5.1. SR 07-17-2006
City of Elk River
REQUEST FOR ACTION (EDA & Council)
Agenda Section Meeting Date
.t\dministration T ul r 17, 2006
Item Description
Consider Financing )1vfC.L"\ Facility Througll General Obligation
Bonds issued by the EDi\/Consider ED.L'\. Resolution Calling for an
Election on tile issuance of $12,000,000 of General Obligation
Bonds for tile Constluction of a ThIC1\/ Consider City Resolution
Calling for an Election on Pledging tlle City's Full Faidl and Credit
in Resources to $12,000,000 bonds to be issued by the Economic
Devela tnent .L\utlloritv for the Ci i of Elk Ri,Ter
Item Number
5.1.
Prepared by
Loxi ohnson, Ci r Administrator
Reviewed by
Introduction
TIle city and l.T1\i1C.L\ hav'e been \vorking together refining a stlucture to allo\v tlle City to partially
finance the consuuction of a l'l\ICj\ if the ,Toters approve sucll action. .L"\t the July 10, 2006, City
Council meeting, staff \vas directed to get additional legal input from I(ennedy and Gra,Ten on
tllls project. City Attorney, Peter Beck llas been \vorking \Vitll Steve Bubul of I<.ennedy & Graven
on this issue. i\s a result, a ne\v option to finance the r1vlC~A is being presented to the Council
and ED~A.. LTnder tlle ne\v proposal, dle EDi\ \vould become tile \'lvlCA's partner in tllls project
instead of tlle City. This stlucture potentially alle-v.iates most, if not all, of tlle legal issues
associated \vith tlle previous management contract concept.
Discussion
.L~ttaclled is a memo from dle city's bond counsel, tvlary Ippel, detailing the ne\v proposal for
financing tlus project. In sununary, dle YNIC_A \vould be financed througll the issuance of
General Obligation Bonds tlUOUgll tlle ED.L~ upon ,Toter appro'val. The EDA \vould le,TY for the
paYlnent of tlle bonds and dle EDi\ \vould enter into a lease \vidl the ThICA.
If tlle ED.L~ concurs \vith serving in this capacity, dle Council may act on the resolution calling for
tlle election. There llas been additional discussion about tlle \vording of the question so the
Council sllould re'Tie\v that again before taking action. i\lternate language is suggested in the last
paragraph of 1v1s. Ippel's memo.
-L~dditionally, Peter Beck prepared a draft of the proposed 1vlemorandum of Understanding
bet\veen the ED.L~ and YlvICA that is attaclled for your re,rie\v. TIus 11as not been re,rie\ved by
tlle \'1\IC_A. Because a lease \vill no\v be entered into instead of a management contract, some of
tlle prov'isions are different froln tllose discussed at tlle July 10 meeting. The term is proposed to
be 30 years \Vitll a ten year \vritten notice to terminate unless it is terminated for cause. The
\TrvIC.1'\. \vill be responsible for alllnaintenance and capital impro,rements. Lease payments \vill be
one-tlilld of tlle debt plus tlle cost of property insurance for tlle term of tlle bonds and tile cost
of property insurance tllereafter.
S:\Council\Lori\200G\ 'x1vICA Bond Resolution.doc
Attachments
· IvIemorandum from NIary Ippel, Briggs and 1vlorgan.
. Draft 1tfemorandum of Understanding bet\veen tlle Elk River Economic Dey~elopment
.LL\utllOl1.ty and tlle '{J\!fC1-\..
. City Resolution Calling for an Election on Pledging the City's Full Faith and Credit in
Resources to $12,000,000 bonds to be issued by tlle Economic De'velopment .LL\uthority
for tlle City of Elk River.
ED-L\ Resolution Calling for an Election on the issuance of $12,000,000 of General Obligation
Bonds for t:lle Construction of a ThICI\.. TIlls resolution "\vill be handed out at the meeting on
Nfonday nigIlt.
