Longfellow Avenue.
E X E C UT IV E S UM M ARY:
As part of the 77th Street Underpass project, certain joint powers agreements and temporary
easements must be entered into for purposes of infrastructure ownership and construction.
Joint Powers Agree me nt
The J oint Powers Agreement clearly states the ownership and maintenance responsibilities of each party as it
relates to the 77th Street Underpass project. Generally speaking, the agreement provides for:
Richfield procuring plans and specifications for the project;
Richfield letting the project, entering into the construction contract, and paying the contractor; and
Richfield constructing the project with MnD OT coordination.
Maintenance
Maintenance duties are as follows:
MA C will assume maintenance responsibilities for the portion of roadway and utility improvements that
fall on their property as detailed in Exhibit D;
MA C will pay all monthly electrical service expenses necessary to operate the lighting facilities on their
property;
Richfield will assume maintenance responsibilities for the portion of roadway and utility improvements
that fall West of MA C property as detailed in Exhibit D; and
Richfield will pay all monthly electrical service expenses necessary to operate the lighting facilities
West of MA C property.
Temporary Ease me nt
Temporary easements are often needed in order to implement major infrastructure projects and
facilitate the construction thereof. T his temporary easement will allow for the construction of the 77th
Street Underpass by permitting the City and its employees, agents, and contractors, to enter the
Temporary Easement upon the MAC property and to build the project.
T he language in the Temporary Easement is pretty standard with the exception of Richfield being
responsible for any environmental remediation needed on MAC property due to the project. Staff
intends to negotiate to share this responsibility with MnDOT via the future cooperative construction
agreement before the project begins.
RE C O M M E ND E D AC T I O N:
By motion: Adopt the resolutions authorizing the :
1. Joint Powers Agreement between the Metropolitan Airports Commission and the City of
Richfield for the ownership and maintenance of 77th Street Underpass improvements; and
2. Temporary Easement Agreement between the Metropolitan Airports Commission and the City of
Richfield for property located near 77th Street and Longfellow Avenue.
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
See executive summary.
B.P OL IC IE S (resolutions, ordinances, regulations, statutes, etc):
Minnesota Statutes, section 471.59 authorizes governmental units to enter into J oint Power
Agreements.
These agreements must be in place as we move towards the letting phase of the project this
spring.
C.C R IT IC AL T IMIN G IS S U E S:
Adoption of the J PA and Temporary Easements at the J anuary 26, 2021 Council meeting will
keep the project on track for letting in early 2021 and the commencement of construction in
Spring 2021.
Technical edits or corrections to the J PA and temporary easement being considered are possible
due to minor differences in language between Richfield's versions and MA C's versions.
All substantive provisions of these agreements have been negotiated and are agreed upon by both
parties but the City and MA C are working towards the final "clean" versions of the agreements.
D.F IN AN C IAL IMPAC T:
The City will pay the Metropolitan Airports Commission $50,000 for the temporary easement.
E.L E GAL C ON S ID E R AT ION:
The City Attorney will be available at the meeting to answer questions.
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:
None
AT TAC H ME N T S:
D escription Type
Richfield - M A C J oint P owers A greement C ontract/A greement
J PA E xhibit A F inal L ayout E xhibit
J PA E xhibit B E xhibit
J PA E xhibit C E xhibit
J PA E xhibit D Maintenance Responsibilities E xhibit
Joint P owers A greement Resolution Resolution L etter
Temporary E asement A greement C ontract/A greement
Temporary E asement E xhibit A E xhibit
Temporary E asement Resolution Resolution L etter
JOINT POWERS AGREEMENT BETWEEN THE METROPOLITAN AIRPORTS
COMMISSION AND THE CITY OF RICHFIELD FOR THE OWNERSHIP AND
MAINTENANCE OF 77TH STREET UNDERPASS IMPROVEMENTS
THIS JOINT POWERS AGREEMENT (“Agreement”) is made this ___ day of
_______________, 2021 by and between the Metropolitan Airports Commission, a public
corporation of the State of Minnesota organized and existing under Minnesota Statutes, section
473.601, et seq. (“MAC”), and the City of Richfield, a Minnesota municipal corporation
(“Richfield”), pursuant to Minnesota Statutes, section 471.59. MAC and Richfield are
collectively referred to as the “Parties.”
RECITALS
WHEREAS, under Minn. Stat. 471.59, the Parties are empowered to engage in such
agreements as are necessary to exercise their powers; and
WHEREAS, Richfield desires to perform grading, paving, drainage, signing, lighting,
retaining wall, bridge, trail and sidewalk construction and other construction associated with the
improvement of existing portions of 77th Street within the corporate city limits of Richfield and
upon property owned by MAC (PID’s 36-028-24-33-0001, 36-028-24-33-0002 and 36-028-24-
33-0003) and the establishment and construction of the 77th Street underpass connecting the
existing portions of 77th Street identified above and traveling through the easement area for State
Trunk Highway 77, as depicted in the 77th Street improvements layout attached hereto as
Exhibit A (the “Project”); and
WHEREAS, MAC will issue to Richfield a Temporary Easement for construction on
MAC-owned property, which outlines specific requirements and details related to the Project, a
copy of which is attached as Exhibit B;
WHEREAS, Richfield and the State of Minnesota (“State”) will enter into a separate
Cooperative Agreement to provide for the construction of the improvements, a copy of which
will be attached hereto as Exhibit C and the terms of which are incorporated herein; and
WHEREAS, Richfield has prepared plans and specifications with regard to the Project
(“Plans”); and
WHEREAS, Richfield, MAC and the Minnesota Department of Transportation
(“MnDOT”) agree that there is justification and it is in the public’s best interest to improve the
existing portions of 77th Street and to establish and construct the 77th Street underpass in
accordance with the Plans, and it is consistent with long-term plans to address regional traffic
congestion near the Minneapolis - St. Paul International Airport; and
WHEREAS, Richfield will undertake the process of procuring the contract for the
construction of the Project and subsequently paying the contractor pursuant to the awarded
construction contract, and MnDOT will provide construction engineering services in accordance
with the Cooperative Agreement; and
2
WHEREAS, the Parties will share in the ownership and maintenance responsibilities for
the Project subsequent to the completion of construction as hereinafter set forth; and
NOW, THEREFORE, in consideration of the foregoing and other good and valuable
consideration, the receipt and sufficiency of which is hereby acknowledged, the Parties agree as
follows:
ARTICLE I
THE AGREEMENT
Section 1.1. Purposes. The purpose of this Agreement is to define the ownership and
maintenance responsibility of the Parties subsequent to the completion of the construction of the
Project.
Section 1.2. Cooperation. Richfield and MAC shall cooperate and use their best efforts
to ensure the most expeditious implementation of this Agreement. The Parties agree in good
faith to undertake resolution of disputes, if any, in an equitable and timely manner. The Project
will be open to inspection by duly authorized representatives of Richfield at any time during
normal business hours.
Section 1.3. Recitals. The above recitals are true and correct as of the date hereof and
constitute a part of this Agreement.
Section 1.4. Enabling Authority. Minnesota Statutes, section 471.59, authorizes two or
more governmental units to jointly exercise any power common to the contracting Parties.
ARTICLE II
CONSTRUCTION BY RICHFIELD
Richfield will construct the Project in accordance with the approved Plans. MAC has no
monetary responsibilities with regard to construction or oversight of the Project.
Richfield shall provide MAC with plans and specifications for the Project with ample
time for review by engineering, maintenance and trades staff. MAC shall have the opportunity to
object to markings, details, fixtures, colors, and materials that do not match existing or do not
meet MAC standards for Design and Construction.
MAC shall have the opportunity to field verify installations prior to assuming ownership
on a timeline determined by MAC.
Richfield shall provide MAC with a copy of all as-builts/record drawings along with
O&M manuals for all infrastructure expected to be maintained by MAC.
ARTICLE III
3
MAINTENANCE AND OWNERSHIP PROVISIONS
Section 3.1. Maintenance and Ownership by MAC. Upon completion of the Project,
MAC shall provide for the maintenance of 77th Street, including the roadway, sidewalks,
lighting, retaining walls, and all of the facilities located within the area depicted in the attached
Exhibit D (“MAC Maintenance Area”) at its own expense. Maintenance includes, but is not
limited to, debris removal, resurfacing and seal coating, pavement markings and any other
maintenance activities necessary to perpetuate the roadway, sidewalks, lighting, retaining walls
and all other facilities a part of the roadway in a safe and usable condition.
Upon completion of the lighting facilities construction to be performed within the area depicted
and identified in Exhibit D , MAC will become the owner of and provide for the proper
maintenance of those facilities. Maintenance includes but is not limited to; replacing faulty
luminaires and knocked down or otherwise damaged poles; repairing or replacing underground
facilities and wiring; repairing service cabinets, photocells, and all other miscellaneous hardware
to keep the lighting facilities in working order; cleaning and relamping the luminaires; and
painting the lighting facilities. MAC will pay all monthly electrical service expenses necessary to
operate the lighting facilities.
Richfield shall facilitate the transfer of MAC ownership and maintenance requirements for the
trail to the Three Rivers Park District on behalf of MAC.
Section 3.2. Maintenance and Ownership by Richfield. Upon completion of the
Project, Richfield shall provide for the maintenance of 77th Street, including the roadway, storm
sewer, trails, sidewalks, lighting, retaining walls, and all of the facilities located to the west of
the MAC Maintenance Area and within the city limits of Richfield, as depicted in the attached
Exhibit D (“City Maintenance Area”), at its own expense. Maintenance includes, but is not
limited to, snow, ice and debris removal, resurfacing and seal coating, pavement markings and
any other maintenance activities necessary to perpetuate the roadway, storm sewers, trails,
sidewalks, lighting, retaining walls and all other facilities a part of the roadway in a safe and
usable condition.
Upon completion of the lighting facilities construction to be performed to the west of the MAC
Maintenance Area and within the city limits of Richfield, Richfield will become the owner of
and provide for the proper maintenance of those facilities. Maintenance includes but is not
limited to; replacing faulty luminaires and knocked down or otherwise damaged poles; repairing
or replacing underground facilities and wiring; repairing service cabinets, photocells, and all
other miscellaneous hardware to keep the lighting facilities in working order; cleaning and
relamping the luminaires; and painting the lighting facilities. Richfield will pay all monthly
electrical service expenses necessary to operate the lighting facilities. Richfield will be
responsible for the hook-up cost and application to secure an adequate power supply to the
service pad or pole.
Section 3.3. Additional Drainage. The Parties to this Agreement shall not drain any
4
additional drainage into the storm sewer facilities to be constructed under the construction
contract, that was not included in the drainage for which the storm sewer facilities were
designed, without first obtaining written permission to do so from the other Parties.
ARTICLE IV
INDEMNIFICATION
Section 4.1. The Richfield hereby agrees to indemnify MAC and hold MAC harmless
from any and all claims, causes of action, lawsuits, judgments, charges, demands, costs, and
expenses, including, but not limited to, interest involved therein and attorneys’ fees and costs and
expenses connected therewith, arising out of or resulting from the failure of Richfield to satisfy
the provisions of this Agreement or for damages caused to other parties as a result of the manner
in which Richfield fails to perform duties imposed by the terms of this Agreement. Under no
circumstance, however, shall Richfield be required to pay on behalf of itself and the other party
any amounts in excess of the limits on liability established in Minnesota Statutes, Chapter 466.
The limits of liability for the parties may not be added together to determine the maximum
amount of liability for either party.
ARTICLE V
AMENDMENT
Section 5.1. This Agreement sets forth all understandings of the Parties. All prior
agreements, understandings, representations whether consistent or inconsistent, verbal or written,
concerning this Agreement, are merged into and superseded by this written Agreement. No
modification or amendment to the Agreement shall be binding unless all Parties agree in writing
to the proposed change or amendment.
ARTICLE VI
MISCELLANEOUS
Section 6.1. Data Practices. The Parties agree to comply with the Minnesota
Government Data Practices Act, Minnesota Statutes, Chapter 13, as it applies to all data created,
collected, received, stored, used, maintained or disseminated and connected with or arising out of
the Agreement. If a party receives a request to release the data referred to in this section, it must
immediately notify all Parties.
Section 6.2. Counterparts. This Agreement may be executed simultaneously in two or
more counterparts, each of which will be deemed an original, but all of which together will
constitute one and the same instrument.
Section 6.3. Severability. In case any one or more of the provisions of this Agreement
shall be invalid, illegal, or unenforceable in any respect, the validity, legality and enforceability
of the remaining provisions contained in this Agreement will not in any way be affected or
impaired thereby.
5
Section 6.4. Governing Law. This Agreement shall be governed by and construed in
accordance with the laws of the State of Minnesota. Any disputes, controversies, or claims
arising out of this Agreement shall be heard in Minnesota state district or courts with the venue
being in Hennepin County, and the Parties waive any objection to the jurisdiction of these courts,
whether based on convenience or otherwise.
ARTICLE VII
TERMINATION
Section 7.1. Richfield may immediately terminate this Agreement if it does not obtain
funding from the federal government, the State, the County, or other funding source; or if
funding cannot be continued at a level sufficient to allow for the payment of the services covered
under this Agreement. Termination must be by written notice to MAC. Richfield is not obligated
to pay for services performed after notice and effective date of termination.
Section 7.2. This Agreement may be terminated by mutual agreement of the Parties.
6
IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be
executed by their respective duly authorized representatives.
CITY OF RICHFIELD
By:
Its: Mayor
Dated: , 2021
Attest:
By:
Its: City Manager
Dated: , 2021
METROPOLITAN AIRPORTS COMMISSION
By:
Its:
Dated: , 2021
Attest:
By:
Its:
Dated: , 2021
RICHFIELD, MN 55423
6700 PORTLAND AVE
CITY OF RICHFIELD
RICHFIELD, MN 55423
6700 PORTLAND AVE
CITY OF RICHFIELD
RICHFIELD, MN 55423
7629 BLOOMINGTON AVE S
MATTHEW AND SARAH KARNAS
BURNSVILLE, MN 55306
307 MAPLE ISLAND RD
76 & BLOOMINGTON LLC
RICHFIELD, MN 55423
6700 PORTLAND AVE
CITY OF RICHFIELD
RICHFIELD, MN 55423
6700 PORTLAND AVE
CITY OF RICHFIELD
RICHFIELD, MN 55423
1550 78TH ST E
ADLER GRADUATE SCHOOL
BLOOMINGTON, MN 55420
8713 DUPONT AVE S
494 BUILDING PARTNERSHIP LLC
RICHFIELD, MN 55423
1620 78TH ST E
OLIN 2 LLC
RICHFIELD, MN 55423
1620 78TH ST E
C/O METRO SALES INC
JERRY E MATHWIG
RICHFIELD, MN 55423
6700 PORTLAND AVE
CITY OF RICHFIELD
55437
BLOOMINGTON, MN
4801 WEST 98TH ST
PHILO GEORGE
GEORGE PUTHUKULAM
55431
BLOOMINGTON, MN
8024 THOMAS AVE S
PROP LLC
WILLIAM MILTON
55431
BLOOMINGTON, MN
8024 THOMAS AVE S
PROP LLC
WILLIAM MILTON
CARROLLTON, TX 75007
4001 INTERNATIONAL PKWY
G6 HOSPITALITY PROP LLC
55437
BLOOMINGTON, MN
4801 98TH ST W
7600 CEDAR AVE LLC
MINNEAPOLIS MN 55450
6040 28TH AVE S
METRO AIRPORT COMMISSION
MINNEAPOLIS MN 55450
6040 28TH AVE S
METRO AIRPORT COMMISSION
SPEED
EX
MPH
SPEED
DESIGN
MPH
30 30
Frontage Road
SPEED
EX
MPH
SPEED
DESIGN
MPH
40 40
Ramp 1H
BEGIN CONSTRUCTION
STA 110+06.22
FRONTAGE ROAD
END CONSTRUCTION
BEGIN CONSTRUCTION
END CONSTRUCTION
END CONSTRUCTION
END CONSTRUCTION
END CONSTRUCTION
BEGIN CONSTRUCTION
END CONSTRUCTION
EXIST BRIDGE NO. 27070
EXIST BRIDGE NO. 27053
PROP BRIDGE NO.27R35
PROP BRIDGE NO.27R37
PROP BRIDGE NO.27R38
PROP BRIDGE NO.27R36
BEGIN CONSTRUCTION
BEGIN CONSTRUCTION
0 50 FT 100 FT
77TH Street Improvements
12'40'REX 15.5'LANE
EX 18'LANE
EX 19.5'25'R ON LOOP 1W
EXISTING RAMP METERS
8' TRAIL 1:5WALL 2
26'1:4016.5'RAMP METERS
EXISTING AND PROPOSED1:35 LANE TAPERWALL 1
CITY OF RICHFIELD
COMMISSION
METROPOLITAN AIRPORTS
HENNEPIN COUNTY
494
INTERSTATE
175'R
29'22'
18'
3
0'R30'R
EX 19.5'EX 19.5'EX 19.5'12'LANE6' SHLD12'LANE12'LANE8' SHLD6' SHLD6' SHLD12'LANE12'LANE11'SHLD10'TRAIL W/ 2' BLVD & 2' TREATMENT
31'
10' TRAIL
2' TREAMENTW/2' BLVD
W/ 2' BLVD 1:10
1:10
1:10 1:15 SHLD1:15 SHLD16'1 :1 5 S HL D1:1
5 S
H
L
D1:15 SHLD16'1:10
6'WALK
1:40
1:40
1:40
1:40
(CENTERPOINT ENERGY)
PRESSURE GASMAIN
EXISTING 20" HIGH
(CENTERPOINT ENERGY)
PRESSURE GASMAIN
EXISTING 20" HIGH
(CENTERPOINT ENERGY)
PRESSURE GASMAIN
EXISTING 20" HIGH
REPLACEMENT CORRIDOR 20" OR 24"
PROPOSED HIGH PRESSURE STEEL GASMAIN
REPLACEMENT CORRIDOR 20" OR 24"
PROPOSED HIGH PRESSURE STEEL GASMAIN
REPLACEMENT CORRIDOR 20" OR 24"
PROPOSED HIGH PRESSURE STEEL GASMAIN
TH77 NB (MATCH EXIST ACROSS ROAD)EX 8'EX 15'EX 16'4
5'R50'R
7'BLVD1:50 SHLD TAPER40'R300'-12'LTL
10'TRAIL
13'THRU LANE
12'THRU LANE
11'THRU LANE
11'THRU LANE
WALL 3
13'THRU LANE
PROPOSED NOISE WALL 13'THRU LANE
FINAL LAYOUT
RICHFIELD PARKWAY
77TH ST WB
77TH STREET
END S.P. 157-108-035
BEGIN S.P. 157-108-035
77TH STREET
RAMP 1H
FRONTAGE ROAD
77TH ST WB
TH77
BEGIN S.P. 2758-82
END S.P. 2758-82
TH77
RAMP 1G
TH77 NB (MATCH EXIST)
RAMP 1H
RAMP 1G
77TH ST
6' BLVD 10'TRAIL W/ 2' BUFFER AND 2' CLR ZONE24' ROADWAY (FACE TO FACE)1:1
5 S
H
L
D
DECEMBER 2020
PROPOSED NOISE WALL
12'THRU LANE
6'WALK
W/ 2' BLVD
12'LANEWALL 5VAR.8'8'VAR.VAR.40'R
2
5'R1:30W/ 2' BLVD6'WALK
13'THRU LANE11'THRU LANE11'THRU LANE
10'TRAIL
300'-12'LTL
11'THRU LANE
13'THRU LANE 10' PARKING13'LANE10' TRAIL1:513'LANE6' WALK40'R7'BLVD
6'WALK
12'THRU LANE
13'THRU LANEEX 14'LANE
EX 13'LANE
EX 14'LANE
EX 13'LANE 8'VAR.22'12'9'14' THRU LANE18' THRU LANEWALL 412'LANE10'SHLD12'LANE6'SHLD6'SHLD10'SHLD16'LANE16'LANEVAR. MEDIAN6'MEDIAN12'LANE12'LANE6' SHOULDER8'8'16'LANE VAR.VAR.1:25 SHLD
TH 7
7
N
B
A
D
T
6
7
0
0
0
(
2
0
1
5
)TH 77 SB ADT 67000 (2015)AIRPORTINTERNATIONALMPLS/ST. PAUL
RAMP 1P ADT 4,900 (6,700)494 ADT 146000 (XXXX)RAMP 1G ADT 5,600 (6,600)SPEED
POSTED
MPH
SPEED
DESIGN
MPH
Trunk Highway 77
2020 AADT = 67,900
2040 AADT = 75,000
(3.0%)
2040 HCAADT = 2,7005570
SPEED
POSTED
MPH
SPEED
DESIGN
MPH
77th Street
2020 AADT = 12,500
2040 AADT = 13,850
(3.6%)
2040 HCAADT = 5004040
BLOOMINGTON AVE S76TH ST
FRONTAGE RD
RAMP 1H RAMP 1YOLD CEDAR AVELONGFELLOW AVE18TH AVE S17TH AVE SMINNESOTA
77
LOOP W-S
NE CIRCLE
RAM P 1H L
O
O
P
1W
RA
MP 1G
R
A
MP 1
G
RAMP 1
FRAMP 1YARAMP 1VRAMP 1HConcrete Curb & Gutter / Median
Pond
Turf Establishment
Bituminous Roadway
Concrete Roadway
Permanent Easement
Bridges and Walls
Shoulders (Paved)
Inplace ROW
Prop ROW
Trail
Sidewalk
Temporary Easement
SPEED
EX
MPH
SPEED
DESIGN
MPH
35 35
Ramp 1G
Legend
Noise Wall
EXTENSION
FUTURE PARKWAY
{ RICHFIELD PARKWAY
CITY BOUNDARY
EXHIBIT A
TEMPORARY EASEMENT AGREEMENT
METROPOLITAN AIRPORTS COMMISSION
FOR PROPERTY LOCATED NEAR 77TH STREET AND LONGFELLOW AVENUE
This Temporary Easement is granted this _____ day of ____________, 2021, by the METROPOLITAN AIRPORTS
COMMISSION, a public corporation organized and operated pursuant to the laws of the State of Minnesota, (“Grantor”), to the CITY
OF RICHFIELD, a Minnesota municipal corporation ("Grantee"), in accordance with the conditions herein described.
(1) Recitals.
WHEREAS, Grantor is the owner of a certain tract of land located within Hennepin County in the State of Minnesota, known
as Minneapolis – Saint Paul International Airport, (“MSP Airport”); and
WHEREAS, Grantee proposes to construct a 77th Street connection under Trunk Highway 77 (“Project”) consistent with long-
term plans to address regional traffic congestion near the MSP Airport. Portions of the Project will be located on property owned and
maintained by the Metropolitan Airports Commission (MAC); and
WHEREAS, Grantor and Grantee are parties to a Joint Powers Agreement regarding the Project; and
WHEREAS, Grantee wants to begin construction of the Project as soon as possible; and
WHEREAS, Grantee has requested, and Grantor has agreed to grant this Temporary Easement over and across portions of the
MSP Airport for the installation of the Project. The area in which this Temporary Easement is allowed shall be as directed by the
Grantor and is generally shown on Exhibit A (the “Property”); and
WHEREAS, the Grantor has determined that the authorized uses of this Temporary Easement would not interfere with the
operations at MSP Airport.
EXHIBIT B
NOW, THEREFORE, for good and valuable consideration, Grantor hereby grants and conveys this Temporary Easement to
the Grantee for the purposes of allowing the proposed work to be conducted on the Project. The requirements and conditions for this
Temporary Easement are stated herein.
(2) Scope and Terms of Temporary Easement.
(a) This Temporary Easement is granted upon receipt of $50,000 to the Grantee.
(b) Grantor hereby issues to the Grantee this Temporary Easement allowing the Grantee, and its employees, agents, and
contractors, to enter the Temporary Easement upon the Property and to perform the Project. Grantee will be installing a roadway and
improvements as part of the Project with the improvements on the Grantor’s Property given to Grantor for future maintenance.
Grantee will restore the remaining portions of the Property to the existing condition prior to commencement of the Project and grant of
this Temporary Easement, including complete turf re-establishment, all on the terms and conditions hereinafter set forth.
(c) The Property over which this Temporary Easement is granted is described and graphically shown on Exhibit A.
(d) This Temporary Easement is granted for no other purpose than for performing construction activities related to the Project,
including, but not limited to, surveying, staking, operation of construction equipment for grading work, utility work, construction of
the roadway connection, construction of the trail connection, and restoration of all disturbed areas of the Grantee's project. Installation
of other non-Project related utilities or other use of the area is prohibited.
(e) All costs associated with the Grantee’s Project, or work as defined in this Temporary Easement, shall be borne by the
Grantee.
(f) Grantee shall be responsible for obtaining all necessary permits from all applicable agencies prior to starting any
construction. Grantee shall supply Grantor with copies of all permits if requested by Grantor.
(g) The Grantee agrees to notify Grantor at least forty-eight (48) hours prior to entering the Property for any preliminary work,
start of construction, and completion of construction related to the Project. Grantee agrees to keep Grantor abreast of the construction
schedule for the Project on a weekly basis. Notification shall be made to Jennifer Gora, Project Manager at 612-726-5270, or
Jennifer.gora@mspmac.org .
(h) The Grantee agrees to maintain those portions of the Property under this Temporary Easement and all improvements
thereon in a neat and clean condition and in good repair, keeping the Grantor’s Property area free from debris and erosion. The
Grantee shall not suffer or permit any waste or nuisance on the Property and shall allow no illegal acts or conduct thereon or such as
will constitute a nuisance.
(i) The Grantee agrees that maintenance of the disturbed areas on the Property will continue until Grantor determines that the
areas have been fully restored in the same or better condition for any existing pavements, fence, gravel, turf, pavement markings, or
any other existing condition impacted by the Project. Grantee shall be responsible to protect any and all existing utilities.
(j) Grantor’s Property shall at all times be subject to regulations and restrictions imposed by the FAA that might interfere with
safe operations at MSP Airport. Grantor may require the removal or modification of any above ground object or structure if Grantor
believes that said object or structure violates applicable FAA regulations or interferes with operations at MSP.
(k) Grantee shall provide dust control with sweeping equipment kept on site at all times, to keep the Project site and adjacent
roads used for hauling materials free of debris so as to not cause impacts to MSP Operations, the traveling public or others. Grantee
shall minimize queueing of Project construction vehicles on the project site and adjacent roads such that there is no impact to the
MAC Operations, the traveling public or others using the roads adjacent to the Project area. Grantee shall provide access to MAC
utilities at all times. If there are any issues that arise from items in this Section, the Grantee shall be notified by the Grantor and rectify
the issue within 30 minutes for airfield operation impacts and within 60 minutes for landside operation impacts of being notified.
(3) Insurance.
Grantee shall (i) maintain insurance, a standard term policy or policies of insurance in amounts hereinafter set out against
public liability and property damage, including advertising and products liability, or (ii) provide self-insurance of equivalent
protection. Such policy or policies shall be in the amount of statutory limits provided by Minn. Stat. § 466.04, or as such statute may
be amended or modified from time to time. Such policy or policies shall provide for a minimum of thirty (30) days written notice of
cancellation.
