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HomeMy WebLinkAbout06/11/2020 Meeting ••• ••••• Meeting Location: Municipal Center • Apple 7100 147th Street West Val ley Apple Valley, Minnesota 55124 Due to the declaration of a local emergency and social distancing guidelines, Council Members will participate using remote technologies June 11, 2020 CITY COUNCIL INFORMAL MEETING TENTATIVE DISCUSSION ITEMS 5:30 PM 1. Council Discussion Items (10 min.) 2. Present 2019 Comprehensive Annual Financial Report (30 min.) 3. Presentation on Police Department Policies and Training Standards (35 min.) 4. Adjourn CITY COUNCIL REGULAR MEETING TENTATIVE AGENDA 7:00 PM 1. Call to Order and Pledge 2. Approve Agenda 3. Audience - 10 Minutes Total Time Limit - For Items NOT on this Agenda 4. Approve Consent Agenda Items Consent Agenda Items are considered routine and will be enacted with a single motion, without discussion, unless a councilmember or citizen requests to have any item separately considered. It will then be moved to the regular agenda for consideration. A. Approve Minutes of May 28, 2020, Regular Meeting B. Approve 2021 Budget Calendar and Set Special Informal Meeting on August 27, 2020, at 5:30 p.m. C. Adopt Resolution Establishing Precinct Boundaries and Polling Places for 2020 Elections D. Adopt Resolution Appointing Judges for August 11, 2020, State Primary Election E. Receive 2019 Comprehensive Annual Financial Report F. Adopt Resolution Adopting 2020 Performance Measures and Approving Participation in Performance Measurement Program G. Approve Reduction of Financial Guarantee H. Adopt Resolution Approving 3 Ft. Setback Variance for Sign on Lot 1, Block 1, Heritage Lutheran Church(13401 Johnny Cake Ridge Road) I. Adopt Resolution Receiving Feasibility Report and Calling for a Public Hearing Relating to 2019-139, Mixed Business Campus: Adjacent to Pilot Knob Road J. Adopt Resolution Approving Plans and Specifications for Project 2020- 102, Redwood Pond Expansion, and Authorizing Advertisement for Receipt of Bids on July 7, 2020, at 10:00 a.m. K. Approve First Amendment to Sanitary Sewer Facilities Joint Service Agreement with City of Eagan L. Approve Fiber Optic Indefeasible Right to Use Agreement with Dakota Broadband Board M. Approve Agreement with BKJ Excavating for Project 2020-107, 2020 Utility Improvements N. Approve Change Order No. 1 to Agreement with Pro-Tec Design, Inc., for Municipal Center Lower Level Security Camera and Access Systems and Approve Acceptance and Final Payment O. Approve Acceptance and Final Payment on Agreement with Ryan Contracting Company, for Project 2019-109, 147th Street and Johnny Cake Ridge Road Intersection Improvements P. Approve Personnel Report Q. Approve Claims and Bills 5. Regular Agenda Items A. Hold Public Hearing on Vacation of Drainage and Utility Easements on Outlot B, Menards at Hanson Concrete, on SW Corner of Johnny Cake Ridge Road and 147th Street W. (Preliminary Platted as Apple Valley Commerce Center) B. Adopt Resolution Approving Temporary Amendment to On-Sale Liquor License Premises 6. Staff and Council Communications 7. Approve Calendar of Upcoming Events 8. Adjourn Reminder: City Offices are closed Friday, July 3, 2020, in observance of Independence Day NOTICE: Meeting procedures and access information due to Pandemic Emergency Orders are posted on the website Regular meetings are broadcast, live, on Charter Communications Cable Channel 180 and on the City's website at www.cityofapplevalley.org • ITEM: 2. ..... .... Apple COUNCIL MEETING DATE: June 11, 2020 Valley SECTION: Informal Agenda Item Description: Present 2019 Comprehensive Annual Financial Report (30 min.) Staff Contact: Department/ Division: Ron Hedberg, Finance Director Finance Department ACTION REQUESTED: N/A SUMMARY: A formal action to receive the 2019 Comprehensive Annual Financial Report will be included in the City Council agenda later the same evening. Jim Eichten, Managing Partner, with the City's auditing firm, Malloy Montague Kamowski Radosevich and Co., P.A. (MMKR) will present the 2019 Comprehensive Annual Finance Report and review their Management Report at the informal work session on June 11, 2020. Included with the council packet information are three separate bound documents in addition to one unbound report; the first bound document, and largest, is a copy of the Comprehensive Annual Financial Statements (CAFR), the second is the auditor's Management Report, and the third is Special Purpose Audit Reports including opinions on compliance with Government Auditing Standards and Legal Compliance. In addition to the bound reports also attached is a report titled "Popular Annual Financial Report". The intent of this report is to present data included in the CAFR in an easy to understand format. This report adds to the financial transparency for the city operations. This report, along with the Comprehensive Financial Report will be posted on the City's website Since the documents are large, a good place to start reviewing the CAFR documents would be the Popular Annual Financial Report and the Transmittal Letter in the CAFR (starting on page iii), the Management Discussion and Analysis letter (starting on page 4) in addition to the Auditor's Management Report starting on page 1 and their financial analysis section beginning on page 7 of that report. Last year was the eighth year that the City of Apple Valley participated in the Certificate of Achievement for Excellence in Financial Reporting program administered by the Governmental Finance Officers Association (GFOA), the City of Apple Valley was recently awarded the Certificate for the 2018 CAFR. The Popular Annual Financial Report for 2018 received the Award for Outstanding Achievement in Popular Annual Financial Reporting program administrated by the GFOA, for the second consecutive year. Staff believes that the current year's submission will also meet the requirements to receive the award. The presentation will cover some of the highlights of the year. If the Council has some items that they would like to be sure is covered just let me know prior to the meeting and we will be sure to cover it in the presentation. BACKGROUND: N/A BUDGET IMPACT: N/A ATTACHMENTS: Report Report Report Exhibit Presentation Comprehensive Annual Financial Report ' ; X.:sr\ i, 411PP- - 1 r ' . 1 p lic\ ' al r Aipp 41 ___, • r. r I . _ • 4., , lik NT' q! ?it:/. A „Aii, . P . lilt 944 frit . . , ) (e _. -, , % I . A 1141Nr City of :�. .. ... Apple Valley, •••� Minnesota Apple11 II Year Ended: Valley December 31 , 2019 THIS PAGE INTENTIONALLY LEFT BLANK CITY OF APPLE VALLEY DAKOTA COUNTY,MINNESOTA Comprehensive Annual Financial Report for the Year Ended December 31, 2019 Prepared by Finance Department CITY OF APPLE VALLEY 7100 147th Street West Apple Valley,Minnesota 55124 THIS PAGE INTENTIONALLY LEFT BLANK CITY OF APPLE VALLEY DAKOTA COUNTY,MINNESOTA Table of Contents Page INTRODUCTORY SECTION ELECTED OFFICIALS AND ADMINISTRATION ORGANIZATIONAL STRUCTURE ii LETTER OF TRANSMITTAL iii—ix CERTIFICATE OF ACHIEVEMENT FOR EXCELLENCE IN FINANCIAL REPORTING x FINANCIAL SECTION INDEPENDENT AUDITOR'S REPORT 1-3 MANAGEMENT'S DISCUSSION AND ANALYSIS 4-18 BASIC FINANCIAL STATEMENTS Government-Wide Financial Statements Statement of Net Position 19 Statement of Activities 20-21 Fund Financial Statements Governmental Funds Balance Sheet 22-23 Reconciliation of the Balance Sheet to the Statement of Net Position 24 Statement of Revenue, Expenditures, and Changes in Fund Balances 25-26 Reconciliation of the Statement of Revenue,Expenditures, and Changes in Fund Balances to the Statement of Activities 27 Statement of Revenue,Expenditures, and Changes in Fund Balances— General Fund—Budget and Actual 28 Proprietary Funds Statement of Net Position 29-32 Statement of Revenue,Expenses, and Changes in Net Position 33-34 Statement of Cash Flows 35-36 Notes to Basic Financial Statements 37-76 REQUIRED SUPPLEMENTARY INFORMATION PERA—General Employees Retirement Fund Schedule of City's and Nonemployer Proportionate Share of Net Pension Liability 77 Schedule of City Contributions 77 PERA—Public Employees Police and Fire Fund Schedule of City's Proportionate Share of Net Pension Liability 78 Schedule of City Contributions 78 Apple Valley Firefighters' Relief Association Schedule of Changes in the Relief Association's Net Pension Liability and Related Ratios 79 Schedule of City Contributions 80 Other Post-Employment Benefits Plan Schedule of Changes in the City's Total OPEB Liability and Related Ratios 81 Notes to Required Supplementary Information 82-87 CITY OF APPLE VALLEY DAKOTA COUNTY,MINNESOTA Table of Contents(continued) Page SUPPLEMENTARY INFORMATION Combining and Individual Fund Statements and Schedules Nonmajor Governmental Funds Combining Balance Sheet 88 Combining Statement of Revenues,Expenditures, and Changes in Fund Balances 89 Nonmajor Special Revenue Funds 90 Combining Balance Sheet 91-92 Combining Statement of Revenues,Expenditures, and Changes in Fund Balances 93-94 Nonmajor Debt Service Funds 95 Combining Balance Sheet 96-97 Combining Statement of Revenues,Expenditures, and Changes in Fund Balances 98-99 Nonmajor Capital Projects Funds 100-101 Combining Balance Sheet 102-105 Combining Statement of Revenues,Expenditures, and Changes in Fund Balances 106-109 General Fund Schedule of Revenue, Expenditures,and Changes in Fund Balances— Budget and Actual 110-115 Road Improvements Capital Projects Fund Schedule of Revenue, Expenditures,and Changes in Fund Balances— Budget and Actual 116 Future Capital Projects Fund Schedule of Revenue, Expenditures,and Changes in Fund Balances— Budget and Actual 117 Cable TV Special Revenue Fund Schedule of Revenue, Expenditures,and Changes in Fund Balances— Budget and Actual 118 EDA Operations Special Revenue Fund Schedule of Revenue, Expenditures,and Changes in Fund Balances— Budget and Actual 119 Cable Capital Equipment Capital Projects Fund Schedule of Revenue, Expenditures,and Changes in Fund Balances— Budget and Actual 120 Internal Service Funds 121 Combining Statement of Net Position 122 Combining Statement of Revenue,Expenses,and Changes in Net Position 123 Combining Statement of Cash Flows 124 CITY OF APPLE VALLEY DAKOTA COUNTY,MINNESOTA Table of Contents (continued) Page STATISTICAL SECTION Net Position by Component 125-126 Changes in Net Position 127-130 Fund Balances of Governmental Funds 131-132 Changes in Fund Balances of Governmental Funds 133-134 Assessed and Estimated Actual Value of Taxable Property 135-136 Property Tax Capacity Rates 137-138 Principal Property Taxpayers 139 Property Tax Levies and Collections 140-141 Ratios of Outstanding Debt by Type 142-143 Ratios of General Bonded Debt Outstanding 144-145 Direct and Overlapping Governmental Activities Debt 146 Legal Debt Margin Information 147-148 Pledged Revenue Coverage 149-150 Demographic and Economic Statistics 151 Principal Employers 152 Full-Time Equivalent City Government Employees by Function 153-154 Operating Indicators by Function 155-156 Capital Asset Statistics by Function/Program 157-158 THIS PAGE INTENTIONALLY LEFT BLANK INTRODUCTORY SECTION THIS PAGE INTENTIONALLY LEFT BLANK CITY OF APPLE VALLEY DAKOTA COUNTY,MINNESOTA Elected Officials and Administration December 31, 2019 ELECTED OFFICIALS Term Expires Mary Hamann-Roland Mayor December 31, 2022 John Bergman Councilmember December 31,2022 Thomas Goodwin Councilmember December 31, 2020 Ruth Grendahl Councilmember December 31,2020 Clint Hooppaw Councilmember December 31,2022 ADMINISTRATION M. Thomas Lawell City Administrator Pamela Gackstetter City Clerk Ronald Hedberg Finance Director/Treasurer Matt Saam Public Works Director Jon Rechtzigel Police Chief Chuck Russell Fire Chief Bruce Nordquist Community Development Director Barry Bernstein Parks and Recreation Director Cathy Broughten Assistant Finance Director Charles Grawe Assistant City Administrator Melissa Haas Human Resource Manager Brandon Anderson City Engineer Carol Blommel Johnson Public Works Superintendent -i- Organizational Structure City of Apple Valley Citizens Mayor and City Council Economic Planning Development Commission Authority City Attorney(contractual) City Administrator I i I [ • 1 Community Finance [Administration Police Fire 1 Parks& Public Developmentj Recreation Works Planning Accounting Administration Patrol Fire Recreation Street Maintenance Programs Economic Financial Reporting City Clerk/Elections Investigations Fire Inspection Park Maintenance Natural Resources Development Code Enforcement Cash&Investments Information Records Ice Arena Engineering Technology Utility Billing Human Resources Hayes Community& Building Inspections Senior Center Cable TV AV Aquatic Center Utilities Apple Valley Fleet Maintenance Community Center Municipal Liquor Valleywood Golf Cemetery Stores Redwood Pool -11- •••• Telephone (952) 953-2540 ••• Fax (952)953-2515 City of Apple 7100 147th St. W www.ci.apple-valley.mn.us Valley Apple Valley, MN 55124 May 27,2020 To the Honorable Mayor, City Council, and Citizens of the City of Apple Valley: The Comprehensive Annual Financial Report(CAFR) of the City of Apple Valley, Minnesota (the City), for the year ended December 31, 2019, is hereby submitted. The report was prepared in accordance with accounting principles generally accepted in the United States of America as established by the Governmental Accounting Standards Board and meets the requirements of the State Auditor's Office. The report consists of management's representations concerning the finances of the City. Consequently, management assumes full responsibility for the completeness and reliability of all information presented within this report. To provide a reasonable basis for making these representations,management of the City has established internal controls designed to protect the City's assets from loss, theft, or misuse and to provide sufficient information for the preparation of these financial statements in conformity with accounting principles generally accepted in the United States of America. Because the cost of internal controls should not outweigh the benefits, the City's internal controls have been designed to provide reasonable, rather than absolute, assurance that the financial statements will be free from material misstatements. As management, we assert that to the best of our knowledge and belief this CAFR is complete and reliable in all material respects. The City's financial statements have been audited by Malloy, Montague, Karnowski, Radosevich & Co., P.A.,Certified Public Accountants. The goal of the independent audit was to provide reasonable assurance that the financial statements of the City for the year ended December 31, 2019, are free of material misstatement. The independent audit involved examining,on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates used by management;and evaluating the overall financial statement presentation.Based upon the audit, the independent auditor concluded that there was a reasonable basis for rendering an unmodified opinion that the City's financial statements, for the year ended December 31,2019, are fairly presented in conformity with accounting principles generally accepted in the United States of America.The independent auditor's report is presented in the financial section of this report. Management's discussion and analysis(MD&A)immediately follows the independent auditor's report and provides a narrative introduction, overview, and analysis of the basic financial statements. The City's MD&A complements this letter of transmittal and should be read in conjunction with it. -iii- Profile of the City The City was incorporated as a village on January 1, 1969, and incorporated as a city on January 1, 1974. The City is a suburban community located 17 miles south of downtown Minneapolis within Dakota County, and has a convenient location with a comprehensive system of highways — Interstate 35E serves the northwest boundary of the City,while State Highway 77 runs north and south through the City. The City is served by a Bus Rapid Transit service that connects to the light rail system serving Minneapolis and St. Paul. The City is seven miles from the Minneapolis-St. Paul International Airport within the seven-county Twin Cities metropolitan region, has a land area of 17.5 square miles, and serves a community with a current population of 54,400. CITY OF APPLE VALLEY N ir IlLa 'Alm -MI 5 tiir'i'm leffilr II,mip St.Paul .� Minneapolis AL i .._ _Illi ",-, A. iii,....,01All,li. RegliTra �L�,o�-g� _ - 0 nsit—., 01 ie METRO Red Line ■ 1111 AppVaII - AVTS ti Iii t4 0 2.5 5 10 15 20 Miles METRO Red Line - �"'- -- Connection to Central Cities and MSP International Airport -iv- The City operates as a Statutory Plan A City,the Mayor-Council form,under Minnesota law.The governing body, consisting of the Mayor and four councilmembers, is elected at large and on a non-partisan basis. Terms of office are four years, with elections held in each even-numbered year; not more than three councilmembers' terms expire in any one year. The City Council is responsible for, among other things, passing ordinances, adopting the budget, appointing members to various advisory committees and commissions, and hiring the City Administrator and other city employees. The City Administrator is responsible for carrying out the policies,ordinances, and directions of the City Council and for overseeing the day-to-day operations of the City. The City provides its residents and businesses with a full range of municipal services consisting of public safety (police, fire, building inspections), public works, parks and recreation, and general government administration.The City also operates a number of enterprise activities including:water and sanitary sewer, Valleywood Golf Course, three off-sale liquor stores, storm water, street lights, sports arenas, and a cemetery. Sanitary sewage treatment and disposal is operated on a regional basis by the Metropolitan Council Environmental Services (MCES). Refuse collection and disposal are handled on a private basis through contractual arrangements by city residents with private haulers. Further information regarding city services can be obtained from the City's website at www.ci.apple-valley.mn.us. The Apple Valley Economic Development Authority (EDA) is a separate legal entity organized pursuant to Minnesota Statutes, Section 469,and is included as a blended component unit. The EDA is considered a component unit because the governing body is comprised of City Council members and two other members being appointed by the City Council. Also,the EDA is in a relationship of financial benefit or burden with the City. The annual budget serves as the foundation for the City's financial planning and control. The budgetary process is outlined in the notes to basic financial statements. The City applies budgetary controls to ensure compliance with legal provisions of the laws of Minnesota.Budgets are adopted on a basis consistent with accounting principles generally accepted in the United States of America. Annual budgets are adopted for the General Fund in addition to certain special revenue and capital projects funds. Budget to actual comparisons are presented for each governmental fund for which an annual budget has been adopted. Factors Affecting Financial Condition The City is committed to maintaining a strong financial condition, while continuing to provide public services to its residents and businesses.The City's financial position,as reflected in the financial statements presented in the reports, is perhaps best understood when it is considered from the broader perspective of the specific environment within which the City operates. Local Economy The economic conditions remain better for the City, its residents, and its businesses than at the state and national levels.The City's unemployment rate as of December 2019,for example,is 2.6 percent,compared to the state of Minnesota's rate of 3.5 percent and the national unemployment rate of 3.4 percent. Unemployment Rate Dec. 2019 Dec. 2018 Dec. 2017 Dec. 2016 Dec. 2015 City of Apple Valley 2.6% 2.5% 2.5% 3.0% 2.6% Dakota County 2.9% 2.7% 2.7% 3.4% 3.1% State of Minnesota 3.5% 3.2% 3.4% 4.1% 3.7% National 3.4% 3.7% 3.9% 4.5% 5.0% (Source:MN Dept.of Economic Development) -V- Housing Values Home values in the City are continuing a positive AFwiF4rrSbihr;lted Market%Wu'Median Value Hcennteaded trend, reflecting the current strength of the local RwE"ri°I housing market. The assessor's estimated market for 53113'nua -. unag N .g c s29a,�o - residential market values increased on the median srAN° valued home approximately 9.0 percent for 2019. 13p'0 140 Assessor values for 2020 and 2021 continue positives 3°cboe growth,but increases are moderating. pa?.NM P 11),V00 $1�6 143,5 $19u o°a Increase (Decline) in Median Value Home 5.17°,o°a - n I- X 2014 3.5% 2 2 2 2 2 w 2 2015 8.1% 2016 5.0% Tin INYFblr year 2017 2.5% 2018 6.2% 2019 9.0% 2020 6.7% 2021 (Preliminary) 3.2% The population of the City has increased from 585 in 1960 to 49,084 according to the 2010 census and is estimated at 54,400 for 2019.According to the 2010 census,most of the population of the City concentrates in two age groups: 45-54 years and 5-14 years at 17.0 percent and 14.2 percent,respectively. The average age is 32 years and the median household income was $78,028 as reported in the 2010 census. The most recent estimate of the median household income from the American Community Survey is $87,164 for 2019. The City is the home to Uponor and Wings Financial Credit Union. Other major employers in the area include Independent School District(ISD) 196, Target, Walmart,Minnesota Zoo,Augustana Health Care, Cub Foods, Questar Assessments, and Menards. Market Value Growth The City consistently adds new tax base each year. Total Market%Mize In 2019, a total of$136.4 million of market value 67 1.160 was added to the City's tax base and which current g , • , data indicates is continuing. Total market value mrc, I_ increased to $5.6 billion for 2019 resulting from s� — sim i improved market conditions and additionals hapartment construction. Conditions continue to ' , " _ 2 improve for the future with preliminary County rn r i , , , Assessor data for payable 2021 showing a I s.p o 4.9 percent increase to a total city-wide taxable market value of $6.3 billion, of which $65 and =.?de,!Market u4leo.MdMlIf M"FO.NO g $69 million results from new construction for pay —Total Markel Value µi mans.] 2020 and 2021,respectively. -vi- Major Initiatives In 2019,investment continued in the City as new businesses opened and new developments were approved. What follows is a sample of some of the development projects that were reviewed, approved, began construction, or were completed in 2019, as well as some of the long-range planning and economic development initiatives that will help maintain the City's high quality of life. Residential Development Over the past 10 years, single-family construction has averaged 77 units per year,and Reside nilal Building Permits 2019 saw 27 single-family units constructed, 1,000 valued at over $9 million. Recent multi-family construction shows strong activity for 2017 and s'°o 2018,with 1,038 apartment units permitted over sno the two-year period. The taxable value of these recent projects will come on line for taxes 400 - payable in 2020 and into 2021. 2019 saw the completion of a number of multi-family projects,including: Zvago senior condominium, _ which opened, adding 58 owner-occupied units, 2010 2011 2012 2011 2014 2015 2015 2017 20111 2019 multi-family projects permitted in 2018, with ■ratai Residential Units -Multi Family Units construction continuing into 2019 and 2020 include: Nuvelo at Parkside with 175 units, and the Springs at Cobblestone with 196 units. Resid2.ntial Construction i r w&remod ling)Values 45.,4k78.odu While the construction of new single-family 7: properties has dipped in 2019, which resulted , ,005 from the availability of fully developed lots,the x ,e40.003 valuation added by remodeling and renovations .oD is being maintained at a high level, valued at10,600 over $25.7 million. This reflects homeowners' '0 s.aoa,aaacontinued interest in investing in their properties. 2010 201t 2012 2011 201$ 201d 2016 2017 201! 2010 -New Singe Fling,Reildentlal Canstrjetfun Value Commercial Development -HerslaentleI a1reratlanvalue, Commercial and industrial development continued to improve in 2019, with total Commercial-Industrial Construction improvement values, including commercial Value alterations,totaling$45.6 million in 2019. ma,oaa.aoa 60,oao,oao New commercial construction projects included so,000,moa the 255,000 square foot new Menards store,the 401,o00r000 12,000 square foot Apple Valley Crossroads 30,000, 0o building at 147th and Cedar Avenue, and the 2040004000 tenant buildouts at 151 st and Cedar. 10.000,000 2010 2011 2012 2013 2014 2015 2016 2017 2016 2019 a Total Commercial CQnslrUdtlan Value -vii- Upcoming Initiatives include: Mixed-Use Business Campus In 2020,approximately 350 acres of mixed business campus will continue to be master planned,with some mixed uses proposed to begin development in the area currently being actively mined for aggregate. Significant public infrastructure improvements, including roads, trails, ponding, and park improvements, will be part of the plan and coincide with private development. Menards Development Site The 50-acre Menards site is proceeding with the initial construction of a new Menards store, with the following development to include additional mixed business uses (retail, office, and industrial) at County Road 42 and Johnny Cake Ridge Road. Water Meter Replacement Program The City began a water meter replacement program in 2019 and will be finished in 2020. Many water meters in the City have been in service for more than 25 years. The accuracy of water meters tends to diminish as they get older. The City's Capital Improvement Program includes a two (2)year schedule for completing the water meter replacement project and will be funded within the Water Utility Fund. Infrastructure Improvements The City is committed to maintaining its significant investment in the community's infrastructure with the implementation of an aggressive street maintenance program in 2012. In 2019, over $11.9 million was invested to maintain the infrastructure and included the following significant projects: • Reconstruction of streets in the Apple Valley 11th subdivision neighborhoods • Reconstruction of Johnny Cake Ridge Road from CR 42 to McAndrews Road • Reconstruction of the Johnny Cake Ridge Road and 147th intersection • Additional resurfacing of streets throughout the community to preserve their useful lives Long-Term Financial Planning In developing the annual budget,the City follows five core fiscal principles. These include: • Focus on the provision of basic city services and fund their provision as adequate levels. • Estimate anticipated revenues at realistic levels. • Retain adequate reserves to protect against fiscal uncertainty. • Anticipate continued community growth and program capital improvements to serve our growing community. • Demonstrate strong stewardship of existing infrastructure and plan for its repair/replacement in a proactive manner. Each year,the City adopts a five-year Capital Improvement Program(CIP). The CIP is a five-year plan that identifies the City's infrastructure, development objectives, and the allocation of resources for these projects. This CIP provides policy makers and the community with a strategic approach to implementation and administration of improvement projects.The 2019-2022 CIP identifies$127 million of capital projects, along with the associated funding. The five-year CIP also includes 5-year revenue and expenditure projections for the majority of funds identified in the document. One of the larger improvements included in the 2020-2024 CIP includes the continued street and utility reconstruction and reconditioning program,which totals $73 million over the next five years. -viii- Relevant Financial Policies The City utilizes various financial and budget policies to guide the City Council and staff when making financial decisions. These include adoption of a balanced budget,minimizing the reliance on state revenues which have proven to be unpredictable, setting of a 50 percent of subsequent year's budgeted expenditures minimum fund balance level to provide for cash flow purposes, and adoption of a five-year capital improvement plan to provide for capital asset acquisition and replacement. Cash temporarily idle during the year was invested in U.S. government agency obligations, municipal securities,certificates of deposit,and money market instruments.The City's investment policy calls for the investment of public funds in a manner that will provide the highest investment return with minimum risk, while meeting the daily cash flow demands of the City. For investments held at December 31, 2018, the effective duration of the investment portfolio was 1.94 years. For investments held at December 31, 2019, the effective duration of the investment portfolio was 2.16 years. The City's average return on investments in 2019 was 4.01 percent. Awards and Acknowledgements The Government Finance Officers Association(GFOA) of the United States and Canada awarded the City a Certificate of Achievement for Excellence in Financial Reporting to the City for its CAFR for the fiscal year ended December 31, 2018. This is the eighth year that the City achieved this prestigious award. In order to be awarded a Certificate of Achievement, a government must publish an easily readable and efficiently organized CAFR. This report must satisfy both generally accepted accounting principles and applicable legal requirements. A Certificate of Achievement is valid for a period of one year only. We believe that our current CAFR continues to meet the Certificate of Achievement Program's requirements and we are submitting it to the GFOA to determine its eligibility for another certificate. The preparation of this report could not occur without the efficient and dedicated service of the entire finance department staff throughout the reporting year. We would like to express our appreciation to all members of the department who assisted and contributed to the preparation of this report. We would like to thank the City Council for its commitment in planning and implementing the financial operations of the City in a fiscally prudent and progressive manner. Respectfully Submitted, CITY OF APPLE VALLEY,MINNESOTA fl°*c.'-'6571444V--..— Ronald Hedberg Finance Director -ix- Government Finance Officers Association Certificate of Achievement for Excellence in Financial Reporting Presented to City of Apple Valley Minnesota For its Comprehensive Annual Financial Report for the Fiscal Year Ended December 31, 2018 aeuister,14. 2,4014La Executive Director/CEO -x- FINANCIAL SECTION THIS PAGE INTENTIONALLY LEFT BLANK PRINCIPALS Thomas A.Karnowski,CPA Paul A.Radosevich,CPA William J.Lauer,CPA M KR P ■ James H.Eichten,CPA CERTIFIED PUBLIC Aaron J.Nielsen,CPA ACCOUNTANTS Victoria L.Holinka,CPA/CMA Jaclyn M.Huegel,CPA Kalen T.Karnowski,CPA INDEPENDENT AUDITOR'S REPORT To the City Council and Management City of Apple Valley,Minnesota REPORT ON THE FINANCIAL STATEMENTS We have audited the accompanying financial statements of the governmental activities, the business-type activities, each major fund, and the aggregate remaining fund information of the City of Apple Valley, Minnesota (the City) as of and for the year ended December 31, 2019, and the related notes to the financial statements, which collectively comprise the City's basic financial statements as listed in the table of contents. MANAGEMENT'S RESPONSIBILITY FOR THE FINANCIAL STATEMENTS Management is responsible for the preparation and fair presentation of these financial statements in accordance with accounting principles generally accepted in the United States of America; this includes the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error. AUDITOR'S RESPONSIBILITY Our responsibility is to express opinions on these financial statements based on our audit. We conducted our audit in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement. An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor's judgment, including the assessment of the risks of material misstatement of the financial statements,whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the City's preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the City's internal control. Accordingly, we express no such opinion. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinions. (continued) -1- Malloy, Montague, Karnowski, Radosevich & Co., P.A. 5353 Wayzata Boulevard • Suite 410 • Minneapolis, MN 55416 • Phone: 952-545-0424 • Fax: 952-545-0569 • www.mmkr.com OPINIONS In our opinion, the financial statements referred to on the previous page present fairly, in all material respects, the respective financial position of the governmental activities,the business-type activities, each major fund, and the aggregate remaining fund information of the City as of December 31, 2019, and the respective changes in financial position and, where applicable, cash flows thereof, and the budgetary comparison for the General Fund for the year then ended, in accordance with accounting principles generally accepted in the United States of America. OTHER MATTERS Required Supplementary Information Accounting principles generally accepted in the United States of America require that the management's discussion and analysis and the required supplementary information (RSI), as listed in the table of contents,be presented to supplement the basic financial statements. Such information, although not a part of the basic financial statements, is required by the Governmental Accounting Standards Board, who considers it to be an essential part of financial reporting for placing the basic financial statements in an appropriate operational, economic, or historical context. We have applied certain limited procedures to the RSI in accordance with auditing standards generally accepted in the United States of America, which consisted of inquiries of management about the methods of preparing the information and comparing the information for consistency with management's responses to our inquiries,the basic financial statements, and other knowledge we obtained during our audit of the basic financial statements. We do not express an opinion or provide any assurance on the information because the limited procedures do not provide us with sufficient evidence to express an opinion or provide any assurance. Other Information Our audit was conducted for the purpose of forming opinions on the financial statements that collectively comprise the City's basic financial statements. The introductory section, supplementary information, and statistical section, as listed in the table of contents, are presented for purposes of additional analysis and are not required parts of the basic financial statements. The supplementary information is the responsibility of management and was derived from and relates directly to the underlying accounting and other records used to prepare the basic financial statements. Such information has been subjected to the auditing procedures applied in the audit of the basic financial statements and certain additional procedures, including comparing and reconciling such information directly to the underlying accounting and other records used to prepare the basic financial statements or to the basic financial statements themselves, and other additional procedures in accordance with auditing standards generally accepted in the United States of America. In our opinion, the supplementary information is fairly stated,in all material respects, in relation to the basic financial statements as a whole. The introductory and statistical sections have not been subjected to the auditing procedures applied in the audit of the basic financial statements and, accordingly, we do not express an opinion or provide any assurance on them. (continued) -2- OTHER REPORTING REQUIRED BY GOVERNMENT AUDITING STANDARDS In accordance with Government Auditing Standards, we have also issued our report dated May 27, 2020 on our consideration of the City's internal control over financial reporting and on our tests of its compliance with certain provisions of laws, regulations, contracts, grant agreements, and other matters. The purpose of that report is solely to describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on the effectiveness of the City's internal control over financial reporting or on compliance. That report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the City's internal control over financial reporting and compliance. Minneapolis,Minnesota May 27,2020 -3- THIS PAGE INTENTIONALLY LEFT BLANK CITY OF APPLE VALLEY Management's Discussion and Analysis Year Ended December 31, 2019 As management of the City of Apple Valley,Minnesota(the City),we have provided readers of the City's financial statements with this narrative overview and analysis of the financial activities of the City for the fiscal year ended December 31,2019. We encourage readers to consider the information presented here in conjunction with additional information that we have furnished in our letter of transmittal, located earlier in this report. FINANCIAL HIGHLIGHTS • The assets and deferred outflows of resources of the City exceeded its liabilities and deferred inflows of resources at the close of the most recent fiscal year by$255,669,355 (net position). Of this amount, $42,876,901 (unrestricted net position) may be used to meet the City's ongoing obligations to citizens and creditors; $16,776,842 is restricted for specific purposes(restricted net position); and $196,015,612 represents the net investment in capital assets. The City's total net position increased by$14,779,408 during the year ended December 31,2019. • As of the close of the current fiscal year, the City's governmental funds reported combined ending fund balances of$57,813,163, an increase of$3,297,262. • At the end of the current fiscal year, unassigned fund balance for the General Fund was $17,391,762, or 49.1 percent, of total General Fund expenditures based on 2020 budgeted expenditure levels, including transfers. • The City's long-term debt increased by $1,890,452, or 7.2 percent, during the current fiscal year. The increase is primarily attributable to the Water Revenue Note issued during 2019 for $3,620,059. This increase was offset by payments on the City's outstanding debt obligations per the agreed upon schedules. Please see further details of long-term debt in Note 5 of the notes to basic financial statements. OVERVIEW OF THE FINANCIAL STATEMENTS This discussion and analysis is intended to serve as an introduction to the City's basic financial statements. The City's basic financial statements include three components: 1)government-wide financial statements, 2) fund financial statements, and 3) notes to basic financial statements. This report also contains other supplementary information in addition to the basic financial statements. Government-Wide Financial Statements — The government-wide financial statements are designed to provide readers with a broad overview of the City's finances, in a manner similar to a private sector business. The Statement of Net Position presents information on all of the City's assets, liabilities, and deferred inflows/outflows of resources with the difference reported as net position. Over time, increases or decreases in net position may serve as a useful indicator of whether the financial position of the City is improving or deteriorating. -4- The Statement of Activities presents information showing how the City's net position changed during the most recent fiscal year. All changes in net position are reported as soon as the underlying event giving rise to the change occurs, regardless of the timing of related cash flows. Thus, revenues and expenses are reported in this statement for some items that will only result in cash flows in future fiscal periods (e.g.,uncollected taxes and earned,but unused vacation leave). Both of the government-wide financial statements distinguish functions of the City that are principally supported by property taxes and intergovernmental revenues (governmental activities) from other functions that are intended to recover all or a significant portion of their costs through user fees and charges (business-type activities). The governmental activities of the City include general government, public safety, public works, and parks and recreation. The business-type activities of the City include municipal liquor, municipal golf course, sports arena, water and sewer, storm drainage, cemetery, and street light utility. The government-wide financial statements not only include the City itself (known as the primary government), but also the Apple Valley Economic Development Authority (EDA). The EDA is legally separate and is reported as if it were part of the primary government because it provides services exclusively for the City. The EDA is reported as the Economic Development Debt Service Fund and the EDA Operations Special Revenue Fund. Fund Financial Statements — A fund is a grouping of related accounts that is used to maintain control over resources that have been segregated for specific activities or objectives. The City, like other state and local governments,uses fund accounting to ensure and demonstrate compliance with finance-related legal requirements. All of the funds of the City can be divided into two categories: governmental funds and proprietary funds. Governmental Funds — Governmental funds are used to account for essentially the same functions reported as governmental activities in the government-wide financial statements. However, unlike the government-wide financial statements, governmental fund financial statements focus on the near-term inflows and outflows of spendable resources, as well as on balances of spendable resources available at the end of the fiscal year. Such information may be useful in evaluating a government's near-term financing requirements. Because the focus of governmental funds is narrower than that of the government-wide financial statements, it is useful to compare the information presented for governmental funds with similar information presented for governmental activities in the government-wide financial statements. By doing so, readers may better understand the long-term impact of the government's near-term financing decisions. Both the governmental funds Balance Sheet and Statement of Revenue, Expenditures, and Changes in Fund Balances provide a reconciliation to facilitate this comparison between governmental funds and governmental activities. The City maintains several individual governmental funds. Information is presented separately in the governmental funds Balance Sheet and Statement of Revenue, Expenditures, and Changes in Fund Balances for the General Fund, Closed Bond Issues Debt Service Fund, Road Improvements Capital Projects Fund, Construction Projects Capital Projects Fund, and Future Capital Projects—Capital Projects Fund, all of which are considered to be major funds. Data from the other governmental funds are combined into a single, aggregated presentation. Individual fund data for each of these nonmajor governmental funds is provided in the form of combining statements elsewhere in this report. -5- The City adopts an annual appropriated budget for its General Fund,Road Improvements Capital Projects Fund, Future Capital Projects—Capital Projects Fund, Cable TV Special Revenue Fund, EDA Operations Special Revenue Fund, and Cable Capital Equipment Capital Projects Fund. A budgetary comparison statement or schedule has been provided for these funds to demonstrate compliance with this budget. Proprietary Funds — The City maintains two different types of proprietary funds. Enterprise funds are used to report the same functions presented as business-type activities in the government-wide financial statements. The City uses enterprise funds to account for its municipal liquor, municipal golf course, sports arena, water and sewer, storm drainage, cemetery, and street light utility operations. Internal service funds are accounting devices used to accumulate and allocate costs internally among the City's various functions. The City uses internal service funds to account for its dental insurance, benefits/other insurance, and vehicle and equipment replacement. Because these services predominantly benefit governmental rather than business-type functions,they have been included within governmental activities in the government-wide financial statements. Proprietary funds provide the same type of information as the government-wide financial statements, only in more detail. The proprietary fund financial statements provide separate information for the municipal liquor, municipal golf course, sports arena, water and sewer, storm drainage, cemetery, and street light utility operations, all of which are considered to be major funds of the City. Conversely, the internal service funds are combined into a single, aggregated presentation in the proprietary funds financial statements. Individual fund data for the internal service funds is provided in the form of combining statements elsewhere in this report. Notes to Basic Financial Statements — The notes to basic financial statements provide additional information that is essential to a full understanding of the data provided in the government-wide and fund financial statements. Other Information — In addition to the basic financial statements and accompanying notes, this report also presents required supplementary information and the combining and individual fund statements and schedules (presented as supplementary information) referred to earlier in connection with nonmajor governmental funds and internal service funds, which are presented immediately following the basic financial statements. Further, a statistical section has been included as part of the Comprehensive Annual Financial Report (CAFR)to facilitate additional analysis, and is the third and final section of the report. GOVERNMENT-WIDE FINANCIAL ANALYSIS As noted earlier, net position may serve over time as a useful indicator of the City's financial position. In the case of the City, assets and deferred outflows of resources exceeded liabilities and deferred inflows of resources by$255,669,355 at the close of the most recent fiscal year. By far, the largest portion of the City's net position reflects its net investment in capital assets (e.g., land, buildings, machinery, equipment, distribution system, and infrastructure) less any related debt used to acquire those assets that is still outstanding. The City uses these capital assets to provide services to citizens; consequently, these assets are not available for future spending. Although the City's investments in its capital assets are reported net of related debt, it should be noted that the resources needed to repay this debt must be provided from other sources, since the capital assets themselves cannot be used to liquidate these liabilities. -6- The following table provides the City's Summary of Net Position: Table 1 Summary of Net Position as of December 31,2019 and 2018 Governmental Activities Business-Type Activities Totals 2019 2018 2019 2018 2019 2018 Assets Current and other assets $ 75,617,158 $ 69,233,578 $ 17,673,227 $ 18,606,217 $ 93,290,385 $ 87,839,795 Capital assets,net 104,794,302 97,632,258 115,990,889 109,559,262 220,785,191 207,191,520 Total assets $ 180,411,460 $ 166,865,836 $ 133,664,116 $ 128,165,479 $314,075,576 $295,031,315 Deferred outflows of resources Pension plan deferments $ 7,545,697 $ 9,513,664 $ 192,273 $ 493,170 $ 7,737,970 $ 10,006,834 OPEB plan deferments 111,278 98,129 21,256 16,722 132,534 114,851 Total deferred outflows of resources $ 7,656,975 $ 9,611,793 $ 213,529 $ 509,892 $ 7,870,504 $ 10,121,685 Total assets and deferred outflows of resources $188,068,435 $176,477,629 $ 133,877,645 $ 128,675,371 $321,946,080 $305,153,000 Liabilities Other liabilities $ 9,500,516 $ 4,405,081 $ 1,237,276 $ 2,556,160 $ 10,737,792 $ 6,961,241 Noncurrent liabilities 29,177,852 30,136,774 15,210,782 12,353,263 44,388,634 42,490,037 Total liabilities $ 38,678,368 $ 34,541,855 $ 16,448,058 $ 14,909,423 $ 55,126,426 $ 49,451,278 Deferred inflows of resources Pension plan deferments $ 10,589,391 $ 14,136,354 $ 455,348 $ 675,421 $ 11,044,739 $ 14,811,775 OPEB plan deferments 88,629 — 16,931 — 105,560 — Total deferred inflows of resources $ 10,678,020 $ 14,136,354 $ 472,279 $ 675,421 $ 11,150,299 $ 14,811,775 Net position Net investment in capital assets $ 92,370,852 $ 83,980,389 $103,644,760 $ 100,261,931 $ 196,015,612 $ 184,242,320 Restricted 16,776,842 15,352,356 — — 16,776,842 15,352,356 Unrestricted 29,564,353 28,466,675 13,312,548 12,828,596 42,876,901 41,295,271 Total net position $138,712,047 $127,799,420 $ 116,957,308 $ 113,090,527 $255,669,355 $240,889,947 Total liabilities,deferred inflows of resources,and net position $188,068,435 $176,477,629 $ 133,877,645 $ 128,675,371 $321,946,080 $305,153,000 An additional portion of the City's net position represents resources that are subject to external restrictions on how they may be used. The remaining balance of unrestricted net position of$42,876,901 may be used to meet the City's ongoing obligations to citizens and creditors. At the end of the current fiscal year, the City is able to report positive balances in all three categories of net position, both for the City as a whole, as well as for its separate governmental and business-type activities. There was an increase in net position in the governmental activities of$10,912,627, and an increase in business-type activities of $3,866,781, for a net total government-wide increase of $14,779,408 in net position. -7- Both governmental activities and business-type activities experienced changes in deferred outflows of resources, deferred inflows of resources, and long-term liabilities as a result of the City's participation in defined benefit pension plans. The City also experienced an increase in liabilities, due to increased escrow deposits received in the current year for projects and due to the issuance of a water revenue note. The increase in capital assets, net is related to the increased construction activity in the City in the current year. The following table provides a condensed version of the Statement of Activities for the year ended December 31,2019 with comparative amounts for the year ended December 31,2018: Table 2 Change in Net Position for the Years Ended December 31,2019 and 2018 Governmental Activities Business-Type Activities Total 2019 2018 2019 2018 2019 2018 Revenues Program revenues Charges for services $ 7,036,246 $ 8,556,300 $ 25,013,803 $ 24,118,992 $ 32,050,049 $ 32,675,292 Operating grants and contributions 1,400,053 1,985,278 - - 1,400,053 1,985,278 Capital grants and contributions 7,514,679 3,741,660 2,804,912 1,693,236 10,319,591 5,434,896 General revenues Property taxes 27,087,910 26,496,094 121,000 121,000 27,208,910 26,617,094 Other taxes 196,347 150,340 - - 196,347 150,340 Franchise taxes 1,291,703 1,306,360 - - 1,291,703 1,306,360 Grants and contributions not restricted to specific programs 140,114 124,430 - - 140,114 124,430 Other 7,083 10,786 - - 7,083 10,786 Investment earnings 2,113,838 886,459 560,574 268,297 2,674,412 1,154,756 Gain on sale of assets 406,035 - - - 406,035 Total revenues 47,194,008 43,257,707 28,500,289 26,201,525 75,694,297 69,459,232 Expenses General government 7,490,933 7,670,285 - - 7,490,933 7,670,285 Public safety 13,294,656 12,750,741 - - 13,294,656 12,750,741 Public works 9,414,499 9,434,637 - - 9,414,499 9,434,637 Parks and recreation 7,191,984 6,992,203 - - 7,191,984 6,992,203 Interest and fiscal charges 268,829 284,621 - - 268,829 284,621 Municipal liquor - - 8,631,173 8,362,332 8,631,173 8,362,332 Municipal golf course - - 1,218,830 1,238,125 1,218,830 1,238,125 Sports arena - - 756,399 784,343 756,399 784,343 Water and sewer - - 9,746,090 9,203,936 9,746,090 9,203,936 Storm drainage - - 2,217,257 2,035,266 2,217,257 2,035,266 Cemetery - - 140,545 89,069 140,545 89,069 Street light utility - - 543,694 485,356 543,694 485,356 Total expenses 37,660,901 37,132,487 23,253,988 22,198,427 60,914,889 59,330,914 Increase in net position before transfers 9,533,107 6,125,220 5,246,301 4,003,098 14,779,408 10,128,318 Transfers 1,379,520 1,317,600 (1,379,520) (1,317,600) - - Change in net position 10,912,627 7,442,820 3,866,781 2,685,498 14,779,408 10,128,318 Net position-beginning 127,799,420 120,356,600 113,090,527 110,405,029 240,889,947 230,761,629 Netposition-ending $138,712,047 $127,799,420 $116,957,308 $113,090,527 $255,669,355 $240,889,947 Governmental Activities-The City's net position for governmental activities increased by$10,912,627, or 8.5 percent, after $1,379,520 of net transfers from business-type activities. Key elements of this increase are seen in the table above. -8- Revenues increased overall by$3,936,301, or 9.1 percent. This change included: • Increase in capital grants and contributions due to increased Municipal State Aid funding for construction related street projects. • Increase in property taxes due to increases in the general tax levy. • Increase in investment earnings due to improved market performance. • Decrease in charges for services due to reduced development related activities. Expenses increased overall by$528,414, or 1.4 percent. This increase included: • The public safety function increased $543,915 and parks and recreation function increased $199,781. These increases were offset by decreases in the general government function of $179,352,public works function of$20,138, and interest and fiscal charges of$15,792. As seen in the following graph, taxes make up about 60 percent of the total governmental activities revenues for 2019. Charges for services make up about 15 percent of the total, and are followed by grants at 19 percent, and all other at 6 percent of the total. 2019 Revenues by Source—Governmental Activities Other Charges for 6% Services 15% Grants 19% Taxes 60% 2018 Revenues by Source—Governmental Activities Other Charges for 2% Services 20% Taxes Grants 65% 13% -9- 2019 Expenses—Governmental Activities Other Parks and 1% General RecrFepaJtion Guvenunent 19% 2016 Public Works '._Public Safety 25% % 2018 Expenses—Governmental Activities Other 1% General Parks and _ Govenunent Recreatio► 21% 19% Allashrk Public Works 25°3 Public Safety 34% The expenses in the graph above for governmental activities show the amounts spent on different activities for 2019 and 2018. In 2019, public safety makes up 35 percent, public works 25 percent, parks and recreation 19 percent, and general government 20 percent. Other includes debt service interest and fiscal charges in governmental activities and makes up 1 percent. -10- Business-Type Activities—Business-type activities increased the City's total net position by$3,866,781. Key elements of the business-type activities are as follows: • Charges for services for business-type activities include sales for municipal liquor, municipal golf course, and sports arena; and charges for water and sewer, storm drainage, cemetery, and street light utility operations. The following graph shows the relationship between the revenues and expenses for the various activities. • About 79 percent of all business-type activity expenses are from the municipal liquor and water and sewer operations. • Overall,business-type activities generated an increase in net position before capital contributions and transfers of$2,441,389. After considering capital grants and contributions of$2,804,912, net transfers out to governmental activities totaling$1,379,520,net position increased by$3,866,781. Revenues and Expenses—Business-Type Activities $12,000,000 $10,000,000 - $8,000,000 $6,000,000 $4,000,000 $2,000,000 $— u Municipal Municipal Sports Water and Storm Cemetery Street Light Liquor Golf Arena Sewer Drainage Utility Course oRevenues(excluding capital grants) ■Expenses -11- 2019 Revenues by Source—Business-Type Activities Capital Grants and Contributions 10% Other 2°l0 Charges far Services 88% 2018 Revenues by Source—Business-Type Activities Capital Grants and Contributions Other 6°l0 2% ___:: !_.1_ Charges for Services 92% -12- FINANCIAL ANALYSIS OF THE GOVERNMENT'S FUNDS As noted earlier, the City uses fund accounting to ensure and demonstrate compliance with finance-related legal requirements. Governmental Funds — The focus of the City's governmental funds is to provide information on near-term inflows, outflows, and balances of currently available resources. Such information is useful in assessing the City's financing requirements. In particular, unassigned fund balance may serve as a useful measure of a government's net resources available for spending at the end of the fiscal year. As of the end of the current fiscal year, the City's governmental funds reported combined ending fund balances of$57,813,163, an increase of$3,297,262 in comparison with the prior year. The City has five major governmental funds: the General Fund, the Closed Bond Issues Debt Service Fund, the Road Improvements Capital Projects Fund, the Construction Projects Capital Projects Fund, and the Future Capital Projects Capital Projects Fund. General Fund The General Fund is the chief operating fund of the City. At the end of the current fiscal year, total fund balance of the General Fund was $18,046,107. As a measure of the General Fund's liquidity, it may be useful to compare the unassigned fund balance to total fund expenditures. Unassigned fund balance represents 49.1 percent of subsequent year budget expenditures, including transfers. Total fund balance for the City's General Fund increased by $405,776 during 2019. Key factors in this increase are as follows: • The City adopted a balanced budget prior to the start of the current year. • Investment earnings revenues were approximately $314,000 over budget and are an increase of about$274,000 from the prior year, due to improved market performance in the current year. • Charges for services revenues were approximately$503,000 under budget due to engineering fees and recreation charges being less than anticipated. • Expenditures were approximately $653,000 under the 2019 budgeted amounts, due to position vacancies and uncompleted 2019 capital purchases that were carried over into 2020. • The total fund balance increase of $405,776 is after transferring $350,000 out of the General Fund to the Future Capital Projects Capital Projects Fund in accordance with the City's fund balance policy. Closed Bond Issues Fund—Debt Service Fund The Closed Bond Issues Fund accumulates resources remaining from retired debt service funds. The fund balance at the end of 2019 is $9,880,755, which increased $1,217,610 from the prior year. The increase results from the Closed Bond Issues Fund collecting $1,075,443 in special assessment collections in the current year. Road Improvements Fund—Capital Projects Fund The Road Improvements Fund receives transfers from other funds. These resources are used to finance street overlays and reconstruction projects per the City's pavement management plan. The fund balance at the end of 2019 is negative $3,644,354, which is an increase of $1,606,305 from the prior year, and results from the collection of Municipal State Aid in 2019. -13- Construction Projects Fund—Capital Projects Fund The Construction Projects Fund accounts for development projects, the costs of which will be recovered through the development process, including specially assessing the benefiting properties. The fund balance at the end of 2019 is negative$86,886,which is a decrease of$2,159,474 from the prior year. The development project accounted for in this fund in 2019 will be assessed to the developer in 2020. Future Capital Projects Fund—Capital Projects Fund The Future Capital Projects Fund accumulates resources according to the City Council's adopted fund balance policy. This policy calls for amounts in the General Fund that exceed a maximum level to be transferred to the Future Capital Projects Fund. The fund balance at the end of 2019 is $14,860,441, which is an increase of$560,303 from the prior year. A transfer from the General Fund was received in 2019 in the amount of$350,000 in accordance with the fund balance policy in addition to proceeds of $367,440 from the sale of land. Proprietary Funds — The City's proprietary funds provide the same type of information found in the government-wide financial statements, but in more detail. The City has seven enterprise funds and three internal service funds. The seven enterprise funds include: Municipal Liquor Fund, Municipal Golf Course Fund, Sports Arena Fund, Water and Sewer Fund, Storm Drainage Fund, Cemetery Fund, and the Street Light Utility Fund. The total net position of all enterprise funds totals $117,134,059, $103,644,760, of which is capital assets, net of related debt and in total, is an increase of$3,896,472 from the prior year. The total unrestricted net position for all proprietary funds for the year was $13,489,299, an increase of$513,643. Municipal Liquor Fund The net position in the Municipal Liquor Fund increased $674,900 from current year operations. This increase reflects continued positive operations of the City's liquor stores after transferring$660,000 to the General Fund in support of public safety equipment replacements and parks and recreation activities. The increase in the Municipal Liquor Fund current year operations comes from maintaining gross profit margins on increased levels of sales and reductions in salary expense resulting from vacant positions. Municipal Golf Course Fund The Municipal Golf Course Fund operations posted a decrease in net position of$316,654 from current year operations. Sports Arena Fund The Sports Arena Fund posted an increase in net position of$1,204,402. Of this increase, $116,868 is from current year operations, which is after inclusion of an annual $121,000 property tax levy. The remaining increase of$1,087,534 is due to a capital contribution received from the school district for its share of the ice arena capital project in the current year. Water and Sewer Fund The Water and Sewer Fund is the City's largest proprietary fund. Unrestricted net position at the end of the year amounted to $12,988,348, an increase of$1,780,648. Net position increased $1,413,645 in the current year, due to current year operations and $887,887 in capital contributions. Total net investment in capital assets totals $60,291,304, a decrease of$367,003. -14- Storm Drainage Fund The Storm Drainage Fund increased its net position by $816,068, due to current year operations and $829,491 in capital contributions. Cemetery Fund The Cemetery Fund increased its net position by $86,147, which results from additional lot sales during the year. Street Light Utility Fund The Street Light Utility Fund increased its net position by $17,964 in the current year. GENERAL FUND BUDGETARY HIGHLIGHTS The most significant amendment to the 2019 General Fund budget was made to provide for projects that were carried over from 2018 to 2019. During the year,the total revenues were less than the final amended budgetary estimates by$61,629. This can be attributed to charges for services lower than budget by$502,817 due to engineering fees being less than anticipated offset by investment earnings exceeding budget by $314,146 due to improved market performance in the current year. Total actual expenditures were $653,137 less than the budgetary estimates. General Fund budget performance can be attributed to curtailing spending where possible, position vacancies during the year, and conservative budgeting practices. Personal services in the General Fund ended the year about $360,000 under budget. -15- CAPITAL ASSETS AND LONG-TERM DEBT Capital Assets—The City's investment in capital assets for its governmental and business-type activities as of December 31, 2019 amounts to $220,785,191 (net of accumulated depreciation). This investment in capital assets includes land and land improvements, construction in progress, buildings, other improvements, furniture and equipment, and infrastructure. The total increase in the City's investment in capital assets for the current fiscal year was $13,593,671, or approximately 6.6 percent. Total depreciation charged in 2019 was $10,838,477. City of Apple Valley's Capital Assets Table 3 Capital Assets Governmental Activities Business-Type Activities Total 2019 2018 2019 2018 2019 2018 Capital assets Land and land improvements $ 4,581,173 $ 4,581,173 $ 7,023,180 $ 6,873,929 $ 11,604,353 $ 11,455,102 Construction in progress 981,358 3,078,404 4,204,550 4,692,338 5,185,908 7,770,742 Buildings 36,351,346 34,325,350 24,584,999 22,147,457 60,936,345 56,472,807 Other improvements 25,946,121 25,508,085 165,009,162 157,454,172 190,955,283 182,962,257 Furniture and equipment 20,639,761 19,212,389 6,726,273 6,405,434 27,366,034 25,617,823 Infrastructure 126,377,957 114,422,998 — — 126,377,957 114,422,998 Less accumulated depreciation (110,083,414) (103,496,141) (91,557,275) (88,014,068) (201,640,689) (191,510,209) Total capital assets, net of depreciation $ 104,794,302 $ 97,632,258 $ 115,990,889 $ 109,559,262 $ 220,785,191 $ 207,191,520 Major capital asset additions during the current year included the following: • Street and improvement projects totaling approximately $11.9 million, including the following significant reconstruction projects: Johnny Cake Ridge Road, intersection improvements at Johnny Cake Ridge Road/147th Street and Galaxie/140th and the reconstruction project area in the Apple Valley 11th and 12th subdivision area, and Micro Surfacing Street Improvements ($392,000). • A new play feature was added at the Apple Valley Family Aquatic at an approximate cost of $392,000.Various building improvements totaling$2,025,000 were completed,including lighting and energy efficiency projects. • Water, Sanitary and Storm Sewer Utility improvements in new and existing subdivisions completed in conjunction with the 2019 street improvement areas totaling approximately $7,500,000. • Equipment additions totaling around $1,748,000. This includes about $1,313,000 of additions in governmental activities primarily related to vehicle and equipment replacements. It also includes approximately $320,000 of additions in business-type activities primarily related to new turf maintenance equipment at the golf course, and new sanitary sewer Vactor. Additional information on the City's capital assets can be found in Note 4 of the notes to basic financial statements. -16- Long-Term Obligations —At the end of the current fiscal year, the City had total long-term obligations outstanding of$44,388,634. Of this amount, $24,055,000 is backed by the full faith and credit of the City. Of this total, property taxes are the primary source of repayment for the General Obligation Bonds noted below in the amount of $11,830,000. The General Obligation Improvement Bonds in the amount of $360,000 is special assessment debt for which the City is liable in the event of default by the property owners subject to the assessment. The revenue bonds and revenue notes have the full faith and credit backing of the City with enterprise fund revenues being the primary source of repayment, and the capital lease is backed by the revenues of the golf course enterprise fund. City of Apple Valley's Long-Term Obligations Table 4 Outstanding Obligations Governmental Activities Business-Type Activities Total 2019 2018 2019 2018 2019 2018 General obligation bonds $11,830,000 $12,895,000 $ — $ — $11,830,000 $12,895,000 General obligation improvement bonds 360,000 475,000 — — 360,000 475,000 General obligation revenue bonds — — 7,865,000 8,435,000 7,865,000 8,435,000 General obligation revenue notes — — 4,000,000 379,941 4,000,000 379,941 Capital lease — — 345,115 335,739 345,115 335,739 Unamortized premium 233,450 281,869 136,014 146,651 369,464 428,520 Total OPEB liability 1,956,258 1,900,268 373,691 330,379 2,329,949 2,230,647 Net pension liability 11,846,014 11,724,700 1,993,644 2,206,115 13,839,658 13,930,815 Compensated absences 2,952,130 2,859,937 497,318 519,438 3,449,448 3,379,375 Total $29,177,852 $30,136,774 $15,210,782 $12,353,263 $44,388,634 $42,490,037 The City's total bonded debt decreased by $1,750,000 during 2019, which resulted from the scheduled debt payments during the year. The increase in the general obligation revenue notes is due to the City draw down of$3,620,059,principal payments on this revenue note begin in 2020. The City maintains an "Aaa" rating from Moody's and "AAA" from Standard and Poor's on all of its general obligation debt. State statutes limit the amount of general obligation debt a governmental entity may issue to 3 percent of its total market valuation. A complete calculation of the City's legal debt margin can be found in the statistical section of this report. Additional information on the City's long-term debt can be found in Note 5 of the notes to basic financial statements. ECONOMIC FACTORS AND NEXT YEAR'S BUDGETS AND RATES The City's budget, along with the 5-year Capital Improvement Plan, is an important part of the City's public process. The combination of these documents provides the framework that allows the City to address needed maintenance and provide for the growth and demands for service. Through innovation and efficiencies, the City continues to provide quality services that meet or exceed the expectations of our community members. Strong financial stewardship and quality customer service is a hallmark of the City's government and is evidenced by the City's AAA bond rating. -17- Departments successfully managed their expenditures and, as a result, General Fund expenditures were approximately 2.2 percent below the authorized budget. The City experienced a decline in licenses and permits, due to a drop-in multi-family development permit activity. The City will continue to make significant ongoing investments in the Street and Utility Infrastructure Preservation and Reconstruction Program. These factors were considered in preparing the City's budget for the 2020 fiscal year: • Property taxes provide the largest source, approximately 73.0 percent, of the resources needed to support the General Fund activities. Minnesota cities are not subject to levy limits for 2020. • Property values in the City are increasing as they are in other locations. The increase in the median valued residential property for the 2020 budget year will be approximately 6.7 percent, compared to an increase of 9.0 percent for the 2019 budget year. The preliminary county data for 2021 shows a 3.2 percent increase in the median valued home. • The total property tax levy increased 3.9 percent for 2020. • The taxes paid by the median valued home increased for 2020 to $1,073 from $1,018 in 2019, approximately 5.4 percent. • Contract settlements with all of the City's three unions have been reached through 2021. • A 5.0 percent increase in water utility rates was enacted for 2020 to fund the portion of the Street and Utility Infrastructure Preservation Program related to the water utility and the water meter replacement program. Utility rates for the sanitary sewer, storm water, and street light utilities each increased by 5.0, 10.0,and 3.0 percent,respectively for 2020. Economic Impact of the Novel Coronavirus(COVID-19) In the first several months of 2020, the virus, SARS-CoV-2, and the resulting disease, novel coronavirus (COVID-19), spread to the United States, including the areas impacting the City. Currently, the City's evaluation of the effects of these events is ongoing; however, this situation could result in declines in revenues from the decrease in demand for certain services, such as recreation charges, building permits, delays in the collection of property taxes, and increased labor costs. The extent of the impact of COVID-19 on the City's operational and financial performance will depend on future development, including the duration and spread of the outbreak and related governmental or other regulatory actions. The City reports its investments at fair value based on standards described in the notes to the basic financial statements. Subsequent to year-end, the COVID-19 pandemic has caused volatility in economic conditions, including substantial reductions in the quoted active-market prices of some investments. The City's portfolio consists primarily of shorter-term investments, most with guaranteed maturity values and dates. The City does not expect any losses ultimately realized from the market decline to be material. However, the potential negative impact could be heightened if increased demand on city resources and/or a sustained economic downturn hampers the City's ability to hold such investments to maturity as planned. The potential future impact of these conditions on the fair value of the City's investment portfolio is not determinable at this time. REQUESTS FOR INFORMATION This CAFR is designed to provide a general overview of the City's finances for all those with an interest in the City's finances. Questions concerning any of the information provided in this report or requests for additional financial information should be addressed to the Office of the Finance Director, City of Apple Valley, 7100— 147th Street West,Apple Valley,Minnesota 55124. -18- THIS PAGE INTENTIONALLY LEFT BLANK GOVERNMENT-WIDE FINANCIAL STATEMENTS THIS PAGE INTENTIONALLY LEFT BLANK CITY OF APPLE VALLEY Statement of Net Position as of December 31,2019 Governmental Business-Type Activities Activities Total Assets Cash and investments $ 63,608,739 $ 13,836,115 $ 77,444,854 Receivables Accounts and interest 802,043 3,465,469 4,267,512 Notes 574,320 - 574,320 Taxes 1,740,635 - 1,740,635 Special assessments 3,072,317 311,259 3,383,576 Due from other governmental units 94,239 1,094,867 1,189,106 Internal balances 3,011,351 (3,011,351) - Prepaids 254,266 292,727 546,993 Inventory 18,882 1,684,141 1,703,023 Land held for resale 1,877,559 - 1,877,559 Net pension asset 562,807 - 562,807 Capital assets Not depreciated 5,562,531 11,227,730 16,790,261 Depreciated,net of accumulated depreciation 99,231,771 104,763,159 203,994,930 Total assets 180,411,460 133,664,116 314,075,576 Deferred outflows of resources Pension plan deferments 7,545,697 192,273 7,737,970 OPEB plan deferments 111,278 21,256 132,534 Total deferred outflows of resources 7,656,975 213,529 7,870,504 Total assets and deferred outflows of resources $ 188,068,435 $ 133,877,645 $ 321,946,080 Liabilities Accrued salaries payable $ 873,640 $ 116,791 $ 990,431 Accounts payable 8,003,097 647,103 8,650,200 Contracts payable 541,200 229,195 770,395 Interest payable 10,431 14,041 24,472 Due to other governmental units 63,431 213,218 276,649 Claims incurred,but not reported 8,717 - 8,717 Unearned revenue - 16,928 16,928 Net pension liability Due in more than one year 11,846,014 1,993,644 13,839,658 Total OPEB liability Due in more than one year 1,956,258 373,691 2,329,949 Long-term debt Due within one year 3,095,100 1,435,602 4,530,702 Due in more than one year 12,280,480 11,407,845 23,688,325 Total long-term debt 15,375,580 12,843,447 28,219,027 Total liabilities 38,678,368 16,448,058 55,126,426 Deferred inflows of resources Pension plan deferments 10,589,391 455,348 11,044,739 OPEB plan deferments 88,629 16,931 105,560 Total deferred inflows of resources 10,678,020 472,279 11,150,299 Net position Net investment in capital assets 92,370,852 103,644,760 196,015,612 Restricted for Debt service 1,502,201 - 1,502,201 Tax increment financing 4,382,110 - 4,382,110 Economic development 805,229 - 805,229 Police forfeiture 90,073 - 90,073 Capital acquisition 8,425,573 - 8,425,573 Fire relief pension 1,411,425 - 1,411,425 Other purposes 160,231 - 160,231 Unrestricted 29,564,353 13,312,548 42,876,901 Total net position 138,712,047 116,957,308 255,669,355 Total liabilities,deferred inflows of resources,and net position $ 188,068,435 $ 133,877,645 $ 321,946,080 See notes to basic financial statements -19- CITY OF APPLE VALLEY Statement of Activities Year Ended December 31,2019 Program Revenues Operating Capital Charges for Grants and Grants and Functions/Programs Expenses Services Contributions Contributions Governmental activities General government $ 7,490,933 $ 2,085,398 $ 500,000 $ 2,562 Public safety 13,294,656 712,423 900,053 — Public works 9,414,499 2,592,303 — 7,512,117 Parks and recreation 7,191,984 1,646,122 — — Interest and fiscal charges 268,829 — — — Total governmental activities 37,660,901 7,036,246 1,400,053 7,514,679 Business-type activities Municipal liquor 8,631,173 9,890,386 — — Municipal golf course 1,218,830 898,673 — — Sports arena 756,399 749,377 — 1,087,534 Water and sewer 9,746,090 10,596,646 — 887,887 Storm drainage 2,217,257 2,114,258 — 829,491 Cemetery 140,545 209,288 — — Street light utility 543,694 555,175 — — Total business-type activities 23,253,988 25,013,803 — 2,804,912 Total governmental and business-type activities $ 60,914,889 $ 32,050,049 $ 1,400,053 $ 10,319,591 General revenues Property taxes Other taxes Franchise taxes Grants and contributions not restricted to specific programs Other general revenues Investment earnings Gain on sale of assets Transfers Total general revenues and transfers Change in net position Net position—beginning Net position—ending See notes to basic financial statements -20- Net(Expenses) Revenue and Changes in Net Position Governmental Business-Type Activities Activities Total $ (4,902,973) $ — $ (4,902,973) (11,682,180) — (11,682,180) 689,921 — 689,921 (5,545,862) — (5,545,862) (268,829) — (268,829) (21,709,923) — (21,709,923) — 1,259,213 1,259,213 (320,157) (320,157) — 1,080,512 1,080,512 1,738,443 1,738,443 — 726,492 726,492 68,743 68,743 — 11,481 11,481 4,564,727 4,564,727 (21,709,923) 4,564,727 (17,145,196) 27,087,910 121,000 27,208,910 196,347 — 196,347 1,291,703 — 1,291,703 140,114 — 140,114 7,083 — 7,083 2,113,838 560,574 2,674,412 406,035 — 406,035 1,379,520 (1,379,520) — 32,622,550 (697,946) 31,924,604 10,912,627 3,866,781 14,779,408 127,799,420 113,090,527 240,889,947 $ 138,712,047 $ 116,957,308 $ 255,669,355 -21- THIS PAGE INTENTIONALLY LEFT BLANK FUND FINANCIAL STATEMENTS THIS PAGE INTENTIONALLY LEFT BLANK THIS PAGE INTENTIONALLY LEFT BLANK CITY OF APPLE VALLEY Balance Sheet Governmental Funds as of December 31,2019 Debt Service Capital Projects General Closed Bond Road Construction Fund Issues Improvements Projects (1000) (3205) (2025) (4500) Assets Cash and investments $ 17,098,321 $ 6,469,824 $ - $ 6,657,794 Receivables Accounts 116,000 - - - Notes - 574,320 - - Taxes 1,740,635 - - - Special assessments Current 11,635 532,775 35,997 - Delinquent 11,426 78,515 Deferred - 1,796,788 215,181 - Interest 396,253 - - - Due from other governmental units 94,239 - - - Due from other funds - - - - Advances to other funds - 972,192 - - Prepaids 58,758 - - - Inventory 18,882 - - - Land held for resale - 1,877,559 - - Total assets $ 19,546,149 $ 12,301,973 $ 251,178 $ 6,657,794 Liabilities Accrued salaries payable $ 864,987 $ - $ - $ - Accounts payable 350,491 13,140 270,867 6,743,464 Contracts payable 59,720 - 395,923 - Due to other governmental units 27,815 1,216 Due to other funds - - 2,977,564 - Advances from other funds - - -Total liabilities 1,303,013 13,140 3,644,354 6,744,680 Deferred inflows of resources Unavailable revenue-property taxes 173,968 - - - Unavailable revenue-special assessments 23,061 2,408,078 251,178 - Total deferred inflows of resources 197,029 2,408,078 251,178 - Fund balances(deficit) Nonspendable 77,640 - - - Restricted - - - Committed 576,705 - - - Assigned - 9,880,755 - - Unassigned 17,391,762 - (3,644,354) (86,886) Total fund balances(deficit) 18,046,107 9,880,755 (3,644,354) (86,886) Total liabilities,deferred inflows of resources,and fund balances $ 19,546,149 $ 12,301,973 $ 251,178 $ 6,657,794 See notes to basic financial statements -22- Future Capital Nonmajor Total Projects Governmental Governmental (4930) Funds Funds $ 9,100,375 $ 19,786,801 $ 59,113,115 289,790 405,790 574,320 1,740,635 130,000 710,407 89,941 260,000 2,271,969 396,253 94,239 2,997,369 — 2,997,369 2,834,600 — 3,806,792 58,758 18,882 1,877,559 $ 14,932,344 $ 20,466,591 $ 74,156,029 $ — $ 8,653 $ 873,640 71,903 198,884 7,648,749 85,557 541,200 34,400 63,431 19,805 2,997,369 972,192 972,192 71,903 1,319,491 13,096,581 173,968 390,000 3,072,317 390,000 3,246,285 77,640 14,985,848 14,985,848 576,705 14,860,441 4,471,216 29,212,412 (699,964) 12,960,558 14,860,441 18,757,100 57,813,163 $ 14,932,344 $ 20,466,591 $ 74,156,029 -23- THIS PAGE INTENTIONALLY LEFT BLANK CITY OF APPLE VALLEY Reconciliation of the Balance Sheet to the Statement of Net Position Governmental Funds as of December 31,2019 Total fund balances—governmental funds $ 57,813,163 Amounts reported for governmental activities in the Statement of Net Position are different because: Capital assets used in governmental activities are not current financial resources and, therefore, are not reported as assets in governmental funds. Cost of capital assets 200,456,707 Less accumulated depreciation (102,278,081) Net pension assets are included in net position, but are excluded from fund balances because they do not represent financial resources. 562,807 Long-term liabilities are not payable with current financial resources and, therefore, are not reported in governmental funds. Bonds payable (12,190,000) Total OPEB liability (1,956,258) Net pension liability (11,846,014) Due to availability, certain revenues are not recognized under the governmental fund statements until received; however, under full accrual in the government-wide Statement of Activities, revenues are recorded when earned regardless of when received. 3,246,285 Accrued interest payable is included in net position,but is excluded from fund balances until due and payable. (10,431) Internal service funds are used by management to charge certain costs to individual funds. The assets and liabilities of the internal service funds are included in governmental activities in the Statement of Net Position. Internal service fund balances included in governmental activities 7,991,613 Add internal services balances allocated to business-type activities 176,751 Governmental funds report debt premiums as other financing sources at the time of issuance. Premiums are reported as liabilities in the Statement of Net Position. (233,450) Governmental funds do not report certain long-term amounts related to pensions and OPEB that are included in net position. Deferred outflows of resources—pension plan deferments 7,545,697 Deferred outflows of resources—OPEB plan deferments 111,278 Deferred inflows of resources—pension plan deferments (10,589,391) Deferred inflows of resources—OPEB plan deferments (88,629) Total net position—governmental activities $ 138,712,047 See notes to basic financial statements -24- CITY OF APPLE VALLEY Statement of Revenue,Expenditures,and Changes in Fund Balances Governmental Funds Year Ended December 31,2019 Debt Service Capital Projects General Closed Bond Road Construction Fund Issues Improvements Projects (1000) (3205) (2025) (4500) Revenue Taxes $ 24,807,028 $ — $ — $ — Other taxes 100,329 — — Franchise taxes 515,000 — — — Special assessments 2,562 1,075,443 51,790 — Licenses and permits 1,590,903 — — — Intergovernmental 970,415 6,244,490 250,000 Charges for services 2,852,593 — — — Fines and forfeits 311,235 — — — Investment earnings 511,146 221,699 — 125,827 Other 941,120 — — 560,606 Total revenue 32,602,331 1,297,142 6,296,280 936,433 Expenditures Current General government 5,457,987 — — — Public safety 13,247,794 — — Public works 4,989,894 — — — Parks and recreation 5,529,800 — — — Capital outlay 327,888 — 8,367,301 3,181,649 Debt service Principal — — — — Interest and fiscal charges — 2,390 — — Total expenditures 29,553,363 2,390 8,367,301 3,181,649 Excess(deficiency)of revenue over expenditures 3,048,968 1,294,752 (2,071,021) (2,245,216) Other financing sources(uses) Sale of capital assets 9,688 8,600 Transfers in 1,367,900 3,677,326 77,142 Transfers(out) (4,020,780) (77,142) Total other financing sources(uses) (2,643,192) (77,142) 3,677,326 85,742 Net change in fund balances 405,776 1,217,610 1,606,305 (2,159,474) Fund balances(deficit) Beginning of year 17,640,331 8,663,145 (5,250,659) 2,072,588 End of year $ 18,046,107 $ 9,880,755 $ (3,644,354) $ (86,886) See notes to basic financial statements -25- Future Capital Nonmajor Total Projects Governmental Governmental (4930) Funds Funds $ — $ 2,254,140 $ 27,061,168 96,018 196,347 776,703 1,291,703 130,000 1,259,795 1,590,903 648,118 8,113,023 2,852,593 — 311,235 487,647 616,654 1,962,973 705,956 2,207,682 487,647 5,227,589 46,847,422 1,472,018 6,930,005 — 46,729 13,294,523 20,557 5,010,451 — 319,887 5,849,687 192,458 652,137 12,721,433 1,180,000 1,180,000 — 315,826 318,216 192,458 4,007,154 45,304,315 295,189 1,220,435 1,543,107 367,440 20,307 406,035 350,000 574,002 6,046,370 (452,326) (148,002) (4,698,250) 265,114 446,307 1,754,155 560,303 1,666,742 3,297,262 14,300,138 17,090,358 54,515,901 $ 14,860,441 $ 18,757,100 $ 57,813,163 -26- THIS PAGE INTENTIONALLY LEFT BLANK CITY OF APPLE VALLEY Reconciliation of the Statement of Revenue,Expenditures,and Changes in Fund Balances to the Statement of Activities Governmental Funds Year Ended December 31,2019 Total net change in fund balances—governmental funds $ 3,297,262 Amounts reported for governmental activities in the Statement of Activities are different because: Capital outlays are reported in governmental funds as expenditures; however, in the Statement of Activities the cost of those assets is allocated over the estimated useful lives as depreciation expense. Capital outlay 12,280,610 Capital contributions 182,543 Depreciation expense (5,784,202) Net pension assets are only recorded in the government-wide financial statements as they are not current financial resources to governmental funds. (1,244,210) Repayment of long-term liabilities is an expenditure in the governmental funds, but the repayment reduces long-term liabilities in the Statement of Net Position. 1,180,000 Interest on long-term debt in the Statement of Activities differs from the amount reported in the governmental funds because interest is recognized as an expenditure in the funds when it is due,and thus requires the use of current financial resources. In the Statement of Activities,however, interest expense is recognized as the interest accrues,regardless of when it is due. 968 Governmental funds report debt issuance premiums as other financing sources at the time of issuance.Premiums are reported as liabilities in the Statement of Net Position. 48,419 Certain revenues are recognized as soon as they are earned in the Statement of Activities;however, under the modified accrual basis of accounting,certain revenues cannot be recognized until they are available to liquidate liabilities of the current period. (462,609) Internal service funds are used by management to charge certain costs to individual funds. The net revenue of certain activities of internal service funds is reported with governmental activities in the government-wide financial statements. Internal service fund activity included in governmental activities 57,943 Add back internal service fund activity allocated to business-type activities 29,691 Governmental funds do not report long-term amounts related to pensions and OPEB that are included in the change in net position. Net pension liability (121,314) Total OPEB liability (55,990) Deferred outflows of resources—pension plan deferments (1,967,967) Deferred outflows of resources—OPEB plan deferments 13,149 Deferred inflows of resources—pension plan deferments 3,546,963 Deferred inflows of resources—OPEB plan deferments (88,629) Change in net position—governmental activities $ 10,912,627 See notes to basic financial statements -27- THIS PAGE INTENTIONALLY LEFT BLANK CITY OF APPLE VALLEY Statement of Revenue,Expenditures,and Changes in Fund Balances General Fund-Budget and Actual Year Ended December 31,2019 Budgeted Amounts Over(Under) Original Final Actual Budget Revenue Taxes $ 24,871,055 $ 24,871,055 $ 24,807,028 $ (64,027) Other taxes 105,600 105,600 100,329 (5,271) Franchise taxes 515,000 515,000 515,000 - Special assessments 14,000 14,000 2,562 (11,438) Licenses and permits 1,651,660 1,651,660 1,590,903 (60,757) Intergovernmental 846,250 866,250 970,415 104,165 Charges for services 3,355,410 3,355,410 2,852,593 (502,817) Fines and forfeits 279,500 279,500 311,235 31,735 Investment earnings 197,000 197,000 511,146 314,146 Other 808,485 808,485 941,120 132,635 Total revenue 32,643,960 32,663,960 32,602,331 (61,629) Expenditures Current General government 5,695,859 5,730,559 5,457,987 (272,572) Public safety 13,397,678 13,406,128 13,247,794 (158,334) Public works 4,998,188 5,049,648 4,989,894 (59,754) Parks and recreation 5,787,035 5,701,535 5,529,800 (171,735) Capital outlay General government 150,100 147,500 148,717 1,217 Public safety 3,500 3,500 2,195 (1,305) Public works 22,000 29,600 33,472 3,872 Parks and recreation 352,000 138,030 143,504 5,474 Total expenditures 30,406,360 30,206,500 29,553,363 (653,137) Excess of revenue over expenditures 2,237,600 2,457,460 3,048,968 591,508 Other financing sources(uses) Sale of capital assets 20,400 20,400 9,688 (10,712) Transfers in 1,365,000 1,367,900 1,367,900 - Transfers(out) (3,623,000) (3,670,040) (4,020,780) (350,740) Total other financing sources(uses) (2,237,600) (2,281,740) (2,643,192) (361,452) Net change in fund balances $ - $ 175,720 405,776 $ 230,056 Fund balances Beginning of year 17,640,331 End of year $ 18,046,107 See notes to basic financial statements -28- CITY OF APPLE VALLEY Statement of Net Position Proprietary Funds as of December 31,2019 Business-Type Activities-Enterprise Funds Municipal Municipal Sports Water and Liquor Golf Course Arena Sewer (5000,5030) (5100) (5200) (5300,5400) Current assets Cash and investments $ 2,826,741 $ - $ 205,154 $ 9,093,976 Receivables Special assessments Current - - - 257,011 Delinquent - - - 18,090 Accounts - 4,251 144,760 2,608,693 Due from other governmental units 790,843 6,340 Prepaids 14,782 359 605 276,241 Inventory 1,570,130 51,024 - 62,987 Total current assets 4,411,653 55,634 1,141,362 12,323,338 Noncurrent assets Deferred special assessment receivable - - - 21,112 Advance to other funds - - - 2,611,075 Capital assets Land and land improvements 1,177,683 991,179 2,000 2,098,753 Construction in progress - 18,500 160,014 4,026,036 Buildings 3,743,240 3,190,504 5,870,652 11,780,603 Other improvements 87,149 689,963 109,420 108,956,291 Furniture and equipment 362,676 1,354,429 304,696 4,002,570 Less accumulated depreciation (1,925,559) (1,977,574) (3,077,167) (59,838,284) Total capital assets(net of accumulated depreciation) 3,445,189 4,267,001 3,369,615 71,025,969 Total noncurrent assets 3,445,189 4,267,001 3,369,615 73,658,156 Total assets 7,856,842 4,322,635 4,510,977 85,981,494 Deferred outflows of resources Pension plan deferments 42,645 22,678 12,983 99,752 OPEB plan deferments 3,336 2,630 1,976 13,075 Total deferred outflows of resources 45,981 25,308 14,959 112,827 Total assets and deferred outflows of resources $ 7,902,823 $ 4,347,943 $ 4,525,936 $ 86,094,321 See notes to basic financial statements -29- Governmental Storm Street Light Activities Drainage Cemetery Utility Internal (5500,5550) (5600,5700) (5800) Totals Service Fund $ 1,202,241 $ 329,654 $ 178,349 $ 13,836,115 $ 4,495,624 1,224 — — 258,235 — 18,090 — 561,772 — 145,993 3,465,469 — 297,130 — 554 1,094,867 — 740 — — 292,727 195,508 — — — 1,684,141 — 2,063,107 329,654 324,896 20,649,644 4,691,132 13,822 — — 34,934 - - — — 2,611,075 — 2,240,005 513,560 — 7,023,180 - - — — 4,204,550 - - — — 24,584,999 — 53,526,195 1,640,144 — 165,009,162 — 701,902 6,726,273 14,421,009 (24,448,285) (290,406) — (91,557,275) (7,805,333) 32,019,817 1,863,298 — 115,990,889 6,615,676 32,033,639 1,863,298 — 118,636,898 6,615,676 34,096,746 2,192,952 324,896 139,286,542 11,306,808 14,215 — — 192,273 — 239 — — 21,256 — 14,454 — — 213,529 — $ 34,111,200 $ 2,192,952 $ 324,896 $ 139,500,071 $ 11,306,808 -30- (continued) CITY OF APPLE VALLEY Statement of Net Position Proprietary Funds(continued) as of December 31,2019 Business-Type Activities-Enterprise Funds Municipal Municipal Sports Water and Liquor Golf Course Arena Sewer (5000,5030) (5100) (5200) (5300,5400) Current liabilities Accrued salaries payable $ 32,676 $ 13,351 $ 11,606 $ 54,237 Accounts payable 532,078 18,247 11,882 46,025 Contracts payable 101,502 127,246 Interest payable - - - 12,987 Due to other governmental units 101,752 135 320 27,375 Claims payable - - - - Unearned revenue - 16,928 - - Accrued compensated absences 71,900 26,700 17,800 149,700 Capital lease payable - 167,142 - - Revenue note payable - - - 420,160 Bonds payable - - - 400,000 Total current liabilities 738,406 242,503 143,110 1,237,730 Noncurrent liabilities Accrued compensated absences 9,121 60,747 7,469 151,615 Total OPEB liability 58,654 46,231 34,735 229,861 Net pension liability 442,180 235,148 134,614 1,034,309 Advance from other fund - 3,694,546 1,751,129 - Capital lease payable - 177,973 - - Revenue note payable - - - 3,579,840 Bonds payable - - - 6,334,665 Total noncurrent liabilities 509,955 4,214,645 1,927,947 11,330,290 Total liabilities 1,248,361 4,457,148 2,071,057 12,568,020 Deferred inflows of resources Pension plan deferments 100,994 53,708 30,746 236,235 OPEB plan deferments 2,657 2,095 1,574 10,414 Total deferred inflows of resources 103,651 55,803 32,320 246,649 Net position Net investment in capital assets 3,445,189 3,921,886 3,369,615 60,291,304 Unrestricted 3,105,622 (4,086,894) (947,056) 12,988,348 Total net position 6,550,811 (165,008) 2,422,559 73,279,652 Total liabilities,deferred inflows of resources,and net position $ 7,902,823 $ 4,347,943 $ 4,525,936 $ 86,094,321 See notes to basic financial statements -31- Governmental Storm Street Light Activities Drainage Cemetery Utility Internal (5500,5550) (5600,5700) (5800) Totals Service Fund $ 4,921 $ - $ - $ 116,791 $ - 35,503 1,706 1,662 647,103 354,348 447 - 229,195 - 1,054 - - 14,041 - 82,647 - 989 213,218 - 8,717 16,928 - 2,200 - - 268,300 1,850,100 - - - 167,142 - - - - 420,160 - 180,000 - - 580,000 - 306,325 2,153 2,651 2,672,878 2,213,165 66 - - 229,018 1,102,030 4,210 - - 373,691 - 147,393 - - 1,993,644 - - - - 5,445,675 - - - - 177,973 - 3,579,840 - 1,086,349 - - 7,421,014 - 1,238,018 19,220,855 1,102,030 1,544,343 2,153 2,651 21,893,733 3,315,195 33,665 - - 455,348 - 191 - - 16,931 - 33,856 - - 472,279 - 30,753,468 1,863,298 - 103,644,760 6,615,676 1,779,533 327,501 322,245 13,489,299 1,375,937 32,533,001 2,190,799 322,245 117,134,059 7,991,613 $ 34,111,200 $ 2,192,952 $ 324,896 $ 139,500,071 $ 11,306,808 Total net position-enterprise funds $ 117,134,059 Adjustment to reflect the consolidation of internal service fund activity related to enterprise funds (176,751) Net position-business-type activities $ 116,957,308 -32- CITY OF APPLE VALLEY Statement of Revenue,Expenses,and Changes in Net Position Proprietary Funds Year Ended December 31,2019 Business-Type Activities-Enterprise Funds Municipal Municipal Sports Water and Liquor Golf Course Arena Sewer (5000,5030) (5100) (5200) (5300,5400) Operating revenue Sales and rentals $ 9,886,580 $ 898,126 $ 745,910 $ - Charges for services - - - 10,577,669 Total operating revenue 9,886,580 898,126 745,910 10,577,669 Cost of goods sold 6,935,517 75,369 13,923 - Gross profit 2,951,063 822,757 731,987 10,577,669 Operating expenses Personal services 994,362 624,497 327,069 1,870,729 Contractual services 33,830 64,343 43,049 224,921 Other charges 366,008 23,306 12,038 777,878 Supplies and repairs 41,015 122,389 43,064 481,302 Insurance 66,600 36,000 26,775 218,600 Utilities 48,836 37,687 138,693 374,057 Depreciation 140,773 211,793 149,790 2,426,053 Sewer charges - - - 3,127,578 Total operating expenses 1,691,424 1,120,015 740,478 9,501,118 Operating income(loss) 1,259,639 (297,258) (8,491) 1,076,551 Nonoperating revenue(expense) Taxes - - 121,000 - Investment earnings 69,094 - 892 379,330 Other income 3,806 547 3,467 18,977 Gain(loss)on sale of capital assets 2,361 4,000 - 16,441 Interest expense - (23,943) - (246,021) Total nonoperating revenue(expense) 75,261 (19,396) 125,359 168,727 Income(loss)before capital contributions and transfers 1,334,900 (316,654) 116,868 1,245,278 Capital contributions - - 1,087,534 569,218 Capital contributions-connection fees - - - 318,669 Transfers in - - - - Transfers(out) (660,000) - - (719,520) Change in net position 674,900 (316,654) 1,204,402 1,413,645 Net position Beginning of year 5,875,911 151,646 1,218,157 71,866,007 End of year $ 6,550,811 $ (165,008) $ 2,422,559 $ 73,279,652 See notes to basic financial statements -33- Governmental Storm Street Light Activities Drainage Cemetery Utility Internal (5500,5550) (5600,5700) (5800) Totals Service Fund $ - $ - $ - $ 11,530,616 $ - 2,113,725 209,228 555,175 13,455,797 2,858,981 2,113,725 209,228 555,175 24,986,413 2,858,981 7,024,809 - 2,113,725 209,228 555,175 17,961,604 2,858,981 155,784 2,850 1,892 3,977,183 920,351 368,184 46,810 14,746 795,883 20,722 388,871 40,020 8,900 1,617,021 1,074,555 92,680 7,307 260 788,017 - 16,900 4,400 20,500 389,775 - 91,907 1,502 497,396 1,190,078 - 1,066,399 37,656 - 4,032,464 1,021,811 3,127,578 - 2,180,725 140,545 543,694 15,917,999 3,037,439 (67,000) 68,683 11,481 2,043,605 (178,458) 121,000 - 87,371 17,404 6,483 560,574 150,865 533 60 - 27,390 - (8,021) - - 14,781 54,136 (26,306) - - (296,270) - 53,577 17,464 6,483 427,475 205,001 (13,423) 86,147 17,964 2,471,080 26,543 621,745 - - 2,278,497 - 207,746 - - 526,415 - 31,400 (1,379,520) - 816,068 86,147 17,964 3,896,472 57,943 31,716,933 2,104,652 304,281 113,237,587 7,933,670 $ 32,533,001 $ 2,190,799 $ 322,245 $ 117,134,059 $ 7,991,613 Change in net position-enterprise funds $ 3,896,472 Adjustment to reflect the consolidation of internal service fund activities related to the enterprise funds (29,691) Change in net position-business-type activities $ 3,866,781 -34- CITY OF APPLE VALLEY Statement of Cash Flows Proprietary Funds Year Ended December 31,2019 Business-Type Activities-Enterprise Funds Municipal Municipal Sports Water and Liquor Golf Course Arena Sewer (5000,5030) (5100) (5200) (5300,5400) Cash flows from operating activities Cash received from customers $ 9,890,386 $ 906,311 $ 801,490 $ 10,471,361 Cash receipts on interfund services provided - - - - Cash payments to suppliers (7,818,057) (368,742) (205,659) (5,158,300) Cash payments to employees for services (1,067,669) (663,123) (331,769) (1,779,732) Net cash flows from operating activities 1,004,660 (125,554) 264,062 3,533,329 Cash flows from capital and related financing activities Acquisition and construction of capital assets (33,231) (71,056) (2,389,327) (5,649,621) Capital contributions-connection fees received - - - 318,669 Capital contributions - - 429,277 - Proceeds from sale of capital assets 2,361 4,000 - 32,648 Proceeds from issuance of revenue note - - - 3,620,059 Payment on debt - (113,665) - (395,000) Interest paid - (23,943) - (249,571) Net cash flows from capital and related financing activities (30,870) (204,664) (1,960,050) (2,322,816) Cash flows from investing activities Interest received on investments 69,094 - 892 379,330 Cash flows from noncapital financing activities Taxes - - 121,000 - Cash received from other funds - 330,218 1,751,129 - Cash paid to other funds - - - (1,044,229) Transfers in - - -Transfers(out) (660,000) - - (719,520) Net cash flows from noncapital financing activities (660,000) 330,218 1,872,129 (1,763,749) Net increase(decrease)in cash and cash equivalents 382,884 - 177,033 (173,906) Cash and cash equivalents Beginning of year 2,443,857 - 28,121 9,267,882 Endofyear $ 2,826,741 $ - $ 205,154 $ 9,093,976 Reconciliation of operating income(loss)to net cash flows from operating activities Operating income(loss) $ 1,259,639 $ (297,258) $ (8,491) $ 1,076,551 Adjustments to reconcile operating income(loss)to net cash flows from operating activities Depreciation 140,773 211,793 149,790 2,426,053 Other revenue(expense) 3,806 547 3,467 18,977 Change in assets,deferred outflows/inflows of resources,and liabilities Receivables Special assessments - - - (9,656) Accounts - 4,201 (16,728) (110,268) Due from other governmental units - - 68,841 (5,361) Inventory (5,885) 8,309 - (5,087) Prepaids (171) 89 - (18,992) Deferred outflows of resources 56,322 61,551 22,361 130,326 Accounts payable (322,690) (17,934) (11,748) (28,405) Contracts payable - - 101,502 127,246 Accrued salaries payable 686 1,858 546 7,403 Claims payable - - - - Total OPEB liability (22,124) 5,275 8,816 60,365 Net pension liability (27,159) (81,764) (18,734) (40,835) Accrued compensated absences (35,175) 6,537 (2,897) 20,357 Due to other governmental units 2,495 (112) (17,871) (28,726) Unearned revenue - 3,437 - - Deferred inflows of resources (45,857) (32,083) (14,792) (86,619) Net cash flows from operating activities $ 1,004,660 $ (125,554) $ 264,062 $ 3,533,329 Noncash investing,capital,and financing activities Capital contributions $ - $ - $ - $ 569,218 Net book value of capital asset disposals $ - $ - $ - $ (16,207) Capital asset purchased on account $ - $ - $ (182,333) $ (926,824) Capital lease issued $ - $ 123,041 $ - $ - Due from other governmental units- Capital contribution $ - $ - $ 658,257 $ - Amortization of bond premium(discount) $ - $ - $ - $ 8,301 See notes to basic financial statements -35- Governmental Storm Street Light Activities Drainage Cemetery Utility Internal (5500,5550) (5600,5700) (5800) Totals Service Fund $ 1,773,178 $ 209,288 $ 546,335 $ 24,598,349 $ - - - - - 2,836,616 (917,716) (110,332) (543,081) (15,121,887) (1,764,868) (216,801) (2,871) (1,892) (4,063,857) (156,719) 638,661 96,085 1,362 5,412,605 915,029 (2,299,605) (383,564) - (10,826,404) (1,200,778) 207,746 - - 526,415 - 480,027 - - 909,304 - - - - 39,009 95,609 - - - 3,620,059 - (175,000) - - (683,665) - (28,787) - - (302,301) - (1,815,619) (383,564) - (6,717,583) (1,105,169) 87,371 17,404 6,483 560,574 150,865 - - - 121,000 - - - - 2,081,347 - - - - (1,044,229) - - - - - 31,400 - - - (1,379,520) - - - - (221,402) 31,400 (1,089,587) (270,075) 7,845 (965,806) (7,875) 2,291,828 599,729 170,504 14,801,921 4,503,499 $ 1,202,241 $ 329,654 $ 178,349 $ 13,836,115 $ 4,495,624 $ (67,000) $ 68,683 $ 11,481 $ 2,043,605 $ (178,458) 1,066,399 37,656 - 4,032,464 1,021,811 533 60 - 27,390 - 5,016 - - (4,640) - (60,004) - (8,890) (191,689) 1,388 (286,092) - 50 (222,562) - - - - (2,663) - (740) - - (19,814) 4,862 25,803 - - 296,363 - (3,001) (9,584) (1,254) (394,616) (26,823) (30,890) (709) - 197,149 - 912 (21) - 11,384 - - - - - 56 (9,020) - - 43,312 - (43,979) - - (212,471) - (10,942) - - (22,120) 92,193 75,457 - (25) 31,218 - - - - 3,437 - (23,791) - - (203,142) - $ 638,661 $ 96,085 $ 1,362 $ 5,412,605 $ 915,029 $ 141,718 $ - $ - $ 710,936 $ - $ (8,021) $ - $ - $ (24,228) $ (41,473) $ - $ (62,905) $ - $ (1,172,062) $ 345,599 $ - $ - $ - $ 123,041 $ - $ - $ - $ - $ 658,257 $ - $ 2,336 $ - $ - $ 10,637 $ - -36- THIS PAGE INTENTIONALLY LEFT BLANK CITY OF APPLE VALLEY Notes to Basic Financial Statements as of December 31,2019 NOTE 1—SIGNIFICANT ACCOUNTING POLICIES A. Organization The City of Apple Valley, Minnesota (the City) is a statutory city governed by an elected mayor and four councilmembers. The accompanying financial statements present the government entities for which the City is considered to be financially accountable. The accounting policies of the City conform to accounting principles generally accepted in the United States of America as applicable to governmental units. The Governmental Accounting Standards Board(GASB) is the accepted standard-setting body for establishing governmental accounting and financial reporting principles. B. Reporting Entity As required by accounting principles generally accepted in the United States of America, these financial statements include the City (the primary government) and its component units. Component units are legally separate entities for which the primary government is financially accountable, or for which the exclusion of the component unit would render the financial statements of the primary government misleading. The criteria used to determine if the primary government is financially accountable for a component unit includes whether or not the primary government appoints the voting majority of the potential component unit's board, is able to impose its will on the potential component unit, is in a relationship of financial benefit or burden with the potential component unit, or is fiscally depended upon by the potential component unit. The Apple Valley Economic Development Authority (EDA) was established to provide economic development services to the City. Although a legally separate entity,the Apple Valley EDA is reported as if it were part of the primary government because it provides services exclusively for the City. The Apple Valley EDA governing body is substantially the same as the governing body of the primary government because five of the Apple Valley EDA boardmembers are City Council members and the two other members are appointed by the City Council. Management of the primary government also has operational responsibility for the Apple Valley EDA. The Apple Valley EDA is a blended component unit of the City, with the following funds reported as funds of the City: Economic Development Debt Service Fund and the EDA Operations Special Revenue Fund. The Apple Valley EDA does not issue separate financial statements. C. Government-Wide Financial Statement Presentation The government-wide financial statements (Statement of Net Position and Statement of Activities) display information about the reporting government as a whole. These statements include all of the financial activities of the City. Governmental activities, which are normally supported by taxes and intergovernmental revenues, are reported separately from business-type activities,which significantly rely upon sales,fees,and charges for support. -37- NOTE 1—SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) The Statement of Activities demonstrates the degree to which the direct expenses of a given function or segment are offset by program revenues. Direct expenses are those that are clearly identifiable with a specific function or segment. Program revenues include: 1) charges to customers or applicants who purchase, use, or directly benefit from goods, services, or privileges provided by a given function or segment, 2) operating grants and contributions, and 3) capital grants and contributions, including special assessments that are restricted to meeting the operational or capital requirements of a particular function or segment. Taxes and other internally directed revenues are reported as general revenues. The government-wide financial statements are reported using the economic resources measurement focus and the accrual basis of accounting. Revenues are recorded when earned and expenses are recorded when a liability is incurred, regardless of the timing of related cash flows. Property taxes and special assessments are recognized as revenues in the fiscal year for which they are certified for levy. Grants and similar items are recognized when all eligibility requirements imposed by the provider have been met. As a general rule, the effect of interfund activity has been eliminated from the government-wide financial statements. However, charges between the City's enterprise funds and other functions are not eliminated, as that would distort the direct costs and program revenues reported in those functions. Depreciation expense is included in the direct expenses of each function. Interest on long-term debt is considered an indirect expense and is reported separately on the Statement of Activities. D. Fund Financial Statement Presentation Separate fund financial statements are provided for governmental and proprietary funds. Major individual governmental and enterprise funds are reported as separate columns in the fund financial statements. Aggregated information for the remaining nonmaj or governmental funds is reported in a single column in the fund financial statements. Governmental fund financial statements are reported using the current financial resources measurement focus and the modified accrual basis of accounting. Under this basis of accounting, transactions are recorded in the following manner: 1. Revenue Recognition — Revenue is recognized when it becomes measurable and available. "Measurable" means the amount of the transaction can be determined and "available" means collectible within the current period or soon enough thereafter to be used to pay liabilities of the current period. For this purpose, the City considers revenues to be available if they are collected within 60 days after year-end. Only the portion of special assessments receivable due within the current fiscal period is considered to be susceptible to accrual as revenue of the current period. Grants and similar items are recognized when all eligibility requirements imposed by the provider have been met. Proceeds of long-term debt and acquisitions under capital leases are reported as other financing sources. Major revenue that is susceptible to accrual includes property taxes, special assessments, intergovernmental revenue, charges for services, and interest earned on investments. Major revenue that is not susceptible to accrual includes licenses and permits, fees, and miscellaneous revenue. Such revenue is recorded only when received because it is not measurable until collected. 2. Recording of Expenditures — Expenditures are generally recorded when a liability is incurred, except for principal and interest on long-term debt and other long-term liabilities, which are recognized as expenditures to the extent they have matured. Capital asset acquisitions are reported as capital outlay expenditures in the governmental funds. -38- NOTE 1—SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) Proprietary fund financial statements are reported using the economic resources measurement focus and accrual basis of accounting, similar to the government-wide financial statements. Proprietary funds distinguish operating revenues and expenses from nonoperating items. Operating revenues and expenses generally result from providing services and producing and delivering goods in connection with a proprietary fund's principal ongoing operations. The principal operating revenues of the City's enterprise funds and internal service funds are charges to customers for sales and services. The operating expenses for the enterprise funds and internal service funds include the cost of sales and services, administrative expenses, and depreciation on capital assets. All revenues and expenses that do not meet this definition are reported as nonoperating revenues and expenses. Aggregated information for the internal service funds is reported in a single column in the proprietary fund financial statements. Because the principal user of the internal services is the City's governmental activities, the financial statements of the internal service funds are consolidated into the governmental column when presented in the government-wide financial statements. The cost of these services is reported in the appropriate functional activity. Description of Funds The City reports the following major governmental funds: General Fund (1000) — This fund is the City's primary operating fund. It accounts for all financial resources of the general government, except those required to be accounted for in another fund. Closed Bond Issues Debt Service Fund (3205) — This fund accounts for all the closed bond issues that still have activity. Road Improvements Capital Projects Fund (2025) — This fund accounts for various road improvements. Construction Projects Capital Projects Fund (4500) — This fund accounts for development projects, the costs of which will be recovered through the development process, including specially assessing the benefiting properties. Future Capital Projects Capital Projects Fund (4930) —This fund accounts for funds set aside for future capital improvements. The City reports the following major enterprise funds: Municipal Liquor Fund (5000 and 5030) — This fund accounts for the operations of the City's liquor stores. Municipal Golf Course Fund (5100) — This fund accounts for the operations of the City's golf course. Sports Arena Fund(5200)—This fund accounts for the operations of the City's sports arena. Water and Sewer Fund (5300 and 5400) —This fund accounts for the activities of the City's water and sewer operations. -39- NOTE 1—SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) Storm Drainage Fund (5500 and 5550) — This fund accounts for the activities of the City's storm drainage operations. Cemetery Fund (5600 and 5700) — This fund accounts for the activities of the City's cemetery operations. Street Light Utility Fund (5800) — This fund accounts for the activities of the City's street light operations. Additionally,the City reports the following fund types: Internal Service Funds — Internal service funds account for the financing of goods and services provided to other departments or agencies of the City on a cost-reimbursement basis. The City utilizes a Dental Insurance Internal Service Fund, Benefits/Other Insurance Internal Service Fund, and a Vehicle Equipment Replacement Internal Service Fund in managing city operations. E. Cash and Investments Cash and investments include balances from all funds that are combined and invested to the extent available in various securities as authorized by state law. Earnings from the pooled investments are allocated to the respective funds on the basis of applicable cash balance participation by each fund. The City generally reports investments at fair value. The Minnesota Municipal Money Market (4M)Fund is an external investment pool regulated by Minnesota Statutes that is not registered with the Securities and Exchange Commission(SEC),but follows the same regulatory rules of the SEC. The fair value of the position in the pool is the same as the value of the pool shares, which is based on an amortized cost method that approximates fair value. The 4M Fund is sponsored by the League of Minnesota Cities. For this investment pool, there are no unfunded commitments, redemption frequency is daily, and there is no redemption notice required for the Liquid Class; the redemption notice period is 14 days for the Plus Class. The City categorizes its fair value measurements within the fair value hierarchy established by accounting principles generally accepted in the United States of America. The hierarchy is based on the valuation inputs used to measure the fair value of the asset. Level 1 inputs are quoted prices in active markets for identical assets; Level 2 inputs are significant other observable inputs; and Level 3 inputs are significant unobservable inputs. Debt securities classified in Level 2 of the fair value hierarchy are valued using a matrix pricing technique. Matrix pricing is used to value securities based on the securities' relationship to benchmark quoted prices. See Note 2 for the City's recurring fair value measurements as of year-end. F. Receivables Utility and miscellaneous accounts receivable are reported at gross. Since the City is generally able to certify delinquent amounts to the county for collection as special assessments, no allowance for uncollectible accounts has been provided on current receivables. The only receivables not expected to be collected within one year are property taxes and special assessments receivable. Notes receivable are amounts due to the City related to the Village Pointe Plaza project. -40- NOTE 1—SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) G. Interfund Receivables and Payables In the fund financial statements, activity between funds that is representative of lending or borrowing arrangements is reported as either"due to/from other funds" (current portion) or "advances to/from other funds." All other outstanding balances between funds are reported as "due to/from other funds." Any residual balances outstanding between the governmental activities and business-type activities are reported in the government-wide financial statements as"internal balances." H. Land Held for Resale Land held for resale represents various property purchases made by the City with the intent to sell in order to increase the tax base or to attract new businesses. These assets are stated at the lower of cost or acquisition value. During the year ended December 31, 2019, management has reviewed the cost value reported for these assets and has indicated the properties are fairly presented for financial reporting purposes. I. Property Taxes Property tax levies are set by the City Council in December of each year, and are certified to Dakota County for collection in the following year. In Minnesota, counties act as collection agents for all property taxes. The county spreads the levies over all taxable property. Such taxes become a lien on January 1 and are recorded as receivables by the City on that date. Real property taxes may be paid by taxpayers in two equal installments on May 15 and October 15. Personal property taxes are due in full on May 15. The county provides tax settlements to cities and other taxing districts three times a year; in July, December,and January. Property taxes are recognized as revenue in the year levied in the government-wide financial statements and proprietary fund financial statements. In the governmental fund financial statements, taxes are recognized as revenue when received in cash or within 60 days after year-end. Taxes which remain unpaid on December 31 are classified as delinquent taxes receivable, and are offset by a deferred inflow of resources in the governmental fund financial statements. J. Special Assessments Special assessments represent the financing for public improvements paid for by benefiting property owners. Special assessments are recorded as receivables upon certification to the county. Special assessments are recognized as revenue in the year levied in the government-wide financial statements and proprietary fund financial statements. In the governmental fund financial statements, special assessments are recognized as revenue when received in cash or within 60 days after year-end. Governmental fund special assessments receivable which remain unpaid on December 31 are offset by a deferred inflow of resources in the governmental fund financial statements. K. Prepaids Certain payments to vendors reflect costs applicable to future accounting periods and are recorded as prepaid items in both the government-wide and fund financial statements. Prepaid items are reported using the consumption method and recorded as expenditures/expenses at the time of consumption. -41- NOTE 1—SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) L. Inventories The inventories for the Municipal Golf and Municipal Liquor Funds use the average cost valuation method. Inventories of the remaining governmental and proprietary funds are valued at cost using the first-in, first-out valuation method. Inventories are recorded as expenditures or expenses when consumed. M. Capital Assets Capital assets, which include land, land improvements, buildings, other improvements, furniture and equipment, and infrastructure assets (roads, bridges, sidewalks, and similar items) are reported in the applicable governmental or business-type activities columns in the government-wide financial statements. Such assets are capitalized at historical cost, or estimated historical cost for assets where actual historical cost is not available. Donated assets are recorded as capital assets at their estimated acquisition value on the date of donation. The City defines capital assets as those with an initial, individual cost of$5,000 or more with an estimated useful life in excess of two years. The cost of normal maintenance and repairs that do not add to the value of the asset or materially extend asset lives are not capitalized. Capital assets are recorded in the government-wide and proprietary fund financial statements, but are not reported in the governmental fund financial statements. Interest incurred during the construction phase of capital assets for business-type activities is included as part of the capitalized value of the assets constructed. Capital assets are depreciated using the straight-line method over their estimated useful lives. Land and construction in progress are not depreciated. The estimated useful lives are as follows: Assets Years Buildings 7-40 Improvements other than buildings 5-40 Furniture and equipment 3-50 Infrastructure 25-50 N. Compensated Absences Full-time employees employed by the City after January 1, 1995 are eligible for three to six weeks of annual leave depending on their length of service with the City. Annual leave may not accrue in excess of 800 hours. Upon termination of employment with the City, employees in"good standing" are reimbursed for all accrued and unused annual leave. Employees employed by the City prior to January 1, 1995 were eligible to elect to continue earning sick leave and vacation in lieu of the annual leave option. Those employees who elected not to take the annual leave provisions continue to be eligible to earn 12 days of sick leave and two to four weeks of vacation per year, depending on their length of service with the City. Sick leave may carry forward indefinitely. Upon termination of employment in "good standing," employees with more than 10 years of continuous service shall be paid up to one-third of their accrued and unused sick leave. The maximum amount of vacation that may be accumulated is twice the amount earned in any one year. Upon termination of employment, "good standing" employees shall be paid for their accrued and unused vacation leave. Compensated absences are accrued in governmental fund financial statements only when used or matured prior to year-end, due to employee termination or similar circumstances. Vacation and sick benefits are recorded as expenses and liabilities in proprietary funds when earned. Compensated absences payable in the government-wide Statement of Net Position and the Statement of Net Position — Proprietary Funds include all leave balances accrued, but not yet used by employees,whether or not the employees have terminated employment with the City. -42- NOTE 1—SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) O. Long-Term Liabilities In the government-wide and proprietary fund financial statements, long-term debt and other long-term obligations are reported as liabilities. Bond premiums and discounts, if material, are deferred and amortized over the life of the bonds using the straight-line method. Bond issuance costs are expensed in the period incurred. In the fund financial statements, governmental fund types recognize bond premiums and discounts, as well as bond issuance costs, during the current period. The face amount of debt issued is reported as other financing sources. Premiums received on debt issuances are reported as other financing sources, while discounts on debt issuances are reported as other financing uses. Issuance costs, whether or not withheld from the actual debt proceeds received, are reported as expenditures. P. Deferred Outflows/Inflows of Resources In addition to assets and liabilities, statements of financial position or balance sheets will sometimes report separate sections for deferred outflows or inflows of resources. These separate financial statement elements represent a consumption or acquisition of net position that applies to a future period, and so will not be recognized as an outflow of resources (expense/expenditure), or an inflow of financial resources (revenue)until then. The City reports deferred outflows and inflows of resources related to pensions and other post-employment benefits (OPEB) in the government-wide and enterprise funds Statement of Net Position. These deferred outflows and inflows result from differences between expected and actual economic experience, changes in actuarial assumptions, differences between projected and actual investment earnings, changes in proportion, and contributions to the plan subsequent to the measurement date and before the end of the reporting period. These amounts are deferred and amortized as required under pension and OPEB standards. Unavailable revenue, arises only under a modified accrual basis of accounting and, therefore, is only reported in the governmental funds Balance Sheet. The governmental funds report unavailable revenue from two sources: property taxes and special assessments. These amounts are deferred and recognized as an inflow of resources in the period that the amounts become available. Q. State-Wide Pension Plans For purposes of measuring the net pension liability, deferred outflows/inflows of resources, and pension expense, information about the fiduciary net position of the Public Employees Retirement Association(PERA) and additions to/deductions from the PERA's fiduciary net position have been determined on the same basis as they are reported by the PERA, except that the PERA's fiscal year-end is June 30. For this purpose,plan contributions are recognized as of employer payroll paid dates and benefit payments and refunds are recognized when due and payable in accordance with the benefit terms. Investments are reported at fair value. The PERA has a special funding situation created by a direct aid contribution made by the state of Minnesota. The direct aid is a result of the merger of the Minneapolis Employees Retirement Fund into the PERA on January 1,2015. -43- NOTE 1—SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) R. Budgets and Budgetary Accounting The City follows these procedures in establishing the budgetary data reflected in the financial statements: 1. In August of each year, city staff submits to the City Council, a proposed operating budget for the year commencing the following January 1. The operating budget includes proposed expenditures and the means of financing them for the upcoming year. 2. Public hearings are conducted to obtain taxpayer comments. 3. The budget is legally enacted through passage of a resolution by the City Council. 4. Budgets are adopted on a basis consistent with accounting principles generally accepted in the United States of America. 5. Expenditures may not legally exceed budgeted appropriations at the fund level. No fund's budget can be increased without City Council approval. The City Council may authorize transfers of budgeted amounts between departments within any fund. Management may amend budgets within a department level, so long as the total department budget is not changed. 6. Annual appropriated budgets are adopted during the year for the General Fund, Cable TV Special Revenue Fund, and EDA Operations Special Revenue Fund. Annual appropriated budgets are not adopted for debt service funds because effective budgetary control is alternatively achieved through bond indenture provisions. Budgetary control for capital projects funds is accomplished through the use of project controls and formal appropriated budgets are not adopted for most capital projects funds. In 2019, the City also adopted formal annual appropriated budgets for the Road Improvements Capital Projects, Future Capital Projects, and Cable Capital Equipment Capital Projects Funds. 7. The finance director/treasurer presents monthly reports to the City Council. 