HomeMy WebLinkAbout2019-06-24 City Council Meeting Minutes
MINUTES
MAPLEWOOD CITY COUNCIL
7:00 P.M. Monday, June 24, 2019
City Hall, Council Chambers
Meeting No. 12-19
A. CALL TO ORDER
A meeting of the City Council was held in the City Hall Council Chambers and was called to
order at 7:00 p.m. by Mayor Abrams.
Mayor Abrams reported that a local Maplewood cat named Felix had made National News and
was doing fine after going through a 45 minute wash cycle.
B. PLEDGE OF ALLEGIANCE
C. ROLL CALL
Marylee Abrams, Mayor Present
Kathleen Juenemann, Councilmember Present
William Knutson, Councilmember Present
Sylvia Neblett, Councilmember Present
Bryan Smith, Councilmember Present
D. APPROVAL OF AGENDA
The following item was added to the agenda:
J6 Consider Purchase Offer to Sell City Owned Property at Londin Lane
a. Intent to Close Meeting (§13D.05 subd. 3c)
Councilmember Smith moved to approve the agenda as amended.
Seconded by Councilmember Juenemann Ayes – All
The motion passed.
E. APPROVAL OF MINUTES
1. Approval of June 10, 2019 City Council Workshop Minutes
Councilmember Neblett moved to approve the June 10, 2019 City Council Workshop Minutes
as submitted.
Seconded by Councilmember Smith Ayes – All
The motion passed.
2. Approval of June 10, 2019 City Council Meeting Minutes
Agenda item F3, add to the sentence the word “to”. Agenda item F2, change grand opening to
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ground breaking.
Councilmember Neblett moved to approve the June 10, 2019 City Council Meeting Minutes as
amended.
Seconded by Councilmember Smith Ayes – All
The motion passed.
F. APPOINTMENTS AND PRESENTATIONS
1. Administrative Presentations
a. Council Calendar Update
City Manager Coleman gave an update to the council calendar; reviewed other topics of
concern or interest requested by councilmembers; and gave an overview of upcoming events
in the community.
2. Council Presentations
None
G. CONSENT AGENDA
Councilmember Juenemann moved to approve agenda items G1-G6.
Seconded by Councilmember Knutson Ayes – All
The motion passed.
1. Approval of Claims
Councilmember Juenemann moved to approve the approval of claims.
ACCOUNTS PAYABLE:
$ 279,133.27 Checks #103762 thru #103793
dated 06/05/19 thru 06/11/19
$ 350,677.75 Disbursements via debits to checking account
dated 06/03/19 thru 06/07/19
$ 311,128.47 Checks # 103794 thru #103836
dated 06/12/19 thru 06/18/19
$ 524,682.87 Disbursements via debits to checking account
dated 06/10/19 thru 06/14/19
$ 1,465,622.36 Total Accounts Payable
PAYROLL
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$ 587,741.50 Payroll Checks and Direct Deposits dated 06/14/19
$ 2,486.66 Payroll Deduction check # 99103787 thru # 99103790 dated 06/14/19
$ 590,228.16 Total Payroll
$ 2,055,850.52 GRAND TOTAL
Seconded by Councilmember Knutson Ayes – All
The motion passed.
2. Budget Adjustments and Transfers
Councilmember Juenemann moved to approve the budget adjustments and debt service
transfers dated 6/24/2019 and authorize the Finance Director to make the necessary
accounting entries.
Seconded by Councilmember Knutson Ayes – All
The motion passed.
3. Purchase Additional Trash Carts for the Maplewood Trash Plan
Councilmember Juenemann moved to approve the purchase agreement with Otto
Environmental Systems N.A., Inc. for the purchase of 787 additional trash carts to be used in
the Maplewood Trash Plan.
Seconded by Councilmember Knutson Ayes – All
The motion passed.
4. Resolution of Support for the 2019 EcoExperience Energy Display Grant
Councilmember Juenemann moved to approve the resolution of support for the 2019
EcoExperience Energy Display grant.
Resolution 19-06-1709
Resolution of Support for the 2019 EcoExperience Energy Display Grant
WHEREAS, Maplewood’s 2040 Comprehensive Plan includes energy goals for
reducing greenhouse gas emissions.
WHEREAS, Maplewood has been invited to spotlight our Clean Energy projects at the
2019 Minnesota State Fair EcoExperience on Thursday, August 29, 2019.
WHEREAS, the Minnesota Department of Commerce, in partnership with the
Minnesota Pollution Control Agency, is offering all participating EcoExperience Clean Energy
Cities a grant in the amount of $2,500.
WHEREAS, the grant funds will be used to cover the cost of creating an energy display
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and attending the State Fair.
WHEREAS, as part of the grant opportunity, the City of Maplewood will enter into a
State of Minnesota Grant Contract that outlines the term of the grant, use of the funds, etc.
(Exhibit 1).
WHEREAS, Maplewood’s participation in the 2019 EcoExperience will allow the City to
display our energy projects with displays, photographs, story boards, games, and public
service announcements. It will also offer an opportunity to inspire and motivate the public to
take action on clean energy projects in their own home town.
NOW, THEREFORE, IT IS HEREBY RESOLVED for and on behalf of the City of
Maplewood, Minnesota and its citizens, that the City Council supports the efforts to seek the
2019 EcoExperience Energy Display Grant in the amount of $2,500.
Seconded by Councilmember Knutson Ayes – All
The motion passed.
5. Purchase Five 2020 Police Vehicles
Councilmember Juenemann moved to approve the purchase of five 2020 police vehicles.
Seconded by Councilmember Knutson Ayes – All
The motion passed.
6. Resolution to Conduct Off-Site Gambling for the White Bear Avenue Business
Association at the Ramsey County Fair
Councilmember Juenemann moved to approve the Resolution to Conduct Off-Site Gambling
for the White Bear Avenue Business Association from Wednesday, July 10, 2019 through
Sunday, July 14, 2019 during the Ramsey County Fair.
