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HomeMy WebLinkAbout05.18.89 and 05.22.89 i MINUTES OF MAPLEWOOD CITY COUNCIL 4:30 P.M., Thursday, May 18, 1989 and 7:00 P.M., Monday, May 22, 1989 Council Chambers, Municipal Building Meeting No. 69-12 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 4:30 P.M., by Mayor Greavu. B. ROLL CALL John 0. Greavu, Mayor Present Norman G. Anderson, Councilmember Present Gary W. Bastian, Councilmember Present Frances L. Juker, Couneilmember Present George F. Rossbach, Councilmember Arrived at 4:42 P.M. C. APPROVAL OF MINUTES 1. Meeting No. 89-1 (January 9, 1989) Councilmember Anderson moved to aoorove the Minutes of Meetinc No. 89-1 (January 9. 19891 as submitted. Seconded by Councilmember Bastian. Ayes - all. D. APPROVAL OF AGENDA 1. Light - White Bear Avenue and Burke 2. Cable 3. Fulk Manufacturing 4. Manager Meeting June 1 Seconded by Councilmember Bastian. Ayes - all. E. CONSENT AGENDA Council removed Item E-1 to become Item H-14. Councilmember Bastian moved, seconded by Mayor Greavu. Ayes - all, " tg approve the Consent Acenda, Items 2 through 5 as recommended. 1. Approvalof Claims Discussed as Item H-14. 1 5-18-89 2. Clean Up of Demolished Business Accepted the low bid of $1,000 from Ray Anderson and Son, order removal of the debris and assess the cost against the property taxes. Property located at the Northwest corner of Cope and Hazelwood. 3. Registered Land Survey: 2090 County Road D (House) Approved the Registered Land Survey for Leslie and i Lucille House for three parcels of property between Lydia and County Road D ae submitted. 4. Conditional Uae Permit Renewal: Rolling Hills Second Addition - Approved the renewal of the conditional use permit for the Rolling Hills Second Addition for one year subject to the original conditions of approval. 5. Conditional Use Permit Renewal: 1225 Frost Avenue (Hirsch) Approved the renewal of the conditional use permit for George's Auto, 1225 Frost Avenue for one year subject to the original conditions. Councilmember Rossbach arrived at 4:42 P.M. F. AWARD OF BIDS 1. Individual Pressure Reducing Valves, Project 89-09. a. Manager McGuire presented the Staff report. b. Councilmember Anderson introduced the following resolution and moved its adootion: 89 - 5 - 76 BE IT RESOLVED BY THE CITY COUNCIL OF MAPLEWOOD, MINNESOTA, that the bid of Aquarius Heating & Plumbing, Inc., in the amount of $23,234.00 is the lowest responsible bid for the construction of individual pressure reducing valves, City Project 89- 09, and the Mayor and Clerk are hereby authorized and directed to enter into a contract with said bidder for and on behalf of ,the City. A total project budget of $30,000 is hereby appropriated. 2 5-18-89 Secanded by Councilmember Bastian. Ayes - all. G. UNFINISHED BUSINESS 1. Final Approval of Bonds, Notes, and Developer's Agreement (Cottages of Maplewood) a. Manager McGuire presented the Staff report. b. Mary ippel, Bonding Consultant, Briggs and Morgan, presented the specifics of the proposal. c. Councilmember Anderson introduced the followinc resolution and moved its adoption: 89 - 5 - 77 BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF MAPLEWOOD, MINNESOTA, ae follows: ARTICLE ONE DEFINITIONS, LEGAL AUTHORIZATION AND FINDINGS 1-1. Definitions. The terms used herein, unless the context hereof shall require otherwise shall have the following meanings, and any other terms defined in the Loan Agreement shall have the same meanings when used herein as assigned to them in the Loan Agreement, unless the context or use thereof indicates another or different meaning or intent. Act: the relevant provisions of Minnesota Statutes, Chapters 462A, 462C and 475, as amended; Bond Counsel: the firm of Briggs and Morgan, Professional Association, of St. Paul and Minneapolis, Minnesota, and any opinion of Bond Counsel shall be a written opinion signed by such Counsel; Bond Loan Agreement: the loan agreement dated as of May 1, 1989, executed by and between the City and the Company pursuant to which the City loans the proceeds of the Bonds to the Company to finance a portion of the Project Costs; Bonds: the $2,230,000 Multifamily Housing Revenue Bonds, Series 1989 (Cottages of Maplewood Project - FHA Insured Mortgage Loan) issued by the City pursuant to the indenture; 3 5-18-89 City: the City of Maplewood, Minnesota, its successors and assigns; i Code or Internal Revenue Code: the internal Revenue Code of 1986, as amended; Comoanv: Cottages of Maplewood Limited Partnership, a Minnesota limited partnership, its successors and assigns, and any surviving, resulting or transferee business. entity which may assume its obligations under the Loan Agreement; - Construction Fund: the fund established by the City pursuant to this Resolution and into which the proceeds of the Note will be deposited; Credit: collectively, the Initial Credit issued ' by MidAmerica and any Replacement Credit; Credit Agreement: the agreement of even date herewith, by and between the Company and the Lender, setting forth the terms under which the Lender may draw on a Credit; Declaration: the Declaration of Restrictive Covenants dated as of May 1, 1989, executed by the Company and recorded against the Project Premises; Disburaina Agreement: the agreement to be executed by the City, the Company and Title, relating to the disbursement of the proceeds of the Note from the Construction Fund to pay or reimburse the Company for the costs of the construction and installation of the Project; Final Maturity Date: May 1, 1999, or such earlier date on which the entire Principal Balance of the Note, the accrued interest thereon and any premium are fully paid and discharged; Indenture: the Indenture of Trust dated as of May 1, 1989, between the City and American National Bank and Trust Company, in St. Paul, Minnesota, pursuant to which the Bonds are issued; Initial Credit: .the irrevocable standby letter of credit issued by Mid America; Lender• in Minnesota, its successors and assigns; 4 6-18-89. Mid America: Mid America Bank Maplewood, a state banking corporation, organized under the laws of I the State of Minnesota; Note: the $264,000 Multifamily Housing Revenue Note, Series 1989 (Cottages of Maplewood Project), to be issued by the City pursuant to this Resolution; Note Loan Agreement: the agreement to be executed by the City and the Company, providing for the issuance of the Note and the loan of the proceeds thereof to the Company, including any amendments or supplements thereto made in accordance with its provisions; Note Resister: the records kept by the City Manager to provide for the registration of transfer of ownership of the Note; Plans and Specifications: the plans and specifications for the construction and installation of the Project, together with such modifications thereof and additions thereto as are reasonably determined by the Company to be necessary or desirable for the completion of the Project; Pledae Agreement: the agreement to be executed by the City in favor of the Lender pledging and assigning its interests in the Loan Agreement to the Lender; Principal Balance: so much of the principal sum on the Note as remains unpaid at any time; Protect: that certain 59 unit rental apartment facility and related improvements and equipment (including Project Equipment) which are required by the Loan Agreement and the Disbursing Agreement to be constructed and installed on the Project Premises, together with all additions to, replacements of, and substitutions for, any of the foregoing which may be made as permitted; Protect Eguipment: any and all (i) fixtures or tangible personal property now or hereafter attached or affixed to the Project Premises, but specifically excluding any trade fixtures owned by tenants, if any, (ii) other tangible personal property now or hereafter located within or used in connection with the Project and acquired, in whole or part, from Note proceeds (which items are generally described in Exhibit B attached to the Loan Agreement), and (iii) any 5 5-18-89 additions to, replacements of and substitutions for any of the foregoing which may be permitted or required by the Loan Agreement; Project Premises: the real property and any _ other easements and rights described in Exhibit A attached to the Loan Agreement; 1 Replacement Credit: a letter of credit provided by the Company pursuant to Section 4.07 of the Loan Agreement to replace or supplement a prior Credit; Resolution: this Resolution of the City adopted I April 20, 1989, together with any supplement or amendment thereto; Title: Commonwealth Land Title insurance Company; All references in this instrument to designated "Articles," "Sections" and other subdivisions are to the designated Articles, Sections and subdivisions of this instrument as originally executed. The words "herein," "hereof" and "hereunder" and other words of similar import refer to this Resolution as a whole not to any particular Article, Section or subdivision. 1-2. Leval Authorization. The City is a political subdivision of the State of Minnesota and is authorized under the Act, to initiate the Project herein referred to, and to issue and sell the Note for the purpose, in the manner and upon the terms and conditions set forth in the Act and in this Resolution. 