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11-26-2024 City Council AgendaREGULAR CITY COUNCIL MEETING RICHFIELD MUNICIPAL CENTER, COUNCIL CHAMBERS NOVEMBER 26, 2024 7:00 PM INTRODUCTORY PROCEEDINGS Call to order Pledge of Allegiance Open forum Residents can share their comments in person, by voicemail, or email, and may also request to participate virtually. For more information on submitting comments, refer to the Council Agenda and Minutes page on richfieldmn.gov/citycouncil Approval of the Minutes of the (1) City Council Work Session Meeting and (2) City Council Regular Meeting from November 12, 2024. PRESENTATIONS AGENDA APPROVAL 3. Approval of the Agenda 4.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 a resolution accepting grants and donations received by the Richfield Recreation Services in 2024 and authorizing staff to administer the funds in accordance with any applicable grant agreements and terms prescribed by donors. Staff Report No. 160 B. Approve a resolution for counting registered, write-in votes for local elective office. Staff Report No. 161 C. Consider approval to set a public hearing to be held on December 10, 2024, to consider the renewal of a Pawnbroker license for 2025 for Metro Pawn and Gun, Inc. Staff Report No. 162 1. Human Rights Commission annual presentation given by Chair Tyler Olson. 2. Sustainability Commission annual presentation given by Chair Amanda Kueper. 1 D. Consider the acceptance of a quote from Northland Recreation in the amount of $175,000 for the replacement of play equipment at Donaldson Park and the authorization of the Recreation Services Director to proceed with the project. Staff Report No. 163 E. Consider approval of the first reading of a new Ordinance establishing a Local Sales and Use Tax in Richfield. Staff Report No. 164 5. Consideration of items, if any, removed from Consent Calendar PROPOSED ORDINANCES 6. Consider approval of the second reading of a new ordinance regarding registration of cannabis and hemp businesses and related regulations. Staff Report No. 165 OTHER BUSINESS 7. Consider the appointments to City advisory board and commissions. Staff Report No. 166 CITY MANAGER’S REPORT 8. City Manager's Report CLAIMS AND PAYROLLS 9. Claims and Payroll COUNCIL DISCUSSION 10. Hats Off to Hometown Hits 11. Adjournment 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 612-861-9739. 2 CITY COUNCIL MEETING MINUTES Richfield, Minnesota City Council Work Session November 12, 2024 CALL TO ORDER Mayor Supple called the work session to order at 5:45 p.m. in the Bartholomew Room. Council Members Present: Council Members Absent: Mary Supple, Mayor; Simon Trautmann, Sean Hayford Oleary, Ben Whalen Sharon Christensen Staff Present: Katie Rodriguez, City Manager; Sack Thongvanh, Assistant City Manager; Melissa Poehlman, Community Development Director; Mike Dobesh, Fire Chief; Jay Henthorne, Director of Public Safety/Chief of Police; Kristin Asher, Public Works Director; Karl Huemiller, Recreation Services Director; Courtney Miller, Senior Analyst; Michelle Friedrich, City Clerk. ITEM #1 CONSIDER RICHFIELD’S PROPOSED 2025 LEGISLATIVE PRIORITIES City Manager Rodriguez provided a summary of the agenda and turned the first item over to Senior Analyst Miller. Senior Analyst Miller presented the order of items for tonight’s meeting. Community Development Director Poehlman explained the Community Development legislative priorities for 2025. Community Development Director Poehlman explained the reasoning behind each item and the importance to the department and the City. She also highlighted the department’s top priority for the year. Council Member Whalen expressed concern with the first two bullet points discussed. Council Member Whalen noted he is not comfortable with complete opposition to something that will provide more housing. Council Member Hayford Oleary requested more context regarding the first issue. Council Member Hayford Oleary noted partial opposition and suggested limiting it to some Richfield concerns or balance it out more. 3 City Council Work Session Minutes November 12, 2024 Mayor Supple noted the bill is being updated and suggested review of specific sections of the bill separately, rather than a whole may be beneficial. Council Member Whalen would support removing only the first bullet point. Council Member Trautmann noted more focus on other priorities. Assistant City Manager Thongvanh reviewed Administrative Services top legislative priorities for 2025. City Manager Rodriguez highlighted the two top legislative priorities in the Finance Department. Fire Chief Dobesh discussed the Fire Department's legislative priorities for 2025 and mentioned the top priority the department would like to focus on. Council Member Trautmann asked if there are any challenges related to the amount of illegal fireworks in Richfield. Police Chief Henthorne noted fireworks become a violation if they become airborne. Police Chief Henthorne relayed airborne fireworks enforcement is challenging but officers do they best that they can do. Police Chief Henthorne noted fireworks are confiscated if they are found, and added it is important to keep fireworks illegal. Police Chief Henthorne reviewed the Public Safety legislative priorities for 2025. Council Member Trautmann noted he would not advise supporting the last point. Council Member Trautmann discussed he is in favor of supporting the second half of the first point, but not the first half. Council Member Trautmann added his concerns about the opposition to the Brady data. Chief Henthorne explained what the Brady Bill data means. Council Member Whalen agreed the City should not weigh in on the Brady Bill legislature. Mayor Supple added she is in support of using tracking on the fleeing vehicles. Public Works Director Asher discussed the legislative priorities for Public Works in 2025. Parks and Recreation Director Huemiller reviewed the Recreation and Sustainability legislative priorities for 2025. City Manager Rodriguez provided a summary of the consensus for changes to the priorities. ADJOURNMENT Mayor Supple adjourned the work session at 6:56 pm. Date Approved: _________, 2024 Mary B. Supple Mayor 4 City Council Work Session Minutes November 12, 2024 Michelle Friedrich Katie Rodriguez City Clerk City Manager 5 CITY COUNCIL MEETING MINUTES Richfield, Minnesota City Council Regular Meeting November 12, 2024 CALL TO ORDER The meeting was called to order by Mayor Supple at 7:01 p.m. in the Council Chambers. Council Members Present: Council Members Absent: Mary Supple, Mayor; Simon Trautmann; Sean Hayford Oleary; and Ben Whalen Sharon Christensen Staff Present: Katie Rodriguez, City Manager; Sack Thongvanh, Assistant City Manager; Melissa Poehlman, Community Development Director; Mike Dobesh, Fire Chief; Jay Henthorne, Director of Public Safety/Chief of Police; Kristin Asher, Public Works Director; Karl Huemiller, Recreation Services Director; Courtney Miller, Senior Analyst; Michelle Friedrich, City Clerk. Others Present: Steve Schielberger presented coloring contest winners, Civil Service President Jeffrey Bruzek, Transportation Commission Chair Husniyah Bradley, and Proclamation Recipient Travis Pioske for Small Business Saturday. PLEDGE OF ALLEGIANCE Mayor Supple led the Pledge of Allegiance. OPEN FORUM Mayor Supple noted instructions to participate are available on the City’s website at www.richfieldmn.gov, and noted and residents interested in speaking can utilize the Open Forum. No residents participated in the Open Forum comment opportunity. APPROVAL OF MINUTES 6 City Council Meeting Minutes November 12, 2024 M/Trautmann, S/Whalen to approve the minutes of the: (1) Regular City Council Meeting of October 22, 2024. Motion carried: 4-0 ITEM #1 19TH ANNUAL GREAT PUMPKIN GIVEAWAY COLORING CONTEST WINNERS Mayor Supple invited Steve Schielberger to explain the 19th Annual Great Pumpkin Giveaway Coloring Contest event. Steve Schielberger thanked all those who aided in this event. He announced the winners as follows: Age 0-5 Winner: Chase F Age 6-8 Winner: Everett S Age 9+ Winner: Tatsuo B ITEM #2 CIVIL SERVICES COMMISSION ANNUAL PRESENTATION GIVEN BY PRESIDENT JEFFREY BRUZEK. President Bruzek gave a summary of the accomplishments the Commission has completed this year. He discussed the Fire Department’s accomplishments as well. ITEM #3 TRANSPORTATION COMMISSION ANNUAL PRESENTATION GIVEN BY CHAIR HUSNIYAH BRADLEY Chair Bradley provided a summary of the happenings at the Transportation Commission over the last year. She discussed the commission’s accomplishments this year and their involvement with the community. Council Member Hayford Oleary thanked the Transportation Commission for their involvement and their work this year. Council Member Trautman noted there have been great improvements to the roads in Richfield and thanked them for this work. ITEM #4 PROCLAMATION CELEBRATING SMALL BUSINESS SATURDAY Mayor Supple invited Travis Pioske to accept the proclamation and read aloud the proclamation. ITEM #5 APPROVAL OF AGENDA M/Trautmann, S/Hayford Oleary to approve the Agenda. Motion carried: 4-0 7 City Council Meeting Minutes November 12, 2024 ITEM #6 CONSENT CALENDAR City Manager Rodriguez presented the consent calendar. A.Consider approval of the Ice time rental agreement between the City of Richfield and Minneapolis Hockey Association for the next five years.(Staff Report No. 155) B.Consider approval of the first reading of a new ordinance regarding registration of cannabis and hemp businesses and related regulations. (Staff Report No. 156) BILL NO. 2024-14 AN ORDINANCE ADDING A NEW SECTION 1198 TO THE RICHFIELD CODE OF ORDINANCES REGARDING REGISTRATION OF CANNABIS AND HEMP BUSINESSES AND RELATED REGULATIONS AND REVISING CERTAIN DEFINITIONS IN THE LIQUOR CODE C.Consider approval of the Intensive Comprehensive Peace Officer Education and Training 2025 Grant between the City of Richfield Police Department and the Minnesota Department of Public Safety’s Office of Justice Programs (OJP) to fund non-traditional police officer candidates. (Staff Report No. 157) D.Consider the adoption of a resolution determining the results of the City General Election on Tuesday, November 5, 2024. (Staff Report No. 158) RESOLUTION NO. 12266 RESOLUTION DETERMINING RESULTS OF THE GENERAL ELECTION OF THE CITY OF RICHFIELD HELD ON TUESDAY, NOVEMBER 5, 2024 E.Consider approval of the purchase of two 2025 Aerial Lift Trucks from Altec, Inc., for $389,907.00 plus tax, title, and license fees and authorize the City Manager to approve contract changes under $175,000 without further City Council consideration. M/Hayford Oleary, S/Whalen to approve the consent calendar with the change to correct the spelling of Mr. Burk's name on item D. Council Member Whalen congratulated the elected Council Members. Council Member Trautmann thanked Chief Henthorne for his help in the grant programs. He also thanked all citizens for helping with democracy in this country. Motion carried: 4-0 ITEM #7 CONSIDERATION OF ITEMS, IF ANY, REMOVED FROM CONSENT CALENDAR None. ITEM #8 8 City Council Meeting Minutes November 12, 2024 CONSIDER A RESOLUTION PROVIDING FOR THE SALE OF $10,000,000 GENERAL OBLIGATION SALES TAX REVENUE BONDS, SERIES 2024A (STAFF REPORT NO. 160) Council Member Hayford Oleary presented Staff Report 160. Council Member Whalen asked if there is anything to summarize from the pre-sale report. Rebbeca Kurts highlighted that the bonds will be issued per the approval from the referendum. She noted that they are structured in a six-year term. M/Hayford Oleary, S/Trautmann to approve a resolution providing for the sale of the $10,000,000 general obligation sales tax revenue bonds, series 2024A RESOLUTION NO. 12267 RESOLUTION PROVIDING FOR THE ISSUANCE AND SALE OF GENERAL OBLIGATION SALES TAX BONDS, SERIES 2024A, IN THE PROPOSED AGGREGATE PRINCIPAL AMOUNT OF $10,000,000 Motion carried: 4-0 ITEM #9 CONSIDER A RESOLUTION APPROVING THE CONTRACT WITH THE INTERNATIONAL ASSOCIATION OF FIREFIGHTERS LOCAL 1215 FOR THE CONTRACT PERIOD JANUARY 1, 2024 THROUGH DECEMBER 31, 2025 (STAFF REPORT NO. 161) Council Member Trautmann presented Staff Report 161. Mayor Supple thanked both parties for working together to find an agreement. Council Member Trautmann thanked and acknowledged that the work that firefights are doing is increasing, so they deserve higher pay. M/Trautmann, S/Hayford Oleary to approve a resolution approving the labor agreement between the City of Richfield and the International Association of Firefighters Local 1215 bargaining unit for the year 2024 and 2025, and authorize the City Manager to execute the agreement. RESOLUTION NO. 12268 RESOLUTION APPROVING LABOR AGREEMENT BETWEEN THE CITY OF RICHFIELD AND THE INTERNATIONAL ASSOCIATION OF FIREFIGHTERS (IAFF), LOCAL 1215 BARGAINING UNIT FOR THE YEAR 2024 AND 2025 Motion carried: 4-0 ITEM #10 CONSIDER APPROVAL OF A CONTRACT WITH FRACTIONAL HEAD START CFO, LLC TO PROVIDE FRACTIONAL CFO/FINANCE DIRECTOR SERVICES AND AUTHORIZE THE MAYOR AND CITY MANAGER TO EXECUTE THE CONTRACT (STAFF REPORT NO. 162) 9 City Council Meeting Minutes November 12, 2024 Council Member Whalen presented Staff Report 162. Mayor Supple thanked the representative for attending the meeting. M/Whalen, S/Trautmann to approve a contract with fractional head start CFO, LLC to provide fractional CFO/finance directors services and authorize the Mayor and City Manager to execute the contract. Motion carried: 4-0 ITEM #11 CITY MANAGER’S REPORT City Manager Rodriguez thanked voters for their support. She also thanked the owner of Local 1215 for their work. ITEM #12 CLAIMS AND PAYROLL M/Trautmann, S/Whalen that the following claims and payrolls be approved: U.S. BANK ??