8. Budgeted amounts are as originally adopted or as amended by the City Council. Budgeted expenditures lapse at year-end. S. Statement of Cash Flows For purposes of the Statement of Cash Flows,the City considers all highly liquid debt instruments with an original maturity from the time of purchase by the City of three months or less to be cash equivalents. The proprietary fund's portion in the government-wide cash and investment management pool is considered to be cash equivalent. -44- NOTE 1—SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) T. Net Position and Flow Assumptions In the government-wide and proprietary fund financial statements, net position represents the difference between assets, deferred outflows of resources, liabilities, and deferred inflows of resources. Net position is displayed in three components: • Net Investment in Capital Assets — Consists of capital assets, net of accumulated depreciation, reduced by any outstanding debt attributable to acquire capital assets. • Restricted Net Position —Consists of net position restricted when there are limitations imposed on its use through external restrictions imposed by creditors, grantors, or laws or regulations of other governments. • Unrestricted Net Position—All other elements of net position that do not meet the definition of "restricted"or"net investment in capital assets." The City applies restricted resources first when an expense is incurred for which both restricted and unrestricted resources are available. U. Fund Balance Classifications and Flow Assumptions In the fund financial statements, governmental funds report fund balance in classifications that disclose constraints for which amounts in those funds can be spent. These classifications are as follows: • Nonspendable — Consists of amounts that are not in spendable form, such as prepaid items, inventory, and other long-term assets. • Restricted — Consists of amounts related to externally imposed constraints established by creditors,grantors, or contributors; or constraints imposed by state statutory provisions. • Committed— Consists of internally imposed constraints that are established by resolution of the City Council. Those committed amounts cannot be used for any other purpose unless the City Council removes or changes the specified use by taking the same type of action it employed to previously commit those amounts. • Assigned — Consists of internally imposed constraints. These constraints consist of amounts intended to be used by the City for specific purposes, but do not meet the criteria to be classified as restricted or committed. In governmental funds, assigned amounts represent intended uses established by the governing body itself or by an official to which the governing body delegates the authority. Pursuant to City Council resolution, the city administrator and/or the finance director/treasurer are authorized to establish assignments of fund balance. • Unassigned — The residual classification for the General Fund, which also reflects negative residual amounts in other funds. When both restricted and unrestricted resources are available for use, it is the City's policy to first use restricted resources, then use unrestricted resources as they are needed. When committed, assigned, or unassigned resources are available for use, it is the City's policy to use resources in the following order: 1) committed,2)assigned, and 3)unassigned. -45- NOTE 1—SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) V. Risk Management The City is exposed to various risks of loss related to torts: theft of, damage to, and destruction of assets; errors and omissions; and natural disasters. The City participates in the League of Minnesota Cities Insurance Trust (LMCIT), a public entity risk pool for its general property and casualty, workers' compensation, and other miscellaneous insurance coverage. The LMCIT operates as a common risk management and insurance program for a large number of cities in Minnesota. The City pays an annual premium to the LMCIT for insurance coverage. The LMCIT agreement provides that the trust will be self-sustaining through member premiums and will reinsure through commercial companies for claims in excess of certain limits. The City also carries commercial insurance for certain other risks of loss. Settled claims resulting from these risks did not exceed insurance coverage in any of the past three fiscal years. There were no significant reductions in insurance coverage in 2019. The City uses its Dental Insurance Internal Service Fund to account for and finance its self-insured risk of loss for an employee dental plan. The dental plan is funded by the City, employee contributions, and investment earnings. The claims liability of$8,717 is included in the liabilities of the Dental Insurance Internal Service Fund at December 31, 2019, and is based on the requirement that a liability for claims be reported if information prior to issuance of the financial statements indicates that it is probable that a liability has been incurred on the date of the financial statements and the loss can be reasonably estimated. Changes in the fund's claim liability for the past two years were: Claims Beginning and Changes Claim Ending Balance in Estimates Payments Balance 2018 $ 6,786 $ 194,144 $ 192,269 $ 8,661 2019 $ 8,661 $ 202,046 $ 201,990 $ 8,717 W. Use of Estimates The preparation of financial statements, in conformity with accounting principles generally accepted in the United States of America, requires management to make estimates and assumptions that affect the amounts reported in the financial statements during the reporting period. Actual results could differ from those estimates. -46- NOTE 2—CASH AND INVESTMENTS A. Components of Cash and Investments Cash and investments at year-end consist of the following: Deposits $ 2,176,008 Investments 75,252,446 Petty cash 16,400 Total $ 77,444,854 Cash and investments are presented in the financial statements as follows: Statement of Net Position Cash and investments $ 77,444,854 B. Deposits In accordance with applicable Minnesota Statutes, the City maintains deposits at depository banks authorized by the City Council, including checking accounts and certificates of deposit. The following is considered the most significant risk associated with deposits: Custodial Credit Risk—In the case of deposits, this is the risk that in the event of a bank failure, the City's deposits may be lost. Minnesota Statutes require that all deposits be protected by federal deposit insurance,corporate surety bond, or collateral. The market value of collateral pledged must equal 110 percent of the deposits not covered by federal deposit insurance or corporate surety bonds. Authorized collateral includes treasury bills, notes, and bonds; issues of U.S. government agencies; general obligations rated"A" or better; revenue obligations rated "AA" or better; irrevocable standard letters of credit issued by the Federal Home Loan Bank; and certificates of deposit. Minnesota Statutes require that securities pledged as collateral be held in safekeeping in a restricted account at the Federal Reserve Bank or in an account at a trust depaihnent of a commercial bank or other financial institution that is not owned or controlled by the financial institution furnishing the collateral. The City has no additional deposit policies addressing custodial credit risk. At year-end, the carrying amount of the City's deposits was $2,176,008, while the balance on the bank records was $2,003,815. At December 31, 2019, all deposits were fully covered by federal deposit insurance, surety bonds, or by collateral held by the City's agent in the City's name. -47- NOTE 2—CASH AND INVESTMENTS(CONTINUED) C. Investments The City has the following investments at year-end: Interest Risk— Credit Risk Fair Value Maturity Duration in Years Measurements Less Investment Type Rating Agency Using Than 1 1 to 5 6 to 10 Total U.S.agency securities Aaa Moody's Level 2 $ — $ 649,773 $ — $ 649,773 U.S.agency securities AA S&P Level 2 2,227,561 7,875,663 — 10,103,224 U.S.agency securities N/R N/A Level 2 — 438,124 — 438,124 State and local bonds AAA S&P Level 2 2,196,027 4,416,456 2,487,959 9,100,442 State and local bonds AA S&P Level 2 4,302,118 12,958,088 3,990,233 21,250,439 State and local bonds A S&P Level 2 — 2,509,327 532,720 3,042,047 State and local bonds Aaa Moody's Level 2 — 612,018 — 612,018 State and local bonds Aa Moody's Level 2 1,259,789 7,559,206 3,352,545 12,171,540 Negotiable certificates of deposit N/R N/A Level 2 7,843,364 3,949,359 — 11,792,723 $ 17,828,859 $ 40,968,014 $ 10,363,457 69,160,330 Investment pools/mutual funds First American Government Obligation Fund AAA S&P Level 1 6,092,116 Total investments $ 75,252,446 N/A—Not Applicable N/R—Not Rated Investments are subject to various risks,the following of which are considered the most significant: Custodial Credit Risk — For investments, this is the risk that in the event of a failure of the counterparty to an investment transaction (typically a broker-dealer), the City would not be able to recover the value of its investments or collateral securities that are in the possession of an outside party. The City's investment policy states that the City may not invest in securities that are both uninsured and not registered in the name of the City and are held by either the counterparty or the counterparty's trust department or agent,but not in the name of the City. Credit Risk—This is the risk that an issuer or other counterparty to an investment will not fulfill its obligations. Minnesota Statutes limit the City's investments to direct obligations or obligations guaranteed by the United States or its agencies; shares of investment companies registered under the Federal Investment Company Act of 1940 that receive the highest credit rating, are rated in one of the two highest rating categories by a statistical rating agency, and all of the investments have a final maturity of 13 months or less; general obligations rated"A"or better; revenue obligations rated"AA" or better; general obligations of the Minnesota Housing Finance Agency rated"A" or better; bankers' acceptances of United States banks eligible for purchase by the Federal Reserve System; commercial paper issued by United States corporations or their Canadian subsidiaries, rated of the highest quality category by at least two nationally recognized rating agencies, and maturing in 270 days or less; Guaranteed Investment Contracts guaranteed by a United States commercial bank, domestic branch of a foreign bank, or a United States insurance company, and with a credit quality in one of the top two highest categories; repurchase or reverse purchase agreements and securities lending agreements with financial institutions qualified as a "depository" by the government entity, with banks that are members of the Federal Reserve System with capitalization exceeding $10,000,000; that are a primary reporting dealer in U.S. government securities to the Federal Reserve Bank of New York; or certain Minnesota securities broker-dealers. The City's investment policy addresses credit risk by limiting investments to the safest type of securities and using prequalifying brokers/financial institutions. -48- NOTE 2—CASH AND INVESTMENTS(CONTINUED) Concentration Risk — This is the risk associated with investing a significant portion of the City's investment (considered 5.0 percent or more) in the securities of a single issuer, excluding U.S. guaranteed investments (such as treasuries), investment pools, and mutual funds. The City's investment policy states no more than 5.0 percent of the overall portfolio may be invested in the securities of a single issuer, except for the securities of the U.S. government or an external investment pool. As of December 31, 2019, the City's investment portfolio includes the Federal Home Loan Bank at 8.1 percent. Interest Rate Risk—This is the risk of potential variability in the fair value of fixed rate investments resulting from changes in interest rates (the longer the period for which an interest rate is fixed, the greater the risk). The City's investment policy does include specific limits on investment maturities as a means of managing its exposure to fair value arising from increasing interest rates. It also states investments should not be purchased that are considered to be highly sensitive to interest rate changes. NOTE 3—INTERFUND RECEIVABLES,PAYABLES,AND TRANSFERS A. Due To and Due From Other Funds Interfund receivables and payables at year-end were as follows: Due From Other Funds Governmental Future Capital Due To Other Funds Projects Governmental Road Improvements $ 2,977,564 Nonmajor 19,805 Total $ 2,997,369 Interfund borrowing is utilized for cash flow borrowing to eliminate temporary cash balance deficits, due to the timing of projects and the related revenue sources. -49- NOTE 3—INTERFUND RECEIVABLES,PAYABLES,AND TRANSFERS (CONTINUED) B. Advance From and Advance To Other Funds Borrowing at year-end was as follows: Advance To Other Funds Governmental Enterprise Closed Bond Future Capital Water and Advance From Other Funds Issues Projects Sewer Total Governmental Nonmajor $ 972,192 $ — $ — $ 972,192 Enterprise Municipal Golf Course 1,747,100 1,947,446 3,694,546 Sports Arena — 1,087,500 663,629 1,751,129 Total $ 972,192 $ 2,834,600 $ 2,611,075 $ 6,417,867 Advances are utilized to cover operations of the related city funds,including capital improvements. C. Interfund Transfers Transfers In Governmental Proprietary Road Construction Future Capital Internal Transfers Out General Fund Improvements Projects Projects Nonmajor Service Total Governmental General Fund $ — $ 3,437,000 $ — $ 350,000 $ 214,000 $ 19,780 $ 4,020,780 Closed Bond Issues — — 77,142 — — — 77,142 Future Capital Projects — 240,326 — — 212,000 — 452,326 Nonmajor — — — — 148,002 — 148,002 Enterprise Municipal Liquor 660,000 — — — — — 660,000 Water and Sewer 707,900 — — — — 11,620 719,520 Total $ 1,367,900 $ 3,677,326 $ 77,142 $ 350,000 $ 574,002 $ 31,400 $ 6,077,770 Transfers are made in accordance with budget appropriations or as approved by the City Council for special funding of city activities. These transfers were made to fund operations, debt payments, capital outlay, or to close funds. -50- NOTE 4—CAPITAL ASSETS Capital asset activity for the year ended December 31,2019 was as follows: A. Changes in Capital Assets Used in Governmental Activities Transfers and Beginning Completed End of Year Additions Deletions Construction of Year Capital assets,not depreciated Land $ 4,581,173 $ — $ — $ — $ 4,581,173 Construction in progress 3,078,404 12,127,727 — (14,224,773) 981,358 Total capital assets,not depreciated 7,659,577 12,127,727 — (14,224,773) 5,562,531 Capital assets,depreciated Buildings 34,325,350 — — 2,025,996 36,351,346 Other improvements 25,508,085 25,055 — 412,981 25,946,121 Furniture and equipment 19,212,389 1,674,205 (233,018) (13,815) 20,639,761 Infrastructure 114,422,998 182,543 — 11,772,416 126,377,957 Total capital assets,depreciated 193,468,822 1,881,803 (233,018) 14,197,578 209,315,185 Less accumulated depreciation on Buildings 14,422,474 1,001,730 — — 15,424,204 Other improvements 11,697,099 844,712 — — 12,541,811 Furniture and equipment 12,037,558 1,292,112 (191,545) (27,195) 13,110,930 Infrastructure 65,339,010 3,667,459 — — 69,006,469 Total accumulated depreciation 103,496,141 6,806,013 (191,545) (27,195) 110,083,414 Net capital assets,depreciated 89,972,681 (4,924,210) (41,473) 14,224,773 99,231,771 Total capital assets,net $ 97,632,258 $ 7,203,517 $ (41,473) $ — $ 104,794,302 B. Changes in Capital Assets Used in Business-Type Activities Transfers and Beginning Completed End of Year Additions Deletions Construction of Year Capital assets,not depreciated Land $ 6,873,929 $ 149,251 $ — $ — $ 7,023,180 Construction in progress 4,692,338 9,388,530 — (9,876,318) 4,204,550 Total capital assets,not depreciated 11,566,267 9,537,781 — (9,876,318) 11,227,730 Capital assets,depreciated Buildings 22,147,457 — — 2,437,542 24,584,999 Other improvements 157,454,172 561,685 (417,281) 7,410,586 165,009,162 Furniture and equipment 6,405,434 388,853 (123,399) 55,385 6,726,273 Total capital assets,depreciated 186,007,063 950,538 (540,680) 9,903,513 196,320,434 Less accumulated depreciation on Buildings 10,319,365 409,412 — — 10,728,777 Other improvements 73,025,435 3,311,135 (393,053) — 75,943,517 Furniture and equipment 4,669,268 311,917 (123,399) 27,195 4,884,981 Total accumulated depreciation 88,014,068 4,032,464 (516,452) 27,195 91,557,275 Net capital assets,depreciated 97,992,995 (3,081,926) (24,228) 9,876,318 104,763,159 Total capital assets,net $ 109,559,262 $ 6,455,855 $ (24,228) $ — $ 115,990,889 -51- NOTE 4—CAPITAL ASSETS(CONTINUED) C. Depreciation Expense by Function Depreciation expense for the year ended December 31, 2019 was charged to the following functions: Governmental activities General government $ 406,350 Public safety 268,151 Public works 3,840,743 Parks and recreation 1,268,958 Capital assets held by the City's internal service funds are charged to the various functions based on their usage of the assets 1,021,811 Total depreciation expense—governmental activities $ 6,806,013 Business-type activities Municipal liquor $ 140,773 Municipal golf course 211,793 Sports arena 149,790 Water and sewer 2,426,053 Storm drainage 1,066,399 Cemetery 37,656 Total depreciation expense—business-type activities $ 4,032,464 -52- NOTE 5-LONG-TERM DEBT A. Components of Long-Term Debt Final Balance- Original Issue Interest Rate Maturity End of Year Governmental activities General obligation bonds G.O.Equipment Certificate Bonds 2012A $ 1,305,000 2.00% 12/15/2021 $ 245,000 G.O.Crossover Refunding Bonds 2013A $ 9,000,000 1.75-2.35% 12/15/2031 8,705,000 G.O.Equipment Bonds 2014A $ 680,000 2.00% 12/15/2020 145,000 G.O.Bonds 2015B $ 4,255,000 2.00-2.75% 12/15/2029 2,735,000 Total general obligation bonds 11,830,000 General obligation improvement bonds G.O.Improvement Bonds 2012A $ 920,000 2.00% 12/15/2022 360,000 Total governmental activities bonds 12,190,000 Unamortized premium 233,450 Compensated absences 2,952,130 Total governmental activities $ 15,375,580 Business-type activities General obligation revenue bonds G.O.Water Revenue Bonds 2014A $ 8,830,000 2.00-3.00% 12/15/2033 $ 6,615,000 G.O.Bonds 2015B $ 1,605,000 2.00-2.75% 12/15/2026 1,250,000 Total general obligation revenue bonds 7,865,000 General obligation revenue notes G.O.Water Revenue Note 2018A $ 4,000,000 2.95% 06/15/2028 4,000,000 Capital lease 345,115 Unamortized premium 136,014 Compensated absences 497,318 Total business-type activities $ 12,843,447 B. Changes in Long-Term Debt Balance- Balance- Due Within Beginning of Year Additions Deletions End of Year One Year Governmental activities General obligation bonds $ 12,895,000 $ - $ 1,065,000 $ 11,830,000 $ 1,125,000 General obligation improvement bonds 475,000 - 115,000 360,000 120,000 Unamortized premium 281,869 - 48,419 233,450 - Compensated absences 2,859,937 1,942,262 1,850,069 2,952,130 1,850,100 Total governmental activities 16,511,806 1,942,262 3,078,488 15,375,580 3,095,100 Business-type activities General obligation revenue bonds 8,435,000 - 570,000 7,865,000 580,000 General obligation revenue notes 379,941 3,620,059 - 4,000,000 420,160 Capital lease 335,739 123,041 113,665 345,115 167,142 Unamortized premium 146,651 - 10,637 136,014 - Compensated absences 519,438 277,713 299,833 497,318 268,300 Total business-type activities 9,816,769 4,020,813 994,135 12,843,447 1,435,602 Total government-wide $ 26,328,575 $ 5,963,075 $ 4,072,623 $ 28,219,027 $ 4,530,702 -53- NOTE 5-LONG-TERM DEBT (CONTINUED) C. Minimum Debt Payments Minimum annual payments required to retire bonds are as follows: Governmental Activities General Obligation Year Ending General Obligation Bonds Improvement Bonds Total December 31, Principal Interest Principal Interest Principal Interest 2020 $ 1,125,000 $ 243,150 $ 120,000 $ 7,200 $ 1,245,000 $ 250,350 2021 905,000 221,025 120,000 4,800 1,025,000 225,825 2022 820,000 203,313 120,000 2,400 940,000 205,713 2023 865,000 187,300 - - 865,000 187,300 2024 920,000 171,788 920,000 171,788 2025-2029 5,085,000 573,503 - - 5,085,000 573,503 2030-2031 2,110,000 73,690 - - 2,110,000 73,690 Total $ 11,830,000 $ 1,673,769 $ 360,000 $ 14,400 $ 12,190,000 $ 1,688,169 Business-Type Activities General Obligation General Obligation Year Ending Revenue Bonds Revenue Notes Capital Lease Total December 31, Principal Interest Principal Interest Principal Interest Principal Interest 2020 $ 580,000 $ 202,513 $ 420,160 $ 116,840 $ 167,142 $ 15,692 $ 1,167,302 $ 335,045 2021 590,000 190,913 433,154 103,846 74,101 9,347 1,097,255 304,106 2022 610,000 179,113 446,206 90,794 77,952 5,507 1,134,158 275,414 2023 615,000 165,863 459,652 77,348 25,920 1,465 1,100,572 244,676 2024 635,000 152,500 473,316 63,684 - - 1,108,316 216,184 2025-2029 2,685,000 540,613 1,767,512 107,061 - - 4,452,512 647,674 2030-2033 2,150,000 163,500 - - - - 2,150,000 163,500 $ 7,865,000 $ 1,595,015 $ 4,000,000 $ 559,573 $ 345,115 $ 32,011 $12,210,115 $ 2,186,599 D. Description of Long-Term Debt • General Obligation Bonds and General Obligation Improvement Bonds - The City issues general obligation(G.O.)bonds to provide financing for street,utility,park, and cemetery project improvements. The City issues G.O. equipment certificates to provide financing for capital equipment. Debt service is covered respectively by special assessments, state aids, general property taxes, and tax increments. G.O. bonds and equipment certificates are direct obligations and pledge the full faith and credit of the City. Equipment certificates are issued as five-year notes with fluctuating debt service payments each year. • General Obligation Revenue Bonds - The City issues revenue bonds to provide financing for its enterprise funds. The City issued G.O. revenue bonds for the water and sewer and storm drainage activity. Debt service is covered through the revenue producing activities of these funds. • General Obligation Revenue Notes-The City issues revenue notes to provide financing for its enterprise funds. The City issued G.O. revenue notes for water and sewer activity. Debt service is covered through the revenue producing activities of these funds. -54- NOTE 5—LONG-TERM DEBT (CONTINUED) • Capital Leases — The City entered into four lease agreements for financing the acquisition of equipment for the municipal golf course. Revenues from the Municipal Golf Course Fund financed these leases. The first lease agreement matures in November 2020 and carries an interest rate of 3.50 percent. As of December 31, 2019, these assets had a capitalized value of $253,419 with accumulated depreciation of$174,443.Upon the occurrence of a default on this lease,the lessor may do any or all of the following: (a)provide written notice to lessee of default, (b) declare due and payable the present value of any and all amounts which may be then due and payable by lessee to lessor under this lease plus all rent payments remaining through the end of the then current fiscal year, discounted at the higher of 3.00 percent or the lowest rate allowed by law, and (c) require lessee to immediately return the equipment to lessor. The second lease agreement matures in March 2022 and carries an interest rate of 4.95 percent. As of December 31, 2019, these assets had a capitalized value of $180,010 with accumulated depreciation of$28,625. Upon the occurrence of a default on this lease, lessor may declare the entire balance of the unpaid lease payments for the then current initial term or renewal term immediately due and payable; charge interest on all monies due at the rate of 18.00 percent per year from the date of default until paid; and require lessee to return equipment. The third lease agreement matures in June 2022 and carries an interest rate of 4.75 percent. As of December 31, 2019, these assets had a capitalized value of $74,987 with accumulated depreciation of$11,895. Upon the occurrence of a default on this lease, lessor may declare the entire balance of the unpaid lease payments for the then current initial term or renewal term immediately due and payable; charge interest on all monies due at the rate of 18.00 percent per year from the date of default until paid; and require lessee to return equipment. The fourth lease agreement matures in March 2023 and carries an interest rate of 5.65 percent. As of December 31, 2019, these assets had a capitalized value of $123,041 with accumulated depreciation of $8,527. Upon the occurrence of a default on this lease, lessor may declare the entire balance of the unpaid lease payments for the then current initial term or renewal term immediately due and payable; charge interest on all monies due at the rate of 18.00 percent per year from the date of default until paid; and require lessee to return equipment. -55- NOTE 5—LONG-TERM DEBT (CONTINUED) • Total OPEB Liability — This liability represents the City's Other Post-Employment Benefits (OPEB) Plan liability as further described later in these notes. The General Fund, Municipal Liquor, Municipal Golf Course, Sports Arena, Water and Sewer, and Storm Drainage Funds will be used to liquidate this liability. • Net Pension Liability—This liability represents the City's pension benefit obligations as further described later in these notes. The General Fund, Municipal Liquor, Municipal Golf Course, Sports Arena,Water and Sewer, and Storm Drainage Funds will be used to liquidate this liability. The City participates in two state-wide, cost-sharing, multiple-employer defined benefit pension plans administered by the PERA and a single-employer plan administered by the fire relief association. The following is a summary of the net pension asset, net pension liabilities, deferred outflows and inflows of resources, and pension expense reported for these plans as of and for the year ended December 31,2019: Net Net Deferred Deferred Pension Pension Outflows Inflows Pension Pension Plans Asset Liabilities of Resources of Resources Expense PERA—GERF $ — $ 8,519,846 $ 821,682 $ 1,945,926 $ 958,190 PERA—PEPFF — 5,319,812 5,299,179 8,330,322 783,896 Fire Relief 562,807 — 1,617,109 768,491 377,884 Total pension plans $ 562,807 $ 13,839,658 $ 7,737,970 $ 11,044,739 $ 2,119,970 • Compensated Absences —This liability represents vested benefits earned by employees through the end of the year, which will be paid or used in future periods. The Benefits/Other Insurance Internal Service Fund, Municipal Liquor, Municipal Golf Course, Sports Arena, Water and Sewer, and Storm Drainage Funds will be used to liquidate this liability. E. Revenue Pledged Revenue Pledged Current Year Percent of Remaining Principal Pledged Use of Total Debt Term of Principal and Interest Revenue Bond Issue Proceeds Type Service Pledge and Interest Paid Received G.O.Water Revenue Bonds 2014A Utility improvements Utility charges 100% 2014-2033 $8,111,000 $ 580,125 $10,577,669 G.O.Bonds 2015B Utility improvements Utility charges 100% 2015-2026 $1,349,015 $ 203,787 $ 2,113,725 G.O.Water Revenue Note 2018A Utility improvements Utility charges 100% 2018-2028 $4,559,573 $ 64,446 $10,577,669 F. Arbitrage Rebate The Tax Reform Act of 1986 requires governmental entities to pay to the federal government income earned on the proceeds from the issuance of debt in excess of interest costs, pending the expenditure of the borrowed funds. This rebate of interest income (known as arbitrage) applies to governmental debt issued after August 31, 1986. In the opinion of management, any obligation would be immaterial. -56- NOTE 5—LONG-TERM DEBT (CONTINUED) G. Conduit Debt Obligations At times, the City has issued various types of revenue bonds to provide financial assistance to private sector, nonprofit, or governmental entities to finance the acquisition or construction of facilities deemed to be in the public interest. The bonds are secured by the property financed and are payable solely from payments received on the underlying mortgage loans. Upon repayment of the bonds, ownership of the acquired facilities transfers to the private sector entity served by the bond issuance. Neither the City, nor any political subdivision thereof, is obligated in any manner for repayment of the bonds. Accordingly, the bonds are not reported as liabilities in the City's financial statements. As of December 31, 2019, the following conduit debt issues were outstanding: Augustana Care Health Care Revenue Bonds(Augustana Health Care Center Project), Series 2016A $ 15,930,000 Minnesota Senior Living LLC Senior Living Revenue Bonds(Minnesota Senior Living LLC Project), Series 2016A 67,950,000 Senior Living Revenue Bonds(Minnesota Senior Living LLC Project), Series 2016B 49,890,000 Senior Living Revenue Bonds(Minnesota Senior Living LLC Project), Series 2016C 6,810,000 Senior Living Revenue Bonds(Minnesota Senior Living LLC Project), Series 2016D 21,490,000 Lifeworks Services Inc. Educational Facilities Revenue Note, Series 2011 1,604,337 Apple Valley Senior Housing Inc. Senior Housing Revenue Refunding Bond,Series 2018 49,185,000 Total conduit debt obligations $ 212,859,337 NOTE 6—JOINT POWERS COMMITMENT On August 25, 2005, the City entered into a joint powers agreement (the Agreement) with the cities of Burnsville, Eagan, Farmington, Hastings, Inver Grove Heights, Lakeville, Mendota Heights, Rosemount, South St. Paul, West St. Paul, and Dakota County, Minnesota, to establish the Dakota Communications Center (DCC), a Minnesota nonprofit corporation. The purpose of the DCC is to engage in the operation and maintenance of a county-wide public safety answering point and communications center for law enforcement, fire, emergency medical services, and other public safety services for the mutual benefit of residents residing in the above mentioned cities and county (members). Pursuant to the Agreement, members are required to provide the DCC their pro rata share of the cost of operations, maintenance, and capital projects. Information regarding the DCC can be obtained by contacting the City of Lakeville, 20195 Holyoke Avenue,Lakeville,Minnesota 55044-9177 or from the website www.mn-dcc.org/about-the-dcc/statistics/. -57- NOTE 7—DEFINED BENEFIT PENSION PLANS—STATE-WIDE A. Plan Descriptions The City participates in the following cost-sharing, multiple-employer defined benefit pension plans administered by the Public Employees Retirement Association (PERA) of Minnesota. The PERA's defined benefit pension plans are established and administered in accordance with Minnesota Statutes, Chapters 353 and 356. The PERA's defined benefit pension plans are tax qualified plans under Section 401(a)of the Internal Revenue Code. 1. General Employees Retirement Fund(GERF) All full-time and certain part-time employees of the City are covered by the GERF. The GERF members belong to the Coordinated Plan. Coordinated Plan members are covered by Social Security. 2. Public Employees Police and Fire Fund(PEPFF) The Public Employees Police and Fire Fund (PEPFF), originally established for police officers and firefighters not covered by a local relief association, now covers all police officers and firefighters hired since 1980. Effective July 1, 1999, the PEPFF also covers police officers and firefighters belonging to local relief associations that elected to merge with and transfer assets and administration to the PERA. B. Benefits Provided The PERA provides retirement, disability, and death benefits. Benefit provisions are established by state statutes and can only be modified by the State Legislature. Vested, terminated employees who are entitled to benefits but are not receiving them yet, are bound by the provisions in effect at the time they last terminated their public service. 1. GERF Benefits Benefits are based on a member's highest average salary for any five successive years of allowable service, age, and years of credit at termination of service. Two methods are used to compute benefits for the PERA's Coordinated Plan members. Members hired prior to July 1, 1989, receive the higher of Method 1 or Method 2 formulas. Only Method 2 is used for members hired after June 30, 1989. Under Method 1, the accrual rate for Coordinated Plan members is 1.2 percent of average salary for each of the first 10 years of service, and 1.7 percent of average salary for each additional year. Under Method 2, the accrual rate for Coordinated Plan members is 1.7 percent of average salary for all years of service. For members hired prior to July 1, 1989, a full annuity is available when age plus years of service equal 90, and normal retirement age is 65. For members hired on or after July 1, 1989,normal retirement age is the age for unreduced Social Security benefits capped at age 66. -58- NOTE 7—DEFINED BENEFIT PENSION PLANS—STATE-WIDE (CONTINUED) Annuities, disability benefits, and survivor benefits are increased effective every January 1. Beginning January 1, 2019, the post-retirement increase will be equal to 50.0 percent of the cost of living adjustment (COLA) announced by the Social Security Administration, with a minimum increase of at least 1.0 percent and a maximum of 1.5 percent. Recipients that have been receiving the annuity or benefit for at least a full year as of June 30 before the effective date of the increase, will receive the full increase. For recipients receiving the annuity or benefit for at least one month, but less than a full year as of the June 30 before the effective date of the increase, will receive a reduced prorated increase. For members retiring on January 1, 2024 or later, the increase will be delayed until normal retirement age (age 65 if hired prior to July 1, 1989, or age 66 for individuals hired on or after July 1, 1989). Members retiring under Rule of 90 are exempt from the delay to normal retirement. 2. PEPFF Benefits Benefits for the PEPFF members first hired after June 30, 2010 but before July 1, 2014,vest on a prorated basis from 50 percent after five years, up to 100 percent after 10 years of credited service. Benefits for the PEPFF members first hired after June 30, 2014 vest on a prorated basis from 50 percent after 10 years, up to 100 percent after 20 years of credited service. The annuity accrual rate is 3 percent of average salary for each year of service. A full, unreduced pension is earned when members are age 55 and vested, or for members who were first hired prior to July 1, 1989,when age plus years of service equal at least 90. Annuities, disability benefits, and survivor benefits are increased effective every January 1. Beginning January 1, 2019,the post-retirement increase will be fixed at 1 percent. Recipients that have been receiving the annuity or benefit for at least 36 months as of the June 30 before the effective date of the increase,will receive the full increase. For recipients receiving the annuity or benefit for at least 25 months, but less than 36 months as of the June 30 before the effective date of the increase,will receive a reduced prorated increase. C. Contributions Minnesota Statutes, Chapter 353 sets the rates for employer and employee contributions. Contribution rates can only be modified by the State Legislature. 1. GERF Contributions Coordinated Plan members were required to contribute 6.50 percent of their annual covered salary in fiscal year 2019. The City was required to contribute 7.50 percent for Coordinated Plan members. The City's contributions to the GERF for the year ended December 31, 2019, were $831,557. The City's contributions were equal to the required contributions as set by state statutes. 2. PEPFF Contributions Police and fire member's contribution rates increased from 10.80 percent of pay to 11.30 percent and employer rates increased from 16.20 percent to 16.95 percent on January 1,2019. The City's contributions to the PEPFF for the year ended December 31, 2019, were $923,798. The City's contributions were equal to the required contributions as set by state statutes. -59- NOTE 7—DEFINED BENEFIT PENSION PLANS—STATE-WIDE (CONTINUED) D. Pension Costs 1. GERF Pension Costs At December 31, 2019, the City reported a liability of$8,519,846 for its proportionate share of the GERF's net pension liability. The net pension liability was measured as of June 30, 2019, and the total pension liability used to calculate the net pension liability was determined by an actuarial valuation as of that date. The City's proportion of the net pension liability was based on the City's contributions received by the PERA during the measurement period for employer payroll paid dates from July 1, 2018 through June 30, 2019, relative to the total employer contributions received from all of the PERA's participating employers. The City's proportionate share was 0.1541 percent at the end of the measurement period and 0.1552 percent for the beginning of the period. The City's net pension liability reflected a reduction, due to the state of Minnesota's contribution of $16 million to the fund in 2019. The state of Minnesota is considered a nonemployer contributing entity and the state's contribution meets the definition of a special funding situation. The amount recognized by the City as its proportionate share of the net pension liability, the direct aid, and total portion of the net pension liability that was associated with the City were as follows: City's proportionate share of the net pension liability $ 8,519,846 State's proportionate share of the net pension liability associated with the City $ 264,822 For the year ended December 31, 2019, the City recognized pension expense of$938,357 for its proportionate share of the GERF's pension expense. In addition, the City recognized an additional $19,833 as pension expense (and grant revenue) for its proportionate share of the state of Minnesota's contribution of$16 million to the GERF. At December 31, 2019,the City reported its proportionate share of the GERF's deferred outflows of resources and deferred inflows of resources related to pensions from the following sources: Deferred Deferred Outflows Inflows of Resources of Resources Differences between expected and actual economic experience $ 243,317 $ — Changes in actuarial assumptions — 692,866 Differences between projected and actual investment earnings — 916,823 Changes in proportion 166,450 336,237 Contributions paid to the PERA subsequent to the measurement date 411,915 — Total $ 821,682 $ 1,945,926 -60- NOTE 7—DEFINED BENEFIT PENSION PLANS—STATE-WIDE (CONTINUED) A total of$411,915 reported as deferred outflows of resources related to pensions resulting from city contributions subsequent to the measurement date that will be recognized as a reduction of the net pension liability in the year ending December 31, 2020. Other amounts reported as deferred outflows and deferred inflows of resources related to pensions will be recognized in pension expense as follows: Pension Year Ending Expense December 31, Amount 2020 $ (486,897) 2021 $ (875,899) 2022 $ (187,091) 2023 $ 13,728 2. PEPFF Pension Costs At December 31, 2019, the City reported a liability of$5,319,812 for its proportionate share of the PEPFF's net pension liability. The net pension liability was measured as of June 30, 2019, and the total pension liability used to calculate the net pension liability was determined by an actuarial valuation as of that date. The City's proportion of the net pension liability was based on the City's contributions received by the PERA during the measurement period for employer payroll paid dates from July 1, 2018 through June 30, 2019, relative to the total employer contributions received from all of the PERA's participating employers. The City's proportionate share was 0.4997 percent at the end of the measurement period and 0.4992 percent for the beginning of the period. For the year ended December 31, 2019, the City recognized pension expense of$716,437 for its proportionate share of the PEPFF's pension expense. The City also recognized $67,459 for the year ended December 31, 2019, as revenue and an offsetting reduction of net pension liability for its proportionate share of the state of Minnesota's on-behalf contributions to the PEPFF. Legislation passed in 2013 required the state of Minnesota to begin contributing $9 million to the PEPFF each year until the plan is 90 percent funded or until the State Patrol Plan (administered by the Minnesota State Retirement System) is 90 percent funded, whichever occurs later. In addition, the state will pay $4.5 million on October 1, 2018 and October 1, 2019 in direct state aid. Thereafter, by October 1 of each year, the state will pay $9 million until full funding is reached or July 1,2048,whichever is earlier. At December 31, 2019,the City reported its proportionate share of the PEPFF's deferred outflows of resources and deferred inflows of resources related to pensions from the following sources: Deferred Deferred Outflows Inflows of Resources of Resources Differences between expected and actual economic experience $ 227,910 $ 839,532 Changes in actuarial assumptions 4,585,106 6,102,333 Differences between projected and actual investment earnings — 1,109,120 Changes in proportion 19,591 279,337 Contributions paid to the PERA subsequent to the measurement date 466,572 — Total $ 5,299,179 $ 8,330,322 -61- NOTE 7—DEFINED BENEFIT PENSION PLANS—STATE-WIDE (CONTINUED) A total of$466,572 reported as deferred outflows of resources related to pensions resulting from city contributions subsequent to the measurement date that will be recognized as a reduction of the net pension liability in the year ending December 31, 2020. Other amounts reported as deferred outflows and deferred inflows of resources related to pensions will be recognized in pension expense as follows: Pension Year Ending Expense December 31, Amount 2020 $ (412,260) 2021 $ (811,861) 2022 $ (2,239,819) 2023 $ (30,160) 2024 $ (3,615) E. Actuarial Assumptions The total pension liability in the June 30, 2019 actuarial valuation was determined using an individual entry-age normal actuarial cost method and the following actuarial assumptions: Inflation 2.50%per year Active member payroll growth 3.25%per year Investment rate of return 7.50% Salary increases were based on a service-related table. Mortality rates for active members, retirees, survivors, and disabilitants for all plans were based on RP-2014 tables for males and females, as appropriate, with slight adjustments to fit the PERA's experience. Cost of living benefit increases after retirement for retirees are assumed to be 1.25 percent per year for the GERF,and 1.00 percent per year for the PEPFF. Actuarial assumptions used in the June 30, 2019 valuation were based on the results of actuarial experience studies. The most recent four-year experience study in the GERF was completed in 2019. The most recent four-year experience study for the PEPFF was completed in 2016. Economic assumptions were updated in 2018 based on a review of inflation and investment return assumptions. The following changes in actuarial assumptions and plan provisions occurred in 2019: 1. GERF CHANGES IN ACTUARIAL ASSUMPTIONS • The mortality projection scale was changed from MP-2017 to MP-2018. CHANGES IN PLAN PROVISIONS • The employer supplemental contribution was changed prospectively, decreasing from $31.0 million to $21.0 million per year. The state's special funding contribution was changed prospectively,requiring$16.0 million due per year through 2031. -62- NOTE 7—DEFINED BENEFIT PENSION PLANS—STATE-WIDE (CONTINUED) 2. PEPFF CHANGES IN ACTUARIAL ASSUMPTIONS • The mortality projection scale was changed from MP-2017 to MP-2018. The Minnesota State Board of Investment, which manages the investments of the PERA, prepares an analysis of the reasonableness on a regular basis of the long-term expected rate of return using a building-block method in which best-estimate ranges of expected future rates of return are developed for each major asset class. These ranges are combined to produce an expected long-term rate of return by weighting the expected future rates of return by the target asset allocation percentages. The target allocation and best-estimates of geometric real rates of return for each major asset class are summarized in the following table: Target Long-Term Expected Asset Class Allocation Real Rate of Return Domestic equity 35.5 % 5.10 % Private markets 25.0 5.90 % Fixed income 20.0 0.75 % International equity 17.5 5.90 % Cash equivalents 2.0 — % Total 100.0 % F. Discount Rate The discount rate used to measure the total pension liability in 2019 was 7.50 percent. The projection of cash flows used to determine the discount rate assumed that contributions from plan members and employers will be made at rates set in Minnesota Statutes. Based on these assumptions, the fiduciary net positions of the GERF and the PEPFF were projected to be available to make all projected future benefit payments of current plan members. Therefore, the long-term expected rate of return on pension plan investments was applied to all periods of projected benefit payments to determine the total pension liability. G. Pension Liability Sensitivity The following table presents the City's proportionate share of the net pension liability for all plans it participates in, calculated using the discount rate disclosed in the preceding paragraph, as well as what the City's proportionate share of the net pension liability would be if it were calculated using a discount rate 1 percentage point lower or 1 percentage point higher than the current discount rate: 1%Decrease in 1%Increase in Discount Rate Discount Rate Discount Rate 6.50% 7.50% 8.50% City's proportionate share of the GERF net pension liability $ 14,006,164 $ 8,519,846 $ 3,989,795 City's proportionate share of the PEPFF net pension liability $ 11,628,119 $ 5,319,812 $ 102,943 -63- NOTE 7—DEFINED BENEFIT PENSION PLANS—STATE-WIDE (CONTINUED) H. Pension Plan Fiduciary Net Position Detailed information about each pension plan's fiduciary net position is available in a separately issued PERA financial report that includes financial statements and required supplementary information. That report may be obtained on the PERA website at www.mnpera.org; by writing to the PERA at 60 Empire Drive, Suite 200, St. Paul,Minnesota 55103; or by calling(651)296-7460 or(800) 652-9026. NOTE 8—DEFINED CONTRIBUTION PENSION PLAN—STATE-WIDE Councilmembers of the City are covered by the Public Employees Defined Contribution Plan(PEDCP), a multiple-employer deferred compensation plan administered by the PERA. The PEDCP is a tax qualified plan under Section 401(a) of the IRC and all contributions by or on behalf of employees are tax deferred until time of withdrawal. Plan benefits depend solely on amounts contributed to the plan plus investment earnings, less administrative expenses. Minnesota Statutes, Chapter 353D.03, specifies plan provisions, including the employee and employer contribution rates for those qualified personnel who elect to participate. An eligible elected official who decides to participate contributes 5 percent of salary,which is matched by the elected official's employer. For ambulance service personnel, employer contributions are determined by the employer, and for salaried employee contributions must be a fixed percentage of salary. Employer contributions for volunteer personnel may be a unit value for each call or period of alert duty. Employees who are paid for their services may elect to make member contributions in an amount not to exceed the employer share. Employer and employee contributions are combined and used to purchase shares in one or more of the seven accounts of the Minnesota Supplemental Investment Fund. For administering the plan, the PERA receives 2 percent of employer contributions and twenty-five hundredths of 1 percent (0.0025)of the assets in each member's account annually. Total contributions made by the City for the fiscal year 2019 were: Required Rate Contribution Amount Percentage of Covered Payroll for Employees Employee Employer Employee Employer and Employers $ 2,007 $ 2,007 5% 5% 5% NOTE 9—DEFINED BENEFIT PENSION PLAN—FIRE RELIEF ASSOCIATION A. Plan Description All members of the Apple Valley Fire Department(the Department)are covered by a defined benefit plan administered by the Apple Valley Firefighters' Relief Association (the Association). As of the measurement date, the plan covered 68 active members, 16 inactive members entitled to future benefits, and 33 inactive members or beneficiaries currently receiving benefits. The plan is a single-employer retirement plan and is established and administered in accordance with Minnesota Statutes, Chapter 69. The Association maintains a separate Special Pension Trust Fund to accumulate assets to fund the retirement benefits earned by the Department's membership. Funding for the Association is derived from an insurance premium tax in accordance with the Volunteer Firefighter's Relief Association Financing Guidelines Act of 1971 (Chapter 261 as amended by Chapter 509 of Minnesota Statutes 1980). Funds are also derived from investment income. -64- NOTE 9—DEFINED BENEFIT PENSION PLAN—FIRE RELIEF ASSOCIATION (CONTINUED) B. Benefits Provided Each member who is at least 50 years of age, has separated from service from the fire department, has served at least 5 years of active service for members commencing active duty prior to January 1, 2010, and 10 years of active service for members commencing active duty after January 1, 2010 with such deparltitent before separation and has been a member of the Association in good standing at least 5 years prior to such separation shall be entitled to a lump sum service pension in the amount of$7,000 for each year of service (including each year over 20) or a monthly service pension of$46 for each year of service (including each year over 20),but not exceeding the maximum amount per year of service allowed by law for the minimum average amount of available financing per firefighter as prescribed by law. According to the bylaws of the Association and pursuant to Minnesota Statutes, members who separate from service with less than 20 years of service and have reached the age of at least 50, and have completed at least 5 years of active membership for members commencing active duty prior to January 1, 2010, and 10 years of active membership for members commencing active duty after January 1, 2010, are entitled to a reduced service pension not to exceed the amount calculated by multiplying the member's service pension for the completed years of service times the applicable nonforfeitable percentage of pension for the completed years of service times the applicable nonforfeitable percentage of pension. C. Contributions Minnesota Statutes, Chapters 424 and 424A, authorize pension benefits for volunteer fire relief associations. The plan is funded by fire state aid, investment earnings, and, if necessary, employer contributions as specified in Minnesota Statutes and voluntary city contributions (if applicable). Required employer contributions are calculated annually based on statutory provisions. The City's statutorily-required contributions to the plan for the year ended December 31, 2019 were $255,223. The City's contributions were equal to the required contributions as set by state statutes. The City made no voluntary contributions to the plan. Furthermore, the firefighter has no obligation to contribute to the plan. D. Pension Costs At December 31, 2019,the City reported a net pension liability(asset) of($562,807) for the plan. The net pension liability (asset) was measured as of December 31, 2018. The total pension liability used to calculate the net pension liability (asset) in accordance with GASB Statement No. 68 was determined by applying an actuarial formula to specific census data certified by the Depai ltnent as of December 31, 2018. For the year ended December 31, 2019, the City recognized pension expense of$377,884. The City also recognized$298,751 as revenue from the state of Minnesota on-behalf contributions to the Depai tiitent. -65- NOTE 9—DEFINED BENEFIT PENSION PLAN—FIRE RELIEF ASSOCIATION (CONTINUED) The following table presents the changes in net pension liability(asset) during the year: Total Pension Plan Fiduciary Net Pension Liability Net Position Liability(Asset) Beginning balance $ 5,946,712 $ 7,753,729 $ (1,807,017) Changes for the year Service cost 159,059 — 159,059 Interest 419,004 — 419,004 Difference between expected and actual experience 21,501 — 21,501 Change of assumptions 534,195 — 534,195 Change of benefit terms 149,707 — 149,707 Contributions—state and local — 551,681 (551,681) Net investment income — (484,118) 484,118 Benefit payments (652,816) (652,816) — Administrative costs — (28,307) 28,307 Total net changes 630,650 (613,560) 1,244,210 Ending balance $ 6,577,362 $ 7,140,169 $ (562,807) At December 31,2019,the City reported deferred outflows of resources and deferred inflows of resources related to pensions from the following sources: Deferred Deferred Outflows Inflows of Resources of Resources Differences between expected and actual economic experience $ 24,319 $ 62,795 Changes in actuarial assumptions 561,121 394,044 Differences between projected and actual investment earnings 464,794 — City contributions subsequent to the measurement date 255,223 — State aid to the City subsequent to the measurement date 311,652 311,652 Total $ 1,617,109 $ 768,491 -66- NOTE 9—DEFINED BENEFIT PENSION PLAN—FIRE RELIEF ASSOCIATION (CONTINUED) A total of $566,875 reported as deferred outflows of resources related to pensions resulting from the City's contributions and state aid received subsequent to the measurement date will be recognized as a reduction of the net pension liability in the year ending December 31,2020. Deferred inflows of resources totaling $311,652 related to state aid received subsequent to the measurement date will be recognized for its impact on the net pension liability in the year ending December 31, 2020. Other amounts reported as deferred outflows and inflows of resources related to the plan will be recognized in pension expense as follows: Pension Year Ending Expense December 31, Amount 2020 $ (137,045) 2021 $ (15,623) 2022 $ (48,828) 2023 $ (199,981) 2024 $ (67,138) Thereafter $ (124,780) E. Actuarial Assumptions The total pension liability at December 31,2018 was determined using the entry-age normal actuarial cost method and the following actuarial assumptions: Inflation 2.50% Salary increases N/A Investment rate of return 6.25%net of pension plan investment expense,including inflation Index rate for 20-year,tax-exempt municipal bonds (Bond Buyer G.O.20-Year Municipal Bond Index); used in discount rate determination 3.71% N/A—Not Applicable Mortality rates were based on the July 1, 2018 Minnesota Public Employees Retirement Association Police and Fire Plan actuarial valuation as described below: Healthy Pre-Retirement — RP-2014 Employee Generational Mortality Table projected with Mortality Improvement Scale MP-2017, from a base year of 2006. Healthy Post-Retirement — RP-2014 Annuitant Generational Mortality Table projected with Mortality Improvement Scale MP-2017 from a base year of 2006. Male rates are adjusted by a factor of 0.96. For the December 31, 2018 valuation, the plan benefit per year of service increased from $6,700 to $7,000 and the monthly service pension increased from$45 to $46. -67- NOTE 9—DEFINED BENEFIT PENSION PLAN—FIRE RELIEF ASSOCIATION (CONTINUED) The changes in actuarial assumptions since the prior valuation included: • The expected investment return and discount rate decreased from 7.25 percent to 6.25 percent to reflect updated capital market assumptions. • The assumed inflation assumption decreased from 2.75 percent to 2.50 percent. • The mortality assumption was updated from the rates used in the July 1, 2017 Minnesota PERA Police and Fire Plan actuarial valuation to the rates used in the July 1,2018 Minnesota PERA Police and Fire Plan actuarial valuation. The long-term expected rate of return on pension plan investments was determined using a building-block method in which best-estimates of expected future real rates of return (expected returns, net of pension plan investment expense and inflation) are developed for each major asset class. These asset class estimates are combined to produce the portfolio long-term expected rate of return by weighting the expected future real rates of return by the current asset allocation percentage (or target allocation, if available)and by adding expected inflation. All results are then rounded to the nearest quarter percent. Allocation at Long-Term Long-Term Measurement Expected Real Expected Nominal Asset Class Date Rate of Return Rate of Return Domestic equity 64.26 % 4.95 % 7.45 % International equity 8.14 5.24 % 7.74 % Fixed income 12.73 1.99 % 4.49 % Real estate and alternatives — 4.19 % 6.69 % Cash and equivalents 14.87 0.58 % 3.08 % Total(weighted average,rounded to 1/4 percent) 100.00 % 6.25 % F. Discount Rate The discount rate used to measure the total pension liability was 6.25 percent. The projection of cash flows used to determine the discount rate assumed that contributions to the plan will be made as specified in state statutes. Based on that assumption and considering the funding ratio of the plan, the fiduciary net position was projected to be available to make all projected future benefit payments of current active and inactive members. Therefore, the long-term expected rate of return on pension plan investments was applied to all periods of projected benefit payments to determine the total pension liability. G. Sensitivity of the Net Pension Liability(Asset)to Changes in the Discount Rate The following presents the net pension liability (asset) of the Association, calculated using the discount rate of 6.25 percent, as well as what the Association's net pension liability (asset) would be if it were calculated using a discount rate that is 1 percentage point lower (5.25 percent) or 1 percentage point higher(7.25 percent)than the current discount rate: 1%Decrease in Current 1%Increase in Discount Rate Discount Rate Discount Rate 5.25% 6.25% 7.25% Association's net pension liability(asset) $ 85,319 $ (562,807) $ (1,112,534) H. Pension Plan Fiduciary Net Position The Association issues a publicly available financial report. This report may be obtained by writing to the Apple Valley Firefighters' Relief Association, 7100 147th Street West,Apple Valley,Minnesota 55124. -68- NOTE 10—OTHER POST-EMPLOYMENT BENEFITS(OPEB)PLAN A. Plan Description The City provides post-employment insurance benefits to certain eligible employees through its OPEB Plan, a single-employer defined benefit plan administered by the City. All post-employment benefits are based on contractual agreements with employee groups. These contractual agreements do not include any specific contribution or funding requirements. The plan does not issue a publicly available financial report.No plan assets are accumulated in a trust that meets the criteria in paragraph 4 of GASB Statement No. 75. B. Benefits Provided All retirees of the City have the option under state law to continue their medical insurance coverage through the City from the time of retirement until the employee reaches the age of eligibility for Medicare. For members of all employee groups, the retiree must pay the full premium to continue coverage for medical and dental insurance. Per state statutes, the City is also required to contribute towards the cost of continued health insurance coverage for officers and firefighters disabled or killed in the line of duty. The City is legally required to include any retirees for whom it provides health insurance coverage in the same insurance pool as its active employees until the retiree reaches Medicare eligibility, whether the premiums are paid by the City or the retiree. Consequently,participating retirees are considered to receive a secondary benefit known as an "implicit rate subsidy." This benefit relates to the assumption that the retiree is receiving a more favorable premium rate than they would otherwise be able to obtain if purchasing insurance on their own, due to being included in the same pool with the City's younger and statistically healthier active employees. C. Contributions The required contribution is based on projected pay-as-you-go financing requirements, with additional amounts to prefund benefits as determined periodically by the City. The City's current year required pay-as -you-go contributions to finance the benefits described in the previous section totaled$87,808. D. Membership Membership in the plan consisted of the following as of the latest actuarial valuation: Retirees and beneficiaries receiving benefits 10 Active plan members 184 Total members 194 -69- NOTE 10—OTHER POST-EMPLOYMENT BENEFITS(OPEB)PLAN(CONTINUED) E. Total OPEB Liability of the City The City's total OPEB liability of$2,329,949 as of year-end was measured as of December 31, 2018, and was determined by an actuarial valuation as of January 1,2018. F. Actuarial Methods and Assumptions The total OPEB liability was determined by an actuarial valuation as of January 1, 2018, using the entry-age method. The following actuarial assumptions, applied to all periods included in the measurement,unless otherwise specified: Discount rate 4.09% 20-year municipal bond yield 4.09% Inflation rate 2.75% Salary increases 3.50% Healthcare trend rate 8.00%,grading to 5.00%over 9 years The actuarial assumptions used in the latest valuation were based on those used to value pension liabilities for Minnesota city employees. The state pension plans base their assumptions on periodic experience studies. Economic assumptions are based on input from a variety of published sources of historical and projected future financial data. Each assumption was reviewed for reasonableness with the source information as well as for consistency with the other economic assumptions. Since the Plan is not funded by an irrevocable trust, the discount rate is equal to the 20-year municipal bond yield rate of 4.09 percent, which was set by considering published rate information for 20-year high quality, tax-exempt, general obligation municipal bonds as of the measurement date. The City discount rate used in the prior measurement date was 3.44 percent. Mortality rates were based on the RP-2014 Mortality Table, adjusted for white collar and mortality improvements using projection scale MP-2015 from a base year of 2014 (using projection scale MP-2016 from a base year of 2006 for police and fire personnel). Future retirees electing coverage is assumed to be 65 percent. Married future retirees electing spouse coverage is assumed to be 40 percent(60 percent for police and fire personnel). G. Changes in the Total OPEB Liability Total OPEB Liability Beginning balance $ 2,230,647 Changes for the year Service cost 199,217 Interest 82,489 Changes of assumptions (118,563) Benefit payments (63,841) Total net changes 99,302 Ending balance $ 2,329,949 Assumption changes since the prior measurement date include the following: • The discount rate was changed from 3.44 percent to 4.09 percent. • The healthcare trend rate was changed from 10.00 percent, grading to 5.00 percent over 10 years, to 8.00 percent, grading to 5.00 percent over 9 years. -70- NOTE 10—OTHER POST-EMPLOYMENT BENEFITS(OPEB)PLAN(CONTINUED) H. Total OPEB Liability Sensitivity to Discount and Healthcare Cost Trend Rate Changes The following presents the total OPEB liability of the City, as well as what the City's total OPEB liability would be if it were calculated using a discount rate that is 1 percentage point lower or 1 percentage point higher than the current discount rate: 1%Decrease in Discount 1%Increase in Discount Rate Rate Discount Rate OPEB discount rate 3.09% 4.09% 5.09% Total OPEB liability $ 2,514,103 $ 2,329,949 $ 2,156,491 The following presents the total OPEB liability of the City, as well as what the City's total OPEB liability would be if it were calculated using healthcare cost trend rates that are 1 percentage point lower or 1 percentage point higher than the current healthcare cost trend rates: 1%Decrease in Healthcare Trend 1%Increase in Healthcare Trend Rate Rate Healthcare Trend Rate OPEB healthcare trend rate 7.00%,decreasing to 8.00%,decreasing to 9.00%,decreasing to 4.00%over 9 years 5.00%over 9 years 6.00%over 9 years Total OPEB liability $ 2,042,742 $ 2,329,949 $ 2,671,562 I. OPEB Expense and Related Deferred Outflows of Resources and Deferred Inflows of Resources For the current year ended, the City recognized OPEB expense of $274,987. As of year-end, the City reported deferred outflows of resources and deferred inflows of resources related to OPEB from the following sources: Deferred Deferred Outflows Inflows of Resources of Resources Changes of assumptions $ 44,726 $ 105,560 City's contributions subsequent to the measurement date 87,808 — Total $ 132,534 $ 105,560 A total of $87,808 reported as deferred outflows of resources related to OPEB resulting from city contributions subsequent to the measurement date that will be recognized as a reduction of the total OPEB liability in the year ending December 31, 2020. Other amounts reported as deferred outflows of resources and deferred inflows of resources related to OPEB will be recognized in OPEB expense as follows: OPEB Year Ending Expense June 30, Amount 2020 $ (6,719) 2021 $ (6,719) 2022 $ (6,719) 2023 $ (6,719) 2024 $ (6,719) Thereafter $ (27,239) -71- NOTE 11—STEWARDSHIP AND ACCOUNTABILITY A. Deficit Fund Balances The following funds have a deficit fund balance at December 31,2019: Amount Governmental Road Improvements $ 3,644,354 Construction Projects $ 86,886 Nonmajor funds Capital projects Central Village Parking $ 21,555 TIF District No. 15 Parkside Village $ 678,409 Enterprise Municipal Golf Course $ 165,008 The deficits listed above will be eliminated by transfers from other funds, collection of special assessments, future special assessment bond issues, future tax levies, future tax increment collections, and state grant reimbursements. B. Budget to Actual Expenditures exceeded budgeted amounts in the Future Capital Projects Fund by $12,458 and EDA Operations Special Revenue Fund by$473,549. NOTE 12—FUND BALANCES A. Classifications At December 31,2019,the City had the following governmental fund balances: Debt Service Capital Projects Closed Future Nonmajor General Bond Road Construction Capital Governmental Fund Issues Improvements Projects Projects Funds Total Nonspendable Inventory $ 18,882 $ — S — $ — $ — $ — $ 18,882 Prepaid items 58,758 — — — — — 58,758 Total nonspendable 77,640 — — — — — 77,640 Restricted Debt service — — — — — 1,122,632 1,122,632 Economic development — — — — — 805,229 805,229 Tax increment financing — — — — — 1,293,028 1,293,028 Police forfeiture — — — — — 90,073 90,073 Capital acquisition Cable capital equipment — — — — — 610,171 610,171 Tax increment financing — — — — — 3,089,082 3,089,082 Park dedication — — — — — 2,573,663 2,573,663 Electric projects — — — — — 5,156,551 5,156,551 Cable TV — — — — — 85,188 85,188 Other purposes Solid waste grant — — — — — 42,493 42,493 Lodging tax — — — — — 117,738 117,738 Total restricted — — — — — 14,985,848 14,985,848 -72- NOTE 12-FUND BALANCES (CONTINUED) Debt Service Capital Projects Closed Future Nonmajor General Bond Road Construction Capital Governmental Fund Issues Improvements Projects Projects Funds Total Committed Home improvement guide 20,000 - - - - - 20,000 Aquatic center equipment 13,000 - - - - - 13,000 Human resource office chairs 1,000 - - - - - 1,000 Finance/city clerk laserfiche consulting 5,000 - - - - - 5,000 Fire ergonomic standing desk 1,600 - - - - - 1,600 Park maintenance training 1,700 - - - - - 1,700 Fleet ice machine 1,480 - - - - - 1,480 Street maintenance backhoe bucket thumbs 8,000 - - - - - 8,000 Fire training 3,900 - - - - - 3,900 Fire station exercise equipment 19,000 - - - - - 19,000 Human resource desktop scanner 1,000 - - - - - 1,000 City clerk/election storage supplies 2,900 - - - - - 2,900 Finance ergonomic standing desk 4,100 - - - - - 4,100 General government building facility condition inventory 64,825 - - - - - 64,825 Park administration park bond professional assistance 6,000 - - - - - 6,000 Redwood building redesign services 12,800 - - - - - 12,800 Aquatic center pool shell painting 200,000 - - - - - 200,000 Aquatic center funbrella installation 4,700 - - - - - 4,700 Aquatic center concessions stand floor 8,000 - - - - - 8,000 Park maintenance sealcoating aquatic center lot 49,500 - - - - - 49,500 Park maintenance trail/court overlays 45,000 - - - - - 45,000 Johnny Cake Ridge Park activity center sign 2,000 - - - - - 2,000 Park maintenance fertilizer 16,900 - - - - - 16,900 Park maintenance puppet wagon trailer 9,000 - - - - - 9,000 Building inspection large format printer 15,000 - - - - - 15,000 Building inspection electric vehicle charging station 20,000 - - - - - 20,000 Engineering cartegraph training 1,900 - - - - - 1,900 Streets maintenance mini-loader/plow 17,000 - - - - - 17,000 Fleet Assetworks management software 21,400 - - - - - 21,400 Total committed 576,705 - - - - - 576,705 Assigned Debt service - 9,880,755 - - - 1,584,601 11,465,356 Other capital projects - - - - 14,860,441 516,456 15,376,897 Police special projects - - - - - 109,211 109,211 Tree preservation - - - - - 383,599 383,599 Ponds - - - - - 257,935 257,935 Pathways and sidewalks - - - - - 259,911 259,911 Dodd Road - - - - - 250,700 250,700 Former City Hall building - - - - - 144,799 144,799 Capital building - - - - - 773,921 773,921 Park improvement development - - - - - 3,089 3,089 Physical improvement - - - - - 168,894 168,894 Fire capital purchases - - - - - 18,100 18,100 Total assigned - 9,880,755 - - 14,860,441 4,471,216 29,212,412 Unassigned 17,391,762 - (3,644,354) (86,886) - (699,964) 12,960,558 Total $18,046,107 $ 9,880,755 $(3,644,354) $ (86,886) $14,860,441 $18,757,100 $57,813,163 B. Minimum Fund Balance Policy The City Council has formally adopted a fund balance policy. The policy establishes the City will strive to maintain a minimum unassigned General Fund balance of 50.0 percent of the subsequent year's budgeted expenditures. At December 31, 2019, the unassigned fund balance of the General Fund was 49.1 percent of the subsequent year's budgeted expenditures, including transfers. -73- NOTE 13—JOINT POWERS AGREEMENT WITH DAKOTA COUNTY In July 1987,the City and Dakota County(the County) entered into an agreement to maintain and operate the library in Apple Valley. The County will staff and operate the library and the City agreed to resurface the parking lot and driveways on a periodic basis. NOTE 14—TAX ABATEMENT AGREEMENTS The City, in order to spur economic development and redevelopment, has entered into private development and redevelopment agreements to encourage a developer to construct, expand, or improve new or existing properties and buildings or clean-up and redevelop blighted areas. The City has five agreements that would be considered a tax abatement under GASB Statement No. 77. The City is authorized to create a tax increment finance plan under Minnesota Statutes, Chapter 469.175. The criteria that must be met under the statutes are that, in the opinion of the municipality: • The proposed development or redevelopment would not reasonably be expected to occur solely through private investment within the reasonably foreseeable future; • The increased market value of the site that could reasonably be expected to occur without the use of tax increment financing would be less that the increase in the market value estimated to result from the proposed development after subtracting the present value of the projected tax increments for the maximum duration of the tax increment district permitted in the plan. The requirements of this item do not apply if the district is a housing district; • That the tax increment financing plan conforms to the general plan for the development or redevelopment of the municipality as a whole; and • That the tax increment financing plan will afford maximum opportunity, consistent with the sound needs of the municipality as a whole, for the development or redevelopment of the project by private enterprise. The City has entered into private development agreements regarding certain properties within a tax increment district. Included in the development agreement was the reimbursement of eligible development costs. The vehicle used for this reimbursement is called a tax increment revenue note. These notes provide for the payment of principal, equal to the developer's eligible costs,plus interest at a set rate. Payments on the note will be made at the lesser of the note payment or a percent of the available tax increment received during the specific year as stated in the agreement. Payments are first applied to accrued interest and then to the principal balance. The notes are to be cancelled at the end of the term, whether or not the note has been repaid in full. The agreements are not a general obligation of the City and are payable solely from available tax increments received from the property owner. The City's position is that these are obligations to assign future and uncertain revenues sources and, as such, is not actual debt in substance. -74- NOTE 14—TAX ABATEMENT AGREEMENTS (CONTINUED) The outstanding principal balances as of December 31,2019 for these agreements are as follows: Percentage of Amount of Taxes Returned Taxes Returned Outstanding Date of District Name Purpose Principal at Required During the During the Year-End Decertification Fiscal Year Fiscal Year Construction of 147th St.and Felton Ct., TIF No. 14—Apple Valley 100,000 sq.ft.expansion of 90% Business Campus $168,953 $1,310,330 12/31/2022 P warehouse/office facilities and the addition of minimum of 40 full-time jobs. Housing district,including the TIF No. 15—Parkside construction of multi-family residential 70% $300,811 $2,428,446 12/31/2041 Village—Gabella buildings of 196 units with 20 percent affordable units. Housing district,including the TIF No. 15—Parkside construction of multi-family residential 70% $40,621 $2,666,000 12/31/2041 Village—Galante buildings of 134 units with 20 percent affordable units. Creation of 86,000 sq.ft.of manufacturing TIF No. 16—Uponor facilities and the addition of 75 full-time 90% $52,636 $375,629 12/31/2025 jobs. Creation of 73,000 sq.ft.manufacturing TIF No. 17—Karamella facilities and the addition of 76 full-time 90% $62,317 $736,000 12/31/2026 jobs. NOTE 15—COMMITMENTS AND CONTINGENCIES A. Legal Claims The City has the usual and customary type of miscellaneous legal claims pending at year-end. Although the outcome of these lawsuits is not presently determinable, the City's management believes that the City will not incur any material monetary loss resulting from these claims. No loss has been recorded on the City's financial statements relating to these claims. B. Federal and State Funding Amounts recorded or receivable from federal and state agencies are subject to agency audit and adjustment. Any disallowed claims, including amounts already collected, may constitute a liability of the applicable funds. The amount, if any, of claims which may be disallowed by the grantor agencies cannot be determined at this time,although the City expects such amounts,if any,to be immaterial. C. Tax Increment Districts The City's tax increment districts are subject to review by the state of Minnesota Office of the State Auditor. Any disallowed claims or misuse of tax increments could become a liability of the applicable fund. Management has indicated that they are not aware of any instances of noncompliance, which would have a material effect on the financial statements. -75- NOTE 15—COMMITMENTS AND CONTINGENCIES(CONTINUED) D. Construction Commitments At December 31, 2019, the City is committed to various construction contracts for the improvement of city property. The City's remaining commitment under these contracts is approximately$15,322,000. E. Operating Lease On November 15, 2018, the City entered into an agreement to extend the existing liquor store building lease at Apple Valley Shopping Center with Time Square Shopping Center II, LLP for three years commencing February 1, 2019 and ending January 31, 2022, at a base rent of$11,500 per month. Lease expenditures for the year ended December 31,2019 were $137,500. On January 25, 2018, the City entered into an agreement to lease equipment for the Municipal Golf Course for two years commencing April 23, 2018. Annual rental payments are $37,215. Lease expenditures for the year ended December 31,2019 were $37,215. The following is a schedule by years of future minimum payments required under the leases as of December 31,2019: Year Ending Liquor Lease Golf Lease December 31, Amount Amount 2020 $ 138,000 $ 36,250 2021 138,000 36,250 2022 11,500 — Total $ 287,500 $ 72,500 NOTE 16—SUBSEQUENT EVENT The City generally reports its investments at fair value based on standards described earlier in these notes. Subsequent to year-end, the novel coronavirus (COVID-19) pandemic has caused significant volatility in economic conditions, including substantial reductions in the quoted active-market prices of some investments. The City's portfolio consists primarily of shorter-term investments, many with guaranteed maturity values. The City does not expect any losses ultimately realized from this market decline to be material. However, the potential negative impact could be heightened if increased demand on City resources and/or a sustained economic downturn hampers the City's ability to hold such investments to maturity as planned. The potential future impact of these conditions on the fair value of the City's investment portfolio is not determinable at this time. -76- REQUIRED SUPPLEMENTARY INFORMATION CITY OF APPLE VALLEY PERA—General Employees Retirement Fund Schedule of City's and Nonemployer Proportionate Share of Net Pension Liability Year Ended December 31,2019 Proportionate Share of the City's Net Pension Proportionate Liability and City's Share of the the City's Proportionate Plan Fiduciary State of Share of the Share of the Net Position City's City's Minnesota's State of Net Pension as a PERA Fiscal Proportion Proportionate Proportionate Minnesota's Liability as a Percentage Year-End Date of the Net Share of the Share of the Share of the City's Percentage of of the Total City Fiscal (Measurement Pension Net Pension Net Pension Net Pension Covered Covered Pension Year-End Date Date) Liability Liability Liability Liability Payroll Payroll Liability 12/31/2015 06/30/2015 0.1634% $ 8,468,235 $ — $ 8,468,235 $ 9,603,176 88.18% 78.20% 12/31/2016 06/30/2016 0.1561% $ 12,674,544 $ 165,598 $ 12,840,142 $ 9,680,914 130.92% 68.90% 12/31/2017 06/30/2017 0.1643% $ 10,488,804 $ 131,924 $ 10,620,728 $ 10,539,668 99.52% 75.90% 12/31/2018 06/30/2018 0.1552% $ 8,609,861 $ 282,435 $ 8,892,296 $ 10,429,041 82.56% 79.50% 12/31/2019 06/30/2019 0.1541% $ 8,519,846 $ 264,822 $ 8,784,668 $ 10,903,742 78.14% 80.20% PERA—General Employees Retirement Fund Schedule of City Contributions Year Ended December 31,2019 Contributions Contributions in Relation to as a Statutorily the Statutorily Contribution Percentage City Fiscal Required Required Deficiency Covered of Covered Year-End Date Contributions Contributions (Excess) Payroll Payroll 12/31/2015 $ 750,987 $ 750,987 $ — $ 10,013,141 7.50% 12/31/2016 $ 741,397 $ 741,397 $ — $ 9,885,306 7.50% 12/31/2017 $ 768,029 $ 768,029 $ — $ 10,240,379 7.50% 12/31/2018 $ 796,766 $ 796,766 $ — $ 10,623,546 7.50% 12/31/2019 $ 831,557 $ 831,557 $ — $ 11,087,351 7.50% Note: The City implemented GASB Statement No.68 in fiscal 2015(using a June 30,2015 measurement date).This schedule is intended to present 10-year trend information.Additional years will be added as they become available. -77- CITY OF APPLE VALLEY PERA—Public Employees Police and Fire Fund Schedule of City's Proportionate Share of Net Pension Liability Year Ended December 31,2019 City's Proportionate Plan Fiduciary Share of the Net Position City's City's Net Pension as a PERA Fiscal Proportion Proportionate Liability as a Percentage Year-End Date of the Net Share of the City's Percentage of of the Total City Fiscal (Measurement Pension Net Pension Covered Covered Pension Year-End Date Date) Liability Liability Payroll Payroll Liability 12/31/2015 06/30/2015 0.5150% $ 5,851,604 $ 4,711,902 124.19% 86.60% 12/31/2016 06/30/2016 0.5190% $ 20,828,373 $ 4,976,069 418.57% 63.90% 12/31/2017 06/30/2017 0.5110% $ 6,899,105 $ 5,233,601 131.82% 85.40% 12/31/2018 06/30/2018 0.4992% $ 5,320,954 $ 5,261,108 101.14% 88.80% 12/31/2019 06/30/2019 0.4997% $ 5,319,812 $ 5,257,632 101.18% 89.30% PERA—Public Employees Police and Fire Fund Schedule of City Contributions Year Ended December 31,2019 Contributions Contributions in Relation to as a Statutorily the Statutorily Contribution Percentage City Fiscal Required Required Deficiency Covered of Covered Year-End Date Contributions Contributions (Excess) Payroll Payroll 12/31/2015 $ 818,071 $ 818,071 $ — $ 5,049,825 16.20% 12/31/2016 $ 808,641 $ 808,641 $ — $ 4,991,606 16.20% 12/31/2017 $ 829,640 $ 829,640 $ — $ 5,121,237 16.20% 12/31/2018 $ 858,645 $ 858,645 $ — $ 5,300,284 16.20% 12/31/2019 $ 923,798 $ 923,798 $ — $ 5,439,291 16.98% Note: The City implemented GASB Statement No. 68 in fiscal 2015 (using a June 30, 2015 measurement date). This schedule is intended to present 10-year trend information.Additional years will be added as they become available. -78- CITY OF APPLE VALLEY Apple Valley Firefighters'Relief Association Schedule of Changes in the Relief Association's Net Pension Liability and Related Ratios December 31,2019 City fiscal year-end date—December 31 2015 2016 2017 2018 2019 Apple Valley Firefighters'Relief Association year-end date(measurement date)—December 31 2014 2015 2016 2017 2018 Total pension liability Service cost $ 168,532 $ 181,221 $ 179,770 $ 149,826 $ 159,059 Interest 369,565 398,162 402,119 427,292 419,004 Differences between expected and actual experience — 12,130 (23,940) (67,525) 21,501 Changes of assumptions — (209,787) (509,724) 133,128 534,195 Changes in benefit terms 265,088 — — — 149,707 Benefit payments (269,330) (600,659) (528,192) (486,814) (652,816) Net change in total pension liability 533,855 (218,933) (479,967) 155,907 630,650 Total pension liability—beginning of year 5,955,850 6,489,705 6,270,772 5,790,805 5,946,712 Total pension liability—end of year $ 6,489,705 $ 6,270,772 $ 5,790,805 $ 5,946,712 $ 6,577,362 Plan fiduciary net position Contributions(state and local) $ 526,217 $ 477,537 $ 546,408 $ 530,781 $ 551,681 Net investment income 239,737 (219,523) 549,126 1,164,210 (484,118) Benefit payments (269,330) (600,659) (528,192) (486,814) (652,816) Administrative costs (22,641) (35,434) (34,516) (36,279) (28,307) Net change in plan fiduciary net position 473,983 (378,079) 532,826 1,171,898 (613,560) Plan fiduciary net position— beginning of year 5,953,101 6,427,084 6,049,005 6,581,831 7,753,729 Plan fiduciary net position— end ofyear $ 6,427,084 $ 6,049,005 $ 6,581,831 $ 7,753,729 $ 7,140,169 Net pension liability(asset)—ending $ 62,621 $ 221,767 $ (791,026) $(1,807,017) $ (562,807) Plan fiduciary net position as a percentage of the total pension liability 99.04% 96.46% 113.66% 130.39% 108.56% Note: The City implemented GASB Statement No. 68 in fiscal 2015 (using a December 31,2014 measurement date). This schedule is intended to present 10-year trend information.Additional years will be added as they become available. -79- CITY OF APPLE VALLEY Apple Valley Firefighters'Relief Association Schedule of City Contributions Contributions in Relation to the Actuarially Actuarially Contribution City Fiscal Determined Determined Deficiency Year-End Date Contribution Contribution (Excess) 12/31/2015 $ 449,869 $ 526,217 $ (76,348) 12/31/2016 $ 338,049 $ 477,537 $ (139,488) 12/31/2017 $ 404,811 $ 546,408 $ (141,597) 12/31/2018 $ 442,233 $ 526,781 $ (84,548) 12/31/2019 $ 386,565 $ 547,681 $ (161,116) Note: The City implemented GASB Statement No. 68 in fiscal 2015 (using a December 31,2014 measurement date).This schedule is intended to present 10-year trend information.Additional years will be added as they become available. -80- CITY OF APPLE VALLEY Other Post-Employment Benefits Plan Schedule of Changes in the City's Total OPEB Liability and Related Ratios Year Ended December 31,2019 2018 2019 Total OPEB liability Service cost $ 181,510 $ 199,217 Interest 80,281 82,489 Changes of assumptions 57,294 (118,563) Benefit payments (61,516) (63,841) Net change in total OPEB liability 257,569 99,302 Total OPEB liability—beginning of year 1,973,078 2,230,647 Total OPEB liability—end of year $ 2,230,647 $ 2,329,949 Covered payroll $ 14,500,000 $ 15,000,000 Total OPEB liability as a percentage of covered payroll 15.4% 15.5% Note 1: The City implemented GASB Statement No. 75 in fiscal 2018. This schedule is intended to present 10-year trend information.Additional years will be added as they become available. Note: 2: No plan assets are accumulated in a trust that meets the criteria in paragraph 4 of GASB Statement No.75. -81- CITY OF APPLE VALLEY Notes to Required Supplementary Information December 31,2019 PERA—GENERAL EMPLOYEES RETIREMENT FUND 2019 CHANGES IN ACTUARIAL ASSUMPTIONS • The mortality projection scale was changed from MP-2017 to MP-2018. 2019 CHANGES IN PLAN PROVISIONS • The employer supplemental contribution was changed prospectively, decreasing from $31.0 million to $21.0 million per year. The state's special funding contribution was changed prospectively,requiring$16.0 million due per year through 2031. 2018 CHANGES IN ACTUARIAL ASSUMPTIONS • The mortality projection scale was changed from MP-2015 to MP-2017. • The assumed benefit increase was changed from 1.00 percent per year through 2044, and 2.50 percent per year thereafter,to 1.25 percent per year. 2018 CHANGES IN PLAN PROVISIONS • The augmentation adjustment in early retirement factors is eliminated over a five-year period starting July 1,2019,resulting in actuarial equivalence after June 30, 2024. • Interest credited on member contributions decreased from 4.00 percent to 3.00 percent, beginning July 1,2018. • Deferred augmentation was changed to zero percent, effective January 1,2019.Augmentation that has already accrued for deferred members will still apply. • Contribution stabilizer provisions were repealed. • Postretirement benefit increases were changed from 1.00 percent per year with a provision to increase to 2.50 percent upon attainment of 90.00 percent funding ratio to 50.00 percent of the Social Security Cost of Living Adjustment, not less than 1.00 percent and not more than 1.50 percent,beginning January 1,2019. • For retirements on or after January 1,2024,the first benefit increase is delayed until the retiree reaches normal retirement age; does not apply to Rule of 90 retirees, disability benefit recipients, or survivors. • Actuarial equivalent factors were updated to reflect revised mortality and interest assumptions. -82- CITY OF APPLE VALLEY Notes to Required Supplementary Information(continued) December 31,2019 PERA-GENERAL EMPLOYEES RETIREMENT FUND(CONTINUED) 2017 CHANGES IN ACTUARIAL ASSUMPTIONS • The Combined Service Annuity (CSA) loads were changed from 0.80 percent for active members and 60.00 percent for vested and nonvested deferred members. The revised CSA loads are now zero percent for active member liability, 15.00 percent for vested deferred member liability,and 3.00 percent for nonvested deferred member liability. • The assumed post-retirement benefit increase rate was changed from 1.00 percent per year for all years,to 1.00 percent per year through 2044, and 2.50 percent per year thereafter. 2017 CHANGES IN PLAN PROVISIONS • The state's contribution for the Minneapolis Employees Retirement Fund equals $16.0 million in 2017 and 2018, and$6.0 million thereafter. • The Employer Supplemental Contribution for the Minneapolis Employees Retirement Fund changed from $21.0 million to $31.0 million in calendar years 2019 to 2031. The state's contribution changed from$16.0 million to$6.0 million in calendar years 2019 to 2031. 2016 CHANGES IN ACTUARIAL ASSUMPTIONS • The assumed post-retirement benefit increase rate was changed from 1.00 percent per year through 2035, and 2.50 percent per year thereafter,to 1.00 percent per year for all years. • The assumed investment return was changed from 7.90 percent to 7.50 percent. The single discount rate was changed from 7.90 percent to 7.50 percent. • Other assumptions were changed pursuant to the experience study dated June 30, 2015. The assumed future salary increases,payroll growth, and inflation were decreased by 0.25 percent to 3.25 percent for payroll growth,and 2.50 percent for inflation. 2015 CHANGES IN ACTUARIAL ASSUMPTIONS • The assumed post-retirement benefit increase rate was changed from 1.00 percent per year through 2030,and 2.50 percent per year thereafter,to 1.00 percent per year through 2035, and 2.50 percent per year thereafter. 2015 CHANGES IN PLAN PROVISIONS • On January 1,2015,the Minneapolis Employees Retirement Fund was merged into the General Employees Fund, which increased the total pension liability by $1.1 billion and increased the fiduciary plan net position by $892.0 million. Upon consolidation, state and employer contributions were revised; the state's contribution of$6.0 million, which meets the special funding situation definition,was due September 2015. -83- CITY OF APPLE VALLEY Notes to Required Supplementary Information(continued) December 31,2019 PERA—PUBLIC EMPLOYEES POLICE AND FIRE FUND 2019 CHANGES IN ACTUARIAL ASSUMPTIONS • The mortality projection scale was changed from MP-2017 to MP-2018. 2018 CHANGES IN ACTUARIAL ASSUMPTIONS • The mortality projection scale was changed from MP-2016 to MP-2017. 2018 CHANGES IN PLAN PROVISIONS • Post-retirement benefit increases were changed to 1.00 percent for all years,with no trigger. • An end date of July 1,2048 was added to the existing$9.0 million state contribution. • New annual state aid will equal $4.5 million in fiscal years 2019 and 2020, and $9.0 million thereafter,until the plan reaches 100.00 percent funding, or July 1,2048, if earlier. • Member contributions were changed from 10.80 percent to 11.30 percent of pay, effective January 1,2019, and 11.80 percent of pay, effective January 1, 2020. • Employer contributions were changed from 16.20 percent to 16.95 percent of pay, effective January 1,2019, and 17.70 percent of pay, effective January 1, 2020. • Interest credited on member contributions decreased from 4.00 percent to 3.00 percent, beginning July 1,2018. • Deferred augmentation was changed to zero percent, effective January 1,2019.Augmentation that has already accrued for deferred members will still apply. • Actuarial equivalent factors were updated to reflect revised mortality and interest assumptions. -84- CITY OF APPLE VALLEY Notes to Required Supplementary Information(continued) December 31,2019 PERA—PUBLIC EMPLOYEES POLICE AND FIRE FUND (CONTINUED) 2017 CHANGES IN ACTUARIAL ASSUMPTIONS • Assumed salary increases were changed as recommended in the June 30, 2016 experience study. The net effect is proposed rates that average 0.34 percent lower than the previous rates. • Assumed rates of retirement were changed,resulting in fewer retirements. • The CSA load was 30.00 percent for vested and nonvested deferred members. The CSA has been changed to 33.00 percent for vested members,and 2.00 percent for nonvested members. • The base mortality table for healthy annuitants was changed from the RP-2000 Fully Generational Table to the RP-2014 Fully Generational Table (with a base year of 2006),with male rates adjusted by a factor of 0.96. The mortality improvement scale was changed from Scale AA to Scale MP-2016. The base mortality table for disabled annuitants was changed from the RP-2000 Disabled Mortality Table to the mortality tables assumed for healthy retirees. • Assumed termination rates were decreased to 3.00 percent for the first three years of service. Rates beyond the select period of three years were adjusted, resulting in more expected terminations overall. • Assumed percentage of married female members was decreased from 65.00 percent to 60.00 percent. • Assumed age difference was changed from separate assumptions for male members (wives assumed to be three years younger) and female members (husbands assumed to be four years older)to the assumption that males are two years older than females. • The assumed percentage of female members electing joint and survivor annuities was increased. • The assumed post-retirement benefit increase rate was changed from 1.00 percent for all years, to 1.00 percent per year through 2064,and 2.50 percent thereafter. • The single discount rate was changed from 5.60 percent per annum to 7.50 percent per annum. -85- CITY OF APPLE VALLEY Notes to Required Supplementary Information(continued) December 31,2019 PERA—PUBLIC EMPLOYEES POLICE AND FIRE FUND (CONTINUED) 2016 CHANGES IN ACTUARIAL ASSUMPTIONS • The assumed postretirement benefit increase rate was changed from 1.00 percent per year through 2037,and 2.50 percent per year thereafter,to 1.00 percent per year for all future years. • The assumed investment return was changed from 7.90 percent to 7.50 percent. • The single discount rate changed from 7.90 percent to 5.60 percent. • The assumed future salary increases, payroll growth, and inflation were decreased by 0.25 percent to 3.25 percent for payroll growth, and 2.50 percent for inflation. 2015 CHANGES IN ACTUARIAL ASSUMPTIONS • The assumed post-retirement benefit increase rate was changed from 1.00 percent per year through 2030, and 2.50 percent per year thereafter,to 1.00 percent per year through 2037, and 2.50 percent per year thereafter. 2015 CHANGES IN PLAN PROVISIONS • The post-retirement benefit increase to be paid after attainment of the 90.00 percent funding threshold was changed from inflation up to 2.50 percent,to a fixed rate of 2.50 percent. -86- CITY OF APPLE VALLEY Notes to Required Supplementary Information(continued) December 31,2019 APPLE VALLEY FIREFIGHTERS' RELIEF ASSOCIATION 2019 CHANGES IN ACTUARIAL ASSUMPTIONS • The expected investment return and discount rate decreased from 7.25 percent to 6.25 percent to reflect updated capital market assumptions. • The assumed inflation assumption decreased from 2.75 percent to 2.50 percent. • The mortality assumption was updated from the rates used in the July 1,2017 Minnesota PERA Police and Fire Plan actuarial valuation to the rates used in the July 1,2018 Minnesota PERA Police and Fire Plan actuarial valuation. 2019 CHANGES IN PLAN PROVISIONS • The base annuity benefit increased from$45 to$46 per month per year of service,and the base lump sum benefit increased from$6,700 to $7,000 per year of service. 2018 CHANGES IN ACTUARIAL ASSUMPTIONS • The expected investment return and discount rate decreased from 7.50 percent to 7.25 percent to reflect updated capital market assumptions. • Mortality and termination rates were changed to those used in the most recent Minnesota PERA Police and Fire Plan actuarial valuation. 2017 CHANGES IN ACTUARIAL ASSUMPTIONS • The expected investment return and discount rate increased from 6.50 percent to 7.50 percent to reflect updated capital market assumptions. 2016 CHANGES IN ACTUARIAL ASSUMPTIONS • The discount rate was changed to reflect updated investment expectations. Disability decrements were added to reflect the disability benefit. Retirement rates were changed from 100.00 percent at age 50 with 20 years of service to a graded schedule. OTHER POST-EMPLOYMENT BENEFITS PLAN 2019 CHANGES IN ACTUARIAL ASSUMPTIONS • The discount rate was changed from 3.44 percent to 4.09 percent. • The healthcare trend rate was changed from 10.00 percent, grading to 5.00 percent over 10 years,to 8.00 percent, grading to 5.00 percent over 9 years. 2018 CHANGES IN ACTUARIAL ASSUMPTIONS • The discount rate was changed from 4.50 percent to 3.44 percent. -87- SUPPLEMENTARY INFORMATION THIS PAGE INTENTIONALLY LEFT BLANK COMBINING AND INDIVIDUAL FUND STATEMENTS AND SCHEDULES CITY OF APPLE VALLEY Nonmajor Governmental Funds Combining Balance Sheet as of December 31,2019 Special Debt Capital Revenue Service Projects Total Assets Cash and investments $ 1,149,061 $ 4,000,261 $ 14,637,479 $ 19,786,801 Receivables Accounts 6,038 — 283,752 289,790 Special assessments Current — 130,000 — 130,000 Deferred 260,000 260,000 Total assets $ 1,155,099 $ 4,390,261 $ 14,921,231 $ 20,466,591 Liabilities Accrued salaries payable $ 8,562 $ — $ 91 $ 8,653 Accounts payable 5,816 — 193,068 198,884 Contracts payable 85,557 85,557 Due to other governmental units 34,400 34,400 Due to other funds 19,805 19,805 Advances from other funds 972,192 972,192 Total liabilities 14,378 — 1,305,113 1,319,491 Deferred inflows of resources Unavailable revenue—special assessments — 390,000 — 390,000 Fund balances(deficit) Restricted 1,140,721 2,415,660 11,429,467 14,985,848 Assigned — 1,584,601 2,886,615 4,471,216 Unassigned (699,964) (699,964) Total fund balances 1,140,721 4,000,261 13,616,118 18,757,100 Total liabilities,deferred inflows of resources,and fund balances $ 1,155,099 $ 4,390,261 $ 14,921,231 $ 20,466,591 -88- CITY OF APPLE VALLEY Nonmajor Governmental Funds Combining Statement of Revenues,Expenditures,and Changes in Fund Balances Year Ended December 31,2019 Special Debt Capital Revenue Service Projects Total Revenues Taxes $ - $ 1,391,945 $ 862,195 $ 2,254,140 Other taxes 96,018 96,018 Franchise taxes 776,703 776,703 Special assessments - 130,000 - 130,000 Intergovernmental 648,118 648,118 Investment earnings 34,240 134,093 448,321 616,654 Other 66,135 - 639,821 705,956 Total revenues 844,511 1,656,038 2,727,040 5,227,589 Expenditures Current General government 614,326 53,549 804,143 1,472,018 Public safety 3,389 43,340 46,729 Public works 8,955 - 11,602 20,557 Parks and recreation 279,121 - 40,766 319,887 Capital outlay 6,108 - 646,029 652,137 Debt service Principal - 1,180,000 - 1,180,000 Interest and fiscal charges - 273,575 42,251 315,826 Total expenditures 911,899 1,507,124 1,588,131 4,007,154 Excess(deficiency)of revenues over expenditures (67,388) 148,914 1,138,909 1,220,435 Other financing sources(uses) Sale of capital assets 20,307 20,307 Transfers in 148,002 - 426,000 574,002 Transfers(out) - - (148,002) (148,002) Total other financing sources(uses) 168,309 - 277,998 446,307 Net change in fund balances 100,921 148,914 1,416,907 1,666,742 Fund balances Beginning of year 1,039,800 3,851,347 12,199,211 17,090,358 End of year $ 1,140,721 $ 4,000,261 $ 13,616,118 $ 18,757,100 -89- THIS PAGE INTENTIONALLY LEFT BLANK NONMAJOR SPECIAL REVENUE FUNDS Nonmajor special revenue funds are used to account for and report the proceeds of specific revenue sources that are restricted or committed to expenditures for specified purposes other than debt service or capital projects. Nonmajor special revenue funds presently established are as follows: • Cable TV Fund — Accounts for the operating costs of the cable TV functions funded by cable franchise fees. • Solid Waste Grant Fund — Accounts for the expenses related to recycling activities and the semiannual cleanup day funded by grants from Dakota County. • Police Forfeiture Fund—Administers the resources received through court-ordered forfeitures. • EDA Operations Fund — Accounts for the operating activities of the Apple Valley Economic Development Authority. • Lodging Tax Fund—Administers the resources received from the lodging tax process. -90- CITY OF APPLE VALLEY Nonmajor Special Revenue Funds Combining Balance Sheet as of December 31,2019 Solid Waste Police Cable TV Grant Forfeiture (2010) (2040) (2060) Assets Cash and investments $ 93,828 $ 42,493 $ 90,073 Receivables Accounts 44 — Total assets $ 93,872 $ 42,493 S 90,073 Liabilities Accrued salaries payable $ 8,562 $ — S — Accounts payable 122 — — Total liabilities 8,684 — — Fund balances Restricted 85,188 42,493 90,073 Total liabilities and fund balances $ 93,872 $ 42,493 S 90,073 -91- EDA Lodging Operations Tax (3210) (7000) Totals $ 805,229 $ 117,438 $ 1,149,061 5,994 6,038 $ 805,229 $ 123,432 $ 1,155,099 $ — $ — $ 8,562 5,694 5,816 5,694 14,378 805,229 117,738 1,140,721 $ 805,229 $ 123,432 $ 1,155,099 -92- CITY OF APPLE VALLEY Nonmajor Special Revenue Funds Combining Statement of Revenues,Expenditures,and Changes in Fund Balances Year Ended December 31,2019 Solid Waste Police Cable TV Grant Forfeiture (2010) (2040) (2060) Revenues Other taxes $ — $ — $ — Intergovernmental 148,118 — — Investment earnings 1,552 1,470 2,389 Other revenue Miscellaneous 192 6,643 9,300 Total revenues 149,862 8,113 11,689 Expenditures Current General government — — — Public safety — — 3,389 Public works — 8,955 — Parks and recreation 279,121 — — Capital outlay 6,108 — — Total expenditures 285,229 8,955 3,389 Excess(deficiency)of revenue over expenditures (135,367) (842) 8,300 Other financing sources Sale of capital assets — — 20,307 Transfers in 148,002 — — Total other financing sources 148,002 — 20,307 Net change in fund balances 12,635 (842) 28,607 Fund balances Beginning of year 72,553 43,335 61,466 End of year $ 85,188 $ 42,493 S 90,073 -93- EDA Lodging Operations Tax (3210) (7000) Totals $ - $ 96,018 $ 96,018 500,000 - 648,118 24,868 3,961 34,240 50,000 66,135 574,868 99,979 844,511 513,159 101,167 614,326 3,389 8,955 279,121 6,108 513,159 101,167 911,899 61,709 (1,188) (67,388) 20,307 148,002 168,309 61,709 (1,188) 100,921 743,520 118,926 1,039,800 $ 805,229 $ 117,738 $ 1,140,721 -94- THIS PAGE INTENTIONALLY LEFT BLANK NONMAJOR DEBT SERVICE FUNDS Nonmajor debt service funds are used to account for and report financial resources that are restricted, committed, or assigned to expenditures for principal, interest, and related costs on long-term debt of governmental funds. The individual nonmajor debt service funds presented are to distinguish between the various bond issues. -95- CITY OF APPLE VALLEY Nonmajor Debt Service Funds Combining Balance Sheet as of December 31,2019 2003/2009A Tax Taxable G.O. Refunding Increment Tax Equipment G.O.Closed Improvement Downtown Increment Certificates Bond Issues Bonds Redevelopment Bonds of 2003 of 2012 (3075) (3305) (3260) (3270) (3370) Assets Cash and investments $ 1,584,601 $ 768,401 $ 133,251 $ 1,159,777 $ 49,769 Receivables Special assessments Current — — — — — Deferred — — — — — Total assets $ 1,584,601 $ 768,401 $ 133,251 $ 1,159,777 $ 49,769 Deferred inflows of resources Unavailable revenue—special assessments $ — $ — $ — $ — $ — Fund balances Restricted — 768,401 133,251 1,159,777 49,769 Assigned 1,584,601 — — — — Totalfundbalances 1,584,601 768,401 133,251 1,159,777 49,769 Total deferred inflows of resources and fund balances $ 1,584,601 $ 768,401 $ 133,251 $ 1,159,777 $ 49,769 -96- G.O. G.O. G.O. Improvement Refunding Equipment G.O. Equipment Bonds Bonds Certificates Park Bonds Certificates of 2012 of 2013 of 2014 of 2015 of 2015 (3380) (3385) (3390) (3395) (3400) Total $ 89,721 $ 50,069 $ 39,112 $ 98,335 $ 27,225 $ 4,000,261 130,000 - - - - 130,000 260,000 - - - - 260,000 $ 479,721 $ 50,069 $ 39,112 $ 98,335 $ 27,225 $ 4,390,261 $ 390,000 $ - $ - $ - $ - $ 390,000 89,721 50,069 39,112 98,335 27,225 2,415,660 - - - - - 1,584,601 89,721 50,069 39,112 98,335 27,225 4,000,261 $ 479,721 $ 50,069 $ 39,112 $ 98,335 $ 27,225 $ 4,390,261 -97- CITY OF APPLE VALLEY Nonmajor Debt Service Funds Combining Statement of Revenues,Expenditures,and Changes in Fund Balances Year Ended December 31,2019 2003/2009A Tax Taxable G.O. Refunding Increment Tax Equipment G.O.Closed Improvement Downtown Increment Certificates Bond Issues Bonds Redevelopment Bonds of 2003 of 2012 (3075) (3305) (3260) (3270) (3370) Revenues Taxes $ — $ — $ — $ — $ 127,000 Special assessments — — — — — Investment earnings 51,513 24,981 6,052 37,703 1,908 Total revenues 51,513 24,981 6,052 37,703 128,908 Expenditures Current General government — — 53,549 — — Debt service Principal — — — — 115,000 Interest and fiscal charges — — — — 7,200 Total expenditures — — 53,549 — 122,200 Net change in fund balances 51,513 24,981 (47,497) 37,703 6,708 Fund balances Beginning of year 1,533,088 743,420 180,748 1,122,074 43,061 End of year $ 1,584,601 $ 768,401 $ 133,251 $ 1,159,777 $ 49,769 -98- G.O. G.O. G.O. Improvement Refunding Equipment G.O. Equipment Bonds Bonds Certificates Park Bonds Certificates of 2012 of 2013 of 2014 of 2015 of 2015 (3380) (3385) (3390) (3395) (3400) Total $ - $ 347,420 $ 140,000 $ 646,380 $ 131,145 1,391,945 130,000 - - - - 130,000 3,186 1,575 1,626 4,393 1,156 134,093 133,186 348,995 141,626 650,773 132,301 1,656,038 53,549 115,000 150,000 130,000 550,000 120,000 1,180,000 9,500 180,875 5,500 65,600 4,900 273,575 124,500 330,875 135,500 615,600 124,900 1,507,124 8,686 18,120 6,126 35,173 7,401 148,914 81,035 31,949 32,986 63,162 19,824 3,851,347 $ 89,721 $ 50,069 $ 39,112 $ 98,335 $ 27,225 $ 4,000,261 -99- NONMAJOR CAPITAL PROJECTS FUNDS Nonmajor capital projects funds used are to account for and report financial resources that are restricted, committed, or assigned to expenditures for capital outlays, including the acquisition and construction of capital facilities and other capital assets. Capital projects funds exclude those types of capital-related outflows financed by proprietary funds. Nonmajor capital projects funds presently established are as follows: • Park Dedication Fund—Accounts for expenditures for the expansion of the City's park facilities funded by the collection of park dedication fees charged to developing property. • Police Special Projects Fund — Accounts for police department projects funded with specific funding sources. • Tree Preservation Fund — Accounts for the amounts received in the development process related to tree preservation efforts. • Pond Fund—Accounts for the amounts received in the development process related to ponding efforts on privately-developed projects. • Pathways and Sidewalks Fund—Accounts for the amounts received in the development process related to pathways and sidewalk development efforts. • Dodd Road Fund —Accounts for the amounts received from the development process on Dodd Road. • Former City Hall Building Fund—Accounts for the costs and revenues associated with the use of the former City Hall building. • Central Village Parking Fund—Accounts for the costs and revenues associated with the use of the Central Village Parking. • Capital Building Fund —Accounts for the cost of the construction of the municipal center and other city facilities. • Park Improvement Development Fund — Accounts for park improvement costs in the development process. • C.I.P. Development Fund —Accounts for the proceeds from and expenses related to the Fraser land sale. • Cable Capital Equipment Fund — Accounts for capital equipment needs of the cable TV function funded with portions of the cable franchise fees. • Cable Capital Equipment/PEG Fund — Accounts for capital equipment needs of the cable TV function funded with the cable PEG fees. • Physical Improvement Fund—Accounts for developer projects funded by developers. -100- NONMAJOR CAPITAL PROJECTS FUNDS (CONTINUED) • Private Development Fund—Accounts for developer projects funded by developers. • 2003 Improvement Construction Fund — Accounts for the improvements funded with the 2003 General Obligation Bonds. • Electric Franchise Fee Fund — Accounts for project costs and revenues associated with the electric franchise fee. • Fire Grants Project Fund—Accounts for Fire Department projects funded with specific funding sources. • TIF District No. 7 Fund—Accounts for project costs included within TIF District No. 7. • TIF District No. 1 Fund—Accounts for project costs included within TIF District No. 1. • TIF District No. 15 Parkside Village Fund — Accounts for project costs included within TIF District No. 15—Parkside Village. • TIF District No. 16 Uponor Fund — Accounts for project costs included within TIF District No. 16. • TIF District No. 14 Business Campus Fund —Accounts for project costs included within TIF District No. 14—Apple Valley Business Campus. • TIF District No. 17 Karamella Fund —Accounts for project costs included within TIF District No. 17—Karamella. -101- CITY OF APPLE VALLEY Nonmajor Capital Projects Funds Combining Balance Sheet as of December 31,2019 Park Police Special Tree Pathways and Dedication Projects Preservation Pond Sidewalks Dodd Road (2015) (2055) (2070) (2075) (2080) (2085) Assets Cash and investments $ 2,573,663 $ 109,211 $ 383,599 $ 257,935 $ 259,911 $ 250,700 Receivables Accounts — — — — — — Total assets $ 2,573,663 $ 109,211 $ 383,599 $ 257,935 $ 259,911 $ 250,700 Liabilities Accrued salaries payable $ — $ — $ — $ — $ — $ — Accounts payable — — — — — — Contracts payable — — — — — — Due to other governmental units — — — — — — Due to other funds — — — — — — Advances from other funds — — — — — — Total liabilities — — — — — — Fund balances(deficit) Restricted 2,573,663 — — — — — Assigned — 109,211 383,599 257,935 259,911 250,700 Unassigned — — — — — — Total fund balances(deficit) 2,573,663 109,211 383,599 257,935 259,911 250,700 Total liabilities and fund balances $ 2,573,663 $ 109,211 $ 383,599 $ 257,935 $ 259,911 $ 250,700 -102- Former Central Park City Hall Village Capital Improvement C.I.P. Cable Capital Cable Capital Building Parking Building Development Development Equipment Equipment/PEG (2090) (2095) (4000) (4010) (4045) (4800/4815) (4810) $ 180,128 $ - $ 878,148 $ 3,089 $ 277,699 $ 294,907 $ 190,362 10,750 - - - - 120,493 21,548 $ 190,878 $ - $ 878,148 $ 3,089 $ 277,699 $ 415,400 $ 211,910 $ - $ - $ - $ - $ - $ 91 $ - 46,079 1,750 18,670 - - 17,048 - 85,557 - - - - 19,805 - - - - - 46,079 21,555 104,227 - - 17,139 - 398,261 211,910 144,799 - 773,921 3,089 277,699 - - (21,555) - - - - - 144,799 (21,555) 773,921 3,089 277,699 398,261 211,910 $ 190,878 $ - $ 878,148 $ 3,089 $ 277,699 $ 415,400 $ 211,910 -103- (continued) CITY OF APPLE VALLEY Nonmajor Capital Projects Funds Combining Balance Sheet(continued) as of December 31,2019 2003 Physical Private Improvement Electric Fire Grants TIF District Improvement Development Construction Franchise Fee Project No.7 (4900) (4920) (4300) (4750) (7600) (4710) Assets Cash and investments $ 287,872 $ 135,972 $ 127,728 $ 5,025,590 $ 18,100 $ 1,885,524 Receivables Accounts — — — 130,961 — — Total assets $ 287,872 $ 135,972 $ 127,728 $ 5,156,551 $ 18,100 $ 1,885,524 Liabilities Accrued salaries payable $ — $ — $ — $ — $ — $ — Accounts payable 84,578 — 24,943 — — — Contracts payable — — — — — — Due to other governmental units 34,400 — — — — — Due to other funds — — — — — — Advances from other funds — — — — —Total liabilities 118,978 — 24,943 — — — Fund balances(deficit) Restricted — — — 5,156,551 — 1,885,524 Assigned 168,894 135,972 102,785 — 18,100 — Unassigned — — — — — — Total fund balances(deficit) 168,894 135,972 102,785 5,156,551 18,100 1,885,524 Total liabilities and fund balances $ 287,872 $ 135,972 $ 127,728 $ 5,156,551 $ 18,100 $ 1,885,524 -104- TIF District TIF District TIF District TIF District TIF District No.15 No.16 No.14 No. 17 No. 1 Parkside Village Uponor Business Campus Karamella (4730) (4740) (4743) (4735) (4746) Total $ 955,491 $ 293,783 $ 41,317 $ 165,018 $ 41,732 $ 14,637,479 283,752 $ 955,491 $ 293,783 $ 41,317 $ 165,018 $ 41,732 $ 14,921,231 $ - $ - $ - $ - $ - $ 91 193,068 85,557 34,400 19,805 972,192 - - - 972,192 972,192 - - - 1,305,113 955,491 - 41,317 165,018 41,732 11,429,467 2,886,615 (678,409) - - - (699,964) 955,491 (678,409) 41,317 165,018 41,732 13,616,118 $ 955,491 $ 293,783 $ 41,317 $ 165,018 $ 41,732 $ 14,921,231 -105- CITY OF APPLE VALLEY Nonmajor Capital Projects Funds Combining Statement of Revenues,Expenditures,and Changes in Fund Balances Year Ended December 31,2019 Park Police Special Tree Pathways and Dedication Projects Preservation Pond Sidewalks Dodd Road (2015) (2055) (2070) (2075) (2080) (2085) Revenues Taxes $ - $ - $ - $ - $ - $ - Franchise taxes - - - - - - Investment earnings 77,630 4,522 12,470 8,385 8,608 8,151 Other revenue Rentals - - - - - - Miscellaneous 324,992 - - - - - Total revenues 402,622 4,522 12,470 8,385 8,608 8,151 Expenditures Current General government - - - - - - Public safety - 43,340 - - - - Public works - - - - - - Parksandrecreation 35,636 - - - 5,130 - Capital outlay 21,941 - - - - - Debt service Interest and fiscal charges - - - - - - Total expenditures 57,577 43,340 - - 5,130 - Excess(deficiency)of revenue over expenditures 345,045 (38,818) 12,470 8,385 3,478 8,151 Other financing sources(uses) Transfers in - - - - - - Transfers(out) - - - - - - Total other financing sources(uses) - - - - - - Net change in fund balances 345,045 (38,818) 12,470 8,385 3,478 8,151 Fund balances(deficit) Beginning of year 2,228,618 148,029 371,129 249,550 256,433 242,549 End of year $ 2,573,663 $ 109,211 $ 383,599 $ 257,935 $ 259,911 $ 250,700 -106- Former Central Park City Hall Village Capital Improvement C.I.P. Cable Capital Cable Capital Building Parking Building Development Development Equipment Equipment/PEG (2090) (2095) (4000) (4010) (4045) (4800/4815) (4810) $ - $ - $ - $ - $ - $ - $ 120,493 87,926 5,273 - 25,315 102 9,028 15,266 4,197 226,920 4,300 - - - - - 77,238 - - - - 232,193 4,300 102,553 102 9,028 135,759 92,123 162,312 10,002 - - - - - 8,893 - 39,505 - 503,831 - - 56,091 - 201,817 10,002 503,831 - - 64,984 - 30,376 (5,702) (401,278) 102 9,028 70,775 92,123 426,000 - - - - (148,002) - 426,000 - - (148,002) - 30,376 (5,702) 24,722 102 9,028 (77,227) 92,123 114,423 (15,853) 749,199 2,987 268,671 475,488 119,787 $ 144,799 $ (21,555) $ 773,921 $ 3,089 $ 277,699 $ 398,261 $ 211,910 -107- (continued) CITY OF APPLE VALLEY Nonmajor Capital Projects Funds Combining Statement of Revenues,Expenditures,and Changes in Fund Balances(continued) Year Ended December 31,2019 2003 Physical Private Improvement Electric Fire Grants TIF District Improvement Development Construction Franchise Fee Project No.7 (4900) (4920) (4300) (4750) (7600) (4710) Revenues Taxes $ - $ - $ - $ - $ - $ - Franchise taxes - - - 568,284 - - Investment earnings 9,240 4,421 4,154 152,069 589 61,332 Other revenue Rentals - - - - - - Miscellaneous 6,371 - - - - - Total revenues 15,611 4,421 4,154 720,353 589 61,332 Expenditures Current General government - - - - - - Public safety - - - - - - Public works 2,709 - - - - - Parks and recreation - - - - - - Capital outlay - - - 24,661 - - Debt service Interest and fiscal charges - - - - - - Total expenditures 2,709 - - 24,661 - - Excess(deficiency)of revenue over expenditures 12,902 4,421 4,154 695,692 589 61,332 Other financing sources(uses) Transfers in - - - - - - Transfers(out) - - - - - - Total other financing sources(uses) - - - - - - Net change in fund balances 12,902 4,421 4,154 695,692 589 61,332 Fund balances(deficit) Beginning of year 155,992 131,551 98,631 4,460,859 17,511 1,824,192 End of year $ 168,894 $ 135,972 $ 102,785 $ 5,156,551 $ 18,100 $ 1,885,524 -108- TIF District TIF District TIF District TIF District TIF District No. 15 No. 16 No.14 No.17 No. 1 Parkside Village Uponor Business Campus Karamella (4730) (4740) (4743) (4735) (4746) Total $ - $ 545,910 $ 61,095 $ 186,394 $ 68,796 $ 862,195 776,703 31,061 2,939 477 2,697 395 448,321 231,220 408,601 31,061 548,849 61,572 189,091 69,191 2,727,040 343,055 54,230 170,632 63,912 804,143 43,340 11,602 40,766 646,029 42,251 - - - 42,251 385,306 54,230 170,632 63,912 1,588,131 31,061 163,543 7,342 18,459 5,279 1,138,909 426,000 (148,002) 277,998 31,061 163,543 7,342 18,459 5,279 1,416,907 924,430 (841,952) 33,975 146,559 36,453 12,199,211 $ 955,491 $ (678,409) $ 41,317 $ 165,018 $ 41,732 $ 13,616,118 -109- CITY OF APPLE VALLEY General Fund Schedule of Revenue,Expenditures,and Changes in Fund Balances- Budget and Actual Year Ended December 31,2019 Budgeted Amounts Over(Under) Original Final Actual Budget Revenue Taxes Current $ 24,821,055 $ 24,821,055 $ 24,728,049 $ (93,006) Delinquent 50,000 50,000 78,979 28,979 Total taxes 24,871,055 24,871,055 24,807,028 (64,027) Other taxes 105,600 105,600 100,329 (5,271) Franchise taxes 515,000 515,000 515,000 - Special assessments 14,000 14,000 2,562 (11,438) Licenses and permits General government 189,060 189,060 186,369 (2,691) Public safety 5,400 5,400 8,055 2,655 Public works 1,457,200 1,457,200 1,396,479 (60,721) Total licenses and permits 1,651,660 1,651,660 1,590,903 (60,757) Intergovernmental Federal grants Public safety 56,900 76,900 25,200 (51,700) State grants PERA aid 43,000 43,000 44,127 1,127 Fire relief aid-public safety 287,000 287,000 311,652 24,652 Police relief aid-public safety 420,000 420,000 462,557 42,557 Other-public safety 39,350 39,350 126,879 87,529 Total intergovernmental 846,250 866,250 970,415 104,165 Charges for services Administration charges-general government Construction funds 69,200 69,200 - (69,200) Enterprise funds 792,500 792,500 794,100 1,600 Investment charges-general government 124,000 124,000 124,000 - Engineering charges-public works-construction 995,000 995,000 646,561 (348,439) General government 30,910 30,910 14,837 (16,073) Public safety 238,300 238,300 305,909 67,609 Public works 15,800 15,800 11,197 (4,603) Parks and recreation 1,089,700 1,089,700 955,989 (133,711) Total charges for services 3,355,410 3,355,410 2,852,593 (502,817) Fines and forfeitures 279,500 279,500 311,235 31,735 Investment earnings 197,000 197,000 511,146 314,146 Other Rentals-recreation 461,885 461,885 588,697 126,812 Rentals-other 239,600 239,600 224,332 (15,268) Refunds and reimbursements 71,200 71,200 60,499 (10,701) Donations 4,280 4,280 Miscellaneous 35,800 35,800 63,312 27,512 Total other 808,485 808,485 941,120 132,635 Total revenue 32,643,960 32,663,960 32,602,331 (61,629) -110- (continued) CITY OF APPLE VALLEY General Fund Schedule of Revenue,Expenditures,and Changes in Fund Balances- Budget and Actual(continued) Year Ended December 31,2019 Budgeted Amounts Over(Under) Original Final Actual Budget Expenditures General government Mayor and City Council Personal services 122,500 122,500 126,855 4,355 Supplies 725 725 816 91 Other current expenditures 30,910 30,910 15,222 (15,688) Total Mayor and City Council 154,135 154,135 142,893 (11,242) Administration Personal services 466,465 466,465 469,144 2,679 Supplies 265 265 75 (190) Other current expenditures 16,695 16,695 14,338 (2,357) Capital outlay 383 383 Total administration 483,425 483,425 483,940 515 Finance and data processing Personal services 626,120 626,120 637,178 11,058 Supplies 10,220 12,320 7,744 (4,576) Other current expenditures 299,577 299,577 307,438 7,861 Capital outlay 4,100 - - - Total finance and data processing 940,017 938,017 952,360 14,343 Information technology Personal services 557,725 557,725 533,167 (24,558) Supplies 9,800 9,800 7,900 (1,900) Other current expenditures 261,815 261,815 263,374 1,559 Capital outlay 146,000 146,000 146,596 596 Total information technology 975,340 975,340 951,037 (24,303) Human resources Personal services 542,220 542,220 509,702 (32,518) Supplies 650 650 631 (19) Other current expenditures 80,295 77,795 60,491 (17,304) Capital outlay - 1,500 1,738 238 Total human resources 623,165 622,165 572,562 (49,603) City clerk/elections Personal services 218,750 218,750 216,338 (2,412) Supplies 950 950 967 17 Other current expenditures 93,913 91,013 76,675 (14,338) Total city clerk/elections 313,613 310,713 293,980 (16,733) Legal Other current expenditures 533,530 533,530 545,824 12,294 General government buildings Personal services 194,300 194,300 194,945 645 Supplies 21,725 21,725 17,998 (3,727) Other current expenditures 163,616 163,616 182,788 19,172 Total general government buildings 379,641 379,641 395,731 16,090 -111- (continued) CITY OF APPLE VALLEY General Fund Schedule of Revenue,Expenditures,and Changes in Fund Balances- Budget and Actual(continued) Year Ended December 31,2019 Budgeted Amounts Over(Under) Original Final Actual Budget Expenditures(continued) General government(continued) Community development Personal services 650,765 650,765 648,477 (2,288) Supplies 900 7,300 17,455 10,155 Other current expenditures 43,475 107,075 43,118 (63,957) Total community development 695,140 765,140 709,050 (56,090) Code enforcement Personal services 240,683 240,683 215,192 (25,491) Supplies 1,800 1,800 1,500 (300) Other current expenditures 15,900 15,900 7,736 (8,164) Total code enforcement 258,383 258,383 224,428 (33,955) Unallocated Personal services 12,000 12,000 10,263 (1,737) Other current expenditures 477,570 _ 445,570 _ 324,636 (120,934) Total unallocated 489,570 457,570 334,899 (122,671) Total general government 5,845,959 5,878,059 5,606,704 (271,355) Public safety Police protection Personal services 7,954,975 7,944,975 7,990,292 45,317 Supplies 253,686 251,336 225,235 (26,101) Other current expenditures 1,553,177 1,563,177 1,548,987 (14,190) Capital outlay 825 825 Total police protection 9,761,838 9,759,488 9,765,339 5,851 Fire protection Personal services 1,253,060 1,234,060 1,214,963 (19,097) Supplies 71,965 73,565 77,481 3,916 Other current expenditures 638,617 678,917 666,125 (12,792) Total fire protection 1,963,642 1,986,542 1,958,569 (27,973) Fire relief Other current expenditures 543,223 543,223 567,625 24,402 Civil defense Supplies 2,000 2,000 776 (1,224) Other current expenditures 17,185 17,185 18,152 967 Total civil defense 19,185 19,185 18,928 (257) Animal control Personal services 94,375 94,375 46,650 (47,725) Supplies 6,475 6,475 3,328 (3,147) Other current expenditures 8,150 8,150 4,364 (3,786) Total animal control 109,000 109,000 54,342 (54,658) -112- (continued) CITY OF APPLE VALLEY General Fund Schedule of Revenue,Expenditures,and Changes in Fund Balances- Budget and Actual(continued) Year Ended December 31,2019 Budgeted Amounts Over(Under) Original Final Actual Budget Expenditures(continued) Public safety(continued) Building inspection Personal services 785,835 770,835 666,533 (104,302) Supplies 21,655 24,555 10,896 (13,659) Other current expenditures 193,300 193,300 206,387 13,087 Capital outlay 3,500 3,500 1,370 (2,130) Total building inspection 1,004,290 992,190 885,186 (107,004) Total public safety 13,401,178 13,409,628 13,249,989 (159,639) Public works Public works administration Personal services 489,185 489,185 464,677 (24,508) Supplies 6,705 10,705 4,240 (6,465) Other current expenditures 106,505 137,505 180,821 43,316 Capital outlay 5,000 5,000 8,487 3,487 Total public works administration 607,395 642,395 658,225 15,830 Central maintenance facility Personal services 594,520 577,610 554,693 (22,917) Supplies 22,035 33,965 24,829 (9,136) Other current expenditures 149,920 149,920 150,279 359 Capital outlay - 17,100 17,095 (5) Total central maintenance facility 766,475 778,595 746,896 (31,699) Streets Personal services 1,757,475 1,757,475 1,766,733 9,258 Supplies 477,996 492,336 515,713 23,377 Other current expenditures 553,957 562,957 569,869 6,912 Capital outlay 17,000 7,500 7,890 390 Total streets 2,806,428 2,820,268 2,860,205 39,937 Engineering Personal services 697,610 697,610 642,029 (55,581) Supplies 19,960 19,960 15,639 (4,321) Other current expenditures 122,320 120,420 100,372 (20,048) Total engineering 839,890 837,990 758,040 (79,950) Total public works 5,020,188 5,079,248 5,023,366 (55,882) Parks and recreation Parks and recreation administration Personal services 838,110 838,110 837,591 (519) Supplies 3,600 3,600 3,532 (68) Other current expenditures 160,450 160,450 139,984 (20,466) Capital outlay 1,776 1,776 Total parks and recreation administration 1,002,160 1,002,160 982,883 (19,277) -113- (continued) CITY OF APPLE VALLEY General Fund Schedule of Revenue,Expenditures,and Changes in Fund Balances- Budget and Actual(continued) Year Ended December 31,2019 Budgeted Amounts Over(Under) Original Final Actual Budget Expenditures(continued) Parks and recreation(continued) Recreation programs Personal services 194,050 194,050 143,859 (50,191) Supplies 45,550 45,550 42,734 (2,816) Other current expenditures 124,615 124,615 128,219 3,604 Total recreation programs 364,215 364,215 314,812 (49,403) Parks maintenance Personal services 1,785,315 1,785,315 1,721,761 (63,554) Supplies 294,100 277,200 269,507 (7,693) Other current expenditures 885,780 825,170 816,627 (8,543) Capital outlay 40,000 32,000 41,905 9,905 Total parks maintenance 3,005,195 2,919,685 2,849,800 (69,885) Redwood Community Pool Personal services 65,270 65,270 70,271 5,001 Supplies 7,300 7,300 6,650 (650) Other current expenditures 50,900 38,100 33,385 (4,715) Capital outlay 50,000 32,000 26,872 (5,128) Total Redwood Community Pool 173,470 142,670 137,178 (5,492) Apple Valley Family Aquatic Center Personal services 323,295 323,295 376,648 53,353 Supplies 35,900 35,900 29,212 (6,688) Other current expenditures 274,125 274,125 244,343 (29,782) Capital outlay 235,000 51,100 47,281 (3,819) Total Apple Valley Family Aquatic Center 868,320 684,420 697,484 13,064 Apple Valley Community Center Personal services 200,315 190,315 177,141 (13,174) Supplies 21,000 21,000 17,483 (3,517) Other current expenditures 88,650 98,650 81,364 (17,286) Total Apple Valley Community Center 309,965 309,965 275,988 (33,977) Apple Valley Senior Center Personal services 316,600 316,600 316,520 (80) Supplies 11,800 11,800 16,556 4,756 Other current expenditures 60,310 65,120 56,413 (8,707) Capital outlay 27,000 22,930 25,670 2,740 Total Apple Valley Senior Center 415,710 416,450 415,159 (1,291) Total parks and recreation 6,139,035 5,839,565 5,673,304 (166,261) Total expenditures 30,406,360 30,206,500 29,553,363 (653,137) Excess of revenues over expenditures 2,237,600 2,457,460 3,048,968 591,508 -114- (continued) CITY OF APPLE VALLEY General Fund Schedule of Revenue,Expenditures,and Changes in Fund Balances— Budget and Actual(continued) Year Ended December 31,2019 Budgeted Amounts Over(Under) Original Final Actual Budget Other fmancing sources(uses) Sale of capital assets 20,400 20,400 9,688 (10,712) Transfers in 1,365,000 1,367,900 1,367,900 — Transfers(out) (3,623,000) (3,670,040) (4,020,780) (350,740) Total other financing sources(uses) (2,237,600) (2,281,740) (2,643,192) (361,452) Net change in fund balances $ — $ 175,720 405,776 $ 230,056 Fund balances Beginning of year 17,640,331 End of year $ 18,046,107 -115- CITY OF APPLE VALLEY Road Improvements Capital Projects Fund Schedule of Revenue,Expenditures,and Changes in Fund Balances— Budget and Actual Year Ended December 31,2019 Over(Under) Budget Actual Budget Revenue Special assessments $ 375,000 $ 51,790 $ (323,210) Intergovernmental 5,335,443 6,244,490 909,047 Total revenue 5,710,443 6,296,280 585,837 Expenditures Capital outlay Public works 13,205,245 8,367,301 (4,837,944) Excess(deficiency)of revenue over expenditures (7,494,802) (2,071,021) 5,423,781 Other financing sources Transfers in 7,494,802 3,677,326 (3,817,476) Net change in fund balances $ — 1,606,305 $ 1,606,305 Fund balances(deficit) Beginning of year (5,250,659) End of year $ (3,644,354) -116- CITY OF APPLE VALLEY Future Capital Projects Fund Schedule of Revenue,Expenditures,and Changes in Fund Balances— Budget and Actual Year Ended December 31,2019 Over(Under) Budget Actual Budget Revenue Investment earnings $ 173,190 $ 487,647 $ 314,457 Expenditures Capital outlay 180,000 192,458 12,458 Excess(deficiency)of revenue over expenditures (6,810) 295,189 301,999 Other financing sources(uses) Sale of capital assets — 367,440 367,440 Transfers in — 350,000 350,000 Transfers(out) (452,326) (452,326) — Total other financing sources(uses) (452,326) 265,114 717,440 Net change in fund balances $ (459,136) 560,303 $ 1,019,439 Fund balances Beginning of year 14,300,138 End of year $ 14,860,441 -117- CITY OF APPLE VALLEY Cable TV Special Revenue Fund Schedule of Revenue,Expenditures,and Changes in Fund Balances— Budget and Actual Year Ended December 31,2019 Over(Under) Budget Actual Budget Revenue Intergovernmental $ 140,390 $ 148,118 $ 7,728 Investment earnings 1,500 1,552 52 Miscellaneous — 192 192 Total revenue 141,890 149,862 7,972 Expenditures Current Parks and recreation 295,165 279,121 (16,044) Capital outlay — 6,108 6,108 Total expenditures 295,165 285,229 (9,936) Excess(deficiency)of revenue over expenditures (153,275) (135,367) 17,908 Other financing sources Transfers in 140,390 148,002 7,612 Net change in fund balances $ (12,885) 12,635 $ 25,520 Fund balances Beginning of year 72,553 End of year $ 85,188 -118- CITY OF APPLE VALLEY EDA Operations Special Revenue Fund Schedule of Revenue,Expenditures,and Changes in Fund Balances— Budget and Actual Year Ended December 31,2019 Over(Under) Budget Actual Budget Revenue Intergovernmental $ — $ 500,000 $ 500,000 Investment earnings 150 24,868 24,718 Miscellaneous 50,000 50,000 — Total revenue 50,150 574,868 524,718 Expenditures Current General government 39,610 513,159 473,549 Net change in fund balances $ 10,540 61,709 $ 51,169 Fund balances Beginning of year 743,520 End of year $ 805,229 -119- CITY OF APPLE VALLEY Cable Capital Equipment Capital Projects Fund Schedule of Revenue,Expenditures,and Changes in Fund Balances— Budget and Actual Year Ended December 31,2019 Over(Under) Budget Actual Budget Revenue Franchise fees $ — $ 120,493 $ 120,493 Investment earnings 5,250 15,266 10,016 Total revenue 5,250 135,759 130,509 Expenditures Current Public works — 8,893 8,893 Capital outlay 68,000 56,091 (11,909) Total expenditures 68,000 64,984 (3,016) Excess(deficiency)of revenue over expenditures (62,750) 70,775 133,525 Other financing sources(uses) Transfers(out) — (148,002) (148,002) Net change in fund balances $ (62,750) (77,227) $ (14,477) Fund balances Beginning of year 475,488 End of year $ 398,261 -120- INTERNAL SERVICE FUNDS Internal service funds account for the financing of goods and services provided by one department or agency to other departments or agencies of the City on a cost-reimbursement basis. The City utilizes a Dental Insurance Internal Service Fund, a Benefits/Other Insurance Internal Service Fund, and a Vehicle Equipment Replacement Internal Service Fund in managing city operations. -121- CITY OF APPLE VALLEY Internal Service Funds Combining Statement of Net Position as of December 31,2019 Benefits/ Vehicle Dental Other Equipment Insurance Insurance Replacement (7100) (7200) (7400-7440) Totals Current assets Cash and investments $ 156,096 $ 2,877,566 $ 1,461,962 $ 4,495,624 Prepaids — 195,508 — 195,508 Total current assets 156,096 3,073,074 1,461,962 4,691,132 Noncurrent assets Capital assets Furniture and equipment — — 14,421,009 14,421,009 Less accumulated depreciation (7,805,333) (7,805,333) Total noncurrent assets — — 6,615,676 6,615,676 Total assets $ 156,096 $ 3,073,074 $ 8,077,638 $ 11,306,808 Current liabilities Accounts payable $ — $ 8,749 $ 345,599 $ 354,348 Claims payable 8,717 8,717 Accrued compensated absences — 1,850,100 — 1,850,100 Total current liabilities 8,717 1,858,849 345,599 2,213,165 Noncurrent liabilities Accrued compensated absences — 1,102,030 — 1,102,030 Total liabilities 8,717 2,960,879 345,599 3,315,195 Net position Net investment in capital assets 6,615,676 6,615,676 Unrestricted 147,379 112,195 1,116,363 1,375,937 Total net position 147,379 112,195 7,732,039 7,991,613 Total liabilities and net position $ 156,096 $ 3,073,074 $ 8,077,638 $ 11,306,808 -122- CITY OF APPLE VALLEY Internal Service Funds Combining Statement of Revenue,Expenses,and Changes in Net Position Year Ended December 31,2019 Benefits/ Vehicle Dental Other Equipment Insurance Insurance Replacement (7100) (7200) (7400-7440) Totals Operating revenue Charges to other funds $ 247,565 $ 1,562,009 $ 1,049,407 $ 2,858,981 Operating expenses Personal services 202,046 718,305 - 920,351 Contractual services - 20,722 - 20,722 Other charges - 1,074,555 - 1,074,555 Depreciation - - 1,021,811 1,021,811 Total operating expenses 202,046 1,813,582 1,021,811 3,037,439 Operating income(loss) 45,519 (251,573) 27,596 (178,458) Nonoperating revenue Investment earnings 4,136 98,782 47,947 150,865 Gain on sale of capital assets 54,136 54,136 Total nonoperating revenue 4,136 98,782 102,083 205,001 Income(loss)before transfers 49,655 (152,791) 129,679 26,543 Transfers in - - 31,400 31,400 Change in net position 49,655 (152,791) 161,079 57,943 Net position Beginning of year 97,724 264,986 7,570,960 7,933,670 Endofyear $ 147,379 $ 112,195 $ 7,732,039 $ 7,991,613 -123- CITY OF APPLE VALLEY Internal Service Funds Combining Statement of Cash Flows Year Ended December 31,2019 Benefits/ Vehicle Dental Other Equipment Insurance Insurance Replacement (7100) (7200) (7400-7440) Totals Cash flows from operating activities Cash receipts on interfund services provided $ 247,565 $ 1,563,397 $ 1,025,654 $ 2,836,616 Cash payments to suppliers (201,990) (1,562,878) — (1,764,868) Cash payments to employees for services — (156,719) — (156,719) Net cash flows from operating activities 45,575 (156,200) 1,025,654 915,029 Cash flows from capital and related financing activities Acquisition and construction of capital assets (1,200,778) (1,200,778) Proceeds from sale of capital assets 95,609 95,609 Net cash flows from capital and related financing activities (1,105,169) (1,105,169) Cash flows from investing activities Interest received on investments 4,136 98,782 47,947 150,865 Cash flows from noncapital financing activities Transfers in 31,400 31,400 Net increase in cash and cash equivalents 49,711 (57,418) (168) (7,875) Cash and investments Beginning of year 106,385 2,934,984 1,462,130 4,503,499 End of year $ 156,096 $ 2,877,566 $ 1,461,962 $ 4,495,624 Reconciliation of operating income(loss)to net cash flows from operating activities Operating income(loss) $ 45,519 $ (251,573) $ 27,596 $ (178,458) Adjustments to reconcile operating income(loss) to net cash flows from operating activities Depreciation 1,021,811 1,021,811 Change in assets and liabilities Receivables Accounts — 1,388 — 1,388 Prepaids — 4,862 — 4,862 Accounts payable — (3,070) (23,753) (26,823) Claims payable 56 56 Accrued compensated absences — 92,193 — 92,193 Net cash flows from operating activities $ 45,575 $ (156,200) $ 1,025,654 $ 915,029 Noncash capital activities Net book value of capital asset disposals $ — $ — $ (41,473) $ (41,473) Capital asset purchase on account $ — $ — $ 345,599 $ 345,599 -124- STATISTICAL SECTION THIS PAGE INTENTIONALLY LEFT BLANK STATISTICAL SECTION (UNAUDITED) This part of the City of Apple Valley, Minnesota's (the City) Comprehensive Annual Financial Report (CAFR) presents detailed information as a context for understanding what the information in the financial statements, note disclosures, and required supplementary information says about the City's overall financial health. Page Contents: Financial Trends These schedules contain trend information to help the reader understand how the City's financial performance and well-being have changed over time. 125 Revenue Capacity These schedules contain information to help the reader assess the City's most significant revenue source,including property tax and utility revenue. 135 Debt Capacity These schedules present information to help the reader assess the affordability of the City's current levels of outstanding debt and the City's ability to issue additional debt in the future. 142 Demographic and Economic Information These schedules offer demographic and economic indicators to help the reader understand the environment within which the City's financial activities take place. 151 Operating Indicators These schedules contain service and infrastructure data to help the reader understand how the information in the City's financial report relates to the services the City provides, and the activities it performs. 153 Source: Unless otherwise noted,the information in these schedules is derived from the CAFR for the relevant year. CITY OF APPLE VALLEY Net Position by Component Last Ten Fiscal Years (accrual basis of accounting) Fiscal Year 2010 2011 2012 2013 Governmental activities Net investment in capital assets $ 45,477,393 $ 54,928,735 $ 64,226,520 $ 70,526,658 Restricted 24,656,491 21,580,777 17,001,111 18,619,396 Unrestricted 38,798,761 42,115,459 43,609,670 38,654,601 Total governmental activities net position $ 108,932,645 $ 118,624,971 $ 124,837,301 $ 127,800,655 Business-type activities Net investment in capital assets $ 102,320,160 $ 104,198,009 $ 110,376,210 $ 118,410,631 Restricted 291,591 309,518 319,582 303,823 Unrestricted 20,094,976 19,431,679 19,030,882 13,228,257 Total business-type activities net position $ 122,706,727 $ 123,939,206 $ 129,726,674 $ 131,942,711 Primary government Net investment in capital assets $ 147,797,553 $ 159,126,744 $ 174,602,730 $ 188,937,289 Restricted 24,948,082 21,890,295 $ 17,320,693 18,923,219 Unrestricted 58,893,737 61,547,138 62,540,552 51,882,858 Total primary government net position $ 231,639,372 $ 242,564,177 $ 254,463,975 $ 259,743,366 Note 1: The City implemented GASB Statement No. 65 in 2012. Net position for 2011 was restated for the effects of implementing this standard.Net position for previous years has not been restated. Note 2: The City implemented GASB Statement No. 68 in 2015, resulting in a restatement of beginning net position for the effects of implementing this standard.Net position for previous years has not been restated. Note 3: The City implemented GASB Statement No. 75 in 2018, resulting in a restatement of beginning net position for the effects of implementing this standard.Net position for previous years has not been restated. -125- Table 1 2014 2015 2016 2017 2018 2019 $ 78,398,734 $ 86,664,918 $ 93,945,022 $ 99,642,040 $ 83,980,389 $ 92,370,852 15,253,042 16,541,831 16,141,535 15,364,368 15,352,356 16,776,842 36,056,447 26,805,077 24,394,132 24,292,441 28,466,675 29,564,353 $ 129,708,223 $ 130,011,826 $ 134,480,689 $ 139,298,849 $ 127,799,420 $ 138,712,047 $ 120,092,250 $ 118,288,727 $ 119,417,084 $ 94,851,212 $ 100,261,931 $ 103,644,760 329,167 178,529 178,977 178,665 14,998,933 14,230,604 17,104,636 15,390,547 12,828,596 13,312,548 $ 135,420,350 $ 132,697,860 $ 136,700,697 $ 110,420,424 $ 113,090,527 $ 116,957,308 $ 198,490,984 $ 204,953,645 $ 213,362,106 $ 194,493,252 $ 184,242,320 $ 196,015,612 15,582,209 16,720,360 16,320,512 15,543,033 15,352,356 16,776,842 51,055,380 41,035,681 41,498,768 39,682,988 41,295,271 42,876,901 $ 265,128,573 $ 262,709,686 $ 271,181,386 $ 249,719,273 $ 240,889,947 $ 255,669,355 -126- CITY OF APPLE VALLEY Changes in Net Position Last Ten Fiscal Years (accrual basis of accounting) Fiscal Year 2010 2011 2012 2013 Expenses Governmental activities General government $ 10,081,345 $ 7,086,321 $ 7,398,895 $ 5,012,638 Public safety 10,092,977 10,548,223 11,101,520 11,336,972 Public works 7,008,886 5,744,780 6,382,138 6,905,011 Park and recreation 6,261,801 6,169,552 6,166,397 6,345,937 Interest on long-term debt 1,556,130 1,459,728 1,235,352 1,194,974 Total governmental activities expenses $ 35,001,139 $ 31,008,604 $ 32,284,302 $ 30,795,532 Business-type activities Municipal Liquor $ 8,285,841 $ 8,177,679 $ 8,377,991 $ 8,419,472 Municipal Golf Course 1,057,715 1,051,605 1,292,371 1,507,451 Sports Arena 748,541 799,993 778,931 759,930 Water and Sewer 7,302,254 7,309,277 7,194,007 7,794,274 Storm Drainage 846,743 917,054 1,001,140 1,052,087 Cemetery 68,868 69,004 69,376 51,472 Street Light Utility 410,787 398,114 447,954 444,106 Total business-type activities 18,720,749 18,722,726 19,161,770 20,028,792 Total primary government expenses $ 53,721,888 $ 49,731,330 $ 51,446,072 $ 50,824,324 Program revenues Governmental activities Charges for services General government $ 2,423,051 $ 2,435,834 $ 2,413,190 $ 2,315,613 Public safety 755,339 587,486 554,820 549,371 Public works 1,046,007 1,055,995 1,543,446 892,267 Park and recreation 1,721,486 1,314,377 1,504,546 1,271,031 Operating grants and contributions 1,872,316 534,041 579,675 900,223 Capital grants and contributions 3,271,761 4,398,403 4,445,816 3,250,152 Total governmental activities program revenues $ 11,089,960 $ 10,326,136 $ 11,041,493 $ 9,178,657 -127- Table 2 2014 2015 2016 2017 2018 2019 $ 6,107,245 $ 5,468,843 $ 6,974,444 $ 6,260,768 $ 7,670,285 $ 7,490,933 11,946,671 12,464,603 15,097,659 13,443,699 12,750,741 13,294,656 9,011,324 7,038,033 7,746,304 8,473,039 9,434,637 9,414,499 6,403,907 6,543,162 7,025,281 7,239,268 6,992,203 7,191,984 1,037,527 1,037,567 912,007 886,283 284,621 268,829 $ 34,506,674 $ 32,552,208 $ 37,755,695 $ 36,303,057 $ 37,132,487 $ 37,660,901 $ 8,332,921 $ 7,772,369 $ 7,872,023 $ 8,251,249 $ 8,362,332 8,631,173 1,526,108 1,653,759 1,728,605 1,545,792 1,238,125 1,218,830 853,315 770,215 770,666 798,402 784,343 756,399 8,186,262 8,154,989 9,336,567 10,031,223 9,203,936 9,746,090 1,257,566 1,444,800 1,481,121 2,181,086 2,035,266 2,217,257 51,646 49,086 60,790 127,469 89,069 140,545 424,670 446,644 437,439 483,752 485,356 543,694 20,632,488 20,291,862 21,687,211 23,418,973 22,198,427 23,253,988 $ 55,139,162 $ 52,844,070 $ 59,442,906 $ 59,722,030 $ 59,330,914 $ 60,914,889 $ 2,828,709 $ 1,696,786 $ 1,768,008 $ 1,956,499 $ 1,987,775 $ 2,085,398 541,947 496,566 543,950 617,729 615,835 712,423 1,001,148 2,620,283 2,489,539 3,740,394 3,555,717 2,592,303 2,030,716 1,989,084 2,740,747 1,461,720 2,396,973 1,646,122 837,763 771,220 1,531,412 1,082,234 1,985,278 1,400,053 1,897,081 5,918,652 5,489,541 3,206,571 3,741,660 7,514,679 $ 9,137,364 $ 13,492,591 $ 14,563,197 $ 12,065,147 $ 14,283,238 $ 15,950,978 -128- (continued) CITY OF APPLE VALLEY Changes in Net Position(continued) Last Ten Fiscal Years (accrual basis of accounting) Fiscal Year 2010 2011 2012 2013 Program revenues(continued) Business-type activities Charges for services Municipal liquor $ 9,032,194 $ 9,005,660 $ 9,231,890 $ 9,380,818 Municipal golf course 1,114,395 1,023,866 1,122,791 1,168,154 Sports arena 606,262 650,350 647,134 643,855 Water and sewer 8,439,232 8,361,750 9,256,709 8,951,798 Storm drainage 1,360,483 1,370,348 1,517,090 1,525,136 Cemetery 89,695 114,365 127,735 123,197 Street light utility 465,552 433,464 454,477 449,885 Operating grants and contributions - 10,170 13,890 80,707 Capital grants and contributions 645,427 643,164 3,201,690 1,497,501 Total business-type activities program revenues 21,753,240 21,613,137 25,573,406 23,821,051 Total primary government program revenues $ 32,843,200 $ 31,939,273 $ 36,614,899 $ 32,999,708 Net(expense)revenue Governmental activities $ (23,911,179) $ (20,682,468) $ (21,242,809) $ (21,616,875) Business-type activities 3,032,491 2,890,411 6,411,636 3,792,259 Total primary government net expense $ (20,878,688) $ (17,792,057) $ (14,831,173) $ (17,824,616) General revenues and other changes in net position Governmental activities Property taxes $ 21,697,421 $ 21,460,141 $ 21,769,647 $ 22,144,883 Tax increments 2,311,405 2,240,269 2,012,281 544,283 Franchise taxes 1,160,771 1,177,715 1,197,288 1,262,393 Lodging tax 67,311 74,105 75,472 73,504 Gravel tax 36,314 38,666 36,439 45,890 Unallocated state and county aids 95,019 117,000 145,755 40,397 Other general revenue 271,622 176,575 116,558 186,872 Unrestricted investment earnings 643,741 2,372,693 1,026,594 (1,056,882) Transfers 1,623,303 2,717,630 1,075,105 1,338,889 Total governmental activities $ 27,906,907 $ 30,374,794 $ 27,455,139 $ 24,580,229 Business-type activities Unrestricted investment earnings $ 320,166 $ 888,863 $ 388,923 $ (358,333) Property taxes 125,000 120,000 120,000 121,000 Other 15,217 50,835 43,845 - Transfers (1,623,303) (2,717,630) (1,075,105) (1,338,889) Total business-type activities (1,162,920) (1,657,932) (522,337) (1,576,222) Total primary government $ 26,743,987 $ 28,716,862 $ 26,932,802 $ 23,004,007 Change in net position Governmental activities $ 3,995,728 $ 9,692,326 $ 6,212,330 $ 2,963,354 Business-type activities 1,869,571 1,232,479 5,889,299 2,216,037 Total primary government $ 5,865,299 $ 10,924,805 $ 12,101,629 $ 5,179,391 Note: Fiscal 2012 and prior data has not been restated for the reclassifications made in fiscal 2013. -129- Table 2(continued) 2014 2015 2016 2017 2018 2019 $ 9,292,269 $ 8,480,414 $ 8,738,804 $ 9,185,736 $ 9,456,705 $ 9,890,386 1,289,089 1,387,821 1,356,436 1,180,209 864,579 898,673 746,351 722,270 783,962 732,979 790,989 749,377 8,913,191 8,995,642 9,754,601 9,917,074 10,365,726 10,596,646 1,567,066 1,631,761 1,718,352 1,866,306 1,967,313 2,114,258 104,128 132,305 160,716 187,589 150,703 209,288 465,584 483,680 500,877 507,360 522,977 555,175 1,612,392 2,110,667 3,631,836 1,057,916 1,693,236 2,804,912 23,990,070 23,944,560 26,645,584 24,635,169 25,812,228 27,818,715 $ 33,127,434 $ 37,437,151 $ 41,208,781 $ 36,700,316 $ 40,095,466 $ 43,769,693 $ (25,369,310) $ (19,059,617) $ (23,192,498) $ (24,237,910) $ (22,849,249) $ (21,709,923) 3,357,582 3,652,698 4,958,373 1,216,196 3,613,801 4,564,727 $ (22,011,728) $ (15,406,919) $ (18,234,125) $ (23,021,714) $ (19,235,448) $ (17,145,196) $ 23,067,164 $ 23,038,450 $ 23,894,359 $ 24,758,299 $ 25,784,612 $ 26,275,425 611,662 489,617 199,214 346,675 761,862 862,195 1,272,428 1,259,271 1,309,757 1,288,426 1,306,360 1,291,703 89,859 93,492 90,592 92,958 99,960 96,018 50,612 39,215 40,794 37,902 - 50,619 36,710 40,061 37,719 56,751 124,430 140,114 78,478 7,387 6,888 8,440 10,786 413,118 1,562,329 863,798 801,038 551,119 886,459 2,113,838 507,636 4,681,392 1,281,000 1,915,500 1,317,600 1,379,520 $ 27,276,878 $ 30,512,683 $ 27,661,361 $ 29,056,070 $ 30,292,069 $ 32,622,550 $ 506,693 $ 235,424 $ 204,464 $ 151,206 $ 268,297 $ 560,574 121,000 121,000 121,000 121,000 121,000 121,000 (507,636) (4,681,392) (1,281,000) (1,915,500) (1,317,600) (1,379,520) 120,057 (4,324,968) (955,536) (1,643,294) (928,303) (697,946) $ 27,396,935 $ 26,187,715 $ 26,705,825 $ 27,412,776 $ 29,363,766 $ 31,924,604 $ 1,907,568 $ 11,453,066 $ 4,468,863 $ 4,818,160 $ 7,442,820 $ 10,912,627 3,477,639 (672,270) 4,002,837 (427,098) 2,685,498 3,866,781 $ 5,385,207 $ 10,780,796 $ 8,471,700 $ 4,391,062 $ 10,128,318 $ 14,779,408 -130- CITY OF APPLE VALLEY Fund Balances of Governmental Funds Last Ten Fiscal Years (modified accrual basis of accounting) Fiscal Year 2010 2011 2012 2013 General Fund Reserved $ 53,113 $ — $ — $ — Unreserved 12,594,013 — — — Nonspendable — 118,661 239,462 90,745 Committed — 165,872 210,005 154,100 Assigned — 278,724 279,973 151,502 Unassigned — 12,142,496 12,646,076 13,830,037 Total General Fund $ 12,647,126 $ 12,705,753 $ 13,375,516 $ 14,226,384 All other governmental funds Unreserved reported in Special revenue funds $ 324,251 $ — $ — $ — Debt service funds 15,892,926 — — — Capital projects funds 14,011,232 — — — Nonspendable — — 1,750 — Restricted — 15,537,787 11,435,144 20,966,147 Committed — — — — Assigned — 28,795,063 31,538,043 26,215,087 Unassigned — (13,395,872) (12,381,234) (9,561,124) Total all other governmental funds $ 30,228,409 $ 30,936,978 $ 30,593,703 $ 37,620,110 Total all funds $ 42,875,535 $ 43,642,731 $ 43,969,219 $ 51,846,494 Note: Fund balance descriptions changed due to GASB Statement No. 54 implementation effective January 1,2011. -131- Table 3 2014 2015 2016 2017 2018 2019 $ - $ - $ - $ - $ - $ 337,564 345,004 119,947 325,282 145,644 77,640 146,300 405,990 693,145 595,215 367,510 576,705 54,416 20,000 56,000 64,300 75,000 14,617,170 15,321,110 15,740,362 16,351,616 17,052,177 17,391,762 $ 15,155,450 $ 16,092,104 $ 16,609,454 $ 17,336,413 $ 17,640,331 $ 18,046,107 $ - $ - $ - $ - $ - $ 1,750 600 1,730 — — 21,772,784 27,424,225 27,079,147 13,431,367 13,593,428 14,985,848 140,000 15,000 — — 27,614,620 27,008,733 28,454,255 28,779,829 29,390,606 29,212,412 (11,108,352) (9,539,062) (8,921,232) (8,738,893) (6,108,464) (4,431,204) $ 38,279,052 $ 44,895,646 $ 46,752,770 $ 33,489,033 $ 36,875,570 $ 39,767,056 $ 53,434,502 $ 60,987,750 $ 63,362,224 $ 50,825,446 $ 54,515,901 $ 57,813,163 -132- CITY OF APPLE VALLEY Changes in Fund Balances of Governmental Funds Last Ten Fiscal Years (modified accrual basis of accounting) Fiscal Year 2010 2011 2012 2013 Revenues General property taxes $ 21,709,126 $ 21,408,873 $ 21,773,048 $ 22,252,162 Tax increments 2,311,405 2,240,269 2,012,281 544,283 Other taxes 103,625 152,020 154,126 169,413 Special assessments 2,055,783 2,125,776 4,015,591 4,073,061 Licenses and permits 1,018,847 796,316 1,033,797 1,140,603 Intergovernmental 2,996,658 2,407,596 2,642,018 2,388,922 Charges for services 1,349,123 1,436,256 1,783,390 1,712,660 Franchise taxes 1,160,771 1,177,715 1,197,288 1,262,393 Fines and forfeits 258,165 288,946 278,913 257,345 Investment income 593,336 2,232,966 965,333 (991,703) Rentals 592,831 511,453 559,702 642,422 Contributions and donations 11,484 2,750 1,801 51,425 Administrative fees 778,400 828,999 788,171 785,927 Other 697,054 321,565 338,142 545,994 Refunds and reimbursements 450,972 139,581 127,166 99,024 Total revenues 36,087,580 36,071,081 37,670,767 34,933,931 Expenditures Current General government 7,418,012 4,679,394 4,355,811 4,518,602 Public safety 9,728,340 9,890,086 9,987,493 10,538,043 Public works 3,593,951 3,675,687 3,674,876 4,031,492 Park and recreation 4,768,656 4,855,184 4,847,194 4,978,896 Capital outlay 5,879,024 6,370,109 13,266,487 8,716,540 Debt service Principal 4,160,000 4,665,000 8,280,000 3,625,000 Interest and fiscal charges 1,615,929 1,487,399 1,224,409 1,268,227 Total expenditures 37,163,912 35,622,859 45,636,270 37,676,800 Excess(deficiency)of revenues over expenditures (1,076,332) 448,222 (7,965,503) (2,742,869) Other financing sources(uses) Transfers in 5,734,691 5,874,339 5,634,873 11,182,608 Transfers out (3,680,241) (3,156,709) (4,559,768) (9,843,719) Bonds issued 3,965,000 1,345,000 6,775,000 9,000,000 Payment of refunded debt (2,750,000) (3,920,000) Premium on debt issued 47,191 6,568 330,981 81,545 Discount on debt issued - - - - Sale of capital assets 109,558 169,776 110,905 199,710 Total other financing sources(uses) 3,426,199 318,974 8,291,991 10,620,144 Net change in fund balances $ 2,349,867 $ 767,196 $ 326,488 $ 7,877,275 Debt service as a percentage of noncapital expenditures 18.5% 20.5% 27.5% 16.7% -133- Table 4 2014 2015 2016 2017 2018 2019 $ 23,161,124 $ 22,969,161 $ 23,910,991 $ 24,729,659 $ 25,728,652 $ 26,198,973 611,662 489,617 199,214 346,675 761,862 862,195 193,018 186,512 185,568 182,377 150,340 196,347 5,457,959 3,859,401 4,150,527 1,559,609 1,823,441 1,259,795 1,644,338 2,147,477 2,052,043 3,244,654 2,254,309 1,590,903 3,459,585 2,330,695 2,605,769 2,002,385 2,735,824 8,113,023 1,763,940 2,711,884 2,739,163 2,962,769 3,086,720 2,852,593 1,272,428 1,259,271 1,309,757 1,288,426 1,306,360 1,291,703 236,943 225,804 273,372 315,087 302,494 311,235 1,461,765 817,230 756,341 523,891 823,798 1,962,973 774,364 806,915 832,854 720,100 198,276 231,220 13,176 4,852 7,309 3,760 100 - 770,000 809,000 2,054,475 722,490 2,984,900 408,511 1,497,913 312,708 202,540 300,200 929,646 1,507,452 202,518 90,148 236,416 68,257 47,985 60,499 42,520,733 39,020,675 41,516,339 38,970,339 43,134,707 46,847,422 5,655,482 5,014,867 6,264,368 5,705,708 7,270,172 6,930,005 11,118,268 11,467,187 12,105,588 12,279,935 13,107,793 13,294,523 4,010,339 3,621,872 3,956,049 4,131,796 5,145,724 5,010,451 5,135,573 5,198,446 5,728,049 5,766,554 5,727,112 5,849,687 13,453,625 6,462,646 8,425,307 8,464,983 8,096,679 12,721,433 3,415,000 3,575,000 2,650,000 3,425,000 1,100,000 1,180,000 1,072,847 1,100,649 964,997 940,431 345,208 318,216 43,861,134 36,440,667 40,094,358 40,714,407 40,792,688 45,304,315 (1,340,401) 2,580,008 1,421,981 (1,744,068) 2,342,019 1,543,107 9,800,593 9,678,084 8,046,274 8,743,125 12,827,991 6,046,370 (7,745,923) (8,139,084) (7,226,274) (7,653,625) (11,510,391) (4,698,250) 680,000 4,255,000 - - - - (1,030,000) - (11,925,000) - - 25,505 113,988 - - - - 168,234 95,252 132,493 42,790 30,836 406,035 2,928,409 4,973,240 952,493 (10,792,710) 1,348,436 1,754,155 $ 1,588,008 $ 7,553,248 $ 2,374,474 $ (12,536,778) $ 3,690,455 $ 3,297,262 13.1% 15.3% 11.4% 13.2% 4.4% 4.5% -134- CITY OF APPLE VALLEY Assessed and Estimated Actual Value of Taxable Property Last Ten Fiscal Years Industrial Payable Residential Commercial and Utility Agricultural Year Property Property Property Property Apartments 2010 $ 39,692,580 $ 10,053,775 $ 1,238,900 $ 130,237 $ 2,498,076 2011 36,918,099 9,363,833 1,038,862 130,124 2,319,888 2012 32,937,899 9,210,935 1,004,132 116,719 2,445,781 2013 30,220,442 9,015,644 829,980 92,210 2,704,250 2014 31,239,597 9,045,624 837,008 88,030 2,723,667 2015 34,412,031 9,071,960 859,888 85,694 2,864,337 2016 36,561,330 9,186,796 874,912 78,636 3,038,517 2017 38,063,519 9,379,705 842,612 75,901 3,572,226 2018 40,870,116 9,633,311 947,308 44,601 4,844,046 2019 45,045,801 8,706,320 2,161,700 30,521 5,974,480 Note: The tax capacity(assessed taxable value) of the property is calculated by applying a statutory formula to the estimated market value of the property. Source: Dakota County -135- Table 5 Estimated Taxable Total Actual Assessed Taxable Total Direct Taxable Value as a Personal Assessed Tax Capacity Market Percentage of Other Property Value Rate Value Actual Value $ 4,283 $ 688,202 $ 54,306,053 39.867 $4,787,691,200 1.13 % 3,959 764,694 50,539,459 42.388 4,457,368,700 1.13 2,316 773,692 46,491,474 44.110 4,061,762,557 1.14 2,159 755,422 43,620,107 49.210 3,791,294,766 1.15 2,194 763,784 44,699,904 47.891 3,897,057,902 1.15 2,369 790,695 48,086,974 45.274 4,228,421,500 1.14 2,564 835,973 50,578,728 44.721 4,464,893,416 1.13 2,521 872,987 52,809,471 44.473 4,669,204,881 1.13 2,524 928,330 57,270,236 42.475 5,072,183,189 1.13 2,754 942,941 62,864,517 39.603 5,599,680,777 1.12 -136- CITY OF APPLE VALLEY Property Tax Capacity Rates Direct and Overlapping Governments Last Ten Fiscal Years City Direct Tax Capacity Rate Overlapping Tax Capacity Rates Fiscal School District Year General Debt Service Total City Dakota County (1) Other(2) 2010 39.861 0.006 39.867 27.269 25.391 4.987 2011 42.382 0.006 42.388 29.149 26.959 5.199 2012 44.104 0.006 44.110 31.426 28.440 5.562 2013 49.199 0.011 49.210 33.421 27.956 5.884 2014 47.880 0.011 47.891 31.827 27.606 5.538 2015 45.265 0.009 45.274 29.633 23.271 5.033 2016 44.711 0.010 44.721 28.570 24.317 5.063 2017 44.462 0.011 44.473 28.004 23.336 4.907 2018 42.467 0.008 42.475 26.580 25.759 3.878 2019 39.596 0.007 39.603 25.386 26.202 3.824 City Direct Market Value Tax Rate Overlapping Market Value Tax Rates Total Direct Fiscal School District Total Overlapping Year Debt Service Total City Dakota County (1) Overlapping Tax Rate 2010 0.000337 0.000337 0.000050 0.002227 0.002277 0.002614 2011 0.000375 0.000375 0.000054 0.002260 0.002314 0.002689 2012 0.000417 0.000417 0.000055 0.002213 0.002268 0.002685 2013 0.000212 0.000212 0.002354 0.002354 0.002566 2014 0.000212 0.000212 - 0.002581 0.002581 0.002793 2015 0.000204 0.000204 - 0.002548 0.002548 0.002752 2016 0.000199 0.000199 - 0.002700 0.002700 0.002899 2017 0.000197 0.000197 - 0.002738 0.002738 0.002935 2018 0.000180 0.000180 - 0.002672 0.002672 0.002851 2019 0.000172 0.000172 - 0.002616 0.002616 0.002788 Note 1: Overlapping rates are those of local and county governments that apply to property owners within the City. Note 2: Not all overlapping rates apply to all of the City's property owners. (1) Independent School District No. 196 (2) Includes Metropolitan Council, Mosquito Control Abatement, Metro Transit, Dakota County CDA, Light Rail,and Vermillion River Watershed Source: Dakota County -137- Table 6 Total Direct Total Overlapping Overlapping Tax Rate 57.647 97.514 61.307 103.695 65.428 109.538 67.261 116.471 64.971 112.862 57.937 103.211 57.950 102.671 56.247 100.720 56.217 98.692 55.412 95.015 -138- THIS PAGE INTENTIONALLY LEFT BLANK CITY OF APPLE VALLEY Table 7 Principal Property Taxpayers Current Fiscal Year and Nine Years Prior 2019 2010 Percentage Percentage of Total of Total Net Tax City Tax Net Tax City Tax Capacity Capacity Capacity Capacity Taxpayer Value Rank Value Value Rank Value Individual $ 634,725 1 1.01 % $ 425,000 5 0.78 % Continental 313 Fund LLC 584,874 2 0.93 Principal Life Insurance Co 519,236 3 0.83 615,234 1 1.13 Apple Valley Leased Housing Assoc. 