1-3. Findincs. The City Council has heretofore determined, and does hereby determine, as follows: (1) the City is authorized by Minnesota Statutes, Chapter 462C, as amended, to issue its revenue note to finance, in whole or in part, the costa of a multifamily rental housing development (the "Project") for the public. purposes expressed in the Act; (2) the Issuer hoe made the necessary arrangements with Cottages of Maplewood Limited Partnership, a Minnesota limited partnership (the "Company"), for the acquisition, installation, and 6 5-18-89 conatruction of the Project, which will be of the character and accomplish the purposes provided by the Act. (3) the Issuer has agreed to issue its $2,230,000 Multifamily Housing Revenue Bonda,Series 1989 (Cottages of Maplewood Project - FHA Insured Mortgage Loan) (the "Sonde") and loan the proceeds thereto to the Company pursuant to the terms of a loan agreement dated as of May 1, 1989 between the City and the Company (the "Bond Loan Agreement") to finance a portion of the costs of the acquisition, conatruction and equipping of the Project; (4) the Issuer has also agreed to enter into a revenue agreement with the Company (in the form of the Loan Agreement as hereinafter defined) which provides for the Issuer to finance a portion of the coats of the acquisition, conatruction and equipping of the Project by making a loan (the "Loan") to the Company to be funded through the issuance of a Multifamily Housing Revenue Note, Series 1989 (Cottages of Maplewood Project), in the aggregate principal amount of $264,000 (the "Note"); (5) the amount estimated to be necessary to finance the costs of the Project, including the coats and estimated costs permitted by Section 469.157 of the Act, in addition to the issuance of the Bonds and other moneys to be contributed by the Company, will require the issuance of the Note in the principal amount of $264,000 as hereinafter provided;- . (6) it is desirable, feasible and consistent with the objects and purposes of the Act to issue the Note, for the purpose of financing a portion of the costs of the Project; (7) under the terms of the Loan Agreement, the Company has agreed to the repayment of the sums borrowed pursuant thereto; (8) in connection with the issuance of the Note and the Bonds, the Company will enter into a Regulatory Agreement dated as of May 1, 1989 with the Issuer and Bond Trustee (the "Regulatory Agreement") and will execute a Declaration of Restrictive Covenants dated as of May 1, 1989 (the"Declaration") relating to compliance with certain federal, state and local requirements applicable to the Project; 7 5-18-89 (9) to provide additional security for the repayment of the Note, Mid America Bank Maplewood, a state banking corporation, organized under the laws of the State of Minnesota, has agreed to issue its Irrevocable Standby Letter of Credit (the "Initial Credit") to secure the payment of the principal and interest on the Note; and (10) the Note and the interest accruing thereon do not constitute an indebtedness of the City within the meaning of any constitutional or statutory limitation and do not constitute or give rise to a pecuniary liability or a charge against the general credit or taxing powers of the City and neither the full faith and credit nor the taxing powers of the City is pledged for the payment of the Note or interest thereon. 1-4. Authorization and Ratification of Proiect. The City has heretofore and does hereby authorize the Company, in accordance with the provisions of the Act and subject to, among other things, the terms and conditions set forth in the Disbursing Agreement, to provide for the construction and installation of the Project pursuant to the Plans and Specifications by such means as shall be available to the Company and in the manner determined by the Company, and without advertisement for bids as may be required for the construction and acquisition of municipal facilities; and the City hereby ratifies, affirms, and approves all actions heretofore taken by the Company consistent with and in anticipation of such authority and in compliance with the Plans and Specifications. ARTICLE TWO NOTE 2-1. Authorized Amount andFormof Note. The Note issued pursuant to this Resolution shall be in substantially the form set forth herein, with such appropriate variations, omissions and insertions as are permitted or required by this Resolution, and in accordance with the further provisions hereof; and the total principal amount of the Note that may be outstanding hereunder ie expressly limited to $264,000, unless a duplicate Note is issued pursuant to Section 2-7. The Note shall be in substantially the following form: 8 5-18-89 UNITED STATE OF AMERICA STATE OF MINNESOTA COUNTY OF RAMSEY CITY OF MAPLEWOOD Multifamily Housing Revenue Note, Series 1989 (Cottages of Maplewood Project) FOR VALUE RECEIVED the CITY OF MAPLEWOOD, Ramsey County, Minnesota, (the "City") hereby promisee to pay_ in Minnesota, its successors or registered assigns (the "Lender"), from the source and in the manner hereinafter provided, the principal sum of AND /100 DOLLARS or so much thereof as remains unpaid from time to time (the "Principal Balance"), with interest at the rate of percent ( 81 per annum, in any coin or currency which at the time or times of payment is legal tender for the payment of public or private debts in the United States of America, in accordance with the terms hereinafter set forth. 1. The principal of and interest on this Note shall accrue and be payable ae follows: (a). Interest. Interest on the Principal Balance of this Note shall accrue from and after the date of this Note and shall be payable on February 1, May 1, August 1 and November 1 of each year, (each an "interest Payment Date"), commencing on August 1, 1989. (b) Principal. Installments of the Principal Balance of the Note shall mature on May 1, in the years and amounts set forth below: Payment Date Amount 1994 $ 1995 1996 1997 1998 1999 9 5-18-89 2. Zn any event, the payments hereunder - shall be sufficient to pay all principal and interest _ due, as such principal and interest becomes due, and to pay any premium or service charge, at maturity, upon redemption, or otherwise. Interest shall be computed on the basis of a 360 day year, but charged for the actual number of days elapsed in a 365 day year. 3. Principal and interest and premium, if any, or any service charge due hereunder shall be payable at the principal office of the Lender, or at such other place as the Lender may designate in writing. 4. This Note is issued by the City to provide funds to be loaned to the Company pursuant to a Loan Agreement dated as of May 1, 1989, by and between the City and Cottages of Maplewood Limited Partnership, a Minnesota limited partnership (the "Company") to assist in the financing of a rental housing project. Use and operation of the Project. will be subject to certain requirements and tax covenants contained in a Regulatory Agreement dated as of May 1, 1989, by and between, among others, the City and the Company (the "Regulatory Agreement") and a Declaration of Restrictive Covenants dated ae of May 1, 1989, executed by the Company (the "Declaration"), which will be recorded as covenants running with the land and requiring compliance with federal and state requirements similar to those contained in the Regulatory Agreement. This Note is further issued pursuant to and in full compliance with the Constitution and laws of theState of Minnesota, particularly, Minnesota Statutes, Chapter 462C, and pursuant to a resolution of the City Council duly adopted on April 20, 1989 (the "Resolution"). 5. Capitalized terms used. herein shall have the following meanings and if not defined herein shall have the same meaning given them in the Note Resolution or Loan Agreement: A. "Bank" means Town and Country State Bank of Maplewood, in Maplewood, Minnesota, or any subsequent entity, providing a Replacement Credit; B. "Credit" means the Initial Credit and any Replacement Credit; i 10 5-18-89 C. "Credit Agreement" means the agreement by and between the Lender and the Company, pursuant to which the terms under which the Lender may draw on a Credit are set forth; D. "Initial Credit" means the irrevocable standby letter of credit issued by Town and Country with respect to the Note in an amount equal to the sum of (i) the outstanding principal amount of the Note, and (ii) 195 days interest thereon; E. "Replacement Credit" means a letter of credit issued to replace an ' existing Credit; and F. "Town and Country" means Town and Country State Bank of Maplewood, a Minnesota state banking corporation; 6. This Note is secured by a Pledge Agreement of even date herewith by the City to the Lender (the ".Pledge Agreement") and by the Initial Credit issued by Mid America Bank Maplewood, which expire on The Company is required, in accordance with the Loan Agreement, to provide the Initial Credit or a Replacement Credit, until the Final Maturity Date of the Note in an amount equal to the sum of (i) the outstanding Frincipal Balance of the Note, and (ii) at least 195 days interest thereon. The Initial Credit or any Replacement Credit may be replaced upon satisfaction of the conditions therefore stated in the Loan - Agreement. The Lender may draw on the Initial Credit or any replacement Credit upon the terms set forth in the Credit Agreement dated as of May 1, 1989, executed by the Company in favor of the lender (the "Credit Agreement"). The proceeds of the Note are to be placed in the Construction Fund established pursuant to the Resolution and the Disbursing Agreement (hereinafter referred to), and the disbursement of the proceeds of this Note from the Construction Fund is subject to the terms and conditions of a Disbursing Agreement of even date herewith among the City, the Company and Commonwealth Land Title insurance Company (the "Disbursing Agreement"). 7. The City, for itself, its successors and assigns, hereby waives demand, presentment, protest and notice of dishonor; and to the extent 11 5-18-89 permitted by law, the Lender may extend interest and/or principal of or any service charge or premium , due on this Note, including the Final Maturity Date, all without notice to or consent of any party liable hereon or thereon and without releasing any such party from such liability and whether or not ae a result thereof the interest on the Note ie no longer exempt - from the federal income tax. In no event, however, may the Final Maturity Date be extendedbeyond thirty (30) years from the date hereof. 8. This Note may not be prepaid prior to May 1, 1993. Beginning on May 1, 1993, this Note may be prepaid in whole, but not in part, on May 1, 1993 upon payment of a premium of two percent (28). The premium for prepayment shall decrease one percent (18) on each May 1 thereafter. Beginning with May 1, 1995, this Note may be prepaid in whole but not in part, without premium. - 9. This Note is also subject to prepayment, without premium, to the extent that there are any surplus sums held in the Construction Fund as provided under Section 6 of the Disbursing Agreement. 10. In the event of prepayment of this Note, the Lender shall apply any such prepayment against the applicable prepayment premium, if any, then against the accrued interest on the Principal Balance and finally against the final principal amounts due under the Note. The monthly .payments due under paragraph 1 hereof, shall continue to be due and payable in full until the entire Principal Balance and accrued interest on this Note have been paid regardless of any partial prepayment made hereunder. 