EDA Action Requested
TIle ED_A is asked to consider Resolution Calling for an Election on tlle issuance of $12,000,000
of General Obligation Bonds for tlle Constluction of a Y1vICA
City Council Action Requested
City Council action if tlle ED.L\ appro\res tlle abo\le resolution is to consider the resolution calling
for an election on pledging tlle city's full faith and credit in resources to $12,000,000 bonds to be
issued by tlle Economic De~leloplnent AutllOrity for the City of Elk Ri\Ter.
Council Action
fvfotlon by _
Second by
'Tote
Follow Up
S:\Council\Lori\2006\ \J\lCA Bond Resolution.doc
BRIGGS AND MORGAN
MEMORANDUM
TO:
Elk River City Council
FROM:
Mary Ippel
DATE:
July 13, 2006
RE:
YMCA Project
The City of Elk River and The Young Men's Cluistian Association of Metropolitan
Minneapolis (the "YMCA") are proposing that a ymca facility be constructed by the City and
leased to and operated by the YMCA. The City has indicated that it wants to obtain voter
approval for the issuance of bonds for the ymca facility. If approved by the electorate, general
obligation bonds oftlle city would be issued to finance the facility and the City would construct
the facility. It is proposed by the City that the ymca facility would be leased to the YMCA and
the YMCA \vould pay annual net rentals sufficient to pay 1/3 of the annual debt service of the
bonds. However, Mimlesota Statutes, Section 471.191, Subd 1 authorizes a city to operate a
program of public recreation and playgrounds and to lease recreational facilities to nonprofit
corporations, but any such lease shall require the lessee to pay net rentals sufficient to pay the
principal, interest, redemption premiums, and other expenses when due with respect to all city
bonds issued for the acquisition or betterment of the facilities, less such amount of taxes and
special assessments, if any, as may become payable in any year of the term of the lease, on the
land, building, or other facilities leased. Unfortunately, this statutory provision conflicts with the
City's proposal of leasillg the facilities to the YMCA for 1/3 of the annual debt service. Instead
of a lease arrangement, it was proposed that the City enter into a Management Agreement with
the YMCA, but certain provisions of a Management Agreement will not meet the objectives of
the City and the YMCA.
I am pleased to describe an alternative approach that may better meet the objectives of the City
with respect to the YMCA project. The alternative approach is to make the ymca facility a
project of The Economic Development Authority of the City of Elk River (the "EDA"). lfthe
facility is an EDA facility as opposed to a city facility the provisions of Section 471.191 do not
apply. The laws applicable to the EDA do not conflict with the City's goals with respect to the
ymca facility and the EDA can lease the facility to tIle YMCA and the YMCA can pay net
relltals sufficient to pay 1/3 of the annual debt service on the bonds, which is the desire of the
City and the YMCA. As an EDA project, the EDA is authorized to construct the facility, issue
bonds to finance the facility and lease the facility to the YMCA on terms and rental payments
that the EDA deems appropriate. The issuance of General Obligation Bonds by the EDA is
governed by Minnesota Statutes, Section 469.102. This statutory provision provides as follows:
. The EDA may issue general obligation bonds in the principal amount authorized by two-
thirds majority vote of its City's Council.
BRIGGS AND MORGAN
. The bonds can be isslled for any purposes in sections 469.090 to 469.108.
. The bonds must be in the amount and form and bear interest at the rate set by the City
Council.
. The last maturity of the bonds can not be more than 30 years from the date of their
Issuance.
. The bonds must be secured by the pledge of the full faith, credit, and resources of the
City if the City specifically authorizes the EDA to do so.
. The City must decide whether the issuance of the bonds by the EDA is proper and the
amount of bonds to be issued.
. The City shall give specific consent in an ordinance to the pledge of the City's full faith,
credit, and resources.
. The City can pledge the City's full faith, credit and resources only if approved by the
voters voting on the question of the City pledging it's full faith, credit and resources to the
EDA bonds.
. The taxes levied for the payment of the bonds are levied by the EDA rather than the City.
Assuming that the foregoing can be complied with, I see no reason why the City wouldn't
determine that the YMCA project should be undertaken by the EDA as opposed to the City. The
law applicable to econolnic development authorities gives the EDA the flexibility that was
missing in the laws that govern City recreational facilities.