/??/2024 A/P Checks: 332302 – 332746 $2,551,307.06 Payroll: 192218-192548 and 44045- 44050 $1,269,438.48 TOTAL $3,820,745.54 Motion carried: 4-0 ITEM #13 HATS OFF TO HOMETOWN HITS Council Member Whalen thanked everyone who applied for a City board or commission. Council Member Hayford Oleary thanked all voters for his reelection and voting for the park referendum. Council Member Trautmann thanked all those who participated in the election. Mayor Supple thanked the students and faculty of the STEM school and the Veterans Memorial Committee for the programs they had to honor Veterans Day. She also thanked all who participated in the election as well as the election judges. ITEM #14 ADJOURNMENT M/Trautmann, S/Whalen to adjourn the meeting at 7:39 p.m. 10 City Council Meeting Minutes November 12, 2024 Motion carried: 4-0 Date Approved: November 26, 2024 Mary B. Supple Mayor Michelle Friedrich Katie Rodriguez City Clerk City Manager 11 DATE DONOR PURPOSE AMOUNT Jan 24 MN Department of Agriculture Farmers Market: MN Grown e- commerce & marketing costs $1,191 Jan-Aug 24 Richfield Liquor Store Round-Up Recreation Scholarship Fund $1,454 Jan-Oct 24 Hunger Solutions MN Farmers Market: SNAP/Market Bucks $7,968 May 24 Richfield Tourism Promotion Board Entertainment in the Parks $2,500 May 24 Richfield Tourism Promotion Board Farmers Market: live music & yoga $2,500 Aug 24 MN Department of Agriculture Farmers Market: Cost-share for staff $1,500 Sep-Dec 24 Richfield Liquor Store Round-Up Dog Park Features (as of 11/12/24) $447 Nov 24 MN Department of Agriculture Farmers Market: Farm to Pantry: 2nd $125,000 AGENDA SECTION: CONSENT CALENDAR AGENDA ITEM #4.A. STAFF REPORT NO. 160 CITY COUNCIL MEETING 11/26/2024 REPORT PREPARED BY:John Evans, Analyst DEPARTMENT DIRECTOR REVIEW:Karl Huemiller, Recreation Services Director OTHER DEPARTMENT REVIEW: CITY MANAGER REVIEW: Katie Rodriguez, City Manager 11/20/2024 ITEM FOR COUNCIL CONSIDERATION: Consider the adoption of a resolution accepting grants and donations received by the Richfield Recreation Services in 2024 and authorizing staff to administer the funds in accordance with any applicable grant agreements and terms prescribed by donors. EXECUTIVE SUMMARY: The Richfield Recreation Services Department received funds through grants and donations in 2024 from various individuals and organizations to fund different programs and projects and require acceptance of these grants by the City Council. The Departments received the following grants and donations in 2024: RECOMMENDED ACTION: By motion: Adopt a resolution accepting grants and donations received by the Richfield Recreation Services Department in 2024 and authorizing staff to administer the funds in accordance with any applicable grant agreements and terms prescribed by donors. BASIS OF RECOMMENDATION: A.HISTORICAL CONTEXT Provided in the Executive Summary. B.EQUITABLE OR STRATEGIC CONSIDERATIONS OR IMPACTS 12 Impact: These various sources of funding allow for us to pursue the development of programs that address hunger and financial inequity, particularly the Farmers Market programs and the recreation scholarship fund. Other projects funded from these sources enable us to provide programs and facilities that are open and accessible to all people, which is a priority for all Recreation Services initiatives. People: The Recreation Services Department has an ongoing commitment to provide programs and facilities that are accessible and inviting to all people, regardless of ethnicity, gender identification, or economic status. Any funding received to continue these programs and facilities enables us to continue that commitment. Consequences: The Recreation Services Department has been proactive about creating a welcoming environment for all people and we have seen diverse participation. Staff realizes that these programs and facilities are made possible by all of Richfield residents and strives to take steps to make sure that our participants reflect that diversity and individuality. C.POLICIES (resolutions, ordinances, regulations, statutes, exc): Minnesota Statute 465.03 requires every acceptance of a grant or devise of real or personal property on terms prescribed by donor be made by resolution and adopted by two-thirds majority of the City Council. The Administrative Services Department issued a memo on November 9, 2004, requiring that all grants and restricted donations to departments be received by resolution and adopted by two-thirds majority of the City Council in accordance with Minnesota Statute 465.03. D.CRITICAL TIMING ISSUES: None E.FINANCIAL IMPACT: All of the donations listed were given without obligation to provide any additional matching funds, or are leveraging funds already allocated in the current budget. F.LEGAL CONSIDERATION: Minnesota Statute 465.03 requires every acceptance of a grant or devise of real or personal property on terms prescribed by the donor be made by resolution and adopted by two-thirds majority of the City Council. ALTERNATIVE RECOMMENDATION(S): Should Council not accept the grants, the Recreation Services Department would be required to locate alternate funding sources to cover the grant amounts. PRINCIPAL PARTIES EXPECTED AT MEETING: None ATTACHMENTS: Description Type Grant Acceptance Resolution Resolution Letter 13 2024-11-26 Recreation Services Grant Acceptance RESOLUTION NO. RESOLUTION AUTHORIZING ACCEPTANCE OF GRANTS RECEIVED BY THE CITY OF RICHFIELD-RECREATION SERVICES DEPARTMENT AND TO AUTHORIZE THE CITY TO ADMINISTER THE FUNDS IN ACCORDANCE WITH GRANT AGREEMENTS AND TERMS PRESCRIBED BY DONORS WHEREAS, Minnesota Statute 465.03 reads in part as follows: Any city, county, school district or town may accept a grant or devise of real or personal property and maintain such property for the benefit of its citizens in accordance with the terms prescribed by the donor. Nothing herein shall authorize such acceptance or use for religious or sectarian purposes. Every acceptance shall be by resolution of the council adopted by two-thirds majority of its members, expressing such terms in full, and WHEREAS, the City of Richfield Recreation Services Department has received grants and donations as described below: DATE DONOR PURPOSE AMOUNT Jan 24 MN Department of Agriculture Farmers Market: MN Grown e- commerce & marketing costs $1,191 Jan-Aug 24 Richfield Liquor Store Round-Up Recreation Scholarship Fund $1,454 Jan-Oct 24 Hunger Solutions MN Farmers Market: SNAP/Market Bucks $7,968 May 24 Richfield Tourism Promotion Board Entertainment in the Parks $2,500 May 24 Richfield Tourism Promotion Board Farmers Market: live music & yoga $2,500 Aug 24 MN Department of Agriculture Farmers Market: Cost-share for staff $1,500 Sep-Dec 24 Richfield Liquor Store Round-Up Dog Park Features (as of 11/12/24) $447 Nov 24 MN Department of Agriculture Farmers Market: Farm to Pantry: 2nd $125,000 NOW, THEREFORE, BE IT RESOLVED, by the City Council of the City of Richfield, Minnesota, as follows: That the City Council of the City of Richfield hereby accepts the grants and donations as listed above, received in 2024, and authorizes the City to administer the funds in accordance with grant agreements and terms prescribed by donors. Adopted by the City Council of the City of Richfield, Minnesota this 26th day of November, 2024. Mary Supple, Mayor ATTEST: Michelle Friedrich, City Clerk 14 AGENDA SECTION: CONSENT CALENDAR AGENDA ITEM #4.B. STAFF REPORT NO. 161 CITY COUNCIL MEETING 11/26/2024 REPORT PREPARED BY:Michelle Friedrich, City Clerk DEPARTMENT DIRECTOR REVIEW: OTHER DEPARTMENT REVIEW:Michelle Friedrich, City Clerk - Administrative Services CITY MANAGER REVIEW: Katie Rodriguez, City Manager 11/20/2024 ITEM FOR COUNCIL CONSIDERATION: Approve a resolution for counting registered, write-in votes for local elective office. EXECUTIVE SUMMARY: A city may adopt a resolution requiring a write-in candidate to file a written request for their write-in votes to be individually tallied after an election. This request must be filed with the filing officer for that office no later than the 7th day before the general election; or the city may require that write-in votes only be individually tallied if the total number of write-in votes is equal or greater than the fewest number of non-write-in votes for a candidate on the ballot. Nothing is specified within the Richfield City Charter regarding write-in votes. Because our City Charter does not specify how to handle write-in votes, staff must hand tally write-in votes and archive the tally sheet as a supplement to the Elections Abstract. The individual tallying of write-in records is time-consuming. A majority of the write-in names do not reflect actual candidates, and include entities that do not exist or a disparaging comment. Adopting a process that allows registered candidates to request a tally write-in vote total to be counted in their race allows staff to process the write-in votes appropriately. Staff recommends adopting a resolution regarding write-in votes requiring registered write-in candidates to file a request to have their write-in votes tallied. RECOMMENDED ACTION: Approve a resolution for counting registered write-in votes for local elective office. BASIS OF RECOMMENDATION: A.HISTORICAL CONTEXT B.EQUITABLE OR STRATEGIC CONSIDERATIONS OR IMPACTS C.POLICIES (resolutions, ordinances, regulations, statutes, exc): The City Charter does not reference a process for counting write-in votes for an election. D.CRITICAL TIMING ISSUES: E.FINANCIAL IMPACT: Tallying write-in votes is time-consuming for staff. A majority of the write-in names do not reflect actual candidates, and include entities that do not exist or a disparaging comment. Adopting a process that allows registered candidates to request a tally write-in vote total to be counted in their race allows staff to process the 15 write-in votes appropriately. F.LEGAL CONSIDERATION: ALTERNATIVE RECOMMENDATION(S): PRINCIPAL PARTIES EXPECTED AT MEETING: ATTACHMENTS: Description Type 11-26-2024 Resolution Adopting Process for Counting Write-In Votes Resolution Letter 16 RESOLUTION NO. RESOLUTION FOR COUNTING WRITE-IN VOTES FOR LOCAL ELECTIVE OFFICE WHEREAS, Minnesota Statute 204B.09, subdivision 3 allows for the governing body of a statutory or home rule