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011209 CC Reg AgPCITY OF SHOREWOOD 5735 COUNTRY CLUB ROAD CITY COUNCIL REGULAR MEETING SOUTHSHORE CENTER MONDAY, JANUARY 12, 2009 7:00 P.M. AGENDA City Administrator/Clerk Brian Heck will administer the Oath of Office to newly elected Mayor Christine Lizee and Councilmembers Richard Woodruff and Scott Zerby (four-year term) and Councilmembers Jeff Bailey and Laura Turgeon (two-year term). 1 2. 3. CONVENE CITY COUNCIL MEETING A. Roll Call Mayor Liz6e Bailey Turgeon Woodruff Zerby B. Review Agenda APPROVAL OF MINUTES A. City Council Executive Session Minutes, December 8, 2008 (Att. - Minutes) B. City Council Regular Meeting Minutes, December 8, 2008 (Att.- Minutes) CONSENT AGENDA - Motion to approve items on Consent Agenda & Adopt Resolutions Therein: NOTE: Give the public an opportunity to request an item be removed from the Consent Agenda. Comments can be taken or questions asked following removal from Consent Agenda. A. Approval of the Verified Claims List (Att.- Claims List) B. Setting the 2009 City Council Regular Meeting Dates (Att.- Draft Resolution) C. City Clerk's License List (Att. - Deputy Clerk's memorandum) D. Travel Policy for Elected Officials (Att. - Administrator's memorandum) E. Establishing May 16, 2009, as Spring Clean-up Day (Att. - Director of Public Works' memorandum) F. Memorandum of Understanding with AFSCME (Att. - Administrator's memorandum) G. Authorizing the Mayor and City Administrator to Extend the EPDB Conditional Use License Agreement with Hennepin County (Att. - Staff memorandum, Resolution) CITY COUNCIL REGULAR MEETING AGENDA - JANUARY 12, 2009 PAGE 2 OF 3 H. Right-of-Way Violation Time Extension Requests (Att. - Engineer's memorandum) 1. Set Public Information Meeting Date for Harding Lane and Smithtown Lane (Att. - Engineer's memorandum) J. Approving a Temporary Gambling License for Holy Family Catholic High School (Att. - Deputy Clerk's memorandum, Resolution) 4. MATTERS FROM THE FLOOR (No Council action will be taken.) 5. REPORTS AND PRESENTATIONS 6. PUBLIC HEARING 7. PARKS - Report by Representative A. Report on Park Commission Meeting Held December 9, 2008 (Att.- Draft Minutes) B. Report on January 17 Arctic Fever Event 8. PLANNING - Report by Representative 9. GENERAL/NEW BUSINESS A. Making Appointments to Certain Offices and Positions within the City of Shorewood for the Year 2009 (Att.- Draft Resolution) B. Southshore Center Lease (Att. - Administrator's memorandum) C. Board Representative Terms (Att. - Administrator's memorandum) D. Investment Policy (Att. - Finance Director's memorandum) E. Recycling Vendor Discussion F. City Document Archiving and Scanning Procedure and Services Discussion 10. ENGINEERING/PUBLIC WORKS A. Drainage and Utility Easement for City Owned House (Att. - Engineer's memorandum) 11. STAFF AND COUNCIL REPORTS A. Administrator & Staff 1. City Hall Construction Update 2. Water Tower Update B. Mayor & City Council CITY COUNCIL REGULAR MEETING AGENDA - JANUARY 12, 2009 PAGE 3 OF 3 12. RECESS TO EXECUTIVE SESSION A. Discussion on Police Contract 13. RECONVENE TO REGULAR CITY COUNCIL MEETING 14. ADJOURN ~Y rTTY 7 5755 COUNTRY CLUB ROAD - SHOREWOOD, MINNESOTA 55331-8927 ® (952) 474-3236 FAX (952) 474-0128 ® www.ci.shorewood.mn.us - cityhall@ci.shorewood.mn.us Executive Summary Shorewood City Council Regular Meeting Monday, 12 January, 2009 • A 6:00 p.m. Work Session is scheduled this evening Prior to the start of the Regular meeting, Administrator/Clerk Brian Heck will administer the Oath of Office to newly elected Mayor Lizee and Councilmembers Bailey, Turgeon, Woodruff and Zerby. Agenda Item #3A: Enclosed is the Verified Claims List for Council approval. Agenda Item #313: This item sets the Regular City Council meetings for the 2°d and 4th Mondays of each month. The only change is for the May 25 meeting, which falls on the Memorial Day holiday; it is recommended this meeting be changed to Tuesday, May 26. The meetings are to be held at the Southshore Center until construction of City Hall is complete. Agenda Item #3C: Three additional Tree Trimmer and two additional Garbage Hauler license requests have been received at the City and reviewed for completeness. As all license fees and requirements have been met, licenses have been issued to the Tree Trimmers and Garbage Haulers listed. Agenda Item #31): Beginning in 2006, the Legislature requires that cities have an "elected officials out-of-state travel policy", and that it be reviewed annually. The Council adopted the policy in 2006, and it was adapted from a model prepared by the League of Minnesota Cities. No changes were made after review in January 2008. No further action is required at this time unless the Council wishes to make modifications to it. Agenda Item 43E: This motion establishes Saturday, May 16, 2009, as Spring Clean-up Day. Agenda Item #317: This item is a memorandum of understanding between the City of Shorewood and AFSCME Council 5, Local 224, City of Shorewood Public Works employees, regarding licensure for sanitary sewer and water operations. Agenda Item #3G: This Resolution extends the annual Agreement with Hennepin County for Electronic Parcel Database (EPDB) for the purpose of obtaining Shorewood parcel data during the Year 2009. ®11 3®0® PRINTED ON RECYCLED PAPER Executive Summary - City Council Meeting of January 12, 2009 Page 2 of 3 Agenda Item #3H: Two Right of Way encroachment violations were transmitted to two different properties. Both have agreed to remove the items and have requested a time extension. Staff recommends a time extension to May 31, 2009 for compliance. Agenda Item #31; Staff recommends that a public information meeting be scheduled for Tuesday, January 27, 2009, from 7:00 p.m. to 8:30 p.m., at the South Shore Center to discuss Harding Lane and Smithtown Lane infrastructure improvements. Notices will be sent to all residents on and around the subject roadways, in addition to posting the date on the City's web site. Agenda Item #3J: Holy Family Catholic High School has submitted an application and appropriate fee for a Minnesota Lawful Gambling Permit for a fundraising event to be held on Saturday, March 7, 2009, at the Minnetonka Country Club, 24575 Smithtown Road. Proceeds from the event will be used to support the Parish High School. Approval of a resolution is in order. Agenda Item #7A: Park Commissioner Travis DeMers will report on the December 9, 2008, Park Commission Meeting. Agenda Item #713: Public Works Director Larry Brown will report on the upcoming January 17 Arctic Fever Event. Agenda Item #9A: This annual resolution makes Year 2009 appointments to certain offices and positions within the City. Agenda Item #913: This item is the Southshore Center Lease for Council's consideration. Agenda Item #9C: Council is being asked to discuss the option of making the Lake Minnetonka Conservation District (LMCD) and maybe the Minnetonka Community Education (MCE) Board Representative appointments for a term of more than one year. The LMCD Board term is open for three years, and as of this printing, we are waiting to hear from the MCE if a term of more than one-year is preferred. The LMCC Board Representative is a one-year term. Agenda Item #91): The City Council has expressed interest in revisions to the City's Investment Policy. A revised policy is attached that, 1) allows for the formation of an investment committee; and 2) modifies the FDIC amount from $100,000 to `maximum allowable by the FDIC'. Staff recommends approval of the revised policy. Agenda Item #9E: Councilmember Zerby requested this topic be placed on the agenda for discussion. Agenda Item #10A: A drainage and utility easement has been prepared for 5795 Country Club Rd (the City owned house) for execution and recording before the property is sold. Staff recommends approval of the document. Executive Summary - City Council Meeting of January 12, 2009 Page 3 of 3 Agenda Item 912: The Council will need to recess its regular meeting and convene in executive session for its internal discussion of the Police Contract. At the end of the executive session, it will need to reconvene its regular meeting prior to adjournment. CITY OF SHOREWOOD CITY COUNCIL EXECUTIVE SESSION MONDAY, DECEMBER 8, 2008 MINUTES 1. CONVENE CITY COUNCIL EXECUTIVE SESSION 5735 COUNTRY CLUB ROAD SOUTHSHORE CENTER 6:30 P.M. Mayor Liz6e called the meeting to order at 6:40 P.M. A. Roll Call Present. Mayor Liz6e; Councilmembers Turgeon, Wellens and Woodruff; and Administrator Heck Absent: Councilmember Bailey B. Review Agenda Woodruff moved, Wellens seconded, approving the agenda as presented. Motion passed 4/0. 2. CITY ADMINISTRATOR PERFORMANCE REN'IF,W The purpose of the executive session was to discuss the Cite Administrator's performance review. Council discussed the City Administrator's performance. Mayor Liz6e, Councilmembers Turgeon, Wellens and Woodruff and Administrator Heck were present. 3. ADJOURN Wellens moved, Woodruff seconded, adjourning the City Council Executive Session of December 8, 2008, was adjourned at 6:55 P.M. iMotiorr passed 4/0. RESPECTFULLY SUBMITTED, Christine Freeman, Recorder ATTEST: Brian Heck, City Administrator/Clerk Christine Lizee, Mayor #Za CITY OF SHOREWOOD 5735 COUNTRY CLUB ROAD CITY COUNCIL REGULAR MEETING SOUTHSHORE CENTER MONDAY, DECEMBER 8, 2008 7:00 P.M. MINUTES 1. CONVENE CITY COUNCIL REGULAR MEETING Mayor Lizee called the meeting to order at 7:01 P.M. A. Roll Call Present. Mayor Lizee; Councilmembers Turgeon, Wellens and Woodruff, Attorney Keane (arrived at 7:28 P.M.); City Administrator Heck; Finance Director Burton; Planning Director Nielsen; Director of Public Works Brown (arrived at 7:20 P.M.); and Engineer Landini Absent: Councilmember Bailey B. Review Agenda Wellens moved, Turgeon seconded, approving the agenda as presented. Motion passed 4/0. 2. APPROVAL OF MINUTES A. City Council Executive Session Minutes, November 24, 2008 Woodruff moved, Turgeon seconded, Approving the City Council Executive Session Minutes of November 24, 2008, as presented. Motion passed 4/0. B. City Council Work Session Minutes, November 24, 2008 Turgeon moved, Wellens seconded, Approving the City Council Work Session Minutes of November 24, 2008, as amended in Item 2, Page 3, Paragraph 7, Sentence 3 change "Enchanted and Phelps Islands" to "Enchanted and Shady Islands". Motion passed 4/0. C. City Council Regular Meeting Minutes, November 24, 2008 Wellens moved, Turgeon seconded, Approving the City Council Regular Meeting Minutes of November 24, 2008, as amended in Item 2.A change "It was decided it was not necessary to spend the 2008 planned capital outlay of $100,000 in order to increase the fund balance for 2009 projects." to "It was decided it was not necessary to spend the 2008 planned capital outlay of $100,000. The result being an increase of the fund balance for 2009 projects."; in Item 8.C, Page 13, Paragraph 5, Sentence 6 change "A series of culverts with be installed" to "A series of culverts will be installed"; in Item 9.A, Page 15, Paragraph 7 change "Councilmember Koblick" to Commissioner Koblick"; in Item 9.11, Page 16, Paragraph 5, Sentence 2 change "would be wise to take it of the City's tax rolls" to "would be wise to take it off the City's tax rolls"; in Item I LB, Page 19, Paragraph 1, Sentence 1 change "Councilmember Woodruff stated he attended" to "Councilmember Woodruff stated he viewed the recording of"; and in Item 11.B, Paragraph 2, #ZB SHOREWOOD CITY COUNCIL, REGULAR MEETING MINUTES December 8, 2008 Page 2 of 14 after Sentence 3 add "He stated it was his recollection that the 2 - 3 year consecutive requirement would also apply to a mandatory contribution." Motion passed 4/0. D. City Council Special Meeting Minutes, December 1, 2008 Woodruff moved, Wellens seconded, Approving the City Council Special Meeting Minutes of December 1, 2008, as amended in Item 4, Page 3, Paragraph 2, Sentence 2 change "Motion passed a/0." to "Motion passed 4/0." Motion passed 4/0. 3. CONSENT AGENDA Mayor Liz& reviewed the items on the Consent Agenda. She noted under verified claims check #47638 was added for League of Minnesota Cities Insurance Trust for an amount of $70,096. Turgeon moved, Woodruff seconded, Approving the Motions Contained on the Consent Agenda and Adopting the Resolutions Therein. A. Approval of the Verified Claims List B. December 2008 Council Meeting Schedule C. Setting the Date for the Storm Water Pollution Prevention Program (SWPPP) Public Information Meeting D. City Clerk's License List E. Authorize Expenditure of Funds for 800 Megahertz Radios F. Adopting RESOLUTION NO. 08-086, "A Resolution Approving the Plat of Petron 2ND Addition for Karen Petron, 4845 and 4865 Suburban Drive." G. Adopting RESOLUTION NO. 08-087, "A Resolution Vacating Part of Suburban Drive" and RESOLUTION NO. 08-088, "A Resolution Vacating Part of Sunset Lane". H. Adopting RESOLUTION NO. 08-089, "A Resolution Approving Subdivision of Real Property for Milton Seifert, 6085 Lake Linden Drive." Motion passed 4/0. 4. MATTERS FROM THE FLOOR There were no matters from the floor presented this evening. 5. REPORTS AND PRESENTATIONS A. Recognition of Service for Council Member Martin Wellens SHOREWOOD CITY COUNCIL REGULAR MEETING MINUTES December 8, 2008 Page 3 of 14 Mayor Lizee stated this evening's meeting is Councilmember Wellens' last official meeting as a member of the Council. She presented Wellens with a plaque in appreciation for his four years of dedicated service as a Councilmember. She thanked Wellens for his service. Councilmember Wellens thanked Mayor Lizee. 6. PUBLIC HEARING None. 7. PARKS Mayor Lizee stated there had not been a Park Commission meeting since the last City Council regular meeting, noting a meeting was scheduled for December 9, 2008. 8. PLANNING Director Nielsen reported on matters considered and actions taken at the December 2, 2008, Planning Commission meeting (as detailed in the minutes of that meetliig). 9. GENERAL/NEW BUSINESS A. Approving the 2009 Budget and Approving the Property Tax Levy Collectible in 2009 Mayor Lizee stated the meeting packet contained a proposed resolution which approves the final 2009 Budget and the 2008 Tax Levy collectible in 2009. She explained the proposed budgets reflect a great deal of discussion by and direction from Council. On September 8, 2008, Council approved the Proposed 2009 Budget, which was certified to Hennepin County. The City held the Truth-in-Taxation public hearing on December 1, 2008, to discuss and receive public comment on the proposed budget and tax levy; the Council determined that no continuation of the public hearing was necessary and it directed Staff to prepare resolutions to adopt the final 2009 budget and tax levy. Wellens moved, Woodruff seconded, Adopting RESOLUTION NO. 08-090, "A Resolution Adopting the 2009 Budgets and Approving the 2008 Property Tax Levy Collectible in 2009." Councilmember Woodruff stated the levy increase is 3.6 percent. Motion passed 4/0. B. Establishing the 2009 Pay Scale and City Insurance Contribution Mayor Lizee stated the meeting packet contained a proposed resolution revising the City's Wage and Salary Chart for 2009 and setting the monthly employer insurance contribution. She noted Council has discussed this topic many times. The City's wage and salary chart reflects a 3 percent economic adjustment increase for non-union staff in January and the City's contribution toward the employee insurance will be set to a maximum of up to $800 per month per employee for 2009. SHOREWOOD CITY COUNCIL REGULAR MEETING MINUTES December 8, 2008 Page 4 of 14 Turgeon moved, Wellens seconded, Adopting RESOLUTION NO. 08-091, "A Resolution Revising the City's Wage and Salary Range Chart for 2009 and Setting the Monthly Employer Contribution Toward the Monthly Insurance Premium for City Employees." Councilmember Turgeon stated the contract with the City's union personnel expires in 2009. She explained the City has some employees that are paid an extra $1.00 per hour if they have specific certifications or training, and she requested additional pay for things like that be made consistent for all union employees. Motion passed 4/0. C. Authorizing the Transfer of Funds Wellens moved, Woodruff seconded, Adopting RESOLUTION NO. 08-092, "A Resolution Authorizing the Transfer of Funds." Motion passed 4/0. D. Approval of the 2008-2012 Capital Improvement Program Administrator Heck stated the Capital Improvement Program (CIP) for 2008 - 2012 included in the packet, includes the changes requested by Council during its December 1, 2008, work session meeting. The projects identified for 2009, in particularly the large projects, will be discussed in detail with Council prior to Staff asking for authorization to move forward with a project. Wellens moved, Woodruff seconded, Adopting RESOLUTION NO. 08-093, "A Resolution Adopting a Capital Improvement Program for the Years 2008 - 2012." Motion passed 4/0. E. Going out of Business Sale Director Nielsen stated at its October 27, 2008, work session, Council directed Staff to research the City's current ordinance pertaining to businesses that go out of business. The issue was raised by a business owner in the City who was trying to go out of business; this owner thought the inventory provisions in the City Code were cumbersome. The provisions of the City Code Chapter 307 were adopted in 1987 on a 4-to-1' vote. Based on meeting minutes, it appears the ordinance was adopted because of an issue of misrepresentation. Nielsen explained Staff examined ordinances for 16 cities regarding this topic. Minneapolis was the only other city that has a "Going Out of Business Sales" ordinance, noting the City's ordinance and the Minneapolis ordinance are word-for-word identical. Minneapolis' ordinance has been in effect since the mid 1970s. He commented the City of St. Paul has a much shorter ordinance pertaining to "close-out- sales". He stated signage may have been an issue when the ordinance was adopted in 1987; the current signage code addresses the issues that existed back then. He commented he was not sure if the City ever needed to use the ordinance. Nielsen stated Staff thinks the regulations are outdated and unnecessary. Staff took the liberty of preparing an ordinance repealing Chapter 307 for Council's consideration. Wellens moved, Turgeon seconded, Approving ORDINANCE NO. 454, "An Ordinance Amending the Shorewood City Code to Repeal Regulations Pertaining to Going Out of Business Sales." Motion passed 4/0. SHOREWOOD CITE' COUNCIL REGULAR MEETING MINUTES December 8, 2008 Page 5 of 14 F. Southshore Center Lease and Cooperative Agreement Mayor Lizee noted that Tom Anderson, President of the Friends of the Southshore Community Center, was present this evening. Administrator Heck stated a number of months ago a Committee was established to identify a way to continue the operation of the Southshore Center (the Center) and programs offered at the Center without continued financial support by the five member cities (the Cities), and to identify who was responsible for short-term and long-term care of the facility. The Committee was to complete its charge by the end of 2008. Heck explained the Committee agreed to a proposed solution which changes the lease arrangement the Cities have with the Friends of the Southshore Center (the Friends). Under the proposed lease the Cities will be responsible for the capital infrastructure of the facility. Under the original lease the Friends were responsible for all operations and maintenance of the Center. When Council discussed the proposed lease at its November 10, 2008, meeting it requested the lease be modified to more specifically identify the Cities' responsibilities and the Friends' responsibilities regarding maintenance and repairs. An attachment to the lease amendment has been prepared to address that request. He noted a minor change to the attachment; the Friends would be responsible for replacement of kitchen appliances. Heck then explained there was also a proposed. amendment to the Cooperative Agreement between the Cities. It would require the Cities to maintain a Capital Reserve' Fund for capital maintenance and improvements. The Fund would be administered by Shorewood, and it would be established with a one- time $15,000 contribution from the Friends. Each mcmber cities' contribution to the Fund would be determined using the same percent used to determine its