Resolution 19-06-1710
City Approval to Conduct Off-Site Gambling Within City Limits
White Bear Avenue Business Association
WHEREAS, White Bear Avenue Business Association has submitted an Application to
Conduct Off-Site Gambling at the Ramsey County Fair Grounds, 2020 White Bear Avenue in
Maplewood, MN 55109; and
WHEREAS, the off-site gambling will take place during the Ramsey County Fair on
Wednesday, July 10, 2019 through Sunday, July 14, 2019.
BE IT HEREBY RESOLVED, by the City Council of Maplewood, Minnesota, that
Application to Conduct Off-Site Gambling is approved for White Bear Avenue Business
Association during the date stated above.
FURTHERMORE, that the Maplewood City Council requests that the Gambling Control
Board approve said permit application as being in compliance with Minnesota Statute
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§349.213.
NOW, THEREFORE, be it further resolved that this Resolution by the City Council of
Maplewood, Minnesota, be forwarded to the Gambling Control Board for their approval.
Seconded by Councilmember Knutson Ayes – All
The motion passed.
H. PUBLIC HEARINGS
None
I. UNFINISHED BUSINESS
1. Resolution Awarding the Sale of General Obligation Bonds, Series 2019A
Finance Director Paulseth introduced the agenda item. Bruce Kimmel, Senior Municipal
Advisor with Ehlers addressed the council to give the report.
Councilmember Smith moved to approve the Resolution Awarding the Sale of the General
Obligation Bonds, Series 2019A, in the Aggregate Principal Amount of $4,475,000; Fixing their
Form and Specifications; Directing their Execution and Delivery; and Providing for their
Payment.
Resolution 19-06-1711
Awarding the Sale of General Obligation Bonds, Series 2019A, in the
Aggregate Principal Amount of $4,475,000; Fixing their Form and
Specifications; Directing their Execution and Delivery; and Providing for
their Payment
BE IT RESOLVED by the Council of the City of Maplewood, Ramsey County, Minnesota
(the “City”) as follows:
Section 1. Sale of Bonds.
1.01. Authorization for Sale of Bonds. Pursuant to a resolution adopted by the City
Council on May 28, 2019, the City authorized the sale of its General Obligation Bonds, Series
2019A (the “Bonds”), for the following purposes:
(a) to finance in part the expense incurred and estimated to be incurred in
making improvements including the reconstruction of certain streets and associated curb
and gutter and utility replacement, designated by the City as the Ferndale-Ivey Area
Street Improvement Project, City Project 18-01, and the full-depth reclamation of
pavement and underlying materials with respect to certain streets and associated curb
and gutter and utility replacement designated by the City as the Mailand-Crestview
Forest Area Pavement Rehabilitation Project, City Project18-27 (collectively, the
“Assessable Improvements”), pursuant to Minnesota Statutes, Chapters 429 and 475,
as amended (collectively, the “Improvement Act”); and
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(b) to finance the reconstruction of certain streets, including various storm
sewer, sanitary sewer, watermain, and stormwater utility improvements, designated by
the City as the Gladstone Phase 3 Corridor Improvements, City Project 16-18 (the “Utility
Improvements”), pursuant to Minnesota Statutes, Chapters 444 and 475, as amended
(collectively, the “Utility Revenue Act”); and
1.02. Award to the Purchaser and Interest Rates. The proposal of The Baker Group (the
“Purchaser”) to purchase the Bonds of the City is hereby found and determined to be a
reasonable offer and is hereby accepted, the proposal being to purchase the Bonds at a price
of $4,637,986.21 (par amount of $4,475,000.00, plus original issue premium of $204,444.50,
less underwriter’s discount of $41,458.29), plus accrued interest to date of delivery, if any, for
Bonds bearing interest as follows:
Year Interest Rate Year Interest Rate
2021 3.000% 2029 3.000%
2022 3.000 2030 3.000
2023 3.000 2031 2.500
2024 3.000 2032 2.500
2025 3.000 2033 2.500
2026 3.000 2034 2.500
2027 3.000 2035 2.500
2028 3.000
True interest cost: 2.2662715%
1.03. Purchase Contract. The sum of $216,686.21, being the amount proposed by the
Purchaser in excess of $4,421,300.00, shall be deposited in the accounts of the Debt Service
Fund hereinafter created or deposited in the accounts of the Construction Fund hereinafter
created, as determined by the Finance Director of the City (the “Finance Director”) in
consultation with Ehlers & Associates, Inc., the City’s municipal advisor (the “Municipal
Advisor”). The Finance Director is directed to deposit the good faith check or deposit of the
Purchaser, pending completion of the sale of the Bonds, and to return the good faith deposits of
the unsuccessful proposers. The Mayor and City Manager are directed to execute a contract
with the Purchaser on behalf of the City.
