HomeMy WebLinkAbout04.14.86 MINUTES OF MAPLEWOOD CITY COUNCIL
7:00 P.M., Monday, April 14, 1986
Council Chambers, Municipal Building
Meeting No. 86-09
A. CALL TO ORDER
A regular meeting of the City Council of Maplewood, Minnesota, was held in the Council
Chambers, Municipal Building, and was called to order at 7:02 P.M. by Mayor Greavu.
B. ROLL CALL
John C. Greavu, Mayor Present
Norman G. Anderson, Councilmember Present
Gary W. Bastian, Coun cilmember Present
Frances L. Joker, Councilmember Present
Charlotte Wasiluk, Councilmember Present
- C. APPROVAL OF MINUTES
1. Meeting No. 86-08 (March 24, 1986)
Councilmember Anderson moved to approve the Minutes of Meeting No. 86-08
(March 24, 1986) as submitted.
Seconded by Councilmember Joker. Ayes - all.
D. APPROVAL OF AGENDA
Mayor Greavu moved to approve the Agenda as amended:
1. Open Meeting Law
2. Highway 61 and Parkway Drive
3. Gambling Ordinance
4. Park Debris
5. Motorcycle Ordinance
6. Drainage Pond Dredging
7. Battle Creek Park
8. Discussionwith City Attorney Bannigan
9. Remove Items H-3 and 2-1 from Agenda.
Seconded by Councilmember Bastian. Ayes - all.
E. CONSENT AGENDA
Council removed Item E-3 to become Item I-10.
Councilmember Bastian moved, Seconded by Councilmember Joker, Ayes - all, to approve
the Consent Agenda, Items E-1 and 2 and E-4 through 8 as recommended.
1. Accounts Payable
Approved the accounts (Part 2 - Fees, Services, Expenses Check Register dated
March 31, 1986 - April 02, 1986 - $565,766.86: Part II, Payroll dated April 4,
1986 - gross amount $131,610.79) in the amount of $697,377.65.
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2. Disposal of Old Financial Records
Authorized the City to apply to the State-for disposal of old financial records.
Resolution No. 86 - 4 - 44
WHEREAS, M.S.A. 138.17 governs the destruction of City records; and
WHEREAS, a list of records has been presented to the Council with a
request in writing that destruction be approved by the .Council,;
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF MARLEWOOD, MINNE-
SOTA:
1. That the Finance Director is hereby directed to apply to the
Minnesota State Historical Society for an order authorizing
destruction of the records as described in the attached list.
2. That upon approval by the State of the attached application, -
the Finance Director is.hereby authorized and directed to
destroy the records listed.
3. Amendment of Tanners Lake Partners Project 1982 Revenue Note
Discussed under I-10.
4. Final Plat: Cave's English Street Addition
Approved the Final Plat for Cave's English Street Addition to Maplewood.
5. Budget Transfer/Lanier Transcriber
Approved a budget transfer from the Contingency Account inthe amount of
$750.00 to purchase a Lanier Transcriber/Dictating/recording device.
6. Roseville Water Service
Resolution No. 86 - 4 - 45
WHEREAS, Construction 70 desires to build on Rice Street adjacent to the
Cub Foods site;
WHEREAS, the City of Maplewood cannot provide water service to the site;
NOW, THEREFORE, BE IT RESOLVED BY THE MAPLEWOOD, MINNESOTA, CITY COUNCIL
that the City of Roseville is requested to provide water service to the auto
service center proposed by Construction 70.
7. Water Service - Little Canada
Resolution No. 86 - 4 - 46
WHEREAS, Maplewood Acres, Inc., desires to build-on County Road B east
of Cub Foods;
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WHEREAS, the City of Maplewood cannot provide water service to the site;
NOW, THEREFORE, BE IT RESOLVED BY THE MAPLEWOOD, MINNESOTA, CITY COUNCIL
that the City of Little Canada is requested to provide water service to the
Hilltop Shopping Center site.
8. Accept Donation - Paramedic Fund
Recommended the acceptance of a $500.00 gift from the family of Hedvig Johnson
to be used by the Maplewood Police Paramedic Program. It was further recommended
that this money be placed:in,paxameflic apcount 0.1-4600-43:for future use.
F. PUBLIC HERRINGS
1. 7:00 P.M., P.U.D. Revision Cave's English Street Addition
a. Mayor Greavu convened the meeting for a public hearing regarding the
request of Ed Cave and Sons, Inc., for revision of the conditional use
- permit forCave's English Street Addition to build a double dwelling,
rather than a single dwelling, on Lot One, Block One.
b. Manager Lais presented the Staff report.
- c. Director of Community Development Geoff Olson presented the specifics of
the proposal and the Planning Commission recommendation for approval.
d. Mayor Greavu called for proponents. None were heard.
e. Mayor Greavu called for opponents. None were heard.
f. Mayor Greavu closed the public hearing.
g. Mayor Greavu introduced the following resolution and moved its adoption:
86-4- 47
WHEREAS, Ed Cave and Sons, Inc., initiated a conditional use permit
to revise Lot One, Block One of Cave's English Street Addition planned
unit development from a single to a double dwelling lot. All other lots
continue to be designated for single dwelling use.