contribution for the construction of the facility. The amendment would establish a Governing Board compromised of an elected official from each member city. One of its responsibilities would be scheduling capital repairs of the facility and disbursement of funds. The exit conditions in the Agreement would also be changed; if a city chooses to withdraw from the Agreement it would be entitled to receive its original investment back at the time the Agreement was dissolved and the facility sold. Heck stated per Council's request the Friends provided profit and loss information for 2008 year-to-date actuals and year-end forecasts for 2008 and 2009. He noted the meeting packet contained copies of the amendments and the financial information. He clarified that for ease of understanding, copies of the original lease and Cooperative Agreement were included with the proposed amendments reflected in the documents. The changes will not be made to the original documents; they will remain as separate amendments. He noted Mayor Lizee served on the Committee. He also noted that Excelsior had approved the amendments. Council first discussed the proposed third amendment to the lease agreement between the Cities and the Friends. Councilmember Woodruff's comments and concerns are as follows. ➢ The first paragraph of the lease should include an article number and he thought it should be Article 34. ➢ The amendment should include a definition for "outside interest" because it's referenced in the amendment. SHOREWOOD CITE' COUNCIL REGULAR MEETING MINUTES December 8, 2008 Page 6 of 14 ➢ He questioned who would be responsible for personal property; the amendment specifies the Friends only have to be responsible for liability insurance within the facility. He did not want the Cities to be responsible for personal property for the Friends or other renters. ➢ He expressed overall concern with how the responsibilities for insurance were defined, and he thought it would be difficult for an insurer to write an insurance policy based on how the responsibilities are divided up. For example, the Cities are responsible for insuring the sidewalk and the Friends are responsible for shoveling the sidewalk; he questioned who would be liable if someone was hurt on the sidewalk if it was not shoveled. ➢ He questioned what commitment the Friends would have to maintaining things (e.g., carpet) when it's not responsible for paying to replace them. ➢ The line item ballast repair should be removed from the lease attachment as ballasts cannot be repaired. ➢ He suggested ballast replacement should be a responsibility of the Friends. If a ballast can't be replaced it's the Cities responsibility to replace the fixture. ➢ He questioned how responsibility for items not identified in the list (e.g., the ceiling, wiring, etc.) would be determined; the responsibility list in the lease attachment is not all inclusive. ➢ He did not think the lease amendment included any provisions regarding the Friends subletting space in the facility (e.g.; who can the Friends sublet to and under what circumstances). ➢ He would not support approving the third lease amendment the way it was written. Councilmember Turgeon stated the amendment did not address who would be responsible for insurance for personal property of other parties renting space in the Center; it should be clarified to address that. The Cities should not be responsible for insurance for "outside interests" personal property. Because a City will only get its original investment in the construction of the Center back should they withdraw from the agreement, she suggested all five cities contribute equal amounts to the capital fund. She suggested the formal name of the Friernds organization and the Center be made correct and consistent in the lease, the Cooperative Agreement and the conditional use permit. Also, any reference to the name and address of the firm providing legal services to Shorewood should be corrected to reflect the upcoming change in firms. Councilmember Wellens expressed concern that the Friends could rent space in the Center to outside interests and possibly make a profit off rentals. He stated the taxpayers are subsidizing the facility yet they would not share in the profits, and the building is not being used for what it was intended for. He requested the amendment include a nondiscrimination clause; a clause where no particular group, including the seniors, get preferential use of the facility. A "true community center" would not grant a priority for use to any group. Mayor Lizee explained the seniors have traditionally used the Center during the day hours when it was not used by others, and the Friends hope to expand the use of the Center for school related activities. She stated the rental of the Center has not been discriminatory. Mr. Anderson's comments and clarifications are as follows. ➢ The original Cooperative Agreement developed in 1996 intended for the Cities to take over capital responsibilities for the facility. The left over construction fiends would be SHOREWOOD CITY COUNCIL REGULAR MEETING MINUTES December 8, 2008 Page 7 of 14 placed in a capital fund. When there were no funds left over after construction, the responsibility for having the Cities take care of the capital needs was removed and the lease agreement was changed to make those costs the responsibility of the Friends. ➢ All the furnishings in the Center are owned by the Friends. ➢ The Friends contributed $100,000 to help finish the construction of the facility and to furnish the facility. ➢ The pad the building sits on belongs to the Cities, but the surrounding property belongs to Shorewood. Shorewood plows the driveway as its Shorewood's property. ➢ The intent in the lease amendment is for the Cities to be responsible for property and casual insurance for the structure. Personal liability insurance would be the responsibility of the Friends; the Friends would be responsible for the internal furnishings. Responsibility for things such as wiring and fixtures should be no different than under any other standard tenant/landlord arrangement. ➢ The bulk of the rentals of the facility have been for non-senior activities. The use by non- senior groups will increase substantially when Minnetonka Community Education (MCE) begins to use the facility for community activities other than senior activities. ➢ In most communities that have senior progranns it's rare that seniors get to carve out something for themselves. ➢ Because of the Friends current financial situation it needs the City's support of the proposed amendments to help keep the Center operational. ➢ The language in the amendment can be clarified to ensure 5 - 10 years in the future that it is clear to other individuals who are involved. ➢ If the Friends and the Cities cannot reach agreement he questioned where the responsibility for the facility would lie. iP the Friends cease to exist. He also questioned who would pay the bills and coordinate activities. Attorney Keane stated the operational reality has been the Cities have secured the casualty and liability insurance through the League of Minnesota Cities (LMC) Insurance Trust. The responsibility for insuring for the contents of the facility has bce» the responsibility of the tenant because the personal property belongs to the tenant. He clariFied the lease does address pre-approval of subletting of space in the Center, and it states that anv subtenant relationship has to be consistent with the purpose/use clause of the lease. Administrator Heck stated it was his understanding Council wanted the section in the lease amendment regarding insurance modified to specify that insurance for furniture, fixtures and equipment (i.e.; movable furniture, fixtures or other equipment that are have no permanent connection to the structure) is the responsibility of the Friends. Also, when another organization or individual sublets space from the Friends, the Friends have to ensure there is documentation that states that party is responsible for their personal property. Council then discussed the proposed amendment to the Cooperative Agreement. Councilmember Woodruff's comments and concerns are as follows. ➢ He stated the statement "No member City shall use the Southshore Community Center as collateral or security for any bonded indebtedness." was added to Section 2, Ownership, and lie recommended the words "bonded indebtedness" be removed. ➢ He suggested the Amendment address the Friends responsibilities for operating the Center and the processes for executing the responsibilities. SHOREW®®D CITY COUNCIL REGULAR MEETING MINUTES December 8, 2008 Page 8 of 14 ➢ He was not in support of Shorewood assuming responsibility for administering the Capital Reserve Fund. He wanted that responsibility to rotate among the Cities. The Excelsior Fire District's fiscal agent responsibilities are handled by a member city under contract. ➢ He expressed concern that a member city could withdraw fi•om the Cooperative Agreement without there being any sanction, and that city's residents could continue to use the facility. ➢ He recommended that a member city should forfeit its share in the facility if it withdraws from the Cooperative Agreement; the other member cities would have to assume responsibility for that city's portion of cost for capital maintenance and repairs. ➢ He stated there was no process identified for dissolving the Agreement. ➢ He said a new section is proposed to be added after Section 7 that would establish a Governing Board with eight specific responsibilities. From his high level perspective, it appeared the Agreement was similar to a joint powers agreement (JPA) and there was insufficient information to define how that JPA would work. He stated responsibility for authorizing payment of operational and capital eNpenditures was not addressed. Also, it did not identify how many of the member cities had to approve a capital project or any other decision before it could move forward. ➢ He was not ready to approve the amendment to the Cooperative Agreement the way it was written. Couneilmember Wellens stated his only comment was all residents should be treated equally regarding the opportunity to use the Center and the costs to use it should be the same. Couneilmember Turgeon expressed concern that a mcmbcr city could choose to withdraw from the Cooperative Agreement and that the other member cities would be responsible for its portion of the capital costs. For Shorewood that would be 50 percent of that member cities' share of the cost. She stated she was not in support of a withdrav,ving city recouping its original investment or its residents still having the opportunity to use the Center. Slle then stated she thought MCE could bring a lot of good programs to the Center. She recommended the Friends and NICE ensure the residents continue to have an opportunity to use the Center for gatherings. Mayor Liz& explained the reason the Committee thought Shorewood should be responsible for administering the Capital Reserve Fund is the facility is located in Shorewood and Shorewood owned 50 percent of the facility. The Committee did not think it was efficient to rotate that responsibility. A Governing Board would be established to manage the use of the Fund. She stated the member cities have charged the Friends with finding adequate uses for the Center and to make it work for the community. Administrator Heck stated the Committee discussed the idea that if a member city chose to withdraw from the Cooperative Agreement then it would lose its original investment, but that penalty scenario was rejected. He clarified that Section 7 of the original Agreement states that two-thirds of the member cities must approve the dissolution of the Agreement, an amendment to the agreement, the sale of the Center, or the termination of the lease with the Friends. He thought that applied to other decisions also. Mr. Anderson's comments and clarifications are as follows. ➢ The Friends were asked to run the Center; therefore, the Cities should have trust in the Friends' ability to do so. ➢ The Friends would prefer to rent the Center and have the Cities manage the Center. SHOREWOOD CITY COUNCIL REGULAR MEETING MINUTES December 8, 2008 Page 9 of 14 ➢ The loss of block grant funds, the loss of United Way funds, and the loss of the Metropolitan Council Transportation Contract necessitated that the Friends and the Cities rethink the current approach to operating and funding the Center. The vendor who was running the programs at the Center in 2007 stated it would cost $60,000 a year more to do so in 2008. The Cities agreed to provide $25,000 in funding for 2008 only. ➢ During the last 15 months the Friends have presented the Committee with a member of proposals that identified ways to continue the operation of the Center and who would be responsible for short-term and long-term care of the facility. One of the proposals was the Friends would pay a monthly fee to rent the Center and the Cities would manage the facility; that proposal was rejected by some of the Cities. ➢ Some of the Cities stated they were not opposed to paying for capital maintenance and repairs of the facility, but the Cities did not want to pay for programs. ➢ The proposed landlord/tenant relationship limits the Cities liability and eliminates the voluntary contributions to the operation of the Center. The Friends are also proposing to make a one-time contribution of $15,000 to the Capital Deserve Fund out of its reserves. ➢ The Friends think the proposal is very fair and equitable. ➢ He stated there could be some clarifications made to the two amendments. ➢ It's critical that the Friends and the Cities reach an agreement soon. If not the Friends will have to cease its operations sometime (luring the first quarter of 2009 due to lack of funding. ➢ The Friends will have to pay approximately $30,000 to manage the NICE arrangement because there is no staff at the Center. Councilmember Woodruff stated it was his understanding that for 2009 the Cities would not make any contribution, capital or operating, and the Friends would make the initial $15,000 contribution to establish the Capital Reserve Fund. He then stated the Friends and the Cities already have a lease. He did not think there is any reason that the current lease situation could not remain in effect until clarifications have been made to the amendments for the lease and Cooperative Agreement. He did not understand why the Friends would have to cease operations in t`ebruary 2009 if the amendments were not approved. Mr. Anderson explained if the Friends do not make the $15,000 contribution to the Capital Reserve Fund until an agreement is reached and if there are capital repairs made before the agreement is reached, then the Friends will have to pay for the repairs out of the $15,000. When an agreement is finally reached the Friends would no longer contribute the entire $15,000 because some of it would have already been spent. Mr. Anderson stated the Cities directed the resolution of this issue 15 months ago, and the Friends have made a very concerted effort to do so. He questioned what guarantee the Friends have that this issue will be resolved in 90 days. The Cities set the January 1, 2009, deadline for resolving the issue and the Friends have delivered what was asked. If the Cities want to continue to delay taking action then the Friends may have to consider doing other things. He strongly encouraged Council to consider what it would do with the Center if the Friends did not manage the operations of the Center. Councilmember Woodruff stated lie was not saying he did not want to do the deal. The issue at hand was how to word the intricacies in the two amendments so there is a clear understanding of the responsibilities and accountabilities into the future. He anticipated that resolving what clarifications needed to be made to the amendments could be done by February 2009. He commented that Council first discussed the lease amendment at its November 10, 2008, meeting. SHOREW®®D CITY COUNCIL REGULAR MEETING MINUTES December S, 2008 Page 10 of 14 Mr. Anderson stated he agreed with some of the clarifications recommended for the amendments. He then stated he could support Council providing direction to have staff clarify the document expeditiously so that Council could approve the document. If there is going to be discussion about whether or not there should be a Center than that could take a very long time to resolve. Councilmember Wellens stated Council had never been presented with a proposal to have a professional building manager manage the Center. He would be in support of that idea. Mr. Anderson stated at least two of the Cities stated they did not want to be in the property management business. Councilmember Woodruff stated he did not want to change the relationships described in the documents and amendments. He did want the amendments clarified and approved as soon as possible. Administrator Heck summarized what lie understood had to be done before Council would consider approving the lease third amendment. The lease must be clarified to specifically state the Friends are responsible for ensuring the contents in the facility. There has to he a clause in some document that informs any sublessor they are responsible for insuring their personal property. There also must be some type of operating policy to ensure there is equal opportunity for use of the facility. Heck stated it is basically impossible to have an all-inclusive list of where responsibility lies for repairing or maintaining components of the facility, and he expressed that concern when the list was first asked for. The attachment to the lease amendment states the list is not limited to the items on the list. Mayor Lizee stated the Governing Board would request a yearly building inspection of the facility. The remaining life expectancy of capital items would be projected as part of that process, and that information would be used to prepare a capital improvement plan. Heck noted that the lease contains a requirement that the Friends have to have a qualified agency perform maintenance on things such as the HVAC system. Councilmember Woodruff suggested language be added to the lease third amendment to specify how maintenance and repair responsibilities for items not specifically listed will be determined. For example, the Friends and the Governing Board could determine that. Administrator Heck then summarized what he understood had to be done before Council would consider approving the Cooperative Agreement amendment. A major issue for Couneilmembers Turgeon and Woodruff has to do with the termination clause for a member city; they thought a member city should lose its original investment if it withdrew from the Agreement. The process for approving claims from the Capital Reserve Fund needs to be documented. The process for administering the funds needs to be revisited such that tine burden does not fall on Shorewood exclusively. Councilmember Woodruff suggested a clause be added that states if a member city chooses to withdraw from the Agreement then any financial obligations be settled at that time. Councilmember Turgeon suggested contributions to the Capital Reserve Fund be equally shared by the Cities. Councilmember Woodruff stated if Shorewood is responsible for 50 percent of funding capital maintenance and repairs it would be easy for the other member cities to approve expensive repairs because it would not cost them as much to have the repairs done. He did not think that was fair. He questioned if a super majority or maybe even all Cities should have to approve things like that. Attorney Keane stated withdrawal provisions were the most hotly discussed subject in 1996 when the Cooperative Agreement was being developed. At that time the five member cities were emphatic that SHOREW®®D CITE' COUNCIL REGULAR MEETING MINUTES December 8, 2008 Page 11 of 14 they were making a one-time financial commitment to the Center; the commitment to fund its construction. They discussed that if there would be on-going financial contributions that had to be made and a city wanted to withdraw from the Agreement, they agreed that the city should not lose its original investment. The Cooperative Agreement does have similarities to a joint powers agreement. The Agreement does reference the JPA statute. In 1996 no one at that time wanted to. call it a JPA; Councilmember Woodruff