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Home My WebLink About04-24-2018 Council Packet CITY OF OAK PARK HEIGHTS TUESDAY, APRIL 24, 2018 CITY COUNCIL MEETING AGENDA 6:00 P.M. AT CITY HALL 6:00 p.m. I. Call to Order/Pledge of Allegiance/Approval of A enda Estimated times 6:05 p.m. II. Council/Staff Reports A. Mayor McComber B. Councilmember Dougherty C. Councilmember Liljegren D. Councilmember Runk E. Councilmember Swenson F. Staff • Recycling Award (pg. 3) 6:05 p.m. III. Visitors/Public Comment This is an opportunity for the public to address the Council with questions or concerns on issues not part of the regular agenda(Please limit comments to 3 minutes in length). 6:10 p.m. IV. Consent Agenda(Roll Call Vote) A. Approve Bills& Investments B. Approve City Council Minutes—April 10, 2018 (pg. 5) C. Approve City Council Worksession Notes—April 10, 2018 (pg. 9) D. Award the Spring 2018 Planting Project to Hoffman& McNamara Nursery and Landscape (pg. 11) E. Approve Proclamation—Municipal Clerks Week(pg. 23) F. Approve Vacation and Re-establishment of Utility Easement(pg.29) G. Appoint Randy Thoreson and Hal Peterson to the City Parks Commission through December 31, 2021 (pg. 35) 6:10 p.m. V. Public Hearings A. TIF 1-3 --Request from Developer Tim Nolde(pg. 41) 6:20 p.m. VI. Old Business None 6:20 p.m. VII. New Business A. TIF 1-3 —Request from Developer Tim Nolde B. City Hall Facility—Door Access and Security (pg. 93) 6:30 p.m. VIII. Other Council Items or Announcements 6:30 p.m. IX. Adiourn Please mute or silence any cell phones, computers or other devices during meeting -Thank You. Page 1 of 114 THIS PAGE INTENTIONALLY LEFT BLANK .'4 Page 2 of 114 s. Oak Park Heights Request for Council Action Meeting Date April 24, 2018 Agenda Item Recycling Award Time Req. 0 Agenda Placement Staff Reports Originating Department/Requestor Adm' ' tration/Jennifer Pinski i Requester's Signature c Action Requested Receive Information Background/Justification(Please indicate any previous action has been taken or if other public bodies have been advised). See Attached. Page 3 of 114 April 12, 2018 Anna Mazzitello 14812 58th Street N #2D Oak Park Heights, MN 55082 Dear Ms. Mazzitello: Thank you for participating in the City's recycling program. As an incentive to recycle and to increase fire prevention awareness, the City rewards two residents each month with their choice of an award of $25.00 or a fire extinguisher and/or smoke detector(s). Your residence was checked on Thursday, April 12, to determine if you had your recycling bin out with your regular garbage. Your recycling was out and ready for collection; therefore, you are one of this month's winners. Please contact me via phone at 651-439-4439 or email at jpinski@cityofoakparkheights.com to let me know your choice of award. On behalf of the Oak Park Heights City Council, thank you for participating in the City's recycling program. Congratulations! Jennifer Pinski City Clerk Page 4 of 114 Oak Park Heights Request for Council Action Meeting Date April 24, 2018 Agenda Item Approve City Council Minutes—April 10, 2018 Time Req. 0 Agenda Placement Consent Originating Department/Requestor Administration/Jennifer Pinski Requester's Signature ` Action Requested Approve Background/Justification(Please indicate any previous action has been taken or if other public bodies have been advised). See Attached. Page 5 of 114 CITY OF OAK PARK HEIGHTS TUESDAY, APRIL 10, 2018 CITY COUNCIL MEETING MINUTES I. Call to Order/Pledge of Allegiance/Approval of Agenda: Mayor McComber called the meeting to order at 6:00 p.m. Present: Councilmembers Dougherty, Liljegren, Runk, and Swenson. Staff present: City Administrator Johnson, Finance Director Caruso, City Attorney Vierling, City Engineer Mann, and City Planner Richards. Absent: None. Councilmember Swenson, seconded by Councilmember Liljegren, moved to approve the Agenda. Carried 5-0. II. Council/Staff Reports: A. Mayor McComber• She reported she attended a Stillwater School District focus group meeting and a Coalition of Utility Cities conference call the previous week; there was a Toast and Topics meeting set for April 11, a meeting with Xcel Energy on April 12, and a Minnesota Women in City Government luncheon on April 13. She also reported there was a Brown's Creek Watershed District citizen representative opening, and the Spring Clean-up was set for Saturday, May 5. B. Councilmember Dougherty: He reported the next Planning Commission meeting was set for April 12, and the Comprehensive Plan Open House was scheduled for 5 p.m. on April 12. C. Councilmember Lilje en: He reported the next Parks Commission meeting was set for April 16 at 6 p.m. D. Councilmember Runk: He reported he would be attending the CVB meeting on April 11 and the Middle St. Croix Watershed Management Organization meeting on April 12. He also said he would be at the Community Showcase on April 14. E. Councilmember Swenson: He reported the next meeting of the Cable Commission was set for April 16. F. Staff: None III. Visitors/Public Comment: A. Proclamation of Achievement—Ryan Balfanz: Councilmember Runk, seconded by Councilmember Liljegren, moved to adopt the Proclamation. Carried 5-0. Page 6 of 114 City Council Meeting Minutes April 10, 2018 Page 2 of 3 B. 2017—City Annual Financial Statement—Review by Auditor Dave Mol: Mol provided a presentation. He reported a clean opinion on financial statements,no issues of internal controls, and no items of noncompliance. C. Update from Superintendent of Stillwater Area Public Schools Ms Denise Pontrelli: Pontrelli provided a presentation with an update on good things happening in the schools. IV. Consent Agenda: A. Approve Bills & Investments B. Approve City Council Minutes—March 27, 2018 C. Authorize Contract with St. Croix Sweeping for 2018 Street Sweeping Councilmember Runk, seconded by Councilmember Dougherty,moved to approve the Consent Agenda. Roll call vote taken. Carried 5-0. V. Public Hearings: A. Consider Issuance of an Off-Sale Intoxicating Liquor License and Tobacco Sales License for Northern Tier Retail LLC DBA Su erS irits #4549: Mayor McComber opened the Public Hearing. No comments were made. Councilmember Runk, seconded by Councilmember Liljegren, moved to close the Public Hearing. Carried 5-0. Councilmember Swenson, seconded by Councilmember Dougherty, moved to approve the liquor license. Carried 5-0. Councilmember Runk, seconded by Councilmember Liljegren, moved to approve the tobacco sales license. Carried 5-0. VI. Old Business: None VII. New Business: A. Consider Holding a Joint Worksession with the City Council of Bayport and Stillwater: Mayor McComber stated she spoke with the mayors of Bayport and Stillwater and their councils were amenable to a meeting. Councilmember Runk stated he would like to know what would be on the agenda. McComber responded that it would be a casual meeting with general discussion. Councilmember Dougherty stated the meeting needed structure. Councilmember Swenson suggested the mayors meet to create an agenda. Mayor McComber said she would meet with the mayors and come back to the City Council with possible dates. No action was taken. Page 7 of 114 City Council Meeting Minutes April 10, 2018 Page 3 of 3 B. Consider Amendment to City Ordinances Relating to Fencing: City Planner Richards reported that the Planning Commission reviewed the fencing ordinance and made recommendations. Councilmember Swenson, seconded by Councilmember Liljegren,moved to approve the amendment. Roll call vote taken. Carried 5-0. VIII. Other Council Items or Announcements: None IX. Adiourn: Councilmember Swenson, seconded by Councilmember Liljegren, moved to adjourn at 6:38 p.m. Carried 5-0. Respectfully submitted, Approved as to Content and Form, Jennifer Pinski Mary McComber City Clerk Mayor Page 8 of 114 P_ I Oak Park Heights Request for Council Action Meeting Date April 24, 2018 Agenda Item Approve City Council Worksession Notes—April 10, 2018 Time Req. 0 Agenda Placement Consent Originating Department/Requestor 4.d ' istration/Jennifer Pinski Requester's Signature Action Requested Approve Background/Justification(Please indicate any previous action has been taken or if other public bodies have been advised). See Attached. Page 9 of 114 h ^IIIA. � CITY OF OAK PARK HEIGHTS CITY COUNCIL WORKSESSION NOTES TUESDAY,APRIL 10,2018 Present: Mayor McComber, Councilmembers Dougherty, Liljegren, Runk, and Swenson; City Administrator Johnson; City Attorney Vierling; Finance Director Caruso; City Planner Richards; City Engineer Mann; and City Clerk Pinski. Also present: Dave Mol. 1. Call to Order: Mayor McComber called the meeting to order at 5:00 p.m. 2. 2017 Audit Report—Mr.Dave Mol: Mol provided a presentation on the results of the audit. No action was taken. 3. Accessory Structures—Temporary: Councilmember Swenson suggested allowing accessory structures long-term by Conditional Use Permit since there were some properties where it would work well. City Planner Richards stated an Interim Use Permit would be better because the Council could put a time limit on it. Attorney Vierling stated they could put in a condition for an annual review. Richards stated he could run it through the Planning Commission in May. Swenson suggested the fee be reasonable,and City Administrator Johnson said it would likely be $100.00. No action was taken. 4. 2018 Goals: City Administrator Johnson reviewed a spreadsheet with the 2018 goals. He stated that Adam Josephson was going to draft a Memorandum of Understanding for Lookout Trail. He also said that the City would have to pass a Resolution for the monument sign if they wanted to move forward with that. He provided the Council with a sample Resolution and a quote for the sign. Councilmember Runk suggested waiting until the snow melted so the Council could visit the proposed site for the sign. Johnson stated that MNDOT was generally amenable to the concept. No action was taken. 5. Just Transition Fund—Possible Update from Mayor McComber: Mayor McComber reported she spoke with Cindy Winland from the Just Transition Fund who would be looking into options. McComber stated she would let the City Council know when Winland gets back to her. No action was taken. 6. Adjourn: The meeting was adjourned at 5:40 p.m. Page 10 of 114 r' Oak Park Heights Request for Council Action Meeting Date: Tuesday April 24th 2018 Agenda Item: Spring 2018 Planting Time Req. 1 Minute Agenda Placement: Consent Originating Department/Re uestor: Public Works, Andy Kegley Public Works Director Lisa Danielson, Arborist Requester's Signature Action Requested: w rd the rin 2018 Plantin Proiect to Hoffman & McNamara Nurse and Landsca Please See Attached Memo. Page 11 of 114 u City of Oak Park Heights 14168 Oak Park Blvd N.•Box 2007.Oak Park Heights,MN 55082•Phone(651)439-4439•Fax 439-0574 Memorandum To: Andy Kegley, Public Works Director Cc: Eric Johnson, City Administrator, Mayor and Council From: Lisa Danielson,Arborist (Pr Date: 04/19/2018 Re: Spring 2018 Planting Attached is a copy of a quote submitted by a tree planting company for the City of Oak Park Heights Spring 2018 Planting. The trees included on the Spring 2018 Planting List include replacement of two (2) boulevard trees located on City boulevard right-of-ways along residential streets and five (5) trees to be planted at Autumn Hills Park. Trees included are replacements from the 2017 City boulevard tree removal list that were removed due to death or nuisance in which pruning could not correct and the others are to replace five (5) ash trees to be removed at Autumn Hills Park this year. A quote request was sent out to a tree planting company that has done work for the City in the past. The quote submitted was complete and provided by the deadline from Hoffman & McNamara Nursery and Landscape for $4,613.00. The project will be funded from the City's budgeted projects tree replacement fund. Hoffman & McNamara Nursery and Landscape has submitted a complete quote and has done exceptional work for the City in the past, therefore I'll make the recommendation that they be awarded the project. TREE CITY U.S.A. Page 12 of 114 Submitted Quote Totals and Information Certified Company On Time Itemized Provided Supervisor ISA Equipment OPH Tree Quote and List References contact and/or List License $ complete Provided MNLA 2018 Hoffman & Will be McNamara submitted Nursery Y Y Y Y Y Y if 4,613 and awarded $ Landscape the project Attachments: • Spring 2018 Planting Quote Request Packet(4/9/2018) • Submitted Quote -Hoffman&McNamara Nursery and Landscape(Submitted Quote 04/18/2018) 2 TREE CITY U.S.A. Page 13 of 114 City of Oak Park Heights 14168 Oak Park Blvd N. • Box 2007•Oak Park Heights,MN 55082• Phone(651)439-4439• Fax 439-0574 Quote Request 4/9/2018 Spring 2018 Planting List Included in this packet is important information and details for preparing and submitting a quote for the City of Oak Park Heights Spring 2018 Planting List Instructions to Tree Contractors General Description of the Work Please prepare completed itemized quotes for the following work numbers(1-7).The work to be performed consists of tree planting, initial watering, mulching and a one (1)-year guarantee after planting of all trees included in this quote request. Any notes or other important comments are also listed. Technical Specifications All trees are to be landscapeug ality of good form with straight trunks.Trees should be 2.5 in.caliper container stock, unless a different stock is approved by the City Arborist. Each tree shall be measured according to the American Standard of Nursery Stock(ANSI Z60)standards.No undersize trees or trees of poor form will be accepted.All trees must be planted plumb and be able to stand straight after planting or the City will require that the tree(s) be replaced.Trees included in this quote request are along City boulevard right-of-ways and Autumn Hills Park.(Please see included itemized list for addresses and additional comments regarding the trees to be planted). Information Concerning Working Conditions Contractors must inform themselves of the conditions under which the work is to be performed concerning the site of the work,the obstacles which may be encountered,and all other relevant matters.*Underground utility locating is the responsibility of the contractor.*Once the contract is awarded,the contractor will not be allowed any extra compensation by reason of any matter or thing concerning which the bidders may have informed themselves of prior to the bidding. Quote Submission Requirements Please prepare a completed itemized quote using the spreadsheet provided for work numbers(1-7).Itemized quotes must include the cost of the tree, planting, initial watering, mulching and a one (1)-year guarantee after planting. Contractors also must submit the following items with the itemized quote spreadsheet: A current copy of the contractor's Certificate of Liability Insurance Coverage with the City of Oak Park Heights named as an additional insurer for $1,000,000, current proof of Worker's Compensation Insurance, and the completed page from this packet titled"Contractor Qualifications 2018." (Please see attached itemized list for tree species,sizes and specifics for each tree). Page 14 of 114 The contractor's quote for the planting can be submitted in person at the City of Oak Park Heights City Hall,sent electronically via email:(Idanielson@cityofoakparkheights.com),mailed:City of Oak Park Heights Attn:Lisa Danielson 14168 Oak Park Blvd N.PO.Box 2007,Oak Park Heights,MN 55082-2007 or faxed(651)-439-0574.The deadline for submission of all completed requested items in this packet is NOON on Wednesday,April 18th 2018 (for consideration at the City of Oak Park Heights City Council Meeting on Tuesday,April 241h 2018). Basis of Contract Award The City reserves the right to accept or reject any quote.The award of the planting contract is based in part on the lowest quote;however,the City reserves the right to factor past work,references and available equipment into their decision regarding the work award.The awarded contractor will be contacted by phone within a timely manner by the City Arborist after the date of the City Council meeting in which the quote was considered at. Licensing:Tree services working in the City of Oak Park Heights must have a current Tree Worker's License. This license may be obtained from City staff at City Hall upon presentation of proof of current Liability Insurance Coverage,proof of current Worker's Compensation Insurance,and payment of the license fee.A current City of Oak Park Heights Tree Worker's License is required before any contract work is done for the City. Project Completion Date The City of Oak Park Heights Spring 2018 Planting is to be completed no later than Friday,June 1st 2018. Subcontractors The planting contract is between the City and the contractor which has submitted the successful quote. The contractor must not execute an agreement with any subcontractor to perform any portion of the work unless the contractor has received written approval for such subcontractor from the City of Oak Park Heights. Payment for Work Performed Payment of the Spring 2018 Planting contract will be made on the basis of the quoted unit prices for the work performed. The tree contractor will be paid for the work performed after completion of work, submission of an itemized invoice to the City of Oak Park Heights, and inspection of completed work by the City Arborist. If it is determined upon inspection that the required work has not been fully completed, the contractor will be notified and will be paid only upon satisfactory completion of all work. Access The contractor may utilize City streets for the operation, provided that traffic access is available and proper traffic control signage/measures are in place. City of Oak Park Heights, Public Works Director,Andy Kegley,(651)-439- 4439, must approve all street closures(partial or entire)if closure is necessary. QUESTIONS? Contact: Lisa Danielson, City of Oak Park Heights, City Arborist, (651)-439-4439, or via email Idanielson@cityofoakparkheights.com Page 2 of 4 Page 15 of 114 Contractor Qualifications 2018 1. List of References/Similar Projects Company or City Contact Name Phone Number Last Work Date 2. Name of person who will supervise this work and the number of years of experience Is this supervisor an ISA Certified Arborist? MNLA Certified? Certificate Number: Expiration: 3. List equipment available for this contract. List type,size(i.e. 2 ton truck) 4. Does your company have a current (2018) City of OPH Tree Worker's License? (Required before starting work) Page 3 of 4 Page 16 of 114 it City of Oak Park Heights Spring 2018 Planting List Additional instructions,if any,in Comments section. Comments WORK LOCATION SPECIES "All trees will be planted on the City ITEM (Address or Park) Boulevard Right of Way at the # addresses listed, UNLESS NOTED. Exact planting locations will be flagged for awarded contractor" 1 Autumn Hills Park Princeton Elm 2 Autumn Hills Park Princeton Elm 3 Autumn Hills Park Kentucky coffeetree 'Espresso' 4 Autumn Hills Park Kentucky coffeetree 'Espresso' 5 Autumn Hills Park Kentucky coffeetree 'Espresso' 6 14421 Upper 56' Princeton Elm Street N 7 1470155th Street N Japanese tree lilac'Ivory Silk' Order Totals Item Plant Name Size Quantity No. Type of Planting Stock 1 Princeton Elm 2.5 in. container 3 2 Kentucky coffeetree 2.5 in. container 3 'Espresso' 3 Japanese tree lilac 1.5-2.0 in. container 1 'Ivory Silk' (preferably 2.0 in) TOTAL 7 Page 4 of 4 Page 17 of 114 0 0 m 0 ui O J2 crc q J ,J Q f 0 H f0 �L V C � Y a � 0 O N d Q. HA d N V1 C t0 a a� E z C 0 E 0 U o�J C .J d N Q H C eo a c 0 o IL 0 t t �; ` �-+ N M cF of L y s, 0 c , ac V V Q a Page 18 of 114 Lisa Danielson From: Lisa Danielson Sent: Monday,April 09,2018 10:20 AM To: 'Pete Hoffman' Subject: Quote Request for the City of Oak Park Heights Spring 2018 Planting Attachments: Spring 2018 Quote Request Packet 2018-04-09.pdf, Planting Quote Form.xlsx,Tree Worker Contractor License Application.pdf, License for Commercial Lawn Fertilizer Application.pdf Hi Pete, Attached is the information for the City of Oak Park Heights Spring 2018 Boulevard and Park Tree Planting.Attached items include the quote request packet,an itemized quote spreadsheet form,City of OPH Tree Workers License Application and City of OPH License for Commercial Lawn Fertilizer Application. Please provide a completed itemized quote for work numbers(1-7).Please return all completed information to me by Wednesday April 18th 2018 at NOON.Quotes may be