HomeMy WebLinkAboutCity Council Packet 12-19-1995CITY OF PLYMOUTH
AGENDA
REGULAR COUNCIL MEETING
DECEMBER 19, 1995
1. CALL TO ORDER AND PLEDGE OF ALLEGIANCE 7:00 P.M.
2. ROLL CALL
3. PLYMOUTH FORUM - Individuals may address the Council
about any item not contained on the regular agenda. A maximum
of 15 minutes is allotted for the Forum. If the full 15 minutes are
not needed for the Forum, the City Council will continue with the
agenda. The City Council will take no official action on items
discussed at the Forum, with the exception of referral to staff or
Commission for future report.
4. PRESENTATIONS AND PUBLIC INFORMATION
ANNOUNCEMENTS
A. Recognition of Carole Helliwell, Councilmember At -Large,
and John FAson, Councilmember Ward 4
5. APPROVE AGENDA - Councilmembers may add items to the
agenda including items contained in the Council Information
Memorandum for discussion purposes or staff direction only. The
Council will not normally take official action on items added to the
agenda.
6. CONSENT AGENDA - These items are considered to be routine
and will be enacted by one motion. There will be no separate
discussion of these items unless a Councilmember or citizen so
request, in which event the item will be removed from the Consent
Agenda and placed elsewhere on the agenda.
A. Approve Disbursements
B. Approve Final Plat for French Ridge Park 2nd Addition
located west of Northwest Blvd. and south of County
Road 9. Janco, Inc. (95098)
Items require 5 affirmative votes of the City Council for approval.
REGULAR COUNCIL MEETING
December 19, 1995
Page 2
C. Designate the City Council as the Board of Zoning
Adjustments and Appeals
D. Approve Elm Creek Playfield Construction Budget
E. Renew 1996 Licenses for Kennel, Gasoline, Target and
Trap Shoot, and Amusement
F. Approve Site Improvement Performance Agreement
Reductions:
1. Tony Eiden Company/Courtyards of Plymouth
Oaks (94049)
2. Laukka Williams Parkers Lake/Parkers Lake North
10th (93067) and 11th Addition (94032)
3. Rottlund Homes/Pintail Villas (93055)
G. Establish 1996 Health, Dental Benefits for
Non -represented City Employees
H. Establish Annual Compensation Adjustment
I. Establish January 30 as Annual Legislative Dinner
J. Award Contract for City Center Council Chamber Media
Equipment and Installation
K. Approve Purchase of Capital Equipment for Traffic
Enforcement Unit
L. Approve Reductions in Required Financial Guarantees:
1. The Ponds at Bass Creek 2nd Addition (95082)
2. French Ridge Addition (94159)
3. Courtyards of French Creek Addition (93034)
4. Sugar Hills 3rd Addition (94044)
5. Savannah Addition (93112)
6. Eaglewood Addition (92110)
Items require 5 affirmative votes of the City Council for approval.
REGULAR COUNCIL MEETING
December 19, 1995
Page 3
M. Receive Petition, Order and Receive Engineering Report,
and Order Street Lighting Improvements:
1. Westbranch 3rd Addition
2. Nanterre Addition
7. PUBLIC HEARINGS
A. Resolution adopting a Housing Program and granting
Preliminary Approval for the Issuance of Multifamily Housing
Revenue Bonds for the Fox Forest Apartment Project
B. Vacation of Drainage and Utility Easements within Lots
4, 5, 6, 7, and 8, Block 4, Holly Creek 3rd Addition
8. GENERAL BUSINESS
A. Set Ballot Language and Election Date for
Recreational Facilities
B. Approve Letter of Intent with Life Time Fitness
9. REPORTS AND STAFF RECOMMENDATIONS
A. Establish Subcommittee to Conduct Interviews on
January 8 for Board and Commission Appointments
10. ADJOURNMENT
Items require 5 affirmative votes of the City Council for approval.
DATE: December 14, 1995
TO: Mayor and City Council
FROM: Dwight D. Johnson, City Manager
SUBJECT: Summary of Agenda Items for December 19, 1995
7 A. Housing Revenue Bonds for Fox Forest Apartments. This is a proposed
refunding of old bonds along with about $3 million in new taxable bonds for an
apartment complex located at 18th and Magnolia Lane. It has been our practice in the
last several years to negotiate affordable housing in conjunction with our issuance of
such bonds. In this case, the agreement calls for a payment of $30,000 per year to the
City's HRA during the life of the bonds (at least 10 years).
7 B. Vacation of easements. This should be routine and non -controversial.
8 A. Approve ballot language and date for special election on use of CIF funds.
The proposed ballot language would seek authorization from the voters to spend $5
million in Community Improvement Funds for indoor ice arena and swimming
facilities. The City Charter requires voter approval for spending more than $3 million
in CIF funds for any project. The recent Sports Facilities Task Force Report shows a
strong and immediate need for indoor ice arena and swimming facilities. Language has
been added to the proposed ballot question as requested by the Council to state that no
bonds are being issued and therefore no tax levy for bonded indebtedness will be
levied.
The election is proposed for Tuesday, February 6, 1995, the first available date
following the mandatory 45 day interval required by state law. We understand that
any future Robbinsdale School District election will be late in February.
8 B. Approve Letter of Intent from Life Time Fitness Clubs. The letter offers to
construct a Life Time Fitness Club at 36th Avenue and Plymouth Boulevard in
coordination with the possible development of City recreational facilities. The Club
would be built immediately adjacent to the proposed ice arena facilities and share a
common wall. Life Time has offered to construct both an indoor and an outdoor
leisure pool for the City at a total cost of $1,500,000 and certain specified site
improvements, principally the grading work, the NURP pond, and the landscaping.
Life Time would actually construct the entire parking lot, the lighting, and the signs.
The letter proposes that Plymouth residents would have access to the entire Club area
for a daily fee based upon the daily fees of comparable public community centers. Life
Time would own, operate and maintain the pools along with the rest of the Club, thus
assuring the City of no operating deficit on the pools. The letter also offers to
incorporate design services for the ice arena complex for a cost of six percent of the
construction cost.
Altogether, Plymouth residents would have daily fee access to a large, $8 million
recreational complex for an investment of about $2 million (separating out the ice arena
facilities which we would own and operate). Again, we would have no operating or
maintenance responsibilities. It is hard to imagine any other $2 million expenditure
that the City either has made or might make in the future that would directly benefit
more Plymouth residents on a year-round basis.
9 A. Procedure for filling vacancies on City Commissions and Committees. The
Council can either appoint a subcommittee as we did last year or call a special council
meeting where all members can interview the applicants. If a subcommittee is the
preferred method, we should determine who will be on it. The proposed date for the
interviews is January 8 at 6 p.m.
12-111 JP
December 18, 1995
Hon. Mayor Joy Tierney •.i `, ;
City of Plymouth
Plymouth, MN
RE: Our property on Zachary Lane in Plymouth ak.
QLD
Dear Mayor Tierney, X
It is my understanding that the acquisition of our property on Zachary Lane is scscheduled to be
discussed at the December 19 City Council meeting. I am herewith submitting some information
that I believe reflects on the background of this land acquisition.
I am enclosing copies of my previous correspondence to Mr. Gary Fuchs and Mr. Eric Blank. My
wife appeared at your November 14 City Council meeting to find out the status of your interest in
our property because we have never received a response to any correspondence or any offer we
have made to the City of Plymouth. Neither did we receive a response to our registered letters
directed to you and each council member which were sent in October of 1995.
I understand that a special meeting was held on November 27 to discuss the matter of our land,
other land and the bond referendum the voters passed in May to purchase same. Once again
someone who represents the City of Plymouth stated that the City of Plymouth had entered into
negotiations with us for the purchase of our land. Unfortunately, as my wife said on November
14, this is not true. As of that date, we had never received a telephone call, letter, memo or any
response to our offers from Mr. Blank, Mr. Fuchs, you or any members of the City Council.
14 months ago Mr. Fuchs did write us a letter enclosing the city appraised value of our property at
61,000 per acre. The letter however, specifically stated this was not to be construed as an offer.
Our disappointment in dealing with Mr. Fuchs and/or Mr. Blank is substantial. I would be being
kind if I said that they misled the Council in describing their total absence of contact with us as
being in negotiations" with the owners of the land.
It appears that the balance of funds in the bond issue has been largely depleted and, in fact, there is
virtually no money available to purchase our property, even though it was specifically described to
voters who voted to purchase the land.
It is my further understanding that
1) the city has designated only three of our 20 acres "usable;"
2) there is only $650,000 left in the bond fund;
3) there have been legitimate development offers of more than $1,000,000 for contiguous
property;
DO, A D 14 SrEWAXt
1440 SW 20 Street Boca Raton FL 33486 407/368-7188
Mayor Joy Tierney
Page Two
December 18, 1995
4) that by describing our land, yet spending the money elsewhere a fraud has
been perpetrated on the voters of Plymouth;
5) less desirable land which will require massive cleanup on either side of
our property has been purchased; and
6) it appears that because we do not reside in the area we are being unfairly
treated and an attempt is being made to squeeze us out of a fair and reasonable price
for our property.
As I have repeated in my letters, we would like to resolve the sale of this property in
a manner which is appealing both to us and to the City of Plymouth. Our March 27,
1995 Letter of Intent directed to Mr. Fuchs indicated our willingness to sell our
property for $65,000 per acre and outlined generous payment terms. This offer
expired on August 31, 1995 without a response from the City. Your own appraisal
states the land is worth $61,000 per acre which means the City of Plymouth values
our portion of the land described in your May 1995 bond issue referendum at
1,244,400.
However, "adjustments" for supposed "wetlands" bring the value down consider-
ably. Our soil testing proves this area is not and has never been wetland. Current
EPA standards support this conclusion. Our land and the contiguous 26 acres was
farmed in oats until 1947.
The City of Plymouth, in developing their Open Space Program, has apparently been
looking for properties like ours throughout the city because you want to preserve
open spaces not because you wish to build high rises. Consequently, for your pur-
poses, the configuration of the land is irrelevant since you don't plan to do anything
with it, and in fact, if it were wetland, it would be more valuable, not less valuable.
Recent Supreme Court decisions have ruled that no government restrictions can
affect a land price by more than 10%.
We have been informed that statements were made at the November 27 special
meeting that if the City does not get our land, when we ask for a permit for future
development, we will be forced to grant huge areas for park dedication, with the City
of Plymouth thus getting our land for free.
The City, by it's intentional foot -dragging and lack of any negotiating, apparently
feels it can keep us twisting in the wind by placing a cloud over the property by
withholding future development permits. This might appear to limit our course of
D INA D T, GrENNAItr
Mayor Joy Tierney
Page Three
December 18, 1995
action as the "hidden hand" of local government essentially would make our property
unsalable. This may have been common practice in the past but has been proven to be a
costly mistake. The City of Highland Beach, Florida attempted a similar game with a
property owner and was fined $8.9 million. The City of Boynton Beach, Florida also tried
a cute zoning scam to attempt to steal substantial acreage from a property owner. The
fine: almost $19 million. Naturally, the public thinks jail terms for all would be in order.
The lawyers for your City may advise you differently, but I assure you we are in for the
duration should the City decide to "acquire" our property through denial of permits,
condemnation, or prevent us from developing it with townhomes or doubling the number
of units per acre for affordable housing.
The Wall Street Journal has been running a series of articles about illegal takings by local,
county, state and federal government agencies. It is interesting to note that in the 15 cases
outlined so far, property owners have won every case, including the Supreme Court
decision setting the standard (California Coastal Commission vs. The Lutheran Church).
We do not wish to "make this a Federal case out of this" but neither are we interested in
selling our land for less than we paid for it. We are willing to seriously negotiate terms
and amounts if we can talk to someone in authority, someone who is trustworthy and able
to make an actual ironclad agreement. Unfortunately, this leaves out Mr. Fuchs and Mr.
Blank who have repeatedly lied to Council about entering into negotiations with us.
Mayor Tierney, I am sure we can come to an agreement that will be satisfactory to the
City and to us without a protracted legal battle which will result in tremendous expenses
and fines for the City of Plymouth. As we have repeatedly stated, we want to sell the land
to the City of Plymouth for its Open Space Program. We are from Minnesota, retain
strong ties to the area with family and friends, and have been attempting to be coopera-
tive and do the right thing from the time we received the first letter of inquiry from
Plymouth.
Please advise the rest of the Council members of this letter and our offer to reduce the
selling price of our property to $55,000 per acre to be accepted by or before the first
Council meeting of 1996. We continue to offer terms and financing at a reasonable
interest rate if necessary. We look forward to hearing of your acceptance or receiving a
release of interest from the City of Plymouth by that date.
Sincerely,
D INAL D 14 G ENA/Alp f
March 27,1995
Mr. Gary G. Fuchs
Suite 317 Eagandale Office Center
1380 Corporate Center Curve
Eagan, MN 55121
Dear Mr. Fuchs,
I am enclosing a Letter of Intent to Sell and a brief description and history of our land
located on Zachary Lane that is the subject of interest by the City of Plymouth. This
cover letter is simply to repeat some of the personal observations that I have made to
you and Mr. Blank in our brief phone calls but have a definite bearing on price and
terms, but more importantly, the timing of a potential sale.
My wife and I would love to see this site acquired by the City of Plymouth for a park or
greenway. It is a fantastic scenic area and certainly has a wonderful location. Also, as I
have indicated, my health is such that personally developing the land as we originally
intended to is out of the question. Because of these health problems, "time is of the
essence" to make a smooth transition without estate problems, etc. that could tie this
piece up for a long period of time.
Due to these considerations I have made a proposal that includes terms that we would
only offer to the City of Plymouth because of an apparent ease of sale — without
zoning and permit requirements that most private development plans would require.
Our offer also includes an assumption of timeliness. I cannot sufficiently stress the
importance of a timely decision by the City to purchase our property.
I must mention that in using the comparables assembled by Mr. Cushman, I have left
out his sizeable "adjustment factor" on our land for several reasons:
1) There are no known wetlands on this property. It was farmed by the Eberle family
until the 1950s; 40 acres of oats were grown in the section we own. No wetland grasses
or EPA -designated signs of wetlands (cattails, specific marsh grasses, etc.) are present
even in the lower areas.
1440 SW 20 Street D ANAL, T. J ENA/Adl f Boca Raton FL 33486
Mr. Fuchs
March 27, 1995
Page Two
2) The most recent Federal law on takings specifies that even the presence of those
conditions will not reduce the property value by more than 10%.
3) Our conversation indicates that our property will be used for a park or greenway
purposes which eliminates consideration of builders conditions. Further, it is our
understanding that the nature of the land is the big reason Plymouth desires the land.
Finally, you may have questions about remuneration for the option to purchase this
property. My family has lived in the Minneapolis area for over 90 years. I went to grade
school, high school and college in the area. My wife's family is also from Minnesota
and, like me, she grew up and attended schools in Minneapolis. I owned and operated
the first manufacturing business in the vicinity (Mintex Corporation at County Rd. 73
and Highway 12). I still own manufacturing property at 15600 28th Avenue North in
Plymouth. Although we have lived in Florida for many years, we visit often and retain
a great affection for our home state.
Whatever happens to the property, whether it is purchased for a park by Plymouth, or
whether we accept one of the development offers tendered us, we will attempt to
preserve the beauty of the land.
Sincerely,
Donald T. Stewart
1440 SW 20 Street D I IA , T4 J TEN elft Boca Raton FL 33486
Letter of Intent
March 27,1995
Mr. Gary G. Fuchs
Suite 317 Eagandale Office Center
1380 Corporate Center Curve
Eagan, MN 55121
Dear Mr. Fuchs,
Please consider this Letter of Intent as our intention to sell the property located on
Zachary Lane to the City of Plymouth.
This land is difficult to appraise as there is almost no close duplication of its size and
location in a sale in the immediate area. However, using Mr. Cushman's appraisal as a
guide and the outline of contracts on adjacent but less desireable land owned by
Johnson Brothers I have defined an asking price that I would hope will facilitate a quick
sale.
Comparable "A" 53,445/acre (Cushman)
Comparable "B" 61,8995/acre (Cushman)
Johnson Bros. 81,000/acre (8acres/$650,000)
Our property consists of 20.4 acres and a brick/stucco house. The
property, entrance and exit areas plus the frontage on County Rd.
73 could be appraised at different figures but I chose to combine all
for ease of sale. Our asking price for the entire parcel is
20.4 acres @ $65,000 $1,326,000.
Brick/stucco home 125,000.
Total 1,451,000.
A. We will grant an Option for four (4) months until July 31, 1995 for the City of Ply-
mouth to purchase this piece at the above-mentioned price. The remuneration for the
Option is that the Stewart name be included in the Park's name. A commitment of good
faith must be made by July 31, 1995 in the form of cash or a binding contract.
1440 SW 20 Street , A ADT, J rEVIAXt Boca Raton FL 33486
Letter of Intent
March 27,1995
Mr. Gary G. Fuchs
Suite 317 Eagandale Office Center
1380 Corporate Center Curve
Eagan, MN 55121
Dear Mr. Fuchs,
Please consider this Letter of Intent as our intention to sell the property located on
Zachary Lane to the City of Plymouth.
This land is difficult to appraise as there is almost no close duplication of its size and
location in a sale in the immediate area. However, using Mr. Cushman's appraisal as a
guide and the outline of contracts on adjacent but less desireable land owned by
Johnson Brothers I have defined an asking price that I would hope will facilitate a quick
sale.
Comparable "A" 53,445/acre (Cushman)
Comparable "B" 61,8995/acre (Cushman)
Johnson Bros. 81,000/acre (8acres/$650,000)
Our property consists of 20.4 acres and a brick/stucco house. The
property, entrance and exit areas plus the frontage on County Rd.
73 could be appraised at different figures but I chose to combine all
for ease of sale. Our asking price for the entire parcel is
20.4 acres Q $65,000 $1,326,000.
Brick/stucco home 125,000.
Total 1,451,000.
A. We will grant an Option for four (4) months until July 31, 1995 for the City of Ply-
mouth to purchase this piece at the above-mentioned price. The remuneration for the
Option is that the Stewart name be included in the Park's name. A commitment of good
faith must be made by July 31, 1995 in the form of cash or a binding contract.
1440 SW 20 Street DONALD T, J rEWAXIt Boca Raton FL 33486
Letter of Intent • Mr. Fuchs
March 27, 1995
Page Two
B. The sale must be completed by October 1, 1995 by total cash payment or a contract
for 29% down at ten years at 91 /4%.
C. No resale of our property will be made to commercial enterprise.
D. It is my understanding that the State of Minnesota just passed some type of new tax
on property. We are Florida residents and have been for many years. Any state taxes,
stamps, sales, or income taxes generated as a result of this sale must be added to the
purchase price. This condition is not negotiable, as we will not consider a sale to anyone
without it.
We feel the outline for a proposed sale to the City of Plymouth to be the simplest, most
direct way for us to dispose of this land in a timely manner. We expect the City of
Plymouth to pay for all related sales and closing costs.
As you will note, we do not have a real estate agent or attorney representing us at this
time as we recognize this will mean additional savings to the city. However, if we do
not come to some agreement by the end of the Option period, we will list the land with
a real estate agent on August 1, 1995.
Please call me if you have any questions or need additional information. We look for-
ward to hearing from you shortly and making Stewart Park a reality.
Sincerely,
cc: Eric Blank
1440 SW 20 Street D A IA , T j r5NNA11(t Boca Raton FL 33486
Letter of Intent • Mr. Fuchs
March 27, 1995
Page Two
B. The sale must be completed by October 1, 1995 by total cash payment or a contract
for 29% down at ten years at 91 /4%.
C. No resale of our property will be made to commercial enterprise.
D. It is my understanding that the State of Minnesota just passed some type of new tax
on property. We are Florida residents and have been for many years. Any state taxes,
stamps, sales, or income taxes generated as a result of this sale must be added to the
purchase price. This condition is not negotiable, as we will not consider a sale to anyone
without it.
We feel the outline for a proposed sale to the City of Plymouth to be the simplest, most
direct way for us to dispose of this land in a timely manner. We expect the City of
Plymouth to pay for all related sales and closing costs.
As you will note, we do not have a real estate agent or attorney representing us at this
time as we recognize this will mean additional savings to the city. However, if we do
not come to some agreement by the end of the Option period, we will list the land with
a real estate agent on August 1, 1995.
Please call me if you have any questions or need additional information. We look for-
ward to hearing from you shortly and making Stewart Park a reality.
Sincerely,
cc: Eric Blank
1440 SW 20 Street D ANSA , T, j rEI/ At"i r Boca Raton FL 33486
August 25,1994
Eric Blank
Park and Recreation Director
The City of Plymouth
3400 Plymouth Boulevard
Plymouth, MN 55447
RE: Land located along Zachary Lane (County Rd. 73)
Dear Mr. Blank,
I enjoyed our visit last week and appreciate the time you spent with me describing
Plymouth's commitment to acquiring open spaces. We are extremely pleased to
have been notified that our property described above is going to be acquired by The
City of Plymouth for its Open Space Program.
My wife and I began purchasing the land in 1986 with an eye to future development.
In 1987 we acquired the contiguous acres and last year the final piece which put us
over the 20 acre PUD designation and gives ingress and egress to our project.
Although we live in Florida, Sally and I were both raised in the Minneapolis area and
it retains a place in our hearts as "home"; our families and many friends still reside
there. It is very important to both of us that the neighbors be comfortable with
whatever project we develop and that the land retain as much natural form and beauty
as possible. In other words, we don't plan on leveling the trees or flattening the land.
Over the years we have discussed several different options for our property. Among
them, single family housing and town homes. Last month we had soil testing done
and discovered that the land had red grass growing throughout, as is common when
an area has been farmed. Mr. Eberle, from whom we bought the largest acreage told
us his family grew oats there in the thirties and forties. There were no cat tails or other
evidence of wet lands. The soil samples showed peat to a maximum depth of 5 ft to
6 ft in most areas. We found out we could have a company remove the peat and sell
it for us.
D O, A D 1. TENNAlIff
1440 SW 20 Street Boca Raton FL 33486 407/368-7188
Eric Blank
Page Two
August 25, 1994
In March of this year we were contacted by a developer who thought our site
would be perfect for 70 townhomes and is anxious to proceed with plans.
Mixed use development has gained popularity as a method to concentrate
residents, professional services and small commercial establishments in one
area to help reduce traffic and pollution. The addition of the last piece of
contiguous land has given us 150 feet of frontage on the north side of our
property on Zachary Lane, and approximately 88 feet on the south side
fronting on Zachary Lane, as well as ingress and egress and a perfect location
for this type of development. There is also a brick home located on the north
side of the property. We want to have an architect design buildings that will
complement the site, save as many trees as possible, especially along the back
of the property, and create a project that neighbors will appreciate and
patronize.
However, now that we know the City of Plymouth interested in the property,
we are putting our plans on hold. It is our understanding that Plymouth intends
to make a cash offer within four months.
Enclosed is a drawing which encompasses the two contiguous parcels we
own. If there is any information you need, please do not hesitate to call. Thank
you again for taking the time to describe Plymouth's Open Space Program.
We look forward to hearing from you.
Sincerely,
1440 SW 20 Street DONALD T. J EM/Adr t Boca Raton FL 33486
March 27,1995
Mr. Gary G. Fuchs
Suite 317 Eagandale Office Center
1380 Corporate Center Curve
Eagan, MN 55121
Dear Mr. Fuchs,
I am enclosing a Letter of Intent to Sell and a brief description and history of our land
located on Zachary Lane that is the subject of interest by the City of Plymouth. This
cover letter is simply to repeat some of the personal observations that I have made to
you and Mr. Blank in our brief phone calls but have a definite bearing on price and
terms, but more importantly, the timing of a potential sale.
My wife and I would love to see this site acquired by the City of Plymouth for a park or
greenway. It is a fantastic scenic area and certainly has a wonderful location. Also, as I
have indicated, my health is such that personally developing the land as we originally
intended to is out of the question. Because of these health problems, "time is of the
essence" to make a smooth transition without estate problems, etc. that could tie this
piece up for a long period of time.
Due to these considerations I have made a proposal that includes terms that we would
only offer to the City of Plymouth because of an apparent ease of sale — without
zoning and permit requirements that most private development plans would require.
Our offer also includes an assumption of timeliness. I cannot sufficiently stress the
importance of a timely decision by the City to purchase our property.
I must mention that in using the comparables assembled by Mr. Cushman, I have left
out his sizeable "adjustment factor" on our land for several reasons:
1) There are no known wetlands on this property. It was farmed by the Eberle family
until the 1950s; 40 acres of oats were grown in the section we own. No wetland grasses
or EPA -designated signs of wetlands (cattails, specific marsh grasses, etc.) are present
even in the lower areas.
1440 SW 20 Street E) JN IAL , 'L J rENNAU Boca Raton FL 33486
Mr. Fuchs
March 27, 1995
Page Two
2) The most recent Federal law on takings specifies that even the presence of those
conditions will not reduce the property value by more than 10%.
3) Our conversation indicates that our property will be used for a park or greenway
purposes which eliminates consideration of builders conditions. Further, it is our
understanding that the nature of the land is the big reason Plymouth desires the land.
Finally, you may have questions about remuneration for the option to purchase this
property. My family has lived in the Minneapolis area for over 90 years. I went to grade
school, high school and college in the area. My wife's family is also from Minnesota
and, like me, she grew up and attended schools in Minneapolis. I owned and operated
the first manufacturing business in the vicinity (Mintex Corporation at County Rd. 73
and Highway 12). I still own manufacturing property at 15600 28th Avenue North in
Plymouth. Although we have lived in Florida for many years, we visit often and retain
a great affection for our home state.
Whatever happens to the property, whether it is purchased for a park by Plymouth, or
whether we accept one of the development offers tendered us, we will attempt to
preserve the beauty of the land.
Sincerely,
Donald T. Stewart
1440 SW 20 Street , JNA D T, J rENVAd" t Boca Raton FL 33486
Agenda Number:
TO: Mayor and City Council
FROM: Dwight D. Johnson, City Manager
SUBJECT: Public Information Meeting on proposed referendum
DATE: December 18, 1995
1. ACTION REQUESTED: Approve holding a public hearing/information meeting on the
use of Community Improvement Funds for ice arena and swimming facilities at 7:00 p.m.
on Monday, January 22, 1996 at the Plymouth City Center building.
