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02-13-2023 Agenda and Packet
A.5:30 P.M. - WORK SESSION Note: Unless otherwise noted, work sessions are held in the Fountain Conference Room in the lower level of City Hall and are open to the public. If the City Council does not complete the work session items in the time allotted, the remaining items will be considered after the regular agenda. A.1 Civic Campus Update A.2 Avienda Recreational Facility Discussion A.3 Future Work Session Schedule B.7:00 P.M. - CALL TO ORDER (Pledge of Allegiance) C.PUBLIC ANNOUNCEMENTS D.CONSENT AGENDA All items listed under the Consent Agenda are considered to be routine by the city council and will be considered as one motion. There will be no separate discussion of these items. If discussion is desired, that item will be removed from the Consent Agenda and considered separately. City council action is based on the staff recommendation for each item. Refer to the council packet for each staff report. D.1 Approve City Council Minutes dated January 23, 2023 D.2 Receive Park & Recreation Commission Minutes dated December 13, 2022 D.3 Approve Claims Paid February 13, 2023 D.4 Consider a Request for Approval for a Final Plat, Conservation Easement, Development Contract, and Construction Plans for Fox Ridge Estates D.5 Approve Request to Extend Variance 2021-25 for 3703 South Cedar Drive AGENDA CHANHASSEN CITY COUNCIL MONDAY, FEBRUARY 13, 2023 CITY COUNCIL CHAMBERS, 7700 MARKET BOULEVARD 1 D.6 Approve Purchase, Park Equipment Replacement Schedule for South Lotus Lake Park and Sugarbush Park D.7 Approve the Annual Renewal of Laserfiche Software License and Support Software D.8 Appoint Luke Bame to the Economic Development Commission D.9 Appoint Councilmember Josh Kimber to the SouthWest Transit Commission D.10 Approve an Encroachment Agreement between the City of Chanhassen and Brian and Elise Bruner D.11 Approve Financial Management Policies D.12 Approve Infosend Proposal and Professional Services Agreement for Utility Billing Print and Mail Service D.13 Approve Officer Change for Kwik Trip, Inc. as it Relates to the Off-sale 3.2 Malt Liquor Licenses for their Chanhassen Stores located at 2201 West 78th Street and 8921 Crossroads Boulevard D.14 Resolution 2023-XX: Approve Application of the Chanhassen American Legion Post 580 to Conduct Off-Premise Lawful Gambling at Hackamore Brewing Company D.15 Resolution 2023-XX: Approve Agreement with MnDOT and Twin Cities & Western Railroad Concerning Rail Signal Replacement at Great Plains Boulevard D.16 Resolution 2023-XX: Approval to enter into a I/I Grant Agreement with the Metropolitan Council Environmental Services (MCES) D.17 Resolution 2023-XX: Approve 2023 Enterprise Fund Budgets and 2023-2027 Enterprise Fund Capital Improvement Plan D.18 Resolution 2023-XX: Amend 2023 Cemetery Fund Budget D.19 Resolution 2023-XX: Designating Official Depositories for City Funds D.20 Resolution 2023-XX: Authorize Abatement of Emerald Ash Borer Nuisance on Property Located at 951 West 78th Street D.21 Approve an Encroachment Agreement between City of Chanhassen and Grant and Julie Johnson E.VISITOR PRESENTATIONS Visitor Presentations requesting a response or action from the City Council must complete and submit the Citizen Action Request Form (see VISITOR GUIDELINES at the end of this agenda). F.PUBLIC HEARINGS F.1 Resolution 2023-XX: Conduct Public Improvement Hearing and Authorize Preparation of Plans and Specifications for the 2023 City Pavement Rehabilitation Project No. 23-01 2 F.2 Resolution 2023-XX: Conduct Improvement Hearing and Authorize Preparation of Plans and Specifications for 2023 City Mill & Overlay Project No. 23-04 G.GENERAL BUSINESS G.1 Approve an Encroachment Agreement between the City of Chanhassen and ATT SHOPS, LLC (Chick-fil-A) H.COUNCIL PRESENTATIONS I.ADMINISTRATIVE PRESENTATIONS J.CORRESPONDENCE DISCUSSION J.1 2023 Building Permit Activity J.2 Letter from Kennedy & Graven dated January 30, 2023: 2023 First Half Suburban Rate Authority Assessment K.ADJOURNMENT GUIDELINES FOR VISITOR PRESENTATIONS Welcome to the Chanhassen City Council Meeting. In the interest of open communications, the Chanhassen City Council wishes to provide an opportunity for the public to address the City Council. That opportunity is provided at every regular City Council meeting during Visitor Presentations. Anyone seeking a response or action from the City Council following their presentation is required to complete and submit a Citizen Action Request Form. An online form is available at https://www.chanhassenmn.gov/action or paper forms are available in the city council chambers prior to the meeting. Anyone indicating a desire to speak during Visitor Presentations will be acknowledged by the Mayor. When called upon to speak, state your name, address, and topic. All remarks shall be addressed to the City Council as a whole, not to any specific member(s) or to any person who is not a member of the City Council. If there are a number of individuals present to speak on the same topic, please designate a spokesperson that can summarize the issue. Limit your comments to five minutes. Additional time may be granted at the discretion of the Mayor. If you have written comments, provide a copy to the Council. During Visitor Presentations, the Council and staff listen to comments and will not engage in discussion. Council members or the City Manager may ask questions of you in order to gain a thorough understanding of your concern, suggestion or request. Please be aware that disrespectful comments or comments of a personal nature, directed at an individual either by name or inference, will not be allowed. Personnel concerns should be directed to the City Manager. 3 Members of the City Council and some staff members may gather at Tequila Butcher, 590 West 79th Street in Chanhassen immediately after the meeting for a purely social event. All members of the public are welcome. 4 City Council Item February 13, 2023 Item Civic Campus Update File No.Item No: A.1 Agenda Section 5:30 P.M. - WORK SESSION Prepared By Laurie Hokkanen, City Manager Reviewed By SUGGESTED ACTION N/A Motion Type N/A Strategic Priority Development & Redevelopment SUMMARY BACKGROUND On September 13, 2022 the city hosted hosted a Design Workshop with the City Council, staff, all commission members, and Park Referendum Task Force members invited to share feedback on the proposed Civic Campus. The Design Workshop was a result of the Facility Study completed by Snow Kreilich Architects and Kraus Anderson in 2021-22. The study helps us understand the condition and projected needs of our public buildings. The complete study and materials are available here: https://www.chanhassenmn.gov/government/projects/2022-city-of-chanhassen-facilities-study. In particular, the study helped the City Council understand the costs of refurbishing or replacing City Hall. City Hall was built in 1980, with significant projects in 1988, 1996, and 2004. Based on the cost differentials and ability to benefit the community, the City Council decided to explore opportunities to 5 build a new Civic Campus that would include a new City Hall and park amenities to create a new community focal point. Potential elements could include an inclusive playground, a restaurant, a performance stage, a splash pad, an art walk, an ice ribbon, and other ideas. Hoisington Koegler Group, a planning and landscape architecture firm, presented five concepts for a reimagined City Hall area at the workshop. Commission members were able to review and provide feedback on the concepts. At the January 23, 2023 City Council meeting, HKGi staff shared feedback received at the Design Workshop and received additional input from the City Council as we work towards a preferred concept. Bryan Harjes will join us for the work session with a further refined concept plan and cost estimates for additional discussion and feedback. DISCUSSION BUDGET RECOMMENDATION ATTACHMENTS Civic Campus Concept Presentation Civic Campus Concept Boards 6 CHANHASSEN CIVIC CAMPUS CITY COUNCIL WORK SESSION FEBRUARY 13, 2023 CHANHASSEN CIVIC CAMPUS CITY COUNCIL WORK SESSION 2.13.2023 AGENDA 1. Preferred Concept and Discussion 2. Next Steps CHANHASSEN CIVIC CAMPUS CITY COUNCIL WORK SESSION 2.13.2023 CONTEXT [ CHANHASSEN CIVIC CAMPUS CITY COUNCIL WORK SESSION 2.13.2023 EXISTING CONDITIONS EXISTING CITY HALL FOOTPRINT [0 20 40 Feet CHANHASSEN CIVIC CAMPUS CITY COUNCIL WORK SESSION 2.13.2023 POTENTIAL PROGRAM SHIFT [0 20 40 Feet SITE PROGRAMMING • No Change »Library »Vet’s Memorial • On-Site Relocation »City Hall »Parking (Surface and or Structured) »Skate Park »Hockey »Plaza Space • Potential Off-Site Relocation »Hockey »Skate Park • Potential New Program Elements »Stand Alone Community Room / Vending Space »Universal Playground »Farmers Market »Ice Skating Ribbon/ Loop »Outdoor Seating »Fountain »Splash Pad CHANHASSEN CIVIC CAMPUS CITY COUNCIL WORK SESSION 2.13.2023 EXISTING CONCEPT 3 CONCEPT 1 CONCEPT 4 CONCEPT 2 CONCEPT 5 JOINT WORK SESSION CONCEPT REVIEW CHANHASSEN CIVIC CAMPUS CITY COUNCIL WORK SESSION 2.13.2023 POTENTIAL PROGRAM ELEMENTS Desired Elements: »City Hall/Sr Center in the Southeast »Stand Alone Community Room/Vending Space »Gathering/ Performance Space (Flexible) »Outdoor Seating Options »Universal Playground »Splash Pad »Decorative Fountain »Surface Parking »Maintain Veteran’s Memorial »Refresh Existing Plaza and strengthen downtown connections Less Desirable Elements: »Housing »Refrigerated Ice Loop Discussion Surrounding Existing Program Features: »Skate Park »Hockey »Larger Open Space Area for Festivals CHANHASSEN CIVIC CAMPUS CITY COUNCIL WORK SESSION 2.13.2023 PREFERRED CONCEPT KEY FEATURES PARKING DEVELOPMENT • Build new City Hall building located near the intersection of W78th Street and Market Boulevard (2 Story with under building parking) • Develop new surface parking lots for City Hall and Civic Campus along the east side of site • Maintain existing parking lot/structure on west side of site • Create a 4 season park centrum building with adjacent performance/event plaza • Provide additional features including a universal playground, splash pad and gathering lawn • Retain existing Veteran’s Memorial and create an new associated plaza space for ceremonies • Retain and enhance the event lawn area and skate park on the north side of the site • Enhance connections from the west with a pedestrian crossing signal of Kerber Blvd. and plaza paving courtyard at the library entry • Create a strong civic presence along W78th Street with a linear plaza and entry signage EXISTING CITY HALL FOOTPRINT Calculated Parking Need: 137 for City Hall + 76 for Library (213 Total) Existing Parking Structure - Upper Level 93 Spaces Existing Parking Structure - Additional Spaces 5 Spaces Existing Parking Structure - Lower Level 26 Spaces Proposed Parking Under City Hall +/-40 Spaces Proposed Surface Parking for City Hall 97 Spaces Total 261 Spaces City Hall + Senior Center - 2 Story + Under Building Parking +/-17,000 SF Per Floor Community Room/Vending Space +/- 4,000 SF [0 40 80 Feet CHANHASSEN CIVIC CAMPUS CITY COUNCIL WORK SESSION 2.13.2023 PREFERRED CONCEPT EXISTING CITY HALL FOOTPRINT [0 40 80 Feet A A B B C C CHANHASSEN CIVIC CAMPUS CITY COUNCIL WORK SESSION 2.13.2023 PREFERRED CONCEPT EXISTING CITY HALL FOOTPRINT [0 40 80 Feet D D E E F F CHANHASSEN CIVIC CAMPUS CITY COUNCIL WORK SESSION 2.13.2023 PREFERRED CONCEPT EXISTING CITY HALL FOOTPRINT [0 40 80 Feet G G H H I I CHANHASSEN CIVIC CAMPUS CITY COUNCIL WORK SESSION 2.13.2023 PREFERRED CONCEPT EXISTING CITY HALL FOOTPRINT [0 40 80 Feet J J K K L L CHANHASSEN CIVIC CAMPUS CITY COUNCIL WORK SESSION 2.13.2023 PREFERRED CONCEPT EXISTING CITY HALL FOOTPRINT [0 40 80 Feet M M N N O O CHANHASSEN CIVIC CAMPUS CITY COUNCIL WORK SESSION 2.13.2023 PREFERRED CONCEPT EXISTING CITY HALL FOOTPRINT [0 40 80 Feet P P Q Q R R CHANHASSEN CIVIC CAMPUS CITY COUNCIL WORK SESSION 2.13.2023 PREFERRED CONCEPT EXISTING CITY HALL FOOTPRINT [0 40 80 Feet S S T T U U CHANHASSEN CIVIC CAMPUS CITY COUNCIL WORK SESSION 2.13.2023 PRECEDENT IMAGES CHANHASSEN CIVIC CAMPUS CITY COUNCIL WORK SESSION 2.13.2023 PRELIMINARY COST SUMMARY 1 SITE PREPARATION $50,000 2 REMOVALS/DEMO $200,000 3 EXCAVATION/EARTHWORKS $100,000 4 STORMWATER $300,000 5 WATER SERVICE $40,000 6 ELECTRICAL $470,000 7 SITE FEATURES $2,232,800 8 PAVING $1,360,950 9 LANDSCAPE $570,000 10 BUILDINGS $18,950,000 CONSTRUCTION TOTAL $24,023,750 11 SOFT COSTS $8,748,550 TOTAL $32,772,300 CHANHASSEN CIVIC CAMPUS CITY COUNCIL WORK SESSION 2.13.2023 NEXT STEPS... • Finalize preferred Concept Direction (Jan-Feb 2023) • Precurement of Costruction Manager and Design Team (Feb-April 2023) • Design Process (2023) • Construction Start (2024) • Project Completion (2025) CHANHASSEN CIVIC CAMPUS CITY COUNCIL WORK SESSION 2.13.2023 THANK YOU! CHANHASSEN CIVIC CAMPUS CITY COUNCIL WORK SESSION 2.13.2023 CONCEPT 1 - CITY HALL ON MARKET BLVD. KEY FEATURES PARKING DEVELOPMENT • New City Hall Building relocated to Market Blvd. with new visitor parking for to north and staff parking under building • New central park spaces with small park building/ community room/vending space opportunity with outdoor dining/ gathering, water feature and play lawn. • New larger, upper park area for larger gatherings/ festivals • Existing plaza area to the south remains • Existing parking on Kerber Blvd. remains • Hockey and Skate Park remain in current configuration EXISTING CITY HALL FOOTPRINT Calculated Parking Need: 137 for City Hall + 76 for Library (213 Total) Existing Parking Structure - Upper Level 93 Spaces Existing Parking Structure - Lower Level 26 Spaces Proposed Parking Under City Hall 48 Spaces Proposed Surface Parking for City Hall 70 Spaces Total 237 Spaces City Hall + Senior Center - 2 Story +/-14,300 SF Per Floor Community Room/Vending Space +/- 4,000 SF [0 20 40 Feet CHANHASSEN CIVIC CAMPUS CITY COUNCIL WORK SESSION 2.13.2023 CONCEPT 2 - CITY HALL TO NORTHEAST + SR HOUSING KEY FEATURES PARKING DEVELOPMENT • New City Hall Building relocated to northeast (hockey/ skate park area) with new visitor parking on north, east and south sides of building – no under building parking • New central park spaces with small park pavilion for gathering separating an upper park lawn area and a lower plaza space with a linear water feature • New skate plaza and small splash pad area on the lower plaza level with a new universal playground • New Senior High Density Housing + Senior Center located on former parking lot site. Parking for Senior Center, Library and Housing included on this site • Hockey relocated off site and Skate Park relocated to plaza area Calculated Parking Need: 137 for City Hall + 76 for Library (213 Total) City Hall - North 36 Spaces City Hall - East 65 Spaces City Hall - South 36 Spaces Library / Senior Center 70 Spaces Subtotal (Civic Campus)207 Spaces Senior HDR - Surface 38 Spaces Senior HDR - Underground 42 Spaces Subtotal (Senior HDR)80 Spaces Total 287 Spaces City Hall - 2 Story +/-17,000 SF Per Floor Senior HDR - 4 Story (+/- 70 units)+/- 14,800 SF Per Floor Senior Center +/-3,750 SF EXISTING CITY HALL FOOTPRINT [0 20 40 Feet CHANHASSEN CIVIC CAMPUS CITY COUNCIL WORK SESSION 2.13.2023 CONCEPT 3 - CITY HALL TO NORTH KEY FEATURES PARKING DEVELOPMENT • New City Hall Building relocate to the north with under building parking • Expanded parking ramp on west side of City Hall to accommodate City Hall and Library parking • Pedestrian promenade with vending/ market opportunity connects east to west • Larger park space with expanded skate park, open lawn area and small gathering pavilion. • Tree grove seating area and sculpture plaza between City Hall and Library • Additional parking capacity for expanded public program (vending space, senior center, etc.) Calculated Parking Need: 137 for City Hall + 76 for Library (213 Total) Parking Structure - Lower Level 93 Spaces Parking Structure - Upper Level 93 Spaces City Hall - Under Building 60 Spaces Total 246 Spaces City Hall + Senior Center - 2 Story +/-17,000 SFPer Floor Community Room/Vending Space +/- 3,000 SF EXISTING CITY HALL FOOTPRINT [0 20 40 Feet CHANHASSEN CIVIC CAMPUS CITY COUNCIL WORK SESSION 2.13.2023 CONCEPT 4 - CITY HALL TO WEST KEY FEATURES PARKING DEVELOPMENT • New City Hall Building relocated to west of existing (requires construction of new surface parking to north to support existing building program) with Senior Center on lower level • New pleasure skate rink on upper park terrace • New park and plaza features throughout park area • Skate park expanded slightly to the west • Hockey relocated off site Calculated Parking Need: 137 for City Hall + 76 for Library (213 Total) City Hall - Surface 91 Spaces City Hall - Upper Level 40 Spaces City Hall - Lower Level + Under Building 80 Spaces Total 211 Spaces City Hall + Senior Center - 3 Story +/-11,100 SF Per Floor EXISTING CITY HALL FOOTPRINT [0 20 40 Feet CHANHASSEN CIVIC CAMPUS CITY COUNCIL WORK SESSION 2.13.2023 CONCEPT 5 - CITY HALL TO MARKET BLVD. & W 78TH ST CORNER KEY FEATURES PARKING DEVELOPMENT • New City Hall Building relocated the southwest corner with surface and below grade parking • Extension of Chan View Street to west, doubles as a festival street for events • New surface parking for library and shared parking with City Hall • New residential development at hockey and skate park area as well as at existing parking ramp for current City Hall • New open lawn area for large festivals on upper terrace, new skate park and plaza area on central terrace north of the street extension Calculated Parking Need: 137 for City Hall + 76 for Library (213 Total) City Street Parking 41 Spaces Library Surface Parking 26 Spaces City Hall - Upper Level 82 Spaces City Hall - Lower Level 82 Spaces Subtotal (Civic Campus)231 Spaces West HDR - Surface 32 Spaces West HDR - Underground 54 Spaces East HDR - Surface 55 Spaces East HDR - Underground 50 Spaces Subtotal (HDR)191 Spaces Total 231 Spaces City Hall + Senior Center - 3 Story +/-9,600 SFPer Floor West HDR - 3 Story (+/- 57 Units)+/-16,200 SFPer Floor East HDR - 4 Story (+/- 73 Units)+/- 15,600 SFPer Floor EXISTING CITY HALL FOOTPRINT Calculated Parking Need: 137 for City Hall + 76 for Library (213 Total)[0 20 40 Feet City Council Item February 13, 2023 Item Avienda Recreational Facility Discussion File No.Item No: A.2 Agenda Section 5:30 P.M. - WORK SESSION Prepared By Laurie Hokkanen, City Manager Reviewed By SUGGESTED ACTION N/A Motion Type N/A Strategic Priority N/A SUMMARY The city is in discussions with the owners of Avienda to partner on a recreational facility at Avienda, to include 2 sheets of ice, a walking track, meeting rooms and more. Level 7 Development representative Mark Nordland will again join us virtually to discuss the project including cost estimates. BACKGROUND DISCUSSION BUDGET RECOMMENDATION 32 ATTACHMENTS Draft House Bill Draft Senate Bill SF0798-0 33 1.1 A bill for an act 1.2 relating to capital investment; appropriating money for the Avienda Recreational 1.3 Facility in the city of Chanhassen; authorizing the sale and issuance of state bonds. 1.4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 1.5 Section 1. CHANHASSEN; AVIENDA RECREATIONAL FACILITY. 1.6 Subdivision 1.Appropriation.$22,000,000 is appropriated from the bond proceeds 1.7 fund to the commissioner of employment and economic development for a grant to the city 1.8 of Chanhassen to predesign, design, construct, furnish, and equip a regional recreational 1.9 facility, subject to Minnesota Statutes, section 16A.695. This appropriation includes money 1.10 for construction of two ice sheets, a walking track, athletic turf, community gathering space, 1.11 site improvements, and additional recreational amenities. 1.12 Subd. 2.Bond sale.To provide the money appropriated in this section from the bond 1.13 proceeds fund, the commissioner of management and budget shall sell and issue bonds of 1.14 the state in an amount up to $22,000,000 in the manner, upon the terms, and with the effect 1.15 prescribed by Minnesota Statutes, sections 16A.631 to 16A.675, and by the Minnesota 1.16 Constitution, article XI, sections 4 to 7. 1.17 EFFECTIVE DATE.This section is effective the day following final enactment. 1Section 1. REVISOR JSK/LN 23-0342702/06/23 34 1.1 A bill for an act 1.2 relating to local taxes; authorizing the city of Chanhassen to impose a local sales 1.3 and use tax. 1.4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 1.5 Section 1. CITY OF CHANHASSEN; TAXES AUTHORIZED. 1.6 Subdivision 1.Sales and use tax authorization.Notwithstanding Minnesota Statutes, 1.7 section 297A.99, subdivision 1, or 477A.016, or any other law, ordinance, or city charter, 1.8 and if approved by the voters at a general election as required under Minnesota Statutes, 1.9 section 297A.99, subdivision 3, the city of Chanhassen may impose by ordinance a sales 1.10 and use tax of up to one-half of one percent for the purposes specified in subdivision 2. 1.11 Except as otherwise provided in this section, the provisions of Minnesota Statutes, section 1.12 297A.99, govern the imposition, administration, collection, and enforcement of the tax 1.13 authorized under this subdivision. The tax imposed under this subdivision is in addition to 1.14 any local sales and use tax imposed under any other special law. 1.15 Subd. 2.Use of sales and use tax revenues.The revenues derived from the tax authorized 1.16 under subdivision 1 must be used by the city of Chanhassen to pay the costs of collecting 1.17 and administering the tax and paying for up to $40,000,000 for construction costs of the 1.18 Avienda Recreational Facility, including securing and paying debt service on bonds issued 1.19 to finance all or part of the project. 1.20 Subd. 3.Bonding authority.(a) The city of Chanhassen may issue bonds under 1.21 Minnesota Statutes, chapter 475, to finance all or a portion of the costs of the projects 1.22 authorized in subdivision 2. The aggregate principal amount of bonds issued under this 1Section 1. 23-02264 as introduced01/19/23 REVISOR EAP/JW SENATE STATE OF MINNESOTA S.F. No. 798NINETY-THIRD SESSION (SENATE AUTHORS: COLEMAN) OFFICIAL STATUSD-PGDATE Introduction and first reading41401/26/2023 Referred to Taxes 35 2.1 subdivision may not exceed $40,000,000, plus an amount to be applied to the payment of 2.2 the costs of issuing the bonds. 2.3 (b) The bonds may be paid from or secured by any funds available to the city of 2.4 Chanhassen, including the tax authorized under subdivision 1. The issuance of bonds under 2.5 this subdivision is not subject to Minnesota Statutes, sections 275.60 and 275.61. 2.6 (c) The bonds are not included in computing any debt limitation applicable to the city 2.7 of Chanhassen, and any levy of taxes under Minnesota Statutes, section 475.61, to pay 2.8 principal and interest on the bonds is not subject to any levy limitation. A separate election 2.9 to approve the bonds under Minnesota Statutes, section 475.58, is not required. 2.10 Subd. 4.Termination of taxes.Subject to Minnesota Statutes, section 297A.99, 2.11 subdivision 12, the tax imposed under subdivision 1 expires at the earlier of (1) 20 years 2.12 after the tax is first imposed, or (2) when the city council determines that the amount received 2.13 from the tax is sufficient to pay for the project costs authorized under subdivision 2, plus 2.14 an amount sufficient to pay the costs related to issuance of any bonds authorized under 2.15 subdivision 3, including interest on the bonds. Except as otherwise provided in Minnesota 2.16 Statutes, section 297A.99, subdivision 3, paragraph (f), any funds remaining after payment 2.17 of the allowed costs due to the timing of the termination of the tax under Minnesota Statutes, 2.18 section 297A.99, subdivision 12, must be placed in the general fund of the city. The tax 2.19 imposed under subdivision 1 may expire at an earlier time if the city so determines by 2.20 ordinance. 2.21 EFFECTIVE DATE.This section is effective the day after the governing body of the 2.22 city of Chanhassen and its chief clerical officer comply with Minnesota Statutes, section 2.23 645.021, subdivisions 2 and 3. 2Section 1. 23-02264 as introduced01/19/23 REVISOR EAP/JW 36 City Council Item February 13, 2023 Item Future Work Session Schedule File No.Item No: A.3 Agenda Section 5:30 P.M. - WORK SESSION Prepared By Kim Meuwissen, City Clerk Reviewed By Laurie Hokkanen SUGGESTED ACTION N/A Motion Type N/A Strategic Priority N/A SUMMARY The City Council is tentatively scheduled to hold the following work sessions: February 27, 2023 Commission Interviews March 13, 2023 Discuss Commission Applications March 20, 2023 City Council Roundtable City Manager Performance Review BACKGROUND 37 Staff or the City Council may suggest topics for work sessions. Dates are tentative until the meeting agenda is published. Work sessions are typically held at 5:30 pm on the second and fourth Monday of each month in conjunction with the regular City Council meeting, but may be scheduled for other times as needed. DISCUSSION BUDGET RECOMMENDATION ATTACHMENTS 38 City Council Item February 13, 2023 Item Approve City Council Minutes dated January 23, 2023 File No.Item No: D.1 Agenda Section CONSENT AGENDA Prepared By Kim Meuwissen, City Clerk Reviewed By SUGGESTED ACTION "The Chanhassen City Council approves the City Council minutes dated January 23, 2023." Motion Type Simple Majority Vote of members present Strategic Priority N/A SUMMARY BACKGROUND DISCUSSION BUDGET RECOMMENDATION ATTACHMENTS City Council Work Session Meeting Minutes dated january 23, 2023 39 City Council Regular Meeting Minutes dated January 23, 2023 40 CHANHASSEN CITY COUNCIL WORK SESSION MINUTES JANUARY 23, 2023 COUNCIL MEMBERS PRESENT: Mayor Ryan, Councilman McDonald, Councilman von Oven, and Councilman Kimber. COUNCIL MEMBERS ABSENT: Councilwoman Schubert. STAFF PRESENT: Laurie Hokkanen, City Manager; Matt Unmacht, Assistant City Manager; Charlie Howley, City Engineer/Public Works Director; Kelly Grinnell, Finance Director; Jerry Ruegemer, Park & Recreation Director; Rick Rice, IT Manager; Ari Lyksett, Communications Manager; and Kim Meuwissen, City Clerk. PUBLIC PRESENT: Mark Nordland, Level 7 Development (via Teams) Bryan Harjes, HKGi Jessica Cook, Ehlers Public Finance Advisors Kyle Sawyer, Ehlers Public Finance Advisors Bill Maloney, 7211 Frontier Trail Mayor Ryan called the Work Session to order at 5:30 p.m. AVIENDA RECREATIONAL FACILITY DISCUSSION Mark Nordland of Level 7 Development presented a proposal for a recreational facility to be located in the southeast corner of the Avienda project site. He gave an update on the development status of the project. The project anchor will be a sporting complex to include two to three ice rinks and a field house. There is a restaurant proposed to be attached to the facility but also open to the public. A 130-room hotel is also proposed to correlate with the sports complex. A medical office building (orthopedic) is proposed to the west of the sporting complex with potential sponsorship. Convenient traffic and pedestrian flow are proposed as well as adequate parking for the sporting complex. One of the ice rinks would be a premier facility with seating for 3,000. A walking track is proposed throughout the facility as well as a climbing wall, turf, and general fitness area. Community room space is proposed above the restaurant. Free open skate with skating lessons similar to a program at Braemar Arena in Edina. A mezzanine space is proposed above the field house for a hockey academy which would utilize weekday ice time. Below grade parking is also shown as an option. A cross section of the facility was shown looking from east to west. The sporting complex would be built into the slope making the ice rinks eight feet below street grade. A birds-eye view was shown. A revised proposal with two sheets of ice was presented with the possibility of adding a third sheet of ice. Mayor Ryan asked Mr. Nordland to provide next steps in the process. Mr. Nordland is working on getting pricing which will drive what can be built all at once or in stages, refine pricing and refine what can be delivered, working with all project stakeholders. He is also working on other funding sources, charitable and for profit. Most of these facilities are significantly subsidized by the cities they are located in. He is also working on a row-home plat to be submitted shortly, as well as working with retailers and a grocery store as well as the large apartment complex on the site. 41 City Council Work Session Minutes – January 23, 2023 2 CIVIC CAMPUS UPDATE Bryan Harjes from HKGi presented the civic campus update agenda which included context/background, a summary of the joint work session feedback, discussion and preferred concept direction, and next steps. The project area focuses on the area surrounding existing city hall and the library. Guiding principles of the 2017 Downtown Vision Plan were reviewed, existing conditions were shown, and project phasing was discussed. A potential program shift includes no change to the veterans memorial or the library; however, there is potential to relocate parking, the skate park, the hockey rink, and the plaza space. Mr. Harjes discussed the five concepts that were reviewed at the joint work session and then provided concept feedback. Discussed included sharing of potential program elements and potential concept direction. Next steps are to finalize a preferred concept direction, procurement of a construction manager and design team, design process, construction start, and project completion. Council discussed the concepts and the potential location for city hall and the senior center. UTILITY RATE STUDY DISCUSSION Jessica Cook from Ehlers reviewed changes since 2020 recommendations. The Capital Improvement Program (CIP) increased, staff costs have been reallocated, and two growth scenarios were presented (with and without the Avienda development). Council direction from the January 9 work session was to keep rate increases in 2023 and reduce annual increases in future years. The current recommendation for water is increases of 5% per year, reduction of bonding, and position the city for future capital years. Sanitary sewer recommendations were increases of 8.5% per year beginning in 2023. Storm water recommendations were increases of 15% in 2023-25, 14% in 2026, 8.25% in 2027-29, and 5% per year thereafter. Sample residential and commercial quarterly bills were shown from 2023-27. Modest increases are proposed for 2023 hookup fees with future annual increases. Next steps would be to adopt the proposed 2023 rate increases at tonight’s city council meeting, then monitor rates and update the rate study if the Avienda development changes, and capital improvement costs and inflation increase, rates can be adjusted. FUTURE WORK SESSION SCHEDULE Date Item February 13 Carver County Environmental Services Discussion Civic Campus Update February 27 Commission Interviews March 13 Discuss Commission Applicants March 20 City Council Roundtable City Manager Performance Review The work session adjourned at 6:55 p.m. Submitted by Laurie Hokkanen City Manager Prepared by Kim Meuwissen City Clerk 42 CHANHASSEN CITY COUNCIL REGULAR MEETING MINUTES JANUARY 23, 2023 Mayor Ryan called the meeting to order at 7:00 p.m. The meeting was opened with the Pledge of Allegiance. COUNCIL MEMBERS PRESENT: Mayor Ryan, Councilman McDonald, Councilman von Oven, Councilman Kimber. COUNCIL MEMBERS ABSENT:Councilwoman Schubert. STAFF PRESENT: Laurie Hokkanen, City Manager; Matt Unmacht, Assistant City Manager; Kelly Grinnell, Finance Director; Charlie Howley, Director of Public Works/City Engineer; Andrea McDowell-Poehler, City Attorney; Jerry Ruegemer, Park and Recreation Direction; Ari Lyksett, Communications Manager; Rick Rice, IT Manager; Sharmeen Al-Jaff, Senior Planner; Don Johnson, Fire Chief; Lance Pearce, Police Lieutenant; MacKenzie Young-Walters, Associate Planner; and Kim Meuwissen, City Clerk. PUBLIC PRESENT Councilman Josh Kimber’s Family, 7050 Lucy Ridge Lane Tom Madden, 19260 Lake Avenue, Deephaven (e-cig POD owner) Zac Gleason, Hackamore Brewing Company Jake Gleason, Hackamore Brewing Company Jessica Cook, Ehlers Public Finance Advisors Kyle Sawyer, Ehlers Public Finance Advisors OATH OF OFFICE 1. Oath of Office – Josh Kimber Attorney McDowell-Poehler led Josh Kimber in the Chanhassen City Council Oath of Office. PUBLIC ANNOUNCEMENTS 1. Invitation to February Festival Mayor Ryan invited the public to attend the 30 th Annual February Festival. FebFest will be held on Saturday, February 4th from 12-3pm on Lake Ann and the public is invited for horse-drawn wagon rides, kicksledding, snowshoeing, bonfires, door prizes, ice fishing contest, hot concessions, and a Medallion Hunt. 43 City Council Minutes – January 23, 2023 2 CONSENT AGENDA: Councilman McDonald moved, Councilman von Oven seconded that the City Council approve the following consent agenda items pursuant to the City Manager’s recommendations: 1. Approve City Council Minutes dated January 9, 2023 2. Approve City Council Special Meeting Minutes dated January 18, 2023 3. Receive Environmental Commission Minutes dated December 14, 2022 4. Receive Economic Development Commission Minutes dated December 14, 2022 5. Receive Planning Commission Minutes dated December 6, 2022 6. Approve Claims Paid January 23, 2023 7. Resolution 2023-07: Authorize 2023 Fleet Purchases 8. Resolution 2023-08: Approve a Cooperative Construction Agreement with MnDOT for the TH41 Improvement Project 9. Resolution 2023-09: Accept Feasibility Study and Call Public Improvement Hearing for the 2023 City Pavement Rehabilitation Project No. 23-01 10. Resolution 2023-10: Accept Feasibility Study and Call Public Hearing for 2023 City Mill & Overlay Project No. 23-04 All voted in favor and the motion carried unanimously with a vote of 4 to 0. VISITOR PRESENTATIONS Tom Madden, 19260 Lake Avenue, Deephaven, owns e-cig POD next to Party City in Chanhassen. He came to the City Council tonight to apologize for an employee who sold a product to a minor last month. Mr. Madden found out the night it happened and the employee was fired that night. The next day Mr. Madden began drafting ID protocol which employees sign and date; if they break the protocol they are fired on the spot. FIRE DEPARTMENT/LAW ENFORCEMENT UPDATES 1. Monthly Fire Department Update Fire Chief Johnson updated the council on stats from December noting they are running with 27 paid on-call firefighters with 9 working full time. Chief Johnson shared that part-time firefighter applications are open with interviews in mid-February. In December the department had 135 calls for service and participated in a mutual-aid fire in Minnetonka. They also had 80 responses for EMS within Chanhassen. Preliminary year-end data is 1,202 calls which is a record and shows an 11.5% increase over 2021. Chief Johnson shared that the fire department is working with General Mills to run a full functional exercise for training in 2023. 44 City Council Minutes – January 23, 2023 3 2. Law Enforcement Update Lt. Lance Pearce updated the council noting in December they had 11 Type A crimes, 37 Type B, 326 miscellaneous non-criminal events, and 323 traffic-related events. Non-criminal activity included suspicious activity calls and he shared they are seeing a decrease in medical responses for the Sherriff’s Office due to the new matrix with the Fire Department. The number of domestic incidents remained constant and they had 19 mental health calls in December. PUBLIC HEARINGS 1. Approval of Small Brewer Off-Sale and On-Sale Brewer Taproom Liquor Licenses for Hackamore Brewing Company located at 18651 Lake Drive East Assistant City Manager Unmacht noted the city received a request from Hackamore Brewing Company and presented the staff report. The Brewery is anticipated to open in March 2023. Background investigations were performed on the five partners of the company which Lt. Pearce reviewed and note nothing questionable related to state statute. Staff has not received comments from the public and is recommending approval. Mayor Ryan opened the public hearing. There were no public comments. Mayor Ryan closed the public hearing. Councilman von Oven moved, Councilman McDonald seconded that the City Council approve the request for off-sale small brewer and on-sale brewer taproom liquor licenses from Hackamore Brewery LLC, dba Hackamore Brewing Company contingent upon receipt of the annual license fee of $600 and liquor liability insurance associated with the application. All voted in favor and the motion carried unanimously with a vote of 4 to 0. 2. Resolution 2023-11: Consider a Request for Approval of a Metes and Bounds Subdivision at 6730 Golden Court Associate Planner Young-Walters gave a presentation noting the applicant is proposing to split a 1.17-acre parcel into two single-family lots. Both parcels meet standards of the city code, and the applicant will need to remove the existing driveway across Parcel A to bring it into compliance. The applicant is proposing 58% tree canopy coverage which exceeds the city’s threshold, and a park dedication fee will be required for the new lot. Director of Public Works/City Engineer Howley noted the site has adequate access to public water and sanitary services. He shared about a small wetland on site, setbacks, and stormwater design, and stated that the project looks good from an engineering perspective. Mr. Young-Walters noted staff recommends approval. Mayor Ryan opened the public hearing. There were no public comments. 45 City Council Minutes – January 23, 2023 4 Mayor Ryan closed the public hearing. Councilman McDonald moved, Councilman Kimber seconded that the Chanhassen City Council adopt a resolution approving a Metes and Bounds subdivision creating two single- family lots subject to the conditions of approval and adopts the Findings of Fact. All voted in favor and the motion carried unanimously with a vote of 4 to 0. GENERAL BUSINESS 1. Ordinance 703: Establishing City Fees and Charges for 2023 Finance Director Grinnell said included in the fee schedule are quarterly and monthly utility fees; prior to setting these fees the city engaged Ehlers Associates to conduct a rate study. Jessica Cook of Ehlers Associates presented the results of the rate study noting the Avienda development is being included in the study due to the significant impact and growth for the community. The previous rate study was in 2020 and over the last two years the Capital Improvement Plan has been scrutinized, updated, and reflects the new emphasis on road replacement in the community. Ms. Cook shared Met Council expenses from the city and noted that, based on historical increases from the Met Council, Ehlers assumes their rates will go up 6%. She shared about personnel costs going up 5%, and other non-personnel costs going up 3% which were the key assumptions in the rate study. Ehlers recommends maintaining the 5% rate increases for water in 2023 and 2024; for the sewer utility Ehlers projects the need for 8.5% rate increases in 2023 and beyond. Ms. Cook noted costs for stormwater management go up every year due to environmental regulations and state requirements. For 2023 Ehlers recommends a rate increase of 15% through 2025 then scaling back in subsequent years. Mayor Ryan asked Mr. Howley what the city’s approach is when they look at stormwater projects within a road project. Mr. Howley explained stormwater covers anything regarding pipes in the street, catch basins, ponds within neighborhoods, and the people it takes to manage those. He stated if something goes wrong in water or sanitary sewer it is very serious so cities have paid attention to maintenance and upkeep of those two things. Regarding storm sewer within the city, a lot of infrastructure was put in back in the 1980s and 1990s during a high-growth time and have been neglected over time. The city has needed to repair a lot of the infrastructure over time and as a result are now paying much more attention to stormwater than in the past. During road repairs, the city will fix the infrastructure during the project. Mr. Howley noted there is a lot of need and the city is very strategic about what they do with road projects and pond projects. Ms. Cook shared a sample slide showing a residential bill and explained the increases per quarter for someone using 26,000 gallons of water/quarter. She also showed a sample commercial bill for a property using 50,000 water/sewer per quarter. Councilman von Oven asked staff to clarify that stormwater is impactful on lakes in terms of water clarity, nutrients, etc. 46 City Council Minutes – January 23, 2023 5 Mr. Howley replied yes, absolutely the pipes go to treatment facilities such as ponds, and that water is then treated before being discharged into the lakes. Money spent on stormwater does impact the lakes in the city. Councilman McDonald moved, Councilman von Oven seconded that the Chanhassen City Council adopts an ordinance establishing the City Fees and Charges for 2023. All voted in favor and the motion carried unanimously with a vote of 4 to 0. 2. Resolution 2023-12: Supporting the Authority to Hold a Referendum to Impose a Local Sales Tax to Fund Specific Capital Improvements Providing Regional Benefit City Manager Hokkanen noted this is a required step in the process to consider a local sales tax and must be submitted by January 31 to the state legislature to be considered. The local sales tax would be a funding source for a public/private partnership for a recreational facility to be located at Avienda; a one-half percent sales tax would generate $35-$40,000,000 over a 20-year period. If the city council adopts the resolution, it must also be approved by the legislature, and then approved by the voters via referendum. Passing the resolution tonight would not obligate the city council to carry it forward to referendum but is a required step in the process. Councilman McDonald moved, Councilman Kimber seconded that the Chanhassen City Council adopts a resolution supporting the authority to hold a referendum to impose a local sales tax to fund specific capital improvements providing regional benefit. All voted in favor and the motion carried unanimously with a vote of 4 to 0. COUNCIL PRESENTATIONS: None. ADMINISTRATIVE PRESENTATIONS: None. CORRESPONDENCE DISCUSSION 1. Business Retention & Expansion Program Intro Letter 2. Rotary Club of Chanhassen Certificate of Appreciation - End Polio Now Councilman von Oven moved, Councilman Kimber seconded to adjourn the meeting. All voted in favor and the motion carried unanimously with a vote of 4 to 0. The City Council meeting was adjourned at 8:04 p.m. Submitted by Laurie Hokkanen City Manager Prepared by Kim Meuwissen City Clerk 47 City Council Item February 13, 2023 Item Receive Park & Recreation Commission Minutes dated December 13, 2022 File No.Item No: D.2 Agenda Section CONSENT AGENDA Prepared By Amy Weidman, Admin Support Specialist Reviewed By SUGGESTED ACTION "The Chanhassen City Council Receives the Park & Recreation Commission Minutes dated December 13, 2022." Motion Type Simple Majority Vote of members present Strategic Priority Operational Excellence SUMMARY BACKGROUND DISCUSSION BUDGET RECOMMENDATION ATTACHMENTS 48 Park & Recreation Commission Minutes dated December 13, 2022 49 CHANHASSEN PARK AND RECREATION COMMISSION REGULAR MEETING MINUTES DECEMBER 13, 2022 Chairman Tsuchiya called the meeting to order at 6:30 p.m. MEMBERS PRESENT: Karl Tsuchiya, Jim Peck, Don Vasatka, Scott Fischer, Dan Eidsmo, Matt Kutz, Heather Markert, Youth Commissioner Alex Jerdee. MEMBERS ABSENT: None. STAFF PRESENT: Jerry Ruegemer, Park and Recreation Director; Priya Tandon, Recreation Manager; Adam Beers, Park Superintendent; Mitchell Czech, Recreation Supervisor; Mary Blazanin, Senior Center Coordinator. PUBLIC PRESENT: None. APPROVAL OF AGENDA: Commissioner Peck moved, Commissioner Kutz seconded to approve the agenda as presented. All voted in favor and the motion carried unanimously with a vote of 8 to 0. PUBLIC ANNOUNCEMENTS: None. VISITOR PRESENTATIONS: None. APPROVAL OF MINUTES: APPROVE PARK & RECREATION MINUTES DATED NOVEMBER 22, 2022 Commissioner Peck moved, Commissioner Fischer seconded to approve the Minutes of the Park and Recreation Commission Meeting dated November 22, 2022 as presented. All voted in favor and the motion carried unanimously with a vote of 8 to 0. GENERAL BUSINESS: 1. 2022 YEAR IN REVIEW PRESENTATION Recreation Manager Tandon gave a slideshow presentation highlighting the Park Department programs and events from throughout 2022. New opportunities in 2022 included Youth Ice Fishing Camps and Team Ski and Snowboard Camps, Bunny Yoga, the Senior Center 30th 50 Park and Recreation Commission Minutes – December 13, 2022 2 Anniversary, Summer Concert Series Kick Off Day, Community Day at the Rec Center, and the 55+ Senior Expo. 2. 2023 PARK AND RECREATION COMMISSION VACANCIES Park and Recreation Director Ruegemer shared that Commissioners Fischer, Peck, and Chair Tsuchiya’s terms will be up on March 1, 2023 and applications will be ready on January 12, 2023. REPORTS: 1. TREE LIGHTING CEREMONY REVIEW Recreation Manager Tandon stated the 2022 Tree Lighting Ceremony was held on Saturday, December 3 from 5-6pm. Councilmember Haley Schubert and family flipped the ceremonial switch illuminating City Center Park. Despite low temperatures there was a strong turnout with around 500 people in attendance. The event had refreshments, s’mores, bonfires, carolers, live reindeer, and a visit from Santa. Ms. Tandon thanked Buy Chanhassen, SouthWest Metro Chamber of Commerce, The Mustard Seed Landscape and Garden Center, Living Christ Lutheran Church, and SouthWest Transit. She thanked the Park Department for putting up all the lights which looked great. She noted that 19 homes were registered for the Tour of Lights program throughout Chanhassen. 2. RECREATION CENTER QUARTERLY UPDATE Mr. Ruegemer updated the Commission that the City entered into a new contract for wall replacement with W.L. Wall. He shared about Rec Center events including the Artisan Fair, Holiday Boutique, Dance for Fun, Go Gymnastics, Paint your Pet (personalized cat and dog paintings), and sports including Small Fry Sports and Lil’ Star Sports, as well as Pickleball. Mr. Ruegemer noted upcoming events include Fit for Life Free Trial Class on January 17, and the Royal Ball on January 27. 3. SENIOR CENTER QUARTERLY REPORT Mary Blazanin, Senior Center Coordinator, gave an update noting they are wrapping up many fun holiday gatherings and parties right now. Quarterly events included Life Long Learning speakers and classes with 150 participants, Health and Wellness Services with 162 monthly attendees, as well as Weekly Groups and Clubs with 157 weekly attendees. She shared about the Senior Expo, Octoberfest Luncheon, Veterans Day Pancake Breakfast, Holiday lunch and celebration, and Noon Years Potluck Lunch. Day trips included Paramount Theater in St. Cloud, Ames Center in Burnsville, and A Christmas Carol at the Guthrie. She shared about donations and fees to help offset cost of the events and programs. 51 Park and Recreation Commission Minutes – December 13, 2022 3 4. PARK MAINTENANCE QUARTERLY UPDATE Adam Beers, Park Superintendent, gave an update stating the Roundhouse Park playground will be installed in the spring of 2023, the North Lotus hockey rink is ready, and they have been working on facility shutdown and winterizing the buildings. He noted the winter season is when the department work on trees along the trails, and skating rinks are being prepared. Temps should fall the following week and flooding will occur 24 hours a day to stabilize the ice and get the rinks ready for use. COMMISSION MEMBER COMMITTEE REPORTS: None. COMMISSION MEMBER PRESENTATIONS: None. ADMINISTRATIVE PRESENTATIONS: Mr. Ruegemer updated the Commission on the previous night’s City Council meeting, noting they adopted the 2023 budget with a 6.3% levy. The increased levy will cover additional trail maintenance dollars of $138,000. He noted they will get two of the three playgrounds the Commission proposed and depending on any surplus the City may be able to do the third playground at Carver Beach. They will do South Lotus and Sugar Bush in 2023. ADJOURNMENT: Commissioner Markert moved, Commissioner Kutz seconded to adjourn the meeting. All voted in favor and the motion carried unanimously with a vote of 8 to 0. The Park and Recreation Commission meeting was adjourned at 7:12 p.m. Submitted by Jerry Ruegemer Park and Recreation Director Prepared by Amy Weidman Administrative Support Specialist 52 City Council Item February 13, 2023 Item Approve Claims Paid February 13, 2023 File No.Item No: D.3 Agenda Section CONSENT AGENDA Prepared By Danielle Washburn, Assistant Finance Director Reviewed By Kelly Grinnell SUGGESTED ACTION "The Chanhassen City Council Approves Claims Paid dated February 13, 2023." Motion Type Simple Majority Vote of members present Strategic Priority Financial Sustainability SUMMARY BACKGROUND DISCUSSION The following claims are submitted for review and approval on February 13, 2023: Check Numbers Amounts 179090 - 179208 $400,924.41 ACH Payments $319,371.58 Total All Claims $720,295.99 BUDGET RECOMMENDATION ATTACHMENTS Check Summary Check Summary ACH Check Detail Check Detail ACH Accounts Payable User: Printed: dwashburn 2/7/2023 2:51 PM Checks by Date - Summary by Check Number Check No Check DateVendor NameVendor No Void Checks Check Amount Enterpr Enterprise FM Trust 01/17/2023 0.00 6,962.81179090 pritan Priya Tandon 01/17/2023 0.00 100.00179091 ALLSTR ALLSTREAM 01/19/2023 0.00 564.47179092 ALPAUR Alphagraphics Aurora 01/19/2023 0.00 217.33179093 ARAMAR ARAMARK Refreshment Services, LLC 01/19/2023 0.00 923.79179094 ASCAP ASCAP 01/19/2023 0.00 420.00179095 ASPEQU Aspen Equipment 01/19/2023 0.00 8,071.00179096 BCATRA BCA 01/19/2023 0.00 15.00179097 BuscAaro Aaron Busch 01/19/2023 0.00 191.38179098 CHAPET CITY OF CHANHASSEN-PETTY CASH 01/19/2023 0.00 69.73179099 ComMin Compass Minerals America, Inc 01/19/2023 0.00 15,167.29179100 CUBFOO CUB FOODS 01/19/2023 0.00 80.41179101 DEMCON DEM-CON LANDFILL 01/19/2023 0.00 402.62179102 EHLERS EHLERS & ASSOCIATES INC 01/19/2023 0.00 6,450.00179103 ferwat Ferguson Waterworks #2518 01/19/2023 0.00 9,181.02179104 FlePri FleetPride, Inc.01/19/2023 0.00 200.99179105 GasCons Gassen Construction & Maintenance LLC 01/19/2023 0.00 454.87179106 HeaPar HealthPartners, Inc.01/19/2023 0.00 88,230.46179107 MacTom Tom Mackin 01/19/2023 0.00 40.00179108 MIDCOU MID COUNTY COOP 01/19/2023 0.00 22,322.44179109 MTIDIS MTI DISTRIBUTING INC 01/19/2023 0.00 1,817.42179110 MunH2O Municipal H2O 01/19/2023 0.00 4,200.00179111 OBMul OB Mulligan, LLC 01/19/2023 0.00 52.93179112 PluTek Plumbtek, LLC 01/19/2023 0.00 92.00179113 REARES REACH FOR RESOURCES 01/19/2023 0.00 10,436.53179114 ROAANI ROADKILL ANIMAL CONTROL 01/19/2023 0.00 95.00179115 SOFHOU SOFTWARE HOUSE INTERNATIONAL 01/19/2023 0.00 6,725.00179116 SOUSUB SOUTHWEST NEWS MEDIA 01/19/2023 0.00 717.44179117 THUSPE Thul Specialty Contracting Inc 01/19/2023 0.00 4,500.00179118 TimSav TimeSaver Off Site Secretarial, Inc 01/19/2023 0.00 355.75179119 TRACON TRAFFIC CONTROL CORPORATION 01/19/2023 0.00 600.00179120 VALRIC VALLEY-RICH CO INC 01/19/2023 0.00 11,299.75179121 WastMana Waste Management of Minnesota, Inc 01/19/2023 0.00 1,650.17179122 AE2SCON Advanced Elements Operational Technology, LLC01/26/2023 0.00 500.00179123 Aladte Aladtec 01/26/2023 0.00 4,032.00179124 BCATRA BCA 01/26/2023 0.00 15.00179125 BuscAaro Aaron Busch 01/26/2023 0.00 1,450.00179126 CENENE CENTERPOINT ENERGY MINNEGASCO 01/26/2023 0.00 3,050.97179127 CenLin CenturyLink 01/26/2023 0.00 59.85179128 ComMin Compass Minerals America, Inc 01/26/2023 0.00 4,569.20179129 DigImp Digital Impact Solutions, LLC 01/26/2023 0.00 149.00179130 DinFir Dinges Fire Company 01/26/2023 0.00 1,706.72179131 FACMOT FACTORY MOTOR PARTS COMPANY 01/26/2023 0.00 293.44179132 ferwat Ferguson Waterworks #2518 01/26/2023 0.00 578.96179133 GRABAR GRAYBAR 01/26/2023 0.00 415.68179134 GuaGuy Guard Guys, LLC 01/26/2023 0.00 500.00179135 HarJeff Jeff & Dawn Harken 01/26/2023 0.00 428.80179136 Page 1AP Checks by Date - Summary by Check Number (2/7/2023 2:51 PM) 54 Check No Check DateVendor NameVendor No Void Checks Check Amount HENCOU HENNEPIN COUNTY 01/26/2023 0.00 6.30179137 JasSer Jasper Services, LLC 01/26/2023 0.00 800.00179138 LEAMIN LEAGUE OF MINNESOTA CITIES 01/26/2023 0.00 495.00179139 McCBil Bill McClintick 01/26/2023 0.00 315.00179140 McGiAmBe Amanda & Benjamin McGibbon 01/26/2023 0.00 78.00179141 MinExt Minnesota Exteriors 01/26/2023 0.00 150.00179142 MinuPre Minuteman Press 01/26/2023 0.00 87.00179143 MTIDIS MTI DISTRIBUTING INC 01/26/2023 0.00 856.50179144 OlsCha Chad & Lauren Olsen 01/26/2023 0.00 65.61179145 ParAll Parts Alliance South 01/26/2023 0.00 104.51179146 PILDRY PILGRIM DRY CLEANERS 01/26/2023 0.00 403.58179147 PorJeff Jeff Porritt 01/26/2023 0.00 50.00179148 PriPar Princess Party Pals, LLC 01/26/2023 0.00 550.00179149 sarljodi Jodi Sarles 01/26/2023 0.00 300.00179150 SOULOC SOUTHWEST LOCK & KEY 01/26/2023 0.00 174.00179151 TitlNex TitleNexus, LLC 01/26/2023 0.00 510.00179152 POST POSTMASTER 01/31/2023 0.00 1,332.24179153 BCATRA BCA 02/02/2023 0.00 15.00179154 BoyAar Aaron Boyer 02/02/2023 0.00 1.25179155 BS&ASo BS & A Software 02/02/2023 0.00 1,674.00179156 UB*02696 BURNET TITLE 02/02/2023 0.00 73.03179157 CasGat Castle Gate Construction 02/02/2023 0.00 5,000.00179158 CENENE CENTERPOINT ENERGY MINNEGASCO 02/02/2023 0.00 109.27179159 EmbMinn CENTURYLINK 02/02/2023 0.00 1,827.46179160 ChaRes Chanhassen Residential Development Partners02/02/2023 0.00 119,000.00179161 UB*02704 LIHE CHEN 02/02/2023 0.00 55.81179162 SHAKOP CITY OF SHAKOPEE 02/02/2023 0.00 2,100.00179163 CleSol Cleaning Solutions Services 02/02/2023 0.00 7,871.70179164 ComMin Compass Minerals America, Inc 02/02/2023 0.00 7,232.68179165 DAVIDIAN DIANA DAVIS 02/02/2023 0.00 100.00179166 UB*02687 EDINA REALTY TITLE 02/02/2023 0.00 135.40179167 UB*02700 EDINA REALTY TITLE 02/02/2023 0.00 46.70179168 ElfAsso Elfering & Associates, PLC 02/02/2023 0.00 1,205.00179169 UB*02691 ESTATE OF ELIZABETH M BRYAN 02/02/2023 0.00 5.15179170 UB*02705 ESTATE OF NORRENE COZINE 02/02/2023 0.00 18.91179171 UB*02702 ESTATE OF RITA ROJINA 02/02/2023 0.00 84.47179172 ferwat Ferguson Waterworks #2518 02/02/2023 0.00 1,120.42179173 UB*02703 FIDELITY NATIONAL TITLE 02/02/2023 0.00 53.95179174 FirSaf Fire Safety USA 02/02/2023 0.00 2,395.00179175 UB*02686 FLEX TITLE COMPANY 02/02/2023 0.00 26.56179176 UB*02692 DAN & SALLY GABLER 02/02/2023 0.00 154.69179177 UB*02695 GCS TITLE 02/02/2023 0.00 85.16179178 GuaGuy Guard Guys, LLC 02/02/2023 0.00 318.00179179 UB*02690 PATT HEGSTROM 02/02/2023 0.00 7.07179180 UB*02697 HOWARD R. HANSON REVOCABLE TRUST02/02/2023 0.00 112.88179181 LawPro Lawson Products, Inc.02/02/2023 0.00 429.97179182 LEAINS LEAGUE OF MN CITIES INS TRUST 02/02/2023 0.00 2,276.35179183 MNFIRE MN FIRE SERVICE CERTIFICATION BOARD02/02/2023 0.00 1,543.50179184 MinuPre Minuteman Press 02/02/2023 0.00 232.00179185 MNFIRE MN FIRE SERVICE CERTIFICATION BOARD02/02/2023 0.00 178.50179186 NorFie Northfield Lines, Inc 02/02/2023 0.00 1,275.53179187 ParAll Parts Alliance South 02/02/2023 0.00 83.81179188 UB*02698 PATHLIGHT PROPERTY MANAGEMENT02/02/2023 0.00 238.32179189 POWOIB POWERPLAN OIB 02/02/2023 0.00 2,201.45179190 ProDry Pro Drywall & Painting Inc 02/02/2023 0.00 2,730.00179191 UB*02683 SHERYL ROSATI 02/02/2023 0.00 51.19179192 schcom Schwickert Company 02/02/2023 0.00 840.00179193 Page 2AP Checks by Date - Summary by Check Number (2/7/2023 2:51 PM) 55 Check No Check DateVendor NameVendor No Void Checks Check Amount UB*02685 TACY ANN SICKELER 02/02/2023 0.00 45.82179194 SnoKre Snow Kreilich Architects 02/02/2023 0.00 4,326.25179195 SOULOC SOUTHWEST LOCK & KEY 02/02/2023 0.00 154.00179196 UB*02688 STEWART TITLE COMPANY 02/02/2023 0.00 23.69179197 UB*02689 ARUN SUBBIAH 02/02/2023 0.00 51.29179198 UB*02684 SUDEEP SUNDAR BHAT 02/02/2023 0.00 87.41179199 UB*02701 RACHEL THUNBERG 02/02/2023 0.00 80.05179200 TitlCho Title Choice 02/02/2023 0.00 113.07179201 UB*02699 TITLE SMART INC 02/02/2023 0.00 26.67179202 UB*02694 TITLE SPECIALIST 02/02/2023 0.00 27.82179203 triedeea DeeAnn Triethart 02/02/2023 0.00 13.97179204 VERIZO VERIZON WIRELESS 02/02/2023 0.00 5,698.78179205 WastMana Waste Management of Minnesota, Inc 02/02/2023 0.00 500.23179206 UB*02693 WATERMARK TITLE AGENCY 02/02/2023 0.00 170.14179207 UB*02706 KERRY & ABBIE ZAJICEK 02/02/2023 0.00 60.08179208 Report Total (119 checks): 400,924.41 0.00 Page 3AP Checks by Date - Summary by Check Number (2/7/2023 2:51 PM) 56 Accounts Payable Checks by Date - Summary by Check User:dwashburn Printed: 2/7/2023 2:52 PM Check No Vendor No Vendor Name Check Date Void Checks Check Amount ACH z-4stat 4 State Trucks 01/18/2023 0.00 58.95 ACH z-Amazon Amazon 01/18/2023 0.00 2,097.53 ACH z-AmePla American Planning Association 01/18/2023 0.00 517.00 ACH z-Americ Americinn 01/18/2023 0.00 118.65 ACH z-apple Apple.com 01/18/2023 0.00 1.98 ACH z-bhphot B&H Photo 01/18/2023 0.00 161.01 ACH z-Bitly Bitly, Inc 01/18/2023 0.00 35.00 ACH z-broad Broadway Across America 01/18/2023 0.00 5,445.00 ACH z-BufWil Buffalo Wild Wings 01/18/2023 0.00 22.62 ACH z-CabFev Cabin Fever Sporting Goods 01/18/2023 0.00 26.85 ACH z-Carcof Caribou Coffee 01/18/2023 0.00 5.04 ACH z-ceupla CEU Plan 01/18/2023 0.00 196.35 ACH z-CompSa Complete Safety 01/18/2023 0.00 110.00 ACH z-costco Costco Wholesale 01/18/2023 0.00 179.93 ACH z-CubFoo Cub Foods 01/18/2023 0.00 38.96 ACH z-davann Davanni's 01/18/2023 0.00 182.05 ACH z-dell Dell 01/18/2023 0.00 2,984.00 ACH z-facboo Facebook 01/18/2023 0.00 1.90 ACH z-FreLak French Lake Auto Parts 01/18/2023 0.00 2,200.00 ACH z-fuslea Fusion Learning Partners 01/18/2023 0.00 1,025.00 ACH z-gloind Global Industrial Solutions 01/18/2023 0.00 615.68 ACH z-gfoa Government Finance Officers Association 01/18/2023 0.00 245.00 ACH z-grain Grainger 01/18/2023 0.00 88.92 ACH z-haccom Hach Company 01/18/2023 0.00 1,880.03 ACH z-hickma Hickmans Service Inc 01/18/2023 0.00 214.75 ACH z-HomDep Home Depot 01/18/2023 0.00 1,395.51 ACH z-Houlih Houlihan's 01/18/2023 0.00 369.30 ACH z-hpserv HP Services 01/18/2023 0.00 -68.72 ACH z-hydpow Hydra Power Hydraulics Inc 01/18/2023 0.00 84.08 ACH z-indpla Indelco Plastics Corporation 01/18/2023 0.00 109.01 ACH z-Intsoc International Society of Arboriculture 01/18/2023 0.00 120.00 ACH z-IrFan IR Fanview 01/18/2023 0.00 12.89 ACH z-jamsof Jamf Software, LLC 01/18/2023 0.00 128.00 ACH z-kwitri Kwik Trip 01/18/2023 0.00 16.68 ACH z-Laserc Lasercrafting 01/18/2023 0.00 11.50 ACH z-LeaMin League of Minnesota Cities 01/18/2023 0.00 350.00 ACH z-Lunbye Lunds & Byerly's 01/18/2023 0.00 66.84 ACH z-macken Mackenthun's 01/18/2023 0.00 54.73 ACH z-mcmcar McMaster-Carr 01/18/2023 0.00 183.66 ACH z-Menard Menards 01/18/2023 0.00 678.41 ACH z-merlin Merlins Ace Hardware 01/18/2023 0.00 635.59 ACH z-metcou Metropolitan Council Enviromental Services 01/18/2023 0.00 20,000.00 ACH z-MNRUR Minnesota Rural Water Association 01/18/2023 0.00 150.00 ACH z-NorAtl North Atlantic 01/18/2023 0.00 1,227.94 ACH z-Nortoo Northern Tool+Equipment 01/18/2023 0.00 1,448.97 ACH z-Offmax Office Max/Office Depot 01/18/2023 0.00 12.87 Page 1 of 3 57 Check No Vendor No Vendor Name Check Date Void Checks Check Amount ACH z-papamu Papa Murphy's 01/18/2023 0.00 54.00 ACH z-Parcit Party City 01/18/2023 0.00 5.37 ACH z-Post Postmaster 01/18/2023 0.00 14.70 ACH z-pub42 Pub 42 01/18/2023 0.00 255.38 ACH z-samclu Sam's Club 01/18/2023 0.00 455.79 ACH z-senlan Sensible Land Use Coalition 01/18/2023 0.00 96.00 ACH z-shewil Sherwin-Williams 01/18/2023 0.00 65.76 ACH z-SMMAut SMM Auto Parking Ramp 01/18/2023 0.00 30.00 ACH z-SouMet Southwest Metro Chamber of Commerce 01/18/2023 0.00 200.00 ACH z-starbu Starbucks 01/18/2023 0.00 6.17 ACH z-Strat Stratoguard, LLC 01/18/2023 0.00 221.76 ACH z-target Target 01/18/2023 0.00 66.93 ACH z-TeqBut TEQUILA BUTCHER 01/18/2023 0.00 101.90 ACH z-tessco Tessco 01/18/2023 0.00 375.55 ACH Z-USreba US Bank Rebate 01/18/2023 0.00 -2,151.59 ACH z-Walmar Wal-Mart 01/18/2023 0.00 206.37 ACH z-weissm WEISSMAN 01/18/2023 0.00 4,613.53 ACH z-WhenIW When I work 01/18/2023 0.00 30.40 ACH z-zoom Zoom 01/18/2023 0.00 85.90 ACH z-zortoo Zoro Tools Inc 01/18/2023 0.00 107.20 ACH AdvEng Advanced Engineering & Environmental Services, LLC 01/19/2023 0.00 2,136.45 ACH apadan Apadana LLC 01/19/2023 0.00 1,983.04 ACH BENEXT BENEFIT EXTRAS INC 01/19/2023 0.00 865.45 ACH BOLMEN BOLTON & MENK INC 01/19/2023 0.00 68,475.00 ACH BRAINT BRAUN INTERTEC CORPORATION 01/19/2023 0.00 15,589.50 ACH CAMKNU CAMPBELL KNUTSON 01/19/2023 0.00 14,465.90 ACH carcou Carver County 01/19/2023 0.00 1,460.00 ACH engwat Engel Water Testing Inc 01/19/2023 0.00 625.00 ACH FASCOM FASTENAL COMPANY 01/19/2023 0.00 6.86 ACH HANTHO HANSEN THORP PELLINEN OLSON 01/19/2023 0.00 530.00 ACH HOIKOE HOISINGTON KOEGLER GROUP 01/19/2023 0.00 2,065.00 ACH InnOff Innovative Office Solutions LLC 01/19/2023 0.00 53.27 ACH AlHiJuli Juli Al-Hilwani 01/19/2023 0.00 75.00 ACH BENSKAYE KAYE L BENSON 01/19/2023 0.00 476.00 ACH K TECH K-TECH SPECIALTY COATINGS, INC 01/19/2023 0.00 1,360.90 ACH Marco Marco Inc 01/19/2023 0.00 735.00 ACH METCO Metropolitan Council, Env Svcs 01/19/2023 0.00 4,920.30 ACH MilAut Milestone Auto Inc. 01/19/2023 0.00 230.00 ACH MinEqu Minnesota Equipment 01/19/2023 0.00 103.68 ACH MNLABO MN DEPT OF LABOR AND INDUSTRY 01/19/2023 0.00 3,242.15 ACH NAPA NAPA AUTO & TRUCK PARTS 01/19/2023 0.00 182.18 ACH PREMRM PRECISE MRM LLC 01/19/2023 0.00 273.00 ACH ProTec Pro-Tec Design, Inc. 01/19/2023 0.00 364.00 ACH IMPPOR Rent N Save Portable Services 01/19/2023 0.00 1,066.00 ACH SRFCON SRF CONSULTING GROUP INC 01/19/2023 0.00 3,687.93 ACH SunLif Sun Life Financial 01/19/2023 0.00 1,439.15 ACH BOLMEN BOLTON & MENK INC 01/26/2023 0.00 6,533.50 ACH COMINT COMPUTER INTEGRATION TECHN. 01/26/2023 0.00 409.60 ACH FASCOM FASTENAL COMPANY 01/26/2023 0.00 134.32 ACH Avesis Fidelity Security Life 01/26/2023 0.00 291.32 ACH GOPSTA GOPHER STATE ONE-CALL INC 01/26/2023 0.00 50.00 ACH GRANIC GRANICUS INC 01/26/2023 0.00 3,100.00 ACH HAWCHE HAWKINS CHEMICAL 01/26/2023 0.00 60.00 ACH InnOff Innovative Office Solutions LLC 01/26/2023 0.00 130.78 ACH AlHiJuli Juli Al-Hilwani 01/26/2023 0.00 150.00 Page 2 of 3 58 Check No Vendor No Vendor Name Check Date Void Checks Check Amount ACH MVEC MN VALLEY ELECTRIC COOP 01/26/2023 0.00 538.38 ACH NAPA NAPA AUTO & TRUCK PARTS 01/26/2023 0.00 172.55 ACH NusEqu Nuss Truck & Equipment 01/26/2023 0.00 311.88 ACH POWCHA POWER SYSTEMS 01/26/2023 0.00 17.64 ACH Spring Springbrook 01/26/2023 0.00 69,916.39 ACH STAPRO Stavros Properties 01/26/2023 0.00 742.44 ACH STRGUA STRATOGUARD LLC 01/26/2023 0.00 221.76 ACH SUBCHE SUBURBAN CHEVROLET 01/26/2023 0.00 16.51 ACH XCEL XCEL ENERGY INC 01/26/2023 0.00 19,329.24 ACH ALEAIR ALEX AIR APPARATUS INC 02/02/2023 0.00 1,099.14 ACH BROAWA BROADWAY AWARDS 02/02/2023 0.00 30.59 ACH ColLif Colonial Life & Accident Insurance Co 02/02/2023 0.00 67.80 ACH DiaSno Diamond Snow & Ice Control 02/02/2023 0.00 1,920.00 ACH DISSAL DISPLAY SALES COMPANY 02/02/2023 0.00 2,540.00 ACH InnOff Innovative Office Solutions LLC 02/02/2023 0.00 72.78 ACH KENGRA KENNEDY & GRAVEN, CHARTERED 02/02/2023 0.00 5,996.76 ACH MACEQU MACQUEEN EQUIPMENT 02/02/2023 0.00 272.21 ACH MatTri Matheson Tri-Gas, Inc. 02/02/2023 0.00 713.43 ACH METFOR METROPOLITAN FORD 02/02/2023 0.00 17.61 ACH MinEqu Minnesota Equipment 02/02/2023 0.00 696.75 ACH MRPA MN RECREATION & PARK ASSOC. 02/02/2023 0.00 1,519.00 ACH MVEC MN VALLEY ELECTRIC COOP 02/02/2023 0.00 227.26 ACH MobMin Mobile Mini, Inc 02/02/2023 0.00 1,725.00 ACH NAPA NAPA AUTO & TRUCK PARTS 02/02/2023 0.00 20.75 ACH NorAmerS North American Safety, Inc. 02/02/2023 0.00 83.40 ACH NusEqu Nuss Truck & Equipment 02/02/2023 0.00 265.95 ACH IMPPOR Rent N Save Portable Services 02/02/2023 0.00 1,066.00 ACH SafFas Safe-Fast, Inc. 02/02/2023 0.00 55.30 ACH UniAth Universal Athletic Services, Inc. 02/02/2023 0.00 765.00 ACH VIKIND VIKING INDUSTRIAL CENTER 02/02/2023 0.00 100.00 ACH WSB WSB & ASSOCIATES INC 02/02/2023 0.00 8,762.00 ACH XCEL XCEL ENERGY INC 02/02/2023 0.00 12,537.20 Report Total:0.00 319,371.58 Page 3 of 3 59 AP Check Detail-Checks User: dwashburn Printed: 2/7/2023 2:53:49 PM Last Name Acct 1 Amount Check Date Description Advanced Elements Operational Technology, LLC 700-0000-4300 500.00 1/26/2023 software and Hosting/Maintenance Jan 1, 2023 - Dec 31, 2023 500.00 1/26/2023 Advanced Elements Operational Technology, LLC 500.00 Aladtec 101-1220-4237 4,032.00 1/26/2023 Aladtec Subscription - Annual 4,032.00 1/26/2023 Aladtec 4,032.00 ALLSTREAM 101-1160-4310 564.47 1/19/2023 Mitel Phone System Maintenance Feb 564.47 1/19/2023 ALLSTREAM 564.47 Alphagraphics Aurora 701-0000-4340 72.44 1/19/2023 Leave Request Alphagraphics Aurora 101-1320-4340 72.45 1/19/2023 Leave Request Alphagraphics Aurora 700-0000-4340 72.44 1/19/2023 Leave Request 217.33 1/19/2023 Alphagraphics Aurora 217.33 ARAMARK Refreshment Services, LLC 101-1170-4110 109.98 1/19/2023 Caribou Regular ARAMARK Refreshment Services, LLC 101-1170-4110 83.90 1/19/2023 Aramark Bronze Water Filter ARAMARK Refreshment Services, LLC 101-1170-4110 87.48 1/19/2023 Caribou Blend Kcup, Caribou Regular AP - Check Detail-Checks (2/7/2023)Page 1 of 25 60 Last Name Acct 1 Amount Check Date Description ARAMARK Refreshment Services, LLC 101-1170-4110 642.43 1/19/2023 Caribou Blend Kcup, Caribou Regular, Coffee Mate, Chai latte 923.79 1/19/2023 ARAMARK Refreshment Services, LLC 923.79 ASCAP 101-1530-4125 420.00 1/19/2023 License Fee - 01/01/23 - 12/31/23 420.00 1/19/2023 ASCAP 420.00 Aspen Equipment 400-4120-4704 8,071.00 1/19/2023 Western 10 Pro Plus Snowplow 8,071.00 1/19/2023 Aspen Equipment 8,071.00 BCA 101-1120-4352 15.00 1/19/2023 Background Investigation 15.00 1/19/2023 BCA 101-1120-4352 15.00 1/26/2023 Background Investigation 15.00 1/26/2023 BCA 101-1120-4352 15.00 2/2/2023 Background Investigation 15.00 2/2/2023 BCA 45.00 Boyer Aaron 101-0000-2033 1.25 2/2/2023 Overpayment Refund - Permit 2023-00278 - 6535 Gray Fox Curve 1.25 2/2/2023 Boyer Aaron 1.25 AP - Check Detail-Checks (2/7/2023)Page 2 of 25 61 Last Name Acct 1 Amount Check Date Description BS & A Software 101-1160-4236 1,674.00 2/2/2023 Permit Application Submission Fees - Q4 22 1,674.00 2/2/2023 BS & A Software 1,674.00 BURNET TITLE 700-0000-2020 3.90 2/2/2023 Refund Check 014604-000, 8291 ESSEX ROAD BURNET TITLE 701-0000-2020 41.26 2/2/2023 Refund Check 014604-000, 8291 ESSEX ROAD BURNET TITLE 700-0000-2020 19.08 2/2/2023 Refund Check 014604-000, 8291 ESSEX ROAD BURNET TITLE 720-0000-2020 8.79 2/2/2023 Refund Check 014604-000, 8291 ESSEX ROAD 73.03 2/2/2023 BURNET TITLE 73.03 Busch Aaron 101-1220-4120 191.38 1/19/2023 Glasses insert for SCBA 191.38 1/19/2023 Busch Aaron 101-1220-4370 1,450.00 1/26/2023 EMT Basic Class 1,450.00 1/26/2023 Busch Aaron 1,641.38 Castle Gate Construction 101-0000-2072 2,500.00 2/2/2023 As-Built - Permit 2019-00603 - 9043 Degler Lane Castle Gate Construction 101-0000-2072 2,500.00 2/2/2023 As-Built - Permit 2019-00688 - 9031 River Rock Drive N 5,000.00 2/2/2023 Castle Gate Construction 5,000.00 CENTERPOINT ENERGY MINNEGASCO 101-1171-4321 168.79 1/26/2023 Monthly Service - 7610 Laredo Dr, 2310 Coulter Blvd, 391 W 78th CENTERPOINT ENERGY MINNEGASCO 101-1530-4321 640.17 1/26/2023 Monthly Service - 7610 Laredo Dr, 2310 Coulter Blvd, 391 W 78th CENTERPOINT ENERGY MINNEGASCO 101-1220-4321 2,242.01 1/26/2023 Monthly Service - 7610 Laredo Dr, 2310 Coulter Blvd, 391 W 78th 3,050.97 1/26/2023 CENTERPOINT ENERGY MINNEGASCO 101-1312-4321 87.42 2/2/2023 Monthly Service - Utilities AP - Check Detail-Checks (2/7/2023)Page 3 of 25 62 Last Name Acct 1 Amount Check Date Description CENTERPOINT ENERGY MINNEGASCO 700-0000-4321 10.93 2/2/2023 Monthly Service - Utilities CENTERPOINT ENERGY MINNEGASCO 701-0000-4321 10.92 2/2/2023 Monthly Service - Utilities 109.27 2/2/2023 CENTERPOINT ENERGY MINNEGASCO 3,160.24 CenturyLink 700-7043-4310 59.85 1/26/2023 Monthly Service - 01/13/23 - 02/12/23 59.85 1/26/2023 CENTURYLINK 700-0000-4310 15.53 2/2/2023 Monthy Service - Telephone CENTURYLINK 101-1220-4310 33.87 2/2/2023 Monthy Service - Telephone CENTURYLINK 101-1190-4310 123.80 2/2/2023 Monthy Service - Telephone CENTURYLINK 101-1550-4310 30.88 2/2/2023 Monthy Service - Telephone CENTURYLINK 101-1540-4310 92.85 2/2/2023 Monthy Service - Telephone CENTURYLINK 700-0000-4310 6.18 2/2/2023 Monthy Service - Telephone CENTURYLINK 101-1350-4310 30.88 2/2/2023 Monthy Service - Telephone CENTURYLINK 701-0000-4310 15.53 2/2/2023 Monthy Service - Telephone CENTURYLINK 101-1160-4325 250.81 2/2/2023 Monthy Service - Internet CENTURYLINK 101-1160-4325 125.84 2/2/2023 Monthy Service - Internet CENTURYLINK 101-1312-4310 49.41 2/2/2023 Monthy Service - Telephone CENTURYLINK 700-7019-4310 215.94 2/2/2023 Monthy Service - Telephone CENTURYLINK 101-1170-4310 829.76 2/2/2023 Monthy Service - Telephone CENTURYLINK 701-0000-4310 6.18 2/2/2023 Monthy Service - Telephone 1,827.46 2/2/2023 CENTURYLINK 1,887.31 Chanhassen Residential Development Partners 101-0000-2072 2,500.00 2/2/2023 As-Built - Permit 2014-01134 - 9051 Degler Circle Chanhassen Residential Development Partners 101-0000-2072 2,500.00 2/2/2023 As-Built - Permit 2014-02443 - 1651 Jeurissen Lane Chanhassen Residential Development Partners 101-0000-2072 2,500.00 2/2/2023 As-Built - Permit 2014-01637 - 1505 Mills Drive Chanhassen Residential Development Partners 101-0000-2072 2,500.00 2/2/2023 As-Built - Permit 2014-01842 - 9091 Degler Circle Chanhassen Residential Development Partners 101-0000-2072 2,500.00 2/2/2023 As-Built - Permit 2016-02280 - 9081 River Rock Drive N Chanhassen Residential Development Partners 101-0000-2072 2,500.00 2/2/2023 As-Built - Permit 2014-02371 - 1630 Jeurissen Lane Chanhassen Residential Development Partners 101-0000-2072 2,500.00 2/2/2023 As-Built - Permit 2014-03257 - 9080 Degler Circle Chanhassen Residential Development Partners 101-0000-2072 2,500.00 2/2/2023 As-Built - Permit 2016-00863 - 9074 Degler Lane Chanhassen Residential Development Partners 101-0000-2072 2,500.00 2/2/2023 As-Built - Permit 2017-01736 - 9092 River Rock Drive N Chanhassen Residential Development Partners 101-0000-2072 2,500.00 2/2/2023 As-Built - Permit 2016-00861 - 9011 River Rock Drive N Chanhassen Residential Development Partners 101-0000-2072 2,500.00 2/2/2023 As-Built - Permit 2016-03126 - 9052 River Rock Drive N AP - Check Detail-Checks (2/7/2023)Page 4 of 25 63 Last Name Acct 1 Amount Check Date Description Chanhassen Residential Development Partners 101-0000-2072 2,500.00 2/2/2023 As-Built - Permit 2015-02213 - 9051 River Rock Drive N Chanhassen Residential Development Partners 101-0000-2072 2,500.00 2/2/2023 As-Built - Permit 2014-01010 - 9041 Degler Circle Chanhassen Residential Development Partners 101-0000-2072 2,500.00 2/2/2023 As-Built - Permit 2016-00210 - 9071 River Rock Drive N Chanhassen Residential Development Partners 101-0000-2072 2,500.00 2/2/2023 As-Built - Permit 2015-01181 - 1640 Jeurissen Lane Chanhassen Residential Development Partners 101-0000-2072 2,500.00 2/2/2023 As-Built - Permit 2017-01713 - 9042 River Rock Drive N Chanhassen Residential Development Partners 101-0000-2072 2,500.00 2/2/2023 As-Built - Permit 2016-01227 - 9053 Degler Lane Chanhassen Residential Development Partners 101-0000-2072 2,500.00 2/2/2023 As-Built - Permit 2017-00647 - 9034 Degler Lane Chanhassen Residential Development Partners 101-0000-2072 2,500.00 2/2/2023 As-Built - Permit 2016-01357 - 1650 Jeurissen Lane Chanhassen Residential Development Partners 101-0000-2072 1,500.00 2/2/2023 As-Built - Permit 2012-03241 - 9060 Degler Circle Chanhassen Residential Development Partners 101-0000-2072 2,500.00 2/2/2023 As-Built - Permit 2015-00951- 9091 River Rock Drive N Chanhassen Residential Development Partners 101-0000-2072 2,500.00 2/2/2023 As-Built - Permit 2015-00184 - 9021 Degler Circle Chanhassen Residential Development Partners 101-0000-2072 2,500.00 2/2/2023 As-Built - Permit 2017-02045 - 9073 Degler Lane Chanhassen Residential Development Partners 101-0000-2072 1,500.00 2/2/2023 As-Built - Permit 2013-02755 - 1445 Mills Drive Chanhassen Residential Development Partners 101-0000-2072 2,500.00 2/2/2023 As-Built - Permit 2014-01334 - 9090 Degler Ln Chanhassen Residential Development Partners 101-0000-2072 2,500.00 2/2/2023 As-Built - Permit 2016-02280 - 9081 Degler Circle Chanhassen Residential Development Partners 101-0000-2072 2,500.00 2/2/2023 As-Built - Permit 2016-02573 - 9062 River Rock Drive N Chanhassen Residential Development Partners 101-0000-2072 2,500.00 2/2/2023 As-Built - Permit 2017-00257 - 9072 River Rock Drive N Chanhassen Residential Development Partners 101-0000-2072 1,500.00 2/2/2023 As-Built - Permit 2013-00980 - 9101 Degler Circle Chanhassen Residential Development Partners 101-0000-2072 2,500.00 2/2/2023 As-Built - Permit 2016-03015 - 9063 Degler Lane Chanhassen Residential Development Partners 101-0000-2072 2,500.00 2/2/2023 As-Built - Permit 2015-01541 - 9061 Degler Circle Chanhassen Residential Development Partners 101-0000-2072 2,500.00 2/2/2023 As-Built - Permit 2016-03142 - 9044 Degler Lane Chanhassen Residential Development Partners 101-0000-2072 1,500.00 2/2/2023 As-Built - Permit 2013-02753 - 9050 Degler Circle Chanhassen Residential Development Partners 101-0000-2072 2,500.00 2/2/2023 As-Built - Permit 2016-00481 - 9064 Degler Lane Chanhassen Residential Development Partners 101-0000-2072 2,500.00 2/2/2023 As-Built - Permit 2017-02398 - 9122 River Rock Drive N Chanhassen Residential Development Partners 101-0000-2072 2,500.00 2/2/2023 As-Built - Permit 2015-03061 - 9041 River Rock Drive N Chanhassen Residential Development Partners 101-0000-2072 2,500.00 2/2/2023 As-Built - Permit 2015-00173 - 9101 River Rock Drive N Chanhassen Residential Development Partners 101-0000-2072 2,500.00 2/2/2023 As-Built - Permit 2015-02309 - 9112 River Rock Drive Chanhassen Residential Development Partners 101-0000-2072 2,500.00 2/2/2023 As-Built - Permit 2016-00480 - 9054 Degler Lane Chanhassen Residential Development Partners 101-0000-2072 2,500.00 2/2/2023 As-Built - Permit 2014-01352 - 9111 River Rock Drive N Chanhassen Residential Development Partners 101-0000-2072 2,500.00 2/2/2023 As-Built - Permit 2015-02215 - 9061 River Rock Dr N Chanhassen Residential Development Partners 101-0000-2072 2,500.00 2/2/2023 As-Built - Permit 2017-03288 - 8991 River Rock Drive N Chanhassen Residential Development Partners 101-0000-2072 2,500.00 2/2/2023 As-Built - Permit 2014-02951 - 9102 River Rock Drive N Chanhassen Residential Development Partners 101-0000-2072 1,500.00 2/2/2023 As-Built - Permit 2013-03000 - 1641 Jeurisson Lane Chanhassen Residential Development Partners 101-0000-2072 2,500.00 2/2/2023 As-Built - Permit 2014-00341 - 1620 Jeurissen Lane Chanhassen Residential Development Partners 101-0000-2072 1,500.00 2/2/2023 As-Built - Permit 2014-00107 - 9070 Degler Circle Chanhassen Residential Development Partners 101-0000-2072 2,500.00 2/2/2023 As-Built - Permit 2017-01464 - 8971 River Rock Drive N Chanhassen Residential Development Partners 101-0000-2072 2,500.00 2/2/2023 As-Built - Permit 2014-00453 - 9031 Degler Circle Chanhassen Residential Development Partners 101-0000-2072 2,500.00 2/2/2023 As-Built - Permit 2018-01007 - 9021 River Rock Drive N Chanhassen Residential Development Partners 101-0000-2072 2,500.00 2/2/2023 As-Built - Permit 2017-01405 - 1420 Jersey Way 119,000.00 2/2/2023 AP - Check Detail-Checks (2/7/2023)Page 5 of 25 64 Last Name Acct 1 Amount Check Date Description Chanhassen Residential Development Partners 119,000.00 CHEN LIHE 701-0000-2020 30.47 2/2/2023 Refund Check 099706-002, 7891 AUTUMN RIDGE AVE CHEN LIHE 720-0000-2020 1.32 2/2/2023 Refund Check 099706-002, 7891 AUTUMN RIDGE AVE CHEN LIHE 700-0000-2020 21.97 2/2/2023 Refund Check 099706-002, 7891 AUTUMN RIDGE AVE CHEN LIHE 700-0000-2020 2.05 2/2/2023 Refund Check 099706-002, 7891 AUTUMN RIDGE AVE 55.81 2/2/2023 CHEN LIHE 55.81 CITY OF CHANHASSEN-PETTY CASH 101-1550-4530 0.60 1/19/2023 Permit Surcharge CITY OF CHANHASSEN-PETTY CASH 400-4120-4704 0.70 1/19/2023 License Tabs Late Fee CITY OF CHANHASSEN-PETTY CASH 101-1120-4360 20.00 1/19/2023 Notary Fee CITY OF CHANHASSEN-PETTY CASH 101-1170-4510 0.25 1/19/2023 Permit Surcharge CITY OF CHANHASSEN-PETTY CASH 700-7043-4530 7.48 1/19/2023 Permit Surcharg CITY OF CHANHASSEN-PETTY CASH 101-1120-4360 20.00 1/19/2023 Notary Fee CITY OF CHANHASSEN-PETTY CASH 101-1120-4360 20.00 1/19/2023 Notary Fee CITY OF CHANHASSEN-PETTY CASH 701-7025-4704 0.35 1/19/2023 License tabs late fee CITY OF CHANHASSEN-PETTY CASH 700-7025-4704 0.35 1/19/2023 License tabs Late Fee 69.73 1/19/2023 CITY OF CHANHASSEN-PETTY CASH 69.73 CITY OF SHAKOPEE 101-1110-4360 2,100.00 2/2/2023 Southwest Metro Drug Task Force Membership 2,100.00 2/2/2023 CITY OF SHAKOPEE 2,100.00 Cleaning Solutions Services 701-0000-4511 62.10 2/2/2023 Public Works Cleaning Solutions Services 101-1312-4511 496.80 2/2/2023 Public Works Cleaning Solutions Services 700-0000-4511 62.10 2/2/2023 Public Works Cleaning Solutions Services 101-1190-4511 3,912.30 2/2/2023 Library Cleaning Solutions Services 101-1170-4511 3,090.00 2/2/2023 City Hall Cleaning Cleaning Solutions Services 101-1220-4511 248.40 2/2/2023 Fire Station #1 AP - Check Detail-Checks (2/7/2023)Page 6 of 25 65 Last Name Acct 1 Amount Check Date Description 7,871.70 2/2/2023 Cleaning Solutions Services 7,871.70 Compass Minerals America, Inc 101-1320-4150 5,876.31 1/19/2023 Bulk Coarse LA Hwy Compass Minerals America, Inc 101-1320-4150 3,117.95 1/19/2023 Bulk Coarse LA Hwy Compass Minerals America, Inc 101-1320-4150 4,123.53 1/19/2023 Bulk Coarse LA - Hwy Compass Minerals America, Inc 101-1320-4150 2,049.50 1/19/2023 Bulk Coarse LA - Hwy 15,167.29 1/19/2023 Compass Minerals America, Inc 101-1320-4150 2,471.47 1/26/2023 Bulk Coarse LA - Hwy Compass Minerals America, Inc 101-1320-4150 2,097.73 1/26/2023 Bulk Coarse LA - Hwy 4,569.20 1/26/2023 Compass Minerals America, Inc 101-1320-4150 1,266.67 2/2/2023 Bulk Coarse LA - Hwy Compass Minerals America, Inc 101-1320-4150 3,852.58 2/2/2023 Bulk Coarse LA - Hwy Compass Minerals America, Inc 101-1320-4150 2,113.43 2/2/2023 Bulk Coarse LA - Hwy 7,232.68 2/2/2023 Compass Minerals America, Inc 26,969.17 CUB FOODS 101-1220-4290 80.41 1/19/2023 Retirement Cake 80.41 1/19/2023 CUB FOODS 80.41 DAVIS DIANA 700-7204-4901 100.00 2/2/2023 Waterwise Rebate 100.00 2/2/2023 DAVIS DIANA 100.00 DEM-CON LANDFILL 101-1320-4150 402.62 1/19/2023 Street Sweepings AP - Check Detail-Checks (2/7/2023)Page 7 of 25 66 Last Name Acct 1 Amount Check Date Description 402.62 1/19/2023 DEM-CON LANDFILL 402.62 Digital Impact Solutions, LLC 101-1611-4345 149.00 1/26/2023 Feb Fest Tickets 2023 149.00 1/26/2023 Digital Impact Solutions, LLC 149.00 Dinges Fire Company 101-1220-4144 1,706.72 1/26/2023 Digital Fire Simulation 1,706.72 1/26/2023 Dinges Fire Company 1,706.72 EDINA REALTY TITLE 700-0000-2020 0.14 2/2/2023 Refund Check 010588-000, 960 REDWING COURT EDINA REALTY TITLE 700-0000-2020 45.56 2/2/2023 Refund Check 010588-000, 960 REDWING COURT EDINA REALTY TITLE 720-0000-2020 1.00 2/2/2023 Refund Check 010588-000, 960 REDWING COURT EDINA REALTY TITLE 700-0000-2020 41.41 2/2/2023 Refund Check 103645-000, 6543 GRAY FOX CURVE EDINA REALTY TITLE 700-0000-2020 2.22 2/2/2023 Refund Check 103645-000, 6543 GRAY FOX CURVE EDINA REALTY TITLE 720-0000-2020 16.49 2/2/2023 Refund Check 103645-000, 6543 GRAY FOX CURVE EDINA REALTY TITLE 701-0000-2020 75.28 2/2/2023 Refund Check 103645-000, 6543 GRAY FOX CURVE 182.10 2/2/2023 EDINA REALTY TITLE 182.10 EHLERS & ASSOCIATES INC 700-0000-4300 2,150.00 1/19/2023 2022 Utility Rate Study Update EHLERS & ASSOCIATES INC 720-0000-4300 2,150.00 1/19/2023 2022 Utility Rate Study Update EHLERS & ASSOCIATES INC 701-0000-4300 2,150.00 1/19/2023 2022 Utility Rate Study Update 6,450.00 1/19/2023 EHLERS & ASSOCIATES INC 6,450.00 Elfering & Associates, PLC 400-0000-3809 200.00 2/2/2023 Chapel Hill 23-02 - Withdrawn Application AP - Check Detail-Checks (2/7/2023)Page 8 of 25 67 Last Name Acct 1 Amount Check Date Description Elfering & Associates, PLC 101-1420-3613 195.00 2/2/2023 Chapel Hill 23-02 - Withdrawn Application Elfering & Associates, PLC 101-1420-3605 100.00 2/2/2023 Chapel Hill 23-02 - Withdrawn Application Elfering & Associates, PLC 101-1420-3602 710.00 2/2/2023 Chapel Hill 23-02 - Withdrawn Application 1,205.00 2/2/2023 Elfering & Associates, PLC 1,205.00 Enterprise FM Trust 400-0000-4811 237.41 1/17/2023 408 - 22 Chev Silv #25G89X Enterprise FM Trust 400-0000-4810 371.18 1/17/2023 605 - 22 Ford Rand #25G25M Enterprise FM Trust 400-0000-4811 225.44 1/17/2023 411 - 22 Chev Silv #25G8CL Enterprise FM Trust 400-0000-4810 424.81 1/17/2023 412 - 22 GMC Sier #25H28F Enterprise FM Trust 700-0000-4810 252.13 1/17/2023 305 - 22 Chev Silv #25G5QR Enterprise FM Trust 701-0000-4810 252.13 1/17/2023 305 - 22 Chev Silv #25G5QR Enterprise FM Trust 400-0000-4811 210.60 1/17/2023 605 - 22 Ford Rand #25G25M Enterprise FM Trust 701-0000-4811 113.15 1/17/2023 305 - 22 Chev Silv #25G5QR Enterprise FM Trust 400-0000-4810 478.81 1/17/2023 214 - 22 Chev Silv #25G5D2 Enterprise FM Trust 400-0000-4810 501.63 1/17/2023 140 - 22 Chev Silv #25G5J6 Enterprise FM Trust 400-0000-4810 509.80 1/17/2023 411 - 22 Chev Silv #25G8CL Enterprise FM Trust 400-0000-4811 215.29 1/17/2023 606 - 22 Ford Rang #25G23Z Enterprise FM Trust 400-0000-4810 455.70 1/17/2023 405 - 22 Chev Silv #25G5QQ Enterprise FM Trust 400-0000-4811 209.43 1/17/2023 140 - 22 Chev Silv #25G5J6 Enterprise FM Trust 400-0000-4810 600.48 1/17/2023 201 - 22 GMC Yuko #25MPSN Enterprise FM Trust 400-0000-4811 226.62 1/17/2023 214 - 22 Chev Silv #25G5D2 Enterprise FM Trust 400-0000-4811 257.11 1/17/2023 201 - 22 GMC Yuko #25MPSN Enterprise FM Trust 400-0000-4811 176.44 1/17/2023 412 - 22 GMC Sier #25H28F Enterprise FM Trust 700-0000-4811 113.15 1/17/2023 305 - 22 Chev Silv #25G5QR Enterprise FM Trust 400-0000-4811 299.61 1/17/2023 405 - 22 Chev Silv #25G5QQ Enterprise FM Trust 400-0000-4810 501.02 1/17/2023 408 - 22 Chev Silv #25G89X Enterprise FM Trust 400-0000-4810 330.87 1/17/2023 606 - 22 Ford Rang #25G23Z 6,962.81 1/17/2023 Enterprise FM Trust 6,962.81 ESTATE OF ELIZABETH M BRYAN 720-0000-2020 3.43 2/2/2023 Refund Check 011122-000, 807 BUCKINGWOOD COURT ESTATE OF ELIZABETH M BRYAN 701-0000-2020 1.72 2/2/2023 Refund Check 011122-000, 807 BUCKINGWOOD COURT 5.15 2/2/2023 AP - Check Detail-Checks (2/7/2023)Page 9 of 25 68 Last Name Acct 1 Amount Check Date Description ESTATE OF ELIZABETH M BRYAN 5.15 ESTATE OF NORRENE COZINE 700-0000-2020 12.00 2/2/2023 Refund Check 097405-000, 585 MISSION HILLS DRIVE ESTATE OF NORRENE COZINE 720-0000-2020 1.13 2/2/2023 Refund Check 097405-000, 585 MISSION HILLS DRIVE ESTATE OF NORRENE COZINE 701-0000-2020 4.90 2/2/2023 Refund Check 097405-000, 585 MISSION HILLS DRIVE ESTATE OF NORRENE COZINE 700-0000-2020 0.88 2/2/2023 Refund Check 097405-000, 585 MISSION HILLS DRIVE 18.91 2/2/2023 ESTATE OF NORRENE COZINE 18.91 ESTATE OF RITA ROJINA 720-0000-2020 17.82 2/2/2023 Refund Check 006757-000, 220 WEST 77TH STREET ESTATE OF RITA ROJINA 700-0000-2020 2.40 2/2/2023 Refund Check 006757-000, 220 WEST 77TH STREET ESTATE OF RITA ROJINA 701-0000-2020 35.47 2/2/2023 Refund Check 006757-000, 220 WEST 77TH STREET ESTATE OF RITA ROJINA 700-0000-2020 28.78 2/2/2023 Refund Check 006757-000, 220 WEST 77TH STREET 84.47 2/2/2023 ESTATE OF RITA ROJINA 84.47 FACTORY MOTOR PARTS COMPANY 101-1370-4170 293.44 1/26/2023 FVP Def55GAL 293.44 1/26/2023 FACTORY MOTOR PARTS COMPANY 293.44 Ferguson Waterworks #2518 700-1384-4556 2,750.00 1/19/2023 6" Mach 10 24 Length USG Ferguson Waterworks #2518 701-1384-4556 464.00 1/19/2023 Neptune Meter Install Ferguson Waterworks #2518 701-1384-4556 1,376.51 1/19/2023 LF 1 T10 Mtr P/c usg W/o Rec *X Ferguson Waterworks #2518 701-1384-4556 2,750.00 1/19/2023 6" Mach 10 24 Length USG Ferguson Waterworks #2518 700-1384-4556 1,376.51 1/19/2023 LF 1 T10 Mtr P/c usg W/o Rec *X Ferguson Waterworks #2518 700-1384-4556 464.00 1/19/2023 Neptune Meter Install 9,181.02 1/19/2023 Ferguson Waterworks #2518 701-0000-4260 289.48 1/26/2023 Torque Wrench DW Socket 6 Sockets Ferguson Waterworks #2518 700-0000-4260 289.48 1/26/2023 Torque Wrench DW Socket 6 Sockets AP - Check Detail-Checks (2/7/2023)Page 10 of 25 69 Last Name Acct 1 Amount Check Date Description 578.96 1/26/2023 Ferguson Waterworks #2518 701-1384-4556 -1,117.50 2/2/2023 Meters Exchange Ferguson Waterworks #2518 700-0000-4550 36.11 2/2/2023 LF 1 MIP X CTS QJ Ferguson Waterworks #2518 700-1384-4556 1,539.20 2/2/2023 Water Meters Ferguson Waterworks #2518 700-0000-4550 131.95 2/2/2023 8X1 CC SS W SGL SDL Ferguson Waterworks #2518 700-1384-4556 -1,117.50 2/2/2023 Meters Exchange Ferguson Waterworks #2518 700-0000-4550 108.96 2/2/2023 LF 1 CC x CTS PJ Ball Ferguson Waterworks #2518 701-1384-4556 1,539.20 2/2/2023 Water Meters 1,120.42 2/2/2023 Ferguson Waterworks #2518 10,880.40 FIDELITY NATIONAL TITLE 700-0000-2020 19.17 2/2/2023 Refund Check 100141-000, 707 ROCKBURN ROAD FIDELITY NATIONAL TITLE 720-0000-2020 5.19 2/2/2023 Refund Check 100141-000, 707 ROCKBURN ROAD FIDELITY NATIONAL TITLE 701-0000-2020 26.87 2/2/2023 Refund Check 100141-000, 707 ROCKBURN ROAD FIDELITY NATIONAL TITLE 700-0000-2020 2.72 2/2/2023 Refund Check 100141-000, 707 ROCKBURN ROAD 53.95 2/2/2023 FIDELITY NATIONAL TITLE 53.95 Fire Safety USA 201-0000-4705 2,395.00 2/2/2023 Kryptonite LDH Fire House 2,395.00 2/2/2023 Fire Safety USA 2,395.00 FleetPride, Inc.101-1320-4120 200.99 1/19/2023 AS6926 Cotitech Air Spring 200.99 1/19/2023 FleetPride, Inc. 200.99 FLEX TITLE COMPANY 701-0000-2020 0.06 2/2/2023 Refund Check 008408-000, 8249 STONE CREEK DRIVE FLEX TITLE COMPANY 720-0000-2020 3.35 2/2/2023 Refund Check 008408-000, 8249 STONE CREEK DRIVE FLEX TITLE COMPANY 700-0000-2020 22.70 2/2/2023 Refund Check 008408-000, 8249 STONE CREEK DRIVE AP - Check Detail-Checks (2/7/2023)Page 11 of 25 70 Last Name Acct 1 Amount Check Date Description FLEX TITLE COMPANY 700-0000-2020 0.45 2/2/2023 Refund Check 008408-000, 8249 STONE CREEK DRIVE 26.56 2/2/2023 FLEX TITLE COMPANY 26.56 GABLER DAN & SALLY 700-0000-2020 1.30 2/2/2023 Refund Check 013927-000, 1780 PHEASANT CIRCLE GABLER DAN & SALLY 701-0000-2020 28.52 2/2/2023 Refund Check 013927-000, 1780 PHEASANT CIRCLE GABLER DAN & SALLY 700-0000-2020 115.22 2/2/2023 Refund Check 013927-000, 1780 PHEASANT CIRCLE GABLER DAN & SALLY 720-0000-2020 9.65 2/2/2023 Refund Check 013927-000, 1780 PHEASANT CIRCLE 154.69 2/2/2023 GABLER DAN & SALLY 154.69 Gassen Construction & Maintenance LLC 101-1250-3301 150.00 1/19/2023 429 Rice Court - Permit 2022-02735 - Duplicate Payment Gassen Construction & Maintenance LLC 101-0000-2022 1.79 1/19/2023 490 Mission Hills Way E - Permit 2022-02801 - Duplicate Payment Gassen Construction & Maintenance LLC 101-0000-2022 2.14 1/19/2023 429 Rice Court - Permit 2022-02735 - Duplicate Payment Gassen Construction & Maintenance LLC 101-1250-3301 150.00 1/19/2023 598 Mission Hills Way W - Permit 2023-00084 - Duplicate Payment Gassen Construction & Maintenance LLC 101-0000-2022 0.94 1/19/2023 598 Mission Hills Way W - Permit 2023-00084 - Duplicate Payment Gassen Construction & Maintenance LLC 101-1250-3301 150.00 1/19/2023 490 Mission Hills Way E - Permit 2022-02801 - Duplicate Payment 454.87 1/19/2023 Gassen Construction & Maintenance LLC 454.87 GCS TITLE 720-0000-2020 25.44 2/2/2023 Refund Check 009389-000, 6519 GRAY FOX CURVE GCS TITLE 701-0000-2020 34.96 2/2/2023 Refund Check 009389-000, 6519 GRAY FOX CURVE GCS TITLE 700-0000-2020 3.42 2/2/2023 Refund Check 009389-000, 6519 GRAY FOX CURVE GCS TITLE 700-0000-2020 21.34 2/2/2023 Refund Check 009389-000, 6519 GRAY FOX CURVE 85.16 2/2/2023 GCS TITLE 85.16 GRAYBAR 101-1350-4120 415.68 1/26/2023 HPS Lucalox 250W Low Merc 415.68 1/26/2023 AP - Check Detail-Checks (2/7/2023)Page 12 of 25 71 Last Name Acct 1 Amount Check Date Description GRAYBAR 415.68 Guard Guys, LLC 101-1120-4300 500.00 1/26/2023 Annual TPA Membership 500.00 1/26/2023 Guard Guys, LLC 700-0000-4300 318.00 2/2/2023 Alcohol Screening 318.00 2/2/2023 Guard Guys, LLC 818.00 Harken Jeff & Dawn 101-1250-3301 428.80 1/26/2023 Permit Refund - 7020 Derby Dr - Permit 2022-04288 428.80 1/26/2023 Harken Jeff & Dawn 428.80 HealthPartners, Inc.101-0000-2012 40,853.06 1/19/2023 February - Family HealthPartners, Inc.101-0000-2013 3,871.56 1/19/2023 February - Dental HealthPartners, Inc.101-0000-2012 29,139.11 1/19/2023 February - Single HealthPartners, Inc.700-0000-2012 2,487.49 1/19/2023 February - Single HealthPartners, Inc.700-0000-2012 3,552.44 1/19/2023 February - Family HealthPartners, Inc.720-0000-2012 1,421.42 1/19/2023 February - Single HealthPartners, Inc.700-0000-2013 364.40 1/19/2023 February - Dental HealthPartners, Inc.101-0000-2012 1,421.42 1/19/2023 February - Single - Cobra HealthPartners, Inc.720-0000-2013 227.74 1/19/2023 February - Dental HealthPartners, Inc.701-0000-2013 273.32 1/19/2023 February - Dental HealthPartners, Inc.701-0000-2012 1,066.06 1/19/2023 February - Single HealthPartners, Inc.701-0000-2012 3,552.44 1/19/2023 February - Family 88,230.46 1/19/2023 HealthPartners, Inc. 88,230.46 HEGSTROM PATT 700-0000-2020 0.25 2/2/2023 Refund Check 006104-000, 8005 DAKOTA AVENUE HEGSTROM PATT 701-0000-2020 2.97 2/2/2023 Refund Check 006104-000, 8005 DAKOTA AVENUE HEGSTROM PATT 700-0000-2020 2.03 2/2/2023 Refund Check 006104-000, 8005 DAKOTA AVENUE HEGSTROM PATT 720-0000-2020 1.82 2/2/2023 Refund Check 006104-000, 8005 DAKOTA AVENUE AP - Check Detail-Checks (2/7/2023)Page 13 of 25 72 Last Name Acct 1 Amount Check Date Description 7.07 2/2/2023 HEGSTROM PATT 7.07 HENNEPIN COUNTY 101-1150-4300 6.30 1/26/2023 Truth in Taxation Notices 6.30 1/26/2023 HENNEPIN COUNTY 6.30 HOWARD R. HANSON REVOCABLE TRUST 700-0000-2020 2.88 2/2/2023 Refund Check 011300-000, 6210 CARDINAL AVE HOWARD R. HANSON REVOCABLE TRUST 700-0000-2020 43.98 2/2/2023 Refund Check 011300-000, 6210 CARDINAL AVE HOWARD R. HANSON REVOCABLE TRUST 701-0000-2020 44.54 2/2/2023 Refund Check 011300-000, 6210 CARDINAL AVE HOWARD R. HANSON REVOCABLE TRUST 720-0000-2020 21.48 2/2/2023 Refund Check 011300-000, 6210 CARDINAL AVE 112.88 2/2/2023 HOWARD R. HANSON REVOCABLE TRUST 112.88 Jasper Services, LLC 101-1731-4343 800.00 1/26/2023 Ice Fish Camp 800.00 1/26/2023 Jasper Services, LLC 800.00 Lawson Products, Inc.101-1320-4120 327.73 2/2/2023 Plow Bolt, Lock Nut, TuffTorq Cap Screw Lawson Products, Inc.101-1320-4120 57.84 2/2/2023 Hex Cap Screw Grade 8 Lawson Products, Inc.101-1320-4120 44.40 2/2/2023 DH Plow Bolt Gr 9 Plain 429.97 2/2/2023 Lawson Products, Inc. 429.97 LEAGUE OF MINNESOTA CITIES 101-1120-4370 495.00 1/26/2023 MCMA/APMP Member, MCMA Conference - Matt Unmacht 495.00 1/26/2023 AP - Check Detail-Checks (2/7/2023)Page 14 of 25 73 Last Name Acct 1 Amount Check Date Description LEAGUE OF MINNESOTA CITIES 495.00 LEAGUE OF MN CITIES INS TRUST 101-1170-4483 2,276.35 2/2/2023 Insurance Claim 2,276.35 2/2/2023 LEAGUE OF MN CITIES INS TRUST 2,276.35 Mackin Tom 101-1320-4150 40.00 1/19/2023 Mailbox Repair 40.00 1/19/2023 Mackin Tom 40.00 McClintick Bill 101-1550-4120 315.00 1/26/2023 Reproduce in steel Toro Lawnmower, Bushings 315.00 1/26/2023 McClintick Bill 315.00 McGibbon Amanda & Benjamin 101-1538-3631 39.00 1/26/2023 Safe Kids 101 - Class Withdraw McGibbon Amanda & Benjamin 101-1538-3631 39.00 1/26/2023 Safe Kids 101 - Class Withdraw 78.00 1/26/2023 McGibbon Amanda & Benjamin 78.00 MID COUNTY COOP 101-1370-4170 22,322.44 1/19/2023 Oct Gas, Premium DSL Dyed 22,322.44 1/19/2023 MID COUNTY COOP 22,322.44 Minnesota Exteriors 101-1250-3301 150.00 1/26/2023 Duplicate Permit - 2022-04112 - 439 Summerfield Dr 150.00 1/26/2023 AP - Check Detail-Checks (2/7/2023)Page 15 of 25 74 Last Name Acct 1 Amount Check Date Description Minnesota Exteriors 150.00 Minuteman Press 101-1170-4110 87.00 1/26/2023 Business Cards - McDonald, Von Oven, Forestry 87.00 1/26/2023 Minuteman Press 101-1170-4110 174.00 2/2/2023 Business Cards Minuteman Press 101-1170-4110 58.00 2/2/2023 Business Cards - Kimber, Schubert 232.00 2/2/2023 Minuteman Press 319.00 MN FIRE SERVICE CERTIFICATION BOARD 101-1220-4360 1,543.50 2/2/2023 Certification Exam, Haz Mat Operations MN FIRE SERVICE CERTIFICATION BOARD 101-1220-4360 178.50 2/2/2023 Haz Mat Operations R Bolger 1,722.00 2/2/2023 MN FIRE SERVICE CERTIFICATION BOARD 1,722.00 MTI DISTRIBUTING INC 101-1550-4120 1,817.42 1/19/2023 Mobile Service Visit, Controller, Labor 1,817.42 1/19/2023 MTI DISTRIBUTING INC 101-1550-4120 733.72 1/26/2023 LH Glass ASM MTI DISTRIBUTING INC 101-1550-4120 122.78 1/26/2023 Arm-Wiper 856.50 1/26/2023 MTI DISTRIBUTING INC 2,673.92 Municipal H2O 700-0000-4300 4,200.00 1/19/2023 Annual EPA RMP Compliance 4,200.00 1/19/2023 Municipal H2O 4,200.00 Northfield Lines, Inc 101-1731-4349 1,275.53 2/2/2023 Wild Mountain Transportation AP - Check Detail-Checks (2/7/2023)Page 16 of 25 75 Last Name Acct 1 Amount Check Date Description 1,275.53 2/2/2023 Northfield Lines, Inc 1,275.53 OB Mulligan, LLC 700-0000-2020 15.90 1/19/2023 Utility Refund - 7965 Stone Creek Dr - 130 OB Mulligan, LLC 701-0000-2020 31.65 1/19/2023 Utility Refund - 7965 Stone Creek Dr - 130 OB Mulligan, LLC 720-0000-2020 5.38 1/19/2023 Utility Refund - 7965 Stone Creek Dr - 130 52.93 1/19/2023 OB Mulligan, LLC 52.93 Olsen Chad & Lauren 701-0000-2020 38.94 1/26/2023 Utility Refund Olsen Chad & Lauren 700-0000-2020 17.06 1/26/2023 Utility Refund Olsen Chad & Lauren 720-0000-2020 9.61 1/26/2023 Utility Refund 65.61 1/26/2023 Olsen Chad & Lauren 65.61 Parts Alliance South 101-1320-4120 78.04 1/26/2023 Clamp, Heater/Thermo Kit Parts Alliance South 101-1320-4120 -28.44 1/26/2023 Clamp - Return Parts Alliance South 101-1320-4120 54.91 1/26/2023 Cap-Seal, Wiper, Retaining Clip, Wsher-Shim, Clamp 104.51 1/26/2023 Parts Alliance South 101-1320-4140 83.81 2/2/2023 Brake Drum 83.81 2/2/2023 Parts Alliance South 188.32 PATHLIGHT PROPERTY MANAGEMENT 700-0000-2020 238.32 2/2/2023 Refund Check 099768-000, 135 PLEASANT VIEW RD 238.32 2/2/2023 AP - Check Detail-Checks (2/7/2023)Page 17 of 25 76 Last Name Acct 1 Amount Check Date Description PATHLIGHT PROPERTY MANAGEMENT 238.32 PILGRIM DRY CLEANERS 101-1220-4300 403.58 1/26/2023 December, 2022 - Laundry Service 403.58 1/26/2023 PILGRIM DRY CLEANERS 403.58 Plumbtek, LLC 101-0000-2022 0.75 1/19/2023 Permit 2023-00164 - 6830 Ruby Ln - Duplicate Payment Plumbtek, LLC 101-1250-3306 91.25 1/19/2023 Permit 2023-00164 - 6830 Ruby Ln - Duplicate Payment 92.00 1/19/2023 Plumbtek, LLC 92.00 Porritt Jeff 101-1320-4150 50.00 1/26/2023 Maibox Reimbursement 50.00 1/26/2023 Porritt Jeff 50.00 POSTMASTER 700-1130-4330 532.90 1/31/2023 January Utility Statements POSTMASTER 701-1130-4330 532.90 1/31/2023 January Utility Statements POSTMASTER 720-1130-4330 266.44 1/31/2023 January Utility Statements 1,332.24 1/31/2023 POSTMASTER 1,332.24 POWERPLAN OIB 101-1320-4120 2,201.45 2/2/2023 Oil Cooler 2,201.45 2/2/2023 POWERPLAN OIB 2,201.45 Princess Party Pals, LLC 101-1537-4345 550.00 1/26/2023 Princess Ball - Meet & Greet, Story Time, Dancing AP - Check Detail-Checks (2/7/2023)Page 18 of 25 77 Last Name Acct 1 Amount Check Date Description 550.00 1/26/2023 Princess Party Pals, LLC 550.00 Pro Drywall & Painting Inc 101-1220-4510 2,730.00 2/2/2023 Drywall Work - Office #1 2,730.00 2/2/2023 Pro Drywall & Painting Inc 2,730.00 REACH FOR RESOURCES 101-1600-4348 10,436.53 1/19/2023 2023 Contract Recreation - Adaptive Rec Service 10,436.53 1/19/2023 REACH FOR RESOURCES 10,436.53 ROADKILL ANIMAL CONTROL 101-1320-4300 95.00 1/19/2023 Disposal 95.00 1/19/2023 ROADKILL ANIMAL CONTROL 95.00 ROSATI SHERYL 700-0000-2020 1.01 2/2/2023 Refund Check 020299-000, 856 KIMBERLY LANE ROSATI SHERYL 700-0000-2020 18.16 2/2/2023 Refund Check 020299-000, 856 KIMBERLY LANE ROSATI SHERYL 720-0000-2020 2.40 2/2/2023 Refund Check 020299-000, 856 KIMBERLY LANE ROSATI SHERYL 701-0000-2020 29.62 2/2/2023 Refund Check 020299-000, 856 KIMBERLY LANE 51.19 2/2/2023 ROSATI SHERYL 51.19 Sarles Jodi 101-0000-1028 300.00 1/26/2023 Petty Cash for Dance Showcase 300.00 1/26/2023 AP - Check Detail-Checks (2/7/2023)Page 19 of 25 78 Last Name Acct 1 Amount Check Date Description Sarles Jodi 300.00 Schwickert Company 101-1190-4510 840.00 2/2/2023 Service work - Boilers, Chan Library 840.00 2/2/2023 Schwickert Company 840.00 SICKELER TACY ANN 720-0000-2020 13.85 2/2/2023 Refund Check 101131-000, 6971 PIMA LANE SICKELER TACY ANN 700-0000-2020 1.86 2/2/2023 Refund Check 101131-000, 6971 PIMA LANE SICKELER TACY ANN 700-0000-2020 13.21 2/2/2023 Refund Check 101131-000, 6971 PIMA LANE SICKELER TACY ANN 701-0000-2020 16.90 2/2/2023 Refund Check 101131-000, 6971 PIMA LANE 45.82 2/2/2023 SICKELER TACY ANN 45.82 Snow Kreilich Architects 300-0000-4300 4,326.25 2/2/2023 Schematic Design, Travel expenses 4,326.25 2/2/2023 Snow Kreilich Architects 4,326.25 SOFTWARE HOUSE INTERNATIONAL 101-1160-4207 3,077.00 1/19/2023 Sharefile service annual Renewal SOFTWARE HOUSE INTERNATIONAL 101-1160-4226 3,648.00 1/19/2023 Barracuda Archiver Annual Renewal 6,725.00 1/19/2023 SOFTWARE HOUSE INTERNATIONAL 6,725.00 SOUTHWEST LOCK & KEY 101-1220-4510 174.00 1/26/2023 Rekey Fire station #2 174.00 1/26/2023 SOUTHWEST LOCK & KEY 101-1190-4530 154.00 2/2/2023 Repair 154.00 2/2/2023 AP - Check Detail-Checks (2/7/2023)Page 20 of 25 79 Last Name Acct 1 Amount Check Date Description SOUTHWEST LOCK & KEY 328.00 SOUTHWEST NEWS MEDIA 101-1110-4340 386.69 1/19/2023 Display Advertising SOUTHWEST NEWS MEDIA 101-1310-4336 44.10 1/19/2023 Legal Notice SOUTHWEST NEWS MEDIA 101-1310-4336 286.65 1/19/2023 Legal Notice 717.44 1/19/2023 SOUTHWEST NEWS MEDIA 717.44 STEWART TITLE COMPANY 701-0000-2020 6.84 2/2/2023 Refund Check 097210-000, 7440 CHIPPEWA TRAIL STEWART TITLE COMPANY 700-0000-2020 16.85 2/2/2023 Refund Check 097210-000, 7440 CHIPPEWA TRAIL 23.69 2/2/2023 STEWART TITLE COMPANY 23.69 SUBBIAH ARUN 700-0000-2020 24.75 2/2/2023 Refund Check 097288-000, 301 WEST 77TH STREET SUBBIAH ARUN 700-0000-2020 0.69 2/2/2023 Refund Check 097288-000, 301 WEST 77TH STREET SUBBIAH ARUN 701-0000-2020 20.70 2/2/2023 Refund Check 097288-000, 301 WEST 77TH STREET SUBBIAH ARUN 720-0000-2020 5.15 2/2/2023 Refund Check 097288-000, 301 WEST 77TH STREET 51.29 2/2/2023 SUBBIAH ARUN 51.29 SUNDAR BHAT SUDEEP 720-0000-2020 87.41 2/2/2023 Refund Check 019672-000, 1161 HOMESTEAD LANE 87.41 2/2/2023 SUNDAR BHAT SUDEEP 87.41 Tandon Priya 101-0000-1027 100.00 1/17/2023 Feb Fest Ticket Sales change 100.00 1/17/2023 AP - Check Detail-Checks (2/7/2023)Page 21 of 25 80 Last Name Acct 1 Amount Check Date Description Tandon Priya 100.00 Thul Specialty Contracting Inc 701-0000-4551 4,500.00 1/19/2023 Rehabilitate Sanitary Manhole Bottom 4,500.00 1/19/2023 Thul Specialty Contracting Inc 4,500.00 THUNBERG RACHEL 700-0000-2020 45.24 2/2/2023 Refund Check 020631-000, 1701 MAYAPPLE PASS THUNBERG RACHEL 701-0000-2020 34.81 2/2/2023 Refund Check 020631-000, 1701 MAYAPPLE PASS 80.05 2/2/2023 THUNBERG RACHEL 80.05 TimeSaver Off Site Secretarial, Inc 210-0000-4300 355.75 1/19/2023 City Council, EDC Meeting Notes 355.75 1/19/2023 TimeSaver Off Site Secretarial, Inc 355.75 Title Choice 700-0000-2020 8.78 2/2/2023 Utility Refund - 7617 Frontier Trail Title Choice 701-0000-2020 42.79 2/2/2023 Utility Refund - 7617 Frontier Trail Title Choice 720-0000-2020 61.50 2/2/2023 Utility Refund - 7617 Frontier Trail 113.07 2/2/2023 Title Choice 113.07 TITLE SMART INC 720-0000-2020 3.23 2/2/2023 Refund Check 014713-000, 840 LAKE SUSAN HILLS DRIVE TITLE SMART INC 701-0000-2020 12.15 2/2/2023 Refund Check 014713-000, 840 LAKE SUSAN HILLS DRIVE TITLE SMART INC 700-0000-2020 10.85 2/2/2023 Refund Check 014713-000, 840 LAKE SUSAN HILLS DRIVE TITLE SMART INC 700-0000-2020 0.44 2/2/2023 Refund Check 014713-000, 840 LAKE SUSAN HILLS DRIVE 26.67 2/2/2023 AP - Check Detail-Checks (2/7/2023)Page 22 of 25 81 Last Name Acct 1 Amount Check Date Description TITLE SMART INC 26.67 TITLE SPECIALIST 700-0000-2020 20.64 2/2/2023 Refund Check 100054-000, 8444 MISSION HILLS LANE TITLE SPECIALIST 701-0000-2020 5.97 2/2/2023 Refund Check 100054-000, 8444 MISSION HILLS LANE TITLE SPECIALIST 720-0000-2020 1.07 2/2/2023 Refund Check 100054-000, 8444 MISSION HILLS LANE TITLE SPECIALIST 700-0000-2020 0.14 2/2/2023 Refund Check 100054-000, 8444 MISSION HILLS LANE 27.82 2/2/2023 TITLE SPECIALIST 27.82 TitleNexus, LLC 101-0000-2033 510.00 1/26/2023 Special Assessment Refund - 7351 Minnewashta Parkway 510.00 1/26/2023 TitleNexus, LLC 510.00 TRAFFIC CONTROL CORPORATION 101-1350-4120 600.00 1/19/2023 78th Street @ Kerber Blvd - Field Service 600.00 1/19/2023 TRAFFIC CONTROL CORPORATION 600.00 Triethart DeeAnn 101-1170-4110 13.97 2/2/2023 Bowls 13.97 2/2/2023 Triethart DeeAnn 13.97 VALLEY-RICH CO INC 701-0000-4553 11,299.75 1/19/2023 Equipment - 1010 Holly Ln 11,299.75 1/19/2023 VALLEY-RICH CO INC 11,299.75 VERIZON WIRELESS 101-1110-4310 40.01 2/2/2023 Monthly Service - Dec 19 - Jan 18 VERIZON WIRELESS 101-1540-4310 40.01 2/2/2023 Monthly Service - Dec 19 - Jan 18 AP - Check Detail-Checks (2/7/2023)Page 23 of 25 82 Last Name Acct 1 Amount Check Date Description VERIZON WIRELESS 101-1250-4310 323.47 2/2/2023 Monthly Service - Dec 19 - Jan 18 VERIZON WIRELESS 101-1600-4310 248.67 2/2/2023 Monthly Service - Dec 19 - Jan 18 VERIZON WIRELESS 700-0000-4310 524.61 2/2/2023 Monthly Service - Dec 19 - Jan 18 VERIZON WIRELESS 101-1550-4310 478.69 2/2/2023 Monthly Service - Dec 19 - Jan 18 VERIZON WIRELESS 101-1310-4310 178.43 2/2/2023 Monthly Service - Dec 19 - Jan 18 VERIZON WIRELESS 700-0000-4310 125.10 2/2/2023 Monthly Service - Dec 19 - Jan 18 VERIZON WIRELESS 101-1312-4310 87.28 2/2/2023 Monthly Service - Dec 19 - Jan 18 VERIZON WIRELESS 210-0000-4310 41.14 2/2/2023 Monthly Service - Dec 19 - Jan 18 VERIZON WIRELESS 101-0000-2033 10.99 2/2/2023 Monthly Service - Dec 19 - Jan 18 VERIZON WIRELESS 101-1320-4310 274.29 2/2/2023 Monthly Service - Dec 19 - Jan 18 VERIZON WIRELESS 101-1530-4310 41.14 2/2/2023 Monthly Service - Dec 19 - Jan 18 VERIZON WIRELESS 101-1170-4310 169.76 2/2/2023 Monthly Service - Dec 19 - Jan 18 VERIZON WIRELESS 101-1520-4310 51.91 2/2/2023 Monthly Service - Dec 19 - Jan 18 VERIZON WIRELESS 101-1120-4310 157.30 2/2/2023 Monthly Service - Dec 19 - Jan 18 VERIZON WIRELESS 101-1160-4310 602.12 2/2/2023 Monthly Service - Dec 19 - Jan 18 VERIZON WIRELESS 720-0000-4310 418.67 2/2/2023 Monthly Service - Dec 19 - Jan 18 VERIZON WIRELESS 701-0000-4310 125.10 2/2/2023 Monthly Service - Dec 19 - Jan 18 VERIZON WIRELESS 101-1370-4310 89.24 2/2/2023 Monthly Service - Dec 19 - Jan 18 VERIZON WIRELESS 101-1220-4310 1,290.81 2/2/2023 Monthly Service - Dec 19 - Jan 18 VERIZON WIRELESS 701-0000-4310 380.04 2/2/2023 Monthly Service - Dec 19 - Jan 18 5,698.78 2/2/2023 VERIZON WIRELESS 5,698.78 Waste Management of Minnesota, Inc 700-0000-4329 17.12 1/19/2023 Monthly Service - Public Works - 7901 Park Pl Waste Management of Minnesota, Inc 101-1550-4329 608.53 1/19/2023 Monthly Service - Public Works - 7901 Park Pl Waste Management of Minnesota, Inc 101-1312-4329 137.00 1/19/2023 Monthly Service - Public Works - 7901 Park Pl Waste Management of Minnesota, Inc 101-1220-4329 104.15 1/19/2023 Monthly Service - Main Fire Station - 7610 Laredo Dr Waste Management of Minnesota, Inc 101-1190-4329 326.02 1/19/2023 Monthly Service - Chan Library - 7711 Kerber Blvd Waste Management of Minnesota, Inc 701-0000-4329 17.13 1/19/2023 Monthly Service - Public Works - 7901 Park Pl Waste Management of Minnesota, Inc 101-1170-4329 440.22 1/19/2023 Monthly Service - City Hall - 7700 Market Blvd 1,650.17 1/19/2023 Waste Management of Minnesota, Inc 101-1550-4329 500.23 2/2/2023 Monthly Service - Lake Ann 500.23 2/2/2023 Waste Management of Minnesota, Inc 2,150.40 AP - Check Detail-Checks (2/7/2023)Page 24 of 25 83 Last Name Acct 1 Amount Check Date Description WATERMARK TITLE AGENCY 700-0000-2020 60.36 2/2/2023 Refund Check 099328-000, 7091 REDWING LANE WATERMARK TITLE AGENCY 701-0000-2020 74.06 2/2/2023 Refund Check 099328-000, 7091 REDWING LANE WATERMARK TITLE AGENCY 720-0000-2020 31.48 2/2/2023 Refund Check 099328-000, 7091 REDWING LANE WATERMARK TITLE AGENCY 700-0000-2020 4.24 2/2/2023 Refund Check 099328-000, 7091 REDWING LANE 170.14 2/2/2023 WATERMARK TITLE AGENCY 170.14 ZAJICEK KERRY & ABBIE 720-0000-2020 60.08 2/2/2023 Refund Check 102197-000, 9731 MEADOWLARK LANE 60.08 2/2/2023 ZAJICEK KERRY & ABBIE 60.08 400,924.41 AP - Check Detail-Checks (2/7/2023)Page 25 of 25 84 AP Check Detail-ACH User: dwashburn Printed: 2/7/2023 2:58:35 PM Last Name Acct 1 Amount Check Date Description 4 State Trucks 701-7025-4704 29.48 1/18/2023 CS Pick Up Tube with Pipe into Fuel Tank Thread-In Top 4 State Trucks 700-7025-4704 29.47 1/18/2023 CS Pick Up Tube with Pipe into Fuel Tank Thread-In Top 58.95 1/18/2023 4 State Trucks 58.95 Advanced Engineering & Environmental Services, LLC 700-0000-4300 2,136.45 1/19/2023 2022 SCADA Services 2,136.45 1/19/2023 Advanced Engineering & Environmental Services, LLC 2,136.45 ALEX AIR APPARATUS INC 101-1220-4530 1,099.14 2/2/2023 Compressor Service and Air Quality Test 1,099.14 2/2/2023 ALEX AIR APPARATUS INC 1,099.14 Al-Hilwani Juli 101-1539-4343 75.00 1/19/2023 Pickleball Lessons 75.00 1/19/2023 Al-Hilwani Juli 101-1539-4343 150.00 1/26/2023 Pickleball Lessons 150.00 1/26/2023 Al-Hilwani Juli 225.00 AP - Check Detail-ACH (2/7/2023)Page 1 of 26 85 Last Name Acct 1 Amount Check Date Description Amazon 700-7043-4150 46.08 1/18/2023 MW WWTP Baldwin Filters PA 1712 Amazon 101-1170-4110 57.98 1/18/2023 Clear Desk Pads for Kim M Amazon 700-7019-4150 21.96 1/18/2023 JC EWTP Genova 383020 300 Pipe Nipple 1/2 in Amazon 101-1170-4110 29.46 1/18/2023 BM Coffee Cream/Sugar PW Multi Purpose Room Amazon 701-0000-4140 105.20 1/18/2023 BM Light Bar Spot Flood Strobe for New Generator Truck Amazon 700-0000-4120 2.66 1/18/2023 BM Streamlight PolyStinger LED Switch Boot Amazon 101-1160-4207 7.83 1/18/2023 Amazon AWS Service Fee - Sewer Television - Nov Amazon 101-1160-4132 16.99 1/18/2023 Ergonomic Mouse for DeeAnn Triethart Amazon 101-1220-4120 27.22 1/18/2023 Keys for Captains' cabinets Amazon 701-0000-4140 173.24 1/18/2023 BM Streamlight for New Generator Truck Amazon 701-0000-4310 13.25 1/18/2023 BM Sewer & Water Phone Chargers Amazon 101-1170-4110 181.33 1/18/2023 BM Knifes & Forks PW Multi Purpose Room Amazon 101-1320-4260 33.28 1/18/2023 AA Seven Sparta Base Stand & Handle Keeper Amazon 101-1170-4110 60.34 1/18/2023 ID Badge Lanyards and Clips Amazon 700-7043-4550 96.40 1/18/2023 "MW 4"" Dial Size Glycerin Filled plumbing pressure gauge" Amazon 101-1160-4530 8.87 1/18/2023 Screen Protector for Alison Albrecht's cell phone Amazon 101-1170-4110 17.75 1/18/2023 3M Hooks for Winter Coats Finance and Admin Amazon 101-1320-4260 108.43 1/18/2023 AA Hi-Lift Black Cast and Steel Jack Amazon 701-0000-4120 36.31 1/18/2023 BM Streamlight Battery Amazon 101-1170-4110 23.99 1/18/2023 Small Disposable Plates Employee Break Room Amazon 101-1170-4110 89.15 1/18/2023 Fire Dept Coffee Cups Disposable Amazon 101-1170-4110 96.63 1/18/2023 BM Coffee Cups PW Multi Purpose Room Amazon 101-1160-4132 88.00 1/18/2023 Mobile Adapter for Laptop - Melissa Haman Amazon 700-7019-4150 19.50 1/18/2023 JC EWTP GF Piping System PVD Pipe Fitting 90 Degree Elbow Amazon 101-1180-4110 156.33 1/18/2023 Polling Booth Light Bulbs Amazon 700-7019-4510 23.74 1/18/2023 JC EWTP Xfasten Transparent Window Weather Sealing Tape Amazon 101-1170-4110 25.20 1/18/2023 Pens Supply Room Amazon 700-0000-4120 36.32 1/18/2023 BM Streamlight Battery Amazon 101-1170-4110 36.58 1/18/2023 Disposable Plates Bowls for Employees Amazon 101-1560-4112 86.14 1/18/2023 Plastic Cups Plastic Tumblers Disposable Hand Towel Napkins Amazon 701-0000-4120 2.67 1/18/2023 BM Streamlight PolyStinger LED Switch Boot Amazon 101-1170-4110 12.80 1/18/2023 3M Hooks Jackets Admin and Supplies Amazon 101-1160-4135 206.54 1/18/2023 cables/wall plates for Building TV projects Amazon 101-1160-4135 14.37 1/18/2023 gang boxes for outlets building TV project Amazon 700-7043-4510 56.00 1/18/2023 MW WWTP Sellerocity Brand High Pleat Air Filter Amazon 101-1160-4132 45.75 1/18/2023 On Hand chargers and adapters Amazon 700-0000-4310 13.25 1/18/2023 BM Sewer & Water Phone Chargers Amazon 101-1530-4120 19.99 1/18/2023 Replacement Microphone 2,097.53 1/18/2023 AP - Check Detail-ACH (2/7/2023)Page 2 of 26 86 Last Name Acct 1 Amount Check Date Description Amazon 2,097.53 American Planning Association 101-1420-4360 517.00 1/18/2023 membership 517.00 1/18/2023 American Planning Association 517.00 Americinn 701-0000-4381 59.32 1/18/2023 MW Training Hotel Americinn 700-0000-4381 59.33 1/18/2023 MW Training Hotel 118.65 1/18/2023 Americinn 118.65 Apadana LLC 101-1550-4510 1,983.04 1/19/2023 Lighting Material Upgrade 1,983.04 1/19/2023 Apadana LLC 1,983.04 Apple.com 701-0000-4310 0.50 1/18/2023 BM iCloud Storage Photo Memory Apple.com 101-1220-4310 0.99 1/18/2023 Apple Storage Apple.com 700-0000-4310 0.49 1/18/2023 BM iCloud Storage Photo Memory 1.98 1/18/2023 Apple.com 1.98 B&H Photo 101-1170-4510 161.01 1/18/2023 Progress LED lighted Sign (Blue) - Do Not Enter Interview in Pro 161.01 1/18/2023 B&H Photo 161.01 BENEFIT EXTRAS INC 101-1120-4351 29.70 1/19/2023 2022 Cobra BENEFIT EXTRAS INC 101-0000-2012 61.00 1/19/2023 2022 Cobra AP - Check Detail-ACH (2/7/2023)Page 3 of 26 87 Last Name Acct 1 Amount Check Date Description BENEFIT EXTRAS INC 101-1120-4351 774.75 1/19/2023 Cobra, Participation Fee, 2023 865.45 1/19/2023 BENEFIT EXTRAS INC 865.45 BENSON KAYE L 101-1539-4343 476.00 1/19/2023 Fit for life instruction 476.00 1/19/2023 BENSON KAYE L 476.00 Bitly, Inc 101-1125-4360 35.00 1/18/2023 Online Subscription for Short URL's 35.00 1/18/2023 Bitly, Inc 35.00 BOLTON & MENK INC 601-6049-4300 24,365.00 1/19/2023 Chanhassen/2022 Street Rehab (22-01) BOLTON & MENK INC 601-6049-4300 33,770.00 1/19/2023 Chanhassen/2022 Street Rehab (22-01) BOLTON & MENK INC 601-6049-4300 10,340.00 1/19/2023 Chanhassen/2022 Street Rehab (22-01) 68,475.00 1/19/2023 BOLTON & MENK INC 601-6045-4300 6,533.50 1/26/2023 Chanhassen/Powers Blvd & Lake Lucy Road 6,533.50 1/26/2023 BOLTON & MENK INC 75,008.50 BRAUN INTERTEC CORPORATION 601-6049-4300 15,589.50 1/19/2023 2022 City Pavement Rehab 15,589.50 1/19/2023 BRAUN INTERTEC CORPORATION 15,589.50 Broadway Across America 101-1560-4342 5,445.00 1/18/2023 Hamilton Broadway Show Tickets for May trip to Orheum 2023 AP - Check Detail-ACH (2/7/2023)Page 4 of 26 88 Last Name Acct 1 Amount Check Date Description 5,445.00 1/18/2023 Broadway Across America 5,445.00 BROADWAY AWARDS 101-1170-4110 30.59 2/2/2023 Magnetic Name Badge - Kimber, VonOven 30.59 2/2/2023 BROADWAY AWARDS 30.59 Buffalo Wild Wings 700-0000-4381 11.31 1/18/2023 MW Training Meal Buffalo Wild Wings 701-0000-4381 11.31 1/18/2023 MW Training Meal 22.62 1/18/2023 Buffalo Wild Wings 22.62 Cabin Fever Sporting Goods 700-0000-4330 13.42 1/18/2023 BK UPS for Locater Cabin Fever Sporting Goods 701-0000-4330 13.43 1/18/2023 BK UPS for Locater 26.85 1/18/2023 Cabin Fever Sporting Goods 26.85 CAMPBELL KNUTSON 101-1140-4302 14,465.90 1/19/2023 Legal Services 14,465.90 1/19/2023 CAMPBELL KNUTSON 14,465.90 Caribou Coffee 101-1123-4381 5.04 1/18/2023 Coffee with Michael from IAG Commercial 5.04 1/18/2023 Caribou Coffee 5.04 AP - Check Detail-ACH (2/7/2023)Page 5 of 26 89 Last Name Acct 1 Amount Check Date Description Carver County 700-1160-4326 435.00 1/19/2023 Annual Fiber Maint Fee - WWTP LS24, W3 Carver County 700-1160-4326 650.00 1/19/2023 Carver Fiber - WWTP / W-3, 7, 8 / LS-24 Carver County 101-1160-4326 375.00 1/19/2023 CarverLink Internet / Fiber - Jan 1,460.00 1/19/2023 Carver County 1,460.00 CEU Plan 700-0000-4370 196.35 1/18/2023 MW Training 196.35 1/18/2023 CEU Plan 196.35 Colonial Life & Accident Insurance Co 701-0000-2008 15.30 2/2/2023 January 2023 Payable Colonial Life & Accident Insurance Co 700-0000-2008 15.30 2/2/2023 January 2023 Payable Colonial Life & Accident Insurance Co 101-0000-2008 37.20 2/2/2023 January 2023 Payable 67.80 2/2/2023 Colonial Life & Accident Insurance Co 67.80 Complete Safety 101-1220-4142 110.00 1/18/2023 Lens for FF Mask 110.00 1/18/2023 Complete Safety 110.00 COMPUTER INTEGRATION TECHN.101-1160-4211 392.60 1/26/2023 Datto Office 365 Backup Service - Feb COMPUTER INTEGRATION TECHN.101-1160-4211 17.00 1/26/2023 Azure AD P1/Exchange PI - Jan 409.60 1/26/2023 COMPUTER INTEGRATION TECHN. 409.60 Costco Wholesale 101-1120-4371 89.94 1/18/2023 Popcorn Variety Pack Candy Pop Snickers Popcorn Costco Wholesale 101-1120-4371 89.99 1/18/2023 Cheryl's Cookies 100 Count Assorted Holiday Gift box AP - Check Detail-ACH (2/7/2023)Page 6 of 26 90 Last Name Acct 1 Amount Check Date Description 179.93 1/18/2023 Costco Wholesale 179.93 Cub Foods 101-1220-4381 38.96 1/18/2023 M&M Cookies Apple Pie Pumpkin Pie Pnt Bir Cookies 38.96 1/18/2023 Cub Foods 38.96 Davanni's 101-1110-4372 182.05 1/18/2023 11-28-22 City Council Dinner Davannis Pasta 182.05 1/18/2023 Davanni's 182.05 Dell 101-1160-4131 2,984.00 1/18/2023 Dell Laptops - Rick & Melissa 2,984.00 1/18/2023 Dell 2,984.00 Diamond Snow & Ice Control 101-1320-4150 1,920.00 2/2/2023 Ice B'Gone Liquid Deicer 1,920.00 2/2/2023 Diamond Snow & Ice Control 1,920.00 DISPLAY SALES COMPANY 101-1550-4120 2,540.00 2/2/2023 United States Flag, Spinning Pole, Minnesota Flag , POW Flas 2,540.00 2/2/2023 DISPLAY SALES COMPANY 2,540.00 Engel Water Testing Inc 700-0000-4300 625.00 1/19/2023 Water samples - December, 2022 AP - Check Detail-ACH (2/7/2023)Page 7 of 26 91 Last Name Acct 1 Amount Check Date Description 625.00 1/19/2023 Engel Water Testing Inc 625.00 Facebook 101-1530-4375 1.90 1/18/2023 Facebook advertising for the artisan fair 1.90 1/18/2023 Facebook 1.90 FASTENAL COMPANY 101-1550-4150 6.86 1/19/2023 Fin HexNutZ 6.86 1/19/2023 FASTENAL COMPANY 101-1320-4150 134.32 1/26/2023 5/16 - 18X1 1/2 Tap, Washer 134.32 1/26/2023 FASTENAL COMPANY 141.18 Fidelity Security Life 700-0000-2007 12.43 1/26/2023 February 2023 Vision Fidelity Security Life 720-0000-2007 6.63 1/26/2023 February 2023 Vision Fidelity Security Life 701-0000-2007 5.80 1/26/2023 February 2023 Vision Fidelity Security Life 101-0000-2007 266.46 1/26/2023 February 2023 Vision 291.32 1/26/2023 Fidelity Security Life 291.32 French Lake Auto Parts 101-1550-4120 2,200.00 1/18/2023 CS Pickup Box Door Bumper 2,200.00 1/18/2023 French Lake Auto Parts 2,200.00 Fusion Learning Partners 101-1160-4370 550.00 1/18/2023 Registration Fee - MN Gov IT Symposium - Rice Fusion Learning Partners 101-1160-4370 475.00 1/18/2023 2 day IT symposium pass AP - Check Detail-ACH (2/7/2023)Page 8 of 26 92 Last Name Acct 1 Amount Check Date Description 1,025.00 1/18/2023 Fusion Learning Partners 1,025.00 Global Industrial Solutions 101-1170-4510 615.68 1/18/2023 Replacement water filters 615.68 1/18/2023 Global Industrial Solutions 615.68 GOPHER STATE ONE-CALL INC 700-0000-4300 25.00 1/26/2023 2023 Annual Facility Operator Fee GOPHER STATE ONE-CALL INC 701-0000-4300 25.00 1/26/2023 2023 Annual Facility Operator Fee 50.00 1/26/2023 GOPHER STATE ONE-CALL INC 50.00 Government Finance Officers Association 101-1130-4370 245.00 1/18/2023 GFOA Webinar - Grants Training 245.00 1/18/2023 Government Finance Officers Association 245.00 Grainger 700-0000-4550 44.46 1/18/2023 JJ 2 in Malleable Iron Wye for LS 12/Well 12 Grainger 701-0000-4551 44.46 1/18/2023 JJ 2 in Malleable Iron Wye for LS 12/Well 12 88.92 1/18/2023 Grainger 88.92 GRANICUS INC 101-1420-4300 3,100.00 1/26/2023 Short Term Rental Annual Software 3,100.00 1/26/2023 GRANICUS INC 3,100.00 AP - Check Detail-ACH (2/7/2023)Page 9 of 26 93 Last Name Acct 1 Amount Check Date Description Hach Company 700-7019-4160 630.34 1/18/2023 JC Chemkey Chlorine Orthophosphate TISAB Soln Hach Company 700-7019-4160 299.80 1/18/2023 JC Chemkey 25 Piece Chlorine Hach Company 700-7019-4160 131.00 1/18/2023 JC Chemkey 25 piece Dissolved Iron Hach Company 700-7019-4160 624.71 1/18/2023 JC chemkey 25 piece ammonia Hach Company 700-7019-4160 194.18 1/18/2023 JC Chemkey 25 piece Ammonia 1,880.03 1/18/2023 Hach Company 1,880.03 HANSEN THORP PELLINEN OLSON 400-0000-1155 212.00 1/19/2023 Cunningham 2nd Addition HANSEN THORP PELLINEN OLSON 400-0000-1155 185.50 1/19/2023 Lake Place Apartments HANSEN THORP PELLINEN OLSON 400-0000-1155 132.50 1/19/2023 Berrospid 530.00 1/19/2023 HANSEN THORP PELLINEN OLSON 530.00 HAWKINS CHEMICAL 700-7043-4160 20.00 1/26/2023 Chlorine Cylinder HAWKINS CHEMICAL 700-7043-4160 40.00 1/26/2023 Chlorine Cylinder 60.00 1/26/2023 HAWKINS CHEMICAL 60.00 Hickmans Service Inc 101-1550-4140 214.75 1/18/2023 CS Tail Lamp 214.75 1/18/2023 Hickmans Service Inc 214.75 HOISINGTON KOEGLER GROUP 401-0000-4706 2,065.00 1/19/2023 Project 022-064 - 2023 CIP Projects 2,065.00 1/19/2023 HOISINGTON KOEGLER GROUP 2,065.00 Home Depot 700-7019-4120 128.90 1/18/2023 JC 50LB Ice Melt Calcium Pellet Bag AP - Check Detail-ACH (2/7/2023)Page 10 of 26 94 Last Name Acct 1 Amount Check Date Description Home Depot 700-0000-4150 34.80 1/18/2023 BK Numbers for Trucks in Shop Home Depot 101-1560-4130 69.79 1/18/2023 Holiday decor - pointsettias Home Depot 701-0000-4150 123.41 1/18/2023 GF Large Tool Box Cable Cutter Electrical Tape Home Depot 700-7019-4150 253.05 1/18/2023 JC Ball Valve PXP Adapter PXFPT MIP Adapter Poly Home Depot 101-1550-4150 53.45 1/18/2023 AB Plywood Home Depot 701-0000-4150 34.80 1/18/2023 BK Numbers for Trucks in Shop Home Depot 700-7019-4120 428.43 1/18/2023 JC 12 Volt Lithium Ion Cordless Plumb Points laser level Home Depot 101-1170-4510 145.47 1/18/2023 1G Raised Cover Bit Set 21pc Stud Sover 50pk Window film applica Home Depot 700-0000-4150 123.41 1/18/2023 GF Large Tool Box Cable Cutter Electrical Tape 1,395.51 1/18/2023 Home Depot 1,395.51 Houlihan's 101-1520-4381 152.08 1/18/2023 Park & Rec Commission Holiday Social Houlihan's 101-1180-4381 217.22 1/18/2023 Head Election Judge Appreciation Dinner 369.30 1/18/2023 Houlihan's 369.30 HP Services 101-1160-4530 -68.72 1/18/2023 Credit for HP Return Part (RMA#100033688231) -68.72 1/18/2023 HP Services -68.72 Hydra Power Hydraulics Inc 101-1550-4120 84.08 1/18/2023 CS Seals 84.08 1/18/2023 Hydra Power Hydraulics Inc 84.08 Indelco Plastics Corporation 700-7019-4150 109.01 1/18/2023 "JC 1/2"" SxSxT Tee CPVC Sch 80" 109.01 1/18/2023 AP - Check Detail-ACH (2/7/2023)Page 11 of 26 95 Last Name Acct 1 Amount Check Date Description Indelco Plastics Corporation 109.01 Innovative Office Solutions LLC 101-1170-4110 35.66 1/19/2023 Gel pen, Marker, sharpie Innovative Office Solutions LLC 101-1170-4110 17.61 1/19/2023 Pen, Tape, Marker 53.27 1/19/2023 Innovative Office Solutions LLC 101-1170-4110 130.78 1/26/2023 Post-it, Pad 3X3, Rubberbands 130.78 1/26/2023 Innovative Office Solutions LLC 101-1170-4110 29.35 2/2/2023 Lamnat Pouch Innovative Office Solutions LLC 101-1170-4110 22.49 2/2/2023 Pencil, Paper 11X17 Innovative Office Solutions LLC 101-1170-4110 20.94 2/2/2023 Paper 72.78 2/2/2023 Innovative Office Solutions LLC 256.83 International Society of Arboriculture 720-7202-4370 35.00 1/18/2023 ISA conference Jamie Marsh International Society of Arboriculture 720-7202-4360 120.00 1/18/2023 Intl Soc of Arboriculture recertification International Society of Arboriculture 720-7202-4370 -35.00 1/18/2023 ISA conference Jamie Marsh refund 120.00 1/18/2023 International Society of Arboriculture 120.00 IR Fanview 101-1160-4219 12.89 1/18/2023 Irfanview software for image modification 12.89 1/18/2023 IR Fanview 12.89 Jamf Software, LLC 101-1160-4205 128.00 1/18/2023 monthly mdm for ipads 128.00 1/18/2023 AP - Check Detail-ACH (2/7/2023)Page 12 of 26 96 Last Name Acct 1 Amount Check Date Description Jamf Software, LLC 128.00 KENNEDY & GRAVEN, CHARTERED 605-6502-4300 5,448.51 2/2/2023 Legal Services - Acquisition of Right of Way CR 101 KENNEDY & GRAVEN, CHARTERED 101-1140-4302 548.25 2/2/2023 Legal Services - Labor/Employment Matters 5,996.76 2/2/2023 KENNEDY & GRAVEN, CHARTERED 5,996.76 K-TECH SPECIALTY COATINGS, INC 101-1320-4150 1,360.90 1/19/2023 Beet Heet Concentrate 1,360.90 1/19/2023 K-TECH SPECIALTY COATINGS, INC 1,360.90 Kwik Trip 101-1320-4120 8.71 1/18/2023 RL Gas for Small Equipment Kwik Trip 701-0000-4170 3.99 1/18/2023 GF Fuel for 2 gallon Gas Tank Kwik Trip 700-0000-4170 3.98 1/18/2023 GF Fuel for 2 gallon Gas Tank 16.68 1/18/2023 Kwik Trip 16.68 Lasercrafting 101-1170-4110 11.50 1/18/2023 Chamber Name Plate Mark von Oven 11.50 1/18/2023 Lasercrafting 11.50 League of Minnesota Cities 101-1110-4370 350.00 1/18/2023 LMC Foundations Course CMElect MV 350.00 1/18/2023 League of Minnesota Cities 350.00 Lunds & Byerly's 101-1560-4130 41.07 1/18/2023 Black Beans Spinach Beets Cabbage Carrots Avocado blueberries Lunds & Byerly's 720-7201-4372 25.77 1/18/2023 Bubly Pellegrino Cookies AP - Check Detail-ACH (2/7/2023)Page 13 of 26 97 Last Name Acct 1 Amount Check Date Description 66.84 1/18/2023 Lunds & Byerly's 66.84 Mackenthun's 720-7202-4130 54.73 1/18/2023 Front Planters material city hall 54.73 1/18/2023 Mackenthun's 54.73 MACQUEEN EQUIPMENT 701-0000-4260 272.21 2/2/2023 Overhaul Kit, Drill Point, Manhole hook 272.21 2/2/2023 MACQUEEN EQUIPMENT 272.21 Marco Inc 101-1160-4411 735.00 1/19/2023 Copier Lease 735.00 1/19/2023 Marco Inc 735.00 Matheson Tri-Gas, Inc.101-1370-4120 182.60 2/2/2023 Propane, Pinnacle, Oxygen Matheson Tri-Gas, Inc.101-1320-4120 182.61 2/2/2023 Propane, Pinnacle, Oxygen Matheson Tri-Gas, Inc.700-0000-4120 182.61 2/2/2023 Propane, Pinnacle, Oxygen Matheson Tri-Gas, Inc.101-1370-4150 -17.00 2/2/2023 Diffuser, Acculock MDX - Return Matheson Tri-Gas, Inc.101-1550-4120 182.61 2/2/2023 Propane, Pinnacle, Oxygen 713.43 2/2/2023 Matheson Tri-Gas, Inc. 713.43 McMaster-Carr 700-7043-4530 183.66 1/18/2023 GF Snug Hold Threaded Rod Mount Clamping Hanger Iron 183.66 1/18/2023 AP - Check Detail-ACH (2/7/2023)Page 14 of 26 98 Last Name Acct 1 Amount Check Date Description McMaster-Carr 183.66 Menards 701-0000-4551 61.42 1/18/2023 JJ Supplies for LS 12/Well 12 Menards 700-7019-4510 150.51 1/18/2023 JC Personal Heater 6 Element Infrared Heater Menards 700-7043-4120 405.07 1/18/2023 GF PVC Sch 80 Core Anchor Hex 7pc Set lgnose Pliers male adap Menards 700-0000-4550 61.41 1/18/2023 JJ Supplies for LS 12/Well 12 678.41 1/18/2023 Menards 678.41 Merlins Ace Hardware 101-1170-4260 58.53 1/18/2023 KZ City Hall Fuses Work Gloves Screwdriver Set 10pc Merlins Ace Hardware 700-0000-4550 6.85 1/18/2023 BM Insulation for Well #8 Merlins Ace Hardware 101-1310-4260 299.99 1/18/2023 Digital Level Merlins Ace Hardware 101-1170-4510 57.16 1/18/2023 Auger Closet Aeratr Insrt 4pk Ace Snap Ring Pliers set Merlins Ace Hardware 700-7043-4150 11.54 1/18/2023 GF Fastners for West Treatment Plant Merlins Ace Hardware 700-7043-4510 34.36 1/18/2023 MW Tube Sand Quikrete Merlins Ace Hardware 101-1600-4130 16.99 1/18/2023 Ice Scraper parks Van Merlins Ace Hardware 700-7043-4510 13.14 1/18/2023 MW WWTP Ice Melt Pipe Threading Merlins Ace Hardware 101-1310-4260 19.32 1/18/2023 Measuring Tape Merlins Ace Hardware 101-1550-4150 95.94 1/18/2023 GB Holiday Lights for City Center (Replacements) Merlins Ace Hardware 101-1600-4130 9.59 1/18/2023 Tape For Events Merlins Ace Hardware 700-7043-4150 12.18 1/18/2023 GF Fastners for West Treatment Plant 635.59 1/18/2023 Merlins Ace Hardware 635.59 Metropolitan Council Enviromental Services 701-0000-4509 20,000.00 1/18/2023 MCES-WW Services Jan 2023 20,000.00 1/18/2023 Metropolitan Council Enviromental Services 20,000.00 Metropolitan Council, Env Svcs 701-0000-2023 4,970.00 1/19/2023 December, 2022 SAC Metropolitan Council, Env Svcs 101-1250-3816 -49.70 1/19/2023 December, 2022 SAC 4,920.30 1/19/2023 AP - Check Detail-ACH (2/7/2023)Page 15 of 26 99 Last Name Acct 1 Amount Check Date Description Metropolitan Council, Env Svcs 4,920.30 METROPOLITAN FORD 101-1250-4140 71.44 2/2/2023 RTDKey TR METROPOLITAN FORD 101-1250-4140 71.44 2/2/2023 Glass Replacement METROPOLITAN FORD 701-0000-4140 -125.27 2/2/2023 Spor Run-Doo Return 17.61 2/2/2023 METROPOLITAN FORD 17.61 Milestone Auto Inc.101-1320-4140 230.00 1/19/2023 DW1254 230.00 1/19/2023 Milestone Auto Inc. 230.00 Minnesota Equipment 101-1550-4120 103.68 1/19/2023 Roller Chain 103.68 1/19/2023 Minnesota Equipment 101-1550-4120 696.75 2/2/2023 Oil Line, Knob, Door, Plate, Lock, Hood 696.75 2/2/2023 Minnesota Equipment 800.43 Minnesota Rural Water Association 701-0000-4370 75.00 1/18/2023 MW Sewer/Water Training Minnesota Rural Water Association 700-0000-4370 75.00 1/18/2023 MW Sewer/Water Training 150.00 1/18/2023 Minnesota Rural Water Association 150.00 MN DEPT OF LABOR AND INDUSTRY 101-0000-2022 3,308.32 1/19/2023 December, 2022 Permit Surcharge MN DEPT OF LABOR AND INDUSTRY 101-1250-3818 -66.17 1/19/2023 December, 2022 Permit Surcharge 3,242.15 1/19/2023 AP - Check Detail-ACH (2/7/2023)Page 16 of 26 100 Last Name Acct 1 Amount Check Date Description MN DEPT OF LABOR AND INDUSTRY 3,242.15 MN RECREATION & PARK ASSOC.101-1520-4360 1,519.00 2/2/2023 Membership, Ruegemer, Tandon, Czech, Beers, Sarles, Blazanin 1,519.00 2/2/2023 MN RECREATION & PARK ASSOC. 