1.04. Terms and Principal Amounts of the Bonds. The City will forthwith issue and sell
the Bonds pursuant to the Improvement Act and the Utility Revenue Act (collectively, the “Act”)
in the total principal amount of $4,475,000, originally dated July 18, 2019, in the denomination
of $5,000 each or any integral multiple thereof, numbered No. R-1, upward, bearing interest as
above set forth, and maturing serially on February 1 in the years and amounts as follows:
Year Amount Year Amount
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2021 $245,000 2029 $305,000
2022 250,000 2030 315,000
2023 260,000 2031 325,000
2024 265,000 2032 330,000
2025 265,000 2033 340,000
2026 285,000 2034 345,000
2027 290,000 2035 355,000
2028 300,000
(a) $3,380,000 of the Bonds (the “Improvement Bonds”), maturing on February
1 in the years and amounts set forth below, are being used to finance the Assessable
Improvements:
Year Amount Year Amount
2021 $185,000 2029 $230,000
2022 190,000 2030 240,000
2023 195,000 2031 245,000
2024 200,000 2032 250,000
2025 200,000 2033 255,000
2026 215,000 2034 260,000
2027 220,000 2035 270,000
2028 225,000
(b) $1,095,000 of the Bonds (the “Utility Revenue Bonds”), maturing on
February 1 in the years and amounts set forth below, are being used to finance the Utility
Improvements:
Year Amount Year Amount
2021 $60,000 2029 $75,000
2022 60,000 2030 75,000
2023 65,000 2031 80,000
2024 65,000 2032 80,000
2025 65,000 2033 85,000
2026 70,000 2034 85,000
2027 70,000 2035 85,000
2028 75,000
1.05. Optional Redemption. The City may elect on February 1, 2028, and on any day
thereafter to prepay Bonds due on or after February 1, 2029. Redemption may be in whole or in
part and if in part, at the option of the City and in such manner as the City will determine. If less
than all Bonds of a maturity are called for redemption, the City will notify DTC (as defined in Section
8 hereof) of the particular amount of such maturity to be prepaid. DTC will determine by lot the
amount of each participant’s interest in such maturity to be redeemed and each participant will then
select by lot the beneficial ownership interests in such maturity to be redeemed. Prepayments will
be at a price of par plus accrued interest.
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Section 2. Registration and Payment.
2.01. Registered Form. The Bonds will be issued only in fully registered form. The
interest thereon and, upon surrender of each Bond, the principal amount thereof, is payable by
check or draft issued by the Registrar described herein.
2.02. Dates; Interest Payment Dates. Each Bond will be dated as of the last interest
payment date preceding the date of authentication to which interest on the Bond has been paid
or made available for payment, unless (i) the date of authentication is an interest payment date
to which interest has been paid or made available for payment, in which case the Bond will be
dated as of the date of authentication, or (ii) the date of authentication is prior to the first interest
payment date, in which case the Bond will be dated as of the date of original issue. The interest
on the Bonds is payable on February 1 and August 1 of each year, commencing February 1,
2020, to the registered owners of record thereof as of the close of business on the fifteenth day
of the immediately preceding month, whether or not that day is a business day.
2.03. Registration. The City will appoint a bond registrar, transfer agent, authenticating
agent and paying agent (the “Registrar”). The effect of registration and the rights and duties of
the City and the Registrar with respect thereto are as follows:
(a) Register. The Registrar must keep at its principal corporate trust office a
bond register in which the Registrar provides for the registration of ownership of Bonds
and the registration of transfers and exchanges of Bonds entitled to be registered,
transferred or exchanged.
(b) Transfer of Bonds. Upon surrender for transfer of a Bond duly endorsed
by the registered owner thereof or accompanied by a written instrument of transfer, in
form satisfactory to the Registrar, duly executed by the registered owner thereof or by
an attorney duly authorized by the registered owner in writing, the Registrar will
authenticate and deliver, in the name of the designated transferee or transferees, one or
more new Bonds of a like aggregate principal amount and maturity, as requested by the
transferor. The Registrar may, however, close the books for registration of any transfer
after the fifteenth day of the month preceding each interest payment date and until that
interest payment date.
(c) Exchange of Bonds. When Bonds are surrendered by the registered
owner for exchange the Registrar will authenticate and deliver one or more new Bonds
of a like aggregate principal amount and maturity as requested by the registered owner
or the owner’s attorney in writing.
(d) Cancellation. Bonds surrendered upon transfer or exchange will be
promptly cancelled by the Registrar and thereafter disposed of as directed by the City.
(e) Improper or Unauthorized Transfer. When a Bond is presented to the
Registrar for transfer, the Registrar may refuse to transfer the Bond until the Registrar is
satisfied that the endorsement on the Bond or separate instrument of transfer is valid
and genuine and that the requested transfer is legally authorized. The Registrar will
incur no liability for the refusal, in good faith, to make transfers which it, in its judgment,
deems improper or unauthorized.
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(f) Persons Deemed Owners. The City and the Registrar may treat the
person in whose name a Bond is registered in the bond register as the absolute owner
of the Bond, whether the Bond is overdue or not, for the purpose of receiving payment
of, or on account of, the principal of and interest on the Bond and for all other purposes
and payments so made to registered owner or upon the owner’s order will be valid and
effectual to satisfy and discharge the liability upon the Bond to the extent of the sum or
sums so paid.
(g) Taxes, Fees and Charges. The Registrar may impose a charge upon the
owner thereof for a transfer or exchange of Bonds, sufficient to reimburse the Registrar
for any tax, fee or other governmental charge required to be paid with respect to the
transfer or exchange.
(h) Mutilated, Lost, Stolen or Destroyed Bonds. If a Bond becomes mutilated
or is destroyed, stolen or lost, the Registrar will deliver any new Bond of like amount,
number, maturity date and tenor in exchange and substitution for and upon cancellation
of the mutilated Bond or in lieu of and in substitution for a Bond destroyed, stolen or lost,
upon the payment of the reasonable expenses and charges of the Registrar in
connection therewith; and, in the case of a Bond destroyed, stolen or lost, upon filing
with the Registrar of evidence satisfactory to it that the Bond was destroyed, stolen or
lost, and of the ownership thereof, and upon furnishing to the Registrar of an appropriate
bond or indemnity in form, substance and amount satisfactory to it and as provided by
law, in which both the City and the Registrar must be named as obligees. Bonds so
surrendered to the Registrar will be cancelled by the Registrar and evidence of such
cancellation must be given to the City. If the mutilated, destroyed, stolen or lost Bond
has already matured or been called for redemption in accordance with its terms it is not
necessary to issue a new Bond prior to payment.
