Council Minutes

PROCEEDINGS OF THE CITY COUNCIL
OF THE CITY OF GRAND FORKS, NORTH DAKOTA
Monday, November 7, 1994

The city council of the city of Grand Forks, North Dakota met in its regular session in the council chambers in City Hall on Monday, November 7, 1994 at the hour of 7:30 o'clock p.m. with Mayor Polovitz presiding. Present at roll call were Council Members Beach, McCabe, Hoeppner, Hamerlik, Hanson, Glassheim, Carpenter, Sande, Klave, Beyer, Babinchak, Geller, Hagness - 13; absent: Council Member Johnson - 1.

Mayor Polovitz announced that anyone wishing to speak to any item may do so by being recognized prior to a vote being taken on the issue.

TABLE MATTER OF FINAL PLAT AND SECOND READING
OF ORDINANCE AMENDING STREET AND HIGHWAY PLAN
TO INCLUDE PUBLIC R/W SHOWN AS DEDICATED ON
THE PLAT OF CONCRETE, INC. ADDITION

An ordinance entitled "An ordinance to amend the Street and Highway Plan of the city of Grand Forks, North Dakota, to include the public rights of way shown as dedicated on the plat of Concrete, Inc. Addition, Grand Forks, North Dakota", which had been introduced and passed on its first reading on September 19, 1994 and upon which public hearing and second reading of the ordinance had been continued on October 17 until this evening, was presented and read for consideration.

Mayor Polovitz called upon the audience to see if there was anyone present who had comments to make on this matter. There were none and Mayor Polovitz closed the public hearing.

The City Planning and Zoning Commission reported having considered the matter of the request from Webster, Foster and Weston on behalf of Mndak Concrete, Inc. for final approval of the plat of Concrete, Inc. Addition, being part of the Northwest Quarter of Section 7, Township 151 North, Range 50 West, Grand Forks County, North Dakota (located south of DeMers Avenue between South 48th Street and South 55th Street extended), and recommended tabling the request.

It was moved by Council Member Hagness and seconded by Council Member McCabe that this recommendation be and is hereby approved and the plat and ordinance be tabled. Carried 13 votes affirmative.

ADOPT ORDINANCE NO. 3468, AMENDING ZONING MAP
TO REZONE AND INCLUDE WITHIN THE I-2 (HEAVY
INDUSTRIAL) DISTRICT KORYNTA-LEMM SUBDIVISION,
BLOCK A, LOT A

An ordinance entitled "An ordinance to amend the Zoning Map of the city of Grand Forks, North Dakota to rezone and exclude from the B-3 (General Business) District and to include within the I-2 (Heavy Industrial) district, Korynta-Lemm Subdivision, Block A, Lot A, Grand Forks, North Dakota", which had been introduced and passed on its first reading on October 17, 1994, and upon which public hearing had been scheduled for this evening, was presented and read for consideration on second reading and final passage.

The city auditor reported that the required legal notice had been published calling for a public hearing to be held on this matter this evening and further that to date no protests or grievances had been filed with his office.

Mayor Polovitz called upon the audience to see if there was anyone present who had comments to make on this matter. There were none.
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The City Planning and Zoning Commission reported having considered the matter of the request from Rodney Greene on behalf of Violet M. Theis for final approval of an ordinance to amend the Zoning Map to rezone and to exclude from the B-3 (General Business) District and to include within the I-2 (Heavy Industrial) District, Replat of Korynta-Lemm Subdivision, Block A, Lot A, Grand Forks, North Dakota (located in the southeast corner of the intersection of 17th Avenue North and North 52nd Street), and recommended approval and final passage of the ordinance amending the Zoning Map.

It was moved by Council Member Hagness and seconded by Council Member Glassheim that this recommendation be and is hereby approved. Carried 13 votes affirmative.

Upon call for the question of adoption of this ordinance, and upon roll call vote, the following voted "aye": Council Members Beach, McCabe, Hoeppner, Hamerlik, Hanson, Glassheim, Carpenter, Sande, Klave, Beyer, Babinchak, Geller, Hagness - 13; voting "nay": none. Mayor Polovitz declared the ordinance adopted.

