101121 City Council Meeting Packet
NEW HOPE CITY COUNCIL
MEETING AGENDA
October 11, 2021
7:00 p.m.
City Hall – Council Chambers
4401 Xylon Avenue North
Mayor Kathi Hemken
Council Member John Elder
Council Member Andy Hoffe
Council Member Michael Isenberg
Council Member Jonathan London
The City Council wants and encourages citizen participation at Council Meetings. Your input and
opinions count and are valuable. You are encouraged to bring forth your comments and issues at
the appropriate point on the agenda.
A 15‐minute maximum Open Forum is held at the beginning of each Council Meeting. At this time
any person may address the Council on any subject pertaining to City business not listed on this
agenda or scheduled as a future agenda item. The Council requests that you limit your presentation
to 3 minutes. Anyone wishing to address the City Council on a particular item should raise their
hand and be recognized by the Mayor. Approach the podium and speak into the microphone by
first stating your name and address. Also, please record your name on the roster at the table near
the door so that your name will be spelled correctly in the minutes.
Individuals should not expect the Mayor or Council to respond to their comments tonight; Council
may refer the matter to staff for handling or for consideration at a future meeting. You are welcome
to contact the city clerk at 763‐531‐5117 after the council meeting.
COUNCIL MEETING BROADCASTS AND STREAMING
Government Access channel 16 programming includes live/taped meeting replays
Live on‐line meetings and past meetings on‐demand are available through www.nwsccc.org.
www.newhopemn.gov
New Hope Values and Vision
City Mission
Strong local government that is proactive in responding to the community needs and issues by delivering quality
public service to all city residents, businesses, property owners, and organizations in a prudent and e cient manner.
Values
Excellence and Quality in the Delivery of Services
We believe that service to the public is our reason for being and strive to deliver quality services in a
highly professional and cost-e ective manner.
Fiscal Responsibility
We believe that fi scal responsibility and the prudent stewardship of public funds and city assets is essential if
residents are to have confi dence in government.
Ethics, Integrity and Professionalism
We believe that ethics, integrity, and professionalism are the foundation blocks of public trust and confi dence and
that all meaningful relationships are built on these values.
Respect for the Individual
We believe in the uniqueness of every individual, and welcome, appreciate, and respect diversity and the di ering
of opinions.
Open, Honest, and Respectful Communication
We believe that open, honest, and respectful communication is essential for an informed and involved citizenry
and to foster a positive environment for those interacting with our city.
Cooperation and Teamwork
We believe that the public is best served when all work cooperatively.
Visionary Leadership and Planning
We believe that the very essence of leadership is to be responsive to current goals and needs, and visionary in
planning for the future.
Vision
e city is a great place to grow as a family, individual, or business.
All within our city are safe and secure.
Essential services will be those that promote a safe and healthy environment for all residents.
Essential services and programs will be enhanced and streamlined, and will be provided in an economical manner
and with measurable results.
e city views residents as its greatest asset and seeks their input and participation.
e city will meet the communication needs of citizens, elected o cials, and city sta .
Strategic Goals
e city will maintain and improve its infrastructure (water distribution, storm water, sewer, roads, parks,
lighting, and city facilities).
e city will use frugal spending and resourceful fi nancial management to maintain its fi scal health.
e city will encourage maintenance, redevelopment, and reinvestment of existing properties to improve
or enhance its tax base.
e city will provide core services with a professional sta who are equipped with the necessary tools and
equipment and given necessary direction.
e city will facilitate and improve communications to promote e ective intergovernmental cooperation
between sta , citizens, and Council.
Adopted by the New Hope City Council, August 2006
Reaffirmed by the New Hope City Council, February 2021
CITY COUNCIL MEETING
City Hall, 4401 Xylon Avenue North
Monday, October 11, 2021
7:00 p.m.
Regular Session
1. CALL TO ORDER AND PLEDGE OF ALLEGIANCE – October 11, 2021
2. ROLL CALL
3. APPROVAL OF MINUTES:
Council Meeting Minutes – September 27, 2021
4. OPEN FORUM
5. PRESENTATIONS
6. CONSENT BUSINESS
6.2 Approval of financial claims through October 11, 2021
6.4 Resolution approving final payment to W.L. Hall Company for the replacement of the
skylight at the New Hope Ice Arena (Improvement Project No. 1058)
7. PUBLIC HEARING
7.1 Public hearing and resolution adopting and confirming assessments for delinquent
utility service charges and administrative citations
8. DEVELOPMENT AND PLANNING
8.1 Resolution approving change order no. 2 for $7,113.73 with Rochon Corporation for the
Phase 1 Improvements at the Public Works Facility and geotechnical services for $7,325
to Independent Testing Technologies (ITT) (Improvement Project No. 1039)
8.2 Resolution calling for a public hearing regarding use of proceeds of $18,435,000
General Obligation Capital Improvement Plan Bonds, series 2017A
9. PETITIONS AND REQUESTS
10. ORDINANCES AND RESOLUTIONS
10.1 Resolution authorizing the purchase of equipment and appropriation of funds in the
amount of $32,413.81 for the purchase of a 2021 Toro Sand Pro 5040 from MTI
Distributing
11. UNFINISHED AND ORGANIZATIONAL BUSINESS
12. OTHER BUSINESS
12.1 Exchange of communication between members of the city council
13. ADJOURNMENT
Memorandum
To: New Hope City Council
From: Kirk McDonald, City Manager
Date: October 7, 2021
Subject: Agenda Items for Monday, October 11, 2021
Open Forum
Staff is not aware of anyone planning to address the Council for the Open Forum.
Item 6.1
There are no new business license requests.
Item 6.2
This item involves routine financial claims.
Item 6.3
There are no new liability claims to report.
Item 6.4
This is a final pay request for the skylight work at the south rink of the ice arena. This spring Council
approved replacing the south rink roof and the skylight replacement was bid as a separate project as a cost‐
savings measure. The skylight replacement work by W.L. Hall Company is complete, and the final payment
is $91,257. This brings the total amount to $162,304, which is the original amount of the contract. It should be
noted that during the quotation process it was discovered that the skylight frame needed to be raised to
avoid the existing sprinkler heads. The cost of this adjustment is $30,650 was added as a change order to the
roofing contractor, Jackson & Associates. Director Rader and I recommend approval of the final payment to
W.L. Hall Company.
Item 7.1
This is the annual public hearing to adopt the assessment rolls for delinquent city service charges incurred
between June 1, 2020, and May 31, 2021. All impacted property owners were notified of the hearing date, the
process for challenges, and payment options. Presently the total of delinquent utility charges is $273,751.19,
the total of delinquent city services is $1,634.97, and the total for delinquent administrative citations is
$27,370. To date staff has received only one written objection regarding code violations. After accepting
public input, a motion should be made to close the public hearing, followed by another motion to adopt the
resolution and assessment rolls. City Clerk Leone and I recommend approval.
Item 8.1
Staff is requesting approval of change order no. 2 for $7,113.73 with Rochon Corporation for the phase 1
improvements at the public works facility and approval of geotechnical services for $7,325 to Independent
Testing Technologies. The change order includes owner‐removed trees, elimination of two windows and
removal of exhaust fan, spray foam masonry cells, additional B618 concrete curb and gutter, insulate existing
concrete blocks above window and door openings, and additional fire sprinkler heads). Three of the seven
items included in change order no. 2 are credits (tree removal, window and exhaust fan removal, and
exterior draintile). The cost for Independent Testing Technologies to conduct soil borings at the soil storage
building and at the future phase 2 building expansion area is $7,320. Soil borings will determine if helical
anchors will be required due to poor soils. There are adequate funds to pay for the change order and
geotechnical services with project contingency funds. Director Weber and I recommend approval of change
order no. 2.