I have prepared a resolution which is attached hereto which authorizes the EDA to issue
ge11eral obligation bonds in an amount not to exceed $12,000,000, authorizes the pledge of the
City's full faith, credit and resources to the EDA's bonds, determines that the issuance of the
b011ds by the EDA is proper and calls for an election on pledging the City's full faith credit and
resources to the payment of the EDA's bonds. I understand that there may be some changes
made to the description of the facility described in the ballot question. The City may want to
describe the project in the ballot question as the acquisition and betterment of a YMCA and
related recreational facilities. Please let me know the final determination as to the description of
the project and I will revise the ballot question accordingly.
tfy
2
DRAFT
MEMORANDUM OF UNDERSTANDING
This Memorandum ofUnderstandillg (this "Memoralldum") is made as of the _ day of
,2006, by alld between The Young Men's Christian Association of Metropolitan
Minneapolis, a Milmesota corporation ("YMCA") the City of Elk River ("City") and the
Economic Developnlent Authority in and for the City of Elk River ("EDA").
RECITALS
A. The City owns certain real property (the "Site") adjacent to Lake Orono located
within Elk River, Milll1esota. The EDA proposes to construct on said Site an EDA
owned building of approxiluately 51,000 square feet for the operation of a YMCA
(the "Building").
B. TIle EDA is illterested ill entering into a lease (the "Lease") with the YMCA,
whereby the YMCA will desigrl and the EDA will construct the Building, which
will then be leased by the EDA to YMCA for the operation of a YMCA.
C. The City will remain the owner of the land.
D. Tile EDA, with approval of the City for a Referenduln, will provide financing for
the Buildillg in an amount not to exceed $12 million. The YMCA will make lease
paynlents to the EDA in an amount equaling 1/3 of the annual cost of the fillancing.
E. The YMCA and the EDA will cause the desigrl and construction of the Building to
incorporate reasonable architectural appeal, quality building materials, and durable
finislles that cOlnply with City standards.
F. The YMCA will operate the Building using standard YMCA designed curriculum,
practices alld guidelines designed for youth, adults, and seniors associated with an
aquatics center, fitlless cellter, kids adventure zone, and gymnasiums.
G. The YMCA willllse memberships that elltitle members to services as a part of the
Inenlbership fee alld access to additional programs on a fee basis. The YMCA will
offer a package of services and programs similar to other suburban YMCAs. The
YMCA will also provide Elk River residents benefits such as a one-time waiver of
up to $79 of membership joinillg fee, periodic family events at a nOlninal cost and
four guest passes per household per year.
H. The YMCA will offer to the commullity who are not members, fee-based
progralll1ning SUCll as, but not limited to: senior programs, youth development
programs such as day/resident camping, swimming lessons, Youth and
Government, teen nights, NYPUM.
1. The YMCA shall be solely responsible for all programming at the YMCA, and all
interior and exterior lnaintenance and operation of the Building, including all
related staffing.
1
J. The YMCA will have a volunteer board made of community members and leaders.
K. This Memorandum is dependent on the City, the EDA and the YMCA determining
that it is feasible to financially meet the programming needs of both entities and
provide cash flow adequate to operate, staff, maintain and make capital
improvenlents to the Building, and to provide the services and programs intended.
NOW, THEREFORE, ill C011sideration of the foregoing recitals, the parties hereto agree as
follows:
I. TIle EDA and the YMCA will enter into a Lease pllrsuant to which the YMCA will desigt1
alld the EDA will construct an approximately 51,000 square foot Building which will be
leased to the YMCA for tIle operation of a YMCA in accordance with the following terms
alld conditiollS:
A. Design and Construction. The YMCA and tIle EDA will cause the design and
construction of the Building to incorporate reasonable architectural appeal, quality
building materials, and durable finishes that comply with City standards.
