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Home My WebLink AboutJanuary 6. 1992HERITAGE 1891 COMMUNITY 1991 CALL TO ORDER 1. 2. REGULAR COUNCIL MEETING AGENDA REPORT Monday, January 6, 1992 7:30 p.m. Pledge of Allegiance Oath of Office - Presentation of Certificates of Election: City Manager Unmacht will administer the Oath of office and present Certificates of Election to Carol Scott and Tom Kedrowski. Minutes of The Previous Meeting Consent Agenda: a) Consider Approval of Invoices see attached. To Be Paid b) c) a) Consider Approval of Ordinance 91-01 - An Ordinance Adopting a Backflow Prevention Program. At the December 16, 1991, Council meeting, the City Council reviewed Ordinance 91-01 and directed staff to place it on the January 6, 1992 consent agenda for action. Motion as part of the consent agenda to approve Ordinance 91-01 is in order. Consider Approval of Ordinance 91-15 - An Ordinance Adopting the Minnesota State Building Code. At the December 16, 1991, Council meeting, the City Council reviewed Ordinance 91-15 and directed staff to place it on the January 6, 1992 consent agenda for action. Motin as part of the consent agenda to approve Ordinance 91-15 is in order. Consider Approval of Increase in Fire Relief Pension Benefits - The Fire Department Relief Association has requested an increase in the annual Pension Benefits from $1,650 to $1,750. The purpose of this item is for the City Council to authorize a $100 increase in the pension benefit level. The Fire Department Relief Association is recommending this increase based on their financial projections. 4629 Dakota St. S.E., Prior Lake. Minnesota 55372 / Ph. (612) 4474230 / Fax (612) 447-4245 Se e) Staff has no problem with this request. This increase has no impact on the City's operating budget. The increase is financed solely through the Pension funds and their investment ~arnings. Approval of the pension level increase from $1,650 per year to $1,750 p~r year as part of the consent agenda would be in order. Consider Approval of Change in Council Meeting Dates for 1992 - The Prior Lake City Council has three meetings scheduled in 1992 which fall on a legal holiday. The Council meetings which fall on a legal holiday are: Monday, January 20, Monday, February 17 and Monday, September 7: It has been the practice of the City Council to reconvene on the Tuesday following the Monday. Subsequently, staff recommends as part of the consent agenda to change the formal regular Council meeting dates from the legal holidays to Tuesday, January 21, Tuesday, February 18 and Tuesday, September 8. No change in location or starting time is proposed. Motion as ~art of the Consent Agenda to change the meeting dates is in order. The City Council will not be required to canvass any election results because there are no local elections scheduled for 1992. Although tentatively, three elections are scheduled, the Presidential Primary, Primary and General Election, none of these are local elections. f) Consider Approval of Township Fire Contract Signing Date - Consider Approval of Township Fire Contract Signing Date - the City has received confirmation from the Township Clerks of Credit River Township and Spring Lake Township, Val Zweber and Barb Johnson respectively, that a signing date on Monday, February 3, 1992 at 8:00 p.m. is acceptable. Staff would recommend approval of the proposed date. Also attached are copies of the 1992 Fire and Rescue Contracts which considered on that evening. Township will be Second Consideration of Rezoning Application Woodridge Estates - see attached staff report. for Conduct Economic Development Authority Meeting see attached staff reports. Consider Appointments for 1992 Present Development Agreement Approval for 7. Consider Approval of Bylaws, Appointments, Fee Schedules and Bids for 1992: a) Review and Consider Approval of Bylaws for 1992 - In May of 1986 the Mayor and Councilmembers adopted a set of Bylaws to guide their actions. One of the requirements of the Bylaws in Section C - 4 is that the Bylaws can be reviewed and amended at any time during the year. However, the Bylaws shall be formally reviewed and adopted at an annual meeting which is the first regular meeting in January. In addition, in Section (3) Annual Meetings, a discussion occurs with re~ard to reviewing and adopting the Bylaws during the annual meeting. The purpose of this item is to review and approve the Bylaws for 1992. Staff is not aware of any proposed changes by the City Council at this time. Please review or make any changes you so desire. Please refer to your Bylaws Manual for review. b) Review and Consider Approval of 1992 Fee Schedule. - Attached is a copy of the proposed 1992 Fees Schedule. Changes between 1991 and 1992 are highlighted for you and represent either a new or adjusted fee amount. Fee/Charge/License Credit River Fire Contract Spring Lake Fire Contract Liquor Licenses (proposed)* Refuse Licenses Outdoor Concert Permits Cigarette Licenses Mechanical Permits MWCC SAC Charge Water Tower Fee 1991 1992 $22,360.00 23,310.00 $21,205.00 23,455.00 $4,750.00 5,500.00 $100.00 125.00 $100.00 20o.o0 $25.00 3o.00 - (schedule) $650.00 700.00 $400.00 500.00 Septic System Permit $17.50 40.50 v~ Tempor~m~_S/~ --Permit -- ~ ~i~~I~-- ~--~ Fee (home ~-c~up~ & variance) - ~5 PUD Fees $100.00 Administrative Plat Fee $35.00 Park Daily Admission $3.00 Park Reseration (resident) $25.00 Park Reservation (non-resident) $50.00 Park Season Sticker (resident) $10.00 Park Season Sticker(non-resident)S15.00 Athletic Facility Use Permit $25.00 On-site Park Program Surcharge - (non-resident only) Water Tower Lease (monthly) $700.00 300.00 75.00 4.00 $35.00 100.00 15.00 25.00 35.00 5.00 721.70 * (public hearing is required to consider increase in liquor license fees.) c) d) e) f) g) h) i) J) Consider Approval of Acting Mayor for 1992 - Councilmember Fitzgerald was the Acting Mayor for 1991. Council should appoint an Acting Mayor for 1992. Consider Approval of official Newspaper for 1992 - The Prior Lake American was the official newspaper in 1991. The Prior Lake American is recommended to be the official newspaper in 1992. Consider Approval of Official Bank for 1992 - The Prior Lake State Bank was the official bank in 1991. The same is recommended for 1992. Staff will continue its practice of investing funds at an institution with the highest rate of return. Consider Approval of Equalization Committee for 1992 - The full Council was the Equalization Committee for 1991. The same is recommended for 1992. Consider Approval of Liquor Committee for 1992 - Mayor Andren, City Manager Unmacht, Police Chief Powell and city Attorney Kessel were on the Liquor Committee in 1991. The same is recommended for 1992. Consider Approval of Fuel Distributor for 1992 - Muelken Oll Company has been the supplier in the past and is recommended for 1992. Due to price volatility, a firm bid is not possible. The following delivered prices were in effect on December 31, 1991: Unleaded Gas 94.6* Premium Diesel Fuel 63.5 The price amounts include Federal tax of 14.1 cents which is refunded back to governmental entities. Consider Approval of Fire Chief and Assistant Fire Chief for 1992 - A1 Borchardt was the Fire Chief and Brent Johnson was Assistant Fire Chief for 1991. The same is recommended for 1992. Consider Approval of civil Defense Director for 1992 - Lyle Anderson was Civil Defense Director in 1991. Staff is recommending that Police Chief Dick Powell be appointed as Civil Defense Director. Staff contacted ~¥1e Anderson and he concurs that the Police Chief would be appropriate for the Civil Defense position. k) Consider Approval of Fiscal Consultant for 1992 - Steve Mattson, Juran and Moody, was the Fiscal Consultant in 1991. The same is recommended for 1992. l) Consider Approval of Auditing Firm for 1992 - The George M. Hanson Company is currently preparing the 1991 financial statements. The same is recommended for 1992. Consider Sewer and Water Rate Schedule - At the first meeting in January, the City Council adopts the Sewer and Water Rate Schedule. Staff has developed some alternative rate proposals which reflect the 1992 Budget. These proposals involve a rate restructuring and the possibility of a Capital Plant Charge. Details on this agenda item will be presented by staff at the meeting. Other Business a) b) c) *Ail times stated on the Council Agenda, with the exception of Public Hearings, are approximate and may start a few minutes earlier or later. 1992 FEE SCHEDULE SEWER & WATER RATES 1.05/1000 gals...water 2.10/1000 gals...sewer SERVICE CHARGES Assessment Search Plumbing Registrations Cigarette Licenses School District Rental of Antenna Space 10.00 10.00 30.00 200.00 FIRE & RESCUE SERVICE Ambulance Rate Fire Call Fire, Rescue Agreement/Credit River Fire, Rescue Agreement/Spring Lake 300.00 350.00 22,310.00 23,455.00 LIQUOR LICENSES On Sale Intoxicating Sunday Liquor Off Sale Intoxicating Off Sale Non-intoxicating Set Up License On Sale Non-intoxicating Wine License Club License 5,500.00 200.00 150.00 50.00 100.00 200.00 1,250.00 650.00 Investigation Fee-On/Off Intoxicating 500 00/10,000 (maximum) Investigation Fee-On Sale Non-intoxicating 100~00 Investigation Fee-Off Sale Non-intoxicating 50' 00 Temporary On Sale Non-intoxicating(I-3 day) 10.00 MISCELLANEOUS LICENSES Personal Service Masseuse License Investigation Fee Bingo/Gambling License Outdoor Concert Permit Taxi Cab License Dog Licenses Dog Boarding Fees Kennel License Redemption of Dogs Refuse Haulers 100.00 500.00 (maximum) 10.00/100.00 200.00 100.00 50.00-each additional cab 5.00/10.00 7.50 50.00 10.00-1st licensed 15.00-1st unlicensed 25.00-2nd Offense 100.00-3rd Offense 125.00-1st Truck 25.00-each addn'l truck 25.00-roll off containers MUNICIPAL FINANCING APPLICATION FEES TIF Application IDRB Application Annexation Fee 500.00 500.00 500.00-2500.00 1992 FEE SCHEDULE PERMITS Building Permit Plumbing Permit Mechanical Permits Sign Permit Temporary Sign Permit Solicitor Permit Moving Permit Excavation/Filling Permit See State Building Code 4.00 per fixture Graduated Fee Schedule 25.00-1st 40 sq. ft. plus .25/sq. ft. thereafter 10.00 50.00 50.00 50.00 Z ON I NG/SUBDIVI S I ON Home Occupation Permit Variance Fee Vacation Fee Conditional Use Fee Rezoning P.U.D. Subdivision Fee (application) Hardshell Fee Administrative Plat Fee Comprehensive Plan Amendment Zoning Code Amendment Letter of Credit (residential building relocation) ... 25.00/25.00 (appeal) 75.00/75.00 (appeal) 100.00 100.00 200.00 + 2.00/gross acre 300.00 + 4.00/gross acre 200.00 5.00/lot 75.00 150.00 50.00 5,000.00 PUBLICATIONS Agenda Reports (annual) Audit Booklet Budget Booklet CIP Booklet Comprehensive Plan Booklet (park & planning) Subdivision Booklet Zoning Ordinance Booklet Police Reports Plan Sets City Code Book 35.00 10.00 15.00 15.00 15.00 15.00 15.00 5.00 15.00 50.00 (purchase) 10.00 (annual update) AGENDA/MINUTES (annual) City Council Agenda Planning Commission Agenda City Council Minutes Planning Commission Minutes Copies (labor will also be charged for secretarial preparation of City Doc.) 15.00 15.00 35.00 35.00 .25/ea. CONNECTION PERMIT CHARGES Water Tower Fee Metro Sewer Availability Water Connection Charge Sewer Connection Charge Water Meter Pressure Reducer Frost Plates Water Inspection/Well Permit Sewer Inspection/Septice Tank Permit Septic System Permit 500.00 700.00 350.00 350.00 80.00 45.00 7.50 17.50 17.50 40.50 1992 FEE SCHEDULE ASSESSMENT RATES Sewer Rate for Unassessed Parcels* Water Rate for Unassessed Parcels* Acreage Charge* Storm Water Charge* (residential) 40.00/ff 20.00/fl 2750.00/ac 16.8/sf PARK PERMITS Park Daily Admission Park Reservation (resident) Park Reservation (non-resident) Park Season Sticker (resident) Park Season Sticker (non-resident) Athletic Facility Use Permit On-site Park Program Surcharge (non resident only) Park Support Fees 4.00 35.00 100.00 15.00 25.00 35.00 5.00 350.00 MAPS City Maps Blue Line Prints Topo Maps no charge/S1.00 2nd copy Developers will be given 1 set of S&W asbuilts at no charge-addn'l prints will be charged $3.00 per blueline. 8.00 per acre * Rate subject to adjustment annually by City Council per Engineer's Cost Index HERITAGE COMMUNITY 1891 1991 /.