505,809 4 0.80 273,600 10 0.50 Bigos-Gabella LLC 500,245 5 0.80 PHS Apple Valley Senior Housing Inc 397,143 6 0.63 Uponor North America 382,148 7 0.61 CAR Apple Valley Square LLC 376,706 8 0.60 458,344 4 0.84 Dakota Electric Asssociation 360,570 9 0.57 345,632 7 0.64 Centro Bradley Southport Centre 351,714 10 0.56 365,066 6 0.67 Fischer Sand&Aggregate LLP 581,701 2 1.07 Target Corporation 570,192 3 1.05 Fischer Sand&Aggregate Co 329,476 8 0.61 Wings Financial Federal Credit Union 286,672 9 0.53 Total $4,613,170 7.34 % $4,250,917 7.83 % Source:Dakota County -139- CITY OF APPLE VALLEY Property Tax Levies and Collections Last Ten Fiscal Years Taxes Levied for the Fiscal Year MVHC/ Collected Within the Ag Credit Fiscal Year of Levy and Fiscal Percentage Fiscal Gross Operating Disparities Total Net of Year Tax Levy Received Tax Levy Amount Levy 2010 $ 22,839,554 $ (3,815,622) $ 19,000,860 $ 18,723,194 98.54 % 2011 22,700,000 (3,612,353) 19,087,647 18,846,881 98.74 2012 22,025,249 (2,821,637) 19,203,612 18,996,562 98.92 2013 22,410,946 (2,751,166) 19,659,780 19,411,582 98.74 2014 22,727,000 (2,994,265) 19,732,735 19,607,759 99.37 2015 23,134,000 (2,881,124) 20,252,876 20,069,635 99.10 2016 24,058,000 (2,784,776) 21,273,224 21,138,944 99.37 2017 24,840,000 (2,915,340) 21,924,660 21,783,179 99.35 2018 25,793,000 (3,141,511) 22,651,489 22,536,290 99.49 2019 26,350,000 (3,244,841) 23,105,159 22,959,711 99.37 -140 Table 8 Delinquencies Total Collections to Date Collected Percentage as of Most of Recent Report Amount Levy $ 105,140 $ 18,828,334 99.09 % 166,351 19,013,232 99.61 207,658 19,204,220 100.00 203,171 19,614,753 99.77 96,631 19,704,390 99.86 143,789 20,213,424 99.81 94,915 21,233,859 99.81 120,945 21,904,124 99.91 115,199 22,651,489 99.91 — 22,959,711 99.37 -141 CITY OF APPLE VALLEY Ratios of Outstanding Debt by Type Last Ten Fiscal Years Governmental Activities Business-Type Activities General General Obligation Tax General Special MSA Obligation Fiscal Increment Obligation Assessments Road Revenue Revenue Capital Year Bonds Bonds Bonds Bonds Bonds Notes Lease 2010 $ 865,000 $20,535,000 $14,750,000 $ 2,775,000 $ 4,014,416 $ — $ 109,211 2011 — 19,925,000 9,000,000 2,760,000 6,020,717 — 77,975 2012 — 20,128,873 8,062,109 2,320,000 5,531,461 — 44,884 2013 — 27,922,953 6,247,398 1,760,000 5,044,929 — 190,645 2014 — 27,023,868 4,972,687 1,185,000 13,209,567 — 138,799 2015 — 29,669,149 2,637,976 590,000 13,420,425 — 97,919 2016 — 27,900,442 2,298,265 — 12,653,255 — 56,285 2017 — 14,191,734 608,554 — 10,277,288 — 175,526 2018 — 13,158,026 493,843 — 8,581,651 379,941 335,739 2019 — 12,049,318 374,132 — 8,001,014 4,000,000 345,115 Note: Details regarding the City's outstanding debt can be found in the notes to basic financial statements. All figures are presented net of related premiums,discounts,and adjustments if applicable. (1) See the Demographic and Economic Statistics schedule for personal income and population data. (2) City personal income not available for 2019. -142- Table 9 Total Percentage Primary of Personal Per Government Income(1) Capita(1) $43,048,627 2.47 % $ 877 37,783,692 2.10 759 36,087,327 2.00 723 41,165,925 2.22 818 46,529,921 2.40 924 46,415,469 2.44 925 42,908,247 2.16 836 25,253,102 1.20 482 22,949,200 1.03 430 24,769,579 N/A (2) 455 -143- CITY OF APPLE VALLEY Ratios of General Bonded Debt Outstanding Last Ten Fiscal Years Less Amounts General General Special MSA Available Fiscal Obligation Tax Obligation Assessments Road in Debt Year Increment Bonds Bonds Bonds Bonds Service Funds(3) 2010 $ 865,000 $ 21,547,391 $ 14,750,000 $ 2,775,000 $ 14,386,682 2011 — 23,075,476 9,000,000 2,760,000 9,455,268 2012 — 22,885,334 8,062,109 2,320,000 8,176,337 2013 — 30,337,882 6,247,398 1,760,000 15,297,560 2014 — 37,753,435 4,972,687 1,185,000 13,581,184 2015 — 41,504,574 2,637,976 590,000 17,807,062 2016 — 40,553,697 2,298,265 — 17,649,041 2017 — 24,469,022 608,554 — 4,152,062 2018 — 21,739,677 493,843 — 2,318,259 2019 — 20,050,332 374,132 — 2,415,660 Note: Details regarding the City's outstanding debt can be found in the notes to the financial statements. All debt is presented net of related premiums,discounts,and adjustments if applicable. (1) See the Demographic and Economic Statistics schedule for personal income and population data. (2) City personal income not available for 2019. (3) Amounts shown here are the total restricted fund balances for all debt service funds and include restricted amounts held in escrow for advance refunding bond issues. -144- Table 10 Percentage of Taxable Market Percentage of Value of Personal Per Total Property Income Capita(1) $ 25,550,709 0.53 % 1.47 % $ 521 25,380,208 0.57 1.41 510 25,091,106 0.62 1.39 503 23,047,720 0.61 1.24 458 30,329,938 0.78 1.57 603 26,925,488 0.64 1.41 537 25,202,921 0.56 1.27 49 l 20,925,514 0.45 0.99 400 19,915,261 0.39 0.89 373 18,008,804 0.32 N/A (2) 331 -145- THIS PAGE INTENTIONALLY LEFT BLANK CITY OF APPLE VALLEY Table 11 Direct and Overlapping Governmental Activities Debt December 31,2019 City of Percentage Apple Valley's of Debt Share of Net Debt Applicable Overlapping Outstanding(1) to City Debt Overlapping Dakota County(2) $ — 11.34 % $ — School districts ISD No. 191,Burnsville—Eagan—Savage 138,355,000 0.57 788,624 ISD No. 196,Rosemount—Apple Valley—Eagan 134,115,000 27.12 36,371,988 Metropolitan Council(3) 2,950,000 1.30 38,350 Metro Transit(4) 182,390,000 1.62 2,954,718 Total overlapping 457,810,000 40,153,680 City of Apple Valley direct debt 12,423,450 100.00 12,423,450 Total direct and overlapping debt $ 470,233,450 $ 52,577,130 Note: Overlapping governments are those that coincide, at least in part,with the geographic boundaries of the City. This schedule estimates the portion of the outstanding debt of those overlapping governments that is borne by the residents and businesses of the City. This process recognizes that,when considering the City's ability to issue and repay long-term debt, the entire debt burden borne by the residents and businesses should be taken into account. However,this does not imply that every taxpayer is a resident and, therefore,responsible for repaying the debt, of each term debt,the entire debt burden borne by the residents and businesses should be taken into account. (1) As of December 31,2019,unless noted otherwise. (2) Dakota County has bond indebtedness of$78,250,000 as of December 31, 2019, of which $78,250,000 has been excluded as it is payable from housing revenues. (3) Metropolitan Council has$2,950,000 of general obligation debt outstanding as of December 31,2019.This debt is payable from ad valorem taxes levied on all taxable property within the Metropolitan Taxing District. This amount excludes $1,359,776,990 of general obligation debt payable from wastewater and sewer revenues, and lease agreements. (4) Metro Transit has bond indebtedness of$182,390,000 as of December 31, 2019. Transit debt is issued by the Metropolitan Council for all public transit operations in the transit district and is payable from ad valorem taxes levied on all taxable property within the Metropolitan Transit District. Source: Dakota County. Percentage of debt applicable is calculated by dividing a portion of tax capacity of the authority that lies in the City divided by the total tax capacity that lies in Dakota County. -146- CITY OF APPLE VALLEY Legal Debt Margin Information Last Ten Fiscal Years Fiscal Year 2010 2011 2012 2013 Debt limit $143,630,736 $133,721,061 $121,852,877 $123,111,918 Total net debt applicable the limit 20,535,000 19,830,000 19,845,000 27,590,000 Legal debt margin $123,095,736 $113,891,061 $102,007,877 $ 95,521,918 Total net debt applicable to the limit as a percentage of the debt limit 14.30% 14.83% 16.29% 22.41% -147- Table 12 2014 2015 2016 2017 2018 2019 $116,911,737 $126,852,645 $133,946,802 $140,076,146 $152,165,496 $ 167,990,423 26,700,000 29,275,000 27,550,000 13,885,000 12,895,000 11,830,000 $ 90,211,737 $ 97,577,645 $106,396,802 $126,191,146 $139,270,496 $ 156,160,423 22.84% 23.08% 20.57% 9.91% 8.47% 7.04% Legal Debt Margin Calculation for Fiscal Year 2019 Market value $5,599,680,777 Debt limit(3%of assessed value) 167,990,423 Debt applicable to the limit 11,830,000 Legal debt margin $ 156,160,423 -148- CITY OF APPLE VALLEY Pledged Revenue Coverage Last Ten Fiscal Years Liquor Store-Revenue Bonds G.O.Storm Water-Revenue Bonds Operating Less Net Operating Less Net Fiscal Revenues/ Operating Available Debt Service Revenues/ Operating Available Year Gross Profit Expense Revenue Principal(1) Interest Coverage Gross Profit Expense Revenue 2010 $2,486,461 $1,607,986 $ 878,475 $ 130,000 $ 129,220 3.389 $1,360,483 $ 806,506 $ 553,977 2011 2,557,573 1,601,269 956,304 135,000 125,450 3.672 1,370,348 872,369 497,979 2012 2,528,423 1,557,994 970,429 140,000 121,333 3.713 1,517,090 936,991 580,099 2013 2,685,372 1,595,221 1,090,151 145,000 116,436 4.170 1,505,136 989,295 515,841 2014 2,692,077 1,612,171 1,079,906 150,000 111,850 4.124 1,562,067 1,196,115 365,952 2015 2,443,210 1,626,498 816,712 200,000 71,256 3.011 1,629,361 1,376,670 252,691 2016 2,567,113 1,682,574 884,539 230,000 29,127 3.414 1,717,350 1,399,093 318,257 2017 2,709,997 1,750,717 959,280 235,000 27,288 3.657 1,769,842 2,116,752 (346,910) 2018 2,877,251 1,766,068 1,111,183 1,120,000 22,837 0.972 1,901,319 1,998,341 (97,022) 2019 2,951,063 1,691,424 1,259,639 2,113,725 2,180,725 (67,000) (1) Includes principal retired prior to maturity. (2) Excludes principal refunded from the proceeds of refunding bond issues. Note: Details regarding the City's outstanding debt can be found in the notes to basic financial statements. -149- Table 13 G.O.Water-Revenue Bonds Operating Less Net Debt Service Revenues/ Operating Available Debt Service Principal(2) Interest Coverage Gross Profit Expense Revenue Principal Interest Coverage $ 315,000 $ 31,035 1.601 $8,423,373 $7,285,380 $1,137,993 $ 105,000 $ 12,495 9.69 220,000 63,313 1.758 8,358,787 7,361,390 997,397 120,000 8,820 7.74 225,000 68,558 1.976 9,256,709 7,214,372 2,042,337 230,000 64,553 1.751 8,949,608 7,776,510 1,173,098 240,000 59,908 1.220 8,911,018 7,997,799 913,219 320,000 129,223 2.03 150,000 73,036 1.133 8,988,411 7,950,081 1,038,330 365,000 215,125 1.79 155,000 84,979 1.326 9,450,362 9,130,962 319,400 370,000 207,825 0.55 160,000 81,870 (1.434) 9,910,773 9,785,093 125,680 380,000 200,425 0.22 180,000 32,388 (0.457) 10,352,835 9,040,542 1,312,293 385,000 192,824 2.27 175,000 28,787 (0.329) 10,577,669 9,501,118 1,076,551 395,000 249,571 1.67 -150- CITY OF APPLE VALLEY Table 14 Demographic and Economic Statistics Last Ten Fiscal Years Per Capita Fiscal Personal Personal School Unemployment Year Population(1) Income Income(2) Enrollment(3) Rate(4) 2010 49,084 $1,740,027,800 $ 35,450 11,291 6.50% 2011 49,801 1,801,750,379 36,179 11,264 4.80% 2012 49,895 1,801,658,555 36,109 11,219 4.20% 2013 50,326 1,855,167,338 36,863 11,189 3.60% 2014 50,330 1,934,886,520 38,444 11,312 2.80% 2015 50,161 1,903,961,077 37,957 11,272 2.60% 2016 51,338 1,985,959,192 38,684 11,883 3.00% 2017 52,361 2,104,650,395 40,195 12,070 2.50% 2018 53,429 2,226,546,717 41,673 11,996 2.40% 2019 54,400 N/A N/A 11,967 2.60% N/A—Not Available Sources: (1) U.S.Census Bureau,Population Division (2) City of Apple Valley,American Community Survey,U.S.Census Bureau(2019 data for the City not yet available). (3) Schools located in the City's boundaries:Independent School District No. 196,including Dakota Ridge School. School enrollment defined as adjusted ADMs(average daily membership). ADM is weighted as follows in computing adjusted ADMs: Handicapped Half-Day Full-Day Elementary Elementary Pre-Kindergarten Kindergarten Kindergarten Kindergarten 1-3 4-6 Secondary Fiscal 2010 through 2014 1.250 1.000 0.612 0.612 1.115 1.060 1.300 Fiscal 2015 through 2019 1.000 1.000 0.550 1.000 1.000 1.000 1.200 (4) Minnesota Department of Employment and Economic Development -151- CITY OF APPLE VALLEY Table 15 Principal Employers Current Fiscal Year and Nine Years Ago 2019 2010 Percentage Percentage of Total of Total Taxpayer Employees Rank Employment Employees Rank Employment ISD No. 196 1,612 1 10.30 % 1,913 1 13.79 % Uponor 635 2 4.06 450 3 3.24 Target 410 3 2.62 500 2 3.60 Dakota County 396 4 2.53 204 9 1.47 Augustana Health Care Center 376 5 2.40 Wings Financial Federal Credit Union 371 6 2.37 Walmart 350 7 2.24 340 4 2.45 Questar Assessment 340 8 2.17 Cub Foods 320 9 2.05 300 5 2.16 Minnesota Zoo 264 10 1.69 260 7 1.87 Fischer Sand and Aggregate Co. 295 6 2.13 Apple Valley Health Care Center 250 8 1.80 Apple Valley Red-E-Mix,Inc. 200 10 1.44 Total 5,074 32.43 % 4,712 33.97 % Source: City of Apple Valley Community Development Department -152 CITY OF APPLE VALLEY Full-Time Equivalent(FTE)City Government Employees by Function Last Ten Fiscal Years Fiscal Year 2010 2011 2012 2013 General government Administration 3.00 2.81 3.00 3.00 Finance and data processing 5.00 5.00 4.71 4.00 Information and technology 3.17 3.21 3.33 3.24 Human resources 6.00 5.38 3.97 4.00 City clerk/elections 1.65 1.73 2.05 1.81 General government buildings 3.00 2.46 2.00 2.00 Community development 5.01 5.02 5.16 5.00 Code enforcement 2.00 1.71 1.82 2.00 Total general government 28.83 27.32 26.04 25.05 Public safety Police 62.00 60.09 58.72 61.16 Fire 16.44 18.45 18.40 18.63 Building inspections 4.93 4.02 5.07 5.22 Total public safety 83.37 82.56 82.19 85.01 Public works Public works administration 7.13 8.48 6.25 5.99 Central maintenance facility 5.52 5.48 5.25 5.34 Streets 17.19 17.32 16.63 16.66 Engineering(1) - 0.73 4.28 4.24 Total public works 29.84 32.01 32.41 32.23 Culture and recreation Park and recreation administration 7.81 7.82 7.28 7.87 Recreation programs 7.84 7.41 6.16 6.76 Park maintenance 25.27 25.06 25.02 23.09 Redwood Pool 2.13 1.94 2.32 2.47 Aquatic swim center 12.85 11.28 13.25 12.80 Community center 3.76 4.03 5.07 5.67 Apple Valley Senior Center 2.04 1.89 1.92 2.27 Cable TV 2.61 2.43 2.27 2.44 Total culture and recreation 64.31 61.86 63.29 63.37 Total general government 206.35 203.75 203.93 205.66 Enterprise funds Municipal liquor 19.49 18.99 18.98 18.86 Municipal golf(2) 13.76 14.44 15.96 20.41 Sports arena 6.05 6.72 6.47 6.88 Stormwater drainage utility(3) - - - - Water and sewer 18.58 18.45 18.84 18.14 Total enterprise funds 57.88 58.60 60.25 64.29 Total 264.23 262.35 264.18 269.95 (1) The City engineering function began in 2011 (2) New expanded golf clubhouse opened September 2012 (3) The stormwater drainage FTEs were included in Public Works Administration prior to 2014 Source: City of Apple Valley Human Resources Office - FTEs based on hours worked during the fiscal year. Part-time employees converted to FTE based on 2,080 hours per year. -153- Table 16 2014 2015 2016 2017 2018 2019 3.00 3.00 3.00 3.00 3.00 3.00 4.00 4.00 4.00 4.58 5.00 5.00 3.53 3.64 3.78 3.11 4.06 4.50 4.63 5.00 5.00 5.00 5.02 4.62 4.84 2.00 5.39 1.92 5.32 1.99 2.00 2.00 2.00 1.92 2.00 2.00 5.00 4.77 4.35 5.00 5.00 4.96 2.00 2.44 2.40 2.36 2.39 2.27 29.00 26.85 29.92 26.89 31.79 28.34 60.22 62.27 62.58 62.74 64.18 62.46 16.21 15.46 15.54 16.02 17.89 18.37 5.75 6.93 6.76 7.72 7.90 7.20 82.18 84.66 84.88 86.48 89.97 88.03 5.30 3.83 3.80 4.20 4.31 4.07 5.44 5.51 5.29 5.30 5.25 5.64 16.66 16.92 16.95 17.07 16.75 16.53 4.49 4.03 4.48 4.91 5.32 6.04 31.89 30.29 30.52 31.48 31.63 32.28 7.82 7.83 7.45 7.85 7.89 7.86 5.06 6.88 6.23 5.91 5.66 4.12 23.24 22.97 24.18 23.79 24.70 23.85 2.55 2.35 2.63 2.26 2.21 1.95 11.95 12.25 12.65 12.14 12.55 13.32 5.95 4.64 4.72 4.55 4.12 3.82 3.13 3.03 3.36 3.43 3.70 3.61 2.46 2.61 2.74 2.84 3.01 3.38 62.16 62.56 63.96 62.77 63.84 61.91 205.23 204.36 209.28 207.62 217.23 210.56 18.51 17.51 17.47 17.57 17.43 17.44 20.10 19.68 18.89 19.15 13.18 13.22 7.09 6.57 6.85 6.47 5.71 5.57 0.28 1.96 2.00 2.00 0.08 - 18.26 18.07 17.61 17.35 18.86 20.29 64.24 63.79 62.82 62.54 55.26 56.52 269.47 268.15 272.10 270.16 272.49 267.08 -154- CITY OF APPLE VALLEY Operating Indicators by Function Last Ten Years Fiscal Year Function/Program 2010 2011 2012 2013 General government Elections 2 N/A 2 N/A Registered voters 32,094 N/A 35,354 N/A Number of voters casting votes 21,271 N/A 29,715 N/A Number of absentee ballots received 1,316 N/A 2,993 N/A Percentage of absentee ballots to total votes 6.2% N/A 10.1% N/A Voter participation(registered)(elections are held every other year) 66.28% N/A 84.05% N/A Public safety Police Crimes-Part I 1,565 1,230 1,187 1,124 Crimes-Part II 2,364 2,072 1,970 1,756 Total arrests 1,985 1,963 1,962 1,307 DWI arrests 205 213 145 160 Traffic citations issued 6,329 7,587 6,670 5,726 Total calls for service 38,335 40,272 39,223 35,215 Fire Calls for service 1,340 1,408 1,417 1,454 Medical 712 792 639 636 Fire 628 616 778 818 Fire call responses times under 5 minutes 37% 40% 42% 44% Fire call responses times 5-10 minutes 52% 51% 49% 46% Fire call responses times over 10 minutes 11% 9% 9% 10% Public works Building permits issued 1,241 1,630 1,398 1,005 Permits issued for new dwelling units 228 31 47 63 Commercial building permits issued 102 71 96 113 Plumbing permits issued 920 886 1,027 1,090 Heating permits issued 771 540 692 786 Building permits issued 2,995 4,248 4,248 4,248 Building inspections 3,621 5,187 6,890 6,848 Streets maintained(lane miles) 407 408 410 410 Cul-de-sacs maintained 329 329 330 331 Snow/ice events 35 29 25 53 Signs replaced 500 460 700 411 Boulevard trees trimmed 1,800 5,200 2,137 1,990 Fleet division vehicle work orders 1,735 1,751 1,850 1,890 Diseased elm and oak trees mitigated 588 486 260 430 Lakes and ponds monitored with water quality samples 18 18 18 18 Sump catch basins cleaned 1,505 1,303 1,400 885 Sewage pumped(billion gallons) 1.2 1.2 1.2 1.3 Miles of sanitary sewer cleaned 64.2 72.1 75.0 77.0 Sanitary lift station inspections 1,716 1,716 1,716 1,716 Water produced(billion gallons) 2.1 2.3 2.4 2.4 Water samples taken 1,128 1,098 1,098 1,098 Fire hydrants maintained 2,405 2,410 2,410 2,444 Pressure stations inspected 13 13 13 13 Air relief manholes inspected 15 15 15 15 Hydrant flushing 5,250 1,020 - - Hydrant flushing(minutes) - - 24,455 24,189 Water breaks repaired 12 16 10 16 Burial sites sold 44 56 70 59 Burials 36 38 43 45 N/A-Not Available Source: Various city departments -155- Table 17 2014 2015 2016 2017 2018 2019 2 N/A 2 N/A 2 N/A 32,370 N/A 35,836 N/A 35,544 N/A 19,351 N/A 29,853 N/A 27,170 N/A 2,100 N/A 8,692 N/A 7,759 N/A 10.9% N/A 29.1% N/A 28.6% N/A 59.78% N/A 83.30% N/A 76.44% N/A 1,098 1,207 1,232 1,237 1,039 1,130 1,627 1,833 1,936 1,993 1,939 1,594 1,096 969 1,234 1,206 1,198 1,152 152 120 87 176 224 216 4,735 4,246 5,441 4,471 4,831 4,482 34,497 35,510 39,548 40,079 40,864 41,752 1,412 1,397 1,622 1,787 2,074 2,148 623 668 812 1,097 1,363 1,388 789 729 810 690 711 760 43% 43% 38% 43% 44% 43% 46% 48% 51% 48% 49% 47% 11% 9% 11% 9% 7% 10% 1,893 1,785 1,883 1,902 1,750 2,207 71 115 140 167 65 27 115 197 98 184 99 102 1,173 1,334 1,560 1,620 1,572 1,453 851 951 1,076 1,170 1,043 966 5,430 5,755 1,883 1,902 1,750 2,207 8,636 10,543 10,702 11,794 12,406 7,825 416 416 418 418 418 423 322 324 325 325 325 325 45 29 29 32 34 30 657 451 354 402 425 412 1,175 1,250 939 1,565 1,063 1,566 2,148 1,486 2,138 1,507 1,122 2,640 340 322 326 444 289 368 17 18 18 18 18 9 1,455 983 1,106 1,282 873 1,181 1.1 1.2 1.1 1.1 1.1 1.1 79.0 54.0 62.0 47.0 38.0 47.2 1,716 1,716 1,716 1,716 1,716 1,716 2.1 2.0 2.0 2.0 2.0 1.9 1,098 1,098 1,098 1,098 1,098 1,098 2,454 2,466 2,484 2,489 2,494 2,556 13 13 13 13 13 15 15 16 16 16 16 12 23,987 24,916 26,687 24,688 25,005 18,431 11 16 8 10 8 10 57 69 75 108 62 85 34 50 46 58 58 67 -156- CITY OF APPLE VALLEY Capital Assets Statistics by Function/Program Last Ten Years Fiscal Year Function/Program 2010 2011 2012 2013 Public safety Police Stations 1 1 1 1 Marked squad units 20 23 23 23 Fire Stations 3 3 3 3 Fire engine trucks 5 5 5 5 Fire ladder trucks 2 2 2 2 Fire brush/rescue trucks 1 1 1 1 Public works City-owned lights 246 246 261 261 Dakota Electric Association-owned 2,207 2,270 2,494 2,718 Xcel owned lights 301 301 301 301 Streets(centerline miles) 171 172 172 175 Cul-de-sacs 329 329 329 329 Roundabouts 3 3 3 3 Trees(number of boulevard trees) 9,500 9,500 9,500 9,330 Parks Parks 50 50 50 50 Total park acreage 879 879 879 879 Trails—street side trails(miles) 65 65 65 65 Athletic complexes 5 5 5 5 Golf course I 1 1 1 Community centers 2 2 2 2 Senior center I 1 1 1 Pools/aquatic centers 2 2 2 2 Ice arenas 2 2 2 2 Water Number of connections 15,518 15,566 15,596 15,674 Miles of water mains and laterals 241 241 241 245 Wells 19 19 19 19 Water valves 3,712 3,726 3,751 3,774 Fire hydrants 2,405 2,410 2,410 2,438 Water reservoirs 5 5 5 5 Reservoir capacity(millions of gallons) 12.5 12.5 12.5 12.5 Sanitary sewer Number of connections 15,087 15,130 15,160 15,229 Miles of sanitary sewer mains and laterals 193 194 194 200 Sanitary lift stations 9 9 9 9 Sanitary manholes 5,372 5,384 5,384 5,466 Storm sewer Lift stations 12 12 12 12 Mile of storm sewers 162 163 164 165 N/A—Not Available Source: Various city departments -157- Table 18 2014 2015 2016 2017 2018 2019 1 1 1 1 1 1 24 24 24 25 25 22 3 3 3 3 3 3 5 5 5 5 5 4 2 2 2 2 2 2 1 1 1 1 1 1 271 271 302 308 310 315 2,942 3,167 3,303 3,112 3,115 3,224 301 301 343 343 343 343 177 177 179 180 180 183 329 324 325 325 325 325 3 4 4 4 4 4 9,250 9,175 9,100 8,800 8,400 8,329 50 50 50 50 51 51 879 879 879 879 888 888 65 65 75 78 78 79 5 5 5 5 5 5 1 1 1 1 1 1 2 2 2 2 2 2 1 1 1 1 1 1 2 2 2 2 2 2 2 2 2 2 2 2 15,752 15,874 16,024 16,226 16,342 16,409 247 248 250 266 287 287 19 19 20 20 20 20 3,812 3,836 3,872 3,886 3,917 5,103 2,454 2,466 2,484 2,489 2,494 2,556 5 5 5 5 5 5 13 13 13 13 13 13 15,307 15,422 15,563 15,764 15,877 15,935 204 204 204 212 223 223 9 9 9 9 9 9 5,514 5,538 5,587 5,596 5,603 5,700 12 12 12 12 12 12 167 170 173 196 196 216 -158- THIS PAGE INTENTIONALLY LEFT BLANK Management Report for City of Apple Valley,Minnesota December 31,2019 THIS PAGE INTENTIONALLY LEFT BLANK PRINCIPALS Thomas A.Karnowski,CPA Paul A.Radosevich,CPA William J.Lauer,CPA M KR P ■ James H.Eichten,CPA CERTIFIED PUBLIC Aaron J.Nielsen,CPA ACCOUNTANTS Victoria L.Holinka,CPA/CMA Jaclyn M.Huegel,CPA Kalen T.Karnowski,CPA To the City Council and Management City of Apple Valley,Minnesota We have prepared this management report in conjunction with our audit of the City of Apple Valley, Minnesota's (the City) financial statements for the year ended December 31, 2019. We have organized this report into the following sections: • Audit Summary • Governmental Funds Overview • Enterprise Funds Overview • Government-Wide Financial Statements • Legislative Updates • Accounting and Auditing Updates We would be pleased to further discuss any of the information contained in this report or any other concerns that you would like us to address. We would also like to express our thanks for the courtesy and assistance extended to us during the course of our audit. The purpose of this report is solely to provide those charged with governance of the City, management, and those who have responsibility for oversight of the financial reporting process comments resulting from our audit process and information relevant to city finances in Minnesota. Accordingly, this report is not suitable for any other purpose. Minneapolis,Minnesota May 27,2020 Malloy, Montague, Karnowski, Radosevich & Co., P.A. 5353 Wayzata Boulevard • Suite 410 • Minneapolis, MN 55416 • Phone: 952-545-0424 • Fax: 952-545-0569 • www.mmkr.com THIS PAGE INTENTIONALLY LEFT BLANK AUDIT SUMMARY The following is a summary of our audit work, key conclusions, and other information that we consider important or that is required to be communicated to the City Council, administration, or those charged with governance of the City. OUR RESPONSIBILITY UNDER AUDITING STANDARDS GENERALLY ACCEPTED IN THE UNITED STATES OF AMERICA AND GoVERNMENT AUDITING STANDARDS We have audited the financial statements of the governmental activities, the business-type activities, each major fund, and the aggregate remaining fund information of the City as of and for the year ended December 31, 2019. Professional standards require that we provide you with information about our responsibilities under auditing standards generally accepted in the United States of America and Government Auditing Standards, as well as certain information related to the planned scope and timing of our audit. We have communicated such information to you verbally and in our audit engagement letter. Professional standards also require that we communicate the following information related to our audit. PLANNED SCOPE AND TIMING OF THE AUDIT We performed the audit according to the planned scope and timing previously discussed and coordinated in order to obtain sufficient audit evidence and complete an effective audit. AUDIT OPINION AND FINDINGS Based on our audit of the City's financial statements for the year ended December 31, 2019: • We have issued an unmodified opinion on the City's basic financial statements. • We reported no deficiencies in the City's internal control over financial reporting that we considered to be material weaknesses. • The results of our testing disclosed no instances of noncompliance required to be reported under Government Auditing Standards. • We reported no findings based on our testing of the City's compliance with Minnesota laws and regulations. -1- OTHER OBSERVATIONS AND RECOMMENDATIONS Impact of Novel Coronavirus(COVID-19) Shortly after the end of the 2019 fiscal year, the onset of the novel coronavirus (COVID-19) pandemic caused substantial volatility in economic conditions and tremendous disruption in the way governments, businesses, and individuals function. Minnesota cities may experience the impact of this pandemic in a myriad of financial areas, such as: declines in investment rates of return, cash flow issues, increased utility billing and property tax delinquencies, significant increases in the number and frequency of employees working remotely, challenges in processing general and payroll disbursements, disruption of prescribed internal control procedures, delays in internal and external financial reporting, and new compliance requirements attached to potential federal relief subsidies. As your city adapts to the new normal of municipal operations in a post-COVID-19 world,the assessment of and responses to new risks that may accompany operational changes will be critical to the safeguarding of city resources and sound financial stewardship. We encourage management and governance to include a robust financial risk assessment process when planning responses to these challenges, and to reassess and adapt internal controls over financial transactions and reporting to align with significant changes made to daily operations, even those intended to be temporary. SIGNIFICANT ACCOUNTING POLICIES Management is responsible for the selection and use of appropriate accounting policies. The significant accounting policies used by the City are described in Note 1 of the notes to basic financial statements. No new accounting policies were adopted and the application of existing policies was not changed during the year ended December 31, 2019; however, the City implemented the following governmental accounting standards during the fiscal year: • Governmental Accounting Standards Board(GASB) Statement No. 83, Certain Asset Retirement Obligations, which addressed accounting and financial reporting for certain asset retirement obligations, which are legally enforceable liabilities associated with the retirement of a tangible capital asset. • GASB Statement No. 84, Fiduciary Activities, which established new criteria for identifying and reporting fiduciary activities. • GASB Statement No. 88, Certain Disclosures Related to Debt, Including Direct Borrowings and Direct Placements, which improved and clarified the information to be disclosed in notes to government financial statements related to debt, including direct borrowings and direct placements. • GASB Statement No. 90, Majority Equity Interest—an amendment of GASB Statements No. 14 and No. 61, which improved the consistency and comparability of reporting a government's majority equity interest in a legally separate organization and the relevance of financial statement information for certain component units. We noted no transactions entered into by the City during the year for which there is a lack of authoritative guidance or consensus. All significant transactions have been recognized in the financial statements in the proper period. -2- ACCOUNTING ESTIMATES AND MANAGEMENT JUDGMENTS Accounting estimates are an integral part of the financial statements prepared by management and are based on management's knowledge and experience about past and current events and assumptions about future events. Certain accounting estimates are particularly sensitive because of their significance to the financial statements and because of the possibility that future events affecting them may differ significantly from those expected. The most sensitive estimates affecting the financial statements were: • Depreciation — Management's estimates of depreciation expense are based on the estimated useful lives of the assets. • Other Post-Employment Benefits (OPEB) and Pension Liabilities — The City has recorded liabilities and activity for OPEB and pension benefits. These obligations are calculated using actuarial methodologies described in GASB Statement Nos. 68 and 75. These actuarial calculations include significant assumptions, including projected changes, healthcare insurance costs, investment returns,retirement ages,proportionate share, and employee turnover. • Compensated Absences—Management's estimates are based on current rates of pay and unused compensated absence balances. • Self-Insurance Reserves — Management's estimates of self-insurance reserves are based on the estimated liability for incurred but not reported claims. • Land Held for Resale —Management's estimates of these assets are based on the lower of cost or acquisition value. We evaluated the key factors and assumptions used by management to develop these accounting estimates in determining that they are reasonable in relation to the basic financial statements taken as a whole. Certain financial statement disclosures are particularly sensitive because of their significance to financial statement users. The disclosures included in the notes to the basic financial statements related to OPEB and pension benefits are particularly sensitive, due to the materiality of the liabilities, and the large and complex estimates involved in determining the disclosures. The financial statement disclosures are neutral,consistent, and clear. CORRECTED AND UNCORRECTED MISSTATEMENTS Professional standards require us to accumulate all known and likely misstatements identified during the audit, other than those that are clearly trivial, and communicate them to the appropriate level of management. There were no misstatements detected as a result of audit procedures that were material, either individually or in the aggregate,to each opinion unit's financial statements taken as a whole. DIFFICULTIES ENCOUNTERED IN PERFORMING THE AUDIT We encountered no significant difficulties in dealing with management in performing and completing our audit. -3- DISAGREEMENTS WITH MANAGEMENT For purposes of this report, a disagreement with management is a financial accounting, reporting, or auditing matter, whether or not resolved to our satisfaction, that could be significant to the financial statements or the auditor's report. We are pleased to report that no such disagreements arose during the course of our audit. MANAGEMENT REPRESENTATIONS We have requested certain representations from management that are included in the management representation letter dated May 27,2020. MANAGEMENT CONSULTATIONS WITH OTHER INDEPENDENT ACCOUNTANTS In some cases, management may decide to consult with other accountants about auditing and accounting matters, similar to obtaining a "second opinion" on certain situations. If a consultation involves application of an accounting principle to the City's financial statements or a determination of the type of auditor's opinion that may be expressed on those statements, our professional standards require the consulting accountant to check with us to determine that the consultant has all the relevant facts. To our knowledge,there were no such consultations with other accountants. OTHER AUDIT FINDINGS OR ISSUES We generally discuss a variety of matters, including the application of accounting principles and auditing standards, with management each year prior to retention as the City's auditors. However, these discussions occurred in the normal course of our professional relationship and our responses were not a condition to our retention. OTHER MATTERS We applied certain limited procedures to the management's discussion and analysis (MD&A) and the pension and OPEB-related required supplementary information(RSI)that supplements the basic financial statements. Our procedures consisted of inquiries of management regarding the methods of preparing the information and comparing the information for consistency with management's responses to our inquiries, the basic financial statements, and other knowledge we obtained during our audit of the basic financial statements. We did not audit the RSI and do not express an opinion or provide any assurance on the RSI. We were engaged to report on the supplementary information accompanying the financial statements, which is not RSI. With respect to this supplementary information, we made certain inquiries of management and evaluated the form, content, and methods of preparing the information to determine that the information complies with accounting principles generally accepted in the United States of America, the method of preparing it has not changed from the prior period, and the information is appropriate and complete in relation to our audit of the financial statements. We compared and reconciled the supplementary information to the underlying accounting records used to prepare the financial statements or to the financial statements themselves. We were not engaged to report on the introductory and statistical sections,which accompany the financial statements,but are not RSI. Such information has not been subjected to the auditing procedures applied in the audit of the basic financial statements and, accordingly, we do not express an opinion or provide any assurance on it. -4- GOVERNMENTAL FUNDS OVERVIEW This section of the report provides you with an overview of the financial trends and activities of the City's governmental funds, which includes the General, special revenue, debt service, and capital project funds. These funds are used to account for the basic services the City provides to all of its citizens, which are financed primarily with property taxes. The governmental fund information in the City's financial statements focuses on budgetary compliance and the sufficiency of each governmental fund's current assets to finance its current liabilities. PROPERTY TAXES Minnesota cities rely heavily on local property tax levies to support their governmental fund activities. For the 2018 fiscal year, local ad valorem property tax levies provided 41.5 percent of the total governmental fund revenues for cities over 2,500 in population, and 36.7 percent for cities under 2,500 in population. Total property taxes levied by all Minnesota cities for taxes payable in 2019 increased 5.6 percent from the prior year. The total tax capacity value of property in Minnesota cities increased about 7.1 percent for the 2019 levy year. The tax capacity values used for levying property taxes are based on the assessed market values for the previous fiscal year(e.g., tax capacity values for taxes levied in 2019 were based on assessed market values as of January 1, 2018), so the trend of change in these tax capacity values lags somewhat behind the housing market and economy in general. The City's taxable market value increased 8.6 percent for taxes payable in 2018 and 10.4 percent for taxes payable in 2019. The following graph shows the City's changes in taxable market value over the past 10 years: Taxable Market Value $6,000,000,000 $5,000,000,000 • I $4,000,000,000 i • • —i—i • iiii $3,000,000,000 . . . . . . . . . • $2,000,000,000 $1,000,000,000 111111E111i $- 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 -5- Tax capacity is considered the actual base available for taxation. It is calculated by applying the state's property classification system to each property's market value. Each property classification, such as commercial or residential, has a different calculation and uses different rates. Consequently, a city's total tax capacity will change at a different rate than its total market value, as tax capacity is affected by the proportion of its tax base that is in each property classification from year-to-year, as well as legislative changes to tax rates. The City's tax capacity increased 8.4 percent and 9.8 percent for taxes payable in 2018 and 2019,respectively. The following graph shows the City's change in tax capacities over the past 10 years: Tax Capacity $70,000,000 $60,000,000 $50,000,000 $40,000,000 $30,000,000 $20,000,000 $10,000,000 S 1.6 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 The following table presents the average tax rates applied to city residents for each of the last three levy years: Rates Expressed as a Percentage of Net Tax Capacity City of Apple Valley 2017 2018 2019 Average tax rate City 44.5 42.5 39.6 County 28.0 26.6 25.4 School 23.3 25.8 26.2 Special taxing 4.9 3.9 3.8 Total 100.7 98.8 95.0 The total average tax rate decreased from the prior year. An increase in the school portion was offset by decreases in the City, county, and special taxing authority rates. -6- GOVERNMENTAL FUND BALANCES The following table summarizes the changes in the fund balances of the City's governmental funds during the year ended December 31, 2019,presented both by fund balance classification and by fund: Governmental Funds Change in Fund Balance Fund Balance as of December 31, 2018 2019 Change Fund balances of governmental funds Total by classification Nonspendable $ 145,644 $ 77,640 $ (68,004) Restricted 13,608,420 14,985,848 1,377,428 Committed 367,510 576,705 209,195 Assigned 29,450,614 29,212,412 (238,202) Unassigned 10,943,713 12,960,558 2,016,845 Total governmental funds $ 54,515,901 $ 57,813,163 $ 3,297,262 Total by fund General $ 17,640,331 $ 18,046,107 $ 405,776 Closed Bond Issues 8,663,145 9,880,755 1,217,610 Road Improvements (5,250,659) (3,644,354) 1,606,305 Construction Projects 2,072,588 (86,886) (2,159,474) Future Capital Projects 14,300,138 14,860,441 560,303 Nonmajor 17,090,358 18,757,100 1,666,742 Total governmental funds $ 54,515,901 $ 57,813,163 $ 3,297,262 In total, the fund balances of the City's governmental funds increased by $3,297,262 during the year ended December 31, 2019. The overall increase is mainly in restricted and unassigned fund balances. Restricted fund balances increased $1,377,428, due to increased park dedication and franchise taxes received. The increase in unassigned fund balance of $2,016,845 is mainly due to the improved fund balance in the Road Improvements Capital Project Fund, due to funding received for current project costs. -7- GOVERNMENTAL FUND REVENUES The following table presents the per capita revenue of the City's governmental funds for the past three years, along with state-wide averages. We have included the most recent comparative state-wide averages available from the Office of the State Auditor to provide a benchmark for interpreting the City's data. The amounts received from the typical major sources of governmental fund revenue will naturally vary between cities based on factors such as a city's stage of development, location, size and density of its population, property values, services it provides, and other attributes. It will also differ from year-to-year, due to the effect of inflation and changes in its operation. Also, certain data in these tables may be classified differently than how they appear in the City's financial statements in order to be more comparable to the state-wide information, particularly in separating capital expenditures from current expenditures. We have designed this section of our management report using per capita data in order to better identify unique or unusual trends and activities of the City. We intend for this type of comparative and trend information to complement, rather than duplicate, information in the MD&A. An inherent difficulty in presenting per capita information is the accuracy of the population count, which for most years is based on estimates. Governmental Funds Revenue per Capita With State-Wide Averages by Population Class State-Wide City of Apple Valley Year December 31,2017 December 31,2018 2017 2018 2019 Population 20,000-100,000 20,000-100,000 52,361 53,429 54,400 Property taxes $ 475 $ 493 $ 472 $ 482 $ 482 Tax increments 38 43 7 14 16 Franchise and other taxes 48 50 28 27 27 Special assessments 59 57 30 34 23 Licenses and permits 49 47 62 42 29 Intergovernmental revenues 147 157 38 51 149 Charges for services 103 112 57 58 52 Other 48 49 51 99 82 Total revenue $ 967 $ 1,008 $ 745 $ 807 $ 860 The City's governmental funds have generated significantly less revenue per capita in total than other Minnesota cities in its population class. As noted above, the City typically receives a lower level of intergovernmental revenue than the average city, causing the City to rely on property taxes and other forms of revenue to operate the governmental activities of the City. The City generated $46,847,422 of total revenue in its governmental funds in 2019, an increase of $3,712,715 (8.6 percent) from the prior year. The City's per capita governmental funds revenue for 2019 was $860, an increase of $53, or 6.6 percent, from the prior year. The largest change was in intergovernmental revenues, which increased$98 per capita, due to increased municipal state aid funding for construction-related street projects. This increase was offset by the $17 per capita decrease in other revenue and the$13 per capita decrease in licenses and permits revenue. -8- GOVERNMENTAL FUND EXPENDITURES The expenditures of governmental funds will also vary from state-wide averages and from year-to-year, based on the City's circumstances. Expenditures are classified into three types as follows: • Current — These are typically the general operating type expenditures occurring on an annual basis, and are primarily funded by general sources, such as taxes and intergovernmental revenues. • Capital Outlay and Construction—These expenditures do not occur on a consistent basis,more typically fluctuating significantly from year-to-year. Many of these expenditures are project-oriented, and are often funded by specific sources that have benefited from the expenditure, such as special assessment improvement projects. • Debt Service—Although the expenditures for debt service may be relatively consistent over the term of the respective debt, the funding source is the important factor. Some debt may be repaid through specific sources, such as special assessments or redevelopment funding,while other debt may be repaid with general property taxes. The City's expenditures per capita of its governmental funds for the past three years, together with comparative state-wide averages, are presented in the following table: Governmental Funds Expenditures per Capita With State-Wide Averages by Population Class State-Wide City of Apple Valley Year December 31,2017 December 31,2018 2017 2018 2019 Population 20,000-100,000 20,000-100,000 52,361 53,429 54,400 Current General government $ 101 $ 104 $ 109 $ 136 $ 127 Public safety 287 294 235 245 244 Street maintenance 101 106 79 96 92 Parks and recreation 99 104 110 107 108 All other 77 78 Total current 665 686 533 584 571 Capital outlay and construction 263 307 162 152 234 Debt service Principal 121 109 65 21 22 Interest and fiscal 32 29 18 6 6 Total debt service 153 138 83 27 28 Total expenditures $ 1,081 $ 1,131 $ 778 $ 763 $ 833 As the above table reflects,the City's current expenditures per capita have also been below the state-wide average. Total expenditures in the City's governmental funds for 2019 were $45,304,315, an increase of $4,511,627 (11.1 percent). The City's per capita governmental funds total expenditures increased $70 per capita. This increase was mainly in capital outlay and construction, due to increased street improvement projects in the current year. -9- GENERAL FUND The City's General Fund accounts for the financial activity of the basic services provided to the community. The primary services included within this fund are the administration of the municipal operation,police and fire protection,building inspection, streets and highway maintenance, and parks and recreation. The graph below illustrates the change in the General Fund financial position over the last five years. We have also included a line representing annual expenditures to reflect the change in the size of the General Fund operation over the same period. General Fund Financial Position Year Ended December 31, $30,000,000 $25,000,000 $20,000,000 $15,000,000 $10,000,000 $5,000,000 2015 2016 2017 2018 2019 o Fund Balance $16,092,104 $16,609,454 $17,336,413 $17,640,331 _ $18,046,107 _ Cash Balance $14,299,304 $14,202,606 $15,908,162 $16,206,366 $17,098,321 Expenditures $24,927,799 $25,986,358 $27,274,374 $28,699,846 $29,553,363 The City's General Fund cash and investments balance at December 31, 2019 was $17,098,321, an increase of$891,955 from the previous year. Total fund balance at December 31, 2019 was $18,046,107, an increase of$405,776 from the prior year. Having an appropriate fund balance is an important factor in assessing the City's financial health because a government, like any organization,requires a certain amount of equity to operate. Generally,the amount of equity required typically increases as the size of the operation increases. A healthy financial position allows the City to avoid volatility in tax rates; helps minimize the impact of state funding changes; allows for the adequate and consistent funding of services, repairs, and unexpected costs; and can be a factor in determining the City's bond rating and resulting interest costs. The City Council has formally adopted a fund balance policy that states the City will strive to maintain a minimum unassigned General Fund balance of 50.0 percent of the subsequent year's budgeted expenditures. At December 31, 2019, the unassigned fund balance of the General Fund was 49.1 percent of the subsequent year's budgeted expenditures, including transfers. -10- The following graph reflects the City's General Fund revenue sources for 2019 compared to budget: General Fund Revenue Budget to Actual Taxes Licenses and Permits Intergovernmental n Charges for Services Other i o°°' A o3V ' ((�o°°' off' cc ' o°°' cc " e' e' o°°' o°°' c.c " e' V V ■ Budget 0 Actual Total General Fund revenues for 2019 were $61,629 (0.2 percent) under the final budget. Other revenue was over budget $467,078, mainly in investment earnings due to improved market performance in the current year. This was offset by charges for services, which was $502,817 less than budget, due to engineering fees being less than anticipated. The following graph presents the City's General Fund revenues by source for the last five years: General Fund Revenue by Source Year Ended December 31, $30,000,000 $25,000,000 $20,000,000 $15,000,000 $10,000,000 $5,000,000 II II_ Taxes Intergovernmental Other n 2015 $22,226,012 $781,409 $6,044,728 ■2016 $23,126,722 $806,909 $6,119,933 02017 $23,940,494 $831,908 $7,427,411 •2018 $24,956,157 $881,315 $6,792,768 ■2019 $25,422,357 $970,415 $6,209,559 Total General Fund revenues for 2019 were $32,602,331, a decrease of$27,909 (0.1 percent) from the previous year. Taxes increased $466,200, due to an overall increase in the general tax levy. This increase was offset by a $583,209 decrease in revenue from other sources, mainly in licenses and permits and charges for services revenue, due to a decrease in building-related activity, when compared to the prior year. -11- The following graph reflects the City's General Fund expenditures compared to budget for 2019: General Fund Expenditures Budget to Actual General Government Public Safety Public Works Parks and Recreation I I I I I oo° °c$ oo° °c$ oo° °c$ oo° °oo oo° o00 oc o00 oc o00 off' ozz, off' o° oc' o° oc' oc' o°°' o°° o° o° o° o°°' ,;\-, 41,, st," 4 s6, <^, g 4), es1°, stiff, e1�' e1�, e, • Budget 0 Actual Total General Fund expenditures for 2019 were $29,553,363, which was $653,137 (2.2 percent) less than budget. This variance was spread across all functions. General government, public safety, public works, and parks and recreation expenditures were under budget $271,355, $159,639, $55,882, and $166,261, respectively,mostly due to position vacancies. The following graph presents the City's General Fund expenditures by function for the last five years: General Fund Expenditures by Function Year Ended December 31, $14,000,000 $12,000,000 $10,000,000 — $8,000,000 $6,000,000 — $4,000,000 $2,000,000 $- General Parks and Public Safety Public Works Government Recreation ■2015 $4,792,595 $11,390,204 $3,637,190 $5,107,810 •2016 $4,984,412 $11,817,350 $3,725,606 $5,458,990 O 2017 $5,148,448 $12,419,830 $4,041,044 $5,665,052 ■2018 $5,533,975 $13,145,792 $4,503,246 $5,516,833 ■2019 $5,606,704 $13,249,989 $5,023,366 $5,673,304 General Fund expenditures increased by $853,517, or 3.0 percent, from the prior year. General government expenditures increased $72,729, mainly in the information technology department. Public safety expenditures increased $104,197, mainly in the police protection department. The increase in expenditures in the public works department of $520,120 was mainly in the streets department for personal costs. Expenditures in parks and recreation increased $156,471, mainly in the Apple Valley Family Aquatic Center department. Typical to other cities we audit, public safety costs for the City comprise the largest portion of General Fund spending and have seen the largest increases over the past five years. -12- ENTERPRISE FUNDS OVERVIEW The City maintains several enterprise funds to account for services the City provides that are financed primarily through fees charged to those utilizing the service. This section of the report provides you with an overview of the financial trends and activities of the City's enterprise funds, which includes the Municipal Liquor, Municipal Golf Course, Sports Arena, Water and Sewer, Storm Drainage, Street Light Utility, and Cemetery Funds. ENTERPRISE FUNDS FINANCIAL POSITION The following table summarizes the changes in the financial position of the City's enterprise funds during the year ended December 31, 2019,presented both by classification and by fund: Enterprise Funds Change in Financial Position Net Position as of December 31, 2018 2019 Change Net position of enterprise funds Total by classification Net investment in capital assets $ 100,261,931 $ 103,644,760 $ 3,382,829 Unrestricted 12,975,656 13,489,299 513,643 Total enterprise funds $ 113,237,587 $ 117,134,059 $ 3,896,472 Total by fund Municipal Liquor $ 5,875,911 $ 6,550,811 $ 674,900 Municipal Golf Course 151,646 (165,008) (316,654) Sports Arena 1,218,157 2,422,559 1,204,402 Water and Sewer 71,866,007 73,279,652 1,413,645 Storm Drainage 31,716,933 32,533,001 816,068 Street Light Utility 304,281 322,245 17,964 Cemetery 2,104,652 2,190,799 86,147 Total enterprise funds $ 113,237,587 $ 117,134,059 $ 3,896,472 In total, the net position ($117,134,059) of the City's enterprise funds increased by$3,896,472 during the year ended December 31, 2019. The increase in the net investment in capital assets reflects the continued investment in utility infrastructure and other capital assets. -13- MUNICIPAL LIQUOR FUND The following graph presents five years of operating results for the Municipal Liquor Fund: Municipal Liquor Fund Year Ended December 31, $10,000,000 ii 0000 — 00 — 00 — 00 — 00 — 0000 — $1,000,000 I ■ LF — 2015 2016 2017 2018 2019 =Sales $8,480,414 $8,738,804 $9,183,272 $9,445,281 $9,886,580 Cost of Sales $6,037,204 $6,171,691 $6,473,275 $6,568,030 $6,935,517 Operating Expenses $1,485,163 $1,546,028 $1,609,959 $1,624,533 $1,550,651 (Excluding Depreciation) Operating Income(Loss) $958,047 $1,021,085 $1,100,038 $1,252,718 $1,400,412 (Excluding Depreciation) The Municipal Liquor Fund ended 2019 with a net position of$6,550,811, an increase of$674,900 from the prior year. Of this net position, $3,445,189 represents the investment in liquor capital assets, and $3,105,622 is in unrestricted net position. Liquor sales for 2019 were $9,886,580, $441,299 (4.7 percent) higher than the prior year. The Municipal Liquor Fund generated operating income (excluding depreciation) of$1,400,412 in 2019, or 14.2 percent, of gross sales,which is an increase from the 13.3 percent reported in fiscal 2018. The Municipal Liquor Fund gross profit margin was 29.9 in fiscal 2019, slightly less than 30.5 in fiscal 2018. -14- MUNICIPAL GOLF COURSE FUND The following graph presents five years of operating results for the Municipal Golf Course Fund: Municipal Golf Course Fund Year Ended December 31, $1,600,000 $1,400,000 $1,200,000 — I $1,000,000 $800,000 — $600,000 — $400,000 — $200,000 — $(200,000) $(400,000) 2015 2016 2017 2018 2019 =Operating Revenue $1,387,821 $1,354,645 $1,173,102 $862,834 $898,126 Operating Expenses $1,208,454 $1,301,452 $1,206,920 $950,456 $908,222 (Excluding Depreciation) Cost of Goods Sold $256,331 $237,409 $188,557 $75,112 $75,369 Depreciation $174,033 $174,171 _ $183,693 $192,783 $211,793 —Operating Income(Loss) $(76,964) $(184,216) $(222,375) $(162,734) $(85,465) (Excluding Depreciation) The Municipal Golf Course Fund ended 2019 with a net position deficit of ($165,008), a decrease of $316,654 from the prior year. Of this net position, $3,921,886 represents the investment in golf course land and capital assets,leaving a deficit of($4,086,894) in unrestricted net position. Municipal Golf Course Fund operating revenues for 2019 were$898,126,which is $35,292 more than the prior year. Operating expenses (excluding depreciation) for 2019 were $908,222, a decrease of$42,234 from the prior year. On an annual basis, this fund has had to borrow from other funds to fund cash flow and capital needs. This interfund borrowing was a total of$3,694,546 at December 31, 2019. Interfund borrowing for cash flow needs totals $1,908,681 at December 31, 2019. The remainder, $1,785,865, is for capital needs and is to be repaid over multiple years. We recommend the City continue to monitor the financial results in this fund and continually update the long-range financial plan for this fund in an effort to continue the improved financial results of this fund. -15- SPORTS ARENA FUND The following graph presents five years of operating results for the Sports Arena Fund: Sports Arena Fund Year Ended December 31, Hk 0 — $100,000 _ - 2015 2016 2017 2018 2019 =Sales and User Fees $722,270 $783,089 $732,919 $789,516 $745,910 Operating Expenses $606,977 $618,747 $659,107 $646,586 $604,611 (Excluding Depreciation) Nonoperating Revenue $121,419 $123,022 $127,945 $123,698 $125,359 (Expense) Income(Loss) $73,273 $135,513 $56,342 $131,187 $141,299 The Sports Arena Fund ended 2019 with a net position of$2,422,559, an increase of$1,204,402 from the prior year. Of the net position balance, $3,369,615 represents the investment in sports arena capital assets, leaving a deficit of($947,056) of unrestricted net position. Sports Arena Fund operating revenues for 2019 were $745,910, a decrease of$43,606 (5.5 percent) from the prior year. Operating expenses (including cost of goods sold and excluding depreciation) for 2019 were $604,611, a decrease of $41,975 from the prior year. Nonoperating revenue includes an annual property tax levy of$121,000. During 2019, this fund had to borrow from other funds to fund capital needs. This interfund borrowing was a total of $1,751,129 at December 31, 2019. During the current year, this fund also received $1,087,534 in capital contributions for ice arena projects. -16- WATER AND SEWER FUND The following graph presents five years of operating results for the Water and Sewer Fund: Water and Sewer Fund Year Ended December 31, $11,000,000 — II ,000 000 ,000,000,000,000 — ,000,000 — ,000 — ,000 2015 2016 2017 I 2018 2019 =OperatingRevenue $8,988,411 $9,450,362 $9,910,773 $10,352,835 $10,577,669 Operating Expenses(Excluding $6,102,574 $6,401,847 $7,016,546 $6,682,832 $7,075,065 Depreciation) Depreciation $1,847,507 $2,729,115 $2,768,547 $2,357,710 $2,426,053 Operating Income(Loss) $2,885,837 $3,048,515 $2,894,227 $3,670,003 $3,502,604 (Excluding Depreciation) The Water and Sewer Fund ended 2019 with a net position of$73,279,652, an increase of$1,413,645 from the prior year. Of this net position, $60,291,304 represents the investment in water and sewer distribution system capital assets, leaving$12,988,348 of unrestricted net position. Water and Sewer Fund operating revenue was $10,577,669 for 2019, an increase of $224,834 (2.2 percent) from the prior year, due to an increase in rates. Operating expenses (excluding depreciation) of$7,075,065 were $392,233 (5.9 percent) higher than last year, mainly in personal services and sewer charges. Although this fund is in a healthy financial position, we suggest that the City continue to review the water and sewer rates on an annual basis. Water and sewer rates are generally designed to cover operating costs and provide an accumulation of resources for significant repairs and replacements, and an operating cushion for potential negative years in financial operations. -17- STORM DRAINAGE FUND The following graph presents five years of operating results for the Storm Drainage Fund: Storm Drainage Fund Year Ended December 31, $2,200,000 $2,000,000 I' $1,800,000 $1,600,000 — $1,400,000 — - $1,200,000 — - — $1,000,000 — I Pi'ALI $800,000 "'"'-"""--.4". $600,000 — $400,000 — $200,000 — — I s_ 2015 2016 2017 2018 2019 =OperatingRevenue $1,629,361 $1,717,350 $1,769,842 $1,901,319 $2,113,725 Operating Expenses $840,901 $823,837 $1,121,262 $974,319 $1,114,326 (Excluding Depreciation) Depreciation $535,769 $575,256 $995,490 $1,024,022 $1,066,399 —Operating Income(Loss) $788,460 $893,513 $648,580 $927,000 $999,399 (Excluding Depreciation) The Storm Drainage Fund ended 2019 with a net position of$32,533,001, an increase of$816,068 from the prior year. Of this, $30,753,468 represents the investment in storm drainage capital assets and $1,779,533 of unrestricted net position. Storm Drainage Fund operating revenues for 2019 were $2,113,725, which was an increase of$212,406 (11.2 percent) from the prior year, due to the increased rates. Operating expenses (excluding depreciation) for 2019 were $1,114,326, which was $140,007 (14.4 percent) higher than the prior year, mainly due to an increase in contractual services for sump basin cleaning. -18- STREET LIGHT UTILITY FUND The following graph presents five years of operating results for the Street Light Utility Fund: Street Light Utility Fund Year Ended December 31, $600,000 $500,000 $400,000 $300,000 $200,000 $100,000 —UT 2015 2016 2017 2018 2019 =Operating Revenue $483,680 $500,877 $507,360 $522,977 $555,175 Operating Expenses $446,644 $437,439 $483,752 $485,356 $543,694 Operating Income(Loss) $37,036 $63,438 $23,608 $37,621 $11,481 Street Light Utility Fund ended 2019 with a net position of$322,245, an increase of$17,964 from the prior year,which is all in unrestricted net position. Street Light Utility Fund operating revenues for 2019 were $555,175, an increase of$32,198 from the prior year, due to a rate increase. Operating expenses for 2019 were $543,694, an increase of$58,338 from the previous year, mainly in utilities expense. -19- CEMETERY FUND The following graph presents five years of operating results for the Cemetery Fund: Cemetery Fund Year Ended December 31, $220,000 $200,000 $180,000 $160,000 — $140,000 $120,000 — $100,000 — 1 $80,000 — $60,000 $40,000 --'......*****.°.*****.....i— $20,000 I— U IF 2015 2016 2017 2018 2019 _ =Operating Revenue $132,305 $160,716 $187,334 $150,393 _ $209,228 Operating Expenses(Excluding $30,022 $41,726 $108,158 $68,302 $102,889 Depreciation) Operating Income(Loss) $102,283 $118,990 $79,176 $82,091 $106,339 (Excluding Depreciation) The Cemetery Fund ended 2019 with a net position of$2,190,799, an increase of$86,147 from the prior year. Of the net position balance, $1,863,298 represents investments in cemetery capital assets, leaving $327,501 of unrestricted net position. Cemetery Fund operating revenues for 2019 were $209,228, an increase of$58,835 from the prior year. Operating expenses (excluding depreciation) for 2019 were $102,889, an increase of $34,587 from the prior year. -20- GOVERNMENT-WIDE FINANCIAL STATEMENTS In addition to fund-based information, the current reporting model for governmental entities also requires the inclusion of two government-wide financial statements designed to present a clear picture of the City as a single, unified entity. These government-wide statements provide information on the total cost of delivering services, including capital assets and long-term liabilities. STATEMENT OF NET POSITION The Statement of Net Position essentially tells you what the City owns and owes at a given point in time, the last day of the fiscal year. Theoretically, net position represents the resources the City has leftover to use for providing services after its debts are settled. However,those resources are not always in spendable form, or there may be restrictions on how some of those resources can be used. Therefore, the Statement of Net Position divides the net position into three components: • Net Investment in Capital Assets—The portion of net position reflecting equity in capital assets (i.e., capital assets minus related debt). • Restricted Net Position — The portion of net position equal to resources whose use is legally restricted minus any noncapital-related liabilities payable from those same resources. • Unrestricted Net Position — The residual balance of net position after the elimination of net investment in capital assets and restricted net position. The following table presents the components of the City's net position as of December 31, 2019 and 2018, for governmental activities and business-type activities: As of December 31, 2018 2019 Change Net position Governmental activities Net investment in capital assets $ 83,980,389 $ 92,370,852 $ 8,390,463 Restricted 15,352,356 16,776,842 1,424,486 Unrestricted 28,466,675 29,564,353 1,097,678 Total governmental activities 127,799,420 138,712,047 10,912,627 Business-type activities Net investment in capital assets 100,261,931 103,644,760 3,382,829 Unrestricted 12,828,596 13,312,548 483,952 Total business-type activities 113,090,527 116,957,308 3,866,781 Total net position $ 240,889,947 $ 255,669,355 $ 14,779,408 The City's total net position at December 31, 2019 was $14,779,408 greater than the previous year-end, which was comprised of an increase of $10,912,627 in governmental activities and an increase of $3,866,781 in business-type activities. -21- STATEMENT OF ACTIVITIES The Statement of Activities tracks the City's yearly revenues and expenses, as well as any other transactions that increase or reduce total net position. These amounts represent the full cost of providing services. The Statement of Activities provides a more comprehensive measure than just the amount of cash that changed hands, as reflected in the fund-based financial statements. This statement includes the cost of supplies used, depreciation of long-lived capital assets,and other accrual-based expenses. The following table presents the change in the net position of the City for the years ended December 31, 2019 and 2018: Change in Net Position 2018 2019 Net(expense)revenue Governmental activities General government $ (4,533,375) $ (4,902,973) Public safety (11,298,267) (11,682,180) Public works (2,137,756) 689,921 Parks and recreation (4,595,230) (5,545,862) Interest and fiscal charges (284,621) (268,829) Business-type activities Municipal liquor 1,094,373 1,259,213 Municipal golf course (373,546) (320,157) Sports arena 6,646 1,080,512 Water and sewer 2,544,928 1,738,443 Storm drainage 242,145 726,492 Cemetery 61,634 68,743 Street light utility 37,621 11,481 Total net(expense)revenue (19,235,448) (17,145,196) General revenues Property taxes 26,617,094 27,208,910 Other taxes 150,340 196,347 Franchise taxes 1,306,360 1,291,703 Grants and contributions not restricted to specific programs 124,430 140,114 Other general revenues 10,786 7,083 Investment earnings(net of market value adjustment) 1,154,756 2,674,412 Gain on sale of assets — 406,035 Total general revenues 29,363,766 31,924,604 Change in net position $ 10,128,318 $ 14,779,408 One of the goals of this statement is to provide a side-by-side comparison to illustrate the difference in the way the City's governmental and business-type operations are financed. The table clearly illustrates the dependence of the City's governmental operations on general revenues, such as property taxes and unrestricted grants. It also shows that, for the most part, the City's business-type activities are generating sufficient program revenues (service charges and program-specific grants) to cover expenses. This is critical given the current downward pressures on the general revenue sources. -22- LEGISLATIVE UPDATES The 2019 legislative session began with a projected state general fund surplus of $1.052 billion. The legislative agenda was primarily focused on setting an operating budget for the state's fiscal 2020-2021 biennium. At the end of the regular session, only a higher education budget bill had been completed. However, after a special session,the Legislature was able to address the 11 remaining budget bills, as well as pass an omnibus tax bill and small pension bill. The following is a brief summary of specific legislative changes from the 2019 session or previous legislative sessions potentially impacting Minnesota cities. Local Government Aid (LGA) — An additional $26 million was added to the appropriation for the city LGA formula beginning in fiscal 2020, bringing the total state-wide appropriation to $560.4 million. An additional $4 million was added to the appropriation beginning in fiscal 2021. The LGA distribution formula for 2020 was altered to provide that a city's 2020 LGA may not be less than its 2019 aid, and the cap on maximum aid losses in any year thereafter was modified. Bonding Bill—The 2019 bonding bill provided financing for approximately $102 million of projects and funding authorized by the 2018 omnibus bonding bill, which had been legally challenged due to their reliance on the use of the Environment and Natural Resources Trust Fund to generate appropriation bonds. The 2019 Legislature changed the funding source for these projects to general obligation bonds, clearing the way for the projects to go forward. Included in this was $59 million earmarked for city water and wastewater projects through the state Public Facilities Authority. Local Option Sales Tax Process —Effective May 1, 2019, the process for cities to enact a local option sales tax have been modified, requiring special legislation prior to a local referendum vote. Cities must now adopt a resolution specifying the proposed sales tax rate and time frame for the sales tax. The resolution must also include a detailed description of the project or projects (up to five) to be funded by the sales tax, the amount to be raised for each project, and documentation of the regional significance of each project. The resolution must be submitted to the House and Senate tax committee chairs by January 31 st to be considered for special legislation by the State Legislature. If special legislation is approved, voter approval must be obtained by referendum at a general election within two years of legislative approval. Wage Theft—The Legislature enacted a number of changes in employment law aimed at reducing wage theft by employers. The changes require employers to provide written notice to new employees of specific wage information including rate of pay, allowances,paid leave, deductions, days in a pay period, and the employer's legal name, address, and phone number. Employers must also provide an earnings statement that includes similar information. The changes also create new requirements for employer recordkeeping for hours worked each day and each workweek, and imposes penalties for failure to do so and for refusal to make the records available for inspection by the Department of Labor. Written Estimates of Consulting Fees — Effective August 1, 2019, upon request by applicants for a permit, license, or other approval relating to real estate development or construction, cities are required to provide a written, nonbinding estimate of consulting fees to be charged to the applicant based on information available at that time. The related application will not be considered complete until the city has provided the estimate, received the required application fees, and received the applicant's signed acceptance of the fee estimate along with a signed statement that the applicant has not relied on the fee estimate in its decision to proceed with the application. Contract Retainage — Effective for contracts entered into August 1, 2019 or later, contract retainage must be released no later than 60 days after the related construction project reaches substantial completion as defined by statute. After substantial completion, cities can still withhold amounts equal to, 1)250 percent of the cost to correct or complete work known at the time of substantial completion, and 2)the greater of $500 or 1 percent of the value of the contract pending the completion of "final paperwork," including documents required to fulfill contractual obligations such as operating manuals, payroll documents for projects subject to prevailing wage requirements, and contractor payroll tax withholding affidavits. Any resulting reduction in retainage must be passed from the contractor to all subcontractors at the same rate. -23- Driver and Vehicle Registration System (VTRS)—The Legislature selected VTRS, a third party vendor system, to replace the failed Minnesota Licensing and Registration System (MNLARS). Fees from driver's licenses, license plates, and filing fees were increased and a technology surcharge imposed on vehicle registration renewals to pay for the implementation of VTRS, the decommissioning of MNLARS, and to temporarily increase the capacity of Driver and Vehicle Services to meet public service needs. Included in this is $13 million appropriated in 2019 for reimbursement grants to deputy registrars for costs related to MNLARS. The grants, which would be determined by formula, would require the deputy registrar accepting the grant to release the state from any further liability or claims related to MNLARS. Vaping Ordinance Authority — Effective July 1, 2019, cities are allowed to enact and enforce ordinances with more stringent measures than the Minnesota Clean Indoor Air Act to protect individuals from involuntary exposure to aerosol or vapor from electronic delivery devices. Water Connection Fees—Effective January 1,2020,the annual water connection fees cities are required to collect on behalf of the Minnesota Depai tiuent of Health for water testing and support has been increased from$6.36 to $9.72. Military Exception to Open Meeting Law — Effective August 1, 2019, members of a public body that are in the military will be allowed to participate in public meetings via interactive television when they are at a required drill, deployed, or on active duty. The member may participate under this exception up to three times a year. Pension Plan Changes — The 2019 pension bill included several changes to the various pension plans throughout the state: • Changes to plans administered by the Public Employees Retirement Association (PERA) included: o The rights of PERA General Employees Retirement Fund (GERF) plan and Public Employees Police and Fire Fund (PEPFF) plan members to purchase service credit for periods of military leave were expanded. This gives plan members the right to purchase up to five years of service credit for military service leave that is not federally protected because the service occurred prior to public employment or the member did not meet the payment deadlines applicable to federally protected leave service credit purchases. o The Phased Retirement Option (PRO) program, which gives cities an opportunity to retain potentially retiring employees that are GERF plan members aged 62 or over, was altered and made permanent. Under a PRO arrangement, an employee would begin collecting a retirement annuity, but could continue working for their current employer for up to five years if they agree to a work schedule that represents a reduction of at least 25 percent each pay period from their current schedule, up to a maximum of 1,044 hours per year. Employees would not be allowed to contribute to a pension benefit plan or accrue additional service time while working under a PRO. o A process was established for municipalities and joint powers entities to terminate participation in the PERA Statewide Volunteer Firefighter (SVF) plan if, 1) the entity has either eliminated its fire department or ceased using the services of all departing firefighters and any other noncareer or volunteer firefighters, and 2) the entity's account has assets sufficient to cover all liabilities including the fully vested liabilities for all departing firefighters and administrative expenses. -24- • Changes impacting volunteer firefighter relief associations(VRFAs)included: o Effective January 1, 2020, vesting schedules for defined contribution plans cannot require that a member have more than 20 years of active service to become 100 percent vested in the member's account, or provide for a larger vesting percentage with respect to the completed years of service than as provided in the statutory schedule. o Effective January 1, 2020, the permitted graded vesting schedule for defined benefit pension plans is reduced from 20 years to 10 years for full vesting. Also, plans cannot require that a member have more than 20 years of active service to become 100 percent vested in the member's accrued service pension, or provide for a larger vesting percentage with respect to the completed years of service than as provided in the statutory schedule. o Effective January 1, 2020, supplemental benefits are allowed to be paid to designated beneficiaries or estates when plan members have no surviving spouse or children. -25- THIS PAGE INTENTIONALLY LEFT BLANK ACCOUNTING AND AUDITING UPDATES The following is a summary of GASB standards expected to be implemented in the next few years. Due to the COVID-19 outbreak, the GASB has delayed the original implementation dates of these and other standards as described below. GASB STATEMENT NO.87,LEASES A lease is a contract that transfers control of the right to use another entity's nonfinancial asset as specified in the contract for a period of time in an exchange or exchange-like transaction. Examples of nonfinancial assets include buildings, land, vehicles, and equipment. Any contract that meets this definition should be accounted for under the leases guidance, unless specifically excluded in this statement. Governments enter into leases for many types of assets. Under the previous guidance, leases were classified as either capital or operating depending on whether the lease met any of the four tests. In many cases, the previous guidance resulted in reporting lease transactions differently than similar nonlease financing transactions. The goal of this statement is to better meet the information needs of users by improving accounting and financial reporting for leases by governments. It establishes a single model for lease accounting based on the principle that leases are financings of the right to use an underlying asset. This statement increases the usefulness of financial statements by requiring recognition of certain lease assets and liabilities for leases that previously were classified as operating leases and recognized as inflows of resources or outflows of resources based on the payment provisions of the contract. Under this statement, a lessee is required to recognize a lease liability and an intangible right to use lease asset, and a lessor is required to recognize a lease receivable and a deferred inflow of resources, thereby enhancing the relevance and consistency of information about governments' leasing activities. To reduce the cost of implementation, this statement includes an exception for short-term leases, defined as a lease that, at the commencement of the lease term, has a maximum possible term under the lease contract of 12 months (or less), including any options to extend, regardless of their probability of being exercised. Lessees and lessors should recognize short-term lease payments as outflows of resources or inflows of resources, respectively, based on the payment provisions of the lease contract. The requirements of this statement were originally effective for reporting periods beginning after December 15,2019 and are now effective for fiscal years beginning after June 15,2021. GASB STATEMENT NO.91,CONDUIT DEBT OBLIGATIONS The primary objectives of this statement are to provide a single method of reporting conduit debt obligations by issuers and eliminate diversity in practice associated with (1) commitments extended by issuers, (2) arrangements associated with conduit debt obligations, and (3) related note disclosures. This statement achieves those objectives by clarifying the existing definition of a conduit debt obligation; establishing that a conduit debt obligation is not a liability of the issuer; establishing standards for accounting and financial reporting of additional commitments and voluntary commitments extended by issuers and arrangements associated with conduit debt obligations; and improving required note disclosures. -26- A conduit debt obligation is defined as a debt instrument having all of the following characteristics: • There are at least three parties involved: (1) an issuer, (2) a third party obligor, and (3) a debt holder or a debt trustee. • The issuer and the third party obligor are not within the same financial reporting entity. • The debt obligation is not a parity bond of the issuer, nor is it cross-collateralized with other debt of the issuer. • The third party obligor or its agent, not the issuer, ultimately receives the proceeds from the debt issuance. • The third party obligor, not the issuer, is primarily obligated for the payment of all amounts associated with the debt obligation(debt service payments). This statement also addresses arrangements, often characterized as leases,that are associated with conduit debt obligations. In those arrangements, capital assets are constructed or acquired with the proceeds of a conduit debt obligation and used by third party obligors in the course of their activities. This statement requires issuers to disclose general information about their conduit debt obligations, organized by type of commitment, including the aggregate outstanding principal amount of the issuers' conduit debt obligations and a description of each type of commitment. Issuers that recognize liabilities related to supporting the debt service of conduit debt obligations also should disclose information about the amount recognized and how the liabilities changed during the reporting period. The requirements of this statement were originally effective for reporting periods beginning after December 15, 2020 and are now effective after December 15,2021. Earlier application is encouraged. -27- CITY OF APPLE VALLEY DAKOTA COUNTY,MINNESOTA Special Purpose Audit Reports Year Ended December 31,2019 THIS PAGE INTENTIONALLY LEFT BLANK CITY OF APPLE VALLEY DAKOTA COUNTY,MINNESOTA Special Purpose Audit Reports Year Ended December 31,2019 Table of Contents Page Independent Auditor's Report on Internal Control Over Financial Reporting and on Compliance and Other Matters Based on an Audit of Financial Statements Performed in Accordance With Government Auditing Standards 1-2 Independent Auditor's Report on Minnesota Legal Compliance 3 THIS PAGE INTENTIONALLY LEFT BLANK KR PRINCIPALS Thomas A.Karnowski,CPA Paul A.Radosevich,CPA William J.Lauer,CPA M ■ James H.Eichten,CPA CERTIFIED PUBLIC Aaron J.Nielsen,CPA ACCOUNTANTS Victoria L.Holinka,CPA/CMA Jaclyn M.Huegel,CPA Kalen T.Karnowski,CPA INDEPENDENT AUDITOR'S REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTING AND ON COMPLIANCE AND OTHER MATTERS BASED ON AN AUDIT OF FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS To the City Council and Management City of Apple Valley,Minnesota We have audited, in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States, the financial statements of the governmental activities, the business-type activities, each major fund, and the aggregate remaining fund information of the City of Apple Valley, Minnesota (the City) as of and for the year ended December 31, 2019, and the related notes to the financial statements,which collectively comprise the City's basic financial statements, and have issued our report thereon dated May 27,2020. INTERNAL CONTROL OVER FINANCIAL REPORTING In planning and performing our audit of the financial statements,we considered the City's internal control over financial reporting (internal control) to determine the audit procedures that are appropriate in the circumstances for the purpose of expressing our opinions on the financial statements, but not for the purpose of expressing an opinion on the effectiveness of the City's internal control. Accordingly, we do not express an opinion on the effectiveness of the City's internal control. A deficiency in internal control exists when the design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct,misstatements on a timely basis. A material weakness is a deficiency, or a combination of deficiencies, in internal control, such that there is a reasonable possibility that a material misstatement of the City's financial statements will not be prevented, or detected and corrected, on a timely basis. A significant deficiency is a deficiency, or a combination of deficiencies, in internal control that is less severe than a material weakness, yet important enough to merit attention by those charged with governance. Our consideration of internal control was for the limited purpose described in the first paragraph of this section and was not designed to identify all deficiencies in internal control that might be material weaknesses or significant deficiencies. Given these limitations, during our audit we did not identify any deficiencies in internal control that we consider to be material weaknesses. However,material weaknesses may exist that have not been identified. (continued) -1- Malloy, Montague, Karnowski, Radosevich & Co., P.A. 5353 Wayzata Boulevard • Suite 410 • Minneapolis, MN 55416 • Phone: 952-545-0424 • Fax: 952-545-0569 • www.mmkr.com COMPLIANCE AND OTHER MATTERS As part of obtaining reasonable assurance about whether the City's financial statements are free from material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements,noncompliance with which could have a direct and material effect on the determination of financial statement amounts. However, providing an opinion on compliance with those provisions was not an objective of our audit and, accordingly, we do not express such an opinion. The results of our tests disclosed no instances of noncompliance or other matters that are required to be reported under Government Auditing Standards. PURPOSE OF THIS REPORT The purpose of this report is solely to describe the scope of our testing of internal control and compliance and the results of that testing, and not to provide an opinion on the effectiveness of the City's internal control or on compliance. This report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the City's internal control and compliance. Accordingly, this report is not suitable for any other purpose. WilcO7 ta..4.44464...144164 '� 'CO P. A . Minneapolis, Minnesota May 27,2020 -2- PRINCIPALS Thomas A.Karnowski,CPA Paul A.Radosevich,CPA William J.Lauer,CPA M KR P ■ James H.Eichten,CPA CERTIFIED PUBLIC Aaron J.Nielsen,CPA ACCOUNTANTS Victoria L.Holinka,CPA/CMA Jaclyn M.Huegel,CPA Kalen T.Karnowski,CPA INDEPENDENT AUDITOR'S REPORT ON MINNESOTA LEGAL COMPLIANCE To the City Council and Management City of Apple Valley,Minnesota We have audited, in accordance with auditing standards generally accepted in the United States of America, and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States, the financial statements of the governmental activities, the business-type activities, each major fund, and the aggregate remaining fund information of the City of Apple Valley, Minnesota (the City) as of and for the year ended December 31, 2019, and the related notes to the financial statements,which collectively comprise the City's basic financial statements, and have issued our report thereon dated May 27,2020. MINNESOTA LEGAL COMPLIANCE In connection with our audit,nothing came to our attention that caused us to believe that the City failed to comply with the provisions of the contracting and bidding, deposits and investments, conflicts of interest, public indebtedness, claims and disbursements, miscellaneous provisions, and tax increment financing sections of the Minnesota Legal Compliance Audit Guide for Cities, promulgated by the State Auditor pursuant to Minnesota Statutes § 6.65, insofar as they relate to accounting matters. However, our audit was not directed primarily toward obtaining knowledge of such noncompliance. Accordingly, had we performed additional procedures, other matters may have come to our attention regarding the City's noncompliance with the above referenced provisions,insofar as they relate to accounting matters. PURPOSE OF THIS REPORT The purpose of this report is solely to describe the scope of our testing of compliance and the results of that testing, and not to provide an opinion on compliance. Accordingly, this report is not suitable for any other purpose. j4141.67/ Iiiadostai 4iit444,ciAbilj 72-e-‘14.6-Li.A.:4".C.-. 4 6..i P. Minneapolis, Minnesota May 27,2020 -3- Malloy, Montague, Karnowski, Radosevich & Co., P.A. 5353 Wayzata Boulevard • Suite 410 • Minneapolis, MN 55416 • Phone: 952-545-0424 • Fax: 952-545-0569 • www.mmkr.com THIS PAGE INTENTIONALLY LEFT BLANK City of Apple Valley Popular Annual Financial Report ... ""• To The Community .... ••• Apple Valley FOR THE YEAR ENDED DECEMBER 31, 2019 City of Apple Valley Dear Apple Valley Resident, We • General Fund activities • Capital Projects Funds 7100 147th Street West are pleased to present the City that provide for basic collect revenue from of Apple Valley's Popular operations of the City, i.e. special assessments, state Apple Valley,MN 55124 Annual Financial Report p � p administration, building and county aids and allots 952-953-2500 (PAFR). This report provides a maintenance, police&fire, them toward construction summary of the City's financial street&park or major capital expenses. CityofAppleValley.org information in a simplified, maintenance, recreation easy to read format. We trust activity, community • Proprietary Funds Elected Officials: this report gives you a better development and account for activities that understanding on city MAYOR: planning. operate as a public government and our financial enterprise which are paid Mary Hamann-Roland condition. for by user fees, i.e. Information in this report water, sanitary sewer, CITY COUNCIL: comes from Apple Valley's storm sewer, liquor stores, John Bergman 2019 Comprehensive Annual _ _� and Valleywood Golf Tom Goodwin Financial Report(CAFR). The 'gillr ! J� i �/ Il Course. „ Ruth Grendahl CAFR was prepared in • Internal Service Funds conformity with Generally i AS Iii l •_� i fs -E Clint Hooppaw Accepted Accounting Principles account for the acquisition, (GAAP), was audited by MMKR operation, and and received an unmodified maintenance of INSIDE THIS ISSUE: governmental facilities and opinion, which is the best audit • Special Revenue Funds services, which are entirely Introduction 1 opinion possible. account for activities or predominately self- Dividing up your 1 In order for Apple Valley to restricted to specific supported by user charges manage the community purposes like the City's to the governmental Tax Dollar finances smoothly, it divides Economic Development funds. various activities into several Authority. If you would like a copyof the Monthly Bill 2 different funds. Governmental CAFR,visit the City's website at funds account for tax- • Debt Service Funds CityofAppleValley.orgor Tax Cost 2 supported activities and track revenues and Comparison include: expenses related to contact the Finance repayment of long-term Department at: General Fund 3 debt. 952-953-2540 Special Revenue 4 Funds Dividing Up Your Property Tax Dollar Your tax dollar is divided up into several governmental Long-Term Debt 4 ,i "m MP""•"°`` •n 1 i -'°' _ ti a; entities. Apple Valley collects , �__fs �'I�JI �1�'��ti.•pl�,' approximately 35 cents of °.Internal Service 4 Ar " --"' '"° „•— - L 11180916 E p every tax dollar for City 4 x,5«,.ate r.� ,`1 r: services. The remaining Funds ,k- 12 RM .:`5 �i. -- 12 ,:- , j. portions are divided among �,, Capital Funds 5 i :;, ; `: Dakota County, the school . L 11: 80916 G , 1 "" ,,r district, and other agencies. Enterprise Funds 5-6 } 12` t -_4� 12 These tax rates are based ,: ;mm ` riiiil ar ii-, - , on a residential home valued li rrIat $259,500. Dakota County City of Apple Valley School District Other Agencies .21C 35C .40C .04C CITY OF APPLE VALLEY POPULAR ANNUAL FINANCIAL REPORT PAGE 2 r , c1'x, c r- a t ._ c` -, - A How Tax Dollars Buy City Services p 4� ii 1 1I1 i Residents receive a variety of City services for an __Al i- -- _ 412Ef affordable price. The cost of City services in 2019 o for the owner of a single-family home in Apple Valley with an assessor's market value of$259,500 Police$25.83 Parks$14.08 Public Works$9.92 was$85.08 per month.The tax cost per month of x' ,I l , $85.08 is the amount left requiring tax support �` i Air,. p ii after allocating grants, program fees, lodging taxes '" ,, , ..,,__,,_,, �,'t , _ 4"„$ NI i n and other non-property tax revenue to the appropriate services. street Fire$6.08 General Gov.$13.59 Reconstruction $9.74 Quarterly Cost of Utilities Plk Based on an average usage of 21,000 gallons of water y. r and 16,000 gallons of sewer per quarter,the cost of • TOTAL 415:1 utilities for a home in Apple Valley was$148.27 in 2019.Apple Valley bills on a quarterly basis.Services $85.08 include water,sewer,storm water,and street lighting. Debt Service$3.92 Insurance $1.92 Monthly City Property Tax Cost Comparison Below is a 2019 comparison of monthly city property taxes paid on a median valued home with twelve similar sized com- munities in the metro area. Using the median home value in each community,we compared the property tax cost per month for each city. 2019 City Property Taxes per Household per Month `Tax Rate Median Valued Home Edina 127.438% $530,650 A ,$1 21 Eden Prairie 31.710% $396,200 $107 I Minnetonka .34.618% $359,800 $107 Brooklyn Park 52.734% $228,600 V $ 6 i Maple Grove 134.620% $321,500 F $90 Woodbury 33.243% $322,600 $89 i Burnsville 44.337% $254,800 + $89 Lakeville 35.755% $307,400 t $89 1 * Apple Valley 39.625% $259,500 $85 1 Eagan 35.114% $287,900 $84 Plymouth 26.480% $375,000 $83 Bloomington 40.376% $256,900 $82 - 25 50 75 100 125 (%in bar is Final 2019 Tax Capacity Extension Rate) $in bar is the median valued home in that city Source:Hennepin,Dakota and Washington Counties *Apple Valley's tax rate supports road reconstruction projects within the City without the need for special assessments. Other cities routinely levy special assessments against their property owners to support such costs. CITY OF APPLE VALLEY POPULAR ANNUAL FINANCIAL REPORT PAGE 3 2018 2019 General Fund Revenue Property Taxes $ 24,390,777 $ 24,80707,028 The City's General Fund is the largest Governmental fund Special Assessments $ 496 $ 2,562 and also one of the most vital to the City's operation.The Licenses/Permits $ 2,254,309 $ 1,590,903 Intergovernmental $ 881,315 $ 970,415 General Fund is the primary fund that accounts for Charges for Services $ 3,086,720 $ 2,852,593 everyday general expenditures like street and park Other $ 2,016,623 $ 2,378,830 maintenance, police protection, and fire protection while Total General Fund Revenues 532,630,240 $ 32,602,331 Special Licenses/ at the same time supporting the annual street and utility Assessments Permits infrastructure program. Like most funds,the General $2,562 0.0% $1,590,903 4 9% Fund relies on the inflow of cash, shown as revenues and Propertyy subsequently the outflow listed as expenditures.The TaxesIntergovernmental primary revenue for the General Fund is property taxes. $24,807,028 $970,415 3.0% 76 7, Intergovernmental revenues include state or county aidses for and grants. For the year end of 2019,the City's revenue vices total was$32,602,331 which was a $27,909 (0.1%) net 2,593 decrease from the previous year.This includes an 8 IL Other .7% increase in property taxes ($416,000),which was offset $2,378,830 7 3% by a decrease in licenses and permits (-$663,000). General Fund Expenditures The City's total General Fund expenditures for 2019 were $29,553,363 which was$653,137 (2.2%) under the final 2019 budget. Overall, General Fund expenditures increased $853,517 (3.0%) primarily in the public works area.The chart below highlights the amount funded to each of the City's functions. Parks and General 2018 2019 Recreation Government General Government $ 5,533,975 $ 5,606,704 $5,673,304 $5,606,704 19.2% 19.0% Public Safety $ 13,145,792 $ 13,249,989 Public Works $ 4,503,246 $ 5,023,366 Parks and Recreation $ 5,516,833 $ 5,673,304 Public Total General Fund Expenditures $28,699,846 5 29,553,363 Works i Public $5,023,366 Safety 17.0% _—$13,249,989 4.4.8% City Departments Administration:This department provides the overall direction for the City as determined by the City Council. It is responsible for maintaining City records,issuing licenses,administering Council policies,and overseeing election procedures. Finance:This department conducts the financial affairs of the City of Apple Valley in accordance with the Government Accounting Standards Board (GASB)and Generally Accepted Accounting Principals(GAAP). Planning&Community Development:This department is responsible for ensuring that laws,ordinances,and zoning codes are enforced. It is also responsible for Economic Development within the City. Public Works:This department is responsible for maintaining the City's infrastructure,vehicles,and buildings as well as civil and traffic engineering,inspections,natural resources,and the City cemetery. Parks&Recreation:This department is responsible for providing recreation activities in the City and maintain the City's parks and trails. Public Safety:This department is responsible for maintaining the peace and the protection of the community through diligent enforcement of laws and effective response to calls for service. CITY OF APPLE VALLEY POPULAR ANNUAL FINANCIAL REPORT PAGE 4 r -- Special Revenue Funds Special Revenue Funds are used to • Cable TV—This fund accounts for • Lodging Tax—This fund account for general government the operating costs of the cable administers the resources from financial resources that are TV functions funded by cable the lodging tax process. RESTRICTED by law or contractual franchise fees. *please note that Solid Waste Grant agreement to specific purposes other • EDA Operations—This fund and Police Forfeiture are not than debt service or major capital accounts for the operating recognized in this report, but are projects.The City of Apple Valley has activities of the Apple Valley included in the CAFR. the following Special Revenue Funds: Economic Development Authority. / Long-Term Bonded Debt Apple Valley received a "AAA" rating • Average debt burden with quick Once again the City received the from Standard and Poor's and a "Aaa" principal amortization. Certificate of Achievement for rating from Moody's. These are the Favorably located in the Twin Excellence in Financial Reporting •highest possible ratings you can Cities metropolitan area. awarded by the Government Finance receive. A high bond rating translates Officers Association for the City's into lower future borrowing costs.This In 2019,the City issued new debt to Comprehensive Annual Financial rating is based on the City's: cover the costs of the water meter Report (CAFR). replacement program.The increase • Moderately-sized tax base with from this new debt, offset by paying Although the financial numbers in the recent improvement in its down other debts, contributed to the CAFR come from an audited source, valuation after a trend decline. increase in total net bonded debt to they are presented in this report in a • Sound financial position $22,008,805 and net debt per capita condensed, unaudited, non-GAAP format. characterized by healthy reserves. to $405. Year 2015 2016 2017 2018 2019 Net Bonded Debt per capita General Obligation Bonds 29,669,149 27,900,442 14,191,734 13,158,026 12,049,319 G.O.Revenue Bonds 11,835,425 11,298,255 9,157,288 8,961,592 12,001,014 $600 $537 Special Assessment Bonds 2,637,976 2,298,265 608,554 493,843 374,132 $491 MSA Road Bonds 590,00G - - - - $$°° $400 $380 $405 Liquor Revenue Bonds 1,585,000 1,355,000 1,120,000 - - $400 Total Bonded Debt 46,317,550 42,851,962 25,077,576 22,613,461 24,424,465 $300 Less:Funds on Hand (17,807,062) (17,649,041) (4,152,062) (2,318,259) (2,415,660) Total Net Bonded Debt $28,510,488 $25,202,921 $20,925,514 $20,295,202 $22,008,805 $200 Net Bonded Debt per capita $537 $491 $400 $380 $405 $104 Bond Rating(Moody's) Aaa Aaa Aaa Aaa Aaa 5- Bond Rating(S&P) AAA AAA AAA AAA AAA 2015 2016 2017 2018 2019 I Internal Service Funds Internal service funds are an Benefits/ Vehicle Totals for accounting procedure used to Dental Other Equipment Internal accumulate and allocate costs Insurance Insurance Replacement Service Funds internally among the City's various Operating Revenue 247,565 1,562,009 1,049,407 2.858.98_ functions.The City maintains internal Operating Expenses 202,046 1,813,582 1,021.311 3,037,43= service funds for the following Net Position 147,379 112,195 7,732.03g 7,99",6_3 services: CITY OF APPLE VALLEY POPULAR ANNUAL FINANCIAL REPORT PAGE 5 Capital Projects Funds Road Improvement Fund:This fund accounts for street overlays and reconstruction projects per the City's Pavement Management Plan.The ending balance in this fund for 2019 was negative $3,644,354. Future Capital Projects Fund:This fund accumulates resources directly from the .!!� � General Fund. City Council policy calls for amounts in the General Fund that exceed a maximum level to be moved into the Future Capital Projects Fund. Funds are used to pay for any capital improvement costs needed in the future.The ending fund balance About this Report in this fund for 2019 was $14,860,441. The City of Apple Valley Non-Major Capital Projects Funds:The City has an additional 24, non-major capital reports financial year-end project funds that are used to account for various project-related costs.The net results in the ending fund balance in these funds for 2019 was$13,616,118. Please see the 2019 Comprehensive Annual Financial Report(CAFR). CAFR for further detail The Popular Annual Financial Report(PAFR)is Enterprise Funds an unaudited report that summarizes the most The Enterprise Funds account for the City's utilities (water,sewer,storm drainage, significant data from the and street lights), liquor stores,golf course, sports arena, and cemetery,which are 2019 CAFR,and is all run like businesses in that they rely on fees and charges for revenue to cover consistent with Generally expenditures. Accepted Accounting Principles.The report reflects the net tax cost Utilities: Water, Sewer, Storm Water, & Street Light by service expenditure, developed by crediting related revenues against These funds consist 2019 Enterprise Funds: Utilities appropriate expenditures of utility services and allocating local taxes provided to the against the remaining $12,000,000 community by the balance. City such as water& $1a,aaa,aaa For a complete review of $8,000,000 p sewer, storm the City's financial $6,000,000 drainage, and street $4,a44,4aa position for 2019,consult lighting. Revenues the 2019 CAFR available $2,000,000 from these funds go $. on the City's website at to support Water and Sewer Storm Drainage Street Light CityofAppleValley.org,or from the Finance operations, •Revenue ■Expenses Department at maintenance, and 952-953-2540. improvements of the City's utilities. Water and Sewer Storm Drainage Street Light Revenues $10,992,417 $2,201,629 $561,658 Expenses $9,747,139 $2,215,052 $543,694 Quarterly Cost for Avg Home $123.01 $19.56 $5.70 CITY OF APPLE VALLEY POPULAR ANNUAL FINANCIAL REPORT PAGE 6 Municipal Liquor City Facts The City owns and operates three .7,• Population: 54,400 municipal liquor stores. Profits from your h r.1 purchases stay in the City of Apple Valley .., '.■ . ,,, '°�Y Per Capita $41,673 y : • .t . Personal Income to help aid in providing funding for __ police,fire, and public works vehicles, • High School 94.8% maintaining and improving city parksAiddli Graduation Rate along with other General Fund services. • Unemployment 2.6% •a•r• 2019 Rate a••• Operating Revenue 9,886,580 Apple Cost of Goods Sold 6,935,517 Valley Gross Profit Percentage 29.896 Amenities Liquor y Operating Expenses 1,691,424 Home of the MN Zoo Operating Income 1,259,639 Giving back to the community 51 parks 79 miles of trails Valleywood Golf Course tr Valleywood Golf Course F44- s . Sports Arena .-7. f ;. 2019 Rri • .,;:,..1: - Operating Revenue 898,126 Aquatic Center '` - = . „ :. ^F A 4 . . I Cost of Goods Sold 75,369 enior Center Operating Expenses 1,120,015 Operating Loss (297,258) Community Center hillimiri Valleywood Golf Course features an restaurant, and outdoor patio. History 18 hole, par 71 course along with a Valleywood was recently named MGA large banquet space,full scale bar, Member Club of the Year for 2015. r the general election of 68,the residents voted incorporate the Town Lebanon as the Village The Sports Arena offers tennis lessons during of Apple Valley.A mayor Sports Arena the summer and ice skating during the winter. and four councilmembers Hayes Park Arena offers ice time from mid- were elected and took M June to mid-March and indoor turf time from office on January 1, 1969. " mid March to mid June. On January 1, 1974, w iglv Apple Valley became a 1It 1 a . am '� ;a 2019 statutory city. .,,r 0„ - ;. ,:. . ?; .. Operating Revenue 745,910 Cost of Goods Sold 13,923 — Operating Expenses 740,478 Operating Income (8,491) 6/11/2020 CITY OF APPLE VALLEY AUDIT REPORT YEAR ENDED DECEMBER 31, 2019 James H. Eichten, CPA KR A KR AUDITOR'S ROLE Opinion on Financial Statements Financial statements are fairly presented in accordance with accounting principles generally accepted in the United States of America Testing of Internal Controls and Compliance Internal controls over financial reporting Compliance with laws and regulations related to financial reporting State Laws and Regulations Compliance with Minnesota laws and regulations Single Audit of Federal Awards Not Required for Fiscal 2019 1 6/11/2020 KR AUDIT OPINIONS AND FINDINGS Financial Report Unmodified or Clean Opinion Internal Controls Over Financial Reporting No findings Minnesota Legal Compliance Audit No findings KR TAX RATES Rates Expressed as a Percentage of Net Tax Capacity City of Apple Valley 2017 2018 2019 Average tax rate City 44.5 42.5 39.6 County 28.0 26.6 25.4 School 23.3 25.8 26.2 Special taxing 4.9 3.9 3.8 Total 100.7 98.8 95.0 2 6/11/2020 M KR REVENUE PER CAPITA CERTIFIED PUBLIC; ICCOUNTA NTS Governmental Funds Revenue per Capita With State-Wide Averages by Population Class State-Wide City of Apple Valley Year December 31,2017 December 31,2018 2017 2018 2019 Population 20,000-100,000 20,000-100,000 52,361 53,429 54,400 Property taxes $ 475 $ 493 $ 472 $ 482 $ 482 Tax increments 38 43 7 14 16 Franchise and other taxes 48 50 28 27 27 Special assessments 59 57 30 34 23 Licenses and permits 49 47 62 42 29 Intergovernmental revenues 147 157 38 51 149 Charges for services 103 112 57 58 52 Other _ 48 49 51 99 82 Total revenue $ 967 $ 1,008 $ 745 $ 807 $ 860 V' l(R EXPENDITURES PER CAPITA CERTIFIED PUBLIC k CC O C:N TA N T S Governmental Funds Expenditures per Capita With State-Wide Averages by Population Class State-Wide City of Apple Valley Year December 31,2017 December 31,2018 2017 2018 2019 Population 20,000-100,000 20,000-100,000 52,361 53,429 54,400 Current General government $ 101 $ 104 $ 109 $ 136 $ 127 Public safety 287 294 235 245 244 Street maintenance 101 106 79 96 92 Parks and recreation 99 104 110 107 108 All other 77 78 — —Total current 665 686 533 584 571 Capital outlay and construction 263 307 162 152 234 Debt service Principal 121 109 65 21 22 Interest and fiscal 32 29 18 6 6 Total debt service 153 138 83 27 28 Total expenditures $ 1,081 $ 1,131 $ 778 $ 763 $ 833 3 6/11/2020 M I(R GENERAL FUND FINANCIAL POSITION (:ERTLF1ED PUBLICICCOLINTA NTa General Fund Financial Position Year Ended December 31, $30,000,000 $25,000,000 $20,000,000 $15,000,000 — $10,000,000 — $5,000,000 — 2015 2016 2017 2018 2019 0 Fund Balance $16,092,104 $16,609,454 $17,336,413 $17,640,331 $18,046,107 Cash Balance $14,299,304 $14,202,606 $15,908,162 $16,206,366 $17,098,321 —Expenditures $24,927,799 $23,986,358 $27,274,374 $28,699,846 $29,553,363 MMKR MUNICIPAL LIQUOR FUND CERTIFIED PUBLIC 4CCOi:NTA NTS Municipal Liquor Fund Year Ended December 31, $10,000,000 $9,000,000 $8,000,000 — $7,000,000 — $6,000,000 —$5,000,000 — - $4,000,000 — - - $3,000,000 —$2,000,000 — $1,000,000 — • imm 8- 2015 2016 2017 2018 2019 Sales $8.480.414 $8.738.804 $9,183,272 $9,445,281 $9,886,580 Cost of Sales $6,037,204 $6,171,691 $6,473,275 $6,568,030 $6,935,517 Operating Expenses(Excluding $1,485,163 $1,546,028 $1,609,959 $1,624,533 $1,550,651 Depreciation) Operating income(Loss) $958,047 $1,021,085 $1,100,038 $1,252,718 $1,400,412 (Excluding Depreciation) 4 6/11/2020 MMKR CERTIFIED PUBLIC MUNICIPAL GOLF COURSE FUND ACCOUNTANTS Municipal Golf Course Fund Year Ended December 31, $1,600,000 - $1,400,000 - $1,200,000 - $1,000,000 $800,000 -- $600,000 - LttL $400,000 - $200,000 - $(200;0) ~ IIIII 6(400'000) 2015 2016 2017 2018 2019 =Operating Revenue $1,387,821 $1,354,645 $1,173,102 $862,834 $898,126 lOperatmg Expenses(Excluding $1 298 454 $1,301,452 $1,206.920 $959,456 $908,222 Depreciation) Cost of Goods Sold $256,331 $237,409 $188,557 $75,112 $75,369 (•Depreciation $174,033 $174,171 $183,693 $192,783 6211,793 -Operating Income(Loss) $(76,964) S(184,216) $(222,375) $(162,734) $(85,465) (Excluding Depreciation) MMKR SPORTS ARENA FUND CERTIFIED PUBLIC: .ICCOIINTA NTS Sports Arena Fund Year Ended December 31, $800,000 $700,000 - $600,000 - $500,000 - $400,000 - $300,000 - $200,000 - $100.000 - $- 2015 2016 2017 2018 2019 =Sales and User Fees S722,270 $783,089 $732,919 $789,516 $745,910 Operating Expenses(Excluding $606 977 $618 747 $659,107 $646,386 $604,611 Depreciation) �Nanoperating Revenue(Expense) $121,419 $123,022 $127,945 $123,698 $125,359 Depreciation $163,439 $151,851 $145,415 $135,44I 6149,79066,658 -Income(Loss)(Excluding $236,712 $287,364 $201,757 $266,628 S2 Depreciation) 5 6/11/2020 MMKR CERTIFIED PUBLIC WATER AND SEWER FUND ACCOUNTANTS Water and Sewer Fund Year Ended December 31, $11,000,000 $10,000,000 $9,000,000 $8,000,000 — $7,000,000 — 06,000,000 $5,000,000 $4,000,000 $3,000,000 $2,000,000 — $1,000,000 — $- 2015 2016 2017 2018 2019 =Operating Revenue $8,988,411 $9,450,362 $9,910,773 $10,352,835 $10,577,669 Operating ExpenSes(Excluding $6,102,574 $6,401,847 $7,016,546 $6,682,832 $7,075,065 Depreciation) Depreciation $1,847,507 $2,729,115 $2,768,547 $2,357,710 $2,426,053 —Operating Income(Loss) $2,885,837 $3,048,515 $2,894,227 $3,670,003 $3,502,604 (Excluding Depreciation) MMKR CERTIFIED PUBLIC STORM DRAINAGE FUND [: ACCOUNTANTS NTS Storm Drainage Fund Year Ended December 31, $2,200,000 $2,000,000 $1,800,000 $1,600,000 — $1,400,000 — $1,200,000 — $1,000,000 — $800,000 —$600,000 — $400,000 —$200,000 — 2015 2016 2017 2018 2019 =Operating Revenue $1,629,361 $1,717,350 $1,769,842 $1,901,319 $2,113,725 Operating Expenses $840,901 $823,837 $1,121,262 $974.319 $1.114,326 (Excluding Depreciation) Depreciation $535,769 $575,256 $995,490 $1,024,022 $1,066,399 —Operating Income(Loss) $788 460 $893,513 $648,580 S927,000 $999,399 (Excluding Depreciation) 6 6/11/2020 V KR STREET LIGHT FUND CERTIF•1£D PCIRLIC NCC171;NTA N TN Street Light Utility Fund Year Ended December 31. $600,000 $500,000 $400,000 $300,000 $200,000 $100,000 Till 2015 2016 2017 2018 2019 =Operating Revenue $483,680 $500,877 $507,360 $522,977 $555,175 Operating Expenses $446,644 $437,439 $483,752 $485,356 $543,694 -Operating Income(Loss) $37,036 $63,438 $23,608 $37,621 $11,481 KR [:ERTIFI£D P[1BlI[ SUMMARY NCCOI:NTA N1 ' Clean Opinion on Financial Statements ■ No Findings Reported ■ Certificate of Achievement in Financial Reporting Overall Improving Financial Condition in City's General Fund Discussion on Enterprise Fund Financial Results Continued Ongoing Assessment of Financial Projections and Results Including General, Other Operational and Enterprise Fund Activities •••• ITEM: 3. ..... •5• Appleil COUNCIL MEETING DATE: June 11, 2020 Valley SECTI ON: Informal Agenda Item Description: Presentation on Police Department Policies and Training Standards (35 min.) Staff Contact: Department/ Division: Tom Lawell, City Administrator Administration Department ACTION REQUESTED: Receive an update on Police Department Policies and Training Standards. SUMMARY: At our upcoming informal meeting, Chief Jon Rechtzigel and Captain Nick Francis will be prepared to present information on the Apple Valley Police Department (AVPD) policies and training standards which are used to ensure that our department maintains the highest standards in serving our citizens. BACKGROUND: The tragic death of George Floyd at the hands of the Minneapolis Police Department has prompted many police departments, including Apple Valley, to review their use of force policies and departmental training standards. The AVPD is very progressive in this regard and has always endeavored to serve our citizens with honor and respect. Their policies and training standards are updated regularly. They work hard to maintain and strengthen their relationships in the community with equity and inclusion as their cornerstones. The men and women of the AVPD serve our community well and we thank them for their tireless service. BUDGET IMPACT: N/A •••• ITEM: 4.A. ..... •5• Appleil COUNCIL MEETING DATE: June 11, 2020 Valley SECTION: Consent Agenda Description: Approve Minutes of May 28, 2020, Regular Meeting Staff Contact: Department/ Division: Pamela J. Gackstetter, City Clerk City Clerk's Office ACTION REQUESTED: Approve the minutes of the regular meeting of May 28, 2020. SUMMARY: The minutes from the last regular City Council meeting are attached for your review and approval. BACKGROUND: State statute requires the creation and preservation of meeting minutes which document the official actions and proceedings of public governing bodies. BUDGET IMPACT: N/A ATTACHMENTS: Minutes CITY OF APPLE VALLEY Dakota County, Minnesota May 28, 2020 Minutes of the regular meeting of the City Council of Apple Valley, Dakota County, Minnesota, held May 28, 2020, at 7:00 o'clock p.m. PRESENT: Mayor Hamann-Roland*; Councilmembers Bergman*, Goodwin*, Grendahl*, and Hooppaw*. ABSENT: None. * Present via remote technology City staff members attending virtual meeting: City Administrator Lawell, City Clerk Gackstetter, City Attorney Hills, City Engineer Anderson, IT Manager Bang, Acting Parks and Recreation Director Endres, Assistant City Administrator Grawe, Human Resources Manager Haas, Finance Director Hedberg, Community Development Director Nordquist, Police Chief Rechtzigel, Fire Chief Russell, and Public Works Director Saam. Mayor Hamann-Roland called the meeting to order at 7:00 p.m. Everyone took part in the Pledge of Allegiance to the flag. APPROVAL OF AGENDA MOTION: of Bergman, seconded by Grendahl, approving the agenda for tonight's meeting, as presented. Roll call vote: Ayes - 5 -Nays - 0. AUDIENCE Mayor Hamann-Roland asked if anyone was present to address the Council, at this time, on any item not on this meeting's agenda. No one requested to speak. CONSENT AGENDA Mayor Hamann-Roland asked if the Council or anyone in the audience wished to pull any item from the consent agenda. There were no requests. MOTION: of Grendahl, seconded by Hooppaw, approving all items on the consent agenda with no exceptions. Roll call vote: Ayes - 5 -Nays - 0. CONSENT AGENDA ITEMS MOTION: of Grendahl, seconded by Hooppaw, approving the minutes of the regular meeting of May 14, 2020, as written. Roll call vote: Ayes - 5 -Nays - 0. MOTION: of Grendahl, seconded by Hooppaw, approving a grant agreement with Dakota County Environmental Resources for Long and Farquar Lakes invasive species control, in the amount of$7,050.00, as attached to the Water Resources Specialist's CITY OF APPLE VALLEY Dakota County, Minnesota May 28, 2020 Page 2 memo, and authorizing the Mayor and City Clerk to sign the same. Roll call vote: Ayes - 5 -Nays - 0. MOTION: of Grendahl, seconded by Hooppaw, approving release of financial guarantees for Cobblestone Lake South Shore 9th Addition, as listed in the Planning Department Assistant's memo. Roll call vote: Ayes - 5 -Nays - 0. MOTION: of Grendahl, seconded by Hooppaw, approving the License Agreement with St. Paul Growers Association, Inc., for a Farmers Market in the Municipal Center parking lot on Saturdays from June 6 through October 31, 2020, from 6:30 a.m. to 2:00 p.m., and authorizing the Mayor and City Clerk to sign the same. Roll call vote: Ayes - 5 -Nays - 0. MOTION: of Grendahl, seconded by Hooppaw, approving the Agreement for 2020-2033 Municipal Center, CMF, and WTP Cleaning Services, with Universal Cleaning Services, Inc., in the amount of$35,220, and authorizing the Mayor and City Clerk to sign the same. Roll call vote: Ayes - 5 -Nays - 0. MOTION: of Grendahl, seconded by Hooppaw, approving the Agreement for Project 2020- 124, 2020 Fence & Light Pole Reconditioning Services, with Budget Sandblasting & Painting, Inc., in the amount of$55,321.68, and authorizing the Mayor and City Clerk to sign the same. Roll call vote: Ayes - 5 -Nays - 0. MOTION: of Grendahl, seconded by Hooppaw, approving the Agreement for Project 2020- 140, 2020 Sump Catch Basin Cleaning, with Sewer Septic Grease Services, in the amount of$68,676.00, and authorizing the Mayor and City Clerk to sign the same. Roll call vote: Ayes - 5 -Nays - 0. MOTION: of Grendahl, seconded by Hooppaw, approving the personnel actions as listed in the Personnel Report dated May 28, 2020. Roll call vote: Ayes - 5 -Nays - 0. MOTION: of Grendahl, seconded by Hooppaw, to pay the claims and bills, check registers dated May 6, 2020, in the amount of$607,031.69; and May 12, 2020, in the amount of$1,014,368.98. Roll call vote: Ayes - 5 -Nays - 0. MOTION: of Grendahl, seconded by Hooppaw, adopting Resolution No. 2020-61 approving temporarily waiving the fee to amend the described license premises of an On-Sale alcohol establishment. Roll call vote: Ayes - 5 -Nays - 0. END OF CONSENT AGENDA PROCLAIM"APPLE VALLEY COMMUNITY HIGH SCHOOL CLASS OF 2020 DAY" Mayor Hamann-Roland introduced this item and read the proclamation proclaiming June 6, 2020, as "Apple Valley Community High School Class of 2020 Day". CITY OF APPLE VALLEY Dakota County, Minnesota May 28, 2020 Page 3 MOTION: of Grendahl, seconded by Bergman, proclaiming June 6, 2020, as "Apple Valley Community High School Class of 2020 Day" and urging residents to support graduating seniors and to recognize them for their hard work, perseverance, and sacrifice during this emergency. Roll call vote: Ayes - 5 -Nays - 0. 2020 SPECIAL ASSESSMENT ROLL 666 Mr. Hedberg described the process used for assessing the delinquent charges. He then described Assessment Roll No. 666, totaling $115,688.22, for delinquent utility accounts. The assessment represents 429 utility billing accounts. Prepayments continue to be received, but no written objections have been received. He noted the hearing notice was published according to law and confirmed receipt of the Affidavit of Publication. Mayor Hamann-Roland called the public hearing to order, at 7:15 p.m., on Special Assessment Roll No. 666. The Mayor asked for questions or comments from the Council and the audience. There were none and the hearing was declared closed at 7:16 p.m. MOTION: of Grendahl, seconded by Hooppaw, adopting Resolution No. 2020-62 approving and levying 2020 Special Assessment Roll No. 666, delinquent utility accounts, in the original amount of$115,688.22, minus any prepayments. Roll call vote: Ayes - 5 -Nays - 0. 2020 SPECIAL ASSESSMENT ROLL 668 Mr. Hedberg described Assessment Roll No. 668, totaling $1,288.00, for delinquent false alarms charges. There have been no prepayments and no written objections have been received. He noted the hearing notice was published according to law and confirmed receipt of the Affidavit of Publication. Mayor Hamann-Roland called the public hearing to order, at 7:19 p.m., on Special Assessment Roll No. 668. The Mayor asked for questions or comments from the Council and the audience. There were none and the hearing was declared closed at 7:20 p.m. MOTION: of Hooppaw, seconded by Grendahl, adopting Resolution No. 2020-63 approving and levying 2020 Special Assessment Roll No. 668, for delinquent false alarms, in the amount of$1,288.00, minus any prepayments. Roll call vote: Ayes - 5 -Nays - 0. TEMPORARY ON-SALE LIQUOR LICENSE PREMISES Ms. Gackstetter said PBAV-Sanders, LLC, d/b/a Panino Brothers, located at 15322 Galaxie Avenue, and LSP Ventures, Inc., d/b/a Rascals Apple Valley Bar& Grill, located at 7721 147th Street W., submitted applications for temporary outdoor dining including a temporary expansion of their liquor licensed premises. If approved, all temporary outdoor dining areas and temporary amendments to licensed premises will expire on November 15, 2020. CITY OF APPLE VALLEY Dakota County, Minnesota May 28, 2020 Page 4 Councilmember Hooppaw commented on the need to be responsive to businesses and suggested a special meeting be called, if necessary, in order to promptly act on similar applications. MOTION: of Hooppaw, seconded by Grendahl, adopting Resolution No. 2020-64 amending the On-Sale Intoxicating Liquor License and Special License for Sunday Liquor Sales issued to PBAV-Sanders, LLC, d/b/a Panino Brothers, at 15322 Galaxie Avenue, Ste. 108,by temporarily amending the licensed premises to include the temporary outside dining area identified in Exhibit A; and adopting Resolution No. 2020-65 amending the On-Sale Intoxicating Liquor License and Special License for Sunday Liquor Sales issued to LSP Ventures, Inc., d/b/a Rascals Apple Valley Bar& Grill, at 7721 147th Street W., by temporarily amending the licensed premises to include the temporary outside dining area identified in Exhibit A. Roll call vote: Ayes - 5 -Nays - 0. COMMUNICATIONS Mr. Nordquist commented on the Farmers Market at the Municipal Center which will be open for business on Saturdays from June 6, 2020, through October 31, 2020, from 8:00 a.m. to 1:00 p.m. Mr. Nordquist then updated the Council on food trucks. Council discussion followed. Councilmember Grendahl asked what other cities are doing and if the Chamber of Commerce has input. She then asked staff to conduct additional research on the issue. CALENDAR OF UPCOMING EVENTS MOTION: of Bergman, seconded by Hooppaw, approving the calendar of upcoming events as included in the Deputy City Clerk's memo, and noting that each event listed is hereby deemed a Special Meeting of the City Council. Roll call vote: Ayes - 5 - Nays - 0. MOTION: of Hooppaw, seconded by Bergman, to adjourn. Roll call vote: Ayes - 5 -Nays - 0. The meeting was adjourned at 7:46 o'clock p.m. Respectfully Submitted, /s/Pamela J. Gackstetter Pamela J. Gackstetter, City Clerk Approved by the Apple Valley City Council on Mary Hamann-Roland, Mayor •••• ITEM: 4.B. ..... •5• Apple COUNCIL MEETING DATE: June 11, 2020 Valley SECTION: Consent Agenda Description: Approve 2021 Budget Calendar and Set Special Informal Meeting on August 27, 2020, at 5:30 p.m. Staff Contact: 'Department/ Division: Ron Hedberg, Finance Director Finance Department ACTION REQUESTED: Approve the 2021 Budget Calendar and set August 27, 2020, at 5:30 p.m. as a special informal meeting of the City Council. SUMMARY: The City Council is asked to approve the Budget Calendar, included below, which includes an informal work session for the City Council to review the budget recommendations on August 27, 2020. The action also establishes August 27, 2020, as a special informal meeting. BACKGROUND: The date for adopting the preliminary budget and levy is set for September 10, 2020. By state law, the levy is required to be adopted by the City Council and certified to the county auditor by September 30, 2020. The date for the Truth in Taxation meeting and the date for adoption will be formally set at the time the preliminary levy is approved in September. The past few years, the Truth in Taxation meeting has been held on the date of the first City Council meeting in December which for this year is December 10, 2020. 2021 BUDGET CALENDAR 1. Budget worksheets distributed to Departments May 17, 2020 2. Worksheets returned to Finance June 15, 2020 3. Budget summaries and worksheets to Administrator June 29, 2020 4. Budget review meeting with Administrator July 8 to 15, 2020 5. Budget delivered to City Council August 13, 2020 6. Informal Council meeting to review Budget August 27, 2020 7. Proposed Budget and Tax Levy Adopted September 10, 2020 8. Certify proposed budget and tax levy to County by September 30, 2020 9. County required prepare and mail notice of Tax Levy and Public Hearing November, 2020 10. Conduct Public hearing (former Truth in Taxation) December 10, 2020 11. Adopt Final Budget and Tax Levy December 10, 2020 12. Certify Final Tax Levy to County by December 31, 2020 BUDGET IMPACT: N/A • ITEM: 4.C. ..... .... Apple COUNCIL MEETING DATE: June 11, 2020 Valley SECTION: Consent Agenda Description: Adopt Resolution Establishing Precinct Boundaries and Polling Places for 2020 Elections Staff Contact: Department/ Division: Pamela J. Gackstetter, City Clerk City Clerk's Office ACTION REQUESTED: Adopt the resolution establishing the precinct boundaries and polling places for the Primary and General Elections. SUMMARY: State law requires cities to designate its precinct polling places by December 31 of each year and not less than 90 days prior to an election if a new polling place is designated. However, due to the COVID-19 Pandemic, the law was amended with special procedures for 2020, which allow cities to designate polling places after the deadline, but no later than July 1, 2020. Attached is a resolution establishing the precinct boundaries and polling places for the State Primary and State General Elections. Although there are no proposed changes to the precinct boundaries, there is one proposed change to the polling locations since the 2020 Presidential Nomination Primary. The change is as follows: • Precinct 6 will now vote at the Education Partnership Building, 14200 Cedar Avenue, instead of Augustana Care Health and Rehabilitation of Apple Valley The location change is being made due to safety concerns from COVID-19 and Augustana's vulnerable population as a senior health care facility. BACKGROUND: Minn. Stat. 204B.14, Subd. 4, states that any change in precinct boundary must be adopted no later than December 1 in the year prior to the year of a State General Election. Minn. Stat. 204B.16, Subd. 1, states that by December 31 of each year, the governing body of each municipality must designate by ordinance or resolution a polling place for each election precinct. The polling places designated in the ordinance or resolution are the polling places for the following year. Minn. Stat. 204B.16, Subd. 3, states that no designation of a new or different polling place shall become effective less than 90 days prior to an election. H.F. 3429, Subd.1, states the local authority may designate polling places after the deadline required by Minn. Stat. 204B.16, Subd. 1, but no later than July 1, 2020. BUDGET IMPACT: N/A ATTACHMENTS: Resolution CITY OF APPLE VALLEY RESOLUTION NO. 2020- A RESOLUTION ESTABLISHING ELECTION PRECINCT BOUNDARIES AND POLLING PLACES FOR 2020 ELECTIONS BE IT RESOLVED by the City Council of the City of Apple Valley, Dakota County, Minnesota, that upon adoption of this resolution and until subsequent amendment, the following precinct boundaries and polling places are hereby established for the City's election precincts: Precinct No. Polling Place Precinct Boundaries 1 Apple Valley Baptist Church The area bounded by County Road 42 on the 964 Garden View Drive north, to Pennock Lane on the east, to Whitney Drive on the south, to Garden View Drive on the east, to 160th Street W. on the south, to the west City boundary. 2 Apple Valley Senior Center The area bounded by County Road 42 on the north, 14601 Hayes Road to Cedar Avenue on the east, to 160th Street W. on the south, to Garden View Drive on the west, to Whitney Drive on the north, to Pennock Lane on the west. 3 Redwood Community Center The area bounded by 140th Street W. on the north, 311 - 150th Street W. to Garden View Drive on the east, to 143rd Street W. on the north, to Hayes Road on the east, to County Road 42 on the south, to the west City boundary. 4 Apple Valley Community Center The area bounded by 138th Street W. on the north, 14603 Hayes Road to Cedar Avenue to the east, to 145th Street W. on the south, to Pennock Avenue on the east, to County Road 42 on the south, to Hayes Road on the west, to 143rd Street W. on the south, to Garden View Drive on the west, to 140th Street W. on the north, to Pennock Avenue to the west. Precinct No. Polling Place Precinct Boundaries 5A Hope Church The area bounded by the north City boundary, to 7477 - 145th Street W. the boundary between Independent School Districts 191 and 196 on the east, continuing to Garden View Drive on the east, to McAndrews Road on the north, to Havelock Trail on the east, to 134th Street W. on the north, to Guild Avenue on the east, to Harwell Path on the north, to Pennock Avenue on the east, to 138th Street W. on the north, to Pennock Avenue on the east, to 140th Street W. on the south, to the west City boundary. 