2009.04.07 Council Meeting PacketMEETING SCHEDULE ON 4/07/2009
a) 6:00 — 6:25 p.m. 1st Council Work Session in the
Conference Room A with Hennepin
County Assessors to discuss the
upcoming Board of Appeal and
Equalization Meeting
b) 6:30 — 6:55 p.m. 2 "d Council Work Session in Conference
Room A with members of the Parks &
Recreation Commission to discuss its
annual work plan
c) 7:00 p.m.
Regular City Council Meeting in the
Council Chambers
d) After the Regular Council Meeting EDA Meeting in the Council Chambers
e) After the EDA Meeting
3rd Council Work Session in Conference
Room A to discuss:
® Annual city bus tour
• CR 81 payment schedule
® Vacant Property Registration
ordinance
• Discuss hard surfacing driveway
requirement
® Recap of the Commission
Appreciation Dinner
CRYSTAL CITY COUNCIL
FIRST WORK SESSION AGENDA
Tuesday, April 7, 2009
Conference Room A
Pursuant to due call and notice given in the manner prescribed by Section 3.01 of the
City Charter, the First Work Session of the Crystal City Council was held at _ p.m.
on Tuesday, April 7, 2009 in Conference Room A located at 4141 Douglas Drive,
Crystal, Minnesota.
I. Attendance
The purpose of the work session is to discuss the following agenda item:
in Board of Appeal and Equalization Meeting (417/09)
Ill. Adjournment
The Work Session adjourned at _ p.m.
GACity ClerMounciWork sessions\firstwsagenda4-7-09.doe
LOCAL BOARD OF APPEAL AND EQUALIZATION
SUMMARY OF DUTIES AND RESPONSIBILITIES
Most of the -responsibilities listed under the Local Board of Appeal and Equalization are
statutory, primarily found in Minnesota Statutes 274.01.
The first responsibility is attendance. The Local Board of Appeal and Equalization is
an official public meeting similar to a City Council meeting and can not convene
without a quorum. In addition to the local assessor, the county assessor, or one of
his/her assistants is required to attend.
• At least one member must be present at each meeting of the Local Board of Appeals
and Equalization (beginning in 2006) that has attended an appeals and equalization
course as developed and approved by the Commissioner of Revenue.
a The valuation notices shall be in writing and be sent by ordinary mail at least ten
calendar, days before the meeting of the board. The valuation notice will include the
dates, places and times set for the meetings of the Local Board of Appeal and
Equalization as well as the Hennepin County Board of Appeal and Equalization.
o The meetings must be held between April I and May 31 each year. The County
Assessor shall fix a day and time when the Local Board of Appeal and Equalization.
shall meet. The board must complete its work and adjourn within 20 days from the
time of convening stated in the notice of the clerk, i.e., calendar days -- original night
is day one.
® The clerk shall give published and posted notice of the meeting at least ten days
before the date of the meeting.
® Local Boards of Appeal and Equalization must see that all taxable property is
properly assessed, valued, and classified for all current assessments. The board may
consider both real and personal property.
® If any property has been omitted, the board must correct the assessment by adding it
to the list of assessments along with its market value.
o The board may not increase or decrease by percentage all assessments in a district of
a given class of property. Changes in the aggregate to assessments are by class and
are made by the county board of equalization.
® Although the Local Board of Appeal and Equalization has the authority to increase or
decrease individual assessments, the total of such adjustments must not reduce the
aggregate assessment by more than one percent. If the total reductions would lower
the aggregate assessments by more than one percent, none of the adjustments may be
made. The assessor shall correct any clerical errors or double assessments discovered
by the board without regard to the one percent limitation.
The local board does not have the authority to reopen former assessments. on which
taxes are due and payable. The board only considers assessments in -the current year.
The board may find instances of undervalued prop'brties. , The board must notify the
owner of the property that the value is going to be raised. The property owner,may
then appear before the board if they so wish.
It is -the -primary duty of each local board to examine the assessment record to see that
all taxable property in the assessment district has been properly placed upon the list
and valued by the assessor. The local boards do not have the authority to address
exemption issues. Only the comity assessor has the authority to exempt property.
A taxpayer may appear in person,, by council, or written communication to present his
or her objection to the board. The focus of the appeal must center on the factors
influencing the estimated market value or classification placed on the property.
All changes will be entered into the assessment books by the county assessor's office.
Before adjourning, the local board should prepare an official list of the changes. The
law requires that the changes be, listed on a separate form. All assessments that have
been increased or decreased should be,shown, as prescribed on the form along with .
their market values. The r-ecoid-'ffi4st be sign. ed'and date'd-by the members o.f the
Local Board of Ap. eaYdnd E4 alizdtion.
----------- --
The Hennepin County BoardofAppealand.Equalizationbegins meeting on:
June 15, 2009
o All appointments must be scheduled no later than Wednesday June 3, 2009 by calling
the Hennepin County Taxpayer Services Office at:
(612) 348-7050
CRYSTAL CITY COUNCIL
SECOND WORK SESSION AGENDA
Tuesday, April 7, 2009
6:30 p.m.
Conference Room A
Pursuant to due call and notice given in the manner prescribed by Section 3.01 of the
City Charter, the Second Work Session of the Crystal City Council was held at
p.m. on Tuesday, April 7, 2009 in Conference Room A located at 4141 Douglas Drive,
Crystal, Minnesota.
I. Attendance
11. Agenda
The purpose of the work session is to discuss the following agenda items:
® 2008 Work Plan for the Parks & Recreation Commission (Lori Merriam)
® 2009 Work Plan for the Parks & Recreation Commission Lori Merriam)
0 Parks & Recreation Commission Long Range Plan Overview (Guy Mueller)
® Parks & Recreation Commission Budget Policy Statements (Lori Merriam)
Ill. Adjournment
The Work Session adjourned at _ p.m.
GACity ClerMouncilkWork sessions\secondwsagenda4-7-09.doc
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The City of Crystal's Park & Recreation Commission proposal, Park and Open Space Plan, is
the culmination of several years work by the Commission's Long Range Planning Sub -
Committee. The Plan identifies three key areas that the Commission would like to focus on in
the near future.
1) Preserve and enhance open spaces. After years of development, many of the
opportunities to preserve natural treasures within Crystal have been lost. However, bits and
pieces of this natural heritage remain and it maybe possible to preserve them and potentially
recover some that have been lost.
2) Connect neighborhoods. Currently Crystal does not have an existing infrastructure or a
comprehensive plan to unite the community by pedestrian friendly routes to parks and
neighborhoods. Connections between parks, neighborhoods, shopping areas or schools for
walking or bicycling exist only by way of a grid of streets interrupted by railroad lines and major
highways.
3) Upgrade and modernize the infrastructure. While the existing park facilities and
equipment have served the City well they are showing their age. For example, shelter buildings
in some of the parks are no longer used but continue to be maintained at considerable expense.
These underutilized buildings have become targets for vandalism— detracting from the
surrounding neighborhoods.
The Commission views our community's park resources as a key element in providing
wholesome recreational opportunities for children and families. They serve to bring
neighborhoods together, strengthen Crystal's identity and viability. The Committee views this
planning process as an opportunity to become proactive in rebuilding and re -aligning these
resources. Our work was inspired and continues to be inspired by a simple question: Is more of
the same the right choice?
The Commission also recognizes that communities and neighborhoods evolve overtime. What
was important 20 years ago many not be as important today and what is important today may not
be important in 20 years. For example, years ago green space within the City was more
abundant and therefore had a lower priority as a component of suburban parks system. Today
Crystal has grown up and greater value is place on open green spaces. Forms of recreation also
change. Yesterday "aquatics" was a pool with (if you were lucky) a diving board. Today it
means a facility with a "zero depth" entrance, stylish colorful toys that spray water, and a
stronger emphasis on recreation than sport. What hasn't changed, however, is the importance
park facilities have to our community.
Recognizing that planning can go on forever but that moving forward and actually doing
something is what is important, the Park Commission has adopted the Park and Open Space
Plan as a working document. As a working document, the Commission acknowledges and
expects the Plan to be continually refined, edited, and updated while providing a basis for
ongoing park improvements and expansions.
Recreation Park and Open Space Plan Summery Page 1 of 2
Some sections of the plan intentionally lack specific site details and recommendations. These
include plans for individual neighborhood parks, detailed park site plans, five year PIR (capitol
improvement) schedules, and specific priorities on a park -by -park basis. These items require
input from neighbors and staff. They will be the subject of future work.
While this Committee concurs with the vision outlined in the city's Comprehensive Plan, a better
balance between community and neighborhood needs is desired. By placing a stronger emphasis
on equipping community level parks with more specialized facilities and organized/group
recreation, we hope to reduce the redundancies and financial burden of attempting to provide the
same level of recreational experience in each of our many neighborhood parks.
This Park and Open Space Long Range Plan is in many respects a list of objectives and desired
park improvements. Some may be appropriately undertaken immediately without delay. Others
that are more far-reaching in the changes that they entail or the costs involved and therefore will
benefit from more community input before they are undertaken.
Once modified and approved by the Park and Recreation Commission, this Long Range Plan
should be immediately communicated to city staff, the Planning Commission, and the City
Council. These recommendations should be incorporated in the City's Comprehensive Plan. The
Park and Recreation Commission should participate and become involved with the updating of
the Comprehensive Plan.
The next steps of this process are: a) solicit citizen input and suggestions; b) consult with the
City Council to get their advice and approval; c) communicate and coordinate this plan with
other City Hall departments to implement the recommendations. Citizen input will be solicited
through the City's newsletter and at Commission meetings held in various neighborhood and
parks throughout the year. When Crystal's Comprehensive Plan is updated, the Park
Commission will urge the Planning Commission and City Council to incorporate the
recommendations outlined in the Park and Open Space Plan in the update.
Recreation Park and Open Space Plan Summery Page 2 of 2
..........
AV _11
Memorandum
(CRYSTAL
DATE: March 23, 2009
TO: Park and Recreation Commission Members
FROM: Gene Hackett, Recreation Director
SUBJECT: Budget Policy Statements
The Crystal Park and Recreation Advisory Commission developed the following
statements to recommend to the City Council for 2010 budge preparation:
Parks/Facilities
1. Maintain the Crystal Cove Aquatic Center facility.
2. Maintain the Crystal Community Center facility.
3. Maintain equipment safety standards at Crystal facilities.
4. Continue to renovate, update and/or replace playground equipment based on need.
5. Identify areas where minimum maintenance can be performed such as: mowing,
plantings etc.
6. Continue to market and publicize facilities.
7. Do a cost -benefit analysis on park buildings to determine future status.
Recreation
1. Maintain the Crystal Cove Aquatic Center programs.
2. Maintain the Crystal Community Center programs.
3. Maintain present levels of programming because recreation programming engages
children and adults in healthful activities and are important to Crystal's quality of life.
4. Investigate increasing adult registration fees in order to maintain children's program
fees at their current levels.
5. Maintain the same number of community events at free or low level fees.
6. Continue to market and publicize programs and facilities.
Citizen Involvement
1. Encourage sponsorships to maintain scholarship program funding at current level.
2. Develop a volunteer service program to enhance minimal maintenance areas, assist
in programs, etc.
THE CITY MANAGER'S COMMENTS ARE IN BOLD.
Crystal City Council
Preliminary Agenda
& Meeting Schedule
April 7, 2009
7:00 P.M.
Council Chambers
CALL TO ORDER, ROLL CALL, AND PLEDGE OF ALLEGIANCE
II. ACKNOWLEDGEMENT
The Mayor will acknowledge the following donations:
a) $100 from Residential Mortgage Group for the Crystal Police Department;
b) $2,000 from Silver Cycling USCF for the Recreation Department's Activity
Assistance Program; and
c) $500 from the Airport Foundation MSP for the Airport Open House.
111, PRESENTATION
The Council will receive a presentation from Joel Bergstrom of Crisis Nursery.
General information about services provided by the Crisis Nursery, located in
Golden Valley, and serving the area, is in your packet. In 2008, the Nursery
served 30 families and 41 children in Crystal. Mr. Bergstrom will be at the
meeting to provide more information and answer any questions.
IV. COUNCIL MEETING MINUTES
The Council will consider the minutes from the regular City Council Meeting from
March 17, 2009.
V. PROCLAMATION
The Mayor will present the following proclamation:
a) April 18 — 25, 2009 is the Shingle Creek Watershed Clean-up Week in the City of
Crystal.
Crystal City Council
Meeting Agenda
April 7, 2009
V1. CONSENT AGENDA
The Council will consider the following items, which are routine and non -controversial
in nature, in a single motion:
Approval of the list of license applications submitted by the City Clerk to the City
Council, a list that is on file in the office of the City Clerk;
2, Approval of disbursements over $15,000 submitted by the Finance Director to the
City Council, a list that is on file in the office of the Finance Director;
3. Approval of canceling the Council Work Session for April 9, 2009;
4. Approval of a license extension for 5445 Lakeland Ave N from April 30 — July 31,
2009 submitted by CNP Northwest d/b/a Cash -N -Pawn; and
5. Approval of Sewer Utility CIP expenditure for the purchase of sanitary sewer
manhole covers (hidden pick -hole, gasketed).
VII. OPEN FORUM
(Open forum is a time set aside for individuals to address the Council on items not on
the regular agenda. Each person is allowed three minutes to speak and no item may
be addressed more than 10 minutes. No Council action may be taken during open
forum. The Council may place items brought before it during open forum on future
meeting agendas and staff reports may be required.)
VIII. REGULAR AGENDA
1. The Council will consider appointing Jake Hairrell as a member of the Human
Rights Commission for a partial, three-year term expiring December 31, 2011.
The interview committee recommends appointment.
2. The Council will consider appointing Victoria Morrison to the Human Rights
Commission for a partial three-year term expiring December 31, 2010.
The interview committee recommends appointment.
3. The Council will consider appointing John Schuneman as an at -large member of
the Parks & Recreation Commission for a partial three-year term expiring
December 31, 2009.
The interview committee recommends appointment.
Page 2 of 4
Crystal City Council
Meeting Agenda
April 7, 2009
4. The Council will consider appointing Jennifer Sodd as an at -large member of the
Parks & Recreation Commission for a partial three-year term expiring December
31, 2011.
The interview committee recommends appointment.
5. The Council will consider appointing Tricia DeBleeckere to the Environmental
. Quality Commission for a partial, three-year term expiring December 31, 2010.
The interview committee recommends appointment.
6. The Council will consider a public hearing notice for the Twin Oak Pond Project,
necessary for Federal Stimulus Dollars Grant Application.
The proposed 2009 alley project is a several block stretch in the Forest North
neighborhood. If the Council wishes to continue its annual alley project,
recommend approval of the resolution ordering preparation of this year's
project feasibility study.
7. The Council will consider a resolution ordering a Public Hearing for the Twin Oak
Pond Project, necessary for Federal Stimulus Dollars Grant Application.
The Council approved the Twin Oak pond project late last year. In order to
apply for stimulus funds for a portion of this project, a public hearing is
needed. Recommend approval of ordering the public hearing for April 21.
IX. INFORMAL DISCUSSION AND ANNOUNCEMENTS
a) The Crystal Business Association meets at 8:30 a.m., Wednesday, April 15, at
Signarama at 353 Willow Bend at the Crystal Shopping Center.
b) The next Citizen Input Time will be April 21, from 6:00- 6:30 p.m. in Conference
Room A at City Hall.
c) The next City Council Meeting will be at 7:00 p.m. on April 21 in the Council
Chambers at City Hall.
X. ADJOURNMENT
Page 3 of 4
XI
Crystal City Council
Meeting Agenda
April 7, 2009
MEETING SCHEDULE ON APRIL 7, 2009
a) 6:00 — 6:30 p.m. Vt Council Work Session in the Conference
Room A with Hennepin County Assessors to
discuss the upcoming Board of Appeal and
Equalization Meeting
b) 6:30 — 6:55 p.m. 2nd Council Work Session in Conference
Room A with the Parks & Recreation
Commission to discuss the its annual work plan
BILHOM
Regular City Council Meeting in the Council
Chambers
d) After the Regular Council Meeting EDA Meeting in the Council Chambers
e) After the EDA Meeting
3rd Council Work Session in Conference
Room A to discuss:
• Annual city bus tour
• CR 81 payment schedule
® Vacant Property Registration ordinance
® Hard surfacing driveway requirement
® Recap of the Commission Appreciation
Dinner
Have a great weekend; see you at Tuesday's meeting!
Page 4 of 4
Crystal City Council
Meeting Packet
April 7, 2009
ACKNOWLEDGEMENTS
The Mayor will acknowledge the following donations:
a) $100 from Residential Mortgage Group for the Crystal
Police Department;
b) $2,000 from Silver Cycling USCF for the Recreation
Department's Activity Assistance Program; and
c) $500 from the Airport Foundation MSP for the Airport
Open House.
CP,'T P0LjC 4 b1 AWTMVMJ
"Service with Compassion and Integrity"
TO: Anne Norris, City Manager
FROM: John Barrick, Chief of Police a'Q
DATE: March 10, 2009
105 1 D101117\L 1111'+1
Please inform the Mayor and City Council that the Police Department has received a $100.00
donation from Residential Mortgage Group (RMG).
This donation was made in accordance with RMG's donation initiative called "Refer a friend.
Build your Community." One of their clients selected the Crystal Police Department as the
recipient of this donation.
Cc: Finance Department
CITY OF CRYSTAL
MEMORANDUM
DATE: March 31, 2009
MEMO TO: Anne Norris, City Manager 3
lv�
FROM: Gene Hackett, Recreation Director
RE: Acknowledgment of Donation Received
Please inform the Mayor and City Council of the following donation received for
the Recreation Department Activity Scholarship Fund:
Bill O'Reilly and Silver Cycling USCF $2000.00
Thank you.
CITY OF CRYSTAL
Cash Receipt
Receipt Date 3/31/2009
Receipt Number 68597
AIRPORT FOUNDATION MSP
CK #4134 BT
3707.4950 500.00
AIRPORT OPEN HOUSE DONATION
Total Receipt Amount 500.00
8985 14:39:03
AMPORT FOUNDATION MSP WINGS FINANCIAL 4134
GENERAL ACCOUNT BLOOMINGTON OFFICE
8101 34TH AVENUE SOUTH 1-800-692-2274
MSP INTERNATIONAL AIRPORT BLOOMINGTON, MN 55425 - www.wingsflnancial.com
4300 GLUMACK DRIVE ROOM D-2040 22-7615/2960
ST. PAUL, MN551 11 3/16/2009
PAY TO THE
ORDER OF City of Crystal $**500.00
Five Hundred and DOLLARS I
City of Crystal
4141 Douglas Drive North
Crystal, MN 55422
Attn: Stephanie Dunfee
MEMO
Crystal City Council
Meeting Packet
April 7, 2009
111. PRESENTATION
The Council will receive a presentation from Joel
Bergstrom of Crisis Nursery.
ABOUT GREATER M NNEAPOLIS CRISIS NURSERY
Mission Statement
The mission of the Greater Minneapolis Crisis Nursery is to end child abuse and neglect and create strong, healthy
families.
Vision Statement
As GMCN approaches its 35`x' anniversary in 2018, we envision a community that has made substantial, measurable
progress to eliminate child abuse and neglect. Through GMCN and its partnering agencies, families access the
support they need to address the short and long-term challenges in their lives. GMCN serves as a trusted source for
support, advocacy and safety for families and a vital link to a well -funded network of services. Every child has a
safe family environment in which to grow and thrive.
OrIzanization Values
• SAFETY: We believe the security and well-being of children come first.
• COURAGE: We believe seeking support is a sign of strength.
• RESPECT: We promote a caring and respectful culture, which values dignity of all.
• COMMUNITY: We believe, together with families, our community has a responsibility for children.
• COLLABORATION: We believe by working with strategic partners, we combine our strengths to achieve
greater goals.
• LEADERSHIP: We strive to be a leader in the prevention of child abuse and neglect.
• QUALITY: We are committed to rigorous evaluation, continuous improvement, and responsible
stewardship of our resources.
Organization History
Greater Minneapolis Crisis Nursery is an independent agency offering free, voluntary services to Hennepin County
families in crisis with children ages newborn through six at risk of abuse or neglect. We are the only residential
crisis nursery in Minnesota and one of only 20 in the country.
The Nursery has served the community for 25 years. During that time we have:
• Provided more than 117,000 days of care to children.
• Managed more than 79,000 crisis calls.
• Provided almost 54,000 referrals.
• Sheltered more than 44,000 children.
• Provided crisis counseling to more than 27,000 families.
For more than two decades, Greater Minneapolis Crisis Nursery has been a critical lifeline to families in crisis and
children at risk of abuse and neglect. The first and only residential crisis nursery in the state and one of only 20 in
the entire country, the Nursery's programs—including a 24-hour crisis hotline, crisis counseling, 72 -hour
residential care, medical care to children, referrals, home visits and parent education—act as models for similar
agencies nationwide.
The Crisis Nursery was created after the Junior League of Minneapolis's Child Abuse Project indicated a need for
residential respite care to children at risk of abuse and neglect in our community. For 25 years, the Nursery has
filled this need. We opened our doors in 1983, sheltering six children per day. In 1999, we established a new
location in Golden Valley.
In Minnesota in 2007, almost 6,300 children were the victims of abuse and neglect. Stressful economic times will
put even more pressures on families. Our highest priority is to serve as many children and families as possible. The
need in our community for a safe place for children and support for parents in crisis is greater than ever: Last year,
the Nursery was forced to turn away twice as many children than we were able to place.
Current Nursery Programs
24 -Hour Crisis Hotline
Parents who find themselves in the midst of a crisis may call our hotline any time, day or night. When a parent
calls, trained Family Advocates are there to answer. During that first call to the Nursery, the Family Advocate
assesses the severity of the crisis and determines the adequacy of the family's basic needs, safety, shelter, income,
food, clothing and medical care, using a system called the Basic Needs Assessment Tool, developed by a Clinical
Psychologist specifically for the Nursery. If the parent wishes to place their children at the Nursery, Family
Advocates arrange for transportation.
Crisis Counseling and Safe & Sound Initiative
Parents in crisis may call our hotline 24 -hours per day. If they then opt to bring their children to the Nursery,
parents receive on-site crisis counseling to help them address their crisis while their children are staying at the
Nursery. During the intake interview, parents meet with a Family Advocate to develop an action plan. During the
discharge interview, parents discuss their progress with a Family Advocate and receive referrals to additional social
services that help stabilize the family. Within one week of the discharge, Family Advocates place a follow-up call
to the parents to help ensure the family's safety and stability, and offer additional referrals and support. This follow
up process is called the Safe & Sound Initiative.
72 -Hour Residential Child Care
The Nursery shelters children for up to three days in a nurturing, non -shaming, developmentally -appropriate
environment. With a ratio of one Child Care Provider to three children, children get the individual attention they
need. While at the Nursery, children enjoy three nutritious meals and three snacks per day, playing on the
playground and in the gym, participating in enrichment activities such as the Book Buddy early literacy program,
arts and crafts activities and using the books, art supplies and computer stations in the learning resource rooms, and
sleeping in one of the cheerfully -decorated themed sleeping rooms. Specially -trained child care volunteers give the
children additional nurturing and attention by rocking infants and leading activities for the toddlers and older
children.
Pediatric Assessment and Medical Management (PAMM) Program
The Nursery's PAMM program, one of only 10 such programs at residential crisis nurseries nationwide, allows us
to provide medical care and health assessments to children, many of whom do not receive regular medical attention.
After intake, children receive a bubble bath, which helps soothe them and gives them a chance to bond with their
Child Care Provider. It also allows the Nursery to screen each child for signs of abuse, neglect, or illness. We report
suspected abuse or neglect to the Hennepin County Community -Based First Response. If children require medical
attention, our staff work with volunteers fi•om Partners in Pediatrics, a local practice, to diagnose health problems,
prescribe and deliver treatment, complete a growth assessment, and refer children to long-term health care
providers. Volunteers from the University of Minnesota Emergency Medicine Program provide on-site staff CPR
and First Aid trainings each quarter.
4th Day Program
Many people ask, "What happens on the fourth day?" The 4`h Day program is more comprehensive outreach
program for parents whose crises cannot be resolved during the three days while their children are staying at the
Nursery. For some Nursery families, three days is simply not enough time to overcome the myriad of obstacles they
face, tackle their many challenges and achieve their goals. The 4`h Day program is an intensive and comprehensive
program for parents who use the Nursery on a repeat basis.
Families who participate in the 4"' Day Program meet the following criteria:
® They have multiple barriers to self-sufficiency, including extreme poverty, single -parent households,
homelessness, mental health and substance abuse issues, and others.
® Their situation puts their children at risk of abuse or neglect.
® They lack a support network of family and friends to help them manage their family.
• They are not receiving similar services from another agency.
® They are not involved in a child protection case at the time of intake.
• They want to make a change in their lives, and the lives of their children.
The goals of the 40' Day program are to:
® Prevent child abuse and neglect.
® Increase family stability.
® Decrease family isolation.
® Promote family self-sufficiency.
® Increase provider collaboration.
® Develop parenting skills to provide a secure, nurturing home environment for children.
To achieve these goals, a Nursery Field Manager contracts with a family to provide a series of home visits.
According to the U.S. Advisory Board on Child Abuse and Neglect, home visiting is the most promising method of
preventing child maltreatment. With the help of their Field Manager, parents formulate an action plan for
improving their household situation and tackle their goals one by one. The Field Manager identifies community
resources that can help parents complete the plan and guides them in accessing these resources, if necessary, by
going with them to appointments and assisting with forms and procedures. By helping parents access additional
programs, the 4`1' Day Program provides "wrap-around" assistance without duplicating services.
Parent Education
One of the four most common reasons parents cite for using our services is a housing crisis. We reach out to
homeless families by offering a parent education class at People Serving People (PSP) shelter during the school
year. The class, titled Creative Play in Tight Situations, is a collaboration between the Nursery, PSP, and
Minneapolis Early Childhood Family Education (SCFE). Parents, children, and staff from both visiting agencies
meet for songs and games to give parents a low -stress, enjoyable, educational opportunity with their children. Then
the Nursery's staff conducts a 1'/2 -hour class on topics such as anger management, discipline, and positive
parenting, while ECFE provides art supplies and plays with the children during the group session. Family
Advocates also visit the shelter for one hour a week to provide information about Nursery services.
The Nursery offers a Parent Support Group as an extension of our O'Day program. Facilitated by a Master's level
4`h Day Field Manager in consultation with a clinical psychologist, one 10 -session Parent Support Group will be
offered to up to eight current and former 4`h Day families each fiscal year. The Nursery's Parent Support Group is
the only such group that we are aware of offered in the Nursery's service area.