%'N EsO MINUTES OF THE CITY COUNCIL December 16, 1991 The Common Council of the City of Prior Lake met in regular session on Monday, December 16 at 7:30 p.m. in the City Council Chambers. Present were Mayor Andren, Councilmembers Fitzgerald, Larson, Scott, White, City Manager Unmacht, Assistant City Manager Schmudlach, City Planner Graser, City Attorney Kessel and Recording Secretary Birch. Mayor Andren called the meeting to order and asked everyone to rise for the pledge of allegiance. The minutes of the December 2, 1991 Council meeting were reviewed by Council. MOTION MADE BY WHITE, SECONDED BY SCOTT, TO APPROVE THE MINUTES AS SUBMITTED. Upon a vote taken, ayes by Andren, passed unanimously. Scott and White, the motion Fitzgerald and Larson abstained due to the fact that they had been out of town during the last meeting. The next order of business was approval of the Consent Agenda follows: as a) b) c) d) e) f) g) h) i) J) Consider Approval of Invoices To Be Paid Consider Approval of Animal Warden Report Consider Approval of Building Report Consider Approval of Fire and Rescue Report Consider Approval of Resolution 91-46 a Resolution of Appreciation to Doug Larson Consider Approval of Contingency Expenses For Library Consider Approval of Treasurer's Report Consider Approval of 1992 Cigarette Licenses Consider Approval of City Donation to VFW Consider Approval of 1991 City Manager Performance Evaluation Committee Recommendation MOTION MADE BY FITZGERALD, SECONDED BY LARSON, TO APPROVE THE CONSENT AGENDA ITEMS (a) THRU (j). Upon a vote taken, ayes by Andren, Fitzgerald, Larson, White, the motion passed unanimously. Scott and 4629 Dakota St. S.E., Prior Lake, Minnesota 55372 / Ph. (612) 447-4230 / Fax (612) 447-4245 Minutes of the Prior Lake City Council December 16, 1991 The next order of business was: Consider Resolution 91-45 Pertaining to General Obligation Debt Refunding of $4,230,000. Steve Mattson, Financial Consultant with Juran and Moody, presented 4etails of the debt refunding and stated that an interest rate of 5.678% has been estimated under conditions which would project a future value savings of $353,880.00 to the City of Prior Lake. A short discussion occurred with regard to future interest ratings and the City's option to withdraw the sale if market conditions change. Consensus was reached with regard to setting Monday, January 13, 1992 as the special meeting date for the public sale of $4,230,000 General Obligation Refunding Bonds of 1992. The time will be 5:00 p.m. at City Hall. MOTION MADE BY LARSON, SECONDED BY WHITE, TO ADOPT RESOLUTION 91-45 CALLING FOR PUBLIC SALE OF $4,230,000 GENERAL OBLIGATION REFUNDING BONDS OF 1992. Upon a vote taken, ayes by Andren, Fitzgerald, and White, the motion passed unanimously. Larson, Scott A short recess was called in order to hold an Development Authority Meeting to discuss the following: Economic ae Consider Development Agreement With Enivid Corporation Discuss Follow-up Action From December 11, 1991 Workshop. *Note: See EDA Minutes attached. The meeting reconvened at 8:06 p.m. MOTION MADE BY WHITE, SECONDED BY LARSON, TO RATIFY THE ECONOMIC DEVELOPMENT AUTHORITY'S DECISIONS ON BOTH ITEMS A, (DEVELOPMENT AGREEMENT WITH ENIVID CORPORATION); AND B, (WORKSHOP ACTION PLAN) o Upon a vote taken, ayes by Andren, Fitzgerald, Larson, White, the motion passed unanimously. Scott and Note: Technically the following was not a public hearing, but rather a discussion for the purpose of action by the Council. The Planning Commission conducted the formal public hearing on December 5, 1991. The next order of business was: Consider County Road 18 Comprehensive Plan Amendments. City Manager Unmacht reported on a recent meeting with Metropolitan Council staff. City Planner Graser reviewed the Comprehensive Plan Amendments proposed as the addition of several policies to the transportation component of the Year 2000 Comprehensive Plan. Graser also reviewed the map which was amended to indicate the addition of three additional driveways on private property. Extensive discussion occurred on the issue and the technicalities of wording with regard to the meaning of the Metropolitan Council requirements. MOTION MADE BY LARSON, SECONDED BY WHITE, COMPREHENSIVE PLAN AMENDMENTS. TO APPROVE THE 2 Minutes of the Prior Lake City Council December 16, 1991 City Manager Unmacht stated that in a letter from Metropolitan Council staff member, Bob Mazanec, there is a technicality which the Council should recognize relating to direct highway access routes to CSAH 18 and CSAH 42. Unmacht stated that our interpretation is that this refers to only the CR 18 and CR 42 corridor. Council directed staff to forward a letter to Metropolitan Council staff with this understanding clarified. Upon a vote taken, ayes by Andren, Fitzgerald, Larson, White, the motion passed unanimously. Scott and The next order of business was: Consider Ordinance 91-01 Amending Title 9, Chapter 4 of the City Code. Building Official Gary Staber stated that the Minnesota rules issued by the Department of Health requires that municipalities develop and maintain a comprehensive backflow prevention program. Staber then reviewed the proposed Ordinance with Council and addressed several questions which arose. A short discussion occurred. Staff was directed to place Ordinance 91-01 on the next Council agenda for action. The next order of business was: Consider Minnesota State Building Code Ordinance 91-15. Building Official Gary Staber presented staff's request that the Council adopt the new Minnesota State Building Code. Staber discussed the only major chan~e: that being a requirement for a separate mechanical permit for construction. A short discussion occurred. Council directed staff to place Ordinance 91-15 on the next Council agenda for action. The next order of business was: Consider Planning Commission Appointment. Mayor Andren, reporting for the Planning Commission Selection Committee, submitted the recommendation that David Wuellner be considered for the position of Planning Commissioner. Discussion occurred on changing the policy and/or term limits on these positions. Further discussion occurred on utilizing interested persons on other committees such as the Economic Development Committee and Park Advisory Committee. MOTION MADE BY W~ITE, SECONDED BY LARSON, TO APPROVE THE APPOINTMENT OF DAVID WUELLNER TO THE PLANNING COMMISSION FOR A TERM BEGINNING JANUARY 1 AND ENDING JUNE 30,1992. Upon a vote taken, ayes by Andren, Fitzgerald, and White, the motion passed unanimously. Larson, Scott Topics discussed under Other Business were as follows: City Manager Unmacht distributed a letter from Jim who has indicated an interest in serving on Lake/Spring Lake Watershed Board. Wenninger the Prior City Manager Unmacht distributed a draft of an agenda for the upcoming Council Winter Workshop. A short discussion occurred on details and suggestions for the Workshop. Minutes of the Prior Lake City Council December 16, 1991 A short recess was called. The meeting reconvened for the purpose of entering into a closed session to discuss pending litigation and Union Negotiations. Those present for the closed session Councilmembers Fitzgerald, Larson, Scott Manager Unmacht, Assistant City Manager Kessel and Recording Secretary Birch. were: Mayor Andren, and White, and City Schmudlach, Attorney A tape of this closed session is on file in the City Manager's office. The next Council meeting will be Monday, January 6, 1992 at 7:30 p.m. There being no further business, 10:00 p.m. by general consent of the the~meeting adjourned D~vid J. Unmach~ (~ity Manager De~ Birch Recording Secretary at 4 THE FOLLOWING IS A LIST OF INVOICES SCHEDULED FOR PAYMENT ON TUES. JAN. 7, 1991 MISC. DEPTS. R-Own Office Supply Muelken Oil Co. Mn Cellular One M-V Gas Co. Amoco Oil Co. GENERAL GOVERNMENT City of Golden Valley Gene White Metro Area Mgmt. Assn. David Unmacht Scott Co. Auditor Lauire Davis Economics Press Faegre & Benson Lommen Nelson Cole Prior Prints Don Salverda & Assoc. Command Computer Corp. A Bulb Co. Bob's Personal Coffee Service Master Electric Co. Prior Lake Electric co. W.E. Neal Slate Co. Peterson Custodial Service CONTINGENT RESERVE American Glass & Mirror PUBLIC SAFETY Creative Graphics Wally's World of Printing R-Own Office Supplies MN Dept. of Public Safety MN Crime Prevention Assn. Communication Auditors FIRE & SAFETY MN Conway Fire & Safety Tang's. Sharpening BUILDING INSPECTION ICBO Winona Technical College Jay Scherer R-Own Office Supply Office Supplies Fuel Supplies Telephone Service Utilities Vehicle Maintenance Professional Services Meeting Expenses Meeting Expenses Meeting Expenses Election Expenses Mileage Subscription Attorney Fees Attorney Fees Printed Supplies Printed Supplies Software Update Bldg. Maint. Supplies Bldg. Maint. Supplies Bldg. Maintenance Bldg. Maintenance Bldg. Maintenance Janitorial Service Dance Studio Printed Supplies Printed Supplies Supplies Training Training Equipment Repair Supplies & Cap. Outlay Equipment Maintenance Publications Seminar Fees Reimb. for Expenses Supplies 11.18 10,679.60 268.33 1,190.00 40.26 1,630.00 214.50 30.00 166.72 1,059.31 34.10 20.90 181.25 400.00 40.94 80.00 300.00 111.36 254.20 67.50 81.55 44.60 1,030.00 1,357.50 12.00 38.75 97.34 100.00 25.00 287.47 812.70 20.00 190.15 425.00 125.00 5.33 PUBLIC WORKS Dept. of Transportation Valley Surveying Co. Soiltest Inc. Shiely Co. Morton Salt Earl F. Anderson Case Power & Equipment Catco Parts Service Astleford International Minnegasco Johnson Radio Communications American Glass & Mirror Prior Lake Blacktop Killmer Electric Publications Professional Services Capital Outlay Sand & Gravel Street Maint. Supplies Street Maint. Supplies Equip. Maint. Supplies Vehicle Repair Supplies Vehicle Repair Supplies Utilities Repairs Vehicle Repairs Snow Removal Repairs 34.94 5,550.00 599.87 54.31 1,317.84 77.29 56.94 2.76 6.80 221.46 122.99 103.56 684.00 90.00 PARK AND RECREATION Art Stone Prchal Candy Co. Prior Lake Charter Service Mary Ann Mingo Diane Wikstrom Lisa Conlin Fiona Keel Priordale Mall Toll Co. Larson Implement Astleford Equipment Tarps Inc. M-V Gas Co. Dance Supplies Park Program Supplies Bus Charter Park Program Instructor Park Program Instructor Park Program Instructor Mileage Dance Studio Rental Shop Supplies Maintenance Supplies Maintenance Supplies Maintenance Supplies Utilities 50.26 12.00 350.00 32.00 577.50 470.19 48.40 1,379.85 38.75 105.15 14.24 6.00 136.00 ECONOMIC DEVELOPMENT Kay Schmudlach Prior Health & Fitness Prior Lake VFW Action Messenger Meeting Expenses Business Expo Prize Meeting Expenses Messenger Service 43.19 31.00 720.00 18.60 WATER UTILITY Feed-Rite Controls Water Products Co. Raymond Johnson Virgil $chaaf Construction Chemicals Water Meter Meeting Expense Equipment Rental 2,008.63 138.03 14.00 354.00 SEWER UTILITY Flexible Pipe Tool Co. Tri-State Pump & Control Davies Water Equipment Pump & Meter Service Solidification Inc. Maintenance Supplies Equ%pment Maintenance Equipment Maintenance Equipment Maintenance Capital Outlay 874.74 7,122.85 519.56 1,122.00 5,930.00 DEBT SERVICE American National Bank NW Financial Review DEBT SERVICE-GENERAL FUND American National Bank PRIOR LAKE CONSTRUCTION FUND Paying Agent Fees Bond Sale Expenses Paying Agent Fees 748.43 129.39 185.29 General Fund Admin. & Eng. Transfer 19,993.69 CITY OF PRIOR LAKE ORDINANCE NO. 91-01 AN ORDINANCE AMENDING TITLE 9, CHAPTER 4 OF PRIOR LAKE CITY CODE. The City Council does hereby ordain: 1. A new Section 9-4-18 is hereby added to Title 9 of Prior Lake City Code which shall read as follows: 9-4-18: BACKFLOW PREVENTERS: No water pipe from the City water suppl~ system shall be connected to any source of possible contamznation without an approved backflow preventer. Required backflow preventers are listed in the Minnesota State Plumbing Code. If a possible source of contamination is found connected to the City water supply, the Inspector shall notify the owner, lessee or occupant to make the proper corrections, and if not done immediately, the public water supply shall be turned off. Before the water is turned on, the Inspector shall ascertain that the connection meets the Minnesota