11. Ae provided in the Resolution and subject to certain limitations set forth therein, this Note is only transferable upon the books of the City at the office of the Manager, by the Lender in person or by his agent duly authorized in writing, at the Lender's expense, upon surrender hereof together with a written instrument of transfer satisfactory to the Manager, duly executed by the Lender or its duly authorized agent. Upon such transfer the Manager will note the date of registration and the name and address of the new registered Owner in the registration blank appearing below. The City may deem and treat the person in whose name the Note is last registered upon the books of the City with such registration noted on the Note, ae the absolute owner hereof, whether or not overdue, for the purpose of receiving payment of or on 12 5-18-89 the account, of the Principal Balance, redemption price or interest and for all other purposes, and all such payments so made to the Lender or upon hie order shall be valid and effective to satisfy and discharge the liability upon the Note to the extent of the sum or sums so paid, and the City shall not be affected by any notice to the contrary. 12. All of the agreements, conditions, covenants, provisions and stipulations contained in the Resolution, the Loan Agreement, the Pledge Agreement, the Credit Agreement, the Regulatory Agreement, the Declaration and the Disbursing Agreement are hereby made a part of this Note to the same extent and with the same force and effect as if they were fully set forth herein. ' 13. This Note and interest thereon and any service charge or premium due hereunder are payable solely form the revenues and proceeds derived from the Loan Agreement and Credit Agreement, and do not constitute a debt of the City within the meaning of any constitutional or statutory limitation,m are not payable from or a charge upon any funds other than the revenues and proceeds pledged to the payment thereof, and do not give rise to a pecuniary liability of the City or, to the extent permitted by law, of any of its officers, agents or employees, and no holder of - this Note shall ever have the right to compel any exercise of the taxing power of the City to pay this Note or the interest thereon, or to enforce payment thereof against any property of the City, 'and this Note does not constitute a charge, lien or encumbrance, legal or equitable, upon any property of the City, and the agreement of the City to perform or cause the performance of the covenants and other provisions herein referred to shall be subject at all times to the availability of revenues or other funds furnished for such purpose in accordance with the Loan Agreement, sufficient to pay all costs of such performance or the enforcement thereof. 14. It is agreed that time is of the essence of this Note. If an Event of Default (as that term is defined in-the Loan Agreement) shall occur, when the Lender shall have the right and option to declare, without prior notice of any kind, the Principal Balance and accrued interest thereon, immediately due and payable, whereupon the same, plus any premiums or service charges, shall be due and payable, but solely from sums made available under the Loan Agreement, the Credit Agreement and the 13 5-18-89 i Disbursing Agreement. Failure to exercise such option at any time shall not constitute a waiver of the right to exercise the same at any subsequent time. 15. The remedies of the Lender, as provided herein and in the Credit Agreement, the Loan Agreement, the Pledge Agreement and the Disbursing Agreement, are not exclusive and shall be cumulative and concurrent and may be pursued singly, successively or together, at the sole discretion of the Lender, and may be exercise as often as occasion therefor shall occur; and the failure to exercise any such right or remedy shall in no event be construed as a waiver or release thereof. 16. The Lender shall not be deemed, by any act of omission or commission, to have waived any of its rights or remedies hereunder unless such waiver is in writing and signed by the Lender and, then only to the extent specifically set forth in the writing. A waiver with reference to one event shall not be construed as continuing or as a bar to or waiver of any right or remedy as to a subsequent event. 17. This Note has been issued without registration under state or federal or other securities laws, pursuant to an exemption for such issuance; and accordingly the Note may not be assigned or transferred in whole or part, nor may a participation interest in the Note be given pursuant to any participation agreement, except in, accordance with an applicable exemption from such registration requirements. 18. It is recognized that the obligations of the Company are non-recourse obligations to the extent provided in Section 6.08 of the Loan Agreement. 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 Note do exiat,.have happened and have been performed in regular and due form as required by law. IN WITNESS WHEREOF, the City has caused this Note to be duly executed in its name by the manual signatures of the Mayor and Manager and has caused the corporate seal to be affixed hereto, and has caused this Note to be dated May 1, 1989. CITY OF MAPLEWOOD, MINNESOTA 14 5-18-89 Mayor Attest• Manager (SEAL) PROVISIONS AS TO REGISTRATION The ownership of the unpaid Principal Balance of this Note and the interest accruing thereon is registered on the books of the City of Maplewood in the name of the holder last noted below. Date of Name and Addreae Signature of Reaistrat ion Registered Owner Manager . 1989 2-2. The Initial Note. The Note shall be dated as of the date of delivery, shall be payable at the times and in the manner, shall bear interest at the rate, and shall be subject to such other terms and conditions as are set forth therein. 2-3. Execution. The Note shall be executed on behalf of the City by the signatures of its Mayor and Manager and shall be sealed with the seal of the City. In case any officer whose signature shall appear on the Note shall cease to be such officer before the delivery of the Note, such aignatureshall nevertheless be valid and sufficient for all purposes, the same as if had remained in office until delivery. In the event of the absence or disability of Mayor or the Manager such officers of the City as, in the opinion of the City Attorney, may act in their behalf, 15 5-18-89 shall without further act or authorization of the City Council execute and deliver the Note. 2-4. Delivery of Initial Note. Before delivery of the Note there shall be filed with the Lender (except to the extent waived by the Lender) the following items: (1) an executed copy of each of the following documents: (A) the Loan Agreement; (B) the Pledge Agreement; (C) the initial Credit; (D) the Credit Agreement; (E) the Disbursing Agreement; (F) the Regulatory Agreement; (G) the Declaration; (2) an opinion of Council for the Company as prescribed by Bond Counsel; (3) the opinion of Bond Counsel as to the validity and tax exempt status of the Note; (4) such other documents and opinions as.BOnd Counsel may reasonably require for purposes of rendering its opinion required in subsection (3) above or that the Lender may reasonably require for the closing. 2-5. Disposition of Note Proceeds. (1) There is hereby established a Construction Fund to be held by Title as a separate account of the City as provided in the Disbursing Agreement. Upon delivery of the Note to Lender, the proceeds of theNOte shall be credited to the Construction Fund held by Title on behalf of the City, at which time the entire principal amount of the Note shall be deemed advanced, and Title shall, on behalf of the City, disburse funds from the Construction Fund for payment of Project Costs upon receipt of each supporting documentation as Title may deem reasonably necessary, including compliance with the provisions of the Disbursing Agreement. Title or the Company shall 16 5-18-89 provide the City with a full accounting of all funds disbursed for Project Costs. (2) Ariy surplus in the Construction Fund shall be applied towards the prepayment of the Note as provided in the Disbursing Agreement and shall not be invested to produce a yield greater than the yield on the Note, as required by Internal Revenue Service Revenue Procedure 79-5, Revenue Procedure 81-22 and 26 CFR 601.201 (and any subsequent amendments, modifications or replacements thereof); provided that, if the Lender receives an opinion of Bond Counsel that the exemption from federal income taxation of interest on the Notes will not be jeopardized, the surplus funds may be invested at a yield greater than the yield on the Note. 2-6. Registration of Transfer. The City will cause to be kept at the office of the Manager a Note Register in which, subject to such reasonable regulations as it may prescribe, the City shall provide for the registration - of transfers ofownerahip of the Note. The Note shall be initially registered in the name of the Lender and shall be transferable upon the Note Register by the Lender in person or by its agent duly authorized in writing, upon surrender of the Note together with a written instrument of transfer satisfactory to the Manager, duly executed by the Lender or its duly authorized agent. The following form of assignment shall be sufficient for said purpose. For value received hereby sells, assigns and transfers unto the within Note of the City of Maplewood, Minnesota, and does hereby irrevocable constitute and appoint attorney to transfer said Note on the books of said City with full power of substitution in the premises. The undersigned certificates that the transfer be made in accordance with the provisions of Section 2-9. Dated: Registered Owner Upon such transfer the Manager shall note the date of registration and the name and address of the new Lender in the Note Register and in the registration blank appearing on the Note. - 17 5-18-89 2-7. Mutilated, Lost or Destroved Note. in case any Note issued hereunder shall - become mutilated or be destroyed or lost, the City shall, if not then prohibited by law, cause to be executed and delivered, a new Note of like outstanding principal amount, number and tenor in exchange and substitution for and upon cancellation of such mutilated Note, or in lieu of and in substitution for such Note destroyed or lost, upon the Lender's paying the reasonable expenses and charges of the-City in connection therewith, and in the case of a Note destroyed or lost, the filing with the City of evidence satisfactory to the City with indemnity satisfactory to it. If the mutilated, destroyed ror lost Note has already matured or been called for redemption in accordance with its terms, it shall not ' be necessary to issue a new Note prior to payment. 