clarified that he was not advocating JPA language be included in the Agreement. Keane explained in 1996 no one wanted to discuss the need to have capital reserves for the long-term care and maintenance of the asset. The Cities were making a one-time commitment. The exclusion of long-term care and maintenance needs was the only way to reach a compromise among the Cities. He stated he did not think it was inappropriate to address the needs through an arnendment to the Agreement. Woodruff moved, Turgeon seconded, directing Staff to make the clarifications requested to the amendments and continuing this consideration of the amendments to the January 12, 2009, City Council meeting. Mayor Liz6e asked Mr. Anderson what the impact of delaying the approval of the amendments would be on the Friends. Mr. Anderson stated if the amendments were approved in early January 2009 there would not be a significant impact warranting the Friends to take action on. The Cities have historically contributed $15,000 - $40,000 a year to the Friends for Center operations. Because most of the Cities have indicated they would not make any contribution for 2009 the Friends will have a shortfall beginning 2009. In response to a comment from Councilmember Tut-con, Attoriiey Keane stated the relationship of the parties would not change until the amendments are approved. Mr. Anderson stated there will be a change in 2009 because the Cities will not make a voluntary contribution for Center operations and programs. Turgeon stated the Friends can bring NICE in or continue on with things the way they are, noting Shorewood would not make a contribution to the friends. Administrator Heck stated the lease and Cooperative Agreement can be amended if two-thirds of the Cities approve the amendments. Motion passed 4/0. G. Legal Services Letter of Engagement Administrator Heck explained that at its November 10, 2008, meeting Council voted to appoint Kennedy & Graven as the new legal firm for the City with Mary Tietjen serving as the City Attorney. Per Council's request, Ms. Tietjen has provided a letter of engagement; a copy of the letter was included in the meeting packet. The letter covers the terms in the request for proposal (RFP) and is consistent with the proposal submitted by Ms. Tietjen. Heck stated Staff recommends Council approve the letter of engagement and authorize the Mayor and City Administrator to sign the letter. Wellens moved, Turgeon seconded, approving the letter of engagement submitted by Kennedy & Graven, Chartered, and authorizing the Mayor and City Administrator to sign the letter. SHOREWOOD CITY COUNCIL REGULAR MEETING MINUTES December 8, 2008 Page 12 of 14 Mayor Lizee stated Item 2.b in the letter states for non-routine work the law firm can bill different hourly rates based on what position was doing the work or the experience of the attorney. In Item 2.c it states the development rate also varies based on position and experience. Administrator Heck stated all firms that submitted a RFP specified a sliding rate. He explained the City Attorney will manage the case and the invoicing will identify the person doing the work and the rate. All firms also specified a higher hourly rate for development work than for non-routine work. Motion passed 410. H. Staffing Recommendation Administrator Heck stated Council had requested he evaluate the City's engineering staffing shortly after beginning his employment with the City. He expanded that to an evaluation of all staffing. He explained he discussed staffing with department heads individually and collectively to hear their perspectives. He also surveyed other cities' staffing levels. His recommendations are detailed in his memorandum to Council dated December 8, 2008. Heck highlighted his recommendations. Heck recommended eliminating the engineering technician position. Contract services will be used for inspection services. "There is a Planning and Zoning Department staff person who is adept at mapping using the GIS mapping tool; the items that can be done on GIS will be handled by that individual. Heck explained he has spoken with Kristi Anderson, with Comuntill ity Rec Resources, about expanding that firms contract responsibilities with the City to include communication and liaison activities with the Park Commission. A staff person in the Cily office will assume the responsibility as the main staff contact person for the Park Commission and Community Rec Resources for park activities. Engineer Landini currently serves as the liaison for the Parl< Commission and lie does a lot of research for and documentation of park related items. Although Landini does a great job, these proposed changes will allow Landini to spend more of his tinic on engineering activities related to roadway improvements, storm water management, etc. Heck then explained the one-third time communications coordinator position's hours would be increased to approximately 30 hours per week. 'File increase in hours should allow for improved consistency of communications on the City's website and in print, and it would allow the City to expand the use of the Lake Minnetonka Communications Commission (LMCC) for City-related cable programs. Also, this position would increase marketing efforts to expand the City's recycling and solid waste program (e.g., bring recycling to the City's parks). Heck went on to explain the staff time for City website development activities will be increased. This should allow the City to increase the number of services it offers on the website (e.g., scheduling facilities, completing interactive applications, etc.). Mayor Lizee thanked Administrator Heck and Staff for their efforts on this topic. In response to a comment from Councilmember Turgeon, Administrator Heck stated if Council agreed with his recommendations they would go into effect on January 1, 2009. Wellens moved, Woodruff seconded, authorizing the City Administrator to implement the staffing changes recommended in the Administrator's memorandum to Council dated December 8, 2008. SHOREWOOD CITY COUNCIL REGULAR MEETING MINUTES December 8, 2008 Page 13 of 14 Councilmember Woodruff stated he wanted to have a better understanding of the benefits of the recommended changes, although he appreciated that would be a little difficult to do because this was a work-in-process. He then stated he was supportive of the concept. He expressed concern that the added costs for contracting for inspections and some other engineering related activities had not been identified in the memorandum. Administrator Heck explained for many projects the City already contracts for inspections. Approximately 10 - 15 hours per week of design work currently being done be staff would be done by this contractor; the rate would be $67 - $69 per hour. Some of the cost savings from the reduction in the full time engineering technician position will be used to cover these costs. He noted the costs for all of the proposed changes will not exceed the savings from the reduction in one staff position. Motion passed 4/0. 10. ENGINEERING/PUBLIC WORKS A. Illicit Discharge Ordinance Engineer Landini explained Council discussed the draft model Illicit Discharge Ordinance at its October 27, 2008, meeting and the second draft of the Ordinance at its November 24, 2008, meeting. The proposed final draft Ordinance included in the meeting packet has been reviewed by the City Attorney and his comments have been incorporated. Landini stated Staff recommends Council approve an amcndmenf to the City Code to address illicit discharge into the City's stormwater system. Woodruff moved, Wellens seconded, Approving ORDINANCE NO. 455, "An Ordinance Amending Title 900 of the Shorewood City Code Adding Chapter 907 Illicit Discharge into Stormwater System." Motion passed 4/0. 11. STAFF AND COUNCIL REPORTS A. Administrator & Staff 1. City Hall Construction Update Administrator Heck provided an update on the City Hall renovation. The building inspector will attend the weekly project meeting which is scheduled for Tuesday, December 9"'. The electricians and audio visual personnel have installed the necessary drops for their related equipment. Sheet rocking was supposed to have begun earlier in the day. Director Brown stated the HVAC contractors were close to having phase 1 equipment ready for inspection, and phase 2 equipment installation would start in the near future. Brown also stated the fire suppression system was reviewed and approved. Heck stated at the December 9t" department head meeting 2008 accomplishments and 2009 draft goals will be discussed. A summary of 2008 accomplishments will be provided to Council early in 2009. In response to a question from Councilmember Woodruff, Administrator Heck stated a realtor brought people through the City-owned house earlier in the day and he was unsure if it was a rental or purchase viewing. Heck stated there had been one other group that toured the house. SHOREWOOD CITY COUNCIL REGULAR MEETING MINUTES December 8, 2008 Page 14 of 14 B. Mayor & City Council Councilmember Woodruff stated he attended a Lake Minnetonka Conservation District (LMCD) Exotic Species Task Force meeting on December 4"'. He was very impressed with the meeting; in particular the fact that representatives from the Army Corps of Engineer, the Minnesota Department of Natural Resources, the LMCD, the Lake Minnetonka Association (LMA), and the Three Rivers Park District were in attendance. The purpose of the meeting was to discuss technical aspects of the 2008 Eurasian Watermilfoil and curlyleaf pondweed three-bay treatment program results and the 2009 treatment plans. He explained the LMCD Board was scheduled to meet on December 10`x' to discuss who will be responsible for the managing the 2009 three-bay treatment program (the LMA, the LMCD, or both). At the Task Force meeting there was consensus to issue a results-oriented request for proposal (RFP) that specifies performance guarantees; the applicator will determine the specific treatments within certain boundaries. LMA Executive Director Osgood will draft the RFP. The next Task Force meeting is scheduled for February 2, 2009. Mayor Lizee stated a City Council Executive Session was held just prior to this Council meeting. The purpose of the meeting was to give the City Administrator his performance review. Administrator Heck is meeting Council's expectations. Heck will receive another revicvyin June 2009. 12. ADJOURN Turgeon moved, Wellens seconded, Adjourning the City Council Regular Meeting of December 8, 2008, at 9:00 P.M. Motion passed 4/0. RESPECTFULLY SUBMITTED, Christine Freeman, Recorder Christine Lizee, Mayor ATTEST: Brian Heck, City Administrator/Clerk PAYABLES APPROVALS For 01/12/2009 Council Meeting Prepared by Date: ichclle'T. Nguyen, Sr. Accounting Clerk- Reviewed bY fit--- ~ L_,. Date: Bonnie Burton, Finance Director Approved by: Date: HecW,, City Administrator 3 Fi PAYROLL APPROVALS For 01/12/2009 Council Meeting Prepared by: _ Date: Michelle T. Ngu en,,Sr. Accounting Clerk Reviewed by: Date: c~' f € 4 ~ r "I 0 MEMORANDUM U 5755 COUNTRY CLUB ROAD ® SHOREWOOD, MINNESOTA 55331-8927 - (952) 474-3236 FAX (952) 474-0128 ® www.d.shorewood.mn.us m cityhall@ci.shorewood.mn.us DATE: January 5, 2009 TO: Mayor and Council Members FROM: Jean Panchyshyn, Deputy Clerk CC: Brian Heck, City Administrator RE: Setting the Year 2009 Regular Council Meeting Schedule This is a routine organizational item which requires that Council adopt a resolution setting the Year 2009 City Council meeting schedule for the 2" d and 4"' Mondays of each month. Should a meeting fall on a holiday, Council should give sufficient notice as to the alternate meeting date. This year, the holiday listed below falls on a regularly scheduled meeting day, and the following alternate date is proposed: Holiday Alternate Meeting Date Monday, May 25 - Memorial Day Tuesday, May 26 A copy of the proposed resolution is attached. PRINTED ON RECYCLED PAPER CITY OF SHOREWOOD RESOLUTION NO. 09-001 A RESOLUTION SETTING THE 2009 REGULAR COUNCIL MEETING SCHEDULE FOR THE CITY OF SHOREWOOD WHEREAS, Minnesota Statutes require that council must keep a schedule of its regular meetings on file at its primary office; NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Shorewood as follows: For the Year 2009, the Regular City Council meetings will be scheduled on the 2nd and 4th Mondays of each month. During construction of the City Hall building, the meetings shall be held at the Southshore Center, 5735 Country Club Road. After the City Hall construction is complete, the meetings shall be held in the Council Chamber of the Shorewood City Hall. Should a Regular City Council meeting fall on a holiday, the Council will give sufficient notice as to the alternate date for the meeting. For 2009, the holiday that falls on a regularly scheduled Council meeting day will be held on the following alternate date: Holiday Alternate Meeting Date Monday, May 25 - Memorial Day Tuesday, May 26, 2009 ADOPTED BY THE CITY COUNCIL OF THE CITY OF SHOREWOOD this 12th day of January, 2009. Christine Lizee, Mayor ATTEST: Brian Heck, City Administrator/Clerk r ~ s Y - 5755 CdUN t'RY CLUB ROAD ~ SNdREWOdC3, MINNESOTA 55331-3927 ~ (952) 4743236 FAX (952) 474-0128 - www.d.shorewood.mn.us ® dtyhaII@ci.shorewood.mn.us MEMORANDUM DATE: January 8, 2009 TO: Mayor and City Council Members FROM: Jean Panchyshyn, Deputy Clerk CC: Brian Heck, City Administrator/Clerk RE: 2009 License Renewals for Refuse Haulers and Tree Trimmers For Council information, the attached list of Refuse Hauler and Tree Trimmer license requests have been received at the City and reviewed for completeness. As all license fees and requirements have been met, licenses have been issued to the Licensees listed. 4,', PRINTED ON RECYCLED PAPER City of Shorewood - 2009 License Approvals City License No. Licensee Address C TREE TRIMMER LICENSES 09-23 Shorewood Tree Service 14015 Co. Rd. 122 Watertown 09-24 Aaspen Tree Service 970 Wayzata Blvd. Wayzata 09-25 Tongen's Tree 30 Wildhurst Rd. Tonka Bay 09-28 Four Seasons Tree Service 32 10th Ave. South, Suite Hopkins 213 GARBAGE IIAU LER LICENSES 09-27 Waste Management of MN, 490 Industrial Blvd. Winsted Inc 09-29 Waste Technology Inc. 8424 Noble Ave. N Brooklyn Park MEMORANDUM l]yp-vx7 01F 5755 COUNTRY CLUrj ROAD ® SHOREWOOD, MINNESOTA 55331-8927 - (952) 474-3236 FAX (952) 474-0128 ® www.ci.shorewood.mn.us ® cityhaI1@c1.shorewood.mn.us TO: City Council FROM: Brian Heck, City Administrator DATE: January 8, 2009 SUBJECT: Out-of-State Travel Policy for Council In 2005 the Legislature acted to require that beginning in 2006, the governing body of each local government must have a policy that controls travel outside of Minnesota for the applicable elected officials. The policy must be voted on for initial adoption, and then reviewed annually. The policy must specify: 1) when travel outside the state is appropriate 2) applicable expense limits, and 3) procedures for approval of the travel Council adopted Resolution 06-004 (attached) stating its policy in 2006. It was developed on the basis that at least within recent history, members of Shorewood City Council have hardly ever traveled outside of Minnesota on City business or for training and development opportunities for their roles as councilmembers. The City Council has neither encouraged nor discouraged out-of-state travel related to City business for its members. Annual budgets for the City Council have included funds under "travel, conferences, and schools" so that all councilmembers may attend functions and conferences throughout Minnesota. City Council Action Review of the attached Travel Policy. No action is required unless the City Council makes amendments to the policy. ®4: PRINTED ON RECYCLED PAPER CITY OF SHOREWOOD RESOLUTION NO. 06 - 004 A RESOLUTION ESTABLISHING A POLICY FOR OUT-OF-STATE TRAVEL BY MEMBERS OF THE CITY COUNCIL WHEREAS, an Act by the Minnesota Legislature in 2005 imposes an obligation on cities to establish an official travel policy for elected officials; and WHEREAS, the policy must address: (1) when travel outside the state is appropriate; (2) applicable expense limits; and (3) procedures for approval of the travel; and further must be reviewed and voted upon annually by the City Council; NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Shorewood that the following policy for out-of-state travel for members of the City Council is hereby established: Purpose: The City of Shorewood recognizes that its elected officials may at times receive value from traveling out of the 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. General Guidelines: 1. The event; workshop, conference, or assignment must be approved in advance by the City Council at an open meeting and must include an estimate of the cost of the 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 prole as the mayor or council member. • Whether the elected official will be meeting and working 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 elected officials. • Whether the elected official will be viewing a facility or function that is similar in nature to one that is currently operating at, or under consideration by, the City where the purpose for 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 of the City at the United States Congress or otherwise to 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 as follows: a) Airfare will be reimbursed at the coach rate. b) Mileage will be reimbursed at the _IRS rate. If two or more council members travel by car, only the driver will receive reimbursement. The City will reimburse for the cost of renting an automobile if necessary to conduct City business. c) Lodging and meal costs are limited to those which are reasonable and necessary. d) Receipts are required for lodging, airfare, parking, and meals and should accompany an expense report form. It is not necessary to have receipts for public transportation, cabs and tips. The expense report shall be submitted to the City Clerk or Finance Department for payment. e) The City will not reimburse for alcoholic beverages, personal telephone calls, costs associated with the attendance of a family member, rental of luxury vehicles, meal expenses included in the cost of registration, or recreational expenses such as golf or tennis. 5. Exceptions to this policy can be made by majority vote of the City Council. 6. This policy shall be reviewed by the City Council at its first meeting in January of each year, and amendments to the policy must be made by Resolution of the City Council. ADOPTED BY THE CITY COUNCIL OF THE CITY OF SHOREW OD this 9t" day of January, 2006. Attest: Woody Love, Mayor q,7 MEMORANDUM a,P . 7-7- 5755 COUNTRY CLUB ROAD • SHOREWOOD, MINNESOTA 55331-8927 * (952) 474-3236 FAX (952) 474-0128 - www.d.shorewood.mn.us ® cityhall@ci.shorewood.mn.us TO: Mayor and City Council FROM: Larry Brown, Director of Public Works CC: Brian Heck, City Administrator DATE: January 8, 2009 RE: Motion Establishing May 16, 2009 as Spring Cleanup Day Traditionally, the City of Shorewood has established a date in May of each year as Spring Cleanup Day. Staff has reviewed the calendar and has determined that May 16, 2009 is a date that falls outside of Mother's Day and Opening Fishing. Therefore, Staff is recommending that this day be established as the official day for Spring Cleanup. Once established, Staff will commence with a request for proposals for refuse, appliance, electronics, and tire disposal. The City Council had also directed staff to explore a Hennepin County Hazardous Waste event in conjunction with the Spring Cleanup date. Staff has discussed this with representatives for Hennepin County. While they are excited about sponsoring an event in this area, they will need the entire space of the Public Works Facility. Therefore, the two events are competing for space. Thus, it is recommended that a fall date be established for the Hennepin County Hazardous Waste Event (at a later date) outside of Spring Cleanup. Recommendation Staff is recommending approval of a notion that establishes May 16, 2009 as Spring Cleanup Day for the City of Shorewood. PRINTED ON RECYCLED PAPER CITY OF 1 S H C 5755 COUNTRY CLUB ROAD ® SHOREWOOD, MINNESOTA 55331-8927 - (952) 474-3236 FAX (952) 474-0128 ° www.ci.shorewood.mn.us • cityha1I@ci.shorewood.mn.us MEMORANDUM TO: City Council FROM: Brian Heck, City DATE: January 7, 2009 SUBJECT: AFSCME MOU Background A situation arose in the Public Works unit a last summer/fall involving the renewal of an employee's sewer operator license issued by the MPCA. I was made aware of the situation within the first few weeks and following several discussions and inquiry, held a meeting with the Union to resolve the situation. I kept the Council apprised of the situation as events unfolded. The end result was the drafting of a Memorandum of Understanding (MOU) that allows the employee to continue to work as a utility operator under another employee's license and supervision and to continue at the same rate of pay. The employee is required to take the sewer operator exam when it is next offered, which in this case is March of 2009. If the employee passes and is re-certified, things continue as is. If, however, the employee does not pass, the employee returns to the light equipment operator classification and compensation level. The MOU requires the employee to maintain the license and to provide the Finance Department with the necessary information for reimbursement for the license fee. Failure by the employee to provide the certification paperwork will have their compensation reduced in accordance with the contract. Recommendation Staff recommends the Council approve the MOU and authorize the Mayor and Administrator to execute the agreement. 