2. BACKGROUND: The Plymouth City Code requires a public hearing on the use of
Community Improvement Funds. It does not distinguish between situations requiring an
election and those that do not. The City has been contemplating some type of information
meeting on the proposed issue in any case. Establishing the date now would allow for
maximum publicity of the hearing through the City's Plymouth News and other media.
3. ALTERNATIVES: The City could hold the public information meeting after the
election, but the public would lose an additional opportunity to ask questions about the
ballot issue and receive up-to-date information on it.
4. DISCUSSION: The League of Women Voters has also expressed interest in holding a
forum on the ballot issue in late January. However, since the City ordinances require a
hearing by the City, it is doubtful that a League sponsored event would satisfy that
requirement. The League has indicated that if the City holds its own hearing, they would
not attempt to duplicate it.
5. BUDGET IMPACT: There is no significant budget impact for this proposal.
6. RECOMMENDATION: I recommend that the City Council hold a public hearing and
information meeting on the proposed referendum on January 22, 1996 at 7:00 p.m. in the
Plymouth City Center.
Plymouth City Code 321.01
Section 321 - Community Improvement Fund
321.01. Establishment of Fund. Pursuant to City Charter Chapter 7, Section 7.14, there is
established a fund to be known as "Community Improvement Fund."
321.03 Allocation of Monies to Fund. There shall be accumulated in such Community
Improvement Fund (1) surplus money from the various special assessment funs that remain after
the costs of each improvement project have been fully funded and bonds issued for the project paid
of defeased, and which money has not been transferred to another separate improvement fund, (2)
collections of special assessments received after an improvement project has been fully funded andbondsissuedfortheprojectpaidordefeased, (3) investment earnings generated by the money inthefund, (4) any other money appropriated by the Council or donated to the City for the purposes
of the fund.
321.05 Use of Fund. Subdivision 1. Generally. The Community Improvement Fund shall be
used only when all of the following are met:
a) The project has sufficient community wide benefit as determined by its intended
uses, addresses a community need or problem, and is consistent with other City
goals, programs and policies.
b) The expenditure for the project is for an item of a capital nature.
c) The Council has conducted a public hearing on the project.
d) There has been an estimate prepared outlining the operating expenses and proposed
funding sources for the project for a five year period.
e) Expenditures for a project in excess of three million dollars have been approved by
a majority of the votes cast in a regular or special election.
Subd. 2. Expenditures requiring 5/7ths Council Approval. Upon meeting the
requirements of Subdivision 1, expenditures from the Community Improvement Fund shall require
at least five affirmative votes of the Council, but shall not require voter approval, if the
expenditure is for a project that has been included in the Capital Improvement Program for at least
the current year or is declared to be an emergency, e.g., an "Act of God" as that term is defined
by generally accepted business general liability insurance policies, and does not exceed three
million dollars for any site or project location.
Subd. 3. Expenditures requiring Majority Council Approval. Upon meeting the
requirements of Subdivision 1, expenditures from the Community Improvement Fund shall require
a simple majority votes of the Council, but shall not require voter approval, if the expenditure:
a) is for a project that has been included in the Capital Improvement Program for at
least two years;
b) is a loan from the Community Improvement Fund and must be repaid or is made
with the condition that no further expenditures from the Community Improvement
Fund shall be made until the principal is repaid plus ten percent of the investment
earnings that would have been generated on the principal at the previous amount;
and
Plymouth City Code 321.05, Subd. 3
c) expends a total amount of principal not to exceed an amount equal to the
Community Improvement Fund's investment earnings from the previous two
calendar years prior to the expenditure, not to exceed three million dollars for any . site or project location.
Ord. 94-9, 5116/94)
1
Agenda Number:
TO: Dwight D. Johnson, City Manager
FROM: Dale E. Hahn, Finance Director
SUBJECT: Disbursements
DATE: Monday, December 11, 1995 for the City Council Meeting
December 19, 1995
1. PROPOSED MOTION: To adopt the attached resolution approving the disbursements
for the period ending December 8, 1995.
2. DISCUSSION: Shown below is a listing of disbursements for the various funds for the
period ending December 8, 1995:
First National Bank of Wayzata
General $ 890,389.24
Construction & Debt Service $ 712,474.39
Enterprise $ 67,018.58
Housing & Redevelopment Authority $ 11,770.22
Firstar Bank of MN.
Housing & Redevelopment Authority
GRAND TOTAL FOR ALL FUNDS
114,938.30
19796,590.73
3. RECOMMENDATION: I hereby approve the attached listing of disbursements and
recommend same for payment.
i //
Wight'//D. hnson
CITY OF PLYMOUTH
RESOLUTION NO: 95 -
APPROVING DISBURSEMENTS FOR THE PERIOD
ENDING DECEMBER 8, 1995
WHEREAS, a list of disbursements for the period ending as presented to the City Council for
approval;
NOW, THEREFORE, BE IT HEREBY RESOLVED BY THE CITY COUNCIL OF THE
CITY OF PLYMOUTH, MINNESOTA, that the payment of the list of disbursements of the
following funds is approved:
First National Bank of Wayzata
General $ 890,389.24
Construction & Debt Service $ 712,474.39
Enterprise $ 67,018.58
Housing & Redevelopment Authority $ 11,770.22
Firstar Bank of MN.
Housing & Redevelopment Authority $ 114,938.30
GRAND TOTAL FOR ALL FUNDS $ 1,796,590.73
Adopted by the City Council on December 19, 1995.
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Agenda Number: - 6
TO: Dwight Johnson, City Manager
FROM: John Keho, Senior Planner through Anne Purlburt, Community
Development Director
SUBJECT: Janco Inc. RPUD Final Plan/Plat for French Ridge Park Second
Addition located west of Northwest Blvd. and south of County Road
9.(95098)
DATE: December 11, 1995 for the City Council Meeting of December 19, 1995
1. PROPOSED MOTION:
Move the resolution providing for the approval of a MPUD Final Plan/Plat for French Ridge
Park Second Addition.
2. BACKGROUND:
The City Council, by Resolution 95-246, approved a MPUD Preliminary Plan/Plat and
Conditional Use Permit for the development of this 28.7 -acre site into a 70 -unit townhome
project. On August 1, 1995, the City Council approved a MPUD Final Plan/Plat for the first
addition of French Ridge Park. The first addition covered the 34 of the 70 lots. The
remaining lots were platted as outlots.
The French Ridge Park Second Addition covers 32 lots west of Xenium/Vinewood Lane. This
plat would complete the platting process for French Ridge. The total number of lots platted in
the French Ridge PUD would be 66. During the preparation of final plats, it is common for
developers to fine tune the building style and exact placement of the buildings within their
development. In this particular instance, several constraints affected the placement of the
units. The constraints include the auto dealership to the north, setbacks between buildings, the
shape of the property, topography and Xenium/Vinewood Lane. The builder in this phase has
sited the homes in the most optimum locations that can provide privacy for each unit and the
density needed for the builder to make a profit. To minimize the number of units lost in the
final platting stage, as noted below, the applicant has asked for a slightly reduced setback from
the adjacent auto dealership. Without this change, the loss of units would be greater. Based
95098, Page 2
I
upon past experience and the constraints presented, staff views the loss of four lots as a minor
change.
One of the conditions in the resolution approving the PUD Preliminary Plan/Plat stated that
the lots adjacent to the existing Xenium Lane right-of-way could not be platted until the new
Xenium/Vinewood Lane is open. The applicant has proposed an alternative. The applicant
has prepared a street easement that covers the existing Xenium Lane right-of-way. The
easement has been signed by all the appropriate property owners. This easement will permit
the City to vacate Xenium Lane while retaining the ability to use Xenium Lane for street
purposes until the new road is open for traffic. Staff finds that this request meets the intent of
the PUD Preliminary Plan/Plat.
The applicant is also proposing a minor modification to condition number 12 of the PUD
Preliminary Plan/Plat resolution. That condition required that the building proposed for lots
13 and 14 be set back a minimum of 95 feet from the property line and 122 feet from the edge
of the parking lot of the abutting auto dealership. The City required this condition to provide
spatial separation between the residential units and the auto dealership. The applicant's
proposal is to locate the building 60 feet from the property line and 85 feet from the parking
lot. The Final Plan includes placing a seven -foot berm in the rear yard. In addition, the
applicant would plant 12 to 15 -foot Spruce trees on top of the berm to mitigate the loss in
spatial separation. Staff finds that this request meets the intent of the PUD Preliminary
Plan/Plat.
The Development Review Committee has found this Final Plat to be in substantial
conformance with the approved Preliminary Plat and Conditional Use Permit and provisions of
City Council Resolution 83-125 regarding review of PUD Final Plans/Plats.
3. RECOMMENDATION:
Community Development Department staff recommends adoption of the attached resolution
providing for the approval of the PUD Final Plan/Plat for French Ridge Park Second
Addition, consistent with the recommendations of the Development Review Committee.
ATTACHMENTS:
1. Resolution Approving Final Plat
2. Engineer's Memo
3. Location Map
4. Final Plan/Plat
5. Preliminary Plan/Plat
CITY OF PLYMOUTH
RESOLUTION 95 -
APPROVING RPUD FINAL PLAN/PLAT FOR JANCO INC. FOR FRENCH
RIDGE PARK SECOND ADDITION LOCATED WEST OF NORTHWEST BLVD.
AND SOUTH OF COUNTY ROAD 9 (RPUD 95-2) (95098)
WHEREAS, Janco Inc. has requested approval for a RPUD Final Plan/Plat for French
Ridge Park Second Addition for property located west of Northwest Blvd. and south of
County Road 9;
NOW, THEREFORE, BE IT HEREBY RESOLVED BY THE CITY COUNCIL OF
THE CITY OF PLYMOUTH, MINNESOTA, that it should and hereby does approve
the Final Plan/Plat for French Ridge Park Second Addition located west of Northwest
Blvd. and south of County Road 9; and,
FURTHER, that the following conditions be met prior to recording of, and related to
said plat:
1. Maximum lot coverage shall be 80 percent.
2. Approval of a Wetland Mitigation Plan prior to the issuance of grading permits and
filing of the Final Plat.
3. The developer shall install wetland monumentation delineating the wetland within
each lot. The monument design shall be approved by the Community Development
Department.
4. The contract for Xenium/Vinewood Lane shall be awarded prior to issuance of
building permits.
5. Payment of park dedication fees -in -lieu of dedication in accordance with the
Dedication Policy in effect at the time of recording the Final Plat. In addition, the
developer shall construct the trail on the west side of Xenium/Vinewood Lane. The
City shall reimburse the developer for the cost of paving the trail.
6. Signage shall be in compliance with the Zoning Ordinance except a total of three
area identification signs are permitted for the entire French Ridge PUD.
7. The street easement. for Xenium Lane shall be recorded prior to the release of the
mylars for French Ridge Park Second Addition.
8. Development Standards:
A. 25 -foot front yard setback to street right-of-way
Resolution 95- , Page 2
B 20 -foot setback between buildings
C. 25 -foot setback to the subdivision property line
D. 25 -foot wetland setback
9. Standard Conditions:
A. Compliance with the City Engineer's Memorandum.
B. Removal of all hazardous trees from the property at the owner's
expense.
C. No building permit shall be issued until a contract has been awarded for
municipal sewer and water.
D. Street names shall comply with the City Street Naming System.
E. Compliance with Policy Resolution 79-80 regarding minimum floor
elevations for new structures on sites adjacent to, or containing any open
storm water drainage facility.
F. No building permits shall be issued until the Final Plat is filed and
recorded with Hennepin County.
G. Private driveway access shall be limited to internal public roads and
restricted from Vinewood Lane and Xenium Lane.
H. Final Plat mylars shall refer to RPUD 95-2.
I. Appropriate legal documents regarding Homeowners Association
documents, covenants and restriction as approved by the City Attorney
shall be filed with the Final Plat.
J. Location and number of fire hydrants shall be approved by the Fire
Division.
K. Compliance with Fire Division regulations regarding fire lane
requirements and fire suppression systems.
L. Submission of a Site Improvement Performance Agreement prior to
issuance of building permits.
M. Any subsequent phases or expansions are subject to required reviews and
approvals per Ordinance provisions.
N. An 8 1/2 x 11 inch "As Built" Fire Protection Plan shall be submitted
prior to the release or reduction of any site improvement bonds per City
Policy.
O. Submission and approval of fire flow calculations prior to the issuance of
building permits.
P. Submittal of required utility and drainage easements as approved by the
City Engineer prior to filing the Final Plat.
Q. Compliance with the terms of City Council Resolution 89-439 regarding
tree preservation.
R. The Development Contract, as approved by the City Council, shall be
fully executed prior to release of the Final Plat.
Adopted by the City Council on **, 1995.
Resolution 95- , Page 3
STATE OF MINNESOTA)
COUNTY OF HENNEPIN) SS.
The undersigned, bring the duly qualified and appointed City Clerk of the City of
Plymouth, Minnesota, certifies that I compared the foregoing resolution adopted at a
meeting of the Plymouth City Council on **, 1995, with the original thereof on file in
my office, and the same is a correct transcription thereof.
WITNESS my hand officially as such City Clerk and the Corporate seal of the City this
day of
City Clerk
City of Plymouth
ENGINEER'S MEMO
to
Planning Commission & City Council
DATE: December 12, 1995
FILE NO.: 95098
PETITIONER: Thomas Graham
Janco Inc.
10201 Wayzata Boulevard, Suite 220
Minnetonka, MN 55305
FINAL PLAT: FRENCH RIDGE PARK SECOND ADDITION
LOCATION: South of Cottonwood Plaza west of Xenium/Vinewood Lane in the southwestern
quarter of Section 5.
ASSESSMENT RECORDS:
N/A YES NO
1. a F--] Have watermain area assessments been levied based on proposed use?
2. F-1 F—x1 F] Have sanitary sewer area assessments been levied based on proposed use?
3. 0 FRI F-1 Will SAC and REC charges be payable at the time building permits are
issued?. These are in addition to the assessments shown in No. 1 and No. 2
Area charges are subject to change periodically as they are reviewed
annually on January 1. The rate assessed would be that in effect at the time
of final plat approval.
4. Area assessments: See Development Contract 94159.
5. Other additional assessments estimated: See Development Contract 94159.
FP-95098.DOC
FRENCH RIDGE PARK SECOND ADDITION (95098)
FINAL PLAT
Page 2
LEGAL/EASEMENTS/PERMITS:
N/A YES NO
6. F X Complies with standard utility/drainage easements?
If "No" is marked, the current City ordinance requires utility and drainage
easements ten feet (10') in width adjoining all streets and six feet (6') in
width adjoining side and rear lot lines.
7. X Are all standard utility easements required for construction provided?
The City required twenty (20') utility and drainage easements where these
utilities are proposed to be installed. This item has been reviewed with the
final construction plans and if "No" is marked, the following changes are
necessary: The drainage and utility easement along the west plat line
shall be twenty feet wide to cover the existing watermain and ten feet
north of the watemain from the south plat line.
8. 0 Complies with ponding easement requirements?
The City requires the dedication of drainage easements for ponding
purposes on all property lying below the established 100 year high water
elevation in conformance with the City's Comprehensive Storm Water
Drainage Plan. If "No" is marked, the following changes are necessary:
9. F X Have all existing unnecessary easements and rights-of-way been vacated?
If "No" is marked it will be necessary to vacate the obsolete easements/right
of way to facilitate the development. This is not an automatic process in
conjunction with the platting process. It is the owner's responsibility to
submit a petition as well as legal descriptions of easements proposed to be
vacated.
10. X Has the Owner's Duplicate Certificate of Title been submitted to the City
with this application?
It will be necessary for the property owner to provide the City Attorney
with the Owner's Duplicate Certificate of Title in order that he may file
the required easements referred to above
If it is subsequently determined that the subject property is abstract
property, then this requirement does not appy
FP-95098.DOC
FRENCH RIDGE PARK SECOND ADDITION (95098)
FINAL PLAT
Page 3
N/A YES NO
11. 0 F—] F--] Have all necessary permits for this project been obtained? _
If "No" the following permits must be obtained by the developer:
DNR Bassett Creek
MnDOT Minnehaha Creek
Hennepin County Elm Creek
MPCA Sewer Shingle Creek
State Health Department Army Corps of Engineers
Wetland Conservation Act of MPCA 401
1991 from City
The developer must comply with the conditions within any permit.
12. F--] 0 a Conforms with the City's grid system for street names?
If "No" is marked, the following changes will be necessary:
13. F -x-] F—] a Acceleration/deceleration lanes provided?
If "No" is marked, acceleration/deceleration lanes are required at the
intersection of and
14. F--] FX] F—] Are all existing street rights-of-way the required width?
If "No" is marked, an additional _ feet of right-of-way will be required on
FP-95098.DOC
FRENCH RIDGE PARK SECOND ADDITION (95098)
FINAL PLAT
Page 4
N/A YES NO
15. X F--] Will final plans be prepared by the Developer?
If it is their desire to have the City construct these facilities as part of its
Capital Improvements Program, a petition must be submitted to the City.
The cutoff date for petitions is January 1 of the year in which the project is
requested for construction, if the developer is paying 100 % of the cost.
16. X Do final utility and street plans submitted comply with all city
requirements? If "No" is marked, the following changes are required for:
Sanitary Sewer
Watermain
Storm Sewer
Street/Concrete Curb & Gutter
17. Fx— ] Do the construction plans conform to the City's adopted Thoroughfare
Guide Plan?
If "No" is marked, the following revisions must be made to conform
with the City's adopted Thoroughfare Guide Plan:
18. 0 F—] Do the construction plans conform to the City's adopted Comprehensive
Water Distribution Plan?
If "No" is marked, the following revisions will be required:
FP-95098.DOC
FRENCH RIDGE PARK SECOND ADDITION (95098)
FINAL PLAT
Page 5
N/A YES NO
19. FX ] F--] F--] Do the construction plans conform to the City's adopted Comprehensive
Sanitary Sewer Distribution Plan?
If "No" is marked, the following revisions will be required:
20. F—x a F--] Is it necessary to contact Bob Fasching, the City's Public Utility
Foreman, at 550-7492?
If "Yes" is marked, 24 hour's notice is required in advance of making
any proposed utility connections to the City's sanitary sewer and water
systems. All water connections shall be via wet tan.
21. 0 F-1 F-1 Is it necessary to contact Roger Wenner, the City's Street Foreman, at
550-7493 for an excavating permit?
If "Yes" is marked, 24 hour's notice is required before digging within
the City right-of-way.
GRADING, DRAINAGE, AND EROSION CONTROL:
N/A YES NO
22. FX—]F—] F—] Do the construction plans conform to the City's adopted Comprehensive
Storm Drainage Plan?
If "No" is marked, the following revisions are required:
23. 0 F—] F- Does the Grading, Drainage, and Erosion Control Plan comply with the
City's Erosion Control Policy?
If "No" is marked, the following revisions will be required:
24. a F—] F—] Have minimum basement elevations been established?
If "No" is marked, they must be established for the following lots:
FP-95098.DOC
FRENCH RIDGE PARK SECOND ADDITION (95098)
FINAL PLAT
Page 6
SPECIAL CONDITIONS REQUIRED:
25.
A. Shall comply with all requirements in Development Contract 94159.
B. Temporary street easements have been granted to the City from Oran Powell and Elizabeth
Powell, Goff Homes and Janco Inc. Therefore, the vacation of Xenium Lane will be
submitted to Hennepin County for recording. No work can be done in the vacated right of
way until the new Xenium/Vinewood Lane is opened to traffic.
C. This plat shall not be released for recording until the pond maintenance agreement for French
Ridge Park is recorded at Hennepin County.
Submitted by:
Daniel L. Faulkner, P.E.
City Engineer
FP-95D98.DOC
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Agenda Number: _ C
TO: Dwight Johnson, City Manager
FROM: Anne Hurlburf. Community Development Director
SUBJECT: Recommendation to Designate the City Council as the Board of Zoning
Adjustments and Appeals (95132)
DATE: December 11, 1995 for the City Council Meeting of December 19, 1995
1. PROPOSED MOTION:
Adopt ordinance amending Chapter III of the Plymouth City Code designating the City Council as
the Board of Zoning Adjustments and Appeals ("BOZA") The Planning Commission will be
delegated the authority to hold hearings and make recommendations to the City Council on all
applications that require BOZA action.
2. STATEMENT OF ISSUE:
Minnesota Law requires that a city that exercises zoning authority must designate a board of
adjustments and appeals (BOZA) to review requests for variances and appeals of interpretations
of zoning regulations. The BOZA has authority to make final decisions on variances and
appeals—its decisions may be appealed to district court.
Plymouth's City Code creates a separate BOZA, with powers and responsibilities listed in Section
11, Subdivision C of the Zoning Ordinance. A copy of this section is attached. The decisions of
BOZA are considered final unless an applicant appeals to the City Council within 20 days of the
Board's decision.
The BOZA hears appeals and grants adjustments (variances) from certain provisions of the zoning
ordinance; others are reserved for City Council determination. The BOZA is = involved when
either:
the property is within a Planned Unit Development (PUD); and/or
the project requires any other application that is reviewed by the Planning Commission
such as a conditional use permit or site plan approval.)
In these cases, the Planning Commission reviews the request for the variance along with the other
applications, and makes its recommendation to the City Council for the final decision.
File 951xx, Page 2
There are a number of factors that lead to the staff recommendation that the separate BOZA be
eliminated at this time:
a) As a matter of policy the City Attorney, and the city's consultant who is preparing the new
Zoning Ordinance, recommend that the City Council retain the ultimate authority to interpret
and grant variances from the ordinance. The current ordinance does not allow the Council to
overturn a BOZA decision unless the applicant or another affected person appeals the decision
to the Council.
b) Relatively few variance applications are heard by BOZA. More and more of Plymouth's
homes are in PUD's. Any variances in these areas are considered amendments to the PUD
and must be reviewed by the Planning Commission. All construction (other than one and
two-family dwellings) requires site plan approval, which also requires Planning Commission
review. Having two separate processes for variances is confusing and can lead to
inconsistencies in decision making.
c) To streamline requests for minor requests, last year the City created a process that delegated
Minor Variances and PUD Amendments to staff. This reduced the workload for both the
BOZA and the Planning Commission. In 1993 and 1994, 23 and 25 applications,
respectively, were reviewed by BOZA. In 1995, only 15 applications were reviewed—an
average of only 2 per meeting.
d) Because BOZA meets only once per month, applications that must go to BOZA will often
take longer to process than applications reviewed by the Planning Commission, which meets
twice a month. A new state law requires that the City review zoning applications within 60
days of receipt. The longer turn -around for BOZA review delays the process for applicants
and may make it more difficult to meet the 60 -day deadline.
e) A separate BOZA demands significant staff commitment that is not justified by the workload.
Preparing agendas, mailing, reports and packets require more expense and effort than would
be required if the applications were processed as part of the Planning Commission agendas.
Staff time would also be saved by reducing comp time or overtime for clerical staff who
prepare minutes, as well as reduce the burden on the professional staff for attending additional
meetings.
f) We are recommending that a separate BOZA be eliminated prior to the end of 1995 so that
the Council is not required to recruit and appoint new applicants to the Board. At least one
term is expiring. Several current members have had inconsistent attendance records.
g) Many communities have combined the functions of the BOZA with the Planning Commission,
with final decision by the City Council. Examples of other such suburban communities
include: Brooklyn Park, Bloomington, Lakeville, Maple Grove, Minnetonka, Woodbury and
Cottage Grove.
3. DISCUSSION:
Eliminating the separate BOZA will have some impact on the Planning Commission's workload.
Based on the workload of the last three years, we would expect that, on average, less than one
additional application would be added to each agenda. It is possible that these items could be
placed on the Planning Commission's consent list, requiring little or no discussion. We do not
expect the additional work load to place a burden on the Planning Commission.
File 951 xx, Page 3
Impact on City Council agendas would also be minimal. We expect that the Planning
Commission recommendations would almost always be a consent list item on the Council agenda.
The rare item that would require Council discussion would be a controversial item—such as the
recent appeal from Mr. Don Myron—that would be coming to the Council already via appeals
from the BOZA decision.
4. BUDGET IMPACT:
Eliminating the separate BOZA will result in some savings in direct costs, such as for mailing
separate agenda packets and reducing salary and benefit costs for staff time for non-exempt
employee overtime. Staff time will be saved by increasing efficiency and allowing us to spend
more time on higher priority work.
5. RECOMMENDATION:
I recommend that the City Council adopt the attached ordinance which will designated the City
Council as the Board of Zoning Appeals, giving the authority for final decisions on variances and
appeals to the Council. The Planning Commission will assume the responsibility for holding the
hearings previously assigned to BOZA, and make recommendations to the Council. The current
language in Section 11 of the Zoning Ordinance which establishes the duties of BOZA will be
revised as needed, as part of the upcoming ordinance revision.
ATTACHMENTS:
1. Draft Ordinance
2. Section 11, Subdivision C of Zoning Ordinance
cd\plan\staffrep\cc\95132. doc
CITY OF PLYMOUTH
HENNEPIN COUNTY, MINNESOTA
ORDINANCE NO. 95 -
AN ORDINANCE AMENDING CHAPTER III OF THE
PLYMOUTH CITY CODE CONCERNING
THE BOARD OF ADJUSTMENTS AND APPEALS
THE CITY OF PLYMOUTH ORDAINS:
SECTION 1. Section 305.07 of the Plymouth City Code is amended to read:
Board of Adjustments and Appeals. Pursuant to Minnesota Statutes,
Section 462.354, as amended-, a Board of Adjustments and Appeals is
Nn
SECTION 2. This ordinance shall be effective immediately upon its passage.
ADOPTED by the City Council this day of
1995.
Joycelyn Tierney, Mayor
ATTEST:
Laurie F. Ahrens, City Clerk
32093
r12/12/95
PLYMOUTH ZONING ORDINANCE
Section 11, Subdivision C
SUBDIVISION C BOARD OF ZONING ADJUSTMENTS AND APPEALS
1. Creation and Membership:
The Board of Zoning Adjustments and Appeals as established by Section 305.07 of the Plymouth
City Code is vested with the administrative authority and duties as hereinafter provided. (Amend.