Community Roundtable
The Nursery hosts a bi-monthly community Roundtable Discussion with other service providers to pool resource
information, exchange knowledge and generate ideas. The attendees represent all sectors of the Minneapolis service
community, including human services, Hennepin County, the City of Minneapolis, medical outreach and services,
legal aid, and faith -based organizations.
Program Statistics
Service Statistics and Accomplishments in 2007-2008 fiscal year: (All programs)
® Days of care provided to children
5,817
® Crisis calls managed
5,803
® Children sheltered at the Nursery
2,268
® Referrals given to families
2,003
® Families placing children at the Nursery
1,351
® Children receiving medical attention
324
® Home visits provided
330
• Parents participating in education and support groups
85
® 33 Child Protection Reports
11%
Client Statistics in 2007-2008 fiscal year: (All programs)
® 98% of parents/guardians placing their children at the Nursery were female.
® Average age of parent/guardian is 27.
® 84% of parents/guardians were single parents.
® 80% of parents/guardians were minorities.
® 84% of families served had annual incomes under $10,000.
• 32% of parents/guardians had less than a high school education.
® 35% of parents were emotionally exhausted or unstable.
® 42% of families served receive MFIP
® 21% of Nursery families were homeless (includes living in a shelter, living with family/friends)
Ethnic Breakdown of Parents and Children 2007-2008 fiscal year: (All programs)
African American
64%
64%
Caucasian
18%
8%
Native American
8%
6%
Latin American
2%
3%
African
1 %
1%
Bi -racial
2%
11%
Other
5%
7%
Organization Information
Staffin
The Nursery employs 42 full-time staff, 11 part-time staff, and 14 on-call staff. Staff includes three shifts of Child
Care Providers offering round-the-clock care. Child Care Providers attend mandatory CPR and First Aid trainings
as well as in-house trainings on early childhood education such as car seat safety, medications, language
development, brain development, and African-American hair and skin care.
Volunteers
Twenty community volunteers currently serve on the Board of Directors. They create the Nursery's strategic plan,
set policies, assist with awareness and fundraising activities, and provide financial support.
One of our most popular volunteer programs is Cook for Kids. To participate, a corporate, community, or family
group purchases food, prepares a meal on site, and helps serve the children at the Nursery. The program provides a
wonderful opportunity for volunteers to get involved in the prevention of child abuse and neglect without a large
commitment of their time. It also allows them to have a personal, first-hand experience interacting with, enjoying,
and making a direct and positive impact on the children we serve.
During fiscal year 2008, 356 individual volunteers plus 195 volunteer teams dedicated 18,706 hours to the Nursery,
the equivalent of 9 full-time staff positions at a value of $373,954. The food donated by volunteers through the
Cook for Kids program is valued at $65,220.
Budget
Greater Minneapolis Crisis Nursery fiscal year (July -June) 2009 Budget is $3,039,622. Of that, roughly 16%
comes from Hennepin County. The remaining 84% of the budget is raised from individuals, corporations, and
private and community foundations, including the United Way.
Crystal City Council'
Meeting Packet
April 7, 2009
IV. COUNCIL MEETING MINUTES
The Council will consider the minutes from the regular
City Council Meeting from March 17, 2009.
Crystal City Council Meeting minutes March 17, 2009 1776
I. CALL TO ORDER, ROLL CALL, AND PLEDGE OF ALLEGIANCE
Pursuant to due call and notice thereof, the Regular Meeting of the Crystal City
Council was held on Tuesday, March 17, 2009 at 7:00 p.m. in the Council Chambers
at 4141 Douglas Drive in Crystal Minnesota. Council Member Grimes called the
meeting to order.
Upon roll call, the secretary recorded the following attendance:
COUNCIL: J. Moore, Grimes, L. Moore, Anderson, and Hoffmann.
ABSENT: Bowman and Selton
STAFF: City Manager A. Norris, City Attorney M. Norton, Police Chief J. Banick,
Assistant Community Development Director/City Planner J. Sutter, Public
Works Director/City Engineer T. Mathisen, Zoning/Code Enforcement
Administrator J. Zimmermann, and Senior Customer Service
Representative Gail Van Krevelen.
Council Member Grimes led the Council and audience in the Pledge of Allegiance.
11. APPOINT AN INTERIM MAYOR PRO TEM
The Council considered appointing an interim mayor pro tem for the March 17, 2009
Council Meeting.
Moved by Council Member L. Moore and seconded by Council Member Hoffmann to
appoint Garry Grimes as interim mayor pro tern for the March 17, 2009 Council
Meeting.
Motion carried.
111, ACKNOWLEDGEMENTS
Interim mayor pro tem Grimes acknowledged the following donations:
a) $500 from Westphal American Legion Post 251 for the Crystal Airport Open
House; and
b) $250 from Wal-Mart Foundation for the Crystal Police Explorers.
IV. PRESENTATION OF APPRECIATION
Police Chief Banick presented a letter of appreciation to Crystal resident Jerry Franz
for his assistance to the police department during an in -progress burglary in
February 2009.
G:\Council\Minutes2009\min3-17-09.doc 1776
Crystal City Council Meeting minutes March 17, 2009 1777
V. PROCLAMATIONS
Interim mayor pro tem Grimes presented the following proclamations:
a) March 18, 2009 as Warren Ditch Day in the City of Crystal; and
b) April 18, 2009 is Arbor Day in the City of Crystal.
VI. COUNCIL MEETING MINUTES
The Council considered the minutes from the following meetings in a single motion:
The regular City Council Meeting from March 3, 2009;
The Council work session from March 3, 2009; and
The Council work session from March 9, 2009.
Moved by Council Member L. Moore and seconded by Council Member
Hoffmann to approve the minutes of the following Council Meetings, in a single
motion:
® The regular City Council Meeting from March 3, 2009;
The Council work session from March 3, 2009; and
The Council work session from March 9, 2009.
Voting aye: Anderson, Hoffmann, J. Moore, Grimes, and L. Moore. Absent, not
voting: Selton and Bowman.
Motion carried.
VII. CONSENT AGENDA
The Council considered the following items, which are routine and non-
controversial in nature, in a single motion:
1. Approval of the list of license applications submitted by the City Clerk to the
City Council, a list that is on file in the office of the City Clerk;
2. Approval of disbursements over $15,000 submitted by the Finance Director
to the City Council, a list that is on file in the office of the Finance Director;
3. Approval of a lawful gambling application for an Exempt Permit to conduct
Bingo on July 24-25, 2009 at Becker Park during the Crystal Frolics
submitted by New Hope Lions Club;
4. Approval of PIR expenditure for the purchase of a used Street Department
Replacement Roller;
5. Approval of a special permit for wine and beer at the Crystal Community
Center on April 11, 2009 submitted by Lam Rasrvong for a Laotian New
Year Celebration; and
6. Acceptance of the resignation from William Gentry of the Parks & Recreation
Commission.
G:\Council\Minutes2009\min3-17-09.doc 1777
Crystal City Council Meeting minutes March 17, 2009 1778
VII. CONSENT AGENDA CONTINUED
Moved by Council Member Hoffmann and seconded by Council Member
Anderson to approve the consent agenda.
Voting aye: Anderson, Hoffmann, J. Moore, Grimes, and L. Moore. Absent, not
voting: Selton and Bowman.
Motion carried.
VIII. PUBLIC HEARING
1. Interim mayor pro tem Grimes declared this was the date and time advertised for
a public hearing at which time the City Council received public comment for the
Phase 10 Public Improvement Hearing - Parkside Acres Townhomes- Street
Reconstruction Project #2008-10.
Public Works Director/City Engineer T. Mathisen addressed the Council and
answered questions.
Interim mayor pro tern Grimes opened the public hearing for testimony. The
following persons addressed the Council:
• Carleen Bonchard, Board of Directors for Parkside Acres Townhomes
• Michael Franz, 4711 Adair Ave N
• Jim Benshoof, 4750 Adair Ave N
There being no one else wishing to appear before the Council to give testimony,
the interim mayor pro tern declared the public hearing closed.
IX. OPEN FORUM
No public comment was given during open forum.
X. REGULAR AGENDA
1. The Council considered appointing Luke Reisdorf to the Environmental Quality
Commission for a partial, three-year term expiring December 31, 2011.
Mr. Luke Reisdorf addressed the Council.
Moved by Council Member L. Moore and seconded by Council Member J. Moore
to approve the appointment for Luke Reisdorf to the Environmental Quality
Commission for a partial, three-year term expiring December 31, 2011.
Voting aye: Anderson, Hoffmann, J. Moore, Grimes, and L. Moore. Absent, not
voting: Selton and Bowman.
Motion carried.
G:\Council\Minutes2009\min3-17-09.doc 1778
Crystal City Council Meeting minutes March 17, 2009 1779
X. REGULAR AGENDA CONTINUED
2. The Council considered Application 2009-02 for a Conditional Use Permit (CUP)
to have outdoor storage at 7350 — 32nd Ave N.
Jason Zimmermann presented to the Council and answered questions.
Moved by Council Member L. Moore and seconded by Council Member
Anderson to approve the CUP to have outdoor storage at 7350 — 32nd Ave N, as
recommended by the Planning Commission at its meeting on March 9, 2009,
and based on the findings of fact and conditions outlined in Section C of the Staff
Report.
Voting aye: Anderson, Hoffmann, J. Moore, Grimes, and L. Moore. Absent, not
voting: Selton and Bowman.
Motion carried.
3. The Council considered authorizing an application to consider amending City
Zoning Code regulating the location of telecommunications towers.
Assistant Community Development Director/City Planner J. Sutter presented to
the Council and answered questions.
The following persons addressed the Council:
® Mary Weber regarding concerns about health effects relating to
telecommunication towers
® Frank Weber quoted an article from the October 16, 2008 SunPost on
radiation
Moved by Council Member L. Moore and seconded by Council Member
Hoffmann to authorize an application to consider amending City Zoning Code
regulating the location of telecommunications towers.
Voting aye: Anderson, Hoffmann, J. Moore, Grimes, and L. Moore. Absent, not
voting: Selton and Bowman.
Motion carried.
G:\Council\Minutes2009\min3-17-09.doc 1779
Crystal City Council Meeting minutes March 17, 2009 1780
X. REGULAR AGENDA CONTINUED
4. The Council considered the Phase 10 bids and two resolutions relating to the
Welcome Street Reconstruction Project #2008-10; A) ordering the hearing for
the proposed assessment and B) declaring the cost to be assessed and ordering
the preparation of the assessment roll.
Public Works Director/City Engineer T. Mathisen presented to the Council and
answered questions.
Resolution A
Moved by Council Member L. Moore and seconded by Council Member
Hoffmann to adopt the following resolution, the reading of which was dispensed
with by unanimous consent:
RESOLUTION NO. 2009 - 27
ORDERING THE HEARING ON PROPOSED ASSESSMENT
PROJECT #2008-10
Voting aye: Anderson, Hoffmann, J. Moore, Grimes, and L. Moore. Absent, not
voting: Selton and Bowman.
Motion carried, resolution declared adopted.
Resolution B
Moved by Council Member Hoffmann and seconded by Council Member
Anderson to adopt the following resolution, the reading of which was dispensed
with by unanimous consent:
RESOLUTION NO. 2009 - 28
DECLARING THE COST TO BE ASSESSED AND ORDERING THE
PREPARATION OF THE ASSESSMENT ROLL, PROJECT #2008-10
Voting aye: Anderson, Hoffmann, J. Moore, Grimes, and L. Moore. Absent, not
voting: Selton and Bowman.
Motion carried, resolution declared adopted.
G:\Council\Minutes2009\min3-17-09.doc 1780
Crystal City Council Meeting minutes March 17, 2009 1781
X. REGULAR AGENDA CONTINUED
5. The Council considered a resolution approving a cost-sharing agreement for the
Wetland 639 Feasibility Study.
Public Works Director/City Engineer T. Mathisen presented to the Council and
answered questions.
Moved by Council Member L. Moore and seconded by Council Member
Anderson to adopt the following resolution, the reading of which was dispensed
with by unanimous consent:
RESOLUTION NO. 2009 - 29
APPROVING A COST-SHARING AGREEMENT
FOR THE WETLAND 639 FEASIBILITY STUDY
Voting aye: Anderson, Hoffmann, J. Moore, Grimes, and L. Moore. Absent, not
voting: Selton and Bowman.
Motion carried, resolution declared adopted.
XI. INFORMAL DISCUSSION AND ANNOUNCEMENTS
a) Please remember to RSVP for the annual appreciation dinner for city volunteers
serving on boards and commissions by March 19 to (763) 531-1118. LATE
RSVP'S WILL NOT BE ACCEPTED.
b) The Remodeling Fair is on Saturday, April 4 at the Crystal Community Center.
The fair is free and from 9:00 a.m. to 3:00 p.m.
c) The next City Council Meeting will be at 7:00 p.m. on April 7 in the Council
Chambers at City Hall.
G:\Council\Minutes2009\min3-17-09.doc 1781
Crystal City Council Meeting minutes March 17, 2009 1782
XII. ADJOURNMENT
Moved by Council Member L. Moore and seconded by Council Member J. Moore to
adjourn the meeting.
Motion carried.
The meeting adjourned at 8:12 p.m.
Garry Grimes, Interim Mayor Pro Tern
ATTEST:
Gail Van Krevelen
Senior Customer Service Rep
G:\Council\Minutes2009\min3-17-09.doc 1782
al City CouncF.
J
Meeting Packet
April 7, 2009
V. PROCLAMATION
The Mayor will present the following proclamation:
a)April 18 — 25, 2009 is the Shingle Creek Watershed
Clean-up Week in the City of Crystal.
CITY OF CRYSTAL
PROCLAMATION
THE GREAT SHINGLE CREEK WATERHSED CLEAN-UP WEEK
WHEREAS, the City of Crystal is dedicated to preserving and protecting the
water resources in our watersheds; and
WHEREAS, litter and trash can be washed into our lakes, rivers and streams,
polluting the water and clogging our storm sewers and storm drains; and
WHEREAS, citizens can take an active role in protecting water resources by
picking up litter and trash and keeping our streets, parks, neighborhood and community
clean; and
WHEREAS, the Shingle Creek and West Mississippi Watershed Managmenetn
Commissions' annual event "The Great Shingle Creek Watershed Clean-up" will take
place April 18 — 25, 2009.
NOW, THEREFORE, 1, RENAE J. BOWMAN, AS MAYOR OF THE CITY OF
CRYSTAL, do hereby proclaim:
1. April 18 — 25, 2009, to be The Great Shingle Creek Watershed Clean-up
Week.
2. Crystal will be hosting its Great Shingle Creek Watershed Clean-up event on
Saturday, April 25, 9:30 — 11:30 a.m., at the intersection of Vera Cruz and
52nd Avenues, to clean up the storm water retention ponds along County
Road 81.
3. The Crystal City Council reaffirms its commitment to protecting and
preserving our water resources and encourages residents, businesses and
institutions to use The Great Shingle Creek Watershed Clean-up Week 2009
to help prevent water pollution and preserve our watersheds by participating
in Crystal's Clean-up Event or by using this time to pick up trash and clean up
our homes, businesses, streets, neighborhoods and community.
Dated this 7th day of April, 2009.
ReNae J. Bowman, Mayor
rMOMM Y 1►
soum or me rtnrc;zracKSJ ,...
Make a positive impact..,�nfyour neighborhood and volunteer to cleanup the
storm wafie retention ponds located en both the east and west `sides of
'Count' Road 81 lJnfo'rtunatel these onds collect more than water. As
Y - Y p
the storm water rushes in so does the debris. It has been some time since
they've been cleaned up so",who .knows'`what you'll find! Think of it not just
as picking up trash but asa modern day archeological„d g;: Goffee will be
served starting, around 9 1y5 but the real fun s#arts at 9 30�and wails continue;
for about two hours: Trash bags and litter pickerl sRWJJbe pjoyided but
k
recommended that youbring boots and work�g(oves
�, r
4t2`
.h-_- --•- -._..�"`�ts.�cC^ic-....... ..IY.....,,1�.. ..^`W:F...........-,TL�.. .C'`.;4.inrvl'c'.
Crystal City Council
Meeting Packet
April 7, 2009
VI. CONSENT AGENDA
The Council will consider the following items, which are
routine and non -controversial in nature, in a single motion:
1. Approval of the list of license applications submitted by
the City Clerk to the City Council, a list that is on file in
the office of the City Clerk;
2. Approval of disbursements over $15,000 submitted by the
Finance Director to the City Council, a list that is on file in
the office of the Finance Director;
3. Approval of canceling the Council Work Session for April
9, 2009;
4. Approval of a license extension for 5445 Lakeland Ave N
from April 30 — July 31, 2009 submitted by CNP
Northwest d/b/a Cash -N -Pawn; and
5. Approval of Sewer Utility CIP expenditure for the
purchase of sanitary sewer manhole covers (hidden pick -
hole, gasketed).
ANIMAL KENNEL
Amy & Darren Eggersgluess 4856 Yates Ave N Crystal, MN 55429
Cheryl Michaelis 7400 59th Ave N Crystal, MN 55428
Debra & Robert Hutchins 5824 Elmhurst Ave N Crystal, MN 55428
Delphine Goff 6810 Corvallis Ave N Crystal, MN 55428
Geraldine Rimas 6527 46th Ave N Crystal, MN 55428
Janet Skoglund 4443 Xenia Ave N Crystal, MN 55422
John & Toni Murray 5618 Adair Ave N Crystal, MN 55429
Kathy Waltzing 77113 01h Ave N Crystal, MN 55427
Linda Brock 4361 Welcome Ave N Crystal, MN 55422
Margaret Plocienik 5920 46th Ave N Crystal, MN 55422
Mary J Enniss 5707 Brunswick Ave N Crystal, MN 55429
Michelle & Jeremy Todd 3540 Idaho Ave N Crystal, MN 55427
Pegeen Webster 4708 Hampshire Ave N, Crystal, MN 55428
Richard & Mary Keesling 6515 Cloverdale Ave N Crystal, MN 55428
Ronald & Deanna Schuster 5841 Nevada Ave N Crystal, MN 55428
Sheli Pawlu 3303 Louisiana Ave N Crystal, MN 55427
Tim & Amy Wodarski 5101 Corvallis Ave N Crystal, MN 55429
Tina & Balke Adamson 7024 35th PI N Crystal, MN 55427
ANIMAL KENNEL (commercial)
Aquatropic's 3549 Douglas Dr N Crystal, MN 55422
Going to the Dogs Bev Sorensen 3025 Kentucky Ave N Crystal, MN 55427
GAS INSTALLER
Hendrich's Mechanical 16730 Co Rd 6 Plymouth, MN 55447
Joel Smith Heating & A/C Inc. 13915 Lincoln St NE, Suite E, Ham Lake, MN 55304
Ray Welter Heating 4637 Chicago Ave S Mpls, MN 55407
LAWN FERTILIZER
TruGreen Chemlawn 11755 95th Ave N Maple Grove, MN 55369
PLUMBER
Area Wide Plumbing Inc 9989 190" St. Silver Lake, MN 55381
Mike Larson Master Plumber Inc. 5120 Hooper Lake Rd. Deephaven, MN 55331
Paul Falz Co. 359 Atwater St. St. Paul, MN 55117
Regency Plumbing Inc. 3414 Louisiana Ave N Crystal, MN 55427
1 of 2 4/2/2009
RENTAL — NEW
6600 Cloverdale Ave N — MANA Holdings Group LLC (Conditional)
5236 Jersey Ave N — Gary Stendahl (Conditional)
5625 Nevada Ave N — Donna Bachaus/Chris Bachaus
5917 Oregon Ave N - Rhonda LeCuyer (Conditional)
5633 Twin Lake Ter — Toby Manivanh (Conditional)
5568 — 5570 Xenia Ave N — Melvin Davis (Conditional)
6600 46"' PI N — William L. Smith (Conditional)
6517 47th Ave N — Brian/Anna Hedberg (Conditional)
5333 49th Ave N — Joseph Anton
4940 54th Ave N — Clint Lechner (Conditional)
RENTAL — RENEWALS
5123 Corvallis Ave N — Nancy/Jerad Soule (Conditional)
5944 Elmhurst Ave N — Patrick Archer (Conditional)
5324-5340 Hanson Ct N — TMC Management Corp (Conditional)
4812-4814 Idaho Ave N — Sandra Mershon (Conditional)
3001 Jersey Ave N — Brad Broberg (Conditional)
2960 Kentucky Ave N — Gabrielle Duccini for Janor Bougerie (Conditional)
4057 Kentucky Ave N — Sarah Hermans (Conditional)
6804 Lombardy Lane — Raymond/Cindy Scherbing (Conditional)
5231 Maryland Ave N — Elissa Pesky c/o ROI Properties
5228 Unity Ct N — Steve Hinrichs
5230 Unity Ct N — Steve Hinrichs
3033 Winnetka Ave N — Ralph Killing (Conditional)
4623 Zane Ave N — D Schlosser/J Mathias (Conditional)
6307 34th Ave N — Wally Anderson (Conditional)
6707 34h Ave N — Judy Martin (Conditional)
5804 36th Ave N — Daljit Chawla for Dillon Chawla (Conditional)
5 917 38th Ave N — Jason Hersog (Conditional)
6820-6824 44th Ave N — Steve Hinrichs
TREE TRIMMER
Central MN Tree Service 480 Rice Creek Blvd Fridley, MN 55432
2 of 2 4/2/2009
, —
-CIT, —�YII
GCRYSTAL
,J -
Payee
IRS
PERA
Elk River Ford Inc
SEH Inc
HealthPartners
LMCIT
Logis
Metro Council Environmental Svc
Golden Valley JWC
GAS.WAAccu P.y.blcThmks over 15,000..,Is
DATE: April 2, 2009
TO: Anne Norris, City Manager
City of Crystal City Council
FROM: Charlie Hansen, Finance Director
RE: Expenditures over $15,000
Description
Social Security/Medicare - Federal Tax W/H P/R 03/20/09
PERA P/R 03/20/09 Employee/City Contributions
225/8365 2009 Ford Crown Victoria
Phase 10 Street Reconstruction Bid Preparation
April Premiums
1st & 2nd Qtr 2009 Liability Insurance/2nd Qtr 2009 Workers Comp
February Support & Services
April Wastewater Costs
February Watercosts
Amount
49,608.74
38,724.70
22,657.32
89,281.71
80,308.39
113,257.00
16,508.83
101,456.73
88,999.39
600,802.81
COUNCIL STAFF REPORT
�7J Consent Agenda: License extension for 5445 Lakeland
C11
CRYSTAL
FROM: Janet Lewis, City Clerk
DATE: April 3, 2009
TO: Crystal City Council
City Manager Anne Norris
SUBJECT: Pawnbroker license extension for 5445 Lakeland
CNP Northwest d/b/a Cash -N -Pawn received approval from the Council on
November 18, 2008 for a four-month license to operate a pawnshop at 5445
Lakeland. The license will expire on April 30, 2009.
Cash -N -Pawn anticipated moving into its new facility next door at 5417 Lakeland but
is unable to move its operation at this time. (See letter from Cash -N -Pawn)
City Attorney Mike Norton and Police Chief Banick have reviewed the request. The
business is in compliance and there are no reasons to deny the request for an
extension.
Council Action Requested
Approve the license extension for 6445 Lakeland as submitted by CNP
Northwest d/b/a Cash -N -Pawn with an expiration date of July 31, 2009.
1AADMINUCENSING\Application Forms\Pawnbroker\Council Staff Report Lewis 4.7.09.doc
441
i171GWayzata Blvd ° Minnetonka, W1N55OO5-QO14^(952)52S~O854"Fax (Q52)526'1O73
City VfCrystal
Attn: Janet Lewis
4141 Douglas Drive
Crystal, MINI G5422
Dear Janet:
We are requesting that you extend through 7/31/09 our pawn license for our store
currently located aL5445Lakeland Ave N. The closing ofthe transaction for the
property at 5417 Lakeland Ave N. Is taking longer than anticipated.
Please contact Molly Ei|en at 952-525-0854 ext. 111 with the dollar amount required
for the license extension and with any questions you may have.
........... . . .
COUNCIL STAFF REPORT
'CITYld-,
Purchase of hidden pick hole-gasketed sanita
I : T
ie-RYSTAL
manhole covers
FROM: Randy Kloepper, Utilities Superintendent
DEPARTMENT HEAD REVIEW: Tom Mathisen, Public Works Direct
TO: Anne Norris, City Manager
. X19
SUBJECT: Purchase of hidden pick -hole, gasketed sanitary sewer manhole
covers.
The City of Crystal continues to see excessive inflow into sanitary sewer system during
periods of heavy rainfall and runoff. This additional water entering the sanitary sewers
places extra stress on our sewage lift station pumps and increases the possibility of
sewer backups as the capacity of the pipes to handle the additional flow is exceeded. In
an effort to reduce the amount of inflow into the system from surface drainage, starting
in 2006 the Utilities Department began a program of replacing our current manhole
covers which have a 1 1/2" center pick -hole with solid lids with a hidden pick -hole and a
gasket on the outer edge.
As a continuation of our current program I am requesting Crystal purchase quantity 100
of the 301 SSC hidden pick -hole, gasketed manhole covers from Ess Brothers and
Sons, Inc at a total cost of $11,182.50, including tax and delivery. This item is included
in the Sewer Utility CIP Item #6516 — Inflow and infiltration — replace manhole covers.
Quotes were received from Ess Brothers and Sons $11,182.50
Neenah Foundry $12,780.00
Thank you for your consideration.
HABudget\2009\Manho1e coversCouncil Staff Report doc
ystal City Council
Meeting Packet
April 7, 2009
VIII. REGULAR AGENDA
1. The Council will consider appointing Jake Hairrell as a member of
the Human Rights Commission for a partial, three-year term
expiring December 31, 2011.
2. The Council will consider appointing Victoria Morrison to the
Human Rights Commission for a partial three-year term expiring
December 31, 2010.
3. The Council will consider appointing John Schuneman as an at -
large member of the Parks & Recreation Commission for a partial
three-year term expiring December 31, 2009.
4. The Council will consider appointing Jennifer Sodd as an at -large
member of the Parks & Recreation Commission for a partial three-
year term expiring December 31, 2011.
5. The Council will consider appointing Tricia DeBleeckere to the
Environmental Quality Commission for a partial, three-year term
expiring December 31, 2010.
6. The Council will consider a resolution authorizing the preparation
of a Feasibility Study for Fairview — 50th Ave Alley Reconstruction
Project #2009-06.
7. The Council will consider a public hearing notice for the Twin Oak
Pond Project, necessary for Federal Stimulus Dollars Grant
Application.
I CCOUNCIL STAFF REPORT
fcrff f
STAL Regular Agenda: Appointments to Advisory Commissions
FROM: Janet Lewis, City Clerk
MEMORANDUM
DATE: April 3, 2-009
TO: Mayor and Council Members
City Manager
At this time, here are the vacancies that exist on the following commissions:
Environmental Quality Commission
Two vacancies exist on this 3.o -member commission. its charge is to advise the City
Council on the conservation of environmental resources and environmental issues.