2-8. Ownerahio ofNote. The City may deem and treat the person in whose name the Note ie last registered in the Note Register and by notation on the Note whether or not such Note shall be overdue, as the absolute owner of such Note for the purpose of receiving payment of or on account of the Principal Balance, redemption price or interest and for all other purposes whatsoever, and the City shall not be affected by any notice to the contrary. 2-9. Limitation on Note Transfers. The Note has been issued without registration under state or other securities laws, pursuant to an exemption for such issuance; and accordingly, the Note may not be assigned or transferred in whole or part, nor may a participation interest in the Note be given pursuant to any participation agreement, except in accordance with an applicable exemption from such registration requirements. 2-10. Issuance of New Notes. Subject tothe provisions of Section 2-9, the City shall, at the request and expense of the Lender, issue a new note, in aggregate outstanding principal amount equal to that of the Note surrendered, and of like tenor except as to principal amount and registered in the name of the Lender or such transferee as may be designated by the Lender. 18 5-18-89 ARTICLE THREE GENERAL COVENANTS 3-1. Payment of Principal and Interest. The City covenants that it will promptly pay or cause to be paid the principal of and interest on the Note at the place, on the dates, solely from the source and in the manner provided herein and in the Note. The principal and interest are payable solely from and secured by revenues and proceeds derived from the Loan Agreement, the Pledge Agreement, the Credit Agreement and the Disbursing Agreement, which revenues and proceeds are hereby specifically pledged to the payment thereof in the manner and to the extent specified in the Note, the Loan Agreement, ' the Pledge Agreement, the Disbursing Agreement and the Credit Agreement; and nothing in the Note or in this Resolution shall be considered as assigning, pledging or otherwise encumbering any other funds or assets of the City. 3-2. Performance of and Authority for Covenants. The City covenants that it will faithfully perform at all times any and all covenants, undertakings, stipulations and provisions contained in this Resolution, in the Note executed, authenticated and delivered hereunder and in all proceedings of the City Council pertaining thereto; that it is duly authorized under the Constitution and laws of the State of Minnesota including particularly and without limitation the Act, to iasuethe Note authorized hereby, pledge the revenues and assign the Loan Agreement in the manner and to the extent set forth in this Resolution, the Note, the Loan Agreement and the Pledge Agreement; that all action on its part for the issuance of the Note and for the execution and delivery thereof has been duly effectively taken; and that the Note in the hands of the Lender is and will be a valid and enforceable special limited obligation of the City according to the terms thereof. 3-3. Enforcement and Performance of Covenants. The City agrees to enforce all covenants and obligations of the Company under the Loan Agreement and Disbursing Agreement, upon request of the Lender and being indemnified to the satisfaction of the Authority for all expenses and claims arising therefrom, and to perform all covenants and other 19 5-18-89 provisions pertaining to the City contained in the Note, the Loan Agreement and the Disbursing Agreement, subject to the provisions of Section 3-4 hereof. 3-4. Nature of Security. Notwithstanding anything contained in the Note, the Credit Agreement, the Disbursing Agreement, the Loan Agreement, the Pledge Agreement or any other document referred to in Section 2-4 to the contrary, under the provisions of the Act, the Note may not be payable from or be a charge upon any funds of the City other than the revenues and proceeds pledged to the payment thereof; nor shall the City be subject to any liability thereon, nor shall the Note otherwise contribute or give rise to a pecuniary liability of the City or, to the extent permitted by law, any of > the City•s officers, employees and agents. No holder of the Note shall ever have the right to compel any exercise of the taxing power of the City to pay the Note or the interest thereon, or to enforce payment thereof against any property of the City other than the revenues pledged under the Pledge Agreement; and the Note shall not constitute a charge, lien or encumbrance, legal or equitable, upon any property of the City; and the Note shall not constitute a debt of the City within the meaning of any constitutional or statutory limitation; but nothing in the Act impairs the rights of the Lender to enforce the covenants made for the security thereof as provided in this Resolution, the Loan Agreement, the Pledge Agreement, the Credit Agreement, the Disbursing Agreement and in the Act, and by authority of the Act the City has made the covenants and agreements herein for the benefit of the Lender;l provided that in anyevent, the agreement of the City to perform or enforce the covenants and other provisions contained in the Note, the Loan Agreement, the Pledge Agreement and the Disbursing Agreement, shall be subject at all times to the availability of revenues under the Loan Agreement sufficient to pay all costa of such performance or the enforcement thereof, and the City shall not be subject to any personal or pecuniary liability thereon. 3-5. Preservation of Tax Exemnt Status of the Note. (1) In order to preserve the tax exempt status of the Note, the City covenants that it shall take such actions ae are required and 'within its reasonable control to prevent the interest on the Note from becoming taxable for federal income tax purposes for the owners thereof (other than any owner who is a 20 5-18-89 "substantial user" or "related person thereto" within the meaning of Section 148 of the Code) including but not limited to taking all actions-required of it under. Section 146 of the Code. To this end, the City shall: (A) cause the Company to maintain records identifying all "gross Proceeds" attributable to the Note, the yield at which such gross proceeds are invested, any arbitrage profit derived therefrom, and any earnings derived from the investment of such arbitrage profit; (B) make and maintain on file all annual determinations of the amount, if any, of excess arbitrage required to be rebated to the United States; (C) rebate to the United States at lease > once every five years the amount, if any, which is required to be rebated to the United States, including the last installment which shall be made no later than 60 days after the day on which the Note is paid in full; (D) not invest "gross proceeds" in any acquired nonpurpoee obligations eo ae to deflect arbitrage otherwise payable to the United States ae a "prohibited payment" to a third party; (E) refrain from investing any "gross Proceeds" allocable to the Note in acquired nonpurpoee obligations at a yield in excess of the yield on the Note to the extent such gross proceeds exceed in any calendar year more than 150 of the debt service requirements for the Note in that calendar year; and (F) retain on file all records of the annual determination of the rebate amount until six (6) yearn after the retirement of the Note. ARTICLE FOUR MISCELLANEOUS 4-1. Severability. If any provision of this Resolution shall be held or deemed to be or shall, in fact, be inoperative or unenforceable ae applied in any particular case in any jurisdiction or jurisdictions or in all jurisdictions or in all cases because it conflicts with any provisions of any constitution or statute or rule or public policy, or for any other 21 5-18-89 reason, ouch circumstances shall not have the effect of rendering the provision in question inoperative or unenforceable in any other case or circumstance, or of rendering any other provision or provisions herein contained invalid,. inoperative, or unenforceable to any extent whatever. The invalidity of any one or more phrases, sentences, clauses or paragraphs in this Resolution contained shall not affect the remaining portions of this Resolution or any part thereof. 4-2. Authentication of Tranacriot The officers of the City are directed to furnish to Hond Counsel certified copies of this Resolution and all documents referred to herein, and affidavits or certificates as to all other matters which are reasonably necessary to evidence the validity of the Note. All such certified copies, certificates and affidavit e, including any heretofore furnished, shall constitute recitals of the City as to the correctness of all statements contained therein. 4-3. Reoietration of Resolution. The City Manager ie authorized and directed to cause a copy of this Resolution to be filed with the County Auditor of Ramsey County, and to obtain from said County Auditor a certificate that the Note as a bond of the City has been duly entered upon his bond register. 