charter city to adopt a resolution governing the counting of registered write-in candidate votes for local elective office. WHEREAS, the current write-in vote counting process is overly time consuming. Counting only registered write-in candidates aligns the write-in recording process with Federal, State and County offices. THEREFORE, NOW BE IT RESOLVED that the City of Richfield hereby requires candidates for city office to file a written request with the chief election official no later than the seventh day before the city election if the candidate wants to have the candidate’s write-in votes individually recorded. Adopted by the City Council of the City of Richfield, Minnesota this 26th day of November, 2024. Mary Supple, Mayor ATTEST: Michelle Friedrich, City Clerk 17 AGENDA SECTION: CONSENT CALENDAR AGENDA ITEM #4.C. STAFF REPORT NO. 162 CITY COUNCIL MEETING 11/26/2024 REPORT PREPARED BY:Jennifer Anderson, Support Services Manager DEPARTMENT DIRECTOR REVIEW:Jay Henthorne, Director of Public Safety/Chief of Police 11/19/2024 OTHER DEPARTMENT REVIEW: CITY MANAGER REVIEW: Katie Rodriguez, City Manager 11/20/2024 ITEM FOR COUNCIL CONSIDERATION: Consider approval to set a public hearing to be held on December 10, 2024, to consider the renewal of a Pawnbroker license for 2025 for Metro Pawn and Gun, Inc. EXECUTIVE SUMMARY: Richfield City ordinance requires that the City Council conduct a public hearing to consider the Pawnbroker license renewals and a date be set for the public hearing. This request is for the approval to set the public hearing for December 10, 2024, to consider this license renewal. RECOMMENDED ACTION: By motion: Approve setting a public hearing to be held on December 10, 2024, for the consideration of the renewal of the Pawnbroker license for 2025 for Metro Pawn and Gun, Inc. BASIS OF RECOMMENDATION: A.HISTORICAL CONTEXT The Pawnbroker license will expire on December 31, 2024. Hearings must be scheduled and held before a renewal license may be considered. The renewal process has been initiated. Holding the public hearing on December 10, 2024, will provide ample time to complete the licensing process before January 1, 2025. B.EQUITABLE OR STRATEGIC CONSIDERATIONS OR IMPACTS This is a required process and normal city operations that need to be conducted. C.POLICIES (resolutions, ordinances, regulations, statutes, exc): Richfield City ordinance provides that the City Council conduct a public hearing to consider the Pawnbroker license renewals. D.CRITICAL TIMING ISSUES: Current Pawnbroker license will expire on December 31, 2024. E.FINANCIAL IMPACT: None F.LEGAL CONSIDERATION: None 18 ALTERNATIVE RECOMMENDATION(S): Schedule the hearing for another date; however, this will delay the licensing process. PRINCIPAL PARTIES EXPECTED AT MEETING: There are no parties expected at the meeting. 19 AGENDA SECTION: CONSENT CALENDAR AGENDA ITEM #4.D. STAFF REPORT NO. 163 CITY COUNCIL MEETING 11/26/2024 REPORT PREPARED BY:Karl Huemiller, Recreation Services Director DEPARTMENT DIRECTOR REVIEW:Karl Huemiller, Recreation Services Director OTHER DEPARTMENT REVIEW: CITY MANAGER REVIEW: Katie Rodriguez, City Manager 11/20/2024 ITEM FOR COUNCIL CONSIDERATION: Consider the acceptance of a quote from Northland Recreation in the amount of $175,000 for the replacement of play equipment at Donaldson Park and the authorization of the Recreation Services Director to proceed with the project. EXECUTIVE SUMMARY: On December 13, a request for proposal was released to solicit proposals for the replacement of the outdated play equipment at Donaldson Park (7400 Humboldt Ave). The project is part of the approved 2023 Capital Improvement Budget and allocates $110,000 for the Donaldson Park playground. An open house was conducted and surveys were collected to solicit input from residents living near the park to determine their preferred features, color schemes, themes, and play activities for Donaldson Park. These preferences informed many of the specifications within the request for proposal. The deadline for play equipment vendors to submit their proposals was Friday, January 5. Two proposals were received: Midwest Playscapes and Northland Recreation. The proposals were reviewed and scored. The scoring was based on the criteria outlined in the RFP, including neighborhood preferences for play features and factors like inclusiveness, safety, appeal to all ages, and overall design. The highest-scoring proposal was from Northland Recreation. Their proposal meets all bonding and insurance requirements and they are a trusted vendor/installer with whom the City has worked in the past. Following RFP selection, staff worked with Northland Recreation to develop an expanded playground concept and apply for Hennepin County Youth Activity Grant for playgrounds. The City was awarded $100,000 to go towards the Donaldson Park Playground project. Following the award of the grant, the Donaldson Park playground budget was revised to $175,000. The play equipment will be installed in a new larger container, located at the north end of Donaldson Park building. Work will be completed in the summer of 2025. RECOMMENDED ACTION: By Motion: Accept the quote from Northland Recreation in the amount of $175,000 for the replacement of play equipment at Donaldson Park and authorize the Recreation Services Director to proceed with the project. BASIS OF RECOMMENDATION: 20 A.HISTORICAL CONTEXT The City of Richfield Capital Improvement Plan includes replacement of the play equipment that is oldest or most in need of replacement each year, taking into consideration any updates in safety, design, and play experiences since the existing equipment was installed. The life span of play equipment is typically about 25 years. This request for proposal and award of contract follows a previous RFP that was issued for the same project in 2023 and a different vendor was chosen. That proposal did not include a project element required by the revised RFP, so the quote and all three proposals were rejected by the City Council on November 14 for the purpose of reissuing the RFP in December. B.EQUITABLE OR STRATEGIC CONSIDERATIONS OR IMPACTS Impact: Playground equipment is an amenity that is free to use at anytime during park hours, making play lots among our most-used and widely-accessible recreation amenities. All proposals are graded on accessibility and ADA standards. People: The Recreation Services Department has an ongoing commitment to provide programs and facilities that are accessible and inviting to all people, regardless of ethnicity, gender identification, or economic status. The play equipment lots are available to, and regularly used by, all members of our community. Consequences: The Recreation Services Department has been proactive about creating a welcoming environment for all people and we have seen diverse participation. Staff realizes that these facilities are made possible by all of Richfield residents and strives to take steps to make sure that our participants reflect that diversity and individuality. Strategic Outcome Considerations: The acceptance of the quotes for the replacement of play equipment at Donaldson Park will ensure "city infrastructure supports service needs" into the future. C.POLICIES (resolutions, ordinances, regulations, statutes, exc): For projects over $75,000, cities must require contractors to provide a performance bond and a payment bond. In addition, Minnesota Statute 471.425 requires that each contract between the government entity and a prime contractor to require the prime contractor to pay subcontractors within 10 days of receipt of payment from the government entity. This provision is included in the attachment to the proposal. Both of these requirements were included in the RFP. D.CRITICAL TIMING ISSUES: Prices for playground equipment increase by 3% on December 3, 2024. Delaying the approval of this quote would mean an increase in the price of the project. E.FINANCIAL IMPACT: Funding for the new play equipment is included in the approved 2023 Capital Improvement Budget in the amount of $110,000. With the award of the Hennepin County Youth Activities Grant in the amount of $100,000, the project budget could be increased to $175,000. The proposed project budget includes all of the following: Removal of old equipment. Excavation & grading of a new container Installation of new play equipment, wood carpet, and wear pads. F.LEGAL CONSIDERATION: There are no additional legal considerations for this item. ALTERNATIVE RECOMMENDATION(S): Reject the quote, which would delay the replacement of the play equipment. Direct the Community Services Commission to approve a new RFP and consider new proposals for a future season. PRINCIPAL PARTIES EXPECTED AT MEETING: 21 ATTACHMENTS: Description Type Donaldson Park Play Equipment RFP Backup Material Donaldson Park Playground Quote Backup Material Donaldson Park Playground Rendering Backup Material 22 RICHFIELD RECREATION SERVICES | 7000 NICOLLET AVE | RICHFIELD, MN 55423 Page 1 REQUEST FOR PROPOSAL DESIGN, SUPPLY & INSTALLATION OF PLAYGROUND EQUIPMENT AT FAIRWOOD AND DONALDSON PARKS RFP Release: Wednesday, December 13, 2023 Deadline for Submittal: Friday, January 5, 10:00 am DATE OF ALL WORK FOR DONALDSON PARK MUST BE BETWEEN SEPTEMBER 1, 2024, AND JUNE 1, 2025. I. GENERAL GUIDELINES A. Requests For Proposals The City of Richfield is seeking proposals from interested and qualified companies for the design, supply and installation of playground equipment at Donaldson Park (7434 Humboldt Ave), Richfield, MN 55423. Upon receipt of the proposals, the City intends to make a contract by direct negotiation. B. Owner and Submission Information Interested companies should submit FOUR COPIES of their proposals to: RICHFIELD RECREATION 7000 NICOLLET AVE RICHFIELD, MN 55423 RE: FAIRWOOD & DONALDSON PARK EQUIPMENT PROPOSAL Proposals should include all the items set forth in Section II below. Any questions regarding this Request for Proposals should be directed to Interim Recreation Services Director Karl Huemiller at 612-861-9387 or khuemiller@richfieldmn.gov All proposals should be submitted to the Richfield Community Center at the above address by 10:00 a.m. on Friday, January 5, 2023. II. PROJECT DESCRIPTION AND SCOPE A. General Project Scope The City of Richfield Recreation Services Department is seeking proposals for the design, supply, and installation of playground equipment for one existing play equipment replacement at Donaldson Park as defined in Section II, B and C. The proposer would also be responsible for removal and disposal of the existing play equipment at both parks. B. Budget Design, supply and installation of new play equipment, concrete border with compacted base aggregate, wood fiber, fabric, drain tile (in container and to storm sewer), sand base, excavation & grading, finish sod, export unwanted sand & fill, freight, delivery, and applicable sales tax shall not exceed the budget of $120,000. C. Design and Cost Proposals Proposers must only submit one design. The submitted design shall include the excavation of a new container with concrete border, at least 100’x100’ in size. The Proposer should provide materials and installation of new play equipment, concrete border with compacted base aggregate, wood fiber, fabric, drain tile (in container and to storm sewer), excavation & grading, finish sod, export unwanted sand & fill, sand base (can use existing sand in container), restoration of original playground container, including filling in the old footings and removal of concrete, as part of one base bid. Resilient surface shall be wood fiber to conform to all CPSC and ASTM guidelines. The City will dispose 23 RICHFIELD RECREATION SERVICES | 7000 NICOLLET AVE | RICHFIELD, MN 55423 Page 2 of excess concrete, sand, or woodchips. Equipment must meet the following guidelines: 1. Proposer must visit the site and take measurements of existing container to ensure CPSC distance guidelines; 2. Conform to all CPSC and ASTM guidelines for the equipment itself; 3. Conform to all proposed ADA requirements and IPEMA Certified. 