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HomeMy WebLinkAbout05.06.24 CITY OF ST. JOSEPH www.cityofstjoseph.com 75 Callaway Street East | Saint Joseph, Minnesota 56374 Email: cityoffices@cityofstjoseph.com | Phone: 320.363.7201 | Fax 320.363.0342 St. Joseph City Council May 6, 2024 6:00 PM **The City Council meeting will be conducted in-person in the council chambers of the St. Joseph Government Center. Members of the public can attend in-person or via Zoom. ** Join Zoom Meeting https://us06web.zoom.us/j/85855325299?pwd=fioHyDSqWZWpiO72WgcVQenkbS5mti.1 Meeting ID: 858 5532 5299 Passcode: 324949 1. 6:00 PM Call to order - Pledge of Allegiance 2. Public Comments Up to 3 speakers will be allowed for up to 3 minutes each to address the council with questions/concerns/comments (regarding an item NOT on the agenda). No Council response or action will be given/taken other than possible referral to Administration. 3. Approve Agenda 4. Consent Agenda a. Minutes – Requested Action: Approve the minutes of April 15, 2024. b. Bills Payable – Requested Action: Approve Check Numbers 61806-61882, Payroll & Account Payable EFT #3336-3362; Regular Pay Periods 8 and 9. c. Multiple Animal Permit – Requested Action: Approve the multiple animal permit for the residents at 1003 Callaway Street East for ownership of three dogs. d. Fire Department Truck Repairs – Requested Action: Accept the quotes from CMS to repair Units 1 and 4. e. Joint Powers Agreement for Massage License Inspection Services with the City of St. Cloud – Requested Action: Approve the JPA with the City of St. Cloud for Inspection Services on Massage Licenses. f. Applications for Off-Site Gambling, St. Joseph Jaycees – Requested Action: Approve the 11 off-site gambling applications submitted by the St. Joseph Jaycees for 2024. g. DNR Grant Application Authorization – Requested Action: Authorize the Fire Chief to apply for the Volunteer Fire Assistance Grant through the DNR. h. New Hire Pay Correction – Requested Action: Approve the pay correction for Jacob Reber to Grade 5 Step 5 with an effective date of April 3, 2024. i. Arbitrage Consulting Agreement – Requested Action: Approve the Arbitrage Consulting Services Engagement Contract with Government Capital Securities. j. Call for Public Hearing – Delinquent Accounts to be Assessed – Requested Action: Call for public hearing on May 20, 2024 to consider certification of delinquent account balance. k. Fire Department Policy Approvals – Requested Action: Approve the presented policies relating to records retention, procurement, and equipment management and inventory for the St. Joseph Fire Department. l. 2024 Pickleball Court Improvements – Requested Action: Approve plans and specifications and authorize SEH to submit advertisements for bids for the 2024 Pickleball Court Improvements Project. 5. Public Hearing – La Playette Special Event 6. Public Hearing – Tax Abatement 7. Street Closure Request – White Peony Boutique 8. St. Joseph Fire Relief Update and Request for Benefit Level Increase 9. Kinetic Contract Discussion CITY OF ST. JOSEPH www.cityofstjoseph.com 75 Callaway Street East | Saint Joseph, Minnesota 56374 Email: cityoffices@cityofstjoseph.com | Phone: 320.363.7201 | Fax 320.363.0342 10. Department Reports 11. Mayor and Council Reports/Updates 12. Adjourn April 15th, 2024 Page 1 of 2 Pursuant to due call and notice thereof, the City Council for the City of St. Joseph met in regular session on Monday, April 15th, 2024, at 6:00PM in the St. Joseph Government Center. Members Present: Mayor Rick Schultz, Councilmembers Adam Scepaniak, Kevin Kluesner, Bob Loso Absent: Kelly Beniek City Representatives Present: City Administrator David Murphy, Public Works Director Ryan Wensmann, Community Development Director Nate Keller, City Engineers Randy Sabart and Bryce Johnson, Finance Director Lori Bartlett, Recreation Director Rhonda Juell Public Comments: Hillary Macoi, student from St. John’s University, spoke to the Council about students’ being responsible and being good stewards of the community. Approve Agenda: Kluesner motioned to approve the agenda; seconded by Loso and passed unanimously. Consent Agenda: Kluesner made a motion to approve the consent agenda; seconded by Scepaniak and passed unanimously. Consent Agenda: a. Minutes – Requested Action: Approve the minutes of March 18, 2024 and April 1, 2024. b. Bills Payable – Requested Action: Approve Check Numbers 61745-61805, Payroll & Account Payable EFT #3324-3335; Regular Pay Period 7. c. Financial Report – Requested Action: Approve the 1st quarter and March 2024 financial reports as presented. d. Donations – Requested Action: Approve Resolution 2024-023 Accepting Donations. e. Acceptance of Mn Twins Grant – Requested Action: Accept the equipment grant from the Minnesota Twins. f. Disc Golf Baskets – Requested Action: Approve the purchase of new disc golf baskets in Millstream Park from DGA for the amount of $9,640.00. g. Transfers – Requested Action: Authorize the transfers as presented. h. Quadient Lease – Requested Action: Authorize execution of a 60-month Quadient Impress subscription lease; replacing the mailer/sorter machine. i. 4th Quarter Gambling Reports – Requested Action: Approve the 4th quarter 2023 gambling reports as presented. Public Hearing – Joetown Rocks Special Event Request: Mayor Schultz provided an overview on the Joetown Rocks event and street closure request. Street closures proposed are on College Ave from MN St to Baker St and MN St from 1st Ave NW to 1st Ave NE from 2PM on July 3rd to 2AM on July 4th. July 4th street closure would be the same portions of College Ave and MN ST from 10AM-6PM. The applicant has included plans for emergency evacuation, parking/traffic control, clean-up, security and crowd control. Security provided for the event is in addition to the assistance provided by the St. Joseph Police Department and Stearns County Sheriff’s office. Bruce Bechtold representing the applicants provided some additional information to the Council while answering questions. Scepaniak moved to approve the street closure request as submitted by the Church of St. Joseph, pending street closure discussion with Chief Pfannenstein; seconded by Kluesner and passed unanimously. Street Closure and Funding Request, Joetown Blocks: Mary Bruno, Ann Riesner, and Pia Lopez provided an overview of the event. Event is being organized by the St. Joseph Convention and Visitor’s Bureau and will be held on June 9th from 12-5PM. Requested street closure would be from 8AM-7PM and roads proposed to be closed would be MN ST from Chapel Lane. Murphy shared the intersection of MN and College has had a lot of near misses and Chief Pfannenstein feels it would be safer to close the intersection and divert traffic. Council discussed the importance of this segment being looked at and closed during events moving forward. April 15th, 2024 Page 2 of 2 Kluesner moved to approve the street closure request and funding in the amount of $9,000 as submitted by the CVB for Joetown Blocks on June 9th, 2024, pending street closure discussion with Chief Pfannenstein; seconded by Loso and passed unanimously. Kinetic: Scott Justvig, Bryan Feather, and Janell Johnson of Kinetic introduced themselves. They are the team from Kinetic who will be working on the campaign for the Community Center/YMCA project. They outlined each team member’s role and shared their commitment to the campaign as well as their proactive approach to fostering communication with staff and council. Resolution Calling for a Public Hearing on Proposed Property Tax Abatements: City Administrator David Murphy gave an overview of the proposed property tax abatements and proposed business subsidy. The council is asked to approve the resolution calling for a public hearing expected to take place at the May 6th, city council meeting. Schultz made a motion to adopt Resolution 2024-022 calling for the public hearing on the tax abatement and business subsidy on May 6th, 2024; seconded by Scepaniak and passed unanimously. Resolution Authorizing Advertisement for Bids – 2024 Street Improvement Project: City Engineer Randy Sabart shared the next step in moving forward with the 2024 street improvements is to approve the plans and specifications, and to authorize SEH to advertise and seek bids. Bid opening will take place on May 13th. Bids will be considered by council at the June 17th, 2024, city council meeting. Loso moved to approve Resolution 2024-024 Approving plans and specifications and authorize SEH to advertise for bids; seconded by Kluesner and passed unanimously. Engineer Reports: None. Department Reports: Murphy shared the joint cities meeting is scheduled for April 30th, St. Joseph is hosting. Murphy’s one-year review is coming up. The review will take place at a closed session meeting not yet scheduled. Mayor and Council Reports/Updates: Schultz shared he was at the capital last week. The sewer main extension bonding bill is still viable. More information on that will be available in the next couple of weeks. Policy changes related to zoning and building multi-family housing in commercially zoned areas are still viable in the house, no longer in the senate. The LMC has grant funds available for safe road zones. This grant may address the issues we have on CR 121 and Lanigan Way. Applications are due in May and grants will be awarded in June. Schultz will forward the application materials to staff for completion. April 30th the LMC will be presenting at the joint cities meeting. Schultz invited all four legislators to the June 25th work session; all of them have responded and will be attending. Loso asked Sabart if he had additional information about the traffic count being conducted at CR 2 and MN ST W. Sabart replied that Stearns County was scheduled to do traffic counts this year and that m ay be the reason for the count in that location. Sabart also mentioned he could follow up on the MN Dot website and find out if that intersection was slated for a count. Loso requested the police department submit a quarterly report. Adjourn: Kluesner made a motion to adjourn at 6:31PM ; seconded by Scepaniak and passed unanimously. Kayla Klein City Clerk STAFF MEMO Prepared by: Debbie Kulzer Meeting Date: 5/6/24 ☒ Consent Agenda Item ☐ Regular Agenda Item Agenda Item # 4b Reviewed by: Item: Bills Payables ACTION REQUESTED Approve the bills payables as presented. BOARD/COMMISSION/COMMITTEE RECOMMENDATION none PREVIOUS COUNCIL ACTION See below REFERENCE AND BACKGROUND The council approved staff to make the following payments through the payroll contracts, regular monthly invoices with due dates prior to the next scheduled council meeting, or actions taken at previous council meetings. The information here is to provide you all checks and electronic payments made for verification of the disbursement completeness. BUDGET IMPACT Bills Payable – Checks Mailed Prior to Council Approval Regular PP 8 & 9 $135,800.12 Payroll & Accounts Payable EFT #3336 - #3362 $165,353.80 Check Numbers #61806 - #61875 $259,306.85 __________________________________________________ Total $560,460.77 Bills Payable – Checks Awaiting Council Approval Check Numbers - #61876 - 61882 $25,775.86 Total $25,775.86 Total Budget/Fiscal Impact: $586,236.63 Various Funds STAFF RECOMMENDED ACTION Approve the bills payables as presented. SUPPORTING DATA/ATTACHMENTS Bill listing by EFT, paid prior to council approval and awaiting to be paid upon council approval. GL Check Check Vendor Invoice Invoice Check Period Issue Date Number Number Payee Number GL Account Amount 24-Apr 4/17/2024 ACH PAYROLL REG PP 8 VARIOUS 65,835.59$ 24-May 5/1/2024 ACH PAYROLL REG PP 9 VARIOUS 69,964.53$ 24-Apr 4/11/2024 3336 107770 CIRCLE K FLEET - HOLIDAY 95717804 602-49450-205 270.11$ 24-Apr 4/11/2024 3337 108269 FORTE PAYMENTS, INC.11869122 101-41430-300 261.90$ 24-Apr 4/11/2024 3338 106422 KWIK TRIP March 2024 - PD 101-42152-230 2,206.99$ 24-Apr 4/11/2024 3338 106422 KWIK TRIP MARCH 2024 - PW & FIRE 602-49450-205 2,260.08$ 24-Apr 4/11/2024 3339 897 MN DEPARTMENT OF REVENUE MARCH 2024 SALES/USE TAX 603-00000-31320 461.00$ 24-Apr 4/11/2024 3340 690 VERIZON WIRELESS 9959911751 210-42250-321 2,016.61$ 24-Apr 4/11/2024 3341 100136 XCEL ENERGY 871149870 101-43201-381 14,244.39$ 24-Apr 4/15/2024 3342 106514 DELTA DENTAL RIS0005592490 101-21706 2,643.06$ 24-Apr 4/15/2024 3343 107068 MEDICA Apr-24 101-21706 38,182.58$ 24-Apr 4/15/2024 3344 1349 NCPERS GROUP LIFE INSURANCE 7.35E+11 101-21711 57.00$ 24-Apr 4/15/2024 3345 106543 THE HARTFORD 3.95927E+11 101-21711 206.15$ 24-Apr 4/17/2024 3346 106468 AMERICAN FUNDS PR0412241 101-21705 150.00$ 24-Apr 4/17/2024 3347 1224 EFTPS PR0412241 101-21703 19,467.86$ 24-Apr 4/17/2024 3348 897 MN DEPARTMENT OF REVENUE PR0412241 101-21702 4,339.40$ 24-Apr 4/17/2024 3349 63 PERA PR0412241 101-21704 20,065.28$ 24-Apr 4/17/2024 3350 105209 SENTRY BANK PR0412241 101-21715 1,796.68$ 24-Apr 4/17/2024 3351 106189 VOYA FINANCIAL PR0412241 101-21705 1,850.00$ 24-Apr 4/17/2024 3352 108126 WEX PR0412241 101-21715 692.92$ 24-Apr 4/25/2024 3353 108258 MAGNIFI FINANCIAL CREDIT CARD Magnifi March 2024- David 101-41430-331 250.00$ 24-Apr 4/25/2024 3353 108258 MAGNIFI FINANCIAL CREDIT CARD Magnifi March 2024- FIRE 210-42220-210 232.06$ 24-Apr 4/25/2024 3353 108258 MAGNIFI FINANCIAL CREDIT CARD Magnifi March 2024- Kayla 101-41430-200 847.14$ 24-Apr 4/25/2024 3353 108258 MAGNIFI FINANCIAL CREDIT CARD Magnifi March 2024- Lori 101-41430-220 124.95$ 24-Apr 4/25/2024 3353 108258 MAGNIFI FINANCIAL CREDIT CARD Magnifi March 2024- Nate 101-41910-300 1.00$ 24-Apr 4/25/2024 3353 108258 MAGNIFI FINANCIAL CREDIT CARD Magnifi March 2024- PD 101-45202-300 217.45$ 24-Apr 4/25/2024 3353 108258 MAGNIFI FINANCIAL CREDIT CARD Magnifi March 2024- PW 101-41941-210 625.23$ 24-Apr 4/25/2024 3353 108258 MAGNIFI FINANCIAL CREDIT CARD Magnifi March 2024- Rhonda 101-45204-308 849.34$ 24-Apr 4/30/2024 3354 108294 MAGNIFI DEBIT CARD Apr-24 101-43125-230 105.57$ 24-Apr 4/30/2024 3355 108126 WEX 0001931549-IN 101-41430-300 68.75$ 24-May 5/2/2024 3356 106468 AMERICAN FUNDS PR0426241 101-21705 150.00$ 24-May 5/2/2024 3357 1224 EFTPS PR0426241 101-21703 20,519.48$ 24-May 5/2/2024 3358 897 MN DEPARTMENT OF REVENUE PR0426241 101-21702 4,488.66$ 24-May 5/2/2024 3359 63 PERA PR0426241 101-21704 20,497.98$ 24-May 5/2/2024 3360 105209 SENTRY BANK PR0426241 101-21715 2,119.60$ 24-May 5/2/2024 3361 106189 VOYA FINANCIAL PR0426241 101-21705 1,850.00$ 24-May 5/2/2024 3362 108126 WEX PR0426241 101-21715 1,234.58$ 24-Apr 4/11/2024 61806 107807 CENTRAL MOTORCAR SPECIALTIES 19835 210-42220-585 888.13$ 24-Apr 4/11/2024 61807 1265 CINTAS CORPORATION NO. 2 March 24 STMT 602-49490-210 1,234.43$ 24-Apr 4/11/2024 61808 102063 CITY OF SARTELL 212 101-42120-300 3,449.29$ 24-Apr 4/11/2024 61809 273 EMERGENCY MEDICAL PRODUCTS,2626161 210-42270-210 134.20$ 24-Apr 4/11/2024 61810 108284 FES, INC 21079 210-42220-585 407.20$ 24-Apr 4/11/2024 61810 108284 FES, INC 21100 210-42220-580 53,296.00$ 24-Apr 4/11/2024 61811 529 GOODIN COMPANY 5402097-00 601-49420-220 27.48$ 24-Apr 4/11/2024 61812 107502 LEXISNEXIS 1694850-20240331 101-42120-300 109.27$ 24-Apr 4/11/2024 61813 105417 MIDCONTINENT COMMUNICATION 1.57323E+13 101-42151-220 30.00$ 24-Apr 4/11/2024 61813 105417 MIDCONTINENT COMMUNICATION 1.64557E+13 602-49480-321 2,688.18$ 24-Apr 4/11/2024 61814 460 MINNESOTA COMPUTER SYSTEMS,393625 210-42210-410 85.00$ 24-Apr 4/11/2024 61814 460 MINNESOTA COMPUTER SYSTEMS,395054 101-42120-410 60.00$ 24-Apr 4/11/2024 61815 106764 O REILLY AUTO PARTS 5771-328839 101-42152-230 129.15$ 24-Apr 4/11/2024 61815 106764 O REILLY AUTO PARTS 5771-329106 101-42152-230 84.03$ 24-Apr 4/11/2024 61815 106764 O REILLY AUTO PARTS 5771-329420 101-42152-230 (91.15)$ 24-Apr 4/11/2024 61816 106444 OPG-3, INC.7744 101-41430-310 3,100.00$ 24-Apr 4/11/2024 61817 108304 REAL TIME TRANSLATION 117714 101-42120-300 399.00$ 24-Apr 4/11/2024 61817 108304 REAL TIME TRANSLATION 117773 101-42120-300 39.00$ 24-Apr 4/11/2024 61818 11 STEARNS ELECTRIC ASSOCIATION March 24 STMT 602-49471-381 2,977.49$ 24-Apr 4/16/2024 61819 108306 NORTHERN TOOL & EQUIPMENT ITEM # 268170 109-43125-580 3,780.99$ 24-Apr 4/18/2024 61820 106971 EO JOHNSON BUSINESS TECH INV1515281 101-41710-310 401.00$ 24-Apr 4/18/2024 61821 108301 FLEETPRIDE, INC.115717062 101-43125-230 14.54$ 24-Apr 4/18/2024 61822 529 GOODIN COMPANY 5413029-00 601-49421-220 455.22$ 24-Apr 4/18/2024 61823 103046 HEARTLAND DOOR SALES INC.34795 101-43201-220 140.00$ 24-Apr 4/18/2024 61824 103251 KRIS ENGINEERING INC 39734 101-43125-210 8,925.72$ 24-Apr 4/18/2024 61825 146 MIDWAY IRON AND METAL, INC 577088 101-43125-230 57.50$ 24-Apr 4/18/2024 61826 105537 MIDWEST MACHINERY CO.9979299 101-43125-230 127.78$ 24-Apr 4/18/2024 61827 104973 MINNESOTA DEPT OF HEALTH CERTIFICATE #12306 601-49440-446 23.00$ 24-Apr 4/18/2024 61827 104973 MINNESOTA DEPT OF HEALTH CERTIFICATE #8701 601-49440-446 23.00$ 24-Apr 4/18/2024 61828 106764 O REILLY AUTO PARTS 5771-329436 101-43120-230 10.37$ 24-Apr 4/18/2024 61828 106764 O REILLY AUTO PARTS 5771-329513 101-43201-210 28.99$ 24-Apr 4/18/2024 61828 106764 O REILLY AUTO PARTS 5771-329514 101-43120-230 (10.37)$ 24-Apr 4/18/2024 61828 106764 O REILLY AUTO PARTS 5771-329811 101-42152-230 43.63$ 24-Apr 4/18/2024 61828 106764 O REILLY AUTO PARTS 5771-329847 101-42152-230 11.97$ 24-Apr 4/18/2024 61828 106764 O REILLY AUTO PARTS 5771-329848 602-49450-230 23.94$ 24-Apr 4/18/2024 61829 105615 SHIFT TECHNOLOGIES, INC.12373 101-41710-310 312.50$ 24-Apr 4/18/2024 61829 105615 SHIFT TECHNOLOGIES, INC.12408 101-41710-310 252.00$ 24-Apr 4/18/2024 61830 110 TIREMAXX SERVICE CENTERS 427613 101-42152-230 129.95$ 24-Apr 4/23/2024 61831 103063 INSPECTRON INC 1210 101-42401-300 8,525.00$ 24-Apr 4/25/2024 61832 108264 1ST AYD CORPORATION PSI691900 101-43120-314 221.82$ 24-Apr 4/25/2024 61833 108310 ACME ELECTRIC MOTOR INC.12661983 601-49440-210 117.81$ 24-Apr 4/25/2024 61834 108308 ALMANZA, ROSA 04.13.24 REFUND 101-45202-34782 200.00$ 24-Apr 4/25/2024 61835 268 AMERICAN WATER WORKS ASSOC.7002206531 601-49440-433 240.00$ 24-Apr 4/25/2024 61836 38 AUTO VALUE PARTS STORES - WEST 8053188 101-45202-230 20.93$ 24-Apr 4/25/2024 61836 38 AUTO VALUE PARTS STORES - WEST 8053190 101-45202-230 109.95$ 24-Apr 4/25/2024 61836 38 AUTO VALUE PARTS STORES - WEST 8053659 101-43201-220 11.99$ 24-Apr 4/25/2024 61836 38 AUTO VALUE PARTS STORES - WEST 8053660 101-43201-210 15.95$ 24-Apr 4/25/2024 61837 145 CENTRAL HYDRAULICS, INC 615560 101-43125-230 147.51$ 24-Apr 4/25/2024 61837 145 CENTRAL HYDRAULICS, INC 615580 