ADOPT ORDINANCE NO. 3469, AMENDING ZONING
MAP TO INCLUDE WITHIN A-D (AIRPORT) DISTRICT
CERTAIN PROPERTY LOCATED NORTH/NORTHEAST AND
SOUTH/SOUTHEAST OF AIRPORT PROPER

An ordinance entitled "An ordinance to amend the Zoning Map of the city of Grand Forks, North Dakota to rezone and exclude from the A-2 (Agricultural Reserve) District and to include within the A-D (Airport) District", which had been introduced and passed on its first reading on October 17, 1994, and upon which public hearing had been scheduled for this evening, was presented and read for consideration on second reading and final passage.

The city auditor reported that the required legal notice had been published calling for a public hearing to be held on this matter this evening and further that to date no protests or grievances had been filed with his office.

Mayor Polovitz called upon the audience to see if there was anyone present who had comments to make on this matter.

Council Member Beyer noted that the Planning and Zoning Commission minutes noted that adjacent property owners not notified and Council Member Hagness reported he had noted same and instructed planning office to notify those property owners of this meeting. Robert Bushfield, city planner, noted they were notified.

Mayor Polovitz closed the public hearing.

The City Planning and Zoning Commission reported having considered the matter of the request from the Grand Forks Airport Authority for final approval of an ordinance to amend the Zoning Map and to exclude from the A-2 (Agricultural Reserve) District and to include within the A-D (Airport) District all that portion of Grand Forks County, North Dakota, Rye Township, Township 152 North, Range 51 West, and portions of Sections 21, 27, 28, 33 and 34 (located north/northeast and south/southeast of the airport proper), and recommended approval and final passage of the ordinance amending the zoning map.

It was moved by Council Member Hagness and seconded by Council Member Hanson that this recommendation be and is hereby approved. Carried 13 votes affirmative.

Upon call for the question of adoption of this ordinance and upon roll call vote, the following voted "aye": Council Members Beach, McCabe, Hoeppner,
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Hamerlik, Hanson, Glassheim, Carpenter, Sande, Klave, Beyer, Babinchak, Geller, Hagness - 13; voting "nay": none. Mayor Polovitz declared the ordinance adopted.

ADOPT ORDINANCE NO. 3470, AMENDING ZONING
ORDINANCE RE. OFF-STREET PARKING AND LOADING
TO BRING PARKING STALL DESIGN REQUIREMENTS
INTO ADA COMPLIANCE

An ordinance entitled "An ordinance relating to Chapter XVIII, Land Development Code of 1987, as amended, by amending and re-enacting Section 18-0302, Off-street Parking and Loading pertaining to Subsection (4) Accessible Parking Requirements, Subsection (6) Computing Requirements; and repealing Subsection (12)(B) Construction and Maintenance", which had been introduced and passed on its first reading on October 17, 1994, and upon which public hearing had been scheduled for this evening, was presented and read for consideration on second reading and final passage.

The city auditor reported that the required legal notice had been published calling for a public hearing to be held on this matter this evening and further that to date no protests or grievances had been filed with his office.

Mayor Polovitz called upon the audience to see if there was anyone present who had comments to make on this matter. There were none.

The City Planning and Zoning Commission reported having considered the matter of the request from the Planning Department for final approval of an ordinance to amend the text of the Land Development Code, Section 18-0302 Off-street Parking and Loading, to bring the accessible parking stall design requirements into compliance with the Americans with Disabilities Act (ADA), and recommended approval and final passage of the ordinance amending the off-street parking and loading section of the Land Development Code.

It was moved by Council Member Hagness and seconded by Council Member Sande that this recommendation be and is hereby approved. Carried 13 votes affirmative.

Upon call for the question of adoption of this ordinance and upon roll call vote, the following voted "aye": Council Members Beach, McCabe, Hoeppner, Hamerlik, Hanson, Glassheim, Carpenter, Sande, Klave, Beyer, Babinchak, Geller, Hagness - 13; voting "nay": none. Mayor Polovitz declared the ordinance adopted.

APPROVE FINAL PLAT; AND ADOPT ORDINANCE
NO. 3471, TO AMEND STREET AND HIGHWAY PLAN
TO INCLUDE PUBLIC R/W SHOWN AS DEDICATED ON
THE PLAT OF KORYNTA'S SECOND SUBDIVISION

An ordinance entitled "An ordinance to amend the Street and Highway Plan of the city of Grand Forks, North Dakota, to include the public rights of way shown as dedicated on the plat of Korynta's Second Subdivision, Grand Forks, North Dakota", which had been introduced and passed on its first reading on October 17, 1994 and upon which public hearing had been scheduled for this evening, was presented and read for consideration on second reading and final passage.

