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2025.04.15 Council Meeting Packet 4141 Douglas Drive North • Crystal, Minnesota 55422-1696 Tel: (763) 531-1000 • Fax: (763) 531-1188 • www.crystalmn.gov Posted: April 11, 2025 City Council Meeting Schedule Tuesday, April 15, 2025 Time Meeting Location 6:30 p.m. City council work session to discuss: 1. Community Development quarterly update. 2. Organized waste collection. 3. Council liaison reports. 4. Constituent issues update. 5. City manager update. 6. New business. 7. Announcements. Upper community room/Zoom 7 p.m. City council meeting Upper community room/Zoom Immediately following the city council meeting Economic Development Authority (EDA) meeting Upper community room/Zoom Immediately following the EDA meeting Continuation of city council work session, if necessary Upper community room/Zoom The public may attend the meetings via Zoom by connecting through one of the methods identified below. Topics: Crystal City Council work session, city council meeting, EDA meeting and continuation of city council work session, if necessary. Time: April 15, 2025, 6:30 p.m., Central Time (US and Canada) Join Zoom meeting: https://us02web.zoom.us/j/82676145775?pwd=zDoDS1peTcJ8qRNxkj7bjTXZ5HiAPd.1 Meeting ID:826 7614 5775 | Passcode: 4141 Find your local number: https://us02web.zoom.us/u/kbqsSZlYJA Auxiliary aids are available upon request to individuals with disabilities by calling the city clerk at (763) 531-1145 at least 96 hours in advance. TTY users may call Minnesota Relay at 711 or 1-800-627-3529. 4141 Douglas Drive North • Crystal, Minnesota 55422-1696 Tel: (763) 531-1000 • Fax: (763) 531-1188 • www.crystalmn.gov Posted: April 11, 2025 City Council Work Session Agenda Tuesday, April 15, 2025 6:30 p.m. Upper Community Room/Zoom Pursuant to due call and notice given in the manner prescribed by Section 3.01 of the City Charter, the work session of the Crystal City Council was held on Tuesday, April 15, 2025, at ______ p.m. in the upper community room at city hall, 4141 Douglas Dr. N., Crystal, MN and via Zoom. If the agenda items are not completed in time for the city council meeting at 7 p.m., the work session will be continued and resumed immediately following the Economic Development Authority meeting. The public may attend the meeting via Zoom by connecting to it through one of the methods identified on the City Council Meeting Schedule for Tuesday, April 15, 2025. I. Attendance Council members Staff ____ Deshler ____ Bell ____ Struve ____ Eidbo ____ Tierney ____ Sutter ____ Kamish ____ Therres ____ Serres ____ Kiser ____ Elholm ____ Onesirosan ____ Larson ____ Budziszewski ____ Kunde ____ Cummings ____ Revering ____ Hubbard II. Agenda The purpose of the work session is to discuss the following agenda items: 1. Community Development quarterly update.* 2. Organized waste collection. 3. Council liaison reports.* 4. Constituent issues update.* 5. City manager update.* 6. New business.* 7. Announcements.* III. Adjournment The work session adjourned at ______ p.m. * Denotes no documentation included in the packet. Auxiliary aids are available upon request to individuals with disabilities by calling the city clerk at (763) 531-1145 at least 96 hours in advance. TTY users may call Minnesota Relay at 711 or 1-800-627-3529. Memorandum DATE: April 11, 2025 TO: Mayor and City Council FROM: Adam R. Bell, City Manager SUBJECT: Organized Waste Collection BACKGROUND At a previous work session, the city council asked staff to present information on organized waste hauling based on recent constituent inquiries. Transitioning to an organized collection system involves the city coordinating waste collection services, either through contracts with haulers or municipal operations. Crystal currently operates an "open hauling" system for solid waste, which means residents choose a hauling company from a list of approved providers. Crystal currently has six licensed haulers that provide service to residents. "Organized hauling" (also called organized collection) is a waste collection system in which the City manages, contracts, and coordinates residential curbside waste. Crystal currently operates as an organized collection system for recycling and organics as a member of the Hennepin Recycling Group (HRG). One organized hauling option is a consortium model, which would provide each hauler that currently operates in Crystal with a certain number of households to serve that is equal to its current market share. This would mean all six haulers that serve Crystal residents now would be included in formulating a consortium system. The city would assign each hauler to a different section of the city and determine which day collection would occur. Another organized hauling option is a single-hauler model, in which only one company provides all services citywide. LEGAL PROCESS FOR TRANSITIONING TO ORGANIZED COLLECTION The transition process is governed by Minnesota Statutes §115A.94, which mandates a structured approach: 1. Initiation: The city must notify all licensed haulers of its intent to consider organized collection. 2. Negotiation Period: A minimum 60-day negotiation period with haulers to discuss potential arrangements. 3. Public Engagement: Conduct public hearings and solicit resident feedback. 4. Implementation: If negotiations fail, the city may proceed with organizing collection, ensuring compliance with statutory requirements. The entire process can span 12 to 24 months, depending on community engagement and potential legal challenges. COMPARATIVE ANALYSIS: OPEN VS. ORGANIZED COLLECTION SYSTEMS A. City Perspective Open Collection Pros: • Minimal administrative oversight. • Encourages market competition among haulers. Cons: • Increased road wear due to multiple haulers operating in the same areas. • Challenges in enforcing service standards and addressing complaints. Organized Collection Pros: • Streamlined operations with designated haulers per area. • Potential for reduced environmental impact and improved public safety. Cons: • Requires significant administrative resources to manage contracts and monitor performance. • Potential legal challenges from haulers or residents opposing the change. B. Resident Perspective Open Collection Pros: • Freedom to choose preferred hauler based on price or service quality. • Established relationships with local haulers. Cons: • Inconsistent service days and potential for higher cumulative costs. • Increased traffic and noise due to multiple haulers servicing the same streets. Organized Collection Pros: • Standardized rates and service levels across the community. • Reduced truck traffic and associated nuisances. Cons: • Limited choice in selecting a hauler. • Concerns about service quality and responsiveness. CHALLENGES IN TRANSITIONING TO ORGANIZED COLLECTION • Political Opposition: Residents and haulers may perceive the change as limiting freedom of choice, leading to public outcry and potential referendums. • Legal Risks: Haulers may initiate legal action if they believe the city has not adhered to statutory procedures, as seen in Anoka and Mounds View. • Operational Complexity: Developing and managing contracts, monitoring performance, and handling billing require enhanced administrative capabilities. • Community Engagement: Effective communication strategies are essential to educate residents on the benefits and address concerns. RECENT MINNESOTA CITIES CONSIDERING TRANSITION 1. St. Paul Outcome: Successfully transitioned to organized collection in 2018. Faced significant opposition, leading to a 2019 referendum where organized collection was upheld. In 2025, the city plans to consolidate services with a single hauler, FCC Environmental, and introduce municipal collection for 10% of households. 2. Coon Rapids Outcome: Explored organized collection in 2023 but decided against implementation in 2024. Opted to improve the existing open system through policy changes and enhanced regulations. 3. Anoka Outcome: Faced legal challenges from haulers in 2024 after attempting to form a committee to study organized collection without completing the required negotiation period. Voters amended the charter to require a ballot question for the decision by a vote of 75%-25%. Referendum failed 51%-48% 4. Mounds View Outcome: In 2024, residents approved a charter amendment requiring voter approval before implementing organized collection. Haulers filed lawsuits alleging the city rushed the process, with legal proceedings ongoing. 5. Little Canada Outcome: Transitioned from a three-hauler system to a single-hauler model in 2025, contracting with Republic Services for trash and Waste Management for recycling. The change aimed to ensure uniform service and rates across the city. CONCLUSION AND RECOMMENDATIONS Transitioning to an organized waste collection system offers potential benefits, including standardized services and reduced environmental impact. However, it also presents serious challenges that require careful planning, community engagement, and adherence to legal procedures. Of all the issues that generate angst among residents, the issue of organized collection is at or near the top. At a minimum, staff recommendations include conducting additional community outreach that could include public forums and surveys to gauge resident opinions and address concerns. RECOMMENDATION Staff recommends the City Council take one of the following actions: 1. Decline to pursue investigating organized collection further at this time; 2. Refer the issue of organized waste collection to the Sustainability Commission and direct the commission to continue informally discussing the matter and provide advisory opinion on future actions; or 3. At a regular council meeting, formally initiate preliminary discussions and engage with licensed haulers to discuss potential frameworks for organized collection. ATTACHMENTS • MN ST 115A.94 ORGANIZED COLLECTION. • “Debate over trash collection is causing a big stink in Anoka as haulers sue.” Star Tribune 6/27/2024 • “Anoka will need residents’ approval before enacting city-run garbage collection program.” Star Tribune 8/19/2024 • “City of Anoka Residents vote ‘no’ on single organized trash collection system.” Fox9 11/6/2024 • “Mounds View residents vote ‘no’ on single organized trash collection system.” Fox9 11/6/2024 115A.94 ORGANIZED COLLECTION.​ Subdivision 1.Definition."Organized collection" means a system for collecting solid waste in which​ a specified collector, or a member of an organization of collectors, is authorized to collect from a defined​ geographic service area or areas some or all of the solid waste that is released by generators for collection.​ Subd. 2.Local authority.A city or town may organize collection, after public notification and hearing​ as required in subdivisions 4a to 4f. A county may organize collection as provided in subdivision 5. A city​ or town that has organized collection as of May 1, 2013, is exempt from subdivisions 4a to 4f.​ Subd. 3.General provisions.(a) The local government unit may organize collection as a municipal​ service or by ordinance, franchise, license, negotiated or bidded contract, or other means, using one or more​ collectors or an organization of collectors.​ (b) The local government unit may not establish or administer organized collection in a manner that​ impairs the preservation and development of recycling and markets for recyclable materials. The local​ government unit shall exempt recyclable materials from organized collection upon a showing by the generator​ or collector that the materials are or will be separated from mixed municipal solid waste by the generator,​ separately collected, and delivered for reuse in their original form or for use in a manufacturing process.​ (c) The local government unit shall invite and employ the assistance of interested persons, including​ persons licensed to operate solid waste collection services in the local government unit, in developing plans​ and proposals for organized collection and in establishing the organized collection system.​ (d) Organized collection accomplished by contract or as a municipal service may include a requirement​ that all or any portion of the solid waste, except (1) recyclable materials and (2) materials that are processed​ at a resource recovery facility at the capacity in operation at the time that the requirement is imposed, be​ delivered to a waste facility identified by the local government unit. In a district or county where a resource​ recovery facility has been designated by ordinance under section 115A.86, organized collection must conform​ to the requirements of the designation ordinance.