Ord. 91-18)
2. Powers:
The Board shall have power to hear appeals from administrative determinations and questions of
doubt concerning the exact location of District boundary lines, to hear appeals of administrative
determinations from and to grant adjustment in and exceptions to any of the provisions of this
Ordinance, except those adjustments and exceptions governed by City Council determination as
specified by Section 11, Subdivision A, to the extent of the following and no further:
a. To consider applications for variances and modifications in any of the provisions of this
Ordinance relating to:
1) Height, yard, area and lot width and depth regulations.
2) Sign dimension and location regulations for properties other than those in
approved Planned Unit Developments, provided that no variance shall be
granted contrary to the requirements of the Minnesota Outdoor Adveriising
Control Act and provided further that no variances shall be granted to permit
signs in districts or places where such signs are prohibited or not allowed.
Amended Ord. No. 8424) (Amended Ord. No. 89-26)
3) Parking and loading regulations.
4) Fence regulations.
5) Minimum floor area requirements.
6) District boundary lines for Special Protection Districts (Section 6) provided the
purpose and intent of the Districts are maintained and the provisions of Section
6, Subdivision A Paragraph 5 e are given due consideration in the cases of both
the Flood Plain Overlay District and the Shoreland Management Overlay
District. (Amended Ord. No. 82-33)
b. The decision of the Board shall be final subject only to the right of any applicant or
person affected by such decision to appeal such decision to the Council. Notice of such
appeal must be filed with the City Clerk within a period of twenty (20) days from and
after a copy of the Board's order has been mailed to the applicant at the address furnished
by the applicant in his application.
11-10
PLYMOUTH ZONING ORDINANCE
Section 11, Subdivision C
C. The representative of the Planning Commission serving on the Board shall report to the
Board any views of the Planning Commission which might affect the decision of the
Board. Upon the request of such representative the Board shall delay the issuance of its
Order pending a review and report of the matter by the Planning Commission. Unless
such a request is made, the Board shall make its Order and report thereon within 15 days
from and after the date of the hearing.
d. The Board and Zoning Administrator shall not approve any application and the Council
upon appeal shall not grant any application unless they find failure to grant the variance
will result in undue hardship on the applicant, considering the following: (Amended byOrd. 94-4)
1) That because of the particular physical surroundings, shape, or topographical
conditions of the specific parcel of land involved, a particular hardship to the
owner would result, as distinguished from a mere inconvenience, if the strict
letter of the regulations were to be carried out.
2) That the conditions upon which a petition for a variation is based are unique to
the parcel of land for which the variance is sought and are not applicable,
generally, to other property within the same zoning classification.
3) That the purpose of the variation is not based exclusively upon a desire to
increase the value or income potential of the parcel of land.
4) That the alleged difficulty or hardship is caused by this Ordinance and has not
been created by any persons presently having an interest in the parcel of land.
5) That the granting of the variation will not be detrimental to the public welfare or
injurious to other land or improvements in the neighborhood in which the parcel
of land is located.
6) That the proposed variation will not impair an adequate supply of light and air to
adjacent property, or substantially increase the congestion of the public streets,
or increase the danger of fire, or endanger the public safety, or substantially
diminish or impair property values within the neighborhood.
a. Application for the Adjustments and Appeals permitted under the provisions of this
Section shall be in writing and made to the Zoning Administrator. The application shall
include the following:
1) A completed application form provided by the City and the fee established by
City Code, in addition to the required Building Permit fee, if any.
2) A written description of the request for the adjustment or the appeal, including
an explanation of compliance with the variance criteria set forth in this Section.
PLYMOUTH ZONING ORDINANCE
Section 11, Subdivision C
3) Supporting materials determined by the Zoning Administrator to be necessary
for the complete and clear definition and understanding of the request. Such
materials include, but are not limited to, the following: maps, certified surveys,
building plans, plat plans and other narrative materials.
b. Upon receipt of a complete application, the Zoning Administrator shall establish a time
and place for a hearing before the Board. At least ten days before the date of the
hearing, a written Notice of Hearing shall be mailed to the applicant and to all other
owners of property located within one hundred (100) feet of the boundaries of the
propety which is the subject of the application. The Zoning Administrator shall provide
a copy of the application and related materials to the Board prior to the scheduled
meeting. (Amend. Ord. 95-9)
C. The Board shall consider the application at the scheduled hearing in accordance with
rules and procedures for such hearings as established by the Board. The Board shall
make its final Order on the application within thirty days of the hearing.
d. In granting any adjustment or variance under the provisions of this Subdivision, the
Board shall designate such conditions in connection therewith as will, in its opinion,
secure substantially the objectives of the regulations or provision to which the
adjustment or variance is granted, as to light, air, and the public health, safety, comfort,
convenience and general welfare.
e. In all cases in which adjustments or variances are granted under the provisions of this
Subdivision, the Board and the City Council upon appeal shall require such evidence: and
guarantees as it may deem necessary to insure compliance with the conditions designated
in connection therewith.
The Zoning Administrator shall serve a copy of the final Order of the Board upon the
appellant or petitioner by mail.
Amended by Ord. No. 82-08)
a. Written notice of an appeal to the City Council of a ruling by the Board must be filed
with the City Clerk within twenty days from and after the copy of the Board's Order has
been mailed to the appellant or petitioner at the address furnished on the application.
b. Such appeal shall be placed upon the agenda of the City Council by the City Manager
together with a copy of the original application and findings and Minutes of the Board.
At least ten days before the date of the City Council Meeting, a written Notice of
Hearing shall be mailed to the applicant and to all owners of property located within one
hundred (100) feet of the boundaries of the property which is the subject of the appeal.
Amend Ord 95-9)
C. The City Council will consider the appeal of the Board's Order and will make its finding
by Resolution which shall include the reasons therefore. (Amended by Ord. No. 82-08)
5. Expiration
11-12
PLYMOUTH ZONING ORDINANCE
Section 11, Subdivision C
Building Permits for which variances or adjustments from the standards of this Ordinance have
been granted by an Order of the Board or of the City Council, shall be taken within one year of
the date of the Order by the Board or by the City Council. The Order for such variances or
adjustments by the Board or by the City Council shall expire if the Building Permits have not
been taken by then; provided that the Zoning Official may continue the Order for the variances
or adjustments for reasonable time upon written request of the petitioner, upon determination by
the Zoning Official that the proposed development and the related standards of this Ordinance
have not changed from those considered with the original application. The Zoning Administrator
shall require a new application and a new hearing as provided by this Section when, after one
year from the date of the Order, it is determined that the applicable Ordinance standards have
changed; or when, at any time following the issuance of the Order,- it is determined that the
circumstances and/or plans of the original request have changed relative to the adjustment or
variance. (Amended by Ord. No. 82-08)
6. Minor Variances
The Board shall give the Zoning Administrator the right to grant a request for a Minor Variance
without a hearing before the Board. The Zoning Administrator shall grant such a Minor
Variance only after determining that the requirements of Zoning Code Section 11, Subdivision C
2.d. have been met. Notice of such Minor Variance approval shall be sent by the Zoning
Administrator to all adjoining property owners within 200 feet of the proposed variance and to
all Board members. The notice shall require any written objection to the approved Minor
Variance be received by the Zoning Administrator within 14 days of the mailing. If any written
objection is received within 14 days, the final approval of the requested Minor Variance, as well
as any Minor Variance which is rejected by the Zoning Administrator, shall be referred to the
Board and proceed under Zoning Code Section 11, Subdivision C 3.
Amended by Ord. 94-4)
11-13
Agenda Number:
TO: Dwight Johnson, City Manager ,
11/
FROM: Eric Blank, Director of Parks and Recreation
SUBJECT: Elm Creek Playfield - Construction Budget and Estimated
Operating Budget
DATE: December 12, 1995, for Council Meeting of December 19
1. ACTION REQUESTED: Council should pass the attached resolution
approving the construction budget and authorizing the consultant, HTSR, to
begin plans and specifications for bid package no. 5.
2. BACKGROUND: The City has been working in cooperation with the Wayzata
School District for the last year and a half on the development of the Elm Creek
Playfield and new Wayzata High School site. Previous actions to this time that
the City Council has taken include:
approving a concept plan for a 161 acre site
approving the acquisition of 31 acres of property from Lundgren
Bros. Homes
approving final site plan approval to the school district for the
whole site
approving a joint powers agreement with the Wayzata School
District which included the approval of bid package no. 1 at a cost
of $625,699 to the City of Plymouth
approving the land swap with the school district whereby the City
has acquired approximately 63 acres of the site for Elm Creek
Playfield
Bid package no. 5 is now being prepared by the consultants which will include
all on-site improvements for the City and the school district. Bid package no. 1
included the grading, top soil modification and seeding of the playfield site. You
will note this number on the cost analysis of the Playfield is listed as item no. 1
as base earthwork.
As the Council is aware, there were numerous discussions with the
representatives of Girls' Fast Pitch Softball with regard to the softball fields at
the new Elm Creek Playfield. Staff has met with these individuals and
reviewed a list of 13 requests they had for the park. I am happy to report that
we are able to meet the needs of approximately 12 1/2 of their requested items.
Attached is a graphic of the ballfield showing the layout of the girls' fastpitch
fields. The use of temporary fencing on game days will still allow for the wider
community use of these fields, yet meeting the needs of the Wayzata Girls'
Fastpitch Program.
3. BUDGET IMPACT: For land acquisition the City has spent $250,000 of
community improvement funds and $1,050,184 from park dedication funds.
There will be future City assessments levied in 1998 in the approximate amount
of $111,076. These assessments have not been funded at this time. The
proposal for funding the assessments will be brought forth with the 1997 capital
improvements budget.
The 1996 capital improvements budget allocates $1.6 million of park dedication
funds for the development of the Elm Creek Playfield. The construction
manager, M.A. Mortenson'has estimated the total cost of construction to be
2,456,492. This is broken down on the attached cost estimate sheet. With the
1.6 million available from park dedication, we will be able to open the base
park in 1997 as planned. The cost breakdown highlights the unfunded
improvements. There are three significant items that should be noted in their
order of importance.
Lighting for two soccer/football fields. Both soccer and football are
played in the fall of the year with the season going from
approximately September 1 to October 25. At this time of year, it is
dark by approximately 6:30 p.m., thus these fields will not be
available to be used if they are not lighted.
The maintenance/multi-purpose building located by the parking lot.
This building will have two primary functions. Half the building
will house the park maintenance needs. Storage of things such as
diamond dry, lining chalk, field lining paint, rakes, field grooming
tractors, tree trimmer, lawn mowers and a small tractor are all
anticipated to be housed on site. Electronic controls for rink
lighting and soccer field irrigation controls would normally be in
this building. The other half of the building would be a multi-
purpose room that would serve as a warming house for the hockey
and pleasure skating rinks that will be maintained on the nurp
pond just south of the building. If we are unable to build this
building, we'll have to provide a small garage -like structure in 1997
to allow for some storage on a limited basis.
A third item of some importance would be the hockey rink and its
lighting. This will be a paved rink to allow in-line skating and
skateboarding in the summer months. Although there are not a lot
of people living in this area now, by 1998, Sioux Line East and
Sioux Line West developments will both be well along their way to
completion.
The park dedication fund has revenue each of year of about $400,000. Spending
1.6 million on the playfield will tap all of this fund's resources. If the Council
would like to build any of these three facilities, funds would have to come from
other sources.
Before the City Council approves the development budget for this park, it is
important that you understand the estimated operating expenses. When the
Elm Creek Playfield is completed, it will be the largest by acreage playfield in
the City's system. The annual estimated operating expense is approximately
117,000 per year, with an additional $84,000 first year start-up cost. A cost
breakdown of how these expenses were determined is attached for your review.
We anticipate that some of these expenses would be incurred in the year 1997
and the first full year of expenses would come in 1998.
4. RECOMMENDATION: Staff recommends the City Council approve the budget
for the Elm Creek Playfield at $1.6 million and authorize staff to work with the
consultants on the development of plans and specifications for bid package no. 5,
which will be bid in January or February of 1996.
EB/np
Attachment
RESOLUTION NO. 95 -
APPROVING CONSTRUCTION BUDGET
FOR THE ELM CREEK PLAYFIELD
WHEREAS, the Director of Parks and Recreation has prepared a construction
budget for the Elm Creek Playfield, and
WHEREAS, the City Council has reviewed said budget along with estimated
operating budget for the Elm Creek Playfield,
NOW, THEREFORE, BE IT HEREBY RESOLVED BY THE CITY COUNCIL OF
THE CITY OF PLYMOUTH, MINNESOTA, that the City's consultant, HTSR is
authorized to begin plans and specifications for the development of the Elm Creek
Playfield at an estimated construction budget of $1.6 million.
Adopted by the City Council on
FROM : r-lP MORTENSON 612 478 2079 199S.12-12 10:31 0802 P.02/02
COST ANALYSIS FOR ELM CREEK PLAYFIELDCITYOFPLYMOUTH
TENTATIVE APPROVAL
L m nES 2&p
1
QN
BASE EARTHWORK COST
2 IRRIGATION -SOFTBALL (4) 62$.699
3 IRRIGATION -SOCCER (5) 42,544
4 SOFTBALL BACKSTOP 51.583
5 SOFTBALL FENCING 22,000
6 SOFTBALL BENCHES 51,334
7 SOFTBALL LIGHTING 6,400
8 SOFTBALL BUILDING 268'218
9 BITUMINOUS WALKWAY @ PKG/BUS 192,447
10 BITUMINOUS WALKWAY @ SOFTBALL
37,677
11$15,000
WALKWAY Q SOCCER
15,000
12 SOCCER GOALS 7,000
13 TRASH RECEPTACLES 15,000
14 BIKE RACKS 5,000
15 SIGNAGE 1,000
16 SOD 5,000
17 SOCCER FIELD FENCING 10,000
18 BASKETBALL COURT -COMPLETE 12,000
19 CONTINGENCY 20.000
SUBTOTAL 22'221
C.M. SUPERVISORY LABOR 2,9% 1'410,123
C.M. GENERAL CONDITIONS 40,894
3%
OWNER GENERAL CONDITIONS 2.3°r6 4,230
SUBTOTAL 32,433
C.M. FEES 2.25%
1,,680
DESIGN FEES 5.3% 3333,473
GRAND TOTAL 78'847
fl-, 600,000
OUTSTANDING OPTIONS
ITEM D SCRIP LON
1 SOCCER FIELD LIGHTING
QST
2 OUTDOOR HOCKEY RINK 129,104
3 MULTI-PURPOSE/MAINTENANCE BLDG 40,000
4 HOCKEY LIGHTING 000
5 BASKETBALL COURT -LIGHTING 1919,303
6 CHILDRENS' PLAYGROUND 19,000
7 VARSITY BASEBALL LIGHTING 85,000
8 TENNIS COURT LIGHTING 60,400
9$38.443REMOTECONTROLFORIRR. 8, LIGHTING 44,000SUBTOTAL
C.M. SUPERVISORY LABOR 2.9% 754.850
C.M. GENERAL CONDITIONS 21,891
3%
OWNER GENERAL CONDITIONS 2.3% 7,265
SUBTOTAL 17°362
C.M. FEES 2.25% 796,367
DESIGN FEES 5.3% 17.91$
GRAND TOTAL 42'207
MORTENSON 5856,492
CITYOPALS
1 Z/7/95
ESTIMATED OPERATIONAL COSTS FOR ELM CREEK PLAYFIELD
Anticipated Work Hours:
Full Time 1800 hrs x $20.80 = $37,440.00
Part Time 1400 hrs x $8.75 = $12,250.00
Total $49,690.00
Materials & Supplies:
Athletic Fields 7,000
Fertilizer/Weed Control 3,000
Signs 250
Playstructure Parts 500
Tools & Supplies 1,500
Refuse 1,000
Electricity 20,000
Sewer & Water 3,000
Tree Care 5,000
Professional Services 5,000
Building Maintenance 500
Irrigation 5-00
Total 47,250
Equipment Rental:
Mowing Equipment 2,340
Pickup 9,000
Groomer 3,720
Misc 5,000
20,060
Purchases:
Tables & Chairs 2,000
3/4 Ton Pickup 20,000
Mower 50,000
Groomer 7,000
Trailer 5,000
84,000
Manpower 49,690
Materials & Supplies 47,250
Equipment Rental 20,060
Annual Estimated Operating Expenses $117,000
Purchases (one time start-up cost) $84,000
Grand Total $201,000
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Agenda Number:
TO: Dwight D. Johnson, City Manager
FROM: Laurie Ahrens, City Clerk, through Kath r Igeckert, Asst. Manager
SUBJECT: 1996 LICENSE RENEWALS
DATE: Dec. 13, 1995, for City Council Meeting of Dec. 19, 1995
1. ACTION REQUESTED: Adopt the attached resolution approving renewal of various
licenses for 1996.
2. BACKGROUND: The City has received applications for renewal of gasoline service
station licenses, amusement licenses, target and trap shoot licenses, and kennel licenses for
1996. No problems have been identified that would be cause for denial of the license
requests.
3. RECOMNIEENDATION: The attached resolution approving the license requests is
recommended for adoption. The resolution includes the condition that all fees and
certificates of insurance be received by Friday, December 29, 1995.
CITY OF PLYMOUTH
RESOLUTION NO. 95 -
APPROVING 1995 LICENSES
BE IT RESOLVED by the City Council of the City of Plymouth that the following licenses are
issued for the period January 1, 1996, through December 31, 1996, subject to the condition
that all fees and certificates of insurance be received by the City no later than December 29,
1995.
Amusement License
Troupe America, Inc.
Plymouth Playhouse
2705 Annapolis Lane
Cineplex Odeon Corporation
Cineplex Odeon Willow Creek 8 Cinemas
9900 Shelard Parkway
Target and Trap Shoot License
Plymouth Gun Club
4955 Holly Lane
Kennel License
Dean Amsbaugh
16910 County Road 47
Gasoline Service Station License
Herb's Servicenter Inc.
17435 County Road 6
Sinclair Retail #22057
9605 36th Ave. N.
Holiday Station #220
10100 County Road 9
Holiday Station Store #139
10900 Highway 55
Mr. Gas
11021 Highway 55
Superamerica #4341
5750 Nathan Lane
Tom Thumb
4130 Highway 101
PDQ Food Store
4090 Annapolis Lane N.
Conoco #23045
12650 County Road 10
Amoco Food Shop
3855 Plymouth Blvd
Amoco Food Shop #359
3955 Vinewood Lane N.
The Pavilion
4075 Vinewood Lane
Fernbrook Hwy 55 Stationstore
3020 Fernbrook Lane
Four Seasons Automotive
9950 County Road 9
Adopted by the City Council on December 19, 1995.
Agenda Number: 4-F
TO: Dwight Johnson, City Manager
FROM: Berit Strom, Planning Assistant through Anne Hurlburt, Community
Development Director
SUBJECT: SITE PERFORMANCE GUARANTEE REDUCTIONS.
DATE: December 11, 1995 for the City Council Meeting of December 19, 1995.
1. PROPOSED MOTION:
Move the attached resolution authorizing the reduction of the four Site Performance Guarantees to
reflect completed work in the following developments:
Laukka Williams Parkers Lake/Parkers Lake North 10th (93067) & 11th Additions. (94032)
Tony Eiden Company/Courtyards of Plymouth Oaks (94049)
Rottlund Homes/Pintail Villas (93055)
2. BACKGROUND:
The developers have requested a reduction of the financial guarantees stating that all of the site
improvements have been completed for:
Laukka Williams /Parkers Lake North 10th Addition. (93067) (Reduction)
Parkers Lake North 11th Addition (94032) (Reduction)
Planning staff inspected the sites and found that the majority of the site improvements have
been completed except: Winter survivability of landscaping.
Tony Eiden Company/Courtyards of Plymouth Oaks (94049) (Reduction)
Planning staff inspected the sites and found that the majority of the site improvements have
been completed except: Winter survivability of landscaping.
Rottlund Homes/Pintail Villas (93055) (Reduction)
Planning staff inspected the sites and found that the majority of the site improvements have
been completed except: Winter survivability of landscaping.
3. RECOMMENDATION:
Community Development Department staff recommends adoption of the attached resolution
authorizing the reductions of the financial guarantees for the above referenced projects. The new
financial guarantee totals are consistent with City Policy regarding reductions and releases of
financial guarantees for Site Improvement Performance Agreements.
ATTACHMENTS:
1. Resolutions Authorizing Reductions of Site Improvement Performance Guarantees.
CITY OF PLYMOUTH
RESOLUTION 95 -
REDUCING SITE IMPROVEMENT PERFORMANCE GUARANTEE
LAUKKA WILLIAMS/PARKF.RS LAKE 10TH ADD. (93067)
LOTS 2, 3, AND 4, BLOCK 1
WHEREAS, in accordance with the Final Plan/Plat and Development Contract
resolution 93-445A & 93-445B approved on August 02, 1993, for Laukka Williams,
developer of Parkers Lake 9th Addition (93067), has agreed to install certain site
improvements for said development; and
WHEREAS, the developer has completed a majority of the site improvements except:
Winter survivability of landscaping.
WHEREAS, upon notice from the developer, City staff has inspected said site and
recommends a reduction of the financial guarantee to reflect the completed work;
NOW, THEREFORE, BE IT HEREBY RESOLVED BY THE CITY COUNCIL OF
THE CITY OF PLYMOUTH, MINNESOTA, that it should and hereby does authorize
a $49,949.25 reduction of the C.D.'s which were submitted to guarantee site
improvements for Parkers Lake 10th Addition Lots 2, 3 and 4, Block 1, to a new
financial guarantee total of $16,649.75
Adopted by the City Council on December 19, 1995
CITY OF PLYMOUTH
RESOLUTION 95 -
REDUCING SITE IMPROVEMENT PERFORMANCE GUARANTEE
LAUKKA WILLIAMS/PARKERS LAKE 11TH ADD. (94032)
WHEREAS, in accordance with the Final Plan/Plat and Development Contract
resolution 94-413 & 94-414 approved on August 01, 1994, for Laukka Williams,
developer of Parkers Lake 11th Addition (94032), has agreed to install certain site
improvements for said development; and
WHEREAS, the developer has completed a majority of the site improvements except:
Winter survivability of landscaping.
WHEREAS, upon notice from the developer, City staff has inspected said site and
recommends a reduction of the financial guarantee to reflect the completed work;
NOW, THEREFORE, BE IT HEREBY RESOLVED BY THE CITY COUNCIL OF
THE CITY OF PLYMOUTH, MINNESOTA, that it should and hereby does authorize
a $37,924.50 reduction of the C.D. which was submitted to guarantee site
improvements for Parkers Lake 11th Addition to a new financial guarantee total of
12,641.50
Adopted by the City Council on December 19, 1995
4
CITY OF PLYMOUTH
RESOLUTION 95 -
REDUCING SITE IMPROVEMENT PERFORMANCE GUARANTEE
DAHLSTROM, PETERSON, EIDEN PARTNERSHIP/COURTYARDS OF
PLYMOUTH (94049)
WHEREAS, in accordance with the Site Plan that was approved by the City Council on
August 1, 1994; for Dahlstrom, Peterson, Eiden Partnership developer of Courtyards
of Plymouth (94049), has agreed to install certain site improvements for said
development; and,
WHEREAS, the developer has completed a portion of the site improvements except:
Installation of remaining landscaping and driveway construction.
WHEREAS, upon notice from the developer, City staff has inspected said site and
recommends a reduction of the financial guarantee to reflect the completed work;
NOW, THEREFORE, BE IT HEREBY RESOLVED BY THE CITY COUNCIL OF
THE CITY OF PLYMOUTH, MINNESOTA, that it should and hereby does authorize
a $32,206.00 reduction of the Letter of Credit which was submitted to guarantee site
improvements for Tony Eiden Company to a new financial guarantee total of $14,000.
Adopted by the City Council on December 19, 1995
I
CITY OF PLYMOUTH
RESOLUTION 95 -
REDUCING SITE EMPROVEMENT PERFORMANCE GUARANTEE
RO'1TLUND HOMES/PINTAIL VELLAS.(93055)
WHEREAS, in accordance with the MPUD Final Plan/Plat and Development Contract
resolution 94-2750 & 94-276 approved on May 16, 1994, for Rottlund Homes,
developer of Pintail Villas (93055), has agreed to install certain site improvements for
said development; and
WHEREAS, the developer has completed a majority of the site improvements except:
Installation of remaining landscaping and winter survivability of landscaping.
WHEREAS, upon notice from the developer, City staff has inspected said site and
recommends a reduction of the financial guarantee to reflect the completed work;
NOW, THEREFORE, BE IT HEREBY RESOLVED BY THE CITY COUNCIL OF
THE CITY OF PLYMOUTH, MINNESOTA, that it should and hereby does authorize
a $67,770.50 reduction of the Bond which was submitted to guarantee site
improvements for Rottlund Homes to a new financial guarantee total of $33,404.50
Adopted by the City Council on December 19, 1995
FROM GRAY,PLANT-MPLS (MON)12.11.'95 12:16 NO.22 PAGE 3
1
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of .
Plymouth, Minnesota, as follows:
1. The Program, as amended and restated, for the Project is hereby in all
respects adopted.
2. The City hereby ratifies the prior publication of the notice of public
hearing.
3. The City staff, its consultants and bond counsel are hereby authorized to
do all things and take all actions as may be necessary or appropriate to carry out the
Program in accordance with the Act and any other applicable lawti and regulations_
4. The issuance of approximately $8,440,000 principal amount of
multifamily housing revenue refunding bonds and approximately $3,060,000 principal
amount of taxable multifamily housing revenue refunding bonds pursuant to the Program
to finance the Project is hereby given preliminary approval.
5. Notwithstanding the foregoing, however, the adoption of this resolution
shall not be deemed to establish a legal obligation on the pert of the City or its City
Council to issue or cause the issuance of such revenue bonds, The City retains the right
in its sole discretion to withdraw from participation and accordingly not to issue the
Bonds, or to issue the bonds in an amount less than the amount rcfelTed to in this
resolution, should the City, at any time prior to issuance thereof, determine that it is in the
best interests of the City not to issue the bonds, or to issue the bonds in an amount less
than the amount referred to in this resolution, or should the parties to the transaction be
unable to reach agreement as to the terms and conditions of any of the documents
required for the transaction. The Bonds, if issued, shall not constitute a charge, lien or
encumbrance, legal or equitable, upon any property of the City, except the revenues
specifically pledged to the payment thereof, and each Bond, when, as and if issued, shall
recite in substance that the Bond, including interest thereon, is payable solely from the
revenues and property specifically pledged to the payment thereof and shall not constitute
a debt of the city within the meaning of any constitutional or statutory limitations.