Grantee shall cause its contractors performing work related to this Project, if any, to purchase insurance as set forth below,
providing protection from claims which may arise out of or result from the contractor’s operations under this Project and for which
contractor may be legally liable, whether such operations be by the contractor or by a subcontractor or by anyone directly or indirectly
employed by any of them, or by anyone for whose acts any of them may be liable:
(a) General Liability and Umbrella Insurance
i. Contractor shall maintain commercial general liability (CGL) on an occurrence form and, if necessary,
commercial umbrella insurance with a limit of not less than $2,000,000 each occurrence and a general aggregate
limit of not less than $4,000,000. The general aggregate limit shall apply separately to this Project.
ii. CGL insurance shall be written on ISO occurrence form CG 00 01 12 04 (or a substitute form providing
equivalent coverage) and shall cover liability arising from premises, operations, independent contractors,
products-completed operations, personal injury, advertising injury, contractual liability and Explosion,
Collapse, Underground (XCU).
iii. The Grantee, its Architect/Engineer, its officers, agents and employees, as well as the Grantor, its
Commissioners, officers and employees, shall be included as an additional insured under the CGL for ongoing
and completed operations, by endorsement (ISO Forms CG 20 10 07 04 and CG 20 37 07 04 or their
equivalent) and under the commercial umbrella, if any. This insurance shall be primary and non -contributory by
endorsement with respect to any other insurance or s elf-insurance programs afforded to Grantee and any
insurance or self-insurance afforded to Grantor. There shall be no endorsement or modification of the CGL to
make it excess over other available insurance.
(b) Automobile and Umbrella Liability Insurance
i. Contractor shall maintain Business Auto Coverage, ISO form CA 00 01 (1990 or later edition) and, if necessary,
commercial umbrella liability insurance, with a limit of not less than $1,000,000 each accident.
ii. Policy shall provide coverage for, without limitation, physical damage (comprehensive and collision), Liability,
PIP, and UM/UIM with statutory limits, for any vehicle (including owned, hired, and non-owned).
(c). The Grantee, its officers, agents and employees, as well as the Grantor, its Commissioners, officers and employees,
shall be included as an additional insured by endorsement, ISO Form CA 20 48 02 99 or equivalent.(c) Workers’
Compensation and Employers Liability
i. Workers’ Compensation shall be pursuant to Minnesota Statutes and shall contain a waiver or subrogation
against the Grantor by endorsement.
ii. Employers Liability with limits not less than $1,000,000 each accident for bodily injury by accident, $1,000,000
each employee for bodily injury by disease, $1,000,000 policy limit for bodily injury by disease.
(d) Contractor Pollution Liability
Contractor’s Pollution Liability - $2,000,000 per occurrence or per claim written on an occurrence basis. Covered
damages should include bodily injury, property damage, environmental damage, loss of use of property, governmental
ordered cleanup costs, completed operations and defense including costs, charges and expenses incurred in the
investigation, adjustment or defense of claims for damages. The policy or policies shall not co ntain dust exclusion.
Coverage shall also be provided for transport of waste and non-owned disposal sites, if contractor is disposing of waste.
Contractual liability shall be included. The Grantee and its officers and employees, as well as the Grantor, its
Commissioners, officers, agents and employees, shall be named as Additional Insured by endorsement for ongoing and
completed operations and a waiver of subrogation by endorsement will be provided in favor of the Grantee and
Grantor. The policy shall contain a three year extended reporting period.
(e) Other Insurance Provisions
i. Each insurance policy shall be endorsed to state that coverage shall not be suspended, voided, canceled or non-
renewed, except after thirty days’ prior written notice, has been given at the following addresses:
City of Richfield
Attn: Human Resources Manager
6700 Portland Avenue South
Richfield, MN 55423
Metropolitan Airports Commission
Attn: Insurance Risk Management
6040 28th Avenue South
Minneapolis, MN 55450
ii. In addition to notifying its insurer(s) in accordance with the policy, contractor shall provide prompt written
notice (to the address above) as soon as reasonably possible of any accident or loss relating to work performed
on behalf of the Grantee. Grantee shall notify the Grantor for the same.
iii. Each policy shall be endorsed to state that the insurer agrees to waive all rights of subrogation against the
Grantee and Grantor, its members, agents and employees, for losses arising out of the performance of the
Project.
iv. Insurance is to be placed with insurers with Best’s rating of no less than A: VII.
v. The certificates and endorsements for each insurance policy are to be signed by a person authorized by that
insurer to bind coverage on its behalf. All certificates and endorsements are to be receiv ed and approved by the
Grantee before work commences. Grantor is not obligated to review certificates or other evidence of insurance,
or advise of any deficiencies in such documents. The Grantor will have the right to examine any policy required
by this Temporary Easement.
(4) Bond.
Grantee shall require a payment and performance bond which shall cause its contractors performing work related to the Project
to faithfully complete the construction contract according to its terms and shall save the Grantor harmless from all costs and charges
that may accrue on account of the doing of the work. The bond shall pay all costs of enforcement of the terms of the bond, if action is
brought thereon, including reasonable attorney’s fees, costs, and disbursements, in any case in which such action is successfully
maintained or successfully appealed, and shall comply with the laws of the state appertaining to such contract, then this obligation
shall be void but otherwise it shall remain in full force and effect pursuant to Minnesota Statutes, Chapter 574.
(5) Compliance with Laws.
The Grantee shall comply with all laws, ordinances, rules and regulations of the United States of America, the State of
Minnesota, or of agencies, departments or divisions of (including but not limited to the Department of Health, Pol lution Control
Agency, Watershed Districts, etc.), or of the Grantor relating to the lands under this Temporary Easement and the use thereof or
relating to control of ground and air traffic, aircraft operations and the general use and operation of the Airport; and the Grantee shall
see to the payment of any and all taxes, assessments, fees or other charges that may be legally levied, assessed or made during the
term of this Temporary Easement or any extension thereof by reason of the use hereby permitted.
(6) Operations at MSP Airport.
(a) Height. The Grantee expressly agrees for itself, its successors and assigns to restrict the height of structures, objects of
natural growth, and other objects on the herein described real property to a height that will not constitute an obstruction as
determined by the standards in Federal Aviation Regulation, Part 77. The Grantee shall submit an FAA Form 7460-1 to the
FAA for airspace analysis.
(b) Lighting. Grantee agrees that no lights will be permitted or installed on the Property that would interfere with aircraft
or airport operations.
(c) Flight of Aircraft.
(i) The Grantee expressly agrees for itself, its successors and assigns to refrain from any use of the Property which
might interfere with or be a hazard to the flight of aircraft over the Property or to and from the MSP Airport, up to and
including uses that attract waterfowl or other types of birds.
(ii) Use of the Property hereunder and improvements made in furtherance of such use shall at all times comply with
clearance requirements under FAA regulations and state zoning requirements.
(7) Environmental Responsibilities.
(a) Grantee shall be responsible for and shall indemnify, defend and hold harmless Grantor against any environmental
costs associated with Grantor’s Property, which arise out of or were caused by Grantee’s actions , inactions, or activities related to the
Project during the term of this Temporary Easement, including but not limited to liabilities, fines, damages, injuries, response costs or
claims and attorney fees. Grantee’s grant of indemnity contained within this Section shall survive the termination of this Temporary
Easement.
(b) Grantee shall be responsible for removal or disposal required by federal, state, or local law of any hazardous materials
encountered on the Property as a result of Grantee’s activities herein. No mining of Grantor’s Property will be allowed.
(8) Grantor's Right of Entry onto Temporary Easement.
Grantor shall at all times and through its agents and employees or contractors have a right of entry upon the Property under this
Temporary Easement, as may be necessary in the development, maintenance, and operation of MSP Airport. Further, Grantor
reserves the right to install and maintain under the Property of this Temporary Easement such utility lines, conduits, pipes, pavements,
ditches and facilities as may be necessary to the development of MSP Airport.
(9) Without Prejudice.
It is understood that the granting and use of this Temporary Easement is conditioned upon and shall be without prejudice to the
rights of the Grantor as owner of the property.
(10) Civil Rights.
Grantee agrees to comply with pertinent statutes, Executive Orders and such rules as are promulgated to assure that no person
shall, on the grounds of race, creed, color, national origin, sex, age, or h andicap be excluded from participating in any activity
conducted on the Property.
(11) Indemnification.
Subject to the liability limits set forth in Minnesota Statutes, chapter 466, Grantee agrees to indemnify, hold harmless and
defend Grantor, its Commissioners, officers, directors, agents, and employees, from any claims, losses, costs, expense s, or damages
resulting from the acts or omissions of Grantee's (or transferee's) officers, agents, employees, contractors or subcontractors arisin g
from Grantee’s rights, actions and responsibilities under this Temporary Easement.
(12) Warranty of Title. The Grantor warrants it is the owner of the Property and has the right, title and capacity to convey to the
City the easement herein.
(13) Binding Effect. The terms and conditions of this instrument shall run with the land and be binding on the Grantor, its
successors and assigns.
(14) Term. This Temporary Easement shall expire and be of no further force or effect on December 31, 2023.
(15) Commitments to Federal and State Agencies. This Temporary Easement shall be subordinate to the provisions and
requirements of any existing or future agreement between Grantor and the United States relative to the development, operation or
maintenance of the MSP Airport.
IN WITNESS WHEREOF, the parties of this Agreement have hereunto set their hands on the dates written below:
METROPOLITAN AIRPORTS COMMISSION
By:
Its:
STATE OF _________________ )
)ss.
COUNTY OF _______________ )
The foregoing instrument was acknowledged before me this ____ day of _______________________, 2021, by Brian Ryks,
Executive Director/Chief Executive Officer of the METROPOLITAN AIRPORTS COMMISSION, a public corporation and political
subdivision of the State of Minnesota, on its behalf.
________________________________
Notary Public
GRANTEE:
CITY OF RICHFIELD
By: ________________________________
Maria Regan Gonzalez
Its: Mayor
By: ________________________________
Katie Rodriguez
Its: City Manager
STATE OF MINNESOTA )
) ss.
COUNTY OF HENNEPIN )
The foregoing instrument was acknowledged before me this ____ day of _______________________, 2021, by Maria Regan
Gonzalez and Katie Rodriguez, the Mayor and City Manager, respectively, of the CITY OF RICHFIELD, a Minnesota municipal
corporation, on its behalf.
__________________________________
Notary Public
EXHIBIT A
Temporary Easement Area Sketch
EXHIBIT C
FORTHCOMING CONSTRUCTION COOPERATIVE
AGREEMENT BETWEEN RICHFIELD & MNDOT
U
UU
M
RETENTION POND
BUS
SHELTERTANKTANK
E 535435U
MH
MH
MH
MH
MH
MH
GV
GV
GV
MH
MH
Existing Right of Way
Proposed Right of Way
Permanent Easement
Temporary Easement
Construction Limits
LEGEND
Maintenance Responsibility
MAC Ownership and
Maintenance Responsibility
Richfield Ownership and
Maintenance Responsibility
MnDOT Ownership and
maintenance responsibility
excluded from the City of Richfield's
Note: Wall and Bridge Structures are
0 60 FT30 FT
DATE: November 2020
S.P. 2758-82 (TH 77)
S.P. 157-108-035 (77TH STREET)
Exhibit D
Joint Powers Agreement
77th Street Underpass
TH 77 NBTH 77 SBLOOP 1WR
A
MP 1
G
(TYPICAL)
PROPOSED STORM SEWER
(TYPICAL)
PROPOSED SANITARY SEWER
CABLE (TYPICAL)
PROPOSED LIGHTING
(TYPICAL)
PROPOSED LIGHT
(TYPICAL)
HYDRANT / GATE VALVE
PROPOSED WATERMAIN (TYPICAL)
PROPOSED WATERMAIN
STRUCTURE (TYPICAL)
PROPOSED STORM SEWER
STRUCTURE (TYPICAL)
PROPOSED SANITARY SEWER
CASING (TYPICAL)
PROPOSED UTILITY
RAMP 1Y,1VBRIDGE 27R36
PROPOSED
BRIDGE 27R38
PROPOSED
BRIDGE 27R37
PROPOSED
MH
MH
MH
77TH ST
RESOLUTION NO.
RESOLUTION APPROVING THE JOINT POWERS AGREEMENT BETWEEN THE
METROPOLITAN AIRPORTS COMMISSION AND THE CITY OF RICHFIELD FOR
THE OWNERSHIP AND MAINTENANCE OF 77TH STREET UNDERPASS
IMPROVEMENTS
WHEREAS, the City Council of Richfield is the official governing body of the City
of Richfield, and the Metropolitan Airports Commission (MAC), is the governing body of
the Minneapolis – St. Paul International Airport. MAC and Richfield are collectively
referred to as the “Parties”; and
WHEREAS, Richfield desires to perform grading, paving, drainage, signing,
lighting, retaining wall, bridge, trail and sidewalk construction and other construction
associated with the improvement of existing portions of 77th Street within the corporate
city limits of Richfield and upon property owned by MAC and the establishment and
construction of the 77th Street underpass connecting the existing portions of 77th Street
identified above and traveling through the easement area for State Trunk Highway 77;
and
WHEREAS, under Minn. Stat. 471.59, the Parties are empowered to engage in
such Joint Powers Agreements as are necessary to exercise their powers; and
WHEREAS, the Parties will share in the ownership and maintenance
responsibilities for the Project subsequent to the completion of construction as set forth
in the Joint Powers Agreement.
NOW, THEREFORE, BE IT RESOLVED, by the City Council of the City of
Richfield, Minnesota that it hereby approves and adopts the Joint Powers Agreement
between the Metropolitan Airports Commission and the City of Richfield for the
ownership and maintenance of 77th Street Underpass Improvements.
Adopted by the City Council of the City of Richfield, Minnesota this 26th day of
January 2021.
______________________________
Maria Regan Gonzalez, Mayor
ATTEST:
_____________________________
Elizabeth VanHoose, City Clerk
TEMPORARY EASEMENT AGREEMENT METROPOLITAN AIRPORTS COMMISSION FOR PROPERTY LOCATED NEAR 77TH STREET AND LONGFELLOW AVENUE This Temporary Easement is granted this _____ day of ____________, 2021, by the METROPOLITAN AIRPORTS COMMISSION, a public corporation organized and operated pursuant to the laws of the State of Minnesota, (“Grantor”), to the CITY OF RICHFIELD, a Minnesota municipal corporation ("Grantee"), in accordance with the conditions herein described. (1) Recitals. WHEREAS, Grantor is the owner of a certain tract of land located within Hennepin County in the State of Minnesota, known as Minneapolis – Saint Paul International Airport, (“MSP Airport”); and WHEREAS, Grantee proposes to construct a 77th Street connection under Trunk Highway 77 (“Project”) consistent with long-term plans to address regional traffic congestion near the MSP Airport. Portions of the Project will be located on property owned and maintained by the Metropolitan Airports Commission (MAC); and WHEREAS, Grantor and Grantee are parties to a Joint Powers Agreement regarding the Project; and WHEREAS, Grantee wants to begin construction of the Project as soon as possible; and WHEREAS, Grantee has requested, and Grantor has agreed to grant this Temporary Easement over and across portions of the MSP Airport for the installation of the Project. The area in which this Temporary Easement is allowed shall be as directed by the Grantor and is generally shown on Exhibit A (the “Property”); and WHEREAS, the Grantor has determined that the authorized uses of this Temporary Easement would not interfere with the operations at MSP Airport.
NOW, THEREFORE, for good and valuable consideration, Grantor hereby grants and conveys this Temporary Easement to the Grantee for the purposes of allowing the proposed work to be conducted on the Project. The requirements and conditions for this Temporary Easement are stated herein. (2) Scope and Terms of Temporary Easement. (a) This Temporary Easement is granted upon receipt of $50,000 to the Grantee. (b) Grantor hereby issues to the Grantee this Temporary Easement allowing the Grantee, and its employees, agents, and contractors, to enter the Temporary Easement upon the Property and to perform the Project. Grantee will be installing a roadway and improvements as part of the Project with the improvements on the Grantor’s Property given to Grantor for future maintenance. Grantee will restore the remaining portions of the Property to the existing condition prior to commencement of the Project and grant of this Temporary Easement, including complete turf re-establishment, all on the terms and conditions hereinafter set forth. (c) The Property over which this Temporary Easement is granted is described and graphically shown on Exhibit A. (d) This Temporary Easement is granted for no other purpose than for performing construction activities related to the Project, including, but not limited to, surveying, staking, operation of construction equipment for grading work, utility work, construction of the roadway connection, construction of the trail connection, and restoration of all disturbed areas of the Grantee's project. Installation of other non-Project related utilities or other use of the area is prohibited. (e) All costs associated with the Grantee’s Project, or work as defined in this Temporary Easement, shall be borne by the Grantee. (f) Grantee shall be responsible for obtaining all necessary permits from all applicable agencies prior to starting any construction. Grantee shall supply Grantor with copies of all permits if requested by Grantor. (g) The Grantee agrees to notify Grantor at least forty-eight (48) hours prior to entering the Property for any preliminary work, start of construction, and completion of construction related to the Project. Grantee agrees to keep Grantor abreast of the construction schedule for the Project on a weekly basis. Notification shall be made to Jennifer Gora, Project Manager at 612-726-5270, or Jennifer.gora@mspmac.org . (h) The Grantee agrees to maintain those portions of the Property under this Temporary Easement and all improvements thereon in a neat and clean condition and in good repair, keeping the Grantor’s Property area free from debris and erosion. The Grantee shall not suffer or permit any waste or nuisance on the Property and shall allow no illegal acts or conduct thereon or such as will constitute a nuisance. (i) The Grantee agrees that maintenance of the disturbed areas on the Property will continue until Grantor determines that the areas have been fully restored in the same or better condition for any existing pavements, fence, gravel, turf, pavement markings, or any other existing condition impacted by the Project. Grantee shall be responsible to protect any and all existing utilities.
(j) Grantor’s Property shall at all times be subject to regulations and restrictions imposed by the FAA that might interfere with safe operations at MSP Airport. Grantor may require the removal or modification of any above ground object or structure if Grantor believes that said object or structure violates applicable FAA regulations or interferes with operations at MSP. (k) Grantee shall provide dust control with sweeping equipment kept on site at all times, to keep the Project site and adjacent roads used for hauling materials free of debris so as to not cause impacts to MSP Operations, the traveling public or others. Grantee shall minimize queueing of Project construction vehicles on the project site and adjacent roads such that there is no impact to the MAC Operations, the traveling public or others using the roads adjacent to the Project area. Grantee shall provide access to MAC utilities at all times. If there are any issues that arise from items in this Section, the Grantee shall be notified by the Grantor and rectify the issue within 30 minutes for airfield operation impacts and within 60 minutes for landside operation impacts of being notified. (3) Insurance. Grantee shall (i) maintain insurance, a standard term policy or policies of insurance in amounts hereinafter set out against public liability and property damage, including advertising and products liability, or (ii) provide self-insurance of equivalent protection. Such policy or policies shall be in the amount of statutory limits provided by Minn. Stat. § 466.04, or as such statute may be amended or modified from time to time. Such policy or policies shall provide for a minimum of thirty (30) days written notice of cancellation. Grantee shall cause its contractors performing work related to this Project, if any, to purchase insurance as set forth below, providing protection from claims which may arise out of or result from the contractor’s operations under this Project and for which contractor may be legally liable, whether such operations be by the contractor or by a subcontractor or by anyone directly or indirectly employed by any of them, or by anyone for whose acts any of them may be liable: (a) General Liability and Umbrella Insurance i. Contractor shall maintain commercial general liability (CGL) on an occurrence form and, if necessary, commercial umbrella insurance with a limit of not less than $2,000,000 each occurrence and a general aggregate limit of not less than $4,000,000. The general aggregate limit shall apply separately to this Project. ii. CGL insurance shall be written on ISO occurrence form CG 00 01 12 04 (or a substitute form providing equivalent coverage) and shall cover liability arising from premises, operations, independent contractors, products-completed operations, personal injury, advertising injury, contractual liability and Explosion, Collapse, Underground (XCU). iii. The Grantee, its Architect/Engineer, its officers, agents and employees, as well as the Grantor, its Commissioners, officers and employees, shall be included as an additional insured under the CGL for ongoing and completed operations, by endorsement (ISO Forms CG 20 10 07 04 and CG 20 37 07 04 or their equivalent) and under the commercial umbrella, if any. This insurance shall be primary and non-contributory by endorsement with respect to any other insurance or self-insurance programs afforded to Grantee and any
insurance or self-insurance afforded to Grantor. There shall be no endorsement or modification of the CGL to make it excess over other available insurance. (b) Automobile and Umbrella Liability Insurance i. Contractor shall maintain Business Auto Coverage, ISO form CA 00 01 (1990 or later edition) and, if necessary, commercial umbrella liability insurance, with a limit of not less than $1,000,000 each accident. ii. Policy shall provide coverage for, without limitation, physical damage (comprehensive and collision), Liability, PIP, and UM/UIM with statutory limits, for any vehicle (including owned, hired, and non-owned). (c). The Grantee, its officers, agents and employees, as well as the Grantor, its Commissioners, officers and employees, shall be included as an additional insured by endorsement, ISO Form CA 20 48 02 99 or equivalent.(c) Workers’ Compensation and Employers Liability i. Workers’ Compensation shall be pursuant to Minnesota Statutes and shall contain a waiver or subrogation against the Grantor by endorsement. ii. Employers Liability with limits not less than $1,000,000 each accident for bodily injury by accident, $1,000,000 each employee for bodily injury by disease, $1,000,000 policy limit for bodily injury by disease. (d) Contractor Pollution Liability Contractor’s Pollution Liability - $2,000,000 per occurrence or per claim written on an occurrence basis. Covered damages should include bodily injury, property damage, environmental damage, loss of use of property, governmental ordered cleanup costs, completed operations and defense including costs, charges and expenses incurred in the investigation, adjustment or defense of claims for damages. The policy or policies shall not contain dust exclusion. Coverage shall also be provided for transport of waste and non-owned disposal sites, if contractor is disposing of waste. Contractual liability shall be included. The Grantee and its officers and employees, as well as the Grantor, its Commissioners, officers, agents and employees, shall be named as Additional Insured by endorsement for ongoing and completed operations and a waiver of subrogation by endorsement will be provided in favor of the Grantee and Grantor. The policy shall contain a three year extended reporting period. (e) Other Insurance Provisions i. Each insurance policy shall be endorsed to state that coverage shall not be suspended, voided, canceled or non-renewed, except after thirty days’ prior written notice, has been given at the following addresses: City of Richfield Attn: Human Resources Manager 6700 Portland Avenue South Richfield, MN 55423
Metropolitan Airports Commission Attn: Insurance Risk Management 6040 28th Avenue South Minneapolis, MN 55450 ii. In addition to notifying its insurer(s) in accordance with the policy, contractor shall provide prompt written notice (to the address above) as soon as reasonably possible of any accident or loss relating to work performed on behalf of the Grantee. Grantee shall notify the Grantor for the same. iii. Each policy shall be endorsed to state that the insurer agrees to waive all rights of subrogation against the Grantee and Grantor, its members, agents and employees, for losses arising out of the performance of the Project. iv. Insurance is to be placed with insurers with Best’s rating of no less than A: VII. v. The certificates and endorsements for each insurance policy are to be signed by a person authorized by that insurer to bind coverage on its behalf. All certificates and endorsements are to be received and approved by the Grantee before work commences. Grantor is not obligated to review certificates or other evidence of insurance, or advise of any deficiencies in such documents. The Grantor will have the right to examine any policy required by this Temporary Easement. (4) Bond. Grantee shall require a payment and performance bond which shall cause its contractors performing work related to the Project to faithfully complete the construction contract according to its terms and shall save the Grantor harmless from all costs and charges that may accrue on account of the doing of the work. The bond shall pay all costs of enforcement of the terms of the bond, if action is brought thereon, including reasonable attorney’s fees, costs, and disbursements, in any case in which such action is successfully maintained or successfully appealed, and shall comply with the laws of the state appertaining to such contract, then this obligation shall be void but otherwise it shall remain in full force and effect pursuant to Minnesota Statutes, Chapter 574. (5) Compliance with Laws. The Grantee shall comply with all laws, ordinances, rules and regulations of the United States of America, the State of Minnesota, or of agencies, departments or divisions of (including but not limited to the Department of Health, Pollution Control Agency, Watershed Districts, etc.), or of the Grantor relating to the lands under this Temporary Easement and the use thereof or relating to control of ground and air traffic, aircraft operations and the general use and operation of the Airport; and the Grantee shall see to the payment of any and all taxes, assessments, fees or other charges that may be legally levied, assessed or made during the term of this Temporary Easement or any extension thereof by reason of the use hereby permitted.
(6) Operations at MSP Airport. (a) Height. The Grantee expressly agrees for itself, its successors and assigns to restrict the height of structures, objects of natural growth, and other objects on the herein described real property to a height that will not constitute an obstruction as determined by the standards in Federal Aviation Regulation, Part 77. The Grantee shall submit an FAA Form 7460-1 to the FAA for airspace analysis. (b) Lighting. Grantee agrees that no lights will be permitted or installed on the Property that would interfere with aircraft or airport operations. (c) Flight of Aircraft. (i) The Grantee expressly agrees for itself, its successors and assigns to refrain from any use of the Property which might interfere with or be a hazard to the flight of aircraft over the Property or to and from the MSP Airport, up to and including uses that attract waterfowl or other types of birds. (ii) Use of the Property hereunder and improvements made in furtherance of such use shall at all times comply with clearance requirements under FAA regulations and state zoning requirements. (7) Environmental Responsibilities. (a) Grantee shall be responsible for and shall indemnify, defend and hold harmless Grantor against any environmental costs associated with Grantor’s Property, which arise out of or were caused by Grantee’s actions, inactions, or activities related to the Project during the term of this Temporary Easement, including but not limited to liabilities, fines, damages, injuries, response costs or claims and attorney fees. Grantee’s grant of indemnity contained within this Section shall survive the termination of this Temporary Easement. (b) Grantee shall be responsible for removal or disposal required by federal, state, or local law of any hazardous materials encountered on the Property as a result of Grantee’s activities herein. No mining of Grantor’s Property will be allowed. (8) Grantor's Right of Entry onto Temporary Easement. Grantor shall at all times and through its agents and employees or contractors have a right of entry upon the Property under this Temporary Easement, as may be necessary in the development, maintenance, and operation of MSP Airport. Further, Grantor reserves the right to install and maintain under the Property of this Temporary Easement such utility lines, conduits, pipes, pavements, ditches and facilities as may be necessary to the development of MSP Airport. (9) Without Prejudice.
It is understood that the granting and use of this Temporary Easement is conditioned upon and shall be without prejudice to the rights of the Grantor as owner of the property. (10) Civil Rights. Grantee agrees to comply with pertinent statutes, Executive Orders and such rules as are promulgated to assure that no person shall, on the grounds of race, creed, color, national origin, sex, age, or handicap be excluded from participating in any activity conducted on the Property. (11) Indemnification. Subject to the liability limits set forth in Minnesota Statutes, chapter 466, Grantee agrees to indemnify, hold harmless and defend Grantor, its Commissioners, officers, directors, agents, and employees, from any claims, losses, costs, expenses, or damages resulting from the acts or omissions of Grantee's (or transferee's) officers, agents, employees, contractors or subcontractors arising from Grantee’s rights, actions and responsibilities under this Temporary Easement. (12) Warranty of Title. The Grantor warrants it is the owner of the Property and has the right, title and capacity to convey to the City the easement herein. (13) Binding Effect. The terms and conditions of this instrument shall run with the land and be binding on the Grantor, its successors and assigns. (14) Term. This Temporary Easement shall expire and be of no further force or effect on December 31, 2023. (15) Commitments to Federal and State Agencies. This Temporary Easement shall be subordinate to the provisions and requirements of any existing or future agreement between Grantor and the United States relative to the development, operation or maintenance of the MSP Airport.