WHEREAS, the procedural history of this conditional use permit is as
follows:
1. This conditional use permit was initiated by Ed Cave and Sons,
Inc., pursuant to the Maplewood Code of Ordinances.
2. This conditional use permit was reviewed by the Maplewood Planning
Commission on March 17, 1986. The Planning Commission recommended
to the City Council that said permit be approved.
3. The Maplewood City Council held a public hearing on April 14, 1986.
Notice thereof was published and mailed pursuant to law. All per-
sons present at said hearing were given an opportunity to be heard
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and present written statements. The Council also considered
reports and recommendations of the City Staff and Planning
Commission.
NOW, THEREFORE, BE IT RESOLVED BY THE MAPLEWOOD CITY COUNCIL that the
above-described conditional use permit revision be approved on the basis
of the following findings-of-fact:
1. The revised use is in conformity with the City's Comprehensive
Plan and with the purpose and standards of the zoning code.
2. The establishment or maintenance of the use would not be detri-
mental to the public health, safety or general welfare.
3. The use would be located, designed, maintained and operated to be
compatible with the character of that zoning district.
4. The use would not depreciate property values.
5. The use would not be hazardous, detrimental or disturbing to
present and potential surroundingland uses, due to the noises,
glare, smoke, dust, odor, fumes,water pollution, water run-off,
vibration, general unsightliness, electrical interference or
other nuisances.
6. The use would generate only minimal vehicular traffic on local
streets and shall not create traffic congestion, unsafe access
or parking needs that will cause undue burden to the area proper-
ties.
7. The use would be serviced by essential public services, such as
streets, police, fire protection, utilities, schools and parks.
8. The use would not create excessive additional requirements at
public cost for public facilities and services; and would not
be detrimental to the welfare of the City.
9. The use would preserve and incorporate the site's natural and
scenic features into the development design.
10. The use would cause minimal adverse environmental effects.
Approval is subject to the following conditions:
Adherence to the original site plan, dated November 7, 1985, as
revised herein and as required to be amended by the Maplewood City Council
on December 9, 1985, unless a change is approved by the City's Community
Design Review Board.
Adopted this 14th day of April, 1986. -
Seconded by Councilmember Wasiluk. Ayes: Mayor Greavu, Councilmembers
Bastian and Wasiluk
Nays: Councilmembers Juker and Anderson
- 4 - 4/14
2. 7:10 P.M., P.U.D., Preliminary Plat and Street Vacation - Cave's English Street
Second Addition
a. Mayor Greavu convened the meeting for a public hearing regarding the request
of Ed Cave and Sons, Inc., fora planned-unit development for five small-lot,
single-dwelling lots and 36 condominium units; for the vacation of existing street
and alley rights-of-way; and for approval of a preliminary plat.
b. Manager Lais presented the Staff report.
c. Director of Community Development Geoff Olson presented the specifics of the
proposal and the Planning Commission recommendation for approval.
d. Mayor Greavu called for proponents. None were heard.
e. Mayor Greavu called for opponents. The following expressed their opinions:
Ms. Bernal, 2200 English Street
Mr. John Loipersheck, 2156 English Street
f. Mayor Greavu closed the public hearing.
g. Councilmember Anderson moved to table this Item until the meeting of April
28, 1986, so that the Council can question the Developer, Ed Cave and Sons, Inc.
Seconded by Councilmember Juker. Ayes - all.
3. 7:20 P.M., Code Amendment Parking (2nd Reading) 4 Votes
a. Mayor Greavu convened the meeting for a public hearing to amend the Maplewood .
Code of Ordinances (second reading) to permit nine-foot wide parking stalls,
rather than ten foot, for 90 degree parking and to require hard-surfaced
parking lots and striping.
_ b. Manager Lais presented the Staff report.
c. Director of Community Development, Geoff Olson, presented the specifics of
the proposal.
d. Mayor Greavu called for proponents. None were heard.
e. Mayor Greavu called for opponents. None were heard.
f. Mayor Greavu closed the public hearing.
g. Mayor Greavu moved second reading of an ordinance amending the Code to re-
duce parking spaces to 9 feet"wide and to require parking lots and associated
driveways shall be hard surfaced.
Seconded by Councilmember Wasiluk. Ayes - Mayor Greavu, Councilmembers
Bastian and Wasiluk
Nays - Councilmembers Anderson and Juker
Motion failed.
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4. 7:30 P.M., Crestview Drive - Hudson Place Watermain (4 Votes)
a. Mayor Greavu convened the meeting for a public hearing to construct
- water main improvements on Hudson Place from McKnight Road to Sterling
Street and Crestview Drive to approximately 1,100 feet south.