1,519.00 MN VALLEY ELECTRIC COOP 101-1350-4320 365.63 1/26/2023 Monthly Service - County Rd 61 & St. Hwy 101 Lights MN VALLEY ELECTRIC COOP 101-1350-4320 172.75 1/26/2023 Monthly Service - Bluff Crk & Flying Cloud Dr 538.38 1/26/2023 MN VALLEY ELECTRIC COOP 101-1350-4320 175.07 2/2/2023 Monthly Service - Bandimere Park Lights MN VALLEY ELECTRIC COOP 101-1350-4320 52.19 2/2/2023 Monthly Service - Kiowa Trl & St. Hwy 101 227.26 2/2/2023 MN VALLEY ELECTRIC COOP 765.64 Mobile Mini, Inc 101-1617-4400 575.00 2/2/2023 Open Bay Office Rental Mobile Mini, Inc 101-1617-4400 575.00 2/2/2023 Open Bay Office Rental Mobile Mini, Inc 101-1617-4400 575.00 2/2/2023 Open Bay Office Rental 1,725.00 2/2/2023 Mobile Mini, Inc 1,725.00 NAPA AUTO & TRUCK PARTS 101-1250-4140 182.18 1/19/2023 Front Brake, Rotor 182.18 1/19/2023 NAPA AUTO & TRUCK PARTS 101-1320-4120 172.55 1/26/2023 Winter Wiper Blade, Beam Wiper Blade, Oil Filter 172.55 1/26/2023 NAPA AUTO & TRUCK PARTS 101-1550-4120 20.75 2/2/2023 Vinyl Fuel Tubing AP - Check Detail-ACH (2/7/2023)Page 17 of 26 101 Last Name Acct 1 Amount Check Date Description 20.75 2/2/2023 NAPA AUTO & TRUCK PARTS 375.48 North American Safety, Inc.701-0000-4240 41.70 2/2/2023 Polycarbonate Lens North American Safety, Inc.700-0000-4240 41.70 2/2/2023 Polycarbonate Lens 83.40 2/2/2023 North American Safety, Inc. 83.40 North Atlantic 101-1220-4290 1,227.94 1/18/2023 Blackstone - Reimbursed by Relief Assoc #525312 1,227.94 1/18/2023 North Atlantic 1,227.94 Northern Tool+Equipment 701-0000-4150 149.97 1/18/2023 JG Handle Hardwood Dolly Northern Tool+Equipment 700-0000-4260 649.50 1/18/2023 BM 2200W Inverter Com for Sewer & Water Northern Tool+Equipment 701-0000-4260 649.50 1/18/2023 BM 2200W Inverter Com for Sewer & Water 1,448.97 1/18/2023 Northern Tool+Equipment 1,448.97 Nuss Truck & Equipment 101-1320-4140 -98.40 1/26/2023 Core Return Nuss Truck & Equipment 101-1320-4140 323.13 1/26/2023 Window Regulator Nuss Truck & Equipment 101-1320-4120 84.72 1/26/2023 Gasket Nuss Truck & Equipment 101-1320-4120 2.43 1/26/2023 Switch 311.88 1/26/2023 Nuss Truck & Equipment 101-1320-4140 54.11 2/2/2023 Air Spring Nuss Truck & Equipment 101-1320-4140 211.84 2/2/2023 Abex 23K Reli, Core Deposit 265.95 2/2/2023 AP - Check Detail-ACH (2/7/2023)Page 18 of 26 102 Last Name Acct 1 Amount Check Date Description Nuss Truck & Equipment 577.83 Office Max/Office Depot 101-1320-4310 12.87 1/18/2023 JG USB Lightning Cable 12.87 1/18/2023 Office Max/Office Depot 12.87 Papa Murphy's 101-1220-4381 54.00 1/18/2023 Pepperoni Hawaiian Sausage pizza 54.00 1/18/2023 Papa Murphy's 54.00 Party City 101-1615-4130 5.37 1/18/2023 Tree Lighting Ceremony tablecloths 5.37 1/18/2023 Party City 5.37 Postmaster 700-0000-4330 14.70 1/18/2023 AA Mail Return Package Utilities 14.70 1/18/2023 Postmaster 14.70 POWER SYSTEMS 701-0000-4120 17.64 1/26/2023 Midland Male Elbow, Barb 3/8 NPT 17.64 1/26/2023 POWER SYSTEMS 17.64 PRECISE MRM LLC 101-1320-4300 273.00 1/19/2023 2022-11 Subscription 10mb 273.00 1/19/2023 AP - Check Detail-ACH (2/7/2023)Page 19 of 26 103 Last Name Acct 1 Amount Check Date Description PRECISE MRM LLC 273.00 Pro-Tec Design, Inc.101-1160-4136 364.00 1/19/2023 HID Mobile Credentials 364.00 1/19/2023 Pro-Tec Design, Inc. 364.00 Pub 42 101-1120-4381 255.38 1/18/2023 Lunch for Department Head group during City Hall tour 255.38 1/18/2023 Pub 42 255.38 Rent N Save Portable Services 101-1550-4400 1,066.00 1/19/2023 Portable Restrooms 1,066.00 1/19/2023 Rent N Save Portable Services 101-1550-4400 1,066.00 2/2/2023 Portable Restrooms 1,066.00 2/2/2023 Rent N Save Portable Services 2,132.00 Safe-Fast, Inc.101-1320-4240 55.30 2/2/2023 Insulated Drivers Gloves 55.30 2/2/2023 Safe-Fast, Inc. 55.30 Sam's Club 101-1560-4112 455.79 1/18/2023 Accidental charge Sam's Club 101-1560-4112 455.79 1/18/2023 Food and Beverage - Holiday Luncheon Dec 8 Sam's Club 101-1560-4112 -455.79 1/18/2023 Credit for accidental charge 455.79 1/18/2023 AP - Check Detail-ACH (2/7/2023)Page 20 of 26 104 Last Name Acct 1 Amount Check Date Description Sam's Club 455.79 Sensible Land Use Coalition 101-1420-4370 96.00 1/18/2023 training - SLUC 2023 Housing Market Update and Forecast 96.00 1/18/2023 Sensible Land Use Coalition 96.00 Sherwin-Williams 101-1170-4510 65.76 1/18/2023 Paint - Black, Maroon, Deep Gold 65.76 1/18/2023 Sherwin-Williams 65.76 SMM Auto Parking Ramp 101-1160-4381 10.00 1/18/2023 Parking Fee - MN Gov IT Symposium 12/6/22 SMM Auto Parking Ramp 101-1160-4381 10.00 1/18/2023 Parking Fee - MN Gov IT Symposium 12/7/22 SMM Auto Parking Ramp 101-1160-4381 10.00 1/18/2023 Parking Fee - MN Gov IT Symposium 12/8/22 30.00 1/18/2023 SMM Auto Parking Ramp 30.00 Southwest Metro Chamber of Commerce 101-1120-4381 40.00 1/18/2023 SW Chamber Holiday Lunch LH Southwest Metro Chamber of Commerce 101-1110-4381 40.00 1/18/2023 SWChamber Holiday Lunch JM Southwest Metro Chamber of Commerce 101-1123-4381 40.00 1/18/2023 SW Chamber/Buy Chanhassen Holiday Lunch Southwest Metro Chamber of Commerce 101-1125-4381 40.00 1/18/2023 SW Chamber Holiday Lunch AL Southwest Metro Chamber of Commerce 101-1220-4381 40.00 1/18/2023 SW Holiday Luncheon - D Johnson 200.00 1/18/2023 Southwest Metro Chamber of Commerce 200.00 Springbrook 101-1160-4227 53,117.19 1/26/2023 Subscription Fees Springbrook 720-1130-4227 3,359.84 1/26/2023 Subscription Fees Springbrook 701-1130-4227 6,719.68 1/26/2023 Subscription Fees Springbrook 700-1130-4227 6,719.68 1/26/2023 Subscription Fees AP - Check Detail-ACH (2/7/2023)Page 21 of 26 105 Last Name Acct 1 Amount Check Date Description 69,916.39 1/26/2023 Springbrook 69,916.39 SRF CONSULTING GROUP INC 101-1310-4303 3,687.93 1/19/2023 TH 41 at Minnetonka Middle School Roundabout 3,687.93 1/19/2023 SRF CONSULTING GROUP INC 3,687.93 Starbucks 101-1123-4381 6.17 1/18/2023 Coffee with David K from EDC 6.17 1/18/2023 Starbucks 6.17 Stavros Properties 101-1171-4300 742.44 1/26/2023 2022 Easement fess for property adjacent - 7805 Great Plains Blv 742.44 1/26/2023 Stavros Properties 742.44 STRATOGUARD LLC 101-1160-4205 221.76 1/26/2023 Proofpoint Email Filtering Srvc - Nov Billing 221.76 1/26/2023 STRATOGUARD LLC 221.76 Stratoguard, LLC 101-1160-4205 221.76 1/18/2023 ProofPoint EMail Filter Service - Dec 221.76 1/18/2023 Stratoguard, LLC 221.76 SUBURBAN CHEVROLET 101-1220-4140 175.99 1/26/2023 Relay SUBURBAN CHEVROLET 101-1370-4140 45.00 1/26/2023 Service Work AP - Check Detail-ACH (2/7/2023)Page 22 of 26 106 Last Name Acct 1 Amount Check Date Description SUBURBAN CHEVROLET 700-0000-4140 -400.00 1/26/2023 Core Return SUBURBAN CHEVROLET 101-1550-4140 195.52 1/26/2023 Blade 16.51 1/26/2023 SUBURBAN CHEVROLET 16.51 Sun Life Financial 701-0000-2015 57.31 1/19/2023 LTD January, 2023 Sun Life Financial 700-0000-2015 89.45 1/19/2023 LTD January, 2023 Sun Life Financial 720-0000-2015 53.09 1/19/2023 LTD January, 2023 Sun Life Financial 101-0000-2015 1,239.30 1/19/2023 LTD January, 2023 1,439.15 1/19/2023 Sun Life Financial 1,439.15 Target 101-1807-4130 42.68 1/18/2023 Gatorade Zero Mixed Gatorade Zero Grape Gatorade Fruit Punch Target 101-1220-4290 24.25 1/18/2023 Batteries for vehicle key fobs 66.93 1/18/2023 Target 66.93 TEQUILA BUTCHER 101-1110-4372 101.90 1/18/2023 Council meal final meeting of year 101.90 1/18/2023 TEQUILA BUTCHER 101.90 Tessco 700-0000-4550 375.55 1/18/2023 JJ LMR-600 Cable N Male EZ for LMR-600 375.55 1/18/2023 Tessco 375.55 Universal Athletic Services, Inc.101-1600-4240 765.00 2/2/2023 Staff Uniform Belt Bags AP - Check Detail-ACH (2/7/2023)Page 23 of 26 107 Last Name Acct 1 Amount Check Date Description 765.00 2/2/2023 Universal Athletic Services, Inc. 765.00 US Bank Rebate 101-1130-3903 -2,151.59 1/18/2023 US Bank Rebate -2,151.59 1/18/2023 US Bank Rebate -2,151.59 VIKING INDUSTRIAL CENTER 701-0000-4240 50.00 2/2/2023 Hooded Zipper Sweatshirt VIKING INDUSTRIAL CENTER 700-0000-4240 50.00 2/2/2023 Hooded Zipper Sweatshirt 100.00 2/2/2023 VIKING INDUSTRIAL CENTER 100.00 Wal-Mart 101-1560-4112 170.46 1/18/2023 Ice Cream Spatula Butter Parsley Onion Alfredo Mixed Veg GV Hms Wal-Mart 101-1530-4530 35.91 1/18/2023 Pickleball Net Repair Kit 206.37 1/18/2023 Wal-Mart 206.37 WEISSMAN 101-1534-4355 4,613.53 1/18/2023 Dance costumes 4,613.53 1/18/2023 WEISSMAN 4,613.53 When I work 101-1617-4410 30.40 1/18/2023 Warming house staff scheduling 30.40 1/18/2023 When I work 30.40 AP - Check Detail-ACH (2/7/2023)Page 24 of 26 108 Last Name Acct 1 Amount Check Date Description WSB & ASSOCIATES INC 101-1311-4306 8,762.00 2/2/2023 2022 GIS/AMS Support Services 8,762.00 2/2/2023 WSB & ASSOCIATES INC 8,762.00 XCEL ENERGY INC 701-0000-4320 261.08 1/26/2023 Monthly Service - Fire Station, Library, City Hall, Old Town Hal XCEL ENERGY INC 700-0000-4320 577.95 1/26/2023 Monthly Service - 1720 Lake Lucy Rd XCEL ENERGY INC 700-0000-4320 10,154.66 1/26/2023 Monthly Service - Wells XCEL ENERGY INC 101-1220-4320 1,435.97 1/26/2023 Monthly Service - Fire Station, Library, City Hall, Old Town Hal XCEL ENERGY INC 101-1170-4320 2,122.60 1/26/2023 Monthly Service - Fire Station, Library, City Hall, Old Town Hal XCEL ENERGY INC 700-0000-4320 261.08 1/26/2023 Monthly Service - Fire Station, Library, City Hall, Old Town Hal XCEL ENERGY INC 101-1312-4320 2,088.62 1/26/2023 Monthly Service - Fire Station, Library, City Hall, Old Town Hal XCEL ENERGY INC 101-1171-4320 50.81 1/26/2023 Monthly Service - Fire Station, Library, City Hall, Old Town Hal XCEL ENERGY INC 101-1190-4320 2,376.47 1/26/2023 Monthly Service - Fire Station, Library, City Hall, Old Town Hal 19,329.24 1/26/2023 XCEL ENERGY INC 700-7019-4320 6,640.75 2/2/2023 Monthly Service - East Water Treatment Plant XCEL ENERGY INC 700-0000-4320 1,379.44 2/2/2023 Monthly Service - Lift Stations XCEL ENERGY INC 101-1350-4320 37.00 2/2/2023 Monthly Service - 1178 Lake Lucy Rd XCEL ENERGY INC 701-0000-4320 4,452.61 2/2/2023 Monthly Service - Lift Stations XCEL ENERGY INC 101-1600-4320 27.40 2/2/2023 Monthly Service - 7700 Market Blvd 12,537.20 2/2/2023 XCEL ENERGY INC 31,866.44 Zoom 101-1160-4207 85.90 1/18/2023 zoom monthly webinar charge 85.90 1/18/2023 Zoom 85.90 Zoro Tools Inc 700-7019-4120 107.20 1/18/2023 "JC CPVC Female Adapter Schedule 80 1/2""" 107.20 1/18/2023 AP - Check Detail-ACH (2/7/2023)Page 25 of 26 109 Last Name Acct 1 Amount Check Date Description Zoro Tools Inc 107.20 319,371.58 AP - Check Detail-ACH (2/7/2023)Page 26 of 26 110 City Council Item February 13, 2023 Item Consider a Request for Approval for a Final Plat, Conservation Easement, Development Contract, and Construction Plans for Fox Ridge Estates File No.Planning Case 2022-10 Item No: D.4 Agenda Section CONSENT AGENDA Prepared By Sharmeen Al-Jaff, Senior Planner Reviewed By SUGGESTED ACTION "The Chanhassen City Council approves a request for final plat, conservation easement, development contract, and construction plans for Fox Ridge Estates." Motion Type Simple Majority Vote of members present Strategic Priority Development & Redevelopment SUMMARY The developer is requesting approval to subdivide 2.47 acres into three single-family lots and one outlot for Fox Ridge Estates. The approval includes: Final Plat Development Contract Conservation Easement Construction Plans BACKGROUND On November 14, 2022, the Chanhassen City Council approved the preliminary plat to subdivide 2.47 acres into three lots and one outlot as shown in plans dated October 27, 2022 subject to conditions, and adopted the Findings of Fact and Decision. 111 DISCUSSION The applicant is requesting final plat approval to subdivide 2.47 acres into three single-family lots and one outlot for Fox Ridge Estates. The density of the proposed subdivision is 1.2 units per acre. All the lots exceed the minimum 15,000 square feet of area. The site is zoned Residential Single Family District (RSF). All of the proposed lots meet the minimum width and depth requirements of the RSF Zoning Ordinance. There is one outlot proposed on the site. This outlot will contain a wetland and a stand of mature trees which will be protected by a Conservation Easement. The ordinance requires all structures to maintain a 40-foot setback from the outside edge of a wetland buffer strip. The ordinance also requires a buffer zone in addition to the wetland setback. Staff notes that the proposal is consistent with the Comprehensive Plan and the Zoning Ordinance. BUDGET RECOMMENDATION Staff recommends that the City Council grant approval of Final Plat, Construction Plans, Development Contract and attached Conservation Easement over Outlot A, Fox Ridge Estates, Planning Case #02022-10, for three lots and one outlot, as shown on plans dated January 13, 2023, subject to conditions. ATTACHMENTS Final Plat Staff Report Conservation Easement Fox Ridge Estates Development Contract Construction Plans Final Plat 112 MEMORANDUM TO:Laurie Hokkanen, City Manager FROM:Sharmeen Al-Jaff, Senior Planner DATE:February 13, 2023 SUBJ:Fox Ridge Estates Final Plat Approval, Planning Case #2022-10 PROPOSAL SUMMARY The developer is requesting final plat approval to subdivide 2.47 acres into three single-family lots and 1 outlot for Fox Ridge Estates. ACTION REQUIRED City Council approval requires a majority of City Council present. BACKGROUND On November 14, 2022, the Chanhassen City Council adopted the following motion pertaining to Fox Hill – Planning Case 2022-10: “The Chanhassen City Council approves the preliminary plat to subdivide 2.47 acres into three lots and one outlot as shown in plans dated October 27, 2022, subject to the following conditions and adoption of the Findings of Fact and decision: SUBDIVISION Engineering: 1.The applicant and their Engineer shall work with city staff in amending the construction plans, dated October 27, 2022 prepared by Seth Loken, PE with Alliant Engineering, to fully satisfy construction plan comments and concerns. Final construction plans will be subject to review and approval by staff prior to recording of the final plat. Finding: This condition has been modified for clarity and still applies. 2.The applicant shall enter into a Development Contract and pay all applicable fees and securities prior to recording of final plat. Finding: This condition still applies. 3.It is the applicant’s responsibility to ensure that permits are received from all other agencies with jurisdiction over the project (i.e. Army Corps of Engineers, DNR, Carver County, Riley Purgatory Bluff Creek Watershed District (RPBCWD), Board of Water and Soil Resources, etc.). Finding: This condition still applies. 113 Fox Ridge Estates Final Plat, Planning Case #2022-10 February 33, 2023 Page 2 4.An engineer’s estimate for the cost of public improvements, grading and erosion control practices must be provided prior to approval of the final plat. Finding: This condition has been met. Water Resources: 1.The applicant shall provide a copy of conditional approval from the RPBCWD as part of the final plat submittal. Finding: This condition has been met. 2.The applicant shall provide an updated copy of the geotechnical report and infiltration test results as part of the final plat submittal. Finding: This condition has been met. 3.The applicant shall update the Hydrologic and Hydraulic models per city and watershed district comments and submit updated computations and models in their native forms with the final plat and final construction plans. Finding: This condition still applies. 4.Updated information on the onsite impervious must be included in the Stormwater Management Program (SWMP) to confirm volume abstraction requirements are being met as part of the final plat submittal. Finding: This condition has been met. 5.The applicant shall demonstrate that the proposed project will be in compliance with the 3-foot freeboard requirement to ponding features as part of the final plat submittal. Finding: This condition has been met. 6.The applicant shall confirm the stormwater routing of the site and include, underground infiltration details, and connections to public infrastructure as part of the final plat submittal if applicable. Finding: This condition has been met. 7.The applicant shall work with staff to improve the best management practices (BMP) configuration and stormwater design to the maximum extent given the restrictions of the site and RPBCWD rules. Finding: This condition has been met. 8.The applicant shall enter into an Operations and Maintenance Agreement for any proposed privately owned stormwater facilities which shall be recorded concurrently with the final plat. Finding: This condition still applies. 114 Fox Ridge Estates Final Plat, Planning Case #2022-10 February 33, 2023 Page 3 9.The applicant shall update the design to reduce the 100-year high water level (HWL) of the onsite wetland to match or be below the existing 100-year HWL. Finding: This condition has been met. Parks: 1.Full Park fees in lieu of additional parkland dedication and/or trail construction shall be collected as a condition of approval for the three lots. The Park fees will be collected in full at the rate in force upon final plat submission and approval. Based upon the current single- family park fee rate of $5,800 per dwelling, the total Park fees for the two new additional homes would be $11,600. Finding: This condition has been modified. Environmental Resources: 1.Any changes in grading limits will require new canopy coverage calculations. Finding: This condition still applies. 2.A walk through of the tree removal limits with the city forester will be required prior to any clearing activity. Finding: This condition still applies. 3.Tree protection fencing shall be installed prior to any construction activities and remain in place until construction is complete. Finding: This condition still applies. 4.Any trees removed that are shown on plans dated as preserved shall be replaced at a rate of 2:1 diameter inches. Finding: This condition still applies. 5.A Conservation Easement shall be dedicated over Outlot A. Finding: This condition still applies. 6.The applicant must provide a copy of an approved Permit to Take an Endangered Species for a Development Project from the Minnesota Department of Natural Resources before any tree removal may occur. Finding: This condition still applies. 7.No grading or tree removal is allowed within any areas shown as tree preservation on page 13 Tree Canopy Coverage and Restoration Plan, dated 10-27-22. Finding: This condition still applies however, the date on the plans has been changed. Building: 1.A final grading plan and soils report must be submitted to the Inspections Division before building permits will be issued. Finding: This condition still applies. 115 Fox Ridge Estates Final Plat, Planning Case #2022-10 February 33, 2023 Page 4 2.Building permits must be obtained before beginning any construction. Finding: This condition still applies. 3.Building plans must provide sufficient information to verify that proposed buildings meet all requirements of the Minnesota State Building Code, additional comments or requirements may be required after plan review. Finding: This condition still applies. 4.Retaining walls (if present) more than four feet high must be designed by a professional engineer and a building permit must be obtained prior to construction, retaining walls under four feet in height require a zoning permit. Finding: This condition still applies. FINAL PLAT The applicant is requesting final plat approval to subdivide 2.47 acres into three single-family lots and 1 outlot for Fox Ridge Estates. The density of the proposed subdivision is 1.2 units per acre. All the lots exceed the minimum 15,000 square feet of area. The site is zoned Residential Single Family District (RSF). All of the proposed lots meet the minimum width and depth requirements of the RSF Zoning Ordinance. There is one outlot proposed on the site. This outlot will contain a wetland and a stand of mature trees which will be protected by a Conservation Easement. The ordinance requires all structures to maintain a 40-foot setback from the outside edge of a wetland buffer strip. The ordinance also requires a buffer zone in addition to the wetland setback. 116 Fox Ridge Estates Final Plat, Planning Case #2022-10 February 33, 2023 Page 5 The City Code states “Proposed house sizes shall be shown on the subdivision plan and shall be designed to accommodate residents' future house expansion (e.g., porches) and accessory structures (e.g., decks and patios) as well as the driveway and sidewalks to building entrances. If house plans are not known, then a 60-foot by 60-foot building pad and a 30-foot wide access driveway shall be used. The maximum permitted lot coverage shall be calculated for each lot and the permitted houses and structures shall be limited to those sizes.” The applicant submitted the footprint of proposed homes. All layouts meet ordinance requirements. Staff notes that the proposal is consistent with the Comprehensive Plan and the Zoning Ordinance. DRAINAGE AND UTILITY EASEMENTS AND RIGHT-OF-WAY The final plat provided illustrates mostly typical public drainage and utility easements (DUE) along the proposed subdivision’s lot lines with five foot DUE along the side and rear lot lines and a 10 foot DUE along the front lot lines. Additional DUE is being proposed within Block 1 Lot 1 along the northern property line extending to Lotus Lake and Block 1 Lot 3 which abuts a wetland encompassed by Outlot A. Private stormwater BMPs to serve the needs of the development must be wholly located outside of all public easements. The applicant is proposing to dedicate 10 feet of right-of-way to provide for a 50-foot right-of- way width along Fox Hill Drive and 30 feet of right-of-of way to provide for a 50-foot width along Carver Beach Road. Previous submittals proposed an additional 50-foot right-of-way bisecting now Block 1 Lot 1 & Lot 2 to provide connectivity to the south for when the area further subdivides. This is no longer being proposed, see the Planning Commission staff report dated 9/13/2022 for reference, as well as the “Streets” section of this report. While these widths 117 Fox Ridge Estates Final Plat, Planning Case #2022-10 February 33, 2023 Page 6 are not the city’s current standard for right-of-way widths (60 feet), the dedications are consistent with the surrounding neighborhoods. EXISTING CONDITIONS SURVEY The applicant provided an existing condition survey dated July 16, 2021. The existing condition survey describes an easement granted to the Northern States Power Company from July 22, 1941 which encompasses overhead electric lines. No other private easements encumbering the property were noted. WETLANDS The proposed plans show one wetland onsite that was delineated by Kjolhaug Environmental Services on November 23, 2020. The report included a Minnesota Routine Assessment Method (MnRAM) assessment. The wetland was classified as a high value wetland (manage type 1) with a minimum buffer width requirement of 20 feet and an average width of 40 feet as outlined by Riley Purgatory Bluff Creek Watershed District (RPBCWD) rules. City Ordinance requires a 25-foot buffer and 30 feet principal structure setback from wetland buffers. The construction plans January 11, 2023 show wetland buffers and setbacks that are consistent with Article VI, Chapter 20 of City Ordinance - Wetland Protection and appears to meet watershed buffer requirements. GRADING The site’s existing and proposed grades generally slope down both east and west from a high point located near the center of the property. The developer is proposing to mass grade portions of the site in order to construct house pads and stormwater management areas. The updated grading plans dated January 11, 2023 submitted with the final plat application appear to be in compliance with Section 7-19 and 18-40 of City Ordinance; requirements of these sections include separation from low floor elevations of the proposed homes to the highest known groundwater elevations, ensuring lowest building openings have enough freeboard from any emergency overflows adjacent to the homes, ensuring driveway grades are within limits set by Ordinance (0.5%-10%), ensuring drainage will be routed away from building pads, illustrating adequate erosion control measures are planned for, etc. DRAINAGE In the existing condition there is a large drainage break along a hill located near the center of the project area which directs water either east or west. Stormwater runoff flows to one of three discharge points, east to Lotus Lake, northwest to Carver Beach Road or to the onsite wetland on the west side of the site. Offsite drainage from the private parcel south of the development also drains to the wetland onsite and was included in the hydraulic analysis. The wetland onsite does not have a structural outlet in the existing condition but overtops a natural spillway outlet and drains northwest to Carver Beach Road when inundated. Drainage to Carver Beach Road is picked up by catch basins in the northwest corner of the intersection of Carver Beach Road and Fox Hill Drive and drains to existing stormwater pond Lotus Lake 1-2-1. 118 Fox Ridge Estates Final Plat, Planning Case #2022-10 February 33, 2023 Page 7 The proposed condition largely maintains the existing drainage patterns, continuing to drain to the same three discharge points. The proposed design uses surface grading and roof drains to convey runoff to one of three privately owned BMPs which treat the stormwater before it discharges to one of the three discharge points. The proposed BMPs include three underground infiltration systems on the three separate lots. An outlet for the wetland is not proposed as part of the development, rather the wetland will continue to utilize the natural spillway acting as the emergency overflow and continuing to drain northwest to Carver Beach Road. Stormwater from this overflow would discharge across the roadway where it would be eventually picked up by public infrastructure located on the west side of Carver Beach Road. Piped outlets for the proposed BMPs are directed to one of the three discharge points. The previously proposed public roadway and infrastructure has been removed from the plans. All onsite storm sewer and BMPs will be privately owned and maintained. The bounce in the onsite wetland is shown to remain the same or decrease slightly in the 2-, 10- and 100-year storm events from existing to proposed conditions. EROSION PREVENTION AND SEDIMENT CONTROL The proposed development will impact one (1) acre of disturbance and will, therefore, be subject to the General Permit Authorization to Discharge Stormwater Associated with Construction Activity Under the National Pollution Discharge Elimination/State Disposal System (NPDES Construction Permit). The applicant has prepared and submitted a Surface Water Pollution Prevention Plan (SWPPP) to the city for review. The SWPPP is a required submittal element for final plat review along with the Erosion and Sediment Control Plan (ESCP) in accordance with Section 19-145 of City Ordinance. No earth disturbing activities may occur until an approved SWPPP is developed. This SWPPP shall be a standalone document consistent with the NPDES Construction Permit and shall contain all required elements the permit. The SWPPP will need to be updated as the plans are finalized, when the contractor and their sub-contractors are identified, and as other conditions change. All erosion control shall be installed and inspected prior to initiation of site grading activities. STREETS The proposed subdivision abuts Fox Hill Drive to the north and Carver Beach Road to the west. Accesses to Block 1 Lots 1-3 of the proposed subdivision are proposed to be had from Fox Hill Drive. As discussed previously under “Drainage and Utility Easements and Public Right-of- Way”of this report, right-of-way was previously proposed to be dedicated between what is now Block 1 Lot 1 and Lot 2 in order to facilitate the connection of a secondary access for the neighborhood. This second connection was intended to extend from Fox Hill Drive to Big Woods Drive and had been planned for since the area began to redevelopment with the Eidsness metes and bounds subdivision to the south in 2005. As the secondary access has been removed from the proposal, the applicant has provided a ghost plat which illustrates the feasibility of the lots to the south to develop. The ghost plat, seen below, would provide street connectivity (a cul- de-sac) and municipal utility connections through a right-of-way extension from Big Woods Blvd. While the ghost plat generally illustrates the feasibility of the development, the secondary connection between Fox Hill Drive and Big Woods would not be had. 119 Fox Ridge Estates Final Plat, Planning Case #2022-10 February 33, 2023 Page 8 In order to provide a secondary connection to the Big Woods neighborhood, as well as the Carver Beach area as a whole, the city must consider a future extension of Carver Beach Road which would extend from Big Woods Boulevard to Bighorn Drive, as seen below. This secondary access would provide Carver Beach street connectivity and improved emergency service access and response time, while also ensuring the cul-de-sac illustrated on the ghost plat is a viable option per current City Ordinances (Section 18-57(k)). 120 Fox Ridge Estates Final Plat, Planning Case #2022-10 February 33, 2023 Page 9 SANITARY SEWER AND WATERMAIN The newly proposed subdivision will have access to adequate public sanitary sewer and water facilities within Fox Hill Drive right-of-way. The plans illustrate tapping two new service lines for both sanitary and water and connecting to one existing service for both sanitary and water that were installed in 1975. As such, only two water and sanitary sewer hookup fees will be required. Existing services shall be used to the maximum extent practicable to limit the disturbance and impact to Fox Hill Drive. Any existing services connected to shall be verified prior to connection of their serviceability which shall include televising the sanitary stubs to the public main; any existing services not used shall be removed and abandoned to city standards. The applicant previously proposed an approximately 120-foot extension of a municipal water main along the alignment of the previously proposed future street between now Block 1 Lot 1 and Lot 2 which was intended to provide a water loop between Fox Hill Drive and Big Woods Drive. As the street is no longer proposed, the applicant has provided a ghost plat with the most recent submittal showing how the properties to the south would be serviced adequately by municipal water and sanitary services. As such, this water loop is no longer required. STORM WATER MANAGEMENT Article VII, Chapter 19 of City code describes the required storm water management development standards. Section 19-141 states that “these development standards shall be reflected in plans prepared by developers and/or project proposers in the design and layout of site plans, subdivisions and water management features.” These standards include water quality treatment resulting in the removal of 90% total suspended solids (TSS) and 60% total phosphorous (TP), and runoff rate control for the 2, 10, and 100-year storm events. The proposed development is located within the RPBCWD and is therefore subject to the watershed’s rules and regulations. A Stormwater Management Report dated January 13, 2023 was submitted by the applicant to the City and provided to the watershed district concurrently as part of the final plat review. The site received approval from RPBCWD at their January 4, 2023 board meeting. As outlined in the city’s Surface Water Management Plan adopted in December 2018, the city requests regional ponding areas as opposed to individual on-site BMPs. Regional systems are more efficient and are easier to maintain. Due to the large hill onsite it does not seem feasible to direct drainage from the entire site to one regional BMP. The site is within RPBCWD and is required to meet all applicable watershed rules which includes volume abstraction of 1.1 inches of runoff from all new or disturbed impervious for redevelopment where over 50% of the project area is being disturbed. RPBCWD does allow for the use of existing regional stormwater management BMPs to meet its rules however Lotus Lake 1-2-1 does not provide the RPBCWD required volume abstraction and couldn’t be used alone to meet RPBCWD’s rules. The site layout was updated the lot count was reduced to three (3) lots for home construction. With the reduction in lots, impervious area, and the topography onsite a more regional BMP is not practical. The currently proposed infiltration BMPs provide the required volume abstraction and subsequently the required water quality treatment. The infiltration BMPs were sized to provide the required volume for the allowable impervious for each lot, which is more than is needed for 121 Fox Ridge Estates Final Plat, Planning Case #2022-10 February 33, 2023 Page 10 the currently proposed impervious. A geotechnical report was included in the most recent submittal as well as logs for additional test pits and infiltration tests taken in December 2022. Based on the soil borings and test pit logs provided the onsite soils are mostly clay with a sand/silt layer 5-10 feet below the surface across the site. The applicant is proposing to excavate to the sand/silt layer and backfill with free draining media under the proposed underground infiltration BMPs in order to get better infiltration rates. The applicant is designing the infiltration basins with infiltration rates which range from 0.28 to 0.8 inches per hour at the different BMPs based on the results from the soil borings and infiltration tests. The applicant is accurately modeling these rates in the HydroCAD and MIDS models submitted. The Stormwater Management Report and supporting Hydrologic and Hydraulic HydroCAD models were reviewed. The HydroCAD modeling shows the site is meeting rate control to each of the discharge points for the 2-, 10-, and 100-year storm events in addition to the 10-day snowmelt event. The applicant shall provide final versions of the modeling and SWMP report to address remaining minor comments and confirm rate control requirements are still being met prior to recording the final plat. As noted previously, RPBCWD rules require 1.1 inches of stormwater abstraction for all impervious area (new and existing) for the entire project area when over 50% of the project area is being disturbed. The proposed BMPs have a combined volume provided of 1,722 CF. As noted previously, soil borings and test pit results showed the onsite soils are mostly clay with a sand/silt layer 5-10 feet below the surface across the site. The applicant is proposing to excavate to the sand/silt layer and backfill with free draining media under the proposed underground infiltration BMPs in order to get better infiltration. The design infiltration rates range from 0.28 to 0.8 inches per hour at the different BMPs based on the results from the soil borings and infiltration tests. As outlined in the City’s Surface Water Management Plan adopted in December 2018, the city requires at least 3 feet of freeboard between a building elevation and adjacent ponding features. Based on the HydroCAD modeling results all proposed buildings are meeting freeboard requirements with respect to the proposed BMPs. Freeboard requirements were confirmed to be met with respect to the onsite wetland for all existing and proposed adjacent buildings. All work proposed appears to be outside of the FEMA floodplain and above the Ordinary High Water Level of Lotus Lake, so additional permitting with FEMA and/or the Minnesota Department of Natural Resources is not anticipated to be required. Work is proposed below the RPBCWD floodplain elevation however compensatory storage is provided for any proposed fill below the floodplain elevation in line with RPBCWD’s requirements. The infiltration BMPs located on each of three lots are to be privately owned and therefore will require an Operations and Maintenance (O&M) Agreement and associated plan. The plan identifies the maintenance schedule, responsible party, and should include information on how the system will be cleaned out including the underground infiltration chambers proposed in the construction plans. Draft Agreements have been provided to the city for review, however the applicant must update the O&M plan based on city comments and provide a signed O&M Agreement prior to the initiation of construction activities onsite. 122 Fox Ridge Estates Final Plat, Planning Case #2022-10 February 33, 2023 Page 11 STORM WATER UTILITY CONNECTION CHARGES City Ordinance sets out the fees associated with surface water management. A water quality and water quantity fee are collected with a subdivision. These fees are based on land use type and are intended to reflect the fact that the more intense the development type, the greater the degradation of surface water. This fee will be applied to the new lots of record being created. It is assessed at the rate in effect at that time; the 2023 rate for low-density residential is $9,180.00 per acre of developable land: SURFACE WATER DEVELOPMENT FEE AREA PER ACRE FEE ACRES FEE GROSS AREA $9,180 2.205 $ 20,241.90 OUTLOT A $9,180 0.548 $ (5,030.64) NET AREA 1.657 $ 15,211.26 SURFACE WATER DEVELOPMENT FEE AREA PER ACRE FEE ACRES FEE GROSS AREA $9,180 2.205 $ 20,241.90 OUTLOT A $9,180 0.548 $ (5,030.64) NET AREA 1.657 $ 15,211.26 As such, the net SWMP fee due at the time of final plat (in 2023) is $15,211.26. ASSESSMENTS Water and sewer partial hookups are due at the time of final plat. The partial hookup fees will be assessed at the rate in effect at that time; 2023 rates for partial hookup fees are $715.00 per unit for sanitary sewer and $2,652.00 per unit for water. The remaining partial hookups fees are due with the building permit. FEES Based on the proposal the following fees would be collected according to rates in effect for 2023 with the development contract: a) Administration Fee: if the improvement costs are between $500,000 and $1,000,000, 2% of the improvement costs. If the improvement costs exceed $1,000,000, 2.5% of the first $1,000,000 plus 1.5% of the remainder: $35,826.39 b) Surface water management fee: $9,180/acre, or $15,211.26 c) A portion of the water hook-up charge: $2,652/unit, or $5,304.00 d) A portion of the sanitary sewer hook-up charge: $715/unit, or $1,430.00 e) Park dedication fee: $5,800/dwelling, or $11,600.00 f) GIS fees: $100 for the plat plus $30 per parcel, or $190.00 PARK DEDICATION COMPREHENSIVE PARK PLAN The City’s Comprehensive Park Plan calls for a neighborhood park to be located within one-half mile of every residence in the city. The proposed Fox Ridge Estates subdivision is located 123 Fox Ridge Estates Final Plat, Planning Case #2022-10 February 33, 2023 Page 12 within the Carver Beach Park neighborhood park service area. The two Carver Beach parks feature the following amenities: swimming beach, playground, fishing pier, trails, basketball court, ball field, picnic shelter, canoe rack and parking area. No additional parkland acquisition or dedication is recommended as a condition of this subdivision request. Full park fees in lieu. TREE PRESERVATION/LANDSCAPING The parcel is a fully wooded site. The existing trees are a mix of native species collectively known as the Big Woods. A variety of trees including sugar maple, red oak, and butternut cover the entire site with many significant trees throughout the parcel. The parcel has been wooded for many decades as evidenced by the number of large, mature trees and historic aerial photos going back to 1937. Retaining as many trees as possible is important to maintaining the character of the neighborhood with the proposed development. The proposed subdivision is low-density residential and allowed by city code to remove 45% of the trees without penalty. The applicant is proposing to remove 57% of the trees on the site to build three homes. Tree preservation on Lots 1-3, Block 2 has been maximized and the robust tree preservation around the wetland on Lots 2 and 3 and will contribute to a continued wooded feel to the neighborhood. This area is proposed for a Conservation Easement and preserves a significant amount of wooded area. Average tree removal on three lots in Block 2 is around 10,000 sq. ft. and shows grading limits at the tightest extent necessary to construct the homes and stormwater management systems. Previous developments in the area have dedicated portions of the existing Big Woods forest type under Conservation Easements. The neighboring Big Woods and Eidsness developments to the 124 Fox Ridge Estates Final Plat, Planning Case #2022-10 February 33, 2023 Page 13 south have Conservation Easements on all of the lots. This development would be consistent with dedicating a Conservation Easement over the wooded areas on Lots 2 and 3, Block 2. Canopy coverage and preservation calculations have been submitted for the Fox Hill Drive development. The applicant has calculated the following coverages: Total upland area (excluding wetlands) 101,998 SF Total canopy area (excluding wetlands) 96,530 SF Baseline canopy coverage 95% Minimum canopy coverage allowed 55% or 56,098 SF Proposed tree preservation 38% or 38,517 SF The developer does not meet the minimum canopy coverage allowed, therefore the difference between the baseline and proposed tree preservation is multiplied by 1.2 to calculate the required replacement plantings. Difference in canopy coverage 17,582 SF Multiplier 1.2 Total replacement 21,098 SF Total number of trees to be planted 19 trees The total number of trees required for the development is 19. The applicant has proposed a total of 19 overstory trees and 8 ornamental trees. The applicant meets diversity requirements, however staff recommends that the Autumn Blaze maple be changed to a sugar maple variety. No bufferyard plantings are required on the site. Existing trees on site include butternut trees which are included on the Minnesota State Endangered Species List. The applicant will need to provide an approved permit from the Minnesota Department of Natural Resources before tree removal may occur. COMPLIANCE WITH ORDINANCE - RSF DISTRICT COMPLIANCE TABLE RSF Setbacks: Front: 30 feet, Side: 10 feet * Riparian lots must have a minimum area of 20,000 square feet Lot Area (sq. ft.) Lot Width Lot Depth Code (RSF)15,000/20,000 90 125 Lot 1, Block 1 28,801*182.17 125.32 Lot 2, Block 1 19,420 169 125 Lot 3, Block 1 23,979 225.98 125 Outlot A 23,886 Right-of-Way 1 Total 107,379 125 Fox Ridge Estates Final Plat, Planning Case #2022-10 February 33, 2023 Page 14 RECOMMENDATION Staff recommends that the City Council adopt the following motion: “The City Council grants approval of Final Plat, Construction Plans, Development Contract and attached Conservation Easement over Outlot A, Fox Ridge Estates, Planning Case #2022-10, for 3 lots and 1 outlot, as shown on plans dated January 13, 2023, subject to the following conditions: ENGINEERING: 1.The applicant and their Engineer shall work with City staff in amending the construction plans, dated January 11, 2023 prepared by Seth Loken, PE with Alliant Engineering, to fully satisfy construction plan comments and concerns. Final construction plans will be subject to review and approval by staff prior to recording of the final plat. 2.The applicant shall enter into a Development Contract and pay all applicable fees and securities prior to recording of final plat. 3.It is the applicant’s responsibility to ensure that permits are received from all other agencies with jurisdiction over the project (i.e. Army Corps of Engineers, DNR, Carver County, RPBC Watershed District, Board of Water and Soil Resources, etc.). WATER RESOURCES: 1.The applicant shall update the Hydrologic and Hydraulic models per City and watershed district comments and submit updated computations and models in their native forms with the final plat and final construction plans. 2.The applicant shall enter into a Stormwater Maintenance Agreement for any proposed privately owned stormwater facilities which shall be recorded concurrently with the final plat in a form approved by the City. PARKS: 1.Full Park fees in lieu of additional parkland dedication and/or trail construction shall be collected as a condition of approval for the four lots. The Park fees will be collected in full at the rate in force upon final plat submission and approval. Based upon the current single- family park fee rate of $5,800 per dwelling, the total Park fees for the two new additional homes would be $11,600. ENVIRONMENTAL RESOURCES: 1.Any changes in grading limits will require new canopy coverage calculations. 2.A walk through of the tree removal limits with the city forester will be required prior to any clearing activity. 3.Tree protection fencing shall be installed prior to any construction activities and remain in place until construction is complete. 4.Any trees removed that are shown on plans dated as preserved shall be replaced at a rate of 2:1 diameter inches. 126 Fox Ridge Estates Final Plat, Planning Case #2022-10 February 33, 2023 Page 15 5.A Conservation Easement shall be recorded over Outlot A in a form approved by the City at the time of recording the final plat. 6.The applicant must provide a copy of an approved Permit to Take an Endangered Species for a Development Project from the Minnesota Department of Natural Resources before any tree removal may occur. 7.No grading or tree removal is allowed within any areas shown as tree preservation on page 13 Tree Canopy Coverage and Restoration Plan, dated 1/11/23. BUILDING DEPARTMENT: 1.A final grading plan and soils report must be submitted to the Inspections Division before building permits will be issued. 2.Building permits must be obtained before beginning any construction. 3.Building plans must provide sufficient information to verify that proposed buildings meet all requirements of the Minnesota State Building Code, additional comments or requirements may be required after plan review. 4.Retaining walls (if present) more than four feet high must be designed by a professional engineer and a building permit must be obtained prior to construction, retaining walls under four feet in height require a zoning permit. ATTACHMENTS 1. Final Plat 2. Conservation Easement 3. Development Contract 4. Construction Plans g:\plan\2022 planning cases\22-10 581 fox hill dr (sub fox ridge) pp and fp\final plat\final plat staff report.doc 127 1 203176v4 (Reserved for recording information) CONSERVATION EASEMENT INSTRUMENT made this _______ day of _____________, 20___, by and between FOX HILL PROPERTIES, LLC, a Minnesota corporation, (“Grantor”), and the CITY OF CHANHASSEN,a Minnesota municipal corporation (“City”). WITNESSETH: The Grantors, in consideration of approval of the (insert dev name) final plat, the requirement of the (insert) Development Contract, and other good and valuable consideration paid by the City, the receipt and sufficiency of which is hereby acknowledged, hereby creates and grants unto the City a permanent conservation easement for the purposes set forth in this instrument, over, under, and across the premises legally described on the attached Exhibit “A” and depicted on the attached Exhibit “B” (the “easement premises”) to preserve the existing high quality woodlands and retain the wooded feel of the neighborhood. 1.Scope of Easement. Grantors for themselves, their heirs, successors and assigns, understand and agree that the following are prohibited in perpetuity on the easement premises: A.Constructing, installing, or maintaining anything made by man, including but not limited to buildings, structures, walkways, clothes line poles, and playground equipment, except as allowed or required under any drainage and utility easements located within the easement premises. B.Cutting, pruning or removing trees or other vegetation, except for (i) noxious weed control or diseased trees as directed by a governmental agency, or (ii) when approved by the City. C.Excavation or filling or material alteration of grade. D.The deposit of waste, yard waste, or debris. E.Activity detrimental to the screening of the neighboring properties. 128 2 203176v4 F.Application of fertilizers, whether natural or chemical. G.Application of chemicals for the destruction or retardation of vegetation. H.The application of herbicides, pesticides, and insecticides, except for noxious weed control by or as directed by a governmental agency. I.Outside storage of any kind. J.Activity detrimental to the preservation of the scenic beauty, vegetation, and wildlife. 2.Exceptions. Grantors for themselves, their heirs, successors and assigns, further grant the City the affirmative right, but not the obligation to do the following on the easement premises: Enter upon the easement premises at any time to enforce compliance with the terms of this instrument. 3.Warranty of Title. The Grantors warrant that they are the owners of the Property as described above and have the right, title and capacity to convey to the City the Conservation Easement herein. 4.Environmental Matters. The Cityshall not be responsible for any costs, expenses, damages, demands, obligations, including penalties and reasonable attorney's fees, or losses resulting from any claims, actions, suits or proceedings based upon a release or threat of release of any hazardous substances, pollutants, or contaminants which may have existed on, or which relate to, the Easement Area or Property prior to the date of this instrument. 5.Release. Grantors hereby remiss, release, acquit and forever discharge, forever, the City and any and all of its officers and employees of and from any and all claims, demands or causes of action of any kind or nature whatsoever which may arise or accrue by virtue of any flowage or trespass with water over and upon any or all of the Easement Premises within the terms of this Agreement. 6.No Public Interest. Nothing contained herein or the dedication in the Plat shall be construed as creating any use rights in the general public or as dedicating for public use any portion of the Easement Premises, except as expressly described in this Agreement. 7.Binding Effect; Enforceability. The terms and conditions of this instrument shall run with the land and be binding on the Grantors, and Grantor’s heirs, successors and assigns. This Conservation Easement is enforceable by the City of Chanhassen acting through its City Council. 8.Amendment. This Agreement may be amended, modified or released by an instrument signed by the City and the Grantors, or their respective heirs, successors and assigns in interest to the Easement Premises. 129 3 203176v4 IN WITNESS WHEREOF,the parties hereto have set their hands effective as of the day and year set forth above. GRANTORS: ____________________________________ XXXX ____________________________________ XXXX STATE OF MINNESOTA ) )ss. COUNTY OF ___________ ) The foregoing instrument was acknowledged before me this ______ day of ____________________, 20___, by (INSERT NAME), a Minnesota corporation, Grantors. ___________________________________ Notary Public 130 4 203176v4 CITY OF CHANHASSEN By ___________________________________ (SEAL)Elise Ryan, Mayor And __________________________________ Laurie Hokkanen, City Manager STATE OF MINNESOTA ) )ss. COUNTY OF CARVER ) The foregoing instrument was acknowledged before me this _______ day of __________________, 20___, by Elise Ryan and by Laurie Hokkanen, respectively the Mayor and City Manager of the City of Chanhassen,a Minnesota municipal corporation, on behalf of the corporation and pursuant to the authority granted by its City Council. ____________________________________ Notary Public DRAFTED BY: CAMPBELL KNUTSON Professional Association Grand Oak Office Center I 860 Blue Gentian Road, Suite 290 Eagan, Minnesota 55121 Telephone: (651) 452-5000 AMP 131 5 203176v4 EXHIBIT "A" TO CONSERVATION EASEMENT Easement Description An easement for conservation purposes over, under, and across Outlot A, FOX RIDGE ESTATES, according to the recorded plat thereof, Carver County, Minnesota. 132 EXHIBIT "B"TO CONSERVATION EASEMENT 6 203176v4 133 7 203176v4 134 225147v2 CITY OF CHANHASSEN CARVER AND HENNEPIN COUNTIES, MINNESOTA FOX RIDGE ESTATES DEVELOPMENT CONTRACT (Developer Installed Improvements) 135 225147v2 TABLE OF CONTENTS SPECIAL PROVISIONS PAGE 1. REQUEST FOR PLAT APPROVAL ............................................................................ SP-1 2. CONDITIONS OF PLAT APPROVAL ........................................................................ SP-1 3. DEVELOPMENT PLANS ............................................................................................ SP-1 4. IMPROVEMENTS ........................................................................................................ SP-2 5. TIME OF PERFORMANCE ......................................................................................... SP-2 6. SECURITY .................................................................................................................... SP-2 7. NOTICE ......................................................................................................................... SP-3 8. OTHER SPECIAL CONDITIONS................................................................................ SP-3 9. GENERAL CONDITIONS ........................................................................................... SP-5 GENERAL CONDITIONS 1. RIGHT TO PROCEED ................................................................................................. GC-1 2. PHASED DEVELOPMENT ........................................................................................ GC-1 3. PRELIMINARY PLAT STATUS ................................................................................ GC-1 4. CHANGES IN OFFICIAL CONTROLS ..................................................................... GC-1 5. IMPROVEMENTS ....................................................................................................... GC-1 6. IRON MONUMENTS .................................................................................................. GC-2 7. LICENSE ...................................................................................................................... GC-2 8. SITE EROSION AND SEDIMENT CONTROL ......................................................... GC-2 8A. EROSION CONTROL DURING CONSTRUCTION OF A DWELLING OR OTHER BUILDING ......................................................................................... GC-2 9. CLEAN UP ................................................................................................................... GC-3 10. ACCEPTANCE AND OWNERSHIP OF IMPROVEMENTS .................................... GC-3 11. CLAIMS ....................................................................................................................... GC-3 12. PARK DEDICATION .................................................................................................. GC-3 13. LANDSCAPING .......................................................................................................... GC-3 14. WARRANTY ............................................................................................................... GC-4 15. LOT PLANS ................................................................................................................. GC-4 16. EXISTING ASSESSMENTS ....................................................................................... GC-4 17. HOOK-UP CHARGES ................................................................................................. GC-4 18. PUBLIC STREET LIGHTING..................................................................................... GC-4 19. SIGNAGE ..................................................................................................................... GC-5 20. HOUSE PADS .............................................................................................................. GC-5 21. RESPONSIBILITY FOR COSTS ................................................................................ GC-5 22. DEVELOPER'S DEFAULT ......................................................................................... GC-6 22. MISCELLANEOUS A. Construction Trailers ........................................................................................ GC-6 B. Postal Service .................................................................................................... GC-7 C. Third Parties ...................................................................................................... GC-7 D. Breach of Contract ............................................................................................ GC-7 E. Severability ....................................................................................................... GC-7 136 225147v2 F. Building Permits ............................................................................................... GC-7 G. Waivers/Amendments ....................................................................................... GC-7 H. Release .............................................................................................................. GC-7 I. Insurance ........................................................................................................... GC-7 J. Remedies ........................................................................................................... GC-8 K. Assignability ..................................................................................................... GC-8 L. Construction Hours ........................................................................................... GC-8 M. Noise Amplification .......................................................................................... GC-8 N. Access ............................................................................................................... GC-8 O. Street Maintenance............................................................................................ GC-8 P. Storm Sewer Maintenance ................................................................................ GC-9 Q. Soil Treatment Systems .................................................................................... GC-9 R. Variances........................................................................................................... GC-9 S. Compliance with Laws, Ordinances, and Regulations ..................................... GC-9 T. Proof of Title ..................................................................................................... GC-9 U. Soil Conditions................................................................................................ GC-10 V. Soil Correction ................................................................................................ GC-10 W. Haul Routes ......................................................................................................... GC-10 X. Development Signs .............................................................................................. GC-10 Y. Construction Plans ............................................................................................... GC-10 Z. As-Built Lot Surveys ........................................................................................... GC-11 137 225147v2 CITY OF CHANHASSEN DEVELOPMENT CONTRACT (Developer Installed Improvements) FOX RIDGE ESTATES SPECIAL PROVISIONS AGREEMENT dated February 13, 2023 by and between the CITY OF CHANHASSEN, a Minnesota municipal corporation (the "City"), and, Denali Custom Homes, Inc., a Minnesota corporation (the "Developer"). 1. Request for Plat Approval. The Developer has asked the City to approve a plat for FOX RIDGE ESTATES (referred to in this Contract as the "plat"). The land is legally described on the attached Exhibit "A". 2. Conditions of Plat Approval. The City hereby approves the plat on condition that the Developer enter into this Contract, furnish the security required by it, and record the plat with the County Recorder or Registrar of Titles within 30 days after the City Council approves the plat. 3. Development Plans. The plat shall be developed in accordance with the following plans. The plans shall not be attached to this Contract. With the exception of Plan A, the plans may be prepared, subject to City approval, after entering the Contract, but before commencement of any work in the plat. If the plans vary from the written terms of this Contract, the written terms shall control. The plans are: Plan A: Final plat approved February 13, 2023, prepared by Alliant Engineering, Inc. Plan B: Grading, Drainage and Erosion Control Plan dated January 11, 2023, prepared by Alliant Engineering, Inc. Plan C: Plans and Specifications for Improvements dated January 11, 2023, prepared by Alliant Engineering, Inc. Plan D: Landscape Plan dated January 11, 2023, prepared by Alliant Engineering, Inc. 138 225147v2 4. Improvements. The Developer shall install and pay for the following: A. Sanitary Sewer System B. Water System C. Storm Water Drainage System D. Streets E. Concrete Curb and Gutter F. Street Lights G. Site Grading/Restoration H. Underground Utilities (e.g. gas, electric, telephone, CATV) I. Setting of Lot and Block Monuments J. Surveying and Staking K. Landscaping L. Erosion Control 5. Time of Performance. The Developer shall install all required improvements by November 15, 2023. The Developer may, however, request an extension of time from the City Engineer. If an extension is granted, it shall be conditioned upon updating the security posted by the Developer to reflect cost increases and the extended completion date. 6. Security. To guarantee compliance with the terms of this Contract, payment of special assessments, payment of the costs of all public improvements and private stormwater improvements, and construction of all public improvements and private stormwater improvements, the Developer shall furnish the City with a letter of credit in the form attached hereto, from a bank acceptable to the City, or cash escrow ("security") for $72,678.82. The amount of the security was calculated as 110% of the following: Erosion Control/Restoration $11,635.80 Watermain $20,200.00 Storm Sewer, Drainage System, including cleaning and maintenance $28,780.40 Sub-total, Construction Costs $60,616.20 Engineering, surveying, and inspection (7% of construction costs) $ 4,243.13 Landscaping (2% of construction costs) $ 1,212.32 Sub-total, Other Costs $ 5,455.46 TOTAL COST OF IMPROVEMENTS $66,071.66 SECURITY AMOUNT (110% of $66,071.66) $72,678.82 This breakdown is for historical reference; it is not a restriction on the use of the security. The security shall be subject to the approval of the City. The City may draw down the security, without notice, for any violation of the terms of this Contract. If the required public improvements are not completed at least thirty (30) days prior to the expiration of the security, the City may also draw it down. If the security is drawn down, the draw shall be used to cure the default. With City approval, the security 139 225147v2 may be reduced from time to time as financial obligations are paid, but in no case shall the security be reduced to a point less than 10% of the original amount until (1) all improvements have been completed, (2) iron monuments for lot corners have been installed, (3) all financial obligations to the City satisfied, (4) the required “record” plans have been received by the City, (5) a warranty security is provided, and (6) the public improvements are accepted by the City. 7. Notice. Required notices to the Developer shall be in writing, and shall be either hand delivered to the Developer, its employees or agents, or mailed to the Developer by registered mail at the following address: David A. Bieker, CEO Denali Custom Homes, Inc. 18352 Minnetonka Boulevard Deephaven, MN 55391 Phone: 612-718-1671 Email: david@danlicustomhomes.com Notices to the City shall be in writing and shall be either hand delivered to the City Manager, or mailed to the City by certified mail in care of the City Manager at the following address: Chanhassen City Hall, 7700 Market Boulevard, P.O. Box 147, Chanhassen, Minnesota 55317, Telephone (952) 227-1100. 8. Other Special Conditions. A. FEES 1. Prior to release of the plat for recording and prior to scheduling a pre-construction meeting, Developer shall submit to the City $35,826.39 for the following City fees: Administration fee (based on estimated construction cost of $69,704.20, 3.0% for less than $500,000.00) $2,091.13 GIS fee: 3 parcels @ $30/parcel + $100 for the plat $190.00 Partial payment of City sewer and water hookup fees: 2 units @ $715/unit (sewer) + $2,652/unit (water) $6,734.00 Park Dedication Fee: 2 dwellings @ $5,800/dwelling $11,600.00 Surface Water Management Fee: 1.657 acres @ $9,180/acre $15,211.26 Total $35,826.39 B. CONDITIONS OF APPROVAL ENGINEERING: 1. The applicant and their Engineer shall work with City staff in amending the construction plans, dated January 11, 2023 prepared by Seth Loken, PE with Alliant Engineering, to 140 225147v2 fully satisfy construction plan comments and concerns. Final construction plans will be subject to review and approval by staff prior to recording of the final plat. 2. The applicant shall enter into a Development Contract and pay all applicable fees and securities prior to recording of final plat. 3. It is the applicant’s responsibility to ensure that permits are received from all other agencies with jurisdiction over the project (i.e. Army Corps of Engineers, DNR, Carver County, RPBC Watershed District, Board of Water and Soil Resources, etc.). WATER RESOURCES: 1. The applicant shall update the Hydrologic and Hydraulic models per City and watershed district comments and submit updated computations and models in their native forms with the final plat and final construction plans. 2. The applicant shall enter into a Stormwater Maintenance Agreement for any proposed privately owned stormwater facilities which shall be recorded concurrently with the final plat in a form approved by the City. PARKS: 1. Full Park fees in lieu of additional parkland dedication and/or trail construction shall be collected as a condition of approval for the four lots. The Park fees will be collected in full at the rate in force upon final plat submission and approval. Based upon the current single- family park fee rate of $5,800 per dwelling, the total Park fees for the two new additional homes would be $11,600. ENVIRONMENTAL RESOURCES: 1. Any changes in grading limits will require new canopy coverage calculations. 2. A walk through of the tree removal limits with the city forester will be required prior to any clearing activity. 3. Tree protection fencing shall be installed prior to any construction activities and remain in place until construction is complete. 4. Any trees removed that are shown on plans dated as preserved shall be replaced at a rate of 2:1 diameter inches. 5. A Conservation Easement shall be recorded over Outlot A in a form approved by the City at the time of recording the final plat. 6. The applicant must provide a copy of an approved Permit to Take an Endangered Species for a Development Project from the Minnesota Department of Natural Resources before any tree removal may occur. 7. No grading or tree removal is allowed within any areas shown as tree preservation on page 13 Tree Canopy Coverage and Restoration Plan, dated 1/11/23. 141 225147v2 BUILDING DEPARTMENT: 1. A final grading plan and soils report must be submitted to the Inspections Division before building permits will be issued. 2. Building permits must be obtained before beginning any construction. 3. Building plans must provide sufficient information to verify that proposed buildings meet all requirements of the Minnesota State Building Code, additional comments or requirements may be required after plan review. 4. Retaining walls (if present) more than four feet high must be designed by a professional engineer and a building permit must be obtained prior to construction, retaining walls under four feet in height require a zoning permit. 9. General Conditions. The general conditions of this Contract are attached as Exhibit "B" and incorporated herein. [Signature pages follow.] 142 225147v2 CITY OF CHANHASSEN BY: Elise Ryan, Mayor (SEAL) AND: Laurie Hokkanen, City Manager STATE OF MINNESOTA) (ss. COUNTY OF CARVER ) The foregoing instrument was acknowledged before me this day of , 2023, by Elise Ryan, Mayor, and by Laurie Hokkanen, City Manager, of the City of Chanhassen, a Minnesota municipal corporation, on behalf of the corporation and pursuant to the authority granted by its City Council. NOTARY PUBLIC 143 225147v2 DENALI CUSTOM HOMES, INC. BY: David A. Bieker, Chief Executive Officer STATE OF MINNESOTA ) ( ss. COUNTY OF ) The foregoing instrument was acknowledged before me this day of , 2023, by David A. Bieker, the Chief Executive Officer of Denali Custom Homes, Inc., a Minnesota corporation, on behalf of the corporation. NOTARY PUBLIC DRAFTED BY: City of Chanhassen 7700 Market Boulevard P.O. Box 147 Chanhassen, MN 55317 (952) 227-1100 144 225147v2 EXHIBIT "A" TO DEVELOPMENT CONTRACT LEGAL DESCRIPTION OF SUBJECT PROPERTY: The Land is described as follows: That part of Government Lot 8 in Section 1, Township 116, Range 23, described as follows: Beginning at a point in the center line of Lakeview Drive, distant 121.029 feet Southeasterly from the point of intersection of the center line of said Lakeview Drive with the center line of Fern Road; thence Southeasterly along the center line of said Lakeview Drive 25 feet; thence North 75 degrees 07 minutes East to the high water mark of Long Lake (also known as Lotus Lake); thence Northerly along the high water mark of said lake 25 feet, more or less, to its intersection with a line bearing North 75 degrees 07 minutes East from the point of beginning; thence South 75 degrees 07 minutes West 866.5 feet, more or less, to point of beginning. Above mentioned Lakeview Drive and Fern Road being shown on the plat of CARVER-BEACH, according to the recorded plat thereof. Subject to an easement granted to the Northern States Power Company July 22nd, 1941. and Beginning at a point in the center line of Lakeview Drive, distant 20.172 feet on a bearing of South 22 degrees 21 minutes 40 seconds East from the point formed by the intersection of said Lakeview Drive and Fern Road as shown on the map entitled CARVER-BEACH, according to the recorded plat thereof; and running from thence along the Southerly line of Fern Road on a bearing of North 75 degrees 07 minutes 00 seconds East, a distance of 880 plus or minus feet to the high water mark of Long Lake; thence in a Southerly direction along the high water mark of said Long Lake 100 plus or minus feet to a point 100 feet at right angles to the first course, when said course is projected; thence on a course of South 75 degrees 07 minutes 00 seconds West a distance of 873 feet plus or minus, to a point in the center line of Lakeview Drive, distant 121.029 feet in a Northwesterly direction from the intersection of Lakeview Drive and Fern Road; thence along the center line of Lakeview Drive on a course of North 22 degrees 21 minutes 40 seconds West a distance of 100.857 feet to the point of beginning. Torrens Property - Certificate of Title No. 42014.0 PID & Acreage: 25-0010200, 2.47 acres 145 225147v2 MORTGAGE HOLDER CONSENT TO DEVELOPMENT CONTRACT OLD NATIONAL BANK, a ______________________________________, which holds a mortgage on the subject property, the development of which is governed by the foregoing Development Contract, which Mortgage is dated July 13, 2021 and was recorded August 4, 2021 as Document No. T220584 with the office of the Carver County Registrar of Titles, Minnesota, agrees that the Development Contract shall remain in full force and effect even if it forecloses on its mortgage. Dated this day of , 2023. OLD NATIONAL BANK By _____________________________ [print name] Its ___________________________ [title] STATE OF ______________ ) ( ss. COUNTY OF ___________ ) The foregoing instrument was acknowledged before me this day of , 2023, by ___________________________________, the ___________________________ of Old National Bank, a ________________________________, on behalf of the entity. NOTARY PUBLIC DRAFTED BY: City of Chanhassen 7700 Market Boulevard P.O. Box 147 Chanhassen, MN 55317 (952) 227-1100 146 225147v2 FEE OWNER CONSENT TO DEVELOPMENT CONTRACT FOX HILL PROPERTIES, LLC, a Minnesota limited liability company, fee owner of all or part of the subject property, the development of which is governed by the foregoing Development Contract, affirms and consents to the provisions thereof and agree to be bound by the provisions as the same may apply to that portion of the subject property owned by it. Dated this day of , 2023. FOX HILL PROPERTIES, LLC, By _____________________________________ Andrew I. Awes, Chief Manager STATE OF MINNESOTA ) ( ss. COUNTY OF ) The foregoing instrument was acknowledged before me this day of , 2023, by Andrew I. Awes, Chief Manager of Fox Hill Properties, LLC, a Minnesota limited liability company, on behalf of the entity. NOTARY PUBLIC DRAFTED BY: City of Chanhassen 7700 Market Boulevard P.O. Box 147 Chanhassen, MN 55317 (952) 227-1100 147 [OFFICIAL BANK LETTERHEAD] 225147v2 IRREVOCABLE LETTER OF CREDIT No. ___________________ Date: _________________ TO: City of Chanhassen 7700 Market Boulevard, Box 147 Chanhassen, Minnesota 55317 Dear Sir or Madam: We hereby issue, for the account of (Name of Developer) and in your favor, our Irrevocable Letter of Credit in the amount of $____________, available to you by your draft drawn on sight on the undersigned bank. The draft must: a) Bear the clause, "Drawn under Letter of Credit No. __________, dated ________________, 2______, of (Name of Bank) "; b) Be signed by the Mayor or City Manager of the City of Chanhassen. c) Be presented for payment at (Address of Bank) , on or before 4:00 p.m. on November 15, 2______. This Letter of Credit shall automatically renew for successive one-year terms unless, at least forty- five (45) days prior to the next annual renewal date (which shall be November 15 of each year), the Bank delivers written notice to the Chanhassen City Manager that it intends to modify the terms of, or cancel, this Letter of Credit. Written notice is effective if sent by certified mail, postage prepaid, and deposited in the U.S. Mail, at least forty-five (45) days prior to the next annual renewal date addressed as follows: Chanhassen City Manager, Chanhassen City Hall, 7700 Market Boulevard, P.O. Box 147, Chanhassen, MN 55317, and is actually received by the City Manager at least thirty (30) days prior to the renewal date. This Letter of Credit sets forth in full our understanding which shall not in any way be modified, amended, amplified, or limited by reference to any document, instrument, or agreement, whether or not referred to herein. This Letter of Credit is not assignable. This is not a Notation Letter of Credit. More than one draw may be made under this Letter of Credit. This Letter of Credit shall be governed by the most recent revision of the Uniform Customs and Practice for Documentary Credits, International Chamber of Commerce Publication No. 600. We hereby agree that a draft drawn under and in compliance with this Letter of Credit shall be duly honored upon presentation. BY: ____________________________________ Its ______________________________ 148 225147v2 CITY OF CHANHASSEN DEVELOPMENT CONTRACT (Developer Installed Improvements) EXHIBIT "B" GENERAL CONDITIONS 1. Right to Proceed. Within the plat or land to be platted, the Developer may not grade or otherwise disturb the earth, remove trees, construct sewer lines, water lines, streets, utilities, public or private improvements, or any buildings until all the following conditions have been satisfied: 1) this agreement has been fully executed by both parties and filed with the City Clerk, 2) the necessary security and fees have been received by the City, 3) the plat has been recorded with the County Recorder's Office or Registrar of Title’s Office of the County where the plat is located, and 4) the City Engineer has issued a letter that the foregoing conditions have been satisfied and then the Developer may proceed. 2. Phased Development. If the plat is a phase of a multiphased preliminary plat, the City may refuse to approve final plats of subsequent phases if the Developer has breached this Contract and the breach has not been remedied. Development of subsequent phases may not proceed until Development Contracts for such phases are approved by the City. Park charges and area charges for sewer and water referred to in this Contract are not being imposed on outlots, if any, in the plat that are designated in an approved preliminary plat for future subdivision into lots and blocks. Such charges will be calculated and imposed when the outlots are final platted into lots and blocks. 3. Preliminary Plat Status. If the plat is a phase of a multi-phased preliminary plat, the preliminary plat approval for all phases not final platted shall lapse and be void unless final platted into lots and blocks, not outlots, within two (2) years after preliminary plat approval. 4. Changes in Official Controls. For two (2) years from the date of this Contract, no amendments to the City's Comprehensive Plan, except an amendment placing the plat in the current urban service area, or official controls shall apply to or affect the use, development density, lot size, lot layout or dedications of the approved plat unless required by state or federal law or agreed to in writing by the City and the Developer. Thereafter, notwithstanding anything in this Contract to the contrary, to the full extent permitted by state law the City may require compliance with any amendments to the City's Comprehensive Plan, official controls, platting or dedication requirements enacted after the date of this Contract. 5. Improvements. The improvements specified in the Special Provisions of this Contract shall be installed in accordance with City standards, ordinances, and plans and specifications which have been prepared and signed by a competent registered professional engineer furnished to the City and approved by the City Engineer. The Developer shall obtain all necessary permits from the Metropolitan Council Environmental Services and other pertinent agencies before proceeding with construction. The City will, at the Developer's expense, have one or more construction inspectors and a soil engineer inspect the work on a full or part-time basis. The Developer shall also provide a 149 225147v2 qualified inspector to perform site inspections on a daily basis. Inspector qualifications shall be submitted in writing to the City Engineer. The Developer shall instruct its project engineer/inspector to respond to questions from the City Inspector(s) and to make periodic site visits to satisfy that the construction is being performed to an acceptable level of quality in accordance with the engineer's design. The Developer or his engineer shall schedule a preconstruction meeting at a mutually agreeable time at the City Council chambers with all parties concerned, including the City staff, to review the program for the construction work. 6. Iron Monuments. Before the security for the completion of utilities is released, all monuments must be correctly placed in the ground in accordance with Minn. Stat. § 505.021. The Developer's surveyor shall submit a written notice to the City certifying that the monuments have been installed. 7. License. The Developer hereby grants the City, its agents, employees, officers and contractors a license to enter the plat to perform all work and inspections deemed appropriate by the City in conjunction with plat development. 8. Site Erosion and Sediment Control. Before the site is rough graded, and before any utility construction is commenced or building permits are issued, the erosion and sediment control plan, Plan B, shall be implemented, inspected, and approved by the City. The City may impose additional erosion and sediment control requirements if they would be beneficial. All areas disturbed by the excavation and backfilling operations shall be reseeded forthwith after the completion of the work in that area. Except as otherwise provided in the erosion and sediment control plan, seed shall be certified seed to provide a temporary ground cover as rapidly as possible. All seeded areas shall be fertilized, mulched, and disc anchored as necessary for seed retention. The parties recognize that time is of the essence in controlling erosion and sediment transport. If the Developer does not comply with the erosion and sediment control plan and schedule of supplementary instructions received from the City, the City may take such action as it deems appropriate to control erosion and sediment transport at the Developer's expense. The City will endeavor to notify the Developer in advance of any proposed action, but failure of the City to do so will not affect the Developer's and City's rights or obligations hereunder. No development will be allowed and no building permits will be issued unless the plat is in full compliance with the erosion and sediment control requirements. Erosion and sediment control needs to be maintained until vegetative cover has been restored, even if construction has been completed and accepted. After the site has been stabilized to where, in the opinion of the City, there is no longer a need for erosion and sediment control, the City will authorize the removal of the erosion and sediment control, i.e. hay bales and silt fence. The Developer shall remove and dispose of the erosion and sediment control measures. 8a. Erosion Control During Construction of a Dwelling or Other Building. Before a building permit is issued for construction of a dwelling or other building on a lot, a $500.00 cash escrow or letter of credit per lot shall also be furnished to the City to guarantee compliance with City Code § 7-22. 9. Clean up. The Developer shall maintain a neat and orderly work site and shall daily clean, on and off site, dirt and debris, including blowables, from streets and the surrounding area that has resulted from construction work by the Developer, its agents or assigns. 150 225147v2 10. Acceptance and Ownership of Improvements. Except for streets and utilities identified as private under the terms of this Agreement, all other improvements lying within public easements shall become City property upon completion and acceptance by the City of the work and construction required by this contract. After completion of the improvements, a representative of the contractor, and a representative of the Developer's engineer will make a final inspection of the work with the City Engineer. Before the City accepts the improvements, the City Engineer shall be satisfied that all work is satisfactorily completed in accordance with the approved plans and specifications and the Developer and his engineer shall submit a written statement to the City Engineer certifying that the project has been completed in accordance with the approved plans and specifications. The appropriate contractor waivers shall also be provided. Final acceptance of the public improvements shall be by City Council resolution. 11. Claims. In the event that the City receives claims from laborers, materialmen, or others that work required by this Contract has been performed, the sums due them have not been paid, and the laborers, materialmen, or others are seeking payment out of the financial guarantees posted with the City, and if the claims are not resolved at least ninety (90) days before the security required by this Contract will expire, the Developer hereby authorizes the City to commence an Interpleader action pursuant to Rule 22, Minnesota Rules of Civil Procedure for the District Courts, to draw upon the letters of credit in an amount up to 125% of the claim(s) and deposit the funds in compliance with the Rule, and upon such deposit, the Developer shall release, discharge, and dismiss the City from any further proceedings as it pertains to the letters of credit deposited with the District Court, except that the Court shall retain jurisdiction to determine attorneys' fees. 12. Park Dedication. The Developer shall pay full park dedication fees in conjunction with the installation of the plat improvements. The park dedication fees shall be the current amount in force at the time of final platting pursuant to Chanhassen City Ordinances and City Council resolutions. 13. Landscaping. Landscaping shall be installed in accordance with Plan D. Unless otherwise approved by the City, trees not listed in the City’s approved tree list are prohibited. The minimum tree size shall be two and one-half (2½) inches caliper, either bare root in season, or balled and burlapped. The trees may not be planted in the boulevard (area between curb and property line). In addition to any sod required as a part of the erosion and sediment control plan, Plan B, the Developer or lot purchaser shall sod the boulevard area and all drainage ways on each lot utilizing a minimum of six (6) inches of topsoil as a base. Seed or sod shall also be placed on all disturbed areas of the lot. If these improvements are not in place at the time a certificate of occupancy is requested, a financial guarantee of $750.00 in the form of cash or letter of credit shall be provided to the City. These conditions must then be complied with within two (2) months after the certificate of occupancy issued, except that if the certificate of occupancy is issued between October 1 through May 1 these conditions must be complied with by the following July 1st. Upon expiration of the time period, inspections will be conducted by City staff to verify satisfactory completion of all conditions. City staff will conduct inspections of incomplete items with a $50.00 inspection fee deducted from the escrow fund for each inspection. After satisfactory inspection, the financial guarantee shall be returned. If the requirements are not satisfied, the City may use the security to satisfy the requirements. The City may also use the escrowed funds for maintenance of erosion control pursuant 151 225147v2 to City Code Section 7-22 or to satisfy any other requirements of this Contract or of City ordinances. These requirements supplement, but do not replace, specific landscaping conditions that may have been required by the City Council for project approval. 14. Warranty. The Developer warrants all improvements required to be constructed by it pursuant to this Contract against poor material and faulty workmanship. The Developer shall submit either 1) a warranty/maintenance bond for 100% of the cost of the improvement, or 2) a letter of credit for twenty-five percent (25%) of the amount of the original cost of the improvements. A. The required warranty period for materials and workmanship for the utility contractor installing public sewer and water mains shall be two (2) years from the date of final written City acceptance of the work. B. The required warranty period for all work relating to street construction, including concrete curb and gutter, sidewalks and trails, materials and equipment shall be subject to two (2) years from the date of final written acceptance. C. The required warranty period for sod, trees, and landscaping is one full growing season following acceptance by the City. 15. Lot Plans. Prior to the issuance of building permits, an acceptable Grading, Drainage, Erosion Control including silt fences, and Tree Removal Plan shall be submitted for each lot for review and approval by the City Engineer. Each plan shall assure that drainage is maintained away from buildings and that tree removal is consistent with development plans and City Ordinance. 16. Existing Assessments. Any existing assessments against the plat will be re-spread against the plat in accordance with City standards. 17. Hook-up Charges. . At the time of final plat approval the Developer shall pay 30% of the City Sewer Hook-up charge and 30% of the City Water hook up charge for each lot in the plat in the amount specified in Special Provision, Paragraph 8, of this Development Contract. The balance of the hook-up charges is collected at the time building permits are issued are based on 70% of the rates then in effect, unless a written request is made to assess the costs over a four year term at the rates in effect at time of application. 18. Public Street Lighting. The Developer shall have installed and pay for public street lights in accordance with City standards. The public street lights shall be accepted for City ownership and maintenance at the same time that the public street is accepted for ownership and maintenance. A plan shall be submitted for the City Engineer's approval prior to the installation. Before the City signs the final plat, the Developer shall pay the City a fee of $300.00 for each street light installed in the plat. The fee shall be used by the City for furnishing electricity and maintaining each public street light for twenty (20) months. 152 225147v2 19. Signage. All street signs, traffic signs, and wetland monumentation required by the City as a part of the plat shall be furnished and installed by the City at the sole expense of the Developer. 20. House Pads. The Developer shall promptly furnish the City "as-built" plans indicating the amount, type and limits of fill on any house pad location. 21. Responsibility for Costs. A. The Developer shall pay an administrative fee in conjunction with the installation of the plat improvements. This fee is to cover the cost of City Staff time and overhead for items such as review of construction documents, preparation of the Development Contract, monitoring construction progress, processing pay requests, processing security reductions, and final acceptance of improvements. This fee does not cover the City's cost for construction inspections. The fee shall be calculated as follows: i) if the cost of the construction of public improvements is less than $500,000, three percent (3%) of construction costs; ii) if the cost of the construction of public improvements is between $500,000 and $1,000,000, three percent (3%) of construction costs for the first $500,000 and two percent (2%) of construction costs over $500,000; iii) if the cost of the construction of public improvements is over $1,000,000, two and one-half percent (2½%) of construction costs for the first $1,000,000 and one and one-half percent (1½%) of construction costs over $1,000,000. Before the City signs the final plat, the Developer shall deposit with the City a fee based upon construction estimates. After construction is completed, the final fee shall be determined based upon actual construction costs. The cost of public improvements is defined in paragraph 6 of the Special Provisions. B. In addition to the administrative fee, the Developer shall reimburse the City for all costs incurred by the City for providing construction and erosion and sediment control inspections. This cost will be periodically billed directly to the Developer based on the actual progress of the construction. Payment shall be due in accordance with Article 21E of this Agreement. C. The Developer shall hold the City and its officers and employees harmless from claims made by itself and third parties for damages sustained or costs incurred resulting from plat approval and development. The Developer shall indemnify the City and its officers and employees for all costs, damages, or expenses which the City may pay or incur in consequence of such claims, including attorneys' fees. D. In addition to the administrative fee, the Developer shall reimburse the City for costs incurred in the enforcement of this Contract, including engineering and attorneys' fees. 153 225147v2 E. The Developer shall pay in full all bills submitted to it by the City for obligations incurred under this Contract within thirty (30) days after receipt. If the bills are not paid on time, the City may halt all plat development work and construction, including but not limited to the issuance of building permits for lots which the Developer may or may not have sold, until the bills are paid in full. Bills not paid within thirty (30) days shall accrue interest at the rate of 8% per year. F. In addition to the charges and special assessments referred to herein, other charges and special assessments may be imposed such as, but not limited to, sewer availability charges ("SAC"), City water connection charges, City sewer connection charges, and building permit fees. G. Private Utilities. The Developer shall have installed and pay for the installation of electrical, natural gas, telephone, and cable television service in conjunction with the overall development improvements. These services shall be provided in accordance with each of the respective franchise agreements held with the City. H. The developer shall pay the City a fee established by City Council resolution, to reimburse the City for the cost of updating the City’s base maps, GIS data base files, and converting the plat and record drawings into an electronic format. Record drawings must be submitted within four months of final acceptance of public utilities. All digital information submitted to the City shall be in the Carver County Coordinate system. 22. Developer's Default. In the event of default by the Developer as to any of the work to be performed by it hereunder, the City may, at its option, perform the work and the Developer shall promptly reimburse the City for any expense incurred by the City, provided the Developer is first given notice of the work in default, not less than four (4) days in advance. This Contract is a license for the City to act, and it shall not be necessary for the City to seek a Court order for permission to enter the land. When the City does any such work, the City may, in addition to its other remedies, assess the cost in whole or in part. 23. Miscellaneous. A. Construction Trailers. Placement of on-site construction trailers and temporary job site offices shall be approved by the City Engineer as a part of the pre-construction meeting for installation of public improvements. Trailers shall be removed from the subject property within thirty (30) days following the acceptance of the public improvements unless otherwise approved by the City Engineer. B. Postal Service. The Developer shall provide for the maintenance of postal service in accordance with the local Postmaster's request. C. Third Parties. Third parties shall have no recourse against the City under this Contract. The City is not a guarantor of the Developer’s obligations under this Contract. The City shall have no responsibility or liability to lot purchasers or others for the City’s failure to enforce this Contract or for allowing deviations from it. D. Breach of Contract. Breach of the terms of this Contract by the Developer shall be grounds for denial of building permits, including lots sold to third parties. The City may also issue 154 225147v2 a stop work order halting all plat development until the breach has been cured and the City has received satisfactory assurance that the breach will not reoccur. E. Severability. If any portion, section, subsection, sentence, clause, paragraph, or phrase of this Contract is for any reason held invalid, such decision shall not affect the validity of the remaining portion of this Contract. F. Building Permits. Building permits will not be issued in the plat until sanitary sewer, watermain, and storm sewer have been installed, tested, and accepted by the City, and the streets needed for access have been paved with a bituminous surface and the site graded and revegetated in accordance with Plan B of the development plans. G. Waivers/Amendments. The action or inaction of the City shall not constitute a waiver or amendment to the provisions of this Contract. To be binding, amendments or waivers shall be in writing, signed by the parties and approved by written resolution of the City Council. The City's failure to promptly take legal action to enforce this Contract shall not be a waiver or release. H. Release. This Contract shall run with the land and may be recorded against the title to the property . After the Developer has completed the work required of it under this Contract, at the Developer's request the City Manager will issue a Certificate of Compliance. Prior to the issuance of such a certificate, individual lot owners may make as written request for a certificate applicable to an individual lot allowing a minimum of ten (10) days for processing. I. Insurance. Developer shall take out and maintain until six (6) months after the City has accepted the public improvements, public liability and property damage insurance covering personal injury, including death, and claims for property damage which may arise out of Developer's work or the work of its subcontractors or by one directly or indirectly employed by any of them. Limits for bodily injury and death shall be not less than $500,000 for one person and $1,000,000 for each occurrence; limits for property damage shall be not less than $500,000 for each occurrence; or a combination single limit policy of $1,000,000 or more. The City shall be named as an additional insured on the policy, and the Developer shall file with the City a certificate evidencing coverage prior to the City signing the plat. The certificate shall provide that the City must be given ten (10) days advance written notice of the cancellation of the insurance. The certificate may not contain any disclaimer for failure to give the required notice. J. Remedies. Each right, power or remedy herein conferred upon the City is cumulative and in addition to every other right, power or remedy, expressed or implied, now or hereafter arising, available to City, at law or in equity, or under any other agreement, and each and every right, power and remedy herein set forth or otherwise so existing may be exercised from time to time as often and in such order as may be deemed expedient by the City and shall not be a waiver of the right to exercise at any time thereafter any other right, power or remedy. K. Assignability. The Developer may not assign this Contract without the written permission of the City Council. The Developer's obligation hereunder shall continue in full force and effect even if the Developer sells one or more lots, the entire plat, or any part of it. 155 225147v2 L. Construction Hours. Construction hours, including pick-up and deliveries of material and equipment and the operation of any internal combustion engine, may only occur from 7:00 a.m. to 6:00 p.m. on weekdays, from 9:00 a.m. to 5:00 p.m. on Saturdays with no such activity allowed on Sundays or on legal holidays. Contractors must require their subcontractors, agents and supplies to comply with these requirements and the Contractor is responsible for their failure to do so. Under emergency conditions, this limitation may be waived by the written consent of the City Engineer. If construction occurs outside of the permitted construction hours, the Contractor shall pay the following administrative penalties: First violation $ 500.00 Second violation $ 1,000.00 Third & subsequent violations All site development and construction must cease for seven (7) calendar days M. Noise Amplification. The use of outdoor loudspeakers, bullhorns, intercoms, and similar devices is prohibited in conjunction with the construction of homes, buildings, and the improvements required under this contract. The administrative penalty for violation of construction hours shall also apply to violation of the provisions in this paragraph. N. Access. All access to the plat prior to the City accepting the roadway improvements shall be the responsibility of the Developer regardless if the City has issued building permits or occupancy permits for lots within the plat. O. Street Maintenance. The Developer shall be responsible for all street maintenance until streets within the plat are accepted by the City. Warning signs shall be placed by the Developer when hazards develop in streets to prevent the public from traveling on same and directing attention to detours. If streets become impassable, the City may order that such streets shall be barricaded and closed. The Developer shall maintain a smooth roadway surface and provide proper surface drainage. The Developer may request, in writing, that the City plow snow on the streets prior to final acceptance of the streets. The City shall have complete discretion to approve or reject the request. The City shall not be responsible for reshaping or damage to the street base or utilities because of snow plowing operations. The provision of City snow plowing service does not constitute final acceptance of the streets by the City. P. Storm Sewer Maintenance. The Developer shall be responsible for cleaning and maintenance of the storm sewer system (including ponds, pipes, catch basins, culverts and swales) within the plat and the adjacent off-site storm sewer system that receives storm water from the plat. The Developer shall follow all instructions it receives from the City concerning the cleaning and maintenance of the storm sewer system. The Developer's obligations under this paragraph shall end two (2) years after the public street and storm drainage improvements in the plat have been accepted by the City. Twenty percent (20%) of the storm sewer costs, shown under section 6 of the special provisions of this contract, will be held by the City for the duration of the 2-year maintenance period. Q. Soil Treatment Systems. If soil treatment systems are required, the Developer shall clearly identify in the field and protect from alteration, unless suitable alternative sites are first provided, the two soil treatment sites identified during the platting process for each lot. This shall be 156 225147v2 done prior to the issuance of a Grading Permit. Any violation/disturbance of these sites shall render them as unacceptable and replacement sites will need to be located for each violated site in order to obtain a building permit. R. Variances. By approving the plat, the Developer represents that all lots in the plat are buildable without the need for variances from the City's ordinances. S. Compliance with Laws, Ordinances, and Regulations. In the development of the plat the Developer shall comply with all laws, ordinances, and regulations of the following authorities: 1. City of Chanhassen; 2. State of Minnesota, its agencies, departments and commissions; 3. United States Army Corps of Engineers; 4. Watershed District(s); 5. Metropolitan Government, its agencies, departments and commissions. T. Proof of Title. Upon request, the Developer shall furnish the City with evidence satisfactory to the City that it has the authority of the fee owners and contract for deed purchasers to enter into this Development Contract. U. Soil Conditions. The Developer acknowledges that the City makes no representations or warranties as to the condition of the soils on the property or its fitness for construction of the improvements or any other purpose for which the Developer may make use of such property. The Developer further agrees that it will indemnify, defend, and hold harmless the City, its governing body members, officers, and employees from any claims or actions arising out of the presence, if any, of hazardous wastes or pollutants on the property, unless hazardous wastes or pollutants were caused to be there by the City. V. Soil Correction. The Developer shall be responsible for soil correction work on the property. The City makes no representation to the Developer concerning the nature of suitability of soils nor the cost of correcting any unsuitable soil conditions which may exist. On lots which have no fill material a soils report from a qualified soils engineer is not required unless the City's building inspection department determines from observation that there may be a soils problem. On lots with fill material that have been mass graded as part of a multi-lot grading project, a satisfactory soils report from a qualified soils engineer shall be provided before the City issues a building permit for the lot. On lots with fill material that have been custom graded, a satisfactory soils report from a qualified soils engineer shall be provided before the City inspects the foundation for a building on the lot. W. Haul Routes. The Developer, the Developer’s contractors or subcontractors must submit proposed haul routes for the import or export of soil, construction material, construction equipment or construction debris, or any other purpose. All haul routes must be approved by the City Engineer X. Development Signs. The Developer shall post a six foot by eight foot development sign in accordance with City Detail Plate No. 5313 at each entrance to the project. The sign shall be in place before construction of the required improvements commences and shall 157 225147v2 be removed when the required improvements are completed, except for the final lift of asphalt on streets. The signs shall contain the following information: project name, name of developer, developer’s telephone number and designated contact person, allowed construction hours. Y. Construction Plans. Upon final plat approval, the developer shall provide the City with two complete sets of full-size construction plans and four sets of 11”x17” reduced construction plan sets and three sets of specifications. Within four months after the completion of the utility improvements and base course pavement and before the security is released, the Developer shall supply the City with the following: (1) a complete set of reproducible Mylar as-built plans, (2) two complete full-size sets of blue line/paper as-built plans, (3) two complete sets of utility tie sheets, (4) location of buried fabric used for soil stabilization, (5) location stationing and swing ties of all utility stubs including draintile cleanouts, (6) bench mark network, (7) digital file of as-built plans in both .dxf & .tif format (the .dxf file must be tied to the current county coordinate system), (8) digital file of utility tie sheets in either .doc or .tif format, and (9) a breakdown of lineal footage of all utilities installed, including the per lineal foot bid price. The Developer is required to submit the final plat in electronic format. Z. As-Built Lot Surveys. An as-built lot survey will be required on all lots prior to the Certificate of Occupancy being issued. The as-built lot survey must be prepared, signed, and dated by a Registered Land Surveyor. Sod and the bituminous driveways must be installed before the as-built survey is completed. If the weather conditions at the time of the as-built are not conducive to paving the driveway and/or installing sod, a temporary Certificate of Occupancy may be issued and the as-built escrow withheld until all work is complete. Rev. 9/30/2021 158 LOT 1LOT 2LOT 3BLOCK 1OUTLOT AFOX HILL DRIVECARVER BEACH ROAD(A.K.A. FERN ROAD)(A.K.A. LAKEVIEW DRIVE)LOTUS TRAILPROJECT LOCATIONFOX RIDGE ESTATES FINAL PLAT COVER SHEET 733 Marquette AvenueMinneapolis, MN 55402612.758.3080www.alliant-inc.comSuite 700FOR REVIEW ONLYPRELIMINARYNOT FOR CONSTRUCTION1SHEET INDEX NO.1VICINITY MAPNOT TO SCALEFOX RIDGE ESTATESCHANHASSEN, MINNESOTASUITE 700ALLIANT ENGINEERING, INC.733 MARQUETTE AVENUEMINNEAPOLIS, MN 55402PH: 612-758-3080CONSULTANTFX: 612-758-3099SURVEYORENGINEERDAN EKREMLICENSE NO. 57366SETH LOKENLICENSE NO. 58862LANDSCAPE ARCHITECTEM: sloken@alliant-inc.comEM: dekrem@alliant-inc.comMARK KRONBECKLICENSE NO. 26222EM: mkronbeck@alliant-inc.comBUILDERCOVER SHEET2EXISTING CONDITIONS SURVEY5LOT TABULATION6SITE PLAN7GRADING AND DRAINAGE PLAN3-4DETAILS8EROSION AND SEDIMENT CONTROL PLAN9UTILITY PLAN AND PROFILES10-11TREE CANOPY COVERAGE AND RESTORATION PLAN13-14WETLAND MANAGEMENT PLANSTORM SEWER PLAN AND PROFILES15DENALI CUSTOM HOMES18352 MINNETONKA BOULEVARDWAYZATA, MN 55391CONTACT: DAVID BIEKERPH: 612-718-1671EM: david@denalicustomhomes.comOWNERANDY AWESEM: andy@committeefilms.comLANDSCAPE PLAN1612STORM INFILTRATION SYSTEM DETAILS159 FOX HILL DRIVECARVER BEACH ROADS20°28'26"E 125.32N22°37'50"W 125.86N74°50'50"E 825.86N74°50'50"E 821.10(A.K.A. FERN ROAD)(A.K.A. LAKEVIEW DRIVE)32+/-41+/-LOTUSTRAILLOTUS LAKECHANHASSEN, MINNESOTA581 FOX HILL DRIVELOTUS LAKE PROPERTY733 Marquette Ave, Ste 700Minneapolis, MN 55402612.758.3080 612.758.3099www.alliant-inc.comMAINFAX7/16/2021DEMDTDDJOB NO.FIELD DATE ISSUEDCHECKED BYSCALEDRAWN BY1"=30'21-0122SignatureDate License NumberPrint NameDANIEL EKREMI hereby certify that this survey, plan, or reportwas prepared by me or under my directsupervision and that I am a duly Licensed LandSurveyor under the laws of the state ofMinnesota.LEGAL DESCRIPTIONThe Land is described as follows:That part of Government Lot 8 in Section 1, Township 116, Range 23, described as follows: Beginning at a point in thecenter line of Lakeview Drive, distant 121.029 feet Southeasterly from the point of intersection of the center line of saidLakeview Drive with the center line of Fern Road; thence Southeasterly along the center line of said Lakeview Drive 25feet; thence North 75 degrees 07 minutes East to the high water mark of Long Lake (also known as Lotus Lake);thence Northerly along the high water mark of said lake 25 feet, more or less, to its intersection with a line bearingNorth 75 degrees 07 minutes East from the point of beginning; thence South 75 degrees 07 minutes West 866.5 feet,more or less, to point of beginning. Above mentioned Lakeview Drive and Fern Road being shown on the plat ofCARVER-BEACH, according to the recorded plat thereof. Subject to an easement granted to the Northern StatesPower Company July 22nd, 1941.andBeginning at a point in the center line of Lakeview Drive, distant 20.172 feet on a bearing of South 22 degrees 21minutes 40 seconds East from the point formed by the intersection of said Lakeview Drive and Fern Road as shownon the map entitled CARVER-BEACH, according to the recorded plat thereof; and running from thence along theSoutherly line of Fern Road on a bearing of North 75 degrees 07 minutes 00 seconds East, a distance of 880 plus orminus feet to the high water mark of Long Lake; thence in a Southerly direction along the high water mark of saidLong Lake 100 plus or minus feet to a point 100 feet at right angles to the first course, when said course is projected;thence on a course of South 75 degrees 07 minutes 00 seconds West a distance of 873 feet plus or minus, to a pointin the center line of Lakeview Drive, distant 121.029 feet in a Northwesterly direction from the intersection of LakeviewDrive and Fern Road; thence along the center line of Lakeview Drive on a course of North 22 degrees 21 minutes 40seconds West a distance of 100.857 feet to the point of beginning.Torrens Property - Certificate of Title No. 34797.0LEGEND1. This survey and the property description shown herein are based upon information found in the owner's policy oftitle insurance prepared by Stewart Title Guaranty Company, File no. 21-2881, dated June 9, 2021.2. The locations of underground public utilities are depicted based on information from Gopher State One Call systemfor a “Boundary Survey locate”. The information was provided by a combination of available maps, proposed plans orcity records and field locations which may not be exact. Verify all utilities critical to construction or design.3. The orientation of this bearing system is based on the Carver County Coordinate System NAD83 (86 adj.).4. All distances are in feet.5. The area of the above described property is:Gross: 107,291 +/- square feet or 2.463 +/- acresNet(Less ROW): 104,774 +/- square feet or 2.405 +/- acres6. Bench Mark 1: Top nut of hydrant located on the southwest corner of Fox Hill Drive and Lotus Trail has an elevationof 929.52 feet NAVD88.7. Bench Mark 2: Top nut of hydrant located at the southeast quadrant of Fox Hill Drive and Carver Beach Road hasan elevation of 940.92 feet NAVD88.8. Elevations at curb line are at top of curb.9. The document for the Northern States Power Company easement references in the legal description was notprovided.10. The Ordinary High Water Level for Lotus Lake is 896.3 feet, NGVD29, or 896.35 feet, NAVD 88, and shown hereonfor reference.NOTESBOUNDARY AND TOPOGRAPHIC SURVEYJULY 16, 202157366160 FOX RIDGE ESTATES FINAL PLAT DETAILS 733 Marquette AvenueMinneapolis, MN 55402612.758.3080www.alliant-inc.comSuite 700FOR REVIEW ONLYPRELIMINARYNOT FOR CONSTRUCTION3161 FOX RIDGE ESTATES FINAL PLAT DETAILS 733 Marquette AvenueMinneapolis, MN 55402612.758.3080www.alliant-inc.comSuite 700FOR REVIEW ONLYPRELIMINARYNOT FOR CONSTRUCTION4162 LOT 1LOT 2LOT 3BLOCK 1OUTLOT AFOX HILL DRIVECARVER BEACH ROADS20°28'26"E 125.32N22°37'50"W 125.86N74°50'50"E 825.86N74°50'50"E 821.10(A.K.A. FERN ROAD)(A.K.A. LAKEVIEW DRIVE)32+/-41+/-LOTUS TRAILLOTUS LAKERPBCWD HWL 897.46N15°53'53"W 11.44'N15°13'15"W 32.96'N15°29'42"W 33.77'N19°32'37"W 30.45'N15°14'45"W 16.26'PARCEL AREA TABLEPARCELB1-L1B1-L2B1-L3OUTLOT AROWTOTALAREA SF28,80119,42023,97823,88611,294107,379AREA AC0.6610.4460.5500.5480.2592.465D&U EASEMENTSAREA SF4,6293,6256,74823,886*038,888*ALL OF OUTLOT A IS A CONSERVATION EASEMENTFOX RIDGE ESTATES FINAL PLAT LOT TABULATION 733 Marquette AvenueMinneapolis, MN 55402612.758.3080www.alliant-inc.comSuite 700FOR REVIEW ONLYPRELIMINARYNOT FOR CONSTRUCTIONLEGEND:DRAINAGE AND UTILITY EASEMENTS ARE SHOWN THUS:Being 5 feet in width and adjoining lot lines and 10 feet inwidth and adjoining right of way lines, unless otherwiseindicated on the plat.NOT TO SCALE5163 FOX HILL DRIVECARVER BEACH ROAD(A.K.A. FERN ROAD)(A.K.A. LAKEVIEW DRIVE)LOTUS TRAILLOTUS LAKERPBCWD HWL 897.46LOT 1LOT 2LOT 3BLOCK 1OUTLOT AFOX RIDGE ESTATES FINAL PLAT SITE PLAN 733 Marquette AvenueMinneapolis, MN 55402612.758.3080www.alliant-inc.comSuite 7006FOR REVIEW ONLYPRELIMINARYNOT FOR CONSTRUCTIONLEGEND: SITE PLAN DATA TYPICAL LOT DETAIL164 FOX HILL DRIVECARVER BEACH ROAD(A.K.A. FERN ROAD)(A.K.A. LAKEVIEW DRIVE)LOTUS TRAILLOTUS LAKERPBCWD HWL 897.46LOT 1LOT 2LOT 3BLOCK 1OUTLOT AWSWOSWOEX HWL 949.36HWL 949.36FOX RIDGE ESTATES FINAL PLAT GRADING AND DRAINAGE PLAN 733 Marquette AvenueMinneapolis, MN 55402612.758.3080www.alliant-inc.comSuite 7007FOR REVIEW ONLYPRELIMINARYNOT FOR CONSTRUCTIONGRADING NOTES: GRADING LEGEND: RETAINING WALL NOTES: 165 FOX HILL DRIVECARVER BEACH ROAD(A.K.A. FERN ROAD)(A.K.A. LAKEVIEW DRIVE)LOTUS TRAILLOTUS LAKERPBCWD HWL 897.46LOT 1LOT 2LOT 3BLOCK 1OUTLOT AWSWOSWOEX HWL 949.36HWL 949.36FOX RIDGE ESTATES FINAL PLAT EROSION AND SEDIMENT CONTROL PLAN 733 Marquette AvenueMinneapolis, MN 55402612.758.3080www.alliant-inc.comSuite 7008FOR REVIEW ONLYPRELIMINARYNOT FOR CONSTRUCTIONVICINITY MAPNOT TO SCALEINSPECTOR:EROSION CONTROL PARTIESLEGEND: DNDDESIGNER:INSTALLER:RESPONSIBLE PARTYNOTE TO CONTRACTOR:CONSTRUCTION SEQUENCING:DURING CONSTRUCTION:IMPAIRED WATER REQUIREMENTEROSION CONTROL NOTES: ACTIVE SWPPP LEGENDSWPPP BMP QUANTITIES(PER PLAN):RPBCWD RULE C STANDARD NOTES: 166 FOX HILL DRIVECARVER BEACH ROAD(A.K.A. FERN ROAD)(A.K.A. LAKEVIEW DRIVE)LOTUS TRAILLOTUS LAKERPBCWD HWL 897.46LOT 1LOT 2LOT 3BLOCK 1OUTLOT AFOX RIDGE ESTATES FINAL PLAT UTILITY PLAN AND PROFILES 733 Marquette AvenueMinneapolis, MN 55402612.758.3080www.alliant-inc.comSuite 7009FOR REVIEW ONLYPRELIMINARYNOT FOR CONSTRUCTIONLEGEND: UTILITY NOTES: 167 FOX HILL DRIVECARVER BEACH ROAD(A.K.A. FERN ROAD)(A.K.A. LAKEVIEW DRIVE)LOTUS TRAILLOTUS LAKERPBCWD HWL 897.46LOT 1LOT 2LOT 3BLOCK 1OUTLOT AFOX RIDGE ESTATES FINAL PLAT STORM SEWER PLAN AND PROFILES 733 Marquette AvenueMinneapolis, MN 55402612.758.3080www.alliant-inc.comSuite 70010FOR REVIEW ONLYPRELIMINARYNOT FOR CONSTRUCTIONLEGEND: UTILITY NOTES: OCS 505-FES 500168 FOX HILL DRIVECARVER BEACH ROAD(A.K.A. FERN ROAD)(A.K.A. LAKEVIEW DRIVE)LOTUS TRAILLOTUS LAKERPBCWD HWL 897.46LOT 1LOT 2LOT 3BLOCK 1OUTLOT AOCS 300 PROFILEFOX RIDGE ESTATES FINAL PLAT STORM SEWER PLAN AND PROFILES 733 Marquette AvenueMinneapolis, MN 55402612.758.3080www.alliant-inc.comSuite 70011FOR REVIEW ONLYPRELIMINARYNOT FOR CONSTRUCTIONLEGEND: OCS 301 - FES 300OCS 301NOT TO SCALE169 FOX HILL DRIVECARVER BEACH ROAD(A.K.A. FERN ROAD)(A.K.A. LAKEVIEW DRIVE)LOTUS TRAILLOTUS LAKERPBCWD HWL 897.46LOT 1LOT 2LOT 3BLOCK 1OUTLOT AWSWOSWOEX HWL 949.36HWL 949.36FOX RIDGE ESTATES FINAL PLAT STORM INFILTRATION SYSTEM DETAILS 733 Marquette AvenueMinneapolis, MN 55402612.758.3080www.alliant-inc.comSuite 70012FOR REVIEW ONLYPRELIMINARYNOT FOR CONSTRUCTIONLEGEND: OCS 504NOT TO SCALEOCS 502NOT TO SCALE170 FOX HILL DRIVECARVER BEACH ROAD(A.K.A. FERN ROAD)(A.K.A. LAKEVIEW DRIVE)LOTUS TRAILLOTUS LAKERPBCWD HWL 897.46LOT 1LOT 2LOT 3BLOCK 1OUTLOT AFOX HILL DRIVECARVER BEACH ROAD(A.K.A. FERN ROAD)(A.K.A. LAKEVIEW DRIVE)LOTUS TRAILLOTUS LAKERPBCWD HWL 897.46EX HWL 949.36HWL 949.36FOX RIDGE ESTATES FINAL PLAT TREE CANOPY COVERAGE AND RESTORATION PLAN 733 Marquette AvenueMinneapolis, MN 55402612.758.3080www.alliant-inc.comSuite 70013FOR REVIEW ONLYPRELIMINARYNOT FOR CONSTRUCTIONTREE PRESERVATION NOTES: LEGEND: CANOPY CALCULATION 171 FOX RIDGE ESTATES FINAL PLAT TREE INVENTORY 733 Marquette AvenueMinneapolis, MN 55402612.758.3080www.alliant-inc.comSuite 70014FOR REVIEW ONLYPRELIMINARYNOT FOR CONSTRUCTIONTREE INVENTORY172 LOT 1LOT 2LOT 3BLOCK 1OUTLOT AFOX HILL DRIVECARVER BEACH ROADS20°28'26"E 125.32N22°37'50"W 125.86N74°50'50"E 825.86N74°50'50"E 821.10(A.K.A. FERN ROAD)(A.K.A. LAKEVIEW DRIVE)32+/-41+/-LOTUS TRAILLOTUS LAKERPBCWD HWL 897.46FOX RIDGE ESTATES FINAL PLAT WETLAND MANAGEMENT PLAN 733 Marquette AvenueMinneapolis, MN 55402612.758.3080www.alliant-inc.comSuite 70015FOR REVIEW ONLYPRELIMINARYNOT FOR CONSTRUCTIONWETLAND SUMMARYWETLAND BUFFER CALCULATIONLEGEND: BUFFER SIGN DETAIL173 LOT 1LOT 2LOT 3BLOCK 1OUTLOT AEX HWL 949.36HWL 949.36FOX RIDGE ESTATES FINAL PLAT LANDSCAPE AND TREE REPLACEMENT PLAN 733 Marquette AvenueMinneapolis, MN 55402612.758.3080www.alliant-inc.comSuite 70016FOR REVIEW ONLYPRELIMINARYNOT FOR CONSTRUCTIONLANDSCAPE REQUIREMENTSPLANTING NOTESLANDSCAPE SCHEDULELEGEND174 OUTLOT A321N22°37'50"W 125.86N74°50'50"E 751.14169.19225.98169.19187.4443.03S51°59'42"E63.51S74°42'51"E65.86N15°09'10"W30.59S74°50'50"W 821.10N74°50'50"E32±N74°50'50"E 825.86N74°50'50"E41±30.26CARVER BEACHROADFOX HILL DRIVEFOX HILL DRIVE782.83LOTUS LAKES14°25'47"E10.001253.60173.80S38°28'37"E 125.00N38°28'37"W 125.00N22°37'50"W 115.77182.17180.60DETAIL A31OUTLOT ANOT TO SCALEFOX HILL DRIVEFOX RIDGE ESTATESTHE SOUTH LINE OF GOVERNMENT LOT 8 OF SECTION 1,TOWNSHIP 116, RANGE 23, CARVER COUNTY,MINNESOTA IS ASSUMED TO HAVE A BEARING OFS89°44'24"E.COUNTY SURVEYOR, CARVER COUNTY, MINNESOTAPursuant to Chapter 395, Minnesota Laws of 1971, this plat has been approved this ______________ day of _____________________, 20______.Brian E. Praske, County SurveyorBy: ________________________________COUNTY AUDITOR, CARVER COUNTY, MINNESOTAI hereby certify that taxes payable in _________________ and prior years have been paid for land described on this plat. Dated this ______________ day of _____________________,20______.Crystal Campos, County AuditorBy: ________________________________REGISTRAR OF TITLES, CARVER COUNTY, MINNESOTAI hereby certify that this plat of FOX RIDGE ESTATES was filed this ______________ day of _____________________, 20______, at _____ o'clock ___.M. as Document Number___________________ .Kaaren Lewis, Registrar of TitlesBy: ________________________________KNOW ALL PERSONS BY THESE PRESENTS: That Fox Hill Properties LLC, a Minnesota limited liability company, fee owner of the following described property:That part of Government Lot 8 in Section 1, Township 116, Range 23, described as follows: Beginning at a point in the center line of Lakeview Drive, distant 121.029 feetSoutheasterly from the point of intersection of the center line of said Lakeview Drive with the center line of Fern Road; thence Southeasterly along the center line of saidLakeview Drive 25 feet; thence North 75 degrees 07 minutes East to the high water mark of Long Lake (also known as Lotus Lake); thence Northerly along the high watermark of said lake 25 feet, more or less, to its intersection with a line bearing North 75 degrees 07 minutes East from the point of beginning; thence South 75 degrees 07minutes West 866.5 feet, more or less, to point of beginning. Above mentioned Lakeview Drive and Fern Road being shown on the plat of CARVER-BEACH, according to therecorded plat thereof. Subject to an easement granted to the Northern States Power Company July 22nd, 1941.andBeginning at a point in the center line of Lakeview Drive, distant 20.172 feet on a bearing of South 22 degrees 21 minutes 40 seconds East from the point formed by theintersection of said Lakeview Drive and Fern Road as shown on the map entitled CARVER-BEACH, according to the recorded plat thereof; and running from thence along theSoutherly line of Fern Road on a bearing of North 75 degrees 07 minutes 00 seconds East, a distance of 880 plus or minus feet to the high water mark of Long Lake; thence ina Southerly direction along the high water mark of said Long Lake 100 plus or minus feet to a point 100 feet at right angles to the first course, when said course is projected;thence on a course of South 75 degrees 07 minutes 00 seconds West a distance of 873 feet plus or minus, to a point in the center line of Lakeview Drive, distant 121.029 feetin a Northwesterly direction from the intersection of Lakeview Drive and Fern Road; thence along the center line of Lakeview Drive on a course of North 22 degrees 21 minutes40 seconds West a distance of 100.857 feet to the point of beginning.Torrens Property - Certificate of Title No. 34797.0Has caused the same to be surveyed and platted as FOX RIDGE ESTATES, and does hereby dedicate to the public for public use the public ways and the drainage and utilityeasements as created by this plat.In witness whereof said Fox Hill Properties LLC, a Minnesota limited liability company, has caused these presents to be signed by its proper officer this _________ day of_____________________, 20_____.Signed: Fox Hill Properties LLC_____________________________________________Andy Awes, Chief Manager STATE OF MINNESOTACOUNTY OF ____________________This instrument was acknowledged before me on _________ day of _____________________, 20_____ by Andy Awes, Chief Manager of Fox Hill Properties LLC, a Minnesota limitedliability company.