101-43125-230 43.12$ 24-Apr 4/25/2024 61838 108079 CHAMBERLINE OIL CO.468600-00 101-42152-230 740.68$ 24-Apr 4/25/2024 61839 108312 CHAPP, SEAN 04.23.24 603-00000-32000 25.00$ 24-Apr 4/25/2024 61840 108313 CITY OF APPLE VALLEY Plow Truck 2010 109-43125-580 65,000.00$ 24-Apr 4/25/2024 61841 160 CITY OF ST. CLOUD AR030804 602-49480-602 57,124.97$ 24-Apr 4/25/2024 61842 102901 CORE & MAIN LP U679704 601-49421-220 306.74$ 24-Apr 4/25/2024 61842 102901 CORE & MAIN LP U679712 601-49430-210 469.24$ 24-Apr 4/25/2024 61842 102901 CORE & MAIN LP U686379 601-49421-220 (721.60)$ 24-Apr 4/25/2024 61843 112 DESIGN ELECTRIC, INC 22998 101-43201-220 522.60$ 24-Apr 4/25/2024 61844 108311 DGA 65152 101-45202-220 9,550.00$ 24-Apr 4/25/2024 61845 204 EARL F. ANDERSEN, INC 0135934-IN 101-43120-220 141.45$ 24-Apr 4/25/2024 61846 106554 ELECTRIC MIKES, INC.4923 601-49420-300 943.00$ 24-Apr 4/25/2024 61847 378 EMERGENCY APPARATUS MAINT. I 130641 210-42260-230 1,457.05$ 24-Apr 4/25/2024 61848 342 FASTENAL COMPANY MNST1205016 101-43201-210 88.35$ 24-Apr 4/25/2024 61849 104933 FLAHERTY & HOOD, P.A.21039 110-41430-300 10,000.00$ 24-Apr 4/25/2024 61850 592 GALLS, INC 27556221 101-42120-171 141.77$ 24-Apr 4/25/2024 61850 592 GALLS, INC 27622235 101-42120-171 38.99$ 24-Apr 4/25/2024 61850 592 GALLS, INC 27646351 101-42120-171 36.84$ 24-Apr 4/25/2024 61851 529 GOODIN COMPANY 5412785-00 601-49421-220 154.90$ 24-Apr 4/25/2024 61852 76 GRANITE ELECTRONICS, INC 1142532 101-42151-320 603.60$ 24-Apr 4/25/2024 61853 108265 KENNEDY & GRAVEN, CHARTERED 180804 250-46500-304 95.00$ 24-Apr 4/25/2024 61854 107352 KEY TITLE & CLOSING SERVICES 549 GRACEVIEW LOOP 315-43120-36100 190.06$ 24-Apr 4/25/2024 61855 15 LEAGUE OF MN CITIES 404823 101-41310-331 425.00$ 24-Apr 4/25/2024 61856 151 MACQUEEN EMERGENCY, INC P28237 210-42220-220 481.25$ 24-Apr 4/25/2024 61857 105921 MARCO, INC 527169601 101-41430-410 453.47$ 24-Apr 4/25/2024 61858 105686 MELROSE 1 STOP 53859 101-43125-230 1,691.24$ 24-Apr 4/25/2024 61859 460 MINNESOTA COMPUTER SYSTEMS,395040 210-42210-200 100.05$ 24-Apr 4/25/2024 61860 1616 MVTL LABORATORIES, INC 1247304 602-49480-312 551.50$ 24-Apr 4/25/2024 61861 106764 O REILLY AUTO PARTS 5771-329533 101-42152-230 (84.03)$ 24-Apr 4/25/2024 61861 106764 O REILLY AUTO PARTS 5771-330240 101-43125-230 24.60$ 24-Apr 4/25/2024 61861 106764 O REILLY AUTO PARTS 5771-330572 602-49450-230 21.98$ 24-Apr 4/25/2024 61861 106764 O REILLY AUTO PARTS 5771-330634 602-49450-230 30.34$ 24-Apr 4/25/2024 61861 106764 O REILLY AUTO PARTS 5771-330687 602-49450-230 33.14$ 24-Apr 4/25/2024 61861 106764 O REILLY AUTO PARTS 5771-330897 101-43125-230 21.98$ 24-Apr 4/25/2024 61861 106764 O REILLY AUTO PARTS 5771-331288 101-43201-210 28.79$ 24-Apr 4/25/2024 61862 108307 OFFICE OF ADMINISTRATIVE HEARI OA-1725 101-41910-431 25.00$ 24-Apr 4/25/2024 61863 103475 POWERHOUSE OUTDOOR EQUIP 694664 210-42220-205 107.96$ 24-Apr 4/25/2024 61863 103475 POWERHOUSE OUTDOOR EQUIP 695827 101-45202-230 30.79$ 24-Apr 4/25/2024 61864 107580 QUADIENT POSTAGE FUNDING 2024 APRIL POSTAGE 101-41430-201 500.00$ 24-Apr 4/25/2024 61865 1168 RDO P3267003 101-45202-230 111.31$ 24-Apr 4/25/2024 61866 357 RENGEL PRINTING, INC 175593 651-49490-200 89.46$ 24-Apr 4/25/2024 61867 108309 SEANGER, CELESTE 2024-46 REFUND 603-00000-32000 70.00$ 24-Apr 4/25/2024 61868 134 SECURITY LOCK TECHNOLOGIES 23431123 101-43201-210 30.00$ 24-Apr 4/25/2024 61868 134 SECURITY LOCK TECHNOLOGIES 23484209 101-43201-210 8.00$ 24-Apr 4/25/2024 61869 105615 SHIFT TECHNOLOGIES, INC.12454 101-41710-310 108.00$ 24-Apr 4/25/2024 61870 6 ST. CLOUD TIMES 6318420 101-41430-340 117.12$ 24-Apr 4/25/2024 61871 107839 TOTAL ENERGY SYSTEMS, LLC INV117542 602-49480-300 225.00$ 24-Apr 4/25/2024 61871 107839 TOTAL ENERGY SYSTEMS, LLC INV117567 602-49480-300 225.00$ 24-Apr 4/25/2024 61871 107839 TOTAL ENERGY SYSTEMS, LLC INV117614 601-49421-300 225.00$ 24-Apr 4/25/2024 61871 107839 TOTAL ENERGY SYSTEMS, LLC INV117616 101-41942-300 225.00$ 24-Apr 4/25/2024 61872 104827 WATER CONSERVATION SERVICE IN 13820 601-49440-300 566.40$ 24-Apr 4/25/2024 61873 107953 WEISMAN CLEANING INC 6875 210-42280-300 1,785.00$ 24-Apr 4/25/2024 61873 107953 WEISMAN CLEANING INC 6876 101-45202-300 200.00$ 24-Apr 4/30/2024 61874 104991 DVS RENEWAL 22560130-1 101-43125-300 4,505.75$ 24-May 5/1/2024 61875 105553 CIVICPLUS 293831 109-41430-582 6,011.60$ 24-May 5/2/2024 61876 107829 BERGANKDV 1227684 101-41540-300 24,000.00$ 24-May 5/2/2024 61877 105328 CITY OF WAITE PARK 65353 101-45204-220 89.40$ 24-May 5/2/2024 61878 554 LITTLE FALLS MACHINE INC 371067 101-43125-210 686.96$ 24-May 5/2/2024 61879 1616 MVTL LABORATORIES, INC 1249500 602-49480-312 155.50$ 24-May 5/2/2024 61880 105529 NELSON SANITATION & RENTAL, IN INV/2024/3649 101-45202-300 83.00$ 24-May 5/2/2024 61880 105529 NELSON SANITATION & RENTAL, IN INV/2024/3650 101-45202-300 128.00$ 24-May 5/2/2024 61880 105529 NELSON SANITATION & RENTAL, IN INV/2024/3651 101-45202-300 128.00$ 24-May 5/2/2024 61881 307 TRAUT COMPANIES 368256 601-49420-312 280.00$ 24-May 5/2/2024 61882 107650 TRI COUNTY HUMANE SOCIETY 2024 QUARTER 1 BILLING 101-42120-300 225.00$ Payroll $135,800.12 Accounts Payable & Payroll EFT $165,353.80 Check #'s $259,306.85 Council Approval Checks $25,775.86 STAFF MEMO Prepared by: City Clerk Meeting Date: 5/6/24 ☒ Consent Agenda Item ☐ Regular Agenda Item Agenda Item # 4c Reviewed by: Item: Multiple Animal Permit ACTION REQUESTED Approval of the consent agenda. If item is pulled from the consent agenda, then the following action is requested. Approve the multiple animal permit for the residents at 1003 Callaway Street East for the ownership of three dogs. BOARD/COMMISSION/COMMITTEE RECOMMENDATION N/A PREVIOUS COUNCIL ACTION N/A REFERENCE AND BACKGROUND Staff was approached by Bryan Allen, resident at 1003 Callaway Street East, about the possibility of owning three dogs. Ordinance only allows for two dogs per residence, unless approved by the City Council. The Allen Family found the dog at Wildwood County Park Trailhead and have extensively tried to locate her previous owners. No one has claimed her and rather than taking her to a shelter, they would like to keep her as part of their family. Proof of rabies vaccination has been provided for all animals in the home. BUDGET IMPACT N/A STAFF RECOMMENDED ACTION Approval of the Multiple Animal Permit SUPPORTING DATA/ATTACHMENTS Multiple Animal Permit Application STAFF MEMO Prepared by: Jeff Taufen, Fire Chief Meeting Date: 5/6/24 ☒ Consent Agenda Item ☐ Regular Agenda Item Agenda Item # 4d Reviewed by: David Murphy, Admin. Item: Fire Department Truck Repairs ACTION REQUESTED Requesting Approval to get body repairs to Unit # 1 and Unit # 4 BOARD/COMMISSION/COMMITTEE RECOMMENDATION N/A PREVIOUS COUNCIL ACTION none REFERENCE AND BACKGROUND Unit # 1 is a 2012 Pumper. Over the past few years there have been a few incidents while using the truck. The strong winds one day over extended the front passenger door causing the outer body crack and leaving an open area for further body damage. Along with that there is also an area that while pulling into a residential home, there was some low tree branches that scratched the right rear of the truck causing the paint to come off. Unit # 4 is a 1999 Tanker. This truck has been in service for 24+ years and has a few areas that are starting to show the age of the truck. The major issues on this truck are the areas of rust that have been popping up around the wheel wells and door hinges on the body. The truck had a new tank put in to haul the water and the fire chief believes this truck will last for many more years but needs a little body work done. With the addition of our new Unit # 8 which is a pumper and a tanker, we can get this work done on these trucks without giving up any service to our community. BUDGET IMPACT Unit # 1 $2,125.79 Unit # 4 $8,269.49 STAFF RECOMMENDED ACTION Motion to move forward with getting both of these trucks repaired. SUPPORTING DATA/ATTACHMENTS Quotes from CMS CENTRAL MOTORCAR SPECIALTIES N orkfile ID: 169d6a8d PartsShsre:7T6st:o CMS INC. Federal ID: 41-1738543 1 J9 Cedar St E BQX 691, crosa ta@I;e.com, SAINT Stat2 I: 1s7s4i JOSEPH, MN 56374 F iot: 3 G j 353-i 5i FAX: (320) 363-0068 Estimate RO Number: Cust mer: Insurarce: Adjuster: Estir7atar: Keliy]acabsc ST JOSEPH FIRE DEPARTMENT Phone:Create Date:4/11/2024 Claim: Loss Date: 32C}492-338: C2 u tibie: r'UMFcr i icED VIPJ: UNiTff 1 Intzri r Cal r: 1 12age In: W ic1z Out: License: Exterior Color: RED Mileage Out: 5take: Production Date: Conditiqn: ob#: tine Ver O ration 6escripti n QtY Ext nr ed Part Labcsr Type ?air t Price$ Type 1 E01 RIGHT REAR ROLL UP DOOR 1 35.00T Other 1.0 BodY 1.5 2 E01 RIGHT FRONT CAP 2.5 Body 4.5 3 1 TOJCt-UP RIGHT FRONT DOOR i.0 4 E01 Hazardous waste removai 1 S.00T Other 5 E01 SHORTEN RIGHT DOOR CATCH Q'8 Y 6 E01 Color tint/color match 0.3 7 Gl ReroveJReplace Cover Car 1 2.00T Cttier a Y Estimate Totals Discount$ Markup$Rate S Totai Hours Total$ 35.00 Parts ab r,ody 120.00 4.9 588.0 Labor,Refinish 120.00 7.3 876.00 Material,Paint 75.00 73 547.50 4.00 0.6 2.40 Material,Shop T9isc211an;us 2,078.90 Subtotal Sales Tax 46.89 2,125.79 Grand Tata: 2,125.79 Net Total Estimate Version Total$ Original 2,125.79 Insurance Total$: 0.00 Receive frnm Insuranre; O.Q T=Taxable Item,RPD=RNated Prior Damage,AA=Appearance Ailowance,UPD=Unrelated Prior Damage,PDR=Paintless Dent Repair,A/M=Aftermarket,Rechr=Rechromed,Reman=Remanufactured,OEM=New Originai Equipment Manufadurer,Recor=Retored,RECOND=Reconditioned,LKQ=Like Kind Quality or Used,Diag=Diagnostic,Elec=Electrical,Mech= Mechanical,Ref=Refinish,Struc=Structural Page 1 4/11/2024 3:08:02 PM Estimate RO Number: Pt1MFE2#1 RED Balance due from Insurance$: 0.00 srnmer T tal$: 2;125.79 Received from Customer$: 0.00 Balance due from Customer$: 2,125.79 Remanufactured,OEM=Newa g nralrEqu p ent Manufa ean bw Re ored,RECOND t Reconditloned,LKQ=LikenKind Q i ty or Used Dia9 Diagnostic Elec=El ectrical,Mech an= Mechanical,Ref=Refinish,SWc=Structural Page 2 4/11/2024 3:08:02 PM CENTRAL MOTORCAR SPECIALTIES Workfile ID: 9b14528b PartsShar: 7T5sLd CMS INC.FederalID: 41-1738543 iQ9 Cedar St E BOX 691, crosauto@live.com, SAINT Stat2 IC: 197941s OSEPH, MN 56374 Pi oite: (32G j 363-75i FAX: (320) 363-0068 Esti mate RO Number: UStOfTiEi: 11i5UraiiC2: r jiiStEi': Stiii'la vf: I 2iiy aCObSuii ST JOSEPH FIRE DEPARTMENT Phone:Create Date:4J11J2024 Claim: Loss Date: 32C)492-3387 De u ibl2: THi KER i RUCK Rtu VIN: Int2rior lar: 1ilEage Ir: Veyicle ut License: Exterior Color: RED Mileage Out: 5tate: Production Dake: Condition: ob#: Line {ier Op ation Description Qty Extended Part Labar ype Paint Price Type 1 E01 Color tint/color match 0.3 2 E01 R&I DROP TANK HOLDER 1 50.00T Other 3.0 Body 3 Ol DRO?TANK HOLDER S IE 3. Body 9. 4 E01 LEFf REAR WHEEL PANEL 1 35.QOT Other 4.5 Body 6.5 5 E01 RIGHT REAR WHEEL PANEL 1 35.QOT Qther 4.5 Body 6.5 6 E01 RIGHT COMPARTMENT DOOR 1 10.00T Other 2.0 Body 3.0 E01 LEFT SI7E DUMP DCOR 1 10.a0T Other 1.5 Sody 1.5 8 E01 WHITE REFLECTOR 1 175.00T Other 1.0 Body 9 E01 Hazard4us waste r moval 1 S.QOT Qther 10 E01 Remove/Replace CoverCar 1 20.00T Other 1.0 Body Estimate Totals Discount$ Markup$Rate$ Total Hours Total$ Par*w 31.00 Labor, Body 120.00 21.0 2,520.00 LaGui,Refinish 120.0 2o.S 3,2io.^v Material,Paint 75.00 26.8 2,010.00 Material,Shop 4.00 1.0 4.00 Miscellaneous 25.00 Subtotal 8,090.00 Saies Tax g•g Grand Total 8,269.49 Net Total 8,269.49 Estimate Version Total$ T=Taxable Item,RPD=Refated Prior Damage,AA=Appeardnce Aliowance,UPD=Unrelated Prior Damage,PDR=Paintless Dent Repair,A/M=Aftermarket,Rechr=Rechromed,Reman= Remanufactured,OEM=New Original Equipment Manufacturer,Recor=Re-cored,RECOND=Reconditloned,LKQ=like Kind Quaiity a Used,Diag=Diagnostic,Elec=Electrical,Mech= Mechanical,Ref=Reflnish,Struc=Structural 4/il/2024 3:00:26 PM Page 1 Estimate RO C Gmber: TA JKER TRI CK R Original 8,269.49 Ins!rancP Total$; 0.00 Received from Insurence$: 0.00 Balance due from Insurance$: 0.00 Custom r Total$: 8,259.49 Received from Customer$: 0.00 Balance due from Customer$: 8,269.49 T=Taxabie Item,RPD=Related Pnor Damage,AA=Appearance Allowance,UPD=Unrelated Prior Damage,PDR=Paintless Dent Repair,AJM=Aftermarket,Rechr=Rechromed,Reman= Remanufactured,OEM=New Original Equipment Manufacturer,Recor=Re-cored,RECOND=Recondidoned,LKQ=Like Kind Quality or Used,Diag=Diagnostic,Elec=Electrical,Mech= Mechanical,Ref=R nish,Struc=Structural 4/11/2024 3:00:26 PM Page 2 STAFF MEMO Prepared by: City Clerk Meeting Date: 5/6/24 ☒ Consent Agenda Item ☐ Regular Agenda Item Agenda Item # 4e Reviewed by: City Administrator Item: Joint Powers Agreement for Massage License Inspection Services with the City of St. Cloud ACTION REQUESTED Approval of consent agenda will approve this item. If pulled from the consent agenda, the following action is requested. Approve the JPA with the City of St. Cloud for Inspection Services on Massage Licenses. BOARD/COMMISSION/COMMITTEE RECOMMENDATION N/A PREVIOUS COUNCIL ACTION N/A REFERENCE AND BACKGROUND The city’s prior contract with the City of St. Cloud for massage license inspections has expired and this agreement is a renewal. The only changes are rate increases for the inspections which are paid for through the license fees collected by the city. BUDGET IMPACT STAFF RECOMMENDED ACTION Approve the JPA with the City of St. Cloud for Inspection Services on Massage Licenses. SUPPORTING DATA/ATTACHMENTS Joint Powers Agreement 1 JOINT POWERS AGREEMENT FOR MASSAGE LICENSE INSPECTION SERVICES BETWEEN THE CITY OF ST. CLOUD AND THE CITY OF ST. JOSEPH THIS AGREEMENT, hereinafter referred to as the “Agreement,” is entered into by and between the City of St. Joseph, hereinafter referred to as “St. Joseph,” and the City of St. Cloud, hereinafter referred to as “St. Cloud,” both parties being governmental and political subdivisions of the State of Minnesota. WITNESSETH: WHEREAS, St. Cloud employs full-time Registered Environmental Health Specialists who conduct environmental health investigations, inspections and related code enforcement, and WHEREAS, St. Cloud is willing to assist St. Joseph by providing massage license inspections, investigations and other related code enforcement and licensing activities. NOW, THEREFORE, St. Joseph and St. Cloud, pursuant to the authority contained in Minnesota Statutes, Section 471.59, commonly known as the Joint Powers Act, in order to accomplish the foregoing purposes, agree as follows: 1. ST. CLOUD TO ASSIST The St. Cloud Health & Inspections Department will conduct massage license inspections, review massage therapist and massage establishment applications, and other related code enforcement and licensing activities for the City of St. Joseph. This assistance would include annual routine inspections of all licensed massage establishments by Registered Environmental Health Specialists, including any required inspection reports and other necessary documentation and record findings. 2. ST. CLOUD TO ASSIST OWN JURISDICTION FIRST It is the express understanding of the parties hereto that the first and foremost priority of the St. Cloud Health and Inspections Department and staff is to provide services to St. Cloud. It is therefore expressly understood that the assistance contracted for by this Agreement will be provided only if the St. Cloud staff can provide such assistance without unduly jeopardizing the protection and needs of St. Cloud. 2 3. NO LIABILITY FOR FAILING TO ASSIST It is expressly understood that neither St. Cloud nor its staff shall be in any way liable for any claim based upon a failure for any reason to provide assistance when requested by St. Joseph. 4. ST. CLOUD EMPLOYEES St. Cloud Health and Inspections and staff providing assistance to St. Joseph pursuant to this Agreement will remain employees of St. Cloud and will be paid by St. Cloud, not St. Joseph. 5. PAYMENT TO ST. CLOUD St. Joseph will reimburse St. Cloud for the assistance of the St. Cloud Health and Inspections Department for an annual fee of $505 per licensed establishment. This amount will cover annual routine inspections and associated documentation. License application reviews, appeal hearings, administrative search warrants, complex investigations, drive-time and other work in excess of routine license inspection duties will be billed in the amount of $87 per hour. Mileage will be reimbursed to St. Cloud at a rate of 67 cents per mile driven, calculated from St. Cloud City Hall to the inspection location, then back to St. Cloud City Hall. Payments will be made quarterly during each year that this Agreement is in effect. Following termination of this Agreement this paragraph will survive and remain fully enforceable until payment is received by St. Cloud. 6. NO LIABILITY TO ASSISTING JURISDICTION FOR DAMAGES It is expressly understood and agreed that St. Joseph will fully indemnify and hold harmless St. Cloud, its officers agents and employees against all claims, losses, damage, liability, suits, judgments, costs and expenses by reason of the action or inaction of St. Cloud employees assigned to assist St. Joseph. This agreement to indemnify and hold harmless does not constitute a waiver by any member of limitations on liability provided by Minnesota Statutes, Chapter 466. 7. DURATION This Agreement will be effective on June 1, 2024. This Agreement will remain in full force for a period of 1-year, or until it is terminated in the manner provided herein. 8. RENEWAL 3 Either party shall have the option to initiate renewal of this agreement. To exercise any such renewal, the party seeking the renewal shall provide the other party with written notice of its intent to renew this agreement and stating the terms upon which such renewal is being offered. The notice shall be given not less than 30-days prior to the end of any renewal term. Any change in the terms or rate applicable to a renewal term shall be proposed by the parties and discussed following the receipt of the notice of renewal, prior to the renewal taking affect. 