delivered, mailed,faxed(651)-439- 0574,or sent electronically(Idanielson(@cityofoaknarkheiehts.com).If you have any other questions feel free to contact me. Thank You, Lisa Danielson City of Oak Park Heights,Arborist (651)-775-6177 1 Page 19 of 114 Lisa Danielson From: Lisa McDowell <lisa.mcdowell@hoffmanandmcnamara.com> Sent: Wednesday,April 18, 201810:40 AM To: Lisa Danielson Cc: Pete Hoffman; Mike McNamara Subject: 2018 Spring Tree Planting Quote Attachments: 20180418105259272.pdf Lisa Attached is our pricing for the Spring Trees. Let me know if you have any questions. As always,thanks for the opportunity! Lisa McDowell Estimator Hoffman&McNamara Nursery and Landscape 9045 1801h Street East Hastings, MN 55033 PH: 651-437-9463 1 FAX: 651-437-9050 www.HoffmanandMcNamara.com Second Generation Landscape Contractors Measuring up to the best for over 40 years. &t Please consider the environment and print only if necessary Page 20 of 114 *` Contractor Qualifications 2018 1.List of References/Similar Projects Company or City Contact Name Phone Number Last Work Date 13twMyillit., lave laromwsch q52-8qG-4509 2011 ocwky Jeff F(gberwn 50-7- 281 - bl(oy 2017 Lu war, DAY, Tru"M (009- -791-'75g.3 201 VVODdhuv bj5b wayd (151 - 71 Y-3-720 Zo 17 2. Name of person who will supervise this work and the number of years of experience Pet-c Hoff~ Is this supervisor an ISA Certified Arborist? `le d MNLA Certified? `1�S Certificate Number: MN -4355 A Expiration: 6-30- 11 3. List equipment available for this contract. List type,size(i.e.2 ton truck) Gas& '59 0 L lmd-o f batKhor- Iv�I�VV1a�10Viet l g (-/M(, 61061t A-5-1e, J"Cle— (a) i 4. Does your company have a current (2018) City of OPH Tree Worker's License? ecu (Required before starting work) *Vvt11 aLp? � OvIte amw4rd ovoYK, Page 3 of 4 Page 21 of 114 0 0 1 0 0 0 0 0 0 0°10 Ln CY) 0010 00i0 M rn rn 0 to to to to to t`rn. t 0 0 0 0 $ 0 $ F ` a o o Ln vi Ln cd 0 O rn rn rn 01 M 0) d -Ln -v t`v t`n vNi t`n Of a 0 _ o 0 C 0 0 0 0 rn rn M o v o 0 Ict t4 In to)- V c m ar tko m Y a � O V1 Fat), T,. G 6) f- L L y C O C C L C H C C C L 41 +m+ am' C C C V O U V V U V _N N C +8 O C C C C C C C N CL Ln Ln u1 un Ln Ln Vn M N N N N N N eI M O L d Ln E Z Z C AS. J vi 00 E E Y ]C N G W W W 3 3 L H E C C C C C C ~ m U O O O N N 0) H O = N y O Y Y Y N +� co_ C C O O O O tA CL E ° a a Cm m m w m m mw w c LUY G C N l0 0 _U U_ U N h In �+ cu Z j5 O1 m N m m N > 0�0 m C m m m 0 4 � 0 4, m In E O O O m 0 ;_ to Y 0 eft a E c E E E ` E t i _ rn U > > > C7 U 0 U C9 U cn C VO► E 0 a o N M Rr In to N v vt O c c "a 0 3 u a Q d Page 22 of 114 Oak Park Heights Request for Council Action Meeting Date April 10th,2018 Time Required: 1 Minutes Agenda Item Title: Proclamation—Municipal Clerks Week Agenda Placement Consent Agenda Originating Depar ment/Requestor: Mavor Mary McComber Requester's Signature Action Requested A rove Proclamation Background/Justification(Please indicate if any previous action has been taken or if other public bodies have advised): Read and Approve Proclamation for Municipal Clerks Week Page 23 of 114 Proclamation NunicipaCCCerks-Week May 6 -12, 2018 Whereas, the Office of the NunicipaCClerk, a time honoredandvitaCpart of CocaCgovernment exists throughout the worCcl; and Whereas, The Office of the AlunicipaCCCerk is the oCdest among public servants, and Whereas, The Office of the -VunicipaCClerk provides the professionaClink between the citizens, the CocaCgoverning bodies and agencies of government at other levels, and Whereas, NunicipaCClerks have pCedged to be ever mindfuCof their neutraCity and impartiaCity, rendering equaCservice to all: Whereas, The -MunicipaCClerk serves as the information center on functions of Cocalgovernment and community. Whereas, NunicipalCCerks continually strive to improve the administration of the affairs of the Office of the Nunic paCCCerk through participation in educationprograms, seminars, workshops andthe annuaCmeetings of their state,provincial; county and internationalprofessionaCorganizations. Whereas, it is most appropriate that we recognize the accompCuhments of the Office of the -Municipal Clerk. .Now, ?herefore, I, -Mary J1cComber, JWayor of the City of Oak Park Heights, do recognize the week of-Way 6 through Nay 12, 2018, as NunicipaCClerks Week, andfurther extendappreciation to our-MunicipaCCCerk,,jennifer Pinski and to aa-NunicipaCCCerks for the vitalservices they perform and their exempCary dedication to the communities they represent. Dated this 20 day of.April 2018 ----------- Mayor Attest.-------------_�_________ Page 24 of 114 Eric Johnson From: Mary Mccomber <marymccomber@aol.com> Sent: Tuesday, March 13, 2018 10:14 AM To: Eric Johnson Subject: Fwd: Municipal Clerks Week- May 6-12, 2018 - Make it a Special Week Eric, Can you put the proclamation (link below)on the agenda for the end of April. Thanks, Mary --Original Message--- From: International Institute of Municipal Clerks<janis@iimc.com> To: marymccomber<marymccomber@aol.com> Sent: Tue, Mar 13, 2018 9:48 am Subject: Municipal Clerks Week-May 6-12, 2018- Make it a Special Week A Maw -VVS rDAT-E2 IIMC NE U yxl I 49th Annual Municipal Clerks Week Honorable Mayor, President, City Manager, General Manager Board Chair and Council Members: Page 25 of 114 The International Institute of Municipal Clerks, a professional, nonprofit association that promotes continuing education and certification of Municipal Clerks for the betterment of the Clerk's profession and the municipalities they serve, has designated May 6 through May 12, 2018 as Municipal Clerks Week. Initiated in 1969 with Proclamations in 1984 and 1996 by Presidents Ronald Reagan and Bill Clinton, respectively and sponsored by IIMC, Municipal Clerks Week recognizes the vital role of the Municipal Clerks in local government, as well as their contributions in serving their communities and educating the public on the significance of their roles. Our Members come with many titles, depending on their municipality, such as City Clerk, County Clerk, District Clerk, City Secretary, Clerk/Treasurer, Chief Administrative Officer, Finance Director, City Auditor, City Recorder, Town Clerk, Borough Clerk and Village Clerk. Your Municipal Clerk and Deputy Clerk work hard every single day with the public and the Legislative Government Body. What better time than now for you to thank them by honoring the professionalism and devotion they apply to their work and the constituents of your municipality! z Page 26 of 114 Whether you are a Mayor, City Manager, Town Administrator, Council Member or the Human Resource Manager, it is important for you to recognize your Municipal Clerk and Deputy Clerk during the 49th Annual Municipal Clerks Week. Municipal Clerks Week is an excellent opportunity for you to showcase your Municipal Clerk and Deputy Clerk to your community. We have provided all of the necessary paperwork from our website at this link, such as an IIMC Press Release promoting Municipal Clerks Week, four versions of the Municipal Clerk Week posters, an IIMC Radio Release promoting Municipal Clerk Week, an IIMC Proclamation for you to complete and award to your Municipal Clerk, a Proclamation and an IIMC Fact Sheet. Create a plan to make it a special time for your Municipal Clerk during "Municipal Clerks Week" and we thank you for your participation! 3 Page 27 of 114 If you have any questions, please don't hesitate to contact me at ianis@iimc.com or call me at (909) 944-4162. Respectfully, Janis Daudt Director of Member Services International Institute of Municipal Clerks, 8331 Utica Avenue #200, Rancho Cucamonga, CA 91730 SafeUnsubscribeTM marymccomber@aol.com Forward this email I Update Profile I About our service provider Sent by janis@iimc.com in collaboration with Gwkw aw► ',O Try it free today 4 Page 28 of 114 Oak Park Heights Request for Council Action Meeting Date Apri124".2018 Time Required: 1 Minute Agenda Item Title: Approve Vacation and re-establishment of Utility Easement Agenda Placement Consent Agenda Originating Department/Reques E ' son Cily Administrator Requester's Signature Action Requested: rove solution Vacating Storm Water Utifily Easement—Oak Park Senior Lin Background/Justification(Please indicate if any previous action has been taken or if other public bodies have advised): Please see the attached memo and resolution. Page 29 of 114 c< City of Oak Park Heights 14168 Oak Park Blvd. N•Box 2007.Oak Park Heights,MN 55082•Phone(651)439-4439•Fax(651)439-0574 413118 MEMO TO: City Council Members FROM: Eric Johnson, City Ad r RE: Vacate and Establish Storm S wer Easement OAK PARK SENIOR LIVING Over several years, the City has worked with the eveloper of the Oak Park Senior Living development to adjust to changing development market conditions.These changes included altering the development scenarios from to single family-town homes to a multi-family senior complex as well as relocations of entire structures. This has resulted in some re-alignment of storm-water utilities. The City owned STORM WATER lines—shown in GREEN LINES(below)that must remain in place and operational including an easement area of 30'that allows the City access to such pipes.Yet,with the above changes the City has had to adjust the location of a STORM SEWER lines to ensure the lines remain in a location that is serviceable and accessible. At this time, these dedicated lands are in need of adjustment as the Phase IV development has encroached into this STORM WATER easement as shown below in MAP 1. The City and Developer require that the Developer provide a new easement around the re-aligned STORM WATER pipe as shown in MAP 2 as the pipe should not run on private property or unduly impact a constructed facility. The Planning Commission did hold a public hearing on this F1 y, matter as such easements were provided to the public on an `.� earlier plat and did find the proposed amendments acceptable. To move forward however, the City Council must also adopt a - resolution (Enclosed)vacating the current easement in favor of creating the new easement as shown. Staff recommends that the easement be vacated as shown in Map 1 and re-established in Map 2 as it removes provides the City clear site access — but conditioned upon the Developer providing a "waiver of impact" should the City be required to access this site as the pipe is closer to the structure that is generally permitted. Page 30 of 114 VACATE UTILITY EASEMENT tLANMFi G-A�' UMM LEGAL DESCRIPT ION SKETCH 'AIMUMM="MM 320 ��k�„� MOM kk.lHmr�s LR20L�tlD64CelP7iON.•d � s� j .la' SAX I p i y x dmawrilw�� 7/, 17Y Nt 3L76.S Trnmar...c.i:..ux a.•,..f/�cTj g I I rN.kmaseFa.w..lxrrr.r u I L---------- 4 .nuc awav::aix.i.ir it lwgrw M wtdalSl.Ntsdi x.11..d FpyN.tlp.c.q. L� 1 3af� .s NG1 . PA OA4L•ild' f i Y Ewa szw`Eaq $Am#Am w d/JB/H tw'7347 & t:Yrf y"ppL-+ �waF..x.«v�asr[vr.wr ` �"Y�Y 1wr:"P;v:4W0'T.l:ARvL NEW UTILITYEASEMENT �rw QW 19� LEGAL DESCRIMON SKETCH ® ; LEY)AL OSE$YRlPIR)�: n.,.,{il.crkn,".xx+ax s a's xvara.auviiw.Yawar �•,., j � 1� .ew.lwi.r{m.lwrdt. S I t ,Y.. w rX,,,,�CI' g �.�d qM¢..?M wlrR.s'.wlnw ':. ', slfN• Z , I� llwwi.w4MeaVel..41p. YIY t._' .r--- �..........i...............1.+'.—.•.-- j dnax aau Nn.MrnK..i�F �—'.• __•;.. ;IV, ' ,v er rvi�wi u3cr gkFN..M7YW.: Yq ' n1n.T.srhxAaNm{wT l MC�L..�T.Zfw.Tc�nieiniwr�e �•.:••'-a � .e..r�.r.1 rw"awFr4wiwsaiw..FaT -- ..rrrxra.w,dw�w. r: rmawwwrwaF Lor 1 ��/: ; 3 nsil.FTfllaa�{!•dd1 /Y" GaYs.{.t7 W.Y + w xw.u.r.:.l.iew aC b�d.h.vsC.dMa � .nr.d•'a9rw..e S O J`-I VmOr {. PA OAK ..�3 . .AMkl,.emu Page 31 of 114 RESOLUTION No. CITY OF OAK PARK HEIGHTS A RESOLUTION VACATING CERTAIN CITY UTILITY EASEMENT AND CREATION OF REPLACEMENT EASEMENTS AT THE OAK PARK SENIOR LIVING DEVELOPMENT. Whereas the City, Developer Tim Nolde and/or Green Twig Villas LLLP the "Owner" of lands hereby further identified by County PIN# 0502920110148 and generally known as Oak Park Senior Living have agreements outlining the location and maintenance of both public and private utilities;and, Whereas the Developer and Owner have sought amendments to the site and utility plans to accommodate site alterations and which were duly approved by the City for certain phases of development;and, Whereas a public storm water line conflict has been identified adjacent(east)to the multi-dwelling building located at 13865 Upper 58" Street with such public storm water easement overlapping and encroaching into such facility; and, Whereas the City, Developer and Owner understood that such easement would require re-alignment with the construction of such building and that also required the alteration of the physical location of such storm water line; and, Whereas the Developer and Owner have now duly petitioned the City to vacate such storm water easement and do desire to provide responsible alternative to ensure adequate access to the City for its maintenance and continued operation of such storm water line so located in such easement;and, Whereas the Exhibit A to this Resolution demonstrate the location of the easement to be vacated and the proposed easement to be established; and, Whereas the Planning Commission did hold a public hearing on the proposed vacation on April 121, 2018 and found in favor of such vacation and re-establishment. NOW THEREFORE be it resolved that the City Council for the City of Oak Park Heights does approve the following: 1. That upon the re-establishment and conveyance to the City of a new easement approved by the city engineer for the City's storm water systems the City vacates the easement below described being; That part of the 30-foot-wide Drainage and Utility Easement that was created by OAKGREEN VILLAGE,according to the plat thereof on file and of record in the office of the Registrar of Titles, Washington County,Minnesota. The Drainage and Uttlity Easement runs in a generally north and south direction over Outlot D,between Blocks 14 and 15,Blocks 11 and 12,Blocks 8 and 9,and Blocks 5 and 6. The portion of the Drainage and Utility Easement to be vacated is the portion that lies within the newly platted Lot 1,Block 3,OAK PARK SENIOR LIVING,according to the plat thereof on file and of record in the office of the Registrar of Titles, Washington County. 2. That prior to any vacation of the above described easement, the Owner and Developer shall provide a waiver of impact that indemnifies, holds-harmless and waives any and all damage or repair claims to the City that may result from the existence of such easement and location of such storm water line and/or any City maintenance or replacement work. Upon the satisfactory completion of these two provisions the utility easement vacation is approved and the City Administrator is authorized to issue and record a Notice of Completion of Vacation Proceedings as provided by Minnesota Statutes 412.851. Approved by the City Council this 241 day of April,2018 Mayor Mary McComber Attest:Eric Johnson,City Administrator Page 32 of 114 Exhibit A to City Resolution UTILITY EASEMENT SKETCH SSMS N w w FAM 14 ° f.�+., ;Z Neve AUAW' \\ VACA7d Ei4ow 67 x ; sofas �'x'r I rnw I' tisn y1+ N 9'I JY)*WI 32365 ."J.9�0Y sezas�z � rrt�T !.1 oil Lor 114 seNjOR ` ourLor c 0AK PARLA Ll t%f�/f�� /" /..:K.'.Wl.C+D L'fJdGC F,..� /Fo /`w ,? f afCN•10� 1 -3 IAAAW 4n(*-sits&:AMIT ' SKe7CN ORAMN trot/1Q •� ;� fez.rtur cf cZr. ees:•crime,' Folz Freeman Surveying LLC LAND PLANNING and SURVEYING 12445 55TH STREET NORTH IARERMOM ►IQINMM 550}2 II (651)43MM wr J1%M MFA= Vacate Utility Easement—Legal Description That pat of the 30-foot aide Drainage and Utility Easement that um created by OAKGREEN VILLAGE, according to the plat thereof on file and of mad in the office of the Registrar of Titles,Washington County, Minnesota. The Drainage and Utility Easement runs m a generally north and south direction ores Outlot D,betaem Blocks 14 and 15,Blocks I l and 12,Blocks 8 and 9,and Blocks 5 and 6. The potion of the Dreimge and Utility Easement to be vacated is the portion that lies within*a newly platted Lot 1,Block 3,OAK PARK SENIOR LIVING,according to the plat thereof on file and of accord in the office of the Registrar of Titles,Washington Conoty. New Utility Easement—Legal Daufiption That pat of Ontlot C and Lot 1,Block 3,OAK PARK SENIOR LIVING,according to the plat thereof on file and of record in the offm of the Registrar of Titles,Washintan County,Minnesota described as follows: Commencing at the northeast comer of said Lot 1,Block 3;thence Nath 89 degrees 14 minutes 53 seconds West, baring:wed to said plat of OAK PARK SENIOR LIVING,along the with line of said Lot 1,a distance of 69.64 feet to the lewd point of beginning of the parcel to be dosedbed;thence continuing North 89 degrees 14 minutes 53 seconds West,along said north line,a distance of 111.89 feet;thence South 00 degrees 19 minutes 10 seconds West,a distance of 12.23 feet thence Smyth 89 degrees 19 mimhtes 24 seconds East,a distance of 81.67 feet;thence South 00 degrees 15 minutes 39 seconds West,a distance of 84.27 feet to the south line of said Lot 1, Block 3;thence Boum 89 degrees 28 minutes 57 seconds Eos#,along said south line,a distance of 12.09 feet to the westerly most corner of said Oudot C;thence South 10 degrees 47 minutes 08 seconds East,along the westerly line of said Outot C,a distance of 14.23 feet to the southwest corer of said Oudd C.thence Sonet 89 degrees 28 mimrtes 57 seconds East along the south line of said Oudot C.a distance of 15.42&et than North 00 degcers 15 minutes 39 seconds But a distance of 110.23 feet to the point of beginning. Page 33 of 114 THIS PAGE INTENTIONALLY LEFT BLANK '�'; Vis. f• ,_.F Page 34 of 114 Oak Park Heights Request for Council Action Meeting Date April 24t',2018 Time Required: 1 Minute Agenda Item Title: A ointments to Parks ission Agenda Placement Consent Agena-V Originating Department/Reque r c J son Ci Administrator Requester's Signature Xrz-/ Action Requested: Appoint Z04ZThoreson and Hal Peterson to the Cijy Parks Commission through 12'/34/21 Background/Justificationease indicate if any previous action has been taken or if other public bodies have advised): On April 16th,2018 the City Parks Commission interviewed two persons to fill two vacancies on the City Park Commission. The Commission does recommend both persons—Mr.Randy Thoreson of 14436 Upper 561 Street and Mr. Hal Peterson of 6332 Paris Ave. to serve on the Commission through December 3151,2021 Please see the attached updated member list with terms as known. Page 35 of 114 0 CITY OF OAK PARK HEIGHTS PARKS COMMISSION Term* Chair: Anthony Weyer 2018-2021 5499 Oakgreen Place North Oak Park Heiqhts, MN 55082 Vice-Chair: Judith Chirhart 2016-2019 14933 57th Street North Oak Park Heiahts. MN 55082 Commissioners: Aaron Bye 2016-2019 15269 Upper 61st Street North Oak Park Heights, MN 55082 *Terms run from January to December and are 3-year appointments City Staff/Representatives: Oak Park Heights City Hall Phone: 651-439-4439 P.O. Box 2007 Fax: 651-439-0574 Page 36 of 114 y, CITY OF OAK PARK HEIGHTS PARKS COMMISSIONER APPLICATION Ch,NAME � � ,t��,' � n r ci, -� �:.� ► � � i�- f DATI� b To provide the City Council with an understanding of you, your background and Your interests, please answer the following questions. { sheet if necessary:) You may attach an extra ADDRESS V q PHONE - E-MAIL HOW LONG HAVE YOU LIVED IN OAK PARK HEIGHTS? OCCUPATION. -1 EMPLOYER: i Ci 1Gi �. PHONE: l ' PRIOR EXPERIENCE ON CITY COMMISSIONS, CITY BOARDS, ETC. 1-4 r• `t, rLAI Cl u ` E f��`i" t el 1`i+ � 4"Rae 37 of 114 i - �• PLEASE PROVIDE A SUMMARY OF WHY YOU WOULD LIKE TO BE APPOINTED TO THE OAK PARK HEIGHTS PARKS COMMISSION, � .r"'�j 1•;�sr?'��f'Y j� � [ 7 Cc1!�t' C? f +t+l� R ^�C �. A :ay s6• n? 1 V, jAkj r. i r �;rj/+A9'� S�fiU'4t�'.; �t. 1 �.� ...}SrGS•nrrJ1 ;lta��cr' l�cii.) ? ^ Y,} C-1�"1� NJ A4t/71 1 !Vf 1 n � s . ;�e�y4 C�Cx� i S`�t 4+ lr� C �^ ^ i Sr, �,c'•'��► -� SS yC11 IS THERE ANY OTHER INFORMATION YOU WOULD LIKE US TO CONSIDER REGARDING THIS APPOINTMENT? w Sf i �� 1._ •�• �? K i Please return to: Eric Johnson, City Administrator City of Oak Park Heights PO Box 2007 Stillwater, MN 55082 Date Received: (For office use only) Page 38 of 114 1 s l • CITY OF OAK PARK HEIGHTS PARKS COMMISSIONER APPLICATION Hal Peterson NAME April 6, 2018 DATE To provide the City Council with an understanding of you, your background and your interests, please answer the following questions. (You may attach an extra sheet if necessary.) 6332 Paris Ave N, Oak Park Heights ADDRESS PHONE E-MAIL HOW LONG HAVE YOU LIVED IN OAK PARK HEIGHTS? 