The city auditor reported that the required legal notice had been published calling for a public hearing to be held on this matter this evening and further that to date no protests or grievances had been filed with his office.

Mayor Polovitz called upon the audience to see if there was anyone present who 13781
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had comments to make on this matter. There were none.

The City Planning and Zoning Commission reported having considered the matter of the request from Pribula Engineering on behalf of Randy Korynta for final approval of a plat of Korynta's Second Subdivision, Grand Forks, ND, being a portion of Falconer Township, Township 152 North, Range 50 West, Section 31, East Half of the Northwest Quarter (located west of North 48th Street between the Burlington Northern Railroad Right of Way and 27th Avenue North), and recommended final approval subject to special conditions shown on or attached to the review copy and approval and final passage of the ordinance amending the Street and Highway Plan.

It was moved by Council Member Hagness and seconded by Council Member Beyer that this recommendation be and is hereby approved. Carried 13 votes affirmative.

Upon call for the question of adoption of this ordinance and upon roll call vote, the following voted "aye": Council Members Beach, McCabe, Hoeppner, Hamerlik, Hanson, Glassheim, Carpenter, Sande, Klave, Beyer, Babinchak, Geller, Hagness - 13; voting "nay": none. Mayor Polovitz declared the ordinance adopted.

CONTINUE PUBLIC HEARING AND POSTPONE FINAL
ACTION ON ORDINANCE AMENDING TEXT OF THE LAND
DEVELOPMENT CODE, SECTION 18-0301, SIGNS PERMITTED
IN U-D (UNIVERSITY) DISTRICT

An ordinance entitled "An ordinance amending the Land Development Code Chapter XVIII; Article 3, Rules and Regulations; Section 18-0301, Signs, and Article 2, Zoning; Section 18-0204, Rules and Definitions, of the Grand Forks City Code of 1987, as amended, pertaining to the signs permitted in the U-D (University) District", which had been introduced and passed on its first reading on October 17, 1994 and upon which public hearing had been scheduled for this evening, was presented and read for consideration on second reading.

The city auditor reported that the required legal notice had been published calling for a public hearing to be held on this matter this evening and further that to date no protests or grievances had been filed with his office.

Mayor Polovitz called upon the audience to see if there was anyone present who had comments to make on this matter.

It was noted that there was some concern whether off-premise advertising should be permitted on reader boards, size of signs, etc. and that the Planning and Zoning Commission wanted more input from the University and they will be coming back to Planning and Zoning at their next meeting.

The City Planning and Zoning Commission reported having considered the matter of the request from Al Hoffarth on behalf of the University of North Dakota for final approval of an ordinance to amend the text of the Land Development Code, Section 18-0301, Signs Permitted in the U-D (University) District, and recommended to postpone action until December 19, 1994.

It was moved by Council Member Hagness and seconded by Council Member Glassheim that this recommendation be and is hereby approved, and that the public hearing be continued and second reading of the ordinance be postponed to December 19, 1994. Carried 13 votes affirmative.

ADOPT ORDINANCE NO. 3472, PROVIDING FOR THE
CREATION OF THE RIVER FORKS COMMISSION

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An ordinance entitled "An ordinance adopting Article 3 of Chapter XIV of the Grand Forks City Code creating the River Forks Commission", which had been introduced and passed on its first reading on October 17, 1994, and upon which public hearing had been scheduled for this evening, was presented and read for consideration on second reading and final passage.

The city auditor reported that the required legal notice had been published calling for a public hearing to be held on this matter this evening and further that to date no protests or grievances had been filed with his office.

Mayor Polovitz called upon the audience to see if there was anyone present who had comments to make on this matter. There were none.

Upon call for the question of adoption of this ordinance and upon roll call vote, the following voted "aye": Council Members Beach, McCabe, Hoeppner, Hamerlik, Hanson, Glassheim, Carpenter, Sande, Klave, Beyer, Babinchak, Geller, Hagness - 13; voting "nay": none. Mayor Polovitz declared the ordinance adopted.

ADOPT ORDINANCE NO. 3473, CHARTER ORDINANCE
ALLOWING ISSUANCE OF RESERVE REVENUE BONDS
FOR FTZ (FOREIGN TRADE ZONE) BUILDING EXPANSION

An ordinance entitled "An ordinance relating to the issuance of revenue bonds to finance additions and improvements to municipally-owned buildings in the City's foreign trade zone; providing a reserve therefor; and providing for a levy to restore deficiencies in said reserve", which had been introduced and passed on its first reading on October 17, 1994, was presented and read for consideration on second reading and final passage.