9. TERMINATION Either party upon seven days written notice to the other party may terminate this Agreement. Such notice will be delivered to the City Administrator of the respective party. IN WITNESS WHEREOF, St. Joseph and St. Cloud have, by action of their governing bodies, caused this Agreement to be executed in accordance with the authority of Minnesota Statutes §§ 471.59 Approved by the City Council CITY OF ST. JOSEPH ________________________ BY ________________________ Its _____________________ Date of Signature ____________ Attest ______________________ Its City Administrator Date of Signature _____________ Approved by the City Council CITY OF ST. CLOUD ________________________ BY _________________________ Its Mayor Date of Signature ______________ Attest _______________________ Its City Clerk Date of Signature ______________ STAFF MEMO Prepared by: City Clerk Meeting Date: 5/6/24 ☒Consent Agenda Item ☐Regular Agenda Item Agenda Item # 4f Reviewed by: City Administrator Item: Applications to Conduct Off-Site Gambling ACTION REQUESTED Motion to approve the consent agenda will automatically approve this item. If pulled, then the following motion is requested. Motion to approve Resolution 2024-026 approving off-site gambling applications as submitted by the St. Joseph Jaycees for 2024. BOARD/COMMISSION/COMMITTEE RECOMMENDATION NA PREVIOUS COUNCIL ACTION NA REFERENCE AND BACKGROUND St. Joseph Jaycees has submitted 11 applications to conduct off- site gambling at Bad Habit Brewing on various dates in 2024. The council is required to review and approve/deny off-site gambling applications as they are received. Once approved the application is sent to the State of Minnesota. The requested dates are included in the accompanying resolution 2024-026. BUDGET IMPACT NA STAFF RECOMMENDED ACTION Approve consent agenda as presented. SUPPORTING DATA/ATTACHMENTS Resolution 2024-026 Off-Site Gambling Applications RESOLUTION 2024-026 APPROVING APPLICATION TO CONDUCT OFF-SITE GAMBLING FOR ST. JOSEPH JAYCEES WHEREAS, Ordinance 602 of the St. Joseph Code of Ordinances outlines the regulations regarding lawful gambling activities; and WHEREAS, the St. Joseph Jaycees has submitted the required applications; and WHEREAS, the St. Joseph Jaycees has historically complied with all the requirements of Ordinance 602 of the St. Joseph Code of Ordinances. NOW THEREFORE BE IT RESOLVED: by the City Council for the City of St. Joseph that the applications submitted by St. Joseph Jaycees to conduct off-site gambling on the following dates and specified locations are hereby approved: • June 16th, 25 College Ave N, Bad Habit Brewing Co • June 23rd, 25 College Ave N, Bad Habit Brewing Co • June 30th, 25 College Ave N, Bad Habit Brewing Co • July 7th, 25 College Ave N, Bad Habit Brewing Co • July 14th, 25 College Ave N, Bad Habit Brewing Co • July 21st, 25 College Ave N, Bad Habit Brewing Co • July 28th, 25 College Ave N, Bad Habit Brewing Co • August 4th, 25 College Ave N, Bad Habit Brewing Co • August 11th, 25 College Ave N, Bad Habit Brewing Co • August 18th, 25 College Ave N, Bad Habit Brewing Co • August 25th, 25 College Ave N, Bad Habit Brewing Co Adopted by the City Council of St. Joseph, this 6th day of May, 2024. CITY OF ST JOSEPH Rick Schultz, Mayor ATTEST David Murphy, City Administrator STAFF MEMO Prepared by: Jeff Taufen, Fire Chief Meeting Date: 5/6/24 ☒ Consent Agenda Item ☐ Regular Agenda Item Agenda Item # 4g Reviewed by: David Murphy, Admin. Item: DNR Grant Application Authorization ACTION REQUESTED Requesting Approval to write a grant. BOARD/COMMISSION/COMMITTEE RECOMMENDATION N/A PREVIOUS COUNCIL ACTION none REFERENCE AND BACKGROUND Approximately 220 to 250 grants from $1,000 to $5,000 are awarded in Minnesota annually. The grants are made on a 50:50 match basis. Rural fire departments must use the grant money for fire protection and comply with existing state and county rural fire protection plans. We apply to the grant every year and have been awarded it about 3-4 times in the last 10 years. We are looking at updating our current 2012 Mule (ATV) and if awarded would use this money towards the purchase of a new AVT. This is a single page grant and there is no need to hire out a grant writer. BUDGET IMPACT New ATV – Approx. $25,000 New Trailer – Approx. $8,000 STAFF RECOMMENDED ACTION Motion to move forward with allowing the fire chief to write for the DNR grant SUPPORTING DATA/ATTACHMENTS None STAFF MEMO Prepared by: Public Works Director Meeting Date: 05/06/2024 ☒ Consent Agenda Item ☐ Regular Agenda Item Agenda Item # 4h Reviewed by: City Administrator Item: Pay correction on new hire ACTION REQUESTED Motion to approve the consent agenda will automatically approve this item. If pulled, then the following motion would be requested. Motion to approve the pay correction for Jacob Reber to grade 5 step 5 with an effective date of 3 April 2024. BOARD/COMMISSION/COMMITTEE RECOMMENDATION None PREVIOUS COUNCIL ACTION Council had approved the hire of Jacob Reber grade 5 step 4 effective 3 April 2024. REFERENCE AND BACKGROUND In Jacobs Reber’s offer letter we had offered him the position at grade 5 step 4 with a starting wage of $32.27 per hour, which is actually grade 5 step 5. I have attached a copy of his signed offer letter and simply need council to approve the rate of grade 5 step 5 for Jacobs Reber’s starting wage. BUDGET IMPACT These are both budgeted positions STAFF RECOMMENDED ACTION Motion to approve the consent agenda will automatically approve this item. If pulled, then the following motion would be requested. Motion to approve the pay correction for Jacob Reber to grade 5 step 5 with an effective date of 3 April 2024. SUPPORTING DATA/ATTACHMENTS Offer letter STAFF MEMO Prepared by: Lori Bartlett Meeting Date: 5-6-24 ☒ Consent Agenda Item ☐ Regular Agenda Item Agenda Item # 4i Reviewed by: Item: Arbitrage Consulting Agreement ACTION REQUESTED Consider approval of arbitrage consulting services engagement contract from Government Capital Securities. BOARD/COMMISSION/COMMITTEE RECOMMENDATION None PREVIOUS COUNCIL ACTION Council approved tax-exempt bond issues with the understanding arbitrage calculations have to be considered. REFERENCE AND BACKGROUND Annually Finance reviews upcoming bond issues and debt management study with Northland Securities. In 2024, Northland Securities recommended the City consult with a firm to determine if any tax-exempt bond issues require arbitrage reimbursement. With interest rate earnings on the rise in the last year, there is a risk of earnings over the bond rates creating “arbitrage”. An expert firm in the field of arbitrage, Government Capital Securities (GCS) has helped many Minnesota cities review their bond issues for potential arbitrage. If necessary, arbitrage calculations are remittance to the federal government on the bonds with arbitrage can be completed by GCS. GCS has provided the City of St. Joseph a bond pricing opinion on our 2022A bond issue. They are familiar with the City’s debt and policies. GCS suggested completing a review of current bond issues that pose the greatest risk of arbitrage. This work will reduce the overall cost to arbitrage calculation on each bond issue. The work is anticipated to take 20-25 hours with our current bond issues. Once completed, additional services would be needed to calculate arbitrage. The cost of these services will be covered by the bond funds. BUDGET IMPACT Estimate $7,500 to be paid from bond funds STAFF RECOMMENDED ACTION Consider approval of the Government Capital Securities contract. SUPPORTING DATA/ATTACHMENTS Government Capital Securities arbitrage consulting agreement ARBITRAGE CONSULTING AGREEMENT This Arbitrage Consulting Agreement (“Agreement”) is made and entered into this 29th day of April 2024, by and between the City of St. Joseph, Minnesota (“Client”) and GOVERNMENT CAPITAL SECURITIES CORPORATION (“GCSC”). WHEREAS, the Client periodically issues tax-advantaged debt securities or related indebtedness (“Obligations”) that must comply with Section 148 of the Internal Revenue Code and related U.S. Treasury Regulations; WHEREAS, the Client is in need of arbitrage consulting in connection with certain Obligations; WHEREAS, GCSC has provided arbitrage consulting services to a variety of governmental entities and maintains expertise in this area; and WHEREAS, the Client and GCSC desire to establish a relationship, which is terminable as provided herein, pursuant to which GCSC will provide arbitrage consulting in accordance with Section 148 of the Internal Revenue Code and related U.S. Treasury Regulations. NOW, THEREFORE, for and in consideration of the mutual covenants and conditions referenced and exchanged herein, the receipt and sufficiency of which is hereby acknowledged, the parties hereto, intending to be legally bound, covenant and agree as follows: 1. GCSC Responsibilities – Scope of Services. GCSC agrees to provide the following services to the Client: a. Provide Client’s staff with arbitrage compliance training in connection with the Obligations. b. Review pertinent closing and post-closing documents for the Obligations. c. Make recommendations regarding future arbitrage monitoring in connection with the Obligations. d. Make recommendations regarding record-keeping practices for arbitrage compliance purposes. e. Prepare an arbitrage compliance plan which documents Client’s approach to monitoring arbitrage compliance. f. Discuss the arbitrage compliance plan with the Client. 2. Client Responsibilities. The Client agrees to provide GCSC with the following information in a timely manner: a. Closing and post-closing documents for the Obligations as requested by GCSC. b. Deposits, expenditures and interest income associated with gross proceeds of the Obligations. c. Expenditures made prior to the issue date to be reimbursed with gross proceeds of the Obligations. d. Fund and account running balances. e. List of investments purchased with gross proceeds of the Obligations. f. Notice of redemption for any partial or full redemption of the Obligations. g. Any other information GCSC may deem necessary to complete the engagement. 3. Compensation. Client shall pay GCSC for the services listed in Section 1 of this Agreement. Fees for said services will be assessed on an hourly basis. The current hourly rate for individuals assigned to this engagement are: Vice President - $300 GCSC will invoice Client for the amount due. It is currently estimated to take between 20 to 25 hours to complete this engagement. Any fees exceeding $6,500 will be discussed with the Client prior to GCSC submitting an invoice to the Client. The invoice is due and payable within 30 days of the invoice date. 4. Liability. a. Liability Insurance. GCSC will provide Client with proof of liability insurance coverage under this Agreement in writing upon request by the Client. b. Limit of Liability. To the fullest extent permitted by applicable law, the total aggregate liability of GCSC under this Agreement for any actions or omissions taken by GCSC in the performance of the Agreement shall be limited to the fees paid by the Client to GCSC under this Agreement. However, such liability shall not apply to the extent penalty and/or interest is imposed on Client by the federal government on any additional rebate amount or yield reduction payment that results from the gross negligence or intentional misconduct of GCSC in rendering services outlined in this Agreement. In such case, it is agreed that GCSC will be liable only for penalty and/or interest imposed by the federal government on any additional rebate amount or yield reduction payment that results from the gross negligence or intentional misconduct of GCSC. The Client, and not GCSC, shall be responsible for the execution and filing of any IRS Form 8038-T or 8038-R. Client and not GCSC, shall be responsible for payment of any rebate amount, yield reduction amount, interest, or penalty due to the U.S. Treasury. Under no circumstances shall any current, former or future owner, director, officer, employee, agent, or representative of GCSC or its parent company, subsidiary, affiliates, successors and assigns have any personal liability arising out of this Agreement and no party shall seek or claim any such personal liability. 5. Duration of the Agreement. a. Duration. This Agreement shall commence upon the date as first set forth above and will remain in effect until December 31, 2024 unless earlier terminated as provided in Paragraphs b, c, and d, of Section 5. b. Termination by Client. Client may terminate this Agreement with or without cause at any time throughout the duration of this Agreement by sending GCSC written notice of termination at least thirty (30) days prior to the effective date of termination so long as Client has no outstanding amount due GCSC. c. Termination by GCSC. GCSC may terminate this Agreement with or without cause at any time throughout the duration of this Agreement by sending Client written notice of termination at least (30) days prior to the effective date of termination. GCSC may terminate this Agreement immediately if Client does not perform their responsibilities as required in Section 2. d. Force Majeure. GCSC’s performance under this Agreement is subject to acts of God, war, government regulation, threats of terrorism or similar acts, governmental travel advisors, natural disasters, strikes, civil disorder, curtailment of transportation facilities, pandemic, or any other cause beyond GCSC’s control making it inadvisable, illegal, impracticable or impossible to perform its duties under this Agreement. GCSC may cancel this Agreement for any one or more reasons upon written notice to Client. 6. General. a. Counterparts/Facsimile/E-mail Signatures. This Agreement may be executed in one or more counterparts each counterpart being deemed to be an original, and such counterparts together constitute one and the same agreement. Signatures to this Agreement may be evidenced by facsimile, e-mail, or electronic copies containing the party's signature hereto. Any facsimile, e-mail, and/or electronic copy shall be sufficient to evidence the signature of such party as if it were the party's original signature. b. Amendments. No amendments or variations of the terms and conditions of this Agreement shall be valid unless in writing and signed by both parties. c. Assignability. Neither party may assign or otherwise transfer by operation of law or otherwise any rights or obligations set forth in this Agreement without the prior written consent of the other party. This Agreement shall be binding upon and inured to the benefit of the parties and their respective administrators, successors and assigns. d. Notice. Unless otherwise set forth herein, all notices given shall be in writing, signed by an authorized signatory, and shall be deemed to have been given when delivered, transmitted by first class, registered or certified mail with postage prepaid and addressed as follows: If to Client: If to GCSC: City of St. Joseph Government Capital Securities Corporation 75 Callaway St E PO Box 197 St. Joseph, MN 56374 Bayport, MN 55003 Attention: Finance Director Attention: Gail Robertson, Vice President 7. Client Information. All information, files, records, memoranda, and other data of the Client including, but not limited to, reports, studies, photographs, negatives, or any and all other documents prepared by GCSC or its outside consultants in the performance of GCSC’s duties under this Agreement (“Client Information”) shall be the exclusive property of the Client and shall be remitted to the Client by GCSC upon completion, expiration, or termination of this Agreement. Any such Client Information shall be treated and maintained by GCSC and its outside consultants in accordance with applicable federal, state, and local laws. Further, GCSC will have access to Client Information to the extent necessary to perform GCSC’s duties under this Agreement. GCSC agrees to maintain all Client Information in the same manner as the Client is required under Minnesota Statutes Chapter 13 or other applicable law. 8. Information Disclosure and Confidentiality. GCSC may disclose Client Information to third parties in connection with the performance by it of its duties hereunder. Client acknowledges that in connection with the performance by GCSC of its duties hereunder, Client may become aware of internal files, records, memoranda and other data, including without limitation computer programs of GCSC (“GCSC Information”). Client acknowledges that all GCSC Information, except reports prepared by GCSC for the Client, is confidential and proprietary to GCSC, and agrees that Client will not directly or indirectly; disclose the same or any part thereof to any person or entity except with the express written consent of GCSC. 9. Law and Venue. This Agreement shall be governed and construed in accordance with the law of the State of Minnesota without regard to conflict of laws or principles and any action taken hereunder shall take place in the County of Hennepin, State of Minnesota. 10. Arbitration. Any dispute arising out of this Agreement shall be arbitrated by and in accordance with the rules of the American Arbitration Association, as so in effect at the time of the filing of the dispute. All arbitrations shall take place in and under the laws set forth in Section 9 herein. 11. Severability. All terms and covenants contained in this Agreement are severable. In the event any provision of this Agreement shall be held invalid by any court of competent jurisdiction, this Agreement shall be interpreted as if such invalid terms or covenants were not contained herein and such holding shall not invalidate or render unenforceable any other provision hereof. 12. Entire Agreement. This Agreement is the entire agreement between the Client and GCSC and it supersedes all prior written or oral agreements pertaining to the subject matter set forth. There are no other covenants, promises, undertakings or understandings outside of this Agreement other than those specifically set forth. Any term, condition, prior course of dealing, course of performance, usage of trade, understanding, or agreement purporting to modify vary, supplement, or explain any provision of this Agreement is null and void and of no effect unless in writing and signed by representatives of both parties authorized to amend this Agreement. 