State Plumbing Code to prevent possible contamination of the public water supply. It shall be the responsibility of any owner, lessee or occupant to have all reduced pressure zone and double check valve-type backflow preventers tested annually. All testing must be done by individuals who are accredited by the Minnesota Department of Health. A tag shall be affixed to each backflow preventer showing the date and the name of the tester along with his/her accreditation number. In addition to the required tag, a copy of the test results shall be submitted to the Building Inspection Department of the City. 2. The present Section 9-1-18 is hereby renumbered to 9-4-19. The ~resent Section 9-1-19 is hereby renumbered to 9-4-20 and is hereby amended to read as follows: 9-4-20: PENALTY: Any person violatin~ any provision of this Chapter shall, upon conv~ction thereof, be punished b~ a fine not exceeding seven hundred dollars ($700.00) or by imprisonment not exceeding ninety (90) days. A separate offense shall be deemed committed for each day the violation shall continue, and anyperson violating any Of the provisions of this Chapter shall become liable to the City for any expense, loss or damage occasioned the City by reason of such violation. This ordinance shall become effective from and after its passage and publication. Passed by the City Council of the City of Prior Lake this day of , 1991. ATTEST= City Manager Mayor Published in the Prior Lake American on the ., 1991. day of Drafted By: Lommen, Nelson, Cole & Stageberg, P.A. 1800 IDS Center Minneapolis, Minnesota 55402 CITY Ol~ PRIOR LAKE ORDINANCE NO. 91-15 AN ORDINANCE ADOPTING THE MINNESOTA STATE BUILDING CODE. The Council of the City of Prior Lake does hereby ordain: Chapter 1, Buildin~ Code, of Title 4, Prior Lake City Code, is hereby amended in its entirety to read as follows: CHAPTER 1 BUILDING CODE SECTION: 4-1-1: 4-1-2: 4-1-3: 4-1-4: 4-1-5: 4-1-6: Building Code Organization and Enforcement Permits, Inspections and Fees Surcharge Violations and Penalties Cash Payment for Park Purposes 4-1-1: BUILDING CODE: The Minnesota State Building Code ("Code"), established pursuant to Minnesota Statutes Sections 16B.60 through 16B.73, and as may hereafter be amended from time to time, three (3) copies of which are on file in the office of the Prior Lake Planning and Inspection Department, is hereby adopted as the Building Code for the City of Prior Lake. Such Code, and any future amendments, are hereby incorporated in this Chapter as completely as if set out in full. (A) The adoption of the Code includes the adoption of the following chapters: 1. Chapter 1300 - Code Administration Chapter 1301 - Certification and Continuing Education of Building Officials Chapter 1302 - Building Construction and State Agency Construction Rules Chapter 1305 - Adoption of the 1988 Uniform Building Code ("UBC") by reference a. UBC Appendix Chapter 35 Sound Transmission Control 5. Chapter 1315 - Electrical Code 6. Chapter 1325 - Solar Energy Systems (c) (u) 7. Chapter 1330 - Technical Requirements for Fallout Shelters 8. Chapter 1335 - Floodproofing Regulations 9. Chapter 1340 - Facilities for the Handicapped 10. Chapter 1346 - Minnesota Uniform Mechanical Code 1990 Edition 11. Chapter 1350 - Manufactured Home Rules 12. Chapter 1355 - Plumbing Code -- Administrative Rule 4713 13. Chapter 1360 - Prefabricated Structures 14. Chapter 1365 - Variation of Snow Loads 15. Chapter 1370 - Model Energy Code -- Administrative Rule 7670 The adoption of the Code also includes the adoption of the following optional Code provisions: 1. Chapter 1305.0150 Subpart a. UBC Appendix Chapters 1, 12, Division 1, 26, 38 and 55. 2. Chapter 1305.6905, Special Fire Suppression Systems a. Group B-2 2000 or more gross square feet of area 3. Chapter 1310 - Building Security 4. Chapter 1335 - Floodproofing Regulations, Parts 1335.0200 to 1335.3100, and FPR Sections 200.2 to 1405.3 Section 307(a) of the UBC is hereby adopted, as amended below: Section 307(4) - Use or Occupancy. No building or structure of Group A, E, I, H, B or R, Division I and 3 Occupancy, shall be used or occupied, and no change in the existing occupancy classification of a building or structure or portion thereof shall be made until the Building Official has issued a certificate of occupancy therefor as provided herein. All new construction in the I-2 Light Industrial Zoning District (Prior Lake City Code Section 5-3-3 and Prior Lake Zoning Ordinance No. 83-6, Section 3.2) shall be exempt from the provisions of subsection 4-1-1(B)5. 4-1-2t ORGANIZATION AND ENFORCEMENT (A) The organization of the Building Department and enforcement of the Code shall be as established by Chapter 2 of the UBC. The Code shall be enforced within the incor~.rated limits of the City, and extraterritorial limits permitted by Minnesota Statutes, 1984. The Prior Lake Planning and Inspection Department shall be the Building Code Department of the City of Prior Lake. The Administrative Authority shall be a State Certified "Building Official". (c) The A~pointing Authority shall designate the Building Official for the Jurisdiction of the City of Prior Lake. 4-1-3: PERMITS, INSPECTIONS AND FEES: Permits, inspections and collection of fees shall be as provided in Chapter 3 of the UBC. 4-1-4: SURCHARGE: In addition to the permit fee required by Section 4-1-3 above, the applicant shall pay a surcharge to be remitted to the Minnesota Department of Administration as prescribed by Minnesota Statutes, Section 16B.70. 4-1-5: VIOLATIONS AND PENALTIES: (A) It shall be unlawful for any person, firm or corporation to erect, construct, enlarge, alter, repair, move, improve, convert or demolish, equip, use, occupy or maintain any building or structure or cause or permit the same to be done in violation of this Code. (B) Any violation of the provisions of this Code is a misdemeanor, punishable by a fine not to exceed seven hundred dollars ($700.00) or by imprisonment not to exceed ninety (90) days, or both. 4-1-6: CASH PAYMENT FOR PARK PURPOSES: (A) A cash payment, to be reserved for park purposes, shall be made to the City prior to the issuance of building permits for construction on unplatted lands or on lands subdivided or platted prior to February 5, 1973. (B) (c) The developer of real estate seeking a building permit shall pay to the City a fee, as determined by the City Council, for each construction unit. A standard detached dwelling residence, single family, shall be considered a standard construction unit. Other uses shall be charged in accordance with the unit charges established by the Metropolitan Waste Control Commission. (D) (E) This Section shall apply to all property whether platted, unplatted or platted prior to February 5, 1973, whether or not property in the subdivision has been donated for park purposes. All moneys collected hereunder shall be reserved for public park purposes. This ordinance shall become effective from and after its passage and publication. Passed by the City Council of the City of Prior Lake this day of , 1991. ATTEST: City Manager Mayor Published in the Prior Lake American on the , 1991. day of Drafted By: Lommen, Nelson, Cole & Stageberg, P.A. 1800 IDS Center Minneapolis, Minnesota 55402 1992 FIRE AND RESCUE AGREEMENT THIS AGREEMENT, made and entered into this 3rd day of February, 1992, by and between the City of Prior Lake, a Municipal Corporation in Scott County, Minnesota and the Township of Credit River, in Scott County, Minnesota, WITNESSETH, that: WHEREAS: the said Township deems it advisable to have available for the benefit of its residents the services of the Fire Department of Said City, and WHEREAS: Said city has the facilities necessary to and rescue services to Said Township, furnish fire NOW, THEREFORE, IT IS AGREED by and between the parties as follows: e For the period from January 1, 1992 until December 31, 1992, the Fire Department of the City of Prior Lake will answer any and all fire and rescue calls of the residents of the Township of Credit River, and will respond to such calls with suitable apparatus manned by members of the City of Prior Lake Fire Department, who will render all assistance possible in saving of life and property. For such service, Said Township has paid the $23,310.00 for the year ending December 31, 1992. sum of It is understood and agreed, however, that at times weather and road conditions will interfere with the rendering of service, and that any given time the equipment may be engaged for services in the City or in another township. In any of these events, failure to provide the service herein agreed upon, shall not be taken to be a breach of this agreement. It is further agreed that Said city shall not be held liable in any way to the township, or to any inhabitant or property owner thereof, or to any other person, firm or corporation for failure of Said City Fire Department to attend a fire or rescue call or to put out a fire, for damage to goods or property or for any other reason. It is further agreed by and between the City and the Township of Credit River that in addition to the compensation hereinbefore provided, Said Township will pay the City the sum of $50.00 per hour for every hour or fraction thereof during which the City Fire Department may be engaged in fighting fires in Said Township when the water used in fighting such fires is taken in the fire hoses directly from the City hydrant. As part of the consideration for providing said fire and rescue services, Said City is entitled to an~ and/or sums payable under the provisions of insurance policies of said residents for fire and/or rescue calls made by Said City Fire Department. The Township shall ~emit to the City insurance payments received for said services. The Township shall enact an ordinance authorizing a service charge to be imposed upon the owner, lessee or occupant of the property serviced by the City pursuant to this Agreement for all or any part of the cost of the operation and maintenance of the fire protection and rescue system and services provided to the Township by the City of Prior Lake. IN WITNESS WHEREOF, the parties have caused this instrument to be executed by the respective officers thereof and the respective seals to be affixed hereto. TOWNSHIP OF CREDIT RIVER CITY OF PRIOR LAKE Chairperson Mayor Clerk City Manager (SEAL) (SEAL) 1992 FIRE AND RESCUE AGREEMENT THIS AGREEMENT, made and entered into this 3rd day of February, 1992, by and between the City of Prior Lake, a Municipal Corporation in Scott County, Minnesota and the Township of Spring Lake, in Scott County, Minnesota, WITNESSETH, that: WHEREAS: the said Township deems it advisable to for the benefit of its residents the services Fire Department of Said City, and have available of the WHEREAS: Said City has the facilities necessary to and rescue services to Said Township, furnish fire NOW, THEREFORE, IT IS follows: AGREED by and between the parties as e 0 For the period from January 1, 1992 until December 31, 1992, the Fire Department of the City of Prior Lake will answer any and all fire and rescue calls of the residents of the Township of Spring Lake, and will respond to such calls with suitable apparatus manned by members of the City of Prior Lake Fire Department, who will render all assistance possible in saving of life and property. For such service, Said Township has paid the sum $23,455.00 for the year ending December 31, 1992. of It is understood and agreed, however, that at times weather and road conditions will interfere with the rendering of service, and that any given time the equipment may be engaged for services in the City or in another township. In any of these events, failure to provide the service herein agreed upon, shall not be taken to be a breach of this agreement. It is further agreed that Said City shall not be held liable in any way to the township, or to any inhabitant or property owner thereof, or to any other person, firm or corporation for failure of Said City Fire Department to attend a fire or rescue call or to put out a fire, for damage to goods or property or for any other reason. It is further agreed by and between the City and the Township of Spring Lake that in addition to the compensation hereinbefore provided, Said Township will pay the City the sum of $50.00 per hour for every hour or fraction thereof during which the City Fire Department may be engaged in fighting fires in Said Township when the water used in fighting such fires is taken in the fire hoses directly from the City hydrant. As part of the consideration for providing said fire and rescue services, Said City is entitled to an~ and/or sums payable under the provisions of insurance policies of said residents for fire and/or rescue calls made by Said City Fire Department. The Township shall remit to the City insurance payments received for said services. e The Township shall enact an ordinance authorizing a service charge to be imposed upon the owner, lessee or occupant of the property serviced by the City pursuant to this Agreement for all or any part of the cost of the operation and maintenance of the fire protection and rescue system and services provided to the Township by the City of Prior Lake. IN WITNESS WHEREOF, the parties have caused this instrument to be executed by the respective officers thereof and the respective seals to be affixed hereto. TOWNSHIP OF SPRING LAKE CITY OF PRIOR LAKE Chairperson Mayor Clerk City Manager (SEAL) (SEAL) HERITAGE COMMUNITY 189! 