4-4. Authorization to Execufe Agreements The forme of the proposed loan Agreement, the Pledge Agreement and the Disbursing Agreement, are hereby approved in substantially the form heretofore presented to the City Council, together with such additional details therein as may be necessary and appropriate and such modifications thereof, deletions therefrom and additions thereto as may be necessary and appropriate and approved by Bond counsel prior to the execution of the documents, and the mayor and Manager of the City are authorized to execute the Loan Agreement, the Pledge Agreement and the Disbursing Agreement in the name of and on behalf of the City and such other documents ae Bond Counsel consider appropriate in connection with the issuance of the Note. In the event of the absence or disability of the Mayor or the Manager such officers of the City ae, in the opinion of the City Attorney, may act in their behalf, shall without further act or authorization of the City Council do all things and execute all instruments and documents required to be done or executed by such absent or disabled officers. The execution of any instrument by the appropriate officer or officers of the City herein authorized shall be 22 5-18-89 conclusive evidence of the approval of such documents in accordance with the terms hereof. Adopted: April 20, 1989 Mayor of the City of Maplewood Attest: ' Manager Seconded by Councilmember Roaebach. Ayes - all. d. Councilmember Anderson introduced the followinc resolution and moved its adootion• ' 89-5-78 RESOLUTION AUTHORIZING THE ISSUANCE OF MULTIFAMILY MORTGAGE REVENUE BONDS, SERIES 1989 TO FINANCE A PROJECT AND PROGRAM THEREFORE AND AUTHORIZING THE EXECUTION OF VARIOUS DOCUMENTS IN CONNECTION THEREWITH (COTTAGES OF MAPLEWOOD PROJECT-- FHA INSURED MORTGAGE LOAN) BE IT RESOLVED BY THE COUNCIL OF THE CITY OF MAPLEWOOD, MINNESOTA, ae follows: 1. The Council has previously received a proposal from Cottages of Maplewood Limited Partnership, a Minnesota limited partnership (the "Company") that the City of Maplewood (the "City") undertake a multifamily housing development program to finance a portion of the coats of a certain residential rental project ae herein described, pursuant to Minnesota Statutes, Chapter 462C (the "Act"), through the issuance by the City of its $2,230,000 Multifamily Housing Revenue Bonds, Series 1989 (Cottagee of Maplewood Project - FHA insured Mortgage Loan) (the "Sonde") and in accordance with a Bond Purchase Agreement (the "Bond Purchase Agreement" between the City and the Company, and Juran and Moody, Inc., (the "Bond Purchaser"). 2. The Company desires to construct on certain real estate owned by it and located in the City, a 59- unit multifamily housing rental facility (the "Project"). The Project will provide rental housing to low and moderate income persons (ae described 23 5-18-89 below) and to elderly persons and will otherwise further the policies and purposes of the Act. Public hearings on the Project and the financing program therefor were duly held by the City Council on December 14, 1987 and November 14, 1988. The findings made in the Preliminary Resolution adopted by this City Council on December 14, 1987 with respect to the Project, the Bonds and the Note are hereby ratified, affirmed and approved. 3. It is proposed that, pursuant to a Loan Agreement to be dated as of May 1, 1989, between the City ae Lender and the Company as Borrower (the "Loan Agreement"), the City loan the proceeds of the Bonds to the Company to finance in part the coats of the Project. The Basic Payments to be made by the Company under the Loan Agreement are fixed eo as to produce revenue sufficient to pay the principal of, premium, ' if any, interest on, and the purchase price of, the Bonds when due. It is further proposed that the City assign its rights to the Basic Payments and certain other rights under the Loan Agreement to American National Sank and Trust company, a national banking association located in St. Paul, Minnesota (the "Trustee") ae security for payment of the Bonds under an Indenture of Trust dated ae of May 1, 1989 between the City and the Trustee (the "Indenture"). 4. The operation and occupancy of the Project will be subject to the terms and conditions of a Regulatory Agreement dated as of May 1, 1989, between the City, the Trustee and the Company (the "Regulatory Agreement") and a Declaration of Restrictive Covenants (the "Declaration") dated as of May 1, 1989, executed by the Company and recorded as covenants and restrictions running with the land on which the Project is to be located. The Bond Proceeds loaned pursuant to the Loan Agreement will be used to fund a mortgage loan made to the Company to finance the acquisition, construction and installation of-the Project, which mortgage loan will be insured by the Federal Housing Administration ("FHA") of the United States Department of Housing and Urban Development ("HUD") ae further described in the Official Statement (as defined below) and to fund a reserve fund. 5. The City and the Company will enter into a Development Agreement dated as of April 1, 1989 (the "Development Agreement") relating to certain tax increment financing assistance to be granted by the City to the Project. 24 5-18-89 6. This Council, by action taken on December 14, 1987, gave preliminary approval (the "Preliminary Resolution") to the proposal for the Project and the financing program therefor. The Minnesota Housing Finance Agency has given approval to the proposed financing program for the Project by issuing its nonrejection letter under the Act. The City obtained allocation of Bonding Authority pursuant to Chapter 474A.091 on or about November 28, 1988 and filed a Carry-forward 8lection for such allocation on December 22, 1988 under Section 146(f) of the Internal Revenue Code of 1986, as amended. The findings of the City Council of the City made in the Preliminary Resolution with respect to the Project are hereby ratified, affirmed and approved. 7. Forma of the following documents relating to the Bonds have been submitted for review to the City Attorney and to the City Council for approval: (a) the-Loan Agreement; (b) the Indenture; (c) the Regulatory Agreement; (d) the Declaration (not executed by the City); - (e) the bond Purchase Agreement; (f) the Development Agreement; and (g) the Preliminary Official Statement (not executed by the City). 8. It ie hereby found, determined and declared that: (a) the Project described in the Loan Agreement and Indenture referred to above constitutes a Project authorized by the Act and the financing program for the Project is authorized by the Act; (b) the purpose of the Project and the financing program for the Project is, and the effect thereof will be, to promote the public welfare by the construction, installation and equipping of a rental housing facility for assisting persona of low income and elderly persona within the City to obtain decent, safe and sanitary housing at rentals they can afford; (c) the Project ie to be located within the City limits, at a site which ie easily accessible to 26 5-18-89 persona residing within the City and the surrounding communities; (d) the construction and installation of the Project, the issuance and sale of the Bonds, the execution and delivery by the City of the Loan Agreement, the Indenture, the Regulatory Agreement, the Bond Purchase Agreement and the Development Agreement (collectively, the "Agreements"), and the performance of all covenants and agreements of the City contained in the Agreements, and of all other acts and things required under the constitution and laws of the State of Minnesota to make the Agreements - and the Bonds valid and binding obligations of the city in accordance with their terms, are authorized by the Act; (e) it is desirable that the Company be authorized, in accordance with the provieione of the Act and subject to the terms and conditions set forth in the .Loan Agreement, the Regulatory Agreement and the Declaration (which terms and conditions the City determines to be necessary, desirable and proper), to construct and install the Project by such means as shall be available to the Company and in the manner determined by the Company, and with or without advertisement for bids as required for the acquisition and installation of municipal facilities; - (f) it is desirable that the Sonde be issued by the City upon the terms set forth in the Indenture; (g) the Basic Payments under the Loan Agreement are fixed to produce revenues sufficient to provide for the prompt payment of principal of, premium, if any, interest on, and the purchase price of, the Bonds issued under the Indenture when due, and the Loan Agreement, Regulatory Agreement, Declaration and Indenture also provide that the Company is required to pay all expenses of the operation and maintenance of the Project, including, but without limitation, adequate insurance thereon and insurance against all liability for injury to persons or property arising from the operation thereof, and all taxes and special asseaementa levied upon or with respect to the Project Premises (as defined in the indenture) and payable during the term of the Loan Agreement, Regulatory Agreement, Declaration and Indenture; and (h) under the provieione of Minnesota Statutes, Section 46X.07, and ae provided in the Loan Agreement and Indenture, the Bonds are not to be payable from or 26 5-18-69 charged upon any funds other than the revenues pledged to the payment thereof; the city ie not subject to any liability thereon; no holder of any Bonds shall ever have the right to compel any exercise by the City of its taxing powers to pay any of the Bonds or the interest or premium thereon, or to enforce payment thereof against any property of the City except the interests of the City in the Loan Agreement which have been assigned to the Trustee under the Indenture; the Bonds shall not constitute a charge, lien. or encumbrance, legal or equitable, upon any property of the City except the interests of the City in the Loan _ Agreement which have been assigned to the Trustee under the Indenture; the Sonde shall recite that the Bonds are issued without moral obligation on the part of the state of its political subdivisions, and that the Bonds, including interest thereon, are payable solely from the revenues pledged to the payment thereof; and the Bonds shall not constitute a debt of the City or its political subdivision within the meaning of any constitutional or statutory limitation. 9. The City hereby elects to have Section _ 142(d)(1)(B) of the InternalRevenue Code of 1986, as amended (requiring that 40 percent or more of the rental units in the Project be occupied by tenants whose units in the Project be occupied by tenants whose income ie 60 percent or leas of or a median gross income (adjusted for family size) apply to the Bonds. 10. Subject to the approval of the City Attorney and the provisions of paragraph 14 hereof, the forms of the Agreements and exhibits thereto and all other documents described in paragraph 7 hereof are approved substantially in the form submitted and on file in the office of the City Manager, with such subsequent changes ae may be approved by the City and the City Attorney. The Agreements, in substantially the form submitted, are directed to be executed in the name and on behalf of the City by the Mayor and the or City Manager. Any other documents and certificates necessary to the transaction herein described shall be executed by the appropriate City Officers. Copies of all of the documents necessary to the transaction herein described shall be delivered, filed and recorded as provided herein and in the Loan Agreement and Indenture. 