________________________________________________________________________________________________(Printed Name)Notary Public, __________________ County, MinnesotaMy Commission Expires __________________________SURVEYOR'S CERTIFICATEI Daniel Ekrem do hereby certify that this plat was prepared by me or under my direct supervision; that I am a duly Licensed Land Surveyor in the Stateof Minnesota; that this plat is a correct representation of the boundary survey; that all mathematical data and labels are correctly designated on this plat;that all monuments depicted on this plat have been, or will be correctly set within one year; that all water boundaries and wet lands, as defined inMinnesota Statutes, Section 505.01, Subd. 3, as of the date of this certificate are shown and labeled on this plat; and all public ways are shown andlabeled on this plat.Dated this ____ day of _________________, 20____________________________________________Daniel Ekrem, Licensed Land SurveyorMinnesota License No. 57366STATE OF MINNESOTACOUNTY OF _____________________This instrument was acknowledged before me on ____________________________ by Daniel Ekrem, a Licensed Land Surveyor.________________________________________________________________________________________________(PRINTED NAME)Notary Public, __________________ County, MinnesotaMy Commission Expires __________________________Chanhassen, MINNESOTAThis plat of FOX RIDGE ESTATES was approved and accepted by the City Council of the City of Chanhassen, Minnesota at a regular meeting thereofheld this ______________ day of _____________________, 20______, and said plat is in compliance with the provisions of Minnesota Statutes, Section505.03, Subd. 2.City Council, City of Chanhassen, MinnesotaBy: ___________________________________________________________________MayorClerkBENCHMARK:TOP NUT OF HYDRANT LOCATED ON THE SOUTHWESTCORNER OF FOX HILL DRIVE AND LOTUS TRAIL HAS ANELEVATION OF 929.33 FEET NGVD 29175 City Council Item February 13, 2023 Item Approve Request to Extend Variance 2021-25 for 3703 South Cedar Drive File No.Planning Case 2021-25 Item No: D.5 Agenda Section CONSENT AGENDA Prepared By MacKenzie Young-Walters, Associate Planner Reviewed By Laurie Hokkanen SUGGESTED ACTION "The Chanhassen City Council approves the requested extension of Variance 2021-25 to September 30, 2023 for 3703 South Cedar Drive." Motion Type Simple Majority Vote of members present Strategic Priority N/A SUMMARY Due to the unexpected retirement of the homeowner's contractor, the applicant has been forced to delay their project. They are requesting that the City Council extend the expiration date of their variance from February 15, 2023 to September 30, 2023 in order to provide them with time to do their due diligence in soliciting bids and selecting a new contractor. BACKGROUND On February 15, 2021, the Chanhassen Planning Commission voted unanimously to approve a 34.2-foot shoreland setback, 3-foot east and west side yard setbacks, 1.3-foot front yard setback, and 19 percent lot cover variance to construct a new home, subject to the conditions of approval, and adopted Findings of Fact and Decision. A copy of the staff report, approval letter, and meeting minutes associated with the variance request are provided for reference as attachments to this item. 176 DISCUSSION All variances, save those approved in conjunction with platting, have a condition required by the City Code stating that they expire one year after being approved unless substantial action has been taken; however, the City Council has the ability to approve the extension of a variance to accommodate unusual or extenuating circumstances that have prevented a property owner from starting construction within a year of the variance's approval. The presumption is that in these cases if the variance instead expired, the applicant would apply for the same variance and same variance would again be granted. Extending the variance thus allows property owners to avoid the time and expense associated with a new variance request in situations where there have been no changes to the facts of the case or underlying ordinances. In this case, the unexpected retirement of the applicant's selected contractor was a circumstance beyond the property owner's control that resulted in the delay of the project. It is understandable that the applicant would need additional time to rebid the project and select a new contractor. The requested extension is for approximately six months and is consistent with the applicant's stated intention to start construction during this summer's building season. Staff believes that this type of atypical situation justifies the requested extension, and notes that no element of the City Code relevant to the requested variance has been amended since the variance was issued. Additionally, staff is unaware of any new facts or developments that would alter the city's previous approval of the variance. BUDGET RECOMMENDATION Staff recommends that the City Council grant the requested extension to Variance 2021-25. ATTACHMENTS 3703 South Cedar Drive Variance Extension Request Planning Commission Staff Report dated February 15, 2022 Planning Commission Minutes dated February 15, 2022 Approval Letter dated February 22, 2022 Variance Extension Document 2021-25 177 From: Greg Dattilo <gdattilo@dci-clientserv.com> Sent: Friday, February 3, 2023 4:09 PM To: Young-Walters, MacKenzie <mwalters@chanhassenmn.gov> Cc: herbie@usfamily.net Subject: RE: 3703 S. Cedar Dr. Dattilo Case # 2021-25 To The City Council I would like to apply for an extension to the above mentioned property for extending my variances to build on this site. The processed has been delayed due to a poor decision I made and my contractor retiring. This has caused the process to begin all over again. My new goal would be to break ground no later than September, 2023. So I ‘m asking if the City Council would allow me to extend my variances to the end of September, 2023. If you need anything else from me to make this happen, please let me know. Thank you Greg Dattilo, CEBS Dattilo Consulting, Inc. / Clientserv LLC 1711 Lake Drive West Chanhassen, MN 55317 P: 952-448-8800 / C: 612-868-1066 F: 952-448-9886 gdattilo@dci-clientserv.com Secured by Paubox - HITRUST CSF certified 178 Planning Commission Item February 15, 2022 Item Consider Updated Buffer Plans as Part of a Request for Lot Cover, Setback Front, Side, and Shoreland), and Other Variances for the Construction of a Single-Family Home at 3703 S. Cedar Drive File No.Planning Case No. 2021-25 Item No: B.1 Agenda Section PUBLIC HEARINGS Prepared By MacKenzie Young-Walters, Associate Planner Applicant Greg Dattilo 12248 Sussex Street Fort Myers, FL 33913 Present Zoning Single Family Residential District (RSF) Land Use Residential Low Density Acerage 0.13 Density Applicable Regulations Chapter 1, Section 1-2, Rules of Construction and Definitions Chapter 20, Article II, Division 3. Variances Chapter 20, Article II, Division 4. Nonconforming Uses Chapter 20, Article VII. Shoreland Management District Chapter 20, Article XII, “RSF” Single Family Residential Districts Chapter 20, Article XXIII, Section 20-905. Single-Family Dwellings SUGGESTED ACTION The Chanhassen Board of Appeals and Adjustments approves 34.2-foot shoreland setback, 3-foot east and west side yard setback, 1.3-foot front yard setback, and 19 percent lot cover variances, subject to the Conditions of Approval, and adopts the attached Findings of Facts and Decision. 3179 SUMMARY The applicant is proposing installing a 400-square foot vegetative buffer with a complementary French drain as depicted in the attachment titled "Agreed Upon Alternative" to meet the intent of the City's shoreland buffer requirement. The attached memo from the City's Water Resources Engineer titled WRC Memo Revised" explains why the City believes the applicant's proposal meets the intent of the City's shoreland buffer requirements. BACKGROUND This item first came before the Planning Commission on November 16, 2021. During the meeting the applicant expressed concern with staff's proposed requirement of a 20-foot wide vegetative buffer, noting the presence of a beach and property's small lakeside yard as obstacles to meeting the requirement. The Planning Commission directed the applicant to work with staff to develop a compromise proposal that would maintain the beach while providing the maximum practicable amount of stormwater mitigation. The Planning Commission then voted to table the item. DISCUSSION During the November 16, 2021 Planning Commission meeting, both staff and the Planning Commission expressed support for the applicant's requested variances; however, there was concern expressed about the proposed 20-foot buffer requirement. In response to these concerns, staff and the applicant have developed a proposed buffer that would have an area of 400 square feet, predominantly running along the property's west lot line. A narrower section buffer is proposed paralleling most of the beach's width, with a gap to accommodate access to the beach and lake. Additionally, a French drain is proposed to convey roof drainage from the east side for the roof to the more extensive buffer area along the west lot line. Staff believes the proposal represents a reasonable balance between the applicant's concerns and the City's interest in mitigating the impact of the proposed lot cover on aquatic resources. Staff has modified the Conditions of Approval to reflect the proposed buffer and French drain system. It should also be noted that the recommended lot cover variance has been reduced from 20 percent to 19 percent. This is to align the lot cover variance with the revised total being proposed by the applicant in their survey dated November 10, 2021, which staff had received after the initial staff report had been written and published. A full discussion of the proposed buffer as well as the November 16, 2021 Planning Commission report and attachments can be found in the attachments. RECOMMENDATION Staff recommends the Planning Commission, acting as the Board of Appeals and Adjustments, approve 34.2-foot shoreland setback, 3-foot east and west side yard setback, 1.3-foot front yard setback, and 19 percent lot cover variances, subject to the Conditions of Approval, and adopt the attached Findings of Facts and Decision. 1. Demolition permits must be obtained prior to demolishing any structures on the site. 2. Building plans must provide sufficient information to verify that the proposed building meets all requirements of the Minnesota State Building Code; additional comments or requirements may be 4180 required after plan review. 3. A building permit must be obtained before beginning any construction. 4. Retaining walls (if present) more than four feet high must be designed by a professional engineer and a building permit must be obtained prior to construction. 5. The applicant shall supply updated construction plans that utilize to the maximum extent possible, pervious paver systems in accordance with Sec. 20-921 of City Ordinances. Areas such as the driveway, sidewalk, and patios must be considered in the design of these systems, and the use of impervious surfaces in these areas must be approved by the City. 6. A 400-square foot permanent native vegetated buffer using species native to the ecotype with permanent buffer monuments shall be installed. The buffer configuration shall substantially align with what is shown in the survey dated December 23, 2022. A French drain shall be installed to convey drainage from the east roof to the western section of the buffer. The buffer and rain garden must be designed and installed by an experienced shoreline restoration specialist. Design plans must be approved by the Water Resources Engineer. 7. An updated survey showing the location of the French drain, final configuration of the buffer and rain garden, and the location of any proposed pervious pavers must be submitted to the City as part of the building permit application. 8. The installation of any improvements on the site shall meet all applicable jurisdictional requirements, including but not limited to the Minnesota Department of Natural Resources and the Minnehaha Creek Watershed District, and all applicable permits shall be obtained prior to any site improvements. 9. Total lot cover shall not exceed 2,600 square feet. 10. The principle structure’s eaves may encroach up to 2.5 feet into the required front, side, and shoreland setbacks. 11. The applicant shall plant two overstory shade trees, minimum size 2.5 inches in diameter. One of the trees is required in the front yard. 12. Tree protection fencing shall be installed around existing trees to be preserved prior to demolition and maintained throughout construction. ATTACHMENTS WRC Memo-Revised Variance Document-Revised Findings of Fact and Decision (Approval)-Revised Agreed Upon Alternative Planning Commission Packet dated November 16, 2021 5181 Memorandum To:MacKenzie Young-Walters, Associate Planner From:Erik Henricksen, Project Engineer, Joe Seidl, Water Resources Engineer CC: Charles Howley, Public Works Director/City Engineer George Bender, Assistant City Engineer Date:1/18/2021 Re:Variance Review at 3703 South Cedar Drive – Planning Case 2021-25 The applicant is proposing a lot coverage variance. The Site currently has 2,798 SF of hardcover on the 5,899 SF property, or 47.5% lot coverage of the Site. The proposed change to the Site’s total hardcover based on the provided submittals would provide a reduction of 5.4%, or 314 SF, for a total proposed lot cover of 2,484 SF, or 42.1%. The applicant was directed by City Council to work with the Engineering and Planning departments to come up with a solution for the buffer and stormwater management issues outlined in the November 16, 2021 Planning Commission meeting. The applicant developed a proposal based on input from the City’s Water Resources Engineer to improve stormwater management to the maximum extent practical given the site restrictions including lot size, grade, proximity of buildings, and an existing. As requested by the Engineering and Planning departments the applicant’s submittal includes stormwater best management practices (BMPs) to reduce stormwater volumes and pollutants loads from the site. The BMP’s include permeable pavers, in accordance with City ordinances (Sec. 20-921), native vegetative swales and buffers, and a small rain garden. The measures taken by the applicant improve stormwater management, reduce impervious surfaces on the site, and act to mitigate the amount of direct stormwater runoff being conveyed to Lake Minnewashta. The use of stormwater BMPs will help reestablish a more natural hydrologic balance, while providing water quality treatment by reducing the concentration of pollutants entering Lake Minnewashta. 6182 During the November 16, 2021 meeting the applicant was directed by the Planning Commission to work with staff develop a buffer that met both his needs for the property and addressed staff’s concerns about the variance’s impact on the lake. The applicant elected to propose a buffer meeting the City’s 10 foot minimum buffer width standard. The lot is approximately 40 feet wide, which equates to a required buffer area size of 400 sq. ft. The existing beach on the property prevents buffer placement along the entire Lake shoreline, instead the design uses a series of smaller buffer areas up gradient of the beach, and along the west side of the property to achieve the buffer area. A French drain was added as directed by the Water Resources Engineer to convey roof drainage from the east side of the property to the rain garden/buffer strip. This design optimizes the design with regards to stormwater management. By including the aforementioned reduction of impervious area, stormwater BMP’s, and buffer configuration the applicant’s design maximizes stormwater management to the extent practical and represents an improvement over the existing condition. Base on this the City’s Water Resources Engineer recommends that this design be approved by Planning Commission. 7183 1 CITY OF CHANHASSEN CARVER COUNTY, MINNESOTA VARIANCE 2021-25 1. Permit. Subject to the terms and conditions set forth herein, the City of Chanhassen hereby grants the following variance: The Chanhassen Board of Appeals and Adjustments approves 34.2-foot shoreland setback, 3-foot east and west side yard setback, 1.3-foot front yard setback, and 19 percent lot cover variances, subject to the Conditions of Approval. 2. Property. The variance is for a property situated in the City of Chanhassen, Carver County, Minnesota, and legally described as Lot 21, Block 4, Red Cedar Point Lake Minnewashta. 3. Conditions.The variance approval is subject to the following conditions: 1. Demolition permits must be obtained prior to demolishing any structures on the site. 2. Building plans must provide sufficient information to verify that proposed building meets all requirements of the Minnesota State Building Code; additional comments or requirements may be required after plan review. 3. A building permit must be obtained before beginning any construction. 4. Retaining walls (if present) more than four feet high must be designed by a professional engineer and a building permit must be obtained prior to construction. 5. The applicant shall supply updated construction plans that utilize to the maximum extent possible pervious paver systems in accordance with Sec. 20-921 of City Ordinances. Areas such as the driveway, sidewalk, and patios must be considered in the design of these systems, and the use of impervious surfaces in these areas must be approved by the City. 6. A 400 square foot permanent native vegetated buffer using species native to the ecotype with permanent buffer monuments shall be installed. The buffer configuration shall substantially align with what is shown in survey dated December 23, 2022. A French 8184 2 drain shall be installed to convey drainage from the east roof to the western section of the buffer. The buffer and rain garden must be designed and installed by an experienced shoreline restoration specialist. Design plans must be approved by the Water Resources Administrator/Engineer. 7. An updated survey showing the location of the French drain, final configuration of the buffer and rain garden, and the location of any proposed pervious pavers must be submitted to the City as part of the building permit application. 8. The installation of any improvements on the site shall meet all applicable jurisdictional requirements, including but not limited to the Minnesota Department of Natural Resources and the Minnehaha Creek Watershed District, and all applicable permits shall be obtained prior to any site improvements. 9. Total lot cover shall not exceed 2,600 square feet. 10. The principle structure’s eaves may encroach up to 2.5 feet into the required front, side, and shoreland setbacks. 11. The applicant shall plant two overstory shade trees, minimum size 2.5” diameter. One of the trees is required in the front yard. 12. Tree protection fencing shall be installed around existing trees to be preserved prior to demolition and maintained throughout construction. 4. Lapse. If within one (1) year of the issuance of this variance the allowed construction has not been substantially completed, this variance shall lapse. 9185 3 Dated: February 15, 2022 CITY OF CHANHASSEN BY: SEAL)Elise Ryan, Mayor AND: Laurie Hokkanen, City Manager STATE OF MINNESOTA ) ss. COUNTY OF CARVER ) The foregoing instrument was acknowledged before me this day of , 2022 by Elise Ryan, Mayor, and Laurie Hokkanen, City Manager, of the City of Chanhassen, a Minnesota municipal corporation, on behalf of the corporation and pursuant to authority granted by its City Council. NOTARY PUBLIC DRAFTED BY: City of Chanhassen 7700 Market Boulevard P.O. Box 147 Chanhassen, MN 55317 952) 227-1100 g:\plan\2021 planning cases\21-25 3703 south cedar var\variance document 21-25_revised.docx 10186 1 CITY OF CHANHASSEN CARVER AND HENNEPIN COUNTIES, MINNESOTA FINDINGS OF FACT AND DECISION APPROVAL) IN RE: Application of Greg Dattilo for variances from the lot cover limit and front yard, side yard, and shoreland setbacks to facilitate constructing a single-family home on a property zoned Single-Family Residential District (RSF) – Planning Case 2021-25. On February 15, 2022, the Chanhassen Planning Commission, acting as the Board of Appeals and Adjustments, met at its regularly scheduled meeting to consider the application. The Planning Commission conducted a public hearing on the proposed variance preceded by published and mailed notice. The Board of Appeals and Adjustments makes the following: FINDINGS OF FACT 1. The property is currently zoned Single-Family Residential District (RSF). 2. The property is guided in the Chanhassen Comprehensive Plan for Residential Low Density. Lot 21, Block 4, Red Cedar Point Lake Minnewashta 3. Variance Findings – Section 20-58 of the City Code provides the following criteria for the granting of a variance: a. Variances shall only be permitted when they are in harmony with the general purposes and intent of this Chapter and when the variances are consistent with the Comprehensive Plan. Finding:The lot cover variance is a reduction to the property’s nonconforming lot cover and BMPs are being required to further mitigate the impact of the proposed lot cover. The shoreland setback variance maintains the property’s existing nonconforming shoreland setback and removes nonconforming patios from the shoreland area. The front yard setback variance replaces a nonconforming shed located six feet from the front property line and entirely within the required front yard setback with a 1.3 foot encroachment of the principle structure. The side yard setback variances are new or expanded encroachments into the required side yards; however, the proposed setbacks maintain adequate separation between the home and neighboring structures. The net result of all of these variances is a reduction of the property’s existing nonconformities. It is consistent with the intent of the Zoning Code to allow for nonconforming structures to be replaced in a manner that brings the property closer to compliance with the City Code. b.When there are practical difficulties in complying with the zoning ordinance. "Practical difficulties" as used in connection with the granting of a variance, means that the property owner proposes to use the property in a reasonable manner not permitted by this Chapter. 11187 2 Practical difficulties include, but are not limited to, inadequate access to direct sunlight for solar energy systems. Finding:The proposed footprint of the home is reasonable and comparable to what is present on nearby similarly sized lots. The applicant does not have the ability to construct a reasonably sized home on the parcel without setback and lot cover variances. c. That the purpose of the variation is not based upon economic considerations alone. Finding: The variance request is not solely based upon economic considerations. d. The plight of the landowner is due to circumstances unique to the property not created by the landowner. Finding:The plight of the landowner is due to the property’s substandard 40-foot lot width and substandard 5,899-square foot lot size. This substandard nature of the parcel is the result of it having been plated in 1913, before the creation of the City and the adoption of a municipal Zoning Code. e. The variance, if granted will not alter the essential character of the locality. Finding: The houses along the lakeside of South Cedar Drive are a mix of older homes and newer rebuilds with the applicant’s house being one of two remaining structures from the early 1900s. The applicant’s proposed replacement of the existing home would be in keeping with size and scale of the new construction along South Cedar Drive. The proposed tuck under configuration is consistent with what is currently present within the neighborhood as the existing homes are roughly evenly split between side loading garages and tuck under garages. The proposed home is very similar to the neighbor’s in size, scale, and configuration, and maintains approximately the same front yard, side yard, and shoreland setbacks as the neighboring structure. There is no reason to believe that the proposed home would be out of character with or negatively impact the surrounding neighborhood. f. Variances shall be granted for earth-sheltered construction as defined in Minnesota Statutes Section 216C.06, subdivision 14, when in harmony with this Chapter. Finding: This does not apply to this request. 5. The planning reports regarding case #2021-25, dated November 16, 2021 and February 15, 2022, prepared by MacKenzie Young-Walters is incorporated herein. DECISION The Chanhassen Board of Appeals and Adjustments approves 34.2-foot shoreland setback, 3-foot east and west side yard setback, 1.3-foot front yard setback, and 19 percent lot cover variances, subject to the Conditions of Approval. 1. Demolition permits must be obtained prior to demolishing any structures on the site. 12188 3 2. Building plans must provide sufficient information to verify that proposed building meets all requirements of the Minnesota State Building Code; additional comments or requirements may be required after plan review. 3. A building permit must be obtained before beginning any construction. 4. Retaining walls (if present) more than four feet high must be designed by a professional engineer and a building permit must be obtained prior to construction. 5. The applicant shall supply updated construction plans that utilize to the maximum extent possible pervious paver systems in accordance with Sec. 20-921 of City Ordinances. Areas such as the driveway, sidewalk, and patios must be considered in the design of these systems, and the use of impervious surfaces in these areas must be approved by the City. 6. A 400 square foot permanent native vegetated buffer using species native to the ecotype with permanent buffer monuments shall be installed. The buffer configuration shall substantially align with what is shown in survey dated December 23, 2022. A French drain shall be installed to convey drainage from the east roof to the western section of the buffer. The buffer and rain garden must be designed and installed by an experienced shoreline restoration specialist. Design plans must be approved by the Water Resources Administrator/Engineer. 7. An updated survey showing the location of the French drain, final configuration of the buffer and rain garden, and the location of any proposed pervious pavers must be submitted to the City as part of the building permit application. 8. The installation of any improvements on the site shall meet all applicable jurisdictional requirements, including but not limited to the Minnesota Department of Natural Resources and the Minnehaha Creek Watershed District, and all applicable permits shall be obtained prior to any site improvements. 9. Total lot cover shall not exceed 2,600 square feet. 10. The principle structure’s eaves may encroach up to 2.5 feet into the required front, side, and shoreland setbacks. 11. The applicant shall plant two overstory shade trees, minimum size 2.5” diameter. One of the trees is required in the front yard. 12. Tree protection fencing shall be installed around existing trees to be preserved prior to demolition and maintained throughout construction. ADOPTED by the Chanhassen Planning Commission this 15th day of February, 2022. CITY OF CHANHASSEN BY: Chairman g:\plan\2021 planning cases\21-25 3703 south cedar var\findings of fact and decision (approval)_revised.docx 13189 PDF created with pdfFactory trial version www.pdffactory.com 14190 Planning Commission Item November 16, 2021 Item Consider a Request for Lot Cover, Setback (Front, Side, and Shoreland), and other Variances for the Construction of a Single-Family Home on Property located at 3703 South Cedar Drive File No.Planning Case No. 2021-25 Item No: B.1 Agenda Section PUBLIC HEARINGS Prepared By MacKenzie Young-Walters, Associate Planner Applicant Greg Dattilo Present Zoning Single Family Residential District (RSF) Land Use Residential Low Density Acerage 0.13 Density NA Applicable Regulations Chapter 1, Section 1-2, Rules of Construction and Definitions Chapter 20, Article II, Division 3. Variances Chapter 20, Article II, Division 4. Nonconforming Uses Chapter 20, Article VII. Shoreland Management District Chapter 20, Article XII, “RSF” Single Family Residential Districts Chapter 20, Article XXIII, Section 20-905. Single-Family Dwellings SUGGESTED ACTION SUMMARY The applicant is proposing to demolish the existing cabin and construct a single-family home. Due to the lot’s substandard size they are requesting variances from the City’s front yard, side yard and shoreland setbacks as well a lot cover variance to allow for the proposed home placement and design. BACKGROUND 115191 County records indicate that the house was built in 1900. On September 29, 2021, the applicant met with staff to discuss a proposed demolition/rebuild on the site. DISCUSSION The applicant is proposing to demolish their existing cabin and replacing it with a new single-family home. They are requesting 1.3-foot front yard setback, 3-foot east and west yard setback, 34.2-foot shoreland setback, and 20 percent lot cover variances to accommodate the proposed home’s foot print. The have stated that the intent of these variances is to allow them to construct a single-family home similar to what is present on their neighbors’ property, and note that their neighbor received variances similar to what they are requesting. The applicant has indicated that the requested variances are needed due to the substandard size of their lot, which does not even allow for the construction of a home meeting the City’s minimum size and garage requirements without a variance. The applicant feels that their existing cabin is not consistent with the neighborhood’s character and that their proposed home would meet the aesthetics created by the neighboring homes. The applicant has stated that their proposed home maintains the property’s existing nonconforming shoreland setback and reduces the property’s nonconforming lot cover by 142 square feet, 2.4 percent, primarily by removing nonconforming patio areas from within the shoreland setback. The proposal would also remove a shed with nonconforming 6-foot front yard and 3.5-foot side yard setbacks from the property. Finally, the applicant has stated that they are willing to install a vegetated buffer along the shoreline to help mitigate the impacts of the property’s lot cover. Staff agrees that the substandard size of the applicant’s lot creates a practical difficulty in constructing a modern single-family home. While the applicant is requesting multiple variances, including substantial deviations from the City Code’s lot cover and shoreland setback requirements, the property also has multiple significant nonconformities, including nonconforming lot cover and shoreland setback. The extent of these nonconformities as well as the number of nonconformities that are being reduced or eliminated as part of the applicant’s proposal provides a rationale for the extent of the requested variances. Additionally, the requested variances are broadly speaking in line with what has been requested and granted for similar properties within the neighborhood. For these reasons, staff recommends that the Planning Commission approve the requested variances, with the conditions that pervious pavers, replacement of two trees, and a vegetative buffer be required to help mitigate the impact of the proposed lot cover on the lake. A full discussion can be found in the attached staff report. RECOMMENDATION Staff recommends the Planning Commission, acting as the Board of Appeals and Adjustments, approve 34.2-foot shoreland setback, 3- foot east and west side yard setback, 1.3-foot front yard setback, and 20 percent lot cover variances, subject to the Conditions of Approval and adopt the attached Findings of Facts and Decision. 1. Demolition permits must be obtained prior to demolishing any structures on the site. 2. Building plans must provide sufficient information to verify that the proposed building meets all requirements of the Minnesota State Building Code; additional comments or requirements may be 216192 required after plan review. 3. A building permit must be obtained before beginning any construction. 4. Retaining walls (if present) more than four feet high must be designed by a professional engineer and a building permit must be obtained prior to construction. 5. The applicant shall supply updated construction plans that utilize to the maximum extent possible pervious paver systems in accordance with Sec. 20-921 of City Ordinances. Areas such as the driveway, sidewalk, and patios must be considered in the design of these systems, and the use of impervious surfaces in these areas must be approved by the City. 6. A permanent 20’ native vegetated buffer must be installed along the shoreline using species native to the ecotype with permanent buffer monuments. The buffer may work around the path and stairs. The buffer must be designed and installed by an experienced professional in native shoreline restoration. Design plans must be approved by the Water Resources Administrator/Engineer. 7. The installation of any improvements on the site shall meet all applicable jurisdictional requirements, including but not limited to the Minnesota Department of Natural Resources and the Minnehaha Creek Watershed District, and all applicable permits shall be obtained prior to any site improvements. 8. Total lot cover shall not exceed 2,656 square feet. 9. The principle structure’s eaves may encroach up to 2.5 feet into the required front, side, and shoreland setbacks. 10. The applicant shall plant two overstory shade trees, minimum size 2.5” diameter. One of the trees is required in the front yard. 11. Tree protection fencing shall be installed around existing trees to be preserved prior to demolition and maintained throughout construction. ATTACHMENTS Staff Report Findings of Fact and Decision (Approval) Variance Document 21-25 Development Review Application Narrative Justification Certificate of Survey (Existing) Certificate of Survey (Proposed) Revised Survey House Plans Landscape and Tree Preservation Memo ENG/WRC Memo Affidavit of Mailing Email - Gunther 317193 CITY OF CHANHASSEN PC DATE: November 16,2021 CC DATE: December 13, 2021 REVIEW DEADLINE: December 14, 2021 CASE #: PC 2021-25 BY: MYW SUMMARY OF REQUEST: The applicant is proposing to demolish the existing cabin and construct a single-family home. Due to the lot’s substandard size they are requesting variances from the City’s front yard, side yard and shoreland setbacks as well a lot cover variance to allow for the proposed home placement and design. LOCATION:3703 South Cedar Drive APPLICANT:Greg Dattilo 12248 Sussex Street Fort Myers, FL 33913 PRESENT ZONING: “RSF” –Single-Family Residential District 2040 LAND USE PLAN: Residential Low Density ACREAGE:.13 acres DENSITY: NA LEVEL OF CITY DISCRETION IN DECISION-MAKING: The City’s discretion in approving or denying a variance is limited to whether or not the proposed project meets the standards in the Zoning Ordinance for a variance. The City has a relatively high level of discretion with a variance because the applicant is seeking a deviation from established standards. This is a quasi-judicial decision. Notice of this public hearing has been mailed to all property owners within 500 feet. PROPOSAL/SUMMARY The applicant is proposing demolishing their existing cabin and replacing it with a new single- family home. They are requesting 1.3-foot front yard setback, 3-foot east and west yard setback, 34.2-foot shoreland setback, and 20 percent lot cover variances to accommodate the proposed home’s footprint. They have stated that the intent of these variances is to allow them to construct a single-family home similar to what is present on their neighbor’s property, and noted that their neighbor received variances similar to what they are requesting. PROPOSED MOTION: The Chanhassen Board of Appeals and Adjustments approves 34.2-foot shoreland setback, 3- foot east and west side yard setback, 1.3-foot front yard setback, and 20 percent lot cover variances, subject to the Conditions of Approval and adopts the attached Findings of Facts and Decision.” 418194 3703 South Cedar Drive November 16, 2021 Page 2 The applicant has indicated that the requested variances are needed due to the substandard size of their lot, which does not even allow for the construction of a home meeting the City’s minimum size and garage requirements without a variance. The applicant feels that their existing cabin is not consistent with the neighborhood’s character and that their proposed home would match the aesthetics created by the neighboring homes. The applicant has stated that their proposed home maintains the property’s existing nonconforming shoreland setback and reduces the property’s nonconforming lot cover by 142 square feet, 2.4 percent, primarily by removing nonconforming patio areas from within the shoreland setback. The proposal would also remove a shed with nonconforming 6-foot front yard and 3.5-foot side yard setbacks from the property. Finally, the applicant has stated that they are willing to install a vegetated buffer along the shoreline to help mitigate the impacts of the property’s lot cover. Staff agrees that the substandard size of the applicant’s lot creates a practical difficulty in constructing a modern single-family home. While the applicant is requesting multiple variances, including substantial deviations from the City Code’s lot cover and shoreland setback requirements, the property also has multiple significant nonconformities, including nonconforming lot cover and shoreland setback. The extent of these nonconformities as well as the number of nonconformities that are being reduced or eliminated as part of the applicant’s proposal provides a rationale for the extent of the requested variances. Additionally, the requested variances are broadly speaking in line with what has been requested and granted for similar properties within the neighborhood. For these reasons, staff recommends that the Planning Commission approve the requested variances, with the conditions that pervious pavers and a vegetative buffer be required to help mitigate the impact of the proposed lot cover on the lake. APPLICABLE REGULATIONS Chapter 1, Section 1-2, Rules of Construction and Definitions Chapter 20, Article II, Division 3. Variances Chapter 20, Article II, Division 4. Nonconforming Uses Chapter 20, Article VII. Shoreland Management District. Chapter 20, Article XII, “RSF” Single Family Residential Districts. Chapter 20, Article XXIII, Section 20-905. Single-Family Dwellings BACKGROUND County records indicate that the house was built in 1900. On September 29, 2021, the applicant met with staff to discuss a proposed demolition/rebuild on the site. SITE CONSTRAINTS Zoning Overview 519195 3703 South Cedar Drive November 16, 2021 Page 3 The property is zoned Single-Family Residential District (RSF) and is located within the Shoreland Management District. This zoning classification requires a minimum lot size of 20,000 square feet, 30-foot front and rear yard setbacks, 10-foot side yard setbacks, 75-foot shoreland setback from the ordinary high water level (OHWL), and limits parcels to a maximum of 20 percent lot cover. Residential structures are limited to 35 feet in height and are allowed one water-oriented structure (WOAS) within the required 75-foot shoreland setback so long as it is setback 10 feet from the OHWL, under 250 square feet in size, and under 10 feet in height. Additionally, the southernmost tip of the parcel below the 945.9 contour is located within the AE Flood Zone. The lot is a nonconforming 5,899 square feet with 2,798 square feet of lot cover resulting in 47.4 percent lot cover. The existing principle structure meets the required 30-foot front yard setback and 10-foot west side yard setback, and has a nonconforming 7.2-foot east side yard setback and 40.8-foot shoreland setback. The property has an existing shed with a nonconforming 3.5-foot east side yard setback and 6-foot front yard setback. The existing driveway has a nonconforming 38-foot width. The property has 1,111 square feet of paver patios and walkways, the majority of which is located within the 75-foot shoreland setback. The closest section of paver patio has a nonconforming 13-foot setback from the OHWL. Bluff Creek Corridor The parcel is not encumbered by the Bluff Creek Overlay District. Bluff Protection There is not a bluff present on the property. Floodplain Overlay A small section of the property located below the 945.9 contour is located within the AE Flood Zone (1% annual chance); however, no portion of the project is proposed near or within that area. Shoreland Management The property is located within a Shoreland Protection District. This District requires a 75-foot structure setback from the lake’s OHWL and limits the property to a maximum impervious surface coverage of 25 percent. The shoreland ordinance permits one WOAS to be located within the 75-foot shoreland setback, provided that it is at least 10 feet from the OHWL, no larger than 250 square feet, and has a maximum height of 10 feet. Vegetative clearing is also restricted with the 37.5-foot shoreland impact zone, save limited clearing to for a view, access, and allowed facilities. This is limited to a section 30 percent the width of the lot or 30 feet wide, whichever is less. Wetland Protection 620196 3703 South Cedar Drive November 16, 2021 Page 4 There are no wetlands located on the property. NEIGHBORHOOD Red Cedar Point at Lake Minnewashta The plat for this area was recorded in August of 1913. Over the subsequent century, the City of Chanhassen was formed, a Zoning Code was passed, the Zoning Code was amended numerous times, and buildings were built, demolished, and rebuilt to meet the standards and needs of the existing ordinances. Additionally, the neighborhood’s roads were not always constructed within their designated right of way. In some areas, this has led to portions of buildings being located in the right of way and portions of these roads being located within residents’ property lines. Very few properties in the area meet the requirements of the City’s Zoning Code, and most properties either have nonconforming structures or are operating under a variance. Variances within 500 feet: 3613 Red Cedar Point Rd.: 1976-11: Approved – 10’ lot frontage (house) 1979-02: Approved – Sub 20,000 sq. ft. lot area, 20’ and 12’ front setbacks (house) 1983-09: Approved – 12’ front, 2’ side, and 7’ lake setbacks house) 3616 Red Cedar Point Rd.:2021-01: Approved – 18’ E front and 13’ lake setbacks (deck) 3617 Red Cedar Point Rd.:2018-01: Approved – 11.5’ front and 22.1’ lakeshore setbacks, and 11% lot cover (house) 2019-03: Approved – 8.5’ front and 25.1’ shore setbacks, and 10.4% lot cover (house) 3618 Red Cedar Point Rd.:1993-06: Approved – 8’ side and 15’ lake setbacks (deck and porch) 721197 3703 South Cedar Drive November 16, 2021 Page 5 3622 Red Cedar Point Rd.:2017-09: Approved – Intensify nonconformity by raising garage in side yard setback (garage) 3624 Red Cedar Point Rd.:1985-20: Approved – 1.2’ front and 4.8 side setbacks (detached garage) 3625 Red Cedar Point Rd.:2009-15: Approved – 15.5’ front, 6.5’ E side, 9’ driveway, and 18.5’ lake setbacks, 12.3% lot cover, and 1 car garage (house) 3627 Red Cedar Point Rd.:2016-11: Approved – 13.6’ lake setback and 4.8% lot cover (house and patio) 3628 Hickory Rd.:2002-05: Approved – 13’ N front, 2’ S front, and 5’ side setbacks detached garage) 3629 Red Cedar Point Rd.:1980-08: Approved – 12’ front and 3’ side +1.5’ for fire setbacks 30’ lot width, 40’ lot frontage, and sub 20,000- sq. ft. lot area (house) 1987-13: Approved – 12’ front and 3’ side setbacks (house) 3633 South Cedar Drive:2006-04: Approved – 22.5’ and 15.8’ front setbacks, and 2.39% lot cover (garage) 3637 South Cedar Drive:1978-07: Approved – 19’ front setback (detached garage) 2004-07: Approved – 19.5 front and 4’ lake setbacks, 15% lot cover (addition) 2008-04: Approved – 20.2’ front and 8’ side setbacks (house) 3701 South Cedar Drive:1980-04: Approved – 14’ front and 25’ shore setbacks, sub 20,000- sq. ft. lot area (house) 1985-27: Approved – 5’ front and 35’ lake setbacks (house) 2015-07: Approved – Intensify nonconformity by enclosing deck within lake setback (addition) 3705 South Cedar Drive:1996-04: Approved – 3’ E and W side and 31’ lake setbacks, and 25% lot cover (house) 3707 South Cedar Drive:1984-18: Approved – 20’ front setback (detached garage) 3711 South Cedar Drive:1977-11: Approved – 10’ lot frontage (house) 1977-18: Approved – Intensify nonconformity by raising house height (house) 822198 3703 South Cedar Drive November 16, 2021 Page 6 3713 South Cedar Drive:1985-26: Approved – 15’ front setback (detached garage) 2019-11: Approved – 5’ front setback and 1.83% lot cover garage) 3715 South Cedar Drive: 1975-01: Approved – 20’ front setback (garage) 3725 South Cedar Drive:1984-17: Approved – 4.53’ side setback (addition) 1987-15: Approved – 4.53’ side setback (addition) Nineteen (19) of the 33 properties within 500’ of the applicant’s parcel have received at least one variance. A total of 30 variances have been issued to these properties. ANALYSIS Setbacks The applicant’s lot is approximately 40 feet wide by 135 feet long. Once the required 30- foot front, 75-foot shoreland, and 10-foot side yard setbacks are applied to the parcel there is a 20.3-foot wide by 29.5-foot long buildable area which could accommodate a structure with a 598.9 square foot footprint. The City Code would also allow the applicant to build a new structure within the building envelope, i.e. same length, width, and height, of the existing nonconforming structure, an area 766 square feet in size. There is a small amount of overlap between the buildable area permitted by the property’s setbacks and the area covered by the nonconforming structure, approximately 61 square feet, which means that without a setback variance the applicant could build a house with a 1,304-square foot footprint. The applicant is requesting front, side and shoreland setback variances to accommodate a structure with a proposed 1,716-square foot footprint. The applicant has indicated that their proposed footprint is needed to allow for a reasonably sized garage and home, and that the proposed footprint is identical to what their neighbor was granted a variance to construct on a similarly sized lot. They have also stated that their proposal maintains a consistent front building line with their western neighbor’s property 923199 3703 South Cedar Drive November 16, 2021 Page 7 and maintains the existing nonconforming lake setback and a consistent lakeside building line with their western neighbor’s property. In evaluating setback variance requests, the City takes into account the presence of existing nonconformities and the extent to which they are being reduced, the buildable area needed to allow reasonable use of a parcel, and neighborhood characteristics, i.e. previous variances granted and observed nonconforming setbacks. Regarding the existing nonconforming setbacks, the applicant is proposing to remove a 96-square foot shed located six feet from the front lot line and 3.5 feet from the side lot line and an approximately 626-square foot patio system setback between 13 feet and 40.8 feet from the OHWL. The applicant is proposing to maintain the existing home’s nonconforming 40.8-foot shoreland setback to decrease the existing east side yard’s nonconforming setback from 7.2 feet to 7 feet. Since the shed is being removed from its location within the required front yard setback, it is reasonable to consider the home’s proposed 28.7-foot front yard setback as an improvement to the property’s nonconforming front yard. Similarly, the applicant’s removal of the rear patio would be considered an improvement to the property’s nonconforming shoreland area that offsets the proposed increase in building width within the 75-foot shoreland setback, especially since no portion of the applicant’s proposed home is located closer to the lake than the existing home’s setback. In evaluating the requested side yard setback variances, one of which expands a nonconformity and the other of which is a new encroachment, the primary factor for consideration is if the applicant’s proposed building width is reasonable. The lot’s 40-foot width means that a home meeting the required 10-foot side yard setbacks would have a maximum width of 20 feet. The applicant’s requested 7-foot side yard setbacks would allow for a 26-foot wide home. While it is theoretically possible to meet the City’s two-car garage requirement with a 20-foot wide garage, the resulting garage would be atypically narrow and may not provide adequate space to open the doors of wider vehicles. Additionally, a garage this narrow would not accommodate any on-site storage. The proposed 26-foot garage width is fairly typical for a two-car garage with additional storage space and is reasonable for a property without the potential to add a shed. The proposed 7-foot side yard setbacks also conform to the City’s general policy of requiring a minimum side yard setback of five feet. The 1,716-square foot structure footprint created by the requested variances, is larger than the minimum footprint required to meet City Code, and is 412 square feet larger than buildable area that would be permitted by the property’s setbacks and existing nonconformities. The City has never taken the position of property’s requesting variances should be limited to the minimum footprint permitted by City Code, and the 1024200 3703 South Cedar Drive November 16, 2021 Page 8 applicant’s proposed footprint is significantly smaller than the footprint of mostly newly constructed detached single-family homes in Chanhassen; however, the lot is also significantly smaller than the lots most other newly constructed homes are being sited on. The majority of the homes along South Cedar Drive have larger footprints, although many of those homes are also sited on larger lots. Finally, as the applicant has noted, the neighboring house to the west has the same footprint and is located on a very similarly sized lot. In general, the area within 500 feet of the applicant’s home has many substandard lots and many of the homes have received variances or have nonconforming setbacks. The applicant’s proposed setbacks would keep it in line with the house to the west and would place it slightly further back from the road than the house to the east, which received a variance allowing for a 25-foot front yard setback. Examining the setback variances issued to property’s within 500 feet, only the applicant’s requested shoreland setback is on the higher end; however, it is not unprecedented and it is in line with the City’s general practice of allowing riparian property owners to maintain their nonconforming shoreland setback when rebuilding. Considering the existing nonconformities present on the property, especially the proposed improvements to the front and shoreland areas, the constraints posed by the substandard width of the lot, and the prevailing development patterns of the areas, staff believes the requested setback variances are reasonable. For these reasons, staff recommends approval of the requested setback variances. Lot Cover The applicant is requesting a 20 percent lot cover variance. While this is less than the 25 percent lot cover variance the City granted the property to west, it would, if approved, be the second largest lot cover percentage variance granted in the area within 500 feet of the property. However, it should be noted that due to the lot’s small size, the 20 percent lot cover variance is the result of adding 1,180 square feet of lot cover to the 1,475 square feet allowed by the City Code. The resulting 2,656 square feet of proposed lot cover is less than is present on most other properties in the area, though the applicant’s parcel is also smaller than most other parcels in the area. 1125201 3703 South Cedar Drive November 16, 2021 Page 9 Significantly substandard parcels, such as the applicant’s 5,899.1-square foot lot, often request significant lot cover variances due the fact that even a home meeting the City’s minimum standards requires 1,900 square feet of lot cover (960-square foot living area, 400-square foot garage, and 540 square feet of driveway). As was noted in the previous discussion on setbacks, the City acknowledges that a home meeting the bare minimum standards allowed by the Zoning Code with no amenities such as patios or sidewalks may not provide reasonable use. In determining what constitutes a reasonable amount of lot cover, the City looks at nonconforming lot cover, what is being done to offset the impact of the proposed lot cover, and the size and number of structures and amenities that are being proposed. In this case, the property has 2,798 square feet, 47.43 percent, of lot cover and under the City’s nonconforming use statute the applicant would be able to replace it in its current configuration without a variance. According to the applicant’s survey, 1,111 square feet of this is a long paver walkway and a network of rear yard paver patios. In some situations, the City considers pavers to constitute pervious lot cover; however, this system would not meet the City’s criteria for an engineered paver system and within the shoreland overlay district all pavers are considered lot cover. The applicant is proposing to remove this paver patio and walkway as well as some of the existing asphalt driveway to offset the proposed increase in house footprint. All told, the proposal reduces the property’s nonconforming lot cover by 142 square feet, 2.41 percent, and shifts the location of the property’s lot cover from near the lake towards the street. Though the two-story walkout design results in a large amount of living space, the design also keeps the house to a 1,609-square foot footprint. The applicant is proposing a patio with a second level deck and a sidewalk; however, the deck and patio are located within the 26-foot by 66-foot building pad that the applicant is proposing. No WOAS is being proposed. While the house’s living area is on the higher end of the spectrum, the requested footprint and proposed amenities are not excessively large. 1226202 3703 South Cedar Drive November 16, 2021 Page 10 Additionally, as has been noted, the proposed building footprint is the same as what was allowed on the neighboring parcel and the requested lot cover variance is smaller. The applicant has indicated that they are willing to replace the existing beach area by the lake with a vegetated buffer consisting of native plants. Replacing sand with vegetation would improve the property’s stormwater management. Similarly, replacing approximately 626 square feet of the lakeside paver system with vegetation would also help reduce the amount of stormwater that reaches the lake. Though both of the above measures help mitigate the lot cover’s impact on the lake, the applicant is proposing removing two mature trees within the shoreland setback to accommodate the proposed building site. Staff recommends that the applicant be required to plant two overstory shade trees, minimum size of 2.5 inches in diameter, to offset the canopy cover and water quality benefits lost by removing two of the existing trees. Finally, staff is proposing that the applicant be required to utilize a pervious paver system meeting the City’s design standards for the driveway, sidewalk, and rear patio areas. As proposed, this condition would require the applicant to receive permission from the City to utilize impervious surfaces within these areas. Ordinarily, staff would not support this large of a lot cover variance; however, the applicant is reducing an existing nonconformity, shifting the location of the lot cover away from the lake, installing a vegetative buffer of native plants, and adding other vegetation between the lot cover and the lake. These factors combined with staff’s requirement that pervious pavers be used wherever viable will result in the property having improved stormwater management over what would be present if the applicant simply replaced the existing lot cover as allowed by ordinance. For these reasons, staff is recommending approval of the requested lot cover variance. Impact on Neighborhood The houses along the lakeside of South Cedar Drive are a mix of older homes and newer rebuilds with the applicant’s house being one of two remaining structures from the early 1900s. The applicant’s proposed replacement of the existing home would be in keeping with size and scale of the new construction along South Cedar Drive. The proposed tuck under configuration is consistent with what is currently present within the neighborhood as the existing homes are roughly evenly split between side loading garages and tuck under garages. The proposed home is very similar to the neighbor’s in size, scale, and configuration, and maintains approximately the same front yard, side yard, and shoreland setbacks as the neighboring structure. There is no reason to believe that the proposed home would be out of character with or negatively impact the surrounding neighborhood. RECOMMENDATION Staff recommends the Planning Commission, acting as the Board of Appeals and Adjustments, approve 34.2-foot shoreland setback, 3-foot east and west side yard setback, 1.3-foot front yard setback, and 20 percent lot cover variances, subject to the Conditions of Approval and adopt the attached Findings of Facts and Decision. 1327203 3703 South Cedar Drive November 16, 2021 Page 11 1.Demolition permits must be obtained prior to demolishing any structures on the site. 2. Building plans must provide sufficient information to verify that proposed building meets all requirements of the Minnesota State Building Code; additional comments or requirements may be required after plan review. 3. A building permit must be obtained before beginning any construction. 4. Retaining walls (if present) more than four feet high must be designed by a professional engineer and a building permit must be obtained prior to construction. 5. The applicant shall supply updated construction plans that utilize to the maximum extent possible pervious paver systems in accordance with Sec. 20-921 of City Ordinances. Areas such as the driveway, sidewalk, and patios must be considered in the design of these systems, and the use of impervious surfaces in these areas must be approved by the City. 6. A permanent 20’ native vegetated buffer must be installed along the shoreline using species native to the ecotype with permanent buffer monuments. The buffer may work around the path and stairs. The buffer must be designed and installed by an experienced professional in native shoreline restoration. Design plans must be approved by the Water Resources Administrator/Engineer. 7. The installation of any improvements on the site shall meet all applicable jurisdictional requirements, including but not limited to the Minnesota Department of Natural Resources and the Minnehaha Creek Watershed District, and all applicable permits shall be obtained prior to any site improvements. 8. Total lot cover shall not exceed 2,656 square feet. 9. The principle structure’s eaves may encroach up to 2.5 feet into the required front, side, and shoreland setbacks. 10. The applicant shall plant two overstory shade trees, minimum size 2.5” diameter. One of the trees is required in the front yard. 11. Tree protection fencing shall be installed around existing trees to be preserved prior to demolition and maintained throughout construction. ATTACHMENTS 1. Findings of Fact and Decision (Approval) 2. Variance Document (Approval) 3. Development Review Application 4. Variance Request Narrative 5. Variance Request Justification 6. Survey (Pre-existing) 7. Survey (Proposed) 8. Revised Survey 9. Proposed House Plans 10. Landscaping and Tree Preservation Memo 11. ENG/WRC Memo 12. Affidavit of Mailing g:\plan\2021 planning cases\21-25 3703 south cedar var\staff report - final.docx 1428204 1 CITY OF CHANHASSEN CARVER AND HENNEPIN COUNTIES, MINNESOTA FINDINGS OF FACT AND DECISION APPROVAL) IN RE: Application of Greg Dattilo for variances from the lot cover limit and front yard, side yard, and shoreland setbacks to facilitate constructing a single-family home on a property zoned Single-Family Residential District (RSF) – Planning Case 2021-25. On November 16, 2021, the Chanhassen Planning Commission, acting as the Board of Appeals and Adjustments, met at its regularly scheduled meeting to consider the application. The Planning Commission conducted a public hearing on the proposed variance preceded by published and mailed notice. The Board of Appeals and Adjustments makes the following: FINDINGS OF FACT 1. The property is currently zoned Single-Family Residential District (RSF). 2. The property is guided in the Chanhassen Comprehensive Plan for Residential Low Density. Lot 21, Block 4, Red Cedar Point Lake Minnewashta 3. Variance Findings – Section 20-58 of the City Code provides the following criteria for the granting of a variance: a. Variances shall only be permitted when they are in harmony with the general purposes and intent of this Chapter and when the variances are consistent with the Comprehensive Plan. Finding:The lot cover variance is a reduction to the property’s nonconforming lot cover and BMPs are being required to further mitigate the impact of the proposed lot cover. The shoreland setback variance maintains the property’s existing nonconforming shoreland setback and removes nonconforming patios from the shoreland area. The front yard setback variance replaces a nonconforming shed located six feet from the front property line and entirely within the required front yard setback with a 1.3 foot encroachment of the principle structure. The side yard setback variances are new or expanded encroachments into the required side yards; however, the proposed setbacks maintain adequate separation between the home and neighboring structures. The net result of all of these variances is a reduction of the property’s existing nonconformities. It is consistent with the intent of the Zoning Code to allow for nonconforming structures to be replaced in a manner that brings the property closer to compliance with the City Code. b.When there are practical difficulties in complying with the zoning ordinance. "Practical difficulties" as used in connection with the granting of a variance, means that the property owner proposes to use the property in a reasonable manner not permitted by this Chapter. 1529205 2 Practical difficulties include, but are not limited to, inadequate access to direct sunlight for solar energy systems. Finding:The proposed footprint of the home is reasonable and comparable to what is present on nearby similarly sized lots. The applicant does not have the ability to construct a reasonably sized home on the parcel without setback and lot cover variances. c. That the purpose of the variation is not based upon economic considerations alone. Finding: The variance request is not solely based upon economic considerations. d. The plight of the landowner is due to circumstances unique to the property not created by the landowner. Finding:The plight of the landowner is due to the property’s substandard 40-foot lot width and substandard 5,899-square foot lot size. This substandard nature of the parcel is the result of it having been plated in 1913, before the creation of the City and the adoption of a municipal Zoning Code. e. The variance, if granted will not alter the essential character of the locality. Finding: The houses along the lakeside of South Cedar Drive are a mix of older homes and newer rebuilds with the applicant’s house being one of two remaining structures from the early 1900s. The applicant’s proposed replacement of the existing home would be in keeping with size and scale of the new construction along South Cedar Drive. The proposed tuck under configuration is consistent with what is currently present within the neighborhood as the existing homes are roughly evenly split between side loading garages and tuck under garages. The proposed home is very similar to the neighbor’s in size, scale, and configuration, and maintains approximately the same front yard, side yard, and shoreland setbacks as the neighboring structure. There is no reason to believe that the proposed home would be out of character with or negatively impact the surrounding neighborhood. f. Variances shall be granted for earth-sheltered construction as defined in Minnesota Statutes Section 216C.06, subdivision 14, when in harmony with this Chapter. Finding: This does not apply to this request. 5. The planning report #2021-25, dated November 16, 2021, prepared by MacKenzie Young- Walters is incorporated herein. DECISION The Chanhassen Board of Appeals and Adjustments approves 34.2-foot shoreland setback, 3-foot east and west side yard setback, 1.3-foot front yard setback, and 20 percent lot cover variances, subject to the Conditions of Approval. 1. Demolition permits must be obtained prior to demolishing any structures on the site. 1630206 3 2. Building plans must provide sufficient information to verify that proposed building meets all requirements of the Minnesota State Building Code; additional comments or requirements may be required after plan review. 3. A building permit must be obtained before beginning any construction. 4. Retaining walls (if present) more than four feet high must be designed by a professional engineer and a building permit must be obtained prior to construction. 5. The applicant shall supply updated construction plans that utilize to the maximum extent possible pervious paver systems in accordance with Sec. 20-921 of City Ordinances. Areas such as the driveway, sidewalk, and patios must be considered in the design of these systems, and the use of impervious surfaces in these areas must be approved by the City. 6. A permanent 20-foot native vegetated buffer must be installed along the shoreline using species native to the ecotype with permanent buffer monuments. The buffer may work around the path and stairs. The buffer must be designed and installed by an experienced professional in native shoreline restoration. Design plans must be approved by the Water Resources Administrator/Engineer. 7. The installation of any improvements on the site shall meet all applicable jurisdictional requirements, including but not limited to the Minnesota Department of Natural Resources and the Minnehaha Creek Watershed District, and all applicable permits shall be obtained prior to any site improvements. 8. Total lot cover shall not exceed 2,656 square feet. 9. The principle structure’s eaves may encroach up to 2.5 feet into the required front, side, and shoreland setbacks. 10. The applicant shall plant two overstory shade trees, minimum size 2.5” diameter. One of the trees is required in the front yard. 11. Tree protection fencing shall be installed around existing trees to be preserved prior to demolition and maintained throughout construction. ADOPTED by the Chanhassen Planning Commission this 16th day of November, 2021. CITY OF CHANHASSEN BY: Steven Weick, Chairman g:\plan\2021 planning cases\21-25 3703 south cedar var\findings of fact and decision (approval).docx 1731207 1 CITY OF CHANHASSEN CARVER COUNTY, MINNESOTA VARIANCE 2021-25 1. Permit. Subject to the terms and conditions set forth herein, the City of Chanhassen hereby grants the following variance: The Chanhassen Board of Appeals and Adjustments approves 34.2-foot shoreland setback, 3-foot east and west side yard setback, 1.3-foot front yard setback, and 20 percent lot cover variances, subject to the Conditions of Approval. 2. Property. The variance is for a property situated in the City of Chanhassen, Carver County, Minnesota, and legally described as Lot 21, Block 4, Red Cedar Point Lake Minnewashta. 3. Conditions.The variance approval is subject to the following conditions: 1. Demolition permits must be obtained prior to demolishing any structures on the site. 2. Building plans must provide sufficient information to verify that proposed building meets all requirements of the Minnesota State Building Code; additional comments or requirements may be required after plan review. 3. A building permit must be obtained before beginning any construction. 4. Retaining walls (if present) more than four feet high must be designed by a professional engineer and a building permit must be obtained prior to construction. 5. The applicant shall supply updated construction plans that utilize to the maximum extent possible pervious paver systems in accordance with Sec. 20-921 of City Ordinances. Areas such as the driveway, sidewalk, and patios must be considered in the design of these systems, and the use of impervious surfaces in these areas must be approved by the City. 6. A permanent 20-foot native vegetated buffer must be installed along the shoreline using species native to the ecotype with permanent buffer monuments. The buffer may work around the path and stairs. The buffer must be designed and installed by an experienced 1832208 2 professional in native shoreline restoration. Design plans must be approved by the Water Resources Administrator/Engineer. 7. The installation of any improvements on the site shall meet all applicable jurisdictional requirements, including but not limited to the Minnesota Department of Natural Resources and the Minnehaha Creek Watershed District, and all applicable permits shall be obtained prior to any site improvements. 8. Total lot cover shall not exceed 2,656 square feet. 9. The principle structure’s eaves may encroach up to 2.5 feet into the required front, side, and shoreland setbacks. 10. The applicant shall plant two overstory shade trees, minimum size 2.5” diameter. One of the trees is required in the front yard. 11. Tree protection fencing shall be installed around existing trees to be preserved prior to demolition and maintained throughout construction. 4. Lapse. If within one (1) year of the issuance of this variance the allowed construction has not been substantially completed, this variance shall lapse. 1933209 3 Dated: November 16, 2021 CITY OF CHANHASSEN BY: SEAL)Elise Ryan, Mayor AND: Laurie Hokkanen, City Manager STATE OF MINNESOTA ) ss. COUNTY OF CARVER ) The foregoing instrument was acknowledged before me this day of , 2021 by Elise Ryan, Mayor, and Laurie Hokkanen, City Manager, of the City of Chanhassen, a Minnesota municipal corporation, on behalf of the corporation and pursuant to authority granted by its City Council. NOTARY PUBLIC DRAFTED BY: City of Chanhassen 7700 Market Boulevard P.O. Box 147 Chanhassen, MN 55317 952) 227-1100 g:\plan\2021 planning cases\21-25 3703 south cedar var\variance document 21-25.docx 2034210 CITT OT CIIAI{HASSII{ 60-Oay Revierv Oate:h-t4'4 APPLICATION FOR DEVELOPMENT REVIEW subminarDare: t0 'l( ' 21 ec oa., lofuit ll'16[[1o"," 2-B-7-l Application Type (check all that apply) Refet to tle qptwiatc Applicaton checklid fot Equi,cd subfii at inl natbr. tt'E,t fiud &qnpany dtis awic',rron) E Comprehensive Plan Amendment................-........ $600! Minor MUSA line for failing on-site sewers..... $'tOO E Conditional Use Permit (CUP) n Single-Family Residence.............-.................. $325EAllorhers....... .................... $425 E lnterim Use Permit (lUP) E ln conjunction with Single-Family Residence.. $325DAOrheIs....... ..........-......... $425 lots) Ll Metes & Bounds (2 lots)........... n Consolidate Lots. ... . . ... . ... .. .. . . .. E Lot Line Adjustment.................. fl Final Plat........ lncludes $450 escrow for attomey cosls). Addilional escrolv may be reqdred for other apdicatio.ls through the d€r€lopment contracl. E Vacation of Easements/Right<f-way (VAC)........ g300 Addattmal recordiru ,ee3 rlay appty) E Variance (VAR)..............,............................. ....... $2OO E Wetland Alteration Permit (WAP) I Single-Family Residence............................... $ 150EA[ Others....... .................. $275 Zoning Appea|.............................-........................ $iO0 n Zoning Ordinance Amendment (ZOA)................. $500 OTE: l$ren muldplo lppllcetions.rc procased cqtcu.trltty, Oro approprlate iee sidl be chlrgcd lor esch .pDllcdlon, E SuUOivision (SUB) D!Create 3 lots or less Create over 3 lots... E Rezonins (REz) E Planned Unit Development (PUD) ...,.............. g75O E Minor Amendment lo existing PUD................. $ 1OOnArOthers....... .................... $5OO Sign Plan Review................................................... $150 Site Plan Review (SPR) n Administrative ........- .......... $ 1OOECommercial/lndustrial Dislricts'...................... $5OO Plus $10 per 1,000 square feet of building area:( thousand square feet) lndude rumber of g&iE!!g employees: lndude nunber of ltry emplo)€es: n Residential Districts......................................... $5OO Plus $5 per dwelling unil ( units) E Notilication Sign (city to insral snd.emove) .......................... @ Property Owners' LiEt within 500' (city to gerErate aier preepptication meetind .............:............................ -....... $3 per address( 32 addresses) I Escrow for Recording Documents (check all that apply)......................... . ..... .-..............-..-......_.. $SO per document- tr Conoitlon"r u""F"-it - --"ift"rilui"i"-it ! i'idi;hAsreem€nr! Vacation @ Variance I WahnO eteration permit Metes & Bounds SuMivision (3 docs.) E Easements ( easements) E OeeOs' rout reE: $546.00 Description of Proposal: Applying for variances ,if granted it will alleviate the practical diffculties that are due to circumstances unique to the property and not created by me, the land owner. 3703 South Cedar Drive, Chanhassen MN, 55317 200 Section 2: Required lnformation Property Address or Location Parcel #:lot 21 block 4, Red Cedar Point Lake Minnewashta Total Acreage: Present Zoning 0.14 Wetlands Present?!ves []to Single-Family Residential Districl (RSF)Requested Zoning Not Applicable Present Land Use Desag n"1;on. Residential Low Density Requested Land Use Desig nation. Not Applicabte Existing Use of Property:Lake Cabin three season @Check box if separate narrative is attached COMTUN]TY DEVELOPMENT OEPARTMENT Planning Division - 7700 Market Boulevard Mailing Address - P.O. Box 147, Chanhassen, MN 553i7 Phone: (952) 227-1100 / Fax: (952) 227-1110 Section 't: 600 + $15 per lot 300 150 1s0 700 Legal Description: 2135211 Section 3: Properly Owner and Applicant lnformation APPLICANT OTHER THAN PROPERTY OWNER: In signing this application, l, as appticant, represent to have obtained authorization from the property owner to file this application. I agree to be bound by conditions of approval, subject only to the righl to object at the hearings on the application or during the appeal period. lf this application has not been signedby the property owner, I have attached separate documentation of full legal capacity to file the application. This appliLtion ' should be processed in my name and I am the party whom the City should contact regarding any maner pertaining tothisapplication. I will keep mysef informed of the deadlines for submission of materiat anO ttre progiess of tnS apptidtion. I furlher understand that additional fees may be charged lor consulting tees, feasibitity studies, elc. with an estimate priortoanyauthorizationtoproceedwiththestudy. I certify that the information and exhibits submitted are true and conecl. Name Contact: Phone:Address City/Statdzip Email: Contact Phone: Cell: Fax: Date Cell: Fax: Date Cell Fax Signature PROPERTY OVIINER: ln signing this application, l. as property owner, have full legal capacity to, and hereby do, aulhorize the filing of this application. I understand thal conditions of approval are binding and agree to be bound by those conditions, subject only to the right to objecl at the hearings or during the appeal periods. I will kiep myself infomed of the deadlines for submission of material and the progress of this application. I further understand that additional fees may be charged for consulting fees, feasibility sludies, etc. with an estimate prior to any authorization to proceed withthestudy. I certify that the information and exhibits submitted are true and correct. ciry/state/zip Email: Signature PROJECT ENGINEER (if applicable) Name: Fort Myers, FL. 33913 (612) 868-1066 1il 202 ( Address Contact Phone: City/Stat€/Zip Email: This application must be completed in full-andmust be accompanied by all information and plans required by applicable City Ordinance provisions. Before filing this application, refer to the appropriate Application Checj(fist and confer with the Planning DePartmenl to determine the specific ordinance and applicabE p;ocedural req uirernents and fees. A determination of completeness of lhe application shall be made within 15 business days of application submittat written notice of application deficiencies shall be mailed to the applicant within 15 busindss days of application. A Section 4: Notifi cation lnformation Who should receive copies of staff reports?'Other Contact lnlormation: Name: DaveGestachEPropertyOwnerVia: E Email! Applicant Via: EEmaitDEngineerVia: ! Email! otner Via: ! Emait I UaiteO Paper Copy E Mailed Paper Copy n Maited Paper Copy U Mailed Paper Copy Address City/Statezip Email:dave@ aulson-com INSTRUCTIONS TO APPLICANT device. PRINT FORM and deliver copy to the city for processing. Complete all necessary form fields, then select SAVE FORM to save a copy to to city along with required documents and payment. SUBMTT FORM to send a d your igital SAVE FORM PRINT FORM SUBMIT FORM Name:Greg Dattilo Address: 12248 Sussex St. 2236212 To the city of Chanhassen, Planning Commission and City Council, l'm asking for your approval of allowing my property to receive several variances. I can be reached at 612.868.1065 or email herbie@usfamily,net. My property is one of the smallest square foot areas (5,899 sq ft) of all properties on Red Cedar Point. Comparing to minimum lot size today of 15,000 square feet my property is 39% of today's requirement. The area was plotted back in 1907 with the standard 40'xLzO' lot size. Under current setbacks and codes, I would be able to build a home the size of 20.5' x 3.5'that equals 72'square feet, the size of a walk-in closet. This includes a two-car garage 20'x25' that equals 520 sq ft. that is also mandated as a requirement under sec 20-905. This defines my "practical difficulties". Currently my property does not fit the essential character of the neighborhood. My current building (cabin) was the normal size back in 1928 when the cabin was constructed. The adjacent property to the west (3705) was a twin cabin to the one I own. This cabin (3705) was torn down in 1996 and replaced with a home that now fits the charter of the neighborhood which is quite different then it was in 1928. What l'm proposing is variances that will fit today's character of Red Cedar Point much more than it currently does today. My neighbors have been gracious for more than 20 years. My understanding is my cabin does NOT have the essential character of the loca lity To bring my property into the essential character of the neighborhood it must be replaced as my neighbor did in 1995. l'm asking for the lakeside of the new home to be the same distance it currently is today from the lake. This will need to have a variance approved (same distance as my neighbor 3705) our homes currently line up and I would like this to continue. Description of variance request 2337213 The width of the new home would be 25' the same as my neighbor, except I will not cantilever an additional 2'on each side and front of my new home as my neighbor has done. This variance would be 3' on each side compared to my neighbor who received 5' variances on each side. The home would start at the current distance from lake, extend 56'same as neighbor. A 5' variance from South Cedar Road to front of garage would be necessary same as my neighbor. Currently hard cover is at 50%. My proposal is to improve green space by eliminating the current paver surfaces of 1,110 square feet. I will be adding 934 square feet of living space. This is a net gain of 176 square feet of green space or additional 6%. I believe I have come to you in good faith and have shown that if the variances are granted it will alleviate the practical difficulties that are due to circumstances unique to the property and not created by me, the land owner. Sincerely Greg Dattilo 3703 S Cedar Drive Chanhassen MN 55317 herbie@ usfamily.net 2438214 I I v71 ld r ,; lI I r,.-'i ,Il7 r H h .t. I I I F,\fr h b a-.! L r L:- ZI! I 2539215 Greg Dattilo 3703 S Cedar Drive Chanhassen MN 55317 herbie@usfamily.net Justification of the Variance Request A. Variances shall only be permitted when they are in harmony, with the general purposes and intent of this chapter and are consistent with the comprehensive plan. By replacing my three season cabin built in 1928 with my new lake home, it will justi! this requirernent that will bring harmony and consistency with the neighborhood. B. The second justification is when there are practical difficulties in complying with the zoning ordinance. I propose that the property is to be used in a reasonable manner not permitted by this chapter due to practical difficulties as stated above. l. My property size 5899 sq. ft. which is only 39Vo of today's minimum lot requirement of 15,000sq.ft. 2. With current setbacks and codes I would only be able to build a home of less than 100sq.ft, with a requirement ofa two car garage at 20x26. C. The third qualification to meet the justification ofthe variance is that the variance or variation is not based upon economic considerations alone. D. The fourth justification to qualifo for a variance is due to the circumstances unique to the property and not created by the landowner. As stated above I have one ofthe smallest lots ofall lots on Red Cedar point. This lot size restricts any normal size homes being built today to be built without being granted variances. E. The fifth justification to qualifu for a variance is that it will not alter the central character of the locality. The current three season cabin today does not fit the essential character of the locality and this is why variances should be granted so the new home will fit the essential character of the locality. 2640216 2741217 2842218 PDF created with pdfFactory trial version www.pdffactory.com 2943219 4 C) I 1 qo oz 6 l rrt 6 toz t EEm E I I T 289F1 AUTUNN DES/GN DATTILO l, 4 qo oz r-T:::- T---1---:l 3044220 E a I 9 a o I AUTUNN DESIGN (-;] 249F1 DATIlLO IE- IE-II- I 6 J I l oo4 o z 3145221 I q o- o z 3ESi9i?, I o o I: i rg E AUTUNN DESIGN 2895- r DATTILO IE-rr- E- I l o r II I I 3246222 MEMORANDUM TO:MacKenzie Walters, Planner I, AICP FROM:Jill Sinclair, Environmental Resources Specialist DATE:November 16, 2021 SUBJ:Variance for lot cover, 3703 South Cedar Drive The applicant has a valuable bur oak as well as a mature ash on the property that will be impacted by the construction of a new home. The trees are within the shoreland setback and provide water quality benefits to Lake Minnewashta. The applicant is proposing to remove these trees for construction. Staff recommends that the applicant be required to replace two trees on the property for no net loss of canopy cover. The applicant is proposing to preserve the two other trees on the lot, between the home and the lake. These trees will be required to be protected with tree preservation fencing prior to demolition and throughout the construction process. Of the two trees required to be planted, one shall be located in the front yard. Recommendations: 1. The applicant shall plant two overstory shade trees, minimum size 2.5” diameter. One of the trees is required in the front yard. 2. Tree protection fencing shall be installed around existing trees to be preserved prior to demolition and maintained throughout construction. 3347223 Memorandum To: MacKenzie Young-Walters, Associate Planner From: Erik Henricksen, Project Engineer CC: Charles Howley, Public Works Director/City Engineer George Bender, Assistant City Engineer Date: 10/25/2021 Re: Variance Review at 3703 South Cedar Drive – Planning Case 2021-25 The Engineering Department has reviewed the variance submittal for 3703 South Cedar Drive. These comments are divided into two categories: general comments and proposed conditions. General comments are informational points to guide the applicant in the proper planning of public works infrastructure for this project, to inform the applicant of possible extraordinary issues and/or to provide the basis for findings. Proposed conditions are requirements that Engineering recommends be formally imposed on the application in the final order. Note that references to the “City Standards” herein refer to the City of Chanhassen Standard Specifications and Detail Plates. General Comments/Findings 1. Any and all utility and transportation plans submitted with this application have been reviewed only for the purpose of determining the feasibility of providing utility and transportation facilities for the project. A recommendation of variance approval does not constitute final approval of details, including but not limited to alignments, materials and points of access, utility connections or discharge, that are depicted or suggested in the application. The applicant is required to submit detailed construction drawings for the project, as applicable. The City of Chanhassen Engineering and Public Works Departments will review plans, in detail, when they are submitted and approve, reject or require modifications to the plans or drawings based upon conformance with City Standards, the Chanhassen Code of Ordinances and the professional engineering judgment of the City Engineer. 3448224 2. It is the opinion of the Engineering Department that the proposed variance can be developed in near accordance with the requirements of the Chanhassen Code of Ordinances (as it pertains to Engineering and Public Works requirements) and City Standards, provided it fully addresses the comments and conditions contained herein, and can be approved. 3. The applicant is requesting a number of variances to facilitate the construction of a single family home at 3703 South Cedar Drive (Site). These include lot cover, front yard setback, side yard setback, and shoreland setback variances. Engineering and Public Works has no comment regarding the front yard and side yard setback variances. There are no public drainage and utility easements currently on the property and none are being requested by staff in concert with the variance requests. 4. The applicant is proposing a lot coverage variance. The Site currently has 2,948 SF of hardcover on the 5,899 SF property, or 50% lot coverage of the Site. The proposed change to the Site’s total hardcover based on the provided submittals would provide a reduction of 2.4%, or 137 SF , for a total proposed lot cover of 2,811 SF, or 47.6%. Even though there is a reduction of total hard cover the Site is still above the allowable lot coverage (25%) under Ordinance and would require a variance. The proposed reduction of lot coverage by 137 SF alone would not result in a measurable water quality benefit to the riparian Site, which is directly adjacent to Lake Minnewashta. Additional measures must be taken to improve stormwater management, reduce impervious surfaces on the Site, and to mitigate the amount of stormwater runoff being diverted into Lake Minnewashta. While it may not be possible to achieve a total of 25% lot coverage on the Site, the applicant shall submit updated plans that illustrate the use of pervious paver systems, in accordance with Ordinances (Sec. 20-921), to the maximum extent possible. The use of pervious paver systems will help reestablish a more natural hydrologic balance, reduce runoff volume associated with impervious surfaces, all while providing water quality treatment by reducing the concentration of pollutants. Areas such as the driveway, sidewalk, and patios should be constructed with pervious paver systems (an approximate 1046 SF reduction of the proposed impervious surfaces). Additionally, a permanent 20’ native vegetated buffer must be installed along the shoreline. The native vegetated buffer will provide additional water quality protections through filtering pollutants, nutrients and sediments while helping to improve ecosystem health and function. See proposed conditions 1 and 2. 5. The applicant is proposing a shoreland setback variance. The proposed variance request is to maintain the existing 40.8 foot structure setback from the ordinary high water level of Lake Minnewashta. The required setback per Ordinance from the ordinary high water level in the Shoreland Management District is 75 feet. The applicant justifies that if there were no variance approved for the shoreland setback that the buildable home area would equate to about a 75 square foot home, which staff agrees would be a 3549225 constrained area. As many of the lots in the surrounding neighborhood have similar constraints, the City has granted shoreland setback variances to allow for a more reasonable use of the property. As such, staff recommends approval of the proposed 40.8 foot structure setback as long as proposed conditions 1 and 2 are adhered to in order to mitigate stormwater runoff being diverted into Lake Minnewashta while improving the overall health of the ecosystem and function. Lastly, while Engineering and Public Works is recommending approval of the discussed variances in association with the proposed conditions, any and all improvements on the Site must meet applicable jurisdictional requirements. See proposed condition 3. Proposed Conditions 1. The applicant shall supply updated construction plans that utilize to the maximum extent possible the use of pervious paver systems in accordance with Sec. 20-921 of City Ordinances. Areas such as the driveway, sidewalk, and patios must be considered in the design of these systems. 2. A permanent 20’ native vegetated buffer must be installed along the shoreline using species native to the ecotype with permanent buffer monuments. The buffer may work around the path and stairs. The buffer must be designed and installed by an experienced professional in native shoreline restoration. Design plans must be approved by the Water Resources Administrator/Engineer. 3. The installation of any improvements on the Site shall meet all applicable jurisdictional requirements, including but not limited to the Minnesota Department of Natural Resources and the Minnehaha Creek Watershed District, and all applicable permits shall be obtained prior to any site improvements. 3650226 CITY OF CHANHASSEN AFFIDAVIT OF MAILING NOTICE STATE OF MINNESOTA) ss. COUNTYOFCARVER ) L.-'. Kim T eu ty Cl Subscribed and s thisl$ day of wo to before me JEAII t{oaary Notary Public 2021. ttOrrffor att.hrr ,*a I, Kim T. Meuwissen, being first duly swom, on oath deposes that she is and was on November 4,2021, the duly qualified and acting City Clerk ofthe City of Chanhassen, Minnesota; that on said date she caused to be mailed a copy of the attached notice of Public Hearing to consider a request for lot cover, setback (front, side, and shoreland), and other variances for construction of a single-family home on property located at 3703 South Cedar Drive, Planning case No. 2021a5. Applicanu Property owner: Greg Datillo. Zoned single' Family Residential (RSF") to the persons named on attached Exhibit "A", by enclosing a copy of said notice in an envelope addressed to such owner, and depositing the envelopes addressed to all such owners in the United States mail with postage fully prepaid thereon; that the names and addresses ofsuch owners were those appearing as such by the records ofthe County Treasurer, Carver County, Minnesota and by other appropriate records. 3751227 Disclaim€r This map is nerther a legally recorded map nor a survey and is not intended to be used as one. This map is a @mpilaiion of records, information and data located in various c,ty, county, state and federal offces and other sour@s regarding lhe area shown and is to be us€d for reference purposes only The Cily does not wanant that the Geo96phic lnformatjon System (GlS) Data used lo prepare this map are enor free, and the Caty does not represent tiat the GIS Data can be used for navigatlonal, tracking or any other purpose requidng exacting measurement of distance or darection or precision an lhe depiction of geographic features. The preceding disclaimer is provided pursuanl to Minnesota Statutes 5466.03, Subd. 21 (2000). and the user of this map acknowledges that the City shall not be liable for any damages, and expressly waives all claims, and agrees to defencl, indemnify, and hold hamless the City from any and all claims bought by User, its employees or agents, or third parties Mich arise out of the us€/s access or use of data provided. Disclaimer This map is neither a legally recorded map nor a survey and is not intended to be used as one. This map is a compilation of records, infomation and data loceted io various clty' county, state and federal offces and other sources regarding the area shown, and is to be used foa reference purposes only The City does nol wanant that the Geographic lniormation System (GlS) Data used to prepare this map are enor free, and the City cloes not aepresent thai the GIS Data can be used lor navigatlonal, tracking or any other purpose requidng exacting measurcment of distance or directlon or precjsion in the depiction of geographic features. The precediog disclaimer is provided pu6uant to Minnesota Statutes 5466.03. Subd. 21 (2OOO). and the user of this map acknowledges that the City shall not be liable for any damages, and expressly waives all claims, and agrees to deiend, indemnify, and hold hamless the City kom any and all daims brought by User its employees or agents, or thid paflies which anse out of lhe useis access or use of data provided. TAX_NAMED TAX_ADD_LI D TAX ADD L2r Next RecordxTAX_NAI ED TAX_ADD_L1D TAX ADD L2D Subject Parcel Subiect Parcel i. il LLt t rl J.* A\,'l l- t ;Y! a1 J ri 3852228 o t,: t, oo9zir 3Bfo ir@_9o; O= 3o=-=, oo!rO- 9,8 oo* GI otD5 t, o8z,o! 6'! ro? o5'rGttoEo6'3- a'E 9. =' oGl oo ET GI aai€egE*;igEfFf;gE t:ceaaEst;s€E?eais EiiEEiEEllEiEEEi EiiiEiEiiiiiiiEE agB=e iBiis g:g q d f 3 I zm a(o co o 6o a. o o3I o) fo o ox foe o)- ol Jo 3oo*. 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I E^E = .8lfri g E =2 6E=leez uEE;:==5_ e=iz gE ?AE=_tr9 -oz = Ey EE;EEeE=EE;;egIEel=EEEeEiqEaEcEEE 4054230 Walters, MacKenzie From: Sent: To: Cc: Follow Up Flag: Flag Status: Subject: Steve Gunther < stgunther@gmail.com> Tuesday, November 16,2021 1 1:53 AM Walters, MacKenzie Greg and Joan Dattilo 3703 South Cedar Drive variance requests Follow up Flagged Mackenzie. I am writing this email in support ofthe Variance Requests for 3703 South Cedar Drive in Chanhasssn. I am quite familiar with the property and the homes on and around it, the size of the lot and the tiny home that could be built if the current zoning were applied. What has been requested is reasonable and consistent with the neighborhood. As the president ofthe Lake Milnewashta Preservation Association, I appreciate the reduction in hardcover of the proposed plan and support the County's recommendations to place a 20 foot native vegetation buffer on the lakeside to mitigate stormwater runoff. The LMPA offers technical and financial assistance to residents in our lakeshed for this purpose. LMPA board member Kevin Zahler is a trained Master Water Steward and offers his services without charge to residents to help explain and plan this kind of action. He can be reached at 612-61 8- 9817 or via email at kizahler(dhotmail.com. Thank you stgunther@lsnail.com 612-859-3729 Citizen I lnvestor I Multisports Enthusiast CAUTION: This email originated from outside of the organization. Do not click links or open attachments unless you recognize the sender and know the content is safe. 1 4155231 CHANHASSEN PLANNING COMMISSION REGULAR MEETING MINUTES FEBRUARY 15, 2022 CALL TO ORDER: Chairman von Oven called the meeting to order at 7:00 p.m. MEMBERS PRESENT: Laura Skistad, Eric Noyes, Mark von Oven, Erik Johnson, and Kelsey Alto. MEMBERS ABSENT: Doug Reeder, Steven Weick. STAFF PRESENT: Kate Aanenson, Community Development Director; MacKenzie Young- Walters, Associate Planner PUBLIC PRESENT: Grant Dattilo 3703 South Cedar Drive (on behalf of the applicant) Chairman von Oven reviewed guidelines for conducting the Planning Commission meeting. PUBLIC HEARING: 3703 SOUTH CEDAR DRIVE VARIANCE Associate Planner Young-Walters presented the staff report on this item, noting this first appeared before the Planning Commission in November. At the time it was tabled, the Applicant and staff have worked together to address some of the Commissioner’s comments. The variance is for front yard, side yard, and shoreland setbacks, and lot cover maximum for construction of a single-family house located at 3703 South Cedar Drive. The Applicant is proposing to demolish an existing cabin and build a single-family home on a substandard lot. In November, the Applicant expressed concern with a staff condition to create a 20-foot wide vegetative buffer across the width of the parcel, noting that there is a beach area and a very small side yard. The Planning Commission directed staff and the Applicant to work together to develop a compromise addressing the City’s concern on the impact to the lake’s water quality while preserving as much of the Applicant’s beach as possible. Working with the Water Resources Engineer, they developed a solution that meets the minimum intent of the surface water management plan and gives the Applicant as much use of the yard space as possible. Mr. Young-Walters showed the proposed plan on screen with the 400-square foot buffer with a French drain system for runoff. Grant Dattilo, son of the Applicants, noted his parents were unable to attend the meeting and asked him to tell the Commissioners that they agree with what the City is proposing and thanks the City Staff for working with them to make it happen. Chairman von Oven opened the public hearing. 232 Planning Commission Minutes – February 15, 2022 2 Chairman von Oven closed the public hearing. Commissioner Noyes moved, Commissioner Skistad seconded that the Chanhassen Board of appeals and adjustments approves 34.2-foot shoreland setback, 3-foot east and west side yard setback, 1.3-foot front yard setback, and 19 percent lot cover variances, subject to the Conditions of Approval, and adopts the attached Findings of Fact and Decision. All voted in favor and the motion carried unanimously with a vote of 5 to 0. PUBLIC HEARING: DISCUSSION OF PROPOSED CODE AMENDMENT Mr. Young-Walters stated this is an amendment for the variance timeline. Staff is proposing an amendment to require a 500-foot mailed notification for appeals of administrative decisions and to clarify the public hearing timeline for appeals and variances. City Code requires a mailed notice to properties within 500 feet of a property requesting a variance but does not have a similar requirement when a property appeals an administrative decision or code enforcement action. The City Statute does not align with the State Statute in terms of review time for a zoning request. Mr. Young-Walters clarified that this request would address both of those. Staff wants to be sure individuals who may be impacted by these matters are notified and have a chance to come to a public hearing and speak. There is a statutory 60-day review period and City Code has a 45-day clause to set up a hearing with the Applicant; State law allows extension of up to 60 days and is not reflected in City Code. This would make it clear that the City has that authority and increase transparency. Chairman von Oven opened the public hearing. Chairman von Oven closed the public hearing. Commissioner Alto moved, Commissioner Johnson seconded that the Chanhassen Planning Commission recommends that the City Council adopt the proposed ordinance amending Chapter 20 concerning appeal notification and public hearing timeline requirements. All voted in favor and the motion carried unanimously with a vote of 5 to 0. APPROVAL OF MINUTES: APPROVAL OF PLANNING COMMISSION MINUTES DATED JANUARY 4, 2022 Commissioner Noyes noted the summary minutes of the Planning Commission meeting dated January 4, 2022 as presented. ADMINISTRATIVE PRESENTATIONS: Community Development Director Aanenson stated City Code says that by the end of March the Planning Commission must review the Annual Report. She gave a presentation showing the 2021 year-in-review and a look forward to what is coming up in 2022 for the City. She shared that the City had record building permit activity, lots of redevelopment and remodeling, and inspections. She walked through planning cases by type, subdivisions, site plan reviews, and population numbers. Ms. Aanenson stated 2022 work projects anticipate 2% residential growth, some development reviews, the Avienda Lifestyle Center, revisions of the wetland ordinance and 233 L X Y 0 q AS:),„ CITY OF ClIANITASSEN H Chanhassen is a Community for Life- Providing for Today and Planning for Tomorrow February 22, 2022 Greg Dattilo 12248 Sussex Street Fort Myers, FL 33913 Re: Approval Letter—3703 South Cedar Drive, Excelsior, MN 55331 Request for Variances, Planning Case No. 2021-25 Dear Mr. Dattilo: This letter is to confirm that on February 15, 2022, the Chanhassen Planning Commission, acting as the Board of Appeals and Adjustments, approved 34.2-foot shoreland setback, 3-foot east and west side yard setback, 1.3-foot front yard setback, and 19 percent lot cover variances to construct a new home, subject to the following conditions: 1. Demolition permits must be obtained prior to demolishing any structures on the site. 2. Building plans must provide sufficient information to verify that the proposed building meets all requirements of the Minnesota State Building Code; additional comments or requirements may be required after plan review. 3. A building permit must be obtained before beginning any construction. 4. Retaining walls (if present) more than four feet high must be designed by a professional engineer and a building permit must be obtained prior to construction. 5. The applicant shall supply updated construction plans that utilize to the maximum extent possible pervious paver systems in accordance with Sec. 20-921 of City Ordinances. Areas such as the driveway, sidewalk, and patios must be considered in the design of these systems, and the use of impervious surfaces in these areas must be approved by the City. 6. A 400-square foot permanent native vegetated buffer using species native to the ecotype with permanent buffer monuments shall be installed. The buffer configuration shall substantially align with what is shown in the survey dated December 23, 2022. A French drain shall be installed to convey drainage from the east roof to the western section of the buffer. The buffer and rain garden must be designed and installed by an experienced shoreline restoration specialist. Design plans must be approved by the Water Resources Engineer. 7. An updated survey showing the location of the French drain, final configuration of the buffer and rain garden, and the location of any proposed pervious pavers must be submitted to the City as part of the building permit application. PH 952.227.1100 • www.ci.chanhassen.mn.us • FX 952.227.1110 7700 MARKET BOULEVARD • PO BOX 147 •CHANHASSEN • MINNESOTA 55317 234 3703 South Cedar Drive Variance February 22, 2022 Page 2 8. The installation of any improvements on the site shall meet all applicable jurisdictional requirements, including but not limited to the Minnesota Department of Natural Resources and the Minnehaha Creek Watershed District, and all applicable permits shall be obtained prior to any site improvements. 9. Total lot cover shall not exceed 2,600 square feet. 10. The principle structure's eaves may encroach up to 2.5 feet into the required front, side, and shoreland setbacks. 11. The applicant shall plant two overstory shade trees, minimum size 2.5"diameter. One of the trees is required in the front yard. 12. Tree protection fencing shall be installed around existing trees to be preserved prior to demolition and maintained throughout construction. Please be aware that approval of a variance is not approval to begin demolition, construction, or grading activities and that permits are required before engaging in any of the aforementioned. If you have any questions or need additional information, please contact me (952)227-1132 or mwalters@ci.chanhassen.mn.us. Sincerely, MacKenzie Young-Walters, AICP Associate Planner g:lplan1202I planning cases12I-25 3703 south cedar var\approval Ietter.docx 235 1 CITY OF CHANHASSEN CARVER COUNTY, MINNESOTA EXTENSION OF VARIANCE 2021-25 1. Permit. As authorized by Section 20-57(c)(2) of the Chanhassen City Code, the City Council approves the extension ofthe termination date of Variance 2021-25, Document Number T226546, from February 15, 2023 until September 30, 2023. 2. Property. The variance extension is for a property situated in the City of Chanhassen, Carver County, Minnesota, and legally described as: Lot 21, Block 4, Red Cedar Point Lake Minnewashta 236 2 Dated: February 13, 2023 CITY OF CHANHASSEN BY: (SEAL)Elise Ryan, Mayor AND: Laurie Hokkanen, City Manager STATE OF MINNESOTA ) (ss. COUNTY OF CARVER ) The foregoing instrument was acknowledged before me this day of , 2023 by Elise Ryan, Mayor, and Laurie Hokkanen, City Manager, of the City of Chanhassen, a Minnesota municipal corporation, on behalf of the corporation and pursuant to authority granted by its City Council. NOTARY PUBLIC DRAFTED BY: City of Chanhassen 7700 Market Boulevard P.O. Box 147 Chanhassen, MN 55317 (952) 227-1100 g:\plan\2021 planning cases\21-25 3703 south cedar var\variance extension document 21-25.docx 237 City Council Item February 13, 2023 Item Approve Purchase, Park Equipment Replacement Schedule for South Lotus Lake Park and Sugarbush Park File No.Item No: D.6 Agenda Section CONSENT AGENDA Prepared By Adam Beers, Park Superintendent Reviewed By Laurie Hokkanen SUGGESTED ACTION "The Chanhassen City Council approves the 2023 Park Equipment Replacement Schedule and approves the quotes to Minnesota Wisconsin Playground for $68,000 and Northland Recreation for $78,000 for playground equipment at South Lotus Lake Park and Sugarbush Park." Motion Type Simple Majority Vote of members present Strategic Priority Asset Management SUMMARY This year's park and trail capital improvement program contains $170,000 for a variety of work to be completed as a part of the Park Equipment Replacement Schedule. Funds for the project have been distributed equally between South Lotus Lake Park and Sugarbush Park for the purchase and installation of new playground equipment, engineered wood fiber, and associated restoration costs. Four companies were selected to participate in the RFP process providing playground equipment designs. Vendors were selected based on past performance and equipment quality. Costs include supervised installation from vendor representatives and factory warranty on equipment. An online workshop was available for residents to vote on a preferred playground design for both South Lotus Lake Park and Sugarbush Park. Online voting was available January 4-15 using the Civic Engagements Module on the city's website. There were more than 750 engagements with the poll and 482 residents shared their preference. 