IN WITNESS WHEREOF, the parties of this Agreement have hereunto set their hands on the dates written below: METROPOLITAN AIRPORTS COMMISSION By: Its: STATE OF _________________ ) )ss. COUNTY OF _______________ ) The foregoing instrument was acknowledged before me this ____ day of _______________________, 2021, by Brian Ryks, Executive Director/Chief Executive Officer of the METROPOLITAN AIRPORTS COMMISSION, a public corporation and political subdivision of the State of Minnesota, on its behalf. ________________________________ Notary Public GRANTEE: CITY OF RICHFIELD By: ________________________________ Maria Regan Gonzalez Its: Mayor By: ________________________________ Katie Rodriguez Its: City Manager STATE OF MINNESOTA )
) ss. COUNTY OF HENNEPIN ) The foregoing instrument was acknowledged before me this ____ day of _______________________, 2021, by Maria Regan Gonzalez and Katie Rodriguez, the Mayor and City Manager, respectively, of the CITY OF RICHFIELD, a Minnesota municipal corporation, on its behalf. __________________________________ Notary Public
EXHIBIT A Temporary Easement Area Sketch
EXHIBIT A
Temporary Easement Area Sketch
RESOLUTION NO.
RESOLUTION APPROVING THE TEMPORARY EASEMENT AGREEMENT
WITH THE METROPOLITAN AIRPORTS COMMISSION
FOR PROPERTY LOCATED NEAR 77TH STREET AND LONGFELLOW AVENUE
FOR 77TH STREET UNDERPASS IMPROVEMENTS
WHEREAS, the City Council of Richfield (“Grantee”) is the official governing
body of the City of Richfield, and the Metropolitan Airports Commission (“Grantor”) is
the governing body of the Minneapolis – St. Paul International Airport (“MSP Airport”);
and
WHEREAS, Grantor is the owner of a certain tract of land located within
Hennepin County in the State of Minnesota, known as the MSP Airport; and
WHEREAS, Grantee proposes to construct a 77th Street connection under Trunk
Highway 77 (“Project”) consistent with long-term plans to address regional traffic
congestion near the MSP Airport. Portions of the Project will be located on property
owned and maintained by the Metropolitan Airports Commission (MAC); and
WHEREAS, Grantor and Grantee are parties to a Joint Powers Agreement
regarding the Project; and
WHEREAS, Grantee wants to begin construction of the Project as soon as
possible; and
WHEREAS, Grantee has requested, and Grantor has agreed to grant this
Temporary Easement over and across portions of the MSP Airport for the installation of
the Project. The area in which this Temporary Easement is allowed shall be as directed
by the Grantor in the Temporary Easement; and
WHEREAS, the Grantor has determined that the authorized uses of this
Temporary Easement would not interfere with the operations at MSP Airport.
NOW, THEREFORE, BE IT RESOLVED, by the City Council of the City of
Richfield, Minnesota that it hereby approves and adopts the Temporary Easement
Agreement with the Metropolitan Airports Commission for property located near 77th
Street and Longfellow Avenue for 77th Street Underpass Improvements.
Adopted by the City Council of the City of Richfield, Minnesota this 26th day of
January 2021.
______________________________
Maria Regan Gonzalez, Mayor
ATTEST:
_____________________________
Elizabeth VanHoose, City Clerk
AGENDA SECTION:CONSENT CALENDAR
AGENDA ITEM #3.B.
STAFF RE P ORT NO. 11
CIT Y COUNCIL ME E T ING
1/26/2021
RE P O RT P RE PA RE D B Y: S cott K ulzer, A dministrative A ide/A nalyst
D E PA RTME NT D IRE C TO R RE V IE W: K ristin A sher, P ublic Works D irector
1/19/2021
O THE R D E PA RTM E NT RE V IE W:
C ITY MA NA G E R RE V IE W: K atie Rodriguez, C ity Manager
1/20/2021
I T E M F O R C O UNC IL C O NS ID E RAT I O N:
Consider the approval of the purchase of a 2021 Versa-Vac 1000P D Trailer Mounted Vacuum/Hydro
Excavation Unit from Flexible Pipe Tool Company in the sum of $162,610.00 (including trade-in).
E X E C UT IV E S UM M ARY:
Unit #443, a 2003 Versa-Vac 1000P D Trailer Mounted Vacuum/Hydro Excavation Unit is fully depreciated
and is scheduled to be replaced in 2021. The old machine has less than 50 per cent of the suction compared
to when it was new. This new unit has an estimated useful lifespan of 15 years but is expected to be effective
for upward of 5 years beyond that.
Public W orks crews use the Vac Trailer mainly to clean out stormwater catch basins and stormwater
structures around Richfield. The Vac Trailer is also used to clean out sanitary sewer lift stations and serves a
variety of purposes at the water plant. P W staff also uses the Vac Trailer for exploratory potholing to verify
location of underground utilities.
Purchase of a replacement has been coordinated through the State of Minnesota Cooperative Purchasing
Program. Under this program, the State of Minnesota solicits bids from a variety of dealers for
specific motor pool equipment. T he low bidder for certain types of equipment are then awarded a
contract to supply equipment to the participating members of the Cooperative Purchasing Program
at the lowest possible price. T he City of Richfield participates in this program.
RE C O M M E ND E D AC T I O N:
By Motion: Approve the purchase of a 2021 Versa-Vac 1000P D Trailer Mounted Vacuum/Hydro
Excavation Unit from Flexible Pipe Tool Company in the sum of $162,610.00 (including trade-in).
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
See executive summary.
B.P OL IC IE S (resolutions, ordinances, regulations, statutes, etc):
W hen the purchase of materials, merchandise, equipment or construction might exceed
$175,000, the competitive bid process must be followed.
The City of Richfield participates in the State of Minnesota Cooperative Purchasing Program,
which is a competitive bid process.
W hen the purchase of materials, merchandise, equipment or construction exceeds $175,000,
authority to purchase shall be submitted to the City Council for consideration.
C.C R IT IC AL T IMIN G IS S U E S:
Approval of this purchase at the J anuary 26, 2021 City Council meeting will allow staff to order the new
equipment and take ownership in the year in which it was budgeted.
D.F IN AN C IAL IMPAC T:
The total cost of the new equipment is $162,610.00 factoring in the $18,000.00 trade-in value for
the old Versa-Vac equipment.
W ithout the trade-in the new equipment would cost $180,610.00.
$175,000.00 was included in the 2021 Fleet/Garage Budget for the purchase of this equipment.
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):
None
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
Vac Trailer Quote B ackup Material
AGENDA SECTION:CONSENT CALENDAR
AGENDA ITEM #3.C.
STAFF RE P ORT NO. 12
CIT Y COUNCIL ME E T ING
1/26/2021
RE P O RT P RE PA RE D B Y: Jay Henthorne, D irector of P ublic S afety/C hief of P olice
D E PA RTME NT D IRE C TO R RE V IE W: Jay Henthorne, D irector of P ublic S afety/C hief of P olice
1/19/2021
O THE R D E PA RTM E NT RE V IE W:
C ITY MA NA G E R RE V IE W: K atie Rodriguez, C ity Manager
1/20/2021
I T E M F O R C O UNC IL C O NS ID E RAT I O N:
Consider approval of a resolution approving a Joint Powers Agreement for Distracted Driving Vehicle
Program.
E X E C UT IV E S UM M ARY:
Minnesota State Statutes, Section 471.59 authorizes local government units to jointly or cooperatively
exercise any power common to the contracting parties. Richfield, Bloomington, Eden Prairie, Edina,
Hopkins, St. Louis Park, and MA C intend to enter into a joint powers agreement to develop a work plan and
additional future work plans for the use of the Distracted Driving Vehicle for such capabilities.
RE C O M M E ND E D AC T I O N:
By motion approve the resolution approving a Joint Powers Agreement for Distracted Driving Vehicle
Program.
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
T he Richfield Police Department has received a vehicle from a federal grant that may be used
to enhance the capabilities of police departments to enforce distracted driving laws and educate
Minnesota drivers with respect to distracted driving laws.
According to the Minnesota Office of Traffic Safety, “[d]istracted or inattentive driving is when a driver
engages in any activity that might distrac t them from the primary task of driving — and increases their
risk of crashing;”
According to the Minnesota Office of Traffic Safety, between 2015 and 2019, more than 50,000
crashes in Minnesota were distrac ted driving-related, contributing to one in seven crashes in
Minnesota.
According to the Minnesota Office of Traffic Safety, between 2015 and 2019, distrac ted driving
contributed to an average of 40 deaths and 195 life-changing injuries in Minnesota per year; and
According to the Minnesota Office of Traffic Safety, in 2019, distracted driving contributed to
3,279 injuries and 32 deaths in Minnesota.
Minnesota’s distrac ted driving law (commonly referred to as the “Hands-Free” law), it is illegal for
drivers to read, send text messages and emails, or access the internet while the vehicle is in motion or a
part of traffic; and
B.P OL IC IE S (resolutions, ordinances, regulations, statutes, etc):
None
C.C R IT IC AL T IMIN G IS S U E S:
This A greement shall be effective retroactively to Oc tober 1, 2020, upon approval of the Parties’
respective governing bodies, and shall remain in effect until September 30, 2025, or until c ompletion by
the Parties of their respective obligations under this Agreement, whichever occurs first, unless
terminated by law at an earlier date or according to the provisions of this Agreement.
D.F IN AN C IAL IMPAC T:
There are no financial impacts.
E.L E GAL C ON S ID E R AT ION:
There are no legal considerations
ALTE R N AT IV E R E C O MME N D ATIO N(S):
P R IN C IPAL PAR TIE S E X P E C TE D AT ME E TIN G:
AT TAC H ME N T S:
D escription Type
Resolution Resolution L etter
Joint P owers A greement C ontract/A greement
RESOLUTION NO.
RESOLUTION APPROVING JOINT POWERS AGREEMENT
FOR DISTRACTED DRIVING VEHICLE PROGRAM
BETWEEN THE CITY OF RICHFIELD AND THE CITIES OF
BLOOMINGTON, EDEN PRAIRIE, EDINA, HOPKINS, ST. LOUIS PARK,
AND THE METROPOLITAN AIRPORT COMMISSION
WHEREAS, Minnesota Statutes, Section 471.59 authorizes local
governmental units to jointly or cooperatively exercise any power common to the
contracting parties; and
WHEREAS, according to the Minnesota Office of Traffic Safety, “[d]istracted or
inattentive driving is when a driver engages in any activity that might distract them from
the primary task of driving — and increases their risk of crashing;” and
WHEREAS, pursuant to a federal grant program, the Richfield Police Department
has received a vehicle (the “Distracted Driving Vehicle”) that may be used to enhance the
capabilities of police departments to enforce distracted driving laws and educate
Minnesota drivers with respect to distracted driving laws; and
WHEREAS, Richfield, Bloomington, Eden Prairie, Edina, Hopkins, St. Louis Park,
and MAC intend to enter into a joint powers agreement to develop a work plan and
additional future work plans for the use of the Distracted Driving Vehicle for such
capabilities (the “Distracted Driving Vehicle Program”); and
NOW, THEREFORE BE IT RESOLVED by the City Council of the City of Richfield,
Minnesota, that it approves the Joint Powers for the Distracted Driving Vehicle Program
and authorizes the Mayor and City Manager to execute the Agreement.
Adopted by the City Council of the City of Richfield, Minnesota this 26th day of
January 2021.
________________________
Maria Regan Gonzalez, Mayor
ATTEST:
__________________________
Elizabeth VanHoose, City Clerk
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680547v6SBKRC160-3
JOINT POWERS AGREEMENT
FOR DISTRACTED DRIVING VEHICLE PROGRAM
BETWEEN THE CITY OF RICHFIELD AND THE CITIES OF
BLOOMINGTON, EDEN PRAIRIE, EDINA, HOPKINS, ST. LOUIS PARK,
AND THE METROPOLITAN AIRPORT COMMISSION
WHEREAS, Minnesota Statutes, Section 471.59 authorizes local governmental units to
jointly or cooperatively exercise any power common to the contracting parties; and
WHEREAS, the City of Richfield (“Richfield”) is a Minnesota municipal corporation
and political subdivision of the State of Minnesota; and
WHEREAS, the City of Bloomington (“Bloomington”), the City of Eden Prairie
(“Eden Prairie”), the City of Edina (“Edina”), the City of Hopkins (“Hopkins”), and the City of
St. Louis Park (“St. Louis Park”) are also Minnesota municipal corporations and political
subdivisions of the State of Minnesota;
WHEREAS, the Minneapolis-St. Paul Metropolitan Airport Commission (“MAC”) is a
public corporation and is the owner and operator of Minneapolis-Saint Paul International
Airport in Minnesota; and
WHEREAS, according to the Minnesota Office of Traffic Safety, “[d]istracted or
inattentive driving is when a driver engages in any activity that might distract them from the
primary task of driving — and increases their risk of crashing;” and
WHEREAS, according to the Minnesota Office of Traffic Safety, between 2015 and
2019, more than 50,000 crashes in Minnesota were distracted driving-related, contributing to
one in seven crashes in Minnesota.
WHEREAS, according to the Minnesota Office of Traffic Safety, between 2015 and
2019, distracted driving contributed to an average of 40 deaths and 195 life-changing injuries in
Minnesota per year; and
WHEREAS, according to the Minnesota Office of Traffic Safety, in 2019, distracted
driving contributed to 3,279 injuries and 32 deaths in Minnesota; and
WHEREAS, pursuant to Minnesota’s distracted driving law (commonly referred to as
the “Hands-Free” law), it is illegal for drivers to read, send text messages and emails, or access
the internet while the vehicle is in motion or a part of traffic; and
WHEREAS, pursuant to a federal grant program, the Richfield Police Department has
received a vehicle (the “Distracted Driving Vehicle”) that may be used to enhance the
capabilities of police departments to enforce distracted driving laws and educate Minnesota
drivers with respect to distracted driving laws; and
2
680547v6SBKRC160-3
WHEREAS, Richfield, Bloomington, Eden Prairie, Edina, Hopkins, St. Louis Park, and
MAC intend to enter into a joint powers agreement to develop a work plan and additional future
work plans for the use of the Distracted Driving Vehicle for such capabilities (the “Distracted
Driving Vehicle Program”); and
NOW, THEREFORE, in consideration of the mutual promises and benefits that the
Parties shall derive from this Agreement, the Parties each hereby enter into this Joint Powers
Agreement (the “Agreement”).
ARTICLE I
PURPOSE
The purpose of this Agreement is to define the Distracted Driving Vehicle Program
obligations of the Parties.
ARTICLE II
PARTIES
The parties to this Agreement are Richfield, Bloomington, Eden Prairie, Edina, Hopkins,
St. Louis Park, and MAC (together, the “Parties,” or individually, a “Party”).
ARTICLE III
TERM
This Agreement shall be effective retroactively to October 1, 2020, upon approval of the
Parties’ respective governing bodies, and shall remain in effect until September 30, 2025, or
until completion by the Parties of their respective obligations under this Agreement, whichever
occurs first, unless terminated by law at an earlier date or according to the provisions of this
Agreement.
ARTICLE IV
OBLIGATIONS AND RIGHTS OF RICHFIELD
Housing and Parking the Distracted Driving Vehicle. When the Distracted Driving
Vehicle is not in use, Richfield shall be responsible for housing and parking the Distracted
Driving Vehicle at the Richfield Police Department garage. At the time of any check-out of the
Distracted Driving Vehicle, a designated Richfield Police Department employee shall assist any
Party with the check-out. Richfield shall produce and make available a form for any Party
checking out the vehicle to complete at the time of check-out.
ARTICLE V
GENERAL OBLIGATIONS AND RIGHTS OF ALL PARTIES
1. Cooperation. The Parties agree to cooperate and use their reasonable efforts to ensure
prompt implementation of the various provisions of this Agreement and to, in good faith,
undertake resolution of any dispute in an equitable and timely manner.
3
680547v6SBKRC160-3
2. Compliance with Laws. Each Party shall abide by all federal, state, or local laws,
statutes, ordinances, rules, and regulations in implementing the Distracted Driving Vehicle
Program and using the Distracted Driving Vehicle.
3. Work Plan. Each Party may check out and use the Distracted Driving Vehicle to
enforce distracted driving laws and educate Minnesota drivers with respect to distracted driving
laws (the “Work Plan”), as follows:
a. During annual “Toward Zero Death” (or “TZD”) distracted driving enforcement
dates; and
b. During other annual TZD enforcement dates related to DUI, seat belt, child
restraint enforcement; and
c. For any other dates not listed in this Article V in order to enforce distracted
driving laws and educate Minnesota drivers with respect to distracted driving
laws.
4. Use of Distracted Driving Vehicle. Any Party that checks out and uses the Distracted
Driving Vehicle shall adhere to the following rules for its check out and use:
a. Only a peace officer, as licensed by the Minnesota Board of Peace Officer
Standards and Training (or “POST”), may check out and use the Distracted
Driving Vehicle on behalf of any Party; and
b. Utilize the Real-time Officer Activity Reporting (“ROAR”) program; and
c. Complete the form discussed under Article IV prior to check-out; and
d. Return the Distracted Driving Vehicle with a full tank of gas; and
e. Return the Distracted Driving Vehicle in a reasonably clean state and wash the
Distracted Driving Vehicle if necessary.
5. Damage to Distracted Driving Vehicle. If the Distracted Driving Vehicle is damaged
in any Party’s possession, that Party shall be responsible for repairing the vehicle, at its own cost,
to its original condition and returning it to Richfield following the repair. If the Distracted
Driving Vehicle is unable to be repaired after it is damaged in any Party’s possession, that Party
shall pay the actual cash value of the Distracted Driving Vehicle to Richfield.
6. Publicity. Each Party may take and disclose photographs or video footage of the
Distracted Driving Vehicle for use in news media, publications, print media, promotional
materials, social media, television, or websites to highlight the Distracted Driving Vehicle
Program. The Parties shall develop a publicity plan to educate the public on the Distracted
Driving Vehicle and how it is enhances law enforcement’s capabilities to enforce distracted
driving laws and educate Minnesota drivers with respect to distracted driving laws. The Parties
may utilize assistance from the Minnesota Office of Traffic Safety in developing such publicity
plan.
7. Reporting. Each Party shall informally provide information on the benefits, lessons,
and use of the Distracted Driving Vehicle to Sergeant Steen of the Richfield Police Department,
4
680547v6SBKRC160-3
or any other designee of the Richfield Police Department, in order to comply with reporting
requirements.
8. Additional Work Plans. The Parties may develop and produce additional work plans
beyond the completion of the Work Plan.
ARTICLE VI
INSURANCE
Each Party shall maintain property coverage on the Distracted Driving Vehicle for its
actual cash value while the Distracted Driving Vehicle is in a Party’s possession. Each Party
shall also maintain automobile liability coverage on the Distracted Driving Vehicle in the
minimum amount of $2,000,000 per occurrence, combined single limit, while in a Party’s
possession. The coverage of the party in possession of the Distracted Driving Vehicle shall be
primary. If the vehicle cannot be repaired pursuant to Article V, Section 5, any proceeds
received by a Party shall be paid to the City of Richfield.
ARTICLE VII
INDEMNIFICATION
Each Party agrees that they shall defend, indemnify and hold harmless each and all other
Parties, their officers and employees against any and all liability, loss, costs, damages and
expenses which each Party, its officers or employees may hereafter sustain, incur, or be
required to pay arising out of each Party’s performance or failure to adequately perform its
obligations pursuant to this Agreement. Nothing in this Agreement shall be construed as a
limitation or waiver by the Parties of any immunities, defenses, or other limitations on liability
to which the Parties are entitled by law. The provisions of the Municipal Tort Claims Act,
Minnesota Statutes, Chapter 466 and other applicable laws govern liability of the Parties. Each
Party warrants that they are able to comply with the aforementioned indemnity requirements
through an insurance or self-insurance program and that each has minimum coverage consistent
with the liability limits contained in Minnesota Statutes, Chapter 466. In the event of any
claims or actions filed against any Party, nothing in this Agreement shall be construed to allow
a claimant to obtain separate judgments or separate liability caps from the individual Parties.
For purposes of determining total liability for damages, the Parties are considered a single
governmental unit pursuant to Minn. Stat. § 471.59, subd. 1a(b).
To the fullest extent permitted by law, actions by the Parties pursuant to this Agreement
are intended to be and shall be construed as a “cooperative activity” and it is the intent of the
Parties that they shall be deemed a “single governmental unit” for the purposes of liability, as
set forth in Minnesota Statutes, Section 471.59, subdivision 1a (a); provided further that for
purposes of that statute, each Party expressly declines responsibility for the acts or omissions of
the other Parties. The Parties are not liable for the acts or omissions of the other Parties except
to the extent to which they have agreed in writing to be responsible.
5
680547v6SBKRC160-3
ARTICLE VIII
AUTHORIZED REPRESENTATIVES
The following named persons are designated the Authorized Representatives of the
Parties for purposes of this Agreement. These Authorized Representatives have authority to
bind the Party they represent and to consent to modifications, except that each Authorized
Representative shall have only the authority specifically or generally granted by their respective
governing boards. Notice required to be provided pursuant to this Agreement shall be provided
to the following named Authorized Representatives and addresses unless otherwise stated in this
Agreement, or an amendment of this Agreement:
Richfield
Police Chief: __________________
Signature: __________________
Date: __________________
Bloomington
Police Chief: __________________
Signature: __________________
Date: __________________
Eden Prairie
Police Chief: __________________
Signature: __________________
Date: __________________
Edina
Police Chief: __________________
Signature: __________________
Date: __________________
Hopkins
Police Chief: __________________
Signature: __________________
Date: __________________
St. Louis Park
Police Chief: __________________
Signature: __________________
Date: __________________
MAC
Police Chief: __________________
Signature: __________________
Date: __________________
ARTICLE IX
MODIFICATIONS
Any alterations, variations, modifications, or waivers of the provisions of this
Agreement shall only be valid when they have been reduced to writing, approved by each
Party’s governing body, or as delegated by the Parties’ respective governing bodies, and signed
by the Authorized Representatives, or any delegated authority, of each Party.
6
680547v6SBKRC160-3
ARTICLE X
TERMINATION
1. Termination, Generally. Any Party may terminate this Agreement for any reason by
giving 30 days’ prior written notice of its intent to terminate to the other Parties. All notices of
termination shall be made by certified mail or personal delivery to the Authorized
Representative of the other Parties. Termination of this Agreement shall not discharge any
liability, responsibility or right of any Party, which arises from the performance of or failure to
adequately perform the terms of this Agreement prior to the effective date of termination.
2. Termination for Cause. In addition, any Party may terminate this Agreement for
cause by giving seven days’ prior written notice of its intent to terminate the Agreement to the
other Parties. Any such notice to terminate for cause shall specify the circumstances warranting
such termination of the Agreement. “Cause” shall mean a material breach of this Agreement
and any supplemental agreements or amendments thereto.
ARTICLE XI
GOVERNING LAW
This Agreement shall be governed by and construed in accordance with the substantive
and procedural laws of the State of Minnesota, without giving effect to the principles of conflict
of laws. All proceedings related to any dispute arising under this Agreement shall take place in
the County of Hennepin, State of Minnesota.
ARTICLE XII
MINNESOTA DATA PRACTICES LAW COMPLIANCE
The Parties shall comply with the Minnesota Government Data Practices Act, Minnesota
Statutes, Chapter 13, as it applies to all data provided, created, collected, received, stored, used,
maintained, or disseminated under this Agreement.
ARTICLE XIII
MERGER
This Agreement is the final expression of the agreement of the Parties and the complete
and exclusive statement of the terms agreed upon and shall supersede all prior negotiations,
understandings, or agreements.
ARTICLE XIV
SEVERABILITY
If any part of this Agreement is rendered void, invalid, or unenforceable, such rendering
shall not affect the validity and enforceability of the remainder of this Agreement unless the part
or parts that are void, invalid or otherwise unenforceable shall substantially impair the value of
the entire Agreement with respect to any Party.
7
680547v6SBKRC160-3
ARTICLE XV
SURVIVABILITY
The provisions of Article V, Sections 4-6 (“Damage to Distracted Driving Vehicle,”
“Publicity,” and “Reporting”), Article VI (“Indemnification”), and Article XI (“Minnesota Data
Practices Law Compliance”) shall survive the expiration or termination of this Agreement.
ARTICLE XVI
FORCE MAJEURE CLAUSE
No Party shall be liable to any other Party for any loss or damage resulting from a delay
or failure to perform due to unforeseeable acts or events outside the defaulting Party’s reasonable
control, providing the defaulting Party gives notice to the other Parties as soon as possible. Acts
and events may include acts of God or nature, including but not limited to acts of terrorism, war,
fires, floods, epidemics, acts of civil or military authority, and natural disasters.
8
680547v6SBKRC160-3
IN WITNESS WHEREOF, the Parties hereto have executed this Agreement on the
date(s) indicated below.
RICHFIELD
Name: __________________
(Mayor)
Signature: __________________
Date: __________________
Name: __________________
(City Manager)
Signature: __________________
Date: __________________
BLOOMINGTON
Name: __________________
(Mayor)
Signature: __________________
Date: __________________
Name: __________________
(City Manager)
Signature: __________________
Date: __________________
EDEN PRAIRIE
Name: __________________
(Mayor)
Signature: __________________
Date: __________________
Name: __________________
(City Manager)
Signature: __________________
Date: __________________
EDINA
Name: __________________
(Mayor)
Signature: __________________
Date: __________________
Name: __________________
(City Manager)
Signature: __________________
Date: __________________
HOPKINS
Name: __________________
(Mayor)
Signature: __________________
Date: __________________
Name: __________________
(City Manager)
Signature: __________________
Date: __________________
ST. LOUIS PARK
Name: __________________
(Mayor)
Signature: __________________
Date: __________________
Name: __________________
(City Manager)
Signature: __________________
Date: __________________
9
680547v6SBKRC160-3
MAC
Name: __________________
(Mayor)
Signature: __________________
Date: __________________
Name: __________________
(City Manager)
Signature: __________________
Date: __________________
AGENDA SECTION:CONSENT CALENDAR
AGENDA ITEM #3.D.
STAFF RE P ORT NO. 13
CIT Y COUNCIL ME E T ING
1/26/2021
RE P O RT P RE PA RE D B Y: S cott K ulzer, A dministrative A ide/A nalyst
D E PA RTME NT D IRE C TO R RE V IE W: K ristin A sher, P ublic Works D irector
1/19/2021
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: K atie Rodriguez, C ity Manager
1/20/2021
I T E M F O R C O UNC IL C O NS ID E RAT I O N:
Consider the approval of a second reading of an ordinance amending City Code Subsection 721.03
related to connections and discharges to the stormwater system and approval of a resolution
authorizing summary publication.
E X E C UT IV E S UM M ARY:
Background
The 2019 Statewide Chloride Management Plan states that winter maintenance activities are a primary
source of chloride discharges into lakes, streams, wetlands and groundwater.
The Minnesota Pollution Control Agency (MP C A) encourages cities to evaluate which winter
maintenance activities are significant contributors to chloride pollution in surface waters.
Recently, staff have become aware of poorly maintained outdoor salt storage as well as excessive salt
use on private property or by private entities around Richfield. These Chlorides are easily transmitted
into lakes, streams and groundwater, threatening water supplies as well as the health of freshwater fish
and aquatic life.
Salt/deicers can enter the environment during storage, transport and application. I t only takes one
teaspoon of salt to permanently pollute five gallons of water and once in the water there is no easy way
to remove the chloride.
Ordinance
This ordinance update will add salt/deicers to the list of pollutants prohibited from discharge into the
stormwater system to help regulate excessive chloride discharges into our waterways.
Adding salt/deicers to the list of pollutants would make enforcement action easier in the future when
unauthorized salt storage or excessive salt use are reported or noticed.