Item 8.2
This item calls for a public hearing on November 8 regarding the use of proceeds of the $18,435,000 general
obligation capital improvement plan bonds. The remainder of the 2017 bond proceeds from the city
hall/police facility can be redistributed for financing another public use authorized by law. The estimated
balance of the bond proceeds is between $400,000 to $500,000, after final expenditures for security measures,
audio‐visual improvements, and final payments to contractors and consultants. At its work session of
August 16, 2021, Council discussed options for use of the remaining funds and supported utilizing the funds
for the public works facility project. Per bond counsel, the city can apply excess proceeds to the 2021 public
works facility improvements, and Council must adopt an updated capital improvement plan to include the
public works facility project. The resolution schedules the public hearing for November 8, 2021.
Item 10.1
Staff is recommending the purchase of a 2021 Toro Sand Pro 5040 to replace a 13‐year old Toro Workman in
the parks department. The vehicle is exclusively used for ballfield maintenance and levels playing surfaces.
The 2021 CIP has $28,414.71 in the vehicle replacement fund for this equipment. It is recommended that the
city obtain the equipment through the State of Minnesota Cooperative Purchasing Venture with the contract
held by MTI Distributing. The total price of the vehicle is $32,413.81. MTI Distributing has offered $2,500
trade‐in value for the 2008 Toro Workman. Staff recommends selling the old Toro to the Golf Course for
$2,500. The remaining balance of $1,499.10 would be funded by the vehicle replacement fund. Directors
Rader and I recommend approval.
Item 12.1
Mayor Hemken will review upcoming meetings and events.
If you have any questions regarding items in the agenda packet, please call the city clerk or me
before the meeting so that staff can research any issues and be prepared to respond at the meeting.
New Hope City Council September 27, 2021
Page 1
City of New Hope
4401 Xylon Avenue North
New Hope, Minnesota 55428
City Council Minutes September 27, 2021
Regular Meeting City Hall, 7:00 p.m.
CALL TO ORDER The New Hope City Council met in regular session pursuant to due call and notice
thereof; Mayor Hemken called the meeting to order at 7:00 p.m.
PLEDGE OF
ALLEGIANCE
The City Council and all present stood for the Pledge of Allegiance.
ROLL CALL Council present:
Staff present:
Kathi Hemken, Mayor
John Elder, Council Member
Andy Hoffe, Council Member
Michael Isenberg, Council Member
Jonathan London, Council Member
Kirk McDonald, City Manager
Dan Boyum, City Engineer
Valerie Leone, City Clerk
Bernie Weber, Director of Public Works
Stacy Woods, Assistant City Attorney
APPROVAL OF
MINUTES
Motion was made by Council Member Hoffe, seconded by Council Member
Isenberg, to approve the regular meeting minutes of September 13, 2021. Voted
in favor thereof: Hemken, Elder, Hoffe, Isenberg, London; and the following voted
against the same: None; Abstained: None; Absent: None. Motion carried.
Motion was made by Council Member Hoffe, seconded by Council Member
Isenberg, to approve the work session meeting minutes of September 20, 2021.
Voted in favor thereof: Hemken, Hoffe, Isenberg, London; and the following voted
against the same: None; Abstained: Elder; Absent: None. Motion carried.
OPEN FORUM
There was no one present desirous of addressing the council.
ROTATING VOTES
Please note that votes taken on each agenda item are called by the secretary on a
rotating basis; however, the written minutes always list the mayor’s name first
followed by the council members’ in alphabetical order.
CONSENT AGENDA Mayor Hemken introduced the consent items as listed for consideration and stated
that all items will be enacted by one motion unless requested that an item be
removed for discussion. Mr. Kirk McDonald, city manager, reviewed the consent
items.
FINANCIAL CLAIMS
Item 6.2
Approval of financial claims through September 27, 2021.
New Hope City Council September 27, 2021
Page 2
RESOLUTION 2021‐89
Item 6.4
Resolution proclaiming October 10‐16, 2021, as Police Week in the city of New
Hope.
MOTION
Item 6.5
Motion waiving permit fees for temporary signs for New Hope Women of Today
Cooper Craft Fair fundraising event on October 31, 2021.
MOTION
Item 6.6
Motion waiving permit fees for temporary signs for Armstrong Cooper Youth
Hockey Association registration.
MOTION
Consent Items
Motion was made by Council Member Isenberg, seconded by Council Member
Hoffe, to approve the Consent items. All present voted in favor. Motion carried.
2022
INFRASTRUCTURE
IMPROVEMENTS
(PROJECT NO. 1074)
Item 8.1
Mayor Hemken introduced for discussion Item 8.1, Resolution accepting feasibility
report for the 2022 Infrastructure Improvements Project and calling for a public
hearing (Improvement Project no. 1074).
Mr. Dan Boyum, city engineer, illustrated the proposed project area in the
northwest portion of the city near Liberty Park. He stated the streets included in
the project were recommended based upon pavement conditions identified in the
2019 pavement management plan as well as underlying utility conditions. Mr.
Boyum stated the improvements include utility replacement on Independence
Avenue North as well as the mill and overlay or reclaim and overlay of pavement.
He stated utility improvements on the mill and overlay streets will include the
replacement of the sanitary sewer manhole lids to reduce inflow and infiltration.
The feasibility report also recommends the replacement of the water main located
along Bass Lake Road (CSAH 10) and adjacent to the TH 169 NB entrance ramp
and reconnects at the dead end of Independence. He reported this section of water
main has a history of failing pipe to the extent that this loop has been discontinued
to be used due to this section’s poor condition and difficult location to access for
repairs. Trenchless water main construction via directional drill and/or pipe
bursting methods will be used for replacement of the water main along Bass Lake
Road. Water main along Independence will also be replaced due to the number of
watermain breaks.
Mr. Boyum stated there are two areas of storm sewer repair and replacement
identified in the report (at the dead end of Independence and the hammerhead at
the north end of Independence Avenue North). He explained both of these areas
have shown a history of flooding and lack of drainage due to the poor condition
of the existing storm structures. The other proposed storm sewer improvement is
a filtration trench located along 60th Avenue North by Liberty Park.
Mr. Boyum stated the estimated total project cost is $2,050,069 and the funding
sources include the street infrastructure fund, utility funds, and special assessment
(for Liberty Park as it is a tax‐exempt property). He reviewed the project schedule.
He stated adoption of the resolution calls for a public hearing to be held October
25, 2021.
Mayor Hemken inquired regarding driveway access for residents.
New Hope City Council September 27, 2021
Page 3
Mr. Boyum stated the contractor will communicate with residents if property
access will be restricted which allows residents to park vehicles nearby.
Council Member London inquired of curb replacement and stubs for sump pump
connections.
Mr. Boyum stated there will be curb spot repairs which will equate to
approximately 15% of curb replacement throughout the project area. He stated the
project does not include drain tile and stub connections, unless critical areas are
detected, so there is no opportunity for sump pump connections.
Council Member Elder inquired of petro mats and the type of yard repairs.
Mr. Boyum confirmed that the streets do not contain petro mats which allows a
two‐inch deep pavement replacement. He stated blow mulch will be utilized for
turf repair.
Mr. Kirk McDonald, city manager, inquired of boulevard tree replacement.
Mr. Boyum stated trees may require removal in the area with water main
replacement. He noted that staff will conduct a walk through to identify such trees.
Mayor Hemken opened the floor to comments from the audience.
Mr. Rick Morrisette, 5923 Independence Avenue North, was recognized. He
reported a water issue in the rear of the property along the fence. He asked the city
to inspect the water main.
Ms. Colleen Jackson and Mr. Dick Jackson of 5901 Independence Avenue North
were recognized. They inquired of boulevard tree replacement and driveway
replacement. Mr. Jackson also reported that water backs up at the end of
Independence Avenue.
Mr. Boyum stated staff will identify trees that need removal prior to the October
25 hearing. Director Weber noted typically any trees within 15 feet of the street will
require removal. Mr. Weber stated the water main replacement is proposed for the
east side of the street and that area will have a greater impact.
Mr. Boyum reported that any driveway aprons that are removed for the project
will be replaced with similar material (asphalt or concrete). He also noted that
drainage issues will be addressed by the replacement of catch basin structures at
both the north and south end of Independence Avenue.