​ Subd. 4.[Repealed, 2013 c 45 s 7]​ Subd. 4a.Committee establishment.(a) Before implementing an ordinance, franchise, license, contract,​ or other means of organizing collection, a city or town, by resolution of the governing body, must establish​ a solid waste collection options committee to identify, examine, and evaluate various methods of solid waste​ collection. The governing body shall appoint the committee members.​ (b) The solid waste collection options committee is subject to chapter 13D.​ Subd. 4b.Committee duties.The committee established under subdivision 4a shall:​ (1) determine which methods of solid waste collection to examine, which must include:​ (i) the existing system of collection;​ (ii) a system in which a single collector collects solid waste from all sections of a city or town; and​ (iii) a system in which multiple collectors, either singly or as members of an organization of collectors,​ collect solid waste from different sections of a city or town;​ (2) establish a list of criteria on which the solid waste collection methods selected for examination will​ be evaluated, which may include: costs to residential subscribers, impacts on residential subscribers' ability​ Official Publication of the State of Minnesota​ Revisor of Statutes​ 115A.94​MINNESOTA STATUTES 2024​1​ to choose a provider of solid waste service based on the desired level of service, costs and other factors, the​ impact of miles driven on city streets and alleys and the incremental impact of miles driven by collection​ vehicles, initial and operating costs to the city of implementing the solid waste collection system, providing​ incentives for waste reduction, impacts on solid waste collectors, and other physical, economic, fiscal, social,​ environmental, and aesthetic impacts;​ (3) collect information regarding the operation and efficacy of existing methods of solid waste collection​ in other cities and towns;​ (4) seek input from, at a minimum:​ (i) the governing body of the city or town;​ (ii) the local official of the city or town responsible for solid waste issues;​ (iii) persons currently licensed to operate solid waste collection and recycling services in the city or​ town; and​ (iv) residents of the city or town who currently pay for residential solid waste collection services; and​ (5) issue a report on the committee's research, findings, and any recommendations to the governing body​ of the city or town.​ Subd. 4c.Governing body; implementation.The governing body of the city or town shall consider​ the report and recommendations of the solid waste collection options committee. The governing body must​ provide public notice and hold at least one public hearing before deciding whether to implement organized​ collection. Organized collection may begin no sooner than six months after the effective date of the decision​ of the governing body of the city or town to implement organized collection.​ Subd. 4d.Participating collectors proposal; requirement.Before establishing a committee under​ subdivision 4a to consider organizing residential solid waste collection, a city or town with more than one​ licensed collector must notify the public and all licensed collectors in the community. The city or town must​ provide a period of at least 60 days in which meetings and negotiations shall occur exclusively between​ licensed collectors and the city or town to develop a proposal in which interested licensed collectors, as​ members of an organization of collectors, collect solid waste from designated sections of the city or town.​ The proposal shall include identified city or town priorities, including issues related to zone creation, traffic,​ safety, environmental performance, service provided, and price, and shall reflect existing haulers maintaining​ their respective market share of business as determined by each hauler's average customer count during the​ six months prior to the commencement of the exclusive negotiation period. If an existing hauler opts to be​ excluded from the proposal, the city may allocate their customers proportionally based on market share to​ the participating collectors who choose to negotiate. The initial organized collection agreement executed​ under this subdivision must be for seven years. Upon execution of an agreement between the participating​ licensed collectors and city or town, the city or town shall establish organized collection through appropriate​ local controls and is not required to fulfill the requirements of subdivisions 4a, 4b, and 4c, except that the​ governing body must provide the public notification and hearing required under subdivision 4c.​ Subd. 4e.Parties to meet and confer.Before the exclusive meetings and negotiations under subdivision​ 4d, participating licensed collectors and elected officials of the city or town must meet and confer regarding​ waste collection issues, including but not limited to road deterioration, public safety, pricing mechanisms,​ and contractual considerations unique to organized collection.​ Official Publication of the State of Minnesota​ Revisor of Statutes​ 2​MINNESOTA STATUTES 2024​115A.94​ Subd. 4f.Joint liability limited.Notwithstanding section 604.02, an organized collection agreement​ must not obligate a participating licensed collector for damages to third parties solely caused by another​ participating licensed collector. The organized collection agreement may include joint obligations for actions​ that are undertaken by all the participating licensed collectors under this section.​ Subd. 5.Counties; organized collection.(a) A county may by ordinance require cities and towns within​ the county to organize collection. Organized collection ordinances of counties may:​ (1) require cities and towns to require the separation and separate collection of recyclable materials;​ (2) specify the material to be separated; and​ (3) require cities and towns to meet any performance standards for source separation that are contained​ in the county solid waste plan.​ (b) A county may itself organize collection under subdivisions 4a to 4f in any city or town that does not​ comply with a county organized collection ordinance adopted under this subdivision, and the county may​ implement, as part of its organized collection, the source separation program and performance standards​ required by its organized collection ordinance.​ Subd. 6.Organized collection not required or prevented.(a) The authority granted in this section to​ organize solid waste collection is optional and is in addition to authority to govern solid waste collection​ granted by other law.​ (b) Except as provided in subdivision 5, a city, town, or county is not:​ (1) required to organize collection; or​ (2) prevented from organizing collection of solid waste or recyclable material.​ (c) Except as provided in subdivision 5, a city, town, or county may exercise any authority granted by​ any other law, including a home rule charter, to govern collection of solid waste.​ Subd. 7.Anticompetitive conduct.(a) A political subdivision that organizes collection under this section​ is authorized to engage in anticompetitive conduct to the extent necessary to plan and implement its chosen​ organized collection system and is immune from liability under state laws relating to antitrust, restraint of​ trade, unfair trade practices, and other regulation of trade or commerce.​ (b) An organization of solid waste collectors, an individual collector, and their officers, members,​ employees, and agents who cooperate with a political subdivision that organizes collection under this section​ are authorized to engage in anticompetitive conduct to the extent necessary to plan and implement the​ organized collection system, provided that the political subdivision actively supervises the participation of​ each entity. An organization, entity, or person covered by this paragraph is immune from liability under​ state law relating to antitrust, restraint of trade, unfair trade practices, and other regulation of trade or​ commerce.​ History: 1987 c 348 s 27; 1989 c 325 s 26,27; 1990 c 600 s 1,2; 1991 c 337 s 46; 1993 c 249 s 20,21;​ 2013 c 45 s 1-6; 2018 c 177 s 1-8​ Official Publication of the State of Minnesota​ Revisor of Statutes​ 115A.94​MINNESOTA STATUTES 2024​3​ Page 1 of 3 4141 Douglas Drive North • Crystal, Minnesota 55422-1696 Tel: (763) 531-1000 • Fax: (763) 531-1188 • www.crystalmn.gov Posted: April 11, 2025 City Council Meeting Agenda Tuesday, April 15, 2025 7 p.m. Upper Community Room/Zoom Meeting The city manager’s comments are bolded. 1. Call to Order, Roll Call and Pledge of Allegiance 2. Approval of Agenda The council will consider approval of the agenda. 3. Appearances 3.1 Communications Manager Mike Peterson will share a presentation for the 2025 Neighbors Recognizing Neighbors Awards. 4. Consent Agenda The council will consider the following items, which are routine and non-controversial in nature, in a single motion: 4.1 Approval of the minutes from the following meetings: a. The city council work session on April 1, 2025. b. The city council meeting on April 1, 2025. 4.2 Approval of disbursements over $25,000 submitted by the finance department. 4.3 Approval of the list of license applications submitted by the city clerk. 4.4 Adoption of a resolution accepting donations. 4.5 Adoption of a resolution authorizing the Metropolitan Council Community Tree Planting Grant application. 4.6 Approval of Blue Line Business Advisory Committee appointment. 5. Open Forum The city council appreciates hearing from citizens about items of concern and desires to set aside time during each meeting for open forum. To provide ample opportunity for all, speaking time is limited to three minutes and topic discussion is limited to ten minutes. The mayor may, as presiding officer, extend the total time allowed for a topic. By rule, no action may be taken on any item brought before the council during open forum. The council may place items discussed during open forum onto subsequent council meeting agendas. Page 2 of 3 6. Regular Agenda 6.1 The council will consider the first reading of an ordinance establishing a franchise agreement with CenterPoint Energy. The City of Crystal’s previous natural gas franchise agreement with CenterPoint Energy expired in 2022. A new agreement has been negotiated and reviewed by Kennedy & Graven and is now presented for Council consideration. This agreement, consistent with past practice and state law, grants CenterPoint Energy the right to use the city's public rights-of-way to operate, maintain, and repair its natural gas utility infrastructure. Recommend approval of the ordinance establishing a franchise agreement with CenterPoint Energy. 6.2 The council will consider approval of Subordinate Funding Agreement #01 with the Metropolitan Council for 2025 and 2026 Blue Line Extension Project staff support. The Met Council has offered to fully fund a temporary staff support position to serve as a project manager for the Blue Line Extension Project. This temporary position will be funded for a minimum of two years and may be extended with additional project funding as construction occurs. In order to receive this funding, the city is required to approve a subordinate funding agreement (SFA) to the master funding agreement approved in 2018. Recommend approval of SFA #01 for 2025 and 2026 staff support. 6.3 The council will consider awarding contracts for the 2025 Street and Utility Reconstruction Project and professional construction services for this project. The 2025 Long-Term Plan allocated $2,650,000 for the 2025 Street and Utility Reconstruction Project. Four bids were received and opened on March 20, 2025, and Northdale Construction Co, Inc. was the winning bidder with a low bid of $1,986,894.83. The project consists of the full reconstruction of Jersey Avenue (Medicine Lake Road – 30th Avenue), the full reconstruction of Idaho Avenue (30th Avenue – 31st Avenue), curb replacement, and the replacement of all underground utilities, which are 70 years old. WSB has been selected to provide construction survey, inspection, testing, and construction administration services for $241,715. The total project cost is estimated at $2,228,609.83. Recommend approval of awarding the 2025 Street and Utility Reconstruction Project contract to Northdale Construction Co, Inc. with a low bid of $1,986,894.83 and awarding the professional construction services contract to WSB for $241,715. 