1PQ ~O PRINTED ON RECYCLED PAPER Memorandum of Understanding By and between the City of Shorewood And AFSCME Council 5, Local 224 City of Shorewood Public Works Employees AFL-CIO WHEREAS, the City of Shorewood and AFSCME Council 5, local 224 entered in to an employment agreement covering the public works employees; and WHEREAS, the employment agreement specifies terms and conditions of employment including wages and benefits to accrue to member employees; and WHEREAS, certain covered employees receive additional compensation for holding and maintaining licensure for sanitary sewer and water operations; and WHEREAS, Joe Lugowski is a member of the covered unit who receives the additional compensation for holding the above listed licenses; and WHEREAS, Joe Lugowski's necessary sewer license lapsed due to non-renewal and he continued to earn the additional compensation. NOW, THEREFORE, BE IT RESOLVED, that the parties hereby agree to the following with respect to Appendix A of the Employment Agreement effective the 12th day of January, 2009. 1. The City will allow Joe to continue to earn the additional compensation and work as a utility operator as provided by Pollution Control Agency Rules until he takes and passes the Class C MN Sanitary Sewer operators license. The employee must take the first available test offered by the Minnesota Pollution Control Agency. 2. The City will cover the costs necessary to prepare the employee for taking the test including refresher classes and special study as needed. 3. If the employee fails to pass the exam and does not qualify for the Class C MN Sanitary Sewer operator's license, the employee's compensation will be reduced in accordance with the agreement. 4. The employees who are covered by this provision of the agreement are responsible to renew their license on a regular basis, as required by the licensure organization; and subsequently provide a copy of their paperwork including forms, license, and request for reimbursement to the Finance Department. 5. An employee, who fails to provide the necessary paperwork and materials to the Finance Department in order to renew the license, will have their compensation reduced in accordance with the agreement until the employee obtains valid licensure. 6. Pertinent sections of this Memorandum of Understanding shall be incorporated into the body of the employment agreement the next time the agreement is opened for negotiation. For the City Its Mayor Its Administrator For the Union Its Steward Its Steward f Its Business Ag nti-v T X T C T- 5755 COUNTRY CLUB n0AD & SHOREWOOD, MINNESOTA 55331-8927 ® (952) 474-3236 FAX (952) 474-0128 ® www.ci.shorewood.mn.us ® cityhaII@ci.shorewood.mn.us MEMORANDUM DATE: January 7, 2009 TO: Mayor and Council Members FROM: Jean Panchyshyn, Deputy Clerk CC: Brian Heck, City Administrator RE: A Motion to Adopt a Resolution Extending the Electronic Parcel Database (EPDB) License Agreement with Hennepin County for the Year 2009 The City of Shorewood entered into Agreement No. A13010 with Hennepin County in June of 2000 for electronic parcel data for the purpose of obtaining Shorewood parcel map data from Hennepin County. A copy of this Agreement is available in the City Clerk's office. Each year this Agreement must be renewed. Staff has prepared a resolution which extends this Agreement for the Year 2009. Staff recommends extension of this License Agreement in order to continue to receive updated parcel map data from the County in the year 2009. Council Action Approval of the resolution extending the Electronic Parcel Database License Agreement with Hennepin County for the Year 2009. f PRINTED ON RECYCLED PAPER CITY OF SHOREWOOD RESOLUTION NO. 09- A RESOLUTION AUTHORIZING THE MAYOR AND CITY ADMINISTRATOR TO EXTEND THE EPDB CONDITIONAL USE LICENSE AGREEMENT WITH HENNEPIN COUNTY FOR THE YEAR 2009 WHEREAS, the City of Shorewood (City) has a desire to use electronic parcel specific data from Hennepin County (County); and WHEREAS, in order for the City to use the desired information, the City must renew their EPDB Conditional Use License Agreement with the County, establishing criteria for use of such data; NOW, THEREFORE, BE IT RESOLVED that the Shorewood City Council hereby authorizes and directs the Mayor and City Administrator to extend the EPDB Conditional Use License Agreement with Hennepin County for the year 2009. ADOPTED BY THE CITY COUNCIL OF THE CITY OF SHOREWOOD this 12th day of January, 2009. Christine Lizee, Mayor ATTEST: Brian Heck, City Administrator/Clerk 4 CITY OF U@' MEMORANDUM 5755 COUNTRY CLUB ROAD ® SHOREWOOD, MINNESOTA 55331-8927 ® (952) 474-3236 FAX (952) 474-0128 ° www.ci.shorewood.mmus • cityhaII@ci.shorewood.mn.us TO: Mayor and City Council Brian Heck, City Administrator FROM: James Landini, City Engineer DATE: January 8, 2009 RE: ROW Encroachment Violation - Request for Time Extension FILE NO. Property (5920 Glencoe Rd & 5655 Eureka Rd) Staff received complaints regarding Right of Way Encroachments at 5920 Glencoe Rd and 5655 Eureka Rd. Staff inspected and found factual encroachments at both addresses. Staff sent violation notices to each address and both parties have agreed to remove the violation but are requesting an extension of time for compliance. Mr. Buechler of 5655 Eureka Rd requested to May 31, 2009 to remove his violation and Mr. Veien did not have a suggested date. May 31, 2009 is a reasonable timeframe for both instances; that would be one month to comply after road weight restrictions are lifted, and the ground would be workable. Recommendation Staff recommends a time extension to May 31, 2009 in both instances. I9 0®a® PRINTED ON RECYCLED PAPER 1 I^~ ct, -)-h 7 A s f rof o rC~l ~t, in~ l' Rcj f ~v-~ December 31, 2008 City Council City of Shorewood 5755 Country Club Road Shorewood, MN 55331 Re: Right of Way Encroachment Violation - 5920 Glencoe Rd. P.I.N. 34-117-23-31-0021 Dear City Council Members: On December 13, 2008 I received a letter from City Engineer, James Landim, informing me that a retaining wall on my property was built on the right-of-way and must be removed by December 31, 2008. The retaining wall in question was part of a large landscaping project we completed this past summer, done by a reputable landscaping company. The landscaping company confirmed at the time of the project that this was a proper location for the wall and that no permits were required. I trusted that this was the case, and gave it no further thought. After receiving your letter, and reviewing some of the city ordinances, I now realize that this was not the case after all. It is not possible to remove the wall at this time because the ground is frozen. I am requesting that the order please be postponed until sometime in the spring when the ground is workable. In the meantime, I would like to discuss alternative solutions with Mr. Landini that would be acceptable to everyone. Sincerely, Bjorn O. Veien (home) 952-474-0035 (mobile) 612-703-4598 cc: James Landini, City Engineer CITY OF r TO: Mayor and City Council Brian Heck, City Administrator FROM: James Landim, City Engineer 11 `'I DATE: January 8, 2009 SUBJECT: Setting Date for Public Information Meeting - Harding Lane and Smithtown Lane Staff is recommending that a public information meeting be scheduled for Tuesday, January 27, 2009, from 7:00 p.m. to 8:30 p.m., at the Southshore Center to discuss the potential road reconstruction projects. Staff will report back to Council the opinion the residents have about such a project. Notices will be sent to all residents on and around the subject roadways, in addition to posting the date on the City's web site. Staff will present design criteria consisting of. a 24 foot wide roadway plus edge control, watermain extension, sanitary sewer inspection and storm water improvements as the standard proj ect. Facts: Harding Lane has 50 feet of Right of Way and Smithtown Lane has 66 feet of Right of Way. Harding Lane has existing bituminous curb, store sewer and a 30' wide driving surface. Smithtown Lane has a rural road section, ditches with culverts and a 20-22' wide driving surface. Harding Lane does not have many trees that will impact the project; Smithtown Lane does have trees in close proximity to the road. Smithtown Lane does not have the Right of Way for a Cul-De-Sac, land will be needed. COUNCIL ACTION A simple motion by the City Council will establish this date and approve the design criteria material that shall be presented. ss ~®p~ PRINTED ON RECYCLED PAPER ' ^-~~r• ~ „ _ rte, " H J ~ ~ ~::4 ~ ` - _ A - 'V - Ile - , low j.. ~ c - - ~ {:t t•'! 3 is . v J~ r . 1 . T 1 - l ap of . ri fj)f s -its - ~.T' WiN J ~ P 1i Aso a~ y A Y t r ~ M tin , , r E R t roi J SOD WITH MIN. 4" TOPSOIL (TYPICAL) 6" q 14.33' (C1L TO BACK OF CURB) SURMOUNTABLE "S" CURB & GUTTER 28"wide (see detail) 12.00' 4" RIGID PERFORATED PVC DRAIN TILE ENCASED WITH GEOTEXTILE FABRIC 14.33' (C/L TO BACK OF CURB) SURMOUNTABLE "S" CURB & GUTTER 12.00' I - 2.00% 2" TYPE 41 BITUMINOUS WEARING COURSE 2357 BITUMINOUS TACK COAT 2" TYPE 31 BITUMINOUS NON-WEAR COURSE 8" CLASS 5 AGGREGATE BASE (100 % CRUSHED ROCK) 24" SELECT GRANULAR MATERIAL GEOTEXTILE FABRIC (TYPE V) 952-474-3236 FAX952-474-0128 5755 COUNTRY CLUB RD. SHOREWOOD r MN, 55331 City of Shorewood TYPICAL URBAN SECTION NO SCALE Standard Detail Detail No. RDW-002 Appendix D FIRE APPARATUS ACCESS ROADS SECTION D101 D101.1 Scope, GENERAL Fire apparatus access roads shall be in accor- dance with this appendix and a]I othera of the International Fire Code, PPlicable re9c u' ements SECTION D102 PEQU RE ACCESS D102.1 Access and loading. Facilities, buildings orportions of buildings hereafter constructed shall be accessible to fir, ~P~ment apparatus by way of an a e de_ road with an asphalt, concrete orother ea fire apparatus access face capable of sup ortinQ the PProved drivin osed welgh(ng at least 75,000 pounds (34 050 k) of fire a g sur- pparatus SECTION D103 MINIMUM SPECIFICATIONS D103.1 Access road width °.nt is located on a fire a with a hydrant. Where a fire hy- rOad width shall be 26 feet (7925 mm). Seroad, the minimum See Figure D103.1. 96' 28' ,q 26' 28'R 96' DIAMETER CUL-DE-SAC 30' t3 .,28, R X20' TYP.' 20' 60' HAMMERHEAD fOt = 304.8 mm. E~i~A71ONAL FIRE CODE@ Grade, Fire apparatus . Percent ercent in grade, access roads shall not exceed 10 Exception: Grades steeper than the fire chief. 20 percent as approved by D103.3 Turning radius. The minimum tu determined, by the code official, rning radii shall be D103.4 Dead ends. Dead-end excess of 150 feet (45 720 fire apparatus access roads in and turnaround Provisions mm) shall be provided with width TABLE 0103.4 in accordance with Table D103.4. REQUIREMENTS FOR DEAD-END FIRE APPARATUS ACCESS ROADS LENGTH WIDTH 0- 1 20 120-foot "Hammmrhead," 60-foot-y,, j,',290- r 96-foot-dia meter cul-de-sac in accordance with Fi ure') 103.1 501-750 26 120-foot Hammerhead, 60-foot " Y °r 96-foot-diamet l Over 750 er cuI-de-sac in accordam, with Fi ure D103,1 For SI: I foot = 304 8 S ecial a roval re uired . mm. 70' 0 28'R r'2 TYP' 20' 70' DIAMETER ACCEPTABLE ALTERNATIVE CUL-DE-SAC TO 120' HAMMERHEAD 101 t5o' 28' R 20'3 TYP.' 26' 120' HAMMERHEAD 26' 20' 20' MINIMUM CLEARANCE AROUND A FIRE HYDRANT 28'R TYP.' 20'-T 701, 20' ACCEPTABLE ALTERNATIVE TO 120' HAMMERHEAD DEAD-END FIRE APPARA FIQURE TUS ADCCESS ROAD TURNAROUND ~ p s 5755 COUNTRY CLUB ROAD ® SHORT-nOOD, MINNESOTA 55331-8927 ® (952) 474-3236 FAX (952) 474-0128 ® www.ci.shorewood.mn.us - cityhall@ci.shorewood.mn.us MEMORANDUM DATE: January 8, 2009 TO: Mayor and City Council Members FROM: Jean Panchyshyn, Deputy Clerk' CC: Brian Heck, City Administrator/Clerk RE: TEMPORARY GAMBLING LICENSE - Holy Family Catholic High School Holy Family Catholic High School has submitted an application and appropriate fee for a Minnesota Lawful Gambling Permit for a fundraising event on Saturday, March 7, 2009, at the Minnetonka Country Club, 24575 Smithtown Road. Proceeds from the event will be used to support the Parish School. COUNCIL ACTION Adoption of a Resolution approving the Temporary Gambling License for Holy Family Catholic High School for gambling activity to take place on Saturday, March 7, 2009, at the Minnetonka Country Club, 24575 Smithtown Road in Shorewood. a Te I-, PRINTED ON RECYCLED PAPER CITY OF SHOREWOOD RESOLUTION NO. 09- A RESOLUTION APPROVING A TEMPORARY GAMBLING LICENSE WHEREAS, the Shorewood City Code, Chapter 301, provides for the licensing of certain gambling activities in the City; and WHEREAS, the City prescribes certain restrictions concerning eligibility for such licensing and application, whereby the licensee will hold the City harmless for all claims arising out of the granting of such license; and WHEREAS, the following applicant has met the eligibility requirements for such a license and has agreed to all terms and conditions of the agreement contained in the license. NOW, THEREFORE BE IT RESOLVED by the City Council of the City of Shorewood as follows: That a single temporary license for the conduct of gambling as specified in the terms and conditions of the license be issued to Holy Family Catholic High School. Said gambling activities are to be held on Saturday, March 7, 2009, at the Minnetonka Country Club, 24575 Smithtown Road, Shorewood, MN 55331. ADOPTED by the City Council of the City of Shorewood this 12th day of January, 2009. ATTEST: Christine Lizee, Mayor Brian Heck, City Administrator/Clerk Minnesota Lawful ambling Application for Exempt Permit An exempt permit may be issued to a nonprofit organization that: - conducts lawful gambling on five or fewer days, and - awards less than $50.000 in prizes durino a calendar vear. `Iav i of 2 Fee is $50 for d For Board Use Only Check # ORGANIZATION INFORMATION Organization name Previous gambling permit number b a F t lfi~~t~ ~5 k S~tf'~~ tr X CD - t~ g- 0 Type of nonprofit org zation. Check one. 13Fraternal ❑o Religious 13 Veterans ® Other nonprofit organization Mailing address City State Zip Code County `8 t o V__oc4i P, \j t VF_ " Name of chief executive officer (CEO) Daytime phone number Email address ~AM~S `n~~~5~ x-15 ~.`1 K • i95 s ~MB~~s@~G~.a Attach a copy of ONE of the following for proof of nonprofit status. Check one. Do not attach a sales tax exempt status or federal ID employer numbers as they are not proof of nonprofit status. Nonprofit Articles of Incorporation OR a current Certificate of Good Standing. Don't have a copy? This certificate must be obtained each year from: Secretary of State, Business Services Div., 180 State Office Building, St. Paul, MN 55155 Phone: 651-296-2803 IRS income tax exemption [501(c)] letter in your organization's name. Don't have a copy? To obtain a copy of your federal income tax exempt letter, have an organization officer contact the IRS at 877-829-5500. IRS - Affiliate of national, statewide, or international parent nonprofit organization (charter) If your organization falls under a parent organization, attach copies of both of the following: a. IRS letter showing your parent organization is a nonprofit 501(c) organization with a group ruling, and b. the charter or letter from your parent organization recognizing your organization as a subordinate. IRS - proof previously submitted to Gambling Control Board If you previously submitted proof of nonprofit status from the IRS, no attachment is required. GAMBLING PREMISES INFORMATION Name of premises where gambling activity will be conducted (for raffles, list the site where the drawing will take place) t~ ~~TV N G'-A Ca O N-~-V' U Gam. UAE Address (do not use PO box) City Zip Code County `-(S "1 S SM t ~t~ ~-co ~u N -(Z 5 kw o~d~ S 3 31 FEr~,v~Pc Date(s) of activity (for raffles, indicate the date of the drawing) 3i7/;L, oq % Check the box or boxes that indicate the type of gambling activity your organization will conduct: Bingo* Raffles F-] Paddlewheels* ❑ Pull-Tabs* F-]Tipboards* * Gambling equipment for pull-tabs, bingo paper, tipboards, and Also complete paddlewheels must be obtained from a distributor licensed by the Gambling Control Board. EXCEPTION: Bingo hard cards and bingo Page 2 of this form. number selection devices may be borrowed from another organization authorized to conduct bingo. Print Form To find a licensed distributor, go to www.gcb.state.mn.us and click on List Reset Form of Licensed Distributors, or call 651-639-4076. L G220 Application for Exempt Permit Page 2 of 2 9/08 LOCAL UNIT F GOVERNMENT ACKNOWLEDGMENT If the gambling premises is within city limits, If the gambling premises is located in a township, a a city official must check (X) the action that the county official must check (X) the action that the county city is taking on this application and sign the is taking on this application and sign the application. A application. township official must also sign the application. _The application is acknowledged with no waiting period. The application is acknowledged with no waiting period. _The application is acknowledged with a 30 day waiting _The application is acknowledged with a 30 day waiting period, and allows the Board to issue a permit after 30 period, and allows the Board to issue a permit after 30 days (60 days for a 1 st class city). days. _The application is denied. The application is denied. Print county name Print city name On behalf of the county, l acknowledge this application. On behalf of the city, l acknowledge this application. Signature of county official receiving application lication i l i i Si f it ffi t rece v ng app gna ure o y o c a c Title Date TOWNSHIP: On behalf of the township, I acknowledge that Title Date the organization is applying for exempted gambling activity within township limits. [A township has no statutory authority to approve or deny an application [Minnesota Statute 349.213, subd. 2)] Print township name Signature of township official acknowledging application Title Date / I CHIEF EXECUTIVE OFFICERS S-I NATU E The information provided in this application is complet and accu e the b st of my knowledge. l acknowledge that the financial report will be completed and returne0o , Boar V-717 3 days the date of our gambling activity. Chief executive officer's signature Date I ° c_ Complete a separate application for each gambing activity: F ncial report and recordkeeping - one day of gambling activity, required -two or more consecutive days of gambling activity, A financial report form and instructions will be - each day a raffle drawing is held sent with your permit. Within 30 days of the activity date, complete and return the financial Send application with: a copy of your proof of nonprofit status, report form to the Gambling Control Board. and $50 application fee for each event. Make check payable to Questions? "State of Minnesota." Call the Licensing Section of the Gambling Control Board at 651-639-4076. Control Board blin T G g o: am 1711 West County Road B, Suite 300 South Print Form Reset Form Roseville, MN 55113 Data privacy. This form will be made available in alternative format (i.e. large print, Braille) upon request. The information requested on this form (and any attachments) will be used by the Gambling Control