Mr. Boyum asked Council to adopt the resolution and call for the public hearing
on October 25.
RESOLUTION 2021‐90
Item 8.1
Council Member London introduced the following resolution and moved its
adoption: “RESOLUTION ACCEPTING FEASIBILITY REPORT FOR THE 2022
INFRASTRUCTURE IMPROVEMENTS PROJECT AND CALLING FOR A
PUBLIC HEARING (IMPROVEMENT PROJECT NO. 1074).” The motion for the
New Hope City Council September 27, 2021
Page 4
adoption of the foregoing resolution was seconded by Council Member Hoffe, and
upon vote being taken thereon, the following voted in favor thereof: Hemken,
Elder, Hoffe, Isenberg, London; and the following voted against the same: None;
Abstained: None; Absent: None; whereupon the resolution was declared duly
passed and adopted, signed by the mayor which was attested to by the city clerk.
SIDEWALK PLOW
AND ANCILLARY
EQUIPMENT
PURCHASE
Item 10.1
Mayor Hemken introduced for discussion Item 10.1, Resolution authorizing the
purchase of equipment and appropriation of funds in the amount of $148,468 for
purchase of a 2021 Holder C70 municipal utility tractor and ancillary equipment
from Cushman Motor Company, Inc.
Mr. Bernie Weber, director of public works, stated staff is recommending the
purchase of a 2021 sidewalk plow (Holder C70 municipal utility tractor) and
attachments from Cushman Motor Company, Inc. for $148,468. The plow will
replace the city’s 10‐year old Belos Transgiant utility tractor which is in poor
condition and will be sent to auction. He reported there is $176,242 in the
equipment replacement reserve fund for the purchase of the new equipment. It is
recommended that the city obtain the equipment through the State of Minnesota
Cooperative Purchasing Venture with the contract held by Cushman Motor
Company, Inc.
Council Member London inquired of the auction proceeds. Mr. Weber stated the
funds will be placed in the equipment replacement reserve fund.
RESOLUTION 2021‐91
Item 10.1
Council Member Isenberg introduced the following resolution and moved its
adoption: “RESOLUTION AUTHORIZING THE PURCHASE OF EQUIPMENT
AND APPROPRIATION OF FUNDS IN THE AMOUNT OF $148,468 FOR
PURCHASE OF A 2021 HOLDER C70 MUNICIPAL UTILITY TRACTOR AND
ANCILLARY EQUIPMENT FROM CUSHMAN MOTOR COMPANY, INC.”
The motion for the adoption of the foregoing resolution was seconded by Council
Member Hoffe, and upon vote being taken thereon, the following voted in favor
thereof: Hemken, Elder, Hoffe, Isenberg, London; and the following voted against
the same: None; Abstained: None; Absent: None; whereupon the resolution was
declared duly passed and adopted, signed by the mayor which was attested to by
the city clerk.
EXCHANGE OF
COMMUNICATION
Item 12.1
Mayor Hemken introduced for discussion Item 12.1, Exchange of communication
between members of the City Council.
Mayor Hemken reported on upcoming events.
ADJOURNMENT
Motion was made by Council Member Elder, seconded by Council Member
Isenberg, to adjourn the meeting, as there was no further business to come before
the Council. All present voted in favor. Motion carried. The New Hope City
Council adjourned at 7:38 p.m.
Respectfully submitted,
Valerie Leone, City Clerk
G:\City Manager\AGENDA\6.2 R‐Approval of Claims Merge Doc.docx
Request for Action
October 11, 2021
Approved by: Kirk McDonald, City Manager
Originating Department: City Manager
By: Kirk McDonald, City Manager
Agenda Title
Approval of claims through October 11, 2021
Requested Action
Claims for services and commodities purchased through this period are listed on the Check Disbursement
Report
Attachments
Check Disbursement Report
Agenda Section
Consent
Item Number
6.2
I:\RFA\P&R\ARENA\2021\South Rink Roof #1058\Skylight ‐ Final\6.4 Q & R ‐ Final Pay Request Arena Skylight.docx
Request for Action
October 11, 2021
Approved by: Kirk McDonald, City Manager
Originating Department: Parks & Recreation
By: Susan Rader, Director
Agenda Title
Resolution approving final payment request to W. L. Hall Company for the replacement of the skylight at the
New Hope Ice Arena (Improvement Project No. 1058)
Requested Action
Staff recommends that the City Council approve a resolution to accept the skylight for the south rink at the
New Hope Ice Arena (improvement project no. 1058) and authorize final payment to W. L. Hall Company for
$91,257. This brings the total amount to $162,304, the original amount of the contract.
All necessary paperwork has been received from the contractor, including an IC‐134. Staff recommends
release of the final check.
Background
The Ice Arena is located at 4949 Louisiana Avenue North. The original facility was built in 1975 and the south
sheet of ice was added in 1996. The addition included a second sheet of ice with locker rooms, meeting rooms
and also a skylight along the east side of the building.
The south rink roof was identified for replacement in 2021 and on February 22, 2021, the City Council
awarded a contract to Jackson & Associates for the roof replacement improvements. At that time, it was
decided that lower quotes for the skylight replacement could be obtained by bidding it separate.
During the quote process, it was determined that the new skylight frame would need to be extended higher
by an additional 2‐3” to keep from impacting the existing sprinkler heads, which were located just below the
original skylight. Because of this adjustment, additional EFIS work totaling $30,650, was identified. Instead of
having W. L. Hall Company sub‐contract the work, a change order for the EFIS work was added as a change
order to the Jackson & Associates contract and will be completed with the rest of the EFIS work this fall.
Funding
The funding source will be the Ice Arena Fund, with an interfund loan from the Temporary Financing Fund,
which will be paid back over 15 years. A resolution will be brought forward to the City Council once the roof
replacement project has been completed.
Attachments
Resolution
Invoice from W. L. Hall Company
Agenda Section
Consent
Item Number
6.4
City of New Hope
Resolution No. 2021‐
Resolution approving final payment request to W. L. Hall Company for the replacement of the skylight at the
New Hope Ice Arena (Improvement Project No. 1058)
WHEREAS, the city of New Hope prepares a ten‐year Capital Improvement Program (CIP) as a guiding
document for equipment acquisition and improvement projects to assist with the preparation of
each annual operating budget; and,
WHEREAS, having safe, well maintained facilities is important; and,
WHEREAS, the city entered into a contract with W. L. Hall Company for the replacement of the skylight
at the New Hope Ice Arena; and,
WHEREAS, staff is recommending that the Council adopt a resolution to accept the completion of the
skylight replacement at the New Hope Ice Arena, improvement project #1058, and approve final
payment to W. L. Hall Company in the amount of $91,257; and,
WHEREAS, the funding source for this project is the Ice Arena Fund.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the city of New Hope, Hennepin County,
Minnesota:
1. That the City Council accepts the replacement of the skylight at the New Hope Ice Arena,
improvement project #1058 from W. L. Hall Company.
2. That the city manager is hereby directed to authorize the final payment of $91,257 to W. L.
Hall Company.
Adopted by the City Council of the city of New Hope, Hennepin County, Minnesota, this 11th day of October,
2021.
Mayor
Attest:
City Clerk
I:\RFA\City Manager\2021\delinquent utilities-Hearing\q-certify delinquent UB 10.11.21.docx
Request for Action
October 11, 2021
Approved by: Kirk McDonald, City Manager
Originating Department: City Manager
By: Valerie Leone, City Clerk-Treasurer
Agenda Title
Public hearing and resolution adopting and confirming assessments for delinquent utility service charges and
administrative citations
Requested Action
A public hearing has been scheduled for October 11th to assess unpaid bills for delinquent city service charges
including utilities and administrative citations. Staff requests the adoption of the resolution after the public
hearing is closed.
Policy/Past Practice
In accordance with M.S. 429.101 the city may collect unpaid charges against properties through certification to
property taxes.