7. Announcements a. The Special Materials Drop-Off Day is Saturday, April 26, 8 a.m. – 3 p.m. at Brooklyn Park Public Works, 8300 Noble Ave. N., Brooklyn Park. For more information, visit www.hrg- recycling.com. b. To accommodate Crystal residents practicing No Mow May, which provides habitat and nutrition for early-season pollinators, the city waits until June 1 to begin long grass enforcement. c. The Crystal Police Department Open House is Saturday, May 3, from 10 a.m. – 1 p.m. at 4141 Douglas Dr. N. d. The next city council meeting is Tuesday, May 6 at 7 p.m. in the council chambers at city hall and via Zoom. Page 3 of 3 e. The Parks and Recreation Commission will host the annual Arbor Day celebration and park cleanup on Wednesday, May 7, from 5:30 – 6:30 p.m., at Sunnyview Park, 3000 Hampshire Ave. N. f. City council meetings and work sessions are open to the public. Current and previous meetings are available for viewing and listening at www.crystalmn.gov. 8. Adjournment *Denotes no supporting information included in the packet. Have a great weekend; stay healthy. See you at Tuesday’s meeting. CITY COUNCIL STAFF REPORT 2025 Neighbors Recognizing Neighbors Awards and Video Presentation DATE: April 1, 2025 FROM: City Manager Adam R. Bell TO: Mayor and City Council RE: 2025 Neighbors Recognizing Neighbors Awards Background Since 2017, the City of Crystal has honored those who make our city a wonderful place to live and work with its Neighbors Recognizing Neighbors recognition awards program. Early each year, the city seeks nominations from residents who want their wonderful neighbor recognized for their kindness and helpfulness. This year, the Park and Recreation Commission reviewed the nominations and picked four winners for 2025. The winners were invited to the council meeting and at least one can attend. Our great neighbors recently received their inscribed crystal awards, and a video presentation has been put together to honor them and their contributions to our community. In this presentation, we will hear about winners Terry Goslinga, Grace Lawson, Donna Madera and Jeff and Jennifer Rowdon. 3.1 Crystal City Council work session minutes April 1, 2025 Pursuant to due call and notice given in the manner prescribed by Section 3.01 of the City Charter, the work session of the Crystal City Council was held at 6:31 p.m. on April 1, 2025, in the council chambers at city hall, 4141 Douglas Dr. N., Crystal, MN and via Zoom. Mayor Deshler called the meeting to order. I.Attendance The city clerk recorded the attendance for city council members and staff: Council members present: Cummings, Deshler, Eidbo, Kamish, Kiser, Onesirosan and Budziszewski. City staff present: City Manager A. Bell, City Attorney J. Wier, Assistant City Manager/HR Manager K. Therres, Recreation Director J. Elholm, Recreation Services Manager M. Margo, Police Chief S. Revering, Police Lieutenant J. Tourville, West Metro Fire-Rescue District Fire Chief S. Larson, Assistant Fire Chief J. Kunde, Community Development Director J. Sutter and City Clerk C. Serres. II.Agenda The council and staff discussed the following agenda item: 1.Charitable gambling proceeds. At 7 p.m., Mayor Deshler recessed the work session and continued it until immediately after the Economic Development Authority meeting. Mayor Deshler reconvened the work session at 8:32 p.m. to continue discussion of the following agenda items: 2.City donations. 3.Crystal Frolics. 4.Constituent issues update. 5.New business. 6.Announcements. III.Adjournment The work session adjourned at 9:28 p.m. Julie Deshler, Mayor ATTEST: Christina Serres, City Clerk 4.1(a) Crystal City Council meeting minutes April 1, 2025 Page 1 of 3 1.Call to Order Pursuant to due call and notice given in the manner prescribed by Section 3.01 of the City Charter, the Crystal City Council meeting was held on April 1, 2025, at 7 p.m. in the council chambers at city hall, 4141 Douglas Dr. N. in Crystal, MN and via Zoom. Mayor Deshler called the meeting to order. Roll Call Mayor Deshler asked the city clerk to call the roll for elected officials. Upon roll call, the following attendance was recorded: Council members present: Cummings, Deshler, Eidbo, Kamish, Kiser, Onesirosan and Budziszewski. City staff present: City Manager A. Bell, City Attorney J. Wier, Assistant City Manager/HR Manager K. Therres, Recreation Director J. Elholm, Recreation Services Manager M. Margo, Police Chief S. Revering, Police Lieutenant J. Tourville, West Metro Fire-Rescue District Fire Chief S. Larson, Assistant Fire Chief J. Kunde, Community Development Director J. Sutter and City Clerk C. Serres. Pledge of Allegiance Mayor Deshler led the council and audience in the Pledge of Allegiance. 2.Approval of Agenda The council considered approval of the agenda. Moved by Council Member Budziszewski and seconded by Council Member Kiser to approve the agenda. Motion carried. 3.Consent Agenda The council considered the following items, which are routine and non-controversial in nature, in a single motion: 3.1 Approval of the minutes from the following meetings: a.The city council work session on March 13, 2025. b.The city council work session on March 18, 2025. c.The city council meeting on March 18, 2025. 3.2 Approval of disbursements over $25,000 submitted by the finance department. 3.3 Approval of the list of license applications submitted by the city clerk. Moved by Council Member Budziszewski and seconded by Council Member Kiser to approve the consent agenda. Motion carried. 4.Open Forum No public comment was given during open forum. 5.Regular Agenda 5.1 The council considered the second reading of ordinances related to amending the liquor and tobacco licensing regulations, and resolutions approving summary language for publication: a.An Ordinance Amending Chapter XII of the Crystal City Code Pertaining to the Maximum Number of Off-Sale Licenses, Training Requirements and Presumptive Penalties. b.An Ordinance Amending Chapter XI, Section 1105, of the Crystal City Code Pertaining to Tobacco Sampling, the Maximum Number of Tobacco Licenses and Presumptive Penalties. 4.1(b) Crystal City Council meeting minutes April 1, 2025 Page 2 of 3 c. A Resolution Approving Summary Language for Publication of Ordinance No. 2024-03. d. A Resolution Approving Summary Language for Publication of Ordinance No. 2024-04. City Manager Adam R. Bell addressed the council. 5.1 (a). Moved by Council Member Eidbo and seconded by Council Member Kamish to adopt the following ordinance: ORDINANCE 2025 - 03 AN ORDINANCE AMENDING CHAPTER XII OF THE CRYSTAL CITY CODE PERTAINING TO THE MAXIMUM NUMBER OF OFF-SALE LICENSES, TRAINING REQUIREMENTS AND PRESUMPTIVE PENALTIES And further, that this is the second and final reading. Voting aye: Cummings, Deshler, Eidbo, Kamish, Kiser, Onesirosan and Budziszewski. Motion carried. 5.1 (b). Moved by Council Member Eidbo and seconded by Council Member Kamish to adopt the following ordinance: ORDINANCE 2025 - 04 AN ORDINANCE AMENDING CHAPTER XI, SECTION 1105, OF THE CRYSTAL CITY CODE PERTAINING TO TOBACCO SAMPLING, THE MAXIMUM NUMBER OF TOBACCO LICENSES AND PRESUMPTIVE PENALTIES And further, that this is the second and final reading. Voting aye: Cummings, Deshler, Eidbo, Kamish, Kiser, Onesirosan and Budziszewski. Motion carried. 5.1 (c). Moved by Council Member Eidbo and seconded by Council Member Kamish to adopt the following resolution: RESOLUTION NO. 2025 – 38 RESOLUTION APPROVING SUMMARY LANGUAGE FOR PUBLICATION OF ORDINANCE NO. 2025-03 Voting aye: Cummings, Deshler, Eidbo, Kamish, Kiser, Onesirosan and Budziszewski. Motion carried, resolution declared adopted. 5.1 (d). Moved by Council Member Eidbo and seconded by Council Member Kamish to adopt the following resolution: RESOLUTION NO. 2025 – 39 RESOLUTION APPROVING SUMMARY LANGUAGE FOR PUBLICATION OF ORDINANCE NO. 2025-04 Voting aye: Cummings, Deshler, Eidbo, Kamish, Kiser, Onesirosan and Budziszewski. Motion carried, resolution declared adopted. 4.1(b) Crystal City Council meeting minutes April 1, 2025 Page 3 of 3 5.2 The council considered a resolution establishing new penalties for liquor license and tobacco license violations. City Manager Adam R. Bell addressed the council. Moved by Council Member Budziszewski and seconded by Council Member Eidbo to adopt the following resolution: RESOLUTION NO. 2025 – 40 RESOLUTION AMENDING CRYSTAL CITY CODE APPENDIX IV ESTABLISHING PENALTIES FOR LIQUOR LICENSE AND TOBACCO LICENSE VIOLATIONS By roll call voting aye: Eidbo, Kamish, Kiser and Budziszewski. Voting nay: Onesirosan, Cummings and Deshler. Motion carried, resolution declared adopted. 6. Announcements The council and staff made announcements about upcoming events. 7. Adjournment Moved by Council Member Budziszewski and seconded by Council Member Kiser to adjourn the meeting. Motion carried. The meeting adjourned at 7:30 p.m. ___________________________________ Julie Deshler, Mayor ATTEST: _____________________________________ Christina Serres, City Clerk 4.1(b) DATE: April 7, 2025 TO: Adam R. Bell, City Manager City of Crystal City Council FROM: Jean McGann, Contracted Finance Director RE: Expenditures over $25,000 Payee Amount Nick's Tree Service Special Assessment Tree Removal - 16.5 trees $37,850.00 Recreation by Lemmie Jones Jumping Platform Installation for Pool $26,000.00 LMCIT Q2 2025 Workers' Compensation Insurance $57,990.00 LMCIT Q2 2025 Property and Casualty Insurance $70,135.00 MN PERA Employee and City Required Contributions for 3/28/25 Pay Date $77,776.66 IRS - EFTPS Federal and FICA Withholding Taxes for 3/28/25 Pay Date $76,765.84 HealthPartners, Inc.April Health Insurance Premiums $159,081.18 $536,219.68 Description WSB & Associates, Inc.Twin Oaks Park, Welcome Park, North Lions Park and 2025 Reconstruction Design $30,621.00 4.2 Page 1 of 1 Consent Agenda Item 4.3 (Revised) City of Crystal Council Meeting April 15, 2025 Applications for City License Massage Therapist Jing Xu (Natural Wellness Spa) 5524 West Broadway, Crystal, MN 55428 Multiple Animal Kennel/Commercial Emily Pollnow, 3035 Hampshire Ave. N., Crystal, MN 55428 Posh Pets LLC dba Pets Supplies Plus, 345 Willow Bend, Crystal, MN 55428 Multiple Animal Kennel/Non-Commercial Jessica Barnhart, 4848 Florida Ave. N., Crystal, MN 55428 Tracey Videen, 4901 Vera Cruz Ave. N., Crystal, MN 55429 Rental (new) 4528 Hampshire Ave. N. – Alyssa Zenz (Conditional) 8600 32nd Pl. N. – Mervat Girgis Rental (renewal) 5717 Adair Ave. N. – 3 Rivers St Paul LLC (Conditional) 5108 Angeline Ave. N. – Chen Zhou (Conditional) 6507 Cloverdale Ave. N. – Logan Hunt 4321 Colorado Ave. N. – James and Alice Baker 5123 Corvallis Ave. N. – Jerad Soule (Conditional) 6707 Corvallis Ave. N. – Chen Zhou 4859 Edgewood Ave. N. – Saosamprathna Oudom (Conditional) 5945 Elmhurst Ave. N. – Fadel Sakkal (Conditional) 6330 Fairview Ave. N. – Ken Olson 3109 Hampshire Ave. N. – Aron Johnson 3421 Major Ave. N. – William Feist (Conditional) 4848 Maryland Ave. N. – Reese Pfeiffer (Conditional) 5724 Orchard Ave. N. – Chen Zhou (Conditional) 5621 Perry Ave. N. – Lance Nordin 3256 Welcome Ave. N. – David Huber 4733 Welcome Ave. N. – Hanahill Properties LLC (Conditional) 6307 34th Ave. N. – Wally Anderson (Conditional) 6713 34th Ave. N. – Logan Hutton 5916 38th Ave. N. – Jason Herzog (Conditional) 5825 46th Ave. N. – Luis Duchi 6736 50th Ave. N. – Jason Hoppe (Conditional) 7206 58th Ave. N. – Andrew Fashingbauer 4824 59th Ave. N. – HPA II Borrower 2019-1 LLC 6418 61st Ave. N. – Chen Zhou Page 1 of 1 City of Crystal Council Meeting April 15, 2025 Applications for City License Massage Therapist Jing Xu (Natural Wellness Spa) 5524 West Broadway, Crystal, MN 55428 Multiple Animal Kennel/Commercial Emily Pollnow, 3035 Hampshire Ave. N., Crystal, MN 55428 Posh Pets LLC dba Pets Supplies Plus, 345 Willow Bend, Crystal, MN 55428 Multiple Animal Kennel/Non-Commercial Jessica Barnhart, 4848 Florida Ave. N., Crystal, MN 55428 Tracey Videen, 4901 Vera Cruz Ave. N., Crystal, MN 55429 Rental (new) 4528 Hampshire Ave. N. – Alyssa Zenz (Conditional) 8600 32nd Pl. N. – Mervat Girgis Rental (renewal) 5717 Adair Ave. N. – 3 Rivers St Paul LLC (Conditional) 5108 Angeline Ave. N. – Chen Zhou (Conditional) 6507 Cloverdale Ave. N. – Logan Hunt 4321 Colorado Ave. N. – James and Alice Baker 5123 Corvallis Ave. N. – Jerad Soule (Conditional) 6707 Corvallis Ave. N. – Chen Zhou 4859 Edgewood Ave. N. – Saosamprathna Oudom (Conditional) 5945 Elmhurst Ave. N. – Fadel