Board (Board) to determine your qualifications to be involved in lawful gambling activities in Minnesota. You have the right to refuse to supply the information requested; however, if you refuse to supply this information, the Board may not be able to determine your qualifications and, as a consequence, may refuse to issue you a permit. If you supply the information requested, the Board will be able to process your application. Your name and and your organization's name and address will be public information when received by the Board. All the other information you provide will be private data until the Board issues your permit. When the Board issues your permit, all of the information provided to the Board will become public. If the Board does not issue a permit, all information provided remains private, with the exception of your name and your organization's name and address which will remain public. Private data are available to: Board members, Board staff whose work requires access to the information; Minnesota's Department of Public Safety; Attorney General; Commissioners of Administration, Finance, and Revenue; Legislative Auditor, national and international gambling regulatory agencies; anyone pursuant to court order; other individuals and agencies that are specifically authorized by state or federal law to have access to the information; individuals and agencies for which law or legal order authorizes a new use or sharing of information after this Notice was given; and anyone with your consent. internal Revenue Service Date: July 26, 2004 Holy Family Catholic High 8101 Kochia Lane Victoria, MN 55386-8228 Dear Sir or Madam: Department of the Treasury P. 0. Box 2508 Cincinnati, OH 45201 Person to Contact: School Dee Anna Jarmon 31-03084 Customer Service Specialist Toll Free Telephone Number: 8:00 a.m. to 6:30 p.m. EST 877-829-5500 Fax Number: 513-263-3756 Federal Identification Number: 41-1848970 Group Exemption Number: 0928 This is in response to your request of July 26, 2004 regarding your organization's tax-exempt status. Our records indicate your organization is exempt under section 501(c)(3) of the Internal Revenue Code. Your organization is included in the group ruling issued to the United States Conference of Catholic Bishops, which is not a private foundation within the meaning of 509(a) of the Code because it is described in sections 509(a)(1) and 170(b)(1)(A)(i). The United States Conference of Catholic Bishops is listed in publication 78. Donors may deduct contributions to your organization under section 170 of the code. As your organization is included in a group ruling, there is not an individual exemption letter for it. The group exemption letter applies to all of the subordinate organizations on whose behalf the United States Conference of Catholic Bishops has applied for recognition of exemption. If you want a copy of the group exemption letter, please contact your central organization. If you are operating an educational organization that normally maintains a regular faculty and curriculum and normally has a regularly enrolled body of pupils or students in attendance at the place where its educational. activities are regularly carried on, you are required to file Form 5578, Annual Certification of Racial Nondiscrimination for a Private School Exempt From Federal Income Tax. Form 5578 is due annually by the 15th day of the 5th month following the end of the organization's accounting period. If you have any questions, please call us at the telephone number shown in the heading of this letter. Sincerely, Janna K. Skufca, Director, TE/GE Customer Account Services ;fesus Christ is the s, me yester 5zy, toda cared fo ?ver " iaet. ;.s:a c J ..WAL- October 30, 2000 Holy Family High School 8101 Kochia Lane Victoria, MN 55386 Holy Family High School, Victoria, Minnesota, is a tax exempt organization under the provisions of Section 501(C)(3) of the Internal Revenue Code by reason of a group ruling dated March 25, 1946 by the Internal Revenue Service, supplemented by letter ruling dated June 23, 2000, a copy of which is enclosed, which provides that any organization listed in the Official Catholic Directory is entitled to such tax exempt status as being an agency of the Catholic Church operated, supervised or controlled by or in connection with the Catholic Church in the United States. Holy Family High School is listed in the Official Catholic Directory for 2000, a copy of the page showing that listing from the directory also being enclosed. If you have any questions, please contact me at your convenience. Very truly yours, William S. Fallon Chancellor Enclosures y. 226 SUMMIT AVENUE • ST. PAUL, MINNESOTA 55102-2197 - TEL: (651) 291-4405 • FAX: (651) 290-1629 1. CONVENE PARK COMMISSION MEETING Chair Norman convened the Park Commission meeting at 7:00 p.m. A. Roll Call Present: Chair Norman; Commissioners Young, Trent, Quinlan, and DeMers; City Engineer Landini; City Council liaison Wellens Absent: Commissioners Davis and Hensley B. Review Agenda Young moved, Quinlan seconded, approving the Agenda as submitted. Motion passed 5/0. 2. APPROVAL OF MINUTES A. Park Commission Meeting Minutes of November 18, 2008 Page 2, paragraph 6, line 1. was changed to `...Bennett Park and Veterans Park...' Young moved, DeMers seconded, approving the Agenda as amended. Motion passed 5/0. 3. REPORTS A. Report on City Council Meeting of December 8, 2008 Landini reported that the City Council approved the budget and levy, as well as, repealed the `going out of business' Ordinance requirements. Chair Norman interjected that, during the November 24th meeting, the Council approved both the Park Commission RFP and tennis court policy. Trent asked whether the Council acted on the small tax forfeited piece of lake property discussed earlier. Chair Norman stated that, due to overlapping setbacks, the city decided to offer it to either of the neighbor's for purchase. Landini continued, stating that the illicit discharge ordinance and other staffing changes were approved, including a reallocation of funds to assign Twila Grout, park secretary, as r PARK COMMISSION MINUTES TUESDAY, DECEMBER 9, 2008 PAGE 2 OF 4 the staff person to parks along with an expanded park role for Kristi Anderson of CRR in 2009. B. Update on Arctic Fever Chair Norman stated that the fundraising efforts for Arctic Fever continue, noting that the event is 80% funded at this time. He pointed out that they are short an estimated $500 due to a shortfall of funds expected fiom the Legion which won't be available. Norman indicated that the pond hockey organizers have roughly 65-70% of their teams registered and will need many volunteers to assist with that event. Quinlan, volunteer coordinator, stated that while the overall number of volunteers for Arctic Fever is in good shape, he committed to helping the pond hockey folks recruit more volunteers for their tournament. Trent asked how the Commission could help bridge the funding gap or recruit volunteers. Chair Norman stated there would be a meeting the next day and funding would be discussed at that time. 4. MATTERS FROM THE FLOOR There were none. 5. REVIEW SIGN ORDINANCE As a follow-up to a request made by Diamond Sports and STLL to allow advertising sponsorships on the ball fields at Freeman Park, Landini reviewed the high points of the current Sign Ordinance with the Commission, as well as, Planning Director Nielsen's memo with regard to what changes would need to occur to accommodate such activity. As Landini reviewed the memo, Quinlan stated that it was clear to him that it has been the cities intent to remove billboards throughout the city and limit, if not, eliminate this type of advertising. He suggested they use the Sign Ordinance as a fallback to deny the request. Landini stated that the Commission should discuss the Ordinance, memo, and request and decide what they wish to recommend to Council. Chair Norman stated that, based on other communities ordinances, as well as Shorewood's Sign Ordinance, he believed this activity should be limited on public grounds. He pointed out that the City has a strong sign ordinance currently which has mostly done away with signs. Trent felt the Commission should not modify the ordinance based on this request and feared doing so could be setting a new precedent, `walking a slippery slope'. PARK COq)Mgl~YgI,~ISgS?Ig®g I~rMI[Pt~~9J(TES TUESDA, PAGE 3 OF 4 Wellens stated that he believed the City Council would feel the same way. Quinlan moved, Trent seconded, denying the request on behalf of STLL and Diamond Sports to allow ball field signage at Freeman Park by changing the current Sign Ordinances that are in place. Motion passed 510. 6. DISCUSSION ON LIST OF PROJECTS FOR CONSULTANT SERVICES Chair Norman stated that the City Council had requested the Commission create a list of `deliverables' which could be used in evaluating the contractor proposals for the park consulting services in order to further delineate the project list for the applicants. Trent stated that he felt providing a list at this time was premature and might stifle the creativity of potential consultants. He suggested the project list be crested in January after the Commission has reviewed the ideas set forth from the RFP respondents. Chair Norman concurred; however, acknowledged the City Council's desire to tighten up the parameters and not leave the RFP so wide open: tic suggested that Commission provide examples of what they were looking for, including picnic shelters at Silverwood, refurbishing Manor Park, etc. Young stated that he would prefer to spell out the particulars and specifics once the Commission has had a chance to review the RFP's received in January. Chair Norman asked how the timing would work out and whether the City had received any requests. Landini stated that the RF'P's were duc by the end of the year to be discussed and reviewed at the first Park Commission Meeting in January, awarding the work sometime in February. Landini stated that he had received a couple of calls with questions since advertising the RFP in the paper. Chair Norman ur-ed the Commissioners to review the proposals ahead of time before arriving for the January meeting so that discussion can be focused and handled within one longer meeting. With regard to the City of Chanhassen and improvements for Cathcart Park, both Quinlan and Norman agreed that the City should come up with a concrete plan or vision for the park, take this to the City of Chanhassen and ask them to share in the capital investment. Wellens suggested the Commission ask the City Council to renegotiate the Cathcart Park agreement with the City of Chanhassen, as he believed it was not the Park Commission's responsibility to administer this agreement. PART{ COMMISSION MINUTES TUESDAY, DECEMBER 9, 2005 PAGE 4 OF 4 7. DETERMINE LIAISON FOR CITY COUNCIL MEETING ON JANUARY 12, 2009 DeMers volunteered to be liaison for January 12, 2009. The Commission suggested they create a rotating liaison schedule for the year, beginning with their January meeting. 8. NEW BUSINESS Landini announced it was City Council member Wellens last muting as a member of the Council. In addition, Landini stated that neither Commissioners Young nor Hensley would be continuing as members of the Park Commission effective March 2009. 9. ADJOURN Young moved, DeMers seconded, adjourning the Park Commission Meeting of December 9, 2008, at 7:50p.m. Motion passed 5/0. RESPECTFULLY SUBMITTED, Kristi Anderson Recorder 1 ~ 3 c r 5755 COUNTRY CLUB ROAD ~ SHOREWOOD, MINNESOTA 55331-8927 ® (952) 474-3236 FAX (952) 474-0128 s www.ci.shorewood.mn.us ® cityhall@ci.shorewood.mn.us MEMORANDUM TO: City Council FROM: Brian Heck, City Administrato DATE: January 8, 2009 SUBJECT: Making Appointments to Certain Offices and Positions within the City of Shorewood for the Year 2009 This item requires Council make a motion to adopt a resolution making the Year 2009 appointments to certain offices and positions within the city. Attached is a Draft Resolution making Year 2009 appointments. The following identifies the Year 2008 appointments: Acting Mayor: Laura Turgeon Council Representatives to: a. Park Commission Liaison: January - June 2008 Martin Wellens July - December 2008 Martin Wellens b. Planning Commission Liaison January June 2008 Dick Woodruff July - December 2008 Laura Turgeon C. Minnehaha Creek Watershed District Liaison: Laura Turgeon d. Riley Purgatory Bluff Creek Watershed District Liaison: Laura Turgeon e. Lake Minnetonka Communications Commission: Richard Woodruff f. Metro Cities (AMM): Martin Wellens g. Alternate Metro Cities (AMM) : Craig Dawson h. Coordinating Committee South Lake Minnetonka Police Department: Mayor PRINTED ON RECYCLED PAPER Alternate to Mayor on Coordinating Committee South Lake Minnetonka Police Department: Acting Mayor Excelsior Fire District Board Member: Martin Wellens k. Alternate Excelsior Fire District Board Member: Richard Woodruff City Attorney: Tim Keane, Leonard, Street and Deinard City Prosecutor: Ken Potts Emergency Preparedness Director: SLMPD Police Chief Bryan Litsey Official Depositories: Beacon Bank 4M Fund & other Depositories as necessary Official Newspaper: Sun Sailor. Notices may also be published in the Laker. Weed Inspector: Mayo Assistant Weed Inspector: Joe Lu og wski 2. That the Blanket Bond (Official Bonds) is approved. CITY OF SHOREWOOD RESOLUTION NO. 09- A RESOLUTION AMENDING APPOINTMENTS TO CERTAIN OFFICES AND POSITIONS WITHIN THE CITY OF SHOREWOOD FOR THE YEAR 2009 WHEREAS, it has been the policy of the Shorewood City Council to make annual appointments to fill certain offices and positions within the City government at the beginning of each year; and NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Shorewood as follows: 1. That the following persons are appointed to the following offices and positions: Acting Mayor: Laura Turgeon Council Representatives to: a. Park Commission Liaison: January - June 2009 July - December 2009 b. Planning Commission Liaison c January - June 2009 July - December 2009 Minnehaha Creek Watershed District Liaison: d. Riley Purgatory Bluff Creek Watershed District Liaison: e. Lake Minnetonka Communications Commission: f. Metro Cities (AMM): g. Alternate Metro Cities (AMM) : Brian Heck h. Coordinating Committee South Lake Minnetonka Police Department: Maw i. Alternate to Mayor on Coordinating Committee South Lake Minnetonka Police Department: Acting Mayor j. Excelsior Fire District Board Member: k. Alternate Excelsior Fire District Board Member: City Attorney: Mary D. Tietien, Kennedy and Graven City Prosecutor: Ken Potts Emergency Preparedness Director: SLMPD Police Chief Bryan Litsev Official Depositories: Beacon Bank 4M Fund & other Depositories as necessary Official Newspaper: Sun Sailor. Notices may also be published in the Laker. Weed Inspector: Mayor Assistant Weed Inspector: Joe Lu og wski 2. That the Blanket Bond (Official Bonds) is approved. That such appointments shall take effect on the date hereof and shall continue for the remainder of the year or until such time as a successor is appointed by the City Council. ADOPTED BY THE CITY COUNCIL OF THE CITY OF SHOREWOOD this 12th day of January, 2009. Christine Lizee, Mayor ATTEST: Brian Heck, City Administrator/Clerk CITY OF E W" SHG-- COUNTRY CLUB ROAD ® SHOREWOOD, MINNESOTA 55331-8927 ® (952) 474-3236 5755 FAX (952) 474-0128 ° www.ci.shorewood.mn.us ® cityha1I@ci.shorewood.mn.us 12 MEMORANDUM 4-. TO: City Council FROM: Brian Heck, City DATE: January 8, 2009 SUBJECT: Southshore Center Lease Background This past year a group consisting of representatives of the five member communities of the Southshore Senior Community Center began to meet with the intent of reworking the arrangement with the Friends of the Southshore Senior Community Center so that additional and ongoing funding from the member communities is needed to support the programming or general operations. The committee entertained proposals and options from the Friends and another organization throughout the year and late in the year tentatively agreed to amendments to both the Lease and Cooperative Agreement. These documents were presented and discussed at the past few meetings and Council asked for additional clarification on the insurance language and capital maintenance language in the Lease and was not satisfied with the amendments proposed in the Cooperative Agreement. Attached is the latest draft of the amendments to the Lease. I did not attach the Cooperative Agreement for discussion as I believe the member communities need to meet again to discuss the issues raised by Shorewood and others. I provided this language to both Excelsior and Tonka Bay as these cities passed the original amendments. Both indicated the language appears to be ok. I did provide the suggested amendments to all members and have not received comments back at this point. ®4® PRINTED ON RECYCLED PAPER -2- Options/Recommendation January 8, 2009 1. The Council can accept the Lease Amendments as provided and forward the action to the other member communities. 2. The Council can suggest additional amendments and forward to member communities. 3. Reject the amendments and take no action. 4. Choose to hold off on action on the Lease until the Cooperative Agreement is completed. Staff recommends Council take action on the Lease agreement independent of the Cooperative agreement and approves the amendments. Staff also recommends the Council direct staff and the Council representative to continue to work on the Cooperative Agreement with the other member communities. THIRD AMENDMENT TO THE LEASE THIS THIRD AMENDMENT TO LEASE by and between the City of Deephaven, the City of Excelsior, the City of Greenwood, the City of Shorewood and the City of Tonka Bay (the "Landlord") and the Friends of the Southshore Community Center (the "Tenant") for the Southshore Senior/Community Center (the "Center") dated the 4t1' day of March, 1996, as amended April 17, 1996, by First Amendment, and as amended the _20th_ day of August_ 2004 by second amendment, is made this _ day of , 2009as follows: 1. RECITIALS, delete "WHEREAS, the Cities !wire to eombi4le ei t the Center." As said language is no longer valid. 2. Section 2, TERM, shall be amended to read as follows: The term of this Lease shall commence on the date of the issuance of the Certificate of Occupancy (Commencement Date) and shall terminate on the earlier of (i) December 31, 2020 - twenty five (25) years from the Commencement Date; or (ii) the mutual agreement of Landlord and Tenant that the useful life of the Premises has expired. The Term may be extended by the Tenant for up to four (4) successive periods of five (5) years each commencing upon the expiration of the Term. If Landlord and Tenant disagree as to whether the useful life of the Premises has expired, the disagreement shall be determined by Dispute Resolution in accordance with Article 35 herein. The Lease may be terminated upon the occurrence of the following: (1) insolvency or dissolution of Tenant; or (2) the decision to terminate approved in writing by the number of Cities specified in the Cooperative Agreement. Written notice of termination shall be provided to each of the Cities and to the Tenant, thir4y sixty 60 days in advance of the effective date of such termination. Section 4 of the Lease shall be amended to read as follows: Rent. Tenant agrees to pay to Landlord as rent for the Premises a yearly rental of One and 00/100 Dollars ($1.00), which rental shall be payable in advance on the Commencement Date and each anniversary of the Commencement Date during the term of this Lease. In addition the Tenant may rent the facility in keeping with the limits and restrictions outlined in this document and shall retain the income fi-om such rental. Section 7 of the Lease shall be amended to read as follows: Formatted: Indent: Left: 0.5" 01 101' (a) agree to provide-and--keep- n-force-daring t-he--tei+*---&l=this-L-' ase-Fore--and-allj in the State of Minnesota in an arnountnot less than tile fill, in"Iffatfle vah-e of the building and other-Hi npFOVen]ei ~ c- +en1iSeS, aflEl-in atr~- vcrrt-vr r c n buildings agreed value endeFsernent, and to keep sueh insurance in full ;.epe and e-&16-Req- Lease. during the ter-m of this The b insured against by prudent institutional in'VeStOFS f8F pFepet4ies similar to the <h~ cti yHli r ~rrvi=-i 2T '1cr~ pzrrpv°n ~7erf 81= t111 ln$tH able ~alt1E- Premises in foundation-, and otheF Poftions Of depreciation, but t footing, Formatted: Indent: Left: 0.5" Formatted: Indent: Left: 0", First line: 0" Formatted: Bullets and Numbering PROPERTY INSURANCE. Landlord shall not be obliirated in anv way or manner to insure anv- personal property (includin: but not limited to any finniture machinery, goods or supplies) of Tenant upon or within the Premises. anv fixtures installed or paid for by Tenant Upon or within the Premises or any improvements which Tenant may construct on the Premises. Tenant shall maintain property insurance on its personal property. Tenant shall have no right in or claim to the proceeds of any policy of insurance maintained by Landlord. qvn-I.R.ACF. RFOIFIRF.MF:NTS. All annroved narties sub-letting space in the facility who 1 Landlord, Tenant, an not oeeapie public liability inq,rRRP eath~c~--one-per-son;-and-~-1-_(3ttt3;(180-€el=nj~iry-cedeatkf-i n-an tF-E>l~e-ace~~t d mid insuring Landlofd-alld Tenant, and with eress liability eidorseffletit gg 5-SeEtion -7 delete t}le poi4ion off'-pafagt'eph c ~ i-~m;~rr the ~ z} Formatted: Bullets and Numbering^ o buil h*g-,-s*eli that the amended paragraph reads as fallovFii - + sri ~tvi~4 t -g98d~ vrvcra=r~ '}tl~ tPI E)i= Tenant shall 1 t the D which will invalidate t b t =t ern of any pokey af insufance on or in refefence fe tile Prk-Ini"es or tile building,--Teftam~-~t~upen demand, as additienal re any inerease in insurance premiums 4bt- ins*Kvwe- that may be enlarged--dt i*g ~tThe~^ passe-o she nn~.ance-carried-by the Tenant btl D S r itoc or ~a tle crcrrrcrrrr H ildi°n fesult; se-le-l y,- L' - P-r ,}~T-cHaD+-OF!A teyi-alr,r~tor~'d-"ci-rvrcnr-<,r-rs ,i-iifrc t"' thereef.