4. Support posts must be powder-coated aluminum or steel, no metal slide surfaces or enclosed tunnels will be accepted, plastic components must be graffiti-resistant and have UV protection, other component features will be judged based on the design submitted; 5. Design for each park should include the following items and must include features for all play ages (2-12) in a single structure: BOTH PARK DESIGNS TO INCLUDE: − Color Scheme: Bright (neon) − Rubber transfer surfacing and ramps for full access to play features − Spiral slides − Wobbly and balance bridges − Rock climbing experience − Musical/sound panels and features − Deck roofs − Swings with wear pads, including an inclusive (ADA) swing with rubber surface leading to it and a variety of other swings (tire, multi-person, standard) − 2-3 benches in the container − Net climber (tall) − Multi-person spinner(s) − Spring riders (vehicle or animal theme) − Do not include roller slides or any enclosed slides/tubes 6. The shape and size of the existing areas will dictate the usability of some components. Visit each site and take your own measurements. 7. The vendor is responsible for the receipt of delivery of the equipment including with unloading and storage until installation. Storage on-site is permissible. 8. The successful Proposer must provide a performance bond and payment bond in an amount equal to the full amount of the contract. 9. Each proposal submitted should reflect, by line item, the cost for the design, purchase and installation of play equipment components, including all applicable sales taxes, freight, and other costs associated with each piece of equipment. Costs should be broken down into logical categories to aid the City in evaluation and include: • All soft costs; including design, overhead, insurance, as well as all applicable sales taxes. • All hard costs; including all work and materials related to the installation of play equipment, drain tile, concrete curb and resilient surfacing. Please itemize installation costs. Each Proposer must submit the following with bid: • Written assurance that the safety surfacing and play area components meet all applicable U.S. Consumer Product Safety Commission Guidelines, ASTM standards, proposed ADA requirements, IPEMA Certification and other applicable state and federal requirements will be required from each Proposer prior to contract initiation. • Plan layout of design and catalogue(s) with proposed equipment and safety surfacing identified for review by staff. 24 RICHFIELD RECREATION SERVICES | 7000 NICOLLET AVE | RICHFIELD, MN 55423 Page 3 • Current warranty, insurance, and product specification information on all products and materials included in your proposal. • Written estimate of delivery and installation time frame. • Link to videos that show kids playing on components the vendor would like to highlight. A. Site Review Each Proposer must visit the site to become familiar with the play container. B. References Each Proposer shall provide a list of five municipal references. Each reference must include the name and address of the jurisdiction where the Proposer has installed equipment similar to the equipment proposed for this request, and the name and daytime telephone number of an individual, who still works for the jurisdiction, that the City can contact. Municipalities should be within the metropolitan area and the installation should not be more than five years old. C. Specifications Each proposal submitted shall clearly reflect post diameters and other specifications describing the type of materials provide in the proposal. III. EVALUATION AND SELECTION A. Design Considerations The design proposed will be a key factor in the selection process. The City encourages innovative, interesting and exciting designs that will distinguish Richfield parks. Available color selections will be made following the manufacturer’s standard color chart. B. Evaluation Criteria The City reserves the discretion to negotiate and enter into any contract deemed to be in the City’s best interest. Factors that may be important to the City include: 1. Overall Design 2. Appeal to All Ages 3. Fitness Value 4. Price 5. Degree of Inclusiveness 6. Delivery (including written verification of unloading/storage responsibility) and installation timeframe. 7. Warranty Provisions 8. Review/Inspection of previous installations and/or references. C. Contract and Insurance Requirements The selected vendor will be required to enter into a contract with the City, provide the City with a performance bond and payment bond in an amount equal to the full amount of the contract to assure the timely performance and payment for the work proposed, and assure their availability to have the Project begin and be completed in the given date parameter: perform work between September 1, 2024, and June 1, 2025. The City will not be responsible to store or secure play equipment materials prior to and including installation. Minnesota Statute 471.425 requires that each contract between the government entity and a prime contractor to require the prime contractor to pay subcontractors within 10 days of receipt of payment from the government entity. Insurance requirements include: 1. Worker’s Compensation Insurance: The Contractor shall take out and maintain, during the life of the contract, Worker’s Compensation Insurance with a company that is lawfully authorized to do business in the State of Minnesota. Such insurance shall protect the Contractor, or Subcontractor or anyone directly or indirectly employed by any of them from claims under worker’s compensation, disability benefit and other 25 RICHFIELD RECREATION SERVICES | 7000 NICOLLET AVE | RICHFIELD, MN 55423 Page 4 similar employee benefit acts. 2. Commercial/Comprehensive General Liability Insurance: The Contractor shall take out and maintain during the life of this contract Public Liability Insurance, Property Damage Liability, and Personal Injury Insurance with a company that is lawfully authorized to do business in the State of Minnesota. Such insurance shall protect the Contractor, Subcontractor, or anyone directly or indirectly employed by the Contractor or Subcontractor performing work covered by this contract from claims arising out of public liability, property damage, or personal injury including death, as well as claims for property damage which may arise out of work. The Contractor’s policy shall list the City as an additional insured on a primary or non-contributory basis. The recommended minimum limits of insurance per project are: • General Aggregate $1.5 million • Product-Completed Operations Aggregate $500,000 • Personal and Advertising Injury $1.5 million • Per Occurrence (Bodily Injury & Property Damage) $1.5 million 3. Fire Insurance: The Contractor is responsible for insuring for fire, and extended coverage including vandalism and malicious coverage on the work included in the contract from the beginning of the work until final acceptance of the completed project. The policies shall cover all work incorporated in the project and all material in place or stored at the site for installation against loss by fire and wind. This provision does not exclude material partially paid for by the Owner. This insurance shall be for the full insurable value of the material and shall be kept in full force until final acceptance of the work by the Owner. 4. Automobile Insurance: The Contractor shall take out and maintain during the life of the contract Automobile Insurance with a company that is lawfully authorized to do business in the State of Minnesota. The recommended minimum limits of insurance are $1,500,000 combined single limit (B1 & PD). All insurance referenced in paragraphs 1 through 4 shall be placed with companies acceptable to and approved by the City prior to the commencement of the work. The Contractor shall submit copies of the certificate with the City prior to commencement of the work. Certificates of insurance will not be canceled or allowed to expire until at least 30 days prior written notice has been given to the City. The City shall be shown on the General Liability coverage as an “additional insured.” Any proposals received with limits lower than those referenced above may still be considered for this project. D. Reservations and Other Considerations. 1. The City of Richfield reserves the right to reject any or all proposals. Any proposals exceeding the maximum funding or footprint on the site will be excluded. Proposal amounts must be effective for 45 days after the above deadline. 2. The City reserves the discretion to negotiate and accept any proposal based upon its determination of the City’s best interest. 3. The City will not be responsible for any costs incurred by those submitting or preparing proposals. At the request of the Proposer, proposals will be returned after the selection process has been completed and a vendor selected. 4. The City reserves the right to revise the scope of the project based on budget limitations and other relevant considerations. 5. Each Proposer must meet the City of Richfield contract requirements. The City reserves the right to reject proposals that do not meet contract requirements. ### 26 11/19/2024 Page 1 of 3 PlayPower LT Farmington, Inc. 878 E. US Hwy 60 Monett, MO 65708 1-800-325-8828 Northland Recreation LLC 10085 Bridgewater Bay Woodbury, MN 55129 (651) 815-4097 (phone) (414) 395-8538 (fax) Bill To: City of Richfield 7000 Nicollet Ave S Project Name & Location: Ship To Address: Richfield, MN 55423 Donaldson Park 7434 Humboldt Ave S Same Richfield, MN 55423 Contact Name: Karl Huemiller Email: khuemiller@richfieldmn.gov Contact Phone: 612-861-9387 Quote Date:11/19/24 Valid For:60 days QTY Description Unit Price Total 1 Little Tikes Custom 5-12 year old Kid Builder $62,574.85 Play structure, Maxplay 5 Unit Swing and Bumblebee spring rider. 1 Little Tikes 18’ Matrix Climbing Net $19,024.85 1 Little Tikes Inclusive 10 Person Spinner $3,517.25 1 Little Tikes Stand and Spin $882.05 2 Premier Polysteel 6’ Benches w/back, direct bury. $599.00 $1,198.00 355 cy Woodfiber Resilient Surfacing with 9 rubber $19,600.00 Swing and slide mats – 3’ x 5’ 329 l/f New 12” x 8” Concrete Border per plan. $15,435.00 1 Installation of new play equipment. $41,236.61 1 Excavation of new play area, backfill and seed around new curb and remove old play structure from existing site. Remove old timber border and resilient surfacing $11,531.39 and stockpile on site – city to haul away. Totals: 412.35 Equipment List: $ 85,999.00 Products by Other: $ 36,233.00 Installation: $ 52,768.00 Estimated Sales Tax*: Exempt Freight: Included Grand Total: $ 175,000.00 Notes: City to haul old timbers and pea rock off site. 27 11/19/2024 Page 2 of 3 Make Purchase Orders Out To: Make Checks Payable To: PlayPower LT Farmington, Inc. PlayPower LT Farmington, Inc. Remit Purchase Orders To: Remit Checks To: PlayPower LT Farmington, Inc. Attention: Sales Administration 878 E US Hwy 60 Monett, Missouri, USA 65708 1-800-325-8828 PlayPower LT Farmington, Inc. P.O. 734155 Dallas, TX 75373-4155 NOTE: * Applicable sales taxes will be confirmed once order and any tax certificates are received † Denotes drop ship item. Unloading, storage, installation, surfacing and site work are not included unless specifically noted on quotation. Not responsible for filter cloth, irrigation rerouting, grass damage, or checking for underground utilities. If installation is quoted, it is assumed that the site has been prepared and that any grade slope in any direction does not exceed 2%. In the event that unexpected soil conditions, such as subsurface rock, are encountered during installation, additional costs to the customer will be applicable. The acceptance signature below serves as authorization to order the items quoted and indicates acceptance of the prices listed. All terms are subject to credit approval. COMMENTS: This playground contains 96.69% recycled content This playground qualifies for 2 LEED point(s) This Quote shall not become a binding contract until signed and delivered by both Customer and PlayPower LT Farmington Inc (“PPLT”). Sales Representative is not authorized to sign this Quote on behalf of PPLT or Customer, and signed Quotes cannot be accepted from Sales Representative. To submit this offer, please sign below and forward a complete signed copy of this Quote directly to “PPLT Sales Administration” via fax (417)354-2273 or email outdoordes@LTCPS.com. Upon acceptance, PPLT will return a fully-signed copy of the Quote to Customer (with copy to Sales Representative) via fax or e mail. THIS QUOTE IS LIMITED TO AND GOVERNED BY THE TERMS CONTAINED HEREIN. PPLT objects to any other terms proposed by Customer, in writing or otherwise, as material alterations, and all such proposed terms shall be void. Customer authorizes PPLT to ship the Equipment and agrees to pay PPLT the total amount specified. Shipping terms are FOB the place of shipment via common carrier designated by PPLT. Payment terms are Net-30 days from invoice date with approved credit and all charges are due and payable in full at PO Box 204713, Dallas, TX 75320-4713, unless notified otherwise by PPLT in writing. Customer agrees to pay all additional service charges for past due invoices. Customer must provide proper tax exemption certificates to PPLT, and shall promptly pay and discharge all otherwise applicable taxes, license fees, levies and other impositions on the Equipment at its own expense. CUSTOMER HEREBY SUBMITS ITS OFFER TO PURCHASE THE EQUIPMENT ACCORDING TO THE TERMS STATED IN THIS QUOTE AND SUBJECT TO FINAL APPROVAL BY PPLT. Submitted By Printed Name and Title Date THE FOREGOING QUOTE AND OFFER ARE HEREBY APPROVED AND ACCEPTED BY PLAYPOWER LT FARMINGTON INC. By: ___________________________ Date:___________________ ________________________ ________________________ 28 11/19/2024 Page 3 of 3 ADDITIONAL TERMS & CONDITIONS OF SALE 1. Use & Maintenance. Customer agrees to regularly inspect and maintain the Equipment, and to provide, inspect and maintain appropriate safety surfacing under and around the Equipment, in accordance with PPLT’s product literature and the most current Consumer Product Safety Commission Handbook for Public Playground Safety. 2. Default, Remedies & Delinquency Charges. Customer’s failure to pay any invoice when due, or its failure to otherwise comply with the terms of this Quote, shall constitute a default under all unsatisfied invoices ("Event of Default"). Upon an Event of Default, PPLT shall have all remedies available to it at law or equity, including, without limitation, all remedies afforded a secured creditor under the Uniform Commercial Code. Customer agrees to assist and cooperate with PPLT to accomplish its filing and enforcement of mechanic’s or other liens with respect to the Equipment or its location or its repossession of the Equipment, and Customer expressly waives all rights to possess the Equipment after an Event of Default. All remedies are cumulative and not alternative, and no exercise by PPLT of a remedy will prohibit or waive the exercise of any other remedy. Customer shall pay all reasonable attorneys’ fees plus any costs of collection incurred by PPLT in enforcing its rights hereunder. Subject to any limitations under law, Customer shall pay to PPLT as liquidated damages, and not as a penalty, an amount equal to 1.5% per month of any payment that is delinquent in such month and is not received by PPLT within ten (10) days after the date on which due. 3. Limitation of Warranty/ Indemnity. PPLT MAKES NO EQUIPMENT WARRANTIES EXCEPT FOR THOSE STANDARD WARRANTIES ISSUED WITH THE EQUIPMENT, WHICH ARE INCORPORATED HEREIN BY THIS REFERENCE. PPLT SPECIFICALLY DISCLAIMS ANY IMPLIED WARRANTY OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE AND ANY LIABILITY FOR INCIDENTAL OR CONSEQUENTIAL DAMAGES. CUSTOMER AGREES TO DEFEND, INDEMNIFY AND SAVE PPLT HARMLESS FROM ALL CLAIMS OF ANY KIND FOR DAMAGES OF ANY KIND ARISING OUT OF CUSTOMER’S ALTERATION OF THE EQUIPMENT, ITS FAILURE TO MAINTAIN THE EQUIPMENT, ITS FAILURE TO PROPERLY SUPERVISE EQUIPMENT USE, OR ITS FAILURE TO PROVIDE AND MAINTAIN APPROPRIATE TYPES AND DEPTHS OF SAFETY SURFACING BENEATH AND AROUND THE EQUIPMENT IN ACCORDANCE WITH PPLT’S INSTALLATION AND OWNER’S MANUALS AND THE MOST CURRENT CONSUMER PRODUCT SAFETY COMMISSION HANDBOOK FOR PUBLIC PLAYGROUND SAFETY. 4. Restrictions. Until all amounts due hereunder are paid in full, Customer shall not: (i) permit the Equipment to be levied upon or attached under any legal process; (ii) transfer title to the Equipment or any of Customer's rights therein; or (iii) remove or permit the removal of the Equipment to any location not specified in this Quote. 5. Purchase Money Security Interest. Customer hereby grants, pledges and assigns to PPLT, and PPLT hereby reserves a purchase money security interest in, the Equipment in order to secure the payment and performance in full of all of Customer’s obligations hereunder. Customer agrees that PPLT may file one or more financing statements, in order to allow it to perfect, acquire and maintain a superior security interest in the Equipment. 6. Choice of Law and Jurisdiction. All agreements between Customer and PPLT shall be interpreted, and the parties' obligations shall be governed, by the laws of the State of Missouri without reference to its choice of law provisions. Customer hereby consents to the personal jurisdiction of the state and federal courts located in the city and county of St. Louis, Missouri. 7. Title; Risk of Loss; Insurance. PPLT Retains full title to all Equipment until full payment is received by PPLT. Customer assumes all risk of loss or destruction of or damage to the Equipment by reason of theft, fire, water, or any other cause, and the occurrence of any such casualty shall not relieve the Customer from its obligations hereunder and under any invoices. Until all amounts due hereunder are paid in full, Customer shall insure the Equipment against all such losses and casualties. 8. Waiver; Invalidity. PPLT may waive a default hereunder, or under any invoice or other agreement between Customer and PPLT, or cure such a default at Customer's expense, but shall have no obligation to do either. No waiver shall be deemed to have taken place unless it is in writing, signed by PPLT. Any one waiver shall not constitute a waiver of other defaults or the same kind of default at another time, or a forfeiture of any rights provided to PPLT hereunder or under any invoice. The invalidity of any portion of this Quote shall not affect the force and effect of the remaining valid portions hereof. 9. Entire Agreement; Amendment; Binding Nature. This fully-executed Quote, as supplemented by Change Orders and invoices containing exact amounts of estimates provided herein, constitutes the complete and exclusive agreement between the parties. A Change Order is a written instrument signed by the Customer and PPLT stating their agreement as to any amendment in the terms of this Quote. Customer acknowledges that Change Orders may result in delays and additional costs. The parties agree that all Change Orders shall include appropriate adjustments in price and time frames relating to any requested amendments. Upon full execution, this Quote shall be binding upon and inure to the benefit of the parties and their successors and assigns. 10. Counterparts; Electronic Transmission. This Quote, any invoice, and any other agreement between the parties, may be executed in counterparts, each of which shall constitute an original. The facsimile or other electronic transmission of any signed original document, and retransmission of any signed facsimile or other electronic transmission, shall be the same as the transmission of an original. At the request of either party, the parties will confirm facsimile or other electronically transmitted signatures by signing an original document. 29 Donaldson Park City of Richfield 30 Why Little Tikes COMMERCIAL? At Little Tikes Commercial, we believe in the developmental value of play. We understand that play is necessary for healthy child development, and that’s why our play structures are specifically designed to encourage the physical, social, emotional, cognitive and sensory development of children of all abilities. Our commitment to delivering fun, innovative play structures that promote value of outdoor play has been a focus of our designs for over 40 years. Little Tikes Commercial strongly believes play for children of all ages and abilities should include fewer limits. It’s why we are big advocates of inclusive and accessible playgrounds for meaningful play. Our playgrounds help children play and take part in a variety of truly inclusive activities. Main Office and Manufacturing Facility in Monette MO 31 32 33 34 35 36 37 38 39 40 AGENDA SECTION: CONSENT CALENDAR AGENDA ITEM #4.E. STAFF REPORT NO. 164 CITY COUNCIL MEETING 11/26/2024 REPORT PREPARED BY:Katie Rodriguez, City Manager DEPARTMENT DIRECTOR REVIEW: OTHER DEPARTMENT REVIEW: CITY MANAGER REVIEW: Katie Rodriguez, City Manager 11/20/2024 ITEM FOR COUNCIL CONSIDERATION: Consider approval of the first reading of a new Ordinance establishing a Local Sales and Use Tax in Richfield. EXECUTIVE SUMMARY: Richfield is an older community with a modest tax base. The city has an immediate need to continue making investments to ensure community amenities are available for residents in the future. In 2022, a Local Sales and Use Tax (LST) was identified as a potential funding source for three major projects including the Wood Lake Nature Center Building project; Veterans Park Improvements; and the Richfield Community Center project. The projects will support athletics, recreation, and wellbeing in Richfield. On January 24, 2023, the City Council approved Resolution No. 12067, directing staff to submit a request to the Minnesota Legislature to propose a one-half of one percent (0.5%) LST on the gross receipts from retail sales in Richfield. In 2023, the Minnesota Legislature approved Minnesota Laws 2023, Chapter 64, Article 10, Section 44, as introduced by the Legislature. This law gives the city, with approval from the voters, the authority to impose a LST under the special law. The special law was approved by the City Council on July 25, 2023. The voters approved imposing a Local Sales and Use Tax to finance the projects at the November 5, 2024 general election. Question 1 SALES AND USE TAX FOR NEW COMMUNITY CENTER passed by 62.57%. Question 2 SALES AND USE TAX FOR VETERANS PARK IMPROVEMENTS passed by 69.75%. Question 3 SALES AND USE TAX FOR NEW WOODLAKE NATURE CENTER BUILDING passed by 67.32%. The City of Richfield is authorized to impose a one-half of one percent (0.50%) Local Sales and Use Tax. The LST may only be imposed for the lesser of two time periods: 20 years or until enough sales tax revenue has been raised to pay for the costs of the approved projects, plus financing costs. RECOMMENDED ACTION: Consider approval of the first reading of a new Ordinance establishing a Local Sales and Use Tax in Richfield. BASIS OF RECOMMENDATION: 41 A.HISTORICAL CONTEXT Summarized in the Executive Summary. B.EQUITABLE OR STRATEGIC CONSIDERATIONS OR IMPACTS Equity: The LST provides the funding to improve facilities that are often low or no cost to residents and provide access to green space in the community. The exemptions to the LST would allow non-residents and residents to share the cost of the projects without burdening families with a higher cost of food or essential goods. Strategic Plan: The LST best aligns with the strategic plan priority of Sustainable Infrastructure by addressing all sub-initiatives of asset management, comprehensive funding, and sustainability efforts. C.POLICIES (resolutions, ordinances, regulations, statutes, exc): State statute guides this process, specifically the state revenue laws