13. Authority to Execute. The individuals signing this Agreement on behalf of GCSC and the Client each represents and warrants that he or she is duly authorized to execute and deliver this Agreement on such party’s behalf. This Agreement is entered into on the date first written above. GOVERNMENT CAPITAL SECURITIES CORPORATION By:_________________________________ By: Title:_________________________________ Title: Vice President STAFF MEMO Prepared by: Lori Bartlett, Finance Director Meeting Date: 5-6-24 ☒ Consent Agenda Item ☐ Regular Agenda Item Agenda Item # 4j Reviewed by: Item: Call for Public Hearing – Delinquent Accounts to be Assessed ACTION REQUESTED Call for public hearing on May 20, 2024, shortly after 6:00pm to consider certification of delinquent account balance. BOARD/COMMISSION/COMMITTEE RECOMMENDATION None PREVIOUS COUNCIL ACTION None REFERENCE AND BACKGROUND One – time times per year city staff reviews delinquent account balances for consideration to assess to property taxes. There is a 14-day public hearing notification requirement. The hearing should be held before November 15th so collections can be added for the following year by Stearns County. The only account to consider was requested by the home owner. The account is past due and eligible for assessing the balance The action for the meeting is to call for the public hearing on May 20, 2024 where the proposed assessments may be adopted. BUDGET IMPACT Up to $369.75 STAFF RECOMMENDED ACTION Consider setting the Public Hearing date for May 20, 2024. SUPPORTING DATA/ATTACHMENTS None STAFF MEMO Prepared by: Clerk/Finance/Fire Meeting Date: 5/6/24 ☒ Consent Agenda Item ☐ Regular Agenda Item Agenda Item # 4k Reviewed by: Item: Fire Department Policy Approval ACTION REQUESTED Approval of the consent agenda will approve this item. If pulled from the consent agenda, then the following action is requested. Approve the presented policies relating to records retention, procurement, and equipment management and inventory for the St. Joseph Fire Department BOARD/COMMISSION/COMMITTEE RECOMMENDATION N/A PREVIOUS COUNCIL ACTION N/A REFERENCE AND BACKGROUND Chief Taufen was notified that the City was selected for an upcoming desk review for the FEMA grant. Examples of various policies were provided that staff had to tweak to fit the City of ST. Joseph. These policies are required for completion of the desk review. Attached are policies relating to records retention, procurement, and equipment management and inventory. BUDGET IMPACT N/A STAFF RECOMMENDED ACTION Approve the presented policies relating to records retention, procurement, and equipment management and inventory for the St. Joseph Fire Department SUPPORTING DATA/ATTACHMENTS Records Retention Policy Procurement Policy Equipment Management Policy Federal Grant Record Retention Policy Effective: May 6, 2024 It shall be the policy of the St. Joseph Fire Department to adhere to the requirements of 2CFR-200.333, as it applies to the retention of all records related to any and all federal grants awarded to this agency. Record Retention Requirements: All grant, financial, and administrative records related to any federal grant shall be maintained for a period of three (3) years following the date of the final submission of the Federal Financial Report (FFR) (SF-425). If applicable, time and effort, personnel and payroll records for all individuals reimbursed under the award must be maintained as well. Property and equipment records shall me maintained for a period of three (3) years following the final disposition, replacement, or transfer of the property and equipment. After the 3-year period stated above, the records will be reviewed and determine if we no longer need to preserve. Adopted this 6th day of May, 2024 by the St. Joseph City Council. CITY OF ST JOSEPH Rick Schultz, Mayor ATTEST David Murphy, City Administrator 1 City of St. Joseph Fire Department Federal Grant Procurement Policy Effective: May 6, 2024 Any Purchases that utilize federal funds shall be made in compliance with the Code of Federal Regulations (CFR) Title 2 Parts 200.318 to 200.326 and this purchasing policy. General Procurement Standards (2 CFR Part 200.318) a) Procurements by St. Joseph Fire Department when utilizing federal funds shall conform to applicable Federal law and the standards identified in this policy. b) The St. Joseph Fire Department shall maintain oversight to ensure that contractors perform in accordance with the terms, conditions, and specifications of their contracts or purchases. c) No employee, officer, or agent of the St. Joseph Fire Department may participate in the selection, award, or administration of a contract supported by a Federal award if he or she has a real or apparent conflict of interest. Such a conflict of interest would arise when the employee, officer, or agent, any member of his or her immediate family, his or her partner, or an organization which employs or is about to employ any of the parties indicated herein, has a financial or other interest in or a tangible personal benefit from a firm considered for a contract. The officers, employees, and agents of St. Joseph Fire Department may neither solicit nor accept gratuities, favors, or anything of monetary value from contractors or parties to subcontracts. Any Employee determined to be in violation of this section, could be subject to discipline action up to and including termination. Any Elected Official determined to be in violation of this section, could be subject to prosecution and or recall of their position. d) St. Joseph Fire Department will consider consolidating or breaking out procurements to obtain a more economical purchase. Where appropriate, an analysis will be made of lease versus purchase alternatives, and any other appropriate analysis to determine the most economical approach. e) St. Joseph Fire Department, to the extent possible, shall utilize state and local intergovernmental agreements or inter-entity agreements where appropriate for procurement or use of common or shared goods and services. f) St. Joseph Fire Department, to the extent possible, shall utilize federal excess and surplus property in lieu of purchasing new equipment and prope1ty whenever such use is feasible and reduces project costs. g) St. Joseph Fire Department, to the extent possible, shall utilize use value engineering clauses in contracts for construction projects of sufficient size to offer reasonable oppo1tunities for cost reductions. Value engineering is a systematic and creative analysis of each contract item or task to ensure that its essential function is provided at the overall lower cost. h) St. Joseph Fire Department, to the extent possible, shall award contracts only to responsible contractors possessing the ability to perform successfully under the terms and conditions of a proposed procurement. Consideration will be given to such matters as contractor integrity, compliance with public policy, record of past performance, and financial and technical resources. See also §200.213 Suspension and debarment. i) St. Joseph Fire Department, to the extent possible, shall maintain records sufficient to detail the history of procurement. These records will include but are not necessarily limited to the following: rationale for the method of procurement, selection of contract type, contractor selection or rejection, and the basis for the contract price. 2 j) St. Joseph Fire Department, to the extent possible, shall utilize a time and materials type contract only after a determination that no other contract is suitable and if the contract includes a ceiling price that the contractor exceeds at its own risk. Time and materials type contracts are defined as a contract whose cost to St. Joseph Fire Department is the sum of: 1) The actual cost of materials; and 2) Direct labor hours charged at fixed hourly rates that reflect wages, general and administrative expenses, and profit. k) St. Joseph Fire Department, to the extent possible, shall, in accordance with good administrative practice and sound business judgment, for the settlement of all contractual and administrative issues arising out of procurements. These issues include, but are not limited to, source evaluation, protests, disputes, and claims. Competition (2 CFR Part 200.319) a) All procurement transactions must be conducted in a manner providing full and open competition consistent with the standards of this section. To ensure objective contractor performance and eliminate unfair competitive advantage, contractors that develop or draft specifications, requirements, statements of work, or invitations for bids or requests for proposals must be excluded from competing for such procurements. Some of the situations considered to be restrictive of competition include but are not limited to: 1) Placing unreasonable requirements on firms for them to qualify to do business; 2) Requiring unnecessary experience and excessive bonding; 3) Noncompetitive pricing practices between firms or between affiliated companies; 4) Noncompetitive contracts to consultants that are on retainer contracts; 5) Organizational conflicts of interest; 6) Specifying only a "brand name" product instead of allowing "an equal" product to be offered and describing the performance or other relevant requirements of the procurement; and 7) Any arbitrary action in the procurement process. b) St. Joseph Fire Department shall conduct procurements in a manner that prohibits the use of statutorily or administratively imposed state, local, or tribal geographical preferences in the evaluation of bids or proposals, except in those cases where applicable Federal statutes expressly mandate or encourage geographic preference. Nothing in this section preempts state licensing laws. When contracting for architectural and engineering (A/E) services, geographic location may be a selection criterion provided its application leaves an appropriate number of qualified firms, given the nature and size of the project, to compete for the contract. c) St. Joseph Fire Department ensures that all solicitations: 1) Incorporate a clear and accurate description of the technical requirements for the material, product, or service to be procured. Such description must not, in competitive procurements, contain features which unduly restrict competition. The description may include a statement of the qualitative nature of the material, product or service to be procured and, when necessary, must 3 set forth those minimum essential characteristics and standards to which it must conform if it is to satisfy its intended use. Detailed product specifications should be avoided if at all possible. When it is impractical or uneconomical to make a clear and accurate description of the technical requirements, a "brand name or equivalent" description may be used as a means to define the performance or other salient requirements of procurement. The specific features of the named brand which must be met by offers must be clearly stated; and 2) Identify all requirements which the offerors must fulfill and all other factors to be used in evaluating bids or proposals. d) St. Joseph Fire Department shall ensure that all prequalified lists of persons, firms, or products which are used in acquiring goods and services are current and include enough qualified sources to ensure maximum open and free competition. Also, St. Joseph Fire Department shall not preclude potential bidders from qualifying during the solicitation period. Methods of procurement to be followed (2 CFR Part 200.320) St. Joseph Fire Department use one of the following methods of procurement when purchasing items with federal funds. a) Procurement by micro-purchases - Procurement by micro-purchase is the acquisition of supplies or services, the aggregate dollar amount of which does not exceed the micro-purchase threshold of $10,000. To the extent practicable, St. Joseph Fire Department shall distribute micro-purchases equitably among qualified suppliers. Micro-purchases may be awarded without soliciting competitive quotations. b) Procurement by small purchase procedures - Small purchase procedures are those relatively simple and informal procurement methods for securing services, supplies, or other property that do not cost more than the Simplified Acquisition Threshold ($175,000). If small purchase procedures are used, price or rate quotations must be obtained from an adequate number of qualified sources. c) Procurement by sealed bids (formal advertising). Bids are publicly solicited, and a firm fixed price contract (lump sum or unit price) is awarded to the responsible bidder whose bid, conforming with all the material terms and conditions of the invitation for bids, is the lowest in price. The sealed bid method is the preferred method for procuring construction, if the conditions in paragraph (c)(l) of this section apply. 1) For sealed bidding to be feasible, the following conditions should be present: i. A complete, adequate, and realistic specification or purchase description is available; ii. Two or more responsible bidders are willing and able to compete effectively for the business; and iii. The procurement lends itself to a firm fixed price contract and the selection of the successful bidder can be made principally based on price. 2) If sealed bids are used, the following requirements apply: i. Bids must be solicited from an adequate number of known suppliers, providing them sufficient response time prior to the date set for opening the bids, for local, and tribal governments, the invitation for bids must be publicly advertised; 4 ii. The invitation for bids, which will include any specifications and pertinent attachments, must define the items or services for the bidder to properly respond; iii. All bids will be opened at the time and place prescribed in the invitation for bids, and for local and tribal governments, the bids must be opened publicly; iv. A firm fixed price contract award will be made in writing to the lowest responsive and responsible bidder. Where specified in bidding documents, factors such as discounts, transportation cost, and life cycle costs must be considered in determining which bid is lowest. Payment discounts will only be used to determine the low bid when prior experience indicates that such discounts are usually taken advantage of; and v. Any or all bids may be rejected if there is a sound documented reason. d) Procurement by competitive proposals. The technique of competitive proposals is normally conducted with more than one source submitting an offer, and either a fixed price or cost-reimbursement type contract is awarded. It is generally used when conditions are not appropriate for the use of sealed bids. If this method is used, the following requirements apply: 1) Requests for proposals must be publicized and identify all evaluation factors and their relative importance. Any response to publicized requests for proposals must be considered to the maximum extent practical; 2) Proposals must be solicited from an adequate number of qualified sources; 3) The non-Federal entity must have a written method for conducting technical evaluations of the proposals received and for selecting recipients; 4) Contracts must be awarded to the responsible film whose proposal is most advantageous to the program, with price and other factors considered; and 5) The non-Federal entity may use competitive proposal procedures for qualifications-based procurement of architectural/engineering (A/E) professional services whereby competitors' qualifications are evaluated, and the most qualified competitor is selected, subject to negotiation of fair and reasonable compensation. The method, where price is not used as a selection factor, can only be used in procurement of A/E professional services. It cannot be used to purchase other types of services though A/E firms are a potential source to perform the proposed effort. e) Procurement by noncompetitive proposals. Procurement by noncompetitive proposals is procurement through solicitation of a proposal from only one source and may be used only when one or more of the following circumstances apply: 1) The item is available only from a single source; 2) The public exigency or emergency for the requirement will not permit a delay resulting from competitive solicitation; 3) The Federal awarding agency or pass-through entity expressly authorizes noncompetitive proposals in response to a written request from the non-Federal entity; or 5 4) After solicitation of several sources, competition is determined inadequate. Contracting with small and minority businesses, women's business enterprises, and labor surplus area firms (2 CFR Part 200.321) a) St. Joseph Fire Department shall take all necessary affirmative steps to assure that minority businesses, women's business enterprises, and labor surplus area firms are used when possible. b) Affirmative steps must include: 1) Placing qualified small and minority businesses and women's business enterprises on solicitation lists; 2) Assuring that small and minority businesses, and women's business enterprises are solicited whenever they are potential sources; 3) Dividing total requirements, when economically feasible, into smaller tasks or quantities to permit maximum participation by small and minority businesses, and women's business enterprises; 4) Establishing delivery schedules, where the requirement permits, which encourage participation by small and minority businesses, and women's business enterprises; 5) Using the services and assistance, as appropriate, of such organizations as the Small Business Administration and the Minority Business Development Agency of the Department of Commerce; and 6) Requiring the prime contractor, if subcontracts are to be let, to take the affirmative steps listed in paragraphs (1) through (5) of this section. Contract cost and price (2 CFR Part 323) a) St. Joseph Fire Department shall perform a cost or price analysis in connection with every procurement action in excess of the Simplified Acquisition Threshold ($175,000) including contract modifications. The method and degree of analysis is dependent on the facts surrounding the particular procurement situation, but as a starting point, St. Joseph Fire Department shall make independent estimates before receiving bids or proposals. b) St. Joseph Fire Department shall negotiate profit as a separate element of the price for each contract in which there is no price competition and, in all cases, where cost analysis is performed. To establish a fair and reasonable profit, consideration must be given to the complexity of the work to be performed, the risk borne by the contractor, the contractor's investment, the amount of subcontracting, the quality of its record of past performance, and industry profit rates in the surrounding geographical area for similar work. c) Costs or prices based on estimated costs for contracts under the Federal award are allowable only to the extent that costs incurred, or cost estimates included in negotiated prices would be allowable for St. Joseph Fire Department. 