5B Mount Olivet Assembly of God The area bounded by the north City boundary, to Church Cedar Avenue on the east, to McAndrews Road on 14201 Cedar Avenue the north, to Galaxie Avenue on the east, to Upper 136th Street W. on the south, to Highway 77 Service Road on the east, crossing Cedar Avenue, to 138th Street W. on the south, to Pennock Avenue on the west, to Harwell Path on the south, to Guild Avenue on the west, to134th Street W. on the south, to Havelock Trail on the west, to McAndrews Road on the south, to Garden View Drive on the west, and continuing on the boundary between Independent School Districts 191 and 196 on the west. 6 Education Partnership Building The area bounded by 140th Street W. on the north, 14200 Cedar Avenue to Galaxie Avenue on the east, to 157th Street W. on the south, to Cedar Avenue on the west, to County Road 42 on the south, to Pennock Avenue on the west, to 145th Street W. on the north, to Cedar Avenue on the west. 7 Shepherd of the Valley Lutheran The area bounded by the north City boundary, to Church Johnny Cake Ridge Road on the east, to 132nd 12650 Johnny Cake Ridge Road Street W. on the south, to Galaxie Avenue on the west, to McAndrews Road on the south, to Cedar Avenue on the west. 8 Greenleaf Elementary School The area bounded by 132nd Street W. on the north, 13333 Galaxie Avenue to Johnny Cake Ridge Road on the east, to 140th Street W. on the south, to Cedar Avenue on the west, to Highway 77 Service Road on the west, to Upper 136th Street W. on the north, to Galaxie Avenue on the west. 2 Precinct No. Polling Place Precinct Boundaries 9 Community of Christ Church The area bounded by 131st Street W. on the north, 5990 - 134th Street Court W. to Everest Avenue on the west, to Euclid Avenue on the west, to 128th Street W. on the west, to Diamond Path on the north, to Emmer Place on the east, to 132nd Street W. on the north, to Pilot Knob Road on the west, to Diamond Path on the east, to 140th Street W. on the south, to Johnny Cake Ridge Road on the west. 10 South Suburban Evangelical Free The area bounded by the north City boundary, to Church the east City boundary, to Diamond Path on the 12600 Johnny Cake Ridge Road west, to Pilot Knob Road on the east, to 132nd Street W. on the south, to Emmer Place on the west, to Diamond Path on the south, to 128th Street W. on the east, to Euclid Avenue on the east, to Everest Avenue on the east, to 131st Street W. on the south, to Johnny Cake Ridge Road on the west. 11 ISD 196 District Service Center The area bounded by 140th Street W. on the north, 14301 Diamond Path to Diamond Path on the east, to County Road 42 on the south, to Embry Path on the west, to 144th Street W. on the south, to Pilot Knob Road on the west. 12 Spirit of Life Presbyterian Church The area bounded by 140th Street W. on the north, 14401 Pilot Knob Road to Pilot Knob Road on the east, to 144th Street W. on the north, to Embry Path on the east, to County Road 42 on the south, to Galaxie Avenue on the west. 13 Johnny Cake Activity Center The area bounded by County Road 42 on the 14255 Johnny Cake Ridge Road north, to Diamond Path on the east, to 160th Street W. on the south, to Pilot Knob Road on the west. 14 Apple Valley Municipal Center The area bounded by County Road 42 on the north, 7100 - 147th Street W. to Foliage Avenue on the east, to 158th Street W. on the north, to Flagstaff Avenue on the east, to 160th Street W. on the south, to Cedar Avenue on the west, to 157th Street W. on the north, to Galaxie Avenue on the west. 3 Precinct No. Polling Place Precinct Boundaries 15 River Valley Church The area bounded by County Road 42 on the north, 14898 Energy Way to Pilot Knob Road on the east, to 160th Street W. on the south, to Flagstaff Avenue on the west, to 158th Street W. on the south, to Foliage Avenue on the west. BE IT FURTHER RESOLVED that the City Clerk shall post a copy of this resolution pursuant to M.S. 204B.14, and shall file maps showing the precinct boundaries with the County Treasurer-Auditor, the Secretary of State, and the School Districts, if a precinct boundary has been changed. DATED this 1lth day of June, 2020. Mary Hamann-Roland, Mayor ATTEST: Pamela J. Gackstetter, City Clerk CERTIFICATE I, the undersigned,being the duly qualified and acting City Clerk of the City of Apple Valley, Dakota County, Minnesota, hereby certify that the foregoing is a true and correct copy of a resolution presented to and adopted by the City Council of Apple Valley at a duly authorized meeting thereof held in the City of Apple Valley, Minnesota, on the 11th day of June, 2020, the original of which is in my possession. (SEAL) Pamela J. Gackstetter, City Clerk 4 •••• ITEM: 4.D. ..... •5• Appleil COUNCIL MEETING DATE: June 11, 2020 Valley SECTION: Consent Agenda Description: Adopt Resolution Appointing Judges for August 11, 2020, State Primary Election Staff Contact: Department/ Division: Pamela J. Gackstetter, City Clerk City Clerk's Office ACTION REQUESTED: Adopt the resolution appointing individuals listed in the resolution to serve as judges for the Primary Election to be held on August 11, 2020. SUMMARY: Attached for your consideration is a resolution appointing election judges and election officials for the Primary Election to be held August 11, 2020. The individuals listed in the resolution have indicated their willingness to serve at the upcoming election. In order to serve as a judge, the law requires regular judges to complete a minimum of two hours of training, head election judges to complete a minimum of three hours training, and election judges serving on the Absentee Ballot Board to complete training regarding the handling and processing of absentee ballots. The judge training will be completed over the next two months. BACKGROUND: N/A BUDGET IMPACT: N/A ATTACHMENTS: Resolution CITY OF APPLE VALLEY RESOLUTION NO. 2020- CITY OF APPLE VALLEY JUDGES & OFFICIALS APPOINTED FOR THE 2020 STATE PRIMARY ELECTION PRECINCT 1 Apple Valley Baptist Church - 964 Garden View Drive Kristen Moyer Heidi Crane Vicki Swanson * Gregory Hall * Gwen Torgerson Liz Sullivan Deborah Davis PM Lanae Gabert AM PRECINCT 2 Apple Valley Senior Center- 14601 Hayes Road Sahadat Chaudhury AM Allison Burke Martha Hiltner * Lori Gluck Diedre Jones Linda Tetzlaff Frank Sachs PM * Shannan Menya PRECINCT 3 Redwood Community Center- 311 County Road 42 * Matthew Bellin Sandra Dobossy William Frank Ginger Hamer Cathy Reichert * Debbie Wessman Cristina Sirbu PRECINCT 4 Apple Valley Community Center- 14603 Hayes Road Barbara Johnson AM * Anita Burke Pam Subject Rebecca Fry PM Katherine Weesner PM * Monica Nolte-Reed Linda Senechal Micheal Spear Rosanne Uschold AM PRECINCT 5A Hope Church - 7477 145th Street W. Patricia Koors AM * Cindy Andrus Laura Ochs PM * Ian McGregor Jacelyn Payton Danette Richards Cassie Slinger Thomas Hope PRECINCT 5B Mount Olivet Assembly of God Church - 14201 Cedar Avenue * Karen Brean Jerry Ewing Katherine Heald AM Pamela Keuler PM Rita McCord PM Larry Stanley AM * Kaare Festvog Jan Kukowski Michael Owen William Spychalla PRECINCT 6 Education Partnership Building - 14200 Cedar Avenue Sharon Bassett PM Susan Anderson AM Rachel Baumann * Linda Blake Milca Dominguez de Corral PM Mary Ocel PM Sarah Soucek AM Sue Ellen Olson AM Sheila Schuman * Linda Paseka PRECINCT 7 Shepherd of the Valley Lutheran Church - 12650 Johnny Cake Ridge Road Majel Fletty PM Ronald Caucutt Cliff Habeck PM Michael Champion Sharon Hanson AM * Brian Mahon Gail Sater Marcia Peterson Chuck Tindell AM * Steve Wilson PRECINCT 8 Greenleaf Elementary School - 13333 Galaxie Avenue Cisa Keller PM Russell Conway * Cynthia McDonald * Steve Raines * Marla Rotman Cedric Waterman AM Deborah Gonzalez Judy Storlie PRECINCT 9 Community of Christ Church - 5990 - 134th Street Court Robin Gernandt * Ronald Burke Mark Goldberg AM Frank Elvin Norbert Sletten PM Dale Kariya PM Andrea Tsai * Brian Buechele Thor Reimann AM# PRECINCT 10 South Suburban Evangelical Free Church - 12600 Johnny Cake Ridge Road Dianne Jandt AM Tera Garcia PM * Kelly Kausel Glee Hubbard AM Mary Markes * Mary Anne Lantz Tricia Warns Linda Lichty Mary Mueller PM PRECINCT 11 ISD 196 District Service Center- 14301 Diamond Path Theresa Bachmeier Larry Debelak AM Lynn Filipas Christine Foltz PM * Craig Huber Susan McComber PM Susan Mitlyng AM * Rae Lynn Zuehlke Patricia Gruenhagen PRECINCT 12 Spirit of Life Presbyterian Church - 14401 Pilot Knob Road * Christine Parsons Patricia Gramentz * Charles Quinn Susan Kieffer Stephanie Roser Michael McCawley AM Lynn Schoeberl PM Richard Hanson Debohra Wagner PRECINCT 13 Johnny Cake Activity Center- 14255 Johnny Cake Ridge Road Keith Endreson Jason Christianson * Marcia Nelson David Gugino Debra Wagner * Rhonda Tufte Dennis Hoehne PRECINCT 14 Apple Valley Municipal Center- 7100 147th Street W. Marybeth Brady Jackson PM Russell Davis Kelly Branscomb AM * Donald Hansen Lawrence Czarnecki PM Sharon Nygaard Cami Dirnberger AM * Michael Leick Peter Vogel PM Theresa Wickstrom AM PRECINCT 15 River Valley Church - 14898 Energy Way Shelley Beaumont Katie Jamison AM John Roberson PM Mary Perrault Jaci Staiger * Tracy Scott * Patricia Kriegl * Denotes Co-Head Judge ABSENTEE BALLOT BOARD AND ELECTION OFFICIALS Brandi Aitken Joyetta Hattouni Dorene Perkins Monn Anita Burke Kayla Hechsel Ben Pierson Julie Carlson Suzy Juaire Bersie Kati Rainwater Brenda Clemen Eva Lageson Lisa Reiten Debbie Cordes Mary Anne Lantz Mari Salamanca Penelope Curry Stephanie Marschall Karen Shaw Cami Dirnberger Jenae Marthey Penny Stewart Judy Finger Deb Melton Mary Thelen Pamela Gackstetter Mary Mueller Breanna Vincent Charles Grawe Joan Murphy Casy Weise Melissa Haas Missy Nelson Debbie Wessman ABSENTEE BALLOT BOARD AND ALTERNATES Kelly Beck-O'Sullivan Jennifer Anang Marilyn Boelke Karen Erickson Eric Chermack Michael Fornicoia III AM Wendy Chisholm Olson Jill Hall Dean Davis PM Mark Heruth Jane Glaze Diane Kirby Terry Henschel John Kirby Judy Jackson Ellen Malicki Kerry Johnson PM Lillian McCawley AM Jeffrey Kile Charles Shults Danielle McKay Sharon Tucker PM Mary Jo McKinney Jack Moody Scott Bursing Maren Reimann Jacquelyn Edwards Adrian Schottroff Amarnath Kurpad PM Albert Wabaunsee Margaret Powell-Mack Nathan Labiosa Shalom Sabah BE IT RESOLVED by the City Council of the City of Apple Valley, Dakota County, Minnesota, that the foregoing individuals are hereby appointed as election judges and/or election officials for the State Primary Election to be held on August 11, 2020, in the City of Apple Valley with the understanding that amendments may be necessary to the appointments in order to fill vacancies. BE IT FURTHER RESOLVED that the City Clerk is hereby authorized to make the necessary substitutions. Judges will be paid at the rate of$10.50 per hour and Co-Head Judges at$13.50 per hour for time trained and worked. ADOPTED this 11th day of June, 2020. Mary Hamann-Roland, Mayor ATTEST: Pamela J. Gackstetter, City Clerk • ITEM: 4.E. ..... .... Apple COUNCIL MEETING DATE: June 11, 2020 Valley SECTION: Consent Agenda Description: Receive 2019 Comprehensive Annual Financial Report Staff Contact: Department/ Division: Ron Hedberg, Finance Director Finance Department ACTION REQUESTED: Receive the 2019 Comprehensive Annual Financial Report. SUMMARY: Jim Eichten, Managing Partner, with the City's auditing firm, Malloy Montague Karnowski Radosevich and Co. P.A. (MMKR) will present the 2019 Comprehensive Annual Finance Report and review their Management Report at the informal work session on June 11, 2020. Included with the council packet information are three separate bound documents in addition to one unbound report; the first bound document, and largest, is a copy of the Comprehensive Annual Financial Statements (CAFR), the second is the auditor's Management Report, and the third is Special Purpose Audit Reports including opinions on compliance with Government Auditing Standards and Legal Compliance. In addition to the bound reports also attached is a report titled "Popular Annual Financial Report". The intent of this report is to present data included in the CAFR in an easy to understand format. This report adds to the financial transparency for the city operations. This report, along with the Comprehensive Financial Report will be posted on the City's website Since the documents are large, a good place to start reviewing the CAFR documents would be the Popular Annual Financial Report and in the Transmittal Letter in the CAFR (starting on page iii), the Management Discussion and Analysis letter (starting on page 4) in addition to the Auditor's Management Report starting on page 1 and their financial analysis section beginning on page 7 of that report. Last year was the eighth consecutive year that the City of Apple Valley participated in the Certificate of Achievement for Excellence in Financial Reporting program administered by the Governmental Finance Officers Association (GFOA), the City of Apple Valley was recently awarded the Certificate for the 2018 CAFR. The Popular Annual Financial Report for 2018 received the Award for Outstanding Achievement in Popular Annual Financial Reporting program administrated by the GFOA for the second consecutive year.. Staff believes that the current year's submissions will also meet the requirements to receive the award. The presentation will cover some of the highlights of the year. If the Council has some items that they would like to be sure is covered just let me know prior to the meeting and we will be sure to cover it in the presentation. BACKGROUND: N/A BUDGET IMPACT: No budget impact. ATTACHMENTS: Report Report Report Exhibit Comprehensive Annual Financial Report ' ; X.:sr\ i, 411PP- - 1 r ' . 1 p lic\ ' al r Aipp 41 ___, • r. r I . _ • 4., , lik NT' q! ?it:/. A „Aii, . P . lilt 944 frit . . , ) (e _. -, , % I . A 1141Nr City of :�. .. ... Apple Valley, •••� Minnesota Apple11 II Year Ended: Valley December 31 , 2019 THIS PAGE INTENTIONALLY LEFT BLANK CITY OF APPLE VALLEY DAKOTA COUNTY,MINNESOTA Comprehensive Annual Financial Report for the Year Ended December 31, 2019 Prepared by Finance Department CITY OF APPLE VALLEY 7100 147th Street West Apple Valley,Minnesota 55124 THIS PAGE INTENTIONALLY LEFT BLANK CITY OF APPLE VALLEY DAKOTA COUNTY,MINNESOTA Table of Contents Page INTRODUCTORY SECTION ELECTED OFFICIALS AND ADMINISTRATION ORGANIZATIONAL STRUCTURE ii LETTER OF TRANSMITTAL iii—ix CERTIFICATE OF ACHIEVEMENT FOR EXCELLENCE IN FINANCIAL REPORTING x FINANCIAL SECTION INDEPENDENT AUDITOR'S REPORT 1-3 MANAGEMENT'S DISCUSSION AND ANALYSIS 4-18 BASIC FINANCIAL STATEMENTS Government-Wide Financial Statements Statement of Net Position 19 Statement of Activities 20-21 Fund Financial Statements Governmental Funds Balance Sheet 22-23 Reconciliation of the Balance Sheet to the Statement of Net Position 24 Statement of Revenue, Expenditures, and Changes in Fund Balances 25-26 Reconciliation of the Statement of Revenue,Expenditures, and Changes in Fund Balances to the Statement of Activities 27 Statement of Revenue,Expenditures, and Changes in Fund Balances— General Fund—Budget and Actual 28 Proprietary Funds Statement of Net Position 29-32 Statement of Revenue,Expenses, and Changes in Net Position 33-34 Statement of Cash Flows 35-36 Notes to Basic Financial Statements 37-76 REQUIRED SUPPLEMENTARY INFORMATION PERA—General Employees Retirement Fund Schedule of City's and Nonemployer Proportionate Share of Net Pension Liability 77 Schedule of City Contributions 77 PERA—Public Employees Police and Fire Fund Schedule of City's Proportionate Share of Net Pension Liability 78 Schedule of City Contributions 78 Apple Valley Firefighters' Relief Association Schedule of Changes in the Relief Association's Net Pension Liability and Related Ratios 79 Schedule of City Contributions 80 Other Post-Employment Benefits Plan Schedule of Changes in the City's Total OPEB Liability and Related Ratios 81 Notes to Required Supplementary Information 82-87 CITY OF APPLE VALLEY DAKOTA COUNTY,MINNESOTA Table of Contents(continued) Page SUPPLEMENTARY INFORMATION Combining and Individual Fund Statements and Schedules Nonmajor Governmental Funds Combining Balance Sheet 88 Combining Statement of Revenues,Expenditures, and Changes in Fund Balances 89 Nonmajor Special Revenue Funds 90 Combining Balance Sheet 91-92 Combining Statement of Revenues,Expenditures, and Changes in Fund Balances 93-94 Nonmajor Debt Service Funds 95 Combining Balance Sheet 96-97 Combining Statement of Revenues,Expenditures, and Changes in Fund Balances 98-99 Nonmajor Capital Projects Funds 100-101 Combining Balance Sheet 102-105 Combining Statement of Revenues,Expenditures, and Changes in Fund Balances 106-109 General Fund Schedule of Revenue, Expenditures,and Changes in Fund Balances— Budget and Actual 110-115 Road Improvements Capital Projects Fund Schedule of Revenue, Expenditures,and Changes in Fund Balances— Budget and Actual 116 Future Capital Projects Fund Schedule of Revenue, Expenditures,and Changes in Fund Balances— Budget and Actual 117 Cable TV Special Revenue Fund Schedule of Revenue, Expenditures,and Changes in Fund Balances— Budget and Actual 118 EDA Operations Special Revenue Fund Schedule of Revenue, Expenditures,and Changes in Fund Balances— Budget and Actual 119 Cable Capital Equipment Capital Projects Fund Schedule of Revenue, Expenditures,and Changes in Fund Balances— Budget and Actual 120 Internal Service Funds 121 Combining Statement of Net Position 122 Combining Statement of Revenue,Expenses,and Changes in Net Position 123 Combining Statement of Cash Flows 124 CITY OF APPLE VALLEY DAKOTA COUNTY,MINNESOTA Table of Contents (continued) Page STATISTICAL SECTION Net Position by Component 125-126 Changes in Net Position 127-130 Fund Balances of Governmental Funds 131-132 Changes in Fund Balances of Governmental Funds 133-134 Assessed and Estimated Actual Value of Taxable Property 135-136 Property Tax Capacity Rates 137-138 Principal Property Taxpayers 139 Property Tax Levies and Collections 140-141 Ratios of Outstanding Debt by Type 142-143 Ratios of General Bonded Debt Outstanding 144-145 Direct and Overlapping Governmental Activities Debt 146 Legal Debt Margin Information 147-148 Pledged Revenue Coverage 149-150 Demographic and Economic Statistics 151 Principal Employers 152 Full-Time Equivalent City Government Employees by Function 153-154 Operating Indicators by Function 155-156 Capital Asset Statistics by Function/Program 157-158 THIS PAGE INTENTIONALLY LEFT BLANK INTRODUCTORY SECTION THIS PAGE INTENTIONALLY LEFT BLANK CITY OF APPLE VALLEY DAKOTA COUNTY,MINNESOTA Elected Officials and Administration December 31, 2019 ELECTED OFFICIALS Term Expires Mary Hamann-Roland Mayor December 31, 2022 John Bergman Councilmember December 31,2022 Thomas Goodwin Councilmember December 31, 2020 Ruth Grendahl Councilmember December 31,2020 Clint Hooppaw Councilmember December 31,2022 ADMINISTRATION M. Thomas Lawell City Administrator Pamela Gackstetter City Clerk Ronald Hedberg Finance Director/Treasurer Matt Saam Public Works Director Jon Rechtzigel Police Chief Chuck Russell Fire Chief Bruce Nordquist Community Development Director Barry Bernstein Parks and Recreation Director Cathy Broughten Assistant Finance Director Charles Grawe Assistant City Administrator Melissa Haas Human Resource Manager Brandon Anderson City Engineer Carol Blommel Johnson Public Works Superintendent -i- Organizational Structure City of Apple Valley Citizens Mayor and City Council Economic Planning Development Commission Authority City Attorney(contractual) City Administrator I i I [ • 1 Community Finance [Administration Police Fire 1 Parks& Public Developmentj Recreation Works Planning Accounting Administration Patrol Fire Recreation Street Maintenance Programs Economic Financial Reporting City Clerk/Elections Investigations Fire Inspection Park Maintenance Natural Resources Development Code Enforcement Cash&Investments Information Records Ice Arena Engineering Technology Utility Billing Human Resources Hayes Community& Building Inspections Senior Center Cable TV AV Aquatic Center Utilities Apple Valley Fleet Maintenance Community Center Municipal Liquor Valleywood Golf Cemetery Stores Redwood Pool -11- •••• Telephone (952) 953-2540 ••• Fax (952)953-2515 City of Apple 7100 147th St. W www.ci.apple-valley.mn.us Valley Apple Valley, MN 55124 May 27,2020 To the Honorable Mayor, City Council, and Citizens of the City of Apple Valley: The Comprehensive Annual Financial Report(CAFR) of the City of Apple Valley, Minnesota (the City), for the year ended December 31, 2019, is hereby submitted. The report was prepared in accordance with accounting principles generally accepted in the United States of America as established by the Governmental Accounting Standards Board and meets the requirements of the State Auditor's Office. The report consists of management's representations concerning the finances of the City. Consequently, management assumes full responsibility for the completeness and reliability of all information presented within this report. To provide a reasonable basis for making these representations,management of the City has established internal controls designed to protect the City's assets from loss, theft, or misuse and to provide sufficient information for the preparation of these financial statements in conformity with accounting principles generally accepted in the United States of America. Because the cost of internal controls should not outweigh the benefits, the City's internal controls have been designed to provide reasonable, rather than absolute, assurance that the financial statements will be free from material misstatements. As management, we assert that to the best of our knowledge and belief this CAFR is complete and reliable in all material respects. The City's financial statements have been audited by Malloy, Montague, Karnowski, Radosevich & Co., P.A.,Certified Public Accountants. The goal of the independent audit was to provide reasonable assurance that the financial statements of the City for the year ended December 31, 2019, are free of material misstatement. The independent audit involved examining,on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates used by management;and evaluating the overall financial statement presentation.Based upon the audit, the independent auditor concluded that there was a reasonable basis for rendering an unmodified opinion that the City's financial statements, for the year ended December 31,2019, are fairly presented in conformity with accounting principles generally accepted in the United States of America.The independent auditor's report is presented in the financial section of this report. Management's discussion and analysis(MD&A)immediately follows the independent auditor's report and provides a narrative introduction, overview, and analysis of the basic financial statements. The City's MD&A complements this letter of transmittal and should be read in conjunction with it. -iii- Profile of the City The City was incorporated as a village on January 1, 1969, and incorporated as a city on January 1, 1974. The City is a suburban community located 17 miles south of downtown Minneapolis within Dakota County, and has a convenient location with a comprehensive system of highways — Interstate 35E serves the northwest boundary of the City,while State Highway 77 runs north and south through the City. The City is served by a Bus Rapid Transit service that connects to the light rail system serving Minneapolis and St. Paul. The City is seven miles from the Minneapolis-St. Paul International Airport within the seven-county Twin Cities metropolitan region, has a land area of 17.5 square miles, and serves a community with a current population of 54,400. CITY OF APPLE VALLEY N ir IlLa 'Alm -MI 5 tiir'i'm leffilr II,mip St.Paul .� Minneapolis AL i .._ _Illi ",-, A. iii,....,01All,li. RegliTra �L�,o�-g� _ - 0 nsit—., 01 ie METRO Red Line ■ 1111 AppVaII - AVTS ti Iii t4 0 2.5 5 10 15 20 Miles METRO Red Line - �"'- -- Connection to Central Cities and MSP International Airport -iv- The City operates as a Statutory Plan A City,the Mayor-Council form,under Minnesota law.The governing body, consisting of the Mayor and four councilmembers, is elected at large and on a non-partisan basis. Terms of office are four years, with elections held in each even-numbered year; not more than three councilmembers' terms expire in any one year. The City Council is responsible for, among other things, passing ordinances, adopting the budget, appointing members to various advisory committees and commissions, and hiring the City Administrator and other city employees. The City Administrator is responsible for carrying out the policies,ordinances, and directions of the City Council and for overseeing the day-to-day operations of the City. The City provides its residents and businesses with a full range of municipal services consisting of public safety (police, fire, building inspections), public works, parks and recreation, and general government administration.The City also operates a number of enterprise activities including:water and sanitary sewer, Valleywood Golf Course, three off-sale liquor stores, storm water, street lights, sports arenas, and a cemetery. Sanitary sewage treatment and disposal is operated on a regional basis by the Metropolitan Council Environmental Services (MCES). Refuse collection and disposal are handled on a private basis through contractual arrangements by city residents with private haulers. Further information regarding city services can be obtained from the City's website at www.ci.apple-valley.mn.us. The Apple Valley Economic Development Authority (EDA) is a separate legal entity organized pursuant to Minnesota Statutes, Section 469,and is included as a blended component unit. The EDA is considered a component unit because the governing body is comprised of City Council members and two other members being appointed by the City Council. Also,the EDA is in a relationship of financial benefit or burden with the City. The annual budget serves as the foundation for the City's financial planning and control. The budgetary process is outlined in the notes to basic financial statements. The City applies budgetary controls to ensure compliance with legal provisions of the laws of Minnesota.Budgets are adopted on a basis consistent with accounting principles generally accepted in the United States of America. Annual budgets are adopted for the General Fund in addition to certain special revenue and capital projects funds. Budget to actual comparisons are presented for each governmental fund for which an annual budget has been adopted. Factors Affecting Financial Condition The City is committed to maintaining a strong financial condition, while continuing to provide public services to its residents and businesses.The City's financial position,as reflected in the financial statements presented in the reports, is perhaps best understood when it is considered from the broader perspective of the specific environment within which the City operates. Local Economy The economic conditions remain better for the City, its residents, and its businesses than at the state and national levels.The City's unemployment rate as of December 2019,for example,is 2.6 percent,compared to the state of Minnesota's rate of 3.5 percent and the national unemployment rate of 3.4 percent. Unemployment Rate Dec. 2019 Dec. 2018 Dec. 2017 Dec. 2016 Dec. 2015 City of Apple Valley 2.6% 2.5% 2.5% 3.0% 2.6% Dakota County 2.9% 2.7% 2.7% 3.4% 3.1% State of Minnesota 3.5% 3.2% 3.4% 4.1% 3.7% National 3.4% 3.7% 3.9% 4.5% 5.0% (Source:MN Dept.of Economic Development) -V- Housing Values Home values in the City are continuing a positive AFwiF4rrSbihr;lted Market%Wu'Median Value Hcennteaded trend, reflecting the current strength of the local RwE"ri°I housing market. The assessor's estimated market for 53113'nua -. unag N .g c s29a,�o - residential market values increased on the median srAN° valued home approximately 9.0 percent for 2019. 13p'0 140 Assessor values for 2020 and 2021 continue positives 3°cboe growth,but increases are moderating. pa?.NM P 11),V00 $1�6 143,5 $19u o°a Increase (Decline) in Median Value Home 5.17°,o°a - n I- X 2014 3.5% 2 2 2 2 2 w 2 2015 8.1% 2016 5.0% Tin INYFblr year 2017 2.5% 2018 6.2% 2019 9.0% 2020 6.7% 2021 (Preliminary) 3.2% The population of the City has increased from 585 in 1960 to 49,084 according to the 2010 census and is estimated at 54,400 for 2019.According to the 2010 census,most of the population of the City concentrates in two age groups: 45-54 years and 5-14 years at 17.0 percent and 14.2 percent,respectively. The average age is 32 years and the median household income was $78,028 as reported in the 2010 census. The most recent estimate of the median household income from the American Community Survey is $87,164 for 2019. The City is the home to Uponor and Wings Financial Credit Union. Other major employers in the area include Independent School District(ISD) 196, Target, Walmart,Minnesota Zoo,Augustana Health Care, Cub Foods, Questar Assessments, and Menards. Market Value Growth The City consistently adds new tax base each year. Total Market%Mize In 2019, a total of$136.4 million of market value 67 1.160 was added to the City's tax base and which current g , • , data indicates is continuing. Total market value mrc, I_ increased to $5.6 billion for 2019 resulting from s� — sim i improved market conditions and additionals hapartment construction. Conditions continue to ' , " _ 2 improve for the future with preliminary County rn r i , , , Assessor data for payable 2021 showing a I s.p o 4.9 percent increase to a total city-wide taxable market value of $6.3 billion, of which $65 and =.?de,!Market u4leo.MdMlIf M"FO.NO g $69 million results from new construction for pay —Total Markel Value µi mans.] 2020 and 2021,respectively. -vi- Major Initiatives In 2019,investment continued in the City as new businesses opened and new developments were approved. What follows is a sample of some of the development projects that were reviewed, approved, began construction, or were completed in 2019, as well as some of the long-range planning and economic development initiatives that will help maintain the City's high quality of life. Residential Development Over the past 10 years, single-family construction has averaged 77 units per year,and Reside nilal Building Permits 2019 saw 27 single-family units constructed, 1,000 valued at over $9 million. Recent multi-family construction shows strong activity for 2017 and s'°o 2018,with 1,038 apartment units permitted over sno the two-year period. The taxable value of these recent projects will come on line for taxes 400 - payable in 2020 and into 2021. 2019 saw the completion of a number of multi-family projects,including: Zvago senior condominium, _ which opened, adding 58 owner-occupied units, 2010 2011 2012 2011 2014 2015 2015 2017 20111 2019 multi-family projects permitted in 2018, with ■ratai Residential Units -Multi Family Units construction continuing into 2019 and 2020 include: Nuvelo at Parkside with 175 units, and the Springs at Cobblestone with 196 units. Resid2.ntial Construction i r w&remod ling)Values 45.,4k78.odu While the construction of new single-family 7: properties has dipped in 2019, which resulted , ,005 from the availability of fully developed lots,the x ,e40.003 valuation added by remodeling and renovations .oD is being maintained at a high level, valued at10,600 over $25.7 million. This reflects homeowners' '0 s.aoa,aaacontinued interest in investing in their properties. 2010 201t 2012 2011 201$ 201d 2016 2017 201! 2010 -New Singe Fling,Reildentlal Canstrjetfun Value Commercial Development -HerslaentleI a1reratlanvalue, Commercial and industrial development continued to improve in 2019, with total Commercial-Industrial Construction improvement values, including commercial Value alterations,totaling$45.6 million in 2019. ma,oaa.aoa 60,oao,oao New commercial construction projects included so,000,moa the 255,000 square foot new Menards store,the 401,o00r000 12,000 square foot Apple Valley Crossroads 30,000, 0o building at 147th and Cedar Avenue, and the 2040004000 tenant buildouts at 151 st and Cedar. 10.000,000 2010 2011 2012 2013 2014 2015 2016 2017 2016 2019 a Total Commercial CQnslrUdtlan Value -vii- Upcoming Initiatives include: Mixed-Use Business Campus In 2020,approximately 350 acres of mixed business campus will continue to be master planned,with some mixed uses proposed to begin development in the area currently being actively mined for aggregate. Significant public infrastructure improvements, including roads, trails, ponding, and park improvements, will be part of the plan and coincide with private development. Menards Development Site The 50-acre Menards site is proceeding with the initial construction of a new Menards store, with the following development to include additional mixed business uses (retail, office, and industrial) at County Road 42 and Johnny Cake Ridge Road. Water Meter Replacement Program The City began a water meter replacement program in 2019 and will be finished in 2020. Many water meters in the City have been in service for more than 25 years. The accuracy of water meters tends to diminish as they get older. The City's Capital Improvement Program includes a two (2)year schedule for completing the water meter replacement project and will be funded within the Water Utility Fund. Infrastructure Improvements The City is committed to maintaining its significant investment in the community's infrastructure with the implementation of an aggressive street maintenance program in 2012. In 2019, over $11.9 million was invested to maintain the infrastructure and included the following significant projects: • Reconstruction of streets in the Apple Valley 11th subdivision neighborhoods • Reconstruction of Johnny Cake Ridge Road from CR 42 to McAndrews Road • Reconstruction of the Johnny Cake Ridge Road and 147th intersection • Additional resurfacing of streets throughout the community to preserve their useful lives Long-Term Financial Planning In developing the annual budget,the City follows five core fiscal principles. These include: • Focus on the provision of basic city services and fund their provision as adequate levels. • Estimate anticipated revenues at realistic levels. • Retain adequate reserves to protect against fiscal uncertainty. • Anticipate continued community growth and program capital improvements to serve our growing community. • Demonstrate strong stewardship of existing infrastructure and plan for its repair/replacement in a proactive manner. Each year,the City adopts a five-year Capital Improvement Program(CIP). The CIP is a five-year plan that identifies the City's infrastructure, development objectives, and the allocation of resources for these projects. This CIP provides policy makers and the community with a strategic approach to implementation and administration of improvement projects.The 2019-2022 CIP identifies$127 million of capital projects, along with the associated funding. The five-year CIP also includes 5-year revenue and expenditure projections for the majority of funds identified in the document. One of the larger improvements included in the 2020-2024 CIP includes the continued street and utility reconstruction and reconditioning program,which totals $73 million over the next five years. -viii- Relevant Financial Policies The City utilizes various financial and budget policies to guide the City Council and staff when making financial decisions. These include adoption of a balanced budget,minimizing the reliance on state revenues which have proven to be unpredictable, setting of a 50 percent of subsequent year's budgeted expenditures minimum fund balance level to provide for cash flow purposes, and adoption of a five-year capital improvement plan to provide for capital asset acquisition and replacement. Cash temporarily idle during the year was invested in U.S. government agency obligations, municipal securities,certificates of deposit,and money market instruments.The City's investment policy calls for the investment of public funds in a manner that will provide the highest investment return with minimum risk, while meeting the daily cash flow demands of the City. For investments held at December 31, 2018, the effective duration of the investment portfolio was 1.94 years. For investments held at December 31, 2019, the effective duration of the investment portfolio was 2.16 years. The City's average return on investments in 2019 was 4.01 percent. Awards and Acknowledgements The Government Finance Officers Association(GFOA) of the United States and Canada awarded the City a Certificate of Achievement for Excellence in Financial Reporting to the City for its CAFR for the fiscal year ended December 31, 2018. This is the eighth year that the City achieved this prestigious award. In order to be awarded a Certificate of Achievement, a government must publish an easily readable and efficiently organized CAFR. This report must satisfy both generally accepted accounting principles and applicable legal requirements. A Certificate of Achievement is valid for a period of one year only. We believe that our current CAFR continues to meet the Certificate of Achievement Program's requirements and we are submitting it to the GFOA to determine its eligibility for another certificate. The preparation of this report could not occur without the efficient and dedicated service of the entire finance department staff throughout the reporting year. We would like to express our appreciation to all members of the department who assisted and contributed to the preparation of this report. We would like to thank the City Council for its commitment in planning and implementing the financial operations of the City in a fiscally prudent and progressive manner. Respectfully Submitted, CITY OF APPLE VALLEY,MINNESOTA fl°*c.'-'6571444V--..— Ronald Hedberg Finance Director -ix- Government Finance Officers Association Certificate of Achievement for Excellence in Financial Reporting Presented to City of Apple Valley Minnesota For its Comprehensive Annual Financial Report for the Fiscal Year Ended December 31, 2018 aeuister,14. 2,4014La Executive Director/CEO -x- FINANCIAL SECTION THIS PAGE INTENTIONALLY LEFT BLANK PRINCIPALS Thomas A.Karnowski,CPA Paul A.Radosevich,CPA William J.Lauer,CPA M KR P ■ James H.Eichten,CPA CERTIFIED PUBLIC Aaron J.Nielsen,CPA ACCOUNTANTS Victoria L.Holinka,CPA/CMA Jaclyn M.Huegel,CPA Kalen T.Karnowski,CPA INDEPENDENT AUDITOR'S REPORT To the City Council and Management City of Apple Valley,Minnesota REPORT ON THE FINANCIAL STATEMENTS We have audited the accompanying financial statements of the governmental activities, the business-type activities, each major fund, and the aggregate remaining fund information of the City of Apple Valley, Minnesota (the City) as of and for the year ended December 31, 2019, and the related notes to the financial statements, which collectively comprise the City's basic financial statements as listed in the table of contents. MANAGEMENT'S RESPONSIBILITY FOR THE FINANCIAL STATEMENTS Management is responsible for the preparation and fair presentation of these financial statements in accordance with accounting principles generally accepted in the United States of America; this includes the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error. AUDITOR'S RESPONSIBILITY Our responsibility is to express opinions on these financial statements based on our audit. We conducted our audit in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement. An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor's judgment, including the assessment of the risks of material misstatement of the financial statements,whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the City's preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the City's internal control. Accordingly, we express no such opinion. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinions. (continued) -1- Malloy, Montague, Karnowski, Radosevich & Co., P.A. 5353 Wayzata Boulevard • Suite 410 • Minneapolis, MN 55416 • Phone: 952-545-0424 • Fax: 952-545-0569 • www.mmkr.com OPINIONS In our opinion, the financial statements referred to on the previous page present fairly, in all material respects, the respective financial position of the governmental activities,the business-type activities, each major fund, and the aggregate remaining fund information of the City as of December 31, 2019, and the respective changes in financial position and, where applicable, cash flows thereof, and the budgetary comparison for the General Fund for the year then ended, in accordance with accounting principles generally accepted in the United States of America. OTHER MATTERS Required Supplementary Information Accounting principles generally accepted in the United States of America require that the management's discussion and analysis and the required supplementary information (RSI), as listed in the table of contents,be presented to supplement the basic financial statements. Such information, although not a part of the basic financial statements, is required by the Governmental Accounting Standards Board, who considers it to be an essential part of financial reporting for placing the basic financial statements in an appropriate operational, economic, or historical context. We have applied certain limited procedures to the RSI in accordance with auditing standards generally accepted in the United States of America, which consisted of inquiries of management about the methods of preparing the information and comparing the information for consistency with management's responses to our inquiries,the basic financial statements, and other knowledge we obtained during our audit of the basic financial statements. We do not express an opinion or provide any assurance on the information because the limited procedures do not provide us with sufficient evidence to express an opinion or provide any assurance. Other Information Our audit was conducted for the purpose of forming opinions on the financial statements that collectively comprise the City's basic financial statements. The introductory section, supplementary information, and statistical section, as listed in the table of contents, are presented for purposes of additional analysis and are not required parts of the basic financial statements. The supplementary information is the responsibility of management and was derived from and relates directly to the underlying accounting and other records used to prepare the basic financial statements. Such information has been subjected to the auditing procedures applied in the audit of the basic financial statements and certain additional procedures, including comparing and reconciling such information directly to the underlying accounting and other records used to prepare the basic financial statements or to the basic financial statements themselves, and other additional procedures in accordance with auditing standards generally accepted in the United States of America. In our opinion, the supplementary information is fairly stated,in all material respects, in relation to the basic financial statements as a whole. The introductory and statistical sections have not been subjected to the auditing procedures applied in the audit of the basic financial statements and, accordingly, we do not express an opinion or provide any assurance on them. (continued) -2- OTHER REPORTING REQUIRED BY GOVERNMENT AUDITING STANDARDS In accordance with Government Auditing Standards, we have also issued our report dated May 27, 2020 on our consideration of the City's internal control over financial reporting and on our tests of its compliance with certain provisions of laws, regulations, contracts, grant agreements, and other matters. The purpose of that report is solely to describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on the effectiveness of the City's internal control over financial reporting or on compliance. That report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the City's internal control over financial reporting and compliance. Minneapolis,Minnesota May 27,2020 -3- THIS PAGE INTENTIONALLY LEFT BLANK CITY OF APPLE VALLEY Management's Discussion and Analysis Year Ended December 31, 2019 As management of the City of Apple Valley,Minnesota(the City),we have provided readers of the City's financial statements with this narrative overview and analysis of the financial activities of the City for the fiscal year ended December 31,2019. We encourage readers to consider the information presented here in conjunction with additional information that we have furnished in our letter of transmittal, located earlier in this report. FINANCIAL HIGHLIGHTS • The assets and deferred outflows of resources of the City exceeded its liabilities and deferred inflows of resources at the close of the most recent fiscal year by$255,669,355 (net position). Of this amount, $42,876,901 (unrestricted net position) may be used to meet the City's ongoing obligations to citizens and creditors; $16,776,842 is restricted for specific purposes(restricted net position); and $196,015,612 represents the net investment in capital assets. The City's total net position increased by$14,779,408 during the year ended December 31,2019. • As of the close of the current fiscal year, the City's governmental funds reported combined ending fund balances of$57,813,163, an increase of$3,297,262. • At the end of the current fiscal year, unassigned fund balance for the General Fund was $17,391,762, or 49.1 percent, of total General Fund expenditures based on 2020 budgeted expenditure levels, including transfers. • The City's long-term debt increased by $1,890,452, or 7.2 percent, during the current fiscal year. The increase is primarily attributable to the Water Revenue Note issued during 2019 for $3,620,059. This increase was offset by payments on the City's outstanding debt obligations per the agreed upon schedules. Please see further details of long-term debt in Note 5 of the notes to basic financial statements. OVERVIEW OF THE FINANCIAL STATEMENTS This discussion and analysis is intended to serve as an introduction to the City's basic financial statements. The City's basic financial statements include three components: 1)government-wide financial statements, 2) fund financial statements, and 3) notes to basic financial statements. This report also contains other supplementary information in addition to the basic financial statements. Government-Wide Financial Statements — The government-wide financial statements are designed to provide readers with a broad overview of the City's finances, in a manner similar to a private sector business. The Statement of Net Position presents information on all of the City's assets, liabilities, and deferred inflows/outflows of resources with the difference reported as net position. Over time, increases or decreases in net position may serve as a useful indicator of whether the financial position of the City is improving or deteriorating. -4- The Statement of Activities presents information showing how the City's net position changed during the most recent fiscal year. All changes in net position are reported as soon as the underlying event giving rise to the change occurs, regardless of the timing of related cash flows. Thus, revenues and expenses are reported in this statement for some items that will only result in cash flows in future fiscal periods (e.g.,uncollected taxes and earned,but unused vacation leave). Both of the government-wide financial statements distinguish functions of the City that are principally supported by property taxes and intergovernmental revenues (governmental activities) from other functions that are intended to recover all or a significant portion of their costs through user fees and charges (business-type activities). The governmental activities of the City include general government, public safety, public works, and parks and recreation. The business-type activities of the City include municipal liquor, municipal golf course, sports arena, water and sewer, storm drainage, cemetery, and street light utility. The government-wide financial statements not only include the City itself (known as the primary government), but also the Apple Valley Economic Development Authority (EDA). The EDA is legally separate and is reported as if it were part of the primary government because it provides services exclusively for the City. The EDA is reported as the Economic Development Debt Service Fund and the EDA Operations Special Revenue Fund. Fund Financial Statements — A fund is a grouping of related accounts that is used to maintain control over resources that have been segregated for specific activities or objectives. The City, like other state and local governments,uses fund accounting to ensure and demonstrate compliance with finance-related legal requirements. All of the funds of the City can be divided into two categories: governmental funds and proprietary funds. Governmental Funds — Governmental funds are used to account for essentially the same functions reported as governmental activities in the government-wide financial statements. However, unlike the government-wide financial statements, governmental fund financial statements focus on the near-term inflows and outflows of spendable resources, as well as on balances of spendable resources available at the end of the fiscal year. Such information may be useful in evaluating a government's near-term financing requirements. Because the focus of governmental funds is narrower than that of the government-wide financial statements, it is useful to compare the information presented for governmental funds with similar information presented for governmental activities in the government-wide financial statements. By doing so, readers may better understand the long-term impact of the government's near-term financing decisions. Both the governmental funds Balance Sheet and Statement of Revenue, Expenditures, and Changes in Fund Balances provide a reconciliation to facilitate this comparison between governmental funds and governmental activities. The City maintains several individual governmental funds. Information is presented separately in the governmental funds Balance Sheet and Statement of Revenue, Expenditures, and Changes in Fund Balances for the General Fund, Closed Bond Issues Debt Service Fund, Road Improvements Capital Projects Fund, Construction Projects Capital Projects Fund, and Future Capital Projects—Capital Projects Fund, all of which are considered to be major funds. Data from the other governmental funds are combined into a single, aggregated presentation. Individual fund data for each of these nonmajor governmental funds is provided in the form of combining statements elsewhere in this report. -5- The City adopts an annual appropriated budget for its General Fund,Road Improvements Capital Projects Fund, Future Capital Projects—Capital Projects Fund, Cable TV Special Revenue Fund, EDA Operations Special Revenue Fund, and Cable Capital Equipment Capital Projects Fund. A budgetary comparison statement or schedule has been provided for these funds to demonstrate compliance with this budget. Proprietary Funds — The City maintains two different types of proprietary funds. Enterprise funds are used to report the same functions presented as business-type activities in the government-wide financial statements. The City uses enterprise funds to account for its municipal liquor, municipal golf course, sports arena, water and sewer, storm drainage, cemetery, and street light utility operations. Internal service funds are accounting devices used to accumulate and allocate costs internally among the City's various functions. The City uses internal service funds to account for its dental insurance, benefits/other insurance, and vehicle and equipment replacement. Because these services predominantly benefit governmental rather than business-type functions,they have been included within governmental activities in the government-wide financial statements. Proprietary funds provide the same type of information as the government-wide financial statements, only in more detail. The proprietary fund financial statements provide separate information for the municipal liquor, municipal golf course, sports arena, water and sewer, storm drainage, cemetery, and street light utility operations, all of which are considered to be major funds of the City. Conversely, the internal service funds are combined into a single, aggregated presentation in the proprietary funds financial statements. Individual fund data for the internal service funds is provided in the form of combining statements elsewhere in this report. Notes to Basic Financial Statements — The notes to basic financial statements provide additional information that is essential to a full understanding of the data provided in the government-wide and fund financial statements. Other Information — In addition to the basic financial statements and accompanying notes, this report also presents required supplementary information and the combining and individual fund statements and schedules (presented as supplementary information) referred to earlier in connection with nonmajor governmental funds and internal service funds, which are presented immediately following the basic financial statements. Further, a statistical section has been included as part of the Comprehensive Annual Financial Report (CAFR)to facilitate additional analysis, and is the third and final section of the report. GOVERNMENT-WIDE FINANCIAL ANALYSIS As noted earlier, net position may serve over time as a useful indicator of the City's financial position. In the case of the City, assets and deferred outflows of resources exceeded liabilities and deferred inflows of resources by$255,669,355 at the close of the most recent fiscal year. By far, the largest portion of the City's net position reflects its net investment in capital assets (e.g., land, buildings, machinery, equipment, distribution system, and infrastructure) less any related debt used to acquire those assets that is still outstanding. The City uses these capital assets to provide services to citizens; consequently, these assets are not available for future spending. Although the City's investments in its capital assets are reported net of related debt, it should be noted that the resources needed to repay this debt must be provided from other sources, since the capital assets themselves cannot be used to liquidate these liabilities. -6- The following table provides the City's Summary of Net Position: Table 1 Summary of Net Position as of December 31,2019 and 2018 Governmental Activities Business-Type Activities Totals 2019 2018 2019 2018 2019 2018 Assets Current and other assets $ 75,617,158 $ 69,233,578 $ 17,673,227 $ 18,606,217 $ 93,290,385 $ 87,839,795 Capital assets,net 104,794,302 97,632,258 115,990,889 109,559,262 220,785,191 207,191,520 Total assets $ 180,411,460 $ 166,865,836 $ 133,664,116 $ 128,165,479 $314,075,576 $295,031,315 Deferred outflows of resources Pension plan deferments $ 7,545,697 $ 9,513,664 $ 192,273 $ 493,170 $ 7,737,970 $ 10,006,834 OPEB plan deferments 111,278 98,129 21,256 16,722 132,534 114,851 Total deferred outflows of resources $ 7,656,975 $ 9,611,793 $ 213,529 $ 509,892 $ 7,870,504 $ 10,121,685 Total assets and deferred outflows of resources $188,068,435 $176,477,629 $ 133,877,645 $ 128,675,371 $321,946,080 $305,153,000 Liabilities Other liabilities $ 9,500,516 $ 4,405,081 $ 1,237,276 $ 2,556,160 $ 10,737,792 $ 6,961,241 Noncurrent liabilities 29,177,852 30,136,774 15,210,782 12,353,263 44,388,634 42,490,037 Total liabilities $ 38,678,368 $ 34,541,855 $ 16,448,058 $ 14,909,423 $ 55,126,426 $ 49,451,278 Deferred inflows of resources Pension plan deferments $ 10,589,391 $ 14,136,354 $ 455,348 $ 675,421 $ 11,044,739 $ 14,811,775 OPEB plan deferments 88,629 — 16,931 — 105,560 — Total deferred inflows of resources $ 10,678,020 $ 14,136,354 $ 472,279 $ 675,421 $ 11,150,299 $ 14,811,775 Net position Net investment in capital assets $ 92,370,852 $ 83,980,389 $103,644,760 $ 100,261,931 $ 196,015,612 $ 184,242,320 Restricted 16,776,842 15,352,356 — — 16,776,842 15,352,356 Unrestricted 29,564,353 28,466,675 13,312,548 12,828,596 42,876,901 41,295,271 Total net position $138,712,047 $127,799,420 $ 116,957,308 $ 113,090,527 $255,669,355 $240,889,947 Total liabilities,deferred inflows of resources,and net position $188,068,435 $176,477,629 $ 133,877,645 $ 128,675,371 $321,946,080 $305,153,000 An additional portion of the City's net position represents resources that are subject to external restrictions on how they may be used. The remaining balance of unrestricted net position of$42,876,901 may be used to meet the City's ongoing obligations to citizens and creditors. At the end of the current fiscal year, the City is able to report positive balances in all three categories of net position, both for the City as a whole, as well as for its separate governmental and business-type activities. There was an increase in net position in the governmental activities of$10,912,627, and an increase in business-type activities of $3,866,781, for a net total government-wide increase of $14,779,408 in net position. -7- Both governmental activities and business-type activities experienced changes in deferred outflows of resources, deferred inflows of resources, and long-term liabilities as a result of the City's participation in defined benefit pension plans. The City also experienced an increase in liabilities, due to increased escrow deposits received in the current year for projects and due to the issuance of a water revenue note. The increase in capital assets, net is related to the increased construction activity in the City in the current year. The following table provides a condensed version of the Statement of Activities for the year ended December 31,2019 with comparative amounts for the year ended December 31,2018: Table 2 Change in Net Position for the Years Ended December 31,2019 and 2018 Governmental Activities Business-Type Activities Total 2019 2018 2019 2018 2019 2018 Revenues Program revenues Charges for services $ 7,036,246 $ 8,556,300 $ 25,013,803 $ 24,118,992 $ 32,050,049 $ 32,675,292 Operating grants and contributions 1,400,053 1,985,278 - - 1,400,053 1,985,278 Capital grants and contributions 7,514,679 3,741,660 2,804,912 1,693,236 10,319,591 5,434,896 General revenues Property taxes 27,087,910 26,496,094 121,000 121,000 27,208,910 26,617,094 Other taxes 196,347 150,340 - - 196,347 150,340 Franchise taxes 1,291,703 1,306,360 - - 1,291,703 1,306,360 Grants and contributions not restricted to specific programs 140,114 124,430 - - 140,114 124,430 Other 7,083 10,786 - - 7,083 10,786 Investment earnings 2,113,838 886,459 560,574 268,297 2,674,412 1,154,756 Gain on sale of assets 406,035 - - - 406,035 Total revenues 47,194,008 43,257,707 28,500,289 26,201,525 75,694,297 69,459,232 Expenses General government 7,490,933 7,670,285 - - 7,490,933 7,670,285 Public safety 13,294,656 12,750,741 - - 13,294,656 12,750,741 Public works 9,414,499 9,434,637 - - 9,414,499 9,434,637 Parks and recreation 7,191,984 6,992,203 - - 7,191,984 6,992,203 Interest and fiscal charges 268,829 284,621 - - 268,829 284,621 Municipal liquor - - 8,631,173 8,362,332 8,631,173 8,362,332 Municipal golf course - - 1,218,830 1,238,125 1,218,830 1,238,125 Sports arena - - 756,399 784,343 756,399 784,343 Water and sewer - - 9,746,090 9,203,936 9,746,090 9,203,936 Storm drainage - - 2,217,257 2,035,266 2,217,257 2,035,266 Cemetery - - 140,545 89,069 140,545 89,069 Street light utility - - 543,694 485,356 543,694 485,356 Total expenses 37,660,901 37,132,487 23,253,988 22,198,427 60,914,889 59,330,914 Increase in net position before transfers 9,533,107 6,125,220 5,246,301 4,003,098 14,779,408 10,128,318 Transfers 1,379,520 1,317,600 (1,379,520) (1,317,600) - - Change in net position 10,912,627 7,442,820 3,866,781 2,685,498 14,779,408 10,128,318 Net position-beginning 127,799,420 120,356,600 113,090,527 110,405,029 240,889,947 230,761,629 Netposition-ending $138,712,047 $127,799,420 $116,957,308 $113,090,527 $255,669,355 $240,889,947 Governmental Activities-The City's net position for governmental activities increased by$10,912,627, or 8.5 percent, after $1,379,520 of net transfers from business-type activities. Key elements of this increase are seen in the table above. -8- Revenues increased overall by$3,936,301, or 9.1 percent. This change included: • Increase in capital grants and contributions due to increased Municipal State Aid funding for construction related street projects. • Increase in property taxes due to increases in the general tax levy. • Increase in investment earnings due to improved market performance. • Decrease in charges for services due to reduced development related activities. Expenses increased overall by$528,414, or 1.4 percent. This increase included: • The public safety function increased $543,915 and parks and recreation function increased $199,781. These increases were offset by decreases in the general government function of $179,352,public works function of$20,138, and interest and fiscal charges of$15,792. As seen in the following graph, taxes make up about 60 percent of the total governmental activities revenues for 2019. Charges for services make up about 15 percent of the total, and are followed by grants at 19 percent, and all other at 6 percent of the total. 2019 Revenues by Source—Governmental Activities Other Charges for 6% Services 15% Grants 19% Taxes 60% 2018 Revenues by Source—Governmental Activities Other Charges for 2% Services 20% Taxes Grants 65% 13% -9- 2019 Expenses—Governmental Activities Other Parks and 1% General RecrFepaJtion Guvenunent 19% 2016 Public Works '._Public Safety 25% % 2018 Expenses—Governmental Activities Other 1% General Parks and _ Govenunent Recreatio► 21% 19% Allashrk Public Works 25°3 Public Safety 34% The expenses in the graph above for governmental activities show the amounts spent on different activities for 2019 and 2018. In 2019, public safety makes up 35 percent, public works 25 percent, parks and recreation 19 percent, and general government 20 percent. Other includes debt service interest and fiscal charges in governmental activities and makes up 1 percent. -10- Business-Type Activities—Business-type activities increased the City's total net position by$3,866,781. Key elements of the business-type activities are as follows: • Charges for services for business-type activities include sales for municipal liquor, municipal golf course, and sports arena; and charges for water and sewer, storm drainage, cemetery, and street light utility operations. The following graph shows the relationship between the revenues and expenses for the various activities. • About 79 percent of all business-type activity expenses are from the municipal liquor and water and sewer operations. • Overall,business-type activities generated an increase in net position before capital contributions and transfers of$2,441,389. After considering capital grants and contributions of$2,804,912, net transfers out to governmental activities totaling$1,379,520,net position increased by$3,866,781. Revenues and Expenses—Business-Type Activities $12,000,000 $10,000,000 - $8,000,000 $6,000,000 $4,000,000 $2,000,000 $— u Municipal Municipal Sports Water and Storm Cemetery Street Light Liquor Golf Arena Sewer Drainage Utility Course oRevenues(excluding capital grants) ■Expenses -11- 2019 Revenues by Source—Business-Type Activities Capital Grants and Contributions 10% Other 2°l0 Charges far Services 88% 2018 Revenues by Source—Business-Type Activities Capital Grants and Contributions Other 6°l0 2% ___:: !_.1_ Charges for Services 92% -12- FINANCIAL ANALYSIS OF THE GOVERNMENT'S FUNDS As noted earlier, the City uses fund accounting to ensure and demonstrate compliance with finance-related legal requirements. Governmental Funds — The focus of the City's governmental funds is to provide information on near-term inflows, outflows, and balances of currently available resources. Such information is useful in assessing the City's financing requirements. In particular, unassigned fund balance may serve as a useful measure of a government's net resources available for spending at the end of the fiscal year. As of the end of the current fiscal year, the City's governmental funds reported combined ending fund balances of$57,813,163, an increase of$3,297,262 in comparison with the prior year. The City has five major governmental funds: the General Fund, the Closed Bond Issues Debt Service Fund, the Road Improvements Capital Projects Fund, the Construction Projects Capital Projects Fund, and the Future Capital Projects Capital Projects Fund. General Fund The General Fund is the chief operating fund of the City. At the end of the current fiscal year, total fund balance of the General Fund was $18,046,107. As a measure of the General Fund's liquidity, it may be useful to compare the unassigned fund balance to total fund expenditures. Unassigned fund balance represents 49.1 percent of subsequent year budget expenditures, including transfers. Total fund balance for the City's General Fund increased by $405,776 during 2019. Key factors in this increase are as follows: • The City adopted a balanced budget prior to the start of the current year. • Investment earnings revenues were approximately $314,000 over budget and are an increase of about$274,000 from the prior year, due to improved market performance in the current year. • Charges for services revenues were approximately$503,000 under budget due to engineering fees and recreation charges being less than anticipated. • Expenditures were approximately $653,000 under the 2019 budgeted amounts, due to position vacancies and uncompleted 2019 capital purchases that were carried over into 2020. • The total fund balance increase of $405,776 is after transferring $350,000 out of the General Fund to the Future Capital Projects Capital Projects Fund in accordance with the City's fund balance policy. Closed Bond Issues Fund—Debt Service Fund The Closed Bond Issues Fund accumulates resources remaining from retired debt service funds. The fund balance at the end of 2019 is $9,880,755, which increased $1,217,610 from the prior year. The increase results from the Closed Bond Issues Fund collecting $1,075,443 in special assessment collections in the current year. Road Improvements Fund—Capital Projects Fund The Road Improvements Fund receives transfers from other funds. These resources are used to finance street overlays and reconstruction projects per the City's pavement management plan. The fund balance at the end of 2019 is negative $3,644,354, which is an increase of $1,606,305 from the prior year, and results from the collection of Municipal State Aid in 2019. -13- Construction Projects Fund—Capital Projects Fund The Construction Projects Fund accounts for development projects, the costs of which will be recovered through the development process, including specially assessing the benefiting properties. The fund balance at the end of 2019 is negative$86,886,which is a decrease of$2,159,474 from the prior year. The development project accounted for in this fund in 2019 will be assessed to the developer in 2020. Future Capital Projects Fund—Capital Projects Fund The Future Capital Projects Fund accumulates resources according to the City Council's adopted fund balance policy. This policy calls for amounts in the General Fund that exceed a maximum level to be transferred to the Future Capital Projects Fund. The fund balance at the end of 2019 is $14,860,441, which is an increase of$560,303 from the prior year. A transfer from the General Fund was received in 2019 in the amount of$350,000 in accordance with the fund balance policy in addition to proceeds of $367,440 from the sale of land. Proprietary Funds — The City's proprietary funds provide the same type of information found in the government-wide financial statements, but in more detail. The City has seven enterprise funds and three internal service funds. The seven enterprise funds include: Municipal Liquor Fund, Municipal Golf Course Fund, Sports Arena Fund, Water and Sewer Fund, Storm Drainage Fund, Cemetery Fund, and the Street Light Utility Fund. The total net position of all enterprise funds totals $117,134,059, $103,644,760, of which is capital assets, net of related debt and in total, is an increase of$3,896,472 from the prior year. The total unrestricted net position for all proprietary funds for the year was $13,489,299, an increase of$513,643. Municipal Liquor Fund The net position in the Municipal Liquor Fund increased $674,900 from current year operations. This increase reflects continued positive operations of the City's liquor stores after transferring$660,000 to the General Fund in support of public safety equipment replacements and parks and recreation activities. The increase in the Municipal Liquor Fund current year operations comes from maintaining gross profit margins on increased levels of sales and reductions in salary expense resulting from vacant positions. Municipal Golf Course Fund The Municipal Golf Course Fund operations posted a decrease in net position of$316,654 from current year operations. Sports Arena Fund The Sports Arena Fund posted an increase in net position of$1,204,402. Of this increase, $116,868 is from current year operations, which is after inclusion of an annual $121,000 property tax levy. The remaining increase of$1,087,534 is due to a capital contribution received from the school district for its share of the ice arena capital project in the current year. Water and Sewer Fund The Water and Sewer Fund is the City's largest proprietary fund. Unrestricted net position at the end of the year amounted to $12,988,348, an increase of$1,780,648. Net position increased $1,413,645 in the current year, due to current year operations and $887,887 in capital contributions. Total net investment in capital assets totals $60,291,304, a decrease of$367,003. -14- Storm Drainage Fund The Storm Drainage Fund increased its net position by $816,068, due to current year operations and $829,491 in capital contributions. Cemetery Fund The Cemetery Fund increased its net position by $86,147, which results from additional lot sales during the year. Street Light Utility Fund The Street Light Utility Fund increased its net position by $17,964 in the current year. GENERAL FUND BUDGETARY HIGHLIGHTS The most significant amendment to the 2019 General Fund budget was made to provide for projects that were carried over from 2018 to 2019. During the year,the total revenues were less than the final amended budgetary estimates by$61,629. This can be attributed to charges for services lower than budget by$502,817 due to engineering fees being less than anticipated offset by investment earnings exceeding budget by $314,146 due to improved market performance in the current year. Total actual expenditures were $653,137 less than the budgetary estimates. General Fund budget performance can be attributed to curtailing spending where possible, position vacancies during the year, and conservative budgeting practices. Personal services in the General Fund ended the year about $360,000 under budget. -15- CAPITAL ASSETS AND LONG-TERM DEBT Capital Assets—The City's investment in capital assets for its governmental and business-type activities as of December 31, 2019 amounts to $220,785,191 (net of accumulated depreciation). This investment in capital assets includes land and land improvements, construction in progress, buildings, other improvements, furniture and equipment, and infrastructure. The total increase in the City's investment in capital assets for the current fiscal year was $13,593,671, or approximately 6.6 percent. Total depreciation charged in 2019 was $10,838,477. City of Apple Valley's Capital Assets Table 3 Capital Assets Governmental Activities Business-Type Activities Total 2019 2018 2019 2018 2019 2018 Capital assets Land and land improvements $ 4,581,173 $ 4,581,173 $ 7,023,180 $ 6,873,929 $ 11,604,353 $ 11,455,102 Construction in progress 981,358 3,078,404 4,204,550 4,692,338 5,185,908 7,770,742 Buildings 36,351,346 34,325,350 24,584,999 22,147,457 60,936,345 56,472,807 Other improvements 25,946,121 25,508,085 165,009,162 157,454,172 190,955,283 182,962,257 Furniture and equipment 20,639,761 19,212,389 6,726,273 6,405,434 27,366,034 25,617,823 Infrastructure 126,377,957 114,422,998 — — 126,377,957 114,422,998 Less accumulated depreciation (110,083,414) (103,496,141) (91,557,275) (88,014,068) (201,640,689) (191,510,209) Total capital assets, net of depreciation $ 104,794,302 $ 97,632,258 $ 115,990,889 $ 109,559,262 $ 220,785,191 $ 207,191,520 Major capital asset additions during the current year included the following: • Street and improvement projects totaling approximately $11.9 million, including the following significant reconstruction projects: Johnny Cake Ridge Road, intersection improvements at Johnny Cake Ridge Road/147th Street and Galaxie/140th and the reconstruction project area in the Apple Valley 11th and 12th subdivision area, and Micro Surfacing Street Improvements ($392,000). • A new play feature was added at the Apple Valley Family Aquatic at an approximate cost of $392,000.Various building improvements totaling$2,025,000 were completed,including lighting and energy efficiency projects. • Water, Sanitary and Storm Sewer Utility improvements in new and existing subdivisions completed in conjunction with the 2019 street improvement areas totaling approximately $7,500,000. • Equipment additions totaling around $1,748,000. This includes about $1,313,000 of additions in governmental activities primarily related to vehicle and equipment replacements. It also includes approximately $320,000 of additions in business-type activities primarily related to new turf maintenance equipment at the golf course, and new sanitary sewer Vactor. Additional information on the City's capital assets can be found in Note 4 of the notes to basic financial statements. -16- Long-Term Obligations —At the end of the current fiscal year, the City had total long-term obligations outstanding of$44,388,634. Of this amount, $24,055,000 is backed by the full faith and credit of the City. Of this total, property taxes are the primary source of repayment for the General Obligation Bonds noted below in the amount of $11,830,000. The General Obligation Improvement Bonds in the amount of $360,000 is special assessment debt for which the City is liable in the event of default by the property owners subject to the assessment. The revenue bonds and revenue notes have the full faith and credit backing of the City with enterprise fund revenues being the primary source of repayment, and the capital lease is backed by the revenues of the golf course enterprise fund. City of Apple Valley's Long-Term Obligations Table 4 Outstanding Obligations Governmental Activities Business-Type Activities Total 2019 2018 2019 2018 2019 2018 General obligation bonds $11,830,000 $12,895,000 $ — $ — $11,830,000 $12,895,000 General obligation improvement bonds 360,000 475,000 — — 360,000 475,000 General obligation revenue bonds — — 7,865,000 8,435,000 7,865,000 8,435,000 General obligation revenue notes — — 4,000,000 379,941 4,000,000 379,941 Capital lease — — 345,115 335,739 345,115 335,739 Unamortized premium 233,450 281,869 136,014 146,651 369,464 428,520 Total OPEB liability 1,956,258 1,900,268 373,691 330,379 2,329,949 2,230,647 Net pension liability 11,846,014 11,724,700 1,993,644 2,206,115 13,839,658 13,930,815 Compensated absences 2,952,130 2,859,937 497,318 519,438 3,449,448 3,379,375 Total $29,177,852 $30,136,774 $15,210,782 $12,353,263 $44,388,634 $42,490,037 The City's total bonded debt decreased by $1,750,000 during 2019, which resulted from the scheduled debt payments during the year. The increase in the general obligation revenue notes is due to the City draw down of$3,620,059,principal payments on this revenue note begin in 2020. The City maintains an "Aaa" rating from Moody's and "AAA" from Standard and Poor's on all of its general obligation debt. State statutes limit the amount of general obligation debt a governmental entity may issue to 3 percent of its total market valuation. A complete calculation of the City's legal debt margin can be found in the statistical section of this report. Additional information on the City's long-term debt can be found in Note 5 of the notes to basic financial statements. ECONOMIC FACTORS AND NEXT YEAR'S BUDGETS AND RATES The City's budget, along with the 5-year Capital Improvement Plan, is an important part of the City's public process. The combination of these documents provides the framework that allows the City to address needed maintenance and provide for the growth and demands for service. Through innovation and efficiencies, the City continues to provide quality services that meet or exceed the expectations of our community members. Strong financial stewardship and quality customer service is a hallmark of the City's government and is evidenced by the City's AAA bond rating. -17- Departments successfully managed their expenditures and, as a result, General Fund expenditures were approximately 2.2 percent below the authorized budget. The City experienced a decline in licenses and permits, due to a drop-in multi-family development permit activity. The City will continue to make significant ongoing investments in the Street and Utility Infrastructure Preservation and Reconstruction Program. These factors were considered in preparing the City's budget for the 2020 fiscal year: • Property taxes provide the largest source, approximately 73.0 percent, of the resources needed to support the General Fund activities. Minnesota cities are not subject to levy limits for 2020. • Property values in the City are increasing as they are in other locations. The increase in the median valued residential property for the 2020 budget year will be approximately 6.7 percent, compared to an increase of 9.0 percent for the 2019 budget year. The preliminary county data for 2021 shows a 3.2 percent increase in the median valued home. • The total property tax levy increased 3.9 percent for 2020. • The taxes paid by the median valued home increased for 2020 to $1,073 from $1,018 in 2019, approximately 5.4 percent. • Contract settlements with all of the City's three unions have been reached through 2021. • A 5.0 percent increase in water utility rates was enacted for 2020 to fund the portion of the Street and Utility Infrastructure Preservation Program related to the water utility and the water meter replacement program. Utility rates for the sanitary sewer, storm water, and street light utilities each increased by 5.0, 10.0,and 3.0 percent,respectively for 2020. Economic Impact of the Novel Coronavirus(COVID-19) In the first several months of 2020, the virus, SARS-CoV-2, and the resulting disease, novel coronavirus (COVID-19), spread to the United States, including the areas impacting the City. Currently, the City's evaluation of the effects of these events is ongoing; however, this situation could result in declines in revenues from the decrease in demand for certain services, such as recreation charges, building permits, delays in the collection of property taxes, and increased labor costs. The extent of the impact of COVID-19 on the City's operational and financial performance will depend on future development, including the duration and spread of the outbreak and related governmental or other regulatory actions. The City reports its investments at fair value based on standards described in the notes to the basic financial statements. Subsequent to year-end, the COVID-19 pandemic has caused volatility in economic conditions, including substantial reductions in the quoted active-market prices of some investments. The City's portfolio consists primarily of shorter-term investments, most with guaranteed maturity values and dates. The City does not expect any losses ultimately realized from the market decline to be material. However, the potential negative impact could be heightened if increased demand on city resources and/or a sustained economic downturn hampers the City's ability to hold such investments to maturity as planned. The potential future impact of these conditions on the fair value of the City's investment portfolio is not determinable at this time. REQUESTS FOR INFORMATION This CAFR is designed to provide a general overview of the City's finances for all those with an interest in the City's finances. Questions concerning any of the information provided in this report or requests for additional financial information should be addressed to the Office of the Finance Director, City of Apple Valley, 7100— 147th Street West,Apple Valley,Minnesota 55124. -18- THIS PAGE INTENTIONALLY LEFT BLANK GOVERNMENT-WIDE FINANCIAL STATEMENTS THIS PAGE INTENTIONALLY LEFT BLANK CITY OF APPLE VALLEY Statement of Net Position as of December 31,2019 Governmental Business-Type Activities Activities Total Assets Cash and investments $ 63,608,739 $ 13,836,115 $ 77,444,854 Receivables Accounts and interest 802,043 3,465,469 4,267,512 Notes 574,320 - 574,320 Taxes 1,740,635 - 1,740,635 Special assessments 3,072,317 311,259 3,383,576 Due from other governmental units 94,239 1,094,867 1,189,106 Internal balances 3,011,351 (3,011,351) - Prepaids 254,266 292,727 546,993 Inventory 18,882 1,684,141 1,703,023 Land held for resale 1,877,559 - 1,877,559 Net pension asset 562,807 - 562,807 Capital assets Not depreciated 5,562,531 11,227,730 16,790,261 Depreciated,net of accumulated depreciation 99,231,771 104,763,159 203,994,930 Total assets 180,411,460 133,664,116 314,075,576 Deferred outflows of resources Pension plan deferments 7,545,697 192,273 7,737,970 OPEB plan deferments 111,278 21,256 132,534 Total deferred outflows of resources 7,656,975 213,529 7,870,504 Total assets and deferred outflows of resources $ 188,068,435 $ 133,877,645 $ 321,946,080 Liabilities Accrued salaries payable $ 873,640 $ 116,791 $ 990,431 Accounts payable 8,003,097 647,103 8,650,200 Contracts payable 541,200 229,195 770,395 Interest payable 10,431 14,041 24,472 Due to other governmental units 63,431 213,218 276,649 Claims incurred,but not reported 8,717 - 8,717 Unearned revenue - 16,928 16,928 Net pension liability Due in more than one year 11,846,014 1,993,644 13,839,658 Total OPEB liability Due in more than one year 1,956,258 373,691 2,329,949 Long-term debt Due within one year 3,095,100 1,435,602 4,530,702 Due in more than one year 12,280,480 11,407,845 23,688,325 Total long-term debt 15,375,580 12,843,447 28,219,027 Total liabilities 38,678,368 16,448,058 55,126,426 Deferred inflows of resources Pension plan deferments 10,589,391 455,348 11,044,739 OPEB plan deferments 88,629 16,931 105,560 Total deferred inflows of resources 10,678,020 472,279 11,150,299 Net position Net investment in capital assets 92,370,852 103,644,760 196,015,612 Restricted for Debt service 1,502,201 - 1,502,201 Tax increment financing 4,382,110 - 4,382,110 Economic development 805,229 - 805,229 Police forfeiture 90,073 - 90,073 Capital acquisition 8,425,573 - 8,425,573 Fire relief pension 1,411,425 - 1,411,425 Other purposes 160,231 - 160,231 Unrestricted 29,564,353 13,312,548 42,876,901 Total net position 138,712,047 116,957,308 255,669,355 Total liabilities,deferred inflows of resources,and net position $ 188,068,435 $ 133,877,645 $ 321,946,080 See notes to basic financial statements -19- CITY OF APPLE VALLEY Statement of Activities Year Ended December 31,2019 Program Revenues Operating Capital Charges for Grants and Grants and Functions/Programs Expenses Services Contributions Contributions Governmental activities General government $ 7,490,933 $ 2,085,398 $ 500,000 $ 2,562 Public safety 13,294,656 712,423 900,053 — Public works 9,414,499 2,592,303 — 7,512,117 Parks and recreation 7,191,984 1,646,122 — — Interest and fiscal charges 268,829 — — — Total governmental activities 37,660,901 7,036,246 1,400,053 7,514,679 Business-type activities Municipal liquor 8,631,173 9,890,386 — — Municipal golf course 1,218,830 898,673 — — Sports arena 756,399 749,377 — 1,087,534 Water and sewer 9,746,090 10,596,646 — 887,887 Storm drainage 2,217,257 2,114,258 — 829,491 Cemetery 140,545 209,288 — — Street light utility 543,694 555,175 — — Total business-type activities 23,253,988 25,013,803 — 2,804,912 Total governmental and business-type activities $ 60,914,889 $ 32,050,049 $ 1,400,053 $ 10,319,591 General revenues Property taxes Other taxes Franchise taxes Grants and contributions not restricted to specific programs Other general revenues Investment earnings Gain on sale of assets Transfers Total general revenues and transfers Change in net position Net position—beginning Net position—ending See notes to basic financial statements -20- Net(Expenses) Revenue and Changes in Net Position Governmental Business-Type Activities Activities Total $ (4,902,973) $ — $ (4,902,973) (11,682,180) — (11,682,180) 689,921 — 689,921 (5,545,862) — (5,545,862) (268,829) — (268,829) (21,709,923) — (21,709,923) — 1,259,213 1,259,213 (320,157) (320,157) — 1,080,512 1,080,512 1,738,443 1,738,443 — 726,492 726,492 68,743 68,743 — 11,481 11,481 4,564,727 4,564,727 (21,709,923) 4,564,727 (17,145,196) 27,087,910 121,000 27,208,910 196,347 — 196,347 1,291,703 — 1,291,703 140,114 — 140,114 7,083 — 7,083 2,113,838 560,574 2,674,412 406,035 — 406,035 1,379,520 (1,379,520) — 32,622,550 (697,946) 31,924,604 10,912,627 3,866,781 14,779,408 127,799,420 113,090,527 240,889,947 $ 138,712,047 $ 116,957,308 $ 255,669,355 -21- THIS PAGE INTENTIONALLY LEFT BLANK FUND FINANCIAL STATEMENTS THIS PAGE INTENTIONALLY LEFT BLANK THIS PAGE INTENTIONALLY LEFT BLANK CITY OF APPLE VALLEY Balance Sheet Governmental Funds as of December 31,2019 Debt Service Capital Projects General Closed Bond Road Construction Fund Issues Improvements Projects (1000) (3205) (2025) (4500) Assets Cash and investments $ 17,098,321 $ 6,469,824 $ - $ 6,657,794 Receivables Accounts 116,000 - - - Notes - 574,320 - - Taxes 1,740,635 - - - Special assessments Current 11,635 532,775 35,997 - Delinquent 11,426 78,515 Deferred - 1,796,788 215,181 - Interest 396,253 - - - Due from other governmental units 94,239 - - - Due from other funds - - - - Advances to other funds - 972,192 - - Prepaids 58,758 - - - Inventory 18,882 - - - Land held for resale - 1,877,559 - - Total assets $ 19,546,149 $ 12,301,973 $ 251,178 $ 6,657,794 Liabilities Accrued salaries payable $ 864,987 $ - $ - $ - Accounts payable 350,491 13,140 270,867 6,743,464 Contracts payable 59,720 - 395,923 - Due to other governmental units 27,815 1,216 Due to other funds - - 2,977,564 - Advances from other funds - - -Total liabilities 1,303,013 13,140 3,644,354 6,744,680 Deferred inflows of resources Unavailable revenue-property taxes 173,968 - - - Unavailable revenue-special assessments 23,061 2,408,078 251,178 - Total deferred inflows of resources 197,029 2,408,078 251,178 - Fund balances(deficit) Nonspendable 77,640 - - - Restricted - - - Committed 576,705 - - - Assigned - 9,880,755 - - Unassigned 17,391,762 - (3,644,354) (86,886) Total fund balances(deficit) 18,046,107 9,880,755 (3,644,354) (86,886) Total liabilities,deferred inflows of resources,and fund balances $ 19,546,149 $ 12,301,973 $ 251,178 $ 6,657,794 See notes to basic financial statements -22- Future Capital Nonmajor Total Projects Governmental Governmental (4930) Funds Funds $ 9,100,375 $ 19,786,801 $ 59,113,115 289,790 405,790 574,320 1,740,635 130,000 710,407 89,941 260,000 2,271,969 396,253 94,239 2,997,369 — 2,997,369 2,834,600 — 3,806,792 58,758 18,882 1,877,559 $ 14,932,344 $ 20,466,591 $ 74,156,029 $ — $ 8,653 $ 873,640 71,903 198,884 7,648,749 85,557 541,200 34,400 63,431 19,805 2,997,369 972,192 972,192 71,903 1,319,491 13,096,581 173,968 390,000 3,072,317 390,000 3,246,285 77,640 14,985,848 14,985,848 576,705 14,860,441 4,471,216 29,212,412 (699,964) 12,960,558 14,860,441 18,757,100 57,813,163 $ 14,932,344 $ 20,466,591 $ 74,156,029 -23- THIS PAGE INTENTIONALLY LEFT BLANK CITY OF APPLE VALLEY Reconciliation of the Balance Sheet to the Statement of Net Position Governmental Funds as of December 31,2019 Total fund balances—governmental funds $ 57,813,163 Amounts reported for governmental activities in the Statement of Net Position are different because: Capital assets used in governmental activities are not current financial resources and, therefore, are not reported as assets in governmental funds. Cost of capital assets 200,456,707 Less accumulated depreciation (102,278,081) Net pension assets are included in net position, but are excluded from fund balances because they do not represent financial resources. 562,807 Long-term liabilities are not payable with current financial resources and, therefore, are not reported in governmental funds. Bonds payable (12,190,000) Total OPEB liability (1,956,258) Net pension liability (11,846,014) Due to availability, certain revenues are not recognized under the governmental fund statements until received; however, under full accrual in the government-wide Statement of Activities, revenues are recorded when earned regardless of when received. 3,246,285 Accrued interest payable is included in net position,but is excluded from fund balances until due and payable. (10,431) Internal service funds are used by management to charge certain costs to individual funds. The assets and liabilities of the internal service funds are included in governmental activities in the Statement of Net Position. Internal service fund balances included in governmental activities 7,991,613 Add internal services balances allocated to business-type activities 176,751 Governmental funds report debt premiums as other financing sources at the time of issuance. Premiums are reported as liabilities in the Statement of Net Position. (233,450) Governmental funds do not report certain long-term amounts related to pensions and OPEB that are included in net position. Deferred outflows of resources—pension plan deferments 7,545,697 Deferred outflows of resources—OPEB plan deferments 111,278 Deferred inflows of resources—pension plan deferments (10,589,391) Deferred inflows of resources—OPEB plan deferments (88,629) Total net position—governmental activities $ 138,712,047 See notes to basic financial statements -24- CITY OF APPLE VALLEY Statement of Revenue,Expenditures,and Changes in Fund Balances Governmental Funds Year Ended December 31,2019 Debt Service Capital Projects General Closed Bond Road Construction Fund Issues Improvements Projects (1000) (3205) (2025) (4500) Revenue Taxes $ 24,807,028 $ — $ — $ — Other taxes 100,329 — — Franchise taxes 515,000 — — — Special assessments 2,562 1,075,443 51,790 — Licenses and permits 1,590,903 — — — Intergovernmental 970,415 6,244,490 250,000 Charges for services 2,852,593 — — — Fines and forfeits 311,235 — — — Investment earnings 511,146 221,699 — 125,827 Other 941,120 — — 560,606 Total revenue 32,602,331 1,297,142 6,296,280 936,433 Expenditures Current General government 5,457,987 — — — Public safety 13,247,794 — — Public works 4,989,894 — — — Parks and recreation 5,529,800 — — — Capital outlay 327,888 — 8,367,301 3,181,649 Debt service Principal — — — — Interest and fiscal charges — 2,390 — — Total expenditures 29,553,363 2,390 8,367,301 3,181,649 Excess(deficiency)of revenue over expenditures 3,048,968 1,294,752 (2,071,021) (2,245,216) Other financing sources(uses) Sale of capital assets 9,688 8,600 Transfers in 1,367,900 3,677,326 77,142 Transfers(out) (4,020,780) (77,142) Total other financing sources(uses) (2,643,192) (77,142) 3,677,326 85,742 Net change in fund balances 405,776 1,217,610 1,606,305 (2,159,474) Fund balances(deficit) Beginning of year 17,640,331 8,663,145 (5,250,659) 2,072,588 End of year $ 18,046,107 $ 9,880,755 $ (3,644,354) $ (86,886) See notes to basic financial statements -25- Future Capital Nonmajor Total Projects Governmental Governmental (4930) Funds Funds $ — $ 2,254,140 $ 27,061,168 96,018 196,347 776,703 1,291,703 130,000 1,259,795 1,590,903 648,118 8,113,023 2,852,593 — 311,235 487,647 616,654 1,962,973 705,956 2,207,682 487,647 5,227,589 46,847,422 1,472,018 6,930,005 — 46,729 13,294,523 20,557 5,010,451 — 319,887 5,849,687 192,458 652,137 12,721,433 1,180,000 1,180,000 — 315,826 318,216 192,458 4,007,154 45,304,315 295,189 1,220,435 1,543,107 367,440 20,307 406,035 350,000 574,002 6,046,370 (452,326) (148,002) (4,698,250) 265,114 446,307 1,754,155 560,303 1,666,742 3,297,262 14,300,138 17,090,358 54,515,901 $ 14,860,441 $ 18,757,100 $ 57,813,163 -26- THIS PAGE INTENTIONALLY LEFT BLANK CITY OF APPLE VALLEY Reconciliation of the Statement of Revenue,Expenditures,and Changes in Fund Balances to the Statement of Activities Governmental Funds Year Ended December 31,2019 Total net change in fund balances—governmental funds $ 3,297,262 Amounts reported for governmental activities in the Statement of Activities are different because: Capital outlays are reported in governmental funds as expenditures; however, in the Statement of Activities the cost of those assets is allocated over the estimated useful lives as depreciation expense. Capital outlay 12,280,610 Capital contributions 182,543 Depreciation expense (5,784,202) Net pension assets are only recorded in the government-wide financial statements as they are not current financial resources to governmental funds. (1,244,210) Repayment of long-term liabilities is an expenditure in the governmental funds, but the repayment reduces long-term liabilities in the Statement of Net Position. 1,180,000 Interest on long-term debt in the Statement of Activities differs from the amount reported in the governmental funds because interest is recognized as an expenditure in the funds when it is due,and thus requires the use of current financial resources. In the Statement of Activities,however, interest expense is recognized as the interest accrues,regardless of when it is due. 968 Governmental funds report debt issuance premiums as other financing sources at the time of issuance.Premiums are reported as liabilities in the Statement of Net Position. 48,419 Certain revenues are recognized as soon as they are earned in the Statement of Activities;however, under the modified accrual basis of accounting,certain revenues cannot be recognized until they are available to liquidate liabilities of the current period. (462,609) Internal service funds are used by management to charge certain costs to individual funds. The net revenue of certain activities of internal service funds is reported with governmental activities in the government-wide financial statements. Internal service fund activity included in governmental activities 57,943 Add back internal service fund activity allocated to business-type activities 29,691 Governmental funds do not report long-term amounts related to pensions and OPEB that are included in the change in net position. Net pension liability (121,314) Total OPEB liability (55,990) Deferred outflows of resources—pension plan deferments (1,967,967) Deferred outflows of resources—OPEB plan deferments 13,149 Deferred inflows of resources—pension plan deferments 3,546,963 Deferred inflows of resources—OPEB plan deferments (88,629) Change in net position—governmental activities $ 10,912,627 See notes to basic financial statements -27- THIS PAGE INTENTIONALLY LEFT BLANK CITY OF APPLE VALLEY Statement of Revenue,Expenditures,and Changes in Fund Balances General Fund-Budget and Actual Year Ended December 31,2019 Budgeted Amounts Over(Under) Original Final Actual Budget Revenue Taxes $ 24,871,055 $ 24,871,055 $ 24,807,028 $ (64,027) Other taxes 105,600 105,600 100,329 (5,271) Franchise taxes 515,000 515,000 515,000 - Special assessments 14,000 14,000 2,562 (11,438) Licenses and permits 1,651,660 1,651,660 1,590,903 (60,757) Intergovernmental 846,250 866,250 970,415 104,165 Charges for services 3,355,410 3,355,410 2,852,593 (502,817) Fines and forfeits 279,500 279,500 311,235 31,735 Investment earnings 197,000 197,000 511,146 314,146 Other 808,485 808,485 941,120 132,635 Total revenue 32,643,960 32,663,960 32,602,331 (61,629) Expenditures Current General government 5,695,859 5,730,559 5,457,987 (272,572) Public safety 13,397,678 13,406,128 13,247,794 (158,334) Public works 4,998,188 5,049,648 4,989,894 (59,754) Parks and recreation 5,787,035 5,701,535 5,529,800 (171,735) Capital outlay General government 150,100 147,500 148,717 1,217 Public safety 3,500 3,500 2,195 (1,305) Public works 22,000 29,600 33,472 3,872 Parks and recreation 352,000 138,030 143,504 5,474 Total expenditures 30,406,360 30,206,500 29,553,363 (653,137) Excess of revenue over expenditures 2,237,600 2,457,460 3,048,968 591,508 Other financing sources(uses) Sale of capital assets 20,400 20,400 9,688 (10,712) Transfers in 1,365,000 1,367,900 1,367,900 - Transfers(out) (3,623,000) (3,670,040) (4,020,780) (350,740) Total other financing sources(uses) (2,237,600) (2,281,740) (2,643,192) (361,452) Net change in fund balances $ - $ 175,720 405,776 $ 230,056 Fund balances Beginning of year 17,640,331 End of year $ 18,046,107 See notes to basic financial statements -28- CITY OF APPLE VALLEY Statement of Net Position Proprietary Funds as of December 31,2019 Business-Type Activities-Enterprise Funds Municipal Municipal Sports Water and Liquor Golf Course Arena Sewer (5000,5030) (5100) (5200) (5300,5400) Current assets Cash and investments $ 2,826,741 $ - $ 205,154 $ 9,093,976 Receivables Special assessments Current - - - 257,011 Delinquent - - - 18,090 Accounts - 4,251 144,760 2,608,693 Due from other governmental units 790,843 6,340 Prepaids 14,782 359 605 276,241 Inventory 1,570,130 51,024 - 62,987 Total current assets 4,411,653 55,634 1,141,362 12,323,338 Noncurrent assets Deferred special assessment receivable - - - 21,112 Advance to other funds - - - 2,611,075 Capital assets Land and land improvements 1,177,683 991,179 2,000 2,098,753 Construction in progress - 18,500 160,014 4,026,036 Buildings 3,743,240 3,190,504 5,870,652 11,780,603 Other improvements 87,149 689,963 109,420 108,956,291 Furniture and equipment 362,676 1,354,429 304,696 4,002,570 Less accumulated depreciation (1,925,559) (1,977,574) (3,077,167) (59,838,284) Total capital assets(net of accumulated depreciation) 3,445,189 4,267,001 3,369,615 71,025,969 Total noncurrent assets 3,445,189 4,267,001 3,369,615 73,658,156 Total assets 7,856,842 4,322,635 4,510,977 85,981,494 Deferred outflows of resources Pension plan deferments 42,645 22,678 12,983 99,752 OPEB plan deferments 3,336 2,630 1,976 13,075 Total deferred outflows of resources 45,981 25,308 14,959 112,827 Total assets and deferred outflows of resources $ 7,902,823 $ 4,347,943 $ 4,525,936 $ 86,094,321 See notes to basic financial statements -29- Governmental Storm Street Light Activities Drainage Cemetery Utility Internal (5500,5550) (5600,5700) (5800) Totals Service Fund $ 1,202,241 $ 329,654 $ 178,349 $ 13,836,115 $ 4,495,624 1,224 — — 258,235 — 18,090 — 561,772 — 145,993 3,465,469 — 297,130 — 554 1,094,867 — 740 — — 292,727 195,508 — — — 1,684,141 — 2,063,107 329,654 324,896 20,649,644 4,691,132 13,822 — — 34,934 - - — — 2,611,075 — 2,240,005 513,560 — 7,023,180 - - — — 4,204,550 - - — — 24,584,999 — 53,526,195 1,640,144 — 165,009,162 — 701,902 6,726,273 14,421,009 (24,448,285) (290,406) — (91,557,275) (7,805,333) 32,019,817 1,863,298 — 115,990,889 6,615,676 32,033,639 1,863,298 — 118,636,898 6,615,676 34,096,746 2,192,952 324,896 139,286,542 11,306,808 14,215 — — 192,273 — 239 — — 21,256 — 14,454 — — 213,529 — $ 34,111,200 $ 2,192,952 $ 324,896 $ 139,500,071 $ 11,306,808 -30- (continued) CITY OF APPLE VALLEY Statement of Net Position Proprietary Funds(continued) as of December 31,2019 Business-Type Activities-Enterprise Funds Municipal Municipal Sports Water and Liquor Golf Course Arena Sewer (5000,5030) (5100) (5200) (5300,5400) Current liabilities Accrued salaries payable $ 32,676 $ 13,351 $ 11,606 $ 54,237 Accounts payable 532,078 18,247 11,882 46,025 Contracts payable 101,502 127,246 Interest payable - - - 12,987 Due to other governmental units 101,752 135 320 27,375 Claims payable - - - - Unearned revenue - 16,928 - - Accrued compensated absences 71,900 26,700 17,800 149,700 Capital lease payable - 167,142 - - Revenue note payable - - - 420,160 Bonds payable - - - 400,000 Total current liabilities 738,406 242,503 143,110 1,237,730 Noncurrent liabilities Accrued compensated absences 9,121 60,747 7,469 151,615 Total OPEB liability 58,654 46,231 34,735 229,861 Net pension liability 442,180 235,148 134,614 1,034,309 Advance from other fund - 3,694,546 1,751,129 - Capital lease payable - 177,973 - - Revenue note payable - - - 3,579,840 Bonds payable - - - 6,334,665 Total noncurrent liabilities 509,955 4,214,645 1,927,947 11,330,290 Total liabilities 1,248,361 4,457,148 2,071,057 12,568,020 Deferred inflows of resources Pension plan deferments 100,994 53,708 30,746 236,235 OPEB plan deferments 2,657 2,095 1,574 10,414 Total deferred inflows of resources 103,651 55,803 32,320 246,649 Net position Net investment in capital assets 3,445,189 3,921,886 3,369,615 60,291,304 Unrestricted 3,105,622 (4,086,894) (947,056) 12,988,348 Total net position 6,550,811 (165,008) 2,422,559 73,279,652 Total liabilities,deferred inflows of resources,and net position $ 7,902,823 $ 4,347,943 $ 4,525,936 $ 86,094,321 See notes to basic financial statements -31- Governmental Storm Street Light Activities Drainage Cemetery Utility Internal (5500,5550) (5600,5700) (5800) Totals Service Fund $ 4,921 $ - $ - $ 116,791 $ - 35,503 1,706 1,662 647,103 354,348 447 - 229,195 - 1,054 - - 14,041 - 82,647 - 989 213,218 - 8,717 16,928 - 2,200 - - 268,300 1,850,100 - - - 167,142 - - - - 420,160 - 180,000 - - 580,000 - 306,325 2,153 2,651 2,672,878 2,213,165 66 - - 229,018 1,102,030 4,210 - - 373,691 - 147,393 - - 1,993,644 - - - - 5,445,675 - - - - 177,973 - 3,579,840 - 1,086,349 - - 7,421,014 - 1,238,018 19,220,855 1,102,030 1,544,343 2,153 2,651 21,893,733 3,315,195 33,665 - - 455,348 - 191 - - 16,931 - 33,856 - - 472,279 - 30,753,468 1,863,298 - 103,644,760 6,615,676 1,779,533 327,501 322,245 13,489,299 1,375,937 32,533,001 2,190,799 322,245 117,134,059 7,991,613 $ 34,111,200 $ 2,192,952 $ 324,896 $ 139,500,071 $ 11,306,808 Total net position-enterprise funds $ 117,134,059 Adjustment to reflect the consolidation of internal service fund activity related to enterprise funds (176,751) Net position-business-type activities $ 116,957,308 -32- CITY OF APPLE VALLEY Statement of Revenue,Expenses,and Changes in Net Position Proprietary Funds Year Ended December 31,2019 Business-Type Activities-Enterprise Funds Municipal Municipal Sports Water and Liquor Golf Course Arena Sewer (5000,5030) (5100) (5200) (5300,5400) Operating revenue Sales and rentals $ 9,886,580 $ 898,126 $ 745,910 $ - Charges for services - - - 10,577,669 Total operating revenue 9,886,580 898,126 745,910 10,577,669 Cost of goods sold 6,935,517 75,369 13,923 - Gross profit 2,951,063 822,757 731,987 10,577,669 Operating expenses Personal services 994,362 624,497 327,069 1,870,729 Contractual services 33,830 64,343 43,049 224,921 Other charges 366,008 23,306 12,038 777,878 Supplies and repairs 41,015 122,389 43,064 481,302 Insurance 66,600 36,000 26,775 218,600 Utilities 48,836 37,687 138,693 374,057 Depreciation 140,773 211,793 149,790 2,426,053 Sewer charges - - - 3,127,578 Total operating expenses 1,691,424 1,120,015 740,478 9,501,118 Operating income(loss) 1,259,639 (297,258) (8,491) 1,076,551 Nonoperating revenue(expense) Taxes - - 121,000 - Investment earnings 69,094 - 892 379,330 Other income 3,806 547 3,467 18,977 Gain(loss)on sale of capital assets 2,361 4,000 - 16,441 Interest expense - (23,943) - (246,021) Total nonoperating revenue(expense) 75,261 (19,396) 125,359 168,727 Income(loss)before capital contributions and transfers 1,334,900 (316,654) 116,868 1,245,278 Capital contributions - - 1,087,534 569,218 Capital contributions-connection fees - - - 318,669 Transfers in - - - - Transfers(out) (660,000) - - (719,520) Change in net position 674,900 (316,654) 1,204,402 1,413,645 Net position Beginning of year 5,875,911 151,646 1,218,157 71,866,007 End of year $ 6,550,811 $ (165,008) $ 2,422,559 $ 73,279,652 See notes to basic financial statements -33- Governmental Storm Street Light Activities Drainage Cemetery Utility Internal (5500,5550) (5600,5700) (5800) Totals Service Fund $ - $ - $ - $ 11,530,616 $ - 2,113,725 209,228 555,175 13,455,797 2,858,981 2,113,725 209,228 555,175 24,986,413 2,858,981 7,024,809 - 2,113,725 209,228 555,175 17,961,604 2,858,981 155,784 2,850 1,892 3,977,183 920,351 368,184 46,810 14,746 795,883 20,722 388,871 40,020 8,900 1,617,021 1,074,555 92,680 7,307 260 788,017 - 16,900 4,400 20,500 389,775 - 91,907 1,502 497,396 1,190,078 - 1,066,399 37,656 - 4,032,464 1,021,811 3,127,578 - 2,180,725 140,545 543,694 15,917,999 3,037,439 (67,000) 68,683 11,481 2,043,605 (178,458) 121,000 - 87,371 17,404 6,483 560,574 150,865 533 60 - 27,390 - (8,021) - - 14,781 54,136 (26,306) - - (296,270) - 53,577 17,464 6,483 427,475 205,001 (13,423) 86,147 17,964 2,471,080 26,543 621,745 - - 2,278,497 - 207,746 - - 526,415 - 31,400 (1,379,520) - 816,068 86,147 17,964 3,896,472 57,943 31,716,933 2,104,652 304,281 113,237,587 7,933,670 $ 32,533,001 $ 2,190,799 $ 322,245 $ 117,134,059 $ 7,991,613 Change in net position-enterprise funds $ 3,896,472 Adjustment to reflect the consolidation of internal service fund activities related to the enterprise funds (29,691) Change in net position-business-type activities $ 3,866,781 -34- CITY OF APPLE VALLEY Statement of Cash Flows Proprietary Funds Year Ended December 31,2019 Business-Type Activities-Enterprise Funds Municipal Municipal Sports Water and Liquor Golf Course Arena Sewer (5000,5030) (5100) (5200) (5300,5400) Cash flows from operating activities Cash received from customers $ 9,890,386 $ 906,311 $ 801,490 $ 10,471,361 Cash receipts on interfund services provided - - - - Cash payments to suppliers (7,818,057) (368,742) (205,659) (5,158,300) Cash payments to employees for services (1,067,669) (663,123) (331,769) (1,779,732) Net cash flows from operating activities 1,004,660 (125,554) 264,062 3,533,329 Cash flows from capital and related financing activities Acquisition and construction of capital assets (33,231) (71,056) (2,389,327) (5,649,621) Capital contributions-connection fees received - - - 318,669 Capital contributions - - 429,277 - Proceeds from sale of capital assets 2,361 4,000 - 32,648 Proceeds from issuance of revenue note - - - 3,620,059 Payment on debt - (113,665) - (395,000) Interest paid - (23,943) - (249,571) Net cash flows from capital and related financing activities (30,870) (204,664) (1,960,050) (2,322,816) Cash flows from investing activities Interest received on investments 69,094 - 892 379,330 Cash flows from noncapital financing activities Taxes - - 121,000 - Cash received from other funds - 330,218 1,751,129 - Cash paid to other funds - - - (1,044,229) Transfers in - - -Transfers(out) (660,000) - - (719,520) Net cash flows from noncapital financing activities (660,000) 330,218 1,872,129 (1,763,749) Net increase(decrease)in cash and cash equivalents 382,884 - 177,033 (173,906) Cash and cash equivalents Beginning of year 2,443,857 - 28,121 9,267,882 Endofyear $ 2,826,741 $ - $ 205,154 $ 9,093,976 Reconciliation of operating income(loss)to net cash flows from operating activities Operating income(loss) $ 1,259,639 $ (297,258) $ (8,491) $ 1,076,551 Adjustments to reconcile operating income(loss)to net cash flows from operating activities Depreciation 140,773 211,793 149,790 2,426,053 Other revenue(expense) 3,806 547 3,467 18,977 Change in assets,deferred outflows/inflows of resources,and liabilities Receivables Special assessments - - - (9,656) Accounts - 4,201 (16,728) (110,268) Due from other governmental units - - 68,841 (5,361) Inventory (5,885) 8,309 - (5,087) Prepaids (171) 89 - (18,992) Deferred outflows of resources 56,322 61,551 22,361 130,326 Accounts payable (322,690) (17,934) (11,748) (28,405) Contracts payable - - 101,502 127,246 Accrued salaries payable 686 1,858 546 7,403 Claims payable - - - - Total OPEB liability (22,124) 5,275 8,816 60,365 Net pension liability (27,159) (81,764) (18,734) (40,835) Accrued compensated absences (35,175) 6,537 (2,897) 20,357 Due to other governmental units 2,495 (112) (17,871) (28,726) Unearned revenue - 3,437 - - Deferred inflows of resources (45,857) (32,083) (14,792) (86,619) Net cash flows from operating activities $ 1,004,660 $ (125,554) $ 264,062 $ 3,533,329 Noncash investing,capital,and financing activities Capital contributions $ - $ - $ - $ 569,218 Net book value of capital asset disposals $ - $ - $ - $ (16,207) Capital asset purchased on account $ - $ - $ (182,333) $ (926,824) Capital lease issued $ - $ 123,041 $ - $ - Due from other governmental units- Capital contribution $ - $ - $ 658,257 $ - Amortization of bond premium(discount) $ - $ - $ - $ 8,301 See notes to basic financial statements -35- Governmental Storm Street Light Activities Drainage Cemetery Utility Internal (5500,5550) (5600,5700) (5800) Totals Service Fund $ 1,773,178 $ 209,288 $ 546,335 $ 24,598,349 $ - - - - - 2,836,616 (917,716) (110,332) (543,081) (15,121,887) (1,764,868) (216,801) (2,871) (1,892) (4,063,857) (156,719) 638,661 96,085 1,362 5,412,605 915,029 (2,299,605) (383,564) - (10,826,404) (1,200,778) 207,746 - - 526,415 - 480,027 - - 909,304 - - - - 39,009 95,609 - - - 3,620,059 - (175,000) - - (683,665) - (28,787) - - (302,301) - (1,815,619) (383,564) - (6,717,583) (1,105,169) 87,371 17,404 6,483 560,574 150,865 - - - 121,000 - - - - 2,081,347 - - - - (1,044,229) - - - - - 31,400 - - - (1,379,520) - - - - (221,402) 31,400 (1,089,587) (270,075) 7,845 (965,806) (7,875) 2,291,828 599,729 170,504 14,801,921 4,503,499 $ 1,202,241 $ 329,654 $ 178,349 $ 13,836,115 $ 4,495,624 $ (67,000) $ 68,683 $ 11,481 $ 2,043,605 $ (178,458) 1,066,399 37,656 - 4,032,464 1,021,811 533 60 - 27,390 - 5,016 - - (4,640) - (60,004) - (8,890) (191,689) 1,388 (286,092) - 50 (222,562) - - - - (2,663) - (740) - - (19,814) 4,862 25,803 - - 296,363 - (3,001) (9,584) (1,254) (394,616) (26,823) (30,890) (709) - 197,149 - 912 (21) - 11,384 - - - - - 56 (9,020) - - 43,312 - (43,979) - - (212,471) - (10,942) - - (22,120) 92,193 75,457 - (25) 31,218 - - - - 3,437 - (23,791) - - (203,142) - $ 638,661 $ 96,085 $ 1,362 $ 5,412,605 $ 915,029 $ 141,718 $ - $ - $ 710,936 $ - $ (8,021) $ - $ - $ (24,228) $ (41,473) $ - $ (62,905) $ - $ (1,172,062) $ 345,599 $ - $ - $ - $ 123,041 $ - $ - $ - $ - $ 658,257 $ - $ 2,336 $ - $ - $ 10,637 $ - -36- THIS PAGE INTENTIONALLY LEFT BLANK CITY OF APPLE VALLEY Notes to Basic Financial Statements as of December 31,2019 NOTE 1—SIGNIFICANT ACCOUNTING POLICIES A. Organization The City of Apple Valley, Minnesota (the City) is a statutory city governed by an elected mayor and four councilmembers. The accompanying financial statements present the government entities for which the City is considered to be financially accountable. The accounting policies of the City conform to accounting principles generally accepted in the United States of America as applicable to governmental units. The Governmental Accounting Standards Board(GASB) is the accepted standard-setting body for establishing governmental accounting and financial reporting principles. B. Reporting Entity As required by accounting principles generally accepted in the United States of America, these financial statements include the City (the primary government) and its component units. Component units are legally separate entities for which the primary government is financially accountable, or for which the exclusion of the component unit would render the financial statements of the primary government misleading. The criteria used to determine if the primary government is financially accountable for a component unit includes whether or not the primary government appoints the voting majority of the potential component unit's board, is able to impose its will on the potential component unit, is in a relationship of financial benefit or burden with the potential component unit, or is fiscally depended upon by the potential component unit. The Apple Valley Economic Development Authority (EDA) was established to provide economic development services to the City. Although a legally separate entity,the Apple Valley EDA is reported as if it were part of the primary government because it provides services exclusively for the City. The Apple Valley EDA governing body is substantially the same as the governing body of the primary government because five of the Apple Valley EDA boardmembers are City Council members and the two other members are appointed by the City Council. Management of the primary government also has operational responsibility for the Apple Valley EDA. The Apple Valley EDA is a blended component unit of the City, with the following funds reported as funds of the City: Economic Development Debt Service Fund and the EDA Operations Special Revenue Fund. The Apple Valley EDA does not issue separate financial statements. C. Government-Wide Financial Statement Presentation The government-wide financial statements (Statement of Net Position and Statement of Activities) display information about the reporting government as a whole. These statements include all of the financial activities of the City. Governmental activities, which are normally supported by taxes and intergovernmental revenues, are reported separately from business-type activities,which significantly rely upon sales,fees,and charges for support. -37- NOTE 1—SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) The Statement of Activities demonstrates the degree to which the direct expenses of a given function or segment are offset by program revenues. Direct expenses are those that are clearly identifiable with a specific function or segment. Program revenues include: 1) charges to customers or applicants who purchase, use, or directly benefit from goods, services, or privileges provided by a given function or segment, 2) operating grants and contributions, and 3) capital grants and contributions, including special assessments that are restricted to meeting the operational or capital requirements of a particular function or segment. Taxes and other internally directed revenues are reported as general revenues. The government-wide financial statements are reported using the economic resources measurement focus and the accrual basis of accounting. Revenues are recorded when earned and expenses are recorded when a liability is incurred, regardless of the timing of related cash flows. Property taxes and special assessments are recognized as revenues in the fiscal year for which they are certified for levy. Grants and similar items are recognized when all eligibility requirements imposed by the provider have been met. As a general rule, the effect of interfund activity has been eliminated from the government-wide financial statements. However, charges between the City's enterprise funds and other functions are not eliminated, as that would distort the direct costs and program revenues reported in those functions. Depreciation expense is included in the direct expenses of each function. Interest on long-term debt is considered an indirect expense and is reported separately on the Statement of Activities. D. Fund Financial Statement Presentation Separate fund financial statements are provided for governmental and proprietary funds. Major individual governmental and enterprise funds are reported as separate columns in the fund financial statements. Aggregated information for the remaining nonmaj or governmental funds is reported in a single column in the fund financial statements. Governmental fund financial statements are reported using the current financial resources measurement focus and the modified accrual basis of accounting. Under this basis of accounting, transactions are recorded in the following manner: 1. Revenue Recognition — Revenue is recognized when it becomes measurable and available. "Measurable" means the amount of the transaction can be determined and "available" means collectible within the current period or soon enough thereafter to be used to pay liabilities of the current period. For this purpose, the City considers revenues to be available if they are collected within 60 days after year-end. Only the portion of special assessments receivable due within the current fiscal period is considered to be susceptible to accrual as revenue of the current period. Grants and similar items are recognized when all eligibility requirements imposed by the provider have been met. Proceeds of long-term debt and acquisitions under capital leases are reported as other financing sources. Major revenue that is susceptible to accrual includes property taxes, special assessments, intergovernmental revenue, charges for services, and interest earned on investments. Major revenue that is not susceptible to accrual includes licenses and permits, fees, and miscellaneous revenue. Such revenue is recorded only when received because it is not measurable until collected. 2. Recording of Expenditures — Expenditures are generally recorded when a liability is incurred, except for principal and interest on long-term debt and other long-term liabilities, which are recognized as expenditures to the extent they have matured. Capital asset acquisitions are reported as capital outlay expenditures in the governmental funds. -38- NOTE 1—SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) Proprietary fund financial statements are reported using the economic resources measurement focus and accrual basis of accounting, similar to the government-wide financial statements. Proprietary funds distinguish operating revenues and expenses from nonoperating items. Operating revenues and expenses generally result from providing services and producing and delivering goods in connection with a proprietary fund's principal ongoing operations. The principal operating revenues of the City's enterprise funds and internal service funds are charges to customers for sales and services. The operating expenses for the enterprise funds and internal service funds include the cost of sales and services, administrative expenses, and depreciation on capital assets. All revenues and expenses that do not meet this definition are reported as nonoperating revenues and expenses. Aggregated information for the internal service funds is reported in a single column in the proprietary fund financial statements. Because the principal user of the internal services is the City's governmental activities, the financial statements of the internal service funds are consolidated into the governmental column when presented in the government-wide financial statements. The cost of these services is reported in the appropriate functional activity. Description of Funds The City reports the following major governmental funds: General Fund (1000) — This fund is the City's primary operating fund. It accounts for all financial resources of the general government, except those required to be accounted for in another fund. Closed Bond Issues Debt Service Fund (3205) — This fund accounts for all the closed bond issues that still have activity. Road Improvements Capital Projects Fund (2025) — This fund accounts for various road improvements. Construction Projects Capital Projects Fund (4500) — This fund accounts for development projects, the costs of which will be recovered through the development process, including specially assessing the benefiting properties. Future Capital Projects Capital Projects Fund (4930) —This fund accounts for funds set aside for future capital improvements. The City reports the following major enterprise funds: Municipal Liquor Fund (5000 and 5030) — This fund accounts for the operations of the City's liquor stores. Municipal Golf Course Fund (5100) — This fund accounts for the operations of the City's golf course. Sports Arena Fund(5200)—This fund accounts for the operations of the City's sports arena. Water and Sewer Fund (5300 and 5400) —This fund accounts for the activities of the City's water and sewer operations. -39- NOTE 1—SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) Storm Drainage Fund (5500 and 5550) — This fund accounts for the activities of the City's storm drainage operations. Cemetery Fund (5600 and 5700) — This fund accounts for the activities of the City's cemetery operations. Street Light Utility Fund (5800) — This fund accounts for the activities of the City's street light operations. Additionally,the City reports the following fund types: Internal Service Funds — Internal service funds account for the financing of goods and services provided to other departments or agencies of the City on a cost-reimbursement basis. The City utilizes a Dental Insurance Internal Service Fund, Benefits/Other Insurance Internal Service Fund, and a Vehicle Equipment Replacement Internal Service Fund in managing city operations. E. Cash and Investments Cash and investments include balances from all funds that are combined and invested to the extent available in various securities as authorized by state law. Earnings from the pooled investments are allocated to the respective funds on the basis of applicable cash balance participation by each fund. The City generally reports investments at fair value. The Minnesota Municipal Money Market (4M)Fund is an external investment pool regulated by Minnesota Statutes that is not registered with the Securities and Exchange Commission(SEC),but follows the same regulatory rules of the SEC. The fair value of the position in the pool is the same as the value of the pool shares, which is based on an amortized cost method that approximates fair value. The 4M Fund is sponsored by the League of Minnesota Cities. For this investment pool, there are no unfunded commitments, redemption frequency is daily, and there is no redemption notice required for the Liquid Class; the redemption notice period is 14 days for the Plus Class. The City categorizes its fair value measurements within the fair value hierarchy established by accounting principles generally accepted in the United States of America. The hierarchy is based on the valuation inputs used to measure the fair value of the asset. Level 1 inputs are quoted prices in active markets for identical assets; Level 2 inputs are significant other observable inputs; and Level 3 inputs are significant unobservable inputs. Debt securities classified in Level 2 of the fair value hierarchy are valued using a matrix pricing technique. Matrix pricing is used to value securities based on the securities' relationship to benchmark quoted prices. See Note 2 for the City's recurring fair value measurements as of year-end. F. Receivables Utility and miscellaneous accounts receivable are reported at gross. Since the City is generally able to certify delinquent amounts to the county for collection as special assessments, no allowance for uncollectible accounts has been provided on current receivables. The only receivables not expected to be collected within one year are property taxes and special assessments receivable. Notes receivable are amounts due to the City related to the Village Pointe Plaza project. -40- NOTE 1—SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) G. Interfund Receivables and Payables In the fund financial statements, activity between funds that is representative of lending or borrowing arrangements is reported as either"due to/from other funds" (current portion) or "advances to/from other funds." All other outstanding balances between funds are reported as "due to/from other funds." Any residual balances outstanding between the governmental activities and business-type activities are reported in the government-wide financial statements as"internal balances." H. Land Held for Resale Land held for resale represents various property purchases made by the City with the intent to sell in order to increase the tax base or to attract new businesses. These assets are stated at the lower of cost or acquisition value. During the year ended December 31, 2019, management has reviewed the cost value reported for these assets and has indicated the properties are fairly presented for financial reporting purposes. I. Property Taxes Property tax levies are set by the City Council in December of each year, and are certified to Dakota County for collection in the following year. In Minnesota, counties act as collection agents for all property taxes. The county spreads the levies over all taxable property. Such taxes become a lien on January 1 and are recorded as receivables by the City on that date. Real property taxes may be paid by taxpayers in two equal installments on May 15 and October 15. Personal property taxes are due in full on May 15. The county provides tax settlements to cities and other taxing districts three times a year; in July, December,and January. Property taxes are recognized as revenue in the year levied in the government-wide financial statements and proprietary fund financial statements. In the governmental fund financial statements, taxes are recognized as revenue when received in cash or within 60 days after year-end. Taxes which remain unpaid on December 31 are classified as delinquent taxes receivable, and are offset by a deferred inflow of resources in the governmental fund financial statements. J. Special Assessments Special assessments represent the financing for public improvements paid for by benefiting property owners. Special assessments are recorded as receivables upon certification to the county. Special assessments are recognized as revenue in the year levied in the government-wide financial statements and proprietary fund financial statements. In the governmental fund financial statements, special assessments are recognized as revenue when received in cash or within 60 days after year-end. Governmental fund special assessments receivable which remain unpaid on December 31 are offset by a deferred inflow of resources in the governmental fund financial statements. K. Prepaids Certain payments to vendors reflect costs applicable to future accounting periods and are recorded as prepaid items in both the government-wide and fund financial statements. Prepaid items are reported using the consumption method and recorded as expenditures/expenses at the time of consumption. -41- NOTE 1—SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) L. Inventories The inventories for the Municipal Golf and Municipal Liquor Funds use the average cost valuation method. Inventories of the remaining governmental and proprietary funds are valued at cost using the first-in, first-out valuation method. Inventories are recorded as expenditures or expenses when consumed. M. Capital Assets Capital assets, which include land, land improvements, buildings, other improvements, furniture and equipment, and infrastructure assets (roads, bridges, sidewalks, and similar items) are reported in the applicable governmental or business-type activities columns in the government-wide financial statements. Such assets are capitalized at historical cost, or estimated historical cost for assets where actual historical cost is not available. Donated assets are recorded as capital assets at their estimated acquisition value on the date of donation. The City defines capital assets as those with an initial, individual cost of$5,000 or more with an estimated useful life in excess of two years. The cost of normal maintenance and repairs that do not add to the value of the asset or materially extend asset lives are not capitalized. Capital assets are recorded in the government-wide and proprietary fund financial statements, but are not reported in the governmental fund financial statements. Interest incurred during the construction phase of capital assets for business-type activities is included as part of the capitalized value of the assets constructed. Capital assets are depreciated using the straight-line method over their estimated useful lives. Land and construction in progress are not depreciated. The estimated useful lives are as follows: Assets Years Buildings 7-40 Improvements other than buildings 5-40 Furniture and equipment 3-50 Infrastructure 25-50 N. Compensated Absences Full-time employees employed by the City after January 1, 1995 are eligible for three to six weeks of annual leave depending on their length of service with the City. Annual leave may not accrue in excess of 800 hours. Upon termination of employment with the City, employees in"good standing" are reimbursed for all accrued and unused annual leave. Employees employed by the City prior to January 1, 1995 were eligible to elect to continue earning sick leave and vacation in lieu of the annual leave option. Those employees who elected not to take the annual leave provisions continue to be eligible to earn 12 days of sick leave and two to four weeks of vacation per year, depending on their length of service with the City. Sick leave may carry forward indefinitely. Upon termination of employment in "good standing," employees with more than 10 years of continuous service shall be paid up to one-third of their accrued and unused sick leave. The maximum amount of vacation that may be accumulated is twice the amount earned in any one year. Upon termination of employment, "good standing" employees shall be paid for their accrued and unused vacation leave. Compensated absences are accrued in governmental fund financial statements only when used or matured prior to year-end, due to employee termination or similar circumstances. Vacation and sick benefits are recorded as expenses and liabilities in proprietary funds when earned. Compensated absences payable in the government-wide Statement of Net Position and the Statement of Net Position — Proprietary Funds include all leave balances accrued, but not yet used by employees,whether or not the employees have terminated employment with the City. -42- NOTE 1—SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) O. Long-Term Liabilities In the government-wide and proprietary fund financial statements, long-term debt and other long-term obligations are reported as liabilities. Bond premiums and discounts, if material, are deferred and amortized over the life of the bonds using the straight-line method. Bond issuance costs are expensed in the period incurred. In the fund financial statements, governmental fund types recognize bond premiums and discounts, as well as bond issuance costs, during the current period. The face amount of debt issued is reported as other financing sources. Premiums received on debt issuances are reported as other financing sources, while discounts on debt issuances are reported as other financing uses. Issuance costs, whether or not withheld from the actual debt proceeds received, are reported as expenditures. P. Deferred Outflows/Inflows of Resources In addition to assets and liabilities, statements of financial position or balance sheets will sometimes report separate sections for deferred outflows or inflows of resources. These separate financial statement elements represent a consumption or acquisition of net position that applies to a future period, and so will not be recognized as an outflow of resources (expense/expenditure), or an inflow of financial resources (revenue)until then. The City reports deferred outflows and inflows of resources related to pensions and other post-employment benefits (OPEB) in the government-wide and enterprise funds Statement of Net Position. These deferred outflows and inflows result from differences between expected and actual economic experience, changes in actuarial assumptions, differences between projected and actual investment earnings, changes in proportion, and contributions to the plan subsequent to the measurement date and before the end of the reporting period. These amounts are deferred and amortized as required under pension and OPEB standards. Unavailable revenue, arises only under a modified accrual basis of accounting and, therefore, is only reported in the governmental funds Balance Sheet. The governmental funds report unavailable revenue from two sources: property taxes and special assessments. These amounts are deferred and recognized as an inflow of resources in the period that the amounts become available. Q. State-Wide Pension Plans For purposes of measuring the net pension liability, deferred outflows/inflows of resources, and pension expense, information about the fiduciary net position of the Public Employees Retirement Association(PERA) and additions to/deductions from the PERA's fiduciary net position have been determined on the same basis as they are reported by the PERA, except that the PERA's fiscal year-end is June 30. For this purpose,plan contributions are recognized as of employer payroll paid dates and benefit payments and refunds are recognized when due and payable in accordance with the benefit terms. Investments are reported at fair value. The PERA has a special funding situation created by a direct aid contribution made by the state of Minnesota. The direct aid is a result of the merger of the Minneapolis Employees Retirement Fund into the PERA on January 1,2015. -43- NOTE 1—SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) R. Budgets and Budgetary Accounting The City follows these procedures in establishing the budgetary data reflected in the financial statements: 1. In August of each year, city staff submits to the City Council, a proposed operating budget for the year commencing the following January 1. The operating budget includes proposed expenditures and the means of financing them for the upcoming year. 2. Public hearings are conducted to obtain taxpayer comments. 3. The budget is legally enacted through passage of a resolution by the City Council. 4. Budgets are adopted on a basis consistent with accounting principles generally accepted in the United States of America. 5. Expenditures may not legally exceed budgeted appropriations at the fund level. No fund's budget can be increased without City Council approval. The City Council may authorize transfers of budgeted amounts between departments within any fund. Management may amend budgets within a department level, so long as the total department budget is not changed. 6. Annual appropriated budgets are adopted during the year for the General Fund, Cable TV Special Revenue Fund, and EDA Operations Special Revenue Fund. Annual appropriated budgets are not adopted for debt service funds because effective budgetary control is alternatively achieved through bond indenture provisions. Budgetary control for capital projects funds is accomplished through the use of project controls and formal appropriated budgets are not adopted for most capital projects funds. In 2019, the City also adopted formal annual appropriated budgets for the Road Improvements Capital Projects, Future Capital Projects, and Cable Capital Equipment Capital Projects Funds. 7. The finance director/treasurer presents monthly reports to the City Council. 