~ 6-.5. Section 8 Repairs and Maintenance is amended to read as ( Formatted: Bullets and Numbering follows: Repairs Maintenance and Alterations. Tenant agrees to maintain the Premises in good order, condition and repair during the term of this Lease based on normal wear and tear. Tenant and Landlord responsibilities are outlined in Exhibit D as attached and incorporated hereto, including plowing and maintenance of the parking area referred to in Paragraph 1 above, The Tenant agrees to return the Premises in the same condition as it was received. but not ' bl_ f& For items not listed on Exhibit D the Southshore Senior Community Center Operations Committee shall meet and discuss responsibility with the Friends of the Southshore Senior Community Center and make recommendation to the member City Councils. 7-.6. The Lease agreement is amended by adding new Section 9 and I Formatted: Bullets and Numbering - - shall read as follows: The Cities agree to repair or replace major capital components of the Premises as provided in Exhibit D. Any improvements, expansion or structural modifications proposed to be made to the Premises by e-by-the Tenant requires prior approval by the Landlord and shall become the property of the Landlord at the termination of the Lease. The Tenant agrees to provide a one time contribution of $15,000 in 2009 for initial funding; of the Capital account to be maintained the Cities in accordance with the Cooperative Agreement. 8-.7. The Lease agreement is hereby amended by renumbering i Formatted:Buiiets and Numbering Sections 9-35 to 10-36. Section 15 Default, previously Section 14, of the Lease agreement is amended by deleting the word "ten" and replacing it with "thirty" and the number "(10)" to "(30)". 4-079. Section 22 Notices, previously Section 21, of the Lease agreement is amended by deleting the name and address for Larkin, Hoffman, Daly & Lindgren and adding Kennedy and Graven, Chartered 200, South Sixth Street 470 U.S. Bank Plaza Minneapolis MN 55402. The Section is further amended to reflect the Tenant's name as "The Friends of the Southshore Senior Community Center. 44-.10. Section 36 Termination, previously Section 35, of the Lease agreement is amended by deleting "...thirty (30)..." and replacing it with "...ninety (90)..." 4-2-.11. Section 37 Excess funds, previously Section 36, of the Lease agreement, is hereby deleted in its entirety. LANDLORD: CITY OF DEEPHAVEN By: Its: City (Clerk) Administrator By: Its: Mayor CITY OF EXCELSIOR By: Its: City (Clerk) Administrator By: Its: Mayor CITY OF GREENWOOD By: Its: City (Clerk) Administrator By: Its: Mayor CITY OF SHOREWOOD By: Its: City (Clerk) Administrator By: Its: Mayor CITY OF TONKA BAY By: Its: City (Clerk) Administrator By: Its: Mayor TENANT: THE FRIENDS OF THE SOUTHSHORE COMMUNITY CENTER By: Its: LEASE THIS LEASE, made this _ day of , 1996, between the City of Deephaven, the City of Excelsior, the City of Greenwood, the City of Shorewood, and the City of Tonka Bay (the "Cities"), operating under that certain Cooperative Agreement for the Southshore Senior/ Community Center dated March 4, 1996, hereinafter collectively referred to as "Landlord," and The Friends of South Lake Minnetonka Senior Community Center, a Minnesota nonprofit corporation with tax-exempt status pursuant to 170(c)(2) and § 501(c)(3) of the Internal Revenue Code of 1986, hereinafter referred to as "Tenant." RECITALS WHEREAS. the Cities desire to provide a Center for use by senior citizens for education, cultural participation, socializing, recreation, arts, crafts, music and similar programs of enrichment; and WHEREAS, the Cities desire that the Landlord undertake its best efforts to make the Center widely available to all citizens and residents; and WHEREAS, the Cities desire to provide a congregate dining facility to serve the needs of senior citizens; and WHEREAS, the Cities desire to provide a facility to be used by citizens for municipal use, community organizations, meetings, banquets, receptions, reunions and similar public and private activities; and WHEREAS, the Cities desire to combine their resources to ensure the development, construction, and completion of the Center. NOW, THEREFORE, the parties do hereby agree and covenant as set forth below: IN CONSIDERATION OF the mutual covenants and promises as hereinafter set forth, the parties agree as follows: 1. Premises. Landlord hereby leases to Tenant and Tenant takes from Landlord, subject to the terms and conditions of this Lease, a building and land situated at 5735 Country Club Road, containing approximately 26,000 square feet of space and legally described on Exhibit A attached hereto ("Premises"), together with a permanent easement for the non- exclusive use of forty-seven (47) parking stalls, entrances, restrooms and exits adjacent to the Premises, all of which are located on a parcel of land hereinafter referred to as the "Property." 2. Term. The term of this Lease shall commence on the date of the issuance of the Certificate of Occupancy ( , 1996) ("Commencement Date") and shall terminate on the earlier of (i) the twenty-fifth (25th) anniversary of the Commencement Date; or (ii) the mutual agreement of Landlord and Tenant that the useful life of the Premises has expired. The Term may be extended by the Tenant for up to four (4) successive periods of five (5) years each commencing upon the expiration of the Term. If Landlord and Tenant disagree as to 5534090v1 whether the useful life of the Premises has expired, the disagreement shall be determined by Dispute Resolution in accordance with Article 34 herein. The Lease may be terminated upon the occurrence of any of the following: (1) insolvency or dissolution of Tenant; or (2) the decision to terminate approved in writing by two-thirds of the Cities. Written notice of termination shall be provided to each of the Cities and to the Tenant, thirty (30) days in advance of the effective date of such termination. 3. Nature of Occupancy. Tenant shall use the Premises for use by senior citizens for educational and recreational activities, including, but not limited to, arts, crafts, music and other various programs of enrichment. The Center shall also be used by citizens for banquets, receptions, reunions and other public and private events and other community-based activities such as those commonly provided at community centers throughout the area. The Premises are leased for the operation of a senior/community center or such other purpose as Landlord agrees to in writing and which shall be allowable under applicable zoning and use restrictions of the City of Shorewood, County of Hennepin, State of Minnesota. Tenant shall obtain prior approval from the City of Shorewood or its designee before scheduling events in which the occupancy of the Premises exceeds one hundred (100) persons. 4. Rent. Tenant agrees to pay to Landlord as rent for the Premises a yearly rental of One and 00/100 Dollars ($1.00), which rental shall be payable in advance on the Commencement Date and each anniversary of the Commencement Date during the term of this Lease. 5. Taxes and Assessments. As additional rent, Tenant shall pay all of the real estate taxes and special assessments levied against the Property and any other taxes levied against the Property which shall become due and payable during the term of this Lease. In addition, Tenant shall pay any personal property taxes and all other taxes or charges levied or assessed against Tenant or the personal property or fixtures owned by Tenant. 6. Utilities. As additional rent, Tenant shall pay all the charges for all public utility services rendered or furnished to the Premises, including, but not limited to, heat, air conditioning, water, gas, electricity and sewer, garbage or waste removal, telephone and any other expenses arising out of or incidental to the use and occupancy of the Premises. 7. Insurance. As additional rent, Tenant agrees to provide and keep in force during the term of this Lease the following insurance coverage: (a) Fire and all risk insurance in some insurance company or companies authorized to do business in the State of Minnesota in an amount not less than the full insurable value of the building and other improvements on the Premises, and in any event with an agreed value endorsement, and to keep such insurance in full force and effect for and during the time any buildings and improvements are located on the Premises during the term of this Lease. The coverage shall include all risks commonly insured against by prudent institutional investors for properties similar to the Premises in the Minneapolis area. For the purpose hereof "Full Insurable Value" shall mean the replacement cost of the 5534090vl 2 improvements without allowance for depreciation, but excluding footing, foundations, and other portions of improvements which are not insurable. Such policy or policies shall insure Landlord, Tenant, and any tenants and subtenants of any portions of the building not occupied by Tenant. (b) Public liability and property damage insurance with limits of not less than $1,000,000.00 for injury and death to any one person, and $3,000,000.00 for injury or death in any one accident or occurrence including property damage, insuring Landlord and Tenant, and with a cross-liability endorsement covering claims by an insured against another insured. All policies required by this paragraph shall be carried in such companies as reasonably approved by Landlord and Tenant. All such policies shall not be subject to cancellation or material modification except after thirty (30) days written notice to Tenant, Landlord and Landlord's mortgagee, if any, and each policy shall so provide. All policies required hereunder shall be obtained by Tenant. Tenant shall not carry any stock of goods or do anything in or about the Premises which will impair or invalidate the obligation of any policy of insurance on or in reference to the Premises or the building. Tenant agrees to pay upon demand, as additional rent, any increase in premiums for insurance that may be charged during the term of this Lease on the insurance to be carried by Tenant on the Premises or the building, resulting solely from any increased risk associated with the business carried on in the premises by Tenant or materials stored therein or uses made thereof. As and if required due to failure of Tenant to act, Landlord shall purchase all insurance as set forth in this Lease. Tenant shall immediately reimburse Landlord for the cost of said insurance. Tenant shall make monthly payments in an amount which is sufficient to pay the next annual insurance premium when said premium is due. Landlord shall not be required to pay any interest on amounts escrowed pursuant to this provision. 8. Repairs Maintenance and Alterations. Tenant agrees to maintain the Premises in good order, condition and repair during the term of this Lease, including plowing and maintenance of the parking area referred to in Paragraph 1 above. Tenant shall repair or replace at its own expense any improvement or part thereof on the Premises necessary to so maintain it, and to return the Premises at the end of the term of this Lease in the same condition as it was received, reasonable wear and tear, casualty losses and acts of God excepted. Any improvements, expansion or structural modifications made by the Tenant to the Premises shall become the property of the Landlord at the termination of the Lease. 9. Compliance with Laws and Regulations. Tenant shall comply with all statutes, ordinances, rules, orders, regulations and requirements of all federal state, city and local governments and their agencies. 10. Signs. Tenant shall have the right to install and maintain signs advertising Tenant's business, provided the signs conform to law and to the requirements of all appropriate 5534090x1 3 governmental authorities and are located in areas designated by Landlord and the design, size and color of said signs are approved by Landlord in its reasonable judgment. 11. Eminent Domain. If the Premises, or so much of the Premises as to render the remainder unsuitable for Tenant's purposes, is taken by any public authority under its power of eminent domain, or by private purchase in lieu thereof, then this Lease shall terminate upon the date possession of the Premises is surrendered. All damages and awards shall be made to the Landlord. If less than the entire Premises is taken and Tenant's business is not interfered with thereby, Landlord shall restore or rebuild the remaining portion to render it reasonably suitable for Tenant's purposes, and this Lease shall continue for its full term. Nothing in this paragraph, however, shall be construed to permit the abatement in whole or in part of any charges or obligations of Tenant. 12. Destruction of Premises. Tenant shall give immediate notice to Landlord of any damage to or destruction of the Premises. If the Premises are either totally or partially destroyed by fire or other casualty, the Lease shall terminate unless otherwise agreed to in writing by Landlord. 13. Subleasing or Assignment. Landlord reserves the right to assign this Lease at any time. Tenant may sublease, sell, assign or transfer any part of its interest in this Lease or its term only with the prior written consent of Landlord. In any event, upon the making of a sublease or assignment of its interest, Tenant shall remain liable on all its obligations hereunder unless expressly released therefrom by written notice signed by Landlord. 14. Default. The following shall each be deemed to constitute a default by Tenant and a breach of this Lease: (a) Failure to pay when due the rent or any part thereof, provided in Paragraphs 4 through 7. (b) Failure to perform all other terms, covenants and conditions of this Lease required to be performed by Tenant, within ten (10) days after notice of breach and request for performance is given by Landlord. (c) The abandonment of the Premises by Tenant, the adjudication of Tenant as a bankrupt, the making by Tenant of a general assignment for the benefit of creditors, the taking by Tenant of the benefit of any insolvency act or law, the appointment of a permanent receiver or trustee in bankruptcy for the property of Tenant, or the appointment of a temporary receiver which is not vacated or set aside within sixty (60) days from the date of such appointment. (d) Failure of the Tenant to use the Premises as provided in Paragraph 3. 15. Termination for Default. In the event of default by Tenant, Landlord shall have the right to cancel and terminate this Lease without notice and to institute appropriate proceedings to recover possession of the Premises. This right is in addition to and cumulative of any other right or remedy Landlord may be given under this Lease or by applicable law. Landlord may recover possession of the Premises without terminating this Lease. Failure or 5534090v1 4 refusal of Landlord to terminate this Lease in the event of default shall not be deemed to be a waiver of its right to terminate this Lease at any time for said default or any subsequent default by Tenant. 16. Delinquent Rental and Other Charges. Notwithstanding any other remedy which Landlord may pursue, if Tenant defaults, in whole or in part, in the payment of rent, taxes, assessments, utilities, insurance, or any other charges, Landlord may obtain judgment for any unpaid rentals and other charges which have become payable, or which may thereafter become payable; Tenant agrees to reimburse Landlord for all costs and expenses, including reasonable attorney's fees, incurred by Landlord in collecting such rent and/or other charges. 17. Breach of Covenants. Notwithstanding the existence of any other remedy which Landlord may pursue, if Tenant defaults in any of its obligations arising out of this Lease, Landlord shall have the right to pay said obligation and Tenant hereby agrees to reimburse Landlord for all costs and expenses, including reasonable attorney's fees, incurred by it in protection of its interest hereunder, and Tenant agrees to pay interest at the rate of ten percent (10%) per annum to Landlord on all costs and expenses incurred, commencing with the date of notice to Tenant of Landlord's discharge of any of its obligations. 18. Indemnification. The Tenant agrees to indemnify and save harmless the Landlord from any and all claims by and on behalf of any persons, firms or corporations, arising from the conduct or management of, from any work or thing whatsoever done by or on behalf of the indemnifying party in or about, or its activities upon or occupancy of, the Premises during the term of this Lease, and will further indemnify and save the other party harmless against and from any and all claims arising from any breach or default on the part of the indemnifying party in the performance of any covenant or agreement on the part of such indemnifying party to be performed pursuant to the terms of this Lease, or from any violation or failure to comply with any law, ordinance or regulation, or from any act or negligence of such party, or any of its agents, contractors, servants, employees, licensees, or invitees or arising from any accident, injury or damage whatsoever caused to any person, fur or corporation, occurring during the term of this Lease, in or about the Premises, or upon or under the sidewalks and the land adjacent thereto, and from and against all costs, reasonable and necessary counsel fees, expenses and liabilities incurred in or about any such claim or action or proceeding brought thereon; and in case any action or proceeding be brought against the one party by reason of any such claim, the indemnifying party upon notice from the indemnified parry covenants to contest or defend such action or proceeding by counsel reasonably satisfactory to the indemnified party. 19. Quiet Enjoyment. Landlord covenants that Tenant, upon payment of rent and all other sums due Landlord and upon performance by Tenant of the terms, conditions and covenants of this Lease, Tenant shall peaceably and quietly have, hold and enjoy the Premises for the entire term of this Lease; Landlord further covenants that it has good right to make this Lease for its entire term. 20. Right of InspectLandlord shall at all times have the right to enter upon the Premises to inspect its condition, and at its election, to make reasonable and necessary repairs thereon for the protection and preservation thereof, but nothing herein shall be construed to require Landlord to make such repairs, and Landlord shall not be liable to Tenant, or any other 5534090vl 5 person or persons, for failure or delay in making said repairs, or for damages or injury to person or property caused in or by the making of such repairs, or the doing of such work. Landlord shall have the right during the last sixty (60) days of the term of this Lease to advertise the Premises for rent and to place and maintain on the Premises the usual notices and to show the Premises to prospective tenants. 