Sakkal (Conditional) 6330 Fairview Ave. N. – Ken Olson 3109 Hampshire Ave. N. – Aron Johnson 3421 Major Ave. N. – William Feist (Conditional) 4848 Maryland Ave. N. – Reese Pfeiffer (Conditional) 5724 Orchard Ave. N. – Chen Zhou (Conditional) 5621 Perry Ave. N. – Lance Nordin 3256 Welcome Ave. N. – David Huber 4733 Welcome Ave. N. – Hanahill Properties LLC (Conditional) 6703 34th Ave. N. – Wally Anderson (Conditional) 6713 34th Ave. N. – Logan Hutton 5916 38th Ave. N. – Jason Herzog (Conditional) 5825 46th Ave. N. – Luis Duchi 6736 50th Ave. N. – Jason Hoppe (Conditional) 7206 58th Ave. N. – Andrew Fashingbauer 4824 59th Ave. N. – HPA II Borrower 2019-1 LLC 6418 61st Ave. N. – Chen Zhou 4.3 CITY OF CRYSTAL MINNESOTA RESOLUTION NO. 2025 – ___ RESOLUTION ACCEPTING DONATIONS WHEREAS, Minnesota Statutes §465.03 requires that all gifts and donations of real or personal property be accepted only with the adoption of a resolution; and WHEREAS, said donations must be accepted by a resolution adopted by the city council. NOW, THEREFORE, BE IT RESOLVED, by the City Council of the City of Crystal to accept the following donations: Donors Purpose Amount Almsted’s donation box Police K9 program $800 American Legion Post 630 Airport Open House $1,500 BE IT FURTHER RESOLVED, that the Crystal City Council sincerely thanks the above-named for their generous donations. Adopted by the Crystal City Council this 15th day of April 2025. By: __________________________ Julie Deshler, Mayor ATTEST: __________________________ Christina Serres, City Clerk 4.4 ___________________________________________________________________________ FROM: John Sutter, Community Development Director D ATE: April 9, 2025 TO: Adam R. Bell City Manager (for April 15 meeting) SUBJECT: Consider a resolution authorizing a Metropolitan Council Community Tree Planting Grant application and execution of a grant agreement if awarded Metropolitan Council has a new Community Tree Planting Grant which can assist cities with the cost of removing diseased Ash trees and planting replacement trees. Only trees on public property would be eligible, such as parks and street boulevards. Note: The vast majority of EAB infested trees are on private property but the Metropolitan Council grant program may not be used for that purpose. The Minnesota Department of Natural Resources has a grant program (ReLeaf) for trees on private property. In fall 2023, staff submitted a $550,000 ReLeaf application for private EAB removal and replacement in the years 2024-2026. The city’s application was not funded, as $33,119,000 was requested but only $6,883,000 was available. Staff intends to submit a ReLeaf application when the next round of funding is available later in 2025. Staff would apply for $55,000 from Metropolitan Council for the following purposes: •$50,000 for diseased Ash tree removal and planting of replacement trees by a contractor. Please note that while removals are eligible, this grant period runs through June 2027 and we expect that the city will have removed most of our diseased Ash trees by the end of 2025 and will be focused on planting in 2026-2027. •$5,000 to purchase a second water tank and pump which would enable staff to have two watering crews when needed, instead of just one. To submit the most competitive application possible, we would commit to using these grant funds to remove diseased trees and plant trees in parks, boulevards or other public spaces in the North Lions neighborhood and the portions of the Becker, Winnetka Hills and Valley Place neighborhoods meeting both of Metropolitan Council’s scoring factors (map and aerial photos attached). COUNCIL ACTION REQUESTED Adopt the attached resolution authorizing submittal of an application requesting $55,000 from the Metropolitan Council Community Tree Planting Grant program, and execution of the grant agreement if funds are awarded. COUNCIL STAFF REPORT Metropolitan Council Community Tree Planting Grant 4.5 Met Council Scoring Map - Census Block Groups 4.5 Map - Crystal areas with both factors 4.5 Aerial photo - Crystal areas with both factors (north) 4.5 Aerial photo - Crystal areas with both factors (south) 4.5 CITY OF CRYSTAL MINNESOTA RESOLUTION NO. 2025-___ RESOLUTION AUTHORIZING SUBMITTAL OF AN APPLICATION AND EXECUTION OF AN AGREEMENT WITH METROPOLITAN COUNCIL FOR A COMMUNITY TREE PLANTING GRANT WHEREAS, a healthy tree canopy is an important factor in neighborhood appeal, livability, and environmental health, equity and justice; and WHEREAS, the City of Crystal is being significantly impacted by the Emerald Ash Borer; and WHEREAS, these impacts include expenditures related to removal and replacement of diseased Ash trees on public property; and WHEREAS, the city desires additional resources to augment its efforts in Census block groups with a disproportionate share of vulnerable residents and heat island effects. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Crystal to authorize submittal of an application requesting $55,000 from the Metropolitan Council Community Tree Planting Grant program. NOW, THEREFORE, BE IT FURTHER RESOLVED by the City Council of the City of Crystal to authorize the Mayor and City Manager to execute the respective grant agreement with Metropolitan Council if funds are awarded. Adopted this 15th day of April, 2025. ______________________________ Julie Deshler Mayor ATTEST: _______________________________ Chrissy Serres City Clerk 4.5 Memorandum DATE: April 11, 2025 TO: Mayor and City Council FROM: Adam R. Bell, City Manager SUBJECT: Consider Appointment of Michael Wnek to the Blue Line Business Advisory Committee ____________________________________________________________________ BACKGROUND The City Council interviewed Michael Wnek for appointment to the Blue Line Business Advisory Committee at the April 10 work session. Given Mr. Wnek’s extensive experience with rail, he is recommended for appointment to the Blue Line Business Advisory Committee for a term to expire December 31, 2026. RECOMMENDATION Recommend appointment of Michael Wnek to the Blue Line Business Advisory Committee for a term to expire 12/31/26. ATTACHMENT Commission Application – Michael Wnek (Redacted) 4.64.6 APPLICATION FOR CITY BOARDS, COMMISSIONS AND TASK FORC ES Return application to : 4141 Douglas Drive N, Crystal MN 55422 Fa x: (763) 531-1188; em ail : commissions@crystalmn .gov Please check one: [I] New Applicant D Reappointment Thank you for your interest in serving your community as a volunteer. Please indicate below the board, commission or task force which you would like to be appointed to. (Note eligibility requirements -a member of a board, commission or task force must be a lawful resident of Crystal and, if required, a resident of the Council ward from which they are appointed.) Your application will be kept on file for one year . 0 Charter Commission 0 Employee Review Board D Inclusion and Diversity Commission 0 Parks & Recreation Commission (Ward _) 0 Planning Commission (Ward_) D Sustainability Commission (Ward _) PERSONAL INFORMATION (please print) Name Michael Anthony Wnek First Mid d le Last D Watershed Mgt Organization -Bassett Creek D Watershed Mgt Organization -Shingle Creek 0 West Metro Fire Board i] Metro Blue Line (Business Advisory) Ii] Metro Blue Line (Community Advisory) Length of residence in Crystal 6 mo Street Address Zip ------------------------------- Home Phone ____________ Work Phone _______________ _ Ce ll Email ------------- Employer ________________ Occupatior: ____________ _ STATEMENT OF INTEREST Wh · d · · h' · b d . . 7 I am a firm believer in public y are you intereste tn serving on t 1s city oar or comm1ss1on. __________ _ transit & look forward to the Blue Line Extension . I am a former Metro Transit Rail Eng . Project Manager and could bring my practical knowledge of LRT Infrastructure to the committee. IMPORTANT ISSUES FACING OUR COMMUNITY What do you think are the most important issues facing our community over the next several years? Construction of and disruption from the construction of the Blue Line Extension. Describe what issues and ideas you would like to see addressed by the board, commission or task force you would like to serve on . I would like to see practical considerations of the LRT system taken into account that would result in lower ongoing maintenance time and costs for the Blue Line LRT system (resulting in lower costs and a more reliable system for Crystal & taxpayers). Page 1 of3 4.64.6 COMMUNITY, CIVIC OR VOLUNTEER EXPERIENCE Please list your volunteer experience. Midland Railway (Non-Profit) -Track Maintenance Lead & Worker Midland Railway (Non-Profit) -Board Member ATTENDANCE AND CONFLICT OF INTEREST Are you aware of the meeting schedule for this board, commission or task force, and are you able to attend meetings regularly? Yes X No __ _ For reappointments only: If you have not been able to attend meetings regularly, please explain: A conflict of interest may arise by your participation in an activity, action or decision from which you receive or could potentially receive direct or indirect personal financial gain. Do you have any legal or equitable interest in any business which, in the course of your participation on this board, commission or task force, could give rise to a conflict of interest? Yes ___ No_X __ _ (If yes, please provide details on a separate sheet of paper.) As a board, commission or task force member, what issue(s) might cause conflict between your civic responsibility and personal or professional interests? How would you manage these conflicts? If there was ever a possibility that my participation could provide an opportunity for my company to profit, that would cause a conflict of interest. If this were to arise, I would recuse myself from the relevant discussion . NEW APPLICANTS ONLY: Have you attended and observed a board, commission or task force meeting for which you've made application? Yes,on _________ _ (date of meeting) Not yet, but I will attend a meeting on Next Date (not on website) (date of meeting) EDUCATION AND PROFESSIONAL EXPERIENCE Describe your education and/or professional experience. Bachelor's & Master's in Railway Civil Engineering from University of Illinois. All of my career has been in some form of Railway Engineering. 8.5 years with BNSF Railway as a TesUR&D Engineer, 2.5 years w/ Metro Transit as a Rail Engineering Project manager leading the Blue Line State of Good Repair Phase 3 project, and now 1 year w/ Loram MOW as a Test Engineer. REAPPOINTMENTS ONLY: BOARD, COMMISSION OR TASK FORCE HIGHLIGHTS Describe a highlight(s) or accomplishment(s) of the board, commission or task force during your last term. ---------------------------------- Page 2 of 3 4.64.6 IMPORTANT INFORMATION CONCERNING YOUR APPLICATION DATA PRIVACY NOTICE: Minnesota law requires that you be informed of the purposes and intended use of the information you are providing on this application. Pursuant to Minn. Stat. §13.601, your name, address, length of residence, occupation, education, training, civic affiliations, qualifications and experience are public data and is available to anyone who requests the information. .. The information you provide will be used to identify you as an applicant, enable us to contact you when additional information is required, send you notices, and assess your qualifications for appointment. This data is not legally required, but refusal to supply the information requested may affect the City Council's ability to accurately evaluate your application. Should you be appointed to a board, commission or task force, pursuant to Minn. Stat. §13.601, your residential address will become public information. In addition, either a telephone number or email address where you can be reached will become public. The purpose is to list contact information for board, commission and task force members on a public roster. Please select which of the following you will allow listed on a public roster (you must select either email or one phone number): [j] EMAIL OR PHONE (may choose more than one): D home 0 ALL OF THE ABOVE Owork Ocell I have read the data privacy notice given above and authorize investigation into all statements contained in this application. Furthermore, I authorize the City of Crystal to conduct a criminal history background check, pursuant to Crystal City Code Section 311.01, Subd. 2, for purposes of determining my eligibility for a volunteer position with the City. MN Driver's License or MN State ID Number: --------------------- Da?. of. b. ?:9. •: .. ~ ... -.