8. Budgeted amounts are as originally adopted or as amended by the City Council. Budgeted expenditures lapse at year-end. S. Statement of Cash Flows For purposes of the Statement of Cash Flows,the City considers all highly liquid debt instruments with an original maturity from the time of purchase by the City of three months or less to be cash equivalents. The proprietary fund's portion in the government-wide cash and investment management pool is considered to be cash equivalent. -44- NOTE 1—SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) T. Net Position and Flow Assumptions In the government-wide and proprietary fund financial statements, net position represents the difference between assets, deferred outflows of resources, liabilities, and deferred inflows of resources. Net position is displayed in three components: • Net Investment in Capital Assets — Consists of capital assets, net of accumulated depreciation, reduced by any outstanding debt attributable to acquire capital assets. • Restricted Net Position —Consists of net position restricted when there are limitations imposed on its use through external restrictions imposed by creditors, grantors, or laws or regulations of other governments. • Unrestricted Net Position—All other elements of net position that do not meet the definition of "restricted"or"net investment in capital assets." The City applies restricted resources first when an expense is incurred for which both restricted and unrestricted resources are available. U. Fund Balance Classifications and Flow Assumptions In the fund financial statements, governmental funds report fund balance in classifications that disclose constraints for which amounts in those funds can be spent. These classifications are as follows: • Nonspendable — Consists of amounts that are not in spendable form, such as prepaid items, inventory, and other long-term assets. • Restricted — Consists of amounts related to externally imposed constraints established by creditors,grantors, or contributors; or constraints imposed by state statutory provisions. • Committed— Consists of internally imposed constraints that are established by resolution of the City Council. Those committed amounts cannot be used for any other purpose unless the City Council removes or changes the specified use by taking the same type of action it employed to previously commit those amounts. • Assigned — Consists of internally imposed constraints. These constraints consist of amounts intended to be used by the City for specific purposes, but do not meet the criteria to be classified as restricted or committed. In governmental funds, assigned amounts represent intended uses established by the governing body itself or by an official to which the governing body delegates the authority. Pursuant to City Council resolution, the city administrator and/or the finance director/treasurer are authorized to establish assignments of fund balance. • Unassigned — The residual classification for the General Fund, which also reflects negative residual amounts in other funds. When both restricted and unrestricted resources are available for use, it is the City's policy to first use restricted resources, then use unrestricted resources as they are needed. When committed, assigned, or unassigned resources are available for use, it is the City's policy to use resources in the following order: 1) committed,2)assigned, and 3)unassigned. -45- NOTE 1—SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) V. Risk Management The City is exposed to various risks of loss related to torts: theft of, damage to, and destruction of assets; errors and omissions; and natural disasters. The City participates in the League of Minnesota Cities Insurance Trust (LMCIT), a public entity risk pool for its general property and casualty, workers' compensation, and other miscellaneous insurance coverage. The LMCIT operates as a common risk management and insurance program for a large number of cities in Minnesota. The City pays an annual premium to the LMCIT for insurance coverage. The LMCIT agreement provides that the trust will be self-sustaining through member premiums and will reinsure through commercial companies for claims in excess of certain limits. The City also carries commercial insurance for certain other risks of loss. Settled claims resulting from these risks did not exceed insurance coverage in any of the past three fiscal years. There were no significant reductions in insurance coverage in 2019. The City uses its Dental Insurance Internal Service Fund to account for and finance its self-insured risk of loss for an employee dental plan. The dental plan is funded by the City, employee contributions, and investment earnings. The claims liability of$8,717 is included in the liabilities of the Dental Insurance Internal Service Fund at December 31, 2019, and is based on the requirement that a liability for claims be reported if information prior to issuance of the financial statements indicates that it is probable that a liability has been incurred on the date of the financial statements and the loss can be reasonably estimated. Changes in the fund's claim liability for the past two years were: Claims Beginning and Changes Claim Ending Balance in Estimates Payments Balance 2018 $ 6,786 $ 194,144 $ 192,269 $ 8,661 2019 $ 8,661 $ 202,046 $ 201,990 $ 8,717 W. Use of Estimates The preparation of financial statements, in conformity with accounting principles generally accepted in the United States of America, requires management to make estimates and assumptions that affect the amounts reported in the financial statements during the reporting period. Actual results could differ from those estimates. -46- NOTE 2—CASH AND INVESTMENTS A. Components of Cash and Investments Cash and investments at year-end consist of the following: Deposits $ 2,176,008 Investments 75,252,446 Petty cash 16,400 Total $ 77,444,854 Cash and investments are presented in the financial statements as follows: Statement of Net Position Cash and investments $ 77,444,854 B. Deposits In accordance with applicable Minnesota Statutes, the City maintains deposits at depository banks authorized by the City Council, including checking accounts and certificates of deposit. The following is considered the most significant risk associated with deposits: Custodial Credit Risk—In the case of deposits, this is the risk that in the event of a bank failure, the City's deposits may be lost. Minnesota Statutes require that all deposits be protected by federal deposit insurance,corporate surety bond, or collateral. The market value of collateral pledged must equal 110 percent of the deposits not covered by federal deposit insurance or corporate surety bonds. Authorized collateral includes treasury bills, notes, and bonds; issues of U.S. government agencies; general obligations rated"A" or better; revenue obligations rated "AA" or better; irrevocable standard letters of credit issued by the Federal Home Loan Bank; and certificates of deposit. Minnesota Statutes require that securities pledged as collateral be held in safekeeping in a restricted account at the Federal Reserve Bank or in an account at a trust depaihnent of a commercial bank or other financial institution that is not owned or controlled by the financial institution furnishing the collateral. The City has no additional deposit policies addressing custodial credit risk. At year-end, the carrying amount of the City's deposits was $2,176,008, while the balance on the bank records was $2,003,815. At December 31, 2019, all deposits were fully covered by federal deposit insurance, surety bonds, or by collateral held by the City's agent in the City's name. -47- NOTE 2—CASH AND INVESTMENTS(CONTINUED) C. Investments The City has the following investments at year-end: Interest Risk— Credit Risk Fair Value Maturity Duration in Years Measurements Less Investment Type Rating Agency Using Than 1 1 to 5 6 to 10 Total U.S.agency securities Aaa Moody's Level 2 $ — $ 649,773 $ — $ 649,773 U.S.agency securities AA S&P Level 2 2,227,561 7,875,663 — 10,103,224 U.S.agency securities N/R N/A Level 2 — 438,124 — 438,124 State and local bonds AAA S&P Level 2 2,196,027 4,416,456 2,487,959 9,100,442 State and local bonds AA S&P Level 2 4,302,118 12,958,088 3,990,233 21,250,439 State and local bonds A S&P Level 2 — 2,509,327 532,720 3,042,047 State and local bonds Aaa Moody's Level 2 — 612,018 — 612,018 State and local bonds Aa Moody's Level 2 1,259,789 7,559,206 3,352,545 12,171,540 Negotiable certificates of deposit N/R N/A Level 2 7,843,364 3,949,359 — 11,792,723 $ 17,828,859 $ 40,968,014 $ 10,363,457 69,160,330 Investment pools/mutual funds First American Government Obligation Fund AAA S&P Level 1 6,092,116 Total investments $ 75,252,446 N/A—Not Applicable N/R—Not Rated Investments are subject to various risks,the following of which are considered the most significant: Custodial Credit Risk — For investments, this is the risk that in the event of a failure of the counterparty to an investment transaction (typically a broker-dealer), the City would not be able to recover the value of its investments or collateral securities that are in the possession of an outside party. The City's investment policy states that the City may not invest in securities that are both uninsured and not registered in the name of the City and are held by either the counterparty or the counterparty's trust department or agent,but not in the name of the City. Credit Risk—This is the risk that an issuer or other counterparty to an investment will not fulfill its obligations. Minnesota Statutes limit the City's investments to direct obligations or obligations guaranteed by the United States or its agencies; shares of investment companies registered under the Federal Investment Company Act of 1940 that receive the highest credit rating, are rated in one of the two highest rating categories by a statistical rating agency, and all of the investments have a final maturity of 13 months or less; general obligations rated"A"or better; revenue obligations rated"AA" or better; general obligations of the Minnesota Housing Finance Agency rated"A" or better; bankers' acceptances of United States banks eligible for purchase by the Federal Reserve System; commercial paper issued by United States corporations or their Canadian subsidiaries, rated of the highest quality category by at least two nationally recognized rating agencies, and maturing in 270 days or less; Guaranteed Investment Contracts guaranteed by a United States commercial bank, domestic branch of a foreign bank, or a United States insurance company, and with a credit quality in one of the top two highest categories; repurchase or reverse purchase agreements and securities lending agreements with financial institutions qualified as a "depository" by the government entity, with banks that are members of the Federal Reserve System with capitalization exceeding $10,000,000; that are a primary reporting dealer in U.S. government securities to the Federal Reserve Bank of New York; or certain Minnesota securities broker-dealers. The City's investment policy addresses credit risk by limiting investments to the safest type of securities and using prequalifying brokers/financial institutions. -48- NOTE 2—CASH AND INVESTMENTS(CONTINUED) Concentration Risk — This is the risk associated with investing a significant portion of the City's investment (considered 5.0 percent or more) in the securities of a single issuer, excluding U.S. guaranteed investments (such as treasuries), investment pools, and mutual funds. The City's investment policy states no more than 5.0 percent of the overall portfolio may be invested in the securities of a single issuer, except for the securities of the U.S. government or an external investment pool. As of December 31, 2019, the City's investment portfolio includes the Federal Home Loan Bank at 8.1 percent. Interest Rate Risk—This is the risk of potential variability in the fair value of fixed rate investments resulting from changes in interest rates (the longer the period for which an interest rate is fixed, the greater the risk). The City's investment policy does include specific limits on investment maturities as a means of managing its exposure to fair value arising from increasing interest rates. It also states investments should not be purchased that are considered to be highly sensitive to interest rate changes. NOTE 3—INTERFUND RECEIVABLES,PAYABLES,AND TRANSFERS A. Due To and Due From Other Funds Interfund receivables and payables at year-end were as follows: Due From Other Funds Governmental Future Capital Due To Other Funds Projects Governmental Road Improvements $ 2,977,564 Nonmajor 19,805 Total $ 2,997,369 Interfund borrowing is utilized for cash flow borrowing to eliminate temporary cash balance deficits, due to the timing of projects and the related revenue sources. -49- NOTE 3—INTERFUND RECEIVABLES,PAYABLES,AND TRANSFERS (CONTINUED) B. Advance From and Advance To Other Funds Borrowing at year-end was as follows: Advance To Other Funds Governmental Enterprise Closed Bond Future Capital Water and Advance From Other Funds Issues Projects Sewer Total Governmental Nonmajor $ 972,192 $ — $ — $ 972,192 Enterprise Municipal Golf Course 1,747,100 1,947,446 3,694,546 Sports Arena — 1,087,500 663,629 1,751,129 Total $ 972,192 $ 2,834,600 $ 2,611,075 $ 6,417,867 Advances are utilized to cover operations of the related city funds,including capital improvements. C. Interfund Transfers Transfers In Governmental Proprietary Road Construction Future Capital Internal Transfers Out General Fund Improvements Projects Projects Nonmajor Service Total Governmental General Fund $ — $ 3,437,000 $ — $ 350,000 $ 214,000 $ 19,780 $ 4,020,780 Closed Bond Issues — — 77,142 — — — 77,142 Future Capital Projects — 240,326 — — 212,000 — 452,326 Nonmajor — — — — 148,002 — 148,002 Enterprise Municipal Liquor 660,000 — — — — — 660,000 Water and Sewer 707,900 — — — — 11,620 719,520 Total $ 1,367,900 $ 3,677,326 $ 77,142 $ 350,000 $ 574,002 $ 31,400 $ 6,077,770 Transfers are made in accordance with budget appropriations or as approved by the City Council for special funding of city activities. These transfers were made to fund operations, debt payments, capital outlay, or to close funds. -50- NOTE 4—CAPITAL ASSETS Capital asset activity for the year ended December 31,2019 was as follows: A. Changes in Capital Assets Used in Governmental Activities Transfers and Beginning Completed End of Year Additions Deletions Construction of Year Capital assets,not depreciated Land $ 4,581,173 $ — $ — $ — $ 4,581,173 Construction in progress 3,078,404 12,127,727 — (14,224,773) 981,358 Total capital assets,not depreciated 7,659,577 12,127,727 — (14,224,773) 5,562,531 Capital assets,depreciated Buildings 34,325,350 — — 2,025,996 36,351,346 Other improvements 25,508,085 25,055 — 412,981 25,946,121 Furniture and equipment 19,212,389 1,674,205 (233,018) (13,815) 20,639,761 Infrastructure 114,422,998 182,543 — 11,772,416 126,377,957 Total capital assets,depreciated 193,468,822 1,881,803 (233,018) 14,197,578 209,315,185 Less accumulated depreciation on Buildings 14,422,474 1,001,730 — — 15,424,204 Other improvements 11,697,099 844,712 — — 12,541,811 Furniture and equipment 12,037,558 1,292,112 (191,545) (27,195) 13,110,930 Infrastructure 65,339,010 3,667,459 — — 69,006,469 Total accumulated depreciation 103,496,141 6,806,013 (191,545) (27,195) 110,083,414 Net capital assets,depreciated 89,972,681 (4,924,210) (41,473) 14,224,773 99,231,771 Total capital assets,net $ 97,632,258 $ 7,203,517 $ (41,473) $ — $ 104,794,302 B. Changes in Capital Assets Used in Business-Type Activities Transfers and Beginning Completed End of Year Additions Deletions Construction of Year Capital assets,not depreciated Land $ 6,873,929 $ 149,251 $ — $ — $ 7,023,180 Construction in progress 4,692,338 9,388,530 — (9,876,318) 4,204,550 Total capital assets,not depreciated 11,566,267 9,537,781 — (9,876,318) 11,227,730 Capital assets,depreciated Buildings 22,147,457 — — 2,437,542 24,584,999 Other improvements 157,454,172 561,685 (417,281) 7,410,586 165,009,162 Furniture and equipment 6,405,434 388,853 (123,399) 55,385 6,726,273 Total capital assets,depreciated 186,007,063 950,538 (540,680) 9,903,513 196,320,434 Less accumulated depreciation on Buildings 10,319,365 409,412 — — 10,728,777 Other improvements 73,025,435 3,311,135 (393,053) — 75,943,517 Furniture and equipment 4,669,268 311,917 (123,399) 27,195 4,884,981 Total accumulated depreciation 88,014,068 4,032,464 (516,452) 27,195 91,557,275 Net capital assets,depreciated 97,992,995 (3,081,926) (24,228) 9,876,318 104,763,159 Total capital assets,net $ 109,559,262 $ 6,455,855 $ (24,228) $ — $ 115,990,889 -51- NOTE 4—CAPITAL ASSETS(CONTINUED) C. Depreciation Expense by Function Depreciation expense for the year ended December 31, 2019 was charged to the following functions: Governmental activities General government $ 406,350 Public safety 268,151 Public works 3,840,743 Parks and recreation 1,268,958 Capital assets held by the City's internal service funds are charged to the various functions based on their usage of the assets 1,021,811 Total depreciation expense—governmental activities $ 6,806,013 Business-type activities Municipal liquor $ 140,773 Municipal golf course 211,793 Sports arena 149,790 Water and sewer 2,426,053 Storm drainage 1,066,399 Cemetery 37,656 Total depreciation expense—business-type activities $ 4,032,464 -52- NOTE 5-LONG-TERM DEBT A. Components of Long-Term Debt Final Balance- Original Issue Interest Rate Maturity End of Year Governmental activities General obligation bonds G.O.Equipment Certificate Bonds 2012A $ 1,305,000 2.00% 12/15/2021 $ 245,000 G.O.Crossover Refunding Bonds 2013A $ 9,000,000 1.75-2.35% 12/15/2031 8,705,000 G.O.Equipment Bonds 2014A $ 680,000 2.00% 12/15/2020 145,000 G.O.Bonds 2015B $ 4,255,000 2.00-2.75% 12/15/2029 2,735,000 Total general obligation bonds 11,830,000 General obligation improvement bonds G.O.Improvement Bonds 2012A $ 920,000 2.00% 12/15/2022 360,000 Total governmental activities bonds 12,190,000 Unamortized premium 233,450 Compensated absences 2,952,130 Total governmental activities $ 15,375,580 Business-type activities General obligation revenue bonds G.O.Water Revenue Bonds 2014A $ 8,830,000 2.00-3.00% 12/15/2033 $ 6,615,000 G.O.Bonds 2015B $ 1,605,000 2.00-2.75% 12/15/2026 1,250,000 Total general obligation revenue bonds 7,865,000 General obligation revenue notes G.O.Water Revenue Note 2018A $ 4,000,000 2.95% 06/15/2028 4,000,000 Capital lease 345,115 Unamortized premium 136,014 Compensated absences 497,318 Total business-type activities $ 12,843,447 B. Changes in Long-Term Debt Balance- Balance- Due Within Beginning of Year Additions Deletions End of Year One Year Governmental activities General obligation bonds $ 12,895,000 $ - $ 1,065,000 $ 11,830,000 $ 1,125,000 General obligation improvement bonds 475,000 - 115,000 360,000 120,000 Unamortized premium 281,869 - 48,419 233,450 - Compensated absences 2,859,937 1,942,262 1,850,069 2,952,130 1,850,100 Total governmental activities 16,511,806 1,942,262 3,078,488 15,375,580 3,095,100 Business-type activities General obligation revenue bonds 8,435,000 - 570,000 7,865,000 580,000 General obligation revenue notes 379,941 3,620,059 - 4,000,000 420,160 Capital lease 335,739 123,041 113,665 345,115 167,142 Unamortized premium 146,651 - 10,637 136,014 - Compensated absences 519,438 277,713 299,833 497,318 268,300 Total business-type activities 9,816,769 4,020,813 994,135 12,843,447 1,435,602 Total government-wide $ 26,328,575 $ 5,963,075 $ 4,072,623 $ 28,219,027 $ 4,530,702 -53- NOTE 5-LONG-TERM DEBT (CONTINUED) C. Minimum Debt Payments Minimum annual payments required to retire bonds are as follows: Governmental Activities General Obligation Year Ending General Obligation Bonds Improvement Bonds Total December 31, Principal Interest Principal Interest Principal Interest 2020 $ 1,125,000 $ 243,150 $ 120,000 $ 7,200 $ 1,245,000 $ 250,350 2021 905,000 221,025 120,000 4,800 1,025,000 225,825 2022 820,000 203,313 120,000 2,400 940,000 205,713 2023 865,000 187,300 - - 865,000 187,300 2024 920,000 171,788 920,000 171,788 2025-2029 5,085,000 573,503 - - 5,085,000 573,503 2030-2031 2,110,000 73,690 - - 2,110,000 73,690 Total $ 11,830,000 $ 1,673,769 $ 360,000 $ 14,400 $ 12,190,000 $ 1,688,169 Business-Type Activities General Obligation General Obligation Year Ending Revenue Bonds Revenue Notes Capital Lease Total December 31, Principal Interest Principal Interest Principal Interest Principal Interest 2020 $ 580,000 $ 202,513 $ 420,160 $ 116,840 $ 167,142 $ 15,692 $ 1,167,302 $ 335,045 2021 590,000 190,913 433,154 103,846 74,101 9,347 1,097,255 304,106 2022 610,000 179,113 446,206 90,794 77,952 5,507 1,134,158 275,414 2023 615,000 165,863 459,652 77,348 25,920 1,465 1,100,572 244,676 2024 635,000 152,500 473,316 63,684 - - 1,108,316 216,184 2025-2029 2,685,000 540,613 1,767,512 107,061 - - 4,452,512 647,674 2030-2033 2,150,000 163,500 - - - - 2,150,000 163,500 $ 7,865,000 $ 1,595,015 $ 4,000,000 $ 559,573 $ 345,115 $ 32,011 $12,210,115 $ 2,186,599 D. Description of Long-Term Debt • General Obligation Bonds and General Obligation Improvement Bonds - The City issues general obligation(G.O.)bonds to provide financing for street,utility,park, and cemetery project improvements. The City issues G.O. equipment certificates to provide financing for capital equipment. Debt service is covered respectively by special assessments, state aids, general property taxes, and tax increments. G.O. bonds and equipment certificates are direct obligations and pledge the full faith and credit of the City. Equipment certificates are issued as five-year notes with fluctuating debt service payments each year. • General Obligation Revenue Bonds - The City issues revenue bonds to provide financing for its enterprise funds. The City issued G.O. revenue bonds for the water and sewer and storm drainage activity. Debt service is covered through the revenue producing activities of these funds. • General Obligation Revenue Notes-The City issues revenue notes to provide financing for its enterprise funds. The City issued G.O. revenue notes for water and sewer activity. Debt service is covered through the revenue producing activities of these funds. -54- NOTE 5—LONG-TERM DEBT (CONTINUED) • Capital Leases — The City entered into four lease agreements for financing the acquisition of equipment for the municipal golf course. Revenues from the Municipal Golf Course Fund financed these leases. The first lease agreement matures in November 2020 and carries an interest rate of 3.50 percent. As of December 31, 2019, these assets had a capitalized value of $253,419 with accumulated depreciation of$174,443.Upon the occurrence of a default on this lease,the lessor may do any or all of the following: (a)provide written notice to lessee of default, (b) declare due and payable the present value of any and all amounts which may be then due and payable by lessee to lessor under this lease plus all rent payments remaining through the end of the then current fiscal year, discounted at the higher of 3.00 percent or the lowest rate allowed by law, and (c) require lessee to immediately return the equipment to lessor. The second lease agreement matures in March 2022 and carries an interest rate of 4.95 percent. As of December 31, 2019, these assets had a capitalized value of $180,010 with accumulated depreciation of$28,625. Upon the occurrence of a default on this lease, lessor may declare the entire balance of the unpaid lease payments for the then current initial term or renewal term immediately due and payable; charge interest on all monies due at the rate of 18.00 percent per year from the date of default until paid; and require lessee to return equipment. The third lease agreement matures in June 2022 and carries an interest rate of 4.75 percent. As of December 31, 2019, these assets had a capitalized value of $74,987 with accumulated depreciation of$11,895. Upon the occurrence of a default on this lease, lessor may declare the entire balance of the unpaid lease payments for the then current initial term or renewal term immediately due and payable; charge interest on all monies due at the rate of 18.00 percent per year from the date of default until paid; and require lessee to return equipment. The fourth lease agreement matures in March 2023 and carries an interest rate of 5.65 percent. As of December 31, 2019, these assets had a capitalized value of $123,041 with accumulated depreciation of $8,527. Upon the occurrence of a default on this lease, lessor may declare the entire balance of the unpaid lease payments for the then current initial term or renewal term immediately due and payable; charge interest on all monies due at the rate of 18.00 percent per year from the date of default until paid; and require lessee to return equipment. -55- NOTE 5—LONG-TERM DEBT (CONTINUED) • Total OPEB Liability — This liability represents the City's Other Post-Employment Benefits (OPEB) Plan liability as further described later in these notes. The General Fund, Municipal Liquor, Municipal Golf Course, Sports Arena, Water and Sewer, and Storm Drainage Funds will be used to liquidate this liability. • Net Pension Liability—This liability represents the City's pension benefit obligations as further described later in these notes. The General Fund, Municipal Liquor, Municipal Golf Course, Sports Arena,Water and Sewer, and Storm Drainage Funds will be used to liquidate this liability. The City participates in two state-wide, cost-sharing, multiple-employer defined benefit pension plans administered by the PERA and a single-employer plan administered by the fire relief association. The following is a summary of the net pension asset, net pension liabilities, deferred outflows and inflows of resources, and pension expense reported for these plans as of and for the year ended December 31,2019: Net Net Deferred Deferred Pension Pension Outflows Inflows Pension Pension Plans Asset Liabilities of Resources of Resources Expense PERA—GERF $ — $ 8,519,846 $ 821,682 $ 1,945,926 $ 958,190 PERA—PEPFF — 5,319,812 5,299,179 8,330,322 783,896 Fire Relief 562,807 — 1,617,109 768,491 377,884 Total pension plans $ 562,807 $ 13,839,658 $ 7,737,970 $ 11,044,739 $ 2,119,970 • Compensated Absences —This liability represents vested benefits earned by employees through the end of the year, which will be paid or used in future periods. The Benefits/Other Insurance Internal Service Fund, Municipal Liquor, Municipal Golf Course, Sports Arena, Water and Sewer, and Storm Drainage Funds will be used to liquidate this liability. E. Revenue Pledged Revenue Pledged Current Year Percent of Remaining Principal Pledged Use of Total Debt Term of Principal and Interest Revenue Bond Issue Proceeds Type Service Pledge and Interest Paid Received G.O.Water Revenue Bonds 2014A Utility improvements Utility charges 100% 2014-2033 $8,111,000 $ 580,125 $10,577,669 G.O.Bonds 2015B Utility improvements Utility charges 100% 2015-2026 $1,349,015 $ 203,787 $ 2,113,725 G.O.Water Revenue Note 2018A Utility improvements Utility charges 100% 2018-2028 $4,559,573 $ 64,446 $10,577,669 F. Arbitrage Rebate The Tax Reform Act of 1986 requires governmental entities to pay to the federal government income earned on the proceeds from the issuance of debt in excess of interest costs, pending the expenditure of the borrowed funds. This rebate of interest income (known as arbitrage) applies to governmental debt issued after August 31, 1986. In the opinion of management, any obligation would be immaterial. -56- NOTE 5—LONG-TERM DEBT (CONTINUED) G. Conduit Debt Obligations At times, the City has issued various types of revenue bonds to provide financial assistance to private sector, nonprofit, or governmental entities to finance the acquisition or construction of facilities deemed to be in the public interest. The bonds are secured by the property financed and are payable solely from payments received on the underlying mortgage loans. Upon repayment of the bonds, ownership of the acquired facilities transfers to the private sector entity served by the bond issuance. Neither the City, nor any political subdivision thereof, is obligated in any manner for repayment of the bonds. Accordingly, the bonds are not reported as liabilities in the City's financial statements. As of December 31, 2019, the following conduit debt issues were outstanding: Augustana Care Health Care Revenue Bonds(Augustana Health Care Center Project), Series 2016A $ 15,930,000 Minnesota Senior Living LLC Senior Living Revenue Bonds(Minnesota Senior Living LLC Project), Series 2016A 67,950,000 Senior Living Revenue Bonds(Minnesota Senior Living LLC Project), Series 2016B 49,890,000 Senior Living Revenue Bonds(Minnesota Senior Living LLC Project), Series 2016C 6,810,000 Senior Living Revenue Bonds(Minnesota Senior Living LLC Project), Series 2016D 21,490,000 Lifeworks Services Inc. Educational Facilities Revenue Note, Series 2011 1,604,337 Apple Valley Senior Housing Inc. Senior Housing Revenue Refunding Bond,Series 2018 49,185,000 Total conduit debt obligations $ 212,859,337 NOTE 6—JOINT POWERS COMMITMENT On August 25, 2005, the City entered into a joint powers agreement (the Agreement) with the cities of Burnsville, Eagan, Farmington, Hastings, Inver Grove Heights, Lakeville, Mendota Heights, Rosemount, South St. Paul, West St. Paul, and Dakota County, Minnesota, to establish the Dakota Communications Center (DCC), a Minnesota nonprofit corporation. The purpose of the DCC is to engage in the operation and maintenance of a county-wide public safety answering point and communications center for law enforcement, fire, emergency medical services, and other public safety services for the mutual benefit of residents residing in the above mentioned cities and county (members). Pursuant to the Agreement, members are required to provide the DCC their pro rata share of the cost of operations, maintenance, and capital projects. Information regarding the DCC can be obtained by contacting the City of Lakeville, 20195 Holyoke Avenue,Lakeville,Minnesota 55044-9177 or from the website www.mn-dcc.org/about-the-dcc/statistics/. -57- NOTE 7—DEFINED BENEFIT PENSION PLANS—STATE-WIDE A. Plan Descriptions The City participates in the following cost-sharing, multiple-employer defined benefit pension plans administered by the Public Employees Retirement Association (PERA) of Minnesota. The PERA's defined benefit pension plans are established and administered in accordance with Minnesota Statutes, Chapters 353 and 356. The PERA's defined benefit pension plans are tax qualified plans under Section 401(a)of the Internal Revenue Code. 1. General Employees Retirement Fund(GERF) All full-time and certain part-time employees of the City are covered by the GERF. The GERF members belong to the Coordinated Plan. Coordinated Plan members are covered by Social Security. 2. Public Employees Police and Fire Fund(PEPFF) The Public Employees Police and Fire Fund (PEPFF), originally established for police officers and firefighters not covered by a local relief association, now covers all police officers and firefighters hired since 1980. Effective July 1, 1999, the PEPFF also covers police officers and firefighters belonging to local relief associations that elected to merge with and transfer assets and administration to the PERA. B. Benefits Provided The PERA provides retirement, disability, and death benefits. Benefit provisions are established by state statutes and can only be modified by the State Legislature. Vested, terminated employees who are entitled to benefits but are not receiving them yet, are bound by the provisions in effect at the time they last terminated their public service. 1. GERF Benefits Benefits are based on a member's highest average salary for any five successive years of allowable service, age, and years of credit at termination of service. Two methods are used to compute benefits for the PERA's Coordinated Plan members. Members hired prior to July 1, 1989, receive the higher of Method 1 or Method 2 formulas. Only Method 2 is used for members hired after June 30, 1989. Under Method 1, the accrual rate for Coordinated Plan members is 1.2 percent of average salary for each of the first 10 years of service, and 1.7 percent of average salary for each additional year. Under Method 2, the accrual rate for Coordinated Plan members is 1.7 percent of average salary for all years of service. For members hired prior to July 1, 1989, a full annuity is available when age plus years of service equal 90, and normal retirement age is 65. For members hired on or after July 1, 1989,normal retirement age is the age for unreduced Social Security benefits capped at age 66. -58- NOTE 7—DEFINED BENEFIT PENSION PLANS—STATE-WIDE (CONTINUED) Annuities, disability benefits, and survivor benefits are increased effective every January 1. Beginning January 1, 2019, the post-retirement increase will be equal to 50.0 percent of the cost of living adjustment (COLA) announced by the Social Security Administration, with a minimum increase of at least 1.0 percent and a maximum of 1.5 percent. Recipients that have been receiving the annuity or benefit for at least a full year as of June 30 before the effective date of the increase, will receive the full increase. For recipients receiving the annuity or benefit for at least one month, but less than a full year as of the June 30 before the effective date of the increase, will receive a reduced prorated increase. For members retiring on January 1, 2024 or later, the increase will be delayed until normal retirement age (age 65 if hired prior to July 1, 1989, or age 66 for individuals hired on or after July 1, 1989). Members retiring under Rule of 90 are exempt from the delay to normal retirement. 2. PEPFF Benefits Benefits for the PEPFF members first hired after June 30, 2010 but before July 1, 2014,vest on a prorated basis from 50 percent after five years, up to 100 percent after 10 years of credited service. Benefits for the PEPFF members first hired after June 30, 2014 vest on a prorated basis from 50 percent after 10 years, up to 100 percent after 20 years of credited service. The annuity accrual rate is 3 percent of average salary for each year of service. A full, unreduced pension is earned when members are age 55 and vested, or for members who were first hired prior to July 1, 1989,when age plus years of service equal at least 90. Annuities, disability benefits, and survivor benefits are increased effective every January 1. Beginning January 1, 2019,the post-retirement increase will be fixed at 1 percent. Recipients that have been receiving the annuity or benefit for at least 36 months as of the June 30 before the effective date of the increase,will receive the full increase. For recipients receiving the annuity or benefit for at least 25 months, but less than 36 months as of the June 30 before the effective date of the increase,will receive a reduced prorated increase. C. Contributions Minnesota Statutes, Chapter 353 sets the rates for employer and employee contributions. Contribution rates can only be modified by the State Legislature. 1. GERF Contributions Coordinated Plan members were required to contribute 6.50 percent of their annual covered salary in fiscal year 2019. The City was required to contribute 7.50 percent for Coordinated Plan members. The City's contributions to the GERF for the year ended December 31, 2019, were $831,557. The City's contributions were equal to the required contributions as set by state statutes. 2. PEPFF Contributions Police and fire member's contribution rates increased from 10.80 percent of pay to 11.30 percent and employer rates increased from 16.20 percent to 16.95 percent on January 1,2019. The City's contributions to the PEPFF for the year ended December 31, 2019, were $923,798. The City's contributions were equal to the required contributions as set by state statutes. -59- NOTE 7—DEFINED BENEFIT PENSION PLANS—STATE-WIDE (CONTINUED) D. Pension Costs 1. GERF Pension Costs At December 31, 2019, the City reported a liability of$8,519,846 for its proportionate share of the GERF's net pension liability. The net pension liability was measured as of June 30, 2019, and the total pension liability used to calculate the net pension liability was determined by an actuarial valuation as of that date. The City's proportion of the net pension liability was based on the City's contributions received by the PERA during the measurement period for employer payroll paid dates from July 1, 2018 through June 30, 2019, relative to the total employer contributions received from all of the PERA's participating employers. The City's proportionate share was 0.1541 percent at the end of the measurement period and 0.1552 percent for the beginning of the period. The City's net pension liability reflected a reduction, due to the state of Minnesota's contribution of $16 million to the fund in 2019. The state of Minnesota is considered a nonemployer contributing entity and the state's contribution meets the definition of a special funding situation. The amount recognized by the City as its proportionate share of the net pension liability, the direct aid, and total portion of the net pension liability that was associated with the City were as follows: City's proportionate share of the net pension liability $ 8,519,846 State's proportionate share of the net pension liability associated with the City $ 264,822 For the year ended December 31, 2019, the City recognized pension expense of$938,357 for its proportionate share of the GERF's pension expense. In addition, the City recognized an additional $19,833 as pension expense (and grant revenue) for its proportionate share of the state of Minnesota's contribution of$16 million to the GERF. At December 31, 2019,the City reported its proportionate share of the GERF's deferred outflows of resources and deferred inflows of resources related to pensions from the following sources: Deferred Deferred Outflows Inflows of Resources of Resources Differences between expected and actual economic experience $ 243,317 $ — Changes in actuarial assumptions — 692,866 Differences between projected and actual investment earnings — 916,823 Changes in proportion 166,450 336,237 Contributions paid to the PERA subsequent to the measurement date 411,915 — Total $ 821,682 $ 1,945,926 -60- NOTE 7—DEFINED BENEFIT PENSION PLANS—STATE-WIDE (CONTINUED) A total of$411,915 reported as deferred outflows of resources related to pensions resulting from city contributions subsequent to the measurement date that will be recognized as a reduction of the net pension liability in the year ending December 31, 2020. Other amounts reported as deferred outflows and deferred inflows of resources related to pensions will be recognized in pension expense as follows: Pension Year Ending Expense December 31, Amount 2020 $ (486,897) 2021 $ (875,899) 2022 $ (187,091) 2023 $ 13,728 2. PEPFF Pension Costs At December 31, 2019, the City reported a liability of$5,319,812 for its proportionate share of the PEPFF's net pension liability. The net pension liability was measured as of June 30, 2019, and the total pension liability used to calculate the net pension liability was determined by an actuarial valuation as of that date. The City's proportion of the net pension liability was based on the City's contributions received by the PERA during the measurement period for employer payroll paid dates from July 1, 2018 through June 30, 2019, relative to the total employer contributions received from all of the PERA's participating employers. The City's proportionate share was 0.4997 percent at the end of the measurement period and 0.4992 percent for the beginning of the period. For the year ended December 31, 2019, the City recognized pension expense of$716,437 for its proportionate share of the PEPFF's pension expense. The City also recognized $67,459 for the year ended December 31, 2019, as revenue and an offsetting reduction of net pension liability for its proportionate share of the state of Minnesota's on-behalf contributions to the PEPFF. Legislation passed in 2013 required the state of Minnesota to begin contributing $9 million to the PEPFF each year until the plan is 90 percent funded or until the State Patrol Plan (administered by the Minnesota State Retirement System) is 90 percent funded, whichever occurs later. In addition, the state will pay $4.5 million on October 1, 2018 and October 1, 2019 in direct state aid. Thereafter, by October 1 of each year, the state will pay $9 million until full funding is reached or July 1,2048,whichever is earlier. At December 31, 2019,the City reported its proportionate share of the PEPFF's deferred outflows of resources and deferred inflows of resources related to pensions from the following sources: Deferred Deferred Outflows Inflows of Resources of Resources Differences between expected and actual economic experience $ 227,910 $ 839,532 Changes in actuarial assumptions 4,585,106 6,102,333 Differences between projected and actual investment earnings — 1,109,120 Changes in proportion 19,591 279,337 Contributions paid to the PERA subsequent to the measurement date 466,572 — Total $ 5,299,179 $ 8,330,322 -61- NOTE 7—DEFINED BENEFIT PENSION PLANS—STATE-WIDE (CONTINUED) A total of$466,572 reported as deferred outflows of resources related to pensions resulting from city contributions subsequent to the measurement date that will be recognized as a reduction of the net pension liability in the year ending December 31, 2020. Other amounts reported as deferred outflows and deferred inflows of resources related to pensions will be recognized in pension expense as follows: Pension Year Ending Expense December 31, Amount 2020 $ (412,260) 2021 $ (811,861) 2022 $ (2,239,819) 2023 $ (30,160) 2024 $ (3,615) E. Actuarial Assumptions The total pension liability in the June 30, 2019 actuarial valuation was determined using an individual entry-age normal actuarial cost method and the following actuarial assumptions: Inflation 2.50%per year Active member payroll growth 3.25%per year Investment rate of return 7.50% Salary increases were based on a service-related table. Mortality rates for active members, retirees, survivors, and disabilitants for all plans were based on RP-2014 tables for males and females, as appropriate, with slight adjustments to fit the PERA's experience. Cost of living benefit increases after retirement for retirees are assumed to be 1.25 percent per year for the GERF,and 1.00 percent per year for the PEPFF. Actuarial assumptions used in the June 30, 2019 valuation were based on the results of actuarial experience studies. The most recent four-year experience study in the GERF was completed in 2019. The most recent four-year experience study for the PEPFF was completed in 2016. Economic assumptions were updated in 2018 based on a review of inflation and investment return assumptions. The following changes in actuarial assumptions and plan provisions occurred in 2019: 1. GERF CHANGES IN ACTUARIAL ASSUMPTIONS • The mortality projection scale was changed from MP-2017 to MP-2018. CHANGES IN PLAN PROVISIONS • The employer supplemental contribution was changed prospectively, decreasing from $31.0 million to $21.0 million per year. The state's special funding contribution was changed prospectively,requiring$16.0 million due per year through 2031. -62- NOTE 7—DEFINED BENEFIT PENSION PLANS—STATE-WIDE (CONTINUED) 2. PEPFF CHANGES IN ACTUARIAL ASSUMPTIONS • The mortality projection scale was changed from MP-2017 to MP-2018. The Minnesota State Board of Investment, which manages the investments of the PERA, prepares an analysis of the reasonableness on a regular basis of the long-term expected rate of return using a building-block method in which best-estimate ranges of expected future rates of return are developed for each major asset class. These ranges are combined to produce an expected long-term rate of return by weighting the expected future rates of return by the target asset allocation percentages. The target allocation and best-estimates of geometric real rates of return for each major asset class are summarized in the following table: Target Long-Term Expected Asset Class Allocation Real Rate of Return Domestic equity 35.5 % 5.10 % Private markets 25.0 5.90 % Fixed income 20.0 0.75 % International equity 17.5 5.90 % Cash equivalents 2.0 — % Total 100.0 % F. Discount Rate The discount rate used to measure the total pension liability in 2019 was 7.50 percent. The projection of cash flows used to determine the discount rate assumed that contributions from plan members and employers will be made at rates set in Minnesota Statutes. Based on these assumptions, the fiduciary net positions of the GERF and the PEPFF were projected to be available to make all projected future benefit payments of current plan members. Therefore, the long-term expected rate of return on pension plan investments was applied to all periods of projected benefit payments to determine the total pension liability. G. Pension Liability Sensitivity The following table presents the City's proportionate share of the net pension liability for all plans it participates in, calculated using the discount rate disclosed in the preceding paragraph, as well as what the City's proportionate share of the net pension liability would be if it were calculated using a discount rate 1 percentage point lower or 1 percentage point higher than the current discount rate: 1%Decrease in 1%Increase in Discount Rate Discount Rate Discount Rate 6.50% 7.50% 8.50% City's proportionate share of the GERF net pension liability $ 14,006,164 $ 8,519,846 $ 3,989,795 City's proportionate share of the PEPFF net pension liability $ 11,628,119 $ 5,319,812 $ 102,943 -63- NOTE 7—DEFINED BENEFIT PENSION PLANS—STATE-WIDE (CONTINUED) H. Pension Plan Fiduciary Net Position Detailed information about each pension plan's fiduciary net position is available in a separately issued PERA financial report that includes financial statements and required supplementary information. That report may be obtained on the PERA website at www.mnpera.org; by writing to the PERA at 60 Empire Drive, Suite 200, St. Paul,Minnesota 55103; or by calling(651)296-7460 or(800) 652-9026. NOTE 8—DEFINED CONTRIBUTION PENSION PLAN—STATE-WIDE Councilmembers of the City are covered by the Public Employees Defined Contribution Plan(PEDCP), a multiple-employer deferred compensation plan administered by the PERA. The PEDCP is a tax qualified plan under Section 401(a) of the IRC and all contributions by or on behalf of employees are tax deferred until time of withdrawal. Plan benefits depend solely on amounts contributed to the plan plus investment earnings, less administrative expenses. Minnesota Statutes, Chapter 353D.03, specifies plan provisions, including the employee and employer contribution rates for those qualified personnel who elect to participate. An eligible elected official who decides to participate contributes 5 percent of salary,which is matched by the elected official's employer. For ambulance service personnel, employer contributions are determined by the employer, and for salaried employee contributions must be a fixed percentage of salary. Employer contributions for volunteer personnel may be a unit value for each call or period of alert duty. Employees who are paid for their services may elect to make member contributions in an amount not to exceed the employer share. Employer and employee contributions are combined and used to purchase shares in one or more of the seven accounts of the Minnesota Supplemental Investment Fund. For administering the plan, the PERA receives 2 percent of employer contributions and twenty-five hundredths of 1 percent (0.0025)of the assets in each member's account annually. Total contributions made by the City for the fiscal year 2019 were: Required Rate Contribution Amount Percentage of Covered Payroll for Employees Employee Employer Employee Employer and Employers $ 2,007 $ 2,007 5% 5% 5% NOTE 9—DEFINED BENEFIT PENSION PLAN—FIRE RELIEF ASSOCIATION A. Plan Description All members of the Apple Valley Fire Department(the Department)are covered by a defined benefit plan administered by the Apple Valley Firefighters' Relief Association (the Association). As of the measurement date, the plan covered 68 active members, 16 inactive members entitled to future benefits, and 33 inactive members or beneficiaries currently receiving benefits. The plan is a single-employer retirement plan and is established and administered in accordance with Minnesota Statutes, Chapter 69. The Association maintains a separate Special Pension Trust Fund to accumulate assets to fund the retirement benefits earned by the Department's membership. Funding for the Association is derived from an insurance premium tax in accordance with the Volunteer Firefighter's Relief Association Financing Guidelines Act of 1971 (Chapter 261 as amended by Chapter 509 of Minnesota Statutes 1980). Funds are also derived from investment income. -64- NOTE 9—DEFINED BENEFIT PENSION PLAN—FIRE RELIEF ASSOCIATION (CONTINUED) B. Benefits Provided Each member who is at least 50 years of age, has separated from service from the fire department, has served at least 5 years of active service for members commencing active duty prior to January 1, 2010, and 10 years of active service for members commencing active duty after January 1, 2010 with such deparltitent before separation and has been a member of the Association in good standing at least 5 years prior to such separation shall be entitled to a lump sum service pension in the amount of$7,000 for each year of service (including each year over 20) or a monthly service pension of$46 for each year of service (including each year over 20),but not exceeding the maximum amount per year of service allowed by law for the minimum average amount of available financing per firefighter as prescribed by law. According to the bylaws of the Association and pursuant to Minnesota Statutes, members who separate from service with less than 20 years of service and have reached the age of at least 50, and have completed at least 5 years of active membership for members commencing active duty prior to January 1, 2010, and 10 years of active membership for members commencing active duty after January 1, 2010, are entitled to a reduced service pension not to exceed the amount calculated by multiplying the member's service pension for the completed years of service times the applicable nonforfeitable percentage of pension for the completed years of service times the applicable nonforfeitable percentage of pension. C. Contributions Minnesota Statutes, Chapters 424 and 424A, authorize pension benefits for volunteer fire relief associations. The plan is funded by fire state aid, investment earnings, and, if necessary, employer contributions as specified in Minnesota Statutes and voluntary city contributions (if applicable). Required employer contributions are calculated annually based on statutory provisions. The City's statutorily-required contributions to the plan for the year ended December 31, 2019 were $255,223. The City's contributions were equal to the required contributions as set by state statutes. The City made no voluntary contributions to the plan. Furthermore, the firefighter has no obligation to contribute to the plan. D. Pension Costs At December 31, 2019,the City reported a net pension liability(asset) of($562,807) for the plan. The net pension liability (asset) was measured as of December 31, 2018. The total pension liability used to calculate the net pension liability (asset) in accordance with GASB Statement No. 68 was determined by applying an actuarial formula to specific census data certified by the Depai ltnent as of December 31, 2018. For the year ended December 31, 2019, the City recognized pension expense of$377,884. The City also recognized$298,751 as revenue from the state of Minnesota on-behalf contributions to the Depai tiitent. -65- NOTE 9—DEFINED BENEFIT PENSION PLAN—FIRE RELIEF ASSOCIATION (CONTINUED) The following table presents the changes in net pension liability(asset) during the year: Total Pension Plan Fiduciary Net Pension Liability Net Position Liability(Asset) Beginning balance $ 5,946,712 $ 7,753,729 $ (1,807,017) Changes for the year Service cost 159,059 — 159,059 Interest 419,004 — 419,004 Difference between expected and actual experience 21,501 — 21,501 Change of assumptions 534,195 — 534,195 Change of benefit terms 149,707 — 149,707 Contributions—state and local — 551,681 (551,681) Net investment income — (484,118) 484,118 Benefit payments (652,816) (652,816) — Administrative costs — (28,307) 28,307 Total net changes 630,650 (613,560) 1,244,210 Ending balance $ 6,577,362 $ 7,140,169 $ (562,807) At December 31,2019,the City reported deferred outflows of resources and deferred inflows of resources related to pensions from the following sources: Deferred Deferred Outflows Inflows of Resources of Resources Differences between expected and actual economic experience $ 24,319 $ 62,795 Changes in actuarial assumptions 561,121 394,044 Differences between projected and actual investment earnings 464,794 — City contributions subsequent to the measurement date 255,223 — State aid to the City subsequent to the measurement date 311,652 311,652 Total $ 1,617,109 $ 768,491 -66- NOTE 9—DEFINED BENEFIT PENSION PLAN—FIRE RELIEF ASSOCIATION (CONTINUED) A total of $566,875 reported as deferred outflows of resources related to pensions resulting from the City's contributions and state aid received subsequent to the measurement date will be recognized as a reduction of the net pension liability in the year ending December 31,2020. Deferred inflows of resources totaling $311,652 related to state aid received subsequent to the measurement date will be recognized for its impact on the net pension liability in the year ending December 31, 2020. Other amounts reported as deferred outflows and inflows of resources related to the plan will be recognized in pension expense as follows: Pension Year Ending Expense December 31, Amount 2020 $ (137,045) 2021 $ (15,623) 2022 $ (48,828) 2023 $ (199,981) 2024 $ (67,138) Thereafter $ (124,780) E. Actuarial Assumptions The total pension liability at December 31,2018 was determined using the entry-age normal actuarial cost method and the following actuarial assumptions: Inflation 2.50% Salary increases N/A Investment rate of return 6.25%net of pension plan investment expense,including inflation Index rate for 20-year,tax-exempt municipal bonds (Bond Buyer G.O.20-Year Municipal Bond Index); used in discount rate determination 3.71% N/A—Not Applicable Mortality rates were based on the July 1, 2018 Minnesota Public Employees Retirement Association Police and Fire Plan actuarial valuation as described below: Healthy Pre-Retirement — RP-2014 Employee Generational Mortality Table projected with Mortality Improvement Scale MP-2017, from a base year of 2006. Healthy Post-Retirement — RP-2014 Annuitant Generational Mortality Table projected with Mortality Improvement Scale MP-2017 from a base year of 2006. Male rates are adjusted by a factor of 0.96. For the December 31, 2018 valuation, the plan benefit per year of service increased from $6,700 to $7,000 and the monthly service pension increased from$45 to $46. -67- NOTE 9—DEFINED BENEFIT PENSION PLAN—FIRE RELIEF ASSOCIATION (CONTINUED) The changes in actuarial assumptions since the prior valuation included: • The expected investment return and discount rate decreased from 7.25 percent to 6.25 percent to reflect updated capital market assumptions. • The assumed inflation assumption decreased from 2.75 percent to 2.50 percent. • The mortality assumption was updated from the rates used in the July 1, 2017 Minnesota PERA Police and Fire Plan actuarial valuation to the rates used in the July 1,2018 Minnesota PERA Police and Fire Plan actuarial valuation. The long-term expected rate of return on pension plan investments was determined using a building-block method in which best-estimates of expected future real rates of return (expected returns, net of pension plan investment expense and inflation) are developed for each major asset class. These asset class estimates are combined to produce the portfolio long-term expected rate of return by weighting the expected future real rates of return by the current asset allocation percentage (or target allocation, if available)and by adding expected inflation. All results are then rounded to the nearest quarter percent. Allocation at Long-Term Long-Term Measurement Expected Real Expected Nominal Asset Class Date Rate of Return Rate of Return Domestic equity 64.26 % 4.95 % 7.45 % International equity 8.14 5.24 % 7.74 % Fixed income 12.73 1.99 % 4.49 % Real estate and alternatives — 4.19 % 6.69 % Cash and equivalents 14.87 0.58 % 3.08 % Total(weighted average,rounded to 1/4 percent) 100.00 % 6.25 % F. Discount Rate The discount rate used to measure the total pension liability was 6.25 percent. The projection of cash flows used to determine the discount rate assumed that contributions to the plan will be made as specified in state statutes. Based on that assumption and considering the funding ratio of the plan, the fiduciary net position was projected to be available to make all projected future benefit payments of current active and inactive members. Therefore, the long-term expected rate of return on pension plan investments was applied to all periods of projected benefit payments to determine the total pension liability. G. Sensitivity of the Net Pension Liability(Asset)to Changes in the Discount Rate The following presents the net pension liability (asset) of the Association, calculated using the discount rate of 6.25 percent, as well as what the Association's net pension liability (asset) would be if it were calculated using a discount rate that is 1 percentage point lower (5.25 percent) or 1 percentage point higher(7.25 percent)than the current discount rate: 1%Decrease in Current 1%Increase in Discount Rate Discount Rate Discount Rate 5.25% 6.25% 7.25% Association's net pension liability(asset) $ 85,319 $ (562,807) $ (1,112,534) H. Pension Plan Fiduciary Net Position The Association issues a publicly available financial report. This report may be obtained by writing to the Apple Valley Firefighters' Relief Association, 7100 147th Street West,Apple Valley,Minnesota 55124. -68- NOTE 10—OTHER POST-EMPLOYMENT BENEFITS(OPEB)PLAN A. Plan Description The City provides post-employment insurance benefits to certain eligible employees through its OPEB Plan, a single-employer defined benefit plan administered by the City. All post-employment benefits are based on contractual agreements with employee groups. These contractual agreements do not include any specific contribution or funding requirements. The plan does not issue a publicly available financial report.No plan assets are accumulated in a trust that meets the criteria in paragraph 4 of GASB Statement No. 75. B. Benefits Provided All retirees of the City have the option under state law to continue their medical insurance coverage through the City from the time of retirement until the employee reaches the age of eligibility for Medicare. For members of all employee groups, the retiree must pay the full premium to continue coverage for medical and dental insurance. Per state statutes, the City is also required to contribute towards the cost of continued health insurance coverage for officers and firefighters disabled or killed in the line of duty. The City is legally required to include any retirees for whom it provides health insurance coverage in the same insurance pool as its active employees until the retiree reaches Medicare eligibility, whether the premiums are paid by the City or the retiree. Consequently,participating retirees are considered to receive a secondary benefit known as an "implicit rate subsidy." This benefit relates to the assumption that the retiree is receiving a more favorable premium rate than they would otherwise be able to obtain if purchasing insurance on their own, due to being included in the same pool with the City's younger and statistically healthier active employees. C. Contributions The required contribution is based on projected pay-as-you-go financing requirements, with additional amounts to prefund benefits as determined periodically by the City. The City's current year required pay-as -you-go contributions to finance the benefits described in the previous section totaled$87,808. D. Membership Membership in the plan consisted of the following as of the latest actuarial valuation: Retirees and beneficiaries receiving benefits 10 Active plan members 184 Total members 194 -69- NOTE 10—OTHER POST-EMPLOYMENT BENEFITS(OPEB)PLAN(CONTINUED) E. Total OPEB Liability of the City The City's total OPEB liability of$2,329,949 as of year-end was measured as of December 31, 2018, and was determined by an actuarial valuation as of January 1,2018. F. Actuarial Methods and Assumptions The total OPEB liability was determined by an actuarial valuation as of January 1, 2018, using the entry-age method. The following actuarial assumptions, applied to all periods included in the measurement,unless otherwise specified: Discount rate 4.09% 20-year municipal bond yield 4.09% Inflation rate 2.75% Salary increases 3.50% Healthcare trend rate 8.00%,grading to 5.00%over 9 years The actuarial assumptions used in the latest valuation were based on those used to value pension liabilities for Minnesota city employees. The state pension plans base their assumptions on periodic experience studies. Economic assumptions are based on input from a variety of published sources of historical and projected future financial data. Each assumption was reviewed for reasonableness with the source information as well as for consistency with the other economic assumptions. Since the Plan is not funded by an irrevocable trust, the discount rate is equal to the 20-year municipal bond yield rate of 4.09 percent, which was set by considering published rate information for 20-year high quality, tax-exempt, general obligation municipal bonds as of the measurement date. The City discount rate used in the prior measurement date was 3.44 percent. Mortality rates were based on the RP-2014 Mortality Table, adjusted for white collar and mortality improvements using projection scale MP-2015 from a base year of 2014 (using projection scale MP-2016 from a base year of 2006 for police and fire personnel). Future retirees electing coverage is assumed to be 65 percent. Married future retirees electing spouse coverage is assumed to be 40 percent(60 percent for police and fire personnel). G. Changes in the Total OPEB Liability Total OPEB Liability Beginning balance $ 2,230,647 Changes for the year Service cost 199,217 Interest 82,489 Changes of assumptions (118,563) Benefit payments (63,841) Total net changes 99,302 Ending balance $ 2,329,949 Assumption changes since the prior measurement date include the following: • The discount rate was changed from 3.44 percent to 4.09 percent. • The healthcare trend rate was changed from 10.00 percent, grading to 5.00 percent over 10 years, to 8.00 percent, grading to 5.00 percent over 9 years. -70- NOTE 10—OTHER POST-EMPLOYMENT BENEFITS(OPEB)PLAN(CONTINUED) H. Total OPEB Liability Sensitivity to Discount and Healthcare Cost Trend Rate Changes The following presents the total OPEB liability of the City, as well as what the City's total OPEB liability would be if it were calculated using a discount rate that is 1 percentage point lower or 1 percentage point higher than the current discount rate: 1%Decrease in Discount 1%Increase in Discount Rate Rate Discount Rate OPEB discount rate 3.09% 4.09% 5.09% Total OPEB liability $ 2,514,103 $ 2,329,949 $ 2,156,491 The following presents the total OPEB liability of the City, as well as what the City's total OPEB liability would be if it were calculated using healthcare cost trend rates that are 1 percentage point lower or 1 percentage point higher than the current healthcare cost trend rates: 1%Decrease in Healthcare Trend 1%Increase in Healthcare Trend Rate Rate Healthcare Trend Rate OPEB healthcare trend rate 7.00%,decreasing to 8.00%,decreasing to 9.00%,decreasing to 4.00%over 9 years 5.00%over 9 years 6.00%over 9 years Total OPEB liability $ 2,042,742 $ 2,329,949 $ 2,671,562 I. OPEB Expense and Related Deferred Outflows of Resources and Deferred Inflows of Resources For the current year ended, the City recognized OPEB expense of $274,987. As of year-end, the City reported deferred outflows of resources and deferred inflows of resources related to OPEB from the following sources: Deferred Deferred Outflows Inflows of Resources of Resources Changes of assumptions $ 44,726 $ 105,560 City's contributions subsequent to the measurement date 87,808 — Total $ 132,534 $ 105,560 A total of $87,808 reported as deferred outflows of resources related to OPEB resulting from city contributions subsequent to the measurement date that will be recognized as a reduction of the total OPEB liability in the year ending December 31, 2020. Other amounts reported as deferred outflows of resources and deferred inflows of resources related to OPEB will be recognized in OPEB expense as follows: OPEB Year Ending Expense June 30, Amount 2020 $ (6,719) 2021 $ (6,719) 2022 $ (6,719) 2023 $ (6,719) 2024 $ (6,719) Thereafter $ (27,239) -71- NOTE 11—STEWARDSHIP AND ACCOUNTABILITY A. Deficit Fund Balances The following funds have a deficit fund balance at December 31,2019: Amount Governmental Road Improvements $ 3,644,354 Construction Projects $ 86,886 Nonmajor funds Capital projects Central Village Parking $ 21,555 TIF District No. 15 Parkside Village $ 678,409 Enterprise Municipal Golf Course $ 165,008 The deficits listed above will be eliminated by transfers from other funds, collection of special assessments, future special assessment bond issues, future tax levies, future tax increment collections, and state grant reimbursements. B. Budget to Actual Expenditures exceeded budgeted amounts in the Future Capital Projects Fund by $12,458 and EDA Operations Special Revenue Fund by$473,549. NOTE 12—FUND BALANCES A. Classifications At December 31,2019,the City had the following governmental fund balances: Debt Service Capital Projects Closed Future Nonmajor General Bond Road Construction Capital Governmental Fund Issues Improvements Projects Projects Funds Total Nonspendable Inventory $ 18,882 $ — S — $ — $ — $ — $ 18,882 Prepaid items 58,758 — — — — — 58,758 Total nonspendable 77,640 — — — — — 77,640 Restricted Debt service — — — — — 1,122,632 1,122,632 Economic development — — — — — 805,229 805,229 Tax increment financing — — — — — 1,293,028 1,293,028 Police forfeiture — — — — — 90,073 90,073 Capital acquisition Cable capital equipment — — — — — 610,171 610,171 Tax increment financing — — — — — 3,089,082 3,089,082 Park dedication — — — — — 2,573,663 2,573,663 Electric projects — — — — — 5,156,551 5,156,551 Cable TV — — — — — 85,188 85,188 Other purposes Solid waste grant — — — — — 42,493 42,493 Lodging tax — — — — — 117,738 117,738 Total restricted — — — — — 14,985,848 14,985,848 -72- NOTE 12-FUND BALANCES (CONTINUED) Debt Service Capital Projects Closed Future Nonmajor General Bond Road Construction Capital Governmental Fund Issues Improvements Projects Projects Funds Total Committed Home improvement guide 20,000 - - - - - 20,000 Aquatic center equipment 13,000 - - - - - 13,000 Human resource office chairs 1,000 - - - - - 1,000 Finance/city clerk laserfiche consulting 5,000 - - - - - 5,000 Fire ergonomic standing desk 1,600 - - - - - 1,600 Park maintenance training 1,700 - - - - - 1,700 Fleet ice machine 1,480 - - - - - 1,480 Street maintenance backhoe bucket thumbs 8,000 - - - - - 8,000 Fire training 3,900 - - - - - 3,900 Fire station exercise equipment 19,000 - - - - - 19,000 Human resource desktop scanner 1,000 - - - - - 1,000 City clerk/election storage supplies 2,900 - - - - - 2,900 Finance ergonomic standing desk 4,100 - - - - - 4,100 General government building facility condition inventory 64,825 - - - - - 64,825 Park administration park bond professional assistance 6,000 - - - - - 6,000 Redwood building redesign services 12,800 - - - - - 12,800 Aquatic center pool shell painting 200,000 - - - - - 200,000 Aquatic center funbrella installation 4,700 - - - - - 4,700 Aquatic center concessions stand floor 8,000 - - - - - 8,000 Park maintenance sealcoating aquatic center lot 49,500 - - - - - 49,500 Park maintenance trail/court overlays 45,000 - - - - - 45,000 Johnny Cake Ridge Park activity center sign 2,000 - - - - - 2,000 Park maintenance fertilizer 16,900 - - - - - 16,900 Park maintenance puppet wagon trailer 9,000 - - - - - 9,000 Building inspection large format printer 15,000 - - - - - 15,000 Building inspection electric vehicle charging station 20,000 - - - - - 20,000 Engineering cartegraph training 1,900 - - - - - 1,900 Streets maintenance mini-loader/plow 17,000 - - - - - 17,000 Fleet Assetworks management software 21,400 - - - - - 21,400 Total committed 576,705 - - - - - 576,705 Assigned Debt service - 9,880,755 - - - 1,584,601 11,465,356 Other capital projects - - - - 14,860,441 516,456 15,376,897 Police special projects - - - - - 109,211 109,211 Tree preservation - - - - - 383,599 383,599 Ponds - - - - - 257,935 257,935 Pathways and sidewalks - - - - - 259,911 259,911 Dodd Road - - - - - 250,700 250,700 Former City Hall building - - - - - 144,799 144,799 Capital building - - - - - 773,921 773,921 Park improvement development - - - - - 3,089 3,089 Physical improvement - - - - - 168,894 168,894 Fire capital purchases - - - - - 18,100 18,100 Total assigned - 9,880,755 - - 14,860,441 4,471,216 29,212,412 Unassigned 17,391,762 - (3,644,354) (86,886) - (699,964) 12,960,558 Total $18,046,107 $ 9,880,755 $(3,644,354) $ (86,886) $14,860,441 $18,757,100 $57,813,163 B. Minimum Fund Balance Policy The City Council has formally adopted a fund balance policy. The policy establishes the City will strive to maintain a minimum unassigned General Fund balance of 50.0 percent of the subsequent year's budgeted expenditures. At December 31, 2019, the unassigned fund balance of the General Fund was 49.1 percent of the subsequent year's budgeted expenditures, including transfers. -73- NOTE 13—JOINT POWERS AGREEMENT WITH DAKOTA COUNTY In July 1987,the City and Dakota County(the County) entered into an agreement to maintain and operate the library in Apple Valley. The County will staff and operate the library and the City agreed to resurface the parking lot and driveways on a periodic basis. NOTE 14—TAX ABATEMENT AGREEMENTS The City, in order to spur economic development and redevelopment, has entered into private development and redevelopment agreements to encourage a developer to construct, expand, or improve new or existing properties and buildings or clean-up and redevelop blighted areas. The City has five agreements that would be considered a tax abatement under GASB Statement No. 77. The City is authorized to create a tax increment finance plan under Minnesota Statutes, Chapter 469.175. The criteria that must be met under the statutes are that, in the opinion of the municipality: • The proposed development or redevelopment would not reasonably be expected to occur solely through private investment within the reasonably foreseeable future; • The increased market value of the site that could reasonably be expected to occur without the use of tax increment financing would be less that the increase in the market value estimated to result from the proposed development after subtracting the present value of the projected tax increments for the maximum duration of the tax increment district permitted in the plan. The requirements of this item do not apply if the district is a housing district; • That the tax increment financing plan conforms to the general plan for the development or redevelopment of the municipality as a whole; and • That the tax increment financing plan will afford maximum opportunity, consistent with the sound needs of the municipality as a whole, for the development or redevelopment of the project by private enterprise. The City has entered into private development agreements regarding certain properties within a tax increment district. Included in the development agreement was the reimbursement of eligible development costs. The vehicle used for this reimbursement is called a tax increment revenue note. These notes provide for the payment of principal, equal to the developer's eligible costs,plus interest at a set rate. Payments on the note will be made at the lesser of the note payment or a percent of the available tax increment received during the specific year as stated in the agreement. Payments are first applied to accrued interest and then to the principal balance. The notes are to be cancelled at the end of the term, whether or not the note has been repaid in full. The agreements are not a general obligation of the City and are payable solely from available tax increments received from the property owner. The City's position is that these are obligations to assign future and uncertain revenues sources and, as such, is not actual debt in substance. -74- NOTE 14—TAX ABATEMENT AGREEMENTS (CONTINUED) The outstanding principal balances as of December 31,2019 for these agreements are as follows: Percentage of Amount of Taxes Returned Taxes Returned Outstanding Date of District Name Purpose Principal at Required During the During the Year-End Decertification Fiscal Year Fiscal Year Construction of 147th St.and Felton Ct., TIF No. 14—Apple Valley 100,000 sq.ft.expansion of 90% Business Campus $168,953 $1,310,330 12/31/2022 P warehouse/office facilities and the addition of minimum of 40 full-time jobs. Housing district,including the TIF No. 15—Parkside construction of multi-family residential 70% $300,811 $2,428,446 12/31/2041 Village—Gabella buildings of 196 units with 20 percent affordable units. Housing district,including the TIF No. 15—Parkside construction of multi-family residential 70% $40,621 $2,666,000 12/31/2041 Village—Galante buildings of 134 units with 20 percent affordable units. Creation of 86,000 sq.ft.of manufacturing TIF No. 16—Uponor facilities and the addition of 75 full-time 90% $52,636 $375,629 12/31/2025 jobs. Creation of 73,000 sq.ft.manufacturing TIF No. 17—Karamella facilities and the addition of 76 full-time 90% $62,317 $736,000 12/31/2026 jobs. NOTE 15—COMMITMENTS AND CONTINGENCIES A. Legal Claims The City has the usual and customary type of miscellaneous legal claims pending at year-end. Although the outcome of these lawsuits is not presently determinable, the City's management believes that the City will not incur any material monetary loss resulting from these claims. No loss has been recorded on the City's financial statements relating to these claims. B. Federal and State Funding Amounts recorded or receivable from federal and state agencies are subject to agency audit and adjustment. Any disallowed claims, including amounts already collected, may constitute a liability of the applicable funds. The amount, if any, of claims which may be disallowed by the grantor agencies cannot be determined at this time,although the City expects such amounts,if any,to be immaterial. C. Tax Increment Districts The City's tax increment districts are subject to review by the state of Minnesota Office of the State Auditor. Any disallowed claims or misuse of tax increments could become a liability of the applicable fund. Management has indicated that they are not aware of any instances of noncompliance, which would have a material effect on the financial statements. -75- NOTE 15—COMMITMENTS AND CONTINGENCIES(CONTINUED) D. Construction Commitments At December 31, 2019, the City is committed to various construction contracts for the improvement of city property. The City's remaining commitment under these contracts is approximately$15,322,000. E. Operating Lease On November 15, 2018, the City entered into an agreement to extend the existing liquor store building lease at Apple Valley Shopping Center with Time Square Shopping Center II, LLP for three years commencing February 1, 2019 and ending January 31, 2022, at a base rent of$11,500 per month. Lease expenditures for the year ended December 31,2019 were $137,500. On January 25, 2018, the City entered into an agreement to lease equipment for the Municipal Golf Course for two years commencing April 23, 2018. Annual rental payments are $37,215. Lease expenditures for the year ended December 31,2019 were $37,215. The following is a schedule by years of future minimum payments required under the leases as of December 31,2019: Year Ending Liquor Lease Golf Lease December 31, Amount Amount 2020 $ 138,000 $ 36,250 2021 138,000 36,250 2022 11,500 — Total $ 287,500 $ 72,500 NOTE 16—SUBSEQUENT EVENT The City generally reports its investments at fair value based on standards described earlier in these notes. Subsequent to year-end, the novel coronavirus (COVID-19) pandemic has caused significant volatility in economic conditions, including substantial reductions in the quoted active-market prices of some investments. The City's portfolio consists primarily of shorter-term investments, many with guaranteed maturity values. The City does not expect any losses ultimately realized from this market decline to be material. However, the potential negative impact could be heightened if increased demand on City resources and/or a sustained economic downturn hampers the City's ability to hold such investments to maturity as planned. The potential future impact of these conditions on the fair value of the City's investment portfolio is not determinable at this time. -76- REQUIRED SUPPLEMENTARY INFORMATION CITY OF APPLE VALLEY PERA—General Employees Retirement Fund Schedule of City's and Nonemployer Proportionate Share of Net Pension Liability Year Ended December 31,2019 Proportionate Share of the City's Net Pension Proportionate Liability and City's Share of the the City's Proportionate Plan Fiduciary State of Share of the Share of the Net Position City's City's Minnesota's State of Net Pension as a PERA Fiscal Proportion Proportionate Proportionate Minnesota's Liability as a Percentage Year-End Date of the Net Share of the Share of the Share of the City's Percentage of of the Total City Fiscal (Measurement Pension Net Pension Net Pension Net Pension Covered Covered Pension Year-End Date Date) Liability Liability Liability Liability Payroll Payroll Liability 12/31/2015 06/30/2015 0.1634% $ 8,468,235 $ — $ 8,468,235 $ 9,603,176 88.18% 78.20% 12/31/2016 06/30/2016 0.1561% $ 12,674,544 $ 165,598 $ 12,840,142 $ 9,680,914 130.92% 68.90% 12/31/2017 06/30/2017 0.1643% $ 10,488,804 $ 131,924 $ 10,620,728 $ 10,539,668 99.52% 75.90% 12/31/2018 06/30/2018 0.1552% $ 8,609,861 $ 282,435 $ 8,892,296 $ 10,429,041 82.56% 79.50% 12/31/2019 06/30/2019 0.1541% $ 8,519,846 $ 264,822 $ 8,784,668 $ 10,903,742 78.14% 80.20% PERA—General Employees Retirement Fund Schedule of City Contributions Year Ended December 31,2019 Contributions Contributions in Relation to as a Statutorily the Statutorily Contribution Percentage City Fiscal Required Required Deficiency Covered of Covered Year-End Date Contributions Contributions (Excess) Payroll Payroll 12/31/2015 $ 750,987 $ 750,987 $ — $ 10,013,141 7.50% 12/31/2016 $ 741,397 $ 741,397 $ — $ 9,885,306 7.50% 12/31/2017 $ 768,029 $ 768,029 $ — $ 10,240,379 7.50% 12/31/2018 $ 796,766 $ 796,766 $ — $ 10,623,546 7.50% 12/31/2019 $ 831,557 $ 831,557 $ — $ 11,087,351 7.50% Note: The City implemented GASB Statement No.68 in fiscal 2015(using a June 30,2015 measurement date).This schedule is intended to present 10-year trend information.Additional years will be added as they become available. -77- CITY OF APPLE VALLEY PERA—Public Employees Police and Fire Fund Schedule of City's Proportionate Share of Net Pension Liability Year Ended December 31,2019 City's Proportionate Plan Fiduciary Share of the Net Position City's City's Net Pension as a PERA Fiscal Proportion Proportionate Liability as a Percentage Year-End Date of the Net Share of the City's Percentage of of the Total City Fiscal (Measurement Pension Net Pension Covered Covered Pension Year-End Date Date) Liability Liability Payroll Payroll Liability 12/31/2015 06/30/2015 0.5150% $ 5,851,604 $ 4,711,902 124.19% 86.60% 12/31/2016 06/30/2016 0.5190% $ 20,828,373 $ 4,976,069 418.57% 63.90% 12/31/2017 06/30/2017 0.5110% $ 6,899,105 $ 5,233,601 131.82% 85.40% 12/31/2018 06/30/2018 0.4992% $ 5,320,954 $ 5,261,108 101.14% 88.80% 12/31/2019 06/30/2019 0.4997% $ 5,319,812 $ 5,257,632 101.18% 89.30% PERA—Public Employees Police and Fire Fund Schedule of City Contributions Year Ended December 31,2019 Contributions Contributions in Relation to as a Statutorily the Statutorily Contribution Percentage City Fiscal Required Required Deficiency Covered of Covered Year-End Date Contributions Contributions (Excess) Payroll Payroll 12/31/2015 $ 818,071 $ 818,071 $ — $ 5,049,825 16.20% 12/31/2016 $ 808,641 $ 808,641 $ — $ 4,991,606 16.20% 12/31/2017 $ 829,640 $ 829,640 $ — $ 5,121,237 16.20% 12/31/2018 $ 858,645 $ 858,645 $ — $ 5,300,284 16.20% 12/31/2019 $ 923,798 $ 923,798 $ — $ 5,439,291 16.98% Note: The City implemented GASB Statement No. 68 in fiscal 2015 (using a June 30, 2015 measurement date). This schedule is intended to present 10-year trend information.Additional years will be added as they become available. -78- CITY OF APPLE VALLEY Apple Valley Firefighters'Relief Association Schedule of Changes in the Relief Association's Net Pension Liability and Related Ratios December 31,2019 City fiscal year-end date—December 31 2015 2016 2017 2018 2019 Apple Valley Firefighters'Relief Association year-end date(measurement date)—December 31 2014 2015 2016 2017 2018 Total pension liability Service cost $ 168,532 $ 181,221 $ 179,770 $ 149,826 $ 159,059 Interest 369,565 398,162 402,119 427,292 419,004 Differences between expected and actual experience — 12,130 (23,940) (67,525) 21,501 Changes of assumptions — (209,787) (509,724) 133,128 534,195 Changes in benefit terms 265,088 — — — 149,707 Benefit payments (269,330) (600,659) (528,192) (486,814) (652,816) Net change in total pension liability 533,855 (218,933) (479,967) 155,907 630,650 Total pension liability—beginning of year 5,955,850 6,489,705 6,270,772 5,790,805 5,946,712 Total pension liability—end of year $ 6,489,705 $ 6,270,772 $ 5,790,805 $ 5,946,712 $ 6,577,362 Plan fiduciary net position Contributions(state and local) $ 526,217 $ 477,537 $ 546,408 $ 530,781 $ 551,681 Net investment income 239,737 (219,523) 549,126 1,164,210 (484,118) Benefit payments (269,330) (600,659) (528,192) (486,814) (652,816) Administrative costs (22,641) (35,434) (34,516) (36,279) (28,307) Net change in plan fiduciary net position 473,983 (378,079) 532,826 1,171,898 (613,560) Plan fiduciary net position— beginning of year 5,953,101 6,427,084 6,049,005 6,581,831 7,753,729 Plan fiduciary net position— end ofyear $ 6,427,084 $ 6,049,005 $ 6,581,831 $ 7,753,729 $ 7,140,169 Net pension liability(asset)—ending $ 62,621 $ 221,767 $ (791,026) $(1,807,017) $ (562,807) Plan fiduciary net position as a percentage of the total pension liability 99.04% 96.46% 113.66% 130.39% 108.56% Note: The City implemented GASB Statement No. 68 in fiscal 2015 (using a December 31,2014 measurement date). This schedule is intended to present 10-year trend information.Additional years will be added as they become available. -79- CITY OF APPLE VALLEY Apple Valley Firefighters'Relief Association Schedule of City Contributions Contributions in Relation to the Actuarially Actuarially Contribution City Fiscal Determined Determined Deficiency Year-End Date Contribution Contribution (Excess) 12/31/2015 $ 449,869 $ 526,217 $ (76,348) 12/31/2016 $ 338,049 $ 477,537 $ (139,488) 12/31/2017 $ 404,811 $ 546,408 $ (141,597) 12/31/2018 $ 442,233 $ 526,781 $ (84,548) 12/31/2019 $ 386,565 $ 547,681 $ (161,116) Note: The City implemented GASB Statement No. 68 in fiscal 2015 (using a December 31,2014 measurement date).This schedule is intended to present 10-year trend information.Additional years will be added as they become available. -80- CITY OF APPLE VALLEY Other Post-Employment Benefits Plan Schedule of Changes in the City's Total OPEB Liability and Related Ratios Year Ended December 31,2019 2018 2019 Total OPEB liability Service cost $ 181,510 $ 199,217 Interest 80,281 82,489 Changes of assumptions 57,294 (118,563) Benefit payments (61,516) (63,841) Net change in total OPEB liability 257,569 99,302 Total OPEB liability—beginning of year 1,973,078 2,230,647 Total OPEB liability—end of year $ 2,230,647 $ 2,329,949 Covered payroll $ 14,500,000 $ 15,000,000 Total OPEB liability as a percentage of covered payroll 15.4% 15.5% Note 1: The City implemented GASB Statement No. 75 in fiscal 2018. This schedule is intended to present 10-year trend information.Additional years will be added as they become available. Note: 2: No plan assets are accumulated in a trust that meets the criteria in paragraph 4 of GASB Statement No.75. -81- CITY OF APPLE VALLEY Notes to Required Supplementary Information December 31,2019 PERA—GENERAL EMPLOYEES RETIREMENT FUND 2019 CHANGES IN ACTUARIAL ASSUMPTIONS • The mortality projection scale was changed from MP-2017 to MP-2018. 2019 CHANGES IN PLAN PROVISIONS • The employer supplemental contribution was changed prospectively, decreasing from $31.0 million to $21.0 million per year. The state's special funding contribution was changed prospectively,requiring$16.0 million due per year through 2031. 2018 CHANGES IN ACTUARIAL ASSUMPTIONS • The mortality projection scale was changed from MP-2015 to MP-2017. • The assumed benefit increase was changed from 1.00 percent per year through 2044, and 2.50 percent per year thereafter,to 1.25 percent per year. 2018 CHANGES IN PLAN PROVISIONS • The augmentation adjustment in early retirement factors is eliminated over a five-year period starting July 1,2019,resulting in actuarial equivalence after June 30, 2024. • Interest credited on member contributions decreased from 4.00 percent to 3.00 percent, beginning July 1,2018. • Deferred augmentation was changed to zero percent, effective January 1,2019.Augmentation that has already accrued for deferred members will still apply. • Contribution stabilizer provisions were repealed. • Postretirement benefit increases were changed from 1.00 percent per year with a provision to increase to 2.50 percent upon attainment of 90.00 percent funding ratio to 50.00 percent of the Social Security Cost of Living Adjustment, not less than 1.00 percent and not more than 1.50 percent,beginning January 1,2019. • For retirements on or after January 1,2024,the first benefit increase is delayed until the retiree reaches normal retirement age; does not apply to Rule of 90 retirees, disability benefit recipients, or survivors. • Actuarial equivalent factors were updated to reflect revised mortality and interest assumptions. -82- CITY OF APPLE VALLEY Notes to Required Supplementary Information(continued) December 31,2019 PERA-GENERAL EMPLOYEES RETIREMENT FUND(CONTINUED) 2017 CHANGES IN ACTUARIAL ASSUMPTIONS • The Combined Service Annuity (CSA) loads were changed from 0.80 percent for active members and 60.00 percent for vested and nonvested deferred members. The revised CSA loads are now zero percent for active member liability, 15.00 percent for vested deferred member liability,and 3.00 percent for nonvested deferred member liability. • The assumed post-retirement benefit increase rate was changed from 1.00 percent per year for all years,to 1.00 percent per year through 2044, and 2.50 percent per year thereafter. 2017 CHANGES IN PLAN PROVISIONS • The state's contribution for the Minneapolis Employees Retirement Fund equals $16.0 million in 2017 and 2018, and$6.0 million thereafter. • The Employer Supplemental Contribution for the Minneapolis Employees Retirement Fund changed from $21.0 million to $31.0 million in calendar years 2019 to 2031. The state's contribution changed from$16.0 million to$6.0 million in calendar years 2019 to 2031. 2016 CHANGES IN ACTUARIAL ASSUMPTIONS • The assumed post-retirement benefit increase rate was changed from 1.00 percent per year through 2035, and 2.50 percent per year thereafter,to 1.00 percent per year for all years. • The assumed investment return was changed from 7.90 percent to 7.50 percent. The single discount rate was changed from 7.90 percent to 7.50 percent. • Other assumptions were changed pursuant to the experience study dated June 30, 2015. The assumed future salary increases,payroll growth, and inflation were decreased by 0.25 percent to 3.25 percent for payroll growth,and 2.50 percent for inflation. 2015 CHANGES IN ACTUARIAL ASSUMPTIONS • The assumed post-retirement benefit increase rate was changed from 1.00 percent per year through 2030,and 2.50 percent per year thereafter,to 1.00 percent per year through 2035, and 2.50 percent per year thereafter. 2015 CHANGES IN PLAN PROVISIONS • On January 1,2015,the Minneapolis Employees Retirement Fund was merged into the General Employees Fund, which increased the total pension liability by $1.1 billion and increased the fiduciary plan net position by $892.0 million. Upon consolidation, state and employer contributions were revised; the state's contribution of$6.0 million, which meets the special funding situation definition,was due September 2015. -83- CITY OF APPLE VALLEY Notes to Required Supplementary Information(continued) December 31,2019 PERA—PUBLIC EMPLOYEES POLICE AND FIRE FUND 2019 CHANGES IN ACTUARIAL ASSUMPTIONS • The mortality projection scale was changed from MP-2017 to MP-2018. 2018 CHANGES IN ACTUARIAL ASSUMPTIONS • The mortality projection scale was changed from MP-2016 to MP-2017. 2018 CHANGES IN PLAN PROVISIONS • Post-retirement benefit increases were changed to 1.00 percent for all years,with no trigger. • An end date of July 1,2048 was added to the existing$9.0 million state contribution. • New annual state aid will equal $4.5 million in fiscal years 2019 and 2020, and $9.0 million thereafter,until the plan reaches 100.00 percent funding, or July 1,2048, if earlier. • Member contributions were changed from 10.80 percent to 11.30 percent of pay, effective January 1,2019, and 11.80 percent of pay, effective January 1, 2020. • Employer contributions were changed from 16.20 percent to 16.95 percent of pay, effective January 1,2019, and 17.70 percent of pay, effective January 1, 2020. • Interest credited on member contributions decreased from 4.00 percent to 3.00 percent, beginning July 1,2018. • Deferred augmentation was changed to zero percent, effective January 1,2019.Augmentation that has already accrued for deferred members will still apply. • Actuarial equivalent factors were updated to reflect revised mortality and interest assumptions. -84- CITY OF APPLE VALLEY Notes to Required Supplementary Information(continued) December 31,2019 PERA—PUBLIC EMPLOYEES POLICE AND FIRE FUND (CONTINUED) 2017 CHANGES IN ACTUARIAL ASSUMPTIONS • Assumed salary increases were changed as recommended in the June 30, 2016 experience study. The net effect is proposed rates that average 0.34 percent lower than the previous rates. • Assumed rates of retirement were changed,resulting in fewer retirements. • The CSA load was 30.00 percent for vested and nonvested deferred members. The CSA has been changed to 33.00 percent for vested members,and 2.00 percent for nonvested members. • The base mortality table for healthy annuitants was changed from the RP-2000 Fully Generational Table to the RP-2014 Fully Generational Table (with a base year of 2006),with male rates adjusted by a factor of 0.96. The mortality improvement scale was changed from Scale AA to Scale MP-2016. The base mortality table for disabled annuitants was changed from the RP-2000 Disabled Mortality Table to the mortality tables assumed for healthy retirees. • Assumed termination rates were decreased to 3.00 percent for the first three years of service. Rates beyond the select period of three years were adjusted, resulting in more expected terminations overall. • Assumed percentage of married female members was decreased from 65.00 percent to 60.00 percent. • Assumed age difference was changed from separate assumptions for male members (wives assumed to be three years younger) and female members (husbands assumed to be four years older)to the assumption that males are two years older than females. • The assumed percentage of female members electing joint and survivor annuities was increased. • The assumed post-retirement benefit increase rate was changed from 1.00 percent for all years, to 1.00 percent per year through 2064,and 2.50 percent thereafter. • The single discount rate was changed from 5.60 percent per annum to 7.50 percent per annum. -85- CITY OF APPLE VALLEY Notes to Required Supplementary Information(continued) December 31,2019 PERA—PUBLIC EMPLOYEES POLICE AND FIRE FUND (CONTINUED) 2016 CHANGES IN ACTUARIAL ASSUMPTIONS • The assumed postretirement benefit increase rate was changed from 1.00 percent per year through 2037,and 2.50 percent per year thereafter,to 1.00 percent per year for all future years. • The assumed investment return was changed from 7.90 percent to 7.50 percent. • The single discount rate changed from 7.90 percent to 5.60 percent. • The assumed future salary increases, payroll growth, and inflation were decreased by 0.25 percent to 3.25 percent for payroll growth, and 2.50 percent for inflation. 2015 CHANGES IN ACTUARIAL ASSUMPTIONS • The assumed post-retirement benefit increase rate was changed from 1.00 percent per year through 2030, and 2.50 percent per year thereafter,to 1.00 percent per year through 2037, and 2.50 percent per year thereafter. 2015 CHANGES IN PLAN PROVISIONS • The post-retirement benefit increase to be paid after attainment of the 90.00 percent funding threshold was changed from inflation up to 2.50 percent,to a fixed rate of 2.50 percent. -86- CITY OF APPLE VALLEY Notes to Required Supplementary Information(continued) December 31,2019 APPLE VALLEY FIREFIGHTERS' RELIEF ASSOCIATION 2019 CHANGES IN ACTUARIAL ASSUMPTIONS • The expected investment return and discount rate decreased from 7.25 percent to 6.25 percent to reflect updated capital market assumptions. • The assumed inflation assumption decreased from 2.75 percent to 2.50 percent. • The mortality assumption was updated from the rates used in the July 1,2017 Minnesota PERA Police and Fire Plan actuarial valuation to the rates used in the July 1,2018 Minnesota PERA Police and Fire Plan actuarial valuation. 2019 CHANGES IN PLAN PROVISIONS • The base annuity benefit increased from$45 to$46 per month per year of service,and the base lump sum benefit increased from$6,700 to $7,000 per year of service. 2018 CHANGES IN ACTUARIAL ASSUMPTIONS • The expected investment return and discount rate decreased from 7.50 percent to 7.25 percent to reflect updated capital market assumptions. • Mortality and termination rates were changed to those used in the most recent Minnesota PERA Police and Fire Plan actuarial valuation. 2017 CHANGES IN ACTUARIAL ASSUMPTIONS • The expected investment return and discount rate increased from 6.50 percent to 7.50 percent to reflect updated capital market assumptions. 2016 CHANGES IN ACTUARIAL ASSUMPTIONS • The discount rate was changed to reflect updated investment expectations. Disability decrements were added to reflect the disability benefit. Retirement rates were changed from 100.00 percent at age 50 with 20 years of service to a graded schedule. OTHER POST-EMPLOYMENT BENEFITS PLAN 2019 CHANGES IN ACTUARIAL ASSUMPTIONS • The discount rate was changed from 3.44 percent to 4.09 percent. • The healthcare trend rate was changed from 10.00 percent, grading to 5.00 percent over 10 years,to 8.00 percent, grading to 5.00 percent over 9 years. 2018 CHANGES IN ACTUARIAL ASSUMPTIONS • The discount rate was changed from 4.50 percent to 3.44 percent. -87- SUPPLEMENTARY INFORMATION THIS PAGE INTENTIONALLY LEFT BLANK COMBINING AND INDIVIDUAL FUND STATEMENTS AND SCHEDULES CITY OF APPLE VALLEY Nonmajor Governmental Funds Combining Balance Sheet as of December 31,2019 Special Debt Capital Revenue Service Projects Total Assets Cash and investments $ 1,149,061 $ 4,000,261 $ 14,637,479 $ 19,786,801 Receivables Accounts 6,038 — 283,752 289,790 Special assessments Current — 130,000 — 130,000 Deferred 260,000 260,000 Total assets $ 1,155,099 $ 4,390,261 $ 14,921,231 $ 20,466,591 Liabilities Accrued salaries payable $ 8,562 $ — $ 91 $ 8,653 Accounts payable 5,816 — 193,068 198,884 Contracts payable 85,557 85,557 Due to other governmental units 34,400 34,400 Due to other funds 19,805 19,805 Advances from other funds 972,192 972,192 Total liabilities 14,378 — 1,305,113 1,319,491 Deferred inflows of resources Unavailable revenue—special assessments — 390,000 — 390,000 Fund balances(deficit) Restricted 1,140,721 2,415,660 11,429,467 14,985,848 Assigned — 1,584,601 2,886,615 4,471,216 Unassigned (699,964) (699,964) Total fund balances 1,140,721 4,000,261 13,616,118 18,757,100 Total liabilities,deferred inflows of resources,and fund balances $ 1,155,099 $ 4,390,261 $ 14,921,231 $ 20,466,591 -88- CITY OF APPLE VALLEY Nonmajor Governmental Funds Combining Statement of Revenues,Expenditures,and Changes in Fund Balances Year Ended December 31,2019 Special Debt Capital Revenue Service Projects Total Revenues Taxes $ - $ 1,391,945 $ 862,195 $ 2,254,140 Other taxes 96,018 96,018 Franchise taxes 776,703 776,703 Special assessments - 130,000 - 130,000 Intergovernmental 648,118 648,118 Investment earnings 34,240 134,093 448,321 616,654 Other 66,135 - 639,821 705,956 Total revenues 844,511 1,656,038 2,727,040 5,227,589 Expenditures Current General government 614,326 53,549 804,143 1,472,018 Public safety 3,389 43,340 46,729 Public works 8,955 - 11,602 20,557 Parks and recreation 279,121 - 40,766 319,887 Capital outlay 6,108 - 646,029 652,137 Debt service Principal - 1,180,000 - 1,180,000 Interest and fiscal charges - 273,575 42,251 315,826 Total expenditures 911,899 1,507,124 1,588,131 4,007,154 Excess(deficiency)of revenues over expenditures (67,388) 148,914 1,138,909 1,220,435 Other financing sources(uses) Sale of capital assets 20,307 20,307 Transfers in 148,002 - 426,000 574,002 Transfers(out) - - (148,002) (148,002) Total other financing sources(uses) 168,309 - 277,998 446,307 Net change in fund balances 100,921 148,914 1,416,907 1,666,742 Fund balances Beginning of year 1,039,800 3,851,347 12,199,211 17,090,358 End of year $ 1,140,721 $ 4,000,261 $ 13,616,118 $ 18,757,100 -89- THIS PAGE INTENTIONALLY LEFT BLANK NONMAJOR SPECIAL REVENUE FUNDS Nonmajor special revenue funds are used to account for and report the proceeds of specific revenue sources that are restricted or committed to expenditures for specified purposes other than debt service or capital projects. Nonmajor special revenue funds presently established are as follows: • Cable TV Fund — Accounts for the operating costs of the cable TV functions funded by cable franchise fees. • Solid Waste Grant Fund — Accounts for the expenses related to recycling activities and the semiannual cleanup day funded by grants from Dakota County. • Police Forfeiture Fund—Administers the resources received through court-ordered forfeitures. • EDA Operations Fund — Accounts for the operating activities of the Apple Valley Economic Development Authority. • Lodging Tax Fund—Administers the resources received from the lodging tax process. -90- CITY OF APPLE VALLEY Nonmajor Special Revenue Funds Combining Balance Sheet as of December 31,2019 Solid Waste Police Cable TV Grant Forfeiture (2010) (2040) (2060) Assets Cash and investments $ 93,828 $ 42,493 $ 90,073 Receivables Accounts 44 — Total assets $ 93,872 $ 42,493 S 90,073 Liabilities Accrued salaries payable $ 8,562 $ — S — Accounts payable 122 — — Total liabilities 8,684 — — Fund balances Restricted 85,188 42,493 90,073 Total liabilities and fund balances $ 93,872 $ 42,493 S 90,073 -91- EDA Lodging Operations Tax (3210) (7000) Totals $ 805,229 $ 117,438 $ 1,149,061 5,994 6,038 $ 805,229 $ 123,432 $ 1,155,099 $ — $ — $ 8,562 5,694 5,816 5,694 14,378 805,229 117,738 1,140,721 $ 805,229 $ 123,432 $ 1,155,099 -92- CITY OF APPLE VALLEY Nonmajor Special Revenue Funds Combining Statement of Revenues,Expenditures,and Changes in Fund Balances Year Ended December 31,2019 Solid Waste Police Cable TV Grant Forfeiture (2010) (2040) (2060) Revenues Other taxes $ — $ — $ — Intergovernmental 148,118 — — Investment earnings 1,552 1,470 2,389 Other revenue Miscellaneous 192 6,643 9,300 Total revenues 149,862 8,113 11,689 Expenditures Current General government — — — Public safety — — 3,389 Public works — 8,955 — Parks and recreation 279,121 — — Capital outlay 6,108 — — Total expenditures 285,229 8,955 3,389 Excess(deficiency)of revenue over expenditures (135,367) (842) 8,300 Other financing sources Sale of capital assets — — 20,307 Transfers in 148,002 — — Total other financing sources 148,002 — 20,307 Net change in fund balances 12,635 (842) 28,607 Fund balances Beginning of year 72,553 43,335 61,466 End of year $ 85,188 $ 42,493 S 90,073 -93- EDA Lodging Operations Tax (3210) (7000) Totals $ - $ 96,018 $ 96,018 500,000 - 648,118 24,868 3,961 34,240 50,000 66,135 574,868 99,979 844,511 513,159 101,167 614,326 3,389 8,955 279,121 6,108 513,159 101,167 911,899 61,709 (1,188) (67,388) 20,307 148,002 168,309 61,709 (1,188) 100,921 743,520 118,926 1,039,800 $ 805,229 $ 117,738 $ 1,140,721 -94- THIS PAGE INTENTIONALLY LEFT BLANK NONMAJOR DEBT SERVICE FUNDS Nonmajor debt service funds are used to account for and report financial resources that are restricted, committed, or assigned to expenditures for principal, interest, and related costs on long-term debt of governmental funds. The individual nonmajor debt service funds presented are to distinguish between the various bond issues. -95- CITY OF APPLE VALLEY Nonmajor Debt Service Funds Combining Balance Sheet as of December 31,2019 2003/2009A Tax Taxable G.O. Refunding Increment Tax Equipment G.O.Closed Improvement Downtown Increment Certificates Bond Issues Bonds Redevelopment Bonds of 2003 of 2012 (3075) (3305) (3260) (3270) (3370) Assets Cash and investments $ 1,584,601 $ 768,401 $ 133,251 $ 1,159,777 $ 49,769 Receivables Special assessments Current — — — — — Deferred — — — — — Total assets $ 1,584,601 $ 768,401 $ 133,251 $ 1,159,777 $ 49,769 Deferred inflows of resources Unavailable revenue—special assessments $ — $ — $ — $ — $ — Fund balances Restricted — 768,401 133,251 1,159,777 49,769 Assigned 1,584,601 — — — — Totalfundbalances 1,584,601 768,401 133,251 1,159,777 49,769 Total deferred inflows of resources and fund balances $ 1,584,601 $ 768,401 $ 133,251 $ 1,159,777 $ 49,769 -96- G.O. G.O. G.O. Improvement Refunding Equipment G.O. Equipment Bonds Bonds Certificates Park Bonds Certificates of 2012 of 2013 of 2014 of 2015 of 2015 (3380) (3385) (3390) (3395) (3400) Total $ 89,721 $ 50,069 $ 39,112 $ 98,335 $ 27,225 $ 4,000,261 130,000 - - - - 130,000 260,000 - - - - 260,000 $ 479,721 $ 50,069 $ 39,112 $ 98,335 $ 27,225 $ 4,390,261 $ 390,000 $ - $ - $ - $ - $ 390,000 89,721 50,069 39,112 98,335 27,225 2,415,660 - - - - - 1,584,601 89,721 50,069 39,112 98,335 27,225 4,000,261 $ 479,721 $ 50,069 $ 39,112 $ 98,335 $ 27,225 $ 4,390,261 -97- CITY OF APPLE VALLEY Nonmajor Debt Service Funds Combining Statement of Revenues,Expenditures,and Changes in Fund Balances Year Ended December 31,2019 2003/2009A Tax Taxable G.O. Refunding Increment Tax Equipment G.O.Closed Improvement Downtown Increment Certificates Bond Issues Bonds Redevelopment Bonds of 2003 of 2012 (3075) (3305) (3260) (3270) (3370) Revenues Taxes $ — $ — $ — $ — $ 127,000 Special assessments — — — — — Investment earnings 51,513 24,981 6,052 37,703 1,908 Total revenues 51,513 24,981 6,052 37,703 128,908 Expenditures Current General government — — 53,549 — — Debt service Principal — — — — 115,000 Interest and fiscal charges — — — — 7,200 Total expenditures — — 53,549 — 122,200 Net change in fund balances 51,513 24,981 (47,497) 37,703 6,708 Fund balances Beginning of year 1,533,088 743,420 180,748 1,122,074 43,061 End of year $ 1,584,601 $ 768,401 $ 133,251 $ 1,159,777 $ 49,769 -98- G.O. G.O. G.O. Improvement Refunding Equipment G.O. Equipment Bonds Bonds Certificates Park Bonds Certificates of 2012 of 2013 of 2014 of 2015 of 2015 (3380) (3385) (3390) (3395) (3400) Total $ - $ 347,420 $ 140,000 $ 646,380 $ 131,145 1,391,945 130,000 - - - - 130,000 3,186 1,575 1,626 4,393 1,156 134,093 133,186 348,995 141,626 650,773 132,301 1,656,038 53,549 115,000 150,000 130,000 550,000 120,000 1,180,000 9,500 180,875 5,500 65,600 4,900 273,575 124,500 330,875 135,500 615,600 124,900 1,507,124 8,686 18,120 6,126 35,173 7,401 148,914 81,035 31,949 32,986 63,162 19,824 3,851,347 $ 89,721 $ 50,069 $ 39,112 $ 98,335 $ 27,225 $ 4,000,261 -99- NONMAJOR CAPITAL PROJECTS FUNDS Nonmajor capital projects funds used are to account for and report financial resources that are restricted, committed, or assigned to expenditures for capital outlays, including the acquisition and construction of capital facilities and other capital assets. Capital projects funds exclude those types of capital-related outflows financed by proprietary funds. Nonmajor capital projects funds presently established are as follows: • Park Dedication Fund—Accounts for expenditures for the expansion of the City's park facilities funded by the collection of park dedication fees charged to developing property. • Police Special Projects Fund — Accounts for police department projects funded with specific funding sources. • Tree Preservation Fund — Accounts for the amounts received in the development process related to tree preservation efforts. • Pond Fund—Accounts for the amounts received in the development process related to ponding efforts on privately-developed projects. • Pathways and Sidewalks Fund—Accounts for the amounts received in the development process related to pathways and sidewalk development efforts. • Dodd Road Fund —Accounts for the amounts received from the development process on Dodd Road. • Former City Hall Building Fund—Accounts for the costs and revenues associated with the use of the former City Hall building. • Central Village Parking Fund—Accounts for the costs and revenues associated with the use of the Central Village Parking. • Capital Building Fund —Accounts for the cost of the construction of the municipal center and other city facilities. • Park Improvement Development Fund — Accounts for park improvement costs in the development process. • C.I.P. Development Fund —Accounts for the proceeds from and expenses related to the Fraser land sale. • Cable Capital Equipment Fund — Accounts for capital equipment needs of the cable TV function funded with portions of the cable franchise fees. • Cable Capital Equipment/PEG Fund — Accounts for capital equipment needs of the cable TV function funded with the cable PEG fees. • Physical Improvement Fund—Accounts for developer projects funded by developers. -100- NONMAJOR CAPITAL PROJECTS FUNDS (CONTINUED) • Private Development Fund—Accounts for developer projects funded by developers. • 2003 Improvement Construction Fund — Accounts for the improvements funded with the 2003 General Obligation Bonds. • Electric Franchise Fee Fund — Accounts for project costs and revenues associated with the electric franchise fee. • Fire Grants Project Fund—Accounts for Fire Department projects funded with specific funding sources. • TIF District No. 7 Fund—Accounts for project costs included within TIF District No. 7. • TIF District No. 1 Fund—Accounts for project costs included within TIF District No. 1. • TIF District No. 15 Parkside Village Fund — Accounts for project costs included within TIF District No. 15—Parkside Village. • TIF District No. 16 Uponor Fund — Accounts for project costs included within TIF District No. 16. • TIF District No. 14 Business Campus Fund —Accounts for project costs included within TIF District No. 14—Apple Valley Business Campus. • TIF District No. 17 Karamella Fund —Accounts for project costs included within TIF District No. 17—Karamella. -101- CITY OF APPLE VALLEY Nonmajor Capital Projects Funds Combining Balance Sheet as of December 31,2019 Park Police Special Tree Pathways and Dedication Projects Preservation Pond Sidewalks Dodd Road (2015) (2055) (2070) (2075) (2080) (2085) Assets Cash and investments $ 2,573,663 $ 109,211 $ 383,599 $ 257,935 $ 259,911 $ 250,700 Receivables Accounts — — — — — — Total assets $ 2,573,663 $ 109,211 $ 383,599 $ 257,935 $ 259,911 $ 250,700 Liabilities Accrued salaries payable $ — $ — $ — $ — $ — $ — Accounts payable — — — — — — Contracts payable — — — — — — Due to other governmental units — — — — — — Due to other funds — — — — — — Advances from other funds — — — — — — Total liabilities — — — — — — Fund balances(deficit) Restricted 2,573,663 — — — — — Assigned — 109,211 383,599 257,935 259,911 250,700 Unassigned — — — — — — Total fund balances(deficit) 2,573,663 109,211 383,599 257,935 259,911 250,700 Total liabilities and fund balances $ 2,573,663 $ 109,211 $ 383,599 $ 257,935 $ 259,911 $ 250,700 -102- Former Central Park City Hall Village Capital Improvement C.I.P. Cable Capital Cable Capital Building Parking Building Development Development Equipment Equipment/PEG (2090) (2095) (4000) (4010) (4045) (4800/4815) (4810) $ 180,128 $ - $ 878,148 $ 3,089 $ 277,699 $ 294,907 $ 190,362 10,750 - - - - 120,493 21,548 $ 190,878 $ - $ 878,148 $ 3,089 $ 277,699 $ 415,400 $ 211,910 $ - $ - $ - $ - $ - $ 91 $ - 46,079 1,750 18,670 - - 17,048 - 85,557 - - - - 19,805 - - - - - 46,079 21,555 104,227 - - 17,139 - 398,261 211,910 144,799 - 773,921 3,089 277,699 - - (21,555) - - - - - 144,799 (21,555) 773,921 3,089 277,699 398,261 211,910 $ 190,878 $ - $ 878,148 $ 3,089 $ 277,699 $ 415,400 $ 211,910 -103- (continued) CITY OF APPLE VALLEY Nonmajor Capital Projects Funds Combining Balance Sheet(continued) as of December 31,2019 2003 Physical Private Improvement Electric Fire Grants TIF District Improvement Development Construction Franchise Fee Project No.7 (4900) (4920) (4300) (4750) (7600) (4710) Assets Cash and investments $ 287,872 $ 135,972 $ 127,728 $ 5,025,590 $ 18,100 $ 1,885,524 Receivables Accounts — — — 130,961 — — Total assets $ 287,872 $ 135,972 $ 127,728 $ 5,156,551 $ 18,100 $ 1,885,524 Liabilities Accrued salaries payable $ — $ — $ — $ — $ — $ — Accounts payable 84,578 — 24,943 — — — Contracts payable — — — — — — Due to other governmental units 34,400 — — — — — Due to other funds — — — — — — Advances from other funds — — — — —Total liabilities 118,978 — 24,943 — — — Fund balances(deficit) Restricted — — — 5,156,551 — 1,885,524 Assigned 168,894 135,972 102,785 — 18,100 — Unassigned — — — — — — Total fund balances(deficit) 168,894 135,972 102,785 5,156,551 18,100 1,885,524 Total liabilities and fund balances $ 287,872 $ 135,972 $ 127,728 $ 5,156,551 $ 18,100 $ 1,885,524 -104- TIF District TIF District TIF District TIF District TIF District No.15 No.16 No.14 No. 17 No. 1 Parkside Village Uponor Business Campus Karamella (4730) (4740) (4743) (4735) (4746) Total $ 955,491 $ 293,783 $ 41,317 $ 165,018 $ 41,732 $ 14,637,479 283,752 $ 955,491 $ 293,783 $ 41,317 $ 165,018 $ 41,732 $ 14,921,231 $ - $ - $ - $ - $ - $ 91 193,068 85,557 34,400 19,805 972,192 - - - 972,192 972,192 - - - 1,305,113 955,491 - 41,317 165,018 41,732 11,429,467 2,886,615 (678,409) - - - (699,964) 955,491 (678,409) 41,317 165,018 41,732 13,616,118 $ 955,491 $ 293,783 $ 41,317 $ 165,018 $ 41,732 $ 14,921,231 -105- CITY OF APPLE VALLEY Nonmajor Capital Projects Funds Combining Statement of Revenues,Expenditures,and Changes in Fund Balances Year Ended December 31,2019 Park Police Special Tree Pathways and Dedication Projects Preservation Pond Sidewalks Dodd Road (2015) (2055) (2070) (2075) (2080) (2085) Revenues Taxes $ - $ - $ - $ - $ - $ - Franchise taxes - - - - - - Investment earnings 77,630 4,522 12,470 8,385 8,608 8,151 Other revenue Rentals - - - - - - Miscellaneous 324,992 - - - - - Total revenues 402,622 4,522 12,470 8,385 8,608 8,151 Expenditures Current General government - - - - - - Public safety - 43,340 - - - - Public works - - - - - - Parksandrecreation 35,636 - - - 5,130 - Capital outlay 21,941 - - - - - Debt service Interest and fiscal charges - - - - - - Total expenditures 57,577 43,340 - - 5,130 - Excess(deficiency)of revenue over expenditures 345,045 (38,818) 12,470 8,385 3,478 8,151 Other financing sources(uses) Transfers in - - - - - - Transfers(out) - - - - - - Total other financing sources(uses) - - - - - - Net change in fund balances 345,045 (38,818) 12,470 8,385 3,478 8,151 Fund balances(deficit) Beginning of year 2,228,618 148,029 371,129 249,550 256,433 242,549 End of year $ 2,573,663 $ 109,211 $ 383,599 $ 257,935 $ 259,911 $ 250,700 -106- Former Central Park City Hall Village Capital Improvement C.I.P. Cable Capital Cable Capital Building Parking Building Development Development Equipment Equipment/PEG (2090) (2095) (4000) (4010) (4045) (4800/4815) (4810) $ - $ - $ - $ - $ - $ - $ 120,493 87,926 5,273 - 25,315 102 9,028 15,266 4,197 226,920 4,300 - - - - - 77,238 - - - - 232,193 4,300 102,553 102 9,028 135,759 92,123 162,312 10,002 - - - - - 8,893 - 39,505 - 503,831 - - 56,091 - 201,817 10,002 503,831 - - 64,984 - 30,376 (5,702) (401,278) 102 9,028 70,775 92,123 426,000 - - - - (148,002) - 426,000 - - (148,002) - 30,376 (5,702) 24,722 102 9,028 (77,227) 92,123 114,423 (15,853) 749,199 2,987 268,671 475,488 119,787 $ 144,799 $ (21,555) $ 773,921 $ 3,089 $ 277,699 $ 398,261 $ 211,910 -107- (continued) CITY OF APPLE VALLEY Nonmajor Capital Projects Funds Combining Statement of Revenues,Expenditures,and Changes in Fund Balances(continued) Year Ended December 31,2019 2003 Physical Private Improvement Electric Fire Grants TIF District Improvement Development Construction Franchise Fee Project No.7 (4900) (4920) (4300) (4750) (7600) (4710) Revenues Taxes $ - $ - $ - $ - $ - $ - Franchise taxes - - - 568,284 - - Investment earnings 9,240 4,421 4,154 152,069 589 61,332 Other revenue Rentals - - - - - - Miscellaneous 6,371 - - - - - Total revenues 15,611 4,421 4,154 720,353 589 61,332 Expenditures Current General government - - - - - - Public safety - - - - - - Public works 2,709 - - - - - Parks and recreation - - - - - - Capital outlay - - - 24,661 - - Debt service Interest and fiscal charges - - - - - - Total expenditures 2,709 - - 24,661 - - Excess(deficiency)of revenue over expenditures 12,902 4,421 4,154 695,692 589 61,332 Other financing sources(uses) Transfers in - - - - - - Transfers(out) - - - - - - Total other financing sources(uses) - - - - - - Net change in fund balances 12,902 4,421 4,154 695,692 589 61,332 Fund balances(deficit) Beginning of year 155,992 131,551 98,631 4,460,859 17,511 1,824,192 End of year $ 168,894 $ 135,972 $ 102,785 $ 5,156,551 $ 18,100 $ 1,885,524 -108- TIF District TIF District TIF District TIF District TIF District No. 15 No. 16 No.14 No.17 No. 1 Parkside Village Uponor Business Campus Karamella (4730) (4740) (4743) (4735) (4746) Total $ - $ 545,910 $ 61,095 $ 186,394 $ 68,796 $ 862,195 776,703 31,061 2,939 477 2,697 395 448,321 231,220 408,601 31,061 548,849 61,572 189,091 69,191 2,727,040 343,055 54,230 170,632 63,912 804,143 43,340 11,602 40,766 646,029 42,251 - - - 42,251 385,306 54,230 170,632 63,912 1,588,131 31,061 163,543 7,342 18,459 5,279 1,138,909 426,000 (148,002) 277,998 31,061 163,543 7,342 18,459 5,279 1,416,907 924,430 (841,952) 33,975 146,559 36,453 12,199,211 $ 955,491 $ (678,409) $ 41,317 $ 165,018 $ 41,732 $ 13,616,118 -109- CITY OF APPLE VALLEY General Fund Schedule of Revenue,Expenditures,and Changes in Fund Balances- Budget and Actual Year Ended December 31,2019 Budgeted Amounts Over(Under) Original Final Actual Budget Revenue Taxes Current $ 24,821,055 $ 24,821,055 $ 24,728,049 $ (93,006) Delinquent 50,000 50,000 78,979 28,979 Total taxes 24,871,055 24,871,055 24,807,028 (64,027) Other taxes 105,600 105,600 100,329 (5,271) Franchise taxes 515,000 515,000 515,000 - Special assessments 14,000 14,000 2,562 (11,438) Licenses and permits General government 189,060 189,060 186,369 (2,691) Public safety 5,400 5,400 8,055 2,655 Public works 1,457,200 1,457,200 1,396,479 (60,721) Total licenses and permits 1,651,660 1,651,660 1,590,903 (60,757) Intergovernmental Federal grants Public safety 56,900 76,900 25,200 (51,700) State grants PERA aid 43,000 43,000 44,127 1,127 Fire relief aid-public safety 287,000 287,000 311,652 24,652 Police relief aid-public safety 420,000 420,000 462,557 42,557 Other-public safety 39,350 39,350 126,879 87,529 Total intergovernmental 846,250 866,250 970,415 104,165 Charges for services Administration charges-general government Construction funds 69,200 69,200 - (69,200) Enterprise funds 792,500 792,500 794,100 1,600 Investment charges-general government 124,000 124,000 124,000 - Engineering charges-public works-construction 995,000 995,000 646,561 (348,439) General government 30,910 30,910 14,837 (16,073) Public safety 238,300 238,300 305,909 67,609 Public works 15,800 15,800 11,197 (4,603) Parks and recreation 1,089,700 1,089,700 955,989 (133,711) Total charges for services 3,355,410 3,355,410 2,852,593 (502,817) Fines and forfeitures 279,500 279,500 311,235 31,735 Investment earnings 197,000 197,000 511,146 314,146 Other Rentals-recreation 461,885 461,885 588,697 126,812 Rentals-other 239,600 239,600 224,332 (15,268) Refunds and reimbursements 71,200 71,200 60,499 (10,701) Donations 4,280 4,280 Miscellaneous 35,800 35,800 63,312 27,512 Total other 808,485 808,485 941,120 132,635 Total revenue 32,643,960 32,663,960 32,602,331 (61,629) -110- (continued) CITY OF APPLE VALLEY General Fund Schedule of Revenue,Expenditures,and Changes in Fund Balances- Budget and Actual(continued) Year Ended December 31,2019 Budgeted Amounts Over(Under) Original Final Actual Budget Expenditures General government Mayor and City Council Personal services 122,500 122,500 126,855 4,355 Supplies 725 725 816 91 Other current expenditures 30,910 30,910 15,222 (15,688) Total Mayor and City Council 154,135 154,135 142,893 (11,242) Administration Personal services 466,465 466,465 469,144 2,679 Supplies 265 265 75 (190) Other current expenditures 16,695 16,695 14,338 (2,357) Capital outlay 383 383 Total administration 483,425 483,425 483,940 515 Finance and data processing Personal services 626,120 626,120 637,178 11,058 Supplies 10,220 12,320 7,744 (4,576) Other current expenditures 299,577 299,577 307,438 7,861 Capital outlay 4,100 - - - Total finance and data processing 940,017 938,017 952,360 14,343 Information technology Personal services 557,725 557,725 533,167 (24,558) Supplies 9,800 9,800 7,900 (1,900) Other current expenditures 261,815 261,815 263,374 1,559 Capital outlay 146,000 146,000 146,596 596 Total information technology 975,340 975,340 951,037 (24,303) Human resources Personal services 542,220 542,220 509,702 (32,518) Supplies 650 650 631 (19) Other current expenditures 80,295 77,795 60,491 (17,304) Capital outlay - 1,500 1,738 238 Total human resources 623,165 622,165 572,562 (49,603) City clerk/elections Personal services 218,750 218,750 216,338 (2,412) Supplies 950 950 967 17 Other current expenditures 93,913 91,013 76,675 (14,338) Total city clerk/elections 313,613 310,713 293,980 (16,733) Legal Other current expenditures 533,530 533,530 545,824 12,294 General government buildings Personal services 194,300 194,300 194,945 645 Supplies 21,725 21,725 17,998 (3,727) Other current expenditures 163,616 163,616 182,788 19,172 Total general government buildings 379,641 379,641 395,731 16,090 -111- (continued) CITY OF APPLE VALLEY General Fund Schedule of Revenue,Expenditures,and Changes in Fund Balances- Budget and Actual(continued) Year Ended December 31,2019 Budgeted Amounts Over(Under) Original Final Actual Budget Expenditures(continued) General government(continued) Community development Personal services 650,765 650,765 648,477 (2,288) Supplies 900 7,300 17,455 10,155 Other current expenditures 43,475 107,075 43,118 (63,957) Total community development 695,140 765,140 709,050 (56,090) Code enforcement Personal services 240,683 240,683 215,192 (25,491) Supplies 1,800 1,800 1,500 (300) Other current expenditures 15,900 15,900 7,736 (8,164) Total code enforcement 258,383 258,383 224,428 (33,955) Unallocated Personal services 12,000 12,000 10,263 (1,737) Other current expenditures 477,570 _ 445,570 _ 324,636 (120,934) Total unallocated 489,570 457,570 334,899 (122,671) Total general government 5,845,959 5,878,059 5,606,704 (271,355) Public safety Police protection Personal services 7,954,975 7,944,975 7,990,292 45,317 Supplies 253,686 251,336 225,235 (26,101) Other current expenditures 1,553,177 1,563,177 1,548,987 (14,190) Capital outlay 825 825 Total police protection 9,761,838 9,759,488 9,765,339 5,851 Fire protection Personal services 1,253,060 1,234,060 1,214,963 (19,097) Supplies 71,965 73,565 77,481 3,916 Other current expenditures 638,617 678,917 666,125 (12,792) Total fire protection 1,963,642 1,986,542 1,958,569 (27,973) Fire relief Other current expenditures 543,223 543,223 567,625 24,402 Civil defense Supplies 2,000 2,000 776 (1,224) Other current expenditures 17,185 17,185 18,152 967 Total civil defense 19,185 19,185 18,928 (257) Animal control Personal services 94,375 94,375 46,650 (47,725) Supplies 6,475 6,475 3,328 (3,147) Other current expenditures 8,150 8,150 4,364 (3,786) Total animal control 109,000 109,000 54,342 (54,658) -112- (continued) CITY OF APPLE VALLEY General Fund Schedule of Revenue,Expenditures,and Changes in Fund Balances- Budget and Actual(continued) Year Ended December 31,2019 Budgeted Amounts Over(Under) Original Final Actual Budget Expenditures(continued) Public safety(continued) Building inspection Personal services 785,835 770,835 666,533 (104,302) Supplies 21,655 24,555 10,896 (13,659) Other current expenditures 193,300 193,300 206,387 13,087 Capital outlay 3,500 3,500 1,370 (2,130) Total building inspection 1,004,290 992,190 885,186 (107,004) Total public safety 13,401,178 13,409,628 13,249,989 (159,639) Public works Public works administration Personal services 489,185 489,185 464,677 (24,508) Supplies 6,705 10,705 4,240 (6,465) Other current expenditures 106,505 137,505 180,821 43,316 Capital outlay 5,000 5,000 8,487 3,487 Total public works administration 607,395 642,395 658,225 15,830 Central maintenance facility Personal services 594,520 577,610 554,693 (22,917) Supplies 22,035 33,965 24,829 (9,136) Other current expenditures 149,920 149,920 150,279 359 Capital outlay - 17,100 17,095 (5) Total central maintenance facility 766,475 778,595 746,896 (31,699) Streets Personal services 1,757,475 1,757,475 1,766,733 9,258 Supplies 477,996 492,336 515,713 23,377 Other current expenditures 553,957 562,957 569,869 6,912 Capital outlay 17,000 7,500 7,890 390 Total streets 2,806,428 2,820,268 2,860,205 39,937 Engineering Personal services 697,610 697,610 642,029 (55,581) Supplies 19,960 19,960 15,639 (4,321) Other current expenditures 122,320 120,420 100,372 (20,048) Total engineering 839,890 837,990 758,040 (79,950) Total public works 5,020,188 5,079,248 5,023,366 (55,882) Parks and recreation Parks and recreation administration Personal services 838,110 838,110 837,591 (519) Supplies 3,600 3,600 3,532 (68) Other current expenditures 160,450 160,450 139,984 (20,466) Capital outlay 1,776 1,776 Total parks and recreation administration 1,002,160 1,002,160 982,883 (19,277) -113- (continued) CITY OF APPLE VALLEY General Fund Schedule of Revenue,Expenditures,and Changes in Fund Balances- Budget and Actual(continued) Year Ended December 31,2019 Budgeted Amounts Over(Under) Original Final Actual Budget Expenditures(continued) Parks and recreation(continued) Recreation programs Personal services 194,050 194,050 143,859 (50,191) Supplies 45,550 45,550 42,734 (2,816) Other current expenditures 124,615 124,615 128,219 3,604 Total recreation programs 364,215 364,215 314,812 (49,403) Parks maintenance Personal services 1,785,315 1,785,315 1,721,761 (63,554) Supplies 294,100 277,200 269,507 (7,693) Other current expenditures 885,780 825,170 816,627 (8,543) Capital outlay 40,000 32,000 41,905 9,905 Total parks maintenance 3,005,195 2,919,685 2,849,800 (69,885) Redwood Community Pool Personal services 65,270 65,270 70,271 5,001 Supplies 7,300 7,300 6,650 (650) Other current expenditures 50,900 38,100 33,385 (4,715) Capital outlay 50,000 32,000 26,872 (5,128) Total Redwood Community Pool 173,470 142,670 137,178 (5,492) Apple Valley Family Aquatic Center Personal services 323,295 323,295 376,648 53,353 Supplies 35,900 35,900 29,212 (6,688) Other current expenditures 274,125 274,125 244,343 (29,782) Capital outlay 235,000 51,100 47,281 (3,819) Total Apple Valley Family Aquatic Center 868,320 684,420 697,484 13,064 Apple Valley Community Center Personal services 200,315 190,315 177,141 (13,174) Supplies 21,000 21,000 17,483 (3,517) Other current expenditures 88,650 98,650 81,364 (17,286) Total Apple Valley Community Center 309,965 309,965 275,988 (33,977) Apple Valley Senior Center Personal services 316,600 316,600 316,520 (80) Supplies 11,800 11,800 16,556 4,756 Other current expenditures 60,310 65,120 56,413 (8,707) Capital outlay 27,000 22,930 25,670 2,740 Total Apple Valley Senior Center 415,710 416,450 415,159 (1,291) Total parks and recreation 6,139,035 5,839,565 5,673,304 (166,261) Total expenditures 30,406,360 30,206,500 29,553,363 (653,137) Excess of revenues over expenditures 2,237,600 2,457,460 3,048,968 591,508 -114- (continued) CITY OF APPLE VALLEY General Fund Schedule of Revenue,Expenditures,and Changes in Fund Balances— Budget and Actual(continued) Year Ended December 31,2019 Budgeted Amounts Over(Under) Original Final Actual Budget Other fmancing sources(uses) Sale of capital assets 20,400 20,400 9,688 (10,712) Transfers in 1,365,000 1,367,900 1,367,900 — Transfers(out) (3,623,000) (3,670,040) (4,020,780) (350,740) Total other financing sources(uses) (2,237,600) (2,281,740) (2,643,192) (361,452) Net change in fund balances $ — $ 175,720 405,776 $ 230,056 Fund balances Beginning of year 17,640,331 End of year $ 18,046,107 -115- CITY OF APPLE VALLEY Road Improvements Capital Projects Fund Schedule of Revenue,Expenditures,and Changes in Fund Balances— Budget and Actual Year Ended December 31,2019 Over(Under) Budget Actual Budget Revenue Special assessments $ 375,000 $ 51,790 $ (323,210) Intergovernmental 5,335,443 6,244,490 909,047 Total revenue 5,710,443 6,296,280 585,837 Expenditures Capital outlay Public works 13,205,245 8,367,301 (4,837,944) Excess(deficiency)of revenue over expenditures (7,494,802) (2,071,021) 5,423,781 Other financing sources Transfers in 7,494,802 3,677,326 (3,817,476) Net change in fund balances $ — 1,606,305 $ 1,606,305 Fund balances(deficit) Beginning of year (5,250,659) End of year $ (3,644,354) -116- CITY OF APPLE VALLEY Future Capital Projects Fund Schedule of Revenue,Expenditures,and Changes in Fund Balances— Budget and Actual Year Ended December 31,2019 Over(Under) Budget Actual Budget Revenue Investment earnings $ 173,190 $ 487,647 $ 314,457 Expenditures Capital outlay 180,000 192,458 12,458 Excess(deficiency)of revenue over expenditures (6,810) 295,189 301,999 Other financing sources(uses) Sale of capital assets — 367,440 367,440 Transfers in — 350,000 350,000 Transfers(out) (452,326) (452,326) — Total other financing sources(uses) (452,326) 265,114 717,440 Net change in fund balances $ (459,136) 560,303 $ 1,019,439 Fund balances Beginning of year 14,300,138 End of year $ 14,860,441 -117- CITY OF APPLE VALLEY Cable TV Special Revenue Fund Schedule of Revenue,Expenditures,and Changes in Fund Balances— Budget and Actual Year Ended December 31,2019 Over(Under) Budget Actual Budget Revenue Intergovernmental $ 140,390 $ 148,118 $ 7,728 Investment earnings 1,500 1,552 52 Miscellaneous — 192 192 Total revenue 141,890 149,862 7,972 Expenditures Current Parks and recreation 295,165 279,121 (16,044) Capital outlay — 6,108 6,108 Total expenditures 295,165 285,229 (9,936) Excess(deficiency)of revenue over expenditures (153,275) (135,367) 17,908 Other financing sources Transfers in 140,390 148,002 7,612 Net change in fund balances $ (12,885) 12,635 $ 25,520 Fund balances Beginning of year 72,553 End of year $ 85,188 -118- CITY OF APPLE VALLEY EDA Operations Special Revenue Fund Schedule of Revenue,Expenditures,and Changes in Fund Balances— Budget and Actual Year Ended December 31,2019 Over(Under) Budget Actual Budget Revenue Intergovernmental $ — $ 500,000 $ 500,000 Investment earnings 150 24,868 24,718 Miscellaneous 50,000 50,000 — Total revenue 50,150 574,868 524,718 Expenditures Current General government 39,610 513,159 473,549 Net change in fund balances $ 10,540 61,709 $ 51,169 Fund balances Beginning of year 743,520 End of year $ 805,229 -119- CITY OF APPLE VALLEY Cable Capital Equipment Capital Projects Fund Schedule of Revenue,Expenditures,and Changes in Fund Balances— Budget and Actual Year Ended December 31,2019 Over(Under) Budget Actual Budget Revenue Franchise fees $ — $ 120,493 $ 120,493 Investment earnings 5,250 15,266 10,016 Total revenue 5,250 135,759 130,509 Expenditures Current Public works — 8,893 8,893 Capital outlay 68,000 56,091 (11,909) Total expenditures 68,000 64,984 (3,016) Excess(deficiency)of revenue over expenditures (62,750) 70,775 133,525 Other financing sources(uses) Transfers(out) — (148,002) (148,002) Net change in fund balances $ (62,750) (77,227) $ (14,477) Fund balances Beginning of year 475,488 End of year $ 398,261 -120- INTERNAL SERVICE FUNDS Internal service funds account for the financing of goods and services provided by one department or agency to other departments or agencies of the City on a cost-reimbursement basis. The City utilizes a Dental Insurance Internal Service Fund, a Benefits/Other Insurance Internal Service Fund, and a Vehicle Equipment Replacement Internal Service Fund in managing city operations. -121- CITY OF APPLE VALLEY Internal Service Funds Combining Statement of Net Position as of December 31,2019 Benefits/ Vehicle Dental Other Equipment Insurance Insurance Replacement (7100) (7200) (7400-7440) Totals Current assets Cash and investments $ 156,096 $ 2,877,566 $ 1,461,962 $ 4,495,624 Prepaids — 195,508 — 195,508 Total current assets 156,096 3,073,074 1,461,962 4,691,132 Noncurrent assets Capital assets Furniture and equipment — — 14,421,009 14,421,009 Less accumulated depreciation (7,805,333) (7,805,333) Total noncurrent assets — — 6,615,676 6,615,676 Total assets $ 156,096 $ 3,073,074 $ 8,077,638 $ 11,306,808 Current liabilities Accounts payable $ — $ 8,749 $ 345,599 $ 354,348 Claims payable 8,717 8,717 Accrued compensated absences — 1,850,100 — 1,850,100 Total current liabilities 8,717 1,858,849 345,599 2,213,165 Noncurrent liabilities Accrued compensated absences — 1,102,030 — 1,102,030 Total liabilities 8,717 2,960,879 345,599 3,315,195 Net position Net investment in capital assets 6,615,676 6,615,676 Unrestricted 147,379 112,195 1,116,363 1,375,937 Total net position 147,379 112,195 7,732,039 7,991,613 Total liabilities and net position $ 156,096 $ 3,073,074 $ 8,077,638 $ 11,306,808 -122- CITY OF APPLE VALLEY Internal Service Funds Combining Statement of Revenue,Expenses,and Changes in Net Position Year Ended December 31,2019 Benefits/ Vehicle Dental Other Equipment Insurance Insurance Replacement (7100) (7200) (7400-7440) Totals Operating revenue Charges to other funds $ 247,565 $ 1,562,009 $ 1,049,407 $ 2,858,981 Operating expenses Personal services 202,046 718,305 - 920,351 Contractual services - 20,722 - 20,722 Other charges - 1,074,555 - 1,074,555 Depreciation - - 1,021,811 1,021,811 Total operating expenses 202,046 1,813,582 1,021,811 3,037,439 Operating income(loss) 45,519 (251,573) 27,596 (178,458) Nonoperating revenue Investment earnings 4,136 98,782 47,947 150,865 Gain on sale of capital assets 54,136 54,136 Total nonoperating revenue 4,136 98,782 102,083 205,001 Income(loss)before transfers 49,655 (152,791) 129,679 26,543 Transfers in - - 31,400 31,400 Change in net position 49,655 (152,791) 161,079 57,943 Net position Beginning of year 97,724 264,986 7,570,960 7,933,670 Endofyear $ 147,379 $ 112,195 $ 7,732,039 $ 7,991,613 -123- CITY OF APPLE VALLEY Internal Service Funds Combining Statement of Cash Flows Year Ended December 31,2019 Benefits/ Vehicle Dental Other Equipment Insurance Insurance Replacement (7100) (7200) (7400-7440) Totals Cash flows from operating activities Cash receipts on interfund services provided $ 247,565 $ 1,563,397 $ 1,025,654 $ 2,836,616 Cash payments to suppliers (201,990) (1,562,878) — (1,764,868) Cash payments to employees for services — (156,719) — (156,719) Net cash flows from operating activities 45,575 (156,200) 1,025,654 915,029 Cash flows from capital and related financing activities Acquisition and construction of capital assets (1,200,778) (1,200,778) Proceeds from sale of capital assets 95,609 95,609 Net cash flows from capital and related financing activities (1,105,169) (1,105,169) Cash flows from investing activities Interest received on investments 4,136 98,782 47,947 150,865 Cash flows from noncapital financing activities Transfers in 31,400 31,400 Net increase in cash and cash equivalents 49,711 (57,418) (168) (7,875) Cash and investments Beginning of year 106,385 2,934,984 1,462,130 4,503,499 End of year $ 156,096 $ 2,877,566 $ 1,461,962 $ 4,495,624 Reconciliation of operating income(loss)to net cash flows from operating activities Operating income(loss) $ 45,519 $ (251,573) $ 27,596 $ (178,458) Adjustments to reconcile operating income(loss) to net cash flows from operating activities Depreciation 1,021,811 1,021,811 Change in assets and liabilities Receivables Accounts — 1,388 — 1,388 Prepaids — 4,862 — 4,862 Accounts payable — (3,070) (23,753) (26,823) Claims payable 56 56 Accrued compensated absences — 92,193 — 92,193 Net cash flows from operating activities $ 45,575 $ (156,200) $ 1,025,654 $ 915,029 Noncash capital activities Net book value of capital asset disposals $ — $ — $ (41,473) $ (41,473) Capital asset purchase on account $ — $ — $ 345,599 $ 345,599 -124- STATISTICAL SECTION THIS PAGE INTENTIONALLY LEFT BLANK STATISTICAL SECTION (UNAUDITED) This part of the City of Apple Valley, Minnesota's (the City) Comprehensive Annual Financial Report (CAFR) presents detailed information as a context for understanding what the information in the financial statements, note disclosures, and required supplementary information says about the City's overall financial health. Page Contents: Financial Trends These schedules contain trend information to help the reader understand how the City's financial performance and well-being have changed over time. 125 Revenue Capacity These schedules contain information to help the reader assess the City's most significant revenue source,including property tax and utility revenue. 135 Debt Capacity These schedules present information to help the reader assess the affordability of the City's current levels of outstanding debt and the City's ability to issue additional debt in the future. 142 Demographic and Economic Information These schedules offer demographic and economic indicators to help the reader understand the environment within which the City's financial activities take place. 151 Operating Indicators These schedules contain service and infrastructure data to help the reader understand how the information in the City's financial report relates to the services the City provides, and the activities it performs. 153 Source: Unless otherwise noted,the information in these schedules is derived from the CAFR for the relevant year. CITY OF APPLE VALLEY Net Position by Component Last Ten Fiscal Years (accrual basis of accounting) Fiscal Year 2010 2011 2012 2013 Governmental activities Net investment in capital assets $ 45,477,393 $ 54,928,735 $ 64,226,520 $ 70,526,658 Restricted 24,656,491 21,580,777 17,001,111 18,619,396 Unrestricted 38,798,761 42,115,459 43,609,670 38,654,601 Total governmental activities net position $ 108,932,645 $ 118,624,971 $ 124,837,301 $ 127,800,655 Business-type activities Net investment in capital assets $ 102,320,160 $ 104,198,009 $ 110,376,210 $ 118,410,631 Restricted 291,591 309,518 319,582 303,823 Unrestricted 20,094,976 19,431,679 19,030,882 13,228,257 Total business-type activities net position $ 122,706,727 $ 123,939,206 $ 129,726,674 $ 131,942,711 Primary government Net investment in capital assets $ 147,797,553 $ 159,126,744 $ 174,602,730 $ 188,937,289 Restricted 24,948,082 21,890,295 $ 17,320,693 18,923,219 Unrestricted 58,893,737 61,547,138 62,540,552 51,882,858 Total primary government net position $ 231,639,372 $ 242,564,177 $ 254,463,975 $ 259,743,366 Note 1: The City implemented GASB Statement No. 65 in 2012. Net position for 2011 was restated for the effects of implementing this standard.Net position for previous years has not been restated. Note 2: The City implemented GASB Statement No. 68 in 2015, resulting in a restatement of beginning net position for the effects of implementing this standard.Net position for previous years has not been restated. Note 3: The City implemented GASB Statement No. 75 in 2018, resulting in a restatement of beginning net position for the effects of implementing this standard.Net position for previous years has not been restated. -125- Table 1 2014 2015 2016 2017 2018 2019 $ 78,398,734 $ 86,664,918 $ 93,945,022 $ 99,642,040 $ 83,980,389 $ 92,370,852 15,253,042 16,541,831 16,141,535 15,364,368 15,352,356 16,776,842 36,056,447 26,805,077 24,394,132 24,292,441 28,466,675 29,564,353 $ 129,708,223 $ 130,011,826 $ 134,480,689 $ 139,298,849 $ 127,799,420 $ 138,712,047 $ 120,092,250 $ 118,288,727 $ 119,417,084 $ 94,851,212 $ 100,261,931 $ 103,644,760 329,167 178,529 178,977 178,665 14,998,933 14,230,604 17,104,636 15,390,547 12,828,596 13,312,548 $ 135,420,350 $ 132,697,860 $ 136,700,697 $ 110,420,424 $ 113,090,527 $ 116,957,308 $ 198,490,984 $ 204,953,645 $ 213,362,106 $ 194,493,252 $ 184,242,320 $ 196,015,612 15,582,209 16,720,360 16,320,512 15,543,033 15,352,356 16,776,842 51,055,380 41,035,681 41,498,768 39,682,988 41,295,271 42,876,901 $ 265,128,573 $ 262,709,686 $ 271,181,386 $ 249,719,273 $ 240,889,947 $ 255,669,355 -126- CITY OF APPLE VALLEY Changes in Net Position Last Ten Fiscal Years (accrual basis of accounting) Fiscal Year 2010 2011 2012 2013 Expenses Governmental activities General government $ 10,081,345 $ 7,086,321 $ 7,398,895 $ 5,012,638 Public safety 10,092,977 10,548,223 11,101,520 11,336,972 Public works 7,008,886 5,744,780 6,382,138 6,905,011 Park and recreation 6,261,801 6,169,552 6,166,397 6,345,937 Interest on long-term debt 1,556,130 1,459,728 1,235,352 1,194,974 Total governmental activities expenses $ 35,001,139 $ 31,008,604 $ 32,284,302 $ 30,795,532 Business-type activities Municipal Liquor $ 8,285,841 $ 8,177,679 $ 8,377,991 $ 8,419,472 Municipal Golf Course 1,057,715 1,051,605 1,292,371 1,507,451 Sports Arena 748,541 799,993 778,931 759,930 Water and Sewer 7,302,254 7,309,277 7,194,007 7,794,274 Storm Drainage 846,743 917,054 1,001,140 1,052,087 Cemetery 68,868 69,004 69,376 51,472 Street Light Utility 410,787 398,114 447,954 444,106 Total business-type activities 18,720,749 18,722,726 19,161,770 20,028,792 Total primary government expenses $ 53,721,888 $ 49,731,330 $ 51,446,072 $ 50,824,324 Program revenues Governmental activities Charges for services General government $ 2,423,051 $ 2,435,834 $ 2,413,190 $ 2,315,613 Public safety 755,339 587,486 554,820 549,371 Public works 1,046,007 1,055,995 1,543,446 892,267 Park and recreation 1,721,486 1,314,377 1,504,546 1,271,031 Operating grants and contributions 1,872,316 534,041 579,675 900,223 Capital grants and contributions 3,271,761 4,398,403 4,445,816 3,250,152 Total governmental activities program revenues $ 11,089,960 $ 10,326,136 $ 11,041,493 $ 9,178,657 -127- Table 2 2014 2015 2016 2017 2018 2019 $ 6,107,245 $ 5,468,843 $ 6,974,444 $ 6,260,768 $ 7,670,285 $ 7,490,933 11,946,671 12,464,603 15,097,659 13,443,699 12,750,741 13,294,656 9,011,324 7,038,033 7,746,304 8,473,039 9,434,637 9,414,499 6,403,907 6,543,162 7,025,281 7,239,268 6,992,203 7,191,984 1,037,527 1,037,567 912,007 886,283 284,621 268,829 $ 34,506,674 $ 32,552,208 $ 37,755,695 $ 36,303,057 $ 37,132,487 $ 37,660,901 $ 8,332,921 $ 7,772,369 $ 7,872,023 $ 8,251,249 $ 8,362,332 8,631,173 1,526,108 1,653,759 1,728,605 1,545,792 1,238,125 1,218,830 853,315 770,215 770,666 798,402 784,343 756,399 8,186,262 8,154,989 9,336,567 10,031,223 9,203,936 9,746,090 1,257,566 1,444,800 1,481,121 2,181,086 2,035,266 2,217,257 51,646 49,086 60,790 127,469 89,069 140,545 424,670 446,644 437,439 483,752 485,356 543,694 20,632,488 20,291,862 21,687,211 23,418,973 22,198,427 23,253,988 $ 55,139,162 $ 52,844,070 $ 59,442,906 $ 59,722,030 $ 59,330,914 $ 60,914,889 $ 2,828,709 $ 1,696,786 $ 1,768,008 $ 1,956,499 $ 1,987,775 $ 2,085,398 541,947 496,566 543,950 617,729 615,835 712,423 1,001,148 2,620,283 2,489,539 3,740,394 3,555,717 2,592,303 2,030,716 1,989,084 2,740,747 1,461,720 2,396,973 1,646,122 837,763 771,220 1,531,412 1,082,234 1,985,278 1,400,053 1,897,081 5,918,652 5,489,541 3,206,571 3,741,660 7,514,679 $ 9,137,364 $ 13,492,591 $ 14,563,197 $ 12,065,147 $ 14,283,238 $ 15,950,978 -128- (continued) CITY OF APPLE VALLEY Changes in Net Position(continued) Last Ten Fiscal Years (accrual basis of accounting) Fiscal Year 2010 2011 2012 2013 Program revenues(continued) Business-type activities Charges for services Municipal liquor $ 9,032,194 $ 9,005,660 $ 9,231,890 $ 9,380,818 Municipal golf course 1,114,395 1,023,866 1,122,791 1,168,154 Sports arena 606,262 650,350 647,134 643,855 Water and sewer 8,439,232 8,361,750 9,256,709 8,951,798 Storm drainage 1,360,483 1,370,348 1,517,090 1,525,136 Cemetery 89,695 114,365 127,735 123,197 Street light utility 465,552 433,464 454,477 449,885 Operating grants and contributions - 10,170 13,890 80,707 Capital grants and contributions 645,427 643,164 3,201,690 1,497,501 Total business-type activities program revenues 21,753,240 21,613,137 25,573,406 23,821,051 Total primary government program revenues $ 32,843,200 $ 31,939,273 $ 36,614,899 $ 32,999,708 Net(expense)revenue Governmental activities $ (23,911,179) $ (20,682,468) $ (21,242,809) $ (21,616,875) Business-type activities 3,032,491 2,890,411 6,411,636 3,792,259 Total primary government net expense $ (20,878,688) $ (17,792,057) $ (14,831,173) $ (17,824,616) General revenues and other changes in net position Governmental activities Property taxes $ 21,697,421 $ 21,460,141 $ 21,769,647 $ 22,144,883 Tax increments 2,311,405 2,240,269 2,012,281 544,283 Franchise taxes 1,160,771 1,177,715 1,197,288 1,262,393 Lodging tax 67,311 74,105 75,472 73,504 Gravel tax 36,314 38,666 36,439 45,890 Unallocated state and county aids 95,019 117,000 145,755 40,397 Other general revenue 271,622 176,575 116,558 186,872 Unrestricted investment earnings 643,741 2,372,693 1,026,594 (1,056,882) Transfers 1,623,303 2,717,630 1,075,105 1,338,889 Total governmental activities $ 27,906,907 $ 30,374,794 $ 27,455,139 $ 24,580,229 Business-type activities Unrestricted investment earnings $ 320,166 $ 888,863 $ 388,923 $ (358,333) Property taxes 125,000 120,000 120,000 121,000 Other 15,217 50,835 43,845 - Transfers (1,623,303) (2,717,630) (1,075,105) (1,338,889) Total business-type activities (1,162,920) (1,657,932) (522,337) (1,576,222) Total primary government $ 26,743,987 $ 28,716,862 $ 26,932,802 $ 23,004,007 Change in net position Governmental activities $ 3,995,728 $ 9,692,326 $ 6,212,330 $ 2,963,354 Business-type activities 1,869,571 1,232,479 5,889,299 2,216,037 Total primary government $ 5,865,299 $ 10,924,805 $ 12,101,629 $ 5,179,391 Note: Fiscal 2012 and prior data has not been restated for the reclassifications made in fiscal 2013. -129- Table 2(continued) 2014 2015 2016 2017 2018 2019 $ 9,292,269 $ 8,480,414 $ 8,738,804 $ 9,185,736 $ 9,456,705 $ 9,890,386 1,289,089 1,387,821 1,356,436 1,180,209 864,579 898,673 746,351 722,270 783,962 732,979 790,989 749,377 8,913,191 8,995,642 9,754,601 9,917,074 10,365,726 10,596,646 1,567,066 1,631,761 1,718,352 1,866,306 1,967,313 2,114,258 104,128 132,305 160,716 187,589 150,703 209,288 465,584 483,680 500,877 507,360 522,977 555,175 1,612,392 2,110,667 3,631,836 1,057,916 1,693,236 2,804,912 23,990,070 23,944,560 26,645,584 24,635,169 25,812,228 27,818,715 $ 33,127,434 $ 37,437,151 $ 41,208,781 $ 36,700,316 $ 40,095,466 $ 43,769,693 $ (25,369,310) $ (19,059,617) $ (23,192,498) $ (24,237,910) $ (22,849,249) $ (21,709,923) 3,357,582 3,652,698 4,958,373 1,216,196 3,613,801 4,564,727 $ (22,011,728) $ (15,406,919) $ (18,234,125) $ (23,021,714) $ (19,235,448) $ (17,145,196) $ 23,067,164 $ 23,038,450 $ 23,894,359 $ 24,758,299 $ 25,784,612 $ 26,275,425 611,662 489,617 199,214 346,675 761,862 862,195 1,272,428 1,259,271 1,309,757 1,288,426 1,306,360 1,291,703 89,859 93,492 90,592 92,958 99,960 96,018 50,612 39,215 40,794 37,902 - 50,619 36,710 40,061 37,719 56,751 124,430 140,114 78,478 7,387 6,888 8,440 10,786 413,118 1,562,329 863,798 801,038 551,119 886,459 2,113,838 507,636 4,681,392 1,281,000 1,915,500 1,317,600 1,379,520 $ 27,276,878 $ 30,512,683 $ 27,661,361 $ 29,056,070 $ 30,292,069 $ 32,622,550 $ 506,693 $ 235,424 $ 204,464 $ 151,206 $ 268,297 $ 560,574 121,000 121,000 121,000 121,000 121,000 121,000 (507,636) (4,681,392) (1,281,000) (1,915,500) (1,317,600) (1,379,520) 120,057 (4,324,968) (955,536) (1,643,294) (928,303) (697,946) $ 27,396,935 $ 26,187,715 $ 26,705,825 $ 27,412,776 $ 29,363,766 $ 31,924,604 $ 1,907,568 $ 11,453,066 $ 4,468,863 $ 4,818,160 $ 7,442,820 $ 10,912,627 3,477,639 (672,270) 4,002,837 (427,098) 2,685,498 3,866,781 $ 5,385,207 $ 10,780,796 $ 8,471,700 $ 4,391,062 $ 10,128,318 $ 14,779,408 -130- CITY OF APPLE VALLEY Fund Balances of Governmental Funds Last Ten Fiscal Years (modified accrual basis of accounting) Fiscal Year 2010 2011 2012 2013 General Fund Reserved $ 53,113 $ — $ — $ — Unreserved 12,594,013 — — — Nonspendable — 118,661 239,462 90,745 Committed — 165,872 210,005 154,100 Assigned — 278,724 279,973 151,502 Unassigned — 12,142,496 12,646,076 13,830,037 Total General Fund $ 12,647,126 $ 12,705,753 $ 13,375,516 $ 14,226,384 All other governmental funds Unreserved reported in Special revenue funds $ 324,251 $ — $ — $ — Debt service funds 15,892,926 — — — Capital projects funds 14,011,232 — — — Nonspendable — — 1,750 — Restricted — 15,537,787 11,435,144 20,966,147 Committed — — — — Assigned — 28,795,063 31,538,043 26,215,087 Unassigned — (13,395,872) (12,381,234) (9,561,124) Total all other governmental funds $ 30,228,409 $ 30,936,978 $ 30,593,703 $ 37,620,110 Total all funds $ 42,875,535 $ 43,642,731 $ 43,969,219 $ 51,846,494 Note: Fund balance descriptions changed due to GASB Statement No. 54 implementation effective January 1,2011. -131- Table 3 2014 2015 2016 2017 2018 2019 $ - $ - $ - $ - $ - $ 337,564 345,004 119,947 325,282 145,644 77,640 146,300 405,990 693,145 595,215 367,510 576,705 54,416 20,000 56,000 64,300 75,000 14,617,170 15,321,110 15,740,362 16,351,616 17,052,177 17,391,762 $ 15,155,450 $ 16,092,104 $ 16,609,454 $ 17,336,413 $ 17,640,331 $ 18,046,107 $ - $ - $ - $ - $ - $ 1,750 600 1,730 — — 21,772,784 27,424,225 27,079,147 13,431,367 13,593,428 14,985,848 140,000 15,000 — — 27,614,620 27,008,733 28,454,255 28,779,829 29,390,606 29,212,412 (11,108,352) (9,539,062) (8,921,232) (8,738,893) (6,108,464) (4,431,204) $ 38,279,052 $ 44,895,646 $ 46,752,770 $ 33,489,033 $ 36,875,570 $ 39,767,056 $ 53,434,502 $ 60,987,750 $ 63,362,224 $ 50,825,446 $ 54,515,901 $ 57,813,163 -132- CITY OF APPLE VALLEY Changes in Fund Balances of Governmental Funds Last Ten Fiscal Years (modified accrual basis of accounting) Fiscal Year 2010 2011 2012 2013 Revenues General property taxes $ 21,709,126 $ 21,408,873 $ 21,773,048 $ 22,252,162 Tax increments 2,311,405 2,240,269 2,012,281 544,283 Other taxes 103,625 152,020 154,126 169,413 Special assessments 2,055,783 2,125,776 4,015,591 4,073,061 Licenses and permits 1,018,847 796,316 1,033,797 1,140,603 Intergovernmental 2,996,658 2,407,596 2,642,018 2,388,922 Charges for services 1,349,123 1,436,256 1,783,390 1,712,660 Franchise taxes 1,160,771 1,177,715 1,197,288 1,262,393 Fines and forfeits 258,165 288,946 278,913 257,345 Investment income 593,336 2,232,966 965,333 (991,703) Rentals 592,831 511,453 559,702 642,422 Contributions and donations 11,484 2,750 1,801 51,425 Administrative fees 778,400 828,999 788,171 785,927 Other 697,054 321,565 338,142 545,994 Refunds and reimbursements 450,972 139,581 127,166 99,024 Total revenues 36,087,580 36,071,081 37,670,767 34,933,931 Expenditures Current General government 7,418,012 4,679,394 4,355,811 4,518,602 Public safety 9,728,340 9,890,086 9,987,493 10,538,043 Public works 3,593,951 3,675,687 3,674,876 4,031,492 Park and recreation 4,768,656 4,855,184 4,847,194 4,978,896 Capital outlay 5,879,024 6,370,109 13,266,487 8,716,540 Debt service Principal 4,160,000 4,665,000 8,280,000 3,625,000 Interest and fiscal charges 1,615,929 1,487,399 1,224,409 1,268,227 Total expenditures 37,163,912 35,622,859 45,636,270 37,676,800 Excess(deficiency)of revenues over expenditures (1,076,332) 448,222 (7,965,503) (2,742,869) Other financing sources(uses) Transfers in 5,734,691 5,874,339 5,634,873 11,182,608 Transfers out (3,680,241) (3,156,709) (4,559,768) (9,843,719) Bonds issued 3,965,000 1,345,000 6,775,000 9,000,000 Payment of refunded debt (2,750,000) (3,920,000) Premium on debt issued 47,191 6,568 330,981 81,545 Discount on debt issued - - - - Sale of capital assets 109,558 169,776 110,905 199,710 Total other financing sources(uses) 3,426,199 318,974 8,291,991 10,620,144 Net change in fund balances $ 2,349,867 $ 767,196 $ 326,488 $ 7,877,275 Debt service as a percentage of noncapital expenditures 18.5% 20.5% 27.5% 16.7% -133- Table 4 2014 2015 2016 2017 2018 2019 $ 23,161,124 $ 22,969,161 $ 23,910,991 $ 24,729,659 $ 25,728,652 $ 26,198,973 611,662 489,617 199,214 346,675 761,862 862,195 193,018 186,512 185,568 182,377 150,340 196,347 5,457,959 3,859,401 4,150,527 1,559,609 1,823,441 1,259,795 1,644,338 2,147,477 2,052,043 3,244,654 2,254,309 1,590,903 3,459,585 2,330,695 2,605,769 2,002,385 2,735,824 8,113,023 1,763,940 2,711,884 2,739,163 2,962,769 3,086,720 2,852,593 1,272,428 1,259,271 1,309,757 1,288,426 1,306,360 1,291,703 236,943 225,804 273,372 315,087 302,494 311,235 1,461,765 817,230 756,341 523,891 823,798 1,962,973 774,364 806,915 832,854 720,100 198,276 231,220 13,176 4,852 7,309 3,760 100 - 770,000 809,000 2,054,475 722,490 2,984,900 408,511 1,497,913 312,708 202,540 300,200 929,646 1,507,452 202,518 90,148 236,416 68,257 47,985 60,499 42,520,733 39,020,675 41,516,339 38,970,339 43,134,707 46,847,422 5,655,482 5,014,867 6,264,368 5,705,708 7,270,172 6,930,005 11,118,268 11,467,187 12,105,588 12,279,935 13,107,793 13,294,523 4,010,339 3,621,872 3,956,049 4,131,796 5,145,724 5,010,451 5,135,573 5,198,446 5,728,049 5,766,554 5,727,112 5,849,687 13,453,625 6,462,646 8,425,307 8,464,983 8,096,679 12,721,433 3,415,000 3,575,000 2,650,000 3,425,000 1,100,000 1,180,000 1,072,847 1,100,649 964,997 940,431 345,208 318,216 43,861,134 36,440,667 40,094,358 40,714,407 40,792,688 45,304,315 (1,340,401) 2,580,008 1,421,981 (1,744,068) 2,342,019 1,543,107 9,800,593 9,678,084 8,046,274 8,743,125 12,827,991 6,046,370 (7,745,923) (8,139,084) (7,226,274) (7,653,625) (11,510,391) (4,698,250) 680,000 4,255,000 - - - - (1,030,000) - (11,925,000) - - 25,505 113,988 - - - - 168,234 95,252 132,493 42,790 30,836 406,035 2,928,409 4,973,240 952,493 (10,792,710) 1,348,436 1,754,155 $ 1,588,008 $ 7,553,248 $ 2,374,474 $ (12,536,778) $ 3,690,455 $ 3,297,262 13.1% 15.3% 11.4% 13.2% 4.4% 4.5% -134- CITY OF APPLE VALLEY Assessed and Estimated Actual Value of Taxable Property Last Ten Fiscal Years Industrial Payable Residential Commercial and Utility Agricultural Year Property Property Property Property Apartments 2010 $ 39,692,580 $ 10,053,775 $ 1,238,900 $ 130,237 $ 2,498,076 2011 36,918,099 9,363,833 1,038,862 130,124 2,319,888 2012 32,937,899 9,210,935 1,004,132 116,719 2,445,781 2013 30,220,442 9,015,644 829,980 92,210 2,704,250 2014 31,239,597 9,045,624 837,008 88,030 2,723,667 2015 34,412,031 9,071,960 859,888 85,694 2,864,337 2016 36,561,330 9,186,796 874,912 78,636 3,038,517 2017 38,063,519 9,379,705 842,612 75,901 3,572,226 2018 40,870,116 9,633,311 947,308 44,601 4,844,046 2019 45,045,801 8,706,320 2,161,700 30,521 5,974,480 Note: The tax capacity(assessed taxable value) of the property is calculated by applying a statutory formula to the estimated market value of the property. Source: Dakota County -135- Table 5 Estimated Taxable Total Actual Assessed Taxable Total Direct Taxable Value as a Personal Assessed Tax Capacity Market Percentage of Other Property Value Rate Value Actual Value $ 4,283 $ 688,202 $ 54,306,053 39.867 $4,787,691,200 1.13 % 3,959 764,694 50,539,459 42.388 4,457,368,700 1.13 2,316 773,692 46,491,474 44.110 4,061,762,557 1.14 2,159 755,422 43,620,107 49.210 3,791,294,766 1.15 2,194 763,784 44,699,904 47.891 3,897,057,902 1.15 2,369 790,695 48,086,974 45.274 4,228,421,500 1.14 2,564 835,973 50,578,728 44.721 4,464,893,416 1.13 2,521 872,987 52,809,471 44.473 4,669,204,881 1.13 2,524 928,330 57,270,236 42.475 5,072,183,189 1.13 2,754 942,941 62,864,517 39.603 5,599,680,777 1.12 -136- CITY OF APPLE VALLEY Property Tax Capacity Rates Direct and Overlapping Governments Last Ten Fiscal Years City Direct Tax Capacity Rate Overlapping Tax Capacity Rates Fiscal School District Year General Debt Service Total City Dakota County (1) Other(2) 2010 39.861 0.006 39.867 27.269 25.391 4.987 2011 42.382 0.006 42.388 29.149 26.959 5.199 2012 44.104 0.006 44.110 31.426 28.440 5.562 2013 49.199 0.011 49.210 33.421 27.956 5.884 2014 47.880 0.011 47.891 31.827 27.606 5.538 2015 45.265 0.009 45.274 29.633 23.271 5.033 2016 44.711 0.010 44.721 28.570 24.317 5.063 2017 44.462 0.011 44.473 28.004 23.336 4.907 2018 42.467 0.008 42.475 26.580 25.759 3.878 2019 39.596 0.007 39.603 25.386 26.202 3.824 City Direct Market Value Tax Rate Overlapping Market Value Tax Rates Total Direct Fiscal School District Total Overlapping Year Debt Service Total City Dakota County (1) Overlapping Tax Rate 2010 0.000337 0.000337 0.000050 0.002227 0.002277 0.002614 2011 0.000375 0.000375 0.000054 0.002260 0.002314 0.002689 2012 0.000417 0.000417 0.000055 0.002213 0.002268 0.002685 2013 0.000212 0.000212 0.002354 0.002354 0.002566 2014 0.000212 0.000212 - 0.002581 0.002581 0.002793 2015 0.000204 0.000204 - 0.002548 0.002548 0.002752 2016 0.000199 0.000199 - 0.002700 0.002700 0.002899 2017 0.000197 0.000197 - 0.002738 0.002738 0.002935 2018 0.000180 0.000180 - 0.002672 0.002672 0.002851 2019 0.000172 0.000172 - 0.002616 0.002616 0.002788 Note 1: Overlapping rates are those of local and county governments that apply to property owners within the City. Note 2: Not all overlapping rates apply to all of the City's property owners. (1) Independent School District No. 196 (2) Includes Metropolitan Council, Mosquito Control Abatement, Metro Transit, Dakota County CDA, Light Rail,and Vermillion River Watershed Source: Dakota County -137- Table 6 Total Direct Total Overlapping Overlapping Tax Rate 57.647 97.514 61.307 103.695 65.428 109.538 67.261 116.471 64.971 112.862 57.937 103.211 57.950 102.671 56.247 100.720 56.217 98.692 55.412 95.015 -138- THIS PAGE INTENTIONALLY LEFT BLANK CITY OF APPLE VALLEY Table 7 Principal Property Taxpayers Current Fiscal Year and Nine Years Prior 2019 2010 Percentage Percentage of Total of Total Net Tax City Tax Net Tax City Tax Capacity Capacity Capacity Capacity Taxpayer Value Rank Value Value Rank Value Individual $ 634,725 1 1.01 % $ 425,000 5 0.78 % Continental 313 Fund LLC 584,874 2 0.93 Principal Life Insurance Co 519,236 3 0.83 615,234 1 1.13 Apple Valley Leased Housing Assoc. 