applicable to state sales and use tax imposition, administration, collection, and enforcement, including Minn. Stat. § 297A.99, Chapters 279C, 289A, 297A, and Minnesota Rules, Chapter 8130. D.CRITICAL TIMING ISSUES: The Council must submit the ordinance establishing the LST to the Minnesota Department of Revenue by January 1, 2025 in order for the LST to be implemented by April 1, 2025. Implementing the LST by April 1, 2025 will ensure that there is sufficient revenue to pay scheduled principal and interest payments on the 2024A Bonds. The second reading of the proposed ordinance is scheduled to be considered at the December 10, 2024 Council meeting. E.FINANCIAL IMPACT: The LST ordinance will enact a .5% (one-half percent) tax on certain goods or services within the City for up to 20 years. The LST will generate $65 million to fund the three approved projects, plus related financing costs. By enacting a LST, about half the burden of funding these projects will be paid by nonresidents. The University of Minnesota Extension Office estimated the nonresident portion of revenue would account for 55% of taxable sales subject to a LST in Richfield. The updated report also found that 2021 total taxable sales in Richfield were $995 million and estimated that $763 million would be subject to a LST. Had the 0.5% LST been in place in 2021 the average Richfield resident would pay $46.99 per year and $3.92 per month. F.LEGAL CONSIDERATION: Legal counsel prepared the proposed ordinance. ALTERNATIVE RECOMMENDATION(S): Council could defer the approval of the first reading tonight, but that would delay submission to the Minnesota Department of Revenue which would delay implementation of the LST. Delaying implementation of the LST would likely result in insufficient revenue for scheduled debt service payments on the 2024A Bonds. PRINCIPAL PARTIES EXPECTED AT MEETING: ATTACHMENTS: Description Type Proposed Local Sales and Use Tax Ordinance Cover Memo 42 1 BILL NO. _____ AN ORDINANCE AMENDING THE RICHFIELD CODE OF ORDINANCES TO ADD A NEW CHAPTER RELATED TO A LOCAL SALES AND USE TAX THE CITY OF RICHFIELD DOES ORDAIN: Section 1. The Richfield City Code is amended to add a new Chapter XV as follows: CHAPTER XV - TAXES SECTION 1500. – LOCAL OPTION SALES AND USE TAX 1500.01. – Authority. Pursuant to Session Laws 2023, Chapter 64, Article 10, Section 44, the Minnesota Legislature has authorized the City of Richfield to impose, collect, and administer a local sales and use tax to pay for Designated Projects in the City, including associated bonding costs to finance all or part of the Designated Projects. The voters of Richfield approved the imposition of the local sales and use tax at the general election on November 5, 2024. 1500.02. – Definitions. For the purposes of this Chapter, the following terms, phrases and words, and their derivations shall have the meaning given therein. When not inconsistent with the context, words used in the present tense include the future, words in the plural number include the singular number and words in the singular number include the plural number. The word "shall" is always mandatory and not merely directory. Subdivision 1. The term “City” means the City of Richfield. Subd. 2. The term “Commissioner” means the Commissioner of Revenue of the State of Minnesota or a person to whom the Commissioner has delegated functions. Subd. 3. The term “Designated Projects” means: (a)$11,000,000 plus associated bonding costs for construction of the Wood Lake Nature Center building; and (b)$9,000,000 plus associated bonding costs for construction of the Veterans Park Complex; and (c)$45,000,000 plus associated bonding costs for construction of the Richfield Community Center Project. Subd. 4. The term “State Sales and Use Tax Laws and Rules” means those provisions of the state revenue laws applicable to state sales and use tax imposition, administration, collection, and enforcement, including Minn. Stat. § 297A.99, Chapters 279C, 289A, 297A, and Minnesota Rules, Chapter 8130. 43 2 1500.03. – Local Sales and Use Tax Imposed. Subdivision 1. Sales tax. A local sales tax is imposed in the amount of one-half of one percent (0.5%) on the gross receipts from sales at retail sourced within City limits which are taxable under the State Sales and Use Tax Laws and Rules. Subd. 2. Use tax. A local use tax is imposed in the amount of one-half of one percent of (0.5%) on the storage, use, distribution or consumption of good or services sourced within City limits which are taxable under the State Sales and Use Tax Laws and Rules. Subd. 3. Application of laws. All the provisions of the State Sales and Use Tax Laws and Rules apply to the local sales and use tax imposed by this chapter. Subd. 4. Collection of tax. The local sales and use tax imposed by this chapter shall be collected and remitted to the Commissioner on any sale or purchase when the state sales tax must be collected and remitted to the Commissioner under the State Sales and Use Tax Laws and Rules and is in addition to the state sales and use tax. 1500.04. – Effective Date of Tax; Transitional Sales. Except as otherwise provided herein, the local sales and use tax imposed by this chapter shall apply to sales and purchases made on or after April 1, 2025, and shall be in addition to all other taxes now in effect. The sales and use tax is governed by Minnesota Statutes Chapter 297A regarding sales that occur during the transition. 1500.05. – Exemption Certificates. A fully completed exemption certificate taken from a purchaser to the effect that the property purchased is for resale or that the sale is otherwise exempt from the application of the tax imposed by this chapter will conclusively relieve the retailer from collecting and remitting the tax to the extent the seller is also relieved of liability for the sales and use tax under Minnesota Statutes, section 297A.665. A person who has obtained from the Commissioner an exemption certificate pursuant to Minnesota Statutes, section 297A.72 may use such exemption certificate for the purposes of the sales tax imposed by the City. 1500.06. – Tax Clearance; Issuance of Licenses. Subdivision 1. Tax clearance required. Pursuant to Minnesota Statutes, section 270C.72, the City may not issue or renew a license for the conduct of trade or business within the City if the Commissioner notifies the City that the applicant owes delinquent City taxes, including sales and use taxes, as provided in this chapter or penalties or interest due on such taxes. 44 3 Subd. 2. Applicant defined. For purposes of this subdivision, “applicant” means an individual, if the license is issued to or in the name of an individual, or the corporation or partnership, if the license is issued to or in the name of a corporation or partnership or other entity. Subd. 3. Delinquent taxes defined. For purposes of this subdivision, “delinquent taxes” do not include a tax liability if: (i) an administrative or court action which contests the amount or validity of the liability has been filed or served, (ii) the appeal period to contest the tax liability has not expired, or (iii) the applicant has entered into a payment agreement and is current with the payments. Subd. 4. Notice of delinquent taxes; request for hearing. A copy of the notice of delinquent taxes given to the City must also be sent to the applicant taxpayer. In the case of renewal of a license, if the applicant requests a hearing in writing, within 30 days of receipt of the notice of delinquent taxes, then a contested case hearing shall be held by the Commissioner under the same procedures as provided in Minnesota Statutes, section 270C.72 for the State sales and use tax imposed under Minnesota Statutes, Chapter 297A, provided that if a hearing must be held on the State sales and use tax, the hearings may be combined. 1500.07. – Deposit of Revenues; Costs of Administration. All the revenues, interest, and penalties derived from the local sales and use tax imposed by this chapter collected by the Commissioner and remitted to the City shall be deposited by the City Finance Director in the City treasury and shall be credited to the fund established to pay the costs of collecting the local sales and use tax imposed by this chapter and to finance the capital and administrative costs directly related to completing the Designated Projects. 1500.08. – Bonding Authority. Subdivision 1. Issuance of bonds. The City may issue bonds under Minnesota Statutes, chapter 475, to finance all or a portion of the costs of the Designated Projects. The aggregate principal amount of bonds issued may not exceed $65,000,000, plus an amount applied to the payment of costs of issuing the bonds. The bonds may be paid from or secured by any funds available to the City, including the tax authorized by this chapter. The issuance of bonds is not subject to Minnesota Statutes, sections 275.60 and 275.61. Subd. 2. Bonds not subject to debt limitation. The bonds are not included in computing any debt limitation applicable to the City. Any levy of taxes under Minnesota Statutes, section 475.61, to pay principal of and interest on the bonds is not subject to any levy limitation. A separate election to approve the bonds under Minnesota Statutes, section 475.58 is not required. 45 4 1500.09. – Termination of Tax. The local sales and use tax imposed by this chapter shall terminate at the earlier of (1) 20 years after being first imposed, or (2) when the City Council determines that the amount received from the tax is sufficient to pay for the costs of the Designated Projects as required under Minnesota Statutes, section 297A.99, subdivision 3, paragraph (a), plus an amount sufficient to pay the costs related to issuance of any bonds authorized under subsection 1500.08 and Minnesota Statutes, chapter 475, including interest on the bonds. Except as otherwise provided in Minnesota Statutes, section 297A.99, subdivision 3 (f), any funds remaining after payment of the allowed costs due to the timing of the termination of the tax under Minnesota Statutes, section 297A.99, subdivision 12, shall be placed in the general fund of the City. The tax imposed by this chapter may expire at an earlier time if the City so determined by ordinance. 