Upon call for the question of adoption of this ordinance and upon roll call vote, the following voted "aye": Council Members Beach, McCabe, Hoeppner, Hamerlik, Hanson, Glassheim, Carpenter, Sande, Klave, Beyer, Babinchak, Geller, Hagness - 13; voting "nay": none. Mayor Polovitz declared the ordinance adopted.

ADOPT ORDINANCE NO. 3474, AMENDING ANNUAL
APPROPRIATIONS BILL ORDINANCE FOR CALENDAR
YEAR 1994 (GENERAL FUND AND PARKING LOTS)

An ordinance entitled "An ordinance amending annual appropriations bill ordinance for the calendar year 1994" (General Fund and Parking Lots), which had been introduced and passed on its first reading on October 17, 1994, was presented and read for consideration on second reading and final passage.

Upon call for the question of adoption of this ordinance and upon roll call vote, the following voted "aye": Council Members Beach, McCabe, Hoeppner, Hamerlik, Hanson, Glassheim, Carpenter, Sande, Klave, Beyer, Babinchak, Geller, Hagness - 13; voting "nay": none. Mayor Polovitz declared the ordinance adopted.

ADOPT ORDINANCE NO. 3475, AMENDING ANNUAL
APPROPRIATIONS BILL ORDINANCE FOR CALENDAR
YEAR 1994 (HEALTH DEPARTMENT)

An ordinance entitled "An ordinance amending annual appropriations bill ordinance for the calendar year 1994" (Health Department Community Immunization), which had been introduced and passed on its first reading on October 17, 1994, was presented and read for consideration on second reading and final passage.

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Upon call for the question of adoption of this ordinance and upon roll call vote, the following voted "aye": Council Members Beach, McCabe, Hoeppner,
Hamerlik, Hanson, Glassheim, Carpenter, Sande, Klave, Beyer, Babinchak, Geller, Hagness - 13; voting "nay": none. Mayor Polovitz declared the ordinance adopted.

ADOPT ORDINANCE NO. 3476, AMENDING ANNUAL
APPROPRIATIONS BILL ORDINANCE FOR CALENDAR
YEAR 1994 (FIRE DEPARTMENT)

An ordinance entitled "An ordinance amending annual appropriations bill ordinance for the calendar year 1994" (Fire Department), which had been introduced and passed on its first reading on October 17, 1994, was presented and read for consideration on second reading and final passage.

Upon call for the question of adoption of this ordinance and upon roll call vote, the following voted "aye": Council Members Beach, McCabe, Hoeppner, Hamerlik, Hanson, Glassheim, Carpenter, Sande, Klave, Beyer, Babinchak, Geller, Hagness - 13; voting "nay": none. Mayor Polovitz declared the ordinance adopted.

APPROVE APPLICATION FOR MOVING PERMIT TO MOVE
BUILDING TO 411 9TH AVENUE NORTH

The city auditor reported that the notice of public hearing on the application by Steven M. Kalenze to move building from 2315 2nd Avenue North to 411 9th Avenue North to be used as single-family dwelling, had been published and posted as required.

Mayor Polovitz called upon the audience to see if there was anyone present who had comments to make on this matter. There were none.

Committee No. 3, Public Service, reported having considered the application by Steven M. Kalenze to move building from 2315 2nd Avenue North to 411 9th Avenue North to be used as single-family dwelling, and recommended to approve the application, subject to the public hearing.

It was moved by Council Member Beyer and seconded by Council Member Hamerlik that this recommendation be and is hereby approved, and further that Mr. Kalenze be and is hereby authorized to move the building. Carried 13 votes affirmative.

CONTINUE PUBLIC HEARING ON REQUEST BY
METROPLAINS DEVELOPMENT FOR ESTABLISHMENT
OF TAX EXEMPTION DISTRICT FOR 15-YEAR PERIOD
TO DECEMBER 5, 1994

The city auditor reported that the city council had set November 7, 1994 as the date for a public hearing to be held on the matter of the request by MetroPlains Development for establishment of a tax exemption district for a 15-year period to assist in development of St. Anne's property; however, the developer, MetroPlains Development, had not published the notice as required.

Mr. Swanson, city attorney, advised council that MetroPlains had been notified after the last action and they were in contact with the city auditor's office.

Mayor Polovitz called upon the audience to see if there was anyone in the audience who had comments to make on this matter. There were none.