RE C O M M E ND E D AC T I O N:
By Motion: Approve the second reading of an ordinance amending City Code Subsection 721.03
related to connections and discharges to the stormwater system and approve the resolution
authorizing summary publication.
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 has long prioritized reducing its salt/deicer application to protect our local
and regional waterways while maintaining safe and navigable streets.
This ordinance amendment is one additional step the City can take to further that goal of reducing
salt/deicer discharge into the stormwater system.
B.P OL IC IE S (resolutions, ordinances, regulations, statutes, etc):
The City Charter requires a first and second reading of ordinances.
A public hearing is not required unless a separate statute, charter provision or ordinance requires
it.
C.C R IT IC AL T IMIN G IS S U E S:
Approval of the second reading of this ordinance and summary publication at this meeting will ensure
that it is effective for the last half of winter and for all winters to come.
D.F IN AN C IAL IMPAC T:
The intent of this ordinance amendment is to give staff a mechanism for enforcement of excessive
salt/deicer discharge and is not intended to generate revenue.
E.L E GAL C ON S ID E R AT ION:
The City Attorney has reviewed the proposed ordinance and will be available to answer questions.
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:
None
AT TAC H ME N T S:
D escription Type
Ordinance Ordinance
S ummary P ublication Resolution Resolution L etter
682073v1SBKRC160-4
BILL NO. 2021-
AN ORDINANCE AMENDING CHAPTER VII OF THE
RICHFIELD CODE OF ORDINANCES PERTAINING TO
CONNECTIONS AND DISCHARGES TO THE STORMWATER SYSTEM
THE CITY OF RICHFIELD DOES ORDAIN:
Section 1. Chapter VII, Section 721 of the Richfield Code of Ordinances is
amended to amend the definition of “pollutants” at Subsection 721.03, subdivision 14 as
follows:
721.03. – Definitions
. . .
Subd. 14. "Pollutant" is anything that causes or contributes to pollution.
Pollutants may include, but are not limited to: paints, varnishes, and solvents; oil and
other automotive fluids; non-hazardous liquid and solid wastes and yard wastes; refuse,
rubbish, garbage, litter, or other discarded or abandoned objects, ordinances, and
accumulations, so that same may cause or contribute to pollution; floatables; pesticides,
herbicides, and fertilizers; hazardous substances and wastes; sewage, fecal coliform
and pathogens; dissolved and particulate metals; animal wastes; wastes and residues
that result from constructing a building or structure; chloride-based deicers, including
but not limited to sodium chloride (NaCl), magnesium chloride (MgCl2), and calcium
chloride (CaCl2); and noxious or offensive matter of any kind.
Section 2. This ordinance will be effective in accordance with Section 3.09 of
the City Charter.
Adopted by the City of Richfield this 26th day of January, 2021.
Maria Regan Gonzalez, Mayor
ATTEST:
Elizabeth VanHoose, City Clerk
RESOLUTION NO.
RESOLUTION APPROVING SUMMARY PUBLICATION OF AN ORDINANCE
AMENDMENT TO SUBSECTION 721.03 OF THE
RICHFIELD CITY CODE PERTAINING TO
CONNECTIONS AND DISCHARGES TO THE STORMWATER SYSTEM
WHEREAS, the City has adopted the above referenced amendment to the
Richfield City Code; and
WHEREAS, the verbatim text of the ordinance is cumbersome, and the expense of
publication of the complete text is not justified.
NOW THEREFORE, BE IT RESOLVED by the City Council of the City of Richfield
that the following summary is hereby approved for official publication:
SUMMARY PUBLICATION
BILL NO. 2021-_____
AN ORDINANCE AMENDING SUBSECTION 721.03 OF THE RICHFIELD CITY
CODE OF ORDINANCES PERTAINING TO
CONNECTIONS AND DISCHARGES TO THE STORMWATER SYSTEM
On January 26, 2021, the Richfield City Council adopted an ordinance
designated as Bill No. 2021-____, the title of which is stated above. This summary of the
ordinance is published pursuant to Section 3.12 of the Richfield City Charter.
The purpose of this ordinance is to protect the health of the City’s stormwater
infrastructure and waterways by prohibiting the illegal discharges of certain substances
and pollutants into the stormwater system. This ordinance amendment adds “chloride-
based deicers, including but not limited to sodium chloride (NaCl), magnesium chloride
(MgCl2), and calcium chloride (CaCl2)” to the list of pollutants which are prohibited from
being discharged into the stormwater system. Expanding the definition of pollutants to
include deicing chemicals will allow the City to better enforce unauthorized salt storage or
excessive salt use. Noncompliance with enforcement actions can result in discontinued
access to the Municipal Separate Storm Sewer System (MS4) but is exceedingly rare.
BE IT FURTHER RESOLVED, that the City Clerk is directed to keep a copy of
the Ordinance in her office at City Hall for public inspection during normal business
hours and to post a full copy of the Ordinance in a public place in the City for a period of
two weeks. Copies of the ordinance are also available upon request by calling the Public
Works Department at (612) 861-9170.
Adopted by the City Council of the City of Richfield, Minnesota, this 26th day of January,
2021.
Maria Regan Gonzalez, Mayor
ATTEST:
Elizabeth VanHoose, City Clerk
AGENDA SECTION:CONSENT CALENDAR
AGENDA ITEM #3.E.
STAFF RE P ORT NO. 14
CIT Y COUNCIL ME E T ING
1/26/2021
RE P O RT P RE PA RE D B Y: K elly Wynn, S enior Office A ssistant
D E PA RTME NT D IRE C TO R RE V IE W:
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: K atie Rodriguez, C ity Manager
1/20/2021
I T E M F O R C O UNC IL C O NS ID E RAT I O N:
Consider a resolution designating an official newspaper for 2021.
E X E C UT IV E S UM M ARY:
Section 13.01 of the Charter of the City of Richfield requires the City Council annually designate an official
newspaper for the City.
The Richfield Sun-Current has served as the official paper for the City for many years and has proven to be
a reliable and professional publication that is delivered to nearly all residences in the City. The Richfield Sun-
Current has expressed an interest in continuing to serve as the official newspaper of the City.
RE C O M M E ND E D AC T I O N:
By motion: Adopt a resolution designating the Richfield Sun-Current as the official newspaper for the
City of Richfield for 2021.
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
This information is contained in the Executive Summary.
B.P OL IC IE S (resolutions, ordinances, regulations, statutes, etc):
This information is contained in the Executive Summary.
C.C R IT IC AL T IMIN G IS S U E S:
The City Council typically considers the designation of an official newspaper at the first meeting in
J anuary of each year.
D.F IN AN C IAL IMPAC T:
The 2021 price quote from the Sun-Current for the publication of legal notices is reasonable and similar
to the cost of publishing in the Star Tribune.
E.L E GAL C ON S ID E R AT ION:
A newspaper must be designated each year by the City for publication of all official and legal City
business.
ALTE R N AT IV E R E C O MME N D ATIO N(S):
The City Council may choose to postpone designation of an official newspaper to a future meeting and
request the City Clerk’s office to gather quotes from other newspapers.
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
2021 S un C urrent B id B ackup Material
2021 S tar Tribune B id B ackup Material
RESOLUTION NO.
RESOLUTION DESIGNATING AN OFFICIAL
NEWSPAPER FOR 2021
WHEREAS, the Charter of the City of Richfield requires in Section 13.01
thereof that the City Council annually designate an official newspaper for the
City.
NOW, THEREFORE, BE IT RESOLVED, that the Richfield Sun-Current
is designated the official legal newspaper for the City of Richfield for 2021 for all
publications required to be published therein.
Adopted by the City Council of the City of Richfield, Minnesota this 26th
day of January, 2021.
Maria Regan Gonzalez, Mayor
ATTEST:
Elizabeth VanHoose, City Clerk
2021 Designated Legal Newspaper Rates
• $1.31 per line per day
o Legal notices will also run on startribune.com at no extra charge.
• Approximately $14.85 per column inch
o Notices are charged per line not per column inch so you are not paying for space
you are not using.
Deadlines (applies to placement, changes & cancellations):
• Two days prior to first publication date at 4pm CST
• Publication Date Deadline
Monday Friday 4pm
Tuesday Friday 4pm
Wednesday Monday 4pm
Thursday Tuesday 4pm
Friday Wednesday 4pm
Saturday Thursday 4pm
Sunday Friday 4pm
• Deadlines will be advanced for holidays.
Affidavits:
• Emailed 24-48 business hours after last publication date
Circulation
• Sunday ~280,000
• Monday ~134,000
• Tuesday ~134,000
• Wednesday ~134,000
• Thursday ~134,000
• Friday ~134,000
• Saturday ~134,000
Contact
• Email: placeads@startribune.com
• Call: 612-673-7000
AGENDA SECTION:PUBLIC HEARINGS
AGENDA ITEM #5.
STAFF RE P ORT NO. 15
CIT Y COUNCIL ME E T ING
1/26/2021
RE P O RT P RE PA RE D B Y: S cott K ulzer, A dministrative A ide/A nalyst
D E PA RTME NT D IRE C TO R RE V IE W: K ristin A sher, P ublic Works D irector
1/19/2021
O THE R D E PA RTM E NT RE V IE W:
C ITY MA NA G E R RE V IE W: K atie Rodriguez, C ity Manager
1/20/2021
I T E M F O R C O UNC IL C O NS ID E RAT I O N:
Public hearing and consider the approval of a noise variance permit for Wood Lake dewatering as part
of the Wood Lake Lift Station Improvement Project.
E X E C UT IV E S UM M ARY:
The W ood Lake Lift Station I mprovements Project requires the running of a generator and pumps for
dewatering purposes 24 hours a day for the installation of this project’s wet well.
The wet well for this project will be installed to a depth of roughly 8 feet past the current groundwater
table. These pumps will need to run all hours of the day and night to sufficiently draw the water table
down to allow for a successful installation.
A 14-day noise variance was authorized by the City Manager per City Code preceding this public
hearing so the project start was not delayed.
The Contractor expects these pumps to run for 3-4 weeks total, however, we are requesting an
additional one month noise variance so we do not need to revisit this permit should project delays
occur.
During these weeks there will be a little bit more noise in the area, however, this area is a
commercialized area and not residential and disruptions or issues are not expected.
To help mitigate noise, the pump subcontractor has built an enclosure around the generator to try to
make it as quiet as possible.
RE C O M M E ND E D AC T I O N:
Conduct and close the public hearing and by motion: Approve the noise variance permit for W ood
Lake dewatering as part of the W ood Lake Lift Station Improvement Project.
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 Wood Lake lift station controls the water level in Wood Lake.
The lift station is undersized for current and future rainfall intensities which can lead to long-term
flooding of paths in the W ood Lake Nature Center.
The new lift station will allow for better water level control of W ood Lake which will help mitigate
flooding of Nature Center paths and significantly decrease the length of time the paths are
underwater.
City Council approved this project at the December 8, 2020 regular meeting.
B.P OL IC IE S (resolutions, ordinances, regulations, statutes, etc):
Richfield City Code section 930.35 prescribes the process for noise variance permits.
Permit requests exceeding 15 days must be approved by the City Council after a public hearing.
The City Manager may grant temporary variances pending action by the Council on an
application for a variance.
A temporary variance was issued for this project for the period J anuary 12 to J anuary 26.
C.C R IT IC AL T IMIN G IS S U E S:
The temporary noise variance will expire end of day on J anuary 26 unless extended by City Council.
D.F IN AN C IAL IMPAC T:
None
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):
None
P R IN C IPAL PAR TIE S E X P E C TE D AT ME E TIN G:
Assistant Utilities Superintendent Mike Petersen Citizens who wish to speak to the proposed noise variance
permit
AT TAC H ME N T S:
D escription Type
Noise Variance P ermit B ackup Material
AGENDA SECTION:PUBLIC HEARINGS
AGENDA ITEM #6.
STAFF RE P ORT NO. 16
CIT Y COUNCIL ME E T ING
1/26/2021
RE P O RT P RE PA RE D B Y: Melissa P oehlman, A sst. C ommunity D evelopment D irector
D E PA RTME NT D IRE C TO R RE V IE W: John S tark, C ommunity D evelopment D irector
1/20/2021
O THE R D E PA RTM E NT RE V IE W:
C ITY MA NA G E R RE V IE W: K atie Rodriguez, C ity Manager
1/21/2021
I T E M F O R C O UNC IL C O NS ID E RAT I O N:
Public hearing to consider approval of a modification to the Redevelopment Plan and approval of a Tax
Increment Financing Plan for the 2020-2 Tax Increment Finance District: Emi.
E X E C UT IV E S UM M ARY:
The Richfield Housing and Redevelopment Authority (HRA) approved a preliminary agreement with P LH &
Associates - Construction Services, L L C, now P LH & Associates - 6605 1st, LLC, (Developer) to explore the
redevelopment of 101 66th Street East on J uly 20, 2020. The HRA committed to explore the use of Tax
I ncrement Financing (TI F) to help make the redevelopment of the blighted site financially feasible. Since
approval of the preliminary development, Ehlers, I nc. has reviewed the project and found that it is not feasible
without assistance, and an independent evaluation by LHB Corporation has determined that the property
meets the statutory definition of a "blighted" site and thereby would qualify as a Redevelopment Tax I ncrement
District.
On J anuary 19, the HRA considered and approved a Contract for Private Development, a Modification to the
Redevelopment Plan, and a Tax I ncrement Financing Plan (Plan) for the 2020-2 Tax I ncrement Finance (TI F)
District: Emi. The approved Contract requires the Developer to make improvements totaling at least
$8,041,600. I mprovements will consist of 42 apartment units and approximately 1,300 square feet of ground
floor commercial space. I n accordance with the City's I nclusionary Housing Policy, the Developer will reserve
20% of the apartment units for households earning 60% or less of the Area Median I ncome (A MI ). The
Contract requires that these units be distributed proportionally among the various unit types. I n order to make
the project financially feasible, the Contract commits the HRA to provide the Developer with a maximum of
$971,070 in Tax I ncrement Financing.
Tonight, the Council is asked to consider the Modification to the Redevelopment Plan and Tax I ncrement Plan
that were approved by the HRA on J anuary 19.
The Modification and Plan are attached to this report and contain the following:
The Modification to the existing Richfield Redevelopment Plan, including a map update identifying the
2020-2 Emi TI F District (District) and a short text passage citing the new District;
A summary of the HRA and City's Authority to create such a District,
A description of its classification as a Redevelopment District (requiring that more than 50 percent of
the existing buildings are structurally substandard);
An identification of the original Net Tax Capacity that the "base" taxes will be calculated on - those taxes
will be distributed to all the local taxing jurisdictions (Hennepin County, Richfield Public Schools and the
City of Richfield) as was the case prior to the establishment of the TI F District;
$5,815,545 as the maximum TI F that could theoretically be collected in the District over its maximum
lifespan of 26 years;
The types of uses eligible for expenditure (including acquisition, affordable housing and other
qualifying improvements such as structured parking);
The "But-For" analysis concluding that the resulting development "would not reasonably be expected to
occur solely through private investment."
W hile the TI F Plan identifies the maximum amount of Tax I ncrement that could be generated and the
maximum expenditure on certain eligible uses, it does not commit the use of those funds. That commitment is
contained in the approved Contract for Private Redevelopment which sets forth the following uses of TI F
funds:
90% of the available TI F (up to a maximum of $971,070 to the Developer as a TI F Pay-As-You-Go
Note to assist them in funding TI F qualifying expenses.
10% of the TI F collected will be retained by the Richfield HRA for reimbursement of expenses
(including staff costs) in administering this District.
Under current assumptions, this amount of TI F could be provided to the Developer in as little as 12
years, after which time the District could be decertified.
RE C O M M E ND E D AC T I O N:
Conduct and close a public hearing and by motion: Adopt a resolution approving a modification to the
Redevelopment Plan for the Richfield Redevelopment Project; and approving a Tax Increment
Financing Plan for the 2020-2 Tax Increment Finance District: Emi
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
J une 26, 2018 - City Council approves land use applications for 31-unit mixed use development.
May 28, 2019 & May 12, 2020 - City Council approves extension of land use approvals.
J une 15, 2020 - Revised plans with reduced commercial space and affordable units presented to
City Council and HRA.
J uly 14, 2020 - City Council approves application for Livable Communities Development Account
grant funds (not awarded).
J uly 20, 2020 - HRA approved Preliminary Development Agreement.
October 13, 2020 - City Council approves revised land use application for 42-unit mixed use
development.
B.P OL IC IE S (resolutions, ordinances, regulations, statutes, etc):
I n accordance with the City's I nclusionary Housing Policy, the project will reserve 20% of the
units for households earning 60% or less of the Area Median I ncome.
The proposed Redevelopment Area Modification and TI F Plan describes the statutory authority by
which the City and HRA can create a TI F District.
C.C R IT IC AL T IMIN G IS S U E S:
The Developer (and the neighborhood) is eager to demolish the existing structures. To ensure
compliance with statutory requirements for a Redevelopment TI F District, this cannot take place
until the TI F District has been established.
D.F IN AN C IAL IMPAC T:
The TI F Plan identifies the Original Net Tax Capacity that the "base" taxes will calculated on -
those taxes will be distributed to all the local taxing jurisdictions (Hennepin County, Richfield Public
Schools, and the City) as was the case prior to the establishment of the TI F District.
According to the TI F Plan, the HRA would be eligible to retain 10% of the TI F collected in the
District to reimburse costs associated with the administration of the District.
The Contract for Private Development identifies up to $971,070 to the Developer as a TI F Pay-
As-You-Go Note; this "Pay-Go" Note obligates the HRA to make payment to the Developer only in
the event that the Developer has paid adequate taxes to provide the funding for such payment.
E.L E GAL C ON S ID E R AT ION:
The City's financial advisor and HRA attorney have prepared the required documents.
I n accordance with State Statute, Hennepin County, Richfield Public Schools, and other taxing
jurisdictions received notice of the proposed Tax I ncrement Plan and other information on fiscal
impacts related to the modification/establishment of a Redevelopment Project Area and/or TI F
District at least 30 days prior to the hearing or agreed to waive the 30-day requirement.
ALTE R N AT IV E R E C O MME N D ATIO N(S):
Do not approve the Modification and the TI F Plan.
P R IN C IPAL PAR TIE S E X P E C TE D AT ME E TIN G:
Paul Lynch, P L H & Associates (Developer) Rebecca Kurtz, Ehlers, I nc.
AT TAC H ME N T S:
D escription Type
Resolution Resolution L etter
TIF P lan E xhibit
CITY OF RICHFIELD, MINNESOTA
RESOLUTION NO. _______
RESOLUTION APPROVING A MODIFICATION TO THE REDEVELOPMENT PLAN FOR THE
RICHFIELD REDEVELOPMENT PROJECT; AND APPROVING A TAX INCREMENT
FINANCING PLAN FOR THE 2020-2 TAX INCREMENT FINANCING DISTRICT: EMI
WHEREAS, the City of Richfield, Minnesota (the “City”) and the Housing and Redevelopment
Authority in and for the City of Richfield, Minnesota (the “Authority”) have established, and the Authority
administers, the Richfield Redevelopment Project (the “Redevelopment Project”) located within the City and
have created a Redevelopment Plan (the “Redevelopment Plan”) therefor, pursuant to Minnesota Statutes,
Sections 469.001 through 469.047, as amended (the “HRA Act”); and
WHEREAS, within the Redevelopment Project the City and the Authority have created certain tax
increment financing districts pursuant to the HRA Act and Minnesota Statutes, Sections 469.174 through
469.1794, as amended (the “TIF Act”); and
WHEREAS, the City and the Authority have determined to modify the Redevelopment Plan and
approve a tax increment financing plan (the “TIF Plan”) relating to the creation of a new tax increment
financing district within the Redevelopment Project designated as the 2020-2 Tax Increment Financing
District: Emi (the “TIF District”), a redevelopment district, all as described in a plan document presented to
the City Council of the City (the “City Council”) on the date hereof; and
WHEREAS, pursuant to Section 469.175, subdivision 2a of the TIF Act, notice of the proposed TIF
District was provided to the county commissioner who represents the area included in the TIF District on or
about October 9, 2020; and
WHEREAS, pursuant to Section 469.175, subdivision 2 of the TIF Act, the proposed TIF Plan and
the estimates of the fiscal and economic implications of the TIF Plan were presented to the Clerk of the Board
of Education of Richfield Public Schools and to the Taxpayer Services Division Manager, as the County
Auditor, of Hennepin County, Minnesota (the “County”) on or about October 23, 2020; and
WHEREAS, on January 19, 2021, the Board of Commissioners of the Authority approved the
modified Redevelopment Plan and the TIF Plan for the TIF District and referred such plans to the City
Council for consideration; and
WHEREAS, on the date hereof, the City Council conducted a duly noticed public hearing relating to
the approval of the modified Redevelopment Plan and the TIF Plan for the TIF District, and the views of all
interested parties were heard at the public hearing; and
WHEREAS, the City Council has reviewed the contents of the modified Redevelopment Plan and
the TIF Plan; and
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Richfield, Minnesota
as follows:
Section 1. Findings; Redevelopment Project. The City Council hereby finds that (a) the land
in the Redevelopment Project would not be made available for development or redevelopment without the
2
use of tax increment financing; and (b) the modified Redevelopment Plan is intended to and, in the judgment
of the City Council, the effect of such actions will be to (i) afford maximum opportunity, consistent with the
needs of the City as a whole, for the development of the Redevelopment Project by private enterprise; and
(ii) conform to the general plan for development of the City as a whole.
Section 2. Findings; TIF District.
2.01. It is found and determined that it is necessary and desirable for the sound and orderly
development of the Redevelopment Project, and for the protection and preservation of the public health,
safety, and general welfare of the City and its residents, that the authority of the TIF Act be exercised by the
City to provide public financial assistance to the TIF District and the Redevelopment Project.
2.02. It is further found and determined, and it is the reasoned opinion of the City, that the
development proposed in the TIF Plan could not reasonably be expected to occur solely through private
investment within the reasonably foreseeable future and the increased market value of the site that could
reasonably be expected to occur without the use of tax increment financing would be less than the increase in
the market value expected to result from the proposed development after subtracting the present value of the
projected tax increments for the maximum duration of the district permitted by the TIF Plan.
2.03. The proposed public improvements to be financed in part through tax increment financing
are necessary to permit the City to realize the full potential of the TIF District in terms of development of
housing, renovation of substandard properties, development intensity, and tax base.
2.04. The TIF Plan conforms to the general plan for development of the City as a whole.
2.05. The TIF Plan will afford maximum opportunity, consistent with the sound needs of the City
as a whole, for the development of the TIF District and the Redevelopment Project by private enterprise.
2.06. The TIF District is a redevelopment district under Section 469.174, subdivision 10 of the
TIF Act.
2.07. The reasons and facts supporting all the above findings are set forth in the TIF Plan and are
incorporated herein by reference. The City Council has also relied upon the reports and recommendations of
its staff and consultants, as well as the personal knowledge of members of the City Council, in reaching its
conclusions regarding the TIF Plan.
Section 3. Public Purpose. The adoption of the TIF Plan conforms in all respects to the
requirements of the TIF Act. The TIF Plan will help facilitate redevelopment that will create additional rental
housing, create new commercial uses, and improve the tax base. The City expressly finds that the tax
increment assistance is provided solely to make the development financially feasible and thus produce the
public benefits described. Therefore, the City finds that the public benefits of the TIF Plan exceed any
private benefits.
3
Section 4. Approvals; Further Proceedings
4.01. The modified Redevelopment Plan is hereby approved.
4.02. The TIF Plan for the TIF District is hereby approved and adopted in substantially the form
on file at City Hall.
4.03. Authority staff and consultants are authorized and directed to file a request for certification
of the TIF District with the Taxpayer Services Division Manager, as the County Auditor, of the County and
to file a copy of the modified Redevelopment Plan and the TIF Plan with the Minnesota Commissioner of
Revenue and the State Auditor as required by the TIF Act.
Adopted by the City Council of the City of Richfield, Minnesota this 26th day of January, 2021.
Maria Regan Gonzalez, Mayor
ATTEST:
Elizabeth VanHoose, City Clerk
MODIFICATION TO THE
REDEVELOPMENT PLAN
Richfield Redevelopment Project Area
- AND -
TAX INCREMENT FINANCING PLAN
Establishment of 2020-2 Tax Increment Financing District: Emi
(a redevelopment district)
Richfield Housing and Redevelopment Authority
City of Richfield, Hennepin County, Minnesota
Public Hearing: January 26, 2021
Richfield Housing and Redevelopment Authority
2020-2 Tax Increment Financing District: Emi 2
Table of Contents
Modification to the Redevelopment Plan for the Richfield Redevelopment Project Area ............. 3
Foreword ................................................................................................................................... 3
Tax Increment Financing Plan for the 2020-2 Tax Increment Financing District: Emi .................. 4
Foreword ................................................................................................................................... 4
Statutory Authority .................................................................................................................... 4
Statement of Objectives ............................................................................................................ 4
Redevelopment Plan Overview ................................................................................................. 4
Description of Property in the District and Property to be Acquired .......................................... 5
Classification of the District ....................................................................................................... 5
Duration and First Year of Tax Increment of the District ........................................................... 6
Original Tax Capacity, Tax Rate and Estimated Captured Net Tax Capacity Value/Increment
and Notification of Prior Planned Improvements ....................................................................... 6
Sources of Revenue/Bonds to be Issued .................................................................................. 7
Uses of Funds ........................................................................................................................... 8
Estimated Impact on Other Taxing Jurisdictions ....................................................................... 9
Supporting Documentation ..................................................................................................... 10
Administration of the District ................................................................................................... 11
Appendix A: Map of the Richfield Redevelopment Project Area and the TIF District ............. 12
Appendix B: Estimated Cash Flow for the District .................................................................. 13
Appendix C: Findings Including But/For Qualifications .......................................................... 14
Appendix D: Redevelopment Qualifications for the District .................................................... 16
Richfield Housing and Redevelopment Authority
2020-2 Tax Increment Financing District: Emi 3
Modification to the Redevelopment Plan for the
Richfield Redevelopment Project Area
Foreword
The following text represents a Modification to the Redevelopment Plan for the Richfield
Redevelopment Project Area. This modification represents a continuation of the goals and
objectives set forth in the Redevelopment Plan for the Richfield Redevelopment Project Area.
Generally, the substantive changes include the establishment of the 2020-2 Tax Increment
Financing District: Emi.
For further information, a review of the Redevelopment Plan for the Richfield Redevelopment
Project Area, is recommended. It is available from the Community Development Director at the
Richfield Housing and Redevelopment Authority. Other relevant information is contained in the
Tax Increment Financing Plans for the Tax Increment Financing Districts located within the
Richfield Redevelopment Project Area.
Richfield Housing and Redevelopment Authority
2020-2 Tax Increment Financing District: Emi 4
Tax Increment Financing Plan for the 2020-2 Tax
Increment Financing District: Emi
Foreword
The Richfield Housing and Redevelopment Authority (the "HRA"), the City of Richfield (the “City”),
staff and consultants have prepared the following information to expedite the establishment of the
2020-2 Tax Increment Financing District: Emi (the "District"), a redevelopment tax increment
financing district, located in the Richfield Redevelopment Project Area.
Statutory Authority
Within City, there exist areas where public involvement is necessary to cause development or
redevelopment to occur. To this end, the City and HRA have certain statutory powers pursuant
to Minnesota Statutes ("M.S."), Sections 469.001 - 469.047, inclusive, as amended, and M.S.,
Sections 469.174 to 469.1794, inclusive, as amended (the "Tax Increment Financing Act" or "TIF
Act"), to assist in financing public costs related to this project.