B. Programming. The YMCA will operate the Building using standard YMCA
designed curriculum, practices and guidelines designed for youth, adults, and
seniors associated with an aquatics center, fitness center, kids adventure zone, and
gymnasiums. The YMCA will use nlemberships that entitle members to ser\rices as
a part of the membership fee alld access to additional programs on a fee basis. The
YMCA will offer a package of services and programs similar to other suburban
YMCAs. The YMCA will also provide Elk River residents benefits such as a
one-time waiver of up to $79 ofmembersIlip joining fee, periodic family events at a
110minal cost and four guest passes per household per year. The YMCA will offer
to the conmlullity who are not members, fee-based programming SllCh as, but not
limited to: senior progranls, youth development programs such as day/resident
camping, swimmillg lessons, Youth and Government, teen nights, NYPUM. The
YMCA shall be solely responsible for all programming at the YMCA, and all
interior and exterior nlaintellance and operatioll of the Building, including all
related staffing. The YMCA will have a volunteer board made of community
menlbers and leaders.
C. Lease Term. The initial term of the Lease sllall be 30 years froIll the date of
COll1ll1ellCement of the Lease. At the expiration of the initial term, the lease shall
remain in effect unless and until terminated by either party as provided below.
D. Lease Payments. The YMCA will make lease payments to the EDA in an amount
equal to the amount required to amortize one-third (1/3) of the total amount
financed by the EDA. Once the EDA's debt on the Building has been repaid in full,
the lease payments shall be $_ per year.
E. Managelne11t and Operation. The YMCA will assume all management and
financial responsibility of operating and maintaining the YMCA, including related
staffing. The YMCA will collect all membership fees and program fees and pay all
2
costs of operations for the YMCA, including the lease payments to the EDA. Any
shortages between tIle amounts collected and paid will be funded by the YMCA.
F. Maintenance and Capital Improvements. YMCA shall be responsible for
maintaining the Building to an appropriate standard for such a facility, including
making all capital improvements necessary to ensure the structural integrity of the
building and to support any changes in programming necessary to keep the
programming current and consistent with the programming at other YMCAs
operated by the YMCA.
G. Termination.
1. At Elld of Initial Term. The Lease may be tenninated by either party by
providing 10 years written notice to the other party beginning on the 21st
anniversary date of the agreement and on each anniversary date thereafter.
2. For Cause. The EDA shall have the right to terminate the Lease for cause,
upon 90 days' written notice, with tIle opportunity to cure, if:
a. The YMCA fails to Inake lease payments;
b. The operation of the YMCA, including the fees charged, is 110t
consistent with the standard YMCA curriculum, practices,
guidelines, and fees charged for other YMCAs operated by the
YMCA;
c. The YMCA ceases operations; or
d. YMCA fails to maintain the Building.
H. Access. The City will be respollsible for providing access to tile site for the YMCA
Building.
II. Tile YMCA's Hours of Operation:
A. The YMCA may operate from 5 a.m. until 11 p.m. Monday through Sunday.
B. Holidays:
1. The YMCA will be closed 011 Christmas and Easter.
III. Risk Management Principles
A. The YMCA will carry casualty and liability insurance customary for such a facility.
111surance policy will include the City and EDA as named insureds.
B. The City and EDA as Owners \vill can.y casualty, property and liability insurance
as the City and EDA determine necessary. The insurance will include the YMCA
3
as named insured. The City and EDA's costs for insurance shall be added to the
Lease payments due from the YMCA.
This dOCllnlent represents a framework of principles expressing the current understanding between
both parties and does not constitute a legally binding agreement. The parties agree to utilize the
principles expressed in this document as a framework for all subsequent legally binding
docull1ents between the City, EDA and the YMCA.
CITY OF ELK RIVER
By:
Its:
ECONOMIC DEVELOPMENT AUTHORITY IN AND FOR
THE CITY OF ELK RIVER
By:
Its:
YOUNG lVIEN'S CHRISTIAN ASSOCIATION OF
METROPOLITAN MINNEAPOLIS
By:
Harold Mezile, Jr.