2.5 Years OCCUPATION: Manufacturing Engineer EMPLOYER: Andersen Windows, Bayport PHONE: 651-264-5150 PRIOR EXPERIENCE ON CITY COMMISSIONS, CITY BOARDS, ETC. No prior experience with city activities. I have been involved with other non-profit efforts involving public engagement. (Riversong Music Festival, Hutchinson) Page 39 of 114 PLEASE PROVIDE A SUMMARY OF WHY YOU WOULD LIKE TO BE APPOINTED TO THE OAK PARK HEIGHTS PARKS COMMISSION. Parks are important community assets, and I think collaborating with my neighbors for the betterment of those assets would be a rewarding opportunity. I have been wanting to become involved in our city and feel this would be a good place to start. IS THERE ANY OTHER INFORMATION YOU WOULD LIKE US TO CONSIDER REGARDING THIS APPOINTMENT? This would be my first endeavor into public service, and would consider it an honor have this opportunity. I am pleased with the progress our parks system has made and hope we can continue that positive momentum in the future. Please return to: Eric Johnson, City Administrator City of Oak Park Heights PO Box 2007 Stillwater, MN 55082 Date Received: (For office use only) Page 40 of 114 Oak Park Heights Request for Council Action Meeting Date April 24t' 2018 Time Required: 5 Minutes Agenda Item Title: TIF 1-3 — UEST FR&DEVELOPER TIM NOLDE Agenda Placement Public Kea/ring / w siness Originating Department/R uestor Eri Johnson Ci1y Administrator Requester's Signature Action Requested cussio ossible Action Background/Justification(Pleas dicate if any previous action has been taken or if other public bodies have advised): Developer Tim Nolde has submitted n application to the City for Tax Increment Financing Assistance—totaling$200,000 to assist in the demolition/removal of the structures located at Oak Park Senior Living development area.The area where these structures are located is to be the final placement of PHASE V of the development and is 72-units of affordable senior living apartments which has already secured general approval by the City in 2017. The overall the City TIF policy On affordable senior multi-family a The City will consider limited TIF support for elements of senior muhi- projects does allow for the limited su000rt of Senior Housing. In family affordable housing projects that meet all of the requifements far tax this instance,the total project costs are estimated to exceed$9.6 Credits,mderinu nalRerronueQqdo„ million dollars in construction costs and/or Market Value -- meaning the request of the Developer is approximately 2.1%of the entirety of the project and likely would close-out in less than five years after completion as a Senior Housing TIF District.Accordingly, the proposal taken at face value would appear to be "limited"and meet the scope of the Policy.(Staff does however believe some further definitions of"limited"are necessary to develop and we hope to provide those suggestions at your May 8th meeting) The Council has scheduled a public hearing at 6:00 pm to receive public comment on the TIF request. The City's representatives from Ehler's(the City Financial Consultant)will be present to review the documentation and present the following: Please see the following: TIF ENCLOSURE 1 Memo dated April 20th, 2018 and District Overview for a general summary of the request from Developer Tim Nolde and its relationship with the TIF Request. TIF ENCLOSURE 2 Approving Resolution — Limiting TIF Request to a Maximum of$200,000 to be used for costs associated with the removal structures and demolition of foundations at Oak Park Senior Living. TIF ENCLOSURE 3 The Developer has also sought an estimated$150,000 in GROW funds from the Washington County Community Development Authority and if that if successful would reduce the request from$200,000 to$50,000.Staff has provided a communication to the County indicating that the project has been supported by the City(GROW:Gap Financing for Redevelopment and Rental and Owner-Occupied Housing in Washington County) TIF ENCLOSURE 4 Summary of Expenses—Demolition and Removal.Not To exceed$200,000.00. TIF ENCLOSURE 5 Tax Increment Financing Plan—April 20th,2018 Page 41 of 114 TIF ENCLOSURE 1 Page 42 of 114 nll� ECKBERG EHLERS L RS LEADERS IN PUBLIC FINANCE ATTORNEYS AT LAW Memo TO: City Council,City of Oak Park Heights From: Rebecca Kurtz,Ehlers Andy Pratt,Eckberg Lammers Date: April 20,2018 Subject: Consideration of Tax Increment Financing District No. 1-3 Background In February,the City received a Tax Increment Financing(TIF)application from Green Twig Villa H,LLLP,and Tim Nolde,as the developer. The Developer requested the City establish a housing TIF district and provide up to$200,000 in tax increment financing to assist with the development of 72-units of affordable,senior rental housing. TIF would be used to assist with the demolition and relocation expenses on four parcels located on Lower 59th Street.The project's completed market value is estimated to be$9.65 million. Construction is proposed to begin in May 2018 with occupancy in the summer of 2019. Additional information about the proposed TIF District can be found in the Summary document or the TIF Plan for Tax Increment Financing District No. 1-3. Tax Increment Estimates Preliminary cashflow projections estimate a TIF Note issued by the City to Green Twig Villa II, LLLP in the amount of$200,000 could be paid in full in less than 5 years.Payments would begin from available TIF revenues in August 2021,and the final payment is anticipated to occur in August 2025.Housing TIF Districts have a maximum legal term of 26 years;however,the City can decertify the District after all obligations have been paid. It is proposed the City would issue a Pay-as-you-go Note,where the developer would incur the expenses up-front and be reimbursed with available TIF revenues over time. This option creates minimal risk for the City, as no out-of-pocket expenditures for TIF bonds would be required.The payment on the Note would be based on the actual,semi-annual tax increment settled by the County and paid to the City. Approval of the TIF District does not create an obligation for the City. The obligation to simply pass along the TIF revenues derived from the new project will be created when the Development Agreement is approved and the TIF Note is issued. But For Test A public hearing to create the Housing TIF District is required. This hearing has been scheduled for Tuesday,April 24,and a resolution of approval is included in the Council packet. Included in 1-800-552-1171 1 v,a .V -jpc.com ECKBERGEHLERS LAMMERSLEADERS IN PUBLIC FINANCE the resolution are four findings for the Council to consider. The second finding is known as the "But For"Test and identified in Minnesota.Statutes. Section 469.175, Subd.3(2): (2) that, in the opinion of the municipality: (i) the proposed development or redevelopment would not reasonably be expected to occur solely through private investment within the reasonably foreseeable future;and (ii) the increased market value of the site that could reasonably be expected to occur without the use of tax increment financing would be less than the increase in the market value estimated to result from the proposed development after subtracting the present value of the projected tax increments for the maximum duration of the district permitted by the plan. The requirements of this item do not apply if the district is a housing district; The requirements of the second item do not apply to a housing tax increment district. However, we recognize cities do want to be responsible with public dollars and may choose to discuss this item.There are several points the Council may consider during this discussion: ■ While development has already taken place in the area with this developer and maybe was likely to happen without assistance,is the tax increment providing funding for a higher quality development or a development with higher quality finishes,additional amenities,etc? To meet clause(i)above,the Council must find that the development as proposed(i.e. 72 units of affordable senior rental housing)would not reasonably be expected to occur solely through private investment within the reasonably foreseeable future. This clause of the But For Test has not been traditionally interpreted to require that no development occur without the use of TIF,as a smaller low-level development could potentially occur,but any high-quality use of the land would be constrained without the use of TIF assistance. In other words,it is possible that some development of the existing senior housing complex would go forward without TIF assistance,but the unique costs of this effort (through the demolition and removal of existing structures on the parcels)mean that without any TIF assistance, any alternative development would necessarily be carried out at a smaller scale and most likely over a longer period of time. ■ As the statute provides, item(ii)does not apply to a housing district. One reason for this may be that housing projects,which by state law require a low-income component,may not meet this portion of the But For Test unless exempted. A large industrial or commercial project may carry more value over the short-and long-term to meet this prong of the test. As the characteristics of item(i)are met in our view,the entire But For Test is met as well. ■ The other requirements to be met, as provided in the Council resolution,are findings that (i)the district is a Housing TIF District, (ii)the TIF Plan conforms to the general plan for development or redevelopment of the City as a whole,and(iii)the TIF Plan will provide maximum opportunity, consistent with the sound needs of the City as a whole,for the development or redevelopment of the project by private enterprise. The finding in(i)is self-evident, and the Planning Commission discussed the finding to be made in(ii)at its meeting on April 12. The Council resolution provides support for the(iii)finding. 1-800-552-1171 i 4OMPc.com ECKBERG 10 EHLERS all LAMMERS LEADERS IN PUBLIC FINANCE AT OR FYS AT LAW Action ■ After holding the public hearing,the Council can approve TIF District No. 1-3. ■ After holding the public hearing,the Council can deny the establishment of TIF District No. 1-3. ■ Council can take no action,thereby denying the establishment of TIF District No. 1-3 at this time. 1-800-552-1171 1 WApqinc.com Tax Increment Financing District Overview City of Oak Park Heights Tax Increment Financing District No. 1-3 The following summary contains an overview of the basic elements of the Tax Increment Financing Plan for Tax Increment Financing District No. 1-3. More detailed information on each of these topics can be found in the complete Tax Increment Financing Plan. Proposed action: ➢ Establishment of Tax Increment Financing District No. 1-3 (District) and the adoption of a Tax Increment Financing Plan(TIF Plan). Modification to the Development Program for Development District No. 1 includes the establishment of Tax Increment Financing District No. 1-3, which represents a continuation of the goals and objectives set forth in the Development Program for Development District No. 1. Type of TIF District: A housing district Parcel Numbers: 05.029.20.11.0152 05.029.20.11.0153 05.029.20.11.0154 05.029.20.11.0155 Proposed The District is being created to facilitate 72 units of affordable, senior housing Development: in the City.Please see Appendix A of the TIF Plan for a more detailed project description. Maximum duration: The duration of the District will be 25 years from the date of receipt of the first increment(26 years of increment). The City elects to receive the first tax increment in 2021. It is estimated that the District, including any modifications of the TIF Plan for subsequent phases or other changes, would terminate after December 31,2046, or when the TIF Plan is satisfied. Estimated annual tax Up to$78,269 increment: EHLERS yy� LEADERS IN PUBLIC FINANCE Page 46 of 114 Authorized uses: The TIF Plan contains a budget that authorizes the maximum amount that may be expended: Site Improvements/Preparation..............................................$200,000 Other Qualifying Improvements............................................$751,985 Administrative Costs(up to 10%)..........................................$174,931 PROJECT COSTS TOTAL................................................$1,126,916 Interest................................................................................. $788,009 PROJECT COSTS TOTAL.............................................� See Subsection 2-10, on page 2-5 of the TIF Plan for the full budget authorization. Form of financing: The project is proposed to be financed by a pay-as-you-go note and/or interfund loan. Administrative fee: Up to 10%of annual increment, if costs are_justified. Interfund Loan If the City wants to pay for administrative expenditures from a tax increment Requirement: fund, it is recommended that a resolution authorizing a loan from another fund be passed PRIOR to the issuance of the check. 4 Year Activity Rule After four years from the date of certification of the District one of the (§469.176 Subd. 6) following activities must have been commenced on each parcel in the District: • Demolition • Rehabilitation • Renovation • Other site preparation(not including utility services such as sewer and water) If the activity has not been started by approximately April 2018,no additional tax increment may be taken from that parcel until the commencement of a qualifying activity. The reasons and facts supporting the findings for the adoption of the TIF Plan for the District, as required pursuant to M.S., Section 469.175, Subd. 3, are included in Exhibit A of the City resolution. Page Z EHLERS LEADERS IN PUBLIC FINANCE Page 47 of 114 MAP OF DEVELOPMENT DISTRICT NO. 1 AND TAX INCREMENT FINANCING DISTRICT NO. 1-3 City of Oak Park Heights Tax Increment Financing District 1-3(RED) Development District#1 (BLUE OUTLINE) io�� DEII¢i 13 Cily of Oak Park H urwwr.�aca K.a..w•.o,rn+r aa:wza F� lh�M115N�Wi•Tarall+alN!Y 950 7,9W 3,600 5.700 7,600 `�4 Page 3 EHLERS LEADERS IN PUBLIC FINANCE Page 48 of 114 1000 1600 MIN 5951 59150 5"0." 13747 991 13i1+SiSi a 11rxf3�. 5901 1:9 9Luju 569 + 139'6 t4 a *y � 131�� .? .t . AF 1� 1 j'cgA..h TIF Dish ict No., 1 13924 1'lY,l if, 4 13865 - O 13945 ai2a... • ,-_' ',ills!!S�`.N, � i .ff 5676 } 1557-4 5625 $Pal 676 556 :�p�Gfi) �. .'i6in.9YAf J £YrY 55 5553 5557� y z 1 Tax Increment Financing District No. 1-3 Development District No. 1 City of Oak Park Heights Washington. County, Mliuiesota Page 4 EHLERS LEADERS IN PUBLIC FINANCE Page 49 of 114 TIF ENCLOSURE 2 Page 50 of 114 CITY OF OAK PARK HEIGHTS WASHINGTON COUNTY STATE OF MINNESOTA Council member _ introduced the following resolution and moved its adoption: RESOLUTION NO. RESOLUTION ADOPTING A MODIFICATION TO THE DEVELOPMENT PROGRAM FOR DEVELOPMENT DISTRICT NO. 1 AND ESTABLISHING TAX INCREMENT FINANCING DISTRICT NO. 1-3 THEREIN AND ADOPTING A TAX INCREMENT FINANCING PLAN THEREFOR. BE IT RESOLVED by the City Council(the"Council")of the City of Oak Park Heights, Minnesota(the "City"),as follows: Section 1. Recitals. 1.01. The Council has heretofore established Development District No. 1 and adopted a Development Program therefor. It has been proposed by the City that the City adopt a Modification to the Development Program(the"Development Program Modification")for Development District No. 1 (the "Project Area")and establish Tax Increment Financing District No. 1-3 (the "District")therein and adopt a Tax Increment Financing Plan(the "TIF Plan")therefor(the Development Program Modification and the TIF Plan are referred to collectively herein as the"Program and Plan"); all pursuant to and in conformity with applicable law,including Minnesota Statutes, Sections 469.124 to 469.133 and Sections 469.174 to 469.1794,all inclusive,as amended(collectively,the"Act"),all as reflected in the Program and Plan,and presented for the Council's consideration. 1.02. The City has investigated the facts relating to the Program and Plan and has caused the Program and Plan to be prepared. 1.03. The City has performed all actions required by law to be performed prior to the establishment of the District and the adoption and approval of the proposed Program and Plan,including, but not limited to,notification of the Washington County Commissioner who represents the area proposed to be included within the District,Washington County and Independent School District No. 834 having taxing jurisdiction over the property to be included in the District,a review of and written comment on the Program and Plan by the City Planning Commission, and the holding of a public hearing upon published notice as required by law. 1.04. Certain written reports(the"Reports")relating to the Program and Plan and to the activities contemplated therein have heretofore been prepared by staff and consultants and submitted to the Council and/or made a part of the City files and proceedings on the Program and Plan.These reports include the TIF application and Council memos related to the project.The Reports include data, information and/or substantiation constituting or relating to the basis for the other findings and determinations made in this resolution. The Council hereby confirms,ratifies and adopts the Reports, which are hereby incorporated into and made as fully a part of this resolution to the same extent as if set forth in full herein. Page 51 of 114 1.05. The City is not modifying the boundaries of Development District No. 1,but is,however, modifying the Development Program therefor. Section 2. Findings for the Adoption and Approval of the Development Prom-am Modification 2.01. The Council approves the Development Program Modification,and specifically finds that: (a)the land within the Project Area would not be available for redevelopment without the financial aid to be sought under this Development Program; (b)the Development Program Modification will afford maximum opportunity,consistent with the needs of the City as a whole,for the development of the Project Area by private enterprise;and(c)that the Development Program Modification conforms to the general plan for the development of the City as a whole. Section 3. Findings for the Establishment of Tax Increment Financing District No. 1-3 3.01. The Council hereby finds that Tax Increment Financing District No. 1-3 is in the public interest and is a"housing district"under Minnesota Statutes, Section 469.174, Subd. 11 of the Act. 3.02. The Council further finds that the proposed development would not occur solely through private investment within the reasonably foreseeable future,that the Program and Plan conforms to the general plan for the development or redevelopment of the City as a whole;and that the Program and Plan will afford maximum opportunity consistent with the sound needs of the City as a whole,for the development or redevelopment of the District by private enterprise. 3.03. The Council has set forth the reasons and supporting facts for each determination in writing,attached hereto as Exhibit A. 3.04. The Council elects the method of tax increment computation for fiscal disparities purposes set forth in Section 469.177, Subdivision 3,paragraph(b)of the Act. Section 4. Public Purpose. 4.01. The adoption of the Program and Plan conforms in all respects to the requirements of the Act and will help fulfill a need to develop an area of the City which is already built up,to provide housing opportunities,to improve the tax base and to improve the general economy of the State and thereby serves several public purposes. For the reasons described in Exhibit A,the City believes these benefits directly derive from the tax increment assistance provided under the TIF Plan. A private developer will receive only the assistance needed to make this development financially feasible. As such,any private benefits received by a developer are incidental and do not outweigh the primary public benefits. 4.02 As described in Appendix A of the TIF Plan,the City will provide no more than $200,000 of assistance to the project.Assistance to a third party will be provided through issuance of a pay-as-you-go tax increment note.At the City's discretion,any additional revenues received prior to decertification of the District may be used for other eligible housing projects as allowed by Minnesota Statues. Section 5. Approval and Adoption of the Program and Plan. 5.01. The Program and Plan,as presented to the Council on this date,including without limitation the findings and statements of objectives contained therein, are hereby approved,ratified, established,and adopted and shall be placed on file in the office of the City Administrator. Page 52 of 114 5.02. The staff of the City,the City's advisors and legal counsel are authorized and directed to proceed with the implementation of the Program and Plan and to negotiate, draft,prepare and present to this Council for its consideration all further plans,resolutions,documents and contracts necessary for this purpose. 