It was moved by Council Members Beyer and Beach to continue the public hearing to December 5, 1994. Carried 13 votes affirmative.
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HOLD PUBLIC HEARING TO CONSIDER ISSUANCE OF
$1,925,000 SEWER RESERVE REVENUE BONDS

The city auditor reported that notice had been given to the public that the city council would consider the issuance of $1,925,000 sewer reserve revenue bonds, series 1994D, for the purpose of financing improvements to the public works facility and consider the adoption of a resolution authorizing the issuance of such bonds, including provision for the establishment of a reserve in an amount equal to the maximum amount of bond principal and interest to become due thereon on any full calendar year, which reserve is to be established and maintained from bond proceeds or revenues on hand and available therefor, and that if at any time a deficiency exists in the reserve, the council may thereafter levy a tax upon all taxable property in the city for payment of such deficiency; that the protest period expired on November 4, 1994 and that no protests had been filed with his office.

Mayor Polovitz called upon the audience to see if there was anyone present who had comments to make on this matter. There were none and Mayor Polovitz closed the public hearing.

HOLD PUBLIC HEARING ON RESOLUTION AUTHORIZING
ISSUANCE OF GENERAL OBLIGATION TAX INCREMENT
BONDS FOR ROADRUNNER INVESTMENTS

The city auditor reported that the initial resolution authorizing issuance and calling for the public sale of General Obligation Tax Increment Bonds, Series 1994C, had been published as required and stating that unless protests signed by the owners of taxable property having an assessed valuation equal to five percent or more of the assessed valuation of taxable property in the city are filed with the city auditor within sixty days after such publication (60-day protest period expires December 7, 1994), the City will be authorized to issue the bonds without an election, pursuant to Section 21-03-07(4), North Dakota Century Code.

Mayor Polovitz called upon the audience to see if there was anyone present who had comments to make on this matter. There were no comments and Mayor Polovitz closed the public hearing.

REFER CONSENT AGENDA ITEMS TO COMMITTEE

It was moved by Council Member Babinchak and seconded by Council Member Beyer that the consent agenda items be referred to the proper committee as noted for investigation, consideration and report back with recommendation.

Finance Committee:
1) matter of upgrade of AS400 computer.
2) matter of additional tax increment financing for Grand Forks Grocery.
3) request from Central Business District Authority to issue bonds for construction of parking ramp.
4) transfer of excess parking ramp funds to trust fund in general fund.

Public Safety Committee:
1) matter of crime bill.

Public Service Committee:
1) petition by Forx Rent All for abandonment of alley adjacent to 3900 South Washington Street.

REPORTS OF OFFICERS

The portfolio master summary, investment activity summary and accrued interest 13785
November 7, 1994

details as of October 31, 1994 were presented and read. It was moved by Council Members Babinchak and Beyer that this report be and is hereby received and filed. Carried 13 votes affirmative.

REPORTS OF BOARD OF ZONING ADJUSTMENTS

Communications from Bruce Melin, building inspector, were presented and read stating that the Board of Zoning Adjustments had held public hearings in City Hall on Thursday, October 6, 1994, and on Thursday, October 27, 1994, that notice had been published as required and that the following appeals were heard on October 6, 1994: 1) request by Jay and Danette Smith, 1417 7th Avenue North, for variance to front-yard setback requirements to erect an addition to the dwelling, and that a motion to allow a side addition to the house matching the 18 ft. existing front yard setback, which is a variance of 7 ft., was approved; 2) request by Jerome Bakke, 1239 Dyke Avenue, for variance to the front and side yard setback requirements and to the landscaping requirements to erect a storage building, and that a motion not to allow the variance on the west side and to allow a variance from 20 ft. to 1 ft. on the south side, a variance of 19 ft., was approved; 3) request by TSM Company 2010 and 2104 State Mill Road, for variance to the side and front yard requirements and to the landscaping requirements to erect a storage building, was held until the next meeting for lack of representation from the company; 4) request by Valdak Corporation, 324 North Washington Street for variance to the side yard, front yard, second front yard and landscaping and paving requirements to erect a building, was held until next meeting for lack of representation from the company; and the following appeals were heard on October 27, 1994: 1) request by TSM Company, 2110 and 2104 State Mill Road, for variance to the front and side yard setback requirements and to the landscaping requirements to erect a storage building, and that a motion to allow a sideyard of 2 ft., a 13 ft. variance from side yard requirements and a variance from side yard "A" landscaping requirements, and a front yard of 2 ft., a 23 ft. variance on front yard requirements and the front yard "D" landscaping requirements was approved; 2) request by Steve Kalenze, 411 9th Avenue North, for variance to the front, side and rear yard setback requirements to move in a dwelling, and a motion to allow a 10 ft. front yard, a variance of 15 ft. from the required 25 ft. setback, a 5 ft. side yard, a variance of 1 ft. from the required 6 ft., and a 10 ft. rear yard, a variance of 30 ft. from the required 40 ft. rear yard setback was approved; 3) request by Valdak Corporation, 324 North Washington Street, for variance to the side yard, front yard, second front yard and landscaping, and paving requirements to erect a building, was held until next meeting for lack of representation from the company.