238 Attached is a debrief of all engagements across all the different social media platforms, playground designs, quotes, and CIP sheet for the project. BACKGROUND DISCUSSION BUDGET RECOMMENDATION On January 24th, 2023 the Park and Recreation Commission unanimously recommended that the City Council approve the 2023 Park Equipment Replacement Schedule quotes to Minnesota Wisconsin Playground for $68,000 for playground equipment at South Lotus Lake Park, and Northland Recreation for $78,000 for playground equipment at Sugarbush Park. Funds for the project are included in the 2023 Capital Improvement Program. ATTACHMENTS South Lotus Lake and Sugarbush Poll Debrief South Lotus Lake Park Playground Renderings Quote C - South Lotus Lake Park D11531L Quote M - South Lotus Lake Park - D11531L Sugarbush Park - 2D & 3D Renderings - Little Tikes Commercial & Northland Recreation Quote, Ipema ASTM F1487-21 Certificate of Compliance, and Warranty - Sugarbush Park - Little Tikes Commercial Park Renovation 2023 CIP Sheet 239 South Lotus Lake & Sugarbush Park Playground Equipment Debrief Online Poll Two online polls were created on our website, running from January 4-January 15. The polls received 482 votes. Below is the breakout of how many votes were received online each day and a graph of the different park playground equipment options. South Lotus Lake Park Total Voted Answers: 185 South Lotus Lake Park Equipment Poll Results South Lotus Lake Park Voting Details 240 Sugarbush Park Total Voted Answers: 297 Sugarbush Park Equipment Poll Results Sugarbush Park Voting Details 241 Social Media Over the course of two weeks, the communications team created a series of different posts and provided updates to communicate to Chanhassen residents. Facebook and Twitter We only have two categories of information, even though we technically posted four times. Because the Parks page posted it and the city page shared it, FB records all the analytics in the original post. So these numbers reflect both posts on the same day. January 4, 2023 Facebook Post Highlights • Reached 3,450 People • 750 Engagements • 6 Reactions • 14 Comments • 13 Shares • 51 Likes • 127 Photo Views • 317 Link Clicks • 666 Post Clicks January 4, 2023 Facebook Post Highlights • Reached 1,184 People • 82 Engagements • 2 Shares • 7 Likes • 13 Photo Views • 39 Link Clicks • 73 Post Clicks January 4, 2023 Twitter Post Highlights • 416 Impressions • 40 Engagements • 37 Link Clicks January 4, 2023 Twitter Post Highlights • 359 Impressions • 26 Engagements • 16 Link Clicks 242 Plan D11531L Chanhassen, MNSouth Lotus Lake Park 243 Plan D11531L Chanhassen, MNSouth Lotus Lake Park 244 Plan D11531L Chanhassen, MNSouth Lotus Lake Park 245 City of Chanhassen Attn: Jerry Ruegemer 7700 Market Blvd Chanhassen, MN 55317 Phone: 952-227-1121 Ship to Zip 55317 Quantity Part #Description 1 INSTALL Install - Consult Installation Total $1,923.34 Comments Customer is responsible for demolition of existing equipment and safety surface Customer is responsible for excavation and site preparation Customer is responsible to accept delivery of play equipment Installation by Customer with on site consultant Safety surface to be provided and installed by customer This quotation is subject to current Minnesota/Wisconsin Playground (MWP) policies as well as the following terms and conditions. Our quotation is based on shipment of all items at one time to a single destination, unless noted, and changes are subject to price adjustment. Purchases in excess of $1,000.00 to be supported by your written purchase order made out to Minnesota/Wisconsin Playground. Each quote is handled on a per order/project basis. Unless a long-term agreement is in place between purchaser and MWP, terms and conditions of this quotation shall be as outlined herein with no other requirements applicable. Indemnification; Owner/Owner's Representative will indemnify and hold Minnesota Playground, Inc., dba, Minnesota Wisconsin Playground (MWP), harmless for all claims, damages and related costs, including reasonable legal fees and costs, arising out of Owner/Owner's Representative's negligence or noncompliance with any of its commitments under this document. MWP will indemnify and hold Owner/Owner's Representative harmless for all claims, damages and related costs, including reasonable legal fees and costs, arising out of MWP's negligence or noncompliance with any of its commitments under this document. Excusable Delays/Additional Costs: MWP, and/or its affiliates, shall be liable for default unless delay of performance, whether supplying materials only or including installation in accordance with our project scope, is caused by an occurrence beyond reasonable control of MWP, and/or its affiliates, such as, but not limited to, acts of Superior Force or the public enemy, acts of Government in either its sovereign or contractual capacity, fire, floods, epidemics, quarantine restrictions, strikes, unusually severe weather, delays of common carriers (for transportation of goods whether raw materials or finished product) and attainability of raw materials. Such events resulting in additional costs are not included in quoted amounts and shall be the responsibility of the Owner/Owner's Representative. Any additional costs shall be provided in writing for purchaser's records and shall be due upon payment of invoice. This quotation is subject to polices in the current Gametime Park and Playground catalog and the following terms and conditions. Our quotation is based on shipment of all items at one time to a single destination, unless noted, and changes are subject to price adjustment. Purchases in excess of $1,000.00 to be supported by your written purchase order made out to Gametime, c/o Minnesota/Wisconsin Playground. Each quote is handled on a per order/project basis. Unless a long-term agreement is in place between purchaser and GameTime, terms and conditions of this quotation shall be as outlined herein with no other requirements applicable. Pricing: f.o.b. factory, firm for 15 days from date of quotation. If placing an order after expiration of quote, please contact our office for updated pricing. A tax-exempt certificate is needed at time of order entry for all orders whether from tax-supported government agencies or not. Sales tax, if applicable, will be added at time of invoice unless a tax exempt certificate is provided at time of order entry. Minnesota / Wisconsin Playground 5101 Highway 55, Suite 6000 Golden Valley, Minnesota 55422 Ph. 800-622-5425 | 763-546-7787 Fax 763-546-5050 | dan@mnwiplay.com CONSULTANT: DAN LANES 12/27/2022 Quote # 103324-01-03 C - South Lotus Lake Park - Chanhassen, MN - D11531L Page 1 of 4 246 Payment terms: net 30 days for tax supported governmental agencies. Should this quotation be forwarded to an agency not listed on this quote, credit terms, as well as other terms and conditions herein, may be need to be altered. For instance, non-tax supported organization purchasing any or all products and/or services quoted herein may require full payment for that amount due at time of order entry. Remaining balance owed by tax supported agency, if any, shall still be net 30 days. A 1.5% per month finance charge will be imposed on all past due accounts. Equipment shall be invoiced separately from other services and shall be payable in advance of those services and project completion. Retainage not accepted. Unless already on file, please include a tax exempt certificate upon order entry whether a tax supported government agency or other. Wet Site Conditions: installation areas located near wetlands, where a high water table exists or in any environment that produces excessive moisture will require additional planning prior to installation of your project. Unless excessively wet conditions have been conveyed prior to installation quote and accounted for in some manner, your installation will not proceed. Ideal dry conditions need to be present to begin, and complete, your project as quoted. Minnesota / Wisconsin Playground 5101 Highway 55, Suite 6000 Golden Valley, Minnesota 55422 Ph. 800-622-5425 | 763-546-7787 Fax 763-546-5050 | dan@mnwiplay.com CONSULTANT: DAN LANES 12/27/2022 Quote # 103324-01-03 C - South Lotus Lake Park - Chanhassen, MN - D11531L Page 2 of 4 247 Consult Project Scope: Please note, consult is based on site conditions that have been conveyed to our organization by the Owner/Owner's Representative and ideal conditions existing for a timely completion of your project as quoted. Unless addressed prior to this quote being issued or specifically mentioned herein, any issues that arise impeding the progress/completion of your project as quoted will result in additional charges. Weather can change project scheduling in many ways. Take rain for an example. Day, or days, before rain... If weather forecasts show a high percentage chance for rain that will affect the site conditions, a postponement may be in order. Digging holes, laying certain surfacing materials, etc., are greatly affected by weather conditions and work may not begin/continue due to weather forecasts. There are the rain days themselves, which if heavy enough rainfall occurs, makes a site unworkable. Day, or days, after rain... Drying time will be needed after rain and the number of days needed will vary depending on amount of precipitation received. One actual rain day may equal multiple delay days depending on work scheduled to be done. + CONSULT INCLUSIONS + + One mobilization + One consultant, one eight-hour day (If more time is required, additional charges will be applicable.) + Consultant to supervise assembly of equipment as outlined in quote #103324-01-02 and as shown on drawing #D11531L + Consult to occur the day after footing holes are dug - if two trips (mobilizations) are required, additional charges will be applicable + Standard insurance offerings for consultant only + Standard warranty offerings for product only + Standard industry accepted labor wages for consultant only * VOLUNTEER RESPONSIBILITY DAY OF BUILD (CONSULT EXCLUSIONS) * Unpacking of play equipment * Disposal of packing materials * Assembly of play equipment * Supply concrete for footings as needed * Pouring of concrete for footings (Should time be limited due to assembly of equipment and concrete not be poured day of volunteer build, consultant will review concrete needs, specifically pouring of concrete, with volunteers prior to consultant's departure.) * Supply of safety surfacing * Installation of safety surfacing (Consultant will not be a part of safety surfacing as this material will be the responsibility of the Owner/Owner's Representative.) * Construction tape/temporary bracing (as needed) * Site security - OTHER EXCLUSIONS - - Clear access path up to and into play area for installation equipment (minimum of 8-foot wide, includes but not limited to gates, walkways, driveways, etc.) - Staging area for materials and installation equipment, trailers, etc. - Unobstructed space for maneuvering installation equipment as well as performing work - Security fencing of any type - If fencing is in place (by others), ability to unlock fencing is to be provided to our office a minimum of one week prior to our start - Accepting, unloading and storage of order(s)/shipment(s) prior to installation - Public utility locates only - Private utility locates such as, but not limited to, irrigation, fiber optics, private lighting, etc. - Marking and digging of footings holes to accept direct embedment supports as needed - Setting depth of footing holes and placing blocks in bottom of footing holes with transit. - Sitework of any kind such as, but not limited to, grading (play area to have max slope of 1%), site restoration, drainage, etc. - Removal of existing play equipment, border, safety surfacing, etc. - Backfill material and compaction of backfill after removal of existing items (for footing holes as an example) that leave voids in area (marking and digging of new footing holes based on workable site) - Digging in compacted sub-surfaces, rock, hard pan, tree roots, unstable soil conditions, etc. - Restoration of compacted sub-surfaces for playground surfacings such as, but not limited to, poured-in-place rubber, rubber tiles, artificial turf, Minnesota / Wisconsin Playground 5101 Highway 55, Suite 6000 Golden Valley, Minnesota 55422 Ph. 800-622-5425 | 763-546-7787 Fax 763-546-5050 | dan@mnwiplay.com CONSULTANT: DAN LANES 12/27/2022 Quote # 103324-01-03 C - South Lotus Lake Park - Chanhassen, MN - D11531L Page 3 of 4 248 etc. - Digging/maneuvering in sand, pea gravel, mud, etc., whether along access path, staging area or within the play area - Offsite removal of spoils from footing holes (can be stockpiled near play area for owner/owner's representative removal or spread within play area) - Disposal of packing material by volunteers (can be deposited in owner/owner's representative onsite dumpster or stockpiled for removal by others) - Playground safety surfacing - Border to help contain safety surfacing - Removal of temporary braces, caution/construction tape, etc. (Can be removed and disposed of after concrete has cured.) - Bonding of any type - Permits of any kind - Prevailing, Davis Bacon, Union, or similar, wages - Restroom facilities, see below for specifics Please provide access to restrooms. Should use of site facilities not be available, temporary/portable restrooms and/or washing stations will need to be brought on site. These temporary facilities should be removed once volunteer build has been completed. Should volunteer build occur over a weekend or during non-standard business hours, please provide a site contact and more than one telephone number to reach this person in case an urgent matter arises requiring immediate attention. (Name) _________________________________________________ (Cell) ___________________________________________________ (Other Telephone Number) ____________________________ Exclusions: unless specifically included, this quotation excludes all site work and landscaping; removal of existing equipment; acceptance of equipment and off-loading; storage of goods prior to installation; equipment assembly and installation; safety surfacing; borders and drainage provisions. Order Information: Bill To: _____________________________________________ Ship To: _____________________________ Company: ___________________________________________ Project Name: ________________________ Attn: ________________________________________________ Attn: _____________________________ Address: _____________________________________________ Address: ____________________________ City, State, Zip: _______________________________________ City, State, Zip: ______________________ Contact: ______________________________________________ Contact: ____________________________ Tel: _________________________________________________ Tel: ________________________________ Fax: _________________________________________________ Fax: ________________________________ Acceptance of quotation: Accepted By (printed): _________________________________ P.O. No: _____________________________ Signature: ___________________________________________ Date: ________________________________ Title: _______________________________________________ Phone: ______________________________ Facsimile: __________________________________________ Purchase Amount: $1,923.34 Minnesota / Wisconsin Playground 5101 Highway 55, Suite 6000 Golden Valley, Minnesota 55422 Ph. 800-622-5425 | 763-546-7787 Fax 763-546-5050 | dan@mnwiplay.com CONSULTANT: DAN LANES 12/27/2022 Quote # 103324-01-03 C - South Lotus Lake Park - Chanhassen, MN - D11531L Page 4 of 4 249 City of Chanhassen Attn: Jerry Ruegemer 7700 Market Blvd Chanhassen, MN 55317 Phone: 952-227-1121 Ship to Zip 55317 Quantity Part #Description 1 RDU GameTime - PrimeTime Play Unit (5) 12024 -- 3 1/2" Uprt Ass'Y Alum 9' (3) 12026 -- 3 1/2" Uprt Ass'Y Alum 11' (5) 12027 -- 3 1/2" Uprt Ass'Y Alum 12' (1) 12219 -- St Horiz Loop Ladder Atth (1) 12729 -- Turning Bar P/T (4) 18200 -- 36" Sq Punched Deck P/T 1.3125 (1) 18238 -- 6'-0" Funnel Bdg W/Barrier (1) 18319 -- Single Steering Wheel (1) 18679 -- Bongos (2) 19006 -- Transfer System W/Barrier (2'-6" Rise (1) 19035 -- Optional Access Step (3' & 5') (1) 19045 -- Straight Crawl Tube (2 Deck Span) (2) 19102 -- Stepped Deck (6" Rise) (1) 19121 -- Curved Zip Slide (1) 19285 -- Transfer Platform W/ Guardrail 3' (1) 19287 -- River Rock Climber (1) 19327 -- Pod Climber (1) 19382 -- Single Entrance Wilderslide Ii (2) 19386 -- Left Curve Section Wilderslide Ii (1) 19387 -- Right Curve Section Wilderslide Ii (1) 19391 -- Support Wilderslide Ii (1) 19424 -- Long Exit ( Use On 7' & 8' Slides) (1) 19427 -- Single Spiral (1) 19669 -- Whirlwind Climber 8' (1) 19698 -- Sloped Funnel Climber Barrier (Dbl) (1) 19793 -- Double Zip slide 5'-0" (1) 19803 -- Air Walker (1) 19806 -- Splitter 8' Minnesota / Wisconsin Playground 5101 Highway 55, Suite 6000 Golden Valley, Minnesota 55422 Ph. 800-622-5425 | 763-546-7787 Fax 763-546-5050 | dan@mnwiplay.com CONSULTANT: DAN LANES 12/27/2022 Quote # 103324-01-02 M - South Lotus Lake Park - Chanhassen, MN - D11531L Page 1 of 4 250 Quantity Part #Description (1) 19883 -- Hi Line Climb Link 2 Deck 0' Rise (1) G12024 -- 3 1/2" Uprt Ass'Y Galv 9' (3) G12026 -- 3 1/2" Uprt Ass'Y Galv 11' (1) G12027 -- 3 1/2" Uprt Ass'Y Galv 12' (8) G12069 -- 3 1/2"Uprt Ass'Y Galv 14' (1) 12728 -- Single Seat P/T 1 RDU GameTime - Swing Unit (1) 8537 -- Adaptive Swing W/Chain (1) 8696 -- Encl Seat 3 1/2"(8696) (4) 8910 -- Belt Seat 3 1/2"Od(8910) (1) 12583 -- Ada Primetime Swing Frame, 3 1/2" Od (2) 12584 -- Ada Primetime Swing Aab, 3 1/2" Od 1 178749 GameTime - Owner's Kit Total $66,076.57 Comments Customer is responsible for demolition of existing equipment and safety surface Customer is responsible for excavation and site preparation Customer is responsible to accept delivery of play equipment Installation by Customer with on site consultant Safety surface to be provided and installed by customer This quotation is subject to current Minnesota/Wisconsin Playground (MWP) policies as well as the following terms and conditions. Our quotation is based on shipment of all items at one time to a single destination, unless noted, and changes are subject to price adjustment. Purchases in excess of $1,000.00 to be supported by your written purchase order made out to Minnesota/Wisconsin Playground. Each quote is handled on a per order/project basis. Unless a long-term agreement is in place between purchaser and MWP, terms and conditions of this quotation shall be as outlined herein with no other requirements applicable. Indemnification; Owner/Owner's Representative will indemnify and hold Minnesota Playground, Inc., dba, Minnesota Wisconsin Playground (MWP), harmless for all claims, damages and related costs, including reasonable legal fees and costs, arising out of Owner/Owner's Representative's negligence or noncompliance with any of its commitments under this document. MWP will indemnify and hold Owner/Owner's Representative harmless for all claims, damages and related costs, including reasonable legal fees and costs, arising out of MWP's negligence or noncompliance with any of its commitments under this document. Excusable Delays/Additional Costs: MWP, and/or its affiliates, shall be liable for default unless delay of performance, whether supplying materials only or including installation in accordance with our project scope, is caused by an occurrence beyond reasonable control of MWP, and/or its affiliates, such as, but not limited to, acts of Superior Force or the public enemy, acts of Government in either its sovereign or contractual capacity, fire, floods, epidemics, quarantine restrictions, strikes, unusually severe weather, delays of common carriers (for transportation of goods whether raw materials or finished product) and attainability of raw materials. Such events resulting in additional costs are not included in quoted amounts and shall be the responsibility of the Owner/Owner's Representative. Any additional costs shall be provided in writing for purchaser's records and shall be due upon payment of invoice. Minnesota / Wisconsin Playground 5101 Highway 55, Suite 6000 Golden Valley, Minnesota 55422 Ph. 800-622-5425 | 763-546-7787 Fax 763-546-5050 | dan@mnwiplay.com CONSULTANT: DAN LANES 12/27/2022 Quote # 103324-01-02 M - South Lotus Lake Park - Chanhassen, MN - D11531L Page 2 of 4 251 This quotation is subject to polices in the current Gametime Park and Playground catalog and the following terms and conditions. Our quotation is based on shipment of all items at one time to a single destination, unless noted, and changes are subject to price adjustment. Purchases in excess of $1,000.00 to be supported by your written purchase order made out to Gametime, c/o Minnesota/Wisconsin Playground. Each quote is handled on a per order/project basis. Unless a long-term agreement is in place between purchaser and GameTime, terms and conditions of this quotation shall be as outlined herein with no other requirements applicable. Pricing: f.o.b. factory, firm for 15 days from date of quotation. If placing an order after expiration of quote, please contact our office for updated pricing. A tax-exempt certificate is needed at time of order entry for all orders whether from tax-supported government agencies or not. Sales tax, if applicable, will be added at time of invoice unless a tax exempt certificate is provided at time of order entry. Payment terms: net 30 days for tax supported governmental agencies. Should this quotation be forwarded to an agency not listed on this quote, credit terms, as well as other terms and conditions herein, may be need to be altered. For instance, non-tax supported organization purchasing any or all products and/or services quoted herein may require full payment for that amount due at time of order entry. Remaining balance owed by tax supported agency, if any, shall still be net 30 days. A 1.5% per month finance charge will be imposed on all past due accounts. Equipment shall be invoiced separately from other services and shall be payable in advance of those services and project completion. Retainage not accepted. Unless already on file, please include a tax exempt certificate upon order entry whether a tax supported government agency or other. GameTime Standard Product Shipment: order shall ship within ten to twelve weeks after GameTime's receipt and acceptance of your purchase order, color selections, approved submittals, and receipt of deposit, if required. Receipt of anything other than what is stated herein will not constitute an order and therefore no materials will be placed into production nor installation, if required, will be scheduled. Freight charges: Prepaid & added Exclusions: unless specifically included, this quotation excludes all site work and landscaping; removal of existing equipment; acceptance of equipment and off-loading; storage of goods prior to installation; equipment assembly and installation; safety surfacing; borders and drainage provisions. Order Information: Bill To: _____________________________________________ Ship To: _____________________________ Company: ___________________________________________ Project Name: ________________________ Attn: ________________________________________________ Attn: _____________________________ Address: _____________________________________________ Address: ____________________________ City, State, Zip: _______________________________________ City, State, Zip: ______________________ Contact: ______________________________________________ Contact: ____________________________ Tel: _________________________________________________ Tel: ________________________________ Fax: _________________________________________________ Fax: ________________________________ Minnesota / Wisconsin Playground 5101 Highway 55, Suite 6000 Golden Valley, Minnesota 55422 Ph. 800-622-5425 | 763-546-7787 Fax 763-546-5050 | dan@mnwiplay.com CONSULTANT: DAN LANES 12/27/2022 Quote # 103324-01-02 M - South Lotus Lake Park - Chanhassen, MN - D11531L Page 3 of 4 252 Acceptance of quotation: Accepted By (printed): _________________________________ P.O. No: _____________________________ Signature: ___________________________________________ Date: ________________________________ Title: _______________________________________________ Phone: ______________________________ Facsimile: __________________________________________ Purchase Amount: $66,076.57 Minnesota / Wisconsin Playground 5101 Highway 55, Suite 6000 Golden Valley, Minnesota 55422 Ph. 800-622-5425 | 763-546-7787 Fax 763-546-5050 | dan@mnwiplay.com CONSULTANT: DAN LANES 12/27/2022 Quote # 103324-01-02 M - South Lotus Lake Park - Chanhassen, MN - D11531L Page 4 of 4 253 254 255 256 257 12/28/2022 Page 1 of 5 PlayPower LT Farmington, Inc. 878 E. US Hwy 60 Monett, MO 65708 1-800-325-8828 QUOTE: R0324220231 Project: R0324_44916928780_01 Sugarbush Park Playground – City of Chanhassen Bill To: Project Name & Location: Prepared by: Adam Beers Northland Recreation LLC City of Chanhassen PO Box 147 Chanhassen, MN 55317 763-639-4944 (phone) abeers@ci.chanhassen.mn.us Sugarbush Park Bill Johnson Woodbury, MN 55129 (651) 815-4097 (phone) (414) 395-8538 (fax) bjohnson@northlandrec.com Quote Number: R0324220231 Quote Date: 12/28/2022 Valid For: 30 Days From Quote Date **Note: Due to supply chain issues, ship dates are currently loading fall of 2023 Play Area Product line: KidBuilders Age group: 5-12 ALL COLORS TBD – Sample of these colors on renderings Belt Swing Seat Color BLACK CLIMBER COLOR Burgundy Dino Mounting Method Buried Dinosaur Color Burgundy Inclusive Seat Clr FOREST GREEN Infinity 1 Plastic Clr Burgundy KB Accent Color METALLIC GRAY KB CLAMP COBALT KB Overhead Color Burgundy KB Pnl/Crwl Tunnel Clr FOREST GREEN KB Slide/Float Stone Clr FOREST GREEN KB Vinyl color Gray KB/Jeep Ground Cover Buried Kid Builder Post Color COBALT MaxPlay TM Swing Clr COBALT PB Ground Cover Buried PB Panel/Crawl Tunnel Color FOREST GREEN PB Roof/Table Color FOREST GREEN PB Slide Color FOREST GREEN PB Vinyl Clr Gray Plastic Steering Wheel RED Play Builder Accent Color METALLIC GRAY Play Builder Post Color COBALT Spinner Component Mounting Buried Stand-n-Spin Clr BLACK Tot Swing Seat Color BLACK Us/Csa Labels For Swings USA 258 12/28/2022 Page 2 of 5 Components Part Number Description Qty 100001127 KB LONG DK/DK PLATE 205MM/8"1 100001134 KB DK/DK PLATE 203 MM/8" 2 100005274 PB SQUARE DECK 1 200007097 PANEL ADJUSTABLE COUNTER KB 2 200008193 TOOL BOX KID BUILDERS #2, S.S. (MM)1 200013795 KB 10' GALV POST WITH CAP 2 200013798 KB 136" GALV POST WITH CAP 6 200013801 KB 176" GALV POST WITH CAP 3 200013810 KB 148" GALV POST WITH CAP 7 200013813 KB 4165/164" GALV POST WITH CAP 1 200013892 RAIL SINGLE KB 1 200014953 LADDER RUNG 1625 MM W/SAFETY LOOP KB 1 200034344 LADDER RING CHALLENGE F/KB 2440 1 200042281 TRICERATOPS SCULPTURE 1 200054614 PB PANEL SAFETY 1 200064815 SLIDE ELBOW 70 DEG. F/PB 1 200069056 KB 186"/4725MM GALV POST W/CAP 3 200069058 KB 213"/5410MM GALV POST W/CAP 2 200079019 KB LEG LIFT BAR 1 200092591 STEPPING STONES F/KB 1 200109105 PB SQUARE ROOF W/RD. HOLES 1 200122438 SLIDE SPIRAL KB 1625/64 (2007)1 200125581 STEPS DECK/DECK 1016 MM W/SFTY RAILS KB 1 200200015 CLIMBER BUMPY DK/DK 1220 F/KB 1 200200016 PB ANIMAL CRAWL-THRU PANEL 1 200200032 CLIMBING NET 36" RED/BLU W/SAFE LOOPS PB 1 200200164 KB 1422MM SGL. WAVE SLIDE 1 200200417 SWING FRAME ADD-ON F/INCL SEAT MAXPLAY 1 200200432 TRANSFER STATION 915 MM PB W/SAFE.RLS.1 200200466 KB ACCORDION CLIMBER 1220MM(48") GROUND 1 200200530 KIT MAINTENANCE KB W/PAINT W/O LIST 1 200200785 KB MONKEY LEANOUT SEAT PANEL 1 200201090 KB THERAPEUTIC RINGS 1 200201539 STAND N SPIN 1 200202105 KB 96" HYPERSONIC SLIDE 1 200202126 KB INFNTY HI-CLMB 96"(2440 MM)1 200202202 MAXPLAY 8' STANDARD BEAM 1 200202204 MAXPLAY 8' ADD-ON STANDARD BEAM 1 200202241 KB ROUNDABOUT OVERHEAD 1 200202425 KB VERTICAL POD CLIMBER 96"1 200202483 KB DECK SQUARE LARGE HOLE 11GA 1 200202485 KB DECK TRIANGLE LARGE HOLE 11GA 2 200202488 KB DECK 1/2 SQUARE LARGE HOLE 11GA 2 200202492 KB DECK HEX LARGE HOLE 11GA 1 200202564 KB TRANS STAT 1220 GRD RL 11GA 1 200202611 PB POST W/CAP 2285MM (90")1 200202619 PB POST W/CAP 3910MM (154")4 200202835 ASSY BELT SEAT F/8' SWING W/CHAIN 2 200202836 ASSY TOT SEAT F/8' SWING W/CHAIN 1 200203206 PB BOINGO 1 200203423 GENERATION SWING SEAT ASSEMBLY TIKES 1 200203433 INCLUSIVE SWING SEAT W/CHAINS 8'1 200203576 ASSY PANEL MOUNT PLASIC STEER WHEEL 1 200203590 KB SILO SCRAMBLE W/DBL ENCLOSURE 1 M00000963 SPRING RIDER SNAIL, LOLA 1 787Z RISK MANAGEMENT SIGN - ENGLISH 1 259 12/28/2022 Page 3 of 5 Totals: Products Subtotal: $ 78,000.00 Installation: Supervision Install Included Estimated Sales Tax*: Not Included - Exempt Freight: Included Grand Total: $ 78,000.00 Make Purchase Orders Out To: Make Checks Payable To: PlayPower LT Farmington, Inc. PlayPower LT Farmington, Inc. Remit Purchase Orders To: Remit Checks To: PlayPower LT Farmington, Inc. Attention: Sales Administration 878 E US Hwy 60 Monett, Missouri, USA 65708 1-800-325-8828 PlayPower LT Farmington PO Box 734155 Dallas, TX 75373-4155 NOTE: * Applicable sales taxes will be confirmed once order and any tax certificates are received † Denotes drop ship item. Unloading, storage, installation, surfacing and site work are not included unless specifically noted on quotation. Not responsible for filter cloth, irrigation rerouting, grass damage, or checking for underground utilities. If installation is quoted, it is assumed that the site has been prepared and that any grade slope in any direction does not exceed 2%. In the event that unexpected soil conditions, such as subsurface rock, are encountered during installation, additional costs to the customer will be applicable. The acceptance signature below serves as authorization to order the items quoted and indicates acceptance of the prices listed. All terms are subject to credit approval. COMMENTS: This playground contains 21.01% recycled content This playground qualifies for 2 LEED point(s) This Quote shall not become a binding contract until signed and delivered by both Customer and PlayPower LT Farmington Inc (“PPLT”). Sales Representative is not authorized to sign this Quote on behalf of PPLT or Customer, and signed Quotes cannot be accepted from Sales Representative. To submit this offer, please sign below and forward a complete signed copy of this Quote directly to “PPLT Sales Administration” via fax (417)354-2273 or email outdoordes@LTCPS.com. Upon acceptance, PPLT will return a fully-signed copy of the Quote to Customer (with copy to Sales Representative) via fax or e mail. THIS QUOTE IS LIMITED TO AND GOVERNED BY THE TERMS CONTAINED HEREIN. PPLT objects to any other terms proposed by Customer, in writing or otherwise, as material alterations, and all such proposed terms shall be void. Customer authorizes PPLT to ship the Equipment and agrees to pay PPLT the total amount specified. Shipping terms are FOB the place of shipment via common carrier designated by PPLT. Payment terms are Net-30 days from invoice date with approved credit and all charges are due and payable in full at PO Box 734155, Dallas, TX 75373-4155, unless notified otherwise by PPLT in writing. Customer agrees to pay all additional service charges for past due invoices. Customer must provide proper tax exemption certificates to PPLT, and shall promptly pay and discharge all otherwise applicable taxes, license fees, levies and other impositions on the Equipment at its own expense. CUSTOMER HEREBY SUBMITS ITS OFFER TO PURCHASE THE EQUIPMENT ACCORDING TO THE TERMS STATED IN THIS QUOTE AND SUBJECT TO FINAL APPROVAL BY PPLT. 260 12/28/2022 Page 4 of 5 Submitted By Printed Name and Title Date THE FOREGOING QUOTE AND OFFER ARE HEREBY APPROVED AND ACCEPTED BY PLAYPOWER LT FARMINGTON INC. By: ___________________________ Date:___________________ ________________________ ________________________ ADDITIONAL TERMS & CONDITIONS OF SALE 1. Use & Maintenance. Customer agrees to regularly inspect and maintain the Equipment, and to provide, inspect and maintain appropriate safety surfacing under and around the Equipment, in accordance with PPLT’s product literature and the most current Consumer Product Safety Commission Handbook for Public Playground Safety. 2. Default, Remedies & Delinquency Charges. Customer’s failure to pay any invoice when due, or its failure to otherwise comply with the terms of this Quote, shall constitute a default under all unsatisfied invoices ("Event of Default"). Upon an Event of Default, PPLT shall have all remedies available to it at law or equity, including, without limitation, all remedies afforded a secured creditor under the Uniform Commercial Code. Customer agrees to assist and cooperate with PPLT to accomplish its filing and enforcement of mechanic’s or other liens with respect to the Equipment or its location or its repossession of the Equipment, and Customer expressly waives all rights to possess the Equipment after an Event of Default. All remedies are cumulative and not alternative, and no exercise by PPLT of a remedy will prohibit or waive the exercise of any other remedy. Customer shall pay all reasonable attorneys’ fees plus any costs of collection incurred by PPLT in enforcing its rights hereunder. Subject to any limitations under law, Customer shall pay to PPLT as liquidated damages, and not as a penalty, an amount equal to 1.5% per month of any payment that is delinquent in such month and is not received by PPLT within ten (10) days after the date on which due. 3. Limitation of Warranty/ Indemnity. PPLT MAKES NO EQUIPMENT WARRANTIES EXCEPT FOR THOSE STANDARD WARRANTIES ISSUED WITH THE EQUIPMENT, WHICH ARE INCORPORATED HEREIN BY THIS REFERENCE. PPLT SPECIFICALLY DISCLAIMS ANY IMPLIED WARRANTY OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE AND ANY LIABILITY FOR INCIDENTAL OR CONSEQUENTIAL DAMAGES. CUSTOMER AGREES TO DEFEND, INDEMNIFY AND SAVE PPLT HARMLESS FROM ALL CLAIMS OF ANY KIND FOR DAMAGES OF ANY KIND ARISING OUT OF CUSTOMER’S ALTERATION OF THE EQUIPMENT, ITS FAILURE TO MAINTAIN THE EQUIPMENT, ITS FAILURE TO PROPERLY SUPERVISE EQUIPMENT USE, OR ITS FAILURE TO PROVIDE AND MAINTAIN APPROPRIATE TYPES AND DEPTHS OF SAFETY SURFACING BENEATH AND AROUND THE EQUIPMENT IN ACCORDANCE WITH PPLT’S INSTALLATION AND OWNER’S MANUALS AND THE MOST CURRENT CONSUMER PRODUCT SAFETY COMMISSION HANDBOOK FOR PUBLIC PLAYGROUND SAFETY. 4. Restrictions. Until all amounts due hereunder are paid in full, Customer shall not: (i) permit the Equipment to be levied upon or attached under any legal process; (ii) transfer title to the Equipment or any of Customer's rights therein; or (iii) remove or permit the removal of the Equipment to any location not specified in this Quote. 5. Purchase Money Security Interest. Customer hereby grants, pledges and assigns to PPLT, and PPLT hereby reserves a purchase money security interest in, the Equipment in order to secure the payment and performance in full of all of Customer’s obligations hereunder. Customer agrees that PPLT may file one or more financing statements, in order to allow it to perfect, acquire and maintain a superior security interest in the Equipment. 6. Choice of Law and Jurisdiction. All agreements between Customer and PPLT shall be interpreted, and the parties' obligations shall be governed, by the laws of the State of Missouri without reference to its choice of law provisions. Customer hereby consents to the personal jurisdiction of the state and federal courts located in the city and county of St. Louis, Missouri. 7. Title; Risk of Loss; Insurance. PPLT Retains full title to all Equipment until full payment is received by PPLT. Customer assumes all risk of loss or destruction of or damage to the Equipment by reason of theft, fire, water, or any other cause, and the occurrence of any such casualty shall not relieve the Customer from its obligations hereunder and under any invoices. Until all amounts due hereunder are paid in full, Customer shall insure the Equipment against all such losses and casualties. 8. Waiver; Invalidity. PPLT may waive a default hereunder, or under any invoice or other agreement between Customer and PPLT, or cure such a default at Customer's expense, but shall have no obligation to do either. No waiver shall be deemed to have taken place unless it is in writing, signed by PPLT. Any one waiver shall not constitute a waiver of other defaults or the same kind of default at another time, or a forfeiture of any rights provided to PPLT hereunder or under any invoice. The invalidity of any portion of this Quote shall not affect the force and effect of the remaining valid portions hereof. 9. Entire Agreement; Amendment; Binding Nature. This fully-executed Quote, as supplemented by Change Orders and invoices containing exact amounts of estimates provided herein, constitutes the complete and exclusive agreement between the parties. A Change Order is a written instrument signed by the Customer and PPLT stating their agreement as to any amendment in the terms of this Quote. Customer acknowledges that Change Orders may result in delays and additional costs. The parties agree that all Change Orders shall include appropriate adjustments in price and time frames 261 12/28/2022 Page 5 of 5 relating to any requested amendments. Upon full execution, this Quote shall be binding upon and inure to the benefit of the parties and their successors and assigns. 10. Counterparts; Electronic Transmission. This Quote, any invoice, and any other agreement between the parties, may be executed in counterparts, each of which shall constitute an original. The facsimile or other electronic transmission of any signed original document, and retransmission of any signed facsimile or other electronic transmission, shall be the same as the transmission of an original. At the request of either party, the parties will confirm facsimile or other electronically transmitted signatures by signing an original document. 262 878 E. Highway 60 / Monett, Missouri, USA 65708 / littletikescommercial.com USA 800-325-8828 CANADA 800-265-9953 INTERNATIONAL +1 417-235-6917 D70185 Rev. C - January 01, 2021 PPLT Farmington, Inc is a PlayPower, Inc. Company. Coyright ©2019 by PlayPower, Inc. All rights reserved WARRANTY Little Tikes Commercial Brand warrants its products against structural failure due to defects in materials and workmanship for the warranty periods and material categories prescribed below. Buyer agrees that products sold by PPLT Farmington, Inc. (PlayPower Little Tikes Commercial) carry only the following warranties: 1. LIMITED WARRANTY FOR AS LONG AS YOU OWN THE PRODUCT: Aluminum deck posts, steel deck posts, stainless steel hardware, cast aluminum parts, and KidBuilder® steel clamps. 2. LIMITED FIFTEEN (15) YEAR WARRANTY: All rigid steel playground components, decks, steps, and weldments, rotationally molded and sheet plastic components, plastic lumber, roof panels, and stainless steel slides, except as otherwise specified below. 3. LIMITED TEN (10) YEAR WARRANTY: Fabric shade steel frames, Naturtek™ products, Shadesure™ and Colourshade FR fabrics (Note Exception: Limited Five (5) Year Warranty on Shadesure™ fabrics in colors Red, Yellow, Electric Purple, Zesty Lime, Cinnamon, and Olive.) 4. LIMITED EIGHT (8) YEAR WARRANTY: • Fiberglass signage, accessible swing seats, precast PolyFiberCrete or precast concrete products. • LandSoft Synthetic Turf safety surfacing against deterioration of specified attenuation performance and appearance. • Integrated shade fabric and components against rot, UV deterioration and defects in materials and workmanship (Note Exception: Limited Three (3) Year Warranty for fabric in shades of red). 5. LIMITED FIVE (5) YEAR WARRANTY: • Clever Climbers™ products, including, but not limited to polyethylene slides, enclosures, main structure, decks, and plastic components. • PVC coating and PE coating against cracking or peeling. • Park and Site Amenities (i.e. benches, tables, trash receptacles, etc.). • GFRP (Glass Fiber Reinforced Polymer) Products. • Steel core cable nets and rope fittings and connections (Note Exception: Warranty does not cover normal wear and tear such as fraying or facing of cable coating). 6. LIMITED THREE (3) YEAR WARRANTY: KidTiles®, Playground Sculptures, products flexible belting, plastic border timbers and accessories, and electronic panel speakers, sound chips, and circuit boards. 7. LIMITED ONE (1) YEAR WARRANTY: • Learning Lab Sensory Tables and Tot Tree plastic components. • Belt Swing Seats, and Bucket Tot Swing Seats. • All other products, components and custom pieces that are not specifically listed above, including, without limitation, all moving parts, such as swing hangers and bearings, swivels, chains, whirls, springs and flexible components, and all high wear items, such as trolleys, cables, wheels, and bumper stops related to rail and cable ride products. BUYER'S REMEDY: If any products prove defective or non-conforming under normal use and within the above-prescribed warranty periods and material categories, Buyer must promptly notify Little Tikes Commercial in writing at 878 E. Hwy 60, Monett, MO 65708 USA. Little Tikes Commercial may elect to inspect the alleged defect at Buyer’s site or at Little Tikes Commercial’s facility. Buyer shall not return products to Little Tikes Commercial unless authorized by Little Tikes Commercial to do so. Authorized returns must be properly packaged and shipped prepaid and insured, at Buyer’s expense. Upon verification of warranty coverage, Little Tikes Commercial may elect, in its sole discretion, to repair defective or non-conforming products, or replace them by delivering products or part(s) of similar functionality free of charge to the site. Little Tikes Commercial’s limited warranties do not cover the cost of labor to remove defective or non-conforming part(s) or to install repaired or replacement part(s). By use of these limited warranties, Buyer accepts their terms and limitations, and waives any rights it would otherwise have to claim or assert that such warranties fail of their essential purpose. Buyer agrees that venue for any court action to enforce these limited warranties shall be in Barry or Greene Counties in the State of Missouri. LIMITATIONS: All warranty periods begin on the date of Little Tikes Commercial’s invoice. Repaired and/or replacement part(s) are warranted only for the balance of the original limited warranty period. Warranties extend only to the original Buyer/end user for products purchased from Little Tikes Commercial or a Little Tikes Commercial authorized reseller and are not transferrable. Warranties apply only to Little Tikes Commercial products that are erected and installed in conformance with Little Tikes Commercial’s installation instructions, and that are maintained and inspected in conformance with Little Tikes Commercial maintenance and operational instructions. Warranties specifically do not cover Little Tikes Commercial products: • for cosmetic damage or flaws occurring under normal use, such as surface scratches, minor chips, hairline cracks, dents, marring, efflorescence, color fade (except for shade fabric as noted above), discoloration, corrosion/rust, fraying, or warping of recycled plastic lumber; • that have been modified, altered, or repaired by unauthorized third parties; • that have not been used as designed or intended, or misused; • to which non-Little Tikes Commercial parts have been added or substituted; • that have been removed from their original location and re-installed elsewhere; • or that have been damaged due to excessive wear and tear, vandalism, abnormal use, abuse, negligence, environmental factors (such as wind-blown sand, salt spray, or airborne emissions from industrial sources), extreme weather (such as hail, flooding, lightning, tornados, sandstorms, earthquakes, or wind storms), and acts of God. Little Tikes Commercial does not warrant that any particular color will be available for any specific period of time, and reserves the right, in its sole discretion, to discontinue any color for any reason. THE FOREGOING LIMITED WARRANTY IS THE SOLE AND EXCLUSIVE WARRANTY FOR SELLER’S PRODUCTS, AND IS IN LIEU OF ALL OTHER WARRANTIES, EXPRESS OR IMPLIED, IN LAW OR IN FACT. SELLER SPECIFICALLY DISCLAIMS ALL OTHER WARRANTIES, EXPRESS OR IMPLIED, INCLUDING, WITHOUT LIMITATION, ALL IMPLIED WARRANTIES OF MERCHANTABILITY AND FITNESS FOR A PARTICULAR USE OR PURPOSE, AND ANY IMPLIED WARRANTIES ARISING OUT OF COURSE OF DEALING OR PERFORMANCE OR TRADE USAGE. SELLER SHALL NOT BE LIABLE FOR ANY INCIDENTAL, CONSEQUENTIAL, EXEMPLARY, SPECIAL, OR PUNITIVE DAMAGES, OR ANY LOSS OF REVENUE, PROFICT OR USE, ARISING OUT OF A BREACH OF THIS WARRANTY OR IN CONNECTION WITH THE SALE, INSTALLATION, MAINTENANCE, USE, OPERATION OR REPAIR OF ANY PRODUCT. IN NO EVENT WILL SELLER BE LIABLE FOR ANY AMOUNT GREATER THAN THE PURCHASE PRICE OF A DEFECTIVE PRODUCT. 263 IPEMA ASTM F1487-21 CERTIFICATE OF COMPLIANCE ISSUE DATE: December 28, 2022 Requested By: Bill Johnson Project: Sugarbush Park – City of Chanhassen In the interest of public playground safety, IPEMA provides a third-party certification service whereby TÜV SÜD America validates a manufacturer's certification of conformance to the ASTM F1487-21 (excluding sections 7.1.1, 10, 11.2, 11.3, 13.1.1, 13.1.2, 13.2, and 13.3) Standard Consumer Safety Performance Specification for Playground Equipment for Public Use. The manufacturer listed below has received written validation from TÜV SÜD America that the product(s) listed conform with the requirements of ASTM F1487-21 (excluding sections 7.1.1, 10, 11.2, 11.3, 13.1.1, 13.1.2, 13.2, and 13.3). This certificate is invalid if any component or part is replaced, unless purchased from the original manufacturer and assembled in accordance with the original equipment manufacturer’s instructions. Check with the manufacturer to determine the validity of the certification of the product(s) listed prior to using this certificate for proof of certification. MODEL #COMMERCIAL NAME OF PRODUCT PRODUCT LINE MANUFACTURER 200064815 SLIDE ELBOW 70 DEGREE Play Builder Playpower LT Farmington, Inc.- formerly Little Tikes Commercial 264 PlayPower L.T. Farmington, Inc. Main Site: 878 Highway 60, Monett, Missouri, 65708, United States Additional Site: 907 East County Road, Monett, Missouri, 65708, United States This is to certify that the management system has been registered by Intertek as conforming to the requirements of: ISO 14001:2015 The management system is applicable to: Main site: Design, manufacture and worldwide shipping of playground and recreation equipment and marine dock systems. Additional site: Manufacturing of rotary plastic molding. The validity of this certificate depends on the validity of the Main certificate #EMS-0033 Certificate Number: EMS-0033-b Initial Certification Date: 21 September 2008 Date of Certification Decision: 01 September 2020 Issuing Date: 01 September 2020 Valid Until: 20 September 2023 Calin Moldovean President, Business Assurance Intertek Testing Services NA, Inc. dba Intertek 900 Chelmsford Street, Lowell, MA, USA In the issuance of this certificate, Intertek assumes no liability to any party other than to the Client, and then only in accordance with the agreed upon Certification Agreement. This certificate’s validity is subject to the organization maintaining their system in accordance with Intertek’s requirements for systems certification. Validity may be confirmed via email at certificate.validation@intertek.com or by scanning the code to the right with a smartphone. The certificate remains the property of Intertek, to whom it must be returned upon request. CT-ISO14001:2015-ANAB-EN-LT-12.dec.17 265 Capital Improvement Program City of Chanhassen, MN Contact Jerry Ruegemer 2023 2027 thru Department Park Renovation Description Replace playground equipment at Sugarbush and South Lotus Lake Parks. Project #PR- 2023 Priority n/a Justification Existing playground equipment has reached its useful life expectancy of 25 years. Budget Impact/Other Illustrative Purposes Only Useful LifeProject Name Park Renovation 2023 Category Park Improvements Type Equipment Account #2 Account #1 401-0000-4xxx Total Project Cost:$170,000 Account #4 Account #3 Status Active Total2023 2024 2025 2026 2027Expenditures 170,000170,000Improvement 170,000 170,000Total Total2023 2024 2025 2026 2027Funding Sources 170,000170,000Park Renovation Capital Fund 170,000 170,000Total Wednesday, January 18, 2023Page 1 266 City Council Item February 13, 2023 Item Approve the Annual Renewal of Laserfiche Software License and Support Software File No.Item No: D.7 Agenda Section CONSENT AGENDA Prepared By Rick Rice, IT Manager Reviewed By Laurie Hokkanen SUGGESTED ACTION "The Chanhassen City Council approves an invoice from OPG-3 for the annual Laserfiche license and support renewal." Motion Type Simple Majority Vote of members present Strategic Priority Operational Excellence SUMMARY Accept and approve invoice from OPG-3 for the annual renewal of Laserfiche license and support software. BACKGROUND The city purchased the Laserfiche document management system in 2002 from Crabtree Companies for the long-term storage of documents required by government retention policies. It has been expanded over the years to include functionality for public viewing of documents, managing records retention, and integrating with other city applications as a central document storage resource. This software license and support services have been renewed annually thru OPG-3. The annual renewal of the Laserfiche software license and support exceeded $20,000 for the 2023 renewal period and now requires council approval. The OPG-3 renewal invoice is attached. A second quote for the renewal was obtained as per the city purchasing policy from SHI. The renewal costs from OPG-3 were lower than the quote 267 from SHI. DISCUSSION BUDGET The annual renewal expenditures are funded in account 101-1160-4212. RECOMMENDATION Staff recommends that the City Council accept and approve invoice from OPG-3 for the annual Laserfiche license and support renewal from OPG-3 in the amount of $20,100. ATTACHMENTS 2023 OPG-3 Invoice 2023 SHI Quote 268 OPG3, lnc. 8030 Old Cedar Ave S #205 Bloomington, MN 55425-1215 651.233.5075 INVOICE OPGs tNvotcE # 531 1 DATE 01/03/2023 DUE DATE O2IOA2O23 TEBMS NeI3O BILL TO Richard Rice City ol Chanhassen P.O. Box 147 ATTN. Accounts Payable Chanhassen, MN 55317-0147 SALES REP Sean Nilan JSPARB LF Subscription Panicipant Users (10-199) Basic, billed annually MSEsOB LF Avante Server tor MS SQL LSAP, billed annually MNFOsB LF Named Full Ussr with Snapshot and Email LSAP, billed annually MWAXB LF Web Access LSAP, tilled annually MATXB LF Advanc€d Audit Trailwith Watermark LSAP, billed annually MFRMB LF Forms Prolessional LSAP, billed annually MCSO1 B LF Scanconnect LSAP, billed annually MCSOsB LF Scanconnscl 5 Pack LSAP, billed annually MCSl0B LF Scanconnect 10 Pack LSAP, billed annually MPPSB LF Standard Public Podal LSAP, billed annually MCOo1 B LF Ouick Fields LSAP, bllled annually MC@38 LF Zone ocR and Validation Pkg LSAP, billed annually MC,OC4B LF Barcode and Validation Pkg LSAP, billed annually MCQCsB LF RealTlme Look Up and Validation Pkg LSAP, bllled annually MPLOlB LF Plus Plug-in LSAP, billed annually MPFRMB LF Forms Portal Add-On LSAP, billed annually 10 110.00 1,000.00 100.00 20.00 20.00 10.00 34.00 132.00 184.00 5,000.00 120.00 560.00 340.00 120.00 1,590.00 1,100.00 1,000.00 5,600.00 1 ,120.00 1 ,120.00 560.00 34.00 132.00 184.00 5,000.00 120.00 560.00 340.00 120.00 1,590.00 56 56 56 56 1,600.00 1,600.00 ITEM ow 1 269 l[.4PORTANT: This invoice must be paid in lull befors your expiration dale, 1o ensure your supporl services are not intorruptod and to avoid addilional charges lor reinstatemeni ol your explrsd LSAP renewal. Annual service renewal ,or the Laserliche Sottware Assurance Plan (LSAP) on your Laserliche system lrom 2.21 .23-2.20.24. This includes I year ol unlimiled phone suppon services lrom 8:00 am to 5:00 pm CentralTime, new sottware updates & releases, plus hotline support, 100% credit towards product upgrades. We appreciate your business and prompl payment. Thanksl OPG'3 lnc. BALANCE DUE $20,180.00 270 "sHr Pricing Proposal Quotation #: 23002105 Created On: 112412023 Valid Until: 113112023 MN-City of Chanhassen lnside Account Executive Richard Rice 7700 Market Blvd Chanhassen, MN 55317 UNtTED STATES Phone: \952) 227-1111 Fax Email: rrice@ci.chanhassen.mn.us All Prices are in US Dollar (uSD) Product Robert D'Addario 290 Davidson Ave Somerset, NJ, 08873 Phonei 732-317-6967 Fax: Email: robert_daddario@shi.com Oty Your Price Total 1 LF Subscriplion Participant Users (10-199) Basic, billed annualy Laserfiche - Part#: JSPARB Covetage fetm: 2121 12023 - 2l2Ol2O24 10 $118.00 $1,'180.00 2 LF Avante Server for MS SOL LSAP, billed annually Laserfiche - Part#: MSE30B Coverage Term: 2/2112023 - 2l2Ol2O24 1 $1,064.00 $1,064.00 3 LF Named Full User with Snapshol and Email LSAP, billed annually Leserfiche - Part#: MNF05B Coverage fetm: 221 D023 - 2D0Do24 56 $107.00 $5,992.00 4 LF Web Access LSAO, billed annually OPG-3, lnc. - Part#: [.4WAXB Covetage Tetm: 212112023 - 2l2Ol2O24 56 $22.00 $1,232.00 5 LF Advanced Audit Trailwith Watermark LSAP, billed annually Laserfiche - Part#: MATXB Co\eftge f enn.. 212112023 - 2120D024 56 $22.00 $'r,232.00 6 LF Forms Professional LSAP, billed annually OPG-3, lnc. - Partr: lrFRirB Coverage Term. 212112023 - 212012024 56 $11.00 $616.00 7 LF Scanconnect LSAP, billed annually Laserfiche - Part#: MCSo1B Covetage fetm: 2121 nO23 - 2l2Ol2O24 $37.00 $37.00 8 LF Scanconnecl5 Pack LSAP, billed annually Laserfiche - Part#: MCSosB Coverage fern 221DO23 - 2l2Ol2O24 $141.00 s141.00 9 LF Scanconnect 10 Pack LSAP, billed annually Laserfiche - Part#: MCS 10B Coverage Term 212112023 - 212012024 $196.00 $196.00 1 1 271 '10 LF Standard Public Portal LSAP, billed annually Laserliche - Part#: MPPSB Coyeruge letm. 212112023 - 212012024 1 $5,320.00 $5,320.00 '11 LF Quic* Fields LSAP, billed annually Laserliche - ParB: MCO01B CoveBge Te.rn: 2121 12023 - U2O|2O24 $128.00 $'128.00 12 LF QF Zone OCR and Validation Pkg LSAP, billed annually OPG3, lnc. - Part#: MCQC3B Covercge Te,II].: 2121 12023 - 212012024 $596.00 $596.00 13 LF Barcode and Validation Pkg LSAP, billed annually OPG3, lnc. - Part#: MCQC4B Coyetage TenI].: 2121 D023 - 212012024 $362.00 $362.00 '14 LF RealTime Look Up and Validation Pkg LSAP, billed annually OPG3. lnc. - ParH: MCQCsB Covetage f e,til.: 2J21 12023 - 2l2Ol2O24 $'128.00 $128.00 15 LF Plus Plug-in LSAP, billed annually OPG-3, lnc. - Part#: MPL0'18 Covetage 7e,Ir].: 2121 12023 - A2O|2O24 1 $1,692.00 $1,692.00 '16 LF Forms PortalAdd-On LSAP, billed annually Laserfiche - Part#: MPFRMB Coveage Tetrn: 221 12023 - 2120n024 Additional Comments 1 $1,703.00 $1,703.00 $2'1.619.00 $21.619.00 Hardware ilems on this quote may be updated to reflect changes due to industry wide constraints and fluctuations Thank you for choosing SHI lntemational Corp! The pricing offered on this quote proposal is valid through the expiration date listed above. To ensure the best level of service, please provide End User Name, Phone Number, Email Address and applicable Contract Number when submitting a Purchase Order. For any additional lnformation including Hardware, Software and Services Conkacts, please contact an SHI lnside Sales Representative at (888) 744-4084. SHI lnternational Corp. is 100% Minority Owned, Woman Owned Business. TAX lD# 22-3009648; DUNS# 61-1429481; CCR# 61-243957G: CAGE 1HTFo Subtotal Total The Products offared under this proposal are resold in accordance with the SHI Online Customer Resale Terms dnd Conditions. urless a soparate resale agreemenl exists between SHI and the Customer. 272 Pricing Proposal Quotation #: 23002105 Created On: 1/24/2023 Valid Until: 1/31/2023 MN-City of Chanhassen Inside Account Executive Richard Rice 7700 Market Blvd Chanhassen, MN 55317 UNITED STATES Phone: (952) 227-1111 Fax: Email:rrice@ci.chanhassen.mn.us Robert D'Addario 290 Davidson Ave Somerset, NJ, 08873 Phone: 732-317-6967 Fax: Email:robert_daddario@shi.com All Prices are in US Dollar (USD) Product Qty Your Price Total 1 LF Subscription Participant Users (10-199) Basic, billed annualy Laserfiche - Part#: JSPARB Coverage Term: 2/21/2023 – 2/20/2024 10 $118.00 $1,180.00 2 LF Avante Server for MS SQL LSAP, billed annually Laserfiche - Part#: MSE30B Coverage Term: 2/21/2023 – 2/20/2024 1 $1,064.00 $1,064.00 3 LF Named Full User with Snapshot and Email LSAP, billed annually Laserfiche - Part#: MNF05B Coverage Term: 2/21/2023 – 2/20/2024 56 $107.00 $5,992.00 4 LF Web Access LSAO, billed annually OPG-3, Inc. - Part#: MWAXB Coverage Term: 2/21/2023 – 2/20/2024 56 $22.00 $1,232.00 5 LF Advanced Audit Trail with Watermark LSAP, billed annually Laserfiche - Part#: MATXB Coverage Term: 2/21/2023 – 2/20/2024 56 $22.00 $1,232.00 6 LF Forms Professional LSAP, billed annually OPG-3, Inc. - Part#: MFRMB Coverage Term: 2/21/2023 – 2/20/2024 56 $11.00 $616.00 7 LF ScanConnect LSAP, billed annually Laserfiche - Part#: MCS01B Coverage Term: 2/21/2023 – 2/20/2024 1 $37.00 $37.00 8 LF ScanConnect 5 Pack LSAP, billed annually Laserfiche - Part#: MCS05B Coverage Term: 2/21/2023 – 2/20/2024 1 $141.00 $141.00 9 LF ScanConnect 10 Pack LSAP, billed annually Laserfiche - Part#: MCS10B Coverage Term: 2/21/2023 – 2/20/2024 1 $196.00 $196.00 273 10 LF Standard Public Portal LSAP, billed annually Laserfiche - Part#: MPPSB Coverage Term: 2/21/2023 – 2/20/2024 1 $5,320.00 $5,320.00 11 LF Quick Fields LSAP, billed annually Laserfiche - Part#: MCQ01B Coverage Term: 2/21/2023 – 2/20/2024 1 $128.00 $128.00 12 LF QF Zone OCR and Validation Pkg LSAP, billed annually OPG-3, Inc. - Part#: MCQC3B Coverage Term: 2/21/2023 – 2/20/2024 1 $596.00 $596.00 13 LF Barcode and Validation Pkg LSAP, billed annually OPG-3, Inc. - Part#: MCQC4B Coverage Term: 2/21/2023 – 2/20/2024 1 $362.00 $362.00 14 LF Real Time Look Up and Validation Pkg LSAP, billed annually OPG-3, Inc. - Part#: MCQC5B Coverage Term: 2/21/2023 – 2/20/2024 1 $128.00 $128.00 15 LF Plus Plug-in LSAP, billed annually OPG-3, Inc. - Part#: MPL01B Coverage Term: 2/21/2023 – 2/20/2024 1 $1,692.00 $1,692.00 16 LF Forms Portal Add-On LSAP, billed annually Laserfiche - Part#: MPFRMB Coverage Term: 2/21/2023 – 2/20/2024 1 $1,703.00 $1,703.00 Subtotal $21,619.00 Total $21,619.00 Additional Comments Hardware items on this quote may be updated to reflect changes due to industry wide constraints and fluctuations. Thank you for choosing SHI International Corp! The pricing offered on this quote proposal is valid through the expiration date listed above. To ensure the best level of service, please provide End User Name, Phone Number, Email Address and applicable Contract Number when submitting a Purchase Order. For any additional information including Hardware, Software and Services Contracts, please contact an SHI Inside Sales Representative at (888) 744-4084. SHI International Corp. is 100% Minority Owned, Woman Owned Business. TAX ID# 22-3009648; DUNS# 61-1429481; CCR# 61-243957G; CAGE 1HTF0 The Products offered under this proposal are resold in accordance with the SHI Online Customer Resale Terms and Conditions, unless a separate resale agreement exists between SHI and the Customer. 274 City Council Item February 13, 2023 Item Appoint Luke Bame to the Economic Development Commission File No.Item No: D.8 Agenda Section CONSENT AGENDA Prepared By Kim Meuwissen, City Clerk Reviewed By Laurie Hokkanen SUGGESTED ACTION "The Chanhassen City Council appoints Luke Bame to the Economic Development Commission for a term ending March 31, 2026." Motion Type Simple Majority Vote of members present Strategic Priority N/A SUMMARY BACKGROUND The Economic Development Commission consists of five members serving three-year staggered terms. Commissioner David Kressler resigned from the Commission on November 30, 2022, leaving prior to the 03/31/23 expiration date of his term. Resident Luke Bame applied for and interviewed with the City Council for the City Council vacancy position. Although he was not selected to fill the City Council vacancy, the Council was impressed with his application and interview and determined that Mr. Bame would be a good candidate to fill the Economic Development Commission vacancy. Mr. Bame was contacted and offered the position on the Economic Development Commission to complete David Kressler's term as well as be appointed for an additional term ending 03/31/2026, which he accepted. 275 DISCUSSION BUDGET RECOMMENDATION It is recommended that the City Council appoint Luke Bame to the Economic Development Commission for a term ending March 31, 2026. ATTACHMENTS 276 City Council Item February 13, 2023 Item Appoint Councilmember Josh Kimber to the SouthWest Transit Commission File No.Item No: D.9 Agenda Section CONSENT AGENDA Prepared By Kim Meuwissen, City Clerk Reviewed By Laurie Hokkanen SUGGESTED ACTION "The Chanhassen City Council appoints Councilmember Josh Kimber to Seat B of the SouthWest Transit Commission for a term ending December 31, 2023." Motion Type Simple Majority Vote of members present Strategic Priority N/A SUMMARY BACKGROUND As a part of the Fifth Restated Join Powers Agreement for SouthWest Transit, each party to the agreement must provide two commissioners, one a member of the governing body (Seat A) and one of whom shall be a member of the party's governing body or a resident who resides in the jurisdiction of that member (Seat B). On January 9, 2023, the City Council reappointed Councilmember Jerry McDonald to Seat A of the SouthWest Transit Commission for the term ending 12/31/2025. Mayor Elise Ryan had previously been appointed to Seat B in 2021 with a term ending 12/31/23. Councilmember Josh Kimber was appointed to the City Council on January 23, 2023. 277 DISCUSSION Due to scheduling conflicts, Mayor Ryan would like to relinquish the remainder of her term on the SouthWest Transit Commission. Councilmember Kimber is a former SouthWest Transit rider and has expressed an interest in serving on the commission. BUDGET RECOMMENDATION Staff recommends that Councilmember Josh Kimber be appointed to Seat B of the SouthWest Transit Commission for a term ending December 31, 2023. ATTACHMENTS Excerpt from SouthWest Transit Join Powers Agreement 278 2. PURPOSE. The purpose of this Agreernent and SouthWest Traruit is to (i) provide altcmative methods ofproviding public transit sen ice for the Cities of Eden Prairie, Chanltassen, and Chaska and (ii) contract to provide transit and transit planning senviccs to othcr cntities, as approvcd by thc Comrnission, pursuant to Minnesota Statutc.s Sections I 6A.88, 471 .59, 4'73.384, and 4?3.388. 3.DEFINITIONS. ta,"Commission" mcans the organizalion created by lhis Agreemer:t, the full name of which is SouthWest Transit. (b) (c) (d) (e) "Board" means the Board of Commissioners of Southwest Transit. "Council" means the goveming body of a Party to this Agreement. "Party' means any entity which has cntered into this Agreement. "Metropolitan Council" means ths regional entily established by Minnesota Statutes Section 473.123. 4. PARTIES. The municipalities which are original Parties to this Agrccment are Edcn Prairie, Chanhassen, and Chaska. No change in govemmental boundaries, slructure, organizational status or character shall affect the eligibility of any Party listed above to be represented on the Commission so long as such Party continues to exist as a separate political subdivision. After the ellective date of this Agreemcnt, an entily may ioin the Commission upon all of the following: (i) cntcring into a consolidation agreement or similar agrecment with the Commission, which agreement shall set forth the tenns and conditions for adding a ncw party or Parties including but not limited to: transfer of transit assets, funding and reserves, timing, branding and marketing, cxisting contracts and agreements, and withdrawal; (ii) filing with the Commission of a resolution duly adopted by the goveming body of the proposed new party agreeing to the terms of this A$eement, as amended at the time of said filing,; and (iii) the filing ofa resolution by thc govcming body of each Party approving thc addition ofthc ncw party. All such resolutions shall be attached to and become a pafi of this Agreement. The tcnns and conditions ofthe consolidation or similar agreement shall supcrscdc the tcnns of this Agreernent unless specifi cally slatcd otherwisc: 5. BOARD OF COMMISSIONERS. Except as othcrwise provided under Section 6 hereof, the goveming hody of the Commission shall be the Board which will consist of two commissioners from each Party and onc at largc commissioncr, all as appointcd as set forth bclorv. 2 (a) 279 (b) Party Comrnissioners. Each Parly shall appoinl two conrnrissioners one of whom shall be a member ol'the Party's goveming body ("Seat A") and one ofwhom shall be a member of the party's govcming body or a residenl who resides in thc jurisdiction ofthat member ("Seat B"). A cornmissioner appointed to Seat A ceases to be a commissioner if the person ceases to be a member of the Party's goveming body. A commissioner appointed to Seat B ceases to be a commissioner if the person cease to be a resident of who resides in the jurisdiction of dral member. A Party shall appoint a new commissioner in accordancc witli 5 (b) to serve the remainder of the tcnn created by the vacancy, (c)At Large Cornmissioner. Thc Board shall appoint one at large cornmissioner, which commissioner shall reside or maintain a principal place of business within thejurisdiction ofone ofthe Parties. The at large commissioner shall serve a threc year term. An at large commissioner may serve no rnore than one consecutive term; excepl that the Board rnay, in the Board's sole discretion, extefrd the tcnn for one additional year. (d)Terms. Each party commissioner shall serve a 3 year tenn on the following schedule: The terms shall be assigned as follows Party Seat Term Chanhassen A 2 B 3 Chaska A I B 2 Party Seat Term New Party I 1 B 2 New Party 2 A 3 B I PBrty Seat Term Eden Prairie A 3 B I Party Seat Term New Party 3 2 B 3 New Party 4 A B 2 The commissioner terms of new parties to the Commission shall be assigned using the following systern, which shall continue to repeat iu the same order if rnore than four parties are added. Assignment of terms for new Parties after New Party 4 shall continue in the same manner. If multiple Parties are added at one time the Board shall detennine the number ofeach new party for purposes of temr assignrnents. 3 Term I - expires December 31, 2015 and every three years thereafler. Term 2 expires December 3l , 2016 and every three years thereaftcr. Term 3 - expires Decernber 3l . 201 7 and every three years thereafter. A I 280 City Council Item February 13, 2023 Item Approve an Encroachment Agreement between the City of Chanhassen and Brian and Elise Bruner File No.Item No: D.10 Agenda Section CONSENT AGENDA Prepared By Stacy Osen, Administrative Support Specialist Reviewed By Charlie Howley SUGGESTED ACTION "The Chanhassen City Council approves an encroachment agreement allowing Brian and Elise Bruner to construct an 11 foot x 12 foot moveable shed on the subject property that will encroach into the city's easement area located at 6609 Horseshoe Curve." Motion Type Simple Majority Vote of members present Strategic Priority Asset Management SUMMARY BACKGROUND The property owner of 6609 Horseshoe Curve, (Brian and Elise Bruner) have submitted a permit application to construct an 11 foot x 12 foot moveable shed on the property, which is legally described as Lot 1, Block 1, Alicia Heights Addition. This improvement will encroach into the city's easement areas. In order to permit the improvement, the property owner must enter into an encroachment agreement with the city. DISCUSSION The attached encroachment agreement was drafted by the City Attorney's office. The property owner 281 has signed the encroachment agreement which requires City Council approval before the permit can be issued. Specific conditions are outlined in the agreement. Upon city approval and execution, the encroachment agreement will be recorded against the property. BUDGET RECOMMENDATION Staff recommends approving the Encroachment Agreement. ATTACHMENTS Encroachment Agreement 282 (reserved for recording i4formation) ENCROACHMENT AGREEMENT AGREEMENT made this 3l day of Tqall..'f ,2023, by and between the CITY OF CHANHASSEN, a Minnesota municipal corporation ("City"), and BRIANI BRUNER and ELISE BRUNER, married to each other ("Bruners" or o'Owners"). 1. BACKGROUND. Bruners are the fee owners of certain real property located in the City of Chanhassen, County of Carver, State of Minnesota, legally described as follows: Parcel ID No. 25.0550010 Lot 1, Block 1, Alicia Heights, according to the recorded plat thereof (cor 397s2) having a street address of 6609 Horseshoe Curve, Chanhassen, Minnesota 55317 ("Subject property"). The City owns easements for drainage and utility purposes overportions of the Subject property ("Easement Areas"). Bruners desire to construct an 1l' x 12' moveable shed on the Subject property which will encroach into the Easement Areas as depicted on the attached Exhibit "A". 2. ENCROACHMENT AUTIIORIZATION. The City hereby approves the encroachment in its Easement Areas on the Subject Property for the construction of the shed subject to the following conditions: 225028v1 I 283 . The shed must allow water to pass under it so as not to impede overland water flow during rain events and not block drainage. o The shed located on the Subject Properly must not impact or increase water drainage on the abutting properties or cause any adverse drainage pattems or erosion to the abutting properties. . The shed must maintain a minimum five-foot (5') setback from the properly line. o Owners shall maintain and repair the shed located on the Subject Property. . Owners are fully responsible and liable for any and all damage caused to the shed because of it being constructed in the City's Easement Areas. Further, Owners agree that the shed shall be constructed consistent with all applicable federal, state and local laws and regulations. 3. HOLD HARMLESS AND INDEMNITY. ln consideration of being allowed to encroach in the Easement Areas, Owners, for themselves, their heirs, successors and assigns, hereby agree to indemnifr and hold the City harmless from any damage caused to the Subject Property, including the shed in the Easement Areas, caused in whole or in part by the encroachment into the Easement Areas. 4. TERMINATION OF AGREEMENT. The City may terminate this Agreement at any time if it is reasonably necessary for the City to occupy the Easement Areas for drainage or utility purposes and the shed is inconsistent with the City's use of the easement. Prior to termination, the City will give the then owner of the Subject Property thirty (30) days advance written notice, except that no notice period will be required in the case of an emergency condition as determined solely by the City and this Agreement may then be terminated immediately. The property owner shall remove the shed to the extent it impacts the Easement Areas to the effective date of the termination of this Agreement. If the owner fails to do so, the City may remove the shed to the extent it impacts the Easement Areas and charge the cost of removal back to the owner for reimbursement. 22250?8vl 284 5. RECORDING. This Agreement shall run with the land and shall be recorded against the title to the Subject Property. CITY OF CHANHASSEN (SEAL)Elise Ryan, Mayor And Laurie Hokkanen, City Manager STATE OF MINNESOTA COTINTY OF CARVER The foregoing instrument was acknowledged before me this day of 2023,by Elise Ryan and by Laurie Hokkanen, respectively the Mayor and City Manager of the City of Chanhassen,a Minnesota municipal corporation, on behalf of the corporation and pursuant to the authority granted by its City Council. Notary Public By ) )ss ) J225028v1 285 PROPERTY OWNERS: Brian Bruner STATE OF MINNESOTA ) COUNTY OF C qr:/QC ) The foregoing instrument was acknowledged before me this 3 1 day of &7, #'^^r, 2023, by Brian Bruner and Elise Bruner, married to each other. 0"",1 "t.t*#tii; )ss. DRAFTED BY: CAMPBELL KNUTSON, Profes sio nal A ss o ci atio n Grand Oak Oflice Center I 860 Blue Gentian Road, Suite 290 Eagan, Minnesota 55121 Telephone: (65 I ) 452-5000 AMP 4 My Commhdon Erdro! Jen 31, AI27 AMY K. WEIDMAN Notary Public-Minnesota 225028v1 286 =l= EXHIBIT 6'A" \:/ta t a a iiI. I a I : a T t I a .l I I E,SEMEt{Tss \ \ I I (lP.E6ak o,s U6 * i I a I a I I I I I I a I : I I a I at OPE. EE Eo E I I I I I I a a \ I tt.tt1' 'a 4..-2 YEAR , , /) a LINEFLOOO / LOTUS I-AKE OHW:896.30 5 I 225028v1 r; I \ ,-- I I I I I I I q \ 287 City Council Item February 13, 2023 Item Approve Financial Management Policies File No.Item No: D.11 Agenda Section CONSENT AGENDA Prepared By Kelly Grinnell, Finance Director Reviewed By Laurie Hokkanen SUGGESTED ACTION "The Chanhassen City Council approves the Financial Management Policies." Motion Type Simple Majority Vote of members present Strategic Priority Financial Sustainability SUMMARY Over the years, the City Council has adopted and amended various financial policies. Staff has reviewed the existing policies and made changes based on comparisons to other cities' policies and model policies from the Government Finance Officers Association (GFOA). Staff has also identified some additional policies to incorporate, such as the Policies and Procedures for Federal Awards Administration. Staff has compiled the policies into the attached single financial policies book. Having good financial policies is important for many reasons. Rating agencies will review financial policies and use them to assess management while issuing credit ratings for cities. Financial policies are also critical for ensuring good internal controls are in place. The city's auditors will review policies and make sure staff is complying with existing policies. It is staff's intent to review the policy book on an annual basis (or sooner if needed) and bring recommended changes to council for approval. BACKGROUND 288 DISCUSSION BUDGET RECOMMENDATION Staff recommends that the city council approve the attached Financial Management Policies. ATTACHMENTS DRAFT Financial Management Policies 289 Staf CITY OF CHANHASSEN Financial Management Policies Adopted by the Chanhassen City Council Xx/xx/xxxx 290 City of Chanhassen Financial Management Policies 1 | P a g e Table of Contents FINANCIAL MANAGEMENT POLICIES OVERVIEW 2 REVENUE MANAGEMENT POLICY 3 OPERATING BUDGET POLICY 5 RESERVES POLICY 7 CASH AND INVESTMENTS POLICY 10 PUBLIC PURPOSE EXPENDITURE POLICY 14 PURCHASING POLICY 17 ACCOUNTS PAYABLE AND EFT PAYMENTS POLICY 25 CAPITAL IMPROVEMENT PLAN POLICY 27 CAPITAL ASSETS POLICY 29 DEBT MANAGEMENT POLICY 32 POST-ISSUANCE COMPLIANCE POLICY FOR TAX-EXEMPT BONDS 34 CONDUIT DEBT POLICY 39 POLICIES AND PROCEDURES FOR FEDERAL AWARDS ADMINISTRATION 42 ELECTED OFFICIALS OUT-OF-STATE TRAVEL POLICY 60 291 City of Chanhassen Financial Management Policies 2 | P a g e FINANCIAL MANAGEMENT POLICIES OVERVIEW The City of Chanhassen has an important responsibility to its citizens to plan the adequate funding of services desired by the public, to manage the municipal finances wisely, and to carefully account for public funds. The City strives to ensure that it is capable of adequately funding and providing local government services needed by the community. The City will maintain or improve its infrastructure on a systematic basis to ensure the maintenance of quality neighborhoods for its citizens. To achieve these goals, this plan has the following strategies for the City’s fiscal performance: 1. To be proactive, rather than reactive, in the City’s policy-making efforts to ensure that important decisions are not controlled by financial problems or emergencies. 2. To enhance the City’s Council’s policy-making ability by providing accurate financial information related to the various authority or service levels provided by the City. 3. To assist in sound management of the City government by providing accurate and timely information on financial condition. 4. To provide sound principles to guide the City Council with decisions that will have significant financial impact on the City. 5. To set forth operational principles that maximize efficiency and effectiveness, to the extent consistent with services desired by the public and minimize financial risk. 6. To utilize revenue policies and forecasting tools to prevent undue or unbalanced reliance on certain revenues and that also distribute the cost of municipal services fairly and provide adequate funds to operate desired programs. 7. To provide essential public facilities and prevent deterioration of the City’s infrastructure and various facilities. 8. To protect and enhance the City’s credit rating and prevent default on municipal debts. 9. To ensure the legal use and protection of City funds through a good system of financial and accounting controls. 10. To record expenditures in a manner that allocates to current taxpayers or users the full cost of providing current services. 11. To adopt a balanced budget in the General Fund that will ensure an adequate, stable fund balance. 12. To adopt budgets in other City funds that ensure an adequate, stable fund balance. To achieve these strategies the following fiscal policies have been adopted by the City Council to guide the City’s budgeting and financial planning process. Each fiscal policy section includes a statement of purpose and a description of the policy. 292 City of Chanhassen Financial Management Policies 3 | P a g e REVENUE MANAGEMENT POLICY It is essential to responsibly manage the City’s revenue sources to provide maximum service value to the community. The most important revenue policy guidelines established by the City Council are for the two major sources of City revenue: property taxes and fees/charges. A. Purpose The purpose of the is policy is to establish broad goals to assist the City in managing its revenue. These goals will consider diversification and stabilization, equity, economic development, and collections. 1) Diversification The City will strive to maintain a diversified revenue base to prevent fluctuations in revenue. Property taxes add stability to the revenue base but should not be the sole source of revenue. When possible, the City will seek our new sources of revenue to diversify the tax base. This could include long-term solutions, such as franchise fees or additional fees or charges. Short-term solutions should also be considered, such as a one-time sale of assets. 2) Equity The City will strive to ensure that funding is derived from a fair, equitable, and adequate resource base. Services having a citywide benefit shall be financed with revenue sources generated from a broad base, such as property taxes and state aids. Services where the customer determines the use should be financed with user fees, charges, and assessments related to the level of service provided. 3) Economic Development The City’s revenue sources should not unduly reduce the City’s economic competitiveness or negatively impact individual choices in the local economy. The City’s overall revenue structure should be designed to recapture some of the financial benefits resulting from economic and community development investments. The City will strive to keep a total revenue mix that encourages growth and keeps the City economically competitive. 4) Collections City staff should engage in vigilant collections of outstanding balances due to the City. However, the cost of collections should not exceed the marginal extra revenue obtained or absorb a large percentage of the amount collected. City staff may write off accounts receivable in amounts of $100.00 or less without Council approval. B. Property Taxes When possible, property tax increases should accommodate incremental adjustments versus large changes from year to year. Further, when discussing property taxes, the City should simultaneously explore other revenue and expenditure alternatives that will maximize the City’s future financial flexibility and ability to provide services. This may include considering options such as debt management, fees and charges, cost allocation, use of reserves, and expenditure cuts. Possible factors for considering an increase in property tax include: Maintenance of City services, including inflationary impacts Long-term protection of the City’s infrastructure Meeting legal mandates imposed by outside agencies Maintaining adequate fund balance and reserve funds sufficient to maintain or improve the City’s bond rating 293 City of Chanhassen Financial Management Policies 4 | P a g e Funding City development and redevelopment projects that will clearly result in future tax base increases (the expenditures of development and redevelopment funds must be in accordance with a defined strategy as shown in the City’s Comprehensive Plan, Capital Improvement Plan, or other City documents) Property tax increases to meet other purposes will be based on the following criteria: A clear expression of community need The existence of community partnerships willing to share resources C. Service Fees and Charges The City will consider establishing or modifying service fees and charges whenever appropriate to fairly allocate the full cost of services to the users of those services. Service fees and charges broaden the base to include tax exempt properties, which still have municipal costs associated with the property. Specifically, the City may: Establish utility rates sufficient to fund both the operating costs and the long-term depreciation and replacement of the utility systems As part of the City’s enterprise effort, evaluate City services and pursue actions to accomplish the following: Find community-based partners to share in service delivery Make services financially self-supporting or, in certain circumstances, profitable Annually review City services and identify those for which charging user fees are appropriate These services will be identified as enterprise services and a process for establishing fees will be set for each Part of this process may include a market analysis that compares City fees to comparable market cities or other service providers Waive or offer reduced fees to youth, seniors, community service groups, and other special population groups identified by the Council as requiring preferential consideration based on policy goals Selected criteria are used to determine the specific rate to charge for a fee or service. The rate criteria can be one of five approaches: Market Comparison – Attempt to set fees in the upper quartile of the market Maximum set by External Source – Fees set by legislation or another entity Entrepreneurial Approach – Fees will be at the top of the market Recover the Cost of Service – Program will be self-supporting Utility Fees – A rate study will be updated or reviewed annually D. Non-recurring and Volatile Revenues Non-recurring revenues should be directed towards one-time uses and should not be relied on to fund ongoing programs. Several one-time revenue sources, such as intergovernmental grants or aids and insurance dividends are outside of direct City control and must be relied upon conservatively. The City Manager and Finance Director shall ensure that the budget preparation process includes an evaluation of all major non-recurring revenues, to minimize reliance on unpredictable revenues for on-going operating costs. Volatile revenues, such as court fines, interest earnings, and building permits can produce undependable yields and should not be heavily depended on to fund ongoing programs. High yields from these sources should be treated like non-recurring revenues. Revenues can be considered volatile if they vary by more than 10% from budgetary estimates. 294 City of Chanhassen Financial Management Policies 5 | P a g e OPERATING BUDGET POLICY A. Purpose The operating budget is the annual financial plan for funding the costs of City services and programs. The operating budget will describe the goals to be achieved and the services and programs to be delivered for the level of funding. The general operating budget includes the General Fund, Special Revenue Funds, and Capital Funds. Enterprise operations are budgeted in separate Water, Sewer, and Surface Water funds. B. Balanced Budget The City Manager shall submit a balanced budget for the General Fund in which appropriations shall not exceed the total of the estimated revenues and available fund balance. A balanced budget is defined as a budget in which current revenues plus net operating transfers and one-time use of excess reserves will be sufficient to support budgeted expenditures. One-time reserves or use of excess reserves will not be used to fund ongoing expenditures. One-time funding sources shall only be used to fund capital improvements, equipment, one-time expenditures, or to improve fund balance. The City will provide for all current expenditures with current revenues. The City will avoid all budgetary procedures that balance current expenditures at the expense of meeting future years’ budget needs, such as postponing expenditures, rolling over short-term debt, or using reserves to balance the operating budget. C. Budget Period The City’s budget year is the calendar year. The City legally adopts an annual budget for the General Fund. Budgets for Special Revenue Funds, Debt Service Funds, Capital Project Funds, and Enterprise Funds are adopted for management purposes only. D. Basis of Budgeting The modified accrual basis will be used for all the Governmental Funds in the budget. The City uses the accrual basis of accounting for enterprise fund reporting. Under this basis, the receipt of bond proceeds, capital outlays, and debt service principal payments are not reported, but allocations for depreciation and amortization expense are recorded. However, when budgeting for enterprise funds the opposite is true so as to improve cash flow forecasting. E. Level of Control, Budget Transfer and Amendment Process The legal level of budgetary control is at the fund level, so any transfer of budget between funds (fund level) requires approval of the City Council. Department heads may make transfers of budget within their department (object level). However, budget transfers between departments (department level) requires authorization of the City Manager. Department heads must complete a budget transfer request form for any budget transfer. The following information is to be provided on the form: budget transfer amount, accounts involved, purpose, justification, date approved by department head, and department head signature. This form is submitted to the Finance Director for approval and if necessary routed to the City Manager and/or City Council. City Council approval is required for any overall increase or decrease in the operating budget. F. Long-Term Financial Forecasts The City Manager will coordinate the development of a five-year capital improvement plan budget and five-year outlook with the development of the operating budget. Operating costs associated with new capital improvements will be projected and included in future operating budget forecasts. The budget will provide for adequate maintenance of the capital plant and equipment, and for their orderly replacement. The impact on the 295 City of Chanhassen Financial Management Policies 6 | P a g e operating budget from any new programs or activities being proposed should be minimized by providing funding with newly created revenues whenever possible. G. Revenues in Excess of Budget Excess revenues from a specific fiscal year will be placed into the City’s reserves in a manner consistent with the City’s fund balance reserve policy. H. Encumbrances and Budget Carryovers All unencumbered appropriations for the City’s operating budget lapse at year-end. Amounts reserved for encumbrances are classified as assigned fund balance. Budget carryovers from a prior fiscal year must be approved by the City Manager and Finance Director and will be set aside as assigned fund balance. I. Performance Measurement The City Manager will ensure that a budgetary control system is in place to adhere to the adopted budget. The Finance Department will provide regular monthly reports comparing actual revenues and expenditures to budgeted amounts. The City’s annual budget shall be made available to citizens and the public upon request and available on the City’s website. The City shall maintain transparency and accountability of its financial resources and assets. 296 City of Chanhassen Financial Management Policies 7 | P a g e RESERVES POLICY A. Purpose It is important for the financial stability of the City to maintain reserves for unanticipated expenditures or unforeseen emergencies, as well as to provide adequate working capital for current operating needs to avoid short-term borrowing. The Reserves Policy of the City is managed closely with the City’s Debt Management Policy. The City may choose to consider paying cash for capital projects that can be anticipated and planned for in advance. Therefore, the City’s reserve levels fluctuate, in part, based on capital project plans. In establishing an appropriate reserve level, the City needs to consider the cash flow, capital asset purchases, need for emergency reserves, ability to manage fluctuations of major revenue sources, credit rating, and long- term fiscal health. B. Fund Balance Classifications for Governmental Funds Fund balances in governmental funds (versus enterprise or utility funds) are reported in classifications that disclose constraints for which amounts in those funds can be spent. The fund balance classifications are: Nonspendable – Consists of amounts that are not in spendable form, such as inventories and prepaid items Restricted – Consists of amounts related to externally imposed constraints, established by creditors, grantors, or regulatory agencies Committed – Consists of amounts that have internally imposed constraints, established by resolution of the City Council (committed amounts cannot be used for any other purpose unless the Council removes or changes the specified use by resolution of the City Council) Assigned – Consists of amounts that are intended to be used for a specific purpose and intent can be expressed by the City Council or by a delegate of the City Council Unassigned – Consists of the residual classification for the General Fund and also reflects negative residual amounts in other funds C. Authorization and Use of Fund Balance The City Council authorizes the Finance Director and/or City Manager to assign fund balance that reflects the City’s intended use of the specified funds. When both restricted and unrestricted (committed, assigned, or unassigned) resources are available for use, it is the City’s policy to use restricted resources first, and then use unrestricted resources as needed. When unrestricted resources are available for use, it is the City’s policy to use resources in the following order: 1) committed, 2) assigned, 3) unassigned. The exception to this is the Park Development Fund, where resources are used in the following order: 1) assigned, 2) committed, and 3) restricted. Committed fund balance items must be set in place prior to year-end, but the amount can be calculated after year-end. D. Fund Balance Policies for Fund Types 1) General Fund The General Fund is established to account for all revenues and expenditures which are not required to be accounted for in other funds. Revenue sources include property taxes; license and permit fees; fines and forfeits; charges for services; intergovernmental revenues; investment earnings; and transfers in. The General Fund’s resources finance a wide range of functions, including the operations of general government, public safety, public works, community development, and parks and recreation. 297 City of Chanhassen Financial Management Policies 8 | P a g e The City’s unassigned year-end fund balance in the General Fund shall be maintained at a minimum level of 50% of the following year’s property tax levy. The General Fund is the only fund that can have positive unassigned fund balance. The City may assign fund balance in the General Fund for purchase order encumbrances, budget carryovers, compensated absences, or other items. The City may commit fund balance in the General Fund for revenue stabilization arrangements or other items by City Council resolution. The General Fund may have a portion of its fund balance classified as nonspendable if there are inventories or prepaid items. 2) Special Revenue Funds Special revenue funds are used to account for and report the proceeds of specific revenue source that are restricted or committed to expenditures for specified purposes other than debt service or capital projects. The City will maintain fund balances in special revenue funds at a level which will avoid interfund loans to meet the cash flow needs of the current operating budget. Governmental accounting standards require that substantial inflows of revenues into a special revenue fund be either restricted or committed in order for the fund to be considered a special revenue fund. The specific revenue source for each special revenue fund and the specific purposes for which they are restricted or committed are as follows, less any amounts that are classified as nonspendable by their nature: Special Revenue Fund Specific Revenue Sources Restricted or Committed For Charitable Gambling Contribution Fund 100% of Fund Balance Restricted for equipment and training for the Fire Department Cemetery Fund 100% of Fund Balance Committed for cemetery maintenance CATV Fund PEG Fees from Franchise Agreements Committed for capital costs associated with public, educational, and government (PEG) communications Grant Fund 100% of Fund Balance Restricted for federal and state grant funds 3) Debt Service Funds Debt service fund balances are typically considered restricted. Fund balance may be assigned if the debt for the fund has been fully paid. The resources being accumulated in the funds are for payments of principal and interest maturing in current and future years. At year-end, fund balance in each Debt Service fund shall be at a minimum level of 100% of the debt service expense expected to be paid during the first half of the fiscal year. 4) Capital Project Funds Capital project fund balances are considered restricted or assigned. The resources being accumulated are for current and future projects. Capital project funds are used to account for and report financial resources that are restricted or assigned to expenditures for capital assets. The fund balances in these 298 City of Chanhassen Financial Management Policies 9 | P a g e funds vary annually based on the timing of construction projects and bond issuance. The City will maintain reserves in the Capital Project Funds at a minimum level sufficient to provide adequate working capital for current expenditure needs. The maximum amount of reserves should include the amount necessary to pay for future capital projects. Future capital projects must be identified and quantified in the Capital Improvement Plan. E. Enterprise (Utility) Fund Reserves The City will maintain reserves in the Enterprise (Utility) Funds at a minimum level sufficient to provide adequate working capital for current expenditures needs. Generally, the City shall strive for a minimum of 3-months of operating cash in these funds. The maximum amount of reserves should include the amount necessary to pay for future capital needs. Future capital projects must be identified and quantified in the Capital Improvement Plan. Rates and fees in these funds will be analyzed annually for a five-year period to provide for level rate changes. Enterprise Fund net position (equity) will be classified in one of the following categories: Net Investment in Capital Assets – The component of net position, which is the difference between the assets and deferred outflows of resources and the liabilities and deferred inflows of resources, that consists of capital assets less both accumulated depreciation and the outstanding balance of debt that is directly attributable to the acquisition, construction, or improvement of the capital assets. Restricted – The component of net position that consists of assets with constraints placed on their use by either external parties or through constitutional provisions or enabling legislation. Unrestricted – The net amount of the assets, deferred outflows of resources, liabilities, and deferred inflows of resources that are not included in the determination of net investment in capital assets or the restricted components of net position. 299 City of Chanhassen Financial Management Policies 10 | P a g e CASH AND INVESTMENTS POLICY Effective cash management is essential to good fiscal management. Investment returns on funds not immediately required can provide a significant source of revenue for the City. Investment policies must be well founded and uncompromisingly applied in their legal and administrative aspects in order to protect the City funds being invested. A. Purpose The purpose of this policy is to establish the City’s investment objectives and establish specific guidelines that the City will use in the investment of City funds. It will be the responsibility of the Finance Director to invest City funds in order to attain a market rate of return while preserving and protecting the principal of the overall portfolio. Investments will be made based on statutory constraints in safe, low-risk instruments. B. Scope/Funds This policy applies to the investment of all City funds available for investment and not needed for immediate expenditure. The City will consolidate cash balances from all funds to maximize investment earnings. Investment income will be allocated to the various funds based on their respective participation and in accordance with generally accepted accounting principles. C. Delegation of Authority Authority to manage the investment program is granted to the Finance Director who shall act in accordance with established written procedures and internal controls for the operation of the investment program consistent with this investment policy. Procedures should include references to safekeeping, delivery vs. payment, investment accounting, repurchase agreements, wire transfer agreements, and collateral/depository agreements. No person may engage in an investment transaction except as provided under the terms of this policy and the procedures established by the Finance Director. The primary objectives, in priority order, of investment activities shall be safety, liquidity, and yield: 1) Safety Safety of principal is the foremost objective of the investment program. Investments shall be undertaken in a manner that seeks to ensure the preservation of principal in the overall portfolio. The objective will be to minimize the risk of market fluctuations, such as credit risk and interest rate risk. Credit risk is the risk that the borrower will be unable to make their debt service payments to the investors. Interest rate risk is the risk that rates will (for example) rise while the investments you hold have lower rates. If the City were to sell these investments prior to maturity in this case, they would have to sell the investments at a loss. 2) Liquidity The investment portfolio must remain sufficiently liquid to meet all operating costs that may be reasonably anticipated. The portfolio must be structured so that securities mature concurrent with cash needs to meet anticipated demands. Cash needs will be determined based on cash flow forecasts. 3) Diversification of Instruments A variety of investment vehicles must be used to minimize the exposure to risk of loss. The investment portfolio must be diversified by individual financial institution, government agency, or by corporation (in the case of commercial paper) to reduce exposure to risk of loss. 4) Diversification of Maturity Dates Investment maturity dates should vary in order to ensure that the City will have money available when needed. 5) Yield 300 City of Chanhassen Financial Management Policies 11 | P a g e The investment shall be designed with the objective of attaining a market rate of return throughout budgetary and economic cycles, considering the investment risk constraints and liquidity needs. Return on investment is of secondary importance compared to the safety and liquidity objectives described above. D. Oversight The City Manager shall oversee the City’s investment program. The Finance Director will maintain a more detailed and comprehensive investment strategy based on the principles established by the City Council and consistent with the most current guidelines within the public sector. On at least an annual basis, the Finance Director shall provide a status report to the City Council. Annually, the City Council shall designate depositories for investment purposes. E. Allowable Investments The City shall invest in the following instruments as allowed by Minnesota Statute § 118A: Government Securities – Direct obligations of the federal government or its agencies, with the principal fully guaranteed by the U.S. Government or its agencies Certificates of Deposit – A negotiable or nonnegotiable instrument issued by commercial banks and insured up to $250,000, or the amount set, by the Federal Deposit Insurance Corporation (FDIC) State or Local Government Securities – Any security that is a General Obligation of any state or local government rated “A” or better by a national bond rating service Statewide Investment Pools – Statewide investment pools that invest in authorized instruments according to Minnesota Statute § 118A.04, such as the Minnesota Municipal Money Market (4M) Fund Money Market Mutual Funds – Money market mutual funds that invest primarily in U.S. Government and agency issues and repurchase agreements F. Ethics and Conflicts of Interest Officers and employees involved in the investment process shall refrain from personal business activity that could conflict with the proper execution and management of the investment program. Employees and investment officials shall disclose any material interests in financial institutions with which they conduct business or that could be related to the performance of the investment portfolio. Employees and officers shall refrain from undertaking personal investment transactions with the same individual with whom business is conducted on behalf of the City. G. Internal Controls, Audits, External Controls The Finance Director is responsible for establishing and maintaining an internal control structure designed to ensure that the assets of the City are protected from loss, theft, or misuse. Accordingly, compliance with City policies and procedures should be assured by the Finance Director and addressed through the annual audit process and preparation of the Annual Comprehensive Financial Report (ACFR). H. Authorized Financial Institution and Dealer In accordance with Minnesota Statute § 118.02, the responsibility for conducting investment transactions resides with the City Council. Also, the Council shall be responsible for designating the depositories of the funds. Depositories shall be selected through a banking services procurement process, which shall include a comprehensive review of credit characteristics and financial history by the Finance Director or reliance on selection criteria by an independent third party. In selecting depositories, the creditworthiness of the institutions under consideration shall be examined. The City Council shall designate depositories after a recommendation from staff. 301 City of Chanhassen Financial Management Policies 12 | P a g e Only approved security broker/dealers authorized in Minnesota Statute § 118A.06 shall be utilized for safekeeping and custody. All financial institutions and broker/dealers must supply the following as appropriate: Audited financial statements Proof of Financial Industry Regulatory Authority (FINRA) certification Proof of state registration Completed broker/dealer questionnaire for firms who are not major regional or national firms Certification of having read the City’s investment policy I. Broker Representations Cities must obtain from their brokers certain representations regarding future investments. The City will provide each broker with information regarding the City’s investment restrictions. Before engaging in investment transactions with the City, the supervising officer at the securities broker/dealer shall submit a certification stating that the officer has reviewed the investment policy and objectives, as well as applicable state laws, and agrees to disclose potential conflicts of interest or risk to public funds that might arise out of business transactions between the firm and the City. All financial institutions shall agree to undertake reasonable efforts to preclude imprudent transactions involving the City’s funds. J. Collateralization City funds must be deposited in financial institutions that provide at least $250,000 in government insurance protection. At no time will deposits in any one institution exceed the insured amount unless such excess amounts are protected by pledged securities. Pledged securities, computed at market value, will be limited to the following: United States Treasury bills, notes, or bonds that mature within five years Issues of United States government agencies guaranteed by the United States government General obligation securities of any state or local government with taxing powers rated “A” or better, or revenue obligation securities of any state or local government with taxing powers rated “AA” or better, provided no single issue exceeds $300,000 for maturing not exceeding five years Irrevocable standby letters of credit issued by Federal Home Loan Banks accompanied by written evidence that the bank’s public debt is rated “AA” or better Time deposits that are fully insured by any federal agency In order to anticipate market changes and provide a level of security for all funds, the collateralization level will be 110 percent (110%) of the market value of principal and accrued interest. Collateral shall be deposited in the name of the City, subject to release by the City’s Finance Director. All certificates of deposit purchased by the City shall be held in third-party safekeeping by an institution designated as primary agent. The primary agent shall issue a safekeeping receipt to the City listing the specific instrument, rate, maturity, and other pertinent information. All deposits will be insured or collateralized in accordance with Minnesota Statute § 118. No other collateral except as designated above will be authorized for use as collateral for City funds. K. Safekeeping and Custody When investments purchased by the City are held in safekeeping by a broker/dealer they must provide asset protection of $500,000 through the Securities Investor Protection Corporation (SIPC) and the current required amount of supplemental insurance protection. 302 City of Chanhassen Financial Management Policies 13 | P a g e L. Diversification It is the policy of the City to diversify its investment portfolios to eliminate the risk of loss resulting from the overconcentration of assets in a specific maturity, issuer, or class of maturities. The portfolio, as much as possible, will contain both short-term and long-term investments. The City will attempt to match its investments with anticipated cash flow requirements. Liquidity is necessary to pay for recurring operations. Maturities should be extended beyond the dates necessary to meet these projected liquidity needs and should be staggered in such a way that avoids overconcentration in a specific maturity sector. Extended maturities may be utilized to take advantage of higher yields; however, no more than 20% of the total investment portfolio should extend beyond five (5) years and in no circumstance should any extend beyond ten (10 years). The portfolio will reflect diversity by class of maturity and issuer. The following limits are imposed for investments of a specific class: Certificates of Deposit – At any one time, no more than 70% of the total portfolio shall consist of certificates of deposit. Maximum holdings for any one issuer of a certificate of deposit will be $250,000, or the amount insured by the Federal Deposit Insurance Corporation (FDIC), unless collateral is provided in accordance with this policy and Minnesota Statute § 118. Maximum holdings for any one issuer of collateralized certificates of deposit will be 5% of the total portfolio. Government Securities – At any one time, no more than 70% of the total portfolio shall be invested in obligations of the federal government or its agencies. State or Local Government Securities – At any one time, no more than 50% of the total portfolio shall be invested in State or local government securities. Maximum holdings for any one issuer of state or local government securities will be 10% of the total portfolio. Money Market Funds – At any one time, no more than 70% of the total portfolio shall be invested in authorized money market mutual funds. M. Investment Reporting Internal Reporting – Finance Department procedures shall ensure that investment portfolios are maintained on the City’s records system and reconciled monthly. A monthly internal report will be generated to show compliance with the investment policy Quarterly Reporting – A quarterly report on the portfolio will be created for inclusion with the quarterly financial report provided to the City Council. N. Interest Earnings Interest earnings will be credited to all funds with a positive cash balance at the end of each month, based on average cash balances during that month. Market value adjustments will be credited or debited to all funds with a positive cash balance based on average cash balances during that month. The City will use the average yield of the one-year Treasury note as a benchmark for performance comparisons. O. Conclusion The intent of this policy is to ensure the safety of all City funds. The main goal of the City will be to achieve a benchmark rate of return while maintaining the safety of principal. 303 City of Chanhassen Financial Management Policies 14 | P a g e PUBLIC PURPOSE EXPENDITURE POLICY A. Purpose The City Council recognizes that public funds may only be spent if the expenditure meets a public purpose, and the expenditure relates to the governmental purpose for which the City was created. An expenditure that Minnesota Statute specifically or implicitly authorizes is considered a valid public purpose expenditure. The meaning of “public purpose” is constantly evolving. The Minnesota Supreme Court has followed a broad approach and has generally conclude that “public purpose” means an activity the meets ALL the following standards: The activity will primarily benefit the community as a body The activity is directly related to functions of government The activity does not have as its primary objective the benefit of a private interest whether profit or non- profit This policy is intended to provide guidelines regarding which expenditures are for public purposes and authorized in accordance with the City’s annual budget process, and which expenditures are not considered to fall within the public purpose definition and are therefore not allowed. B. Permitted Expenditures for Meals and Refreshments Use of City funds in reasonable amounts for meals and/or refreshments for elected and appointed City officials and employees are permitted in the following circumstances, with Department Head approval: 1) City-sponsored events of a community-wide interest where staff are required to be present (e.g., 4 th of July, National Night Out, Feb Fest, etc.) 2) City Council, boards, and commissions meetings held during or adjacent to a meal hour 3) Meetings related to City business at which the attendees include non-City representatives 4) Professional association meetings, conferences, and training when meals are included as part of the registration or program fee, or in accordance with the travel policy 5) Election judge training and duty 6) Employee training and events 7) Annual recognition events for volunteer and non-employees 8) Fire department meetings and in-house training sessions 9) Multi-department meetings scheduled during or adjacent to a meal hour when no other meeting time is available 10) Work activities requiring continuous service when it is not possible to break for meals (e.g., election days, water main breaks, emergency snow removal, public safety responses) 11) Healthy snacks and incentives of moderate value provided to attendees of safety, health, and wellness programs for City employees 12) Events recognizing completion of a significant work-related project (City Manager approval required) 13) Reimbursable travel expenses for employees and councilmembers are outlined in the City of Chanhassen Personnel Policy. 14) The City will not purchase or reimburse any employee, councilmember, or agent for the purchase of alcohol. The costs of these meals are included within individual department budgets. These budgets are approved annually by the City Council as a part of the overall budget approval process which includes a public hearing on the proposed budget. 304 City of Chanhassen Financial Management Policies 15 | P a g e C. Memberships and Dues The City Council has determined that the City will fund memberships and dues in professional organizations and City social and community organizations when the purpose is to promote, advertise, improve, or develop the City’s resources. In addition, memberships and dues will be allowed for employees, councilmembers, and commission members if the dues promote primarily educational opportunities related to their field or assigned duties and are not solely for personal interest or gain. The costs of these memberships and dues are included within individual department budgets. These budgets are approved annually by the City Council as a part of the overall budget approval process which includes a public hearing on the proposed budget. D. Employee Recognition Program The City Council recognizes the hard work and service performed by the employees of the City through a formal Employee Recognition Program. The Council believes the benefits of attracting, retaining, and motivating employees through an Employee Recognition Program support employee job satisfaction, which in turn impacts cooperation and productivity. The result is to provide excellent public and customer service to better serve the interests of the citizens of the community. The Employee Recognition Program is considered additional compensation for work performed by employees but is entirely depending on receiving funding from year-to-year. Service recognition awards shall be given to all regular and full-time employees who have completed continuous years of service. The following awards have been established: Years of Service Award Five (5) Certificate and $50 Ten (10) Certificate and $100 Fifteen (15) Certificate and $125 Twenty (20) Certificate and $150 Twenty-five (25) Certificate and $175 Thirty (30) Certificate and $225 Thirty-five (35) Certificate and $275 Forty (40) Certificate and $500 Forty-five (45) Certificate and $750 The costs of these recognition awards are included within individual department budgets. These budgets are approved annually by the City Council as a part of the overall budget approval process which includes a public hearing on the proposed budget. The City supports events that are planned and paid for by employees. Examples of such events include, but are not limited to, the summer picnic, potluck meals, and holiday parties. The council understands that these events may occur during normal working hours and if approved by the City Manager or his/her designee, employees will not be required to use vacation or compensatory time for such events. The City Manager has the authority to approve other forms of recognition including issuance of flex time or compensatory time as he/she sees appropriate. E. Credit Card Use The use of credit cards by any employee otherwise authorized to make purchases on behalf of the City is permitted, provided that purchases made by credit card comply with all statutes, rules, and/or City policy 305 City of Chanhassen Financial Management Policies 16 | P a g e applicable to purchases. The use of City credit cards shall be limited to purchases on behalf of the City and for no other purpose. All purchases on City credit cards are required to have detailed supporting receipts. In addition, all monthly credit card statements are to be reviewed by the employee’s department head and signed for approval. F. Uniforms, Clothing, and Apparel The City purchases uniforms, clothing, and apparel considered necessary for safety or for visible staff recognition by the public (e.g., safety footwear, safety glasses, shirts with the City logo for building inspectors and other staff who interact with the public). 306 City of Chanhassen Financial Management Policies 17 | P a g e PURCHASING POLICY A. Introduction Purchasing policies and procedures are required because they: Ensure purchases conform to legal requirements Prevent expenditures from exceeding the budget Provide proper documentation for purchases Prevent payment for items not received Ensure accurate accounting Provide payment of all bills within 35 days of receipt Prevent duplicate payments on the same invoice All purchasing by local government units is regulated by State law. Because of these laws and because of the unique nature of budget and tax levy procedures for funding City government, all City employees must conform to these purchasing policies and procedures. The Finance Department will review and approve all purchases and employee reimbursements and will ensure that all purchases and payments are legal, properly coded, and well documented. B. Quick Reference Guide for Purchases The table below shows the required quotes, bids, payment options, and approvals needed for various purchase amounts. All purchases must be included in the operating budget or Capital Improvement Plan. Purchases of professional services are included in a separate section. Amount of Purchase Quotations or Bid Needed* Payment Request Options Approval Needed Prior to Purchase? $5,000 or less None Credit Card Check Request Department Finance City Manager City Council Yes No No No $5,001 - $10,000 Two written quotes or proposals Credit Card Check Request Department Finance City Manager City Council Yes No No No $10,001 - $20,000 Two written quotes or proposals Credit Card Check Request Department Finance City Manager City Council Yes Yes Yes No $20,001-$175,000 Two written quotes or proposals Check Request Department Finance City Manager City Council Yes Yes Yes Yes Over $175,000 Sealed bids Check Request Department Finance City Manager City Council Yes Yes Yes Yes *If the purchase is over $20,000 Council approval is required prior to the purchase. However, Council approval is not required on purchases over $20,000 for regular utility bills, insurance premiums, payments due to other units of government, or payments required to be made before the next regular meeting of the Council to avoid endangering public safety, damaging public or private property, or interrupting City services. 307 City of Chanhassen Financial Management Policies 18 | P a g e C. Professional Services The same purchase amount thresholds apply to approvals for professional services; however, services typically utilize a Request for Proposal (RFP) process versus quote or bids. Utilizing an RFP process, bid, or quote is required for soliciting professional services that exceed $25,000 except when an established consultant pool is in place. For professional services less than $25,000, or when utilizing an established consultant pool, direct solicitation and negotiation can be utilized. Unique professional services are not required to utilize an RFP process, if those professional services are specialized or based on specific expertise or professional abilities. All professional services should have a written agreement. Section K contains additional information on agreement processing. D. Ethics/Vendor Relationships The City holds its employees to the highest ethical standards. Purchases shall be conducted so they foster public confidence in the integrity of the City’s procurement system, and open and free competition among prospective suppliers. In keeping with this value, employees should avoid the following practices when making purchases on behalf of the City: Circumventing competitive bidding requirements – Examples of this include: o Splitting purchases so that they can be made through several smaller purchases o Using the emergency procedure process when no true emergency exists o Using a sole source exemption when competition is available Denying one or more vendors the opportunity to bid on a contract – Examples of this include: o Using unnecessary restrictive specifications o Pre-qualifying bidders on a discriminatory basis o Removing companies from a bidders list without just cause o Requiring unnecessarily high bonding Giving favored vendors an unfair advantage – Examples of this include: o Providing vendors with information regarding their competition’s offers in advance of a bid opening o Making information available to certain vendors and not to others o Giving certain vendors inaccurate or misleading information Accepting gifts from vendors – Examples of this include: o Minnesota Statute § 471.895 prohibits government employees from receiving gifts except where they are included as part of the cost of a product, good, or service provided (such as a meal provided as part of a conference) Purchasing personal items from a vendor using government pricing E. Environmentally Preferred Products Environmentally preferable products are goods and services that have a lesser or reduced effect on human health and the environment when compared to other goods and services that serve the same purpose. They contain recycled content, are sustainably harvested, are made with less toxic materials, or conserve energy or water. The Minnesota Pollution Control Agency website for sustainable purchasing provides several tips to consider when purchasing: Sustainable government purchasing | Minnesota Pollution Control Agency (state.mn.us). 