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WK - March 24, 2015
ANL6 Y O F 6 j§!l 1685 CROSSTOWN BOULLVAKU N.w.-AN UUVLK, MINNLSU IA 55304 • (763) 755.5100 FAX (763) 755 -8923 • WWW.ANDOVERMN.GOV City Council Workshop Tuesday, March 24, 2015 Conference Rooms A & B 1. Call to Order — 6:00 p.m. 2. Discuss Wayside Horn at Crosstown Boulevard NW - Engineering 3. Discuss RFP /15 -22 /City Campus Expansion Master Plan — Engineering 4. Review Joint Powers Agreement & Discuss Possible Street Lights/1 1-25/Bunker Lake Blvd. NW from Crane St. NW to Jefferson St. - Engineering 5. Review Mayor /Council Emergency Management Roles - Fire 6. Review Past Council Goals and Discuss 2015 -2016 Council Goals 7. Discuss 2016 Budget Development Guidelines 8. 2015 General Fund Budget Progress Report 9. February 2015 City Investment Review 10. Other Business 11. Adjournment • ;`_L. � , , , r1 1685 CROSSTOWN BOULEVARD N.W. • ANDOVER, MINNESOTA 55304 • (763) 755 -5100 FAX (763) 755 -8923 • WWW.ANDOVERMN.GOV TO: Mayor and Council Members CC: Jim Dickinson, City Administrato FROM: David Berkowitz, Director of Public Mity Engineer SUBJECT: Discuss Wayside Horn at Crosstown Boulevard NW - Engineering DATE: March 24, 2015 It has been requested by a resident (Janine Palaia) to discuss with the City Council the number of to the Wayside Horn blows at the Crosstown Boulevard crossing when a train is transitioning onto the siding track. Ms. Palaia who lives northwest of the Crosstown Boulevard railroad crossing contacted me in late summer of 2014 with a concern that there was excessive blowing (20 -30 times) of the Wayside Horn at Crosstown Boulevard when a train comes through. Staff had been in contact with Ms. Palaia, BNSF and Railroad Controls who manufactures the horn to resolve the issue. A train traveling through the intersection without stopping or slowing for the siding track has a 7 horn blow before and through the intersection. The Wayside Horn was installed in 2008 at a cost of $172,000. There had been many complaints regarding the train whistle noise prior to the installation of the Wayside Horn. The horn was a feasible option to reduce the decibel level and focus the horn sound down the roadway corridor. Until this point the City has received very few complaints regarding the hom. Through the discussion with all parties it has been determined that the excessive horn blowing occurs when a train slows down to transition onto the siding track and the use of the siding track has become more frequent because increase in train traffic and the siding track is being used as a staging area to hold trains for when the North Town Rail Yard is at capacity. As trains approach the crossing and the siding track the trains needs to stop short of the crossing at which time the hom has already activated per federal requirements, the train stops and the train engineer gets off the train and manually switches the track to enter the siding track. Then proceeds through the crossing activating the hom again until the train crosses the intersection. David Johnson from BNSF has been invited to the Workshop to be included in the discussion. There are 3 options: Leave the Wayside Horn as is. Remove the Wayside Horn and go back to Train Whistle. Construct a Quiet Zone (QZ) which would require full signal replacement and roadway improvements at an estimate cost of $400,000 to $500,000 which would be City cost. Was estimated in 2007 at $369,000 for a QZ. Mayor and Council Members March 24, 2015 Page 2 of 2 ACTION REQUIRED The City Council is requested to discuss the Wayside Horn at Crosstown Boulevard and direct staff on how to proceed. Respectfully submitted,`'� David D. Berkowitz Cc: Janine Palaia (Email) David Johnson, BNSF (Email) 1685 CROSSTOWN BOULEVARD N.W. • ANDOVER, MINNESOTA 55304 . (763) 755 -5100 FAX (763) 755 -8923 • WWW.ANDOVERMN.GOV TO: Mayor and Council Members CC: Jim Dickinson, City Administrator FROM: David Berkowitz, Director of Pubh'&WUdrks/City Engineer SUBJECT: Discuss RFP /15 -22 /City Campus Expansion Master Plan - Engineering DATE: March 24, 2015 (9) The City Council is requested to review the attached request for Proposal (RFP) for the City Campus Expansion Master Plan, City Project 15 -22. In 2014 there was discussion with the City Council regarding expansion needs for Public Works and the Andover Community Center/YMCA. Council directed staff to work with a consultant to plan out the future expansion of the City Hall Campus to identify potential options and costs so that the site is planned out properly as expansion improvements are made. Attached is a draft RFP for review and discussion. Once the RFP is approved staff will begin the process of soliciting consultants to submit proposals and work through the timeline and deadlines identified in the RFP. BUDGETIMPACT Master planning for the City Campus has been identified in the City's 2015 -2019 Capital Improvement Plan with a total cost of $50,000 which is to be split between 2015 and 2016. ACTION REQUIRED The City Council is requested to review the attached RFP and provide comments. The final RFP will be brought back to the April 7, 2015 regular schedule City Council meeting for formal approval. Respectfully submitted, ) David D. Berkowitz Attach: Draft City Campus Expansion Master Plan RFP April 8, 2015 55304 • (76 3) 755 -5100 FAX (763) 755 -8923 • WWW.ANDOVERMN.GOV Subject: REQUEST FOR PROPOSALS City Campus: Public Works /Andover Community CenterNMCA Expansion Master Plan CITY IMPROVEMENT PROJECT NO. 15 -22 Dear Sir or Madam: The City of Andover Engineering Department is requesting proposals for the City Campus including but not limited to the following: Public Works Master Plan Expansion Andover Community Center/YMCA Master Plan Expansion The proposed project will plan facility and site expansion for the City Campus including but not limited to Public Works and Andover Community Center/YMCA. SCOPE OF WORK Purpose The City of Andover is searching for a consultant design team to provide a site master plan for facility and site expansion as identified above. The plan will align new capital projects for the City Campus. Background The City of Andover provides municipal services and recreational services from the City Campus to the entire community and also outside the community through the use of the Andover Community Center/YMCA. The Campus consists of the City Hall, Public Works Facility, Water Treatment Plant and the Andover Community CenterNMCA. The current Public Works Facility is at capacity and the Andover Community CenterNMCA has additional needs within the facility to fulfill community need. The City of Andover desires to produce a master plan that accommodates the current needs and future growth. Project Objectives The selected consultant design team will assist the City of Andover in the creation of a master plan that: ➢ Provides a strategic plan to guide future capital projects within the City Campus; specifically Public Works current and future needs and Andover Community Center/YMCA current and future needs and how these two facilities are laid out to work together within the space available. ➢ Create near term and long range plan and recommendations so that capital improvements as they are constructed can fall incrementally within the plan. Request for Proposal Page 2 of 4 Services required by the consultant are expected to include, but not limited to: 1.) Project management meetings with City of Andover staff and stake holders. Schedule meetings as follows: Kick -Off Meeting — Review site concepts with City staff and stake holders, review site conditions and design requirements and receive and /or request project information from the City. City will provide following information at the meeting: • Existing conditions site layout for the entire site and topography west of Tower Drive NW • Concept Plan (Expansion option for Public Works) • Current capital improvement plan as it relates to the City Campus • Progress Meeting — 2 Meetings to answer questions provide necessary direction, review documents, project schedule and receive feedback from City staff and stake holders. • Community Center Advisory Committee Meeting —1 Meeting to review progress and discuss ideas and options. This may occur between Progress Meeting 1 and Progress Meeting 2. • Final Meeting — Review deliverables and prepare for Public Meeting. • Public Meetings —Attend 2 City Council Workshops and 1 City Council Meeting. Presentations and discussion on various options of the Master Plan. 2.) Development of Master Plan (Various Options) • Overall plan showing recommended Public Works and Andover Community CenterNMCA build out with supporting renderings. • Roadway or Parkway connection to the west at Nightingale Street. • A plan showing the location of other support and operation facilities such as gas pumps, wash bays, outdoor storage, future parktathletic facility ect. • A plan for allocating parking demand associated with possible removal of existing parking and overall facility need. • A plan that illustrates recommended streetscape, landscape and open space improvements. • A plan that illustrates a campus approach to storm management utilizing existing infrastructure and expansion needs. • Identify opportunities for enhanced environmental sustainability in the facilities and operations. • Identify critical utility and infrastructure considerations. • High level, magnitude -of -order cost estimates for elements and phases of the master plan. Provide during various options and with the final plan. • Examples of campus design and other architectural features to be considered. • Identify possible land use west of the Water Treatment Plant. • Artificial turf location with or without bubble. Request for Proposal Page 3 of 4 - PROJECT DELIVERABLES PROVIDED BY THE CONSULTANT - Final master plan report and drawings in both printed and electronic format including Microsoft Word and CAD files. The schedule deadlines for the project are as follows (dates are approximate and may vary depending on City Council scheduling of Workshops): - Submit Consultant Proposal to City of Andover May 1, 2015 - Interview Top 3 Proposals Week of May 11, 2015 - City Council approve contract with consultant May 19, 2015 - City Council Workshop 1 Present Draft Master Plan (Various Options) July 28, 2015 - City Council Workshop 2 Present Final Draft Master Plan August 25, 2015 - Final Master Plan City Council Meeting September 1, 2015 Clarifying Questions It is mandatory to attend a pre - proposal meeting at the Andover City Hall (2:00 p.m.) on April 16, 2015 to discuss scope and answer questions. Any questions after the pre - proposal meeting shall be sent by email to d.berkowitzD- andovermn.gov . Questions will be taken until 2:00 p.m., April 24, 2015. The questions and responses will be provided to all firms by email no later than Tuesday, April 28, 2015. Interested consultant(s) should prepare the following proposal to the City for consideration: - Statement of your understanding of the project requirements. - Consultant project management team member's qualifications and contact information. - Demonstration of experience along with references. - Project approach and methodology. - Project schedule. - Consultant project schedule complete with identified work tasks. - Table showing team member(s) performing the work, estimated hours and hourly rates. - The City of Andover is requesting the proposal cost be based on "time and materials deliverable "with a not -to- exceed amount based on the Scope of Services and Deliverables information provided for this project which shall include indirect costs. Proposal format shall be as follows: - 3 bound copies. 8 -1/2" x 11" size paper and shall be typed. - Proposals shall be clearly marked "Public Works /Andover Community Center/YMCA Expansion Master Plan CITY IMPROVEMENT PROJECT NO. 15 -22" Request for Proposal Page 4 of 4 Proposal Evaluation Criteria will be based on the following: - Quality of the proposal - Qualifications - Similar project experience - Hourly rates and not - to-exceed price Sincerely, David D. Berkowitz, P.E. Director of Public Works /City Engineer Attached: Project Location Map, Existing Conditions Site Layout & Concept Plan (Expansion Option for Public Works) `'' -;� 31 1 • jr,,,rr`" 1685 CROSSTOWN BOULEVARD N.W.. ANDOVER, MINNESOTA 55304 . (763) 755 -5100 FAX (763) 755 -8923 . WWW.AN DOVE RMN.GOV TO: Mayor and Council Members CC: Jim Dickinson, City Administrator FROM: David Berkowitz, Director of Pu i W rks/City Engineer SUBJECT: Review Joint Powers Agreement & Discuss Possible Street lights /11- 25/Bunker Lake Blvd. NW from Crane St. NW to Jefferson St - Engineering DATE: March 24, 2015 The City Council is requested to review and discuss the attached Joint Power Agreement (JPA) with Anoka County and review and discuss possible street lights along Bunker Lake Boulevard. DISCUSSION Attached are both the JPA and information from Connexus Energy in regards to possible street lights along the corridor. Please review the information provided and we will review in detail at the meeting. ACTION REQUIRED The City Council is requested to review the attached information and direct staff on how to proceed with the street lighting. The JPA will be brought to a future City Council meeting for formal approval. Respectfully submitted, David D. Berkowitz Attach: JPA & Street Lighting Proposals from Connexus Energy Anoka County Contract No. OOC 04154 JOINT POWERS AGREEMENT FOR THE RECONSTRUCTION OF COUNTY STATE AID HIGHWAY 116 (BUNKER LAKE BOULEVARD) BETWEEN CRANE STREET NW AND JEFFERSON STREET NE IN THE CITIES OF ANDOVER, MN AND HAM LAKE, MN (SP 002 - 716 -015, SAP 198 - 020 -034, CP 11 -25) THIS AGREEMENT is made and entered into this — day of 2015 by and between the County of Anoka, a political subdivision of the State of Minnesota, 2100 Third Avenue, Anoka, Minnesota 55303, hereinafter referred to as "County", and the City of Andover, 1685 Crosstown Boulevard, Andover, MN 55304, hereinafter refereed to as "City". WITNESSETH WHEREAS, the parties to this agreement agree it is in the best interest of the traveling public to reconstruct County State Aid Highway 116 (Bunker Lake Boulevard) from Crane Street NW to 1340 feet east of Jefferson Street NE and, WHEREAS, said parties mutually agree that County State Aid Highway 116 between Crane Street NW and 1340 feet east of Jefferson Street NE is in need of reconstruction; and, WHEREAS, the County has prepared preliminary design plans for the reconstruction of County State Aid Highway 116 between Crane Street NW and 1340 feet east of Jefferson Street NE in accordance with Anoka County and the Minnesota Department of Transportation standards to a staff approved layout condition; and, WHEREAS, Anoka County has jurisdiction over County State Aid Highway 116 between Crane Street NW and 1340 feet east of Jefferson Street NW and, WHEREAS, the parties agree that it is in their best interest that the cost of said project be shared; and, WHEREAS, Minn. Stat. § 471.59 authorizes political subdivisions of the state to enter into joint powers agreements for the joint exercise of powers common to each. NOW, THEREFORE, IT IS MUTUALLY STIPULATED AND AGREED: I. PURPOSE The parties have joined together for the purpose of reconstructing the roadway, drainage, trail, pedestrian underpass and traffic control systems as well as other utilities on CSAH 116 (Bunker Lake Boulevard) between Crane Street NW and 1340 feet east of Jefferson Street NE; as described in the preliminary design plans. The County project number for the reconstruction is SP 002 - 716 -015 and the City project number is SAP 198 - 020 -034. Said engineering plans are filed in the office of the Anoka County Highway Department and incorporated herein by reference. The parties to this Joint Powers Agreement (JPA) agree in principle that construction of County State Aid Project No. 002 - 716 -015 between Crane Street NW and 1340 east of Jefferson Street NE is in the best interest of the traveling public and that the Preliminary Layout as shown in Exhibit "A" defines the preliminary design of the Project. It is agreed that the Exhibit "A" Layout dated March 6, 2015 has been reviewed and accepted by the parties and is suitable for preparation of final construction documents. Any significant changes made hereafter to the design as presented in the Exhibit "A" Layout will require approval by the parties as an amendment to this JPA. These same changes will require a change in the cost share to include any additional design engineering costs that may occur. II. METHOD The County shall cause the construction of Anoka County Project SP 002- 716 -015, City project number SAP 198 -020 -034. IMPROVEMENTS: It is agreed by the parties that in 2015, CSAH 116 will be reconstructed to a four -lane section with concrete median to the extent shown in "Exhibit A ". Improvements include, but are not limited to: traffic signal reconstruction at Prairie Road, right- and left -tum lanes, through lanes, shoulders, concrete curb and gutter, storm sewer with associated ponding, bituminous trail, retaining walls and noise walls. INTERSECTIONS: As agreed by the parties, improvements to the following intersections have been incorporated in the Exhibit "A" Layout design: CSAH 116 / Wintergreen St.: % Access Intersection (No left out of Wintergreen St.) CSAH 116 / Sycamore St. /County Parkway A: Full Access (pending City decision S_ ycamore may become Right In / Right Out) CSAH 116 / Prairie Road: Full Access Intersection with traffic signal CSAH 116 / Goldenrod St. NW/Park entrance: Full Access Intersection CSAH 116/ Butternut St.: % Access Intersection (No left out of Butternut St.) RIGHT OF WAY: The parties agree that the County will acquire all necessary right -of -way and easements for the Project. Acquisition of any additional right -of -way and/or easements needed for improvements to the City street intersections beyond what is defined in the Exhibit "A" Layout will be the responsibility of the City. It is agreed by the parties that all necessary right of way and easements will be in legal possession of the County prior to acceptance of bids for the project. Any City owned property or easements required for the construction will be conveyed to the County at no cost. TRAFFIC SIGNALS: The parties agree that the existing traffic control signal system at the CSAH 116 and Prairie Road intersection will be reconstructed with this project. The parties agree that the cost of the reconstruction of this signal pending the availability of Federal funding shall be standard County cost share; with 100% of the EVP reconstruction costs and 67% of the traffic signal cost to the City of Andover, and 33% of the traffic signal cost to the County. DRAINAGE: The City shall pay for a percentage of the cost of the storm sewer system, including the detention basins and their outlet structures. The City portion of the cost is based on contributing flow through the storm sewer system to the detention basin determined by the product of contributing area and runoff coefficient. ENVIRONMENTAL ISSUES: A noise analysis has been performed as part of the Environmental Assessment process. It was concluded that noise walls would be feasible at three locations in the City of Andover. The County has met individually with these property owners at their request. A meeting was held on December 18'", 2014 at the Anoka County Highway Department to discuss the noise walls and impacts with the affected property owners. The parties agree that the costs of these improvements, pending the availability of Federal funding, shall be standard county cost share. The county pays 100% of the local share for the noise wall costs. The City pays for any costs above the base cost of the noise wall. If previously notified, the City shall be responsible for future noise wall maintenance. Notification includes any letter to the agency indicating that noise will potentially be an issue in the future. Should the City request a noise wall to be built where not required by the applicable federal or state standard, the City shall be responsible for the entire cost of the wall. BITUMINOUS TRAIL: The parties agree that the construction of the bituminous trail along the north side of the roadway is eligible for federal funds and that the City will be responsible for the local match in areas where no trail exists and the County will be responsible for the local match where