505,809 4 0.80 273,600 10 0.50 Bigos-Gabella LLC 500,245 5 0.80 PHS Apple Valley Senior Housing Inc 397,143 6 0.63 Uponor North America 382,148 7 0.61 CAR Apple Valley Square LLC 376,706 8 0.60 458,344 4 0.84 Dakota Electric Asssociation 360,570 9 0.57 345,632 7 0.64 Centro Bradley Southport Centre 351,714 10 0.56 365,066 6 0.67 Fischer Sand&Aggregate LLP 581,701 2 1.07 Target Corporation 570,192 3 1.05 Fischer Sand&Aggregate Co 329,476 8 0.61 Wings Financial Federal Credit Union 286,672 9 0.53 Total $4,613,170 7.34 % $4,250,917 7.83 % Source:Dakota County -139- CITY OF APPLE VALLEY Property Tax Levies and Collections Last Ten Fiscal Years Taxes Levied for the Fiscal Year MVHC/ Collected Within the Ag Credit Fiscal Year of Levy and Fiscal Percentage Fiscal Gross Operating Disparities Total Net of Year Tax Levy Received Tax Levy Amount Levy 2010 $ 22,839,554 $ (3,815,622) $ 19,000,860 $ 18,723,194 98.54 % 2011 22,700,000 (3,612,353) 19,087,647 18,846,881 98.74 2012 22,025,249 (2,821,637) 19,203,612 18,996,562 98.92 2013 22,410,946 (2,751,166) 19,659,780 19,411,582 98.74 2014 22,727,000 (2,994,265) 19,732,735 19,607,759 99.37 2015 23,134,000 (2,881,124) 20,252,876 20,069,635 99.10 2016 24,058,000 (2,784,776) 21,273,224 21,138,944 99.37 2017 24,840,000 (2,915,340) 21,924,660 21,783,179 99.35 2018 25,793,000 (3,141,511) 22,651,489 22,536,290 99.49 2019 26,350,000 (3,244,841) 23,105,159 22,959,711 99.37 -140 Table 8 Delinquencies Total Collections to Date Collected Percentage as of Most of Recent Report Amount Levy $ 105,140 $ 18,828,334 99.09 % 166,351 19,013,232 99.61 207,658 19,204,220 100.00 203,171 19,614,753 99.77 96,631 19,704,390 99.86 143,789 20,213,424 99.81 94,915 21,233,859 99.81 120,945 21,904,124 99.91 115,199 22,651,489 99.91 — 22,959,711 99.37 -141 CITY OF APPLE VALLEY Ratios of Outstanding Debt by Type Last Ten Fiscal Years Governmental Activities Business-Type Activities General General Obligation Tax General Special MSA Obligation Fiscal Increment Obligation Assessments Road Revenue Revenue Capital Year Bonds Bonds Bonds Bonds Bonds Notes Lease 2010 $ 865,000 $20,535,000 $14,750,000 $ 2,775,000 $ 4,014,416 $ — $ 109,211 2011 — 19,925,000 9,000,000 2,760,000 6,020,717 — 77,975 2012 — 20,128,873 8,062,109 2,320,000 5,531,461 — 44,884 2013 — 27,922,953 6,247,398 1,760,000 5,044,929 — 190,645 2014 — 27,023,868 4,972,687 1,185,000 13,209,567 — 138,799 2015 — 29,669,149 2,637,976 590,000 13,420,425 — 97,919 2016 — 27,900,442 2,298,265 — 12,653,255 — 56,285 2017 — 14,191,734 608,554 — 10,277,288 — 175,526 2018 — 13,158,026 493,843 — 8,581,651 379,941 335,739 2019 — 12,049,318 374,132 — 8,001,014 4,000,000 345,115 Note: Details regarding the City's outstanding debt can be found in the notes to basic financial statements. All figures are presented net of related premiums,discounts,and adjustments if applicable. (1) See the Demographic and Economic Statistics schedule for personal income and population data. (2) City personal income not available for 2019. -142- Table 9 Total Percentage Primary of Personal Per Government Income(1) Capita(1) $43,048,627 2.47 % $ 877 37,783,692 2.10 759 36,087,327 2.00 723 41,165,925 2.22 818 46,529,921 2.40 924 46,415,469 2.44 925 42,908,247 2.16 836 25,253,102 1.20 482 22,949,200 1.03 430 24,769,579 N/A (2) 455 -143- CITY OF APPLE VALLEY Ratios of General Bonded Debt Outstanding Last Ten Fiscal Years Less Amounts General General Special MSA Available Fiscal Obligation Tax Obligation Assessments Road in Debt Year Increment Bonds Bonds Bonds Bonds Service Funds(3) 2010 $ 865,000 $ 21,547,391 $ 14,750,000 $ 2,775,000 $ 14,386,682 2011 — 23,075,476 9,000,000 2,760,000 9,455,268 2012 — 22,885,334 8,062,109 2,320,000 8,176,337 2013 — 30,337,882 6,247,398 1,760,000 15,297,560 2014 — 37,753,435 4,972,687 1,185,000 13,581,184 2015 — 41,504,574 2,637,976 590,000 17,807,062 2016 — 40,553,697 2,298,265 — 17,649,041 2017 — 24,469,022 608,554 — 4,152,062 2018 — 21,739,677 493,843 — 2,318,259 2019 — 20,050,332 374,132 — 2,415,660 Note: Details regarding the City's outstanding debt can be found in the notes to the financial statements. All debt is presented net of related premiums,discounts,and adjustments if applicable. (1) See the Demographic and Economic Statistics schedule for personal income and population data. (2) City personal income not available for 2019. (3) Amounts shown here are the total restricted fund balances for all debt service funds and include restricted amounts held in escrow for advance refunding bond issues. -144- Table 10 Percentage of Taxable Market Percentage of Value of Personal Per Total Property Income Capita(1) $ 25,550,709 0.53 % 1.47 % $ 521 25,380,208 0.57 1.41 510 25,091,106 0.62 1.39 503 23,047,720 0.61 1.24 458 30,329,938 0.78 1.57 603 26,925,488 0.64 1.41 537 25,202,921 0.56 1.27 49 l 20,925,514 0.45 0.99 400 19,915,261 0.39 0.89 373 18,008,804 0.32 N/A (2) 331 -145- THIS PAGE INTENTIONALLY LEFT BLANK CITY OF APPLE VALLEY Table 11 Direct and Overlapping Governmental Activities Debt December 31,2019 City of Percentage Apple Valley's of Debt Share of Net Debt Applicable Overlapping Outstanding(1) to City Debt Overlapping Dakota County(2) $ — 11.34 % $ — School districts ISD No. 191,Burnsville—Eagan—Savage 138,355,000 0.57 788,624 ISD No. 196,Rosemount—Apple Valley—Eagan 134,115,000 27.12 36,371,988 Metropolitan Council(3) 2,950,000 1.30 38,350 Metro Transit(4) 182,390,000 1.62 2,954,718 Total overlapping 457,810,000 40,153,680 City of Apple Valley direct debt 12,423,450 100.00 12,423,450 Total direct and overlapping debt $ 470,233,450 $ 52,577,130 Note: Overlapping governments are those that coincide, at least in part,with the geographic boundaries of the City. This schedule estimates the portion of the outstanding debt of those overlapping governments that is borne by the residents and businesses of the City. This process recognizes that,when considering the City's ability to issue and repay long-term debt, the entire debt burden borne by the residents and businesses should be taken into account. However,this does not imply that every taxpayer is a resident and, therefore,responsible for repaying the debt, of each term debt,the entire debt burden borne by the residents and businesses should be taken into account. (1) As of December 31,2019,unless noted otherwise. (2) Dakota County has bond indebtedness of$78,250,000 as of December 31, 2019, of which $78,250,000 has been excluded as it is payable from housing revenues. (3) Metropolitan Council has$2,950,000 of general obligation debt outstanding as of December 31,2019.This debt is payable from ad valorem taxes levied on all taxable property within the Metropolitan Taxing District. This amount excludes $1,359,776,990 of general obligation debt payable from wastewater and sewer revenues, and lease agreements. (4) Metro Transit has bond indebtedness of$182,390,000 as of December 31, 2019. Transit debt is issued by the Metropolitan Council for all public transit operations in the transit district and is payable from ad valorem taxes levied on all taxable property within the Metropolitan Transit District. Source: Dakota County. Percentage of debt applicable is calculated by dividing a portion of tax capacity of the authority that lies in the City divided by the total tax capacity that lies in Dakota County. -146- CITY OF APPLE VALLEY Legal Debt Margin Information Last Ten Fiscal Years Fiscal Year 2010 2011 2012 2013 Debt limit $143,630,736 $133,721,061 $121,852,877 $123,111,918 Total net debt applicable the limit 20,535,000 19,830,000 19,845,000 27,590,000 Legal debt margin $123,095,736 $113,891,061 $102,007,877 $ 95,521,918 Total net debt applicable to the limit as a percentage of the debt limit 14.30% 14.83% 16.29% 22.41% -147- Table 12 2014 2015 2016 2017 2018 2019 $116,911,737 $126,852,645 $133,946,802 $140,076,146 $152,165,496 $ 167,990,423 26,700,000 29,275,000 27,550,000 13,885,000 12,895,000 11,830,000 $ 90,211,737 $ 97,577,645 $106,396,802 $126,191,146 $139,270,496 $ 156,160,423 22.84% 23.08% 20.57% 9.91% 8.47% 7.04% Legal Debt Margin Calculation for Fiscal Year 2019 Market value $5,599,680,777 Debt limit(3%of assessed value) 167,990,423 Debt applicable to the limit 11,830,000 Legal debt margin $ 156,160,423 -148- CITY OF APPLE VALLEY Pledged Revenue Coverage Last Ten Fiscal Years Liquor Store-Revenue Bonds G.O.Storm Water-Revenue Bonds Operating Less Net Operating Less Net Fiscal Revenues/ Operating Available Debt Service Revenues/ Operating Available Year Gross Profit Expense Revenue Principal(1) Interest Coverage Gross Profit Expense Revenue 2010 $2,486,461 $1,607,986 $ 878,475 $ 130,000 $ 129,220 3.389 $1,360,483 $ 806,506 $ 553,977 2011 2,557,573 1,601,269 956,304 135,000 125,450 3.672 1,370,348 872,369 497,979 2012 2,528,423 1,557,994 970,429 140,000 121,333 3.713 1,517,090 936,991 580,099 2013 2,685,372 1,595,221 1,090,151 145,000 116,436 4.170 1,505,136 989,295 515,841 2014 2,692,077 1,612,171 1,079,906 150,000 111,850 4.124 1,562,067 1,196,115 365,952 2015 2,443,210 1,626,498 816,712 200,000 71,256 3.011 1,629,361 1,376,670 252,691 2016 2,567,113 1,682,574 884,539 230,000 29,127 3.414 1,717,350 1,399,093 318,257 2017 2,709,997 1,750,717 959,280 235,000 27,288 3.657 1,769,842 2,116,752 (346,910) 2018 2,877,251 1,766,068 1,111,183 1,120,000 22,837 0.972 1,901,319 1,998,341 (97,022) 2019 2,951,063 1,691,424 1,259,639 2,113,725 2,180,725 (67,000) (1) Includes principal retired prior to maturity. (2) Excludes principal refunded from the proceeds of refunding bond issues. Note: Details regarding the City's outstanding debt can be found in the notes to basic financial statements. -149- Table 13 G.O.Water-Revenue Bonds Operating Less Net Debt Service Revenues/ Operating Available Debt Service Principal(2) Interest Coverage Gross Profit Expense Revenue Principal Interest Coverage $ 315,000 $ 31,035 1.601 $8,423,373 $7,285,380 $1,137,993 $ 105,000 $ 12,495 9.69 220,000 63,313 1.758 8,358,787 7,361,390 997,397 120,000 8,820 7.74 225,000 68,558 1.976 9,256,709 7,214,372 2,042,337 230,000 64,553 1.751 8,949,608 7,776,510 1,173,098 240,000 59,908 1.220 8,911,018 7,997,799 913,219 320,000 129,223 2.03 150,000 73,036 1.133 8,988,411 7,950,081 1,038,330 365,000 215,125 1.79 155,000 84,979 1.326 9,450,362 9,130,962 319,400 370,000 207,825 0.55 160,000 81,870 (1.434) 9,910,773 9,785,093 125,680 380,000 200,425 0.22 180,000 32,388 (0.457) 10,352,835 9,040,542 1,312,293 385,000 192,824 2.27 175,000 28,787 (0.329) 10,577,669 9,501,118 1,076,551 395,000 249,571 1.67 -150- CITY OF APPLE VALLEY Table 14 Demographic and Economic Statistics Last Ten Fiscal Years Per Capita Fiscal Personal Personal School Unemployment Year Population(1) Income Income(2) Enrollment(3) Rate(4) 2010 49,084 $1,740,027,800 $ 35,450 11,291 6.50% 2011 49,801 1,801,750,379 36,179 11,264 4.80% 2012 49,895 1,801,658,555 36,109 11,219 4.20% 2013 50,326 1,855,167,338 36,863 11,189 3.60% 2014 50,330 1,934,886,520 38,444 11,312 2.80% 2015 50,161 1,903,961,077 37,957 11,272 2.60% 2016 51,338 1,985,959,192 38,684 11,883 3.00% 2017 52,361 2,104,650,395 40,195 12,070 2.50% 2018 53,429 2,226,546,717 41,673 11,996 2.40% 2019 54,400 N/A N/A 11,967 2.60% N/A—Not Available Sources: (1) U.S.Census Bureau,Population Division (2) City of Apple Valley,American Community Survey,U.S.Census Bureau(2019 data for the City not yet available). (3) Schools located in the City's boundaries:Independent School District No. 196,including Dakota Ridge School. School enrollment defined as adjusted ADMs(average daily membership). ADM is weighted as follows in computing adjusted ADMs: Handicapped Half-Day Full-Day Elementary Elementary Pre-Kindergarten Kindergarten Kindergarten Kindergarten 1-3 4-6 Secondary Fiscal 2010 through 2014 1.250 1.000 0.612 0.612 1.115 1.060 1.300 Fiscal 2015 through 2019 1.000 1.000 0.550 1.000 1.000 1.000 1.200 (4) Minnesota Department of Employment and Economic Development -151- CITY OF APPLE VALLEY Table 15 Principal Employers Current Fiscal Year and Nine Years Ago 2019 2010 Percentage Percentage of Total of Total Taxpayer Employees Rank Employment Employees Rank Employment ISD No. 196 1,612 1 10.30 % 1,913 1 13.79 % Uponor 635 2 4.06 450 3 3.24 Target 410 3 2.62 500 2 3.60 Dakota County 396 4 2.53 204 9 1.47 Augustana Health Care Center 376 5 2.40 Wings Financial Federal Credit Union 371 6 2.37 Walmart 350 7 2.24 340 4 2.45 Questar Assessment 340 8 2.17 Cub Foods 320 9 2.05 300 5 2.16 Minnesota Zoo 264 10 1.69 260 7 1.87 Fischer Sand and Aggregate Co. 295 6 2.13 Apple Valley Health Care Center 250 8 1.80 Apple Valley Red-E-Mix,Inc. 200 10 1.44 Total 5,074 32.43 % 4,712 33.97 % Source: City of Apple Valley Community Development Department -152 CITY OF APPLE VALLEY Full-Time Equivalent(FTE)City Government Employees by Function Last Ten Fiscal Years Fiscal Year 2010 2011 2012 2013 General government Administration 3.00 2.81 3.00 3.00 Finance and data processing 5.00 5.00 4.71 4.00 Information and technology 3.17 3.21 3.33 3.24 Human resources 6.00 5.38 3.97 4.00 City clerk/elections 1.65 1.73 2.05 1.81 General government buildings 3.00 2.46 2.00 2.00 Community development 5.01 5.02 5.16 5.00 Code enforcement 2.00 1.71 1.82 2.00 Total general government 28.83 27.32 26.04 25.05 Public safety Police 62.00 60.09 58.72 61.16 Fire 16.44 18.45 18.40 18.63 Building inspections 4.93 4.02 5.07 5.22 Total public safety 83.37 82.56 82.19 85.01 Public works Public works administration 7.13 8.48 6.25 5.99 Central maintenance facility 5.52 5.48 5.25 5.34 Streets 17.19 17.32 16.63 16.66 Engineering(1) - 0.73 4.28 4.24 Total public works 29.84 32.01 32.41 32.23 Culture and recreation Park and recreation administration 7.81 7.82 7.28 7.87 Recreation programs 7.84 7.41 6.16 6.76 Park maintenance 25.27 25.06 25.02 23.09 Redwood Pool 2.13 1.94 2.32 2.47 Aquatic swim center 12.85 11.28 13.25 12.80 Community center 3.76 4.03 5.07 5.67 Apple Valley Senior Center 2.04 1.89 1.92 2.27 Cable TV 2.61 2.43 2.27 2.44 Total culture and recreation 64.31 61.86 63.29 63.37 Total general government 206.35 203.75 203.93 205.66 Enterprise funds Municipal liquor 19.49 18.99 18.98 18.86 Municipal golf(2) 13.76 14.44 15.96 20.41 Sports arena 6.05 6.72 6.47 6.88 Stormwater drainage utility(3) - - - - Water and sewer 18.58 18.45 18.84 18.14 Total enterprise funds 57.88 58.60 60.25 64.29 Total 264.23 262.35 264.18 269.95 (1) The City engineering function began in 2011 (2) New expanded golf clubhouse opened September 2012 (3) The stormwater drainage FTEs were included in Public Works Administration prior to 2014 Source: City of Apple Valley Human Resources Office - FTEs based on hours worked during the fiscal year. Part-time employees converted to FTE based on 2,080 hours per year. -153- Table 16 2014 2015 2016 2017 2018 2019 3.00 3.00 3.00 3.00 3.00 3.00 4.00 4.00 4.00 4.58 5.00 5.00 3.53 3.64 3.78 3.11 4.06 4.50 4.63 5.00 5.00 5.00 5.02 4.62 4.84 2.00 5.39 1.92 5.32 1.99 2.00 2.00 2.00 1.92 2.00 2.00 5.00 4.77 4.35 5.00 5.00 4.96 2.00 2.44 2.40 2.36 2.39 2.27 29.00 26.85 29.92 26.89 31.79 28.34 60.22 62.27 62.58 62.74 64.18 62.46 16.21 15.46 15.54 16.02 17.89 18.37 5.75 6.93 6.76 7.72 7.90 7.20 82.18 84.66 84.88 86.48 89.97 88.03 5.30 3.83 3.80 4.20 4.31 4.07 5.44 5.51 5.29 5.30 5.25 5.64 16.66 16.92 16.95 17.07 16.75 16.53 4.49 4.03 4.48 4.91 5.32 6.04 31.89 30.29 30.52 31.48 31.63 32.28 7.82 7.83 7.45 7.85 7.89 7.86 5.06 6.88 6.23 5.91 5.66 4.12 23.24 22.97 24.18 23.79 24.70 23.85 2.55 2.35 2.63 2.26 2.21 1.95 11.95 12.25 12.65 12.14 12.55 13.32 5.95 4.64 4.72 4.55 4.12 3.82 3.13 3.03 3.36 3.43 3.70 3.61 2.46 2.61 2.74 2.84 3.01 3.38 62.16 62.56 63.96 62.77 63.84 61.91 205.23 204.36 209.28 207.62 217.23 210.56 18.51 17.51 17.47 17.57 17.43 17.44 20.10 19.68 18.89 19.15 13.18 13.22 7.09 6.57 6.85 6.47 5.71 5.57 0.28 1.96 2.00 2.00 0.08 - 18.26 18.07 17.61 17.35 18.86 20.29 64.24 63.79 62.82 62.54 55.26 56.52 269.47 268.15 272.10 270.16 272.49 267.08 -154- CITY OF APPLE VALLEY Operating Indicators by Function Last Ten Years Fiscal Year Function/Program 2010 2011 2012 2013 General government Elections 2 N/A 2 N/A Registered voters 32,094 N/A 35,354 N/A Number of voters casting votes 21,271 N/A 29,715 N/A Number of absentee ballots received 1,316 N/A 2,993 N/A Percentage of absentee ballots to total votes 6.2% N/A 10.1% N/A Voter participation(registered)(elections are held every other year) 66.28% N/A 84.05% N/A Public safety Police Crimes-Part I 1,565 1,230 1,187 1,124 Crimes-Part II 2,364 2,072 1,970 1,756 Total arrests 1,985 1,963 1,962 1,307 DWI arrests 205 213 145 160 Traffic citations issued 6,329 7,587 6,670 5,726 Total calls for service 38,335 40,272 39,223 35,215 Fire Calls for service 1,340 1,408 1,417 1,454 Medical 712 792 639 636 Fire 628 616 778 818 Fire call responses times under 5 minutes 37% 40% 42% 44% Fire call responses times 5-10 minutes 52% 51% 49% 46% Fire call responses times over 10 minutes 11% 9% 9% 10% Public works Building permits issued 1,241 1,630 1,398 1,005 Permits issued for new dwelling units 228 31 47 63 Commercial building permits issued 102 71 96 113 Plumbing permits issued 920 886 1,027 1,090 Heating permits issued 771 540 692 786 Building permits issued 2,995 4,248 4,248 4,248 Building inspections 3,621 5,187 6,890 6,848 Streets maintained(lane miles) 407 408 410 410 Cul-de-sacs maintained 329 329 330 331 Snow/ice events 35 29 25 53 Signs replaced 500 460 700 411 Boulevard trees trimmed 1,800 5,200 2,137 1,990 Fleet division vehicle work orders 1,735 1,751 1,850 1,890 Diseased elm and oak trees mitigated 588 486 260 430 Lakes and ponds monitored with water quality samples 18 18 18 18 Sump catch basins cleaned 1,505 1,303 1,400 885 Sewage pumped(billion gallons) 1.2 1.2 1.2 1.3 Miles of sanitary sewer cleaned 64.2 72.1 75.0 77.0 Sanitary lift station inspections 1,716 1,716 1,716 1,716 Water produced(billion gallons) 2.1 2.3 2.4 2.4 Water samples taken 1,128 1,098 1,098 1,098 Fire hydrants maintained 2,405 2,410 2,410 2,444 Pressure stations inspected 13 13 13 13 Air relief manholes inspected 15 15 15 15 Hydrant flushing 5,250 1,020 - - Hydrant flushing(minutes) - - 24,455 24,189 Water breaks repaired 12 16 10 16 Burial sites sold 44 56 70 59 Burials 36 38 43 45 N/A-Not Available Source: Various city departments -155- Table 17 2014 2015 2016 2017 2018 2019 2 N/A 2 N/A 2 N/A 32,370 N/A 35,836 N/A 35,544 N/A 19,351 N/A 29,853 N/A 27,170 N/A 2,100 N/A 8,692 N/A 7,759 N/A 10.9% N/A 29.1% N/A 28.6% N/A 59.78% N/A 83.30% N/A 76.44% N/A 1,098 1,207 1,232 1,237 1,039 1,130 1,627 1,833 1,936 1,993 1,939 1,594 1,096 969 1,234 1,206 1,198 1,152 152 120 87 176 224 216 4,735 4,246 5,441 4,471 4,831 4,482 34,497 35,510 39,548 40,079 40,864 41,752 1,412 1,397 1,622 1,787 2,074 2,148 623 668 812 1,097 1,363 1,388 789 729 810 690 711 760 43% 43% 38% 43% 44% 43% 46% 48% 51% 48% 49% 47% 11% 9% 11% 9% 7% 10% 1,893 1,785 1,883 1,902 1,750 2,207 71 115 140 167 65 27 115 197 98 184 99 102 1,173 1,334 1,560 1,620 1,572 1,453 851 951 1,076 1,170 1,043 966 5,430 5,755 1,883 1,902 1,750 2,207 8,636 10,543 10,702 11,794 12,406 7,825 416 416 418 418 418 423 322 324 325 325 325 325 45 29 29 32 34 30 657 451 354 402 425 412 1,175 1,250 939 1,565 1,063 1,566 2,148 1,486 2,138 1,507 1,122 2,640 340 322 326 444 289 368 17 18 18 18 18 9 1,455 983 1,106 1,282 873 1,181 1.1 1.2 1.1 1.1 1.1 1.1 79.0 54.0 62.0 47.0 38.0 47.2 1,716 1,716 1,716 1,716 1,716 1,716 2.1 2.0 2.0 2.0 2.0 1.9 1,098 1,098 1,098 1,098 1,098 1,098 2,454 2,466 2,484 2,489 2,494 2,556 13 13 13 13 13 15 15 16 16 16 16 12 23,987 24,916 26,687 24,688 25,005 18,431 11 16 8 10 8 10 57 69 75 108 62 85 34 50 46 58 58 67 -156- CITY OF APPLE VALLEY Capital Assets Statistics by Function/Program Last Ten Years Fiscal Year Function/Program 2010 2011 2012 2013 Public safety Police Stations 1 1 1 1 Marked squad units 20 23 23 23 Fire Stations 3 3 3 3 Fire engine trucks 5 5 5 5 Fire ladder trucks 2 2 2 2 Fire brush/rescue trucks 1 1 1 1 Public works City-owned lights 246 246 261 261 Dakota Electric Association-owned 2,207 2,270 2,494 2,718 Xcel owned lights 301 301 301 301 Streets(centerline miles) 171 172 172 175 Cul-de-sacs 329 329 329 329 Roundabouts 3 3 3 3 Trees(number of boulevard trees) 9,500 9,500 9,500 9,330 Parks Parks 50 50 50 50 Total park acreage 879 879 879 879 Trails—street side trails(miles) 65 65 65 65 Athletic complexes 5 5 5 5 Golf course I 1 1 1 Community centers 2 2 2 2 Senior center I 1 1 1 Pools/aquatic centers 2 2 2 2 Ice arenas 2 2 2 2 Water Number of connections 15,518 15,566 15,596 15,674 Miles of water mains and laterals 241 241 241 245 Wells 19 19 19 19 Water valves 3,712 3,726 3,751 3,774 Fire hydrants 2,405 2,410 2,410 2,438 Water reservoirs 5 5 5 5 Reservoir capacity(millions of gallons) 12.5 12.5 12.5 12.5 Sanitary sewer Number of connections 15,087 15,130 15,160 15,229 Miles of sanitary sewer mains and laterals 193 194 194 200 Sanitary lift stations 9 9 9 9 Sanitary manholes 5,372 5,384 5,384 5,466 Storm sewer Lift stations 12 12 12 12 Mile of storm sewers 162 163 164 165 N/A—Not Available Source: Various city departments -157- Table 18 2014 2015 2016 2017 2018 2019 1 1 1 1 1 1 24 24 24 25 25 22 3 3 3 3 3 3 5 5 5 5 5 4 2 2 2 2 2 2 1 1 1 1 1 1 271 271 302 308 310 315 2,942 3,167 3,303 3,112 3,115 3,224 301 301 343 343 343 343 177 177 179 180 180 183 329 324 325 325 325 325 3 4 4 4 4 4 9,250 9,175 9,100 8,800 8,400 8,329 50 50 50 50 51 51 879 879 879 879 888 888 65 65 75 78 78 79 5 5 5 5 5 5 1 1 1 1 1 1 2 2 2 2 2 2 1 1 1 1 1 1 2 2 2 2 2 2 2 2 2 2 2 2 15,752 15,874 16,024 16,226 16,342 16,409 247 248 250 266 287 287 19 19 20 20 20 20 3,812 3,836 3,872 3,886 3,917 5,103 2,454 2,466 2,484 2,489 2,494 2,556 5 5 5 5 5 5 13 13 13 13 13 13 15,307 15,422 15,563 15,764 15,877 15,935 204 204 204 212 223 223 9 9 9 9 9 9 5,514 5,538 5,587 5,596 5,603 5,700 12 12 12 12 12 12 167 170 173 196 196 216 -158- THIS PAGE INTENTIONALLY LEFT BLANK Management Report for City of Apple Valley,Minnesota December 31,2019 THIS PAGE INTENTIONALLY LEFT BLANK PRINCIPALS Thomas A.Karnowski,CPA Paul A.Radosevich,CPA William J.Lauer,CPA M KR P ■ James H.Eichten,CPA CERTIFIED PUBLIC Aaron J.Nielsen,CPA ACCOUNTANTS Victoria L.Holinka,CPA/CMA Jaclyn M.Huegel,CPA Kalen T.Karnowski,CPA To the City Council and Management City of Apple Valley,Minnesota We have prepared this management report in conjunction with our audit of the City of Apple Valley, Minnesota's (the City) financial statements for the year ended December 31, 2019. We have organized this report into the following sections: • Audit Summary • Governmental Funds Overview • Enterprise Funds Overview • Government-Wide Financial Statements • Legislative Updates • Accounting and Auditing Updates We would be pleased to further discuss any of the information contained in this report or any other concerns that you would like us to address. We would also like to express our thanks for the courtesy and assistance extended to us during the course of our audit. The purpose of this report is solely to provide those charged with governance of the City, management, and those who have responsibility for oversight of the financial reporting process comments resulting from our audit process and information relevant to city finances in Minnesota. Accordingly, this report is not suitable for any other purpose. Minneapolis,Minnesota May 27,2020 Malloy, Montague, Karnowski, Radosevich & Co., P.A. 5353 Wayzata Boulevard • Suite 410 • Minneapolis, MN 55416 • Phone: 952-545-0424 • Fax: 952-545-0569 • www.mmkr.com THIS PAGE INTENTIONALLY LEFT BLANK AUDIT SUMMARY The following is a summary of our audit work, key conclusions, and other information that we consider important or that is required to be communicated to the City Council, administration, or those charged with governance of the City. OUR RESPONSIBILITY UNDER AUDITING STANDARDS GENERALLY ACCEPTED IN THE UNITED STATES OF AMERICA AND GoVERNMENT AUDITING STANDARDS We have audited the financial statements of the governmental activities, the business-type activities, each major fund, and the aggregate remaining fund information of the City as of and for the year ended December 31, 2019. Professional standards require that we provide you with information about our responsibilities under auditing standards generally accepted in the United States of America and Government Auditing Standards, as well as certain information related to the planned scope and timing of our audit. We have communicated such information to you verbally and in our audit engagement letter. Professional standards also require that we communicate the following information related to our audit. PLANNED SCOPE AND TIMING OF THE AUDIT We performed the audit according to the planned scope and timing previously discussed and coordinated in order to obtain sufficient audit evidence and complete an effective audit. AUDIT OPINION AND FINDINGS Based on our audit of the City's financial statements for the year ended December 31, 2019: • We have issued an unmodified opinion on the City's basic financial statements. • We reported no deficiencies in the City's internal control over financial reporting that we considered to be material weaknesses. • The results of our testing disclosed no instances of noncompliance required to be reported under Government Auditing Standards. • We reported no findings based on our testing of the City's compliance with Minnesota laws and regulations. -1- OTHER OBSERVATIONS AND RECOMMENDATIONS Impact of Novel Coronavirus(COVID-19) Shortly after the end of the 2019 fiscal year, the onset of the novel coronavirus (COVID-19) pandemic caused substantial volatility in economic conditions and tremendous disruption in the way governments, businesses, and individuals function. Minnesota cities may experience the impact of this pandemic in a myriad of financial areas, such as: declines in investment rates of return, cash flow issues, increased utility billing and property tax delinquencies, significant increases in the number and frequency of employees working remotely, challenges in processing general and payroll disbursements, disruption of prescribed internal control procedures, delays in internal and external financial reporting, and new compliance requirements attached to potential federal relief subsidies. As your city adapts to the new normal of municipal operations in a post-COVID-19 world,the assessment of and responses to new risks that may accompany operational changes will be critical to the safeguarding of city resources and sound financial stewardship. We encourage management and governance to include a robust financial risk assessment process when planning responses to these challenges, and to reassess and adapt internal controls over financial transactions and reporting to align with significant changes made to daily operations, even those intended to be temporary. SIGNIFICANT ACCOUNTING POLICIES Management is responsible for the selection and use of appropriate accounting policies. The significant accounting policies used by the City are described in Note 1 of the notes to basic financial statements. No new accounting policies were adopted and the application of existing policies was not changed during the year ended December 31, 2019; however, the City implemented the following governmental accounting standards during the fiscal year: • Governmental Accounting Standards Board(GASB) Statement No. 83, Certain Asset Retirement Obligations, which addressed accounting and financial reporting for certain asset retirement obligations, which are legally enforceable liabilities associated with the retirement of a tangible capital asset. • GASB Statement No. 84, Fiduciary Activities, which established new criteria for identifying and reporting fiduciary activities. • GASB Statement No. 88, Certain Disclosures Related to Debt, Including Direct Borrowings and Direct Placements, which improved and clarified the information to be disclosed in notes to government financial statements related to debt, including direct borrowings and direct placements. • GASB Statement No. 90, Majority Equity Interest—an amendment of GASB Statements No. 14 and No. 61, which improved the consistency and comparability of reporting a government's majority equity interest in a legally separate organization and the relevance of financial statement information for certain component units. We noted no transactions entered into by the City during the year for which there is a lack of authoritative guidance or consensus. All significant transactions have been recognized in the financial statements in the proper period. -2- ACCOUNTING ESTIMATES AND MANAGEMENT JUDGMENTS Accounting estimates are an integral part of the financial statements prepared by management and are based on management's knowledge and experience about past and current events and assumptions about future events. Certain accounting estimates are particularly sensitive because of their significance to the financial statements and because of the possibility that future events affecting them may differ significantly from those expected. The most sensitive estimates affecting the financial statements were: • Depreciation — Management's estimates of depreciation expense are based on the estimated useful lives of the assets. • Other Post-Employment Benefits (OPEB) and Pension Liabilities — The City has recorded liabilities and activity for OPEB and pension benefits. These obligations are calculated using actuarial methodologies described in GASB Statement Nos. 68 and 75. These actuarial calculations include significant assumptions, including projected changes, healthcare insurance costs, investment returns,retirement ages,proportionate share, and employee turnover. • Compensated Absences—Management's estimates are based on current rates of pay and unused compensated absence balances. • Self-Insurance Reserves — Management's estimates of self-insurance reserves are based on the estimated liability for incurred but not reported claims. • Land Held for Resale —Management's estimates of these assets are based on the lower of cost or acquisition value. We evaluated the key factors and assumptions used by management to develop these accounting estimates in determining that they are reasonable in relation to the basic financial statements taken as a whole. Certain financial statement disclosures are particularly sensitive because of their significance to financial statement users. The disclosures included in the notes to the basic financial statements related to OPEB and pension benefits are particularly sensitive, due to the materiality of the liabilities, and the large and complex estimates involved in determining the disclosures. The financial statement disclosures are neutral,consistent, and clear. CORRECTED AND UNCORRECTED MISSTATEMENTS Professional standards require us to accumulate all known and likely misstatements identified during the audit, other than those that are clearly trivial, and communicate them to the appropriate level of management. There were no misstatements detected as a result of audit procedures that were material, either individually or in the aggregate,to each opinion unit's financial statements taken as a whole. DIFFICULTIES ENCOUNTERED IN PERFORMING THE AUDIT We encountered no significant difficulties in dealing with management in performing and completing our audit. -3- DISAGREEMENTS WITH MANAGEMENT For purposes of this report, a disagreement with management is a financial accounting, reporting, or auditing matter, whether or not resolved to our satisfaction, that could be significant to the financial statements or the auditor's report. We are pleased to report that no such disagreements arose during the course of our audit. MANAGEMENT REPRESENTATIONS We have requested certain representations from management that are included in the management representation letter dated May 27,2020. MANAGEMENT CONSULTATIONS WITH OTHER INDEPENDENT ACCOUNTANTS In some cases, management may decide to consult with other accountants about auditing and accounting matters, similar to obtaining a "second opinion" on certain situations. If a consultation involves application of an accounting principle to the City's financial statements or a determination of the type of auditor's opinion that may be expressed on those statements, our professional standards require the consulting accountant to check with us to determine that the consultant has all the relevant facts. To our knowledge,there were no such consultations with other accountants. OTHER AUDIT FINDINGS OR ISSUES We generally discuss a variety of matters, including the application of accounting principles and auditing standards, with management each year prior to retention as the City's auditors. However, these discussions occurred in the normal course of our professional relationship and our responses were not a condition to our retention. OTHER MATTERS We applied certain limited procedures to the management's discussion and analysis (MD&A) and the pension and OPEB-related required supplementary information(RSI)that supplements the basic financial statements. Our procedures consisted of inquiries of management regarding the methods of preparing the information and comparing the information for consistency with management's responses to our inquiries, the basic financial statements, and other knowledge we obtained during our audit of the basic financial statements. We did not audit the RSI and do not express an opinion or provide any assurance on the RSI. We were engaged to report on the supplementary information accompanying the financial statements, which is not RSI. With respect to this supplementary information, we made certain inquiries of management and evaluated the form, content, and methods of preparing the information to determine that the information complies with accounting principles generally accepted in the United States of America, the method of preparing it has not changed from the prior period, and the information is appropriate and complete in relation to our audit of the financial statements. We compared and reconciled the supplementary information to the underlying accounting records used to prepare the financial statements or to the financial statements themselves. We were not engaged to report on the introductory and statistical sections,which accompany the financial statements,but are not RSI. Such information has not been subjected to the auditing procedures applied in the audit of the basic financial statements and, accordingly, we do not express an opinion or provide any assurance on it. -4- GOVERNMENTAL FUNDS OVERVIEW This section of the report provides you with an overview of the financial trends and activities of the City's governmental funds, which includes the General, special revenue, debt service, and capital project funds. These funds are used to account for the basic services the City provides to all of its citizens, which are financed primarily with property taxes. The governmental fund information in the City's financial statements focuses on budgetary compliance and the sufficiency of each governmental fund's current assets to finance its current liabilities. PROPERTY TAXES Minnesota cities rely heavily on local property tax levies to support their governmental fund activities. For the 2018 fiscal year, local ad valorem property tax levies provided 41.5 percent of the total governmental fund revenues for cities over 2,500 in population, and 36.7 percent for cities under 2,500 in population. Total property taxes levied by all Minnesota cities for taxes payable in 2019 increased 5.6 percent from the prior year. The total tax capacity value of property in Minnesota cities increased about 7.1 percent for the 2019 levy year. The tax capacity values used for levying property taxes are based on the assessed market values for the previous fiscal year(e.g., tax capacity values for taxes levied in 2019 were based on assessed market values as of January 1, 2018), so the trend of change in these tax capacity values lags somewhat behind the housing market and economy in general. The City's taxable market value increased 8.6 percent for taxes payable in 2018 and 10.4 percent for taxes payable in 2019. The following graph shows the City's changes in taxable market value over the past 10 years: Taxable Market Value $6,000,000,000 $5,000,000,000 • I $4,000,000,000 i • • —i—i • iiii $3,000,000,000 . . . . . . . . . • $2,000,000,000 $1,000,000,000 111111E111i $- 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 -5- Tax capacity is considered the actual base available for taxation. It is calculated by applying the state's property classification system to each property's market value. Each property classification, such as commercial or residential, has a different calculation and uses different rates. Consequently, a city's total tax capacity will change at a different rate than its total market value, as tax capacity is affected by the proportion of its tax base that is in each property classification from year-to-year, as well as legislative changes to tax rates. The City's tax capacity increased 8.4 percent and 9.8 percent for taxes payable in 2018 and 2019,respectively. The following graph shows the City's change in tax capacities over the past 10 years: Tax Capacity $70,000,000 $60,000,000 $50,000,000 $40,000,000 $30,000,000 $20,000,000 $10,000,000 S 1.6 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 The following table presents the average tax rates applied to city residents for each of the last three levy years: Rates Expressed as a Percentage of Net Tax Capacity City of Apple Valley 2017 2018 2019 Average tax rate City 44.5 42.5 39.6 County 28.0 26.6 25.4 School 23.3 25.8 26.2 Special taxing 4.9 3.9 3.8 Total 100.7 98.8 95.0 The total average tax rate decreased from the prior year. An increase in the school portion was offset by decreases in the City, county, and special taxing authority rates. -6- GOVERNMENTAL FUND BALANCES The following table summarizes the changes in the fund balances of the City's governmental funds during the year ended December 31, 2019,presented both by fund balance classification and by fund: Governmental Funds Change in Fund Balance Fund Balance as of December 31, 2018 2019 Change Fund balances of governmental funds Total by classification Nonspendable $ 145,644 $ 77,640 $ (68,004) Restricted 13,608,420 14,985,848 1,377,428 Committed 367,510 576,705 209,195 Assigned 29,450,614 29,212,412 (238,202) Unassigned 10,943,713 12,960,558 2,016,845 Total governmental funds $ 54,515,901 $ 57,813,163 $ 3,297,262 Total by fund General $ 17,640,331 $ 18,046,107 $ 405,776 Closed Bond Issues 8,663,145 9,880,755 1,217,610 Road Improvements (5,250,659) (3,644,354) 1,606,305 Construction Projects 2,072,588 (86,886) (2,159,474) Future Capital Projects 14,300,138 14,860,441 560,303 Nonmajor 17,090,358 18,757,100 1,666,742 Total governmental funds $ 54,515,901 $ 57,813,163 $ 3,297,262 In total, the fund balances of the City's governmental funds increased by $3,297,262 during the year ended December 31, 2019. The overall increase is mainly in restricted and unassigned fund balances. Restricted fund balances increased $1,377,428, due to increased park dedication and franchise taxes received. The increase in unassigned fund balance of $2,016,845 is mainly due to the improved fund balance in the Road Improvements Capital Project Fund, due to funding received for current project costs. -7- GOVERNMENTAL FUND REVENUES The following table presents the per capita revenue of the City's governmental funds for the past three years, along with state-wide averages. We have included the most recent comparative state-wide averages available from the Office of the State Auditor to provide a benchmark for interpreting the City's data. The amounts received from the typical major sources of governmental fund revenue will naturally vary between cities based on factors such as a city's stage of development, location, size and density of its population, property values, services it provides, and other attributes. It will also differ from year-to-year, due to the effect of inflation and changes in its operation. Also, certain data in these tables may be classified differently than how they appear in the City's financial statements in order to be more comparable to the state-wide information, particularly in separating capital expenditures from current expenditures. We have designed this section of our management report using per capita data in order to better identify unique or unusual trends and activities of the City. We intend for this type of comparative and trend information to complement, rather than duplicate, information in the MD&A. An inherent difficulty in presenting per capita information is the accuracy of the population count, which for most years is based on estimates. Governmental Funds Revenue per Capita With State-Wide Averages by Population Class State-Wide City of Apple Valley Year December 31,2017 December 31,2018 2017 2018 2019 Population 20,000-100,000 20,000-100,000 52,361 53,429 54,400 Property taxes $ 475 $ 493 $ 472 $ 482 $ 482 Tax increments 38 43 7 14 16 Franchise and other taxes 48 50 28 27 27 Special assessments 59 57 30 34 23 Licenses and permits 49 47 62 42 29 Intergovernmental revenues 147 157 38 51 149 Charges for services 103 112 57 58 52 Other 48 49 51 99 82 Total revenue $ 967 $ 1,008 $ 745 $ 807 $ 860 The City's governmental funds have generated significantly less revenue per capita in total than other Minnesota cities in its population class. As noted above, the City typically receives a lower level of intergovernmental revenue than the average city, causing the City to rely on property taxes and other forms of revenue to operate the governmental activities of the City. The City generated $46,847,422 of total revenue in its governmental funds in 2019, an increase of $3,712,715 (8.6 percent) from the prior year. The City's per capita governmental funds revenue for 2019 was $860, an increase of $53, or 6.6 percent, from the prior year. The largest change was in intergovernmental revenues, which increased$98 per capita, due to increased municipal state aid funding for construction-related street projects. This increase was offset by the $17 per capita decrease in other revenue and the$13 per capita decrease in licenses and permits revenue. -8- GOVERNMENTAL FUND EXPENDITURES The expenditures of governmental funds will also vary from state-wide averages and from year-to-year, based on the City's circumstances. Expenditures are classified into three types as follows: • Current — These are typically the general operating type expenditures occurring on an annual basis, and are primarily funded by general sources, such as taxes and intergovernmental revenues. • Capital Outlay and Construction—These expenditures do not occur on a consistent basis,more typically fluctuating significantly from year-to-year. Many of these expenditures are project-oriented, and are often funded by specific sources that have benefited from the expenditure, such as special assessment improvement projects. • Debt Service—Although the expenditures for debt service may be relatively consistent over the term of the respective debt, the funding source is the important factor. Some debt may be repaid through specific sources, such as special assessments or redevelopment funding,while other debt may be repaid with general property taxes. The City's expenditures per capita of its governmental funds for the past three years, together with comparative state-wide averages, are presented in the following table: Governmental Funds Expenditures per Capita With State-Wide Averages by Population Class State-Wide City of Apple Valley Year December 31,2017 December 31,2018 2017 2018 2019 Population 20,000-100,000 20,000-100,000 52,361 53,429 54,400 Current General government $ 101 $ 104 $ 109 $ 136 $ 127 Public safety 287 294 235 245 244 Street maintenance 101 106 79 96 92 Parks and recreation 99 104 110 107 108 All other 77 78 Total current 665 686 533 584 571 Capital outlay and construction 263 307 162 152 234 Debt service Principal 121 109 65 21 22 Interest and fiscal 32 29 18 6 6 Total debt service 153 138 83 27 28 Total expenditures $ 1,081 $ 1,131 $ 778 $ 763 $ 833 As the above table reflects,the City's current expenditures per capita have also been below the state-wide average. Total expenditures in the City's governmental funds for 2019 were $45,304,315, an increase of $4,511,627 (11.1 percent). The City's per capita governmental funds total expenditures increased $70 per capita. This increase was mainly in capital outlay and construction, due to increased street improvement projects in the current year. -9- GENERAL FUND The City's General Fund accounts for the financial activity of the basic services provided to the community. The primary services included within this fund are the administration of the municipal operation,police and fire protection,building inspection, streets and highway maintenance, and parks and recreation. The graph below illustrates the change in the General Fund financial position over the last five years. We have also included a line representing annual expenditures to reflect the change in the size of the General Fund operation over the same period. General Fund Financial Position Year Ended December 31, $30,000,000 $25,000,000 $20,000,000 $15,000,000 $10,000,000 $5,000,000 2015 2016 2017 2018 2019 o Fund Balance $16,092,104 $16,609,454 $17,336,413 $17,640,331 _ $18,046,107 _ Cash Balance $14,299,304 $14,202,606 $15,908,162 $16,206,366 $17,098,321 Expenditures $24,927,799 $25,986,358 $27,274,374 $28,699,846 $29,553,363 The City's General Fund cash and investments balance at December 31, 2019 was $17,098,321, an increase of$891,955 from the previous year. Total fund balance at December 31, 2019 was $18,046,107, an increase of$405,776 from the prior year. Having an appropriate fund balance is an important factor in assessing the City's financial health because a government, like any organization,requires a certain amount of equity to operate. Generally,the amount of equity required typically increases as the size of the operation increases. A healthy financial position allows the City to avoid volatility in tax rates; helps minimize the impact of state funding changes; allows for the adequate and consistent funding of services, repairs, and unexpected costs; and can be a factor in determining the City's bond rating and resulting interest costs. The City Council has formally adopted a fund balance policy that states the City will strive to maintain a minimum unassigned General Fund balance of 50.0 percent of the subsequent year's budgeted expenditures. At December 31, 2019, the unassigned fund balance of the General Fund was 49.1 percent of the subsequent year's budgeted expenditures, including transfers. -10- The following graph reflects the City's General Fund revenue sources for 2019 compared to budget: General Fund Revenue Budget to Actual Taxes Licenses and Permits Intergovernmental n Charges for Services Other i o°°' A o3V ' ((�o°°' off' cc ' o°°' cc " e' e' o°°' o°°' c.c " e' V V ■ Budget 0 Actual Total General Fund revenues for 2019 were $61,629 (0.2 percent) under the final budget. Other revenue was over budget $467,078, mainly in investment earnings due to improved market performance in the current year. This was offset by charges for services, which was $502,817 less than budget, due to engineering fees being less than anticipated. The following graph presents the City's General Fund revenues by source for the last five years: General Fund Revenue by Source Year Ended December 31, $30,000,000 $25,000,000 $20,000,000 $15,000,000 $10,000,000 $5,000,000 II II_ Taxes Intergovernmental Other n 2015 $22,226,012 $781,409 $6,044,728 ■2016 $23,126,722 $806,909 $6,119,933 02017 $23,940,494 $831,908 $7,427,411 •2018 $24,956,157 $881,315 $6,792,768 ■2019 $25,422,357 $970,415 $6,209,559 Total General Fund revenues for 2019 were $32,602,331, a decrease of$27,909 (0.1 percent) from the previous year. Taxes increased $466,200, due to an overall increase in the general tax levy. This increase was offset by a $583,209 decrease in revenue from other sources, mainly in licenses and permits and charges for services revenue, due to a decrease in building-related activity, when compared to the prior year. -11- The following graph reflects the City's General Fund expenditures compared to budget for 2019: General Fund Expenditures Budget to Actual General Government Public Safety Public Works Parks and Recreation I I I I I oo° °c$ oo° °c$ oo° °c$ oo° °oo oo° o00 oc o00 oc o00 off' ozz, off' o° oc' o° oc' oc' o°°' o°° o° o° o° o°°' ,;\-, 41,, st," 4 s6, <^, g 4), es1°, stiff, e1�' e1�, e, • Budget 0 Actual Total General Fund expenditures for 2019 were $29,553,363, which was $653,137 (2.2 percent) less than budget. This variance was spread across all functions. General government, public safety, public works, and parks and recreation expenditures were under budget $271,355, $159,639, $55,882, and $166,261, respectively,mostly due to position vacancies. The following graph presents the City's General Fund expenditures by function for the last five years: General Fund Expenditures by Function Year Ended December 31, $14,000,000 $12,000,000 $10,000,000 — $8,000,000 $6,000,000 — $4,000,000 $2,000,000 $- General Parks and Public Safety Public Works Government Recreation ■2015 $4,792,595 $11,390,204 $3,637,190 $5,107,810 •2016 $4,984,412 $11,817,350 $3,725,606 $5,458,990 O 2017 $5,148,448 $12,419,830 $4,041,044 $5,665,052 ■2018 $5,533,975 $13,145,792 $4,503,246 $5,516,833 ■2019 $5,606,704 $13,249,989 $5,023,366 $5,673,304 General Fund expenditures increased by $853,517, or 3.0 percent, from the prior year. General government expenditures increased $72,729, mainly in the information technology department. Public safety expenditures increased $104,197, mainly in the police protection department. The increase in expenditures in the public works department of $520,120 was mainly in the streets department for personal costs. Expenditures in parks and recreation increased $156,471, mainly in the Apple Valley Family Aquatic Center department. Typical to other cities we audit, public safety costs for the City comprise the largest portion of General Fund spending and have seen the largest increases over the past five years. -12- ENTERPRISE FUNDS OVERVIEW The City maintains several enterprise funds to account for services the City provides that are financed primarily through fees charged to those utilizing the service. This section of the report provides you with an overview of the financial trends and activities of the City's enterprise funds, which includes the Municipal Liquor, Municipal Golf Course, Sports Arena, Water and Sewer, Storm Drainage, Street Light Utility, and Cemetery Funds. ENTERPRISE FUNDS FINANCIAL POSITION The following table summarizes the changes in the financial position of the City's enterprise funds during the year ended December 31, 2019,presented both by classification and by fund: Enterprise Funds Change in Financial Position Net Position as of December 31, 2018 2019 Change Net position of enterprise funds Total by classification Net investment in capital assets $ 100,261,931 $ 103,644,760 $ 3,382,829 Unrestricted 12,975,656 13,489,299 513,643 Total enterprise funds $ 113,237,587 $ 117,134,059 $ 3,896,472 Total by fund Municipal Liquor $ 5,875,911 $ 6,550,811 $ 674,900 Municipal Golf Course 151,646 (165,008) (316,654) Sports Arena 1,218,157 2,422,559 1,204,402 Water and Sewer 71,866,007 73,279,652 1,413,645 Storm Drainage 31,716,933 32,533,001 816,068 Street Light Utility 304,281 322,245 17,964 Cemetery 2,104,652 2,190,799 86,147 Total enterprise funds $ 113,237,587 $ 117,134,059 $ 3,896,472 In total, the net position ($117,134,059) of the City's enterprise funds increased by$3,896,472 during the year ended December 31, 2019. The increase in the net investment in capital assets reflects the continued investment in utility infrastructure and other capital assets. -13- MUNICIPAL LIQUOR FUND The following graph presents five years of operating results for the Municipal Liquor Fund: Municipal Liquor Fund Year Ended December 31, $10,000,000 ii 0000 — 00 — 00 — 00 — 00 — 0000 — $1,000,000 I ■ LF — 2015 2016 2017 2018 2019 =Sales $8,480,414 $8,738,804 $9,183,272 $9,445,281 $9,886,580 Cost of Sales $6,037,204 $6,171,691 $6,473,275 $6,568,030 $6,935,517 Operating Expenses $1,485,163 $1,546,028 $1,609,959 $1,624,533 $1,550,651 (Excluding Depreciation) Operating Income(Loss) $958,047 $1,021,085 $1,100,038 $1,252,718 $1,400,412 (Excluding Depreciation) The Municipal Liquor Fund ended 2019 with a net position of$6,550,811, an increase of$674,900 from the prior year. Of this net position, $3,445,189 represents the investment in liquor capital assets, and $3,105,622 is in unrestricted net position. Liquor sales for 2019 were $9,886,580, $441,299 (4.7 percent) higher than the prior year. The Municipal Liquor Fund generated operating income (excluding depreciation) of$1,400,412 in 2019, or 14.2 percent, of gross sales,which is an increase from the 13.3 percent reported in fiscal 2018. The Municipal Liquor Fund gross profit margin was 29.9 in fiscal 2019, slightly less than 30.5 in fiscal 2018. -14- MUNICIPAL GOLF COURSE FUND The following graph presents five years of operating results for the Municipal Golf Course Fund: Municipal Golf Course Fund Year Ended December 31, $1,600,000 $1,400,000 $1,200,000 — I $1,000,000 $800,000 — $600,000 — $400,000 — $200,000 — $(200,000) $(400,000) 2015 2016 2017 2018 2019 =Operating Revenue $1,387,821 $1,354,645 $1,173,102 $862,834 $898,126 Operating Expenses $1,208,454 $1,301,452 $1,206,920 $950,456 $908,222 (Excluding Depreciation) Cost of Goods Sold $256,331 $237,409 $188,557 $75,112 $75,369 Depreciation $174,033 $174,171 _ $183,693 $192,783 $211,793 —Operating Income(Loss) $(76,964) $(184,216) $(222,375) $(162,734) $(85,465) (Excluding Depreciation) The Municipal Golf Course Fund ended 2019 with a net position deficit of ($165,008), a decrease of $316,654 from the prior year. Of this net position, $3,921,886 represents the investment in golf course land and capital assets,leaving a deficit of($4,086,894) in unrestricted net position. Municipal Golf Course Fund operating revenues for 2019 were$898,126,which is $35,292 more than the prior year. Operating expenses (excluding depreciation) for 2019 were $908,222, a decrease of$42,234 from the prior year. On an annual basis, this fund has had to borrow from other funds to fund cash flow and capital needs. This interfund borrowing was a total of$3,694,546 at December 31, 2019. Interfund borrowing for cash flow needs totals $1,908,681 at December 31, 2019. The remainder, $1,785,865, is for capital needs and is to be repaid over multiple years. We recommend the City continue to monitor the financial results in this fund and continually update the long-range financial plan for this fund in an effort to continue the improved financial results of this fund. -15- SPORTS ARENA FUND The following graph presents five years of operating results for the Sports Arena Fund: Sports Arena Fund Year Ended December 31, Hk 0 — $100,000 _ - 2015 2016 2017 2018 2019 =Sales and User Fees $722,270 $783,089 $732,919 $789,516 $745,910 Operating Expenses $606,977 $618,747 $659,107 $646,586 $604,611 (Excluding Depreciation) Nonoperating Revenue $121,419 $123,022 $127,945 $123,698 $125,359 (Expense) Income(Loss) $73,273 $135,513 $56,342 $131,187 $141,299 The Sports Arena Fund ended 2019 with a net position of$2,422,559, an increase of$1,204,402 from the prior year. Of the net position balance, $3,369,615 represents the investment in sports arena capital assets, leaving a deficit of($947,056) of unrestricted net position. Sports Arena Fund operating revenues for 2019 were $745,910, a decrease of$43,606 (5.5 percent) from the prior year. Operating expenses (including cost of goods sold and excluding depreciation) for 2019 were $604,611, a decrease of $41,975 from the prior year. Nonoperating revenue includes an annual property tax levy of$121,000. During 2019, this fund had to borrow from other funds to fund capital needs. This interfund borrowing was a total of $1,751,129 at December 31, 2019. During the current year, this fund also received $1,087,534 in capital contributions for ice arena projects. -16- WATER AND SEWER FUND The following graph presents five years of operating results for the Water and Sewer Fund: Water and Sewer Fund Year Ended December 31, $11,000,000 — II ,000 000 ,000,000,000,000 — ,000,000 — ,000 — ,000 2015 2016 2017 I 2018 2019 =OperatingRevenue $8,988,411 $9,450,362 $9,910,773 $10,352,835 $10,577,669 Operating Expenses(Excluding $6,102,574 $6,401,847 $7,016,546 $6,682,832 $7,075,065 Depreciation) Depreciation $1,847,507 $2,729,115 $2,768,547 $2,357,710 $2,426,053 Operating Income(Loss) $2,885,837 $3,048,515 $2,894,227 $3,670,003 $3,502,604 (Excluding Depreciation) The Water and Sewer Fund ended 2019 with a net position of$73,279,652, an increase of$1,413,645 from the prior year. Of this net position, $60,291,304 represents the investment in water and sewer distribution system capital assets, leaving$12,988,348 of unrestricted net position. Water and Sewer Fund operating revenue was $10,577,669 for 2019, an increase of $224,834 (2.2 percent) from the prior year, due to an increase in rates. Operating expenses (excluding depreciation) of$7,075,065 were $392,233 (5.9 percent) higher than last year, mainly in personal services and sewer charges. Although this fund is in a healthy financial position, we suggest that the City continue to review the water and sewer rates on an annual basis. Water and sewer rates are generally designed to cover operating costs and provide an accumulation of resources for significant repairs and replacements, and an operating cushion for potential negative years in financial operations. -17- STORM DRAINAGE FUND The following graph presents five years of operating results for the Storm Drainage Fund: Storm Drainage Fund Year Ended December 31, $2,200,000 $2,000,000 I' $1,800,000 $1,600,000 — $1,400,000 — - $1,200,000 — - — $1,000,000 — I Pi'ALI $800,000 "'"'-"""--.4". $600,000 — $400,000 — $200,000 — — I s_ 2015 2016 2017 2018 2019 =OperatingRevenue $1,629,361 $1,717,350 $1,769,842 $1,901,319 $2,113,725 Operating Expenses $840,901 $823,837 $1,121,262 $974,319 $1,114,326 (Excluding Depreciation) Depreciation $535,769 $575,256 $995,490 $1,024,022 $1,066,399 —Operating Income(Loss) $788,460 $893,513 $648,580 $927,000 $999,399 (Excluding Depreciation) The Storm Drainage Fund ended 2019 with a net position of$32,533,001, an increase of$816,068 from the prior year. Of this, $30,753,468 represents the investment in storm drainage capital assets and $1,779,533 of unrestricted net position. Storm Drainage Fund operating revenues for 2019 were $2,113,725, which was an increase of$212,406 (11.2 percent) from the prior year, due to the increased rates. Operating expenses (excluding depreciation) for 2019 were $1,114,326, which was $140,007 (14.4 percent) higher than the prior year, mainly due to an increase in contractual services for sump basin cleaning. -18- STREET LIGHT UTILITY FUND The following graph presents five years of operating results for the Street Light Utility Fund: Street Light Utility Fund Year Ended December 31, $600,000 $500,000 $400,000 $300,000 $200,000 $100,000 —UT 2015 2016 2017 2018 2019 =Operating Revenue $483,680 $500,877 $507,360 $522,977 $555,175 Operating Expenses $446,644 $437,439 $483,752 $485,356 $543,694 Operating Income(Loss) $37,036 $63,438 $23,608 $37,621 $11,481 Street Light Utility Fund ended 2019 with a net position of$322,245, an increase of$17,964 from the prior year,which is all in unrestricted net position. Street Light Utility Fund operating revenues for 2019 were $555,175, an increase of$32,198 from the prior year, due to a rate increase. Operating expenses for 2019 were $543,694, an increase of$58,338 from the previous year, mainly in utilities expense. -19- CEMETERY FUND The following graph presents five years of operating results for the Cemetery Fund: Cemetery Fund Year Ended December 31, $220,000 $200,000 $180,000 $160,000 — $140,000 $120,000 — $100,000 — 1 $80,000 — $60,000 $40,000 --'......*****.°.*****.....i— $20,000 I— U IF 2015 2016 2017 2018 2019 _ =Operating Revenue $132,305 $160,716 $187,334 $150,393 _ $209,228 Operating Expenses(Excluding $30,022 $41,726 $108,158 $68,302 $102,889 Depreciation) Operating Income(Loss) $102,283 $118,990 $79,176 $82,091 $106,339 (Excluding Depreciation) The Cemetery Fund ended 2019 with a net position of$2,190,799, an increase of$86,147 from the prior year. Of the net position balance, $1,863,298 represents investments in cemetery capital assets, leaving $327,501 of unrestricted net position. Cemetery Fund operating revenues for 2019 were $209,228, an increase of$58,835 from the prior year. Operating expenses (excluding depreciation) for 2019 were $102,889, an increase of $34,587 from the prior year. -20- GOVERNMENT-WIDE FINANCIAL STATEMENTS In addition to fund-based information, the current reporting model for governmental entities also requires the inclusion of two government-wide financial statements designed to present a clear picture of the City as a single, unified entity. These government-wide statements provide information on the total cost of delivering services, including capital assets and long-term liabilities. STATEMENT OF NET POSITION The Statement of Net Position essentially tells you what the City owns and owes at a given point in time, the last day of the fiscal year. Theoretically, net position represents the resources the City has leftover to use for providing services after its debts are settled. However,those resources are not always in spendable form, or there may be restrictions on how some of those resources can be used. Therefore, the Statement of Net Position divides the net position into three components: • Net Investment in Capital Assets—The portion of net position reflecting equity in capital assets (i.e., capital assets minus related debt). • Restricted Net Position — The portion of net position equal to resources whose use is legally restricted minus any noncapital-related liabilities payable from those same resources. • Unrestricted Net Position — The residual balance of net position after the elimination of net investment in capital assets and restricted net position. The following table presents the components of the City's net position as of December 31, 2019 and 2018, for governmental activities and business-type activities: As of December 31, 2018 2019 Change Net position Governmental activities Net investment in capital assets $ 83,980,389 $ 92,370,852 $ 8,390,463 Restricted 15,352,356 16,776,842 1,424,486 Unrestricted 28,466,675 29,564,353 1,097,678 Total governmental activities 127,799,420 138,712,047 10,912,627 Business-type activities Net investment in capital assets 100,261,931 103,644,760 3,382,829 Unrestricted 12,828,596 13,312,548 483,952 Total business-type activities 113,090,527 116,957,308 3,866,781 Total net position $ 240,889,947 $ 255,669,355 $ 14,779,408 The City's total net position at December 31, 2019 was $14,779,408 greater than the previous year-end, which was comprised of an increase of $10,912,627 in governmental activities and an increase of $3,866,781 in business-type activities. -21- STATEMENT OF ACTIVITIES The Statement of Activities tracks the City's yearly revenues and expenses, as well as any other transactions that increase or reduce total net position. These amounts represent the full cost of providing services. The Statement of Activities provides a more comprehensive measure than just the amount of cash that changed hands, as reflected in the fund-based financial statements. This statement includes the cost of supplies used, depreciation of long-lived capital assets,and other accrual-based expenses. The following table presents the change in the net position of the City for the years ended December 31, 2019 and 2018: Change in Net Position 2018 2019 Net(expense)revenue Governmental activities General government $ (4,533,375) $ (4,902,973) Public safety (11,298,267) (11,682,180) Public works (2,137,756) 689,921 Parks and recreation (4,595,230) (5,545,862) Interest and fiscal charges (284,621) (268,829) Business-type activities Municipal liquor 1,094,373 1,259,213 Municipal golf course (373,546) (320,157) Sports arena 6,646 1,080,512 Water and sewer 2,544,928 1,738,443 Storm drainage 242,145 726,492 Cemetery 61,634 68,743 Street light utility 37,621 11,481 Total net(expense)revenue (19,235,448) (17,145,196) General revenues Property taxes 26,617,094 27,208,910 Other taxes 150,340 196,347 Franchise taxes 1,306,360 1,291,703 Grants and contributions not restricted to specific programs 124,430 140,114 Other general revenues 10,786 7,083 Investment earnings(net of market value adjustment) 1,154,756 2,674,412 Gain on sale of assets — 406,035 Total general revenues 29,363,766 31,924,604 Change in net position $ 10,128,318 $ 14,779,408 One of the goals of this statement is to provide a side-by-side comparison to illustrate the difference in the way the City's governmental and business-type operations are financed. The table clearly illustrates the dependence of the City's governmental operations on general revenues, such as property taxes and unrestricted grants. It also shows that, for the most part, the City's business-type activities are generating sufficient program revenues (service charges and program-specific grants) to cover expenses. This is critical given the current downward pressures on the general revenue sources. -22- LEGISLATIVE UPDATES The 2019 legislative session began with a projected state general fund surplus of $1.052 billion. The legislative agenda was primarily focused on setting an operating budget for the state's fiscal 2020-2021 biennium. At the end of the regular session, only a higher education budget bill had been completed. However, after a special session,the Legislature was able to address the 11 remaining budget bills, as well as pass an omnibus tax bill and small pension bill. The following is a brief summary of specific legislative changes from the 2019 session or previous legislative sessions potentially impacting Minnesota cities. Local Government Aid (LGA) — An additional $26 million was added to the appropriation for the city LGA formula beginning in fiscal 2020, bringing the total state-wide appropriation to $560.4 million. An additional $4 million was added to the appropriation beginning in fiscal 2021. The LGA distribution formula for 2020 was altered to provide that a city's 2020 LGA may not be less than its 2019 aid, and the cap on maximum aid losses in any year thereafter was modified. Bonding Bill—The 2019 bonding bill provided financing for approximately $102 million of projects and funding authorized by the 2018 omnibus bonding bill, which had been legally challenged due to their reliance on the use of the Environment and Natural Resources Trust Fund to generate appropriation bonds. The 2019 Legislature changed the funding source for these projects to general obligation bonds, clearing the way for the projects to go forward. Included in this was $59 million earmarked for city water and wastewater projects through the state Public Facilities Authority. Local Option Sales Tax Process —Effective May 1, 2019, the process for cities to enact a local option sales tax have been modified, requiring special legislation prior to a local referendum vote. Cities must now adopt a resolution specifying the proposed sales tax rate and time frame for the sales tax. The resolution must also include a detailed description of the project or projects (up to five) to be funded by the sales tax, the amount to be raised for each project, and documentation of the regional significance of each project. The resolution must be submitted to the House and Senate tax committee chairs by January 31 st to be considered for special legislation by the State Legislature. If special legislation is approved, voter approval must be obtained by referendum at a general election within two years of legislative approval. Wage Theft—The Legislature enacted a number of changes in employment law aimed at reducing wage theft by employers. The changes require employers to provide written notice to new employees of specific wage information including rate of pay, allowances,paid leave, deductions, days in a pay period, and the employer's legal name, address, and phone number. Employers must also provide an earnings statement that includes similar information. The changes also create new requirements for employer recordkeeping for hours worked each day and each workweek, and imposes penalties for failure to do so and for refusal to make the records available for inspection by the Department of Labor. Written Estimates of Consulting Fees — Effective August 1, 2019, upon request by applicants for a permit, license, or other approval relating to real estate development or construction, cities are required to provide a written, nonbinding estimate of consulting fees to be charged to the applicant based on information available at that time. The related application will not be considered complete until the city has provided the estimate, received the required application fees, and received the applicant's signed acceptance of the fee estimate along with a signed statement that the applicant has not relied on the fee estimate in its decision to proceed with the application. Contract Retainage — Effective for contracts entered into August 1, 2019 or later, contract retainage must be released no later than 60 days after the related construction project reaches substantial completion as defined by statute. After substantial completion, cities can still withhold amounts equal to, 1)250 percent of the cost to correct or complete work known at the time of substantial completion, and 2)the greater of $500 or 1 percent of the value of the contract pending the completion of "final paperwork," including documents required to fulfill contractual obligations such as operating manuals, payroll documents for projects subject to prevailing wage requirements, and contractor payroll tax withholding affidavits. Any resulting reduction in retainage must be passed from the contractor to all subcontractors at the same rate. -23- Driver and Vehicle Registration System (VTRS)—The Legislature selected VTRS, a third party vendor system, to replace the failed Minnesota Licensing and Registration System (MNLARS). Fees from driver's licenses, license plates, and filing fees were increased and a technology surcharge imposed on vehicle registration renewals to pay for the implementation of VTRS, the decommissioning of MNLARS, and to temporarily increase the capacity of Driver and Vehicle Services to meet public service needs. Included in this is $13 million appropriated in 2019 for reimbursement grants to deputy registrars for costs related to MNLARS. The grants, which would be determined by formula, would require the deputy registrar accepting the grant to release the state from any further liability or claims related to MNLARS. Vaping Ordinance Authority — Effective July 1, 2019, cities are allowed to enact and enforce ordinances with more stringent measures than the Minnesota Clean Indoor Air Act to protect individuals from involuntary exposure to aerosol or vapor from electronic delivery devices. Water Connection Fees—Effective January 1,2020,the annual water connection fees cities are required to collect on behalf of the Minnesota Depai tiuent of Health for water testing and support has been increased from$6.36 to $9.72. Military Exception to Open Meeting Law — Effective August 1, 2019, members of a public body that are in the military will be allowed to participate in public meetings via interactive television when they are at a required drill, deployed, or on active duty. The member may participate under this exception up to three times a year. Pension Plan Changes — The 2019 pension bill included several changes to the various pension plans throughout the state: • Changes to plans administered by the Public Employees Retirement Association (PERA) included: o The rights of PERA General Employees Retirement Fund (GERF) plan and Public Employees Police and Fire Fund (PEPFF) plan members to purchase service credit for periods of military leave were expanded. This gives plan members the right to purchase up to five years of service credit for military service leave that is not federally protected because the service occurred prior to public employment or the member did not meet the payment deadlines applicable to federally protected leave service credit purchases. o The Phased Retirement Option (PRO) program, which gives cities an opportunity to retain potentially retiring employees that are GERF plan members aged 62 or over, was altered and made permanent. Under a PRO arrangement, an employee would begin collecting a retirement annuity, but could continue working for their current employer for up to five years if they agree to a work schedule that represents a reduction of at least 25 percent each pay period from their current schedule, up to a maximum of 1,044 hours per year. Employees would not be allowed to contribute to a pension benefit plan or accrue additional service time while working under a PRO. o A process was established for municipalities and joint powers entities to terminate participation in the PERA Statewide Volunteer Firefighter (SVF) plan if, 1) the entity has either eliminated its fire department or ceased using the services of all departing firefighters and any other noncareer or volunteer firefighters, and 2) the entity's account has assets sufficient to cover all liabilities including the fully vested liabilities for all departing firefighters and administrative expenses. -24- • Changes impacting volunteer firefighter relief associations(VRFAs)included: o Effective January 1, 2020, vesting schedules for defined contribution plans cannot require that a member have more than 20 years of active service to become 100 percent vested in the member's account, or provide for a larger vesting percentage with respect to the completed years of service than as provided in the statutory schedule. o Effective January 1, 2020, the permitted graded vesting schedule for defined benefit pension plans is reduced from 20 years to 10 years for full vesting. Also, plans cannot require that a member have more than 20 years of active service to become 100 percent vested in the member's accrued service pension, or provide for a larger vesting percentage with respect to the completed years of service than as provided in the statutory schedule. o Effective January 1, 2020, supplemental benefits are allowed to be paid to designated beneficiaries or estates when plan members have no surviving spouse or children. -25- THIS PAGE INTENTIONALLY LEFT BLANK ACCOUNTING AND AUDITING UPDATES The following is a summary of GASB standards expected to be implemented in the next few years. Due to the COVID-19 outbreak, the GASB has delayed the original implementation dates of these and other standards as described below. GASB STATEMENT NO.87,LEASES A lease is a contract that transfers control of the right to use another entity's nonfinancial asset as specified in the contract for a period of time in an exchange or exchange-like transaction. Examples of nonfinancial assets include buildings, land, vehicles, and equipment. Any contract that meets this definition should be accounted for under the leases guidance, unless specifically excluded in this statement. Governments enter into leases for many types of assets. Under the previous guidance, leases were classified as either capital or operating depending on whether the lease met any of the four tests. In many cases, the previous guidance resulted in reporting lease transactions differently than similar nonlease financing transactions. The goal of this statement is to better meet the information needs of users by improving accounting and financial reporting for leases by governments. It establishes a single model for lease accounting based on the principle that leases are financings of the right to use an underlying asset. This statement increases the usefulness of financial statements by requiring recognition of certain lease assets and liabilities for leases that previously were classified as operating leases and recognized as inflows of resources or outflows of resources based on the payment provisions of the contract. Under this statement, a lessee is required to recognize a lease liability and an intangible right to use lease asset, and a lessor is required to recognize a lease receivable and a deferred inflow of resources, thereby enhancing the relevance and consistency of information about governments' leasing activities. To reduce the cost of implementation, this statement includes an exception for short-term leases, defined as a lease that, at the commencement of the lease term, has a maximum possible term under the lease contract of 12 months (or less), including any options to extend, regardless of their probability of being exercised. Lessees and lessors should recognize short-term lease payments as outflows of resources or inflows of resources, respectively, based on the payment provisions of the lease contract. The requirements of this statement were originally effective for reporting periods beginning after December 15,2019 and are now effective for fiscal years beginning after June 15,2021. GASB STATEMENT NO.91,CONDUIT DEBT OBLIGATIONS The primary objectives of this statement are to provide a single method of reporting conduit debt obligations by issuers and eliminate diversity in practice associated with (1) commitments extended by issuers, (2) arrangements associated with conduit debt obligations, and (3) related note disclosures. This statement achieves those objectives by clarifying the existing definition of a conduit debt obligation; establishing that a conduit debt obligation is not a liability of the issuer; establishing standards for accounting and financial reporting of additional commitments and voluntary commitments extended by issuers and arrangements associated with conduit debt obligations; and improving required note disclosures. -26- A conduit debt obligation is defined as a debt instrument having all of the following characteristics: • There are at least three parties involved: (1) an issuer, (2) a third party obligor, and (3) a debt holder or a debt trustee. • The issuer and the third party obligor are not within the same financial reporting entity. • The debt obligation is not a parity bond of the issuer, nor is it cross-collateralized with other debt of the issuer. • The third party obligor or its agent, not the issuer, ultimately receives the proceeds from the debt issuance. • The third party obligor, not the issuer, is primarily obligated for the payment of all amounts associated with the debt obligation(debt service payments). This statement also addresses arrangements, often characterized as leases,that are associated with conduit debt obligations. In those arrangements, capital assets are constructed or acquired with the proceeds of a conduit debt obligation and used by third party obligors in the course of their activities. This statement requires issuers to disclose general information about their conduit debt obligations, organized by type of commitment, including the aggregate outstanding principal amount of the issuers' conduit debt obligations and a description of each type of commitment. Issuers that recognize liabilities related to supporting the debt service of conduit debt obligations also should disclose information about the amount recognized and how the liabilities changed during the reporting period. The requirements of this statement were originally effective for reporting periods beginning after December 15, 2020 and are now effective after December 15,2021. Earlier application is encouraged. -27- CITY OF APPLE VALLEY DAKOTA COUNTY,MINNESOTA Special Purpose Audit Reports Year Ended December 31,2019 THIS PAGE INTENTIONALLY LEFT BLANK CITY OF APPLE VALLEY DAKOTA COUNTY,MINNESOTA Special Purpose Audit Reports Year Ended December 31,2019 Table of Contents Page Independent Auditor's Report on Internal Control Over Financial Reporting and on Compliance and Other Matters Based on an Audit of Financial Statements Performed in Accordance With Government Auditing Standards 1-2 Independent Auditor's Report on Minnesota Legal Compliance 3 THIS PAGE INTENTIONALLY LEFT BLANK KR PRINCIPALS Thomas A.Karnowski,CPA Paul A.Radosevich,CPA William J.Lauer,CPA M ■ James H.Eichten,CPA CERTIFIED PUBLIC Aaron J.Nielsen,CPA ACCOUNTANTS Victoria L.Holinka,CPA/CMA Jaclyn M.Huegel,CPA Kalen T.Karnowski,CPA INDEPENDENT AUDITOR'S REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTING AND ON COMPLIANCE AND OTHER MATTERS BASED ON AN AUDIT OF FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS To the City Council and Management City of Apple Valley,Minnesota We have audited, in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States, the financial statements of the governmental activities, the business-type activities, each major fund, and the aggregate remaining fund information of the City of Apple Valley, Minnesota (the City) as of and for the year ended December 31, 2019, and the related notes to the financial statements,which collectively comprise the City's basic financial statements, and have issued our report thereon dated May 27,2020. INTERNAL CONTROL OVER FINANCIAL REPORTING In planning and performing our audit of the financial statements,we considered the City's internal control over financial reporting (internal control) to determine the audit procedures that are appropriate in the circumstances for the purpose of expressing our opinions on the financial statements, but not for the purpose of expressing an opinion on the effectiveness of the City's internal control. Accordingly, we do not express an opinion on the effectiveness of the City's internal control. A deficiency in internal control exists when the design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct,misstatements on a timely basis. A material weakness is a deficiency, or a combination of deficiencies, in internal control, such that there is a reasonable possibility that a material misstatement of the City's financial statements will not be prevented, or detected and corrected, on a timely basis. A significant deficiency is a deficiency, or a combination of deficiencies, in internal control that is less severe than a material weakness, yet important enough to merit attention by those charged with governance. Our consideration of internal control was for the limited purpose described in the first paragraph of this section and was not designed to identify all deficiencies in internal control that might be material weaknesses or significant deficiencies. Given these limitations, during our audit we did not identify any deficiencies in internal control that we consider to be material weaknesses. However,material weaknesses may exist that have not been identified. (continued) -1- Malloy, Montague, Karnowski, Radosevich & Co., P.A. 5353 Wayzata Boulevard • Suite 410 • Minneapolis, MN 55416 • Phone: 952-545-0424 • Fax: 952-545-0569 • www.mmkr.com COMPLIANCE AND OTHER MATTERS As part of obtaining reasonable assurance about whether the City's financial statements are free from material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements,noncompliance with which could have a direct and material effect on the determination of financial statement amounts. However, providing an opinion on compliance with those provisions was not an objective of our audit and, accordingly, we do not express such an opinion. The results of our tests disclosed no instances of noncompliance or other matters that are required to be reported under Government Auditing Standards. PURPOSE OF THIS REPORT The purpose of this report is solely to describe the scope of our testing of internal control and compliance and the results of that testing, and not to provide an opinion on the effectiveness of the City's internal control or on compliance. This report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the City's internal control and compliance. Accordingly, this report is not suitable for any other purpose. WilcO7 ta..4.44464...144164 '� 'CO P. A . Minneapolis, Minnesota May 27,2020 -2- PRINCIPALS Thomas A.Karnowski,CPA Paul A.Radosevich,CPA William J.Lauer,CPA M KR P ■ James H.Eichten,CPA CERTIFIED PUBLIC Aaron J.Nielsen,CPA ACCOUNTANTS Victoria L.Holinka,CPA/CMA Jaclyn M.Huegel,CPA Kalen T.Karnowski,CPA INDEPENDENT AUDITOR'S REPORT ON MINNESOTA LEGAL COMPLIANCE To the City Council and Management City of Apple Valley,Minnesota We have audited, in accordance with auditing standards generally accepted in the United States of America, and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States, the financial statements of the governmental activities, the business-type activities, each major fund, and the aggregate remaining fund information of the City of Apple Valley, Minnesota (the City) as of and for the year ended December 31, 2019, and the related notes to the financial statements,which collectively comprise the City's basic financial statements, and have issued our report thereon dated May 27,2020. MINNESOTA LEGAL COMPLIANCE In connection with our audit,nothing came to our attention that caused us to believe that the City failed to comply with the provisions of the contracting and bidding, deposits and investments, conflicts of interest, public indebtedness, claims and disbursements, miscellaneous provisions, and tax increment financing sections of the Minnesota Legal Compliance Audit Guide for Cities, promulgated by the State Auditor pursuant to Minnesota Statutes § 6.65, insofar as they relate to accounting matters. However, our audit was not directed primarily toward obtaining knowledge of such noncompliance. Accordingly, had we performed additional procedures, other matters may have come to our attention regarding the City's noncompliance with the above referenced provisions,insofar as they relate to accounting matters. PURPOSE OF THIS REPORT The purpose of this report is solely to describe the scope of our testing of compliance and the results of that testing, and not to provide an opinion on compliance. Accordingly, this report is not suitable for any other purpose. j4141.67/ Iiiadostai 4iit444,ciAbilj 72-e-‘14.6-Li.A.:4".C.-. 4 6..i P. Minneapolis, Minnesota May 27,2020 -3- Malloy, Montague, Karnowski, Radosevich & Co., P.A. 5353 Wayzata Boulevard • Suite 410 • Minneapolis, MN 55416 • Phone: 952-545-0424 • Fax: 952-545-0569 • www.mmkr.com THIS PAGE INTENTIONALLY LEFT BLANK City of Apple Valley Popular Annual Financial Report ... ""• To The Community .... ••• Apple Valley FOR THE YEAR ENDED DECEMBER 31, 2019 City of Apple Valley Dear Apple Valley Resident, We • General Fund activities • Capital Projects Funds 7100 147th Street West are pleased to present the City that provide for basic collect revenue from of Apple Valley's Popular operations of the City, i.e. special assessments, state Apple Valley,MN 55124 Annual Financial Report p � p administration, building and county aids and allots 952-953-2500 (PAFR). This report provides a maintenance, police&fire, them toward construction summary of the City's financial street&park or major capital expenses. CityofAppleValley.org information in a simplified, maintenance, recreation easy to read format. We trust activity, community • Proprietary Funds Elected Officials: this report gives you a better development and account for activities that understanding on city MAYOR: planning. operate as a public government and our financial enterprise which are paid Mary Hamann-Roland condition. for by user fees, i.e. Information in this report water, sanitary sewer, CITY COUNCIL: comes from Apple Valley's storm sewer, liquor stores, John Bergman 2019 Comprehensive Annual _ _� and Valleywood Golf Tom Goodwin Financial Report(CAFR). The 'gillr ! J� i �/ Il Course. „ Ruth Grendahl CAFR was prepared in • Internal Service Funds conformity with Generally i AS Iii l •_� i fs -E Clint Hooppaw Accepted Accounting Principles account for the acquisition, (GAAP), was audited by MMKR operation, and and received an unmodified maintenance of INSIDE THIS ISSUE: governmental facilities and opinion, which is the best audit • Special Revenue Funds services, which are entirely Introduction 1 opinion possible. account for activities or predominately self- Dividing up your 1 In order for Apple Valley to restricted to specific supported by user charges manage the community purposes like the City's to the governmental Tax Dollar finances smoothly, it divides Economic Development funds. various activities into several Authority. If you would like a copyof the Monthly Bill 2 different funds. Governmental CAFR,visit the City's website at funds account for tax- • Debt Service Funds CityofAppleValley.orgor Tax Cost 2 supported activities and track revenues and Comparison include: expenses related to contact the Finance repayment of long-term Department at: General Fund 3 debt. 952-953-2540 Special Revenue 4 Funds Dividing Up Your Property Tax Dollar Your tax dollar is divided up into several governmental Long-Term Debt 4 ,i "m MP""•"°`` •n 1 i -'°' _ ti a; entities. Apple Valley collects , �__fs �'I�JI �1�'��ti.•pl�,' approximately 35 cents of °.Internal Service 4 Ar " --"' '"° „•— - L 11180916 E p every tax dollar for City 4 x,5«,.ate r.� ,`1 r: services. The remaining Funds ,k- 12 RM .:`5 �i. -- 12 ,:- , j. portions are divided among �,, Capital Funds 5 i :;, ; `: Dakota County, the school . L 11: 80916 G , 1 "" ,,r district, and other agencies. Enterprise Funds 5-6 } 12` t -_4� 12 These tax rates are based ,: ;mm ` riiiil ar ii-, - , on a residential home valued li rrIat $259,500. Dakota County City of Apple Valley School District Other Agencies .21C 35C .40C .04C CITY OF APPLE VALLEY POPULAR ANNUAL FINANCIAL REPORT PAGE 2 r , c1'x, c r- a t ._ c` -, - A How Tax Dollars Buy City Services p 4� ii 1 1I1 i Residents receive a variety of City services for an __Al i- -- _ 412Ef affordable price. The cost of City services in 2019 o for the owner of a single-family home in Apple Valley with an assessor's market value of$259,500 Police$25.83 Parks$14.08 Public Works$9.92 was$85.08 per month.The tax cost per month of x' ,I l , $85.08 is the amount left requiring tax support �` i Air,. p ii after allocating grants, program fees, lodging taxes '" ,, , ..,,__,,_,, �,'t , _ 4"„$ NI i n and other non-property tax revenue to the appropriate services. street Fire$6.08 General Gov.$13.59 Reconstruction $9.74 Quarterly Cost of Utilities Plk Based on an average usage of 21,000 gallons of water y. r and 16,000 gallons of sewer per quarter,the cost of • TOTAL 415:1 utilities for a home in Apple Valley was$148.27 in 2019.Apple Valley bills on a quarterly basis.Services $85.08 include water,sewer,storm water,and street lighting. Debt Service$3.92 Insurance $1.92 Monthly City Property Tax Cost Comparison Below is a 2019 comparison of monthly city property taxes paid on a median valued home with twelve similar sized com- munities in the metro area. Using the median home value in each community,we compared the property tax cost per month for each city. 2019 City Property Taxes per Household per Month `Tax Rate Median Valued Home Edina 127.438% $530,650 A ,$1 21 Eden Prairie 31.710% $396,200 $107 I Minnetonka .34.618% $359,800 $107 Brooklyn Park 52.734% $228,600 V $ 6 i Maple Grove 134.620% $321,500 F $90 Woodbury 33.243% $322,600 $89 i Burnsville 44.337% $254,800 + $89 Lakeville 35.755% $307,400 t $89 1 * Apple Valley 39.625% $259,500 $85 1 Eagan 35.114% $287,900 $84 Plymouth 26.480% $375,000 $83 Bloomington 40.376% $256,900 $82 - 25 50 75 100 125 (%in bar is Final 2019 Tax Capacity Extension Rate) $in bar is the median valued home in that city Source:Hennepin,Dakota and Washington Counties *Apple Valley's tax rate supports road reconstruction projects within the City without the need for special assessments. Other cities routinely levy special assessments against their property owners to support such costs. CITY OF APPLE VALLEY POPULAR ANNUAL FINANCIAL REPORT PAGE 3 2018 2019 General Fund Revenue Property Taxes $ 24,390,777 $ 24,80707,028 The City's General Fund is the largest Governmental fund Special Assessments $ 496 $ 2,562 and also one of the most vital to the City's operation.The Licenses/Permits $ 2,254,309 $ 1,590,903 Intergovernmental $ 881,315 $ 970,415 General Fund is the primary fund that accounts for Charges for Services $ 3,086,720 $ 2,852,593 everyday general expenditures like street and park Other $ 2,016,623 $ 2,378,830 maintenance, police protection, and fire protection while Total General Fund Revenues 532,630,240 $ 32,602,331 Special Licenses/ at the same time supporting the annual street and utility Assessments Permits infrastructure program. Like most funds,the General $2,562 0.0% $1,590,903 4 9% Fund relies on the inflow of cash, shown as revenues and Propertyy subsequently the outflow listed as expenditures.The TaxesIntergovernmental primary revenue for the General Fund is property taxes. $24,807,028 $970,415 3.0% 76 7, Intergovernmental revenues include state or county aidses for and grants. For the year end of 2019,the City's revenue vices total was$32,602,331 which was a $27,909 (0.1%) net 2,593 decrease from the previous year.This includes an 8 IL Other .7% increase in property taxes ($416,000),which was offset $2,378,830 7 3% by a decrease in licenses and permits (-$663,000). General Fund Expenditures The City's total General Fund expenditures for 2019 were $29,553,363 which was$653,137 (2.2%) under the final 2019 budget. Overall, General Fund expenditures increased $853,517 (3.0%) primarily in the public works area.The chart below highlights the amount funded to each of the City's functions. Parks and General 2018 2019 Recreation Government General Government $ 5,533,975 $ 5,606,704 $5,673,304 $5,606,704 19.2% 19.0% Public Safety $ 13,145,792 $ 13,249,989 Public Works $ 4,503,246 $ 5,023,366 Parks and Recreation $ 5,516,833 $ 5,673,304 Public Total General Fund Expenditures $28,699,846 5 29,553,363 Works i Public $5,023,366 Safety 17.0% _—$13,249,989 4.4.8% City Departments Administration:This department provides the overall direction for the City as determined by the City Council. It is responsible for maintaining City records,issuing licenses,administering Council policies,and overseeing election procedures. Finance:This department conducts the financial affairs of the City of Apple Valley in accordance with the Government Accounting Standards Board (GASB)and Generally Accepted Accounting Principals(GAAP). Planning&Community Development:This department is responsible for ensuring that laws,ordinances,and zoning codes are enforced. It is also responsible for Economic Development within the City. Public Works:This department is responsible for maintaining the City's infrastructure,vehicles,and buildings as well as civil and traffic engineering,inspections,natural resources,and the City cemetery. Parks&Recreation:This department is responsible for providing recreation activities in the City and maintain the City's parks and trails. Public Safety:This department is responsible for maintaining the peace and the protection of the community through diligent enforcement of laws and effective response to calls for service. CITY OF APPLE VALLEY POPULAR ANNUAL FINANCIAL REPORT PAGE 4 r -- Special Revenue Funds Special Revenue Funds are used to • Cable TV—This fund accounts for • Lodging Tax—This fund account for general government the operating costs of the cable administers the resources from financial resources that are TV functions funded by cable the lodging tax process. RESTRICTED by law or contractual franchise fees. *please note that Solid Waste Grant agreement to specific purposes other • EDA Operations—This fund and Police Forfeiture are not than debt service or major capital accounts for the operating recognized in this report, but are projects.The City of Apple Valley has activities of the Apple Valley included in the CAFR. the following Special Revenue Funds: Economic Development Authority. / Long-Term Bonded Debt Apple Valley received a "AAA" rating • Average debt burden with quick Once again the City received the from Standard and Poor's and a "Aaa" principal amortization. Certificate of Achievement for rating from Moody's. These are the Favorably located in the Twin Excellence in Financial Reporting •highest possible ratings you can Cities metropolitan area. awarded by the Government Finance receive. A high bond rating translates Officers Association for the City's into lower future borrowing costs.This In 2019,the City issued new debt to Comprehensive Annual Financial rating is based on the City's: cover the costs of the water meter Report (CAFR). replacement program.The increase • Moderately-sized tax base with from this new debt, offset by paying Although the financial numbers in the recent improvement in its down other debts, contributed to the CAFR come from an audited source, valuation after a trend decline. increase in total net bonded debt to they are presented in this report in a • Sound financial position $22,008,805 and net debt per capita condensed, unaudited, non-GAAP format. characterized by healthy reserves. to $405. Year 2015 2016 2017 2018 2019 Net Bonded Debt per capita General Obligation Bonds 29,669,149 27,900,442 14,191,734 13,158,026 12,049,319 G.O.Revenue Bonds 11,835,425 11,298,255 9,157,288 8,961,592 12,001,014 $600 $537 Special Assessment Bonds 2,637,976 2,298,265 608,554 493,843 374,132 $491 MSA Road Bonds 590,00G - - - - $$°° $400 $380 $405 Liquor Revenue Bonds 1,585,000 1,355,000 1,120,000 - - $400 Total Bonded Debt 46,317,550 42,851,962 25,077,576 22,613,461 24,424,465 $300 Less:Funds on Hand (17,807,062) (17,649,041) (4,152,062) (2,318,259) (2,415,660) Total Net Bonded Debt $28,510,488 $25,202,921 $20,925,514 $20,295,202 $22,008,805 $200 Net Bonded Debt per capita $537 $491 $400 $380 $405 $104 Bond Rating(Moody's) Aaa Aaa Aaa Aaa Aaa 5- Bond Rating(S&P) AAA AAA AAA AAA AAA 2015 2016 2017 2018 2019 I Internal Service Funds Internal service funds are an Benefits/ Vehicle Totals for accounting procedure used to Dental Other Equipment Internal accumulate and allocate costs Insurance Insurance Replacement Service Funds internally among the City's various Operating Revenue 247,565 1,562,009 1,049,407 2.858.98_ functions.The City maintains internal Operating Expenses 202,046 1,813,582 1,021.311 3,037,43= service funds for the following Net Position 147,379 112,195 7,732.03g 7,99",6_3 services: CITY OF APPLE VALLEY POPULAR ANNUAL FINANCIAL REPORT PAGE 5 Capital Projects Funds Road Improvement Fund:This fund accounts for street overlays and reconstruction projects per the City's Pavement Management Plan.The ending balance in this fund for 2019 was negative $3,644,354. Future Capital Projects Fund:This fund accumulates resources directly from the .!!� � General Fund. City Council policy calls for amounts in the General Fund that exceed a maximum level to be moved into the Future Capital Projects Fund. Funds are used to pay for any capital improvement costs needed in the future.The ending fund balance About this Report in this fund for 2019 was $14,860,441. The City of Apple Valley Non-Major Capital Projects Funds:The City has an additional 24, non-major capital reports financial year-end project funds that are used to account for various project-related costs.The net results in the ending fund balance in these funds for 2019 was$13,616,118. Please see the 2019 Comprehensive Annual Financial Report(CAFR). CAFR for further detail The Popular Annual Financial Report(PAFR)is Enterprise Funds an unaudited report that summarizes the most The Enterprise Funds account for the City's utilities (water,sewer,storm drainage, significant data from the and street lights), liquor stores,golf course, sports arena, and cemetery,which are 2019 CAFR,and is all run like businesses in that they rely on fees and charges for revenue to cover consistent with Generally expenditures. Accepted Accounting Principles.The report reflects the net tax cost Utilities: Water, Sewer, Storm Water, & Street Light by service expenditure, developed by crediting related revenues against These funds consist 2019 Enterprise Funds: Utilities appropriate expenditures of utility services and allocating local taxes provided to the against the remaining $12,000,000 community by the balance. City such as water& $1a,aaa,aaa For a complete review of $8,000,000 p sewer, storm the City's financial $6,000,000 drainage, and street $4,a44,4aa position for 2019,consult lighting. Revenues the 2019 CAFR available $2,000,000 from these funds go $. on the City's website at to support Water and Sewer Storm Drainage Street Light CityofAppleValley.org,or from the Finance operations, •Revenue ■Expenses Department at maintenance, and 952-953-2540. improvements of the City's utilities. Water and Sewer Storm Drainage Street Light Revenues $10,992,417 $2,201,629 $561,658 Expenses $9,747,139 $2,215,052 $543,694 Quarterly Cost for Avg Home $123.01 $19.56 $5.70 CITY OF APPLE VALLEY POPULAR ANNUAL FINANCIAL REPORT PAGE 6 Municipal Liquor City Facts The City owns and operates three .7,• Population: 54,400 municipal liquor stores. Profits from your h r.1 purchases stay in the City of Apple Valley .., '.■ . ,,, '°�Y Per Capita $41,673 y : • .t . Personal Income to help aid in providing funding for __ police,fire, and public works vehicles, • High School 94.8% maintaining and improving city parksAiddli Graduation Rate along with other General Fund services. • Unemployment 2.6% •a•r• 2019 Rate a••• Operating Revenue 9,886,580 Apple Cost of Goods Sold 6,935,517 Valley Gross Profit Percentage 29.896 Amenities Liquor y Operating Expenses 1,691,424 Home of the MN Zoo Operating Income 1,259,639 Giving back to the community 51 parks 79 miles of trails Valleywood Golf Course tr Valleywood Golf Course F44- s . Sports Arena .-7. f ;. 2019 Rri • .,;:,..1: - Operating Revenue 898,126 Aquatic Center '` - = . „ :. ^F A 4 . . I Cost of Goods Sold 75,369 enior Center Operating Expenses 1,120,015 Operating Loss (297,258) Community Center hillimiri Valleywood Golf Course features an restaurant, and outdoor patio. History 18 hole, par 71 course along with a Valleywood was recently named MGA large banquet space,full scale bar, Member Club of the Year for 2015. r the general election of 68,the residents voted incorporate the Town Lebanon as the Village The Sports Arena offers tennis lessons during of Apple Valley.A mayor Sports Arena the summer and ice skating during the winter. and four councilmembers Hayes Park Arena offers ice time from mid- were elected and took M June to mid-March and indoor turf time from office on January 1, 1969. " mid March to mid June. On January 1, 1974, w iglv Apple Valley became a 1It 1 a . am '� ;a 2019 statutory city. .,,r 0„ - ;. ,:. . ?; .. Operating Revenue 745,910 Cost of Goods Sold 13,923 — Operating Expenses 740,478 Operating Income (8,491) •••• ITEM: 4.F. ..... •5• Apple COUNCIL MEETING DATE: June 11, 2020 Valley SECTION: Consent Agenda Description: Adopt Resolution Adopting 2020 Performance Measures and Approving Participation in Performance Measurement Program Staff Contact: Department/ Division: Jake Bosley, Finance Analyst Finance Department ACTION REQUESTED: Adopt resolution adopting 2020 performance measures and approve participation in performance measurement program. SUMMARY: In 2010, the Minnesota State Legislature created the Council on Local Results and Innovation (CLRI). The CLRI created a standard set of ten performance measures for cities intended to aid residents, taxpayers, and state and local elected officials in determining the efficacy of cities in providing services and to measure residents' opinions on those services. In February of 2012, the CLRI created a comprehensive performance measurement system for cities and counties to implement. In 2013, the CLRI revised the performance measures, removing the need to include community survey results, and clarified the system requirements to increase participation in the program. The City of Apple Valley has participated in the program since the changes made in 2013. The City Council is now being asked to continue its participation in the program for 2020. BACKGROUND: Participation in the program is voluntary. However, participating cities are eligible for a reimbursement of $0.14 per capita in local government aid and are exempt from levy limits under sections 275.70 to 275.74 for taxes payable in the following calendar year, if levy limits are in effect. The City of Apple Valley received $7,480 in 2019 for participation in the 2018 year. The City is required to file a report on the collected measurements by July 1st. Attached is a draft of the performance data that was collected in 2019 that staff intends to submit to the State Auditor. The first page is the summary scorecard, followed by a graphical presentation. The results need to be publicized and shared with the community. Staff proposes to publish the survey on the City's website and include the information in an upcoming newsletter. Attached is a draft report that would be used to share the data. Staff recommends the City Council adopt the attached resolution adopting 2020 performance measures and approve participation in performance measurement program, as recommended by the CLRI. BUDGET IMPACT: N/A ATTACHMENTS: Resolution Exhibit CITY OF APPLE VALLEY RESOLUTION NO. 2020- A RESOLUTION ADOPTING 2020 PERFORMANCE MEASURES AND APPROVE PARTICIPATION IN PERFORMANCE MEASUREMENT PROGRAM WHEREAS,benefits to the City of Apple Valley for participation in the Minnesota Council on Local Results and Innovation's comprehensive performance measurement program are outlined in MS 6.91 and include eligibility for a reimbursement as set by State statute; and WHEREAS, any city or county participating in the comprehensive performance measurement program is also exempt from state levy limits for taxes, if levy limits are in effect; and WHEREAS, the City Council of Apple Valley has adopted and implemented at leastl0 of the performance measures, as developed by the Council on Local Results and Innovation, and a system to use this information to help plan, budget, manage and evaluate programs and processes for optimal future outcomes; and NOW, THEREFORE,BE IT RESOLVED,by the City Council of the City of Apple Valley, Dakota County, Minnesota,that this Council does hereby approve the following Performance Measures and will publish the results of the Performance Measures on the City's website before the end of the following calendar year. BE IT FURTHER RESOLVED, by the City Council of the City of Apple Valley, Dakota County, Minnesota,that this Council will submit to the Office of the State Auditor the actual results of the performance measures adopted by the City. Performance Indicator General Percent change in the taxable property market value Nuisance code enforcement cases per 1,000 population Bond rating(Moody's and S&P) Accuracy of post-election audit(%of ballots counted accurately) Police Part I and II Crime Rates Part I and II Crime Clearance Rates Fire Insurance industry rating of fire services Fire calls per 1,000 population EMS call per 1,000 population Streets Average city street pavement condition rating Expenditures for road rehabilitation per paved lane mile rehabilitated Percentage of all jurisdiction lane miles rehabilitated in the year Average hours to complete road system during snow event Water Operating cost per 1,000,000 gallons of water pumped/produced Sanitary Sewer Number of sewer blockages on city system per 100 connections ADOPTED this 11th day of June,2019. Mary Hamann-Roland, Mayor ATTEST: Pamela Gackstetter, City Clerk 2019 City Performance Measurement Program Results (Data from 2015-2019, Unless Otherwise Noted) Background In 2010, the Minnesota Legislature created the Council on Local Results and Innovation (CLRI). Currently, the CLRI has a standard set of 27 performance measurements for counties and 29 performance measurements for cities that they believe will aid residents, taxpayers, and state and local elected officials in determining the efficacy of counties and cities in providing services. Participation in the standard measures program by a city or a county is voluntary. Cities and counties that choose to participate in the standards measure program may be eligible for funding of 14 cent per capita from the State of MN. The Apple Valley City Council chose to participate in the program for the 2019 reporting year. In order to receive the per capita reimbursement for the following calendar year, cities must adopt and implement a minimum of ten performance measures from the CLRI's list of 29 measures and file a report with the Office of the State Auditor. The measurements are divided into six different categories: General, Police Services, Fire & EMS Services, Streets, Water, and Sanitary Sewer. As part of this process, the City submitted five years of data (generally 2015 to 2019, sometimes 2015 to 2018) for 15 of the 29 standard performance measurements, which were selected from each of the six categories. Below are the data related to each of the measurements the City chose to track. City of Apple Valley Performance Scorecard Performance Category 2015 2016 2017 2018 2019 General Percent change in the taxable property market value 8.50% _ 5.59% 4.58% I 8.63% 10.40% Nuisance code enforcement cases per 1,000 population 38.50 _ 46.89 60.92 69.94 52.32 Bond rating(Moody's) Aaa _ Aaa Aaa Aaa Aaa Bond rating(S&P) AAA AAA AAA AAA AAA Accuracy of post election audit(%of ballots counted accurately) N/A 100.00% N/A 100.00% N/A Police Services Part I and II Crime Rates-Part I 1,207 1214 1237 1025 Part I and II Crime Rates-Part II 1,919 1872 1993 1842 Part I and II Crime Clearance Rates-Part I 38.44% 34.35% 34.60% 50.34% Part I and II Crime Clearance Rates-Part II 62.69% 54.70% 60.91% 71.93% Fire&EMS Services Insurance industry rating of fire services 3/9 3/9 3/9 ' 2 2 Fire calls per 1,000 population 14.53 15.78 13.18 13.31 13.97 EMS call per 1,000 population 13.32 15.82 20.95 25.51 25.51 Streets Average city street pavement condition rating _ 75 _ 75 74 73 74 Expenditures for road rehabilitation per paved lane mile rehabilitated 346,312 336,579 488,711 653,479 799,128 Percentage of all jurisdiction lane miles rehabilitated in the year 2.64% _ 1.75% 2.08% 1.64% 3.49% Average hours to complete road system during snow event 7.4 8.0 8.9 7.5 7.0 Water Operating cost per 1,000,000gallons of water pumped/produced I $ 1,797 $ 2,017 $ 1,959 $ 1,739 $ 2,028 Sanitary Sewer r- Number of sewer blockages on city system per 100 connections 0.006 0.026 0.108 0.050 0.056 #-BCA Data not available for 2019 GENERAL MEASURES Percent Change in the Taxable Property Market Value: Property Values are Recovering Following the Latest Recession 14.00% — 12.00% 11.51% 10.00% 8.63% ,. 10.40% 8.00% 6.00% 5.59% 4.00% - 4.58 2.00% 0.00% T 2015 2016 2017 2018 2019 Change in Taxable Property Market Value Nuisance Code Enforcement Cases per 1,000 Population: Nuisance Code Enforcement Cases per 1,000 Population 80.00 69.94 60.92 60.00 i 52.32 - 46.89 38.50 pi 40.00 20.00 - 2015 2016 2017 2018 2019 Cases/1,000 Population City of Apple Valley Bond Rating: The City of Apple Valley maintains the highest possible credit rating from both Moody's and Standard & Poor's ratings agencies. Agency 2015 2016 2017 2018 2019 Moody's Aaa Aaa _ Aaa Aaa Aaa S&P AAA AAA AAA AAA AAA Accuracy of Post-Election Audit (%of Ballots Counted Accurately): Percent of Ballots Counted Accurately 100.0% 99.5% 99.0% 98.5% 98.0% I 2016 2018 Percent of Ballots Counted Accurately One precinct in the City of Apple Valley was selected for the Post-Election Review in the last two elections (2016 and 2018). There were no elections held in 2015, 2017, or 2019. The results from both elections met the standard of acceptable performance of the voting system.There were 2,072 and 1,813 ballots audited in 2016 and 2018, respectively. The manual counts for both years matched 100 percent to the machine counts taken on Election Day. POLICE SERVICES MEASURES Part I and II Crime Rates, per the Minnesota Bureau of Criminal Apprehension: Part I and II Crime Rates 2,500 - 1,919 1,872 1,993 2,000 1,842 1,500 1,20 1,214 1,237 R 1,02 1,000 500 2015 2016 2017 2018 2019 Part I Part II Part I and II Crime Clearance Rates, per the Minnesota Bureau of Criminal Apprehension: Part I and II Crime Clearance Rates 80.0% 71.93% — 70.0% 62.69% ° 60.91/ 60.0% 54.70% 50.34 50.0% Mil — 38.44° 30.0% 20.0% 10.0% 0.0% 2015 2016 2017 2018 ■ Part I Cleared Rate • Part II Cleared Rate Part I crimes include murder, rape, aggravated assault, burglary, larceny, motor vehicle theft, arson, and human trafficking. Part II crimes include other assaults,forgery and counterfeiting, embezzlement, stolen property,vandalism,weapons, prostitution, other sex offenses, narcotics,gambling, family and children crime, DUI, liquor laws, disorderly conduct, and other offenses. 2019 data will not be available until July 2020. Therefore,the date range shown is 2015 to 2018. FIRE SERVICES MEASURES Insurance Industry Rating of Fire Services: 2015 2016 2017 2018 2019 3/9 3/9 3/9 2 2 The City of Apple Valley completed a Public Protection Classification (PPCTM) survey evaluating the community's structural fire suppression capabilities in 2018 in which the City's overall score was improved to a Class 2 rating. Previously, Apple Valley held a Class 3 rating since 1998 (with some areas rated a Class 9 due to a recent revision in how the Insurance Service Office (ISO) rates certain properties located over 1,000 feet from a fire hydrant). Fire Calls per 1,000 Population: Fire Calls per 1,000 Population 16 15.78 15 14.53 13.97 14 13.31 13 13.18 12 11 2015 2016 2017 2018 2019 —Fire Calls/1,000 Population Emergency Medical Services (EMS) Calls per 1,000 Population: EMS Calls per 1,000 Population 30 25.51 25.51 25 20.95 20 — 15.82 15 13.32 10 5 2015 2016 2017 2018 2019 EMS Calls/1,000 Population J NOTE: EMS services for the City of Apple Valley are provided by Allina Medical Transportation. STREETS MEASURES Average City Street Pavement Condition Rating: The implementation of the City's Pavement Management Program in 2013 is resulting in improving street quality.The Pavement Condition Index target rating is 73. 2015 2016 2017 2018 2019 75 75 74 73 74 Expenditures for Road Rehabilitation per Paved Lane Mile Rehabilitated: Expenditures per Paved Lane Mile $900,000 $799,128 $800,000 $700,000 $653,479 $600,000 $500,000 $488,711 $400,000 $346,312 $336,5 $300,000 $200,000 $100,000 $0 2015 2016 2017 2018 2019 Expenditures per Paved Land Mile Percentage of all Jurisdiction Lane Miles Rehabilitated in the Year: Percentage of Lane Miles Rehabilitated 0 4.0 0 3.49% 3.5 3.0% 2.64% / 2.5% 2.08% 2.0% 1.75% — 1.64% 1.5% 1.0% 0.5% 0.0% 2015 2016 2017 2018 2019 Percentage of Lane Miles Rehabilitated Average Hours to Complete Road System During Snow Event: Average Hours to Complete Road System During Snow Event of Over 2 Inches 10.0 8.0 8.9 _ 6.0 — 7.4 8.0 7.5 7.0 4.0 2.0 2015 2016 2017 2018 2019 Average hours to complete road system during snow event WATER & SANITARY SEWER MEASURES Operating Cost per 1,000,000 Gallons of Water Pumped/Produced: Operating Cost/1,000,000 Gallons Pumped 2,100 $2,017 $2,028 2,000 $1,959 1,900 $1,797 1,800 $1,739 1,700 1,600 1,500 2015 2016 2017 2018 2019 . Operating Cost/1,000,000 Gallons Pumped Number of Sewer Blockages on City System per 100 Connections: Blockages/100 Connections 0.120 0.11 0.100 1 0.080 0.06 0.060 0.05 0.040 0.03 0.020 0.01 2015 2016 2017 2018 2019 Blockages/100 Connections •••• ITEM: 4.G. ..... •5• Appleil COUNCIL MEETING DATE: June 11, 2020 Valley SECTION: Consent Agenda Description: Approve Reduction of Financial Guarantee Staff Contact: Department/ Division: Mari Salamanca, Planning Department Assistant Community Development Department ACTION REQUESTED: Approve the reduction of financial guarantee. SUMMARY: The City holds numerous financial guarantees to ensure the installation of certain improvements in new developments, as well as to assure protection of natural resources. Staff review of the status of these developments indicates that the following action is in order: 1. Apple Valley Wasatch Addition LOC #: LC 2088 (PC17-32-SFGB) Original Deposit on 5/5/18 $416,284.00 Reduced 1/24/19 TO $204,053.00 Reduced 12/12/19 TO $87,984.00 Reduce now to $33,000.00 BACKGROUND: N/A BUDGET IMPACT: N/A •••• ITEM: 4.H. ..... •5• Apple COUNCIL MEETING DATE: June 11, 2020 Valley SECTION: Consent Agenda Description: Adopt Resolution Approving 3 Ft. Setback Variance for Sign on Lot 1, Block 1, Heritage Lutheran Church (13401 Johnny Cake Ridge Road) Staff Contact: Department/ Division: Alex Sharpe, Planner and Economic Dev. Spec. Community Development Department Applicant: Project Number: Heritage Lutheran Church PC20-04-V Applicant Date: 4/21/2020 60 Days: 6/20/2020 120 Days: 8/19/2020 ACTION REQUESTED: Adopt resolution approving a 3 ft. variance from required setback for a sign on Lot 1, Block 1, Heritage Lutheran Church(13401 Johnny Cake Ridge Road), subject to conditions. SUMMARY: Heritage Lutheran Church has applied for sign setback variance for a new ground sign. City Code requires ground signs to be setback 13' from the property line, the applicant is seeking a 3' variance to allow the sign to be placed 10' from the property line. Heritage Lutheran Church has an existing ground sign that they are seeking to update to include an electronic message. An encroachment between the City and Heritage Lutheran has allowed the existing ground sign to exist within a drainage and utility easement. A condition of this agreement stated that if the existing sign is updated the sign must be removed from the easement, and come into compliance with all City requirements. The applicant, Heritage Lutheran Church, has sought to place the sign in a location which would not require a variance. However, several site characteristics limit the location and visibility. The applicant's proposed location is outside of the drainage and utility easement, but would require a 3' setback variance. The site is limited by a large stormwater pond and grade changes that limit the location of a sign. Additionally, there is an existing light pole for the parking lot that would be required to be relocated for the sign to meet the required setback. Relocation of the light pole and placing the sign in the code compliant location would also require the removal of trees and other vegetation surrounding the stormwater pond. The visibility of this location would be limited from north-bound traffic, the predominate path of visitors. Normally, with a variance the "practical difficulties" measure is used. However, in the case of a sign variance the City Code lays out different standards which are below: (1)All of the following requirements must be met: (a) Special conditions exist which are peculiar to the land, structure, building involved and which are not applicable to other lands, structures, or buildings in the same district; (b) The special conditions and circumstances do not result from the actions of the applicant; (c) A literal interpretation of the provisions of these regulations would deprive the applicant of rights commonly enjoyed by other properties in the same district and the terms of these sign regulations; (d) That granting the variance requested would not confer on the applicant any special privilege for a use not common to other lands, structures or buildings in the same district; and (e) The proposed use of the property shall have an appearance that will not have an adverse effect upon adjacent properties and there will be no deterrence to development of vacant land. (2) Any proposed signage beyond the maximum square footage permitted would have the primary function of providing a public service. Staff is recommending approval of the variances based on the following. (a) Special conditions exist on the property; the site is limited due to grade changes and a large stormwater pond that affects grades on the site, preventing locations that would not require a variance. (b) These conditions are not caused by the applicant. The applicant has an existing sign within the easement, but replacement of this sign is inevitable. By moving the sign outside of the easement a new sign is an improvement on existing conditions. (c) A literal interpretation would limit the applicant due to the grades and vegetation on the site. There are several religious institutions adjacent to Johnny Cake Ridge Road, many of their signs meet the required setbacks, but are not on sites that are constricted by a stormwater pond, grade changes, and an oddly shaped site. (d) Granting of this variance would not confer any special privilege not common to other properties. The church already has a sign that has not met setback requirements. By moving the sign outside of the easement and to a location which requires a 3' setback variance the church is reducing any potential advantage it had in the past. (e) The proposed sign will not have an adverse appearance and will be required to meet all digital sign requirements. On May 20, 2020 the Planning Commission reviewed and unanimously recommended approval of the sign variance subject to the following conditions: 1. The variance shall be applicable to the property legally identified as Lot 1, Block 1, Heritage Lutheran Church. 2. If the sign permit fee is not paid for or not issued within one (1) year of the date of approval, the variance approval shall lapse. 3. Prior to issuance of the sign permit, the petitioner shall record the variance with Dakota County and provide evidence to the City. 4. A private utility locate shall be performed prior to any work commencing on the site. 5. Installation shall be generally consistent with the sign plan dated 4-17-20. BACKGROUND: Staff has reviewed sign placement for other religious institutions adjacent to Johnny Cake Ridge Road. South Suburban Evangelical Free Church's sign is setback 15' and Shepard of the Valley Lutheran Church's sign is setback 13'. The existing sign at Heritage Lutheran Church is setback 6' and has been in place since the church was constructed. Heritage Lutheran Church's site is unique in both lot shape and the grades on the site. The other institutions along this corridor have relatively flat sites and large areas adjacent to their driveway entrances. Heritage Lutheran Church's site has limited space near street entrances, where the signs are most needed. BUDGET IMPACT: N/A ATTACHMENTS: Area Map Applicant Letter Survey Plan Set Resolution • a ., Q W ii. 1#111r-/ LIJ 0 Z v i 4., n b r • Current Sign Location F. Aid D i Proposed Sign Location - it i'll A I . f :( . r .. ;* "t -� r i ,r �34� HERITAGE LUTHERAN CHURCH �,�F '; 712 _� 13401 JOHNNY CAKE RIDGE ROAD ' „ �! 4.Witliii-nal -4./7. iiI74.4 W7rITI„ its- '-.41*--iii-Iretial*46.10 ..._E i bpi ii -� �9x ' r -ire* LOCATION MAP 'M:B •,l �� April 21, 2020 City of Apple Valley Planning Department 7100 147th Street W Apple Valley, MN 55124 Sign Permit Variance Application Heritage Lutheran Church and School is seeking a Sign Code Variance: • Reduce the Property Line Setback Requirement from 13'to 10' • Our sign would be placed completely outside the Drainage & Utility Easement A portion of our current monument sign sits inside the Drainage & Utility Easement. We are replacing the monument sign which requires us to move the sign to comply with a 13' setback from the property line. The 13' setback requirement creates a hardship in finding a location for our sign that is visible to automobile traffic on Johnny Cake Ridge Road. Option (A) is to move the sign closer to the parking lot. This location places the sign very close to a light pole. The light pole inhibits viewing of the sign for southbound traffic. The church was required to place the light pole in its current location. The church is unable to relocate the light pole. Option (B) is to move to a location at the northern end of the property. The problem with this location is that it is in a significantly lower grade level. The sign is too low to be easily visible and read by street traffic. Option (C) is in its current location but move westward far enough to be outside the Drainage & Utility Easement. This location would be setback 10' from the property line, but completely outside the Easement. Our Variance Application is to reduce the 13' Property Line Setback requirement to 10' (3' reduction). Thank you for your consideration of our request. Sincerely. P !.Z`Oit 41,11/ Pastor Karl Anderson Heritage Lutheran Church 13401 Johnny Cake Ridge Road Apple Valley, MN 55124 EASEMENT EXHIBIT FOR: HERITAGE L UTHERAN CHURCH 13401 JOHNNY CAKE RIDGE ROAD, CITY OF APPLE VALLEY, DAKOTA COUNTY, MINNESOTA ita 7- NORTH LINE OF OUTL 255.58 N89°42'52"W ,� 1 •h` Significantly 0,- Lower Elevation n to Povl►er line 1�y 3>, ol d Easment Line _� 4 0igvIrean) .r, g o� 3' 10' 1� : o �% 1l Et 13' ,��S�'W -i K ao.az f s� = C L1i (Normal (, Post Setback) Ci Footing et Variance 2' INewiSigngI Request for W 1' 3' into Q I— 8,_9., --1 Setback F-- < .-. ._I _a ilm.") .-"ImPJFIIIIII EXIST. SIGN- Z I zI Z o- muci � CD U U - ---S III • U En • • 8 o PROPOSED SIGN \�� g r m 4.4, . • fr jSetback •Line ` ,� �"'� �t Setback (Red) $N �c ,,o�o�� N N —3 `i - _ s ht P_. . � \1 � 11 N �� 1� ' �� � � 0 \ /\ 1,, ''s1 m ji %,(A) 80 0 _r f kr 15.59'00" ; , . , _ '181- SCALE: 1 = 80' R .0 ; _ _ — — — 7 I SCR / LEGEND ZAK4Z JJE'�S'CRIPTION LOT 1, BLOCK 1, HERITAGE LUTHERAN CHURCH ADDITION ACCORDING'TO THE PLAT ON FILE AND OF RECORD IN THE OFFICE OF THE COUNTY RECORDER, DAKOTA COUNTY, MINNESOTA. . . FIRE HYDRANT CERTIFICATION. ® . . . . WATER VALVE O . . . . MANHOLE I HEREBY CERTIFY THAT THIS SURVEY WAS PREPARED BY ME OR UNDER MY ® . . . . CATCH BASIN DIRECT SUPERVISION AND THAT I AM A DULY LICENSED LAND SURVEYOR UNDER THE LAWS OF THE STATE OF MINNESOTA. 0 . . . . POWERPOLE SIGNED THE 17TH OF APRIL, 2020. 3. . . . LIGHT POLE • . . . . IRON MONUMENT FOUND C i:E t 7 jt._r v,-.---"..f•..._7-4.—-- 429• 43)'"r-..-I''""-- . . . . IRON PIPE MONUMENT SET E''*(1''cl' I . . . . EXISTING SPOT ELEVATION DENNIS M. HONSA MINNESOTALICENSE No. 22440 FOR: HONSA SURVEYING JOB NO: 2020 DIGITAL SIGN 001 FOR: REVISED: 2020-04-17 SIGN HONSA SURVEYING ALTERATIONS TO THIS DRAWING ARE PROHIBITED WITHOUT THE EXPRESS 1592 PACIFIC AVENUE, EAGAN, MN 55122 (651) 492-6725 WRITTEN PERMISSION OF HONSA SURVEYING COPYRIGHT 2020. Heritage Lutheran Church and School 13401 Johnny Cake Ridge Rd Apple Valley, MN 55124 Design Docs_2 April — 2020 1 952-456-2575 ThinkDigitalSigns.com 2x8 Message Center 8ft.gin. 1°1 h— 2ft.Oin. ► H8ft.Oin. 1ft.bin. ► 8ft.Sin. H • 1ft.8in._ Oft.4in. Aluminum Cap 4' x 8'9"x 2' Interanally Illuminated Sign Cabinet 1ft.10in. Routed Aluminum/Acrylic Backed 1'10"x 8'3"x 1'8" Oft.2in. A I 2"Alumin$jm Reveal 2"x 8' I 1 r 2x8 M ssage Center 2ft.Sin. Cabinet=2'5"x 8'3"x 5" 8ft.Oin. V A 3ft.Sin. Aluminum Pole Cover 3'8"x 4'x 1' 4 4ft.Oin. ► 1 I 1ft.Oin. Footing 4'x 2' 8" Direct Bury Pole 2 952-456-2575 ThinkDigitalSigns.com 2x8 Message Center1.4 8ft.9in. • 2ft.0in.Lir ► 8ft.Oin. Hilt.6in.H 8ft.3in. t1ft.8in.- Oft.4in.— _ Aluminum Cape x 8'9"x 2' _ • _ Interanally Illuminated Sign Cabinet 1ft.10in. Routed Aluminum/Acrylic Backed 1'10" c 8'3"x 1'8" Oft.tin.— I 2"Aluminum ReviPal 2"x X' 1 E 2ft.5in. 2x8 Message Center Cabinet=;2'5"X 8'3"x 5" 8ft.Oin. 1 1 3ft.3in. Aluminum Pole Cover 3'3"x4'x1' t 4ft.Oin. ► 1 1ft.Oin. ► Footing 4'x 2' —� *"Direct Bury Pole 4ft.Oin. V H2ft0in. ► 3 952-456-2575 ThinkDigitalSigns.com 2x8 Message Center 8ft.gin. ► H 2ft.Oin. ► h8ft.Oin. ► 1ft.6in. ► 4 8ft.3in. ► . 1ft.8in.- Oft.4in. Heritage Lutheran 1ft.10in. CHURCH & SCHOOL Oft.tin. A ..m 2ft.5in. . ...... ......... 8ft.0in. 1 3ft.3in. 1 I Oft.Oin. ► 1ft.Oin. 4 952-456-2575 ThinkDigitalSigns.com Pole Cover 2x8 Message Center Matthews Paint Colors .111 MP10217 Rich Brown LRV 5.8 Heritage Lutheran . • CHURCH & SCHUUl , k... .. ... :. 9...... MP25839 Cloy Basket Brown LRV 1 5 . 5 952-456-2575 ThinkDigitalSigns.com Graphic Area: 4' x 8' = 32 sf 2' x 8' EMC = 16 sf 50% Dynamic 2x8 Message Center 6 952-456-2575 ThinkDigitalSigns.com Pole Cover 2x8 Message Center Heritage Lutheran CHURCH & SCHOOL • 11111111 7 952-456-2575 ThinkDigitalSigns.com CITY OF APPLE VALLEY RESOLUTION NO. 2020 - A RESOLUTION APPROVING A 3 FOOT SETBACK VARIANCE, TO CONSTRUCT A GROUND SIGN AND ATTACHING CONDITIONS THERETO WHEREAS,pursuant to Minnesota Statutes 462.357 the City of Apple Valley has adopted, as Title XV of the City Code of Ordinances, zoning regulations to control land uses throughout the City; and WHEREAS,pursuant to the City's said regulations, a"variance"is an exception granted by the City Council from the literal provisions of the zoning regulations where practical difficulties exist which do not apply to the area in general; and WHEREAS, an application for a variance, ("PROJECT"),was submitted by Think Digital Signs on behalf of the property owner, Heritage Lutheran Church("APPLICANT"), for property located at 13401 Johnny Cake Ridge Road and legally described as Lot 1,Block 1, Heritage Lutheran Church("PREMISES"); and WHEREAS, City Code §154. Appendix D sets the setback for a ground sign as 13 feet; the PROJECT requests a variance to allow a sign to encroach 3 feet into the setback; and WHEREAS,the Apple Valley Planning Commission reviewed the PROJECT at its public meeting on May 20, 2020 and unanimously recommended approval. NOW, THEREFORE,BE IT RESOLVED by the City Council of the City of Apple Valley, Dakota County, Minnesota,that the City Council finds that the applicant established that the following requirements for a variance from City Code §154.07 exist on the property in accordance with the City's zoning regulations: 1. Special conditions exist on the property; a storm water pond limits the primary visible corner, large grade changes exist,the property has an existing sign that does not meet code and is seeking to improve the current conditions, and utilities limit the sign placement. 