Human Rights Commission
Three vacancies exist on this so -member commission. its charge is to advise the City
Council in matters and problems relating to discrimination issue as well as working to
improve human relations, attitude, and a positive behavior climate in the city.
Parks & Recreation Commission
Three vacancies exist (2 at -large and :L for Ward 2) on this 3.o -member commission. Its
charge is to promote the systematic, comprehensive development of park facilities and
recreational activities necessary for the physical, mental, emotional, and moral health
and well-being of its residents.
There are no other applications on file for commissions. The City h . as informed the public
about the vacancies through multiple postings in the City Newsletter, City website, and Sun
Post.
All applicants were interviewed by Mayor Bowman, Council Liaisons, and Commission
Chairs who are recommending the appointments. Applications are attached.
Council Action Requested (one motion for each applicant)
Appoint the following persons:
® Jacob Hairrell and Victoria Morrison to the Human Rights Commission
John Schuneman and Jennifer Sodd to the Parks & Recreation Commission
Tricia DeBleeckere to the Environmental Quality Commission
GAOFFICE MANAGEMcommissions\Council Staff Report Form 4.7.09.doc
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to-'36CITY OF CRYSTAL
APPLICATION FOR BOARDS & COMMISSIONS
( ) Bassett Creek Watershed () Charter Commission
() Employee Review Board () Environmental Quality Commission
( lanning Commission () Parks & Recreation Commission
Human Rights Commission () Northwest Hennepin Human Services Council
( ) Shingle Creek Watershed () Other
T1. Name .c o � i ����1 Home Phone (7 LO 216 OG -71
*Email Work Phone
2. *Address -k�i A ; t VL" /V Zip code S7&g2"7
3. How long have you lived at the City? 2 eo-r
4. Occupation 1 <,�, f� Employer Ewl's;GA.s r�AAA , j -i -Ve,-
5. Education (please indicate highest grade completed or highest degree and major course
of study) (� 1_ 1
(� sly -lam ch - aJ c c� %r a A J vi a� i s P A7 r a l a ,r+
6. What skills do you have th4at you feel would benefit the City?
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7. Why do you want to serve on this commission?
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8. What experience do you have that you feel would be pertinent to this commission?
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9. What other civic activities are you involved in?
10. Have you served on any City commissions or boards in the past? (Feel free to attach a
resume or letter if necessary /IJo
*Under the law, some information contained in this application is private data. With your permission, this
information will be listed on a commission roster. The purpose is so commissioners, city officials, and the
public will be able to contact you. There is no consequence for refusing to supply this information. Please
turn this form over and sign the release form.
Please turn over
CADocuments and Setbngsyhofseth1Loca1 SettingsWemporary Internet
Files\OLKglboardscomissionsapplication.doc 2102
1`n
City of Crystal
Boards * Coi-:e ons
Effective August 1, 2005 and in accordance with the Minnesota Government Data Practices Act, the
City of Crystal is required to receive your consent before releasing any information about you that is
classified as private data. Private data is information that is not available to the public.
The City may be asked to provide private information about you to the public (newspapers, civic
organizations, etc.) and to individuals who wish to contact you directly. Although this information is
available from other sources, such as the phone directory, the City is NOT allowed to disseminate
any private data about you without your permission. This release will be in effect as long as you
serve on the City board or commission and can be changed upon your request at any time.
(Please note that if you are appointed to a commission, a phone number, mailing address, and email
address will be included on a roster.)
I authorize the City of Crystal to disclose my home address, phone number, and email on a
commission roster if appointed to such commission.
Printed Dame: '— sc uCZ015";r"Vdi
Signature:
Return application to: City of Crystal City Clerk
4141 Douglas Dr N,
Crystal, MAT 55422-1696
or fax to (763) 531-1188
Date:6_—
Date:
CADocuments and Settingsyhofsethlocal SettingsWemporary Internet
FileslOLKglboardscomissionsapplicatbon.doc 2/02
0 0 CITY OF CRYSTAL
A144b TION FOR BOARDS & COMMISSIONS
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Bassett Creek WatersKe)d Charter Commission
Employee Review Board Environmental Quality Commission
Planning Commission t �1 'I.dk Parks & Recreation Commission
Human Rights CommissionyW'-', -2,&00 Northwest Hennepin Human Services Council
()Shingle Creek Watershed Other
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2. *Address— Zip code
3. How long have you lived at the City? 16
4. Occupation tFiLLca-fioll-at 4_c_&st-g.vL4-_ Employer Robio i I'l, -<. Act- t e 15 � Z
5. Education (please indicate highest grade completed or highest degree and major course
of study)
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6. What skills do you have that you feel would benefit the City?
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7. Why do you want to serve on this commission?
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*Under the law, some information contained in this application is private data. With your permission, this
information will be listed on a commission roster. The purpose is so commissioners, city officials, and the
public will be able to contact you. There is no consequence for refusing to supply this information. Please turn
this form over and sign the release form.
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pRIVATE DATA RELEASE FORM
City of Crystal
Boards Commissions
Effective August 1, 2005 and in accordance with the Minnesota Government Data Practices Act, the
City of Crystal is required to receive your consent before releasing any information about you that is
classified as private data. Private data is information that is not available to the public.
The City may be asked to provide private information about you to the public (newspapers, civic
organizations, etc.) and to individuals who wish to contact you directly. Although this information is
available from other sources, such as the phone directory, the City is NOT allowed to disseminate any
private data about you without yo� mst at y time.e in effect as long as you serve on
the City board or commission and c be changed upon your reque
(Please note that if you are appointed to a commission, a phone number, mailing address, and email
address will be included on a roster.) 01dr d
I authorize the City of Crystal to disclose my __
e a d email n a
commission roster if appointed to such commission.
Printed Name: �9 tom!—� Y-167 0
4
Signature:
Return application to: City of Crystal City Cleric
4141 Douglas Dr N,
Crystal, MN 55422-1696
or fax to (763) 531-1188
Date: a ` C 0 _ 0-9
Date: a, ( ` 6q
5-h4etr) w3ai 3 14f)dI
CITY OF CRYSTAL Appoifrf 4/1 16q
APPLICATION FOR BOARDS & COMMISSIONS We P-4, I
Bassett Creek Watershed Charter Commission
Employee Review Boardironmental Quality Commission
--14zavl
Planning Commission544§P & Recreation Commission
(f - M--
Human Rights Commission Northwest Hennepin Human Services Council
Shingle Creek Watershed Other
1. Name
-1, \r' , �-- z �\ *Home Phon
1(1PD
*Email Work Phone
2. *Address 3l-81 A Zip code::- rg 0'.-L
3. How long have you lived at the City? 17-1,
4. Occupation R'e - tl` Lfl Employer.
5. Education (please indicate highest grade completed or highest degree and major course
of study)
6. What skills do you have that you feel would benefit the City?
7. Why do you want to serve on this commission?
8. What experience do you have that you feel would be pertinent to this commission?
9. What other civic activities are you involved in?
10. Have you served on any City corn
resume or letter if
ch a
y
*Under the law, some information contained in this appliduation is private d'ata. With your permission, this
information will be listed on a commission roster. The purpose is so commissioners, city officials, and the
public will be able to contact you. There is no consequence for refusing to supply this information. Please turn
this form over and sign the release form.
Please turn over
GAOFFICE MANAGERXcommissionsXApplicationsXboardscomissionsapplication.doe
2/02
PRIVATE DATA RELEASE FORM
City of Crystal
Boards Commissions
Effective August 1, 2005 and in accordance with the Minnesota Government Data Practices Act, the
City of Crystal is required to receive your consent before releasing any information about you that is
classified as private data. Private data is information that is not available to the public.
The City may be asked to provide private information about you to the public (newspapers, civic
organizations, etc.) and to individuals who wish to contact you directly. Although this information is
available from other sources, such as the phone directory, the City is NOT allowed to disseminate any
private data about you without your permission. This release will be in effect as long as you serve on
the City board or commission and can be changed upon your request at any time.
(Please note that if you are appointed to a commission, a phone number, mailing address, and email
address will be included on a roster.)
I authorize the City of Crystal to disclose my home address, phone number, and email on a
commission roster if appointed to such commission.
Printed Name: \o � � �cJ� l;' � Y✓` M)
Signature: 1J✓�ti nr--
Return application to:
MON
City of Crystal City Clerk
4141 Douglas Dr N,
Crystal, MN 55422-1696
or fax to (763) 531-1188
Date: 01- G 'I - 0 G
Date: (IN
GAOFFICE MANAGER\commissions\Applications\boardscomissionsapplication.doc
Feb. 4. 2009 3:34PM
Flo,9994P. 1/2
CITY OF CRYSTAL I
Daital
APPLICATION FOR BOARDS & COMMISSIONS 1-4 h?
),Bassett Creek Watershed Charter Commission Wo 67, 4 3
) Employee Review Board Environmental Quality Commission
) Planning Commission Parks & Recreation Commission
) Human Rights Commission Northwest Hennepin Human Services Council
) Shingle Creek Watershed Other
1. Name Ztn�n-� *Home Phone
*Email A QMSA' COyn Work Phone
2. Address !'e(rm Ave .1►
Zip codeA�
3. How long have you lived at the City? qn,
4. Occupation Si-0144wivu Employer 4 U,-.,\ c'
5. Education (please indicate highest grade completed or highest degree and major course
of study)
G. What skills do you have that you feel would benefit the City?
(h { U� 1*4t 4'K �4 A&iA 0Vd a,vv`)Af1 . —Kruc411,JoVVIA., 46 AnU,-.AJT1,
7. Why do you want to serve on this commission?
8. What experience do you have
I
It
ld be Pertinent to this commission?
10. Have you served on any City commissions or boards in the past? (Fool free to attach a
resume or letter if necessary—J�.().....
*Under the law, some information contained in this application is private data. With your per -mission, this
information will be listed on a commission roster. The purpose is so commissioners, city officials, and the
public will be able to contact you. There is no consequence for refusing to supply this information. Please turn
this form aver and sign the release form.
Please turn over
2102 CftDoumenle and SattingshectMeMy DocumerAftoardecomlesiLin5appliQation.doe
M
C ".- k'
Feb. 4, 2009 3:34PM
,MIT
City of Crystal
;oCommissions
No.9994 P. 2/2
Effective August 1, 2005 and in accordance with the Minnesota Government Data Practices Act, the
City of Crystal is required to receive your consent before releasing any information about you that is
classified as private data. Private data is information that is not available to the public.
The City may be asked to provide private information about you to the public (newspapers, civic
organizations, etc.) and to individuals who wish to contact you directly. Although this information is
available from other sources, such as the phone directory, the City is NOT allowed to disseminate any
private data about you without your permission. This release will be in effect as long as you serve on
the City board or commission and can be changed upon your request at any time.
(Please note that if you are appointed to a commission, a phone number, mailing address, and email
address will be included on a roster.)
1 authorize the City of Crystal to disclose my home address, phone number, and email on a
commission roster if appointed to such commission.
Printed Name: n�- t
Signature: *
Return application, to: City of Crystal City Clerk
4141 Douglas Dr N,
Crystal, AO 55422-1696
or fax to (763) 531-1188
Date:", *1
Date; A �
2102CADccumenla and 3elGn9-%Amedb1Wa3Wy Ducumentaftardscomissionsapplication.doc
CITY OF CRYSTAL
APPLICATION FOR BOARDS & COMMISSIONS
( )Bassett Creek Watershed ha�rter Commission
( )Employee Review Bnand nvironmental Quality n
(
Planning Commission '( )Parks & Recreation Commission
Human Rights Commission ( )Northwest Hennepin Human Services Council
Shingle Creek Watershed ( )Other
1. Name
' *Home Phone
*Email 16 Work Phone b C2 Zo I
2. *Address zip code '
-. How long have you 'lived _- the City?
.
5. Education indicate highest grade completed or highest degree and major c#urse
of study)
91GW-VI
O. What skills doyou have that you feel would benefit the City?
7. Why dDyou want toserve oDthis commission?
8. What experience do you have that you feel would be pertinent to this commission?
9. What other civic activities are you involved in?
am
1O.Have you served onany City commissions orboards iDthe bbst?(Feel free &rMach a
resume or letter if necessary
*Under the law, some information contained in this application is privath data. With your permission, this
information vViUbolisted onecommission roster. The purpose iseocommissioners, cKyofficie|s,andthe
public will beable tocontact you There innoconsequence for refusing tosupply this information. Please
turn this form over and sign the release form.
Please turn over
c*Docu°"*and omfilnuwxufs"thku=^seftgfforn,oraryInternet
=2
I
PRIVATE DATA RELEASE FORM
City of Crystal
Boards Commissions
Effective August 1, 2005 and in accordance with the Minnesota Government Data Practices Act, the
City of Crystal is required to receive your consent before releasing any information about you that is
classified as private data. Private data is information that is not available to the public.
The City may be asked to provide private information about you to the public (newspapers, civic
organizations, etc.) and to individuals who wish to contact you directly. Although this information is
available from other sources, such as the phone directory, the City is NOT allowed to disseminate
any private data about you without your permission. This release will be in effect as long as you
serve on the City board or commission and can be changed upon your request at any time.
(Please note that if you are appointed to a commission, a phone number, mailing address, and email
address will be included on a roster.)
I authorize the City of Crystal to disclose my home address, phone number, and email on a
commission roster if appointed to such commission.
Printed Name:
Signature: _
Return application to:
City of Crystal City Clerk
4141 Douglas Dr N,
Crystal, Wi 55422-1696
or fax to (763) 531-1188
C9.-P.-R-60
STATE OF MINNESOTA
PUBLIC UTILITIES COMMISSION
TzuclA DEBLBEcKEpx, ENExcx FACILM PLANNER
phone: (651) 201-2254. fax: (651) 297-7073
tricia.debleecicere@state.mn.us
121 7th Place East, Suite 350
Saint Paul, MN 55101-2147
--puc.state.mn.us
Date:'lI�
Date:
z and SelgngsyhorsethiLocel Se111ngsVemporary (ntemal
COUNCIL STAFF REPORT
CITY;& Feasibility Studv — 2009 Alley Pro ect 2009-06
CRYSTAL
I C,
FROM: Tom Mathisen, Public Works Director & City Engineer
TO: Anne Norris, City Manager (for April 7 City Council Meeting)
1ATE: April 2, 20011
RE: Consider Resolution Ordering Preparation of Feasibility Study
Since the alley reconstruction program began in 2007, the City has completed two
consecutive projects. The goal is to rebuild all the alleys in the city over a ten
year period.
The proposed 2009 project is shown on the attached location map. It is an
existing deteriorated asphalt alley located between and parallel to Fairview and
50th Avenues, and bounded by Florida and Louisiana Avenues.
The feasibility study will evaluate the cost and benefit of replacing the existing
alley with a concrete "V" section alley. Besides replacing the pavement, the
project will improve drainage, and offer a driveway reconstruction program to
interested property owners.
In order to keep the project on schedule for 2009 construction, it is necessary to
prepare the feasibility study, have a neighborhood meeting, and then have the
public hearing on the project. The neighborhood meeting is tentatively
scheduled for Thursday, April 16 at City Hall. If the Council accepts the feasibility
study at the April 21 meeting, the public hearing on the project would be
scheduled for the May 19 meeting.
It is recommended that the Council adopt the attached resolution, ordering the
preparation of the feasibility study by the Engineering Department.
Rsubmitted,
Thomas Mathisen
City Engineer/DPW
1:/pu bworks/projects/2009/Al ley Recon/alleyfeasmern
RESOLUTION NO. 2009 -
IIM
• I MA I ONIM111 I My W.11 N a Wd so U.,41
WHEREAS, in 2006 the Council adopted an Alley Reconstruction Policy and
associated long term program, and said policy includes a provision for special
assessments for a portion of the cost of the work; and
WHEREAS, the City Engineering Department is ready to prepare the feasibility
study for reconstruction of the alley between Fairview and 50t" Avenues, bounded by
Florida and Louisiana Avenues.
NOW, THEREFORE, BE IT RESOLVED that the Crystal City Council orders an
engineering feasibility study be prepared for the reconstruction of the Fairveiw-50t"
Avenue alley which includes assessment of a portion of the project cost to benefiting
properties pursuant to Minnesota Statutes, Chapter 429. The feasibility study is to
involve alley construction including removals, grading, drainage, gravel base and
concrete paving; and
FURTHER, BE IT RESOLVED, that the Crystal Engineering Department prepare
the feasibility study outlined herein under the direction of Crystal's City Engineer.
Adopted by the Crystal City Council this 7th day of April 2009.
ReNae J. Bowman, Mayor
ATTEST:
Janet Lewis, City Clerk
i:/pubworks/prqjects/2009/A1 ley Recon/alleyfeasres
CITYW
CRYSTAL
COUNCIL STAFF REPORT
Twin Oak Pond Public Hearing ct #2007-20
FROM: Tom Mathisen, Public Works Director & City Engineer
TO: Anne Norris, City Manager (for April 7 City Council Meeting)
DATE: May 29, 2008
RE: Order Public Hearing For Twin Oak Pond Project
There is a strong possibility that the City may qualify for some of the federal
government stimulus money for "green infrastructure" to be used for "shovel
ready" projects.
On December 1, 2008, the Council approved the Twin Oak Pond Project and the
funding. However, in anticipation of the federal stimulus funds becoming
available, design and construction has been delayed. Based on preliminary
evaluation, it appears that the Twin Oak Pond Project would be very competitive
in competing for stimulus funds.
There are several programs that will be applied for, each one offering various
levels of grant, loan, and matching fund combinations. The most likely program
would provide up to a 25% grant, and could include land acquisition. The full
amount used to purchase the four 4-plexes would not qualify, but most likely at
least the value of the land as it sits today should qualify.
One of the requirements for the application is that the City must conduct some
form of public hearing on the project. While the application deadline is April 6,
the MN Public Facilities Authority recognizes that the short notice makes it
difficult to meet the public hearing requirements. The Authority is requiring that
the public hearing be conducted and the record thereof be submitted as soon as
possible after the April 6 deadline.
It is recommended that the Council approve the attached hearing notice, so the
hearing can be conducted at the April 21 council meeting. Notification will be
sent to residents within a 350 foot radius from the project location, the same
distance used for planning and zoning purposes.
R
Thomas athisen
City Engineer/DPW
1:/pubworks/projects/2007/Twin0akPond/publichearingmem
� : • ' 1 n9j.
PROJECT #2007-20
5111-521156 T11 AVENUE NORTH (BASS LAKE ROAD) AND TWIN OAK PARK
NOTICE IS HEREBY GIVEN that the Crystal City Council will meet on Tuesday, April 21, 2009, at
7:00 p.m. or as soon thereafter as the matter may be heard, at Crystal City Hall, 4141 Douglas Drive
North, in said City, to consider the following:
Construction of Pond for Storm Water Quality Treatment
e Property Location: Former location of four four-plexes and north portion of Twin Oak
Park.
Type of Work: Construction of water quality pond for treatment of surface storm water
runoff prior to discharge to Upper Twin Lake.
® Description of Project: Diversion of first flush flow from Bass Lake Road storm sewer
pipe, to pond for treatment for sediment, phosphorous, and floatables removal. Includes
trail, landscaping, and wildlife habitat.
The preliminary pond design materials will be available for public review at Crystal City Hall on or
about April 13, 2009. If you have questions or would like additional information about this application,
you may visit Crystal City Hall at 4141 Douglas Drive North or contact City Engineer Tom Mathisen at
763-531-1160 or tmathisen@ci.crystal.mn.us.
Persons desiring to be heard on this matter are invited and encouraged to attend the public hearing.
Persons unable to attend may submit written comments prior to the date of the hearing to: Engineering
Department, City of Crystal, 4141 Douglas Dr N, Crystal MN 55422.
Auxiliary aids for handicap persons are available upon request at least 96 hours in advance. Please call
the City Clerk at 763-531-1000 to make arrangements. Deaf and Hard of Hearing callers should contact
the Minnesota Relay Service at 800-627-3529 V/TTY or call 711 to be connected to a TTY.
CRYSTAL CITY COUNCIL
(Notice area 350 foot radius from project location)
I:pubworks/proj ects/2007/TwinOakPond/PublicHearingnotice
AGENDA
ECONOMIC DEVELOPMENT AUTHORITY OF THE CITY OF CRYSTAL
® REGULAR MEETING 9
TUESDAY, APRIL 7, 2009
IMMEDIATELY FOLLOWING THE REGULAR CITY COUNCIL MEETING
CRYSTAL CITY HALL
COUNCIL CHAMBERS
1 Call to order
2. Roll call
3. Approval of minutes from March 17, 2009 special meeting and work session
4. Receive the 2008 Annual Report *
5. Consider the 2009 Work Program
6. Consider a marketing plan for lot sales in 2009
7. Consider acquisition of 6420 50th Avenue North for demolition *
8. Consider acquisition of 6529 50th Avenue North for demolition *
9. Consider acquisition of 5325 35th Avenue North for demolition *
10. Consider acquisition of 4633 Douglas Drive North for demolition
11. Consider a resolution authorizing the Executive Director to sign documents for four
scattered site acquisitions *
12. Consider a resolution authorizing Tax Increment Financing reimbursement for four
scattered site acquisitions
13. Other business
14. Adjournment
* Materials attached
03/31/09 G:\EDA\Agendas\2009\04-07.doc
Minutes of the
Crystal Economic Development Authority
Special Meeting
March 17, 2009
President Hoffinann called the special meeting of the Crystal Economic Development Authority
to order at 6:45 p.m.
Upon call of the roll, the following members were present: David Anderson, Garry Grimes,
Mark Hoffmann, Janet Moore and Laurie Ann Moore.
The following staff members were present: Anne Norris, Executive Director; Patrick Peters,
Community Development Director; John Sutter, City Planner/Assistant Community
Development Director; and Mike Norton, City Attorney.
Motion by Commissioner L. Moore (J. Moore) to approve the minutes from the March 3, 2009
regular meeting work session.
Motion carried.
The EDA considered approval of a Supplemental Agreement for Daniel & Sandra Clifford to
purchase and complete the house at 5717 Oregon Ct N.
Motion by Commissioner Grimes (L. Moore) to approve the Supplemental Agreement for Daniel
& Sandra Clifford to purchase and complete the house at 5717 Oregon Ct N by August 31, 2009.
Motion carried.
The EDA considered a revised house plan for 5747 Oregon Ct N.
Motion by Commissioner L. Moore (Hoffmann) to approve the revised house plan from Avery
Homes for 5747 Oregon Ct. N.
Motion carried.
The EDA directed staff to make Hennepin County aware of the available EDA -owned lots so
that the owners of houses being acquired by the county for the CSAH 81 reconstruction project
could be made aware of options for building on EDA -owned lots or, where feasible, moving
houses from the 81 corridor onto EDA -owned lots.
Motion by Commissioner Anderson (L. Moore) to adjourn the regular meeting.
Motion carried.
The meeting adjourned at 6:56 p.m.
Mark Hoffinann, President
ATTEST:
Garry Grimes, Secretary
Minutes of the
Crystal Economic Development Authority
Work Session
March 17, 2009
President Hoffmann called the work session of the Crystal Economic Development Authority to
order at 6:30 p.m.
Upon call of the roll, the following members were present: Mark Hoffmann, David Anderson,
Garry Grimes, Janet Moore and Laurie Ann Moore.
The following staff members were present: Anne Norris, Executive Director; Patrick Peters,
Community Development Director; John Sutter, Assistant Community Development
Director/City Planner; and Mike Norton, Attorney.
The EDA discussed the marketing plan for lot sales in 2009. The EDA determined that the
middle option as presented by staff was the desirable approach. The EDA also recommended that
the minimum requirements for contractors seeking to build on EDA lots should be modified to
require that they have built at least three houses in Minnesota over the past five years.
The work session adjourned at 6:45 p.m.
ATTEST:
Garry Grimes, Secretary
Marls Hoffmann, President
The Economic Development Authority of the City of Crystal ("the EDA") formulates and
implements the city's redevelopment and housing improvement programs. It operates
under the provisions of Minnesota Statutes Chapter 469, and has powers similar to a
Housing & Redevelopment Authority.
For residential property, EDA activities generally involve using voluntary acquisitions to
replace blighted, structurally substandard or functionally obsolete houses; or providing
assistance to homeowners to help them make improvements to their houses. Multi-
family and commercial/industrial redevelopment are typically accomplished in larger,
more complex projects made possible by a combination of different funding sources;
they also sometimes require participation by multiple government agencies, non-profit
organizations and businesses.
As in previous years, the EDA recommended and the Council approved an EDA levy to
provide funding for redevelopment activities.
The following is a specific category -by -category description of 2008 EDA activities:
1. Single Family Residential - Scattered Site Redevelopment
In 2008, the EDA sold one lot for new house construction, 3541 Hampshire, on
which construction of the new house is complete. The following is a summary of
program activity for the lot sold in 2008:
EXPENDITURES
AND REVENUES
Expenditures $ 96,175
Sale Proceeds $ 75,000
Net Expenditures $ 21,175
ESTIMATED CHANGE IN
PROPERTY VALUATION
assessor's value — before $ 56,000
assessor's value — after $ 350,000
increase in assessor's value $ 294,000
ESTIMATED CHANGE IN
PROPERTY TAXES
GAEDAIAnnual Reports1200"nnual Report.doc 04/03/09 Pagel of4
property taxes — before $ 773
property taxes — after $ 4,830
increase in taxes payable $ 4,057
A map (Exhibit A), a graph and list (Exhibit B), and spreadsheets (Exhibit C) are
attached showing the lot sales completed by the EDA from 1999-2008.
In years prior to 2008, the EDA acquired and demolished the following properties
which have been marketed in 2008 for sale to builders for new house
construction, but were not sold. These properties will continue to be marketed in
2009 (listed in approximate order of acquisition):
■ 4306, 4310, 4326 & 4330 Zane
■ 5527 Xenia
■ 5626 Vera Cruz
■ 5918 Idaho
■ 4604 & 4612 Hampshire
■ 540135th
■ 5657 Adair
In 2008, the EDA acquired and demolished the following properties which will be
marketed for sale to builders for new house construction in 2009 (listed in
approximate order of acquisition):
■ 5225 35 1h
■ 3533 Lee
■ 4331 Vera Cruz
■ 3457 Regent
■ 4343 Xenia
■ 5309 34 1h pl
■ 5132 34 1h pl
■ 5824 Regent
■ 3549 Regent
2. Single Family Residential - Scattered Site Acquisition and Rehabilitation
The EDA has not acquired and renovated any houses since 2002. Changes in
the housing market coupled with staff time constraints have made city -managed
rehab projects a less effective way of advancing the city's housing goals. The
city utilizes a combination of the city's regulatory tools, rehab incentives, and
other agencies' programs to encourage home renovations by individual property
owners, contractors and others in the private sector.