- b. Manager Lais presented the Staff report.
c. City Engineer Ken Haider presented the specifics of the proposal.
d. Mayor Greavu called for all who wished to be heard for or against the
proposal. The following were heard and stated their opinions:
Letters of approval were read from the following:
Gary and Janice Sherburne, 137 N. Crestview Drive
Donald and Beverly Disselkamp, 188 N. Crestview Drive
Those appearing in person before Council were the following:
Fred McCormick, 230 Crestview Drive
Warren H. Robens, 140 N. Crestview Drive
David Elton, speaking for Christ United Methodist Church
- Wilfred Muir,. 212 Crestview Drive
Charles Ferrise, 170 Crestview Drive
Henry P. Dembicz ak, 140 N. Crestview Drive
Gene Kulzer, 152 Crestview Drive
Mark Skeie, 155 N. Crestview Drive
Joseph Boland, 131 Crestview Drive
Kristine Bergk, 222 N. Crestview Drive
e. Mayor Greavu closed the public hearing.
f. Councilmember Anderson introduced the following resolution and moved its
adoption:
86- 4-48
WHEREAS, after due notice of public hearing on the construction of water
main improvements on Hudson Place from McKnight Road to Sterling Street and
Crestview Drive from Hudson Place to approximately 1,100 feet south, a hear-
. ing on said improvement in accrodance with the notice duly given was duly
held on April 14, 1986, and the Council has heard all persons desiring to
be heard on the matter and has fully considered the same;
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF MAPLEWOOD, MINNESOTA,
as follows:
1. That it is advisable, expedient and necessary that the City of
Maplewood construct water main improvements on Hudson Place from
McKnight Road to. Sterling Street and Crestview Drive from Hudson
Place to approximately 1,100 feet south as described in the notice
of hearing thereon, and orders the same to be made.
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2. The City Engineer is designated Engineer for this improvement
and is hereby directed to prepare final plans and specifica-
- tions for the making of said improvement.
Seconded by Councilmember Bastian. Ayes - Councilmembers Anderson, Bastian,
Joker and Wasiluk
Nays - None
Mayor Greavu abstained.
5. 7:50 P.M., Holiday Inn - Liquor License Application - Morgan P. Nederhiser
a. Mayor Greavu convened the meeting for a public hearing to approve the
liquor license application of Morgan Patrick Nederhiser, Holiday Inn,
Maplewood.
b. Manager Lais presented the Staff report.
c. Mayor Greavu called for proponents. -
Mr. Morgan P. Nederhiser spoke on his own behalf.
d. Mayor Greavu called for opponents. None were heard.
e. Mayor Greavu closed the public hearing.
f. Councilmember Joker introduced the following resolution and moved its
adoption:
86 - 4 - 49
NOTICE IS HEREBY GIVEN that pursuant to action by the City Council of~
the City of Maplewood onApril 14, 1986, an On-Sale Intoxicating Liquor
License was approved for Morgan P. Nederhiser, dba Holiday Inn - Maplewood,
1780 East County Road D.
The Council proceeded in this matter as outlined under the provisions of
the City Ordinances.
Seconded by Councilmember Anderson. Ayes - all.
G. AWARD OF BIDS
1. Ambulance
a. City P4anager Lais presented the Staff report.
b. Director of Public Safety Ken Collins presented the specifics of the
proposal.
c. Councilmember Joker introduced the following resolution and moved its
adoption:
86 - 4 - 50
BE IT RESOLVED BY THE CITY COUNCIL OF MAPLEWOOD, MINNESOTA, that the bid
- 7 - 4/14
of Road Rescue in the amount of $56,778.00 is the lowest responsible bid
for the purchase of a 1986 modulor ambulance and the proper City officials
are hereby authorized and directed to enter into a contract with said bidder
for and on behalf of the City.
Seconded by Mayor Greavu. Ayes - all.
H. UNFINISHED BUSINESS
1. Condor Storm Sewer
a. Councilmember Bastian moved to table this Item to be discussed at a
shirt-sleeve session scheduled for Monday May 5 at 7:30 P.M.
Seconded byMayor Greavu. Ayes - all.
2. County Solid Waste Plan
a. Mayor Greavu asked for comments from the Council on solid waste.
b. Councilmember A7asiluk moved to appoint a task force to investigate
solid waste.
Seconded by Councilmember Bastian. Ayes - all.
3. Neighborhood Park Acquisition
a. Removed from Agenda.
I. NEW BUSINESS
1. Code Amendment Home Occupation Signs (1st Reading)
a. Removed from Agenda
2. Reschedule May 26 Council Meeting
- a. Mayor Greavu moved to reschedule the May 26 Council Meetingto Thursday,
May 22, 1986, at 7:00 P.M, in the Council Chambers.
Seconded by Councilmember Bastian. Ayes - all.
3. Art Contests - City Hall
a. Councilmember Bastian recommended the appointment of a Committee to formulate
plans for an Art Contest to coincide with the opening of the new City Hall.
Volunteers to that Committee are as follows:
_ Gail Speckman, a painter
Frank Zeller, a painter
Charles Helsel from the 3M Company
Sandra Dickey
Maureen Gosselin, Maplewood Community Arts
Rich Doolittle, an art teacher at North High School
Kevin Kupferschmidt, a painter
b. Councilmember Bastian moved that the City ofMaplewood initiate a task
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force for the arts comprised of the above mentioned volunteers, with Gary
Bastian serving as ad hoc and would have the charge to come back to the
Council with their recommendations.