Its: President and CEO
GP:1972859 v2
4
EXTRACT OF MINUTES OF MEETING OF
THE CITY COUNCIL OF THE
CITY OF ELK RIVER, MINNESOTA
HELD: July 17, 2006
Pursuant to due call and notice thereof, a regular meeting of the City Council of the City
of Elk River, Minnesota, was duly called and held at the City Hall on July 17, 2006, at 6:30
o'clock p.m.
The follo\villg members were present:
alld tIle following were abseIlt:
illtroduced the following resolution aIld moved its adoption:
Menlber
RESOLUTION #06-
RESOLUTION CALLING FOR AN ELECTION ON PLEDGING THE CITY'S
FULL FAITH AND CREDIT AND RESOURCES TO $12,000,000 OF BONDS TO BE
ISSUED BY THE ECONOMIC DEVELOPMENT AUTHORITY OF THE CITY OF ELK
RIVER
BE IT RESOLVED by the City Council (the "Council") of the City of Elk River,
Mimlesota (tile "City"), as follows:
1. Project. This Council has iIlvestigated the facts and does hereby find, determille
and declare that it is proper, necessary and expedient that the Economic Development Authority
of tile City of Elk River (the "EDA") isslle bOllds in an amOllut not to exceed $12,000,000
secured by the pledge of the City's full faith, credit and resources to defray the expense of the
acqllisition alld bettennent of a commUllity centerlYMCA.
2. Election. TIle propositioll of pledging the City's full faith, credit and reSOllrces to
tIle bonds of the EDA shall be submitted to the qualified electors of the City at a special election
to be lleld on Septenlber 12, 2006. Said election shall be 11eld between the 110urs of7:00 a.m.
alld 8:00 p.lTI. Tile polling places for said election will be as follows:
Precinct Polling Place Address
1A City Hall 13065 Orono Parkway
1B United Methodist Clll1rch 1304 Main Street
2A River of Life Church 21695 Elk Lake Road
2B Meadowvale School 12701 Elk Lake Road
3A Ivan Sand School 1232 School Street
3B Lion's Park Center 1104 Lion's Park Drive
4A Twin Lakes Christian 18912 Twin Lakes Road NW
Assemblies of God Church
4B The Church of 51. Andrew 566 4th Street
3. Notice and Ballot. The Clerk is hereby authorized and directed to post and
pllblish according to law a Notice of Special Election and Ballot, and to prepare ballots for the
questiol1 for use at said election, which notice and ballot shall be in substantially the following
fOffilS:
2
CITY OF ELK RIVER, MINNESOTA
NOTICE OF SPECIAL ELECTION
Tuesday, September 12, 2006
NOTICE IS HEREBY GIVEN tIlat a special election will be held in and for the City of
Elk River, Sherburne County, MilU1esota, on September 12, 2006 between the hours of7~OO a.m.
and 8:00 p.nl., at which time the following question will be submitted:
"Sllall the City of Elk River, Minnesota, be authorized to. pledge its full faith,
credit and resources to bonds to be issued by the Economic Development
Authority of tile City of Elk River in an amount not to exceed $12,000,000 to
defray the expense of the acquisition and betterment of a community
centerNMCA?
The polling places for said election will be the following locations within the City, at
which places all of the qualified electors of the City residing within such precinct may cast their
ballots:
Precinct
1A
IB
2A
2B
3A
3B
4A
4B
Pollillg Place
City Hall
United Methodist Church
River of Life Church
Meadowvale School
Ivan Sand School
Lion's Park Cellter
Twin Lakes Clrristiall
Assemblies of God ChuTeIl
The Church of St. Andrew
Dated: July 17,2006.
Address
13065 Orono Parkway
1304 Main Street
21695 Elk Lake Road
12701 Elk Lake Road
1232 School Street
1104 Lion's Park Drive
18912 Twin Lakes Road NW
566 4th Street
BY ORDER OF THE CITY COUNCIL
City Clerk
3
CITY QUESTION BALLOT
SPECIAL ELECTION
CITY OF ELK RIVER
SHERBURNE COUNTY
MINNESOT A
September 12, 2006
INSTRUCTION TO VOTERS: If you wish to vote in favor of the following proposition,
conlpletely fill in tIle oval ~ next to tIle word "YES". If you wish to vote against the
following proposition, completely fill in the oval ( ) next to the word "NO".