3. Single Family Residential - Home Improvement Incentive Rebates
In 1998, Crystal and four other communities partnered with the Greater
Metropolitan Housing Corporation (GMHC) to provide an incentive rebate for
G:IEM4nnual Repor&2008t4nnual Report.doc 04102109 Page 2 of 4
improvements to owner occupied homes. Households up to 110% of the
regional median income are eligible. Funding for this program initially came from
the Minnesota Housing Finance Agency and the Metropolitan Council. After
these outside agencies' funds were exhausted, the EDA approved the use of
local funds to keep the rebate program going in Crystal. The FDA's commitment
was for $88,000 per year in 2002 and 2003, $100,000 in 2004, and $120,000 in
2005 and subsequent years. Approximately 10% is paid to GMHC for
administration of the program.
During 2008, 101 Crystal homeowners took advantage of the rebate program for
their home improvement projects. The totals and averages for rebates approved
during calendar year 2008 are shown below:
TOTAL OF ALL
REBATES
$116,796
AVERAGE AMOUNT
PAID BY REBATE
$1,156
TOTAL PAID BY
HOMEOWNERS
$856,115
AVERAGE AMOUNT
PAID BY HOMEOWNER
$8,476
TOTAL COST OF
ALL PROJECTS
$977,218
AVERAGE
PROJECT COST
$9,633
A map of the approximate locations of these home improvement projects is
attached as Exhibit D.
4. Single Family Residential — Deferred Home Improvement Loans
Since 1982, Crystal has used part of its CDBG allocation to fund deferred home
improvement loans for lower income households. Hennepin County administers
the program for the city, as it does for nine other cities. It provides interest-free
home improvement loans for households up to 50% of regional median income.
Repayment is deferred for 15 years while the recipient still owns and occupies
the property. Households from 50% to 80% of regional median income are also
eligible but their loans carry a below-market interest rate.
The city significantly increased its annual funding for this program during 2000-
2002, and since then has maintained a relatively stable funding level of $80,000-
$90,000 each year. In addition to the annual allocation of new money, the
program also recaptures some previous loans due to the homeowner selling,
moving or refinancing with a larger mortgage.
In the twelve months ending December 31, 2008, three projects were started and
eight were completed. During this time period a total of $127,687 of CDBG
funds was spent on home improvement projects and another $60,055 was
committed to contracts for future projects. As of December 31, 2008 there were
eight properties on the waiting list.
G:IEDAL4nnual Reports12008t4nnual Report.doc 04102109 Page 3 of 4
5. Single Family Residential — Tax Increment Districts for Housing Renewal
In 2008 the city sought approval of special legislation to allow the city to use tax
increment to fund a wide range of potential home renewal programs. The adopted
special law authorizes the EDA to create a housing development account. The account
is funded by the balance of tax increments from two existing "housing replacement
districts," which are small, narrowly -focused tax increment districts created in 1995
under special legislation for Crystal and certain other cities. The 2008 law allows the
EDA to repurpose available increment from those two existing districts toward
assistance for preservation of affordable housing throughout the city. The first use of
these repurposed funds is expected in 2009.
6. Multi -Family Residential Redevelopment
No development activity in 2008.
7. Commercial and Industrial Redevelopment
No development activity in 2008.
8. Site Investigations, Research and Planning
No development activity in 2008.
9. Land Banking for Future Redevelopment
In addition to the more immediate redevelopment activities discussed in Section
1, the EDA also takes advantage of opportunities to acquire and hold property
for undetermined future uses or redevelopment. As of December 31, 2008 the
EDA is holding the following properties for undetermined future use. All of these
lots are vacant unless otherwise noted (listed in approximate order of
acquisition):
® 3240 Hampshire
3556 Major
3409 June
3122 Douglas Dr
590156th
G:IEDAIAnnual ReportsWOMnnual Reportdoc 04102109 Page 4 of 4
Lot Sales:
* 2008
* 1999-2007
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COMPILATION OF ESTIMATED COSTS & BENEFITS
CRYSTAL SINGLE FAMILY REDEVELOPMENT PROGRAM 1999-2008
TOTALS: 77 $592,242 $17,539,896
AVG. PER NEW HOUSE: $7,691 $227,791
AVG. PER YEAR: $84,606 $2,505,699
net expenditures A property value
NOT INCLUDING THORSON PROJECT
lot sale year new houses
1999 7
2000 10
2001 5
2002
2003
2004
2005
2006
2007
2008
7
9
13
2
3
3
1
TOTALS: 60
AVG. PER NEW HOUSE:
AVG. PER YEAR:
net expenditures
$169,070
$207,530
$41,205
($5,997)
$235,984
$198,152
$84,351
$70,486
($4,990)
$21,175
net
$1,016,966
$16,949
$145,281
A property value
$841,200
$1,428,200
$675,000
$1,903,000
$1,682,250
$3,302,296
$426,300
$789,650
$758,000
$294,000
$12,099,896
$201,665
$1,728,557
A property value
$232,694
$3,022
$33,242
A taxes Davable
A taxes payable
$12,273
$18,277
$9,290
$22,133
$23,102
$40,944
$5,316
$11,190
$11,040
$4,057
INCLUDING THORSON PROJECT (embedded within 2006 figures)
lot sale year new houses
net expenditures
A property value A taxes payable
1999
7
$169,070
$841,200
$12,273
2000
10
$207,530
$1,428,200
$18,277
2001
5
$41,205
$675,000
$9,290
2002
7
($5,997)
$1,903,000
$22,133
2003
9
$235,984
$1,682,250
$23,102
2004
13
$198,152
$3,302,296
$40,944
2005
2
$84,351
$426,300
$5,316
2006
20
($354,238)
$6,229,650
$86,262
2007
3
($4,990)
$758,000
$11,040
2008
1
$21,175
$294,000
$4,057
TOTALS: 77 $592,242 $17,539,896
AVG. PER NEW HOUSE: $7,691 $227,791
AVG. PER YEAR: $84,606 $2,505,699
net expenditures A property value
NOT INCLUDING THORSON PROJECT
lot sale year new houses
1999 7
2000 10
2001 5
2002
2003
2004
2005
2006
2007
2008
7
9
13
2
3
3
1
TOTALS: 60
AVG. PER NEW HOUSE:
AVG. PER YEAR:
net expenditures
$169,070
$207,530
$41,205
($5,997)
$235,984
$198,152
$84,351
$70,486
($4,990)
$21,175
net
$1,016,966
$16,949
$145,281
A property value
$841,200
$1,428,200
$675,000
$1,903,000
$1,682,250
$3,302,296
$426,300
$789,650
$758,000
$294,000
$12,099,896
$201,665
$1,728,557
A property value
$232,694
$3,022
$33,242
A taxes Davable
A taxes payable
$12,273
$18,277
$9,290
$22,133
$23,102
$40,944
$5,316
$11,190
$11,040
$4,057
$157,622
$2,627
$22,517
■
A taxes payable
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PAGE I OF 4
This work program has been developed to provide the EDA with a detailed plan for
expenditures in calendar year 2009. A spreadsheet showing the projected sources and
uses of funds for city -funded redevelopment activities is attached as Exhibit A.
SPECIFIC ACTIVITIES
1. Deferred Home Improvement Loans (administered by Hennepin County)
$83,780 planned expenditures
® 100% from federal Community Development Block Grant
This ongoing program offers no -interest loans to low income homeowners (i.e.
<50% of AMI). This funding level typically allows three projects in Crystal per
year. The loans are 100% forgiven after 15 years provided the homeowner
continues to own and occupy; if they sell or move, the loan is due and payable in
full, with recaptured funds being used to help a new borrower. The program is
administered by Hennepin County. They also offer deferred loans (albeit with a
modest interest charge) to homeowners between 50% and 80% of AMI; that
program is funded by the state and is not city -allocated, so it is not shown on this
spreadsheet. The county's administrative costs are embedded within overall
CDBG funding.
2. Home Improvement Incentive Rebates (administered by GMHC)
$220,000 planned expenditures
® $210,000 with available increment from TIF District #1
® $10,000 from the FDA's Redevelopment Fund
This ongoing program offers a rebate for homeowners who complete home
improvement projects. The program is administered by the GMHC at its
HousingResource Center -Northwest. Effective April 1, 2009, the rebate
percentages, maximum rebate and maximum eligible household income were
increased: <50% of AMI qualify for a 25% rebate (previously 15%), 50%-80% of
AMI qualify for a 20% rebate (previously 12%), and 80%-120% of AMI
(previously 80%-110%) qualify for a 15% rebate (previously 10%). The maximum
rebate is $10,000 per property per year (previously $6,000). It is funded by
available increment from TIF District #1, except for the small share of properties
that are not located within the Redevelopment Project Area; for those properties,
it is funded by the FDA's local redevelopment account. Total costs are estimated
at $220,000 ($210,000 from TIF District #1 + $10,000 from EDA local
Note: "AMI" means the Area Median Income, specifically the median income for the Twin Cities Metropolitan Area.
PAGE 2 OF 4
redevelopment funds); 92% of the total ($202,400) would be for rebates; 8%
($17,600) would be paid to GMHC for administrative costs.
3. Purchase Incentive (Deferred Loan) (administered by Hennepin County)
$100,000 planned expenditures
® 100% from federal Neighborhood Stabilization Program
This is a new program designed to create an incentive for buyers of foreclosed
houses in the neighborhoods most impacted by foreclosures. It will provide a
$10,000 interest-free deferred loan which will be forgiven if the homebuyer owns
& occupies the property for five years. Properties in the following neighborhoods
are eligible: Lee Park, Becker, Twin Oaks, Broadway, Forest, Skyway, Welcome
Park and Lions Park. Properties in Crystal's other six neighborhoods (Cavanagh
Oaks, Bassett Creek, Fair, Brownwood, Winnetka Hills and Valley Place) would
not be eligible. To qualify, the buyer's household income could not exceed 120%
of AMI. The program would be administered by Hennepin County; the
administrative costs would be embedded within overall NSP funding.
4. Purchase -Rehabilitation Incentive (Deferred Loan) (administered by GMHC)
$55,000 planned expenditures
■ 100% with available increment from Housing Replacement Districts
This is a new program designed to create an incentive for buyers of foreclosed or
vacant houses needing significant repairs, provided that the homebuyer is using
the Federal Housing Administration's "203K" purchase -rehabilitation loan
program. The EDA will provide downpayment and closing costs assistance for
3% of the purchase price up to a maximum of $5,000. The assistance will be in
the form of an interest-free deferred loan which will be forgiven if the homebuyer
owns & occupies the property for five years. The funding source will be TIF
(Housing Replacement District) and could be used for any vacant single family
house in the city. To qualify, the buyer's household income could not exceed
110% AMI if 1-2 person HH or 115% AMI if 3+ person HH. The program will be
administered by GMHC's Housing Resource Center; administrative costs will be
$500 for each grant, meaning that admin costs will be up to $5,000 if all ten
grants totaling $50,000 are awarded.
5. Scattered Site Rehabilitation of Single Family Houses
$168,000 planned expenditures
® 100% from federal Neighborhood Stabilization Program
This is a new program whereby the EDA would use federal NSP funds to
purchase a foreclosed property, rehabilitate it, and then sell it to a household at
or below 50% of AMI. The property would have to be located in one of the eight
Crystal neighborhoods most impacted by foreclosures: Lee Park, Becker, Twin
Oaks, Broadway, Forest, Skyway, Welcome Park and Lions Park. The $168,000
Note: "AMI" means the Area Median Income, specifically the median income for the Twin Cities Metropolitan Area.
PAGE 3 OF 4
project budget includes an estimated $14,000 in federal funds to be paid to the
city to compensate for EDA staff time managing the project.
6. Scattered Site Acquisition/Demolition of Single Family Houses
$1,320,000 planned expenditures
® $1,000,000 with available increment from TIF District #1
® $320,000 from federal Neighborhood Stabilization Program
This would be a continuation of the city's longstanding acquisition, demolition and
lot sale program. However, to relieve pressure on the FDA's redevelopment fund,
in 2009 the EDA will attempt to fund all of these acquisitions from other sources.
Available increment from TIF District #1 would provide $700,000 to fund the
acquisitions of 3440 Regent, 5700 Regent, 5708 Elmhurst, seven other
properties yet to be determined, and six vacant single family lots currently owned
by MnDOT along Hwy 100. When these 16 lots are subsequently sold for new
house construction, there will be no income restriction. The EDA has also been
awarded $320,000 in federal NSP funds to purchase four foreclosed properties in
the eight Crystal neighborhoods most impacted by foreclosures: Lee Park,
Becker, Twin Oaks, Broadway, Forest, Skyway, Welcome Park and Lions Park.
When these four lots are subsequently sold for new house construction, the
household income of the buyers of the new houses cannot exceed 120% of AMI.
In addition to property acquisition and demolition, the EDA will be marketing 23
lots for sale to builders for new house construction. The information sheet for
these lots is attached as Exhibit B.
7. Other Redevelopment
$365,000 planned expenditures
a $355,000 with available increment from TIF District #1
These will be acquisitions of properties other than single family houses for
undetermined future redevelopment. It is anticipated that available increment
from TIF District #1 will be used to acquire and hold three available MnDOT
properties along Trunk Highway 100 that are not guided for SF houses: the
parcel north of 36th Avenue and east of Welcome Avenue, the parcel north of
32nd Avenue directly south of the Crystal Care Center, and the parcel south of
32nd Avenue along the noise wall and adjacent regional trail.
8. Multi -Family Residential Redevelopment
no specific budget amount
During the past several years, staff has received inquiries from developers
interested in constructing multi -family housing, especially products targeted for
seniors. The areas of greatest interest include West Broadway south of Corvallis
and the general vicinity of 42nd and Douglas. However, none of these projects
ever moved forward beyond the discussion stage. It is therefore not known what
Note: "AMI" means the Area Median Income, specifically the median income for the Twin Cities Metropolitan Area.
PAGE 4 OF 4
level of EDA funding, if any, would be necessary for such development to occur.
In the event that the EDA decides to participate financially in the development of
multi -family housing, the EDA would explore a variety of funding sources
including the Redevelopment Fund balance, Tax Increment Financing, and
financing from other units of government if available.
9. Commercial and Industrial Redevelopment
no specific budget amount
As with multi -family residential development, this type of project is usually driven
by a particular site or developer proposal, and those in turn depend heavily on
regional market forces beyond the city's control. Therefore the EDA does not
have a specific budget amount for commercial or industrial redevelopment. In
the event that a viable project comes along in 2009, the EDA would explore a
variety of funding sources including the Redevelopment Fund balance, Tax
Increment Financing, and financing from other units of government if available.
Note: "AMI" means the Area Median Income, specifically the median income for the Twin Cities Metropolitan Area.
1 Deferred Home Improvement Loans. This program offers no -interest loans to low income (i.e. <50% AMI) homeowners. This funding level typically allows three projects in Crystal per year. The loans are 100% forgiven after 15 years
provided the homeowner continues to own and occupy; if they sell or move, the loan is due and payable in full, with recaptured funds being used to help a new borrower. The program is administered by Henn Co. They also offer
deferred loans (albeit with a modest interest charge) to homeowners between 50% and 80% of AMI; that program is funded by the state and is not city -allocated, so it is not shown on this spreadsheet.
2 Home Improvement Incentive Rebates. This program offers a rebate for homeowners who complete home improvement projects. The program is administered by the Housing Resource Center (GMHC). The rebate percentages,
maximum rebate and maximum eligible household income would all be increased: <50% of AMI would qualify for a 25% rebate (currently 15%), 50%-80% of AMI would qualify for a 20% rebate (currently 12%), and 80%-120% of AMI
(currently 80%-110%) would qualify for a 15% rebate (currently 10%). The maximum rebate would increase from $6,000 to $10,000 per property per year. For 2009, it would be funded by TIF District #1, except for the small share of
properties not within the Redevelopment Project Area; for those properties, it would be funded with the FDA's local redevelopment funds. Total costs are estimated at $220,000 ($210,000 from TIF District #1 + $10,000 from EDA local
redevelopment funds); 92% ($202,400) would be for rebates; 8% ($17,600) would be paid to GMHC for administrative costs.
3 Purchase Incentive (Deferred Loan). This would be a new program designed to create an incentive for buyers of foreclosed or vacant houses. It would be a $10,000 interest-free deferred loan which would be forgiven if the homebuyer
owns & occupies the property for five years. The funding source would be federal NSP funds to be used for foreclosed properties in the eight Crystal neighborhoods most impacted by foreclosures: Lee Park, Becker, Twin Oaks,
Broadway, Forest, Skyway, Welcome Park and Lions Park. Properties in Crystal's other six neighborhoods (Cavanagh Oaks, Bassett Creek, Fair, Brownwood, Winnetka Hills and Valley Place) would not be eligible. To qualify, the
buyer's household income could not exceed 120% AMI. The program would be administered by Hennepin County.
4 Purchase -Rehab Incentive (Deferred Loan). This would be a new program designed to create an incentive for buyers of foreclosed or vacant houses needing significant repairs, provided that the homebuyer is using a pre -approved
purchase -rehabilitation loan program such as FHA 203K. It would provide downpayment and closing costs assistance for 3% of the purchase price up to a maximum of $5,000. The assistance would be in the form of an interest-free
deferred loan which would be forgiven if the homebuyer owns & occupies the property for five years. The funding source would be TIF (Housing Replacement District) to be used anywhere in Crystal. To qualify, the buyer's household
income could not exceed 110% AMI if 1-2 person HH or 115% AMI if 3+ person HH. The program would be administered by GMHC's Housing Resource Center; admin cost would be $500 for each grant, meaning that admin costs
would be up to $5,000 if all ten grants totaling $50,000 are awarded.
5 Scattered Site SF Rehabilitation. This would be completely funded by the new federal NSP program. The EDA would purchase a foreclosed property, rehab it, then re -sell it. The property would have to be located in one of the eight
Crystal neighborhoods most impacted by foreclosures: Lee Park, Becker, Twin Oaks, Broadway, Forest, Skyway, Welcome Park and Lions Park. The $168,000 includes an estimated $14,000 in federal funds to be paid to the city to
compensate for EDA staff time managing the project. The completed house would have to be sold to a household at or below 50% AMI.
6 Scattered Site SF Redevelopment. This would be a continuation of the city's longstanding acquisition, demolition and lot sale program. However, to relieve pressure on the EDA's redevelopment fund, in 2009 will be sought from other
sources. TIF (District #1) would provide $1,000,000 to fund the acquisitions of 3440 Regent, 5700 Regent & 5708 Elmhurst, seven other properties yet to be determined, and six vacant SF lots currently owned by MnDOT along Hwy
100. When sold, the new houses would have no income restriction. The EDA will also have $320,000 in federal NSP funds to buy and demolish four foreclosed properties in the eight Crystal neighborhoods most impacted by
foreclosures: Lee Park, Becker, Twin Oaks, Broadway, Forest, Skyway, Welcome Park and Lions Park; when sold, the new houses' buyers' household income could not exceed 120% AMI.
7 Other Redevelopment. These would be acquisitions of properties other than single family houses. TIF District #1 funds will be used to reimburse the EDA for its 2008 acquisition and demolition of the 4-plex at 5901 56th. In 2009, it is
anticipated that the EDA will use TIF District #1 funds to acquire and hold three available MnDOT properties along Hwy 100 that are not guided for SF houses: north of 36th east of Welcome, north of 32nd by Crystal Care Center, and
south of 32nd along the noise wall and regional trail.
GAEDAIWork Program120091EXHIBIT A.xls
LOCAL
LOCAL (TIF)
LOCAL (TIF)
FEDERAL
FEDERAL
ALL SOURCES
PROGRAM
REDEVEL FUND
TIF DISTRICT #1
HSG REPL DIST
CDBG
NSP
COMBINED
TITLE
2008 2009
2008 2009
2008 2009
2008 2009
2008
2009
2008
2009
1
Deferred Home Improvement Loans
$0
$0
$0 $0
$0
$0
$84,605 $83,780
$0
$0
$84,605
$83,780
2
Home Improvement Incentive Rebate
$120,000 $10,000
$0 $210,000
$0
$0
$0
$0
$0
$0
$120,000
$220,000
3
Purchase Incentive (Def. Loan)
$0
$0
$0 $0
$0
$0
$0
$0
$0
$100,000
$0
$100,000
4
Purchase -Rehab Incentive (Def. Loan)
$0
$0
$0 $0
$0 $55,000
$0
$0
$0
$0
$0
$55,000
5
Scattered Site SF Rehabilitation
$0
$0
$0 $0
$0
$0
$0
$0
$0
$168,000
$0
$168,000
6
Scattered Site SF Redevelopment
$250,000
$0
$0 $1,000,000
$0
$0
$0
$0
$0
$320,000
$250,000
$1,320,000
7
Other Redevelopment (non -SF)
$0
$0
$300,000 $355,000
$0
$0
$0
$0
$0
$0
$300,000
$355,000
$370,000 $10,000
$300,000 $1,565,000
$0 $55,000
$84,605 $83,780
N0
$588,000
$754,605
$2,301,780
2008 2009
2008 2009
2008 2009
2008 2009
2008
2009
2008
2009
TOTAL TOTAL
TOTAL TOTAL
TOTAL TOTAL
TOTAL TOTAL
TOTAL
TOTAL
TOTAL
TOTAL
REDEVEL FUND
TIF DISTRICT #1
HSG REPL DIST
CDBG
NSP
ALL SOURCES
LOCAL
LOCAL (TIF)
LOCAL (TIF)
FEDERAL
FEDERAL
COMBINED
1 Deferred Home Improvement Loans. This program offers no -interest loans to low income (i.e. <50% AMI) homeowners. This funding level typically allows three projects in Crystal per year. The loans are 100% forgiven after 15 years
provided the homeowner continues to own and occupy; if they sell or move, the loan is due and payable in full, with recaptured funds being used to help a new borrower. The program is administered by Henn Co. They also offer
deferred loans (albeit with a modest interest charge) to homeowners between 50% and 80% of AMI; that program is funded by the state and is not city -allocated, so it is not shown on this spreadsheet.
2 Home Improvement Incentive Rebates. This program offers a rebate for homeowners who complete home improvement projects. The program is administered by the Housing Resource Center (GMHC). The rebate percentages,
maximum rebate and maximum eligible household income would all be increased: <50% of AMI would qualify for a 25% rebate (currently 15%), 50%-80% of AMI would qualify for a 20% rebate (currently 12%), and 80%-120% of AMI
(currently 80%-110%) would qualify for a 15% rebate (currently 10%). The maximum rebate would increase from $6,000 to $10,000 per property per year. For 2009, it would be funded by TIF District #1, except for the small share of
properties not within the Redevelopment Project Area; for those properties, it would be funded with the FDA's local redevelopment funds. Total costs are estimated at $220,000 ($210,000 from TIF District #1 + $10,000 from EDA local
redevelopment funds); 92% ($202,400) would be for rebates; 8% ($17,600) would be paid to GMHC for administrative costs.
3 Purchase Incentive (Deferred Loan). This would be a new program designed to create an incentive for buyers of foreclosed or vacant houses. It would be a $10,000 interest-free deferred loan which would be forgiven if the homebuyer
owns & occupies the property for five years. The funding source would be federal NSP funds to be used for foreclosed properties in the eight Crystal neighborhoods most impacted by foreclosures: Lee Park, Becker, Twin Oaks,
Broadway, Forest, Skyway, Welcome Park and Lions Park. Properties in Crystal's other six neighborhoods (Cavanagh Oaks, Bassett Creek, Fair, Brownwood, Winnetka Hills and Valley Place) would not be eligible. To qualify, the
buyer's household income could not exceed 120% AMI. The program would be administered by Hennepin County.
4 Purchase -Rehab Incentive (Deferred Loan). This would be a new program designed to create an incentive for buyers of foreclosed or vacant houses needing significant repairs, provided that the homebuyer is using a pre -approved
purchase -rehabilitation loan program such as FHA 203K. It would provide downpayment and closing costs assistance for 3% of the purchase price up to a maximum of $5,000. The assistance would be in the form of an interest-free
deferred loan which would be forgiven if the homebuyer owns & occupies the property for five years. The funding source would be TIF (Housing Replacement District) to be used anywhere in Crystal. To qualify, the buyer's household
income could not exceed 110% AMI if 1-2 person HH or 115% AMI if 3+ person HH. The program would be administered by GMHC's Housing Resource Center; admin cost would be $500 for each grant, meaning that admin costs
would be up to $5,000 if all ten grants totaling $50,000 are awarded.
5 Scattered Site SF Rehabilitation. This would be completely funded by the new federal NSP program. The EDA would purchase a foreclosed property, rehab it, then re -sell it. The property would have to be located in one of the eight
Crystal neighborhoods most impacted by foreclosures: Lee Park, Becker, Twin Oaks, Broadway, Forest, Skyway, Welcome Park and Lions Park. The $168,000 includes an estimated $14,000 in federal funds to be paid to the city to
compensate for EDA staff time managing the project. The completed house would have to be sold to a household at or below 50% AMI.
6 Scattered Site SF Redevelopment. This would be a continuation of the city's longstanding acquisition, demolition and lot sale program. However, to relieve pressure on the EDA's redevelopment fund, in 2009 will be sought from other
sources. TIF (District #1) would provide $1,000,000 to fund the acquisitions of 3440 Regent, 5700 Regent & 5708 Elmhurst, seven other properties yet to be determined, and six vacant SF lots currently owned by MnDOT along Hwy
100. When sold, the new houses would have no income restriction. The EDA will also have $320,000 in federal NSP funds to buy and demolish four foreclosed properties in the eight Crystal neighborhoods most impacted by
foreclosures: Lee Park, Becker, Twin Oaks, Broadway, Forest, Skyway, Welcome Park and Lions Park; when sold, the new houses' buyers' household income could not exceed 120% AMI.
7 Other Redevelopment. These would be acquisitions of properties other than single family houses. TIF District #1 funds will be used to reimburse the EDA for its 2008 acquisition and demolition of the 4-plex at 5901 56th. In 2009, it is
anticipated that the EDA will use TIF District #1 funds to acquire and hold three available MnDOT properties along Hwy 100 that are not guided for SF houses: north of 36th east of Welcome, north of 32nd by Crystal Care Center, and
south of 32nd along the noise wall and regional trail.
GAEDAIWork Program120091EXHIBIT A.xls
PAGE I OF 3
The EDA is seeking proposals 1 from builders 2 to purchase the following lots 3 for construction of new single
family houses 4. Please indicate which lots interest you fill in the information at the bottom of page 2, and mail,
fax or email this notice back to its We will send you a detailed Request for Proposal ("RFP") packet for the
lots you indicate.
PROPERTY DIMENSIONS (approx.) LOT WOULD YOU LIKE AN
ADDRESS width x depth sq. ft. PRICE 5 RFP PACKET FOR...