a trail currently exists. This trail location has been agreed to by the City. If this location changes in the future, the additional costs associated with this change will be the responsibility of the City. This trail is part of the County Regional Trail System and is eligible for potential funding through the Metropolitan Council's Regional Parks Capital Improvement Program after the project has been constructed and a request has been received from the City. If the Anoka County Parks and Recreation Department receives a letter of request from the City, the Anoka County Parks and Recreation Department will seek reimbursement for one -half of the City's share for this trail construction. If funds are secured, the Anoka County Parks and Recreation Department will reimburse the City with the additional funds received. The parties understand that the cost for the trail includes: bituminous surfacing, aggregate base, excavation (including muck excavation), borrow material (granular and topsoil), and turf establishment. The parties agree that the County will pay for the design of the trail, wetland mitigation required by impacts caused by the trail, the additional right of way and easements required to construct the trail at the proper location, and any removal items, with the exception of any soils correction in areas of existing trails, required to construct the trail. TRAFFIC CONTROL: The parties understand and agree that portions of CSAH 116 will be closed to thru traffic during construction, but access for local traffic will be maintained during construction. The parties agree and understand the cost share for traffic control for the city shall be a prorated share based on the city project cost divided by the total project cost. DRIVEWAYS: The parties agree that all driveways affected (excluding those identified for removal) by the Project will be reconstructed in kind at 100% project cost with the cost of any upgrades requested by the City, including concrete aprons, to be the sole responsibility of the City. LANDSCAPING /STREETSCAPING: The parties agree that if the City wishes to include landscaping or streetscape features in the project, they shall be designed in accordance with Anoka County Highway Department Landscape / Steetscape Guidelines. The City shall supply the signed plan sheets and specifications for the proposed landscape /streetscape. The total cost of the design as well as the construction cost above standard median cost will be at the expense of the requesting City or split between the requesting Cities. All construction documents must be submitted to the County by April 15, 2015. Future maintenance of any landscaping/streetscaping will be the sole responsibility of the city. RETAINING WALLS & NOISE WALLS: The parties agree that if the City wishes to include aesthetic treatment to any retaining walls or noise walls, any construction cost above standard cost will be at the expense of the requesting City. UTILITIES: The parties agree that the Exhibit "A" Layout does not include specific proposed utility locations, as those will be determined during later stages of the design process. The City will be responsible for the design of any sanitary sewer and water main improvements and/or relocations due to road reconstruction, which will be incorporated into the project bid documents. The cost of the design of these features shall be the responsibility of the City. In areas where relocations are solely due to the road reconstruction federal funds shall be applied. The City's design of any sanitary sewer and water main utilities are to include signed plans, specifications, and estimated quantities and cost. All construction documents must be submitted to the County by May 1, 2015. PERMITS: The parties agree that the County will secure all necessary permits for this Project. The City agrees to coordinate with the County in securing the permits required by the Coon Creek Watershed District, city permits, as well as any other permits that may be required. The County also requests that the City inform the County of any ordinances or city regulations that affect construction at the time of the signing of this JPA. (e.g. setbacks, tree clearing ordinances, or any other city ordinances.) III. COSTS The contract costs of the work, or if the work is not contracted, the cost of all labor, materials, normal engineering costs and equipment rental required to complete the work, shall constitute the "actual construction costs" and shall be so referred to herein. "Estimated construction costs" are good faith projections of the costs, which will be incurred for this project. Actual costs will vary and those will be the costs for which the relevant parties will be responsible. 4 The estimated construction cost of the total project is $11,777,394.59. Federal funds available for the Project are capped at $7,840,000. The federal funds shall be split based on the ratio of eligible cost incurred by each party to the total eligible project cost. Eligible costs are the costs of items that can participate in federal funding as shown on Exhibit B. The total estimated construction cost to the City is $546,298.94 (prior to application of federal funds available). After federal funding percentage is applied, the cost to the City for their share of the construction items of the Project is $182,636.78 ($546,298.94 minus $363,662.16, the federal funds available to the City). The City participation in construction engineering will be at a rate of eight percent (8 %) of their designated construction share of $546,298.94. The estimated cost to the City for construction engineering is $43,703.92. In summary, the total City share of this project is $590,002.86 (includes construction and construction engineering costs). The total cost to the city after federal funds have been applied including construction engineering is * $226,340.70 ( see summary below). *( $546.298.94 — $363.662.16 + $43.703.92 = $226,340.70, note: construction engineerine costs are not federally eligible) Upon award of the contract, the City shall pay to the County, upon written demand by the County, ninety five percent (95 1/6) of its portion of the cost of the project estimated at $215,023.66. Prior to billing, this estimate will be updated by the County to reflect the actual bid prices as awarded. An updated cost estimate shall be provided to the City at the time of billing. The City's share of the cost of the project shall include only construction and construction engineering expense and does not include engineering design and administrative expenses incurred by the County. Upon final completion of the project, the City's share of the construction cost will be based upon actual construction costs. If necessary, adjustments to the initial ninety five percent (95 %) charged will be made in the form of credit or additional charges to the City's share. Also, the remaining five percent (5 1/6) of the City's portion of the construction costs shall be paid. The County agrees to submit to the City for review final quantities and cost within one year of project substantial completion. IV. TERM This Agreement shall continue until terminated as provided hereinafter. V. DISBURSEMENT OF FUNDS All funds disbursed by the County or City pursuant to this Agreement shall be disbursed by each entity pursuant to the method provided by law. VI. CONTRACTS AND PURCHASES All contracts let and purchases made pursuant to this Agreement shall be made by the County in conformance to the State laws. VII. STRICT ACCOUNTABILITY A strict accounting shall be made of all funds and report of all receipts and shall be made upon request by either party. Prior to city payment to the County, Anoka County shall provide the City a copy of all cost participation documents submitted to MnDOT State Aid to assist the city in their application for MSA funding. VIII. TERMINATION This Agreement may be terminated by either party at any time, with or without cause, upon not less than thirty (30) days written notice delivered by mail or in person to the other party. If notice is delivered by mail, it shall be deemed to be received two days after mailing. Such termination shall not be effective with respect to any solicitation of bids or any purchases of services or goods which occurred prior to such notice of termination. The City shall pay its pro rata share of costs which the County incurred prior to such notice of termination. IX. SIGNALIZATION POWER The City shall at their sole expense, install and cause the installation of an adequate electrical power source to the service cabinet for all the previously mentioned CSAH 116 traffic control signal systems including any necessary extension of power lines. The City shall be the lead agency in this matter. Upon completion of said traffic control signal installations, the ongoing cost of the electrical power to the signals shall be the sole cost and expense of the City. R MAINTENANCE A. Maintenance of the completed watermain, sanitary sewer, storm sewer (except catch basins and catch basin leads), and detention basins (including ponds and their outlet structures and grit chambers /collectors) shall be the sole obligation of the City. B. Maintenance of the bituminous trail on the north side of CSAH 116 shall be the responsibility of the City and Anoka County Parks and Recreation Department. The City shall be responsible for general routine maintenance, such as sweeping, clearing, plowing, trash removal and other incidental items. The County Parks and Recreation Department shall be responsible for long- term maintenance, such as bituminous overlays, crack sealing and replacement. Trail signage will be provided by and maintained by the County Parks and Recreation Department. Maintenance of the bituminous trail in Bunker Hills Regional Park shall be the responsibility of the Anoka County Parks and Recreation Department. C. Maintenance of crosswalk pavement markings shall be the responsibility of the City and the County. The County will be responsible for the maintenance of the crosswalk pavement marking for the crossings at the signalized intersections. The City will be responsible for all crosswalk pavement markings for any trail /sidewalk crossings at all city streets. D. Maintenance of streetlights and cost of electrical power to the streetlights shall be the sole obligation of the City. E. Maintenance of the completed traffic control signal and signal equipment at the intersection of CSAH 116/Prairie Road shall be the sole obligation of the County. The County shall maintain the said traffic signal controllers, traffic signal and pedestrian indications, loop detectors and associated wiring of the said traffic control signals at the sole obligation of the County. G. Painting of the traffic signal shall be the sole obligation of the County. Any variation of painting color standards will be billed to the City. H. Timing of the completed traffic control signal shall be determined by the County. I. Only the County shall have access to the controller cabinets. The traffic control signals shall be the property of the County. K. The City shall be responsible for maintenance of the luminaries, luminaire relamping, and luminaire painting. L. All maintenance of the EVP System shall be completed by the County. The City shall be billed by the County on a quarterly basis for all incurred costs. M. EVP Emitter Units may be installed on and used only by Emergency Vehicles responding to an emergency as defined in Minnesota Statutes §169.01, Subdivision 5, and §169.03. The City shall provide a list to the County Engineer, or the County's duly appointed representative, of all such vehicles with emitter units on an annual basis. N. Malfunctions of the EVP System shall be immediately reported to the County. O. All timing of said EVP System shall be determined by the County. P. In the event said EVP System or components are, in the opinion of the County, being misused, or the conditions set forth are violated, and such misuse or violation continues after receipt by the City, written notice thereof from the County, the County shall remove the EVP System. Upon removal of the EVP System pursuant to this paragraph, the field wiring, cabinet wiring, detector receiver, infrared detector heads and indicator lamps and all other components shall become the property of the County. Q. Anoka County shall be responsible for all maintenance of County installed noise walls. XI. NOTICE For purposes of delivery of any notices herein, the notice shall be effective if delivered to the County Administrator of Anoka County, 2100 Third Avenue, Anoka, Minnesota 55303, on behalf of the County, and to the City Administrator of Andover, 1685 Crosstown Boulevard, Andover, MN 55304, on behalf of the City. XII. INDEMNIFICATION The City and County mutually agree to indemnify and hold harmless each other from any claims, losses, costs, expenses or damages resulting from the acts or omissions of the respective officers, agents, or employees relating to activities conducted by either party under this Agreement. XIIL ENTIRE AGREEMENT REQUIREMENT OF A WRITING It is understood and agreed that the entire agreement of the parties is contained herein and that this Agreement supersedes all oral agreements and all negotiations between the parties relating to the subject matter thereof, as well as any previous agreement presently in effect between the parties to the subject matter thereof. Any alterations, variations, or modifications of the provisions of this Agreement shall be valid only when they have been reduced to writing and duly signed by the parties. IN WITNESS WHEREOF, the parties to this Agreement have hereunto set their hands on the dates written below. COUNTY OF ANOKA CITY OF ANDOVER By: Rhonda Sivarajah, Chair Board of Commissioners Dated: ATTEST By: Jerry Soma County Administrator Dated: RECOMMENDED FOR APPROVAL Douglas W. Fischer, P.E. County Engineer Dated: APPROVED AS TO FORM By: Dan Klint Assistant County Attorney By: Julie Trude Mayor Dated: By: Jim Dickinson City Administrator Dated: By: David D. Berkowitz, P.E. Director of Public Works /City Engineer 0 Dated: Dated: Scott Baumgartner City Attorney EXHIBIT rrCrr COST - SHARING AGREEMENT FOR PROJECTS CONSTRUCTED IN ANOKA COUNTY USING COUNTY STATE AID FUNDS OR LOCAL TAX LEVY DOLLARS ITEMS Concrete Curb & Gutter Concrete Curb & Gutter for Median Construction Concrete Median Concrete Sidewalk Concrete Sidewalk Replacement Bikeways Bikeway Replacement Construction or Adjustment of Local Utilities Grading, Base and Bituminous Storm Sewer COUNTY SHARE CITY SHARE 50% 50% 100% 0% 100% 0'1 0% 100% 100% 0% 0% 100% 100 %, 0% Unless existing trail not placed at edge of RAN 0% 100% 100% 0% based on state aid letter'z based on state aid letter"z Driveway Upgrades 100 %, in -kind Traffic Signals, new & replacements (communities larger than 5,000) %the cost of its vd State Aid approved SJR legs of the intersection Traffic Signals, new & replacements (communities less than 5,000) vd State Aid approved SJR Traffic Signal, wlo State Aid approved SJR EVP Engineering Services Right -of -Way Street Lights Noise Walls 100% 0% 0% -3 100 % -q 0% 100 %, of up- grades the cost of its legs of the Intersection plus % She cost of the County legs of She intersection 100% 100% w3 0% 100% 100 %, if not previously notified*5 100 %, if previously nottiled*s '1 The County pays for 100% of Standard Median Design such as plain concrete. S a local unit of government requests decorative median such as brick, stamped concrete, or landscaping, the local unit will pay the additional cost above the cost of standard median. •2 In the event no State Aid is being used, or in the event the state aid letter does not determine cost split percentages, drainage cost shares will be computed by the proportion of contributing flow outside the County right of way to the total contributing flow. -3 Engineering shall be paid by the Lead Agency except that any participating agency will pay construction engineering in the amount of 8% of the construction costs paid by that agency. '4 In the event that the Township or City requests purchase of right- of-way in excess of those right -of -ways required by County construction, the Township or City participates to the extent an agreement can be reached in these properties. For Instance, a Township or City may request a sidewalk be constructed alongside a County roadway which would require additional right-of -way, in which case the Township or City may pay for that portion of the right-of- way. Acquisition of right- cf-way for new alignments shall be the responsibility of the Township or City in which the alignment Is located. This provision may be waived by agreement with the County Board if the roadway replaces an existing alignment and the local unit of government takes jurisdiction of that existing alignment. In addition, any costs, Including right- of-way costs, incurred by the County because a Township or City did not acquire sufficient right- of-way during the platting process or redevelopment process as requested by the County shall be paid by the Township or City. 'S Notification includes any letter to the agency indicating that noise will potentially be an issue In the future, likely received during the Plat Review Process. Maintenance shall be the responsibility of the agency paying for the initial installation. When the County is the responsible agency, it shall pay 100% of Standard Noise Wall Cost. If a local agency requests decorative noise walls, the requesting agency will pay the additional cost above the cost of standard noise wall. P \OS 716- 15 \Dttunn nh \Roa6 & Step Design \ee MCPa \DatssGcpy of 0273615 SEO.xlsa 03/17/2015 726W - RO aY° EXHIBIT "B" ENGINEER'S ESTIMATE OF PROBABLE CONSTRUCTION COSTS EXHIBIT "B "= 6D%ESIS'nataG Cost Share EXHI SIT "C " =C4M SN.-I A9re-snit 01 -10 -2014 CSAH 116 (BUNKER LAKE BLVD) FROM CRANE STREET TO EAST OF JEFFERSON STREET By MARK, 0 3- 16 3015 UNIT UNIT PRICE TOTAL PROJECT QUANTITY FEDERAL PARTICIPATING I FEDERAL NON- PARTICIPATING ITEM NO. ITEM DESCRIPTION STORM SEWER IDI OWMY"3'm arp $01$ <ITYAxopvER =$.M BP 191 -0MAN CT' izY. IF 191 STATE AID PARTICIPITING LOCAL COUNTY 3P002-]1fi -016 (11) CRT OF as 198 -020 -000 (B) CT'OFWIM 30, 3P 19] -006)[00, (LI LOUNTTOI6.OlS SP 002 -EI IEI CITY OF ANDOVER SP 196020-000 IFI CITY OF HAM I04 $P 17[30[00 ICI COVNOFOENNOIU OF OXEN III) CIry OPSOOR ER CPM 111 CITY OF HAM LANE LP(J) Ill CITTOF CP 00-00 IKI QUANTITY AMOUNT QUANTITY AMOUNT QUANTITY AMOUNT QUANTITY AMOUNT OUANTITT AMOUNT QUANTITY AMOUNT QUANTITY AMOUNT QUANTITY AMOUNT QUANTITY AMOUNT QUANTITY AMOUNT QUANTITY AMOUNT OUANTTY AMOUNT 2021.501 MOMLIZATCN LUMP SUM $550,000.00 11100 555000000 00.06 S492 600.00 0030 $16500.00 01 $2200.00 0.070 53867.00 2031.501 FIELOGERCETYPED EACH $17000.00 TON $1]000 DO �� O.BB6 $15232.00 0.030 651000 0004 566.00 0.070 $1,190.00 2041610 TRAINEES HOUR $100 100000 $190000 1,$0000 $180000 2101,501 CLEARING ACRE $300000 840 $2520000 840 $25 NO 00 2101.502 CLEARING TREE $100.00 42800 111 428.00 $4280000 2101.5[6 GRUBBING ACRE $31000.00 640 $25,2N.00 8.40 $25,200.00 210157 GRUBBING TREE $1.00 36OOD $MON.00 35000 $3600000 2104501 REMOVE PIPE CULVERTS UN FT $900 665.40 SS.MSAD 665.90 SESSIS SO 2104.501 REMOVE WATER MAIN UN FT $27 2104501 REMOVE PIPE SEWERS UNFT 51200 923.71 511,084.52 923.71 $11,084.52 2104.501 REMOVE CURB AND GUTTER LIN FT $275 961042 528428 BY %BRL42 328,428M 2104501 REMOVE BITUMINOUS CURB LIN FT $3.00 1B1.OIl $573.00 101.00 $573.00 2104.501 REMOVE RETAININGWALL LIN FT $1D00 CR,. 3637000 637.00 $6370.00 21N 931 REMOVE FENCE LIN FT 12.7 SON $125.00 50.00 $125.00 2104.503 REMOVE BITUMINOUS WALK $Q FT $O.N 586]BN $2933904 5867808 $2933904 2104 5. REMOVE CONCRETE WALK SOFT 50.911 805.06 $724.55 MI $724.55 21046505 REMOVE CONCRETE DRIVEWAY PAVEMENT Sam NPO 15.33 312261 1533 8122.64 2104.505 REMOVE BITUMINOUS PAVEMENT SO AL $190 ]093]32 $13a IN-1 7093732 $134.780.91 2104.509 REMOVE PIPE APRON EACH S2.N 7.00 $14.00 )DO $14007 2104.509 REMOVE CONCRETE HEADWALL EACH $3N.. 2104.509 REMOVE MANI OR CATCH BASIN EACH $25000 10.00 $2,50006 10.00 $250000 2101509 REMOVE GATE VALVE B BOX EACH S28000 21045N REMOVE VALVE BOX EACH $26000 2104.506 REMOVE BITUMINOUS FLUME EACH 312000 3N $36000 300 $36000 21NSOD REMOVE SIGNAL SYSTEM EACH $15100 2104.511 SAWING CONCRETE PAVEMENT (FULL DEPTH) LIN FT $500 335 $1815 3.35 $TO 71 21.513 SAWING BITUMINOUS PAVEMENT (FULL DEPTH) LIN FT $250 810.65 SZOUB3 019.85 $204963 2104.523 SALVAGE SIGN TYPE C EACH $2500 2104523 SALVAf£ SIGN TYPE SPECIAL EACH $5000 2104.523 SALVAGE MAIL BOX SUPPORT EACH $4000 3.06 $12006 3N $1N.Po 2104801 HAUL SALVAGED MATERIAL LUMP SUM $1000.00 2104.603 ABANDON WATER MAIN LIN FT $200 2105.501 COMMON EXCAVATION EV) (P) CU YD SAN ]934366 0650053.16 ]8,343.. $42006316 210571 COMMON EXCAVAFON(EV)(FORCE) Cu YD $7.00 26120.81 $182,84567 M,40.81 $182.845.7 2117065 MUCKEXCAVATION OUYD 57.50 91.III 588871525 05,5]8]0 5641,825.25 625200 548890.00 2105.57 SUBDIVIDE EXCAVATION(EV) (P) CU YO $5.00 32,586.51 $18290255 325.61 $16296255 2105.522 SELECT GRANULAR BOHR.