5.03 The Auditor of Washington County is requested to certify the original net tax capacity of the District,as described in the Program and Plan,and to certify in each year thereafter the amount by which the original net tax capacity has increased or decreased;and the City is authorized and directed to forthwith transmit this request to the County Auditor in such form and content as the Auditor may specify,together with a list of all properties within the District for which building permits have been issued during the 18 months immediately preceding the adoption of this resolution. 5.04. The City Administrator is further authorized and directed to file a copy of the Program and Plan with the Commissioner of the Minnesota Department of Revenue and the Office of the State Auditor pursuant to Minnesota Statutes 469.175, Subd.4a. The motion for the adoption of the foregoing resolution was duly seconded by Council member . and upon a vote being taken thereon,the following voted in favor thereof: and the following voted against the same: Dated:April 24,2018 ATTEST: Mary McComber,Mayor Eric Johnson,City Administrator (Seal) Page 53 of 114 EXHIBIT A RESOLUTION NO. The reasons and facts supporting the findings for the adoption of the Tax Increment Financing Plan for Tax Increment Financing District No. 1-3,as required pursuant to Minnesota Statutes,Section 469.175, Subdivision 3 are as follows: 1. Finding that Tax Increment Financing District No. 1-3 is a housing district as defined in MS., Section 469.174, Subd. 11. TIF District No. 1-3 consists of four parcels. The development will consist of affordable,rental units for seniors.All or a portion of the rental units will receive tax increment assistance and will meet income restrictions described in M.S. 469.1761. More specifically,at least 40 percent of the units receiving assistance will have incomes at or below 60 percent of area median gross income. Appendix E of the TIF PIan contains background for the above finding. 2. Finding that the proposed development, in the opinion of the City Council, would not reasonably be expected to occur solely through private investment within the reasonably foreseeable future. This finding is supported by the fact that the development proposed in this plan is a housing district that meets the City's objectives for development and redevelopment. The cost of demolition and removal of existing structures within the District makes this housing development infeasible without City assistance.Due to the high cost of building affordable new housing in the City and the cost of financing the proposed public improvements to serve the housing development,this project is feasible only through assistance, in part,from tax increment financing. The developer was asked for and provided information that the developer would not have gone forward without tax increment assistance. The increased market value of the site that could reasonably be expected to occur without the use of tax increment financing would be less than the increase in market value estimated to result from the proposed development after subtracting the present value of the projected tax increments for the maximum duration of the TIF District permitted by the TIF Plan:This requirement does not apply to housing tax increment districts. 3. Finding that the TIF Plan for Tax Increment Financing District No. 1-3 conforms to the general plan for the development or redevelopment of the municipality as a whole. The Planning Commission reviewed the TIF Plan and found that the TIF Plan conforms to the general development plan of the City,as provided for in the City's current Comprehensive Plan. 4. Finding that the TIF Plan for Tax Increment Financing District No. 1-3 will afford maximum opportunity, consistent with the sound needs of the City as a whole,for the development or redevelopment of Development District No. 1 by private enterprise. Through the implementation of the TIF Plan,the City will provide an impetus for residential development,which is desirable or necessary for increased population and an increased need for life-cycle housing within the City. Page 54 of 114 TIF ENCLOSURE 3 Page 55 of 114 fi City of Oak Park Heights 14168 Oak Park Blvd. N•Box 2007 a Oak Park Heights,MN 55082 a Phone(651)439-4439•Fax(651)439-0574 April 19,2018 ***via email only timnoide@comcast.net*** TO: Mr. Tim Nolde Oak Park Senior Living FROM: Eric Johnson, City Administrator RE: GROW FUND Application WCCDA Dear Mr. Nolde, The City of Oak Park Heights does support the development of the proposed 72-unit affordable senior living development, (Phase V) to be located within the Oak Park Senior Living Development area and which is seeking funding from the Washington County's GROW Program and which is estimated to reduce a possible TIF proposal. To demonstrate this support, the City Council has approved the necessary PUD Amendments, executed a Development Agreement and has approved sponsorship of necessary revenue bonds. We look forward working with you to secure the GROW funding as well as to the project being completed. Kind Regards 40 Eric Johnson City Administrator Cc: Weekly Notes Melissa Taphorn,WCCDA Chris Eng,WCCDA Rebecca Kurtz, Ehlers Page 56 of 114 TIF ENCLOSURE 4 Page 57 of 114 City of Oak Park Heights NOLDE_TIF 1-3-Structue Moving Expenses Ottting House Movers 13955 Upper 59th street -4 plex $ 72,500.00 Ottting House Movers 13845 Upper 58th Street 3-plex $ 65,125.00 Bell Trucking- Demo Foundations,abate utilities from both 4plex and 3 plex $ 95,000.00 Total $ 232,625.00 TIF EXPENSES Capped at$200,000 $200,000 Page 58 of 114 Bell Excavating Inc Estimate P.O.Box 775 Stillwater,MN 55082-0775 Date Estimate# 651-439-6375 3/23/2018 1814 BellExcavatingMN{agrnail.com Customer Anchobaypro INC. 775 Green Twig Way P.Q.Box 119 Stillwater,MN 55082 Project Description Tata1 Remove existing 3 unit townhouse from lower 59th St.and 4 unit townhouse from upper 58th St.in Oak 95,000.00 Park Heights.Demo existing foundations from both units.Abate existing sewer and water services. 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IS ORM L'i DA= A111Z'i!r 3 IXI Glf.XW ZEX OMAW VM GM TW A�NAi M i11S)tW XV!li00� WW BUMAD LAWK COK MA:TMN"L BM 2= R AM UM QAVR VOU IMMY IiiMCL 2 Scanned by CapAnger TIF ENCLOSURE 5 Page 64 of 114 ------------- As of April 20, 2018 Draft for Public Hearing Modification to the Development Program for Development District No. 1 and the Tax Increment Financing Plan for the establishment of Tax Increment Financing District No. 1-3 (a housing district) within Development District No. 1 City of Oak Park Heights I Washington County State of Minnesota Public Hearing: April 24,2018 Adopted: Prepared by: EHLERS$ASSOCIATES,INC. EH 3060 Centre Pointe Drive, Roseville,Minnesota 55113-1105 L E R S 651-697-8500 fax: 651-697-8555 vmmehlers-inc.com Page 65 of 114 Table of Contents (for reference purposes only) Section 1 - Modification to the Development Program for Development District No. 1 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1-1 Foreword . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1-1 Section 2 -Tax Increment Financing Plan for Tax Increment Financing District No. 1-3 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2-1 Subsection 2-1. Foreword . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2-1 Subsection 2-2. Statutory Authority . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2-1 Subsection 2-3. Statement of Objectives . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2-1 Subsection 2-4. Development Program Overview . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2-1 Subsection 2-5. Description of Property in the District and Property To Be Acquired . 2-2 Subsection 2-6. Classification of the District . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2-2 Subsection 2-7. Duration and First Year of Tax Increment of the District . . . . . . . . . . . 2-3 Subsection 2-8. Original Tax Capacity,Tax Rate and Estimated Captured Net Tax Capacity Value/Increment and Notification of Prior Planned Improvements . . . . . . . . . . . . . . . . 2-3 Subsection 2-9. Sources of Revenue/Bonds to be Issued 2-5 Subsection 2-10. Uses of Funds . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2-5 Subsection 2-11. Fiscal Disparities Election . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2-6 Subsection 2-12. Business Subsidies . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2-6 Subsection 2-13. County Road Costs . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2-7 Subsection 2-14. Estimated Impact on Other Taxing Jurisdictions . . . . . . . . . . . . . . . . . 2-7 Subsection 2-15. Supporting Documentation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2-9 Subsection 2-16. Definition of Tax Increment Revenues . . . . . . . . . . . . . . . . . . . . . . . . 2-9 Subsection 2-17. Modifications to the District . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2-10 Subsection 2-18. Administrative Expenses . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2-10 Subsection 2-19. Limitation of Increment . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2-11 Subsection 2-20. Use of Tax Increment . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2-12 Subsection 2-21. Excess Increments . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2-12 Subsection 2-22. Requirements for Agreements with the Developer . . . . . . . . . . . . . . 2-13 Subsection 2-23. Assessment Agreements . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2-13 Subsection 2-24. Administration of the District . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2-13 Subsection 2-25. Annual Disclosure Requirements . . . . . . . . . . . . . . . . . . . . . . . . . . . 2-13 Subsection 2-26. Reasonable Expectations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2-14 Subsection 2-27. Other Limitations on the Use of Tax Increment . . . . . . . . . . . . . . . . . 2-14 Subsection 2-28. Summary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2-14 Appendix A Project Description . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . A-1 Appendix B Map of Development District No. 1 and the District . . . . . . . . . . . . . . . . . . . . . . . . . . . . . B-1 Appendix C Description of Property to be Included in the District . . . . . . . . . . . . . . . . . . . . . . . . . . . . C-1 Appendix D Estimated Cash Flow for the District . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . D-1 Page 66 of 114 Appendix E Housing Qualifications for the District . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . E-1 Appendix F Findings for the District . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F-1 Page 67 of 114 Section 1-Modification to the Development Program for Development District No. 1 Foreword The following text represents a Modification to the Development Program for Development District No. 1. This modification represents a continuation ofthe goals and objectives set forth in the Development Program for Development District No. 1. Generally, the substantive changes include the establishment of Tax Increment Financing District No. 1-3. For further information, a review of the Development Program for Development District No. 1 is recommended. It is available from the City Administrator at the City of Oak Park Heights. Other relevant information is contained in the Tax Increment Financing Plans for the Tax Increment Financing Districts located within Development District No. 1. City of Oak Park Heights Modification to the Development Program for Development District No.1 1-7 Page 68 of 114 Section 2- Tax Increment Financing Plan for Tax Increment Financing District No. 1-3 Subsection 2-1. Foreword The City of Oak Park Heights(the"City"),staff and consultants have prepared the following information to expedite the establishment of Tax Increment Financing District No. 1-3 (the "District"), a housing tax increment financing district,located in Development District No. 1. Subsection 2-2. Statutory Authority Within the City, there exist areas where public involvement is necessary to cause development or redevelopment to occur. To this end,the City has certain statutory powers pursuant to Minnesota Statutes ("M.S.'), Sections 469.124 to 469.133, inclusive, as amended, and M.S., Sections 469.174 to 469.1794, inclusive,as amended(the"Tax Increment Financing Act"or"TIF Act"),to assist in financing public costs related to this project. This section contains the Tax Increment Financing Plan(the "TIF Plan") for the District. Other relevant information is contained in the Modification to the Development Program for Development District No. 1. Subsection 2-3. Statement of Objectives The District currently consis's of four parcels of land add adjacent and internal rights-of-way. The District is being created to facilitate72 units of affordable, senior housing in the City. Please see Appendix A for further District information.-The City has designated Green Twig Villas,LLLP,as the developer at the time of preparation of this TIF Plan,and development is likely to occur in Spring 2018. This TIF Plan is expected to achieve many of the objectives outlined in the Development Program for Development District No. 1. The activities contemplated in the Modification to the Development Program and the TIF Plan do not preclude the undertaking of other qualified development or redevelopment activities. These activities are anticipated to occur over the life of Development District No. 1 and the District. Subsection 2-4. Development Program Overview 1. Property to be Acquired-Selected property located within the District may be acquired by the City and is further described in this TIF Plan. 2. Relocation-Relocation services, to the extent required by law, are available pursuant to M.S., Chapter 117 and other relevant state and federal laws. 3. Upon approval of a developer's plan relating to the project and completion of the necessary legal requirements,the City may sell to a developer selected properties that it may acquire within the District or may lease land or facilities to a developer. 4. The City may perform or provide for some or all necessary acquisition, construction, relocation,demolition,and required utilities and public street work within the District. City of Oak Park Heights Tax Increment Financing Plan for Tax Increment Financing District No.1-3 2-1 Page 69 of 114 Subsection 2-5. Description of Property in the District and Property To Be Acquired The District encompasses all property and adjacent rights-of-way and abutting roadways identified by the parcels listed in Appendix C of this TIF Plan. Please also see the map in Appendix B for further information on the location of the District. The City may acquire any parcel within the District including interior and adjacent street rights of way. Any properties identified for acquisition will be acquired by the City only in order to accomplish one or more of the following:storm sewer improvements;provide land for needed public streets,utilities and facilities;carry out land acquisition,site improvements,clearance and/or development to accomplish the uses and objectives set forth in this plan. The City may acquire property by gift,dedication,condemnation or direct purchase from willing sellers in order to achieve the objectives of this TIF Plan. Such acquisitions will be undertaken only when there is assurance of funding to finance the acquisition and related costs. Subsection 2-6. Classification of the District The City, in determining the need to create a tax increment financing district in accordance with M.S., Sections 469.174 to 469.1794,as amended,inclusive,finds that the District,to be established,is a housing district pursuant to M.S., Section 469.174, Subd. II and M.S., Section 469.1761 as defined below: M.S., Section 469.174,Subd.11: "Housing district"means a type of tax increment financing district which consists of a project, ora portion of a project, intended for occupancy, in part, by persons or families of low and moderate income, as defined in chapter 462A, Title II of the National Housing Act of 1934, the National HousingAct of 1959,the United States HousingAct of 1937,as amended, Title V of the Housing Act of 1949,as amended, any other similar present orfuture federal,state, or municipal legislation , or the regulations promulgated under any of those acts, and that satisfies the requirements of M.S., Section 469.1761. Housing project means a project, or portion of a project, that meets all the qualifications of a housing district under this subdivision, whether or not actually established as a housing district. M.S., Section 469.1761: Subd. 1. Requirement imposed. (a) In order for a tax increment financing district to qualms as a housing district: (1) the income limitations provided in this section must be satisfied;and (2) no more than 20 percent of the square footage of buildings that receive assistance from tax increments may consist of commercial, retail, or other nonresidential uses. (b) The requirements imposed by this section apply to property receiving assistance financed with tax increments, including interest reduction, land transfers at less than the authority's cost of acquisition, utility service or connections, roads,parking facilities, or other subsidies. The provisions of this section do not apply to districts located within a targeted area as defined in Section 462C 02 Subd 9, clause(e). (c)For purposes of the requirements ofparagraph(a), the authority may elect to treat an addition to an existing structure as a separate building if City of Oak Park Heights Tax Increment Financing Plan for Tax Increment Financing District No.1-3 2-2 Page 70 of 114 (1) construction of the addition begins more than three years after construction of the existing structure was completed;and (2)for an addition that does not meet the requirements ofparagraph(a), clause(2),if it is treated as a separate building, the addition was not contemplated by the tax increment financing plan which includes the existing structure. Subd. 2. Owner occupied housing. For owner occupied residential property, 95 percent of the housing units must be initially purchased and occupied by individuals whose family income is less than or equal to the income requirements for qualified mortgage bond projects under section 143(f) of the Internal Revenue Code. Subd. 3. Rental property. For residential rental property, the property must satisfy the income requirements for a qualified residential rental project as defined in section 142(d) of the Internal Revenue Code. The requirements of this subdivision apply for the duration of the tax increment financing district. Subd. 4. Noncompliance;enforcement. Failure to comply with the requirements of this section is subject to M.S., Section 469.1771. In meeting the statutory criteria the City relies on the following facts and findings: • The District consists of four parcels. • The development will consist of 72 units of affordable,senior rental housing. • At least 40%of the units will be occupied by persons with incomes at or less than 60%of median gross income. Subsection 2-7. Duration and First Year of Tax Increment of the District Pursuant to M.S., Section 469.175,Subd. 1, and Section 469.176,Subd. 1,the duration and first year of tax increment of the District must be indicated within the TIF Plan. Pursuant to M.S.,Section 469.176,Subd.1 b., the duration of the District will be 25 years after receipt of the first increment by the City(a total of 26 years of tax increment). The City elects to receive the first tax increment in 2021,which is no later than four years following the year of approval of the District. Thus, it is estimated that the District, including any modifications of the TIF Plan for subsequent phases or other changes,would terminate after 2046,or when the TIF Plan is satisfied. The City reserves the right to decertify the District prior to the legally required date. Subsection 2-8. Original Tax Capacity,Tax Rate and Estimated Captured Net Tax Capacity Value/increment and Notification of Prior Planned Improvements Pursuant to M.S.,Section 469.174,Subd. 7 and M.S.,Section 469.177,Subd.1,the Original Net Tax Capacity (ONTC)as certified for the District will be based on the market values placed on the property by the assessor in 2017 for taxes payable 2018. Pursuant to M.S.,Section 469.177,Subds. 