This section contains the Tax Increment Financing Plan (the "TIF Plan") for the District. Other
relevant information is contained in the Modification to the Redevelopment Plan for the Richfield
Redevelopment Project Area.
Statement of Objectives
The District currently consists of one parcel of land and adjacent and internal rights-of-way. The
District is being created to facilitate the development of a mixed-use project including
approximately 42 units of apartments and 1,358 square feet of commercial space in the City. The
HRA has entered into a preliminary agreement with PLH & Associates – 6605 1st, LLC, as the
developer. Development is anticipated to begin in the Spring 2021. This TIF Plan is expected to
achieve many of the objectives outlined in the Redevelopment Plan for the Richfield
Redevelopment Project Area.
The activities contemplated in the Modification to the Redevelopment Plan and the TIF Plan do
not preclude the undertaking of other qualified development or redevelopment acti vities. These
activities are anticipated to occur over the life of the Richfield Redevelopment Project Area and
the District.
Redevelopment Plan Overview
Pursuant to the Redevelopment Plan and authorizing state statutes, the HRA is authorized to
undertake the following activities in the District:
1. Property to be Acquired - Selected property located within the District may be
acquired by the HRA and is further described in this TIF Plan.
2. Relocation - Relocation services, to the extent required by law, are available
pursuant to M.S., Chapter 117 and other relevant state and federal laws.
Richfield Housing and Redevelopment Authority
2020-2 Tax Increment Financing District: Emi 5
3. Upon approval of a developer's plan relating to the project and completion of the
necessary legal requirements, the HRA may sell to a developer selected properties
that it may acquire within the District or may lease land or facilities to a developer.
4. The HRA may perform or provide for some or all necessary acquisition,
construction, relocation, demolition, and required utilities and public street work
within the District.
Description of Property in the District and Property to be Acquired
The District encompasses all property and adjacent rights-of-way and abutting roadways
identified by the parcels listed below.
Parcel number Address Owner
27.028.24.42.0134 101-66th St. E PLH
Please also see the map in Appendix A for further information on the location of the District.
The HRA may acquire any parcel within the District including interior and adjacent street rights of
way. Any properties identified for acquisition will be acquired by the HRA only in order to
accomplish one or more of the following: storm sewer improvements; provide land for needed
public streets, utilities and facilities; carry out land acquisition, site improvements, clearance
and/or development to accomplish the uses and objectives set forth in this plan. The HRA may
acquire property by gift, dedication, condemnation or direct purchase from willing sellers in order
to achieve the objectives of this TIF Plan. Such acquisitions will be undertaken only when there
is assurance of funding to finance the acquisition and related costs.
Classification of the District
The City and HRA, in determining the need to create a tax increment financing district in
accordance with M.S., Sections 469.174 to 469.1794, as amended, inclusive, finds that the
District, to be established, is a redevelopment district pursuant to M.S., Section 469.174, Subd.
10(a)(1).
$ The District is a redevelopment district consisting of one parcel.
$ An inventory shows that parcels consisting of more than 70 percent of the area in the District
are occupied by buildings, streets, utilities, paved or gravel parking lots or other similar
structures.
$ An inspection of the buildings located within the District finds that more than 50 percent of the
buildings are structurally substandard as defined in the TIF Act. (See Appendix D).
Pursuant to M.S., Section 469.176, Subd. 7, the District does not contain any parcel or part of a
parcel that qualified under the provisions of M.S., Sections 273.111, 273.112, or 273.114 or
Chapter 473H for taxes payable in any of the five calendar years before the filing of the request
for certification of the District.
Richfield Housing and Redevelopment Authority
2020-2 Tax Increment Financing District: Emi 6
Duration and First Year of Tax Increment of the District
Pursuant to M.S., Section 469.175, Subd. 1, and Section 469.176, Subd. 1, the duration and first
year of tax increment of the District must be indicated within the TIF Plan. Pursuant to M.S.,
Section 469.176, Subd. 1b., the duration of the District will be 25 years after receipt of the first
increment by the HRA (a total of 26 years of tax increment). The HRA elects to receive the first
tax increment in 2023, which is no later than four years following the year of approval of the
District.
Thus, it is estimated that the District, including any modifications o f the TIF Plan for subsequent
phases or other changes, would terminate after 2048, or when the TIF Plan is satisfied. The HRA
reserves the right to decertify the District prior to the legally required date.
Original Tax Capacity, Tax Rate and Estimated Captured Net Tax
Capacity Value/Increment and Notification of Prior Planned
Improvements
Pursuant to M.S., Section 469.174, Subd. 7 and M.S., Section 469.177, Subd. 1, the Original Net
Tax Capacity (ONTC) as certified for the District will be based on the market values placed on the
property by the assessor in 2020 for taxes payable 2021.
Pursuant to M.S., Section 469.177, Subds. 1 and 2, the County Auditor shall certify in each year
(beginning in the payment year 2022) the amount by which the original value has increased or
decreased as a result of:
1. Change in tax exempt status of property;
2. Reduction or enlargement of the geographic boundaries of the district;
3. Change due to adjustments, negotiated or court-ordered abatements;
4. Change in the use of the property and classification;
5. Change in state law governing class rates; or
6. Change in previously issued building permits.
In any year in which the current Net Tax Capacity (NTC) value of the District decline s below the
ONTC, no value will be captured and no tax increment will be payable to the HRA.
The original local tax rate for the District will be the local tax rate for taxes payable 2021, assuming
the request for certification is made before June 30, 2021). The ONTC and the Original Local
Tax Rate for the District appear in the table below.
Pursuant to M.S., Section 469.174 Subd. 4 and M.S., Section 469.177, Subd. 1, 2, and 4, the
estimated Captured Net Tax Capacity (CTC) of the District, within the Richfield Redevelopment
Project Area, upon completion of the projects within the District, will annually approximate tax
increment revenues as shown in the table below. The HRA requests 100 percent of the available
increase in tax capacity for repayment of its obligations and current expenditures, beginning in
the tax year payable 2023. The Project Tax Capacity (PTC) listed is an estimate of values when
the projects within the District are completed.
Richfield Housing and Redevelopment Authority
2020-2 Tax Increment Financing District: Emi 7
Project estimated Tax Capacity upon completion 241,211
Original estimated Net Tax Capacity 5,860
Fiscal Disparities 3,574
Estimated Captured Tax Capacity 231,777
Original Local Tax Rate 138.1810%Pay 2020
Estimated Annual Tax Increment $320,272
Percent Retainted by the City 100%
Project Tax Capacity
Note: Tax capacity includes a 3.00% inflation factor for the duration of the District. The tax capacity included
in this chart is the estimated tax capacity of the District in year 25. The tax capacity of the District in year
one is estimated to be $115,204.
Pursuant to M.S., Section 469.177, Subd. 4, the HRA shall, after a due and diligent search,
accompany its request for certification to the County Auditor or its notice of the District
enlargement pursuant to M.S., Section 469.175, Subd. 4, with a listing of all properties within the
District or area of enlargement for which building permits have been issued during the eighteen
(18) months immediately preceding approval of the TIF Plan by the municipality pursuant to M.S.,
Section 469.175, Subd. 3. The County Auditor shall increase the original net tax capa city of the
District by the net tax capacity of improvements for which a building permit was issued.
The HRA has reviewed the area to be included in the District and found no parcels for which
building permits have been issued during the 18 months immediately preceding approval of the
TIF Plan by the City.
Sources of Revenue/Bonds to be Issued
The total estimated tax increment revenues for the District are shown in the table below:
SOURCES
Tax Increment 5,815,545$
Interest 581,554
TOTAL 6,397,099$
The costs outlined in the Uses of Funds will be financed primarily through the annual collection of
tax increments. The HRA and City reserve the right to incur bonds or other indebtedness as a
result of the TIF Plan. As presently proposed, the projects within the District will be financed by
pay-as-you-go notes and interfund loans. Any refunding amounts will be deemed a budgeted
cost without a formal TIF Plan Modification. This provision does not obligate the HRA or City to
incur debt. The HRA or City will issue bonds or incur other debt only upon the determination that
such action is in the best interest of the City.
The HRA or City may issue bonds (as defined in the TIF Act) secured in whole or in part with tax
increments from the District in a maximum principal amount of $4,555,058. Such bonds may be
in the form of pay-as-you-go notes, revenue bonds or notes, general obligation bonds, or interfund
loans. This estimate of total bonded indebtedness is a cumulative statement of authority under
Richfield Housing and Redevelopment Authority
2020-2 Tax Increment Financing District: Emi 8
this TIF Plan as of the date of approval.
Uses of Funds
Currently under consideration for the District is a proposal to facilitate the development of a mixed-
use project including approximately 42 units of apartments and 1,358 square feet of commercial
space. The HRA has determined that it will be necessary to provide assistance to the project for
certain District costs, as described.
The HRA has studied the feasibility of the development or redevelopment of property in and
around the District. To facilitate the establishment and development or redevelopment of the
District, this TIF Plan authorizes the use of tax increment financing to pay for the cost of certain
eligible expenses. The estimate of public costs and uses of funds associated with the District is
outlined in the following table.
USES
Land/Building Acquisition -$
Site Improvements/Preparation 2,000,000
Affordable Housing 873,000
Utilities 50,000
Other Qualifying Improvements 1,050,504
Administrative Costs (up to 10%)581,554
PROJECT COSTS TOTAL 4,555,058$
Interest 1,842,041
PROJECT AND INTEREST COSTS TOTAL 6,397,099$
The total project cost, including financing costs (interest) listed in the table above does not exceed
the total projected tax increments for the District as shown in the Sources of Revenue section.
Estimated costs associated with the District are subject to change among categories without a
modification to this TIF Plan. The cost of all activities to be considered for tax increment financing
will not exceed, without formal modification, the budget above pursuant to the applicable statutory
requirements. Pursuant to M.S., Section 469.1763, Subd. 2, no more than 25 percent of the tax
increment paid by property within the District will be spent on activities related to development or
redevelopment outside of the District but within the boundaries of the Richfield Redevelopment
Project Area, (including administrative costs, which are considered to be spent outside of the
District) subject to the limitations as described in this TIF Plan.
Fiscal Disparities Election
Pursuant to M.S., Section 469.177, Subd. 3, the HRA may elect one of two methods to calculate
fiscal disparities.
The HRA will choose to calculate fiscal disparities by clause b (inside).
Richfield Housing and Redevelopment Authority
2020-2 Tax Increment Financing District: Emi 9
Estimated Impact on Other Taxing Jurisdictions
The estimated impact on other taxing jurisdictions assumes that the redevelopment contemplated
by the TIF Plan would occur without the creation of the District. However, the HRA and City have
determined that such development or redevelopment would not occur "but for" tax increment
financing and that, therefore, the fiscal impact on other taxing jurisdictions is $0. The estimated
fiscal impact of the District would be as follows if the "but for" test was not met:
Entity
2019/Pay 2020
Total Net Tax
Capacity
Estimated
Captured Tax
Capacity (CTC)
upon
completion
Percent of CTC
to Entity Total
Hennepin County 1,941,694,561 231,777 0.0119%
City of Richfield 36,111,232 231,777 0.6418%
ISD No. 280 50,666,987 231,777 0.4575%
Impact on Tax Base
Entity Pay 2020
Extension Rate Percent of Total CTC Potential
Taxes
Hennepin County 41.0840%29.73% 231,777 $ 95,223
City of Richfield 54.7270%39.61% 231,777 126,845
ISD No. 280 32.6580%23.63% 231,777 75,694
Other 9.7120%7.03% 231,777 22,510
138.1810%100.00% $ 320,272
Impact on Tax Rates
The estimates listed above display the captured tax capacity when all construction is completed.
The tax rate used for calculations is the Pay 2020 rate. The total net capacity for the entities listed
above are based on Pay 2020 figures. The District will be certified under the Pay 2021 rates,
which were unavailable at the time this TIF Plan was prepared.
Pursuant to M.S. Section 469.175 Subd. 2(b):
(1) Estimate of total tax increment. It is estimated that the total amount of tax increment
that will be generated over the life of the District is $5,815,545;
(2) Probable impact of the District on city provided services and ability to issue debt. An
impact of the District on police protection is expected. With any addition of new
residents or businesses, police calls for service will be increased. New developments
add an increase in traffic, and additional overall demands to the call load. The City
does not expect that the proposed development, in and of itself, will necessitate new
capital investment in vehicles or facilities.
The probable impact of the District on fire protection is not expected to be significant.
Richfield Housing and Redevelopment Authority
2020-2 Tax Increment Financing District: Emi 10
Typically, new buildings generate few calls, if any, and are of superior construction.
The existing buildings, which will be eliminated by the new development, have public
safety concerns that include several unprotected old buildings with issues such as
access, hydrant locations, and converted structures. The City does not expect that
the proposed development, in and of itself, will necessitate new capital investment in
vehicles or facilities.
The impact of the District on public infrastructure is expected to be minimal. The
development is not expected to significantly impact any traffic movements in the area.
The current infrastructure for sanitary sewer, storm sewer and water will be able to
handle the additional volume generated from the proposed development. Based on
the development plans, there are no additional costs associated with street
maintenance, sweeping, plowing, lighting and sidewalks. The development in the
District is expected to contribute an estimated $104,370 in sanitary sewer (SAC) and
no additional fees anticipated for water (WAC) connection fees.
The probable impact of any District general obligation tax increment bonds on the
ability to issue debt for general fund purposes is expected to be minimal. It is not
anticipated that there will be any general obligation debt issued in relation to this
project, therefore there will be no impact on the City's ability to issue future debt or on
the City's debt limit.
(3) Estimated amount of tax increment attributable to school district levies. It is estimated
that the amount of tax increments over the life of the District that would be attributable
to school district levies, assuming the school district's share of the total local tax rate
for all taxing jurisdictions remained the same, is $1,374,458;
(4) Estimated amount of tax increment attributable to county levies. It is estimated that the
amount of tax increments over the life of the District that would be attributable to county
levies, assuming the county's share of the total local tax rate for all taxing jurisdictions
remained the same, is $1,729,079;
(5) Additional information requested by the county or school district. The City is not aware
of any standard questions in a county or school district written policy regarding tax
increment districts and impact on county or school district services. The county or school
district must request additional information pursuant to M.S. Section 469.175 Subd. 2(b)
within 15 days after receipt of the tax increment financing plan.
No requests for additional information from the county or school district regarding the
proposed development for the District have been received.
Supporting Documentation
Pursuant to M.S. Section 469.175, Subd. 1 (a), clause 7 the TIF Plan must contain identification
and description of studies and analyses used to make the determination set forth in M.S. Section
469.175, Subd. 3, clause (b)(2) and the findings are required in the resolution approving the
District.
(i) In making said determination, reliance has been placed upon (1) written representation
made by the developer to such effects, (2) review of the developer’s proforma; and (3)
Richfield Housing and Redevelopment Authority
2020-2 Tax Increment Financing District: Emi 11
City staff awareness of the feasibility of developing the project site within the District,
which is further outlined in the City Council resolution approving the establishment of
the TIF District and Appendix C.
(ii) A comparative analysis of estimated market value both with and without establishment
of the TIF District and the use of tax increments has been performed. Such analysis is
included with the cashflow in Appendix B and indicates that the increase in estimated
market value of the proposed development (less the indicated subtractions) exceeds
the estimated market value of the site absent the establishment of the TIF District and
the use of tax increments.
Administration of the District
Administration of the District will be handled by the Community Development Director.
Richfield Housing and Redevelopment Authority
2020-2 Tax Increment Financing District: Emi 12
Appendix A: Map of the Richfield Redevelopment Project Area and
the TIF District
71st 1/2
70th 1/2
LOGAN75th
VINCENTUPTONTHOMASWASHBURNXERXESI - 494
78th
77th
76th
OLIVERNEWTONMORGANSHERIDANRUSSELLQUEENPENN74th
72nd
73th
71st
69th
70th
DUPONTKNOXJAMESIRVINGHUMBOLDTGIRARDFREMONTEMERSONCOLFAXBRYANTALDRICHGARFIELDGRANDHARRIETLYNDALE62nd
67th
68th
66th
65th
64th
63rd SHERIDAN1700240031002300WASHBURNXERXESVINCENTUPTONTHOMASRUSSELLQUEENPENNOLIVERNEWTONMORGANLOGANDUPONTHUMBOLDTKNOXJAMESIRVINGGIRARDEMERSONFREMONTLYNDALECOLFAXBRYANTALDRICHGARFIELDHARRIETGRAND69th
71st
72nd
73th
74th
75th
78th
70th
76th
77th
COLUMBUS2nd1stSTEVENSPLEASANTPILLSBURYBLAISDELLWENTWORTHNICOLLET3rdCLINTON4th5thPORTLANDOAKLANDPARK10th11th12th13th14thELLIOTCHICAGO15th16th17th18thCEDARBLOOMINGTON62nd
63rd
64th
65th
67th
68th
66thCOLUMBUSPLEASANTPILLSBURYWENTWORTHBLAISDELLSTEVENSNICOLLET1st2nd5thCLINTON3rd4thOAKLANDPARKPORTLAND15th11thCHICAGOELLIOT10th13th12th14thBLOOMINGTON16th17thCEDAR18th
1900800900100011001200130018006005004003002005010012420030032440050062070072080090010001100130014001500160017001800100152419006001200000700140029002800270026002500220021002000300015001600Richfield Redevelopment Project Area
City of Richfield, Minnesota
0 0.5 10.25
Miles ¯
Community Development Department
2013
Legend
Emi TIF
District No.
2020-02
Enclave TIF
District No.
2020-03
Parcels
City Limits
The boundaries of the Richfield Redevelopment
Project Area area are coterminous with the
boundaries of the City of Richfield.
2020-3 Tax Increment Financing District: Enclave
2020-2 Tax Increment Financing District: Emi
Richfield Housing and Redevelopment Authority
2020-2 Tax Increment Financing District: Emi 13
Appendix B: Estimated Cash Flow for the District
10/23/2020 Base Value Assumptions - Page 1
Emi Development - 3% Inflation
City of Richfield, MN
Mixed Use Redevelopment including 42 apartment units and commercial space
ASSUMPTIONS AND RATES
DistrictType:Redevelopment
District Name/Number:TIF 2020-2
County District #:TBD Exempt Class Rate (Exempt)0.00%
First Year Construction or Inflation on Value 2021 Commercial Industrial Preferred Class Rate (C/I Pref.)
Existing District - Specify No. Years Remaining First $150,000 1.50%
Inflation Rate - Every Year:3.00%Over $150,000 2.00%
Interest Rate:4.00%Commercial Industrial Class Rate (C/I)2.00%
Present Value Date:1-Feb-23 Rental Housing Class Rate (Rental)1.25%
First Period Ending 1-Aug-23 Affordable Rental Housing Class Rate (Aff. Rental)
Tax Year District was Certified:Pay 2021 First $162,000 0.75%
Cashflow Assumes First Tax Increment For Development:2023 Over $162,000 0.25%
Years of Tax Increment 26 Non-Homestead Residential (Non-H Res. 1 Unit)
Assumes Last Year of Tax Increment 2048 First $500,000 1.00%
Fiscal Disparities Election [Outside (A), Inside (B), or NA]Inside(B)Over $500,000 1.25%
Incremental or Total Fiscal Disparities Incremental Homestead Residential Class Rate (Hmstd. Res.)
Fiscal Disparities Contribution Ratio 35.1664%Pay 2020 First $500,000 1.00%
Fiscal Disparities Metro-Wide Tax Rate 142.4540%Pay 2020 Over $500,000 1.25%
Maximum/Frozen Local Tax Rate: 138.181%Pay 2020 Agricultural Non-Homestead 1.00%
Current Local Tax Rate: (Use lesser of Current or Max.)138.181%Pay 2020
State-wide Tax Rate (Comm./Ind. only used for total taxes)38.8460%Pay 2020
Market Value Tax Rate (Used for total taxes)0.14849%Pay 2020
Building Total Percentage Tax Year Property Current Class After
Land Market Market Of Value Used Original Original Tax Original After Conversion
PID Owner Address Market Value Value Value for District Market Value Market Value Class Tax Capacity Conversion Orig. Tax Cap.
27.028.24.42.0134 PLH 101-66th St. E 466,000 466,000 97%452,020 Pay 2021 C/I Pref.8,290 Rental 5,650 1
466,000 3%13,980 Pay 2021 C/I Pref.210 C/I Pref.210 1
466,000 0 932,000 466,000 8,500 5,860
Note:
1. Base values are for pay 2021 based upon review of County website.
2. Located in SD #280 and WS #3.
Area/
Phase
Tax Rates
BASE VALUE INFORMATION (Original Tax Capacity)
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10/23/2020 Base Value Assumptions - Page 2
Emi Development - 3% Inflation
City of Richfield, MN
Mixed Use Redevelopment including 42 apartment units and commercial space
Estimated Taxable Total Taxable Property Percentage Percentage Percentage Percentage First Year
Market Value Market Value Total Market Tax Project Project Tax Completed Completed Completed Completed Full Taxes
Area/Phase New Use Per Sq. Ft./Unit Per Sq. Ft./Unit Sq. Ft./Units Value Class Tax Capacity Capacity/Unit 2021 2022 2023 2024 Payable
1 Apartment 210,000 210,000 42 8,820,000 Rental 110,250 2,625 100%100%100%100%2023
1 Commercial 210 210 1,358 285,180 C/I Pref.4,954 4 100%100%100%100%2023
TOTAL 9,105,180 115,204
Subtotal Residential 42 8,820,000 110,250
Subtotal Commercial/Ind.1,358 285,180 4,954
Note:
1. Apartment market values are based upon estimates from the County assessor for other proposed multi-family developments. Range is $175,000 to $210,000/unit in September 2020.
Total Fiscal Local Local Fiscal State-wide Market
Tax Disparities Tax Property Disparities Property Value Total Taxes Per
New Use Capacity Tax Capacity Capacity Taxes Taxes Taxes Taxes Taxes Sq. Ft./Unit
Apartment 110,250 0 110,250 152,345 0 0 13,097 165,441 3,939.08
Commercial 4,954 1,742 3,212 4,438 2,482 1,342 423 8,684 6.40
TOTAL 115,204 1,742 113,462 156,782 2,482 1,342 13,520 174,126
Note:
1. Taxes and tax increment will vary significantly from year to year depending upon values, rates, state law, fiscal disparities and other factors
which cannot be predicted.
Total Property Taxes 174,126 Current Market Value - Est.466,000
less State-wide Taxes (1,342)New Market Value - Est.9,105,180
less Fiscal Disp. Adj.(2,482) Difference 8,639,180
less Market Value Taxes (13,520)Present Value of Tax Increment 3,371,628
less Base Value Taxes (7,995) Difference 5,267,552
Annual Gross TIF 148,787 Value likely to occur without Tax Increment is less than:5,267,552
WHAT IS EXCLUDED FROM TIF?MARKET VALUE BUT / FOR ANALYSIS
TAX CALCULATIONS
PROJECT INFORMATION (Project Tax Capacity)
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10/23/2020 Tax Increment Cashflow - Page 3
Emi Development - 3% Inflation
City of Richfield, MN
Mixed Use Redevelopment including 42 apartment units and commercial space
TAX INCREMENT CASH FLOW
Project Original Fiscal Captured Local Annual Semi-Annual State Admin.Pooling Semi-Annual Semi-Annual PERIOD
% of Tax Tax Disparities Tax Tax Gross Tax Gross Tax Auditor at at Net Tax Present ENDING Tax Payment
OTC Capacity Capacity Incremental Capacity Rate Increment Increment 0.36%10%15%Increment Value Yrs.Year Date
100%115,204 (5,860) (1,668) 107,675 138.181%148,787 74,393 (268) (7,413) (11,119) 55,594 54,504 0.5 ######08/01/23
100%115,204 (5,860) (1,668) 107,675 138.181%148,787 74,393 (268) (7,413) (11,119) 55,594 107,940 1 2023 02/01/24
100%118,660 (5,860) (1,721) 111,079 138.181%153,490 76,745 (276) (7,647) (11,470) 57,352 161,983 1.5 2024 08/01/24
100%118,660 (5,860) (1,721) 111,079 138.181%153,490 76,745 (276) (7,647) (11,470) 57,352 214,967 2 2024 02/01/25
100%122,219 (5,860) (1,774) 114,585 138.181%158,335 79,167 (285) (7,888) (11,832) 59,162 268,552 2.5 2025 08/01/25
100%122,219 (5,860) (1,774) 114,585 138.181%158,335 79,167 (285) (7,888) (11,832) 59,162 321,086 3 2025 02/01/26
100%125,886 (5,860) (1,830) 118,196 138.181%163,325 81,662 (294) (8,137) (12,205) 61,026 374,213 3.5 2026 08/01/26
100%125,886 (5,860) (1,830) 118,196 138.181%163,325 81,662 (294) (8,137) (12,205) 61,026 426,299 4 2026 02/01/27
100%129,663 (5,860) (1,887) 121,916 138.181%168,465 84,232 (303) (8,393) (12,589) 62,947 478,970 4.5 2027 08/01/27
100%129,663 (5,860) (1,887) 121,916 138.181%168,465 84,232 (303) (8,393) (12,589) 62,947 530,608 5 2027 02/01/28
100%133,553 (5,860) (1,946) 125,747 138.181%173,758 86,879 (313) (8,657) (12,985) 64,925 582,825 5.5 2028 08/01/28
100%133,553 (5,860) (1,946) 125,747 138.181%173,758 86,879 (313) (8,657) (12,985) 64,925 634,017 6 2028 02/01/29
100%137,559 (5,860) (2,006) 129,693 138.181%179,211 89,605 (323) (8,928) (13,392) 66,962 685,781 6.5 2029 08/01/29
100%137,559 (5,860) (2,006) 129,693 138.181%179,211 89,605 (323) (8,928) (13,392) 66,962 736,530 7 2029 02/01/30
100%141,686 (5,860) (2,069) 133,757 138.181%184,827 92,414 (333) (9,208) (13,812) 69,061 787,843 7.5 2030 08/01/30
100%141,686 (5,860) (2,069) 133,757 138.181%184,827 92,414 (333) (9,208) (13,812) 69,061 838,150 8 2030 02/01/31
100%145,936 (5,860) (2,133) 137,944 138.181%190,612 95,306 (343) (9,496) (14,244) 71,222 889,014 8.5 2031 08/01/31
100%145,936 (5,860) (2,133) 137,944 138.181%190,612 95,306 (343) (9,496) (14,244) 71,222 938,881 9 2031 02/01/32
100%150,315 (5,860) (2,199) 142,255 138.181%196,570 98,285 (354) (9,793) (14,690) 73,448 989,298 9.5 2032 08/01/32
100%150,315 (5,860) (2,199) 142,255 138.181%196,570 98,285 (354) (9,793) (14,690) 73,448 1,038,727 10 2032 02/01/33
100%154,824 (5,860) (2,267) 146,697 138.181%202,707 101,353 (365) (10,099) (15,148) 75,741 1,088,700 10.5 2033 08/01/33
100%154,824 (5,860) (2,267) 146,697 138.181%202,707 101,353 (365) (10,099) (15,148) 75,741 1,137,692 11 2033 02/01/34
100%159,469 (5,860) (2,338) 151,271 138.181%209,028 104,514 (376) (10,414) (15,621) 78,103 1,187,222 11.5 2034 08/01/34
100%159,469 (5,860) (2,338) 151,271 138.181%209,028 104,514 (376) (10,414) (15,621) 78,103 1,235,780 12 2034 02/01/35
100%164,253 (5,860) (2,410) 155,983 138.181%215,539 107,769 (388) (10,738) (16,107) 80,536 1,284,869 12.5 2035 08/01/35
100%164,253 (5,860) (2,410) 155,983 138.181%215,539 107,769 (388) (10,738) (16,107) 80,536 1,332,996 13 2035 02/01/36
100%169,180 (5,860) (2,484) 160,836 138.181%222,245 111,122 (400) (11,072) (16,608) 83,042 1,381,647 13.5 2036 08/01/36
100%169,180 (5,860) (2,484) 160,836 138.181%222,245 111,122 (400) (11,072) (16,608) 83,042 1,429,344 14 2036 02/01/37
100%174,256 (5,860) (2,561) 165,835 138.181%229,152 114,576 (412) (11,416) (17,125) 85,623 1,477,559 14.5 2037 08/01/37
100%174,256 (5,860) (2,561) 165,835 138.181%229,152 114,576 (412) (11,416) (17,125) 85,623 1,524,829 15 2037 02/01/38
100%179,483 (5,860) (2,640) 170,983 138.181%236,266 118,133 (425) (11,771) (17,656) 88,281 1,572,611 15.5 2038 08/01/38
100%179,483 (5,860) (2,640) 170,983 138.181%236,266 118,133 (425) (11,771) (17,656) 88,281 1,619,456 16 2038 02/01/39
100%184,868 (5,860) (2,722) 176,286 138.181%243,594 121,797 (438) (12,136) (18,204) 91,019 1,666,806 16.5 2039 08/01/39
100%184,868 (5,860) (2,722) 176,286 138.181%243,594 121,797 (438) (12,136) (18,204) 91,019 1,713,229 17 2039 02/01/40
100%190,414 (5,860) (2,806) 181,749 138.181%251,142 125,571 (452) (12,512) (18,768) 93,839 1,760,151 17.5 2040 08/01/40
100%190,414 (5,860) (2,806) 181,749 138.181%251,142 125,571 (452) (12,512) (18,768) 93,839 1,806,153 18 2040 02/01/41
100%196,126 (5,860) (2,892) 187,375 138.181%258,916 129,458 (466) (12,899) (19,349) 96,744 1,852,649 18.5 2041 08/01/41
100%196,126 (5,860) (2,892) 187,375 138.181%258,916 129,458 (466) (12,899) (19,349) 96,744 1,898,234 19 2041 02/01/42
100%202,010 (5,860) (2,981) 193,169 138.181%266,923 133,462 (480) (13,298) (19,947) 99,736 1,944,306 19.5 2042 08/01/42
100%202,010 (5,860) (2,981) 193,169 138.181%266,923 133,462 (480) (13,298) (19,947) 99,736 1,989,476 20 2042 02/01/43
100%208,071 (5,860) (3,073) 199,138 138.181%275,171 137,585 (495) (13,709) (20,564) 102,818 2,035,128 20.5 2043 08/01/43
100%208,071 (5,860) (3,073) 199,138 138.181%275,171 137,585 (495) (13,709) (20,564) 102,818 2,079,885 21 2043 02/01/44
100%214,313 (5,860) (3,167) 205,286 138.181%283,666 141,833 (511) (14,132) (21,198) 105,992 2,125,119 21.5 2044 08/01/44
100%214,313 (5,860) (3,167) 205,286 138.181%283,666 141,833 (511) (14,132) (21,198) 105,992 2,169,466 22 2044 02/01/45
100%220,742 (5,860) (3,264) 211,618 138.181%292,416 146,208 (526) (14,568) (21,852) 109,261 2,214,285 22.5 2045 08/01/45
100%220,742 (5,860) (3,264) 211,618 138.181%292,416 146,208 (526) (14,568) (21,852) 109,261 2,258,224 23 2045 02/01/46
100%227,364 (5,860) (3,364) 218,140 138.181%301,428 150,714 (543) (15,017) (22,526) 112,629 2,302,630 23.5 2046 08/01/46
100%227,364 (5,860) (3,364) 218,140 138.181%301,428 150,714 (543) (15,017) (22,526) 112,629 2,346,165 24 2046 02/01/47
100%234,185 (5,860) (3,467) 224,858 138.181%310,711 155,355 (559) (15,480) (23,219) 116,097 2,390,161 24.5 2047 08/01/47
100%234,185 (5,860) (3,467) 224,858 138.181%310,711 155,355 (559) (15,480) (23,219) 116,097 2,433,295 25 2047 02/01/48
100%241,211 (5,860) (3,574) 231,777 138.181%320,272 160,136 (576) (15,956) (23,934) 119,670 2,476,884 25.5 2048 08/01/48
100%241,211 (5,860) (3,574) 231,777 138.181%320,272 160,136 (576) (15,956) (23,934) 119,670 2,519,618 26 2048 02/01/49
Total 5,836,556 (21,012) (581,554) (872,332) 4,361,658
Present Value From 02/01/2023 Present Value Rate 4.00%3,371,628 (12,138) (335,949) (503,924) 2,519,618
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Richfield Housing and Redevelopment Authority
2020-2 Tax Increment Financing District: Emi 14
Appendix C: Findings Including But/For Qualifications
The reasons and facts supporting the findings for the adoption of the Tax Increment Financing
Plan (TIF Plan) for 2020-2 Tax Increment Financing District: Emi (the “District”), as required
pursuant to Minnesota Statutes, Section 469.175, Sub division 3 are as follows:
1. Finding that 2020-2 Tax Increment Financing District: Emi is a redevelopment district as
defined in M.S., Section 469.174, Subd. 10.