-~. ~----~ If known by previous name, provide: _________ _ ~ d Vd 03/18/2025 }(pplicant's signatu ~ Date ···p·.:o·,·ess·················································································································································································· Step 1 Complete an application Step 2 Return the completed application to the deputy city clerk Step 3 Participate in a 10-minute interview with the city council Step 4 Optional: attend the council meeting when appointment is made CITY USE ONLY: Date receive _,:,-C-L-,.......,......_.._ Lives in ward: __ Date appointed: ____ ,; Term expires: ____ _ ard/at large/alternate/public member/etc.): _____________ _ Notes:. ___________________________________ _ !:\Commissions, Boards, Task Forces\Applicants, Interviews, Staff Reports, Vacancies\Application For Board, Commission, Task Force -Current.Doc Page 3 of 3 4.64.6 Memorandum DATE: April 11, 2025 TO: Mayor and City Council FROM: Adam R. Bell, City Manager SUBJECT: Consider the first reading of an ordinance establishing a franchise agreement with CenterPoint Energy. BACKGROUND The City of Crystal’s previous natural gas franchise agreement with CenterPoint Energy was last approved in 2002 and expired in 2022. A new agreement has been negotiated and reviewed by Kennedy & Graven and is now presented for Council consideration. This agreement, consistent with past practice and state law, grants CenterPoint Energy the right to use the City's public rights-of-way to operate, maintain, and repair its natural gas utility infrastructure. AGREEMENT SUMMARY The proposed franchise agreement with CenterPoint Energy: •Grants a nonexclusive 20-year franchise to construct, operate, maintain, and repair natural gas facilities in the City’s public ways and public grounds. •Ensures compliance with the City's right-of-way ordinance (Section 802.01 et seq. of the Crystal City Code), requiring appropriate permits for work and restoration following excavation. •Affirms that service and gas rates remain subject to the Minnesota Public Utilities Commission. •Requires CenterPoint Energy to indemnify the City against liability arising from utility operations, except in cases of City negligence. •Includes dispute resolution procedures and outlines provisions for facility relocation, emergency response, and abandoned facilities. •States that the Company will pay for publication of the ordinance. •Establishes that this ordinance will remain in effect beyond expiration if a successor agreement is not yet in place unless terminated with proper notice. •Franchise Fees: o While the franchise agreement preserves the City’s authority to adopt a franchise fee ordinance in the future (as authorized under Minnesota Statutes § 216B.36), this agreement does not impose any franchise fees. Adoption of a franchise fee would be handled through a separate ordinance and policy process, requiring further Council action. LEGAL PROCEDURE 6.1 Under Minnesota law, franchise agreements are enacted via non-codified ordinances. The City Council is being asked to consider the first reading of the ordinance adopting the agreement. If approved, the second reading and final adoption of the ordinance will be scheduled for the May 6, 2025, City Council meeting. RECOMMENDATION: Staff recommends approval of the first reading of the ordinance granting a franchise to CenterPoint Energy for natural gas distribution within the City of Crystal. ATTACHMENTS • An Ordinance Granting CenterPoint Energy Resources Corp., d/b/a CenterPoint Energy Minnesota Gas (“CenterPoint Energy”), its Successors and Assigns, a Nonexclusive Franchise to Construct, Operate, Repair and Maintain Facilities And Equipment for the Transportation, Distribution, Manufacture and Sale of Gas Energy for Public and Private Use and to Use the Public Ways and Grounds of the City of Crystal, Hennepin County, Minnesota, for Such Purpose; and, Prescribing Certain Terms and Conditions Thereof 6.1 1 CenterPoint Energy Gas Franchise Ordinance ORDINANCE NO. ______ CITY OF CRYSTAL, HENNEPIN COUNTY, MINNESOTA AN ORDINANCE GRANTING CENTERPOINT ENERGY RESOURCES CORP., d/b/a CENTERPOINT ENERGY MINNESOTA GAS (“CENTERPOINT ENERGY”), ITS SUCCESSORS AND ASSIGNS, A NONEXCLUSIVE FRANCHISE TO CONSTRUCT, OPERATE, REPAIR AND MAINTAIN FACILITIES AND EQUIPMENT FOR THE TRANSPORTATION, DISTRIBUTION, MANUFACTURE AND SALE OF GAS ENERGY FOR PUBLIC AND PRIVATE USE AND TO USE THE PUBLIC WAYS AND GROUNDS OF THE CITY OF CRYSTAL, HENNEPIN COUNTY, MINNESOTA, FOR SUCH PURPOSE; AND, PRESCRIBING CERTAIN TERMS AND CONDITIONS THEREOF THE CITY COUNCIL OF THE CITY OF CRYSTAL, HENNEPIN COUNTY, MINNESOTA, ORDAINS: SECTION 1. DEFINITIONS. For purposes of this Ordinance, the following capitalized terms listed in alphabetical order shall have the following meanings: City. The City of Crystal, County of Hennepin, State of Minnesota. City Utility System. Facilities used for providing public utility service owned or operated by City or agency thereof, including sewer, storm sewer, water service, street lighting and traffic signals, but excluding facilities for providing heating, lighting, or other forms of energy. Commission. The Minnesota Public Utilities Commission, or any successor agency or agencies, including an agency of the federal government, which preempts all or part of the authority to regulate gas retail rates now vested in the Minnesota Public Utilities Commission. Company. CenterPoint Energy Resources Corp., d/b/a CenterPoint Energy Minnesota Gas (“CenterPoint Energy”) its successors and assigns including all successors or assigns that own or operate any part or parts of the Gas Facilities subject to this Franchise. Gas Energy. Gas Energy includes both retail and wholesale natural, manufactured or mixed gas. Gas Facilities. Gas transmission and distribution pipes, lines, ducts, fixtures, and all 6.1 2 necessary equipment and appurtenances owned or operated by the Company for the purpose of providing Gas Energy for retail or wholesale use. Notice. A writing served by any party or parties on any other party or parties. Notice to Company shall be mailed to CenterPoint Energy, Minnesota Division Vice President, 505 Nicollet Mall, Minneapolis, Minnesota 55402. Notice to the City shall be mailed to the City Manager, City of Crystal, 4141 Douglas Drive North, Crystal, MN 55422. Any party may change its respective address for the purpose of this Ordinance by written Notice to the other parties. Ordinance. This gas franchise ordinance, also referred to herein as the Franchise. Public Ground. Land owned or otherwise controlled by the City for park, trail, walkway, open space or other, similar public property which is held for use in common by the public or for public benefit. Public Way. Any highway, street, alley or other public right-of-way within the City. SECTION 2. ADOPTION OF FRANCHISE. 2.1 Grant of Franchise. City hereby grants Company, for a period of twenty (20) years from the date this Ordinance is passed and approved by the City, the non-exclusive right to import, manufacture, distribute and sell Gas Energy for public and private use within and through the limits of the City as its boundaries now exist or as they may be extended in the future and also the right to transport Gas Energy through the limits of the City for use outside of the City limits. For these purposes, Company may construct, operate, repair and maintain Gas Facilities in, on, over, under and across the Public Ways and Public Grounds, subject to the provisions of this Ordinance. Company may do all reasonable things necessary or customary to accomplish these purposes, subject, however, to such lawful regulations as may be adopted by the City pursuant to a public right-of-way ordinance consistent with state law. The City’s right-of-way ordinance is currently codified as Section 802.01 et. seq. of the City Code. 2.2 Effective Date; Written Acceptance. This Franchise shall be in force and effect from and after the passage of this Ordinance and publication as required by law and its acceptance in writing by Company. The Company shall accept this Ordinance within ninety (90) days of Notice of the City’s adoption hereof. 2.3. Service and Gas Rates. The terms and conditions of service and the rates to be charged by Company for Gas Energy in City are subject to the jurisdiction of the Commission. 2.4. Publication Expense. Company shall pay the expense of publication of this Ordinance. 2.5. Dispute Resolution. If either party asserts that the other party is in default in the performance of any obligation hereunder, the complaining party shall notify the other 6.1 3 party of the default and the desired remedy. The notification shall be written. Representatives of the parties must promptly meet and attempt in good faith to negotiate a resolution of the dispute. If the dispute is not resolved within thirty (30) days of the written Notice, the parties may jointly select a mediator to facilitate further discussion. The parties will equally share the fees and expenses of this mediator. If a mediator is not used or if the parties are unable to resolve the dispute within thirty (30) days after first meeting with the selected mediator, either party may commence an action in District Court to interpret and enforce this Franchise or for such other relief as may be permitted by law or equity. 2.6. Continuation of Franchise. If the City and the Company are unable to agree on the terms of a new franchise by the time this Franchise expires, this Franchise will remain in effect until a new franchise is agreed upon, or until ninety (90) days after the City or the Company serves written Notice to the other party of its intention to allow Franchise to expire. SECTION 3. LOCATION, OTHER REGULATIONS. 3.1. Location of Facilities. Gas Facilities shall be located, constructed, and maintained so as not to interfere with the safety and convenience of ordinary travel along and over Public Ways and so as not to disrupt normal operation of any City Utility System. Gas Facilities may be located on Public Grounds in a location to be mutually agreed by the City and the Company. The location and relocation of Gas Facilities shall be subject to lawful regulations of the City consistent with authority granted the City to manage its Public Ways and Public Grounds under state law. 3.2. Street Openings. Company shall not open or disturb the surface of any Public Way or Public Ground for any purpose without first having obtained a permit from the City, if required by the City’s right-of-way ordinance, for which the City may impose a reasonable fee. Permit conditions imposed on Company shall not be more burdensome than those imposed on other public-right-of-way users for similar facilities or work. Company may, however, open and disturb the surface of any Public Way or Public Ground without a permit if (i) an emergency exists requiring the immediate repair of Gas Facilities and (ii) Company gives telephone, email or similar Notice to the City before commencement of the emergency repair, if reasonably possible. Within two (2) business days after commencing the repair, Company shall apply for any required permits and pay any required fees. 3.3. Restoration. After undertaking any work requiring the opening of any Public Way, the Company shall restore the Public Ways in accordance with Minnesota Rules, 7819.1100. Company shall restore Public Ground to as good a condition as formerly existed, and shall maintain the surface in good condition for two (2) years thereafter. All work shall be completed as promptly as weather permits, and if Company shall not promptly perform and complete the work, remove all dirt, rubbish, equipment and material, and put the Public Ways or Public Ground in the required condition, the City shall have, after demand to Company to cure and the passage of a reasonable period of time following the demand, but not to exceed five (5) days, the right to make the restoration of the Public Ways or Public Grounds at the expense of Company. Company shall pay to the City the cost of such work 6.1 4 done for or performed by the City. The City reserves all rights to require a construction performance bond. 3.4. Avoid Damage to Gas Facilities. The Company must take reasonable measures to prevent the Gas Facilities from causing damage to persons or property. The Company must take reasonable measures to protect the Gas Facilities from damage that could be inflicted on the Gas Facilities by persons, property, or the elements. Per Minnesota Statute 216D.05, the City must take protective measures when it performs work near the Gas Facilities. 