1 and 2,the County Auditor shall certify in each year(beginning in the payment year 202 1)the amount by which the original value has increased or decreased as a result of- 1. f1. Change in tax exempt status of property; 2. Reduction or enlargement of the geographic boundaries of the district; City of Oak Park Heights Tax Increment Financing Plan for Tax Increment Financing District No.1-3 2-3 Page 71 of 114 3. Change due to adjustments,negotiated or court-ordered abatements; 4. Change in the use of the property and classification; 5. Change in state law governing class rates;or 6. Change in previously issued building permits. In any year in which the current Net Tax Capacity(NTC)value of the District declines below the ONTC,no value will be captured and no tax increment will be payable to the City. The original local tax rate for the District will be the local tax rate for taxes payable 2018, assuming the request for certification is made before June 30,2018.The ONTC and the Original Local Tax Rate for the District appear in the table below. Pursuant to M.S., Section 469.174 Subd. 4 and M.S., Section 469.177, Subd. 1, 2, and 4, the estimated Captured Net Tax Capacity(CTC)of the District,within Development District No. 1,upon completion of the projects within the District, will annually approximate tax increment revenues as shown in the table below. The City requests 100 percent ofthe available increase in tax capacity for repayment of its obligations and current expenditures,beginning in the tax year payable 2021.The Project Tax Capacity(PTC)listed is an estimate of values when the projects within the District are completed. Project Estimated Tax Capacity upon Completion(PTC) $86,801 Original Estimated Net Tax Capacity(ONTC) $14,309 Estimated Captured Tax Capacity(CTC) $72,492 Original Local Tax Rate 1.07969 Pay 2018 Estimated Annual Tax Increment(CTC x Local Tax Rate) $78,269 Percent Retained by the City 100% Tax capacity includes a 1%inflation factor for the duration ofthe District. The tax capacity included in this chart is the estimated tax capacity of the District in year 25. The tax capacity of the District in year one is estimated to be$67,685. Pursuant to MS., Section 469.177, Subd. 4, the City shall, after a due and diligent search, accompany its request for certification to the County Auditor or its notice of the District enlargement pursuant to M.S., Section 469.175,Subd. 4,with a listing of all properties within the District or area of enlargement for which building permits have been issued during the eighteen(18)months immediately preceding approval of the TIF Plan by the municipality pursuant to M.S.,Section 469.175,Subd.3. The County Auditor shall increase the original net tax capacity of the District by the net tax capacity of improvements for which a building permit was issued. The City has reviewed the area to be included in the District and found no parcels for which building permits have been issued during the 18 months immediately preceding approval of the TIF Plan by the City. City of Oak Park Heights Tax Increment Financing Plan for Tax Increment Financing District No.1-3 2-4 Page 72 of 114 Subsection 2-9. Sources of Revenue/Bonds to be Issued The costs outlined in the Uses of Funds will be financed primarily through the annual collection of tax increments. The City reserves the right to incur bonds or other indebtedness as a result of the TIF Plan. As presently proposed,the projects within the District will be financed by a pay-as-you-go note and interfund loan. Any refunding amounts will be deemed a budgeted cost without a formal TIF Plan Modification. This provision does not obligate the City to incur debt. The City will issue bonds or incur other debt only upon the determination that such action is in the best interest of the City. The total estimated tax increment revenues for the District are shown in the table below: SOURCES OF FUNDS TOTAL Tax Increment $1,740,841 Interest $174,084 TOTAL $1,914,925 The City may issue bonds(as defined in the TIF Act)secured in whole or in part with tax increments from the District in a maximum principal amount of$1,126,916. Such bonds may be in the form of pay-as-you-go notes,revenue bonds or notes,general obligation bonds, or interfund loans. This estimate of total bonded indebtedness is a cumulative statement of authority under this TIF Plan as of the date of approval. Subsection 2-10.Uses of Funds Currently under consideration for the District is a proposal to facilitate 72 units ofaffordable,senior housing. The City has determined that it will be necessary to provide assistance to the project(s)for certain District costs,as described. The City has studied the feasibility of the development or redevelopment of property in and around the District. To facilitate the establishment and development or redevelopment of the District, this TIF Plan authorizes the use of tax increment financing to pay for the cost of certain eligible expenses. The estimate of public costs and uses of funds associated with the District is outlined in the following table. USES OF TAX INCREMENT FUNDS TOTAL Site Improvements/Preparation Nuide request - up to $200,000 Other Qualifying Improvements $200,000 $751,985 Administrative Costs(up to 10%) $174,931 PROJECT COST TOTAL $1,126,916 Interest $788,009 PROJECT AND INTEREST COSTS TOTAL $1,914,925 The total project cost,including financing costs(interest)listed in the table above does not exceed the total projected tax increments for the District as shown in Subsection 2-9. Estimated costs associated with the District are subject to change among categories without a modification to this TIF Plan. The cost of all activities to be considered for tax increment financing will not exceed, City of Oak Park Heights Tax Increment Financing Plan for Tax Increment Financing District No.1-3 2-5 Page 73 of 114 without formal modification,the budget above pursuant to the applicable statutory requirements. The City may expend funds for qualified housing activities outside of the District boundaries. Subsection 2-11. Fiscal Disparities Election Pursuant to M.S., Section 469.177, Subd. 3, the City may elect one of two methods to calculate fiscal disparities. If the calculations pursuant to M.S.,Section 469.177,Subd. 3, clause b,(inside the District)are followed,the following method of computation shall apply: (1) The original net tax capacity shall be determined before the application of the fiscal disparity provisions of Chapter 276A or 473F. The current net tax capacity shall exclude any fiscal disparity commercial-industrial net tax capacity increase between the original year and the current year multiplied by the fiscal disparity ratio determined pursuant to M.S., Section 276A.06, subdivision 7 or M.S., Section 473F.08, subdivision 6. Where the original net tax capacity is equal to orgreater than the current net tax capacity,there is no captured tax capacity and no tax increment determination. Where the original tax capacity is less than the current tax capacity, the difference between the original net tax capacity and the current net tax capacity is the captured net tax capacity. This amount less any portion thereof which the authority has designated, in its tax increment financing plan, to share with the local taxing districts is the retained captured net tax capacity of the authority. (2) The county auditor shall exclude the retained captured net tax capacity of the authorityfrom the net tax capacity of the local taxing districts in determining local taxing district tax rates. The local tax rates so determined are to be extended against the retained captured net tax capacity of the authority as well as the net tax capacity of the local taxing districts. The tax generated by the extension of the less of(A)the local taxing district tax rates or(B)the original local tax rate to the retained captured net tax capacity of the authority is the tax increment of the authority. The City will choose to calculate fiscal disparities by clause b. It is not anticipated that the District will contain commercial/industrial property. As a result, there should be no impact due to the fiscal disparities provision on the District. According to MS., Section 469.177,Subd. 3: (c) The method of computation of tax increment applied to a district pursuant to paragraph(a)or (b)shall remain the same for the duration of the district, except that the governing body may elect to change its election from the method of computation in paragraph(a) to the method in paragraph(b). Subsection 2-12. Business Subsidies Pursuant to M.S., Section 116J.993,Subd. 3,the following forms of financial assistance are not considered a business subsidy: (1) A business subsidy of less than$150,000; (2) Assistance that is generally available to all businesses or to a general class of similar businesses, such as a line of business,size, location,or similar general criteria; (3) Public improvements to buildings or lands owned by the state or local government that serve a public purpose and do not principally benefit a single business or defined group of businesses at the time the improvements are made; (4) Redevelopment property polluted by contaminants as defined in M.S.,Section 116J..552,Subd. 3; City of Oak Park Heights Tax Increment Financing Plan for Tax Increment Financing District No.1-3 2-6 Page 74 of 114 (5) Assistance provided for the sole purpose of renovating old or decaying building stock or bringing it up to code and assistance provided for designated historic preservation districts,provided that the assistance is equal to or less than 50%of the total cost; (6) Assistance to provide job readiness and training services if the sole purpose of the assistance is to provide those services; (7) Assistance for housing; (8) Assistance for pollution control or abatement,including assistance for a tax increment financing hazardous substance subdistrict as defined under M.S., Section 469.174, Subd. 23; (9) Assistance for energy conservation; (10) Tax reductions resulting from conformity with federal tax law; (11) Workers'compensation and unemployment compensation; (12) Benefits derived from regulation; (13) Indirect benefits derived from assistance to educational institutions; (14) Funds from bonds allocated under chapter 474A,bonds issued to refund outstanding bonds,and bonds issued for the benefit of an organization described in section 501 (c) (3) of the Internal Revenue Code of 1986,as amended through December 31, 1999; (15) Assistance for a collaboration between a Minnesota higher education institution and a business; (16) Assistance for a tax increment financing soils condition district as defined under M.S., Section 469.174, Subd. 19; (17) Redevelopment when the recipient's investment in the purchase of the site and in site preparation is 70 percent or more of the assessor's current year's estimated market value; (18) General changes in tax increment financing law and other general tax law changes of a principally technical nature; (19) Federal assistance until the assistance has been repaid to, and reinvested by, the state or local government agency; (20) Funds from dock and wharf bonds issued by a seaway port authority; (21) Business loans and loan guarantees of$150,000 or less; (22) Federal loan funds provided through the United States Department of Commerce,Economic Development Administration;and (23) Property tax abatements granted under M.S., Section 469.1813 to property that is subject to valuation under Minnesota Rules,chapter 8100. The City will comply with M.S., Sections 116J.993 to 116J.995 to the extent the tax increment assistance under this TIF Plan does not fall under any of the above exemptions. Subsection 2-13.County Road Costs Pursuant to M.S.,Section 469.175,Subd la,the county board may require the City to pay for all or part of the cost of county road improvements if the proposed development to be assisted by tax increment will,in the judgment of the county, substantially increase the use of county roads requiring construction of road improvements or other road costs and if the road improvements are not scheduled within the next five years under a capital improvement plan or within five years under another county plan. If the county elects to use increments to improve county roads,it must notify the City within forty-five days of receipt of this TIF Plan. In the opinion of the City and consultants,the proposed development outlined in this TIF Plan will have little or no impact upon county roads,therefore the TIF Plan was not forwarded to the county 45 days prior to the public hearing. The City is aware that the county could claim that tax increment should be used for county roads,even after the public hearing. City of Oak Park Heights Tax Increment Financing Plan for Tax Increment Financing District No.1-3 2-7 Page 75 of 114 Subsection 2-14.Estimated Impact on Other Taxing Jurisdictions The estimated impact on other taxing jurisdictions assumes that the redevelopment contemplated by the TIF Plan would occur without the creation of the District. However, the City has determined that such development or redevelopment would not occur "but for"tax increment financing and that, therefore,the fiscal impact on other taxing jurisdictions is $0. The estimated fiscal impact of the District would be as follows if the"but for"test was not met: IMPACT ON TAX BASE 2017/Pay 2018 Estimated Captured Total Net Tag Capacity(CTC) Percent of CTC Tag C2R2city Upon Completion to Entity Total Washington County 340,484,829 72,492 0.0213% City of Oak Park Heights 12,105,871 72,492 0.5988% Stillwater ISD No. 834 104,846,809 72,492 0.0691% IMPACT ON TAX RATES Pay 2018 Percent Potential Extension Rates of Total CTC Taxes Washington County 0.299830 27.77% 72,492 21,735 City of Oak Park Heights 0.544620 50.44% 72,492 39,481 Stillwater ISD No. 834 0.193490 17.92% 72,492 14,026 Other 0.041750 3.87% 72,492 3.027 Total 1.079690 100.00% 78,269 The estimates listed above display the captured tax capacity when all construction is completed. The tax rate used for calculations is the actual Pay 2018 rate. The total net capacity for the entities listed above are based on actual Pay 2018 figures. The District will be certified under the actual Pay 2018 rates and values. Pursuant to M.S. Section 469.175 Subd. 2(b): (1) Estimate of total tax increment It is estimated that the total amount of tax increment that will be generated over the life of the District is$1,740,841; (2) Probable iWact of the District on city provided services and ability to issue debt An impact of the District on police protection is expected. With the addition of new residents and a senior housing development, the number of police calls is anticipated to increase,specifically for medical related issues.The City does not expect that the proposed development,in and of itself,will necessitate new capital investment for the City's Police Department. The probable impact ofthe District on fire protection is not expected to be significant. Typically new buildings generate few calls,if any,and are of superior construction.The existing structures will be removed by the proposed new development. The impact of the District on public infrastructure is expected to be minimal. The development is City of Oak Park Heights Tax Increment Financing Plan for Tax Increment Financing District No.1-3 2-8 Page 76 of 114 not expected to significantly impact any traffic movements in the area.The current infrastructure for sanitary sewer,storm sewer and water will be able to handle the additional volume generated from the proposed development. Based on the development plans,there are no additional costs associated with street maintenance, sweeping,plowing,lighting and sidewalks. The probable impact of any District general obligation tax increment bonds on the ability to issue debt for general fund purposes is expected to be minimal. It is not anticipated that there will be any general obligation debt issued in relation to this project, therefore there will be no impact on the City's ability to issue future debt or on the City's debt limit. (3) Estimated amount of tax increment attributable to school district levies. It is estimated that the amount of tax increments over the life of the District that would be attributable to school district levies, assuming the school district's share of the total local tax rate for all taxing jurisdictions remained the same,is$311,959; (4) Estimated amount of tax increment attributable to county levies. It is estimated that the amount of tax increments over the life of the District that would be attributable to county levies,assuming the county's share of the total local tax rate for all taxing jurisdictions remained the same,is$483,432; (5) Additional information requested by the county or school district. The City is not aware of any standard questions in a county or school district written policy regarding tax increment districts and impact on county or school district services. The county or school district must request additional information pursuant to M.S. Section 469.175 Subd. 2(b) within 15 days after receipt of the tax increment financing plan. No requests for additional information from the county or school district regarding the proposed development for the District have been received. Subsection 2-15.Supporting Documentation Pursuant to M.S. Section 469.175, Subd. 1 (a), clause 7 the TIF Plan must contain identification and description of studies and analyses used to make the findings are required in the resolution approving the District. Following is a list of reports and studies on file at the City that support the City's findings: • Tax Increment Application dated February 2018 • Council memo Re:Proposed TIF District dated February 23,2018 Subsection 2-16.Definition of Tax Increment Revenues Pursuant to M.S.,Section 469.174,Subd.25,tax increment revenues derived from a tax increment financing district include all of the following potential revenue sources: 1. Taxes paid by the captured net tax capacity,but excluding any excess taxes,as computed under M.S., Section 469.177, 2. The proceeds from the sale or lease of property,tangible or intangible,to the extent the property was purchased by the authority with tax increments; 3. Principal and interest received on loans or other advances made by the authority with tax increments; 4. Interest or other investment earnings on or from tax increments; 5. Repayments or return of tax increments made to the Authority under agreements for districts for which the request for certification was made after August 1, 1993;and 6. The market value homestead credit paid to the Authority under M.S., Section 273.1384. City of Oak Park Heights Tax Increment Financing Plan for Tax Increment Financing District No.1-3 2-9 Page 77 of 114 Subsection 2-17.Modifications to the District In accordance with M.S., Section 469.175,Subd. 4,any: 1. Reduction or enlargement of the geographic area of the District,if the reduction does not meet the requirements of M.S., Section 469.175, Subd. 4(e); 2. Increase in amount of bonded indebtedness to be incurred; 3. A determination to capitalize interest on debt if that determination was not a part of the original TIF Plan; 4. Increase in the portion of the captured net tax capacity to be retained by the City; 5. Increase in the estimate ofthe cost ofthe District,including administrative expenses,that will be paid or financed with tax increment from the District;or 6. Designation of additional property to be acquired by the City, shall be approved upon the notice and after the discussion,public hearing and findings required for approval of the original TIF Plan. Pursuant to M.S.Section 469.175 Subd.4(t),the geographic area ofthe District may be reduced,but shall not be enlarged after five years following the date of certification of the original net tax capacity by the county auditor. If a housing district is enlarged, the reasons and supporting facts for the determination that the addition to the district meets the criteria of M.S., Section 469.174, Subd. 11 must be documented. The requirements of this paragraph do not apply if(1)the only modification is elimination of parcel(s)from the District and(2)(A)the current net tax capacity ofthe parcel(s)eliminated from the District equals or exceeds the net tax capacity of those parcel(s)in the District's original net tax capacity or(B)the City agrees that, notwithstanding M.S.,Section 469.177,Subd.1,the original net tax capacity will be reduced by no more than the current net tax capacity of the parcel(s)eliminated from the District. The City must notify the County Auditor of any modification to the District. Modifications to the District in the form of a budget modification or an expansion of the boundaries will be recorded in the TIF Plan. Subsection 2-18,Administrative Expenses In accordance with M.S., Section 469.174,Subd. 14, administrative expenses means all expenditures of the City,other than: 1. Amounts paid for the purchase of land; 2. Amounts paid to contractors or others providing materials and services,including architectural and engineering services,directly connected with the physical development of the real property in the District; 3. Relocation benefits paid to or services provided for persons residing or businesses located in the District; 4. Amounts used to pay principal or interest on,fund a reserve for,or sell at a discount bonds issued pursuant to M.S., Section 469.178;or 5. Amounts used to pay other financial obligations to the extent those obligations were used to finance costs described in clauses(1)to(3). For districts for which the request for certification were made before August 1, 1979,or after June 30, 1982, and before August 1,2001,administrative expenses also include amounts paid for services provided by bond counsel,fiscal consultants, and planning or economic development consultants. Pursuant to M.S., Section 469.176, Subd. 3, tax increment may be used to pay any authorized and documented administrative expenses for the District up to but not to exceed 10 percent ofthe total estimated tax increment expenditures City of Oak Park Heights Tax Increment Financing Plan for Tax Increment Financing District No.1-3 2-10 Page 78 of 114 authorized by the TIF Plan or the total tax increments,as defined by M.S.,Section 469.174,Subd.25,clause (1),from the District,whichever is less. For districts for which certification was requested after duly 31,2001,no tax increment may be used to pay any administrative expenses for District costs which exceed ten percent of total estimated tax increment expenditures authorized by the TIF Plan or the total tax increments,as defined inM.S.,Section 469.174,Subd. 25, clause(1),from the District,whichever is less. Pursuant to M.S., Section 469.176, Subd. 4h, tax increments may be used to pay for the County's actual administrative expenses incurred in connection with the District and are not subject to the percentage limits ofM.S.,Section 469.176,Subd.3. The county may require payment of those expenses by February 15 ofthe year following the year the expenses were incurred. Pursuant to M.S., Section 469. 