(1) CU YO $TIN 61056.30 $1.11742 At IRS IS $55650742 2105.67 2106.07 COMMON BORROW SPECIAL (CV) SELECT GRANULAR EMBANKMENT (CV) (TEMPORARY) CU YO CU YO $A TO 76N 05900 $1,561[00 56072.00 78.00 85900 $1560.00 $A TAG N 2118501 AGGREGATE SURFACING CIA555 TON 330.00 2123.610 DOZER HOUR $4SN 10. $45000 ICAO RN.N 21306501 WATER MGALLCN $25N 18006 34500.00 180.00 $4,5009N 2211.501 AGGREGATE BASE CLASS S TON $17N '32 $155624 9272 $155624 2)11.57 SHOULDER BASE AGGREGATE CLASS a Cu YD $17N 30.63 $$383]1 309.63 36263]1 2211.506 AGGREGATE BASE (CV) CUSS 5 IF) CU YD $21.06 Y3.SB9.W INAES89.50 23,599.50 $495559.50 T232N1 MILL BITUMINOUS SURFACE SO YD $200 716N $1437.80 ]1 890 $113780 2357SO2 BITUMINOUS MATERIAL FOR TACK COAT GALLON $250 3,20613 $1301 5=13 $11050.33 2360.061 TYPE SP 12.5 WEARING COURSE MIX(2,B) TON $6800 272880 $18554480 2,52860 $165144.150 23N.SO1 TYPE SP I2.S WEARING COURSE MIX (3F) TON 866.00 4].148.]0 Sat 111,68220 4].146.]0 S3, 11168230 236RN2 TYPE SP 1295 NON WEAR COURSE MXG.B) TON 66000 2745530 $164731800 27,45630 $1W7,318N 2MO.SOS TYPE SP 125 BITUMINOUS MIXTURE FOR PATCHING TON $3500 28620 $2482.00 20.20 $248200 0611618 MODULAR BLOCK RECANTING WALL SOFT $2100 3042.06 $63,882.00 301200 563882.06 2411.818 ARCH CONK TEXTURE (CUT STONE) $C FT $21.N 6,270. $131881. 690A $131,681]4 2412.511 10 X B PRECAST CONCRETE BOX CULVERTY LIN FT $780.06 105.. 18TSOROD 105900 $81,800.00 24126512 10X 8 PRECAST CONCRETE BOX CULVERTY END SECT EACH $1500 LN $RrW 100 $1$.00 2422619 WOOD NOISE BARRIER BO FT $21.00 34886.06 3732S180D J48M.. $732816.N 2451.57 STRUCTURE EXCAVATOR OIASSU(P) CU YD SB.N 3472900 $2083206 3,02.00 $20,832.00 2451, SIN AGGREGATE BEDDING (CV) Cu VG $MN fi2.N 31340' .00 $124D00 2451.511 COARSE FILTER AGGREGATE -J VO 5. OR 60' $3,'0' 8000 $3,060.00 2451.513 FINE FILTER AGGREGATE(LV) .YD SHOO 1 R". $252500 85' 1 $2, 125.N 16.00 RDDDD 245157 TRENCH STABILIZATION MATERIAL RV) CV YD $409' 2WI6511 12" RC PIPE CULVERT CLASS III LIN FT 536' 17.00 $595.00 17rOD $595.00 2501.511 15" RC PIPE CULVERT CIA5S 111 UNFT $25.' 14' $3.' 1400 $Ga. Do 2.511 36" RC PIPE CULVERT CLASS III LIN FT 5000 25016515 12 PC PIPE APRON EACH $AN00 4' $25NSO 2' $125000 2GO S125000 2MHEU 15 "RC PIPE APRON EACH $650.00 12' $78..' 2.00 $1300.00 10' $650000 OXHE5 18 PC PIPE APRON EACH $75.W 6. RD.' BOO R,O50' 2501515 21 RC PIPE APRON EACH $55000 1M 565000 1M 5650.00 2501515 124 "RL PIPE APRON EACH $75N 4' .7.' 400 52,7.00 257515 33 "RC PIPE APRON EACH $06000 1.' 5000.00 1.Po 3060.00 2501.515 36 PC PIPE APRON EACH $13.10 257521 20" SPAN RC PIPEARCH CULVERT CLASS IN SIN FT $80.00 123.06 $10 ON OF 12500 $10 No 00 2501.521 44 "$PAN RC PIPE -ARCH CULVERT CLASS !A LIN FT $14000 148' 52044000 14600 $2044000 257.525 28" SPAN RC PIPEARCH APRON EACH $780.' C. $3.1X1.00 2.06 $),00.00 2. 11 W06DD 2501.525 36' SPAN RC PIPEARCH APRON EACH 580' 2'1525 44' SPAN RC PIPEARCH APRON EACH SNO.N 2.' $19.00 200 $1 No 00 MO1.6N TRASH GUARD FOR IS' PIPE APRON EACH SM000 1.' $MO.N 100 53.00 2501.2 TRASH GUARD FOR 35 PIPE APRON EACH SSS0.00 2501602 TRASH GUARD FOR 28'BEAR PIPE APRON EACH SNOOD 2. $1,2'.00 200 $130000 2501.602 TRASH GUARD FOR 44' SPAN PIPE APRON EACH s", 10 1N 38.' 1. $800.00 2502541 4' PERE W PIPE DRAIN 0100) LIN FT IF DO aIQNOO 518,168' 2INS DO $1628800 400' $200000 25.521 28' SPAN RC PIPEARCH $EWER CL IN LIN FT $1100 65710 $39,46200 65] ]0 53946200 2503.521 III A. RC PIPEARCH BEWER CL IN LIN 11 560.00 P A02'116'IV,.Umenl5\Rm6 6 SYS!, ceSiB^Vesnmzh\O.P'RC, W of➢211.11 SEOaIM 03/12/2015 7:26 AM ' EXHIBIT "B" ENGINEER'S ESTIMATE OF PROBABLE CONSTRUCTION COSTS EXRIBIT "B' 60%EIiTUPPI C09S6ne EXHIBIT-C - =Cost Snenn9 A9nen»m 01 -10 -2014 CSAH 116 (BUNKER LAKE BLVD) FROM CRANE STREET TO EAST OF JEFFERSON STREET by MARIO 03-18-2615 UNIT UNIT PRIDE TOTAL PROJECTOUANTITY FEDERAL PARTICIPATING FEDERAL NON- PARTICIPATING ITEM NO. ITEM DESCRIPTION STORM SEWER IDI ca'wtvwv3% CAN . I. CRYUJCOVER•5.x% SPtxo H. crtv HAN IANE•fd% BP 100400409 STATE AID PARTICIPITNG LOCAL CSIRW OF ANOKA SP p63-HSd16 (A) CITY OFAN0,Sby SP f95-030d00 (B) CITY CIE SP 1ST -030400, (C) COUNTY OF ANOKA SP 002-$18015 (E) CITY OF DOVER SP 198430 400 IF) CITY OF HAM LAKE SP 1ST -0lOdCO (G) COUNTY OF ANOKA CPIN) (XI CITY OF ANDOVER CP ON III CITY HAM LAKE CP OOdO IJ) CITY OF CP OOAO (K) QUANTITY AMOUNT OUANTTY AMOUNT QUANTITY AMOUNT QUANTITY AMOUNT QUANTITY AMOUNT QUANTITY AMOUNT QUANTITY AMOUNT QUANTITY AMOUNT QUANTITY AMOUNT QUANTITY AMOUNT QUANTITY AMOUNT QUANTITY AMOUNT 2503521 44- SPAN RC PIPEARCH SEWER CL IIA LIN FT SID000 2503541 IT RO PIPE SEWER DESIGN TIDE CL V LIN FT $3200 4000 $1,2M00 40.00 $1,28006 2503541 15- RC PIPE SEWER DESIGN 30M CL V LIN FT $3000 6,810.55 S201,31850 6,810.55 5204,318.50 2503541 16' RC PIPE SEWER DESIGN 30M CL 111 LIN FT $32.00 183881 $5380152 183881 $58,862.52 2503541 21- RC PIPE SEWER DESIGN 3007 CL III UN FT $35.00 M3,25 $20,41326 MGZK $20.41335 2503.541 24- RC PIPE SEWER DESIGN 30M CLAW LIN ET $40.00 1091.1$ 54SAII 1091.1$ $43RASSI0 2503541 2T RC PIPE SEWER DESIGN 30M CLll1 LIN FT $4600 2503.541 3V RC PIPE SEWER DESIGN 30M CLIII LIN FT $SOLO 63980 $23994.00 53908 52SHMS0 2503511 37 RC PIPE SEWER DESIGN 30M CL 111 LIN FT $W.DO 320.10 $43205.00 320.10 $4320600 2603541 36- RO PIPE SEWER DESIGN 30MOE 11 LIN FT $35.00 2501.602 CONNECT TO EXISTINGWATER MAIN EACH $1.000.00 2504.802 HYDRANT EACH 5330000 2504.6D2 RELOCATE HYDRANT B VALVE EACH $2500.00 2504.602 VALVE BOX EACH 5.,. 25G4 602 ADJUST GATE VALVE S BOX EACH COLDS 25N 501 COAST ORAINAC£ STRUCTURE DESIGN H LIN FT $250 A 145.31 $36.328.35 145.31 S38328.35 2506.501 CCNST. DRAINAGE STRUCTURE DESIGN 48-0020 LIN FT $230.00 4635E $126,51120 4.5E $12651120 2506.501 CONST. CRAINAGESTRUCIUREOESIGNIGLRI LIN FT $31000 42.49 $131]1.90 42.49 $13131.90 2606501 CONST. DRAINAGE STRUCTURE OESIGN804020 LIN FT $05000 4360 515,25300 4358 $15,288.00 2508..1 CONST. DRAINAGE STRUCTURE DESIGN 324020 LIN FT C. SO 2SOLS01 CONST. DRAINAGE STRUCTURE CESIGN 3B4D20 LIN FT $510.00 2505.5D1 COMET. DRAINAGESTRUCTUREDESIGN844NO LIN FT 5650. 2506.501 CONST. DRAINAGE STRUCTURE DESIGN M4020 LIN FT $350.00 2506.516 CASTING ASSEMBLY EACH $2DOM 133.00 $123,900.00 133.00 $12390000 2506522 ADJUST FRAME S RING CASTING EACH VylE O) 2110 $122000 2.00 $1,220NO 2506.602 RECONSTRUCT DRAINAGE STRUCTURE EACH 5400. DD 2505602 ADJUST DRAINAGE STRUCTURE EACH $40000 2506.602 CONSTRUCT SANITARY MANHOLE - TYPE 301 EACH $300000 2506.603 CONSTRUCT DRAINAGE STRUCTURE DESIGN SPECIAL LIN FT $23000 2511501 RANDOM RIPRAP CLASS II CU YD UKSI 20176 563,15333 201]8 $63158,33 2511.515 GEOTEXTILE FILTER TYPE IS SO YD S3.50 1501.11 $525389 150111 $5253.59 2S21501 4 "CONCRETE WALK 6O FT 53.30 336100E 5123,413. 3ASYDO $11502480 325000 $1238020 2531501 CONCRETE CURB B GUTTER DESIGN RD8(MOD) LIN FT $10. 22,030.00 5220300.00 22,07000 $220,300.00 2531.501 CONCRETE CURB 6 GUTTER DESIGN B424 LIN FT $11.50 20326.. $23323$50 19385.89 5119,20504 108926 58152609 2.52005 533,.5 50 2531501 CONCRETE CURB B GUTTER DESIGN B612 LIN FT $11. 133.00 $1,NMKD 68.23 $92158 6874 $92192 2531.501 CONCRETE CURB B GUTTER DESIGN B618 UN FT $14.00 070. 55,10000 10500 $2,500600 185. $2,58000 2531501 CONCRETE CURB BGVTI N DESIGN S8 (MOD) LIN FT 516.. 486.00 $i 290.00 486.00 $3,290.00 2531 5D CONCRETE CURB B CURER DESIGN M24 LIN FT $16.0 4.00 $7 936 OD 248.09 $395914 242.91 $3 AM 1. 25315D3 CONCRETE MEDIAN(NOSE) SO YD SEA.. 8300 $3,150.00 63.00 $3.150.00 25316503 6" CONCRETE DRIVEWAY PAVEMENT SOYD NS.. 25318. CONCRETE DRAINAGE FLUME 50 YD SEEM 112.00 $7200.. 112.110 $1280.00 2531618 TRUNCATED DOMES SOFT 1I 35200 $1CAAb00 25600 5168000 A. STSBCDC 2531618 PEDESTRNN CURB RAMP SOFT $5.00 123400 $683000 1,004.00 $6,320.00 430.00 $2.350.00 2635 EEL BTNMINOUSCURB LIN FT 51.00 264DUO MAIL BOX SUPPORT EACH $11500 300 $34503 300 0345. 2540602 RELOCATE MAL BOX SUPPORT EACH $75.0 2557 SDI WIRE FENCE DESIGN SPECIAL VINYL COATED LIN FT $21.00 2683.501 TRAFFIC CONTROL SUPERVISOR LUMP SUM $10000.00 DMISOL TRAFFIC CONTROL LUMP SUM SGI 1M $50.0EA0 0893 WOMBS ADS) $1,500.00 COON AMOCO O.WO 53,500.00 T%3.610 POLICE OFFICER HOUR $9000 3000 52]0000 26.88 S241920 090 $8100 0.12 S108D 2.10 $139.00 29A531 SIGN PANELS TYPE C SOFT $30.00 2564532 INSTALL SIGN TYPE SPECIAL EACH $200. 2564.602 ICULVERT MARKER X4-3 EACH $150600 2.5511 TRAFFIC CONTROL SIGNAL SYSTEM A SIG SYS 5189.0.00 100 $1 S.... D 082 $1N,M0. 033 $594. E0 2MRS11 TRAFFIC CONTROL SIGNAL SYSTEM B SIG SYS S1M.000 0.. $35,000.0) 0.00 S75.000 GO 2556.601 EMERGENCY VEHICLE PREEMPTION SYSTEM A LUMPSUM $12,000.00 107 $12 VY OBY $8,040. 0.33 $395000 2561 EMERGENCYVEHICLE PREEMPTION SYSTEM B LUMP SUM $80009. 1.. $800000 0.50 $4 O0 SO D5D $40.. 2555001 TRAFFIC CONTROL INTERCONNECTION LUMPSUM $100,.000 1 1 W $10000P. 100 5100.9. 2565.802 SIGNAL SERVICE CABINET EACH $10,000.00 2. $2000000 CIA $20000.00 2531502 SILT FENCE, TYPE MACHINE SLICED LIN FT $200 14856691 520,29302 14,395.81 $262..82 GREASER FLOTATION SILT CURTAIN LIN FT $10.00 2533.530 STORM DRAIN INLET PROTECTION EACH 5130.E 195600 5254).00 195.00 $25.48000 25236550 EROSION CONTROL SUPERVISOR LUMP SUM 012.000 100 $129...00 1.00 512,00000 2525501 ISEEDING (P) ACRE S350. 15.. $11.00 15.00 $5250.00 2575.502 SEED MIXTURE 25-121 POUND $5.00 4311610 $2.15050 4.10 $215.00 2535. SO SEED MIXTURE 26-131 POUND NM 36230 $3,04920 362.30 $3,04820 253565M SEED MIXTURE 33 -261 ROUND $II. ..20 21,854570 0020 $1884.40 2525.502 SEED MIXTURE 36-241 POUND 515. 85.00 5990.00 W.M 5990.E 2535.505 SODDING TYPE MET RESISTANT SO YD $9.00 34.40 525,.55. 342340 $25855 AD 2525.511 MULCH MATERIAL TYPE I TON S1..,. 14.20 $2,232.00 14.20 $2.222 D0 2536.511 MULCH MATERIAL TYPE 3 TON $240.00 300 $004.00 360 $66400 2535519 DISK ANCHORING UP) ACRE 100.. 8.00 $528.00 8.80 $528.00 2525.523 EROSION CONTROL BLANKETS CATEGORY 3 BOYD $120 2368058 532,002.22 ...A EF $3200222 2525532 FERTILIZER TYPE POUND $0.35 3.216.E $2,412.00 3,216. $2412.00 2535532 FERTILIZER TYPE 4 POUND $080 M6C. $1.7. NG.. $52423 2535.531 RAPID STABILIZATION M ETHOD3 )GALLON S320.E 91.. $29,120.00 9100 $29120.. 2502.501 PAVEMENTMESSAC £(LTARRGW)PREFCRMEDIHERMW1.1C EACH S350.M 16" 556... 16. 55600. P: \0271615 \omumen6 \ROaa &Bridge 0¢Ign \mLmaR \Dan's[opv of 8271615 SEO.Nav 03/170015 7:26AM Federal Funds Available SP=- )16 -012 840 '00 O0 .i,ND Amount A... COYnt/I Toi Fedeml Funds AWIaON S),p10,00000 FunEIn9 GNia %Federal Funding 66.57% T.1, . Total Federal Elgible tome: Fedeal Funds ASdIa n Rounded To PRORATA ITEMS TOTAL WIFFOVT MOBILIZATION, FIELD OFFICE TYPE D. AND TRAFFIC CONTROL 61115],69459 $10,00788682 6331]96.17 E42,23566 6775,77602 , RATIO OF COLUMN SUBTOTAL VS. PROJECT SUBTOTAL 1WJ 6898000 6030000 6004000 0070000 (BOTH W/O MOBILIZATION FIELD OFFICE, AND TRAFFIC CONTROL) DRAINAGE COST SPLITS% County 69.161% 1 Andover 23316% 1 Anoka 6923'R Anoka COUnIy DRlnaBe Arta done 32.0)0 Cnyol Andover oramaB. Ana Ae» 11.090 maen are,...... Cd o1Ham Lae. oralreOf An a / r. 3m0 SP 002- 716 -016, CSAH 116 (From Crane St. to East of Jefferson SL) Improvement Project - FUNDING SPLITS �I PROJECT TOTALS ANCKA COUNTY CnYOF ANDOVER CITYCF HAM UKE TOTALS FEDERAL FUNDS STATE AID FUNDS LOCAL FUNDS MI TOTALS FEDERAL FUNDS STATE AID FUNDS LOCAL FUNDS III LOCAL FUND (J) TOTALS FEDERAL FUND" STATEAID LOCAL FUNDS (G) LOCAL FUNDS (N) ROADWAY 10,958,239.5] 10,563,13002 ],061,880.00 3531458.02 35028).17 23]246.45 117,140 .73 44)14.38 29765.56 14948.82 DRAINAGE 8.2 %Count, .0 %Anok .8 %Andove 819,155.02 566,536.58 377,135.45 18940113 195,911.77 130415.72 65,49605 56,706.65 37746.82 18,957.83 CONSTRUCTION TOTAL 11,777,394.59 11,128,674.60 7,406,815.45 3,720,859.15 546,298 94 353,662.16 18263678 10142103 8751428 32906.65 8% CONSTRUCTION ENGINEERING 943.191.57 890,373.87 890,373.97 43,703.92 43,703.92 8,113.68 8,113.60 DESIGN ENGINEERING RIGHT OF WAY UTILITY RELOCATION PROJECTTOTAL 12,719,586.16 12,020.04857 7.408.815.45 4611.233.12 590.00288 303.662.16 226240.70 109.534.71 07,51428 42,020.33 PRORATA ITEMS TOTAL WIFFOVT MOBILIZATION, FIELD OFFICE TYPE D. AND TRAFFIC CONTROL 61115],69459 $10,00788682 6331]96.17 E42,23566 6775,77602 , RATIO OF COLUMN SUBTOTAL VS. PROJECT SUBTOTAL 1WJ 6898000 6030000 6004000 0070000 (BOTH W/O MOBILIZATION FIELD OFFICE, AND TRAFFIC CONTROL) DRAINAGE COST SPLITS% County 69.161% 1 Andover 23316% 1 Anoka 6923'R Anoka COUnIy DRlnaBe Arta done 32.0)0 Cnyol Andover oramaB. Ana Ae» 11.090 maen are,...... Cd o1Ham Lae. oralreOf An a / r. 3m0 CONNEXUS ENERGY Your Community Energy Partner Dave Berkowitz Director of Public Works /City Engineer City of Andover Mr. Berkowitz, 14601 Ramsey Boulevard Ramsey, Minnesota 55303 763 - 323 -2600 Fax: 763 -506 -9541 1- 800£42 -1672 w .connexusenergy.00m info @connexusenergy.com March 18, 2015 We have prepared the following options to install additional streetlights along CSAH 116 in Andover. Connexus Energy will plan to install, retain ownership, and provide ongoing maintenance of the lights under our monthly energy and maintenance rate. Below are preliminary estimates of the requested options. See enclosed for more information. Once options are chosen, and plans and details are finalized an official estimate can be prepared. The prices below reflect 2015 pricing only. Work performed in 2016 will be subject to 2016 pricing. Please note, Connexus Energy is attempting to standardize all new light offerings. The standard color of the proposed light and poles is bronze. Choosing the standard color is not only more economical but should also result in a more rapid response time for repairs or replacements. We have included pricing of both the standard bronze color and the custom Andover Grape color for your consideration. The lights will be installed to utility specifications, will be un- metered, and will operate on a dusk -to -dawn schedule. The following installation costs are based upon our best practices. If job site conditions beyond our control prevent normal installation procedures or if winter construction is required, additional charges may be applied. Estimate assumes conduit crossings will be able to be installed during the street work or additional charges for directional boring will apply. Connexus Energy will not be responsible for final restoration of grade or groomed turf. Please let me know if you have any questions. Sincerely, Dan Johnson Distribution Designer CONNEXUS ENERGY Your Community Energy Partner LED Shoebox Stvle Liahts on 30' poles 14601 Ramsey Boulevard Ramsey, Minnesota 55303 763 - 323 -2600 Fax: 763 -506 -9541 1- 800-642 -1672 w .connexusenergy.com info @connexusenergy. oom Option 1: Crane St. to east boundary, north side of Bunker. 200' Spacing, 45 Lights, 9,300 ft. Standard Bronze Color $207,211 Custom Andover Grape Color $221,233 Option 2: East of SA lot to east boundary, north side of Bunker. 200' Spacing, 50 Lights, 10,330 ft. Standard Bronze Color $228,715.50 Custom Andover Grape Color $244,295.50 Option 3: Crane St. to east boundary, both sides of Bunker. 200' Spacing (Offset), 88 Lights, 18,200 ft. Standard Bronze Color $392,429 Custom Andover Grape Color $419,849.80 Option 4: East of SA lot to east boundary, both sides of Bunker. 200' Spacing (Offset), 97 Lights, 20,260 ft. Standard Bronze Color $432,507 Custom Andover Grape Color $462,732.20 Each estimate above includes the following details: Standard Bronze Light and Pole $2,592 each Custom Andover Grape Light and Pole $2,903.60 each Breakaway Support System for Pole $339 each Lighting Control Cabinet (3) $2,884 each Underground Footage $6.65 perfoot Transformer (3) $1,548 each Permit and permit administration fee CSAH116 $175 ------ - - - - -- -Costs above for 2015, final totals will be costs at time of installation.------- - - - - -- GHTS WEST OF PANE ST �cr) 0, (27(5 POLE, BREAKAWAY ANCHOR BASE, 200' SPACING TION 1: CRANE ST TO EAST NORTH SIDE ONLY - 45 LIGHTS TION 2: SA ENTRANCE TO EAST NORTH SIDE ONLY -50 LIGHTS OPTIONS 1 & 2 CONNEXUS ENERGY Your Community Energy Partner 3/18/15 PAGE 1 i II OPTION 4 ADD LIGHTS WEST OF CRANE ST i OPTIONS 3 & 4 PROPOSED 135W TYPE 4 LED SHOEBOX STYLE LIGHT �/` 30' POLE, BREAKAWAY ANCHOR BASE, 200' SPACING (OFFSET) � > C�/ C►�'Cp^ 1/ CONNE US® ENERGY OPTION 3: CRANE ST TO EAST NORTH AND SOUTH SIDES - 88 LIGHTS''' your Community Energy Partner OPTION 4: SA ENTRANCE TO EAST NORTH AND SOUTH SIDES -97 LIGHTS 3/18/15 PAGE 3 II C OPTIONS 3 & 4 (CONTINUED) PROPOSED 135W TYPE 4 LED SHOEBOX STYLE LIGHT 30' POLE, BREAKAWAY ANCHOR BASE, 200' SPACING (OFFSET) C►�'�p/�/ 1 CONNEXUS� ENERGY OPTION 3: CRANE ST TO EAST NORTH AND SOUTH SIDES - 88 LIGHTS Your Community Energy Partner OPTION 4: SA ENTRANCE TO EAST NORTH AND SOUTH SIDES -97 LIGHTS 3/18/15 PAGE 4 5. E s ANDOVER FIRE DEPARTMENT 13875 Crosstown Blvd. NW Andover, MN 55304 Ph: 763.755.9525 Fax: 763.755.9583 www.andovermn.gov MEMORANDUM Date: March 17, 2015 �\ — To: Mayor and City Council Cc: Jim Dickinson, City Administrator Fr: Jerry Streich, Fire Chief/Emergency Management If Topic: Emergency Management At the upcoming City Council Workshop on March 24th, I will be presenting a short introduction on the role of Elected Officials in the Emergency Management System. After a short PowerPoint presentation, I will present you with a table top scenario to help better demonstrate the decision making process and responsibility you will have should a disaster occur within our city. In order to prepare for this discussion, I have attached a document produced by the League of MN Cities to help you better understand the laws, policies, and rules associated with an Emergency Management Event and the authority you have as an elected official to support our plan. Though this discussion is intended to be brief, I believe it will assist you in better understanding your role should we have an incident in the near future. We will continue to better prepare our community for an incident through effective communications, partnerships and training. HANDBOOK FOR MINNESOTA CITIES Chapter 13 Public Safety and Emergency Management Find out how cities may protect the public safety through regulations, such as adopting and enforcing the State Building Code, and providing services like police, fire protection or ambulance. Learn about preparingfor and carrying out emergency functions to prevent, minimize and repair injury and damage from disasters such as flooding or tornados. RELEVANT LINKS: I. Emergency management Minn. Stat § 12.03, subd, 4. Emergency management concerns both the preparation for and the carrying out of emergency functions to prevent, minimize, and repair injury and damage resulting from disasters (such as flooding, tornados, etc.); acute shortages of energy, or incidents at nuclear power plants that pose radiological or other health concerns. Emergencies may be "minor" (affecting only a small geographic area within one city) or "major" (impacting large areas and affecting numerous people). Emergency management requires the coordination of officials across Minnesota Homeland multiple departments or services, such as police, fire, fire responder, and security and Emergency rescue services; medical and public health; communications; and human Management (HSEM). Federal Emergency services. When large -scale disasters occur, cities often seek assistance Management Agency through mutual aid as well as from the county, state, or federal governments. (FEMA). FEMA National Response Federal and state laws create a nationwide framework, but the foundation Framework. rests on local planning, mitigation, response, and recovery. A. Local organizations Minn. slat. § 12.25, subd. 1. Cities are required to establish a local organization to perform emergency Statewide Radio Board management functions. The keys to emergency response are planning and Dispatchers Communications organization. It is critical to have in place a command structure (with pre - Best Practices Guide. established personnel and well - defined responsibilities), as well as a common communication system. Minn. sat § 12.25, subd. 1. The local emergency organization may be created by ordinance. Each Minnesota Emergency Management Director's organization must have a director (appointed by the mayor) who is Handbook, responsible for its organization, administration, and operation— subject to the direction and control of the city council. See Section I -B National An emergency organization must conform to both state and federal law. Incident Management System (NIMSJ. Once established, it must also meet ongoing training requirements established by both the federal government under the federal National Incident Management System (NIMS). This material is provided as general information and is not a substitute for legal advice. Consult your attorney for advice conwming specific situations. 