3.5. Notice of Improvements to Streets. The City will endeavor to give Company reasonable written Notice of plans for improvements to Public Ways and Public Grounds where the City has reason to believe that Gas Facilities may affect or be affected by the improvement. The Notice will contain: (i) the nature and character of the improvements, (ii) the Public Ways or Public Grounds upon which the improvements are to be made, (iii) the extent of the improvements, (iv) the time when the City will start the work, and (v) if more than one Public Way or Public Grounds is involved, the order in which the work is to proceed. The Notice will be given to Company a sufficient length of time, considering seasonal working conditions, in advance of the actual commencement of the work to permit Company to make any additions, alterations or repairs to its Gas Facilities the Company deems necessary. 3.6 Mapping Information. If requested by City, the Company must promptly provide complete and accurate mapping information for any of its Gas Facilities in accordance with the requirements of Minnesota Rules 7819.4000 and 7819.4100. 3.7. Emergency Response. As emergency first-responders, when a public safety concern exists both the City and Company shall respond to gas emergencies within the City without additional direct fee or expense to either City or Company except as authorized by law. SECTION 4. RELOCATIONS. 4.1. Relocation in Public Ways. The Company and City shall comply with the provisions of Minnesota Rules 7819.3100 with respect to requests for the Company to relocate Gas Facilities located in Public Ways. 4.2 Relocation in Public Grounds. City may require Company at Company’s expense to relocate or remove its Gas Facilities from Public Grounds upon a finding by City that the Gas Facilities have become or will become a substantial impairment to the existing or proposed public use of the Public Grounds. Nothing in this Section 4.2 shall be construed so as to invalidate or impair any existing company easements in Public Grounds. 4.3. Projects with Federal Funding. Relocation, removal, or rearrangement of any Company Gas Facilities made necessary because of the extension into or through City of a federally aided highway project shall be governed by the provisions of Minnesota Statutes 6.1 5 §§ 161.45 and 161.46. SECTION 5. INDEMNIFICATION. 5.1. Indemnity of City. Company shall indemnify and hold the City harmless from any and all liability, on account of injury to persons or loss or damage to property occasioned by the construction, maintenance, repair, inspection, the issuance of permits, or the operation of the Gas Facilities located in the Public Ways and Public Grounds. The City shall not be indemnified for losses, claims or damages occasioned through its own negligence or otherwise wrongful act or omission except for those arising out of or alleging the City's negligence as to the issuance of permits for, or the inspection of, Company's plans, work or Gas Facilities. 5.2. Defense of City. In the event a suit is brought against the City under circumstances where this obligation to indemnify applies, Company at its sole cost and expense shall defend the City in such suit if written Notice thereof is promptly given to Company within a period wherein Company is not prejudiced by lack of such Notice. If Company is required to indemnify and defend, it will thereafter have control of such litigation, but Company may not settle such litigation without the consent of the City, which consent shall not be unreasonably withheld. This section is not, as to third parties, a waiver of any defense or immunity otherwise available to the City. The Company, in defending any action on behalf of the City, shall be entitled to assert in any action every defense or immunity that the City could assert in its own behalf. This Franchise shall not be interpreted to constitute a waiver by the City of any of its defenses of immunity or limitations on liability under Minnesota Statutes, Chapter 466. SECTION 6. VACATION OF PUBLIC WAYS AND PUBLIC GROUNDS. The City shall give Company at least two (2) weeks’ prior written Notice of a proposed vacation of Public Ways or Public Grounds in which Company facilities are located. The City and the Company shall comply with Minnesota Rules 7819.3100 and 7819.3200 with respect to any request for vacation. SECTION 7. CHANGE IN FORM OF GOVERNMENT. Any change in the form of government of the City shall not affect the validity of this Ordinance. Any governmental unit succeeding the City shall, without the consent of Company, succeed to all of the rights and obligations of the City provided in this Ordinance. SECTION 8. FRANCHISE FEE. 8.1. Form. During the term of the franchise hereby granted, the City may charge the Company a franchise fee, and the City reserves all rights under Minn. Stat. § 216B.36 in that regard. The City will use a franchise fee formula that provides a stable and predictable amount of fees without placing the Company at a competitive disadvantage. Such fee shall not exceed any amount that the Company may legally charge to its customers prior to payment to the City and be consistent with the Minnesota Public Utility Commission’s March 23, 6.1 6 2011 Order establishing franchise fee filing requirements in Docket No. E,G999/CI-09- 970. If the Company claims that the City required fee formula is discriminatory or otherwise places the Company at a competitive disadvantage, the Company will provide a formula that will produce a substantially similar fee amount to the City. If the City and Company are unable to agree, the disagreement shall be subject to the Dispute Resolution provisions of this Ordinance. 8.2. Separate Ordinance. The franchise fee shall be imposed by separate ordinance duly adopted by the City Council. The effective date of the franchise fee ordinance shall be no less than ninety (90) days after written Notice enclosing a copy of the duly adopted and approved ordinance has been served upon the Company by Certified mail. The Company is not required to collect a franchise fee if the terms of the fee agreement are inconsistent with this franchise or state law, provided the Company notifies the City Council of the same within the ninety (90) day period. 8.3. Condition of Fee. The separate ordinance imposing the fee shall not be effective against the Company unless it lawfully imposes a fee of the same or substantially similar amount on the sale of energy within the City by any other energy supplier, provided that, as to such supplier, the City has the authority or contractual right to require a franchise fee or similar fee through an agreed-upon franchise. 8.4. Collection of Fee. The franchise fee shall be payable not less than quarterly during complete billing months of the period for which payment is to be made. The franchise fee formula may be changed from time to time, however, the change shall meet the same Notice and acceptance requirements and the fee may not be changed more often than annually. Such fee shall not exceed any amount that the Company may legally charge to its customers prior to payment to the City and be consistent with Minnesota Public Utility Commission’s March 23, 2011 Order establishing franchise fee filing requirements in Docket No. E,G999/CI-09-970. Such fee is subject to subsequent reductions to account for uncollectibles and customer refunds incurred by the Company. The Company shall not be responsible to pay City fees that Company is unable to collect under Commission rules or order. The Company agrees to make available for inspection by the City at reasonable times all records necessary to audit the Company’s determination of the franchise fee payments. 8.5. Continuation of Franchise Fee. If this franchise expires and the City and the Company are unable to agree upon terms of a new franchise, the franchise fee, if any being imposed by the City at the time this franchise expires, will remain in effect until a new franchise is agreed upon. If, for any reason, the franchise terminates, the franchise fee will terminate at the same time. SECTION 9. ABANDONED FACILITIES. The Company shall comply with Minnesota Rules, Part 7819.3300 as it may be amended from time to time with respect to abandoned facilities in Public Ways. The Company shall maintain records describing the exact location of all abandoned and retired Gas Facilities within the Public Ways and Public Grounds, produce such records at the 6.1 7 City’s request, and comply with the location requirements of Minnesota Statutes § 216D.04 with respect to all Gas Facilities located in Public Ways and Public Grounds. SECTION 10. PROVISIONS OF ORDINANCE. 10.1. Severability. Every section, provision, or part of this Ordinance is declared separate from every other section, provision, or part; and if any section, provision, or part shall be held invalid, it shall not affect any other section, provision, or part. Where a provision of any other City ordinance is inconsistent with the provisions of this Ordinance, the provisions of this Ordinance shall prevail. 10.2. Limitation on Applicability. This Ordinance constitutes a franchise agreement between the City and Company as the only parties. No provisions herein shall in any way inure to the benefit of any third person (including the public at large) so as to constitute any such person as a third-party beneficiary of this Ordinance or of any one or more of the terms hereof, or otherwise give rise to any cause of action in any person not a party hereto. SECTION 11. AMENDMENT PROCEDURE. Either party may propose at any time that this Franchise Ordinance be amended. This Franchise Ordinance may be amended at any time by the City passing a subsequent ordinance declaring the provisions of the amendment, which amendatory ordinance shall become effective upon the filing of Company’s written consent thereto with the City Clerk within ninety (90) days after the effective date of the amendatory ordinance. Adopted this 15th day of April 2025. BY THE CITY COUNCIL Julie Deshler, Mayor ATTEST: Christina Serres, City Clerk First Reading: *April 15, 2025 Second Reading: Council Adoption: Publication: Effective Date: 6.1 Memorandum DATE: April 11, 2025 TO: Mayor and City Council FROM: Adam R. Bell, City Manager SUBJECT: Consider approval of Subordinate Funding Agreement #01 to MFA - City of Crystal for 2025 and 2026 Staff Support. BACKGROUND As one of the Cities along the alignment of the proposed Blue Line Extension Light Rail Transit Project, Crystal has experienced the increased demand on staff and made that burden known to the project team. To ensure robust local coordination and oversight and to ease the burden on city staff, the Metropolitan Council is offering funding support to each city to establish a temporary dedicated LRT project staff position. The city agrees with the need for a full-time Transit Project Manager to represent Crystal’s interests throughout the planning, design, and eventual construction of the light rail project. The City will hire and supervise this position, which will be funded 100% through this subordinate agreement with the Metropolitan Council. The proposed Subordinate Funding Agreement #01 authorizes up to two years of full funding for the Transit Project Manager role, with potential for extension if project timelines are prolonged or additional project funding is made available through construction. POSITION OVERVIEW: The Transit Project Manager will be responsible for: •Serving as the City’s primary liaison with the Blue Line Extension project team and other agencies. •Participating in key design and corridor meetings, some of which may occur outside regular business hours. •Coordinating community engagement and public communications specific to the project. •Reviewing project design documents and relaying comments and concerns from city departments. •Managing city files and documentation related to the project. •Assisting with station area planning, anti-displacement initiatives, and construction coordination. AGREEMENT DETAILS: 6.2 • This SFA is entered under the umbrella of Master Funding Agreement #18I010, effective May 30, 2018. • The agreement authorizes reimbursement for all actual staff costs directly incurred for eligible activities (e.g., design support, utility coordination, and environmental review). • The funding period is January 1, 2025, through December 31, 2026. • The Transit Project Manager will be based at both the Blue Line Extension project office and Crystal City Hall, with some flexibility for remote work. • Monthly reimbursement will be based on actual payroll records and reported hours. FINANCIAL IMPACT: This position will be fully funded by the Metropolitan Council under this agreement for at least two years, with no financial contribution required from the City of Crystal. Staff recommends City Council approval of Subordinate Funding Agreement #01 (SFA) with the Metropolitan Council, which will provide full funding for a temporary Transit Project Manager position through at least the end of 2026. This agreement supports the City’s engagement in the Blue Line Extension Light Rail Transit (LRT) Project and supplements the existing Master Funding Agreement (MFA #18I010) previously authorized between the City and the Metropolitan Council. RECOMMENDATION Staff recommends approval of the Subordinate Funding Agreement #01 TO MFA City of Crystal 2025 and 2026 Staff Support ATTACHMENTS • SUBORDINATE FUNDING AGREEMENT #01 TO MFA – City of Crystal – 2025 and 2026 Staff Support 6.2 Page 1 Reference Numbers: BLE Project: 61403 Metropolitan Council: 18I010A City of Crystal: PROJECT: BLUE LINE EXTENSION LIGHT RAIL TRANSIT PROJECT MASTER AGREEMENT: Master Funding Agreement #18I010 – City of Crystal (“MFA”) PARTIES TO AGREEMENT: • Metropolitan Council (“Council”) • City of Crystal, Minnesota (“City”) SUBORDINATE FUNDING AGREEMENT #01 TO MFA City of Crystal 2025 and 2026 Staff Support This Subordinate Funding Agreement (“SFA”) with the City of Crystal (“City”) is entered by and between the above-named Parties. WHEREAS: 1. The Parties entered a Metro Blue Line Extension Light Rail Transit Project (“Project”) Master Funding Agreement (“MFA”) effective on May 30, 2018 (Council Agreement #18I010). 