(i) Redemption. In the event any of the Bonds are called for redemption, notice
thereof identifying the Bonds to be redeemed will be given by the Registrar by mailing a
copy of the redemption notice by first class mail (postage prepaid) to the registered owner
of each Bond to be redeemed at the address shown on the registration books kept by the
Registrar and by publishing the notice if required by law. Failure to give notice by
publication or by mail to any registered owner, or any defect therein, will not affect the
validity of the proceedings for the redemption of Bonds. Bonds so called for redemption
will cease to bear interest after the specified redemption date, provided that the funds for
the redemption are on deposit with the place of payment at that time.
2.04. Appointment of Initial Registrar. The City appoints Bond Trust Services
Corporation, Roseville, Minnesota, as the initial Registrar. The Mayor and the City Manager are
authorized to execute and deliver, on behalf of the City, a contract with the Registrar. Upon
merger or consolidation of the Registrar with another corporation, if the resulting corporation is
a bank or trust company authorized by law to conduct such business, the resulting corporation
is authorized to act as successor Registrar. The City agrees to pay the reasonable and
customary charges of the Registrar for the services performed. The City reserves the right to
remove the Registrar upon 30 days’ notice and upon the appointment of a successor Registrar,
in which event the predecessor Registrar must deliver all cash and Bonds in its possession to
the successor Registrar and must deliver the bond register to the successor Registrar. On or
before each principal or interest due date, without further order of this Council, the City Manager
must transmit to the Registrar monies sufficient for the payment of all principal and interest then
due.
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2.05. Execution, Authentication and Delivery. The Bonds will be prepared under the
direction of the City Manager and executed on behalf of the City by the signatures of the Mayor
and the City Manager, provided that those signatures may be printed, engraved or lithographed
facsimiles of the originals. If an officer whose signature or a facsimile of whose signature
appears on the Bonds ceases to be such officer before the delivery of a Bond, that signature or
facsimile will nevertheless be valid and sufficient for all purposes, the same as if the officer had
remained in office until delivery. Notwithstanding such execution, a Bond will not be valid or
obligatory for any purpose or entitled to any security or benefit under this resolution unless and
until a certificate of authentication on the Bond has been duly executed by the manual signature
of an authorized representative of the Registrar. Certificates of authentication on different Bonds
need not be signed by the same representative. The executed certificate of authentication on a
Bond is conclusive evidence that it has been authenticated and delivered under this Resolution.
When the Bonds have been so prepared, executed and authenticated, the City Manager will
deliver the same to the Purchaser upon payment of the purchase price in accordance with the
contract of sale heretofore made and executed, and the Purchaser is not obligated to see to the
application of the purchase price.
2.06. Temporary Bonds. The City may elect to deliver in lieu of printed definitive Bonds
one or more typewritten temporary Bonds in substantially the form set forth in EXHIBIT B
attached hereto, with such changes as may be necessary to reflect more than one maturity in a
single temporary bond. Upon the execution and delivery of definitive Bonds the temporary
Bonds will be exchanged therefor and cancelled.
Section 3. Form of Bond.
3.01. Execution of the Bonds. The Bonds will be printed or typewritten in substantially
the form as attached hereto as EXHIBIT B.
3.02. Approving Legal Opinion. The City Manager is directed to obtain a copy of the
proposed approving legal opinion of Kennedy & Graven, Chartered, Minneapolis, Minnesota,
which is to be complete except as to dating thereof and to cause the opinion to be printed on or
accompany each Bond.
Section 4. Payment; Security; Pledges and Covenants.
4.01. Debt Service Fund. The Bonds are payable from the General Obligation Bonds,
Series 2019A Debt Service Fund (the “Debt Service Fund”) hereby created. The Debt Service
Fund shall be administered by the Finance Director as a bookkeeping fund separate and apart
from all other funds maintained in the official financial records of the City. The City will maintain
the following accounts in the Debt Service Fund: the “Improvement Bonds Account” and the
“Utility Revenue Bonds Account.” Amounts in the Improvement Bonds Account are irrevocably
pledged to the Improvement Bonds and amounts in the Utility Revenue Bonds Account are
irrevocably pledged to the Utility Revenue Bonds.
(a) Improvement Bonds Account. Proceeds of special assessments imposed
on properties in the City specially benefited by the Assessable Improvements (the
“Assessments”) and ad valorem taxes hereinafter levied are hereby pledged to the
Improvement Bonds Account of the Debt Service Fund. In addition, there is appropriated
to the Improvement Bonds Account of the Debt Service Fund other funds of the City for
the payment of the principal of, premium, if any, and interest on the Improvement Bonds.
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There is also appropriated to the Improvement Bonds Account of the Debt Service Fund
a pro rata portion of (i) capitalized interest financed from Bond proceeds, if any;
(ii) amounts over the minimum purchase price of the Bonds paid by the Purchaser, to
the extent designated for deposit in the Debt Service Fund in accordance with
Section 1.03 hereof; and (iii) accrued interest, if any.
(b) Utility Bonds Account. The City will continue to maintain and operate its
Storm Sewer, Sanitary Sewer, Watermain, and Stormwater Funds to which will be credited
all gross revenues of the storm sewer, sanitary sewer, and watermain, and stormwater
systems, respectively, and out of which will be paid all normal and reasonable expenses of
current operations of such systems. Any balances therein are deemed net revenues (the
“Net Revenues”) and will be transferred, from time to time, to the Utility Bonds Account of
the Debt Service Fund, which Utility Bonds Account will be used only to pay principal of
and interest on the Utility Revenue Bonds and any other bonds similarly authorized.
There will always be retained in the Utility Bonds Account a sufficient amount to pay
principal of and interest on all the Utility Revenue Bonds, and the Finance Director must
report any current or anticipated deficiency in the Utility Bonds Account to the City
Council. There is also appropriated to the Utility Bonds Account of the Debt Service
Fund a pro rata portion of (i) capitalized interest financed from Bond proceeds, if any;
(ii) amounts over the minimum purchase price of the Bonds paid by the Purchaser, to
the extent designated for deposit in the Debt Service Fund in accordance with
Section 1.03 hereof; and (iii) accrued interest, if any.