145 University Ave. West vmvv.lmc.org 7/29/2014 Saint Paul, MN 55103 -2044 (651) 281 -1200 or (800) 925 -1122 0 2014 All Rights Reserved RELEVANT LINKS: Minn. Star. § 12.25, subds. 3, 5. Minn. Stat. § 12.03, subd. 9. Minn. Star. § 12.26. Minnesota Wing Civil Air Patrol. NIMS Resource Center. Comprehensive Preparedness Guide 101: Developing and Maintaining Emergency Operations Plans. NIMS Compliance Objectives and Metrics for Local Governments. NIMS Communications and Information Management staadards. NIMS Training. FEMA Fact Sheet — Elected Officials: What you need to know about NIMS, NIMSCAST. 44 C.F.R. § 201. Common organization agreements Generally, an emergency organization's concern is limited to its own territorial limits. However, with the approval of the state public safety director, two or more political subdivisions (counties, cities, towns, and certain metropolitan airport commissions) may determine boundaries or consolidate organizations through a "common organization agreement." 2. Taxation and expenses Cities are explicitly authorized to make appropriations for emergency management (which can include any local contingent of the civil air patrol). In addition, cities may specially levy (without regard to any levy limitations) to fund their emergency management organizations. B. National Incident Management System The National Incident Management System (NIMS) was developed to help emergency responders from different jurisdictions and disciplines work together (in a cohesive and effective manner) when responding to large -scale disasters that cross local jurisdictional lines. However, NIMS was also designed to be both flexible and scalable, allowing it to be useful for local response as well. State and local emergency response plans must conform to federal NIMS requirements, including: Following the NIMS template for organizational and command structure. Using a NIMS- complaint communications and information management system (a common operational platform that uses plain language for emergency operations, rather than local "10- codes," which can vary from jurisdiction to jurisdiction). NIMS training for emergency personnel (city police, fire, emergency medical services (EMS] staff, as well as elected officials must be trained in NIMS concepts and procedures, using a standardized curriculum). The federal government has developed the NIMS Capability Assessment Tool (NIMSCAST) to help local governments determine their level of compliance. Cities also demonstrate their commitment to compliance by adopting a resolution recognizing NIMS principles and policies. This resolution should be submitted to the Minnesota Department of Public Safety (DPS). League of Minnesota Cities Handbook for Minnesota Cities 7/2912014 Public Safety and Emergency Management Chapter 13 1 Page 4 RELEVANT LINKS: HSEM crane. Financial Assistance is often available to assist cities in developing an emergency organization, as well as meeting other NIMS requirements. However, cities that do not comply with NIMS are ineligible for certain federal emergency management grants (such as for fire department related purchases). C. Declaration of a local emergency Minn. slat § 12.29. The declaration of a local emergency by the mayor activates the city's Sample Emergency emergency organization structure. Once declared, the city's designated Declaration. emergency manager should contact the county emergency management HSEM. coordinator. If additional resources are needed, the county coordinator will FEMA contact the Minnesota Department of Public Safety, Homeland Security and Emergency Chain of Response. Emergency Management (HSEM) division, which will assign a person to coordinate the city's needs and available resources. Assistance from the Federal Emergency Management Agency (FEMA) may also become available if requested by the governor and /or HSEM. Minn. star § 12.37. The declaration of an emergency allows cities to utilize special provisions in Handbook, Chapter 23. many state statutes. In particular, the council is able to combat the disaster and provide emergency assistance without complying with time - consuming procedures and formalities that are generally required before: • The performance of public work. • Entering into contracts. • Incurring obligations. • Employing temporary workers. • Renting equipment. • Purchasing supplies and materials. • The appropriation and expenditure of public funds. See LMC information memo, Meetings of City Councils. An emergency declaration also allows cities to schedule and conduct meetings under special provisions of the Open Meeting Law. D. Intergovernmental assistance 1. Mutual aid Minn. slat. § 471.59. Cities have a long tradition of providing others assistance, especially in Minn. Stat. § 12.331. See LMC information times of emergency. It is quite common (as well as recommended) to enter memos, LMC/TModel into mutual aid agreements with their neighbors. In the absence of an MulualAidAgreemenq and Providing Assistance in agreement, cities can rely on statutory provisions that establish a structure Emergencies: Coverage and Liability Issues. for handling liability, workers' compensation, and equipment damage. Minn. stat. § 12.27, subd.2. With the governor's approval, cities may also enter into mutual aid agreements with emergency management organizations in other states. League of Minnesota Cities Handbook for Minnesota Cities 7/29/2014 Public Safety and Emergency Management Chaplgr 131 Page 5 RELEVANT LINKS: Minn. Stat. § 12.27, subd. 3. Public Law 104 -321. Minn. Stat. § 192.89. HSEM — EMAC. EMAC. Minn. Stat. § 412.221, subd. 32. Minn. Stat. §§ 626.74 -.89. POST Board. a. Designated dispatcher Cities must designate a person who will have the authority to dispatch equipment and personnel to other jurisdictions when it would be impractical for the city council to authorize such assistance itself. Typically, the city administrator or manager, public safety director, police chief, fire chief, or public works director is selected, but it can be any officer of the city. Determining whether to send assistance is a discretionary decision and one that requires consideration of the city's (as well as its residents) needs. When aid is dispatched by the designated dispatcher, the act is considered an act of the political subdivision for compensation of personnel, liability insurance coverage, and other matters. 2. Emergency Management Assistance Compact The Emergency Management Assistance Compact (EMAC) provides an orderly and uniform mechanism through which states can provide assistance to one another in emergencies. In Minnesota, HSEM coordinates interstate mutual aid operations under EMAC. Cities that wish to provide assistance for out -of -state disasters and emergencies should contact HSEM to register their availability. Mutual aid laws vary from state to state. As a result, local governments that self - deploy across state lines may be held responsible for accidents or injuries that arise. However, when working through the EMAC system, cities and city employees are provided important liability protections. II. Police protection While not specifically required by state law, many cities choose to provide police protection through city police departments or contracts for police services. Police departments are specifically required by some home rule charters. Police departments are created through ordinances and policies. Use of force and pursuit policies must be submitted to and approved by the Minnesota Board of Police Officer Standards and Training Board (POST). As is the case with other departments and employees, the city council generally has the authority to appoint, prescribe duties, fix compensation, and remove city employees— subject to collective bargaining agreements, civil service commissions, and state laws that specifically address peace officer discipline. League of Minnesota Cities Handbook for Minnesota Cities - 7/29/2014 Public Safety and Emergency Management Chapter 13 1 Page 6 1685 CROSSTOWN BOULEVARD N.W. • ANDOVER, MINNESOTA 55304 • (763) 755 -5100 FAX (763) 755 -8923 • WWW.CI.ANDOVER.MN.US TO: Mayor and Council Members FROM: Jim Dickinson, City Administrator SUBJECT: Review Past Council Goals and Discuss 2015 -2016 Council Goals DATE: March 24, 2015 INTRODUCTION Each year since 2011 the Council has updated the Goals and Values document to assure that the goals and values are fairly inclusive and continue to meet with the vision of the Council. The values and goals have been summarized into the following general categories: 1. Fiscal 2. Commercial/Residential Development/Redevelopment 3. Collaboration 4. Service Delivery 5. Livability /Image The attached City of Andover 2014 -2015 Goals and Values contain progress report segments. At the workshop, City Administration utilizing the Smart Board will facilitate a discussion with the Council to determine if acceptable progress is being made. Also attached for your reference is a City of Andover Community Vision & Organization Values and Goal document that contains City data in a summary format. ACTION REQUESTED Receive a brief presentation on the 2014 -2015 Council Goals and Values and participate in a discussion to determine if acceptable progress is being made. submitted, City of Andover 2014 -2015 Goals and Values Progress Report Fiscal Goals: Value Statement: The City recognizes the following fiscal values as the basis for delivering current and future services to the residents of Andover. 1. Assure city financial stability through cost effective services. 2. Focus spending on community needs; wants need to be supported by new or redirected sustainable revenues. 3. Explore new revenue streams. 4. Don't commit dollars today that will commit the City to unsustainable future expenses. Progress Report. • The 2013 & 2014 budget completed each year with both positive revenue and expenditure variances. The 2015 Budget was developed with specific guidelines that were adopted by the City Council and is being implemented following directives consistent with the adopted Fiscal Values. • Looking forward to 2016 the City Council will again adopt specific guidelines for the budget development; those guidelines will have the Council and City Staff continually analyze services. • The annual Capital Improvement Plan (CIP) development process evaluates current and future infrastructure improvements extensively to assure long term financial sustainability. • The City continues to maintain a Standard & Poor's AA+ bond rating. The City in 2014 received an upgrade of Financial Management Assessment (FMA) score from "Good" to "Strong ". • The City continues to work with the Council on preparing relevant technical and engineering plans for projects to position the City favorably when applying for grants to assistfunding various projects. 1 Commerciab'Residential Development/Redevelopment Goals: Value statement: The City wants to be supportive of those invested in or wanting to invest in our community. 1. Facilitate upgrades or redevelopment of blighted or underdeveloped commercial /industrial parcels. 2. Help stimulate business growth in Andover through more business friendly municipal costs, regulations and support programs. 3. Review TIF district expirations; discuss future planning and options available which may include the creation of new TIF Districts 4. Develop a business outreach plan to improve City relationships with the business community. 5. Continually analyze existing commercial areas to determine if expansion is feasible and seek out new areas to better serve the community. 6. Continually evaluate how to meet sewer /water and street needs of any proposed development and redevelopment projects. 7. Review City development processes to help reduce unnecessary steps, time delays and development costs. 8. Review storm water regulations to achieve cost savings at the local level and to help avoid duplicity of regulations that are enforced by another governing body. Progress Report: • TIF district status is reviewed periodically, TIF District 1 -2 decertify in 2012 and TIF District 1- Mecertified in 2014. The EDA is currently in discussions with Presbyterian Homes, owner of The Farmstead project, to determine if a TIF Note within TIF District 1 -3 could be extended an additional 10 years. • The EDA, utilizing TIF District 1 -1 & 1 -2 pooled funds and budget, has started the process of acquiring blighted properties making way for future redevelopment options along Bunker Lake Boulevard. • Staff working with Anoka County has been successful in acquiring and remarketing properties as part of the Anoka County Neighborhood Stabilization project. • Staff has started the process of inventorying hazardous residential structures and has initiated the abatement process with the City Council on some qualifying structures. • The City has eased signage restrictions and reduced commercial water utility connection charges. • The EDA initiated and completed a retail market analysis and created two TIF Districts to facilitate development of the Arbor Oaks senior housing project and Measurement Specialties Inc (now named TE Connectivity and employing approximately 150 employees). • The EDA worked with Cherrywood Advanced Living LLC to locate a 20 -unit advanced living facility in the Parkside at Andover Station North development area. • The EDA assisting Dynamic Sealing Technology Incorporated (DSTI) prepare for their long —term growth plan, sold to DSTI a 7.25 acre parcel in the Andover Station North development. Commercial /Residential Development /Redevelopment Goals (continued): • The City Council in 2012 initiated a pilot project for residential developers where the fixed fees, along with park dedication & trail fees, are collected at the time of building permit and variable fees be collected at time of final plat. The collection process is outlined in the development contract for each plat, and the developer signs an assessment agreement in the event the lots are not built on within two years the City would assess the fees to the lots not yet built on. • City Staff continues to increase involvement with the local chambers of commerce and is continually making efforts to visit business owners to determine their needs. The Anoka Area Chamber and Metro North Chamber relationships are positive. • Relative to evaluating sewer /water needs of proposed development, the primary involvement has been offering municipal service at the time of reconstruction of roadways. The City has been successful in securing some CDBG grants to make water service available to previously un- serviced neighborhoods. 3 Collaboration Goals: Value statement: The City is supportive of collaboration efforts that are cost - effective and improve efficiency in delivering services. I. Rethink how we deliver existing basic city services and seek lower cost with increased productivity. 2. New collaboration opportunities must be a win -win for the participating cities. 3. Continue to work on developing working relationships with: school district, county, and adjoining cities; the goal being to reduce costs, improve delivery of services, and be as efficient as possible. 4. Seek County support on meeting the City's needs relative to transportation, in particular on how improvements to County and City infrastructure can solve traffic problems for our residents, assist existing business, and help attract new businesses. 5. Work with waste /garbage haulers to determine if a more efficient garbage collection process for the community can be achieved. 6. Develop a system that will effectively coordinate volunteer efforts whether it is in response to local emergencies and disasters, or just for the delivery of basic services. Progress Report. • Council directives and departmental expectations for budget development and implementation stress seeking out efficient and cost effective services. That same philosophy will be used in the creation of the 2016 budget. • The City Fire Department is in the process of reorganizing administration of the department, focusing on retaining and recruitment of firefighters, evaluating the services provided and an increased focus on emergency management. • The City continues pursuing collaborative opportunities with the County, School Districts, and neighboring cities. City Administration has worked with the County to determine if the County Facility Maintenance Management System could provide efficiencies to the City. The City worked with the County and the City of Coon Rapids to develop a regional dog park at Bunker Hills Regional Park. Also the Library on the Go project with the Anoka County Library is a great example of a collaborative effort. • City, County & School district were all involved in providing solutions to traffic impacts by and around Andover High School resulting in the 2014 Crosstown /Andover Boulevard turn lane project. • The Bunker Lake Boulevard /7th Ave reconstruction project completed in 2014 and the future Bunker Lake Boulevard reconstruction (Crane Street to Jefferson Street) are good examples of how Cities and the County can work together on transportation issues. Progress is being made, although there still are many other locations along County roads that are in need of County participation, either by the County actually doing a construction project or allowing the City or a proposed development to do a construction project. Projects would include: turn - lanes, additional lanes, controlled intersections or reasonable access to a County road. M Service Delivery Goals: Value statement: The City is committed to providing efficient and cost - effective city services. 1. Determine if the City should reduce maintenance on parks not used or useable for cost savings; consider elimination of tot lots; focus development on larger parks and an expanded trail system. 2. Review the City relationships with the local sports associations to help provide for exceptional program delivery to the community. 3. Pursue paperless opportunities whenever possible and feasible. 4. Analyze the "administrative fine" process to reduce use of courts, increase local revenues, and improve code compliance. 5. Explore opportunities with law enforcement to improve community policing and to make a concerted effort by mentoring or being available to the teen population of the community. 6. Pursue local programming during summer or school days for the community youth by effective utilization of the Community Center and the City's relationships with local service organizations. 7. Continually review our processes to reduce unnecessary or unwanted service deliveries. 8. Discuss employee salaries and the review process with the budget development process. Progress Report. • The Parks and Recreation Commission along with City Staff continues to evaluate as part of the CIP development process all City Park properties to determine future uses and improvements. The Commission has invited the local sports associations and neighborhoods to participate in the review process. • In response to a task force report indicating that the City should consider enhancing or expanding current field offerings, the City Council purchased a 40 acre parcel to meet field demand, a master plan was developed and construction on phase I of the master plan was completed in summer 2013 and was open for use in 2014. • The City is currently using a paperless City Council packet and City Staff is continually encouraged to use electronic meanings of communication to limit paper use and to make presentations. The City data imaging project of historical documents is complete, current work product is scanned and archived on an ongoing basis. • City Administration and the City Attorney have researched administrative fines; neighboring communities have implemented administrative fines, staff continues to monitor to see if they are achieving measured success. • As part of the law enforcement contract, an investigator is tasked with pursuing community policing in current "hot spots " within the community. • The City Council initiated in 2013 a teen after - school program with the YMCA, that program continues today. The YMCA program in conjunction with the Youth First program is intended to help meet early teen programming needs within the community. • Through the budget development process, various service deliveries are reviewed to determine if the intended purpose of programs are being met or are still needed. • Employee salaries are evaluated annually; during the 2015 budget development process certain positions were recommended for adjustment to remain competitive. Livability/Ima2e Goals: Value statement: The City recognizes that providing quality basic & desired services enhances the quality of life of our residents. 