1991 '1%..%. AGENDA NUMBER: PREPARED BY: SUBJECT: DATE: 5 DEB GARROSS, ASSISTANT CITY PLANNER SECOND CONSIDERATION OF REZONING APPLICATION FOR WOODRIDGE ESTATES JANUARY 6, 1992 BACKGROUND: DISCUSSION: COMPREHENSIVE PLAN IMPACT: The purpose of this hearing is to consider a rezoning application for Woodridge Estates. See attached map for subject site location. The site consists of approximately seventy acres of vacant land located adjacent to and directly west of "The Pond" athletic complex. The requested action is to rezone the site from A-1 Agricultural to R-1 Residential. See attached materials for reference to this item. The rezoning was approved by the Commission on June 20, 1991 and by Council on August 5, 1991. The approved the rezoning subject Metropolitan Council approval Comprehensive Plan Amendment, and Planning the city Council to "(1) of the (2) a Sunshine Date of November 15, 1991 be incorporated which will give the Metropolitan Council slightly more than 90 days to approve the Comprehensive Plan, at which time the rezoning would become valid. If the Metropolitan Council does not approve the Plan Amendment by November 15, 1991 the rezoning would be declared null and void." See attached Council minutes from August 5, 1991. The Metropolitan Council review of the Comprehensive Plan amendment to incorporate the subject site into the Urban Service Area and to change the Land Use Designation from Agricultural to Low Density Residential was approved on December 19, 1991. The sunshine date placed upon the rezoning application expired, rendering the previous rezonlng null and void. The Planning Commission held a second public hearing to consider the rezoning application on December 19, 1991. The Planning Commission recommends that the site 4629 Dakota St. S.E., Prior Lake, Minnesota 55372 / Ph. (612) 447-4230 / Fax (612) 447-4245 ALTERNATIVES: be rezoned from A-1 Agricultural to R-1 Urban Residential. The minutes from the public hearing were not available as of the date of this memo. The rational given by the Planning Commission to support rezoning of the site is summarized as follows: The site should be rezoned from A-i, Agricultural to R-i, Urban Residential to reflect the Comprehensive Plan Land Use designation of Low Density Residential. The property is within the existing urban service area and as such should reflect a residential zoning classification. The residential zone is consistent with the single family development pattern which has developed in Spring Lake Township, located easterly of the site. The residential zone will promote development of single family homes for residents who will support the adjacent business zone to the north. Approve the rezoning application. Table the issue for further research. Deny the application for specific reasons. RECOMMENDATION: ACTION REQUIRED: The recommendation from the Planning Commission is to approve the rezoning application as presented. The developer has been granted preliminary plat approval of a single family subdivision on the site. The zoning should be changed to accommodate anticipated development on the subject site and to be consistent with the Low Density Land Use designation of the Comprehensive Plan. If it is the decision of the Council to approve the rezoning application, a motion to approve Ordinance 92-02 attached would be in order. If approved, staff will pre~are the necessary changes to the ComprehensIve Plan and Zoning Map. CITY OF PRIOR LAKE ORDINANCE NO. 92-02 AN ORDINANCE AMENDING PRIOR LAKE CITY CODE TITLE 5 AND THE LAKE ZONING ORDINANCE NO. 83-6. PRIOR The Council of the City of Prior Lake does hereby ordain: The Prior Lake Zoning Map, referred to in Prior Lake City Code Section 5-2-1 and the Prior Lake Zoning Ordinance Section 2.1, is hereby amended to change the zoning classification of the following legally described property from A-i, Agricultural to R-i, Urban Residential. LEGAL DESCRIPTION: That part of the West half of the Northeast Quarter of Section 11, Township 114, Range 22, lying Northeasterly of the center line of Mushtown Road, Scott County, Minnesota, consisting of approximately 69.82 acres. This ordinance shall become effective from and after its passage and publication. Passed by the City Council of the City of Prior Lake this 6th day of January, 1992. ATTEST: City Manager Mayor Published in the Prior Lake American on the 13th day of 1992. January, Drafted By: Deborah Ann Garross Assistant City Planner City of Prior Lake 4629 Dakota Street S.E. Prior Lake, MN 55372 PID~ ~ess~ Location of proposed rezo.~ng~ Present Zoning ~ /-/-!- Property Acreage to be rezoned: ~ 9 Intended use(s) of property: PropoSed Zoning.. Existing use of Property.' Deed Restrictions: ~/ No Yes If so, please attach. Has the Applicant previously sought to plat, rezone, obtain a variance or conditional use permit on th~. subject site or any part of it: ,., No ~ Yes What was requested: ,. ~[(f;~ ~..~, ' When: ~L~ ~3% / ? ~ / ~ SUBMISSION RfDUI~: (A) Complete appl ication fo~~. (B) C~mplete legal description & Property Identification Number (PID). (C) Filing fee. (D)Deed restrictions, if necessary. (E)Fifteen copies of a site plan dra~n to scale showing existing and proposed structures, lot boundaries, foliage and topography on site and within three hundred (300) feet of the property. (F)Soil tests, if pertinent. (G)Certified from abstract firm the names and addresses of property owners within 300 feet of the exterior of the property lines of the subject property. ONLY OOMI~ETE APPLICATIONS WILL BE REVIf]~q~D BY THE PLANNING COMMISSION. rezomn~q procedures as, out/ine~rt. To the best of my kn~ledge the information presented on this form is correct. In addition, I have read Section 7.9 of the Prior Lake Zoning Ordinance which specifies requirements for procedures. I agree to provide information and follow the the Ordinance. Fee Owner Date Date T~IS S~ION T9 BE FILLED IN BY THE.~ DIRfETOR ~'-~ ":~' DATE OF HEARING ~ COMMISSION '~ APPROVED ,, , DENIfD I,;-', ,.' CITY COU~IL AP~OV~ Db-'NIfD Signature of the Planning Director Date Minutes of the Prior Lake City Council August 5, 1991 on a vote taken, ayes by Andren, Fitzgerald, ire, the motion passed unanimously. MOTION MADE BY SCOTT, SECONDED BY FITZGERALD, LAKE ADVISORY COMMITTEE ETHICS STATEMENT. Larson, Scott and TO APPROVE THE Upon a vote taken, ayes by Andren, Fitzgerald, Larson, White, the motion passed unanimously. Scott and The next order of business was: Second Consideration of ~ Rezoning Application for New Century Construction - Ordinance 6~ 91-09 Mayor Andren called the continued Public Hearing to · ¢o~. order. Planning Director Graser briefly reviewed the decision by Council to continue the hearing to allow City Attorney Kessel Co~paa~ time to research whether or not a rezoning action could be conditioned upon a future event. (Based upon Attorney Kessel's findings, conditioned rezoning is legal). Ordinance 91-09 was submitted, contingent upon: (1) Metropolitan Council approval of the Comprehensive Plan Amendment, and (2) a Sunshine Date of November 15, 1991 to be incorporated which will give the Metropolitan Council slightly more than 90 days to approve the Comprehensive Plan, at which time the law will become valid. If Metropolitan Council does not approve the Plan Amendment, then on November 15, 1991 the law would be declared null and void. Council concurred that this Ordinance should be adopted. MOTION MADE BY WHITE, SECONDED BY FITZGERALD, TO ADOPT ORDINANCE 91-09 AMENDING PRIOR LAKE CITY CODE TITLE 5 AND THE PRIOR LAKE ZONING ORDINANCE 83-6 WITH CONTINGENCIES AS SPECIFIED. 9~-0~ Upon a vote taken, ayes by Andren, Fitzgerald, Larson, Scott and White, the motion passed unanimously. MOTION MADE BY LARSON, SECONDED BY SCOTT, TO ADJOURN THE R'~' PUBLIC HEARING. ~d~ouxn Upon a vote taken, ayes by Andren, Fitzgerald, Larson, Scott and White, the motion passed unanimously. The next order of business was: Consider Approval of Lakefront Park Trail Plans and Specifications. Assistant City Engineer Loney presented proposed plans for a trail system . within Lakefront Park for the ~urpose of receiving authorization from Council to advertise for bids. Council had authorized a General Fund Balance transfer of $75,000.00 to construct trails for Lakefront Park on July 15, 1991. Loney reported on modifications to the original plan and the findings of the survey team with regard to boundaries. Extensive discussion occurred regarding the placement of the trails, future plans for parking, access and other suggested improvements to Lakefront Park. General consensus of Council was for staff to re-evaluate the trail location from Lakefront Park to Ridgemont Avenue. MOTION MADE BY WHITE, SECONDED BY SCOTT, TO APPROVE RESOLUTION RS 91-34 APPROVING PLANS AND SPECIFICATIONS AND ORDERING ADVERTISEMENT FOR BIDS ON TRAIL IMPROVEMENT (PROJECT 91-14)· L.F. HERITAGE 1891 COMMUNITY 1991 eNNE$o "RZ01PN" CITY OF PRIOR LAKE NOTICE OF REZONING PUBLIC HEARING YOU are hereby notified that the City Council will hold a Public Hearing in the Prior Lake City Council Chambers at 4629 Dakota Street S.E., on Monday, January 6, 1992 at approximately 7:30 p.m. The purpose of the public hearing is to consider an application by New Century Construction Inc., 10165 Jamaica Court, Lakeville, Minnesota, to rezone property within the city limits of Prior Lake. The existing zoning classification of the ~roperty is A-1 Agricultural. The proposal of the developer is to rezone the property to R-1 Urban Residential which would allow single family homes to be developed on the site. The subject site contains approximately seventy (70) acres of land which was recently annexed by the City of Prior Lake from Spring Lake Township. The subject site is legally described as follows: SUBJECT SITE LEGAL DESCRIPTION: THAT PART OF THE WEST HALF OF THE NORTHEAST QUARTER OF SECTION 11, TOWNSHIP 114, RANGE 22, SCOTT COUNTY, MINNESOTA, LYING NORTHEASTERLY OF THE CENTERLINE OF MUSHTOWN ROAD. The subject site is more commonly described as the seventy (70) acres of land located west of "The Pond Athletic Complex", South of 170th Street, and North of Mushtown Road. The subject site had previously been conditionally rezoned from A-1 to R-1. Unique circumstances in the ~lanning and platting process resulted in a delay whereby causing the conditional rezoning to expire and revert to the underlying zone of A-1. If you desire to be heard in reference to this matter, you should attend this public hearing. The City Council will accept oral and or written comments. If you have questions regarding this matter, cqntact the City Manager's Office at 447-4230. Deborah Garross Assistant City Planner To be publishe~ in the Prior Lake December 30, 1991 and January 6, 1992. American on Monday 4629 Dakota St. S.E., Prior Lake, Minnesota 55372 / Ph. (612) 447-4230 / Fax (612) 447-4245 HERITAGE COMMUNITY 1891 1991 MINUTES OF THE ECONOMIC DEVELOPMENT AUTHORITY