Seconded by Councilmember Wasiluk. Ayes - all.
4. Ramsey County 1986 Contract - Overlay Program
Beam Avenue, Hazelwood - White Bear Avenue
Larpenteur Avenue, Van Dyke - Beebe
Lydia, .25 Miles East of White Bear Avenue - McKnight
a. Manager Lais presented the Staff report.
- b. Mayor Greavu introduced the followih resolutions and moved their adoption:
86 - 4 - 51
WHEREAS, plans for Project 62-619-11 showing proposed alignment, profiles,
grades and cross-sections for the construction, reconstruction or improvement
- of County State-Aid Highway No. 19 within the limits of the City as a State
Aid Project have been prepared and presented to the City.
- NOW, THEREFORE, BE IT RESOLVED: That said plans be in all things
approved.
Dated this 14th day of April, 1986.
86 - 4 - 52
RESOLUTION REQUESTING RAMSEY COUNTY
TO RESTRICT PARKING ALONG A PORTION OF LARPENTEUR AVENUE
WHEREAS, theCountyhas planned the resurfacing_of Larpenteur Avenue
(CSAH 30) from Van Dyke Street to Beebe Road; and
WHEREAS, the County will be expending County State Aid Highway funds
(S.A.P. 62-630-23) on the improvement of said street; and
Tdf7EREAS, said improvement does not conform to the approved minimum
standards as previously adopted for such County State Aid streets and
that approval of the proposed construction as a County State Aid street
project must, therefore, be conditioned upon certain parking restrictions;
and
WHEREAS, the extent of these restrictions, that would be a necessary
prerequisite to the approval of this construction as a County State Aid
project in the City, has been determined.
NOW, THEREFORE, IT IS HEREBY RESOLVED, that the City requests the
County to restrict the parking of motor vehicles on the north side of
Larpenteur Avenue from Van Dyke Street to Hazel Street.
86 - 4 - 53
WHEREAS, plans for Project 62-630-23 showing proposed alignment,
profiles, grades and cross-sections for the construction, reconstruction
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or improvement of County State-Aid Highway No. 30 within the limits
of the City as a State Aid Project have been prepared and presented-to
the City,
NOW, THEREFORE, BE IT RESOLVED: That said plans be in all things approved.
Dated this 14th day of April, 1986.
86-4-54
RESOLUTIONREQUESTING RAMSEY COUNTY
TO RESTRICT PARKING ALONG A PORTION OF BEAM AVENUE
WHEREAS, the County has planned the resurfacing of Beam Avenue (CSAH 19)
from Trunk Highway 61 to White Bear Avenue; and
WHEREAS, the County will be expending County State Aid Highway funds
(S.A.P. 62-619-10) on the improvement of said street; and
WHEREAS, said improvement does not conform to the approved minimum
standards as previously adopted for such County State Aid streets and
that approval of the proposed construction as a. County State Aid street
project must, therefore, be conditioned upon certain parking restrictions;
and
WHEREAS, the extent of these restrictions, that would be a necessary
prerequisite to the approval of this construction as a County State Aid
project in the City, has been determined.
NOW, THEREFORE, IT IS HEREBY RESOLVED, that the City requests the
County to restrict the parking of motor vehicles on both sides of Beam '
Avenue from Trunk Highway 61 to White Bear Avenue.
86-4- 55
WHEREAS, plans for Project 62-619-10 showingproposedalignment,
profiles, grades and cross-sections for the construction, reconstruction
or improvement of County State-Aid Highway No. 19 within the limits of
the City as a State Aid Project have been prepared and presented to the
City.
NOW, THEREFORE, BE IT RESOLVED: That said plans be in all things
approved.
Dated this 14th day of April, 1986.
i
Seconded by Councilmember Anderson. Ayes - all.
5. White Bear Avenue Pavement Rehabilitation
a. Manager Lais presented the Staff report.
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b. Councilmember Juker introduced the following resolutions arid~movc.d'their
adoption:
86- 4- 56
WHEREAS, plans for Project 62-665-29 showing proposed alignment, pro-
files, grades and cross-sections for the construction, reconstruction or
improvement of County State-Aid Highway No. 65 within the limits of the City
as a State Aid Project have been prepa:rc:d and presented to the City.
NOW, THEREFORE, BE IT RESOLVED: That said plans be in all things
approved.
Dated this 14th day of April, 1986.
86-4-57
WHEREAS, plans for Project 62-665-30 showing proposed alignment, pro-
files, grades and cross-sections for the construction, reconstruction or
_ improvement of County State-Aid Highway No. 65 within the limits of the City
as a State Aid Project have been prepared and presented to the City.
NOW, THEREFORE, BE IT RESOLVED: That said plans be in all things
approved.
Dated this 14th day of April, 1986.
Seconded by P7ayor Greavu. Ayes - all.