1. Pursue preserving open space when viable and feasible opportunities are available. 2. Continue efforts along Hanson Boulevard with promoting sustainable landscaping and by encouraging consistent fence maintenance along roadways. 3. Provide a high level of professionalism to the public at all levels of the organization. 4. Engage more with various media outlets to tell the City of Andover stories better. 5. Pursue a community survey to determine resident support for current city services and programs. 6. Be creative in improving and adding amenity options for the residents of Andover. 7. Review recent 2010 Census data and use for planning future projects. Progress Report. • The Open Space Commission along with City Staff has continued to evaluate properties as options for the City to purchase as part of the Open Space Referendum program, negotiations with willing sellers continues and have yielded five open space property purchases. • Through the City residential development process, the preservation of open space through neighborhood buffering has been taken into consideration. • The City after a long negotiation process secured the purchase of the former Woodland Creek Golf Course, a subsequent easement agreement with the Minnesota Board of Water and Soil Resources (BWSR) to restore a majority of the former golf course to a wetland and sale of the old clubhouse site to a developer for a quality 6 unit residential development. • The City as part of an easement agreement with BWSR will see the construction of nature trails in and through the 64 +acre wetland easement area. • The City continues to monitor the past sustainable landscape plantings and will continue to pursue property owners along Hanson Boulevard to expand the landscape offering. • The City, working with the Morris Leatherman Group, conducted a community survey of the community in early 2014. The City received very favorable marks. • Updated 2010 Census data and a recent retail market analysis are being used as tools for economic development marketing. City of Andover COMMUNITY VISION & ORGANIZATION VALUES AND GOALS The City of Andover Community Slogan: "Welcome Home" The City of Andover's Vision Statement: "Andover, a safe, growing community in which to live and work which enhances the quality of its citizens' lives through recreational opportunity, quiet neighborhoods, civic involvement, and fiscal and environmental stewardship." City of Andover's Long Term Organizational Values and Goals: 1. EXCELLENCE AND QUALITY IN THE DELIVERY OF SERVICES The City of Andover believes that services to the public is our reason for being, and strive to deliver quality services in a professional and cost - effective manner. 2. FISCAL RESPONSIBILITY The City of Andover believes that fiscal responsibility and prudent stewardship of public funds is essential if citizens are to have confidence in government. rc11■:4111ralow- 30 lei W rrtau m The City of Andover believes that ethics and integrity are the foundation blocks of public trust and confidence and that all relationships are built on these values. 4. TREATING THE CITIZEN AS OUR CUSTOMER The City of Andover believes that the citizen is our customer and, as such, should be treated with courtesy, respect, and integrity. 5. OPEN AND HONEST COMMUNICATION The City of Andover believes that open and honest communication with each other and the public we serve is the key to having an effective organization and informed citizens. 1 City of Andover's Highest Priority External Goals: Goal #1 To prudently manage the city's growth. Goal #2 To enhance communication with the public. Goal #3 To develop and update the city's capital improvement program. Goal #4 To broaden the city's tax base through increased industrial and commercial development. Goal #5 To effectively balance the services that the city provides with available resources. City of Andover's Short -Term (one to five years) Organizational Goals - (with work plan): 1. FISCAL GOALS - the City recognizes the following fiscal values as the basis for delivering current and future services to the residents of Andover. A. Assure city financial stability through cost effective services. B. Focus spending on community needs; wants need to be supported by new or redirected sustainable revenues. C. Explore new revenue streams. D. Don't commit dollars today that will commit the City to unsustainable future expenses. 2. COMMERCIAL /RESIDENTIAL DEVELOPMENT /REDEVELOPMENT GOALS - the City wants to be supportive of those invested in or wanting to invest in our community. A. Facilitate upgrades or redevelopment of blighted or underdeveloped commercial /industrial parcels. B. Help stimulate business growth in Andover through more business friendly municipal costs, regulations and support programs. C. Review TIF district expirations; discuss future planning and options available which may include the creation of new TIF districts. D. Develop a business outreach plan to improve City relationships with the business community. E. Continually analyze existing commercial areas to determine if expansion is feasible and seek out new areas to better serve the community. F. Continually evaluate how to meet sewer /water and street needs of any proposed development and redevelopment projects. K G. Review City development processes to help reduce unnecessary steps, time delays and development costs. H. Review storm water regulations to achieve cost savings at the local level and to help avoid duplicity of regulations that are enforced by another governing body. 3. COLLABORATION GOALS - the City is supportive of collaboration efforts that are cost - effective and improve efficiency in delivering services. A. Rethink how we deliver existing basic city services and seek lower cost with increased productivity. B. New collaboration opportunities must be a win -win for the participating cities. C. Continue to work on developing working relationships with: school district, county, and adjoining cities; the goal being to reduce costs, improve delivery of services, and be as efficient as possible. D. Seek County support on meeting the City's needs relative to transportation, in particular on how improvements to County and City infrastructure can solve traffic problems for our residents, assist existing business, and help attract new businesses. E. Work with waste /garbage haulers to determine if a more efficient garbage collection process for the community can be achieved. F. Develop a system that will effectively coordinate volunteer efforts whether it is in response to local emergencies and disasters, or just for the delivery of basic services. 4. SERVICE DELIVERY GOALS - the City is committed to providing efficient and cost - effective city services. A. Determine if the City should reduce maintenance on parks not used or useable for cost savings; consider elimination of tot lots; focus development on larger parks and an expanded trail system. B. Review the City relationships with the local sports associations to help provide for exceptional program delivery to the community. C. Pursue paperless opportunities whenever possible and feasible. D. Analyze the "administrative fine' process to reduce use of courts, increase local revenues, and improve code compliance. E. Explore opportunities with law enforcement to improve community policing and to make a concerted effort by mentoring or being available to the teen population of the community. F. Pursue local programming during summer or school days for the community youth by effective utilization of the Community Center and the City's relationships with local service organizations. G. Continually review our processes to reduce unnecessary or unwanted service deliveries. 3 H. Discuss employee salaries and the review process with the budget development process. 5. LIVABILITY /IMAGE GOALS - the City recognizes that providing quality basic & desired services enhances the quality of life of our residents. A. Pursue preserving open space when viable and feasible opportunities are available. B. Continue efforts along Hanson Boulevard with promoting sustainable landscaping and by encouraging consistent fence maintenance along roadways. C. Provide a high level of professionalism to the public at all levels of the organization. D. Engage more with various media outlets to tell the City of Andover stories better. E. Pursue a community survey to determine resident support for current city services and programs. F. Be creative in improving and adding amenity options for the residents of Andover. G. Review recent 2010 Census data and use for planning future projects. 0 d 1685 CROSSTOWN BOULEVARD N.W.. ANDOVER, MINNESOTA 55304 • (763) 755 -5100 FAX (763) 755 -8923 • WWW.CI.ANDOVER.MN.US TO: FROM: SUBJECT: DATE: Mayor and Councilmembers Jim Dickinson, City Administrator Discuss 2016 Budget Development Guidelines March 24, 2015 INTRODUCTION City Administration is starting to focus on the 2016 Annual Operating Budget Development process and is looking to the City Council to establish the Council's guidelines for the preparation of the 2016 Annual Operating Budget. DISCUSSION The following are some suggested 2016 Budget Development guidelines for your consideration and could be impacted by the Councils discussion: 1) A commitment to a City Tax Capacity Rate to meet the needs of the organization and positioning the City for long -term competitiveness through the use of sustainable revenue sources and operational efficiencies. 2) A fiscal goal that works toward establishing the General Fund balance for working capital at no less than 45% of planned 2016 General Fund expenditures and the preservation of emergency fund balances (snow emergency, public safety, facility management & information technology) through targeting revenue enhancements or expenditure limitations in the 2015 adopted General Fund budget. 3) A commitment to limit the 2016 debt levy to no more than 25% of the gross tax levy and a commitment to a detailed city debt analysis to take advantage of alternative financing consistent with the City's adopted Debt Policy. 4) A comprehensive review of the condition of capital equipment to ensure that the most cost - effective replacement schedule is followed. Equipment will be replaced on the basis of a cost benefit analysis rather than a year based replacement schedule. 5) The use of long -term financial models that identify anticipated trends in community growth and financial resources that will help designate appropriate capital resources for future City needs. The financial models will be used in the budget planning process to ensure that key short-term fiscal targets are in line with long -term fiscal proiections. 6) A team approach that encourages strategic planning to meet immediate and long -term operational, staffing, infrastructure and facility needs. 7) A management philosophy that actively supports the funding and implementation of Council policies and goals, and a commitment to being responsive to changing community conditions, concerns, and demands, and to do so in a cost effective manner. ACTION REQUIRED The Council is requested to review the aforementioned proposed Budget Development guidelines, discuss whether or not they are appropriate for developing the 2015 Annual Operating Budget. Administration would like to have the guidelines adopted at the April 7th City Council meeting submitted, 4 Dickinson tk ,NDOVE , 1685 CROSSTOWN BOULEVARD N.W. • ANDOVER, MINNESOTA 55304 • (763) 755 -5100 FAX (763) 755 -8923 • WWW.CLAN DOVE R.MN. US TO: Mayor and Councilmembers FROM: Jim Dickinson, City Administrator SUBJECT: February 2015 General Fund Budget Progress Report DATE: March 24, 2015 INTRODUCTION The City of Andover 2015 General Fund Budget contains total revenues of $9,876,575 and total expenditures of $10,364,730 (includes $26,000 of 2014 budget carry forward); a decrease in fund balance is planned. Monthly reporting of the City Budget progress to the Governing body is a recommended financial practice and often viewed positively by rating agencies. DISCUSSION Attached is the General Fund Revenue & Expenditure Budget Summary - Budget Year 2015, reflecting year to date actual through February 2015. The attachments are provided to assist discussion in reviewing 2015 progress; other documents may be distributed at the meeting. The following represents Administration's directives and departmental expectations that are in place again for 2015: 1. Expenditure budgets while approved, expenses are to meet with the spirit that needs are fulfilled first, expansions of service and special requests are to be reviewed with City Administration before proceeding. 2. Departments are to be committed to search for the best possible prices when purchasing goods and services. 3. Departments are to be committed to continually searching out new efficiencies and to challenge the status quo of how the City provides services. 4. Departments are to be committed to searching out collaborative opportunities to facilitate efficient and cost - effective utilization of governmental assets and personnel. 5. Departments are to be committed to developing effective, consistent and ongoing communications with City residents, businesses and other stakeholders. 6. Departments are to be cognizant that services provided are subject to available revenues and should not commit to services that are not sustainable. ACTION REQUESTED The Council is requested to receive a presentation and provide direction to staff. tfully submitted, im Dickinson Attachment CITY OF ANDOVER General Fund Budget Summary Totals Budget Year 2015 Street Signs 197,274 2014 17% 187,936 203,533 2015 13% Traffic Signals REVENUES Budget Feb YTD % Bud Pre -Audit Final Budget Feb YTD %Bud 36,400 2,104 General Property Tax $ 7,501,816 $ - 0% $ 7,476,294 $ 7,706,892 $ - 0% 9% Licenses and Permits 307,355 21,185 7% 364,430 316,588 41,036 13% 1,009,373 Intergovernmental 609,541 185,060 30% 697,492 633,015 196,300 31% 135,120 Charges for Services 685,900 72,650 11% 998,510 748,550 69,877 9% 462,695 Fines 100,750 6,014 6% 94,375 100,750 8,771 9% Investment Income 75,000 (25,516) -34% 144,876 - 75,000 (25,300) -34% Youth Services Miscellaneous 91,850 56,996 62% 150,401 98,850 59,648 60% 89 Transfers In 196,930 196,930 100% 196,930 196,930 196,930 100% Total Revenues S 9,569,142 $ 513,319 5% S 10,123,308 $ 9,876575 S 547,262 6% 2014 2015 li \PI±NDITURES Budget Feb YTD %Bud Final Budget Feb YTD %Bud GENERAL GOVERNMENT Mayor and Council $ 86,840 $ 36,323 42% $ 84,650 $ 87,154 $ 36,742 42% Administration 176,265 29,193 17% 169,219 180,888 28,864 16% Newsletter 26,000 5,109 20% 20,974 26,000 5,329 20% Human Resources 39,229 6,208 16% 18,039 40,156 5,853 15% Attorney 178,300 14,749 8% 177,427 182,000 15,032 8% City Clerk 129,400 24,301 19% 128,859 135,359 259287 19% Elections 55,336 1,368 2% 41,506 57,492 1,388 2% Finance 235,459 52,014 22% 230,639 239,981 52,690 22% Assessing 150,000 - 0% 145,051 150,000 - 0% Information Services 176,629 21,799 12% 146,985 172,239 18,849 11% Planning & Zoning 401,360 62,833 16% 387,309 412,937 69,007 17% Engineering 465,656 74,664 16% 460,871 470,631 78,548 17% Facility Management 562,905 62,197 11% 470,400 579,802 71,975 12% Total General Gov 2,683,379 390,758 15% 2,481,929 2,7349639 4099564 15 PUBLICSAFETY Police Protection 2,818,132 - 0% 2,818,132 2,918,308 729,577 25% Fire Protection 1,127,389 144,661 13% 1,264,021 1,192,330 124,563 10% Protective Inspection 401,295 67,960 17% 390,908 423,161 67,344 16% Civil Defense 17,128 4,260 25% 21.837 39,189 4,458 11% Animal Control 9,950 285 3% 4,026 9,950 514 5% Total Public Safety 4,373,894 217,166 5% 4,498,924 4582,938 926,456 20% PUBLIC WORKS Streets and Highways 604,078 80,382 13% 600,315 625,664 95,791 15 %\ Street Signs 197,274 33,354 17% 187,936 203,533 26,866 13% Traffic Signals 35,000 1,604 5% 34,902 35,000 1,557 4% Sweet Lighting 36,400 2,104 6% 32,646 36,400 2,595 7% Street Lights - Billed 210,000 18,268 9% 203,148 216,000 14,867 7% Park & Recreation 1,122,426 130,097 12% 1,009,373 1,185,338 160,115 14% Recycling 131,147 12,381 9% 113,901 135,120 7,695 6% Total Public Works 2,854,274 501,950 18% 2,819,374 2,976,825 462,695 16% OTHER Miscellaneous 36,828 5,100 14% 28,683 31,728 15,328 48% Youth Services 52,500 0% 52,500 38,600 16,000 41% Total Other 89 Total Expenditures S 10,000,875 $ 1,114,974 11% $ 9,881,410 $ 10,364,730 $ 1,830,043 18% NET INCREASE (DECREASE) $ (431,733) $ (601,655) $ 241,898 $ (488,155) $ (1,282,781) 1685 CROSSTOWN BOULEVARD N.W. • ANDOVER, MINNESOTA 55304 • (763) 755 -5100 FAX (763) 755 -8923 • WWW.CI.ANDOVER.MN.US TO: Mayor and Councilmembers FROM: Jim Dickinson, City Administrator SUBJECT: February 2015 City Investments Review DATE: March 24, 2015 INTRODUCTION Summary reporting of the City Investment portfolio to the Governing body is a recommended financial practice and often viewed positively by rating agencies. Furthermore, the City of Andover Investment Policy recommends the Finance Director presents to the City Council at least quarterly the type of investments held by the City. DISCUSSION Attached is the Investment Maturities Summary for February 2015, the February 2015 Investment Detail Report and the February 2015 Money Market Funds Report. These attachments are intended to assist with discussion when reviewing the February 2015 investments. Also attached is a State Rating Category Map and other weekly market analysis. I thought I would distribute these items so you can see some of the research materials provided by the brokers to assist with making good investment decisions. ACTION REQUESTED The Council is requested to receive a presentation and provide feedback to staff. lly submitted, t_ Dickinson Investment Maturities - February 2015 Investment Maturities (in Years) Fair Less Than More Than Value 1 1 -5 6- 10 ! 