11. The City hereby authorizes the use and circulation by the Bond Purchaser of nn Official Statement in connection with the offer and Bale of the 27 5-18-89 Bonds. The City hereby finds that the information contained in the section of the Preliminary Official Statement captioned "the Issuer" does not contain any untrue statement and hereby approves in substantially the form submitted to the City Council at this meeting such information for inclusion in the Official Statement; and the City hereby ratifies, confirms and consents to the use of said section in the Official Statement in connection with the sale of the Bonds. The city has not prepared nor made any independent investigation of the information contained in the Preliminary Official Statement (other than the section therein captioned "the Issuer") and takes no responsibility for such information. 12. The Bonds shall bear interest at a rate or rates, not to exceed ten percent (lOB) per annum established by the Company, the Hond Purchaser, and the Pricing Committee hereinafter referred to. There is hereby appointed a Pricing Committee to which ie hereby delegated the power and authority to agree with the Company and Bond Purchaser on the interest rates for each maturity. The Mayor and City Manager are hereby appointed by the City to the Pricing Committee, with full power and authority to bind the City, subject to the limitations stated herein. 13. The City shall proceed forthwith to issue its Bonds, in the form and upon the terms set forth in the Indenture. The Bonds shall mature on the dates ae set forth in the Indenture. The offer of the Bond Purchaser to purchase the Bonds at percent (_8) of their principal amount, plus accrued interest to the date of delivery is hereby accepted. The Mayor and City Manager are authorized and directed to prepare and execute the Bonds as prescribed in the Indenture and to deliver them to the Trustee for authentication and delivery to the bond Purchaser. 14. The Mayor and City Manager and other appropriate officers of the City are authorized and directed to prepare and furnish to the Bond Purchaser certified copies of all proceedings and records of the City relating to the Bonds, and such other affidavits and certificates ae may be required to show the facts relating to the legality of the Bonds as such facts appear from the books and records in the officers' custody and control or as otherwise known to them; and all such certified copies, certificates and affidavits, including any heretofore furnished, shall 28 5-18-89 - constitute repreeentatione of the City as to the truth of all statements contained therein. 15. The approval hereby given to the Agreements and the various other documents referred to in paragraphs 7 and 10 above includes approval of (a) such additional details therein as may be necessary and appropriate and such modifications thereof, deletions therefrom and additions thereto as may be necessary and appropriate and approved by Bond Counsel, the City Attorney and the City officials authorized herein to execute said documents prior to their execution and (b) such additional documents, agreements or certificates ae may be necessary and appropriate in connection with the Agreements and with the issuance and sale of the Bonds and approved by Bond Counsel, the City Attorney and City officials authorized herein to execute said documents prior to their execution; and said City Attorney and City officials are hereby authorized to approve said changes or additional documents, agreements or certificates on behalf of the City. The execution of any instrument by the appropriate officer or officers of the City herein authorized shall be conclusive evidence of the approval of such documents in accordance with the terms thereof and hereof. In the absence (or inability) of the Mayor or City Clerk or City Manager, any of the documents authorized by this resolution to be executed by them may be executed by the Acting Mayor or the Acting City Manager, respectively. 16. It is understood and agreed that the Company shall indemnify the City against all liabilities, losses, damages, costs and expenses (including attorney's fees and expenses incurred by the City) arising with respect to the Project or the Bonds, ae provided for and agreed to by and between the Company and the City in the Loan Agreement and the Bond Purchase Agreement. Paeaed: April 20, 1989. Mayor Attest• City Manager Seconded by Councilmember Roaebach. Ayes - all. 2. Hillcrest Sanitary Sewer Project 86-22 - Revise Assessment Roll. 29 5-18-89 a. Manager McGuire presented the Staff report. b. Councilmember Rosabach moved to revise the Hillcreat Sanitary Sewer Proiect 86-22 Assessment Roll ae follows: Property I.D. 24-29-22-22-00'17 be reduced to one unit - $300.00 Property I.D. 24-29-22-22-0016 be reduced to one unit - $300.00 Seconded by Mayor Greavu. Ayes - all. 3. Walter Street, Project 84-14, Review Assessment Roll a. Manager McGuire presented the Staff report. b. Mayor Greavu moved that the assessment for PIN 16-29-22-42-0080 remain as vresented. (Silberbaverl Seconded by Councilmember Anderson. Ayes - Mayor Greavu, Councilmembers Anderson and Juker. Nays - Councilmembera Bastian and Rosabach. c. Mayor Greavu moved that the assessment for PIN 16-29-22-42-0013 be reduced from S10.144.95 to S7500.00. (Johnson) Seconded by Councilmember Anderson. Ayes - Mayor Greavu, Councilmembera Anderson and Juker. Nays - Councilmembera Bastian and Rosabach. 4. Planning Commission Survey a. Manager McGuire presented the Staff report. b. Commissioner Lorraine Fischer presented her opinion of reducing the Planning Commission. c. Gary Gerke, an applicant for the Planning Commission, stated he feels eleven members are needed. d. Councilmember Juker moved to table this item until after meeting with the Planning Commission and not to fill the vacancies. Seconded by Councilmember Anderson. Ayes - Mayor Greavu, Councilmembere Anderson, Juker and Rosabach. Nay - Councilmember Bastian. 30 5-18-89 5. Pay Equity/Comparable Worth a. Manager McGuire presented the Staff report. b. Mayor Greavu moved to adopt the following pay schedule for the Staff Services Coordinator effective Mav 15, 1989, with the understanding that it be re-evaluated in two years: 5/15/89 5/15/90 5/15/91 $ 3214/Month $ 3408/Month $3612/Month Seconded by Councilmember Rosebach. Ayes - Hayor Greavu, Councilmembere Bastian and Rosebach Nays - Councilmembere Anderson and Juker. H. NEW BUSINESS 1. 1966 Annual Financial Report and Audit s a. Manager McGuire presented the Staff report. b. Council to meet with auditors at the June 22, 1989, Meeting. 2. Community Survey a. Manager McGuire presented the Staff report. b. Director of Parks and Recreation Odegard presented the specifics of the survey. c. Councilmember Anderson moved to approve the concept of a community eurvev, and to direct staff to meet with consultants to discuss the City's needs, and to have a consultant present to the City Council their Firm's process for a community eurvev. Seconded by Councilmember Rosebach. Ayes - all. - 3. Request to Hire Public Works Administrative Assistant a. Manager McGuire presented the staff report. b. Councilmember Anderson moved to authorize filling the position of administrative assistant with the Public Works Department. Seconded by Councilmember Juker. Ayes - Mayor Greavu, Councilmembers Anderson, Juker and Rosebach Nay - Councilmember Bastian. 4. Stop Signs: Brooke and Barclay 31 5-18-89 a. Manager McGuire presented the staff report. b. Mayor Greavu moved to authorize the placement of stop sicns in all directions on Brooks and Barclay. Seconded by Councilmember Rosabach. Ayes - all. 5. Keller Parkway - County Road C WaterMain, Project 88-10, Approval of Plans a. Manager McGuire presented the Staff report. b. Councilmember Anderson introduced the followino resolution and moved its adoption• 89-5-79 WHEREAS, pursuant to resolution passed by the City Council on April _ ~ 24, 1989, plans and specifications for Keller Parkway-County Road C Water Main, Project 88-10, have been prepared by the City Engineer, who has presented such plans and specifications to the Council for approval, NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF THE CITY OF MAPLEWOOD, MINNESOTA: 1. Such plans and specifications, a copy of which are attached hereto and made a part hereof, are hereby approved and ordered placed on file in the office of the City Clerk. 2. The City Clerk shall prepare and cause to be inserted in the official paper and in the Construction Bulletin an advertisement for bids upon the making of such improvement under such approved plans and specifications. The advertisement shall be published twice, at least ten days before the date set for bid opening, shall specify the work to be done, shall state that bids will be publicly opened and considered by the Council at 9:00 A.M., on the ' 23rd day of June, 1989, at the City Hall and that no bids shall be considered unless sealed and filed with the Clerk and accompanied by a certified check or bid bond, payable to the City of Maplewood, Minnesota, for five percent of the amount of such bid. 3. The City Clerk and City engineer are hereby authorized and instructed to receive, open, and read aloud bide received at the time and place herein noted, and to tabulate the bids received. Seconded by Mayor Greavu. Ayes - all. 6. Brooks Avenue Water Main, Project 88-08: Approval of Plana 32 5-18-89 a. Manager McGuire presented the staff report. b. Councilmember Anderson introduced the following resolution and moved its adontion• 89-5-80 WHEREAS, pursuant to resolution passed by the City Council on April 10, 1989, plans and specifications for Brooks Avenue Water Main, Hazelwood Street to Germain Street, Project 88-08, have been prepared by the City engineer, who has presented such plans and specifications to the council for approval, NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF MAPLEWOOD, MINNESOTA: 1. Such plane and specifications, a copy of which are attached hereto and made a part hereof, are hereby approved and ordered placed on file in the office of the City Clerk. 