Agenda Number: ,.
TO: Mayor and City Council
FROM: Kathy Lueckert, Assistant City Manager, through Dwight Johnson, City
Manager
SUBJECT: 1996 HEALTH, DENTAL BENEFITS FOR NON -
REPRESENTED CITY EMPLOYEES
DATE: December 19, 1995
1. ACTION REQUESTED: Approval of the attached resolution which provides a $15
increase for city paid health and dental insurance benefits for non -represented city
employees.
2. BACKGROUND: The City's health and dental insurance carriers update the City's
experience rating and adjust our insurance premiums on April 1 of each year. The City
bargains with the represented employees regarding how much of this insurance cost is paid
by the City and how much is paid by employees. Insurance premiums paid by the City for
non -represented employees is coordinated with our agreements with our bargaining unit`s.
In 1993, the Council adopted a policy which set two different contribution rates, one for
overtime exempt employees and one for employees who receive overtime compensation.
Employees exempt from overtime requirements (primarily supervisors) receive an amount
approximately equal to the sergeants. Non-exempt employees receive an amount
approximately equal to the clerical technical bargaining unit.
3 DISCUSSION: We do not yet know the amount our health or dental insurance premiums
will increase.
Since we have settled with the sergeant's unit, we know that adjustment will be $15 per
month of additional employer paid premium.
It has been our practice to provide approximately equal compensation to our non -
represented employees. Therefore, we are recommending that the 1996 benefit level
increase be $15.00.
5. BUDGET IMPACT: The 1996 budget for health and dental coverage is adequate to
cover the proposed increases. The cost of coverage plus the 3 percent wage increase is
equal to a 3 percent increase in the total package for these employees.
Page 2
6. RECOMMENDATION: Approve the attached resolution authorizing the payment of the
City's share of employee health and dental insurance coverage.
CITY OF PLYMOUTH
17=09] Il I1190KIII SIS
APPROVING THE 1996 MONTHLY HEALTH, DENTAL INSURANCE
BENEFITS FOR NON -REPRESENTED CITY EMPLOYEES.
WHEREAS, the City Council annually reviews the compensation package for general
city employees; and
WHEREAS, the City has settled contracts for some of its bargaining units which have
resulted in increases in the City's contribution for health and dental insurance coverage;
and
WHEREAS, it has been the City's practice to compensate similar groups similarly;
NOW, THEREFORE, BE 1T HEREBY RESOLVED BY THE CITY COUNCIL OF
THE CITY OF PLYMOUTH, MINNESOTA, that it should, and hereby does:
1. Authorize an increase in health and dental coverage according to the following
schedule for all its non -represented employees, effective January 1, 1996.
Exempt Employees
Non -Exempt
Employees
Adopted by the City Council on
Health & Dental Up to $440.00
Insurance Premium
Health & Dental Up to $360.00
Insurance Premium
f
t
Agenda Number: 6 _ 4
TO: Mayor & City Council
FROM: Kathy Lueekert, Assistant City Manager
SUBJECT: 1996 COMPENSATION AND CLASSIFICATION PLAN
DATE: December 7, 1995
1. ACTION REQUESTED: Adoption of the attached resolution approving the 1996
Compensation and Classification Plan.
2. BACKGROUND: Each year staff prepares for presentation to Council, adjustments
to the pay ranges for City employees. A set of proposed pay ranges for 1996 is presented
in this report.
Approximately 80 percent of City employees are represented by a certified bargaining unit.
The remaining 20 percent of employees who comprise the supervisor and confidential
employees are governed by the attached resolution and pay plan.
The approximately 25 employees covered by this resolution, receive their wage increases
based upon their performance, the general market for their positions, and our obligation to
be in compliance with pay equity.
3. DISCUSSION: The attached grade, position and range chart sets forth the grades, job
titles and proposed 1996 salary ranges. The 1996 minimum and maximum salaries
represent a 3 percent increase over the 1995 rates. Each step within the salary range will
also increase by 3 percent, giving all employees an actual 3 percent raise on January 1,
1996. In our most recent polls of other municipalities with which we compare salaries, we
find that most of them are increasing salaries between 2.5 and 3 percent. Bargaining has
been completed with one of bargaining unit; three have not yet settled. The settlement for
sergeants was 3 percent.
One new title was approved in the 1996 budget, Assistant to the Public Works Director.
This position will provide transit coordination services and support the Director of Public
Works. The Information Systems Coordinator position has been reclassified from Grade
17 to Grade 18 to reflect additional technical and lead responsibilities. The Personnel
Coordinator position has been reclassified from Grade 18 to Grade 20 and retitled to
Human Resources Manager to adequately reflect existing market conditions. All changes
were evaluated by an outside consultant skilled in assessing proposed position changes.
1996 COMPENSATION AND CLASSIFICATION PLAN
December 7, 1995
Page 2
This year, a Council subcommittee consisting of Mayor Tierney and John Edson, was
asked to make a salary recommendation for the City Manager. They have proposed that
the City Manager receive the same increase as other supervisory employees. Therefore,
the attached resolution would also increase the actual pay and the pay range of the City
Manager by 3 percent as well.
4. BUDGET EMPACT: The 1996 budget is adequate for the proposed salary adjustments.
5. RECOMAUNDATION: Approve the attached resolution adopting the 1996 position and
grade salary chart, and to adjust the salary ranges to reflect a 3 percent adjustment.
f
I
1996 POSITIONIGRADE SALARY CHART
GRADE I JOB TITLE
27 City Manager
26 Assistant City Manager
Director of Community Development
Director of Finance & Information Technology
Director of Parks and Recreation
Director of Public Safety
Director of Public Works
25
24
23 City Engineer
Fire Chief
22
21 Assistant Finance Director
City Assessor
Information Technology Manager
Lieutenant
20 Assistant Engineer
Assistant to Public Works Director
Building Official
HRA Supervisor
Human Resources Manager
Planning Supervisor
Public Works Superintendent
Superintendent of Parks
Superintendent of Recreation
19
18 City Clerk
Civil Engineer
Information Systems Coordinator
Park Maintenance Supervisor
Sergeant
Sewer & Water Supervisor
Street Supervisor
Water Resources Engineer
17 Assistant Building Official
Commercial Appraiser
Communications Coordinator
Finance Officer Supervisor
Investigator
Project Coordinator
Property Management Coordinator
Public Safety Education Specialist
Risk Management Coordinator
Senior Appraiser
Senior Planner
Support Services Manager
Systems Analyst
16 Accountant
Building Inspector
Engineering Aide • Inspection/Survey
Financial Analyst
Fire Inspector
Forester
Page 1
SALARY RANGE
Minimum I Maximum
68,052 100,000
60,095 84,781
57,495 80,470
54,896 76,897
52,297 73,324
49,164 69,015
46,258 65,020
43,773 61,603
40,808 57,525
37,996 54,288
36,515 51,623
35,248 48,466
29,815 40,996
10 Accounting Technician 28,554 39,262
Clerical Supervisor - Planning
Clerical Supervisor - Police
Engineering Technician
Housing Technician
Leadperson
Utility Operator
9 27,496 37,807
8 Accounting Clerk 26,429 36,340
Mechanic
7 25,353 34,861
6 Building Maintenance Worker 24,269 33,376
Community Service Officer
Data Control Clerk
Data Controllinspection Clerk
Engineering Aide - Office
Maintenance Worker - Parks
Maintenance Worker - Sewer/Water
Maintenance Worker - Street
Secretary
5 Cashier 23,121 31,791
Meter Reader
Sr. ClerklTypist
4 22,023
1996 POSITIONIGRADE SALARY CHART
3 Clerk/Receptionist 20,927 28,775
2 19,833
GRADE JOB TITLE SALARY RANGE
Minimum Maximum
Planner
Plumbing Inspector
Police Officer
Recreation Supervisor
Sr. Engineering Technician
Solid Waste Coordinator
15 34,206 47,033
14 Appraiser 33,166 45,603
13 32,119 44,164
12 Computer Support Specialist 31,066 42,715
Forestry Technician
Human Resources Technician
Housing Inspector
Housing Specialist
Planning Assistant
Volunteer Coordinator
Youth Services Officer
29,815 40,996
10 Accounting Technician 28,554 39,262
Clerical Supervisor - Planning
Clerical Supervisor - Police
Engineering Technician
Housing Technician
Leadperson
Utility Operator
9 27,496 37,807
8 Accounting Clerk 26,429 36,340
Mechanic
7 25,353 34,861
6 Building Maintenance Worker 24,269 33,376
Community Service Officer
Data Control Clerk
Data Controllinspection Clerk
Engineering Aide - Office
Maintenance Worker - Parks
Maintenance Worker - Sewer/Water
Maintenance Worker - Street
Secretary
5 Cashier 23,121 31,791
Meter Reader
Sr. ClerklTypist
4 22,023 30,282
3 Clerk/Receptionist 20,927 28,775
2 19,833 27,270
1 Clerk[Typist 18,733 25,758
Page 2
CITY OF PLYMOUTH
RESOLUTION NO. 95 -
APPROVING THE 1996 CLASSIFICATION AND COMPENSATION
IMPLEMENTATION PLAN
WHEREAS, the City of Plymouth uses a job evaluation in order to determine job value;
and
WHEREAS, this plan is in compliance with Minnesota Statute 471, commonly known as
the "Pay Equity Law"; and
WHEREAS, the classification and compensation plan has been updated to reflect changes
to the 1996 budget proposals submitted to the City Council for review; and
WHEREAS, in keeping with good management practice, City employees and volunteers
are sometimes rewarded for suggestions, good safety practices, longevity and good
service; and
WHEREAS, volunteers are also recognized for their service to the City;
NOW, THEREFORE, BE IT HEREBY RESOLVED BY THE CITY COUNCIL OF
THE CITY OF PLYMOUTH, MINNESOTA, that it should, and hereby does:
1. Approve the 1996 Classification and Compensation Plan attached hereto.
2. Directs the City Manager to proceed with the ongoing implementation and
maintenance of the plan and its components.
3. Approves continuation of volunteer and employee recognition programs as
budgeted.
Adopted by the City Council on
DATE: December 19, 1995
TO: Mayor and City Council
FROM: Kathy Lueckert, Assistant City Manager AM/
SUBJECT: Correction to Agenda Item 6-H
Attached is the correct position and salary chart for Item 6-H. The changes, made late
last week, are as follows:
The Planning Clerical Supervisor is changed from a Grade 10 to a Grade 11,
reflecting increased responsibility and new duties supervising all clerical staff in
Community Development, including Housing.
The Housing Technician is changed from a Grade 10 to a Grade 8, reflecting
decreased responsibilities. This position is currently vacant.
All other portions of the report and resolution remain the same.
1996 POSITIONIGRADE SALARY CHART
GRADE JOB TITLE SALARY RANGE
57,525
Minimum I Maximum
27 City Manager 68,052 100,000
26 Assistant City Manager 60,095 84,781
Director of Community Development
Information Systems Coordinator
Director of Finance & Information Technology
Director of Parks and Recreation
Director of Public Safety
Sergeant
Director of Public Works
25 57,495 80,470
24 54,896 76,887
23 City Engineer 52,297 73,324
Fie Chief
22 49,184 69,015
21 Assistant Finance Director 48,258 65,020
City Assessor
Information Technology Manager
Lieutenant
20 Assistant Engineer 43,773 61,603
Assistant to Public Works Director
Building Official
HRA Supervisor
Human Resources Manager
Planning Supervisor
Public Works Superintendent
Superintendent of Parks
Superintendent of Recreation
19 40,808 57,525
18 City Clerk 37,996 54,288
Civil Engineer
Information Systems Coordinator
Park Maintenance Supervisor
Sergeant
Sewer & Water Supervisor
Street Supervisor
Water Resources Engineer
17 Assistant Building Official 36,515 51,823
Commercial Appraiser
Communications Coordinator
Finance Officer Supervisor
Investigator
Project Coordinator
Property Management Coordinator
Public Safety Education Specialist
Risk Management Coordinator
Senior Appraiser
Senior Planner
Support Services Manager
Systems Analyst
16 Accountant 35,248 48,466
Building Inspector
Engineering Aide • InspectionlSwey
Financial Analyst
Page 1
Rer. 12118195
1996 POSITIONIGRADE SALARY CHART
GRADE JOB TITLE SALARY RANGE:jMininunMax'anum
Fre Inspector
Forester
Planner
Plumbing Inspector
Police Officer
Recreation Supervisor
Sr. Engineering Technician
Solid Waste Coordinator
15 34,206 47,033
14 Appraiser 33,186 45,803
13 32,119 44,164
12 Computer Support Specialist 31,088 42,715
Forestry Technician
25,353 34,861
Human Resources Technician
24,269 33,376
Housing Inspector
Housing Specialist
Planning Assistant
Volunteer Coordinator
youth Services Officer
11 Clerical Supervisor - Planning 29,815 40,996
10 Accounting Technician 28,554 39,262
Clerical Supervisor - Police
Engineering Technician
23,121 31,791
Leadperson
Utility Operator
9 27,496 37,807
8 Accounting Clerk 26,429 36,340
Housing Technician
Mechanic
7 25,353 34,861
6 Building Maintenance Worker 24,269 33,376
Community Service Officer
Data Control Clerk
Data Contropinspection Clerk
Engineering Aide - Office
Maintenance Worker - Parks
Maintenance Worker - Sewer/Water
Maintenance Worker - Street
Secretary
5 Cashier 23,121 31,791
Meter Reader
Sr. Clerk Typist
4 22,023 30,282
3 ClerklReceptionist 20,927 28,775
2 19,833 27,270
1 ClerkfTypist 18,733 25,758
Page 2 Rev. 12118195
Agenda Number: _-L
TO: Mayor and City Council
FROM: Kathy Lueckert, Assistant City Manager
SUBJECT: Establish January 30, 1996 as Annual Legislative Dinner
DATE: December 14, 1995 for December 19, 1995
1. ACTION REQUESTED: Establish Tuesday, January 30, 1996 at 6 PM as a Special City
Council Meeting for the purposes of the Annual Legislative Dinner.
2. DISCUSSION: In recent years the City Council has invited all legislators serving
Plymouth to a dinner in January. At this dinner, counci members and legislators have an
opportunity to discuss issues involving the City early in the legislative session. Staff
contacted the legislators, and Tuesday, January 30 was the preferred date. Formal letters
of invitation will be sent to all the legislators.
City of Plymouth
3400 Plymouth Boulevard
Plymouth, Minnesota 55447
Res. No. 95 -
BE IT THEREFORE RESOLVED by the City Council of the City of Plymouth,
Minnesota that Tuesday, January 30, 1996 at 6 PM is hereby established as a special city
council meeting for the purpose of meeting with Plymouth state legislators.
Agenda Number:
TO: wight D. Johnson, City Manager through Dale E. Hahn, Finance Director
FROM: Jack Tabery, Property Management Coordinator
SUBJECT: AWARD OF CONTRACT FOR CITY CENTER COUNCIL CHAMBER
MEDIA EQUIPMENT AND INSTALLATION
DATE: December 12, 1995 for City Council Meeting December 19, 1995
1. ACTION REQUESTED: Adopt the attached resolution awarding the bid for media equipment and
installations to Todd Communications in the amount of $223,118.
2. BACKGROUND: The Council has previously approved action to renovate the Council Chamber.
The media equipment and installation component will improve the video transmission capabilities
and presentations.
3. DISCUSSION: Plans and specifications were developed by the consultant. Advertisements were
made for bids and bids were opened on December 7, 1995. Shown below is a listing of the bids.
CONTRACTOR BASE BID LABOR TOTAL
Todd Communications 202,914.00 20,204.00 223,118.00
Fred's Service 210,528.81 28,470.19 238,999.00
This project will complete the renovation of the City Council Chambers. The timing for
construction seems most appropriate based on bid prices and completion schedule for the project.
4. BUDGET IMPACT: The initial cost estimate was $260,650. The bid price is significantly
below our cost estimate.
5. ALTERNATIVES: Alternatives have been reviewed and considered. They include retaining
existing media equipment, replacing some components. Each of these were subsequently
determined not to be feasible.
6. RECOMMENDATION: I recommend that the City Council award the bid to Todd
Communications in the amount of $223,118.
CITY OF PLYMOUTH
RESOLUTION NO. 95 -
AWARDING BID FOR COUNCIL CHAMBERS MEDIA EQUIPMENT
AND INSTALLATION
WHEREAS, pursuant to advertisement for bids for media equipment and installation for the
City Center Council Chambers, bids were received, opened and tabulated according to law and
the following bids were received and reviewed:
CONTRACTOR TOTAL
Todd Communications $223,118.00
Fred's Service 238,998.40
WHEREAS, Todd Communications of Minneapolis, Minnesota is the lowest responsible
bidder complying with the minimum specifications;
NOW, THEREFORE, BE IT HEREBY RESOLVED BY THE CITY COUNCIL OF THE
CITY OF PLYMOUTH, MINNESOTA, that the Mayor and City Manager are hereby
authorized and directed to enter into a contract with Todd Communications of Minneapolis,
Minnesota for the media equipment and installation equipment for the Council Chambers
according to plans and specifications approved by the City Council in the amount of $223,118
and the City Clerk is hereby authorized and directed to return forthwith to all bidders the
deposits made with their bids, except that the deposits of the successful bidder and the next
lowest bidder shall be retained until a contract has been signed.
Agenda Number:
TO: Dwight Johnson, City Manager
FROM:, Craig C. Gerdes, Director of Public Safety
SUBJEC REQUEST TO PURCHASE CAPITAL EQUIPMENT FOR TRAFFIC
ENFORCEMENT UNIT
DATE: December 11, 1995 for December 19, 1995 Council Meeting
1. ACTION REQUESTED: Approve the expenditure of $8,500 from the 1995 General
Fund Contingency and authorize the purchase of capital equipment for the Public Safety
Traffic Enforcement Unit.
2. BACKGROUND: The Traffic Enforcement Unit and the patrol division have been
effective in reducing the complaints of residential speeding. We need to continue the work
with our citizens and keep the program effective. The continuation of the two person unit
has been approved in the 1996 budget. Three capital purchases totaling $8,500 were not
approved in order to meet the City-wide budget needs. Staff has determined that a surplus
in the 1995 fines and forfeitures receipts could be used to purchase these three capital items
in 1995.
3. ALTERNATIVES: To not expend funds or purchase capital equipment.
4. DISCUSSION: The equipment to be purchased will enhance the capabilities of the traffic
unit and patrol division in speed enforcement and motor carrier weight compliance. The
equipment to be purchased includes the following:
Laser radar 3,625
and related accessories 560
Portable Wheel Load Weight Scales 2,290
Traffic Counter/Speed Display 1,400
Shipping & Miscellaneous costs 725
TOTAL 8,500
The laser radar has proven to be an excellent tool in speed enforcement. Our department
had an opportunity to work with the Minnesota State Patrol's laser during our Northwest
Task Force speed enforcement operation. The new weight scales will allow officers to
weigh trucks more efficiently. Tandem axles can be measured at the same time saving
effort by both officers and truck drivers. The traffic counter will allow us to do more data
collection regarding the success of our education and enforcement campaign. It will also
assist us in identifying problem areas for target work.
5. BUDGET IMPACT: The City recently received the November 1995 Court fines and
forfeitures payment of $64,058. This amount brings the total fines and forfeitures received
in 1995 to over $512,000. The 1995 adopted budget Court fines total was $504,000. The
December payment will be received late this month. The December average for the last
two years has been $33,000. Therefore, the 1995 total Court fines and forfeitures
receivable should exceed $540,000, producing approximately $36,000 of General Fund
surplus in this account. These additional receipts from fines and forfeitures will more than
off -set the expenditure from General Fund Contingency and will not negatively impact the
1995 budget.
6. RECOMMENDATION: This expenditure and purchase been reviewed by the City
Manager, Director of Finance, as well as Director of Public Safety. Approval is
recommended.
DATE: December 12, 1995 for Council Meeting of December 19, 1995
TO: Dwight D. Johnson, City Manager, through
X- Fred G. Moore, P.E., Director of Public Works
FROM: John R. Sweeney, Assistant City Engineer
SUBJECT: REDUCTIONS IN REQUIRED FINANCIAL GUARANTEES
ACTION REQUESTED: We have received a requests from the developers for a
reduction in the required financial guarantees to reflect completed work in their
developments. The City has made inspections of the work and I recommend that the
attached resolutions be adopted. These developments are:
1. The Ponds at Bass Creek 2nd Addition 95082)
2. French Ridge Addition 94159)
3. Courtyards of French Creek Addition 93034)
4. Sugar Hills 3rd Addition 94044)
5. Savannah Addition 93112)
6. Eaglewood Addition 92110)
V
John R. Sweeney
8ssistant City Engineer
attachments: Resolutions
BR12-19.DOC
RESOLUTION NO. 95 -
REDUCING REQUIRED FINANCIAL GUARANTEE
THE PONDS AT BASS CREEK 2ND ADDITION (95082)
WHEREAS, in accordance with the development contract dated September 14, 1995, McHunter Co.,
LLC, developer of The Ponds at Bass Creek 2nd Addition (95082), has agreed to install certain
improvements for said development; and
WHEREAS, the developer has completed a portion of the street, utility and site grading as noted below;
and
WHEREAS, the developer has requested a reduction of the required financial guarantee to reflect the
completed work;
NOW, THEREFORE, BE IT HEREBY RESOLVED BY THE CITY COUNCIL OF THE CITY OF
PLYMOUTH, MINNESOTA; that the financial guarantee requirements are reduced as follows:
That the required financial guarantee for the above items be reduced as detailed above from $411,500 to
165,335 to reflect the completed work.
FG95082.DOC
ORIGINAL NEW
ITEM AMOUNT AMOUNT
Street Construction 107,870 79,800
Sanitary Sewer 60,460 12,100
Watermain 48,826 9,800
Storm Sewer 45,220 10,000
Boulevard and Drainage Swale Sod 5,000 5,000
Mitigation Pond Construction 7,840 7,840
NURP Pond Construction 3,500 3,500
Street Signs (2 x 200) 400 400
Site Grading and Drainage Improvements 86,420 17,500
Park and Trail Improvements 0- 0-
Setting Iron Monuments 1,875 1,875
Design, Administration, Inspection, As-Builts 44,089 17,520
TOTAL 411,500 165,335
That the required financial guarantee for the above items be reduced as detailed above from $411,500 to
165,335 to reflect the completed work.
FG95082.DOC
RESOLUTION NO. 95 -
THE PONDS AT BASS CREEK 2ND ADDITION (95082)
Page Two
FURTHER BE IT RESOLVED that the financial guarantee requirements for the following items per
Section 8.1 of the approved development contract be reduced as follows:
ITEM
Maintenance of Erosion and Sediment
Control Plan Street Sweeping and Storm
Sewer Cleaning (see Grading Permit for required
Financial Guarantee)
Cash:
Financial Guarantee:
Adopted by the City Council on December 19, 1995.
ORIGINAL NEW
AMOUNT AMOUNT
0- $-0-
0- $-0-
FG95W2.DOC
RESOLUTION NO. 95 -
REDUCING REQUIRED FINANCIAL GUARANTEE
FRENCH RIDGE ADDITION (94159)
WHEREAS, in accordance with the development contract dated July 27, 1995, Janco, Inc., developer of
French Ridge Addition (94159), has agreed to install certain improvements for said development; and
WHEREAS, the developer has completed a portion of the street, utility and site grading as noted below;
and
WHEREAS, the developer has requested a reduction of the required financial guarantee to reflect the
completed work;
NOW, THEREFORE, BE IT HEREBY RESOLVED BY THE CITY COUNCIL OF THE CITY OF
PLYMOUTH, MINNESOTA; that the financial guarantee requirements are reduced as follows:
That the required financial guarantee for the above items be reduced as detailed above from $1,034,414 to
310,090 to reflect the completed work.
FG94159.DOC
ORIGINAL NEW
ITEM AMOUNT AMOUNT
Street Construction 235,160 141,096
Sanitary Sewer 152,000 30,400
Watermain 185,500 22,260
Storm Sewer 76,490 15,298
Boulevard and Drainage Swale Sod 13,600 1300
Mitigation Pond Construction 8,378 8,378
5 yrs. from date of pond completion)
Sediment Pond Construction 10,000 10,000
Street Signs (3 x 200) 600 600
Site Grading and Drainage Improvements 229,622 23,000
Park and Trail Improvements 8,734 8,734
Setting Iron Monuments 3,500 3,500
Design, Administration, Inspection, As-Builts 110,830 33,224
TOTAL 1,034,414 310,090
That the required financial guarantee for the above items be reduced as detailed above from $1,034,414 to
310,090 to reflect the completed work.
FG94159.DOC
RESOLUTION NO. 95 -
FRENCH RIDGE ADDITION (94159)
Page Two
FURTHER BE IT RESOLVED that the financial guarantee requirements for the following items per
Section 8.1 of the approved development contract be reduced as follows:
ITEM
Maintenance of Erosion and Sediment
Control Plan Street Sweeping and Storm
Sewer Cleaning
Cash:
Financial Guarantee:
Adopted by the City Council on December 19, 1995.
ORIGINAL NEW
AMOUNT AMOUNT
1,000 $1,000
41,000 $41,000
FO94159.DOC
RESOLUTION NO. 95 -
REDUCING REQUIRED FINANCIAL GUARANTEE
COURTYARDS OF FRENCH CREEK ADDITION (93034)
WHEREAS, in accordance with the development contract dated May 11, 1993, The Courtyards of French
Creek, a Minnesota Partnership by Contractor Property Developers Company, its General Partner,
developer of Courtyards of French Creek (93034), has agreed to install certain improvements for said
development; and
WHEREAS, the developer has completed a portion of the street, utility and site grading as noted below;
and
WHEREAS, the developer has requested a reduction of the required financial guarantee to reflect the
completed work;
NOW, THEREFORE, BE IT HEREBY RESOLVED BY THE CITY COUNCIL OF THE CITY OF
PLYMOUTH, MINNESOTA; that the financial guarantee requirements are reduced as follows:
ITEM ORIGINAL NEW
AMOUNT AMOUNT
Street Construction 74,312 24,360
Sanitary Sewer 48,810 0-
Watermain 40,923 0-
Storm Sewer 30,600 0-
Boulevard and Drainage Swale Sod 5,000 800
Drainage Pond Construction 2,000 400
Street Signs (1 x 200) 200 0-
Site Grading and Drainage Improvements 29,775 0-
Park and Trail Improvements 0- 0-
Setting Iron Monuments 1,875 0-
Design, Administration, Inspection, As-Builts 28,019 3,067
TOTAL 261,514 28,627
That the required financial guarantee for the above items be reduced as detailed above from $31,427 to
28,627 to reflect the completed work. Letter of Credit No. 930519-1A may be reduced accordingly.