2. These conditions are not caused by the applicant. 3. A literal interpretation would limit the applicant due to the grades and vegetation on the site. There are several religious institutions adjacent to Johnny Cake Ridge Road,many of their signs meet the required setbacks,but are not on sites that are constricted by a stormwater pond, grade changes, and an oddly shaped site. Granting of this variance would not confer any special privilege not common to other properties. 4. The proposed sign will not have an adverse appearance and is in fact smaller than would otherwise be permitted for a ground sign. BE IF FURTHER RESOLVED by the City Council of the City of Apple Valley,Dakota County, Minnesota,that a 3 foot variance to required setback is hereby approved, subject to all applicable City Codes and standards, and the following conditions: 1. The variance shall be applicable to the property legally identified as Lot 1, Block 1, Heritage Lutheran Church. 2. If the sign permit fee is not paid for or not issued within one(1)year of the date of approval, the variance approval shall lapse. 3. Prior to issuance of the sign permit, the petitioner shall record the variance with Dakota County and provide evidence to the City. 4. A private utility locate shall be performed prior to any work commencing on the site. 5. Installation shall be generally consistent with the sign plan dated 4-17-20. BE IT FURTHER RESOLVED that such issuance is subject to a finding of compliance of the construction plans with the Minnesota State Building Code, as determined by the Apple Valley Building Official, and with the Minnesota State Fire Code, as determined by the Apple Valley Fire Marshal. ADOPTED this 11th day of June, 2020. Mary Hamann-Roland, Mayor 2 ATTEST: Pamela J. Gackstetter, City Clerk CERTIFICATE I, Pamela Gackstetter, City Clerk, hereby certify that the above resolution is a true and correct copy of a resolution adopted by the City Council of the City of Apple Valley,Dakota County, Minnesota, on the day of ,20 . Pamela J. Gackstetter, City Clerk 3 •••• ITEM: 4.1. ..... •5• Appleil COUNCIL MEETING DATE: June 11, 2020 Valley SECTION: Consent Agenda Description: Adopt Resolution Receiving Feasibility Report and Calling for a Public Hearing Relating to 2019- 139, Mixed Business Campus: Adjacent to Pilot Knob Road Staff Contact: Department/ Division: Brandon Anderson, City Engineer Engineering Division ACTION REQUESTED: Adopt the resolution receiving the Feasibility Report and calling for a public hearing relating to 2019-139, Mixed Business Campus: Adjacent to Pilot Knob Road. SUMMARY: Rockport, LLC, has petitioned that the undersigned's property be improved with: sanitary sewer and service stubs; watermain and service stubs; storm sewer and drainage facilities; streets with concrete curb; trails and sidewalks; street lights; and traffic control (including signals) necessary to serve its property for development, pursuant to Minnesota Statutes, Chapter 429, and that the City assess the cost of the improvements against the undersigned's property in accordance with the engineer's feasibility report attached. The feasibility study is required by Chapter 429 of State Statute for assessments of public improvements and outlines the shared cost responsibilities between Rockport, LLC and the City of Apple Valley. A public hearing shall be held on such proposed improvements on the 9th day of July, 2020, in the Council Chambers of the Apple Valley Municipal Center at 7 p.m., or as soon thereafter as possible, and the clerk shall give mailed and published notice of such hearing and improvement as required by law. BACKGROUND: On May 9, 2019, City Council Approved Design Agreement with Rockport, LLC, for design services of public infrastructure relating to Project 2019-139, the proposed Mixed Use Business Campus - Feasibility Study. On March 12, 2020, City Council Adopted resolution Declaring Adequacy of Petition and Ordering Preparation of Feasibility Report for Project 2019-139, Mixed Business Campus Public Improvements. On April 23, 2020, City Council Approved Design Agreement with Rockport, LLC, for Project 2019-139, Mixed Business Campus Feasibility Study. On April 23, 2020, City Council Approved Design Agreement with Rockport, LLC, for Projects 2020-134, 2020-135, and 2020-136, as part of Orchard Place Public Improvements. BUDGET IMPACT: An estimate of the funding necessary and shared cost responsibilities between Rockport, LLC and the City of Apple Valley can be found in the report. ATTACHMENTS: Report Resolution BOLTON & M ENK Feasibility Report for Mixed Use Campus May 28, 2020 • • • . . . .. • • • Apple II Valley Apple Valley, Minnesota City Project No. 2019-139 BMI Project No. N14.118878 Submitted by: Bolton & Menk, Inc. 2035 County Road D East Maplewood, MN 55109 P: 651-704-9970 F: 651-704-9971 Certification I hereby certify that this plan, specification or report was prepared by me or under my direct supervision, and that I am a duly Licensed Professional Engineer under the laws of the State of Minnesota. By: 4441-'nn Michael Boex, P.E. License No. 44576 Date: May 28, 2020 Prepared by:Bolton&Menk, Inc. Certification Page Mixed Use Campus 12019-139 Table of Contents Introduction 1 II. Existing Conditions 1 Geotechnical Evaluation 2 III. Proposed Improvements 2 Sanitary Sewer 2 Watermain 2 Storm Sewer and Stormwater Management 3 Streets 4 Intersection control 5 IV. Right-of-Way and Easements Required 6 V. Improvements by Others 7 VI. Required Permits 7 VII. Estimated Costs 8 VIII. Cost Allocation 8 IX. Project Schedule 9 X. Recommendations 9 dUles Table 1.1— Public Improvements Projects 1 Table 3.1— Proposed Street Corridor 5 Table 3.2— Intersection Level of Service Summary 6 Table 7.1— Estimated Project Costs Summary 8 Appendix Appendix A—Preliminary Cost Estimate Appendix B—Cost Allocation Summary Appendix C—Preliminary Assessment Roll Figures Figure 1: Location Map Figure 2: Proposed Phasing Figure 3: Existing Conditions Figure 4: Proposed Utilities Figure 5: Proposed Streets Figure 6: Sanitary Sewer Service Areas Figure 7: Proposed Ponding Figure 8: Allowable Access Spacing—155th Street Figure 9: Right-of-Way and Easements Required Figure 10: Cost Allocation and Assessable Parcels Prepared by:Bolton&Menk, Inc. Table of Contents Mixed Use Campus 12019-139 I. INTRODUCTION This report examines the proposed improvements required for the City of Apple Valley's Mixed Use Campus project (City Project No. 2019-139) which involves the development of a Rockport LLC property in the area of CSAH 31 (Pilot Knob Road), 155th Street, 157th Street, and Johnny Cake Ridge Road.The general project area is shown on Figure 1. In 2007, an Alternative Urban Areawide Review (AUAR) was prepared describing the proposed end-use of the Rockport LLC properties in this vicinity and potential impacts caused by development of this area.This report was further updated in 2016. On March 12, 2020, City Council ordered the preparation of a feasibility report for the Mixed Use Campus public improvements.This report will review the existing conditions in the project area and discuss the proposed improvements. It will also provide preliminary cost estimates for the proposed improvements along with methods for financing the project. Public infrastructure for the Mixed Use Campus project area is planned to be developed in two phases and constructed as part of three public improvements projects.The three public improvements projects are summarized in the table below and shown on Figure 2. Table 1.1—Public Improvements Projects City Project Number City Project Description Phase 2020-134 155th And Pilot Knob Roadway Improvements 2 2020-135 Orchard Place Pilot Knob Turn Lane Improvements 2 2020-136 Orchard Place Utility Improvements 1 Construction of Phase 1 is anticipated to begin in the late summer of 2020 with completion in the fall of 2020, and construction of Phase 2 is anticipated to begin in the spring of 2021 with completion in the fall of 2021. II. EXISTING CONDITIONS The existing conditions of this site are shown on Figure 3. Most utilities and streets within the Mixed Use Campus project area have not been constructed. As development around the Mixed Use Campus has occurred, stubs for the utilities and streets were provided with the intention of being connected to in the future. Utilities along 157t"Street were constructed between 2013 to 2016 and stubs provided for future connection are as follows: • 12" polyvinyl chloride pipe(PVC) sanitary sewer stub and 12" ductile iron pipe (DIP) watermain stub near the intersection of 157th Street and English Avenue to provide utility service to future development north of 157th Street • 18" reinforced concrete pipe (RCP) stub at the intersection of 157th Street and Everglade Avenue for the WVR-P54 pond outlet A 24" steel casing pipe was installed beneath Pilot Knob Road at 155th Street in the early 2000s. This casing pipe was intended to convey a future 16"trunk watermain into the Rockport LLC Prepared by:Bolton&Menk, Inc. Mixed Use Campus 12019-139 Page 1 properties. Stub streets for full intersections along 157th Street were provided at Everglade Avenue and approximately 375' west of English Avenue. A right-in only access was also provided on the north side of 157th Street at English Avenue for additional access to the future development. A street stub along Pilot Knob Road was provided at 155th Street. GEOTECHNICAL EVALUATION A soils map of the project area was included in the AUAR prepared by Westwood Professional Services. It is recommended that standard penetration test (SPT) borings be collected within the project area and a geotechnical evaluation be prepared.The geotechnical evaluation should include, but not be limited to, determining accurate design R-values of the existing soils throughout the project area to assist with the pavement section design and determining the feasibility of trenchless pipe installation in the area described below. Currently,the pavement design assumes a design R-value of 20 which is consistent with adjacent project areas. III. PROPOSED IMPROVEMENTS Proposed utilities and streets are shown on Figures 4 and 5, respectively. Below is a description of the proposed improvements. SANITARY SEWER New 10"—12" PVC sanitary sewer with precast concrete manholes will be extended through the commercial area and provide a stub for future connection north of 155th Street.This sanitary sewer will connect to the existing 12" PVC sanitary sewer stub at the south end of the property near 157th Street and English Avenue.The sanitary sewer will be sized in conformance with the City's proposed 2040 Land Use map to provide service to the commercial properties within the 35.8 acre commercial development and approximately 78.6 acres of future mixed use business development north of 155th Street as shown on Figure 6.A portion of this sanitary sewer will be installed within a steel casing by means of trenchless pipe installation and open cut trench for the crossing of the existing Magellan gas pipeline and the proposed 155th Street corridor. New PVC services will be stubbed out from each manhole along this sanitary sewer to provide service to the future buildings. The size of the required service pipes will be provided by the developer during final design. WATERMAIN Trunk watermain throughout the project are will be installed per the City's Water Distribution System plan. Additional watermain for development service and temporary phasing will be installed as described below. All trunk watermain stubs will utilize temporary fire hydrants to allow for routine flushing of the watermain until future extension occurs. New 12" ductile iron pipe (DIP)watermain will be extended through the commercial area between 155th Street and 157th Street. North of 155th Street, new 16" DIP watermain will be extended and provide a stub for future connection.This watermain will connect to the existing 12" DIP watermain stub at the south end of the property near 157th Street and English Avenue.This proposed 12"watermain is not part of the City's water distribution system and is being constructed only to provide service to the commercial development. Prepared by:Bolton&Menk, Inc. Mixed Use Campus 12019-139 Page 2 The 12" DIP watermain will have DIP water service stubs for the future buildings.The size of the required service pipes will be provided by the developer during final design. New 16" DIP is proposed on 155th Street between the proposed 12" DIP within the commercial area and the limits of the street construction. A stub for future connection will be provided at this location. Although not shown on the Water Distribution System map, a 16" DIP watermain along 155th Street between the existing 16" DIP watermain within the east boulevard of Pilot Knob Road and the proposed 12" DIP within the commercial area will also be constructed due to the proposed phasing.This additional connection will provide the following benefits to the proposed development: 1. Improve water quality by allowing for better circulation within the watermain system as there is no other connection to the existing watermain 2. Reduce service interruptions due to watermain shutdowns by providing another connection to the existing watermain This proposed watermain will utilize the existing 24" steel casing underneath Pilot Knob Road as described above to mitigate traffic impacts to Pilot Knob Road. When future trunk watermain in the vicinity of this project is extended and looped per the City's Water Distribution System map, this 16" watermain can remain in place to serve as a redundant trunk watermain or be removed/abandoned in-place to reduce the maintenance demand. STORM SEWER AND STORMWATER MANAGEMENT Proposed stormwater management will generally follow the City's Surface Water Management Plan, however,the current ATLAS 14 rainfall depths will be utilized for design of public stormwater systems.The entire project area is within the Vermillion River watershed.The ponding areas are shown on Figure 7. Stormwater management for the WVR-P54 watershed was modeled by the developer.The watershed of WVR-P54 includes land bounded by 155th Street, Pilot Knob Road, 157th Street, and future Johnny Cake Ridge Road. Preliminary grading and storm sewer pipe configurations have also been determined by the developer. Segments of storm sewer within the WVR-P54 watershed and commercial area will be publicly owned and maintained as they convey drainage from multiple properties.The storm sewer on Figure 7 depicts the approximate locations of the publicly owned storm sewer through the commercial development.This public storm sewer configuration may be modified during final design through additional coordination with the developer. Stormwater management for the WVR-P53 watershed was determined as part of this preliminary design and study.The watershed of WVR-P53 includes all the developable land bounded by 150th Street, Pilot Knob Road, 155th Street, and future Johnny Cake Ridge Road.The corridors of 155th Street and Johnny Cake Ridge Road as well as a ponded flow from the future and upstream WVR- P52 were also included within the pond analysis.The total watershed area is 165.0 acres and assumes an average 65% impervious coverage. An allowable outflow of 2.3 CFS from WVR-P53 to WVR-P54 was provided per the Surface Water Management Plan. With the ATLAS 14 rainfall depth,the total active stormwater storage requirement is 78.1 AC-FT.The subsequent active stormwater storage requirement per acre developed is 0.473 AC-FT of active storage per 1 acre developed. In order to reduce the maintenance requirements and increase the longevity of large stormwater Prepared by:Bolton&Menk, Inc. Mixed Use Campus 12019-139 Page 3 ponds,the Minnesota Pollution Control Agency (MPCA) recommends that pretreatment basins be constructed upstream of the main stormwater pond.The recommended size of the pretreatment basins is 10%of the total active stormwater storage requirement. For the WVR-P53 watershed, this would equate to 7.81 AC-FT.This volume will be achieved in four separate pretreatment basins adjacent to the main stormwater pond, and similar to WVR-P54, each storing approximately an equal share of the total required volume. It should be noted that the active stormwater storage volume of the pretreatment basins does count towards the total active stormwater storage requirement of the watershed. The MPCA also requires that stormwater ponds have a permanent pool volume (dead storage) equal to at least 1,800 cubic feet per acre of drainage to the pond. Where phosphorus load reductions are a priority,the MPCA recommends that a permanent pool volume as large as 3,600 cubic feet per acre of drainage in a pool with a maximum depth of 8 feet be used for enhanced removal.As phosphorus loading has been identified as a priority within the Vermillion River watershed,these guidelines will be followed. Clay pond liners are proposed to be installed below normal water levels of the main stormwater pond and the pretreatment basins to establish the permanent pools.The clay pond liners will be two feet thick and constructed of soils consistent with the City's current standards. The entire project area is located within the high vulnerability Drinking Water Supply Management Area (DWSMA) of the Wellhead Protection Area, prohibiting infiltration without a higher level of engineering review. On May 14, 2020, infiltration within this site was evaluated, and it was determined that stormwater infiltration would not pose a risk to the quality of water pumped from the City's water supply wells. Stormwater management for the WVR-P53 watershed for this initial development will include the portion of the 155th Street corridor being constructed.The total active stormwater storage volume needed for the management is approximately 2.5 AC-FT.This volume will be stored in a basin north of 155th Street between the two allowed access points. During future phases of development, as additional active stormwater storage is required, this basin will be converted into a pretreatment basin and outlet into the main stormwater pond prior to discharging to WVR-P54. As part of this development,the ultimate pond outlet for WVR-P53 to WVR-P54 will be constructed. A temporary ditch will need to be constructed to outlet the proposed stormwater pond through the ultimate pond outlet and should be done by others with the mass site grading as described below. STREETS The street and traffic analysis was based on the preliminary site plan prepared by Kimley-Horn and Associates dated March 4, 2020. Prepared by:Bolton&Menk, Inc. Mixed Use Campus 12019-139 Page 4 Proposed ultimate street and pedestrian walkways are as follows: Table 3.1—Proposed Street Corridor Street/ Design Corridor Speed Street Section Allowable Access Walkways (MPH) 4-lane divided parkway with Allowable access locations to the 8' wide bituminous 155th Street 40 dedicated left turn north and south of 155th Street trails on both sides lanes and landscaped are shown on Figure 9 2 of the roadway medians 1 Similar parkway to 153rd Street west of Flagstaff Avenue and 155th Street east of Pilot Knob Road 2. The depicted right-in/right-out between the two full accesses on 155th Street will be further reviewed and may be eliminated during final design The design section of the street listed above is 5" bituminous mixture on 8" class 5 aggregate base on 12" of imported select granular borrow. As part of this development, 155th Street will be extended from Pilot Knob Road to approximately 1,500 feet west of Pilot Knob Road (slightly beyond the second allowable full access as shown on Figure 8). The full street corridor with landscaped medians, left turn lanes, and walkways will be constructed. A street stub will also be provided for the future extension of a proposed street to the north. There are no traffic impacts, adverse or beneficial,to this proposed street being constructed as part of future development. A temporary cul-de-sac will be required at the western limit of 155th Street in this development. This temporary cul-de-sac will provide city emergency and maintenance vehicles a means of turning around.The cul-de-sac road surface will be bituminous pavement and will be removed during future extension of 155th Street to the west. Dimensions for the temporary cul-de-sac follow the City's standard detail plate for temporary cul-de-sacs (STR-19). Turn lanes along Pilot Knob Road for 155th Street and 157th Street will also be modified and lengthened as part of the improvements due to longer queue lengths as shown on Figure 5. INTERSECTION CONTROL Intersection control was evaluated for this project at the following intersections: • Pilot Knob Road and 155th Street • Pilot Knob Road and 157th Street • 157th Street and the Commercial Property Access Anticipated overall intersection Levels of Service utilizing different intersection control methods after the proposed development are shown below. A Level of Service F is shown in red as this is generally considered unacceptable. Where multiple intersection control methods were evaluated, the Level of Service shown in green is the proposed intersection control method. Prepared by:Bolton&Menk, Inc. Mixed Use Campus 12019-139 Page 5 Table 3.2—Intersection Level of Service Summary Intersection Intersection Control Peak LOS Method Hour Pilot Knob Road/ Side Street Stop PM 155th Street (existing condition) Signalized 2 PM Pilot Knob Road/ Signalized 157th Street (existing condition) PM C 157th Street/ Commercial Property Access Side Street Stop PM A 1. PM peak hour was determined to be the control peak hour for traffic operations. Detailed AM peak hour analysis will be completed with the Signal Justification Report 2. A signal justification report will be prepared as part of final design 3. Southbound left turning movement is anticipated to have Maximum Queue of 305'into the development site. IV. RIGHT-OF-WAY AND EASEMENTS REQUIRED All public streets and utilities will be constructed within public right-of-way or dedicated drainage and utility easements as shown on Figure 9. The right-of-way and easements must be obtained before the project bid is awarded. The right-of-way width for the proposed 155th Street corridor is 120 feet. Drainage and utility easements adjacent to the right-of-way will be 10' wide per the current City code. Additional drainage and utility easements required for public infrastructure outside of dedicated right-of-way are as follows: • 50' and 60' wide drainage and utility easements encompassing the public sanitary sewer and watermain within the commercial area • 40' wide drainage and utility easements encompassing the public storm sewer within the commercial area • A 15' wide drainage and utility easement adjacent to the 155th Street right-of-way in the northwest quadrant of Pilot Knob Road and 155th Street encompassing the watermain connection between Street A and Pilot Knob Road • A drainage and utility easement will be needed for the pond outlet pipe between WVR- P53 and WVR-P54, stormwater pond north of 155th Street (WVR-P53), and the temporary ditch connecting the stormwater pond and pond outlet pipe. As further development occurs and additional active stormwater storage is needed, additional drainage and utility easement will be required to encompass the storage area The drainage and utility easements described above and shown on Figure 9 depict the approximate locations and sizes of the required drainage and utility easements.The easements may change during final design through further coordination with the developer. Prepared by:Bolton&Menk, Inc. Mixed Use Campus 12019-139 Page 6 A drainage and utility easement will be needed for the ponding area of WVR-P54 (including pretreatment basins) and all internal public storm sewer.This area is being determined as part of the plan review of the adjacent future developments. Temporary construction easements will also be needed for the installation of private sanitary sewer and watermain service stubs along the easement within the commercial area. As a condition of ordering the project,the landowners must dedicate the land for right-of-way needs and easements as identified above. V. IMPROVEMENTS BY OTHERS Improvements to the site required for development which are required to be completed by others prior to award of a contract include the following: • Mass site grading per a grading plan to be approved by City staff • Grading of public street areas to the bottom of the proposed 12" select granular borrow section • WVR-P53 grading and clay liner construction • WVR-P54 grading, clay liner construction, and storm sewer installation Bidding of the project will occur upon the improvements described above being in-place and available. VI. REQUIRED PERMITS A permit from the Minnesota Department of Health (MDH)will be required for installation of new watermain. A permit from the Minnesota Pollution Control Agency(MPCA) will be required for installation of new sanitary sewer. As this project disturbs more than one acre of land, a Phase II General Storm Water Permit for Construction Activities from the MPCA will also be required. On past developments, City staff has required the developer to obtain the permit from the MPCA prior to construction and include the scope of work for public utility and street improvements. An existing 8" natural gas pipeline spanning east-west across the entire project area south of the proposed 155"Street is in a utility easement as shown on Figures 3 and 4. Encroachment into this easement will occur for the sanitary sewer and watermain crossing within the commercial area south of 155' Street. An encroachment agreement for work in this easement will be necessary and procured through Magellan Pipeline Company, L.P. The Vermillion River Watershed Joint Powers Organization (VRWJPO) does not require permit submittals for work within their watershed.The City serves as the Local Government Unit (LGU) responsible for stormwater management, and all final stormwater management planning will be submitted to the City during final design, however,the VRWJPO should still be made aware of the project and included in discussions related to stormwater management. Prepared by:Bolton&Menk, Inc. Mixed Use Campus 12019-139 Page 7 VII. ESTIMATED COSTS Detailed cost estimates for construction of the improvements described above have been prepared and are itemized in Appendix A. Costs for improvements by others are not included in the project cost estimates. All costs are based on anticipated pricing for the 2020 construction season. All construction costs include a 15%contingency to account for any elements of construction that are unknown at this time, and an additional 25% allowance is provided for engineering, testing, legal, and administrative costs.The following is an overall summary of the estimated costs: Table 7.1—Estimated Project Costs Summary City Project City Project City Project Item 2020-134 2020-135 2020-136 Total Phase 2 _ Phase 2 Phase 1 Sanitary Sewer $224,685.00 $0 $366,765.00 $591,450.00 Watermain $268,645.00 $0 $214,370.00 $483,015.00 Storm Sewer $420,673.00 $20,380.00 $664,150.00 $1,105,203.00 Streets $1,005,460.50 $444,425.00 $45,450.00 $1,495,335.50 Signal System $325,000.00 $0 $0 $325,000.00 Subtotal $2,244,463.50 $464,805.00 $1,290,735.00 $4,000,003.50 15% Construction $336,670.00 $69,721.00 $193,610.00 $600,001.00 Contingency Total Estimated Construction $2,581,133.50 $534,526.00 $1,484,345.00 $4,600,004.50 Cost 25% Indirect Costs $645,283.00 $133,632.00 $371,086.00 $1,150,001.00 Total Project Costs $3,226,416.50 $668,158.00 $1,855,431.00 $5,750,005.50 VIII. COST ALLOCATION The project will be funded through a combination of costs allocated to adjacent developable properties and from the City's Sanitary Utility Fund, Water Utility Fund, Storm Water Utility Fund, and Roadway Improvement Fund for utility and roadway oversizing. The cost allocations and individual parcels assessed are shown on Figure 10.The Cost Allocation Summary is included in Appendix B, and the total costs assessed to individual parcels are summarized in Appendix C. As a condition of ordering the project, the landowners are to agree to accept the identified assessments. Price deductions to be paid for by City funds are as follows: • Oversizing of sanitary sewer for sanitary sewer pipe larger than 8" • Oversizing of watermain for watermain pipe larger than 8" as shown on the City's Water Distribution System map • Trunk storm sewer (pond outlet between WVR-P53 and WVR-P54) • 155th Street parkway median costs Prepared by:Bolton&Menk, Inc. Mixed Use Campus 12019-139 Page 8 IX. PROJECT SCHEDULE The following project schedule anticipates that Phase 1 construction will begin in the late summer of 2020 and assumes that the improvements by others, right-of-way, and easements are in-place and available prior to the bid award. City Council Receives Feasibility Report, Sets Public Improvement Hearing Date June 11, 2020 City Council Holds Public Improvement Hearing, Approves Feasibility Report,Approves Plans and Specifications for Phase 1 July 9, 2020 (City Project 2020-136) and Authorizes Advertisement for Bid Phase 1 Project Bid Date August 4, 2020 Phase 1 Bid Award August 13, 2020 City Council Approves Plans and Specifications for Phase 2 (City Projects 2020-134 and 2020-135) and Authorizes Advertisement August 13, 2020 for Bid Phase 2 Project Bid Date September 15, 2020 Phase 2 Bid Award October 8, 2020 Phase 1 Substantial Completion Fall 2020 Phase 2 Substantial Completion Fall 2021 X. RECOMMENDATIONS Based on the information contained herein, it can be concluded that the construction of utility and street improvements to serve the proposed development is feasible.The improvements are necessary to allow development in accordance with the AUAR and the City Comprehensive Plan. This project is cost effective based on existing conditions and acceptable standards proposed to construct the improvements. From and engineering standpoint,this project is feasible, necessary, and cost effective. The following recommendations are therefore made: • Adopt this report as a guide for the layout, design, and cost allocation for the proposed improvements. • The City installs the public utilities and streets with construction being completed in 2021. • Copies of this report be forwarded to the developer to determine the further action to be taken. Prepared by:Bolton&Menk, Inc. Mixed Use Campus 12019-139 Page 9 Appendix A — Preliminary Cost Estimate Appendix A:Mixed Use Campus Preliminary Cost Estimate City Project City Project City Project 2020-134 2020-135 2020-136 Total No. Item Unit Unit Price Quantity Price Quantity Price Quantity Price Quantity Price PART 1-SANITARY SEWER 1 MOBILIZATION LUMP SUM $ 42,000.00 0.38 $ 15,960.00 0.00 $ - 0.62 $ 26,040.00 1.00 $ 42,000.00 2 IMPROVED PIPE FOUNDATION TON $ 35.00 5 $ 175.00 0 $ - 15 $ 525.00 20 $ 700.00 3 CONNECT TO EXISTING SANITARY SEWER PIPE EACH $ 4,000.00 1 $ 4,000.00 0 $ - 1 $ 4,000.00 2 $ 8,000.00 4'DIA SAN MH,8'DEEP,INCL R-1642 CSTG&HDPE ADJ 4 RINGS EACH $ 3,500.00 2 $ 7,000.00 0 $ - 10 $ 35,000.00 12 $ 42,000.00 5 FURNISH AND INSTALL I&I BARRIER EACH $ 300.00 2 $ 600.00 0 $ - 10 $ 3,000.00 12 $ 3,600.00 6 BORING PITS LUMP SUM $ 25,000.00 1.00 $ 25,000.00 0.00 $ - 0.00 $ - 1.00 $ 25,000.00 7 8"PVC SANITARY SEWER,SDR 26,20'-25'DEEP LIN FT $ 80.00 70 $ 5,600.00 0 $ - 700 $ 56,000.00 770 $ 61,600.00 8 8"PVC SANITARY SEWER,SDR 26,25'-30'DEEP LIN FT $ 100.00 0 $ - 0 $ - 200 $ 20,000.00 200 $ 20,000.00 9 10"PVC SANITARY SEWER,SDR 26,15'-20'DEEP LIN FT $ 85.00 140 $ 11,900.00 0 $ - 20 $ 1,700.00 160 $ 13,600.00 10"PVC SANITARY SEWER,SDR 26,20'-25'DEEP,IN CASING 10 (OPEN CUT) LIN FT $ 390.00 105 $ 40,950.00 0 $ - 0 $ - 105 $ 40,950.00 10"PVC SANITARY SEWER,SDR 26,20'-25'DEEP,IN CASING 11 (TRENCHLESS) LIN FT $ 650.00 170 $ 110,500.00 0 $ - 0 $ - 170 $ 110,500.00 12 12"PVC SANITARY SEWER,SDR 26,20'-25'DEEP LIN FT $ 140.00 0 $ - 0 $ - 410 $ 57,400.00 410 $ 57,400.00 13 12"PVC SANITARY SEWER,SDR 26,25'-30'DEEP LIN FT $ 160.00 0 $ - 0 $ - 610 $ 97,600.00 610 $ 97,600.00 14 CONSTRUCT 8"OUTSIDE DROP LIN FT $ 500.00 0 $ - 0 $ - 65 $ 32,500.00 65 $ 32,500.00 15 4'SANITARY MANHOLE OVERDEPTH LIN FT $ 200.00 15 $ 3,000.00 0 $ - 165 $ 33,000.00 180 $ 36,000.00 SUBTOTAL PART 1-SANITARY SEWER $ 224,685.00 $ - $ 366,765.00 $ 591,450.00 CONSTRUCTION CONTINGENCY $ 33,703.00 $ - $ 55,015.00 $ 88,718.00 $ 258,388.00 $ - $ 421,780.00 $ 680,168.00 INDIRECT COST $ 64,597.00 $ - $ 105,445.00 $ 170,042.00 $ 322,985.00 $ - $ 527,225.00 $ 850,210.00 Page 1 City Project City Project City Project 2020-134 2020-135 2020-136 Total No. Item Unit Unit Price Quantity Price Quantity Price Quantity Price Quantity Price PART 2-WATERMAIN 16 MOBILIZATION LUMP SUM $ 34,000.00 0.56 $ 19,040.00 0.00 $ - 0.44 $ 14,960.00 1.00 $ 34,000.00 17 CONNECT TO EXISTING WATER MAIN EACH $ 3,000.00 2 $ 6,000.00 0 $ - 1 $ 3,000.00 3 $ 9,000.00 18 FURNISH AND INSTALL 8"GATE VALVE AND BOX EACH $ 2,500.00 0 $ - 0 $ - 11 $ 27,500.00 11 $ 27,500.00 19 FURNISH AND INSTALL 12"GATE VALVE AND BOX EACH $ 3,500.00 1 $ 3,500.00 0 $ - 2 $ 7,000.00 3 $ 10,500.00 20 FURNISH AND INSTALL 16"BUTTERFLY VALVE AND BOX EACH $ 4,500.00 4 $ 18,000.00 0 $ - 0 $ - 4 $ 18,000.00 FURNISH AND INSTALL HYDRANT,INCL 6"GATE VALVE AND 21 BOX EACH $ 5,500.00 4 $ 22,000.00 0 $ - 2 $ 11,000.00 6 $ 33,000.00 22 12"WATER MAIN VERTICAL OFFSET EACH $ 3,250.00 0 $ - 0 $ - 1 $ 3,250.00 1 $ 3,250.00 23 16"WATER MAIN VERTICAL OFFSET EACH $ 4,000.00 1 $ 4,000.00 0 $ - 0 $ - 1 $ 4,000.00 24 6"WATER MAIN DUCTILE IRON CL 52,INCL V-BIO LIN FT $ 45.00 80 $ 3,600.00 0 $ - 20 $ 900.00 100 $ 4,500.00 25 8"WATER MAIN DUCTILE IRON CL 52,INCL V-BIO LIN FT $ 50.00 0 $ - 0 $ - 100 $ 5,000.00 100 $ 5,000.00 26 12"WATER MAIN DUCTILE IRON CL 52,INCL V-BIO LIN FT $ 69.00 260 $ 17,940.00 0 $ - 1,800 $ 124,200.00 2,060 $ 142,140.00 27 16"WATER MAIN DUCTILE IRON CL 52,INCL V-BIO LIN FT $ 90.00 1,750 $ 157,500.00 0 $ - 0 $ - 1,750 $ 157,500.00 28 WATER MAIN INSULATION,3"THICK SQYD $ 35.00 48 $ 1,680.00 0 $ - 16 $ 560.00 64 $ 2,240.00 29 DUCTILE IRON FITTINGS LB $ 8.50 1,810 $ 15,385.00 0 $ - 2,000 $ 17,000.00 3,810 $ 32,385.00 SUBTOTAL PART 2-WATERMAIN $ 268,645.00 $ - $ 214,370.00 $ 483,015.00 CONSTRUCTION CONTINGENCY $ 40,297.00 $ - $ 32,156.00 $ 72,452.00 $ 308,942.00 $ - $ 246,526.00 $ 555,467.00 INDIRECT COST $ 77,236.00 $ - $ 61,632.00 $ 138,867.00 $ 386,178.00 $ - $ 308,158.00 $ 694,334.00 PART 3-STORM SEWER 30 MOBILIZATION LUMP SUM $ 78,000.00 0.39 $ 30,420.00 0.01 $ 780.00 0.60 $ 46,800.00 1.00 $ 78,000.00 31 CONNECT TO EXISTING STORM SEWER PIPE LIN FT $ 1,500.00 0 $ - 7 $ 10,500.00 0 $ - 7 $ 10,500.00 32 15"RC PIPE SEWER CLASS 5,0'-10'DEEP LIN FT $ 44.00 419 $ 18,436.00 175 $ 7,700.00 0 $ - 594 $ 26,136.00 33 18"RC PIPE SEWER CLASS 5,0'-10'DEEP LIN FT $ 47.00 65 $ 3,055.00 0 $ - 450 $ 21,150.00 515 $ 24,205.00 34 24"RC PIPE SEWER,0'-10'DEEP LIN FT $ 58.00 313 $ 18,154.00 0 $ - 0 $ - 313 $ 18,154.00 35 24"RC PIPE SEWER,10'-15'DEEP LIN FT $ 65.00 0 $ - 0 $ - 300 $ 19,500.00 300 $ 19,500.00 36 27"RC PIPE SEWER,0'-10'DEEP LIN FT $ 68.00 287 $ 19,516.00 0 $ - 0 $ - 287 $ 19,516.00 37 30"RC PIPE SEWER,15'-20'DEEP LIN FT $ 95.00 0 $ - 0 $ - 200 $ 19,000.00 200 $ 19,000.00 38 30"RC PIPE SEWER,20'-25'DEEP LIN FT $ 100.00 340 $ 34,000.00 0 $ - 0 $ - 340 $ 34,000.00 39 48"RC PIPE SEWER,0'-10'DEEP LIN FT $ 200.00 50 $ 10,000.00 0 $ - 0 $ - 50 $ 10,000.00 40 48"RC PIPE SEWER,10'-15'DEEP LIN FT $ 220.00 319 $ 70,180.00 0 $ - 250 $ 55,000.00 569 $ 125,180.00 41 48"RC PIPE SEWER,15'-20'DEEP LIN FT $ 235.00 0 $ - 0 $ - 950 $ 223,250.00 950 $ 223,250.00 42 54"RC PIPE SEWER,0'-10'DEEP LIN FT $ 220.00 418 $ 91,960.00 0 $ - 0 $ - 418 $ 91,960.00 43 54"RC PIPE SEWER,15'-20'DEEP LIN FT $ 250.00 0 $ - 0 $ - 330 $ 82,500.00 330 $ 82,500.00 44 15"RC PLUG EACH $ 250.00 0 $ - 0 $ - 2 $ 500.00 2 $ 500.00 45 24"RC PLUG EACH $ 350.00 1 $ 350.00 0 $ - 2 $ 700.00 3 $ 1,050.00 46 48"RC PLUG EACH $ 900.00 1 $ 900.00 0 $ - 0 $ - 1 $ 900.00 47 2'x3'CB INCL R-3290-VB CSTG AND HDPE ADJ RINGS EACH $ 2,000.00 5 $ 10,000.00 0 $ - 0 $ - 5 $ 10,000.00 4'DIA STORM CBMH,8'DEEP,INCL R-3290-VB CSTG AND 48 HDPE ADJ RINGS EACH $ 2,750.00 11 $ 30,250.00 0 $ - 0 $ - 11 $ 30,250.00 Page 2 City Project City Project City Project 2020-134 2020-135 2020-136 Total No. Item Unit Unit Price Quantity Price Quantity Price Quantity Price Quantity Price 5'DIA STORM CBMH,8'DEEP,INCL R-3290-VB CSTG AND 49 HDPEADJ RINGS EACH $ 4,300.00 3 $ 12,900.00 0 $ - 0 $ - 3 $ 12,900.00 6'DIA STORM CBMH,8'DEEP,INCL R-3290-VB CSTG AND 50 HDPEADJ RINGS EACH $ 6,000.00 1 $ 6,000.00 0 $ - 0 $ - 1 $ 6,000.00 7'DIA STORM CBMH,8'DEEP,INCL R-3290-VB CSTG AND 51 HDPEADJ RINGS EACH $ 8,000.00 1 $ 8,000.00 0 $ - 0 $ - 1 $ 8,000.00 8'DIA STORM CBMH,8'DEEP,INCL R-3290-VB CSTG AND 52 HDPE ADJ RINGS EACH $ 50,000.00 1 $ 50,000.00 0 $ - 0 $ - 1 $ 50,000.00 4'DIA STORM MH,8'DEEP,INCL R-1642 CSTG AND HDPE ADJ 53 RINGS EACH $ 2,750.00 0 $ - 0 $ - 2 $ 5,500.00 2 $ 5,500.00 6'DIA STORM MH,8'DEEP,INCL R-1642 CSTG AND HDPE ADJ 54 RINGS EACH $ 6,100.00 0 $ 2,867.00 0 $ - 5 $ 30,500.00 5 $ 33,367.00 7 DIA STORM MH,8'DEEP,INCL R-1642 CSTG AND HDPE ADJ 55 RINGS EACH $ 8,100.00 1 $ 8,100.00 0 $ - 6 $ 48,600.00 7 $ 56,700.00 9 DIA STORM MH,8'DEEP,INCL R-1642 CSTG AND HDPE ADJ 56 RINGS EACH $ 12,000.00 0 $ - 0 $ - 2 $ 24,000.00 2 $ 24,000.00 57 5'DIA STORM OUTLET/SKIMMER STRUCTURE EACH $ 13,000.00 1 $ 13,000.00 0 $ - 0 $ - 1 $ 13,000.00 58 18"RC FLARED END SECTION,WITH TRASH GUARD EACH $ 1,700.00 1 $ 1,700.00 0 $ - 0 $ - 1 $ 1,700.00 59 30"RC FLARED END SECTION,WITH TRASH GUARD EACH $ 3,000.00 1 $ 3,000.00 0 $ - 0 $ - 1 $ 3,000.00 60 48"RC FLARED END SECTION,WITH TRASH GUARD EACH $ 6,000.00 0 $ - 0 $ - 1 $ 6,000.00 1 $ 6,000.00 61 54"RC FLARED END SECTION,WITH TRASH GUARD EACH $ 7,500.00 1 $ 7,500.00 0 $ - 1 $ 7,500.00 2 $ 15,000.00 62 4'DIA STORM MH OVERDEPTH LIN FT $ 200.00 1 $ 200.00 7 $ 1,400.00 0 $ - 8 $ 1,600.00 63 6'DIA STORM MH OVERDEPTH LIN FT $ 405.00 2 $ 810.00 0 $ - 30 $ 12,150.00 32 $ 12,960.00 64 7'DIA STORM MH OVERDEPTH LIN FT $ 550.00 0 $ - 0 $ - 45 $ 24,750.00 45 $ 24,750.00 65 9'DIA STORM MH OVERDEPTH LIN FT $ 1,000.00 0 $ - 0 $ - 25 $ 25,000.00 25 $ 25,000.00 66 RANDOM RIP RAP CLASS 3 CU YD $ 95.00 25 $ 2,375.00 0 $ - 50 $ 4,750.00 75 $ 7,125.00 67 RANDOM RIP RAP CLASS 4 CU YD $ 100.00 70 $ 7,000.00 0 $ 70 $ 7,000.00 140 $ 14,000.00 SUBTOTAL PART 3-STORM SEWER $ 420,673.00 $ 20,380.00 $ 664,150.00 $1,105,203.00 CONSTRUCTION CONTINGENCY $ 63,101.00 $ 3,057.00 $ 99,623.00 $ 165,780.00 $ 483,774.00 $ 23,437.00 $ 763,773.00 $1,270,983.00 INDIRECT COST $ 120,944.00 $ 5,859.00 $ 190,943.00 $ 317,746.00 $ 604,718.00 $ 29,296.00 $ 954,716.00 $1,588,729.00 PART 4-STREETS 67 MOBILIZATION LUMP SUM $ 105,000.00 0.67 $ 70,350.00 0.30 $ 31,500.00 0.03 $ 3,150.00 1.00 $ 105,000.00 68 REMOVE CONCRETE CURB LIN FT $ 6.00 19 $ 114.00 2,100 $ 12,600.00 0 $ - 2,119 $ 12,714.00 69 REMOVE BITUMINOUS PAVEMENT-STREET SQ YD $ 5.00 1,377 $ 6,885.00 3,050 $ 15,250.00 0 $ - 4,427 $ 22,135.00 70 REMOVE CONCRETE WALK SQ FT $ 1.00 0 $ - 14,450 $ 14,450.00 0 $ - 14,450 $ 14,450.00 71 COMMON EXCAVATION(EV)(P)-STREET CU YD $ 16.00 0 $ - 1,375 $ 22,000.00 0 $ - 1,375 $ 22,000.00 72 COMMON EXCAVATION(EV)(P)-TRAIL OR WALK CU SD $ 17.00 611 $ 10,387.00 0 $ - 0 $ - 611 $ 10,387.00 73 SUBGRADE EXCAVATION(EV) CU YD $ 17.00 188 $ 3,196.00 0 $ - 0 $ - 188 $ 3,196.00 74 SELECT GRANULAR BORROW TON $ 9.00 8,695 $ 78,255.00 4,400 $ 39,600.00 0 $ - 13,095 $ 117,855.00 75 SUBGRADE PREPARATION SQ YD $ 1.50 12,206 $ 18,309.00 4,000 $ 6,000.00 0 $ - 16,206 $ 24,309.00 76 SKID LOADER HOUR $ 150.00 10 $ 1,500.00 0 $ - 5 $ 750.00 15 $ 2,250.00 77 STREET SWEEPER(WITH PICKUP BROOM) HOUR $ 150.00 27 $ 4,050.00 0 $ - 5 $ 750.00 32 $ 4,800.00 78 AGGREGATE BASE CLASS S-STREET TON $ 14.50 6,176 $ 89,552.00 0 $ - 0 $ - 6,176 $ 89,552.00 79 AGGREGATE BASE CLASS 5-TRAIL OR WALK TON $ 18.50 917 $ 16,964.50 0 $ - 0 $ - 917 $ 16,964.50 80 BITUMINOUS MATERIAL FOR TACK COAT GAL $ 1.50 658 $ 987.00 350 $ 525.00 0 $ - 1,008 $ 1,512.00 81 TYPE SP9.5 WEARING COURSE MIXTURE(3,B)-TRAILS TON $ 90.00 383 $ 34,470.00 1,180 $ 106,200.00 0 $ - 1,563 $ 140,670.00 Page 3 City Project City Project City Project 2020-134 2020-135 2020-136 Total No. Item Unit Unit Price Quantity Price Quantity Price Quantity Price Quantity Price 82 TYPE SP 12.5 WEARING COURSE MIXTURE(4,F) TON $ 80.00 3,133 $ 250,640.00 1,050 $ 84,000.00 0 $ - 4,183 $ 334,640.00 83 FINE FILTER AGGREGATE(LV) CU YD $ 30.00 33 $ 990.00 0 $ - 0 $ - 33 $ 990.00 84 4"PERFORATED PE PIPE DRAIN LIN FT $ 15.00 188 $ 2,820.00 0 $ - 0 $ - 188 $ 2,820.00 85 CONNECT INTO DRAINAGE STRUCTURE EACH $ 250.00 2 $ 500.00 0 $ - 0 $ - 2 $ 500.00 86 ADJUST GATE VALVE EACH $ 300.00 3 $ 900.00 0 $ - 15 $ 4,500.00 18 $ 5,400.00 87 ADJUST CATCH BASIN EACH $ 175.00 6 $ 1,050.00 1 $ 175.00 0 $ - 7 $ 1,225.00 88 ADJUST MANHOLE EACH $ 400.00 1 $ 400.00 0 $ - 23 $ 9,200.00 24 $ 9,600.00 89 CONCRETE CURB AND GUTTER DESIGN B618 LIN FT $ 15.00 3,948 $ 59,220.00 2,075 $ 31,125.00 0 $ - 6,023 $ 90,345.00 90 7"CONCRETE VALLEY GUTTER SQ YD $ 85.00 94 $ 7,990.00 0 $ - 0 $ - 94 $ 7,990.00 91 4"CONCRETE MEDIAN SQ FT $ 4.50 0 $ - 10,000 $ 45,000.00 0 $ - 10,000 $ 45,000.00 92 4"DECORATIVE CONCRETE MEDIAN SQ FT $ 11.00 4,136 $ 45,496.00 0 $ - 0 $ - 4,136 $ 45,496.00 93 CONCRETE MEDIAN NOSE SQ FT $ 10.00 282 $ 2,820.00 0 $ - 0 $ - 282 $ 2,820.00 94 6"CONCRETE DRIVEWAY PAVEMENT SQ FT $ 7.00 3,055 $ 21,385.00 0 $ - 0 $ - 3,055 $ 21,385.00 95 CONCRETE PEDESTRIAN CURB RAMP SQ FT $ 12.00 602 $ 7,224.00 0 $ - 0 $ - 602 $ 7,224.00 96 TRUNCATED DOME PANEL SQ FT $ 50.00 120 $ 6,000.00 0 $ - 0 $ - 120 $ 6,000.00 2"NON-METALLIC CONDUIT INCL TRACER WIRE FOR CITY 97 FIBER LIN FT $ 10.00 2,491 $ 24,910.00 0 $ - 0 $ - 2,491 $ 24,910.00 98 4"PVC,SCH 40,1 CONDUIT FOR PRIVATE UTILITY CROSSING LIN FT $ 6.75 66 $ 445.50 0 $ - 0 $ - 66 $ 445.50 99 4"PVC,SCH 40,2 CONDUIT FOR PRIVATE UTILITY CROSSING LIN FT $ 8.75 66 $ 577.50 0 $ - 0 $ - 66 $ 577.50 100 4"PVC,SCH 40,3 CONDUIT FOR PRIVATE UTILITY CROSSING LIN FT $ 10.75 66 $ 709.50 0 $ - 0 $ - 66 $ 709.50 SOS 4"PVC,SCH 40,4 CONDUIT FOR PRIVATE UTILITY CROSSING LIN FT $ 13.00 66 $ 858.00 0 $ - 0 $ - 66 $ 858.00 102 4"PVC,SCH 40,5 CONDUIT FOR PRIVATE UTILITY CROSSING LIN FT $ 15.00 66 $ 990.00 0 $ - 0 $ - 66 $ 990.00 103 6"PVC,SCH 40,1 CONDUIT FOR PRIVATE UTILITY CROSSING LIN FT $ 10.00 66 $ 660.00 0 $ - 0 $ - 66 $ 660.00 104 TRAFFIC CONTROL LUMP SUM $ 30,000.00 0.67 $ 20,100.00 0.30 $ 9,000.00 0.03 $ 900.00 1.00 $ 30,000.00 105 SIGN PANELS TYPE SQ FT $ 50.00 150 $ 7,500.00 0 $ - 0 $ - 150 $ 7,500.00 106 PERMANENT BARRICADE EACH $ 500.00 6 $ 3,000.00 0 $ - 0 $ - 6 $ 3,000.00 107 HANDHOLE EACH $ 1,250.00 2 $ 2,500.00 0 $ - 0 $ - 2 $ 2,500.00 108 ORNAMENTAL TREE 2"CAL B&B EACH $ 600.00 82 $ 49,200.00 0 $ - 0 $ - 82 $ 49,200.00 109 EROSION CONTROL SUPERVISOR LUMP SUM $ 15,000.00 0.70 $ 10,500.00 0.14 $ 2,100.00 0.16 $ 2,400.00 1.00 $ 15,000.00 110 STORM DRAIN INLET PROTECTION EACH $ 200.00 6 $ 1,200.00 21 $ 4,200.00 0 $ - 27 $ 5,400.00 111 STABILIZED CONSTRUCTION EXIT EACH $ 5,000.00 1 $ 5,000.00 0 $ - 1 $ 5,000.00 2 $ 50,000.00 112 COMPOST GRADE 2(LV) CU YD $ 30.00 700 $ 21,000.00 0 $ - 0 $ - 700 $ 21,000.00 113 SANDY CLAY LOAM TOPSOIL BORROW(LV) CU YD $ 30.00 700 $ 21,000.00 150 $ 4,500.00 0 $ - 850 $ 25,500.00 114 FERTILIZER TYPE 3 LB $ 1.00 338 $ 338.00 0 $ - 0 $ - 338 $ 338.00 115 TURF ESTABLISHMENT LUMP SUM $ 20,000.00 0.74 $ 14,800.00 0.12 $ 2,400.00 0.14 $ 2,800.00 1.00 $ 20,000.00 116 SODDING TYPE SALT TOLERANT SQ YD $ 10.00 3,478 $ 34,780.00 950 $ 9,500.00 0 $ - 4,428 $ 44,280.00 117 SEEDING ACRE $ 500.00 1 $ 550.00 0 $ - 0 $ - 1 $ 550.00 118 HYDRAULIC MULCH MATRIX LB $ 1.00 2,778 $ 2,778.00 0 $ - 16,000 $ 16,000.00 18,778 $ 18,778.00 119 SEED MIXTURE 25-131 LB $ 5.00 300 $ 1,500.00 0 $ - 0 $ - 300 $ 1,500.00 120 4"SOLID LINE PAINT LIN FT $ 1.00 1,457 $ 1,457.00 2,800 $ 2,800.00 0 $ - 4,257 $ 4,257.00 121 4"BROKEN LINE PAINT LIN FT $ 1.50 999 $ 1,498.50 0 $ - 0 $ - 999 $ 1,498.50 122 12"SOLID LINE PAINT LIN FT $ 3.00 188 $ 564.00 0 $ - 0 $ - 188 $ 564.00 Page 4 City Project City Project City Project 2020-134 2020-135 2020-136 Total No. Item Unit Unit Price Quantity Price Quantity Price Quantity Price Quantity Price 123 24"SOLID LINE PAINT LIN FT $ 5.50 24 $ 132.00 0 $ - 0 $ - 24 $ 132.00 124 PAVEMENT MESSAGE PAINT SQ FT $ 10.00 99 $ 990.00 150 $ 1,500.00 0 $ - 249 $ 2,490.00 125 STANDARD CITY STREET LIGHTING LIN FT $ 20.00 1,269 $ 25,380.00 0 $ - 0 $ - 1,269 $ 25,380.00 126 MEDIAN IRRIGATION SYSTEM LIN FT $ 8.00 1,011 $ 8,088.00 0 $ - 0 $ - 1,011 $ 8,088.00 SUBTOTAL PART4-STREETS $1,005,460.50 $ 444,425.00 $ 45,450.00 $1,495,335.50 CONSTRUCTION CONTINGENCY $ 150,819.00 $ 66,664.00 $ 6,818.00 $ 224,300.00 $1,156,279.50 $ 511,089.00 $ 52,268.00 $1,719,635.50 INDIRECT COST $ 289,070.00 $ 127,772.00 $ 13,067.00 $ 429,909.00 $1,445,349.50 $ 638,861.00 $ 65,335.00 $2,149,544.50 PART 5-SIGNAL SYSTEM TRAFFIC CONTROL SIGNAL SYSTEM(PILOT KNOB 127 ROAD/155TH STREET) SYSTEM $ 325,000.00 1 $ 325,000.00 0 $ - 0 $ - 1 $ 325,000.00 SUBTOTAL PART 5-SIGNAL SYSTEM $ 325,000.00 $ - $ - $ 325,000.00 CONSTRUCTION CONTINGENCY $ 48,750.00 $ - $ - $ 48,750.00 $ 373,750.00 $ - $ - $ 373,750.00 INDIRECT COST $ 93,438.00 $ - $ - $ 93,438.00 $ 467,188.00 $ - $ - $ 467,188.00 SUBTOTAL PART 1-SANITARY SEWER $ 224,685.00 $ - $ 366,765.00 $ 591,450.00 SUBTOTAL PART 2-WATERMAIN $ 268,645.00 $ - $ 214,370.00 $ 483,015.00 SUBTOTAL PART 3-STORM SEWER $ 420,673.00 $ 20,380.00 $ 664,150.00 $1,105,203.00 SUBTOTAL PART 4-STREETS $1,005,460.50 $ 444,425.00 $ 45,450.00 $1,495,335.50 SUBTOTAL PARTS-SIGNAL SYSTEM $ 325,000.00 $ - $ - $ 325,000.00 SUBTOTAL CONSTRUCTION COSTS $2,244,463.50 $ 464,805.00 $1,290,735.00 $4,000,003.50 CONSTRUCTION CONTINGENCY 15% $ 336,670.00 $ 69,721.00 $ 193,610.00 $ 600,001.00 $2,581,133.50 $ 534,526.00 $1,484,345.00 $4,600,004.50 INDIRECT COSTS 25% $ 645,283.00 $ 133,632.00 $ 371,086.00 $1,150,001.00 TOTAL PROJECT COST $3,226,416.50 $668,158.00 $1,855,431.00 $5,750,005.50 Page 5 Appendix B — Cost Allocation Summary Appendix B: Table 1 - Mixed Use Campus Cost Allocation Summary Deduct for Project Cost Allocation of Total Project Costs Estimated Estimated Total Deduct for Street Sanitary Sewer Deduct for Trunk Deduct for Costs Allocated to Mixed Subtotal:Mixed Total Project Cost Item PID PID PID 1 2 3 Construction Cost Project Cost Oversizing and Watermain Storm Sewer By Others Use Campus Use Campus City Allocation 4 Properties 010350002010 010350003011 010350075014 Oversizing P Properties' City Project 2020-134-155th And Pilot Knob Roadway Improvements 155th Street Sanitary Sewer $ 258,388.00 $ 322,985.00 $ - $ (20,880.00) $ - $ - $ 302,105.00 $ 302,105.00 $ - $ - $ 302,105.00 $ 20,880.00 $ 322,985.00 _ Watermain(Commercial-West Limits) $ 135,666.00 $ 169,583.00 $ - $ (59,548.00) $ - $ - $ 110,035.00 $ 53,163.72 $ 1,853.78 $ 55,017.50 $ 110,035.00 $ 59,548.00 $ 169,583.00 Watermain(Pilot Knob Road-Commercial)6 $ 109,014.00 $ 136,268.00 $ - $ (55,354.00) $ - $ - $ 80,914.00 $ - $ - $ 80,914.00 $ 80,914.00 $ 55,354.00 $ 136,268.00 Watermain(Commercial to North) _ $ 64,262.00 $ 80,328.00 $ - $ (15,253.50) $ - $ - $ 65,074.50 $ 32,537.25 $ - $ 32,537.25 $ 65,074.50 $ 15,253.50 $ 80,328.00 Storm Sewer and Street 6 $ 1,497,163.00 $ 1,871,454.00 $ (218,599.50) $ - $ - $ - $ 1,652,854.50 $ 808,238.39 $ 28,182.74 $ 816,433.37 $ 1,652,854.50 $ 218,599.50 $ 1,871,454.00 Temporary Cul-De-Sac $ 67,985.50 $ 84,982.50 $ - $ - $ - $ - $ 84,982.50 $ - $ - $ 84,982.50 $ 84,982.50 $ - $ 84,982.50 WVR-P53 Outlet Storm Sewer $ 74,906.00 $ 93,633.00 $ - $ - $ (93,633.00) $ - $ - $ - $ - _ - $ - $ 93,633.00 $ 93,633.00 Signal Pilot Knob Road/155th Street Signal $ 373,750.00 $ 467,188.00 $ - $ - $ - $ - $ 467,188.00 $ 233,594.00 $ - $ 233,594.00 $ 467,188.00 $ - $ 467,188.00 Subtotal:City Project 2020-134 $ 2,581,134.50 $ 3,226,421.50 $ (218,599.50) $ (151,035.50) $ (93,633.00) $ - $ 2,763,153.50 $ 1,429,638.36 $ 30,036.52 $ 1,303,478.62 $ 2,763,153.50 $ 463,268.00 $ 3,226,421.50 City Project 2020-135-Orchard Place Pilot Knob Turn Lane Improvements _ Pilot Knob Road Turn Lane Modifications 155th Street Southbound Left Turn Lane $ 121,005.50 $ 151,257.50 $ - $ - $ - $ - $ 151,257.50 $ - $ - $ 151,257.50 $ 151,257.50 $ - $ 151,257.50 155th Street Southbound Right Turn Lane $ 110,195.50 $ 137,744.50 $ - $ - $ - $ - $ 137,744.50 $ - $ - $ 137,744.50 $ 137,744.50 $ - $ 137,744.50 _ 157th Street Southbound Left Turn Lane $ 86,497.00 $ 108,122.00 $ - $ - $ - $ - $ 108,122.00 $ - $ - $ 108,122.00 $ 108,122.00 $ - $ 108,122.00 157th Street Southbound Right Turn Lane $ 76,027.00 $ 95,034.00 $ - $ - $ - $ - $ 95,034.00 $ - $ - $ 95,034.00 $ 95,034.00 $ - $ 95,034.00 _ 157th Street Northbound Left Turn Lane $ 140,800.00 $ 176,000.00 $ - $ - $ - $ - $ 176,000.00 $ - $ - $ 176,000.00 $ 176,000.00 $ - $ 176,000.00 Subtotal:City Project 2020-135 $ 534,525.00 $ 668,158.00 $ - $ - $ - $ - $ 668,158.00 $ - $ - $ 668,158.00 $ 668,158.00 $ - $ 668,158.00 City Project 2020-136-Orchard Place Utility Improvements Commercial Easement I Sanitary Sewer $ 474,048.00 $ 592,560.00 $ - $ (88,981.00) $ _ - $ - $ 503,579.00 $ - $ - $ 503,579.00 $ 503,579.00 $ 88,981.00 $ 592,560.00 Watermain $ 246,526.00 $ 308,158.00 $ - $ - $ - $ - $ 308,158.00 $ - $ - $ 308,158.00 $ 308,158.00 $ $ 308,158.00 Storm Sewer $ 763,773.00 $ 954,716.00 $ - $ - $ $ - $ 954,716.00 $ - $ _ - $ _ 954,716.00 $ 954,716.00 $ - $ 954,716.00 Subtotal:City Project 2020-136 $ 1,484,347.00 $ 1,855,434.00 $ - $ (88,981.00) $ - $ - $ 1,766,453.00 $ - $ - $ 1,766,453.00 $ 1,766,453.00 $ 88,981.00 $ 1,855,434.00 TOTAL I $ 4,600,006.50 $ 5,750,013.50 _$ (218,599.50) $ (240,016.50) $ (93,633.00) $ - $ 5,197,764.50 $ 1,429,638.36 $ 30,036.52 $ 3,738,089.62 $ 5,197,764.50 $ 552,249.00 $ 5,750,013.50 Notes: 1.Estimated construction cost includes 15%contingency 2.Total project cost includes 25%indirect costs 3.On 155th Street,deduct for parkway median cost 4.For sanitary sewer,deduct for oversizing of pipe larger than 8".For watermain,deduct for oversizing of pipe larger than 8"that serves a trunk need as identified in the City's Water Distribution System map 5.Required watermain due to proposed phasing allocated to PID 010350075014.Includes deduction for oversizing of pipe larger than 8" 6.Costs assume that street areas to be graded to bottom of proposed 12"select granular borrow by developer and 12"of select granular borrow to be imported 7.A financial security in the amount of 30%of the total assessments will be required at the time of final plat Appendix C — Preliminary Assessment Roll Preliminary Assessment Roll Mixed Use Campus Parcel ID Owner Site Address Total Assessment 010350002010 ROCKPORT LLC 15303 JOHNNY CAKE RIDGE RD $1,429,638.36 010350003011 ROCKPORT LLC 15255 JOHNNY CAKE RIDGE RD $30,036.52 010350075014 ROCKPORT LLC 15497 PILOT KNOB RD $3,738,089.62 Totals $5,197,764.50 Figures .••••: "" 2019-139: Mixed Use Campus Figure 1: Location Map BOLTON Apple 11 City of Apple Valley May 2020 & MENK VallA , - 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Lh*'6llulli 71 v/ ► 7A :•,al::• �`� 1 � -®-n- mu- c �„'1\vG=..,21::m■. 11111111,.ei .04 I'r i► .nni �I► n ►a nrp_nmi �,M 'r ,mL■n.. p�13/u� it:�inn1►\'An111h.�innnll� r m f( n TF:� In.r::u ♦1 '` ♦�,iuuiumui/�n1P, Irpn AI�■ � ,;.,„��,`"O1� G� G is�- a I---.1% \11r:1: Itol',1 )J��nan �� ....,%•- AI III, 1111.111111 IIM *1-12"1,;fu: _ ^III .712 IVIIMPIIPM .i•�..I ( rim � u .® m .I.Irr i r 1 ��rnlmlC� ?F UNE■i■. . _ KIWI. /r�o -m •VillIBIAVNe4tit AI - - manna,• SS is: hStreet ] • .� lit�Lii _rr-_ n.........m il�P .: N � I HIIIIIIII ............... r,71i —Mir ;'� I III J - e1� 1 , 3Yp`��`iilii: ■i.►�I4i.♦�p. n • a ill l c' uan'I=. N e►1 ti _ in ,. s,,,�,,,,,,, 0= ■ il=iH PROJECT AREA == - • 1■♦ WV p♦$♦.Op O,z♦an �l� 7�;� _ -mA�• .J DOIL ip o ♦�iu-NE D► pp Op 4.nn ®n • ► � -. a- .P-�P ♦p.V♦♦p♦pam.� olli�i�`ItI IIIIII�JJJJJ����`����`����`����`����`����`����`����IIIIIIII n�Iln■'. mmi►�♦♦i1o■i I ► 1� .1►O i�.it♦♦9■ v piil O•+. d.♦iC. N nm�Iin I ■ c n 1 ♦♦4 :i•O•d i�1 min _ ® ,, „, • .lEg_ � _ , a ;o =ti .: U �L►�� ♦ ii� * S•nnn. a'p: : r I — Iti-=umLmArII �: un, e ••• •••• ••••• •••• ••• • 2019-139: Mixed Use Campus Figure 2: Proposed Phasing BOLTON Apple City of Apple Valley May 2020 & MENK Valley -F 1 1 150th Street (CSAH 42) ir II IIIHIIIIIHI r---- — , 1 h J C - -1 I i - - - / 010350002010 I 1 - I i I rI — - 1 - \ 1 1 1 —L —p— IF ( ' a' ' a' '1 I T li N. n - - - - _ 52nd S 1 u A . 1 i�r--� 7 II II 010350003011 1 - - 1 I II - - �_ - _1 153rd Street 1 = - - J ! , L 1 I ■ • 2020-13 : IIII L II — •R CE PILO • NO tAls,A A '7ROVE NTdi/ 7 I I I�� ! fr 1 155th Streelt l l l l l I 1--k-v 1 [ /1 ii_ / i ,I=Imor, II a .� _ _ - - - _ IIII IIIIIIIII \ IIII PHASEI '*� I ( III( ",_ u, 1 - 1 ,.... - - PHASE ! III d ;; „ \,),- CITY PROJECT 2020-136: CITY PROJECT 20'0 E A 1 ORCHARD PLACE 1 I-_ LEGEND ,; till 155TH AND ILO K •B�MN LJUTILITY IMPROVEMENTS 1 1 ROADWAY IiVt' ' • m = _ PHASE 1 WORK AREA 1 I ' ®® TAW (CITY PROJECT 2020-136) I__, ?- ®� �� _ J L e® pr PHASE 2 WORK AREA 1- . ��] , 010350075014 �� PHASE 2 METE � �� _ (CITY PROJECTS 2020 134&2020 135) ® L_J CITY PR J ECT 20 i 35:\\ �• • G G, ��' `-- I d �� I" I 7 ,i J ORCHAR PLACE •ITT K , _ _ - i = _ H', 4 — B� ��I ,� imer C-� TURN to P QVE11�1\N �• 1 nn.. �� K ��[i3� �B — - F 15 th tree I / 'IIIII2�� I I - v -r i m I l a� -I � - -7 \ ) 1 '5' mil pg§' % 1 ES /IZZ7OCCO -c 1 3 bcr,',<<\ M r - *,, \-\--\\>>2%-- - - - -or Uj 1 114 - m_ - _ - IIIIIII 1 1 J — i �► �� oc uj PHASE 2 ,t 11 2 - CITY PROJECT 2020-1354 I I ORCHARD PLACE PILOT N•�'� 1 160th t o ( H 46� , ) I a - - \ - - a L _ TURN LANE IMPROVE111 --SCALE F ET Q 2 ••• •••• ••••• •••• ••• " 2019-139: Mixed Use Campus Figure 3: Existing Conditions BOLTON Apple City of Apple Valley May 2020 & MENK Valley I , _ V 1 -3 d tr 4,064,1 ''''')_._- 1 1 1 II I I 1 1 — T 153rd Street) 1 1 1 _ — I II\ _1- / \ ( 1 1 r 11) Y � 1I 24"EMPTY STEEL t� + \ 1 / {�/f CASING FOR FUTURE 16"DIP WATERMAIN STUB 1 / \f f WATERMAIN il L I12'DIP 1� I r II _ — T 1." - I L �_ s 155tTi Street) \ - � aiVfiel fi -.1\, I� L �I Q NI I - r - a — 1 II t L � LJ 1 i -� L V � r , f� IL �,� wit 1111 _+IIII L _ r _ L '� aid 1 1 .��I �P/� �_ __ _ 4„--...iiO4„„„_.0. ' , I Eii /' _, - -LI- -ii-_ s r-t==� 4 'dal 1, 12"DIP WATERMAIN STUB = � OMIIIII � , - ,-\\ ir_L— —L 7 --r- -j EIM - /—. 17 1 -I I___..l___, ____ 401 T 1 1 1 I \ �� III 1 _- B��' or V - _ ii r1T'Th__` 1 a 1_1 j 1 - \ J '�i _� _ --_-------_____ 12"DIP 157ht�-eet % III all �,� ' _ 1— _� r f co N il:-----1-ri I / 71 E, , , . iss �� _I LEGEND _ U — _ �- =Q, W Q �— ��.� , 1 x _ __ _ ray H r ish4 �.�i : 4L EXISTING SANITARY SEWER — _I_ 7— -- I� _ — — EXISTING WATERMAIN IX I ¢ — \— J _ I i' _ — _ j o 1�IIMP 1 1 + f EXISTING WATERMAIN CASING ® I \ - J 1-,— • I� , /� i OMNI r I- zi -' - - m / EXISTING STORM SEWER H I,• Y-'• N'' '/- EXISTING GAS PIPELINE v _ \ I I o IN A c, L 1 AT �� l_- - - -1 1- — _ \ - � - - - � � �I �AlAIL� IIIIIIII oo 150th Street (CSAH 42) Y - ti :- 0 250 500 Z _ Q - - SCALE FEET Q ••• •••• ••••• •••• ••• ® 2019-139: Mixed Use Campus Figure 4: Proposed Utilities BOLTON Apple City of Apple Valley May 2020 & MENK Valley tree ‘4"/. 010350003011 010350002010 — — vitiLi As, _1 < /1 i � - � Nip, I 11 -wi i . I - 11►� -":5H — 011 4 " \ JJ\ v1- - -I I- \ i ! < , ><< 16'DIP WITHINtiO Ir — _ EXISTING I$5thl$treet / I �� ^ « �<c •— - zr », T �» I»/ J / .±._. \ \ II 1 1- T _I - _ l'i Amiricr. JJ I II 11 II I \T 1 �� � •� — 1 / / /% i - JJ L - Ii- /— r r•I L _, A r < — J e�� o L_ 7, IIIIIIII \ 1_, 1111111111110,,, ‘1.......= 3 � \ [ C '11 ' _ 010350075014 lo aN L---op'-' Eg Iff Si, -''' x v I L---� r -� _ L _I-s r i Ai,)1:011. 1, 14 L ili 1 k \ � � 4 , LEGEND =� r-is�i ,!" a tit f \ I / \ �� 1 -" 157th Stet ° e , EXISTING PROPOSED - I I i T _I � A SANITARY SEWER 0—>-0 'L �mit'-' « I I <� T-- e< �` 1 - ra> ^ ._r -I 1 ,r I a� {� \ I I I I I ) — o WATERMAIN ¢ /�I�} r \ J . /[ Y 1 I® I IV *fit___ u ' STORM SEWER ® » OO — \<� � Fr I �� o � — -.� II 1 a� —> GAS PIPELINE " — — �' L { ^ ^ � � �/ a > __ \ t _I- — — — v e� o- b r 3> =c— o zoo goo » Q \ V' �J 4-- �-[ v _I. —�.J' e -LLI--' «� SCALE F ET / " \ ••• •••• ••••• •••• ••• ® 2019-139: Mixed Use Campus Figure 5: Proposed Streets 0 BOLTON Apple City of Apple Valley May 2020 & MENK Valley I I I I — — � ' " 52ndstr -4 1 \ I I I , i - le / \ / I I 1 _1 .- --- - / 1-Viiiii I \ -- 1 . . 1220'EXTEINS�ON OF-1 T ST\REET - 1„ SOUTHBOUN1 D_EFTA D R H7URN LANES _I 1 I I I I 1 A z/ f.IN 11 N,< ral _ ,_.. 8 'FACE-TO-FACE— ---- _ �.'' _ � 4-LANE DIVIDED _ m - - -- PARKWAY 155th Street / - ca \ - — -- - -� — IIIIII u- 7N4 4,1� - ii I I I II II I I III II I IIII HH // 1 614 � n 1 I - 7. - ' r r 1 = C 71-InEr TEMPORARY I / / / I 9 - sa CUL-DE-SAC I N L - 1 w Agit 1 '11 m !Wig'A l'''- orE �,�.., 75 EXTENSION O 157TH STREET 0 .. 411 \ LII e B I •: 1` ,®." SOUTHBOUNDEFi AND BIG TURN LANES Y Eg( o�I III B , �� v I - z T 7 _ _ a l Lcl:_ _ I ( _ ca �� I I I I I I I I I 1 - _i - 1 - -_ to Ibc = 157th Sreet LEGEND dII I a I I I.I I F . _ _ Qi - - -� , � 1 o,, BITUMINOUS ROADWAY- _- - 1 ,__ 1 r - _ - - b _ N a 1 To 1 v RAISED CONCRETE MEDIAN,CURB&GUTTER / _ _ •C I �- r J m,l 1 J I — W L N 275'EXTENSI N OF 157T ET �—�—L — NOIRTH SOUND LEFT TUR NE m - CONCRETE SIDEWALK / \ `� - n / liatia ■ ^' BITUMINOUS TRAIL r / ' LL TRAFFIC SIGNAL SYSTEM \ -1 \ - - - - I I I I I I 1 I I I I I lil IJ 1 1 co 160th Street (CSAH 46) 0 250 500 Z HORZ. Q SCALE FEET Q 2 ••• •••• ••••• •••• ••• " 2019-139: Mixed Use Campus Apple Figure 6: Sanitary Sewer Service Areas BOLTON VallCity of Apple Valley May 2020 & MEN K ey - - J L - - _L i- - - 150th Street (CSAH 42) I —L \ _ L - - - _p - - - - _ J I 3.3 ACRES L L 1 INSTITUTIONAL J� Li ti,, ri J II i i 1 / _ 44 1, - -o a I I 4,:in_I R O o YI I v _ ; 1 * I ------1 i _ _ _ P str- it tir I 186.5 ACRES II _ _ MIXED USE 78.6 ACRES 1 — v —_ + I I MIXED USE — — L 153rd Street I IL _1 I Il- < ° `�� '. I 1 — = 1 I, I I1 ,I <L - IIII > 42.0 ACRES � Q — I, I.n 1 �1 a1 1 01 LOW DENSITY RESIDENTIAL co 1 m � 1- 1 \ 1 1 N _ Y 31 � N� I ( ( _L- 1 155th Street \ \ Ir \ I \\a-irf' fdPI rive \� 1 1 1�� vl 1 P � '; w�.� I ,, _k_ � , 35.8 ACRES m 1 1 'ram— v �/ / ' C-- k--J; COMMERCIAL z — — Ii L LEGEND MI _1--1 Q 1 L— — =_J 39.5 ACRES c� 7 Fs I_ IIII = EXISTING PROPOSED 1 PM M .001 _� MEDIUM DENSITY co 1 �[ SANITARY SEWER 1 11 C- r= RESIDENTIAL 1 LLUNO,I H 0 LOW DENSITY RESIDENTIAL I ® __, — L �E _cr, p I r / /,4\ 7--- - MEDIUM DENSITY RESIDENTIAL I �I / L1(9il ���ftl\IIIIL IL 1 \ L15 h Meet a / — COMMERCIAL — I I — — — \ Il ��7 - MIXED USE BUSINESS I — — Iri>1 \ 1 11 // INSTITUTIONAL _— < Y — - Nit.),7 o zso \ s\oaT� — �� — •� SCALE FEET ••• •••• ••••• •••• ••• ® 2019-139: Mixed Use Campus Figure 7: Proposed Ponding BOLTON Apple City of Apple Valley May 2020 & MENK Valley ir- -r - , . , I \ — I -T lit f1 (I I' u D E r__, -,-, I \ -1- - - IV V _ — 1 1 1� ' k. — ,__---- I 1 _ I I • �. -a - - - - . . e° ' nd�tr�- - V I % o NWL=930.75 l- 1 1 i FUTURE HWL=936.6 � l �� 1 WVR-P52 as / a L 153rd StreetllI a' 1 Y _ 9 Iii/ ilill — fat 3t WVR-P INTERIMSTORMWATERo - STORAGE. c - FUTURE PHASE J > PRETREATMENT BASI 1 L 1 fr a NWL=932.0 Inn;---. e TEMPORARY DITCH 1 HWL=936.5 �L « « « � �`; ' ; 1 ---rc-, —_--- � 155th Street i L I I (> I ( I ( /�-- HIGHLIGHTED PIPE SEGMENTS WILL BE I 1\ �JJ / H \ \' I 1\ EVALUATED DURING FI M DESIGN AND MAY 1 1• v \ / 9 '_1 IBE REMOVED.PIPE SEGMENTS WOULD BE M / -i ---- it* / / \ I � I I REPLACED WITH TEMPOR/�RYSWALESTO \ �JJ / /> I I FACILITATE INTERIM DRAINAGE - - a) I \ \ „' to I I I N �. r� I I I I I I I I I 1— . „ .c ,,; 1 1 _ --, , r"-- \ \ ,- _1 L -1 -CS I-1 ie j->---i--- L<< 7 4 I- _ »�� � ♦ 0 WVR-P54 _ 1 J C 41% . 1 r cc--- ----\\ §, 0 S Eli rj . ': iii 1 � miu � I� B , �� I 1 ���.1 ��) 157 h treet ' � « — 1 �� 1 I I — «�- �f 1-» - ,,,.. �I it. 1111 � » � n - - . - - .. )_ I / 1 1 /57 484, 7 /� w � 1 O� v — L c I 1 = 11 1 — _ c u _ M. ,V-D , r L) , 01 44 F,,,,r -- --- '\ /•*," 1:';1 , \s \>Y- ,,, , . ,-11 ,,, II J �� - / � uLA \ - I � A _ m a I LJ� 4J V Y _ r. rh WVR-P443 — I L_ 1 1 f; I 1 WVR-P443 — "1 l ., — J J 160th Street ( SAH 46) jLI I 1 \ a L _1< — — - - - - 1 0 250 500 1, » » » , » » . » » -» , L__ ___ m m (1 1 - ( I '-' y 1 ..I__.-f. _ -a- --7 - 4 } SCALE F'�ET I >p -i r ••• •••• ••••• •••• ••• " 2019-139: Mixed Use Campus Figure 8: Allowable Access Spacing - 155th Street BOLTON Apple II City of Apple Valley May 2020 & MENK Valley 1 / 1 155th Street I P7'''''' r E=== == ==_71 1 1\ \ / rr — � 1 i , 1 , i , i I _ an490' ► 600' �� g 680' / - - ' ' - re cc n 1.r cc Q il -,,, 1 z - j,.,:14 x,-01 ' Das 0 _I T. N - Y i ,3fi111 a a W \ \ 46 PP 1331/ 41 41c 0 E. Q / iii -- - I LL uk Z I- —1I > �� -.al— 855 915' 415' 475' I 00 I I \ A 1 I fI I ®L -t -1_ o 7 H I — — IT ii I a TTJTT\ 157th Street 5 � �� c1 tu3- — J SCAL 1 HORZ. FEET ••• •••• ••••• •••• ••• • 2019-139: Mixed Use Campus Figure 9: Right-of-Way and Easements Required BOLTON Apple City of Apple Valley May 2020 & MENK Valley - `-. m..0 ,p,, 11,,I l l r I I I — I � T -1 1 ` r: I I — \ I L 1 I -I y —151 1 r1e I — J I iik,, _ I � I I I I I i I I I I- — I LIHII \ T 850 ��EASEMENT AREA=159,073 SF r _ \y' 0 110 155th Street / in IAI . Y- - r ' tL _ ,--- 1 1_ _, _,I_ — —/ _L 1 °r I �I�I -3 —EASEMENT AREA — — 1 J o < 1Y50SF- — — — 1_ 1 i N \ � 1111 Falrleld Drive _ k 60' c / 155TH STREET AND ROUNDABOUT— _ —r ` ' } I/ RIGHT-OF-WAY AREA SF — 18II- --'-- I � M/ - 31 --- '" \ L_ J L___�r I „„ EASEMENT AREA=170,413 SF� Q is x I r---r L 11 L- -J .,,i.. << , I a l l l l \ L__-J \ / r---r L Fri 7- , 6-/ \ -,\ <«,,,, Eg _ L J r he \�• 0 TTI1 / \ \C� __ z 21 ,7 ) E- ,i - \ z ___ _\ _ _ _ _ _ _L 1 - �\r--- — ] i I 157ti St eet l A ( Li I- itli 1 1 I 1 1 J .. iiii 1 1 , . 1 a,... LEGEND - , _1 1 I— \ I I I „cp, REQUIRED RIGHT-OF-WAY - j7T— — _ S — _ — 00' �/ _ \ z REQUIRED EASEMENT `n tj \ — + •qo \ > 0 200 400 LJ \> J I , wror- •. -.- W Q SCALE F ET \ \ K V / �I ' I I I - — — H I— —I I 7 ••• •••• ••••• •••• ••• ® 2019-139: Mixed Use Campus Figure 10: Cost Allocation and Assessable Parcels BOLTON Apple City of Apple Valley May 2020 & MENK Valley - - J L — 1 _1 1_ — I J L— — - - z� - 1 - - - - I L J 1 Lai LLLL i 150th Street (CSAH 42) — — — — — — — — — — — — — — — — — _ — — I I — J 1 1 I I 1 I11 L Tj —1 I I M _ - - - X— I I I CI-) a 11 - v u - III i 7 1u _ Ill i 1 , - — — — — ,.._ 1 152naStre - _� J u 1 I III 010350003011 010350002010 0 _ _ O� 71 I III o = - II - 153rd Street] L J \ ^ \ J r _ = - - t 55TH MEETS•�B� UND LEFT IGHI TJRN LANE 2 II = = F I I I, _ I 1 155th Street 1 / 1 1 1 111[111 = 71 i_5tStreet ® = I h I ktA c; 't F1 ,\‘\52'FACE-TO-FACE-4LANECOLLECTORROADWAYEQUIVALENTCOSTAND WIDENING COST - r- F -r - ° FOR DEDICATED TURN LANES ALLOCATED TO ABUTTING PROPERTIES. — — — — 1 - - - VPARKWAY MEDIAN COST BY CITY - _ I I - 157th Street - \ I 1 oill PILOT KNOB ROAD TURN LANE MODIFICATIONS - - �\ _ - - 100%DEVELOPMENT COST \ - _ - - \ mm 9 - J 1 - - I57TFSTREET O'THBOUND I I I \ PILOT KNOB ROAD/155TH STREET SIGNAL SYSTEM:100%DEVELOPMENT COST -- — _ _ LL — \ — LEFT TURN LA E MODIFICATION I o — - - - 1 \ �- SANITARY SEWER OVERSIZING COST BY CITY(SIZE GREATER THAN 8") - _ - - - - I- -1 \ - o-- -I I- WATERMAIN OVERSIZING COST BY CITY(SIZE GREATER THAN 8") Y = = L I I / u_ _ co rt::o - >> TRUNK STORM SEWER COST BY CITY / U O \L 1 I I - - r - °Val ill C CC I I I - - no —> > >— SANITARY SEWER: DEVELOPMENT COST H nOO ®I a I WATERMAIN:100%DEVELOPMENT COST .g Lp[ ( _ _ \ I — \ 160t hSt reef f C�4# fi} >> STORM SEWER:100%DEVELOPMENT COST - _ I- i I I I I I I I I h I I I 13h0 I 6601 Q SCALE FEET 2 CITY OF APPLE VALLEY RESOLUTION NO. 2020- RESOLUTION RECEIVING FEASIBILITY REPORT AND CALLING FOR A PUBLIC HEARING RELATING TO 2019-139, MIXED BUSINESS CAMPUS: ADJACENT TO PILOT KNOB ROAD WHEREAS, On March 12,2020,the City Council adopted a Resolution Declaring Adequacy of Petition and Ordering Preparation of Feasibility Report for Project 2019-139, Mixed Business Campus Public Improvements, which Project consists of improvements to 155th Street, 157th Street, Pilot Knob Road and adjacent properties: and WHEREAS, a feasibility report has been prepared by Bolton & Menk for Project 2019-139, the Project has been partitioned into components of which in totality constitute Project 2019-139, Mixed Business Campus, and are identified as follows: • 2020-134 155th and Pilot Knob Roadway Improvements • 2020-135 Orchard Place Pilot Knob Turn Lane Improvements • 2020-136 Orchard Place Utility Improvements and the feasibility report was received by the council on June 11, 2020; and WHEREAS, the report provides information regarding whether the proposed improvement is necessary,cost-effective,and feasible;whether it should best be made as proposed or in connection with some other improvement; the estimated cost of the improvement as recommended; and a description of the methodology used to calculate individual assessments for affected parcels. NOW, THEREFORE,BE IT RESOLVED by the City Council of the City of Apple Valley, Dakota County, Minnesota, as follows: 1. The Council will consider the adoption of a resolution ordering the public improvements in accordance with the report and the assessment of benefitted property for all or a portion of the cost of the improvement pursuant to Minnesota Statutes, Chapter 429, at an estimated total cost of the improvement of$5,750,013.50. 2. A public hearing shall be held on such proposed improvements on the 9th day of July,2020, in the Council Chambers of the Apple Valley Municipal Center at 7 p.m., or as soon thereafter as possible, and the clerk shall give mailed and published notice of such hearing and improvement as required by law. ADOPTED this 11th day of June, 2020. Mary Hamann-Roland, Mayor ATTEST: Pamela J. Gackstetter, City Clerk 2 • ITEM: 4.J. ..... .... Apple COUNCIL MEETING DATE: June 11, 2020 Valley SECTION: Consent Agenda Description: Adopt Resolution Approving Plans and Specifications for Project 2020-102, Redwood Pond Expansion, and Authorizing Advertisement for Receipt of Bids on July 7, 2020, at 10:00 a.m. Staff Contact: 'Department/ Division: Brandon Anderson, City Engineer Engineering Division ACTION REQUESTED: Adopt resolution approving plans and specifications for Project 2020-102, Redwood Pond Expansion, and authorizing advertisement for receipt of bids on July 7, 2020, at 10:00 a.m. SUMMARY: The City of Apple Valley 2020-102 Capital Improvement Program identifies Storm water Improvements at the following location: • Redwood Pond Expansion Scope of work includes the expansion of KL-P1, Redwood Pond, located north of the intersection of Redwood Drive and 150th Street West. This project also includes modification to the existing outlet, realignment of the existing trail as well as removal and redesign of existing park features impacted by pond modifications. A map of the proposed project location is attached (Figure: 1). The expansion of KL-P1 was one of several projects recommended in the Keller Lake Subwatershed Assessment Report, by Barr Engineering Co. in 2017. The expansion and storm water modifications will increase the water quality treatment volume for a contributing watershed of approximately 170 acres. Staff expanded upon the findings of the subwatershed assessment and completed a feasibility study to identify the most cost effective method to achieve water quality treatment volumes. A Feasibility Study, completed by Barr Engineering Company, dated March 27, 2020, evaluated three alternatives for expanding Redwood Pond to increase water quality to Kellar Lake. In the Study, Alternative 2 is the preferred option for meeting the goals of improving water quality to Kellar Lake. Feasibility is attached In 2019, Braun Intertec took sediments samples within the north side of the pond. These samples showed high levels of carcinogenic PAHs within two of the sample locations. This sediment will require disposal at a landfill that is permitted to accept this waste. On December 19, 2019, Public Works staff held a neighborhood meeting to discuss stormwater improvements to Redwood Pond. The overall response from residents was positive and well received. There were some concerns raised about tree removal. Staff communicated that these concerns would be balanced in the final design with the additional water quality benefits to the pond and Keller Lake as a whole. This project is tentatively scheduled for construction in late summer/early fall of 2020 due to available grant funds from Clean Water Act (BWSR). The City of Apple Valley also received grant funds for improvements to Erickson Pond, but will delay that project until 2021 to balance available storm water funds in 2020. BACKGROUND: In 2015, excess sediment near the northeast inlet to Redwood Pond was removed by City staff. On March 14, 2019, the City Council approved a Grant Agreement with the Minnesota Board of Water and Soil Resources for Metro Based Funding towards the expansion and improvement of Redwood Pond. On July 25, 2019, City Council adopted Resolution 2020-102 Directing Preparation of Plans and Specifications for Project 2020-102, Redwood Pond Expansion. BUDGET IMPACT: Project costs and funding included in the adopted 2020 operating budget are summarized as follows: Estimated Project Costs: Construction Cost $ 460,000 Construction Contingency (10%) 46,000 Engineering, Contract Admin, Inspection, Testing, Survey 115,000 Total Estimated Cost $ 621,000 Estimated Project Funding Clean Water Fund Grant (BWSR) $ 114,890 Storm Sewer Utility 506,110 Total Estimated Funding $ 621,000 ATTACHMENTS: Map Resolution Advertisement for Bid Report / 1ssp P4 5P�C-O an. 1�1 i,..ipAiii I iiir irotIon. 0 Irt III f AFF —am , � Q vc fva. ` 1111111111111 I�i 'MI CI ii . ► n:�AIVIEMPtcfal il� I I. li =liiiii11114,61/1 nl:'ai,, r; 'a♦dlli�l�il 414�� I • ►�■ �-,� ` -.p.m,.ri Iry m i =i C li ■��\ _ _. r a' i. 'bir ri11r O■ _ � ► �y r l��9• �fII11►7 ►�A �i�v � ♦ �G:� -1119��.LL �■ Inn■. %' i .•.eir■■. 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Rd 46) 0 1500 3000 SCALE FEET 2020-102 REDWOOD POND EXPANSION •••• •••• ••• • City of Apple Valley Apple il Figure 1 Valley CITY OF APPLE VALLEY RESOLUTION NO. 2020- A RESOLUTION APPROVING PLANS AND SPECIFICATIONS AND DIRECTING RECEIPT OF BIDS FOR PROJECT 2020-102, REDWOOD POND EXPANSION WHEREAS, the Apple Valley City Council has reviewed plans and specifications for Project 2020-102, Redwood Pond Expansion; and WHEREAS, the City Council believes that the interests of the City would be best served by receiving bids based on said plans and specifications. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Apple Valley, Dakota County, Minnesota, as follows: 1. Such plans and specifications for Project 2020-102, Redwood Pond Expansion, a copy of which is on file in the office of the City Clerk and made a part hereof, are hereby approved. 2. The City Clerk is hereby authorized to receive bids for Project 2020-102, Redwood Pond Expansion at the time and place specified in the form of notice attached hereto as Exhibit A. 3. The City Clerk is further authorized and directed to cause an advertisement for said bids to be posted on the City's website and on the online Quest Construction Data Network, not less than ten (10) days prior to the opening of said bids. ADOPTED this 11th day of June, 2020 Mary Hamann-Roland, Mayor ATTEST: Pamela J. Gackstetter, City Clerk EXHIBIT A SECTION 00 11 13 ADVERTISEMENT FOR BIDS Bids will be received electronically online only by the City of Apple Valley, Minnesota, through Quest CDN, until 10:00 a.m. CST, Tuesday, July 7, 2020, at which time they will be reviewed for the furnishing of all labor, materials, and all else necessary for the following: City Project 2020-102, REDWOOD POND EXPANSION 1 LS Pond Dewatering 33 EA Clearing and grubbing 662 SY Remove Bituminous Trail 20 LF Remove and Replace Curb and Gutter 860 CY Much Excavation— Management Level 3 6455 CY Common Excavation 6400 CY Disposal of Excavated Materials 234 LF Remove Storm Sewer 1 EA Remove Manhole 3 EA Salvage and Replace Flared End Section 114 LF 18"RCP Storm Sewer Class 5 91 LF 30"RCP Storm Sewer Class 4 1 EA 30"RCP Bend 22.5 Degrees 3 EA Storm Sewer Structure 1 EA Pond Outlet Structure 2 EA SAFLE Baffle 28 CY Riprap Class III 94 TON Bituminous Mixture 11 EA 2"Diameter Tree 450 LF Floating Silt Curtain 537 CY Salvage and Replace Topsoil 6844 SY Site Grading 3356 SY Turf Establishment With related items Digital copies of the Contract Documents can be obtained at www.questcdn.com. The Quest CDN project number is 6860027. Bidders can download the Contract documents for $20 by searching for the project on Quest CDN website's Project Search page. Instructions for online bidding are attached. Please contact QuestCDN.com, prior to bidding, at (952) 233-1632 for assistance with free membership registration, downloading, and submitting bids. For electronic bids, electronic bid bonds will also be accepted through Surety 2000 using contract #6860027. The bid bonds must be payable to the City of Apple Valley in the amount of five percent (5%) of the amount of bid, to be forfeited as liquidated damages in the event that the bid is accepted and the bidder shall fail to promptly enter into a written contract and furnish the required bond. Direct inquiries to Engineer's Project Manager Brandon Anderson at (952) 953-2490. No bidder questions will be addressed after 10:00 am on Thursday,July 2, 2020. Bid Security in the amount of 5 percent of the amount of the Bid must submitted through Surety 2000 and accompany each Bid in accordance with the Instructions to Bidders. The Owner reserves the right to retain the deposits of the 3 lowest Bidders for a period not to exceed 60 days after the date and time set for the Opening of Bids. No Bids may be withdrawn for a period of 30 days after the date and time set for the Opening of Bids. CITY OF APPLE VALLEY ADVERTISEMENT FOR BIDS 2020-102 00 11 13 The Owner reserves the right to reject any and all Bids, to waive irregularities and informalities therein, and further reserves the right to award the Contract to the best interests of the Owner. This project is subject to Minnesota Department of Labor and Industry Prevailing Wage and Truck Rental Rates. Pamela J. Gackstetter, City Clerk City of Apple Valley, Minnesota resourceful. naturally. BARR engineering and environmental consultants Memorandum To: City of Apple Valley From: Joe Waln, P.E. Subject: Feasibility Assessment Date: March 27, 2020 Project: 23191419.00 Redwood Pond Expansion This memo summarizes the feasibility assessment for modifying Redwood Pond to increase its ability to improve water quality for stormwater draining to Keller Lake.This analysis was undertaken to implement recommendations in the Keller Lake study (Barr, 2017). The 2017 Keller Lake study evaluated 13 different stormwater best management practices (BMPs) for improving the water quality in Keller Lake.The expansion of Redwood Pond ranked highly among the 13 BMPs for the potential water quality benefits relative to project cost. 1 .0 Site Characterization Barr staff met with City staff on site on September 20, 2019, to discuss project goals, site constraints, and other design considerations. City staff provided the following data to Barr: • Record drawings from various pond improvements over the past several decades • Tree inventory and topographical survey data of the proposed project area • Storm structure measure-down information at existing storm sewer structures • Design drawings for the outlet control structure • Soil borings and sediment testing results • Geotechnical Evaluation Report (Braun, 2019) • Pond Sediment Sampling Report (Braun, 2020) Redwood pond is a constructed stormwater pond that receives stormwater runoff from approximately a 170-acre area.The pond was constructed between 1957 and 1964 but has been modified multiple times in subsequent years. Record drawings from 2004 show the pond bottom with a berm that created two cells.The berm is below the normal water level for the pond. Record drawings from 2015 show a new outlet control structure for the pond, which is still in place and maintains a normal water level in the pond of 950.0. Barr Engineering Co.4300 MarketPointe Drive,Suite 200, Minneapolis, MN 55435 952.832.2600 www.barr.com To: City of Apple Valley From: Joe Waln,P.E. Subject: Feasibility Assessment Date: March 27,2020 Page: 2 2.0 Wetland Assessment The information reviewed by Barr does not indicate that Redwood Pond was previously a wetland. Below is a description of Barr's review. Attachment 1 provides wetland assessment figures. • The National Wetland Inventory identifies this as an isolated, excavated, shallow open-water pond with an unconsolidated bed. • Available soil mapping information does not provide a map unit within the area of the pond. It is just indicated as open water. The soils surrounding the pond are mapped as well-drained urban land-Kingsley complex, 15 to 25 percent slopes, and urban land-Waukegan complex, 0 to 1 percent slopes, both of which have a hydric classification of 0%, which designates them as non- hydric soils. • The LiDAR topography indicates unnatural excavated contours. • Historic aerial imagery indicates that the pond was constructed by 1964. Imagery prior to pond excavation from 1957, 1951, and 1937 does not indicate the presence of wetland within the location of the pond. However, wetlands may not be visible due to tree canopy cover in this area. The tree cover appears slightly different in the area of the pond, but it is unclear whether this is evidence of surface water or just variation in the tree canopy.The 1957 imagery appears to show fewer trees in this area; but, again, it is unclear whether there is surface water in this location. • There don't appear to be any wetlands adjacent to or within the immediate vicinity of the pond. 3.0 Sediment Assessment This task was performed by others. A copy of the sediment assessment report is included as Attachment 2. The study concluded that sediment from the lower two-thirds of the pond (south cell) are suitable for unrestricted reuse. Sediment from the north cell of the pond was found to be contaminated and will require disposal at a landfill that is permitted to accept waste material. 4.0 Possible Site Design Options Barr prepared several potential expansion alternatives for City staff to consider.Two alternatives were selected as most viable. Alternative 1 would be a partial pond expansion. It would not create the additional volume assumed in the Keller Lake study (Barr, 2017), but it would minimize impacts to large, high-value trees. Alternative 2 would be the full expansion. It would avoid removal of one of the two largest trees on the west side of the pond. It would also require some modifications to existing storm sewer pipes and structures. Both alternatives include a minor modification to the pond's outlet control structure to provide extended detention.Attachment 3 contains figures showing existing conditions and the two alternatives. To: City of Apple Valley From: Joe Waln,P.E. Subject: Feasibility Assessment Date: March 27,2020 Page: 3 The City held a public engagement meeting on December 19, 2019, to gather feedback on the proposed alternatives. Residents who attended the meeting were generally supportive of the pond expansion. Concerns raised during the meeting were: • Residents would like to see both of the large oak trees to remain, but they understand if the one on the north end of the pond must go. • Residents would like the trail to be located as close as possible to the pond, thus keeping it as far away from their backyards. • Residents were all concerned about tree removal and providing screening for their backyards. • Residents appreciate that we are trying to work around the existing garden and trees. Based on this feedback,the City directed Barr to proceed with the 30-percent design of Alternative 2. Attachment 4 is the 30-percent design plan set. Attachment 5 is the Engineer's opinion of probable cost for Alternative 2. 5.0 Hydraulic Analysis The following tasks were completed during the hydraulic analysis. • Updated the XP-SWMM model of the area to reflect record drawings for the current Redwood Pond outlet control structure. • Simulated three scenarios for modifying the outlet control structure to increase hydraulic residence time for the 1-year and 2-year storm events, without significantly affecting the 100-year water surface elevation for the pond. • Simulated one scenario with a modified outlet structure and a smaller pond expansion that would minimize impacts to large, high-value trees adjacent to the pond. • Simulated one scenario with a modified outlet structure and maximum expansion of the pond, as defined in the Keller Lake study. The hydraulic analysis demonstrated that it is feasible to modify the outlet control structure to provide extended detention in the pond above the normal water level.This could be accomplished by raising the internal weir in the outlet control structure and creating orifices through the weir that slow the release of water from the pond after a storm event.The modification would not change the normal water level for the pond.The height of the weir and size of the orifices will be optimized during final design. The hydraulic model was used to develop stage storage data for the water quality modeling of the pond expansion scenarios. To: City of Apple Valley From: Joe Waln,P.E. Subject: Feasibility Assessment Date: March 27,2020 Page: 4 6.0 Conceptual Design and Pollutant Removal Estimates Water quality modeling for the pollutant removal estimates was completed in P8 using the existing conditions model from the City of Apple Valley's 2017 Keller Lake Subwatershed Assessment Project. The existing conditions P8 model was updated to reflect bathymetric survey data and the current outlet control structure configuration provided by the City in 2019. The P8 model was then used to evaluate the estimated annual pollutant removal estimates for several alternatives.Table 1 summarizes the Redwood Pond water quality treatment volume, annual total phosphorus removal, increase in total phosphorus removal from existing conditions, and the total phosphorus removal efficiency for the following scenarios: • Existing conditions (from the 2017 study) • Existing conditions (updated with more recent data) • Alternative 0— Modification of the outlet for extended detention (no modifications to pond storage) • Alternative 1 — Partial pond expansion to avoid impacts to large trees and modification of the outlet control structure to provide extended detention. • Alternative 2 — Full pond expansion based on the Keller Lake study and modification of the outlet control structure to provide extended detention. The Redwood Pond extended detention and pond expansion concept evaluated in the 2017 Keller Lake Subwatershed Assessment study (alternative KL-10 of that study) estimated that the project could remove 10.8 pounds of total phosphorus per year. Based on information recently provided by the City, the updated existing conditions P8 model results indicate that the water quality treatment volume of the existing pond and outlet control structure currently provides more total phosphorus removal than estimated in the 2017 study (5.4 pounds more per year), due to a higher normal water level and a deeper pond than previously understood. But, not as much as is called for in the Keller Lake Subwatershed Assessment study. So additional treatment is desired. Alternative 0 would increase the total phosphorus removal by 3.5 pounds per year relative to the updated existing conditions. Alternative 1 would increase total phosphorus removal by 1 pound per year relative in addition to the 3.5 pounds removed by providing extended detention alone, for a combined total of 4.5 pounds per year relative to existing conditions. Alternative 2 would increase total phosphorus removal by 2.3 pounds per year in addition to the 3.5 pounds removed by providing extended detention alone, for a combined total of 5.8 pounds per year relative to existing conditions. To: City of Apple Valley From: Joe Waln,P.E. Subject: Feasibility Assessment Date: March 27,2020 Page: 5 Table 1 P8 model results for Redwood Pond scenarios Water Qua Treatment Volume Increase in TP Permanent TP TP Removal Pool) Removal Removal Efficienc - - • (ac-ft) (Ibs/yr) (Ibs/yr) (%) • Existing Conditions 3.4 55.7 -- 45.2 Using available pond data (2017 Keller Lake compiled from previous Subwatershed studies(UAA,TMDL, and Assessment Study) Hydrologic and Hydraulic model development) Existing Conditions 8.8 61.1 -- 49.3 Reflects outlet and pond Updated (2019 bathymetric data provided by Redwood Pond the City of Apple Valley as part Improvements) of this current Redwood Pond study Alt 0 - Extended 8.8 64.6 3.5 52.1 No pond expansion Detention Only Alt 1 —Partial Pond 9.8 65.6 4.5 52.9 Avoids impacts to large trees Expansion with Extended Detention Alt 2—Full Pond 11.1 66.9 5.8 54.0 Similar to Keller Lake Study Expansion (2017) recommendation (30%Design) with Extended Detention 7.0 Schedule The project is partially funded with a grant from the Board of Soil and Water Resources (BSWR). Grant funding must be spent by the end of 2021. City staff would like to complete construction of pond in the fall of 2020 to stay within the grant window and have construction occur after the recreation center pool closes at the end of the summer. The anticipated schedule for the project is: • June 11, 2020 City Council approves plans and specifications and authorizes receipt of bids • July 23, 2020 City Council awards agreement for construction date • September 9, 2020 Construction start • October 31, 2020 Construction finish To: City of Apple Valley From: Joe Waln,P.E. Subject: Feasibility Assessment Date: March 27,2020 Page: 6 8.0 Summary Alternative 2 is the City's preferred alternative for meeting the goals of this project. The existing pond was found to be deeper than what was assumed during the Keller Lake study (which called for 10.8 additional pounds per year to be removed by Redwood Pond). Taking into consideration the pond's current treatment volume and the goals for the Keller Lake Plan, it was determined that Redwood Pond should provide at least 5.8 pounds of phosphorous removal over what is currently provided. Modeling indicates that Alternative 2 will meet the phosphorous removal goal for Redwood Pond. Because less increased treatment is needed to meet the Keller Lake objectives, less overall disturbance is required in Redwood Pond. Attachments 1. Wetland Assessment Figures 2. Pond Sediment Sampling Redwood Pond Expansion [Report] 3. Pond Expansion Alternatives Figures o Figure 1 — Existing Conditions o Figure 2—Alternative 1 — Partial Expansion o Figure 3 —Alternative 2— Full Expansion 4. Alternative 2— 30% Design Plans 5. Alternative 2— Engineer's Opinion of Probable Cost Attachment 1 Wetland Assessment Figures 4. • - - .. _ _ ii -,may / . • . ... 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' , It% — ,I ` * #Y g * } -' ir it ; • : • — ha = t Oh _ — 1991 Dakota County Aerial Imagery Redwood Park Pond Feet Apple Valley, MN 200 100 0 200 i. ait o tob* Whit iakDr • • t * - rl} ++ 10, e lot f ; �` # 1, k _ • ! F 14, ilb. .. . irer .i, .e. #+t •1. ! a" 4` 7+ '...•'• - it.,.. V•14V. r rr itk dr..._ - _i # s ... .4 + a ,• r. -... . .. • , ,._44...i.. , //' . 9 ... F4104/11"111V 4111 t .-.r ' .: 01 .•- III ,,,..L ki . • •_ - . ; ._ _ - * t ' + ] } + .2 • . • .. 04 ; :NI, la •Slih ii,• v II 12/ 150th St W r La • E 150th St W �r - • 4 ; . . —sue- w r — ., ... 4., a _ _. , , , _ : , .- . • - II 4 • P- SSG t o _ .. -- r o. lr agfairgaiAllik 1 46., i•- -cr ,.. . . . • 1970 Dakota County Aerial Imagery Redwood Park Pond Feet Apple Valley, MN 200 100 0 200 / i 4u'P i r 1 — - ' g w g. } . i 1 . . it, . F a ` i + Whited 4' ,11,' 111 . \Vow - lt- I:171 . uoirivo i . L. ," .....A. A - ID r ip } ; !IT- .... _...„ii -T --ri illif :'I\ g 71. Io0 flP , • : VII -IP ! +' ' 0.- 111111 •tie wir * r dr am , b pm. oep • . - ii rill 4. 11 !VA\ 114 • ore Dr Rushm ._ 1964 Dakota County Aerial Imagery Redwood Park Pond Feet Apple Valley, MN 200 100 0 200 I ,iiik. . . •,, . ,.....,. . .„,,, - ii.,„, ... , ,,,, •,.,. . .. , . .. , .. ..,,,,. i„,,-..„,„ . . .. ., , , sir • yr le , ritee .IP . ... - 1410 _ _ I . =- - • rCrj 14. -4111111e" ' - . ' • "e4.44 ; .i.r... WhiteDr . - . di - ► .4 . % D .P OW Ogigi . ' - litt.1V is Tale.* . -. b., . 7 ...atitioi, - .. i �ir 'IF.•. klililliPill 1:4Ad‘i - wWA--.4'' l op . .iii. . r+;Ira-f- IC/ • .rI*11 -. #Yid'-8 . ' ilk . 101 ' ate`.. i IF.' ... A ,�. ' ,a 2 150thStW +`i' i _ E 150th St W ". w . it • fiA . Ir - 1 r U. .. • Rushmore Dr 1957 Dakota County Aerial Imagery Redwood Park Pond Feet Apple Valley, MN 200 100 0 200 fir T._ . ..! dr., i I • . .... w . ir i • . -' 4 , 0 s O !esi, je®ajr . + • iti As +. :lit .111r .. 111/:!..A : I r 41# -Sir" P '- • . #r • • I. • tie. IP I NO a .Anike:ra "A`. i A - ` ., ' +r .447&?"1-Av'T •- . % ` ' ` • 44 Jill IP VS IIPP • .1 -.. ISA } TAI '+ 42 -.. 150th St W 0 E 150th St W Ai _ 111 ..Al. {, - ti. ,,,, . , . .- , . ,- iihi. ii.„ ,„0. , 0 . . aghaarG Cu ______\ 0 , . I - _ .-- - 1951 Dakota County Aerial Imagery Redwood Park Pond Feet Apple Valley, MN 200 100 0 200 4 6. g 1 i White o( 1 Drilk sF ; itoridi lei . 4 i i'''..: • . .10..._ T. _ _IlL -ma.. i %IL 4111 8 * I . .160 . i 111111111Ht ill ' . ,:i 1 _.....7 .\E, . II 1 '-V IIIPMEIMF'W W -. Mu, lb14- ---w- Ilk I' 1 - . Ir_T- ‘- i ill9P- . r o • Rushmore Er 1937 Dakota County Aerial Imagery Redwood Park Pond Feet Apple Valley, MN 200 100 0 200 Attachment 2 Pond Sediment Sampling Redwood Pond Expansion [Report] 1111 Pond Sediment Sampling Redwood Pond Expansion Apple Valley, Minnesota Prepared for City of Apple Valley B RAJ N Project B1908106.00 January 14, 2020 INTERTEC Braun Intertec Corporation The Science You Build On. BRAUN Braun Intertec Corporation 1826 Buerkle Road Phone:651.487.3245 Fax: 651.487.1812 INTERTEC Saint Paul,MN 55110 Web: braunintertec.com The Science You Build On. January 14, 2020 Project B1908106.00 Mr. Brandon Anderson City of Apple Valley 7100 147th Street W Apple Valley, Minnesota 55124 Re: Pond Sediment Sampling Redwood Pond Expansion Apple Valley, Minnesota Dear Mr. Anderson: As authorized, Braun Intertec Corporation completed the pond sediment sampling activities at the above-mentioned pond in Apple Valley, Minnesota.The objective of the work was to characterize the in-place sediment(future material to be excavated) for potential disposal purposes. Sediment Sampling Procedures The above-referenced pond had a surface area of more than one acre and therefore required a minimum of three sample locations per Minnesota Pollution Control Agency(MPCA) guidance.The analytical samples tested were comprised of sediment composites (excluding original pond bottom materials) from the 0-to 5-foot interval (or a shorter interval that was appropriate based on the sediment thickness) from three sampling probe locations per analytical sample. Multiple sampling probe locations were completed in order to create representative samples of the sediments that will be excavated from the pond. During sampling activities, soil sample textures were evaluated by visual methods as the samples were collected and noted in the field notes. Hand-driven clean liners were used for sample collection at each sampling location. Any reusable drilling tools used were cleaned prior to sampling runs by washing the equipment with a brush and potable water containing trisodium phosphate and rinsing the equipment with deionized water. The samples were transferred to clean laboratory-supplied containers, preserved in accordance with Braun Intertec Standard Operating Procedures(SOPs), and transported to the Pace Analytical Services laboratory for analysis. Chain-of-Custody procedures were initiated at the time of sampling and maintained throughout the process. Sample locations are depicted on Figure 1. BRAUN INTERTEC City of Apple Valley Project B1908106.00 January 14, 2020 Page 2 Background/Project Narrative Three samples (SS-1 to SS-3) were collected in August 2019 for initial characterization of the sediment in the northwestern portion of the pond.Analytical results of these samples revealed concentrations of the Benzo(a)pyrene (BaP) equivalent above the MPCA Industrial Soil Reference Value (SRV) of 3 milligrams per kilogram (mg/kg) in two (SS-2 and SS-3) of the three sample locations. Stormwater pond sediments with BaP equivalents above the Industrial SRV are considered to be Dredge Management Level (DML) 3 category material,which disposal at a permitted landfill. In order to evaluate the approximate extent of DML 3 material present within the project area, two additional composite samples (SS-4 and SS-5)were collected between the locations of samples SS-1 and SS-2. Sample Analytical Parameters Only pond sediment was collected for testing from each composite location. In the event that original pond bottom materials (typically a lean clay) were encountered,the pond bottom materials were logged but not sampled for chemical analysis. Each of the three samples was analyzed for the following parameters: ■ Arsenic by SW-846 Environmental Protection Agency(EPA) 6020. ■ Copper by SW-846 EPA 6010. ■ Polycyclic Aromatic Hydrocarbons (PAHs) listed in Appendix A of MPCA Dredge Managing Stormwater Sediment Best Management Guidance Practice for Municipalities. Results Sediment Profile Sediments observed during the completion of the southwestern-most probes (SS-1 composite) along the northwest side of Redwood Pond were minimal, but consisted primarily of black and gray fine-to medium-grained sand to a depth of 2 feet below the top of sediment.The sand was mixed with black and gray lean clay, which appeared to represent the native pond bottom. Black organic muck mixed with sand and silt was encountered in the central sample locations (SS-2, SS-4 and SS-5 composites) along the northwest side of Redwood Pond to a depth of 1.5 feet below the top of sediment. Dark gray to black clay was encountered in this area at a depth of 1.5 feet below top of sediment and again appeared to be the native pond bottom material. BRAUN INTERTEC City of Apple Valley Project B1908106.00 January 14, 2020 Page 3 Sediments encountered consisted primarily of gray medium-to coarse-grained sand in the northern most probes (SS-3 composite) of Redwood Pond to a depth of 5 feet below the top of sediment. A hard bottom beneath the sediment was felt while collecting sediments in this area, but no clay like material was recovered from the probes.The encountered hard sediment was assumed to be native clay representative of the pond bottom. No distinct odors or staining were noted in the sediments collected from the probes. Sediment Chemistry ■ Arsenic was detected above the laboratory method reporting limits (MRL) in four of the five of the samples analyzed at concentrations ranging from 2.3 to 6.0 mg/kg. The detected concentrations of arsenic were below the MPCA Residential SRV of 9 mg/kg and meet Dredge Management Level (DML) 1 criteria. ■ Copper was detected in all of the samples analyzed at concentrations ranging from 9.3 to 21.6 mg/kg.The detected concentrations of copper were below the MPCA Residential SRV of 100 mg/kg and meet DML 1 criteria. ■ Non-carcinogenic PAHs were detected in all of the samples analyzed. In each case, the concentrations were below the Residential SRVs and meet DML 1 criteria. ■ Carcinogenic PAHs were detected at concentrations above the laboratory MRL in each sample. Benzo(a)pyrene (BaP) equivalent values were calculated pursuant to MPCA Dredged Material guidelines. In instances where carcinogenic compounds were not detected at or above the laboratory MRL, a value of half of the applicable MRL was used in the BaP calculation. The BaP equivalents calculated for the samples ranged from 0.43 mg/kg to 9.78 mg/kg.The BaP equivalents for samples SS-2 and SS-3 were 9.66 mg/kg and 9.78 mg/kg, respectively, which exceed the MPCA industrial SRV of 3 mg/kg and meet DML 3 criteria. Calculated BaP equivalent values for samples SS-1, SS-4 and SS-5 were below the MPCA residential SRV of 2 mg/kg and meet DML 1 criteria. Please refer to Table 1 for a detailed summary of the analytical results. Recommendations Based on analytical results from our sampling and testing, stormwater sediments from the approximate southern two-thirds of Redwood Pond (sample locations SS-1, SS-4&SS-5) are suitable for unrestricted reuse (DML 1). However, stormwater sediments in the northern third of the pond (sample locations SS-2 and SS-3)fall within DML 3 and will require disposal at a landfill permitted to accept such wastes. BRAUN INTERTEC City of Apple Valley Project B1908106.00 January 14, 2020 Page 4 General Our scope of our work was determined by our understanding of the rules and guidance of the MPCA as they apply to needs of the City of Apple Valley.Therefore, the scope of work is not represented to conform explicitly to current MPCA written guidance. We appreciate the opportunity to provide our professional services on this project, and look forward to working with the City of Apple Valley in the future. Please call Mark Ciampone at 651.487.7015 if you have questions about the report or require additional information. Sincerely, BRAUN INTERTEC CORPORATION Rich ISA:Fons Staff Scientist Mark A. Ciampone, PG Group Manager, Senior Scientist Attachments: Table 1: Pond Sediment Analytical Results Figure 1: Sediment Sampling Location Map Laboratory Analytical Reports BRAUN INTERTEC Table 1 Pond Sediment Analytical Results BRAUN INTERTEC Table 1 Pond Sediment Analytical Results Redwood Pond Expansion-City of Apple Valley Project B1908106.00 Parameters Regulatory Standards Sample Identifiers with Dates and Times Collected Dredge Mgmt. Dredge Mgmt. Level 1 Level 2 SS-1 SS-2 SS-3 SS-4*** SS-5**** mg/kg mg/kg 8/15/2019 11:00 8/15/2019 10:45 8/15/2019 10:30 11/6/2019 13:00 11/6/2019 13:30 Metals(mg/kg) Arsenic 9 20 2.3 2.3 <1.2 3.5 6.0 Copper 100 9000 19.6 19.5 9.3 21.6 11.7 Non-carcinogenic Polycyclic Aromatic Hydrocarbons(PAHs)(mg/kg) Acenapthene 1,200 5,260 <0.014 0.095 0.14 <0.015 <0.012 Acenapthylene na na <0.014 <0.087 <0.062 <0.015 <0.012 Anthracene 7,880 45,400 <0.014 0.32 0.45 0.021 <0.012 Benzo(g,h,i)perlyene na na 0.066 1.4 1.3 0.11 <0.012 Fluoranthene 1,080 6,800 0.15 4.3 5.2 0.34 0.027 Fluorene 850 4,120 <0.014 0.099 0.18 <0.015 <0.012 2-Methylnapthalene 100 369 <0.014 <0.087 <0.062 <0.015 <0.012 Naphthalene 10 28 <0.014 <0.087 <0.062 <0.015 <0.012 Phenanthrene na na 0.055 1.9 2.7 0.13 <0.012 Pyrene 890 5,800 0.13 3.6 4.2 0.27 0.020 Potency Equiv. Carcinogenic PAHs&BaP Equiv.(mg/kg) Factor(PEF) Site Conc. BaP Equiv. Site Conc. BaP Equiv. Site Conc. BaP Equiv. Site Conc. BaP Equiv. Site Conc. BaP Equiv. Benz[a]anthracene 0.10 0.063 0.006 1.600 0.160 1.900 0.190 0.100 0.010 0.006 0.001 Benzo(a)pyrene 1.00 0.076 0.076 1.600 1.600 1.900 1.900 0.120 0.120 0.006 0.006 Benzo(b,j&k)fluoranthenes 0.10 0.066 0.007 3.600 0.360 3.800 0.380 0.310 0.031 0.018 0.002 Chrysene 0.01 0.099 0.001 2.100 0.021 2.300 0.023 0.200 0.002 0.015 0.000 Dibenz[a,h]acridine 0.10 0.007 0.001 0.044 0.004 0.031 0.003 0.008 0.001 0.006 0.001 Dibenz[a,h]anthracene 0.56 0.016 0.009 0.350 0.196 0.360 0.202 0.025 0.014 0.006 0.003 7H-Dibenzo[c,g]carbazole 1.00 0.007 0.007 0.044 0.044 0.031 0.031 0.008 0.008 0.006 0.006 Dibenzo[a,e]pyrene 1.00 0.007 0.007 0.750 0.750 0.790 0.790 0.059 0.059 0.006 0.006 Dibenzo[a,h]pyrene 10.00 0.007 0.070 0.320 3.200 0.330 3.300 0.026 0.260 0.006 0.060 Dibenzo[a,i]pyrene 10.00 0.007 0.070 0.100 1.000 0.130 1.300 0.008 0.075 0.006 0.060 Dibenzo[a,l]pyrene 10.00 0.007 0.070 0.044 0.435 0.031 0.310 0.008 0.075 0.006 0.060 7,12 Dimethylbenz-anthracene 34.00 0.007 0.238 0.044 1.479 0.031 1.054 0.008 0.255 0.006 0.204 Indeno[1,2,3,-c,d]pyrene 0.10 0.053 0.005 1.100 0.110 1.200 0.120 0.088 0.009 0.006 0.001 3-Methylcholanthrene 3.00 0.007 0.021 0.044 0.131 0.031 0.093 0.008 0.023 0.006 0.018 5-Methylchrysene 1.00 0.007 0.007 0.170 0.170 0.083 0.083 0.029 0.029 0.006 0.006 (BaP)Equivalent** 2 mg/kg 3 mg/kg 0.59 0.97 0.43 Dredge Management Level 1=results less than SRV 1(suitable for residential land use) Dredge Management Level 2=results less than SRV 2(suitable for industrial land use) Dredge Management Level 3-exceeds SRV 2(must be treated or disposed in a landfill with MPCA approved industrial waste management plan) **BaP Equivalent-this sheet is set up to multiply the sample concentration for each parameter by the Potency Equivalency Factor(PEF)and sum them to determine the BaP Equivalent for each sample allowing comparison to the Dredge Management Levels ***SS-4 is listed as SS-3 in the laboratory report dated November 20,2019 ****SS-5 is listed as SS-4 in the laboratory report dated November 20,2019 § Benzo-b,Benzo-j and Benzo-k fluoranthene are reported together mg/kg=milligrams per kilogram Figure 1 Sediment Sampling Location Map BRAUN INTERTEC F:\2019\B1908106-00.dwg,Sediment,1/8/2020 6:17:48 AM ipp. .. is • %j& , .4 SS-3 'lir. - • fi41fr r, . • •� : - r So• If - ' � rill'$-4 � Alc i 1� SS-1 i biht - til 1 `ter ..� • . Oak - I I . + a 150TH STREET W • • 1 S 40% SEDIMENT SAMPLE LOCATION I 41.•/ 50' 0 100' SCALE: 1"=100' Project No: B RA1U N B1908106.00 Sediment Sampling Sediment NTERTEC Drawing No: Sampling 1 sir Y�ev>iao� B1908106-00 Redwood Pond Location Map Drawn By: LAO 11001 Hampshire Avenue S Date Drawn: 9/11/19 Minneapolis,MN 55438 Checked By: MC Apple Valley,Minnesota ss2.sss.2000Figure 1 braunintertec.com Last Modified: 10/2/19 Laboratory Analytical Reports BRAUN INTERTEC aceAnalytical Pace Analytical Services,LLC te ® 170lm Stree eapol st,MN155410 M n 4 wwwpacelabs.com (612)607-1700 August 26, 2019 Mark Ciampone Braun Intertec 11001 Hampshire Ave S. Bloomington, MN 55438 RE: Project: B1908106.00 Redwood Pond Pace Project No.: 10487631 Dear Mark Ciampone: Enclosed are the analytical results for sample(s) received by the laboratory on August 15, 2019. The results relate only to the samples included in this report. Results reported herein conform to the most current, applicable TNI/NELAC standards and the laboratory's Quality Assurance Manual, where applicable, unless otherwise noted in the body of the report. If you have any questions concerning this report, please feel free to contact me. Sincerely, Bob Michels bob.michels@pacelabs.com (612)709-5046 Project Manager Enclosures spa ACcFO i', / ) REPORT OF LABORATORY ANALYSIS // This report shall not be reproduced,except in full, \... d without the written consent of Pace Analytical Services,LLC. Page 1 of 23 4e0 Pace Analytical Services,LLC 0 te 200 _ aceAnayical® 170M Minneapolis,eapol s,MNm Street- 1554114 www.pacelabs.com (612)607-1700 CERTIFICATIONS Project: B1908106.00 Redwood Pond Pace Project No.: 10487631 Minnesota Certification Ds 1700 Elm Street SE, Minneapolis, MN 55414-2485 Minnesota Dept of Ag Certifcation#:via MN 027-053-137 A2LA Certification#:2926.01 Minnesota Petrofund Certification#: 1240 Alabama Certification#:40770 Mississippi Certification#: MN00064 Alaska Contaminated Sites Certification#: 17-009 Missouri Certification#: 10100 Alaska DW Certification#: MN00064 Montana Certification#:CERT0092 Arizona Certification#:AZ0014 Nebraska Certification#: NE-OS-18-06 Arkansas DW Certification#: MN00064 Nevada Certification#: MN00064 Arkansas WW Certification#:88-0680 New Hampshire Certification#:2081 California Certification#:2929 New Jersey Certification#: MN002 CNMI Saipan Certification#:MP0003 New York Certification#: 11647 Colorado Certification#:MN00064 North Carolina DW Certification#:27700 Connecticut Certification#: PH-0256 North Carolina WW Certification#:530 EPA Region 8+Wyoming DW Certification#:via MN 027- North Dakota Certification#:R-036 053-137 Ohio DW Certification#:41244 Florida Certification#: E87605 Ohio VAP Certification#:CL101 Georgia Certification#:959 Oklahoma Certification#:9507 Guam EPA Certification#:MN00064 Oregon Primary Certification#:MN300001 Hawaii Certification#: MN00064 Oregon Secondary Certification#: MN200001 Idaho Certification#:MN00064 Pennsylvania Certification#:68-00563 Illinois Certification#:200011 Puerto Rico Certification#: MN00064 Indiana Certification#:C-MN-01 South Carolina Certification#:74003001 Iowa Certification#:368 Tennessee Certification#:TN02818 Kansas Certification#:E-10167 Texas Certification#:T104704192 Kentucky DW Certification#:90062 Utah Certification#:MN00064 Kentucky WW Certification#:90062 Vermont Certification#:VT-027053137 Louisiana DEQ Certification#:03086 Virginia Certification#:460163 Louisiana DW Certification#:MN00064 Washington Certification#:C486 Maine Certification#: MN00064 West Virginia DEP Certification#:382 Maryland Certification#:322 West Virginia DW Certification#:9952 C Massachusetts Certification#:M-MN064 Wisconsin Certification#:999407970 Michigan Certification#:9909 Wyoming UST Certification#:via A2LA 2926.01 Minnesota Certification#:027-053-137 REPORT OF LABORATORY ANALYSIS This report shall not be reproduced,except in full, without the written consent of Pace Analytical Services,LLC. Page 2 of 23 Pace Analytical Services,LLC ® 170 _ aceAnalytical Minneapolis,l t MN1554104 www.pacelabs.com (612)607-1700 SAMPLE SUMMARY Project: B1908106.00 Redwood Pond Pace Project No.: 10487631 Lab ID Sample ID Matrix Date Collected Date Received 10487631001 SS-1 Solid 08/15/19 11:00 08/15/19 17:15 10487631002 SS-2 Solid 08/15/19 10:45 08/15/19 17:15 10487631003 SS-3 Solid 08/15/19 10:30 08/15/19 17:15 REPORT OF LABORATORY ANALYSIS This report shall not be reproduced,except in full, without the written consent of Pace Analytical Services,LLC. Page 3 of 23 Pace Analytical Services,LLC ® 170 _ aceAnalytical Minneapolis,l t MN1554104 www.pacelabs.com (612)607-1700 SAMPLE ANALYTE COUNT Project: B1908106.00 Redwood Pond Pace Project No.: 10487631 Analytes Lab ID Sample ID Method Analysts Reported Laboratory 10487631001 SS-1 EPA 6010D IP 2 PASI-M ASTM D2974 JDL 1 PASI-M EPA 8270D by SIM STB 40 PASI-M 10487631002 SS-2 EPA 6010D IP 2 PASI-M ASTM D2974 JDL 1 PASI-M EPA 8270D by SIM STB 40 PASI-M 10487631003 SS-3 EPA 6010D IP 2 PASI-M ASTM D2974 JDL 1 PASI-M EPA 8270D by SIM STB 40 PASI-M REPORT OF LABORATORY ANALYSIS This report shall not be reproduced,except in full, without the written consent of Pace Analytical Services,LLC. Page 4 of 23 Pace Analytical Services,LLC _ aceAnalytical® 170M Minneapolis,eapol st,MN15541te 04 www.pacelabs.com (612)607-1700 PROJECT NARRATIVE Project: B1908106.00 Redwood Pond Pace Project No.: 10487631 Method: EPA 6010D Description: 6010D MET ICP Client: Braun Intertec Corporation Date: August 26,2019 General Information: 3 samples were analyzed for EPA 6010D. All samples were received in acceptable condition with any exceptions noted below or on the chain-of custody and/or the sample condition upon receipt form(SCUR)attached at the end of this report. Hold Time: The samples were analyzed within the method required hold times with any exceptions noted below. Sample Preparation: The samples were prepared in accordance with EPA 3050 with any exceptions noted below. Initial Calibrations(including MS Tune as applicable): All criteria were within method requirements with any exceptions noted below. Continuing Calibration: All criteria were within method requirements with any exceptions noted below. Method Blank: All analytes were below the report limit in the method blank,where applicable,with any exceptions noted below. Laboratory Control Spike: All laboratory control spike compounds were within QC limits with any exceptions noted below. Matrix Spikes: All percent recoveries and relative percent differences(RPDs)were within acceptance criteria with any exceptions noted below. Additional Comments: REPORT OF LABORATORY ANALYSIS This report shall not be reproduced,except in full, without the written consent of Pace Analytical Services,LLC. Page 5 of 23 Pace Analytical Services,LLC _ aceAnalytical® 170M Minneapolis,eapol st,MN15541te 04 www.pacelabs.com (612)607-1700 PROJECT NARRATIVE Project: B1908106.00 Redwood Pond Pace Project No.: 10487631 Method: EPA 8270D by SIM Description: 8270D MSSV CPAH by SIM Client: Braun Intertec Corporation Date: August 26,2019 General Information: 3 samples were analyzed for EPA 8270D by SIM. All samples were received in acceptable condition with any exceptions noted below or on the chain-of custody and/or the sample condition upon receipt form(SCUR)attached at the end of this report. Hold Time: The samples were analyzed within the method required hold times with any exceptions noted below. Sample Preparation: The samples were prepared in accordance with EPA 3550 with any exceptions noted below. Initial Calibrations(including MS Tune as applicable): All criteria were within method requirements with any exceptions noted below. Continuing Calibration: All criteria were within method requirements with any exceptions noted below. Internal Standards: All internal standards were within QC limits with any exceptions noted below. Surrogates: All surrogates were within QC limits with any exceptions noted below. Method Blank: All analytes were below the report limit in the method blank,where applicable,with any exceptions noted below. Laboratory Control Spike: All laboratory control spike compounds were within QC limits with any exceptions noted below. Matrix Spikes: All percent recoveries and relative percent differences(RPDs)were within acceptance criteria with any exceptions noted below. QC Batch:626867 A matrix spike and/or matrix spike duplicate(MS/MSD)were performed on the following sample(s): 10487631001 M1:Matrix spike recovery exceeded QC limits. Batch accepted based on laboratory control sample(LCS)recovery. •MS (Lab ID:3382069) •Fluoranthene •Pyrene R1: RPD value was outside control limits. •MSD (Lab ID:3382070) •7,12-Dimethylbenz(a)anthracene Additional Comments: REPORT OF LABORATORY ANALYSIS This report shall not be reproduced,except in full, without the written consent of Pace Analytical Services,LLC. Page 6 of 23 Pace Analytical Services,LLC _ aceAnalytical® 170M Minneapolis,eapol st,MN15541te 04 www.pacelabs.com (612)607-1700 PROJECT NARRATIVE Project: B1908106.00 Redwood Pond Pace Project No.: 10487631 Method: EPA 8270D by SIM Description: 8270D MSSV CPAH by SIM Client: Braun Intertec Corporation Date: August 26,2019 Analyte Comments: QC Batch:626867 D3:Sample was diluted due to the presence of high levels of non-target analytes or other matrix interference. •SS-2 (Lab ID: 10487631002) •2-Fluorobiphenyl(S) •SS-3 (Lab ID: 10487631003) •2-Fluorobiphenyl(S) N2:The lab does not hold NELAC/TNI accreditation for this parameter but other accreditations/certifications may apply.A complete list of accreditations/certifications is available upon request. •BLANK (Lab ID:3382067) • 1-Nitropyrene •2-Nitrofluorene •4-Nitropyrene •Benzofluoranthenes(Total) •LCS (Lab ID:3382068) • 1-Nitropyrene •2-Nitrofluorene •4-Nitropyrene •Benzofluoranthenes(Total) •MS (Lab ID:3382069) • 1-Nitropyrene •2-Nitrofluorene •4-Nitropyrene •Benzofluoranthenes(Total) •MSD (Lab ID:3382070) • 1-Nitropyrene •2-Nitrofluorene •4-Nitropyrene •Benzofluoranthenes(Total) •SS-1 (Lab ID: 10487631001) • 1-Nitropyrene •2-Nitrofluorene •4-Nitropyrene •Total BaP Eq.MN 2006 ND=0 •Benzofluoranthenes(Total) •SS-2 (Lab ID: 10487631002) • 1-Nitropyrene •2-Nitrofluorene •4-Nitropyrene •Total BaP Eq.MN 2006 ND=0 •Benzofluoranthenes(Total) •SS-3 (Lab ID: 10487631003) • 1-Nitropyrene •2-Nitrofluorene •4-Nitropyrene •Total BaP Eq.MN 2006 ND=0 REPORT OF LABORATORY ANALYSIS This report shall not be reproduced,except in full, without the written consent of Pace Analytical Services,LLC. Page 7 of 23 Pace Analytical Services,LLC _ aceAnalytical® 170M Minneapolis,eapol st,MN15541te 04 www.pacelabs.com (612)607-1700 PROJECT NARRATIVE Project: B1908106.00 Redwood Pond Pace Project No.: 10487631 Method: EPA 8270D by SIM Description: 8270D MSSV CPAH by SIM Client: Braun Intertec Corporation Date: August 26,2019 Analyte Comments: QC Batch:626867 N2:The lab does not hold NELAC/TNI accreditation for this parameter but other accreditations/certifications may apply.A complete list of accreditations/certifications is available upon request. •SS-3 (Lab ID: 10487631003) •Benzofluoranthenes(Total) This data package has been reviewed for quality and completeness and is approved for release. REPORT OF LABORATORY ANALYSIS This report shall not be reproduced,except in full, without the written consent of Pace Analytical Services,LLC. Page 8 of 23 Pace Analytical Services,LLC ® 170 _ aceAnalytical Minneapolis,l t MN1554104 www.pacelabs.com (612)607-1700 ANALYTICAL RESULTS Project: B1908106.00 Redwood Pond Pace Project No.: 10487631 Sample: SS-1 Lab ID: 10487631001 Collected: 08/15/19 11:00 Received: 08/15/19 17:15 Matrix: Solid Results reported on a "dry weight"basis and are adjusted for percent moisture,sample size and any dilutions. Parameters Results Units Report Limit DF Prepared Analyzed CAS No. Qual 6010D MET ICP Analytical Method: EPA 6010D Preparation Method:EPA 3050 Arsenic 2.3 mg/kg 1.3 1 08/21/19 08:27 08/21/19 14:42 7440-38-2 Copper 19.6 mg/kg 0.65 1 08/21/19 08:27 08/21/19 14:42 7440-50-8 Dry Weight/%M by ASTM D2974 Analytical Method:ASTM D2974 Percent Moisture 26.3 % 0.10 1 08/21/19 13:21 8270D MSSV CPAH by SIM Analytical Method: EPA 8270D by SIM Preparation Method:EPA 3550 Acenaphthene ND mg/kg 0.014 1 08/16/19 13:41 08/26/19 02:30 83-32-9 Acenaphthylene ND mg/kg 0.014 1 08/16/19 13:41 08/26/19 02:30 208-96-8 Anthracene ND mg/kg 0.014 1 08/16/19 13:41 08/26/19 02:30 120-12-7 Benzo(a)anthracene 0.063 mg/kg 0.014 1 08/16/19 13:41 08/26/19 02:30 56-55-3 Benzo(a)pyrene 0.076 mg/kg 0.014 1 08/16/19 13:41 08/26/19 02:30 50-32-8 Benzo(e)pyrene 0.072 mg/kg 0.014 1 08/16/19 13:41 08/26/19 02:30 192-97-2 Benzo(g,h,i)perylene 0.066 mg/kg 0.014 1 08/16/19 13:41 08/26/19 02:30 191-24-2 Benzofluoranthenes(Total) 0.18 mg/kg 0.041 1 08/16/19 13:41 08/26/19 02:30 N2 Carbazole ND mg/kg 0.014 1 08/16/19 13:41 08/26/19 02:30 86-74-8 2-Chloronaphthalene ND mg/kg 0.014 1 08/16/19 13:41 08/26/19 02:30 91-58-7 Chrysene 0.099 mg/kg 0.014 1 08/16/19 13:41 08/26/19 02:30 218-01-9 Dibenz(a,h)acridine ND mg/kg 0.014 1 08/16/19 13:41 08/26/19 02:30 226-36-8 Dibenz(a,h)anthracene 0.016 mg/kg 0.014 1 08/16/19 13:41 08/26/19 02:30 53-70-3 Dibenz(a,j)acridine ND mg/kg 0.014 1 08/16/19 13:41 08/26/19 02:30 224-42-0 Dibenzo(a,e)pyrene 0.038 mg/kg 0.014 1 08/16/19 13:41 08/26/19 02:30 192-65-4 Dibenzo(a,h)pyrene 0.016 mg/kg 0.014 1 08/16/19 13:41 08/26/19 02:30 189-64-0 Dibenzo(a,i)pyrene ND mg/kg 0.014 1 08/16/19 13:41 08/26/19 02:30 189-55-9 Dibenzo(a,l)pyrene ND mg/kg 0.014 1 08/16/19 13:41 08/26/19 02:30 191-30-0 7H-Dibenzo(c,g)carbazole ND mg/kg 0.014 1 08/16/19 13:41 08/26/19 02:30 194-59-2 Dibenzofuran ND mg/kg 0.014 1 08/16/19 13:41 08/26/19 02:30 132-64-9 7,12-Dimethylbenz(a)anthracene ND mg/kg 0.014 1 08/16/19 13:41 08/26/19 02:30 57-97-6 R1 Fluoranthene 0.15 mg/kg 0.014 1 08/16/19 13:41 08/26/19 02:30 206-44-0 M1 Fluorene ND mg/kg 0.014 1 08/16/19 13:41 08/26/19 02:30 86-73-7 Indeno(1,2,3-cd)pyrene 0.053 mg/kg 0.014 1 08/16/19 13:41 08/26/19 02:30 193-39-5 3-Methylcholanthrene ND mg/kg 0.014 1 08/16/19 13:41 08/26/19 02:30 56-49-5 5-Methylchrysene ND mg/kg 0.014 1 08/16/19 13:41 08/26/19 02:30 3697-24-3 1-Methylnaphthalene ND mg/kg 0.014 1 08/16/19 13:41 08/26/19 02:30 90-12-0 2-Methylnaphthalene ND mg/kg 0.014 1 08/16/19 13:41 08/26/19 02:30 91-57-6 Naphthalene ND mg/kg 0.014 1 08/16/19 13:41 08/26/19 02:30 91-20-3 5-Nitroacenaphthene ND mg/kg 0.014 1 08/16/19 13:41 08/26/19 02:30 602-87-9 6-Nitrochrysene ND mg/kg 0.014 1 08/16/19 13:41 08/26/19 02:30 7496-02-8 2-Nitrofluorene ND mg/kg 0.014 1 08/16/19 13:41 08/26/19 02:30 607-57-8 N2 1-Nitropyrene ND mg/kg 0.014 1 08/16/19 13:41 08/26/19 02:30 5522-43-0 N2 4-Nitropyrene ND mg/kg 0.014 1 08/16/19 13:41 08/26/19 02:30 57835-92-4 N2 Perylene 0.024 mg/kg 0.014 1 08/16/19 13:41 08/26/19 02:30 198-55-0 Phenanthrene 0.055 mg/kg 0.014 1 08/16/19 13:41 08/26/19 02:30 85-01-8 Pyrene 0.13 mg/kg 0.014 1 08/16/19 13:41 08/26/19 02:30 129-00-0 M1 Total BaP Eq. MN 2006 ND=0 0.32 mg/kg 1 08/16/19 13:41 08/26/19 02:30 N2 REPORT OF LABORATORY ANALYSIS This report shall not be reproduced,except in full, Date:08/26/2019 01:07 PM without the written consent of Pace Analytical Services,LLC. Page 9 of 23 Pace Analytical Services,LLC ® 170 _ aceAnalytical Minneapolis,l t MN1554104 www.pacelabs.com (612)607-1700 ANALYTICAL RESULTS Project: B1908106.00 Redwood Pond Pace Project No.: 10487631 Sample: SS-1 Lab ID: 10487631001 Collected: 08/15/19 11:00 Received: 08/15/19 17:15 Matrix: Solid Results reported on a "dry weight"basis and are adjusted for percent moisture,sample size and any dilutions. Parameters Results Units Report Limit DF Prepared Analyzed CAS No. Qual 8270D MSSV CPAH by SIM Analytical Method: EPA 8270D by SIM Preparation Method:EPA 3550 Surrogates 2-Fluorobiphenyl(S) 76 %. 30-125 1 08/16/19 13:41 08/26/19 02:30 321-60-8 p-Terphenyl-d14(S) 72 %. 30-127 1 08/16/19 13:41 08/26/19 02:30 1718-51-0 REPORT OF LABORATORY ANALYSIS This report shall not be reproduced,except in full, Date:08/26/2019 01:07 PM without the written consent of Pace Analytical Services,LLC. Page 10 of 23 Pace Analytical Services,LLC ® 170 _ aceAnalytical Minneapolis,l t MN1554104 www.pacelabs.com (612)607-1700 ANALYTICAL RESULTS Project: B1908106.00 Redwood Pond Pace Project No.: 10487631 Sample: SS-2 Lab ID: 10487631002 Collected: 08/15/19 10:45 Received: 08/15/19 17:15 Matrix: Solid Results reported on a "dry weight"basis and are adjusted for percent moisture,sample size and any dilutions. Parameters Results Units Report Limit DF Prepared Analyzed CAS No. Qual 6010D MET ICP Analytical Method: EPA 6010D Preparation Method:EPA 3050 Arsenic 2.3 mg/kg 1.7 1 08/21/19 08:27 08/21/19 15:03 7440-38-2 Copper 19.5 mg/kg 0.87 1 08/21/19 08:27 08/21/19 15:03 7440-50-8 Dry Weight/%M by ASTM D2974 Analytical Method:ASTM D2974 Percent Moisture 43.2 % 0.10 1 08/21/19 13:21 8270D MSSV CPAH by SIM Analytical Method: EPA 8270D by SIM Preparation Method:EPA 3550 Acenaphthene 0.095 mg/kg 0.087 5 08/16/19 13:41 08/26/19 04:23 83-32-9 Acenaphthylene ND mg/kg 0.087 5 08/16/19 13:41 08/26/19 04:23 208-96-8 Anthracene 0.32 mg/kg 0.087 5 08/16/19 13:41 08/26/19 04:23 120-12-7 Benzo(a)anthracene 1.6 mg/kg 0.087 5 08/16/19 13:41 08/26/19 04:23 56-55-3 Benzo(a)pyrene 1.6 mg/kg 0.087 5 08/16/19 13:41 08/26/19 04:23 50-32-8 Benzo(e)pyrene 1.4 mg/kg 0.087 5 08/16/19 13:41 08/26/19 04:23 192-97-2 Benzo(g,h,i)perylene 1.4 mg/kg 0.087 5 08/16/19 13:41 08/26/19 04:23 191-24-2 Benzofluoranthenes(Total) 3.6 mg/kg 0.26 5 08/16/19 13:41 08/26/19 04:23 N2 Carbazole 0.33 mg/kg 0.087 5 08/16/19 13:41 08/26/19 04:23 86-74-8 2-Chloronaphthalene ND mg/kg 0.087 5 08/16/19 13:41 08/26/19 04:23 91-58-7 Chrysene 2.1 mg/kg 0.087 5 08/16/19 13:41 08/26/19 04:23 218-01-9 Dibenz(a,h)acridine ND mg/kg 0.087 5 08/16/19 13:41 08/26/19 04:23 226-36-8 Dibenz(a,h)anthracene 0.35 mg/kg 0.087 5 08/16/19 13:41 08/26/19 04:23 53-70-3 Dibenz(a,j)acridine ND mg/kg 0.087 5 08/16/19 13:41 08/26/19 04:23 224-42-0 Dibenzo(a,e)pyrene 0.75 mg/kg 0.087 5 08/16/19 13:41 08/26/19 04:23 192-65-4 Dibenzo(a,h)pyrene 0.32 mg/kg 0.087 5 08/16/19 13:41 08/26/19 04:23 189-64-0 Dibenzo(a,i)pyrene 0.10 mg/kg 0.087 5 08/16/19 13:41 08/26/19 04:23 189-55-9 Dibenzo(a,l)pyrene ND mg/kg 0.087 5 08/16/19 13:41 08/26/19 04:23 191-30-0 7H-Dibenzo(c,g)carbazole ND mg/kg 0.087 5 08/16/19 13:41 08/26/19 04:23 194-59-2 Dibenzofuran ND mg/kg 0.087 5 08/16/19 13:41 08/26/19 04:23 132-64-9 7,12-Dimethylbenz(a)anthracene ND mg/kg 0.087 5 08/16/19 13:41 08/26/19 04:23 57-97-6 Fluoranthene 4.3 mg/kg 0.44 25 08/16/19 13:41 08/26/19 04:51 206-44-0 Fluorene 0.099 mg/kg 0.087 5 08/16/19 13:41 08/26/19 04:23 86-73-7 Indeno(1,2,3-cd)pyrene 1.1 mg/kg 0.087 5 08/16/19 13:41 08/26/19 04:23 193-39-5 3-Methylcholanthrene ND mg/kg 0.087 5 08/16/19 13:41 08/26/19 04:23 56-49-5 5-Methylchrysene 0.17 mg/kg 0.087 5 08/16/19 13:41 08/26/19 04:23 3697-24-3 1-Methylnaphthalene ND mg/kg 0.087 5 08/16/19 13:41 08/26/19 04:23 90-12-0 2-Methylnaphthalene ND mg/kg 0.087 5 08/16/19 13:41 08/26/19 04:23 91-57-6 Naphthalene ND mg/kg 0.087 5 08/16/19 13:41 08/26/19 04:23 91-20-3 5-Nitroacenaphthene ND mg/kg 0.087 5 08/16/19 13:41 08/26/19 04:23 602-87-9 6-Nitrochrysene ND mg/kg 0.087 5 08/16/19 13:41 08/26/19 04:23 7496-02-8 2-Nitrofluorene 0.13 mg/kg 0.087 5 08/16/19 13:41 08/26/19 04:23 607-57-8 N2 1-Nitropyrene ND mg/kg 0.087 5 08/16/19 13:41 08/26/19 04:23 5522-43-0 N2 4-Nitropyrene ND mg/kg 0.087 5 08/16/19 13:41 08/26/19 04:23 57835-92-4 N2 Perylene 0.45 mg/kg 0.087 5 08/16/19 13:41 08/26/19 04:23 198-55-0 Phenanthrene 1.9 mg/kg 0.087 5 08/16/19 13:41 08/26/19 04:23 85-01-8 Pyrene 3.6 mg/kg 0.44 25 08/16/19 13:41 08/26/19 04:51 129-00-0 Total BaP Eq. MN 2006 ND=0 7.7 mg/kg 5 08/16/19 13:41 08/26/19 04:23 N2 REPORT OF LABORATORY ANALYSIS This report shall not be reproduced,except in full, Date:08/26/2019 01:07 PM without the written consent of Pace Analytical Services,LLC. Page 11 of 23 Pace Analytical Services,LLC ® 170 _ aceAnalytical Minneapolis,l t MN1554104 www.pacelabs.com (612)607-1700 ANALYTICAL RESULTS Project: B1908106.00 Redwood Pond Pace Project No.: 10487631 Sample: SS-2 Lab ID: 10487631002 Collected: 08/15/19 10:45 Received: 08/15/19 17:15 Matrix: Solid Results reported on a "dry weight"basis and are adjusted for percent moisture,sample size and any dilutions. Parameters Results Units Report Limit DF Prepared Analyzed CAS No. Qual 8270D MSSV CPAH by SIM Analytical Method: EPA 8270D by SIM Preparation Method:EPA 3550 Surrogates 2-Fluorobiphenyl(S) 63 %. 30-125 5 08/16/19 13:41 08/26/19 04:23 321-60-8 D3 p-Terphenyl-d14(S) 56 %. 30-127 5 08/16/19 13:41 08/26/19 04:23 1718-51-0 REPORT OF LABORATORY ANALYSIS This report shall not be reproduced,except in full, Date:08/26/2019 01:07 PM without the written consent of Pace Analytical Services,LLC. Page 12 of 23 Pace Analytical Services,LLC ® 170 _ aceAnalytical Minneapolis,l t MN1554104 www.pacelabs.com (612)607-1700 ANALYTICAL RESULTS Project: B1908106.00 Redwood Pond Pace Project No.: 10487631 Sample: SS-3 Lab ID: 10487631003 Collected: 08/15/19 10:30 Received: 08/15/19 17:15 Matrix: Solid Results reported on a "dry weight"basis and are adjusted for percent moisture,sample size and any dilutions. Parameters Results Units Report Limit DF Prepared Analyzed CAS No. Qual 6010D MET ICP Analytical Method: EPA 6010D Preparation Method:EPA 3050 Arsenic ND mg/kg 1.2 1 08/21/19 08:27 08/21/19 15:06 7440-38-2 Copper 9.3 mg/kg 0.61 1 08/21/19 08:27 08/21/19 15:06 7440-50-8 Dry Weight/%M by ASTM D2974 Analytical Method:ASTM D2974 Percent Moisture 20.0 % 0.10 1 08/21/19 13:22 8270D MSSV CPAH by SIM Analytical Method: EPA 8270D by SIM Preparation Method:EPA 3550 Acenaphthene 0.14 mg/kg 0.062 5 08/16/19 13:41 08/26/19 05:19 83-32-9 Acenaphthylene ND mg/kg 0.062 5 08/16/19 13:41 08/26/19 05:19 208-96-8 Anthracene 0.45 mg/kg 0.062 5 08/16/19 13:41 08/26/19 05:19 120-12-7 Benzo(a)anthracene 1.9 mg/kg 0.062 5 08/16/19 13:41 08/26/19 05:19 56-55-3 Benzo(a)pyrene 1.9 mg/kg 0.062 5 08/16/19 13:41 08/26/19 05:19 50-32-8 Benzo(e)pyrene 1.4 mg/kg 0.062 5 08/16/19 13:41 08/26/19 05:19 192-97-2 Benzo(g,h,i)perylene 1.3 mg/kg 0.062 5 08/16/19 13:41 08/26/19 05:19 191-24-2 Benzofluoranthenes(Total) 3.8 mg/kg 0.19 5 08/16/19 13:41 08/26/19 05:19 N2 Carbazole 0.37 mg/kg 0.062 5 08/16/19 13:41 08/26/19 05:19 86-74-8 2-Chloronaphthalene ND mg/kg 0.062 5 08/16/19 13:41 08/26/19 05:19 91-58-7 Chrysene 2.3 mg/kg 0.31 25 08/16/19 13:41 08/26/19 05:47 218-01-9 Dibenz(a,h)acridine ND mg/kg 0.062 5 08/16/19 13:41 08/26/19 05:19 226-36-8 Dibenz(a,h)anthracene 0.36 mg/kg 0.062 5 08/16/19 13:41 08/26/19 05:19 53-70-3 Dibenz(a,j)acridine ND mg/kg 0.062 5 08/16/19 13:41 08/26/19 05:19 224-42-0 Dibenzo(a,e)pyrene 0.79 mg/kg 0.062 5 08/16/19 13:41 08/26/19 05:19 192-65-4 Dibenzo(a,h)pyrene 0.33 mg/kg 0.062 5 08/16/19 13:41 08/26/19 05:19 189-64-0 Dibenzo(a,i)pyrene 0.13 mg/kg 0.062 5 08/16/19 13:41 08/26/19 05:19 189-55-9 Dibenzo(a,l)pyrene ND mg/kg 0.062 5 08/16/19 13:41 08/26/19 05:19 191-30-0 7H-Dibenzo(c,g)carbazole ND mg/kg 0.062 5 08/16/19 13:41 08/26/19 05:19 194-59-2 Dibenzofuran 0.069 mg/kg 0.062 5 08/16/19 13:41 08/26/19 05:19 132-64-9 7,12-Dimethylbenz(a)anthracene ND mg/kg 0.062 5 08/16/19 13:41 08/26/19 05:19 57-97-6 Fluoranthene 5.2 mg/kg 0.31 25 08/16/19 13:41 08/26/19 05:47 206-44-0 Fluorene 0.18 mg/kg 0.062 5 08/16/19 13:41 08/26/19 05:19 86-73-7 Indeno(1,2,3-cd)pyrene 1.2 mg/kg 0.062 5 08/16/19 13:41 08/26/19 05:19 193-39-5 3-Methylcholanthrene ND mg/kg 0.062 5 08/16/19 13:41 08/26/19 05:19 56-49-5 5-Methylchrysene 0.083 mg/kg 0.062 5 08/16/19 13:41 08/26/19 05:19 3697-24-3 1-Methylnaphthalene ND mg/kg 0.062 5 08/16/19 13:41 08/26/19 05:19 90-12-0 2-Methylnaphthalene ND mg/kg 0.062 5 08/16/19 13:41 08/26/19 05:19 91-57-6 Naphthalene ND mg/kg 0.062 5 08/16/19 13:41 08/26/19 05:19 91-20-3 5-Nitroacenaphthene ND mg/kg 0.062 5 08/16/19 13:41 08/26/19 05:19 602-87-9 6-Nitrochrysene ND mg/kg 0.062 5 08/16/19 13:41 08/26/19 05:19 7496-02-8 2-Nitrofluorene 0.15 mg/kg 0.062 5 08/16/19 13:41 08/26/19 05:19 607-57-8 N2 1-Nitropyrene ND mg/kg 0.062 5 08/16/19 13:41 08/26/19 05:19 5522-43-0 N2 4-Nitropyrene ND mg/kg 0.062 5 08/16/19 13:41 08/26/19 05:19 57835-92-4 N2 Perylene 0.48 mg/kg 0.062 5 08/16/19 13:41 08/26/19 05:19 198-55-0 Phenanthrene 2.7 mg/kg 0.31 25 08/16/19 13:41 08/26/19 05:47 85-01-8 Pyrene 4.2 mg/kg 0.31 25 08/16/19 13:41 08/26/19 05:47 129-00-0 Total BaP Eq. MN 2006 ND=0 8.3 mg/kg 25 08/16/19 13:41 08/26/19 05:47 N2 REPORT OF LABORATORY ANALYSIS This report shall not be reproduced,except in full, Date:08/26/2019 01:07 PM without the written consent of Pace Analytical Services,LLC. Page 13 of 23 Pace Analytical Services,LLC ® 170 _ aceAnalytical Minneapolis,l t MN1554104 www.pacelabs.com (612)607-1700 ANALYTICAL RESULTS Project: B1908106.00 Redwood Pond Pace Project No.: 10487631 Sample: SS-3 Lab ID: 10487631003 Collected: 08/15/19 10:30 Received: 08/15/19 17:15 Matrix: Solid Results reported on a "dry weight"basis and are adjusted for percent moisture,sample size and any dilutions. Parameters Results Units Report Limit DF Prepared Analyzed CAS No. Qual 8270D MSSV CPAH by SIM Analytical Method: EPA 8270D by SIM Preparation Method:EPA 3550 Surrogates 2-Fluorobiphenyl(S) 80 %. 30-125 5 08/16/19 13:41 08/26/19 05:19 321-60-8 D3 p-Terphenyl-d14(S) 73 %. 30-127 5 08/16/19 13:41 08/26/19 05:19 1718-51-0 REPORT OF LABORATORY ANALYSIS This report shall not be reproduced,except in full, Date:08/26/2019 01:07 PM without the written consent of Pace Analytical Services,LLC. Page 14 of 23 Pace Analytical Services,LLC te 200 _ aceAnalytical Minneapolis,® 170 l t MN1554114 www.pacelabs.com (612)607-1700 QUALITY CONTROL DATA Project: B1908106.00 Redwood Pond Pace Project No.: 10487631 QC Batch: 627217 Analysis Method: EPA 6010D QC Batch Method: EPA 3050 Analysis Description: 6010D Solids Associated Lab Samples: 10487631001, 10487631002, 10487631003 METHOD BLANK: 3384659 Matrix: Solid Associated Lab Samples: 10487631001, 10487631002, 10487631003 Blank Reporting Parameter Units Result Limit Analyzed Qualifiers Arsenic mg/kg ND 0.94 08/21/19 14:36 Copper mg/kg ND 0.47 08/21/19 14:36 LABORATORY CONTROL SAMPLE: 3384660 Spike LCS LCS %Rec Parameter Units Conc. Result %Rec Limits Qualifiers Arsenic mg/kg 48.1 46.2 96 80-120 Copper mg/kg 48.1 46.4 96 80-120 MATRIX SPIKE&MATRIX SPIKE DUPLICATE: 3384661 3384662 MS MSD 10487631001 Spike Spike MS MSD MS MSD %Rec Max Parameter Units Result Conc. Conc. Result Result %Rec %Rec Limits RPD RPD Qual Arsenic mg/kg 2.3 64.6 63.4 54.4 54.1 81 82 75-125 1 20 Copper mg/kg 19.6 64.6 63.4 72.3 73.2 82 85 75-125 1 20 Results presented on this page are in the units indicated by the"Units"column except where an alternate unit is presented to the right of the result. REPORT OF LABORATORY ANALYSIS This report shall not be reproduced,except in full, Date:08/26/2019 01:07 PM without the written consent of Pace Analytical Services,LLC. Page 15 of 23 Pace Analytical Services,LLC _ aceAnalytical® 170M Minneapolis,eapol st,MN15541te 04 www.pacelabs.com (612)607-1700 QUALITY CONTROL DATA Project: B1908106.00 Redwood Pond Pace Project No.: 10487631 QC Batch: 627493 Analysis Method: ASTM D2974 QC Batch Method: ASTM D2974 Analysis Description: Dry Weight/%M by ASTM D2974 Associated Lab Samples: 10487631001, 10487631002, 10487631003 SAMPLE DUPLICATE: 3386250 10487537005 Dup Max Parameter Units Result Result RPD RPD Qualifiers Percent Moisture % 4.9 4.8 2 30 SAMPLE DUPLICATE: 3386251 10487639001 Dup Max Parameter Units Result Result RPD RPD Qualifiers Percent Moisture % 3.1 3.1 0 30 Results presented on this page are in the units indicated by the"Units"column except where an alternate unit is presented to the right of the result. REPORT OF LABORATORY ANALYSIS This report shall not be reproduced,except in full, Date:08/26/2019 01:07 PM without the written consent of Pace Analytical Services,LLC. Page 16 of 23 Pace Analytical Services,LLC te 200 _ aceAnalytical Minneapolis,® 170 l t MN1554114 www.pacelabs.com (612)607-1700 QUALITY CONTROL DATA Project: B1908106.00 Redwood Pond Pace Project No.: 10487631 QC Batch: 626867 Analysis Method: EPA 8270D by SIM QC Batch Method: EPA 3550 Analysis Description: 8270D CPAH by SIM MSSV Associated Lab Samples: 10487631001, 10487631002, 10487631003 METHOD BLANK: 3382067 Matrix: Solid Associated Lab Samples: 10487631001, 10487631002, 10487631003 Blank Reporting Parameter Units Result Limit Analyzed Qualifiers 1-Methylnaphthalene mg/kg ND 0.010 08/25/19 23:41 1-Nitropyrene mg/kg ND 0.010 08/25/19 23:41 N2 2-Chloronaphthalene mg/kg ND 0.010 08/25/19 23:41 2-Methylnaphthalene mg/kg ND 0.010 08/25/19 23:41 2-Nitrofluorene mg/kg ND 0.010 08/25/19 23:41 N2 3-Methylcholanthrene mg/kg ND 0.010 08/25/19 23:41 4-Nitropyrene mg/kg ND 0.010 08/25/19 23:41 N2 5-Methylchrysene mg/kg ND 0.010 08/25/19 23:41 5-Nitroacenaphthene mg/kg ND 0.010 08/25/19 23:41 6-Nitrochrysene mg/kg ND 0.010 08/25/19 23:41 7,12-Dimethylbenz(a)anthracene mg/kg ND 0.010 08/25/19 23:41 7H-Dibenzo(c,g)carbazole mg/kg ND 0.010 08/25/19 23:41 Acenaphthene mg/kg ND 0.010 08/25/19 23:41 Acenaphthylene mg/kg ND 0.010 08/25/19 23:41 Anthracene mg/kg ND 0.010 08/25/19 23:41 Benzo(a)anthracene mg/kg ND 0.010 08/25/19 23:41 Benzo(a)pyrene mg/kg ND 0.010 08/25/19 23:41 Benzo(e)pyrene mg/kg ND 0.010 08/25/19 23:41 Benzo(g,h,i)perylene mg/kg ND 0.010 08/25/19 23:41 Benzofluoranthenes(Total) mg/kg ND 0.030 08/25/19 23:41 N2 Carbazole mg/kg ND 0.010 08/25/19 23:41 Chrysene mg/kg ND 0.010 08/25/19 23:41 Dibenz(a,h)acridine mg/kg ND 0.010 08/25/19 23:41 Dibenz(a,h)anthracene mg/kg ND 0.010 08/25/19 23:41 Dibenz(a,j)acridine mg/kg ND 0.010 08/25/19 23:41 Dibenzo(a,e)pyrene mg/kg ND 0.010 08/25/19 23:41 Dibenzo(a,h)pyrene mg/kg ND 0.010 08/25/19 23:41 Dibenzo(a,i)pyrene mg/kg ND 0.010 08/25/19 23:41 Dibenzo(a,l)pyrene mg/kg ND 0.010 08/25/19 23:41 Dibenzofuran mg/kg ND 0.010 08/25/19 23:41 Fluoranthene mg/kg ND 0.010 08/25/19 23:41 Fluorene mg/kg ND 0.010 08/25/19 23:41 Indeno(1,2,3-cd)pyrene mg/kg ND 0.010 08/25/19 23:41 Naphthalene mg/kg ND 0.010 08/25/19 23:41 Perylene mg/kg ND 0.010 08/25/19 23:41 Phenanthrene mg/kg ND 0.010 08/25/19 23:41 Pyrene mg/kg ND 0.010 08/25/19 23:41 2-Fluorobiphenyl(S) %. 81 30-125 08/25/19 23:41 p-Terphenyl-d14(S) %. 94 30-127 08/25/19 23:41 Results presented on this page are in the units indicated by the"Units"column except where an alternate unit is presented to the right of the result. REPORT OF LABORATORY ANALYSIS This report shall not be reproduced,except in full, Date:08/26/2019 01:07 PM without the written consent of Pace Analytical Services,LLC. Page 17 of 23 Pace Analytical Services,LLC te 200 _ aceAnalytical Minneapolis,® 170 l t MN1554114 www.pacelabs.com (612)607-1700 QUALITY CONTROL DATA Project: B1908106.00 Redwood Pond Pace Project No.: 10487631 LABORATORY CONTROL SAMPLE: 3382068 Spike LCS LCS %Rec Parameter Units Conc. Result %Rec Limits Qualifiers 1-Methylnaphthalene mg/kg 0.1 0.079 79 38-125 1-Nitropyrene mg/kg 0.1 0.097 97 32-125 N2 2-Chloronaphthalene mg/kg 0.2 0.17 83 41-125 2-Methylnaphthalene mg/kg 0.1 0.079 79 42-125 2-Nitrofluorene mg/kg 0.1 0.11 109 49-127 N2 3-Methylcholanthrene mg/kg 0.1 0.060 60 30-125 4-Nitropyrene mg/kg 0.1 0.10 104 38-125 N2 5-Methylchrysene mg/kg 0.1 0.091 91 60-125 5-Nitroacenaphthene mg/kg 0.1 0.10 104 52-125 6-Nitrochrysene mg/kg 0.1 0.099 99 30-125 7,12-Dimethylbenz(a)anthracene mg/kg 0.1 0.042 42 30-125 7H-Dibenzo(c,g)carbazole mg/kg 0.1 0.092 92 52-125 Acenaphthene mg/kg 0.1 0.082 82 43-125 Acenaphthylene mg/kg 0.1 0.076 76 38-125 Anthracene mg/kg 0.1 0.089 89 52-125 Benzo(a)anthracene mg/kg 0.1 0.090 90 56-125 Benzo(a)pyrene mg/kg 0.1 0.089 89 57-125 Benzo(e)pyrene mg/kg 0.2 0.18 92 61-125 Benzo(g,h,i)perylene mg/kg 0.1 0.092 92 51-125 Benzofluoranthenes(Total) mg/kg 0.3 0.28 93 57-125 N2 Carbazole mg/kg 0.2 0.18 90 58-125 Chrysene mg/kg 0.1 0.087 87 60-125 Dibenz(a,h)acridine mg/kg 0.1 0.093 93 53-125 Dibenz(a,h)anthracene mg/kg 0.1 0.095 95 51-125 Dibenz(a,j)acridine mg/kg 0.1 0.079 79 30-139 Dibenzo(a,e)pyrene mg/kg 0.1 0.089 89 52-125 Dibenzo(a,h)pyrene mg/kg 0.1 0.094 94 51-125 Dibenzo(a,i)pyrene mg/kg 0.1 0.087 87 47-125 Dibenzo(a,l)pyrene mg/kg 0.1 0.060 60 30-125 Dibenzofuran mg/kg 0.2 0.17 83 48-125 Fluoranthene mg/kg 0.1 0.091 91 60-125 Fluorene mg/kg 0.1 0.085 85 50-125 Indeno(1,2,3-cd)pyrene mg/kg 0.1 0.095 95 52-125 Naphthalene mg/kg 0.1 0.079 79 39-125 Perylene mg/kg 0.1 0.084 84 63-125 Phenanthrene mg/kg 0.1 0.089 89 57-125 Pyrene mg/kg 0.1 0.092 92 59-125 2-Fluorobiphenyl(S) %. 82 30-125 p-Terphenyl-d14(S) %. 90 30-127 MATRIX SPIKE&MATRIX SPIKE DUPLICATE: 3382069 3382070 MS MSD 10487631001 Spike Spike MS MSD MS MSD %Rec Max Parameter Units Result Conc. Conc. Result Result %Rec %Rec Limits RPD RPD Qual 1-Methylnaphthalene mg/kg ND 0.14 0.14 0.087 0.10 64 74 32-125 14 30 Results presented on this page are in the units indicated by the"Units"column except where an alternate unit is presented to the right of the result. REPORT OF LABORATORY ANALYSIS This report shall not be reproduced,except in full, Date:08/26/2019 01:07 PM without the written consent of Pace Analytical Services,LLC. Page 18 of 23 Pace Analytical Services,LLC ® 170 _ aceAnalytical Minneapolis,l t MN1554104 www.pacelabs.com (612)607-1700 QUALITY CONTROL DATA Project: B1908106.00 Redwood Pond Pace Project No.: 10487631 MATRIX SPIKE&MATRIX SPIKE DUPLICATE: 3382069 3382070 MS MSD 10487631001 Spike Spike MS MSD MS MSD %Rec Max Parameter Units Result Conc. Conc. Result Result %Rec %Rec Limits RPD RPD Qual 1-Nitropyrene mg/kg ND 0.14 0.14 0.11 0.12 79 86 30-125 9 30 N2 2-Chloronaphthalene mg/kg ND 0.27 0.27 0.18 0.21 68 78 43-125 14 30 2-Methylnaphthalene mg/kg ND 0.14 0.14 0.088 0.10 65 75 36-125 15 30 2-Nitrofluorene mg/kg ND 0.14 0.14 0.15 0.17 109 127 30-150 16 30 N2 3-Methylcholanthrene mg/kg ND 0.14 0.14 0.081 0.099 60 73 30-125 21 30 4-Nitropyrene mg/kg ND 0.14 0.14 0.13 0.14 95 103 30-125 8 30 N2 5-Methylchrysene mg/kg ND 0.14 0.14 0.096 0.11 71 85 43-125 18 30 5-Nitroacenaphthene mg/kg ND 0.14 0.14 0.15 0.18 108 129 30-142 18 30 6-Nitrochrysene mg/kg ND 0.14 0.14 0.098 0.11 72 80 30-125 10 30 7,12- mg/kg ND 0.14 0.14 0.044 0.062 33 46 30-131 34 30 R1 Dimethylbenz(a)anthracene 7H-Dibenzo(c,g)carbazole mg/kg ND 0.14 0.14 0.092 0.11 68 81 30-125 18 30 Acenaphthene mg/kg ND 0.14 0.14 0.091 0.11 67 78 30-125 15 30 Acenaphthylene mg/kg ND 0.14 0.14 0.097 0.11 72 84 39-125 16 30 Anthracene mg/kg ND 0.14 0.14 0.099 0.12 73 86 30-126 17 30 Benzo(a)anthracene mg/kg 0.063 0.14 0.14 0.13 0.14 47 58 30-150 12 30 Benzo(a)pyrene mg/kg 0.076 0.14 0.14 0.13 0.15 39 53 30-146 14 30 Benzo(e)pyrene mg/kg 0.072 0.27 0.27 0.20 0.24 49 62 30-139 16 30 Benzo(g,h,i)perylene mg/kg 0.066 0.14 0.14 0.12 0.14 40 54 30-150 14 30 Benzofluoranthenes(Total) mg/kg 0.18 0.41 0.41 0.36 0.41 44 57 30-150 13 30 N2 Carbazole mg/kg ND 0.27 0.27 0.19 0.22 69 81 30-125 15 30 Chrysene mg/kg 0.099 0.14 0.14 0.14 0.16 31 44 30-150 12 30 Dibenz(a,h)acridine mg/kg ND 0.14 0.14 0.089 0.11 65 80 34-125 20 30 Dibenz(a,h)anthracene mg/kg 0.016 0.14 0.14 0.087 0.10 52 64 30-125 16 30 Dibenz(a,j)acridine mg/kg ND 0.14 0.14 0.077 0.091 57 67 30-133 17 30 Dibenzo(a,e)pyrene mg/kg 0.038 0.14 0.14 0.11 0.13 50 66 30-134 18 30 Dibenzo(a,h)pyrene mg/kg 0.016 0.14 0.14 0.092 0.11 56 72 30-133 20 30 Dibenzo(a,i)pyrene mg/kg ND 0.14 0.14 0.089 0.11 66 79 30-134 18 30 Dibenzo(a,l)pyrene mg/kg ND 0.14 0.14 0.078 0.098 58 72 30-125 23 30 Dibenzofuran mg/kg ND 0.27 0.27 0.17 0.20 64 74 38-125 15 30 Fluoranthene mg/kg 0.15 0.14 0.14 0.17 0.19 18 32 30-150 10 30 M1 Fluorene mg/kg ND 0.14 0.14 0.089 0.10 66 77 39-125 16 30 Indeno(1,2,3-cd)pyrene mg/kg 0.053 0.14 0.14 0.12 0.14 48 61 30-144 14 30 Naphthalene mg/kg ND 0.14 0.14 0.085 0.099 63 73 30-125 15 30 Perylene mg/kg 0.024 0.14 0.14 0.091 0.11 49 63 30-146 19 30 Phenanthrene mg/kg 0.055 0.14 0.14 0.11 0.13 43 57 30-150 15 30 Pyrene mg/kg 0.13 0.14 0.14 0.16 0.18 25 33 30-150 7 30 M1 2-Fluorobiphenyl(S) %. 68 78 30-125 p-Terphenyl-d14(S) %. 63 72 30-127 Results presented on this page are in the units indicated by the"Units"column except where an alternate unit is presented to the right of the result. REPORT OF LABORATORY ANALYSIS This report shall not be reproduced,except in full, Date:08/26/2019 01:07 PM without the written consent of Pace Analytical Services,LLC. Page 19 of 23 Pace Analytical Services,LLC te 200 _ aceAnalytical® 170M Minneapolis,eapol st,MN1554114 www.pacelabs.com (612)607-1700 QUALIFIERS Project: B1908106.00 Redwood Pond Pace Project No.: 10487631 DEFINITIONS DF-Dilution Factor,if reported,represents the factor applied to the reported data due to dilution of the sample aliquot. ND-Not Detected at or above adjusted reporting limit. TNTC-Too Numerous To Count J-Estimated concentration above the adjusted method detection limit and below the adjusted reporting limit. MDL-Adjusted Method Detection Limit. PQL-Practical Quantitation Limit. RL-Reporting Limit-The lowest concentration value that meets project requirements for quantitative data with known precision and bias for a specific analyte in a specific matrix. S-Surrogate 1,2-Diphenylhydrazine decomposes to and cannot be separated from Azobenzene using Method 8270.The result for each analyte is a combined concentration. Consistent with EPA guidelines,unrounded data are displayed and have been used to calculate%recovery and RPD values. LCS(D)-Laboratory Control Sample(Duplicate) MS(D)-Matrix Spike(Duplicate) DUP-Sample Duplicate RPD-Relative Percent Difference NC-Not Calculable. SG-Silica Gel-Clean-Up U-Indicates the compound was analyzed for,but not detected. N-Nitrosodiphenylamine decomposes and cannot be separated from Diphenylamine using Method 8270. The result reported for each analyte is a combined concentration. Pace Analytical is TNI accredited.Contact your Pace PM for the current list of accredited analytes. TNI-The NELAC Institute. LABORATORIES PASI-M Pace Analytical Services-Minneapolis ANALYTE QUALIFIERS D3 Sample was diluted due to the presence of high levels of non-target analytes or other matrix interference. M1 Matrix spike recovery exceeded QC limits. Batch accepted based on laboratory control sample(LCS)recovery. N2 The lab does not hold NELAC/TNI accreditation for this parameter but other accreditations/certifications may apply.A complete list of accreditations/certifications is available upon request. R1 RPD value was outside control limits. REPORT OF LABORATORY ANALYSIS This report shall not be reproduced,except in full, Date:08/26/2019 01:07 PM without the written consent of Pace Analytical Services,LLC. Page 20 of 23 Pace Analytical Services,LLC ® 170 _ aceAnalytical Minneapolis,l t MN1554104 www.pacelabs.com (612)607-1700 QUALITY CONTROL DATA CROSS REFERENCE TABLE Project: B1908106.00 Redwood Pond Pace Project No.: 10487631 Analytical Lab ID Sample ID QC Batch Method QC Batch Analytical Method Batch 10487631001 SS-1 EPA 3050 627217 EPA 6010D 627612 10487631002 SS-2 EPA 3050 627217 EPA 6010D 627612 10487631003 SS-3 EPA 3050 627217 EPA 6010D 627612 10487631001 SS-1 ASTM D2974 627493 10487631002 SS-2 ASTM D2974 627493 10487631003 SS-3 ASTM D2974 627493 10487631001 SS-1 EPA 3550 626867 EPA 8270D by SIM 627743 10487631002 SS-2 EPA 3550 626867 EPA 8270D by SIM 627743 10487631003 SS-3 EPA 3550 626867 EPA 8270D by SIM 627743 REPORT OF LABORATORY ANALYSIS This report shall not be reproduced,except in full, Date:08/26/2019 01:07 PM without the written consent of Pace Analytical Services,LLC. Page 21 of 23 0 W (NIA) Ja pew!sa�duegN Q to y )� ti o (N/A Z7zY re z F ZZTr' Z o 1. aeop papas o s O ♦M Q �i� vw Apolsnp o Q_ L `� O N a N ,i w(rao o uopanlaaau o.