10 $ 1,663,369 $ 1,663,369 $ $ $ 4,993, 4,993 - - - 8,726,474 5,184,591 3,044,314 497,569 - Credit Investment Type Rating Money market funds MN Municipal Money N/A Market Fund (4- M) N/A Certificates of deposit FDIC Local governments A/A1 /A2 663,895 _ - 558,279 _ 3,334,688 2,173,396 - 105,616 2,010,307 _507,709 418,659 387,115 AA1 /AA2 /AA3 7,664,721 1,812,017 AAA 4,144,992 1,165,822 State governments A Al /A2 436,488 207,580 228,908 AA1 /AA2 /AA3 931,489 239,578 312,070 379,842 - AAA 647,070 76,215 549,335 21,520 - U.S. agencies AAA 3,737,663 439,642 2,579,376 502,009 216,636 I FNMA REMIC — N/A — 13,8331 - 13,833 U.S. agencies N/A 557,406 557,406 Total investments $ 29,192,394 2,011,364 $ 10,586,226 $ 13,330,277 $ 4,058,814 $ 1,217,076 Deposits. _ Total cash and investments $ 31,203,758 February 2015 Investment Detail Description Cusip Number Credit Rating Type Purchase Price Carrying Cost Maturity Amount Interest Rate Current Market Value Interest Paid Date Acquired Coupon Date Maturity Due Date American Express Bk 02587CDA5 084601CW1 149159JZ9 29976DUL2 45824ABR6 33646CEG5 337478AZ4 70285TAR6 43785QGB3 33583CLJ6 06062AZP7 CD 249,000.00 249,000.00 249,000.00 249,000.00 249,000.00 249,000.00 249,000.00 249,000.00 249,000.00 249,000.00 249,000.00 249,000.00 249,000.00 0.350% 0.400% 0.300% 0.450% 0.200% 0.300% 0.200% 0.250% 0.350% 0.300% 0.350% 248,990.04 248,995.02 248,980.08 248,960.16 248,925.30 248,947.71 248,905.38 248,897.91 248,930.28 248,892 93 248,922.81 248,848.11 maturity maturity 12/18/14 12/19114 none none 03/18/15 03119/15 Berkshire Bank/Pittsfield Cathay Bank Everbank/Jacksonville FL Integrity Bank PA First Source Bank CD 249,000.00 249,000.00 249,000.00 CD 249,000.00 maturity 12123/14 none 03123/15 CD 249,000.00 249,000.00 249,000.00 249,000.00 249,000.00 maturity maturity maturity maturity maturity maturity maturity 12129/14 none 04102/15 CD 249,000.00 12117/14 12123/14 12/30/14 12117/14 none none 01130/15 none 04/17/15 04/23/15 04/30/15 05118/15 CD 249,000.00 First Virginia Cmnty Bank Passumpsic Savings Bank Homestreet Bank First Niagara Bank NY Bank of Baroda Essa Bank Trust CD 249,000.00 CD 249,000.00 249,000.00 CD 249,000.00 249,000.00 12/15/14 12116/14 01/15/15 06/15/15 CD 249,000.00 249,000.00 249,000.00 249,000.00 249,000.00 249,000.00 249,000.00 249,000.00 none 06/16/15 CD 249,000.00 249,000.00 249,000.00 249,000.00 249,000.00 249,000.00 maturity 12/23/14 none none 06/23/15 29667RLY7 CD 249,000.00 0.250% maturity 12/23/14 06/23115 -& Bank of India NY 06278CG66 CD 249,000.00 0.350% 248,922.81 maturity 12/24/14 12/24/14 none none none 12/11/14 06/20/11 none none none 01/31/14 06/01/14 06/24/15 06/24115 06/30/15 07/13/15 07120/15 09/14115 10/29/15 11/03/15 01/29/16 12/01/15 08/01/15 03/01/15 Santander Bank NA 80280JCO2 CD 249,000.00 0.450% 249,000.00 maturity Safra National Bank 78658QJX2 CD CD 249,000.00 0.300% 248,877.99 maturity 12/30/14 12/19/14 05/20111 12/19/14 07/25/11 07/25/11 07/31/13 08/15/13 Compass Bk Birmingham Garrett State Bank Paragon Commercial Bank Flushing Savings Bank 20451PKK1 366526AJO 69911 Q4D4 344030DK4 73565NAZ6 859532AH6 249,000.00 0.300% 248,868.03 200,968.00 248,736.06 251,562.21 251,609.52 maturity monthly maturity monthly monthly semi - annual semi - annual CD 200,000.00 200,000.00 200,000.00 1.750% 0.300% CD CD CD CD local 249,000.00 250,023.39 249,000.00 248,000.00 71,663.20 100,000.00 181,521.00 36,367.10 176,289.75 249,000.00 249,000.00 250,023.39 249,000.00 1.750% Portage County Bank 249,000.00 249,000.00 1.650% Sterling Savings Bank 248,000.00 248,000.00 0.750% 248,850.64 Chaska MN 161664DT1 AA 71,663.20 100,000.00 181,521.00 36,367.10 176,289.75 70,000.00 2.000% 70,882.00 Pell City AL 705880ML3 AA- local 100,000.00 180,000.00 1.200% 100,236.00 semi - annual 04/25/12 08/01/12 Pipestone - Jasper MN ISD #2689 724114BH5 AA+ local 1.000% 180,014.40 semi - annual 05/23/13 03/01114 Red Wing Minn ISD #25 757130JR1 751813QE9 943181NZ6 941647NW5 766651NP4 958522WQ3 64966JAW6 726243LT3 264474CKI 264438ZB1 7796986H7 841625MC7 AA- AA, AA2 AA2 AA2 AA2 local local 35,000.00 3.500% 35,01125 semi - annual semi - annual semi - annual semi - annual semi - annual semi - annual semi - annual semi - annual semi - annual semi - annual 01/11/11 06/05/12 11/08/11 06/27/13 05/05/14 08/16/11 04/07/14 12/27/12 01/18/11 12/05/12 07/10112 07/26/12 12/15/10 01/08113 03/14/11 12/12113 none 12/01/12 05/01/12 12/01/13 03/01110 04/01/12 06/01/11 none none 08101/13 08/15/12 none 08/01/11 06/01113 none 03101/15 06101/15 05/01/15 06/01/15 09/01/15 10/01115 Ramsey MN 175,000.00 1.000% 175,31500 55,103.40 256,162.80 35,782.60 101,009.00 204,142.00 76,527.00 Waunakee WI local local local local 55,000.00 55,000.00 55,000.00 1.500% Waterloo IA 261,334.20 261,334.20 255,000.00 2.000% Riley Cnty Kars Uni Sch Dist 36,876.00 36,876.00 35,000.00 4.730% Western Lake Superior MN New York NY Plainfield III Duluth Minn ISD #709 _ Duluth MN Rowlett TX South Eastern IA Cmnty College East Bethel Minn _ Cook Cnty IL Cmnly Clg Dist #5 _ Palm Beach Cnty FLA Johnson Cnty KS 101,790.00 101,790.00 100,000.00 2.000°/ 3.170% AA2 AA2 AA2 AA2 AA2 local local local local local 208,324.00 208,324.00 200,000.00 12/01115 79,373.25 79,373.25 75,000.00 3.000% 12/15/15 02/01/16 02/01/16 02/15/16 74,939.20 74,939.20 70,000.00 4.000% 71,439.20 105,652.05 101,905.55 105,652.05 105,000.00 1.000% 105,539.70 101,905.55 95,000.00 3.000°/ 2.000% 3.200% 2.000% 5.808% 2.000% 97,446.25 145,632.20 101,773.00 190,896.80 202,858.00 252,642.50 semi - annual semi - annual semi - annual semi - annual semi - annual semi - annual AA3 local 149,060.00 149,060.00 145,000.00 06/01/15 271074HRO AA3 local 100,941.00 100,941.00 100,000.00 02101116 216129FD3 AAA local 196,228.20 196,228.20 190,000.00 06/01/15 696497TPI AAA local 226,296.00 226,296.00 200,000.00 250,000.00 100,000.00 06/01/15 47870OJ99 AAA local 257,290.00 103,870.00 118,011.85 257,290.00 103,820.00 118,011.85 210,828.00 98,031.45 none 10101/15 Madison WI 55844RFY5 AAA local 2.000% 101,009.00 semi - annual 10101112 04101/13 10/01/15 Hinsdale IL 433416LW2 AAA local 115,000.00 200,000.00 95,000.00 2.000% 116,518.00 semi - annual 04/23/14 12115/14 12/15115 Three Rivers MN Park Dist 885718GG5 AAA local 210,828.00 98,031.45 3.000% 3.150% 205,172.00 96,725.20 semi - annual 12112/13 08101/14 02101116 Richardson TX 763227EC5 AAA local semi - annual 11/12/14 none 02/15/16 5,184,590.99 CD 2,977,838.30 local Description Cusip Number Credit Rating Type Purchase Price Carrying Cast Maturity Amount Interest Rate Current Market Value Date Acquired Coupon Date Maturity I Due Date /Minnesota State Oregon School Boards Assn Zero Cpn 6O4129WS1 AA1 AA2 state state 225,566.00 14,233.50 225,566.00 220,000.00 15,000.00 75,000.00 200,000.00 240,000.00 5.000% 3.000% 224,598.00 14,979.90 semi - annual maturity 01121/15 02/08/12 03/28/12 none 08/01/15 686053CE7 14,233.50 none 06/30/15 Texas State Fed Farm Credit Bank Fed Home Ln Mtg Corp Zero Cpn Lake Forest Bank & Trust Luana Savings Bank 882722J28 AAA stale 80,158.50 80,158.50 76,215.00 semi - annual semi - annual maturity semi - annual semi - annual semi - annual monthly semi - annual semi - annual semi - annual semi - annual semi - annual semi - annual 04/01/12 10/01/15 10/29115 3133EA6K9 AAA US 200,000.00 239,277.60 200,000.00 0.410% 200,194.00 10/29/12 04129/13 3134A1HH6 - AAA US 239,277.60 239,448.00 12/04/14 08/14/13 08/16/13 none 12/01115 8,917,864.19 509685ES8 CD 200,000.00 200,000.00 200,000.00 0.850% 200,800.00 02/14114 08/15/16 549103MY2 CD 248,000.00 248,000.00 248,000.00 0.750% 249,205.28 02/16114 08/16/16 09/06/16 12/22/17 07/25/18 07/02/19 07/11/19 07/22/19 07/23/19 07/30/19 09/24/19 11/25/19 12/20/19 12/26/19 12/01119 05/01/18 04/15/19 09/01/18 04/01/19 10/01/17 12/01/16 Synovus Bank GA 87164DFL9 CD 248,000.00 248,000.00 248,000.00 0.800% 247,590.80 09/10/14 03104115 Valley Cent Svgs Bk Reading OH 919441 CD 150,000.00 150,000.00 150,000.00 100,000.00 1.250% 149,142.00 12/22/14 01/22115 NCB Savings Bank FSB 628825JN2 CD 100,000.00 100,000.00 1.500% 99,401.00 07/25/14 01/25/15 01/02/15 01/11/15 01/21/15 Barclays Bank 06740KH136 CD _CD 247,000.00 247,000.00 247,000.00 247,000.00 247,000.00 245,000.00 247,000.00 247,000.00 247,000.00 2.050% 246,634.44 246,468.95 246,387.44 246,175.02 244,534.50 245,898.38 127,737.60 247,980.59 246,357.80 170,575.35 104,10200 108,480 00 112,42500 41,465.20 21,231.60 76,596.75 104,731.00 237,047.30 44,313.60 102,561.00 10,008.10 07103/14 _ Synchrony Bank 87164WBT4 247,000.00 2.050% 07/11/14 PrivateBank & Trust Co 74267GU08 38147JU59 CD CD CD CD CD CD CD 247,000.00 247,000.00 247,000.00 245,000.00 247,000.00 128,000.00 247,000.00 247,000.00 165,000.00 2.000% 07/21/14 Goldman Sachs Bank USA 247,000.00 2.050% 07/23/14 01/23/15 01/30/15 03/24/15 05/24/15 06/20/14 06/26/15 none 05/01/11 none 03/01/09 none none 06/01/14 none none none 06/01112 Bangor Savings Bank Victory Bank O60243DV1 245,000.00 1.000% 07/30/14 92644LABB 247,000.00 2.000% semi - annual semi - annual 09/24/14 Third Federal Sav &Loan 884130AWB 128,000.00 128,000.00 247,000.00 247,000.00 170,045.70 101,003.00 114,388.00 101,558.00 43,996.00 2.000% 11/24/14 Celtic Bank 15118RJM0 247,000.00 247,000.00 2.050% semi - annual _semi- annual 12120/13 Stearns Bank NA 857894PB9 1.000% 12126/14 _ Elbow Lake MN 284281KC5 A Al local 170,045.70 2.750% semi- annual semi - annual 12/08/14 10/05/10 Oshkosh Wis Storm Win Util 68825RBO1 local 101,003.00 100,000.00 100,000.00 3.250% 6.250% Oneida County NY 6824543R2 Al local 114,388.00 semi - annual semi - annual 08/16/10 05/28/08 Junction "City Kansas Barren Cnty KY Augusta ME Chaska MN North Mankato MN Port Auth Con 4815O2F72 42 local 101,558.00 100,000.00 5.500% 4.300% O68437DM1 42 local 43,996.00 40,000.00 20,000.00 semi - annual semi - annual 02/08/12 03/07/12 08/15/13 09/20/13 051411 ND4 A3 AA AA AA AA AA- local 22,500.00 22,500.00 5.250% 161666U8 local local local local 76,434.00 76,434.00 75,000.00 2.000% semi - annual 660760AG4 107,657.00 107,657.00 100,000.00 4.000% semi - annual 02/01/17 04/15/17 02/01/19 06/01/18 Philadelphia PA Auth Zero Coupon Rice Cnty MN Racine Wl 71781LBJ7 161,700.00 161,700.00 245,000.00 maturity 01112/10 762698GKB 7500216D4 604229KE3 751813PB6 60374YP35 250097A85 688443J27 236091 M92 60374YF93 45,466.80 45,466.80 40,000.00 4.400% 2.100% 2.450% 4.500% 3.250% 1.375% _6.000% 2.450% semi - annual 03/07/12 local 101,792.00 101,792.00 100,000.00 semi - annual 01/24/12 10/10/13 02/16/12 08/02/11 07/30/12 12/22111 07/16112 03/04/14 03/27/12 06/05112 06/11/13 02/26/13 02/24115 04/30112 10/31/12 Minnetrista MN AA+ local 10,000.00 158,677.85 10,000.00 10,000.00 semi - annual 08/01/14 04/01/16 none 12101112 02/01119 Ramsey MN AA+ local 158,677.85 21,269.40 145,000.00 149,702.35 semi - annual 04/01/19 Minneapolis Minn AA1 local 21,269.40 20,000.00 20,580.20 semi - annual 03/01/16 06/01/16 Des Moines IA Area Cmnty Col AA1 local 137,668.95 137,668.95 135,000.00 25,000.00 136,374.30 27,402.25 semi - annual Osseo MN ISO #279 AA1 local 30,103.25_ 106,487.00 220,938.00 224,634.00 111,898.00 217,672.00 30,103.25 semi - annual none 02/01/17 12101117 Dane County WI AA1 local 106,487.00 100,000.00 103,309.00 semi - annual semi - annual none Minneapolis MN King Cnty WA Minneapolis MN AA1 local 220,938.00 224,634.00 111,898.00 200,000.00 4.000_% 217,142.00 none 03/01/18 12101/18 49474E31_5 AA1 local 200,000.00 3.980% 216,248.00 semi - annual semi - annual semi - annual semi - annual semi - annual semi - annual none 60374YS73 AA1 local 100,000.00 3.250% 107,203.00 12/01/11 12/01/18 Cedar Rapids IA 15O528RM1 60374YS81 941647KE8 439881HCO AA1 local 217,672.00 200,000.00 _3.000% 211,556.00 12/01/13 06101/19 Minneapolis MN Waterloo IA AA1 local 278,632.50 278,632.50 250,000.00 3.5000% 270,687.50 none 12101/19 AA2 local 105,594.00 105,594.00 100,000.00 3.500% 105,060.00 none 06/01/17 Hopkins Minn ISD #270 AA2 local 95,278.40- 95,278.40 80,000.00 5.250% 4.400% 88,648.00 08101/09 02/01118 Scott County IA 8O9486EZ2 AA2 local 114,450.33 112,617.00 100,00000 107,395.00 semi - annual 12/01112 06/01/18 315,792.90 state 439,642.00 US -ess Than 1 year 3,044,313.80 CD Description Cusip Number Credit Rating Type Purchase Price Carrying Cost Maturity Amount Interest Rate Current Market Value Interest Paid Date Acquired Coupon Date Maturity) Due Date Orange Beach ALA 68406PHF1 941647PAl AA2 AA2 local 241,689.60 241,689.60 50,559.50 100,000.00 240,000.00 50,000.00 4.400% 2.000% 258,213.60 50,837.50 semi - annual semi - annual semi - annual semi - annual maturity semi- annual semi - annual semi - annual semi - annual semi - annual semi - annual maturity 08/05/10 06127113 08/16/11 07/17/13 07116/12 11/14/11 01110113 08/12114 06/01/09 07/01/10 12/22/11 06/26/13 02/01/11 02101/19 Waterloo IA local 50,559.50 12/01/13 06/01/19 Western Lake Superior MN Portsmouth VA Kane McHenry Cook & De Kalb Zero Clan Moorhead MN Maple Grove MN Ramsey Cnty MN Tennessee Valley Auth Washington County MN Saint Louis Park MN Brownsville TX ISD Zero Coupon 958522WU4 73723RSL8 AA2 local 100,000.00 100,000.00 3.150% 104,842.00 301,905.95 179,806.00 102,518.00 04/01/12 10/01119 AA2 local 286,268.00 286,268.00 295,000.00 2.400% 02/01/14 none none 08101113 02101/15 02/01120 484080MB9 6161412R7 56516PNY5 751622JG7 AA3 local 157,328.00 157,328.00 200,000.00 12101118 AA3 local 108,820.00 108,820.00 230,520.40 100,000.00 93,153.11 115,000.00 112,114.00 229,640.00 37,433.20 256,504.60 262,890.00 122,464.80 366,832.80 123,037.35 100,000.00 3.800% 02/01/20 02/01/17 local 230,520.40 220,000.00 2.000% 224,202.00 _AAA AAA local 100,000.00 100,000.00 1.130% 100,100.00 94,065.25 120,242.85 02101/17 07/18117 880591EA6 AAA local 93,153.11 85,000.00 5.500% 01/18/08 937791KL4 791740WC3 116421 E46 AAA local 115,000.00 115,000.00 3.750% 01101/11 none none none none none 08/01/11 none 01/01/18 02/01118 08/15118 02/01/19 AAA local 112,114.00 100,000.00 250,000.00 35,000.00 220,000.00 3.850% 107,169.00 AAA local 229,640.00 233,447.50 Minnetonka MN ISD #276 604195RA7 AAA local 37,433.20 256,504.60 262,890.00 122,464.80 366,832.80 123,037.35 116,900.00. 217,312.00 205,804.00 70,194.60 25,000.00 211,414.00 201,894.00 26,74150 103,089.00 3.100% 36,239.00 246,422.00 277,095.00 126,368.40 semi - annual semi - annual maturity semi - annual semi - annual semi - annual semi - annual 12/22/11 07106111 12/27113 08104/10 07115/11 Palm Beach Cnty FLA 696497TR7 AAA local 5.898% 06/01/19 Tenn Val Auth Cpn SMp Zero Cpn Norwalk Conn Greensboro NC _ Woodbury MN Dallas TX Indpt Sch Dist _ Illinois Slate Washington State_ _ Oregon State 88059EWZ3 AAA local 300,000.00 06/15119 668844DS9 AAA local 120,000.00 4.050% 08/01/19 39546OV21 AAA local 360,000.00 3.263% 377,593.20 118,421.25 112,031.00 207,580.00 216,528.00 70,380.80 25,16100 210,642.00 206,76600 26,493.00 105,434.00 199,986.00 100,069.00 249,295.00 199,550.00 224,903.25 198,922.00 99,324.00 200,170.00 198,772.00 199,734.00 10/01/19 97913PCQ7 AAA local 115,000.00 3.250% 12/22/11 none 02101/20 235308QK2 AAA local 116,900.00 100,000.00 4.450% 04/16/12 08/15/11 02115/20 452152HR5 A3 state stale state state state state state slate US 217,312.00 200,000.00 4.961% semi - annual 07/16/12 09/01/11 03/01/16 939758DL9 AA 205,804.00 200,000.00 4.500% semi - annual 01124/12 04/01/12 10/01/18 08/01/16 12/01/16 08/01/16 08/01117 68608URVO AA1 70,194.60 70,000.00 0.890% 1.116% 4.000% 2.326% semi - annual semi - annual 07/29/14 09/12/13 08/01/13 none none 02/01/12 Mississippi State 605581BV8 AA2 AAA AAA AAA AAA AAA AAA AAA_ 25,000.00 25,000.00 Texas State 882723BT5 211,414.00 200,000.00 semi - annual semi - annual 01/14/15 10/26111 Tennessee State Georgia State Texas State 880541QM2 201,894.00 200,000.00 373384ROl 26,742.50 25,000.00 2.970% semi - annual semi - annual 02/08112 08/10/11 none 04/01/12 10/01/18 10/01/18 04/01/16 06/08/17 10/30/17 12/27/17 12/28/17 01/30/18 02/13/18 03/27/18 06/12/18 07/30/18 08/01/18 12/28/18 01/30:19 03/04/19 08/25118 882722,151 103,089.00 100,000.00 200,000.00 100,000.00 250,000.00 2.894% 0.500% 0.900% 0.600% Fed Home Ln Mtg Corp 313464Y64 200,084.00 200,084.00 semi - annual 07/15/14 10/01/14 Fed Farm Credit Bank 3133EATE8 US US 99,647.00 99,647.00 semi - annual 11/04/13 12108/12 Fed Natl Mtg Assn 313660$69 _ 250,000.00 200,000.00 224,325.00 250,000.00 semi - annual 07122/14 04/30/13 Fed Home Ln Bank 3130A1AX6 AAA _ _ US US 200,000.00 200,000.00 225,000.00 200,000.00 100,000.00 200,000.00 200,000.00 200,000.00 100,000.00 300,000.00 200,000.00 100,000.00 13,274.61 224,000.00 250,000.00 1.300% 0.600% 0.700% 1.080% 1.300% 1.200% 1.200% semi - annual 03/27114 09/27/14 Fed Nail Mtg Assn Fed Natl Mtg Assn 3136616E4 NA AAA AAA AAA 224,325.00 semi - annual 07/11/14 none 07/30/13 3136GW8 US US US 200,000.00 200,000.00 semi - annual 01/30/13 Fed Farm Credit Bank 3133ECFA7 100,000.00 100,000.00 semi - annual 02/13/13 08/13/13 Fed Home Ln Mtg Corp Mad Term Note 313464XK9 200,000.00 200,000.00 semi - annual 03127/14 09/27114 Fed Home Ln Mtg Corp 3134646D5 US 198,000.00 198,000.00 semi - annual 06/12/13 12/12/13 01130/13 none 12/28/12 01/30/13 03/04/13 none none none Fed Home Ln Mtg Corp Med Term Note Fed Farm Credit Bank 3134G3ZK9 31331Y4S6 3136GORB9 3136GOY70 3133EC5NO _AAA AAA US 200,000.00 200,000.00 114,000.00 294,999.00 semi - annual 07/30/12 09/11/13 12/05/13 10/30/12 01/07/13 07/30/03 12/11/14 06/09/14 06/30/03 12/29/14 AAA US 114,000.00 5.050% 112,613.00 semi - annual Fed Natl Mtg Assn AAA US 294,999.00 1.375% 299,820.00 semi - annual Fed Natl Mig Assn AAA AAA US 199,300.00 199,300.00 1.080% 196,932.00 semi - annual semi - annual monthly maturity Fed Farm Credit Bank _ US 99,587.00 99,587.00 1.250% 99,286.00 Fed Nall Mtg Assn Remic 31393EAL3 US 204,187.50 13,552.54 215,452.16 236,235.00 7,487.89 93,140.00 4.500% 13,832.54 FICO Strip Cpn -E Zero Coupon 31771 JXM7 US 215,452.16 216,713.28 11/02/17 FICO Strip Cpn Zero Coupon 31771 EAA9 US 236,235.00 239,017.50 maturity 05/11/18 Fed Home Ln Mtg Corp 31393VMQ1 US 153,656.25 7,309.69 100,000.00 4.500% 7,613.19 monthly maturity 06/15/18 FICO Strip Cpn13 Zero Coupon 31771 C2G9 US 93,140.00 94,062.00 none 12/27/18 6,066,364.00 local 1,068,984.80 state 3,150,614.76 US Description Cusip Number Credit Rating Type Purchase Price Carrying Cost Maturity Amount Interest Rate Current Market Value ` d Interest Paid Date Acquired Coupon Date Maturity Due Date 249,000.00 13,330,277.36 248,805.78 monthly 07/27/14 08/18/14 none 06/15/19 none 06126120 06127/14 07/18/14 Citizens Alliance Bank 17318LAP9 CD 249,000.00 249,000.00 2.000% 2.100% 4.000% 6.000% Enerbank USA 29266NA31 CD 249,000.00 249,000.00 249,000.00 248,763.45 115,577.00 112,784.00 262,942.50 160,134.40 27,934.50 40,043.20 213,838.00 monthly 07/20/20 Chaska MN 1616636S3 AA local 115,122.70 115,122.70 110,000.00 semi - annual 09/08/14 02/01124 06/15/24 06/01 /20 02/01/21 03/15/21 02/01/23 02/01/24 02/01/25 09/01/20 06101/21 Mitchell SD Sch Dist #17-2 606687EH0 AA local 116,702.00 116,702.00 276,875.00 100,000.00 semi - annual semi - annual semi - annual 12/20/11 Stearns Co MN 857896MH4 AA, local 276,875.00 250,000.00 160,000.00 4.500% 04/17/13 MinnetristaMN Greenway MN ISD #31 604229KG8 AA+ AA- AA, local 161,038.40 161,038.40 27,593.50 40,000.00 198,018.00 103,933.00 106,979.00 50,606.00 3.100% 10/10/13 07/09/13 08/01/14 none 08/01/14 02/01/11 none none 12101/14 39678LDF6 local 27,593.50 25,000.00 40,000.00 200,000.00 100,000.00 100,000.00 50,00000 100,000.00 65,000.00 5.000% semi - annual _ Minnetrista MN 604229KJ2 local 40,000.00 3.850% semi - annual 10/10113 Savage Minn 80465PAN4 AA+ local 198,018.00 4.800% semi - annual 06/17/10 _ Lake City Minn ISD #813 _ Middleton WI Des Moines IA Area Cmnty Col Minneapolis MN Minneapolis MN 508084DW7 AA+ local 103,933.00 5.000% 107,013.00 semi - annual 05/11/11 02/24/15 11/10/14 10/31/11 12/09/14 596782RX2 W local 106,979.00 3750% 2.450% 106,325.00 semi - annual semi - annual semi - annual semi - annual semi - annual semi - annual semi - annual semi - annual semi - annual _maturity maturity semi - annual 250097H21 AA1 local 50,606.00 110,419.00 51,342.50 60374YG68 AA1 local 110,419.00 4.700% 4.800% 109,717.00 none 03/01/23 03101/24 02/01/23 02/01/25 06/01/20 12/01/20 60374YG76 AA1 local 72,201.35 72,201.35 71,50845 274,776.30 29,305.20 106,418.00 113,235.00 107,413.00 none Alexandria MN ISD #206 015131LO6 AA2 AA2 AA3 AA3 AA local local local local local 279,760.50 29,767.20 279,760.50 270,000.00 3.000% 01/21/15 none 08/01113 Duluth MN 264438ZL9 29,767.20 30,000.00 2.625% 12105/12 Davenport Iowa 238388GS5 111,948.00 109,541.00 111,480.00 111,948.00 100,000.00 4.650% 09/13/11 none Whitewater Wis 966204KA6 109,541.00 100,000.00 4.850% 06/09/11 03/13/12 03/11/13 03/18/13 11/19/12 02/20/15 none Hawkins Cnty TN 420218PL7 111,480.00 100,000.00 4.800% none none none none none 07/01/10 11/01/14 01/01/07 05/01124 05/01/20 Tenn Valley Auth Zero Cpn 88059EHD9 AAA local 263,970.00 88,133.00 23,491.73 39,956.40 263,970.00 300,000.00 267,687.00 Tenn Val Auth Cpn Strip Zero Cpn 88059EMX9 AAA local 88,133.00 100,000.00 _ - 89,782.00 07/15/20 Minnetonka MN ISD #276 604195PO4 AAA local 23,016.40 39,956.40 217,800.00 20,000.00 6.200% 2.133% 20,973.20 01/01121 Columbus OH Florida St Dept Environmental Massachusetts State 199492CS6 AAA local 40,000.00 40,217.20 semi - annual 12/01/21 3416OWUAO At state 217,800.00 200,000.00 6.206% 2.090% 6.300% 2.000% 228,908.00 203,020.00 semi - annual 08/30110 12/17/14 07/27/06 02/26/15 02/07/12 07/23/13 _01/26/15 07/01/22 57582P2T6 AA1 state 199,744.00 75,562.50 100,000.00 22,126.00 191,812.00 105,712.00 199,744.00 200,000.00 semi - annual 05101/20 Minnesota St Hsg Fin Agy Taxable 60415NE24 AA1 state 75,562.50 75,000.00 77,019.75 semi - annual semi - annual semi - annual semi - annual semi - annual - semi - annual 07/01123 Minnesota St Colleges B Univ 60414FPJ3 AA2 state 100,000.00 22,126.00 191,812.00 100,000.00 99,802.00 10/01/15 none 11/21113 none 10/01120 Virginia State 928109XD4 AAA slate 20,000.00 4.100% 1.740% 21,519.60 06/01/21 Fed Farm Credit Bank 3133ECQ64 AAA US 200,000.00 198,372.00 05/21/20 Fed Home Ln Mig Corp 3128X4S36 AAA