RESOLUTION NO. 95 -
COURTYARDS OF FRENCH CREEK ADDITION (93034)
Page Two
FURTHER BE IT RESOLVED that the financial guarantee requirements for the following items per
Section 8.1 of the approved development contract be reduced as follows:
ITEM ORIGINAL NEW
AMOUNT AMOUNT
Maintenance of Erosion and Sediment
Control Plan Street Sweeping and Storm
Sewer Cleaning
Cash: $1,000 $1,000
Letter of Credit No. 930519-1B: $11,930 $2,983
Adopted by the City Council on December 19, 1995
RESOLUTION NO. 95 -
REDUCING REQUIRED FINANCIAL GUARANTEE
SUGAR HILLS 3RD ADDITION (94044)
WHEREAS, in accordance with the development contract dated June 7, 1994, Eugene R. Forbragd,
Darlene R. Forbragd, Martin N. Harstad, and Janice E. Harstad, developer of Sugar Hills 3rd Addition
94044), has agreed to install certain improvements for said development; and
WHEREAS, the developer has completed a portion of the street, utility and site grading as noted below;
and
WHEREAS, the developer has requested a reduction of the financial guarantee to reflect the completed
work;
NOW, THEREFORE, BE IT HEREBY RESOLVED BY THE CITY COUNCIL OF THE CITY OF
PLYMOUTH, MINNESOTA; that the financial guarantee requirements are reduced as follows:
ITEM ORIGINAL NEW
AMOUNT AMOUNT
Street Construction (Excluding City Projects 170,687 0-
308 and 310)
Sanitary Sewer 56,169 0-
Watermain (Including costs for difference 84,735 0-
between 8" and 12" watermain)
Storm Sewer 53,617 0-
Boulevard and Drainage Swale Sod 6,800 2,000
Mitigation Pond Construction 10,000 0-
Sediment Pond Construction 15,000 0-
Street Signs (4 x 200) 800 0-
Site Grading and Drainage Improvements 156,000 0-
Park and Trail Improvements 0- 0-
Setting Iron Monuments 2,000 0-
Design, Administration, Inspection, As-Builts 66,697 240
TOTAL 622,505 2,240
That the letter of credit required for the above items be reduced as detailed above from $48,985 to $2,240
to reflect the completed work. Letter of Credit No. 10913 may be reduced accordingly.
RESOLUTION NO. 95 -
SUGAR HILLS 3RD ADDITION (94044)
Page Two
FURTHER BE IT RESOLVED that the financial guarantee requirements for the following items per
Section 8.1 of the approved development contract be reduced as follows:
ITEM
Maintenance of Erosion and Sediment
Control Plan Street Sweeping and Storm
Sewer Cleaning
Cash:
Letter of Credit No. 10912:
ORIGINAL NEW
AMOUNT AMOUNT
1,000 $1,000
14,300 $7,150
FURTHER BE IT RESOLVED that the street construction and concrete curb and gutter is accepted for
continual maintenance as of December 19, 1995 subject to the Two Year Guarantee by the Developer per
Maintenance Bond No. 54-71250.
Adopted by the City Council on December 19, 1995
RESOLUTION NO. 95 -
REDUCING REQUIRED FINANCIAL GUARANTEE
SAVANNAH ADDITION (93112)
WHEREAS, in accordance with the development contract dated June 22, 1994, Lundgren Bros.
Construction, Inc., developer of Savannah Addition (93112), has agreed to install certain improvements
for said development; and
WHEREAS, the developer has completed a portion of the street, utility and site grading as noted below;
and
WHEREAS, the developer has requested a reduction of the required financial guarantee to reflect the
completed work;
NOW, THEREFORE, BE IT HEREBY RESOLVED BY THE CITY COUNCIL OF THE CITY OF
PLYMOUTH, MINNESOTA; that the financial guarantee requirements are reduced as follows:
ITEM ORIGINAL NEW
AMOUNT AMOUNT
Street Construction
Except City Proj. No's 213 & 907) 99,660 0-
Sanitary Sewer
Except City Proj. No's 213 & 907) 101,420 0-
Watermain
Except City Proj. No's 213 & 907) 80,410 0-
Storm Sewer 42,570 0-
Boulevard and Drainage Swale Sod 7,000 2,000
Mitigation Pond Construction 9,500 0-
Sediment Pond Construction (Including wall) 14,500 2,900
Street Signs (3 x 200) 600 0-
Site Grading and Drainage Improvements
Except City Proj. No's 213 & 907) 164,000 0-
Park and Trail Improvements 0- 0-
Setting Iron Monuments 2,900 0-
Design, Administration, Inspection, As-Builts 62,707 588
TOTAL 585,267 5,488
That the required financial guarantee for the above items be reduced as detailed above from $24,802 to
5,488 to reflect the completed work. Letter of Credit No. 13279 may be reduced accordingly.
BR93112.DOC
RESOLUTION NO. 95 -
SAVANNAH ADDITION (93112)
Page Two
FURTHER BE IT RESOLVED that the financial guarantee requirements for the following items per
Section 8.1 of the approved development contract be reduced as follows:
ITEM
Maintenance of Erosion and Sediment
Control Plan Street Sweeping and Storm
Sewer Cleaning
Cash:
Letter of Credit:
ORIGINAL NEW
AMOUNT AMOUNT
1,000 $1,000
45,500 $22,750
FURTHER BE IS RESOLVED that the street construction and concrete curb and gutter is accepted for
continual maintenance as of December 19, 1995 subject to the One Year Guarantee by the Developer per
the required Maintenance Bond.
Adopted by the City Council. on December 19, 1995
BR93112.DOC
RESOLUTION NO. 95 -
REDUCING REQUIRED FINANCIAL GUARANTEE
EAGLEWOOD ADDITION (92110)
WHEREAS, in accordance with the development contract dated April 12, 1993, Argus Development,
Inc., developer of Eaglewood Addition (92110), has agreed to install certain improvements for said
development; and
WHEREAS, the developer has completed a portion of the street, utility and site grading as noted below;
and
WHEREAS, the developer has requested a reduction of the financial guarantee to reflect the completed
work;
NOW, THEREFORE, BE IT HEREBY RESOLVED BY THE CITY COUNCIL OF THE CITY OF
PLYMOUTH, MINNESOTA; that the financial guarantee requirements are reduced as follows:
ITEM ORIGINAL NEW
AMOUNT AMOUNT
Street Construction 109,519 0 -
Sanitary Sewer 58,962 0-
Watermain 411270 70 -
Storm Sewer 61,826 0-
Boulevard and Drainage Swale Sod 7,400 1,200
Mitigation Pond Construction 4,180 836
Street Signs (3 x 200) 600 0-
Site Grading and Drainage Improvements 111,928 0-
Park and Trail Improvements 4,449 0-
Setting Iron Monuments 3,000 0-
Design, Administration, Inspection, As-Builts 48.376 244
TOTAL 451,510 2,280
That the letter of credit required for the above items be reduced as detailed above from $3,624 to $2,280
to reflect the completed work. Letter of Credit No. SA 89401094 may be reduced accordingly.
RESOLUTION NO. 95-
EAGLEWOOD ADDITION (92110)
Page Two
FURTHER BE IT RESOLVED that the financial guarantee requirements for the following items per
Section 8.1 of the approved development contract be reduced as follows:
ITEM ORIGINAL NEW
AMOUNT AMOUNT
Maintenance of Erosion and Sediment
Control Plan Street Sweeping and Storm
Sewer Cleaning
Cash: $1,000 $1,000
Letter of Credit No. 214: $17,600 $4,400
Adopted by the City Council on December 19, 1995
Agenda Number: 6 _ M
DATE: December 11, 1995 for the City Council Meeting of December 19, 1995
TO: Dwight D. Johnson, City Manager through
Fred G. Moore, P.E., Director of Public Works
FROM: Daniel L. Faulkner, P.E. City Engineer
SUBJECT: ACCEPT PETITIONS, ORDER PRELIMINARY ENGINEERING REPORTS,
RECEIVE REPORTS, AND ORDER STREET LIGHT PROJECTS
WESTBRANCH 3RD ADDITION AND
NANTERRE ADDITION
ACTION REQUESTED: Make a motion to adopt the attached resolutions to accept the
petitions, order Preliminary Engineering Reports, receive reports, and order street light
projects for West Branch 3rd Addition and Nanterre Addition.
BACKGROUND: We have received petitions from Bill Pritchard of Orrin Thompson Homes
requesting installation of street lights in Westbranch 3rd Addition and from James Fenning of
Weston Corporation requesting installation of street lights in Nanterre Addition and have
prepared reports for the projects.
RECOMMENDATIONS AND CONCLUSIONS: I recommend the City Council adopt the
attached resolutions accepting the petitions, ordering the Preliminary Engineering Reports,
receiving the reports, and order street light projects for Westbranch 3rd Addition, and
Nanterre Addition.
r
c -t),4,
7 -
e: t l
Daniel L. Faulkner, P.E.
attachments: Resolutions
Petitions
Preliminary Engineering Reports
Maps
WMNAMMOC
CITY OF PLYMOUTH
RESOLUTION NO. 95 -
DECLARING ADEQUACY OF PETITION AND
ORDERING PREPARATION OF REPORT
STREET LIGHTING
WESTBRANCH 3RD ADDITION
WHEREAS, a petition has been received from the developer requesting installation of
ornamental residential street lighting in the Westbranch 3rd Addition.
NOW, THEREFORE, BE IT HEREBY RESOLVED BY THE CITY COUNCIL OF
THE CITY OF PLYMOUTH, MINNESOTA:
1. A certain petition requesting the improvement of Westbranch 3rd Addition by the
installation of residential ornamental street lighting, filed with the City Council on
December 19, 1995 is hereby declared to be signed by the required percentage of
owners of property affected thereby. This declaration is made in conformance to
Minnesota Statutes Section 429.035.
2. The petition is signed by 100 % of the affected property owners and they have
waived their rights to public improvement and special assessment hearings.
3. The petition is hereby referred to the City Engineer and he is instructed to report to
the City Council with all convenient speed advising the Council in a preliminary
way as to whether the proposed improvement is feasible and as to whether it should
best be made as proposed or in conjunction with some other improvement and the
estimated cost of the improvement as recommended.
Adopted by the City Council on December 19, 1995.
WESrB.DOC
CITY OF PLYMOUTH
RESOLUTION NO. 95 -
RECEIVING REPORT AND ORDERING PROJECT
STREET LIGHTING
WESTBRANCH 3RD ADDITION
WHEREAS, pursuant to a resolution of the Council adopted December 19, 1995 a
report has been prepared by the City Engineer with reference to the improvement of
Westbranch Addition by the installation of ornamental residential street lights and this
report was received by the Council on December 19, 1995.
NOW, THEREFORE, BE IT HEREBY RESOLVED BY THE CITY COUNCIL OF
THE CITY OF PLYMOUTH, MINNESOTA:
1. The City Council finds and determines that said petition was signed by
all the owners of real property within the plat named as the location of
the improvements.
2. Such improvement is hereby ordered as proposed in the Council
resolution adopted December 19, 1995. The petitioners have waived
their right to a public hearing.
3. The City Engineer is hereby designated as the engineer for these
improvements. He shall coordinate the work which will be done by
Northern States Power Company.
Adopted by the City Council on December 19, 1995.
WESfB.DOC
CITY OF PLYMOUTH
RESOLUTION NO. 95 -
DECLARING ADEQUACY OF PETITION AND
ORDERING PREPARATION OF REPORT
STREET LIGHTING
NANTERRE ADDITION
WHEREAS, a petition has been received from the developer requesting installation of
ornamental residential street lighting in the Nanterre Addition.
NOW, THEREFORE, BE IT HEREBY RESOLVED BY THE CITY COUNCIL OF
THE CITY OF PLYMOUTH, MINNESOTA:
1. A certain petition requesting the improvement of Nanterre Addition by the
installation of residential ornamental street lighting, filed with the City Council on
December 19, 1995 is hereby declared to be signed by the required percentage of
owners of property affected thereby. This declaration is made in conformance to
Minnesota Statutes Section 429.035.
2. The petition is signed by 100% of the affected property owners and they have
waived their rights to public improvement and special assessment hearings.
3. The petition is hereby referred to the City Engineer and he is instructed to report to
the City Council with all convenient speed advising the Council in a preliminary
way as to whether the proposed improvement is feasible and as to whether it should
best be made as proposed or in conjunction with some other improvement and the
estimated cost of the improvement as recommended.
Adopted by the City Council on December 19, 1995.
NAWERRE.DOC
CITY OF PLYMOUTH
RESOLUTION NO. 95 -
RECEIVING REPORT AND ORDERING PROJECT
STREET LIGHTING
NANTERRE ADDITION
WHEREAS, pursuant to a resolution of the Council adopted December 19, 1995 a
report has been prepared by the City Engineer with reference to the improvement of
Nanterre Addition by the installation of ornamental residential street lights and this
report was received by the Council on December 19, 1995.
NOW, THEREFORE, BE IT HEREBY RESOLVED BY THE CITY COUNCIL OF
THE CITY OF PLYMOUTH, MINNESOTA:
1. The City Council finds and determines that said petition was signed by
all the owners of real property within the plat named as the location of
the improvements.
2. Such improvement is hereby ordered as proposed in the Council
resolution adopted December 19, 1995. The petitioners have waived
their right to a public hearing.
3. The City Engineer is hereby designated as the engineer for these
improvements. He shall coordinate the work which will be done by
Northern States Power Company.
Adopted by the City Council on December 19, 1995.
NAWERRE.DOC
PRELI IINARY ENGINEERING REPORT
ORNAMENTAL RESIDENTIAL STREET LIGHTING SYSTEM
WESTBRANCH 3RD ADDITION
Attached to this report is a petition received from the developer and/or property
owners of 100% of the property known as Westbranch 3rd Addition requesting street lights.
The project consists of the installation of ornamental street lights for the plat with
the lights to be placed at the locations shown on the attached map.
There are three (3) lights at a monthly cost of $15.05 per light for a total cost of
50.85 per month, including sales tax and contingencies at $.10 per lot. The project would
be billed on a monthly basis to all the lots in the addition, a total of 26 lots, which results in
an estimated cost of $1.96 per lot per month.
The rate quoted above is dependent upon the operating cost for Northern States
Power Company under contract franchise with the City of Plymouth.
The lights will be their standard "traditional" post top unit mounted on a fiberglass
pole and the wiring will be underground from the transformer.
The project is feasible and should be undertaken as outlined above.
Reg. No
Daniel L. Faulkner 19956
DATED: December 19, 1995
WESfB.DOC
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My OF PLYMOUTH
PETITION FOR STREET LIGHTiING
We, the undersigned, do hereby peition the City of Plymouth, Mayor and Council for the installation ofstreetlightsinthefollowingarea;
LOTS 12-30, BLOCK 3; LOTS 5,6,7, 22,23 AND 24, BLOCK 3 WESTBRANCH 3RD ADDITION
We do hereby waive our right to public improvement hearings and special assessment hearings on thisimprovement.
TAN
WILLIAM PRITCHARD
ORRIN THOMPSON HOMES
8421 WAYZATA BLVD.
GOLDEN VALLEY, MN 55426
NOVEMBER28, 19
DM=10
PRELIMINARY ENGINEERING REPORT
ORNAMENTAL RESIDENTIAL STREET LIGHTING SYSTEM
NANTERRE ADDITION
Attached to this report is a petition received from the developer and/or property
owners of 100% of the property known as Nanterre Addition requesting street lights.
The project consists of the installation of ornamental street lights for the plat with
the lights to be placed at the locations shown on the attached map.
There are eleven (11) lights at a monthly cost of $15.05 per light for a total cost of
181.10 per month, including sales tax and contingencies at $.10 per lot. The project
would be billed on a monthly basis to all the lots in the addition, a total of 45 lots, which
results in an estimated cost of $4.02 per lot per month.
The rate quoted above is dependent upon the operating cost for Northern States
Power Company under contract franchise with the City of Plymouth.
The lights will be their standard "traditional" post top unit mounted on a fiberglass
pole and the wiring will be underground from the transformer.
The project is feasible and should be undertaken as outlined above.
i1cL I GL c Reg. No
Daniel L. Faulkner 19956
DATED: December 19, 1995
NANCPREL.DOC
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CITY OF PLYMOUTH
PETITION FOR STREET LIGHTING
We, the undersigned, do hereby peition the City of Plymouth, Mayor and Council for the installation of
street lights in the following area:
X10, v\ A -e r +, e. C i nj. o ' P l ww v %-
i u 2 n e p Lo- C v
We do hereby waive our right to public improvement hearings and special assessment hearings on this
improvement.
10..es 0• F2 -t
ADDRESS DATE
11- 2--7 - 19q5-
r
R
Agenda Number: ?-A
TO: Dwight Johnson, City Manager
elvtom..
FROM: Edward GoldsmithJHRA Supervisor through Anne Hurlburt, Community
Development Director
SUBJECT: Public Hearing and Consideration of Preliminary Resolution Approving the
Issuance of Approximately $11,500,000 in Multifamily Housing Revenue
Bonds for Fox Forest Apartments
DATE: December 11, 1995 for the City Council Meeting of December 19, 1995
1. PROPOSED MOTION: That the City Council adopt the attached resolution adopting an
amended and restated housing program for the issuance of multifamily housing revenue
bonds for the Fox Forest Apartments Project and giving preliminary approval for same.
2. BACKGROUND: Fox Forest Apartments is a 160 unit rental townhome complex at
Magnolia Lane and Eighteenth Avenue North that was built in 1985. The City originally
issued $9,190,000 in housing revenue bonds for this complex in 1984 and subsequently
issued new bonds in 1989 for $8,600,000 to refund the original issue. The proposed bond
issue would consist of $8,440,000 in tax exempt housing revenue refunding bonds and up
to $3,060,000 in taxable housing revenue bonds for a total bond issue of $11,500,000.
This refinancing is part of a restructuring of the ownership of the complex.
3. DISCUSSION: The City is under no obligation to refund the bonds for this complex. The
terms under which the original bonds were issued provided for 20 % of the units at Fox
Forest to be occupied by persons at or below 80 % of the metropolitan median income for a
period of ten years. This ten year period recently expired, however a refunding of the
bonds would extend this period for an additional six years. Staff has been discussing with
representatives of the owner the City's need for rental housing that is affordable to families
at and below 50% of median income. Base rents at Fox Forest are approximately $400 to
575 per month above what is affordable to a family at 50% of median income. The
owner's representatives have indicated that they do not consider it to be practical to provide
such affordable units at this complex. As an alternative to providing such units at Fox
Forest, staff and the City's Bond Counsel have negotiated a commitment from the owner to
provide to the City's HRA $30,000 per year for the life of the bonds to be used to assist
affordable housing in the City. These payments would be part of their required payment to
the bond trustee, who would remit the funds annually to the HRA. Failure by the owner to
make these payments would result in a default under the bond agreements, subject to the
appropriate remedies. Under the terms of the bond sale, these payments would be made
for a minimum of ten years and a maximum of twenty years. Consideration of final
approval by the Council for the bond sale is expected to occur next month.
3. BUDGET MWACT: As with other revenue bond issuances of the City, there would be
no financial liability for the City. However, as indicated above, the City's HRA would
receive $30,000 per year for a minimum of ten years and a maximum of twenty years to be
used to assist affordable housing in Plymouth. In addition to application and bond fees
paid to the City, all costs of the bond issue are paid by the applicant. However, the City's
good name and reputation would be connected to this issuance.
4. RECOMMENDATION: After holding the scheduled public hearing, that the Council
adopt the attached resolution, prepared by Bond Counsel, adopting an amended and
restated housing program for the issuance of multifamily housing revenue bonds for the
Fox Forest Apartments Project and giving preliminary approval for same.
ATTACHMENTS:
1. Draft Council Resolution
CITY OF PLYMOUTH
COUNTY OF HENNEPIN
STATE OF MINNESOTA
RESOLUTION NO.
ADOPTING AN AMENDED AND RESTATED
HOUSING PROGRAM FOR THE ISSUANCE OF
MULTIFAMILY HOUSING REVENUE BONDS AND
GIVING PRELIMINARY APPROVAL FOR THE
ISSUANCE OF MULTIFAMILY HOUSING REVENUE
BONDS IN AN AGGREGATE PRINCIPAL AMOUNT
OF APPROXIMATELY $11,500,000.
WHEREAS, pursuant to the Minnesota Municipal Housing Act, Minnesota
Statutes, Chapter 462C (the "Act"), the City of Plymouth (the "City") is authorized to
carry out housing programs for the financing of multifamily housing developments
including the payment of interest on taxable and tax exempt bonds, the establishment of
reserves to secure such bonds and the payment of all other expenditures of the City
incident to and necessary or convenient to carry out such program; and
WHEREAS, the City has previously adopted a program relating to the hereinafter
defined Project; and
WHEREAS, the City has determined to amend and restate such program to
provide for the issuance of additional bonds with respect to the Project (the "Program");
and
WHEREAS, the Act requires adoption of the Program after a public hearing held
thereon after publication of notice in a newspaper of general circulation within the City at
least fifteen (15) days in advance of the hearing; and
WHEREAS, the City on this date conducted a public hearing on the Program,
after publication of notice as required by the Act; and
WHEREAS, the- Progtam provides for the issuance of multifamily housing
revenue refunding bonds in an aggregate principal amount of approximately $8,440,000
and taxable multifamily housing revenue bonds in an aggregate principal amount of
approximately $3,060,000 to refinance a 160 -unit multifamily rental housing
development located at 1796 Magnolia Lane within the City (the "Project").
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of
Plymouth, Minnesota, as follows:
1. The Program, as amended and restated, for the Project is hereby in all
respects adopted.
2. The City hereby ratifies the prior publication of the notice of public
hearing.
3. The City staff, its consultants and bond counsel are hereby authorized to
do all things and take all actions as may be necessary or appropriate to carry out the
Program in accordance with the Act and any other applicable laws and regulations.
4. The issuance of approximately $8,440,000 principal amount of
multifamily housing revenue refunding bonds and approximately $3,060,000 principal
amount of taxable multifamily housing revenue refunding bonds pursuant to the Program
to finance the Project is hereby given preliminary approval.
5. Notwithstanding the foregoing, however, the adoption of this resolution
shall not be deemed to establish a legal obligation on the part of the City or its City
Council to issue or cause the issuance of such revenue bonds. The City retains the right
in its sole discretion to withdraw from participation and accordingly not to issue the
Bonds, or to issue the bonds in an amount less than the amount referred to in this
resolution, should the City, at any time prior to issuance thereof, determine that it is in the
best interests of the City not to issue the bonds, or to issue the bonds in an amount less
than the amount referred to in this resolution, or should the parties to the transaction be
unable to reach agreement as to the terms and conditions of any of the documents
required for the transaction. The Bonds, if issued, shall not constitute a charge, lien or
encumbrance, legal or equitable, upon any property of the City, except the revenues
specifically pledged to the payment thereof, and each Bond, when, as and if issued, shall
recite in substance that the Bond, including interest thereon, is payable solely from the
revenues and property specifically pledged to the payment thereof and shall not constitute
a debt of the city within the meaning of any constitutional or statutory limitations.
Agenda Number: ?-
DATE: December 11, 1995 for the City Council Meeting of December 19, 1995
TO: Dwight D. Johnson, City Manager through
Fred G. Moore, P.E., Director of Public Works
FROM: Daniel L. Faulkner, P.E. City Engineer
SUBJECT: AUTHORIZE THE VACATION OF DRAINAGE AND UTILITY EASEMENTS
WITHIN LOTS 4, 5, 6, 7, AND 8, BLOCK 4
HOLLY CREEK 3RD ADDITION
ACTION REQUESTED: Make a motion to adopt the attached resolution authorizing vacation
of drainage and utility easements within lots 4, 5, 6, 7, and 8, Block 4, Holly Creek 3rd
Addition.
BACKGROUND: The City Council has established a public hearing for December 19, 1995
based on a petition submitted by Paul G. McGinley of Loucks and Associates to vacate drainage
and utility easements within Lots 4, 5, 6, 7, and 8, Block 4, Holly Creek 3rd Addition.
Scherber properties has received council approval for the final plat of Holly Creek 4th Addition
95027) which incorporates Lots 4, 5, 6, 7, and 8, Block 4, Holly Creek 3rd Addition. The
easements in their current location will no longer be necessary. The required drainage and utility
easements will be dedicated on the final plat of Holly Creek 4th Addition. Also included is a
condition of approval resolution stating that the vacation will not be filed with Hennepin County
until the final plat of Holly Creek 4th Addition is recorded at Hennepin County.
RECOMMENDATIONS AND CONCLUSIONS: Unless new information is submitted at the
public hearing, I recommend the City Council adopt the attached resolution vacating the drainage
and utility easements within Lots 4, 5, 6, 7, and 8, Block 4, Holly Creek 3rd Addition and the
resolution setting conditions.