6. Frost Avenue Reconstruction Project 83-1
a. Manager Lais presented the Staff report.
b. Countilmember Anderson introduced the following resolution and moved its
adoption:
86 -4-58
WHEREAS, the City Council has previously approved plans and specifications
for Frost Avenue Reconstruction (Adele to Birmingham), Project No. 83-1; and
WHEREAS, an agreement has been prepared defining project responsibilities
between the City of Maplewood and Ramsey County.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF MAPLE-
WOOD, MINNESOTA:
The agreement, a copy of which is attached hereto ahd_made apart herecif,
is hereby approved. The Mayor and City Manager are hereby authorized and
instructed to execute said agreement.
Seconded by Councilmember Juker. Ayes - all.
7. Hazelwood Reconstruction Project 85-27
a. Manager Lais presented the Staff report.
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b. Mayor Greavu introduced the following resolution and moved its adoption:
86 - 4 - 59
WHEREAS, the City Engineer for the City of Maplewood has been authorized
and directed to prepare a report with reference to the improvement of Hazel-
wood Avenue from County Road C to Beam Avenue byconstruction of street,
storm sewer, bituminous path and utility services, and
WHEREAS, the said City Engineer has prepared the aforesaid report for
the improvement herein described:
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF MAPLEWOOD, MINNESOTA,
as follows:
1. The report of the City Engineer advising this Council that the
proposed improvement on Hazelwood Avenue from County Road C to
Beam Avenue by construction of street, storm sewer, bituminous
path and utility services is feasible and should best be made as
proposed, is hereby received.
2. The Council will consider the aforesaid improvement in accordance
with the reports and the assessment of benefited property for all
or a portion of the cost of the improvement according to M.S.A.
Chapter 429, at an estimated total cost of the improvement of
$636,460.00.
3. A public hearing will be held in the Council Chambers of the City
Hall at 1380 Frost Avenue on Monday, the 28th day of April, 1986,
at 7:10 P.M.. to consider said. improvement. The City Clerk shall
- give mailed and published noticeof said hearing and improvement
as required by law.
Secondedby Councilmember Wasiluk. Ayes - PQayor Greavu, Councilmembers
Anderson, Juker and Wasiluk
Nay - Councilmember Bastian
8. McKnight Road Reconstruction Project 81-20
a. Manager Lais presented the Staff report.
b. Mayor Greavu introduced the following resolution and moved its adoption:
86-4-60
WHEREAS, the City Engineer for the City of Maplewood has been
authorized and directed to prepare a report with reference to the
- improvement of McKnight Road from Beaver Lake to Larpenteur Avenue
by construction of street, storm sewer, water main, sanitary sewer,
bituminous path and concrete sidewalk, and
- 12 -
WHEREAS, the said City Engineer has prepared the aforesaid report
for the improvement herein described:
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF MAPLEWOOD,
MINNESOTA, as follows:
1. Thereport of the City Engineer advising this Council that
the proposed improvement on McKnight Road from Beaver Lake
to Larpenteur Avenue by construction of street,-storm sewer,
water main, sanitary sewer, bituminous path and concrete
sidewalk is feasible and should best be made a5 proposed, is
hereby received,
2. The Council will consider the aforesaid improvement in
accordance with the reports and the assessment of benefited
property for all or a portion of the cost of the improvement
according to T4.S.A. Chapter 429, at an estimated total cost
of the improvement of $2,302,986.00.
3. A public hearing will be held. in the Council Chambers of the
City Hall at 1380 Frost Avenue on Monday, the 28th day of
April, 1986, at 7:00 P.M. to consider said improvement. The
City Clerk shall give mailed and published notice of said
hearing and improvement as required by law.
Seconded by Councilmember Anderson Ayes - 2dayor Greaw, Cc::m cilmembers
Anderson, Juker <~:nd Wasiluk
Nay - Councilmember Bastian.
9. Purchase of Radio Equipment
a, Manager Lais presented the Staff report.
b. Councilmember Juker moved to approve the purchase of the radio equip-
ment from Motorola Communications and Electronics, Inc., on an existing bid
from the City of Robbinsdale, asrecommended by Staff and that a budget trans-
fer of $2,450 from the Unappropriated Fund balance in the Capitol Improvement
-Projects Fund.
Seconded by Mayor Greaw. Ayes - all.
10, Item E-3 became Item I-10, Amendment of Tanners Lake Partners Project 1982
Revenue Note.
a. Manager Lais presented the Staff report.
b, Carey LeBlanc, Manager of~Cricket Inn, spoke.