Background
All affected property owners were notified of the hearing date and time, the process for challenges, and the total
to be assessed. Delinquent accounts from June 1, 2020, through May 30, 2021, are included. As of October 5, 2021,
the total for delinquent utility charges is $273,751.19. The total of delinquent city services (alarm fees) is
$1,634.97, and the total of delinquent administrative citations is $27,370. Payments will be accepted up to 4:30
pm on November 15, so the final assessment total may be slightly lower. The assessment payment term is one
year. The proposed assessment rolls of delinquent accounts as of October 5th are attached to the resolution.
The public hearing notice instructs persons with objections to appear in person at the public hearing or to submit
a written objection. As of October 5th we have received one written objection from the property owner of 4800
Decatur (attached). Although the city sent several notices and citation letters, this is the only communication the
city has received from the property owner.
Financial assistance programs may be available to assist individuals with past due accounts. The telephone
number for the Community Action Partnership of Hennepin County is 952-930-3541.
Funding
There is no budgetary impact as penalties and a $50 service charge on the delinquent accounts are added to the
assessments. Interest is due and payable at the rate of 7%, thirty days after the assessment roll is adopted.
Attachments
• Notice of Hearing which was mailed to property owners
• Notice of Hearing which was published in the Sun Post
• Appeal letter
• Resolution and Assessment Rolls showing Delinquent Charges
Agenda Section
Public Hearing
Item Number 7.1
Date MDY PENDING ASSESSMENT NOTICE
(This is the only notice you will receive)
Dear Property Owner:
The above-referenced “Service Address” has a past-due utility account. The delinquency may include charges for
water, sewer, storm drainage, street lighting, weed removal, snow removal, diseased tree removal and recycling
services that were assessed as of June 1, 2021. Payments will be accepted as follows:
• To avoid an administrative charge of $50, the above “Amount Past Due” must be paid by 4:30 p.m. on
Monday, October 18, 2021.
• Payments made from Tuesday, October 19, 2021, through 4:30 p.m. on Monday, November 15, 2021, MUST
include the $50 administrative charge.
• In addition, payments made from Monday, November 8, 2021, through Monday, November 15, 2021, will
ONLY be accepted in the form of cash, money order, or credit card (MasterCard and Visa only). Checks will
no longer be accepted during these dates.
• Payments can also be made by phone 24/7 by calling (844) 869-3219 or online through the city website. (Visa,
MasterCard, PayPal, and Electronic Check)
Delinquent balances not paid by 4:30 p.m. on Monday, November 15, 2021, will be assessed against the above
property. This means that the delinquent balance will be reported to Hennepin County, which will then be added to
the 2022 property tax statement for the “Service Address.” Assessed amounts will accrue interest at an annual rate of
seven percent (7%) from December 1, 2021, through December 31, 2022.
Certification letters will NOT be sent to properties with tenants. It is the owner’s responsibility to notify their
tenants of any past due amounts that have been accrued throughout the year.
The City Council will meet in the Council Chambers at New Hope City Hall, 4401 Xylon Avenue N., on Monday,
October 11, 2021, at 7:00 p.m., or as soon thereafter as the matter may be heard, to consider assessments to be
levied against properties benefiting from the services provided. Property owners may appear at this public hearing to
object to proposed assessments against their property.
If you wish, you may appeal the assessment of unpaid utilities to Hennepin County District Court under Minnesota
Statutes, Section 429.081. To do so, you must:
• File a signed, written objection to the amount of the assessment with the City Clerk prior to the October 11,
2021, assessment hearing, or present the written objection to the presiding officer at the assessment hearing;
and
• Serve notice of the appeal to the Mayor or the City Clerk within 30 days after the adoption of the assessment
and file such notice with the District Court within 10 days after the notice was served to the Mayor or the City
Clerk.
If you have any questions regarding this matter, please call the City of New Hope Utility Billing Department at
763.592.6760. Thank you.
CITY OF NEW HOPE
5500 International Pkwy ~ New Hope, Minnesota 55428-4858 ~ www.newhopemn.gov
City Hall: 763.531.5100 ~ Police (non-emergency): 763.531.5170 ~ Public Works: 763.592.6777
City Hall Fax: 763.531.5136 ~ Police Fax: 763.531.5174 ~ Public Works Fax: 763.592.6776
Mailing Address Line 1 ACCOUNT NUMBER : Account Number
Mailing Address Line 2 CUSTOMER NUMBER: Customer Number
Mailing Address Line 3 SERVICE ADDRESS: Service Address
Mailing Address Line 4 PROPERTY ID: Tax Roll Numeric
Mailing Address Line 5 AMOUNT PAST DUE: Current WO Balance
Mailing Address Line 6 ADD’L CHG AFTER 10/18/21: $ 50.00
CITY OF NEW HOPE
NOTICE OF PUBLIC HEARING ON ASSESSMENTS
FOR 2021 DELINQUENT CITY SERVICES CHARGES
1. Notice is hereby given that the Council of the City of New Hope will meet at the City
Hall, 4401 Xylon Avenue North, in said City on Monday, October 11, 2021, at 7:00 p.m.
or as soon thereafter as the matter may be heard, to pass upon the proposed assessment
for the delinquent billings for city services. The proposed assessment rolls are now on
file in the office of the city clerk and are open to public inspection by all persons
interested. Written or oral objections, if any, to the proposed assessments for the charges
and services described in the caption, and hereinafter, will be considered at this meeting.
Delinquent accounts for city services must be paid by November 15, 2021, or they will
be certified for collection (bearing 7% interest from date of certification) on property
taxes payable in 2022.
2. The assessments are for the following city services:
Delinquent Utility Charges $301,328
Delinquent Administrative Citations $27,650
Delinquent Alarm Charges and Mowing Services $2,010
3. No appeal may be taken to the amount of any assessment unless a written objection
signed by the affected property owner is filed with the city clerk prior to the assessment
hearing, or presented to the presiding official at the hearing.
4. An owner may appeal an assessment to district court pursuant to Section 429.081
Minnesota Statutes, by serving notice of appeal upon the mayor or clerk of the
municipality within thirty (30) days after the adoption of the assessment and filing such
notice with the district court within ten (10) days after service upon the mayor or clerk.
5. The City has no ordinance permitting the deferment of the levy of special assessments
for city services on a hardship basis for citizens age 65 or over as authorized in M.S.
435.193.
September 16, 2021
Valerie Leone
City Clerk
(for publication in the Sun Post September 23, 2021)
I:\RFA\PUBWORKS\2021\Council\1039 Public Works Expansion\QR Phase 1 Change Order 2\Q&R 1039 PW Phase 1 Change Order 2.docx
Request for Action
October 11, 2021
Approved by: Kirk McDonald, City Manager
Originating Department: Public Works
By: Bernie Weber, Public Works Director
Agenda Title
Resolution approving change order no. 2 for $7,113.73 with Rochon Corporation for the Phase 1
Improvements at the Public Works Facility and geotechnical services for $7,325 to Independent
Testing Technologies (ITT) (Improvement Project No. 1039)
Requested Action
Staff recommends approval of change order no. 2 to the contract for the Phase 1 Improvements at the
Public Works Facility (Improvement Project No. 1039) in the amount of $7,113.73 and approval of the
ITT proposal for geotechnical services in the amount of $7,325. In September and October, staff and
the city engineer discussed upcoming change orders with the city manager. Due to time constraints
on the project and the council meeting timing, the city manager alerted the council of several of these
items, reviewed pricing, and provided approvals where needed. Dan Boyum is available to respond
to any questions regarding the change order and geotechnical services.
Policy/Past Practice
The City Council considers change orders when unforeseen circumstances arise or changes are recommended
for a city project.
Background
The City Council awarded a construction contract to Rochon Corporation at the May 24, 2021 council meeting
in the amount of $2,316,000. Stantec architects and engineers are providing oversight.
Since the start of the project, the following change order has been approved:
Change order date Item Amount
Change order no. 1
– 7/26/21
Floor sink/drain, venting, and temporary compressor/water heater
relocation, replace concrete aprons, and concrete slab credit.