6 d) The cost plus a percentage of cost and percentage of construction cost methods of contracting must not be used. Federal awarding agency or pass-through entity review (2 CFR Part 200.324) a) St. Joseph Fire Department shall make available, upon request of the Federal awarding agency or pass- through entity, technical specifications on proposed procurements where the Federal awarding agency or pass-through entity believes such review is needed to ensure that the item or service specified is the one being proposed for acquisition. This review generally will take place prior to the time the specification is incorporated into a solicitation document. b) St. Joseph Fire Department shall make available upon request, for the Federal awarding agency or pass- through entity pre-procurement review, procurement documents, such as requests for proposals or invitations for bids, or independent cost estimates, when: 1) The non-Federal entity's procurement procedures or operation fails to comply with the procurement standards in this part; 2) The procurement is expected to exceed the Simplified Acquisition Threshold and is to be awarded without competition or only one bid or offer is received in response to a solicitation; 3) The procurement, which is expected to exceed the Simplified Acquisition Threshold, specifies a "brand name" product; 4) The proposed contract is more than the Simplified Acquisition Threshold and is to be awarded to other than the apparent low bidder under a sealed bid procurement; or 5) A proposed contract modification changes the scope of a contract or increases the contract amount by more than the Simplified Acquisition Threshold. c) St. Joseph Fire Department is exempt from the pre-procurement review in paragraph (b) of this section if the Federal awarding agency or pass-through entity determines that its procurement systems comply with the standards of this part. 1) St. Joseph Fire Department may request that its procurement system be reviewed by the Federal awarding agency or pass-through entity to determine whether its system meets these standards for its system to be certified. Generally, these reviews must occur where there is continuous high- dollar funding, and third-party contracts are awarded on a regular basis; 2) St. Joseph Fire Department may self-certify its procurement system. Such self-certification must not limit the Federal awarding agency's right to survey the system. Under a self-certification procedure, the Federal awarding agency may rely on written assurances from St. Joseph Fire Department that it is complying with these standards. St. Joseph Fire Department must cite specific policies, procedures, regulations, or standards as complying with these requirements and have its system available for review. Bonding requirements (2 CFR Part 200.325) For construction or facility improvement contracts or subcontracts exceeding the Simplified Acquisition Threshold, the Federal awarding agency or pass-through entity may accept the bonding policy and requirements 7 of St. Joseph Fire Department provided that the Federal awarding agency or pass-through entity has determined that the Federal interest is adequately protected. If such a determination has not been made, the minimum requirements must be as follows: a) A bid guarantee from each bidder equivalent to five percent of the bid price. The "bid guarantee" must consist of a firm commitment such as a bid bond, certified check, or other negotiable instrument accompanying a bid as assurance that the bidder will, upon acceptance of the bid, execute such contractual documents as may be required within the time specified. b) A performance bond on the part of the contractor for 100 percent of the contract price. A "performance bond" is one executed in connection with a contract to secure fulfillment of all the contractor's obligations under such contract. c) A payment bond on the part of the contractor for 100 percent of the contract price. A "payment bond" is one executed in connection with a contract to assure payment as required by law of all persons supplying labor and material in the execution of the work provided for in the contract. Contract provisions 2 CFR Part 200.326) All St. Joseph Fire Department contracts utilizing federal funds must contain the applicable provisions described in Appendix II to Part 200-Contract Provisions for non-Federal Entity Contracts Under Federal Awards. 8 Appendix II to Part 200-Contract Provisions for St. Joseph Fire Department Contracts Under Federal Awards In addition to other provisions required by the Federal agency or non-Federal entity, all contracts made by St. Joseph Fire Department under the Federal award must contain provisions covering the following, as applicable. A. Contracts for more than the simplified acquisition threshold currently set at $175,000, which is the inflation adjusted amount determined by the Civilian Agency Acquisition Council and the Defense Acquisition Regulations Council (Councils) as authorized by 41 U.S.C. 1908, must address administrative, contractual, or legal remedies in instances where contractors violate or breach contract terms, and provide for such sanctions and penalties as appropriate. B. All contracts in excess of $10,000 must address termination for cause and for convenience by St. Joseph Fire Department including how it will be affected and the basis for settlement. C. Equal Employment Opportunity. Except as otherwise provided under 41 CFR Part 60, all contracts that meet the definition of "federally assisted construction contract" in 41 CFR Part 60-1.3 must include the equal opportunity clause provided under 41 CFR 60-1.4(b), in accordance with Executive Order 11246, "Equal Employment Opportunity" (30 FR 12319, 12935, 3 CFR Part, 1964-1965 Comp., p. 339), as amended by Executive Order 11375, "Amending Executive Order 11246 Relating to Equal Employment Opportunity" and implementing regulations at 41 CFR pa1t 60, "Office of Federal Contract Compliance Programs, Equal Employment Opportunity Department of Labor." D. Davis-Bacon Act, as amended (40 U.S.C. 3141-3148). When required by Federal program legislation, all prime construction contracts in excess of $2,000 awarded by St. Joseph Fire Department must include a provision for compliance with the Davis-Bacon Act (40 U.S.C. 3141-3144, and 3146-3148) as supplemented by Department of Labor regulations (29 CFR Part 5, "Labor Standards Provisions Applicable to Contracts Covering Federally Financed and Assisted Construction"). In accordance with the statute, contractors must be required to pay wages to laborers and mechanics at a rate not less than the prevailing wages specified in a wage determination made by the Secretary of Labor. In addition, contractors must be required to pay wages not less than once a week. The non-Federal entity must place a copy of the current prevailing wage determination issued by the Department of Labor in each solicitation. The decision to award a contract or subcontract must be conditioned upon the acceptance of the wage determination. St. Joseph Fire Department shall report all suspected or reported violations to the Federal awarding agency. The contracts must also include a provision for compliance with the Copeland "Anti- Kickback" Act (40 U.S.C. 3145), as supplemented by Department of Labor regulations (29 CFR Part 3, "Contractors and Subcontractors on Public Building or Public Work Financed in Whole or in Part by Loans or Grants from the United States"). The Act provides that each contractor or subrecipient must be prohibited from inducing, by any means, any person employed in the construction, completion, or repair of public work, to give up any part of the compensation to which he or she is otherwise entitled. The non- Federal entity must report all suspected or reported violations to the Federal awarding agency. E. Contract Work Hours and Safety Standards Act (40 U.S.C. 3701-3708). Where applicable, all contracts awarded by the non-Federal entity in excess of $100,000 that involve the employment of mechanics or laborers must include a provision for compliance with 40 U.S.C. 3702 and 3704, as supplemented by Department of Labor regulations (29 CFR Part 5). Under 40 U.S.C. 3702 of the Act, each contractor must be required to compute the wages of every mechanic and laborer on the basis of a standard work week of 40 hours. Work in excess of the standard work week is permissible provided that the worker is compensated at a rate of not less than one and a halftime the basic rate of pay for all hours worked in excess of 40 hours in the work week. The requirements of 40 U.S.C. 3704 are applicable to construction work and provide that no laborer or mechanic must be required to work in surroundings or under working 9 conditions which are unsanitary, hazardous or dangerous. These requirements do not apply to the purchases of supplies or materials or articles ordinarily available on the open market, or contracts for transportation or transmission of intelligence. F. Rights to Inventions Made Under a Contract or Agreement. If the Federal award meets the definition of “funding agreement" under 37 CFR §401.2 (a) and the recipient or subrecipient wishes to enter into a contract with a small business film or nonprofit organization regarding the substitution of parties, assignment or performance of experimental, developmental, or research work under that "funding agreement," the recipient or subrecipient must comply with the requirements of37 CFR Part 401, "Rights to Inventions Made by Nonprofit Organizations and Small Business Firms Under Government Grants, Contracts and Cooperative Agreements," and any implementing regulations issued by the awarding agency. G. Clean Air Act (42 U.S.C. 7401-7671q.) and the Federal Water Pollution Control Act (33 U.S.C. 1251- 1387), as amended-Contracts and subgrants of amounts in excess of $150,000 must contain a provision that requires the non--Federal award to agree to comply with all applicable standards, orders or regulations issued pursuant to the Clean Air Act (42 U.S.C. 7401-7671q.) and the Federal Water Pollution Control Act as amended (33 U.S.C. 1251-1387). Violations must be reported to the Federal awarding agency and the Regional Office of the Environmental Protection Agency (EPA). H. Debarment and Suspension (Executive Orders 12549 and 126 89)- A contract award (see 2 CFR 180.220) must not be made to parties listed on the government wide exclusions in the System for Award Management (SAM), in accordance with the 0MB guidelines at 2 CFR 180 that implement Executive Orders 12549 (3 CFR part 1986 Comp., p. 189) and 12689 (3 CFR part 1989 Comp., p. 235), "Debarment and Suspension." SAM Exclusions contains the names of parties debarred, suspended, or otherwise excluded by agencies, as well as parties declared ineligible under statutory or regulatory authority other than Executive Order 12549. I. Byrd Anti-Lobbying Amendment (31 U.S.C. 1352)-Contractors that apply or bid for an award exceeding $100,000 must file the required certification. Each tier certifies to the tier above that it will not and has not used Federal appropriated funds to pay any person or organization for influencing or attempting to influence an officer or employee of any agency, a member of Congress, officer or employee of Congress, or an employee of a member of Congress in connection with obtaining any Federal contract, grant or any other award covered by 31 U.S.C. 1352. Each tier must also disclose any lobbying with non-Federal funds that takes place in connection with obtaining any Federal award. Such disclosures are forwarded from each tier up to the non-Federal award. J. See §200.322 Procurement of recovered materials if applicable. (§200.322 Procurement of recovered materials: A Non-Federal entity that is a state agency or agency of a political subdivision of a state and its contractors must comply with section 6002 of the Solid Waste Disposal Act, as amended by the Resource Conservation and Recovery Act. The requirements of Section 6002 include procuring only items designated in guidelines of the Environmental Protection Agency (EPA) at 40 CFR part 247 that contain the highest percentage of recovered materials practicable, consistent with maintaining a satisfactory level of competition, where the purchase price of the item exceeds $10,000 or the value of the quantity acquired during the preceding fiscal year exceeded $10,000; procuring solid waste management services in a manner that maximizes energy and resource recovery; and establishing an affirmative procurement program for procurement of recovered materials identified in the EPA guidelines) 10 Adopted on this 6th day of May, 2024 by the St. Joseph City Council. CITY OF ST JOSEPH Rick Schultz, Mayor ATTEST David Murphy, City Administrator 1 City of St. Joseph Fire Department Equipment Management Policy Effective: May 6, 2024 It shall be the policy of the St. Joseph Fire Department to adhere to the requirements of 2 CFR 200.313(d)(1), as it applies to the Equipment Management requirements related to any and all federal grants awarded to this agency. Equipment Management Requirements The following mechanism must be utilized to oversee the Federal Funded equipment purchased by a Federal Award. • A description of the property • Serial Number/ID number • Source of funding for the property • Who holds the title • Acquisition Date • Cost of property • Percentage of federal participation in the project costs for the federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data, including the date of disposal and sale price of the property (if applicable). The St. Joseph Fire Department will track all Federal Grant related equipment by the following: • A general description of the property (turnout gear, scba) • All serial numbers or other forms of identification numbers will be tracked to each piece of property • The source of the funding will be placed on the inventory sheet of all equipment purchased • Documentation will be provided on any title holding equipment • All acquisition dates will be monitored and labeled with the serial numbers or other forms of identification numbers. • The costs of each piece of equipment must be documented in accordance with all serial numbers/identification numbers • A general description must be documented on how the equipment was purchased, the location of the equipment, use and condition of the property, any date of disposal, and any data related to the sale of any piece of equipment purchased by Federal Award • A physical inventory must be taken and results recorded on the equipment annually • All equipment (if applicable) will be distributed to one individual (turnout gear). It will be the individual’s responsibility to advise the Fire Chief of any loss, 2 damage, or theft of the property. In the event of any loss, damage, or theft the Fire Chief will Investigate and document all results found • All equipment must be thoroughly inspected periodically and report any issues to the Fire Chief. • In the event of any disposal of grant related equipment; serial numbers, disposal date, item description, and reasoning must be documented and removed from the inventory list. Equipment Maintenance Because the St. Joseph Fire Department's fire suppression apparatus and equipment is used on an unpredictable and intermittent basis, there is a need for an inspection process to ensure proper maintenance and operational readiness. The St. Joseph Fire Department’s truck inspection committee is responsible for ensuring apparatus inspections are completed and on schedule. This process will include, but not be limited to, the inspection and operational check of the following: 1. Apparatus • Fuel, water, and fluid levels • Lights, gauges, and emergency warning equipment • Start and run each vehicle • Brakes, steering, and transmission • Pumps and pump controls 2. Equipment • SCBA: masks, air lines, air pressure, PASS device, backpack and harness • Gas fueled equipment (saws, generators, extrication tools) • Hand lights 3. Damage/ defective equipment • When during inspection or normal use, any piece of equipment, tool, personal protective equipment or apparatus that is found to be damaged, defective or other inoperative should be reported to the Fire Chief. • The Fire Chief and truck inspection committee will then determine appropriate action to return equipment or apparatus to service. • Personnel who first reported damaged, defective, inoperative equipment or Fire Chief will note such in the Equipment Repair Log with their name, date and brief description of the defect. • Item determined to be out of service will be “red tagged” out of service and removed from the apparatus. When an item is taken out of service, notification of such will be given to all personnel. • Item determined to useable with a defect will be “green tag” useable and defect on the green tag. When an item is useable and defective, notification of such will be given to all personnel. • Appropriate Officer will then review Equipment Repair Log and then determine whether the equipment can be repaired in house or sent out for additional repair. 