It was moved by Council Members Hagness and Sande that this report be and is hereby received and filed. Carried 13 votes affirmative.

APPROVE BILLS

Vendor Payment Listing No. 94-19, dated November 7, 1994 and totaling $756,146.24, all having been audited by the city auditor for payment in accordance with Regulation No. 2, was presented and read.

It was moved by Council Member Hagness and seconded by Council Hanson that these bills be allowed and that the city auditor be authorized to issue warrants in payment of the same. Upon roll call the following voted "aye": Council Members Beach, McCabe, Hoeppner, Hamerlik, Hanson, Glassheim, Carpenter, Sande, Klave, Beyer, Babinchak, Geller, Hagness - 13; voting "nay": none. Mayor Polovitz declared the motion carried and the bills ordered paid.

ADOPT RESOLUTION AWARDING SALE OF SPECIAL
IMPROVEMENT WARRANTS AND EXCHANGE THEREOF FOR
REFUNDING IMPROVEMENT BONDS, SERIES 1994B
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Committee No. 1, Finance, reported having considered the matter of awarding sale of bonds for $2,375,000 Refunding Improvement Bonds, Series 1994B, and recommended awarding bid to Dain Bosworth, Inc. at 6.3499% and adopt resolution establishing terms and directing issuance of definitive improvement warrants and providing for and appropriating special assessments for the support and maintenance of said funds, and also adopt resolution awarding sale of special improvement warrants and exchange thereof for refunding improvement bonds, Series 1994B.

It was moved by Council Member Babinchak and seconded by Council Member McCabe that this recommendation be and is hereby approved. Carried 13 votes affirmative.

The city auditor presented an affidavit showing publication in the official newspaper of the city of a Notice of Bond Sale of $2,375,000 Refunding Improvement Bonds, Series 1994B (the Bonds) of the City, bids for which were to be considered at this meeting as provided by resolution adopted October 3, 1994. The affidavits were examined and approved and ordered placed on file.

The city auditor reported that four sealed bids for the purchase of the Bonds had been received at his office from the following institutions at or before the time stated in the Notice of Bond Sale, and the bids were then opened and publicly read and considered, and were all found to conform to the Notice of Bond Sale and to be accompanied by the required security, and the purchase, price, interest rates and net interest cost under the terms of each bid were found to be as follows: Document No. 6364 - Tabulation of bids.

Council Member Babinchak introduced the following resolution and moved its adoption: Document No. 6365 - Resolution.

The motion for the adoption of the foregoing resolution was duly seconded by Council Member McCabe, and, upon vote being taken thereon, the following voted in favor thereof: Beach, McCabe, Hoeppner, Hamerlik, Hanson, Glassheim, Carpenter, Sande, Klave, Beyer, Babinchak, Geller, Hagness - 13; and the following voted against the same: none; whereupon the resolution was declared duly passed and adopted.

ADOPT RESOLUTION ESTABLISHING TERMS AND
DIRECTING ISSUANCE OF DEFINITIVE IMPROVEMENT
WARRANTS ON THE FUNDS OF VARIOUS IMPROVEMENT
DISTRICTS, AND PROVIDING FOR AND APPROPRIATING
SPECIAL ASSESSMENTS FOR THE SUPPORT AND MAINTENANCE
OF SAID FUNDS

Council Member Babinchak introduced the following resolution and moved its adoption: Document No. 6366 - Resolution.

The motion for the adoption of the foregoing resolution was duly seconded by Council Member McCabe and upon vote being taken thereon the following voted in favor: Beach, McCabe, Hoeppner, Hamerlik, Hanson, Glassheim, Carpenter, Sande, Klave, Beyer, Babinchak, Geller, Hagness - 13; and the following voted against the same: none; whereupon the resolution was declared passed and adopted and was signed by the mayor and his signature attested by the city auditor.