$15,635.68
Change order no. 2 includes the following items:
Owner‐removed trees:
Public works staff removed existing trees that were adjacent to the new mechanics bay parking lot and
received a credit for this work. Cost = ‐$1,800 (deduct to contract).
Elimination of two windows and removal of exhaust fan:
Two of the existing windows were removed from the project due to conflicts in the interior of the facility.
Some window locations were shifted to better fit with interior operations. Also, an existing exhaust fan was
removed, and the opening was filled with concrete block. Cost = ‐$2,402.50 (deduct to contract).
Agenda Section
Development &
Planning
Item Number
8.1
Spray foam masonry cells:
In order to retain styrofoam beads in the existing walls at the new parts room mezzanine, the fitness room
roof, and storage room roof, the contractor drilled holes and sprayed foam into the masonry cells. This work
was not part of the original bid package. Cost = $569.10 (add to contract).
Additional B618 concrete curb and gutter:
The north entrance to Public Works had sixty‐seven (67) feet of stand‐up concrete curb. Stand‐up or straight
curb has no gutter. Stand‐up curb does not match with other concrete curb and gutter in the parking lot.
Public Works staff removed the existing curb and negotiated with the contractor to place new B618 concrete
curb and gutter in this area. Cost = $2,110.50 (add to contract).
Insulate existing concrete blocks above windows and door openings:
During removal of concrete blocks for windows and door openings, existing styrofoam beads came out of the
openings. In order to insulate these areas, holes will need to be drilled and styrofoam sprayed into the
masonry cells. This work was not part of the original bid package. Cost = $6,276.90 (add to contract).
Delete exterior draintile:
Draintile was included in the project and was proposed to be placed along the east side of the parking lot.
However, the draintile can be eliminated since this area will not be reconstructed with a fabric and sand
section. Cost = ‐$3,600 (deduct to contract).
Additional fire sprinkler heads:
The Fire Marshall reviewed the facility and identified adding missing fire sprinkler heads at overhead doors
and existing ductwork that is wider than 48 inches. This work was not part of the original bid package. Cost
= $5,959.73 (add to contract).
Change order no. 2 includes the addition, as follows:
Owner‐removed trees $ 1,800.00 Deduct
Elimination of two windows and removal of exhaust fan $ 2,402.50 Deduct
Spray foam masonry cells $ 569.10 Add
Additional B618 concrete curb and gutter $2,110.50 Add
Insulate existing concrete blocks above windows and door openings $6,276.90 Add
Delete exterior draintile $3,600.00 Deduct
Additional fire sprinkler heads $5,959.73 Add
Total Change Order No. 2 $ 7,113.73 Add
Change order no. 2 increases the contract amount from $2,331,635.68 to $2,338,749.41. Staff recommends
approval of the resolution approving the change order.
As it relates to geotechnical services, the contractor excavated for the footings for the soil’s storage building.
During the excavation, poor soils were encountered, and there are concerns on the soil stability. City staff
requested proposals from geotechnical firms to do three 50‐foot borings at the soil storage building to
determine the extent of the poor soils. From that information, footing design can be reviewed and confirmed.
Helical anchors, similar to those used on the pool facility, may need to be incorporated into the project.
While the boring rig was on site, staff recommended taking an additional four soil borings for the future
Phase 2 building expansion. That information can be used for future reference on Phase 2 footing design.
The low proposal for these soil borings came from ITT for $7,320. Staff recommends approval of the
resolution approving the soil borings.
Other Pending Change Orders
Staff has been in discussion with the contractor on some other items on the project. These items include:
Network Switch Allowance
A network switch allowance of $20,000 was included in the project costs. IT staff have found a used switch at
a reduced price. A deduct will be processed with a future change order.
IT Room Filter Ventilation
The existing IT room has dust levels that can cause the reduction in the life of equipment based on review of
the room by IT staff. Adding additional ventilating and filtration is being looked at with the Phase 1 facility
improvements.
Camera in Parts Storage Room
Staff felt with the large amount of product located in the new parts storage building, adding a camera at this
time would be advantageous and has asked the contractor for pricing on this additional item.
Concrete Walk by Gates/Island Area
The gate area will have a concrete foundation for the gate, but the rest of the area was proposed to be restored
with grass. Staff is asking the contractor for pricing to place 4” concrete in these island areas to help reduce
maintenance.
Concrete Apron – North Entrance
The concrete apron at the north entrance was not proposed to be replaced at this time. After further review
by staff, replacing some of the cracked panel and replacing it with bituminous was discussed. Staff is asking
the contractor for pricing to remove the existing concrete panel and replace it with bituminous.
Soils Storage Building Foundation
Depending on the final findings of the soil borings, additional foundation work will be needed to address the
poor soils. Shifting the location of the soils building was looked at, but alternate locations to the north of the
proposed building location also showed poor soils. More information will be shared once the borings and
reports are completed.
Funding
At the June 24, 2021 council meeting a separate capital fund for the public works facility was established in
the amount of $2,550,000. The contract award was $2,316,000 and indirect costs are estimated at $192,280, for
a total estimated project cost of $2,508,280. There are adequate funds to pay for the change orders and
geotechnical services as indicated below:
Item Amount
Public Works facility capital fund $ 2,550,000.00
Minus estimated project costs $ 2,508,280.00
Project contingencies $ 41,720.00
Minus change order no. 1 $15,635.68
Subtotal $26,084.32
Minus change order no. 2 $7,113.73
Subtotal $18,970.59
Minus ITT geotechnical services $7,325.00
Remaining Project Contingencies $11,645.59
Attachments
Resolution
Letter from Dan Boyum, City Engineer
Change order no. 2
Quotes for soil borings
City of New Hope
Resolution No. 2021 –
Resolution approving Change Order No. 2 in the amount of $7,113.73 with Rochon Corporation for the Phase 1
Improvements at the Public Works Facility and geotechnical services for $7,325 to Independent Testing
Technologies (ITT) (Improvement Project No. 1039).
WHEREAS, the city has received the request for Change Order No. 2 from Stantec Consulting Services for
Rochon Corporation for the Phase 1 Improvements at the Public Works Facility and
geotechnical services for $7,325 to Independent Testing Technologies (ITT) (Improvement
Project No. 1039); and
WHEREAS, the items in Change Order No. 2 include owner‐removed trees, elimination of two windows
and removal of exhaust fan, spray foam masonry cells, additional B618 concrete curb and
gutter, insulate existing concrete blocks above windows and door openings, delete exterior
draintile, and additional fire sprinkler heads; and
WHEREAS, the original contract with Rochon Corporation was in the amount of $2,316,000 and the budget
included a $41,720 contingency; and
WHEREAS, at the July 26, 2021 city council meeting Change Order No. 1 was approved in the amount of
$15,635.68, which increased the contract amount to $2,331,635.68 and decreased the contingency
to $26,084.32; and
WHEREAS, Change Order No. 2 increases the contract amount to $2,338,749.41 and the construction
contingency is reduced to $18,970.59; and
WHEREAS, Geotechnical services for ITT is being paid separately from the Rochon Corporation contract
and does not change the contract amount, but construction contingency is reduced to
$11,645.59; and
WHEREAS, Stantec Consulting Services and staff recommend approval of the change order and
geotechnical services; and
NOW, THEREFORE, BE IT RESOLVED by the City Council of the city of New Hope that Change Order No. 2
To Rochon Corporation contract is approved and that all other respects of the contract shall
remain in full force and effect according to its terms and geotechnical services for ITT is
approved.
Adopted by the City Council of the City of New Hope, Hennepin County, Minnesota, this 11th day of October,
2021.
______________________________
Mayor
Attest: ________________________
City Clerk
Stantec Consulting Services Inc.