CITY QUESTION NO.1:
ACQUISITION AND BETTERMENT OF COMMUNITY
CENTER/YMCA AND RELATED FACILITIES.
"Shall the City of Elk River, Minnesota, be authorized to pledge its
full faith, credit and resources to bonds to be issued by the
Economic Development Allthority of the City of Elk River in an
amount 110t to exceed $12,000,000 to defray the expense of the
acquisition and betterment of a community centerNMCA?
The lllaximum amount of increased levy as a percentage of market value is
%.
Tile maximllill amount that would be raised by the new referendum tax rate in the first
year if it were to be levied is $
NOTICE: BY VOTING "YES" ON THIS BALLOT QUESTION,
YOU ARE VOTING FOR A PROPERTY TAX INCREASE. The
Economic Development Authority of the City of Elk River anticipates
entering into a lease with The Young Men's Christian Association of
Metropolitan Minneapolis (the "YMCA") pursuant to which the YMCA
will pay aIle-third of the debt service of the bonds to be issued by the
Economic Development Authority of the City of Elk River.
YES
(-)
(-)
NO
4
4. Election Judges. Election judges will be appointed at least twenty-five (25) days
prior to said election.
5. Manner~ Canvass. Said election shall be held and conducted in accordance with
the statutes of the State of Minnesota applicable, and the Council shall meet as required by law
for the purpose of canvassing said election and declaring the results thereof.
TIle illotion for the adoption of tIle foregoing resolution was duly seconded by member
and, after full discussion thereof and upon a vote being taken thereon, the
followillg voted in favor tllereof:
and the following voted against the same:
Whereupon tile resolutioll was declared duly passed and adopted.
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STATE OF MINNESOTA
COUNTY OF SHERBURNE
CITY OF ELK RIVER
I, the undersigned, being the duly qualified and acting Clerk of the City of Elk River,
Mimlesota, DO HEREBY CERTIFY that I have carefully compared the attached and foregoing
extract of nlinutes with the original minutes of a meeting of the City Council duly called and
held 011 the date therein indicated, which are on file and of record in my office, and the same is a
full, true and correct transcript therefrom insofar as the same relate to a special election on the
pledge of the City's full faith, credit and resources to bonds to be issued by the Economic
Developlnent Autholity of tIle City of Elk River.
WITNESS Iny l1and as such Clerk 011 July 17,2006.
City Clerk
6
S11erbume COUllty Auditor
[ address]
Dear County Auditor:
[City Letterhead]
Pursuant to Milli1esota Statutes, Section 205.16, Subdivision 4, this letter is to formally
advise YOlI that the City of Elk River, MilU1esota, will be holding a special city election on
Septeluber 12, 2006, between tIle hours of 7:00 a.m. and 8:00 p.m. at the following polling
places:
Precinct
1A
IB
2A
2B
3A
3B
4A
4B
Polling Place
City Hall
United Methodist Church
River of Life Church
Meadowvale Sellool
Ivan Salld School
Lion's Park Center
Twin Lakes Christian
Assenlblies of God Church
The Church of St. Andrew
Address
13065 Orono Parkway
1304 Main Street
21695 Elk Lake Road
12701 Elk Lake Road
1232 School Street
1104 Lion's Park Drive
18912 Twin Lakes Road NW
566 4th Street
TIle follo\ving question \viII be submitted to the voters at that election:
"Shall tIle City of Elk River, Minnesota, be authorized to pledge its full faith,
credit and resources to bonds to be issued by the Economic Development
Authority of the City of Elk River in an amount not to exceed $12,000,000 to
defray tIle expense of the acquisition and betterment of a community
center/YMCA?
Please see attachment for the final ballot layout.