2. The Parties provided in the MFA that certain aspects of funding for the Project would be determined in subsequent SFAs. 3. The Parties desire to enter this SFA to provide funding for City activities required for the Project. NOW, THEREFORE, in reliance on the statements in these recitals, the Parties agree as follows: 1. Amount of Authorized Funding. The activities authorized by this SFA will not exceed $XXX,XXX unless authorized in a subsequent amendment to this SFA. 2. Project Budget: The budget for the activities described in this SFA is provided as Exhibit A. Funds provided in this SFA may only be used for reimbursing the City’s costs for activities directly incurred within the described Specific Description of Funding Authorization below, and as detailed in the MFA. Upon prior written consent of the Council’s Authorized Representative, the City may add or substitute staff in Exhibit A without an amendment to this SFA.). 3. Specific Description of Funding Authorization: The City professional staff costs incurred for the Project in the areas of design support, right of way, environmental review, utility relocation, and other related tasks authorized by Council’s Authorized Representative will be reimbursed according to the Total Hourly Rates set forth in Exhibit A, entitled “Staff Support Services.” Total Hourly Rates reflect each employee’s actual rate of pay, plus usual and customary labor and overhead additives. 6.2 Page 2 Reimbursement payments made by the Council for the City professional staff costs will be billed monthly based on actual payroll records and in accordance with the positions authorized in Exhibit A. 4. Project Activity Period. The Project Activity Period for the purposes of this SFA will run from January 1, 2025, to December 31, 2026, and will terminate on the date all costs under this SFA have been reimbursed, unless terminated earlier consistent with the terms of the MFA. 5. Contractor Agreement. This SFA, in conjunction with the MFA, constitutes a contractor agreement for the purposes of any federal grant funds passed through to the City hereby. 6. Authorized Representatives. Each party’s Authorized Representative and successor is responsible for administering this SFA and is authorized to give and receive any notice required or permitted under this SFA. a. City’s Authorized Representative is b. Council’s Authorized Representative is Alicia Vap, or successor Project Director, Blue Line Extension 6465 Wayzata Boulevard, Suite 600 St. Louis Park, MN 55426 Alicia.Vap@metrotransit.org 7. Incorporation. The terms, conditions, and definitions of the MFA are expressly incorporated into this SFA except as modified. Furthermore, this SFA may be executed in counterparts, each of which shall be deemed to be an original, but all of which, taken together, shall constitute one and the same agreement. 6.2 Page 3 IN WITNESS WHEREOF, the parties have caused this SFA to be executed by their fully authorized representatives on the dates indicated below. CITY OF CRYSTAL METROPOLITAN COUNCIL Approved as to Form By: By: Its: Its: Date: Date: Approved By: Its: Date: Approved By Its: Date: 6.2 EXHIBIT A STAFF SUPPORT SERVICES Names Hourly Overhead % Loaded OH Rate Total Hourly Rates Est. Hours Total 6.2 Memorandum DATE: April 15, 2025 TO: City Council FROM: Jesse Struve, PE, Director of Public Works / City Engineer SUBJECT: Award contract for 2025 Street and Utility Reconstruction Project to Northdale Construction Co, Inc. and award professional construction services to WSB Summary The 2025 Long-Term Plan allocated $2,650,000 for the 2025 Street and Utility Reconstruction Project. Bids were opened on March 20, 2025, and Northdale Construction Co, Inc. was the winning bidder with a low bid of $1,986,894.83. Four bids were received and bid results are as follows: Contractor Base Bid Alt Bid #1 – Open Cut the Deep Sanitary Sewer Alt Bid #3 – Idaho Ave Total Northdale Construction Co, Inc. 1,332,875.31 $96,399.03 $557,620.49 $1,986,894.83 Northwest $1,430,977.74 $141,840.00 $588,058.30 $2,160,876.04 Meyer Contracting Inc $1,721,288.73 $169,355.16 $661,908.19 $2,552,552,08 RL Larson $1,697,290.45 $155,291.50 $702,912.70 $2,555,494.65 Engineer Estimate $1,666,421.50 $157,960.00 $754,970.50 $2,579,352.00 The project consists of full reconstruction of Jersey Avenue (Medicine Lake Road – 30th Avenue), full reconstruction of Idaho Avenue (30th Avenue – 31st Avenue), curb replacement and replacement of all underground utilities. The roads were originally reconstructed in the late 1990’s and have experienced several watermain breaks in this area. The watermain was installed in the 1950’s and a full reconstruction is necessary to replace the sanitary sewer and watermain before a significant failure occurs. Staff evaluated several bid alternates including: •Alternate #1 – Open cut replacement of the deep sanitary sewer and services to the right of way. •Alternate #2 – CIPP lining of the deep sanitary sewer and services to the right of way. •Alternate #3 – Adding in Idaho Avenue from 30th Avenue – 31st Avenue with full watermain and sanitary sewer replacement. Staff evaluated these alternative options to find the correct project scope to try to minimize impacts to residents and find a project scope that fit within the existing budget in the Long-Term Plan. The first two 6.3 alternatives tried to reduce the impacts to residents by lining a deep sanitary sewer line. Unfortunately, lining the sanitary sewer was going to cost about $90,000 extra. The third alternative was to add in a portion of Idaho Avenue that was removed from the 2022 reconstruction project due to budget constraints. Overall, staff is recommending moving forward with the open cut of the deep sanitary sewer and adding in the segment of Idaho Avenue. Project Cost The total proposed project cost includes $1,986,894.83 for the road reconstruction, curb replacement, and full utility replacement and $241,715 for construction survey, inspection, testing and construction administration. The total project cost is estimated at $2,228,609.83. This project is in the Long-Term Plan and there will be no special assessments for this project. Project Schedule If awarded by the council, it is anticipated the project will start in early May with an anticipated project completion date of mid-September. Communication Staff will send out a letter to all residents in the project area notifying them of the upcoming project, key city contacts and how to receive weekly email updates. Recommended Action It is staff’s recommendation to award the 2025 Street and Utility Reconstruction Project contract to Northdale Construction Co, Inc. with a low bid of $1,986,894.83 and award the professional construction services contract to WSB in the amount of $241,715. Attachment • Project location map. • Resolution to award the contracts and alterative bids. • Summary of bids. • Professional construction services proposal from WSB. 6.3 6.3 CITY OF CRYSTAL MINNESOTA RESOLUTION NO. 2025 - ____ AWARD 2025 STREET AND UTILITY RECONSTRUCTION CONTRACT TO NORTHDALE CONSTRUCTION CO., INC. AND AWARD PROFESSIONAL CONSTRUCTION SERVICES CONTRACT TO WSB WHEREAS, the City is committed to providing reliable transportation and utility systems; and WHEREAS, regular maintenance and replacement is a routine part of providing for a reliable transportation and utility system ; and WHEREAS, the 2025 Long-Term Plan allocated funds for reconstruction and utility replacement; and WHEREAS, plans and specifications have been prepared by the public works department; and WHEREAS, bids were opened on March 20, 2025, and Northdale Construction Co., Inc. was the winning bidder with a low bid of $1,986,894.83, and WSB provided a professional construction services proposal for $241,715. NOW, THEREFORE, BE IT RESOLVED, that the Crystal City Council awards the 2025 Street and Utility Reconstruction Project to Northdale Construction Co., Inc. in the amount of $1,986,894.83 and awards the professional construction services contract to WBS in the amount of $241,715. Adopted by the Crystal City Council this 15th day of April 2025. Julie Deshler, Mayor ATTEST: ____________________________ Christina Serres, City Clerk 6.3 PROJECT: OWNER: City of Crystal WSB PROJECT NO.: 027513-000 Bids Opened: Thursday, March 20, 2025, at 1:30 pm Contractor Bid Security (5%)Base Bid Alternate 1 Alternate 2 Alternate 3 1 Northdale Construction Co., Inc.X $1,332,875.31 $96,399.03 $185,871.40 $557,620.49 2 Northwest X $1,430,977.74 $141,840.00 $148,905.00 $588,058.30 3 RL Larson X $1,697,290.45 $155,291.50 $338,841.00 $702,912.70 4 Meyer Contracting Inc.X $1,721,288.73 $169,355.16 $178,906.46 $661,908.19 Engineer's Opinion of Cost $1,666,421.50 $157,960.00 $111,100.00 $754,970.50 Denotes corrected figure BID TABULATION SUMMARY I hereby certify that this is a true and correct tabulation of the bids as received on March 20, 2025. Justin Messner PE, Sr. Project Manager 2025 Street and Utility Reconstruction C:\ACC\ACCDocs\WSB\027513-000\Project Files\05_Discipline\Preconstruction\Bidding\027513-000 Bid Summary Draft.xlsx 6.3 701 XENIA AVENUE S | SUITE 300 | MINNEAPOLIS, MN | 55416 | 763.541.4800 | WSBENG.COM April 8th, 2025 Jesse Struve, PE Public Works Director/City Engineer City of Crystal 4141 Douglas Drive N Crystal, MN 55422 RE: 2025 Street and Utility Reconstruction Project City of Crystal Construction Services Proposal Dear Mr. Struve: WSB is excited about the opportunity to present this scope of work and deliverables for construction services for the 2025 Street and Utility Reconstruction Project. The scope of work WSB will provide is the staff and services as necessary to meet the expected outcomes of this contract, which include the following tasks:  Project Management  Contract Administration  Construction Observation and Inspection  Survey  Construction Materials Testing Deliverables and responsibilities provided for each of the above tasks are described in the Project Approach/Scope of Services below. The intent of the scope is to outline the major tasks required for this project and highlight areas of importance that are needed to complete the requested services. The scope does not list all responsibilities to be performed. PROJECT UNDERSTANDING The 2025 Street and Utility Reconstruction Project consists of reconstructing the roadway sections to 28 foot wide measured from the face of curb, replacement of watermain, replacement of the sanitary sewer main, and the addition of storm sewer to improve drainage where necessary. Other project work includes new bituminous surfacing, grading, restoration and signing. Construction is expected to begin in late spring of 2025 and be complete in early fall of 2025, as the weather permits. PROJECT APPROACH/SCOPE OF SERVICES A. Project Management WSB will provide project management throughout the duration of this project. This will include the following deliverables:  Prepare materials for and attend the preconstruction meeting and weekly on-site meetings for the duration of the project.  