Daniel L. Faulkner, P.E.
attachments: Resolutions
Map
AU MHOUMOC
CITY OF PLYMOUTH
RESOLUTION NO. 95 -
AUTHORIZING THE VACATION OF
DRAINAGE AND UTILITY EASEMENTS IN
HOLLY CREEK 3RD ADDITION
WHEREAS, a petition was received to vacate certain drainage and utility easements in Holly Creek 3rd
Addition; and
WHEREAS, said petition was signed by a majority of the owners of the land abutting the area proposed to
be vacated; and
WHEREAS, a public hearing with respect to said vacation was scheduled for December 19, 1995 in
accordance with Minnesota Statutes 412.851 and the City Charter Section 12.06; and
WHEREAS, a notice of publication of said hearing was published and posted two weeks prior to the
meeting of December 19, 1995; and
WHEREAS, all property owners adjacent to the proposed vacation were duly notified by mail; and
WHEREAS, the Council did hold a public hearing on December 19, 1995 to inform any and all interested
parties relevant to the vacation of drainage and utility easements in Holly Creek 3rd Addition; and
WHEREAS, it was determined by the City Council that said easements were not needed for public
purposes;
NOW, THEREFORE, BE IT HEREBY RESOLVED BY THE CITY COUNCIL OF THE CITY OF
PLYMOUTH, MINNESOTA: That the following drainage and utility easements be vacated:
Those parts of the drainage and utility easements dedicated by and shown in Block 4, HOLLY CREEK
3RD ADDITION, Hennepin County, Minnesota, described as follows:
Those parts of the south 10.00 feet and the north 6.00 feet of Lot 8, said Block 4, lying
west of the east 10.00 feet thereof and lying east of the west 20.00 feet thereof,
together with those parts of the south 6.00 feet and the north 6.00 feet of Lot 7, said Block
4, lying west of the east 10.00 feet thereof and lying east of the west 20.00 feet thereof,
together with those parts of the south 6.00 feet and the north 6.00 feet of Lot 6, said Block
4, lying west of the east 10.00 feet thereof and lying east of the west 20.00 feet thereof,
together with those parts of the south 6.00 feet and the northerly 6.00 feet of Lot 5, said
Block 4, lying west of the easterly 10.00 feet thereof and lying easterly of that line labeled
survey line" on said Lot 5,
together with that part of the southerly 6.00 feet of Lot 4, said Block 4, lying westerly of
the southeasterly 10.00 feet thereof and lying easterly of that line labeled "survey line" on
said Lot 4.
Adopted by the City Council on December 19, 1995.
HOLLYCRIDOC
RESOLUTION 95 -
Page 2
STATE OF MINNESOTA)
COUNTY OF HENNEPIN) SS.
The undersigned, being the duly qualified and appointed City Clerk of the City of Plymouth, Minnesota,
certifies that I compared the foregoing resolution adopted at a meeting of the Plymouth City Council on
with the original thereof on file in my office, and the same is a correct
transcription thereof.
WITNESS my hand officially as such City Clerk and the Corporate seal of the City this .day
of
City Clerk
CITY OF PLYMOUTH
RESOLUTION NO. 95 -
SETTING CONDITIONS TO BE MET PRIOR TO
FILING OF RESOLUTION NO. 95 -
VACATING DRAINAGE AND UTILITY EASEMENTS WITHIN
HOLLY CREEK 3RD ADDITION
WHEREAS, the City Council has authorized the vacation of drainage and utility
easements within Holly Creek 3rd Addition by Resolution No. 95 -
NOW, THEREFORE, BE IT HEREBY RESOLVED BY THE CITY COUNCIL
OF THE CITY OF PLYMOUTH, MINNESOTA: That said resolution shall not be
filed until the final plat of Holly Creek 4th Addition is recorded at Hennepin
County.
Adopted by the City Council on December 19, 1995.
HOLLYCRK.DOC
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Agenda Number: 61 - i
TO: Mayor and City Council
FROM: Dwight D. Johnson, City Manager
SUBJECT: Calling for special election on recreation facilities
DATE: December 13, 1995
1. ACTION REQUESTED: Approve the attached resolution approving a question to be
submitted to the voters of Plymouth at a special election on February 6, 1996 for the
purpose of authorizing the expenditure of $5,000,000 from the Community Improvement
Fund to design, construct, and equip indoor ice arena facilities and swimming facilities.
2. BACKGROUND: The Sports Facilities Task Force has recently completed its work
and has identified the need for ice arena facilities and swimming facilities as top priorities
for the community. Staff research on the cost of ice arenas indicates that the total cost of
design and construction may be $4,800,000. It is estimated that $800,000 of this amount
may be received in grants or donations to offset this cost. Swimming pool costs range
from $1.5 million on up, depending upon the type of pool and size. The City has
identified other existing City funds that could be used to complete a recreation project.
School District 284 has indicated some interest in financial participation with the City in
the construction of pool facilities instead of building and operating its own separate facility
at one of its schools. The high school referendum approved last May earmarked
1,500,000 of school funds for swimming facilities.
The City has also received interest from private health/fitness clubs to construct facilities in
coordination with the City. Discussions with one club are still continuing.
3. ALTERNATIVES: The City may choose to construct facilities, or choose not to
construct any new facilities at this time. Construction of new facilities will entail the costs
noted above for construction. Choosing not to construct the new facilities will mean that
Plymouth residents will continue to spend $600,000 per year for ice arena facilities
elsewhere during inconvenient hours at long distances from Plymouth.
W&
4. DISCUSSION: The City Charter requires approval by the voters for any expenditure of
funds from the Community Improvement Fund that exceeds $3.0 million. The proposed
expenditure of $5,000,000 would still leave about half of the fund remaining for future use.
Attached is a spreadsheet with the estimated revenues for the Community Improvement Fund
and a copy of the financial planning memorandum first issued in January, 1995.
The proposed ballot language specifies the amount and the uses of the funds, and makes clear
that the proposed funds are existing funds on hand with the City. It further clarifies that this
measure is not a proposal for a bond issue and will not entail a tax increase to pay bonded
indebtedness.
The February 6, 1996 date is the earliest Tuesday date allowed by law, which requires a 45
day time period between the calling of the election and the voting.
5. BUDGET IMPACT: It is expected that there will be revenues from the project
sufficient to pay for the out-of-pocket costs of operation. Therefore, no impact on the City's
tax rate is anticipated.
6. RECOMMENDATION: I recommend that the Council approve the ballot question and
establish February 6, 1996 as the date of the special election to approve the use of Community
Improvement Funds for these purposes.
City of Plymouth
3400 Plymouth Boulevard
Plymouth, Minnesota 55447
Resolution No. 95 -
CALLING FOR A SPECIAL ELECTION RELATING TO THE EXPENDITURE
OF COMMUNITY IMPROVEMENT FUNDS AND OTHER FUNDS
WHEREAS, the City Council of the City of Plymouth has determined it is in the
best interest of the City to expend $5,000,000 from the Community Improvement and
other funds in order to finance the design, construction and equipping of an ice arena,
swimming pools and related site improvements; and
WHEREAS, pursuant to the City's Home Rule Charter (Section 7.14, subd.3)
requires that a majority of voters in a regular or special election approve an expenditure
from the Community Improvement Fund which exceeds $3,000,000;
WHEREAS, pursuant to the City's Home Rule Charter and Minnesota Statutes,
Chapter 205, as amended, ("Chapter 205"), the City may call a special election for the
purpose of voting on this matter;
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF
THE CITY OF PLYMOUTH, MINNESOTA AS FOLLOWS:
1. The City Council hereby calls for a special election to be held pursuant to the
City's Home Rule Charter on Tuesday, February 6, 1996, from 7:00 AM to 8:00 PM
relating to the authorization by the electors to expend funds from the Community
Improvement Fund and other funds.
2. The question to be voted on shall read as follows:
SHALL THE CITY OF PLYMOUTH BE AUTHORIZED TO SPEND
UP TO $5,000,000 FROM THE COMMUNITY IMPROVEMENT FUND,
TO BE COMBINED WITH OTHER FUNDS, FOR THE PURPOSE OF
DESIGNING, CONSTRUCTING, AND EQUIPPING A FACILITY
INCLUDING AN INDOOR ICE ARENA, SWIMMING POOLS, AND
RELATED SITE RVIPROVEMENTS? THESE ARE FUNDS ON HAND
AND A TAX INCREASE WILL NOT BE NEEDED TO PAY BONDED
INDEBTEDNESS FOR THIS PROJECT.
3. The City is hereby directed to (1) publish and post the notice of the
election, substantially in the form attached hereto as Exhibit A; (ii)post the sample
ballot; and (iii) provide written notice of the election to the County Auditor of the
County of Hennepin, all as provided by Chapter 205.
EXHIBIT A
FORM OF NOTICE
NOTICE OF SPECIAL ELECTION
CITY OF PLYMOUTH, MINNESOTA
NOTICE IS HEREBY GIVEN, that a special election has been called and will be
held in and for the City of Plymouth, State of Minnesota, on Tuesday, the 6th day of
February, 1996, for the purpose of voting on the following question:
SHALL THE CITY OF PLYMOUTH BE AUTHORIZED TO SPEND
UP TO $5,000,000 FROM THE COMMUNITY IMPROVEMENT
FUND, TO BE COMBINED WITH OTHER FUNDS, FOR THE
0 YES PURPOSE OF DESIGNING, CONSTRUCTING, AND EQUIPPING A
FACILITY INCLUDING AN INDOOR ICE ARENA, SWIMMING
0 NO POOLS, AND RELATED SITE IMPROVEMENTS? THESE ARE
FUNDS ON HAND AND A TAX INCREASE WILL NOT BE NEEDED
TO PAY BONDED INDEBTEDNESS FOR THIS PROJECT.
INSTRUCTIONS TO VOTERS: Voters desiring to vote in favor of the above
proposition place a cross mark (X) in the square opposite the word "YES" next to that
proposition. Voters desiring to vote against the above proposition place a cross mark (X)
in the square opposite the word "NO" next to that proposition.
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CITY OF PLYMOUTH
3400 PLYMOUTH BOULEVARD, PLYMOUTH, MN 55447
DATE: January 12, 1995
TO: Mayor and City Council
FROM: Dwight D. Johnson, City Manager
SUBJECT: Financial Planning for Future Capital Needs
BACKGROUND: At the January 3, 1995 study session, Council members requested
that staff explore future capital needs in relation to present and future available capital
funds. The immediate issue relates to alternative concepts for improving the CityCouncilChambers. However, interest in accelerating our trail development was
expressed at our budget work sessions last August and the work of the Open Space
subcommittee also requires a long range view of our capital financing.
ASSUMPTIONS: The City's capital financing plans are quite diverse and
complicated. Many of the items noted below need further study. themselves.
However, staff believes that the following simplifying assumptions are reasonable
within the big picture context of this memorandum.
Capital Improvement Program. It is assumed that the approved CIP is fully funded
through 1998 from existing revenue sources.
Road Improvements. Road improvements not in the CIP, including signals, bridges
and other related projects, will be funded by available MSA and TIF funds, and
will not absorb funding from other sources.
Street Reconstruction. It is assumed that current funding sources for the street
reconstruction program are adequate for the next ten years; however, beyond 2005,
additional resources may be necessary. The projections beyond 2005 will require
further review.
Water and Sewer Improvements. Any water and sewer improvements will be
funded by the Utility Trunk Fund or other utility reserve funds.
Surface Water Management Projects, including future water quality projects, will
be funded from the Stormwater Utility Fund and/or a future surface water utilityfee.
Parks. The completion of the City's planned park system and much of the
currently planned trail system can eventually be funded through present and future
park dedication fees.
Reserves. It is assumed that it would be financially risky to spend all of the
undesignated funds in a short period of time. Staff believes that it would be wise to
reserve about $5 million of the Community Improvement Fund for unknown future
needs or opportunities as well as $1 million of the Project Administration Fund,
which helped fund our wetland studies in 1994 and will be funding our Northwest
Plymouth and Thoroughfare Guide Plan Studies in 1995.
Council Chambers. The scenario shown below does not provide for the larger
Council Chamber lobby expansion alternative.
AVAILABLE SOURCES OF FUNDS: The following chart shows the estimated
available balances from all undesignated City funds.
Community Improvement Fund
CIF)
Project Administration Fund
Permanent Improvement Revolving
Cable TV Reserve Fund
Projected
Balance
2,700,000
2,900,000
750,000
510.000
Proposed
Reserve
5,000,000
1,000,000
Available
Balances
7,700,000
1,900,000
750,000
510.000
1610860,000 6,000,000 10,860,000
POSSIBLE FUTURE PROJECTS AND UNDESIGNATED BALANCES
With these assumptions in place, it is now possible to analyze future projects and
undesignated balances. This chart below shows only one of many possible scenarios
and much more work needs to be done on this long range planning effort. With the
exception of the Cable TV Fund, any of the funds could be used for any of the listed
projects. We have attempted to show by the arrangement of the chart how some funds
could reasonably be aligned with certain projects or groups of projects. We are not
sure if Cable TV funds could be used for unrelated purposes without further review of
our franchise agreement and other documents.
Project Cost Available Balances
Trail Construction (unfunded) 1,000,000 Bond Issue or CIF $7,700,000
Open Space acquisition 3,000,000 it
Swimming Pool 3,000,000 if
Ice Arena 3,000,000 to
Field House 1,750,000 It
Gym Spaces 1,000,000
Senior Center 1,500,000 of
Subtotal 1411250,000 7,700,000 with no bond issues
Fourth Fire Station $1,900,000 Project Administration Fund
1,900,000
Council Chambers project $510,000 Cable TV Funds $510,000
Replacement of existing Permanent Improvement Revolving
facilities and equipment $750,000 Fund $750,000
Municipal Golf Course ? (Might repay its capital costs with fees)
Totals $17,410,000 $10,860,000 with no bond issues.
COI\EVT,NTS: The projects shown are not a part of any approved plans. The staff
does not represent that all of the projects will necessarily be needed in the future, but
rather presents a list of projects that have a reasonable possibility of being needed at
some future date. The cost estimates are only staff estimates based upon similar
projects in other cities.
This brief analysis seems to show that some bonding might be needed sooner or later if
the City decides that most of the projects will be needed at some point. Both the
project list and the assumptions in this memorandum should be discussed with the
Council in more detail at future study sessions. The chart is simply intended to give
the Council the best currently available perspective on the immediate financial issues at
hand relating to the Council Chambers renovation and the Open Space Committee
recommendations.
FUTPROJ.XLS
Pape 1
POSSIBLE FUTURE PROJECTS AND UNDESIGNATED FUND BALANCE
Original Projection
Available Funding Source
Project Cost and Balances
Trail Construction 1,000,000 Bond or CIF, $7,700,000
Open Space Acquisition 3,000,000 Bond or CIF, $7,700,000
Swimming Pool 3,000,000 Bond or CIF, $7,700,000
Ice Arena 3,000,000 Bond or CIF, $7,700,000
Field House 1,750,000 Bond or CIF, $7,700,000
Gym Spaces 1,000,000 Bond or CIF, $7,700,000
Senior Center 1,500,000 Bond or CIF, $7,700,000
Subtotal 14,250,000 7,700,000 with no bond issues
Fourth Fire Station
Council Chambers
1,900,000
510,000
Project Administration, $1,900,000
CATV Fund, $510,000
Replace equip/facilities 750,000 PIR Fund, $750,000
Municipal Golf Course Might repay capital with fees
Total 17,410,000 10,860,000 with no bond issues
POSSIBLE FUTURE PROJECTS AND UNDESIGNATED FUND BALANCE
Option 3—$2,000,000 bond issue for open space and trails, plus $1,000,000 from CIF
Funding Sources
Project Cost and Balances
Swimming Pool 3,000,000 Bond or CIF, $6,700,000
Ice Arena 3,000,000 Bond or CIF, $6,700,000
Field House 1,750,000 Bond or CIF, $6,700,000
Gym Spaces 1,000,000 Bond or CIF, $6,700,000
Senior Center 1,500,000 Bond or CIF, $6,700,000
Subtotal 10,250,000 6,700,000 with no bond issues
Fourth Fire Station
Council Chambers
1,900,000
510,000
Project Administration, $1,900,000
CATV Fund, $510,000
Replace equip/facilities-----i750,000 PIR Fund, $750,000
Municipal Golf Course Might repay capital with fees
Total 13,410,000119,860,000 with no bond issues
Pape 1
Agenda Number: 8...8
TO: Mayor and City Council
FROM: Dwight D. Johnson, City Manager
SUBJECT: Response to Letter of Intent from Life Time Fitness Club
DATE: December 13, 1995
1. ACTION REQUESTED: Approve the letter of intent from FCA, Ltd. dba Life Time
Fitness Club offering to construct facilities in cooperation with the City of Plymouth under
certain terms and conditions. Approval of this letter of intent shall not be a binding
agreement on the City of Plymouth, but shall form the basis for negotiations to continue on
a cooperative project.
2. BACKGROUND: The attached letter from FCA, Ltd., which develops and operates
Life Time Fitness Clubs throughout the Twin City area, offers to construct an
approximately 110,000 square foot health/fitness club on City land located in Downtown
Plymouth at 36th Avenue and Plymouth Boulevard. The letter offers to construct an
additional leisure pool and an outdoor pool in addition to their usual lap pool in
consideration of a payment of $1,500,000 by the City and assistance with certain outdoor
site improvements.
The letter also offers daily admission to the entire club facilities by all Plymouth residents
at a rate similar to that of other comparable public community centers. In addition the
letter states that the Club would own, operate, maintain, and market the pool facilities in
conjunction with the rest of the proposed club and guarantees no operating losses for the
City. Also, the letter offers construction coordination of the City's proposed ice arena
facilities and design services on the ice arena for a fee equal to six percent of the
construction cost.
The City Council has reviewed major elements of this proposal at special meetings on
November 27 and December 12, 1995.
3. ALTERNATIVES: The City can approve the letter as presented, approve the letter
with exceptions or modifications, reject the letter of intent, or postpone a decision.
Approving the letter as presented will allow design of the facilities to begin immediately,
will reasonably assure that the Club will be built in Downtown Plymouth, and will allow
negotiations to proceed on a binding agreement. Approving the letter with exceptions or
modifications may or may not allow progress to continue, depending on the exceptions and
FCA's response to them. Rejecting the letter will mean that the City will have to seek
other partners in the project or proceed on its own. Postponing action on the letter may
allow more information to be developed, but may risk not having the development occur in
Downtown Plymouth.
4. DISCUSSION: Since the City would construct the ice arena facility under the letter of
intent, the real issue is whether or not to invest $1,500,000 and some specified site
improvement work (probably with a net cost of $500,000 attributable to the Club
construction) in order to receive the following:
Construction of a large indoor leisure pool with water slide and with lifeguards
Construction of a small outdoor leisure pool with lifeguards
A reasonable daily fee admission to the entire club for all Plymouth residents.
No operating costs or deficits.
No maintenance costs.
Marketing with the overall club complex.
Construction coordination of entire project, including City ice arenas.
An agreement to provide these services for 30 years with provisions securing the
City's interest.
Minimal liability since the City would not own or operate the pools.
An outline of major features of the agreement and its impact on the City is attached.
At the December 12, 1995 special Council meeting, members of the Council asked that the
following items be addressed to Life Time Fitness Club:
1. Establish a ceiling on the debt of the Club at $4,000,000 unless the City approves.
2. Establish the specific formula that will determine the amount of the daily fee.
3. Add a provision that assures that Plymouth residents paying a daily fee will not be
discriminated against in using club facilities, making reservations, etc.
4. Add a standard arbitration clause in the event of disputes.
5. Establish a standard complaint procedure with the Club.
6. Provide for an annual meeting between the City and Life Time Fitness to review all
matters pertaining to the agreements.
7. Proceed with the checking of financial information about Life Time Fitness Clubs.
At a meeting with Life Time Fitness Clubs on the morning of Thursday, December 14th,
the preceding items were discussed. Verbal agreement was readily reached on items 3
through 7. Verbal agreement was also reached on item 1 with the provision that the City
shall not unreasonably withhold its approval. Roger Knutson was present at this meeting
and agrees to this change. Thus, we have agreement on six of the seven items.
On item 2, the daily fees, we provided them with a survey of fees at various public
community centers. In reaching a formula for the daily fees, much of the discussion
revolved around what other community centers are comparable to this proposal. One
complication is that other Community Centers have additional fees for water slide use,
lockers etc. which makes comparisons a little more difficult. We have general agreement
that the rates for children should be lower than for adults. Life Time will prepare a
specific proposal on daily fee rates which we expect to receive before our meeting on
Tuesday night. I will voice mail or fax the information to you when I receive it.
Roger Knutson and the attorney for Life Time will rewrite the letter of intent adding the
items agreed to above during the next several days.
The City's major risk factor is bankruptcy or other form of abandonment of the Club by
its owners. The letter of intent provides that the City could take over the entire Club area
for the cost of the outstanding debt on the property. A ground lease will also guarantee
compliance with certain operating standards and daily fee access for our residents. Over
the course of 30 years, the property may be sold in some form or another. The
agreements apply to any successors to Life Time Fitness. Also, the City will have the
right of first refusal on the property.
5. BUDGET EMPACT: The agreement would provide for no operating deficits for the
City, and therefore no negative budget impact on the City's operating budget.
The City's capital funds would be substantially conserved since Plymouth would be paying
about $2.0 million for daily public access to about $8 million of Club space area, assuming
the School District also agrees to participate financially in the construction of a competition
pool and a diving pool in addition to the two leisure pools.
6. RECOMMENDATION: Rarely does a City get an opportunity to leverage its money
with other public and private partners to this degree. None of the partners could fund a
major recreation complex on its own. But working together, the whole will surely exceed
the sum of the parts. Our citizens will gain access to a large recreational complex worth
8 million for 30 years, for an investment of about $2 million and the assurance of no
operating or maintenance costs. While this is not a public Community Center, and the
City will not exercise operating control over the Club area, this letter of intent provides an
outstanding value for our citizens. I recommend approval of it.
December 7, 1995
Dwight Johnson
City Manager
City of Plymouth
3400 Plymouth Road
Plymouth, MN 55447
Dear Mr. Johnson:
FCA, Ltd., a Minnesota corporation
FITNESS ("FCA"), proposes to design
center project on City -owned land
Boulevard in the City of Plymouth,
terms and conditions:
doing business as LIFE TIME
and develop a major recreation
near 36th Avenue and Plymouth
Minnesota, on the following
1. Ice Rink. The City intends to provide an ice arena
complex (the "Arena Complex") on its site, consisting of two (2)
indoor sheets of ice, seating for 800 spectators, and a total of
eight (8) team rooms. FCA will provide complete architectural
services to the City for six percent (6%) of the construction
contract amount. FCA will provide design specifications subject to
the City's approval and advertise for bids according to all laws
applicable to the City. The City will award the bid and FCA will
administer the construction contract on behalf of the City. The
Arena Complex will be made available to LIFE TIME FITNESS members
during public skating hours. The City will own, operate and
maintain the Arena Complex.
2. Club/Pool Complex.
a. Complex. FCA will design, construct, own, market,
maintain and operate at its sole expense, except as hereinafter
provided, an approximately 110,000 square foot LIFE TIME FITNESS
health club/pool complex (the "Club/Pool Complex") including, in
addition to the standard features of LIFE TIME FITNESS clubs:
i) a 25 meter, competition 8 -lane pool, which will
be made available without charge to Independent School
District No. 284 ("ISD 28411) teams when accompanied by
their coach. The Competition Pool will also be made
available for rent to local swim clubs at normal
commercial rates, subject to feasibility as determined by
FCA;
LMW97452
64476 fY%EST PARKWAY, SUITE 275 • EDEN PRAIRIE • MN • 55344 • PHONE 612.947.0000 FAX 612.947.0077
Mr. Dwight Johnson
Page 2
December 7, 1995
ii) a diving pool, which will be made available to
ISD 284 teams when accompanied by their coach;
iii) a large, preeminent quality, indoor leisure
pool, incorporating a custom rock wall, large plantings,
ozone pool filtering system, customized acoustics, and a
large water slide and other play features;
iv) a whirlpool;
v) a small outdoor leisure pool with outdoor deck
and retractable or sliding windows; and
vi) larger than usual family locker rooms.
b. Residential Use Covenant. The Club/Pool Complex
will be available to all residents of the City of Plymouth on
a daily fee basis that will be no higher than that charged for
comparable public community centers in the metro area.
Subject to feasibility as determined by FCA, the Club/Pool
Complex will similarly be made available to residents of ISD
284.
C. Operations. The Club/Pool Complex will be
marketed, maintained, and operated without cost to the City by
FCA. FCA will provide lifeguards for the leisure pool and the
outdoor pool areas as a part of its operations.
d. Site Development. FCA will pay for the cost of all
site lighting, parking lot construction including bituminous
surfacing, outdoor signage, and curb cuts and gutters. The
City will be responsible for the construction of the NURP pond
and any mitigation or reclamation of wetlands. The City will
provide the land for the Club/Pool Complex and 600 parking
spaces, and will be responsible for all other necessary site
work for the entire project, including site clearing, grading,
earthwork, subbase for parking surface, construction of the
Traffic Circle on Plymouth Boulevard and 36th Avenue, drain
tile, site utilities, fencing, landscaping, and providing a
buildable pad for the Club/Pool Complex.
e. Capital Contributions. The City and the ISD 284
will each contribute One Million Five Hundred Thousand and
no/100 Dollars ($1,500,000.00) toward the cost of construction
of the Club/Pool Complex. As an option, FCA will include a
third gym in the Club/Pool Complex (in addition to its
standard 2 gyms) to be made available to Plymouth residents
and City programs as determined by the City for payment of an
additional Five Hundred Thousand and no/100 Dollars
500,000.00). LIFE TIME FITNESS members may use the third
gym when it is not in use by the City. FCA shall be
responsible for any excess construction costs for the
Club/Pool Complex. In the event ISD 284 does not participate,
LMW97452
FC100-18
Mr. Dwight Johnson
Page 3
December 7, 1995
the competition pool will be replaced by the standard LIFE
TIME FITNESS lap pool, the diving pool shall be eliminated,
and ISD 284 will not acquire any special usage rights in the
facilities.
f. Ground Lease. The City will lease the land
underlying the Club/Pool Complex to FCA under a 30 -year ground
lease, with rental payments of $1 per year and an option to
purchase at the end of the lease for $100,000.00. In
addition, the City shall have the right to terminate the
ground lease after notice and opportunity to cure, upon
violation by FCA or its successor of the obligations to (i)
perform the residential use covenants, (ii) comply with
specified minimum operational standards, or (iii) comply with
the first mortgage. FCA shall own fee title to the Pool/Club
Complex improvements subject to the ground lease. The City's
fee interest under the ground lease shall be subordinate to
FCA's construction and permanent financing and refinancing in
an amount not in excess of the greater of (i) $4,000,000, or
ii) the greater of(x) the then current balance thereof and
y) 50% of the appraised value. FCA shall use its best
efforts to obtain for the City notice of default and
opportunity to cure rights from the first mortgagee. The
ground lease shall provide that FCA will not secure any
additional debt with the real property consisting of the
Club/Pool Complex without the prior written consent of the
City. FCA will also establish a 4-6 month debt service
reserve on the first mortgage which can be accessed by the
City to cure defaults in the first mortgage. The City/ISD 284
capital contribution shall be funded as reimbursement for
tenant improvements to be constructed in accordance with City -
approved plans and specifications and shall be disbursed by a
title company, subject to normal lien waiver and other
requirements.
g. Right of First Refusal. During the term of the
ground lease, the City shall have a right of first refusal
upon the sale of the Club/Pool Complex.