December 16, 1991 Chairman Gene White called the Economic Development Authority meeting to order on Monday, December 16, 1991 at 7:50 p.m. Members present were: Chuck Arnold, John Fitzgerald, Carol Scott, Lee Andren, Bob Barsness, Gene White and Doug Larson. The purpose of this meeting was to discuss the following: Consider Development Agreement With Enivid Corporation Discuss Follow-up Action From December 11, 1991 Workshop. The first order of business was a discussion on the Development Agreement With Enivid Corporation. Assistant City Manager Schmudlach stated that the attorney for Enivid Corporation had not consented to the agreement, subsequently, the recommendation is to table the item until such time Enivid's attorney approves the agreement. Ms. Schmudlach also stated that Enivid had indicated they would pay the costs incurred by the City to amend the agreement, but would prefer to pay 50% upon signing of the agreement and 50% when they (Enivid) entered into a project agreement. Discussion occurred on the amended agreement and reimbursement offer. General consensus of the members was to support the agreement language and tabling request of staff. General consensus was that Enivid should pay the total costs upon execution of the agreement since the EDA is amending the agreement solely at Enivid's request. MOTION MADE BY LEE ANDREN, SECONDED BY BOB BARSNESS, THAT ENIVID CORPORATION SHOULD REIMBURSE THE CITY FOR COSTS INCURRED IN THE AMENDMENT PROCESS UPON EXECUTION OF THE AGREEMENT. Upon a vote taken, ayes by Andren, Arnold, Barsness, Fitzgerald, Larson, Scott and White, the motion passed unanimously. The next item of business was: Discuss Follow-up Action From December 11, 1991 Workshop. Kay Schmudlach commented on the five steps of the Action Plan as discussed at the workshop and highlighted two additional steps which had been identified as necessa.r~ to the plan. Discussion occurred regarding property negotiations and the EDA members directed Bob Barsness and John Fitzgerald to continue with their negotiations of suitable property in connection with Business/Office Park sites. 4629 Dakota St. S.E., Prior Lake, Minnesota 55372 / Ph. (612) 447-4230 / Fax (612) 447-4245 MOTION MADE BY SCOTT, SECONDED BY ARNOLD, TO ADOPT A MODIFIED LIST OF ACTION STEPS AS DEVELOPED AT THE WORKSHOP INCLUDING STEPS 6 AND 7 AS DISCUSSED. Note: A copy of the action steps are on file in the City Manager's office. Upon a vote taken, ayes by Andren, Arnold, Barsness, Fitzgerald, Larson, Scott and White, the motion passed unanimously. There being no further business the meeting adjourned at 8:05 p.m. Respectfully submitted , Chairman' Recording Secretary HERITAGE COMMUNITY 1891 1991 AGENDA NUMBER: PREPARED BY: SUBJECT: DATE: 6(a) KAY SCHMUDLACH, ASSISTANT CITY MANAGER CONDUCT ECONOMIC DEVELOPMENT AUTHORITY MEETING - CONSIDER APPOINTMENTS FOR 1992 JANUARY 6, 1992 INTRODUCTION: BACKGROUND: DISCUSSION: RECOMMENDATION: ALTERNATIVES: The Economic Development Authority (EDA) was created on January 16, 1990 by the Prior Lake City Council. One representative from the Economic Development Committee and the Planning Commission were appointed by the City Council to serve a term consistent with the term of their appointment to their respective bodies. Officers were appointed at that time for a one ~ear term. This agenda item requests consideration to appoint officers for 1992. Reappointment of representatives from the Economic Development Committee and Planning Commission are not necessary because their terms do not expire at this time. The EDA appointed officers in 1990, and met four times that year to conduct business related to the Enivld Corporation Development Agreement. In 1991 the EDA did not meet until October. The Authority determined at that time that appointment of officers should not be done mid year but should occur in January of 1992. The EDA currently has a President Gene White, Vice President John Fitzgerald, Treasurer Bob Barsness, and Assistant Treasurer David Unmacht. Members of the EDA fill all positions except Assistant Treasurer. City staff recommends that the EDA appoint officers at this time. The EDA has the following alternatives: 1. Appoint officers to the EDA. 2. Delay appointment until another date for a specific reason. 4629 Dakota St. S.E., Prior Lake, Minnesota 55372 / Ph. (612) 447-4230 Fax (612) 447-4245 ACTION REQUIRED: A series of motions is required to appoint the President, Vice President, Treasurer, and Vice Treasurer for a one year term to conclude January 1992 or until reappointments can be made. HERITAGE COMMUNITY hr d .,4;' 1891 1991 AGENDA NUMBER: PREPARED BY: SUBJECT: DATE: 6(b) KAY SCH]4UDLACH, ASSISTANT CITY MANAGER CONDUCT ECONOMIC DEVELOPMENT AUTHORITY MEETING - PRESENT DEVELOPMENT AGREEMENT FOR APPROVAL JANUARY 6, 1992 INTRODUCTION: BACKGROUND: DISCUSSION: The Economic Development Authority (EDA) met on December 16, 1991, to consider the amended and restated Development Agreement between the City of Prior Lake and Enivid Development Corporation. At that meeting, the EDA reviewed the document and had no changes, but tabled action until the Enivid party accepted the Agreement as restated. Enivid Corporation representative Kathleen Nye-Reiling requested EDA consideration to extend the Enivid Development Agreement on October 21, 1991. The EDA agreed with the request and directed staff to process the extension. Staff directed Briggs & Morgan to prepare a restated and amended Agreement. City Attorney Kessel approved the changes. Enivid attorneys did not approve the Agreement by the scheduled EDA meeting on December 16, 1991 and a motion to table the item was approved. At the time that this report is being written, Enivid attorneys have not responded to the amended agreement. Staff has confirmed that Kathleen Nye-Reiling will be attending the January 6, 1992 Council meeting, and will be prepared to discuss the Agreement. Another issue the EDA addressed was pertaining to the cost of amending the documents. The EDA passed a motion to have Enivid Corporation pay for the cost of having the documents amended. 4629 Dakota St. S.E., Prior Lake, Minnesota 55372 / Ph. (612) 447-4230 / Fax (612) 447-4245 RECOMMENDATION: ALTERNATIVES: ACTION REQUIRED: Staff has forwarded this information to Enivid representatives and they have agreed to this action. A final bill will be sent to Enivid to cover the costs of Briggs & Morgan, staff time and time spent by Attorney Kessel reviewing the document. Staff recommended the EDA approve the document as amended. The EDA should discuss the document with Nye-Reiling and then take appropriate action. The EDA has the following alternatives: 1. Approve the Development Agreement as amended. Table the Development Agreement for a specific reason until a specific time. 3. Deny approval of the Development Agreement. A motion to approve the Development Agreement may be in order. ~ AMENDED AND RESTATED DEVELOPMENT AGREEMENT By and Between THE PRIOR LAKE ECONOMIC DEVELOPMENT AUTHORITY And ENIVID REALTY CORPORATION, a Minnesota Corporation This Agreement was drafted by: Briggs and Morgan Professional Association 2200 First National Bank Bldg. Saint Paul, Minnesota 55101 TABLE OF CONTENTS (This Table of Contents is not part of the Second Amended and Restated Development Agreement and is only for convenience of reference.) Page ARTICLE I - Definitions ................... 1-1 Section 1.1. Definitions ............... 1-1 ARTICLE II - Representations, Warranties and Covenants · · . 2-1 Section 2.1. Representations and Warranties by the EDA .............. 2-1 seo on Covenants by the Company ......... 2-1 ARTICLE III - Project Undertakings ............. 3-1 Section 3.1. Tax Increment Assistance; EDA Note .... 3-1 ARTICLE IV - Construction of Minimum Improvementst ..... 4-1 Section 4.1. Construction of Minimum Improvements . . . 4-1 Section 4.2. Construction Plans ........... 4-1 Section 4 3. Commencement and Completion o~ Construction_ - . _ _ ......... 4-2 section Certificate CompletiOn ........ 4-2 ~ ~ 4 5 ARTICLE V - Prohibitions Against Assignment and Transfer; Indemnification ........... 5-1 Section 5.1. Prohibition Against Transfer ~f Property and Assignment of Agreement . . . 5-1 Section 5.2. Release and Indemnification Covenants . . 5-2 ARTICLE VI - Events of Default ............_ . _ 6-1 Section 6.1. Events of Default Defined ........ 6-1 Section 6.2. Remedies on Default ........... 6-1 Section 6.3. No Remedy Exclusive ....... 6-2 Section ~.4. NO Additional Waiver }m~mie~ by One Waiver .................. 6-2 Section 6.5. Agreement to Pay Attorneys' Fees and Expenses ................. 6-2 ARTICLE VII - Additional Provisions . . 7-1 section 7.1. Titles of Articles in~ ~e~tio~s' : : : : ?-1 Section 7.2. Notices and Demands ........... 7-1 Section 7.3 Counterparts . 7-1 Section 7.5. Amendment and R s a e e t 0 r 0 A~eement ~<: % I ............. 7-1 ~480~ ARTICLE VIII - Termination of Agreement~ Expiration ..... 8-1 Section 8.1. The EDA*e Option to Terminate . . .. . 8-1 Section 8 2. Expiration ............. ~ ' ' 8-1 Section 8]3. Effect of Termination or Expiration ·' ' 8-1 SIGNATURES EXHIBIT A - Legal Description of Development Property .... A-1 EXHIBIT B - Certificate of Completion ............ B-1 EXHIBIT C - For~ of Tax Increment Revenue Note ....... C-1 24804 THIS AGREEMENT is dated as of , ~ ~, is by and between the Prior Lake Economic Development Authority and Enivid Realty Corporation, a Minnesota corporation, d/b/a Enivid Corporation, and provides as follows: ARTICLE I Section 1.1. Definitions. As used in this Agreement, the following terms have the following respective meanings: "AqFeement" means this Development Agreement, as the same may be amended. "Certificate of Completion" means the certificate, in the form attached as Exhibit B hereto, to be provided by the EDA to the Company pursuant this Agreement, upon satisfactory completion of the Minimum Improvements. "Company" means Enivid Realty Corporation, a Minnesota corporation, d/b/a Enivid Corporation, or its successors or assigns under this Agreement. "Construction Plans" means the plans, specifications, drawings and related documents on all construction work to be performed by the Company on the Development Property, including all on-site improvements to be performed, installed or constructed upon the Development Property pursuant to this Agreement. Such plans shall be prepared by a registered engineer or licensed architect and shall at a minimum include, for each building or other structure to be constructed on the Development Property, the following: (i) site plan (which shall without limitation include building and parking lot size and location, driveway and access points, sidewalks, and lighting location); (ii) foundation plan; (iii) basement plans; (iv) floor plan for each floor; (v) cross sections of each (length and width); (vi) elevations (all sides); and (vii) landscape plan, and shall include as well adequate plans, drawings and specifications relating to all driveways, walks, parking and other improvements to be constructed upon the Development Property by the Company. "Developmen~ Pr0pert¥" means the real property described in Exhibit A of this Agreement. "ED~" means the Prior Lake Economic Development Authority. 24804 1-1 · ~" means the obligation substantially in the form of the attached Exhibit C which is described in Section 3.1 and which is issuable by the EDA to the Company in satisfaction of the EDA's obligation to provide the Company the assistance described in Section 3.1. "Event of Default" means an event of default defined in Section 6.1 of this Agreement. "Minimum Improvements" means ~ ........ :--~-'" '^ ^^^ ~--' ---------~-~ --~ all et-he~ impro including driveways ..... ~ ............ vements, , walks, landscaping, parking facilities and fixtures and equipment, to be constructed or installed by the Company upon the Development Property pursuant to this Agreement, as such improvements are described and detailed in the Construction Plans. "Part" ¥ means either the Company or the EDA. "Parties" means the Company and the EDA. "Project" means the Development Property and the Minimum Improvements. "Site ImDrovement Costs" those costs incurred by the Company in correcting the soil conditions of the Development Property, as described in Section 3.1. "State" means the State of Minnesota. "Tax Increment Act" means Minnesota Statutes, Sections 469.174 through 469.179, as the same may be amended. "Tax Increments" means those tax increments which the EDA shall be entitled to receive and retain, and which the EDA shall have actually received from Scott County, from time to time from its Tax Increment Financing District pursuant to the Tax Increment Act, and "Available Tax Increments" means, as further defined in Section 3.1, the portion of the Tax Increments which shall be available to pay the EDA's obligations under the EDA Note. "Tax Increment Financin~ District" means the EDA's Tax Increment Financing District No. 2-1 within its Redevelopment Project No 2 Ae3~eeme~t-~!~ [Note: As of the date of this Agreement, the Developmen~ Property and the property constituting the Tax Increment Financing District are the same. ] "Unavoidable Delays" means any delay outside the control of the Party claiming its occurrence which is the direct result of 1-2 strikes, other labor troubles, unusually ssvers or prolongsd bad weather, Acts of God, firs or o~her casualty to ths Minimum Improvements, litigation commenced by third partiss which, by injunction or othsr similar Judicial action, dirsctly rssults in delays, or acts of any federal, stats or local governmsntal unit (other than the EDA) which dirsctly result in delays. 1-3 ARTICLE II Representations. Warr&nties and Covenants Section 2.1. Representations and Warranties bv the EDA. The EDA represents and warrants that it is authorized to enter into and perform its obligations under this Agreement; however, no part of this Agreement shall be construed as a representation of the EDA as to the condition of the Development Property, including without limitation any soils or hazardous waste conditions, or as to its suitability for the Company's purposes and needs. Section 2.2. ~epresen~a~ons. Warranties and CQvenants by the Company. The Company represents and warrants that: (a) The Company is a corporation duly organized and in good standing under the laws of the State, is authorized to do business in Minnesota and is in good standing under the laws of Minnesota, is not in violation of any provisions of its Articles of Incorporation or the laws of the State and is authorized to enter into and perform its obligations under this Agreement. (b) The Company is the sole owner of the Development Property and will take all actions as may be necessary in order to construct, operate and maintain the Minimum Improvements upon the Development Property in accordance with this Agreement and all local, state and federal laws and regulations (including without limitation environmental, zoning, building code and public health laws and regulations). '~' The Company has received no notice or communication from any local, state or federal official or body that the activities of the Company respecting the Development Property or the construction of the Minimum Improvements thereon may be or will be in violation of any law or regulation. ~,~ The Company will use its best efforts to obtain, ~n a timely manner, all required permits, licenses and approvals, and to meet, in a timely manner, all requirements of all applicable local, state and federal laws and regulations which must be obtained or met before the Minimum Improvements may be lawfully constructed and operated. +f~i~ The execution and delivery of this Agreement, the cons~ation of the transactions contemplated hereby and the fulfillment of or compliance with the terms and conditions of this Agreement are not prevented or limited by and will not conflict with or result in a breach of any provision or :2-1 requirement applicable to the Company or of any provielon of any evidence of indebtedness, agreement or instrument of whatever nature to which the Company ia now a party or by which it is bound. ~J~i~ The construction of the Minimum Improvemente would no~""~e undertaken by the Company, and in the opinion of the Company would not be economically feasible within the reasonably foreseeable future, without the assistance and benefit to the Company provided for in this Agreement. 2-2 ARTICLE Protect Undertak[nos Section 3.1. Tax Increment Assistance: EDA Note. The Company hereby represents to the EDA that the Company will, in connection with completing the Project, incur costs in excess of approximately $240,000 for correcting soil deficiencies of tbs Development Property of the t~pe which allow the designation of the Tax Increment Financing District as a "soils condition district' under Section 469.174, Subdivision 19, of the Tax Increment Act, including excavation, filling and grading costs, as applicable (collectively, the 'Site Improvement Costs'). The EDA agrees to defray all or a portion of the Site Improvement Costs by issuing the EDA Note to the Company, as registered o~ner thereof, substantially in the form of Exhibit C to this AgTeement, the issuance of which EDA Note is hereby authorized and approved, subject to the following conditions: (a) The £DA Note shall be dated, issued and delivered as so0.9..gS.' practicable follo~igg.....~h..e .execution and delivery of n~.....E~..........~f...~..b~f~.I~.........~s~.~.I~......~.~.~.~......~.~urred and be at the time continuing. (b) As conditions to such reimbursement of Site Improvement costs pursuant to the EDA Note, the Company shall (1) have received the Certificate of Completion, (2) demonstrate in writing to the reasonable satisfaction of the EDA the amount and nature of the Site Improvement Costs and that the same have been paid and (3) provide a written certification to the EDA stating that the applicable portion of the underlying soil corrections have been or are being made in accordance with the terms of this Agreement and applicable laws and regulations, that the costs being certified are Site Improvement Costs, as defined hereunder, and that no Event of Default has occurred which remains uncured. Upon such certifications of Site Improvement Costs, which ......... ~ ~ --~ ~ ~ ' --~ --~ 4 ~ ~ ~ ~ ~ ::':':'":':::':'::!!! '!i:! !~i~i~!!!!':':'~::':'~':::':':'~:'×':':':':':~ii!iii ' ° ...... t~ .... o ..... ~ ........ .-:::::::::In connection with the issuance of the Certificat~'"":'6f'"'C6'~i~ion, the EDA shall then add said amounts to the principal amount of the EDA Note by recording the same on the Principal Ledger attached to the EDA Note Thc ~D~ N~t~ ~hall b ........ ~--~ tO ~- ~'. ".- -~ '--- ~=-- ~- ~-- The aggregate principal amount of the EDA Note (the "Principal Amount") shall be the lesser of (1) $240,000 and (2) the sum of the amounts which shall have been entered on the Principal Ledger of the EDA Note pursuant to this subsection. (c) The EDA shall have established the Development Property as a "soils condition" tax increment financing 3-1 district pursuant to and as defined in Section 469.174, Subdivision 19, of the Tax Increment Act, which actions the EDA shall use its best efforts to process and accomplish. (d) Subject to the provisions of the EDA Note, the principal of and interest on the EDA Note shall in the aggregate be payable on December 1 of the years through 2001, inclusiv. respective amount or amounts described in this subsection. The sole source of funds available for payment of the EDAts obligations under this Section and correspondingly under the EDA Note shall be the Available Tax Increments, hereby defined to be, for each of the property tax years starting with the payable 19~2 ~ and continuing through the payable 2001 :::::::::::::::::::::::::: property tax years, inclusive, the product derived by multiplying the following factors (1) and (2), factor (1) being the Principal Amount divided by $240,000 and factor (2) being the lesser of (i) $44,432 and (ii) the total of the Tax Increments generated by the Project with respect to the applicable tax year minus $3,000. Any amount of Tax Increments which may from year to year exceed the Available Tax Increments are not subject to this Agreement, and the EDA retains full discretion as to any authorized application thereof, regardless of whether the Available Tax Increments are sufficient to reimburse the Company in full for the above-described costs. (e) The Principal Amount of the EDA Note shall bear interest from the last date of entry on the Principal Ledger of the EDA Note and shall be determined as that rate of interest which, when the Available Tax Increments are present-valued (from their respective Payment Dates) to said date of entry and to said Principal Amount, will result in the sum of such present values equalling the Principal Amount. (f) The EDA shall issue the EDA Note as a taxable and not as a tax-exempt obligation, and accordingly the interest on the EDA Note is not anticipated, represented or covenanted to be generally exempt from either State or federal income taxation. (g) The EDA Note shall be a special and limited obligation of the EDA and not a general obligation of the EDA, and only Available Tax Increments shall be used to pay the principal of and interest on the EDA Note. (h) The EDA's obligation to make payments on the EDA Note shall be conditioned upon the requirement that there shall not at the time have occurred and be continuing an Event of Default; provided, however, that if such Event of Default shall subsequently have been cured to the reasonable 2&80~ 3-2 satisfaction of the EDA, such unpaid obligations shall thereupon be reinstated and ~hereby become due and payable. (i) The EDA Note shall be governed by and payable pursuant to the additional terms thereof, as set forth in Exhibit C. In the event of any conflict between the terms of the EDA Note and the terms of this Section 3.1, the terms of the EDA Note shall govern. (j) Following any termination of this Agreement by the EDA pursuant to Section 6.2(b) hereof, no further or unpaid amounts of the EDA Note shall then or thereafter be due and payable by the EDA under this Section or the EDA Note but shall thereupon be extinguished. ~.,'~' The Company acknowledges that the Tax Increment Financing District is anticipated to be a "soils condition district" under the Tax Increment Act and is therefore subject to the restrictions provided for such types of tax increment financing districts as set out in said Act. 3-3 ARTICLE IV Construction of Minimum Section 4.1. Construction o~ Minimum Improvements. The Company agrees that it will construct the Minimum Improvements on the Development Property in conformance with the approved Construction Plans. The Company agrees that the scope and scale of the Minimum Improvements to be constructed shall not be significantly less than the scope and scale of the Minimum Improvements as detailed and outlined in the Construction Plans. Section 4.2. Construction Plans. (a) Except for the execution and delivery of the Assessment Agreement and except for the issuance of the EDA Note, the EDA shall have no obligation to the Company to take any action pursuant to any provision of this Agreement until such time as the Company has submitted Construction Plans to the EDA, and the EDA has approved such Construction Plans. The EDA shall approve the Construction Plans if it determines that they conform to the applicable provisions of this Agreement; provided, however, that any such approval of the Construction Plans pursuant to this Section 4.2 shall constitute approval for the purposes of this Agreement only and shall not be deemed to constitute approval or waiver by the City of Prior Lake with respect to any building, zoning or other ordinances or regulation, and shall not be deemed to be sufficient plans to serve as the basis for the issuance of a building permit if the Construction Plans are not as detailed or complete as the plans otherwise required for the issuance ~'~'~'"~'~'~'~'~'~the EOA within I0 ~i~ working days of submission or shall be deemed to have been approved by the EDA. If the EDA rejects the Construction Plans in whole or in part, the Company shall submit new or corrected Construction Plans within 30 days after receipt by the Company of written notification of the rejection, accompanied by a written statement of the EDA specifying the ~ ~,. ( ~--~-- A~ ~ 4 ~ ~--~ 4 ~-- ~ ~ '":'"'"'":C"::'':":"':'"?'