308 City of Chanhassen Financial Management Policies 19 | P a g e F. Authorization The City has a decentralized purchasing program where individual departments are responsible for making their own purchases. Front desk administrative staff can assist with purchasing supplies maintained in the office supply closet, paper, and small office furniture. The steps in the payment authorization process are: 1) Determine the need for commodities and services 2) Research the cost of the purchase and determine the proper purchasing alternative 3) Determine the appropriate account coding and whether there are sufficient funds available in that budget line item 4) Forward the request to the department director or designee for approval (review the Quick Reference Guide to determine if Finance Director, City Manager, and/or City Council approval is required) 5) Commodity or service is ordered 6) Commodity is received or service is performed 7) Department director forwards request for payment with invoice to the Finance Department for approval and input into the financial system 8) Payment is made by the Finance Department 9) Claims roster is presented to the City Council for approval G. Purchasing Alternatives 1) Quotes If a purchase is estimated to cost at least $5,001, but not exceed $175,000, the purchase may be made either by sealed bids or by direct negotiation based on quotations. If a purchase is made in this range, staff members are required to obtain at least two written quotes. If the quotes are not written, the requestor who received the verbal quote must document the verbal quote in writing. All such quotes must be forwarded to the Finance Department with the purchasing documents (invoices). 2) Sealed Bids A formal sealed bid process is required for all purchases over $175,000 except for professional services. Online (electronic) bidding platforms are acceptable to use. A published notice of bid is required in the official City newspaper at least seven days in advance of bid opening. The published notice must state where the plans and specifications can be obtained by bidders and specifically, where the bid opening will be held. The notice may also be published on the City’s official website; however, this publication is in addition to the official newspaper publication. All bid openings, preparation of all specifications, and required authorization for plans and specifications are to be administered by the originating department. The Council must formally approve the contract. 3) Sole Source Purchases If there is no ability to solicit multiple bids, departments must demonstrate that the purchase from a particular vendor is sufficiently justified as sole source. Sole source means that a single vendor is uniquely qualified to meet the department’s procurement objective. To be considered a sole source and therefore exempt from the bid process, one of the following conditions must be met: The actual product or service needed is the only one that will meet the department’s need or requirement, and it can only be purchased from one source (manufacturer or distributor) The product or service must match or be compatible with current equipment or services The product needed is specifically required for use in conjunction with a grant or contract The service needed is controlled or mandated by the local, state, or federal government The service is artistic An unusual or compelling urgency exists 309 City of Chanhassen Financial Management Policies 20 | P a g e If the need meets one of the above criteria, the department can negotiate with the vendor directly. 4) Best Value For the purposes of construction, building, alteration, improvement, or repair services, “best value” procurement is an option subject to the limits contained in Minnesota Statute § 16C.28 Subd. 1. 5) State, County, and Other Cooperative Purchasing Contracts The City participates in the State of Minnesota Cooperative Purchasing Venture (CPV). This enables participants to buy goods and services at a reduced cost under the terms of contracts already negotiated by the State of Minnesota. Participation in other purchasing cooperatives is encouraged by all departments. If a product or service will be purchased under the state contract the vendor should be informed. When completing the purchasing paperwork, it should be noted that that purchase is per state contract and indicate the state contract number. Per Minnesota Statute § 471.345 Subd. 15, if a contract is estimated to exceed $25,000, the City must consider the availability, price, and quality of supplies, materials, or equipment available through the CPV before purchasing through another source. 6) Emergency Purchases Emergency situations may arise where the normal purchasing process cannot be followed for the procurement of goods and services. An emergency means an unforeseen combination of circumstances that calls for immediate action to prevent a disaster from developing or occurring. Minnesota Statute § 12.29 gives the Mayor the authority to declare a local emergency for up to three days, which period may be extended by the City Council. During such an emergency, if authorized by the City Council, the City is not required to use the typically mandated procedures for purchasing and contracts. During that time, the Council may waive compliance with the prescribed purchasing guidelines, including compliance with Minnesota Statute § 417.345, Uniform Municipal Contracting Law. Whenever possible the current purchasing policies and procedures should be followed even when an emergency is declared, but as described above if the emergency requires speedy action essential to the health, safety, and welfare of the community and if there has been an emergency declaration, the standard purchasing policies and procedures can be waived in accordance with Minnesota State § 12.37. 7) Request for Proposals (RFP) RFPs may be used to solicit proposals for professional services. Typical information to address in RFPs includes: Background and scope of the project The project’s budget to ensure that the proposals stay within that range Proposal requirements should include adequate information to allow for proper review and evaluation, including: o Description of firm and qualifications, including any specialized experience related to the project o A list of similar projects the firm has completed o Project timetables including an estimate of hours, breakdown of hours by phase, and the City’s expectation for a completion date o Designation of a firm principal who will oversee the project o Résumés for key staff who will work on the project o Statement that either no subcontractors are allowed or that all subcontractors will be identified and are subject to the City’s approval Not to Exceed or Lump Sum Fee to provide the service along with a fee schedule Description of the City’s selection process 310 City of Chanhassen Financial Management Policies 21 | P a g e City’s evaluation criteria, which typically may include: o Quality and thoroughness of the proposal o Similar experience and/or expertise o References o Cost estimate The following statements must be included: o “The City reserves the right to reject any and all proposals, waive all technicalities, and accept any proposal deemed to be in the City’s best interest.” o “Proposers are solely responsible for delivery of their proposal to the City before the deadline. Any proposal received after the deadline will not be considered and will be returned.” Submittal deadline information: date, time, project name, and addressee Information about where questions should be directed (Note – staff should make sure that all proposers are given the same information) Attach a copy of the agreement proposed to be used for the project, including the City’s insurance requirements. The agreement includes provisions to which the firm must agree, so it is important that they see the agreement upfront. It is suggested the RFP be submitted to the City attorney for review prior to distribution. 8) Leases All lease agreements need approval through the Finance Department and possibly legal counsel prior to initiating or modifying a lease. 9) Online Purchases The following guidelines are recommended for online purchases: All addresses for secure purchasing sites should have an https:// prefix No purchase should be made from a City account while connected to any public Wi-Fi service Whenever possible avoid making credit card purchases over the telephone City credit card numbers should not be stored on any ecommerce site Avoid online purchases from sites located outside the United States H. Payment The City uses various processes in making payments for goods and services. 1) Standard Purchase Orders Purchase orders are used when required by the vendor to acknowledge the City’s request for goods and services. A copy of the purchase order will be sent to the vendor when requested. Once an invoice is received and the purchase order complete, the purchase order should be attached to the invoice and authorization for payment to the Finance Department. 2) Accounts Payable Payments The Finance Department policy is for invoices to be paid on one of the weekly claims lists. Payments submitted by 3:00 p.m. on Wednesday will be paid by check on Thursday if due. Payments to be processed electronically will be credit to vendor bank accounts on the following Monday or the next business day if Monday is a holiday. 3) Blanket Purchase Orders, Charge Accounts, Online Accounts, and House Accounts The City uses blanket purchase orders, charge accounts, and house accounts for frequently used vendors. This process requires submission of receipt with an account code and department approval. All new open accounts must be authorized by the requesting department and Finance department. House accounts are not to be used for personal purchases. Use of City online accounts for personal purchases is strictly prohibited. Violation can result in disciplinary action and/or termination. 311 City of Chanhassen Financial Management Policies 22 | P a g e 4) Invoices Invoice must be attached to any accounts payable payment, purchase order, or expense voucher along with proper authorization. Documentation must be returned to the Finance Department to be processed on claims list. 5) Statements The Finance Department tracks all statements – reviewing old invoices or credits. For certain vendors where the City has open accounts, accounts are paid once a month after matching invoices to the statement. 6) Account Coding All requests for payment including purchase orders, invoices, or expense vouchers must have an 11-digit code (Fund-Dept-Object) to process payment. Refer to the department budget for the line-item code. A description of the goods or services provided should be included. 7) Credit Cards The City issues credit cards to some staff members to allow for more efficient purchasing and to make purchases at businesses that do not allow open accounts. The Finance Department issues credit cards as requested by department heads. All credit cards have a transaction limit and overall credit limit. Credit card statements must be reviewed each month and each transaction must have a detailed receipt. Department heads should code and sign off on all transactions and monthly statements and forward to the Finance Department. 8) Electronic Funds Transfer Electronic Funds Transfers (EFT) may be required in some cases to complete a business transaction. These purchases need to follow all other standard guidelines for payment processing. The City’s preference is to push (initiate) these transactions versus having them pulled from the bank account, but under certain circumstances pull transactions are allowed. 9) Expense Reimbursement A complete and signed authorized form is required for reimbursement of employees for City-related expenses. All requests must contain proper account coding, department head approval, and original itemized receipts. I. Prompt Payment of City Bills State law requires municipalities to pay obligations within a standard payment period except where good faith disputes exist. The City is required to pay invoices within 35 days of receipt. The date of receipt is defined as the completed delivery of the goods or services or the satisfactory installation or assembly, or the receipt of the invoice for the delivery of goods, whichever is later. The City has the responsibility to notify vendors of invoice errors within 10 days of receipt. Minnesota Statute § 471.425 requires the City to calculate and pay interest of 1 ½ percent per month on bills not paid within 35 days. The minimum monthly interest penalty payment is $10.00 on any one overdue bill of $100 or more. For unpaid balances less than $100, the actual interest penalty of 1 ½ percent per month is due the vendor. Purchases or contracts for service with a public utility or telephone company are not subject to the requirements of this statute. J. Final Payments on City Construction Contracts The State of Minnesota requires the filing of Form IC-134 prior to the final payment of any contract involving employees under Minnesota Statute § 270C.66 CONTRACTS WITH STATE: WITHHOLDING. 312 City of Chanhassen Financial Management Policies 23 | P a g e Before final payment can be made on any contract which involves the payment of wages by a contractor of the City to any employee, or subcontractors with employees that performed work on a job for the City, the contractor must furnish to the City a copy of Form IC-134 that has been certified by the Minnesota Department of Revenue. These forms should be kept on file in with all the other contract documents for possible review by the auditors. K. Agreement Processing Agreements need to be reviewed by the City Attorney unless they follow a previously used format, such as Standard Form of Agreement or Contracts for Private Redevelopment. If attachments to the agreement modify the agreement or provide new terms the agreement should be reviewed by the City Attorney prior to submission for City Council and/or signatures. The City Attorney must review an agreement if it is written on the other party’s form or if a special agreement is drafted. Department heads may authorize agreements up to $5,000 in value. The City Manager is authorized to sign agreements up to $20,000 in value, however he/she may delegate the authority for approval of such agreements. The Finance Director must also authorize agreements between $10,001 and $20,000. Council authorization is required where a contract exceeds $20,000. These agreements should be signed by the Mayor and City Manager. An original signed copy of the agreement should be returned to the City. L. Capital Outlay and Capital Assets 1) Capitalization Threshold Capital outlay purchases are for tangible items costing $10,000 or more and having a life expectancy of two years or more. These items are typically coded to expense codes beginning with “47xx”. Delivery charges, sales tax, and other related items should be included as a cost of the item. The capital asset is recorded at the total cost to place the asset in its intended location and condition for use. 2) Acquisition When a capital asset is purchased, a capital asset form should be completed by the department making the purchase and sent to the Finance Department. Vendor invoices should be included to support the amount recorded. 3) Tracking and Transfer Once a capital asset is recorded in the City’s financial system it is the responsibility of the assigned department to notify the Finance Department of any assets that have been transferred to a different department. A physical account of all capital assets should be done each year by each department. The Finance Department will provide a capital assets list for this purpose. Any discrepancies should be noted by the department. 4) Deletion or Disposal of Capital Assets When a capital asset is sold or disposed of the assigned department must complete a capital asset form with the required information for the Finance Department to remove the asset from the financial system. This includes items that are disposed of, sold, or traded in. M. Technology Purchases All technology purchases, including hardware and software purchases and agreements, must be reviewed, and approved by the IT Manager before purchase. The IT Department will coordinate and facilitate all technology purchases and agreements for individual departments and the enterprise as a whole. New software and technology, providing enhanced capabilities not previously deployed by the City, must also be approved by the City Manager. N. Disposal of Surplus Property 1) Auction 313 City of Chanhassen Financial Management Policies 24 | P a g e The City disposes of surplus vehicles and equipment through public sale in accordance with Council policy. Throughout the year the City collects items to be sold at public auction and sends them to an auctioneer with a description and number of items to be sold. The auction house forwards a tabulation of the bids received along with payment. The information is reviewed by the equipment manager and payment is forwarded to the Finance Department. A capital asset disposal form must be filled out when an item sold at auction was listed in the City’s financial system. 2) Computer Equipment When computer equipment has reached the end of its useful life with the City it may be disposed of in one of the following ways: Sealed bids Donation to non-profit or governmental agency (City Manager approval required) Sold at auction Recycle through an authorized computer recycling vendor Dispose of as waste O. Procurement Policies when Using Federal Dollars/Grants The City has a separate Policies and Procedures for Federal Awards Administration for the use of federal grant funds. 314 City of Chanhassen Financial Management Policies 25 | P a g e ACCOUNTS PAYABLE AND EFT PAYMENTS POLICY A. Purpose The purpose of the policy is to ensure that payments are initiated, executed, and handled in a secure manner and to ensure that adequate banking controls are maintained. B. Purpose This policy shall establish financial controls and management procedures for all payments. Payments are made by check, Electronic Funds Transfers (EFT), or by purchasing card. EFT payments include Automated Clearing House (ACH) transfers and wire payments. C. Payment Processing All new vendors must be authorized by the Assistant Finance Director or Finance Director Qualified vendors must complete and return a Form W-9 “Request for Taxpayer Identification Number and Certification” to the Finance Department Vendors outside the United States must complete and return the appropriate Form W-8 before goods or services are ordered and payment is made Payments are to be made on original invoices received from vendors, and not solely from a vendor statement Accounts payable staff will verify the information contained on the invoice, including the vendor name, address, purchase order if applicable, and amount Qualified claims will be paid within 35 days of receipt Payments made after 35 days on undisputed invoice will include interest per Minnesota Statute § 461.425 Invoices will be submitted and paid according to the timeline established by the Finance Department All invoices must be verified by the person who placed the order and approved through the City’s established approval process The Finance Department will separate roles and responsibilities of employees performing accounts payable duties to ensure appropriate segregation of duties, in an attempt to reduce the risk of fraud and error Bank activity will be monitored daily for unusual and unexpected transactions Reconciliation of bank activity to the general ledger will be performed in a timely manner with all exceptions resolved. All paid claims will be reported to the City Council in accordance with established City policies D. EFT Payments Vendors requesting EFT payments will provide banking information on a form provided by the City Accounts payable staff will independently confirm the banking instructions with the vendor to prevent fraud and strengthen the integrity of the data All EFT payments will be initiated by secure computer-based systems The Finance Director will designate a primary administrator to manage and control access to the systems used to process EFT transactions The primary administrator shall ensure that adequate separation of duties exists in accordance with accepted internal control standards The mechanism by which EFT payment requests are communicated to the disbursing bank will have adequate controls to prevent unauthorized access (these controls should include password protected user accounts, PINs, a designated administrator, and/or multi-factor authentication) Positive pay and/or filters will be used for EFT payments EFT payments require that one employee initiate the transaction, and another approve the transaction 315 City of Chanhassen Financial Management Policies 26 | P a g e The procedures to initiate, approve, record, and report an EFT payment are subject to the same financial policies, procedures, and controls that govern disbursements made by any other means For recurring EFT payments, the administrator will coordinate the establishment of a template with receiving and disbursing bank information that may not be altered without the approval of two authorized signers E. Payment by Check Blank check stock will be kept in a secure, locked location Checks will not be issued to “Cash” Positive pay will be used for all payments made by check 316 City of Chanhassen Financial Management Policies 27 | P a g e CAPITAL IMPROVEMENT PLAN POLICY A. Purpose As the demand for services and the cost of building and maintaining the City’s infrastructure continues to increase, a methodology must be employed that provides a realistic projection of community needs, the meeting of those needs, and a framework to support City Council prioritization of those needs. A Capital Improvement Plan (CIP) is a community planning and fiscal management tool used to coordinate the location, timing, and financing of capital improvements over a multi-year period. B. Scope The CIP includes the scheduling of public improvements for the community over a five-year period and considers the community’s financial capabilities as well as its goals and priorities. Capital improvements include major expenditures such as: Purchase of major equipment (e.g., vehicles, playground equipment, snowplows) Acquisition of land for a public purpose (e.g., for a park or facility) Construction, expansion, or major renovation of a public facility or infrastructure Related planning, engineering, design, and feasibility costs C. Benefits of a CIP It ensures the timely repair and replacement of aging infrastructure It provides a level of certainty for residents, businesses, and developers regarding the location and timing of public investments It identifies the most economical means of financing improvement projects It eliminates unanticipated, poorly planned, and unnecessary capital expenditures It eliminates sharp increases in taxes, user fees, and debt levels to help cover unexpected capital improvements It helps to ensure that patterns of growth and development are consistent with the comprehensive plan It helps to balance desired public improvement with the community’s financial resources D. Features of a CIP The CIP includes the following information for each proposed item: A description and justification for the proposed capital improvement A narrative describing the budget impact of the improvement Total expenditures by year for the capital improvement Funding sources by year for the capital improvement Priority of the capital improvement Additional information such as useful life, type of improvement, etc. E. CIP Development Process Department heads submit a list of capital improvement projects City staff works to consolidate and prioritize the recommended projects into the proposed CIP Funding sources for each projected are analyzed If debt issuance is required, the impact of the debt on property taxes, utility rates, or other user charges is analyzed and compared to existing taxes, utility rates, and other user charges The preference of Council is to limit new debt to the following: o Special assessment funded portion of a project o That portion of a project that will be repaid from tax increment 317 City of Chanhassen Financial Management Policies 28 | P a g e o Major new facilities, such as a new City Hall or Regional Park The overall CIP should have an acceptable impact on tax levy, total debt, and utility rate levels The City Council will evaluate the proposed CIP and approve the projects deemed necessary and affordable The CIP is linked to the budget – the first year of the CIP is known as the capital budget, and when adopted becomes part of the annual operating budget 318 City of Chanhassen Financial Management Policies 29 | P a g e CAPITAL ASSETS POLICY A. Purpose It is essential for financial reporting and cost accounting purposes that City departments follow a uniform policy for capitalizing expenditures. Capital expenditures are used to acquire assets or improve useful life of existing assets. The purpose of the capital assets policy is to define the accounting practices and procedures that will ensure effective and accurate documentation of the value of capital assets and their corresponding depreciation to be reported in the City’s financial reports. B. Capitalization Thresholds The City will maintain a schedule of individual capital assets with an original cost equal to or greater than the amounts shown below and an estimated useful life of greater than two years: Asset Type Threshold Land and Land Improvements Always Construction in Progress Track and capitalize when complete Easements $50,000 Buildings and Building Improvements $50,000 Infrastructure $100,000 Machinery and Equipment $10,000 Intangible Assets $50,000 C. Recording Capital Assets Capital assets should be recorded and reported at historical cost. When the historical cost of a capital asset is not practicably determinable, the estimated historical cost of the asset should be determined by appropriate methods. Estimated historical cots should be identified in the records, including the basis of determination. D. Contributed (Donated) Capital Acceptance of contributions of capital assets shall be in accordance with applicable Minnesota Statutes and shall be approved by the City Council. Contributed capital assets should be recorded and depreciated in the same manner as all other capital assets. Donated capital assets should be recorded at fair value at the time of acquisition. In addition, capital assets acquired through contribution from an outside source should be identified in the records of the City, including documentation of the actual or estimated value and the basis of determination. E. Intangible Assets Intangible assets possess three characteristics: Lack of physical substance; Initial useful life in excess of one year; and Nonfinancial in nature Examples of intangible assets include easements, land use rights, patents, trademarks, copyrights, or software that is purchased, licensed, or internally generated. An intangible asset should be recognized in the statement of net position only if it is identifiable. This means the asset can either be: Sold, transferred, rented, or exchanged, or 319 City of Chanhassen Financial Management Policies 30 | P a g e Arose from contractual or other legal rights, regardless of whether those rights are transferable or separable Donated intangible assets should be recorded at fair market value as of the donation acceptance date. F. Improvements The City will maintain its assets to protect its capital investment and to minimize future capital expenditures. Capital asset improvement costs should be capitalized if: The costs exceed the capitalization threshold, and One of the following criteria is met: The value of the asset or estimated life is increased by 25% of the original cost or life period, or The cost results in an increase in the capacity of the asset, or The efficiency of the asset is increased by more than 10% of its current value Otherwise, the cost should be classified as a repair and maintenance expense under the appropriate department and expense category. G. Depreciating Capital Assets Capital assets will be depreciated over their estimated useful lives unless they are: Inexhaustible (i.e., land and land improvements, certain works of art and historical treasures), or Construction work in progress For financial reporting purposes, the straight-line method will be used to calculate depreciation with no salvage value. No depreciation will be taken in the year of acquisition and a full year of depreciation will be taken in the year of retirement or disposition. For depreciation purposes, the following guidelines will be used to estimate the useful life of the asset: Buildings and Building Improvements Useful Life Buildings – wood frame 30 years Buildings – brick/block 30 years Buildings – temporary/portable 20 years Roofing 20 years Siding 20 years HVAC/Plumbing/Electrical systems 20 years Fire suppression systems 10 years Security systems 10 years Cabling 10 years Flooring 10 years Elevators 20 years Windows 15 years Infrastructure Useful Life Streets, including curb and gutter 30 years Storm drain systems 30 years Parking lots 25 years Sidewalks 25 years Pedestrian bridges 25 years 320 City of Chanhassen Financial Management Policies 31 | P a g e Paved trails 25 years Streetlights 25 years Water/Sewer mains and lines 30 years Water storage facilities 30 years Water treatment plants 30 years Lift stations 30 years Other Improvements Useful Life Fencing and gates 10 years Outside sprinkler systems 20 years Athletic fields, bleachers 25 years Septic systems 20 years Swimming pools 20 years Tennis, basketball, other sport courts, skate park equipment 25 years Fountains 20 years Retaining walls 20 years Outdoor lighting 20 years Monuments 10 years Traffic signals 20 years Light poles 20 years Landscaping and trees 20 years Boat launch pads 25 years Equipment, Machinery, and Vehicles Useful Life Appliances 5 years Audio/Visual equipment 5 years Business machines and office equipment 5 years Radio and communications equipment 10 years Computer equipment and software 3 years Furniture and cabinets 10 years Recreational/Athletic Equipment 10 years Water softeners/heaters 5 years Grounds equipment – mowers, etc. 8 years Machinery 7 years Tools 5 years Playground equipment 10 years ATVs and other utility vehicles 5 years Motor vehicles – cars and light trucks 8 years Light equipment 8 years Street sweepers 8 years Heavy trucks 10 years Heavy equipment – loaders, graders 10 years For items not listed, staff will research and determine an appropriate useful life. 321 City of Chanhassen Financial Management Policies 32 | P a g e H. Historical Treasures and Works of Art Historical treasures and works of art are items which are considered inexhaustible and held for public exhibition, educational purposes, or research in enhancement of public service instead of financial gain. Examples are paintings, sculptures, photography, maps, manuscripts, musical instruments, recordings, film, furnishings, artifacts, tools, weapons, and other memorabilia. These items are generally considered inexhaustible and are, therefore, not depreciated. DEBT MANAGEMENT POLICY A. Purpose The purpose of the debt policy is to ensure that debt is used wisely, and that future financial flexibility remains relatively unconstrained. Debt is an important mechanism to fund capital expenditures. It can reduce long-term costs due to inflation, prevent lost opportunities, and equalize the costs of improvements to present and future constituencies. Debt management is an integral part of the financial management of the City. Adequate resources must be provided for the repayment of debt, and the level of debt incurred by the City must be effectively controlled to amounts that are manageable and within levels that will maintain or enhance the City’s credit rating. A goal of debt management is to stabilize the overall debt burden and future tax levy requirements to ensure that issued debt can be repaid and prevent default on any municipal debt. A high debt level places a financial burden on taxpayers and can create economic problems for the community. The debt policies ensure that the City’s outstanding debt does not weaken the City’s financial structure, provides manageable limits on debt, and allows for the best possible credit rating. B. Conditions for Issuance 1) The City will confine long-term borrowing to capital improvements, equipment, or projects that have a life of at least five years and cannot be financed from current revenues. 2) Capital equipment with a useful life greater than five years may be financed with equipment certificates, with a bond term of ten years or less. 3) Minnesota Statute § 475.53 limits net general obligation debt to less than 3% of the estimated market value of taxable property in the City. 4) The City shall use a competitive bidding process for the sale of debt unless the use of a negotiated process is warranted due to adverse market conditions, timing requirements, or a unique pledge or debt structure. The City will award competitively issued debt on the true interest cost (TIC) basis. 5) The City should strongly consider market conditions (i.e., interest rates, construction market) when planning for the issuance of debt. The City should consider issuing debt, rather than paying cash, when interest rates are lower. 6) Debt should be structured in a manner that distributes cost and benefits appropriately. Intergenerational equity aspects should be considered when financing capital assets. The debt payments should be distributed over the useful life of the asset. 7) Long-term forecasts should support the assumption that the City will be able to repay the debt without causing financial distress. 8) Interfund borrowing for periods of more than one year shall only be undertaken for capital expenditures. A payment schedule for the borrowed amounts shall be established by the City Council. Interest charges for interfund loans utilizing tax increment bonds will be in accordance with Minnesota Statute § 469.178, Subd. 7. C. Restrictions on Debt Issuance 1) Where possible, the City will issue revenue (including general obligation backed revenue) or other self- supporting type bonds instead of general obligation bonds. 322 City of Chanhassen Financial Management Policies 33 | P a g e 2) The City will not use long-term debt for current operations. 3) The City should not issue debt with a longer amortization period than the life of the asset being financed. 4) When possible, the City should use pay-as-you-go financing for equipment and other minor capital assets. D. Financial Limitations 1) The City will strive to keep the total maturity length of general obligation bonds below 20 years and structure the bonds to allow for retirement of at least 50% of principal within 2/3 of the term of the bond issue. Maturity length of up to 30 years may be considered for new facilities. 2) The City shall typically issue debt with level principal and interest payments. 3) Bond rating categories shall be used as a means of assessing the City’s financial condition. The City will strive to achieve and maintain a ratio of governmental funds debt service to expenditures that will result in adequate, or better than adequate, debt and contingent liability profile rating from rating agencies. 4) Direct debt is the amount of general obligation principal or lease obligations supported by taxes that are outstanding for the City only. Direct debt per capita shall not exceed $2,000. Direct debt as a percentage of the City’s taxable market value shall not exceed 2%, excluding revenue-based debt. 5) Bond issues may require a special debt levy. The amount of the City’s property tax levy dedicated to debt service (principal and interest) shall not exceed 30% of the total property tax levy (levy does not include special assessments, tax abatements, or tax increments). 6) The City will maintain regular communications with bond rating agencies about its financial condition and will follow a policy of full disclosure in every financial report and bond statement. The City will comply with Securities and Exchange Commission (SEC) reporting requirements. 7) The City is committed to providing continuing disclosure to certain financial and operating data and material event notices as required by the SEC Rule 15c2-12. The Finance Department shall be responsible for the preparation of all disclosure documents and releases under Rule 15c2-12. 8) When feasible, the City will refund bonds to reduce interest costs and evaluate the use of debt reserves to lower annual debt service. Refunding of outstanding debt shall only be considered when present value savings of at least 3% of the principal amount of the refunded bonds are produced, according to Minnesota Statute §475.67 Subd. 12. Savings from refundings will be distributed evenly over the life of the refunded bonds unless special circumstances warrant a different bond structure. 9) Debt reserve funds will be examined at least annually to ensure adequate funding balances and funding progress. 10) The City should maintain the highest credit rating possible. E. Professional Service Providers Municipal financial advisors should be selected through a process of evaluating formal proposals every ten years. Selection should be based on, but not limited to, experience with the type, size, and structure of the bonds typically issued, ability to commit sufficient time to accomplish necessary tasks, and lack of potential conflicts of interest. Proposals for bond counsel should be solicited and considered on an occasional or as-needed basis. Consideration should be given to experience with municipal debt, ability to commit sufficient time to accomplish necessary tasks, and lack of potential conflicts of interest. The City should strategically maintain good relations with rating agencies and a positive perception in the marketplace. 323 City of Chanhassen Financial Management Policies 34 | P a g e POST-ISSUANCE COMPLIANCE POLICY FOR TAX-EXEMPT BONDS A. Purpose The City of Chanhassen issues tax-exempt governmental bonds to finance capital improvements. As an issuer of tax-exempt governmental bonds, the City is required by the terms of §§ 103 and 141-150 of the Internal Revenue Code of 1986, as amended (the “Code”), and the Treasury Regulations promulgated thereunder (the “Treasury Regulations”), to take certain actions subsequent to the issuance of such bonds to ensure the continuing tax- exempt status of such bonds. In addition, § 6001 of the Code and § 1.6001-1(a) of the Treasury Regulations, impose record retention requirements on the City with respect to its tax-exempt governmental bonds. This Post- Issuance Compliance Policy is designed to ensure that the City complies with its post-issuance compliance obligations under applicable provisions of the Code and Treasury Regulations. B. Responsible Parties The Finance Director of the City shall be the party primarily responsible for ensuring that the City successfully carries out its post-issuance compliance requirements under applicable provisions of the Code and Treasury Regulations. The Finance Director will be assisted by the staff of the Finance Department of the City and by other City staff and officials when appropriate. The Finance Director of the City will also be assisted in carrying out post- issuance compliance requirements by the following: 1) Bond Counsel (the law firm primarily responsible for providing bond counsel services for the City) 2) Municipal Advisor (the organization primarily responsible for providing financial advisor services to the City) 3) Paying Agent (the person, organization, or City officer primarily responsible for providing paying agent services for the City) 4) Rebate Analyst (the organization primarily responsible for providing rebate analyst services for the City) The Finance Director shall be responsible for assigning post-issuance compliance responsibilities to members of the Finance Department, other staff of the City, Bond Counsel, Paying Agent, and Rebate Analyst. The Finance Director shall utilize such other professional service organizations as are necessary to ensure compliance with the post-issuance compliance requirements of the City. The Finance Director shall provide training and educational resources to City staff who are responsible for ensuring compliance with any portion of the post-issuance compliance requirements of this Policy. C. Post-Issuance Compliance Actions The Finance Director shall take the following post-issuance compliance actions or shall verify that the following post-issuance compliance actions have been taken on behalf of the City with respect to each issue of tax-exempt governmental bonds issued by the City: 1) The Finance Director shall make sure that the Municipal Advisor prepares a transcript of principal documents 2) The Finance Director shall make sure that Bond Counsel files with the Internal Revenue Service (the “IRS”), within the time limit imposed by § 149(e) of the Code and applicable Treasury Regulations, an Information Return for Tax-Exempt Governmental Obligations, Form 8038-G 3) The Finance Director shall prepare an “allocation memorandum” for each issue of tax-exempt governmental bonds in accordance with the provisions of Treasury Regulations, § 1.148-6(d)(1), that accounts for the allocation of the proceeds of the tax-exempt bonds to expenditures not later than the earlier of: Eighteen (18) months after the later of (A) the date the expenditure is paid, or (B) the date the project, if any, that is financed by the tax-exempt bond issue is placed in service; or 324 City of Chanhassen Financial Management Policies 35 | P a g e The date sixty (60) days after the earlier of (A) the fifth anniversary of the issue date of the tax- exempt bond issue, or (B) the date sixty (60) days after the retirement of the tax-exempt bond issue. Preparation of the allocation memorandum will be the primary responsibility of the Finance Director (in consultation with the Municipal Advisor and Bond Counsel). 4) The Finance Director, in consultation with Bond Counsel, shall identify proceeds of tax-exempt governmental bonds that must be yield-restricted and shall monitor the investments of any yield- restricted funds to ensure that the yield on such investments does not exceed the yield to which such investments are restricted. 5) In consultation with Bond Counsel, the Finance Director shall determine whether the City is subject to the rebate requirements of § 148(f) of the Code with respect to each issue of tax-exempt governmental bonds. 6) In consultation with Bond Counsel, the Finance Director shall determine, with respect to each issue of tax- exempt governmental bonds of the City, whether the City is eligible for any of the temporary periods for unrestricted investments and is eligible for any of the spending exceptions to the rebate requirements. 7) The Finance Director shall contact the Rebate Analyst (and, if appropriate, Bond Counsel) prior to the fifth anniversary of the date of issuance of each tax-exempt governmental bond of the City and each fifth anniversary thereafter to arrange for calculations of the rebate requirements with respect to such tax- exempt governmental bonds. 8) If a rebate payment is required to be paid by the City, the Finance Director shall prepare or cause to be prepared the Arbitrage Rebate, Yield Reduction and Penalty in Lieu of Arbitrage Rebate, Form 8038-T, and submit such Form 8038-T to the IRS with the required rebate payment. 9) If the City is authorized to recover a rebate payment previously paid, the Finance Director shall prepare or cause to be prepared the Request for Recovery of Overpayments Under Arbitrage Rebate Provisions, Form 8038-R, with respect to such rebate recovery, and submit such Form 8038-R to the IRS. D. Procedures for Monitoring, Verification, and Inspections The Finance Director shall institute such procedures as the Finance Director shall deem necessary and appropriate to monitor the use of the proceeds of tax-exempt governmental bonds issued by the City, to verify that certain post-issuance compliance actions have been taken by the City, and to provide for the inspection of the facilities financed with the proceeds of such bonds. At a minimum, the Finance Director shall establish the following procedures: 1) The Finance Director shall monitor the use of the proceeds of tax-exempt governmental bonds to: (i) ensure compliance with the expenditure and investment requirements under the temporary period provisions set for in Treasury Regulations, § 1.148-2(e); (ii) ensure compliance with the safe harbor restrictions on the acquisition of investments set forth in Treasury Regulations, § 1.148-5(d); (iii) ensure that the investments of any yield-restricted funds do not exceed the yield to which such investments are restricted; and (iv) determine whether there has been compliance with the spend-down requirements under the spending exceptions to the rebate requirements set forth in Treasury Regulations, § 1.148-7. 2) The Finance Director shall monitor the use of all bond-financed facilities in order to: (i) determine whether private business uses of bond-financed facilities have exceeded the de minimus limits set forth in § 141(b) of the Code as a result of leases and subleases, licenses, management contracts, research contracts, naming rights agreements, or other arrangements that provide separate legal entitlements to nongovernmental persons; and (ii) determine whether private security or payments that exceed the de minimus limits set forth in § 141(b) of the Code have been provided by nongovernmental persons with respect to such bond-financed facilities. The Finance Director shall provide training and educational 325 City of Chanhassen Financial Management Policies 36 | P a g e resources to any City staff who have the primary responsibility for the operation, maintenance, or inspection of bond-financed facilities with regard to the limitation on the private business use of bond- financed facilities and as to the limitations on the private security or payments with respect to bond- financed facilities. 3) The Finance Director shall undertake the following with respect to each outstanding issue of tax-exempt governmental bonds of the City: (i) an annual review of the books and records maintained by the City with respect to such bonds; and (ii) an annual physical inspection of the facilities financed with the proceeds of such bonds, conducted by the Finance Director with the assistance of any City staff who have the primary responsibility for the operation, maintenance, inspection of such bond-financed facilities. E. Record Retention Requirements The Finance Director shall collect and retain the following records with respect to each issue of tax-exempt governmental bonds of the City and with respect to the facilities financed with the proceeds of such bonds: Audited financial statements of the City Appraisals, demand surveys, or feasibility studies with respect to the facilities to be financed with the proceeds of such bonds Publications, brochures, and newspaper articles related to the bond financing Trustee or paying agent statements Records of all investments and the gains (losses) from such investments Paying agent or trustee statements regarding investments and investment earnings Reimbursement resolutions and expenditures reimbursed with the proceeds of such bonds Allocations of proceeds to expenditures (including costs of issuance) and the dates and amounts of such expenditures (including requisitions, draw schedules, draw requests, invoices, bills, and cancelled checks with respect to such expenditures) Contracts entered into for the construction, renovation, or purchase of bond-financed facilities An asset list or schedule of all bond-financed depreciable property and any depreciation schedules with respect to such assets or property Records of the purchases and sales of bond-financed assets Private uses of bond-financed facilities that arise subsequent to the date of issue through leases and subleases, licenses, management contracts, research contracts, naming rights agreements, or other arrangements that provide special legal entitlements to nongovernmental persons and copies of any such agreements or instruments Arbitrage rebate reports and records of rebate and yield reduction payments Resolutions or other actions taken by the governing body subsequent to the date of issue with respect to such bonds Formal elections authorized by the Code or Treasury Regulations that are taken with respect to such bonds Relevant correspondence, including letters or emails, relating to such bonds Documents related to guaranteed investment contracts or certificates of deposit, credit enhancement transactions, and financial derivatives entered into subsequent to the date of issue Bidding of financial products for investment securities Copies of all Form 8038-Ts, Form 8038-Rs, and Form 8038-CPs filed with the IRS and any other forms or documents filed with the IRS The transcript prepared with respect to such tax-exempt governmental bonds, including but not limited to: o Official statements, private placement documents, or other offering documents 326 City of Chanhassen Financial Management Policies 37 | P a g e o Minutes and resolutions, orders, or ordinances or other similar authorization for the issuance of such bonds o Certification of the issue price of such bonds o Documents related to government grants associated with the construction, renovation, or purchase of bond-financed facilities Documents related to government grants associated with the construction, renovation, or purchase of bond-financed facilities The records collected by the Finance Director shall be stored in any format deemed appropriate by the Finance Director and shall be retained for a period equal to the life of the tax-exempt governmental bonds with respect to which the records are collected (which shall include the life of any bonds issued to refund any portion of such tax- exempt governmental bonds or to refund any remaining bonds) plus three (3) years. The Finance Director shall also collect and retain reports of any IRS examination of the City or any of its bond financings. F. Remedies In consultation with Bond Counsel, the Finance Director shall become acquainted with the remedial actions (including redemption or defeasance) under Treasury Regulations, § 1.141-12, to be utilized in the event that private business use of bond-financed facilities exceeds the de minimus limits under § 141(b)(1) of the Code. In consultation with Bond Counsel, the Finance Director shall become acquainted with the Tax-Exempt Bonds Voluntary Closing Agreement Program described in Notice 2008-31, 2008-11 I.R.B. 592, to be utilized as a means for an issuer to correct any post-issuance infractions of the Code and Treasury Regulations with respect to outstanding tax-exempt bonds. G. Continuing Disclosure Obligations In addition to its post-issuance compliance requirements under applicable provisions of the Code and Treasury Regulations, the City has agreed to provide continuing disclosure, such as annual financial information and material event notices, pursuant to a continuing disclosure certificate or similar document (the “Continuing Disclosure Document”) prepared by Bond Counsel and made a part of the transcript with respect to each issue of bonds of the City that is subject to such continuing disclosure requirements. The Continuing Disclosure Documents are executed by the City to assist the underwriters of the City’s bonds in meeting their obligations under Securities and Exchange Commission Regulation, 17 C.F.R. § 240.15c2-12, as in effect and interpreted from time to time (“Rule 15c2-12”). The continuing disclosure obligations of the City are governed by the Continuing Disclosure Documents and by the terms of Rule 15c2-12. The Finance Director is primarily responsible for undertaking such continuing disclosure obligations and to monitor compliance with such obligations. H. Other Post-Issuance Actions If, in consultation with Bond Counsel, Municipal Advisor, Paying Agent, Rebate Analyst, the City Manager, the City Attorney, or the City Council, the Finance Director determines that any action not identified in this Policy must be taken by the Finance Director to ensure the continuing tax-exempt status of any issue of governmental bonds of the City, the Finance Director shall take such action if the Finance Director has the authority to do so. If, in consultation with Bond Counsel, Municipal Advisor, Paying Agent, Rebate Analyst, the City Manager, the City Attorney, or the City Council, the Finance Director and City Manager determine that this Policy must be amended or supplemented to ensure the continuing tax-exempt status of any issue of governmental bonds of the City, the City Manager shall recommend to the City Council that this Policy be so amended or supplemented. I. Taxable Governmental Bonds Most of the provisions of this Policy, other than the provisions of § 7, are not applicable to governmental bonds for which the interest is includable in gross income for federal income tax purposes. On the other hand, if an issue 327 City of Chanhassen Financial Management Policies 38 | P a g e of taxable governmental bonds is later refunded with the proceeds of an issue of tax-exempt governmental refunding bonds, then the uses of proceeds of the taxable governmental bonds and the uses of the facilities financed with the proceeds of the taxable governmental bonds will be relevant to the tax-exempt status of the governmental refunding bonds. Therefore, if there is any reasonable possibility that an issue of taxable governmental bonds may be refunded, in whole or in part, with the proceeds of an issue of tax-exempt governmental bonds then, for purposes of this Policy, the Finance Director shall treat the issue of taxable governmental bonds as if such issue were an issue of tax-exempt governmental bonds and shall carry out and comply with the requirements of this Policy with respect to such taxable governmental bonds. The Finance Director shall seek the advice of Bond Counsel as to whether there is any reasonable possibility of issuing tax- exempt governmental bonds to refund an issue of taxable governmental bonds. J. Qualified 501(c)(3) Bonds If the City issues bonds to finance a facility to be owned by the City but which may be used, in whole or in substantial part, by a nongovernmental organization that is exempt from federal income taxation under § 501(a) of the Code as a result of the application of § 501(c)(3) of the Code (a “501(c)(3) Organization”), the City may elect to issue the bond as “qualified 501(c)(3) bonds” the interest on which is exempt from federal income taxation under §§ 103 and 145 of the Code and applicable Treasury Regulations. Although such qualified 501(c)(3) bonds are not governmental bonds, at the election of the Finance Director, for purposes of this policy, the Finance Director shall treat such issue of qualified 501(c)(3) bonds as is such issue were an issue of tax-exempt governmental bonds and shall carry out and comply with the requirements of this Policy with respect to such qualified 501(c)(3) bonds. 328 City of Chanhassen Financial Management Policies 39 | P a g e CONDUIT DEBT POLICY A. Purpose The City is granted the power to issue conduit revenue bonds and other conduit revenue obligations under Minnesota Statutes, § 469.152-469.165, as amended, and Minnesota Statutes, Chapter 462C, as amended. The City expresses its support for the use of such financing but has reserved the right to approve or reject projects on a case-by-case basis. B. Criteria The following criteria have been developed as a guide for review of applications: 1) The project is to be compatible with the overall development plans and objectives of the City and neighborhood where the project is located. 2) New businesses locating in the City must show new tax base being generated by the project. 3) Locating in areas of the City that the City wishes to develop, redevelop, or which in any way complements any development plans or policy of the City, will constitute a prime purpose under these guidelines. It is also the City’s intent to assist in business expansions or relocations within the City where it can be shown that such would have a substantial, favorable impact on employment, tax base, or both. 4) It is the City’s intent to assist new or existing businesses in the acquisition of existing facilities, where such acquisition will maintain the stability of the tax base, employment, or both 5) The project must not put a burden on existing City services or utilities beyond that which can be reasonably and economically accommodated. 6) The applicant (and/or the lessee) must show sufficient equity in the project. Applicant must provide copies of all financing agreements for review by the City. 7) The credit rating and method of offering conduit bonds or notes of the City are important considerations. The City will not consider applications for such financings unless (i) the debt is rated investment grade by a nationally recognized rating agency or (ii) the debt is sold in a private placement. 8) Debt will be considered sold in a private placement (i) if no advertising or solicitation of the general public occurs, and (ii) if the bonds are initially sold to not more than ten purchasers (not including any underwriter or placement agent as a purchaser) and (iii) the City receives written certification from each initial purchaser (or each underwriter or placement agent based on its reasonable belief) that: (a) such purchaser has such knowledge and experience in financial and business matters that it is capable of evaluating the merits and the risks of the debt, and (b) such purchaser is not purchasing for more than one account or with a view to distributing the debt. 9) In addition, for a private placement either (a) all bonds or notes (except for one bond or note) must remain in minimum denominations of not less than $100,000, with the exception of charter schools which may have minimum denominations of $25,000 or (b) investment letters from not only each initial purchaser, but from any subsequent purchaser, must be obtained which contains the above-described certifications from the purchasers. 10) Any offering material for a private placement must prominently state in effect that: “THE CITY OF CHANHASSEN HAS NOT ASSUMED BY RESPONSIBILITY TO REVIEW THIS OFFERING MATERIAL AND HAS NO RESPONSIBILITY FOR ITS ACCURACY OR COMPLETENESS. THE CITY HAS NO FINANCIAL OBLIGATION OF ANY NATURE WITH RESPECT TO THE OFFERED BONDS.” 11) Finally, to qualify as a private placement, the financing documents must require annual financial statements from the benefited private party (or the ultimate provider of credit) to be delivered to each investor (or a trustee). 12) The term “conduit” refers to any type of City revenue obligation the proceeds of which are loaned to a private party and for which the City has no financial obligation. 329 City of Chanhassen Financial Management Policies 40 | P a g e 13) Applications for acquisition of or replacement of machinery and equipment will be discouraged unless in conjunction with a totally new business in Chanhassen, a physical plant expansion of an existing business, or where it is shown that the equipment acquisition is essential to the continued operation of the business in Chanhassen. Also, it is the City’s intent to assist where possible in the acquisition of pollution control equipment for any new or existing business being required to meet mandated standards. 14) A further permitted use under these guidelines are projects, whether profit or nonprofit, engaged in providing health care services, including hospitals, nursing homes, and related medical facilities, when either of the following findings can be made: Number of new jobs is increased The project would provide a facility or service considered desirable or necessary by the community 15) The City may allow for the designation of the issue as bank qualified if the City does not plan or foresee that it will need to issue more than $10 million in tax-exempt bonds in the given calendar year. C. Procedures The following procedures have been developed to facilitate the application for financing: 1) The applicant shall make an application for financing on forms available from the Finance Department of the City. The completed application is to be returned to the Finance Director, accompanied by the processing fee, whereupon the application will be forwarded to the City Council with a staff recommendation. Specific findings shall be made and recited regarding the criteria as well as satisfaction of public purposes of the applicable statutes. 2) The application cannot be considered be the City until tentative City Code findings and requirements have been made with respect to zoning, building plans, platting, streets, and utility services. 3) The applicant is to select qualified financial consultants and/or underwriters, as well as legal counsel, to prepare all necessary documents and materials. The City may rely on the opinion of such experts and the application shall be accompanied by a financial analysis (pro forma income statement, debt service coverage, mortgage terms, etc.) by the underwriter as to the economic feasibility of the project and the underwriter’s ability to market the financing. Financial material submitted is to also include most recent fiscal year-end, audited financial statements of the applicant and/or of any major lessee tenant, if readily available. 4) Further, in the case of the tax exempt mortgage placements, the applicant will be required to furnish the City, before passage of the final resolution, a comfort letter (but not necessarily a letter of commitment) from the lending institution, to the effect that said lending institution has reviewed the economic feasibility of the project, including the financial responsibility of the guarantors and find that, in their professional judgment, it is an economically viable project. 5) The applicant shall furnish along with the application, a description of the project, plat plan, rendering of proposed building, etc., and a brief description of the applicant company, all in such form as shall be required at the time of application. This data, as necessary, may be furnished to members of the City Council for background information. 6) If an allocation of bonding authority is required under Minnesota Statute, Chapter 474A, as amended, the applicant shall be required to pay any required application deposit as specified in Chapter 474A, without regard to whether the application fee or application deposit will be refunded. 7) The applicant shall covenant in the applicable conduit bond documents to comply with all applicable requirements of the Internal Revenue Code of 1986, as amended (the “Code”), and the applicable Treasury Regulations, including, but not limited to: (i) the arbitrage and rebate requirements of § 148 of the Code; and (ii) the qualified bond provisions of §§ 141(e), 142, 143, 144, and 145 of the Code. The applicant shall be the party responsible for monitoring the conduit bonds for compliance with such 330 City of Chanhassen Financial Management Policies 41 | P a g e requirements and to remediate nonqualified bonds in accordance with the requirements of the Code and applicable Treasury Regulations. The applicant shall be the party responsible for monitoring compliance with the requirements of § 148 of the Code. 8) The applicant shall covenant in the applicable conduit bond documents to reimburse the City for all costs paid or incurred by the City (including the fees of attorneys, financial advisors, accountants, and other advisors) as a result of the City’s response to or compliance with an audit, inspection, or compliance check (random or otherwise), by the Internal Revenue Service, the Minnesota Department of Revenue, the Minnesota Office of the State Auditor, or any other governmental agency with respect to the conduit bonds or the project financed with the proceeds of conduit bonds. D. Administrative Fees and Provisions The following administrative fees and provisions apply to the application for financing: 1) The City Council reserves the right to deny any application for financing at any stage of the proceedings prior to adopting the final resolution authorizing issuance of the industrial development financing. The City Council may waive any provision of this Conduit Debt Policy if the City Council determines that such waiver is in the best interests of the City. 2) The City is to be reimbursed, and held harmless, for and from any out-of-pocket costs related to the actual or proposed issuance of conduit revenue bonds. In addition, a nonrefundable processing fee of $2,500 must be submitted with the application. Upon closing, an administrative fee is due and payable to the City based on the following schedule: On the first $20,000,000 0.50% of par On portion in excess of $20,000,000 0.10% of par 3) In the case of a refinancing, the fee shall be calculated at 50% of the above schedule. The City will be reimbursed for any technical changes to a bond issue previously issued at 25% of the above schedule. 4) All applications and supporting materials and documents shall remain the property of the City. Note that all such materials may be subject to disclosure and/or public review under applicable provisions of State law. 5) The Finance Department shall report all conduit debt issues in the Annual Comprehensive Financial Report (ACFR) in accordance with Generally Accepted Accounting Principles and shall report any material events with regard to all conduit debt issued by the City, and still outstanding, to the City Council. 6) The applicant will be responsible for providing the City any required arbitrage reports, continuing disclosure reports, and annual financial statements after the issuance of the debt. 331 City of Chanhassen Financial Management Policies 42 | P a g e POLICIES AND PROCEDURES FOR FEDERAL AWARDS ADMINISTRATION Policies and Procedures – Federal Awards Administration Overview 1) Purpose – This manual has been prepared to document the policies and procedures for the administration of federal awards of City of Chanhassen (the “City”). The Office of Management and Budget (OMB) Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles and Audit Requirements for Federal Awards (Uniform Guidance) require all recipients and sub-recipients of federal funds to establish and maintain internal controls designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Written policies and procedures are part of the necessary internal controls and are required as a precondition to receiving federal funds. These policies and procedures are intended to be sufficiently comprehensive to adequately meet such requirements. However, in no case are these policies and procedures intended to supersede or limit federal or state laws or regulations, or the provisions of individual grant agreements. 2) Hierarchy of Authority – In the event that conflicting guidance on the administration of Federal awards is available, the City has deemed Federal guidance to be most authoritative, followed by other State or local agencies. 3) Revisions – Guidance provided by the Federal government through the OMB UG - Uniform Grant Guidance Compliance Supplement are expected to be updated each year. Such updates are considered by the City as they become available, and policies and procedures will be revised accordingly. The City Manager, Finance Director, Assistant Finance Director, and designees are authorized and required to establish and document policies and procedures to ensure compliance with the provisions of federal and state regulations and the provisions of grant agreements. Such policies and procedures are documented herein, and will be reviewed and updated as necessary, but not less than once every three years. 4) Training – City finance personnel and its program administrators of Federal awards will be provided the necessary training through various mechanisms, such as: Reviewing monthly State Aid Financial Status Report Updates, accompanying State aid payments Consulting with the City’s auditors as needed for clarification Participating in various training opportunities, such as those offered by appropriate professional organizations Reviewing legislative updates from multiple sources Membership and participation in meetings of the Government Finance Officers Association (GFOA) Certification of respective positions by the GFOA, i.e.: Finance Director Coordination and collaboration with individuals performing similar job functions at similar municipalities. 5) Compliance Failures – Compliance failures, whether noted internally by management or through the external audit process, will be addressed immediately by reviewing the reason for the failure with responsible personnel and devising an improved process to improve compliance in the future. 332 City of Chanhassen Financial Management Policies 43 | P a g e General Accounting and Financial Management It is the policy of the City to comply with all statutory, regulatory, and contractual requirements in the conduct of, and accounting for, its financial operations. The official books of record for the City will be maintained subject to the following provisions: 1) The City will account for its operations in accordance with the Generally Accepted Accounting Principles (GAAP) applicable to local units of government. The City will comply with the Super Circular issued by the OMB, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (2 CFR 200). 2) The City will comply with all contractual requirements detailed in its duly executed grant agreements with awarding agencies. 3) The City will contract annually with an independent CPA firm for the purposes of conducting the City’s external financial audit. To the extent that the City has expended federal awards in excess of the applicable single audit limit (currently $750,000), the City will have a single audit performed in accordance with OMB UG. 4) To ensure continuing compliance with all applicable accounting requirements, the City may, at its discretion, contract with a CPA firm to provide internal auditing and/or consulting services. 5) The Finance Director shall be responsible for the maintenance of all accounting and financial records (including journals, timesheets, bank statements, audit reports, and similar documents). Such records shall be retained as required by contractual or regulatory requirements. The City has adopted the state’s records retention schedule as its official guide for records storage, filing, and destruction. 6) The City and employees are required to comply with the City’s conflict of interest policy and report any potential conflicts of interest to their managers. No employee, officer or agent may participate in the selection, award or administration of a contract supported by a federal award if he or she has a real or apparent conflict of interest. Such violations may result in appropriate discipline. See also the City policies on conflict of interest located in the City’s Personnel Policies and Procedures. 7) The City will request prior approval from federal agencies for program or budget changes. 8) The City has implemented the new federal purchasing procedures which follow: Acquisitions for micro-purchases (below $25,000 or below $2,000 for construction subject to the Davis Bacon Act) may be awarded without soliciting bids if the City considers the price to be reasonable. Procurements for Small Purchases (less than $175,000 - Minn. Stat. § 471.345), in which case quotations must be obtained from an adequate number of sources. Procurements made by sealed bid should be made to the lowest responsible (not necessarily the lowest) bidder. 333 City of Chanhassen Financial Management Policies 44 | P a g e Procurements made by competitive proposal must have standards to evaluate the selected recipient. Procurement made by non-competitive proposals (to one vendor) may be used only if one of the following applies o the item is available only from a single source, o an emergency exists, o the federal agency expressly authorizes non-competitive proposals, or o competition is seen as inadequate after solicitation to vendors. 9) Other procurement procedures include: Contractors who develop or draft specifications for bids are precluded from bidding on them. The City must maintain oversight so that contractors perform work as bid. Multiple provisions must be included in contracts (see Appendix II of grant procurement guidelines of super circular procedures). If a contract is $25,000 or more the City must verify on http://www.sam.gov/ that the contractor is not on the suspended and debarred list for federal grants. 10) Procedures for inventory of federal capital purchases will be maintained by the Finance Department, with the help of the other departments if needed, and all items will be tracked annually. The Equipment and Real Property Management section of this document contains additional procedures. 11) The Finance Director (or designee) or the City Manager are required to certify expenditures. Purchasing and Procurement It is the policy of the City to ensure that all disbursements of City funds are properly reviewed and authorized, and consistent with sound financial management principles, and made in compliance with all applicable federal, state, and local laws. To meet these objectives, all disbursements of City funds shall be subject to the following provisions, to the extent that they do not conflict or contradict with any specific federal, state, or local law or Council policies (the most specific or restrictive law, policy or procedure will be followed): 1) Substantial state and federal requirements exist pertaining to standards of conduct and conflict of interest. It is the intent of the City for all employees, officers, or agents to conduct all activities associated with procurements in compliance with the highest ethical standards, including the avoidance of any real or perceived conflict of interest. It is also the intent of the City to impose appropriate sanctions or disciplinary actions, including but not limited to termination and/or prosecution, for any employees or officers who violate any of these requirements. 2) The City avoids the acquisition of unnecessary or duplicative items. Additionally, the City considers consolidating or breaking out procurements to obtain a more economical purchase. And, where appropriate, the City makes an analysis of leases versus purchase alternatives, and other appropriate analyses to determine the most economical approach. 3) To foster greater economy and efficiency, the City enters into state and local intergovernmental agreements where appropriate for procurement or use of common or shared goods and services. This includes cooperative purchasing agreements where practical and beneficial. Depending on the purchase requested, 334 City of Chanhassen Financial Management Policies 45 | P a g e the City may purchase it from a cooperative or inter-local agreement if the price is competitive and the goods or service are needed in a timely manner. The Finance Director and the City Manager will make this determination. 4) The City awards contracts only to responsible contractors possessing the ability to perform successfully under the terms and conditions of a proposed procurement. The City considers such matters as contractor integrity and business ethics, compliance with public policy, ability to complete the project on time and in accordance with specifications, record of past performance, and the contractor’s financial and technical resources. 5) The City will award a contract to a contractor who has the appropriate experience, expertise, qualifications, and any required certifications, necessary to perform the work. Contractors should also have the financial resources to sustain the project while the initial work is being completed and during each service period until he or she submits invoices for payment to the City as work is completed. Contractors should have the proper equipment or the capability to subcontract for the proper equipment necessary to complete the contracted work. 6) Debarment and Suspension: The City will not subcontract with or award subgrants to any person or company who is debarred or suspended from receiving federal funds. The Finance Director, or designee thereof, is required to check for excluded parties at the System for Award Management (SAM) website before any procurement transaction paid with federal funds. This list is located at: http://www.sam.gov/. 7) All procurement transactions paid with federal funds are conducted in a manner providing full and open competition. In an environment of full and open competition, no proposer or bidder has a competitive advantage over another. All potential proposers and bidders must be provided the same information and have the same opportunity to submit a bid or proposal. Providing a competitive advantage to one or more potential proposers or bidders over another can open the potential for disputes and lawsuits that can be costly and can significantly delay the completion of projects. 8) To ensure objective contractor performance and eliminate unfair competitive advantage, contractors that develop or draft specifications, requirements, statements of work, or invitations for bids or requests for proposals (RFP) are excluded from competing for such procurements. The City does not engage in the following situations that may restrict full and open competition, including but not limited to: Placing unreasonable requirements on firms in order for them to qualify to do business Requiring unnecessary experience and excessive bonding Noncompetitive pricing practices between firms or between affiliated companies Noncompetitive contracts to consultants that are on retainer contracts Organizational conflicts of interest Specifying only a “brand name” product instead of allowing “an equal” product to be offered and describing the performance or other relevant requirements of the procurement Any arbitrary action in the procurement process The City conducts federal procurements in a manner that prohibits the use of statutorily or administratively imposed state or local geographical preferences in the evaluation of 335 City of Chanhassen Financial Management Policies 46 | P a g e bids or proposals, except in those cases where applicable federal statutes expressly mandate or encourage geographic preference. 9) All solicitations will incorporate a clear and accurate description of the technical requirements for the material, product, or service to be procured. Such description will not, in competitive procurements, contain features which unduly restrict competition. The description will include a statement of the qualitative nature of the material, product, or service to be procured and, when necessary, will set forth those minimum essential characteristics and standards to which it must conform if it is to satisfy its intended use. Detailed product specifications will be avoided if possible. 10) The City will make independent estimates of the goods or services being procured before receiving bids or proposals to get an estimate of how much the goods and services are valued in the current market. To accomplish this, after bids and proposals are received, but before awarding a contract, the City conducts either a price analysis or a cost analysis, depending on the type of contract, in connection with every procurement with federal funds in excess of $175,000. 11) The City takes all necessary affirmative steps to assure that minority businesses and women’s business enterprises, and labor surplus area firms are used when possible. To accomplish this, the City uses the following required affirmative steps: Placing qualified small and minority businesses and women’s business enterprises on solicitation lists. Assuring that small and minority businesses and women’s business enterprises are solicited whenever they are potential sources. Dividing total requirements, when economically feasible, into smaller tasks or quantities to permit maximum participation by small and minority businesses, and women’s business enterprises. Establishing delivery schedules, where the requirement permits, which encourage participation by small and minority businesses, and women’s business enterprises. Using the services and assistance, as appropriate, of such organizations as the Small Business Administration and the Minority Business Development Agency of the Department of Commerce. Requiring the prime contractor, if subcontracts are to be let, to take the affirmative steps listed above. 12) Federal methods provide for procurement by micro-purchase. Micro-purchase is a purchase of supplies or services using simplified acquisition procedures, the aggregate amount of which does not exceed $25,000. The micro-purchase method is used to expedite the completion of its lowest-dollar small purchase transactions and minimize the associated administrative burden and cost. 13) Small purchase procedures may be used in those relatively simple and informal procurement methods for securing nonprofessional services, supplies, or other property that do not cost more than $175,000. 336 City of Chanhassen Financial Management Policies 47 | P a g e 14) Sealed bids ($175,000, formal advertising, price is a major factor). Requirements for sealed bids: a. The invitation for bids will be publicly advertised and bids must be selected from an adequate number of known suppliers, providing them sufficient response time prior to the date set for opening the bids. b. The invitation for bids, which will include any specifications and pertinent attachments, must define the items or services for the bidder to properly respond. c. All bids will be publicly opened at the time and place prescribed in the invitation for bid. d. A firm fixed price contract award will be made in writing to the lowest responsive and responsible bidder. e. Any or all bids may be rejected if there is a sound documented reason. 15) Competitive proposal (> $175,000, fixed price or cost reimbursement, RFP with evaluation methods). Requirement for competitive proposal procedures: a. RFPs must be publicized requests and identify all evaluation factors and their relative importance. b. Proposals must be solicited from an adequate number of qualified sources. c. The organization must have a written method for conducting technical evaluations of the proposals received and for selecting recipients. d. Contracts must be awarded to the responsible firm whose proposal is most advantageous to the program. e. The organization may only use qualification-based methods, whereby competitors' qualifications are evaluated, and the most qualified competitor is selected, in the procurement of architectural/engineering professional services. 16) Procurement by noncompetitive proposals is procurement through solicitation of a proposal from only one source and may be used when using federal funds only when one or more of the following circumstances apply: a. The item is available only from a single source. This must be documented. b. The public exigency or emergency for the requirement will not permit a delay resulting from competitive solicitation. c. Any federal awarding agency expressly authorizes noncompetitive proposals in response to a written request from the City. d. After solicitation of a number of sources, competition is determined inadequate. 17) Time and materials type contract means a contract whose cost to the City is the sum of the actual costs of materials, and direct labor hours charged at fixed hourly rates that reflect wages, general and administrative expenses, and profit. The City may use a time and materials type contract paid with federal funds in accordance with the above only After a determination that no other contract is suitable; and If the contract includes a ceiling price that the contractor exceeds at its own risk. 18) The City ensures that all prequalified lists of persons, firms, or products which are used in acquiring goods and services are current and include enough qualified sources to ensure maximum open and free competition. The City accomplishes this by conducting internet searches, including using vendor 337 City of Chanhassen Financial Management Policies 48 | P a g e searches, and by using other less technologically advanced tools to locate and identify potential contractors. Federal guidelines are followed regarding the number of bids required. 19) If bids are required, the City requires that construction or facility improvement contracts, or subcontracts exceeding $175,000, include a bid guarantee equivalent to 5% of the bid price from each bidder (such as bid bond or certified check), a performance bond on the part of the contractor for 100 percent of the contract price, and a payment bond on the part of the contractor for 100 percent of the contract price. Note: The City’s purchasing policy does not apply to procurement by contractors or subcontractors on projects, federally supported or otherwise. Payroll and Timekeeping The following provisions apply to the payment of employees and recording of time and effort (as required) in accordance with OMB UG: 1. The payroll records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated. Hourly employees record time on an electronic timekeeping system each day, with the following information: a. The total number of hours actually worked each day b. The use of any holiday, personal, vacation, sick, or other approved time off with pay c. The total number of hours to be paid d. An allocation of those hours to each program or department for which work was performed, when necessary e. The approval of the employee and his/her supervisor for each payroll period The allocation of hours between programs or departments should be based on the actual hours worked, and not be based on available budgets, or predetermined allocation schedules. 2. It is the responsibility of the employee being charged to a federal award(s) to clarify documentation requirements with the City Manager or Finance Director and provide appropriate documentation to the Assistant Finance Director as it becomes available. The employee should retain a copy of the documentation for his/her personal records. In the event that an after-the-fact correction is necessary to an employee’s timesheet due to errors in the allocation of time worked, such corrections must be submitted to the Assistant Finance Director and approved in writing by both the employee and his/her supervisor. Salaried employees charged to a federal grant will document time and effort as follows: the employee may document time and effort using a timesheet as described above. Timesheets must account for the total activity for which the employee is compensated and be signed by the employee. It will not be acceptable for timesheets to include the hours worked on Federal grants only. a. It is the responsibility of the employee being charged to a federal award(s) to clarify documentation requirements with the Finance Director, or designee and provide appropriate documentation to the Assistant Finance Director as it becomes available. The employee should retain a copy of the documentation for his/her personal records. 338 City of Chanhassen Financial Management Policies 49 | P a g e Certifications should never be signed prior to the end date of the payroll period being certified. Each certification should be provided to the Finance Department when available. Grant Administration The following policies and procedures will also be applied to the extent that they do not conflict with or contradict any existing Council policies: 1. Grant Development, Application, and Approval – a. Legislative Approval – The point at which legislative approval is required is determined by the requirements of the grant program. If the grant must be submitted by “an individual authorized by the legislative body”, then City Council approval is required prior to submitting the application. If such legislative approval is not specifically required by the written terms of the grant, then the City Manager or designee may, at his or her discretion, approve grant applications. b. Matching Funds – Grants that require cash local matches must be coordinated through the Finance Department. At a minimum, funds must be identified within the existing budget to provide the match, or a budget amendment will be required. Depending on the nature of the grant, there may also be some policy implications that will bear discussion. (For example, will the grant establish a level of service that cannot be sustained once the grant funds are depleted?) In all cases involving matching funds, the grant applicant should contact the Finance Department to determine the strategy for securing matching funds. Refer to the section within this manual titled “Matching, Level of Effort, and Earmarking” for additional information on compliance with the provisions of the OMB UG. c. Grant Budgets – Most grants require the submission of an expenditure budget. The Finance Director will review this portion of the grant request prior to submission. A technical review may reveal inconsistencies in the calculations, cost centers that might have been overlooked, or identify reimbursable expenses of which program staff may not be aware—particularly for indirect costs. 2. Grant Program Implementation – a. Notification and Acceptance of an Award – Official notification of a grant award is typically sent by a funding agency to the official (City Grant Official) designated in the original grant proposal. However, the authorization to actually spend grant funds is derived from the City Council through the approval of a grant budget. Such notification should also be directed to the Finance Department. Adoption of the grant budget as a component of the City-wide operating budget is deemed to be sufficient approval. b. Establishment of Accounts – The department that obtained the grant will provide the Finance Director with information needed to establish revenue and expense accounts for the project, as well as other codes needed for tracking purposes. Ordinarily, this information will include a copy of a summary of the project and detail of the full project budget. 339 City of Chanhassen Financial Management Policies 50 | P a g e c. Purchasing Guidelines – All other City purchasing guidelines apply to the expenditure of grant funds. The use of grant funds does not exempt any purchase from normal purchasing requirements. All typical paperwork and bidding requirements as well as normal staff approvals apply. When in doubt, the City Grant Official should contact the Finance Director for further assistance. 3. Financial and Budgetary Compliance – a. Monitoring Grant Funds – Departments may use some internal mechanism (such as a spreadsheet) to monitor grant revenues, expenditures, and budgetary compliance, at the grant level. The Finance Director maintains this information in financial software system as well; this is the City’s “official” accounting system. City Grant Officials are strongly encouraged to use financial software reports provided by the Finance Department for their grant tracking. If any “off-system” accounting records are maintained, it is the responsibility of the City Grant Official to ensure that the program’s internal records agree to the City’s accounting system. b. Fiscal Years – Occasionally, the fiscal year for the granting agency will not coincide with the City’s fiscal year. This may require adjustments to the City’s internal budget accounts and interim financial reports as well as special handling during fiscal year-end close. It is the responsibility of the City Grant Official to bring such discrepancies to the attention of the Finance Department at the time the grant accounts are established. c. Grant Budgets –The terms of each specific grant will dictate whether any budget transfers between budgeted line items will be permitted. In no case will the City Grant Official be authorized to exceed the total budget authority provided by the grant. If grant funds have not been totally expended by fiscal year-end, it is the responsibility of the City Grant Official to notify the Finance Director that budget funds need to be carried forward to the new fiscal year, and to confirm the amounts of such carryforwards. Carryforwards of grant funds will be subjected to maximum allowable amounts/percentages based on the grant award agreement and/or the OMB UG. Capital Assets – The City is responsible for maintaining an inventory of assets purchased with grant funds. The city is accountable for them and must make them physically available for inspection during any audit. The City Council must approve of any sale of these assets. Customarily, the proceeds of the sale can only be used on the grant program that purchased them. (Refer to the specific regulations governing the original grant). The Finance Director will coordinate this grant requirement. All transactions that involve the acquisition or disposal of grant funded capital assets must be immediately brought to the attention of the Finance Director. Refer to the City’s separate Capital Assets policy and the section of this manual titled Equipment and Real Property Management for additional information. Record Keeping – d. Audit Work-papers – The City’s external auditors audit all grants at the end of each fiscal year. Finance Department staff will prepare the required audit work- papers. City Grant Officials may be asked to assist in this process, if necessary. 340 City of Chanhassen Financial Management Policies 51 | P a g e e. Record Keeping Requirements – Grant record keeping requirements may vary substantially from one granting agency to another. Consequently, a clear understanding of these grant requirements at the beginning of the grant process is vital. The Finance Department will maintain copies of all grant draw requests and approved grant agreements (including budgets). The City Grant Official should maintain all other records. 4. Other Guidelines – Specific information on policies and procedures related to compliance with the provisions of the OMB UG are addressed in this manual and should be considered along with the information in this section. Year-end Closing and Reporting The following provisions govern the year-end close-out process of the City for purposes of external financial reporting: 2. To the extent that the City is required to have a single audit completed in accordance with OMB UG, the City will accumulate the information necessary to prepare a Schedule of Expenditures of Federal Awards (SEFA) in accordance with Federal and State requirements. This schedule will be characterized as follows: a. The schedule will include all federal financial assistance, including grants, contracts, property, loans, loan guarantees, interest subsidies, cooperative agreements, insurance, or direct appropriations. Amounts will be reported whether received directly from the Federal government or through a pass- through agency (if the city is determined to be a sub-recipient and not a vendor). b. The schedule will be prepared on the same basis of accounting as the related financial statements. c. Federal programs will be listed by Federal Agency. For program clusters, the schedule will provide the cluster name, individual federal programs in each cluster, and the name of the federal agency. Totals will be provided for each cluster. d. Total Federal awards expended for each federal program will be listed along with the Assistance Listing Number, pass-through entity name (if applicable) and pass-through entity number (if applicable). Such information will agree to the award documentation. e. If the Assistance Listing Number of a Federal award cannot be reasonably determined, it shall be reported in the schedule using the two-digit prefix for the related Federal agency, followed by “UNKNOWN”. f. In addition to current year expenditures, the schedule will list approved award/grant amount, accrued/deferred revenue at the beginning of the year, current year cash received, current year actual expenditures, and accrued/deferred revenue at the end of the year. If expenditures were incurred relative to this award in prior year(s), this amount should be disclosed as memorandum-only. 341 City of Chanhassen Financial Management Policies 52 | P a g e g. Any adjustments to prior year awards, expenditures, and balances (including transfers between grants) will be disclosed in the footnotes to the schedule. h. Accrued/deferred revenue in the schedule shall agree to the amounts recorded as receivables/deferrals in the related financial statements. i. To the extent that a separate line item is included in the financial statements for federal revenue, this amount shall agree to expenditures in the schedule. Any reconciling items will be disclosed in the footnotes to the schedule. j. To the extent that amounts are passed through to sub-recipients, the schedule will provide the total amount for each federal program that was provided to subrecipients. k. The notes to the schedule will include significant accounting policies used to prepare the schedule, balances of any loans and loan guarantees that are outstanding at the end of the audit period, and whether the auditee has elected to use the 10% de minimis cost rate. Additional Federal Awards Compliance Requirements Some of the Federal awards received by the City are passed-through the State of Minnesota. Management will consider both the OMB UG and any applicable compliance requirements as set forth by the State of Minnesota. General Information Source of Information – Each year the OMB issues a comprehensive document on the compliance requirements each grant recipient is obligated to follow in general terms, along with program-specific guidance on various grant awards. There are 12 compliance requirements identified, each of which is considered individually in this manual. The following pages document the policies and procedures of the City related to compliance with such procedures, as applicable. In each year that the City is subject to a single audit, applicable compliance requirements are expected to be tested in detail by the City’s independent auditors. Objectives – The objectives of most compliance requirements are generic in nature. While the criteria for each program may vary, the main objective of the compliance requirement is relatively consistent across all programs. As such, the policies and procedures of the City have been based on the generic sense of the compliance requirement. For selected compliance requirements, this manual addresses the specific regulations applicable to individual grants. This is not intended to imply that a program is not subject to such policies if it is not specifically mentioned here. It is the intent of the City that all Federal awards are subject to the following policies and procedures. Controls over Compliance – In addition to creating policies and procedures over compliance with provisions of Federal awards, the City has implemented internal controls over such compliance, generally in the form of 342 City of Chanhassen Financial Management Policies 53 | P a g e administrative oversight and/or independent review and approval. To document these control activities, all independent reviews must be signed/initialed and dated. Documentation – The City will maintain adequate documentation to support both the compliance with applicable requirements as well as internal controls over such compliance. This documentation will be provided to the City’s independent auditors and/or pass-through grantor agencies, as requested, during the single audit and program audits. Activities Allowed/Unallowed and Allowable Costs/Cost Principles Source of Governing Requirements – The requirements for activities allowed or unallowed are contained in program legislation, Federal awarding agency regulations, and the terms and conditions of the award. The requirements for allowable costs/cost principles are contained in 2 CFR 200 Subpart E, program legislation, Federal awarding agency regulations, and the terms and conditions of the award. To ensure compliance with these requirements, the City has implemented the following policies and procedures: 1. All grant expenditures will be in compliance with OMB Circular 2 CFR 200, Subpart E, State law, City policy, and the provisions of the grant award agreement, which will also be considered in determining allowability. Grant funds will only be used for expenditures that are considered reasonable and necessary for the administration of the program. 2. Grant expenditures will be approved by department heads/City Grant Officials initially through the purchasing process and again when the bill or invoice is received. This will be evidenced by signature or initials and date on the invoice or by an approval documented via email. Accounts payable disbursements will not be processed for payment by the Finance Department until necessary approval has been obtained. 3. Payroll costs will be documented in accordance with 2 CFR 200 Subpart E as described in the section of this manual titled “Payroll and Timekeeping”. 4. An indirect cost rate will only be charged to the grant to the extent that it was specifically approved through the grant budget/agreement. When allowable, indirect costs will be charged based on the Cost Allocation Plan of the City. Cash Management Source of Governing Requirements – The requirements for cash management are contained in OMB UG 2 CFR 200.302 & 305, program legislation, Federal awarding agency regulations, and the terms and conditions or the award. To ensure compliance with these requirements, the City has implemented the following policies and procedures: 343 City of Chanhassen Financial Management Policies 54 | P a g e 1. Many of the City’s grants are awarded on a reimbursement basis. As such, program costs will be expended and disbursed prior to requesting reimbursement from the grantor agency. 2. Cash draws will be initiated by the Assistant Finance Director who will determine the appropriate draw amount. Documentation of how this amount was determined will be retained and signed/dated. 3. For state grants, the physical draw of cash will be processed through SWIFT (Minnesota’s State-wide Integrated Financial Tools payment system) or through the means prescribed in the grant agreement. 4. Supporting documentation from SWIFT or a copy of the cash draw paperwork will be filed along with the approved paperwork described above and retained for audit purposes. 5. When cash is received in advance or drawn, the City will work to minimize time lapse between transfer of funds and disbursement by the City. Eligibility Source of Governing Requirements – The requirements for eligibility are contained in program legislation, Federal awarding agency regulations, and the terms and conditions of the award. Federal grants will only benefit those individuals and/or groups of participants that are deemed to be eligible. Equipment and Real Property Management Source of Governing Requirements – The requirements for equipment are contained in OMB UG 2 CFR 200.310- 316, program legislation, Federal awarding agency regulations, and the terms and conditions of the award. The following policies and procedures will also be applied to the extent that they do not conflict with or contradict any existing Council policies: 1. All equipment will be used in the program for which it was acquired or, when appropriate and allowable, other Federal programs. 2. When required, purchases of equipment will be pre-approved by the grantor or pass-through agency. The Finance Director, or designee will be responsible for ensuring that equipment purchases have been previously approved, if required, and will retain evidence of this approval. 3. Equipment records will be maintained, and an appropriate system shall be used to safeguard equipment, as described in the City’s separate Capital Asset policy. Equipment should be assigned to a program and physical location on the inventory. If such equipment is moved, it will be noted and adjusted in the City’s capital assets records. 4. When equipment is no longer needed for a Federal program, it may be retained or sold with the Federal agency having a right to a proportionate amount of the current fair market value. Proper sales procedures shall be used that provide for competition to the extent practicable and result in the highest possible return. 344 City of Chanhassen Financial Management Policies 55 | P a g e The City will keep, sell, or otherwise dispose of the equipment with no further obligation unless disposal requirements are specifically detailed in the grant. A record of the date, reason, and method of disposal or sale will be maintained with the equipment inventory. 5. Equipment purchased will be identified and kept in the City’s capital asset records. The records shall include the following: a. Asset number and description of the equipment b. Location of the equipment c. Depreciation method & years of expected life d. Acquisition date e. Cost of the equipment f. Equipment classification (land, building, equipment, etc.) g. Make, Model, & Serial number or other identification number h. Vendor and invoice number to purchase equipment i. Disposition data including date and sale price of the equipment A physical inventory of the property will be conducted periodically, and the results will be reconciled with the capital asset listing. A control system will be developed to ensure adequate safeguards to prevent loss, damage, or theft of the property. Any loss, damage, or theft will be investigated. Maintenance procedures are in place to keep the equipment in good condition. Matching, Level of Effort and Earmarking Source of Governing Requirements – The requirements for matching are contained in OMB UG 2 CFR 200.306, program legislation, Federal awarding agency regulations, and the terms and conditions of the award. The requirements for level of effort and earmarking are contained in program legislation, Federal awarding agency regulations, and the terms and conditions of the award. The City defines “matching”, “level of effort”, and “earmarking” consistent with the definitions of the OMB UG: Matching or cost sharing includes requirements to provide contributions (usually non-Federal) or a specified amount or percentage of match Federal awards. Matching may be in the form of allowable costs incurred or in-kind contributions (including third-party in-kind contributions). Level of effort includes requirements for (a) a specified level of service to be provided from period to period, (b) a specified level of expenditures from non-Federal or Federal sources for specified activities to be maintained from period to period, and (c) Federal funds to supplement and not supplant non- Federal funding of services. Earmarking includes requirements that specify the minimum and/or maximum amount of percentage of the program’s funding that must/may be used for specified activities, including funds provided to sub-recipients. Earmarking may also be specified in relation to the types of participants covered. 345 City of Chanhassen Financial Management Policies 56 | P a g e To ensure compliance with these requirements, the City has implemented the following policies and procedures: 1. Compliance with matching, level of effort, and earmarking requirements will be the responsibility of the Finance Director. 2. Adequate documentation will be maintained to support compliance with matching, level of effort, and earmarking requirements. Such information will be made available to City administration, auditors, and pass- through or grantor agencies, as requested. 3. Maintenance of effort for grants through the State Minnesota will be determined at the State level. Period of Performance Source of Governing Requirements – The requirements for period of performance of Federal funds are contained in OMB UB 2 CFR 200.038-309 & 344, program legislation, Federal awarding agency regulations, and the terms and conditions of the award. To ensure compliance with these requirements, the City has implemented the following policies and procedures: 1. Costs will be charged to an award only if the obligation was incurred during the funding period (unless pre- approved by the Federal awarding agency or pass-through grantor agency). 2. All obligations will be liquidated not later than 120 days after the end of the funding period (or as specified by program legislation). 3. Compliance with period of performance requirements will initially be assigned to the individual approving the allowability of the expense/payment. This will be subject to review and approval by the Finance Department as part of the payment processing. Procurement, Suspension and Debarment Source of Governing Requirements – The requirements for procurement are contained in OMB UG 2 CFR 180, program legislation, Federal awarding agency regulations, and the terms and conditions of the award. The requirements for suspension and debarment are contained OMB UG 2 CFR 180, program legislation, Federal awarding agency regulations; and the terms and conditions of the award. To ensure compliance with these requirements, the City has implemented the following policies and procedures: 1. Purchasing and procurement related to Federal grants will be subject to the general policies and procedures of the City (described in the section of this manual titled “Purchasing and Procurement”). 2. Contract files will document the significant history of the procurement, including the rationale for the method of procurement, selection of the contract type, contractor selection or rejection, and the basis of contract price. 346 City of Chanhassen Financial Management Policies 57 | P a g e 3. The Finance Director will be responsible for determining whether the City is entering into a transaction that may be subject to suspension or debarment procedures and executing appropriate oversight and control activities at that time. The Finance Director, or designee thereof, is required to check for excluded parties at the System for Award Management (SAM) website: http://www.sam.gov/. Program Income Source of Governing Requirements – The requirements for program income are found in OMB UG 2 CFR 200.307, program legislation, Federal awarding agency regulations, and the terms and conditions of the award. To ensure compliance with these requirements, the City has implemented the following policies and procedures: 1. Program income will include (but will not be limited to): income from fees for services performed, the use or rental of real or personal property acquired with grant funds, the sale of commodities or items fabricated under a grant agreement, and payments of principal and interest on loans made with grant funds. It will not include interest on grant funds unless otherwise provided in the Federal awarding agency regulations or terms and conditions of the award. 2. The City will allow program income to be used in one of three methods: a. Deducted from outlays b. Added to the project budget c. Used to meet matching requirements In the absence of specific guidance in the Federal awarding agency regulations or the terms and conditions of the award, program income shall be deducted from program outlays. 3. Program income, when applicable, will be accounted for as a revenue source in the same project code as the Federal grant. Sub-recipient Monitoring The City will ensure that every subaward is clearly identified to the subrecipient as a subaward and includes the following information at the time of the subaward and, if any of these data elements change, include the changes in subsequent subaward modification. Required information includes: 1. Federal Award Identification. a. Subrecipient name (which must match the name associated with its unique entity identifier) b. Subrecipient's unique entity identifier c. Federal Award Identification Number (FAIN) d. Federal Award Date (see §200.39 Federal award date) to the recipient by the Federal agency e. Subaward Period of Performance Start and End Date f. Amount of Federal Funds Obligated by this action by the pass-through entity to the subrecipient 347 City of Chanhassen Financial Management Policies 58 | P a g e g. Total Amount of Federal Funds Obligated to the subrecipient by the pass-through entity including the current obligation h. Total Amount of the Federal Award committed to the subrecipient by the pass-through entity i. Federal award project description, as required to be responsive to the Federal Funding Accountability and Transparency Act (FFATA) j. Name of Federal awarding agency, pass-through entity, and contact information for awarding official of the Pass-through entity k. Assistance Listing Number and Name; the pass-through entity must identify the dollar amount made available under each Federal award and the Assistance Listing number at time of disbursement l. Identification of whether the award is R&D m. Indirect cost rate for the Federal award (including if the de minimis rate is charged per §200.414 Indirect (F&A) costs) The City will perform a written risk assessment of each subrecipient, evaluating their risk of noncompliance with Federal statutes, regulations, and the terms and conditions of the subaward for purposes of determining the appropriate subrecipient monitoring described in 2 CFR 200.332. This evaluation of risk may include consideration of such factors as the following: a. The subrecipient’s prior experience with the same or similar subawards b. The results of previous audits including whether or not the subrecipient receives single audit in accordance with 2 CFR Part 200, Subpart F, and the extent to which the same or similar subaward has been audited as a major program c. Where the subrecipient has new personnel or new or substantially changed systems d. The extent and results of federal award agency monitoring (e.g., if the subrecipient also receives federal awards directly from a federal awarding agency) The City will monitor the activities of the subrecipient as necessary to ensure that the subaward is used for authorized purposes, in compliance with Federal statutes, regulations, and the terms and conditions of the subaward; and that subaward performance goals are achieved. The City will verify that every subrecipient is audited as required by OMB UG 2 CFR 200 Subpart F when it is expected that the subrecipient’s Federal awards expended during the respective fiscal year equaled or exceeded the threshold. Special Tests and Provisions To ensure compliance with these requirements, the City has implemented the following policies and procedures: 1. The Finance Director will be assigned the responsibility for identifying financial-related compliance requirements for special tests and provisions, determining approved methods for compliance, and retaining any necessary documentation. Program-related compliance requirements will be the responsibility of the department administering the grant. 348 City of Chanhassen Financial Management Policies 59 | P a g e Acronyms CFR – Code of Federal Regulations FFATA – Federal Funding Accountability and Transparency Act GAAP – Generally Accepted Accounting Principles GFOA – Government Finance Officers Association OMB – Office of Management and Budget RFP – Request for Proposal SAM – System for Award Management SEFA – Schedule of Expenditures of Federal Awards 349 City of Chanhassen Financial Management Policies 60 | P a g e ELECTED OFFICIALS OUT-OF-STATE TRAVEL POLICY Minnesota Statutes § 471.661 requires that the governing body of a city must have on record a policy that controls travel outside the state of Minnesota for elected officials. The policy must be recorded vote and specify: 1) When travel outside the state is appropriate; 2) Applicable expense limits; and 3) Procedures for approval of the travel. The policy must be made available for public inspection upon request. Subsequent changes to the policy must be approved by a recorded vote. A recorded vote means the names of each member present and the manner of their vote on the matter or question before the Council is recorded in the minutes. A. Purpose The City of Chanhassen recognizes that its elected officials may at times receive value from traveling out of state for workshops, conferences, events, and other assignments. This policy sets forth the conditions under which out- of-state travel will be reimbursed by the City. B. General Guidelines 1) The event, workshop, conference, or assignment must be approved in advance by the City Council in an open meeting and must include an estimate of the cost of travel. In evaluating the out-of-state travel request, the Council will consider the following: Whether the elected official will be receiving training on issues relevant to the City or to his or her role as the Mayor or Council Member Whether the elected official will be meeting and networking with other elected officials from around the country to exchange ideas on topics of relevance to the City or on the official roles of local officials Whether the elected official will be viewing a city facility or function that is similar in nature to one that is currently operating or under consideration by the City where the purpose of the trip is to study the facility or function to bring back ideas for the consideration of the full council Whether the elected official has been specifically assigned by the Council to visit another city for the purpose of establishing a goodwill relationship such as a “sister-city” relationship Whether the elected official has been specifically assigned by the Council to testify on behalf on the City at the United States Congress or to otherwise meet with federal officials on behalf of the City Whether the City has sufficient funding available in the budget to pay the cost of the trip 2) No reimbursements will be made for attendance at events sponsored by or affiliated with political parties. 3) The City may make payments in advance for airfare, lodging, and registration if specifically approved by the Council. Otherwise, all payments will be made as reimbursements to the elected official. 4) The City will reimburse for transportation, lodging, meals, registration, and incidental costs using the same procedures, limitations, and guidelines outlined in the City’s policy for travel by City employees. 