5401 35th Ave N 6 75 x 134 10,026 $25,000 540135""?
5918 Idaho Ave N
5708 Elmhurst Ave N 3
3533 Lee Ave N
5657 Adair Ave N
5626 Vera Cruz Ave N
5700 Regent Ave N 3
5527 Xenia Ave N
4343 Xenia Ave N 3
4330 Zane Ave N 7,8
4326 Zane Ave N 7,8
60
x 133
7,980
80
x 160
12,800
40
x 128
5,120
74
x 134
9,916
66
x 135
8,910
75
x 135
10,125
66 x 135 8,910
50 x 216 10,800
45 x 216 9,720
45 x 216 9,720
$45,000
$45,000
$45,000
$50,000
$50,000
$50,000
$50,000
$50,000
$50,000
$50,000
Yes
No
5918Idaho?
Yes
No
5708 Elmhurst?
Yes
No
3533 Lee?
Yes
No
5657 Adair?
Yes
No
5626 Vera Cruz?
Yes
No
5700 Regent?
Yes
No
5527 Xenia?
Yes
No
4343 Xenia?
Yes
No
4330 Zane?
Yes
No
4326 Zane?
Yes
No
0
PAGE 2 OF 3
PROPERTY
DIMENSIONS (approx.)
LOT
WOULD YOULIICEAN
ADDRESS
width x depth
sq. ft.
PRICE 5
RFP PACKET FOR...
4310 Zane Ave N 7,8
45 x 216
9,720
$50,000
4310 Zane?
fax: 763.531.1188
Telephone
celfelt(&ci.crystal.mn.us
Fax
Yes No
4306 Zane Ave N 7,8
45 x 216
9,720
$50,000
4306 Zane?
Yes No
5824 Regent Ave N 3
75 x 135
10,125
$55,000
5824 Regent?
Yes No
4331 Vera Cruz Ave N 3,8
45 x 209
9,405
$55,000
4331 Vera Cruz?
Yes No
3457 Regent Ave N 9
80 x 146
11,680
$55,000
3457 Regent?
Yes No
3440 Regent Ave N 3
75 x 139
10,425
$55,000
3440 Regent?
Yes No
5225 35th Ave N
75 x 133
9,975
$55,000
5225 35th?
Yes No
5132 34th P1 N 3
[irregular]
10,000
$55,000
5132 34" Pl?
Yes No
5309 34th PI N 3
75 x 133
9,975
$60,000
530934 1h Pl?
Yes No
4612 Hampshire Ave N 7
70 x 123
8,581
$60,000
4612 Hampshire?
Yes No
4604 Hampshire Ave N 7
80 x 123
9,807
$60,000
4604 Hampshire?
Yes No
AFTER SELECTING THE RFP PACICETS YOU WANT, COMPLETE THE FOLLOWING: I ...AND MAIL
FAX OR EMAIL
Name
THIS FORM TO:
Corinne Elfelt
Mailing Address
Crystal EDA
4141 Douglas Dr N
Crystal MN 55422
City
State ZIP
fax: 763.531.1188
Telephone
celfelt(&ci.crystal.mn.us
Fax
Thank you for your
Email
interest in EDA lots!
PAGE 3 OF 3
NOTES
1 The EDA considers proposals for its lots on a 'first-come, first-served" basis. This means that the first
proposal offering to buy the lot at the set price and build a house meeting our guidelines will be presented
to the EDA for their consideration. The EDA retains absolute discretion to decide whether to accept any
particular proposal.
2 Proposals will only be considered from state -licensed builders who have built at least three houses in
Minnesota in the last five years. The houses on EDA lots may be built speculatively orfor a specific buyer.
If you would be the house buyer, then your builder must submit the proposal; and if selected, then your
builder would be responsible for purchasing the lot from the EDA and building the house.
3 Some of the existing houses may not have been demolished yet, but will be no later than August 2009.
4 The general requirement for new houses is that they have at least three bedrooms, two bathrooms, and a
two -car garage (attached or detached, depending on the site). On a case-by-case basis, the EDA may also
consider the sale of a lot to provide a new location for an existing house currently located in Crystal. The
moved house would have to meet the general requirements described above, be brought up to current codes,
and have a final value and long-term viability comparable to a new house.
5 Lot prices are firm and non-negotiable.
6 The price of this lot has been discounted because it has soils unsuitable for construction to a depth of
approximately 12 feet. The purchase of the lot would be contingent upon builder conducting soil testing,
determining the best solutionfor the soils, and deciding whether they will proceed with the lot purchase.
This lot is adjacent to another EDA lot but both lots shall remain separate lots for construction of a single
family house on each lot. The EDA will not consider proposals to combine the lots and/or build a duplex.
8 The city will be reconstructing the street in 2009. The special assessment will be paid in full by the EDA
prior to lot sale.
9 The current address of 3457 Regent would continue to be used if the new house will face Regent. However,
the new house may face 35`h; if so, its address would be 510135 Ih.
AMW 15
AEVC
ICITY-f
y
CRYSTAL
F� LLI�
FROM: John Sutter, City Plan ner/Assistant Community Development Director
M
DEPARTMENT HEAD REVIEW: Patrick Peters, Community Development Director
DATE: March 30, 2009
TO: Anne Norris, City Manager (for April 7, 2009 EDA meeting)
SUBJECT: Consider a marketing plan for lot sales in 2009
A. BACKGROUND
The EDA has for decades operated a market-driven scattered site redevelopment
program. We typically purchase blighted, structurally substandard or functionally
obsolete houses from willing sellers, demolish them, and sell the resulting vacant lots to
builders for construction of new single family houses. The objectives of the program are
to remove current or likely future problem properties, to create move -up housing
opportunities to balance the city's overwhelmingly "starter home" stock, and to increase
the local tax base over the long term.
From 1999 to summer 2007, the EDA used a deadline -based competitive process to
select builders to purchase its lots for new house construction. Lot prices were based
on the level of competition for each lot, and in most cases the EDA ended up selling its
lots for more than our "target" (i.e. expected) price. This process made sense as long as
the market for new houses was strong and multiple builders were submitting proposals
for EDA lots.
In summer 2007, as demand for lots slowed dramatically, the EDA changed to a "first
come first served" process whereby the EDA would establish a fixed lot price. This
means that the first builder to submit a proposal to buy the lot at the FDA's price and
build a house meeting the FDA's guidelines would be considered by the EDA. The
advantage of this approach is that the builder can find a buyer for the new house and
then submit a proposal, thus eliminating the need for a builder to make a speculative
proposal in order to compete with other builders. The disadvantage is that the EDA
must set a fixed lot price rather than letting it be determined by the market via
competing builders' proposals. Using this new process the EDA sold one lot in 2008:
3541 Hampshire, which Taylor Made Homes purchased for $75,000 in September.
PAGE 1 OF 4
As you are surely aware, within the past year, market conditions have weakened
dramatically. If the EDA wants to sell more lots than it sold in 2008, then we would need
to reduce our lot prices to reflect the residential real estate market, which has been
declining since mid 2007.
The following Exhibits are attached:
A. 2008 Notice of Lot Availability (currently in use)
B. Spreadsheet showing three lot price scenarios
C. Proposed 2009 Notice of Lot Availability
B. LOTS FOR SALE
The following 23 EDA lots are either ready to be sold or will be ready within the next six
months. Listed approximately from north to south, the lots are as follows:
® 5918 Idaho 2
* 5708 Elmhurst 3
5657 Adair 2
5626 Vera Cruz 2
5824 Regent 3
5700 Regent 3
5527 Xenia'
0 4612 Hampshire 2
M 4604 Hampshire 2
N 4330 Zane
® 4326 Zane
® 4310 Zane
® 4306 Zane '
® 4343 Xenia 3
® 4331 Vera Cruz 3
® 3533 Lee 3
M 3549 Regent 3
® 3457 Regent 3
0 3440 Regent 3
0 5401 35'1 2
M
5225 35 1h 3
® 5309 34th p, 3
® 5132 34th p, 3
'Lots we have been marketing since spring 2007: 5
2 Lots we have been marketing since spring 2008: 6
3 Lots that would be marketed for the first time in 2009: 12
C. PRICING SCENARIOS
Staff has prepared three different pricing scenarios shown on the spreadsheet attached
as Exhibit B:
PAGE 2 OF 4
A Lower Price Scenario which roughly corresponds to lot sale prices in 2001. It is
also consistent with actual sale prices of three lots in Thorson Addition which were
sold by the foreclosing lenders within the past few months. Because lenders are
generally desperate to get foreclosed properties off their balance sheets, and thus
more likely to accept a "fire sale" price, this scenario should be the lowest option for
the EDA to consider. We estimate that the average length of time to sell the 23 lots
would be 2 years.
A Midrange Scenario which roughly corresponds to lot sale prices in 2003. We
estimate that the average length of time to sell the 23 lots would be 3 years.
• A Higher Price Scenario which roughly corresponds to lot sale prices in 2005. For
those 11 lots we started marketing in 2008, it represents little or no price reduction.
We estimate that the average length of time to sell the 23 lots would be 5 years.
At the work session on March 17, 2009, there appeared to be a consensus among the
EDA members for the Midrange Scenario. The Lower Price Scenario would try to
compete with desperate lenders who generally need to sell quickly; but the EDA does
not, because its goals are much longer-term than the lenders'. The Higher Price
Scenario would miss out on the near-term opportunity for homebuyers created by
historically low interest rates which, given decades of accumulated federal government
debt and (hopefully) a growing economy in 2-3 years, probably won't be around forever.
The Midrange Scenario offers the best chance to hit whatever "sweet spot" may occur
in demand for new house construction, while still keeping the average net expenditures
per lot at a level consistent with the EDA's $40,000 target.
D. OTHER CHANGES
Also during the work session, the EDA members seemed to support the following
changes to the guidelines:
• The three pairs of lots (4330 & 4326 Zane, 4310 & 4306 Zane and 4604 & 4612
Hampshire) would now be available for sale separately. In the current market,
builders might be able to get one house pre -sold, or even be comfortable building
one house speculatively, but would view taking on two lots in this risky environment
as a non-starter.
• Builders would now need to have built three houses within the past five years
instead of the past three years. This would better reflect the dramatic slowdown in
new house construction during the past two years, during which otherwise highly
qualified and competent builders may not have built any houses due to oversupply
in the market.
Staff does not recommend changing the typical new house specifications (i.e. minimum
number of bedrooms, bathrooms, basement required, etc.) If at any time the EDA is
dissatisfied with the pace of lot sales, it may direct staff to reconsider the matter and
bring it back to the EDA. Other changes that the EDA could consider include relaxing
the specifications for the new houses, allowing the sale of lots to non -builders, or
partnering with a non-profit to use the lots to build new affordable housing instead of
PAGE 3OF4
market -rate housing. All of these would create complications and/or be inconsistent with
the purpose of the program.
Staff would continue to promote the lots as we have in the past, meaning we would put
the information in the city newsletter and on the city website, place "For Sale" signs on
each lot, and do a direct mailing to the approximately 200 interested parties on our EDA
lot mailing list.
E. REQUESTED ACTION
EDA approval of the Midrange Scenario for lot prices and the guideline changes
described in Section D is requested. The proposed Notice of Lot Availability
implementing this action is attached.
PAGE 4 OF 4
From: Economic Development Authority of the City of Crystal ("EDA")
Date: June 16, 2008
OUL)JeCL: MJI'k IOLS available for construction of new single family houses
The EDA is seeking proposals from buildersi to purchase the following lots2 for construction of new single
family houses. Below, please indicate which lots interest you and mail, fax or email this sheet back to us. We
will send you Request for Proposals ("R.171P" )packets for any lots you've indicated.
PROPERTY
ADDRESS
5918 Idaho Ave N
5657 Adair Ave N
5626 Vera Cruz Ave N
5527 Xenia Ave N 4
4612 Hampshire Ave N
4604 Hampshire Ave N
4330 Zane Ave N
4326 Zane Ave N
DIMENSIONS (approx.) LOT
width x depth sq. ft. PRICE 3
WOULD FOULIKEAN
RFP PACKET FOR..
60 x 133
8,004
$60,000
5918 Idaho?
Yes
No
74
x 134
9,949
$65,000
5657 Adair?
Yes
No
66
x 135
8,938
$65,000
5626 Vera Cruz?
Yes
No
66
x 135
8,938
$65,000
5527 Xenia?
Yes
No
70
x 123
8,581
$140,000 5"
4604 & 4612
Hampshire?
80
x 123
9,807
for both lots
Yes
No
45
x 217
9,765
$120,000 6"
4326 & 4330
Zane?
45
x 217
9,765
for both lots
Yes
No
4310 Zane Ave N 45 x 217 9,765 $120,000 6''
4306 Zane Ave N 45 x 217 9,765 for both lots
V0 0 * a 0 0 0 0 Q 0 0 V * 0 0 0 a 0 0 0 0 0 0 0 0 r, 0 0 0 0 0 0 a 0 0 0 a 0 0 0 0 0 a 0 0 0 0 0 0 0 * 0 0 0 a 0 0 0 0 00
q � —
P&3 Ave 4 l6j�2'OUV75,000
O
3541 -2 0 L 130,
0) L B9 x 1 N,
...........
5401 35th Ave N 75 x 134 10,026 $40,000 8
'Please see the notes on the reverse side of this sheet
AFTER SELECTING THE RFP PACKETS YOU WANT COMPLETE THE FOLLOWING:
Name
Mailing Address
City State ZIP
Telephone Fax
Email
4306 & 4310 Zane?
Yes No
540135"9
Yes No
...AND MAIL, FAX OR
EMAIL THIS FORM TO:
Corinne Elfelt
Crystal EDA
4141 Douglas Dr N
Crystal MN 55422
fax: 763.531.1188
celfelt(aki.crystal.mn.us
EL
NOTES
I Proposals will only be considered from state -licensed builders who have built at least three houses in
Minnesota in the last three years. The houses on EDA lots may be built speculatively or for a specific
buyer. If you would be the house buyer, then you must have a builder submit the proposal; and if that
proposal is selected, then your builder would be responsible for completing the house.
2 Some of the existing houses may not have been demolished yet, but will be no later than April 2008.
3 The EDA considers proposals for its lots on a 'first-come, first-served" basis. This means that the first
proposal offering to buy the lot at our price and build a house meeting our guidelines will be presented to
the EDA for their consideration. The EDA retains absolute discretion to decide whether to accept any
particular proposal.
4 The EDA is in the process of cancelling a 2007 Purchase and Redevelopment Agreement with a
nonresponsive builder. Therefore this lot will not be available until the cancellation process is complete
(mid-April 2008).
5 The EDA is in the process of replatting 6622 4e into two lots to be addressed as 4604 & 4612 Hampshire.
The plat is scheduled for Planning Commission and City Council consideration in March 2008.
6 These lots are being sold as a pair to a single builder, but they are to remain separate lots for construction
of a single family house on each lot. The EDA will not consider proposals to combine the lots and build a
duplex.
7 The city reconstructed the alley with concrete in fall 2007, and the EDA has paid the alley assessment. The
city is scheduled to reconstruct the street in 2009, which would result in an assessment of approximately
$5,500. That assessment would become pending in fall 2008. The EDA will not pay the street assessment.
8 This lot will require soil correction and the lot price has been discounted for that reason.
LIST OF LOTS BY PRICE LEVEL
"Price Level #1" ($35,000 low scenario $45,000 -mid scenario $55,000 high scenario
5918 Idaho
5708 Elmhurst
3533 Lee
"Price Levet #2" ($40,000
low scenario
$50,000 mid scenario, $60,000 high scenario)
5657 Adair
5626 Vera Cruz
5700 Regent
5527 Xenia
4343 Xenia
4330 Zane
4326 Zane
4310 Zane
4306 Zane
3549 Regent
5401 35th *
"Price Level #3" ($45,000
low scenario
$55,000 mid scenario $65,000
high scenario)
5824 Regent
4331 Vera Cruz
3457 Regent
3440 Regent
5225 35th
5132 34th PI
"Price Level #4" ($50,000
low scenario
$60,000 mid scenario $70,000
high scenario)
4612 Hampshire
4604 Hampshire
5309 34th PI
5401 35th needs approx.
$25,000 in soil correction. Price
level minus $25, 000 yields the
estimated lot price.
G:RedevelopmentlResidential-single family lotslpurchased and soldlRFPs12009-0112009.03.17 lot price scenario comparoxis 411/2009
PAGE I OF 3
The EDA is seeking proposals I fiom builders 2 to purchase the following lots 3 for construction of new single
family houses 4. Please indicate which lots interest you, fill in the information at the bottom of page 2, and mail
fax or email this notice back to us. We will send you a detailed Request for Proposal "RFP") packet for the
lots you indicate.
PROPERTY
DIMENSIONS (approx)
LOT
WOULD YOULIICEAN
ADDRESS
width x depth
sq. ft.
PRICE $
RFP PACICET FOR...
5401 35th Ave N 6
75 x 134
10,026
$25,000
540135"9
Yes
No
5918 Idaho Ave N
60 x 133
7,980
$45,000
5918 Idaho?
Yes
No
5708 Elmhurst Ave N 3
80 x 160
12,800
$45,000
5708 Elmhurst?
Yes
No
3533 Lee Ave N
40 x 128
5,120
$45,000
3533 Lee?
Yes
No
5657 Adair Ave N
74 x 134
9,916
$50,000
5657 Adair?
Yes
No
5626 Vera Cruz Ave N
66 x 135
8,910
$50,000
5626 Vera Cruz?
Yes
No
5700 Regent Ave N 3
75 x 135
10,125
$50,000
5700 Regent?
Yes
No
5527 Xenia Ave N
66 x 135
8,910
$50,000
5527 Xenia?
Yes
No
4343 Xenia Ave N 3
50 x 216
10,800
$50,000
4343 Xenia?
Yes
No
4330 Zane Ave N 7,8
45 x 216
9,720
$50,000
4330 Zane?
Yes
No
4326 Zane Ave N 7,8
45 x 216
9,720
$50,000
4326 Zane?
Yes
No
�i
PROPERTY
ADDRESS
4310 Zane Ave N 7,8
DIMENSIONS (approx.)
width x depth sq.ft
45 x 216 9,720
4306 Zane Ave N 7,8 45 x 216 9,720
5824 Regent Ave N 3 75 x 135 10,125
4331 Vera Cruz Ave N 3,8 45 x 209 9,405
3457 Regent Ave N 9 80 x 146 11,680
3440 Regent Ave N 3
5225 35th Ave N
513234"PlN3
5309 34"' Pl N 3
75 x 139 10,425
75 x 133 9,975
[irregular] 10,000
75 x 133 9,975
4612 Hampshire Ave N 7 70 x 123
4604 Hampshire Ave N 7 80 x 123
8,581
PAGE 2 OF 3
LOT
WOULD YOULIKEAN
PRICE 5
RFP PACKET FOR...
$50,000
4310 Zane?
Corinne Elfelt
Yes
No
$50,000
4306 Zane?
Crystal MN 55422
Yes
No
$55,000
5824 Regent?
celfeltpci.crystal.mn.us
Yes
No
$55,000
4331 Vera Cruz?
Email
Yes
No
$55,000
3457 Regent?
Yes
No
$55,000
3440 Regent?
Yes
No
$55,000
5225351h.
Yes
No
$55,000
5132 34"' Pl?
Yes
No
$60,000
5309 34"' Pl?
Yes
No
$60,000
4612 Hampshire?
Yes
No
$60,000
4604 Hampshire?
Yes
No
AFTER SELECTING THE RFP PACKETS YOU WANT, COMPLETE THE FOLLOWING. I ...AND MAIL
FAX OR EMAIL
THIS FORM TO:
Name
Corinne Elfelt
Mailing Address
Crystal EDA
4141 Douglas Dr N
Crystal MN 55422
City
State ZIP
fax: 763.531.1188
celfeltpci.crystal.mn.us
Telephone
Fax
Thank you for your
Email
interest in EDA lots!
PAGE 3 OF 3
NOTES
1 The EDA considers proposals for its lots on a "first-come, first-served" basis. This means that the first
proposal offering to buy the lot at the setprice and build a house meeting our guidelines will be presented
to the EDA for their consideration. The EDA retains absolute discretion to decide whether to accept any
particular proposal.
2 Proposals will only be considered from state -licensed builders who have built at least three houses in
Minnesota in the last five years. The houses on EDA lots may be built speculatively or for a specific buyer.
If you would be the house buyer, then your builder must submit the proposal; and if selected, then your
builder would be responsible for purchasing the lot from the EDA and building the house.
3 Some of the existing houses may not have been demolished yet, but will be no later than August 2009.
4 The general requirement for new houses is that they have at least three bedrooms, two bathrooms, and a
two -car garage (attached or detached, depending on the site). On a case-by-case basis, the EDA may also
consider the sale of a lot to provide a new location for an existing house currently located in Crystal. The
moved house would have to meet the general requirements described above, be brought up to current codes,
and have a final value and long-term viability comparable to a new house.
5 Lot prices are firm and non-negotiable.
6 The price of this lot has been discounted because it has soils unsuitable for construction to a depth of
approximately 12 feet. The purchase of the lot would be contingent upon builder conducting soil testing,
determining the best solution for the soils, and deciding whether they will proceed with the lot purchase.
7 This lot is adjacent to another EDA lot but both lots shall remain separate lots for construction of a single
family house on each lot. The EDA will not consider proposals to combine the lots andlor build a duplex.
8 The city will be reconstructing the street in 2009. The special assessment will be paid in full by the EDA
prior to lot sale.
9 The current address of 3457 Regent would continue to be used if the new house will face Regent. However,
`r'
the new house may face 35`r'; if so, its address would be 510135
EDA STAFF REPORT
6
501h
STAL 420
FROM: John Sutter, City Plan ner/Assistant Community Development Director
DEPARTMENT HEAD REVIEW: Patrick Peters, Community Development Director
DATE: March 31, 2009
TO: Anne Norris, City Manager (for April 7, 2009 EDA meeting)
RE: Consider acquisition of 6420 50th Avenue North
F11 0 0 0 _W(C] :1@1 J]►111
The EDA has a scattered site redevelopment program to voluntarily acquire and
demolish substandard houses and help the city achieve its housing goals. The
subject property, 6420 50th Avenue North, has been foreclosed and is currently
listed for sale by the bank for $40,000. The January 2008 Estimated Market
Value according to the Hennepin County Assessor is $182,000.
Because the best outcome for this property is demolition and lot sale for new
house construction, and the seller has priced it to sell quickly, on March 27, 2009
staff made an offer to purchase the property at the list price, contingent on EDA
approval. The seller has received multiple offers on the property and has
countered back to us at $43,000 before considering the other offers. $43,000 is
what the property would have sold for 30 years ago.
The following Exhibits are attached:
A. Photos of the property
B. 2006 overhead aerial photos
C. Hennepin County property information
D. Real estate listing
E. Estimated budget
B. STAFF COMMENTS
The subject property is 100 feet wide and 135 feet deep, with an area of 13,479
sq. ft. (0.31 acres). It meets current zoning requirements for width, depth and
area.
PAGE 1 OF 2
The house is 936 sq. ft. plus a small breezeway and an attached two car garage.
It has a basement with a strange layout and no egress windows. The wall
between the attached garage and breezeway indicates that the two structures
are shifting relative to one another, and a support beam has been compromised
by cutting to accommodate a garage door opener. The house has significant
mold damage throughout.
Had this house been well-maintained it would not be a good candidate for
demolition. However, due to the presence of mold throughout the house, an odd
basement layout, structural issues with the attached garage and breezeway, a
large, nicely -proportioned lot, and the relatively low price of $43,000, staff
strongly recommends acquisition of this property for demolition and lot sale for
construction of a new single family house.
If the EDA does authorize this acquisition, we would expect to close the
acquisition in April 2009 and demolish the house by fall 2009. We would begin
marketing the lot for new house construction in 2010. The estimated lot sale
price is $60,000. The estimated net expenditure after the lot is sold would be
approximately $3,000.
C. REQUESTED ACTION
If the EDA wishes to acquire this property, it will need to approve a motion
authorizing the purchase of the subject property for $43,000 and authorizing the
Executive Director to execute documents necessary to complete the purchase.
EDA action is requested.
PAGE 2 OF 2
I�
printdetails.jsp Page I of 2
Property ID:
08-118-21-14-0092
Address:
6420 50TH AVE N
Municipality:
CRYSTAL
School Dist:
281 Construction year: 1952
Watershed:
8 Approx. Parcel Size: 100 X 134.79
Sewer Dist:
Owner Name:
FEDERAL HOME LOAN MTG CORP
Taxpayer Name
FEDERAL HOME LOAN MTG CORP
& Address:
333 W WACKER #3100
CHICAGO IL 60606-1287
Most Current Sales Information
Sales prices are reported as listed on the Certificate of Real Estate Value and are not warranted to represe
arms -length transactions.
Sale Date: October, 2003
Sale Price: $174,900
Transaction Type: Warranty Deed
Addition Name:
Lot:
Block:
Metes & Bounds:
Abstract or Torrens:
RUSS 2ND ADDN TO CRYSTAL VILLAGE
022
E 1/2
Value and Tax Summary for Taxes Payable 2009
Values Established by Assessor as of January 2, 2008
Estimated Market Value: $182,000
Limited Market Value: $182,000
Taxable Market Value: $182,000
Total Improvement Amount:
Total Net Tax: $2,538.29
Total Special Assessments: $118.87
Solid Waste Fee: $19.94
Total Tax: $2,677.10
Property Information Detail for Taxes Payable 2009
Values Established by Assessor as of January 2,2008
Emm"
Land Market $63,000
Building Market $119,000
Machinery Market
Total Market: $182,000
Land Limited $63,000
Building Limited $119,000
Total Limited: $182,000
Qualifying Improvements
http://wwwl6.co.hennepin.mn.us/pins/Printdetailsjsp?pid=0811821140092
3/27/2009
printdetails.jsp
Veterans Exclusion
Classifications:
Property Type RESIDENTIAL
Homestead Status NON -HOMESTEAD
Relative Homestead
Agricultural
Exempt Status
Page 2 of 2
http://wwwl6.co.hennepin.nm.us/pins/Printdetailsjsp?pid=0811821140092 3/27/2009
Click here to email Customer Service
(952) 928-5563
Email: customerservice(o)edinarealty.com
6420 50th Avenue N
Crystal, MN 55428
County: Hennepin
MLSM 3619108
Status: Active
_ Last Update: 3/27/2009 1
MLS Remarks
2 Br/213a 2 car attached garage, cute stucco/stone ramblere, Ig lot, fenced back yard, patio, breezeway. Has
mold, needs updates/repairs.