177, Subd. 11,the County Treasurer shall deduct an amount(currently .36 percent)of any increment distributed to the City and the County Treasurer shall pay the amount deducted to the State Commissioner of Management and Budget for deposit in the state general fund to be appropriated to the State Auditor for the cost of financial reporting of tax increment financing information and the cost of examining and auditing authorities'use of tax increment financing. This amount may be adjusted annually by the Commissioner of Revenue. Subsection 2-19. Limitation of Increment The tax increment pledged to the payment of bonds and interest thereon may be discharged and the District may be terminated if sufficient funds have been irrevocably deposited in the debt service fund or other escrow account held in trust for all outstanding bonds to provide for the payment of the bonds at maturity or redemption date. Pursuant to M.S., Section 469.176, Subd. 6: if, after four years from the date of certification of the original net tax capacity of the tax incrementfinancing districtpursuant to M.S.,Section 469.177,no demolition,rehabilitation or renovation of property or other site preparation, including qualified improvement of a street adjacent to a parcel but not installation of utility service including sewer or water systems,has been commenced on a parcel located within a tax increment financing district by the authority or by the owner of the parcel in accordance with the tax incrementfinancing plan, no additional tax increment may be taken from that parcel, and the original net tax capacity of that parcel shall be excluded from the original net tax capacity of the tax increment financing district. If the authority or the owner of the parcel subsequently commences demolition,rehabilitation or renovation or othersitepreparation on thatparcel including qualified improvement of a street adjacent to that parcel, in accordance with the tax incrementfinancingplan,the authority shall certify to the county auditor that the activity has commenced and the county auditor shall certify the net tax capacity thereof as most recently certified by the commissioner of revenue and add it to the original net tax capacity of the tax increment financing district.The county auditor must enforce the provisions of this subdivision. The authority must submit to the county auditor evidence that the required activity has taken place for each parcel in the district. The evidence for a parcel must be submitted by February 1 of the fifth yearfollowing the year in which the parcel was certified as included in the district. For purposes of this subdivision, qualified improvements of a street are limited to(1)construction or opening of a new street, (2)relocation of a street, and(3)substantial reconstruction or rebuilding of an existing street. City of Oak Park Heights Tax Increment Financing Plan for Tax Increment Financing District No.1-3 2-11 Page 79 of 114 The City or a property owner must improve parcels within the District by approximately April 2022 and report such actions to the County Auditor. Subsection 2-20. Use of Tax Increment The City hereby determines that it will use 100 percent of the captured net tax capacity of taxable property located in the District for the following purposes: 1. To pay the principal of and interest on bonds issued to finance a project; 2. To finance, or otherwise pay the capital and administration costs of Development District No. 1 pursuant to MS., Sections 469.124 to 469.133; 3. To pay for project costs as identified in the budget set forth in the TIF Plan; 4. To finance,or otherwise pay for other purposes as provided in M.S., Section 469.176, Subd. 4; 5. To pay principal and interest on any loans,advances or other payments made to or on behalf of the City or for the benefit of Development District No. 1 by a developer; 6. To finance or otherwise pay premiums and other costs for insurance or other security guaranteeing the payment when due of principal of and interest on bonds pursuant to the TIF Plan or pursuant to MS., Chapter 462C.M.S., Sections 469.152 through 469.165, and/or M.S., Sections 469.178; and 7. To accumulate or maintain a reserve securing the payment when due of the principal and interest on the tax increment bonds or bonds issued pursuant to M.S., Chapter 462C, M.S., Sections 469.152 through 469.165,and/or M.S., Sections 469.178. Revenues derived from tax increment from a housing district must be used solely to finance the cost of housing projects as defined in M.S., Sections 469.174, Subd 11 and 469.1761. The cost of public improvements directly related to the housing projects and the allocated administrative expenses of the City may be included in the cost of a housing project. These revenues shall not be used to circumvent any levy limitations applicable to the City nor for other purposes prohibited by M.S., Section 469.176, Subd. 4. Tax increments generated in the District will be paid by Washington County to the City for the Tax Increment Fund of said District. The City will pay to the developer(s)annually an amount not to exceed an amount as specified in a developer's agreement to reimburse the costs of land acquisition, public improvements, demolition and relocation,site preparation,and administration. Remaining increment funds will be used for City administration(up to 10 percent)and for the costs of public improvement activities outside the District. Subsection 2-21. Excess Increments Excess increments,as defined in M.S.,Section 469.176,Subd.2,shall be used only to do one or more of the following: 1. Prepay any outstanding bonds; 2. Discharge the pledge of tax increment for any outstanding bonds; 3. Pay into an escrow account dedicated to the payment of any outstanding bonds;or 4. Return the excess to the County Auditor for redistribution to the respective taxing jurisdictions in proportion to their local tax rates. The City must spend or return the excess increments under paragraph(c)within nine months after the end of the year. In addition,the City may, subject to the limitations set forth herein,choose to modify the TIF Plan in order to finance additional public costs in Development District No. 1 or the District. City of Oak Park Heights Tax Increment Financing Plan for Tax Increment Financing District No.1-3 2-12 Page 80 of 114 Subsection 2-22. Requirements for Agreements with the Developer The City will review any proposal for private development to determine its conformance with the Development Program and with applicable municipal ordinances and codes. To facilitate this effort, the following documents may be requested for review and approval: site plan, construction, mechanical, and electrical system drawings,landscaping plan,grading and storm drainage plan,signage system plan,and any other drawings or narrative deemed necessary by the City to demonstrate the conformance ofthe development with City plans and ordinances. The City may also use the Agreements to address other issues related to the development. Pursuant to M.S., Section 469.176, Subd. 5, no more than 10 percent, by acreage, of the property to be acquired in the project area as set forth in the TIF Plan shall at any time be owned by the City as a result of acquisition with the proceeds of bonds issued pursuant to M.S.,Section 469.178 to which tax increments from property acquired is pledged, unless prior to acquisition in excess of 10 percent of the acreage, the City concluded an agreement for the development of the property acquired and which provides recourse for the City should the development not be completed. Subsection 2-23.Assessment Agreements Pursuant to M.S., Section 469.177, Subd. 8, the City may enter into a written assessment agreement in recordable form with the developer ofproperty within the District which establishes a minimum market value of the land and completed improvements for the duration of the District. The assessment agreement shall be presented to the County Assessor who shall review the plans and specifications for the improvements to be constructed,review the market value previously assigned to the land upon which the improvements are to be constructed and,so long as the minimum market value contained in the assessment agreement appears,in the judgment of the assessor,to be a reasonable estimate,the County Assessor shall also certify the minimum market value agreement. Subsection 2-24.Administration of the District Administration of the District will be handled by the City Administrator. Subsection 2-25.Annual Disclosure Requirements Pursuant to M.S.,Section 469.175,Subds.5, 6,and 6b the City must undertake financial reporting for all tax increment financing districts to the Office of the State Auditor, County Board and County Auditor on or before August 1 of each year. M.S.,Section 469.175,Subd. 5 also provides that an annual statement shall be published in a newspaper of general circulation in the City on or before August 15. If the City fails to make a disclosure or submit a report containing the information required by M.S.,Section 469.175 Subd. 5 and Subd. 6, the Office of the State Auditor will direct the County Auditor to withhold the distribution of tax increment from the District. City of Oak Park Heights Tax Increment Financing Plan for Tax Increment Financing District No.1-3 2-13 Page 81 of 114 Subsection 2-26. Reasonable Expectations As required by the TIF Act,in establishing the District,the determination has been made that the anticipated development would not reasonably be expected to occur solely through private investment within the reasonably foreseeable future. In making said determination, reliance has been placed upon written representation made by the developer to such effects and upon City staff awareness of the feasibility of developing the project site(s)within the District. Subsection 2-27.Other Limitations on the Use of Tax Increment 1. General Limitations. All revenue derived from tax increment shall be used in accordance with the TIF Plan. The revenues shall be used to finance, or otherwise pay the capital and administration costs of Development District No. 1 pursuant to M.S.,Sections 469.124 to 469.133. Tax increments may not be used to circumvent existing levy limit law. No tax increment may be used for the acquisition, construction,renovation,operation,or maintenance of a building to be used primarily and regularly for conducting the business of a municipality,county,school district,or any other local unit of government or the state or federal government. This provision does not prohibit the use of revenues derived from tax increments for the construction or renovation of a parking structure. 2. Housing District Exceptions to Restriction on Pooling, Five Year Limit. Pursuant to M.S., Section 469.1763, (1)At least 80%of revenues derived from tax increments paid by properties in the District must be expended on Public Costs incurred within said district,and up to 20%of said tax increments may be spent on public costs incurred outside of the District but within Development District No. 1;provided that in the case of a housing district,a housing project,as defined in M.S.,Section 469.174,Subd. 11, is deemed to be an activity in the District,even if the expenditure occurred after five years. Subsection 2-28. Summary The City of Oak Park Heights is establishing the District to provide an impetus for residential development and provide safe and decent life cycle housing in the City. The TIF Plan for the District was prepared by Ehlers&Associates,Inc.,3060 Centre Pointe Drive,Roseville,Minnesota 55113-1105,telephone(651)697- 8500. City of Oak Park Heights Tax Increment Financing Plan for Tax Increment Financing District No.1-3 2-14 Page 82 of 114 Appendix A Project Description Tax Increment Financing District No. 1-3 is being created to facilitate the construction of 72 rental units of affordable, senior housing on Lower 59'Street in the City of Oak Park Heights.The City has selected Green Twig Villas,LLLP,and Tim Nolde as the developer,and construction is anticipated to be started in the Spring 2018 with occupancy anticipated in Summer 2019.The developer has requested$200,000 in assistance for demolition and relocation of the existing townhomes on the site. It is anticipated that assistance will be provided in the form of a pay-as-you-go note. In addition, it is possible that the City may use increment to assist other other low-to moderate income housing projects in the City,but should require separate Council action. Appendix ,,,,, A-1 Page 83 of 114 Appendix B Map of Development District No. 1 and the District Appendix B-1 Page 84 of 114 City of Oak Park Heights Tax Increment Financing District 1-3(RED) Development District#1 (BLUE OUTLINE) o ®® � 0 IF DbbW 13 g �� 11 City of Oak Park Heights 14166Oh P.kels{N-Dw:D67.gkPhHdPN..1rL'C 310& K—tO114"3P-F-16-1)43MS74 Feet 950 1.900 9,800 5.700 7.600 w;rwwa•nnw v�matsncutmsuse.x+nan6a�asrra ssx m�v inoarmnsssrxn6s sut numnnr�ct�luA6awar3rmas rcd mcamAsa[aascsrswmavasyx�wm�ccmpµu�Tncoz9otur�'nnm Orre0.M 4116 l�1�S!D\'M DIY 9NT�9R 11�4Vf�fNyTif�iR.`•�T]A 9OCDaIIl KtCGTi[l<Ei6LT Page 85 of 114 Appendix C Description of Property to be Included in the District The District encompasses all property and adjacent rights-of-way and abutting roadways identified by the parcels listed below. Parcel Numbers Address Owner 05.029.20.11.0152 Unassigned Oakgreen Villa LLC 05.029.20.11.0153 Unassigned Oakgreen Villa LLC 05.029.20.11.0154 Unassigned Oakgreen Villa LLC 05.029.20.11.0155 Unassigned Oakgreen Villa LLC Appendix C-1 Page 86 of 114 Appendix D Estimated Cash Flow for the District Appendix Q1 Page 87 of 114 3/23,2018 Base Value Assumptions-Page 1 EHLERS MWERS Is Punic nINW( Green Twig Villas II-No Inflation City of oak Park Heights,MN 72 Units of Affordable,Senior Housing with Final 2018 Tax Rates ASSUrjpj IONS AND RATES Dishict7LPa: Housing Tax Ran District NWneNumhat: TF 13 County Di-- 0.. TBD Eitempt pass Rap(Exenpt) 0.00% FhstYiN rConstruction or Inflation on Value Me COMWG121 Industrial Proferred Gan Rahe(C0 Pref) ExiSting District-Speally Ms.Years Remaining First :180.000 IrAaten Rate-Every Year. 1.00% Over 5150,000 1.50°h Interest Rate: 2.00% Present Vans Dap: 1,aua 7e Commercial Industrial Class Rate(Cil) 2.00% First� g 1-Feb-20 Rental Housing Gan Rete(Rental) 125% Tax Year DhMct ww Certified: pay p18 First Afhrdable Rental Housing Cuss Rap(Af.Renal) Cesh9owAnumssFindFTax Ircroent mFor Development: 21121 $121,000 0,75-A Over $121,000 Yeere elTes haremant 28 NonHomespad Residential tkll) 0' % Aasunes Oat Year olTw kwem.nt 2046 (Non-FI Rea. Fecal Diap-Wn Election[Outside 1 �R) First 8500.000 Increments!w Total Fecal! es kadds(B),or NA n Over 8500.000 125% Fiscal Disparities Conhlmtian aRaid es Over Realdanenl Caws Rate(Hmstd.Res.) 125% 30.5193% Pay 2018 F1rt 8500,000 Fiscal DisparWes MatroWdk Tax Rate 145,0950% Pry 2018 Ovr , 000 140% Ltm"wnlFromn Loa!Tax Rap: 107.86!% Pry 2019 12514 Cumin Leal Tax Rate:(Use paver of Current a Maxa 107.969% Pry 2019 A�ic7derd Non#iortssked 1.00% Sptswide Tax Rate(Comm.Mtd.only used far told taxes) 43.9450% Pay 2018 Market Vous Tax Rate(!iced for pial tams) 0.19290% Pry 2018 Bumbill TeW reasonings TanYw Property t:urnaaat elms ARer Land Market Market Of Value Used Oft" OrlghW Tax OriBind Afar Conversion Ami ID rID Orrr-r Address Menet Value Vdw Value for IXstriet% Marten Vdw Market Value Cuss Tax Coravxslen O Tu Phase 1 e6D2a.20.1tA1� AVN 2 05.02RAIII.m53 O keaan Vib 100% ry 3,497 Aff.Renpl 9,487 3 a402e70mo1s4 wl.anvw 489,208 Pay 2011 Af.Rental 4 05.0211,20.1.0163 oaa Vjru 100% 77.300 Pry 2019 Aff.Renal 580 Af-Re" 580 100% 188,180 Pay2016 M.Rents 1,411 Aft.Rented 1,411 Note: 14.M lAam 1.Baso values am for preliminary Pay 2018 based upon market values prior to replatting. PW.Md by even a Aaroeatea,ane.