US 105,712.00 100,000.00 200,000.00 105,105.00 03/17121 07/30/24 _ Fed Home Ln Bank 3133803H8 AAA US 200,000.00 200,000.00 _5.400% 1.500% 198,532.00 07/30/12 01130113 4,058,814.03 Itasca County Minn Milaca Minn ISD #912 105,024.00 106,941.00 159,000.00 102,750.00 121,500.00 250,000.00 93,750.00 106,030.45 none none none 11/01109 none none none none 1 -� 02/01/28 02/01/27 11/01/27 465452GP9 A AA+ AA2 AA2 AAA local local 105,024.00 100,000.00 100,000.00 5.550% 105,616.00 109,514.00 semi- annual 07/12/11 598699NT9 106,941.00 5.650% semi - annual 07/22/11 Will County IL Cmnty Zero Coupon Van Buren Mich Public Schools Tennessee Valley Auth Ser E Ice Deposit - National Sports Center Fed Home Ln Bank Fed Farm Credit Bank 969078OM9 920729HD5 local 159,000.00 500,000.00 285,120.00 maturity 08/25/09 local local local 102,750.00 100,000.00 6.430% 113,075.00 semi - annual 07117/09 05/01/29 11/0125 01/01/26 880591CJ9 121,500.00 100,000.00 6.750% 137,115.00 250,000.00 _ 90,980.00 125,656.00 1,217,076.00 semi - annual 03119/09 none 250,000.00 250,000.00 2.000% 5.250% 1 maturity 02/06/08 12/23/14 02/26/10 1 313381D51 AAA US 93,750.00 100,000.00 semi - annual 11/23/27 31331VLC8 AAA US 106,030.45 100,000.00 semi - annual 0421128 -- 1 1 1 1 27,524,031.58 5 Years 497,569.23 CD 2,428,966.45 local 630,269.35 state 502,009.00 US 6 -10 Years 1,000,440.00 local 216,636.00 US 10+ Years INVESTMENT SCHEDULE - Money Market Funds February 28, 2015 Description Current Market Value YTD Interest Wells . l Wells Fargo Government Money Market Fund 1 $1,663,368.711 _ $73.42 4M 1 14M 1 1,892.52 4M PLUS 1 4M Plus 1 3,100.71 Grand Total Money Market Funds 1 81,668,361.94 1 $73.42 Updated: 311212015 State Rating Category Map Guam NR/BB - /NR 1 Moody s /S &P /Fitch NR= Not Rated *No GO debt- Issuer rating ** Appropriation backed debt rating Last updated on 212612015 Data Sources: Moody's, Standard and Poor's and Fitch Ratings AA ® AA/A A BBB BBB /BB BB /B NH Aal /AA /AA+ MA Aal /AA + /AA+ RI �Aa2 /AA /AA r A/ Aa3 /AAA NJ Al /A/A DE Aaa /AAA /AAA MD Aaa /AAA /AAA \0 DC Aa2 /AA/AA PR Caal /BB /BB- f Us VI NR/NR /BB- State Ratings Map Wells Fargo Securities 6 Month Rating Action Heat Map: 9/2014 — 2/2015 Guam NR/BB - /NR =_ HI M Aa2 /AA /AA Moody s /S &P /Fitch NR= Not Rated *No GO debt- Issuer Rating ** Appropriation backed debt rating Colors represent rating action by at least one agency within the past 6 months Last updated on 212612015 Data Sources: Moody's, Standard and Poor's and Fitch Ratings State Ratings Map NH Aal /AA/AA+ MA Aal /AA + /AA+ RI ��Aa2 /AA /AA CT Aaa /AA /AA NJ Al /A /A DE Aaa /AAA/AAA MD Aaa /AAA /AAA DC Aa2 /AA /AA PR Downgrade IT Caal /B /BB /Be- Upgrade Vft * Favorable Outlook change Unfavorable Outlook change No Action us VI NR/NR/BB- Wells Fargo Securities 12 Month Rating Action Heat Map: 3/2014 - 2/2015 Guam NR/BB - /NR 0 HI r -Y Aa2 /AA /AA Moody's /S &P /Fitch NR= Not Rated N Downgrade *No GO debt- Issuer Rating Upgrade * *Appropriation backed debt rating ® Favorable Outlook change Colors represent rating action by at least one agency within the past 12 months Outlook Last updated on 2/26/2015 L Unfavorable change Data Sources: Moody's, Standard and Poor's and Fitch Ratings _ No Action State Ratings Map .w µ a NH Aal /AA /AA+ MA .y/ Aal /AA + /AA+ RI _Aa2 /AA/AA CT A13/AA/AA N] Al /A /A DE Aaa /AAA /AAA MD Aaa /AAA /AAA DC Aa2 /AA /AA us VI NR/NR/BB- Wells Fargo Securities Disclosure Important Disclosures This message is a product of the Wells Fargo Securities, Public Finance Credit Strategies Group, and is not a product of the Wells Fargo Securities, LLC Global Research Department. 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Wells Fargo Securities, LLC and Wells Fargo Prime Services, LLC are distinct entities from affiliated banks and thrifts Wells Fargo Securities James Dickinson From: Raymond James Fixed Income Research [ efolio.support@raymondjames.comj Sent: Tuesday, March 10, 2015 11:19 AM To: James Dickinson Subject: Dr. Ratajczak's Weekly Economic Commentary for Week Beginning March 9, 2015 RAYMOND JAMES° Fixed Income Research Link to the Research Document INTEREST RATES - After the creditors rejected the Greek requests, European interest rates again fell. The bund spread between the 2 and 10 year is 53 basis points, which makes sense only if rates are expected to fall further during the next ten years. With a five year recently auctioned at negative rates, anything is possible, but that appears highly unlikely. More likely is the mistaken belief that the euro may collapse and the bond holders would be paid in marks (they will if that happens, but at the euro exchange rate to marks). In the meantime, the bond -bund spread has widened to an historic 188 basis points. At such wide spreads, European investors cannot ignore treasuries, especially as higher rates are anticipated here which should further improve the dollar. Why are any Europeans investing in European bonds? Once again, treasuries have a less steep yield curve than the tax exempt, which only makes sense if the tax status is to change. Also, the ten year tax exempt yields less than the comparable treasury. The employment report was seen as confirmation that the Fed would remove "patience" from their next statement. That will be needed before rates can rise according to Yellen's testimony (she said at least two more meetings following the removal of that term though decisions are data dependent). Before the rejection of the Greek requests the bond market rallies were subsiding worldwide. With renewed concern about the euro and Greece, the European bonds again are rallying and, for a day at least, investors have shifted focus to Europe instead of the Fed. Ultimately, the bond bubble in Europe will break and the Fed will be the only issue confronting U.S. bond investors, but until then, that 188 basis point spread is very enticing. This message is a research document provided to you by RAYMOND JAMES If you are experiencing any problems reading these PDF's please go to http: / /www.adobe.com and download the latest versic RAYMOND JAMES' introduces a new, client driven interactive portfolio management system:RAYMOND JAMES clients can rur This system is a new and powerful way for you to make business decisions more quickly and accurately. For a tutorial, please g http: / /efolio.net For more information, please contact your RAYMOND JAMES® representative. The information contained herein is based on sources considered to be reliable but is not represented to be complete and its expressed herein reflect the judgment of the author at this date and are subject to change without notice and are not a compl respecting any company, industry or security Raymond James & Associates, Inc. and affiliates and their officers, directors, shar of their families may make investments in a company or securities mentioned herein before, after or concurrently with the pul & Associates, Inc. may from time to time perform or seek to perform investment banking or other services for, or solicit invest James Dickinson From: Raymond James Fixed Income Research [ efolio.support@raymondjames.comj Sent: Monday, March 02, 2015 12:37 PM To: James Dickinson Subject: Dr. Ratajczak's Weekly Economic Commentary for Week Beginning March 2, 2015 RAYMOND JAMES° Fixed Income Research Link to the Research Document INTEREST RATES - Investors continue to alternate between seeking lower rates to mirror European rates and backing away from debt until the Fed begins its rate raising, which continues to appear on track for this summer. However, treasuries show most of these variations, as the ten year tax exempt now yields 13 basis points more than comparable treasuries. The yield curve for the tax exempts also is steeper (166 basis points between the two's and ten's as opposed to 137 for treasuries). If treasuries are right, then the tax exempt market is wrong. The answer probably is in between, but that means higher treasury yields rather than lower yields are likely at this time. While the spreads between domestic debt instruments are hard to explain, the yield curve in Germany is downright bubbly. The two to ten spread is a lean 55 basis points, with the latest five year accepted by new buyers with a 23 basis point storage fee (they pay for the government to hold their money). At least the U.S. treasury spread suggests that rates should rise sometime in the next ten years. When short rates begin to rise, I expect the yield curve to flatten, though some rise in the long rates also is likely. After all, normal spreads in equilibrium appear to be 95 to 110 basis points and I expect that to happen as the short rates approach their equilibrium sometime in late 2017 or early 2018. This message is a research document provided to you by RAYMOND JAMES If you are experiencing any problems reading these PDF's please go to http: / /www.adobe.com and download the latest versic RAYMOND JAMES introduces a new, client driven interactive portfolio management system:RAYMOND JAMES clients can rur This system is a new and powerful way for you to make business decisions more quickly and accurately. For a tutorial, please g http: / /efolio.net For more information, please contact your RAYMOND JAMES® representative. The information contained herein is based on sources considered to be reliable but is not represented to be complete and its expressed herein reflect the judgment of the author at this date and are subject to change without notice and are not a compl respecting any company, industry or security Raymond James & Associates, Inc. and affiliates and their officers, directors, shar of their families may make investments in a company or securities mentioned herein before, after or concurrently with the pul & Associates, Inc. may from time to time perform or seek to perform investment banking or other services for, or solicit invest company, person or entities mentioned herein. Neither the information nor any opinion expressed herein constitutes a solicit< security. Raymond James & Associates, Inc. makes no representation as to the legal, tax, credit, or accounting treatment of am other effects such transactions may have on you and your affiliates or any other parties to such transactions and their respecti your own advisors as to such matters. March 13, 2015 Economics Group Weekly Economic & Financial Commentary U.S. Review Consumers in Winter Hibernation? • Retail sales unexpectedly fell 0.6 percent in February. Sales looked to have been depressed by the harsh winter weather that hit parts of the country during the month, with the biggest monthly declines occurring at auto retailers and building material stores. • The labor market continued to show signs of tightening this week. Job openings rose to a 14 year high in January while initial jobless claims ticked lower over the past week. • Inflation reports this week showed import prices rebounding on higher fuel costs, but widespread declines were reported across components of the Producer Price Index. Global Review Tough Sledding for European Manufacturing • January industrial production figures for both the Eurozone and the United Kingdom hit the wire this week and, in both instances, we saw a modest decline despite expectations of small improvement. The manufacturing picture is likely better than these reports suggest, and the manufacturing PMIs shows that activity is slowly improving (bottom graph). • Although Australia's _ February employment report beat expectations, the improvement was not enough to offset the weakness seen in the prior month. 40% 30% 20% 10% 0% -10% -20% -30% -40% � O7 65 60 55 so 45 40 35 U.S. Retail Sales Month- over -Monti and Year - over -Year Parcent Change �0.eW it Sales: Feb 0 1.7% O8 09 10 11 12 13 l4 17 European Manufacturing Purchasing Manager lnI 30 1 T 2000 2002 2004 Actual Foreceat Actual Fermat 2014 2015 2012 2013 2014 2015 2016 10 20 30 40 10 20 30 40 RealGmae Wneatk Product a -2.1 4.6 5.0 2.2 1.1 3.0 2.9 3.0 2.3 2.2 2.4 2.7 3.0 Personalconsurpton 1.2 2.5 3.2 4.2 3.3 2.8 2.8 2.8 1.8 2.4 2.5 33 2.7 Infleton Indkatom PCE Deflator 1.1 1.6 1.5 1.1 0.2 0.1 0.3 0.9 1.0 1.2 1.3 04 2.0 Con,. -r Prke Inge. 1.4 2.1 1.8 1.2 -0.2 -0.3 0.0 0.8 2.1 1.5 1.6 011 2.3 Induelrlal Prrductbn' 3.9 5.7 4.1 4.3 3.0 4.9 3.5 3.1 3.8 2.9 4.2 4.0 3.6 Coryorate PmOts Before Tares 1 -4.8 0.1 1.4 3.4 4.2 4.2 4.7 3.7 11.4 4.2 0.1 4.2 3.4 Trade Weaned WOW index a 76.9 75.9 81.3 85.1 91.3 92.5 93.8 95.0 73.5 75.9 78.5 93.1 97.5 Unernployirent Rate 6.6 6.2 6.1 5.7 5.5 54 5.3 5.2 8.1 7.4 6.2 5.4 5.0 Musty 5tads c 0.93 0.99 1.03 1.06 1.07 1.13 1.21 1.24 0.78 0.92 1.00 1.15 1.31 Quarter6M Interest Pates s Federal FuMS Taryet Wte 0.25 0.25 0.25 0.25 0.25 0.50 OJS L00 0.25 0.25 0.25 0.63 2.00 ComentIonal Mortgage Rate q34 q.lb 4.16 3.86 3.60 372 3.8] 3.89 3.66 3.98 4.1] 3.]] 4.56 30 Year Note 2.73 2.53 2R 2.l] 2.20 2.36 3.90 2.45 1.80 2.35 254 2.35 2.80 51.0 2006 2008 2010 2012 2ui4 Inside 4% 3% 2% 1% 0% -1% -2% -3% -4% 65 0 55 50 45 40 35 30 U.S. Review 2 U.S. Outlook 3 Global Review 4 Global Outlook 5 Point of View 6 Topic of the Week 7 Market Data 8 'Campoun0 Annu al Gr0r gaff Quarter -aver Quaner 'Year' -ar Y... Percentage Change Fedora Me,01 C.1-1 ndel. 1973.1W- Quartee End Mageone nnual NI 1.11 era average, Source: U.S. Department of Commerce, U.S. Department of Labor, Federal Reserve Board, HIS Global Insight, Bloomberg LP and Wells Fargo Securities, LLC Together we'll go far Economics Group U.S. Review Wells Fargo Securities, LLC U.S. Review Consumer Spending Should Perk Up Come Spring Retail Sales Ex- Autos, Gas & Building Materials "Core" Retail Sales After an unim ressive start to the ear consumers endin does P Y , P S not look to have perked up much at all in February. Retail sales 15% unexpectedly fell, declining o.6 percent. The drop marks the third 1211. straight monthly decline, with sales now contracting at a three- 5.0 month average annualized rate of 4.8 percent. However, unlike 9 previous months, February's miss was tougher to pin on price- 6% related declines in sales at gasoline stations. Following the first 4.0 monthly increase since June in AAA's measure of gas prices, sales 3% at gasoline stations rose 1.5 percent. 0% Excluding gas, retail sales fell o.8 percent. The broader miss comes as much of the Midwest and Northeast experienced record 3 cold and snowfall, which likely kept many shoppers at home. Car -6% purchases were put on the backburner, with sales falling 2.5 2.5 percent. In addition, sales at building material stores, which -9% are likely to be more sensitive to outdoor temperatures and -12% precipitation, saw the largest monthly decline in nearly three 04 05 06 07 08 09 10 11 12 13 14 15 years. Only a handful of store categories besides gas stations lob Openings recorded an increase in sales over the month. Among them were Millions of Openings, Seasonally Adjusted grocery stores and non -store retailers i e online sho in , , , PP g 5.5 which rose at the fastest pace in more than a year. Despite the disappointing run of retail sales reports the past few 5.0 months, we still believe consumer spending is set to strengthen in the months ahead. Data released this week showed household a.s wealth continues to rise, which should encourage more 4.0 consumers to part with more of their income. Household net worth increased $1.5 trillion in Q4, led largely by growth in 3.5 financial markets but also by higher real estate values. Net worth has recovered alongside consumer confidence, which sits near an 3.0 eight -year high. Moreover, households' real income in the three months through January rose at a 7.7 percent annualized rate, 2.5 supported by low inflation and solid job gains. 2.0 The run of strong job growth looks likely to continue. This week's Job Openings and Labor Turnover Survey showed demand for 1.5 15% 12% 9% 6% 3% o% -3% -6% -9% -12% workers continues to grow, with job openings rising to the highest 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 level in 14 years. Involuntary separations, i.e., layoffs and firings, PPI Intermediate Demand by Commodity also moved lower, as employers seem to remain comfortable with Year - over -Year Percent Change, SA the size of their workforce. The more timely initial jobless claims 40% series showed claims edged lower last week, keeping the four- 30% week moving average near this cycle's lows. Inflation Picture Still Favorable for Real Income Gains 20% The first of the inflation reports out for February showed that, even with a rebound in oil and gasoline prices over the month, inflation remains tepid. Import prices posted their first gain in seven months, but stripping out fuel and food, prices fell 0.3 percent. The producer price index for final demand fell 0.5 percent on a drop in the goods and services indices. The fall in energy costs is seeping into some services. Transportation services fell la percent, while lower margins at gasoline stations accounted for 30 percent of the drop in services prices. Price pressure further back in the pipeline continues to ease, with intermediate processed and unprocessed goods again falling. i 10% o% -l0% -20% -30% -40% -s0% 5.5 5.0 4.5 4.0 3.5 3.0 2.5 2.0 1.5 40% 30% 20% 10% 0% -10% -20% -30% -a0% -s0% 2009 2010 2011 2012 2013 2014 2015 Source: U.S. Department of Commerce, U.S. Department of Labor and Wells Fargo Securities, LLC 2 Economics Group U.S. Outlook Wells Fargo Securities, LLC Industrial Production • Monday Industrial production increased 0.2 percent in January, slightly Total Industrial Production Growth below consensus, but still increased 4.8 percent year over year. output Growth by volume Weakness mostly stemmed from autos and mining. Utilities output 15% rose 2.3 percent. A warm December was followed by a cold January, 0% ry, contributing to the volatility in the demand for electricity and natural gas. 5% Capacity utilization remained flat at 79.4 in February and is near its 0% long -run average. Mining capacity utilization, on the other hand, fell a full percentage point in January and has fallen three -5% percentage points since the recent July peak. -SO% We expect industrial production increased 0.2 percent month over month in February and that capacity utilization was flat at -15% 79.4 percent on the month. We look for mining output to continue to be volatile in the coming months. -zo% Previous: 0.2% Wells Fargo: 0.2% Consensus: 0.2% (Month- over - Month) 2.4 2.2 2.0 1.8 1.6 1.4 1.2 1.0 0.8 0.6 0.4 0.2 Housing Starts Seasonally Adjusted Annual Rate, In Millions 2.4 2.2 2.0 1.8 1.6 1.4 1.2 1.0 0.8 0.6 0.4 0.2 0.0 0.0 04 05 06 07 08 09 10 11 12 13 14 15 Current Account• Thursday The current account deficit widened to $100.3 billion in Q3. This was largely in line with expectations; however, the new information revealed in the release was that the surplus in the income balance fell from $32.8 billion to $24.1 billion in Q3. This was largely a result of one -off fines paid to the U.S. government in Q2, which helped inflate the income receipts. Turning to the financial account, foreign direct investment and portfolio investment in the United States remained strong in Q3, reflecting the relative outperformance of the U.S. economy. We expect the current account widened modestly to end the year. A stronger dollar and weak global economy likely supported imports and weighed on exports. The continued dollar appreciation may suggest investment in the United States was stronger in Q4, implying further strength in the financial account. Previous: - $100.3B Wells Fargo: - $1oo.oB Consensus:- $1o4.aB -z5% -30% 15% 10% 5% 0% -5% -10% -15% -20% -25% -30% 04 05 06 07 08 09 10 11 12 13 14 15 Housing Starts • Tuesday Housing starts tumbled 2.0 percent in January to a 1.07 million unit rate. Single - family starts were the reason for the decline, falling 6.7 percent on the month. Multifamily, on the other hand, increased 7.5 percent. Weather was likely a factor in the decline in January. In addition, single - family starts outpaced permits in December, possibly indicating further weakness in the indicator. It appears as if we will see continued strength in multifamily, as multifamily permits outpaced starts on the month. We expect that housing starts slowed to a 1.0o million -unit pace in February, reflecting the slower pace of permits and difficult building conditions in much of the country. Although the average temperature was near average nationally, the South and Northeast experienced below- average temperatures, and several winter storms likely weighed on housing starts during the month. Previous: 1o65K Wells Fargo: 1004K Consensus: 105oK (SAAR) $5,000 $4,000 $3,000 $2,000 $1,000 $0 - $1,000 Current and Financial Account Balances Billions USD, 4- Quarter Moving Sum •Current Account: Q3 $5,000 $4,000 $3,000 $2,000 $1,000 $0 - $1,000 - $2,000 1 i I - $2,000 1999 2001 2003 2005 2007 2009 2011 2013 Source: U.S. Department of Commerce, Federal Reserve Board and Wells Fargo Securities, LLC 3 Economics Group Global Review Wells Fargo Securities, LLC Global Review Soft Industrial Production in the United Kingdom U.K. Industrial Production Index A _- I Od h Year - over -Year Percent Change In ustna pr uctlon m t e United Kingdom slipped o.1 percent 6% in January. The U.K. manufacturing PMI had improved in Australian Unemployment Rate January, leading many market watchers to anticipate an increase 3% in the output figures for January. Most of the weakness was in the s.s% volatile electricity, gas steam and AC category, which is similar to 0% utilities production in the United States. Moves here can say as o% much about weather as they do about underlying manufacturing -3% activity. The mining and quarrying category posted a 2.0 percent gain for January and oil & gas production increased 2.4 percent -6% on the month. 