ADOPT RESOLUTION DIRECTING THE ISSUANCE OF
$2,375,000 REFUNDING IMPROVEMENT BONDS, SERIES 1994B
AND PRESCRIBING THE TERMS AND COVENANTS THEREOF

Council Member Babinchak introduced the following resolution and moved its adoption: Document No. 6367 - Resolution.
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The motion for the adoption of the foregoing resolution was duly seconded by Council Member McCabe and upon vote being taken thereon the following voted in favor: Beach, McCabe, Hoeppner, Hamerlik, Hanson, Glassheim, Carpenter, Sande, Klave, Beyer, Babinchak, Geller, Hagness - 13; and the following voted against the same: none; whereupon the resolution was declared passed and adopted and was signed by the mayor and his signature attested by the city auditor.

ADOPT RESOLUTION AUTHORIZING, SELLING AND
ESTABLISHING THE TERMS OF $265,000 G.O. TAX
INCREMENT BONDS, SERIES 1994C

Committee No. 1, Finance, reported having considered the matter of awarding sale of bonds for $265,000 G.O. Tax Increment Bonds, Series 1994C, and recommended awarding bid to FBS Investment Services, Inc. at 6.5852% and adopt resolution authorizing selling and establishing the terms of $265,000 G.O. Tax Increment Bonds, Series 1994C, creating a sinking fund therefor and levying taxes for their payment.

It was moved by Council Member Babinchak and seconded by Council Member McCabe that this recommendation be and is hereby approved.

It was moved by Council Member Beyer and seconded by Council Member Babinchak that the motion be amended to include a finding of insufficiency of protest. Carried 13 votes affirmative.

Upon call for the question on the motion, as amended, and upon voice vote, the motion carried 13 votes affirmative.

The city auditor presented an affidavit showing publication in the officials newspaper of the city of a Notice of Bond sale of $265,000 General Obligation Tax Increment Bonds, Series 1994C (the Bonds) of the City, bids for which were to be considered at this meeting as provided by resolution adopted October 3, 1994. The affidavit was examined and approved and ordered placed on file.

The city auditor reported that one sealed bid for the purchase of the Bonds had been received from the following institution at or before the time stated in the Notice of Bond Sale, and the bid was then opened and publicly read and considered, and was found to conform to the Notice of Bond Sale and to be accompanied by the required security, and the purchase price, interest rates and net interest cost under the terms of each bid were found to be as follows:
Document No. 6368 - Tabulation of Bids.

Council Member Babinchak introduced the following resolution and moved its adoption, which motion was seconded by Council Member McCabe: Document No. 6369 - Resolution.

Upon vote being taken thereon, the following voted in favor thereof: Beach, McCabe, Hoeppner, Hamerlik, Hanson, Glassheim, Carpenter, Sande, Klave, Beyer, Babinchak, Geller, Hagness - 13; and the following voted against the same: none; whereupon the resolution was declared duly passed and adopted.

ADOPT RESOLUTION AUTHORIZING ISSUANCE AND
AWARDING SALE OF $1,925,000 SEWER RESERVE REVENUE
BONDS, SERIES 1994D, TO FINANCE THE UNDERTAKING
OF AN EXPANSION AND IMPROVEMENT OF THE MUNICIPAL
SEWERAGE UTILITY

Committee No. 1, Finance, reported having considered the matter of awarding sale of bonds for $1,925,000 Sewer Reserve Revenue Bonds, Series 1994D, and recommended awarding bid to Dain Bosworth, Inc. at 6.4575% and adopt
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resolution authorizing issuance and awarding the same of $1,925,000 Sewer Reserve Revenue Bonds, Series 1994D, to finance the undertaking of an expansion and improvement of the municipal sewerage utility.

It was moved by Council Member Babinchak and seconded by Council Member McCabe that this recommendation be and is hereby approved.

It was moved by Council Member Beyer and seconded by Council Member Babinchak to amend the motion to include a finding of insufficiency of protest. Carried 13 votes affirmative.

Upon call for the question on the motion, as amended, and upon voice vote, the motion carried 13 votes affirmative.

The city auditor presented an affidavit showing publication in the official newspaper of the city of the Notice of Bond Sale of $1,925,000 Sewer Reserve Revenue Bonds, Series 1994D (the Bonds) of the City, bids for which were to be considered at this meeting as provided by resolution adopted October 3, 1994. The affidavit was examined and approved and ordered placed on file.