3 If outside service is needed the City of St. Joseph Purchasing Policy should be consulted to determine possible bid out work. • Appropriate Officer will update Equipment Purchasing Book of the equipment or apparatus status with: (a) Date it was reported (b) What was the issue found and by who (c) Was it taken out of service and by who (d) When and who repaired it (e) When and who put it back in service (f) All status information should include some of this information if not all of this information depending on each individual situation. • When out of service item has been repaired, replaced, retired/destroyed, or loss. Equipment Purchasing Book will be updated and notice will be given to personnel of such. Maintenance will be performed on a weekly basis according to the firefighter's group assignment. Maintenance will be recorded on the appropriate form provided at the station. This form will be reviewed and kept on file by the Fire Chief. All firefighters and officers are required to participate in maintenance group assignments. It is the responsibility of each fire fighter to participate in all scheduled regular maintenance sessions. Firefighters and Officers will be paid for maintenance at the regular hourly rate minimum of one hour pay/maintenance session. Adopted this 6th day of May, 2024 by the St. Joseph City Council. CITY OF ST JOSEPH Rick Schultz, Mayor ATTEST David Murphy, City Administrator STAFF MEMO Prepared by: Admin/Engineer Meeting Date: 5/6/2024 ☒ Consent Agenda Item ☐ Regular Agenda Item Agenda Item # 4l Reviewed by: Item: 2024 Pickleball Court Improvements-Approve Plans and Specifications, Authorize Advertisement for Bids ACTION REQUESTED Approve plans and specifications and authorize SEH to submit advertisements for bids for the 2024 Pickleball Court Improvements Project. BOARD/COMMISSION/COMMITTEE RECOMMENDATION PREVIOUS COUNCIL ACTION Approve SEH Supplemental Letter Agreement authorizing preparation of plans and specifications. REFERENCE AND BACKGROUND This action authorizes SEH to advertise and seek bids for the 2024 Pickleball Court Improvements. BUDGET IMPACT STAFF RECOMMENDED ACTION Approve plans and specifications and authorize SEH to advertise for bids. SUPPORTING DATA/ATTACHMENTS Advertisement for Bids Advertisement for Bids STJOE 178607 00 11 13 - 1 DOCUMENT 00 11 13 ADVERTISEMENT FOR BIDS 2024 Pickleball Court Improvements St. Joseph, Minnesota SEH No. STJOE 178607 Notice is hereby given that Online Bids will be received by the City Administrator until 11:00 a.m., Tuesday, June 4, 2024, via QuestCDN for the furnishing of all labor and material for the construction of 2024 Pickleball Court Improvements. The bid opening will be conducted via Microsoft Teams, at which time they will be publicly opened and read aloud: 2024 Pickleball Court Improvements Bid Opening Tuesday, June 4, 2024 at 11:00 a.m. (CDT) Please join my meeting from your computer, tablet or smartphone: https://teams.microsoft.com/l/meetup- join/19%3ameeting_YWExZDkyM2MtZGU4ZS00ZmRlLTg4MjUtYjE5ZTRmNzJmYzcy%40thread.v2/0?context=% 7b%22Tid%22%3a%22642f4553-88f1-43dc-9a29-90842cd19d4c%22%2c%22Oid%22%3a%2248472820-a408- 4d5c-b262-d033b1c6fa20%22%7d Meeting ID: 286 606 151 576 Passcode: hH96Nh Dial in by phone +1 872-242-7640,,246126404# United States, Chicago Phone conference ID: 246 126 404# Any person monitoring the meeting remotely may be responsible for any documented costs. Message and data rates may apply. Major quantities for the Work include: 600 CU YD Common Excavation 300 CU YD Aggregate Base 160 TONS Bituminous Surfacing 370 LIN FT 1-Foot Concrete Ribbon 420 SQ FT Concrete Walk 500 LIN FT Chain Linke Fence 850 SQ YD Court Surfacing 400 SQ YD Turf Establishment The Bidding Documents may be seen at the Issuing Office of SEH located at 2351 Connecticut Avenue, Suite 300, Sartell, MN 56377-2485, 320.229.4300, Bryce Johnson, 320.229.4381, bnjohnson@sehinc.com. The Bidding Documents may be viewed for no cost at http://www.sehinc.com by selecting the Project Bid Information link at the bottom of the page and the View Plans option from the menu at the top of the selected project page. Digital image copies of the Bidding Documents are available at http://www.sehinc.com for a fee of $30. These documents may be downloaded by selecting this project from the “Project Bid Information” link and by entering eBidDocTM Number 9112311 on the SEARCH PROJECTS page. For assistance and free membership registration, contact QuestCDN at 952.233.1632 or info@questcdn.com. Advertisement for Bids 00 11 13 - 2 STJOE 178607 For this project, bids will ONLY be received electronically. Contractors submitting an electronic bid will be charged an additional $42 at the time of bid submission via the online electronic bid service QuestCDN.com. To access the electronic Bid Worksheet, download the project document and click the online bidding button at the top of the advertisement. Prospective bidders must be on the plan holders list through QuestCDN for bids to be accepted. Bids shall be completed according to the Bidding Requirements prepared by SEH dated May 6, 2024. In addition to digital plans, paper copies of the Bidding Documents may be obtained from Docunet Corp. located at 2435 Xenium Lane North, Plymouth, MN 55441 (763.475.9600) for a fee of $100. Bid security in the amount of 5 percent of the Bid must accompany each Bid in accordance with the Instructions to Bidders. A Contractor responding to these Bidding Documents must submit to the City/Owner a signed statement under oath by an owner or officer verifying compliance with each of the minimum criteria in Minnesota Statutes, section 16C.285, subdivision 3. The Owner reserves the right to reject any and all Bids, to waive irregularities and informalities therein and to award the Contract in the best interests of the Owner. David Murphy Administrator St. Joseph, MN Publish: Quest CDN: May 9, 2024 St. Cloud Times: May 9 and 16, 2024 STAFF MEMO Prepared by: City Clerk Meeting Date: 5/6/24 ☐Consent Agenda Item ☒Regular Agenda Item Agenda Item # 5 Reviewed by: Item: Public Hearing – La Playette Special Event Request ACTION REQUESTED Motion to approve the special event permit submitted by the La Playette for an event to be held on August 23, 2024. BOARD/COMMISSION/COMMITTEE RECOMMENDATION NA PREVIOUS COUNCIL ACTION Council has approved the event in previous years with suggestions coming from the Public Works and Police Department. REFERENCE AND BACKGROUND La Playette submitted a special event application for La Jam which will occur on August 23, 2024. The request includes having the music play until 11:00PM. Applicant is also requesting that a portion of the alley to the north of the property be closed for the event from 11AM to 6AM on the 24th. City ordinance requires a public hearing for an event having music past 9:30PM. Notices were sent to all property owners within 350 feet of the event site. The submittal was reviewed by the Police Chief and Public Works Director with the following recommendations: 2 off-duty officers for the event. BUDGET IMPACT NA STAFF RECOMMENDED ACTION Motion to approve the special event submitted by the La Playette for an event to be held on August 23, 2024, with the following condition: 2 off-duty officers must attend the event. SUPPORTING DATA/ATTACHMENTS Special Event Application & Supporting Documentation STAFF MEMO Prepared by: Lori Bartlett Meeting Date: 5-6-24 ☐ Consent Agenda Item ☒ Regular Agenda Item Agenda Item # 6 Reviewed by: Item: Public Hearing-Tax Abatement, Hansen Land Holdings ii, LLC ACTION REQUESTED Conduct the public hearing to allow for comments. Consider adoption of Resolution 2024-025 approving property tax abatements, granting of business subsidy, and authorizing execution of a tax abatement agreement. BOARD/COMMISSION/COMMITTEE RECOMMENDATION St. Joseph EDA unanimously recommended approval at their April 16th meeting. PREVIOUS COUNCIL ACTION Council called for the public hearing to be held on May 6th. REFERENCE AND BACKGROUND City staff, Northland Securities, Taft have been meeting with Adam Hansen, owner of Hansen Land Holdings, LLC to discuss plans for them to build a new manufacturing facility in Northland Business Park. Hansen currently operates his business in St. Joseph off Pearl Dr. The business is expanding and a new facility is needed. Hansen is looking to construct an 82,500 square foot facility + 6,000 square feet of office space, retain their current employees (61 total positions), and add more full-time positions (about a dozen in the next several year) to keep up with their demand. Construction would be planned to start in late June. Adam Hansen is requesting tax subsidies to meet proforma needs to construct in St. Joseph. The request meets business subsidy statutes. The request requires a public hearing. The business subsidy ask is for up to nine years, not more than $396,438. The tax abatement would come from 100% of the city portion of property taxes beginning with taxes payable in 2026. The agreement would be a pay-as you go arrangement. Hansen Holdings, LLC agrees to continue operations within the city for the term of the tax abatement agreement (2035) to create and support economic development in the city. BUDGET IMPACT Up to $396,438 tax abatement starting in 2026 with a maximum duration of nine years STAFF RECOMMENDED ACTION Consider adoption of Resolution 2024-025 approving the tax abatement, business subsidy and execution of the tax abatement agreement. SUPPORTING DATA/ATTACHMENTS Resolution 2024-025 Tax Abatement Agreement 132403307v1 EXTRACT OF MINUTES OF A MEETING OF THE CITY COUNCIL OF THE CITY OF ST. JOSEPH, MINNESOTA HELD: MAY 6, 2024 Pursuant to due call and notice thereof, a meeting of the City Council of the City of St. Joseph, Stearns County, Minnesota, was duly called and held at the St. Joseph Government Center in said City on Monday, the 6th day of May, 2024, at 6:00 p.m. The following members were present: and the following were absent: Member ____________________ introduced the following resolution and moved its adoption: RESOLUTION NO. 2024-025 RESOLUTION APPROVING PROPERTY TAX ABATEMENTS, GRANTING OF BUSINESS SUBSIDY, AND AUTHORIZING EXECUTION OF A TAX ABATEMENT AGREEMENT BE IT RESOLVED by the City Council (the "Council") of the City of St. Joseph, Minnesota (the "City"), as follows: 1. Recitals. (a) The City proposes to approve tax abatements in connection with the construction of an approximately 82,500 square foot cabinet manufacturing facility located in the City (the "Project") by Hansen Land Holdings, LLC (the "Developer"). The City proposes to use the abatement for the Project as provided for in Minnesota Statutes, Sections 469.1812 through 469.1815 (the "Abatement Law"), from the property taxes to be levied by the City on the following property identified by the following legal description: Tract A: Lots 4, 5, 6, and 7, Block 1, NORTHLAND BUSINESS CENTER, according to the recorded plat thereof, Stearns County, Minnesota (the “Tax Abatement Property”). (b) It is proposed that the City will enter into a Tax Abatement Agreement (the "Tax Abatement Agreement") with the Developer, which provides for the use of tax abatements to finance the Project. 132403307v1 2 (c) The City proposes to approve tax abatements on a portion of the City's share of property taxes on the Tax Abatement Property in an amount not to exceed $396,438 for a term of up to nine (9) years to finance a portion of the costs of the Project. (d) The proposed assistance by the City to the Developer as contemplated by the Tax Abatement Agreement is considered a business subsidy (the "Business Subsidy") pursuant to Minnesota Statutes, Sections 116J.993 to 116J.995. (e) On this date, the Council held a public hearing on the question of the Abatement, (as defined below) and the granting of a business subsidy to the Developer, and said hearing was preceded by at least 10 days but not more than 30 days prior published notice thereof at which all interested persons appeared and were heard. (f) The Abatement is authorized under the Abatement Law. 2. Findings for the Abatement. The City Council hereby makes the following findings: (a) The tax abatement is the City's share of real estate taxes which relate to the Project and the Tax Abatement Property (the "Abatement"). (b) The Council expects the benefits to the City of the Abatement to be at least equal or exceed the costs to the City thereof. (c) Granting the Abatement is in the public interest because it will (i) increase or preserve tax base; and (ii) create or support economic development in the City. (d) The Tax Abatement Property is not located in a tax increment financing district. (e) In any year, the total amount of property taxes abated by the City by this and other resolutions and agreements, does not exceed the greater of ten percent (10%) of the net tax capacity of the City for the taxes payable year to which the abatement applies or $200,000, whichever is greater. The City may grant other abatements permitted under the Abatement Law after the date of this resolution, provided that to the extent the total abatements in any year exceed the Abatement Limit the allocation of the Abatement limit to such other abatements is subordinate to the Abatement granted by this resolution. 3. Terms of Abatement. The Abatement is hereby approved. The terms of the Abatement are as follows: (a) The Abatement shall be for up to nine (9) years commencing with taxes payable 2026 and shall not exceed $396,438. The City reserves the right to modify the commencement date but the abatement period shall not exceed nine (9) years. (b) The City will provide the Abatement as provided in this resolution. 132403307v1 3 (c) In accordance with Section 469.1815 of the Act, the City will add to its levy in each year during the term of the Abatement the total estimated amount of current year Abatement granted under this resolution. (d) The Abatement shall be subject to all the terms and limitations of the Abatement Law. 4. Business Subsidy; Public Purpose. The City hereby determines that the public purpose of the Business Subsidy is to increase the tax base in the City and to help create and support economic development in the City. In accordance with the provisions of the Business Subsidies Act, the City hereby determines that the creation and retention of jobs is not a goal of the Business Subsidy and consequently hereby sets the wage and job goals at zero. 5. Approval of Tax Abatement Agreement and Business Subsidy. (a) The Council hereby approves a Tax Abatement Agreement providing for payment of the Abatement in substantially the form submitted and the granting of the Business Subsidy as described in the Tax Abatement Agreement, and the Mayor and City Administrator are hereby authorized and directed to execute the Tax Abatement Agreement on behalf of the City. (b) The approval hereby given to the Tax Abatement Agreement includes approval of such additional details therein as may be necessary and appropriate and such modifications thereof, deletions therefrom and additions thereto as may be necessary and appropriate and approved by the City officials authorized by this resolution to execute the Tax Abatement Agreement. The execution of the Tax Abatement Agreement by the appropriate officer or officers of the City shall be conclusive evidence of the approval of the Tax Abatement Agreement in accordance with the terms hereof The motion for the adoption of the foregoing resolution was made by member __________ and duly seconded by member ____________________ and, upon a vote being taken thereon after full discussion thereof, the following voted in favor thereof: and the following voted against the same: Whereupon said resolution was declared duly passed and adopted. 132403307v1 4 STATE OF MINNESOTA ) ) ss. COUNTY OF STEARNS ) I, the undersigned, being the duly qualified and acting City Clerk of the City of St. Joseph, Minnesota (the "City"), DO HEREBY CERTIFY that attached hereto is a compared, true and correct copy of a resolution approving the abatement of property taxes and the granting of business subsidy by the City on behalf of Hansen Land Holdings, LLC, and authorizing the execution of a tax abatement agreement thereof by the City, duly adopted by the City Council of the City on May 6, 2024, at a regular meeting thereof duly called and held, as on file and of record in my office, which resolution has not been amended, modified or rescinded since the date thereof, and is in full force and effect as of the date hereof, and that the attached Extract of Minutes as to the adoption of such resolution is a true and accurate account of the proceedings taken in passage thereof. WITNESS My hand this ____ day of _______, 2024. _______________________________________ City Clerk 132403563v1 TAX ABATEMENT AGREEMENT BY AND BETWEEN CITY OF ST. JOSEPH, MINNESOTA AND HANSEN LAND HOLDINGS ii, LLC This instrument drafted by: Taft Stettinius & Hollister LLP (MLI) 2200 IDS Center 80 South 8th Street Minneapolis, MN 55402 (612) 977-8400 132403563v1 TABLE OF CONTENTS Page -i- ARTICLE I DEFINITIONS ................................................................................................. 2 Section 1.1 Definitions............................................................................................ 2 ARTICLE II REPRESENTATIONS AND WARRANTIES................................................ 4 Section 2.1 Representations and Warranties of the City ......................................... 4 Section 2.2 Representations and Warranties of the Developer ............................... 4 ARTICLE III UNDERTAKINGS BY DEVELOPER AND CITY ....................................... 6 Section 3.1 Construction of Project; Reimbursement of Construction Costs; Legal and Administrative Expenses..................................................... 6 Section 3.2 Limitations on Undertaking of the City ............................................... 6 Section 3.3 Business Subsidies Act ........................................................................ 6 Section 3.4 Damage and Destruction ...................................................................... 8 Section 3.5 Change in Use of Project ..................................................................... 8 Section 3.6 Transfer the Project and Assignment of Agreement ............................ 8 Section 3.7 Real Property Taxes ............................................................................. 8 Section 3.8 Duration of Abatement Program .......................................................... 9 ARTICLE IV EVENTS OF DEFAULT ............................................................................... 10 Section 4.1 Events of Default Defined ................................................................. 10 Section 4.2 Remedies on Default .......................................................................... 10 Section 4.3 No Remedy Exclusive........................................................................ 10 Section 4.4 No Implied Waiver ............................................................................ 11 Section 4.5 Agreement to Pay Attorney’s Fees and Expenses ............................. 11 Section 4.6 Release and Indemnification Covenants ............................................ 11 ARTICLE V ADDITIONAL PROVISIONS ...................................................................... 13 Section 5.1 Conflicts of Interest............................................................................ 13 Section 5.2 Titles of Articles and Sections ........................................................... 13 Section 5.3 Notices and Demands ........................................................................ 13 Section 5.4 Counterparts ....................................................................................... 14 Section 5.5 Law Governing .................................................................................. 