?'?~::::' '' provisions of this Section 4.2 and resubmission of Construction Plans shall continue to apply until the Construction Plans have been approved by the EDA. Approval of the Construction Plans by the EDA shall not relieve the Company of any obligation to comply with the provisions of this Agreement or the provisions of applicable federal, state and local laws, ordinances and regulations, nor 4-1 (b) If the Company desires to make any change in the Construction Plans after their approval by ~he EDA, the Company sh&11 submit the proDosec~ change to the EDA for its approval or rejection pursuant to ~his Section. A proposed change in the Construction Plans shall be deemed approved unless rejected by the EDA in writing within 10 working days of sttbmission thereof with a statement of the EDA's reasons for such rejection. The provisions of this subsection shall apply to changes which alter in any respect the landscape plan or the sits plan or which individually or in the aggregate affect the cost of the Minimum Improvements by $25,000 or more. Section 4.3. Commencement and ComDletio~ 9~ Construction. Subject to Unavoidable Delays, the Company ohall =omn=n== and shall have substantially completed the construction of the Minimum Imgrovements not later than TM.~.-~.~-- ~'., 1990 :?:?:~~ Section 4.4. Certificate of Completion. (a) Promptly after completion of the Minimum Improvements in accordance with the provisions of this Agreement, and upon written request made by the Company, the EPA will furnish the Company with a Certificate of Completion, in substantially the form set forth in Exhibit B attached hereto. Such Certificate of Completion shall be a conclusive determination of satisfaction and termination of the agreements and covenants in this Agreement with respect to the obligations of the Company to construct the Minimum Improvements. The following shall be conditions precedent to the EDA~s obligation to issue the Certificate of Completion: (i) The Company shall certify to the EDA in writing that it has complied with the terms of this Agreement and that there exists no Event of Default hereunder; (ii) The Company shall have received from the City of Prior Lake a Certificate of Occupancy for the Minimum (b) If the EDA determines that it cannot issue the Certificate of Completion, it shall, within 10 working days after written request by the Company, provide the Company with a written statement indicating in adequate detail in what respects the Company has failed to complete the Minimum Improvements in accordance with the provisions of this 4-2 Agreement or is otherwise in default under the ter~e of this Agreement (including without limitation an Event of Default hereunder), and what measures or acts it will benecessaryfor the Company to take or perform in order to obtain such Certificate of Completion. 2&80~ 4-3 ..... ~ the Ccmpany ~'cc~'~c:~"e --- --~ ...... ~ ..... "~- ~"- thc ~ ....... ~-~ ~- ~- --:-:-- -' ....... ~ --~ -- -h-Il -~ ~" fcrth~'ith 4-4 ~RTICLE V Prohibitions Aaainst Assignment and Transfer: Indemnification Section 5.1. Prohibition Aaainst Transfer of Property and ~ss~gDment of Aareement. The Company represents and agrees that prior to the issuance of the Certificate of Completion: (a) Except only by way of security for the purpose of obtaining financing necessary to enable the Company or any successor in interest tot he Development Property, or any part thereof, to perform its obligations with respect to making the Minimum Improvements under this Agreement, and any other purpose authorized by this Agreement, the Company (except as so authorized) has not made or created and will not make or create or suffer to be made or created any total or partial sale, assignment, conveyance, or lease (except in the ordinary course of the Company's business of lessor of the Minimum Improvements), or any trust or power, or any transfer in any other mode or form, of or with respect to the Agreement or the Development Property or any part thereof or any interest therein, or any contract or agreement to do any of the same, without the prior written approval of the EDA. (b) The EDA shall be entitled to require, except as otherwise provided in the Agreement, as conditions to any such approval that: (i) Any proposed transferee shall have the qualifications and financial responsibility, in the reasonable judgment of the EDA, necessary and adequate to fulfill the obligations undertaken in this Agreement'by the Company. (ii) Any proposed transferee, by instrument in writing satisfactory to the EDA, shall, for itself and its successors and assigns, and expressly for the benefit of the EDA, have expressly assumed all of the obligations of the Company under this Agreement and agreed to be subject to all the conditions and restrictions to which the Company is subject unless the Company agrees to continue to fulfill those obligations, in which case the preceding provisions of this Section 5.1(b)(ii) shall not apply. (iii) There shall be submitted to the EDA for review and prior written approval all instruments and other legal documents involved in effecting the transfer of any interest in this Agreement or the Development Property. 5-1 Section 5.2. Release and Inde~nification Covenants. (a) The Company releases from and covenants and agrees that theE DA and the governing body members, officers, agents, including its independent contractors, consultants and legal counsel, servants and employees thereof (hereinafter, for purposes of this Section, collectively the "Indemnified Parties") shall not be liable for and agrees to indemnify and hold harmless the Indemnified Parties against any loss or damage to property or any injury to or death of any person occurring at or about or resulting from any defect in the Minimum I~provements. (b) Except for any willful misrepresentation or any willful or wanton misconduct of the Indemnified Parties, the Company agrees to protect and defend the Indemnified Parties, now and forever, and further agrees to hold the aforesaid harmless from any claim, demand, suit, action or other proceeding whatsoever by any person or entity whatsoever arising or purportedly arising from this Agreement, or the transactions contemplated hereby or the acquisition, construction, installation, ownership, and operation of the Minimum Improvements, provided, that this indemnification shall not apply to the warranties made or obligations undertaken by the EDA in this Agreement. (c) All covenants, stipulations, promises, agreements and obligations of the EDA contained herein shall be deemed to be the covenants, stipulations, promises, agreements and obligations of the EDA and not of any governing body member, officer, agent, servant or employee of the EDA. The indemnifications provided in this Section shall include the reasonable attorneys~ fees of the Indemnified Parties. 5-2 ARTICLE VI Events of Default Section 6.1. Events of Default Defined. Events of Default under this Agreement: The following are (a) Failure in the timely payment of all real property taxes assessed with respect to the Development Property. (b) Failure by the Company to commence and complete construction of the Minimum Improvements pursuant to the terms, conditions and limitations of this Agreement. (c) Failure by the Company to observe or perform any covenant, condition, obligation or agreement on its part to be observed or performed under this Agreement. (d) The holder of any security interest in any part of the Development Property or Minimum Improvements takes action to enforce the same for satisfaction. (e) A petition in bankruptcy is filed naming the Company as debtor, and such petition is not dismissed within 90 days of the date of filing thereof. An Event of Default shall also include any occurrence which would with the passage of time or giving of notice become an Event of Default as defined hereinabove. Section 6.2. Remedies on Default. Whenever any Event of Default occurs, in addition to all other remedies available to the EDA at law or in equity, the EDA (1) may suspend its performance under the Agreement until it receives assurances from the Company, deemed adequate by the EDA, that the Company has cured its default and will continue its performance under this Agreement and (2) may take any one or more of the following actions after provision of 30 days written notice to the Company of the Event of Default by the EDA, but only if the Event of Default has not been cured within said 30 days, or if the Event of Default cannot be cured within 30 days, the Company does not provide assurances tot he EDA reasonably satisfactory to the EDA that the Event of Default will be cured as soon as reasonably possible: (a) The EDA may withhold the Certificate of Completion. (b) The EDA may terminate this Agreement, without further obligation whatsoever to the Company under this Agreement or the EDA Note. Section 6.3. No Rp~edy Exclusive. No remedy herein conferred upon or reserved to the EDA is intended to be exclusive of any 2480~ 6-1 other available remedy or remedies, but each and every such remedy shall be cumulative and shall be in addition to every other remedy given under this Agreement or now or hereafter existing at law or in equity. No delay or omission to exercise any right or power accruing upon any default shall impair any such right or power or shall be construed to be a waiver thereof, but any such right and power may be exercised from time to time and as often as may be deemed expedient. Section 6.4. No Additional Waiver Implied by One Waiver. If any agreement contained in this Agreement should b e breached by any Party and thereafter waived by any other Party, such waiver shall be limited to the particular breach so waived and shall not be deemed to waive any other concurrent, previous or subsequent breach hereunder. Section 6.5. Agreement to Pay Attorngys' Fees and ExDenses. Whenever any Event of Default occurs and the EDA shall employ attorneys or incur other expenses for the enforcement, performance or observance of any obligations or agreement on the part of the Company herein contained, or for the identification and/or pursuit of any other remedies on possible work-outs of such default, the Company agrees that it shall, on demand therefor, pay to the EDA the reasonable fees of such attorneys and such other expenses so incurred by the EDA. 6-2 ARTICLE VII Additional Provisions Section 7.1. Titles of Articles and Sections. Any titles of the several parts, Articles and Sections of this Agreement are inserted for convenience of reference only and shall bedisregarded in construing or interpreting any 9f the provisions hereof. Section 7.2. NO~ices and Demands. Except as otherwise expressly provided in this Agreement, a notice, demand or other communication under the Agreement by either Party to the other shall be sufficiently given or delivered if sent by registered or certified mail, postage prepaid, return receipt requested, or delivered personally; and, (a) in the case of the Company, if mailed to or delivered personally to Enivid Realty Corporation, c/o Boderman and Associates, CPA's, 12800 Industrial Park Boulevard, Suite 100, Plymouth, Minnesota 55441, Attention: Nell Boderman; with a copy to Robert D. Schwartz, 450 International Centre, 900 2nd Avenue South, Minneapolis, Minnesota 55402; and (b) in the case of the EDA, if mailed to or delivered personally to the EDA at the Prior Lake City Hall, 4629 Dakota S.E., Prior Lake, Minnesota 55372, Attention: Prior Lake City Manager. or at such other address with respect to either such Party as that Party may, from time to time, designate in writing and forward to the other as provided in this Section. Section 7.3. Counterparts. This Agreement may be executed in any number of counterparts, each of which shall constitute an original hereof. Section 7.4. Law Governina. The parties agree that this Agreement shall be governed and construed in accordance with the laws of Minnesota and acknowledge that this Agreement is of the type of agreement described in Minnesota Statutes, Section 469.176 Subdivision 5. Section 7.5. Amendment and Restatement of Prior Aareement. The EDA and the Company executed and delivered that certain Development Agreement, dated as of April 2, 1990 (the "~ O~&!