c. Councilmember Juker introduced the f411owingresolution andmoved its
adoption:
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86-4-61
RESOLUTION
OF THE CITY COUNCIL OF THE
CITY OF MAPLE440OD
WHEREAS,
(a) On August 23, 1982, the City of Maplewood (the "City") issued its
$3,000,000 Commercial Development Revenue Note of 1982 (Tanners Lake Partners
Project). (the "Note") pursuant to the terms of a Final Note Resolution adopted
by the City on August 9, 1982 (the "Note Resolution"); and
(b) The Note was purchased by First National Bank of Minneapolis (the
"Lender") and is still held by the Lender; and
(c) In connection with the issuance of the Note the City and Tanners
Lake Partners, a Minnesota general .partnership (the "Borrower") entered into
a loan agreement dated August 23, 1982 (the "Loan Agreement") pursuant to which
the City loaned to the Borrower the proceeds received by the City from the sale
of the Note to finance the acquisition of land and construction thereon of a
114 room motel (the "Project") and required that the Borrower pay directly to
the Lender sums sufficient to repay the Note according to its terms; and
(d) The interest of the City in the Loan Agreement has been assigned to the
Lender pursuant to a pledge agreement also dated August 23, 1982; and
(e) The Borrower and Lender have negotiated a modification of the Note '.i
which, in the opinion of Briggs and Morgan, Professional Association, bond
counsel to the City, requires the participation of the City in order to
ensure that the interest on the Note does not, by virtue of its amendment,
become subject to federal income taxation; and
(f) The Borrower and Lender have requested that the City consent to the
amendment of the Note to:
1. Allow the Borrower to immediately prepay up to $500,000
of the Note without penalty.
- 2. Reduce the primary interest rate on the Note from 148 to
' 11.658 with payments of interest only to be due from May 1,
1986, until September 1, 1992.
3. Provide for up to $100,000 of additional interest to be paid
on the Note calculated at the rate of 4.0358 per annum for
the period from May 1, 1986 until September 1, 1992 provided
that such additional interestshall be payable only from 508
of the net cash flow of the Project. The additional interest
will accumulate, without interest thereon, until September 1,
1992. If the Lender has not received $100,000 of additional
interest on the Note by September 1, 1992, the Lender will be
entitled to receive the balance of such additional interest in
a lump sum payment from the net proceeds received from the sale
or refinancing of the Project in excess of $600,000.
- 14 - 4/14
4. The Lender will release the personal quaranty executed
by Newell P. Weed, Jr. and will add a personal guarantee
from Edmund Chute; and
(g) The Borrower has represented to the City that the representations on
which the City relied in adopting the Note Resolution and in entering into the
Loan Agreement remain true and correct as of the date hereof.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Maplewood,
Minnesota, as follows:
,'j
1. The findings and representations contained in the Note Resolution
adopted by the City on August 9, 1982, authorizing the Note, are hereby rati-
fied, reaffirmed and. remain in full force and effect with respect to the Note,
provided that all references to the Note in the Note Resolution shall, from
and after May 1, 1986, be deemed to refer to the Note as amended by this reso-
lution.
2. The Mayor and City Clerk of the City are hereby authorized to execute
an amendment to the Note in substantially the form attached hereto as Exhibit
A, with such modifications or omissions as may be approved by the city attor-
ney for the City of Maplewood, and any other documents (including an Amend-
ment to the Loan Agreement, an Amendment the Pledge Agreement, an IRS Election
Statement and a Form 8038) which in the opinion of Briggs and Morgan, Pro-
fessional Association, as bond counsel. are necessary to allow bond counsel to
render its opinion that the amended Note continues to bear interest which is
exempt from federal income taxation.
Adopted April 14, 1986.
CITY OF MAPLEWOOD, MINNESOTA
Mayor
ATTEST:
City Clerk
EXE32BIT A
AMENDMENT TO
COMMERCIAL DEVELOPMENT REVENUE NOTE OF 1982
(TANNERS LAKE PARTNERS PROJECT)
THE CITY OF MAPLEWOOD, Ramsey County, Minnesota (the "City"), pursuant to
a resolution of the City Council adopted April 14, 1986, hereby amends the
$3,000,000 Commercial Development Revenue Note of 1982 (Tanners Lake Partners)
(the "Note") originally issued on August 23, 1982, as follows:
A. Paragraph 1 of the Note is hereby amended in its entirety to read:
"l. (a) Interest only shall be paid for the period from May 1, 1986
through August 31, 1991 at the rate of (i) 11.65 Primary Interest
per annum and (ii) 4.035 Contingent Interest per annum, up to a
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maximum of $100,000, all as defined in paragraph lA, below.
Subject to the .conditions set forth in paragraph lA, below, in-
terest shall accrue from the date hereof and shall be payable on
the first day of the calendar-month next succeeding the date hereof
and on .the first day of each and every month thereafter through and
including August 1, 1992.
(b) Commencing on October 1, 1992 and on the first day of each
calendar month thereafter, the Principal Balance shall be amortized
in equal consecutive monthly installments of $24,825.11 and a final
installment on August 1, 2012 (the "Final Maturity Date") which
shall_be equal to the unpaid Principal Balance and accrued interest
thereon. .Any payment shallbe applied first to accrued interest
- and thereafter to reduction of the Principal Balance.