4.02. Construction Fund. The City hereby creates the General Obligation Bonds,
Series 2019A Construction Fund (the “Construction Fund”). The City will maintain the following
accounts in the Construction Fund: the “Improvement Bonds Account” and the “Utility Revenue
Bonds Account.” Amounts in the Improvement Bonds account are irrevocably pledged to the
Improvement Bonds and amounts in the Utility Revenue Bonds Account are irrevocably pledged
to the Utility Revenue Bonds.
(a) Improvement Bonds Account. Proceeds of the Improvement Bonds, less
the appropriations made in Section 4.01(a), together with any other funds appropriated
for the Assessable Improvements, Assessments and ad valorem taxes collected during
the construction of the Assessable Improvements, will be deposited in the Improvement
Bonds Account of the Construction Fund to be used solely to defray expenses of the
Assessable Improvements. When the Assessable Improvements are completed and the
costs thereof paid, the Improvement Bonds Account of the Construction Fund is to be
closed and any balance therein is to be deposited in the Improvement Bonds Account of
the Debt Service Fund.
(b) Utility Revenue Bonds Account. Proceeds of the Utility Revenue Bonds,
less the appropriations made in Section 4.01(b) hereof, together with any other funds
appropriated for the Utility Improvements and Net Revenues from the storm sewer,
sanitary sewer, watermain, and stormwater systems collected during construction of the
Utility Improvements, will be deposited in the Utility Revenue Bonds Account of the
Construction Fund to be used solely to defray expenses of the Utility Improvements. When
the Utility Improvements are completed and the cost thereof paid, the Utility Revenue Bonds
Account of the Construction Fund is to be closed and any balance therein is to be deposited
in the Utility Revenue Bonds Account of the Debt Service Fund.
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4.03. City Covenants with Respect to the Improvement Bonds. It is hereby determined
that the Assessable Improvements will directly and indirectly benefit abutting property, and the
City hereby covenants with the holders from time to time of the Improvement Bonds as follows:
(a) The City has caused or will cause the Assessments for the Assessable
Improvements to be promptly levied so that the first installment will be collectible not later
than 2019 and will take all steps necessary to assure prompt collection, and the levy of
the Assessments is hereby authorized. The City Council will cause to be taken with due
diligence all further actions that are required for the construction of each Assessable
Improvement financed wholly or partly from the proceeds of the Improvement Bonds,
and will take all further actions necessary for the final and valid levy of the Assessments
and the appropriation of any other funds needed to pay the Improvement Bonds and
interest thereon when due.
(b) In the event of any current or anticipated deficiency in Assessments and
ad valorem taxes, the City Council will levy additional ad valorem taxes in the amount of
the current or anticipated deficiency.
(c) The City will keep complete and accurate books and records showing
receipts and disbursements in connection with the Assessable Improvements,
Assessments and ad valorem taxes levied therefor and other funds appropriated for their
payment, collections thereof and disbursements therefrom, monies on hand and, the
balance of unpaid Assessments.
(d) The City will cause its books and records to be audited at least annually
and will furnish copies of such audit reports to any interested person upon request.
(e) At least 20% of the cost of the Assessable Improvements described
herein will be specially assessed against benefited properties.
4.04. City Covenants with Respect to the Utility Revenue Bonds. The City Council
covenants and agrees with the holders of the Utility Revenue Bonds that so long as any of the
Utility Revenue Bonds remain outstanding and unpaid, it will keep and enforce the following
covenants and agreements:
(a) The City will continue to maintain and efficiently operate the storm sewer,
sanitary sewer, watermain, and stormwater systems as public utilities and conveniences
free from competition of other like municipal utilities and will cause all revenues therefrom
to be deposited in bank accounts and credited to the Storm Sewer, Sanitary Sewer,
Watermain and Stormwater Funds, as hereinabove provided, and will make no
expenditures from these accounts except for a duly authorized purpose and in
accordance with this resolution.
(b) The City will also maintain the Utility Bonds Account of the Debt Service
Fund as a separate account and will cause money to be credited thereto from time to
time out of Net Revenues from the storm sewer, sanitary sewer, watermain and
stormwater systems in sums sufficient to pay principal of and interest on the Utility
Revenue Bonds when due.
(c) The City will keep and maintain proper and adequate books of records
and accounts separate from all other records of the City in which will be complete and
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correct entries as to all transactions relating to the storm sewer, sanitary sewer, watermain
and stormwater systems and which will be open to inspection and copying by any
Bondholder, or the Bondholder’s agent or attorney, at any reasonable time, and it will
furnish certified transcripts therefrom upon request and upon payment of a reasonable
fee therefor, and said account will be audited at least annually by a qualified public
accountant and statements of such audit and report will be furnished to all Bondholders
upon request.
(d) The City Council will cause persons handling revenues of the storm
sewer, sanitary sewer, watermain and stormwater systems to be bonded in reasonable
amounts for the protection of the City and the Bondholders and will cause the funds
collected on account of the operations of such systems to be deposited in a bank whose
deposits are guaranteed under the Federal Deposit Insurance Act.
(e) The City Council will keep the storm sewer, sanitary sewer, watermain and
stormwater systems insured at all times against loss by fire, tornado and other risks
customarily insured against with an insurer or insurers in good standing, in such amounts
as are customary for like plants, to protect the holders, from time to time, of the Utility
Revenue Bonds and the City from any loss due to any such casualty and will apply the
proceeds of such insurance to make good any such loss.
(f) The City and each and all of its officers will punctually perform all duties
with reference to the storm sewer, sanitary sewer, watermain and stormwater systems as
required by law.