3. Land Use Approvals. The commitments contained herein are
subject to the City's approval of any necessary changes in zoning,
comprehensive plan, and platting for the entire project. The
whole parcel shall be platted into at least three separate lots,
consisting of, at least, (i) the Arena Complex, (ii) the Club/Pool
Complex, and (iii) the parking.
4. Parking Lot and Covered Walkway. The parking parcel
shall be subject to non-exclusive, perpetual reciprocal easements
in favor the Arena Complex, the Club/Pool Complex, and any other
LMW97452
FC100-18
Mr. Dwight Johnson
Page 4
December 7, 1995
improvements located on the entire site. The City shall be
responsible for plowing the parking lot and maintenance of
landscaping. There shall be no charge to FCA or its customers for
parking, except that all other repair and maintenance of the
parking lot shall be performed by FCA and the costs thereof shall
be shared equally by the Arena Complex and the Club/Pool Complex.
The Arena Complex and the Club/Pool Complex shall also be subject
to a reciprocal easement for the covered walkway to be constructed
alongside both and each party shall bear all costs of operation and
maintenance incurred in connection with the portion of the covered
walkway located on their respective parcels. The wall between the
Arena and the Club shall be a common wall and the parties shall
enter into a standard common wall agreement.
5. Administrative, Insurance and Legal Costs. FCA will
assume all administrative, architectural, construction management,
and legal costs relating the construction of the Club/Pool Complex,
and, if the successful bidder, the Arena Complex, not including any
City staff time or expenses by the City Attorney. FCA will
maintain proper insurance on all portions of the construction work
for the City until the construction is complete and the City has
taken possession of the Arena Complex.
6. Name of Complex. FCA will have the right to have the
name of its LIFE TIME FITNESS club included on signage near the
main entrance to the center. The overall recreation center will be
named by the City in consultation with FCA, provided that "LIFE
TIME" will be included in the name, such as LIFE TIME Sportsplex or
LIFE TIME Sports Complex.
7. Referendum. The entire project is subject to approval
by the residents of the City of Plymouth in a referendum to be held
by February 1996.
The foregoing constitutes a non-binding proposal which shall have
no legal effect but which shall form the basis for the parties to
negotiate a binding legal agreement.
LMW97452
FC100-18
Mr. Dwight Johnson
Page 5
December 7, 1995
FCA, Ltd., dba LIFE TIME FITNESS
By
Bahram Akradi
Its President
Accepted as the basis for negotiations and having no binding legal
effect.
The City of Plymouth
By
Its
LMW97452
FC100-18
FACILITIES INCLUDED
IN PROPOSED COMPLEX
1. Two Indoor Ice Sheets with seating for 800, eight team rooms
2. Large Leisure Pool with custom rock wall, large plantings,
ozone filtering system, customized acoustics, large water slide,
and other play features.
3. Competition Pool, eight lanes, suitable for school swim meets.
4. Diving Pool.
5. Whirlpool.
6. Small outdoor leisure pool with outdoor deck and retractable or
sliding glass windows.
7. Free carpeted locker rooms with automatic cleaning devices.
8. Two full gyms. Optional third gym for additional $500,000.
9. Four racquetball courts.
10. Large health/fitness area with several hundred machines.
11. Day Care Area.
12. Aerobics Room.
13. Small snack bar/eating area.
14. Massage Room.
15. Small Meeting Room.
16. Walkway connecting major areas.
OWNERSHIP, OPERATION, AND USAGE
1. City will own and operate ice arenas.
2. Life Time Fitness will own and operate all other
areas including pools and gyms.
3. Life Time Fitness will assume all maintenance costs for
all areas except for ice arenas.
4. Life Time Fitness will be responsible for marketing the complex.
5. All City residents will have access to all areas of the complex
at a daily fee rate that will be no higher than the average of
comparable public community centers.
6. Life Time Fitness members will have access to ice arena during
public skating hours.
7. City will name the complex in consultation with Life Time Fitness,
but the word "Life Time" must be included in the name.
8. Life Time will provide lifeguards for leisure pool and outdoor pool.
9. City will plow the parking lot and maintain the landscaping.
10. Other parking lot repair and maintenance shared equally by Life Time
and the City.
PROTECTION OF THE CITY'S INVESTMENT
1. Ground Lease. City will lease land to Life Time for 30 years subject
to:
a) Residential use covenant allowing Plymouth residents
to use all facilities on a daily fee basis no higher than the rates
for comparable public community centers.
b) Minimum Operating Standards to be specified.
c) Comply with first mortgage requirements (making the
payments).
If these conditions are not met, after notice and opportunity to cure,
the City will have the opportunity to acquire the entire club/pool
facility subject to the first mortgage.
2. A debt service reserve of 4-6 months will be established
to allow time for the City to consider its options.
3. Life Time cannot add additional debt on the facility without the
permission of the City.
4. The City shall have the right of first refusal to buy the property upon
its sale during the 30 year lease period.
S. The City retains zoning authority over the premises.
6. The City retains the right of condemnation for any public purpose.
FINANCING AND CONSTRUCTION
1. City will pay for cost of two indoor ice arenas, at an estimated
cost of $4,800,000, with $800,000 coming from outside sources.
2. City will pay $1,500,000 toward the construction of the indoor and
outdoor leisure pools, and in consideration of Life Time Fitness assuming
all operating, maintenance and marketing costs, acting as a construction
manager for the City, and making the entire club area accessible to
Plymouth residents on a daily fee basis. Any cost overruns on the
club/pool complex will be the responsibility of Life Time. School District
284 will consider a contribution of $1,500,000 if the competition pool and
diving pool are included in the project. Life Time expects to contribute
about $5,000,000 to the club/pool complex, including about $4,000,000 in.
borrowed funds.
3. Life Time Fitness will provide all parking improvements including
paving and curbs and gutters. Life Time will pay for all site lighting and
signage.
The City will pay for all grading costs, including the NURP pond area,
building drain tile, site utilities, and the landscaping.
The City may pay for a low brick or block fence along Plymouth
Boulevard and a traffic circle at 36th Avenue and Plymouth Boulevard out
of TIF funds earmarked for Downtown Plymouth.
4. Life Time has proposed to provide design and construction
management for the City on the ice arena complex for a total cost of
six percent of the construction cost. Life Time would provide
specifications and advertise for bidding according to applicable laws.
The City would approve the specifications and award the final bid.
PROJECT BUDGET FOR CITY
1. Two indoor ice sheets with seating for 800 spectators and
eight team rooms.
Cost: $4,800,000.
Outside contributions: $250,000 from State Grant, $250,000 from
School District 284, $250,000 from Wayzata Hockey Association,
and $50,000 from City of Wayzata.
Net Cost to City:
2. Club/Pool Complex.
4,000,000.
Net Cost to City for indoor and outdoor leisure pools: $1,500,000.
3. Site Improvements.
Grading, Site Clearing, Drain Tile for Building, Site Utilities: $850,000.
Landscaping and Irrigation: $150,000.
NURP Pond: $100.000.
Subtotal Cost: $1,100,000
TOTAL NET CITY COST:
OPTIONAL ITEMS:
6,600,000
1. Community Recreation Room. Estimated 5,500 square feet
at $70 per square foot, with catering kitchen and furnishings, cost is
estimated at: $500,000
Would serve four principal purposes:
a) allow consolidation and expansion of existing senior programs.
b) provide indoor space for many City recreation programs.
c) would serve as a support facility for outdoor amphitheater.
d) would be rented to groups for receptions etc. to offset utility
and janitorial expenses.
Pending further study, staff believes that no operating deficit would occur.
2. Third gym in club area. Guaranteed cost quoted by Life Time: $500,000
Would provide a gym for City and community programs.
OVERVIEW OF THE PROPOSAL
1. Is the proposal a good value for the money?
For an investment of $1,500,000 to $2,000,000 (depending on the
amount of site improvement cost attributed to the ice arenas), the City
gets:
Access to a full service recreation complex at reasonable
daily rate fees.
Marketing.
No operating deficits.
No maintenance costs.
Assistance with construction management.
Possibility of lower costs per square foot of construction.
The City's previous Community Center proposal in 1989 indicated a deficit of
150,000 per year, provided little or no marketing, would have cost about
12 million with only one indoor ice sheet, and was only about 60% as big
as the proposed complex.
2. Is the proposal structured well so that each party is doing the things it
does well?
The private club will have the major responsibility for construction, having
constructed a number of other clubs with many amenities at a low cost. Life
Time will also operate, market, and maintain the pool/club area, all activities it
does on a regular basis and the City does not.
The City will fund, own, operate, and maintain the ice facilities, since private
enterprise has not attempted this activity, while many cities have. The City will
be responsible for the grading of its site, since we have the soil borings, knows
more about NURP pond requirements, and has previously planned a building on
this site. The City will also landscape the grounds since we have a forestry
department and have an interest in matching the exterior of the building to
Downtown Plymouth.
3. Is our investment safe enough?
The agreement provides for a ground lease in which we can take over the entire
pool/club complex if the resident use covenant or the operating standards are not
met. For example, if the club/pool complex has a value of $8 million, the
estimated construction cost, we could assume ownership for the $4 million debt,
gaining all of our equity back and theirs as well. It also provides debt service
reserves and limits on future debt. Even if the worst case scenario happened and
we had to take over the club, we would have ownership of a 200,000 square foot
complex for a total net City cost of about $9,100,000 ($4.0 million for ice arenas,
1.1 million for site improvements, and $4.0 million in club debt). This is still
3 million less than the proposed 1989 Community Center that was only 60% as
large.
4. Is the proposed complex family friendly?
Life Time offers free day care for 1 1/2 hours for each paying patron.
Life Time offers some programming for youth.
Life Time will allow youth to swim without a parent being present
in the club area, perhaps subject to some time zoning.
Life Time will allow District 284 swim teams to practice and hold
official meets at the Club if District 284 participates as a partner in
construction.
Life Time will consider lowering initiation fees for seniors and assisting
low income youth with access to the facilities.
Life Time is not required to assist special populations to the same degree
that public agencies must, but often does so voluntarily.
5. Will the complex be public in character?
Reasonable daily fee access will be required.
City can name the complex, subject to having the name
Life Time" in the name.
Public activities will be held at the center such as school swim
meets, City recreation programs, special events, and
school hockey games at the ice arena.
DEC -19-95 16=43 FROM=KENNEDY & GRAVEN ID=6123379310
Y _
KENNEDY & GRAVEN, CHARTERED
470 PILLSBURY CENTER
MINNEAPOLIS, xN 55402
612) 337-9300
FAX # (612) 337-9310
Date: December 19, 1995 Our File No.:
TO: Ginny Black TO; John Edson
FAX 216-0246 FAX 5916-2048
TO: Nick Granath TO: Chuck Lymangood
FAX 9459587 FAX 475-2587
TO: Christian Pxeus TO: Tim Wold
476-8804
FAX 338-8384 FAX
TO: Carole Helliwell TO: Roger Knutson
452-5550
FAX 471-8715 FAX
TO: Dwight Johnson TO: flahram Akradi
FAX #: 509-5060 FAX #; 5147-0077
TO:
TO:
FAX #:
FAX #:
FROM: Larry Wertheim
Direct Dial #: (612) 337-9216
COMMENTS:
PAGE 1/7
Number of pages including cover sheet:
If a problem arises, call Debbie at (612) 33;r-9284
NOTICE OF CONFIDENTIAL INFORMkTION:
This fax contains confidential information which is legally
privileged. The information is for the sole use of the intended
recipient(s) listed above. Distribution or disclosure to any
individuals not so listed is strictly prohibited.
DEC -19-95 16=43 FROM:KENNEDY & GRAVEN ID=6123379310 PAGE 2/7
December 19, 1995
Dwight Johnson
City Manager
City of Plymouth
3400 Plymouth Road
Plymouth, MN 55447
Dear Mr. Johnson:
FCA, Ltd., a Minnesota corporation doing business as LIFE TIME
FITNESS ("FCA"), proposes to design and develop, in conjunction
with the City of Plymouth (the "City"), a major recreation center
project on City -owned land near 36th Avenue and Plymouth Boulevard
in the City of Plymouth, Minnesota, on the following terms and
conditions:
1. IceRink. The City intends to develop an ice arena
complex (the "Arena Complex") on its site, consisting of two (2)
indoor sheets of ice, seating for 800 spectators, and a total of
eight (8) team rooms. The City will separately contract for
engineering services for the entire site and for architectural
services for the Arena Complex, which FCA has been advised will
cost (exclusive of site engineering costs) six. percent (6%) of the
construction contract for the Arena Complex. The City will
advertise for bids and award the construction contract for the
Arena Complex according to all laws applicable to the City. FCA
will administer the bidding and the construction contract on behalf
of the City. The Arena Complex will be made available to LIFE TIME
FITNESS members during public skating hours. The City will own,
operate and maintain the Arena Complex.
2. Club/Pool complex.
a. Complex. FCA will design, construct, own, market,
maintain and operate at its sole expense, except as hereinafter
provided, an approximately 110,000 square foot LIFE TIME FITNESS
health club/pool complex (the "Club/Po01 Complex") including, in
addition to the standard features of LIFE TI22E FITNESS clubs:
i) a 25 meter, competition 8 -lane pool, which will
be made available without charge to Independent School
District No. 284 ("ISD 28411) teamE. when accompanied by
their coach. The Competition Pool will also be made
LM97452
FC100-18
6442 CITY WEST PARKWAY, SUITE 275 • EDEN PRAIRIE • MN 55344 • PHONE 612.947.0000 FAX612*947-0077
DEC -19-95 16:44 FROM:KENNEDY & GRAVEN ID=6123379310 PAGE
Mr. Dwight Johnson
Page 2
December 19, 1995
available for rent to local swim clubs at normal
commercial rates, subject to feasibility as determined by
FCA;
ii) a diving pool, which will be made available to
ISD 284 teams when accompanied by their coach;
iii) a large, preeminent quality, indoor leisure
pool, incorporating a custom rock wall, large plantings,
ozone pool filtering system, customized acoustics, and a
large water slide and other play features;
iv) a whirlpool;
v) a small outdoor leisure pool with outdoor deck
and retractable or sliding windows; and
vi) larger than usual family locker rooms.
b_ Residential Use Covenant. . The Club/Pool Complex
will be available to all residents of ;the City of Plymouth
presenting a current Minnesota driver's license or ID card, or
equivalent, at the following daily rates per person:
Adult resident $8.00
5.00 pool only)
Second adult family member
or child ages 13 to 17 $5.00
Child ages 12 and under $3.00
In addition, Plymouth residents joining LIFE TIME FITNESS
shall be entitled to a 15% discount off of the then -applicable
membership initiation fee. All use of the Club/Pool Complex
by Plymouth residents shall be subject to the normal rules andconditionsandlimitationsofusageandrequirementsforadult
supervision applicable to LIFE TIME FITNESS clubs, including
the requirement for written consent by a parent or guardian
for anyone under the age of 18. There will be no
discrimination between Plymouth resid,ants paying the daily
user charge and LIFE TIME FITNESS members with respect to the
availability of the facilities, provision of services, and
reservation rights, provided that daily use residents who
remain on the premises shall be allowed to use available
daycare at the rate of $2.00 per child for two (2) hours. No
one under the age of 3 shall be permitted to use the pools.
All of the foregoing rates shall remain in effect through
December 31, 1997, and thereafter will be subject to CPI
adjustment based upon the December 199°, CPI. The City and FCA
shall establish a standard complaint process to handle
LMW97 G5 2
FC100-18
3/7
DEC -19-95 16=44 FROM:KENNEDY & GRAVEN ID=6123379310 PAGE 4/7
Mr. Dwight Johnson
Page 3
December 19, 1995
complaints of Plymouth residents regarding the operation of
the Club/Pool Complex -
c. Operations. The Club/Pool Complex will be
marketed, maintained, and operated without cost to the City by
FCA. FCA will provide lifeguards for thc! leisure pool and the
outdoor pool areas as a part of its opej--ations.
d. Site Development. FCA will pay for the cost of all
site lighting, parking lot construction including bituminous
surfacing, outdoor signage, and curb cuts and gutters. The
City will be responsible for the construction of the NURP
pond, any mitigation or reclamation of wetlands, and any
environmental assessment work, including a Phase I. The City
will provide the land for the Club/Fool Complex and 600
parking spaces, and will be responz;ible for all other
necessary site work for the entire project, including site
clearing, grading, earthwork, subbase for parking surface,
construction of the Traffic Circle on Plymouth Boulevard and
36th Avenue, drain tile, site utilities,fencing, landscaping
and irrigation, and providing a buildable pad for the
Club/Pool Complex. With respect to site engineering costs,
the City will be responsible for all costs relating to the
NURP pond and wetlands mitigation and the remaining costs
shall be allocated between the Arena Complex (payable by the
City) and the Club/Pool Complex (payable by FCA).
e. Capital Contributions. The City and the ISD 284
will each contribute One Million Five Hundred Thousand and
no/100 Dollars ($1,500,000.00) toward the cost of construction
of the Club/Pool Complex. As an option, FCA will include a
third gym in the Club/Pool Complex (in addition to its
standard 2 gyms) to be made available to Plymouth residents
and City programs as determined by the City for payment of an
additional Five Hundred Thousand and no/100 Dollars
500,000.00). LIFE TIME FITNESS members may use the third
gym when it is not in use by the City. FCA shall be
responsible for any excess construction costs for the
Club/Pool Complex. In the event ISD 284 does not participate,
the competition pool will be replaced by the standard LIFE
TIME FITNESS lap pool, the diving pool shall be eliminated,
and ISD 284 will not acquire any special usage rights in the
facilities.
f. Ground Lease. The City will lease the land
underlying the Club/Pool Complex to FCA, under a 30 -year ground
lease, with rental payments of $1 per year and an option to
purchase at the end of the lease for $100,000.00. In
addition, the City shall have the right to terminate the
LW97452
Fczoo-i9
DEC -19-95 16=44 FROM -KENNEDY & GRAVEN ID=6123379310 FACE 5/7
Mr. Dwight Johnson
Page 4
December 19, 1995
ground lease after notice and opportunity to cure, upon
violation by FCA or its successor of the obligations to (i)
perform the residential use covenants, (ii) comply with
specified minimum operational standards, or (iii) comply with
the first mortgage. FCA shall own fee title to the Pool/Club
Complex improvements subject to the ground lease. The City's
fee interest under the ground lease shall be subordinate to
FCA's construction and permanent financing and refinancing in
an amount not in excess of $4,000,000 or such higher amount as
the City shall approve, such approval to be not unreasonably
withheld. FCA shall use its best efio=7ts to obtain for the
City notice of default and opportunity to cure rights from the
first mortgagee. The ground lease shall provide that FCA will
not secure any additional debt with, the real property
consisting of the Club/Pool Complex wittLout the prior written
consent of the City. FCA will also establish a 4-6 month debt
service reserve on the first mortgage which can be accessed by
the City to cure defaults in the first mortgage. The City/ISD
284 capital contribution shall be funded as reimbursement for
tenant improvements to be constructed in accordance with City -
approved plans and specifications and shall be disbursed by a
title company, subject to normal lien waiver and other
requirements.
g. Ri ht of First Refusal. During the term of the
ground lease, the City shall have a right of first refusal
upon the sale of the Club/Pool Complex.
h. Annual Meetin . Representatives of the City and
FCA shall meet no less frequently than -annually to review and
discuss all matters relating to the Club/Pool Complex.
3. Land Use Approvals. The commitments contained herein are
subject to the City's approval of any necessary changes in zoning,
comprehensive plan, and platting for the entire project. The
whole parcel shall be platted into at least: three separate lots,
consisting of, at least, (i) the Arena Complex, (ii) the Club/Pool
Complex, and (iii) the parking.
4. Parking Lot and Covered Walkway. The parking parcel
shall be subject to non-exclusive, perpetual reciprocal easements
in favor of the Arena Complex, the Club/Pool Complex, and any other
improvements located on the entire site. The City shall be
responsible for plowing the parking lot and maintenance of
landscaping. There shall be no charge to FCA or its customers for
parking, except that all other repair and maintenance of the
parking lot shall be performed by FCA and the costs thereof shall
be shared equally by the Arena Complex and the Club/Pool Complex.
The Arena Complex and the Club/Pool Comple). shall also be subject
LtW97452
FC100-z8
DEC -19-95 16=45 FROM:KENNEDY 8 GRAVEN
12/19/1995 85:26 6129470677
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DEC -19-95 16=45 FROM:KENNEDY & GRAVEN ID=6123379310 PAGE 7/7
Mr. Dwight Johnson
Page 6
December 19, 1995
Accepted as the basis for negotiations and having no binding legal
effect.
The City of Plymouth
By
Its
LMW97452
80100-19
To, City Manager Dwight Johnson
Subject: Proposed Life Time Fitness City of Plymouth Partnership
cc: Mayor, Council Members
SUMMARY
In an effort to act with speed on the sports and recreational needs of the community, the City
has set upon a fast paced course to forge a partnership with a private venture in order to build
a privately owned and operated sports complex rather than a public community center by the
fall of 1996.
Councilmembers, councilmembers elect, staff and I have expressed cautious support for the
concept of a public-private partnership as a way to meet part of our goals in responding to the
need for indoor sports facilities.
Speaking only for myself, however, as I have learned the details of the proposed Life Time
partnership I have identified and on the record raised several objections, which at this point
would not allow me to extend my support for the proposal as presently structured, My
objections are itemized below. (Because of this, I respectfully dissent from those of my
colleagues on the Council who though we may disagree on the Life Time proposal
nevertheless hold the very best interests of the community at heart.)
In summary, the proposal does not yet appear to benefit the public to the extent that would
justify using public funding, public land and public services to subsidize a private for-profit
venture which the City will have neither any ownership interest in or operational authority
over. While a private -public partnership in this context — though apparently never
accomplished anywhere in the country before — may still prove the most `dollar effective' for
our City, and indeed Life Time may prove the best candidate, at this time unanswered
questions remain an obstacle.
Nick Granath
Page 2
Aside from my concerns, I wish to commend and thank you and your staff for all the hard
work done in the past weeks on this important issue. As usual, the City has been very well
served by the dedication of its staff and employees and I am confident that we will meet the
needs of our community in this area.
ACTION
Prior to, or at, the meeting wherein items 8-A and 8-B are considered, please provide the
Council with the following:
I . Information on the value pf the land that would be leased for $1 a year. What is the
FMV? What is the estimated value to Life Time?
2. Information that would allow the Council an opportunity to assess the financial
strength of 1,ife Time. What debt load, if any? Are there major liabilities that should
be disclosed? What disclosures is Life Time prepared to make?
3. Information that will give the Council confidence that the proper financial research
and planning has been conducted by Life Time to ensure the financial viability of the
proposed operation.
4. Information on competitive opportunities. What has the City done to seek
competitive proposals (succinctly)? What has been the response (succinctly)? Is it
prudent to assume that this project cannot be `competed' further?
As you think necessary, please update the City's memo dated January 12, 1995 entitled
Financial Planning for Future Capital Needs" (which explores capital needs in relation to
present and future available funds and identifies future needs in the areas of road
improvements, street reconstruction, water and sewer improvements, surface water
management projects, parks, building renovations, and discusses possible future projects
including open space and recreational facilities but which does not address contingencies
based on state budgetary cuts such as have been identified in the recent Weber -Brandt
Rxt)-
9 Provide a report on discussions with Life Time representatives following the last special
meeting on Dec. 12, and any revisions to the Letter of Intent
Nick Granath
Page 3
BACKGROUND
The Council has reviewed and adopted the City of -Plymouth RecreatjonatSnorts Facility
Rep of November 1995. This report contained the findings and conclusions of a task force
appointed by the Council in January 1995. The charge of the Task force was to "examine the
future growth of youth and adult recreational sport programs in the City of Plymouth." (p. 4)
The Report identified eight issues and makes recommendations for each. However, the first
issue identified was presented as primary in the Report:
The most consistent issue is the projected growth of all youth activities as
the City of Plymouth continues to grow." (p. 7)
The Report also included cost estimates for its recommendations. (p. 18). Importantly, the
total estimated cost for all recommendations was $19.15 (million) and the City's share, apart
from other possible sources of funding, was $13.85 m.
Items 8-A and 8-13, on for the next regular meeting of the Council scheduled for December
19, 1995, concern the ballot question calling for a "special election on recreation facilities"
and "response to Life Time Fitness' Letter of Intent."
The City appears on a fast track to conclude a public-private partnership with a for-profit
business, FCA., Ltd. dba Life Time Fatness Club. The City has conducted discussion with
Life Time for some weeks now. A special election is proposed for Feb. 6, 1996 (item 8-A).
The Letter of Intent also contains a clause stating that "the entire project is subject to
approval of the City of Plymouth in a referendum to be held in February 1996." Setting a
February election and 1996 build schedule may as a practical matter lock -in the City to a
partnership with Life Time. Therefore, it is proper at this time to examine all disadvantages
and risks inherent in the Letter of Intent, as the opportunity to do so will shortly pass.
The Council has reviewed major elements of the Life Time proposal at special meetings on
November 27 and December 12, 1995. In addition, I have received information through your
office (City Manager) and various Department Heads during this time period.
Objections to the proposal are as follows:
1n_ adequate mC&U3 j2f nublic access to the complex., The key provision in the Letter of
Intent regarding public access is the "residential use covenant" clause which states that
Nick Granath
Page 4
the complex will be available to all residents of the City on a "daily fee basis that will be
no higher than that charged for comparable public community centers in the metro area."