Very truly yours,
CITY OF ELK RIVER, MINNESOTA
By
Its City Clerk
riJandoxJ r;t {!crt S /,
1!r7!Otp
EXTRACT OF MINUTES OF MEETING OF
THE CITY COUNCIL OF THE
CITY OF ELK RIVER, MINNESOTA
HELD: July 17, 2006
Pursuant to due call and notice thereof, a regular meeting of the City Council of the City
of Elk River, Minnesota, was duly called and held at the City Hall on July 17,2006, at 6:30
o'clock p.m.
The following members were present:
and the following were absent:
Member
introduced the following resolution and moved its adoption:
RESOLUTION #06-
RESOLUTION CALLING FOR AN ELECTION ON PLEDGING THE CITY'S
FULL FAITH AND CREDIT AND RESOURCES TO $12,000,000 OF BONDS TO BE
ISSUED BY THE ECONOMIC DEVELOPMENT AUTHORITY OF THE CITY OF ELK
RIVER GENERAL OBLIGATION BONDS
BE IT RESOLVED by the City Council (the "Council") of the City of Elk River,
Minnesota (the "City"), as follows:
1. Proiect. This Council has investigated the facts and does hereby find, determine
and declare that it is proper, necessary and expedient that the Economic Development Authority
of the City of Elk River (the "EDA") issue bonds in an amount not to exceed $12,000,000
secured by the pledge of the City's full faith, credit and resources to defray the expense of the
acquisition and betterment of a community recreational facility to be owned by the EDA and
leased to the YMCA of Metropolitan Minneapolis ("YMCA").
2. Election. The proposition of pledging the City's full faith, credit and resources to
the bonds of the EDA shall be submitted to the qualified electors of the City at a special election
to be held on September 12,2006. Said election shall be held between the hours of7:00 a.m.
and 8:00 p.m. The polling places for said election will be as follows:
Precinct
lA
IB
2A
2B
3A
3B
4A
4B
Polling Place
City Hall
United Methodist Church
River of Life Church
Meadowvale School
Ivan Sand School
Lion's Park Center
Twin Lakes Christian
Assemblies of God Church
The Church of St. Andrew
Address
13065 Orono Parkway
13 04 Main Street
21695 Elk Lake Road
12701 Elk Lake Road
1232 School Street
1104 Lion's Park Drive
18912 Twin Lakes Road NW
566 4th Street
3. Notice and Ballot. The Clerk is hereby authorized and directed to post and
publish according to law a Notice of Special Election and Ballot, and to prepare ballots for the
question for use at said election, which notice and ballot shall be in substantially the following
forms:
2
CITY OF ELK RIVER., MINNESOTA
NOTICE OF SPECIAL ELECTION
Tuesday, September 12,2006
NOTICE IS HEREBY GIVEN that a special election will be held in and for the City of
Elk River, Sherburne County, Minnesota, on September 12,2006 between the hours of7:00 a.m.
and 8:00 p.m., at which time the following question will be submitted:
"Shall the City of Elk River, Minnesota, be authorized to pledge its full faith,
credit and resources to bonds to be issued by the Economic Development
Authority of the City of Elk River in an amount not to exceed $12,000,000 to
defray the expense of the acquisition and betterment of a community recreational
facility owned by the Authority and leased to the YMCA?
The polling places for said election will be the following locations within the City, at
which places all of the qualified electors of the City residing within such precinct may cast their
ballots:
Precinct
1A
1B
2A
2B
3A
3B
4A
4B
Polling Place
City Hall
United Methodist Church
River of Life Church
Meadowvale School
Ivan Sand School
Lion's Park Center
Twin Lakes Christian
Assemblies of God Church
The Church of S1. Andrew
Dated: July 17, 2006.
Address
13065 Orono Parkway
1304 Main Street
21695 Elk Lake Road
12701 Elk Lake Road
1232 School Street
1104 Lion's Park Drive
18912 Twin Lakes Road NW
566 4th Street
BY ORDER OF THE CITY COUNCIL
/s/ Joan Schmidt
City Clerk
3
CITY QUESTION BALLOT
SPECIAL ELECTION
CITY OF ELK RIVER
SHERBURNE COUNTY
MINNESOTA
September 12,2006
INSTRUCTION TO VOTERS: If you wish to vote in favor of the following proposition,
compietely fill in the oval L-> next to the word "YES". If you wish to vote against the
following proposition, completely fill in the oval ( ) next to the word "NO".