2. The City Clerk shall prepare and cause to be inserted in the official paper and in the Construction Bulletin an advertisement for bids upon the making of such improvement under such approved plans and specifications. The advertisement shall be published twice, at least ten days before the date get for bid opening, shall specify the work to be done, shall state that bids will be publicly opened and considered by the Council at 9:00 A.M., on the 16th day of June, 1989, at the City Hall and that no bids shall be considered unless sealed and filed with the Clerk and accompanied by a certified check or bid bond, payable to the City of Maplewood, Minnesota for five percent of the amount of such bid. 3. The City Clerk and City Engineer are hereby authorized and instructed to receive, open, and read aloud bids received at the time and place herein noted, and to tabulate the bide received. Seconded by Mayor Greavu. Ayes - all. 7. Code Amendment: RE District (1st Reading) a. Manager McGuire presented the staff report. b. Commissioner Lorraine Fischer presented the Planning Commission report. c. Councilmember Roasbach moved first reading of an ordinance to correct the lanauaae in the present code. 33 5-18-89 Seconded by Mayor Greavu. Ayes -.all. 8. Noise Ordinance a. Manager McGuire presented the staff report. b. Councilmember Bastian moved to table this item until later in the Agenda. Seconded by Councilmember Anderson. Ayes - all. 9. Business Clean-Up a. Councilmember Bastian stated there should be a business clean-up with the hazardous waste collection day. ' b. Councilmember Bastian moved to have staff investigate possible available sites, costs, etc., for a general clean-up day and report back to Council as soon as possible. Seconded by Councilmember Anderson. Ayes - all. 10. Comprehensive Plan Work Session a. Manager McGuire presented the. staff report. b. Councilmember Juker moved to establish thedate of June 15, 1989, at 6:00 P.M. to discuss updating the Comprehensive Land Use Plan. Seconded by Councilmember Juker. Ayes - all. 11. Ledman Vs. City of Maplewood, et al. a. Manager McGuire presented the staff report. b. Mayor Greavu authorized the payment of $800.00 to settle the lawsuit. Seconded by Councilmember Rossbach. Ayes - Mayor Greavu, Councilmembers Anderson, Bastian and Rossbach Councilmember Juker abstained. 12. Recreational Vehicle Permit Revocation a. Manager McGuire presented the staff report. b. Director of Public Safety Collins stated there have been numerous complaints, plus a petition signed by fifteen area residents. c. Councilmember Bastian moved to table this item until the Monday Meeting, Mav 22. 1990. 34 5-18-89 - Seconded by Councilmember Juker. Ayee - all. 13. CSO/Paramedic: Change from Part Time to Full Time a. Manager McGuire presented the staff report. b. Director of Public Safety Collins explained the necessity of a full time person. c. Mayor Greavu moved to authorize the chance of the Dart time CSO/Paramedic to a full time uosition and that 54,650 be transferred from the Contincencv Fund to cover the costa. Seconded by Councilmember Anderson. Ayes - all. 14.° Approval of Claims a. Councilmember Juker questioned several payments. b. Mayor Greavu moved to aoorove vavment of the followina claims: - ACCOUNTS PAYABLE: $ 465,256.41 Checks #722200 - #`541400 Dated 04-28-89 thru 05-12-89 S 92,581.48 Checks #10200 - ,x`970700 Dated OS-18-89 $ 557,838.00 Total per attached voucher/check register PAYROLL• $ 172,353.32 Payroll Checks $ 33,839.15 Payroll Deductions $ 206,193.08 Total Payroll $ 764,031.08 GRAND TOTAL Seconded by Councilmember Juker. Ayee - all. 8. Code Amendment: Noise Ordinance (2nd Reading) a. Councilmember Anderson introduced the followinc ordinance and moved its adoption• ORDINANCE NO. 642 35 5-18-89 AN ORDINANCE AMENDING THE MAPLEWOOD CODE PERTAINING TO NOISE PERMITS FOR CONSTRUCTION Section 1. Article IIZ of Chapter 19 ie amended as follows: ARTICLE III. NOISE CONTROL Sec. 19-48. Prohibition generally; exception. No person shall make or cause to be made any distinctly and loudly audible noise that unreasonably annoys, disturbs, injures or endangers the comfort, repose, health,.peace, safety or welfare of any person or - precludes their enjoyment of property or affects their property's value. If the event or activity is sponsored by the City or authorized and has a permit for such activity issued by the City, this prohibition does not - apply. This general prohibition is not limited by the specific restriction of the following subdivision. Any violations of this general prohibition, between the hours of 7:00 P.M. and 7:00 A.M., Monday through Saturday and all day Sunday, is a per se violation of this article. (Ord. - No. 611, 1, 10-15-87) The City Manager, or his or her designee, may waive this requirement where the activity would not cause a nuisance and where the proposed activity would not be within 350 feet of a residential use. The City Manager's decision may be appealed to the City Council. A waiver within 350 feet of a residential use mu at be approved by the City Council. The property owners within 350 feet of the proposed activity shall be notified of the waiver request at least ten days before the Council meeting. A list of the property owners, certified by an abstract company or the County abstract office, shall be submitted with the waiver,requeat. Sec. 19-49. Domestic Power Equipment. The normal operation of domestic power equipment shall not be subject to the noise level limitations in Sections 19-48 and 19-50. Domestic power equipment, as used herein, means power lawn mowers, hedge clippers, - edgers; chainsaws; garden tillers; mulchera; and power saws, drills, hammers and sanders. (Ord. No. 6711, 2, 10-15-87) Sec. 19-50. Construction Activities. All construction activities, including the use of any kind of electric, diesel or gas-powered machine or other power equipment, shall be subject to the provisions of this article. A copy of this article shall be attached to each such construction permit issued by the City. The applicant for said permit shall be required to sign said copy, acknowledging that he or she has read and understood it, before a permit can be released. Sec. 19-51: Enforcement. 36 5-16-89 (a) Police Department to enforce article provisions. The Maplewood Police Department shall enforce the provisions of this article. The Maplewood Police Department may inspect private premises other than private residences and shall make all reasonable efforts to prevent - violations of this article. (b) Civil remedies. This article may be enforced by injunction, action for abatement, or other appropriate civil remedy. (c) Noise impact statements. The Council may require any person applying for a change in zoning classification or a permit or license for any structure, operation, process, installation or alteration, or project that may be considered a potential noise source to submit a noise impact statement on a form prescribed by the Coui:s:il. It shall evaluate each such statement and take its evaluation inter account in approving or disapproving the license or permit applied for or the zoning change requested. (d) Criminal penalties. Every person who violates any provision of this article is guilty of a misdemeanor and shall, upon conviction, be subject to a fine of not more than seven hundred dollars ($700.00) or imprisonment for a term of not to exceed ninety (90) days, or both, plus, in either case, the coats of prosecution. Each act of violation and each day a violation occurs or continues constitutes a separate offense. (Ord. No. 611, 5, 10-15-87) Section 2. This ordinance shall take effect upon its passage and publication. Seconded by Mayor Greavu. Ayes - all. I. COUNCIL PRESENTATIONS - 1. Lights: White Bear Avenue and Burke a. Councilmember Anderson stated he had received calls from the residents - in the area of White Bear Avenue and Burke requesting a street light. b. Councilmember Anderson moved to place the recuest on the next spends. Seconded by Councilmember Bastian. Ayes - all. 2. Cable a. Councilmember Anderson requested staff to research placing some history of Maplewood on cable. b. Council requested this item be added to the next agenda. 3. Fulk Manufacturing 37 5-18-89 a. Councilmember Juker stated that Fulk Manufacturing site is a "mesa" and feels they be notified to clean the area up and meet all conditions of their permit. b. Staff will investigate. 4. Manager Meeting a. Mayor Greavu stated the June 1st meeting with the Manager be canceled until such time as Councilmember Roasbach has returned. J. ADMINISTRATIVE PRESENTATIONS 1. Code Review - R-3 District a. Tabled to a later meeting. K. ADJOURNMENT OF MAY 18, 1989 MEETING 7:23 P.M. - L. RECONVENE: CALL MAY 22.. 1989 MEETING TO ORDER Mayor Greavu reconvened the meeting at 7:02 P.M. M. ROLL CALL John 0. Greavu, Mayor Present Norman G. Anderson, Councilmember Present Gary W. Bastian, Councilmember Present Frances L. Juker, Councilmember Present George F. Roasbach, Councilmember Present Mayor Greavu moved towaive the Rules of Procedure and add three items to the Acenda. M.I.S. Coordinator Position Senior Citizen Building on McKnight Lot Split on Ripley Seconded by Councilmember Bastian. Ayes - all. N-A APPOINTMENTS 1. H.R.C. a. Commissioner Pat Williamson presented the Human Relations Commission report. 38 5-18-89 b. Dawn G. Vassar, the applicant, expressed her desire to serve ae a member of the H.R.C. c. Councilmember Bastian moved to appoint Dawn G. Vassar to the Human Relations Commission. Seconded by Mayor Greavu. Ayes - all. 2. H.R.C. Annual Report a. Manager McGuire presented the staff report. b. Councilmember Anderson moved to accept the 1989 Annual Human Relations Commission report. Seconded by Mayor Greavu. Ayes - all. N. PUBLIC HEARINGS 1. 7:00 P.M., Conditional Use Permit Termination: 1564 Grandview Avenue (SUby) a. Mayor Greavu convened the meeting for a public hearing regarding the cancellation of a conditional use permit for David Suby, 1564 E. Grandview Avenue, for a tool sharpening home occupation. b. Manager McGuire presented the staff report. c. Mayor Greavu called for proponents and opponents. None were heard. d. Mayor Greavu closed the public hearing. e. Councilmember Bastian moved termination of the conditional use permit for tool sharpening home occupation at 1564 E. Grandview Avenue, since the business is no loncer in operation. Seconded by Mayor Greavu. Ayes - all. 3. M.I.S. Coordinator a. Manager McGuire presented the staff report. b. Mayor Greavu moved to authorize the hiring of an M.I.S. Coordinator to fill the vacancv. Seconded by Councilmember Roesbach. Ayes - all. 2. 