~ Agreement ), which was recorded in the office of the Scott Company executed the ~ ~~~1{~I ~ame of "ENIVID Corporation" and the:~'":'"~:~any k~--e~ee~ ~- ' ~~ advised the EDA that its correct legal name is as '~'~o--~'-in this Agreement and that the Company ha= ~ filed in the office of the 2~,80~ 7-1 Minnesota Secretary of State a Certificate of Aseumed Name relating to the Company's ¢o~uct: of it:e business under the name of "Enivid Corporation. The EDA and the Company ortgXna~~l:ve as o e ~':~';';~g~e. ent:, to reflect t~e correct: *:he legal name of ~. Excep~ as ~ended ~ 2480~ 7.-2 ~TICLE VIII Termination 9f Aareement: Ex~tration Section 8.1. The EDA's ODtion to Terminate. As provided in Section 6.2 hereof, the EDA may terminate this Agreement if an Event of Default shall have occurred hereunder and be continuing. Nothing in this Section shall affect the EDA~s right, should the EDA not so elect to terminate this Agreement and as recourse against the Company, to insist on performance hereunder by the Company, including the Companyts completion of the Minimum Improvements. Section 8.2. ~. This Agreement shall expire on the earlier of (i) December 31, 2001, and (ii) the date, if any, upon which the EDAts obligations under Section 3.1 shall have been paid in full. Section 8.3. Effect o~ Termination or ExDir~iQn. No termination or expiration of this Agreement pursuant to the terms hereof shall terminate (i) any rights or remedies arising hereunder due to an Event of Default occurring prior to such termination or expiration or (ii) the provisions of Sections 5.2 and 6.5 hereof. 8-1 IN WITNESS WHEREOF, the EDA and the Company have caused this Agreement to be executed by their duly authorized --r ............. PRIOR LAKE ECONOMIC DEVELOPMENT AUTHORITY (SEAL) By Its President By Its Vice-President [Execution of this ~~iiiii!i~~~]?~%~!i!~~,%?i~~~ ::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::: ::::::::::::::::::::::::::::::::::::::::::::::::::: :::::~::~.'.~:~:.'.::~ '~.'-:.:::.'.~::~:~::%~ Agreement by Enivid ReaI~y ~orpo~::~n appears on the ~oIIowlng page.] 8-2 ENIVID REALTY CORPORATION, A MINNESOTA CORPORATION By Its President [Execution Page to S~ii!~!!!!~!iii~'~%:~~~~ Development Agreement between the Prior Lake Economic"'Development'Authorlty ana the above-named corporation.] 24804 8-3 STATE OF MINNESOTA ) )SS. COUNTY OF SCOTT ) The foregoing instrument was acknowledged before me this ~ ~ ~ ~ :;'":i:"'":'""?"~ day of , .... ~i~, by and , the Presi~and Vice-President, respectively, of the Prior Lake Economic Development Authority, on behalf of said Authority. Notary Public 8-4 STATE OF MINNESOTA ) COUNTY OF ) The foregoing instrument was acknowledged before me this day of , 1990 ~, by Patricia Divine, the President of Enivid Realty Corporat£6~']'"'a corporation organized under the laws of the State of Minnesota, d/b/a Enivid Corporation, on behalf of said corporation. Notary Public 8-5 EXHIBIT A LEGAL DESCRIPTION OF DEVELOPMENT PROPERTY This Development Property consists of the following properties located in the City of Prior Lake, Scott County, Minnesota: Lots 2 and 3, Block 1, Brooksville Center 2nd Addition 2480~ A-1 EXHIBIT B CERTIFICATE OF COMPLETION WHEREAS, the Prior Lake Economic Development Authority (the "EDA") and Enivid Realty Corporation, a Minnesota corporation, d/b/a Enivid Corporation (the "Company"), executed a certain SeCond Amended and Restated Development Agreement (the "Development Agreement"), dated as of , ~ ~i~, relating to certain property in the City of Prior' Lake, M~sota, and the issuance of this certificate was a contemplated occurrence under Section 4.4 of the Development Agreement; and WHEREAS, the Company has to the present date performed in a manner deemed sufficient under the Development Agreement by the EDA to permit the execution and delivery of this certification: NOW, THEREFORE, this is to certify that all building construction and other physical improvements specified as the Minimum Improvements in the Development Agreement to be done and made by the Company have been completed and the above covenants and conditions in said Development Agreement have been performed by the Company. THE PRIOR LAKE ECONOMIC DEVELOPMENT AUTHORITY (SEAL) Its President By Its Vice-President [Note: At the request of the Company, this Certificate may be issued in recordable form.] B-1 EXHIBIT C FORM OF EDA NOTE NO. R-1 UNITED STATES OF AMERICA STATE OF MINNESOTA COUNTY OF SCOTT PRIOR LAKE ECONOMIC DEVELOPMENT AUTHORITY TAX INCREMENT REVENUE NOTE OF 1990, SERIES A ~(S~NDii~0~ AND RESTATED) The Prior Lake Economic Development Authority (the "EDA") hereby acknowledges itself to be indebted and, for value received, hereby promises to pay to Enivid Realty Corporation, a Minnesota corporation, d/b/a Enivid Corporation, or its registered assigns (the "Registered Owner"), but only in the manner, at the times, from the sources of revenue, and to the extent hereinafter provided, the principal amount hereof (the "Principal Amount") and interest thereon, as hereinafter described. The Principal Amount of this Note shall equal the lesser of (1) $240,000 and (2) the sum of the principal installments which shall have been entered on the attached Principal Ledger. Subject to the terms hereof, payments shall be due and payable on December i of each of the years 1"-".~ .~ through 2001, inclusive (the "Payment Dates"). The amounts due hereon on each Payment Date are payable solely from, to the extent, and at the times that the EDA shall have received certain amounts of tax increments from its Tax Increment Financing District No. 2-1 (the "Tax Increment District") within its Redevelopment Project No. 2, and as said amounts of such tax increments are defined and limited in Section 3.1 of that certain Development Agreement described below, such tax increments are hereinafter referred to as the "Available Tax Increments." As further provided in Section 3.1 of the Development Agreement, Available Tax Increments means, for each of the property tax years starting with the payable 1792 ~!~ and continuing through the payable 2001 property tax years, ~:~6:~usive, the product derived by multiplying the following factors (1) and (2), factor (1) being the Principal Amount divided by $240,000 and factor (2) being the lesser of (i) $44,432 and (ii) the total of the Tax Increments generated by the Project with respect to the applicable tax year C-1 minus $3,000. Subject to the terms of ~his Nots, the EDA shall pay to the Registered O~er the applicable amount of Available Tax Increments on the respective Payment Date, The PrincipalAmount of this Note shall bear interest from the last date of entry on the Principal Ledger and shall be determined as that rate of interest which, when the Available Tax Increments are present-valued (from their respective Payment Dates) to said date of last entry and to said Principal Amount, will result in the sum of such present values equalling the Principal Amount. The EDA's payment obligations hereunder shall be further conditioned on the fact that there shall not at the time have occurred and be continuing an Event of Default under that certain SecOnd Amended and Restated Development Agreement, dated as of ...... , I090 ~99:~ (the "Development Agreement"), as the same may be amended from:~::~e to time, by and between the EDA and Enivid Realty Corporation, a Minnesota corporation, d/b/a Enivid Corporation (the'"iiiiii#ComP~y"}i, and, further, if pursuant to the occurrence of an ~ent Of'Default under the Development Agreement the EDA elects to terminate the Development Agreement, the EDA shall have no further debt or obligation under this Note whatsoever. Reference is hereby made to the provisions of the Development Agreement, including without limitation Section 3.1 thereof, for a fuller statement of the rights and obligations of the EDA respecting this Note, and said provisions are hereby incorporated by reference into this Note as though set out in full herein. This Note is not any obligation of any kind whatsoever of any public body, except that this Note is a special and limited revenue obligation but not a general obligation of the EDA and is payable by the EDA only from the sources and subject to the qualifications stated or referenced herein. Neither the full faith and credit nor the taxing powers of the EDA are pledged to the payment of the principal of or interest on this Note and no property or other asset of the EDA, save and except the above referenced Available Tax Increments, is or shall be a source of payment of the EDA's obligations hereunder. This Note is issued by the EDA in aid of financing a project pursuant to and in full conformity with the Constitution and laws of the State of Minnesota, including the Tax Increment Act, Minnesota Statutes, Sections 469.174 through 469.179. This Note may be assigned but upon such assignment the assignor shall promptly notify the EDA at the Prior Lake City offices by registered mail, and the assignee shall surrender the same to the EDA either in exchange for a new fully registered note or for transfer of this Note on the registration records for the Note maintained by the EDA. Each such assignee shall take this ¢-2 Note subject to the foregoinq condition and subject to all provisions stated or referenced herein. The ~DA has elected to issue this Note as a non-tax exempt obligation and accordinqly anticipates that the interest on this Note is not generally exempt from federal or state income taxes, and the EDA makes no representation or covenant with respect to any such exemption. an amendS: and re~tement~ in ..... MS:: ............. ra~ .......................... ra h. ~I' ':'::' ........ Note ........................... a~ends a~d eve~ Tax Increment Revenue ~ .......... .*~ ~:~ ~-'.'-~...~:::...:.>::`:.::~.:.~>:.:<...:;:~:*:>>::>:.>:~.:::.:.>~>:`~.`>:<....:..~:.:>:<:~ - ::<:::::~:::".:.~'<.:~:::.:.:*:<~:~-~~~ ~:.~:~[~:~[~~~~~ as of APril ~1~,:: IT IS HEREBY CERTIFIED AND RECITED that all acts, conditions, and things required by the Constitution and laws of the State of Minnesota to be done, to have happened, and to be performed precedent to and in the issuance of this Note have been done, have happened, and have been performed in regular and due form, time, and manner as required by law; and that this Note, together with all other indebtedness of the EDA outstanding on the date hereof and on the date of its actual issuance and delivery, does not cause the indebtedness of the EDA to exceed any constitutional or statutory limitation thereon. IN WITNESS WHEREOF, the Prior Lake Economic Development Authority, by its Board of Commissioners, has caused this Note to be executed by the manual signatures of its President and Vice-President; has caused the official seal of the EDA to be omitted from this Note; and has caused this Note to be issued on and dated , 1~90 ~:i:i!ii:. Vice-President President z~80~ C-3 CERTIFICATION QF RE6ISTRATION It is hereby certified that the foregoing Note, as originally issued on , ~9 ~, was on said date registered in the name of Enlvid Realty CorP~'~a%ion, a Minnesota corporation, d/b/a Enivid Corporation, and that, at the request of the Registered Owner of this Note, the undersigned has this day registered the Bond as to principal and interest on the Note in the name of such Registered Owner, as indicated in the registration blank below, on the books kept by the undersigned for such purposes. NAME OF REGISTERED OWNER DATE OF REGISTRATION SIGNATURE OF EDA OFFICIAL Enivid Realty Corporation C-4 PRINCIPAL LEDGER DATE OF ENTRY PRINCIPAL INSTALLMENT SIGNATURE OF EDA OFFICIAL PRINCIPAL LEDGER DATE OF ENTRY PRINCIPAL INSTALLMENT SIGNATURE OF EDA OFFICIAL [Additional pages to this Ledger may be added as needed.] THE DRIOR LA~KE ECONOMIC D~=~;ELOPM~."~ AL"rU~.~RITY D-1 D-2 De44 ) Des5 De66 De~7 Dee8 De99 De,lO :: .... :::::::::::::::::::::::::::::::::::::::: ~es~ateo and.:., a~en~s provides ~at ::~[. ~d::.:.:~II:" prior be-c:4 272o o~es rayne r~.w. Pr/or Lake, M~nesot~ 55372