The District consists of one parcel and vacant right-of-way, with plans to redevelop the area
for the development of a mixed-use project including approximately 42 units of apartments
and 1,358 square feet of commercial space. Parcels consisting of 70 percent of the area of
the District are occupied by buildings, streets, utilities, paved or gravel parking lots or other
similar structures and more than 50 percent of the buildings in the District, not including
outbuildings, are structurally substandard to a degree requiring substantial renovation or
clearance. (See Appendix D of the TIF Plan.)
2. Finding that the proposed development, in the opinion of the City Council, would not
reasonably be expected to occur solely through private investment within the reasonably
foreseeable future and that the increased market value of the site that could reasonably be
expected to occur without the use of tax increment financing would be less than the increase
in the market value estimated to result from the proposed development after subtracting th e
present value of the projected tax increments for the maximum duration of 2020-2 Tax
Increment Financing District: Emi permitted by the TIF Plan.
The proposed development, in the opinion of the City, would not reasonably be expected to
occur solely through private investment within the reasonably foreseeable future: This finding
is supported by the fact that the redevelopment proposed in the TIF Plan meets the City's
objectives for redevelopment. Due to the high cost of redevelopment on the parcels currently
occupied by a substandard building, the incompatible land uses at close proximity, and the
cost of financing the proposed improvements, this project is feasible only through assistance,
in part, from tax increment financing. The developer was asked for and provided a letter and
a pro forma as justification that the developer would not have gone forward without tax
increment assistance.
The increased market value of the site that could reasonably be expected to occur without the
use of tax increment financing would be less than the increase in market value estimated to
result from the proposed development after subtracting the present value of the projected tax
increments for the maximum duration of the District permitted by the TIF Plan: This finding is
justified on the grounds that the cost of site and public improvements and utilities add to the
total redevelopment cost. Historically, construction costs, site and public improvements c osts
in this area have made redevelopment infeasible without tax increment assistance. The City
reasonably determines that no other redevelopment of similar scope is anticipated on this site
without substantially similar assistance being provided to the development.
Therefore, the City concludes as follows:
a. The City's estimate of the amount by which the market value of the entire District will
increase without the use of tax increment financing is $0.
Richfield Housing and Redevelopment Authority
2020-2 Tax Increment Financing District: Emi 15
b. If the proposed development occurs, the total increase in market value will be
$8,639,180.
c. The present value of tax increments from the District for the maximum duration of the
district permitted by the TIF Plan is estimated to be $3,371,628.
d. Even if some development other than the proposed development were to occur, the
Council finds that no alternative would occur that would produce a market value
increase greater than $5,267,552 (the amount in clause b less the amount in clause
c) without tax increment assistance.
3. Finding that the TIF Plan for the District conforms to the general plan for the development or
redevelopment of the municipality as a whole.
The City Council reviewed the TIF Plan and found that the TIF Plan conforms to the general
development plan of the City.
4. Finding that the TIF Plan for 2020-2 Tax Increment Financing District: Emi will afford maximum
opportunity, consistent with the sound needs of the City as a whole, for the development or
redevelopment of Richfield Redevelopment Project Area by private enterprise.
The project to be assisted by the District will result in an increase in the availability of safe and
decent life-cycle housing in the City, the renovation of substandard properties, increased tax
base of the State and add a high-quality development to the City.
Richfield Housing and Redevelopment Authority
2020-2 Tax Increment Financing District: Emi 16
Appendix D: Redevelopment Qualifications for the District
REPORT OF INSPECTION PROCEDURES AND RESULTS FOR
DETERMINING QUALIFICATIONS OF A
TAX INCREMENT FINANCING DISTRICT AS A REDEVELOPMENT DISTRICT
101 66TH STREET EAST REDEVELOPMENT TIF DISTRICT
RICHFIELD, MINNESOTA
October 20, 2020
Prepared for the CITY OF R ICHFIELD, MINNESOTA
Prepared by:
LHB, Inc.
701 Washington Avenue North, Suite 200
Minneapolis, Minnesota 55401
LHB Project No. 200617
101 66th Street East Redevelopment TIF District
LHB Project No. 200617 Page 1 of 9 Final Report
Table of Contents
Part 1: Executive Summary ......................................................................................................................................2
Purpose of the Evaluation ........................................................................................................................................................ 2
Scope of Work ......................................................................................................................................................................... 2
Conclusion ............................................................................................................................................................................... 3
Part 2: Minnesota Statute 469.174, Subdivision 10 Requirements .......................................................................3
Interior Inspection .................................................................................................................................................................... 3
Exterior Inspection and Other Means ...................................................................................................................................... 3
Documentation ......................................................................................................................................................................... 3
Qualification Requirements ...................................................................................................................................................... 3
1. Coverage Test .................................................................................................................................................................... 3
2. Condition of Buildings Test ................................................................................................................................................. 4
3. Distribution of Substandard Buildings ................................................................................................................................. 5
Part 3: Procedures Followed ....................................................................................................................................5
Part 4: Findings .........................................................................................................................................................5
1. Coverage Test ..................................................................................................................................................................... 5
2. Condition of Building Test .................................................................................................................................................... 6
3. Distribution of Substandard Structures ................................................................................................................................ 8
Part 5: Team Credentials ..........................................................................................................................................9
Appendices ................................................................................................................................................................9
APPENDIX A Property Condition Assessment Summary Sheet
APPENDIX B Building Code, Condition Deficiency and Context Analysis Reports
APPENDIX C Building Replacement Cost Reports
Code Deficiency Cost Reports
Photographs
101 66th Street East Redevelopment TIF District
LHB Project No. 200617 Page 2 of 9 Final Report
Part 1: Executive Summary
Purpose of the Evaluation
LHB was hired by the City of Richfield to inspect and evaluate the properties within a Tax Increment Financing
Redevelopment District (“TIF District”) proposed to be established by the City. The proposed TIF District is bounded by 1st
Avenue South, 66th Street East, and Stevens Avenue (Diagram 1). The purpose of LHB’s work is to determine whether the
proposed TIF District meets the statutory requirements for coverage, and whether three (3) buildings on one (1) parcel,
located within the proposed TIF District, meet the qualifications required for a Redevelopment District.
Diagram 1: Proposed TIF District
Scope of Work
The proposed TIF District consists of one (1) parcel with three (3) buildings and one (1) outbuilding. Three (3) buildings were
inspected on September 8, 2020. Building Code and Condition Deficiency reports for the buildings that were inspected and
found substandard are located in Appendix B.
101 66th Street East Redevelopment TIF District
LHB Project No. 200617 Page 3 of 9 Final Report
Conclusion
After inspecting and evaluating the properties within the proposed TIF District and applying current statutory criteria for a
Redevelopment District under Minnesota Statutes, Section 469.174, Subdivision 10, it is our professional opinion that the
proposed TIF District qualifies as a Redevelopment District because:
• The proposed TIF District has a coverage calculation of 100 percent which is above the 70 percent requirement.
• 100 percent of the buildings are structurally substandard which is above the 50 percent requirement.
• The substandard buildings are reasonably distributed.
The remainder of this report describes our process and findings in detail.
Part 2: Minnesota Statute 469.174, Subdivision 10
Requirements
The properties were inspected in accordance with the following requirements under Minnesota Statutes, Section 469.174,
Subdivision 10(c), which states:
Interior Inspection
“The municipality may not make such determination [that the building is structurally substandard] without an interior
inspection of the property...”
Exterior Inspection and Other Means
“An interior inspection of the property is not required, if the municipality finds that
(1) the municipality or authority is unable to gain access to the property after using its best efforts to obtain
permission from the party that owns or controls the property; and
(2) the evidence otherwise supports a reasonable conclusion that the building is structurally substandard.”
Documentation
“Written documentation of the findings and reasons why an interior inspection was not conducted must be made and
retained under section 469.175, subdivision 3(1).”
Qualification Requirements
Minnesota Statutes, Section 469.174, Subdivision 10 (a) (1) requires three tests for occupied parcels:
1. COVERAGE TEST
a. Minnesota Statutes, Section 469.174, Subdivision 10(a)(1) states:
“parcels consisting of 70 percent of the area of the district are occupied by buildings, streets, utilities, or paved or
gravel parking lots…”
b. The coverage required by the parcel to be considered occupied is defined under Minnesota Statutes, Section
469.174, Subdivision 10(e), which states:
“For purposes of this subdivision, a parcel is not occupied by buildings, streets, utilities, paved or gravel parking lots,
or other similar structures unless 15 percent of the area of the parcel contains buildings, streets, utilities, paved or
gravel parking lots, or other similar structures.”
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LHB Project No. 200617 Page 4 of 9 Final Report
2. CONDITION OF BUILDINGS TEST
a. Minnesota Statutes, Section 469.174, Subdivision 10(a) states:
“…and more than 50 percent of the buildings, not including outbuildings, are structurally substandard to a degree
requiring substantial renovation or clearance;”
b. Structurally substandard is defined under Minnesota Statutes, Section 469.174, Subdivision 10(b), which states:
“For purposes of this subdivision, ‘structurally substandard’ shall mean containing defects in structural elements or a
combination of deficiencies in essential utilities and facilities, light and ventilation, fire protection including adequate
egress, layout and condition of interior partitions, or similar factors, which defects or deficiencies are of sufficient total
significance to justify substantial renovation or clearance.”
i. We do not count energy code deficiencies toward the thresholds required by Minnesota Statutes, Section
469.174, Subdivision 10(b) defined as “structurally substandard”, due to concerns expressed by the State of
Minnesota Court of Appeals in the Walser Auto Sales, Inc. vs. City of Richfield case filed November 13, 2001.
c. Buildings are not eligible to be considered structurally substandard unless they meet certain additional criteria, as set
forth in Subdivision 10(c) which states:
“A building is not structurally substandard if it is in compliance with the building code applicable to new buildings or
could be modified to satisfy the building code at a cost of less than 15 percent of the cost of constructing a new
structure of the same square footage and type on the site. The municipality may find that a building is not disqualified
as structurally substandard under the preceding sentence on the basis of reasonably available evidence, such as the
size, type, and age of the building, the average cost of plumbing, electrical, or structural repairs, or other similar
reliable evidence.”
“Items of evidence that support such a conclusion [that the building is not disqualified] include recent fire or police
inspections, on-site property tax appraisals or housing inspections, exterior evidence of deterioration, or other similar
reliable evidence.”
i. LHB counts energy code deficiencies toward the 15 percent code threshold required by Minnesota Statutes,
Section 469.174, Subdivision 10(c)) for the following reasons:
1) The Minnesota energy code is one of ten building code areas highlighted by the Minnesota Department of
Labor and Industry website where minimum construction standards are required by law.
2) Chapter 13 of the 2015 Minnesota Building Code states, “Buildings shall be designed and constructed in
accordance with the International Energy Conservation Code.” Furthermore, Minnesota Rules, Chapter
1305.0021 Subpart 9 states, “References to the International Energy Conservation Code in this code mean
the Minnesota Energy Code…”
3) Chapter 11 of the 2015 Minnesota Residential Code incorporates Minnesota Rules, Chapters, 1322 and
1323 Minnesota Energy Code.
4) The Senior Building Code Representative for the Construction Codes and Licensing Division of the
Minnesota Department of Labor and Industry confirmed that the Minnesota Energy Code is being enforced
throughout the State of Minnesota.
5) In a January 2002 report to the Minnesota Legislature, the Management Analysis Division of the Minnesota
Department of Administration confirmed that the construction cost of new buildings complying with the
Minnesota Energy Code is higher than buildings built prior to the enactment of the code.
6) Proper TIF analysis requires a comparison between the replacement value of a new building built under
current code standards with the repairs that would be necessary to bring the existing building up to current
code standards. In order for an equal comparison to be made, all applicable code chapters should be
applied to both scenarios. Since current construction estimating software automatically applies the
construction cost of complying with the Minnesota Energy Code, energy code deficiencies should also be
identified in the existing structures.
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LHB Project No. 200617 Page 5 of 9 Final Report
3. DISTRIBUTION OF SUBSTANDARD BUILDINGS
a. Minnesota Statutes, Section 469.174, Subdivision 10, defines a Redevelopment District and requires one or more of
the following conditions “reasonably distributed throughout the district.”:
“(1) Parcels consisting of 70 percent of the area of the district are occupied by buildings, streets, utilities, paved or
gravel parking lots, or other similar structures and more than 50 percent of the buildings, not including outbuildings,
are structurally substandard to a degree requiring substantial renovation or clearance;
(2) the property consists of vacant, unused, underused, inappropriately used, or infrequently used rail yards, rail
storage facilities, or excessive or vacated railroad rights-of-way;
(3) tank facilities, or property whose immediately previous use was for tank facilities…”
b. Our interpretation of the distribution requirement is that the substandard buildings must be reasonably distributed
throughout the district as compared to the location of all buildings in the district. For example, if all of the buildings in
a district are located on one half of the area of the district, with the other half occupied by parking lots (meeting the
required 70 percent coverage for the district), we would evaluate the distribution of the substandard buildings
compared with only the half of the district where the buildings are located. If all of the buildings in a district are
located evenly throughout the entire area of the district, the substandard buildings must be reasonably distributed
throughout the entire area of the district. We believe this is consistent with the opinion expressed by the State of
Minnesota Court of Appeals in the Walser Auto Sales, Inc. vs. City of Richfield case filed November 13, 2001.
Part 3: Procedures Followed
LHB inspected three (3) of the three (3) buildings during the day of September 8, 2020.
For the purposes of our work, we are defining buildings as those structures inhabited by human beings. These structures
would typically include water, sewer and electricity. Barns and small storage facilities, and garages are considered
“outbuildings” which are not typically considered in TIF analysis because they have very few code requirements and are not
intended for human occupation.
Part 4: Findings
1. Coverage Test
a. The total square foot area of the parcel in the proposed TIF District was obtained from City records, GIS mapping
and site verification.
b. The total square foot area of buildings and site improvements on the parcels in the proposed TIF District was
obtained from City records, GIS mapping and site verification.
c. The percentage of coverage for each parcel in the proposed TIF District was computed to determine if the 15 percent
minimum requirement was met. The total square footage of parcels meeting the 15 percent requirement was divided
into the total square footage of the entire district to determine if the 70 percent requirement was met.
FINDING
The proposed TIF District met the coverage test under Minnesota Statutes, Section 469.174, Subdivision 10(e),
which resulted in parcels consisting of 100 percent of the area of the proposed TIF District being occupied by
buildings, streets, utilities, paved or gravel parking lots, or other similar structures (Diagram 2). This exceeds the 70
percent area coverage requirement for the proposed TIF District under Minnesota Statutes, Section 469.174,
Subdivision (a) (1).
101 66th Street East Redevelopment TIF District
LHB Project No. 200617 Page 6 of 9 Final Report
Diagram 2 – Coverage Diagram
Shaded area depicts a parcel more than 15 percent occupied by buildings, streets, utilities,
paved or gravel parking lots or other similar structures
2. Condition of Building Test
a. BUILDING INSPECTION
i. The first step in the evaluation process is the building inspection. After an initial walk-thru, the inspector makes a
judgment whether or not a building “appears” to have enough defects or deficiencies of sufficient total
significance to justify substantial renovation or clearance. If it does, the inspector documents with notes and
photographs code and non-code deficiencies in the building. b. REPLACEMENT COST
i. The second step in evaluating a building to determine if it is substandard to a degree requiring substantial
renovation or clearance is to determine its replacement cost. This is the cost of constructing a new structure of
the same square footage and type on site. Replacement costs were researched using R.S. Means Cost Works
square foot models for 2020.
ii. A replacement cost was calculated by first establishing building use (office, retail, residential, etc.), building
construction type (wood, concrete, masonry, etc.), and building size to obtain the appropriate median
replacement cost, which factors in the costs of construction in Richfield, Minnesota.
iii. Replacement cost includes labor, materials, and the contractor’s overhead and profit. Replacement costs do not
include architectural fees, legal fees or other “soft” costs not directly related to construction activities.
Replacement cost for each building is tabulated in Appendix A.
101 66th Street East Redevelopment TIF District
LHB Project No. 200617 Page 7 of 9 Final Report
c. CODE DEFICIENCIES
i. The next step in evaluating a building is to determine what code deficiencies exist with respect to such building.
Code deficiencies are those conditions for a building which are not in compliance with current building codes
applicable to new buildings in the State of Minnesota.
ii. Minnesota Statutes, Section 469.174, Subdivision 10(c), specifically provides that a building cannot be
considered structurally substandard if its code deficiencies are not at least 15 percent of the replacement cost of
the building. As a result, it was necessary to determine the extent of code deficiencies for each building in the
proposed TIF District.
iii. The evaluation was made by reviewing all available information with respect to such buildings contained in City
Building Inspection records and making interior and exterior inspections of the buildings. LHB utilizes the current
Minnesota State Building Code as the official code for our evaluations. The Minnesota State Building Code is
actually a series of provisional codes written specifically for Minnesota only requirements, adoption of several
international codes, and amendments to the adopted international codes.
iv. After identifying the code deficiencies in each building, we used R.S. Means Cost Works 2020; Unit and
Assembly Costs to determine the cost of correcting the identified deficiencies. We were then able to compare
the correction costs with the replacement cost of each building to determine if the costs for correcting code
deficiencies meet the required 15 percent threshold.
FINDING
Three (3) out of three (3) buildings (100 percent) in the proposed TIF District contained code deficiencies exceeding
the 15 percent threshold required by Minnesota Statutes, Section 469.174, Subdivision 10(c). Building Code,
Condition Deficiency and Context Analysis reports for the buildings in the proposed TIF District can be found in
Appendix B of this report.
d. SYSTEM CONDITION DEFICIENCIES
i. If a building meets the minimum code deficiency threshold under Minnesota Statutes, Section 469.174,
Subdivision 10(c), then in order for such building to be “structurally substandard” under Minnesota Statutes,
Section 469.174, Subdivision 10(b), the building’s defects or deficiencies should be of sufficient total significance
to justify “substantial renovation or clearance.” Based on this definition, LHB re-evaluated each of the buildings
that met the code deficiency threshold under Minnesota Statutes, Section 469.174, Subdivision 10(c), to
determine if the total deficiencies warranted “substantial renovation or clearance” based on the criteria we
outlined above.
ii. System condition deficiencies are a measurement of defects or substantial deterioration in site elements,
structure, exterior envelope, mechanical and electrical components, fire protection and emergency systems,
interior partitions, ceilings, floors and doors.
iii. The evaluation of system condition deficiencies was made by reviewing all available information contained in
City records, and making interior and exterior inspections of the buildings. LHB only identified system condition
deficiencies that were visible upon our inspection of the building or contained in City records. We did not
consider the amount of “service life” used up for a particular component unless it was an obvious part of that
component’s deficiencies.
iv. After identifying the system condition deficiencies in each building, we used our professional judgment to
determine if the list of defects or deficiencies is of sufficient total significance to justify “substantial renovation or
clearance.”
FINDING
In our professional opinion, three (3) out of three (3) buildings (100 percent) in the proposed TIF District are
structurally substandard to a degree requiring substantial renovation or clearance, because of defects in structural
elements or a combination of deficiencies in essential utilities and facilities, light and ventilation, fire protection
including adequate egress, layout and condition of interior partitions, or similar factors which defects or deficiencies
are of sufficient total significance to justify substantial renovation or clearance. This exceeds the 50 percent
requirement of Subdivision 10a(1).
101 66th Street East Redevelopment TIF District
LHB Project No. 200617 Page 8 of 9 Final Report
3. Distribution of Substandard Structures
a. Much of this report has focused on the condition of individual buildings as they relate to requirements identified by
Minnesota Statutes, Section 469.174, Subdivision 10. It is also important to look at the distribution of substandard
buildings throughout the geographic area of the proposed TIF District (Diagram 3).
FINDING
The parcels with substandard buildings are reasonably distributed compared to all parcels that contain buildings. In
addition, the substandard buildings are reasonably distributed within the parcels that contain buildings.
Diagram 3 – Substandard Buildings
Shaded green area depicts parcels with buildings.
Shaded orange area depicts substandard buildings.
101 66th Street East Redevelopment TIF District
LHB Project No. 200617 Page 9 of 9 Final Report
Part 5: Team Credentials
Michael A. Fischer, AIA, LEED AP - Project Principal/TIF Analyst
Michael has 32 years of experience as project principal, project manager, project designer and project architect on planning,
urban design, educational, commercial and governmental projects. He has become an expert on Tax Increment Finance
District analysis assisting over 100 cities with strategic planning for TIF Districts. He is an Architectural Principal at LHB and
currently leads the Minneapolis office.
Michael completed a two-year Bush Fellowship, studying at MIT and Harvard in 1999, earning Masters degrees in City
Planning and Real Estate Development from MIT. He has served on more than 50 committees, boards and community task
forces, including a term as a City Council President and as Chair of a Metropolitan Planning Organization. Most recently, he
served as Chair of the Edina, Minnesota planning commission and is currently a member of the Edina city council. Michael
has also managed and designed several award-winning architectural projects, and was one of four architects in the Country to
receive the AIA Young Architects Citation in 1997.
Philip Waugh – Project Manager/TIF Analyst
Philip is a project manager with 13 years of experience in historic preservation, building investigations, material research, and
construction methods. He previously worked as a historic preservationist and also served as the preservation specialist at the
St. Paul Heritage Preservation Commission. Currently, Phil sits on the Board of Directors for the Preservation Alliance of
Minnesota. His current responsibilities include project management of historic preservation projects, performing building
condition surveys and analysis, TIF analysis, writing preservation specifications, historic design reviews, writing Historic
Preservation Tax Credit applications, preservation planning, and grant writing.
Phil Fisher – Inspector
For 35 years, Phil Fisher worked in the field of Building Operations in Minnesota including White Bear Lake Area Schools. At
the University of Minnesota he earned his Bachelor of Science in Industrial Technology. He is a Certified Playground Safety
Inspector, Certified Plant Engineer, and is trained in Minnesota Enterprise Real Properties (MERP) Facility Condition
Assessment (FCA). His FCA training was recently applied to the Minnesota Department of Natural Resources Facilities
Condition Assessment project involving over 2,000 buildings.