7:10 P.M., Southwinds of Maplewood a. Conditional Use Permit for a PUD b. Revision of the Fred Moore PUD c. Preliminary Plat d. Authorization for Letter to St. Paul 39 5-18-89 1. Mayor Greavu convened the meeting for a public hearing regarding the request for approval of a conditional use permit for a 120-unit multi-family planned unit development on Beebe Road, North of Larpenteur Avenue; a preliminary plat; and to delete the requirement for the private road to Beebe Road from the Green Gate apartments. 2. Manager McGuire presented the staff report. 3. Director of Community Development Olson presented the specifics of the proposal. 4. Commissioner Cardinal presented the. Planning Commission recommendation. 5. Mayor Greavu called for persons who wished to be heard for or against the proposal. The following voiced their opinions: Gayle Sheff, 2169 E. Larpenteur Ave. Lawrence Mroazak, 2147 E. Larpenteur Gary Fredrickson, 1753 No. Howard Bruce Casaelton, 1745 No. Howard Helen Munson, 2135 E. Larpenteur Resident, 2155 E. Larpenteur Ave. 6. Mayor Greavu closed the public hearing. 7. Councilmember Anderson moved to approve the preliminary plat for Southwinda apartments, subiect to the followinc conditions being satisfied prior to final plat approval: a. Elimination of the original south roadway connection to Beebe Road. b. The provision and recording of cross easements running to all lots to allow for the sale of individual lots. c. Compliance with all requirements of the City engineering Department regarding sanitary sewer, water and storm sewer services. d. Final grading, utility, drainage, erosion control and street plans must be approved by the City Engineer. e. Submittal of a signed developers agreement with required surety for all required public streets, utilities, erosion control, walkways and tree planting. f. Drainage easements, as required by the City Engineer, shall be shown on the southeast end of the plat. 40 5-18-89 g. A building owners association shall be required to assure common maintenance. all legal documents creating the association must be approved by the City Attorney. h. Aten-foot-wide walkway easement shall be shown on the plat from the east-west trail to Larpenteur Avenue along the former trolley line. Seconded by Councilmember Roaebach. Ayes - Mayor Greavu, Councilmembers Anderson, Juker and Rossbach Nay- Councilmember Bastian. 8. Mayor Greavu introduced the following resolution and moved its adoption: 89 - 5 - 81 WHEREAS, the City of Maplewood initiated a revision to the conditional use permit for a planned unit development (PUD) to omit the requirement for a road from Larpenteur Avenue to the PUD at the following-described property: All that part of the NE 1/4 of the SE 1/4 lying westerly - of Furness Street and all that part of the East 1/2 of the NW 1/4 of the SE 1/4 of Section 14, Township 29, Range 22, except the N 1/2 of the NE 1/4 of the NW 1/4 of the SE 1/4 and except that part of the NE 1/4 of the SE 1/4 lying westerly of Furness Street. This property is also known as the Green Gate Apartments, Maplewood; WHEREAS, the procedural history of this conditional use permit is as follows: 1. This conditional use permit was reviewed by the Maplewood Planning Commission on March 20 and April 3, 1989. The Planning Commission recommended to the City Council that said permit be approved. 2. The Maplewood City Council held a public hearing on May 22, 1989. Notice thereof was published and mailed pursuant to law. All persona present at said hearing were given an opportunity to be heard 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 original Fred Moore PUD is hereby amended to eliminate 41 5-18-89 the south road connection to Larpenteur Avenue on the basis of the following findings-of-fact: 1. The use is in conformity with the City's comprehensive plan and with the purpose and standards of this chapter. Said roadway is not needed and the extension of Holloway Avenue will provide a more beneficial general purpose access for the neighborhood. 2. The amended CUP/PUD will not be detrimental to the public health, safety or general welfare. 3. The amendment to eliminate the south roadway connection will be compatible and in character with the surrounding zoning district and the neighborhood in general because it will preclude ' the infiltration of additional traffic into the adjacent single-family residential area. 4. The elimination of the roadway will not depreciate property values in the general area. 5. The elimination of the south roadway connection will not create hazardous or detrimental conditions for surrounding land uses. 6. The elimination of the south roadway will result in less traffic on surrounding local streets than would be the case if the roadway connection were made. 7. The amendment will have no effect on essential public services. The roadway is not required to facilitate fire service. 8. The amendment will not create excessive additional requirements at publiccost for public facilities and services. 9. The amendment will have no effect on the site's natural and scenic features. 10. The amendment will not cause adverse environmental effects. Seconded by Councilmember Juker. Ayes - Mayor Greavu, Councilmembere Anderson, Juker and Roasbach Nay - Councilmember Bastian 9. Mayor Greavu introduced the followinc resolution and moved its adoption: 42 5-18-89 89 - 5 - 82 WHEREAS, Continental Development Corporation initiated a conditional use permit for a multi-family PUD in a zoning district located easterly of Beebe Road and northerly of Larpenteur Avenue which facility is proposed to accommodate 120 apartment units and is described ae follows: Lot 1, Block 2, Southwinds of Maplewood 2nd Addition WHEREAS, the procedural history of this conditional use permit is as follows: 1. This conditional use permit was reviewed by the Maplewood Planning Commission on March 20 and April 3, 1989. The Planning Commission recommended to the City Council that said permit be approved subject to conditions. 2. The Maplewood City Council held a public hearing on May 22nd, 1989. Notice. thereof was published and mailed pursuant to law. All persona present at said hearing were given an opportunity to be heard and present written statements. The Council also considered reports and recommendations of the City staff and Planning Commission. NOW, THEREFORE, BE ZT RESOLVED BY THE MAPLEWOOD CITY COUNCIL - that the above-described conditional use permit be approved for a multi-family housing PUD on the basis of the following findings- of-fact: 1. The use is in conformity with the City's comprehensive plan and with the purpose and standards of this chapter. 2. The establishment or maintenance of the use would not be detrimental 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 and the neighborhood in general. 4. The use would not depreciate property values in that it provides for an ample buffer of open space and vegetation where it interfaces with single- family residential areas to the east. 43 5-18-89 5. The use would not be hazardous, detrimental or disturbing to present and potential surrounding land 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 properties. 7. The use would be serviced by essential public services, such as streets, police, fire protection, utilities, schools and parks and will not inordinately burden public facilities and ' services. 8. The use would not create excessive additional requirements at public coat 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: 1. Adherence to the site plan, dated March 28, 1989, and the conditions approved by the Community Design Review Board. 2. All urea shall conform with the R-3 zoning district requirements. 3. Noise levels shall not exceed PCA standards at any residential property line. 4. No outdoor storage of recreational vehicles, boats or trailers. 5. Removal of the proposed roadway connection from Green Gate to Beebe Road through the subject property. 6. The trees along the north and east property lines shall remain undisturbed. 44 5-18-89 7. Afive-foot-wide concrete sidewalk for public use shall be constructed from FurnessStreet to Beebe Road. An eight- foot-wide asphalt walkway shall be constructed from the east-west path described above to the parking lot. 8. Afive-foot-wide concrete sidewalk shall be constructed along Beebe Road from the north property .line to Larpenteur Avenue. 9. This permit shall be subject to review after one year from the date of approval, based on the procedures in City code. Seconded by Councilmember Roasbach. Ayes - Mayor Greavu, Councilmembers Anderson, Juker and Rossbach Nay - Councilmember Bastian. 10. Mayor Greavu moved to authorize staff to send a letter to the City of St Paul reaueatinc them to extend their trail north to Larpenteur Avenue. Seconded by Councilmember Juker. Ayes - all. I. COUNCIL PRESENTATIONS 1. Senior Citizen Building on McKnight and Stillwater a. Councilmember Juker stated residents in the area of McKnight and - Stillwater have called questioning where the proposed senior citizen building is going to be located and why all the trees are being removed. b. Staff stated the trees are being removed by Ramsey County because of the McKnight Road project. 2. Lot Split on Ripley a. Councilmember Juker questioned why the lot split on Ripley Street is taking so long. b. Staff to investigate. H. NEW BUSINESS (COntinuedl 13. Recreational Vehicle Permit Revocation a. Manager McGuire stated the Hauae's have requested that this item be delayed until the next meeting. b. Councilmember Juker moved to direct the Manager to send a letter to the Hauae's revoking their recreational vehicle permit. Seconded by Councilmember Anderson. Ayes - all. 45 5-18-89 3. Meeting with Auditor a. Mayor Greavu moved to meet with the auditor's at 6:30P.M., June 26, 1987. Seconded by Councilmember Juker. Ayes - Mayor Greavu, Councilmembers Anderson, Juker and Roesbach Nay - Councilmember Bastian. 4. Hazardous Building on Kohlman. a. Mayor Greavu moved to order an abatement clearing the vrooerty at 1346 Kohlman of the hazardous building. Seconded by Councilmember Juker. Ayes - all. O. VISITOR PRESENTATION None. P. ADJOURNMENT OF MAY 22, 1989 MEETING 9:04 P.M. City Clerk 46 5-18-89