14 Section 5.6 Term ................................................................................................... 14 Section 5.7 Provisions Surviving Rescission or Expiration.................................. 14 EXHIBIT A DESCRIPTION OF TAX ABATEMENT PROPERTY ............................. A-1 132403563v1 TAX ABATEMENT AGREEMENT THIS AGREEMENT, made as of the 6th day of May, 2024 ("Effective Date"), by and between the City of St. Joseph, Minnesota (the “City”), a municipal corporation and political subdivision organized and existing under the laws of the State of Minnesota, and Hansen Land Holdings ii, LLC, a Minnesota limited liability company (the “Developer”). WITNESSETH: WHEREAS, pursuant to Minnesota Statutes, Sections 469.1812 through 469.1815, as amended, the City has established a Tax Abatement Program; and WHEREAS, the City believes that the development and construction of a certain Project (as defined herein), and fulfillment of this Agreement are vital and are in the best interests of the City, will result in preservation and enhancement of the tax base, the creation and support of economic development in the City and are in accordance with the public purpose and provisions of the applicable state and local laws and requirements under which the Project has been undertaken and is being assisted; and WHEREAS, the requirements of the Business Subsidy Law, Minnesota Statutes, Section 116J.993 through 116J.995, apply to this Agreement; and WHEREAS, the City Council has approved this Agreement as a subsidy agreement under the Business Subsidy Law; and NOW, THEREFORE, in consideration of the premises and the mutual obligations of the parties hereto, each of them does hereby covenant and agree with the other as follows: 132403563v1 2 ARTICLE I DEFINITIONS Section 1.1 Definitions. All capitalized terms used and not otherwise defined herein shall have the following meanings unless a different meaning clearly appears from the context: Agreement means this Tax Abatement Agreement, as the same may be from time to time modified, amended or supplemented; Benefit Date means the earlier of the date the Project is completed or the date on which the Project is placed in service; City means the City of St. Joseph, Minnesota; County means Stearns County, Minnesota; Developer means Hansen Land Holdings ii, LLC, a Minnesota limited liability company, its successors and assigns; Event of Default means any of the events described in Section 4.1; Legal and Administrative Expenses means the fees or expenses incurred by the City in connection with the preparation of this Agreement and the establishment of the Tax Abatement Program; Project means the construction of an approximately 82,500 square foot cabinet manufacturing facility on the Tax Abatement Property; State means the State of Minnesota; Tax Abatement Act means Minnesota Statutes, Sections 469.1812 through 469.1815, as amended; Tax Abatement Program means the actions by the City pursuant to Minnesota Statutes, Section 469.1812 through 469.1815, as amended, and undertaken in support of the Project; Tax Abatement Property means the real property described on Exhibit A attached hereto; Tax Abatements means 100% of the City's annual share of real estate taxes derived from the Tax Abatement Property, abated in accordance with the Tax Abatement Program and this Agreement in an aggregate amount not to exceed $396,438; Term means the period in which this Agreement shall remain in effect, commencing on the Effective Date and continuing until the earlier of (i) the date the Developer receives the Reimbursement Amount (as defined herein), or (ii) February 1, 2035 unless earlier terminated or rescinded in accordance with the terms contained herein; 132403563v1 3 Unavoidable Delays means delays, outside the control of the party claiming its occurrence, including strikes, other labor troubles, material shortages transportation shortages or interruptions, unusually severe or prolonged bad weather, acts of God, acts of war or terrorism, pandemics, fire or other casualty to the Project, litigation commenced by third parties which, by injunction or other similar judicial action or by the exercise of reasonable discretion, directly results in delays, or acts of any federal, state or local governmental unit (other than the City) which directly result in delays, or discovery of unknown hazardous materials or other concealed site conditions or delays of contractors due to such discovery. 132403563v1 4 ARTICLE II REPRESENTATIONS AND WARRANTIES Section 2.1 Representations and Warranties of the City. The City makes the following representations and warranties: (1) The City is a municipal corporation and political subdivision of the State and has the power to enter into this Agreement and carry out its obligations hereunder. (2) The Tax Abatement Program was created, adopted and approved in accordance with the terms of the Tax Abatement Act. (3) To finance the costs of the Project to be undertaken by the Developer, the City proposes, subject to the further provisions of this Agreement, to apply the Tax Abatements to reimburse the Developer for a portion of the costs of the Project as further provided in this Agreement. (4) The City has made the findings required by the Tax Abatement Act for the Tax Abatement Program. Section 2.2 Representations and Warranties of the Developer. The Developer makes the following representations and warranties: (1) The Developer has the power to enter into this Agreement and to perform its obligations hereunder and is not in violation of its organizational documents, operating agreement or any local, state or federal laws. (2) The Developer is a Minnesota limited liability company, duly organized, existing and in good standing under the laws of the State and has the power to enter into this Agreement and to perform its obligations hereunder and carry out the covenants contained herein. (3) The Developer will cause the Project to be constructed in accordance with the terms of this Agreement and all applicable City, County, state and federal laws and regulations (including, but not limited to, environmental, zoning, energy conservation, building code and public health laws and regulations), including the Americans With Disabilities Act. (4) The Developer will obtain or cause to be obtained, in a timely manner, all required permits, licenses and approvals, and will use commercially reasonable efforts to meet, in a timely manner, all requirements of all applicable local, state, and federal laws and regulations which must be obtained or met before the Project may be lawfully constructed, all subject to Unavoidable Delays. (5) The construction of the Project would not be undertaken by the Developer, and in the opinion of the Developer would not be economically feasible within the reasonably foreseeable future, without the assistance and benefit to the Developer provided for in this Agreement. 132403563v1 5 (6) Neither the execution and delivery of this Agreement, the consummation of the transactions contemplated hereby, nor the fulfillment of or compliance with the terms and conditions of this Agreement is prevented, limited by or conflicts with or results in a breach of, the terms, conditions or provisions of any contractual restriction, evidence of indebtedness, agreement or instrument of whatever nature to which the Developer is now a party or by which it is bound, or constitutes a default under any of the foregoing. (7) The Developer will cooperate fully with the City with respect to any litigation commenced by third parties with respect to the Project, except for litigation in which the City and the Developer are adverse parties. (8) The Developer will cooperate fully with the City in resolution of any traffic, parking, trash removal or public safety problems which may arise in connection with the construction and operation of the Project. (9) The Developer shall commence construction of the Project no later than August 31, 2024, and barring Unavoidable Delays, the Project shall be substantially completed by December 31, 2025. (10) The Developer acknowledges that Tax Abatements are estimates only and the Developer acknowledges that it shall place no reliance on the amount of projected Tax Abatements and the sufficiency of such Tax Abatements to reimburse the Developer for the Reimbursement Amount as provided in Article III. 132403563v1 6 ARTICLE III UNDERTAKINGS BY DEVELOPER AND CITY Section 3.1 Construction of Project; Legal and Administrative Expenses. (1) The costs of the construction of the Project shall be paid by the Developer. (2) Upon submission to the City of paid invoices and receipts for Project costs actually incurred and paid by the Developer, the City shall reimburse the Developer for such costs in an amount not to exceed $396,438 (the “Reimbursement Amount”) pursuant to the Abatement Program as provided in Section 3.8. Nothing in this Agreement shall be deemed to impair or limit any of the City's rights or responsibilities under its zoning laws or construction permit processes. The Developer further agrees that it will construct, or cause to be constructed, the Project in accordance with the approved construction plans and at all times prior to the termination of this Agreement will operate and maintain, preserve and keep the Project or cause the Project to be maintained, preserved and kept with the appurtenances and every part and parcel thereof, in good repair and condition, ordinary wear and tear and casualty damage excepted. (3) The Developer shall pay the Legal and Administrative Expenses incurred by the City. Section 3.2 Limitations on Undertaking of the City. Notwithstanding the provisions of Section 3.1, the City shall have no obligation to the Developer, under this Agreement, to reimburse the Developer for a portion of the construction of the Project, if the City, at the time or times such payment is to be made, is entitled under Section 4.2 to exercise any of the remedies set forth therein as a result of an Event of Default which has not been cured. Notwithstanding any other provisions of the Agreement, the City shall have no obligation to the Developer under this Agreement to reimburse the Developer for the construction of the Project in an amount greater than the Reimbursement Amount. Section 3.3 Business Subsidies Act. (1) In order to satisfy the provisions of Minnesota Statutes, Sections 116J.993 to 116J.995 (the “Business Subsidies Act”), the Developer acknowledges and agrees that the amount of the “Business Subsidy” granted to the Developer under this Agreement is the amount of the Tax Abatements paid to the Developer, which shall not exceed $396,438, and that the Business Subsidy is needed because the Project is not sufficiently feasible for the Developer to undertake without the Business Subsidy. The public purpose of the Business Subsidy is to increase or preserve the tax base in the City and to create and support economic development in the City (the “Goals”). After holding a public hearing on May 6, 2024, the City determined that creation and retention of jobs is not a goal of the subsidy for the Project and consequently has set the wage and job goals hereunder at zero. (2) If none of the Goals are met by the Developer, the Developer agrees to repay all of the Business Subsidy to the City, plus interest (“Interest”) set at the implicit price deflator defined in Minnesota Statutes, Section 275.70, Subdivision 2, accruing from and after the date the Benefit Date, compounded semiannually. 132403563v1 7 (3) The Developer agrees to (i) report the Developer’s progress on achieving the Goals to the City until the later of the date the Goals are met or two years from the Benefit Date, or, if the Goals are not met, until the date the Business Subsidy is repaid, (ii) include in the report the information required in Section 116J.994, Subdivision 7 of the Business Subsidies Act on forms developed by the Minnesota Department of Employment and Economic Development, and (iii) send completed reports to the City. The Developer agrees to file these reports no later than March 1 of each year for the previous year, commencing March 1, 2026, and within 30 days after the deadline for meeting the Goals. The City agrees that if it does not receive the reports, it will mail the Developer a warning within one week of the required filing date. If within 14 days of the post marked date of the warning the reports are not made, the Developer agrees to pay to the City a penalty of $100 for each subsequent day until the report is filed up to a maximum of $1,000. (4) The Developer agrees to continue operations within the City a period of five (5) years after the Benefit Date. (5) There are no other state or local government agencies providing financial assistance for the Project other than the City. (6) There is no parent corporation of the Developer. (7) The Developer certifies that it does not appear on the Minnesota Department of Employment and Economic Development’s list of developers that have failed to meet the terms of a business subsidy agreement. Section 3.4 Damage and Destruction. In the event of damage or destruction of the Project that (i) Developer chooses not to repair or rebuild, or (ii) Developer does not commence and diligently pursue such repair or rebuilding within one hundred eighty (180) days after such event of damage or destruction, City may, with written notice to Developer, terminate this Agreement and discontinue such Tax Abatement Program for the Project as of the date of such event of damage or destruction. Section 3.5 Change in Use of Project. The City’s obligations pursuant to this Agreement shall be subject to the continued operation of the Project by the Developer, or any successors or assigns of Developer approved by City as set forth in Section 3.6 below, during the Term. Section 3.6 Transfer the Project and Assignment of Agreement. (1) The Developer represents and agrees that during the term of this Agreement, the Developer shall not transfer the Project (except for a lease of the Project to an entity related to or affiliated with the Developer) or any part thereof or any interest therein, without the prior written approval of the City, which approval shall not be unreasonably withheld, conditioned or delayed. The City shall be entitled to require as conditions to any such approval that: (a) Any proposed transferee shall have the qualifications and financial responsibility, in the reasonable judgment of the City, necessary and adequate to fulfill the obligations undertaken in this Agreement by the Developer. 132403563v1 8 (b) Any proposed transferee, by instrument in writing reasonably satisfactory to the City shall, for itself and its successors and assigns, and expressly for the benefit of the City, have expressly assumed all of the obligations of the Developer under this Agreement and agreed to be subject to all the conditions and restrictions to which the Developer is subject (c) There shall be submitted to the City for review and prior written approval all instruments and other legal documents involved in effecting the transfer of any interest in this Agreement or the Project. In the event of a transfer of the Project to a transferee approved by City, the Developer shall be released from liability hereunder after the date of such transfer, and City shall look solely to such transferee to fulfill the obligation of Developer hereunder, Section 3.7 Real Property Taxes. The Developer shall, so long as this Agreement remains in effect, pay all real property taxes with respect to all parts of the Tax Abatement Property owned by it which are payable pursuant to any statutory or contractual duty that shall accrue until title to the property is vested in another person. The Developer agrees that for tax assessments so long as this Agreement remains in effect: (a) It will not challenge the market value of the Tax Abatement Property with any governmental entities. (b) It will not seek administrative review or judicial review of the applicability of any tax statute relating to the ad valorem property taxation of real property contained on the Tax Abatement Property determined by any tax official to be applicable to the Project or the Developer or raise the inapplicability of any such tax statute as a defense in any proceedings with respect to the Tax Abatement Property, including delinquent tax proceedings; provided, however, “tax statute” does not include any local ordinance or resolution levying a tax; (c) It will not seek administrative review or judicial review of the constitutionality of any tax statute relating to the taxation of real property contained on the Tax Abatement Property determined by any tax official to be applicable to the Project or the Developer or raise the unconstitutionality of any such tax statute as a defense in any proceedings, including delinquent tax proceedings with respect to the Tax Abatement Property; provided, however, “tax statute” does not include any local ordinance or resolution levying a tax; (d) It will not seek any tax deferral or abatement, either presently or prospectively authorized under Minnesota Statutes, Section 469.181, or any other State or federal law, of the ad valorem property taxation of the Tax Abatement Property so long as this Agreement remains in effect. 132403563v1 9 Section 3.8 Duration of Abatement Program. The Tax Abatement Program shall exist for a period of up to nine (9) years beginning with real estate taxes payable in 2026 through 2035. On or before February 1 and August 1 of each year commencing August 1, 2026 until the earlier of the date that the Developer shall have received the Reimbursement Amount or February 1, 2035 the City shall pay the Developer the amount of the Tax Abatements received by the City in the previous six month period. The City may terminate the Tax Abatement Program and this Agreement at an earlier date if an Event of Default occurs and is not cured as provided herein and the City rescinds or cancels this Agreement as more fully set forth in Article IV herein. 