5) The elected official must complete an expense report form and attach original receipts for all expenses, including lodging, airfare, and meals. The expense form shall be submitted to the Finance Department for payment. 6) The City will not reimburse for alcoholic beverages, personal telephone call, costs associated with the attendance of a family member, rental of luxury vehicles, meal expenses (for meals included in the cost of registration), or recreational expenses, such as golf or tennis. 350 City Council Item February 13, 2023 Item Approve Infosend Proposal and Professional Services Agreement for Utility Billing Print and Mail Service File No.Item No: D.12 Agenda Section CONSENT AGENDA Prepared By Kelly Grinnell, Finance Director Reviewed By Laurie Hokkanen SUGGESTED ACTION "The Chanhassen City Council approves the Infosend Proposal and Professional Services Agreement for Utility Billing Print and Mail Service and authorizes the City Manager to sign a contract for such services." Motion Type Simple Majority Vote of members present Strategic Priority Operational Excellence SUMMARY Finance staff currently processes all utility billing processes in-house, including printing and mailing. Staff solicited quotes from multiple vendors for printing and mailing services and received six quotes. Infosend provided the lowest quote for the service. Staff completed a cost analysis of continuing to print and mail in-house versus outsourcing. The table on the attached report shows that the city will save approximately $7,800 per year by outsourcing this service. The attached proposal from Infosend details the cost of the service. BACKGROUND DISCUSSION 351 BUDGET RECOMMENDATION ATTACHMENTS Staff Report for Infosend Proposal for Utility Billing Print and Mail Service InfoSend Proposal InfoSend Professional Services Agreement 352 STAFF REPORT FOR INFOSEND PROPOSAL FOR UTILITY BILLING PRINT AND MAIL SERVICE Finance staff currently processes all utility billing processes in-house, including printing and mailing. Staff solicited quotes from multiple vendors for printing and mailing services and received six quotes. Infosend provided the lowest quote for the service. Staff completed a cost analysis of continuing to print and mail in-house versus outsourcing. The table below shows that the City will save approximately $7,800 per year by outsourcing this service: Current Cost Unit Cost Per Unit Quantity Total Copies -black and white = just toner cost Per Page $ - 1 $ - Staff time -drive to/from Annex, sorting, etc. - 4 hours/month Per Page $ 41.8300 4 $ 167.32 Paper Stock -One-side color pre- printed 8.5 x 11 perforated paper Per Page $ 0.0400 7000 $ 280.00 Outgoing Envelope Each $ 0.0520 7000 $ 364.00 Return Envelope Each $ 0.0510 7000 $ 357.00 Total Before Postage $ - $ 1,168.32 Postage -current lowest discounted 1st class postage rate Each $ 0.5460 7000 $ 3,822.00 Total Per Month $ 4,990.32 Total Per Year $ 59,883.84 Cost with Infosend Unit Cost Per Unit Quantity Total Data Processing Fee -process unique data, pdf creation, CASS address validation, presorting Per Page $ .0200 7000 $ 140.00 Printing & Mailing Fee -up to two color duplex printing, folding, and mail insertion Per Page $ 0.0740 7000 $ 518.00 Paper Stock -InfoSend standard blank black & white 8.5 x 11 perforated paper Per Page $ 0.0150 7000 $ 105.00 Outgoing Envelope Each $ 0.0230 7000 $ 161.00 Return Envelope Each $ 0.0200 7000 $ 140.00 Total Before Postage $ 0.1520 $ 1,064.00 Postage -current lowest discounted 1st class postage rate Each $ 0.4680 7000 $ 3,276.00 Total Per Month $ 4,340.00 Total Per Year $ 52,080.00 Annual Savings if using Infosend $ 7,803.84 353 InfoSend is appreciative of the opportunity to present this proposal for: Data Processing Print & Mail City of Chanhassen, MN InfoSend, Inc. California | Illinois | Texas | Florida | Massachusetts (Affiliate) www.infosend.com January 26, 2023 Prepared for: Ashley McGovern Financial Analyst This proposal is valid for 90 days. An Outsourcing Partner "InfoSend is fantastic. We are a small town that has been printing utility bills in-house for decades, so I had a lot of hesitation handing over the reins, and I had a lot of rookie questions. They were very responsive, took all of my questions seriously, and made me feel very comfortable and confident in the process, start to finish." - Andy M, Utility Billing & MIS Coordinator Buffalo, MN Provided By: Robert Crawford Territory Sales Manager P: 800.955.9330 M: 714.795.7974 robert.c@infosend.com 354 The information in this proposal is confidential and is not to be used or disclosed except to the recipient’s employees, offi cers and agents engaged in evaluating this proposal. 2 Pricing Summary We are appreciative of this opportunity to provide pricing on InfoSend’s outsourced print and mail solution. Comprehensive pricing as well as optional add-on services has been provided later in this proposal. For your convenience, a summary breakdown is as follows: Letter Size Statement Pricing Summary Single Mail Piece Summary Data Processing Fee: processing of your unique data, PDF creation, CASS address validation, presorting Per page $0.02 Printing and Mailing Fee: up to two color duplex printing, folding, and mail insertion. Per page $0.074 Paper Stock: InfoSend Standard blank white 8.5” x 11” perforated paper. Per sheet $0.015 Outgoing Envelope: InfoSend Standard blank #10 Double Window Outgoing Envelope. Each $0.023 Return Envelope: InfoSend Standard blank #9 Single Window Remit Envelope. Each $0.02 Total per mail piece without postage Each $0.152 Estimated Postage: Current lowest discounted First-Class postage rate for qualified mail pieces including the full service intelligent mail USPS discount. Not all mail pieces will qualify for this lowest discount, but all postage will be invoiced at exact pass-through rates. Subject to USPS mandated changes. Each $0.468 Total per mail piece with estimated postage Each $0.620 InfoSend’s letter size processing solution includes cost saving services such as “householding” (multiple accounts mailing to same name and address mailed in single envelope) and remit envelope suppression (omitting return envelope for AutoPay, zero and credit balances). These should be taken into account when conducting any cost analyses. See page 8 for detailed pricing, set up fees, and optional services. 355 The information in this proposal is confidential and is not to be used or disclosed except to the recipient’s employees, offi cers and agents engaged in evaluating this proposal. 3 Industry Experience InfoSend is a market leader for utilities and government agencies. We have never lost a client because of service issues or delays in mail delivery. We currently have approximately 600 municipal utility, water district, and government agency clients that either use the turnkey Data Processing Print & Mail solution, the Online BillPay solution, or both solutions. InfoSend does its absolute best to ensure that each client is completely satisfied with our customer service, mail turnaround, and quality of work. We are currently servicing over 700 clients total and will be happy to provide you with additional references upon your request. City of Roseville, MN 651.792.7037 2660 Civic Center Drive Karla Rangitsch, Utility Manager Roseville, MN 55113 karla.rangitsch@cityofroseville.com • Contracted Since: 2017 • Billing System: Springbrook/Accela • Volume: 10,000 Mail Pieces Monthly • InfoSend Products Used: Data Processing Print and Mail Village of Sussex, WI 262.246.5225 N64 W23760 Main St. Nancy Whalen, Finance Director Sussex, WI 53089 nwhalen@villagesussex.org • Contracted Since: 2018 • Billing System: Springbrook Software • Volume: Approximately 2,900 Mail Pieces Monthly • InfoSend Products Used: Data Processing Print and Mail, Print Image Archive City of Buffalo, MN 763.682.1001 212 Central Avenue Gale Raisanen Buffalo, MN 55313 Gale.Raisanen@ci.buffalo.mn.us • Contracted Since: 2017 • Billing System: Tyler Incode • Volume: 7,000 Mail Pieces Monthly • InfoSend Products Used: Data Processing Print and Mail 356 The information in this proposal is confidential and is not to be used or disclosed except to the recipient’s employees, offi cers and agents engaged in evaluating this proposal. 4 InfoSend - A Complete Customer Engagement Provider • Billing & Payments • Unparalleled Client Support • Multi-Channel Customer Engagement: Web, Mobile, Print, Bank BillPay InfoSend's Mission InfoSend's goal is to provide the best possible Customer Engagement solution in an accurate, reliable, and timely manner, with an unparalleled client support culture that emphasizes personal touch. Get to Know InfoSend - A Reliable Partner InfoSend has provided business process outsourcing services since 1996, handling the processing and distribution of critical documents in the hundreds of millions annually for industries throughout the United States. Utilizing the most current technology, InfoSend's Customer Engagement platform offers a single source provider to reach customers with effective and timely interactions. InfoSend's Customer Communications Management (CCM) platform distributes critical documents across multiple channels, including InfoSend's own manufacturing environments in California, Texas, and Illinois for Data Processing, Printing, and Mailing (DPPM). InfoSend's hosted Electronic Presentment and Payment (EBPP) applications drive the customer remittance process with web, IVR and SMS payment solutions. The cloud-based, Software as a Service (SaaS) approach allows InfoSend to refine offerings without client-side installed software or maintenance, as well as providing for flexible integrations to existing systems or vendors. Integrity is at the core of InfoSend, with a stated goal to retain and provide complete satisfaction for each client. InfoSend has over 200 employees across multiple states, and the company culture has led to high employee retention, affording clients familiarity and quality service. From our internal operations, to how we support our valuable clients, InfoSend's client-focused service has led to an industry leading client retention and satisfaction rate. 357 The information in this proposal is confidential and is not to be used or disclosed except to the recipient’s employees, offi cers and agents engaged in evaluating this proposal. 5 Overview of InfoSend Products and Services InfoSend is a client-focused, single-source provider of comprehensive Customer Engagement and Billing solutions. CCM: Customer Communications Management with a Single Platform • Multi-Channel Distribution: one data processing platform manages the import and handling of data files. This core system can then output the information to all delivery channels: print, USPS, eBilling, Mobile, Online Hosted Archive, API, FTP, Bank Networks and more. • Secure: upload data via our secure website, FTP with optional PGP encryption, or SFTP into a PCI, HIPAA and SOC audited environment. • Innovative Document Designs: document redesign consulting – we create your new document look and feel and then our document composition creates bill images for both printed and paperless bills. • Customizable Messaging and Business Rules: create and schedule document messages by customer type or account number, with paper suppression and distribution workflow completely customizable to meet client need. • Online Proofing, Job and Mail Tracking: web-based system to track and view samples of print or eBills before they are sent, and monitor the job batch through distribution to the customer. • Detailed Reporting: a variety of standard reports can be accessed via web portal or emailed to you, including a detailed breakdown comparison of inputs and outputs. • Archiving and Secure Third-Party API Access: documents can be stored within an InfoSend archive, and may be accessed by clients via an InfoSend portal. InfoSend also has an API available, allowing any vendor the client authorizes to pull customer documents for display. DPPM: Data Processing, Print, and Mail Service • Cloud Based Data Processing: data processing of raw data and print files is done within an InfoSend data center. • High Speed Digital Printing: print statements, invoices, letters, postcards, notices, or other various documents using laser or inkjet technology: black, grayscale, black plus one or more spot colors, and full color printing are all supported. • USPS Compliance and Automation: USPS compliant postal presorting is used to drive postage to the lowest available rates, leveraging the Full-Service Intelligent Mail Barcode (IMB) workflow. • Dynamic Customer Messaging: automated and ad hoc targeted customer messaging capabilities, with dedicated Direct Communications department for production and distribution of marketing, informational inserts, postcard and special mailings. • Fast Service Level Agreements (SLA): quick turn-around of document folding, inserting, presorting, and delivery to the USPS, with next business day job completion. EBPP: Electronic Billing, Payment and Presentment • Multi-Channel Payment Collection: InfoSend's payment platform provides customer convenience to pay by web, telephone, SMS, CSR, in-person EMV and bank payments. • One-Time and Automatic Payments: allow customers to quickly make a one-time payment, as well as sign up to have their payment account auto debited with each billing cycle. • Paperless Bill Notification and Presentment: notify customers via email when a new bill is available, and securely deliver exact replica of printed document to customers inbox or show online via the secure portal. • Mobile-Ready Customer Engagement: all products are mobile compatible out of the box, with no app store downloads required of customers. Powered by InfoSend's CCM platform, customer specific messaging and payment reminders are delivered electronically. • Interactive Voice Response (IVR): accept customer payments via automated phone service with InfoSend-hosted phone number, enabling client phone systems to redirect customers with ease. • SMS Text-to-Pay: enrolled customers may opt in to receive text notifications of new bills, and reply to have the registered payment method drafted for the amount due, speeding up the time to payment. • Bank Payments (MasterCard RPPS): InfoSend can collect customer payments made via Online Banking and include them within the remittance file alongside other payment channels, saving the headache of processing these as paper checks. • Consolidated Lockbox Reconciliation: daily report of all payment channels provided in an easy to understand and reconcile format. • Outbound Notifications: ability to message your customers by telephone call or SMS with customizable messages , sent on demand. 358 The information in this proposal is confidential and is not to be used or disclosed except to the recipient’s employees, offi cers and agents engaged in evaluating this proposal. 6 Facilities InfoSend’s operations are located strategically throughout the nation, ensuring both regional access to the USPS and multiple layers of disaster recovery and mitigation. California: Western US Production Facility (Corporate Headquarters) 4240 E. La Palma Ave Anaheim, CA 92807 InfoSend owns and operates its 80,000 sq. ft. corporate headquarters and Western US production facility located in Orange County, California. This facility sits on a 4.3-acre lot and is one of the premier bill processing centers on the West Coast. The Western production facility acts as InfoSend’s primary data center and largest production center nationwide, providing disaster recovery to all InfoSend sites. It has a 600KW backup generator that can power the entire operation in the event of a grid failure and is designated as a USPS Detached Mail Unit (DMU) with USPS representatives working on- site. The property also contains a separate 25,000 sq. ft. building for additional office and warehouse space. Illinois: Midwest Production Facility 1406 Centre Circle Downers Grove, IL 60515 InfoSend owns and operates its 25,000 sq. ft. Midwest production facility located just west of Chicago, Illinois. The Midwest production facility houses InfoSend’s backup data center and serves as InfoSend’s primary disaster recovery center. The Midwest production facility is InfoSend’s second largest production center, processing mail for clients located in the Midwest and surrounding areas. As with the Western production facility, the Midwest production facility is designated as a USPS DMU with USPS representatives working on-site. Texas: Southcentral Production Facility 1624 W Crosby Road #128 Carrollton, TX 75006 InfoSend's 21,000 sq. ft. South Central production facility is located north of Dallas, Texas, and is the Company’s primary production center for clients in Texas and surrounding states. The Southcentral production facility also provides some disaster recovery services for InfoSend's other sites. Florida: Southeast Production Facility 13891 Jetport Loop Fort Myers FL 33912 InfoSend’s 13,000 sq. ft. Florida production facility is located south of Tampa, Florida, and is the Company’s primary production center for clients in Florida and surrounding states. The Southeast production facility also provides some disaster recovery services for InfoSend’s other sites. Massachusetts: Northeast Production Facility InfoSend NE, LLC (Affiliate) 41 Rogers Road Haverhill, MA 01835 InfoSend NE, LLC (“InfoSend NorthEast”) is a woman-owned affiliate of InfoSend, Inc. InfoSend NE’s 12,000 sq. ft. facility is located north of Boston, Massachusetts, and services both organizations’ clients in the Northeastern US. InfoSend, Inc. provides disaster recovery services to InfoSend Northeast. 359 The information in this proposal is confidential and is not to be used or disclosed except to the recipient’s employees, offi cers and agents engaged in evaluating this proposal. 7 InfoSend's Data Processing, Print & Mail Solutions Detail Data Processing • Deep experience handling input data streams from a countless variety of systems, across many industries. • Customizable document composition with variable and ad hoc messaging options. • Multi-channel distribution of documents: USPS, eBilling, Online Hosted Archive, API, FTP, Bank Networks and more. • Online job tracking, customer service, sample approval, and production service level agreement (SL A) detail. Print and Mail • Print in black, grayscale, black plus one or more spot colors, and full variable color. • Industry-leading Quality Control (QC) process, leveraging the latest technologies to ensure error -free manufacturing. • Full USPS compliance, postage savings, and reporting, including return mail solutions. • Dedicated support for production and distribution of marketing, informational inserts, postcard and special mailings. • Partnered solutions: tracked delivery via FedEx, Online Banking, and more! InfoSend Reliable Production and Materials • Standardized Environment: InfoSend's standardization in production and materials provides reliability and cost effectiveness for clients with a diverse array of needs across countless industries. • Effective Paper Stock: standard 24 lb. blank paper utilized to strike the right balance between cost and reliability. • Customized Perforation: multiple perforation locations are supported to ensure lockbox compatibility. • High Speed Digital Printing: printing using laser or inkjet technology: black, grayscale, black plus one or more spot colors, and full color printing are all supported. • Effective Envelope Stock: standard outgoing #10 and return #9 envelopes predominantly manufactured and stocked by InfoSend, include strategically placed windows to allow client logos to be visible for the customer prior to opening, as well as tinting to ensure data privacy. • Computerized Mailpiece Inserting: documents at InfoSend are tagged and tracked through the production environment, including mailpiece integrity software that ensures accurate insertion of printed page into the envelope prior to delivery to the USPS. • USPS Compliance and Automation: all documents are presorted prior to induction to the mail stream to ensure the lowest possible postage rate. InfoSend's Anaheim and Downers Grove facilities are designated as a USPS Detached Mail Unit (DMU), meaning USPS personnel are onsite authorizing mail to head straight to regional sort centers and bypass the local office. 360 The information in this proposal is confidential and is not to be used or disclosed except to the recipient’s employees, offi cers and agents engaged in evaluating this proposal. 8 InfoSend Data Processing, Print and Mail Pricing Document Production Summary All Document Types: One 8.5” x 11” page, up to two color duplex (2/2), including InfoSend standard envelopes. Pricing reflects and estimated volume of 6,800 documents a month, with an approximate 2 billing runs per month. $0.152 per single page mail piece Finished mail pieces are delivered to the USPS within one (1) business day. If samples (proofs) are requested then the mailing will be completed within one day of sample approval. File upload deadline for next -day mailing is 3:00PM local time at the production facility designated for your account. If samples are required then they must be approved by 5:30PM local time for the file to be mailed by the next business day. The below provides the components of the summary price given above (shaded green) as well as additional and optional pricing. Pricing is based on “Client Volume Assumptions” listed above and excludes applicable sales tax. Data Processing Setup Fee - Express PDF Input Files WAIVED Setup Fee – Data Only Input Files WAIVED Document Re-Design Fee $0.00 Data Processing Fee (per document) $0.02 Printing and Mailing Service All Document Types Printing and Mailing Fee per Page with up to 2/2 Ink $0.074 USPS Postage Pass-through A postage deposit will be required prior to starting service. Print Color Options (colors per side)* $0.084 for 3/1 to 4/1 printing $0.089 for 4/4 printing Inline Insert Print Fee* (Paper stock pricing below in Materials section) $0.074 Black printing $0.089 Color printing Batch Fee (per mailing batch under (200 mail pieces) $10.00 Excess Pages Handwork Surcharge (per mail piece) $0.35 Address Updates – per “hit” (address that get updated) $0.35 NCOA $0.35 ACS *Prices assume normal ink/toner coverage for business documents. Flood coating the entire page in color or other types of ext remely high coverage designs may cost more or not be technically feasible. Extremely high coverage designs can cause content to bleed through to the other side of the page or to cause the page to curl too much to work properly with high-speed mail inserting equipment. Materials Standard 8.5” x 11” Paper Stock (per sheet) $0.015 Standard Double Window Outgoing #10 Envelope $0.023 Standard Single Window Return #9 Envelope $0.02 Outgoing Flat Envelope – used for mail pieces with excess pages $0.17 Insert Services InfoSend Produced Quoted based on specification Envelope Messaging (Snipes) Quoted based on specification Electronic Inserts $0.02 Inserting Fee $0.02 per insert Optional Document Services Enhanced Print Quality $0.02 Print Image Archiving (Per Document Image), with included USPS mail tracking $0.02 - For 12 Months of Retention $0.03 - For 24 Months of Retention $0.04 - For 36 Months of Retention Print Image Archive API Monthly Support Fee $100.00 Professional Services Rate (per hour) $175 Returned Mail Handling $0.35 per reported returned mail piece Remit Tracking $100 monthly support fee 361 The information in this proposal is confidential and is not to be used or disclosed except to the recipient’s employees, offi cers and agents engaged in evaluating this proposal. 9 Fee Explanations Data Processing • Setup Fee - Express PDF Input: requires a final composed PDF is uploaded to InfoSend for processing. Clients maintain control of document look and feel, but InfoSend designs a program to parse the necessary data from the PDF. • Setup Fee - Data Only Input: requires the client provide a flat data extract, InfoSend creates, hosts and maintains an application to generate documents. Existing document design is copied. • Document Re-Design Fee: using the “Data Only Input” method, InfoSend’s Client Services Team assists in redesigning the format of printed documents to improve communications or to take advantage of new printing capabilities. • Data Processing Fee: per document image that is processed by the InfoSend system for output. Printing and Mailing Service • Print Fee: price includes baseline number of colors printed on the front and back of the document. All variable and static images are dynamically imaged onto white form with a perforation. • Postage: clients are invoiced for the exact postage used. Leveraging InfoSend’s USPS compliance and expertise, clients are provided the lowest possible USPS automated rates when client batches qualify. • Optional Color Upgrades: Different options are available at different prices. Numbers fewer than 4 equal individual colors, 4 equals full color. The number 1 means black or grey. All sheets are billed at the same rate; the price for the sheet with the highes t number of colors is the applicable fee. 4 equals CMYK (full color). • Batch Fee: assessed to cover InfoSend costs when batches transferred to InfoSend fall below threshold. • Inline Insert Print Fee: price for inserts printed on demand as additional pages. Allows for more dynamic customer messaging without the extra pre-production lead time and overhead. • Excess Pages Handwork Surcharge: surcharge is assessed per mail piece (not per page). This surcharge only applies to multiple page bills that have too many pages to be inserted into a #10 envelope by machine. This surcharge covers the necessary manual labor required to process these mail pieces. • Address Updates – NCOALink or ACS: per reported update. InfoSend electronically reports the addresses it received in your data that need to be updated because the customer filed a Change of Address Report with the USPS. Cost is per update. Materials • Paper Stock: white paper stock with or without perforation. Paper is 8.5x11” and 24lb. Price includes all inventory costs. A larger 8.5x14” format is available at a higher material cost and higher printing cost. • Outgoing #10 Envelope: #10 InfoSend Standard Double Window Outgoing Envelope. Includes security tint printed on the inside of the paper stock and clear film that prevent the contents of the envelope from being viewed. Sourced with sustainably logge d paper (SFI). • Return #9 Envelope: #9 InfoSend Standard Single Window Return Envelope. Includes the same security tint and SFI paper as the #10. • Outgoing Flat Envelope: single window envelope, only used for multiple page statements that do not fit in the #10 envelope. Insert Services • InfoSend Produced Inserts: utilizing InfoSend printing and/or design services, inserts can be produced by InfoSend. Price quoted on request. • Envelope Messaging (Snipes): custom messages and images can be printed onto the standard InfoSend #10 double window envelope as a more cost-effective alternative to pre-manufactured custom envelopes. The price depends on the artwork – number of colors and whether it prints on one or both sides of the envelope, as well as order quantity. Price is quoted upon request. • Electronic Inserts: fee per digital image of a physically produced insert included in the PDF copy of a document. Ensures that client representatives and client customers can get the same information in the electronic bill as would go out physically. • Inserting Fee: client provided or InfoSend produced inserts to be included with InfoSend produced mail. Additional fee applies if insert arrives at InfoSend but requires folding prior to insertion. Setup fees may apply for programming selective inserting. InfoSend- printed inserts are quoted upon request. Optional Document Services • Enhanced Print Quality: the baseline print image quality for transactional documents such as statements and invoices is 600 x 600 DPI. Work produced from InfoSend’s Anaheim facility can be printed at an enhanced image quality at an additional cost. This option uses high definition pigment ink & variable drop sizes to achieve a perceived 1200 x 1200 DPI image quality. • Print Image Archiving: fee per document to process, index, and store a document as a PDF for a set number of months. PDFs are securely accessed using an InfoSend website application, and includes USPS mail tracking for all outbound First Class mailed documents. Setup fees may apply depending on configuration needs. • Print Image Archive API Monthly Support Fee: a flat monthly support fee to provide API access to documents in the InfoSend Print Image Archive. InfoSend will work with the designated third parties that a Client chooses, and provide support and open access to API calls on a monthly basis. • Final Doc Transfer FTP: each completed InfoSend batch is indexed and transferred to you via FTP or SFTP to store on your own network. InfoSend’s standard Batch File format is one PDF per batch with an XML companion file providing meta data and page numbers. If the client requires a custom scheme, including individual PDFs per each image in a batch, the Custom fee applies. Note: setup fees may also apply for some custom setups. • Professional Services Fee: per hour and performed only upon request for customizations made to processing program or document format after go-live. Work is only started after receiving client approval of a formal quote. • Returned Mail Handling: InfoSend will provide electronic reporting of mail that is returned by USPS, s aving clients the hassle of receiving and opening returned mail to update records. All records which are not delivered will be securely destroyed and recycled after reporting. • Remit Tracking: for clients utilizing the Print Image Archiving service, InfoSend can also track inbound mail from customers utilizing an included remittance stub in the outbound mail. With Remit Tracking clients will be able to see when a customer responded to the original mail piece, as well as get a daily report of inbound mail with an estimated value of payment remittances based on th e outbound mail. 362 1 225094v1 PROFESSIONAL SERVICES AGREEMENT AGREEMENT made this ______ day of ______________, 20__, by and between the CITY OF CHANHASSEN,a Minnesota municipal corporation ("City") and INFOSEND, INC., a ______________________________Corporation with a business address at _________________________________________________________________ ("Contractor"). IN CONSIDERATION OF THEIR MUTUAL COVENANTS, THE PARTIES AGREE AS FOLLOWS: 1.SCOPE OF SERVICES.The City retains Contractor tofurnish the services set forth on the attached Exhibit “A”. This Master Agreement contains the general terms governing the provision of such services. The Contractor agrees to perform the services diligently and completely and in accordance with professional standards of conduct and performance. 2.CONTRACT DOCUMENTS.The following documents shall be referred to as the "Contract Documents," all of which shall be taken together as a whole as the contract between the parties as if they were set verbatim and in full herein: A.This Agreement. B.Exhibit “A” (InfoSend Services) C.Exhibit “B” (InfoSend Fees) D.Exhibit “C” (InfoSend Professional Services) E.Exhibit “D” (The Proposal dated January 26, 2023) In the event of conflict among the provisions of the Contract Documents, the order in which they are listed above shall control in resolving any such conflicts with Contract Document "A” having the first priority and Contract Document “B" having the last priority. 3.COMPENSATION.Contractor shall be paid by the City in accordance with the following provisions. Invoicing. Contractor will invoice the City monthly and the City will pay Contractor the fees described in and/or computed in accordance with Exhibits B and C. The City’s payment of these invoices is due upon receipt in U.S. dollars and shall be paid NET 30 unless expressly agreed to by Contractor. Dispute of Invoice. Should the City dispute any invoices, it must do so in writing within sixty(60) days of the invoice date with specific details as to the matters in dispute or any dispute shall be deemed waived. Late Payments. Contractor may elect to assess finance charges on any or all undisputed invoices that become past due at a rate of 1.5% per month. 363 2 225094v1 The recurring nature of Contractor’s Services result in a rapid rise in financial loss to Contractor if the accounts payable process is delayed, particularly when Contractor is invoicing the City for postage charges. Therefore, Contractor reserves the right to suspend Services until payments are brought current if past due account balances cannot be collected from the City. Contractor’s Accounting staff will notify the City in writing before Services are suspended and give the City an opportunity to bring the account current before Services are put on hold. Should a hold be instigated, it will immediately be removed once the account is brought current. 4.TERM. Contractor’s services specified on Exhibit “A” shall commence immediately upon receipt of written notice to proceed from City. Work shall occur in accordance with the Contract Documents and Contractor will cooperatively work in coordination with the City’s . The services must be completed on or before . Initial Term.The initial term of this Agreement shall commence on the Effective Date of this Agreement and continue for a period of three (3) years (“Initial Term”) from the Effective Date. Renewal Terms.This Agreement will automatically renew for successive two (2) year periods (“Renewal Terms”) unless either the City or Contractor provides the other party with at least sixty (60) days’ written notice prior to the end of the current term indicating that such party elects not to automatically renew the term of this Agreement. The party giving non-renewal notice may indicate if it prefers for the contract to be terminated at the end of the current term or to continue on a month-to-month basis, if mutually agreeable to both parties. 5.CHANGE ORDERS. All change orders, regardless of amount, must be approved in advance and in writing by the City. No payment will be due or made for work done in advance of such approval. 6.DOCUMENT OWNERSHIP. All reports, plans, models, software, diagrams, analyses, and information generated in connection with performance of this Agreement shall be the property of the City. The City may use the information for its purposes. The City shall be the copyright owner. 7.COMPLIANCE WITH LAWS AND REGULATIONS.In providing services hereunder, Contractor shall abide by all statutes, ordinances, rules, and regulations pertaining to the provisions of services to be provided. 8.STANDARD OF CARE.Contractor shall exercise the same degree of care, skill, and diligence in the performance of the services as is ordinarily possessed and exercised by a contractor under similar circumstances. No other warranty, expressed or implied, is included in this Agreement. Contractor shall be responsible for the accuracy of the work and shall promptly make necessary revisions or corrections resulting from errors and/or omissions on the part of Contractor without additional compensation. City shall not be responsible for discovering deficiencies in the accuracy of Contractor’s services. 364 3 225094v1 9.INDEMNIFICATION.Contractor shall indemnify and hold harmless the City, its officers, agents, and employees, of and from any and all claims, demands, actions, causes of action, including costs and attorney's fees, to the extent they arise directly out of or by reason of the negligent execution or performance of the services provided for herein or breach of contract and further agrees to defend at its sole cost and expense any action or proceeding commenced for the purpose of asserting any claim of negligence or breach of contact. 10.INSURANCE.The Contractor, at its expense, shall procure and maintain in force for the duration of this Agreement the following minimum insurance coverages: A.General Liability.The Contractor agrees to maintain commercial general liability insurance in a minimum amount of $1,000,000 per occurrence; $2,000,000 annual aggregate. The policy shall cover liability arising from premises, operations, products completed operations, personal injury, advertising injury, and contractually assumed liability. The City shall be endorsed as additional insured. B. Automobile Liability.If the Contractor operates a motor vehicle in performing the Services under this Agreement, the Contractor shall maintain commercial automobile liability insurance, including owned, hired, and non-owned automobiles, with a minimum liability limit of $1,000,000 combined single limit. C. Workers’ Compensation.The Contractor agrees to provide workers’ compensation insurance for all its employees in accordance with applicable requirements. D.Professional (Errors and Omissions) Insurance. The Contractor will maintain professional liability insurance for all claims the Contractor may become legally obligated to pay resulting from any actual or alleged negligent act, error, or omission related to Contractor’s professional services required under this Agreement. The Contractor is required to carry the following minimum limits: $1,000,000 per occurrence; $2,000,000 annual aggregate. The retroactive or prior acts date of such coverage shall not be after the effective date of this Agreement, and the Contractor shall maintain such insurance for a period of at least three (3) years following completion of the Services. If such insurance is discontinued, extended reporting period coverage must be obtained by the Contractor to fulfill this requirement. The Contractor shall, prior to commencing the Services, deliver to the City a Certificate of Insurance as evidence that the above coverages are in full force and effect. The insurance requirements may be met through any combination of primary and umbrella/excess insurance. 365 4 225094v1 The Contractor’s policies shall be the primary insurance to any other valid and collectible insurance available to the City with respect to any claim arising out of Contractor’s performance under this Agreement. The Contractor’s coverage afforded under the policies shall not be cancelled without at least thirty (30) days advanced written notice to the City. 11.INDEPENDENT CONTRACTOR.The City hereby retains Contractor as an independent contractor upon the terms and conditions set forth in this Agreement. Contractor is not an employee of the City and is free to contract with other entities as provided herein. Contractor shall be responsible for selecting the means and methods of performing the work. Contractor shall furnish any and all supplies, equipment, and incidentals necessary for Contractor’s performance under this Agreement. City and Contractor agree that Contractor shall not at any time or in any manner represent that Contractor or any of Contractor's agents or employees are in any manner agents or employees of the City. Contractor shall be exclusively responsible under this Agreement for Contractor’s own FICA payments, workers compensation payments, unemployment compensation payments, withholding amounts, and/or self-employment taxes if any such payments, amounts, or taxes are required to be paid by law or regulation. 12.SUBCONTRACTORS.Contractor shall not enter into subcontracts for services provided under this Agreement without the express written consent of the City. Contractor shall comply with Minnesota Statute § 471.425. Contractor must pay subcontractor for all undisputed services provided by subcontractor within ten (10) days of Contractor’s receipt of payment from City. Contractor must pay interest of one and five-tenths (1.5) percent per month or any part of a month to subcontractor on any undisputed amount not paid on time to subcontractor. The minimum monthly interest penalty payment for an unpaid balance of One Hundred and No/100ths Dollars ($100) or more is Ten and No/100ths Dollars ($10). 13.CONTROLLING LAW/VENUE.This Agreement shall be governed by and construed in accordance with the laws of the State of Minnesota. In the event of litigation, the exclusive venue shall be in the District Court of the State of Minnesota for Carver County. 14.MINNESOTA GOVERNMENT DATA PRACTICES ACT.Contractor must comply with the Minnesota Government Data Practices Act, Minnesota Statutes Chapter 13, as it applies to (1) all data provided by the City pursuant to this Agreement, and (2) all data, created, collected, received, stored, used, maintained, or disseminated by Contractor pursuant to this Agreement. Contractor is subject to all the provisions of the Minnesota Government Data Practices Act, including but not limited to the civil remedies of Minnesota Statutes Section 13.08, as if it were a government entity. In the event Contractor receives a request to release data, Contractor must immediately notify City. City will give Contractor instructions concerning the release of the data to the requesting party before the data is released.Contractor agrees to defend, indemnify, and hold City, its officials, officers, agents, employees, and volunteers harmless from any claims resulting from Contractor’s officers’, agents’, partners’, employees’, volunteers’, assignees’ or subcontractors’ unlawful disclosure and/or use of protected data. The terms of this paragraph shall survive the cancellation or termination of this Agreement. 366 5 225094v1 15.COPYRIGHT.Contractor shall defend actions or claims charging infringement of any copyright or software license by reason of the use or adoption of any software, designs, drawings or specifications supplied by it, and it shall hold harmless the City from loss or damage resulting therefrom. 16.PATENTED DEVICES, MATERIALS AND PROCESES. If the Contract requires, or the Contractor desires, the use of any design, device, material, or process covered by letters, patent or copyright, trademark or trade name, the Contractor shall provide for such use by suitable legal agreement with the patentee or owner and a copy of said agreement shall be filed with the City. If no such agreement is made or filed as noted, the Contractor shall indemnify and hold harmless the City from any and all claims for infringement by reason of the use of any such patented designed, device, material, or process, or any trademark or trade name or copyright in connection with the services agreed to be performed under the Contract, and shall indemnify and defend the City for any costs, liability, expenses and attorney's fees that result from any such infringement. 17.AUDIT. Pursuant to Minnesota Statutes, § 16C.05, Subdivision 5, the Contractor agrees that the City, the State Auditor, or any of their duly authorized representatives at any time during normal business hours and as often as they may reasonably deem necessary, shall have access to and the right to examine, audit, excerpt, and transcribe any books, documents, papers, records, etc., which are pertinent to the accounting practices and procedures of the City, and involve transactions relating to this Agreement. The Contractor agrees to maintain these records for a period of six years from the date of termination of this Agreement. 18. ASSIGNMENT. Neither party shall assign this Agreement, nor any interest arising herein, without the written consent of the other party. 19.WAIVER.Any waiver by either party of a breach of any provisions of this Agreement shall not affect, in any respect, the validity of the remainder of this Agreement. 20.ENTIRE AGREEMENT.The entire agreement of the parties is contained herein. This Agreement supersedes all oral agreements and negotiations between the parties relating to the subject matter hereof as well as any previous agreements presently in effect between the parties relating to the subject matter hereof. Any alterations, amendments, deletions, or waivers of the provisions of this Agreement shall be valid only when expressed in writing and duly signed by the parties, unless otherwise provided herein. 21 NOTICES.All notices, demands or requests required or permitted to be made pursuant to or under this Agreement must be in writing and deemed valid if sent by registered mail, return receipt requested, or delivered by overnight delivery service providing written evidence of delivery, or by hand delivery by reputable independent courier providing written evidence of delivery, addressed as follows: Notice to City:City of Chanhassen Attn: Kelly Grinnell, Finance Director PO Box 147 Chanhassen, MN 55317 367 6 225094v1 Notice to Contractor:Attn: President 4240 E. La Palma Avenue Anaheim, CA 92807 22.NONDISCRIMINATION. In the hiring of employees to perform work under this Agreement, the Contractor shall not discriminate against any person by reason of any characteristic or classification protected by state or federal law. 23.TERMINATION. This Agreement may be terminated by the City for any reason or for convenience upon at least ninety (90) days’ written notice to the Contractor. In the event of termination, by the City the City shall pay the Contractor for completed work. 24.FORCE MAJEURE.Neither party shall be liable, or deemed to be in default, to the other for any failure or delay in performing an obligation under this Agreement to the extent that its performance is delayed, impaired or rendered impossible by an event beyond its control (“Force Majeure Event”) such as natural disasters, war, terrorist acts, riots, labor strikes or shortages, civil disturbances, extra-ordinary losses of utilities (including telecommunications services), computer “hacker” attacks on internet infrastructure, regulatory restrictions, change in law or regulation or other acts of government authority, including civil and military authorities and courts, fuel or energy shortages, transportation stoppages or slowdowns, the inability to procure parts or raw materials, pandemics, supply-chain issues which causes a substantial increase in costs or decrease in availability of materials necessary for Contractorand/or its Affiliate(s) to perform services under this Agreement, and/or acts or omissions of common carrier. These causes will not excuse the City from paying previously accrued payables due to Contractor through any available lawful means acceptable to Contractor. Remainder of page intentionally blank. Signatures follow. Dated: __________________, 20__CITY OF CHANHASSEN BY: _______________________________ Elise Ryan, Mayor 368 7 225094v1 BY: ________________________________ Laurie Hokkanen, City Manager Dated: __________________, 20__INFOSEND, INC. BY: _______________________________ Its ________________ 369 8 225094v1 Exhibit A - Scope of InfoSend Primary Services This Exhibit A provides the Services which InfoSend, and/or its Affiliate(s), shall deliver to Client to permit Client’s customers (“Users”) to use the products and services to view and pay their bills. To the extent that any term is not expressly defined herein, it shall have the meaning set forth in the Agreement. Client will select one or more of InfoSend’s Primary Services from the list below by checking the box next to the Primary Service name. Any Primary Services not selected prior to the execution of this Agreement can be added at a later date via an Agreement Amendment. Data Processing, Printing and Mailing Service (“DPPM Service”): During the term of this Agreement, InfoSend will provide data processing, printing and mailing services. The Service consists of processing data, printing documents, mail preparation, applying postage (where applicable) and sending via the United States Postal Service. Document types include but are not limited to bills, postcards and letters. eBusiness Services (the “eBusiness Services”):During the term of this Agreement InfoSend will provide eBusiness Services. These services can include presenting bills online and/or accepting and reporting payment transaction information to facilitate ACH and/or credit card payments via web, Interactive-Voice- Response (IVR), SMS, or Bank Billpay (e-Lockbox). Section 1. Data Processing, Printing and Mailing (DPPM) Service Description A. Data Transfer and Processing Client to transmit data to InfoSend in an agreed upon format. Should Client make changes to data file format after initial setup is complete, it agrees to pay for the professional services required to accommodate the new file format. See Exhibit C – Professional Services – for information on initial setup and ongoing programming changes. Client will monitor transfer confirmation emails to ensure InfoSend is in receipt of the data. Client acknowledges that InfoSend will not be responsible or liable for any transferred data which does not result in a confirmation receipt to Client. A File Transfer Report will be emailed to the Client representatives who have opted-in to this email. A copy of this report is also available to download from the InfoSend website. Client will have access to an online Job Tracking application that shows the progress of each file as it is processed and becomes a batch of documents to be printed and mailed. Client can see both the original input file name and the InfoSend-assigned “Job Code”. InfoSend will process the mailing addresses and perform the following functions: o Apply CASS-certified address validation o Comply with USPS requirements to obtain pre-sort automation rates for qualified client mail pieces o Stay current with all USPS regulations required to mail presorted first-class mail InfoSend will optionally provide proofs of the final print-ready PDF files to Client to be reviewed and approved before printing begins (if requested). B. Document Printing and Mailing Batches are printed by InfoSend using a high-speed production process onto the agreed upon forms. Printed documents are put through a quality control process and then released to the mailing department to be inserted into outgoing envelope. A return envelope and any applicable inserts are included as defined by client workflow. After a batch of mail is completed in InfoSend’s system it will be marked as such in the online Job Tracker and a Process Confirmation Report will be emailed to the Client representatives who have opted-in to this email. A copy of this report is also available to download from the InfoSend website. 370 9 225094v1 Section 2. eBusiness Service Description A. General System Description Mobile-Ready Customer Engagement: all products are mobile compatible out of the box, with no app store downloads required of customers. Powered by InfoSend's CCM platform, customer specific messaging and payment reminders are delivered electronically. Multi-Channel Payment Collection: InfoSend's payment platform will consolidate web, telephone, SMS, CSR, in-person EMV and bank payments into a single lockbox file. One-Time and Automatic Payments: allow customers to quickly make a one-time payment, as well as sign up to have their payment account auto debited with each billing cycle. Bill Notification and Presentment: notify customers via email when a new bill is available, and securely deliver exact replica of printed document to customers inbox or show online via the secure portal. Interactive Voice Response (IVR): accept customer payments via automated phone service with InfoSend- hosted phone number, enabling client phone systems to redirect customers with ease. SMS Text-to-Pay: enrolled customers may opt in to receive text notifications of new bills, and reply to have the registered payment method drafted for the amount due, speeding up the time to payment. Bank Payments (MasterCard RPPS): InfoSend cancollect payments made via the customer bank and include them within the lockbox file. PCI-Compliant Cloud Based Solution: electronic billing and payment related products hosted in the cloud by InfoSend in a secure PCI-Level 1 compliant environment. B. Data Transfer and Processing Client to transmit data to InfoSend in an agreed upon format, using the Data Transfer and Processing workflow described in Section 1. Client acknowledges that InfoSend will not be responsible or liable for any transferred data which does not result in a confirmation receipt to Client. If the Client is not using InfoSend’s DPPM Service, USPS address workflow will not be applied. Data loaded into the eBusiness system is used to facilitate accurate payments via Web, IVR, SMS or Bank BillPay. C.Customer Enrollment and Bill Notification Data loaded into the system will be used to facilitate customer enrollment, using two pieces of information specific to the customer bill. For enrolled customers, system will send a notification of the new bill available via email. For enrolled customers who have opted in, system will send an SMS alert. For customers using the IVR system, bill information will be dictated by text to voice. For customers paying via Bank BillPay, the account number can be validated by the system prior to accepting payment. The system may optionally be configured to display a PDF replica of the bill image. D. Customer Payment and Reporting Customers can make payment via Web, SMS, IVR or Bank BillPay, depending on channels which Client has requested InfoSend setup. Payments can be configured to allow Users to pay by bank account and/or credit/debit card. All payments will be reported in a standard daily “lockbox” file. 371 10 225094v1 Exhibit B - InfoSend Fees This Exhibit B provides the Fees which InfoSend shall bill to Client in exchange for Services. To the extent that any term is not expressly defined herein, it shall have the meaning set forth in the Agreement. Section 1. Price Escalations to InfoSend Fees InfoSend may adjust the InfoSend Fees once every twelve (12) months to account for increases in the cost of materials, labor, and other overhead costs. InfoSend reserves the right to increase InfoSend Fees on a yearly basis (starting with the first anniversary of the Agreement date). The Client will be notified, in writing, at least thirty (30) days prior to such price increase. An amendment to the Agreement will not be required if the Fees are changed, unless other terms or conditions of the Agreement have changed. Postage fees can change at any time per USPS regulations and do not require an amendment to the Agreement. In addition to this, if Client uses the Printing and Mailing Service, it accepts that InfoSend reserves the right to pass on any extraordinarily high increases to the cost of forms or envelopes at any time. The Client will be notified, in writing, at least thirty (30) days prior to such price increase. InfoSend pricing is predicated on Client representations of Client and Client User transactional usage. Should Client’s actual continuous volume and/or recurring frequency deviate by more than thirty percent (30%) from what Client has represented to InfoSend in Section 2 below, then InfoSend reserves the right to invalidate the Fees listed in this Agreement. Should this situation arise then InfoSend will notify Client immediately and negotiate with Client in good faith to pass on any increased costs to Client, in accordance with actual Client and Client User transactional usage. Should InfoSend and Client fail to agree upon updated Fees, InfoSend reserves the right to terminate this Agreement with one hundred and eighty (180) days’ notice. Section 2. Client Representations Client Volume Representations Customers Contacted or Billed Monthly -Approximately 6,800 documents Number of Batches Monthly -Approximately 2 (two) Section 3. DPPM Fees: InfoSend Data Processing, Print and Mail Pricing Document Production Summary All Document Types: One 8.5” x 11” page, up to two color duplex (2/2), including InfoSend standard envelopes. Pricing reflects and estimated volume of 6,800 documents a month, with an approximate 2 billing runs per month. $0.152 per single page mail piece Finished mail pieces are delivered to the USPS within one (1) business day. If samples (proofs) are requested then the mailing will be completed within one day of sample approval. File upload deadline for next-day mailing is 3:00PM local time at the production facility designated for your account. If samples are required then they must be approved by 5:30PM local time for the file to be mailed by the next business day. 372 11 225094v1 The below provides the components of the summary price given above (shaded green) as well as additional and optional pricing. Pricing is based on “Client Volume Assumptions” listed above and excludes applicable sales tax. Data Processing Setup Fee - Express PDF Input Files WAIVED Setup Fee – Data Only Input Files WAIVED Document Re-Design Fee $0.00 Data Processing Fee (per document)$0.02 Printing and Mailing Service All Document Types Printing and Mailing Fee per Page with up to 2/2 Ink $0.074 USPS Postage Pass-through A postage deposit will be required prior to starting service. Print Color Options (colors per side)*$0.084 for 3/1 to 4/1 printing $0.089 for 4/4 printing Inline Insert Print Fee* (Paper stock pricing below in Materials section)$0.074 Black printing $0.089 Color printing Batch Fee (per mailing batch under (200 mail pieces)$10.00 Excess Pages Handwork Surcharge (per mail piece)$0.35 Address Updates – per “hit” (address that get updated)$0.35 NCOA $0.35 ACS *Prices assume normal ink/toner coverage for business documents. Flood coating the entire page in color or other types of extremely high coverage designs may cost more or not be technically feasible. Extremely high coverage designs can cause content to bleed through to the other side of the page or to cause the page to curl too much to work properly with high-speed mail inserting equipment. Materials Standard 8.5” x 11” Paper Stock (per sheet) $0.015 Standard Double Window Outgoing #10 Envelope $0.023 Standard Single Window Return #9 Envelope $0.02 Outgoing Flat Envelope – used for mail pieces with excess pages $0.17 Insert Services InfoSend Produced Quoted based on specification Envelope Messaging (Snipes)Quoted based on specification Electronic Inserts $0.02 Inserting Fee $0.02 per insert Optional Document Services Enhanced Print Quality $0.02 Print Image Archiving (Per Document Image), with included USPS mail tracking $0.02 - For 12 Months of Retention $0.03 - For 24 Months of Retention $0.04 - For 36 Months of Retention Print Image Archive API Monthly Support Fee $100.00 Professional Services Rate (per hour)$175 Returned Mail Handling $0.35 per reported returned mail piece Remit Tracking $100 monthly support fee Section 3.1. Custom Forms/Envelopes If Client has selected the Printing and Mailing Service and at any time requests that InfoSend Fees include the cost of custom Client-specific materials (either in this Agreement or since its execution), then Client understands and accepts that these materials will be purchased in bulk to achieve the lowest possible per-unit cost. Client agrees to purchase any remaining supplies of requested custom materials (normally forms or envelopes) if Client stops using 373 12 225094v1 InfoSend’s Service for any reason. Client agrees to purchase the remaining supply of custom forms/envelopes upon Client’s request to change the custom forms/envelopes before the supply has been depleted. Section 3.2. USPS Postage Rates Postage rates are determined by the United States Postal Service. All postage rate changes are determined directly by USPS and are independent of any InfoSend service or materials fees. In no event shall any change in the postage rates affect the InfoSend service or materials fees. The Client will be invoiced the amount of excess for overweight and foreign mail. Section 3.3. Postage Deposit InfoSend purchases the postage needed to mail Client documents on the day of mailing. The postage charges are later invoiced to Client based on the Client’s payment terms. InfoSend requires Client to submit a postage deposit prior to the first mailing to facilitate the payment terms. This amount will remain in deposit for the duration of the Agreement. Upon Agreement expiration or termination Client must pay in full any outstanding invoices from InfoSend for payables created under this Agreement; the postage deposit will be refunded within fifteen (15) days of the date that the last open invoice is paid. The postage deposit is subject to an annual review and may be adjusted to account for changes to Client average mailing volume or changes to USPS postage rates. There will be no more than one adjustment requested per year, if at all. The postage deposit amount is calculated by multiplying the estimated number of mail pieces per month by the current 5-Digit pre-sorted first class postage rate. The postage deposit amount due for your account is: 6,800 mail pieces per month x $0.455 x 2 = $6,188.00 Section 4. eBusiness Service Fees: Not applicable. Section 5. Client Go-Live and Fees InfoSend will provide Client with a Demo instance of the System to approve configuration and simulation of Services. Upon Client approval of the Demo instance of the System and sample outputs from Services, InfoSend will create a copy of Demo System in Production for completion of final User Acceptance Testing (UAT). Client will be given the UAT Period to complete internal testing prior to initiating Go-Live. All Setup and recurring Monthly Fees will become due upon the sooner of (a) Client Go-Live with the application or (b) 60 days from InfoSend delivery of Production System for UAT. Section 6. Implementation Project Cost Subsidization: InfoSend’s internal costs to complete the project is higher than the Setup fees given. InfoSend has subsidized these fees by factoring in years of service given the term of the Agreement. Should Client cancel the project or terminate the Agreement at its convenience less than one (1) year from the Effective Date then it must pay according to the below: DPPM Setup Fee:No charge for Express PDF Setup Input files or $2,500 for Data-Only Input Files EBPP Setup Fee:100% of Setup fees quoted or listed as “Waived” in the pricing exhibit. 374 13 225094v1 Exhibit C – Professional Services This Exhibit C provides InfoSend’s Professional Services Fees which InfoSend shall bill to Client in exchange for Professional Services. To the extent that any term is not expressly defined herein, it shall have the meaning set forth in the Agreement. Section 1. Price Escalations to InfoSend Professional Services Fees InfoSend Professional Services Fees can be adjusted once every twelve (12) months to account for increases to the cost of providing these services. InfoSend reserves the right to increase Professional Services Fees on an annual basis, starting with the first anniversary of the Agreement date, if needed. The Client will be notified, in writing, at least thirty (30) days prior to such price increase. An amendment to the Agreement will not be required if the Professional Services Fees are changed, unless the terms or conditions of the Agreement have changed. Section 2. Definition of Professional Services InfoSend Professional Services are the technical services that are required to perform the initial setup of the InfoSend Primary Services defined in Exhibit A and the technical services required to make changes to these Primary Services after the initial setup is complete. Once any Primary Service is live and operational Professional Services will not be required unless Client requests a change or makes changes to its data file format or business rules which necessitates a change to InfoSend’s system configuration or programming. Examples of InfoSend Professional Services: Project requirements gathering and analysis hours Project management and/or consulting hours Software development and system configuration hours related to the processing of Client’s data Software development and system configuration hours related to document design, web portal setup, business rule configuration, or any other applicable technical services Application testing and deployment hours Section 3. Professional Services Fee and Process for Approval and Payment of Fee The current Professional Services Fee is $175.00 per hour. In the event that a project will incur billable Professional Services hours, Client will be informed before work begins. InfoSend and Client will execute a Statement of Work for the project that Client wants InfoSend to undertake. The payment terms for the project depend on the size and scope of the project. The Statement of Work can include payment terms that are different than the terms listed in this Agreement for InfoSend Fees, otherwise these terms will apply and the project fees will be invoiced upon project completion. Small projects that incur less than five (5) hours of Professional Services can be initiated without a Statement of Work if Client accepts and executes a Programming Quote for this work. Any project that will take more than five (5) hours of Professional Services work will require both parties to execute a formal Statement of Work. Depending on the nature of the work required, InfoSend will provide one of the following quotation methods: Fixed Quote – a fixed project cost will be set. InfoSend may elect to waive this cost in some circumstances. Client understands and accepts that it must accept the terms and conditions of the Statement of Work for the project and that changes made to the project requirements, data file structure, etc., after the Statement of Work and any amendments to it have been finalized will require Client to pay for these changes on a Time and Materials basis. Client will be notified immediately if this scenario arises and will be given an option to keep the original project specifications to keep the fixed quote in place. Time and Materials Quote –should it not be possible to provide a fixed quote due to the nature of a Client’s requested project, then InfoSend will provide an estimated number of hours to complete the project and 375 14 225094v1 bill the hours on a Time and Materials basis. The Statement of Work will include the terms and conditions for these project types and Client will be invoiced weekly for the hours spent on the project. Section 4. Initial Setup Cost: InfoSend Primary Services The Initial Setup cost for the InfoSend Primary Services selected in Exhibit A are listed in Exhibit B. These costs have been provided using a Fixed Quote process, explained in Section 3 above. Client understands and agrees to these terms, and to the project-specific terms and conditions that will be provided in the Statement of Work that will be created to capture Client’s specific requirements and data types. 376 15 225094v1 “EXHIBIT D” InfoSend, Inc. Proposal dated January 26, 2023 377 City Council Item February 13, 2023 Item Approve Officer Change for Kwik Trip, Inc. as it Relates to the Off-sale 3.2 Malt Liquor Licenses for their Chanhassen Stores located at 2201 West 78th Street and 8921 Crossroads Boulevard File No.Item No: D.13 Agenda Section CONSENT AGENDA Prepared By Kim Meuwissen, City Clerk Reviewed By Laurie Hokkanen SUGGESTED ACTION "The Chanhassen City Council approves the officer change for Kwik Trip, Inc. as it relates to the off-sale 3.2 malt liquor licenses for their Chanhassen stores located at 2201 West 78th Street and 8921 Crossroads Boulevard." Motion Type Simple Majority Vote of members present Strategic Priority N/A SUMMARY BACKGROUND The following Kwik Trip stores located in Chanhassen hold 3.2 Off-Sale Malt Liquor licenses: Kwik Trip #402 - 2201 West 78th Street Kwik Trip #492 - 8921 Crossroads Boulevard City Code Section 10-27(a) states that at the time of making an initial application, renewal application, or request for approval for a new manager, the applicant shall, in writing, authorize the city to investigate all facts set out in the application and do a personal background and criminal record check 378 on the applicant and operating manager. The applicant shall further authorize the city to release information received from such investigation to the city council. DISCUSSION Staff received the attached letter from the license holder, Kwik Trip, Inc., reporting an organizational change replacing the current president, Donald Zietlow, with the new president, Scott Zietlow, effective January 1, 2023. All other corporate officers remain unchanged. As required by city code, Law Enforcement conducted a background investigation on Scott Zietlow and reported no concerns. BUDGET RECOMMENDATION Staff recommends council approve the officer change for Kwik Trip, Inc., as it relates to the off-sale 3.2 liquor licenses for their Chanhassen stores located at 2201 West 78th Street and 8921 Crossroads Boulevard. ATTACHMENTS Corporation Change Notice dated 12-30-2022 379 380 381 382 383 384 City Council Item February 13, 2023 Item Resolution 2023-XX: Approve Application of the Chanhassen American Legion Post 580 to Conduct Off-Premise Lawful Gambling at Hackamore Brewing Company File No.Item No: D.14 Agenda Section CONSENT AGENDA Prepared By Kim Meuwissen, City Clerk Reviewed By Laurie Hokkanen SUGGESTED ACTION "The Chanhassen City Council adopts a resolution approving an application from Chanhassen American Legion Post 580 to conduct off-premise lawful gambling at Hackamore Brewing Company located at 18651 Lake Drive East." Motion Type Simple Majority Vote of members present Strategic Priority N/A SUMMARY The Chanhassen American Legion Post 580 (Legion) located at 290 Lake Drive East has submitted a request for City Council approval to apply for a permit to conduct lawful gambling at the Hackamore Brewing Company site located at 18651 Lake Drive East. BACKGROUND The Legion currently holds lawful gambling License #00765 issued by the Minnesota Gambling Control Board. In order to conduct lawful gambling at the Hackamore Brewing Company, the Legion must apply for a Gambling Premises Permit LG214 (attached) from the State. The permit application must be approved by the City Council and a resolution provided to submit with the application. 385 The Legion is also submitting Form LG215 Lease for Lawful Gambling Activity (attached) as an attachment to Form LG214. City Council approval is not required for this form. DISCUSSION Per Chanhassen City Code Article10-V Gambling, specifically Section 10-153(b), each organization licensed to conduct gambling in the city shall complete the city's investigation form and submit any additional information required by the city. Law Enforcement conducted a background investigation, including criminal history, driving records, and outstanding warrants on the following officers of Chanhassen American Legion Post 580, a Minnesota nonprofit corporation: Glenn Anderson, Commander Chad Poppitz, 1st Vice Jon Hoy, Finance Officer Michael Neill, Adjutant Lloyd Engler, Sgt. of Arms James Kelly, Service Officer Paul Differding, Gambling Manager Chad Middleton, Chaplin Lt. Lance Pearce reviewed the background investigation report and had no negative comments on any of the officers. On January 23, 2023, the City Council approved a small brewer off-sale liquor license and an on-sale brewer taproom liquor license for Hackamore Brewing Company. The Legion will not be able to conduct lawful gambling on the site until Hackamore Brewing Company has received their approved liquor license documents and issued a Certificate of Occupancy from the Building Department. BUDGET RECOMMENDATION Staff recommends that city council adopt a resolution approving the permit application from the Chanhassen American Legion Post 580 to conduct off-premise lawful gambling at Hackamore Brewing Company located at 18651 Lake Drive East. ATTACHMENTS Resolution Chanhassen American Legion Post 580 Gambling License 00765 LG214 Premises Permit Application LG215 Lease for Lawful Gambling Activity Hackamore Brewing Company Floor Plan 386 CITY OF CHANHASSEN CARVER AND HENNEPIN COUNTIES, MINNESOTA DATE: January 23, 2021 RESOLUTION NO:2023-XX MOTION BY: SECONDED BY: RESOLUTION APPROVING A PREMISES PERMIT APPLICATION FROM CHANHASSEN AMERICAN LEGION POST 580 TO ALLOW LAWFUL GAMBLING AT HACKAMORE BREWING COMPANY WHEREAS,Chanhassen American Legion Post 580 (“Legion”) located at 290 Lake Drive East currently holds a lawful gambling license issued by the Minnesota Gambling Control Board; and WHEREAS, the Legion is applying for a premises permit to conduct lawful gambling at Hackamore Brewing Company located at 18651 Lake Drive East; and WHEREAS,the Legion has entered into a lease with Hackamore Brewing Company to conduct lawful gambling on the premises; and WHEREAS,the Minnesota Gambling Control Board requires a City Council resolution approving the premises permit application. NOW THEREFORE, BE IT RESOLVED that the City Council of the City of Chanhassen, Minnesota approves the application from the Chanhassen American Legion Post 580 for premises permit to allow lawful gambling at Hackamore Brewing Company located at 18651 Lake Drive East; and that the City Clerk is hereby instructed to provide a copy of this Resolution to be included with the permit application to the Department of Gaming, Gambling Control Division, State of Minnesota. PASSED AND ADOPTED by the Chanhassen City Council this 23 rd day ofJanuary, 2023. ATTEST: Kim Meuwissen, City Clerk Elise Ryan, Mayor YES NO ABSENT 387 388 389 390 391 392 393 City Council Item February 13, 2023 Item Resolution 2023-XX: Approve Agreement with MnDOT and Twin Cities & Western Railroad Concerning Rail Signal Replacement at Great Plains Boulevard File No.N/A Item No: D.15 Agenda Section CONSENT AGENDA Prepared By Charlie Howley, Director of Public Works/City Engineer Reviewed By Laurie Hokkanen SUGGESTED ACTION "The Chanhassen City Council adopts a resolution approving an agreement with MnDOT and Twin Cities & Western (TCW) Railroad for the rail signal replacement on Great Plains Boulevard." Motion Type Simple Majority Vote of members present Strategic Priority Asset Management SUMMARY MnDOT has received federal funding from the FHWA to replace rail crossing signal systems for the purposes of safety improvements. The rail signals at Market Boulevard, Great Plains Boulevard, and TH101/West 78th Street have all been identified as project locations. This action is for the rail crossing at Great Plains Boulevard only, which does have a cost-share component for the city. BACKGROUND N/A DISCUSSION The federal grant covers 90% of the costs, with 10% the responsibility of the railroad, in this case TCW. 394 The grant has a timeframe for when the improvements must occur. Currently, the Market Boulevard crossing would be scheduled for replacement in 2023 and the Great Plains Boulevard. crossing is identified for 2025. Due to the city's current CIP schedule and TIF District requirements, the reconstruction of Market Boulevard must be completed by 2026. The reconstruction project is therefore planned for 2025. The current configuration of the rail crossing signal system does not align with the future layout of Market Boulevard, and therefore performing the signal replacement ahead of the reconstruction project would create re-work, with 100% of those costs attributed to the city. In order to save on those re-work costs, it makes sense to postpone the rail signal crossing work until 2025 and thus implement both projects at the same time. To achieve this, MnDOT is allowing to "swap" the timing of the Great Plains Boulevard and Market Boulevard rail crossing projects; however, the 10% local match for Great Plains Boulevard becomes the responsibility of the city, rather than TCW. Due to the amount of money it would cost the city to re- work the Market Boulevard crossing if it were to be completed ahead of the reconstruction work, the 10% cost share for Great Plains Boulevard is a much more cost-effective solution. BUDGET The cost to the city is 10% of the overall costs for the signal system replacement. All advanced warning signage and/or pavement markings, if required, are also the responsibility of the city. Total estimated project cost $ 326,891.04 Estimated city cost (10%)$ 32,689.10 The costs are estimates only at this time. The final costs will be determined upon project close-out, but would only change if unforeseen conditions were to present themselves during construction. RECOMMENDATION Staff recommends approval of the agreement. ATTACHMENTS Resolution SP 10-00126 - Agreement #1049555 - Great Plains Boulevard 395 1 CITY OF CHANHASSEN CARVER AND HENNEPIN COUNTIES, MINNESOTA DATE: February 13, 2023 RESOLUTION NO: 2023-XX MOTION BY: SECONDED BY: A RESOLUTION AUTHORIZING ENTERING INTO AN AGREEMENT WITH MNDOT AND TCW FOR THE RAILROAD CROSSING SIGNAL SYSTEM REPLACEMENT AT GREAT PLAINS BOULEVARD WHEREAS,MSAS 119 (Great Plains Boulevard), as now established, crosses the track of the Twin Cities & Western Railroad Company (TCW) at grade in Chanhassen; and WHEREAS,MnDOT, Chanhassen, and the TCW desire that this grade crossing be provided with new railroad flashing lights, signals, gates, cantilevers, constant warning circuitry, LED lenses, and a side light in the SE quadrant (Project), and TCW is willing to install, maintain and operate such signals upon the terms and conditions set forth in the Agreement; and WHEREAS,Federal Funding via the Federal Highway Administration (FHWA) has provided funding to implement the project, subject to a 10% local match. NOW, THEREFORE, BE IT RESOLVED that the Chanhassen City Council hereby enter into an agreement with the Twin Cities & Western Railroad Company and the Commissioner of Transportation for replacement of the grade crossing signals at MSAS 119 (Great Plains Boulevard) and appointing the Commissioner of Transportation as the agent to supervise said project and administer available Federal Funds. BE IT IS FURTHER RESOLVED that the Mayor and City Manager are authorized to execute the Agreement and any amendments to the Agreement. PASSED AND ADOPTED by the Chanhassen City Council this 13 th day ofFebruary,2023. ATTEST: Kim Meuwissen, City Clerk Elise Ryan, Mayor YES NO ABSENT 396 MnDOT Agreement No. 1049555 STATE OF MINNESOTA RAILROAD CROSSING SIGNAL USDOT Number: 393283J Total Obligation: $ 326,891.04 State Project Number (SP): 10-00126 Anticipated Federal Aid: $ 294,201.94 Federal Project Number: RRS 1023(168) Total Local Agency Obligation: $ 32,689.10 CFDA: 20.205 Railroad: Twin Cities & Western Railroad Company Location: MSAS 119 (Great Plains Blvd), Chanhassen, Carver County, MN Local Agency: City of Chanhassen This agreement (Agreement) made and entered into by and between State of Minnesota through its Commissioner of Transportation, (State), and the Twin Cities & Western Railroad Company, (Company) and the City of Chanhassen, (Local Agency). RECITALS 1 MSAS 119 (Great Plains Blvd), as now established, crosses the track of the Company at grade in Chanhassen, MN, the location of the crossing and railway track shown on the attached print, marked Exhibit A. 2 The State, Local Agency and the Company desire that this grade crossing be provided with new railroad flashing light signals, gates, cantilevers, constant warning circuitry, LED lenses, and a side light in the SE quadrant (Project), and the Company is willing to install, maintain and operate such signals upon the terms and conditions set forth in this Agreement. 3 The State, pursuant to Minnesota Statute Section 161.36, is authorized to cooperate with the United States Government in contracting for the construction, improvement and maintenance of transportation in the state of Minnesota, financed in whole or in part by federal monies. 4 The Federal Highway Administration (FHWA), when acting in cooperation with the State of Minnesota, is authorized by Section 130 of Title 23 of the United States Code to make Federal Aid available for the purpose of eliminating hazards at railroad grade crossings within the State of Minnesota. 5 The State, pursuant to Minn. Stat. §219.26, has reviewed the proposed selection of warning devices for the railroad grade crossing and has determined that the proposed selection is appropriate for the crossing. AGREEMENT TERMS 1. Term of Agreement, Survival of Terms and Incorporation of Exhibits 1.1. Effective Date: This Agreement will be effective on the date State obtains all required signatures under Minn. Stat. §16C.05, subdivision 2. Company shall not begin work under this Agreement until this Agreement is fully executed and Company has been notified in writing by State’s Project Manager to begin the work. 1.2. Expiration Date: This Agreement will expire four years after this Agreement is fully executed, or when all obligations have been satisfactorily fulfilled, whichever occurs first. The State or Local Agency will not pay for work after the expiration of the Agreement. The Company agrees to complete such work at its own expense. 1.3. Survival of Terms: All clauses which impose obligations continuing in their nature and which must survive in order to give effect to their meaning will survive the expiration or termination of this 397 MnDOT Agreement No. 1049555 2 Agreement, including, but not limited to the following clauses: 3. Future Responsibility; 6.3 State Audits; 6.5 Data Disclosure; 6.6 Government Data Practices; and 6.11 Governing Law, Jurisdiction and Venue. 1.4. Exhibits: Exhibits A, B, C, D and E are attached and incorporated into this Agreement. Exhibit A Location Print; Exhibit B Detailed Cost Estimate; and Exhibit C Title VI Non- Discrimination Provisions, Exhibit D Local Agency Resolution, and Exhibit E Buy America. 2. Scope of Work 2.1. Work Performance 2.1.1. The Company shall furnish all material for and install a complete railroad crossing signal system with flashing light signals, gates, cantilevers, constant warning circuitry, LED lenses, and a sidelight in the SE quadrant on MSAS 119 (Great Plains Blvd), at the location indicated on Exhibit A. The Company shall place the signals in accordance with Part 8 of the Minnesota Manual on Uniform Traffic Control Devices (MN MUTCD). 2.1.2. The Company shall submit detailed plans and specifications for the work to be done to the State for approval, prior to starting work. 2.1.3. The Company may contract any or all of the work included under the Agreement provided a market based competitive procurement process is used. (a) If the contracted work costs less than $10,000, the Company shall provide a detailed invoice of work performed by the contractors (b) If the contracted work costs $10,000 or more, the Company shall: i. Have prior approval of the State; ii. Enter into a written contract with the contractor; an existing continuing contract under which the Company has the same kind of work regularly performed at the Company’s cost may be considered to conform to the requirements of this section if the State determines that the costs are reasonable; and iii. Provide a copy of the continuing contract or individual contract used for work under the Agreement. 2.1.4. The Company takes ownership of the materials and electrical equipment required to be removed and disposes of the materials and equipment in accordance with all applicable laws and regulations. If the Company determines that some or all of the removed materials and electrical equipment are satisfactory for reuse, the Company may salvage and reinstall at another location in the State of Minnesota or stockpile selected components for future purposes. The State may at its discretion ask the Company to salvage components of the existing signal. Items designated for salvage shall be carefully removed and placed at the crossing so that the State or its designee can transport salvaged materials. 2.1.5. The Company will comply with Buy America, the requirements of which are detailed in Exhibit E which is attached and incorporated into this agreement. 2.2. Inspection, Standard of Performance 2.2.1. Applicable standards for railroad grade crossing construction consist of standards and regulations in AASHTO, AREMA, FHWA, MN MUTCD, Minn. Stat. §219 and Minn. Rules §8830. Should a conflict be identified in any of these standards and regulations, the Minnesota statutes and rules are deemed controlling. 2.2.2. The Company shall have the signals placed in service within 18 months after the date the Company is authorized to begin work. If the Company determines it is not possible to place signals in service within 18 months, the Company shall notify the State of a time extension and indicate the reason for such extension. 398 MnDOT Agreement No. 1049555 3 2.2.3. The Company and Local Agency shall permit the State to inspect and approve the work performed under this Agreement during the regular working hours of the Company with prior notice. 2.2.4. The Company shall notify the State and Local Agency in writing of the date when signals are in service. When signals are in service, representatives of the State and the Company shall conduct a joint inspection of the work. 2.2.5. The State may refuse to approve any and all work performed under this Agreement for failure to comply with applicable standards for work of that type. If the State fails to approve the work performed under this Agreement, the State may refuse to make any further payments under this Agreement until the work at issue is performed in accordance with acceptable standards for work of this type and the work is approved by the State. 2.2.6. The company shall notify the State in writing of the date when all work is completed. 2.3. Traffic Control 2.3.1. The Company shall be responsible for all traffic control and schedule coordination with the Local Agency as may be required to install the signal system covered under this Agreement. Where work on or near the traveled roadway is necessary, proper traffic signs, channelizing devices, warning lights, and barricades will be erected to protect traffic, employees, and pedestrians. All traffic control devices and methods will conform to the Minnesota Field Manual on Temporary Traffic Control Zone Layouts, Minnesota Manual on Uniform Traffic Control Devices (MN MUTCD), Minnesota Standard Sign Manual, and the provisions and requirements of the State or Local Agency. 2.3.2. The Company shall provide 48 hours of notice to the Local Agency before placing any traffic control on the roadway. 2.3.3. The Company shall coordinate with the Local Agency if there is a need for a road detour in connection with the installation of the signal system prior to the starting dates. 2.3.4. The actual costs incurred by the Company for traffic control are eligible for reimbursement under the terms of this Agreement. 3. Future Responsibility 3.1. Maintenance 3.1.1. The Company shall maintain and operate, at the expense of the Company, the signal system upon completion of installation, provided, however that the Company’s agreement herein to operate and maintain the signal system will not prejudice the Company from having the benefit and advantage of Federal, State, or other public funds that may become available to pay or contribute to the cost of operation and maintenance of signal systems at highway-railroad grade crossings. 3.2. Advance Signing and Pavement Markings 3.2.1. Subsequent to the installation of the signal system, the State agrees to contact the Local Agency to install or have installed, as may be needed, appropriate advance warning signs, other supplemental signs and pavement markings and remove signs that are no longer needed, in accordance with the Minnesota Manual on Uniform Traffic Control Devices (MN MUTCD). 3.3. Future Modifications or Removal 3.3.1. The signal system provided for in this Agreement is the property of the State and will not be removed unless there has been a determination by the State that the signal system is no longer required at this location. If the State determines that the signal system is to be removed, the Company shall notify the State of the removal date. 3.3.2. The Company shall bear the entire cost of the modification without contribution from the State or Local Agency if railway improvements necessitate a rearrangement of the signal system at this crossing. 399 MnDOT Agreement No. 1049555 4 3.3.3. The Company shall negotiate a separate agreement with the Local Agency whereby the Local Agency shall pay the cost if roadway improvements necessitate a modification of the signal system at this crossing. 4. Billing and Payment 4.1. Cost Estimate. The State, Local Agency and Company have agreed upon an estimated cost for the installation of the signal system to be installed by the Company or its contractor. Estimated Signal Cost 90% State Funds (reimbursable with Federal Funds) $294,201.94 10% Local Agency Funds $32,689.10 Total Estimated Cost $326,891.04 4.2. Work Changes. In the event it is determined that a change from the statement of work to be performed by the Company, as outlined in paragraph 2.1, is required, it will be authorized only by an amendment to this Agreement executed prior to the performance of the work involved in the change. 4.3. Cost Sharing: Each party will receive a bill setting forth its proportional share of the costs whenever a project billing is submitted. 4.4. Reimbursement 4.4.1. The State shall pay the Company only for such items of work and expense as are proper and eligible for payment, as provided in 23 Code of Federal Regulations including, but not limited to, Parts 1, 140 , 172 and 646 (hereinafter called, “23 CFR”). Only materials actually incorporated into the project will be eligible for reimbursement. Actual costs include taxes, such as applicable sales and use taxes, gross receipts taxes, business and occupation taxes, and similar taxes. Payments will be made in accordance with the following: (a) State shall make payments in accordance with Minnesota Statutes §16A.124. (b) Invoices for labor and materials ("partial invoices") may be submitted on a periodic basis during the term of the project, but not more frequently than once per month. These valid partial invoices will be paid 30 days from the date they are received by the Office of Freight and Commercial Vehicle Operations. (c) Partial invoices that are not approved due to disputed items will be returned to the Company with a request for an explanation for any disputed items. If the dispute is resolved, the State shall pay the Company within 30 days of receiving a corrected invoice. The State may pay the non-disputed portion of any disputed invoice. (d) Partial invoices must be based on actual (not estimated) costs incurred. Partial invoices need not be itemized, but State must be able to substantiate costs by checking the Company's records. (e) Final invoices must be submitted within 120 days of the completion of the reimbursable railroad work. Invoices submitted after this date, and less than one (1) year after the last activity on the project will not be paid, unless good cause is shown for the delay in the submission of the invoice. In accordance with federal regulations, 23 CFR 140.922, any final invoice received more than one (1) year after the last reimbursable railroad work will not be paid. (f) The final invoice will be a detailed, itemized statement of all items of work performed by the Company, as shown in the appropriate exhibit or exhibits attached to this Agreement, and should be marked "Final Invoice". 400 MnDOT Agreement No. 1049555 5 (g) The State shall inspect and approve the work prior to payment of the final invoice. Subsequently, the final invoice will be forwarded for audit by the State, in accordance with the requirements of state and federal laws and regulation. The Company shall keep account of its work in such a way that accounts may be readily audited. In the event that any amount previously paid to the company is in excess of the actual cost determined by audit, the Company, upon notice from the State, shall within 30 days pay to the State the difference. Conversely, in the event that any amount previously paid to the Company is less than the actual costs determined by audit, the State shall pay the actual costs due within 30 days of the determination of the actual costs of the work. (h) All invoices will be addressed as follows: MnDOT Office of Freight and Commercial Vehicle Operations M.S. 470, 395 John Ireland Boulevard St. Paul, MN 55155-1899 4.5. Overrun of estimated costs with no work changes. If it appears to the Company, at any time subsequent to the date of this Agreement and prior to the final completion of such work, that the actual cost of the project will exceed the estimated cost, the Company shall send written request for approval to the State. The request will explain the reasons for the additional costs and the amount of the costs. 4.5.1. If the Overrun will be less than 20% of the estimated cost and State approves such request, State will encumber additional funds and then issue a notice to proceed. 4.5.2. If the overrun is equal to or greater than 20% of the estimated cost, an amendment to the Agreement is required prior to proceeding with the work. If State approves such request, State will encumber additional funds and then issue a notice to proceed. Any additional expenses incurred by the Company prior to receiving notice to proceed may not be reimbursed by State. 5. Project Contacts 5.1. State’s Project Manager: Name: Chris Rice Telephone: 651-366-3673 E-Mail: chris.rice@state.mn.us 5.2. Company’s Project Representative: Name: Greg Graham Telephone: 320-864-7214 E-Mail: GGraham@tcwr.net 5.3. Local Agency’s (or State’s) Project Representative: Name: Charles Howley Telephone: 952-227-1169 E-Mail: chowley@chanhassenmn.gov 6. General Terms 6.1. Assignment of Receivables. Any party to this Agreement may assign any receivables due them under this Agreement, provided, however, such assignments will not relieve the assignor of any of its rights or obligations under this Agreement. 6.2. Amendments, Waiver, Merger and Counterparts. Any amendments to this Agreement must be in writing and executed by the same parties who executed the original Agreement, or their successors in office. Failure 401 MnDOT Agreement No. 1049555 6 of a party to enforce any provision of this Agreement will not constitute or be construed as, a waiver of such provision or of the right to enforce such provision. This Agreement contains all prior negotiations and agreements between the Company and the State. No other understandings, whether written or oral, regarding the subject matter of this Agreement will be deemed to exist or to bind either or both of the parties. This Agreement may be executed in one or more counterparts, each of which will be deemed to be an original, but all of which together will constitute one and the same Agreement. 6.3. State Audits. Under Minn. Stat.§16C.05, subd. 5, the Company's books, records, documents, and accounting procedures and practices relevant to this Agreement are subject to examination by the State and/or the State Auditor or Legislative Auditor, as appropriate, for a minimum of six years after an appropriate State official certifies the Company's completion of the construction required under this Agreement. 6.4. Liability. Each of the parties is responsible for its own acts and omissions. State’s liability is governed by Minn. Stat. §3.736. Local Agency’s liability is governed by Minnesota Statutes Chapter 466. 6.5. Data Disclosure. Under Minnesota Statutes Section 270C.65, and other applicable law, the Company consents to disclosure of its social security number, federal employer tax identification number, and/or Minnesota tax identification number, already provided to the State, to federal and state tax agencies and state personnel involved in the payment of state obligations. These identification numbers may be used in the enforcement of federal and state tax laws which could result in action requiring the Company to file state tax returns and pay delinquent state tax liabilities, if any. 6.6. Government Data Practices. Government Data Practices. This Agreement is subject to the provisions of the Minnesota Government Data Practices Act, Minnesota Statutes Chapter 13. 6.6.1. Only to the extent that Company's duties and obligations under this Agreement require the performance of State's governmental functions will all data created, collected, received, stored, used, maintained or disseminated by Company under this Agreement be subject to the provisions of Minn. Stat.§13.05, subdivision 11. In such case, the remedies of Minn. Stat. §13.08 will apply to the release by Company of the data governed by the Minnesota Government Data Practices Act. 6.6.2. If the Company receives a request to release the data governed by this section, Company shall immediately notify State. State shall give Company instructions concerning the release of the data to the requesting party before the data is released. 6.7. Workers Compensation. The Company certifies that it is in compliance with workers compensation insurance coverage required by Minnesota Law, or Federal Law if the Company is subject to Federal Law which preempts the Minnesota Law. The Company shall require its contractors to present proof of coverage under the Minnesota Workers Compensation Act. The Company's employees and agents will not be considered State employees. Any claims arising under workers compensation laws and any claims made by a third party as a consequence of the acts or omissions of the Company, its agents, employees or contractors are in no way the responsibility of the State. 6.8. Cancellation 6.8.1. The State may immediately terminate this Agreement if it does not obtain funding from the Minnesota Legislature, or other funding source; or if funding cannot be continued at a level sufficient to allow for the payment of the services covered here. Termination must be by written or fax notice to the Company. The State or Local Agency are not obligated to pay for any services that are provided after notice and effective date of termination. 6.8.2. However, the Company will be entitled to payment, determined on a pro rata basis for services satisfactorily performed to the extent that funds are available. The State or Local Agency will not be assessed any penalty if the Agreement is terminated under section 6.8.1. The State shall provide the Company notice of the lack of funding within a reasonable time of the State's receiving that notice. 402 MnDOT Agreement No. 1049555 7 6.9. Non Discrimination. If the Company enters into an agreement with a contractor, to perform all or any portion of the Company's work set forth in this Agreement, the Company for itself, its assigns and successors in interest, agrees that it will not discriminate in its choice of contractors and will include all of the nondiscrimination provisions in this Agreement and as set forth in Exhibit C. 6.10. Disadvantaged Business Enterprise. The disadvantaged business enterprise requirements of 49 CFR 26, apply to this Agreement. The Company shall insure that disadvantaged business enterprises as defined in 49 CFR 26, have the maximum opportunity to participate in the performance of contracts, financed in whole or in part with federal funds. In this regard, the Company shall take all necessary and reasonable steps in accordance with 49 CFR 26, to insure that disadvantaged business enterprises have the maximum opportunity to compete for and perform any contracts awarded under this Agreement. The Company shall not discriminate on the basis of race, color, national origin, or sex in the award and performance of contracts under this Agreement. Failure to carry out the above requirements constitutes breach of this Agreement, and may result in termination of the Agreement by the State, and possible debarment from performing other contractual services with the Federal Department of Transportation. 6.11. Governing Law, Jurisdiction and Venue. Minnesota law, without regard to its choice-of-law provisions, governs this Agreement. Venue for all legal proceedings arising out of this Agreement, or its breach, will be in the appropriate state or federal court with competent jurisdiction in Ramsey County, Minnesota. THE BALANCE OF THIS PAGE HAS BEEN INTENTIONALLY LEFT BLANK 403 MnDOT Agreement No. 1049555 8 COMPANY Company certifies that the appropriate person(s) have executed the contract on behalf of Company as required by applicable articles, bylaws or resolutions. Signed: Title: Date: LOCAL AGENCY Local Agency certifies that the appropriate person(s) have executed the contract on behalf of Local Agency as required by applicable articles, bylaws or resolutions. Signed: Title: Date: Signed: Title: Date: STATE ENCUMBRANCE VERIFICATION Individual certifies that funds have been encumbered as required by Minnesota Statutes §16A.15 and §16C.05 Signed: Date: SWIFT PO: DEPARTMENT OF TRANSPORTATION (with delegated authority) Signed: Title: Manager, Rail safety and Coordination Section Date: COMMISSIONER OF ADMINISTRATION Signed: Date: 404 MnDOT Agreement No. 1049555 EXHIBIT A LOCATION PRINT SP 10-00126 405 MnDOT Agreement No. 1049555 EXHIBIT B DETAILED COST ESTIMATE 406 MnDOT Agreement No. 1049555 EXHIBIT C Non-Discrimination Provisions of Title VI of the Civil Rights Act of 1964 During the performance of this contract, the contractor, for itself, its assignees and successors in interest (hereinafter referred to as the “contractor”), agrees as follows: 1. Compliance with Regulations: The Contractor will comply with Regulations of the Department of Transportation relative to nondiscrimination in federally-assisted programs of the Federal Highway Administration (Title 49, Code of Federal Regulation, Part 21, hereinafter referred to as the Regulations), which are herein incorporated by reference and made a part of this contract. 2. Nondiscrimination: The contractor, with regard to the work performed by it after award and prior to completion of the contract work, will not discriminate on the ground of race, color, or national origin in the selection and retention of subcontractors, including procurements of materials and leases of equipment. The contractor will not participate either directly or indirectly in the discrimination prohibited by Section 21.5 of the Regulations, including employment practices when the contract covers a program set forth in Appendix “A”, “B” and “C”. 3. Solicitations for Subcontracts, Including Procurements of Materials and Equipment: In all solicitations either by competitive bidding or negotiation made by the contractor for work to be performed under a subcontract, including procurements of materials or equipment, each potential subcontractor or supplier shall be notified by the contractor of the contractor’s obligation under this contract and the Regulations relative to discrimination on the ground of race, color or national origin. 4. Information and Reports: The contractor will provide all information and reports required by the Regulations, or orders and instructions issued pursuant thereto, and will permit access to its books, records, accounts, other sources of information, and its facilities as may be determined by the Department of Transportation or the Federal Highway Administration to be pertinent to ascertain compliance with such Regulations, orders and instructions. Where any information required of a contractor is in the exclusive possession of another who fails or refuses to furnish this information, the contractor shall so certify the Department of Transportation, or the Federal Highway Administration as appropriate, and shall set forth what efforts it has made to obtain the information. 5. Sanctions for noncompliance: In the event of contractor’s noncompliance with the nondiscrimination provisions of this contract, the Department of Transportation shall impose such contract sanctions as it or the Federal Highway Administration may determine to be appropriate, including but not limited to, a. Withholding of payments to the contractor under the contract until the contractor complies, and/or b. Cancellation, termination or suspension of the contract, in whole or in part. 6. Incorporation of Provisions: The contractor will include the provisions of paragraph (1) through (5) in every subcontract, including procurements of materials and leases of equipment, unless exempt by the Regulations, order, or instructions issued pursuant thereto. The contractor will take such action with respect to any subcontract or procurement as the Department of Transportation or the Federal Highway Administration may direct as a means of enforcing such provisions including sanctions for noncompliance: Provided, however, that, in the event a contractor becomes involved in, or is threatened with, litigation with a subcontractor or supplier as a result of such direction, the contractor may request the State to enter into such litigation to protect the interests of the State, and in addition, the contractor may request the United States to enter into such litigation to protect the interests of the United States. 407 MnDOT Agreement No. 1049555 EXHIBIT D LOCAL AGENCY RESOLUTION BE IT RESOLVED, that the CITY OF CHANHASSEN (LOCAL AGENCY) enter into an agreement with the TWIN CITIES & WESTERN RAILROAD COMPANY (COMPANY) and the Commissioner of Transportation for REPLACEMENT OF THE GRADE CROSSING SIGNALS AT MSAS 119 (GREAT PLAINS BLVD), the installation and maintenance of railroad crossing signals at the intersection of MSAS 119 (GREAT PLAINS BLVD) with the tracks of the COMPANY, and appointing the Commissioner of Transportation agent for the LOCAL AGENCY to supervise said project and administer available Federal Funds in accordance with Minnesota Statute, Section 161.36. The LOCAL AGENCY's share of the cost shall be 10 % of the total signal cost. BE IT FURTHER RESOLVED, that the and (Title) (Title) be and they are hereby authorized to execute said agreement and any amendments thereto for and on behalf of the LOCAL AGENCY. Dated this day of , 202 . STATE OF MINNESOTA C E R T I F I C A T I O N CITY OF CHANHASSEN I hereby certify that the foregoing Resolution is a true and correct copy of a Resolution presented to and adopted by the COUNCIL of the CITY OF CHANHASSEN at a duly authorized meeting thereof held in the CITY HALL at 7700 MARKET BLVD, CHANHASSEN, MN 55317 Minnesota, on the day of , 202 , as disclosed by the records of said COUNCIL in my possession. By: Title: 408 MnDOT Agreement No. 1049555 EXHIBIT E Buy America 1. Buy America. The provisions of the Build America, Buy America (BABA) Act, Public Law No.117-58 §§ 70901-70952, the Buy America law, 23 U.S.C. § 313 and 23 CFR § 635.410 are applicable to this Agreement. The Company must furnish iron and steel materials (including miscellaneous items such as fasteners, nuts, bolts, and washers) and construction materials which will be permanently incorporated on projects, funded at least partly with federal funds to be produced in the United States. 2. Iron and Steel. In the case of iron and steel materials, produced in the United States means that all manufactured processes from the initial melting stage through the application of coatings, occur in the United States. Foreign source materials are any domestic products taken out of the United States for any process (e.g., change of chemical content, permanent shape or size, or final finish of product). 2.1. Prior to performing work, the Company shall submit to the Engineer a certification stating that all iron and steel materials supplied are produced in the United States. 2.2. Raw materials such as iron ore, pig iron, processed, pelletized, and reduced iron ore, waste products (including scrap, iron or steel no longer useful in its present form from old automobiles, machinery, pipe, railroad rail, and steel trimmings from mills or product manufacturing) and other raw materials used in the production of iron or steel products may be imported from outside of the Unites States. Extracting, handling, or crushing the raw materials which are inherent to the transporting of these Materials for later use in the manufacturing process are exempt from the BABA Act. 3. Construction Materials. In the case of construction materials, produced in the United States means that the final two manufacturing processes for the construction materials occurred in the United States. 3.1. Construction materials include any article, material, or supply that is or consists primarily of: Non-ferrous metals, Plastic and polymer-based products (including polyvinylchloride, composite building materials, and polymers used in fiber optic cables), Glass (including fiber optic glass), Lumber; or Drywall. 3.2. Should any of the listed construction materials be combined through a manufacturing process with a second listed material or with a non-listed item, then BABA Act does not apply to those items unless the construction material is combined with iron or steel. If the construction material is combined with iron or steel, the iron and steel material provisions apply. 3.3. The BABA Act does not apply to: cement, cementitious materials, aggregates such as stone, sand, or gravel, aggregate binding agents or additives, or asphalt. 4. Certificate of Compliance. The Company is required to submit a Certificate of Compliance prior to incorporating any materials into the Project containing iron or steel, or construction materials. This shall be accomplished by the Company submitting the appropriate Certificate of Compliance to the State when the materials are delivered to the project site. The Certifications of Compliance for iron and steel will certify the materials are considered produced in the United States. The Certifications of Compliance for construction materials will certify that the final two manufacturing processes for the construction materials occurred in the United States. The certificate must be signed and dated by the Company’s authorized representative, include a BABA Act submittal number, and a statement: The materials herein referenced are produced in the United States and comply with the requirements of 23 CFR § 635.410, and Public Law No.117-58 §§ 70901-70952, and 23 U.S.C. § 31. 5. Documentation. Supporting documentation to demonstrate compliance with BABA Act provisions (such as mill test reports, manufacturer/supplier certifications, etc.) shall be organized and maintained by the Company from the date of delivery until six years after substantial completion of the Project. 5.1. The State may review the Company’s supporting documentation to verify compliance with the BABA Act provisions at any time upon request. The burden of proof to meet the BABA Act provisions rest with the Company. If the supporting documentation does not demonstrate to the State that the iron or steel and construction materials identified in the Certificates of Compliance were produced in the United States, then the iron, steel, or construction materials will be considered unauthorized work and must be removed and replaced. 409 City Council Item February 13, 2023 Item Resolution 2023-XX: Approval to enter into a I/I Grant Agreement with the Metropolitan Council Environmental Services (MCES) File No.PW257 I&I Item No: D.16 Agenda Section CONSENT AGENDA Prepared By Erik Henricksen, Project Engineer Reviewed By Charlie Howley SUGGESTED ACTION "The Chanhassen City Council adopts a resolution authorizing the city to apply for and execute a grant agreement for an estimated $80,975.00 from the 2020 MCES Municipal Infiltration/Inflow (I/I) Grant Program." Motion Type Simple Majority Vote of members present Strategic Priority Financial Sustainability SUMMARY Mitigation of I/I is an important task for the city. This grant agreement allows for some reimbursement of costs for work performed over the last couple of years that was implemented to mitigate I/I. BACKGROUND I/I refers to "clean" water entering the sanitary sewer system. Since all of the flow into the sanitary sewer system gets conveyed to the MCES pipes and wastewater treatment plants, the quantity of the flow has a direct relationship on cost. The city pays for all of the flow in the sanitary sewer system we discharge into the MCES system, and therefore only paying for actual sanitary waste, rather than "clean" water, is a priority. DISCUSSION 410 The MN State Legislature approved $5.0M in grant funding for the municipal I/I grant program. All eligible cities, including Chanhassen, were given an opportunity to receive matching fund dollars for I/I mitigation. After all the final documentation is given to MCES, each city will receive (1) $50,000 of reimbursement, and (2) the remainder of the funds will be allocated proportionally to the cities' maximum grant, but not to exceed 50% of the total costs. The MCES' estimate of Chanhassen's grant award was $80,975; however, this is only an estimate and may increase or decrease based on the completed projects from other cities. The City of Chanhassen completed approximately $797,400 of eligible work. Staff submitted five (5) projects to MCES which were eligible for grant funding: Project No. 20-02 Minnewashta Parkway Rehabilitation Project No. 20-03 Lake Lucy Road Rehabilitation Project No. 20-05 City Pavement Rehabilitation Project (Trappers Pass, Redwing Lane, Kurvers Point, Etc.) Project No. 22-01 City Pavement Rehabilitation Project (Long Acres area, Stone Creek area, Windmill Run, Etc.) Project No. 22-02 2022 Sanitary Sewer I&I Project Staff also submitted work completed in house by the Public Works Department. In order for the MCES to provide the city grant funding, entering into the grant agreement is required. The agreement is an "after-the-fact" agreement whereby costs are reimbursed for work already performed. The adopted resolution will be sent to the MCES as an application for the agreement. They will then return a completed agreement for execution at a later date. BUDGET The grant revenue goes back into our Sanitary Sewer Enterprise Fund (Fund 701). RECOMMENDATION Staff recommends the City Council authorize entering into the I&I grant agreement with MCES. ATTACHMENTS Resolution 2020 I/I Grant Program Letter of Intent 2020 End Grant Agreement 411 CITY OF CHANHASSEN CARVER AND HENNEPIN COUNTIES, MINNESOTA DATE: February 13, 2023 RESOLUTION NO:2023-XX MOTION BY: SECONDED BY: A RESOLUTION AUTHORIZING THE CITY TO APPLY FOR AND EXECUTE A GRANT AGREEMENT WITH THE METROPOLITAN COUNCIL ENVIRONMENTAL SERVICES (MCES) FOR THE 2020 MCES MUNICIPAL INFILTRATION/INFLOW (I/I) GRANT PROGRAM WHEREAS, the Minnesota State Legislature approved a total of $5.0M in grant funding for Metropolitan Council’s Municipal I/I grant program; and WHEREAS, all eligible cities, including Chanhassen, were given an opportunity to receive matching fund dollars for I/I mitigation; and WHEREAS,the MCES’ estimate of Chanhassen’s grant funding is $80,975.00 based on MCES’s I/I Grant Program Letter of Intent sent April 29, 2021, but could increase or decrease based on the completed projects from other cities eligible for the grant program; and WHEREAS,the city submitted 5 projects (City Project Nos. 20-02, 20-03, 20-05, 22-01, 22-02 along with self-performed work) which completed approximately $797,400.00 of eligible work. NOW THEREFORE, BE IT RESOLVED by the City Council of the City of Chanhassen, Minnesota, as follows: The Mayor and City Council hereby authorize the city to apply for and execute a grant agreement with the Metropolitan Council Environmental Services (MCES) for the 2020 MCES Municipal Infiltration/Inflow (I/I) Grant Program. BE IT FURTHER RESOLVED that the Mayor and City Manager are authorized to execute the Agreement and any amendments to the Agreement. PASSED AND ADOPTED by the Chanhassen City Council this 13th day of February, 2023. ATTEST: Kim Meuwissen, City Clerk Elise Ryan, Mayor YES NO ABSENT 412 DATE: TO: FROM: SUBJECT: April 29, 2021 Charles Howley, Director of Public Works / City Engineer Chanhassen 7700 Market Blvd, P.O. Box 147 Chanhassen, MN 55317 Matt Gsellmeier, MCES I/I Grant Administrator 2020 I/I Grant Program Letter of Intent Thank you for applying to the 2020 State Bond Funded Municipal Inflow and Infiltration (I/I) Grant Program. This non-binding letter of intent confirms receipt of your city’s application and approval to participate per the Metropolitan Council’s approved program design and guidelines. The program design and guideline details, along with the draft agreement that must be entered with the Metropolitan Council, can be found at the following link under Inflow/Infiltration Grant Programs: https://metrocouncil.org/Wastewater-Water/Funding-Finance/Available-Funding-Grants.aspx Preliminary Non-binding Grant Estimates Estimated Based on Preliminary Minimum Allocation (PMA) Final Reimbursement Amount (FRA) Preliminary project description and projected cost estimates in city’s application City’s application, the amount available for funding, and prior year’s reimbursement percentages Please be advised that these are preliminary non-binding estimates and that each participant’s final FRA depends upon the actual and eligible project work submitted per approved guidelines. PMA and FRA will be calculated simultaneously for all participants upon receipt of documentation verifying a project costs. Should a city not complete a project with I/I eligible work, or complete with insufficient eligible work, PMA and FRA will be adjusted accordingly. Contingent upon availability of funding, cities may be eligible for additional funding should they complete a project(s) with more I/I eligible work than described in their application. Important Dates MCES sends Letter of Intent to program participants Cities provide descriptions and pay claims for completed projects MCES makes FRA determination, distributes grant agreements MCES will process reimbursement upon receipt of signed agreement and commits to sending semi-annual grant notices to all participants throughout the program. These notices will serve as both reminders of participation and solicitations for changes in participant contact, projects, or other relevant information. $50,000 $80,975 April 30, 2021 March 31, 2023 May 1, 2023 Grant Amount 413 Documentation submitted to MCES at project completion to verify eligibility and calculate both PMA and FRA must include the following: • Completion and submission of MCES provided cost verification form • A city resolution authorizing participation in the grant program • Certification (notarized) confirming ownership or easements for locations where work was completed • Invoices substantiating cost of work completed. • Description of work, along with description or map of locations This letter is a commitment to enter into a legally binding grant agreement upon verification that grant program guidelines and requirements have been met. It is not a legally binding document that confirms funding. MCES appreciates and is committed to your participation in this program designed to assist our stakeholders in the mitigation of excess inflow and infiltration into the metropolitan disposal system. MCES appreciates and is committed to your participation in this program designed to assist our stakeholders in the mitigation of excess inflow and infiltration into the metropolitan disposal system. Please direct your questions or concerns to: Ned Smith, MCES, Director of Pretreatment and Finance Leisa Thompson, MCES General Manager Matt Gsellmeier, MCES I/I Grant Administrator 390 Robert Street North St. Paul, MN 55101 17633670264 matthew.gsellmeier@metc.state.mn.us 414 Generic GO Bond Proceeds Ver – 10/26/20 Grant Agreement for Program End Grants Metropolitan Council Municipal Publicly Owned Infrastructure Inflow/Infiltration Grant Program Grant Agreement - End Grant for the «1» Project Funded by the State of Minnesota General Obligation Bond Proceeds 415 Generic GO Bond Proceeds i Ver – 10/26/20 Grant Agreement for Program End Grants TABLE OF CONTENTS RECITALS Article I - DEFINITIONS Section 1.01 – Defined Terms Article II - GRANT Section 2.01 – Grant of Monies Section 2.02 – Public Ownership Section 2.03 – Use of Grant Proceeds Section 2.04 – Operation of the Real Property and Facility Section 2.05 – Public Entity Representations and Warranties Section 2.06 – Ownership by Leasehold or Easement Section 2.07 – Event(s) of Default Section 2.08 – Remedies Section 2.09 – Notification of Event of Default Section 2.10 – Survival of Event of Default Section 2.11 – Term of Grant Agreement Section 2.12 – Modification and/or Early Termination of Grant Section 2.13 – Excess funds Article III – USE CONTRACTS [NOT TO BE USED IN THIS AGREEMENT] Section 3.01 – General Provisions Section 3.02 – Initial Term and Renewal Section 3.03 – Reimbursement of Counterparty Section 3.04 – Receipt of Monies Under a Use Contract Article IV – SALE Section 4.01 – Sale Section 4.02 – Proceeds of a Sale Article V – COMPLIANCE WITH G.O. COMPLIANCE LEGISLATION AND THE COMMISSIONER’S ORDER Section 5.01 – State Bond Financed Property Section 5.02 – Preservation of Tax Exempt Status Section 5.03 – Changes to G.O. Compliance Legislation or the Commissioner’s Order Article VI – DISBURSEMENT OF GRANT PROCEEDS Section 6.01– Disbursement of Grant Section 6.02 – Conditions Precedent to Disbursement of Grant 416 Generic GO Bond Proceeds ii Ver – 10/26/20 Grant Agreement for Program End Grants Article VII- MISCELLANEOUS Section 7.01 – Insurance Section 7.02 – Condemnation Section 7.03 – Use, Maintenance, Repair and Alterations Section 7.04 – Records Keeping and Reporting Section 7.05 – Inspections by Council Section 7.06 – Data Practices Section 7.07 – Non-Discrimination Section 7.08 – Worker’s Compensation Section 7.09 – Antitrust Claims Section 7.10 – Review of Plans and Cost Estimates [NOT TO BE USED] Section 7.11 – Prevailing Wages Section 7.12 – Liability Section 7.13 – Indemnification by the Public Entity Section 7.14 – Relationship of the Parties Section 7.15 – Notices Section 7.16 – Binding Effect and Assignment or Modification Section 7.17 – Waiver Section 7.18 – Entire Agreement Section 7.19 – Choice of Law and Venue Section 7.20 – Severability Section 7.21 – Time of Essence Section 7.22 – Counterparts Section 7.23 – Matching Funds Section 7.24 – Source and Use of Funds Section 7.25 – Third-Party Beneficiary Section 7.26 – Public Entity Tasks Section 7.27 – Council and Commissioner Required Acts and Approvals. Section 7.28 – Applicability to Real Property and Facility Section 7.29 – E-Verification Section 7.30 – Additional Requirements Attachment I – DECLARATION Attachment II – LEGAL DESCRIPTION OF REAL PROPERTY Attachment III – SOURCE AND USE OF FUNDS Attachment IV – GRANT APPLICATION 417 Generic GO Bond Proceeds 1 Ver – 10/26/20 Grant Agreement for Program End Grants General Obligation Bond Proceeds Municipal Publicly Owned Infrastructure Inflow/Infiltration Grant Program INTERGOVERNMENTAL GRANT AGREEMENT BETWEEN METROPOLITAN COUNCIL AND (Add Merge Field) This Intergovernmental Grant Agreement (“Grant Agreement”) is made this ____ day of _______________, 2023, and entered into by and between the Metropolitan Council, a public corporation and political subdivision of the State of Minnesota (“Council”) and, the City of Chanhassen, a Minnesota Municipal corporation (“Grantee”). RECITALS A.The Minnesota Legislature has appropriated to the Council in the 2020 Session Laws Chapter 3, Section 17, subdivision 2, $5,000,000, for a grant program to be administered by the Council. This appropriation is for the purpose of providing grants to municipalities for capital improvements to public municipal wastewater collection systems to reduce the amount of inflow and infiltration to the Council’s metropolitan sanitary sewer disposal system (“I/I Municipal Grant Program”). B.The monies allocated to fund the appropriation to the Council are proceeds of state general obligation bonds authorized to be issued under Article XI, § 5(a) of the Minnesota Constitution. C.The Council has gone through a public process and formally adopted Guidelines for the I/I Municipal Grant Program. Grantee has read and understands the Council Guidelines (“Council Guidelines”). D.The Council has identified Grantee as a contributor of excessive inflow and infiltration to the Council’s metropolitan sanitary sewer disposal system and thus an eligible applicant for grant funds under the I/I Municipal Grant Program. E.Pursuant to its authority under Minnesota Statutes § 444.075 [or other authority, if different], Grantee operates a municipal wastewater collection system identified as Arden Hills Wastewater Collection System (“Wastewater System”) and has submitted an application to and been approved by the Council for grant funds in the amount of $, for performance of functions and activities for its inflow and infiltration mitigation capital improvement project to the Wastewater System in accordance with Council guidelines. 