-ers,.es 0,* N:Vanaongek res al.gtruwea-e:eeneam-sa+avaaaom■nitrtnP OremltaFlSfF rhn 00e.renafaPe.aen-Pg2018 FINAL-TIP PLAN Page 88 of 114 3232010 Base Value Assumptiaes-Pape 2 EHLERS "'up iN rtlatlC rINAMC[ Green Twig Villas II-No Inflation City of Oak Park Heights,MN 72 Units of Afrordakle,Senior Housing with Find 2919 Tax Ra as PROJECT INFORMATION Ma�rkat Vekle r. Property0 Paentape hrcarttapPercentage Flet Year MrketValw TOW Tpfgsd PJars T CoGCompleted Cot Gn� Full TansAreslPhass New Use hr .FtJUnk hr .FtAMA .FtNnas Value pass Tait 211' 020 n Afford.Rental 134,020 250.0mAlf. 1 1 1 % Subbobal Residential 72 ! Sublolmil omesrc Note: TAX CALCULATIONS Tan Disparities TSN Property Dkparldes Property Vslue Total 141 Now un uTax G Taxes Taxes Taxes Taws Tases Now: 1.Texas and tax Increment will vary significandy from yearto year depending upon vetoes,rotas,state law,fiscal disparities and other factow which cannot he predicted. WHAT IS EXCLUDED FROI`�l I 1�1 r,.ARKEI VALUE B NT I FOR ANALYSIS M awe r s tit- t. less Sats-wine Taws fi New Merkd Value-Est. 9,050M Mss Flied DMp.Aq. 0 Wibrence Masa N rket Value Taws (10,510) Pratent Vidus of Tax klcrarnent 0 Mss Base Value TaxesDHMrence rW es (1i,{f0 Annual OboTIF Value likely to occur without Tax Increment In Ices then: FeFa•d eY Eine a Are Jere,W-Edhofte 0* N:wenaeYxrek Welt INIpNeWeNhe-Etemntle-RtlerebgeedRlFmF WerkbRlF 7.91TIF Plan D,enaNemF aalear-WY 2er1 faL1L-TIF PUN Page 89 of 114 9232018 Ta Increment Cashllsw-Pop 3 EHLERS Green Twig Villas 11-No Inflation City of Oak Park Heights,MN 72 units o1Afbrdabb,ardor Hous9g with FMal2D18 Tax Roto • FLOW Pr.j.d Oripb al Flac. Copww Lee. Amu. amMnnwl, abdo AdmbL amFAmu. BmnWknnu. P NW- %of Too Too DNpsrbias Tax Tax Dreos Ta: Oms Tao AudMr a Net Tax Premoo ENDIN Tax Pgmwd OTC Co C bwremsnhl Co Rah bwarrrent lrvsmnd blersmant V" Ym Year Doh 0210120 080720 - 021ffi1 100% 87,685 (14,309) 63,378 107.980% 57,629 28,815 (104) (2,871) 25,840 23,410 0.5 2021 081721 26,815 (104) (2,671) 25,840 48,248 1 2021 02/01/12 100% 68,302 (14.309) 64.0107.69% 56,360 29,150 (1 05) (2,907) 28,167 60.812 1.5 2022 0870122 29,180 (105) (2,907) 25.167 90.828 2 2022 02/0123 100% 69,045 (14,300) - 64,736 107.969% 59,098 29,549 (108) (2.944) 28,498 71;675 25 2023 0811129 29,549 (105) (2,944) 28,496 133,793 3 2023 021124 100% 69.796 (14,309) - 55,427 107.989% 59,644 29,822 (108) (2,981) 20.833 154,754 3.6 2024 0610124 29.922 (108) (2,981) 28,833 175,206 4 2024 OM125 100% 70,433 (14,309) - 58,124 107.969% 60,597 21,450 (108) (2,981) 28,833 105,156 4.6 2026 08!0125 30,298 (100) (3,019) 27,170 214,888 5 2025 024728 100% 71,138 (14,309) - 56,828 107.969% 61,357 30,879 (1 11) (3,057) 27,511 234,337 6.6 2028 0619128 30,679 (110) (3,057) 27,611 253,332 6 2025 02111/17 1001A 71,849 (14,309) - 57,640 107.96946 62,125 31,063 (112) (3,095) 27,866 272,097 0.6 2027 0811127 31,083 (112) (3,096) 27,858 290,403 7 2027 024725 100% 72,587 (14,309) - 68,265 107.969% 62,001 31,46D (113) (3,134) 28,203 308,488 7.5 2028 080128 31,450 (113) 13.134) 28,209 326,125 0 2020 021129 100% 73293 (14,309) - 58,984 107.969% 63,684 31,912 (115) (3,173) 28,555 343:534 0.5 2029 C61129 31,942 (115) 13,173) 28,655 360,556 9 2029 02111130 100% 74.026 (14,309) - 59,717 107.959% 84.476 32,239 (116) (3.212) 28.910 377.348 9.5 2030 080120 32.238 (116) (3,212) 28,910 693,731 10 2D30 0211/31 100% 74,766 (14,309) - 60.457 107.989% 66,276 32,837 (117) (3,252) 28289 409,913 10.5 2031 0681111 32.037 (177) (3,262) 29,286 425,699 11 2031 0211132 100% 76,514 (14.309) - 61,205 107.969% 68,082 33.041 (11 9) (3,292) 29.630 411,292 11.5 2092 081101132 33,041 (119) (3,292) 29.630 450,504 12 2032 0217133 100% 76,269 (14,300) - 01,960 107.969% 68,897 33,449 (120) (3,333) 29,985 471,628 12.6 2033 081123 33,449 (120) (3,333) 29,905 485,768 13 2033 0211734 100% 77,032 (14,309) - 62,723 107.869% 67.721 33,660 (122) (3,374) 30.365 600.682 13.5 2034 08111/34 33,880 (122) (3,374) 30,365 514,785 14 2034 02/01/36 100% 77,802 (14,309) - 63,493 107.969% 65,553 34,276 (123) (3,415) 30,738 625,733 14.6 2036 05111135 34,276 (123) (3,415) 30,738 542,340 15 2035 02AIM 100% 78,580 (14,309) - 64,271 107,969% 69,393 34,686 (125) (3,457) 31,114 555,779 15.6 2038 06701136 34,686 (125) (3,467) 31,114 585,659 16 2036 0211/37 100% 79.986 (14.309) 85,057 107.989% 70.241 35,121 (126) (3.499) 31,495 561,537 16.6 2037 0991137 35,121 (126) (3,499) 31,495 594.468 17 2037 021128 100% 60.160 (14,309) - s6,s5o 707489% 71,098 35,548 (728) (3,642) 31,579 608,842 17.5 2038 08101/38 35.549 (128) (3,642) 31,870 619,111 16 2038 0211130 100% 80,061 (14.309) • 88,652 107.989% 71,953 35.62 (130) (3,685) 32,257 631,129 16.5 2039 O&MIA 35,082 (130) (3,685) 32,287 042,653 19 2039 0=114:100% 51,771 (14,308) - 67AM 107.060% 72,838 38,419 (131) (3,629) 32,659 654,430 19.5 2040 08111740 38.419 (131) (3.629) 32,669 665,724 20 2040 02/01141 100% 62,589 (14,309) - 68,279 107.969% 73,720 38,580 (133) (3,973) 33,055 670,677 20.5 2041 08701141 38,580 (133) (3,873) 33,055 687.758 21 2041 02107142 100% 83,414 (14,309) - 89,105 107.060% 74,812 37,306 (134) (3,717) 33,455 898,502 21.5 2692 08111142 37,306 11 34) (3,717) 33455 705,854 22 2042 0217143 100% 84,249 (14,309) 69,939 107.989% 75,513 37,756 (136) (3,782) 33,655 719,333 22.6 2843 08107143 37,758 (136) (3,782) 33,858 720,430 23 2043 02/01144 100% 85,091 (14,309) - 70.782 107.969% 76,422 38,211 (138) (3,807) 34,283 739,400 23.5 2044 00101/44 38.211 (138) (3,807) 34258 749.128 24 2014 0211146 100% 85,942 (14,309) 71,633 107.989% 77,341 38,871 (139) (3,863) 34.678 750.729 24.5 2046 D801145 35,671 (139) (31853) 34478 768,098 25 2616 0211/40 100% s6,s01 (14,308) - 72,492 107AM 75,269 38,135 (141) (8,890) 36,094 777,348 25.6 2046 08191146 8B 736 141 3 890 95 094 796.373 25 2046 0217147 aW 1,4,1 ( 3) f Prawn!V"Fmm 081112619 PmU A Y.uoRmh 104% MAN 17.1871 1894751 TNA77 P'W"bY61NnsA..dWW,M-&fi-WOdy htft a WOM Pok lYbet9 mAv-E-k-R dwAbF mFdTRiF DWAMTF IanF Plon Denw•,bW UYbr-Pq'm1BF1NAL-71F PLAN Page 90 of 114 Appendix E Housing Qualifications for the District INCOME RESTRICTIONS-ADJUSTED FOR FAMILY SIZE (HOUSING DISTRICT)-WASHINGTON COUNTY WASHINGTON COUNTY MEDIAN INCOME: $94,300 No. of Persons 50%of Median Income 60%of Median Income 1-person $33,050 $39,660 2-person $37,750 $45,300 3-person $42,450 $50,940 4-person $47,150 $56,580 Source: Department of Housing and Urban Development and Minnesota Housing Finance Agency The two options for rental income limits on a housing tax increment district are at least 20%of the units at 50%or less of area median gross income or at least 40%of the units at 60%or less of area median gross income. Appendix E-1 Page 91 of 114 Appendix F Findings for the District The reasons and facts supporting the findings for the adoption of the Tax Increment Financing Plan for Tax Increment Financing District No. 1-3,as required pursuant to Minnesota Statutes, Section 469.175, Subdivision 3 are as follows: 1. Finding that Tax Increment Financing District No. 1-3 is a housing district as defined in M.S., Section 469.174,Subd. 11. TIF District No. 1-3 consists of four parcels. The development will consist of affordable,rental units for seniors.All or a portion of the rental units will receive tax increment assistance and will meet income restrictions described in M.S. 469.1761. More specifically,at least 40 percent of the units receiving assistance will have incomes at or below 60 percent of area median gross income. Appendix E of the TIF Plan contains background for the above fording. 2. Finding that the proposed development, in the opinion of the City Council, would not reasonably be expected to occur solely through private investment within the reasonably foreseeable future. This finding is supported by the fact that the development proposed in this plan is a housing district that meets the City's objectives for development and redevelopment. The cost of demolition and removal of existing structures within the District makes this housing development infeasible without City assistance.Due to the high cost of building affordable new housing in the City and the cost of financing the proposed public improvements to serve the housing development,this project is feasible only through assistance,in part,from tax increment financing. The developer was asked for and provided information that the developer would not have gone forward without tax increment assistance. The increased market value of the site that could reasonably be expected to occur without the use of tax increment financing would be less than the increase in market value estimated to result from the proposed development after subtracting the present value of the projected tax incrementsfor the maximum duration of the TIFDistrictpermitted by the TIF Plan:This requirement does not apply to housing tax increment districts. 3. Finding that the TIF Plan for Tax Increment Financing District No. 1-3 conforms to the general plan for the development or redevelopment of the municipality as a whole. The Planning Commission reviewed the TIF Plan and found that the TIF Plan conforms to the general development plan of the City,as provided for in the City's current Comprehensive Plan. 4. Finding that the TIF Plan for Tax Increment Financing District No. 1-3 will afford maximum opportunity, consistent with the sound needs of the City as a whole,for the development or redevelopment of Development District No. 1 by private enterprise. Through the implementation of the TIF Plan,the City will provide an impetus for residential development,which is desirable or necessary for increased population and an increased need for life-cycle housing within the City. Appendix F-1 Page 92 of 114 Oak Park Heights Request for Council Action Meeting Date April 24t',2018 Time Required: 5 Minutes Agenda Item Title: CITY HALL FACILITY—DOOR ACCESS AND SECURITY Agenda Placement New Business Originating Department/Requestor: E ' on Cjjy Administrator Requester's Signature Action Requested Discussion, os9le Action Background/Justification(Please indicate if any previous action has been taken or if other public bodies have advised): Enclosed is a draft Request for Quotes (RFQ) that has been developed by the ad hoc City Hall Security committee to update systems and address issues—(such as:hardware replacements are no longer available and to separate the alarm systems from the door control systems). This group has met several times with the City's consultant to develop this RFQ and this time it is appropriate to issue the RFQ to determine costs and ultimately consider an award—possibly in June. The RFQ as generally outlined seeks to: 1. Replace the door control access systems,but generally keeps specific door hardware 2. Updates the cabling from each door system to the main hub which is anticipated to reduce errors. 3. To create easier operation by separating the door control management systems from the alarm management systems. The City's consultant from NAC estimates $48,000 for these updates and needed changes and is to be funded from bond funds remaining from the 2008/09 construction issuance which has a balance of$89,804. Such funds are generally restricted to capital expenditures for the City Hall. REQUESTED ACTIONS: Authorize staff to finalize the RFQ as needed to secure appropriate quotes and to issue such RFQ;AND to approve agreement with NAC for$1,291.00 as attached that will provide a comprehensive review of the received bids along with a recommendation. NOTE.Assuming the Council might award a bid,the City will need to further engage NACfor contract and project management oversight,as this remains a technical installation that relies upon hardware,software integration and system understanding that City Staff does not have expertise with;nor should a hired contractor be solely relied upon to execute that project That cost is estimated to be$3,871 but will be brought to the Council if an award is sought later. Page 93 of 114 tlt amu,.". AA City of Oak Park Heights Request for Quotes -City Hall Security 1 Door Access Management System. The City of Oak Park Heights is seeking the services of a contractor to provide all necessary services and equipment for the installation and activation of a City Hall Security / Door Access Management System—A.K.A—the"Project" PROJECT ELEMENTS: SEE APPENDIX A. PREVAILING CONDITIONS: 1. The Contractor shall include and provide the furnishing of all materials, equipment, labor, fasteners, permits, insurances, etc., to provide a complete and finished Project following applicable industry best practices and standards. It is the Contractors responsibility to secure all necessary measurements prior to submitting a quote. 2. Full Payment will be made once the City provides written final acceptance and full Lien Waivers are provided. No partial or progress payments will be made. 3. Contractor must be a licensed Minnesota Contractor. Verification will be required should your firm be awarded the project. 4. Contractor must fully complete the Project in not less than sixty(60)days from project acceptance by the City. The project acceptance date will be defined by the City providing a contractor a signed and notarized copy of the quote document and a final Agreement.Your quote is a binding legal document that you will complete the Project in the specified timeframe and with stated conditions. 5. The City may deduct 5 percent from amounts due for each day project is not complete beyond the 60-day requirement. 6. The City reserves the right to reject any and all submissions received for this project and for any reason. The City is not responsible for any costs associated with preparing a quote submission to the City or for non-award. 7. Contractors are required to visit the sites and take relevant measurements prior to submitting a quote. 8. Contractors quote shall be valid for 120 days from date of submission to the City. 9. The City shall not execute or sign any agreements drafted or provided by the Contractor. The terms and conditions of the RFQ shall prevail. Page 94 of 114 10. The Contractor may not subcontract this work to any other firm without the written consent of the City. 11. The Contractor shall provide documentation that they are fully bonded to perform the Project. 12. All work shall be performed during the City's regular business hours M-F 8:00 am to 4:30 PM. 13. The Contractor shall provide a BID SECUITY in the form of a CASHIER'S CHECK to the City of Oak Park Heights in an amount equal to 10% of their submitted quote but shall not be less than $5,000. This security shall be withheld by the City until the project is complete and fully accepted by the City. Non-selected bidders shall have these amounts refunded within 120 days. 14. The prevailing contractor shall provide a PERFORMCE BOND in a form suitable to the City that fully secures their work,equipment, and all aspects of their submission. 15. A final agreement between the City and Contractor shall be required prior to any work commencing. This agreement will include a full indemnification of the City should there be any loss incurred by the Contractor as it relates to this project. The Contractor, their staff or subcontractors will at no time be insured by the City. The City is not responsible for the health, safety and welfare for the Contractor, the Contractor's staff and/or sub-contractors. Follow all best site management practices. 16. Any items not reasonably anticipated to be included in the Proposal and/or issued RFQ in its shall be addressed based upon a time and materials basis following local industry standards and the Metro St. Paul, MN market costs.Any changes, additions or alterations shall be promptly implemented by the Contractor as directed (via the issuance of a written directive)by the Owner so as to not disrupt any timing and/or prompt execution of the Project.The Owner shall provide these directive in writing. The Owner and Contractor shall communicate regularly as to any necessary changes, additions or alterations. 17. The Contractor shall secure, pay for and attain all required permits and inspections. No payments will be made to the Contractor until the City building official provides a final inspection deeming the project as fully compliant with the Minnesota Building Code. 18. The Contractor shall provide a two-year warranty and shall cover all aspects of construction including all materials, software, computers, hardware and all necessary labor. The warranty shall commence upon final payment by the City. 19. Contractor is fully responsible for collateral damages to the worksite or facility including damages cause by Contractor's staff or sub-contractors. 20. Contractor shall be reimbursed by the City for City issued permit fees. 21. The Contractor is responsible for damages to the City's property as a result of executing this Project, including repairs to buildings, walls, computer equipment, wiring, backfilling and restoring of any additional grass or hard surface areas. Use care, best site management practices, and the right sized equipment for all project elements. Page 95 of 114 22. The Contractor would be responsible for any GOPHER-1 underground facility notifications and location of all underground facilities 23. Contractors are required to visit the site prior to submitting a quote. Contractors are responsible for all Gopher-1 contacts and actions.A final contract between the City and the prevailing contractor will be required (incorporating the terms and conditions of this RFB)including proof of insurance. Page 96 of 114 City of Oak Park Heights Request for Quotes-City Hall Security/Door Access Management System. QUOTE SUBMISSION PAGE—Due by 2 pm. RETURN TO: Eric Johnson,City Administrator City of Oak Park Heights 14168 Oak Park Blvd. PO BOX 2007 Stillwater,MN 55082 NOTE: THE CITY MAY SELECT ALL OPTIONS OR ANY OPTION SEPARATELY WITHOUT PENALTY. Print your Prices Clearly and in Ink/Type: Your Price Submitted Price: _$ ALSO:Bidders must include with their submission: 1. Bid Security equal to 10%of their Submitted pricing or$5,000 which ever is more. 2. Information about Firm-Complete Section 5.1 and submit as outlined Signature: Date Your Name: Your Title: (the person signing this document must be an owner or executive of such firm eligible to bind the company to the project) Firm Name: MN State Contractor Lic.# (Firm must be a licensed MN Contractor) Phone# Acceptance by the City: Date Eric Johnson,City Administrator Date Notary Page 97 of 114 APPENDIX A—PROJECT ELEMENTS 1.1. SUMMARY 1. Provide a complete Physical Access control system (PACS)including equipment, installation and warranty for securing the Oak Park Heights city hall and public works buildings. 2. Provide a complete intruder detection system including equipment, installation and warranty for securing the Oak Park Heights city hall and public works building PART 2 SYSTEM DESIGN REQUIREMENT; 2.1. PHYSICAL ACCESS CONTROL SYSTEM (PACS) A. Acceptable Manufacturer: 1. Hardware A. PACS control panels must be Mercury based and non-proprietary B. LifeSafety Power Mercury panel enclosures are required C. Any equipment manufacturer is acceptable for accessory hardware if its design and capabilities meet the requirements of this specification and as approved by the City 2. Software A. Any equipment manufacturer is acceptable if its design and capabilities expressly meet the requirements of this specification and as may approved by the City. B. SYSTEM DESIGN OVERVIEW 1. The Access Control solution shall be in the following form(s): A. Physical Access Control System Server a. Any communication, database or web server functions of the PACS must be installed and running on a local server. b. Server must reside in the Oak Park Heights city hall building server room c. Client software or web browser based End-user system management is acceptable—contractor shall provide either as required by the City and each shall be equal in pricing. d. Software or web based system management must communicate with the onsite PACS server. Hardware/panel based(embedded) management systems are not approved B. The PACS hardware must be comprised of two headend equipment locations a. Oak Park Heights city hall building located at 14168 Oak Park Blvd, and related facilities at the adjacent Public works Building a. All PACS intelligent controllers and control panels associated with the city hall building are to be located in city hall server room. Page 98 of 114 b. Use of PACS controllers outside of the server room is not approved c. Reuse and addition of field electronic locking hardware power supplies is acceptable. b. Oak Park Heights Public works building a. All PACS intelligent controllers and control panels associated with the public works building are to be located in the security equipment area of the public works building. b. Intelligent controller(s)must communicate to the PACS server via standard TCP/IP network connection. c. Reuse and addition of field electronic locking hardware power supplies is acceptable. C. The PACS architecture shall provide scalability with no server hardware or software upgrades to support the addition of: a. Card readers and/or input/output points b. Intelligent controllers and control panels System Operation overview c. All setup, maintenance, and interaction with the system shall be accomplished with no interaction with the operating system or directory structure. d. Interfacing with the PACS server shall be via a web browser or software client. a. Browser based interfaces must have one single point of connection(IP address) e. The PACS server shall: a. Act as the central repository for all system configuration and activity. b. Enable distributed decision-making at the intelligent Feld hardware controllers. f. Control panels must maintain complete functionality during periods where communication is lost between a server and its associated intelligent hardware controllers. 