132403563v1 10 ARTICLE IV EVENTS OF DEFAULT Section 4.1 Events of Default Defined. The following shall be “Events of Default” under this Agreement and the term “Event of Default” shall mean whenever it is used in this Agreement any one or more of the following events: (1) Failure by the Developer to timely pay any ad valorem real property taxes, special assessments, utility charges or other governmental impositions with respect to the Project. (2) Failure by the Developer to cause the construction of the Project to be substantially completed pursuant to the terms, conditions and limitations of this Agreement. (3) Failure by the Developer to observe or perform any other covenant, condition, obligation or agreement on its part to be observed or performed under this Agreement. (4) The holder of any mortgage on the Tax Abatement Property or any improvements thereon, or any portion thereof, commences foreclosure proceedings as a result of any default under the applicable mortgage documents. (5) If the Developer shall: (a) file any petition in bankruptcy or for any reorganization, arrangement, composition, readjustment, liquidation, dissolution, or similar relief under the United States Bankruptcy Act of 1978, as amended or under any similar federal or state law; or (b) make an assignment for the benefit of its creditors; or (c) admit in writing its inability to pay its debts generally as they become due; or (d) be adjudicated as bankrupt or insolvent; or if a petition or answer proposing the adjudication of the Developer as bankrupt or its reorganization under any present or future federal bankruptcy act or any similar federal or state law shall be filed in any court and such petition or answer shall not be discharged or denied within sixty (60) days after the filing thereof; or a receiver, trustee or liquidator of the Developer, or of the Project, or part thereof, shall be appointed in any proceeding brought against the Developer, and shall not be discharged within sixty (60) days after such appointment, or if the Developer, shall consent to or acquiesce in such appointment. Section 4.2 Remedies on Default. Whenever any Event of Default referred to in Section 4.1 occurs and is continuing, the City, as specified below, may take any one or more of the following actions after the giving of thirty (30) days’ written notice to the Developer citing with specificity the item or items of default and notifying the Developer that it has thirty (30) days within which to cure said Event of Default (or commence and diligently pursue such Event of Default if Developer is unable to cure within such thirty (30) day period and Developer is diligently 132403563v1 11 pursuing and can demonstrate progress toward curing the default). If the Developer is unable to cure or commence a cure for the Event of Default within said thirty (30) days as required above: (a) The City may suspend its performance under this Agreement until it receives assurances from the Developer, deemed adequate by the City, that the Developer will cure its default and continue its performance under this Agreement. (b) The City may cancel and rescind this Agreement. (c) The City may take any action, including legal or administrative action, in law or equity, which may appear necessary or desirable to enforce performance and observance of any obligation, agreement, or covenant of the Developer under this Agreement. Section 4.3 No Remedy Exclusive. No remedy herein conferred upon or reserved to the City is intended to be exclusive of any other available remedy or remedies, but each and every such remedy shall be cumulative and shall be in addition to every other remedy given under this Agreement or now or hereafter existing at law or in equity or by statute. No delay or omission to exercise any right or power accruing upon any default shall impair any such right or power or shall be construed to be a waiver thereof but any such right and power may be exercised from time to time and as often as may be deemed expedient. Section 4.4 No Implied Waiver. In the event any agreement contained in this Agreement should be breached by any party and thereafter waived by the other party, such waiver shall be limited to the particular breach so waived and shall not be deemed to waive any other concurrent, previous or subsequent breach hereunder. Section 4.5 Agreement to Pay Attorney’s Fees and Expenses. Whenever any Event of Default occurs and the City shall employ attorneys or incur other expenses for the collection of payments due or to become due or for the enforcement or performance or observance of any obligation or agreement on the part of the Developer herein contained, the Developer agrees that they shall, on demand herefore, pay to the City the reasonable fees of such attorneys and such other expenses so incurred by the City. Section 4.6 Release and Indemnification Covenants. (1) The Developer releases from and covenants and agrees that the City and its governing body members, officers, agents, servants and employees shall not be liable for and agrees to indemnify and hold harmless the City and its governing body members, officers, agents, servants, and employees against any loss or damage to property or any injury to or death of any person occurring at or about or resulting from any defect in the Project. (2) Except for any willful misrepresentation or any willful or wanton misconduct of the following named parties, the Developer agrees to protect and defend the City and its governing body members, officers, agents, servants and employees, now or forever, and further agrees to hold the aforesaid harmless from any claim, demand, action or other proceeding whatsoever by any person or entity whatsoever arising or purportedly arising from a breach of the obligations of the Developer under this Agreement, or the transactions contemplated hereby or the acquisition, 132403563v1 12 construction, ownership, maintenance and operation of the Project. (3) The City and its governing body members, officers, agents, servants and employees shall not be liable for any damages or injury to the persons or property of the Developer or its officers, agents, servants or employees or any other person who may be about the Project due to any act of negligence of any person. (4) All covenants, stipulations, promises, agreements and obligations of the City contained herein shall be deemed to be the covenants, stipulations, promises, agreements and obligations of the City and not of any governing body member, officer, agent, servant or employee of the City in the individual capacity thereof. 132403563v1 13 ARTICLE V ADDITIONAL PROVISIONS Section 5.1 Conflicts of Interest. No member of the governing body or other official of the City shall participate in any decision relating to this Agreement which affects his or her personal interests or the interests of any corporation, partnership or association in which he or she is directly or indirectly interested. No member, official or employee of the City shall be personally liable to the City in the event of any default or breach by the Developer or successor or on any obligations under the terms of this Agreement. Section 5.2 Titles of Articles and Sections. Any titles of the several parts, articles and sections of this Agreement are inserted for convenience of reference only and shall be disregarded in construing or interpreting any of its provisions. Section 5.3 Notices and Demands. Except as otherwise expressly provided in this Agreement, a notice, demand or other communication under this Agreement by any party to any other shall be sufficiently given or delivered if it is dispatched by registered or certified mail, postage prepaid, return receipt requested, or delivered personally, and (1) in the case of the Developer is addressed to or delivered personally to: Hansen Land Holdings ii, LLC 30701 Pearl Drive, Suite #3 St. Joseph, MN 56374 With a copy to: Rinke Noonan 1015 West St. Germain Street, Suite 300 P.O. Box 1497 St. Cloud, MN 56302 Attention: Scott G. Hamak (2) in the case of the City is addressed to or delivered personally to the City at: City of St. Joseph St. Joseph Government Center 75 Callaway St. E. St. Joseph, MN 56374 (3) with a copy addressed to or delivered personally to: Mary L. Ippel Taft Stettinius & Hollister LLP 2200 IDS Center 80 South 8th Street Minneapolis, Minnesota 55402 132403563v1 14 or at such other address with respect to any such party as that party may, from time to time, designate in writing and forward to the other, as provided in this Section. Section 5.4 Counterparts. This Agreement may be executed in any number of counterparts, each of which shall constitute one and the same instrument. Section 5.5 Law Governing. This Agreement will be governed and construed in accordance with the laws of the State of Minnesota. Section 5.6 Term. This Agreement shall remain in effect commencing on the Effective Date until the earlier of (i) the date the Developer receives the Reimbursement Amount, or (ii) February 1, 2035, unless earlier terminated or rescinded in accordance with its terms. Section 5.7 Provisions Surviving Rescission or Expiration. Sections 4.5 and 4.6 shall survive any rescission, termination or expiration of this Agreement with respect to or arising out of any event, occurrence or circumstance existing prior to the date thereof. 132403563v1 S-1 IN WITNESS WHEREOF, the City has caused this Agreement to be duly executed in its name and on its behalf, and the Developer has caused this Agreement to be duly executed in its name and on its behalf, on or as of the date first above written. HANSEN LAND HOLDINGS ii, LLC, a Minnesota limited liability company By: Adam Hansen, President This is a signature page to the Tax Abatement Agreement by and between the City of St. Joseph, Minnesota and Hansen Land Holdings ii, LLC. 132403563v1 S-2 CITY OF ST. JOSEPH, MINNESOTA By Its Mayor By Its City Administrator This is a signature page to the Tax Abatement Agreement by and between the City of St. Joseph, Minnesota and Hansen Land Holdings ii, LLC. 132403563v1 A-1 EXHIBIT A DESCRIPTION OF TAX ABATEMENT PROPERTY The real property situated in the City of St. Joseph, County of Stearns, State of Minnesota, with the following legal description: Tract A: Lots 4, 5, 6, and 7, Block 1, NORTHLAND BUSINESS CENTER, according to the recorded plat thereof, Stearns County, Minnesota. STAFF MEMO Prepared by: City Clerk Meeting Date: 5/6/24 ☐ Consent Agenda Item ☒ Regular Agenda Item Agenda Item # 7 Reviewed by: Item: Street Closure Request – White Peony Boutique ACTION REQUESTED Consider the street closure request submitted by White Peony Boutique for an event on June 1, 2024. BOARD/COMMISSION/COMMITTEE RECOMMENDATION N/A PREVIOUS COUNCIL ACTION N/A REFERENCE AND BACKGROUND Staff received a street closure request from Lindsay Salzbrun, owner of White Peony Boutique. The closure would be for a portion of 1st Ave NW from Ash Street south to right before the entrance of the St. Joseph Meat Market. The closure is requested from 6AM – 6PM on June 1st as an extension of their White Peony’s Summer Market that occurs at their shed location near Luxemburg. BUDGET IMPACT N/A STAFF RECOMMENDED ACTION Consider the street closure request submitted by White Peony Boutique for an event on June 1, 2024. SUPPORTING DATA/ATTACHMENTS Street Closure Application & Closure Location Street Closure Application APPLICANT INFORMATION: Event Coordinator Phone Email Mailing Address Sponsoring Organization CLOSURE INFORMATION: Road # Date of Closing: Time of Closing: Beginning Ending **A map of the proposed street closure area and detour route shall accompany the application** Permission is hereby granted to close the above referenced roadway, subject to the following provisions: 1.That a specific time and date is set for the road closure and such use shall not exceed hours. 2.That a definite detour route is established. 3.That adequate police coverage of the closure and direction of the detour traffic is available. Coordination with the St. Joseph Police Department is required. 4. That the detour route is marked with standard traffic control signs so as to leave no doubt as to the intended route. Failure to provide adequate signing may results in the reopening of the roadway to traffic. 5. That the event coordinator be responsible for all costs involved, including providing police coverage for traffic control. 6.That the event coordinator be responsible for all necessary street cleaning to the City’s satisfaction. 7. Additional staff comments and requirements For Office Use Only – Police Department Review The following items are concerns that have been adequately addressed. □Parking □Traffic □Noise □Debris □Other Based on the application and comments above, I recommend the City Council: □Approve the road closure based on the comments above. □Deny the application based on the following: Chief of Police Date For Office Use Only – Public Works Review Public Works Director Comments Based on the application and comments above, I recommend the City Council: □Approve the road closure based on the comments above. □Deny the application based on the following: Public Works Director Date For Office Use Only – City Council Review This application came before the St. Joseph City Council on . Based upon the information and evidence presented, the Council hereby resolves: □The application is granted subject to the terms and conditions set forth in the application. □The application is denied based upon the following findings: Administrator Mayor STAFF MEMO Prepared by: City Clerk Meeting Date: 5/6/24 ☐Consent Agenda Item ☒Regular Agenda Item Agenda Item # 8 Reviewed by: City Administrator Item: St. Joseph Fire Relief Update and Request for Benefit Level Increase ACTION REQUESTED Motion to approve the request to increase the annual contribution from the current $3400 per year of service per firefighter to $3600 per year of service per firefighter effective January 1, 2025. REFERENCE AND BACKGROUND Firefighter Keith Louwagie will be present to provide an update on the St. Joseph Fire Relief. Included is a summary that Mr. Louwagie will go through. As part of the update, the Relief Association is requesting that an increase to the benefit level be considered from the current $3400 to $3600 and that the increase be effective January 1, 2025. Annually, the Relief Association must prepare financial schedules required by the State to show the solvency of the fund. If the fund is not fully funding all the retirements, then a municipal contribution is required. BUDGET IMPACT STAFF RECOMMENDED ACTION Consider approval of the Fire Relief’s request to increase the benefit level from $3400 to $3600 effective Jan. 1, 2025. SUPPORTING DATA/ATTACHMENTS •Financial Update Form SC-24 2024 Benefit Level:1A.3,400$ 2025 Benefit Level:1B.3,600$ 2026 Benefit Level:1C. 2024 Rate of Return:2A.6.00%2025 Rate of Return:2B.6.00%2026 Rate of Return:2C. Projection of Liabilities for Year End 2024 2025 2025 2026 2026 2027 Total Active Member Liabilities 831,375 914,060 967,828 1,059,290 0 0 Total Deferred Member Liabilities 251,000 263,551 263,551 276,728 276,728 290,564 Total Unpaid Installments 0 0 0 0 0 0 Less: Projected Payouts 0 0 0 0 0 0 Grand Total Special Fund Liability 3A.1,082,375 4A.1,177,611 3B.1,231,379 4B.1,336,018 3C.276,728 4C.290,564 Normal Cost (Line 4 minus Line 3)5A.95,236 5B.104,639 5C.13,836 Projection of Net Assets for Year End Special Fund Assets on January 1 (Prior Year FIRE Form Ending Net Assets)6A.1,127,638 6B.1,258,521 6C.1,396,348 Projected Income Fire State Aid (fire state aid of $57,711 may be increased by up to 3.5%)7A.59,731 7B.61,822 7C.63,986 Supplemental State Aid (actual supplemental state aid)8A.10,494 8B.10,494 8C.10,494 Municipal / Independent Fire Dept. Contributions 9A.3,000 9B.9C. Investment Earnings (Line 2 multiplied by Line 6)10A.67,658 10B.75,511 10C.0 Member Dues 11A.0 11B.11C. Other Revenues 12A.0 12B.12C. Total Projected Income 13A.140,883 13B.147,827 13C.74,480 Projected Expenses Total Service Pensions and Benefit Payments Total Number of Benefits Paid 14A.0 14B.14C. Administrative Expenses 15A.10,000 15B.10,000 15C. Total Projected Expenses 16A.10,000 16B.10,000 16C.0 Projected Net Assets at Year End 17A.1,258,521 17B.1,396,348 17C.1,470,828 Projection of Surplus or (Deficit) as of Year End Projected Assets (Line 17)18A.1,258,521 18B.1,396,348 18C.1,470,828 Accrued Liability Less Projection Payouts 19A.1,082,375 19B.1,231,379 19C.276,728 Surplus or (Deficit) (Line 18 minus Line 19)20A.176,146 20B.164,969 20C.1,194,100 Year Incurred Original Amount Amount Retired as of 12/31/2023 Original Amount Amount Retired as of 12/31/2024 Original Amount Amount Retired as of 12/31/2025 Original Amount Amount Retired as of 12/31/2026 2015 0 0 2016 0 0 2017 0 0 2018 0 0 2019 0 0 2020 0 0 2021 0 0 2022 0 0 2023 0 0 2024 2025 2026 Totals 0 0 0 0 0 0 0 0 0 Normal Cost 21A.95,236 21B.104,639 21C.13,836 Projected Administrative Expense Enter Prior Year Admin Exp here:22A.- 0 22B.- 0 22C.- 0 Amortization of Deficit (Total of Original Amount column x 0.10)23A.0 23B.0 23C.0 10% of Surplus 24A.17,615 24B.16,497 24C.119,410 Fire and Supplemental State Aid 25A.70,225 25B.72,316 25C.74,480 Member Dues 26A.0 26B.0 26C.0 5% of Projected Assets at Year End 27A.62,926 27B.69,817 27C.73,541 28A.0 28B.0 28C.0 OFFICE OF THE STATE AUDITOR Benefit Level Projections 2024 Benefit Increase Projections 2025 Benefit Increase Projections 2026 Benefit Increase Projections Deficit Information - Original 2024 Deficit Information - Adjusted 2025 Deficit Information - Adjusted 2026 Deficit Information - Adjusted Amount Left to Retire 1/1/2025 Amount Left to Retire 1/1/2026 Amount Left to Retire 1/1/2027 0 0 Required Contribution (Add Lines 21, 22 and 23, subtract Lines 24, 25, 26 and 27. If negative, zero is displayed.) This page is being provided as an optional tool that a relief association may use as a resource to estimate the impact that benefit level changes or investment rate of return changes could have on the relief association's funded status. This page is not required to be completed; the Schedule Form can be submitted without completing this page. The instructions on how to use this page are found on the Home tab of this spreadsheet. If a deferred member receives deferred interest, the member’s individual balance is assumed to increase by 5% each year. The fire state aid amount is assumed to increase by 3.5% each year. The supplemental state aid amount is assumed to be the same amount each year. Projected administrative expenses (in Line 22) is assumed to increase by 3.5% each year. If you choose to complete this page, please be aware that the calculated information, including the surplus or deficit and required contribution amounts, are rough estimates, only. This tool should not be relied upon in lieu of individualized services provided by a relief association’s auditor, actuary, or financial advisor.