This is at the heart of answering the question: Does the public benefit from this
proposal? However, the term is basically undefined and lacks objective criteria to
measure it by or examples. There is no description or mechanism for how this rate will
be set. There is no mechanism for periodic input, review or dispute from, by or of the
City. This issue is more than one of details that can be worked out later because public
access is the rationale for tax dollars going to fund a private enterprise. In addition., the
question gets to the core of how public and private ,needs will be reconciled on a day to
day basis inside a privately owned and operated business. Life Time presumably will
seek to maximize its adult customer access whereas the City should seek to maximize
use and access by youth who predictably will not prove as lucrative a prospect. In the
worst case scenario, Life Time will have underestimated the revenue it needs to
generate, or the demand placed on the complex by allowing special access to Plymouth
residents, and as result changes the rate structure to effectively bar all but well off
citizens from the complex even though all taxpayers, rich and poor alike, helped pay for
it,
2. Inadequate assurances of Citymanagement controls sufficient to a 11re that the i i '
interest will be Maintal»: There is an absence of any official channels of
communication to address resolution of citizen complaints or comments which
inevitably will be addressed to the City. To try to answer this objection by protesting
that government controls will only entangle the operation of free enterprise misses the
point that the City's participation is premised on a public purpose that is separate from
the operation of the private sector per se.
3. Tnadea ut& dispute resolution mechanism: The Letter of Intent contains no such
mechanism apparently leaving the City with no practical alternative other than to
collapse the entire arrangement which would trigger a series of undesirable events,
including possible expenditure of several million dollars in order to buy out the
complex.
Nick Granath
Page 5
4. I11,qdPquate debt ce'line limitations, The "ground lease" portion of the Letter of Intent
article f) makes the City's fee interest subordinate to Life Time's financing a
refinancing "not in excess of the greater of $4 million or the greater of (x) the then
current balance thereof and (y) 50% of the appraised vale." As has been commented:
The City's major risk factor is bankruptcy or other form of
abandonment of the Club by its owners. The Letter of intent provides that the
City could take over the entire Club for the cost of the outstanding debt on
the property." [Memo, Dec. 13, 1995, D. Johnson to Mayor and Council,
emphasis added].
Future tax dollars are at risk here and the risk should be limited at the outset.
5. Loss of com_mLnily charactA : Over several years the concept of a Plymouth
Community Center, owned and operated by the public for the sole benefit of the public,
has been discussed, debated and voted on in Plymouth. We have now seemingly
abandon that course and the Letter of Intent requires us to name the complex by
including the private name. Though the City's purpose has changed in order to gain
access to sports facilities sooner than later, and though we are not creating a "public
space" in what will be part of the city center, has the citizen's expectation also changed?
6. Weaknesses 'n _zocurement: Given Plymouth's location and affluence that only one
private party would be interested in expansion financially assisted by the City seems
odd. In addition, to the extent that a "deal" has been worked out with Life Time in only
a short period of time, it seems reasonable to infer that engaging other parties beyond a
one time contact could be fruitful,
City Managers' Recommendation: The Staff's recommendation is to accept the proposed
Letter of Intent [Memo, Dec. 13, 1995, D. Johnson to Mayor and Council, p. 3]. The
recommendation focus on the advantages of financial leveraging stating:
Our citizens will gain access to a large recreational complex worth $8 million for
30 years, for an investment of about $2 million and the assurance of no operating
or maintenance costs. While this is not a public Community Center, and the City
Nick Granath
Page 6
will not exercise operating control over the Club area, this letter of intent provides
an outstanding value for our citizens."
As indicated above, I do not find this recommendation persuasive simply because it is not
clear that the citizens will gain the access we seek to provide them or that the City could not
find another private partnership with which to better leverage the citizens' money.
December 1, 1995
Dwight Johnson
City Manager
City of Plymouth
3400 Plymouth Road
Plymouth, MN 55447
Dear Mr. Johnson:
FCA, Ltd., a Minnesoi:.a corporation doing business as LIFE TIME
ro poses to designFITNESS ("FCA" ,
ppro
and develo ,semreon
r3i
a ma or center
ec on Ci y-owne ' an nt venue and Plymouth Boulevard
in the City of Plymouth, Minnesota, on the following terms and
conditions:
1. Ice Rink. TAe City intends to
complex (the "Arena Complex") on its site,
indoor sheets of ice, seating for 800 spec
eight ( 8 ) team rooms..°
sere
the construction contract
advertise for bids WOaccordhoaa
an
consisting
tators, and
six
A
Wil '"a n seer the construction contract on behalf
The Arena Complex will be made available to LIFE
members during public skating hours. The City will
and maintain the Arena Complex.
2. Club/Pool Complex.
ice arena
of two ( 2 )
a total of
r
of the City.
TIME FITNESS
own, operate
a. Complex. FCA will design, construct, own, market,
maintain and operate at its sole expense, except as hereinafter
provided, an approximately 110,000 square foot LIFE TIME FITNESS
health club/pool complex (the "Club/Pool Complex") including, in
addition to the standard features of LIFE TIME FITNESS clubs:
i) a 25 meter, competition 8 -lane pool, which will
be made available without charge to Independent School
District No. 284 ("ISD 28411) teams when accompanied by
their coach. The Competition Pool will also be made
IWgU52
FC100-18
Mr. Dwight Johnson
Page 2
December 18, 1995
available for rent to local swim clubs at normal
commercial rates, subject to feasibility as determined by
FCA;
ii) a diving pool, which will be made available to
ISD 284 teams when accompanied by their coach;
iii) a large, preeminent quality, indoor leisure
pool, incorporating a custom rock.wall, large plantings,
ozone pool filtering system, customized acoustics, and a
large water slide and other play features;
iv) a whirlpool;
v) a small outdoor leisure pool with outdoor deck
and retractable or sliding windows; and
vi) larger than usual family locker rooms.
b. Residential Use Covenant. The Club/Pool Complex
will be available to all residents of the City of Plymouth
user charge and .LIFE TIME FITNESS members A with respect to
the availability of the facilities, provision of services, and
reservation r1QYltsY•:
Y
s al es a isii a star ar comp ain process to handle
complaints of Plymouth residents regarding the operation of
the Club/Pool Complex.
C. Operations. The Club/Pool Complex will be
marketed, maintained, and operated without cost to the City by
LMN97452
FC100-18
L/£ a3vd O1£6d££ZI9°QI N31V6O V AQ3NN3N°WQ6A 60°SI S6-et-Q3Q
Mr. Dwight Johnson
Page 3
December 18, 1995
FCA. FCA will provide lifeguards for the leisure pool and the
outdoor pool areas as a part of its operations.
d. Site Develo2ment. FCA will pay for the cost of all
site lighting, parking lot construction including bituminous
surfacing, outdoor signage, and curb cuts and gutters. The
City will be responsible for the construction of the NURP
Pon an miti tion or reclamation of wetlandsPY
e 'Clt y
wi pr.ovi a 't e and' for he C lu ooh pomp ex and 600
parking spaces, and will be responsible for all other
necessary site work for the entire project, including site
clearing, grading, earthwork, subbase for parking surface,
construction of the Traffic Circle on Plymouth Boulevard and
36th Avenue, drain tile, site utilities, fencing, landscaping
and providing a buildable pad for the
ooi uompiex.
e. Capital Contributions. The City and the ISD 284
will each contribute One Million Five Hundred Thousand and
no/100 Dollars ($1,500,000.00) toward the cost of construction
of the Club/Pool Complex. As an option, FCA will include a
third gym in the Club/Pool Complex (in addition to its
standard 2 gyms) to be made available to Plymouth residents
and City programs as determined by the City for payment of an
additional Five Hundred Thousand and no/100 Dollars
500,000.00). LIFE TIME FITNESS members may use the third
gym when it is not in use by the City. FCA shall be
responsible for any excess construction costs for the
Club/Pool Complex, In the event ISD 284 does not participate,
the competition pool will be replaced by the standard LIFE
TIME FITNESS lad pool, the diving pool shall be eliminated,
and ISD 284 will not acquire any special usage rights in the
facilities.
f. Ground. Lease. The City will lease the land
underlying the Club/Pool Complex to FCA under a 30 -year ground
lease, with rental payments of $1 per year and an option to
purchase at the end of the lease for $100,000.00. In
addition, the City shall have the right to terminate the
ground lease al=ter notice and opportunity to cure, upon
violation by FCS, or its successor of the obligations to (i)
perform the residential use covenants, (ii) comply with
specified minimum operational standards, or (iii) comply with
the first mortgage. FCA shall own fee title to the Pool/Club
LM97452
FC100-18
Mr. Dwight Johnson
Page 4
December 1$, 1995
Complex improvements subject to the ground lease. The City's
fee interest under the ground lease shall be subordinate to
FCA's construction and permanent financing and refinancing in
an amount not in excess of $4,000,000 or such higher amount as
the City shall approve, such approval to be not unreasonably
withheld. FCA shall use its best efforts to obtain for the
City notice of default and opportunity to cure rights from the
first mortgagee. The ground lease shall provide that FCA will
not secure any additional debt with the real property
consisting of the Club/Pool Complex without the prior written
consent of the City. FCA will also establish a 4-6 month debt
service reserve on the first mortgage which can be accessed by
the City to cure defaults in the first mortgage. The City/ISD
284 capital contribution shall be funded as reimbursement for
tenant improvements to be constructed in accordance with City -
approved plans and specifications and shall be disbursed by a
title company, subject to normal lien waiver and other
requirements.
g. night of First Refusal. During the term of the
ground lease, the City shall have a right of first refusal
upon the sale of the Club/Pool Complex.
h. Annual Meeting. Representatives of the City and
FCA shall meet no less frequently than annually to review and
discuss all matters relating to the Club/Pool Complex.
3. land Use provals. The commitments contained herein are
subject to the City's approval of any necessary changes in zoning,
comprehensive plan, .and platting for the entire project. The
whole parcel shall be platted into at least three separate lots,
consisting of, at least, (i) the Arena Complex, (ii) the Club/Pool
Complex, and (iii) tine parking.
4. Parking Lot. and Covered Walkway. The parking parcel
shall be subject to rion-exclusive, perpetual reciprocal easements
in favor the Arena Complex, the Club/Pool Complex, and any other
improvements located on the entire site. The City shall be
responsible for plowing the parking lot and maintenance of
landscaping. There shall be no charge to FCA or its customers for
parking, except that all other repair and maintenance of the
parking lot shall be performed by FCA and the costs thereof shall
be shared equally by the Arena Complex and the Club/Pool Complex.
The Arena Complex and the Club/Pool Complex shall also be subject
to a reciprocal easement for the covered walkway to be constructed
alongside both and each party shall bear all costs of operation and
maintenance incurred in connection with the portion of the covered
walkway located on their respective parcels. The wall between the
T"97As2
FCIOO-28
L/S 30VC1 0IE64EEZ I S° Q I N3AVEO V Aa3NN3H ° WO8A I I° S I S6 -e t -oaa
Mr. Dwight Johnson
Page 5
December 18, 1995
Arena and the Club shall be a common wall and the parties shall
enter into a standard, common wall agreement.
5. Administrative Insurance and Legal Costs.
6' FCA will. assume all adminaREM!Vecura const c ion management, and legal costs relating
the construction of the Club/Pool Complex, A not including any City
staff time or expenses by the City Attorney. FCA will maintain
proper insurance on A a.
5. Name of Complex. FCA will have the right to have the
name of its LIFE TIME FITNESS club included on signage near the
main entrance to the center. The overall recreation center will be
named by the City in consultation with FCA, provided that "LIFE
TINE" will be included in the name, such as LIFE TIME Sportsplex or
LIFE TIME Sports Complex.
7. Referendum,. The entire project is subject to approval
by the residents of the City of Plymouth in a referendum to be held
A &&EFebruary 1996.
8. Disputes. All disputes arising under agreements between
FCA and the City shall be resolved by binding arbitration under the
rules of the American Arbitration Association.
9. Disclosure., Subject to execution of appropriate
consents, FCA shall provide to the City a copy of its most recent
audited financial statement and disclose to the City the
b
MkitMii' identity of all shareholders holding5$'or
mbzte o f iff-P MFgk.
The foregoing constitutes a non-binding proposal which shall have
no legal effect but which shall form the basis for the parties to
negotiate a binding legal agreement.
FCA, Ltd., dba LIFE TIME FITNESS
By
Bahram Akradi
Its President
UW27452
FC100-18
Mr. Dwight Johnson
Page 6
December 18, 1995
Accepted as the basis for negotiations and having no binding legal
effect.
The City of Plymouth
By
Its
LMN97452
PC100-18
d/d 3OVC1 O I £6G££Z I9 ° O I N3AVSO 2 AG3NN2M ° WOMA i I : S I SS -8t-030
DATE: December 18, 1995
TO: Mayor and City Council
FROM: Dwight D. Johnson, City Manager
SUBJECT: Inquiries on Life Time Fitness letter of intent
The following questions have been received about the letter of intent received from Life
Time Fitness Clubs. The information on these questions has been requested prior to
Tuesday evening. The following represents the answers we have at this time, keeping
in mind that the letter of intent is meant only as a concept for future detailed
negotiations.
1. Value of the land to be leased to Life Time? The Assessor estimates the land to
be valued at around $2.00 per square foot, or about $100,000 per acre in round
numbers. The total acreage for Life Time is estimated at three acres, so the total value
of the land made available for the club/pool complex is estimated at about $300,000.
2. Information on financial strength of Life Time? Life Time has agreed to give us
their pro forma for all of their clubs. When they seek financing, they plan to do so
based upon the record of all of their clubs together. They have also agreed to give us
the names of partners and their most recent financial report. The City will not commit
any funds to this project until this information is received and analyzed.
3. Financial viability of operation? Life Time again refers us to their overall pro
forma for all their clubs. They are not counting on daily fee revenue to repay their
debt load. Nor are they assuming that there will be much erosion on the number of
monthly memberships that they will sell.
4. Competitive opportunities? Letters went out to all major franchised clubs as well
as the Flagship Club in Eden Prairie. Northwest Clubs indicated that they are pursuing
their plans for a club in Maple Grove, and that Plymouth is too close to Maple Grove
to consider building one here. Flagship Club is interested in building another club, but
does not see a feasible way to have a reasonable daily fee schedule, given their high
end monthly fees. U.S. Swim and Fitness did not respond to the letter.
5. Update the City's financial memo dated January 12, 1995. Address possible
state budget cuts. A table updating our January 12 memo is attached. It shows that
our balance of unmet needs will be reduced by $260,000 (right hand column). It
further assumes that we wish to keep $2 million in reserve in the Project
Administration instead of the $1 million listed last January. Finally, we would have
either 1 or 2 more pools than the January memo showed, 1 extra indoor ice sheet, and
1 additional gym space.
Since Life Time has proposed no operating deficit for the City and no maintenance
responsibilities, any State budget cuts in the future would not impact this operation.
6. Discuss revisions to letter of intent following December 12 Council meeting.
Six of the seven items were agreed upon by Life Time at a December 14 Council
meeting and these are outlined in the Council staff report.
Further discussion of daily fees on Monday, December 18 with Life Time resulted in
the following proposals from Life Time, all relating to residents of Plymouth:
Children 12 and under: 3.00 daily fee
Youth 13 through 17: 5.00 daily fee
Single adults (pool only) 6.00 daily fee
Single adults (entire club) 8.00 daily fee
Husband/wife together
use of entire club) 8.00 daily fee for one, $5.00 for the other.
Day care fee for daily
pass holders 2.00 for two hours.
Initiation Fee
for membership 15 % discount from any announced rate.
Alternate Proposal to lines 3 and 4: one fee of $7.00 for use of entire club.
All daily fees will be limited to an annual increase of no more than the Consumer Price
Index each year, beginning in the year 1998.
7. Loss of community character. The pool/club area will not be a publicly owned or
operated building, although public access at the rates noted above will be guaranteed by
a variety of measures. However, the conservation of public funds in this partnership
arrangement will make it more likely that we will have funds available to add other
facilities at this site, including a Community Recreation Room.
UPDATE OF FINANCIAL MEMORANDUM
DATED JANUARY 12, 1995
FUNDS
DATE AVAILABLE
JAN, 1995 10,860,000
MAY, 1995 9,860,000
FEB, 1996 2,610,000
PROJECTS
17,410,000
13,410,000
BALANCE
6,550,000)
3,550,000)
3,290,000)
Note 1: The City will have an additional outdoor pool available, an additional indoor
ice sheet, and an additional gym space compared to the project list in January, 1995.
Note 2: The funds available does not include $5,000,000 in reserve in the Community
Improvement Fund or $2 million in reserve in the Project Administration Fund.
To: City Manager Dwight Johnson
Subject: Proposed Life Time Fitness City of Plymouth Partnership
cc: Mayor, Council Members
SUMMARY
In an effort to act with speed on the sports and recreational needs of the community, the City
has set upon a fast paced course to forge a partnership with a private venture in order to build
a privately owned and operated sports complex rather than a public community center by the
fall of 1996.
Councilmembers, councilmembers elect, staff and I have expressed cautious support for the
concept of a public-private partnership as a way to meet part of our goals in responding to the
need for indoor sports facilities.
Speaking only for myself, however, as I have learned the details of the proposed Life Time
partnership I have identified and on the record raised several objections, which at this point
would not allow me to extend my support for the proposal as presently structured, My
objections are itemized below. (Because of this, I respectfully dissent from those of my
colleagues on the Council who though we may disagree on the Life Time proposal
nevertheless hold the very best interests of the community at heart.)
In summary, the proposal does not yet appear to benefit the public to the extent that would
justify using public funding, public land and public services to subsidize a private for-profit
venture which the City will have neither any ownership interest in or operational authority
over. While a private -public partnership in this context — though apparently never
accomplished anywhere in the country before — may still prove the most `dollar effective' for
our City, and indeed Life Time may prove the best candidate, at this time unanswered
questions remain an obstacle.
Nick Granath
Page 2
Aside from my concerns, I wish to commend and thank you and your staff for all the hard
work done in the past weeks on this important issue. As usual, the City has been very well
served by the dedication of its staff and employees and I am confident that we will meet the
needs of our community in this area.
ACTION
Prior to, or at, the meeting wherein items 8-A and 8-B are considered, please provide the
Council with the following:
I. Information on the that would be leased for $1 a year. What is the
FMV? What is the estimated value to Life Time?
2. Information that would allow the Council an opportunity to assess the financial
strength of Life Time. What debt load, if any? Are there major liabilities that should
be disclosed? What disclosures is Life Time prepared to make?
3. Information that will give the Council confidence that the proper financial research
and planning has been conducted by Life Time to ensure the financial viability of the
proposed operation.
4. Information on comi2etitive opportunities. What has the City done to seek
competitive proposals (succinctly)? What has been the response (succinctly)? Is it
prudent to assume that this project cannot be `competed' further?
As you think necessary, please update the City's memo dated January 12, 1995 entitled
Financial Planning for Future Capital Needs" (which explores capital needs in relation to
present and future available funds and identifies future needs in the areas of road
improvements, street reconstruction, water and sewer improvements, surface water
management projects, parks, building renovations, and discusses possible future projects
including open space and recreational facilities but which does not address contingencies
based on state budgetary cuts such as have been identified in the recent Weber -Brandt
Provide a report on discussions with Life Time representatives following the last special
meeting on Dec. 12, and any revisions to the Letter of Intent
Nick Granath
Page 3
BACKGROUND
The Council has reviewed and adopted the City of Plymouth RecreatioUal Snorts Facility
Repo of November 1995. This report contained the findings and conclusions of a task force
appointed by the Council in January 1995. The charge of the Task force was to "examine the
future growth of youth and adult recreational sport programs in the City of Plymouth." (p, 4)
The Report identified eight issues and makes recommendations for each. However, the first
issue identified was presented as primary in the Report:
The most consistent issue is the projected growth of all youth activities as
the City of Plymouth continues to grow." (p. 7)
The Report also included cost estimates for its recommendations. (p. 18). Importantly, the
total estimated cost for all recommendations was $19.15 (million) and the City's share, apart
from other possible sources of funding, was $13.85 m.
Items 8-A and 8-13, on for the next regular meeting of the Council scheduled for December
19, 1995, concern the ballot question calling for a "special election on recreation facilities"
and "response to Life Time Fitness' Letter of Intent."
The City appears on a fast track to conclude a public-private partnership with a for-profit
business, FCA,, Ltd. dba Life Time Fitness Club. The City has conducted discussion with
Life Time for some weeks now. A special election is proposed for Feb. 6, 1996 (item 8-A).
The Letter of Intent also contains a clause stating that "the entire project is subject to
approval of the City of Plymouth in a referendum to be held in February 1996." Setting a
February election and 1996 build schedule may as a practical matter lock -in the City to a
partnership with Life Time. Therefore, it is proper at this time to examine all disadvantages
and risks inherent in the Letter of Intent, as the opportunity to do so will shortly pass.
The Council has reviewed major elements of the Life Time proposal at special meetings on
November 27 and December 12, 1995. In addition, I have received information through your
office (City Manager) and various Department Heads during this time period.
Objections to the proposal are as follows:
1. Inadeauatr. meims of pub is access to the complex: The key provision in the Letter of
Intent regarding public access is the "residential use covenant" clause which states that
Nick Granath
Page 4
the complex will be available to all residents of the City on a "daily fee basis that will be
no higher than that charged for comparable public community centers in the metro area."
This is at the heart of answering the question: Does the public benefit from this
proposal? However, the term is basically undefined and lacks objective criteria to
measure it by or examples. There is no description or mechanism for how this rate will
be set. There is no mechanism for periodic input, review or dispute from, by or of the
City. This issue is more than one of details that can be worked out later because public
access is the rationale for tax dollars going to fund a private enterprise. In addition, the
question gets to the core of how public and private needs will be reconciled on a day to
day basis inside a privately owned and operated business. Life Time presumably will
seek to maximize its adult customer access whereas the City should seek to maximize
use and access by youth who predictably will not prove as lucrative a prospect. In the
worst case scenario, Life Time will have underestimated the revenue it needs to
generate, or the demand placed on the complex by allowing special access to Plymouth
residents, and as result changes the rate structure to effectively bar all but well off
citizens from the complex even though all taxpayers, rich and poor alike, helped pay for
it,
2. Inadequate assurances of CityIILnagement controls sufficient to CMUr,htatthepublic'.-;
interest will be aintal>L: There is an absence of any official channels of
communication to address resolution of citizen complaints or comments which
inevitably will be addressed to the City. To try to answer this objection by protesting
that government controls will only entangle the operation of free enterprise misses the
point that the City's participation is premised on a public purpose that is separate from
the operation of the private sector per se.
3. Ingdenuatr,-dispute resolution mechanism: The Letter of Intent contains no such
mechanism apparently leaving the City with no practical alternative other than to
collapse the entire arrangement which would trigger a series of undesirable events,
including possible expenditure of several million dollars in order to buy out the
complex.
Nick Granath
Page 5
4 : The "ground lease" portion of the Letter of Intent
article 0 makes the City's fee interest subordinate to Life Time's financing jI
refinancing "not in excess of the greater of $4 million or the greater of (x) the then
current balance thereof and (y) 50% of the appraised vale." As has been commented:
The City's major risk factor is bankruptcy or other form of
abandonment of the Club by its owners. The Letter of intent provides that the
City could take over the entire Club for the cost of the outstanding debt on
the property." [Memo, Dec. 137 1995, D. Johnson to Mayor and Council,
emphasis added].
Future tax dollars are at risk here and the risk should be limited at the outset.
5. boss of community character: Over several years the concept of a Plymouth
Community Center, owned and operated by the public for the sole benefit of the public,
has been discussed, debated and voted on in Plymouth. We have now seemingly
abandon that course and the Letter of Intent requires us to name the complex by
including the private name. Though the City's purpose has changed in order to gain
access to sports facilities sooner than later, and though we are not creating a "public
space" in what will be part of the city center, has the citizen's expectation also changed?
6. Weaknesses in procurement: Given Plymouth's location and affluence that only one
private party would be interested in expansion financially assisted by the City seems
odd. In addition, to the extent that a "deal" has been worked out with Life Time in only
a short period of time, it seems reasonable to infer that engaging other parties beyond a
one time contact could be fruitful.
City Managers' Recommendation: The Staff's recommendation is to accept the proposed
Letter of Intent [Memo, Dec. 13, 1995, D. Johnson to Mayor and Council, p. 3]. The
recommendation focus on the advantages of financial leveraging stating:
Our citizens will gain access to a large recreational complex worth $8 million for
30 years, for an investment of about $2 million and the assurance of no operating
or maintenance costs. While this is not a public Community Center, and the City
Nick Granath
Page 6
will not exercise operating control over the Club area, this letter of intent provides
an outstanding value for our citizens."
As indicated above, I do not find this recommendation persuasive simply because it is not
clear that the citizens will gain the access we seek to provide them or that the City could not
find another private partnership with which to better leverage the citizens' money.
end - "
ig
r
Agenda Number: '7- A
TO: Mayor and City Council
FROM: Kathy Lueckert, Assistant City Manager
SUBJECT: Establish City Council Subcommittee to Interview Applicants for Boards
and Commissions on January 8, 1996
DATE: December 14, 1995 for December 19, 1995
1. ACTION REQUESTED: Determine the process to appoint new members to Boards,
Committees, and Commissions.
2. DISCUSSION: In recent years the City Council has established several methods for
appointing members to the various boards and commissions. Last year, a Council
subcommittee was formed to interview the applicants and recommend appointments to the
full Council. Two years ago, the entire Council attempted to interview all candidates,
which required three different evening meetings. This year, we expect the volume of
candidates to be low enough to interview all candidates on one evening.
Because of the vacancies on the Planning Commission, interviews should be held as soon
as possible for these spots. It is recommended that interviews be scheduled for January 8,
beginning at 6 P.M. Appointments by the Council could then take place on January 23.
3. RECON 4ENDATION: The Council should choose between the two alternative
selection processes and also establish January 8 at 6 PM as the interview date.
City of Plymouth
3400 Plymouth Boulevard
Plymouth, Minnesota 55447
Res. No. 95 -
BE IT THEREFORE RESOLVED by the City Council of the City of Plymouth,
Minnesota that a City Council Subcommittee consisting of
shall interview applicants for boards and
commissions vacancies at 6 PM on Monday, January 8, 1996.
4
City of Plymouth
3400 Plymouth Boulevard
Plymouth, Minnesota 55447
Res. No. 95 -
BE IT THEREFORE RESOLVED by the City Council of the City of Plymouth,
Minnesota that the City Council shall interview applicants for boards and commissions
vacancies at 6 PM on Monday, January 8, 1996.