Prepare materials and coordinate private utility relocations prior to construction.  Communicate with the City Engineer and Contractor to address project related issues.  Provide understanding of City’s standard construction practices as they relate to the project. 6.3 Mr. Jesse Struve April 8th, 2025 Page 2  Provide the necessary resources and direction to WSB personnel to ensure project compliance and quality results.  Review and verify prepared pay vouchers and documented quantities.  Provide the tools and equipment needed to WSB personnel to perform and meet the expected outcomes of the project including cell phones, computers, iPad’s, PPE, testing equipment, and additional supplies needed to perform the work.  Provide services required under this contract as necessary to accommodate the contractor’s schedule. B. Contract Administration WSB will provide contract administration for this project. Our project team will work with the contractor and the city to ensure construction work and activities will be constructed in accordance with the plans and standards and are correctly and adequately documented throughout the project. Scope of work for this task includes:  Attend construction meetings for close coordination of day-to-day progress of work and ensure the project is being completed as intended.  Communicate regularly with involved stakeholders to keep them informed regarding the impact of construction to the area, including neighbors, businesses, and local agencies.  Review, document and file contractor permits, submittals, test reports, and certificates of compliance.  Prepare all pay vouchers in accordance to project revenues and expenses.  Prepare contract change documents and cost estimates with negotiations with the contractor on any contract changes.  Respond to all contractor requests for information (RFI).  Complete all necessary field finalizing of the project documentation in accordance with project specifications. C. Construction Observation and Inspection WSB will provide Construction Observation and Inspection services through construction of the project and final project closeout. This task will include:  Record all construction activities daily, making a complete and accurate record of all events.  Ensure construction practices and materials used on site are compliant with project specifications.  Accurately measure and record contract pay items daily.  Perform daily reviews of construction signing, detour signing, and construction traffic control maintenance.  Communicate regularly with the Project Manager, Contractor, City, and involved stakeholders.  Perform reviews of temporary and permanent erosion control measures on the project for compliance with applicable permits and specifications.  Provide services required under this contract as necessary to accommodate the contractor’s schedule and needs.  Exercise the “Authority and Duties of the Inspector” as necessary. D. Survey WSB will provide Survey services through project construction. This will include:  Verifying datum points are accurate and correct.  Provide all required construction staking including setting benchmark elevation locations.  Provide and maintain records for as-builts.  Coordinate with contractor on private utility relocations. 6.3 Mr. Jesse Struve April 8th, 2025 Page 3 E. Construction Materials Testing WSB will provide materials testing as required by the special provisions and Schedule of Materials control through the project. This will include:  Grading and base items including material gradations and densities.  Asphalt gradations, extractions, and densities.  Concrete air, slump, and strength tests.  Provide services required under this contract as necessary to accommodate the contractor’s schedule and needs. Depending on project sequencing and workload, as determined by the contractor, we will adjust our staffing needs accordingly. PROPOSED FEE The estimated cost proposal we are providing is based on the contract documents and anticipated schedule for the work. A better understanding of the level of effort needed will be realized once the contractor presents their approach to the work. WSB will provide the services as outlined in Project Approach/Scope of Services. Our budget was developed based on our understanding of the scope and experience with many similar projects. Our estimate is based on an assumed 16-weeks of construction, working 5 days a week, and 11 hours per day during construction activities. This also includes 32 hours for 2026 punch list work and final paving. The estimated cost of this project is not to exceed $241,715.00. All travel time is included in the estimated fee. The proposed scope and fee presented herein represents our complete understanding of the project based on site visits and work performed to date. If you have any questions or concerns, please feel free to contact me at (612) 388-9652. Once again, we appreciate the opportunity to submit this proposal and look forward to working with you and city staff. Sincerely, WSB Justin Messner, PE Director, Municipal Services Attachments ACCEPTED BY: By: Jesse Struve, PE, Public Works Director/City Engineer Date: 6.3 Project Manager ConstructionProject Lead InspectorEnvironmental ComplianceTwo Person Survey CrewSenior Survey Technician ClericalTotal WORK TASKHoursCostDescriptionPROJECT MANAGEMENTProject Management/Change Management/CA (2 hours per week) 328 40 $8,152.00Submittal Review/Shop Drawing Review/RFI/Plan Updates (2 hours per week) 3232 $6,976.00CONTRACT ADMINISTRATIONPre-Construction Conference 4 37 $1,316.00Private Utility Meetings1212 $2,616.00Weekly Meeting (Assume 1 meeting a week for 1 weeks, 1.5 hour per meeting) 2424 $5,232.00Monthly Pay Estimates (5 estimates) 55 10 $1,825.00Final Pay Voucher 22 4 $730.00Final Documentation 44 $872.00 CONSTRUCTION INSPECTION SERVICESPre-Project Inspection / Removal Measurements 1616 $2,368.00Construction Inspection (16 weeks full time inspection) 880880 $130,240.00Punchlist / Final Inspection / Final Paving in 2026 3232 $4,736.00Record Plan Measurements 1212 $1,776.00CONSTRUCTION SURVEYING SERVICESConstruction Survey125 125 $33,125.00Office Support12 12 $2,292.00Record Plans12 30 42 $8,910.00ENVIRONMANTALWeekly NPDES Inspections (1.5 hour per week, for 22 weeks)33 33 $4,521.00On Site Documentation (1 hours per week, for 22 weeks)22 22 $3,014.00Post Rain Event Inspections (Assume 1 rain event every other week) 22 22 $3,014.00Assume 16 weeks construction inspection, 5 days per week, 11 hours per day. Total Hours1159437713742151329 $221,715.00Hourly Costs 2025218.00148.00137.00265.00191.00147.00WSB SALARY COSTS$25,070.00 $139,564.00 $10,549.00 $36,305.00 $8,022.00 $2,205.00$221,715.00Materials Testing $20,000.00TOTAL CONSTRUCTION SERVICES PROJECT COST$241,715.00TOTAL PROJECT COST $241,715.00 WSBESTIMATE OF COST - 2025 Street and Utility Reconstruction ProjectCrystal, Minnesota6.3 AGENDA ECONOMIC DEVELOPMENT AUTHORITY OF THE CITY OF CRYSTAL • REGULAR MEETING • TUESDAY, APRIL 15, 2025 IMMEDIATELY FOLLOWING THE 7:00 P.M. CITY COUNCIL MEETING CRYSTAL CITY HALL UPPER COMMUNITY ROOM 1. Call to order * 2. Roll call * 3. Approval of minutes from April 1, 2025 regular meeting 4. Consider developing an offer to purchase real property at 4553 Welcome Ave. N. The EDA may close this portion of the meeting in accordance with M.S. 13D.05 Subd. 3(c)(3). The open meeting would resume after this item is concluded. 5. Preview of upcoming EDA items * 6. Property status update * 7. Other business * 8. Adjournment * *Items for which no materials are included in the packet Page 1 of 3 Minutes of the Economic Development Authority of the City of Crystal Regular Meeting Council Chambers April 1, 2025 1. Call to Order President Eidbo called the meeting of the Economic Development Authority of the City of Crystal (EDA) to order at 7:30 p.m. 2. Roll Call Upon call of the roll, the following Commissioners were present: John Budziszewski, David Cummings, Julie Deshler, Forest Eidbo, Traci Kamish, Therese Kiser and Taji Onesirosan. The following staff were present: Executive Director Adam Bell, Deputy Executive Director John Sutter and City Attorney Josh Weir. 3. Approval of Minutes Moved by Commissioner Budziszewski (Kiser) to approve the minutes from the March 18, 2025 regular meeting. Motion carried. 4. Receive the 2024 EDA Annual Report Staff presented the 2024 EDA Annual Report and answered questions from the board. 5. Consider approval of the 2025 EDA Work Plan Staff presented the 2025 EDA Work Plan and requested approval by the board. Moved by Commissioner Deshler (Kiser) to approve the 2025 EDA work plan including changes discussed by the Board. Motion carried. 6. Property Status Update Staff updated the board regarding the April 12 grand opening of the Daiso store at 5632 West Broadway, the beginning of construction on the Wing Stop at 351 Willow Bend, and the eight townhomes nearing completion on 36th Avenue east of Douglas Drive. Page 2 of 3 7. Preview of upcoming EDA items Staff informed the board that there will likely be an April 15 meeting with a closed session to consider making an offer to purchase 4533 Welcome Ave. N., and a June 17 meeting to consider a TIF district for the proposed Trident development on the former Wells Fargo site at 7000 56th Ave. N. 8. Other Business There was no other business. 9. Adjournment Moved by Commissioner Deshler (Kiser) to adjourn the meeting. Motion carried. The meeting adjourned at 8:32 p.m. Page 3 of 3 These minutes of the April 1, 2025 meeting of the Crystal Economic Development Authority were approved by the Authority on ________________ ___, 2025. ______________________________ Forest Eidbo, President ATTEST: ______________________________ Traci Kamish, Secretary ___________________________________________________________________________ FROM: John Sutter, Community Development Director DATE: April 9, 2025 TO: Adam R. Bell, Executive Director (for April 15 EDA meeting) SUBJECT: Consider developing an offer to purchase real property at 4553 Welcome Ave. N. The EDA may close this portion of the meeting in accordance with M.S. 13D.05 Subd. 3(c)(3). The open meeting would resume after this item is concluded. The house at 4533 Welcome Ave. N. is being auctioned by Hennepin County on behalf of the State of Minnesota. The owner is deceased, the property taxes have not been paid since 2019, and title transferred to the state on Nov. 19, 2024 due to property tax forfeiture. The house has been uninhabitable since January 23, 2024, when Public Works and Police responded to a 9-1-1 call about a burst, frozen pipe. At that time, the city also learned that CenterPoint Energy had red-tagged the furnace in March 2023. The auction presents an opportunity for the EDA to demolish this blighted house and sell the lot to a builder for construction of a new house. The new house could easily incorporate an accessory dwelling unit into the design due to it having frontage on two streets. The lot dimensions are 62.3 feet wide, 110 feet deep and 6,900 sq. ft. area. The auction information is attached and is also available online on the Mn. Dept. of Administration website at https://mnbid.mn.gov/productView/6196.  The first auction opened March 7 with a minimum price of $247,300 (the estimated market value at time of forfeiture). This auction closed after 30 days with no bids.  The second auction just opened with a minimum price of $40,403 (the sum of all delinquent taxes, cancelled special assessments, penalties, interest and other costs). The second auction will close on April 21. If the EDA desires to make an offer, then it would need to authorize a bid amount on April 15. State law (M.S. 13D.05 Subd. 3-c) permits a public body to close a meeting for this purpose. A motion, second and majority vote would be needed to close the meeting. Another motion, second and majority vote would be needed to authorize a bid amount. If the EDA bid is successful, then a final EDA to approve the purchase would be required at a subsequent open meeting. EDA STAFF REPORT 4553 Welcome Ave. N. Location Map 4533 Welcome Ave. N.  North 2024 Aerial Photo Property Photos