(c)(i) In the event that the interest on this Note shall become
subject to federal income taxation pursuant to a Determination of
Taxability (as hereinafter defined), the interest rate on this Note
shall be increased, retroactively effective from and after the Date
of Taxability (as hereinafter defined) to 19~ per annum (the "Tax-
. able Rate"), provided that if the Determination of Taxability occurs
prior to September 1, 1992, the Contingent Interest required by para-
.graph 1(a)(ii), above, shall be paid in addition to the interest at
the Taxable Rate required by this subparagraph 1(c)(i). The City
shall immediately upon demand pay to the Holder and to each prior
Holder affected by such Determination of Taxability an amount equal
to the amount by which the interest accrued retroactively at such
increased rate from the Date of Taxability to the date of payment
exceeds the amount of interest actually accrued and paid to the
Holder and any such prior Holder during said period. (Such obliga-
tion of the City shall survive the payment in full of the principal
amount of this Note). .Commencing on the first day of the month next
following the date of payment of such additional interest and con-
- tinning onthe first day of each month thereafter (unless the Holder
shall accelerate the maturity of the Note pursuant to clause (ii) of
this paragraph (c)), this Note shall be payable as follows:
(A) if amortization of the Principal Balance had not
theretofore commenced, the monthly payments of inter-
- est due only hereunder shall be increased to reflect,
in addition to the Contingent Interest, the accrual of
interest at the Taxable Rate and the monthly installments
of principal and interest payable commencing with the Octo-
ber 1, 1992 payment shall be recomputed on the basis of the
Taxable Rate on an assumed thirty year amortization; or
(B) if amortization of the Principal Balance had theretofore
commenced_the monthly installments of principal and in-
terest payable commencing with the next succeeding pay-
ment shall be recomputed on the basis of the Taxable Rate
and amortization over the remaining portion of the original
assumed amortization.
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(ii) Upon a Determination of Taxability, the Holder may
declare the entire Principal Balance of this Note together with
accrued interest thereon at such retroactively increased Taxable
Rate to be immediately due and payable, plus the prepayment premium
calculated in accordance with paragraph 8 hereof.
(iii) The Holder shall give notice, as soon as practicable, to
the Borrower of any Notice of Taxability, as hereinafter defined,
received by the Holder and permit the Borrower to contest, litigate
i or appeal the same at its sole expense; provided that any such con-
test, litigation or appeal is, in the reasonable opinion of the
Holder, being undertaken and carried forward in good faith, dili-
gently and with reasonable dispatch. In the event any such contest,
litigation or appeal is undertaken, the increased interest provided
in paragraph (b)(i) shall, nevertheless, be payable to the Holder
and shall be held by the Holder in escrow (without paying interest
thereon) pending final disposition of such contest, litigation or
appeal, provided that the Borrower shall indemnify and hold harmless
the Holder and each prior Holder from any and all penalties, interest
or other liabilities which they may incur on account of such contest,
litigation or appeal.
(iv) The terms "Determination of Taxability," "Date of Taxa-
bility" and "Notice of Taxability" shall have the meanings ascribed
to such terms in the Loan Agreement, dated as of August 23, 1982
between the City and Tanners Lake Partners (the "Borrower"), as
amended by the Amendment to Loan Agreement dated May 1, 1986 (col-
lectively the "Loan Agreement")."
B. The Note is hereby amended by adding the following paragraph lA: '
"1Fi. (a) Contingent Interest in the maximum amount of $100,000 is
payable out of 50~ of the Net Available Cash Flow of the Project, as de-
fined herein. For the purpose of calculating the amount of Contingent
Interest payable each year, "Net Available Cash Flow" of the Project
shall mean the "Gross Revenues" derived by the. Company from the operation
of the project less "Debt Service Payments" and "Operating Expenses", all
as defined below.
(b) To the extent that the Contingent Interest payments for
any year do not equal at least 4.035, and provided that the Lender has
not already received the maximum amount of $100,000 of Contingent Interest,
the Contingent Interest necessary to provide the Holder with a total of
4.035 Contingent Interest per annum will accumulate (without interest
thereon) and will be payable from 50~ of future Net Available Cash Flow
and, to the extent not paid from Net Available Cash Flow, from 100 of
any "Sale or Repayment Proceeds" derived from the sale or~nefinancing of
the Project in excess of $600,000, all as more fully described in the Loan
Agreement.
(c) For the purpose of calculating the amount of money avail-
able for the payment of Contingent Interest, the terms used in this Para-
- graph lA shall have the following meanings:
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Debt Service-Payments: all principal and interest due on
(i) this Note, (ii) the $135,000 loan made by Days Inn to Tanners
Lake-Partners, (iii) the $300,OOO.revolving line of credit to Tan-
- ners Lake Partners with the-Lender; and (iv) any other loan to
Tanners Lake Partners approved by the Lender;
Gross Revenues: all income and revenue from the project and
from the operations thereof, paid and or received by Tanners Lake
Partners and its manager, agent, employees or representatives;
Net Available-Cash-Flow: the Gross Revenues derived from the
operation of the Project minus Debt Service payments and Operating
Expenses;
Operating Expenses: all operating expenses of the Project
(except debt service and depreciation) determined in accordance
with generallyaccepted accounting principles made during a calen-
dax~~year or applicable portion thereof (in the case of payment for
a partial year), including, but without limitation, expenses paid
or incurred with respect to:
(A) the administration or operation of the Project;
B) current maintenance and repairs necessary tp maintain the
Project in adequate repair and operating condition (not including
capital improvements or amounts paid from reserve accounts);
(C) labor and cost of material and supplies necessarily used
for such current operation, maintenance and repairs (not including
capital improvements or amounts paid from reserve accounts);
(D) premiums for insurance of the project against risks. and in
- amounts for which insurance is usually carriedby prudent owners of
like properties including but not limited to insurance required by
the Loan Agreement or the Mortgage;
(E) premiums for insurance of the Company and its partners and
employees against liability for damage to persons and property in-
curred in connection with such operation, in amounts such as are
usually carried by prudent operators of similar enterprises;
(F) charges, reasonably required for the accumulation of a
reserve for the renewal, replacement, or improvement of the Project
not to exceed 3~ of gross revenue;
(G) management fees not to exceed 7.5~ of gross revenue;
(H) real estate taxes and current installments of special
assessments;
(I) license and permit fees; and
(J) utilities.