Appendices
APPENDIX A Property Condition Assessment Summary Sheet
APPENDIX B Building Code, Condition Deficiency and Context Analysis Reports
APPENDIX C Building Replacement Cost Reports
Code Deficiency Cost Reports
Photographs
APPENDIX A
Property Condition Assessment Summary Sheet
101 66th Street East Redevelopment TIF DistrictProperty Condition Assessment Summary SheetRichfield, MinnesotaTIF Map No.PID # Property AddressImproved or VacantSurvey Method UsedSite Area(S.F.)Coverage Area of Improvements(S.F.)Coverage Percent of ImprovementsCoverageQuantity(S.F.)No. of BuildingsBuildingReplacementCost15% of Replacement CostBuilding Code DeficienciesNo. of Buildings Exceeding 15% CriteriaNo. of buildings determined substandardA101 66th St E Exterior16605 1st Avenue South Interior/Exterior$975,816 $146,372 $338,762 1 126600 Stevens Avenue Interior/Exterior$110,937 $16,640 $39,897 1 136608 Stevens Avenue Interior/Exterior$91,424 $13,714 $17,189 1 1TOTALS 42,823 42,823 3 33100.0% 100.0%https://share.lhbcorp.com/PD/SpeIns/PD Special Inspections/TIF Analysis Templates/TIF Summary Spreadsheet Templates/[Redevelopment TIF Summary Spreadsheet Template.xlsx]Property Info100.0%42,823 32702824420134 Improved 42,823 14,977 35.0%Total Coverage Percent:Percent of buildings exceeding 15 percent code deficiency threshold: Percent of buildings determined substandard: LHB Project Number 200617Page 1 of 1Property Condition Assessment Summary Sheet
APPENDIX B
Building Code, Condition Deficiency and Context Analysis Reports
101 66th Street East Redevelopment TIF District Page 1 of 2 Building Report
LHB Project No. 200617 Parcel A Building 1 – Church / Office
101 66th Street East Redevelopment TIF District
Building Code, Condition Deficiency and Context Analysis Report
Parcel A Building 1 Church / Office
Address: 6605 1st Ave South, Richfield, Minnesota 55423
Parcel ID: 27-028-24-42-0134
Inspection Date(s) & Time(s): September 8, 2020 9:30 am
Inspection Type: Interior and Exterior
Summary of Deficiencies: It is our professional opinion that this building is Substandard because:
- Substantial renovation is required to correct Conditions found.
- Building Code deficiencies total more than 15% of replacement cost, NOT
including energy code deficiencies.
Estimated Replacement Cost: $975,816
Estimated Cost to Correct Building Code Deficiencies: $338,762
Percentage of Replacement Cost for Building Code Deficiencies: 34.72%
DEFECTS IN STRUCTURAL ELEMENTS
1. None observed
COMBINATION OF DEFICIENCIES
1. Essential Utilities and Facilities
a. There are no code required accessible parking spaces.
b. There is no code compliant accessible route into the building.
c. There is no code required accessible route to all levels of the building.
d. There are no utilities connected to the building.
e. Drinking fountain is not accessible per code.
2. Light and Ventilation
a. The HVAC system is not code compliant.
3. Fire Protection/Adequate Egress
a. Thresholds do not comply with code for maximum height.
b. Exterior stairways do not comply with code.
c. Door hardware is not code compliant.
d. Emergency lighting is not code compliant.
e. Smoke detectors are not code compliant.
f. Emergency notification system is not code compliant.
g. There is no code required building sprinkler system in the building.
h. Interior stairways are not code compliant.
i. Flooring is damaged/missing creating an impediment to emergency egress, contrary to code.
j. Sidewalks are damaged, creating an impediment to emergency egress, which is contrary to code.
101 66th Street East Redevelopment TIF District Page 2 of 2 Building Report
LHB Project No. 200617 Parcel A Building 1 – Church / Office
4. Layout and Condition of Interior Partitions/Materials
a. Walls should be repaired/repainted.
b. Carpeting is stained and should be replaced.
c. Ceilings are damaged from water intrusion from failed roofing material.
d. Mold is present on walls and ceilings.
5. Exterior Construction
a. Siding is damaged, allowing for water intrusion, contrary to code.
b. Wood siding and trim should be repainted.
c. Windows have failed, allowing for water intrusion, contrary to code.
d. Roofing material has failed, allowing for water intrusion, contrary to code.
DESCRIPTION OF CODE DEFICIENCIES
1. Code required accessible parking spaces should be created.
2. A code required accessible route into the building should be created.
3. A code required accessible route to all levels should be created.
4. A code required accessible drinking fountain should be installed.
5. Restrooms are not accessible per code.
6. The HVAC system is not code compliant.
7. Thresholds do not comply with code for maximum height.
8. Exterior stairways do not comply with code.
9. Door hardware is not code compliant.
10. Emergency lighting is not code compliant.
11. Smoke detectors are not code compliant.
12. Emergency notification system is not code compliant.
13. There is no code required building sprinkler system.
14. Interior stairways are not code compliant.
15. Damaged/missing flooring is creating an impediment to emergency egress, contrary to code.
16. Damaged sidewalks are creating an impediment to emergency egress, contrary to code.
17. Siding is damaged allowing for water intrusion, contrary to code.
18. Windows have failed, allowing for water intrusion, contrary to code.
19. Roofing material has failed, allowing for water intrusion, contrary to code.
OVERVIEW OF DEFICIENCIES
This multi-level building most recently housed a church but is currently vacant. The building is not code compliant for
accessibility. The building walls, windows and roofing material are compromised, allowing for water intrusion, contrary to
code. The exterior walls and wood surfaces should be repaired/repainted. None of the life safety systems are code compliant
and the building does not have a code required sprinkler system. All stairways do not comply with code. Interior walls and
ceilings should be repaired/repainted. Flooring is damaged and should be replaced. The HVAC system does not comply with
code.
M:\20Proj\200617\300 Design\Reports\Building Reports\1 -6605 1st Ave S\6605 1st Ave S Building Report.docx
101 66th Street East Redevelopment TIF District Page 1 of 2 Building Report
LHB Project No. 200617 Parcel A Building 2 - Residence
101 66th Street East Redevelopment TIF District
Building Code, Condition Deficiency and Context Analysis Report
Parcel A Building 2 Residence
Address: 6600 Stevens Ave, Richfield, Minnesota 55423
Parcel ID: 27-028-24-42-0134
Inspection Date(s) & Time(s): September 8, 2020 10:00 am
Inspection Type: Interior and Exterior
Summary of Deficiencies: It is our professional opinion that this building is Substandard because:
- Substantial renovation is required to correct Conditions found.
- Building Code deficiencies total more than 15% of replacement cost, NOT
including energy code deficiencies.
Estimated Replacement Cost: $110,937
Estimated Cost to Correct Building Code Deficiencies: $39,897
Percentage of Replacement Cost for Building Code Deficiencies: 35.96%
DEFECTS IN STRUCTURAL ELEMENTS
1. Foundation is cracked, allowing for water intrusion, contrary to code.
COMBINATION OF DEFICIENCIES
1. Essential Utilities and Facilities
a. There is no electrical connection to the building.
b. There is no potable water connection to the building.
2. Light and Ventilation
a. The HVAC system does not comply with code.
3. Fire Protection/Adequate Egress
a. There are no code required Ground Fault Circuit Interrupters in the building.
b. There are no code required Arc Fault Circuit Interrupters in the building.
c. Basement stairs do not comply with code.
d. Smoke detectors do not comply with code.
e. There are no code required carbon monoxide detectors in the building.
4. Layout and Condition of Interior Partitions/Materials
a. Interior walls are damaged and should be repaired/repainted.
b. Carpeting should be replaced.
c. Basement floor to ceiling height does not comply with code.
101 66th Street East Redevelopment TIF District Page 2 of 2 Building Report
LHB Project No. 200617 Parcel A Building 2 - Residence
5. Exterior Construction
a. Wood siding and trim needs to be repainted.
b. Gutters should be cleaned of vegetation.
c. Windows have failed, allowing for water intrusion, contrary to code.
d. Wood fascia boards are rotted, allowing for water intrusion, contrary to code.
e. Concrete stoop is damaged and should be repaired/replaced.
f. Roofing material has failed, allowing for water intrusion, contrary to code.
DESCRIPTION OF CODE DEFICIENCIES
1. Cracked foundation is allowing water intrusion, contrary to code.
2. The HVAC system does not comply with code.
3. Code required GFCI’s should be installed.
4. Code required AFCI’s should be installed.
5. Basement stairs do not comply with code.
6. Smoke detectors do not comply with code.
7. There are no code required carbon monoxide detectors in the building.
8. Basement floor to ceiling height does not comply with code.
9. Windows have failed, allowing for water intrusion, contrary to code.
10. Replace rotted fascia to prevent water intrusion per code.
11. Roofing material has failed, allowing for water intrusion, contrary to code.
OVERVIEW OF DEFICIENCIES
This residential dwelling is currently vacant. All utilities have been disconnected. The concrete foundation is cracked,
allowing for water intrusion, contrary to code. The roofing material, wood fascia, and windows have failed, allowing for water
intrusion, contrary to code. Exterior wood trim and siding should be repainted. Interior walls are damaged and should be
repaired/repainted. Carpeting should be replaced. There are no code required GFCI’s and AFCI’s in the building. Smoke
detectors are not code compliant. There are no code required carbon monoxide detectors. Basement stairs do not comply
with code. The basement floor to ceiling height does not comply with code. The HVAC system does not comply with code.
M:\20Proj\200617\300 Design\Reports\Building Reports\2 -6600 Stevens Ave\6600 Stevens Ave Building Report.docx
101 66th Street East Redevelopment TIF District Page 1 of 2 Building Report
LHB Project No. 200617 Parcel A Building 3 - Residence
101 66th Street East Redevelopment TIF District
Building Code, Condition Deficiency and Context Analysis Report
Parcel A Building 3 Residence
Address: 6608 Stevens Ave, Richfield, Minnesota 55423
Parcel ID: 27-028-24-42-0134
Inspection Date(s) & Time(s): September 8, 2020 10:30 am
Inspection Type: Interior and Exterior
Summary of Deficiencies: It is our professional opinion that this building is Substandard because:
- Substantial renovation is required to correct Conditions found.
- Building Code deficiencies total more than 15% of replacement cost, NOT
including energy code deficiencies.
Estimated Replacement Cost: $91,424
Estimated Cost to Correct Building Code Deficiencies: $17,189
Percentage of Replacement Cost for Building Code Deficiencies: 18.80%
DEFECTS IN STRUCTURAL ELEMENTS
1. None observed
Combination of Deficiencies
1. Essential Utilities and Facilities
a. There are no utilities connected to the building.
2. Light and Ventilation
a. HVAC system does not comply with code.
3. Fire Protection/Adequate Egress
a. Basement stairway does not comply with code.
b. Ground Fault Circuit Interrupters are not code compliant.
c. There are no code required Arc Fault Circuit Interrupters in the building.
d. Smoke detectors are not code compliant.
e. There is no code required egress window in the basement.
4. Layout and Condition of Interior Partitions/Materials
a. Interior ceilings are damaged and should be repaired.
b. Interior walls are damaged and should be repaired/repainted.
c. Carpeting should be replaced.
101 66th Street East Redevelopment TIF District Page 2 of 2 Building Report
LHB Project No. 200617 Parcel A Building 3 - Residence
5. Exterior Construction
a. Sidewalk is damaged and should be replaced.
b. Exterior steps are damaged and should be replaced.
c. Windows have failed, allowing for water intrusion, contrary to code.
d. Exterior would trim should be repainted.
e. Chimney is failing, allowing for water intrusion, contrary to code.
f. Rear concrete steps are damaged and should be repaired/replaced.
DESCRIPTION OF CODE DEFICIENCIES
1. The plumbing system does not comply with code.
2. The HVAC system does not comply with code.
3. Basement stairway does not comply with code.
4. GFCI’s are not code compliant.
5. There are no code required AFCI’s in the building.
6. There are no code required carbon monoxide detectors.
7. The smoke detectors are not code compliant.
8. Basement bathroom is not code compliant.
9. Windows have failed, allowing for water intrusion, contrary to code and should be replaced.
10. Chimney is failing, allowing for water intrusion, contrary to code and should be replaced.
11. A code required egress window should be installed in the basement.
OVERVIEW OF DEFICIENCIES
This residential dwelling is currently vacant, and all utilities are disconnected. Entrance into the building is hampered by
damaged sidewalks and concrete stairs. Windows have failed, allowing for water intrusion, and should be replaced. The
chimney is failing, allowing for water intrusion, contrary to code. The HVAC system does not comply with code. The
basement stairway does not comply with code. The GFCI’s are not code compliant and there are no code required AFCI’s.
Carpeting is damaged and should be replaced. Smoke detectors do not comply with code. Interior ceilings and walls are
damaged and should be repaired/replaced. The basement bathroom does not comply with code.
M:\20Proj\200617\300 Design\Reports\Building Reports\3 -6608 Stevens Ave\6608 Stevens Ave Building Report.docx
APPENDIX C
Building Replacement Cost Reports
Code Deficiency Cost Reports
Photographs
101 66th Street East Redevelopment TIF District
Replacement Cost Report
Square Foot Cost Estimate Report Date:9/8/2020
Estimate Name:6605 1st Ave S
Building Type:Church/Office, 2-4 Story with Wood Siding / Wood Frame
Location:RICHFIELD, MN
Story Count:2
Story Height
(L.F.):10
Floor Area (S.F.):4940
Labor Type:OPN
Basement
Included:Yes
Data Release:Year 2019
Cost Per Square $197.53
Building Cost:$975,815.57
% of
Total Cost Per S.F. Cost
A Substructure 12.80% $21.98 $108,589.19
A1010 Standard Foundations $5.54 $27,357.09
A10101102700 Strip footing, concrete, reinforced, load 11.1 KLF, soil bearing capacity 6 KSF,
12" deep x 24" wide
$1.86 $9,178.80
A10102107700 Spread footings, 3000 PSI concrete, load 200K, soil bearing capacity 6 KSF, 6'
- 0" square x 20" deep
$3.68 $18,178.29
A1030 Slab on Grade $2.86 $14,144.01
A10301202240 Slab on grade, 4" thick, non industrial, reinforced $2.86 $14,144.01
A2010 Basement Excavation $1.98 $9,802.49
A20101104620 Excavate and fill, 10,000 SF, 8' deep, sand, gravel, or common earth, on site
storage
$1.98 $9,802.49
A2020 Basement Walls $11.60 $57,285.60
A20201107260 Foundation wall, CIP, 12' wall height, pumped, .444 CY/LF, 21.59 PLF, 12"
thick
$11.60 $57,285.60
B Shell 30.68% $52.71 $260,367.30
B1010 Floor Construction $25.94 $128,124.89
B10102030860 Cast-in-place concrete column, 12" square, tied, 200K load, 12' story height,
142 lbs/LF, 4000PSI
$4.05 $19,992.42
B10102103450 Wood column, 8" x 8", 20' x 20' bay, 10' unsupported height, 133 BF/MSF, 160
PSF total allowable load
$0.22 $1,110.86
B10102103450 Wood column, 8" x 8", 20' x 20' bay, 10' unsupported height, 133 BF/MSF, 160
PSF total allowable load
$0.22 $1,110.86
B10102221720 Flat slab, concrete, with drop panels, 6" slab/2.5" panel, 12" column, 15'x15'
bay, 75 PSF superimposed load, 153 PSF total load
$7.13 $35,211.58
B10102643050 Wood beam and joist floor, 12"x16" girder, 8"x16" beam, 2x10 joists @ 16",
20'x20' bay, 75 PSF LL, 102 PSF total load
$8.81 $43,541.88
B10107203700 Fireproofing, gypsum board, fire rated, 2 layer, 1" thick, 14" steel column, 3
hour rating, 22 PLF
$5.50 $27,157.29
B1020 Roof Construction $4.65 $22,971.00
Costs are derived from a building model with basic components.
Scope differences and market conditions can cause costs to vary
significantly.
101 66th Street East Redevelopment TIF District
LHB Project No. 200617 Page 1 of 3
Replacement Cost Report
Parcel A Building 1 - 6605 1st Ave South
* B10201023700 Wood roof, flat rafter, 2" x 10", 12" O.C. $4.65 $22,971.00
B2010 Exterior Walls $11.62 $57,413.72
B20101484850 Wood siding, 2"x6" studs 16"OC, insulated wall, 8" plain vinyl siding $10.82 $53,454.19
B20101907600 Insulation, fiberglass batts, 6" thick, R19 $0.80 $3,959.53
B2020 Exterior Windows $5.79 $28,584.24
B20201066550 Windows, aluminum, awning, insulated glass, 4'-5" x 5'-3" $5.79 $28,584.24
B2030 Exterior Doors $1.43 $7,059.58
B20301106950 Door, aluminum & glass, with transom, narrow stile, double door, hardware, 6'-
0" x 10'-0" opening
$0.75 $3,688.51
B20301107300 Door, aluminum & glass, with transom, bronze finish, hardware, 3'-0" x 10'-0"
opening
$0.39 $1,907.59
B20302203450 Door, steel 18 gauge, hollow metal, 1 door with frame, no label, 3'-0" x 7'-0"
opening
$0.30 $1,463.48
B3010 Roof Coverings $3.28 $16,213.87
* B30101051400 Roofing, asphalt flood coat, gravel, base sheet, 3 plies 15# asphalt felt, $3.20 $15,808.00
B30106200100 Downspout, aluminum, rectangular, 2" x 3", embossed mill finish, .020" thick $0.08 $405.87
C Interiors 14.80% $25.42 $125,597.04
C1010 Partitions $3.65 $18,006.41
C10101241200 Wood partition, 5/8"fire rated gypsum board face, none base,2 x 4,@ 16" OC
framing,same opposite face, 0 insul
$1.42 $7,009.78
C10101241425 Wood partition, 5/8" fire rated gypsum board face, 1/4"sound deadening
gypsum board, 2x4 @ 16" OC framing, same opposite face, sound attenuation
$1.05 $5,165.36
C10101280700 Gypsum board, 1 face only, exterior sheathing, fire resistant, 5/8" $0.72 $3,532.75
C10101280960 Add for the following: taping and finishing $0.47 $2,298.52
C1020 Interior Doors $4.01 $19,804.22
C10201022600 Door, single leaf, kd steel frame, hollow metal, commercial quality, flush, 3'-0"
x 7'-0" x 1-3/8"
$4.01 $19,804.22
C1030 Fittings $0.23 $1,138.82
C10301100420 Toilet partitions, cubicles, ceiling hung, plastic laminate $0.23 $1,138.82
C2010 Stair Construction $4.47 $22,095.89
C20101100720 Stairs, steel, pan tread for conc in-fill, picket rail,12 risers w/ landing $4.47 $22,095.89
C3010 Wall Finishes $1.36 $6,714.08
C30102300140 Painting, interior on plaster and drywall, walls & ceilings, roller work, primer & 2
coats
$0.72 $3,566.40
C30102300140 Painting, interior on plaster and drywall, walls & ceilings, roller work, primer & 2
coats
$0.64 $3,147.68
C3020 Floor Finishes $5.26 $25,960.59
C30204100080 Carpet tile, nylon, fusion bonded, 18" x 18" or 24" x 24", 35 oz $3.15 $15,568.00
C30204101600 Vinyl, composition tile, maximum $0.91 $4,506.02
C30204101720 Tile, ceramic natural clay $1.19 $5,886.57
C3030 Ceiling Finishes $6.45 $31,877.03
C30302106000 Acoustic ceilings, 3/4" fiberglass board, 24" x 48" tile, tee grid, suspended
support
$6.45 $31,877.03
D Services 41.72% $71.66 $353,981.75
D1010 Elevators and Lifts $11.97 $59,125.08
D10101108900 Hydraulic passenger elevator, 3000 lb, 3 floors,12' story height, 2 car
group,125 FPM
$11.97 $59,125.08
D2010 Plumbing Fixtures $2.12 $10,481.74
D20101102080 Water closet, vitreous china, bowl only with flush valve, wall hung $0.86 $4,260.32
101 66th Street East Redevelopment TIF District
LHB Project No. 200617 Page 2 of 3
Replacement Cost Report
Parcel A Building 1 - 6605 1st Ave South
D20102102000 Urinal, vitreous china, wall hung $0.14 $686.86
D20103101560 Lavatory w/trim, vanity top, PE on CI, 20" x 18" $0.26 $1,289.98
D20104404340 Service sink w/trim, PE on CI,wall hung w/rim guard, 24" x 20" $0.57 $2,819.95
D20108201920 Water cooler, electric, wall hung, wheelchair type, 7.5 GPH $0.29 $1,424.63
D2020 Domestic Water Distribution $0.60 $2,952.74
D20202501860 Gas fired water heater, commercial, 100< F rise, 100 MBH input, 91 GPH $0.60 $2,952.74
D3050 Terminal & Package Units $17.58 $86,828.16
D30501553960 Rooftop, multizone, air conditioner, offices, 25,000 SF, 79.16 ton $17.58 $86,828.16
D4010 Sprinklers $3.79 $18,725.68
D40104100600 Wet pipe sprinkler systems, steel, light hazard, 1 floor, 5000 SF $1.67 $8,248.16
D40104100720 Wet pipe sprinkler systems, steel, light hazard, each additional floor, 5000 SF $1.85 $9,136.46
D40104108930 Standard High Rise Accessory Package 3 story $0.27 $1,341.06
D4020 Standpipes $1.03 $5,106.24
D40203101540 Wet standpipe risers, class III, steel, black, sch 40, 4" diam pipe, 1 floor $0.56 $2,763.70
D40203101560 Wet standpipe risers, class III, steel, black, sch 40, 4" diam pipe, additional
floors
$0.47 $2,342.54
D5010 Electrical Service/Distribution $14.95 $73,852.39
D50101200440 Overhead service installation, includes breakers, metering, 20' conduit & wire,
3 phase, 4 wire, 120/208 V, 1000 A
$3.90 $19,267.25
D50102300440 Feeder installation 600 V, including RGS conduit and XHHW wire, 1000 A $4.99 $24,648.80
D50102400320 Switchgear installation, incl switchboard, panels & circuit breaker, 120/208 V, 3
phase, 1200 A
$6.06 $29,936.34
D5020 Lighting and Branch Wiring $13.34 $65,903.23
D50201100640 Receptacles incl plate, box, conduit, wire, 16.5 per 1000 SF, 2.0 W per SF,
with transformer
$4.99 $24,628.07
D50201350320 Miscellaneous power, 1.2 watts $0.34 $1,704.20
D50201400280 Central air conditioning power, 4 watts $0.62 $3,065.96
D50201452080 Motor installation, three phase, 460 V, 15 HP motor size $1.05 $5,204.96
D50202100520 Fluorescent fixtures recess mounted in ceiling, 1.6 watt per SF, 40 FC, 10
fixtures @32watt per 1000 SF
$6.34 $31,300.04
D5030 Communications and Security $6.28 $31,006.49
D50303101020 Telephone wiring for offices & laboratories, 8 jacks/MSF $1.69 $8,347.22
D50309100454 Communication and alarm systems, fire detection, addressable, 50 detectors,
includes outlets, boxes, conduit and wire
$2.10 $10,389.31
D50309100462 Fire alarm command center, addressable with voice, excl. wire & conduit $0.66 $3,239.17
D50309200110 Internet wiring, 8 data/voice outlets per 1000 S.F. $1.83 $9,030.79
E Equipment & Furnishings 0.00% $0.00 $0.00
E1090 Other Equipment $0.00 $0.00
F Special Construction 0.00% $0.00 $0.00
G Building Sitework 0.00% $0.00 $0.00
100% $171.77 $848,535.28
15.0 % $25.77 $127,280.29
0.0 % $0.00 $0.00
0.0 % $0.00 $0.00
Cost $197.53 $975,815.57
User Fees
Contractor Fees (General Conditions,Overhead,Profit)
Architectural Fees
SubTotal
101 66th Street East Redevelopment TIF District
LHB Project No. 200617 Page 3 of 3
Replacement Cost Report
Parcel A Building 1 - 6605 1st Ave South
101 66th Street East Redevelopment TIF District
Code Deficiency Cost Report
Parcel A Building 1 - 6605 1st Ave South, Richfield, MN 55423 Church / Office
Parcel ID 27-028-24-42-0134
Code Related Cost Items Unit Cost
Unit
Quantity Units Total
Accessibility Items
Accessible Parking
Create accessible parking spaces per code 100.00$ EA 2 200.00$
Accessible Routes
Create an accessible route into the building per code 2,500.00$ Lump 1 2,500.00$
Create an accessible route to all levels of the building per code 11.97$ SF 4,940 59,131.80$
Drinking Fountain
Install an accessible drinking fountain per code 0.29$ SF 4,940 1,432.60$
Structural Elements
-$
Exiting
Thresholds -$
Modify thresholds to comply with code for maximum height 100.00$ EA 6 600.00$
Stairways
Install code compliant exterior stairway 2.23$ SF 4,940 11,016.20$
Install code compliant interior stairways 2.23$ SF 4,940 11,016.20$
Door Hardware
Install code compliant door hardware 150.00$ EA 14 2,100.00$
Flooring Material
Replace damaged flooring material to create an unimpeded means for
emergency egress per code 3.15$ SF 4,940 15,561.00$
Sidewalks
Repair replace damaged sidewalks to create an unimpeded means for
emergency egress per code 5,000.00$ Lump 1 5,000.00$
Fire Protection
Emergency Lighting
Install code compliant emergency lighting 1.00$ SF 4,940 4,940.00$
Emergency Notification System
Install code compliant emergency notification system 0.66$ SF 4,940 3,260.40$
Smoke Detectors
Install code compliant smoke detectors 2.10$ SF 4,940 10,374.00$
Building Sprinkler System
Install code required building sprinkler system 4.82$ SF 4,940 23,810.80$
101 66th Street East Redevelopment TIF District
LHB Project No. 200617 Page 1 of 2
Code Deficiency Cost Report
Parcel A Building 1 - 6605 1st Ave South
Code Related Cost Items Unit Cost
Unit
Quantity Units Total
Exterior Construction
Siding
Replace failed siding to prevent water intrusion per code 10.82$ SF 4,940 53,450.80$
Windows
Replace failed windows to prevent water intrusion per code 5.79$ SF 4,940 28,602.60$
Roof Construction
Roofing Material
Remove failed roofing material 0.55$ SF 4,940 2,717.00$
Install roofing material to prevent water intrusion per code 3.28$ SF 4,940 16,203.20$
Mechanical- Electrical
Mechanical
Install code compliant HVAC system 17.58$ SF 4,940 86,845.20$
Total Code Improvements 338,762$
101 66th Street East Redevelopment TIF District
LHB Project No. 200617 Page 2 of 2
Code Deficiency Cost Report
Parcel A Building 1 - 6605 1st Ave South
101 66th Street East Redevelopment TIF District
Photos: Parcel A Building 1 - Church / Offi ce - 6605 1st Avenue South
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101 66th Street East Redevelopment TIF District
Photos: Parcel A Building 1 - Church / Offi ce - 6605 1st Avenue South
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101 66th Street East Redevelopment TIF District
Photos: Parcel A Building 1 - Church / Offi ce - 6605 1st Avenue South
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101 66th Street East Redevelopment TIF District
Photos: Parcel A Building 1 - Church / Offi ce - 6605 1st Avenue South
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101 66th Street East Redevelopment TIF District
Photos: Parcel A Building 1 - Church / Offi ce - 6605 1st Avenue South
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101 66th Street East Redevelopment TIF District
Photos: Parcel A Building 1 - Church / Offi ce - 6605 1st Avenue South
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101 66th Street East Redevelopment TIF District
Photos: Parcel A Building 1 - Church / Offi ce - 6605 1st Avenue South
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101 66th Street East Redevelopment TIF District
Photos: Parcel A Building 1 - Church / Offi ce - 6605 1st Avenue South
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101 66th Street East Redevelopment TIF District
Replacement Cost Report
Square Foot Cost Estimate Report Date:9/8/2020
Estimate Name:6600 Stevens Ave
Building Type:Economy 1 Story with Wood Siding - Wood Frame
Location:RICHFIELD, MN
Story Count:1
Story Height (L.F.):8.00
Floor Area (S.F.):650
Labor Type:RES
Basement:Unfinished
Data Release:Year 2019
Cost Per Square Foot:$170.67
Building Cost:$110,936.50
% of
Total
Cost Per
S.F. Cost
01 Site Work 3.10% $4.60 $2,990.39
0104034 Footing excavation, building, 26' x 46', 4' deep $4.60 $2,990.39
02 Foundation 21.96% $32.59 $21,185.93
0204030 Footing systems, 10" thick by 20" wide footing $3.74 $2,428.23
0208034 Block wall systems, 8" wall, grouted, full height $13.07 $8,498.32
0208034 Block wall systems, 8" wall, grouted, full height $11.44 $7,436.03
0220034 Floor slab systems, 4" thick slab $4.34 $2,823.35
03 Framing 12.99% $19.28 $12,534.03
0302106 Floor framing, wood joists, #2 or better, pine, 2" x 8", 16" OC $2.07 $1,344.65
0302112 Floor framing, bridging, wood 1" x 3", joists 16" OC $0.40 $258.49
0302119 Box sills, #2 or better pine, 2" x 8" $0.31 $202.13
0308026 Exterior wall framing systems, 2" x 4", 16" OC $6.15 $3,995.93
0316042 Truss roof framing systems, 24" OC, 4/12 pitch, 1' overhang, 26' span $7.21 $4,684.16
0348026 Partition framing systems, 2" x 4", 16" OC $3.15 $2,048.67
04 Exterior Walls 19.79% $29.36 $19,087.23
0408034 Wood siding systems, 1/2" x 8" beveled cedar siding, "A" grade $14.35 $9,326.02
0420043 Non-rigid insul, batts, fbgls, kraft faced, 3-1/2" thick, R13, 15" W $0.99 $645.63
0420051 Non-rigid insul, batts, fbgls, kraft faced, 12" thick, R38, 23" wide $1.57 $1,023.26
0440026 Sliding window systems, builder's quality wood window, 3' x 2' $8.61 $5,599.66
0452046 Door systems, solid core birch, flush, 3' x 6'-8" $2.95 $1,916.64
0460025 Storm door, al, combination, storm & screen, anodized, 3'-0" x 6'-8" $0.89 $576.02
05 Roofing 3.69% $5.48 $3,561.08
0504034 Gable end roofing, asphalt, roof shingles, class A $5.48 $3,561.08
06 Interiors 19.80% $29.38 $19,095.91
0604026 Wall system, 1/2" drywall, taped & finished $9.19 $5,970.88
Costs are derived from a building model with basic components.