733 Marquette Avenue, Suite 1000
Minneapolis, MN 55402
October 5, 2021
File:193804913
Attention: Bernie Weber, Director of Public Works
City of New Hope
5500 International Parkway
New Hope, MN 55428
Reference: Change Order No. 2 – New Hope Public Works Facility – Phase 1 Improvements
City Project No: 1039
Dear Bernie,
The above referenced change order relates to the following items:
(1) Owner-removed trees. Public works staff removed existing trees that were adjacent to
the new mechanics bay parking lot and received a credit for this work. Cost =
-$1,800.00 (Deduct to Contract).
(2) Elimination of two windows and removal of exhaust fan. Two of the existing windows
were removed from the project due to conflicts in the interior of the facility. Some
window locations were shifted to better fit with interior operations. Also, an existing
exhaust fan was removed, and the opening was filled with concrete block. Cost =
-$2,402.50 (Deduct to Contract).
(3) Spray foam masonry cells. In order to retain styrofoam beads in the existing walls at the
new parts room mezzanine, the fitness room roof, and storage room roof, the
contractor drilled holes and sprayed foam into the masonry cells. This work was not
part of the original bid package. Cost = $569.10 (Add to Contract).
(4) Additional B618 concrete curb and gutter. The north entrance to Public Works had
sixty-seven (67) feet of stand-up concrete curb. Stand-up or straight curb has no
gutter. Stand-up curb does not match with other concrete curb and gutter in the
parking lot. Public Works staff removed the existing curb and negotiated with the
contractor to place new B618 concrete curb and gutter in this area. Cost = $2,110.50
(Add to Contract).
(5) Insulate existing concrete blocks above windows and door openings. During removal
of concrete blocks for windows and door openings, existing styrofoam beads came
out of the openings. In order to insulate these areas, holes will need to be drilled and
October 5, 2021
Bernie Weber
Page 2 of 2
Reference: Change Order No. 1 – New Hope Public Works Facility – Phase 1 Improvements
styrofoam sprayed into the masonry cells. This work was not part of the original bid
package. Cost = $6,276.90 (Add to Contract).
(6) Delete exterior draintile. Draintile was included in the project and was proposed to be
placed along the east side of the parking lot. However, the draintile can be
eliminated since this area will not be reconstructed with a fabric and sand section.
Cost = -$3,600.00 (Deduct to Contract).
(7) Additional fire sprinkler heads. The Fire Marshall reviewed the facility and identified
adding missing fire sprinkler heads at overhead doors and existing ductwork that is
wider than 48 inches. This work was not part of the original bid package. Cost =
$5,959.73 (Add to Contract).
The total of these add and deduct items is an addition of $7,113.73 to the Revised Contract. The
Revised Contract amount will be $2,338,749.41 ($2,316,000 (Original Contract) + $15,635.68
(Change Order No. 1) + $7,113.73 (Change Order No. 2)).
We recommend approval of the work described above and included in Change Order No. 2. If
you have any questions or require further information, please call me at (612) 712-2021.
Sincerely,
STANTEC CONSULTING SERVICES INC.
Dan D. Boyum, P.E.
Attachments: Change Order No. 2
CC: Kirk McDonald, Valorie Leone, Bernie Weber – New Hope; Stacy Woods – City Attorney; Bruce
Paulson, Lucas Miller – Stantec.
I:\RFA\City Manager\2021\Bond Proceeds\CM 101121\8.2 Q ‐ Calling for Public Hearing proceeds of bonds Series 2017A 101121.docx
Request for Action
October 11, 2021
Approved by: Kirk McDonald, City Manager
Originating Department: City Manager
By: Kirk McDonald, City Manager
Agenda Title
Resolution calling for a public hearing regarding use of proceeds of $18,435,000 general obligation capital
improvement plan bonds, Series 2017A
Requested Action
Staff is recommending that the City Council approve the attached resolution calling for a public hearing
regarding use of proceeds of $18,435,000 general obligation capital improvement plan bonds, Series 2017A.
The resolution was prepared by the city’s bond counsel from Dorsey & Whitney, LLP., and schedules a public
hearing for the November 8, 2021, council meeting.
Policy/Past Practice
The City Council has conducted public hearings in the past to issue general obligation capital improvement
bonds and to adopt capital improvement plans for the use of the bonds. The Council has also discussed
financing options for a variety of projects, taking into consideration project needs and the overall impact on
the tax levy.
Background
The majority of the City Council approved a capital improvement plan for the construction of the new police
station/city hall facility when preliminary approval was given for the issuance of general obligation capital
improvement plan bonds at the September 25, 2017 council meeting. The 5‐year plan (2017‐2021) prepared by
Ehlers & Associates, Inc. indicated expenditures in 2017 and 2018 for the construction of a new police and city
hall facility, with no expenditures contemplated for years 2019‐2021. In December 2017, the city issued
$18,435,000 in general obligation capital improvement bonds for the construction of the new facility. On the
day of the sale, the city accepted a premium on the bonds which provided additional funds for the project. At
the time the project commenced, the city had saved $600,000 in the city hall capital fund.
At the end of September, approximately $1,269,000 of the 2017 bond proceeds remained, with a portion of the
balance to be used to reimburse the original city hall CIP for future equipment replacement or facility
improvements and for final costs for city hall security measures, technical improvements and final payments
to contractors and consultants. It is estimated that $400,000‐$500,000 of the proceeds will remain and require
action by the City Council to redistribute before the end of 2021.
Per the attached correspondence from the city’s bond counsel at Dorsey & Whitney, LLP., if any balance of
the bond proceeds remains after the use is accomplished, the remainder of the fund may be devoted to any
other public use authorized by law and approved by resolution. At the May 24, 2021 council meeting, the
Council awarded a contract to Rochon Corporation for construction of Phase 1 improvements at the public
works facility in the amount of $2,314,000. The memorandum confirms that the excess proceeds may be
applied to the 2021 public works facility improvements. The public works facility improvements were not
Agenda Section
Development &
Planning
Item Number
8.2
Request for Action, Page 2
listed in the CIP plan approved in 2017, therefore a new public hearing and resolution are required. Ehlers
has amended the plan and added the public works facility improvements for 2021.
The remaining funds could also be utilized to “pay down” the debt service on the original city hall bonds. If
the funds were used for this purpose, the debt service levy would need to be increased in subsequent years to
bring it back up to the original level before “pay down”.
Both of these options were discussed with the City Council at the August 16, 2021 work session and the
Council was in agreement with the recommendation from AEM and staff to utilize the funds for the public
works facility. The Council directed staff to take the necessary steps to conduct a public hearing.
The attached resolution schedules the public hearing for the November 8 council meeting and staff
recommends approval of the resolution. If the Council approves the use of the unspent bond proceeds for the
public works facility at the November 8 public hearing, the Council will be requested to approve a resolution
transferring the unspent funds from the city hall construction fund to the public works facility fund.
Attachments
Resolution calling for Public Hearing
Public Hearing Notice
August 18, 2021 Dorsey & Whitney Correspondence
October 4, 2021 AEM Memo
November 8, 2021 updated CIP Plan from Ehlers (2021‐2025)
August 16 work session RFA and Minutes
August 4 AEM Memo
September 25, 2017 original CIP Plan from Ehlers (2017‐2021)
RESOLUTION NO. 2021- ______
RESOLUTION CALLING FOR A PUBLIC HEARING
REGARDING USE OF PROCEEDS OF $18,435,000 GENERAL
OBLIGATION CAPITAL IMPROVEMENT PLAN BONDS,
SERIES 2017A
BE IT RESOLVED by the City Council (the “Council”) of the City of New Hope,
Minnesota (the “City”), as follows:
1. Adoption of Capital Improvement Plan. The City has prepared a capital improvement
plan (the “Plan”) pursuant to Minnesota Statutes, Section 475.521 (the “Act”). The Plan covers a
five-year period beginning with the date of its adoption; sets forth the estimated schedule, timing,
and details of specific capital improvements by year, together with the estimated costs, the need
for the improvements, and sources of revenue to pay for the improvements. The Plan must be
approved by the City Council following published notice and a public hearing.