Listing Information °
Property Type: Single Family iii
http://www. edinarealty.comlListing/ListingDetails. aspx?Window=Map&BrandedDesign--true&Li... 3/27/2009
Bedrooms: 2 Bathrooms: 1 Full/1 Three -Qtr
Lot Size: 0.31 Acres Square Feet: 1,644 (approx) Year Built: 1952
Foundation: 936 Sq. Ft.
Garage: Yes - 2 spaces
Finished Area: 1,644 Sq. Ft. (approx)
Water: City Water - Connected
Sewer: City Sewer - Connected
School Information
IDistrict: ROBBINSDALE - 281
Room Information
Stories: I
Main Floor
Bedroom 1:
14x9
Bedroom 2:
10XI0
Dining Room:
8X8
Kitchen:
11x7
Living Room:
14x12
Bathrooms
Lower Floor
Family Room: 27x12
IFull Baths: 1 3/4 Baths: I
Interior Features
Square Footage Above/Below (approx): 984 Sq. Ft. Above Ground , 660 Sq. Ft. Below Ground
Cooling: None
Heating: Gas Heat, Forced Air
Basement: Finished (Livable), Full
Exterior / Lot Features
General: Attached Parking
Parking: 2 Garage Spaces, Attached Garage
Exterior: Wood, Stucco, Brick, Stone
Lot Dimensions: 100 X 134
Zoning: Residential -Single
Driving Directions
42nd Ave to Douglas Dr. to 50th Ave to home.
http://Www.edinarealty.comlListingIListingDetails.aspx?Window=Map&BrandedDesign--true&Li... 3/27/2009
• ;1�! � � ; � 11 1 �'• 1� j�i.
$43,000 PURCHASE PRICE Jan 2008 EMV $182, 000, list price $40,000
$0 seller's liabilities assumed by buyer Effective purchase price: $43,000
$13,000 demolition
$3,000 administrative costs (legal, title work, etc.)
$2,034 holding costs (taxes, maintenance)
$1,803 contingency (10% of the items above except the purchase price)
$62,837 TOTAL EXPENDITURES
$60,000 LOT SALE PROCEEDS
$2,837 NET EXPENDITURES
$2,837 net expenditures
1 number of new homes resulting from the development
$2,837 NET EXPENDITURES PER NEW HOME
2009.04.07 estimated budgetAs 4/1/2009
0
EDA STAFF REPORT
C56th
6529
FROM: John Sutter, City Plan ner/Assistant Community Development Director " -�
DEPARTMENT HEAD REVIEW: Patrick Peters, Community Development Director PAO
DATE: March 27, 2009
TO: Anne Norris, City Manager (for April 7, 2009 EDA meeting)
RE: Consider acquisition of 6529 50th Avenue North
A. BACKGROUND
The EDA has a scattered site redevelopment program to voluntarily acquire and
demolish substandard houses and help the city achieve its housing goals. The
subject property, 6529 50th Avenue North, has been foreclosed and is currently
listed for sale by the bank for $49,900. The January 2008 Estimated Market
Value according to the Hennepin County Assessor is $128,000.
Because the best outcome for this property is demolition and lot sale for new
house construction, and the seller has priced it to sell quickly, today staff made
an offer to purchase the property at the list price, less $2,100 in seller's liabilities
to be assumed by the buyer, and contingent on EDA approval. The $47,800
effective price is what the property would have sold for 20 years ago.
The following Exhibits are attached:
A. Photos of the property
B. 2006 overhead aerial photos
C. Hennepin County property information
D. Code compliance inspection results
E. Real estate listing
F. Estimated budget
B. STAFF COMMENTS
The subject property is 90 feet wide and 136 feet deep, with an area of 12,278
sq. ft. (0.28 acres). It meets current zoning requirements for width, depth and
area.
PAGE 1 OF 2
I
'�-
The house is 650 sq. ft. plus a small breezeway and an attached one car garage.
It has a basement. The house has significant correction orders and would qualify
as blighted. It also is functionally obsolete due to its small size and presence on
an oversized lot. Staff strongly recommends acquisition of this property for
demolition and lot sale for construction of a new single family house.
If the EDA does authorize this acquisition, we would expect to close the
acquisition in April 2009 and demolish the house by fall 2009. We would begin
marketing the lot for new house construction in 2010. The estimated lot sale
price is $60,000. The estimated net expenditure after the lot is sold would be
approximately $8,800.
If the EDA wishes to acquire this property, it will need to approve a motion
authorizing the purchase of the subject property for $47,800 and authorizing the
Executive Director to execute documents necessary to complete the purchase.
EDA action is requested.
PAGE 2 OF 2
n
7�1
printdetails.jsp Page 1 of 2
Parcel Data for Taxes Payable 2009
Property ID: 08-118-21-14-0011
Address: 6529 50TH AVE N
Municipality: CRYSTAL
School Dist: 281 Construction year: 1945
Watershed: 8 Approx. Parcel Size: 90 X 136.42
Sewer Dist:
Owner Name: COUNTRYWIDE HOME LOANS INC
Taxpayer Name COUNTRYWIDE HOME LOANS INC
& Address: 400 COUNTRYWIDE WAY
SIMI VALLEY CA 93065
r1Tf,Tfln=_.
Sales prices are reported as listed on the Certificate of Real Estate Value and are not warranted to represe
arms -length transactions.
Sale Date: December, 1991
Sale Price: $46,500
Transaction Type: Warranty Deed
Tax Parcel Description
Addition Name: UNPLATTED 08 118 21
Lot:
Block:
Metes & Bounds:
Abstract or Torrens:
W 90 FT OF E 310 FT OF N 1/2 OF S
1/2 OF SW 1/4 OF SE 1/4 OF NE 1/4
•
Value and Tax Summary for Taxes Payable 2009
Values Established by Assessor as of January 2, 2008
Estimated Market Value: $125,000
Limited Market Value: $125,000
Taxable Market Value: $125,000
Total Improvement Amount:
Total Net Tax: $1,483.33
Total Special Assessments: $311.97
Solid Waste Fee: $13.70
Total Tax: $1,809.00
http://wwwl6.co.hennepin.nm.us/pins/Printdetails.jsp?pid=0811821140011 3/27/2009
Property Information Detail for Taxes Payable 2009
Values Established by Assessor as of January 2, 2008
Values:
Land Market
$63,000
Building Market
$62,000
Machinery Market
Total Market: $125,000
Land Limited
$63,000
Building Limited
$62,000
Total Limited: $125,000
Qualifying Improvements
UA
http://wwwl6.co.hennepin.nm.us/pins/Printdetails.jsp?pid=0811821140011 3/27/2009
printdetails.jsp
Veterans Exclusion
Classifications:
Property Type RESIDENTIAL
Homestead Status HOMESTEAD
Relative Homestead
Agricultural
Exempt Status
Page 2 of 2
http://wwwl6.co.hennepin.nm.us/pins/printdetailsjsp?pid=0811821140011 3/27/2009
I have inspected these premises this day under the authority of the Crystal Property Maintenance Code. X
Date: 3 IRO IR009 Inspector:
2 67UJ
Cert/License NO: Q_\1 039VA9
Page I of
White Copy - City Yellow Copy - Owner/ApplicantO `K
City of Crystal Property Maintenance Compliance
_
C_�74
4141 Douglas Drive N, Crystal MN 55422 Phone: 763-531-1000 Fax: 763-531-1188
Inspection Checklist for One- and Two -Family Properties
Address: iQi5aC� A� Water Meter Reading Repairs?
y
Property Owner: (a�,..,A e- �Aay�e_ VOw�Znc Outside
Inspection Date: ��o-t.�wq
Compliance Date: E;'/0_0 Inside N
Point of Sale
RentalE
0 l
0
Certification Required Y N -2
F 1
Heating System/
-4
P U) (D
- 2 2 '2
Water Heater
:3 x M
Plumbing System
M
✓ F x _�2 c: 4- ) CD N
jE -FU ch 0 0
* ca
Electrical System
U) 9 M C: 0
-0 M 72
Structural Units
cL
E Check if repairs N 0 =3 a) 42) CU
0 " :3
P -Pass F -Fail
-C:
co
are needed A 0 FL 3: a: E U) (D
1.0
Mechanical/Utilities
P F NA_ 5.0 Master bedroom V) Y)
1.1
Plumbing systems
5.1 2nd bedroom 1) �yv /10
1.11
Water waste/vent
1 5.2 3rd bedroom
-�3 .4th
1.12
Water piping/supply
bedroom
1.131
Water meter/remote
Main bath 10
1.14
Sump pump
CA Other bath A it
1.2
Heating systems
6.2 Other bath I
1.21
Venting/fuel supply
7-.Q- Kitchen
1.22
Space heaters
V - Ing room 7
.0 Living
1.3
Electrical systems
8.1 Family room
1.4
Circuits/outlets/fixtures
1-- 8.2 Den/office
1.5
Water heater
3,
8.Halls
.4
stairways
1.6 Crawl space
Deck
1.7
Ventilation
8.5
Porch
1.8
Well
9.0
K
9.1
-Garage
Common Areas
2.0 Exterior
2.1
Electrical outlet/fixtures
I
2.2
Driving/parking areas
1-.,
10rders are attached on separates
2.3
Gutters/down
-Items with no evaluation mark or comment are in compliance with City Code or are not applicable.
-Compliance orders must be corrected on or before the compliance date noted above. -When all orders have
2.4
lVenting/chimneys
been corrected, please call 763-531-1000 to schedule the required re -inspection. -Upon satisfactorycompletion
2.5
lFoundation�711
6rall orders as verified by the re -inspection, the Certificate of Compliance or Rental License will be issued to
the -individual specified on the application form. For point of sale, the Certificate is valid for one year from date
of issuance. -Any orders relating to health, safety or nuisance conditions shall be corrected regardless of
property status. -This inspection does not indicate compliance with an inspection program other than that of the
City of Crystal.
This inspection has been made by the city as a community service and does not constitute any representation,
2.6 Walls/siding
2.7 Windows/doors
2.8 Roof
2.9 Grading/drainage
3.0
Property
guarantee or warranty to any person as to the condition of property inspected. The city does not intend any
reliance to be made on this inspection and does not assume any responsibility or liability in the inspection and
Certificate of Compliance or Rental License.
Crystal Property Maintenance Code Section 425.29, Appeals, Right of Appeal: When it is alleged by a person
interpretation or upon
3.1 Setbacks/lot coverage
3.2 Accessory structures
3.3 Use/occupancy
r,
3.4 Outstanding orders
4
to whom a compliance order is directed that the compliance order is based on erroneous
3.5
Open permits
misstatement or mistake of fact, that person may appeal the order to the city manager. The manager must
c al. appeal
forward the recommendation to the city council within 30 days after receipt of appeal. The a pea must be
in writing, must specify the grounds for the appeal, and must be filed with the housing official within five
business days after service of the order. The filing of an appeal stays proceedings in furtherance of the action
appealed from unless such a stay in the judgment of the housing official would cause imminent peril to life,
Ili &
1;0.0 Vehicles/outdoor storage
3.7 LandscapingNegetation
I,,-
4.0 Health and Safety
4.1
Smoke detectors
health or property. The city council must act promptly on the manager's recommendation and the manager's
recommendation may be reversed, modified or affirmed in whole or in part by the council. The council's
disposition of the appeal is final.
4.2 Egress
4.3 Junk and debris
I have inspected these premises this day under the authority of the Crystal Property Maintenance Code. X
Date: 3 IRO IR009 Inspector:
2 67UJ
Cert/License NO: Q_\1 039VA9
Page I of
White Copy - City Yellow Copy - Owner/ApplicantO `K
City of Crystal Property Maintenance Compliance
4141 Douglas Drive N, Crystal MN 55422 Phone: 763-531-1000 Fax: 763-531-1188
Property Condition Report and Compliance Order
Permit Correction Notice Permit #
Address: Date/Time of Inspection: Vf:A� -3)2O)P-069 3pfA
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COLAX�,CkA U.)% � C— \Aome_
P rty Owner
"M"\,
Agent/CoMractor
Property Owner's Phone
(051- -7-7-1- 3119
Agent/Contractor Phone
Person present for Inspection:
Name Phone
MNo one will be present Lock Box NumberF(070 or NNAIA 7
LOJ( , ?jo-)L O
9
(I =11-12
White Copy - City Yellow Copy - Owner/Applicant/Contractor Page of
SO
17,
_City of Crystal Property Maintenance Compliance
G7-4141 Douglas Drive N, Crystal MN 55422 Phone: 763-531-1000 Fax: 763-531-1188
Property Condition Report and Compliance Order
Permit Correction Notice Permit #
Address: C/✓�i�C V -1L LIZ ✓� ��k/�j� Date/Time of Inspection:
Property Owner Property Owner's Phone
Agent/Contractor Agent/Contractor Phone
Person present for Inspection:
Name Phone
No one will be present Lock Box Number
✓7 ,�i .��«..e ,-/�rt�_(� �--a-,��-��.r /1.� Com) � ✓/!1 �%�%/f/>� T � cP 1�%
Inspector Date
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Compliance Date
I,; .., ., :� .New License Inspection%Month'' �
White Copy - City Yellow Copy - Owner/Applicant/Contractor Page --5 of. -3
Click here to email Customer Service
(952) 928-5563
Email: customerservice@edinarealty.com
CFIlS�
6529 50th Avenue N
Crystal, MN 55428
County: Hennepin
MLSM 3650212
Status: Active
Last Update: 3/27/2009 1
MLS Remarks
Small home with large yard. Living space currently all on one level. There appears to be the possibility to expand
to the basement and attic area. Sold As -Is.
LU
Listing Information
Property Type: Single Family
http://www. edinarealty.comlListingIListingDetails.aspx?Window=Map&BrandedDesign=true&Li... 3/27/2009
Bedrooms: 1 Bathrooms: I Full
Lot Size: 0.3 Acres Square Feet: 650 (approx) Year Built: 1945
Foundation: 650 Sq. Ft.
Garage: Yes - 1 space I Stories: I
Finished Area: 650 Sq. Ft. (approx)
Water: City Water - Connected
Sewer: City Sewer - Connected
School Information
District: ROBBINSDALE - 281
Room Information
Main Floor
Bedroom 1: 10X8
Kitchen: 8 x 8
Living Room: 12 x 9
Bathrooms
Full Baths: 1
Additional Room Information
Bath Description: Main Floor Full Bath
Interior Features
Square Footage Above/Below (approx): 650 Sq. Ft. Above Ground
Cooling: None
Heating: Gas Heat, Forced Air
Basement: Full
Additional Interior Features: Natural Woodwork
Exterior I Lot Features
General: Attached Parking
Parking: 1 Garage Spaces, Attached Garage
Exterior: Wood
Roof: Asphalt
Lot Dimensions: 90 X 136.42
Zoning: Residential -Single
Driving Directions
Douglas Dr to 50th, West to home
http://www.edinarealty.comlListingIListingDetails.aspx?Window=Map&BrandedDesign--true&Li... 3/27/2009
$47,800 PURCHASE PRICE Jan 2008 EMV $125, 000, list price $49,900
$2,100 seller's liabilities assumed by buyer Effective purchase price: $49,900
$12,000 demolition
$3,000 administrative costs (legal, title work, etc.)
$2,034 holding costs (taxes, maintenance)
$1,913 contingency (10% of the items above except the purchase price)
$68,847 TOTAL EXPENDITURES
$60,000 LOT SALE PROCEEDS
$8,847 NET EXPENDITURES
$8,847 net expenditures
1 number of new homes resulting from the development
$8,847 NET EXPENDITURES PER NEW HOME
2009.04.07 estimated budgetAs 3/27/2009
I
EDA STAFF REPORT
CITY 51h
53253
FROM: John Sutter, City Plan ner/Assistant Community Development Director
DEPARTMENT HEAD REVIEW: Patrick Peters, Community Development Director
DATE: March 31, 2009
TO: Anne Norris, City Manager (for April 7, 2009 EDA meeting)
RE: Consider acquisition of 5325 35th
Avenue North
A. BACKGROUND
The EDA has a scattered site redevelopment program to voluntarily acquire and
demolish substandard houses and help the city achieve its housing goals. The
subject property, 5325 35th Avenue North, has been foreclosed and is currently
listed for sale by the bank for $59,000. The January 2008 Estimated Market
Value according to the Hennepin County Assessor is $156,000.
Because the best outcome for this property is demolition and lot sale for new
house construction, and the seller today reduced the list price from $66,100 to
$59,000, staff made an offer to purchase the property for $60,000 contingent on
EDA approval. $60,000 is what the property would have sold for 15 years ago.
The following Exhibits are attached:
A. Photos of the property
B. 2006 overhead aerial photos
C. Hennepin County property information
D. Real estate listing
E. List of sales of comparable slab ramblers since Sep. 1, 2006
F. Estimated budget
B. STAFF COMMENTS
The subject property is 75 feet wide and 134 feet deep, with an area of 10,026
sq. ft. (0.23 acres). It meets current zoning requirements for width, depth and
area.
PAGE 1 OF 2
According to the general soil conditions analysis prepared as part of the 2003
Crystal Heights redevelopment feasibility study, the subject property is affected
by poor soils to an estimated depth of 10-12 feet. We anticipate that the lot price
reduction to compensate for soil correction costs would be approximately
$25,000. This is not a firm number, but it is about as close as we can get without
doing a full soils analysis and correction plan which would depend on the
footprint and design of the house to be built, which we do not know at this time.
The house was built in 1951. It is just one of several dozen manufactured
houses installed in Crystal Heights View 2nd Addition during 1950-1951. These
houses were originally uniformly 24'x 34' (816 sq. ft.) in size, with 2"x3" framed
walls, and were placed on non -frost -protected slab foundations (much like a
garage slab). The house is functionally obsolete due to its small size and lack of
a basement. The property also has a detached two -car garage built in 1994. The
interior of the house was remodeled in 1994 but it has not been well maintained
since then and is now in fair to poor condition. Also, the floor feels uneven in
spots as if the slab has cracked and/or tipped due to the underlying poor soils.
The house has not had the required code compliance inspection so detailed
correction orders have not yet been written.
Directly behind the subject property is a newer house at 5324 34th
Place. The
EDA sold this lot to a builder for $33,000 in August 2004, who completed the
necessary soil corrections, built the new house and sold it for $297,500 in May
2005. Subsequently the property went through foreclosure and was sold by the
lender for $225,600 in October 2008.
If the EDA does authorize this acquisition, we would expect to close the
acquisition in April 2009 and demolish the house by fall 2009. Depending on its
condition, we may demolish the garage, have it moved off-site, or have it moved
elsewhere on the subject property for use as a shed for the new house. We
would begin marketing the lot for new house construction in 2010. The estimated
lot sale price is $25,000 which represents a $25,000 reduction to compensate for
anticipated soil correction costs. At that lot price, the estimated net expenditure
would be approximately $53,000. This is more than the FDA's typical guideline of
$40,000. However, due to concerns about the long-term viability and the fact that
the EDA has been willing to accept even higher expenditures for similar houses
based on the long-term benefits resulting from their replacement, staff
recommends EDA approval of the acquisition.
C. REQUESTED ACTION
If the EDA wishes to acquire this property, it will need to approve a motion
approving the purchase of the subject property for $60,000 and authorizing the
Executive Director to execute documents necessary to complete the purchase.
EDA action is requested.
PAGE 2 OF 2
I
R
printdetails.jsp
Sales prices are reported as listed on the Certificate of Real Estate Value and are not warranted to represe
arms -length transactions.
Sale Date: March, 2006
Sale Price: $162,000
Transaction Type:
Addition Name: CRYSTAL HEIGHTS VIEW 2ND ADDN
Lot: 004
Block: 002
Metes & Bounds:
Abstract or Torrens: TORRENS
Value and Tax Summary for Taxes Payable 2009
Values Established by Assessor as of January 2, 2008
Estimated Market Value: $156,000
Limited Market Value: $156,000
Taxable Market Value: $156,000
Total Improvement Amount:
Total Net Tax: $1,951.29
Total Special Assessments:
Solid Waste Fee: $17.09
Total Tax: $1,968.38
Parcel Data for Taxes Payable 2009
Property ID:
07-029-24-22-0028
Address:
5325 35TH AVE N
Municipality:
CRYSTAL
School Dist:
281 Construction year: 1951
Watershed:
7 Approx. Parcel Size: 75 X 133.68
Sewer Dist:
Total Market: $156,000
Owner Name:
LASALLE BANK NA TRUSTEE
Taxpayer Name
LASALLE BANK NA
& Address:
P 0 BOX 292190
Qualifying Improvements
800 ST HWY 121 BYPASS
LEWISVILLE TX 75067
Sales prices are reported as listed on the Certificate of Real Estate Value and are not warranted to represe
arms -length transactions.
Sale Date: March, 2006
Sale Price: $162,000
Transaction Type:
Addition Name: CRYSTAL HEIGHTS VIEW 2ND ADDN
Lot: 004
Block: 002
Metes & Bounds:
Abstract or Torrens: TORRENS
Value and Tax Summary for Taxes Payable 2009
Values Established by Assessor as of January 2, 2008
Estimated Market Value: $156,000
Limited Market Value: $156,000
Taxable Market Value: $156,000
Total Improvement Amount:
Total Net Tax: $1,951.29
Total Special Assessments:
Solid Waste Fee: $17.09
Total Tax: $1,968.38
http://wwwl6.co.hennepin.mn.us/pins/Printdetailsjsp?pid=0702924220028 3/31/2009
W
L7J
Property Information Detail for Taxes Payable 2009
Values Established by Assessor as of January 2, 2008
Values:
Land Market
$65,000
Building Market
$91,000
Machinery Market
Total Market: $156,000
Land Limited
$65,000
Building Limited
$91,000
Total Limited: $156,000
Qualifying Improvements
Veterans Exclusion
Classifications:
Property Type
RESIDENTIAL
http://wwwl6.co.hennepin.mn.us/pins/Printdetailsjsp?pid=0702924220028 3/31/2009
W
L7J
Click here toemail Customer Service
(952)028-5563
v Property|De8����
�
5325 35th Avenue N
Crystal, MN55422
County: Hennepin
MLS#3652280
Status: Active
Update: 3/31/2009
IVILS Remarks
Good Crystal location. Double garage &vinyl siding. Kitchen has been updated with newer cabinets. Large lot.
Close to Cub& K4ebn bus line. Good sized eating area off kitchen. All on 1 level. Good starter orretirement home.
�ch
Listing Information
��
|Pnope�yTypm:Single Family °��
http://www.edinarealty.comlListingIListingDetails.aspx?Window=Map&BrandedDesign--true&Li... 3/31/2009
Lot Size: 0.23 Acres Square Feet: 816 (approx) Year Built: 1951
Foundation: 816 Sq. Ft.
Garage: Yes - 2 spaces I Stories:
Finished Area: 816 Sq. Ft. (approx)
Water: City Water - Connected
Sewer: City Sewer - Connected
School Information
District: ROBBINSDALE - 281
Room Information
Main Floor
Bedroom 1:
14x12
Bedroom 2:
9x12
Dining Room:
I0X8
Kitchen:
13x8
Living Room:
16x12
Full Baths: 1
Additional Room Information
Dining: Separate/Formal Dining Room
Laundry: Main Floor Laundry
Bath Description: Main Floor Full Bath
Interior Features
Square Footage Above/Below (approx): 816 Sq. Ft. Above Ground
Cooling: Central Air
Heating: Gas Heat, Forced Air
Handicap: Description: Other
Additional Interior Features: Washer/Dryer Hookup
Exterior / Lot Features
Parking: 2 Garage Spaces, Detached Garage, Driveway - Asphalt
Exterior: Metal, Vinyl
Roof: Asphalt
Lot Dimensions: 75 X 133.68
Zoning: Residential -Single
http://www.edinarealty.comlListingIListingDetails.aspx?Window=Map&BrandedDesign--true&Li... 3/31/2009
Crystal Heights - Sales of 1950-1951 built Ennis -Rohr slab ramblers since September 1, 2006
PROPERTY
ADDRESS
MOST RECENT SALE
PRICE DATE
STATUS OF
PROPERTY
5324
35th
$172,000
9/15/2006
homestead
5116
35th
$164,500
1/2/2007
homestead
5109
35th
$129,300
3/2/2007
homestead
3441
Regent
$163,900
3/14/2007
homestead
3424
Regent
$182,000
6/25/2007
homestead
5401
35th
$75,000
11/26/2007
EDA -owned vacant lot was a foreclosure
5225
35th
$78,000
4/16/2008
EDA -owned vacant lot was a foreclosure
3457
Regent
$68,700
6/17/2008
EDA -owned vacant lot was a rental
5225
34th PI
$160,000
7/8/2008
new owner has homesteaded was a rental
5132
34th PI
$84,900
9/8/2008
EDA -owned vacant house to be demo'd was a foreclosure
5309
34th PI
$77,900
10/28/2008
EDA -owned vacant house to be demo'd was a foreclosure
3549
Regent
$65,000
12/16/2008
EDA -owned vacant house to be demo'd was a foreclosure
3440
Regent
$68,500
1/28/2009
EDA -owned vacant house to be demo'd was a foreclosure
$114.59 AVERAGE PRICE OF SALES SINCE SEPTEMBER 1, 2006
$84,75 AVERAGE PRICE OF SALES SINCE SEPTEMBER 1, 2007
$74,0 AVERAGE PRICE OF SALES SINCE SEPTEMBER 1, 2008
313112009
REDEVELOPMENT OF 5325 35TH
$60,000 PURCHASE PRICE Jan 2008 EMV $156, 000, list price $59,000
$0 seller's liabilities assumed by buyer Effective purchase price: $60,000
$11,000 demolition
$3,000 administrative costs (legal, title work, etc.)
$2,368 holding costs (taxes, maintenance)
$1,637 contingency (10% of the items above except the purchase price)
$78,005 TOTAL EXPENDITURES
$25,000 LOT SALE PROCEEDS
$53,005 NET EXPENDITURES
$53,005 net expenditures
1 number of new homes resulting from the development
$53,005 NET EXPENDITURES PER NEW HOME
2009.04.07 estimated budgetAs 3/31/2009
i-
EDA STAFF REPORT
(CITWY
CRYSTAL
4633 Douglas Dr
FROM: John Sutter, City Plan ner/Assistant Community Development Director :�9�
DEPARTMENT HEAD REVIEW: Patrick Peters, Community Development Director A4
DATE: March 31, 2009
TO: Anne Norris, City Manager (for April 7, 2009 EDA meeting)
RE: Consider acquisition of 4633 Douglas Drive North
A. BACKGROUND
The EDA has a scattered site redevelopment program to voluntarily acquire and
demolish substandard houses and help the city achieve its housing goals. The
subject property, 4633 Douglas Drive North, has been foreclosed and is currently
listed for sale by the bank for $64,900. The January 2008 Estimated Market
Value according to the Hennepin County Assessor is $173,000.
Because the best outcome for this property is demolition and lot sale for new
house construction, staff recommends that the EDA offer to purchase the
property for the list price of $64,900. This is what the property would have sold
for 25 years ago.