2.2. INTRUDER DETECTION SYSTEM A. Acceptable Manufacturer are as follows: 1. DSC 2. Honeywell 3. Bosch 4. GE 5. DMP B. System Design Overview. Page 99 of 114 1. Protected areas A. The following areas must operate independently via logical partition or use of separate control panel: a. Oak Park Heights Police department within the city hall building b. Public works building adjacent to the city hall building B. Arming/Disarming keypads a. System design of keypad placement must allow for arming and disarming in a way that minimizes the risk of false alarms. b. Oak Park Heights Police keypads must be located I the following locations: a. Lower Level Garage b. Rear Police Stairwell Entry c. Public Works building keypads must be located I the following locations: a. Front Entry b. Rear Entry C. System and user management a. Client software or web browser based End-user(user arming/disarming codes)system management is required. D. The intruder detection system control panel(s)and expansion equipment shall be located in two areas a. Oak Park Heights city hall building a. All intruder control panels are to be located in city hall server room. b. Use of zone input modules located outside of the server room is not approved. b. Oak Park Heights Public works building a. Intruder equipment must be located in specified equipment area of the public works building. c. All intruder"zone" inputs shall use wired connections d. Use of wireless zone devices is not approved 2. System Operation A. The following distinct methods of system arming and disarming are required: a. Manually from partition keypad b. Automatically via pre-programmed schedule c. Manually from software or web interface B. Protected partitions/locations must allow the following: a. Complete independent operation of: a. Manual or automated arming and disarming b. Manual zone bypassing Page 100 of 114 c. System user management b. Cross partition functions are not required C. System must have entry and exit delay to provided adequate time to arm or disarm the system a. Entry and exit delay must be adjustable by the City D. Central Station monitoring a. Intruder detection system must be monitored 24/7 b. Communication with central station must use IP or cellular communication paths c. Central station must allow flexible response types per zones and alarm types PART 3 TECHNICAL SYSTEM SPECIFICATIONS 3.1. PACS FUNCTIONALITY AND CAPABILITIES A. PACS Alarm Control Functionality 1. For each alarm and event in the system,Administrators shall have the option to: A. Automatically send an email message to a recipient. B. Create distinct schedules that shall be able to be assigned to different alarm types. C. Create distinct action for an alarm including: a. Mass denial of credentials(lock down) B. PACS Building Access Restrictions 1. Access Groups—An access group shall consist of card reader and schedule combinations. A. The PACS shall allow credential holder access to secure areas based on a. Card reader b. Time c. Day 2. Schedules—The PACS shall support the creation of schedules: A. Schedules shall serve as templates for application parameters including, but not limited to: a. Access groups b. Masking devices c. Device modes B. Schedule shall have the ability to be assigned a predetermined interval. a. Each interval shall have the ability to be assigned to any day(s)of the week. b. Shall be assigned to function as holiday types. C. Schedules shall be downloaded to all related intelligent controllers for local processing and decision making. Page 101 of 114 D. Schedules shall support conventional names up to 30 alphanumeric characters. 3. Holidays-The PACS shall allow specific dates and/or ranges to be defined as a holiday. A. The following parameters of the PACS can be temporarily altered, adjusted or suspended, including, but not limited to: a. Card reader modes b. An Identity's access rights c. Masking Schedules. 4. Card Reader Options-The PACS shall allow the following options to be defined for card readers in the system: A. Specify the off-line mode operations should the card reader lose communications with the intelligent controller. B. Extended Cardholder Door Held Open Time-The PACS shall allow a card reader's door held open time to be extended beyond the normal configured time a. PACS shall be able to define application of this functionality by a. Card reader b. Credential holder 5. Card Reader Scheduled Mode Overrides-The PACS shall support the ability for card reader modes to be overridden from the standard mode on a scheduled basis. 6. Multiple Card Formats-The PACS, intelligent controller,and card readers shall all support a minimum of 8 card formats, including but not limited to: A. Wiegand B. The PACS shall support any industry standard format that uses: a. A card number b. A facility code c. An issue code combination C. PACS Custom Function Abilities 1. Input and output linkages shall be capable on a panel level for custom programed actions without intervention from the PACS server 2. Server linkages with additional functionality not available from panel linkages shall be available with assistance from the PACS server D. Identity Management Functionality 1. Identity Management Integration-The PACS shall offer an integrated Identity Management and Enrollment functionality as part of the core system functionality. 2. Data Import-The PACS shall have to ability to import Identity records and their associated image in a standard JPEG format. 3. The PACS shall provide a pre-configured one-time import utility, using standard Comma Separated Value(.csv)or similar files that shall allow the import of Identity information. Page 102 of 114 4. Identity Enrollment-The PACS shall allow individual enrollment of identities. Each Identity shall allow entry of required and optional fields. 5. A Credential shall be created and assigned during enrollment by the Operator and without additional fees. 6. Credential Re-Issuance: A. The Operator shall be able to deactivate,activate and re-activate existing credentials. 7. Access group modifications or assignments shall be automatically downloaded to the appropriate intelligent controllers: A. Without Operator intervention B. Completed as a push communication immediately after an Identity record is saved. Scheduled, batch updated are not accepted. 8. Credential Activation and Deactivation Dates-The PACS shall support activation and deactivation dates for all Credentials created. A. All access rights of a Credential shall be eliminated after the deactivation date. B. Should the Identity become authorized for access again, new access rights shall be applicable to the same Credential, and re-issue shall not be required. 9. PIN Codes-The PACS shall support up to 8-digit PIN codes. A. Each credential holder in the PACS shall have the ability to choose a PIN to be associated with their record. B. A credential holder's PIN shall have the ability to be changed should the original PIN code be compromised. 10. Credential Options-The PACS shall support industry standard pre-encoded physical credential options including listed, but shall be the final choice of the Operator without change in fee or cost A. Composite Credentials such as PVC cards B. Proximity Credentials including dual PVC technology that includes both proximity and magnetic stripe technology C. Contact Smart Credentials D. MiFare Credentials E. DESFIRE Credentials F. HID Klass Credentials 11. Multiple Active Credentials-The PACS shall allow Identities to have multiple active Credentials associated with their record. 12. Revoke Credential Access-The PACS shall allow Operators to revoke access privileges from a credential holder by updating that credential holder's Credential status. A. A Credential with Revoked access shall immediately stop functioning at all card readers. 13. Search Capabilities-The PACS shall have the ability to search Identities 14. Control Hardware Device Status-The PACS shall support real-time system status that depicts all field hardware devices configured. Page 103 of 114 A. The real-time system status shall list at a minimum the following: a. Intelligent controllers b. Input Control Modules c. Alarm inputs d. Relay outputs e. Card readers f. The hardware status shall show the real-time status of all these devices (on-line vs. off-line,alarms activated, masking status, etc.). E. System Monitoring and Administration 1. Alarm and Event Logging-The PACS shall track and keep a comprehensive log of all alarm and event activity 2. Administrators shall be able to suppress certain alarms from logging during pre- defined scheduled times of the day. 3. Operator Accounts-The PACS shall support Operator Accounts. A. Each Operator Account shall require a unique user name password to access the system. B. Each Operator Account shall also be assigned a Role,which shall determine the permission level for that account, thus controlling what functions the Operator can perform in the system. 4. Operator Control of Field Hardware Devices-The PACS shall allow Operators to manually control the state of field hardware devices and their input/output points from the Alarm Monitor. A. Card Readers a. Manually control reader state or based on current schedule a. Unlocked b. Locked c. Pulse the Door Open d. Restore the Door to its Correct State B. Outputs a. Manually control reader state or based on current schedule a. Turn on b. Turn off c. Pulse outputs 5. The PACS shall utilize a last command wins methodology. For example if an output is set to off due to a schedule and an Operator manually turns it on,then the output will remain on until it is manually turned off or until the next scheduled interval occurs. 6. Buttons in the Graphical User Interface(GUI)shall be available to control the operational state of the door including: A. Lock B. Unlock Page 104 of 114 C. Grant D. Restore(normal operation) 7. Door Summary and Status Page-The PACS shall support a Door Summary and Status Page that shall display a list of all doors defined in the system. For each door in the system, the Door Summary and Status Page shall display: A. Current Door Mode B. Door Status 8. Reports-The PACS shall support system, database and transaction reports. A. Standard PACS reports shall include the following or similar functioning reports: a. Audit Log Report b. Identity Report c. Panel Report d. Credential Report e. Transaction Report 9. System Backups-The PACS shall have the ability to backup and restore all user and hardware configuration data A. Backups shall be performed. a. Automatically on a predefined daily schedule b. Manually via the user interface B. Backups shall be stored on external physical drive(network or local) 3.2. INTRUDER DETECTION SYSTEM (IDS) A. IDS FUNCTIONALITY AND CAPABILITES 1. Intruder detection system must support A. Supports up to 80 zones. B. Supports up to 5 separate partitions. C. Supports up to 40 users. D. Support up to 8 keypads. E. Provides supervision of peripheral devices. F. Supports long-range radio(LRR)communication. G. Provides scheduling capability to allow for automated operations. H. Supports alarm reporting via Internet. 2. Area protection A. System must be partitioned or use separate dedicated control panels a. Must be expandable up to 5 partitions without upgrading hardware. B. Protected areas must be secured using industry standard device including but not limited to: a. Door Position switches Page 105 of 114 b. Motion detection sensors c. Glass Break sensors C. Arming and disarming keypad a. Must have the ability to be partition/location specific a. Must not display information from other partition/locations b. Must not operate other partitions/locations 3. System administration—Intruder system must include management software or web portal for use by end-user. A. End-user software or web based management interface must provide the following functions: a. Password protected access to the management software or web portal b. View listing of current intruder system user codes c. User codes must have custom alphanumeric"name"or similar field d. The ability to assign users to one or more partitions/locations e. The ability to disable a user's code f. The ability to disable a user's access to the software or web interface g. The ability to delete users 4. Central station monitoring- Intruder system must be monitored for alarms at all times A. Control panel must be capable of transmitting the following a. Alarms with zone details b. Trouble/service with condition details c. Arming/open with user details d. Disarming/close with user detail e. Exit fault f. Timer test B. Communications must be sent via IP or cellular communications paths PART 4 EXECUTION 4.1. SUMMARY A. Provide installation, programming, testing and training for complete functional physical access control and intruder detection systems at the Oak Park Heights city hall and public works buildings. B. All installation and programming must be completed directly by contractor. Use of sub-contractors for security technology equipment installation and programming work is not approved. C. Any items not reasonably anticipated to be included in the Proposal and/or issued RFQ in its shall be addressed based upon time and materials basis following local industry standards and the Metro St. Paul, MN market costs. Page 106 of 114 Any changes, additions or alterations shall be promptly implemented by the Contractor as directed (via the issuance of a written directive) by the Owner so as to not disrupt any timing and/or prompt execution of the Project. The Owner shall provide these directive in writing. The Owner and Contractor shall communicate regularly as to any necessary changes, additions or alterations. 4.2. INSTALLATION A. Cabling 1. All cabling to provide complete functioning PACS and IDS systems must be provided by contractor 2. All cabling shall be(at a minimum) (type?) 3. All cabling must meet or exceed all systems manufacturers requirements 4. All cabling must meet or exceeded requirements set by electrical code, building code or any authority have jurisdiction. 5. Cabling must be run in workmanlike manner and properly supported 6. Headend cabling must be clearly labeled 7. Physical Access Control system A. Bundled access control cabling or similar required to accommodate the following from headend location to doors: as Card readers with LED control b. Request to exits c. Double pole double throw door position switches a. Position status to both PACS and IDS d. Electronic locking hardware control and/or power e. Network connection for panel communications 8. Intruder detection system A. Cabling to accommodate the following a. Keypads b. Sirens c. Door position switches a. One four conductor cable to double pole double throw(DPDT) position switch for both PACS and IDS is acceptable on access controlled doors B. Equipment 1. Physical Access Control system A. All control panels and equipment required for a complete functioning PACS must be supplied by the contractor B. Reuse of the following equipment is acceptable a. Card Readers b. Request to exits Page 107 of 114 c. Electronic Door locking hardware d. Electronic Door locking hardware power supplies e. Existing PACS server 2. Intruder Detection System A. All control panels and equipment required for a complete functioning IDS must be supplied by the contractor B. DPDT Position switches are required on all access controlled doors C. Approval required for reuse of any equipment with the exception of: a. Door contacts on non-access controlled doors b. Security sirens 3. Software installation A. All server software required for functioning PACS and IDS must be installed by contractor B. All client software required for functioning PACS and IDS must be installed by contractor C. Reuse of existing client workstations and PACS server is approved. 4. System Programming A. PACS a. The contractor must provide programming required for a complete functioning physical access control system. b. The contractor must complete the following programming within the PACS: a. Label doors b. Create access groups c. Create schedules for access and door auto locking/unlocking d. Create one year of holidays e. Import card holder database from previous PACS system f. Create master user for system management B. IDS a. The contractor must provide programming required for a complete functioning intruder detection system b. The contractor must complete the following programming within the IDS: a. Label security zones b. Create independent systems or partitions • Oak Park Heights Police • Public works building c. Create master user for system management d. Establish communications with central station monitoring center via cellular or IP Communication C. Documentation Page 108 of 114 a. As-built drawings including but not limited to following must be provided upon competition of the installation of both PACS and IDS: a. Control panel locations b. Field equipment locations c. Main Cable pathways b. User manuals for all installed control panels c. Installation manuals for all installed control panels and related equipment D. Systems Training a. Contractor must provide comprehensive systems training in two forms a. Formal training with systems administrators • Training will cover all aspects of managing both the PACS and IDS b. Informal training with end-users • Training will cover day to day interactions with the IDS PART 5 CONTRACTOR REQUIREMENTS 5.1. CONTRACTOR BID REQUIREMENTS A. Bid must provide contractors qualifications including but not limited to: 1. Years in business 2. Number of employees 3. List of three references from Minnesota or Wisconsin municipalities A. Include Municipality name, contact name and phone number or email address 4. Certificates from employee completed manufacture training on proposed systems B. System Design Options 1. Intruder detection system bid must include door perimeter security. 2. Intruder detection system may include add-on option for interior detection devices. C. Reoccurring costs 1. Bid must list any required, recommended or optional reoccurring costs for systems including but not limited to: A. Central station monitoring B. Software service agreements C. Extended warranties D. Regular system testing Page 109 of 114 E. Regular software updates D. Systems warranty and service A. Systems equipment, programming and installation shall be warrantied from defects for two years from date of completed installation, programming and training. B. Contractor must have a 24 hour onsite response time for service. Page 110 of 114 i GENERAL NOTES - . a��ppeggs.��``� -em K Al 'q.di r8B4'Jtu"s»s".n.......�e� e J 4 KEY NOTES r B w..wd paw"oro.+.."n..."rm.o..ans w"...". ;9' E'T"— ? s. m � e �• ®w�•Sio9'R@T9'99A5ffi.a�.�...""rmm � r!/iJ � .. J i y: SYMBOL SCHEDULE --. +. F.. ••• { :� i ®' �' 4 • _ d. F >, •5; { - �[. ,.—..........4;^., t � ., .. . ._. - .. .p o o,>r 'i�lm:- �e. A, _ ... iii J. -07 a ur.au. �•� ^ 'L � i •.v rs�rw rilsn..mn . 1 95 �. • S.h•R -e, .-<.._,... 1 ��;• ... } �'T _.l ! ' °' " ��.;,�,� � •tea � .�� J '�CI LL LOWER FLOOR PLAN — SYSTEMS T ti X11,• I� Page 111 of 114 H 6C. i r p w G • u 6 pg 1 GENERAL NUTES !N `}�� _yjx, + • IE:!• �{ .• 'Iss• i9 •c�nsais oaw srarrau.e ' v / vegaarrr o.re.�..onr�a•.r ay.mua.r rmw - t • 9 �0 4 O� � w�+- 0! •�( i wa4r"` ."CA. "' .�mr �..�:i"'•'� I �� - �- .� Y a 4 � �X a w'y�• ,Rd5• .+� • � �� rM 1p KEY NOUS ; '-` ( `*i1 o ' - ♦ i �V I ��: n."'l�,-. 4�.. - 0 w • ZO 4. >:EiG I '_�-•_-•iti �__��. it �1 7--�-.wp® I j._ sr a - mss... e m � � 1-�'T• - �.� -p � of w e69.A.L MAIN FLOOR PLAN - SYSTEMS ]+' gra ET-E 1128pg: E3.2 Page 112 of 114 A fill iI1 i i P_U%A,aRODM FLOOR PLAN-SYSTEMS Q�e&&WORKS FLOOR PLAN -SYSTEMS ' j GENERAL NOTES +s.enw$�w�•or�+ww w w.w www wxa�.s rwmi..a.waawc x.au� (y e.¢mx�.swxr..•eu�wa..w.s+or wxr � f 1 R oerwwl.�grloJ.p v¢Y r.�YewAS Mu�xa WAww�wdx��wR. • x a� KEY NOTES 1E4.41 Page 113 of 114 Dan Van Ampting i Account Manager 651-2.55-3572 Direct 1001 Labore Industrial Court,Suite B 651-245-1472 Cell =V= Vadnais Heights,MN 55110 dvanampting@nac-hvac.com 2/12/2018 Oak Park Heights City Hall ATTN: Eric Johnson 14168 Oak Park Blvd. N. Oak Park Heights,MN 55082 Re:Security Access System Consultation-NAC is pleased to offer the following pricing for the referenced project Overview/Scope of Work: bid review and recommendation 1. Review contractor bids a. Remove any contractor bids that do not meet the technical specification for the project b. Highlight key differences in remaining bids c. Provided report on the differences between bids and how they affect project cost, operation of the system(s)and overall security of the building 2. Discuss and recommend a. Discuss findings with the committee b. Provide recommendation for bid selection based on discussion Client Investment: $1,291 Project Note(s): 1. Proposal based upon regular weekday working hours 2. Any work beyond the above scope not in this proposal will be quoted for your approval prior to proceeding. Thank you for the opportunity to provide a solution&design for your consideration. If you have any questions, please call me. Accepted by: NAC MECHANISA &ELECTRI L SERVICES Signature: Signature: / Name: Name: Dan Van Ampti Title: Title: Account Manager Date: Date: 2/12/2018 Mechanical > Electrical - Fabrication Building Technology � 24 Hour Service Page 114 of 114