2. Public Hearing. A public hearing is hereby scheduled to be held on the approval of
the Plan and the use of excess proceeds of the City’s General Obligation Capital Improvement
Plan Bonds, Series 2017A (the “Bonds”) for projects described in the Plan (the “Additional
Projects”) on November 8, 2021, and notice thereof in substantially the form attached hereto
shall be published in the official newspaper of the City at least 14 days, but not more than 28
days prior to the hearing. The hearing will afford any interested party an opportunity to discuss
the Plan and the use of excess proceeds of the Bonds for the Additional Projects.
Except as set forth herein, the authorizing resolution shall remain in full force and effect.
Adopted by the New Hope City Council on October 11, 2021.
____________________________________
Mayor
Attest: ____________________
City Clerk
-2-
4835-4456-0119\1
NOTICE OF PUBLIC HEARING ON CAPITAL IMPROVEMENT PLAN AND USE OF
PROCEEDS OF $18,435,000 GENERAL OBLIGATION CAPITAL IMPROVEMENT PLAN
BONDS, SERIES 2017A
CITY OF NEW HOPE, MINNESOTA
NOTICE IS HEREBY GIVEN that the City Council of the City of New Hope,
Minnesota (the “City”), will meet on Monday, November 8, 2021, at 7:00 p.m., at the City Hall,
4401 Xylon Ave. N, for the purpose of conducting a public hearing on the City intention to
approve the City’s Capital Improvement Plan (the “Plan”) and use excess proceeds of the above-
referenced bonds to finance projects described therein.
A draft copy of the Plan is available for public inspection at the City offices during
business hours, 8:00 A.M. to 4:00 P.M., on normal business days.
All persons interested may appear and be heard at the time and place set forth above, or
may file written comments with the City Clerk prior to the date of the hearing set forth above.
Dated: October 11, 2021.
BY ORDER OF THE CITY
COUNCIL
By /s/ Valerie Leone
City Clerk
(for publication in the SunPost on October 21, 2021)
MEMORANDUM
ATTORNEY/CLIENT PRIVILEGED
TO: Kirk McDonald
FROM: Jennifer Hanson
DATE: August 18, 2021
RE: Use of Excess Proceeds (2017A Bonds)
The City has asked whether excess proceeds of the City’s $18,435,000 General
Obligation Capital Improvement Plan Bonds, Series 2017A may be applied to capital costs of
the City’s 2021 public works facility improvements, and what process would be necessary in
order to do so. This memorandum confirms that such use is authorized following a public
hearing and approval in accordance with the statute authorizing CIP bonds.
Minnesota Statutes, Section 475.65 provides that
If the contemplated use [of bond proceeds] be afterward abandoned, or if any balance of
the proceeds of the obligations remains after the use is accomplished, or if the governing
body determines that at least 85 percent of the cost of the use has been paid or finally
determined and retains in the fund an amount sufficient to pay the estimated costs of
completion, the remainder of the fund may be devoted to any other public use authorized
by law, and approved by resolution adopted or vote taken in the manner required to
authorize bonds for such new use and purpose. Any balance remaining after the
improvement has been completed and paid for, unless devoted to a new use as herein
authorized, shall become a part of the debt service fund of the municipality.
While the Series 2017A Bonds were issued as CIP Bonds, the 2021 public works facility
improvements were not listed in the CIP approved prior to issuance of the Series 2017A Bonds.
Therefore, a new public hearing on the use of Series 2017A Bond proceeds and resolution
approving such use, all in accordance with Minnesota Statutes, Section 475.521 would be
necessary in order to apply proceeds of the Series 2017A Bonds to such project.
MEMO
TO: KIRK MCDONALD, CITY MANAGER
FROM: BLAKE TORBECK, AEM FINANCIAL SOLUTIONS
SUBJECT: REMAINING PROCEEDS FROM THE 2017A GO BONDS (CITY HALL AND POLICE FACILITY PROJECT)
DATE: 10/4/2021
BACKGROUND
In 2017 a capital improvement plan, which included the construction of a new city hall and police station, was
approved by the majority of the City Council.
With the above‐mentioned approval, in December of 2017 the City issued $18,435,000 in General Obligation
Capital Improvement Bonds for the construction of a new police station and city hall. On the day of sale, the
City accepted a premium on the bonds which provided additional funds for the project. At the time the project
commenced, the City also had $600,000 saved in the city hall capital fund. These funds remain intact and
available for future equipment replacement or facility improvements.
At the end of September of 2021, approximately $1,269,000 of the 2017 bond proceeds remained. A portion of
this balance will be used to reimburse the original city hall capital fund for future equipment replacement or
facility improvements, pay final costs on the city hall security measures, technical improvements to meeting
rooms, a sign for the council chambers and cubicles and computers for the police department. Staff estimates
that $400,000‐$500,000 of the proceeds will remain and require action by the City Council to redistribute.
At the City’s request, AEM requested the opinion of bond counsel regarding options for utilizing the remaining
proceeds.
Jennifer Hanson of Dorsey & Whitney, LLP. indicated that the City may use the remaining proceeds for debt
service on the 2017A bonds. In addition, the City may use the proceeds on any other public use authorized by
law and approved by resolution.
The original capital improvement plan from 2017 did not include the 2021 public works facility improvements
project. In May of 2021, a contract was awarded to Rochon Corporation for construction of the first phase of
improvements at the public works facility in the amount of $2,314,000.
To utilize the proceeds for the public works facility project, a public hearing will be needed to approve a new
capital improvement plan that includes the facility.
2
At the August 16, 2021 City Council workshop both scenarios mentioned above, paying down the debt service
for the 2017A bonds or conducting a public hearing and directing those funds to be used for the public works
facility improvement projects, were presented to the Council. At that time, the majority of the Council was in
agreement with using the unspent bond proceeds for the public works facility improvement project.
RECOMMENDATION
City Council approve the attached resolution calling for a public hearing to further discuss their preferred
approach for utilization of any unspent bond proceeds from the 2017A General Obligation Capital
Improvement bonds at the public hearing and authorize staff to take the appropriate steps to execute such
plans.
City Council approve updated capital improvement plan which includes the public works facility project.
Staff recommends utilizing the unspent bond proceeds to free up resources for the public works facility project;
options are further explored below.
If it is preferred to use the proceeds to pay for the public works facility improvement project, city staff will work
with bond counsel to prepare for the public hearing. In addition, a transfer resolution will be proposed to move
the money from the city hall capital fund to the public works facility capital fund.
If it is preferred to use the proceeds to pay debt service, a transfer resolution will be proposed to move the
money from the city hall capital fund to the 2017A debt service fund. The Council may elect to use the unspent
proceeds to reduce the 2022 levy on the 2017A bonds.
To avoid a levy increase in the subsequent year when the debt service levy returns to normal, the Council may
consider adding a one‐time levy for the public works facility project in the same amount of the debt service levy
reduction.
Assessor's Estimated Market Value 2,257,016,100
Multiply by 3% 0.03
Statutory Debt Limit 67,710,483
Less: Debt Paid Solely from Taxes (23,370,000)
Less: Proposed Bond Issue(s) 0
Unused Debt Limit 44,340,483
Assessor's Estimated Market Value 2,257,016,100
Multiply by .16% 0.0016
CIP Act Debt Service Limit 3,611,226
Less: Existing Debt Service Subject to the Limit (1,602,000)
Less: Proposed CIP Bond Issue 0
Unused Debt Service Limit 2,009,226
2021 Public Works Addition 2,508,280$
2022 None Anticipated -$
2023 None Anticipated -$
2024 None Anticipated -$
2025 None Anticipated -$
TOTAL 2,508,280$
I:\RFA\P&R\Central Garage\2021\Parks Toro Sand Pro\10.1 ‐ Q & R 2021 Toro Sand Pro 5040 for Parks.docx
Request for Action
October 11, 2021
Approved by: Kirk McDonald, City Manager
Originating Department: Parks & Recreation
By: Susan Rader, Director
Agenda Title
Resolution authorizing the purchase of equipment and appropriation of funds in the amount of $32,413.81
for the purchase of a 2021 Toro Sand Pro 5040 from MTI Distributing
Requested Action
Staff requests that the City Council approve a resolution authorizing the purchase of a 2021 Toro Sand Pro
5040 from MTI Distributing for $32,413.81.