The following Exhibits are attached:
A. Photos of the property
B. 2006 overhead aerial photos
C. Hennepin County property information
D. Real estate listing
E. Property Maintenance Compliance orders (February 23, 2009)
F. Estimated budget
B. STAFF COMMENTS
The subject property is 75 feet wide and 132 feet deep, with an area of 9,963 sq.
ft. (0.23 acres). It meets current zoning requirements for width, depth and area.
PAGE 1 OF 2
The house was built in 1934. It has a main floor of 1,179 sq. ft. with a partial
basement and an attached two car garage. The house is in poor condition and
also is somewhat functionally obsolete due to the haphazard blending of the
kitchen with a former breezeway, odd location of the basement stairs, and odd
partial basement. It would probably not be a candidate for demolition but for the
combination of functional obsolescence and poor condition.
Directly north of the subject property is a newer house at 4641 Douglas Drive.
The EDA sold this lot to a builder for $60,000 in March 2003, who built the new
house and sold it for $295,500 in March 2004.
If the EDA does authorize this acquisition, we would expect to close the
acquisition in April 2009 and demolish the house by fall 2009. We would begin
marketing the lot for new house construction in 2010. The estimated lot sale
price is $55,000. At that lot price, the estimated net expenditure would be
approximately $32,000. This is within the FDA's typical guideline of $40,000 and
staff recommends EDA approval of the acquisition.
C. REQUESTED ACTION
If the EDA wishes to acquire this property, it will need to approve a motion
approving the purchase of the subject property for $64,900 and authorizing the
Executive Director to execute documents necessary to complete the purchase.
EDA action is requested.
PAGE 2 OF 2
0
printdetailsjsp
Property ID:
08-118-21-44-0079
Address:
4633 DOUGLAS DR N
Municipality:
CRYSTAL
School Dist:
281 Construction year: 1934
Watershed:
8 Approx. Parcel Size: 75.48 X 132
Sewer Dist:
Owner Name:
US BANK NA TRUSTEE
Taxpayer Name
US BANK NA
& Address:
10790 RANCHO BERNARDO RD
SAN DIEGO CA 92127
Most Current Sales Information
Sales prices are reported as listed on the Certificate of Real Estate Value and are not warranted to represe
arms -length transactions.
Sale Date: May, 2006
Sale Price: $180,000
Transaction Type: Warranty Deed
Addition Name:
Lot:
Block:
Metes & Bounds:
Abstract or Torrens:
KLATKES 2ND ADDN
004
ABSTRACT
Value and Tax Summary for Taxes Payable 2009
Values Established by Assessor as of January 2, 2008
Estimated Market Value: $173,000
Limited Market Value: $173,000
Taxable Market Value: $173,000
Total Improvement Amount:
Total Net Tax: $2,412.79
Total Special Assessments: $11,091.41
Solid Waste Fee: $18.96
Total Tax: $13,523.16
http://wwwl6.co.hennepin.nm.us/pins/Printdetailsjsp?pid=0811821440079 3/31/2009
0
Property Information Detail for Taxes Payable 2009
Values Established by Assessor as of January 2, 2008
Values:
Land Market
$57,000
Building Market
$116,000
Machinery Market
Total Market: $173,000
Land Limited
$57,000
Building Limited
$116,000
Total Limited: $173,000
Qualifying Improvements
Veterans Exclusion
Classifications:
Property Type
RESIDENTIAL
http://wwwl6.co.hennepin.nm.us/pins/Printdetailsjsp?pid=0811821440079 3/31/2009
0
Click here to email Customer Service
(952) 928-5563
Email: customerservice(cbedinarealtV.com
Property Details
4633 Douglas Drive
Crystal, MN 55422
County: Hennepin
MLS#: 3616911
Status: Active
Last Update: 3/31/2009
MLS Remarks
------------
3BR/I BA RAMBLER W/ HDWD FLOORS. EAT- IN COUNTY KITCHEN WITH FULL BRICK WALL & WOOD
BURNING FPLC, LG 2 CAR DRIVETHRU GARAGE( REAR DRIVE). OVERSIZE LOT WITH PRIVACY FENCED
BACK YARD. NEWER WINDOWS- NEEDS WORK BUT GREAT POTENTIAL!
Listing Information
http://www.edinarealty.comlListingIListingDetails.aspx?Window=Map&BrandedDesign--trae&Li... 3/31/2009
t
Property Type: Single Family
Bedrooms: 3 Bathrooms: I Full
Lot Size: 0.23 Acres Square Feet: 1,179 (approx) Year Built: 1934
Foundation: 1,179 Sq. Ft.
Garage: Yes - 2 spaces Stories: I
Finished Area: 1.17QSq. Ft(appnzx)
Water: City Water -Connected
Sewer: City Sewer - Connected
School Information
District: ROBB|NG0ALE-281
Room Information
Main Floor
Bedroom 1:
13xl 1
Bedroom 2:
1 OX9
Bedroom 3:
11X10
Dining Room:
9xl 2
Kitchen:
14x10
Living Room:
18x12
Foyer:
12x8
Bathrooms
Full Baths: I
Additional Room Information
Dining: Eat |nKitchen, Separate/Formal Dining Room
Bath Description: 3/4 Basement, Main Floor Full Bath
Interior Features
Square Footage Above/Below (approx:1.170Sq. Ft. Above Ground
Flooring: Hardwood
Cooling: None
Heating: Gas Heat, Forced Air
Basement: Partial
Fireplaces: 1.Other, VVood Burning
Additional Interior Features: 3 BR on One Level, All Living Facilities on One Level, Main Floor Bedroom
Exterior / Lot Features
General: Attached Parking, Lot with Trees
hfhp://wwm.. ,,, 3/31/2009
I have inspected these premises this day under the authority of the Crystal Property Maintenance Code. X
Date: A/A3J@aB lnspector!7� -CYOW?Z_2�� Cert/License No: QN039540 UJ
White Copy - City Yellow Copy - Owner/Applicant Vm.4 Pagel of /I-,-
City of Crystal Property Maintenance Compliance
4141 Douglas Drive N, Crystal MN 55422 Phone: 763-531-1000 Fax: 763-531-1188
Inspection Checklist for One- and Two -Family Properties
Address:
0 Water Meter Reading Repairs?
Property Owner:
Outside y
Inspection Date: d,1x,7,12WCt
Compliance Date: C11eqQ10 9 Inside N
Point of Sale
Rental
0
Certification Required Y
0 U)
N �R
03 V)
Heating System
Cn
P C: C a)
Water Heater
Plumbing System
rn
Q) FD P :3 -2
:3 .2 0 X M
F � 2 a N
Electrical System
0 0
3: Co M
0 '
Structural Units
Check if repairs N o -0 -z-- E a8L 42 2
P - Pass F -Fail
Co
are needed A U_ iU) (5
1.0
Mechanical/Utilities P
F N 5.0 Master bedroom
1.1
Plumbing systems
5.1 2nd bedroom 9 'OVA12-
1.11
Water waste/vent
5.2 3rd bedroom Z) IV) 10 V)V
1.12
Water piping/supply
5.3 4th bedroom
1.131
Water meter/remote
Main bath 1/0
1.141
Sump pump
= 6.1 Other bath
*Other
1.2
Heating systems
I,-< 6_.2 bath
1.21
Venting/fuel supply
YT Ritchen
1.22
Space heaters
8.0 Living room A'
1.3
Electrical systems
8.1 Family room
1.4
Circuits/outlets/fixtures
8.2 Den/office
1.5
Water heater
Halls/stairways
1.6
Crawl space
8.4 Deck
1.7
Ventilation
8.5 1 Porch
1.8
Well
9.0 Garage 5
2.0
lExterior
9.1 Common Areas 7-
2.1
Electrical outlet/fixtures
2.2
Driving/parking areas
Orders are attached on separatesheets}
2.3
Gutters/downspouts
:Items with no evaluation mark or comment are in compliance with City Code or are not applicable.
2.4
Venting/chimneys
orders must be corrected on or before the compliance date noted above. When all orders have
_.-ECompliance
1wecorrected, please call 763-531-1000 to schedule the required re -inspection. -Upon satisfactory completion
t,
2.5
lFoundation
of all orders as verified by the re -inspection, the Certificate of Compliance or Rental License will be issued to
2.6
Walls/siding
lbo-iffdividual specified on the application form. For point of sale, the Certificate is valid for one year from date
2.7
Windows/doors
of issuance. -Any orders relating to health, safety or nuisance conditions shall be corrected regardless of
2.8
Roof
property status. -This inspection does not indicate compliance with an inspection program other than that of the
2.9
Grading/drainage
City of Crystal.
I
his inspection has been made by the city as a community service and does not constitute any representation,
3.0
Property
guarantee or warranty to any person as to the condition of property inspected. The city does not intend any
3.1
Setbacks/lot coverage
reliance to be made on this inspection and does not assume any responsibility or liability in the inspection and
3.2
Accessory structurese
6cate of Compliance or Rental License.
i_rtif
3.3
Use/occupancy
3.4
Outstanding orders
Cxystat Property Maintenance Code Section 425.29, Appeals, Right of Appeal: When it is alleged by a person
3.5
Open permits
>wh6m. a compliance order is directed that the compliance order is based on erroneous interpretation or upon
misstatement or mistake offlact, that person may appeal the order to the city manager. The manager must
3.6
Vehicles/outdoor storage
fo-r-wa-rd the recommendation to the city council within 30 days after receipt of this appeal. The appeal must be
3.7
Landscaping/Vegetation
in writing, must specify the grounds for the appeal, and must be filed with the housing official within five
4.0
14.2
Health and Safety
business days after service of the order. The filing of an appeal stays proceedings in furtherance of the action
4.1
Smoke detectors
appealed from unless such a stay in the judgment of the housing official would cause imminent peril to life,
hra�®r property. The city council must act promptly on the manager's recommendation and the manager's
lEgress
recommendation may be reversed, modified or affirmed in whole or in part by the council. The council's
14.3
IJunk and debris
digposition of the appeal is final.
I have inspected these premises this day under the authority of the Crystal Property Maintenance Code. X
Date: A/A3J@aB lnspector!7� -CYOW?Z_2�� Cert/License No: QN039540 UJ
White Copy - City Yellow Copy - Owner/Applicant Vm.4 Pagel of /I-,-
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4141 Douglas Drive N, Crystal MN 55422 Phone: 763-531-1000 Fax: 763-531-1188
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ted
$64,900 PURCHASE PRICE Jan 2008 EMV $173,000, list price $64,900
$0 seller's liabilities assumed by buyer Effective purchase price: $64,900
$15,000 demolition
$3,000 administrative costs (legal, title work, etc.)
$2,034 holding costs (taxes, maintenance)
$2,003 contingency (10% of the items above except the purchase price)
$86,937 TOTAL EXPENDITURES
$55,000 LOT SALE PROCEEDS
$31,937 NET EXPENDITURES
$31,937 net expenditures
1 number of new homes resulting from the development
$31,937 NET EXPENDITURES PER NEW HOME
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2009.04.07 estimated budget.xls 3/31/2009
EDA STAFF REPORT - Resolution Authorizing
,CITY 61,
[��YSTAL
Signatures for Purchase of Four Properties
I C'
-7,
FROM: John Sutter, City Planner/Assistant Community Development Director-7!4�
DEPARTMENT HEAD REVIEW: Patrick Peters, Community Development Director
DATE: March 31, 2009
TO: Anne Norris, City Manager (for April 7, 2009 EDA meeting)
RE: Consider a Resolution authorizing the Executive Director to sign
documents relating to the purchase of 6420 50th 6529 601h, 5325 35th
and 4633 Douglas Dr
When the EDA purchased 5708 Elmhurst earlier this year, the closer required a
resolution from the EDA authorizing the Executive Director to execute documents
related to the EDA's purchase of that property, which the EDA had authorized at its
December 16, 2008 meeting. The required resolution was adopted on January 20, 2009
and the purchase then was able to be completed.
In the past this has not been issue because the closers have accepted a combination of
the EDA Bylaws and meeting minutes as sufficient authorization for the Executive
Director's signature.
However, after the incident with 5708 Elmhurst, staff indicated that it would now be
common practice for the EDA to adopt a similar resolution whenever purchasing
property.
At its April 7, 2009 meeting, the EDA will consider authorizing the purchase of the
following properties:
* 6420 50th Avenue North
* 6529 50th Avenue North
® 5325 35th Avenue North
* 4633 Douglas Drive North
Presuming that the EDA authorizes the acquisition of these four properties at its April 7,
2009 meeting, staff recommends adoption of the attached resolution.
PAGE 1 OF 1
ECONOMIC DEVELOPMENT AUTHORITY OF THE CITY OF CRYSTAL
HENNEPIN COUNTY
STATE OF MINNESOTA
1:1*1011t1we7kil
A RESOLUTION AUTHORIZING THE EXECUTIVE DIRECTOR TO SIGN
DOCUMENTS RELATING TO THE PURCHASE OF REAL PROPERTIES AT
6420 50TH 6529 50TH, 5325 35TH AND 4633 DOUGLAS DR
WHEREAS, the Economic Development Authority of the City of Crystal (the "EDA") has
authorized the acquisition of real properties located at 6420 50th Avenue North, 6529 501h
Avenue North, 5325 35th Avenue North and 4633 Douglas Drive North (collectively, the
"Properties"); and
WHEREAS, the EDA wishes to affirm its earlier actions regarding the Properties by specifically
and explicitly authorizing execution of any and all documents necessary to complete the
purchase of the Properties.
NOW, THEREFORE, BE IT RESOLVED that Anne Norris, Executive Director of the EDA, is
hereby authorized to execute any and all documents necessary to complete the EDA's
purchase of the Properties.
BE IT FURTHER RESOLVED that Patrick Peters, Deputy Executive Director of the EDA, is
hereby authorized to act in place of the Executive Director in the event of the absence or
unavailability of the Executive Director.
Adopted this day of I
Mark Hoffmann, President
Anne Norris, Executive Director
313112009
J EDA STAFF REPORT
1 -,Cny of
'"s -TIL
11- TIF • Resolution • •
woo
7
roperties being acquired by the EDA
FROM: John Sutter, City Plan ner/Assistant Community Development Director 40�
DEPARTMENT HEAD REVIEW: Patrick Peters, Community Development Director
DATE: March 31, 2009
TO: Anne Norris, City Manager (for April 7, 2009 EDA meeting)
RE: Consider a resolution for tax increment financing reimbursement for
four scattered site acquisitions
The EDA has authorized the voluntary acquisition of the following four properties for
demolition and lot sale for construction of a new single family house and/or rehab and
resale of the existing house:
® 6420 50th Avenue North
® 6529 50th Avenue North
W 5325 35th
Avenue North
® 4633 Douglas Drive North
If the EDA ultimately decides to use TIF District #1 funds, then there would be no
income restriction for the buyer of the new house. If Housing Replacement District
funds are used, then the lot sale would be subject to an income restriction limiting the
new home buyer's household income to 115% of the Twin Cities regional median
household income (assuming a household size of three or more). For 2008 the median
household income was $80,900, so the new home buyer could not have a household
income in excess of $93,000. Staff believes that a new house affordable at this income
level would result in a lot price of approximately $45,000 to 50,000. This is slightly
below the anticipated lot sale price for these properties. Staff opinion is that, if the lot
prices would need to be lower to facilitate purchase of the house by a qualifying buyer,
the reduced lot sale revenue would be justified by the fact that the EDA could use its
more restricted Housing Replacement District funds instead of its less -restricted TIF
District #1 or local EDA funds which are typically used for scattered site redevelopment.
In any case, the resolution allows this decision to be made later depending on actual
market conditions when the time comes to sell the lot.
Staff recommends adoption of the attached resolution that would allow the EDA to seek
reimbursement from TIF District #1 or Housing Replacement District funds for these
four acquisitions. By adopting the attached resolution, the EDA would retain the option
for such reimbursement but would not be obligated to do so. Further discussion and
PAGE 1 OF 2
action by the EDA would occur before either TIF District #1 or Housing Replacement
District funds would be used. Also, if we can get clearance to use federal Neighborhood
Stabilization funds for the more expensive acquisitions, then it may not be necessary to
use Tax Increment funds at all.
EDA action on the attached resolution is requested.
PAGE 2 OF 2
ECONOMIC DEVELOPMENT AUTHORITY
OF THE CITY OF CRYSTAL, MINNESOTA
RESOLUTION NO.
IN CONNECTION WITH ACQUISITION OF CERTAIN PROPERTY
IN REDEVELOPMENT PROJECT NO. 1
BE IT A - • - ♦ • C • ?L, BO)-V]V • - • TIr1 - - • I . OF E ECONOM
DEVELOPMENT AUTHORITY OF THE CITY OF CRYSTAL, MINNESOTA (T
"AUTHORITY")• •
Section 1. Back rg ound.
1.01. The Authority and City of Crystal ("City") have established Tax Increment
Financing District No. 1 ("TIF District No. 1 ") and Housing Replacement Districts Phases I and II
(the "Housing Replacement Districts") within Redevelopment Project No. 1 (the "Project"), and has
adopted tax increment financing plans ("TIF Plans") for TIF District No. 1 and the Housing
Replacement Districts, pursuant to Minnesota Statutes, Sections 469.174 to 469.1799 (the "TIF
Act") and Laws 1995, Chapter 264, Article 5, Section 46 and Laws 2008, Chapter 366, Article 5,
Section 20 (the "Special Legislation").
1.02. Under Section 469.178, subdivision 7 of the TIF Act, the Authority may incur
certain costs related to the Project, which costs may be financed on a temporary basis from
available Authority or City funds and repaid from certain tax increments.
1.03. Under the Special Legislation, the Authority may spend tax increments from the
Housing Replacement Districts as if those districts were housing districts under the TIF Act, which
requires that expenditures be made solely to finance the cost of housing projects as defined in
Section 469.174, subdivision 11 and 469.1761 of the TIF Act (generally, specifying certain income
limits for renters or buyers of owner -occupied property).
1.04. The Authority intends to acquire certain property within the Project, legally
described as follows within Hennepin County, Minnesota (the "Property"):
® The East half of Lot 22, Russ Second Addition to Crystal Village (6420 50�' Avenue North);
and
® The West 90 feet of the East 310 feet of the North half of the South half of the Southwest
quarter of the Southeast quarter of the Northeast quarter of Section 8, Township 118 North,
Range 21 West (6529 50ffi Avenue North); and
® Lot 4, Block 2, Crystal Heights View 2°d Addition (5325 35°i Avenue North); and
® Lot 4, Klatke's Second Addition (4633 Douglas Drive North).
Upon acquisition of the Property, the City or the Authority may demolish the structure on the
Property and resell it for construction of new housing, or may clean and rehabilitate the existing
house for ultimate re -sale.
1.05. The Authority intends to reimburse itself for the cost of acquisition of the Property,
and the cost of either demolition or cleaning and rehabilitation, and related soft costs (together, the
"Qualified Costs") from tax increments derived from TIF District No. 1 or the Housing
Replacement Districts or some combination thereof, in accordance with the terms of this resolution
(which terms are referred to collectively as the "TIF Loan").
Section 2. Terms of TIF Loan.
2.01. The Authority shall repay, to the Authority fund from which the Qualified Costs are
initially paid or advanced, the principal amount of fields advanced not to exceed $400,000 together
with interest on the principal amount advanced, accruing from the date of each initial expenditure or
advance, at the rate of 5% (except as otherwise described below). The maximum interest rate
under Section 469.178, subd. 7of the TIF Act is the greater of (a) the rate specified under
Minnesota Statutes, Section 270C.40 or (b) the rate specified under Minnesota Statutes, Section
549.09, in effect for the calendar year in which the expenditure or advance is made. Advances
related to the Property are expected to occur in 2009, when the maximum interest rate is 5%.
The Authority selects 5% as the effective rate for all advances, unless advances are made in a
subsequent calendar year or years when the statutory maximum is less than 5%, in which event
the effective rate for advances in each such year is the maximum statutory rate for that year.
2.02. Principal and interest ("Payments") shall be paid semi-annually on each August 1
and February 1 ("Payment Dates"), commencing on the first Payment Date after the first advance of
Qualified Costs and continuing through the earlier of (a) the date the principal and accrued interest
of the TIF Loan is paid in full, or (b) the date of last receipt of tax increment from TIF District No. 1
or the Housing Replacement Districts, as the case may be. Payments will be made in the amount
and only to the extent of Available Tax Increment as hereinafter defined. Payments shall be applied
first to accrued interest, and then to unpaid principal. Interest accruing from the date of each
expenditure to the first Payment Date shall be compounded semiannually on February 1 and August
1 of each year and added to principal, unless otherwise specified by the Executive Director.
2.03. Payments on this TIF Loan are payable solely from "Available Tax Increment,"
which shall mean, on each Payment Date, all of the tax increment (as defined in the TIF Act)
generated in the preceding six (6) months with respect to:
(a) the property within TIF District No. 1; or
(b) the property within either or both of the Housing Replacement Districts, but only if
the Property is rented by individuals who meet the income requirements set forth in Section
469.1761, subd. 3 for the term of the TIF Loan, or is initially purchased and occupied by individuals
who meet the income requirements set forth in Section 469.176 1, subd. 2 of the TIF Act; or
(c) any combination of the revenues described in paragraphs (a) and (b) of this Section.
The City Finance Director, in consultation with the Community Development Director, is
authorized to determine the district(s) that are the source of Available Tax Increment on each
Payment Date, consistent with the terms of this Section.
N
2.04. Payments on this TIF Loan are subordinate to any outstanding or future bonds, notes
or obligations issued to developers or third parties and secured in whole or in part with Available
Tax Increment (unless otherwise specified in the relevant outstanding or future instrument), and are
on parity with any other outstanding or future interfund loans secured in whole or in part with
Available Tax Increment.
2.05. The principal sum and all accrued interest payable under this TIF Loan are pre-
payable in whole or in part at any time by the Authority without premium or penalty. No partial
prepayment shall affect the amount or timing of any other regular payment otherwise required to be
made under this TIF Loan.
2.06. This TIF Loan is evidence of an internal borrowing by the Authority in accordance
with Minnesota Statutes, Section 469.178, subdivision 7, and is a limited obligation payable solely
from Available Tax Increment pledged to the payment hereof under this resolution. This TIF Loan
and the interest hereon shall not be deemed to constitute a general obligation of the State of
Minnesota or any political subdivision thereof, including, without limitation, the City. Neither the
State of Minnesota, nor any political subdivision thereof shall be obligated to pay the principal of or
interest on this TIF Loan or other costs incident hereto except out of Available Tax Increment, and
neither the full faith and credit nor the taxing power of the State of Minnesota or any political
subdivision thereof is pledged to the payment of the principal of or interest on this TIF Loan or
other costs incident hereto. The Authority shall have no obligation to pay any principal amount of
the TIF Loan or accrued interest thereon, which may remain unpaid after the final Payment Date.
2.07. The Authority may amend the terms of this TIF Loan at any time by resolution of
the Board, including a determination to forgive the outstanding principal amount and accrued
interest to the extent permissible under law.
Section 3. Effective Date. This resolution is effective upon the date of its approval.
Adopted this 7t" day of April, 2009.
ATTEST:
Executive Director
President
3
CRYSTAL CITY COUNCIL
THIRD WORK SESSION AGENDA
Tuesday, April 7, 2009
To immediately follow the EDA Meeting after the Regular City Council Meeting
Conference Room A
Pursuant to due call and notice given in the manner prescribed by Section 3.01 of the
City Charter, the Second Work Session of the Crystal City Council was held at
p.m. on Tuesday, April 7, 2009 in Conference Room A located at 4141 Douglas Drive,
Crystal, Minnesota.
1. Attendance
11. Agenda
The purpose of the work session is to discuss the following agenda items:
Annual city bus tour (no documentation provided)
CR 81 payment schedule
Vacant Property Registration ordinance
Hard surfacing driveway requirement
Recap of the Commission Appreciation Dinner (no documentation provided)
Ill. Adjournment
The Work Session adjourned at _ p.m.
GACity ClerMouncil\Work sessions\thirdwsagenda4-7-0g.doc
Memorandum
�c` of
RYSTAL
DATE: April 2, 2009
TO: Mayor and City Council
Anne Norris, City Manager
FROM: Charles Hansen, Finance Director C H
SUBJECT: County Highway 81 Payment Schedule
City staff met with Hennepin County staff on March 2, 2009 to discuss options for
financing the Crystal local match of the County Highway 81 project. The latest
estimates for these costs are about $3,455,000 for segment CP01 18 (south of 58th
Ave) and $375,000 for segment CP01 19 (north of 58th
Ave), for a total of $3,830,000.
Local improvements for decorative street lights, gateway monuments, etc. may add
another $500,000. The local improvements may be paid for by Street Light Fund
and TIF funds.
This analysis focuses on how to finance the $3,830,000 which covers right-of-way,
engineering and construction. Well over half of these costs relate to right-of-way
acquisition costs. These acquisitions are happening in 2009. Construction. will
happen during the years 2010 and 2011.
It is possible that the acquisition costs could come in somewhat under the estimates.
In that case, less money would be borrowed from, and repaid to, Hennepin County.
We are proposing to use several sources of local funds and an interest free loan
from Hennepin County to finance the local match. The interest free loan will need to
be legally structured as a bond -like liability and will need a property tax levy
dedicated to its repayment. This property tax levy would be outside of levy limits if
levy limits remain in place.
Storm Water Utility
It is estimated that about $697,000 of the costs relate to improvements to the storm
water system. The utility capital improvement budget has included these with
anticipated pay -out dates in 2010 and 2011. These could be advanced into 2009 to
meet a need for Hennepin County to receive some of the local match in the same
year that property acquisitions are happening.
Special Assessments
New frontage roads will be constructed as part of the project. Some'properties will
face these and will be getting a new street out of the project. The city will levy
special assessments on these properties at the same rates that would be levied if the
properties were part of Crystal's neighborhood street reconstruction projects.
It is estimated that this will generate $524,650 of special assessments that will be
levied in 2010. If we doing a neighborhood street reconstruction project in 2010,
there will be a bond issue to finance the special assessments and the Highway 81
levy can just be added to the bond issue.
If there isn't a neighborhood street reconstruction project in 2010, it won't be
economical to do a bond issue just for the $524,650 of special assessments for the
Highway 81 levy. In that case, we can have the PIR Fund buy the receivable for the
special assessments.
The special assessments receivable will take the place of some money the PIR
would otherwise have in the city, investment pool. The interest rate on special
assessments is usually higher than the rate of return on our investment portfolio.
Municipal State Aid for Streets — Construction (MSA)
There are a small amount of MSA streets in the project area for Highway 81. It is
estimated that there will be a reimbursement of $62,806 from the -State for these
streets. We may receive this in 2010 and be able to pay it over to Hennepin County.