(g) The City will impose and collect charges of the nature authorized by
Section 444.075 of the Utility Revenue Act, at the times and in the amounts required to
produce Net Revenues adequate to pay all principal and interest when due on the Utility
Revenue Bonds and to create and maintain such reserves securing said payments as
may be provided in this resolution.
(h) The City Council will levy general ad valorem taxes on all taxable property
in the City when required to meet any deficiency in Net Revenues.
4.05. General Obligation Pledge. For the prompt and full payment of the principal of and
interest on the Bonds, as the same respectively become due, the full faith, credit and taxing powers
of the City will be and are hereby irrevocably pledged. If the balance in the Debt Service Fund is
ever insufficient to pay all principal and interest then due on the Bonds and any other bonds payable
therefrom, the deficiency will be promptly paid out of monies in the general fund of the City which
are available for such purpose, and such general fund may be reimbursed with or without interest
from the Debt Service Fund when a sufficient balance is available therein.
4.06. Pledge of Tax Levy. For the purpose of paying the principal of and interest on
the Improvement Bonds, there is levied a direct annual irrepealable ad valorem tax (the “Taxes”)
upon all of the taxable property in the City, which will be spread upon the tax rolls and collected
with and as part of other general taxes of the City. The Taxes in the years and amounts as
attached hereto as EXHIBIT C will be credited to the Improvement Bonds Account of the Debt
Service Fund, respectively, as provided above.
4.07. No Tax Levy as to Utility Revenue Bonds. It is determined that estimated collection
Net Revenues from the storm sewer, sanitary sewer, watermain and stormwater systems of the
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City will produce at least five percent (5%) in excess of the amount needed to meet when due on
the Utility Revenue Bonds, and that no tax levy is needed at this time with respect to the Utility
Revenue Bonds.
4.08. Certification to County Auditor as to Debt Service Fund Amount. It is hereby
determined that the estimated collections of Taxes, Assessments, and Net Revenues will
produce at least five percent in excess of the amount needed to meet when due the principal
and interest payments on the Bonds. The tax levy herein provided for the Bonds is irrepealable
until all of the Bonds are paid, provided that at the time the City makes its annual tax levies the
Finance Director may certify to the Director of Property Records and Revenue of Ramsey County,
Minnesota (the “County Auditor”) the amount available in the Debt Service Fund to pay principal
and interest due during the ensuing year, and the County Auditor will thereupon reduce the levy
collectible during such year by the amount so certified.
4.09. Filing of Resolution. The City Manager is authorized and directed to file a certified
copy of this resolution with the County Auditor and to obtain the certificate required by Section
475.63 of the Act.
4.010. Payment of Costs of Issuance. The City authorizes the Purchaser to forward the
amount of Bond proceeds allocable to the payment of issuance expenses to Old National Bank,
Chaska, Minnesota on the closing date for further distribution as directed by the Municipal Advisor.
Section 5. Authentication of Transcript.
5.01 City Proceedings and Records. The officers of the City are authorized and
directed to prepare and furnish to the Purchaser and to the attorneys approving the Bonds,
certified copies of proceedings and records of the City relating to the Bonds and to the financial
condition and affairs of the City, and such other certificates, affidavits and transcripts as may be
required to show the facts within their knowledge or as shown by the books and records in their
custody and under their control, relating to the validity and marketability of the Bonds, and such
instruments, including any heretofore furnished, may be deemed representations of the City as
to the facts stated therein.
5.02 Certification as to Official Statement. The Mayor and City Manager are authorized
and directed to certify that they have examined the Official Statement prepared and circulated
in connection with the issuance and sale of the Bonds and that to the best of their knowledge
and belief the Official Statement is a complete and accurate representation of the facts and
representations made therein as of the date of the Official Statement.
5.03 Other Certificates. The Mayor, the City Manager, and the Finance Director are
hereby authorized and directed to furnish to the Purchaser at the closing such certificates as are
required as a condition of sale. Unless litigation shall have been commenced and be pending
questioning the Bonds or the organization of the City or incumbency of its officers, at the closing
the Mayor and City Manager shall also execute and deliver to the Purchaser a suitable certificate
as to absence of material litigation, and the Finance Director shall also execute and deliver a
certificate as to payment for and delivery of the Bonds.
Section 6. Tax Covenants.
6.01 Tax-Exempt Bonds. The City covenants and agrees with the holders from time to
time of the Bonds that it will not take or permit to be taken by any of its officers, employees or agents
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any action which would cause the interest on the Bonds to become subject to taxation under the
Internal Revenue Code of 1986, as amended (the “Code”), and the Treasury Regulations
promulgated thereunder, in effect at the time of such actions, and that it will take or cause its
officers, employees or agents to take, all affirmative action within its power that may be necessary
to ensure that such interest will not become subject to taxation under the Code and applicable
Treasury Regulations, as presently existing or as hereafter amended and made applicable to the
Bonds. To that end, the City will comply with all requirements necessary under the Code to
establish and maintain the exclusion from gross income of the interest on the Bonds under Section
103 of the Code, including without limitation requirements relating to temporary periods for
investments, limitations on amounts invested at a yield greater than the yield on the Bonds, and
the rebate of excess investment earnings to the United States (unless the City qualifies for any
exemption from rebate requirements based on timely expenditure of proceeds of the Bonds, in
accordance with the Code and applicable Treasury Regulations).
6.02 Not Private Activity Bonds. The City further covenants not to use the proceeds
of the Bonds or to cause or permit them or any of them to be used, in such a manner as to cause
the Bonds to be “private activity bonds” within the meaning of Sections 103 and 141 through
150 of the Code.