418 Generic GO Bond Proceeds 2 Ver – 10/26/20 Grant Agreement for Program End Grants F.Council has reviewed and found eligible Grantee’s application for grant funds and has awarded such grant funds (“G.O. Grant”) to Grantee to construct a capital improvement project to Grantee’s pipeline as described in and in accordance with the terms and conditions of this Grant Agreement. G.The Grantee’s receipt and use of the I/I Municipal Grant Program to acquire an ownership interest in and/or improve real property (the “Real Property”) and structures situated thereon (the “Facility”) will cause the Grantee’s ownership interest in all of such real property and structures to become “state bond financed property”, as such term is used in Minn. Stat. § 16A.695 (the “G.O. Compliance Legislation”) and in that certain “Fourth Order Amending Order of the Commissioner of Finance Relating to Use and Sale of State Bond Financed Property” executed by the Commissioner of Minnesota Management and Budget and dated July 30, 2012 (the “Commissioner’s Order”), even though such funds shall only be a portion of the funds being used to acquire such ownership interest and/or improve such real property and structures and that such funds may be used to only acquire such ownership interest and/or improve a part of such real property and structures. H.Council and Grantee desire to set forth herein the provisions relating to the granting of such G.O. Grant and the disbursement thereof to Grantee and the operation of the Real Property and the Facility. Article I DEFINITIONS Section 1.01 Defined Terms. As used in this Agreement, the following terms shall have the meanings set out respectively after each such term (the meanings to be equally applicable to both the singular and plural forms of the terms defined), unless the context specifically indicates otherwise: “Agreement” - means this Metropolitan Municipal Publicly Owned Infrastructure Inflow/Infiltration Grant Program Grant Agreement - End Grant for the «1» Project, as such exists on its original date and any amendments, modifications or restatements thereof. “Approved Debt” – means public or private debt of the Public Entity that is consented to and approved, in writing, by the Commissioner of MMB, the proceeds of which were or will used to acquire an ownership interest in or improve the Real Property and, if applicable, Facility, other than the debt on the G.O. Bonds. Approved Debt includes, but is not limited to, all debt delineated in Attachment III to this Agreement; provided, however, the 419 Generic GO Bond Proceeds 3 Ver – 10/26/20 Grant Agreement for Program End Grants Commissioner of MMB is not bound by any amounts delineated in such attachment unless he/she has consented, in writing, to such amounts. “Certification” – means a certification in the form contained in Attachment 1-A to this Agreement and all amendments thereto, acknowledging that the Real Property and Facilities is state bond financed property within the meaning of Minn. Stat. § 16A.695, is subject to the requirements imposed by such statutes and cannot be sold, encumbered or otherwise disposed of without the approval of the Commissioner of the MMB. “Code” - means the Internal Revenue Code of 1986, as amended from time to time, and all treasury regulations, revenue procedures and revenue rulings issued pursuant thereto. “Commissioner of MMB” - means the commissioner of Minnesota Management and Budget, and any designated representatives thereof. “Commissioner’s Order” - means the “Fourth Order Amending Order of the Commissioner of Finance Relating to Use and Sale of State Bond Financed Property” executed by the Commissioner of Minnesota Management and Budget and dated July 30, 2012, as amended. “Council” - means the entity identified as the “Council” in the lead-in paragraph of this Agreement. “Counterparty” - means any entity with which the Public Entity contracts under a Use Contract.This definition is only needed and only applies if the Public Entity enters into an agreement with another party under which such other party will operate the Real Property, and if applicable, Facility. For all other circumstances this definition is not needed and should be ignored and treated as if it were left blank, and any reference to this term in this Agreement shall be ignored and treated as if the reference did not exist. “Declaration” - means a declaration, or declarations, in the form contained in Attachment I to this Agreement and all amendments thereto, indicating that the Public Entity’s ownership interest in the Real Property and, if applicable, Facility is bond financed property within the meaning of the G.O. Compliance Legislation and is subject to certain restrictions imposed thereby. “Event of Default” - means one or more of those events delineated in Section 2.07. 420 Generic GO Bond Proceeds 4 Ver – 10/26/20 Grant Agreement for Program End Grants “Facility”, if applicable, - means the Wastewater Systems as identified in Recital E which is located, or will be constructed and located, on the Real Property and all equipment that is a part thereof that was purchased with the proceeds of the Program Grant. “Fair Market Value” – means either (i) the price that would be paid by a willing and qualified buyer to a willing and qualified seller as determined by an appraisal that assumes that all liens and encumbrances on the property being sold that negatively affect the value of such property, will be paid and released, or (ii) the price bid by a purchaser under a public bid procedure after reasonable public notice, with the proviso that all liens and encumbrances on the property being sold that negatively affect the value of such property, will be paid and released at the time of acquisition by the purchaser. “G.O. Bonds” - means that portion of the state general obligation bonds issued under the authority granted in Article XI, § 5(a) of the Minnesota Constitution the proceeds of which are used to fund the Program Grant and any bonds issued to refund or replace such bonds. “G.O. Compliance Legislation” - means Minn. Stat. § 16A.695, as it may be amended, modified or replaced from time to time unless such amendment, modification or replacement imposes an unconstitutional impairment of a contract right. “Grant Application” – means that certain grant application attached hereto as Attachment IV that the Public Entity submitted to the Council. This definition is only needed and only applies if the Public Entity submitted a grant application to the Council. If the Public Entity did not submit a grant application to the Council, then this definition is not needed and should be ignored and treated as if it were left blank, and any reference to this term in this Agreement shall be ignored and treated as if the reference did not exist. “Initial Acquisition and Betterment Costs” – means the cost to acquire the Public Entity’s ownership interest in the Real Property and, if applicable, Facility if the Public Entity does not already possess the required ownership interest, and the costs of betterments of the Real Property and, if applicable, Facility; provided, however, the Commissioner of MMB is not bound by any specific amount of such alleged costs unless he/she has consented, in writing, to such amount. “Leased/Easement Premises” - means the real estate and structures, if any, that are leased to the Public Entity under a Real Property/Facility Lease or granted to the Public Entity under an easement. This definition is only needed and only applies if the Public Entity’s ownership interest in the Real Property, the Facility, if applicable, or both, is by way of a leasehold interest under a Real Property/Facility Lease or by way of an easement. For all other circumstances this definition is not needed and should be ignored and treated 421 Generic GO Bond Proceeds 5 Ver – 10/26/20 Grant Agreement for Program End Grants as if it were left blank, and any reference to this term in this Agreement shall be ignored and treated as if the reference did not exist. “Lessor/Grantor” – means the fee owner/lessor or grantor of the Leased/Easement Premises. This definition is only needed and only applies if the Public Entity’s ownership interest in the Real Property, the Facility, if applicable, or both, is by way of a leasehold interest under a Real Property/Facility Lease or by way of an easement. For all other circumstances this definition is not needed and should be ignored and treated as if it were left blank, and any reference to this term in this Agreement shall be ignored and treated as if the reference did not exist. “Outstanding Balance of the Program Grant” – means the portion of the Program Grant that has been disbursed to or on behalf of the Public Entity minus any portion thereof previously paid back to the Commissioner of MMB. “Ownership Value”, if any – means the value, if any, of the Public Entity’s ownership interest in the Real Property and, if applicable, Facility that existed concurrent with the Public Entity’s execution of this Agreement. Such value shall be established by way of an appraisal or by such other manner as may be acceptable to the Council and the Commissioner of MMB. The parties hereto agree and acknowledge that such value is $ ___(Merge field)_____ or ____ Not Applicable; provided, however, the Commissioner of MMB is not bound by any inserted dollar amount unless he/she has consented, in writing, to such amount. If no dollar amount is inserted and the blank “Not Applicable” is not checked, a rebuttable presumption that the Ownership Value is $0.00 shall be created. (The blank “Not Applicable” should only be selected and checked when a portion of the funds delineated in Attachment III attached hereto are to be used to acquire the Public Entity’s ownership interest in the Real Property and, if applicable, Facility, and in such event the value of such ownership interest should be shown in Attachment III and not in this definition for Ownership Value). “Program Grant” - means a grant of monies from the Council to the Public Entity in the amount identified as the “Program Grant” in Recital E to this Agreement, as the amount thereof may be modified under the provisions contained herein. “Project” – means the Public Entity’s acquisition, if applicable, of the ownership interests in the Real Property and, if applicable, Facility denoted in Section 2.02 along with the performance of the activities denoted in Section 2.03. (If the Public Entity is not using any portion of the Program Grant to acquire the ownership interest denoted in Section 2.02, then this definition for Project shall not include the acquisition of such ownership interest, and the value of such ownership interest shall not be included in Attachment III hereto and instead shall be included in the definition for Ownership Value under this Section.) 422 Generic GO Bond Proceeds 6 Ver – 10/26/20 Grant Agreement for Program End Grants “Public Entity” - means the entity identified as the “Public Entity” in the lead-in paragraph of this Agreement. “Real Property” - means the real property located in the County of «11», State of Minnesota, legally described in Attachment II to this Agreement. “Real Property/Facility Lease” - means a long term lease of the Real Property, the Facility, if applicable, or both by the Public Entity as lessee thereunder. This definition is only needed and only applies if the Public Entity’s ownership interest in the Real Property, the Facility, if applicable, or both, is a leasehold interest under a lease. For all other circumstances this definition is not needed and should be ignored and treated as if it were left blank, and any reference to this term in this Agreement shall be ignored and treated as if the reference did not exist. “Council” - means the entity identified as the “Council” in the lead-in paragraph of this Agreement. “State Program” – means the program delineated in the State Program Enabling Legislation. “State Program Enabling Legislation” – means the legislation contained in the Minnesota statute(s) delineated in Recital A and all rules related to such legislation. “Subsequent Betterment Costs” – means the costs of betterments of the Real Property and, if applicable, Facility that occur subsequent to the date of this Agreement, are not part of the Project, would qualify as a public improvement of a capital nature (as such term in used in Minn. Constitution Art. XI, §5(a) of the Minnesota Constitution), and the cost of which has been established by way of written documentation that is acceptable to and approved, in writing, by the Council and the Commissioner of MMB. “Use Contract” - means a lease, management contract or other similar contract between the Public Entity and any other entity that involves or relates to any part of the Real Property and/or, if applicable, Facility. This definition is only needed and only applies if the Public Entity enters into an agreement with another party under which such other party will operate the Real Property, and/or if applicable, Facility. For all other circumstances this definition is not needed and should be ignored and treated as if it were left blank, and any reference to this term in this Agreement shall be ignored and treated as if the reference did not exist. “Useful Life of the Real Property and, if applicable, Facility” – means the term set forth in Section 2.05.V, which was derived as follows: (i) 30 years for Real Property that has no 423 Generic GO Bond Proceeds 7 Ver – 10/26/20 Grant Agreement for Program End Grants structure situated thereon or if any structures situated thereon will be removed, and no new structures will be constructed thereon, (ii) the remaining useful life of the Facility as of the effective date of this Agreement for Facilities that are situated on the Real Property as of the date of this Agreement, that will remain on the Real Property, and that will not be bettered, or (iii) the useful life of the Facility after the completion of the construction or betterments for Facilities that are to be constructed or bettered. Article II GRANT Section 2.01 Grant of Monies. The Council shall make and issue the Program Grant to the Public Entity and disburse the proceeds in accordance with the provisions of this Agreement. The Program Grant is not intended to be a loan even though the portion thereof that is disbursed may need to be returned to the Council or the Commissioner of MMB under certain circumstances. Section 2.02 Public Ownership. The Public Entity acknowledges and agrees that the Program Grant is being funded with the proceeds of G.O. Bonds, and as a result thereof all of the Real Property and, if applicable, Facility must be owned by one or more public entities. Such ownership may be in the form of fee ownership, a Real Property/Facility Lease, or an easement. In order to establish that this public ownership requirement is satisfied, the Public Entity represents and warrants to the Council that it has, or will acquire, the following ownership interests in the Real Property and, if applicable, Facility, and, in addition, that it possess, or will possess, all easements necessary for the operation, maintenance and management of the Real Property and, if applicable, Facility in the manner specified in Section 2.04: (Check the appropriate box for the Real Property and, if applicable, for the Facility.) Ownership Interest in the Real Property. x Fee simple ownership of the Real Property. A Real Property/Facility Lease for the Real Property that complies with the requirements contained in Section 2.06. (If the term of the Real Property/Facility Lease is for a term authorized by a Minnesota statute, rule or session law, then insert the citation: ________________.) x An easement for the Real Property that complies with the requirements 424 Generic GO Bond Proceeds 8 Ver – 10/26/20 Grant Agreement for Program End Grants contained in Section 2.06. (If the term of the easement is for a term authorized by a Minnesota statute, rule or session law, then insert the citation: ________________.) Ownership Interest in, if applicable, the Facility. Fee simple ownership of the Facility. A Real Property/Facility Lease for the Facility that complies with all of the requirements contained in Section 2.06. (If the term of the Real Property/Facility Lease is for a term authorized by a Minnesota statute, rule or session law, then insert the citation: ________________.) x Not applicable because there is no Facility. Section 2.03 Use of Grant Proceeds. The Public Entity shall use the Program Grant solely to reimburse itself for expenditures it has already made, or will make, in the performance of the following activities, and may not use the Program Grant for any other purpose. (Check all appropriate boxes.) Acquisition of fee simple title to the Real Property. Acquisition of a leasehold interest in the Real Property. Acquisition of an easement for the Real Property. Improvement of the Real Property. Acquisition of fee simple title to the Facility. Acquisition of a leasehold interest in the Facility. Construction of the Facility. Renovation of the Facility. 425 Generic GO Bond Proceeds 9 Ver – 10/26/20 Grant Agreement for Program End Grants X Sanitary Sewer Improvements . (Describe other or additional purposes.) Section 2.04 Operation of the Real Property and Facility. The Real Property and, if applicable, Facility must be used by the Public Entity or the Public Entity must cause such Real Property and, if applicable, Facility to be used, for those purposes required by the State Program and in accordance with the information contained in the Grant Application, or for such other purposes and uses as the Minnesota legislature may from time to time designate, and for no other purposes or uses. The Public Entity may enter into Use Contracts with Counterparties for the operation of all or any portion of the Real Property and, if applicable, Facility; provided that all such Use Contracts must have been approved, in writing, by the Commissioner of MMB and fully comply with all of the provisions contained in Sections 3.01, 3.02 and 3.03. The Public Entity must, whether it is operating the Real Property and, if applicable, Facility or has contracted with a Counterparty under a Use Contract to operate all or any portion of the Real Property and, if applicable, Facility, annually determine that the Real Property and, if applicable, Facility is being used for the purpose required by this Agreement, and shall annually supply a statement, sworn to before a notary public, to such effect to the Council and the Commissioner of MMB. For those programs, if any, that the Public Entity will directly operate on all or any portion of the Real Property and, if applicable, Facility, the Public Entity covenants with and represents and warrants to the Council that: (i) it has the ability and a plan to fund such programs, (ii) it has demonstrated such ability by way of a plan that it submitted to the Council, and (iii) it will annually adopt, by resolution, a budget for the operation of such programs that clearly shows that forecast program revenues along with other funds available for the operation of such program will be equal to or greater than forecast program expenses for each fiscal year, and will supply to the Council and the Commissioner of MMB certified copies of such resolution and budget. For those programs, if any, that will be operated on all or any portion of the Real Property and, if applicable, Facility by a Counterparty under a Use Contract, the Public Entity covenants with and represents and warrants to the Council that: (i) it will not enter into such Use Contract unless the Counterparty has demonstrated that it has the ability and a plan to fund such program, (ii) it will require the Counterparty to provide an initial program budget and annual program budgets that clearly show that forecast program revenues along with other funds available for the operation of such program (from all sources) will be equal to or greater than forecast program expenses for each fiscal year, (iii) it will promptly review all submitted program budgets to determine if such budget clearly and accurately shows that the forecast program revenues along 426 Generic GO Bond Proceeds 10 Ver – 10/26/20 Grant Agreement for Program End Grants with other funds available for the operation of such program (from all sources) will be equal to or greater than forecast program expenses for each fiscal year, (iv) it will reject any program budget that it believes does not accurately reflect forecast program revenues or expenses or does not show that forecast program revenues along with other funds available for the operation of such program (from all sources) will be equal to or greater than forecast program expenses, and require the Counterparty to prepare and submit a revised program budget, and (v) upon receipt of a program budget that it believes accurately reflects forecast program revenues and expenses and that shows that forecast program revenues along with other funds available for the operation of such program (from all sources) will be equal to or greater than forecast program expenses, it will approve such budget by resolution and supply to the Council and the Commissioner of MMB certified copies of such resolution and budget. Section 2.05 Public Entity Representations and Warranties. The Public Entity further covenants with, and represents and warrants to the Council as follows: A.It has legal authority to enter into, execute, and deliver this Agreement, the Declaration, and all documents referred to herein, and it has taken all actions necessary to its execution and delivery of such documents. B.It has legal authority to use the Program Grant for the purpose or purposes described in the State Program Enabling Legislation. C.It has legal authority to operate the State Program and the Real Property and, if applicable, Facility for the purposes required by the State Program and for the functions and activities proposed in the Grant Application. D. This Agreement, the Declaration, and all other documents referred to herein are the legal, valid and binding obligations of the Public Entity enforceable against the Public Entity in accordance with their respective terms. E.It will comply with all of the terms, conditions, provisions, covenants, requirements, and warranties in this Agreement, the Declaration, and all other documents referred to herein. F.It will comply with all of the provisions and requirements contained in and imposed by the G.O. Compliance Legislation, the Commissioner’s Order, and the State Program. G.It has made no material false statement or misstatement of fact in connection with its receipt of the Program Grant, and all of the information it has submitted or will submit to 427 Generic GO Bond Proceeds 11 Ver – 10/26/20 Grant Agreement for Program End Grants the Council or Commissioner of MMB relating to the Program Grant or the disbursement of any of the Program Grant is and will be true and correct. H.It is not in violation of any provisions of its charter or of the laws of the State of Minnesota, and there are no actions, suits, or proceedings pending, or to its knowledge threatened, before any judicial body or governmental authority against or affecting it relating to the Real Property and, if applicable, Facility, or its ownership interest therein, and it is not in default with respect to any order, writ, injunction, decree, or demand of any court or any governmental authority which would impair its ability to enter into this Agreement, the Declaration, or any document referred to herein, or to perform any of the acts required of it in such documents. I.Neither the execution and delivery of this Agreement, the Declaration, or any document referred to herein nor compliance with any of the terms, conditions, requirements, or provisions contained in any of such documents is prevented by, is a breach of, or will result in a breach of, any term, condition, or provision of any agreement or document to which it is now a party or by which it is bound. J.The contemplated use of the Real Property and, if applicable, Facility will not violate any applicable zoning or use statute, ordinance, building code, rule or regulation, or any covenant or agreement of record relating thereto. K.The Project has been or will be completed in full compliance with all applicable laws, statutes, rules, ordinances, and regulations issued by any federal, state, or local political subdivisions having jurisdiction over the Project. L.All applicable licenses, permits and bonds required for the performance and completion of the Project have been, or will be, obtained. M.All applicable licenses, permits and bonds required for the operation of the Real Property and, if applicable, Facility in the manner specified in Section 2.04 have been, or will be, obtained. N.It will operate, maintain, and manage the Real Property and, if applicable, Facility or cause the Real Property and, if applicable, Facility, to be operated, maintained and managed in compliance with all applicable laws, statutes, rules, ordinances, and regulations issued by any federal, state, or local political subdivisions having jurisdiction over the Real Property and, if applicable, Facility. O.It will fully enforce the terms and conditions contained in any Use Contract. 428 Generic GO Bond Proceeds 12 Ver – 10/26/20 Grant Agreement for Program End Grants P.It has complied with the matching funds requirement, if any, contained in Section 7.23. Q.It will not, without the prior written consent of the Council and the Commissioner of MMB, allow any voluntary lien or encumbrance or involuntary lien or encumbrance that can be satisfied by the payment of monies and which is not being actively contested to be created or exist against the Public Entity’s ownership interest in the Real Property or, if applicable, Facility, or the Counterparty’s interest in the Use Contract, whether such lien or encumbrance is superior or subordinate to the Declaration. Provided, however, the Council and the Commissioner of MMB will consent to any such lien or encumbrance that secures the repayment of a loan the repayment of which will not impair or burden the funds needed to operate the Real Property and, if applicable, Facility in the manner specified in Section 2.04, and for which the entire amount is used (i) to acquire additional real estate that is needed to so operate the Real Property and, if applicable, Facility in accordance with the requirements imposed under Section 2.04 and will be included in and as part of the Public Entity’s ownership interest in the Real Property and, if applicable, Facility, and/or (ii) to pay for capital improvements that are needed to so operate the Real Property and, if applicable, Facility in accordance with the requirements imposed under Section 2.04. R.It reasonably expects to possess the ownership interest in the Real Property and, if applicable, Facility described Section 2.02 for the entire Useful Life of the Real Property and, if applicable, Facility, and it does not expect to sell such ownership interest. S.It does not reasonably expect to receive payments under a Use Contract in excess of the amount the Public Entity needs and is authorized to use to pay the operating expenses of the portion of the Real Property and, if applicable, Facility that is the subject of the Use Contract or to pay the principal, interest, redemption premiums, and other expenses on any Approved Debt. T.It will supply, or cause to be supplied, whatever funds are needed above and beyond the amount of the Program Grant to complete and fully pay for the Project. U.It has or will promptly record a fully executed Declaration with the appropriate governmental office and delivera copy thereof to the Council and to Minnesota Management and Budget (attention: Capital Projects Manager) that contains all of the recording information. V.The Useful Life of the Real Property and, if applicable, Facility is _50_ years. 429 Generic GO Bond Proceeds 13 Ver – 10/26/20 Grant Agreement for Program End Grants W.It shall furnish such satisfactory evidence regarding the representations and warranties described herein as may be required and requested by either the Council or the Commissioner of MMB. Section 2.06 Ownership by Leasehold or Easement. This Section shall only apply if the Public Entity’s ownership interest in the Real Property, the Facility, if applicable, or both is by way of a Real Property/Facility Lease or an easement. For all other circumstances this Section is not needed and should be ignored and treated as if it were left blank, and any reference to this Section in this Agreement shall be ignored and treated as if the reference did not exist. A.A Real Property/Facility Lease or easement must comply with the following provisions. 1.It must be in form and contents acceptable to the Commissioner of MMB, and specifically state that it may not be modified, restated, amended, changed in any way, or prematurely terminated or cancelled without the prior written consent and authorization by the Commissioner of MMB. 2.It must be for a term that is equal to or greater than 125% of the Useful Life of the Real Property and, if applicable, Facility, or such other period of time specifically authorized by a Minnesota statute, rule or session law. 3.Any payments to be made under it by the Public Entity, whether designated as rent or in any other manner, must be by way of a single lump sum payment that is due and payable on the date that it is first made and entered into. 4.It must not contain any requirements or obligations of the Public Entity that if not complied with could result in a termination thereof. 5.It must contain a provision that provides sufficient authority to allow the Public Entity to operate the Real Property and, if applicable, Facility in accordance with the requirements imposed under Section 2.04. 6.It must not contain any provisions that would limit or impair the Public Entity’s operation of the Real Property and, if applicable, Facility in accordance with the requirements imposed under Section 2.04. 7.It must contain a provision that prohibits the Lessor/Grantor from creating or allowing, without the prior written consent of the Council and the Commissioner of MMB, any voluntary lien or encumbrance or involuntary lien or encumbrance that can be satisfied by the payment of monies and which is not being actively contested against 430 Generic GO Bond Proceeds 14 Ver – 10/26/20 Grant Agreement for Program End Grants the Leased/Easement Premises or the Lessor’s/Grantor’s interest in the Real Property/Facility Lease or easement, whether such lien or encumbrance is superior or subordinate to the Declaration. Provided, however, the Council and the Commissioner of MMB will consent to any such lien or encumbrance if the holder of such lien or encumbrance executes and files of record a document under which such holder subordinates such lien or encumbrance to the Real Property/Facility Lease or easement and agrees that upon foreclosure of such lien or encumbrance to be bound by and comply with all of the terms, conditions and covenants contained in the Real Property/Facility Lease or easement as if such holder had been an original Lessor/Grantor under the Real Property/Facility Lease or easement. 8.It must acknowledge the existence of this Agreement and contain a provision that the terms, conditions and provisions contained in this Agreement shall control over any inconsistent or contrary terms, conditions and provisions contained in the Real Property/Facility Lease or easement. 9.It must provide that any use restrictions contained therein only apply as long as the Public Entity is the lessee under the Real Property/Facility Lease or grantee under the easement, and that such use restrictions will terminate and not apply to any successor lessee or grantee who purchases the Public Entity’s ownership interest in the Real Property/Facility Lease or easement. Provided, however, it may contain a provisions that limits the construction of any new structures on the Real Property or modifications of any existing structures on the Real Property without the written consent of Lessor/Grantor, which will apply to any such successor lessee or grantee. 10.It must allow for a transfer thereof in the event that the lessee under the Real Property/Lease or grantee under the easement makes the necessary determination to sell its interest therein, and allow such interest to be transferred to the purchaser of such interest. 11.It must contain a provision that prohibits and prevents the sale of the underlying fee interest in the Real Property and, if applicable, Facility without first obtaining the written consent of the Commissioner of MMB. 12 The Public Entity must be the lessee under the Real Property/Lease or grantee under the easement. B.The provisions contained in this Section are not intended to and shall not prevent the Public Entity from including additional provisions in the Real Property/Facility Lease or easement that are not inconsistent with or contrary to the requirements contained in this Section. 431 Generic GO Bond Proceeds 15 Ver – 10/26/20 Grant Agreement for Program End Grants C.The expiration of the term of a Real Property/Facility Lease or easement shall not be an event that requires the Public Entity to reimburse the Council for any portion of the Program Grant, and upon such expiration the Public Entity’s ownership interest in the Real Property and, if applicable, Facility shall no longer be subject to this Agreement. D.The Public Entity shall fully and completely comply with all of the terms, conditions and provisions contained in a Real Property/Facility Lease or easement, and shall obtain and file, in the Office of the County Recorder or the Registrar of Titles, whichever is applicable, the Real Property/Facility Lease or easement or a short form or memorandum thereof. Section 2.07 Event(s) of Default. The following events shall, unless waived in writing by the Council and the Commissioner of MMB, constitute an Event of Default under this Agreement upon either the Council or the Commissioner of MMB giving the Public Entity 30 days written notice of such event and the Public Entity’s failure to cure such event during such 30 day time period for those Events of Default that can be cured within 30 days or within whatever time period is needed to cure those Events of Default that cannot be cured within 30 days as long as the Public Entity is using its best efforts to cure and is making reasonable progress in curing such Events of Default, however, in no event shall the time period to cure any Event of Default exceed 6 months unless otherwise consented to, in writing, by the Council and the Commissioner of MMB. A.If any representation, covenant, or warranty made by the Public Entity in this Agreement, in any other document furnished pursuant to this Agreement, or in order to induce the Council to disburse any of the Program Grant, shall prove to have been untrue or incorrect in any material respect or materially misleading as of the time such representation, covenant, or warranty was made. B.If the Public Entity fails to fully comply with any provision, term, condition, covenant, or warranty contained in this Agreement, the Declaration, or any other document referred to herein. C.If the Public Entity fails to fully comply with any provision, term, condition, covenant, or warranty contained in the G.O. Compliance Legislation, the Commissioner’s Order, or the State Program Enabling Legislation. D.If the Public Entity fails to provide and expend the full amount of the matching funds, if any, required under Section 7.23 for the Project. 432 Generic GO Bond Proceeds 16 Ver – 10/26/20 Grant Agreement for Program End Grants E.If the Public Entity fails to record the Declaration and deliver copies thereof as set forth in Section 2.05.U. Notwithstanding the foregoing, any of the above delineated events that cannot be cured shall, unless waived in writing by the Council and the Commissioner of MMB, constitute an Event of Default under this Agreement immediately upon either the Council or the Commissioner of MMB giving the Public Entity written notice of such event. Section 2.08 Remedies. Upon the occurrence of an Event of Default and at any time thereafter until such Event of Default is cured to the satisfaction of the Council, the Council or the Commissioner of MMB may enforce any or all of the following remedies. A.The Council may refrain from disbursing the Program Grant; provided, however, the Council may make such disbursements after the occurrence of an Event of Default without thereby waiving its rights and remedies hereunder. B.If the Event of Default involves a failure to comply with any of the provisions contained herein other than the provisions contained in Sections 4.01 or 4.02, then the Commissioner of MMB, as a third party beneficiary of this Agreement, may demand that the Outstanding Balance of the Program Grant be returned to it, and upon such demand the Public Entity shall return such amount to the Commissioner of MMB. C.If the Event of Default involves a failure to comply with the provisions contained in Sections 4.01 or 4.02, then the Commissioner of MMB, as a third party beneficiary of this Agreement, may demand that the Public Entity pay the amounts that would have been paid if there had been full and complete compliance with such provisions, and upon such demand the Public Entity shall pay such amount to the Commissioner of MMB. D.Either the Council or the Commissioner of MMB, as a third party beneficiary of this Agreement, may enforce any additional remedies they may have in law or equity. The rights and remedies herein specified are cumulative and not exclusive of any rights or remedies that the Council or the Commissioner of MMB would otherwise possess. If the Public Entity does not repay the amounts required to be paid under this Section or under any other provision contained in this Agreement within 30 days of demand by the Commissioner of MMB, or any amount ordered by a court of competent jurisdiction within 30 days of entry of judgment against the Public Entity and in favor of the Council and/or the Commissioner of MMB, then such amount may, unless precluded by law, be taken from or off-set against any aids or other monies that the Public Entity is entitled to receive from the State of Minnesota. 433 Generic GO Bond Proceeds 17 Ver – 10/26/20 Grant Agreement for Program End Grants Section 2.09 Notification of Event of Default. The Public Entity shall furnish to the Council and the Commissioner of MMB, as soon as possible and in any event within 7 days after it has obtained knowledge of the occurrence of each Event of Default or each event which with the giving of notice or lapse of time or both would constitute an Event of Default, a statement setting forth details of each Event of Default or event which with the giving of notice or upon the lapse of time or both would constitute an Event of Default and the action which the Public Entity proposes to take with respect thereto. Section 2.10 Survival of Event of Default. This Agreement shall survive any and all Events of Default and remain in full force and effect even upon the payment of any amounts due under this Agreement, and shall only terminate in accordance with the provisions contained in Section 2.12 and at the end of its term in accordance with the provisions contained in Section 2.11. Section 2.11 Term of Grant Agreement. This Agreement shall, unless earlier terminated in accordance with any of the provisions contained herein, remain in full force and effect for the time period starting on the effective date hereof and ending on the date that corresponds to the date established by adding a time period equal to 125% of Useful Life of the Real Property and, if applicable, Facility to the date on which the Real Property and, if applicable, Facility is first used for the operation of the State Program after such effective date. If there are no uncured Events of Default as of such date this Agreement shall terminate and no longer be of any force or effect, and the Commissioner of MMB shall execute whatever documents are needed to release the Real Property and, if applicable, Facility from the effect of this Agreement and the Declaration. Section 2.12 Modification and/or Early Termination of Grant. If the full amount of the Program Grant has not been disbursed on or before the date that is 5 years from the effective date of this Agreement, or such later date to which the Public Entity and the Council may agree in writing, then the Council’s obligation to fund the Program Grant shall terminate. In such event, (i) if none of the Program Grant has been disbursed by such date then the Council’s obligation to fund any portion of the Program Grant shall terminate and this Agreement shall terminate and no longer be of any force or effect, and (ii) if some but not all of the Program Grant has been disbursed by such date then the Council shall have no further obligation to provide any additional funding for the Program Grant and this Agreement shall remain in full force and effect but shall be modified and amended to reflect the amount of the Program Grant that was actually disbursed as of such date. This Agreement shall also terminate and no longer be of any force or effect upon the Public Entity’s sale of its ownership interest in the Real Property and, if applicable, Facilityin accordance with the provisions contained in Section 4.01 and transmittal of all or a portion of the proceeds of such sale to the Commissioner of MMB in compliance with the provisions contained in Section 434 Generic GO Bond Proceeds 18 Ver – 10/26/20 Grant Agreement for Program End Grants 4.02, or upon the termination of Public Entity’s ownership interest in the Real Property and, if applicable, Facility if such ownership interest is by way of an easement or under a Real Property/Facility Lease. Upon such termination the Council shall execute, or have executed, and deliver to the Public Entity such documents as are required to release the Public Entity’s ownership interest in the Real Property and, if applicable, Facility, from the effect of this Agreement and the Declaration. Section 2.13 Excess Funds. If the full amount of the Program Grant and any matching funds referred to in Section 7.23 are not needed to complete the Project, then, unless language in the State Program Enabling Legislation indicates otherwise, the Program Grant shall be reduced by the amount not needed. Article III USE CONTRACTS Contents of Article III have been deliberately omitted from this Agreement. Article IV SALE Section 4.01 Sale. The Public Entity shall not sell any part of its ownership interest in the Real Property and, if applicable, Facility unless all of the following provisions have been complied with fully. A.The Public Entity determines, by official action, that such ownership interest is no longer usable or needed for the operation of the State Program, which such determination may be based on a determination that the portion of the Real Property or, if applicable, Facility to which such ownership interest applies is no longer suitable or financially feasible for such purpose. B.The sale is made as authorized by law. C.The sale is for Fair Market Value. D.The written consent of the Commissioner of MMB has been obtained. The acquisition of the Public Entity’s ownership interest in the Real Property and, if applicable, Facility at a foreclosure sale, by acceptance of a deed-in-lieu of foreclosure, or enforcement of a security interest in personal property used in the operation thereof, by a lender that has provided monies for the acquisition of the Public Entity’s ownership interest 435 Generic GO Bond Proceeds 19 Ver – 10/26/20 Grant Agreement for Program End Grants in or betterment of the Real Property and, if applicable, Facility shall not be considered a sale for the purposes of this Agreement if after such acquisition the lender operates such portion of the Real Property and, if applicable, Facility in a manner which is not inconsistent with the requirements imposed under Section 2.04 and the lender uses its best efforts to sell such acquired interest to a third party for Fair Market Value. The lender’s ultimate sale or disposition of the acquired interest in the Real Property and, if applicable, Facility shall be deemed to be a sale for the purposes of this Agreement, and the proceeds thereof shall be disbursed in accordance with the provisions contained in Section 4.02. The Public Entity may participate in any public auction of its ownership interest in the Real Property and, if applicable, Facility and bid thereon; provided that the Public Entity agrees that if it is the successful purchaser it will not use any part of the Real Property or, if applicable, Facility for the State Program. Section 4.02 Proceeds of a Sale. Upon the sale of the Public Entity’s ownership interest in the Real Property and, if applicable, Facility the proceeds thereof after the deduction of all costs directly associated and incurred in conjunction with such sale and such other costs that are approved, in writing, by the Commissioner of MMB, but not including the repayment of any debt associated with the Public Entity’s ownership interest in the Real Property and, if applicable, Facility, shall be disbursed in the following manner and order. A.The first distribution shall be to the Commissioner of MMB in an amount equal to the Outstanding Balance of the Program Grant, and if the amount of such net proceeds shall be less than the amount of the Outstanding Balance of the Program Grant then all of such net proceeds shall be distributed to the Commissioner of MMB. B.The remaining portion, after the distribution specified in Section 4.02.A, shall be distributed to (i) pay in full any outstanding Approved Debt, (ii) reimburse the Public Entity for its Ownership Value, and (iii) to pay interested public and private entities, other than any such entity that has already received the full amount of its contribution (such as the Council under Section 4.02.A and the holders of Approved Debt paid under this Section 4.02.B), the amount of money that such entity contributed to the Initial Acquisition and Betterment Costs and the Subsequent Betterment Costs. If such remaining portion is not sufficient to reimburse interested public and private entities for the full amount that such entities contributed to the acquisition or betterment of the Real Property and, if applicable, Facility, then the amount available shall be distributed as such entities may agree in writing, and if such entities cannot agree by an appropriately issued court order. C.The remaining portion, after the distributions specified in Sections 4.02.A and B, shall be divided and distributed to the Council, the Public Entity, and any other public and private entity that contributed funds to the Initial Acquisition and Betterment Costs and the 436 Generic GO Bond Proceeds 20 Ver – 10/26/20 Grant Agreement for Program End Grants Subsequent Betterment Costs, other than lenders who supplied any of such funds, in proportion to the contributions that the Council, the Public Entity, and such other public and private entities made to the acquisition and betterment of the Real Property and, if applicable, Facility as such amounts are part of the Ownership Value, Initial Acquisition and Betterment Costs, and Subsequent Betterment Costs. The distribution to the Council shall be made to the Commissioner of MMB, and the Public Entity may direct its distribution to be made to any other entity including, but not limited to, a Counterparty. All amounts to be disbursed under this Section 4.02 must be consented to, in writing, by the Commissioner of MMB, and no such disbursements shall be made without such consent. The Public Entity shall not be required to pay or reimburse the Council or the Commissioner of MMB for any funds above and beyond the full net proceeds of such sale, even if such net proceeds are less than the amount of the Outstanding Balance of the Program Grant. Article V COMPLIANCE WITH G.O. COMPLIANCE LEGISLATION AND THE COMMISSIONER’S ORDER Section 5.01 State Bond Financed Property. The Public Entity and the Council acknowledge and agree that the Public Entity’s ownership interest in the Real Property and, if applicable, Facility is, or when acquired by the Public Entity will be, “state bond financed property”, as such term is used in the G.O. Compliance Legislation and the Commissioner’s Order, and, therefore, the provisions contained in such statute and order apply, or will apply, to the Public Entity’s ownership interest in the Real Property and, if applicable, Facility and any Use Contracts relating thereto. Section 5.02 Preservation of Tax Exempt Status. In order to preserve the tax-exempt status of the G.O. Bonds, the Public Entity agrees as follows: A.It will not use the Real Property or, if applicable, Facility, or use or invest the Program Grant or any other sums treated as “bond proceeds” under Section 148 of the Code including “investment proceeds,” “invested sinking funds,” and “replacement proceeds,” in such a manner as to cause the G.O. Bonds to be classified as “arbitrage bonds” under Section 148 of the Code. B.It will deposit into and hold all of the Program Grant that it receives under this Agreement in a segregated non-interest bearing account until such funds are used for payments for the Project in accordance with the provisions contained herein. 437 Generic GO Bond Proceeds 21 Ver – 10/26/20 Grant Agreement for Program End Grants C.It will, upon written request, provide the Commissioner of MMB all information required to satisfy the informational requirements set forth in the Code including, but not limited to, Sections 103 and 148 thereof, with respect to the G.O. Bonds. D.It will, upon the occurrence of any act or omission by the Public Entity or any Counterparty, that could cause the interest on the G.O. Bonds to no longer be tax exempt and upon direction from the Commissioner of MMB, take such actions and furnish such documents as the Commissioner of MMB determines to be necessary to ensure that the interest to be paid on the G.O. Bonds is exempt from federal taxation, which such action may include either: (i) compliance with proceedings intended to classify the G.O. Bonds as a “qualified bond” within the meaning of Section 141(e) of the Code, (ii) changing the nature or terms of the Use Contract so that it complies with Revenue Procedure 97-13, as amended by Rev. Proc 2016-44 and Rev. Proc. 2017-13, or (iii) changing the nature of the use of the Real Property or, if applicable, Facility so that none of the net proceeds of the G.O. Bonds will be used, directly or indirectly, in an “unrelated trade or business” or for any “private business use” (within the meaning of Sections 141(b) and 145(a) of the Code), or (iv) compliance with other Code provisions, regulations, or revenue procedures which amend or supersede the foregoing. E.It will not otherwise use any of the Program Grant, including earnings thereon, if any, or take or permit to or cause to be taken any action that would adversely affect the exemption from federal income taxation of the interest on the G.O. Bonds, nor omit to take any action necessary to maintain such tax exempt status, and if it should take, permit, omit to take, or cause to be taken, as appropriate, any such action, it shall take all lawful actions necessary to rescind or correct such actions or omissions promptly upon having knowledge thereof. Section 5.03 Changes to G.O. Compliance Legislation or the Commissioner’s Order. In the event that the G.O. Compliance Legislation or the Commissioner’s Order is amended in a manner that reduces any requirement imposed against the Public Entity, or if the Public Entity’s ownership interest in the Real Property or, if applicable, Facility is exempt from the G.O. Compliance Legislation and the Commissioner’s Order, then upon written request by the Public Entity the Council shall enter into and execute an amendment to this Agreement to implement herein such amendment to or exempt the Public Entity’s ownership interest in the Real Property and, if applicable, Facility from the G.O. Compliance Legislation or the Commissioner’s Order. 438 Generic GO Bond Proceeds 22 Ver – 10/26/20 Grant Agreement for Program End Grants Article VI DISBURSEMENT OF GRANT PROCEEDS Section 6.01 Disbursement of Grant. Upon compliance with all of the conditions delineated in Section 6.02, the Council shall disburse the Program Grant to the Public Entity in one lump sum. Under no circumstance shall the Council be required to disburse funds in excess of the amount requested by the Public Entity under the provisions contained in Section 6.02.A even if the amount requested is less than the amount of the Program Grant delineated in Section 1.01. If the amount of Program Grant that the Council disburses hereunder to the Public Entity is less than the amount of the Program Grant delineated in Section 1.01, then the Council and the Public Entity shall enter into and execute whatever documents the Council may request in order to amend or modify this Agreement to reduce the amount of the Program Grant to the amount actually disbursed. Provided, however, in accordance with the provisions contained in Section 2.11, the Council’s obligation to disburse any of the Program Grant shall terminate as of the date specified in such Section even if the entire Program Grant has not been disbursed by such date. The Program Grant shall only be for expenses that (i) are for those items of a capital nature for the Project, (ii) accrued no earlier than the effective date of the legislation that appropriated the funds that are used to fund the Program Grant, or (iii) have otherwise been consented to, in writing, by the Council and the Commissioner of MMB. Section 6.02 Conditions Precedent to Disbursement of Grant. The obligation of the Council to disburse the Program Grant to the Public Entity is subject to the following conditions precedent: A.The Council shall have received a request for disbursement of the Program Grant specifying the amount of funds being requested, which such amount shall not exceed the amount of the Program Grant delineated in Section 1.01. B.The Council shall have received a duly executed Declaration that has been duly recorded in the appropriate governmental office, with all of the recording information displayed thereon. C.The Council shall have received evidence, in form and substance acceptable to the Council, that (i) the Public Entity has legal authority to and has taken all actions necessary to enter into this Agreement and the Declaration, and (ii) this Agreement and the Declaration are binding on and enforceable against the Public Entity. D.The Council shall have received evidence, in form and substance acceptable to the Council, that the Public Entity has fully and completely paid for the Project and all other expenses that may occur in conjunction therewith. 439 Generic GO Bond Proceeds 23 Ver – 10/26/20 Grant Agreement for Program End Grants E.The Council shall have received evidence, in form and substance acceptable to the Council, that the Public Entity is in compliance with the matching funds requirements, if any, contained in Section 7.23 and that all of such matching funds, if any, have been expended for the Project. F.The Council shall have received evidence, in form and substance acceptable to the Council, showing that the Public Entity possesses the ownership interest delineated in Section 2.02. G.The Council shall have received evidence, in form and substance acceptable to the Council, that the Real Property and, if applicable, Facility and the contemplated use thereof are permitted by and will comply with all applicable use or other restrictions and requirements imposed by applicable zoning ordinances or regulations, and, if required by law, have been duly approved by the applicable municipal or governmental authorities having jurisdiction thereover. H.The Council shall have received evidence, in form and substance acceptable to the Council, that that all applicable and required building permits, other permits, bonds and licenses necessary for the Project have been paid for, issued, and obtained, other than those permits, bonds and licenses which may not lawfully be obtained until a future date or those permits, bonds and licenses which in the ordinary course of business would normally not be obtained until a later date. I.The Council shall have received evidence, in form and substance acceptable to the Council, that that all applicable and required permits, bonds and licenses necessary for the operation of the Real Property and, if applicable, Facility in the manner specified in Section 2.04 have been paid for, issued, and obtained, other than those permits, bonds and licenses which may not lawfully be obtained until a future date or those permits, bonds and licenses which in the ordinary course of business would normally not be obtained until a later date. J.The Council shall have received evidence, in form and substance acceptable to the Council, that the Project was completed in a manner that will allow the Real Property and, if applicable, Facility to be operated in the manner specified in Section 2.04, which requirement may be satisfied by a certificate of occupancy or such other equivalent document from the municipality in which the Real Property is located. K.The Council shall have received evidence, in form and substance acceptable to the Council, that the Public Entity has the ability and a plan to fund the operation of the Real Property and, if applicable, Facility in the manner specified in Section 2.04. 440 Generic GO Bond Proceeds 24 Ver – 10/26/20 Grant Agreement for Program End Grants L.The Council shall have received evidence, in form and substance acceptable to the Council, that the insurance requirements under Section 7.01 have been satisfied. M.The Council shall have received evidence, in form and substance acceptable to the Council, of compliance with the provisions and requirements specified in Section 7.10 and all additional applicable provisions and requirements, if any, contained in Minn. Stat. § 16B.335, as it may be amended, modified or replaced from time to time. Such evidence shall include, but not be limited to, evidence that: (i) the predesign package referred to in Section 7.10.B has, if required, been reviewed by and received a favorable recommendation from the Commissioner of Administration for the State of Minnesota, (ii) the program plan and cost estimates referred to in Section 7.10.C have, if required, received a recommendation by the Chairs of the Minnesota State Senate Finance Committee and Minnesota House of Representatives Ways and Means Committee, and (iii) the Chair and Ranking Minority Member of the Minnesota House of Representatives Capital Investment Committee and the Chair and Ranking Minority Member of the Minnesota Senate Capital Investment Committee have, if required, been notified pursuant to Section 7.10.G. N.No Event of Default under this Agreement or event which would constitute an Event of Default but for the requirement that notice be given or that a period of grace or time elapse shall have occurred and be continuing. O.The Public Entity has supplied to the Council all other items that the Council may reasonably require. Article VII MISCELLANEOUS Section 7.01 Insurance. The Public Entity shall, upon acquisition of the ownership interest delineated in Section 2.02, insure the Facility, if such exists, in an amount equal to the full insurable value thereof (i) by self insuring under a program of self insurance legally adopted, maintained and adequately funded by the Public Entity, or (ii) by way of builders risk insurance and fire and extended coverage insurance with a deductible in an amount acceptable to the Council under which the Council and the Public Entity are named as loss payees. If damages which are covered by such required insurance occur, then the Public Entity shall, at its sole option and discretion, either: (y) use or cause the insurance proceeds to be used to fully or partially repair such damage and to provide or cause to be provided whatever additional funds that may be needed to fully or partially repair such damage, or (z) sell its ownership interest in the damaged Facility and portion of the Real Property associated therewith in accordance with the provisions contained in Section 4.01. 441 Generic GO Bond Proceeds 25 Ver – 10/26/20 Grant Agreement for Program End Grants If the Public Entity elects to only partially repair such damage, then the portion of the insurance proceeds not used for such repair shall be applied in accordance with the provisions contained in Section 4.02 as if the Public Entity’s ownership interest in the Real Property and Facility had been sold, and such amounts shall be credited against the amounts due and owing under Section 4.02 upon the ultimate sale of the Public Entity’s ownership interest in the Real Property and Facility. If the Public Entity elects to sell its ownership interest in the damaged Facility and portion of the Real Property associated therewith, then such sale must occur within a reasonable time period from the date the damage occurred and the cumulative sum of the insurance proceeds plus the proceeds of such sale must be applied in accordance with the provisions contained in Section 4.02, with the insurance proceeds being so applied within a reasonable time period from the date they are received by the Public Entity. The Council agrees to and will assign or pay over to the Public Entity all insurance proceeds it receives so that the Public Entity can comply with the requirements that this Section imposes thereon as to the use of such insurance proceeds. If the Public Entity elects to maintain general comprehensive liability insurance regarding the Real Property and, if applicable, Facility, then the Public Entity shall have the Council named as an additional named insured therein. The Public Entity may require a Counterparty to provide and maintain any or all of the insurance required under this Section; provided that the Public Entity continues to be responsible for the providing of such insurance in the event that the Counterparty fails to provide or maintain such insurance. At the written request of either the Council or the Commissioner of MMB, the Public Entity shall promptly furnish to the requesting entity all written notices and all paid premium receipts received by the Public Entity regarding the required insurance, or certificates of insurance evidencing the existence of such required insurance. If the Public Entity fails to provide and maintain the insurance required under this Section, then the Council may, at its sole option and discretion, obtain and maintain insurance of an equivalent nature, and any funds expended by the Council to obtain or maintain such insurance shall be due and payable on demand by the Council and bear interest from the date of advancement by the Council at a rate equal to the lesser of the maximum interest rate allowed by law or 18% per annum based upon a 365-day year. Provided, however, nothing contained herein, including but not limited to this Section, shall require the Council to obtain or maintain such insurance, and the Council’s decision to not obtain or maintain such insurance shall not lessen the Public Entity’s duty to obtain and maintain such insurance. 442 Generic GO Bond Proceeds 26 Ver – 10/26/20 Grant Agreement for Program End Grants Section 7.02 Condemnation. If after the Public Entity has acquired the ownership interest delineated in Section 2.02 all or any portion of the Real Property and, if applicable, Facility is condemned to an extent that the Public Entity can no longer comply with the provisions contained in Section 2.04, then the Public Entity shall, at its sole option and discretion, either: (i) use or cause the condemnation proceeds to be used to acquire an interest in additional real property needed for the Public Entity to continue to comply with the provisions contained in Section 2.04 and, if applicable, to fully or partially restore the Facility, and to provide or cause to be provided whatever additional funds that may be needed for such purposes, or (ii) sell the remaining portion of its ownership interest in the Real Property and, if applicable, Facility in accordance with the provisions contained in Section 4.01. Any condemnation proceeds which are not used to acquire an interest in additional real property or to restore, if applicable, the Facility shall be applied in accordance with the provisions contained in Section 4.02 as if the Public Entity’s ownership interest in the Real Property and, if applicable, Facility had been sold, and such amounts shall be credited against the amounts due and owing under Section 4.02 upon the ultimate sale of the Public Entity’s ownership interest in the remaining Real Property and, if applicable, Facility. If the Public Entity elects to sell its ownership interest in the portion of the Real Property and, if applicable, Facility that remains after the condemnation, then such sale must occur within a reasonable time period from the date the condemnation occurred and the cumulative sum of the condemnation proceeds plus the proceeds of such sale must be applied in accordance with the provisions contained in Section 4.02, with the condemnation proceeds being so applied within a reasonable time period from the date they are received by the Public Entity. As recipient of any of condemnation awards or proceeds referred to herein, the Council agrees to and will disclaim,assign or pay over to the Public Entity all of such condemnation awards or proceeds it receives so that the Public Entity can comply with the requirements that this Section imposes upon the Public Entity as to the use of such condemnation awards or proceeds. Section 7.03 Use, Maintenance, Repair and Alterations. The Public Entity shall (i) keep the Real Property and, if applicable, Facility, in good condition and repair, subject to reasonable and ordinary wear and tear, (ii) complete promptly and in good and workmanlike manner any building or other improvement which may be constructed on the Real Property and promptly restore in like manner any portion of the Facility, if applicable, which may be damaged or destroyed thereon and pay when due all claims for labor performed and materials furnished therefor, (iii) comply with all laws, ordinances, regulations, requirements, covenants, conditions and restrictions now or hereafter affecting the Real Property or, if applicable, Facility, or any part thereof, or requiring any alterations or improvements thereto, (iv) keep and maintain abutting grounds, sidewalks, roads, parking and landscape areas in good and neat order and repair, (v) comply with the provisions of any Real Property/Facility Lease if the Public Entity’s ownership interest in the Real Property and, if applicable, Facility, is a leasehold interest, (vi) comply with the provisions of any easement if its ownership interest in the Real Property and, if applicable, Facility is by way of such easement, and (vii) comply with the provisions of any condominium 443 Generic GO Bond Proceeds 27 Ver – 10/26/20 Grant Agreement for Program End Grants documents and any applicable reciprocal easement or operating agreements if the Real Property and, if applicable, Facility, is part of a condominium regime or is subject to a reciprocal easement or use contract. The Public Entity shall not, without the written consent of the Council and the Commissioner of MMB, (a) permit or suffer the use of any of the Real Property or, if applicable, Facility, for any purpose other than the purposes specified in Section 2.04, (b) remove, demolish or substantially alter any of the Real Property or, if applicable, Facility, except such alterations as may be required by laws, ordinances or regulations or such other alterations as may improve such Real Property or, if applicable, Facility by increasing the value thereof or improving its ability to be used to operate the State Program thereon or therein, (c) do any act or thing which would unduly impair or depreciate the value of the Real Property or, if applicable, Facility, (d) abandon the Real Property or, if applicable, Facility, (e) commit or permit any waste or deterioration of the Real Property or, if applicable, Facility, (f) remove any fixtures or personal property from the Real Property or, if applicable, Facility, that was paid for with the proceeds of the Program Grant unless the same are immediately replaced with like property of at least equal value and utility, or (g) commit, suffer or permit any act to be done in or upon the Real Property or, if applicable, Facility, in violation of any law, ordinance or regulation. If the Public Entity fails to maintain the Real Property and, if applicable, Facility in accordance with the provisions contained in this Section, then the Council may perform whatever acts and expend whatever funds that are necessary to so maintain the Real Property and, if applicable, Facility and the Public Entity irrevocably authorizes and empowers the Councilto enter upon the Real Property and, if applicable, Facility, to perform such acts as may to necessary to so maintain the Real Property and, if applicable, Facility. Any actions taken or funds expended by the Council hereunder shall be at its sole option and discretion, and nothing contained herein, including but not limited to this Section, shall require the Council to take any action, incur any expense, or expend any funds, and the Council shall not be responsible for or liable to the Public Entity or any other entity for any such acts that are undertaken and performed in good faith and not in a negligent manner. Any funds expended by the Council to perform such acts as may to necessary to so maintain the Real Property and, if applicable, Facility shall be due and payable on demand by the Council and bear interest from the date of advancement by the Council at a rate equal to the lesser of the maximum interest rate allowed by law or 18% per annum based upon a 365 day year. Section 7.04 Records Keeping and Reporting. The Public Entity shall maintain or cause to be maintained books, records, documents and other evidence pertaining to the costs or expenses associated with the Project and operation of the Real Property and, if applicable, Facility needed to comply with the requirements contained in this Agreement, the G.O. Compliance Legislation, the Commissioner’s Order, and the State Program Enabling Legislation, and upon request shall allow or cause the entity which is maintaining such items to allow the Council, auditors for the 444 Generic GO Bond Proceeds 28 Ver – 10/26/20 Grant Agreement for Program End Grants Council, the Legislative Auditor for the State of Minnesota, or the State Auditor for the State of Minnesota, to inspect, audit, copy, or abstract, all of such items. The Public Entity shall use or cause the entity which is maintaining such items to use generally accepted accounting principles in the maintenance of such items, and shall retain or cause to be retained (i) all of such items that relate to the Project for a period of 6 years from the date that the Project is fully completed and placed into operation, and (ii) all of such items that relate to the operation of the Real Property and, if applicable, Facility for a period of 6 years from the date such operation is initiated. Section 7.05 Inspections by Council. Upon reasonable request by the Council and without interfering with the normal use of the Real Property and, if applicable, Facility, the Public Entity shall allow, and will require any entity to whom it leases, subleases, or enters into a Use Contract for any portion of the Real Property and, if applicable, Facility to allow the Council to inspect the Real Property and, if applicable, Facility. Section 7.06 Data Practices. The Public Entity agrees with respect to any data that it possesses regarding the Program Grant, the Project, or the operation of the Real Property and, if applicable, Facility, to comply with all of the provisions and restrictions contained in the Minnesota Government Data Practices Act contained in Chapter 13 of the Minnesota Statutes that exists as of the date of this Agreement and as such may subsequently be amended, modified or replaced from time to time. Section 7.07 Non-Discrimination. The Public Entity agrees to not engage in discriminatory employment practices regarding the Project, or operation or management of the Real Property and, if applicable, Facility, and it shall, with respect to such activities, fully comply with all of the provisions contained in Chapters 363A and 181 of the Minnesota Statutes that exist as of the date of this Agreement and as such may subsequently be amended, modified or replaced from time to time. Section 7.08 Worker’s Compensation. The Public Entity agrees to comply with all of the provisions relating to worker’s compensation contained in Minn. Stat. §§ 176.181, subd. 2 and 176.182, as they may be amended, modified or replaced from time to time, with respect to the Project and the operation or management of the Real Property and, if applicable, Facility. Section 7.09 Antitrust Claims. The Public Entity hereby assigns to the Council and the Commissioner of MMB all claims it may have for overcharges as to goods or services provided with respect to the Project, and operation or management of the Real Property and, if applicable, Facility that arise under the antitrust laws of the State of Minnesota or of the United States of America. Section 7.10 CONTENTS OF SECTION 7.10 HAVE BEEN DELIBERATELY OMITTED FROM THIS AGREEMENT. 445 Generic GO Bond Proceeds 29 Ver – 10/26/20 Grant Agreement for Program End Grants Section 7.11 Prevailing Wages. The Public Entity agrees to comply with all of the applicable provisions contained in Chapter 177 of the Minnesota Statutes, and specifically those provisions contained in Minn. Stat. §§ 177.41 through 177.435, as theymay be amended, modified or replaced from time to time with respect to the Project and the operation of the State Program on or in the Real Property and, if applicable, Facility. By agreeing to this provision, the Public Entity is not acknowledging or agreeing that the cited provisions apply to the Project or the operation of the State Program on or in the Real Property and, if applicable, Facility. Section 7.12 Liability. The Public Entity and the Council agree that they will, subject to any indemnifications provided herein, be responsible for their own acts and the results thereof to the extent authorized by law, and they shall not be responsible for the acts of the other party and the results thereof. The liability of the Council and the Commissioner of MMB is governed by the provisions contained in Minn. Stat. § 3.736, as it may be amended, modified or replaced from time to time. If the Public Entity is a “municipality” as such term is used in Chapter 466 of the Minnesota Statutes that exists as of the date of this Agreement and as such may subsequently be amended, modified or replaced from time to time, then the liability of the Public Entity, including but not limited to the indemnification provided under Section 7.13, is governed by the provisions contained in such Chapter 466. Section 7.13 Indemnification by the Public Entity. The Public Entity shall bear all loss, expense (including attorneys’ fees), and damage in connection with the Project and operation of the Real Property and, if applicable, Facility, and agrees to indemnify and hold harmless the Council, the Commissioner of MMB, and the State of Minnesota, their agents, servants and employees from all claims, demands and judgments made or recovered against the Council, the Commissioner of MMB, and the State of Minnesota, their agents, servants and employees, because of bodily injuries, including death at any time resulting therefrom, or because of damages to property of the Council, the Commissioner of MMB, or the State of Minnesota, or others (including loss of use) from any cause whatsoever, arising out of, incidental to, or in connection with the Project or operation of the Real Property and, if applicable, Facility, whether or not due to any act of omission or commission, including negligence of the Public Entity or any contractor or his or their employees, servants or agents, and whether or not due to any act of omission or commission (excluding, however, negligence or breach of statutory duty) of the Council, the Commissioner of MMB, or the State of Minnesota, their employees, servants or agents. The Public Entity further agrees to indemnify, save, and hold the Council, the Commissioner of MMB, and the State of Minnesota, their agents and employees, harmless from all claims arising out of, resulting from, or in any manner attributable to any violation by the Public Entity, its officers, employees, or agents, or by any Counterparty, its officers, employees, or agents, of any provision of the Minnesota Government Data Practices Act, including legal fees and disbursements paid or incurred to enforce the provisions contained in Section 7.06. 446 Generic GO Bond Proceeds 30 Ver – 10/26/20 Grant Agreement for Program End Grants The Public Entity’s liability hereunder shall not be limited to the extent of insurance carried by or provided by the Public Entity, or subject to any exclusions from coverage in any insurance policy. Section 7.14 Relationship of the Parties. Nothing contained in this Agreement is intended or should be construed in any manner as creating or establishing the relationship of co- partners or a joint venture between the Public Entity, the Council, or the Commissioner of MMB, nor shall the Public Entity be considered or deemed to be an agent, representative, or employee of the Council, the Commissioner of MMB, or the State of Minnesota in the performance of this Agreement, the Project, or operation of the Real Property and, if applicable, Facility. The Public Entity represents that it has already or will secure or cause to be secured all personnel required for the performance of this Agreement and the Project, and the operation and maintenance of the Real Property and, if applicable, Facility. All personnel of the Public Entity or other persons while engaging in the performance of this Agreement, the Project, or the operation and maintenance of the Real Property and, if applicable, Facility shall not have any contractual relationship with the Council, the Commissioner of MMB, or the State of Minnesota, and shall not be considered employees of any of such entities. In addition, all claims that may arise on behalf of said personnel or other persons out of employment or alleged employment including, but not limited to, claims under the Workers’ Compensation Act of the State of Minnesota, claims of discrimination against the Public Entity, its officers, agents, contractors, or employees shall in no way be the responsibility of the Council, the Commissioner of MMB, or the State of Minnesota. Such personnel or other persons shall not require nor be entitled to any compensation, rights or benefits of any kind whatsoever from the Council, the Commissioner of MMB, or the State of Minnesota including, but not limited to, tenure rights, medical and hospital care, sick and vacation leave, disability benefits, severance pay and retirement benefits. Section 7.15 Notices. In addition to any notice required under applicable law to be given in another manner, any notices required hereunder must be in writing and shall be sufficient if personally served or sent by prepaid, registered, or certified mail (return receipt requested), to the business address of the party to whom it is directed. Such business address shall be that address specified below or such different address as may hereafter be specified, by either party by written notice to the other: To the Public Entity at: «13» «13» «13», MN «13» Attention: «13» 447 Generic GO Bond Proceeds 31 Ver – 10/26/20 Grant Agreement for Program End Grants To the Council at: Metropolitan Council 390 Robert Street North St. Paul, MN 55101 Attention: Regional Administrator To the Commissioner of MMB at: Minnesota Department of Management and Budget 400 Centennial Office Bldg. 658 Cedar St. St. Paul, MN 55155 Attention: Commissioner Section 7.16 Binding Effect and Assignment or Modification. This Agreement and the Declaration shall be binding upon and inure to the benefit of the Public Entity and the Council, and their respective successors and assigns. Provided, however, that neither the Public Entity nor the Council may assign any of its rights or obligations under this Agreement or the Declaration without the prior written consent of the other party. No change or modification of the terms or provisions of this Agreement or the Declaration shall be binding on either the Public Entity or the Council unless such change or modification is in writing and signed by an authorized official of the party or against which such change or modification is to be imposed. Section 7.17 Waiver. Neither the failure by the Public Entity, the Council, or the Commissioner of MMB, as a third party beneficiary of this Agreement, in any one or more instances to insist upon the complete and total observance or performance of any term or provision hereof, nor the failure of the Public Entity, the Council, or the Commissioner of MMB, as a third party beneficiary of this Agreement, to exercise any right, privilege, or remedy conferred hereunder or afforded by law shall be construed as waiving any breach of such term, provision, or the right to exercise such right, privilege, or remedy thereafter. In addition, no delay on the part of the Public Entity, the Council, or the Commissioner of MMB, as a third party beneficiary of this Agreement, in exercising any right or remedy hereunder shall operate as a waiver thereof, nor shall any single or partial exercise of any right or remedy preclude other or further exercise thereof or the exercise of any other right or remedy. Section 7.18 Entire Agreement. This Agreement, the Declaration, and the documents, if any, referred to and incorporated herein by reference embody the entire agreement between the Public Entity and the Council, and there are no other agreements, either oral or written, between the Public Entity and the Council on the subject matter hereof. 448 Generic GO Bond Proceeds 32 Ver – 10/26/20 Grant Agreement for Program End Grants Section 7.19 Choice of Law and Venue. All matters relating to the validity, construction, performance, or enforcement of this Agreement or the Declaration shall be determined in accordance with the laws of the State of Minnesota. All legal actions initiated with respect to or arising from any provision contained in this Agreement shall be initiated, filed and venued in the State of Minnesota District Court located in the City of St. Paul, County of Ramsey, State of Minnesota. Section 7.20 Severability. If any provision of this Agreement is finally judged by any court to be invalid, then the remaining provisions shall remain in full force and effect and they shall be interpreted, performed, and enforced as if the invalid provision did not appear herein. Section 7.21 Time of Essence. Time is of the essence with respect to all of the matters contained in this Agreement. Section 7.22 Counterparts. This Agreement may be executed in any number of counterparts, each of which when so executed and delivered shall be an original, but such counterparts shall together constitute one and the same instrument. Section 7.23 Matching Funds. The Public Entity must obtain and supply the following matching funds, if any, for the Project: NONE Any matching funds which are intended to meet the above requirements must either be in the form of (i) cash monies, (ii) legally binding commitments for money, or (iii) equivalent funds or contributions, including equity, which have been or will be used to pay for the Project. The Public Entity shall supply to the Commissioner of MMB whatever documentation the Commissioner of MMB may request to substantiate the availability and source of any matching funds, and the source and terms relating to all matching funds must be consented to, in writing, by the Commissioner of MMB. Section 7.24 Source and Use of Funds. The Public Entity represents to the Council and the Commissioner of MMB that Attachment III is intended to be and is a source and use of funds statement showing the total cost of the Project and all of the funds that are available for the completion of the Project, and that the information contained in such Attachment III correctly and accurately delineates the following information. A.The total cost of the Project detailing all of the major elements that make up such total cost and how much of such total cost is attributed to each such major element. 449 Generic GO Bond Proceeds 33 Ver – 10/26/20 Grant Agreement for Program End Grants B.The source of all funds needed to complete the Project broken down among the following categories: (i)State funds including the Program Grant, identifying the source and amount of such funds. (ii)Matching funds, identifying the source and amount of such funds. (iii) Other funds supplied by the Public Entity, identifying the source and amount of such funds. (iv) Loans, identifying each such loan, the entity providing the loan, the amount of each such loan, the terms and conditions of each such loan, and all collateral pledged for repayment of each such loan. (v)Other funds, identifying the source and amount of such funds. C.Such other financial information that is needed to correctly reflect the total funds available for the completion of the Project, the source of such funds and the expected use of such funds. Previously paid project expenses that are to be reimbursed and paid from proceeds of the Program Grant may only be included as a source of funds and included in Attachment III if such items have been approved, in writing, by the Commissioner of MMB. If any of the funds included under the source of funds have conditions precedent to the release of such funds, then the Public Entity must provide to the Council and the Commissioner of MMB a detailed description of such conditions and what is being done to satisfy such conditions. The Public Entity shall also supply whatever other information and documentation that the Council or the Commissioner of MMB may request to support or explain any of the information contained in Attachment III. The value of the Public Entity’s ownership interest in the Real Property and, if applicable, Facility should only be shown in Attachment III if such ownership interest is being acquired and paid for with funds shown in such Attachment III, and for all other circumstances such value should be shown in the definition for Ownership Value in Section 1.01 and not included in such Attachment III. The funds shown in Attachment III and to be supplied for the Project may, subject to any limitations contained in the State Program Enabling Legislation, be provided by either the Public Entity or a Counterparty under a Use Contract. Section 7.25 Third-Party Beneficiary. The State Program will benefit the State of Minnesota and the provisions and requirements contained herein are for the benefit of both the 450 Generic GO Bond Proceeds 34 Ver – 10/26/20 Grant Agreement for Program End Grants Council and the State of Minnesota. Therefore, the State of Minnesota, by and through its Commissioner of MMB, is and shall be a third-party beneficiary of this Agreement. Section 7.26 Public Entity Tasks. Any tasks that this Agreement imposes upon the Public Entity may be performed by such other entity as the Public Entity may select or designate, provided that the failure of such other entity to perform said tasks shall be deemed to be a failure to perform by the Public Entity. Section 7.27 Council and Commissioner Required Acts and Approvals. The Council and the Commissioner of MMB shall not (i) perform any act herein required or authorized by it in an unreasonable manner, (ii) unreasonably refuse to perform any act that it is required to perform hereunder, or (iii) unreasonably refuse to provide or withhold any approval that is required of it herein. Section 7.28 Applicability to Real Property and Facility. This Agreement applies to the Public Entity’s ownership interest in the Real Property and if a Facility exists to the Facility. The term “if applicable” appearing in conjunction with the term “Facility” is meant to indicate that this Agreement will apply to a Facility if one exists, and if no Facility exists then this Agreement will only apply to the Public Entity’s ownership interest in the Real Property. Section 7.29 E-Verification.The Public Entity agrees and acknowledges that it is aware of Minn. Stat. § 16C.075 regarding e-verification of employment of all newly hired employees to confirm that such employees are legally entitled to work in the United States, and that it will, if and when applicable, fully comply with such statute and impose a similar requirement in any Use Contract to which it is a party. Section 7.30 Additional Requirements. The Public Entity and the Council agree to comply with the following additional requirements. In the event of any conflict or inconsistency between the following additional requirements and any other provisions or requirement contained in this Agreement, the following additional requirements contained in this Section shall control. NONE «16» [THE REMAINING PORTION OF THIS PAGE WAS INTENTIONALLY LEFT BLANK] 451 Generic GO Bond Proceeds 35 Ver – 10/26/20 Grant Agreement for Program End Grants IN TESTIMONY HEREOF,the Public Entity and the Council have executed this General Obligation Bond Proceeds Grant Agreement End Grant for the ___ ______«1»_________ Project under the 2020 Municipal Inflow/Infiltration Grant Program on the day and date indicated immediately below their respective signatures. PUBLIC ENTITY: «4», a «5» By: «17» Its:«18» Dated: __________________, _____ And: «19» Its:«20» Dated: __________________, _____ COUNCIL: «5», By: Regional Administrator, successor, or delegate Its:«22» Dated: __________________, _____ 452 Generic GO Bond Proceeds 36 Ver – 10/26/20 Grant Agreement for Program End Grants Attachment I to Grant Agreement State of Minnesota General Obligation Bond Financed DECLARATION The undersigned has the following interest in the real property located in the County of ____________, State of Minnesota that is legally described in Exhibit A attached and all facilities situated thereon (collectively, the “Restricted Property”): (Check the appropriate box.) a fee simple title, a lease, or an easement, and as owner of such fee title, lease or easement, does hereby declare that such interest in the Restricted Property is hereby made subject to the following restrictions and encumbrances: A.The Restricted Property is bond financed property within the meaning of Minn. Stat. § 16A.695, is subject to the encumbrance created and requirements imposed by such statute, and cannot be sold, mortgaged, encumbered or otherwise disposed of without the approval of the Commissioner of Minnesota Management and Budget, which approval must be evidenced by a written statement signed by said commissioner and attached to the deed, mortgage, encumbrance or instrument used to sell or otherwise dispose of the Restricted Property; and B.The Restricted Property is subject to all of the terms, conditions, provisions, and limitations contained in that certain [Insert title of the general obligation grant agreement]_ between _______________ and ______________, dated _________, ____. The Restricted Property shall remain subject to this State of Minnesota General Obligation Bond Financed Declaration for 125% of the useful life of the Restricted Property or until the Restricted Property is sold with the written approval of the Commissioner of Minnesota Management and Budget, at which time it shall be released therefrom by way of a written release in recordable form signed by both the Commissioner of [Insert the name of the Council that provided the grant] and the Commissioner of Minnesota Management and Budget, and such written release is recorded in the real estate records relating to the Restricted Property. This Declaration may not be 453 Generic GO Bond Proceeds 37 Ver – 10/26/20 Grant Agreement for Program End Grants terminated, amended, or in any way modified without the specific written consent of the Commissioner of Minnesota Management and Budget. SIGNATURE BLOCK AND ACKNOWLEDGMENT [Grantee] By:______________________________ Title: ____________________________ Dated: ___________________________ STATE OF MINNESOTA ) ) ss. COUNTY OF RAMSEY ) On the _____________ day of ________________, 2023, before me a notary public within and for said County, personally appeared , named in the forgoing instrument as the of [Grantee] and acknowledged said instrument was signed on behalf of said [Grantee] . 454 Generic GO Bond Proceeds 38 Ver – 10/26/20 Grant Agreement for Program End Grants Attachment II to Grant Agreement LEGAL DESCRIPTION OF REAL PROPERTY (For Projects for which a Certification is being submitted, use the description attached to the Certification submitted.) 455 Generic GO Bond Proceeds 39 Ver – 10/26/20 Grant Agreement for Program End Grants Attachment I-A State of Minnesota General Obligation Bond Financed CERTIFICATION The undersigned hereby certifies as follows: This Certification is being submitted pursuant to the Waiver of Real Property Declaration granted by Minnesota Management and Budget to Metropolitan Council for Municipal Publicly- Owned Infrastructure Inflow/Infiltration projects or the portions thereof which lie entirely within public road, street and highway rights-of-way and utility easements. Grantee certifies that Grantee has read and will comply with the terms and conditions of the Waiver of Real Property Declaration, a copy of which is attached to this Certification and further, that the Governmental Program which is the subject of and described in the Municipal Publicly-Owned Infrastructure Inflow/Infiltration Grant Agreement [No.________] between Grantee and Metropolitan Council qualifies for the Waiver of Real Property Declaration attached hereto. [Attach copy of Waiver to this Certification. The Waiver to Metropolitan Council is Attachment V to the Grant Agreement.] The undersigned owns fee title to property and/or permanenteasement and/or other easement which meets the requirements of this Agreement for wastewater collection purposes and/or permit for pipe in City of Chanhassen public right of way which meets the requirements of this Agreement for wastewater collection purposes and a wastewater collection system within the fee title, permanent easement, and/or the other easement and wastewater collection system being located in Carver County, Minnesota. The fee title property, permanent easement and/or other easement and the wastewater collection system therein is referred to as “Restricted Property” and is described in Exhibit A attached hereto by legal description, narrative description or diagram. As the owner of the Restricted Property, the undersigned hereby acknowledges the following restrictions and encumbrances with respect to the Restricted Property: A.The Restricted Property is State bond financed property within the meaning of Minn. Stat. § 16A.695 that exists as of the effective date of the grant agreement identified in paragraph B below, is subject to the encumbrance created and requirements imposed by such statutory provision, and cannot be sold, mortgaged, encumbered or otherwise disposed of without the approval of the Commissioner of Minnesota Management and Budget, or its successor, which approval must be evidenced by a written statement signed by said commissioner and attached to the deed, mortgage, encumbrance or instrument used to sell or otherwise dispose of the Restricted Property; and 456 Generic GO Bond Proceeds 40 Ver – 10/26/20 Grant Agreement for Program End Grants B.The Restricted Property is subject to all of the terms, conditions, provisions, and limitations contained in that certain I/I Municipal Grant Programbetween Metropolitan Council and Grantee, dated _________, ____ (the “G.O. Grant Agreement”). The Restricted Property shall remain subject to this State of Minnesota General Obligation Bond Financed Declaration for as long as the G.O. Grant Agreement is in force and effect; at which time it shall be released therefrom by way of a written release in recordable form signed by both the Metropolitan Council and the Commissioner of Minnesota of Management and Budget, or their successors, and such written release is recorded in the real estate records relating to the Restricted Property. This Certification may not be terminated, amended, or in any way modified without the specific written consent of the Commissioner of Minnesota of Management and Budget, or its successor. SIGNATURE BLOCK AND ACKNOWLEDGMENT By:______________________________ Title: ____________________________ Dated: ___________________________ STATE OF MINNESOTA ) ) ss. COUNTY OF RAMSEY ) On the day of , 2023, before me a notary public within and for said County, personally appeared, named in the forgoing instrument as the City Manager of Grantee and acknowledged said instrument was signed on behalf of said Grantee. _________________________________ Notary Public 457 Generic GO Bond Proceeds 41 Ver – 10/26/20 Grant Agreement for Program End Grants Exhibit A LEGAL DESCRIPTION, NARRATIVE DESCRIPTION, OR MAP OF RESTRICTED PROPERTY 458 Generic GO Bond Proceeds 42 Ver – 10/26/20 Grant Agreement for Program End Grants Attachment III to Grant Agreement SOURCE AND USE OF FUNDS FOR THE PROJECT Source of Funds Use of Funds Identify Source of Funds Amount Identify Items Amount State G.O. Funds Ownership Acquisition Program Grant $_________and Other Items Paid for with Program Grant Funds Other State Funds Purchase of Ownership $_________ _______________$_________Interest _______________$_________Other Items of a Capital _______________$_________Nature Subtotal $_________________________$_________ ________________$_________ Matching Funds ________________$_________ _______________$_________Subtotal $_________ _______________$_________ Subtotal $_________Items Paid for with Non-Program Grant Funds Other Public Entity Funds ________________$_________ _______________$_________________________$_________ _______________$_________________________$_________ Subtotal Subtotal $_________ Loans _______________$_________ _______________$_________ Subtotal $_________ Other Funds _______________$_________ _______________$_________ Subtotal $_________- Prepaid Project Expenses _______________$_________ _______________$_________ Subtotal $_________ TOTAL FUNDS $_________TOTAL PROJECT COSTS $_________ 459 Generic GO Bond Proceeds 43 Ver – 10/26/20 Grant Agreement for Program End Grants 460 Generic GO Bond Proceeds 44 Ver – 10/26/20 Grant Agreement for Program End Grants Attachment IV to Grant Agreement GRANT APPLICATION «24» 461 Generic GO Bond Proceeds 45 Ver – 10/26/20 Grant Agreement for Program End Grants 462 City Council Item February 13, 2023 Item Resolution 2023-XX: Approve 2023 Enterprise Fund Budgets and 2023-2027 Enterprise Fund Capital Improvement Plan File No.Item No: D.17 Agenda Section CONSENT AGENDA Prepared By Kelly Grinnell, Finance Director Reviewed By Laurie Hokkanen SUGGESTED ACTION "The Chanhassen City Council adopts a resolution approving the 2023 Enterprise Fund Budgets and 2023-2027 Enterprise Fund Capital Improvement Plan." Motion Type Simple Majority Vote of members present Strategic Priority Financial Sustainability SUMMARY At the January 23, 2023 council meeting, the council approved 2023 rates for the Water, Sewer, and Storm Water Funds based on the results of the rate study which incorporated projected operating, capital, and debt service revenues and expenses. The final step in the 2023 budget process is council adoption of the 2023 budget and 2023-2027 Capital Improvement Plan (CIP) for these funds. The attached report provides a breakdown of revenues and expenses for each fund. The report also shows the total of planned capital improvements for 2023-2027 for each fund. An additional report lists the capital projects by line item. BACKGROUND DISCUSSION 463 BUDGET RECOMMENDATION ATTACHMENTS Resolution Staff Report - Adopt 2023 EF Budgets and 2023-27 CIP 2023-02-13 Enterprise Funds CIP 2023-2027 464 CITY OF CHANHASSEN CARVER AND HENNEPIN COUNTIES, MINNESOTA DATE: February 13, 2023 RESOLUTION NO: 2023-XX MOTION BY: SECONDED BY: A RESOLUTION APPROVING 2023 ENTERPRISE FUND BUDGETS AND 2023-2027 ENTERPRISE FUND CAPITAL IMPROVEMENT PLAN WHEREAS, the City Council has examined the budgetary and capital needs for the Enterprise Funds of the City of Chanhassen for the calendar year 2023. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Chanhassen that the 2023 budget for the following funds is adopted in the following amounts: Enterprise Fund Revenues & Transfers In Expenditures & Transfers Out Water Fund $5,958,627 $6,734,065 Sewer Fund $5,363,354 $5,307,337 Storm Water Management Fund $4,120,640 $3,987,011 Total Enterprise Funds $15,442,621 $16,028,413 BE IT FURTHER RESOLVED by the City Council of the City of Chanhassen that the 2023-2027 Capital Improvement Plan is adopted in the following amounts, with the 2023 projects included in fund budgets and projects for years 2024-2027 adopted conceptually: Enterprise Fund 2023 2024 2025 2026 2027 Water Fund $1,709,661 $2,691,061 $2,600,261 $3,370,461 $4,471,705 Sewer Fund $972,661 $3,318,061 $1,560,061 $1,643,161 $3,788,305 Storm Water Management Fund $2,185,500 $2,189,000 $2,164,000 $2,148,500 $2,000,000 Total Enterprise Funds $4,867,822 $8,198,122 $6,324,322 $7,162,122 $10,260,010 PASSED AND ADOPTED by the Chanhassen City Council this 13th day of February2023. ATTEST: Kim Meuwissen, City Clerk Elise Ryan, Mayor YES NO ABSENT 465 Enterprise Fund Budgets and Capital Improvement Plan At the January 23, 2023, council meeting, the council approved 2023 rates for the Water, Sewer, and Storm Water Funds based on the results of the rate study which incorporated projected operating, capital, and debt service revenues and expenses. The final step in the 2023 budget process is council adoption of the 2023 budget and 2023-2027 Capital Improvement Plan (CIP) for these funds. 2023 Budget The table below shows the proposed 2023 final budgets for the Water, Sewer, and Storm Water Funds: Water Sewer Storm Water Total Revenues Operating Revenues $4,036,000 $3,976,165 $1,780,300 $9,792,465 Connection Fees 1,277,627 337,189 117,340 1,732,156 Other Revenues 145,000 150,000 73,000 368,000 Bond Proceeds 500,000 900,000 2,150,000 3,550,000 Total Revenues $5,958,627 $5,363,354 $4,120,640 $15,442,621 Expenses Operating Expenses $2,704,696 $4,069,553 $1,659,986 $8,434,235 Debt Service 2,319,708 265,123 141,525 2,726,356 CIP Items 1,709,661 972,661 2,185,500 4,867,822 Total Expenses $6,734,065 $5,307,337 $3,987,011 $16,028,413 Revenues in Excess/(Deficient) of Expenses $(775,438)$56,017 $133,629 $(585,792) 2023-2027 Capital Improvement Plan The table below shows planned capital improvements for 2023 through 2027. The items for 2023 have been incorporated into the budgets above. All CIP items get presented to Council before purchase. Fund 2023 FY 2024 FY 2025 FY 2026 FY 2027 FY Total Water $1,709,661 $2,691,061 $2600,261 $3,370,461 $4,471,705 $14,843,149 Sewer 972,661 3,318,061 1,560,061 1,643,161 3,788,305 $11,282,249 Storm Water 2,185,500 2,189,000 2,164,000 2,148,500 2,000,000 $10,687,000 Total $4,867,822 $8,198,122 $6,324,322 $7,162,122 $10,260,010 $36,812,398 The attached report shows a breakdown of the CIP items. 466 467 CITY OF CHANHASSEN 2023-2027 ENTERPRISE FUNDS CAPITAL IMPROVEMENT PLAN Project Number Request Title FY2023 FY2024 FY2025 FY2026 FY2027 Total Utility Fund - Water F-306 Vehicle #306 - Utilities Light Duty Pickup $3,600.00 $3,600.00 $3,600.00 $3,600.00 $14,400.00 T-177 IT - Finance Software Replacement $40,000.00 $40,000.00 $80,000.00 TUtil-041W Water - WTP Server & SCADA Replacement $70,000.00 $70,000.00 F-317 Vehicle #317 - Utilities Light Duty Pickup $7,200.00 $7,200.00 $14,400.00 F-315 Vehicle #315 - Utilities Light Duty Pickup $7,200.00 $7,200.00 $7,200.00 $21,600.00 F-316 Vehicle #316 - Utilities Light Duty Pickup $3,600.00 $3,600.00 $7,200.00 F-314 Vehicle #314 - Utilities Light Duty Pickup $3,600.00 $3,600.00 $3,600.00 $3,600.00 $14,400.00 F-307 Vehicle #307 - Utilities Compact SUV $3,600.00 $3,600.00 $3,600.00 $3,600.00 $3,950.00 $18,350.00 F-310 Vehicle #310 - Utilities Light Duty Pickup $3,600.00 $3,600.00 $3,600.00 $3,600.00 $14,400.00 SWMP-062 Equipment - Track Mats with Grappler Attachment $7,000.00 $7,000.00 SS-024 Sewer - Lower Bluff Creek Trunk Utility Improvements $1,100,000.00 $1,100,000.00 W-073 Water - EWTP Site Improvements $100,000.00 $100,000.00 W-072 Water - Pressure Reducing Valve Improvements $150,000.00 $150,000.00 W-069 Water - WTP Radon & Humidification Improvements $120,000.00 $120,000.00 W-068 Water - WTP Facility Deferred Maintenance $80,000.00 $82,000.00 $84,000.00 $86,000.00 $88,000.00 $420,000.00 W-065 Water - Trunk Watermain Maintenance $280,000.00 $290,000.00 $300,000.00 $870,000.00 F-100D Equipment - Compacting Attachment for Excavator $2,500.00 $2,500.00 F-100C Equipment - Breaker Bar Attachment $2,500.00 $2,500.00 MBPW-045 Facilities - Public Works Security Fencing & Access Control $47,000.00 $47,000.00 MBPW-043 Facilities - Public Works Fuel Tank Monitoring System Upgrade $3,500.00 $3,500.00 MBPW-042 Facilities - Public Works Fuel Island Canopy $50,000.00 $50,000.00 SWMP-057 Stormwater - Downtown Water Reuse Project $50,000.00 $50,000.00 W-032 Water - Annual Well Rehabilitation $177,000.00 $110,000.00 $51,000.00 $124,000.00 $76,000.00 $538,000.00 TUtil-040W Water - Fiber Connectivity $15,500.00 $16,000.00 $16,500.00 $17,000.00 $17,500.00 $82,500.00 F-396 Equipment #396 - Mechanical Self-Propelled Floor Scrubber $28,900.00 $28,900.00 F-313 Vehicle #313 - Sewer Vactor/Jetting Truck $145,000.00 $145,000.00 F-308 Vehicle #308 - Utilities Light Duty Pickup $3,600.00 $3,600.00 $3,600.00 $3,600.00 $3,950.00 $18,350.00 F-305 Vehicle #305 - Utilities Light Duty Pickup $4,461.00 $4,461.00 $4,461.00 $4,461.00 $4,905.00 $22,749.00 F-303 Vehicle #303 - Utilities Light Duty Pickup $3,600.00 $3,600.00 $3,600.00 $3,600.00 $14,400.00 F-302 Vehicle #302 - Utilities Lift Station Service Truck $80,000.00 $80,000.00 ST-054 Streets - Pleasant View Road Reconstruction $800,000.00 $800,000.00 $1,600,000.00 ST-050 Streets - Crimson Bay Road/Dogwood Road Connection $200,000.00 $200,000.00 ST-049 Streets - Lake Drive East/Great Plains Improvements $50,000.00 $50,000.00 ST-048 Streets - Market Blvd Improvements $120,000.00 $120,000.00 ST-040 Streets - Galpin Blvd Imp (Hwy 5 N to City Limits)$275,000.00 $275,000.00 $550,000.00 ST-012-2027 Streets - 2027 Street Improvements $1,900,000.00 $1,900,000.00 ST-012-2026 Streets - 2026 Street Improvements $1,888,000.00 $1,888,000.00 ST-012-2025 Streets - 2025 Street Improvements $1,876,000.00 $1,876,000.00 ST-012-2024 Streets - 2024 Street Improvements $1,852,000.00 $1,852,000.00 ST-012-2023 Streets - 2023 Street Improvements $700,000.00 $700,000.00 Total Utility Fund - Water $1,709,661.00 $2,691,061.00 $2,600,261.00 $3,370,461.00 $4,471,705.00 $14,843,149.00 468 CITY OF CHANHASSEN 2023-2027 ENTERPRISE FUNDS CAPITAL IMPROVEMENT PLAN Project Number Request Title FY2023 FY2024 FY2025 FY2026 FY2027 Total Utility Fund - Sewer F-306 Vehicle #306 - Utilities Light Duty Pickup $3,600.00 $3,600.00 $3,600.00 $3,600.00 $14,400.00 T-177 IT - Finance Software Replacement $40,000.00 $40,000.00 $80,000.00 P-LAB Parks - Lake Ann Park Beach Improvements $20,000.00 $20,000.00 F-316 Vehicle #316 - Utilities Light Duty Pickup $3,600.00 $3,600.00 $7,200.00 F-314 Vehicle #314 - Utilities Light Duty Pickup $3,600.00 $3,600.00 $3,600.00 $3,600.00 $14,400.00 F-307 Vehicle #307 - Utilities Compact SUV $3,600.00 $3,600.00 $3,600.00 $3,600.00 $3,950.00 $18,350.00 F-310 Vehicle #310 - Utilities Light Duty Pickup $3,600.00 $3,600.00 $3,600.00 $3,600.00 $14,400.00 SWMP-062 Equipment - Track Mats with Grappler Attachment $7,000.00 $7,000.00 TUtil-041S Sewer - Fiber Connectivity $15,500.00 $16,000.00 $16,500.00 $17,000.00 $17,500.00 $82,500.00 SS-028 Sewer - Lift Station #3 Forcemain Replacement $130,000.00 $130,000.00 SS-027 Sewer - Lift Station Access Improvements $0.00 $125,000.00 $125,000.00 $250,000.00 SS-024 Sewer - Lower Bluff Creek Trunk Utility Improvements $1,800,000.00 $1,800,000.00 SS-020 Sewer - Proposed 2010 MUSA Sanitary Sewer Lift Station $1,400,000.00 $1,400,000.00 SS-017 Sewer - Annual Sanitary Sewer Lift Station Rehabilitation $170,000.00 $150,000.00 $95,000.00 $100,000.00 $105,000.00 $620,000.00 SS-012 Sewer - Inflow and Infiltration Abatement $210,000.00 $220,000.00 $230,000.00 $240,000.00 $250,000.00 $1,150,000.00 F-100D Equipment - Compacting Attachment for Excavator $2,500.00 $2,500.00 F-100C Equipment - Breaker Bar Attachment $2,500.00 $2,500.00 MBPW-045 Facilities - Public Works Security Fencing & Access Control $47,000.00 $47,000.00 MBPW-043 Facilities - Public Works Fuel Tank Monitoring System Upgrade $3,500.00 $3,500.00 MBPW-042 Facilities - Public Works Fuel Island Canopy $50,000.00 $50,000.00 F-313 Vehicle #313 - Sewer Vactor/Jetting Truck $435,000.00 $435,000.00 F-308 Vehicle #308 - Utilities Light Duty Pickup $3,600.00 $3,600.00 $3,600.00 $3,600.00 $3,950.00 $18,350.00 F-305 Vehicle #305 - Utilities Light Duty Pickup $4,461.00 $4,461.00 $4,461.00 $4,461.00 $4,905.00 $22,749.00 F-303 Vehicle #303 - Utilities Light Duty Pickup $3,600.00 $3,600.00 $3,600.00 $3,600.00 $14,400.00 F-302 Vehicle #302 - Utilities Lift Station Service Truck $80,000.00 $80,000.00 ST-054 Streets - Pleasant View Road Reconstruction $200,000.00 $200,000.00 $400,000.00 ST-050 Streets - Crimson Bay Road/Dogwood Road Connection $200,000.00 $200,000.00 ST-049 Streets - Lake Drive East/Great Plains Improvements $50,000.00 $50,000.00 ST-048 Streets - Market Blvd Improvements $40,000.00 $40,000.00 ST-040 Streets - Galpin Blvd Imp (Hwy 5 N to City Limits)$125,000.00 $125,000.00 $250,000.00 ST-012-2027 Streets - 2027 Street Improvements $950,000.00 $950,000.00 ST-012-2026 Streets - 2026 Street Improvements $944,000.00 $944,000.00 ST-012-2025 Streets - 2025 Street Improvements $938,000.00 $938,000.00 ST-012-2024 Streets - 2024 Street Improvements $926,000.00 $926,000.00 ST-012-2023 Streets - 2023 Street Improvements $250,000.00 $250,000.00 F-397 Equipment - Trailer Mounted Vactor $50,000.00 $50,000.00 Total Utility Fund - Sewer $972,661.00 $3,318,061.00 $1,560,061.00 $1,643,161.00 $3,788,305.00 $11,282,249.00 469 CITY OF CHANHASSEN 2023-2027 ENTERPRISE FUNDS CAPITAL IMPROVEMENT PLAN Project Number Request Title FY2023 FY2024 FY2025 FY2026 FY2027 Total Utility Fund - SW Mgmt T-177 IT - Finance Software Replacement $20,000.00 $20,000.00 $40,000.00 SWMP-062 Equipment - Track Mats with Grappler Attachment $7,000.00 $7,000.00 SS-027 Sewer - Lift Station Access Improvements $50,000.00 $75,000.00 $125,000.00 F-100D Equipment - Compacting Attachment for Excavator $2,500.00 $2,500.00 MBPW-045 Facilities - Public Works Security Fencing & Access Control $47,000.00 $47,000.00 MBPW-043 Facilities - Public Works Fuel Tank Monitoring System Upgrade $3,500.00 $3,500.00 MBPW-042 Facilities - Public Works Fuel Island Canopy $50,000.00 $50,000.00 MBFire-047 Facilities - Fire Station 1 Improvements $25,000.00 $25,000.00 SWMP-061 Stormwater - Red Cedar Point Water Quality Improvements $200,000.00 $200,000.00 SWMP-057 Stormwater - Downtown Water Reuse Project $50,000.00 $50,000.00 SWMP-048 Stormwater - Upper Riley Creek Channel Stabilization $600,000.00 $600,000.00 SWMP-046 Stormwater - Lotus Lake Channels & Outfall Improvements $50,000.00 $50,000.00 SWMP-032 Stormwater - Annual Stormwater Pond Improvements $150,000.00 $500,000.00 $525,000.00 $550,000.00 $575,000.00 $2,300,000.00 F-136 Vehicle #136 - Streets Broom Street Sweeper $350,000.00 $350,000.00 ST-051 Streets - MMSW Access Improvements $100,000.00 $100,000.00 ST-050 Streets - Crimson Bay Road/Dogwood Road Connection $100,000.00 $100,000.00 ST-049 Streets - Lake Drive East/Great Plains Improvements $100,000.00 $100,000.00 ST-048 Streets - Market Blvd Improvements $40,000.00 $40,000.00 ST-012-2027 Streets - 2027 Street Improvements $1,425,000.00 $1,425,000.00 ST-012-2026 Streets - 2026 Street Improvements $1,416,000.00 $1,416,000.00 ST-012-2025 Streets - 2025 Street Improvements $1,407,000.00 $1,407,000.00 ST-012-2024 Streets - 2024 Street Improvements $1,389,000.00 $1,389,000.00 ST-012-2023 Streets - 2023 Street Improvements $750,000.00 $750,000.00 F-397 Equipment - Trailer Mounted Vactor $50,000.00 $50,000.00 P-LAB Parks - Lake Ann Park Beach Improvements $60,000.00 $60,000.00 Total Utility Fund - SW Mgmt $2,185,500.00 $2,189,000.00 $2,164,000.00 $2,148,500.00 $2,000,000.00 $10,687,000.00 Total All Utility Funds $4,867,822.00 $8,198,122.00 $6,324,322.00 $7,162,122.00 $10,260,010.00 $36,812,398.00 $36,812,398.00 470 City Council Item February 13, 2023 Item Resolution 2023-XX: Amend 2023 Cemetery Fund Budget File No.Item No: D.18 Agenda Section CONSENT AGENDA Prepared By Kelly Grinnell, Finance Director Reviewed By Laurie Hokkanen SUGGESTED ACTION "The Chanhassen City Council adopts a resolution amending the 2023 Cemetery Fund budget." Motion Type Simple Majority Vote of members present Strategic Priority Financial Sustainability SUMMARY The City Council approved budgets and the Capital Improvement Plan (CIP) for all the Government Funds on December 12, 2022. Since then, staff has determined that it will not proceed with the $25,000 driveway improvement project for the Cemetery Fund in 2023. Staff recommends the Council adopt an amended Cemetery Fund budget and CIP. The attached resolution provides the revised budget and CIP amounts. BACKGROUND DISCUSSION BUDGET 471 RECOMMENDATION ATTACHMENTS Resolution 472 CITY OF CHANHASSEN CARVER AND HENNEPIN COUNTIES, MINNESOTA DATE: February 13, 2023 RESOLUTION NO: 2023-XX MOTION BY: SECONDED BY: A RESOLUTION AMENDING 2023 CEMETERY FUND BUDGET AND REMOVING CEMETERY FUND ITEM FROM 2023-2027 CAPITAL IMPROVEMENT PLAN WHEREAS, the City Council approved a 2023 budget for the Cemetery Fund on December 12, 2022; and WHEREAS, City staff recommends that the Cemetery Fund expenditure budget for 2023 be amended to remove the $25,000 capital item for driveway improvements. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Chanhassen that the 2023 expenditure budget for the Cemetery Fund is amended as follows: Cemetery Fund Adopted on 12/12/2022 Amended on 2/13/2023 Expenditures $29,000 $4,000 BE IT FURTHER RESOLVED by the City Council of the City of Chanhassen that the 2023 Capital Improvement Plan item for driveway improvements for the Cemetery Fund is removed as follows: Cemetery Fund Adopted on 12/12/2022 Amended on 2/13/2023 Capital Improvement Plan Item $25,000 $0 PASSED AND ADOPTED by the Chanhassen City Council this 13thday of February2023. ATTEST: Kim Meuwissen, City Clerk Elise Ryan, Mayor YES NO ABSENT 473 City Council Item February 13, 2023 Item Resolution 2023-XX: Designating Official Depositories for City Funds File No.Item No: D.19 Agenda Section CONSENT AGENDA Prepared By Kelly Grinnell, Finance Director Reviewed By Laurie Hokkanen SUGGESTED ACTION "The Chanhassen City Council adopts a resolution designating official city depositories for city funds." Motion Type Simple Majority Vote of members present Strategic Priority Financial Sustainability SUMMARY The City Council adopted Resolution 2023-06 Designating Official Depositories for City Funds on January 9, 2023. The resolution approved Americana Community Bank, which is the city's primary bank account, and the 4M Fund, which is used primarily for bond proceeds. The resolution approved the use of two brokers to purchase investments: Wells Fargo Securities, LLC and Northland Securities. Since then, staff has met with UBS Financial Services, Inc. to discuss their broker services. UBS Financial Services, Inc. creates investment portfolio reports that contain useful information for staff. Staff recommends that the City Council adopt the attached resolution, which adds UBS Financial Services, Inc. to the designated depositories list. The city does not pay brokers directly for their services, but rather they are paid a commission by the bank or institution offering an investment. BACKGROUND 474 DISCUSSION BUDGET RECOMMENDATION ATTACHMENTS Resolution 475 1 CITYOFCHANHASSEN CARVERANDHENNEPINCOUNTIES, MINNESOTA DATE: February13, 2023 RESOLUTION NO:2023-XX MOTION BY:SECONDED BY: RESOLUTIONDESIGNATINGOFFICIAL DEPOSITORIES FOR CITY FUNDS NOW HEREBY, BE IT RESOLVED That the following institutions are hereby designated as depositories for the funds of the City of Chanhassen: AmericanaCommunityBank 4M Fund UBSFinancialServices,Inc. Wells Fargo Securities, LLC Northland Securities BE IT FURTHER RESOLVED that before any deposits are made that exceed the amount that is guaranteed by the Federal Deposit Insurance Corporation (FDIC), the depository must supply to the City a corporate surety bonds in the amount of at least 10 percent more than the amount on deposit at the depository’s cutoff hour. The bond is subject to the approval of the City Council. The surety bond must be conditioned to repay the above amount or any part thereof upon proper demand therefore and to perform such other duties in connection with the deposit as the Council may require; and BE IT FURTHER RESOLVED that, in lieu of the above bond, the depository may furnish collateral in the manner and to the extent permitted by law. All such collateral must be approved by the Council and accompanied by a written assignment providing that, upon default, the financial institution shall release to the City on demand, free of exchange or any other charges, the collateral pledged. BE IT FURTHER RESOLVED that all collateral must be placed in safekeeping in a restricted account at either a Federal Reserve Bank or in an account at a trust department of a commercial bank or financial institution that is not owned or controlled by the financial institution that is furnishing the collateral. The selection must be approved the City Council. In case of default upon the part of the depository, the Council of the City shall have full power and authority to sell such collateral or as much may be necessary to realize the full amount due the City over such federal guarantee. 476 2 PASSED AND ADOPTED by the Chanhassen City Council this 13th day of February 2023. ATTEST: Kim Meuwissen, City Clerk Elise Ryan, Mayor YES NO ABSENT 477 City Council Item February 13, 2023 Item Resolution 2023-XX: Authorize Abatement of Emerald Ash Borer Nuisance on Property Located at 951 West 78th Street File No.Item No: D.20 Agenda Section CONSENT AGENDA Prepared By Kim Meuwissen, City Clerk Reviewed By Laurie Hokkanen SUGGESTED ACTION "The Chanhassen City Council authorizes abatement of the Emerald Ash Borer nuisance on property located at 951 West 78th Street." Motion Type Simple Majority Vote of members present Strategic Priority N/A SUMMARY BACKGROUND In early November of 2022 the City Forester inspected the property located at 951 West 78th Street and identified 10 trees infested with Emerald Ash Borer (EAB). In accordance with Section 13-35(a) of the Chanhassen City Code, the attached notice was sent to the property owner to remove the infested trees by January 15, 2023. The property owner did not comply. DISCUSSION In accordance with Section 13-4 of the Chanhassen City Code, prior to abatement, the forester is required to notify the council that the abatement order has not been complied with, and request that the council direct the nuisance be abated at the expense of the city and order the expense to be assessed to 478 the property. This step needs to occur before we can send out an abatement notice of the city's intent to remove the infested trees along with a Right-of-Entry form. BUDGET RECOMMENDATION Staff recommends that the City Council adopt the attached resolution ordering the abatement of the nuisance. ATTACHMENTS Resolution Notice to Remove Ash Trees from Private Property located at 951 West 78th Street Draft Notice of EAB Nuisance Abatement at 951 West 78th Street Right of Entry for EAB Nuisance Abatement at 951 West 78th Street 479 CITY OF CHANHASSEN CARVER AND HENNEPIN COUNTIES, MINNESOTA DATE: February 3, 2023 RESOLUTION NO: 2023-XX MOTION BY: SECONDED BY: A RESOLUTION AUTHORIZING ABATEMENT OF EMERALD ASH BORER NUISANCE ON PROPERTY LOCATED AT 951 WEST 78TH STREET WHEREAS,in early November of 2022 the City Forester inspected the property located at 951 West 78th Street and identified 10 trees infested with Emerald Ash Borer (EAB); and WHEREAS,In accordance with Section 13-35(a) of the Chanhassen City Code, a notice was sent to the property owner to remove the infested trees by January 15, 2023; and WHEREAS,the property owner did not comply with the notice; and WHEREAS,in accordance with Section 13-4 of the Chanhassen City Code, prior to abatement, the forester is required to notify the council that the abatement order has not been complied with, and request that the council direct the nuisance be abated at the expense of the city and order the expense to be assessed to the property. NOW, THEREFORE, BE IT RESOLVED that the Chanhassen City Council hereby authorizes the abatement of the Emerald Ash Borer nuisance onproperty located at 951 West 78 th Street. PASSED AND ADOPTED by the Chanhassen City Council this 13 th day ofFebruary,2022. ATTEST: Kim Meuwissen, City Clerk Elise Ryan, Mayor YES NO ABSENT 480 Chanhassen is a Community for Life - providing for Today and Planning for Tomonow Deadline to remove tree(s): Under existing city ordinance, inGsted tree(s) must be removed and properly disposed of within 20 days ofthe receipt of this letter. Removals may occur only between Oct. I and May l. If the tree is able to be treated as determined by a licensed tree care company, the city will accept treatment as a valid option in lieu of removal. The deadline to remove the tree(s): _January 15, 2023_ Trees marked in the summer may be removed after Sept. 30. Removal procedure for infested tree(s): Infested trees must be removed as flush as possible to groundline (6" or less). The stump need not be taken out ofthe ground. The wood must be completely chipped if kept on site. In no circumstances is infested wood allowed to be stored within the city limits. Ifa private company is hired to remove infested tree(s), it must do so before the required deadline and dispose ofthe wood according to MN Dept. of Agriculture guidelines. Failure to remove S \ lf no action is taken by the property owner by the deadline above, the city will issue a citation to the property owner. Commercial Propertv Tree Ren acement Reouirement All ash trees removed from a non-residential property must be replaced on site on a l:l basis. The deadline to replace trees is within 6 mos. or by June 30 ofthe following year ifthe trees were removed between October to December. The deadlinetoreplacethetree(s):-Julyl'2023:l0treestoreplace- Inspection ofthe removal(s) will take place by the deadline date. Please confirm the treqs) has been removed and properly disposed by submitting the information below by mail, phone or e-mail to: Chanhassen City Hall Phone:952-227-1133 (texts not accepted) Attn: Jill Sinclair E-mail: jsinclair@ci.chanhassen.mn.us 7700 Market Boulevard Chanhassen, MN 55317 Property address:_95 I W 78'h St- Number of trees marked:_10_ Deadline for removal: 0l/15 /2023 _ Location oftree(s): See back ofpage PH 952.227.1100. www.ci.chanhassen.mn.us . FX 952.227.1110 77OO MARKET BOULEVARD .PO BOX I47 .CHANHASSEN .MINNESOTA 553]7 Y \ t \ 't fl[ CITY OT CHAI'IIIASSII'I NOTICE TO REMOVE ASH TREE(S) FROM PRIVATE PROPERTY The City ofChanhassen is dedicated to ensuring the health and safety of its urban forest. In agreement with this commitment, all ash trees infested with emerald ash borer (EAB) pose a threat to healthy ash in our community. A city tree inspector, in accordance with Ordinance No.229, has inspected your property and found infested trees. Although only specific trees are marked, all ash trees on the property should be managed at this time with either removal or treatment. Thank you for your cooperation in protecting Chanhassen's trees. 481 482 February 8, 2023 Halla Family LP 6601 Mohawk Trail Edina, MN 55439 RE:951 W 78th Street, DChanhassen, MN To Whom it May Concern, I am writing to let you know that the city of Chanhassen sent you a notice to remove and replace 10 ash trees that have been found to be infested with Emerald Ash Borer (EAB) at the above-noted property. The deadline to remove the trees was on 01/15/2023. The City Council has been notified that you have not complied with the abatement order and has directed the city forester to abate the nuisance at the expense of the City and to recover such expenditures by special assessment against the property and certify the same to the county auditor for collection. The City will be moving forward with the abatement process. Please sign the enclosed Right of Entry form included with this letter that provides for the City to remove the identified trees and return the signed form to me by 02/23/2023. You can either send it via USPS, fax the agreement to my attention at 952-227-1110, or email it to me. If you fail to return the signed document the City will get an Administrative Search Warrant to complete the abatement process to access the property and remove the trees. Thank you for your cooperation. Please contact me if you have any questions or concerns. Sincerely, Manuel Jordan City Forester 952-227-1133 mjordan@chanhassenmn.gov 483 RIGHT OF ENTRY Property Address:__________951 W 78th St_________________________ Property Owners: __________Halla Family LP______________________ Tree(s): ______10 green ash trees on the property (tree diameters: 10”, 9”, 11”, 134”, 14”, 15”, 9”, 9”, 8” & 15” - See map of approximate location of the of tree(s) attached WHEREAS, the City of Chanhassen (“City”) has identified a Tree or Trees on the Property that is hazardous, threatening City infrastructure or is an ash tree that is infested with emerald ash borer and has been declared a nuisance; WHEREAS, nuisance tree(s) must be removed pursuant to City Code; WHEREAS,Undersigned has agreed to allow theCity entry to the Property and permission to remove the nuisance Tree(s) who’s removal will also benefit the Property; NOW, THEREFORE, FOR GOOD AND VALUABLE CONSIDERATION, THE UNDERSIGNED HERETO AGREES AS FOLLOWS: 1.The Undersigned does covenant with the City, its successors and assigns, that the Undersigned is well seized in fee title to Property and that the Undersigned has the right to grant and convey this right-of-entry to the City. 2.The Undersigned hereby grant to the City, its agents and contractors, a temporary right-of- entry for the purposes of removing the Tree(s). This right of entry shall be in effect beginning on the date of execution of this Agreement by the Undersigned until April 1st, 2023. 3.This Right of Entry is granted with the understanding that the City shall not restore the Property to a condition to which it existed prior to its entry upon the Property, and the City’s work will be solely to remove the nuisance Tree(s). UNDERSIGNED: HALLA FAMILY LP BY:______________________________________ Print Name:________________________________ Its: 484 485 City Council Item February 13, 2023 Item Approve an Encroachment Agreement between City of Chanhassen and Grant and Julie Johnson File No.Item No: D.21 Agenda Section CONSENT AGENDA Prepared By Stacy Osen, Administrative Support Specialist Reviewed By Charlie Howley SUGGESTED ACTION "The Chanhassen City Council approves an encroachment agreement allowing Grant and Julie Johnson to keep a previously constructed retaining wall installed on the subject property that will encroach into the city's easement area located at 6250 Murray Hill Road." Motion Type Simple Majority Vote of members present Strategic Priority Asset Management SUMMARY BACKGROUND The property owner of 6250 Murray Hill Road, (Grant and Julie Johnson) have previously constructed and installed a retaining wall on the property, which is legally described as Lot 3, Block 1, Murray Hillside One. This retaining wall encroaches into the city's easement areas. In order to keep the retaining wall property owner must enter into an encroachment agreement with the city. DISCUSSION The attached encroachment agreement was drafted by the City Attorney's office. The property owner has signed the encroachment agreement which requires City Council approval before the permit can be 486 issued. Specific conditions are outlined in the agreement. Upon city approval and execution, the encroachment agreement will be recorded against the property. BUDGET RECOMMENDATION Staff recommends City Council approve the Encroachment Agreement. ATTACHMENTS Encroachment Agreement-6250 Murray Hill Road 487 225190v1 (reserved for recording information) ENCROACHMENT AGREEMENT AGREEMENT made this _______ day of _____________, 2023, by and between the CITY OF CHANHASSEN, a Minnesota municipal corporation (“City”), and GRANT JOHNSON and JULIE JOHNSON, married to each other (“Johnsons” or “Owners”). 1. BACKGROUND. Johnsons are the fee owners of certain real property located in the City of Chanhassen, County of Carver, State of Minnesota, legally described as follows: Parcel ID No. 25.5490030 Lot 3, Block 1, Murray Hillside One (abstract) having a street address of 6250 Murray Hill Road, Chanhassen, Minnesota 55331 (“Subject Property”). The City owns easements for drainage and utility purposes over portions of the Subject Property (“Easement Areas”). A retaining wall was previously constructed and installed on the Subject Property and the Johnsons desire to keep the retaining wall located on the Subject Property which encroaches on the City’s Easements Areas as depicted on the attached Exhibit “A”. 488 225190v1 2. ENCROACHMENT AUTHORIZATION. The City hereby approves the encroachment in its Easement Areas on the Subject Property for the retaining wall subject to the conditions set forth in this Agreement. Further conditions of encroachment approval are as follows: • The City shall have no responsibility to maintain or repair the retaining wall located within the Easement Areas. • The retaining wall located on the Subject Property must not impact or increase water drainage on the abutting properties or cause any adverse drainage patterns or erosion to the abutting properties. • The Owners, their heirs, successors and assigns, are fully responsible and liable for any and all damage caused to the retaining wall within the Easement Areas. • The Owners of the Subject Property will own and maintain the retaining wall. Further, Owners agree that the retaining wall was constructed consistent with all applicable federal, state and local laws and regulations. 3. HOLD HARMLESS AND INDEMNITY. In consideration of being allowed to encroach in the Easement Areas, Owners, for themselves, their heirs and assigns, hereby agree to indemnify and hold the City harmless from any damage caused to the Subject Property, including the retaining wall located in the Easement Areas, caused in whole or in part by the encroachment into the Easement Areas. 4. TERMINATION OF AGREEMENT. The City may, at its sole discretion, terminate this Agreement at any time if it is reasonably necessary for the City to occupy the Easement Areas by giving the then owner of the Subject Property thirty (30) days advance written notice, except that no notice period will be required in the case of an emergency condition as determined solely by the City and this Agreement may then be terminated immediately. The property owner shall remove that portion of the retaining wall to the extent it impacts the Easement Areas to the effective date of the termination of this Agreement. If the owner fails to do so, the City may remove the retaining wall to the extent it impacts the Easement Areas and charge the cost of removal back to the owner for reimbursement. 489 225190v1 5. RECORDING. This Agreement shall run with the land and shall be recorded against the title to the Subject Property. CITY OF CHANHASSEN By ___________________________________ (SEAL) Elise Ryan, Mayor And __________________________________ Laurie Hokkanen, City Manager STATE OF MINNESOTA ) )ss. COUNTY OF CARVER ) The foregoing instrument was acknowledged before me this _______ day of __________________, 2023, by Elise Ryan and by Laurie Hokkanen, respectively the Mayor and City Manager of the City of Chanhassen, a Minnesota municipal corporation, on behalf of the corporation and pursuant to the authority granted by its City Council. ____________________________________ Notary Public 490 225190v1 PROPERTY OWNERS: _____________________________________ Grant Johnson _____________________________________ Julie Johnson STATE OF MINNESOTA ) )ss. COUNTY OF ____________ ) The foregoing instrument was acknowledged before me this ______ day of __________________, 2023, by Grant Johnson and Julie Johnson, married to each other. ____________________________________ Notary Public DRAFTED BY: CAMPBELL KNUTSON, Professional Association Grand Oak Office Center I 860 Blue Gentian Road, Suite 290 Eagan, Minnesota 55121 Telephone: (651) 452-5000 AMP 491 225190v1 EXHIBIT “A” 492 City Council Item February 13, 2023 Item Resolution 2023-XX: Conduct Public Improvement Hearing and Authorize Preparation of Plans and Specifications for the 2023 City Pavement Rehabilitation Project No. 23-01 File No.ENG Project No. 23-01 CIP No. ST-012 Item No: F.1 Agenda Section PUBLIC HEARINGS Prepared By George Bender, Assistant City Engineer Reviewed By Charlie Howley SUGGESTED ACTION "The Chanhassen City Council adopts a resolution ordering the improvements and authorizes preparation of plans and specifications for the 2023 City Pavement Rehabilitation Project No. 23- 01." Motion Type 4/5 Vote Strategic Priority Asset Management SUMMARY Host the first public hearing for the project, known as the 'improvement hearing,' associated with the M.S. 429 special assessment process in order to review the findings of the feasibility study and discuss specific aspects of the project. Follow up the public hearing portion of the agenda item with a decision regarding ordering production of plans and specifications for the project. BACKGROUND As part of the overall Pavement Management Program (PMP), the city annually plans to rehabilitate a section or sections of public streets across the city. The Five-year Capital Improvement Plan (CIP) identifies the near-term streets to be rehabilitated. 493 Key dates and items relative to the project: On September 27, 2022, the Engineering Department released a Request for Proposals (RFP) for design and construction services for the project. On October 24, 2022, the City Council approved a consultant contract with Bolton & Menk, Inc. for design and construction services for the project. On January 23, 2023, The City Council accepted the feasibility study and called for a Public Hearing to be held on February 13, 2023. On February 1, 2023, the Engineering Department hosted an open house meeting relative to all of the project areas. DISCUSSION Staff utilized the city's Pavement Management Program and site investigations to determine the project limits as shown in the attached 5-year CIP map. The Ches Mar Drive and Bramble Drive areas are shown on the map as mill and overlay rehabilitations. Since the map was created these areas have been studied and determined to be better suited to be rehabilitated via a full-depth reclamation process. As a result of this determination, these two areas have been moved from the 23-04 (mill and overlay) project to the 23-01 (full depth reclamation) project. None of these neighborhood areas have had major rehabilitation performed after the original street construction. Only minor maintenance activities such as pothole patching, crack sealing, and seal coating have been performed. The seven project areas currently associated with the 23-01 City Pavement Rehabilitation project are listed below: Curry Farms/Mulberry Circle area Creek Run Trail area Lake Susan Hills West area Saddlebrook area Mission Hills Lane area Ches Mar Drive area Bramble Drive area A geotechnical assessment and pavement evaluation was conducted to aid in the analysis of proper roadway pavement rehabilitation designs for the project. Bolton & Menk, the city's engineering design consultant for the project, was provided the city's as- builts, asset management data, and the geotechnical report for the neighborhood areas in the project scope to incorporate with the subsequent design. Based on the existing maintenance and rating history, on-site street observations, geotechnical data, and the feasibility analysis, all of the neighborhood areas are recommended to be rehabilitated by a full-depth reclamation (FDR) technique. Each public city- owned street segment within Chanhassen is rated every third year by a pavement management consultant. These ratings are based on a 0-100 scale known as the Overall Condition Index (OCI). The ratings are stored in the city’s asset management software and utilized by the Public Works Department to help select the proposed areas to be rehabilitated. In addition, the ratings are used by the consultants to assist with providing recommendations regarding the rehabilitation of the streets. 494 As with any road rehabilitation project, minor spot repair of curb and gutter and maintenance associated with public utilities are planned. Sidewalks within the project areas will also be maintained. This scope will include diamond grinding misaligned joints that have heaved primarily due to freeze-thaw and replacement of significantly damaged sidewalk panels. Existing pedestrian ramps impacted by the project will be brought into ADA compliance as needed in accordance with the City's ADA transition plan. City Public Works staff performed a condition assessment on the existing utilities within the neighborhoods. The storm sewer pipe network was televised and the storm structures were evaluated to access the need for improvements. All identified needs will be prioritized and the highest priority needs within the constraints of the surface water/storm water budget will be incorporated into the project. Major replacement of water main and sanitary sewer mains are not necessary. The valves on the water main are planned to be rehabilitated by changing out the bolting on the existing valves. The age of the original installation indicates the bolting is likely to be mild steel. The bolts will be replaced with stainless steel to protect them long term from degradation caused by the corrosive soils found in Chanhassen. The Public Works utility staff also reviewed the curb stop boxes and repairs will be made to this asset with the constraints of the budget. Primarily minor repairs related to reducing infiltration and inflow (I&I) are recommended for the sanitary sewer system. This work will include adjusting all of the sanitary manholes within the project areas and installing the city standard I&I barrier on the chimney section of each manhole. There are two sections of sanitary main within the Curry Farms/Mulberry Circle area where spot pipe repairs are recommend to be completed. There are also three manholes in the Creek Run Trail area recommended to be reconstructed. Public Engagement Summary and Other Proposed Improvements Soliciting Feedback Engineering distributed a survey to the 429 accessible properties along the streets being rehabilitated by the project. Of those surveys, 67 have been returned to date. The project also hosted an open house on February 1, 2023 at the Chanhassen Library. There were at least 30 people in attendance at the open house and 5 comment cards were received at the meeting. The addition of a sidewalk to one side of Devonshire Drive was considered as part of the feasibility phase. This specific add-on is not traditionally considered with these types of street rehabilitation projects. A case was reviewed by the Traffic Safety Committee (TSC) regarding Devonshire Drive being used as a cut-through route for vehicles as a way to avoid the Lake Lucy Drive/Powers Boulevard intersection. The submitter of the concern recommended sidewalk be considered and installed in order to help protect pedestrians using this street. The TSC agreed this should be considered and suggested that since this neighborhood was in line for rehabilitation in 2023, it would be looked at as part of the project. The sidewalk was proposed with the project to solicit feedback from the neighborhood. The majority of the comment cards received (4) were directed towards not installing the sidewalk due to impact and overall cost. In addition, discussions held with open house attendees strongly supporting this general opinion. The sidewalk is recommended to be removed from the project due to feedback received and funding availability. 495 There are also three center islands associated with cul-de-sacs within the project limits. One of the center islands is along Creek Run Trail. The other two center islands are in the Bramble neighborhood. Feedback received from the Creek Run Trail neighborhood indicates the property owners prefer to keep the center island. Staff heard from 5 of the 10 properties along this street and all 5 agreed with the opinion they would prefer the center island remain. It is recommended this center island be allowed to remain due to this overwhelming support. The two center islands in the Bramble neighborhood are smaller in nature, do not currently have curb and gutter, and are not being well maintained by the neighborhood. Due to the minimal size associated with these two center islands, Staff feels the cost to remove them is negligible to the project. Based on discussions held with about half of the 9 properties in the neighborhood, the residents support the removal of these center islands. It is recommended these two center islands be removed with the project. Engineering has also received approximately10 phone calls and 15 emails from different properties related to the FDR areas. The majority of this feedback supports the project but there has also been some opposition to the project, which is quite typical. The common concerns from the property owners in opposition to the project is primarily related to the funding policy for street projects, the assessment amounts in general, and the timing of the notification strategy employed by the city in respect to the assessments. Separate meetings were hosted by the Engineering Department for the Bramble and Ches Mar neighborhood areas when these streets were part of the 23-04 project due to unique circumstances associated with each area. Generally, the property owners were supportive of the proposed rehabilitation work after the unique circumstances were explained and discussed. These properties were also invited to the open house meeting hosted on February 1, 2023 at the Chanhassen Library. The remaining project schedule is as follows: Complete Design - February 2023 Bidding - March 2023 2nd Neighborhood Meeting - April 2023 Conduct Assessment Hearing - May 2023 Begin Construction - June 2023 End Construction - November 2023 BUDGET This project is included in the 5-year CIP for 2023. Funding for the project is proposed to come from the pavement management program (PMP) fund, which include special assessments to benefiting properties as part of the revenue. The special assessments will be managed per the City’s Assessment Policy. The Utility Enterprise funds will be utilized to cover the rehabilitation needs specific to each utility. The preliminary special assessment amounts distributed to the neighborhood areas identified to be completed by the project are as follows: Curry Farms/Mulberry Circle area: $4,700.00 (this amount does not include the sidewalk addition to Devonshire Dr.) Creek Run Trail area: $4,500.00 (this amount does not include removal of the center island) Lake Susan Hills West area: $4,700.00 Saddlebrook area: $4,700.00 496 Mission Hills Lane area: $4,600.00 Ches Mar Drive area: $8,700.00 Bramble Drive area: $8,400.00 The Engineering Department has continued to refine the scope of the work defined in the feasibility study along with factoring in feedback received from meetings with the property owners and other feedback received. The scope of the work associated with the storm water utility fund has been prioritized to meet the budget associated with this work. The table below indicates the estimated cost in comparison to the project budget. The first table does not include the Creek Run Trail and the Mission Hills Lane areas due to budgetary constraints. The Engineering Department recommends these two areas continue to be included in the project but they can be bid as add alternates. Should favorable bid pricing come in, the city could choose to use some PMP fund balance in order to complete the entire scope of work. The costs also do not include the proposed sidewalk along Devonshire Drive. Fund Budget Estimate PMP (Street)$4,630,000 $4,702,000 Surface Water (Storm Sewer)$750,000 $744,000 Sanitary Sewer $250,000 $236,000 Water $700,000 $537,000 Total $6,330,000 $6,219,000 The table below indicates the estimated costs if the Creek Run Trail and the Mission Hills Lane areas were to be included in the project. Fund Budget Estimate PMP (Street)$4,630,000 $5,217,000 Surface Water (Storm Sewer)$750,000 $837,000 Sanitary Sewer $250,000 $313,000 Water $700,000 $616,000 Total $6,330,000 $6,983,000 RECOMMENDATION From an engineering and financing perspective this project is feasible and cost effective. Staff recommends council adopt a resolution ordering the improvements and authorizing production of plans and specifications for all areas associated with City Project Number 23-01. ATTACHMENTS Resolution Streets 5-Year CIP Map (2023-2027) Assessment Policy CIP ST-012-2023 497 1 CITY OF CHANHASSEN CARVER AND HENNEPIN COUNTIES, MINNESOTA DATE: February 13, 2023 RESOLUTION NO:2023-XX MOTION BY: SECONDED BY: A RESOLUTION ORDERING IMPROVEMENTS & AUTHORIZING PREPARATION OF PLANS AND SPECIFICATIONS FOR THE 2023 CITY PAVEMENT REHABILITATION PROJECT NO. 23-01 WHEREAS,on January 23, 2023, the City Council received the feasibility report and called for the public hearing to be held on February 13, 2023 for the 2023 City Pavement Rehabilitation Project No. 23-01. The project includes street, drainage, and utility system improvements to Creek Run Trail, Ashton Court, Teton Lane-South of Ashton Court, Bretton Way, Devonshire Drive, Stratton Court, Welsley Court, Arlington Court, Charing Bend, Mulberry Circle, Mulberry Circle East, and Heather Court, Heron Drive-west of Flamingo Drive, Swan Court, Bittern Court, Osprey Lane, Bluebill Trail, Spoonbill Circle, Alisa Court, and Alisa Lane, Mission Hills Lane, Mission Hills Circle, and Mission Hills Court, Butte Court, Saddlebrook Pass, Trotters Circle, Saddlebrook Trail, Cactus Curve, Saddlebrook Curve, and Canyon Curve, Ches Mar Drive, Bramble Drive, Raspberry Hill and Delphinium Lane, all streets in the Curry Farms/Mulberry, Creek Run Trail, Saddlebrook, Lake Susan Hills West, Mission Hills, Ches Mar, and Bramble neighborhoods, included in the 2023 City Pavement Rehabilitation Project No. 23-01, and WHEREAS,a minimum of ten (10) days’ mailed noticed and two (2) weeks’ published notice of the public hearing was given; and WHEREAS,the public hearing was held thereon the 13th day of February, 2023, in the Council Chambers at Chanhassen City Hall, 7700 Market Boulevard, at which all persons desiring to be heard were given an opportunity to be heard thereon. NOW THEREFORE, BE IT RESOLVED bythe Chanhassen City Council: 1. Such improvement is necessary, cost-effective, and feasible as detailed in the project’s Feasibility Study. 2. Such improvement is hereby ordered as proposed in the Council resolution adopted October 24, 2022. 3. The Council authorizes preparation of plans and specifications for the 2023 City Pavement Rehabilitation Project No. 23-01. 4. The Council declares its official intent to reimburse itself for the costs of the improvement from the proceeds of tax exempt bonds. 498 2 PASSED AND ADOPTED by the Chanhassen City Council this 13th day of February 2023. ATTEST: Kim Meuwissen, City Clerk Elise Ryan, Mayor YES NO ABSENT 499 ###################################################### ###############################################################################################Lake Virginia Christmas Lake Lotus Lake Brendan Pond Lake Harrison Kerber Pond Lake Susan Rice Marsh Lake Lake Riley Rice Lake Lake St. Joe Lake Minnewashta Lake Ann Lake Lucy ST18 ST15 ST14 ST17 ST61 Minnewashta Regional Park North Lotus Lake Park Meadow Green Park Lake Ann Park Chanhassen Pond Park Chanhassen Nature Preserve Chanhassen Recreation Center Lake Susan Park Rice Marsh Lake Preserve Power Hill Park Fox Woods Preserve Bandimere Community Park Bluff Creek Golf Course Hesse Farm Park Preserve Lake Susan Preserve Raguet Wildlife Management Are MN Valley National Wildlife Re MN Landscape Arboretum Seminary Fen Scientific & Nat* Bluff Creek Preserve Independent School District 11 Independent School District 112 Independent School District 276 Riley Ridge Park Lake Ann Park Preserve SA5 SA7 SA101 SA41 SA5 )212 C C C C C Powers BlvdH w y212AudubonRdLyman Blvd Chanhassen RdA r b o r e t u m Blvd Pioneer Trl A r boretum Blvd GalpinBlvdHwy 212HazeltineBlvdMarketBlvdHwy 7 GreatPlainsB lvdFlying C l o u d D r C o R d 1 0 1 ST101 GH117 S S M M M M M M M M M Date Created: 7/25/2022 Document Path: K:\Departments\Engineering\CIP\2023-2027\CIP_5Year_2023-2027.aprxCreated By: City of Chanhassen - Engineering Department µ0 3,000 Feet 0 0.5 Mile 5-Year CIP Pavement Management Plan (PMP) - Streets (2023-2027) City of Chanhassen Legend 2023 2024 2025 2026 2027 Mill & Overlay Full Depth Reclamation ##Reconstruction S State/MnDOT Project C County Project M Municipal State Aid 500 Page 1 of 2 CITY OF CHANHASSEN ASSESSMENT POLICY Last updated January 2022 The City of Chanhassen’s Assessment Policy is intended to provide general direction to City Staff and their consultants in preparation of assessment rolls to ensure fair and consistent treatment of all properties within the City that are subject to an assessment. This document will also be used to educate and explain to property owners about the Policy. All assessments shall follow the process outlined in Minnesota State Statues, Chapter 429, which gives the City the legal authority to assess property. This Policy may not apply in all circumstances, at which time the City Council may direct staff to determine an alternate assessment methodology. All benefiting properties that currently have access, or may have future access, to the public street being reconstructed or rehabilitated shall be included in the assessment roll. This includes property with a shared driveway or private street access to the public street, except where said private street meets applicable criteria to allow for a reduced or no assessment. Applicable criteria includes whether the private street has standard street width, section, and turn-around. There are various ways to calculate assessments, typically done based on the number of parcels, an area, or linear foot calculation. The City shall use the calculation method that creates a reasonable distribution of assessments across the entire roll. When more than one “neighborhood” is contained within the same project, the assessment shall be calculated per each neighborhood, rather than the total project. Public property, private associations, and non-profits will be included in the calculations. Commercial, Medium, and High Density Residential property shall be assessed based on a reasonable determination of vehicular traffic generated. NEW CONSTRUCTION: 100% assessed to all benefitting properties. New construction is typically paid for by the development itself and therefore not formally assessed. In some instances, the City will undertake proactive installation of public utilities to unserved areas and then assess the benefiting properties for the added service. In other instances properties may petition the City directly for the installation of the public improvement. Assessable Costs Include: • Construction of a new public street, trail and/or sidewalk. • Installation of public water main, storm sewer and/or sanitary sewer system, including appurtenances (structures, valves, hydrants, lift stations, etc.), where it did not previously exist. • Indirect costs (design, legal, and administration fees). Notes: • Oversizing of streets and utilities beyond what is needed for the development itself, are paid for by the City and are typically not assessed. RECONSTRUCTION/REHABILITATION: 40% assessed to all benefitting properties Assessable Costs Include: • Pavement associated with public streets, trails and/or sidewalks. This includes draintile, geotechnical (soil corrections, etc.), and other improvements needed to support the function of the pavement structure. • Curb and gutter, including curb impacted solely by utility improvements. • Driveway pavement directly affected by the project work. • Multi-Modal improvements such as ADA ramps and actuated pedestrian crossings such as Rectangular Rapid- Flashing Beacons (RRFB’s). 501 Page 2 of 2 • Signing and stripping. • Retaining walls required within the Right-of-Way. • Tree removal and/or landscaping improvements directly affected by the project work. • Applicable percentage of indirect costs (design, legal, and admin fees). Notes: • Rehabilitation is typically defined as mill and overlay and/or full depth reclamation activities. • If a residential property benefits from a collector street, the assessment amount shall be based on an equitable formula compared to a typical local roadway, including normalizing to a 31-foot wide street, street section, and other applicable factors. • Pavement projects on streets that provide direct access to Chanhassen property(s) that are being implemented by an adjacent municipality shall not be assessed to the Chanhassen property(s) unless the adjacent municipality is assessing the benefitting property in their jurisdiction as part of the project. • Replacement or repair of existing public water main, storm sewer and/or sanitary sewer shall not be assessed. The City will pay 100% of these improvement costs out of the associated enterprise fund. REGULAR MAINTENANCE: Benefiting properties are not assessed • Activities Include: Pavement patching, pothole filling, crack sealing, chip sealing, sealcoating, and re-stripping. ASSESSMENT PAYMENT OPTIONS • Assessments can be paid in full up front with no charge, or added to annual property taxes with interest. • If elected to be added to annual property taxes, the balance can be paid off at any time during the term if later requested by the property owner. • Interest will be charged to property owners who choose to not pay their assessments in full by November 15th in the year the special assessment is levied. The interest rate will be equal to the average interest cost of the City’s most recent bond issue plus 2%. If the City has not issued bonds in the past year, the City will use the current municipal bond index rate for AAA rated issuers at the time the special assessment is approved. • Unless approved otherwise by the City Council, the maximum financing term for assessments shall be as follows: o $0-$500 1 year o $501-$2,500 5 years o $2,501-$5,000 8 years o $5,001 and above 10 years The City has developed a Frequently Asked Questions (FAQ) document addressing the most common questions concerning assessments. The FAQ document can be found on the City’s website. 502 G:\ENG\Assessments\Assessment FAQ 2022 Update - Clean.docx Page 1 of 2 What are assessments? Assessments are charges to benefiting properties utilized to help finance an improvement project. In Chanhassen and most metro area cities, assessments are used to help finance street reconstruction and rehabilitation projects. These projects are programmed via the Pavement Management Program (PMP). Minnesota State Statutes, Chapter 429, allows the City the authority to assess for projects. Who is assessed for a street improvement project? Owners of property that directly access a public street, or that have a private driveway that has access to a public street, or that have potential future access within the project area are assessed. These properties are determined to be “benefitting properties” and are assessed a cost based on the City’s Assessment Policy. Does the City have an Assessment Policy? Yes. It can be found on the City’s website at this location: https://www.ci.chanhassen.mn.us/432/Assessment-Policy The City started assessing for street improvements in 1993. The Policy was last updated in January 2022. For the construction of a new public streets or public utilities, 100% of the cost is assessed to the benefitting properties. For an improvement project of an existing street, 40% of the cost is assessed to the benefitting properties and the City pays 60% of the street improvement cost. 100% of the public storm sewer, sanitary sewer and water main costs associated with the project are paid by the associated utility enterprise funds and are not included in the cost assessed to the benefitting properties. Why does the City assess for street improvement projects? Why doesn’t the City pay 100% of the project cost? Public streets are part of the City’s Multi-Modal transportation system to provide access to all residents. The City acknowledges the system benefit of a street project by paying 60% of the project cost. Benefitting properties use the roads to get to and from their property on a daily basis, which is why they are assessed 40% of the street project cost. When someone buys a new home in a new subdivision, the cost to construct the new infrastructure was incorporated into the purchase price of the home and property by the Developer and thus was the initial assessment to the property. When is the assessment amount determined? An estimate of the assessment is calculated with the Feasibility Study, which is typically completed six months to a year before a project begins. The final assessment amount is based on the lowest responsible bid amount and is set by City Council at the assessment hearing, CITY OF CHANHASSEN FAQs: ASSESSMENTS 503 G:\ENG\Assessments\Assessment FAQ 2022 Update - Clean.docx Page 2 of 2 which typically occurs in April or May of the construction year. Properties being assessed for the project are notified of the assessment hearing formally by US mail, but the process is also communicated by the City via its website, public open houses, the Chanhassen Connection, social media, and at City Council meetings. What are the payment options for assessments? Please refer to the timeline below for payment options. The City does not accept partial payments of the assessment. Assessment Hearing & final assessment amount is determined and the Assessment Roll is adopted Payments received by this date are not charged interest Payments received by this date are charged the interest that has accrued from the date the Assessment Roll is adopted Annual payments to the assessment are paid with your property taxes. Interest is collected each year based on the outstanding principle owed on the assessment April or May (typically) 90 days after the Assessment Roll is adopted End of the year Term of the assessment* *You can pay off an assessment after it has been certified to your property taxes. The City of Chanhassen Finance Department will calculate the payoff amount, which will include the interest. The Term is based on a tiered amount found in the Policy. Why does the City charge interest on assessments? The City finances the entire project cost until all the assessments have been paid. The interest charged on assessments is the rate the City pays for the bonding (as of the date of the assessment) plus 2%. The interest charged is calculated as simple interest and not a compound interest. Benefitting property owners are encouraged to consult private financial institutions for other ways that can be used to pay off the assessment. This allows the property owner the ability to negotiate the term and interest rates within the competitive market and may have some tax advantages. What does the Franchise Fees Pay for? The Franchise Fees (passed in 2018) help pay for the City’s cost of the project. In lieu of Franchise Fees, the annual property tax levy would have to be adjusted to fund the overall Pavement Management Program (PMP). How can I provide input on the project and the planned improvements? A couple ways: 1. The City and their design consultants typically hold 2 public open houses during the project implementation process. You can attend one or both of these and verbally discuss the project or provide written comments on a comment card at those meetings. 2. Call the City’s Engineering Department at (952) 227-1160 and talk to one of the staff working on the project. 3. E-mail the City’s Engineering Department at Engineering@ci.chanhassen.mn.us and provide your comments or concerns. 504 Streets - 2023 Street Improvements Overview Request Owner Charlie Howley, PW Director/City Engineer Department Annual Pvmnt Mgmt Contracted Type Capital Improvement Project Number ST-012-2023 Description The 5-year Capital Pavement Management Plan (PMP) identi es the planned streets for the next ve years. The Plan is updated every fall to revi ew priorities and needs, but generally i ntends to keep the overal l condition index (OCI) average across all streets at 70 or hi gher. The Ci ty uses a Pavement Management System in Cartegraph to moni tor the condition of City streets. While proper preventative maintenance extends the l ife of the street and is cost effective, a street wil l eventually deteriorate to a point that major maintenance is required. Rehabili tation projects exi ted the li fe of the street. In cases when util ities or poor subgrade needs to be repl aced or where streets have deteriorated to a point where rehabil itati on will no longer be practical , reconstructi on of the street i s necessary. A feasibili ty study i s wri tten to consider the merits of the project, scope of work, costs, and assessments. The Ci ty has an Assessment Pol icy that i denti es what and how much of the project is assessed to bene ting properti es. Details Type of Project Resurface Current Road 505 Capital Cost Breakdown Capital Cost FY20 23 Total Engineering $450,000 $450,000 Construction/Maintenance $5,880,000 $5,880,000 Total $6,330,0 00 $6,330,0 00 Capital Cost FY2023 Budget $6,330,000 Total Budget (all years) $6.33M Project Total $6.33M Capital Cost by Year Construction/Maintenance Engineering 2023 $6,330,000.00 $0 $2M $4M $6M Capital Cost for Budgeted Years TOTAL $6,330,000.00 Construction/Maintenance (93%)$5,880,000.0 Engineering (7%)$450,000.00 506 Funding Sources Breakdown Funding Sources FY2023 Total Streets - PMP Funds $2,778,000 $2,778,000 Streets - PMP Assessmen ts $1,852,000 $1,852,000 Utility Fund - Water $700,000 $700,000 Utility Fund - Sewer $250,000 $250,000 Utility Fund - SW Mgmt $750,000 $750,000 Total $6,330,000 $6,330,000 Funding Sources FY2023 Budget $6,330,000 Total Budget (all years) $6.33M Project Total $6.33M Funding Sources by Year Streets - PMP Assessments Streets - PMP Funds Utility Fund - Sewer Utility Fund - SW Mgmt Utility Fund - Water 2023 $6,330,000.00 $0 $2M $4M $6M Funding Sources for Budgeted Years TOTAL $6,330,000.00 Streets - PMP Assessments (29%)$1,852,000.0 Streets - PMP Funds (44%)$2,778,000.00 U tility Fund - Sewer (4%)$250,000.00 U tility Fund - SW Mgmt (12%)$750,000.00 U tility Fund - Water (11%)$700,000.00 507 City Council Item February 13, 2023 Item Resolution 2023-XX: Conduct Improvement Hearing and Authorize Preparation of Plans and Specifications for 2023 City Mill & Overlay Project No. 23-04 File No.Project #2023-04 Item No: F.2 Agenda Section PUBLIC HEARINGS Prepared By Erik Henricksen, Project Engineer Reviewed By Charlie Howley SUGGESTED ACTION "The Chanhassen City Council adopts a resolution ordering the improvements and authorizes preparation of plans and specifications for the 2023 City Mill & Overlay Project No. 23-04." Motion Type 4/5 Vote Strategic Priority Asset Management SUMMARY Hold the first Public Hearing for the project, known as the 'improvement hearing', associated with the M.S. 429 special assessment process in order to review the findings of the feasibility study and discuss specific aspects of the project. Following the Public Hearing, City Council should reach a decision regarding ordering production for plans and specifications for the project. BACKGROUND As part of the overall Pavement Management Program (PMP), the city annually plans to rehabilitate a section or sections of public streets across the city. The five-year Capital Improvement Plan (CIP) identifies the near-term streets to be rehabilitated. The proposed 2023 Mill & Overlay project (#23-04) includes the mill and overlay of approximately 0.3 miles of existing residential streets in the following three neighborhoods: 508 Sunridge Court Oakside Circle Creekwood Drive This is in addition to the larger 2023 Street Improvement project (#23-01). The projects are separated out in an attempt to reduce overall project costs. The Mill & Overlay project is on streets that have no existing sewer and water utilities, and the proposed work is merely to perform a maintenance task for the pavement itself without associated ancillary work typical on the larger rehabilitation projects. On January 23, 2023 the City Council accepted the Feasibility Study and called this public hearing. On February 1, 2023 the Engineering Department hosted an open house relative to the project areas to gain feedback prior to this Public Hearing meeting. No property owners attended the February 1st meeting. DISCUSSION The proposed 2023 Mill & Overlay project (#23-04) includes the mill and overlay of approximately 0.3 miles of existing residential streets in the following three neighborhoods: Sunridge Court, Oakside Circle and Creekwood Drive. The street segments within the proposed project were identified by the city’s pavement management software in conjunction with site investigation. The proposed improvements generally consist of milling two inches of the bituminous pavement surface and overlaying two inches of new bituminous surface, removal and replacement of severe pavement distresses, and minor drainage improvements within one project area (Creekwood Drive). Sunridge Court: Sunridge Court is 0.1 miles and was originally constructed in 1988 when the area developed with the Sun Ridge plat, approved in 1987. Sealcoats were performed in 1992, 1998, and 2011 along with regular street maintenance activities such as pothole patching. The street is not considered an urbanized section as curb and gutter and associated stormwater drainage systems were not installed with the original construction. In 1990, SWMP Project #19-90-08 installed a catch basin at the end of the cul-de-sac as well as bituminous curb to address drainage issues. In 1998, public sanitary sewer and water mains were extended from the development to the north, Bluff Creek Estates 4th Addition, to service 1851 Sunridge Court. The sanitary sewer was extended south within the backyards of 1851 and 1861 Sunridge Court, while the water main was brought to the cul-de-sac located at the end of Sunridge Court. These utility extensions can facilitate future extensions as identified in the 2040 Comprehensive Plan when petitioned by the residents of Sunridge Court. Oakside Circle: Oakside Circle is 0.1 miles and was originally constructed in 1984 when the area developed with the Hillside Oaks plat, approved in 1984. Sealcoats were performed in 1992, 1997, and 2005 along with regular street maintenance activities such as pothole patching. The street is not considered an urbanized section as curb and gutter and associated stormwater drainage systems were not installed with the original construction. In 1993, SAP 10-617-14 constructed street improvements along Powers Boulevard from TH 5 to Lyman Boulevard which included urbanizing the corridor (curb, gutter and storm sewer improvements), constructing a bituminous walk, and other utility improvements. This project also installed sanitary sewer and water main stubs to Oakside Circle to facilitate future extensions as identified in the 2040 Comprehensive Plan when petitioned by the residents of Oakside Circle. Creekwood Drive : Creekwood Drive is 0.1 miles and was originally constructed in 1973. Sealcoats were performed in 1992 and 2005 with a mill and overlay conducted in 1996. Regular street maintenance activities such as pothole patching have also occurred throughout the years. The street was not originally constructed as an urbanized section as curb and gutter and associated stormwater 509 drainage systems were not installed; however, with the TH 101 project completed in 2021, approximately 370 feet of Creekwood Drive from the intersection of TH 101 west was upgraded to an urbanized section as well as sanitary sewer and water mains stubbed for future extension. In 2019 the city conducted emergency street repairs to a 190-foot section of Creekwood Drive which became impassable due to the age of the road, underlying soils, and frost heaving. All areas were identified by the city's pavement management software in conjunction with site investigations as needing rehabilitation. The proposed two-inch mill and overlay for all areas proposed will improve the condition of the pavement and is found to be feasible, necessary and cost effective. Public Engagement Summary Engineering distributed a survey to the 11 assessable properties along the streets being rehabilitated by the project. None of the surveys were returned. The project also hosted an open house on February 1, 2023 at the Chanhassen Library. None of the property owners or anyone from the public attended the open house as it related to the Mill & Overlay project. Lastly, no emails or other correspondence have been received since the formal letter went out to the property owners identifying the preliminary assessment amount and notification of the Public Hearing. BUDGET The estimated cost for the proposed improvements are $101,922.61. The street costs include a 5% construction cost contingency. A summary of the estimated project area costs and funding sources are as follows: Project Area Total Street Costs 60% City Cost 40% Assessed Est. Assessment Sunridge Court $48,252.01 $28,951.21 $19,300.80 $3900 Oakside Circle $29,558.75 $17,735.25 $11,823.50 $3000 Creekwood Drive $24,111.86 $14,467.11 $9,644.75 Varies* TOTAL $101,922.61 $61,153.57 $40,769.04 A portion of the proposed improvements are to be paid by special assessments to the benefitting properties and the remainder will be funded by the City's Pavement Management Program (PMP) Fund in accordance with the city’s Assessment Policy, attached to the Feasibility Report. Benefitting properties within the project area are proposed to be assessed 40% of the street improvement costs; the remaining project costs will be funded by the city PMP funds. The CMP project sheet is attached to this report. *The City typically calculates assessments per unit, but due to the Bluff Creek Golf Course and its percentage of traffic generated, an area assessment formula was utilized for Creekwood Drive. All of these costs are estimates. Final assessment amounts will be determined based on actual bid pricing received. RECOMMENDATION From an engineering and financing perspective this project is feasible and cost effective. Staff recommends council adopt a resolution ordering the improvements and authorizing production of plans 510 and specifications for city Project No. 23-04. ATTACHMENTS Resolution Streets 5-Year CIP - 2023-2027 23-04 - 2023 Mill & Overlay Project Feasibility Report Assessment Policy CIP ST-012-2023 511 CITY OF CHANHASSEN CARVER AND HENNEPIN COUNTIES, MINNESOTA DATE: February 13,2023 RESOLUTION NO:2023-XX MOTION BY: SECONDED BY: A RESOLUTION ORDERING IMPROVEMENTS & AUTHORIZING PREPARATION OF PLANS AND SPECIFICATIONS FOR THE 2023 MILL AND OVERLAY PROJECT NO. 23-04 WHEREAS,on January 23, 2023, the City Council received the feasibility report and called for the public hearing to be held on February 13, 2023 for the 2023 Mill and Overlay Project No. 23-04. The project includes street improvements to Sunridge Court, Oakside Circle, and Creekwood Drive; and WHEREAS,a minimum of ten (10) days’ mailed noticed and two (2) weeks’ published notice of the public hearing was given; and WHEREAS,the public hearing was held thereon the 13th day of February, 2023, in the Council Chambers at Chanhassen City Hall, 7700 Market Boulevard, at which all persons desiring to be heard were given an opportunity to be heard thereon, NOW THEREFORE, BE IT RESOLVED bythe Chanhassen City Council: 1. Such improvement is necessary, cost-effective, and feasible as detailed in the project’s Feasibility Report. 2. Such improvement is hereby ordered and the Council authorizes preparation of plans and specifications for the 2023 Mill and Overlay Project No. 23-04. 3. The Council declares its official intent to reimburse itself for the costs of the improvement from the proceeds of tax-exempt bonds. PASSED AND ADOPTED by the Chanhassen City Council this 13th day of February, 2023. ATTEST: Kim Meuwissen, City Clerk Elise Ryan, Mayor YES NO ABSENT 512 ###################################################### ###############################################################################################Lake Virginia Christmas Lake Lotus Lake Brendan Pond Lake Harrison Kerber Pond Lake Susan Rice Marsh Lake Lake Riley Rice Lake Lake St. Joe Lake Minnewashta Lake Ann Lake Lucy ST18 ST15 ST14 ST17 ST61 Minnewashta Regional Park North Lotus Lake Park Meadow Green Park Lake Ann Park Chanhassen Pond Park Chanhassen Nature Preserve Chanhassen Recreation Center Lake Susan Park Rice Marsh Lake Preserve Power Hill Park Fox Woods Preserve Bandimere Community Park Bluff Creek Golf Course Hesse Farm Park Preserve Lake Susan Preserve Raguet Wildlife Management Are MN Valley National Wildlife Re MN Landscape Arboretum Seminary Fen Scientific & Nat* Bluff Creek Preserve Independent School District 11 Independent School District 112 Independent School District 276 Riley Ridge Park Lake Ann Park Preserve SA5 SA7 SA101 SA41 SA5 )212 C C C C C Powers BlvdH w y212AudubonRdLyman Blvd Chanhassen RdA r b o r e t u m Blvd Pioneer Trl A r boretum Blvd GalpinBlvdHwy 212HazeltineBlvdMarketBlvdHwy 7 GreatPlainsB lvdFlying C l o u d D r C o R d 1 0 1 ST101 GH117 S S M M M M M M M M M Date Created: 7/25/2022 Document Path: K:\Departments\Engineering\CIP\2023-2027\CIP_5Year_2023-2027.aprxCreated By: City of Chanhassen - Engineering Department µ0 3,000 Feet 0 0.5 Mile 5-Year CIP Pavement Management Plan (PMP) - Streets (2023-2027) City of Chanhassen Legend 2023 2024 2025 2026 2027 Mill & Overlay Full Depth Reclamation ##Reconstruction S State/MnDOT Project C County Project M Municipal State Aid 513 514 2 TABLE OF CONTENTS EXECUTIVE SUMMARY .................................................................................................................................. 3 I. INTRODUCTION ..................................................................................................................................... 6 Sunridge Court .............................................................................................................................................. 7 Oakside Circle ................................................................................................................................................ 8 Creekwood Drive ........................................................................................................................................... 9 II. EXISTING CONDITIONS ........................................................................................................................ 10 III. PROPOSED PUBLIC IMPROVEMENTS .................................................................................................. 10 IV. RIGHT OF WAY AND EASEMENT REQUIREMENTS .............................................................................. 10 V. ESTIMATED COSTS .............................................................................................................................. 11 VI. METHOD OF FINANCING ..................................................................................................................... 11 VII. ESTIMATED ASSESSMENTS ................................................................................................................. 11 VIII. PROJECT SCHEDULE ............................................................................................................................ 13 IX. SUMMARY AND RECOMMENDATIONS ............................................................................................... 13 Appendix A: Assessment Policy..……………………………..………..…..……………………………………..…………….…….....14 Appendix B: Cost Estimates……………………………….……..……………………………………………………..……………………18 Appendix C: Preliminary Assessment Rolls……………………………………..……………………………………………….…….20 Figure 1 - 2023 Mill & Overlay Project (23-04) ............................................................................................. 3 Figure 2 - Sunridge Court .............................................................................................................................. 7 Figure 3 - Oakside Circle ................................................................................................................................ 8 Figure 4 - Creekwood Drive........................................................................................................................... 9 Table 1 - Estimated Costs by Area................................................................................................................. 4 Table 2 - Street Segment Summary & OCI .................................................................................................. 10 Table 3 - Estimated Costs by Area............................................................................................................... 11 Table 4 - Total Special Assessment Amount ............................................................................................... 11 515 3 EXECUTIVE SUMMARY This Feasibility Report has been prepared for the 2023 Mill & Overlay Project, City Project 23-04 as shown in Figure 1. The proposed project includes: • Sunridge Court, 0.3 miles north of the intersection of Lyman Boulevard and Audubon Road; • Oakside Circle, 0.1 miles north of the intersection of Powers Boulevard and Lyman Boulevard; • Creekwood Drive, 0.5 miles south of the intersection of Trunk Highway 101 (Great Plains Boulevard) and Pioneer Trail. Figure 1 - 2023 Mill & Overlay Project (23-04) 516 4 The proposed project includes the mill and overlay of approximately 0.3 miles of existing residential streets, including: The street segments within the proposed project were identified by the City’s pavement management software in conjunction with site investigation. The proposed improvements generally consist of milling 2” of the bituminous pavement surface and overlaying 2” of new bituminous surface, removal and replacement of severe pavement distresses and minor drainage improvements within one project area. The estimated cost for the proposed improvements is $101,922.61. The street costs include a 5% construction cost contingency. A summary of the estimated project area costs and funding sources are as follows: Table 1 - Estimated Costs by Area A portion of the proposed improvements are to be paid by special assessments to the benefitting properties and City of Chanhassen Pavement Management Program (PMP) funds in accordance with the city’s Assessment Policy, found in Appendix A. Benefitting properties within the project area are proposed to be assessed 40% of the street improvement costs; the remaining project costs will be funded by the City PMP funds. The proposed project schedule is as follows: Accept Feasibility Report/Call Public Hearing January 23, 2023 Neighborhood Project Open House February, 1, 2023 Public Hearing, Authorize Preparation of Plans and Specifications February 13, 2023 Approve Plans and Specifications March 13, 2023 Bid Opening April 6, 2023 Neighborhood Assessment Open House April, 2023 Assessment Hearing/Award Contract May 8, 2023 Start Construction June, 2023 Substantial/Final Completion August, 2023 Project Area Estimated Street Costs (40% assessed to benefitting properties) Sunridge Court $48,252.01 Oakside Circle $29,558.75 Creekwood Drive $24,111.86 GRAND TOTAL $101,922.61 517 5 Based on the data within this report, the proposed 2023 Mill & Overlay Project, City Project 23-04, is feasible, necessary, cost-effective and will meet priorities of the City of Chanhassen’s Strategic Plan (Financial Sustainability & Asset Management). 518 6 I. INTRODUCTION The proposed project includes the rehabilitation of approximately 0.3 miles of existing residential streets, including: Sunridge Court Oakside Circle Creekwood Drive Figure 1 - 2023 Mill & Overlay Project (23-04) 519 7 Sunridge Court Sunridge Court, as seen in Figure 2, is 0.1 miles and was originally constructed in 1988 when the area developed with the Sun Ridge plat, approved in 1987. Sealcoats were performed in 1992, 1998, and 2011 along with regular street maintenance activities such as pothole patching. The street is not considered an urbanized section as curb and gutter and associated stormwater drainage systems were not installed with the original construction. In 1990, SWMP Project #19-90-08 installed a catch basin at the end of the cul-de-sac as well as bituminous curb to address drainage issues. In 1998, public sanitary sewer and water mains were extended from the development to the north, Bluff Creek Estates 4th Addition, to service 1851 Sunridge Court. The sanitary sewer was extended south within the backyards of the 1851 & 1861 Sunridge Court, while the watermain was brought to the cul-de-sac located at the end of Sunridge Court. These utility extensions can facilitate future extensions as identified in the 2040 Comprehensive Plan when petitioned by the residents of Sunridge Court. Sunridge Court was identified by the City’s pavement management software in conjunction with site investigation. The proposed improvements generally consist of a 2” mill and overlay, and severe pavement distresses will be removed and replaced. The proposed improvements will improve the condition of the pavement. Project details, estimated project costs, estimated assessments and funding sources are identified in this report. Figure 2 - Sunridge Court 520 8 Oakside Circle Oakside Circle, as seen in Figure 3, is 0.1 miles and was originally constructed in 1984 when the area developed with the Hillside Oaks plat, approved in 1984. Sealcoats were performed in 1992, 1997, and 2005 along with regular street maintenance activities such as pothole patching. The street is not considered an urbanized section as curb and gutter and associated stormwater drainage systems were not installed with the original construction. In 1993, SAP 10-617-14 constructed street improvements along Powers Boulevard from TH 5 to Lyman Boulevard which included urbanizing the corridor (curb, gutter and storm sewer improvements), constructing a bituminous walk, and other utility improvements. This project also installed sanitary sewer and water main stubs to Oakside Circle to facilitate future extensions as identified in the 2040 Comprehensive Plan when petitioned by the residents of Oakside Circle. Oakside Circle was identified by the City’s pavement management software in conjunction with site investigation. The proposed improvements generally consist of a 2” mill and overlay, and severe pavement distresses will be removed and replaced. The proposed improvements will improve the condition of the pavement. Project details, estimated project costs, estimated assessments and funding sources are identified in this report. Figure 3 - Oakside Circle 521 9 Creekwood Drive Creekwood Drive, as seen in Figure 4, is 0.1 miles and was originally constructed in 1973. Sealcoats were performed in 1992, and 2005 with a mill and overlay conducted in 1996. Regular street maintenance activities such as pothole patching have also occurred throughout the years. The street was not originally constructed as an urbanized section as curb and gutter and associated stormwater drainage systems were not installed, however with the TH 101 project, which was completed in 2021, approximately 370 feet of Creekwood Drive from the intersection of TH 101 west was upgraded to an urbanized section as well as sanitary sewer and water mains stubbed for future extension. In 2019 the city conducted emergency street repairs to a 190-foot section of Creekwood Drive which became unpassable due to failure of the road. Creekwood Drive was identified by the City’s pavement management software in conjunction with site investigation. The proposed improvements generally consist of a 2” mill and overlay, minor surface drainage adjustments to remediate surface water ponding in the road, and replacement of a corrugated metal pipe. The proposed improvements will improve the condition of the pavement. Project details, estimated project costs, estimated assessments and funding sources are identified in this report. Figure 4 - Creekwood Drive 522 10 II. EXISTING CONDITIONS All streets within the project are considered rural street section (no sidewalks or curb and gutter and no substantial storm conveyance systems) and have limited to no public sanitary sewer and water mains. A summary of each street segment is shown in Table 1 below. Table 2 - Street Segment Summary & OCI Street From To Length (ft) Width (ft) OCI Sunridge Court Audubon Road Cul de sac 919 24 36.1 Oakside Circle CSAH 17 (Powers Boulevard) Cul de sac 365 26 18.26 Creekwood Drive 170’ E/O Mandan Circle 330’ W/O Mandan Circle 500 22 84.76 Pavement condition scores generated by the City’s pavement management software were considered along with aerial photography, geotechnical exploration reports, and staff inspection reports when determining street segments within the proposed rehabilitation area. Street segments are surveyed every three years and a score, or Overall Condition Index (OCI), is assigned to the street segment. An OCI of 100 represents a new road. The proposed overlays are a cost-effective alternative for rehabilitating streets where utilities are not present at this time. III. PROPOSED PUBLIC IMPROVEMENTS The proposed standard improvements include a 2” mill and bituminous overlay of the streets within the project areas. There will be spot removal and replacement of severe pavement distresses in all project areas and minor surface drainage improvements through the use of grading and paving techniques within the Creekwood Drive area. As the project areas have limited to no public sanitary sewer, water, or storm sewer systems, as well as no curb and gutter or sidewalks, there are no proposed improvements to these systems. Separate assessment rolls are proposed for each project area. IV. RIGHT OF WAY AND EASEMENT REQUIREMENTS All improvements are expected to be within public right of way. In the event that improvements encroach onto private property it is anticipated that the property owner will grant a right of entry. 523 11 V. ESTIMATED COSTS The estimated costs for the 2023 Mill and Overlay Project, City Project 23-04 are shown in Table 2 below. A 5% construction contingency is included in the street estimate. Cost estimates can be found in Appendix B which shows the cost per square yard to perform mill an overlay improvements for each area. Table 3 - Estimated Costs by Area Project Area Estimated Street Costs (40% assessed to benefitting properties) Sunridge Court $48,252.01 Oakside Circle $29,558.75 Creekwood Drive $24,111.86 GRAND TOTAL $101,922.61 VI. METHOD OF FINANCING Special assessments to the benefitting properties are proposed to pay for 40% of the proposed 2023 Mill and Overlay Project, City Project 23-04. The remaining project costs (60%) are proposed to be paid from City funds. The preliminary funding is shown in Table 3 below: Table 4 - Total Special Assessment Amount Funding Source Amount Budgeted Assessments/Revolving Assessment Fund $61,153.57 $61,153.57 VII. ESTIMATED ASSESSMENTS Benefitting properties are parcels where the principal driveway or private street access to a public street is or will be within the proposed project area. Benefitting properties area proposed to be assessed for 40% of the street improvement costs associated with this project; City funds are proposed to be used to finance the remainder of the project cost. Unit assessments are proposed for Sunridge Court and Oakside Circle, meaning each benefiting property within these project areas at the time the assessment roll is approved pays the same amount. Preliminary estimated assessments are detailed below. Final assessment amounts will be based on the construction bid price. 524 12 Sunridge Court Total Estimated Street Cost: $48,300 40% assessed: 40% of $48,300 = $19,320 Number of assessable units: 5 Estimated unit assessment: $19,320 ÷ 5 units = $3,900/unit* Oakside Circle Total Estimated Street Cost: $29,600 40% assessed: 40% of $29,600 = $11,840 Number of assessable units: 4 Estimated unit assessment: $11,840 ÷ 4 units = $3,000/unit* *Estimated assessments have been rounded to the nearest $100 An area assessment is proposed for Creekwood Drive, meaning each benefiting property within these project areas at the time the assessment roll is approved pays the amount based on their properties size (based on area). An area assessment was utilized as the vast majority of the traffic volume can be attributed to the private street access for the bluff creek golf course at the end of the Creekwood Drive right-of-way. Preliminary estimated assessments are detailed below. Final assessment amounts will be based on the construction bid price. Creekwood Drive Total Estimated Street Cost: $24,100 40% assessed: 40% of $24,100 = $9,640 775 Creekwood Drive Area = 1.17 Acres 1025 Creekwood Drive (includes all parcels owned by Bluff Creek Golf Assoc.) = 226.74 Acres Total Area = 227.91 Acres Estimated area assessment: 775 Creekwood Drive Area = 1.17/227.91 * $9,640 = $50.00* Estimated area assessment: 1025 Creekwood Drive Area = 226.74/227.91 * $9,640 = $9,590.00* *Estimated assessments have been rounded to the nearest $10 The preliminary assessment rolls are included in Appendix C. 525 13 VIII. PROJECT SCHEDULE The following schedule is proposed Accept Feasibility Report/Call Public Hearing January 23, 2023 Neighborhood Project Open House February 1, 2023 Public Hearing, Authorize Preparation of Plans and Specifications February 13, 2023 Approve Plans and Specifications March 13, 2023 Bid Opening April 6, 2023 Neighborhood Assessment Open House April, 2023 Assessment Hearing/Award Contract May 8, 2023 Start Construction June, 2023 Substantial/Final Completion August, 2023 IX. SUMMARY AND RECOMMENDATIONS Based on the information and analysis included in this report, the 2023 Mill and Overlay Project, City Project 23-04 is feasible, necessary and cost effective. The following is recommended: 1. The Chanhassen City Council accepts this feasibility report and orders a public hearing for February 13, 2023. 2. After receiving the appropriate staff reports, information and input from the public hearings, the City Council must decide on the approval or rejection of the proposed public improvements. 3. Based on the outcome of the public hearing, the Council could proceed to order the proposed improvements and authorize the preparation of plans and specifications. 526 Page 1 of 2 CITY OF CHANHASSEN ASSESSMENT POLICY Last updated January 2022 The City of Chanhassen’s Assessment Policy is intended to provide general direction to City Staff and their consultants in preparation of assessment rolls to ensure fair and consistent treatment of all properties within the City that are subject to an assessment. This document will also be used to educate and explain to property owners about the Policy. All assessments shall follow the process outlined in Minnesota State Statues, Chapter 429, which gives the City the legal authority to assess property. This Policy may not apply in all circumstances, at which time the City Council may direct staff to determine an alternate assessment methodology. All benefiting properties that currently have access, or may have future access, to the public street being reconstructed or rehabilitated shall be included in the assessment roll. This includes property with a shared driveway or private street access to the public street, except where said private street meets applicable criteria to allow for a reduced or no assessment. Applicable criteria includes whether the private street has standard street width, section, and turn-around. There are various ways to calculate assessments, typically done based on the number of parcels, an area, or linear foot calculation. The City shall use the calculation method that creates a reasonable distribution of assessments across the entire roll. When more than one “neighborhood” is contained within the same project, the assessment shall be calculated per each neighborhood, rather than the total project. Public property, private associations, and non-profits will be included in the calculations. Commercial, Medium, and High Density Residential property shall be assessed based on a reasonable determination of vehicular traffic generated. NEW CONSTRUCTION: 100% assessed to all benefitting properties. New construction is typically paid for by the development itself and therefore not formally assessed. In some instances, the City will undertake proactive installation of public utilities to unserved areas and then assess the benefiting properties for the added service. In other instances properties may petition the City directly for the installation of the public improvement. Assessable Costs Include: • Construction of a new public street, trail and/or sidewalk. • Installation of public water main, storm sewer and/or sanitary sewer system, including appurtenances (structures, valves, hydrants, lift stations, etc.), where it did not previously exist. • Indirect costs (design, legal, and administration fees). Notes: • Oversizing of streets and utilities beyond what is needed for the development itself, are paid for by the City and are typically not assessed. RECONSTRUCTION/REHABILITATION: 40% assessed to all benefitting properties Assessable Costs Include: • Pavement associated with public streets, trails and/or sidewalks. This includes draintile, geotechnical (soil corrections, etc.), and other improvements needed to support the function of the pavement structure. • Curb and gutter, including curb impacted solely by utility improvements. • Driveway pavement directly affected by the project work. • Multi-Modal improvements such as ADA ramps and actuated pedestrian crossings such as Rectangular Rapid- Flashing Beacons (RRFB’s). 527 Page 2 of 2 • Signing and stripping. • Retaining walls required within the Right-of-Way. • Tree removal and/or landscaping improvements directly affected by the project work. • Applicable percentage of indirect costs (design, legal, and admin fees). Notes: • Rehabilitation is typically defined as mill and overlay and/or full depth reclamation activities. • If a residential property benefits from a collector street, the assessment amount shall be based on an equitable formula compared to a typical local roadway, including normalizing to a 31-foot wide street, street section, and other applicable factors. • Pavement projects on streets that provide direct access to Chanhassen property(s) that are being implemented by an adjacent municipality shall not be assessed to the Chanhassen property(s) unless the adjacent municipality is assessing the benefitting property in their jurisdiction as part of the project. • Replacement or repair of existing public water main, storm sewer and/or sanitary sewer shall not be assessed. The City will pay 100% of these improvement costs out of the associated enterprise fund. REGULAR MAINTENANCE: Benefiting properties are not assessed • Activities Include: Pavement patching, pothole filling, crack sealing, chip sealing, sealcoating, and re-stripping. ASSESSMENT PAYMENT OPTIONS • Assessments can be paid in full up front with no charge, or added to annual property taxes with interest. • If elected to be added to annual property taxes, the balance can be paid off at any time during the term if later requested by the property owner. • Interest will be charged to property owners who choose to not pay their assessments in full by November 15th in the year the special assessment is levied. The interest rate will be equal to the average interest cost of the City’s most recent bond issue plus 2%. If the City has not issued bonds in the past year, the City will use the current municipal bond index rate for AAA rated issuers at the time the special assessment is approved. • Unless approved otherwise by the City Council, the maximum financing term for assessments shall be as follows: o $0-$500 1 year o $501-$2,500 5 years o $2,501-$5,000 8 years o $5,001 and above 10 years The City has developed a Frequently Asked Questions (FAQ) document addressing the most common questions concerning assessments. The FAQ document can be found on the City’s website. 528 G:\ENG\Assessments\Assessment FAQ 2022 Update - Clean.docx Page 1 of 2 What are assessments? Assessments are charges to benefiting properties utilized to help finance an improvement project. In Chanhassen and most metro area cities, assessments are used to help finance street reconstruction and rehabilitation projects. These projects are programmed via the Pavement Management Program (PMP). Minnesota State Statutes, Chapter 429, allows the City the authority to assess for projects. Who is assessed for a street improvement project? Owners of property that directly access a public street, or that have a private driveway that has access to a public street, or that have potential future access within the project area are assessed. These properties are determined to be “benefitting properties” and are assessed a cost based on the City’s Assessment Policy. Does the City have an Assessment Policy? Yes. It can be found on the City’s website at this location: https://www.ci.chanhassen.mn.us/432/Assessment-Policy The City started assessing for street improvements in 1993. The Policy was last updated in January 2022. For the construction of a new public streets or public utilities, 100% of the cost is assessed to the benefitting properties. For an improvement project of an existing street, 40% of the cost is assessed to the benefitting properties and the City pays 60% of the street improvement cost. 100% of the public storm sewer, sanitary sewer and water main costs associated with the project are paid by the associated utility enterprise funds and are not included in the cost assessed to the benefitting properties. Why does the City assess for street improvement projects? Why doesn’t the City pay 100% of the project cost? Public streets are part of the City’s Multi-Modal transportation system to provide access to all residents. The City acknowledges the system benefit of a street project by paying 60% of the project cost. Benefitting properties use the roads to get to and from their property on a daily basis, which is why they are assessed 40% of the street project cost. When someone buys a new home in a new subdivision, the cost to construct the new infrastructure was incorporated into the purchase price of the home and property by the Developer and thus was the initial assessment to the property. When is the assessment amount determined? An estimate of the assessment is calculated with the Feasibility Study, which is typically completed six months to a year before a project begins. The final assessment amount is based on the lowest responsible bid amount and is set by City Council at the assessment hearing, CITY OF CHANHASSEN FAQs: ASSESSMENTS 529 G:\ENG\Assessments\Assessment FAQ 2022 Update - Clean.docx Page 2 of 2 which typically occurs in April or May of the construction year. Properties being assessed for the project are notified of the assessment hearing formally by US mail, but the process is also communicated by the City via its website, public open houses, the Chanhassen Connection, social media, and at City Council meetings. What are the payment options for assessments? Please refer to the timeline below for payment options. The City does not accept partial payments of the assessment. Assessment Hearing & final assessment amount is determined and the Assessment Roll is adopted Payments received by this date are not charged interest Payments received by this date are charged the interest that has accrued from the date the Assessment Roll is adopted Annual payments to the assessment are paid with your property taxes. Interest is collected each year based on the outstanding principle owed on the assessment April or May (typically) 90 days after the Assessment Roll is adopted End of the year Term of the assessment* *You can pay off an assessment after it has been certified to your property taxes. The City of Chanhassen Finance Department will calculate the payoff amount, which will include the interest. The Term is based on a tiered amount found in the Policy. Why does the City charge interest on assessments? The City finances the entire project cost until all the assessments have been paid. The interest charged on assessments is the rate the City pays for the bonding (as of the date of the assessment) plus 2%. The interest charged is calculated as simple interest and not a compound interest. Benefitting property owners are encouraged to consult private financial institutions for other ways that can be used to pay off the assessment. This allows the property owner the ability to negotiate the term and interest rates within the competitive market and may have some tax advantages. What does the Franchise Fees Pay for? The Franchise Fees (passed in 2018) help pay for the City’s cost of the project. In lieu of Franchise Fees, the annual property tax levy would have to be adjusted to fund the overall Pavement Management Program (PMP). How can I provide input on the project and the planned improvements? A couple ways: 1. The City and their design consultants typically hold 2 public open houses during the project implementation process. You can attend one or both of these and verbally discuss the project or provide written comments on a comment card at those meetings. 2. Call the City’s Engineering Department at (952) 227-1160 and talk to one of the staff working on the project. 3. E-mail the City’s Engineering Department at Engineering@ci.chanhassen.mn.us and provide your comments or concerns. 530 Area Gross SF Gross SY $/SY M&O Cost Creekwood 11930 1326 18.19$ 24,111.86$ Oakside 14625 1625 18.19$ 29,558.75$ Sunridge 23874 2653 18.19$ 48,252.01$ TOTAL 101,922.61$ 61,153.57$ 40,769.04$ 23-04 Mill & Overlay - Construction Estimate Assessed (40%) City (60%) 531 Pavement Area 483.33 SY Pavement Weight 54.38 Tons Patch 5% Pave. Area 24.17 yd2 Manholes 2 per unit Valves 1 per unit Tack Application 0.05 gal/yd2 Contingency/Mob 0.05 Total $/yd2 17.66 Treatment 18-01 18-02 20-02 20-03 20-05 22-01 Average $/yd2 BITUMINOUS WEAR COURSE (TON)93.42 87.85 89.12 92.95 66.70 89.50 86.59 9.74 BITUMINOUS PATCH SPECIAL 4" DEPTH (SY)x 36.59 x 40.25 x x 38.42 1.92 BITUMINOUS MATERIAL FOR TACK COAT (GAL)3.38 4.14 x x 2.58 x 3.36 0.17 ADJUST VALVE BOX (EA)x 501.97 x 620.00 363.59 x 495.19 1.02 MILL BITUMINOUS SURFACE (2") (SY)x 1.69 x 1.69 1.02 x 1.47 1.47 ADJUST FRAME & RING CASTING (EA)x 557.14 420.00 370.00 716.79 953.49 603.48 2.50 Years to 2022 (n)4 4 2 0 1 0 Interest (i)3% 18-01 18-02 20-02 20-03 20-05 22-01 BITUMINOUS WEAR COURSE (TON)83.00 78.05 84.00 92.95 64.76 89.50 BITUMINOUS PATCH SPECIAL 4" DEPTH (SY)x 32.51 x 40.25 x x BITUMINOUS MATERIAL FOR TACK COAT (GAL)3.00 3.68 x x 2.50 x ADJUST VALVE BOX (EA)x 445.99 x 620.00 353.00 x ADJUST FRAME & RING CASTING (EA)x 495.01 420.00 370.00 695.91 953.49 MILL BITUMINOUS SURFACE (2") (SY)x 1.50 x 1.50 0.91 x * Costs reflect inflation and are pulled from accepted bids from the referenced street rehab project 2" Overlay For the purpose of analysis and unitizing costs to $/yd2, a 150' x 29' road section was utilized. While each road section in Chanhassen differs - manhole spacing, valve can spacing, road width, and other roadway appurtenances, on average, are present once over a 150' span, or otherwise given a % of unit. Similarly, based on Chanhassen specs, a 29' road width is considered average for the City. Unit weight of pavement was conservative at 150 lbs/ft3. To estimate accurate current year costs, Pn = P(1+i)n was utilized where: Pn is total inflated estimated cost, P is base estimated cost, i is inflation, n difference in year analysis, and inflation was estimated at 3%. Street Rehab Project Associated Cost ($)* Street Rehab Project ORIGINAL COST 532 ASSMT UNIT STREET ASSMT 1 Jeffrey W & Gail H Moody 1800 Sunridge Court Chanhassen, MN 55317 1800 Sunridge Court Chanhassen, MN 55317 258260010 1 3,864.00$ 2 Alecia Breeggemann 1751 Sunridge Court Chanhassen, MN 55317 1751 Sunridge Court Chanhassen, MN 55317 258080030 1 3,864.00$ 3 Chris B & Leslie J Erickson 1831 Sunridge Court Chanhassen, MN 55317 1831 Sunridge Court Chanhassen, MN 55317 258080040 1 3,864.00$ 4 Daryl W & Catherine M Hartsel 1851 Sunridge Court Chanhassen, MN 55317 1851 Sunridge Court Chanhassen, MN 55317 258080051 1 3,864.00$ 5 Daniel K & Robin L Edmunds 1861 Sunridge Court Chanhassen, MN 55317 1861 Sunridge Court Chanhassen, MN 55317 258080050 1 3,864.00$ 1 Jayme D & Carol R Lee 1380 Oakside Circle Chanhassen, MN 55317 1380 Oakside Circle Chanhassen, MN 55317 253530030 1 2,960.00$ 2 John E & Brenda L Hill 1360 Oakside Circle Chanhassen, MN 55317 1360 Oakside Circle Chanhassen, MN 55317 253530040 1 2,960.00$ 3 Craig J Peterson 1340 Oakside Circle Chanhassen, MN 55317 1340 Oakside Circle Chanhassen, MN 55317 253530050 1 2,960.00$ 4 James Svoboda 1300 Oakside Circle Chanhassen, MN 55317 1300 Oakside Circle Chanhassen, MN 55317 253530070 1 2,960.00$ 1 James W Sabinske 775 Creekwood Chaska, MN 55318 775 Creekwood Chanhassen, MN 55318 250363600 0.005 49.49$ By area (1.17 acres) 2 Bluff Creek Golf Assoc.PO Box 1060 Chanhassen, MN 55317 1025 Creekwood Drive Chanhassen, MN 55318 250260800 250261400 250261300 0.995 9,590.51$ By area (226.74 acres) NOTES Sunridge Court Oakside Circle Creekwood Drive STREET ASSESSMENT P.I.D.PROPERTY ADDRESSOWNER ADDRESSOWNERPROP. NO. 533 Page 1 of 2 CITY OF CHANHASSEN ASSESSMENT POLICY Last updated January 2022 The City of Chanhassen’s Assessment Policy is intended to provide general direction to City Staff and their consultants in preparation of assessment rolls to ensure fair and consistent treatment of all properties within the City that are subject to an assessment. This document will also be used to educate and explain to property owners about the Policy. All assessments shall follow the process outlined in Minnesota State Statues, Chapter 429, which gives the City the legal authority to assess property. This Policy may not apply in all circumstances, at which time the City Council may direct staff to determine an alternate assessment methodology. All benefiting properties that currently have access, or may have future access, to the public street being reconstructed or rehabilitated shall be included in the assessment roll. This includes property with a shared driveway or private street access to the public street, except where said private street meets applicable criteria to allow for a reduced or no assessment. Applicable criteria includes whether the private street has standard street width, section, and turn-around. There are various ways to calculate assessments, typically done based on the number of parcels, an area, or linear foot calculation. The City shall use the calculation method that creates a reasonable distribution of assessments across the entire roll. When more than one “neighborhood” is contained within the same project, the assessment shall be calculated per each neighborhood, rather than the total project. Public property, private associations, and non-profits will be included in the calculations. Commercial, Medium, and High Density Residential property shall be assessed based on a reasonable determination of vehicular traffic generated. NEW CONSTRUCTION: 100% assessed to all benefitting properties. New construction is typically paid for by the development itself and therefore not formally assessed. In some instances, the City will undertake proactive installation of public utilities to unserved areas and then assess the benefiting properties for the added service. In other instances properties may petition the City directly for the installation of the public improvement. Assessable Costs Include: • Construction of a new public street, trail and/or sidewalk. • Installation of public water main, storm sewer and/or sanitary sewer system, including appurtenances (structures, valves, hydrants, lift stations, etc.), where it did not previously exist. • Indirect costs (design, legal, and administration fees). Notes: • Oversizing of streets and utilities beyond what is needed for the development itself, are paid for by the City and are typically not assessed. RECONSTRUCTION/REHABILITATION: 40% assessed to all benefitting properties Assessable Costs Include: • Pavement associated with public streets, trails and/or sidewalks. This includes draintile, geotechnical (soil corrections, etc.), and other improvements needed to support the function of the pavement structure. • Curb and gutter, including curb impacted solely by utility improvements. • Driveway pavement directly affected by the project work. • Multi-Modal improvements such as ADA ramps and actuated pedestrian crossings such as Rectangular Rapid- Flashing Beacons (RRFB’s). 534 Page 2 of 2 • Signing and stripping. • Retaining walls required within the Right-of-Way. • Tree removal and/or landscaping improvements directly affected by the project work. • Applicable percentage of indirect costs (design, legal, and admin fees). Notes: • Rehabilitation is typically defined as mill and overlay and/or full depth reclamation activities. • If a residential property benefits from a collector street, the assessment amount shall be based on an equitable formula compared to a typical local roadway, including normalizing to a 31-foot wide street, street section, and other applicable factors. • Pavement projects on streets that provide direct access to Chanhassen property(s) that are being implemented by an adjacent municipality shall not be assessed to the Chanhassen property(s) unless the adjacent municipality is assessing the benefitting property in their jurisdiction as part of the project. • Replacement or repair of existing public water main, storm sewer and/or sanitary sewer shall not be assessed. The City will pay 100% of these improvement costs out of the associated enterprise fund. REGULAR MAINTENANCE: Benefiting properties are not assessed • Activities Include: Pavement patching, pothole filling, crack sealing, chip sealing, sealcoating, and re-stripping. ASSESSMENT PAYMENT OPTIONS • Assessments can be paid in full up front with no charge, or added to annual property taxes with interest. • If elected to be added to annual property taxes, the balance can be paid off at any time during the term if later requested by the property owner. • Interest will be charged to property owners who choose to not pay their assessments in full by November 15th in the year the special assessment is levied. The interest rate will be equal to the average interest cost of the City’s most recent bond issue plus 2%. If the City has not issued bonds in the past year, the City will use the current municipal bond index rate for AAA rated issuers at the time the special assessment is approved. • Unless approved otherwise by the City Council, the maximum financing term for assessments shall be as follows: o $0-$500 1 year o $501-$2,500 5 years o $2,501-$5,000 8 years o $5,001 and above 10 years The City has developed a Frequently Asked Questions (FAQ) document addressing the most common questions concerning assessments. The FAQ document can be found on the City’s website. 535 G:\ENG\Assessments\Assessment FAQ 2022 Update - Clean.docx Page 1 of 2 What are assessments? Assessments are charges to benefiting properties utilized to help finance an improvement project. In Chanhassen and most metro area cities, assessments are used to help finance street reconstruction and rehabilitation projects. These projects are programmed via the Pavement Management Program (PMP). Minnesota State Statutes, Chapter 429, allows the City the authority to assess for projects. Who is assessed for a street improvement project? Owners of property that directly access a public street, or that have a private driveway that has access to a public street, or that have potential future access within the project area are assessed. These properties are determined to be “benefitting properties” and are assessed a cost based on the City’s Assessment Policy. Does the City have an Assessment Policy? Yes. It can be found on the City’s website at this location: https://www.ci.chanhassen.mn.us/432/Assessment-Policy The City started assessing for street improvements in 1993. The Policy was last updated in January 2022. For the construction of a new public streets or public utilities, 100% of the cost is assessed to the benefitting properties. For an improvement project of an existing street, 40% of the cost is assessed to the benefitting properties and the City pays 60% of the street improvement cost. 100% of the public storm sewer, sanitary sewer and water main costs associated with the project are paid by the associated utility enterprise funds and are not included in the cost assessed to the benefitting properties. Why does the City assess for street improvement projects? Why doesn’t the City pay 100% of the project cost? Public streets are part of the City’s Multi-Modal transportation system to provide access to all residents. The City acknowledges the system benefit of a street project by paying 60% of the project cost. Benefitting properties use the roads to get to and from their property on a daily basis, which is why they are assessed 40% of the street project cost. When someone buys a new home in a new subdivision, the cost to construct the new infrastructure was incorporated into the purchase price of the home and property by the Developer and thus was the initial assessment to the property. When is the assessment amount determined? An estimate of the assessment is calculated with the Feasibility Study, which is typically completed six months to a year before a project begins. The final assessment amount is based on the lowest responsible bid amount and is set by City Council at the assessment hearing, CITY OF CHANHASSEN FAQs: ASSESSMENTS 536 G:\ENG\Assessments\Assessment FAQ 2022 Update - Clean.docx Page 2 of 2 which typically occurs in April or May of the construction year. Properties being assessed for the project are notified of the assessment hearing formally by US mail, but the process is also communicated by the City via its website, public open houses, the Chanhassen Connection, social media, and at City Council meetings. What are the payment options for assessments? Please refer to the timeline below for payment options. The City does not accept partial payments of the assessment. Assessment Hearing & final assessment amount is determined and the Assessment Roll is adopted Payments received by this date are not charged interest Payments received by this date are charged the interest that has accrued from the date the Assessment Roll is adopted Annual payments to the assessment are paid with your property taxes. Interest is collected each year based on the outstanding principle owed on the assessment April or May (typically) 90 days after the Assessment Roll is adopted End of the year Term of the assessment* *You can pay off an assessment after it has been certified to your property taxes. The City of Chanhassen Finance Department will calculate the payoff amount, which will include the interest. The Term is based on a tiered amount found in the Policy. Why does the City charge interest on assessments? The City finances the entire project cost until all the assessments have been paid. The interest charged on assessments is the rate the City pays for the bonding (as of the date of the assessment) plus 2%. The interest charged is calculated as simple interest and not a compound interest. Benefitting property owners are encouraged to consult private financial institutions for other ways that can be used to pay off the assessment. This allows the property owner the ability to negotiate the term and interest rates within the competitive market and may have some tax advantages. What does the Franchise Fees Pay for? The Franchise Fees (passed in 2018) help pay for the City’s cost of the project. In lieu of Franchise Fees, the annual property tax levy would have to be adjusted to fund the overall Pavement Management Program (PMP). How can I provide input on the project and the planned improvements? A couple ways: 1. The City and their design consultants typically hold 2 public open houses during the project implementation process. You can attend one or both of these and verbally discuss the project or provide written comments on a comment card at those meetings. 2. Call the City’s Engineering Department at (952) 227-1160 and talk to one of the staff working on the project. 3. E-mail the City’s Engineering Department at Engineering@ci.chanhassen.mn.us and provide your comments or concerns. 537 Streets - 2023 Street Improvements Overview Request Owner Charlie Howley, PW Director/City Engineer Department Annual Pvmnt Mgmt Contracted Type Capital Improvement Project Number ST-012-2023 Description The 5-year Capital Pavement Management Plan (PMP) identi es the planned streets for the next ve years. The Plan is updated every fall to revi ew priorities and needs, but generally i ntends to keep the overal l condition index (OCI) average across all streets at 70 or hi gher. The Ci ty uses a Pavement Management System in Cartegraph to moni tor the condition of City streets. While proper preventative maintenance extends the l ife of the street and is cost effective, a street wil l eventually deteriorate to a point that major maintenance is required. Rehabili tation projects exi ted the li fe of the street. In cases when util ities or poor subgrade needs to be repl aced or where streets have deteriorated to a point where rehabil itati on will no longer be practical , reconstructi on of the street i s necessary. A feasibili ty study i s wri tten to consider the merits of the project, scope of work, costs, and assessments. The Ci ty has an Assessment Pol icy that i denti es what and how much of the project is assessed to bene ting properti es. Details Type of Project Resurface Current Road 538 Capital Cost Breakdown Capital Cost FY20 23 Total Engineering $450,000 $450,000 Construction/Maintenance $5,880,000 $5,880,000 Total $6,330,0 00 $6,330,0 00 Capital Cost FY2023 Budget $6,330,000 Total Budget (all years) $6.33M Project Total $6.33M Capital Cost by Year Construction/Maintenance Engineering 2023 $6,330,000.00 $0 $2M $4M $6M Capital Cost for Budgeted Years TOTAL $6,330,000.00 Construction/Maintenance (93%)$5,880,000.0 Engineering (7%)$450,000.00 539 Funding Sources Breakdown Funding Sources FY2023 Total Streets - PMP Funds $2,778,000 $2,778,000 Streets - PMP Assessmen ts $1,852,000 $1,852,000 Utility Fund - Water $700,000 $700,000 Utility Fund - Sewer $250,000 $250,000 Utility Fund - SW Mgmt $750,000 $750,000 Total $6,330,000 $6,330,000 Funding Sources FY2023 Budget $6,330,000 Total Budget (all years) $6.33M Project Total $6.33M Funding Sources by Year Streets - PMP Assessments Streets - PMP Funds Utility Fund - Sewer Utility Fund - SW Mgmt Utility Fund - Water 2023 $6,330,000.00 $0 $2M $4M $6M Funding Sources for Budgeted Years TOTAL $6,330,000.00 Streets - PMP Assessments (29%)$1,852,000.0 Streets - PMP Funds (44%)$2,778,000.00 U tility Fund - Sewer (4%)$250,000.00 U tility Fund - SW Mgmt (12%)$750,000.00 U tility Fund - Water (11%)$700,000.00 540 City Council Item February 13, 2023 Item Approve an Encroachment Agreement between the City of Chanhassen and ATT SHOPS, LLC (Chick-fil-A) File No.N/A Item No: G.1 Agenda Section GENERAL BUSINESS Prepared By Charlie Howley, Director of Public Works/City Engineer Reviewed By Laurie Hokkanen SUGGESTED ACTION "The Chanhassen City Council approves an Encroachment Agreement allowing ATT SHOPS, LLC to construct and install a retaining wall, sidewalk, new curb and pavement, for an expanded drive- thru lane on the subject property that will encroach into the city's easement area located at 445 79th Street West." Motion Type Simple Majority Vote of members present Strategic Priority Asset Management SUMMARY BACKGROUND The property owner (ATT SHOPS, LLC) of 445 79th Street West (Chick-fil-A)) has submitted a permit application to construct and install retaining wall, sidewalk, new curb, and pavement for an expanded drive-thru lane on the property. The improvement will help with vehicle circulation and queuing. The Property is legally described as: Lot 2, Block 1, Zamor Addition, according to the recorded plat thereof, Carver County, Minnesota, EXCEPTING THEREFROM the following tract: That part of Lot 2, Block 1, Zamor Addition, shown as Parcel 208B on Minnesota Department of Transportation Right of Way Plat No. 10-3 filed March 14, 1991 in the office of the County Recorder in and for Carver 541 County, Minnesota, as Document No. 122284, (abstract). In December of 2021, the Planning Commission approved a variance request from the property owner for reduced setback and increased hard cover for the expanded drive-thru improvement. One of the conditions of approval was to enter into an Encroachment Agreement (EA). The property owner submitted for permit for the project in January 2023. This Encroachment Agreement (EA) is the last thing needed to be completed prior to issuance of the permit. DISCUSSION The attached encroachment agreement was drafted by the City Attorney's office. The property owner has signed the encroachment agreement which requires City Council approval before the permit can be issued. Specific conditions are outlined in the agreement. Upon city approval and execution, the encroachment agreement will be recorded against the property. BUDGET N/A RECOMMENDATION Staff recommends approving the encroachment agreement. ATTACHMENTS Encroachment Agreement 542 221296v2 1 (reserved for recording information) ENCROACHMENT AGREEMENT AGREEMENT made this ____ day of _____________, 2023, by and between the CITY OF CHANHASSEN, a Minnesota municipal corporation (“City”), and ATT SHOPS LLC, a Minnesota limited liability company (“ATT” or “Owner”). 1. BACKGROUND. ATT is the fee owner of certain real property located in the City of Chanhassen, County of Carver, State of Minnesota, legally described as follows: Parcel ID No. 25.8900022 Lot 2, Block 1, Zamor Addition, according to the recorded plat thereof, Carver County, Minnesota, EXCEPTING THEREFROM the following tract: That part of Lot 2, Block 1, Zamor Addition, shown as Parcel 208B on Minnesota Department of Transportation Right of Way Plat No. 10-3 filed March 14, 1991 in the office of the County Recorder in and for Carver County, Minnesota, as Document No. 122284, (abstract) having a street address of 445 79th Street West, Chanhassen, Minnesota 55317 (“Subject Property”). The City owns easements for drainage and utility purposes over portions of the Subject Property (“Easement Areas”). ATT desires to construct and install a retaining wall, 543 221296v2 2 sidewalk, new curb and pavement, and a drive-thru lane (“Improvements”) on the Subject Property that encroaches on the City’s Easement Areas as depicted on the attached Exhibit “A”. 2. ENCROACHMENT AUTHORIZATION. The City hereby approves the encroachment in its Easement Areas on the Subject Property for the Improvements subject to the conditions set forth in this Agreement. Further conditions of encroachment approval are as follow: The City shall have no responsibility to maintain or repair the Improvements located within the Easement Areas. The Improvements must not impact or increase water drainage on the abutting properties or cause any adverse drainage patterns or erosion to the abutting properties. ATT agrees that the retaining wall to be built will be 4’ or less in total height, unless an engineered design for walls over 4’ total height is submitted and approved by the City. The Owner, its successors and assigns, are fully responsible and liable for any and all damage caused to the Improvements or resulting from construction and/or installation of the Improvements within the Easement Areas. The Owner of the Subject Property will own and maintain the Improvements. Further, Owner agrees that the Improvements shall be constructed consistent with all applicable federal, state and local laws and regulations. 3. HOLD HARMLESS AND INDEMNITY. In consideration of being allowed to encroach in the Easement Areas, Owner, for itself, its successors and assigns, hereby agrees to indemnify and hold the City harmless from any damage caused to the Subject Property, including any of the Improvements located in the Easement Areas, caused in whole or in part by the encroachment into the Easement Areas. 4. TERMINATION OF AGREEMENT. The City may, at its sole discretion, terminate this Agreement at any time by giving the then owner of the Subject Property sixty (60) days advance written notice, except that no notice period will be required in the case of an emergency condition as determined solely by the City and this Agreement may then be terminated immediately. The property owner shall remove that portion of the Improvements to 544 221296v2 3 the extent they impact the Easement Areas to the effective date of the termination of this Agreement. If the owner fails to do so, the City may remove that portion of the Improvements to the extent they impact the Easement Areas and charge the cost of removal back to the owner for reimbursement. 5. RECORDING. This Agreement shall run with the land and shall be recorded against the title to the Subject Property. CITY OF CHANHASSEN By ___________________________________ (SEAL) Elise Ryan, Mayor And __________________________________ Laurie Hokkanen, City Manager STATE OF MINNESOTA ) )ss. COUNTY OF CARVER ) The foregoing instrument was acknowledged before me this _______ day of __________________, 2022, by Elise Ryan and by Laurie Hokkanen, respectively the Mayor and City Manager of the City of Chanhassen, a Minnesota municipal corporation, on behalf of the corporation and pursuant to the authority granted by its City Council. ____________________________________ Notary Public 545 546 Exhibit “A” INSET Inset Area 547 City Council Item February 13, 2023 Item 2023 Building Permit Activity File No.Item No: J.1 Agenda Section CORRESPONDENCE DISCUSSION Prepared By Jenny Potter, Sr. Admin Support Specialist Reviewed By SUGGESTED ACTION Correspondence Motion Type N/A Strategic Priority N/A SUMMARY BACKGROUND DISCUSSION BUDGET RECOMMENDATION ATTACHMENTS 2023 Building Permit Activity January Year to Date 548 2023 Building Permit Activity January YTI)City of Chanhass€n 7700 Market Boul€vard Chanhassen, MN 55317 952-227-1100 0 0Residential Single-Family 0 0Residential Townhomes 0 0Apartments/Senior Facilities 0Total ResideIItial 0 0 0 0 0Redeveloped 4Remodeled4 4Total Commercial 4 Commercial Building Permits l"t Quarter 2od Quarter 3d Qurrter 4th Quarter Total YTI) 69Single-Family Loa Residential Townhome Lots 53 Total AYaiIable Lots t22 Available fot Inventory (end of Quarter) 98 48 04068Single-Family 0 0180Tormhomes 0 0 110 0Aparhents/Senior Facilities 058626674Commercial t34 282 109 0Total Number of All Permits 431 120 'tY HI \ +44 \t 0 Residential Building Permits I'r Quarter 2d Querter 3d Quarter 46 Quarter Totat YTD New l" Qurrter 2d Quarter 3d Quirter 4t Quarter Total Permit History 2018 2019 2020 2021 2022 2023 49 56 0 268 0 6l g:\adminvorms\building pemit activity 2023'td-doc 549 E g :a :== ; a e: a at :z z s a : T -Q i e Qa e !- ==9 ::: 6 ?:;I t I 6 = B 6 3 I! E a ?B E : z !4 .,1 zz Z 550 City Council Item February 13, 2023 Item Letter from Kennedy & Graven dated January 30, 2023: 2023 First Half Suburban Rate Authority Assessment File No.Item No: J.2 Agenda Section CORRESPONDENCE DISCUSSION Prepared By Amy Weidman, Admin Support Specialist Reviewed By SUGGESTED ACTION N/A Motion Type N/A Strategic Priority N/A SUMMARY BACKGROUND DISCUSSION BUDGET RECOMMENDATION ATTACHMENTS 551 Letter from Kennedy & Graven dated January 30, 2023: 2023 First Half Suburban Rate Authority Assessment 552 Offices in Minneapolis Saint Paul St. Cloud Fifth Street Towers 150 South Fifth Street, Suite 700 Minneapolis, MN 55402 (6 I 2) 337 -9 300 telephone (612) 337-9310 fu< kennedy-graven.com A-ffirmative Action, Equal Opportunity Employer Cuvrory ,lnctrffice JAMES M. STROMMEN Attomey at Law Direct Dial: (612) 337 -9233 Email : jstrommen@kennedy-graven.com January 30,2023 Ms. Laurie Hokkanen City Manager City of Chanhassen P.O. Box 147 Chanhassen, MN 55317 -01 47 Re: 2023 First Half Suburban Rate Authority Assessment this customary time for notice ofthe SRA's first half assessments, I want to take this opportunity to say that it has been my great privilege to represent the Suburban Rate Authority for over 30 years as general counsel. Dedicated SRA board members and the broad and sustained city membership in the SRA have contributed to its many accomplishments overthe years. With thirty- two city members totaling over one million in population, the SRA continues to provide an effective collective voice to utilities that serve SRA cities, and with the Public Utilities Commission. I have retired from Kennedy & Graven as of December 3l ,2022 but will stay on as Of Counsel to complete certain matters, including remaining proceedings in Xcel Energy's large, multi-year electric rate increase petition to the PUC. Many of you know my partner, Bob Vose, who succeeds me as SRA general counsel. Kennedy & Graven associates, Joe Sathe and Sam Ketchum will also be assisting Bob in the important utility issues the SRA was formed in 1974 to address. My able assistant, Lisa Larson, will remain ready to assist members administratively. 2022 was a very busy year for the SRA. All three gas and electric utilities serving substantially all SRA members filed for rate increases beginning 2022: CenterPoint Energy, Xcel Gas and Xcel Electric - which will continue well into 2023 with its request for electric rate increases in 2022, 2023 and 2024. Xcel Electric began the case with a $677 million increase request over the three years, now revised downward to $498 million due to a higher sales forecast from the revived post- COVID economy. Regardless, streetlighting and municipal pumping rates stand to increase substantially, and the SRA is addressing ways to moderate those increases and reward LED streetlighting customers more than proposed by Xcel. SRA cities have substantially changed over from the less efficient High Pressure Sodium streetlighting to the energy efficient and longer lasting LED fixtures. 553 Ms. Laurie Hokkanen January 30,2023 Page 2 Other issues are also ongoing or on the horizon regarding utility rates and services affecting SRA cities. Xcel is pushing for electric vehicle (EV) charging stations, there is significant utility changeover to greater technology use in the delivery of energy, legislatively-required reduction in carbon emissions in gas and electricity generation for retail use, and more utility cost assistance programs to help financially-challenged residential customers in an increasing utility rate environment. All of these issues impact SRA cities and their residents. Despite this rapid growth and convergence of current and future issues, the SRA has functioned within its budget with moderate, below inflation, increases in member assessments for 2023. The SRA is strengthened by each member,large and small, and each city is benefitted by the collective identification of issues from SRA board members. We thank you for your continued membership and are always available for questions and suggestions you may have. ( I .t/ t4"{rfi,.*,"mmen a-\n/ \'ltnurfuMyours, General Counsel Enclosure cc:SRA Delegate Bob Vose 554