21. Notices. All written notices required shall be given by certified mail to the parties at the addresses stated below: If to Landlord: City Clerk City of Deephaven 20225 Cottagewood Road Excelsior, MN 55331 City Clerk City of Excelsior 339 Third Street Excelsior, MN 55331 City Clerk City of Greenwood 20225 Cottagewood Road Excelsior, MN 55331 City Clerk City of Shorewood 5755 Country Club Road Shorewood, MN 55331 City Clerk City of Tonka Bay 4901 Manitou Road Tonka Bay, MN 55331 With a copy to: LARKIN, HOFFMAN, DALY & LINDGREN, Ltd. 1500 Norwest Financial Center 7900 Xerxes Ave. S. Bloomington, MN 55431 Attn: Timothy J. Keane, Esq. If to Tenant: The Friends of South Lake Minnetonka Senior Community Center % Ben Withhart 10709 Wayzata Blvd, Suite 111 Minnetonka, MN 55305 553409001 6 22. Subordination. Tenant hereby agrees that this Lease shall be subordinate to the lien of any mortgage hereinafter imposed upon the Premises by Landlord. Tenant also agrees to execute an estoppel certificate in reasonable form and substance if requested by Landlord or any mortgagee with respect to this Lease. 23. Holding Over. Upon termination of this Lease, Tenant shall vacate the Premises. If Tenant continues in possession of the Premises after termination, the tenancy of Tenant shall be from month to month only, and all other terms and conditions of this Lease shall remain in full force and effect. 24. Binding Effect. Except to the extent otherwise provided herein, this Lease and the terms, conditions and covenants contained herein shall be binding upon and inure to the benefit of Landlord and Tenant, and their respective successors, hems and legal representatives and assigns. 25. Governing Law. This Lease shall be construed under and governed by the laws of the State of Minnesota. 26. Severability. In the event any provision of this Lease shall be found invalid or unenforceable, that provision shall be severed from this Lease, and the remaining portions hereof shall continue in full force and effect pursuant to their terms. 27. Entire Agreement. This Lease contains the entire agreement between the parties, and any amendment hereafter made shall be ineffective to alter, modify or discharge any provision hereof unless the amendment is in writing and signed by the party against whom enforcement is sought. 28. Attorneys' Fees. If Landlord has to enforce any term or provision of this Lease, including but not limited to any unlawful detainer proceeding, Landlord shall be paid its reasonable attorneys' fees, costs and disbursements by Tenant and said monies shall be deemed additional rent due under this Lease. 29. Rent. All monies due from Tenant under the terms and conditions of this Lease shall be deemed to be additional rent due under this Lease. 30. Tenant Improvements. Any improvements made by Tenant to the Premises, except trade fixtures, shall become the property of Landlord at Landlord's option at the termination of the Lease. If Landlord does not choose to own said improvements at the termination of the Lease, Tenant shall remove said improvements at Tenant's sole cost and expense. 31. Net Lease Intended. It is the intention of the parties that Landlord shall receive the cash rental specified herein as net rental, free from all taxes, charges, expenses, damages and deductions of every description, except as set forth herein. Under no condition shall the Landlord be required to make any payment of any kind whatsoever or be under any obligation or liability hereunder, except as herein expressly set forth. 5534090x1 7 32. Waste; No Liens. Tenant agrees not to do or suffer any waste to the Premises, or cause, suffer or permit any liens to attach to or to exist against the Premises by reason of any act or omission of Tenant or persons claiming through Tenant or by reason of its failure to perform any act required of it hereunder and Tenant shall not permit the Premises to be used for any illegal purpose. Provided, however, Tenant shall not be required to pay or discharge any lien against the Premises so long as Tenant has given Landlord notice of its intent to contest such lien and Tenant is in good faith contesting the validity or amount thereof and has given to Landlord such security as Landlord has reasonably requested to assure payment of such lien and to prevent the sale, foreclosure or forfeiture of the Premises by reason of non-payment. On final determination of the lien or claim of lien Tenant shall immediately pay any judgment rendered, and all costs and charges, and shall cause the lien to be released or satisfied. Tenant shall not use or permit the use of the Premises in any manner which would result or would with the passage of time result in the creation of any easement or prescriptive right. Tenant shall not use or occupy the Premises, or knowingly permit them to be used or occupied, contrary to any statute, rule, order, ordinance, requirement or regulation certificate of occupancy affecting the same, or which would make void or voidable any insurance then in force with respect thereto or which would make it impossible to obtain fire or other insurance thereon required to be furnished hereunder at Tenant's expense, or which would cause structural injury to the improvements or cause the value or usefulness of the Premises, or any portion thereof, substantially to diminish (reasonable wear and tear excepted), or which would constitute a public or private nuisance or waste, and Tenant agrees that it will promptly, upon discovery of any such use, take all necessary steps to compel the discontinuance of such use. 33. Headings. The headings used in this Lease are for convenience only and shall not have any bearing or meaning with respect to the content or context of this instrument. 34. Dispute Resolution. In the event the parties to this Agreement cannot agree on the proper method of conducting business or operation, improvement and maintenance of the Premises, the parties or outside parties may submit the issues for resolution in the following order: First, as a grievance to Tenant with a recommended course of action or a grievance of Tenant to Landlord with a recommended course of action; and Second, grievance submitted to a panel consisting of a representative of Tenant and a representative selected by each City comprising the Landlord; and Third, grievance submitted to the same panel described above in mediation with a mediator from West Suburban Mediation Services or a mediator agreed on by the parties. The cost of mediation services shall be shared equally by all parties. 35. Termination. Landlord shall have the right to terminate this Lease without cause upon thirty (30) days written notice to the Tenant. 36. Excess Funds. Upon completion of construction of the Center, excess funds shall be held in a restricted capital reserve account for the purpose of repairs and capital replacement of the Center. This account shall be controlled by the Friends, however, no expenditure in excess 5534090v1 of $5,000 shall be made without the approval of a majority of the Cities. This reserve is not intended for day-to-day maintenance such as snow removal, routine building maintenance and cleaning or other operating costs. 37. Limitation on Right of Recovery Against Landlord. Tenant acknowledges and agrees that the liability of Landlord under this Lease shall be limited to its interest in the Premises and any judgments rendered against Landlord shall be satisfied solely out of the proceeds of sale of its interest in the Premises. No personal judgment shall lie against Landlord upon extinguishment of its rights in the Premises and any judgment so rendered shall not give rise to any right of execution or levy against Landlord's assets. The provisions hereof shall inure to Landlord's successors and assigns including any Mortgagee. The foregoing provisions are not intended to relieve Landlord from the performance of any of Landlord's obligations under this Lease, but only to limit the personal liability of Landlord in case of recovery of a judgment against Landlord; nor shall the foregoing be deemed to limit Tenant's rights to obtain injunctive relief or specific performance or to avail itself of any other right or remedy which may be awarded Tenant by law or under this Lease. 38. Permits. Tenant shall diligently seek and, upon issuance, maintain in force and effect all permits, licenses, and similar authorizations to use the Premises for the purposes set forth herein required by any governmental authority having jurisdiction over the use thereof. Landlord shall, at Tenant's request, join with Tenant in executing, acknowledging, and delivering any and all petitions, consents, applications, approvals, reviews, easements, or similar documents that may be required for the installation of any improvements, utilities, public improvements, roads, water lines, sewer lines, storm drainage facilities, subdivision, rezoning, special use, platting, or other similar development, construction and operation of the Premises. IN WITNESS WHEREOF, Landlord and Tenant have respectively signed this Lease as of the date first above written. Dated: Dated: Dated: Dated: CITY OF DEEPHAVEN By: Its: City (Clerk) Administrator By: Its: Mayor CITY OF EXCELSIOR By: Its: City Manager By: 5534090vl 9 Its: Mayor Dated: Dated: Dated: Dated: Dated: Dated: CITY OF GREENWOOD By: Its: City (Clerk) Administrator By: Its: Mayor CITY OF SHOREWOOD By: Its: City (Clerk) Administrator By: Its: Mayor CITY OF TONKA BAY By: Its: City (Clerk) Administrator By: Its: Mayor TENANT: THE FRIENDS OF SOUTH LAKE MINNETONKA SENIOR COMMUNITY CENTER By: Its: 5534090v1 10 LEASE AGREEMENT EXHIBIT A DESCRIPTION OF PARCEL TO BE DEEDED TO THE SENIOR COMMUNITY CENTER That part of Lot 12, Block 2, ECHO HILLS 2ND ADDITION, and of Lot 27, Auditors Subdivision 133, according to the plats on file in the office of the County Recorder, Hennepin County, Minnesota, described as follows: Commencing at a point in the centerline of Smithtown Road distant 645.00 feet easterly from an intersection of the northerly extension of the west line of said Lot 27 with said centerline; thence southerly parallel with the west line of said Lot 27 a distance of 34.19 feet to the point of beginning of the land to be described; thence South 00 degrees 29 minutes 57 seconds East, assumed bearing, along a line parallel with the west line of said Lot 27 and the west line of said Lot 12 a distance of 104.00 feet; thence South 76 degrees 20 minutes 42 seconds East 45.00 feet; thence South 15 degrees 30 minutes 36 seconds East 45.00 feet; thence South 76 degrees 20 minutes 42 seconds East 57.05 feet; thence North 66 degrees 48 minutes 24 seconds East 34.92 feet; thence North 34 degrees 25 minutes 43 seconds East 30.00 feet; thence North 00 degrees 29 minutes 57 seconds West, parallel with the west line of said Lots 12 and 27, a distance of 160.00 feet to a point in the north line of said Lot 12; thence South 84 degrees 37 minutes 48 seconds West 94.66 feet; thence South 74 degrees 29 minutes 24 seconds West 68.00 feet to the point of beginning. Said parcel contains 26,000 square feet more or less. Together with a permanent easement for parking purposes over, under and across that part of said Lots 12 and 27 described as follows: Commencing at a point in the centerline of Smithtown Road distant 645.00 feet easterly from an intersection of the northerly extension of the west line of said Lot 27 with said centerline; thence South 00 degrees 29 minutes 57 seconds East 138.19 feet to the southwest corner of the above described parcel and to the point of beginning of the easement to be described; thence South 00 degrees 29 minutes 57 seconds East 27.00 feet; thence South 74 degrees 29 minutes 24 seconds West 4.00 feet; thence South 15 degrees 30 minutes 36 seconds East 55.00 feet; thence South 74 degrees 29 minutes 24 seconds West 55.00 feet; thence North 15 degrees 30 minutes 36 seconds West 55.00 feet; thence South 74 degrees 29 minutes 24 seconds West 91.00 feet; thence South 00 degrees 29 minutes 57 seconds East 139.77 feet; thence North 74 degrees 29 minutes 24 seconds East 284.59 feet; thence North 00 degrees 29 minutes 57 seconds West 58.60 feet; thence North 34 degrees 25 minutes 43 seconds East 22.40 feet to the southeasterly comer of the above described parcel; thence westerly and northwesterly along the southwesterly line of said above described parcel to the point of beginning. Together with the right of ingress and egress to and from the Country Club Road. Contains 31,452 square feet more or less. 5534090vl FIRST AMENDMENT TO LEASE THIS FIRST AMENDMENT TO LEASE by and between the City of Deephaven, the City of Excelsior, the City of Greenwood, the City of Shorewood and the City of Tonka Bay (the "Landlord") and the Friends of the South Lake Minnetonka Senior Community Center (the "Tenant") for the Southshore Senior/Community Center (the "Center") dated the day of , 1996 (the "Lease") is made this day of , 1996, as follows: At least 60 days prior to commencement of construction of the Center, Tenant shall prepare proposed rules and procedures for the use and operation of the Center and shall submit them to Deephaven for review and approval. If Tenant and Deephaven are unable to agree upon the rules and procedures, the disagreements shall be addressed in the manner provided in Section 34 of this Lease. If Tenant wishes to amend or modify the rules and procedures it shall submit the changes to Deephaven for review and comment. LANDLORD: CITY OF DEEPHAVEN CITY OF SHOREWOOD By: Its: City (Clerk) Administrator By: Its: Mayor CITY OF EXCELSIOR By: Its: City (Clerk) Administrator By: Its: Mayor CITY OF GREENWOOD By: Its: City (Clerk) Administrator By: Its: Mayor By: Its: City (Clerk) Administrator By: Its: Mayor CITY OF TONKA BAY By: Its: City (Clerk) Administrator By: Its: Mayor TENANT: THE FRIENDS OF SOUTH LAKE MINNETONKA SENIOR COMMUNITY CENTER By: Its: 5534090v1 SECOND AMENDMENT TO LEASE THIS SECOND AMENDMENT TO LEASE by and between the City of Deephaven, the City of Excelsior, the City of Greenwood, the City of Shorewood and the City of Tonka Bay (the "Landlord") and the Friends of the South Lake Minnetonka Senior Community Center (the "Tenant") for the Southshore Senior/Community Center (the "Center") dated the 4"' day of March, 1996, as amended April 17, 1996, by First Amendment, (the "Lease") is made this day of , 20 as follows: 1. The name of the Tenant shall be corrected to read: Friends of the Southshore Senior Community Center. 2. The first sentence of paragraph 7.) (b) of said Lease is amended in its entirety to read as follows: "Public liability and property damage insurance with limits of not less than $1,000,000.00 for injury and death to any one person, and $1,000,000.00 for injury or death in any one accident or occurrence including property damage, insuring Landlord and Tenant, and with a cross-liability endorsement covering claims by an insured against another insured." LANDLORD: CITY OF DEEPHAVEN CITY OF SHOREWOOD By: Its: City (Clerk) Administrator By: Its: Mayor CITY OF EXCELSIOR By: Its: City (Clerk) Administrator By: Its: Mayor CITY OF GREENWOOD By: Its: City (Clerk) Administrator By: Its: City (Clerk) Administrator By: Its: Mayor CITY OF TONKA BAY By: Its: City (Clerk) Administrator By: Its: Mayor TENANT: THE FRIENDS OF SOUTH LAKE MINNETONKA SENIOR COMMUNITY CENTER 5534090vl By: Its: Mayor By: Its: 5534090vi MEMORANDUM TO: City Council FROM: Brian Heck, City Administrator DATE: January 8, 2009 SUBJECT: Board Representative Appointments Each year, Council considers interested Shorewood residents for appointment to the following Boards: 1) Lake Minnetonka Communications Commission (LMCC) 2) Lake Minnetonka Conservation District (LMCD) 3) Minnetonka Community Education (MCE) Typically, Council has made a one-year appointment for each of these Organizations. The LMCD is requesting Council consider making its resident representative appointment for a three-year term (see Attachment 1). Staff also contacted MCE and the LMCC to find out what their term preferences were. The LMCC's bylaws indicate a one-year term. As of this printing, the MCE had not responded to staff's request. It is expected that interviews for these Board appointments, if needed, will be conducted prior to the January 26 Regular Council meeting, with appointments being made at the Regular meeting that evening. Council Action Discussion of appointing the LMCD Board representative to a term of more than one- year, and consideration of doing the same for the MCE representative, should it be determined that a term of more than one-year is preferred. 0. OP PRINTED ON RECYCLED PAPER FROM : LMCD FAX NO. : 7459005 .Ian, 07 2009 11:49AM P1 M SAYE "t rn%f^ ~4x BOARD MEMBERS LAKE MINNET NKA CONSERVATION DISTRICT 23505 SMITHTOWN ROAD, SUITE 120 - SHOREWOOD, MINNESOTA 55331 • TELEPHONE 9.52/745-0789, FAX 9521745•P036 Gregory S- Nybeck, EXECUTIVE DIRECTOR October 10, 2003 TO: LMCD Member Cities FROM: Greg Nybeck, Executive Director Lisa Whalen, Chair MinnetriSta Tom Tanner, Vice Chair Wayzata Andrew Mc C)ermQtt ill, Secretary orOno Tom Scanlon, Treasurer Spring Park Doug Babcock Tonka Bay David GrQrs aeephaven Chris Jewett Minnetonka Steve Johnson Mound Dennis Klohs Minnetonka Beach Jeff Morris Excelsior Bi(1 Olson Victoria Kelsey Page Greenwood Richard Siakel Shorewood 'orb Suerih7 Woodland SUBJECT: Appointment of 2009 Board Members It is approaching the time of the year when terms for some members of the Lake Minnetonka Conservation District {LMCD} Board of Directors will expire. Terms on the LMCD Board run from February 1st through January 31St of the following year. The state enabling LMCD legislation calls for Board members to be appointed for three-year terms subject to recall by the cities, There is no applicable term limits for Board members. Because the application of the LMCD ordinances are inherently unique and it takes some period of time for new Board members to come up to speed, it would be difficult and undesirable to have all Board member's terms expire at the same time, possibly ending up with a completely new Board or a mostly newBoard. The LMCD has, therefore, requested the 14 cities to stagger the member's terms by appointing five members the first year, five the second year, and four the third year (5-5-4), We realize that some of the cities prefer to make all their appointments yearly; however, this is not consistent with the LMCD enabling act. The cities do have the ability to recall their member anytime and appoint another for the remainder of a 3-year term if the need arises. Below is a list of when the current Board member terms expire in January of: 2009 4r* GO % Recy~8d Content 20% Pgl Corrumer Wa,te Doug Babcock- Tonka Bay Andrew McDermott- Orono City of Excelsior- Vacant Richard Siakel- Shorewood Herb Suerth- Woodland 2010 Chris Jewett- Minnetonka Steve Johnson- Mound Dennis Klohs- Minnetonka Beach Bill Olson- Victoria Tom Scanlon- Spring Park Tom Tanner- Wayzata 2011 David Gross- Deephaven Kelsey Page- Greenwood Lisa Whalen- Minnetrista In order to achieve the goal of staggering Board member appointments to the fullest extent passible, as previously approved by the LMCD Board of Directors, we request the following cities to appoint Board members for the following terms beginning in February, 2009: Excelsior 3 Years Orono 1 Year Shorewood 3 Years Tonka Bay 3 Years Woodland 3 Years Web Page Address: http!