6.03 Qualified Tax-Exempt Obligations. In order to qualify the Bonds as “qualified tax-
exempt obligations” within the meaning of Section 265(b)(3) of the Code, the City makes the
following factual statements and representations:
(a) the Bonds are not “private activity bonds” as defined in Section 141 of the
Code;
(b) the City designates the Bonds as “qualified tax-exempt obligations” for
purposes of Section 265(b)(3) of the Code;
(c) the reasonably anticipated amount of tax-exempt obligations (other than
private activity bonds that are not qualified 501(c)(3) bonds) which will be issued by the City
(and all subordinate entities of the City) during calendar year 2019 will not exceed
$10,000,000; and
(d) not more than $10,000,000 of obligations issued by the City during calendar
year 2019 have been designated for purposes of Section 265(b)(3) of the Code.
6.04 Procedural Requirements. The City will use its best efforts to comply with any
federal procedural requirements which may apply in order to effectuate the designations made
by this section.
Section 7. Book-Entry System; Limited Obligation of City.
7.01 The Depository Trust Company. The Bonds will be initially issued in the form of a
separate single typewritten or printed fully registered Bond for each of the maturities set forth in
Section 1.04 hereof. Upon initial issuance, the ownership of each Bond will be registered in the
registration books kept by the Registrar in the name of Cede & Co., as nominee for The
Depository Trust Company, New York, New York, and its successors and assigns (“DTC”).
Except as provided in this section, all of the outstanding Bonds will be registered in the
registration books kept by the Registrar in the name of Cede & Co., as nominee of DTC.
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7.02 Participants. With respect to Bonds registered in the registration books kept by
the Registrar in the name of Cede & Co., as nominee of DTC, the City, the Registrar and the
Paying Agent will have no responsibility or obligation to any broker dealers, banks and other
financial institutions from time to time for which DTC holds Bonds as securities depository (the
“Participants”) or to any other person on behalf of which a Participant holds an interest in the
Bonds, including but not limited to any responsibility or obligation with respect to (i) the accuracy
of the records of DTC, Cede & Co. or any Participant with respect to any ownership interest in
the Bonds, (ii) the delivery to any Participant or any other person (other than a registered owner
of Bonds, as shown by the registration books kept by the Registrar) of any notice with respect
to the Bonds, including any notice of redemption, or (iii) the payment to any Participant or any
other person, other than a registered owner of Bonds, of any amount with respect to principal
of, premium, if any, or interest on the Bonds. The City, the Registrar and the Paying Agent may
treat and consider the person in whose name each Bond is registered in the registration books
kept by the Registrar as the holder and absolute owner of such Bond for the purpose of payment
of principal, premium and interest with respect to such Bond, for the purpose of registering
transfers with respect to such Bonds, and for all other purposes. The Paying Agent will pay all
principal of, premium, if any, and interest on the Bonds only to or on the order of the respective
registered owners, as shown in the registration books kept by the Registrar, and all such
payments will be valid and effectual to fully satisfy and discharge the City’s obligations with
respect to payment of principal of, premium, if any, or interest on the Bonds to the extent of the
sum or sums so paid. No person other than a registered owner of Bonds, as shown in the
registration books kept by the Registrar, will receive a certificated Bond evidencing the obligation
of this resolution. Upon delivery by DTC to the City Manager of a written notice to the effect that
DTC has determined to substitute a new nominee in place of Cede & Co., the words “Cede &
Co.” will refer to such new nominee of DTC; and upon receipt of such a notice, the City Manager
will promptly deliver a copy of the same to the Registrar and Paying Agent.
7.03 Representation Letter. The City has heretofore executed and delivered to DTC
a Blanket Issuer Letter of Representations (the “Representation Letter”) which shall govern
payment of principal of, premium, if any, and interest on the Bonds and notices with respect to
the Bonds. Any Paying Agent or Registrar subsequently appointed by the City with respect to
the Bonds will agree to take all action necessary for all representations of the City in the
Representation Letter with respect to the Registrar and Paying Agent, respectively, to be
complied with at all times.
7.04 Transfers Outside Book-Entry System. In the event the City, by resolution of the
City Council, determines that it is in the best interests of the persons having beneficial interests
in the Bonds that they be able to obtain Bond certificates, the City will notify DTC, whereupon
DTC will notify the Participants, of the availability through DTC of Bond certificates. In such
event the City will issue, transfer and exchange Bond certificates as requested by DTC and any
other registered owners in accordance with the provisions of this Resolution. DTC may
determine to discontinue providing its services with respect to the Bonds at any time by giving
notice to the City and discharging its responsibilities with respect thereto under applicable law.
In such event, if no successor securities depository is appointed, the City will issue and the
Registrar will authenticate Bond certificates in accordance with this resolution and the provisions
hereof will apply to the transfer, exchange and method of payment thereof.
7.05 Payments to Cede & Co. Notwithstanding any other provision of this Resolution
to the contrary, so long as a Bond is registered in the name of Cede & Co., as nominee of DTC,
payments with respect to principal of, premium, if any, and interest on the Bond and notices with
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respect to the Bond will be made and given, respectively in the manner provided in DTC’s
Operational Arrangements, as set forth in the Representation Letter.
Section 8. Continuing Disclosure. The City covenants and agrees that it will comply
with and carry out all of the provisions of the Continuing Disclosure Certificate. “Continuing
Disclosure Certificate” means that certain Continuing Disclosure Certificate executed by the
Mayor and the City Manager and dated the date of issuance and delivery of the Bonds, as
originally executed and as it may be amended from time to time in accordance with the terms
thereof. Notwithstanding any other provision of this resolution, failure of the City to comply with
the Continuing Disclosure Certificate is not to be considered an event of default with respect to
the Bonds; however, any Bondholder may take such actions as may be necessary and
appropriate, including seeking mandate or specific performance by court order, to cause the City
to comply with its obligations under this Section.