1500.10. – Agreement with the Commissioner. The City may enter into an agreement with the Commissioner regarding each party’s respective roles and responsibilities related to the imposition, administration, collection, enforcement, and termination of the local sales and use tax imposed by this chapter. Any such agreement shall not abrogate, alter, or otherwise conflict with the State Sales and Use Tax Laws and Rules, this chapter, or Session Laws 2023, Chapter 64, Article 10, Section 44. Section 2. Effective Date. This Ordinance is effective in accordance with Section 3.09 of the Richfield City Charter. Adopted by the City Council of the City of Richfield on this ____ day of ________ 2024. Mary B. Supple, Mayor ATTEST: Michelle Friedrich, City Clerk 46 AGENDA SECTION: PROPOSED ORDINANCES AGENDA ITEM #6. STAFF REPORT NO. 165 CITY COUNCIL MEETING 11/26/2024 REPORT PREPARED BY:Jennifer Anderson, Support Services Manager DEPARTMENT DIRECTOR REVIEW:Jay Henthorne, Director of Public Safety/Chief of Police 11/19/2024 OTHER DEPARTMENT REVIEW: CITY MANAGER REVIEW: Katie Rodriguez, City Manager 11/20/2024 ITEM FOR COUNCIL CONSIDERATION: Consider approval of the second reading of a new ordinance regarding registration of cannabis and hemp businesses and related regulations. EXECUTIVE SUMMARY: In 2023, the Minnesota Legislature legalized adult-use cannabis. The State's recently established Office of Cannabis Management (OCM) is responsible for overseeing this new industry through the implementation of a still-developing regulatory framework that will include both cannabis and hemp derived products. Because the city's moratorium on cannabis sales will expire on January 1, 2025, the city has developed an ordinance relating to registration and renewal for cannabis and hemp related businesses. Licensing by the OCM is expected to begin in 2025. RECOMMENDED ACTION: By Motion: Approve the second reading of a new ordinance regarding registration of cannabis and hemp businesses and related regulations, and a resolution and summary publication of said ordinance. BASIS OF RECOMMENDATION: A.HISTORICAL CONTEXT The Minnesota Legislature legalized adult use cannabis in 2023 and made modifications to the law in 2024. The OCM is currently in the process of drafting administrative rules; therefore, some details may change slightly after this ordinance is adopted, and ordinance updates may be required as the industry becomes established. Cities may not prohibit the possession, transportation, or use of cannabis flower, cannabis products, or lower-potency hemp derived consumer products. Local governments may adopt reasonable restrictions on the time, place and manner of the operation of a cannabis business provided that such restrictions don't prohibit the establishment or operation of a cannabis business. B.EQUITABLE OR STRATEGIC CONSIDERATIONS OR IMPACTS The Office of Cannabis Management’s Division of Social Equity is charged with engaging with the community and administering grants to communities that experienced a disproportionate, negative impact from cannabis prohibition and cannabis use. OCM's Social Equity division staff will promote economic development, improve social determinants of health, provide services to prevent violence, support early intervention programs for youth and families, and promote community stability and safety. In terms of cannabis licensing, the OCM implemented 47 an early licensing option for social equity applicants and are currently reviewing those applications now. C.POLICIES (resolutions, ordinances, regulations, statutes, exc): The approval of this proposed ordinance completes the policy process for cannabis zoning and registration requirements set forth by the OCM. Highlights of this proposed ordinance include: Process for pre-licensure certification ensuring zoning requirements are met. Approves three dispensaries based on requirement of one dispensary per 12,500 people. Municipal dispensaries are exempt from this calculation. Registration application process flow and approvals. Registration denial and enforcement/penalties process. Compliance check process requiring at minimum, one check a year in addition to a pre-license check. Proposed hours of operation for cannabis businesses largely mirror Richfield liquor store hours with minor variations. The proposed hours would not apply to low-potency hemp retailers. Related to liquor, and to stay consistent with recent cannabis zoning changes, there is an update to liquor definitions. D.CRITICAL TIMING ISSUES: Transitory Ordinance 19-30 authorizing a study and imposing a moratorium on the operation of cannabis businesses with the city of Richfield will expire on January 1, 2025. E.FINANCIAL IMPACT: With the issuance of cannabis licenses from the OCM beginning sometime in 2025, cities may collect a registration and renewal fee from licensed businesses. These fees are set by state statute and are modest in comparison to liquor license fees. Additionally, effective July 1, 2023, Minnesota Statute 477A.31 establishes a local government cannabis aid account. The State will certify the balance of the local government cannabis aid account annually beginning July 15, 2024. OCM will certify the number of cannabis dispensaries disaggregated by county and city beginning June 1, 2024. Beginning for aid payable in 2024, the amount available for aid to cities equals 50 percent of the amount certified in that year. The aid to each city will be distributed proportionally according to the number of cannabis businesses in the city. Payments must be paid on December 26 annually. Staff estimates these funds to be modest and propose the funds be used to help cover the cost of mandatory compliance checks within all cannabis and low-potency hemp retailers. F.LEGAL CONSIDERATION: The City Attorney has reviewed the proposed ordinance and approves of its contents. ALTERNATIVE RECOMMENDATION(S): The City Council could deny the second reading of the ordinance and direct staff on how to proceed. PRINCIPAL PARTIES EXPECTED AT MEETING: ATTACHMENTS: Description Type Cannabis proposed ordinance Ordinance Resolution and Summary Publication Cannabis Registration Resolution Letter 48 1 RC145\760\981217.v8 Bill No. _____ AN ORDINANCE ADDING A NEW SECTION 1198 TO THE RICHFIELD CODE OF ORDINANCES REGARDING REGISTRATION OF CANNABIS AND HEMP BUSINESSES AND RELATED REGULATIONS AND REVISING CERTAIN DEFINITIONS IN THE LIQUOR CODE THE CITY OF RICHFIELD DOES ORDAIN: Section 1: Chapter XI of the Richfield Code of Ordinances is amended to add a new Section 1198 as follows: SECTION 1198. - CANNABIS AND HEMP BUSINESS REGULATIONS 1198.01. - Purpose and Findings. The City of Richfield makes the following legislative findings: The purpose of this section is to protect the public health, safety, and welfare in the City by implementing regulations pursuant to Minnesota Statutes, chapter 342 related to cannabis and hemp businesses within the City. The City finds and concludes that these regulations are appropriate and lawful and are in the public interest and for the public good. 1198.03. – Definitions. Subdivision 1. For the purposes of this section, the terms defined in this subsection have the following meanings given them: Subd. 2. Applicant. “Applicant” means an entity with a license issued by the OCM that is applying for an initial registration or for registration renewal. Subd. 3. The Act. “The Act” means Minnesota Statutes, Chapter 342, as it may be amended from time to time. Subd. 4. Cannabis Business. “Cannabis Business” shall have the definition in Minnesota Statutes Section 342.01. Subd. 5. Cannabis Retailer. “Cannabis Retailer” means every retail cannabis business that is licensed under the Act and required to register with the City under Minnesota Statutes, section 342.22. Subd. 6. Hemp Business. “Hemp Business” shall have the definition in Minnesota Statutes Section 342.01. 49 2 RC145\760\981217.v8 Subd. 7. Lower-Potency Hemp Retailer. “Lower-Potency Hemp Retailer” means every lower-potency hemp edible retail business that is licensed under the Act and required to register with the City under Minnesota Statutes, section 342.22. Subd. 8. Medical Cannabis Combination Business. “Medical Cannabis Combination Business” means a business licensed under Minnesota Statutes, section 342.515. Subd. 9. OCM. “OCM” means the Office of Cannabis Management. Subd. 10. Potential Licensee. “Potential Licensee” means an applicant that has not received a license from the OCM. 1198.05. – Pre-License Certification of Cannabis Businesses. Subdivision 1. The Community Development Director, or their designee, is authorized to certify whether a proposed Cannabis Business complies with the City’s zoning ordinances and if applicable, with state fire code and building code pursuant to Minnesota Statutes, section 342.13. Subd. 2. Potential licensees are responsible for making all necessary zoning applications prior to the City receiving the request for certification from the OCM. If a potential licensee fails to obtain necessary zoning approvals prior to the City receiving a request for certification, the City will inform the OCM that the potential licensee does not meet zoning and land use laws. If, at the time the City receives a request for zoning certification, there are no further intended alteration to the building where the business is to be conducted, the City will also certify compliance with building and fire code regulations, provided that the potential licensee has obtained inspections prior to the City’s receipt of a request for certification from the OCM. Building and fire code inspections will be valid for 1 year from completion. 1198.07. – Registration of Retailers. Retail Registration Required. Before making retail sales to customers or patients, all Cannabis Retailers and Lower-Potency Hemp Retailers must register with the City. Making retail sales to customers or patients without an active registration is prohibited. 1198.09. – Cannabis Retailer Registration Limits. Subdivision 1. Cap on number of Cannabis Retailer registrations: The City will issue one registration per 12,500 residents in the City. Registrations issued to businesses with a license preapproval will count toward the City’s registration limit. 50 3 RC145\760\981217.v8 Subd. 2. Calculation. The number of registrations available will be calculated by dividing the state demographer’s estimate of the City’s population by 12,500 and rounding up to the nearest whole number. The City will update the number of registrations available based on the most recent data available from the state demographer on January 1 and June 1 each year. If the number of registrations available within the City decreases because the City’s population decreases below a previous threshold, businesses with current registrations will be allowed to maintain and renew their registrations but no new registration will be issued. Subd. 3. Exceptions. The following businesses are not subject to the cap on registration under subdivision 1 above: (a) Businesses operating under a tribal compact entered into under Minnesota Statutes, Section 3.9224 or 3.9228; (b) Tribally issued licenses and registrations; (c) Lower-Potency Hemp Retailer; (d) Medical cannabis combination businesses; and (e) Municipal cannabis store. 1198.11. – Processing Registration. Subdivision 1. First-come, first-served. Applications for registration will be processed on a first-come, first-served basis based on the City receiving a complete application and payment of all fees. Subd. 2. Complete applications. Applications will be considered complete when all materials in subsection 1198.13 are received by the City and include all required information. Subd. 3. Date of pre-licensing certification. The date a pre-licensing certification under subsection 1198.05 is issued will have no impact on the applicant’s registration processing and is not an indication that the cap on registrations has not been met. 1198.13. – Application for Registration. Subdivision 1. Application. All applicants for initial registration or renewal registration must submit a registration application provided by the City. The form may be amended from time to time by the City, but must include or be accompanied by: 51 4 RC145\760\981217.v8 (a) Name of the property owner; (b) Name, address, email address, telephone number, and date of birth of the applicant; (c) Address and parcel ID for the property for which the registration is sought; (d) Certification that the applicant complies with the requirements of this section; (e) The following fees, as established in the City’s fee schedule, at the time of initial application and prior to the City’s consideration of any renewal application: (i) At the time of initial registration: An initial registration fee. The initial registration fee will pay for the costs of registration and the cost of the first year of operation. (ii) The renewal fee for the second year of operation. (iii) At the time of the first annual renewal (prior to the second year of operation), no fee will be due. (iv) At the time of the second annual renewal, and each year thereafter, the renewal fee must be paid prior to the City issuing any renewal registration. (f) A copy of a valid state license or written notice of OCM license preapproval; (g) Acknowledgement that all property taxes and assessments are current at the location where the retail establishment is located. (h) A copy of a current government-issued photo I.D. Subd. 2. Fees nonrefundable. Initial registration fees and renewal registration fees are nonrefundable. 