Scope differences and market conditions can cause costs to vary
significantly.
101 66th Street East Redevelopment TIF District
LHB Project No. 200617 Page 1 of 2
Replacement Cost Report
Parcel A Building 2 - Residence
0608026 1/2" gypsum wallboard, taped & finished ceilings $2.75 $1,788.58
0620026 Lauan, flush door, hollow core, interior $8.19 $5,326.03
0660017 Carpet, Olefin, 15 oz $2.07 $1,348.57
0660027 Padding, sponge rubber cushion, minimum $0.77 $500.61
0660038 Underlayment plywood, 1/2" thick $2.11 $1,373.56
0664029 Resilient flooring, vinyl sheet goods, backed, .070" thick, minimum $1.40 $907.26
0664048 Resilient flooring, sleepers, treated, 16" OC, 1" x 3" $1.08 $699.37
0690137 Basement stairs, open risers $1.82 $1,181.05
07 Specialties 6.15% $9.13 $5,932.70
0708026 Kitchen, economy grade $4.39 $2,851.72
0712035 Sinks, stainless steel, single bowl 16" x 20" $2.62 $1,703.51
0712039 Water heater, electric, 30 gallon $2.12 $1,377.47
08 Mechanical 9.31% $13.82 $8,980.62
0812046 Three fixture bathroom with wall hung lavatory $7.33 $4,766.85
0860101 Furnace, gas heating only, 100 MBH, area to 1200 SF $1.84 $1,196.44
0860109 Intermittent pilot, 100 MBH furnace $0.43 $282.15
0860111 Supply duct, rectangular, area to 1200 SF, rigid fiberglass $0.85 $554.63
0860121 Return duct, sheet metal galvanized, to 1500 SF $1.02 $665.85
0860123 Lateral ducts, flexible round 6" insulated, to 1200 SF $0.91 $592.31
0860135 Register elbows, to 1500 SF $0.52 $339.33
0860137 Floor registers, enameled steel w/damper, to 1500 SF $0.34 $219.09
0860139 Return air grille, area to 1500 SF 12" x 12" $0.10 $63.14
0860143 Thermostat, manual, 1 set back $0.19 $125.58
0860147 Plenum, heating only, 100 MBH $0.27 $175.25
09 Electrical 3.21% $4.77 $3,098.63
0910036 100 amp electric service $1.89 $1,226.27
0930018 Duplex receptacles using non-metallic sheathed cable $0.34 $220.80
0935112 Wiring device systems, economy to 1200 S.F. $2.00 $1,302.99
0945112 Light fixture systems, economy to 1200 S.F. $0.54 $348.57
100% $148.41 $96,466.52
15.0 % $22.26 $14,469.98
0.0 % $0.00 $0.00
0.0 % $0.00 $0.00
Total Building Cost $170.67 $110,936.50
User Fees
Contractor Fees (General Conditions,Overhead,Profit)
Architectural Fees
SubTotal
101 66th Street East Redevelopment TIF District
LHB Project No. 200617 Page 2 of 2
Replacement Cost Report
Parcel A Building 2 - Residence
101 66th Street East Redevelopment TIF District
Code Deficiency Cost Report
Parcel A Building 2 - 6600 Stevens Ave, Richfield, MN 55423 Residence
Parcel ID 27-028-24-42-0134
Code Related Cost Items Unit Cost
Unit
Quantity Units Total
Accessibility Items
-$
Structural Elements
Foundation
Repair cracked foundation to prevent water intrusion per code 1,000.00$ Lump 1 1,000.00$
Exiting
Basement Stairway
Install code compliant basement stairway 1.82$ SF 650 1,183.00$
Basement Floor to Ceiling Height
Modify basement floor to ceiling height to comply with code 32.00$ SF 650 20,800.00$
Fire Protection
Ground Fault Circuit Interrupter's
Install code required GFCI's 150.00$ EA 3 450.00$
Arc Fault Circuit Interrupter's
Install code required AFCI's 150.00$ EA 8 1,200.00$
Smoke Detectors
Install code compliant smoke detectors 150.00$ EA 3 450.00$
Carbon Monoxide Detectors
Install code compliant carbon monoxide detectors 150.00$ EA 2 300.00$
Exterior Construction
Windows
Replace failed windows to prevent water intrusion per code 8.61$ SF 650 5,596.50$
Wood Fascia
Replace rotted fascia to prevent water intrusion per code 500.00$ Lump 1 500.00$
Roof Construction
Roofing Material
Remove failed roofing material 5.48$ SF 650 3,562.00$
Install roofing material to prevent water intrusion per code 1.00$ SF 650 650.00$
Mechanical- Electrical
Mechanical
Install code compliant HVAC system 6.47$ SF 650 4,205.50$
Total Code Improvements 39,897$
101 66th Street East Redevelopment TIF District
LHB Project No. 200617 Page 1 of 1
Code Deficiency Cost Report
Parcel A Building 2 - Residence
101 66th Street East Redevelopment TIF District
Photos: Parcel A Building 2 - Residence - 6600 Stevens Avenue
Page 1 of 3
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101 66th Street East Redevelopment TIF District
Photos: Parcel A Building 2 - Residence - 6600 Stevens Avenue
Page 2 of 3
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101 66th Street East Redevelopment TIF District
Photos: Parcel A Building 2 - Residence - 6600 Stevens Avenue
Page 3 of 3
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101 66th Street East Redevelopment TIF District
Replacement Cost Report
Square Foot Cost Estimate Report Date:9/8/2020
Estimate Name:6608 Stevens Ave
Building Type:Economy 1 Story with Vinyl Siding - Wood Frame
Location:RICHFIELD, MN
Story Count:1
Story Height (L.F.):8.00
Floor Area (S.F.):458
Labor Type:RES
Basement:Finished
Data Release:Year 2019
Cost Per Square Foot:$199.62
Building Cost:$91,424.13
% of
Total
Cost Per
S.F. Cost
01 Site Work 3.76% $6.53 $2,990.39
0104034 Footing excavation, building, 26' x 46', 4' deep $6.53 $2,990.39
02 Foundation 22.03% $38.24 $17,515.64
0204030 Footing systems, 10" thick by 20" wide footing $4.48 $2,053.16
0208034 Block wall systems, 8" wall, grouted, full height $15.69 $7,185.66
0208034 Block wall systems, 8" wall, grouted, full height $13.73 $6,287.45
0220034 Floor slab systems, 4" thick slab $4.34 $1,989.37
03 Framing 13.55% $23.52 $10,773.02
0302106 Floor framing, wood joists, #2 or better, pine, 2" x 8", 16" OC $2.07 $947.46
0302112 Floor framing, bridging, wood 1" x 3", joists 16" OC $0.40 $182.13
0302119 Box sills, #2 or better pine, 2" x 8" $0.31 $142.42
0302123 Girders, including lally columns, 3 pieces spiked together, 2" x 8" $1.68 $769.43
0308026 Exterior wall framing systems, 2" x 4", 16" OC $0.70 $320.11
0308026 Exterior wall framing systems, 2" x 4", 16" OC $7.38 $3,378.71
0316042 Truss roof framing systems, 24" OC, 4/12 pitch, 1' overhang, 26' span $7.21 $3,300.53
0348026 Partition framing systems, 2" x 4", 16" OC $3.78 $1,732.23
04 Exterior Walls 14.53% $25.22 $11,549.79
* 0416042 Metal & plastic siding systems, vinyl clapboard siding, 8" wide, white $6.67 $3,055.50
0420043 Non-rigid insul, batts, fbgls, kraft faced, 3-1/2" thick, R13, 15" W $1.19 $545.90
0420051 Non-rigid insul, batts, fbgls, kraft faced, 12" thick, R38, 23" wide $1.57 $721.00
0440026 Sliding window systems, builder's quality wood window, 3' x 2' $10.34 $4,734.73
0452046 Door systems, solid core birch, flush, 3' x 6'-8" $4.18 $1,916.64
0460025 Storm door, al, combination, storm & screen, anodized, 3'-0" x 6'-8" $1.26 $576.02
05 Roofing 3.16% $5.48 $2,509.19
0504034 Gable end roofing, asphalt, roof shingles, class A $5.48 $2,509.19
Costs are derived from a building model with basic components.
Scope differences and market conditions can cause costs to vary
significantly.
101 66th Street East Redevelopment TIF District
LHB Project No. 200617 Page 1 of 2
Replacement Cost Report
Parcel A Building 3 - Residence
06 Interiors 21.13% $36.68 $16,799.09
0604026 Wall system, 1/2" drywall, taped & finished $11.02 $5,048.61
0620026 Lauan, flush door, hollow core, interior $10.24 $4,691.00
0660017 Carpet, Olefin, 15 oz $2.07 $950.23
0660021 Carpet, tile, foam backed, needle punch $5.41 $2,475.57
0660027 Padding, sponge rubber cushion, minimum $0.77 $352.74
0660038 Underlayment plywood, 1/2" thick $2.11 $967.83
0664029 Resilient flooring, vinyl sheet goods, backed, .070" thick, minimum $1.40 $639.27
0664048 Resilient flooring, sleepers, treated, 16" OC, 1" x 3" $1.08 $492.79
0690137 Basement stairs, open risers $2.58 $1,181.05
07 Specialties 7.46% $12.95 $5,932.70
0708026 Kitchen, economy grade $6.23 $2,851.72
0712035 Sinks, stainless steel, single bowl 16" x 20" $3.72 $1,703.51
0712039 Water heater, electric, 30 gallon $3.01 $1,377.47
08 Mechanical 10.39% $18.04 $8,261.54
0812046 Three fixture bathroom with wall hung lavatory $10.41 $4,766.85
0860101 Furnace, gas heating only, 100 MBH, area to 1200 SF $2.61 $1,196.44
0860109 Intermittent pilot, 100 MBH furnace $0.62 $282.15
0860111 Supply duct, rectangular, area to 1200 SF, rigid fiberglass $0.85 $390.80
0860121 Return duct, sheet metal galvanized, to 1500 SF $1.02 $469.16
0860123 Lateral ducts, flexible round 6" insulated, to 1200 SF $0.91 $417.35
0860135 Register elbows, to 1500 SF $0.52 $239.10
0860137 Floor registers, enameled steel w/damper, to 1500 SF $0.34 $154.37
0860139 Return air grille, area to 1500 SF 12" x 12" $0.10 $44.49
0860143 Thermostat, manual, 1 set back $0.27 $125.58
0860147 Plenum, heating only, 100 MBH $0.38 $175.25
09 Electrical 3.98% $6.92 $3,167.88
0910036 100 amp electric service $2.68 $1,226.27
0930018 Duplex receptacles using non-metallic sheathed cable $1.70 $777.90
0935112 Wiring device systems, economy to 1200 S.F. $2.00 $918.11
0945112 Light fixture systems, economy to 1200 S.F. $0.54 $245.60
100% $173.58 $79,499.24
15.0 % $26.04 $11,924.89
0.0 % $0.00 $0.00
0.0 % $0.00 $0.00
Total Building Cost $199.62 $91,424.13
User Fees
Contractor Fees (General Conditions,Overhead,Profit)
Architectural Fees
SubTotal
101 66th Street East Redevelopment TIF District
LHB Project No. 200617 Page 2 of 2
Replacement Cost Report
Parcel A Building 3 - Residence
101 66th Street East Redevelopment TIF District
Code Deficiency Cost Report
Parcel A Building 3 - 6608 Stevens Ave, Richfield, Minnesota 55423 Residence
Parcel ID 27-028-24-42-0134
Code Related Cost Items Unit Cost
Unit
Quantity Units Total
Accessibility Items
Bathroom
Install code compliant basement bathroom 5.20$ SF 458 2,381.60$
Structural Elements
-$
Exiting
Stairway
Modify basement stairway to comply with code 2.58$ SF 458 1,181.64$
Egress Window
Install basement egress window per code 2,500.00$ Lump 1 2,500.00$
Fire Protection
Ground Fault Circuit Interrupter's
Install code required GFCI's 150.00$ EA 3 450.00$
Arc Fault Circuit Interrupter's
Install code required AFCI's 150.00$ EA 8 1,200.00$
Smoke Detectors
Install code compliant smoke detectors 150.00$ EA 3 450.00$
Carbon Monoxide Detectors
Install code compliant carbon monoxide detectors 150.00$ EA 2 300.00$
Exterior Construction
Windows
Install new windows to prevent water intrusion per code 10.34$ SF 458 4,735.72$
Chimney
Repair chimney to prevent water intrusion per code 500.00$ Lump 1 500.00$
Roof Construction
-$
Mechanical- Electrical
Mechanical
Install code compliant HVAC system 7.62$ SF 458 3,489.96$
Total Code Improvements 17,189$
101 66th Street East Redevelopment TIF District
LHB Project No. 200617 Page 1 of 1
Code Deficiency Cost Report
Parcel A Building 3 - Residence
101 66th Street East Redevelopment TIF District
Photos: Parcel A Building 3 - Residence - 6608 Stevens Avenue
Page 1 of 4
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101 66th Street East Redevelopment TIF District
Photos: Parcel A Building 3 - Residence - 6608 Stevens Avenue
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101 66th Street East Redevelopment TIF District
Photos: Parcel A Building 3 - Residence - 6608 Stevens Avenue
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101 66th Street East Redevelopment TIF District
Photos: Parcel A Building 3 - Residence - 6608 Stevens Avenue
Page 4 of 4
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AGENDA SECTION:RESOLUTIONS
AGENDA ITEM #7.
STAFF RE P ORT NO. 18
CIT Y COUNCIL ME E T ING
1/26/2021
RE P O RT P RE PA RE D B Y: K rista Guzman, HR Manager
D E PA RTME NT D IRE C TO R RE V IE W: K atie Rodriguez, C ity Manager
1/22/2021
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: K atie Rodriguez, C ity Manager
1/22/2021
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 a resolution pertaining to filing of the Pay Equity Report with the
Minnesota Management and Budget Department.
E X E C UT IV E S UM M ARY:
The City has completed its work on the Pay Equity Report for the period ending December 31, 2020 and
requires the Mayor's signature before submission to the State of Minnesota. The data compiled for this report
is done in accordance with strict standards determined by the Minnesota Management and Budget
Department and is reported in a summary format for submission to the State. Compliance is determined on
passing a underpayment ratio, salary range test, and exceptional service pay test. The preliminary results
indicate that the City is in compliance with the salary range test as of 12-31-20. However, the State will make
an official determination after the report is analyzed.
RE C O M M E ND E D AC T I O N:
By motion: Adopt a resolution pertaining to filing of the Pay Equity Report with the Minnesota
Management and Budget Department.
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
Minnesota Statutes require that every municipality file a report with the Minnesota Management
and Budget Department, formerly the Minnesota Department of Employee Relations (D OE R), to
indicate equitable pay relationships between female and male employees. The City of Richfield
filed its last Pay Equity Report in J anuary 2018. The Minnesota Legislature requires the reporting
of Pay Equity every three years. The City's next reporting deadline will be J anuary 31, 2024.
B.P OL IC IE S (resolutions, ordinances, regulations, statutes, etc):
The City of Richfield must file a Pay Equity report in order to comply with the Pay Equity Act. A
Pay Equity report is filed every three years.
C.C R IT IC AL T IMIN G IS S U E S:
The report has been completed and, according to assessment information provided by the
Minnesota Management and Budget Department, indicates that the City's male and female pay
relationships are in compliance with the Pay Equity Act.
D.F IN AN C IAL IMPAC T:
Any reports not received by the State of Minnesota on or before J anuary 31, 2021 will be found
out of compliance and subject to a monetary penalty. The penalty is a 5 percent reduction in state
aid payments or $100 per day, whichever is greater.
E.L E GAL C ON S ID E R AT ION:
The City must file a report with the State of Minnesota on or before J anuary 31, 2021 based on
data as of December 31, 2020.
ALTE R N AT IV E R E C O MME N D ATIO N(S):
Pay Equity Report: No alternative is recommended. The report is based on actual data and must be
filed with the State in accordance with the statutory timeline.
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
Resolution Resolution L etter
C ompliance Report E xhibit
RESOLUTION NO. _____
RESOLUTION PERTAINING TO FILING OF THE PAY EQUITY REPORT WITH
THE MINNESOTA MANAGEMENT AND BUDGET DEPARTMENT
WHEREAS, State statutes require that every municipality file a report with the
Minnesota Management and Budget Department once every three years to indicate
equitable pay relationships between male and female employees; and
WHEREAS, this jurisdiction is submitting a pay equity implementation report to the
Minnesota Management and Budget Department as required by the Local Government
Pay Equity Act, Minnesota Statutes 471.991 to 471.999; and
WHEREAS, this report has been completed and seems to indicate that Richfield
male and female pay relationships are in compliance with the Pay Equity Act; and
WHEREAS, Richfield must file a report with the State of Minnesota on or before
January 31, 2021 based on data as of December 31, 2020.
NOW, THEREFORE, BE IT RESOLVED that the City shall accept the findings of
the Pay Equity Report and forward it to the Minnesota Management and Budget
Department.
Adopted by the City Council of the City of Richfield, Minnesota this 26th day of
January 2021.
_____________________________
Maria Regan Gonzalez, Mayor
ATTEST:
___________________________
Elizabeth VanHoose, City Clerk
Compliance Report
Jurisdiction:Richfield Report Year:2021
6700 Portland Avenue South Case:1 - 2020 DATA (Private (Jur
Only))
Richfield, MN 55423
Contact:Krista Guzman Phone:(612) 861-9704 E-Mail:KGuzman@richfieldmn.
gov
The statistical analysis, salary range and exceptional service pay test results are shown below. Part I is general information
from your pay equity report data. Parts II, III and IV give you the test results.
For more detail on each test, refer to the Guide to Pay Equity Compliance and Computer Reports.
I. GENERAL JOB CLASS INFORMATION
Male Classes Female Classes Balanced Classes All Job Classes
# Job Classes 43 40 8 91
# Employees 138 74 115 327
Avg. Max Monthly Pay per employee 6439.99 5945.95 5710.99
II. STATISTICAL ANALYSIS TEST
A. Underpayment Ratio = 130.2326 *
Male Classes Female Classes
a. # At or above Predicted Pay 22 25
b. # Below Predicted Pay 21 15
c. TOTAL 43 40
d. % Below Predicted Pay (b divided by c = d)48.84 37.50
*(Result is % of male classes below predicted pay divided by % of female classes below predicted pay.)
B. T-test Results
Degrees of Freedom (DF) = 210 Value of T = -0.241
a. Avg. diff. in pay from predicted pay for male jobs = -17
b. Avg. diff. in pay from predicted pay for female jobs = 2
III. SALARY RANGE TEST = 84.00 (Result is A divided by B)
A. Avg. # of years to max salary for male jobs = 3.12
B. Avg. # of years to max salary for female jobs = 3.71
IV. EXCEPTIONAL SERVICE PAY TEST = 0.00 (Result is B divided by A)
A. % of male classes receiving ESP = 6.98 *
B. % of female classes receiving ESP = 7.50
*(If 20% or less, test result will be 0.00)
Page 1 of 1 1/22/2021 3:17:28 PM
AGENDA SECTION:OTHER BUSINESS
AGENDA ITEM #8.
STAFF RE P ORT NO. 17
CIT Y COUNCIL ME E T ING
1/26/2021
RE P O RT P RE PA RE D B Y: K elly Wynn, S enior Office A ssistant
D E PA RTME NT D IRE C TO R RE V IE W:
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: K atie Rodriguez, C ity Manager
1/20/2021
I T E M F O R C O UNC IL C O NS ID E RAT I O N:
Consider representatives to serve as the 2021 liaisons to various local, regional and state
organizations, and City boards and commissions.
E X E C UT IV E S UM M ARY:
Members of the City Council serve as the City’s representatives on various local, regional and state
organizations, and City boards and commissions. Each year, the City Council appoints these
representatives.
RE C O M M E ND E D AC T I O N:
By motion: Designate City Council liaison appointments to various local, regional and state
organizations, and City boards and commissions.
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
This information is contained in the Executive Summary.
B.P OL IC IE S (resolutions, ordinances, regulations, statutes, etc):
The City Council considers the designation of liaisons at the first meeting in J anuary of each year.
C.C R IT IC AL T IMIN G IS S U E S:
Representation on local, regional and state organizations, and City boards and commissions is a City
Goal and designations should be made at the first meeting of the year.
D.F IN AN C IAL IMPAC T:
None
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 City Council may defer the designations to a future City Council meeting.
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
2021 C ouncil L iaisons B ackup Material
01/19/21
AGENCY 2020 LIAISON/
REPRESENTATIVE
2021 LIAISON/
REPRESENTATIVE
METRO CITIES SIMON TRAUTMANN, REP. SEAN HAYFORLD OLEARY, REP
MARIA REGAN GONZALEZ, ALT. SIMON TRAUTMANN, ALT.
LEAGUE OF MINNESOTA CITIES BEN WHALEN, LIA. SIMON TRAUTMANN, REP
SIMON TRAUTMANN, ALT. SEAN HAYFORLD OLEARY, ALT.
NOISE OVERSIGHT COMMITTEE PAM DMYTRENKO, REP. PAM DMYTRENKO, REP.
BEN WHALEN, ALT. BEN WHALEN, ALT.
I-35W SOLUTIONS ALLIANCE MARIA REGAN GONZALEZ, LIA. MARIA REGAN GONZALEZ, REP.
SIMON TRAUTMANN, ALT. SIMON TRAUTMANN, ALT.
JOE POWERS, STAFF LIA. JOE POWERS, STAFF LIA.
494 CORRIDOR COMMISSION SIMON TRAUTMANN, LIA. SEAN HAYFORD O’LEARY, REP
MARIA REGAN GONZALEZ, ALT. SIMON TRAUTMANN, ALT.
JACK BROZ, STAFF LIA. JACK BROZ, STAFF LIA.
RICHFIELD SCHOOL DISTRICT MARIA REGAN GONZALEZ, LIA. MARIA REGAN GONZALEZ, LIA.
MARY SUPPLE, ALT. MARY SUPPLE, ALT.
FOWL BOARD SIMON TRAUTMANN, LIA. SIMON TRAUTMANN, LIA.
BEN WHALEN, ALT. BEN WHALEN, ALT.
SOUTHWEST CABLE COMMISSION MARIA REGAN GONZALEZ, REP. MARIA REGAN GONZALEZ, REP.
KATIE RODRIGUEZ, REP. KATIE RODRIGUEZ, REP.
EDWINA GARCIA, ALT. SEAN HAYFORD OLEARY, ALT.
RICHFIELD COMMUNITY HUMAN EDWINA GARCIA, REP. MARY SUPPLE, REP.
SERVICES PLANNING COUNCIL MARY SUPPLE, ALT. MARIA REGAN GONZALEZ, ALT.
ADVISORY BOARD OF HEALTH MARIA REGAN GONZALEZ, LIA.
EDWINA GARCIA, ALT
MARIA REGAN GONZALEZ, LIA.
MARY SUPPLE, ALT.
ARTS COMMISSION MARY SUPPLE, LIA. MARY SUPPLE, LIA.
SIMON TRAUTMANN, ALT. SIMON TRAUTMANN, ALT.
CIVIL SERVICE COMMISSION MARIA REGAN GONZALEZ, LIA.
KELLY WYNN, STAFF LIA.
MARIA REGAN GONZALEZ, LIA.
KELLY WYNN, STAFF LIA
COMM. SERVICES COMMISSION EDWINA GARCIA, LIA. MARY SUPPLE, LIA.
MARY SUPPLE, ALT. SEAN HAYFORD OLEARY, ALT.
FRIENDSHIP CITY COMMISSION BEN WHALEN, LIA. BEN WHALEN, LIA.
EDWINA GARCIA, ALT. SIMON TRAUTMANN, ALT.
HUMAN RIGHTS COMMISSION MARY SUPPLE, LIA. MARY SUPPLE, LIA.
SIMON TRAUTMANN, ALT. SIMON TRAUTMANN, ALT.
PLANNING COMMISSION BEN WHALEN, LIA. SIMON TRAUTMANN, LIA.
SIMON TRAUTMANN, ALT. BEN WHALEN, ALT.
01/19/21
AGENCY
2020 LIAISON/
REPRESENTATIVE
2021 LIAISON /
REPRESENTATIVE
TRANSPORTATION COMMISSION
SIMON TRAUTMANN, LIA.
MARY SUPPLE, ALT.
SEAN HAYFORD OLEARY, LIA
SIMON TRAUTMANN, ALT.
RICHFIELD HISTORICAL SOCIETY EDWINA GARCIA, REP. MARY SUPPLE, REP.
MARY SUPPLE, ALT. BEN WHALEN, ALT.
BEYOND THE YELLOW RIBBON MARY SUPPLE, REP.
SIMON TRAUTMANN, ALT.
MARIA REGAN GONZALEZ, REP.
SIMON TRAUTMANN, ALT.
SUSTAINABILITY COMMISSION BEN WHALEN, LIA.
SIMON TRAUTMANN, ALT.
BEN WHALEN, LIA.
SIMON TRAUTMANN, ALT.