Section 9. Defeasance. When all Bonds and all interest thereon have been
discharged as provided in this section, all pledges, covenants and other rights granted by this
resolution to the holders of the Bonds will cease, except that the pledge of the full faith and credit
of the City for the prompt and full payment of the principal of and interest on the Bonds will remain
in full force and effect. The City may discharge all Bonds which are due on any date by
depositing with the Registrar on or before that date a sum sufficient for the payment thereof in full.
If any Bond should not be paid when due, it may nevertheless be discharged by depositing with
the Registrar a sum sufficient for the payment thereof in full with interest accrued to the date of
such deposit.
Seconded by Councilmember Juenemann Ayes – All
The motion passed.
J. NEW BUSINESS
1. Penalties for Alcohol Compliance Failures
City Clerk Sindt gave the staff report. Ewald Adeda, General Manager with Chipotle
addressed the council to give information on the compliance failure for Chipotle; Derek Allen,
General Manager with Red Lobster addressed the council to give information on the
compliance failure for Red Lobster; Chris Sarrack, Owner of Sarrack’s addressed the council
to give information on the compliance failure for Sarrack’s.
Councilmember Juenemann moved to approve the compliance failure penalties as proposed
by staff.
Seconded by Councilmember Knutson Ayes – All
The motion passed.
2. On-Sale Intoxicating Liquor and Sunday Sales License for Naocha Sees, LLC
(d/b/a Unison), 1800 White Bear Avenue, Suites A & B
City Clerk Sindt gave the staff report. Kalia Moua, Chia Moua and Nu Moua owners of the
business were present and addressed the council. Kalia Moua gave information about the
business to the council. Chia Moua gave additional information.
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Councilmember Juenemann moved to approve the On-Sale Intoxicating Liquor and Sunday
Sales license for Naocha Sees, LLC (d/b/a Unison) at 1800 White Bear Avenue, Suites A & B.
Seconded by Councilmember Smith Ayes – All
The motion passed.
3. Dog Licenses Review
City Clerk Sindt gave the staff report and answered questions of the council.
By consensus, council directed staff to revise the dog licensing and small kennel licensing
ordinance and bring it back to the council with suggested changes; staff was further directed to
look into a voluntary registration process for residents to continue to have their dog’s
information available in the event it becomes lost or stolen.
4. Resolution Adopting Preparation of Feasibility Study for Dennis-McClelland Area
Street Improvements, City Project 19-10
Public Works Director Love gave the staff report.
Councilmember Juenemann moved to approve the Resolution Ordering the Preparation of a
Feasibility Study for Dennis-McClelland Area Street Improvements, City Project 19-10.
Resolution 19-06-1712
Ordering Preparation of a Feasibility Study
WHEREAS, it is proposed to make improvements to the Dennis-McClelland area
streets, which are depicted on the attached project location map, and are hereby called the
Dennis-McClelland Area Street Improvements, City Project 19-10.
AND WHEREAS, it is proposed to assess the benefited property for all or a portion of
the cost of the improvement, pursuant to Minnesota Statutes, Chapter 429;
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF
MAPLEWOOD, MINNESOTA:
That the proposed improvement be referred to the City Engineer for study and that he
is instructed to report to the City Council with all convenient speed advising the council
in a preliminary way as to whether the proposed improvement is necessary, cost
effective and feasible, and as to whether it should best be made as proposed or in
connection with some other improvement, and the estimated cost of the improvement
as recommended.
FURTHERMORE, funds in the amount of $200,000 are appropriated to prepare this
feasibility report.
Seconded by Councilmember Neblett Ayes – All
The motion passed.
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5. Resolution Adopting Preparation of Feasibility Study for Schaller Area Pavement
Rehabilitation, City Project 19-11
Public Works Director Love gave the staff report.
Councilmember Juenemann moved to approve the Resolution Ordering the Preparation of a
Feasibility Study for Schaller Area Pavement Rehabilitation, City Project 19-11.
Resolution 19-06-1713
Ordering Preparation of a Feasibility Study
WHEREAS, it is proposed to make improvements to the Schaller area streets, which
are depicted on the attached project location map, and are hereby called the Schaller Area
Pavement Rehabilitation, City Project 19-11.
AND WHEREAS, it is proposed to assess the benefited properties for all or a portion of
the cost of the improvement, pursuant to Minnesota Statutes, Chapter 429,
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF
MAPLEWOOD, MINNESOTA:
That the proposed improvement be referred to the City Engineer for study and that he
is instructed to report to the City Council with all convenient speed advising the council
in a preliminary way as to whether the proposed improvement is necessary, cost
effective and feasible, and as to whether it should best be made as proposed or in
connection with some other improvement, and the estimated cost of the improvement
as recommended.
FURTHERMORE, funds in the amount of $60,000 are appropriated to prepare this
Feasibility Report.
Seconded by Councilmember Smith Ayes – All
The motion passed.
6. Consider Purchase Offer to Sell City-Owned Property at 2501 Londin Lane
a. Intent to Close Meeting (§13D.05 subd. 3c)
City Attorney Batty introduced the staff report.
Councilmember Neblett moved to close the regular meeting to go into closed session pursuant
to Minnesota Statutes Section 13D.05,subd. 3c to consider the purchase offer or counter offer
for City owned property located at 2501 Londin Lane East.
Seconded by Councilmember Juenemann Ayes – All
The motion passed.
Present during the closed session: Mayor Abrams, Councilmember Juenemann,
Councilmember Knutson, Councilmember Neblett, Councilmember Smith, City Attorney Ron
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Batty, Community Development Director Jeff Thomson, City Manager Melinda Coleman and
Assistant City Manager Mike Funk.
Mayor Abrams closed the meeting at 8:47 p.m.
Mayor Abrams called the meeting back to order at 9:11 p.m.
City Attorney Ron Batty gave a brief summary of the closed session.
K. AWARD OF BIDS
None
L. ADJOURNMENT
Mayor Abrams adjourned the meeting at 9:11 p.m.
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