1198.15. – Preliminary Compliance Check. Initial Cannabis Retailer or Lower-Potency Hemp Retailer registration shall not be issued unless, prior to opening for operations following approval of an application for initial registration, the applicant has passed a preliminary compliance check 52 5 RC145\760\981217.v8 conducted by the City to ensure compliance with this section and any other regulations established pursuant to Minnesota Statutes, section 342.13. 1198.17. – Basis for Denial. Subdivision 1. Basis to Deny Registration. The City shall not issue a registration or renewal for any Cannabis Retailer or Lower-Potency Hemp Retailer if any of the following conditions are true: (a) The applicant has not submitted a complete application. (b) The applicant does not comply with the requirements of this section. (c) The applicant does not comply with applicable zoning and land use regulations. (d) The applicant is found to not comply with the requirements of the Act, this section, the building code, or the fire code at the preliminary compliance check. (e) The maximum number of registrations, pursuant to subsection 1198.09, have been issued by the City. (f) The applicant does not have a valid license from the OCM. (g) The applicant is not current on all property taxes and assessments at the location where the retail establishment is located. 1198.19. – Issuance of Registration or Renewal. The City shall issue the registration or renewal if the applicant meets the requirements of this section, including that none of the reasons for denial in subsection 1198.17 are true. 1198.21. – Registration Nontransferable. A registration is not transferable to another person, entity, or location. 1198. 23. – Enforcement. Subdivision 1. Generally. The City Council may impose a fine or suspend a registration under this section on a finding that the registered business has failed to comply with an applicable statute, regulation, or ordinance, including a violation of this section. 53 6 RC145\760\981217.v8 Subd. 2. Notice and Right to Hearing. Prior to imposing a fine or suspending any registration under this section, the City shall provide the registered business with written notice of the alleged violations and inform the registered business of its right to a hearing on the alleged violation. Subd. 3. Delivery of Notice. Notice shall be delivered in person or by regular mail to the address of the registered business and shall inform the registered business of its right to a hearing. The notice will indicate that a written response must be submitted within ten (10) days of receipt of the notice, or the right to a hearing will be waived. Subd. 4. Council Hearing. Provided a timely request for a hearing is submitted by the registered business, the City Council will hold a hearing before taking final action to fine or suspend a registration. The City Council shall give due regard to the frequency and seriousness of the violations, the ease with which such violations could have been cured or avoided and good faith efforts to comply and shall issue a decision to fine or suspend the registration only upon written findings. Subd. 5. Council Action. If a timely request for a hearing is not received, the matter shall be submitted to the City Council for imposition of the fine and/or suspension. Subd. 6. Emergency. If, in the discretion of the City’s Public Safety Director, or their designee, a registered business poses an imminent threat to the health or safety of the public, the City may immediately suspend the registration and provide notice of the right to hold a subsequent hearing as prescribed in this subsection. Subd. 7. Reinstatement. The City may reinstate a registration if it determines that the violations have been resolved. The City shall reinstate the registration if the OCM determines the violations have been resolved. Subd. 8. Report to OCM. All enforcement actions under this section will be reported to the OCM. 1198.25. – Penalties. Subdivision 1. Misdemeanor. Any person who violates this section is guilty of a misdemeanor and, upon conviction, is subject to a fine and imprisonment as prescribed by state law. Each day each violation continues or exists, constitutes a separate offense. Subd. 2. Civil Penalty. The City may impose a civil penalty, as authorized by Minnesota Statutes, section 342.22, of up to $2,000 for each violation of this section. 54 7 RC145\760\981217.v8 Subd. 3. Action Against Business License. Violation of this section shall be grounds for enforcement against any business license issued by the City of Richfield. 1198. 27. – Cannabis Retailer Operating Regulations. Subdivision 1. Compliance Checks. The City shall complete, at a minimum, one compliance check per calendar year of every registered business to assess if the business meets age verification requirements, as required under Minnesota Statutes, section 342.22, subd. 4(b) and this section. Any failures under this section are a basis for enforcement action and must be reported to the OCM. Subd. 2. Hours of Operation. Cannabis businesses are limited to retail sale of cannabis, cannabis flower, cannabis products, lower-potency hemp edibles, or hemp-derived consumer products to between the hours of 10:00 a.m. to 9:00 p.m. Monday through Thursday; 10:00 a.m. to 10:00 p.m. Friday and Saturday; and 10:00 a.m. to 9:00 p.m. on Sunday. Subd. 3. Display of License and Registration. All licenses and registrations must be posted and displayed in plain view of the general public on the premises. 1198.29. – Lower-Potency Hemp Retailer Operating Regulations. Subdivision 1. Compliance Checks. The City shall complete at minimum one compliance check per calendar year of every registered business to assess if the business meets age verification requirements, as required under Minnesota Statutes, section 342.22, subd. 4(b) and this section. Any failures under this section are a basis for enforcement action and must be reported to the OCM. Subd. 2. Display of License and Registration. All licenses and registrations must be posted and displayed in plain view of the general public on the premises. Subd. 3. Hours of Operation. The hours of operation limitations in subsection 1198.27, subd. 2 do not apply to lower-potency hemp retailers. SECTION 2: The following definitions in subsection 1202.01 (Liquor) of the Richfield Code of Ordinances are amended as follows for consistency with zoning regulations: Subd. 3. "Brewer" means a person who manufactures produces malt liquor for sale. 55 8 RC145\760\981217.v8 Subd. 15. "Micro-brewery" means a facility that produces for sale, distribution, and consumption beer, ale, malt liquor, or other beverages made from malt by fermentation and containing not less than one-half of one percent alcohol by volume, and which possesses the appropriate Federal, State, and Municipal licenses and which produces not more than 3,500 barrels of malt liquor in a calendar year. A micro-brewery may must include a taproom or brewpub. Subd. 16. "Micro-distillery" means a facility that produces Ethyl Alcohol, hydrated oxide or ethyl, spirits of wine, rum, brandy, gin, or other distilled spirits, including all dilutions and mixtures thereof, for non-industrial use in total quantity not to exceed 40,000 gallons in a calendar year. A distillery may must include a cocktail room. SECTION 3: This ordinance is effective on January 1, 2025. Adopted by the City Council of the City of Richfield on this ____ day of ________ 2024. Mary B. Supple, Mayor ATTEST: Michelle Friedrich, City Clerk 56 RESOLUTION NO. _____ RESOLUTION APPROVING SUMMARY PUBLICATION OF AN ORDINANCE RELATED TO THE REGISTRATION OF CANNABIS AND HEMP BUSINESSES AND RELATED REGULATIONS WHEREAS, the City has adopted the above-referenced amendment of the Richfield City Code; and WHEREAS, the verbatim text of the amendment 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. ________ A NEW ORDINANCE RELATED TO THE REGISTRATION OF CANNABIS AND HEMP BUSINESSES AND RELATED REGULATIONS This summary of the ordinance is published pursuant to Section 3.12 of the Richfield City Charter. This ordinance creates a new code Section 1198 under Chapter XI of the Richfield Code of Ordinances relating to the registration of cannabis and hemp businesses and other related regulations. Copies of the ordinance are available for public inspection in the City Clerk’s office during normal business hours or upon request by calling the Support Services Manager at 612-861-9881. Adopted by the City Council of the City of Richfield, Minnesota this 26th day of November, 2024. Mary Supple, Mayor ATTEST: Michelle Friedrich, City Clerk 57 AGENDA SECTION: OTHER BUSINESS AGENDA ITEM #7. STAFF REPORT NO. 166 CITY COUNCIL MEETING 11/26/2024 REPORT PREPARED BY:Mark McKinley, Administrative Assistant DEPARTMENT DIRECTOR REVIEW: OTHER DEPARTMENT REVIEW: CITY MANAGER REVIEW: Katie Rodriguez, City Manager 11/20/2024 ITEM FOR COUNCIL CONSIDERATION: Consider the appointments to City advisory board and commissions. EXECUTIVE SUMMARY: Terms of several City advisory board and commission members are set to expire on January 31, 2025. In addition, due to resignations there are mid-term vacancies that should be filled. The terms for advisory board and commissions are three years. Please refer to the attached list of appointments for reference. The City Council directs the City Manager’s office to conduct an annual recruitment seeking applicants to fill the vacancies. This recruitment includes a press release and information on the City’s website and social media platforms. Applicants were interviewed at a special work session held on November 16, 2024. To ensure a quorum at future advisory board and commission meetings, the City Council should make appointments to fill vacant positions. RECOMMENDED ACTION: By motion: Appoint members to fill the expiring or vacant terms on City advisory board and commissions referenced in the attached list. BASIS OF RECOMMENDATION: A.HISTORICAL CONTEXT This information is contained in the Executive Summary. B.EQUITABLE OR STRATEGIC CONSIDERATIONS OR IMPACTS Appointing residents to commissions vacancies will make for more community-representative conversations and decision making. We continue to look for ways to improve the commission application process, and increase the diversity of both applications and appointments. C.POLICIES (resolutions, ordinances, regulations, statutes, exc): City advisory board and commissions were established by City ordinance or resolution. D.CRITICAL TIMING ISSUES: Several terms of City advisory board and commission members will expire on January 31, 2025. To ensure a quorum at future advisory board and commission meetings, the City Council should make appointments to fill future vacancies. E.FINANCIAL IMPACT: 58 None F.LEGAL CONSIDERATION: None ALTERNATIVE RECOMMENDATION(S): None PRINCIPAL PARTIES EXPECTED AT MEETING: ATTACHMENTS: Description Type Commission/Board Appointments 2025 Backup Material 59 Commission/Board Commissioner Term Expires Advisory Board of Health Marcell Johnson January 31, 2026 Mid-term Alternate: Jim Mahoney Rebecca Case January 31, 2028 Rachel Decker January 31, 2028 Arts Commission Crystina Clauson January 31, 2027 Mid-term Alternate: Stephanie Jacobson January 31, 2028 Aric Bieganek January 31, 2028 Civil Service Commission Jeffrey Bruzek January 31, 2028 Community Services Commission David Sperling January 31, 2026 Mid-term Susie Luttenegger January 31, 2027 Mid-term Alternate: Kimberly Land Grace Bronken (McCarthy) January 31, 2028 Tessa Johanson January 31, 2028 Husniyah Bradley January 31, 2028 Human Rights Commission Michael Zazzera January 31, 2028 Alternate: Tyler Birschbach Dana Specht January 31, 2028 Timothy Garvey January 31, 2028 Chris Axelson January 31, 2028 Planning Commission Ben Surma January 31, 2028 Alternate: Kelly Witzel Eddie Holmvig-Johnson January 31, 2028 Sustainability Commission Craig Heinen January 31, 2028 Alternate: Alexa Wozniak Katy Boone January 31, 2028 Christopher Danner January 31, 2028 Transportation Commission Louis Dzierzak January 31, 2028 Alternate: Jacob Olsen Stella Yang January 31, 2028 Brinnon Kubista January 31, 2028 60