Policy/Past Practice
The city develops a ten‐year capital improvement program (CIP) for capital equipment. Each year the CIP is
reviewed, updated, and extended for another ten‐year period. The replacement of a Toro Workman (Unit
#218) is included in the 2021 CIP.
Background
The current thirteen‐year‐old 2008 Toro Workman is a vital piece of equipment for the Parks department.
This ballfield drag vehicle is exclusively used for ballfield maintenance and keeps baseball and softball
infields playable and safe by breaking up formed clumps, and leveling and smoothing the playing surface.
New Toro Workman’s no longer have the capability of housing a factory ballfield drag, so staff looked at other
options. The Streets/Parks Supervisor, along with staff who perform ballfield maintenance, tested and rated
different models of ballfield drag vehicles. Of those tested, the Toro Sand Pro 5040 was the preferred vehicle and
would replace the city’s existing thirteen‐year‐old Toro Workman.
Staff is recommending use of the purchasing opportunity provided through the State of Minnesota
Cooperative Purchasing Venture (CPV) to purchase the Toro Sand Pro 5040. MTI Distributing has been
awarded Contract No. 188861 under the CPV.
Funding
The total purchase price for the 2021 Toro Sand Pro 5040 is $32,413.81. The current vehicle replacement fund
has $28,414.71 dedicated for this vehicle replacement, leaving a shortfall of $3,999.10.
MTI Distributing has offered a $2,500 trade‐in value on the old Toro Workman. Staff is recommending
selling the old machine to the Golf Course for the $2,500 trade‐in value. This leaves a balance of $1,499.10,
which would come from the vehicle replacement reserves fund.
Attachments
Resolution
Quotation from MTI Distributing
Central Garage Supervisor Memorandum
Agenda Section
Ordinances &
Resolutions
Item Number
10.1
City of New Hope
Resolution No. 2021‐
Resolution authorizing the purchase of equipment and appropriation of funds in the amount of $32,413.81 for
the purchase of a 2021 Toro Sand Pro 5040 from MTI Distributing
WHEREAS, the city of New Hope prepares a ten‐year capital improvement program (CIP) as a guiding
document for equipment acquisition and improvement projects to assist with preparation of each
annual operating budget; and,
WHEREAS, the CIP is not formally adopted as a budget document, nor does it authorize the acquisition of
individual equipment and/or projects listed therein; and,
WHEREAS, staff recommends the purchase of a 2021 Toro Sand Pro 5040 from MTI Distributing; and,
WHEREAS, funds for this equipment are available within the Central Garage Equipment Replacement Fund
and Central Garage Equipment Replacement Reserves Fund.
NOW, THEREFORE BE IT RESOLVED by the City Council of the city of New Hope, Minnesota that the
appropriation of $32,413.81 from the Central Garage Equipment Replacement Fund and
Equipment Reserves Fund for payment to MTI Distributing for a 2021 Toro Sand Pro 5040 is
hereby authorized.
Adopted by the City Council of the City of New Hope, Hennepin County, Minnesota, this 11th day of October,
2021.
________________________________
Mayor
Attest: _________________________________
City Clerk
MTI Distributing
Equipment Proposal
September 27, 2021
City of New Hope Expiration Date:10/11/2021
Qty Model
Number Description Unit Price Extended Price
1 08745 Sand Pro 5040 $17,670.85 $17,670.85
1 08712 Front Lift Frame Assembly $1,586.68 $1,586.68
1 08766 Sport Field Edger $3,303.17 $3,303.17
1 08838 Midmount Toolbar System $1,295.77 $1,295.77
1 08761 QAS Nail Drag $1,204.28 $1,204.28
1 08762 QAS Flex Groomer Kit $865.67 $865.67
1 130-7852 Manual Drag Mat $1,115.41 $1,115.41
1 08783 Front and Rear Remote Hydraulic Kit $2,374.15 $2,374.15
2 119-6898 valve $75.16 $150.32
1 LB 100-5040 Front Mount Lip Broom For SP 5040 $2,847.50 $2,847.50
Equipment Total $32,413.81
6.875% Sales/Use Tax Exempt
Total $32,413.81
Quote is valid for 14 days
Net 30 Terms with qualified credit
New Toro commercial equipment comes with a two-year manufacturer warranty
Equipment delivery at no additional charge
All commercial products purchased by a credit card will be subject to a 2.5% service fee.
Thank you for the opportunity to submit this quote. If you have any questions, please do not hesitate in contacting us.
Larry Gorman Karen Wangensteen
Outside Sales Representative Inside Sales Representative
612-877-0830 763-592-5643
MTI Distributing, Inc. • 4830 Azelia Avenue N. #100 • Brooklyn Center, MN 55429
MINNESOTA STATE CONTRACT - CONTRACT 188861
TOTALS
Memorandum
To: Bernie Weber‐Public Works Director
From: Bill Robberstad‐Central Garage Supervisor
Date: September 24, 2021
Subject: Purchase of a Toro Sandpro 5040 Ballfield Drag Vehicle
Staff is recommending the city purchase a Toro Sandpro 5040 from MTI Distibuting in the amount
of $32,413.81.
The 2021 capital improvement program (CIP) includes the purchase of a ballfield drag vehicle (Toro
Sandpro 5040) to replace the city’s existing thirteen‐year‐old Toro Workman (unit #218). The Toro
Workman is a vital piece of equipment in the Public Works fleet of equipment. The ballfield drag
vehicle is exclusively used for ballfield maintenance. The vehicle keeps baseball and softball infields
playable and safe by breaking up formed clumps, and leveling and smoothing the playing surface.
The current production Toro Workman no longer has the capability of housing a factory ballfield
drag. Therefore, other options were sought. The Parks/Streets supervisor, along with staff that
perform ballfield maintenance, tested and rated different models of ballfield drag vehicles. Of those
tested, the Toro Sandpro 5040 was the preferred vehicle, of the different models available.
Staff is recommending that the city utilize a cooperative purchasing opportunity provided through
State of Minnesota Cooperative Purchasing Venture (CPV) to purchase the new ballfield drag. MTI
Distributing has been awarded Contract No. 188861 under the CPV.
The 2021 CIP has $28,414.71 in the replacement reserve fund for the purchase of this equipment.
The cost of the Toro Sandpro 5040 is $32,413.81. The MTI Distributing has offered $2500.00 trade in
value on the old Toro Workman. Therefore, I recommend internally selling the old Toro Workman
to the City of New Hope Golf Course for the Trade in value of $2500.00, leaving a balance of
$1499.10, which would come from the vehicle replacement reserves.
S:\October 11, 2021 Council Meeting\12.1 Q ‐ Upcoming Events.docx
Request for Action
October 11, 2021
Approved by: Kirk McDonald, City Manager
Originating Department: City Manager
By: Kirk McDonald, City Manager
Agenda Title
Exchange of communication between members of the city council
Upcoming meetings and events:
Oct. 12 7:30 a.m. – District 281 Government Advisory Council Meeting
No Citizen Advisory Commission Meeting
Oct. 13 6:30 p.m. – West Metro Fire‐Rescue District Board Meeting at Station #3, 4251 Xylon
Avenue North
Oct. 14 12:30 p.m. – Shingle Creek Watershed Management Commission Meeting at Brooklyn
Park or Virtual
Oct. 18 6/6:30 p.m. – City Council Work Session
Oct. 20 11 a.m. – North Metro Mayors Operating Committee – Hybrid Meeting
Oct. 21 8:30 a.m. – Bassett Creek Watershed Management Commission Meeting at Plymouth
Maintenance Facility
Oct. 25 7 p.m. – City Council Meeting
Agenda Section
Other Business
Item Number
12.1