//www.Imcd.org E-mail Address: 1mcd@lmcd,0rg Attachment 91 FROM ® LI,1CD FAX NO. ® 7159885 Jan. 07 2009 11:50AM P2 LAKE MINNETONKA CONSERVATION DISTRICT LMCD Member Cities October 10, 2008 Page 2 No action needs to be taken by the Cities of Deephaven, Greenwood, Minnetonka, Minnetonka Beach, Minnetrista, Mound, Spring Park, Victoria, or Wayzata. Please advise our office if for some reason your records are not in agreement with ours. Also, enclosed is a spreadsheet that summarizes Board members attendance through September 2008. This information is intended for review by your city council. Your prompt attention and cooperation in processing this important appointment is appreciated FROM : LtlICD FAX NO. : 7459085 Tan. 07 2009 11 : 5UHr1 --F'._: D z W r ~ r1 W LU ~ r ~ y r 0- 00 c l _ rNoo LLt F l.SJ Lb 0 w ' in O { IL F- CL > V) LLI Z 0 C) W LL1 C} hl m Z tV d ul _ LU W Q Ct3 0 t~ LU M. LL! o u T o7 P`4 Ct7 ~ ~ o n o" b o te0 CCD (3) D w r- a T 4 67 04 1, 4 00 T co CD I*- co ua T IT IC' 110 I~ II~' I`~ E~ r. CO _O rn 0 C3 C3 ~ V n~ J 0 [f C~ {a Q~ Vi L h M a T S '_J fn fn `L` r~ } J a., m 0 0 _ _c CC_ c 0 0 W G? ;t o is 0-6 07 T C3 C\L i N CO C3 C D E C3 CD ~ ~ C 1 C) m t7 ti D T O V k co t~ - 0 0 m M C) C} ~y m y r to z m F V ~5 C m ~ Y C D_ m m o z CITY OF -Ir 270C- I 12 5755 COUNTRY CLUB ROAD ® SHOREWOOD, MINNESOTA 55331-8927 - (952) 474-3236 FAX (952) 474-0128 ° www.d.shorewood.mmus • cityhall@ci.shorewood.mn.us MEMORANDUM Date: January 7, 2009 To: Honorable Mayor and City Council Members Brian W. Heck, City Administrator From: Bonnie Burton, Finance Director/Treasurer Re: Investment Policy Revisions The City Council recently expressed interest in certain revisions to the City's Investment Policy. Therefore, a revised policy is attached for Council review and approval. Proposed Policy Revisions The proposed revisions to the policy are as follows: 1. Page 2: A paragraph has been inserted allowing for the formation of an Oversight Committee to work with the Finance Director and City Administrator to assure investment practices are in conformance with the Investment Policy. This new paragraph is at the bottom of page 2. 2. Page 3: The FDIC amounts have been modified from `$100,000' to the `maximum allowable by the FDIC' in the Certificates of Deposit description, under the paragraph titled `Authorized and Suitable hlvestments' on the bottom of page 3. Some Interesting Trivia By way of background on the topic of finance and investment committees, most cities do not have said commissions or committees. However, Shorewood, and some neighboring cities, have experimented with this type of committee structure in the past. For example, Shorewood had a Finance Advisory Board in the late 1980's. The Board was formed in ®a f 16 PRINTED ON RECYCLED PAPER ^^^pg~~~~~~,,,~~ Page 2 1986-1987 with four residents serving as the initial members. The City did not have a professional Finance Director at the time and it appears the Board reviewed budgets; was active in the financing of the Waterford development district; and "provided advice to the council on issues that had significant impact (greater than $5,000)". The group apparently disbanded in the early 1990's. The City of Excelsior formed a Finance Commission a few years ago, which has since disbanded due to its inability to attract interested and qualified members. It was comprised of seven residents (however, up to two members could be non-residents) who were required to have a college degree in finance or accounting and who served staggered terms without compensation. There were a considerable number of requirements to serving on this commission which may have discouraged participation and led to its demise. Finally, City of Victoria has a Finance Commission comprised of the City Administrator, the Mayor, a council member (rotates annually) and a citizen, preferably with an accounting or finance background. RECOMMENDATION: The City Council is requested to review and approve the revised Investment Policy. CITY OF SHOREWOOD, MINNESOTA INVESTMENT POLICY INTRODUCTION This policy covers all monies and cash balances of the City of Shorewood and includes deposits and investments of funds deposited in interest bearing accounts. The policy is intended to be broad enough to allow the Investment Officer to function properly within the parameters of responsibility and authority, yet specific enough to adequately safeguard the investment assets. PURPOSE The purpose of this policy is to establish specific guidelines the City of Shorewood will use in the investment of City funds. It will be the responsibility of the City Finance Director/Treasurer to invest City funds in order to attain a market rate of return while preserving and protecting the capital of the overall portfolio. Investments will be made, based on statutory constraints, in safe, low risk instruments. SCOPE The City Finance Director/Treasurer is responsible for the investing of all funds in the custody of the City, including, but not necessarily limited to, the General Fund, Special Revenue Funds, Debt Service Funds, Capital Project Funds, Enterprise Funds, and Agency Funds. PRUDENCE The standard of prudence to be used by investment officials shall be the "prudent investor", and shall be applied in the context of managing the overall portfolio. Investment officers acting in accordance with this policy and with MN Statute 118A, and exercising due diligence shall be relieved of personal responsibility for an individual security's credit risk or market price changes, provided that reasonable action is taken to control adverse developments and unexpected deviations are reported in a timely manner. Page 1 OBJECTIVE There are three main objectives of all investment activities that are prioritized as follows: A. Safe - Safety of principal is the foremost objective of the City. Each investment transaction shall seek to first insure that capital losses are avoided. The objective is to mitigate credit risk and interest rate risk. Credit Risk is the risk of loss due to failure of the security issuer or backer. Interest Rate Risk is the risk that the market value of securities in the portfolio will fail due to changes in general interest rates. B. Li uidi - The investment portfolio shall remain sufficiently liquid to meet all operating requirements that may be reasonable anticipated. This is accomplished by structuring the portfolio so that securities mature concurrent with cash needs to meet anticipated demands. C. Yield - The investment portfolio of the City of Shorewood shall be designed to attain a market-average rate of return through budgetary and economic cycles, taking into consideration the city's investment risk constraints, cash flow characteristics of the portfolio and prudent investment principles. Subject to requirements of the above objectives, it is the policy of the City of Shorewood to offer financial institutions and companies within the City of Shorewood the opportunity to bid on investments; however the City of Shorewood will seek the best investment yields. DELEGATION OF AUTHORITY Management responsibility for the investment program is hereby delegated from the City Council to the City Finance Director/Treasurer, and, in the absence of the Finance Director/Treasurer, the City Administrator (the investment officers). The investment officers shall establish procedures for the operation of the investment program, consistent with this investment policy. Such procedures shall include delegation of authority to persons responsible for investment transactions. The City Finance Director/Treasurer shall be responsible for all transactions undertaken and shall establish a system of internal controls designed to prevent losses from fraud and employee error. OVERSIGHT COMMITTEE The Council, at its discretion, may form an investment oversight committee for the specific and limited purpose of reviewing the portfolio of investments and earnings with the Finance Director/Treasurer and City Administrator, with the purpose of ensuring the investment practices are in conformance with the provisions established in this policy. The committee shall have no authority to suggest or direct the Finance Director/Treasure or City Administrator to invest city funds in a particular security, with a particular broker, or in a particular manner. Members of the Oversight Committee shall be the Finance Director, City Administrator, Mayor and one Council member. The Committee. shall meet at least twice each year but not more than quarterly to review investment portfolio and performance. Page 2 CONFLICT OF INTEREST Any City Official (elected or appointed) involved in the investment process shall refrain from personal business activity that could conflict with proper execution of the investment program or which could impair his/her ability to make impartial investment decisions. AUTHORIZED FINANCIAL INSTITUTE AND DEALER In accordance with Minnesota Statute 118A.005, the responsibility for conducting investment transactions resides with the City Council of the City of Shorewood. Also, the Council shall authorize the City Finance Director/Treasurer to exercise the powers of the Council in designating a depository of the Funds. In selecting depositories, the credit worthiness of the institutions under consideration shall be examined by the City Finance Director/Treasurer. Only approved security broker/dealers selected by creditworthiness shall be utilized (minimum capital requirement of a10 million dollars and at least five years of operation). These may include "primary" dealers or regional dealers that qualify under Securities and Exchange Commission Rule 15c3-1 (uniform net capital rule). BROKER REPRESENTATIONS Municipalities must obtain from their brokers certain representations regarding future investments. Minnesota Statutes, Section 118A, Subdivision 6, requires municipalities to provide each broker with information regarding the municipalities investment restrictions. Before engaging in investment transactions with the City of Shorewood, the supervising officer at the securities broker/dealer shall submit a certification annually according to MN Statutes 118A.05. The document will state that the officer has reviewed the investment policies and objectives, as well as applicable state law, 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 of Shorewood. All financial institutions shall agree to undertake reasonable efforts to preclude imprudent transactions involving the City's funds. ORIZED AND SUITABLE INVESTMENTS Minnesota Statutes, Section 118A, Subdivision 3, lists all permissible investments for municipalities. This list establishes the maximum investment risk permitted for a Minnesota municipality. Even though MN Statutes 118A provides for more instruments to be used for investing purposes; the following is a listing of investments the City will be authorized to invest in: Government Securities: Instruments such as bonds, notes, bills, mortgages and other securities which are direct obligations of the federal government or its agencies, with the principal fully guaranteed by the U.S. Government or its agencies. 2. Certificates of Deposit: A negotiable or nonnegotiable instrument issued by commercial banks and insured up to $ 100,000 the inaxiinum allowable by the Federal Deposit Insurance Corporation (FDIC). Page 3 3. Repurchase Agreement: An investment which consists of two simultaneous transactions, where an investor purchases securities from a bank or dealer. At the same time, the selling bank or dealer agrees to repurchase the securities at the same price plus interest at some agreed-upon future date. The security purchased is the collateral protecting the investment. 4. Any security which is a general obligation of any state with taxing powers which is rated "A" or better by a national bond rating service. Statewide investment pools, including Minnesota Joint Powers Investment Trust (4M Fund), which invest in authorized instruments according to MN Statutes 118A. 6. Commercial paper: Short-term unsecured promissory notes with a rating of A-1 (Standard and Poor's), P-1 (Moody's) or F-1 (Fitch). These must be rated in the highest quality category by at least two nationally recognized rating agencies and must mature in 270 days or less. 7. Money market mutual funds which invest in authorized instruments according to MN Statutes 118A. 8. Interest-bearing deposits in authorized depositories must be fully insured or collateralized. COLLATERALIZATION Collateralization will be required on two types of investments: Certificates of Deposit (above the FDIC insurance amount) and Repurchase Agreements. In order to anticipate market changes and provide a level of security for all fiends, the collateralization level will be 110 percent of the market value of principal and accrued interest. When the pledged collateral consists of notes secured by first mortgages, the collateral level will be 140% of the market value of the principal and accrued interest. Collateral shall be deposited in the name of the City of Shorewood, subject to release by the City Finance Director. SAFEKEEPING AND CUSTODY All invested assets of the City of Shorewood involving the use of public funds custodial agreement shall comply with all rules adopted pursuant to Minnesota Statute 118A. All custodial agreements shall be in writing and shall contain a provision that all custodial services are provided in accordance with the laws of the State of Minnesota. DIVERSIFICATION The City will attempt to diversify its investments according to type and maturity. 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. Extended maturities may be utilized to take advantage of higher yields; however, no more than 30% of the total investments should extend beyond five (5) years and in no circumstance should any extend beyond fifteen (15) years. No more than 3% of unencumbered funds shall be kept in commercial paper. At least 30% of funds shall be kept in liquid savings accounts (such as the 4M Fund). Page 4 CERTIFICATE OF AUTHORITY The Shorewood City Council hereby authorizes the following city staff to sell, assign and endorse for transfer, certificates of deposit, and certificates representing stocks, bonds or other securities that are registered in the name of the City of Shorewood: City Finance Director/Treasurer and City Administrator. INVESTMENT REPORTING The City Finance Director/Treasurer shall prepare an investment report at least quarterly, including a management summary that provides a clear picture of the status of the current investment portfolio. The investment report shall include the cost, date and place of each investment, the maturity date and rate of interest earning on each as of that date; and any additional information as may be requested from time to time by the City Council. 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 market rate of return while providing liquidity and maintaining the safety of its principal. ADOPTED BY THE CITY COUNCIL OF THE CITY OF SHOREWOOD this 12th day of January, 2009. Chris Lizee, Mayor ATTEST: Brian W. Heck, City Administrator/Clerk Page 5 CITY OF S --r -1 x-- % 1j - -q `0 D 5755 COUNTRY CLUB ROAD ® SHOREWOOD, MINNESOTA 55331-8927 - (952) 474-3236 FAX (952) 474-0128 ° www.ci.shorewood.mmus • cityhaI1@ci.shorewood.mn.us MEMORANDUM TO: Mayor and City Council Brian Heck, City Administrator FROM: James Landini, City Engineer DATE: January 08, 2009 RE: Authorize the Execution of Drainage and Utility Easement @ 5795 Country Club Rd. Staff has prepared a legal description for a Drainage and Utility Easement over, under and across 5795 Country Club Rd. The property is owned by the City of Shorewood and would grant itself a Drainage and Utility Easement on 5795 Country Club Rd. The easement would be the East 25 feet of the South 100 feet of Lot 11 Block 2 Echo Hills 2nd Addition. This will allow for a 20 foot wide rain garden to be constructed when needed. This would need to be recorded before the property is sold. Tim Deane has prepared the legal document for recording at Hemlepin County. Recommendation Staff recommends approval of the Drainage and Utility Easement @ 5795 Country Club Rd PRINTED ON RECYCLED PAPER i DRAINAGE AND UTILITY EASEMENT 5795 Country Club Road City of Shorewood THIS INSTRUMENT is made this day of , 2009, by and between the City of Shorewood, a Mimnesota principal corporation, Grantor, in favor of the City of Shorewood, a Minnesota municipal corporation, Grantee. Recitals A. Grantor is the fee owner of the property described on Exhibit A attached hereto, which property is located in Hennepin County, Mimnesota (the "Property"). B. Grantor desires to grant to the Grantee an easement, according to the terns and conditions contained herein. Terms of Easement 1. Grant of Easement. For good and valuable consideration, receipt of which is acknowledged by Grantor, Grantor grant and convey to the Grantee the following easement: A perpetual, non-exclusive easement for drainage and utility purposes over, under, across and through that part of the Property described on Exhibit B (the "Easement Area") and depicted on Exhibit C. 2. Scope of Easement. Grantor hereby agree that they will not perform or allow or cause the construction of any improvements on the Permanent Easement which could damage or obstruct the Permanent Easement or interfere with Grantee's access to or Grantee's right to construct, maintain and repair drainage and public utilities improvements on the Permanent Easement. 3. Rights of Grantee. Grantor, for itself, their successors and assigns, grant to the Grantee the affirmative right, but not the obligation, to do the following in the Easement Area: Enhance the slope, trees, vegetation and natural habitat at no cost to the Grantors. Any such enhancements made by Grantee shall be maintained by Grantee, at no cost to Grantor. b. Enter upon the Easement Area at any time to enforce compliance with the terms of this Drainage and Utility Easement. C. Take such other action as the Grantee deems necessary or advisable in its sole discretion to enforce compliance with the terns of this Drainage and Utility Easement. { 124384. DOC } d. Install and maintain monuments or markers delineating the Easement Area. 4. Warranty of Title. The Grantor warrant that they are the owners of the Property as described above and have the right, title and capacity to convey to the Grantee the Drainage and Utility Easement herein. 5. Environmental Matters. The Grantee shall not be responsible for any costs, expenses, damages, demands, obligations, including penalties and reasonable attorney's fees, or losses resulting from any claim, actions, suits or proceedings based upon a release or threat of release of any hazardous substances, pollutants, or contaminants except those transported by stonriwater which may have existed on, or which relate to, the Easement Area or Property prior to the date of this instillment. 6. Binding Effect; Enforceability. The terms and conditions of this instrument shall run with the land and be binding on the Grantor, and Grantor's heirs, successors and assigns. This Easement is enforceable by the City of Shorewood acting through its City Council. STATE DEED TAX DUE HEREON: NONE Dated this day of , 2009. 11 24384.DOC} 2 GRANTOR: CITY OF SHOREWOOD, MINNESOTA By: Its: By: Its: City Administrator/Clerk Mayor STATE OF MINNESOTA ) ss. COUNTY OF ) The foregoing instrument was acknowledged before me this day of 2009, by , the City Administrator/Clerk and the Mayor of the City of Shorewood, Minnesota. Notary Public GRANTEE: CITY OF SHOREWOOD, MINNESOTA By: Its: City Administrator/Clerk By: Its: Mayor STATE OF MINNESOTA ) ss. COUNTY OF ) The foregoing instrument was acknowledged before me this day of , 2009, by , the City Administrator/Clerk and the Mayor of the City of Shorewood, Mimiesota Notary Public {124384.DOC} 3 THIS INSTRUMENT DRAFTED BY: Malkerson Gilliland Martin. LLP (TJK) 220 South Sixth Street, Suite 1900 Minneapolis, MN 55402 { 124384.DOC} EXHIBIT A LEGAL DESCRIPTION Lot 11, Block 2, Echo Hills 2"a Addition, according to the recorded plat thereof, Hennepin County, State of Minnesota. { 124384.DOC} EXHIBIT EASEMENT AREA Drainage and Utility Easement Description: A 25.00 foot wide drainage and utility easement over, tinder and across that part of Lot 11, Block 2, Echo Hills 2"d Addition, according to the recorded plat thereof, Hennepin County, Minnesota, described as follows: The easterly 25.00 feet of the southerly 100.00 feet as measured along the easterly line of said Lot 11, Block 2, Echo Hills 2"d Addition. t 124384.DOC} i i Exhibit C PROPOSED DRAINAGE AND UTILITY EASEMENT A 25.00 FOOT WIDE DRAINAGE AND UTILITY EASEMENT OVER, UNDER AND ACROSS THAT PART OF LOT 11, BLOCK 2, ECHO HILLS 2ND ADDITION, ACCORDING TO THE RECORDED PLAT THEREOF, HENNEPIN COUNTY, MINNESOTA, DESCRIBED AS FOLLOWS: THE EASTERLY 25.00 FEET OF THE SOUTHERLY 100.00 FEET AS MEASURED ALONG THE EASTERLY LINE OF SAID LOT 11, BLOCK 2, ECHO HILLS 2ND ADDITION. EXISTING EASEMENT PER PLAT 160.75 LOT 11 i i BLOCK 2 X5.0 1 w t o z ECHO HILLS f W 1 i° 0 o 0 2ND ADDITION a =D 141,23 N82°06'W ' U ECHO ROAD cl~ a U N 30 1J~ EASEMENT EXHIBIT SH❑REW❑❑D, MN DATE : 12 . 11 , 08 \