CITY QUESTION NO.1:
ACQUISITION AND BETTERMENT OF COMMUNITY
RECREATIONAL FACILITY LEASED TO YMCA
"Shall the City of Elk River, Minnesota, be authorized to pledge its
full faith, credit and resources to bonds to be issued by the
Economic Development Authority of the City of Elk River in an
amount not to exceed $12,000,000 to defray the expense of the
acquisition and betterment of a community recreational facility
owned by the Authority and leased to the YMCA?
The maximum amount of increased levy as a percentage of market value is
%.
The maximum amount that would be raised by the new referendum tax rate in the first
year if it were to be levied is $
NOTICE: BY VOTING "YES" ON THIS BALLOT QUESTION,
YOU ARE VOTING FOR A PROPERTY TAX INCREASE. The
Economic Development Authority of the City of Elk River anticipates
entering into a lease with The Young Men's Christian Association of
Metropolitan Minneapolis (the "YMCA") pursuant to which the YMCA
will pay one-third of the debt service of the bonds to be issued by the
Economic Development Authority of the City of Elk River.
YES
(-)
( )
NO
4
4. Election Judges. Election judges will be appointed at least twenty-five (25) days
prior to said election.
5. Manner~ Canvass. Said election shall be held and conducted in accordance with
the statutes of the State of Minnesota applicable, and the Council shall meet as required by law
for the purpose of canvassing said election and declaring the results thereof.
The motion for the adoption of the foregoing resolution was duly seconded by member
and, after full discussion thereof and upon a vote being taken thereon, the
following voted in favor thereof:
and the following voted against the same:
Whereupon the resolution was declared duly passed and adopted.
Stephanie Klinzing, Mayor
ATTEST:
Joan Schmidt, City Clerk
5
STATE OF MINNESOTA
COUNTY OF SHERBURNE
CITY OF ELK RIVER
I, the undersigned, being the duly qualified and acting Clerk of the City of Elk River,
Minnesota, DO HEREBY CERTIFY that I have carefully compared the attached and foregoing
extract of minutes with the original minutes of a meeting of the City Council duly called and
held on the date therein indicated, which are on file and of record in my office, and the same is a
full, true and correct transcript therefrom insofar as the same relate to a special election on the
pledge of the City's full faith, credit and resources to bonds to be issued by the Economic
Development Authority of the City of Elk River.
WITNESS my hand as such Clerk on July 17,2006.
City Clerk
6
Sherburne County Auditor
[address]
Dear County Auditor:
[City Letterhead]
Pursuant to Minnesota Statutes, Section 205.16, Subdivision 4, this letter is to formally
advise you that the City of Elk River, Minnesota, will be holding a special city election on
September 12,2006, between the hours of7:00 a.m. and 8:00 p.m. at the following polling
places:
Precinct
1A
1B
2A
2B
3A
3B
4A
4B
Polling Place
City Hall
United Methodist Church
River of Life Church
Meadowvale School
Ivan Sand School
Lion's Park Center
Twin Lakes Christian
Assemblies of God Church
The Church of St. Andrew
Address
13065 Orono Parkway
1304 Main Street
21695 Elk Lake Road
12701 Elk Lake Road
1232 School Street
1104 Lion's Park Drive
18912 Twin Lakes Road NW
566 4th Street
The following question will be submitted to the voters at that election:
"Shall the City of Elk River, Minnesota, be authorized to pledge its full faith,
credit and resources to bonds to be issued by the Economic Development
Authority of the City of Elk River in an amount not to exceed $12,000,000 to
defray the expense of the acquisition and betterment of a community recreational
facility owned by the Authority and leased to the YMCA?
Please see attachment for the final ballot layout.
Very truly yours,
CITY OF ELK RIVER, MINNESOTA
By
Its City Clerk