7.5% The manufacturing PMI increased again in February, indicating -9% that prospects for firming in the U.K. manufacturing sector are -16% brightening. Indeed the year- over -year rate of output growth -12% climbed to 1.2 percent, just shy of the fastest annual growth rate since August. _15% 6% 3% 0% -3% -6% -9% -12% -15% Eurozone Production Weak as Well 1997 1999 2001 2003 2005 2007 2009 2011 2013 2015 In a remarkably imilar outturn, industrial production in the Eurozone Industrial Production Index Y P Year- over -Year Percent Change Eurozone 1 f11 o 1 t d 't tti f a 50 fell percen , espl a expec a Ions Or a 12% 0.2 percent monthly increase. The key explanatory variable for Australian Unemployment Rate the miss in the Eurozone, however, was the fact that December 8% production figures were revised sharply higher. The initial s.s% industrial production report for December was o.o percent, but 4% that figure was revised to a 0.3 percent monthly increase. o% The revision set up a higher base for the monthly change, but the -4% actual level of output was better than most were expecting. This is evident in the fact that the year- over -year rate of output growth in -8% the Eurozone climbed to 1.2 percent (working -day adjusted), 7.5% despite expectations for a scant increase of just o.1 percent. 12% The PMI numbers in the Eurozone are not quite as robust as they -16% are in the United Kingdom. The Eurozone manufacturing PMI, -20% for example, was 51.0 in January and unchanged in February. That 51 figure is above the 50 line that separates growth from -24% 12% 8% 4% o% -4% _8% -12% -16% -20% -24% contraction, but only barely, and is consistent with slow growth in 1997 1999 2001 2003 2005 2007 2009 2011 2013 2015 the Eurozone. Australian Unemployment Rate Better Jobs Report in Australia Seasonally Adjusted s.s% 8.5% In January, the Aussie economy shed 14,600 jobs and the unemployment rate climbed to 6.4 percent from 6.1 percent previously. We learned this week that Australian employers 7.5% 7.5% added a net 15,600 jobs in February and that was sufficient to bring the unemployment rate down to 6.3 percent. While the outtum was better than the consensus had expected, 6.5% 6.5% Australia's labor market is not without its share of difficulties at the moment. Full -time jobs (up 10,300) comprised a healthy 5.5% 5.5% share of February's job growth, but it was a decline of 30,900 full - time jobs that led January's decline. The improvement in February retraces only a third of the full -time job losses of the 4.5% 4.5% prior month. The lack of conviction in job growth, combined with below - target CPI inflation, will likely cause Australia's Reserve — unemployment Rate: Feb @ 6.3% Bank to cut its cash rate again this year. 3.5% 3.5% 1998 2000 2002 2004 2006 2008 2010 2012 2014 Source: IHS Global Insight and Wells Fargo Securities, LLC 0 4 Economics Group Global Outlook Wells Fargo Securities, LLC Brazil Economic Activity Index • Monday To argue that the Brazilian economy is in trouble is an Brazilian Economic Activity Index understatement. From every side you look at the Brazilian Year- over -Year Percent Change economy, things are not looking good. The economic activity index 14% ---- 14% will be released on Monday and we expect it will confirm the bad — Economic ic Activity Index: Dec 0.7% 12% times ahead for the Brazilian economy. Although the index 1z% recovered a bit in December on a year- over -year basis, up 10% 10% 0.7 percent, the index dropped o.6 percent from November. Thus, 8% 8% the prospects for this release, which will give a first hint at the conditions of the economy at the start Of 2015, are probably going 6% 6% to disappoint. Higher inflation and significant depreciation of the 4% 4% currency since mid -2014 have pushed the Brazilian central bank to increase interest rates, which we expect may lead to further 2% 2% deterioration in domestic consumption. The only positive of the 0% 0% depreciation of the currency is its effects on exports, which could help the economy a bit this year. 2% A -2% Previous: o.7% (Year- over -Year) Consensus: -1.4% 100 75 50 25 0 -25 -50 -75 -100 German ZEW Index —ZEW Index: Feb @ 53.0 100 75 50 25 -25 -50 -75 -100 1992 1994 1996 1998 2000 2002 2004 2006 2008 2010 2012 2014 U.K. Weekly Earnings • Wednesday Several labor market indicators will be released next week in the United Kingdom, including jobless claims for February, as well as the ILO unemployment rate, employment change and three -month average weekly earnings for January. Average weekly earnings have been growing nicely since mid -2014, but the pace of growth remains low compared to the rate experienced during the first decade of the century. We suspect that relatively higher consumer price inflation in the prior decade may have played a role in the discrepancy. Thus, growth in average weekly earnings that continues to be in line with the rate of inflation should not be of concern to the Bank of England as it continues to gauge its next monetary policy move, which we expect to come at the end of this year. Also slated for release on Wednesday are the Bank of England's minutes from its last monetary policy meeting. Previous: 2.1% (Year- over -Year of 3 -M Avg.) Consensus: 2.z% -4% -4% -6 % I -6% 04 05 06 07 08 09 10 11 12 13 14 15 Germany ZEW Survey • Tuesday The recent slight improvement in the German economy will be tested on Tuesday when the ZEW survey on current situation and expectations is released. The index has been giving a more positive signal over the past several months after weakening considerably during most of 2014. The better - than - expected growth coming from the German economy during the last quarter of 2014 confirmed this slight improvement. An even better reading will be a good indicator that the German economy has turned the corner and what is good for the German economy is good for the Eurozone. We have already seen some improvement in the industrial production index as well as in the manufacturing PMI, so a further improvement in the ZEW indices would tend to indicate that the German economy may continue to improve. Previous: 53.0 Consensus: 59.4 8% 6% 4% 2% 0% -2% U.K. Average Weekly Earnings rear - over -Year Percent Change, 3 -Month Moving Average 8% 6% 4% 2% 0% -2% -4% I I -4% 2001 2003 2005 2007 2009 2011 2013 2015 Source: IHS Global Insight and Wells Fargo Securities, LLC 5 Economics Group Point of View Wells Fargo Securities, LLC Interest Rate Watch Credit Market Insights On Board for a June Rate Hike Central Bank Policy Rates Defrosting the Housing Market Expectations for a June liftoff to Fed rate hikes increased considerably following February's strong employment report. The Fed's reluctance to normalize policy has largely hinged on the continued slack in the labor market but that argument now seems to have lost steam. Not only has job growth ramped up, but the quality of jobs has also increased and more workers are working longer hours and taking home larger paychecks. The unemployment rate has also fallen to 5.5 percent, which is the upper end of what is Widely considered as the zone of full employment. While there are still some powerful arguments to be made that there is still considerable slack available in the labor market and hourly wages have yet to increase significantly, the labor market appears to be well on its way to a full recovery. Concerns about the timing of the Fed's first rate hike have now shifted to inflation, which has been running too low, the dollar, which has been strengthening rapidly and the recent weakness in retail sales. While all of these concerns are valid, none of these concerns preclude the Fed from hiking rates this year and most will likely improve before the Fed has to make a call. February's weakness in retail sales added an unexpected wrinkle to the Fed's deliberations. Retail sales have fallen in each of the past three months, which is a rarity outside of recessions. Most of that drop, however, is tied to plunging gasoline prices. However, even after excluding sales at gasoline stations, as well as food, building materials and motor vehicles, sales have still fallen for the past two months and are up at just a 1.2 percent annual rate over the past three months. While the weakness in retail sales is disconcerting it probably will not alter the timetable for the Fed's first rate hike. Warmer weather appears to have brought shoppers out of hiding in March and, with sales so weak over the past three months, even modest gains this spring should more than reverse the slowdown we have seen over the past three months. -VS federal eeeerve'. Mar -13 4 0.25% -EC6: Mar - u 0 0.a5% n -sank of 3apan: Mar -13 e0.10% -- Dank & En land: Mar { r 00 O 02 03 00 05 W 07 08 09 10 11 12 13 14 15 Yield Curve V.S. neasonn, name tae. - 5% 4,0% 3,5% 0% 2.5% 2.0% as% 40% 30% 20% 10% 0% 10% -20% Bank Lending Asse6 at V.S. Commemllal Banks, YoV hrtent Change R,feCh"g hange 0% OS W 07 00 09 30 11 12 13 14 ]5 ).5% 6,0% 4.5% 0.0% 4.s% 4.0% 3.5% 3.0% 2.5% 1.5% 1.0% 0.5% o.o% W% 30% zo% 10% 0% -l0% 20% -30% In the beginning of this year, we saw a slowdown in home sales and new home construction. Though concerning, weather has been a major hindrance for much of the country. That said, with the winter season coming to a close, the slowdown should prove to be primarily seasonal. Improvements are already being seen in the market with mortgages applications for new home purchases as well as mortgage credit availability on the rise, according to the Mortgage Bankers Association. In accordance with that report, Freddie Mac released its Economic and Housing Market Outlook for March, which is calling 2015 a strong year for home sales and construction. One thing worth noting that could put a damper on housing activity is higher mortgage rates. The Fed is looking to June as the start date for rate increases; mortgage rates will more than likely increase as well. However, with rates for 3o -year fixed -rate mortgages at historic lows, marginal increases may not be significant enough to choke off activity. As the Winter blues subside, we expect the housing market to thaw as we enter the home buying season. We are still hopeful that the housing market will improve this year. The most recent jobs report pointed to improvement in the labor markets across age groups, in spite of less than stellar wage growth. This should help increase demand for homes and apartments, as signs are pointing to potential pent up demand. In other words, we should see much needed growth in the housing market this year and the next with little lasting effect from the winter season. Source: IHS Global Insight, Bloomberg LP and Wells Fargo Securities, LLC Source: Freddie Mac, Federal Reserve Board and Wells Fargo Securities, LLC N Credit Market Data Week 4 Weeks Year Mortgage Rates Current Ago Ago Ago 30 -Yr Fixed 3.86% 3.75% 3.76% 4.37% 15 -Yr Fixed 3.10% 3.03% 3.05% 3.38% 5/1 ARM 3.01% 2.96% 2.97% 3.09% 1 -Yr ARM 2.46% 2.44% 2.45% 2.48% Current Assets i -Week 4 -Week Year -Ago Bank Lending (Billions) Change (SAAR) Change (SAAR) Change Commercial & Industrial $1,827.8 11.89% 18.85% 11.89% Revolving Home Equity $455.8 17.56% -0.70% -2.68% Residential Mortgages $1,594.3 24.01% 8.64% 2.38% Commerical Real Estate $1,631.6 63.45% 17.81% 7.69% Consumer $1,196.5 - 13.52% - 1.61% 4.30% Source: Freddie Mac, Federal Reserve Board and Wells Fargo Securities, LLC N Economics Group Topic of the Week Wells Fargo Securities, LLC Topic of the Week The Dollar Soars The U.S. dollar has strengthened significantly since last summer. As shown in the top chart, the Fed's "Major Currency" index, which, as the name implies, measures the value of the dollar versus a trade weighted index of seven major currencies, has risen 20 percent since last July to reach a 12 -year high. Since last summer, the greenback has shot up 15 percent against the British pound, 20 percent versus the Japanese yen and 30 percent vis -A -vis the euro. The dollar has also enjoyed broad -based support against the currencies of many developing countries (bottom chart). So what is driving the dollar at present? The main driver appears to be the expected and actual divergence in monetary policy stances among central banks in 2015. While most analysts, we included, look for the Fed to begin hiking rates later this year, many foreign central banks are embracing further policy accommodation. The yield on the 2 -year government bond in the United States is up about 20 bps on balance since last July. In contrast, the yield on the comparable bond in Germany is down about 25 bps over the same period, and is actually in negative territory at present. This swing in interest rate differentials in the dollar's favor is helping support the value of the greenback versus most other currencies. Will the dollar's appreciation have any detrimental effects on the U.S. economy? Statistical analysis confirms that dollar appreciation generally is associated with slower growth in U.S. exports. However, the most important variable determining export growth is the rate of economic growth in the rest of the world, not the value of the currency. History is instructive in that regard. Between early 1983 and mid -1985, the "Major Currency' index rose 25 percent, reaching levels that were 40 percent higher than the current level. Yet, real exports grew 8 percent in 1984 and 3 percent in 1985 due to solid growth in the rest of the world at that time. If dollar strength did not kill off American exports in the mid -8os, when the dollar was much stronger, it is unlikely to do so today. U.S. Trade Weighted Dollar Major Index March 1973 =100 115 110 105 100 95 90 85 80 75 70 —Major Currency Index: Mar -06 @ 91.6 " 65 , I I I H i 1996 1998 2000 2002 2004 2006 2008 2010 2012 2014 150 140 130 120 110 100 U.S. Trade Weighted Emerging Currency Index March 1973 =100 Index: Mar -06 @ 142.4 90 i F I I I 1- 1996 1998 2000 2002 2004 2006 2008 2010 2012 Source: Federal Reserve Board and Wells Fargo Securities, LLC Subscription Info 2014 Wells Fargo's Weekly Economic & Financial Commentary is distributed to subscribers each Friday afternoon by e-mail. To subscribe please visit: www.wellsfargo.com /economicsemail The Weekly Economic &Financial Commentary is available via the Internet at www.wellsfargo.com /economics Via The Bloomberg Professional Service at WFRE. And for those with permission at www.wellsfargoresearch.com 115 110 105 100 95 90 85 80 75 70 65 150 140 130 120 110 100 90 7 Economics Group Market Data Wells Fargo Securities, LLC Market Data ♦ Mid -Day Friday Friday 1 Week 1 Year 3/13/2015 Ago Ago Euro ($ / €) 1.057 Friday 1Week 1Year 1.474 3/13/2015 Ago Ago 3 -Month T -Bill 0.02 0.01 0.04 3 -Month LIBOR 0.27 0.26 0.23 1 -Year Treasury 0.26 0.25 0.15 2 -Year Treasury 0.66 0.72 0.34 5 -Year Treasury 1.59 1.69 1.52 10 -Year Treasury 2.12 2.24 2.64 30 -Year Treasury 2.70 2.84 3.59 Bond Buyer Index 3.62 3.68 4.47 Friday 1 Week 1 Year 3/13/2015 Ago Ago Euro ($ / €) 1.057 1.084 1.387 British Pound ($ / €) 1.474 1.504 1.662 British Pound (€ / €) 0.717 0.721 0.834 Japanese Yen (Y /$) 121.470 120.830 101.840 Canadian Dollar (C$/$) 1.276 1.262 1.108 Swiss Franc (CHF /$) 1.008 0.986 0.875 Australian Dollar(US$ /A$) 0.765 0.772 0.903 Mexican Peso (MXN /$) 15.514 15.499 13.292 Chinese Yuan (CNY /$) 6.259 6.263 6.137 Indian Rupee (INR/$) 62.966 62.171 61.180 Brazilian Real (BRL/$) 3.213 3.064 2.364 U.S. Dollar Index 99.716 97.615 79.620 Source: Bloomberg LP and Wells Fargo Securities, LLC Next Week's Economic Calendar Monday Tuesday Wednesday Thursday Friday Commodity 17 18 19 go Industrial Production Friday 1Week IYear m January o.2% 3/13/2015 Ago Ago 3 -Month Euro LIBOR 0.02 0.03 0.28 3 -Month Sterling LIBOR 0.56 0.56 0.52 3 -Month Canada Banker's Acceptance 1.00 1.01 1.26 3 -Month Yen LIBOR 0.10 0.09 0.14 2 -Year German -0.23 -0.21 0.14 2 -Year U.K. 0.48 0.63 0.61 2 -Year Canadian 0.57 0.63 1.00 2 -Year Japanese 0.02 0.01 0.09 10 -Year German 0.26 0.39 1.54 10 -Year U.K. 1.72 1.95 2.69 10 -Year Canadian 1.48 1.61 2.38 10 -Year Japanese 0.41 0.40 0.64 Monday Tuesday Wednesday Thursday Friday Commodity 17 18 19 go Industrial Production Friday 1Week 1Year m January o.2% 3/13/2015 Ago Ago WTI Crude ($ /Barrel) 46.12 49.61 98.20 Gold ($ /Ounce) 1158.03 1167.19 1370.14 Hot - Rolled Steel($ /S.Ton) 495.00 500.00 626.00 Copper(a /Pound) 268.00 262.90 299.05 Soybeans ($ /Bushel) 9.85 9.80 13.85 Natural Gas ($ /MMBTU) 2.69 2.84 4.38 Nickel ($ /Metric Ton) 13,848 14,140 15,614 CRB Spot Inds. 468.42 471.56 534.72 Monday Tuesday Wednesday Thursday Friday r6 17 18 19 go Industrial Production Housing Starts FOMC Rate Decision LEI m January o.2% January 1o65K January 28th 0.25% January o.2% a O February 0.2% (W) February 1004K(W) March 18th 0.25 %(W) February 0.3% (W) rn Capacity Utilivtion Prev tons (February) o.9% Previous (February) 1.0% D January 19.4% February 19.4 %(W) Brazil Germany United Kingdom Argentina Economic Activity Index N ZEW Survery Weekly Earnings GDP (YOY) G Prevlous(Pere. her) o.7% Previous(February)53. o Previous(Decers her) 2.1% Prev l o111 (4Q)-0. 8% y Russia Canada Industrial Production (YoY) CPI(YOY) Prev tons (February) o.9% Previous (February) 1.0% Note: (W) = W ells Fargo Ectinn ate (C) = Consenana Eatim are Source: Bloomberg LP and Wells Fargo Securities, LLC 0 Wells Fargo Securities, LLC Economics Group Diane Schumaker -Krieg Global Head of Research, (704) 410 -1801 diane.schumaker @wellsfargo.com Economics & Strategy (212) 214 -5070 John E. Silvia, Ph.D. Chief Economist (704) 410 -3275 john.silvia @wellsfargo.com Mark Vitner Senior Economist (704) 410 -3277 mark.vitner @wellsfargo.com Jay H. Bryson, Ph.D. Global Economist (704) 410 -3274 jay.bryson @wellsfargo.com Sam Bullard Senior Economist (704) 410 -3280 sam.bullard @wellsfargo.com Nick Bennenbroek Currency Strategist (212) 214 -5636 nicholas .bennenbroek @wellsfargo.com Eugenio J. Aleman, Ph.D. Senior Economist (704) 410 -3273 eugenio.j.aleman @wellsfargo.com Anika R. Khan Senior Economist (704) 410 -3271 anika.khan @wellsfargo.com Azhar Iqbal Econometrician (704) 410 -3270 azhar.igbal @wellsfargo.com Tim Quinlan Economist (704) 410 -3283 tim.quinlan @wellsfargo.com Eric Viloria, CFA Currency Strategist (212) 214 -5637 eric.viloria @welksfargo.com Sarah House Economist (704) 410 -3282 sarah.house @wellsfargo.com Michael A. Brown Economist (704) 410 -3278 michael.a.brown @wellsfargo.com Michael T. Wolf Economist (704) 410 -3286 michael.t.wolf @wellsfargo.com Mackenzie Miller Economic Analyst (704) 410 -3358 mackenzie.miller @wellsfargo.com Erik Nelson Economic Analyst (704) 410 -3267 erik.fnelson @wellsfargo.com Alex Moehring Economic Analyst (704) 410 -3247 alex.v.moehring @wellsfargo.com Donna LaFleur Executive Assistant (704) 410 -3279 donna.lafleur @wellsfargo.com Cyndi Burris Senior Admin. Assistant (704) 410 -3272 cyndi.burris @wellsfargo.com Wells Fargo Securities Economics Group publications are produced by Wells Fargo Securities, LLC, a U.S broker - dealer registered with the U.S. Securities and Exchange Commission, the Financial Industry Regulatory Authority, and the Securities Investor Protection Corp. 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