The city auditor reported that three sealed bids for the purchase of the Bonds had been received from the following institutions at or before the time stated in the Notice of Bond Sale, and the bids were then opened and publicly read and considered, and were all found to conform to the Notice of Bond Sale and to be accompanied by the required security, and the purchase price, interest rates and net interest cost under the terms of each bid were found to be as follows: Document No. 6370 - Tabulation of Bids.

Council Member Babinchak introduced the following resolution and moved its adoption, which motion was seconded by Council Member McCabe: Document No. 6371 - Resolution.

Upon vote being taken thereon, the following voted in favor thereof: Beach, McCabe, Hoeppner, Hamerlik, Hanson, Glassheim, Carpenter, Sande, Klave, Beyer, Babinchak, Geller, Hagness - 13; and the following voted against the same: none; whereupon the resolution was declared duly passed and adopted.

MATTER OF FINANCING FTZ BUILDING REMODELING

Committee No. 1, Finance, reported having considered the matter of financing FTZ (Foreign Trade Zone) building remodeling/expansion, and recommended the City negotiate issuance of approximately $800,000 of reserve revenue bonds, and release contracts as awarded.

It was moved by Council Member Babinchak and seconded by Council Member McCabe that this recommendation be and is hereby approved. Upon roll call the following voted "aye": Council Members Beach, McCabe, Hoeppner, Hamerlik, Hanson, Glassheim, Carpenter, Sande, Klave, Beyer, Babinchak, Geller, Hagness - 13; voting "nay": none. Mayor Polovitz declared the motion carried.

AUTHORIZE NEGOTIATION OF ISSUANCE OF APPROX.
$1,500,000 RESERVE REVENUE BONDS FOR FINANCING
CONVENTION & VISITORS BUREAU BUILDING CONSTRUCTION
SUBJECT TO CONDITIONS

Committee No. 1, Finance, reported having considered the matter of financing Convention & Visitors Bureau building construction, and recommended negotiating the issuance of approximately $1,500,000 of reserve revenue bonds, subject to Convention & Visitors Bureau pledging proceeds from total 3% hotel-motel tax for payment of debt.

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November 7, 1994

It was moved by Council Member Babinchak and seconded by Council Member McCabe that this recommendation be and is hereby approved.

Council Member Carpenter explained that what has occurred is that cost of project greatly increased from initial approvals and we need to increase the size of the issue and go out and try to market it; that because of the increased size we no longer have revenue source from the additional 1% to provide coverage necessary to go out and market; and that there has to be pledging of the 2% tax already there. He stated that it's not anticipated that those funds will have to be utilized for the payments but it is necessary for the sale of the bonds. He stated that reason is that motel receipts have been declining somewhat over the last couple years and this is to provide coverage to allow marketing of the bonds. It was noted that they are not pledging City dollars, but operating funds of the CVB.

Wallace Dornfeld, Springsted, Inc., City's bond consultant, stated that Moody's Investors Service had nice things to say about City and they have maintained the Double A rating on the Refunding Improvement Bonds and also on the General Obligation Bonds; they cite a strong regional economy, well-managed finances with strong tax receipts, although they do point out that there's a large debt program but it's well managed and places little burden on the tax base. He stated they commented on sewer and water funds being well managed and that particular issue is a little different than general obligation bonds but was rated A-1 by Moody's and that a retention of both classifications - Double A and A-1. He stated that interest rates have gone up considerably over the past month, that there are not a lot of buyers out there, there is some hesitancy for these buyers to purchase bonds at the present level possibly because of Feds' policy to maintain low inflation rate and their policy is to raise interest rates; do feel there is going to be an increase in interest rates; and that while disappointed in interest rates received, feels City should proceed with these issues.

Mr. Dornfeld also commented on Convention & Visitors Bureau financing and they are recommending to the City and to City's administration that with the pledge of the entire amount of the hotel-motel tax, don't anticipate that being used at any one time and have recommended that such a pledge or receipts of those tax monies should be withheld up to 1/12th of the principal and interest that's due on the bonds in any one year, with balance to be remitted to Convention & Visitors Bureau; that security of those bonds is important and will be back with final recommendations as soon as they can pull them all together. He also stated that they are recommending that a reserve fund be established through the issuance of the bonds, and those dollars that are earned on that reserve fund will also go to that fund to pay principal and interest and should provide for some stability in the revenue stream.