It is a small enough amount of money so that we can work something out with
Hennepin County if it doesn't come in 2010.
Hennepin County Interest Free Loan
This leaves about $2,545,544 to be financed by a loan from Hennepin County.
Hennepin County proposed a five year repayment period which would mean annual
payments of $509,109 from 2010 through 2014. The loan agreement will need to be
finalized this summer to create a bond like obligation so that Crystal can levy a
property tax of $509,109 for collection during 2010.
The timing of this obligation works out to allow Crystal to take advantage of Bass
Lake Road/Becker Park TIF District which will expire at the end of 2009. This district
will collect tax increments of $1,517,553 in 2009. Expiration of the district will have
an effect on property taxes like a tax cut of $1,517,553 in 2010. The City of Crystal's
share of that will be about 30% or $455,266.
2
However, with levy limits in place, the only way that the City of Crystal can access
that tax capacity is through issuing debt. The interest free loan from Hennepin
County will need to be structured in a way that meets the definition of debt for this
purpose. The net effect of the expiration of the TIF district and the new debt levy will
be about the same as a $50,000 increase in the tax levy by the City of Crystal.
Other Considerations
There have been discussions by the City Council of the possibility of stretching out
the payback period on the interest free loan from Hennepin County to something
more than five years. This would have to be negotiated with Hennepin County. A
stretch -out would have the impacts of lowering the annual property tax levy
dedicated to the payback but also prolonging the time the City is obligated to levy the
tax.
The City of Crystal may face other debt financing needs and pressures on the
property tax levy during this 2010-2014 time frame. An example could be the
replacement of the Streets/Parks garage which could happen in the 2011-2012 time
frame. The required bond issue would come up about half way through the payback
of the Hennepin County loan.
The City would have to begin making debt service payments on the bonds the year
after they are issued. There would be overlap between these debt service payments
and the Hennepin County loan repayments. This overlap could possibly be
minimized by making only interest payments on the garage bonds until the Hennepin
County loan is repaid, then starting principal repayments on the garage bonds.
Conclusion
I recommend that the City Council consider the attached financing plan for the
Crystal local match required for the County Highway 81 reconstruction. If this plan
doesn't meet the City Council's goals, then direction should be given to the staff on
alternatives to be negotiated with Hennepin County.
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1CRYSTAL
AMENEFTATOM5950M
TO: Anne Norris, City Manager (for April 7 City Council Work Session)
FROM: Patrick A. Peters, Community Development Director
SUBJECT: Consider proposed vacant building registration ordinance
Background
At its February 17 work session, staff provided the City Council with a brief overview of
the purpose and intent for a new ordinance to regulate vacant buildings through annual
registration. A draft of the proposed ordinance has since been prepared and is attached
for your review prior to the April 7 Council work session. The City Attorney has reviewed
the proposed ordinance for form and scope.
Overview
Vacant buildings, if not properly monitored and maintained, can become nuisances and
impose a blighting influence on neighborhoods. Neglect and the potential use of vacant
buildings by transients and trespassers creates a risk of structural damage, fire,
explosion or flooding. Properties witwh vacant buildings often are used as dumping
grounds and may become overgrown. Vacant buildings reduce property values and set
low expectations for community standards. Vacant, unkempt buildings are a source of
irritation for residents who take care of their property and an important consideration for
those contemplating purchasing a home in Crystal.
The impacts of vacant buildings on surrounding properties, entire neighborhoods and
the community are significant and ultimately result in higher levels of management of
such properties. Foreclosed homes, for example, may be vacant for months or years,
becoming targets for vandalism, illegal dumping, health and safety hazards, and
general nuisances. There is a substantial, on-going cost to the city for monitoring and
responding to reports related to vacant buildings. City staff members have successfully
resolved issues at vacant properties with nuisance conditions (lack of maintenance,
accumulation of junk and debris, unsecured, etc.), but this level of enforcement activity
consumes a significant amount of staff time and city resources. In 2008 alone, staff
abated nuisance conditions at 57 properties, nearly all of which were vacant and/or
abandoned.
It is staffs position that the costs associated with monitoring vacant buildings and
responding to citizen reports should not be borne by the general taxpayers of the
Page 1 of 3
community but by those who choose to leave their buildings vacant. As such, staff is
proposing that the Council consider first reading of the proposed vacant building
registration ordinance at its April 21 meeting.
Field Survey of Vacant Buildings
Staff has compiled from various sources a list of 334 vacant buildings in Crystal, 98% of
which are residential. On Friday, April 3, the city's housing inspector will conduct a field
survey of a sampling of these properties to determine the accuracy of the data. Staff will
provide the outcome of this field survey at the April 7 work session.
The list of vacant buildings will form the basis for making initial contact with the property
owners once the ordinance is adopted and creates a baseline for measuring change
over the coming months and years, if necessary.
Proposed Ordinance
The proposed ordinance is intended to protect the public health, safety, and general
welfare by establishing a program for the identification and registration of vacant
buildings within the city. The ordinance would determine the responsibilities of owners
of vacant buildings and provide for program administration, enforcement and
associated penalties. Key elements of the proposed ordinance are:
A. Owner must register a vacant building within 30 days of it becoming vacant. An
annual fee would be paid for this registration.
B. Owner must pay an annual registration fee reasonably related to the
administrative costs of registering and processing the registration form and for
the city's costs for monitoring the vacant building and site.
C. If the property is abandoned or the owner/responsible party fails to register, the
ordinance provides that the city may register the property administratively.
D. A property plan would be required with each registered property that includes a
timetable for use or demolition and a timetable for bringing property into
compliance with applicable codes.
E. The property plan must address methods for maintaining appearance, securing
of the property, fire safety, water shut-off, termination of utilities, sign removal,
exterior maintenance, maintenance of alarm systems, etc.
F. The ordinance would provide the city with the authority to inspect any vacant
building for the purpose of enforcing and assuring compliance with the property
maintenance code and other applicable regulations. Upon request of the
compliance officer, the owner must provide access to all interior portions of the
building and the exterior for inspection purposes.
G. If the owner does not comply with the property plan or fails to maintain the
property or correct nuisance items, the city may commence abatement action
and recover all associated costs.
H. If a building has remained vacant for more than 12 months consecutively, and
the compliance officer has not approved an alternate schedule in the property
plan, the ordinance grants authority to the city to order the owner to demolish the
Page 2 of 3
building. If the owner does not demolish the building, the city may commence
abatement and cost recovery proceedings.
Fees
The annual registration fee is to be based on the anticipated level of effort necessary to
prevent a vacant building from becoming a nuisance. This includes time devoted to field
inspections, code enforcement activities, and all related costs related to ordinance
administration and fee collection.
Fees for the registration of vacant properties vary considerably across the metro.
A. St. Paul: $1,000/year
B. Minneapolis: $6,000/year
C. Brooklyn Center:
® $100 - $400 per year, dependant upon level and frequency of code violations
$1,000 after 12 months of vacancy
$3,000 after 36 months of vacancy
An additional $500 one-time "conversion fee" intended to cover inspection
costs for properties changing occupancy.
An additional mandatory "maintenance verification inspection fee of $195.
Staff recommends that the Council consider establishing a flat registration fee of $500
per year for each property with a vacant building, with no increases for continuous
vacancy and no distinction for level and frequency of code violations. Since the fee
must reasonably be related to staff time and level of effort, staff feels it is difficult to
claim that a building that is vacant beyond the initial 12 months requires additional time
and effort to ensure its upkeep by the owner. Staff also feels that it is difficult to justify
an increased fee simply in anticipation that properties with a history of on-going code
violations will maintain a high frequency of reported violations, when in fact the intent of
the registration process is to reduce or eliminate the number of code violations overall.
Request
That the City Councli direct staff to prepare the ordinance for first reading on April 21,
2009.
Page 3 of 3
CITY OF CRYS'T'AL
ORDINANCE #2009 -
._�I �,�1 •� �' X11
The City of Crystal Does Ordain:
Crystal City Code Chapter 400 is hereby amended by adding a new section 435, Vacant Building
Registration, as follows:
Section 435 — Vacant Building Registration
435.01. Purpose and Findings. Subdivision 1. The Crystal city council is enacting this section to
help protect the public health, safety and welfare by establishing a program for the identification
and regulation of vacant buildings within the city. This section also determines the
responsibilities of owners of vacant buildings and provides for administration, enforcement, and
penalties associated with same.
Subd. 2. The city council finds that vacant buildings are a major cause and source of
blight in residential and non-residential neighborhoods, especially when the owner or responsible
party of the building fails to actively maintain and manage the building to ensure it does not
become a liability to the neighborhood. Vacant buildings often attract transients, homeless
people, trespassers and criminals, including drug abusers. Neglect of vacant buildings, as well as
use of vacant buildings by transients and criminals, creates a risk of fire, explosion or flooding
for the vacant building and adjacent properties. Vacant properties often are used as dumping
grounds for junk and debris and often are overgrown with weeds and grass. Vacant buildings that
are boarded to prevent entry by transients and other long-term vacancies discourage economic
development and retard appreciation of property values. There is a substantial cost to the City for
monitoring vacant buildings whether or not those buildings are boarded. This cost should not be
borne by the general taxpayers of the community; but, rather, these costs should be borne by
those who choose to leave their buildings vacant.
435.03. Definitions. For the purposes of this section, the terms defined in this subsection have
the meanings given them and shall apply in the interpretation and enforcement of this section.
"Abandoned Property" means property that the owner has surrendered, voluntarily relinquished,
disclaimed, or ceded all right, title, claim, and possession, with the intention of not reclaiming it
"Compliance Official" means the City Manager and the City Manager's designated agents
authorized to administer and enforce this section.
"Building" is any roofed structure used or intended for supporting or sheltering any use or
occupancy.
Page 1 of 8
"Owner" or "Property Owner" is the owner of record according to Hennepin County property tax
records; those identified as owner or owners on a vacant building registration form, a holder of
an unrecorded contract for deed, a mortgagee or vendee in possession, a mortgagor or vendor in
possession, an assignee of rents, a receiver, an executor, a trustee, a lessee, other person, firm or
corporation in control of the freehold of the premises or lesser estate therein. An owner also
means any person, partnership, association, corporation or fiduciary having a legal or equitable
title or any interest in the property or building. This includes any partner, officer or director of
any partnership, corporation, association or other legally constituted business entity. All owners
shall have joint and several obligations for compliance with the provisions of this section.
"Responsible party" is an owner, entity or person acting as an agent for the owner who has direct
or indirect control or authority over the building or real property upon which the building is
located; any party having a legal or equitable interest in the property. Responsible party may
include but is not limited to a realtor, service provider, mortgagor, leasing agent, management
company or similar person or entity.
"Vacant building" a building is vacant if no person or persons actually and currently conducts a
lawful business or lawfully resides or lives in any part of the building on a permanent,
nontransient basis in accordance with city of Crystal zoning regulations.
435.05. Vacant Building Registration. Subd. 1. Application. The owner or responsible party shall
register a vacant building with the city no later than thirty (30) days after the building becomes
vacant. The registration shall be submitted on a form provided by the city and shall include the
following information supplied by the owner:
a) The naive, address, telephone number and email address, if applicable, of each owner
and each owner's representative;
b) The names, addresses, telephone numbers and email addresses, if applicable, of all
known lien holders and all other parties with any legal interest in the building;
c) The name, address, telephone number and email address, if applicable, of a local
agent or person responsible for managing or maintaining the property;
d) The legal description, tax parcel identification number and street address of the
premises on which the building is situated;
e) A description of the premises, including the common address of the property;
f) The date the building became vacant, the period of time the building is expected to
remain vacant, and a property plan and timetable for returning the building to
appropriate occupancy or use and correcting code violations and nuisances, or for
demolition of the building;
g) The status of water, sewer, natural gas and electric utilities.
Page 2 of 8
h) The owner shall notify the compliance official within thirty (30) days of changes in
any of the information supplied as part of the vacant building registration.
Subd. 2. Property Plan. The property plan identified above in 435.05, Subd. 1 f) shall
meet the following requirements:
a) General provisions. The plan shall comply with all applicable regulations and meet
the approval of the compliance official. It shall contain a timetable regarding use or
demolition of the property. The plan shall be completed within 30 days after the
building is registered.
b) Maintenance of building. The plan shall identify the means and timetable for
addressing all maintenance and nuisance -related items identified in the application.
Any repairs, improvements or alterations to the property shall comply with building
code provisions and applicable city regulations.
c) Plan Changes. If the property plan or timetable for the vacant building is revised in
any way for any purpose, the revisions shall meet the approval of the compliance
official.
d) Demolition Required. If a building has remained vacant for a period of three hundred
and sixty-five (365) consecutive days, and the compliance official has not approved
an alternative schedule in the property plan, the city shall declare the building to be a
nuisance and direct the owner to demolish the building and restore the grounds. If the
owner does not demolish the building and thereby eliminate the nuisance conditions,
the City may commence abatement and cost recovery proceedings for the abatement
of the violation in accordance with section 425.25 of this code and Minnesota
Statutes, section 429.101.
Subd. 3. Non-compliance and Notification. If the owner does not comply with the
property plan, or maintain or correct nuisance violations, the City may commence abatement
and recover its costs for correction of those items in accordance with section 425.25 of this
code and Minnesota Statutes, section 429.101. In the case of an absent owner and ongoing
nuisance issues, the city need not provide notice of each abatement act to the owner. A single
notice by the City to the owner is determined to be sufficient notice that it intends to provide
ongoing abatement until the owner corrects the violations.
Subd. 4. Exemptions.
a) Fire Damage. A building that has suffered fire damage is exempt from the
registration requirement for a period of ninety (90) days after the date of the fire if the
owner submits a request for exemption in writing to the compliance official. An
exemption request for review by the compliance official shall include the following
information supplied by the owner:
i. A description of the premises;
Page 3 of 8
ii. The name and address of owner or owners;
iii. A statement of intent to repair and reoccupy the building in an expeditious
manner and the time frame for completion;
iv. Actions the owner will take to ensure the property does not become a nuisance
for the neighborhood.
b) Snowbirds. Those persons who leave their residential buildings on a temporary basis
for vacation purposes or to reside elsewhere during the winter season and have the
intent to return are exempt from the registration requirement. Requests for
"snowbird" exemption will be considered annually with proper verification.
Subd. 5. Fees. The owner shall pay an annual registration fee. The registration fee will be
in an amount adopted by resolution by the City Council. The amount of the registration fee shall
be reasonably related to the administrative costs for registering and processing the registration
form and for the costs of the City in monitoring the vacant building site. The fee shall be paid in
full prior to the issuance of any building permits or licenses, with the exception of a demolition
permit.
Subd. 6. Waiver of Fees. The city may waive the registration fee if the owner or
responsible party has paid all past due registration fees and all other financial obligations and
debts owed to the City that are associated with the vacant property and demonstrates, to the
satisfaction of the compliance official that:
a) The property is re -occupied, with the exception of demolition, within a period of time
deemed reasonable to the compliance official; and either
b) The owner or responsible party is in the process of demolition, rehabilitation, or other
substantial repair of the vacant building; or
c) The owner or responsible party has a plan for the demolition, rehabilitation, or other
substantial repair of the vacant building in a period of time that is deemed reasonable
to the compliance official.
Subd. 7. Assessment. If the registration fee or any portion is not paid within 60 days after
billing or within 60 days after any appeal becomes final, the City Council may certify the unpaid
fees against the property in accordance with Minnesota Statutes, section 429.101.
Subd. 8. Issuance of Permit. Upon completion of the registration process and payment of
the fee, the City will issue a Vacant Building Permit to the owner. The owner shall securely post
the permit on the vacant building on a side entrance door, where possible, that is not generally
visible from the public street. If no side entrance door is available, the permit shall be securely
posted on another available entrance door.
Page 4 of 8
Subd. 9. Failure to Register. If the property is abandoned or the owner or responsible
party fails to complete the registration process, the property will be administratively registered as
a vacant property.
435.10. Change of Ownership. A new owner(s) shall register or re -register a vacant building in
accordance with subsection 435.05 within fifteen (15) days of any transfer of an ownership
interest in a vacant building. The new owner(s) shall comply with the approved property plan
and timetable submitted by the previous owner. The owner or responsible part shall submit any
changes proposed to the property plan to the compliance official for review and approval.
435.15. Inspections. The compliance official may inspect any vacant building in the city for the
purpose of enforcing and assuring compliance with this section and other applicable regulations.
Upon the request of the compliance official, an owner or responsible party shall provide access
to all interior portions of the building and the exterior of the property in order to complete an
inspection. If the owner or responsible party is not available [or refuses?] to provide access to the
interior of the building, the city may use any legal means to gain entrance to the building for
inspection purposes. Prior to any re -occupancy, the owner or responsible party shall request an
inspection of the vacant building by the compliance official to determine compliance with
section 425 of this code and all other applicable regulations. All application and reinspection fees
also shall be paid prior to building occupancy.
435.20. Maintenance of Vacant Buildings. Subd. 1. The owner shall comply with and address the
following items in the property plan, as described in 435.05, subd. 2.:
a) Appearance. All vacant buildings shall be so maintained and kept that they appear to
be occupied.
b) Securing. All vacant buildings shall be secured from outside entry by unauthorized
persons or pests. Security shall be ensured by normal building amenities such as
windows and doors having adequate strength to resist intrusion. All doors and
windows shall remain locked. There shall be at least one operable door into every
building and into each dwelling unit. Exterior walls and roofs shall remain intact
without holes.
Architectural (Cosmetic) Structural Panels. Architectural structural panels
may be used to secure windows, doors and other openings provided they are
cut to fit the opening and match the characteristics of the building.
Architectural panels may be of exterior grade -finished plywood or Medium
Density Overlaid plywood (MDO) that is painted to match the building
exterior or covered with a reflective material such as plexi -glass to simulate
windows.
ii. Temporary Securing. Untreated, exterior grade (CDX) plywood or similar
structural panels may be used to secure windows, doors and other openings
for a maximum period of 90 days.
Page 5 of 8
ill. `Artistic" board -up. With prior approval of the compliance official, artistic
options may be utilized to secure a vacant building.
iv. Emergency securing. The compliance official may take immediate steps to
secure a vacant building at his or her discretion in emergency circumstances.
c) Fire Safety.
i. Fire protection systems. Owners of non-residential vacant buildings shall
maintain all fire protection systems, appliances and assemblies in operating
condition and maintain underwriter laboratories (UL) monitoring of all systems.
ii. Removal of hazardous and combustible materials. The owner of any vacant
building, or vacant portion thereof, shall remove all hazardous material and
hazardous refuse that could constitute a fire hazard or contribute to the spread of
fire.
d) Plumbing fixtures. Plumbing fixtures connected to an approved water system, an
approved sewage system, or an approved natural gas utility system shall be installed
in accordance with applicable codes and be maintained in sound condition and good
repair or removed and the service terminated in the manner prescribed by applicable
codes. The building's water systems shall be protected from freezing.
e) Electrical. Electrical service lines, wiring, outlets or fixtures not installed or
maintained in accordance with applicable codes shall be repaired, removed or the
electrical services terminated to the building in accordance with applicable codes.
f) Lighting. All exterior lighting fixtures shall be maintained in good repair, and
illumination shall be provided to the building and all wallcways in the same manner as
provided at the time the building was last occupied or as otherwise provided in the
approved vacant building plan.
g) Heating. Heating facilities or heating equipment in vacant buildings shall be removed,
rendered inoperable, or maintained in accordance with applicable codes.
h) Termination of utilities. The compliance official may require that water, sewer,
electricity, or gas service to the vacant building be terminated or disconnected. Prior
to the termination of any utility service, the city will provide written notice to the
owner. No utility may be restored until consent is given by the compliance official.
Utilities may be discontinued at the request of the owner or responsible party as part
of the approved vacant building property plan. The compliance official may authorize
immediate termination of utilities at his or her discretion in emergency circumstances
and provide subsequent notice to the owner or responsible party.
i) Signs. Obsolete or unused exterior signs and installation hardware shall be removed.
Holes and penetrations shall be properly patched and painted to match the building.
Page 6 of 8
Surfaces beneath the signs that do not match the building shall be repaired,
resurfaced, painted or otherwise altered to be compatible with the building surfaces.
All signs shall be maintained in good condition and comply with the provisions of
section 405 of this code.
j) Exterior maintenance. The owner shall comply with all applicable property
maintenance regulations and city codes including, but not limited to, the following:
1) Nuisances. The owner shall eliminate any activity on the property that constitutes
a nuisance as defined by section 425, section 2005 and section 2010 of this code.
2) Grass and weeds. Any weeds or grass shall be maintained at a height of no greater
than eight (8) inches and in accordance with section 640.13 of this code.
3) Exterior structure maintenance. The owner shall maintain the vacant building in
compliance with section 425 as deterinined to be necessary by the code official.
4) Abandoned or junk vehicles. The owner shall keep the property free of unlicensed,
inoperable, abandoned or juilked vehicles. The city may cause such vehicles to be
removed.
5) Storage and disposal of refuse. The storage and disposal of refuse shall comply
with the requirements of section 605 of this code.
6) Animals. The owner shall ensure that all animals, including domestic, exotic and
feral, are removed from the property and handled in a humane manner.
7) Diseased, dead or hazardous trees. The owner shall remove diseased, dead or
hazardous trees or branches from the property in accordance with section 2020 of
this code.
8) Graffiti. The owner shall remove all graffiti from the property in accordance with
section 430 of this code.
9) Abandoned pools. Swimming pools shall be covered and secured to prevent
accidental entry, treated to prevent pest harborage, and properly drained and
winterized.
k) Removal of garbage and refuse. The owner of any vacant building or vacant portion
thereof shall keep the building and property free of all garbage, refuse, litter, rubbish,
swill, filth, or other materials identified in section 605 of this code.
1) Police protection systems. All alarm systems in any vacant building or portion thereof
shall be maintained in operating condition.
m) Loitering, criminal activities. Loitering or engaging in criminal activities is prohibited
Page 7 of 8
in the vacant building or on the real property upon which the vacant building is
located. The owner or responsible party shall not allow these activities and shall take
immediate actions to eliminate these conditions upon notification by the city or upon
discovery.
n) Emergency Abatement. The compliance official may authorize immediate abatement
of any public nuisance or correction of any maintenance itein if the compliance
official determines that conditions exist that present an imminent threat to the public
health and safety in accordance with section 425 of this code.
o) Other Codes. The property owner or responsible party shall comply with all other city
codes and applicable regulations.
435.25. No Occupancy or Trespass. No person may trespass, occupy or reside, on a temporary or
permanent basis, in any vacant building, registered or not, without the owner's consent.
435.30. Vandalism or Removal of Items Prohibited. No person may vandalize or remove items
from a vacant building or the property upon which it is located, including, but not limited to,
appliances, fixtures, electrical wiring, copper, or other similar items without the owner's consent.
435.35. Appeal. Any person or responsible party aggrieved by a decision rendered under section
435 may appeal to the City Council. The appeal shall made be in writing, shall specify the
grounds for the appeal, and shall be submitted to the City Manager within ten business days of
the decision that is basis of the appeal.
435.40. Penalties. Any person or responsible party who violates the provisions of section 435 is
subject to penalty as provided under section 306 of this code. Nothing in this section, however, is
deemed to impair other remedies or civil penalties available to the city under this code or state
law, including, but not limited to, Minnesota Statutes, sections 463.15 through 463.261.
Page 8 of 8
Memorandum
icrryP.
(CRYSTAL
.. ci
DATE: April 2, 2009
TO: Mayor and City Council
FROM: Anne Norris, City Manager
SUBJECT: Hard -surfacing Driveway Requirement
Late last year the Council approved an ordinance amending Section 425 (the property
maintenance code) to require hard surfacing of driveways and parking spaces within
180 days of a point of sale or rental inspection.
At the March 3 Council meeting a resident (Anna Hedberg) appeared regarding the
hard -surfacing driveway requirement in a point of sale inspection for her property at
6517 -47th Avenue North. Ms. Hedberg asked whether there was any way for the
hard -surfacing requirement to be waived.
On rare occasions in the past we have allowed owners to sell the property with the
driveway as is, but the new owners have to agree to take on hard -surfacing of the
driveway within 1 year. In one case, we did allow an owner to wait until the street
project to do the driveway, but in this particular case, the street project was coming up
the following year.
In the case of 6517 — 47th Avenue North, this area isn't scheduled for a street
reconstruction project until 2013.
The Council should discuss whether to add some exception language to the hard
surfacing requirement for properties in upcoming street reconstruction areas at its April
7 meeting.
CITY OF CRYSTAL
ORDINANCE #2008-08
AN ORDINANCE RELATING TO DRIVEWAY IMPROVEMENTS
AMENDING CITY CODE SECTION 425
The City of Crystal Does Ordain:
Section 1. Crystal City Code, Section 425 is hereby amended as follows:
425.05, Subd. 2 h). Section 302. Exterior Propegy Areas. Amended by adding an amended
Section 302.3. and adding Sections 302.10, 302.11 and 302.12, to read:
l) 302.3. Sidewalks and driveways All side s, walkways stairs, driveways narking
spaces and similar areas shall be kept in a proper state of repair, and maintained free from
hazardous conditions A11 driveways and lawful auxiliary spaces shall be liars- surfaced
with bituminous or concrete pavement in accordance with standards approved by tlze__cz .
engineer. Alternative Bard surfacing such as Pavers may be approved on a case-bv-case
basis by, the city engineer upon a determination that the standards of l Ci07 Code
Section 51517 Subd 4 g) 8) can be met.,Any non -hard -surfaced driveways existing at the
tune of inspection whether for the Purposes of a Certificate of Compliance or rental
license shall be hard surfaced within 180 days of issuance of a Certificate of Compliance
_ �__t _ fsale i ... tionr. or within 80 .lays of �ccuance of a rental license, ivhether new
for point.of Jure eriJtic�ieviw yr rvooro
Or Yenelyal.
Section 302.10. Removal of snow and ice. The owner of an apartment or commercial
building shall be responsible for the removal of snow and ice from parking lots, driveways,
steps an dwalkways on the premises within 24 hours of the cessation of the snowfall causing
the accumulation.
Section 302.11. Illumination. The owner of a multiple occupancy building shall be
responsible for providing and maintaining illumination in all exterior parking lots and
walkways with provisions to control glare affecting surrounding properties.
3 4) Section 302.12. Landscaping in yards and setbacks. The owner of any building shall be
responsible for providing and maintaining landscaping in all yards and/or setbacks and all
areas not designated for buildings, circulation, parking or storage on the premises.
Section 2. This ordinance is effective in accordance with Crystal City Code, subsection 110.11.
First Reading: November 18, 2008
Second Reading and Adoption: December 16, 2008
Publication: December 24, 2008
Effective Date: January 24, 2009
ATTEST:
J-a4t Lewis, City Clerk
G:\Council\Ordinances2OO8\Ordinance_2008_08.DOC