Sale orRepayment: means the sale or other disposition of the
Project (a "Sale"), or, in the absence of a Sale, the repayment of
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the principal and interest, if any, payable upon maturity or
remarketing of the Bonds (a "Repayment"). For this purpose, a
Sale includes a syndication, after three years following con-
struction completion, of more than 50~ of the economic interest
(not including tax benefits) in Tanners Lake Partners.
- Sale or Repayment Proceeds: means the proceeds from a Sale
after deduction of (i) all expenses related to such Sale and (ii)
all amounts necessary to repay the loans described in the defini-
tion of Debt Service Payments or, in the case of a Repayment, an
amount equal to the appraised fair market value of the Project
less debt repayment and the estimated expenses of a Sale of such
Project."
C. The Note is hereby amended by adding the following Paragraph 1B:
1B. Adjustment upon non-deductible percentage being applicable
to the Note and upon change in non-deductible percentage. If the
percentage of reduction (the "Disallowance Deduction") set forth in
Section 291(a)(3) of the Internal Revenue Code of 1954, as amended
(the "Code"), with respect to any financial institution, is deter-
mined to be applicable to the Lender's ownership of the Note and
once determined to be applicable to the Note, upon any change in
the Disallowance Deduction, the interest rate on the Note shall
automatically be adjusted as of the effective date of such change
by adding thereto a percentage equal to the Disallowance Deduction
in effect after such change minus the Disallowance Deduction in ef-
fect immediateiy prior to such change times 4.35, with the disallow-
ance adjustment rate being expressed as decimals.
D. Paragraph 5 of the Note is hereby amended to delete Newell P.
Weed, Jr. as one of the guarantors and to add, as a guarantor, Edward Chute.
E. Paragraph 7 of the Note is hereby amended to allow prepayment of up
to $500,000 of the Principal Balance of the Note, without penalty, provided
that such prepayment is received on or before May 2, 1986.
- IT IS HEREBY CERTIFIED AND RECITED that all conditions, acts and things
required to exist, happen and be performed precedent to or in the issuance
of this Amendment to the Note do exist, have happened and have been performed
in regular and due form as required by law, and that except as specifically
.stated herein, the terms and conditions of the Note remain unchanged.
IN WITNESS WHEREOF, the City has caused this Amendment to the Note to
be duly executed in its name by the manual signatures of the Mayor, City
Clerk, and has caused the corporate seal to be affixed hereto, and has caused
this Amendment to the Note to be dated May 1, 1986.
CITY OF MAPLEWOOD, MINNESOTA
Mayor
ATTEST:
City Clerk
(SEAL)
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Seconded by Councilmember Wasiluk. Ayes - all.
J. VISITOR PRESENTATIONS
None.
K. COUNCIL PRESENTATIONS
1. Open Meeting Law
a. Councilmember Juker requested a clarification of the Open Meeting Law.
City Attorney John Bannigan stated all meetings are open to the public. There
are a few stated exceptions, one of which is labor union negotiations. Another
would be personnel problems. All meetings need to be taped or notes taken by
the City Clerk as Secretary to the Council. Tapes arld minutes from personnel
meetings shall be kept separately and in a secure location.
2. Highway 61 and Parkway Drive
a. Councilmember Juker questioned if State could be contacted regarding the
placement of a !'no turn onred" sign while going southbound on Highway 61 at
the intersection of Parkway Drive.
b. Staff will investigate.
3. Gambling
a. Gary Bastian would like to review the City's current gambling laws.
b. Tabled to a future date.
4. Park Debris
a. Councilmember Bastian discussed the debris' that was put in Cope Avenue
Park site.
b. City Engineer Haider will investigate.
5. Motorcycle Ordinance
a. Councilmember Bastian complained of the noise caused by motoreyu`ies-,near
Woodlyn and County Road D.
- b. Staff will investigate. _
6. Drainage Pond Dredging
a. Councilmember Bastian questioned when the drainage pond at Maplewood
Heights Park would be dredged of its sand debris.
b. Councilmember Bastian suggested a strong worded letter be sent to the
County requesting them to clean the sand from their roads before it becomes
a problem to our system.
c. Staff will investigate.
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- - 7. Battle Creek Park
a. Manager Lais will meet with Ramsey County.
L. ADMINISTRATIVE PRESENTATIONS
None.
M. ADJOURNMENT -
9:38 P.M.
City Clerk
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