— • UJ re I3 jEnpisai 1 J 0 - = 4 3,ui dwal Q _ LL } _ M 11 ..r �� U' d m a C.0 o y - - O .� C Z J �cp _ 3 NOS `. i� -o iLl L Q QQ .a I '• ^v a, • SES� v �, y u. `• g d Vp dv \ �11 _� .11N,A }Se1 SiS/Cieu+dr - z 3 .73 - F• t0 "E. � JaUaQ . kj � IoueU#aV11 w 1v r•eN am = z141 HOaN a o I�H z� 0 2 E M a £ON H o u z i • l'OSzH 1 CI 0 c c I e.. ` peruasaJdun )L>� w• 0 (- u o m E a r$ ° _ $ i, d m (/) r N ¢ cg ¢ a_1Y a.M a". S2i3NIVINOO dO#E r C c e+& - U m N0113 311 0 0lb dW313ldWtl5 ( S ' 0. p I a0 w IC I. J ..J E m w ( f ' V z co to 9 • T d o Q L ao a 8 a t U 0 t_ F w z F Vr b ti w o / V ZQ2• z ~ 0 �D } W 1 -0 C_}.1 .Q. Q. y o Z a� J r U w - r� u t Qf oti _u.ad0 p U o . 0 3ili � a`. I a Oct w i. a trl (dWOp=p 9VNJ=J) 3dlL3ldWtl5 �f 0 Zm E ;t4I(*)°) a µ es 00 XIZld �a - ini I-pp O E III oz z!- m tt a 2 .04 m a 0 v8 x R v fl, 'a XN • 0 P, A IY c U(7, � a m Y UI ON O Niy-p aN Rp,❑ 11Nat2— im v 4.0 € ci ^� j w a ® 2 U§ 3 i Q z 0 u 7 U — W _ a e C E t € ELoD r . in N V C] r 0 G U 0 1 1 1 a m 0 o 2 m m N i- t* `A a m ° P Page 22 of 23 i a E -o E r N a' U ¢ uEa a Cam' #Wall r N co 0 •m m F. m m Document Name: Document Revised:09May2019 / Sample Condition Upon Receipt Form Page 1 of 1 aceknalyttcaf` Document No.: Issuing Authority: F-MN-L-213-rev.28 Pace Minnesota Quality Office Sample Condition Client Name: Project#: ! ,/�U Upon Receipt f' W :E;irc(on 10487631 Courier: ❑Fed Ex ❑UPS ❑U5P5 ❑Client PM: BM2 Due Date: 08/23/19 j?ace ❑SpeeDee ❑Commercial See Exception CLIENT: Braun-BLM Tracking Number: ❑ Custody Seal on Cooler/Box Present? Dyes INo Seals Intact? Dyes L.No Biological Tissue Frozen? Dyes ❑No 2:N/A Packing Material: []Bubble Wrap iStBubbie Bags ❑None nether: Temp Blank? 12Yes ❑No Thermometer: ElT1(0461) El T2(1336)❑T3(0459) Type of Ice: r�Wet ElT4(0254) �C T5{0489} yp t.ex ❑Blue ❑None DDry EMelted Note:Each West Virginia Sample must have temp taken(no temp blanks) Temp should be above freezing to 6°C Cooler Temp Read w/temp blank: 61- T °C Average Corrected Temp See Exceptions {no temp blank only): ❑ Correction Factor:t0,L� Cooler Temp Corrected w/temp blank: 1,0 °C SC USDA Regulated Soil:(❑N/A,water sample/Other: ) Date/Initials of Person Examining Contents: 'C" 7 -19 Did samples originate in a quarantine zone within the United States:AL,AR,CA,FL,GA, Did samples originate from a foreign source(internationally,including JD,LA.MS,NC,NM,NY,OK,OR,SC,TN,TX or VA(check maps)? Dyes MNo Hawaii and Puerto Rico)? Oyes 2No If Yes to either question,fill out a Regulated Soil Checklist{F-MN-Q-338)and include with SCUR/COC paperwork. COMMENTS: Chain of Custody Present and Filled Out? BYes ❑No 1. Chain of Custody Relinquished? LaYes ENo 2. Sampler Name and/or Signature on COC? Eyes ENo ❑N/A 3. Samples Arrived within Hold Time? Eyes ON 4. Short Hold Time Analysis(<72 hr)? Oyes N° 5. ❑Fecal Coliform❑HPC❑Total Coliform/E cot❑BOD/c60D❑Hex Chrome ['Turbidity❑Nitrate[Nitrite❑Orthophos❑Other Rush Turn Around Time Requested? Des ENo 6. Sufficient Volume? ®Yes END 7. Correct Containers Used? Eyes ❑No 8. -Pace Containers Used? ,®Yes ❑No Containers Intact? gYes END • 9. Field Filtered Volume Received for Dissolved Tests? ❑Yes ENo RNA 10. Is sediment visible in the dissolved container?Dyes DNo Is sufficient information available to reconcile the samples 11. If no,write ID/Date/Time on Container Below: See Exception to the COC? „Ries END 0 Matrix:❑Water, .Soil Doll ❑Other All containers needing acid/base preservation have been Des ENo RNA 12.Sample# checked? All containers needing preservation are found to be in ❑Yes ENo 'l/A ❑NaOH ❑HNO3 ❑H2SO4 ]Zinc Acetate compliance with EPA recommendation? (HNO3,H2504,<2pH, NaOH>9 Sulfide,NaOH>12 Cyanide) Positive for Res.Dyes See Exception Exceptions:VOA,Coliform,TOC/DOC Oil and Grease, Eyes ❑No j /A Chlorine? ❑No pH Paper Lot# ❑ DRO/8015(water)and Dioxin/PFAS Res.Chlorine 0-6 Roll 0-6 Strip 0-14 Strip 13. See Exception Headspace in VOA Vials(greater than 6mm)? ❑Yes ❑No ON/A ❑ Trip Blank Present? ❑Yes ONo EN/A 14. Trip Blank Custody Seals Present? ❑Yes ENo .N/A Pace Trip Blank Lot#(if purchased): _ CLIENT NOTIFICATION/RESOLUTION Field Data Required? Des ❑No Person Contacted: Date/Time: Comments/Resolution: Project Manager Review: , ..., Date: Note: Whenever there is a discrepancy affecting North Carolina compliance samples,a copy of this form will be sent to the N rth C rolina DEHNR Certification Office(i.e out of bold,incorrect preservative,out of temp,incorrect containers), Labeled by: 6 k Z P e23of23 Pace Analytical Services,LLC aceAnalytical® 170M Minneapolis,st,MN15541te 04 www.pacelabs.cam (612)607-1700 November 20, 2019 Mark Ciampone Braun Intertec 11001 Hampshire Ave S. Bloomington, MN 55438 RE: Project: B1908106.01 Redwood Pond Pace Project No.: 10498573 Dear Mark Ciampone: Enclosed are the analytical results for sample(s) received by the laboratory on November 07, 2019. The results relate only to the samples included in this report. Results reported herein conform to the most current, applicable TNI/NELAC standards and the laboratory's Quality Assurance Manual, where applicable, unless otherwise noted in the body of the report. If you have any questions concerning this report, please feel free to contact me. Sincerely, Bob Michels bob.michels@pacelabs.com (612)709-5046 Project Manager Enclosures �p3 AC�FO _�` � REPORT OF LABORATORY ANALYSIS /// This report shall not be reproduced,except in full, �\... _ without the written consent of Pace Analytical Services,LLC. Page 1 of 21 9e�. Pace Analytical Services,LLC ® 1700 aceAnalyticalMinneapolis,l MN1554114 www.pacelabs.cam (612)607-1700 CERTIFICATIONS Project: B1908106.01 Redwood Pond Pace Project No.: 10498573 Pace Analytical Services Minneapolis A2LA Certification#:2926.01 Minnesota Dept of Ag Certifcation#:via MN 027-053-137 Alabama Certification#:40770 Minnesota Petrofund Certification#: 1240 Alaska Contaminated Sites Certification#: 17-009 Mississippi Certification#: MN00064 Alaska DW Certification#: MN00064 Missouri Certification#: 10100 Arizona Certification#:AZ0014 Montana Certification#:CERT0092 Arkansas DW Certification#: MN00064 Nebraska Certification#: NE-OS-18-06 Arkansas WW Certification#:88-0680 Nevada Certification#: MN00064 California Certification#:2929 New Hampshire Certification#:2081 CNMI Saipan Certification#:MP0003 New Jersey Certification#: MN002 Colorado Certification#:MN00064 New York Certification#: 11647 Connecticut Certification#: PH-0256 North Carolina DW Certification#:27700 EPA Region 8+Wyoming DW Certification#:via MN 027- North Carolina WW Certification#:530 053-137 North Dakota Certification#:R-036 Florida Certification#: E87605 Ohio DW Certification#:41244 Georgia Certification#:959 Ohio VAP Certification#:CL101 Guam EPA Certification#:MN00064 Oklahoma Certification#:9507 Hawaii Certification#: MN00064 Oregon Primary Certification#:MN300001 Idaho Certification#:MN00064 Oregon Secondary Certification#: MN200001 Illinois Certification#:200011 Pennsylvania Certification#:68-00563 Indiana Certification#:C-MN-01 Puerto Rico Certification#: MN00064 Iowa Certification#:368 South Carolina Certification#:74003001 Kansas Certification#:E-10167 Tennessee Certification#:TN02818 Kentucky DW Certification#:90062 Texas Certification#:T104704192 Kentucky WW Certification#:90062 Utah Certification#:MN00064 Louisiana DEQ Certification#:03086 Vermont Certification#:VT-027053137 Louisiana DW Certification#:MN00064 Virginia Certification#:460163 Maine Certification#: MN00064 Washington Certification#:C486 Maryland Certification#:322 West Virginia DEP Certification#:382 Massachusetts Certification#:M-MN064 West Virginia DW Certification#:9952 C Massachusetts DWP Certification#:via MN 027-053-137 Wisconsin Certification#:999407970 Michigan Certification#:9909 Wyoming UST Certification#:via A2LA 2926.01 Minnesota Certification#:027-053-137 REPORT OF LABORATORY ANALYSIS This report shall not be reproduced,except in full, without the written consent of Pace Analytical Services,LLC. Page 2 of 21 Pace Analytical Services,LLC ® 170 aceAnalytical Minneapolis,l t MN1554104 www.pacelabs.cam (612)607-1700 SAMPLE SUMMARY Project: B1908106.01 Redwood Pond Pace Project No.: 10498573 Lab ID Sample ID Matrix Date Collected Date Received 10498573001 SS-3 Solid 11/06/19 13:00 11/07/19 14:17 10498573002 SS-4 Solid 11/06/19 13:30 11/07/19 14:17 REPORT OF LABORATORY ANALYSIS This report shall not be reproduced,except in full, without the written consent of Pace Analytical Services,LLC. Page 3 of 21 Pace Analytical Services,LLC ® 170 aceAnalytical Minneapolis,l t MN1554104 www.pacelabs.com (612)607-1700 SAMPLE ANALYTE COUNT Project: B1908106.01 Redwood Pond Pace Project No.: 10498573 Analytes Lab ID Sample ID Method Analysts Reported Laboratory 10498573001 SS-3 EPA6010D BD1 2 PASI-M ASTM D2974 JDL 1 PASI-M EPA 8270D by SIM STB 40 PASI-M 10498573002 SS-4 EPA6010D BD1 2 PASI-M ASTM D2974 JDL 1 PASI-M EPA 8270D by SIM STB 40 PASI-M REPORT OF LABORATORY ANALYSIS This report shall not be reproduced,except in full, without the written consent of Pace Analytical Services,LLC. Page 4 of 21 Pace Analytical Services,LLC aceAnalyti ® 170 l ecal M napol s Street Suite,MN www.pacelabs.com (612)607-1700 PROJECT NARRATIVE Project: B1908106.01 Redwood Pond Pace Project No.: 10498573 Method: EPA 6010D Description: 6010D MET ICP Client: Braun Intertec Corporation Date: November 20,2019 General Information: 2 samples were analyzed for EPA 6010D. All samples were received in acceptable condition with any exceptions noted below or on the chain-of custody and/or the sample condition upon receipt form(SCUR)attached at the end of this report. Hold Time: The samples were analyzed within the method required hold times with any exceptions noted below. Sample Preparation: The samples were prepared in accordance with EPA 3050 with any exceptions noted below. Initial Calibrations(including MS Tune as applicable): All criteria were within method requirements with any exceptions noted below. Continuing Calibration: All criteria were within method requirements with any exceptions noted below. Method Blank: All analytes were below the report limit in the method blank,where applicable,with any exceptions noted below. Laboratory Control Spike: All laboratory control spike compounds were within QC limits with any exceptions noted below. Matrix Spikes: All percent recoveries and relative percent differences(RPDs)were within acceptance criteria with any exceptions noted below. Additional Comments: REPORT OF LABORATORY ANALYSIS This report shall not be reproduced,except in full, without the written consent of Pace Analytical Services,LLC. Page 5 of 21 Pace Analytical Services,LLC aceAnalyti ® 170 l ecal M napol s Street Suite,MN www.pacelabs.com (612)607-1700 PROJECT NARRATIVE Project: B1908106.01 Redwood Pond Pace Project No.: 10498573 Method: EPA 8270D by SIM Description: 8270D MSSV CPAH by SIM Client: Braun Intertec Corporation Date: November 20,2019 General Information: 2 samples were analyzed for EPA 8270D by SIM. All samples were received in acceptable condition with any exceptions noted below or on the chain-of custody and/or the sample condition upon receipt form(SCUR)attached at the end of this report. Hold Time: The samples were analyzed within the method required hold times with any exceptions noted below. Sample Preparation: The samples were prepared in accordance with EPA 3550 with any exceptions noted below. Initial Calibrations(including MS Tune as applicable): All criteria were within method requirements with any exceptions noted below. QC Batch:643578 SS:This analyte did not meet the secondary source verification criteria for the initial calibration.The reported result should be considered an estimated value. •LCS (Lab ID:3464973) •7,12-Dimethylbenz(a)anthracene •MS (Lab ID:3464974) •7,12-Dimethylbenz(a)anthracene •MSD (Lab ID:3464975) •7,12-Dimethylbenz(a)anthracene Continuing Calibration: All criteria were within method requirements with any exceptions noted below. Internal Standards: All internal standards were within QC limits with any exceptions noted below. Surrogates: All surrogates were within QC limits with any exceptions noted below. Method Blank: All analytes were below the report limit in the method blank,where applicable,with any exceptions noted below. Laboratory Control Spike: All laboratory control spike compounds were within QC limits with any exceptions noted below. QC Batch:643578 L1:Analyte recovery in the laboratory control sample(LCS)was above QC limits. Results for this analyte in associated samples may be biased high. •LCS (Lab ID:3464973) •2-Nitrofluorene •4-Nitropyrene REPORT OF LABORATORY ANALYSIS This report shall not be reproduced,except in full, without the written consent of Pace Analytical Services,LLC. Page 6 of 21 Pace Analytical Services,LLC aceAnalyti ® 170 l ecal M napol s Street Suite,MN www.pacelabs.com (612)607-1700 PROJECT NARRATIVE Project: B1908106.01 Redwood Pond Pace Project No.: 10498573 Method: EPA 8270D by SIM Description: 8270D MSSV CPAH by SIM Client: Braun Intertec Corporation Date: November 20,2019 Matrix Spikes: All percent recoveries and relative percent differences(RPDs)were within acceptance criteria with any exceptions noted below. Additional Comments: Analyte Comments: QC Batch:643578 N2:The lab does not hold NELAC/TNI accreditation for this parameter but other accreditations/certifications may apply.A complete list of accreditations/certifications is available upon request. •BLANK (Lab ID:3464972) • 1-Nitropyrene •2-Nitrofluorene •4-Nitropyrene •Benzofluoranthenes(Total) •LCS (Lab ID:3464973) • 1-Nitropyrene •2-Nitrofluorene •4-Nitropyrene •Benzofluoranthenes(Total) •MS (Lab ID:3464974) • 1-Nitropyrene •2-Nitrofluorene •4-Nitropyrene •Benzofluoranthenes(Total) •MSD (Lab ID:3464975) • 1-Nitropyrene •2-Nitrofluorene •4-Nitropyrene •Benzofluoranthenes(Total) •SS-3 (Lab ID: 10498573001) • 1-Nitropyrene •2-Nitrofluorene •4-Nitropyrene •Total BaP Eq.MN 2006 ND=O •Benzofluoranthenes(Total) •SS-4 (Lab ID: 10498573002) • 1-Nitropyrene •2-Nitrofluorene •4-Nitropyrene •Total BaP Eq.MN 2006 ND=O •Benzofluoranthenes(Total) This data package has been reviewed for quality and completeness and is approved for release. REPORT OF LABORATORY ANALYSIS This report shall not be reproduced,except in full, without the written consent of Pace Analytical Services,LLC. Page 7 of 21 Pace Analytical Services,LLC ® 170 aceAnalytical Minneapolis,l t MN1554104 www.pacelabs.cam (612)607-1700 ANALYTICAL RESULTS Project: B1908106.01 Redwood Pond Pace Project No.: 10498573 Sample: SS-3 Lab ID: 10498573001 Collected: 11/06/19 13:00 Received: 11/07/19 14:17 Matrix: Solid Results reported on a "dry weight"basis and are adjusted for percent moisture,sample size and any dilutions. Parameters Results Units Report Limit DF Prepared Analyzed CAS No. Qual 6010D MET ICP Analytical Method: EPA 6010D Preparation Method:EPA 3050 Arsenic 3.5 mg/kg 1.5 1 11/11/19 11:36 11/11/19 18:02 7440-38-2 Copper 21.6 mg/kg 0.74 1 11/11/19 11:36 11/11/19 18:02 7440-50-8 Dry Weight/%M by ASTM D2974 Analytical Method:ASTM D2974 Percent Moisture 35.1 % 0.10 1 11/08/19 11:00 8270D MSSV CPAH by SIM Analytical Method: EPA 8270D by SIM Preparation Method:EPA 3550 Acenaphthene ND mg/kg 0.015 1 11/07/19 16:33 11/19/19 19:01 83-32-9 Acenaphthylene ND mg/kg 0.015 1 11/07/19 16:33 11/19/19 19:01 208-96-8 Anthracene 0.021 mg/kg 0.015 1 11/07/19 16:33 11/19/19 19:01 120-12-7 Benzo(a)anthracene 0.10 mg/kg 0.015 1 11/07/19 16:33 11/19/19 19:01 56-55-3 Benzo(a)pyrene 0.12 mg/kg 0.015 1 11/07/19 16:33 11/19/19 19:01 50-32-8 Benzo(e)pyrene 0.13 mg/kg 0.015 1 11/07/19 16:33 11/19/19 19:01 192-97-2 Benzo(g,h,i)perylene 0.11 mg/kg 0.015 1 11/07/19 16:33 11/19/19 19:01 191-24-2 Benzofluoranthenes(Total) 0.31 mg/kg 0.046 1 11/07/19 16:33 11/19/19 19:01 N2 Carbazole ND mg/kg 0.015 1 11/07/19 16:33 11/19/19 19:01 86-74-8 2-Chloronaphthalene ND mg/kg 0.015 1 11/07/19 16:33 11/19/19 19:01 91-58-7 Chrysene 0.20 mg/kg 0.015 1 11/07/19 16:33 11/19/19 19:01 218-01-9 Dibenz(a,h)acridine ND mg/kg 0.015 1 11/07/19 16:33 11/19/19 19:01 226-36-8 Dibenz(a,h)anthracene 0.025 mg/kg 0.015 1 11/07/19 16:33 11/19/19 19:01 53-70-3 Dibenz(a,j)acridine ND mg/kg 0.015 1 11/07/19 16:33 11/19/19 19:01 224-42-0 Dibenzo(a,e)pyrene 0.059 mg/kg 0.015 1 11/07/19 16:33 11/19/19 19:01 192-65-4 Dibenzo(a,h)pyrene 0.026 mg/kg 0.015 1 11/07/19 16:33 11/19/19 19:01 189-64-0 Dibenzo(a,i)pyrene ND mg/kg 0.015 1 11/07/19 16:33 11/19/19 19:01 189-55-9 Dibenzo(a,l)pyrene ND mg/kg 0.015 1 11/07/19 16:33 11/19/19 19:01 191-30-0 7H-Dibenzo(c,g)carbazole ND mg/kg 0.015 1 11/07/19 16:33 11/19/19 19:01 194-59-2 Dibenzofuran ND mg/kg 0.015 1 11/07/19 16:33 11/19/19 19:01 132-64-9 7,12-Dimethylbenz(a)anthracene ND mg/kg 0.015 1 11/07/19 16:33 11/19/19 19:01 57-97-6 Fluoranthene 0.34 mg/kg 0.015 1 11/07/19 16:33 11/19/19 19:01 206-44-0 Fluorene ND mg/kg 0.015 1 11/07/19 16:33 11/19/19 19:01 86-73-7 Indeno(1,2,3-cd)pyrene 0.088 mg/kg 0.015 1 11/07/19 16:33 11/19/19 19:01 193-39-5 3-Methylcholanthrene ND mg/kg 0.015 1 11/07/19 16:33 11/19/19 19:01 56-49-5 5-Methylchrysene 0.029 mg/kg 0.015 1 11/07/19 16:33 11/19/19 19:01 3697-24-3 1-Methylnaphthalene ND mg/kg 0.015 1 11/07/19 16:33 11/19/19 19:01 90-12-0 2-Methylnaphthalene ND mg/kg 0.015 1 11/07/19 16:33 11/19/19 19:01 91-57-6 Naphthalene ND mg/kg 0.015 1 11/07/19 16:33 11/19/19 19:01 91-20-3 5-Nitroacenaphthene ND mg/kg 0.015 1 11/07/19 16:33 11/19/19 19:01 602-87-9 6-Nitrochrysene ND mg/kg 0.015 1 11/07/19 16:33 11/19/19 19:01 7496-02-8 2-Nitrofluorene ND mg/kg 0.015 1 11/07/19 16:33 11/19/19 19:01 607-57-8 L1,N2 1-Nitropyrene ND mg/kg 0.015 1 11/07/19 16:33 11/19/19 19:01 5522-43-0 N2 4-Nitropyrene ND mg/kg 0.015 1 11/07/19 16:33 11/19/19 19:01 57835-92-4 L1,N2 Perylene 0.052 mg/kg 0.015 1 11/07/19 16:33 11/19/19 19:01 198-55-0 Phenanthrene 0.13 mg/kg 0.015 1 11/07/19 16:33 11/19/19 19:01 85-01-8 Pyrene 0.27 mg/kg 0.015 1 11/07/19 16:33 11/19/19 19:01 129-00-0 Total BaP Eq. MN 2006 ND=0 0.53 mg/kg 1 11/07/19 16:33 11/19/19 19:01 N2 REPORT OF LABORATORY ANALYSIS This report shall not be reproduced,except in full, Date: 11/20/2019 01:13 PM without the written consent of Pace Analytical Services,LLC. Page 8 of 21 Pace Analytical Services,LLC ® 170 aceAnalytical Minneapolis,l t MN1554104 www.pacelabs.cam (612)607-1700 ANALYTICAL RESULTS Project: B1908106.01 Redwood Pond Pace Project No.: 10498573 Sample: SS-3 Lab ID: 10498573001 Collected: 11/06/19 13:00 Received: 11/07/19 14:17 Matrix: Solid Results reported on a "dry weight"basis and are adjusted for percent moisture,sample size and any dilutions. Parameters Results Units Report Limit DF Prepared Analyzed CAS No. Qual 8270D MSSV CPAH by SIM Analytical Method: EPA 8270D by SIM Preparation Method:EPA 3550 Surrogates 2-Fluorobiphenyl(S) 77 %. 30-125 1 11/07/19 16:33 11/19/19 19:01 321-60-8 p-Terphenyl-d14(S) 74 %. 30-127 1 11/07/19 16:33 11/19/19 19:01 1718-51-0 REPORT OF LABORATORY ANALYSIS This report shall not be reproduced,except in full, Date: 11/20/2019 01:13 PM without the written consent of Pace Analytical Services,LLC. Page 9 of 21 Pace Analytical Services,LLC ® 170 aceAnalytical Minneapolis,l t MN1554104 www.pacelabs.cam (612)607-1700 ANALYTICAL RESULTS Project: B1908106.01 Redwood Pond Pace Project No.: 10498573 Sample: SS-4 Lab ID: 10498573002 Collected: 11/06/19 13:30 Received: 11/07/19 14:17 Matrix: Solid Results reported on a "dry weight"basis and are adjusted for percent moisture,sample size and any dilutions. Parameters Results Units Report Limit DF Prepared Analyzed CAS No. Qual 6010D MET ICP Analytical Method: EPA 6010D Preparation Method:EPA 3050 Arsenic 6.0 mg/kg 1.1 1 11/11/19 11:36 11/11/19 18:11 7440-38-2 Copper 11.7 mg/kg 0.56 1 11/11/19 11:36 11/11/19 18:11 7440-50-8 Dry Weight/%M by ASTM D2974 Analytical Method:ASTM D2974 Percent Moisture 17.3 % 0.10 1 11/08/19 11:00 8270D MSSV CPAH by SIM Analytical Method: EPA 8270D by SIM Preparation Method:EPA 3550 Acenaphthene ND mg/kg 0.012 1 11/07/19 16:33 11/18/19 19:59 83-32-9 Acenaphthylene ND mg/kg 0.012 1 11/07/19 16:33 11/18/19 19:59 208-96-8 Anthracene ND mg/kg 0.012 1 11/07/19 16:33 11/18/19 19:59 120-12-7 Benzo(a)anthracene ND mg/kg 0.012 1 11/07/19 16:33 11/18/19 19:59 56-55-3 Benzo(a)pyrene ND mg/kg 0.012 1 11/07/19 16:33 11/18/19 19:59 50-32-8 Benzo(e)pyrene ND mg/kg 0.012 1 11/07/19 16:33 11/18/19 19:59 192-97-2 Benzo(g,h,i)perylene ND mg/kg 0.012 1 11/07/19 16:33 11/18/19 19:59 191-24-2 Benzofluoranthenes(Total) ND mg/kg 0.036 1 11/07/19 16:33 11/18/19 19:59 N2 Carbazole ND mg/kg 0.012 1 11/07/19 16:33 11/18/19 19:59 86-74-8 2-Chloronaphthalene ND mg/kg 0.012 1 11/07/19 16:33 11/18/19 19:59 91-58-7 Chrysene 0.015 mg/kg 0.012 1 11/07/19 16:33 11/18/19 19:59 218-01-9 Dibenz(a,h)acridine ND mg/kg 0.012 1 11/07/19 16:33 11/18/19 19:59 226-36-8 Dibenz(a,h)anthracene ND mg/kg 0.012 1 11/07/19 16:33 11/18/19 19:59 53-70-3 Dibenz(a,j)acridine ND mg/kg 0.012 1 11/07/19 16:33 11/18/19 19:59 224-42-0 Dibenzo(a,e)pyrene ND mg/kg 0.012 1 11/07/19 16:33 11/18/19 19:59 192-65-4 Dibenzo(a,h)pyrene ND mg/kg 0.012 1 11/07/19 16:33 11/18/19 19:59 189-64-0 Dibenzo(a,i)pyrene ND mg/kg 0.012 1 11/07/19 16:33 11/18/19 19:59 189-55-9 Dibenzo(a,l)pyrene ND mg/kg 0.012 1 11/07/19 16:33 11/18/19 19:59 191-30-0 7H-Dibenzo(c,g)carbazole ND mg/kg 0.012 1 11/07/19 16:33 11/18/19 19:59 194-59-2 Dibenzofuran ND mg/kg 0.012 1 11/07/19 16:33 11/18/19 19:59 132-64-9 7,12-Dimethylbenz(a)anthracene ND mg/kg 0.012 1 11/07/19 16:33 11/18/19 19:59 57-97-6 Fluoranthene 0.027 mg/kg 0.012 1 11/07/19 16:33 11/18/19 19:59 206-44-0 Fluorene ND mg/kg 0.012 1 11/07/19 16:33 11/18/19 19:59 86-73-7 Indeno(1,2,3-cd)pyrene ND mg/kg 0.012 1 11/07/19 16:33 11/18/19 19:59 193-39-5 3-Methylcholanthrene ND mg/kg 0.012 1 11/07/19 16:33 11/18/19 19:59 56-49-5 5-Methylchrysene ND mg/kg 0.012 1 11/07/19 16:33 11/18/19 19:59 3697-24-3 1-Methylnaphthalene ND mg/kg 0.012 1 11/07/19 16:33 11/18/19 19:59 90-12-0 2-Methylnaphthalene ND mg/kg 0.012 1 11/07/19 16:33 11/18/19 19:59 91-57-6 Naphthalene ND mg/kg 0.012 1 11/07/19 16:33 11/18/19 19:59 91-20-3 5-Nitroacenaphthene ND mg/kg 0.012 1 11/07/19 16:33 11/18/19 19:59 602-87-9 6-Nitrochrysene ND mg/kg 0.012 1 11/07/19 16:33 11/18/19 19:59 7496-02-8 2-Nitrofluorene ND mg/kg 0.012 1 11/07/19 16:33 11/18/19 19:59 607-57-8 L1,N2 1-Nitropyrene ND mg/kg 0.012 1 11/07/19 16:33 11/18/19 19:59 5522-43-0 N2 4-Nitropyrene ND mg/kg 0.012 1 11/07/19 16:33 11/18/19 19:59 57835-92-4 L1,N2 Perylene ND mg/kg 0.012 1 11/07/19 16:33 11/18/19 19:59 198-55-0 Phenanthrene ND mg/kg 0.012 1 11/07/19 16:33 11/18/19 19:59 85-01-8 Pyrene 0.020 mg/kg 0.012 1 11/07/19 16:33 11/18/19 19:59 129-00-0 Total BaP Eq. MN 2006 ND=0 0.00015 mg/kg 1 11/07/19 16:33 11/18/19 19:59 N2 REPORT OF LABORATORY ANALYSIS This report shall not be reproduced,except in full, Date: 11/20/2019 01:13 PM without the written consent of Pace Analytical Services,LLC. Page 10 of 21 Pace Analytical Services,LLC ® 170 aceAnalytical Minneapolis,l t MN1554104 www.pacelabs.cam (612)607-1700 ANALYTICAL RESULTS Project: B1908106.01 Redwood Pond Pace Project No.: 10498573 Sample: SS-4 Lab ID: 10498573002 Collected: 11/06/19 13:30 Received: 11/07/19 14:17 Matrix: Solid Results reported on a "dry weight"basis and are adjusted for percent moisture,sample size and any dilutions. Parameters Results Units Report Limit DF Prepared Analyzed CAS No. Qual 8270D MSSV CPAH by SIM Analytical Method: EPA 8270D by SIM Preparation Method:EPA 3550 Surrogates 2-Fluorobiphenyl(S) 72 %. 30-125 1 11/07/19 16:33 11/18/19 19:59 321-60-8 p-Terphenyl-d14(S) 81 %. 30-127 1 11/07/19 16:33 11/18/19 19:59 1718-51-0 REPORT OF LABORATORY ANALYSIS This report shall not be reproduced,except in full, Date: 11/20/2019 01:13 PM without the written consent of Pace Analytical Services,LLC. Page 11 of 21 Pace Analytical Services,LLC ® 170 aceAnalytical Minneapolis,l t MN1554114 www.pacelabs.com (612)607-1700 QUALITY CONTROL DATA Project: B1908106.01 Redwood Pond Pace Project No.: 10498573 QC Batch: 643733 Analysis Method: EPA 6010D QC Batch Method: EPA 3050 Analysis Description: 6010D Solids Associated Lab Samples: 10498573001, 10498573002 METHOD BLANK: 3465962 Matrix: Solid Associated Lab Samples: 10498573001, 10498573002 Blank Reporting Parameter Units Result Limit Analyzed Qualifiers Arsenic mg/kg ND 0.95 11/11/19 17:59 Copper mg/kg ND 0.48 11/11/19 17:59 LABORATORY CONTROL SAMPLE: 3465963 Spike LCS LCS %Rec Parameter Units Conc. Result %Rec Limits Qualifiers Arsenic mg/kg 46.3 43.6 94 80-120 Copper mg/kg 46.3 45.6 98 80-120 MATRIX SPIKE&MATRIX SPIKE DUPLICATE: 3465964 3465965 MS MSD 10498573001 Spike Spike MS MSD MS MSD %Rec Max Parameter Units Result Conc. Conc. Result Result %Rec %Rec Limits RPD RPD Qual Arsenic mg/kg 3.5 74.7 73.3 64.9 63.1 82 81 75-125 3 20 Copper mg/kg 21.6 74.7 73.3 92.3 90.6 95 94 75-125 2 20 Results presented on this page are in the units indicated by the"Units"column except where an alternate unit is presented to the right of the result. REPORT OF LABORATORY ANALYSIS This report shall not be reproduced,except in full, Date: 11/20/2019 01:13 PM without the written consent of Pace Analytical Services,LLC. Page 12 of 21 Pace Analytical Services,LLC ® 170 aceAnalytical Minneapolis,l t MN1554104 www.pacelabs.com (612)607-1700 QUALITY CONTROL DATA Project: B1908106.01 Redwood Pond Pace Project No.: 10498573 QC Batch: 643719 Analysis Method: ASTM D2974 QC Batch Method: ASTM D2974 Analysis Description: Dry Weight/%M by ASTM D2974 Associated Lab Samples: 10498573001, 10498573002 SAMPLE DUPLICATE: 3465643 10498430001 Dup Max Parameter Units Result Result RPD RPD Qualifiers Percent Moisture % 9.8 10.1 2 30 SAMPLE DUPLICATE: 3465644 10498576001 Dup Max Parameter Units Result Result RPD RPD Qualifiers Percent Moisture % 12.3 12.6 3 30 Results presented on this page are in the units indicated by the"Units"column except where an alternate unit is presented to the right of the result. REPORT OF LABORATORY ANALYSIS This report shall not be reproduced,except in full, Date: 11/20/2019 01:13 PM without the written consent of Pace Analytical Services,LLC. Page 13 of 21 Pace Analytical Services,LLC ® 170 aceAnalytical Minneapolis,l t MN1554114 www.pacelabs.com (612)607-1700 QUALITY CONTROL DATA Project: B1908106.01 Redwood Pond Pace Project No.: 10498573 QC Batch: 643578 Analysis Method: EPA 8270D by SIM QC Batch Method: EPA 3550 Analysis Description: 8270D CPAH by SIM MSSV Associated Lab Samples: 10498573001, 10498573002 METHOD BLANK: 3464972 Matrix: Solid Associated Lab Samples: 10498573001, 10498573002 Blank Reporting Parameter Units Result Limit Analyzed Qualifiers 1-Methylnaphthalene mg/kg ND 0.010 11/15/19 12:23 1-Nitropyrene mg/kg ND 0.010 11/15/19 12:23 N2 2-Chloronaphthalene mg/kg ND 0.010 11/15/19 12:23 2-Methylnaphthalene mg/kg ND 0.010 11/15/19 12:23 2-Nitrofluorene mg/kg ND 0.010 11/15/19 12:23 N2 3-Methylcholanthrene mg/kg ND 0.010 11/15/19 12:23 4-Nitropyrene mg/kg ND 0.010 11/15/19 12:23 N2 5-Methylchrysene mg/kg ND 0.010 11/15/19 12:23 5-Nitroacenaphthene mg/kg ND 0.010 11/15/19 12:23 6-Nitrochrysene mg/kg ND 0.010 11/15/19 12:23 7,12-Dimethylbenz(a)anthracene mg/kg ND 0.010 11/15/19 12:23 7H-Dibenzo(c,g)carbazole mg/kg ND 0.010 11/15/19 12:23 Acenaphthene mg/kg ND 0.010 11/15/19 12:23 Acenaphthylene mg/kg ND 0.010 11/15/19 12:23 Anthracene mg/kg ND 0.010 11/15/19 12:23 Benzo(a)anthracene mg/kg ND 0.010 11/15/19 12:23 Benzo(a)pyrene mg/kg ND 0.010 11/15/19 12:23 Benzo(e)pyrene mg/kg ND 0.010 11/15/19 12:23 Benzo(g,h,i)perylene mg/kg ND 0.010 11/15/19 12:23 Benzofluoranthenes(Total) mg/kg ND 0.030 11/15/19 12:23 N2 Carbazole mg/kg ND 0.010 11/15/19 12:23 Chrysene mg/kg ND 0.010 11/15/19 12:23 Dibenz(a,h)acridine mg/kg ND 0.010 11/15/19 12:23 Dibenz(a,h)anthracene mg/kg ND 0.010 11/15/19 12:23 Dibenz(a,j)acridine mg/kg ND 0.010 11/15/19 12:23 Dibenzo(a,e)pyrene mg/kg ND 0.010 11/15/19 12:23 Dibenzo(a,h)pyrene mg/kg ND 0.010 11/15/19 12:23 Dibenzo(a,i)pyrene mg/kg ND 0.010 11/15/19 12:23 Dibenzo(a,l)pyrene mg/kg ND 0.010 11/15/19 12:23 Dibenzofuran mg/kg ND 0.010 11/15/19 12:23 Fluoranthene mg/kg ND 0.010 11/15/19 12:23 Fluorene mg/kg ND 0.010 11/15/19 12:23 Indeno(1,2,3-cd)pyrene mg/kg ND 0.010 11/15/19 12:23 Naphthalene mg/kg ND 0.010 11/15/19 12:23 Perylene mg/kg ND 0.010 11/15/19 12:23 Phenanthrene mg/kg ND 0.010 11/15/19 12:23 Pyrene mg/kg ND 0.010 11/15/19 12:23 2-Fluorobiphenyl(S) %. 72 30-125 11/15/19 12:23 p-Terphenyl-d14(S) %. 86 30-127 11/15/19 12:23 Results presented on this page are in the units indicated by the"Units"column except where an alternate unit is presented to the right of the result. REPORT OF LABORATORY ANALYSIS This report shall not be reproduced,except in full, Date: 11/20/2019 01:13 PM without the written consent of Pace Analytical Services,LLC. Page 14 of 21 Pace Analytical Services,LLC ® 170 aceAnalytical Minneapolis,l t MN1554114 www.pacelabs.com (612)607-1700 QUALITY CONTROL DATA Project: B1908106.01 Redwood Pond Pace Project No.: 10498573 LABORATORY CONTROL SAMPLE: 3464973 Spike LCS LCS %Rec Parameter Units Conc. Result %Rec Limits Qualifiers 1-Methylnaphthalene mg/kg 0.1 0.075 75 38-125 1-Nitropyrene mg/kg 0.1 0.11 112 32-125 N2 2-Chloronaphthalene mg/kg 0.2 0.16 81 41-125 2-Methylnaphthalene mg/kg 0.1 0.077 77 42-125 2-Nitrofluorene mg/kg 0.1 0.13 131 49-127 L1,N2 3-Methylcholanthrene mg/kg 0.1 0.074 74 30-125 4-Nitropyrene mg/kg 0.1 0.13 135 38-125 L1,N2 5-Methylchrysene mg/kg 0.1 0.090 90 60-125 5-Nitroacenaphthene mg/kg 0.1 0.12 123 52-125 6-Nitrochrysene mg/kg 0.1 0.12 116 30-125 7,12-Dimethylbenz(a)anthracene mg/kg 0.1 0.084 84 30-125 SS 7H-Dibenzo(c,g)carbazole mg/kg 0.1 0.084 84 52-125 Acenaphthene mg/kg 0.1 0.083 83 43-125 Acenaphthylene mg/kg 0.1 0.083 83 38-125 Anthracene mg/kg 0.1 0.083 83 52-125 Benzo(a)anthracene mg/kg 0.1 0.090 90 56-125 Benzo(a)pyrene mg/kg 0.1 0.082 82 57-125 Benzo(e)pyrene mg/kg 0.2 0.17 84 61-125 Benzo(g,h,i)perylene mg/kg 0.1 0.088 88 51-125 Benzofluoranthenes(Total) mg/kg 0.3 0.25 85 57-125 N2 Carbazole mg/kg 0.2 0.17 84 58-125 Chrysene mg/kg 0.1 0.088 88 60-125 Dibenz(a,h)acridine mg/kg 0.1 0.089 89 53-125 Dibenz(a,h)anthracene mg/kg 0.1 0.091 91 51-125 Dibenz(a,j)acridine mg/kg 0.1 0.063 63 30-139 Dibenzo(a,e)pyrene mg/kg 0.1 0.090 90 52-125 Dibenzo(a,h)pyrene mg/kg 0.1 0.092 92 51-125 Dibenzo(a,i)pyrene mg/kg 0.1 0.092 92 47-125 Dibenzo(a,l)pyrene mg/kg 0.1 0.068 68 30-125 Dibenzofuran mg/kg 0.2 0.17 83 48-125 Fluoranthene mg/kg 0.1 0.085 85 60-125 Fluorene mg/kg 0.1 0.085 85 50-125 Indeno(1,2,3-cd)pyrene mg/kg 0.1 0.089 89 52-125 Naphthalene mg/kg 0.1 0.074 74 39-125 Perylene mg/kg 0.1 0.080 80 63-125 Phenanthrene mg/kg 0.1 0.082 82 57-125 Pyrene mg/kg 0.1 0.094 94 59-125 2-Fluorobiphenyl(S) %. 79 30-125 p-Terphenyl-d14(S) %. 89 30-127 MATRIX SPIKE&MATRIX SPIKE DUPLICATE: 3464974 3464975 MS MSD 10497697009 Spike Spike MS MSD MS MSD %Rec Max Parameter Units Result Conc. Conc. Result Result %Rec %Rec Limits RPD RPD Qual 1-Methylnaphthalene mg/kg ND 0.12 0.12 0.079 0.080 67 68 32-125 2 30 Results presented on this page are in the units indicated by the"Units"column except where an alternate unit is presented to the right of the result. REPORT OF LABORATORY ANALYSIS This report shall not be reproduced,except in full, Date: 11/20/2019 01:13 PM without the written consent of Pace Analytical Services,LLC. Page 15 of 21 Pace Analytical Services,LLC ® 170 aceAnalytical Minneapolis,l t MN1554104 www.pacelabs.com (612)607-1700 QUALITY CONTROL DATA Project: B1908106.01 Redwood Pond Pace Project No.: 10498573 MATRIX SPIKE&MATRIX SPIKE DUPLICATE: 3464974 3464975 MS MSD 10497697009 Spike Spike MS MSD MS MSD %Rec Max Parameter Units Result Conc. Conc. Result Result %Rec %Rec Limits RPD RPD Qual 1-Nitropyrene mg/kg ND 0.12 0.12 0.056 0.059 48 50 30-125 4 30 N2 2-Chloronaphthalene mg/kg ND 0.23 0.23 0.18 0.18 79 78 43-125 1 30 2-Methylnaphthalene mg/kg ND 0.12 0.12 0.077 0.078 66 66 36-125 1 30 2-Nitrofluorene mg/kg ND 0.12 0.12 0.11 0.11 92 91 30-150 0 30 N2 3-Methylcholanthrene mg/kg ND 0.12 0.12 0.068 0.064 59 55 30-125 7 30 4-Nitropyrene mg/kg ND 0.12 0.12 0.063 0.066 54 57 30-125 5 30 N2 5-Methylchrysene mg/kg ND 0.12 0.12 0.099 0.098 85 84 43-125 1 30 5-Nitroacenaphthene mg/kg ND 0.12 0.12 0.10 0.10 88 88 30-142 0 30 6-Nitrochrysene mg/kg ND 0.12 0.12 0.037 0.039 32 34 30-125 7 30 7,12- mg/kg ND 0.12 0.12 0.067 0.064 58 55 30-131 5 30 SS Dimethylbenz(a)anthracene 7H-Dibenzo(c,g)carbazole mg/kg ND 0.12 0.12 0.087 0.087 75 75 30-125 0 30 Acenaphthene mg/kg ND 0.12 0.12 0.094 0.093 81 80 30-125 1 30 Acenaphthylene mg/kg ND 0.12 0.12 0.088 0.087 74 73 39-125 1 30 Anthracene mg/kg ND 0.12 0.12 0.092 0.090 77 75 30-126 2 30 Benzo(a)anthracene mg/kg 0.015 0.12 0.12 0.11 0.10 82 75 30-150 7 30 Benzo(a)pyrene mg/kg 0.021 0.12 0.12 0.11 0.098 74 66 30-146 8 30 Benzo(e)pyrene mg/kg 17.6 ug/kg 0.23 0.23 0.19 0.19 76 73 30-139 3 30 Benzo(g,h,i)perylene mg/kg 0.021 0.12 0.12 0.11 0.10 75 70 30-150 6 30 Benzofluoranthenes(Total) mg/kg 42.1 ug/kg 0.35 0.35 0.30 0.29 75 72 30-150 4 30 N2 Carbazole mg/kg ND 0.23 0.23 0.18 0.18 78 77 30-125 1 30 Chrysene mg/kg 0.020 0.12 0.12 0.12 0.11 83 76 30-150 7 30 Dibenz(a,h)acridine mg/kg ND 0.12 0.12 0.089 0.090 76 77 34-125 1 30 Dibenz(a,h)anthracene mg/kg ND 0.12 0.12 0.088 0.088 72 71 30-125 0 30 Dibenz(a,j)acridine mg/kg ND 0.12 0.12 0.084 0.085 72 73 30-133 1 30 Dibenzo(a,e)pyrene mg/kg ND 0.12 0.12 0.094 0.090 71 68 30-134 4 30 Dibenzo(a,h)pyrene mg/kg ND 0.12 0.12 0.092 0.094 75 76 30-133 2 30 Dibenzo(a,i)pyrene mg/kg ND 0.12 0.12 0.085 0.080 72 67 30-134 6 30 Dibenzo(a,l)pyrene mg/kg ND 0.12 0.12 0.069 0.059 59 50 30-125 15 30 Dibenzofuran mg/kg ND 0.23 0.23 0.19 0.19 80 80 38-125 0 30 Fluoranthene mg/kg 0.017 0.12 0.12 0.11 0.11 82 78 30-150 4 30 Fluorene mg/kg ND 0.12 0.12 0.095 0.096 80 80 39-125 1 30 Indeno(1,2,3-cd)pyrene mg/kg 0.016 0.12 0.12 0.10 0.10 76 72 30-144 4 30 Naphthalene mg/kg ND 0.12 0.12 0.072 0.074 60 62 30-125 3 30 Perylene mg/kg ND 0.12 0.12 0.097 0.098 74 75 30-146 1 30 Phenanthrene mg/kg ND 0.12 0.12 0.095 0.096 78 79 30-150 1 30 Pyrene mg/kg 0.016 0.12 0.12 0.11 0.11 83 80 30-150 3 30 2-Fluorobiphenyl(S) %. 73 72 30-125 p-Terphenyl-d14(S) %. 80 79 30-127 Results presented on this page are in the units indicated by the"Units"column except where an alternate unit is presented to the right of the result. REPORT OF LABORATORY ANALYSIS This report shall not be reproduced,except in full, Date: 11/20/2019 01:13 PM without the written consent of Pace Analytical Services,LLC. Page 16 of 21 Pace Analytical Services,LLC aceAnalyti ® 170 l ecal M napol s Street Suite,MN www.pacelabs.cam (612)607-1700 QUALIFIERS Project: B1908106.01 Redwood Pond Pace Project No.: 10498573 DEFINITIONS DF-Dilution Factor,if reported,represents the factor applied to the reported data due to dilution of the sample aliquot. ND-Not Detected at or above adjusted reporting limit. TNTC-Too Numerous To Count J-Estimated concentration above the adjusted method detection limit and below the adjusted reporting limit. MDL-Adjusted Method Detection Limit. PQL-Practical Quantitation Limit. RL-Reporting Limit-The lowest concentration value that meets project requirements for quantitative data with known precision and bias for a specific analyte in a specific matrix. S-Surrogate 1,2-Diphenylhydrazine decomposes to and cannot be separated from Azobenzene using Method 8270.The result for each analyte is a combined concentration. Consistent with EPA guidelines,unrounded data are displayed and have been used to calculate%recovery and RPD values. LCS(D)-Laboratory Control Sample(Duplicate) MS(D)-Matrix Spike(Duplicate) DUP-Sample Duplicate RPD-Relative Percent Difference NC-Not Calculable. SG-Silica Gel-Clean-Up U-Indicates the compound was analyzed for,but not detected. N-Nitrosodiphenylamine decomposes and cannot be separated from Diphenylamine using Method 8270. The result reported for each analyte is a combined concentration. Pace Analytical is TNI accredited.Contact your Pace PM for the current list of accredited analytes. TNI-The NELAC Institute. LABORATORIES PASI-M Pace Analytical Services-Minneapolis ANALYTE QUALIFIERS L1 Analyte recovery in the laboratory control sample(LCS)was above QC limits. Results for this analyte in associated samples may be biased high. N2 The lab does not hold NELAC/TNI accreditation for this parameter but other accreditations/certifications may apply.A complete list of accreditations/certifications is available upon request. SS This analyte did not meet the secondary source verification criteria for the initial calibration.The reported result should be considered an estimated value. REPORT OF LABORATORY ANALYSIS This report shall not be reproduced,except in full, Date: 11/20/2019 01:13 PM without the written consent of Pace Analytical Services,LLC. Page 17 of 21 Pace Analytical Services,LLC ® 170 aceAnalytical Minneapolis,l t MN1554104 www.pacelabs.cam (612)607-1700 QUALITY CONTROL DATA CROSS REFERENCE TABLE Project: B1908106.01 Redwood Pond Pace Project No.: 10498573 Analytical Lab ID Sample ID QC Batch Method QC Batch Analytical Method Batch 10498573001 SS-3 EPA 3050 643733 EPA 6010D 644209 10498573002 SS-4 EPA 3050 643733 EPA 6010D 644209 10498573001 SS-3 ASTM D2974 643719 10498573002 SS-4 ASTM D2974 643719 10498573001 SS-3 EPA 3550 643578 EPA 8270D by SIM 645235 10498573002 SS-4 EPA 3550 643578 EPA 8270D by SIM 645235 REPORT OF LABORATORY ANALYSIS This report shall not be reproduced,except in full, Date: 11/20/2019 01:13 PM without the written consent of Pace Analytical Services,LLC. Page 18 of 21 • (N/A) 4caj Ioe�u1 saldwes Cil Z 0O p N. CV Z w Z o z w z (N/A) Z 2 1- CIo O �a1oo0 paleag o o O O d (po�sn0 0 L0. M L Ltill° '� - w (N/A)aol o '0,__, r co mom. uo pen!aoaa o • w U a — I ..... )Ised ... O,of dwal Q o }. Z A . � iL A! ._, ILI 0 W 2 L: L _ m • • ��� a 1- = � I�.0 c OI— w F ''m U. ao a � u • mzo W L L.1 N 2 3 -� o .22, 13 O- y jq yJ - 'O Cc y v 7 'I V G�� 'S'� p y Ca 7 N CC �t(te5.Jt1 � a o E � % Ce D I N/A j;sal sisiquuv f coo_ °. c4 aa410 w y 0. C) > louey1aw w �, EOzSzeN a 1 c6 a • HOeN L. c I- c•O z - 3 �+ .3 Q w c y a £ IOH 2 E ONH II@ s7" € bOSzHO 0 Z s e = e iri N sw pan/asaduf ty M W O(/) in ¢ 0 ¢ a a" a" S I2NIH1NOO d0# !"\ M w n mN j wE1 di/GI w EV ' ao I- Q a aLL w a Z 2 a rn a , O U Ilk cn co1 H Z 9 '_i 0" d W C a Q t Q 2 W w Z F ° ¢ 2 7,Um w ❑ a Z2 E z C o 0 cc W Q O m Z n 0 U F- M M u. co a € p y - W .p 00 .€ �. N E '21. . = m c o �dW00=0 9V2�O=`J) 3dA13ldWVS , Z �� >. V Z .. o a m a (ya101 sapoo pgen aas) 3aoo XRllt/W K r m 9 o O E E kit V1114 ! z p . t I- Ca Z Z I-id_i_1dKtnl- Z u c a a m y W ❑� cn0 <IO m w v d o ` 0 0 v o o, (q w w U a a a O. xg3 0 § c:Zt - .... . 2§ C ate.5 O(5 O. d oac103¢FO Z w W H ® .s q a E Rte p z 1T _ IL W ,w ( 1 a m Rf E r t € d d D (/) z iii2cj J Q --g a r J � c U (q a E 0 E. \ C y t N p ( N U Q co V) '5 a � ~ 2 2 y re Page 19 of 21 6 r CD U ¢ w a_D #W311 w coM v �n m n coo rn Document Name: Document Revised:23Aug2019 Sample Condition Upon Receipt Form Page 1 of 1 r ,y eace'AnalyllCc?l Document No.: Issuing Authority: ;t F-MN-L-213-rev.29 Pace Minnesota Quality Office Sample Condition Client Name: Project#: WO • 10498573 Upon Receipt 98 ■ . 36,,,, 'c1"4'eca-ec PM: BM2 Due Date: 11/14/19 Courier: Fed Ex ❑UPS ❑LISPS ❑Client CLIENT: Braun-BLM Pace ❑SpeeDee ['Commercial See Exceptions Tracking Number: 0 Custody Seal on Cooler/Box Present? ❑Yes No Seals Intact? Dyes jNo Biological Tissue Frozen? Oyes [No ®N/A Packing Material: ['Bubble Wrap Bubble Bags [None ['Other: Temp Blank? jYes ❑No Thermometer: ❑T1(0461) ❑T2(1336)❑T3(0459) Type of Ice: *Wet ['Blue ❑None ['Dry ❑Melted ❑T4(0254) T5(0489) Note:Each West Virginia Sample must have temp taken(no temp blanks) Temp should be above freezing to 6°C Cooler Temp Read w/temp blank: 0, I °C Average Corrected Temp (no temp blank only): ❑See Exceptions Correction Factor: - 0, t Cooler Temp Corrected w/temp blank: 0,0 °C °C Di Container USDA Regulated Soil:(❑N/A,water sample/Other: ) Date/Initials of Person Examining Contents: C'6a Il'7/i'1 Did samples originate in a quarantine zone within the United States:AL,AR,CA,FL,GA, Did samples originate from a foreign source(internationally,including ID,LA.MS,NC,NM,NY,OK,OR,SC,TN,TX or VA(check maps)? Oyes NNo Hawaii and Puerto Rico)? :Yes ftNo If Yes to either question,fill out a Regulated Soil Checklist(F-MN-Q-338)and include with SCUR/COC paperwork. COMMENTS: Chain of Custody Present and Filled Out? ®Yes ❑No 1. Chain of Custody Relinquished? Yes ❑No 2. Sampler Name and/or Signature on COC? Yes ❑No ❑N/A 3. Samples Arrived within Hold Time? Yes ['No 4. Short Hold Time Analysis(<72 hr)? Oyes ,( f No 5. ❑Fecal Coliform[WPC❑Total Coliform/E cot❑BOD/cBOD['Hex Chrome ❑Turbidity❑Nitrate['Nitrite❑Orthophos❑Other Rush Turn Around Time Requested? ['Yes Cg(No 6. Sufficient Volume? NIYes ❑No 7. Correct Containers Used? Yes ❑No 8. -Pace Containers Used? Yes ❑No Containers Intact? Yes ❑No 9. Field Filtered Volume Received for Dissolved Tests? Oyes ❑No , 1N/A 10. Is sediment visible in the dissolved container?Eyes ❑No Is sufficient information available to reconcile the samples 11. If no, write ID/Date/Time on Container Below: See Exception to the COC? NYes ❑No 0 Matrix:❑Water&oil Doll ❑Other All containers needing acid/base preservation have been Dyes ❑No ,XN/A 12.Sample# checked? All containers needing preservation are found to be in ❑Yes ❑No 50N/A ❑NaOH ❑HNO3 ❑H2SO4 ❑Zinc Acetate compliance with EPA recommendation? (HNO3,H2504,<2pH, NaOH>9 Sulfide,NaOH>12 Cyanide) Positive for Res.Dyes See Exception Exceptions:VOA,Coliform,TOC/DOC Oil and Grease, ❑Yes ❑No MN/A Chlorine? ❑No pH Paper Lot# 0 • DRO/8015(water)and Dioxin/PFAS Res.Chlorine 0-6 Roll 0-6 Strip 0-14 Strip 13. See Exception Headspace in VOA Vials(greater than 6mm)? Oyes ❑No N/A ❑ Trip Blank Present? ❑Yes ❑No N/A 14. Trip Blank Custody Seals Present? ❑Yes ❑No N/A Pace Trip Blank Lot#(if purchased): CLIENT NOTIFICATION/RESOLUTION Field Data Required? Oyes ❑No Person Contacted: Date/Time: Comments/Resolution: Project Manager Review: g�2. --Z Date: // 8 /9 Note: Whenever there is a discrepancy affecting North Carolina compliance samples,a copy of this form will be sent to the North arolina DEHNR Certification Office(i.e out of hold,incorrect preservative,out of temp,incorrect containers). Labeled by: %�� Pdyc 20 of 21 ...._.._..............,.wa.7xroi.wr:C!Yrrrxuzaratzcdv:,Malr^i?tASIU:,�:�e:�.'�,rdu�:ti�:rM�f�"!k`•;t s..Y+RMrmr:4Nr1Yt1l�YAY i�i.'�Va P1�11111/:yr�esUnm - 17S!4•S�F:�i,('ryst'•ir.:ii�;iiY.l{7.:.F�V7 jt5 ITii it dl,"C';''_.�: nucxxv:...4•....surnnnr. 4 =r.!G a.....414-4M�A1"%tl.V.V...,::/1,..+1nVY+`4",d71..uilt torah r+rgrJ4g14/•v,;r'gMi@INi:NH,Tiryr¢yrJ v.::rif•ACfv::Acrw.n!wnnsrsnir.vm:riaraay fSii r•+: Arihtl wc,•r.Mu'.vg1:Ya•rn.^..•.pbu pYlm:no.nn ..nnvf..a^vayRYane.n:.rgq�,y.,rr...uN•`a1uP.>tm n�ra:ai.��rvu�rn:..u.rn:Xnr. •s aceAnalytIce IllionienimmiDcumenf +d Date: 12Feb2018 Document 'aga1ofl tIs su ng Authority: in'gota Quallt Office Bloom6ngton Service Center Cooler Transfer C i -ck List Client: Braun Interteo Project Manager; ,_:________3 _ . C�oZ Received with Custody Seal: Yes k Custody Seal -Intact; Yes No Temp Read Corrected Temp Corrention Factor Temperature C; ----.�5 IR Gun# 1388A0143310092 -1a.01 ❑ Samples on Ice, cooling process has begun Rush/Short Hold: A Containers Intact; s No Re-packed and Re-Iced: AP— Temp Blank Included; No Shipped By/Date: Notes: Page 21 of 21 Attachment 3 Pond Expansion Alternatives Figures COUNTY RD 42 E150TH ST WREDWOOD DR970968966964962958956954952950968966964962972 970974972 9749729 7 2 9709 7 2 9 7 0 9 6 2 9 6 0 948960976950 9489 7 6 9 7 6 9769 7 6 972 97297 2 972972 972 972972 9709 7 0 9709709709 7 0 968 968968 968 9669 6 2 9 6 0960 960 960960974 9 7 2 9 7 0 970 9709 6 8 96 0 9 6 0 9 6 0 960 960956 Barr Footer: ArcGIS 10.7.1, 2019-12-12 15:50 File: I:\Client\AppleValley_MN\Work_Orders\23191418_Redwood_Pond\Maps\Basemaps\Figure 1-Existing Conditions.mxd User: EMAEXISTINGCONDITIONSRedwood PondApple Valley FIGURE 1 !;N 0 30 6015 Feet 1 inch = 30 feet Imager y: N earmap, April 2019 Survey Features Parcel Boundary Surface Elevation 10Ft Contour 2Ft Contour REDWOOD PONDNWL = 952.7 FEET COUNTY RD 42 E150TH ST WREDWOOD DRREDWOOD PONDNWL = 952.7 FEET PROTECT GARDEN AND BENCHES PROTECT L A RGE TREE MODIFY STORM SE WERMODIFY STORM SE WER RELOCATE TRAIL PROTECT E XISTING STORM SE WER STRUCTURE976974 9 6 8 966964962960958956968966964962972 970954952950948 9 7 4 9 7 2 9 7 2 9709 7 2 9 7 0 9 7 2 9 7 0972 960976950 948 9769769 7 6 972 97 2 972972 972 972972 9709 7 0 9709709709 7 0 968968968 968 9669 6 2 9 6 2 9 6 0 960 960960974 9 7 2 9 7 0 970 9709 6 8 96 0 9 6 0 9 6 0 9 6 0 9 6 0 960 960 960956954952950948956954952950948960958956954 ALTERNATIVE 1Redwood PondApple Valley FIGURE 2 !;N 0 30 6015 Feet 1 inch = 30 feet Imager y: N earmap, April 2019 Storm Sewer Removal Storm Sewer Modification Sidewalk Proposed 10Ft Contour Proposed 2Ft Contour Existing Surface Elevation 10Ft Contour 2Ft Contour Survey Features Parcel Boundary 7, r. 1 - gar„.. . , . h ` J3 J , .T,':' ..3''-' ' A . r r r - : yi ...11\ ..:.... t4k, _______. ...:„. L, • 1. • 'Y .j • - ..\ .. . - 1t . •• . .. _ r. '.Y. : . a. • • a i : ..- /I- e :-.4./..."-411;::: , III :'3i10. ,,..v.,,,,,_ ., ...,....v _..r, . ." • 'oil, -e - � t��'4 t fir• �., ' •' ♦♦♦♦ \� ^ ^ f .. . . „...„. __ _____ . _____ , . ._.,._ :..1-:- . ., ,...;:..- . .. _ . lip_ , --T. i : _- ..:.-----L £r:x _ y. '' i`_ ♦♦ 47. . = �_ . ^9 : ': ram: • ' • *______..•,._..;;._:.,„:„.„,;.-: ...'711,,_._„T... _:_. ,.__, _- ..,..,_. _ .__ . . __ ..?- • - -a.: lAigil 1110 I:, • i• . ,..,.._ ./.// .---... • 4. t _ - . I . ,.-.... , . , , ..- • .' . if 4 • ..... . . '1. _ � •.}tt.i.'') , i _ RELOCATE TRAIL ♦i♦ _ ..t' :--- - • 44-11 ' . .. . . - - • - -- 412::te,.,1-1.::46, ,,.... ,..._ ..,, _ ..:„.... ,.. . .. . . . " .. . . ..... . . #./ \ "'a / . ' . . ) "Eliggill . _ - , ( • ../ 14-7 ' - Y_: 0)4:7),/,:\firc:),..-,Aill,, ..,.._ i . _. . .._... . _..,. ., . .,. .. . _ w r: . _ : .�; '::>e ' f _: II ♦♦♦ heo = MODIFY STORM SEWER- , ii, Alik 950 956 , Aiiikikk. Lift.. w : ! , .. . . .•-.......7.'„;_'..'.:. .:,..,:_. _.., ..,.. , . , ,_,„„, ___ . \_ _ .... . . _. ,._ . ... . . . ihrriLmommilidi.. _. -,,, . ,,r . ' s,,ILL • .'.-'-t -•I''. . ,.. . ' - r ,.:- . . /•. • -) ' ' . '-. • ..4,' i i / \\, • - -••••• -)4i. 44 _,. . . 4 __- - -- + l • •• '�.•�. - �: A• l'• ! 1. ^+, T i - -. \ 4".'4 �!I! -�..•• i /� 'i• -.� _: w'' �'S r5-. .,.. Ai .,. , . .r. .. .: .. :.,, . a �' '•' 960 Li t •1„ya ♦♦ f a �. • ^• ''l' J11�• - 5. . r'6 ._ ! . i 1.'. - T s � .! • ♦♦ i J+. - f 1• •J r � ...,..42_... ,,,,,. ,_":._... ,c ._ *If, . .II — •._,.. _i.iii..-....-"-.-.. ••,..., .-: iler • ._ . ,..., s g ) .• .,..V? `i p.: a y�. Try ♦ �: al ;4 \ .:. - /0167) • . ' ,. . ._ . 41...• q`Pi''+� :;left ' 9. f 0�� s :�.�.. �, a it • • / . ... ,,. .. . ♦♦♦• II 1 �► ,. f• ~. - - r- r tiiAl y' •,,.: ? 'rT, j f •' ." - ♦♦ VA": - - - -7... - _y.w.�,.. ----- - .�.. ril 417-i , . 4 _ d ..,...,..„.,, ,..,.: .. .,..„.... _ ,,. .,_,_ _ .. .. . . .._, 970 ... • • _. _ ., 7,---. . Ir. •s'.. 1.111110 .. „.... .1111...• *C*972 - a• - Offirativit - --i ,t- Alt it. _4. ; ....„ . 4 I -) 1 - ( ". i _,..." . • .." # ii,,, 4, . . ...... ., ..... .. ---/6114. f . . .. . ._ , „.,.._ ... . .. 01, 1„. ,...•: ti..:',-.....,., 7, .. __L .. . ... . ...... . :' _ �• p'17--,4`..v4 , .-.--- - lik,.! r ♦ Ci \ ,. d a �,It, . , 41.......) PII.912. , IPA v ., . : :.;' i ti I Lii .. ¢ -.- I 11 I w- - 119 pa .' MODIFY STORM SEWER : :. r: ,. g 6 f Y ♦ yy -• .1-.._ ., . i i _ . ..,.. .. . - if, r. 7.&•. 4 . . , 4. N • •• .. ...: .. . ,... . . 11 .- 'rf� '� .•�. - 'fir r - .L'' c c - . - . . •.r • ._ . -- i. ..11. If•` ..tfif.' ♦♦ - _ .. 4 ,J/ff�f"j •S- �' '1- �'F•�'�a�y „,'-'_�• - - 'j ::.,. . .. . :-.. . y. . __ . ...__.-: x • 41111 � 4.1-r ►: ♦♦♦ ,� �. /////// Storm Sewer Removalr..,--Ill, .115reffile ii- 1 , , .: 7. r •• .4 ' '.. :' �II�'•"-I ♦ � u,.�0 PROTECT LARGE TREE s • :: • Storm Sewer Modification .z` r. ♦♦ g y y 971 r / ... . / „,„ . f ♦♦�♦ • o • ':' m Sidewalk ".T':: 5 ,,. : ':: ♦ fT ::-:L' •-• -1 -: \ill -I � .J Proposed 10Ft Contour 114 Q ' :r, ;. :'i.'f ♦♦♦♦ I •• Li m �� w • _ �• tillr., = ♦♦ .*; ti I x._ ;" / Proposed 2Ft Contour yes f r , . - _ + 4 � A.. ,'r• ♦♦♦♦ s 9so ��: Existing Surface Elevation 'el' a CI y,: / S • H ♦• g'� \ ti d s 414r-'' Ir c.i AI .. miii•' =d _ :11.14 � = O ,� `` L. � � �_ _ 10Ft Contour 'F.,'..1,... . .,..,, Pa, d - _ -. all . I -., . Q4 PROTECT GARDEN AND BENCHES . ir , /'; %' ail Q y'• 96 • , ' fel .. - ' ti �;�1. 2Ft Contour . ... . ....- v• . . 444- . ------. ...1y 7 • ,, 4, SI 7 ,� 11 J; . 1 g7o Survey Features V.---___ li - . i lefillirlIP-41k AIIIIIIII°IPIPIPPr-:/ w`.xle I1 �� �., :::- :// Ai Parcel Boundary MODIFY STORM SEWERAgr �• , ::..: z o :I. Via:l \ �" �Cj'�1�;'O _ h pr • y • •••• Y y �w .... .. 950 .,., . .4„....___:„......:„ ....03 Nib. REDWOOD POND j II — t R BARR I. . , .. . : .-, l_ • �`�--- ��� ii/ l /i ' NWL — 952.7 FEET ;' '`a Apple Valley 2,-, / i -- .. ��- et--- , , A4:,-.: � - •+! a '�� 1..j. 'l:. 'f .. :-'.'ir.r7.- ..ii.!..,:ifli"-i.::..rt:.:.; r � ..- -7- .-7r-'Inv. -.• _-'-1::- ;i:11111:. - ,es Aelk • .: '''' ''46-k—...,,,.. ... --,...,- ,•,. ,—, , .. . ..... . r ....,,i,,, ..... ,„%ycvsilv.....„,4-....,..,: „. . . 2 - . :It. 0 . . 1 60 0 ,:• il , 1If , `�;; a � _ Feet ,. Ili. . , .1 +� ; :r �3. J...__., ...._ 1 inch = 30 feet -.. 4 �_ ' 948 /)9P •{ 1 ^ ` Imagery:Nearmap,April 2019 ......___________........ • o ,� r►� 9S 95 �� y �6 95 _ �� N , -- _� - , 968 N f � ,� --- -- � ' 4 _ 952 v '�Y.: _ ALTERNATIVE 2 IC, 7 N .......___ �, Redwood Pond ii Ill a� 958 960— - — • ' =+ Apple Va I I ey 1/lilli ___.. . _ . . . Q N _ 0 COUNTY RD ZE a �]SCTH �4� _ . ._ LL FIGURE 3 Attachment 4 Alternative 2 - 30% Design Plans • ...• AppValley r�1. e 7100 147TH ST W V APPLE VALLEY,MN 55124 ec`� 2 Lk,o Valley tE oN �gig So Lgin REDWOOD POND EXPANSION 2<° m¢3 -oa5 CITY PROJECT NUMBER ZUZU-1UZ clr, McAndrews Rd SHEET NUMBER SHEET TITLE GENERAL G0.01 TITLE SHEET v > G0.02 LEGEND p G0.03 GENERAL NOTES Q N CIVIL 0 C0.01 REMOVAL PLAN Z LJJ v N 140th Street C1.01 TYPICAL SECTIONS AND STORM SEWER SCHEDULE Z to O Q -a C2.01 EROSION CONTROL PLAN Z Z ci O .7 r X CC C JD C3.01 GRADING PLAN 5 d °O-005.01 STORM SEWER PLAN AND PROFILE ul N N C O U Y C8.01-C8.02 STANDARD DETAIL PLATES ly Z Z w• d 7G° N�// p 8 �"`ttttm LANDSCAPE ; @ ,1,vnn � p � F = . -0Nn.l . mu■ L1.01 L1.01-LANDSCAPING PLAN > d ■ Lu —� pv i; m THIS PLAN SET CONTAINS 11 SHEETS. w �ICL Earn EOM Street(Co. Rd 42) Q CC T�T� LL PROJECT AREA o CITY HALL H f BID SITE vW4N1114l Vinuiiiii III IIIIL 1lllllll l4Jiiiiiiii4 L��iiiiiiiii��I u Ll_ (1. MARY HAMANN-ROLAND MAYOR E C THOMAS C. GOODWIN COUNCILMEMBER NO.REVISION DATE a 0 160th Street(CO. Rd 46) CLINT HOOPPAW COUNCILMEMBER 14 JOHN BERGMAN COUNCILMEMBER RUTH A. GRENDAHL COUNCILMEMBER VICINITY MAP TOM LAWELL ADMINISTRATOR P MMATT SAAM PUBLIC WORKS DIRECTOR SURVEY o DRAWN ti DESIGNED a m 0 1500 3000 APPROVED zHorizontal scale in feet PROJ.NO. PROJ_NO (ti SHEET NUMBER o APPROVED:APPLE VALLEY CITY ENGINEER DATE G0.01 - a . LEGEND " �rti 4 . , -700— EXISTING MAJOR CONTOUR i - 698 EXISTING MINOR CONTOUR ® .9 (, 1hP 4 , EXISTING FENCE I:Jr:WI _ El 40 • 6EXISTINGGAS 1 _ -� - iii,„,,-' ,_ ® EXISTING SANITARY SEWER •#1141 -- ^ ��� '• / i EXISTING STORM SEWER , , �� EXISTING ELECTRIC r 9r°� EXISTING COMMUNICATIONS Ilk_ '�7 I �!I - h� .�` �-� EXISTING WATER - EXISTING LIGHT POST ® EL �� -a- EXISTING HYDRANT I `� EXISTING MANHOLE a I EXISTING CATCH BASIN / ft wig® — - �� EXISTING SIGN , C M� EXISTING BENCH ._ 'IP E � .. �L —_� - ,-/>- ® _ c C ? EXISTING TREE EXISTING BOULDER w ,.. _ _-- .-- — a� - rill I >nI REMOVAL II � X TREE REMOVAL III ��.,+j it i�I�I l it ill 11l I 03 9ro 7 I�I�I�I�I�I�I�I BITUMINOUS PAVEMENT `�� 1 T ' i REMOVAL • \ y�r `� +T*T+T* CONCRETE PAVEMENT �� yp + + + + REMOVAL ® \ c . {{x CLEARING AND GRUBBING CONSTRUCTION LIMITS •\.: m°' 06N`b N \ - / EXCAVATION LIMITS A°'® \ In —700— PROPOSED MAJOR CONTOUR � I I / NORTH POND IMPROVEMENTS EXTENTS -698— PROPOSED MINOR CONTOUR 0' y�'U ,��I o,,�,h ry� PROPOSED STORMS EW E R °phi° PROPOSED WATER S L PROPOSED TRENCH DRAIN �'!. , `"�]__„e FLOATING SILT CURTAIN 96g _ _s T I'\ (-3 / L -7 ( i) SILT FENCE 9-10 I l _ 1\1~- 1' •)\, k� PROPOSED SIGN 9O° 11 1 , STORM DRAIN INLET 96 96,e0. l /� d yn'6o, 1_ ) I 1 PROTECTION n 0 96960 , 3• itliPPA CONSTRUCTION ENTRANCE ° ® 1 L� BITUMINOUS PAVEMENT r 14 Ioil O�A�'ah`O,�p, I / �7 . •• CONCRETE PAVEMENT 0 94Y % \ -� 1111111111 \ TURF GRASS a , _ _ ) MNDOT MIX 33-261 1 9 I SOUTHWEST POND IMPROVEMENT EXTENTS mor4 G m 62.. Z a aR a OG W0.47 I m MI I. 949 II - iI © - ;,- 954 U 10 j O IIII 9y9 - ® D- 960 g R 1 EXISTING CONDITIONS o 40 Bo O O PRELIMINARY 9 az= SCALE IN FEET DRAFT a 2. g I HEREBY CERTIFY THAT THIS PLAN,SPECIFICATION,OR CLIENT — Project Office: Scale AS SHOWN BARR PROJECT No. _ REPORT WAS PREPARED BY ME OR UNDER MY DIRECT BID REDWOOD POND IMPROVEMENTS t SUPERVISION AND THAT I AM A DULY LICENSED BARR ENGINEERING CO. Date 03/27/2020 23/19-1419.00 PROFESSIONAL ENGINEEROERUNDERTHE LAWS OF THE CONSTRUCTION BARB 430.0 MARKETPOINTE DRIVE Drawn APPLE VALLEY,MN w STATEEERNNERTH Suite ZOO JPP CITY OF APPLE VALLEY CLIENT PROJECT No. `i, 5 PRINTED NAME . MINNEAPOLIS,MN 55435 Checked JJW2 APPLE VALLEY,MN EXISTING CONDITIONS DWG.No. REV.No. ° A B C 0 1 2 3 CorporateinpoH,Mnnesota Fh:1-852)1-800-632-2277 Designed Jpp U .m SIGNATURE RELEASED Minneapolis,Minnesota Fax:(952)832-2601 NO. BY CHK.APP. DATE REVISION DESCRIPTION DATE LICENSE# TO/FOR DATE RELEASED Ph:1-800-632-2277 www.barr.com Approved CO.1 A " It �c A I I.A \i �X 1�\ \ \ 1\ \ \ I. \ \ \ \ I GENERAL SITE PROTECTION AND STAGING NOTES: \ X_ \ \ gib \ y' \ 1. LOCATE ALL EXISTING UTILITIES WITHIN THE PROJECT LEGEND \r \ \ \ \ 1_\ 96g--- \ \ _> J. \ \ _ i LIMITS PRIOR TO REMOVALS. 6—`- -- \ 2. INSTALL PERIMETER EROSION AND SEDIMENT CONTROL - \ WOO WOO ` \ X I- --- r —-1__ I 700 EXISTING MAJOR CONTOUR r \ \ \ _ BMPS PRIOR TO THE COMMENCEMENT OF ANY LAND \o WOO \ \ 96g \ x \ \ -- _y_ \ DISTURBANCE OR CONSTRUCTION ACTIVITIES.SEE 698 EXISTING MINOR CONTOUR g \ \ \ —_ __ EROSION CONTROL PLANS FOR REQUIRED MEASURES \ \\ \ \ \ \ \ 6j� \ \ 1 \ \ -__ \ I 3. PROTECT ALL TREES NOT MARKED FOR REMOVAL AND EXISTING FENCE \ \ 966 \ \ \ --, \ I MINIMIZE DAMAGE TO ROOT ZONES. o \ \ \ — �-'_ 4. PROTECT EXISTING STRUCTURES,UTILITIES,PAVEMENT EXISTING GAS �,rAlk \ \\\C 96S \ \ \ \ \ �_ AND FACILITIES NOT MARKED FOR REMOVAL. ♦ / \ \�/ �� \^ \ \ 5. ANY DAMAGE TO THE EXISTING INFRASTRUCTURE EXISTING SANITARY SEWER \ \ \ N, O / S�, \ \\ \ y -N- \ \ SHALL BE CORRECTED TO THE OWNER'S SATISFACTION 'b \ \D 0 Jt/Jj \ AT THE CONTRACTOR'S EXPENSE. EXISTING STORM SEWER `�'T V `90,7 \ N V N JAI \ A N. 6. COORDINATE WITH OWNER FOR TRAFFIC CONTROL, \ \ 4141 �D \ \ \ EQUIPMENT STORAGE AND STOCKPILING. EXISTING ELECTRIC \ 962� \ \ _ / / 7. MAINTAIN ACCESS TO STREET SWEEPING EQUIPMENT _ r., \ \ \ ` y�\ \ — -� / AT ALL TIMES.SWEEP STREETS WITH DEBRIS PRIOR TO _ EXISTING COMMUNICATIONS \ \ N 967 \ \ \ — — — / / 1 \ ANY RAINFALL EVENT ON A DAILY BASIS AS OR AS __ __ __ 0 __ \ \ S _ \ \ _ — l l I I DIRECTED BY THE ENGINEER. EXISTING WATER 41101116, �� \ __ filo \\ • - \ EXISTING LIGHT POST __ ___ ____ \ C PROTECT EXISTING PAVEMENT TO REMAIN \ \ / \ I \ ,,, \ EXISTING HYDRANT \ V\la���� \ \ \ \ \ I� A( it — D@ EXISTING MANHOLE \\\ \\\ \ \\�/// �� __— —_—� __ \ \ \''I \ \ / I - ----_ __-- _--- EXISTING CATCH BASIN \ \ \�� \ /959- \ \ \ \ �� \\� it 1\ \ _ _ \ , \ \ ( EXISTING SIGN \\�� �\ 1 �V /�� \ -- -- y \ \ — \ I M� EXISTING BENCH \ \A 1 1 1\�A / V A V A • A `9s� \ S i EXISTING TREE V A \ 9�6 _ A \ V A V A g K\nn33" \ �\ N. \\` — — _ — \ \ \ \ 6 966\ 6> \ \ — — EXISTING BOULDER \ �\ — — I _ _ REMOVE TREE(TYPJ \ 9 S \ REMOVAL iiik \ V� _ N 96q \96 �� V4 !�- 1 1 1 N A A963 \ 6� o X TREE REMOVAL \ 1 1 `� _ _ v -962 v v 965 1 \ A 9y) \ \ \ I iliillilliliillil( \ \ �967� \ \ \ BITUMINOUS PAVEMENT 0 r V '�' _ v v v v v I''i'�i'i'i'1 " \ \\ I, ltele \\ REMOVE AND SALVAGE BENCH 960 \ \\ \ \ 964 REMOVAL PROTECT EXISTING TREES TO REMAIN ® I g`1G 7� µ'T REMOVE CONCRETE PAD \ \ �959� \ `,\ \ J / ++++++++ CONCRETE PAVEMENT \ ` \oo 1.1114 \ _ \` 963, — I • REMOVAL I \ �I_ % 9 \ f 1 1 956 \ 954 \ \ 1 _ - \ \ _ �9 J 4,..1111, / CLEARING AND GRUBBING ' ' \ \ \\\ \gS 2\ ,NF�� \ \ ` \ 6 - - / llig ° / — — — CONSTRUCTION LIMITS VA V 9Sp7 I��7 �9S6� _ A A 961 / / 4,11114 .7111'.-41-10.-AN IOW EXCAVATION LIMITS I l \ 948\ \, X... �� 1 1 1 \ \ \\ k 0 U —700— PROPOSED MAJOR CONTOUR \ REMOVE MANHOLE '� . ` \ \ \ r \ \ N e �� REMOVE BITUMINOUS SIDEWALK \ \ elli . 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Dale 03/27/2020 23/19-1419.00 PROFESSIONAL ENGINEER UNDER THE LAWS OF THE CONSTRUCTION BARR 4300 MARKETPOINTE DRIVE Drawn APPLE VALLEY,MN w STATE OF MINNESOTA. Suite ZOO JPP CITY OF APPLE VALLEY CLIENT PROJECT No. rn PRINTED NAME . — MINNEAPOLIS,MN55435 Checked JJW2 APPLE VALLEY,MN REMOVALS ° A B C 0 1 2 3 Corporate Headquarters: Ph:1-800-632-2277 Designee Jpp DWG.No. REV.No. U .m SIGNATURE RELEASED Minneapolis,Minnesota Fax:(952)832-2601 NORTH NO. BY CHK.APP. DATE REVISION DESCRIPTION DATE LICENSE TO/FOR DATE RELEASED Ph:1-800-632-2277 www.barr.com Approved C1.0 A GENERAL SITE PROTECTION AND STAGING NOTES: / / / / / 0'S / / // 1. LOCATE ALL EXISTING UTILITIES WITHIN THE PROJECT / wp0 � O'� / / / / / / / LEGEND LIMITS PRIOR TO REMOVALS. / /W00 / / Q / // Z. / _ / 2. INSTALL PERIMETER EROSION AND SEDIMENT CONTROL WOO / / / / / WOO/ / �� — / / / / /.... 700 EXISTING MAJOR CONTOUR BMPS PRIOR TO THE COMMENCEMENT OF ANY LAND VO / / �� �� V / / // / / / / / 698 EXISTING MINOR CONTOUR DISTURBANCE OR CONSTRUCTION ACTIVITIES.SEE , EROSION CONTROL PLANS FOR REQUIRED MEASURES 3. PROTECT ALL TREES NOT MARKED FOR REMOVAL AND / / / i� // / / / EXISTING FENCE MINIMIZE DAMAGE TO ROOT ZONES. / / / / / 4. PROTECT EXISTING STRUCTURES,UTILITIES,PAVEMENT ` _ AND FACILITIES NOT MARKED FOR REMOVAL. / / // / \ / / // `/ / / / --- EXISTING GAS 5. ANY DAMAGE TO THE EXISTING INFRASTRUCTURE fi / EXISTING SANITARY SEWER SHALL BE CORRECTED TO THE OWNER'S SATISFACTION / / k / / / / / / / / / ` / / / /AT THE CONTRACTOR'S EXPENSE. / / / 7 / / / EXISTING STORM SEWER 6. COORDINATE WITH OWNER FOR TRAFFIC CONTROL, EQUIPMENT STORAGE AND STOCKPILING. / / / — — — - �/' 0/ / / /` \7. MAINTAIN ACCESS TO STREET SWEEPING EQUIPMENT / REMOVE SIDEWALK — — — �' / EXISTING ELECTRIC AT ALL TIMES.SWEEP STREETS WITH DEBRIS PRIOR TO / / / / EXISTING COMMUNICATIONS ANY RAINFALL EVENT ON A DAILY BASIS AS OR AS / / — — — — ��' / / / / z DIRECTED BY THE ENGINEER. / / M. �_`. REMOVE AND SALVAGE BOULDER ` 9yb / / / / / '/ 7 EXISTING WATER Z / / ��� ry / / 4 / EXISTING LIGHT POST h // / �_ — — — —� 4111 (71\ 0h��y� / / / // a- EXISTING HYDRANT O / �� �2 — / / gp9� / / EXISTING MANHOLE I 4 / �/� /±— — / / / / /9N� 1�// ' EXISTING CATCH BASIN J I / / ,__ _ ip, REMOVE EXISTING STORM SEWER. / v , N // z� 6" / �� EXISTING SIGN / / / REMOVAL MUST BE COORDINATED / =- d / / / EXISTING BENCH z m \ / WITH INSTALLATION OF NEW �. Er / u �3/ / / :—)'''s. STORM SEWER TO MAINTAIN / / / / ' '6A 1 / STORMWATER CONVEYANCE r ` / EXISTING TREE / / / KKWnnS��11P a / ' /G z D `T O S - - �� ,• T S S T , \: ///// O EXISTING BOULDER / — / / ' \/ / / TREE REMOVAL / REMOVE EXISTING STORM SEWER. / =REMOVAL MUST BE COORDINATED i — / / / / / / / / / f WITH INSTALLATION OF NEW • REMOVE EXISTNG STORM- cc�� MANHOLE.REMOVAL MUST— — — _>EMOVETREE / / ' ' i BITUMINOUS PAVEMENT Z. FR00VE C 7B / STORM SEWER TO MAINTAIN - — / / + + + + REMOVAL 9.0' 1 UTTEr / STORMWATER CONVEYANCE 'N V BE COORDINATED WITH / i / / INSTALLATION OF NEW (TYP.) / T T ,/� — STORM SEWER TO MAINTAIN— — — -- / / CREMOVAL PAVEMENT / /� STORMWATER CONVEYANCE _ _ _ / / \ �OO / / 1� / — — — — / / / {{Xxx} CLEARING AND GRUBBING -yb,3 `I'1/ / \< — ,� �� �= CONSTRUCTION LIMITS EXCAVATION LIMITS /i / / REMOVE AND SALVAGE BENCH / 94 —700— PROPOSED MAJOR CONTOUR M M M / / 1 /� —698— PROPOSED MINOR CONTOUR O / i / / / ( / / / PROPOSED STORM SEWER N / 7 / — REMOVE SIDEWALK z / I I C \ — / / / / / PROPOSED WATER o _ �� / / // / / PROPOSED TRENCH DRAIN 00 A \, p PROTECT TREE NOT DESIGNATED �� - / / / FLOATING SILT CURTAIN m FOR REMOVAL(TYP.) _ _ / / / / SILT FENCE 9s — O — _ / / / / / �� PROPOSED SIGN / - — — - / ( / / / STORM DRAIN INLET a z / PROTECTION / / / / / d CONSTRUCTION ENTRANCE Oliv�o _ / �� I/ C \ \\ \ \� 945 BITUMINOUS PAVEMENT \ • 1 �� �� N. \ _ _ — - - sas a I I / I \ \ ` \ \ N. ) �� - - REMOVE AND SALVAGE FLARED END SECTION. — — _ _ _947— . e CONCRETE PAVEMENT REMOVE EXISTING STORM SEWER AND 0 \ N. \ \ \ \ \\ \ , BULKHEAD STRUCTURE.REMOVAL MUST BE ' ' ' y / L-----A \ \ \ ` \._ \ \ \ \ \ I _ --COORDINATED WITH INSTALLATION OF NEW _ _ — — -946— ' * * * TURF GRASS Z 1/ ` — _ \ \ \ i STORM SEWER TO MAINTAIN OUTLET W W W w I ` \ \ \ \ \ I _CONVEYANCE _ — _ 949_ - ____ ° -961� N. \ \ \ \ / _ — — MNDOT MIX 33-261 e. N. \ \ �� - I _ 950 ovl \ \ \ \ \ \\ —951- _ _� \ 44 o E.--iy) S M\ \ \ `� \ i J 955— \p„ w Z. \ — — _ -� �� —A REMOVE WEIR FROM STRUCTURE.— N — — 957 _ _ _ _ d o ST ST - ST — — 1 _ — — ��T I — IS - 1S o S� ST ST 7 -_ ST 'v c D / ST ST Il� ST 'm Z ST ST ST ST 3T _ - 57 �_j • d g N 1 O REMOVALS-SOUTHWEST 0I,,,,I,,,,1I 0 20 w SCALE IN FEET Ei O PRELIMINARY 2 DRAFT _ a U 9 T HEREBY CERTIFY THAT THIS PLAN,SPECIFICATION,OR CLIENT — Project Olfce: Scale AS SHOWN BARR PROJECT No. _ REPORT WAS PREPARED BY ME OR UNDER MY DIRECT BID REDWOOD POND IMPROVEMENTS t SUPERVISION AND THUS I AMA DULY LICENSED BARR ENGINEERING CO. Dale 03/27/2020 23/19-1419.00 PROFESSIONAL ENGINEER UNDER THE LAWS OF THE CONSTRUCTION BARR 430.0 MARKETPOINTE DRIVE Drawn APPLE VALLEY,MN w STATE OF MINNESOTA. Suite ZOO JPP CITY OF APPLE VALLEY CLIENT PROJECT No. rn PRINTED NAME . — MINNEAPOLIS,MN 55435 Checked JJW2 APPLE VALLEY,MN REMOVALS o A B C 0 1 2 3 Corporate Headquarters: Ph:1-800-632-2277 Designee JPP DWG.No. REV.No. U .m SIGNATURE RELEASED Minneapolis,Minnesota Fax:/9521832-2801 SOUTHWEST NO. BY CHK.APP. DATE REVISION DESCRIPTION DATE LICENSE TO/FOR DATE RELEASED Ph:1-800-632-2277 www.barr.com Approved C1.1 A a. \ • \ \ \ ••• 'i• \'� 974\) I \ \� \ •\ _----\--_ -; - _ GENERAL SITE PROTECTION AND STAGING NOTES: ` \ j \\ \ \ \ \ - \ \ \ • \ \ r' - __ 1. LOCATE ALL EXISTING UTILITIES WITHIN THE PROJECT LEGEND �/ s ; \\ \V A A l' �V •�\ _ • �V A V A� V �• �-lam ._ ��- LIMITS PRIOR TO REMOVALS. \\ \ I\ \\ ax\x\ \ \\ • \• •\ •\ 61 I_ \\\ \ \\ \ \ • •• •\ \1 \,2. INSTALL PERIMETER EROSION AND SEDIMENT CONTROL —700— EXISTING MAJOR CONTOUR \8�! '` \ \ \ • O I \ \ \ BMPS PRIOR TO THE COMMENCEMENT OF ANY LAND \ •_ \ 1 DISTURBANCE OR CONSTRUCTION ACTIVITIES. \\' \ \ �� •\�\ B6 \ �� •�\ 698--- EXISTING MINOR CONTOUR \` \ \ \ --- 1 --} \ F—� ���y N t� 9� �. \ \\ ��� _ _` \ \13. PROTECT ALL TREES NOT MARKED FOR REMOVAL AND -- \ \\\\ \ n'— ' __„___„0.,\ \ \ �� 4• \ ' \ \ \ �--- -- MINIMIZE DAMAGE TO ROOT ZONES. x EXISTING FENCE \ \ \\ o —„,o, \ __\ 966. \ \_-•., 1 \ \ :.:---4 1' 4. PROTECT EXISTING STRUCTURES,UTILITIES,PAVEMENT I \ \• \\ \\ \ --•\'-96 '• \ •\ \ \ \ - `-> - AND FACILITIES NOT MARKED FOR REMOVAL. GAS EXISTING GAS iv,, \V �\ f V A >� •v A I v• A A A A - -___ 5. ANY DAMAGE TO THE EXISTING INFRASTRUCTURE �\ \ \\ • ,966\ \ • \�\ \ 4. \\I \ \ \ -_= --/--_ � - i SHALL BE CORRECTED TO THE OWNER'S SATISFACTION Sin V A ate A EXISTING SANITARY SEWER 1 Mil / � \ \ o \ • 9E5 \ �--- ■ \ \\ \ \ =- AT THE CONTRACTOR'S EXPENSE. \ \ • \ \ I \ \\ \ -- •__ ---` - 6. LIMIT CONSTRUCTION ACCESS TO THE CONSTRUCTION EXISTING STORM SEWER V A �v �\ \ ENTRANCE. 4 Air • �I \ •� v F\ \\ \\ \ 0 _-- \ \ \ / \ \ \ \ ,• \ \ 7. COORDINATE WITH OWNER FOR TRAFFIC CONTROL, EXISTING ELECTRIC VA \ \\ �� \ \ - - A V A� \ )0 • AV v EQUIPMENT STORAGE AND STOCKPILING. \ \ \ \\ / \ `9e, \\ \ \\\ / / \ \\ \\ 8. MAINTAIN ACCESS TO STREET SWEEPING EQUIPMENT coM EXISTING COMMUNICATIONS \ V A V A A V -( D N. v A v i v V A AT ALL TIMES.SWEEP STREETS WITH DEBRIS PRIOR TO V \VA V v ---- - m _, \ \ \982x \\ \ \\ \ --__ / / r-\ \ \ ANY RAINFALL EVENT ON A DAILY BASIS AS OR AS w EXISTING WATER \\ \\ �\\ \ •\I- \ • •`-- --' / / / ---__\ \ \ DIRECTED BY THE ENGINEER. - 04/0\ \ ---- 967\ \ \ \ --- _ / / 1 \ 9. SEE EROSION CONTROL PLANS AND STORMWATER EXISTING LIGHT POST \ V \\A �\ AV A- �\ •V A• V - ----_ -- / / -- I \ PROTECTION PLAN(SWPP)FOR REQUIRED MEASURES ` \ V • o A •V A ••_ / / V / 1 EXISTING HYDRANT V \lir VA A I A \ v D y �V v --- -- / / I -yY9 0 EXISTING MANHOLE V AVA Av v v 60 v v v • I I II / V A `+ A v • I I I / --_�, - EXISTING CATCH BASIN \ \\\ MATCH EXISTING GRADE \ \ ciloara 1 1 11 \\\\ \i \ \ \\ ,110 \� \\ 'N 9 I ( / / _ \6ii\ EXISTING SIGN V A �A A \\\\\ A A _ _ _ - v s�ol \ \\ ♦ \ �'� Qr- I\ ` \ \, / I EXISTING BENCH \ \ \ \ \ \ \17. 959----� \ \\\ \ \ \ `�♦ J `�-- `- --- BITUMINOUS SIDEWALK \ \ V AV A A ----_ .. -� A I ,) EXISTING TREE • V A Av A AAA A v ♦♦ '��v �i� A - ---- �. 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Dale °3/27/2020 23/19-1419.00 PROFESSIONAL ENGINEER UNDER THE LAWS OF THE CONSTRUCTION BARB 4300 MARKETPOINTE DRIVE DrawnSuite APPLE VALLEY,MN w STATE OF MINNESOTA. 430.0 ZOO JPP CITY OF APPLE VALLEY CLIENT PROJECT No. `� 5 PRINTED NAME - MINNEAPOLIS,MN 55435 checked JJW2 APPLE VALLEY,MN SITE PLAN AND GRADING DWG.No. REV.No. ° A B C 0 1 2 3 Corporate Headquarters: ph:1-600-632-2277 Designed Jpp U .m SIGNATURE RELEASED Minneapolis,Minnesota Fax:(952)832-2801 NORTH NO. BY CHK.APP. DATE REVISION DESCRIPTION DATE LICENSE# TO/FOR DATE RELEASED Ph:1-800-632-2277 www.bam.com Approved C2.0 A ` I�— �i� / i- — „�° —w I / --_ -ice GENERAL SITE PROTECTION AND STAGING NOTES: / �,„m—"° va - i/ - i i /J / LEGEND 1. LOCATE ALL EXISTING UTILITIES WITHIN THE PROJECT ----/,, - ° / = i - i i i � O LIMITS PRIOR TO REMOVALS. _ - i 7 �� 4 i „ / _ 2. INSTALL PERIMETER EROSION AND SEDIMENT CONTROL ,( fi / i iA' _- -- i BMPS PRIOR TO THE COMMENCEMENT OF ANY LAND /,„,,—rv°'7- z / -7 / j ti i / // / / 700 EXISTING MAJOR CONTOUR DISTURBANCE OR CONSTRUCTION ACTIVITIES. / / / / � °� ♦ 4 � /7 7- ---- 3. PROTECT ALL TREES NOT MARKED FOR REMOVAL AND / / / L / / / �� _ / i i / 698- EXISTING MINOR CONTOUR MINIMIZE DAMAGE TO ROOT ZONES. / / / / s / i / \ - - i� i -- x EXISTING FENCE 4. PROTECT EXISTING STRUCTURES,UTILITIES,PAVEMENT / // / / '''\--..,,,,,,,,, S_ / /� / - - i ANDFACILITIESNOTMARKEDFORREMOVAL. / // // / "f // \ // // // /�� ,- /�7� - GAS EXISTING GAS 5. ANY DAMAGE TO THE EXISTING INFRASTRUCTURE / / / - SHALL BE CORRECTED TO THE OWNER'S SATISFACTION / / // r( // // // L/ J i / ♦ // / snH EXISTING SANITARY SEWER AT THE CONTRACTOR'S EXPENSE. / / 1,/1 , 7// / 6. LIMIT CONSTRUCTION ACCESS TO THE CONSTRUCTION / / / / \ BITUMINOUS SIDEWALK g53' / /// ♦ sr ENTRANCE. / / // / i I i / /// - ♦ e://:////,/:::::::-- EXISTING STORM SEWER - 7. COORDINATE WITH OWNER FOR TRAFFIC CONTROL, / / / // -/ / II vyro/ V /// / F EXISTING ELECTRIC \ EQUIPMENT STORAGE AND STOCKPILING. / / / /- / 1 /o / / / �i 8. MAINTAIN ACCESS TO STREET SWEEPING EQUIPMENT / / / / 4'.- / / / // /i - / // COM EXISTING COMMUNICATIONS AT ALL TIMES.SWEEP STREETS WITH DEBRIS PRIOR TO / / / / / / V / / ANY RAINFALL EVENT ON A DAILY BASIS AS OR AS / / / / ��� / / / - 9� yp,/ // /� // /- •// / W EXISTING WATER DIRECTED BY THE ENGINEER. / / / / / /� 6 / O g / 9. SEE EROSION CONTROL PLANS AND STORMWATER / / / / // // 95 / / ,y 7 EXISTING LIGHT POST PROTECTION PLAN(SWPP)FOR REQUIRED MEASURES / / / / / -4) / / / / // �i s`�M / A // // / / 9h� - EXISTING HYDRANT / // I... // / „i5, V •leAV q) // i/ / // i� / / / III,0001 / 7�m� / 94: V / •„•/ D� EXISTING MANHOLE • /J ���� / / / ��� / �/ \ /r / /•'• �� i EXISTING CATCH BASIN /1 fry• \ \ 7 // --1.—I I ... ��) / / / �� --/ / / —— / A / / / / / I 6i\ -I8 / / / / s' / / / / \ y11�/ / / / / �• , J EXISTING SIGN � / // // //�/ems - /�// // --- 7 �� %4' / / / // /// /ice EXISTING BENCH `y r,./1 - n�m / // / / / gy0 / / // / / / � EXISTING TREE `- ' / / / / / / / / / / / / / / // , O EXISTING BOULDER / / 0 /// /// /// /// // V V / V / // lir? / / / / / / / / \/ A/— REMOVAL 1E:2���� / / , X TREE REMOVAL MATCH EXISTING CURB&GUTTER / / / 9p,/ / / / l l f -- - 7f / / / / / / / , I�I�I1I�I,I�I,1' BITUMINOUS PAVEMENT / / ▪/ / / / / / / S II REMOVAL //1 MATCH EXISTING PAVEMENT / / / /w -� / / // / // / / / ++++++++ CONCRETE PAVEMENT / I /I / / / / `-411 w S / // / / / / / // // S REMOVAL s / I 1 / /// / / / / / / / / �- / _--/ / / 1 /w i / / / CLEARING AND GRUBBING —max / � / Vw / I / / -960 ? / / /w/ / / "111 1 / / / ■ ■ CONSTRUCTION LIMITS / w7 / / './ / / 3 I i / / / / 1 / 11 EXCAVATION LIMITS Ii w/ // / / / 18:1 // / �g4 —700— PROPOSED MAJOR CONTOUR M € — m— / ) / / / ® /// I ! 1 D 16., ( / // ♦ —698— PROPOSED MINOR CONTOUR r / / (x/ .o —aT PROPOSED STORM SEWER I I / �' Il // x 945.0 —w— PROPOSED WATER i / I 1 I / • m ^ N N u7 N /I I I , 1 I -1N, o�'i oim rn §o m m 't °' i'' / / / / -TO — PROPOSED TRENCH DRAIN E /'`i Imo/ ° I I II \V / / // // / ❑ FLOATING SILT CURTAIN / 9s�, /-�- I \I /// / // // / / -sF— SILT FENCE j \ 1 1 \ // 1104 / // x�45.0 � PROPOSED SIGN i; E. ° I ( \ 1 I-/ 0. ' \ - -- / I / \j STORM DRAIN INLET /I \ \ I , I r- b9f I / PROTECTION PPM \ �9 I 945 n // 1 / / // ; \ \I\ I I \9q9 \ \ \\�� \ BITUMINOUS PAVEMENT I I / I \\ \\ \\ \\ \\ , __ —-- • • CONCRETE PAVEMENT o /71\ I / s \ \ \\ \ \ 867 � ' --1 - 1 _ - ------------------sal-- , z / - \ / I \ \\ ♦ \ 9S�'��� \� \� ,\� r ----- -------- _ 948-- . * * * TURF GRASS o / / \ \\ \ OUTLET G�QNTROL STRUCTURE N. 9 g5z �--\ - 1 - -- W W W " WITH WEIR TO CREATE ♦ - / --- �� ��� -t--� --- RATE_------- w S �� \� EXTENDED DETENTION BASIN, ♦♦ \-/�� �� 1 �2, I ------- --------------949-- ----- _ MAINTAIN OVERFLOW G i �� \ SEE© �, -�� __----- MNDOT MIX 33-261 \ 1 `� 96q ---- --`--- _---- 952- Z h a g � - 1--- _ 955— a o \ - 1 56� - z a % L. 4 3 m'\ __--_- —�—_ i---- - ----\ -----_- fl —s ►� _ � - _ 9 -�' —' -sr—sr—s,— — — — — n—s -n-„-s,- -a,—..-a,-s, -s,_s-=,-n-„_, ,-_ - ,I _, I—''' \,—'— _—e.—=,—.— ry N 1 SITE PLAN AND GRADING-SOUTHWEST I,,,,I,,,,10 2I w O SCALE IN FEET Ei O PRELIMINARY DRAFT a U 9 I HEREBY CERTIFY THAT THIS PLAN,SPECIFICATION,OR CLIENT — Project Office: Scale AS SHOWN BARR PROJECT No. _ REPORT WAS PREPARED BY ME OR UNDER MY DIRECT BID REDWOOD POND IMPROVEMENTS t SUPERVISION AND THAT I AM A DULY LICENSED BARR ENGINEERING CO. Dale 03/27/2020 23/19-1419.00 PROFESSIONAL ENGINEER UNDER THE LAWS OF THE CONSTRUCTION BARB 430.0 MARKETPOINTE DRIVE Drawn APPLE VALLEY,MN w STATE OF MINNESOTA. Suite ZOO JPp CITY OF APPLE VALLEY CLIENT PROJECT No. y 5 PRINTED NAME . MINNEAPOLIS,MN 55435 checked JJW2 APPLE VALLEY,MN SITE PLAN AND GRADING DWG.No. REV.No. ° A B C 0 1 2 3 Corporate HeadQUeHem: Ph:1-800-632-2277 Designed Jpp U - .m SIGNATURE RELEASED Pint-800-632-22esota www.b52.conr 801 SOUTHWEST NO. BY CHK.APP. DATE REVISION DESCRIPTION DATE � LICENSE# � TO/FOR DATE RELEASED Ph:1-800-632-2277 www.bam.com Approved C2.1 A 4:1 � 111 / \� � 4:1 2 (� LEGEND / / / REPLACE SALVAGED 54"RCP FLARED-END SECTIONII \ 700 EXISTING MAJOR CONTOUR / / / I.E.=MATCH EXISTING:-953.0(FIELD VERIFY) 1OI / CONSTRUCT STORM MANHOLE OVER I I oI / \ 698 EXISTING MINOR CONTOUR SRO / / �_ EXISTING STORM SEWER0 NnNNa rn EXISTINGFENCE/ / RIM=957.3 w in n rn rn I / \, // / LE.(MATCH EXISTING):-953.4'(FIELD VERIFY) * CLASS X RIPRAP CONSTRUCT STORM MANHOLE EXISTINGGASIICF: REMOVEEXISTING STORM SEWER SUMP I.E.=949.4'(WITH SAFL BAFFLE) SEE IOVER EXISTING STORM SEWER \AND PROVIDE NEW STORM SEWER ® RIM=958.7 EXISTING SANITARY SEWER // CONNECTION TO EXISTING STRUCTURE. LE.(MATCH EXISTING):-953.0'(FIELD VERIFY) II.E.=MATCH EXISTING:-955.5'(FIELD VERIFY) ISUMP LE.=949.0'(WITH SAFL BAFFLE)� 4 �� EXISTING STORM SEWERZ3TST �ST - ST ST ST ST ST ST 44 � ���� �� EXISTING ELECTRIC Illga ST / �'. �I ��i (�_��' 1 1S 1S 1� 1S 1 1S' (�� ��( H�� �'� r��� r� EXISTING COMMUNICATIONS / REMOVE EXISTING STORM SEWER PIPE. Arof ft I EXISTING WATER / / / iT / REMOVAL MUST BE COORDINATED WITH / i /���1����• / -/ / AT A / / / INSTALLATION OF NEW STORM SEWER �/ ® I / I \ EXISTING LIGHT POST S / TO MAINTAIN STORMWATER CONVEYANCE. REMOVE EXISTING STORM SEWER. — / MAINTAIN STORMWATER CONVEYANCE O -a- EXISTING HYDRANT / 7 TO POND DURING�CONS/TRUCTION/. / I / // / / / _ / _/ ST S _ — �� I/I / �� EXISTING MANHOLE 1 REMOVE EXISTING STORM SEWER PIPE..... / 110 ) \ I / EXISTING CATCH BASIN q / REMOVAL MUST BE COORDINATED WITH IS REMOVE EXISTING STORM SEWER. / ' �� EXISTING SIGN / II - INSTALLATION OF NEW STORM SEWER .0 MAINTAIN STORMWATER CONVEYANCE / TO MAINTAIN STORMWATER CONVEYANCE. / l TO POND DURING CONSTRUCTION. / / �—W - �I EXISTING BENCH I 1 M / / �� / / Il I I S i EXISTING TREE __ M W w/ / REMOVE EXISTING STORM MANHOLE. �� X \REMOVE AND SALVAGE 54"/ \ I I "tin3S" M REMOVAL MUST BE COORDINATED WITH RCP FLARED-END SECTION O EXISTING BOULDER /O / INSTALLATION OF NEW STORM SEWER \ I i ri REMOVAL / / / TO MAINTAIN STORMWATER CONVEYANCE.- / \ 1 / / / / / 1 1 I ' I/ - X TREE REMOVAL /I / I li / ° / / / I I )/vrit / I / / r. % I / \] i i i I i I, I i i I 1 BITUMINOUS PAVEMENT VAL 'il p lI 707 \// / /c � II \�� I I I V C + +J+ +l CONCRETE ETE PAVEMENT + + + + REMOVAL e PLAN:STORM SEWER IMPROVEMENTS-SOUTHWEST I.0 ,,,I,,,,1° 20 Q \2 PLAN:STORM SEWER-NORTH(EAST BANK) °,,,,I,,,.I 20 Q CLEARING AND GRUBBING SCALE IN FEET - SCALE IN FEET CONSTRUCTION LIMITS I / r0:1 / /' / // / ' ` EXCAVATION LIMITS j#b/ —700— PROPOSED MAJOR CONTOUR '',' A, ( i I ( /4/1 ' / // -698— PROPOSED MINOR CONTOUR PROPOSED STORM SEWER m rc m h i/o / / / X 945.0 rn of ¢� m $' o F. F. N // / / / / / / PROPOSED WATER IR.E.�LACE SALVAGEDMATCH EXISTING:-946 0 9((FIELD VERIFY"RCP FLARED END ) I 1 / / // / / / PROPOSED TRENCH DRAIN CLASS X RIPRAP FLOATING SILT CURTAIN A // )]�� �� / 9�5 0// SEE© / z SILT FENCE / A i e. REPLACE SALVAGED 21"RCP FLARED-END SECTION ®i / REMOVE EXISTING STORM MANHOLE. PROPOSED SIGN a �� / I.E.=MATCH EXISTING:-951.0(FIELD VERIFY) MAINTAIN STORMWATER CONVEYANCE `-- I .�1��V�t1 TO POND DURING CONSTRUCTION. / / STORM DRAIN INLET 947 �� �� / PROTECTION 1 I I / 't �ST T 1; \��y� /� 71144-11' %��� �� / / ��� � RIPRAP\ \ 5T T ST ro �i 1�':Z •. - / 0Y! ti\ 30"RCP Iti Y ' $'i �• u l� REMOVE EXISTING STORM SEWER. j94y \ N ��trialk �.4. �'- MAINTAIN STORMWATER CONVEYANCE o \ ' m / �7i �� / BITUMINOUS PAVEMENT TO POND DURING CONSTRUCTION. / _--- OUTLET CONTROL STRUCTURE 1 96-0\ N \ m/ I r 1111 / / / �' \ REMOVE AND SALVAGE 30"RCP FLARED END REMOVE EXISTING STORM SEWER. / WITH WEIR TO CREATE \ ` 9� \ �. - / / i s CONCRETE PAVEMENT EXTENDED DETENTION BASIN, - 95/ \ SECTION.REMOVE EXISTING STORM SEWER MAINTAIN STORMWATER CONVEYANCE - -. SEE �\ \ \ \ AND BULKHEAD STRUCTURE.REMOVAL . . . . . .TO POND DURING CONSTRUCTION. 4, / / / / © _ \ 9S2 \ I �� _MUST BE COORDINATED WITH INSTALLATION s / / a y\ \ \ \ 1 �� I OF NEW STORM SEWER TO MAINTAIN g57 ` / / = = �� OUTLET CONVEYANCE. � / T.--- / / i / TURF GRASS V / / X 947.0 / / a NV _ o ����� 30"RCP' -- -- - O�� / / / / MNDOT MIX 33-261 NO, \ J \ \ \\ - / / 955 ___ _ __ _ .. f \ _ I" ST .S �— / _ - - ___ g.__956 I'.. .. REMOVE AND SALVAGE 21"956FLARED END ECTION \ RCP S rc a _ �!�_�-- ---F REMOVE WEIR FROM STRUCTURE. 9� / / / — — -- — — ` — — — -- - — — — =MAINTAIN OVERFLOW GRATE. 0 / / / / / 3 — ST — ST - \ _ -\ ,952 / ST -- m ST ST --951� / / of m Ni m ST ST ST - _ �- ST -- / gy0 / / / 0 6 m N. M i I 0 10 20 0 10 20 g N O PLAN:STORM SEWER-OUTLET I....I,,,,I Q O PLAN:STORM SEWER-NORTH(WEST BANK) ,,,,I,,,,I Q 9 PRELIMINARY SCALE IN FEET SCALE IN FEET DRAFT a U 9 gI HEREBY CERTIFY THAT THIS PLAN,SPECIFICATION,OR CLIENT Project Office: Scale AS SHOWN BARR PROJECT No. _ .= — REPORT WAS PREPARED BY ME OR UNDER MY DIRECT BID REDWOOD POND IMPROVEMENTS t SUPERVISION AND THAT I AM A DULY LICENSED BARR ENGINEERING CO. Dale 03/27/2020 23/19-1419.00 PROFESSIONAL ENGINEER UNDERROE LAWS OF THE CONSTRUCTION BARR 430.0 MARKETPOINTE DRIVE Drawn APPLE VALLEY,MN w STATE OF MINNESOTH Suite ZOO JPP CITY OF APPLE VALLEY CLIENT PROJECT No. . 5 PRINTED NAME . MINNEAPOLIS,MN 55435 Checked JJW2 APPLE VALLEY,MN CoSTORM SEWER IMPROVEMENTS DWG.No. REV.No. ° A B C 0 1 2 3 orate Ph:1-600-632-2277 Designed Jpp U .m SIGNATURE RELEASED Minneapolis,Minnesota Fax:(952)832-2601 NO. BY CHK.APP. DATE REVISION DESCRIPTION DATE LICENSE# TO/FOR DATE RELEASED Ph:1-800-632-2277 www.barr.com Approved C4.0 A \ �Avv A vv v max— I ��� A \v �v �� vvV ��� v ����— �� �v\ �\ vvv LEGEND i x w �� �v v �x—ice y v ,� V A� i\ \\ ate\ \v Av �� �V pj V \\ v �� �x x� —N\ xI � � A \\ \V —� 700 EXISTING MAJOR CONTOUR -`r vv A v p — I v A A V \ \II \ � \�� \�-96 \�� i� �\ i \ \\ v — - 698--- EXISTING MINOR CONTOUR 44 '-� A A v v A N999, �V v I A v v - i v A� v- _ v ,ice- EXISTING FENCE i v v� \\v� v ---s v vv \\ \ \ _ \ • \ \/ \\ \� \ I v \\ v\ \ \ \\ __ \��\ vv\ --�� vvv / v' GAS EXISTING GAS \ \ \� v ,966v vvv �\ \ I v v \ v \ _____� v _-_ snn�\ o \ \ \ \ . \ v _ -�a v i EXISTING SANITARY SEWER \o / \\ \ \ vv 966 \ \ \\ --- v\ I \ \\\ \\\ \lei \ __ - -� -_ C\ _ �� \`- - er EXISTING STORM SEWER V A - vv �\ \� \ / 7 I V \v v v v v _ v F VA A V A V v v O V ,a A A\ V / \ \ A v V v v v v _ v� EXISTING ELECTRIC V A A V A r v v v v A C7 v v v - \. coM \ VA \ \ v \V� 96d� v\v vv�vv vv� / ,/ / Av \\\ vv \ _ vv EXISTING COMMUNICATIONS \ \ \ v v --- �962xv v \\ \\ \ v l / 7-\ \ l/ x - EXISTING WATER v A A ---- 961v A v vv v --- / 1 I V --- EXISTING LIGHT POST - go \\\ \VA ___ \ \V A \ --\ \ �vV v\ vv ----- / i iii__-�V / / EXISTING HYDRANT \ \ V A V vV v _KENTUCKY COFFEETREE I / / / v \ v \ Litrip° _ \ MNDOT MIX:25-131,LOW a - / I D EXISTING MANHOLE \\ \\\ v\ 96'p, \2 MAINTENANCE TURF (GYMNOCLAPUS DIACUS'INERMIS')a 1 I I / --illik O � \ \\\ SWAMP WHITE OAK STRAW MULCH 1 I / _-_- - / x EXISTING CATCH BASIN \o„ 4 1 V A A \VA \v (QUERCUS BICOLOR) v v A\ 11 / 1 bi\ EXISTING SIGN \ \ V Na VA V Av v SWAMP WHITE OAK vv a ��-rp-, i _ KENTUCKY COFFEETREE \� I\ I ----- \� \ \ \ \ \ \ v g5g-_--.� . `N _.y (GYMNOCLAPUS DIACUS'INERMIS') \ I EXISTING BENCH V A A V v (QUERCUS BICOLOR) fir- _ -+ '+� A. 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Y 1 ` TURF GRASS T, It 95 / --___-_ =,.r _------ .. .---/ , e4:. -951d- _ - ' ' W W ° - - - __ - __ - - - ✓ _/_• i __ .W. ,.. � 3• 0 - - g ei� ,. y '/ \l�\ I `_____ MNDOT MIX 33-261 . 71 - __958- - \' � \I \ o - --� \- .959 , ? .W.a - /PROTECT BENCH \ - / ---�W �� PROTECT POWER POLE - y�-/ a a \\-vv / /// �� / D _- -_/ \`W:\ .WW -AND GUY WIRES r` /9 I I \ . .I e g I 1 PLAN:RESTORATION AND PLANTING—NORTH 20 40 0 O PRELIMINARY 9 - SCALE IN FEET _ a DRAFT U 9 • gI HEREBY CERTIFY THAT THIS PLAN,SPECIFICATION,OR CLIENT — Project Office: Scale AS SHOWN BARR PROJECT No. _ - REPORT WAS PREPARED BY ME OR UNDER MY DIRECT BID REDWOOD POND IMPROVEMENTS t SUPERVISION AND THATIAMADULYLICENSED — BARR ENGINEERING CO. Date 03/27/2020 23/19-1419.00 PROFESSIONAL ENGINEEROF MINDER TA.LAWS OF THE CONSTRUCTION BARB 430.0 MARKETPOINTE DRIVE Drawn APPLE VALLEY,MN w STATE OF MINNESOTA. Suite ZOO JPP CITY OF APPLE VALLEY CLIENT PROJECT No. Checked APPLE VALLEY,MN RESTORATION AND PLANTING PLAN `� 5 PRINTED NAME MINNEAPOLIS,MN 55435 JJW2 ° A B C 0 1 2 3 Corporate Headpuartem: ph:1-600-632-2277 Designed JPP DWG.No. REV.No. U .m SIGNATURE RELEASED Minneapolis,Minnesota Fax:(952)832-2601 NORTH NO. BY CHK.APP. DATE REVISION DESCRIPTION DATE LICENSE# TO/FOR DATE RELEASED Ph:1-800-632-2277 www.bair.com Approved L1.0 A s��__�/ v/ / // / �— / —959a �� �� // LEGEND © / ) , , / `A / 700 EXISTING MAJOR CONTOUR r . / ... .11111#/ / — 698-— EXISTING MINOR CONTOUR / / // Q / - - r� - - ��"•• - // // / — x EXISTING FENCE // /// // / '-♦ / '. -•_ G �,r/" wi, �/ i /z7 i' _-- / GAS EXISTING GAS // / / // / / / �" / / / sAn / / �-y / / - -�C / -_ �( ♦ / / i EXISTING SANITARY SEWER / W / y. emu_ = / / / / // // // // // .wu- •_ ,g 1 .a / :uu,-/_ , ,/ - •♦♦ �/ // // //// Sr EXISTING STORM SEWER / / / / • • "` - y*" • �"`/ "- ♦ // // / F EXISTING ELECTRIC • \ge i / // / / / / (11.111 :-/ i;,_ .. ,,r ., / j �‘ / // /� // CO EXISTING COMMUNICATIONS / / / �� _ / .wu- .g�.,,,,. 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Date 03/27/2020 23/19-1419.00 PROFESSIONAL ENGINEEROF MINDER TA.LAWS OF THE CONSTRUCTION BARB 4300 MARKETPOINTE DRIVE Drawn APPLE VALLEY,MN w STATEEERNNERTH Suite ZOO JPP CITY OF APPLE VALLEY CLIENT PROJECT No. . 5 PRINTED NAME MINNEAPOLIS,MN 55435 JJW2 Checked APPLE VALLEY,MN RESTORATION AND PLANTING PLAN ° U .m A B C 0 1 2 3 Corporate Headquarters: Ph:1-800-632-2277 Designee Jpp DWG.No. REV.No. SIGNATURE RELEASED Minneapolis,Minnesota Fex:(952)832-2601 SOUTHWEST NO. BY CHK.APP. DATE REVISION DESCRIPTION DATE LICENSE St TO/FOR DATE RELEASED Ph:1-800-632-2277 www.barr.com Approved L1.1 A H. 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A 1 EXISTING BENCH V A A V 959----� V A A A A A A �� _ �.- - j A\ 1 \ I 1 1 vv 0V I�s I v .� �4 • \96 -96> A A\ \\ I _._ A/ A/ REMOVAL \ \ \\\\ A ver v� - _---_- ® ..1 �w 966 \ \ ) I //— X TREE REMOVAL \ \ \ \ \ �\ --SILT FENCE ------- \ ��964 '9 1 \ 1 v 66ev-ihil- .\\ 44iliililliliililr d--11111 v 960 v 63- o BITUMINOUS PAVEMENT _ REMOVAL ♦ A 1/4 Itp g0 6> _ 1 \ \ * CONCRETE PAVEMENT \ '9°Z- '�^ -...____ 9 _\ 96 I REMOVAL \ SILT FENCE e ��.:. �°j 966 _ ��� Og II• I `�xxk} \ \` -Ali 956 y V0 / CLEARING AND GRUBBING / \ pp 5 / g9 - - - --- 96q - 963\ / ♦ Ar l9 S,S - / g `/_ • (�' o `S2jam\ \ _--_I I I , / ■ ■ CONSTRUCTION LIMITS 9 ryryl 4' 0 96? �° -- 9 9s2 - 1 1411LATO / EXCAVATION LIMITS \ \0. g S7- \ \\\I . h`� / •\•�i•�/! 9S S7 .\ \ \ ` \) / '/ —700— PROPOSED MAJOR CONTOUR • -v-, 94s gyps tg,trim 9.18 9 -'�_ \ \�- �� p �- .9 �`'g5 ,..1 -..1, I \ \ \ _ \e —698— PROPOSED MINOR CONTOUR \ 46� _ -gy0 ���i--__ \> x947.0 9q> \ \� 958 r/ ♦ 9,„, \ �� _ Ng \ -- - \ -\ \ \ —6T— PROPOSED STORM SEWER _'\ ,g` ��_\ \ \ \ \ \\ \ \ '\ 1 OP I , —w PROPOSED WATER H.`\�\� �°1 \ \ x 947.0 \ 1 ► 96oIlk I —Tp — a ♦ \� \ \ \ )1111k PROPOSED TRENCH DRAIN \ ;\\ \ _ \x q4, \ \\ \ \ \\ I ■ / D �I ❑ FLOATING SILT CURTAIN v 955 V A v v hg [� " �,p A`� \ V - --g / —sF— SILT FENCE iT- ♦ FLOATING SILT CURTAIN • �v� �v 9`53 ��- `?'>`g`g o•sF`�;� Nam'tD 1p '9Sj l 41( M I \ \ �\ 96 �_ __ m m o �. 0 `� °�' II..J /-958 . ""j// \_. PROPOSED SIGN 7 J_.- $ l l `�\ \ - -919S69S 2\ \\- _ _ x 947.0 \ I 10:11 i .:1 \ / -_- _--/ / j STORM DRAIN INLET v 6, \ \\\\\\ x 947.0 / kr" r, PROTECTION a / \\ 0 - �V I --� w / 947 0 v _ H. V A 1 957 / ��� CONSTRUCTION ENTRANCE \ \ I I �� / 1 BITUMINOUS PAVEMENT - -- A V A A V AIi �St�ll� 947 a - 947- \ ,. 948 \ 1 0 / o -- --948- - i_���j�7 948 / CONCRETE PAVEMENT �i 950 x --gas-- ---- �r�{i i /°� i� •1 �\ D ----- • - 950 ' 1 _ -- / �- letipe - ' ' ' W TURF GRASS / �-951.7- �,fl/ -----_____._-_ --951 v �� / let 952 ? _ /�/ \�" `• \ /� a --- --_952-------- - / I�.l{I " 1 ° ' _ __ - " - — — MNDOT MIX 33-261 w Wrip \ 1 A w \ I . I I J / / � I �I Al \I A_- / / // I y IA r 1 I g PLAN: EROSION AND SEDIMENT CONTROL-NORTH 20 ao 0 O PRELIMINARY 9 SCALE IN FEET DRAFT a 2. g I HEREBY CERTIFY THAT THIS PLAN,SPECIFICATION,OR CLIENT — Project Office: Scale AS SHOWN BARR PROJECT No. _ I= REPORT WAS PREPARED BY ME OR UNDER MY DIRECT BID REDWOOD POND IMPROVEMENTS t SUPERVISION AND THAT I AM A DULY LICENSED — BARR ENGINEERING CO. Dale 03/27/2020 23/19-1419.00 PROFESSIONAL ENGINEEROF MINDER TA.LAWS OF THE CONSTRUCTION BARB 430.0MARKETPOINTE DRIVE Drawn APPLE VALLEY,MN w STATEEERNNERTH Suite ZOO JPP CITY OF APPLE VALLEY CLIENT PROJECT No. . 5 PRINTED NAME . MINNEAPOLIS,MN 55435 Checked JJW2 APPLE VALLEY,MN EROSION AND SEDIMENT CONTROL PLAN ° A B C 0 1 2 3 Corporate Headpuartem: Ph:1-800-632-2277 Designed JPP DWG.No. REV.No. U - .m SIGNATURE RELEASED Minneapolis,Minnesota Fax:(952)832-2801 NORTH NO. BY CHK.APP. DATE REVISION DESCRIPTION DATE LICENSE# TO/FOR DATE RELEASED Ph:1-800-632-2277 www.bair.com Approved SW1,0 A /\ .may / / / / —woo wm�wuG / / GG' ——- , woo / // / € —woo— / / / 9ss.. �/ \// // / woo—wm>—wo, _g59� ) .,.'' 4‘, / / �� /� �/ LEGEND I �,—wog— // / / / i / — woo�`' w / / 4.1 �� 1��� ' �� © "oo wm / // (//7-- \ / \ /9ya o I.�' 4111P / / / // / / // 698 EXISTING MINOR CONTOUR s / / / = - x EXISTING FENCE i / // '�O\ �/ \ // /�/ // //�/ 4 // / / i // // // // / / -- �o // / �/ / / �"� / /// �� GAS EXISTING GAS / / �-y / ..-"/ / / / /Lj J / ♦ ♦ / / / / sAn EXISTING SANITARY SEWER �gi // / // / / s / g61' // / /// / ♦♦/// // // ///� Sr EXISTING STORM SEWER g' / / / F. / / ! / EXISTING ELECTRIC 966 / / / / /yy/ // / /7 7/ / , / / EXISTING COMMUNICATIONS Es tT / tL: T1 • j• // // / s.�s�' / / // �/ A \9�?11 // / / / / / / °� ,9N6/ V'i\ EXISTING SIGN _ �G EXISTING BENCH 9 JJE/ —� st�m�m / / / /�_i �/� / / g� / / • // / / / ) EXISTING TREE ��— I ��� ���s�—��✓/ // / // // // / � / / / �D� l / / / // ll • O EXISTING BOULDER / / / / / SILT FENCE 4 / 7 / / �/0 / / /� // // // // // /�7 / // / P // / / / / A/ A - REMOVAL / // / // / :___ / /� oQ� // / / / ♦ X TREE REMOVAL $ / / / / / / _ ——/ / / / of6 / / / Illililllllililr T p� i i l l i i l l l BITUMINOUS PAVEMENT g / s// // / / // / _/ / // / / / / / • • ♦ t REMOVAL / / / / / / w w 4 / / / // 7 / +T+T+T+ CONCRETE PAVEMENT / / / / / / ` ' / / / / / + + + + REMOVAL l - // /w / �0 / 1 CLEARING AND GRUBBING / / / w V w / • , 4 / / / / / ■ ■ CONSTRUCTION LIMITS 963 ? / / /, / / / , / / / / / w 7 / / h / EXCAVATION LIMITS I i i'/ / m • w /// // / / �0:, / // // / ♦ FLOATING SILT CURTAIN g45 —700— PROPOSED MAJOR CONTOUR —M�M—m— m—m/ v�� I / / / ® / // —698— PROPOSED MINOR CONTOUR E / I ! I / / 's.i, PROPOSED STORM SEWER ( / / • m I/ 1 i ! 11 / 6 I l x 94 0 /� /� / x 945.0 —`"— PROPOSED WATER / j I ( 1, 1 1 r . 1N rn b oil rn �' �o Aw °�' °v' // // ♦ —TD — PROPOSED TRENCH DRAIN / I I 1 \ t3 I / ❑ FLOATING SILT CURTAIN 962_\/-1 — 8 I Q 1 \ , I / / / / ♦ —sF— SILT FENCE o I 1 1 \ / / x 9'45.0 \ PROPOSED SIGN n F I ( \ 1 Imo/ ' \ — __ // l 6 / / / ♦ /^` STORM DRAIN INLET a I//I \\ \\ / / i 1 � 94:-.7.------ - .\ I / / i \ -/ / • PROTECTION F 1 \I \ / // ,� \ \ / j 7 �? / / \ ♦ _��1 CONSTRUCTION ENTRANCE g II / \ / / /_ ♦ \�, \ \I\ I 4 \949 \\\ \ BITUMINOUS PAVEMENT E. ir r} E. \ ———— CONCRETE PAVEMENT /1\ I / 8 INLET PROTECTION\\ \\ \ \ \\ / 95� \� \ \'-1 i. ---- ------------- -------947—_ x .. \ r— ° // — , l \\ \ \\ \\ , \ 967.��� \� �� s�� — 1: I :: ----- 4.tel ,_ � ,— 1 --------- 949-- ———— MNDOT MIX 33-261 E. z z ` / \\ \ 1 ��.\'au \vs-1e— — _.--- ---s— \ _`_ __ -951—_ ° C \NIII, niP• co+, `w. \ \��\ ��---��0 955 —a,—a, a,—a,—a,\ —ei _----__ __ --- — _—_=--=-954-- a J \ \ c —— 1 9564, rr s, 1 — 955- 0 woff\ —_ a-� --_ - _ � ii _ \ _---_—_ — — — — —_—— _ _"—�s — —s.-5.—=,—s. C\ ...../.. / — —,—s, -s n-„-s,- -a,-, a, b,—=,—s.—n—s,—s,—s. s,_s—,—n—s, =,\ ,- _ L�=, =.i-n-�\=r—�—�—_—_—_.—_.—_. ry it1 e PLAN: EROSION AND SEDIMENT CONTROL-SOUTHWEST °,,,,I,,,,1° 2 0 w SCALE IN FEET O PRELIMINARY Ei DRAFT a U 9 T HEREBY CERTIFY THAT THIS PLAN,SPECIFICATION,OR CLIENT — — — Project Olfce: Scale AS SHOWN BARR PROJECT No. _ REPORT WAS PREPARED THATIAOR UNDER ENSEDDIRECT BID REDWOOD POND IMPROVEMENTS t SUPERVISION AND THATIAMA DULY LICENSED BARR ENGINEERING CO. Date 03/27/2020 23/19-1419.00 PROFESSIONAL ENGINEER UNDER THE LAWS OF THE CONSTRUCTION BARR 430.0 MARKETPOINTE DRIVE Drawn APPLE VALLEY,MN w STATE OF MINNESOTA. Suite ZOO JPP CITY OF APPLE VALLEY CLIENT PROJECT No. Checked APPLE VALLEY,MN EROSION AND SEDIMENT CONTROL `� 5 PRINTED NAME . MINNEAPOLIS,MN 55435 JJW2 ° A B C 0 1 2 3 Corporate Headpuartem: Ph:1-B00-632-2277 Designee JPP DWG.No. REV.No. U .m SIGNATURE RELEASED Minneapolis,Minnesota Fax:(brrcon2-2601 SOUTHWEST NO. BY CHK.APP. DATE REVISION DESCRIPTION DATE LICENSE# TO/FOR DATE RELEASED Ph:1400-632-2277 www.bair.com Approved SW1.1 A Attachment 5 Alternative 2 - Engineer's Opinion of Probable Cost Table: Engineer's Opinion of Probable Project Cost PREPARED BY: BARR ENGINEERING COMPANY SHEET: 1 OF 1 BARR CREATED BY: JPP DATE: 2020-03-27 ENGINEER'S OPINION OF PROBABLE PROJECT COST CHECKED BY: JJW2 DATE: 2020-03-27 PROJECT: Redwood Pond Improvements APPROVED BY: DATE: LOCATION: Apple Valley, MN ISSUED: Client Review DATE: 2020-03-27 PROJECT#: 23/19-1419.00 ISSUED: DATE: OPINION OF COST- SUMMARY ISSUED: DATE: Engineer's Opinion of Probable Project Cost Pond Expansion and Extended Detention Cat. ESTIMATED No. ITEM DESCRIPTION UNIT QUANTITY UNIT COST ITEM COST NOTES A MOBILIZATION LS 1 $40,000.00 $40,000 1,2,3,4,5,6,7 B CONTROL OF WATER LS 1 $10,000.00 $10,000 1,2,3,4,5,6,7 C TRAFFIC CONTROL LS 1 $2,000.00 $2,000 1,2,3,4,5,6,7 D REMOVE AND DISPOSE CURB&GUTTER LF 20 $10.00 $200 1,2,3,4,5,6,7 E SAWCUT PAVEMENT-FULL DEPTH LF 38 _ $5.00 $190 1,2,3,4,5,6,E F REMOVE AND DISPOSE PAVEMENT(STREET) SY 20 $5.00 $100 1,2,3,4,5,6,7 G SALVAGE AND REPLACE CLASS 5 CY 95 $20.00 $1,900 1,2,3,4,5,6,7 H REMOVE AND DISPOSE PAVEMENT(TRAIL) SY 662 _ $5.00 $3,310 1,2,3,4,5,6,7 I REMOVE AND DISPOSE STORM SEWER PIPE LF 234 $12.00 $2,808 1,2,3,4,5,6,7 J REMOVE AND DISPOSE STORM SEWER STRUCTURE EA 1 $800.00 $800 1,2,3,4,5,6,7 K SALVAGE AND REPLACE FLARED-END SECTION EA 3 $1,000.00 $3,000 1,2,3,4,5,6,7 L REMOVE AND DISPOSE TREE(3" < DIAMETER<30") EA 32 $200.00 $6,400 1,2,3,4,5,6,7 M REMOVE AND DISPOSE TREE(>30" DIAMETER) EA 1 $1,000.00 $1,000 1,2,3,4,5,6,7 N CLEAR AND GRUB SY 1,788 $4.00 $7,152 1,2,3,4,5,6,7 O SALVAGE AND REPLACE TOPSOIL CY 537 $8.00 $4,296 1,2,3,4,5,6,7 P COMMON EXCAVATION CY 6,455 $12.00 $77,460 1,2,3,4,5,6,7 Q DISPOSAL OF EXCAVATED MATERIALS(OFFSITE) CY 6,399 _ $18.00 $115,182 1,2,3,4,5,6,7 R EXCAVATION AND DISPOSAL OF MUCK CY 860 _ $50.00 $43,000 1,2,3,4,5,6,7 S CONCRETE CURB&GUTTER LF 20 $20.00 $400 1,2,3,4,5,6,7 T IMPORT CLASS 5 CY 10 $30.00 $300 1,2,3,4,5,6,7 U BITUMINOUS PAVEMENT(STREET) TON 3.9 $325.00 $1,268 1,2,3,4,5,6,7 ✓ BITUMINOUS PAVEMENT(TRAIL) TON 61 $325.00 $19,760 1,2,3,4,5,6,7 W SITE GRADING SY 6,844 $5.00 $34,220 1,2,3,4,5,6,7 X IMPORT TOPSOIL CY 22 $15.00 $330 1,2,3,4,5,6,7 Y MODIFY EXISTING OUTLET STRUCTURE LS 1 $8,000.00 $8,000 1,2,3,4,5,6,7 Z 48" PRECAST STMH WITH SUMP AND SAFL EA 1 $5,000.00 $5,000 1,2,3,4,5,6,7 AA 72" PRECAST STMH WITH SUMP AND SAFL EA 1 $8,000.00 $8,000 1,2,3,4,5,6,7 BB 72" PRECAST STMH OUTLET STRUCTURE EA 1 $12,000.00 $12,000 1,2,3,4,5,6,7 CC 21" REINFORCED CONCRETE PIPE LF 114 _ $50.00 $5,700 1,2,3,4,5,6,E DD 30" REINFORCED CONCRETE PIPE LF 111 $60.00 $6,660 1,2,3,4,5,6,7 EE CONNECTION TO EXISTING STRUCTURE EA 2 $1,000.00 $2,000 1,2,3,4,5,6,7 FF RIPRAP-CLASS 3 TON 51 $180.00 $9,180 1,2,3,4,5,6,7 GG SEEDING AND MULCH-TURF GRASS SY 830 $4.00 $3,320 1,2,3,4,5,6,7 HH SEEDING AND MULCH-MNDOT 33-261 MIX SY 2,526 $5.00 $12,630 1,2,3,4,5,6,7 II #20 CONT. DECIDIOUS TREE (B&B) EA 11 $400.00 $4,400 1,2,3,4,5,6,7 JJ CONSTRUCTION ENTRANCE EA 1 $2,000.00 $2,000 1,2,3,4,5,6,7 KK SILT FENCE LF 786 $4.00 $3,144 1,2,3,4,5,6,7 LL FLOATING SILT CURTAIN LF 294 $10.00 $2,940 1,2,3,4,5,6,7 CONSTRUCTION SUBTOTAL $460,000 1,2,3,4,5,6,7 CONSTRUCTION CONTINGENCY(25%) $115,000 1,4,7 ESTIMATED CONSTRUCTION COST $575,000 1,2,3,4,6,7 ESTIMATED ACCURACY RANGE -10% $520,000 4,6,7 15% $670,000 4,6,7 1 Notes 1 Limited Design Work Completed(30%). 2 Quantities Based on Design Work Completed. 3 Unit Prices Based on Information Available at This Time. 'This feasibility-level(Class 3,10-40%design completion per ASTM E 2516-11)cost estimate is based on feasibility-level designs,alignments,quantities and unit prices. Costs will change with further design. Time value-of-money escalation costs are not included. A construction schedule is not available at this time. Contingency is an allowance for the net sum of costs that will be in the Final Total Project Cost at the time of the completion of design,but are not included at this level of project definition. The estimated accuracy range for the Total Project Cost as the project is defined is-10%to+15%. The accuracy range is based on professional judgement considering the level of design completed,the complexity of the project and the uncertainties in the project as scoped. The contingency and the accuracy range are not intended to include costs for future scope changes that are not part of the project as currently scoped or costs for risk contingency. Operation and Maintenance costs are not included. 5 Estimate assumes that project will not be located on contaminated soil. 6 Estimate costs are for construction.The estimated costs do not include design,permitting,maintenance,monitoring or additional tasks following constuction. Estimate costs are reported to nearest thousand dollars. \\barr.com\projects\Mpls\23 MN\19\23191419 Redwood Pond Improvements\WorkFiles\Costs\Cost Estimate\Engineers OPC_V3.xlsx Redwood Pond • ITEM: 4.K. ..... .... Apple COUNCIL MEETING DATE: June 11, 2020 Valley SECTION: Consent Agenda Description: Approve First Amendment to Sanitary Sewer Facilities Joint Service Agreement with City of Eagan Staff Contact: Department/ Division: Matt Saam, Public Works Director Public Works Department ACTION REQUESTED: Approve First Amendment to the Sanitary Sewer Facilities Joint Service Agreement with the City of Eagan, Project 2012-109. SUMMARY: Attached for Council's consideration is a first amendment to the City's existing sewer agreement with the City of Eagan for sanitary sewer that discharges to the Eagan system. The amendment is proposed to reflect existing sanitary sewer conditions and to memorialize planned improvements to the section of sanitary sewer lines. Specifically, the amendment includes the following: • The amendment documents an existing 92-acre sewer area that flows to Eagan. This area, along each side of Johnny Cake Ridge Road just south of the City's border with Eagan, is shown on the attached Exhibit B and is called the Johnny Cake Ridge Road (JCRR) District. • The City of Apple Valley is to install two (2) flow meters, one along each side of Johnny Cake Ridge Road within the JCRR District (see attached Exhibit A). These flow meters will measure the flow from the School of Environmental Studies on the west side of Johnny Cake & from the Lebanon Hills camper park on the east side. The cost of the meters will be split equally with Eagan. • The City of Apple Valley will provide sewer flow meter readings to Eagan on a monthly basis for the two new flow meters. • The City of Apple Valley commits to completing I&I (Inflow and Infiltration) inspections for the sewer services draining to Eagan and supplying records of such inspections within 1-year of the amendment execution. Any I&I corrections would need to be done within 18-months of amendment execution. (The City is completing these inspections as part of our water meter replacement project.). • As with the current agreement, the City of Apple Valley will continue to bill our property owners for sewer usage and provide a separate payment to Eagan for sewer charges. The new JCRR District will be paid to Eagan based on the actual flow meter data from the two new flow meters. The City will continue to deduct 10% of the amount to Eagan for maintenance of our own City's sewer collection system. The City Attorney's Office drafted the attached amendment agreement. BACKGROUND: On October 23, 1986, the City Council approved the original Sanitary Sewer Agreement with the City of Eagan. The original agreement covered an existing 100-acre sewer area that flows to Eagan. This area, west of Galaxie Ave. and just south of the City's border with Eagan, is shown on the attached Exhibit C and is called the Briar Oaks District. BUDGET IMPACT: The cost for the installation of the two sewer flow meters will be split equally with the City of Eagan. Staff has budgeted $35,000 within the Sanitary Sewer Fund of the current adopted 2-year budget for this work. ATTACHMENTS: Agreement Exhibit Exhibit Exhibit FIRST AMENDMENT TO EAGAN-APPLE VALLEY SANITARY SEWER FACILITIES JOINT SERVICE AGREEMENT This First Amendment to the Eagan-Apple Valley Sanitary Sewer Facilities Joint Service Agreement is made this day of , 2020, by and between the City of Eagan, a Minnesota municipal corporation (hereinafter "Eagan"); and the City of Apple Valley, a Minnesota municipal corporation (hereinafter "Apple Valley"). (Eagan and Apple Valley shall hereinafter collectively be referred to as the "Parties"). WHEREAS, the Parties entered into that certain Sanitary Sewer Facilities Joint Service Agreement that was approved by Eagan on August 5, 1986 and then by Apple Valley on October 23, 1986 (the "Sewer Agreement"); and WHEREAS, the Sewer Agreement addressed, among other things, the sanitary sewer service that would be provided by Eagan to certain property located in Apple Valley; and WHEREAS, there is a need to amend the Sewer Agreement to address possible inflow and infiltration issues and the installation of meters to monitor the discharge into Eagan's sanitary sewer system. NOW, THEREFORE, it is mutually agreed by and between the Parties as follows: 1. INSTALLATION OF UTILITY METERS. Apple Valley shall be responsible for the installation of the following meters: A. Meters Within Johnny Cake Ridge Road. Apple Valley shall install two meters to monitor the sewer discharge for the School of Environmental Studies and for the Dakota County Park Property. The installation of the meters shall be in the areas depicted on Exhibit "A" attached hereto. Apple Valley shall provide for the installation of the meters and manhole(s) in accordance with specifications mutually approved by Eagan and Apple Valley. B. Cost of Meters. Apple Valley shall be responsible for obtaining competitive bids for the installation of the meters and manholes and provide Eagan with a copy of the lowest responsible bid/quote. Provided that the meters are installed in accordance with the approved specifications,Eagan shall remit to Apple Valley one-half of the cost and installation of the meters. 2. SERVICE AREA. Section 2 of the Sewer Agreement is hereby deleted and replaced with the following terms. A. Apple Valley may, subject to the provisions of this contract, interconnect its sewers,servicing certain areas of Apple Valley,with the sewers of Eagan. B. The area of Apple Valley which may be permanently served under this agreement is limited to the JCRR District consisting of approximately 92 acres and identified on "Exhibit B" and the Briar Oaks District consisting of approximately 100 acres and identified on "Exhibit C." The JCRR District and Briar Oaks District are hereinafter collectively referred to as the Apple Valley District. C. Sewer service from the Apple Valley District shall be through the Eagan Outlet Connecting Sewer, and the total sewer flow into the Eagan sewer system at the Eagan Outlet Points of Interconnection shall not exceed 0.1 million gallons per day average flow from Briar Oaks District and 0.1 million gallons per day average flow from the JCRR District. D. Sanitary sewer service for the Minnesota Zoological Garden is provided through a separate agreement and is specifically excluded from this First Amendment. 3. SYSTEM CONSTRUCTION AND MAINTENANCE. Except as specified herein, each City shall be responsible for the cost of constructing and maintaining facilities located within its respective jurisdiction. Any future capital improvements to the Eagan sanitary sewer system including rehabilitation or replacement of infrastructure will be funded by the charges herein described in Section 5 of the Amendment as long as the total sewage flow into the Eagan sanitary sewer system does not exceed the limits set per Section 2 of the Sewer Agreement.Any land use change,development or redevelopment within the Apple Valley District shall be presented to Eagan for review and comment. Notwithstanding the foregoing, Apple Valley may approve or deny any land use change, development or redevelopment within the Apple Valley District at its sole discretion. Any future capital improvements necessary to the Eagan sanitary sewer system caused by land use change, development or redevelopment in the Apple 2 Valley District that exceed the limits herein set per Section 2 shall be funded by a separate agreement at that time or a future amendment hereto. 4. MONITORING OF METERS. On or before the 15th of each month Apple Valley shall provide the sanitary sewer meter readings for each meter to Eagan. Upon request by Eagan, Apple Valley shall also provide the corresponding water billings of the affected properties for the same time period. Eagan shall then review the billings and meters to determine whether there is an inconsistency in the amount of discharge to Eagan's sanitary sewer system, which may indicate inflow and infiltration into Eagan sanitary sewer system. In the event that Eagan determines that there are unacceptable levels of inflow and infiltration, Apple Valley shall actively pursue inflow and infiltration mitigation in a matter reasonably acceptable to Eagan. 5. INFLOW& INFILTRATION. Apple Valley shall inspect all individual sanitary sewer connections to the sewer system within the JCRR District and Briar Oaks District to ensure that no clear water shall be discharged,directly or indirectly, into Eagan's sewer system. Apple Valley shall provide documentation of said inspections to Eagan within 12 months of the date of execution of this Agreement. Correction of any connections that fail to comply with a prevention of clear water discharge into the Eagan's sewer system shall be completed within 18 months of the date of execution of this agreement. Apple Valley shall provide documentation of said satisfactory inspection to Eagan within 3 months of the date of the completed correction. 6. SEWER SERVICE CHARGES. A. Section 8 of the Sewer Agreement is hereby deleted and replaced with the following terms. B. Apple Valley shall pay Eagan monthly sanitary sewer charges for wastewater discharge from the Apple Valley District that is connected to the Eagan sanitary sewer system per Eagan's most current adopted charges for such. For the Briar Oaks District, monthly sanitary sewer charges shall be based on winter quarter water meter consumption data. Upon request by Eagan, Apple Valley will provide the water meter consumption data of the affected properties for the winter quarter time period. For the JCRR District, monthly sanitary sewer charges shall be based on flow meter data as set forth in Section 1 and 5 of this Amendment. The usage charges shall be charged on a monthly basis (twelve charges per year) but Apple Valley may remit payment no later than quarterly. Apple Valley may withhold and retain 10% of said sewer charges in consideration of its operation,maintenance and collection expenses. C. The sanitary sewer charges are reviewed annually by the Eagan City Council. Rate changes approved by the Eagan City Council will be 3 effective January 1st of each year. If a rate change were to be needed at any other time, Eagan shall inform Apple Valley at least ten (10) days prior to the time Eagan considers changing its sanitary sewer charges and at least three (3) days prior to the adoption of any changes by Eagan of the charges. D. Eagan hereby acknowledges payment in full of all applicable connection charges and sewer access charges for existing facilities located within the Apple Valley District at the time of this First Amendment. E. Apple Valley shall be responsible for the sanitary sewer billings to customers within the Apple Valley District. 7. No OTHER CHANGES. Except as modified by this First Amendment, all other terms of the Sewer Agreement remain unchanged. (Signature pages to follow.) 4 First Amendment to Eagan-Apple Valley Sanitary Sewer Facilities Joint Service Agreement (Signature page of City of Apple Valley) CITY OF APPLE VALLEY, a Minnesota municipal corporation By: Mary Hamann-Roland Its: Mayor By: Pamela Gackstetter Its: Clerk STATE OF MINNESOTA) )ss. COUNTY OF DAKOTA ) The foregoing instrument was acknowledged before me this day of , 2020,by Mary Hamann-Roland and Pamela Gackstetter, the Mayor and Clerk of the City of Apple Valley, a Minnesota municipal corporation, on behalf of the municipal corporation. Notary Public APPROVED AS TO FORM: City Attorney's Office Dated: APPROVED AS TO CONTENT: Public Works Department Dated: 5 First Amendment to Eagan-Apple Valley Sanitary Sewer Facilities Joint Service Agreement (Signature page of City of Eagan) CITY OF EAGAN, a Minnesota municipal corporation By: Mike Maguire Its: Mayor By: Christina M. Scipioni Its: Clerk STATE OF MINNESOTA) )ss. COUNTY OF DAKOTA ) The foregoing instrument was acknowledged before me this day of 2020,by Mike Maguire and Christina M. Scipioni, the Mayor and Clerk of the City of Eagan, a Minnesota municipal corporation, on behalf of the municipal corporation. Notary Public APPROVED AS TO FORM: City Attorney's Office Dated: APPROVED AS TO CONTENT: Public Works Department Dated: 6 THIS INSTRUMENT WAS DRAFTED BY: DOUGHERTY, MOLENDA, SOLFEST, HILLS &BAUER P.A. 14985 Glazier Avenue, Suite 525 Apple Valley, MN 55124 (952)432-3136 (RBB: 206-32441/Project 1056) 7 • EXISTING METER VAULT •EAGAN D•••••••••••••••••••••••••••• • •••• •••••••••••••••••••••••••••••••• APPLE VALLEY O = o Z • a m rn PROPOSED 4' DIA METER MH m W/ NEW ELEC. SERVICE AND ABOVE GRADE METER PANEL • PROPOSED 4' DIA METER MH W/ NEW ELEC. SERVICE AND ABOVE GRADE METER PANEL • • • Esri, HERE,Garmin,(c)OpenStreetMap contributors,and the GIS user community Exhibit A Proposed Sewer Meter Improvements N ••• A •���• 0 Sanitary Manhole City Right of Way 41 •••• ••• --- Sanitary Force Main Lakes Apple -0- Sanitary Gravity Main . City Boundary 0 50 Valley t : ey EAGAN Major Right of Way • Proposed Meters Map Date:5/26/2020 Feet Location:L:\Map_Library\PublicWorks\Utilities\SanitarySewer\2020_SanitarySewerAgreementAmendment\Sanitary_Exhibits_04142020.aprx .\ odAt* vAd AV EAGAN L- r-• - 7 APPLE VALLEY School of Environmental Studies • // /// /////// 12155 Johnny Cake Ridge Road • ��; ., '.• Dakota County Lebanon Hills Regional Park Approx.'12 Acres i,' / w. ��*A��.• 12100 Johnny Cake Ridge Road " 1 • I ' �4,� /Approx. 80 Acres .0::z.j /7 7 ( r ,iii A /_ _4_ca ---__ . 1 z5 1 z „... ..... i" .. ,, ,—•,,Nt If ,1:. • , • • m ._ t' o �' I Ilk -ice g), _„1111111111 SWIM' IV7,7",,,, W!W 111 ,— •� . ®� • =� ot• 10 • Esri, HERE, Garmi ,, (e)-O.enStreet a. ontributor , .no the . . . . \,i_° oL P ,It Exhibit B JCRR (Johnny Cake Ridge Road) District Boundary N ••• •�•• 0 Sanitary Manhole Parcels City Right of Way ••• _ ''� -- Sanitary Force Main ® District Boundary Lakes Apple -- Sanitary Gravity Main Major Right-of-Way t:; City Boundary 0 200 Valley EAGAN — ��eY Feet Map Date:4/28/2020 Location:L:\Map_Library\PublicWorks\Utilities\SanitarySewer\2020_SanitarySewerAgreementAmendment\Sanitary_Exhibits_04142020.aprx _Iv �C � \........i . ..),4 1 ii.,.. < • --Ea -44"--,Aro "I'' lir *tok .�R, R YAE �D; ' ei A*TAIML1 ` ��'' l EAGAN •' ' loipagoi..7—. /I .dr e_— `,APPLE VALL�E W 7-4 , I A r �/l A -n / e Air 4 4e.-04r.' ,04.4.' -,=, 4 ' , ii Arr 32.5 4 r 414 Pr Alfr 9 4Ar /A, A! i -41 r de A,...Ad ' VI r -,4 ct r $0 A 4r i "fadO f: Apr f4.114---.Ar // -4s ar- ir fr #.‘ % -41 d •40 :1:01-er- O'lvea u 4 %AN Ie• j r r Ar-ri,A4 ,.9.- r 14 ( v�'401, 4011 frAr PO I *,,ti& :' NIA of A \. / „4„ ,7 e- 9'.v' :4 v r,--? i.-4 ,' I'Vd4 4 -s? -4—c\ / Vik • sk '0%///r. _ ..Y h � ,- _ / .„ / I O I Briar Oaks District• IApprox. 100 Acres Rgs .._. \• L fug WM • _ 1 / .N. t. c*04'493-4-0 •, • • • ,i :.::"...".--.-. a)1 li • . _,* IL iN — � •' E i, RE,Gar .n,( t penStreetMa c.ntributors,and the GIS user_ ~ community �r --7 • 1 Exhibit C Briar Oaks District Boundary N ... — •••• ,, 0 Sanitary Manhole Parcels City Right of Way •••• ...... .,...• ••• Sanitary Force Main // District Boundary Lakes Apple 0 200 valley EAGAN -- Sanitary Gravity Main Major Right-of-Way City Boundary Feet Map Date:4/28/2020 Location:L:\Map_Library\Public Works\Utilities\SanitarySewer\2020_SanitarySewerAgreementAmendment\Sanitary_Exhibits_04142020.apnc •••• ITEM: 4.L. ..... •5• Appleil COUNCIL MEETING DATE: June 11, 2020 Valley SECTION: Consent Agenda Description: Approve Fiber Optic Indefeasible Right to Use Agreement with Dakota Broadband Board Staff Contact: Department/ Division: Charles Grawe,Assistant City Administrator Administration/ Information Technologies ACTION REQUESTED: Approve Fiber Optic Indefeasible Right to Use Agreement by and between City of Apple Valley as Grantor and Dakota Broadband Board as Grantee. SUMMARY: For several years, Dakota County and the cities within Dakota County have been working on a way to aggregate our fiber network resources to offer improved institutional network services and to have the capacity to provide services to commercial parcels that may not be able to get desired data capacity from existing service providers. This process culminated in approving a joint powers agreement (JPA) in 2018 forming the Dakota Broadband Board (DBB). BACKGROUND: DBB Management of Members' Fiber Assets One of the major benefits of joint powers membership is that the DBB provides the management of the City's fiber assets, relieving City staff of this responsibility. Management encompasses several responsibilities. The DBB will work with LOGIS to accurately track the City's fiber assets. This is very important because the assets must be located each time there is construction work in the area. The DBB will also work with LOGIS to add segments to City's assets as the City expands its network. The City's network has annual expansions in the Capital Improvements Program (CIP) to extend fiber to many of the City's smaller facilities, such as wells. Finally, in order to efficiently reach some of the City's remote locations, the City will connect its network to other DBB member assets, specifically Dakota County's fiber, so that the City does not have to build out as much of its own fiber. The attached agreement allows the DBB to implement these management duties on behalf of the members. The City Attorney has reviewed the agreement. Staff recommends the City Council approve the attached agreement for with the DBB and approve Exhibit A, which is a current map of the City's fiber assets. BUDGET IMPACT: N/A ATTACHMENTS: Agreement Map DBB Contract# FIBER OPTIC INDEFEASIBLE RIGHT TO USE AGREEMENT BY AND BETWEEN CITY OF APPLE VALLEY AS GRANTOR AND DAKOTA BROADBAND BOARD AS GRANTEE FIBER OPTIC INDEFEASIBLE RIGHT TO USE AGREEMENT This Agreement for the indefeasible right to use (or "IRU") together with the attached exhibit (collectively the "Agreement" or the "IRU Agreement") is made by and between the City of Apple Valley, a Minnesota municipal corporation ("IRU Grantor" or "the City"), and Dakota Broadband Board, a Minnesota independent joint powers organization, acting by and through its Board of Directors ("IRU Grantee", or "the DBB"). The IRU Grantor and IRU Grantee may be referred to herein individually as a"Party" or collectively as the "Parties." BACKGROUND A. The City has installed and maintained, or plans to install and maintain, certain Fibers and Fiber Facilities, and B. The City is a participant in and a member of the Dakota Broadband Board and to further the purpose and goals of the DBB, the City agrees to grant to the DBB the right to use, manage and maintain Fibers and Fiber Facilities within certain Fiber Optic Cable segments on the terms and conditions set forth below. C. The DBB desires to use, manage and maintain optic Fibers and Fiber Facilities from the City as described in this Agreement. DEFINITIONS The following terms are used in this IRU Agreement: A. "County Right-of-Way" means the real property, including all fee simple, easements, access rights, rights of use and other interests, owned and/or operated by Dakota County, devoted to County road or highway purposes. B. "City Right-of-Way" means the real property, including all fee simple, easements, access rights, rights of use and other interests owned and/or operated by the City, devoted to City road or highway purposes. C. "Dakota Broadband Network"means a high-performance network connecting local government facilities in Dakota County with the physical assets (conduit, fiber optic cable, handholes, cabinets, network equipment) owned by DBB members but maintained and managed by the DBB. D. "Effective Date" is the date upon which all Parties have executed this Agreement. E. "Fiber"means a glass strand or strands which is/are used to transmit a communication signal along the glass strand in the form of pulses of light. F. "Fiber Facilities"means a handhole, conduit, splice enclosures and related equipment, but excluding any electronic or optronic equipment at termination points located in City facilities. 1 G. "Fiber Optic Cable" or "Cable" means a collection of fibers with a protective outer covering. H. "IRU Assets" means the City's IRU conduit, IRU Cable, IRU Fibers and Fiber Facilities that is subject to this Agreement as more specifically described in Exhibit A. I. "IRU Cable"means a Cable containing one or more Fibers, constructed and owned by the City in which the DBB has an IRU pursuant to the terms of this Agreement. J. "IRU Fibers"means the specific City owned Fiber described in Exhibit A, an IRU for which is granted to the DBB in the IRU Cable pursuant to the terms of this Agreement. K. "Indefeasible Right of Use" or"IRU"means an indefeasible right to use,maintain and manage the IRU Fibers and Fiber Facilities, provided, however, that granting of such IRU does not convey legal title to the IRU Fibers or Fiber Facilities. L. "Optical Splice Point" means a point where the City's Cable is connected to another entity's Cable within a splice enclosure. M. "Relocation" means any physical movement of fiber optic cable or conduit required due to reconstruction, modification, change in grade, expansion or relocation of a County road or highway, or a city street or other public improvement. In consideration of their mutual promises, the Parties expressly agree as follows: ARTICLE I LICENSES Section 1.1 The DBB desires to obtain an IRU in the City's IRU Assets further described in Exhibit A to this Agreement,which is incorporated into this IRU by reference. In consideration of the promises by the DBB in this Agreement, the City grants an IRU to the DBB in the IRU Assets identified in Exhibit A hereto, subject to any interests the City has previously granted to other cities or Dakota County,pursuant to IRUs or other contractual arrangements. The DBB shall be entitled to use the IRU Assets for any lawful purposes subject to (i) agreeing to be bound by all laws, regulations and any requirements of the City regarding access to City rights of way, and (ii) otherwise complying with the terms and conditions of this IRU. Section 1.2 Subject to the terms and conditions of this IRU Agreement,City hereby grants to the DBB a license to access and use the IRU Assets during the term of this Agreement and any extension of this Agreement. The Parties acknowledge and agree that they may add additional IRU Assets owned by the City to become subject to this Agreement, and will agree upon an amended Exhibit A that reflects the changes to the City IRU Assets to be subject to DBB use and management, which shall supersede all previous versions of Exhibit A. Such amended Exhibit A 2 need not be formally approved by the DBB Board or the City Council of the City in order for the amendment to become effective. Section 1.3 The IRU Assets are provided to the DBB "as is." If any new Fiber Facilities or any fiber splices are needed to interconnect IRU Fibers to the Dakota Broadband Network, the DBB shall be responsible for coordinating this work with the City and shall pay any and all costs and fees associated with connecting the IRU Fibers to other fibers not owned by the City for Dakota Broadband Network purposes. The DBB and the city or cities that own the Dakota Broadband Network assets shall confer and agree upon which Party is responsible for the costs and fees associated with connecting the IRU Fibers to other fibers for Dakota Broadband Network purposes of parties outside of the DBB or shall agree upon an allocation of the costs and fees between the Parties. If the Parties cannot agree upon the responsibility for costs and fees related to Dakota Broadband Network connections,the issue shall be presented to the DBB Board and the DBB Board decision on cost responsibility shall be final. Section 1.4 Notwithstanding anything contained to the contrary in this Agreement, the Parties acknowledge and agree nothing contained in this Agreement shall operate to limit,interfere with, or otherwise adversely affect each Party's right to manage, control, construct, relocate, maintain, replace and expand the portion of its fiber optic network equipment and infrastructure that is not subject to this Agreement, and is not included in the description of Fiber and Fiber Facilities in Exhibit A. ARTICLE II EFFECTIVE DATE AND TERM The DBB may use the granted IRU Assets commencing on the Effective Date. This Agreement has an initial term of 10 years, with two separate five-year renewals which shall be effective unless the DBB Board affirmatively decides not to renew and provides ninety(90) days' notice to the City prior to termination or unless terminated by agreement of the Parties in writing or by one of the events in Article XI, Section 11.2 of this Agreement, whichever occurs first. ARTICLE III LICENSE FEES The City will not impose, and the DBB shall not pay a fee for the use of the IRU Assets during the term of this Agreement on any renewal of this Agreement. The City will contribute to the cost of using, managing and maintaining the City's Fiber Assets through its DBB participant fees and other financial contributions as approved by the DBB Board. 3 ARTICLE IV MAINTENANCE AND REPAIR The DBB shall be responsible for the maintaining,repairing and when necessary replacing the City's IRU Assets assigned to the DBB as described in Exhibit A within the Dakota Broadband Network managed by the DBB. Responsibility for the cost of maintenance and repair of new City Fiber Facilities used within the Dakota Broadband Network will be as follows: If the City has amended Exhibit A of its IRU Agreement with the DBB to include the new Dakota Broadband Network/city fiber among the IRU Assets to be managed and maintained by the DBB, the cost of maintenance and repair of the new Dakota Broadband Network fiber is the responsibility of the DBB. If the City has not amended Exhibit A of its IRU Agreement with the DBB to include the new city fiber among the IRU Assets to be managed and maintained by the DBB,the cost of maintenance and repair of the new Dakota Broadband Network/City fiber is the responsibility of the city until the new Dakota Broadband Network fiber is added to Exhibit A. The response time to repair breaks or other failures causing an interruption in communications through City IRU Assets will be the response time standards set forth in the break/fix contract between the DBB, or its network administrator,and the selected break/fix repair contractor. ARTICLE V REPRESENTATIONS AND WARRANTIES Section 5.1 The DBB's use of the IRU Assets shall comply with all applicable governmental codes, ordinances, laws, rules, regulations and/or restrictions. Section 5.2 The City represents and warrants that it has the right to grant this IRU in its IRU Assets. ARTICLE VI LIABILITY; INDEMNIFICATION Section 6.1 Neither the City nor the DBB shall be liable to the other for any indirect, special, punitive or consequential damages arising under this Agreement or from any breach or partial breach of the provisions of this Agreement or arising out of any act or omission of either Party hereto, its directors, officers, employees, servants, contractors and/or agents. Section 6.2 The DBB assumes,releases and agrees to indemnify, defend, protect and save City(including its officers, agents, representatives and employees)harmless from and against any claim, damage, loss, liability, injury, cost and expense (including reasonable attorney's fees and expenses) in connection with any loss or damage to any person or property arising out of or resulting in any way from the acts or omissions to act, negligence or willful misconduct of the 4 DBB, its directors, officers, employees, servants, contractors and/or agents in connection with the exercise of its rights and obligations under the terms of this IRU. The City assumes, releases and agrees to indemnify, defend, protect and save DBB (including its officers, agents, representatives and employees) harmless from and against any claim, damage, loss, liability, injury, cost and expense (including reasonable attorney's fees and expenses) in connection with any loss or damage to any person or property arising out of or resulting in any way from the acts or omissions to act, negligence or willful misconduct of the City, its directors, officers,employees, servants,contractors and/or agents in connection with the exercise of its rights and obligations under the terms of this IRU. Notwithstanding the foregoing, such indemnity is limited to the amount of available insurance coverage and nothing herein shall be considered as a waiver of its statutory tort limits under Minn. Stat. Chap. 466. Section 6.3 Nothing contained herein shall operate as a limitation on the right of either Party hereto to bring an action for damages, including consequential damages, against any third party based on any acts or omissions of such third party as such acts or omissions may affect the construction, operation or use of the Fiber, Cable, or IRU Fibers; provided, however, that (i) the Parties to this Agreement shall not have any claim against the other Party for indirect, incidental, special, punitive or consequential damages (including, but not limited to, any claim from any customer for loss of services), and(ii) each Party hereto shall assign such rights or claims, execute such documents and do whatever else may be reasonably necessary to enable the injured party to pursue any such action against such third party. ARTICLE VII FORCE MAJEURE The obligations of the parties hereto are subject to force majeure and neither party shall be in default under this Agreement if any failure or delay in performance is caused by strike or other labor dispute; accidents; acts of God; fire; flood; earthquake; lightning; unusually severe weather; material or facility shortages or unavailability not resulting from such party's failure to timely place orders therefor; lack of transportation; acts of any governmental authority; condemnation or the exercise of rights of eminent domain; war or civil disorder; or any other cause beyond the reasonable control of either party hereto. The excused party shall use reasonable efforts under the circumstances to avoid or remove such causes of non-performance and shall proceed to perform with reasonable dispatch whenever such causes are removed or ceased. ARTICLE VIII RELOCATION OF CABLE Section 8.1 The City shall have the right to relocate the IRU Assets at any time upon written notice to the DBB (a "Relocation"). The City and/or Dakota County shall be responsible for all costs associated with a Relocation of the IRU Assets in County Right-of-Way that is required by alteration of the County Right-of-Way or by the request of a third party having authority to require 5 the move. The City may seek and receive funding or reimbursement from a third party for a Relocation within County Right-of-Way. The City shall be responsible for all costs associated with a Relocation of its IRU Assets in City Right-of-Way that is required by alteration of the City Right-of-Way or by the request of a third party having authority to require the move. The City may seek and receive funding or reimbursement from a third party for a Relocation by the City. Section 8.2 Either Party shall give the other Party at least sixty (60) days prior notice of any Relocation, if possible. The City has the right to determine the extent of, the timing of, and the methods to use for such Relocation; provided that any such relocated IRU Assets shall be constructed and tested in accordance with industry standard specifications and requirements. In addition, the City shall use reasonable efforts to ensure Relocation does not result in an adverse change to the operations, performance or connection points with the DBB Fiber Optic Cable network Section 8.3 The DBB has the right to review the Relocation plans at least fourteen (14) days prior to commencement of any Relocation. Either party may submit comments on the Relocation plans,which comments shall not delay commencement of the Relocation. Both parties shall have the right to have a representative present at the time a Relocation occurs. ARTICLE IX CONFIDENTIALITY The Parties agree and recognize that this Agreement as well as information and documents the Parties receive from one another during the term of this Agreement may be considered public data under the Minnesota Government Data Practices Act, Minn. Stat. Ch 13, as amended. The Parties agree to comply with the Minnesota Government Data Practices Act as it applies to all data provided by the Parties under this Agreement, and as it applies to all data created, collected, received, stored, used, maintained, or disseminated by any Party under this Agreement. The civil remedies of Minn. Stat. § 13.08 apply to the release of the data referred to in this clause by any Party. If either Party receives a request to release data arising out of or related to the Fiber Facilities or the use, operation or maintenance thereof, the Party receiving the request must immediately notify the other Party of the request. The Parties will promptly consult and discuss the best way to respond to the request. ARTICLE X ABANDONMENT; TERMINATION; EFFECT OF TERMINATION Section 10.1 Should the City decide to abandon all or part of the IRU Fibers during the term of this Agreement, it may do so by providing sixty (60) days' notice informing the DBB in writing of its intent to abandon. Such abandonment shall be at no cost to either Party except as set forth in this Article. If the City provides notice of intent to abandon,the DBB may notify the City prior to the expiration of the notice period of its intent to take ownership of the IRU Fibers. If the 6 DBB provides timely notice of such intent, the Parties will execute any agreements or documents transferring legal title of the IRU Fibers to the DBB, at no cost to either Party. Section 10.2 This Agreement shall terminate upon the first to occur of the following: (a) Expiration of the term of this Agreement; (b) Upon written notice from either Party to the other if a default occurs that is not cured within the time allowed hereunder, or (a) Upon a termination as provided in Section 10.4. Section 10.3 If this Agreement terminates under Article X, Section 10.2(a), neither Party shall have any liability to the other Party for the use of the IRU Fibers; If this Agreement terminates under Article X, Section 10.2(b), the non-defaulting party shall not have any liability to the defaulting party, and the defaulting party shall be liable for such damages to the non-defaulting party as the non-defaulting party may establish in a court of law, except as limited by this Agreement. Upon termination of this Agreement for any reason, the Parties agree to promptly execute any documents reasonably required to effect such termination. Section 10.4 The City may terminate this Agreement as to any IRU Assets owned by it with not less than two years prior written notice to the DBB. The DBB Board will consent to such termination unless the removal will render the Optical Fiber Dakota Broadband Network Backbone to be less than carrier class or violate any DBB contracts. The Parties recognize the two- year notice period is necessary and appropriate to permit the DBB to make alternative provisions for the continuance of service. The DBB Board may waive the two-year notice if it determines, in its sole discretion, that early termination will not adversely impact the Network. Section 10.5 Upon termination of this Agreement for any reason, the DBB shall cease to have any rights to the IRU Assets or other rights under this Agreement or any obligations under this Agreement except for obligations under this Article and any other obligations that arose prior to such termination. Section 10.6 If the City ceases to be a member of the DBB prior to the expiration or termination of this Agreement, this IRU Agreement will continue to be in effect until expiration. ARTICLE XI DEFAULT Section 11.1 Neither Party shall be in default under this Agreement unless and until the other Party shall have given the defaulting party written notice of such default and the defaulting party shall have failed to cure the default within thirty(30)days after written receipt of such notice; provided, however, that where a default cannot be reasonably cured within the thirty (30) day period, if the defaulting party shall promptly proceed to cure the default with due diligence, the time for curing the default shall be extended for a period of up to ninety (90) days from the date of receipt of the default notice or until the default is cured, whichever is shorter. 7 Section 11.2 Upon the failure by the defaulting party to timely cure any default after notice thereof from the non-defaulting party, the non-defaulting party may take any action it determines, in its discretion, to be necessary to correct the default, and/or pursue any legal remedies it may have under applicable law or principles of equity relating to the breach. ARTICLE XII NOTICES Section 12.1 Unless otherwise provided herein,all notices and communications concerning this Agreement shall be in writing and addressed as follows: If to the City: City of Apple Valley Attn: Tom Lawell, City Administrator 7100 147th Street West Apple Valley, MN 55124 With a copy to: City Attorney: Michael Dougherty Dougherty, Molenda, Solfest, Hills, &Bauer P.A. 14985 Glazier Avenue, Suite 525 Apple Valley, MN 55124 If to DBB: Dakota Broadband Board Attn: Carah Koch, Executive Director 430 Third Street Farmington, MN 55014 With a copy to: Dakota Broadband Board Attorney: Paul Beaumaster Dakota County Attorney's Office 1560 Hwy 55 Hastings, MN 55033 Section 12.2 Unless otherwise provided herein,notices shall be sent by certified U.S.Mail, return receipt requested, or by commercial overnight delivery service which provides acknowledgment of delivery, and shall be deemed delivered: if sent by U.S. Mail, five (5) days after deposit; if sent by commercial overnight delivery service, upon verification of receipt. ARTICLE XIII LIMITATION ON PROPERTY INTEREST This Agreement does not grant the DBB any property interest or estate in or lien upon the City's property, the City's Optical Fiber Network or any components thereof or any Intellectual Property, except for use of the IRU Assets during the term of this Agreement. All liens, claims and charges of the DBB shall not attach to any interest of the City or in any property owned by the City. 8 This Agreement does not grant the City any property interest or estate in or lien upon the DBB's property, its Optical Fiber Dakota Broadband Network or any components thereof or any Intellectual Property. All liens, claims and charges of the City shall not attach to any interest of the DBB or in any property owned by the DBB. ARTICLE XIV GOVERNING LAW AND VENUE This Agreement shall be governed and construed in accordance with the laws of the State of Minnesota without regard to its conflict of laws provision. The Parties agree that any action arising out of this Agreement or with respect to the enforcement of this Agreement shall be venued in the Dakota County District Court, State of Minnesota. ARTICLE XV INDEPENDENT CONTRACTOR The performance by the DBB and the City of all duties and obligations under this Agreement shall be as independent local government units and not as agents of the other Party, and no person employed or utilized by a party shall be considered the employee or agent of the other. Neither Party shall have the authority to enter into any agreement purporting to bind the other without its specific written authorization. The Parties agree this Agreement does not create a partnership between, or a joint venture of the DBB and the City. ARTICLE XVI MISCELLANEOUS Section 16.1 The headings of the Articles in this Agreement are strictly for convenience and shall not in any way be construed as amplifying or limiting any of the terms, provisions or conditions of this IRU Agreement. Section 16.2 When interpreting this Agreement, words used in the singular shall include the plural and the plural, the singular, and "of' is used in the inclusive sense, in all cases where such meanings would be appropriate. Section 16.3 If any provision of this Agreement is found by any court of competent jurisdiction to be invalid or unenforceable, then the parties hereby waive such provision to the extent that it is found to be invalid or unenforceable and to the extent that to do so would not deprive one of the parties of the substantial benefit of its bargain. Such provision, to the extent allowable by law and the preceding sentence, shall not be voided or canceled, but instead will be modified by such court so that it becomes enforceable with all of the other terms of this Agreement continuing in full force and effect. Section 16.4 This IRU Agreement may be amended only by a written instrument executed by all Parties. 9 Section 16.5 No failure to exercise and no delay in exercising, on the part of either Party hereto,any right,power or privilege hereunder shall operate as a waiver hereof,except as expressly provided herein. Any waiver by either Party of a breach of any provision of this Agreement shall not be deemed to be a waiver of any other or subsequent breach and shall not be construed to be a modification of the terms of this Agreement unless and until agreed to in writing by both Parties. Section 16.6 All actions, activities, consents, approvals and other undertakings of the Parties in this IRU Agreement shall be performed in a reasonable and timely manner. Section 16.7 Unless expressly defined herein,words having well known technical or trade meanings shall be so construed. Section 16.8 This IRU Agreement is solely for the benefit of the parties hereto and their permitted successors and assigns. ARTICLE XVII ENTIRE AGREEMENT This Agreement and any Exhibits referenced and attached hereto or to be attached hereto constitutes the entire agreement between the Parties and supersede any and all prior negotiations, understandings and agreements, whether oral or written. IRU GRANTOR: IRU GRANTEE: CITY OF APPLE VALLEY DAKOTA BROADBAND BOARD By: By: Its: Mayor Its: Board Chair Date: Date: By: Its: Clerk Approved as to Form Assistant County Attorney Date KS18-477 City-DBB Fiber IRU Agreement Template v4 2-2020 10 EXHIBIT A Description of City IRU Assets Subject to the IRU 1 EAGAN ••••• Briar Oaks Valleywood Clubhouse Grinder Station . Wheaton Pond ••• • ' Valleywood�tenance Apple 1. Valleywood Reservoir Grinder Stat onI BURNSVILLE Valley Cedar Knolls r, San LS 3 . -Well3 �San L32 CITY OF APPLE VALLEY Belmont Pond - • Hidden Pond Q San LS 10 Palomino Reservoir • Hunters Wood „_,_, _ .: FIBER OPTIC MASTER Nordic Reservoir SanLS7 1 .. ..I t.. V * Hannover Far quarLake�San 9 Public Infrastructure C svl San LS 'San LS 1 0 City Owned Traffic Signal Well 18 • Water Reservoir A Well 11 A Well Sanitary Lift Station SanLS4 Well 9 0 1* _ Well Well 8 Well 14 Well 19 • Storm Lift Station APPLE VALLEY ell 15 ROSEMOUNT We t6 s Alimagnet Lake amen ,,,,,Si II c°� s, - f tS15ty p�4 � r Tr: ,�a e'e' • Par ossa Well 161 Well 13 1 m W1<a"os-- Park T.,�Npo* Fiber/ Conduit Cedar City Empty Conduit (Fiber) Isles NAY Park E61"RY,a m� Sy RAY _ Pennock Shores.)... % e1120 w City Empty Conduit (L.V.) :AK Well? T ...—I e�inv ..1TY .66TH q y,, Del City of Apple Valley . '. ,Y 166TH ST %y�> w 1 Well 17 Well Dakota County g \ Well 18 ,-1 FAT HY, ISD 196 a, Well 2 ELRt OR I A I. N ENERGY'PY r �G r.s P1 _Q 1.1 WALNUT o — Adjacent Municipality 75 156rH slw N tOWELL DR ORIOLE DR HARALSON b F', ' L.+ MVTA 1 a pArASOELL OR 9 LO CH Dlrle55 FIRESIDE OR 151Nn LAG L'�y ..,,0.' CJHUFF- N Middle Park a o Park 0 p Penrock Pa lk OP 153,'. 1n 4 = Greening Park `',I, 00 Apr 1,- ..,. an LS 5_ Newwe'I Privrte Founders Ln Park WHITNEY OR . E'Gst FArk PqE EL 1t'AV N . 'SSrH ST n' •ESV Lw SIARIt W,, _ a Village at FounderSGircle ""•E . Ho La L nFisM9 - e a, -ea �Q.D_O� 156TH Srk CO (5 '•. QE51M]rH ST 0 Lai-"nil _ m ti J JQ ? ,sjT H ST..1, 'N Sr w a San LS 11 n Cobblestone Lake y ' F'.Lf ; 000SEA I III_ ++ o •Longridge Reservoir F� 'sFAro Ay.,,A Quarry Point Tower Feet 411/4 a • 2,500 1,250 0 2,500 e = LAKEVILLE 1 EMPIRE TW P 5/28/2020 Et Esri, HERE,Garmin, (c)OpenStreetMap contributors,and the GIS user community •••• ITEM: 4.M. ..... •5• Appleil COUNCIL MEETING DATE: June 11, 2020 Valley SECTION: Consent Agenda Description: Approve Agreement with B KJ Excavating for Project 2020-107, 2020 Utility Improvements Staff Contact: Department/ Division: Brandon Anderson, City Engineer Engineering Division ACTION REQUESTED: Approve agreement with BKJ Excavating, for Project 2020-107, 2020 Utility Improvements, in the amount of$33,999.00. SUMMARY: On May 8, 2020, four (4) quotes were received for the 2020 Utility Improvements project as described within the attached bid tabulation. Quotations ranged from $33,999.00 to $55,723.00. BKJ Excavating submitted the low quote in the amount of$33,999.00. The low quote was $20,996.00 under the Engineers estimate of$54,995.00. A standard City agreement will be utilized for this project. BACKGROUND: An existing culvert in the right of way along 134th Street West is causing a driveway apron to heave, resulting in damage to the driveway and surrounding area. This project proposes to remove the existing culvert and to reroute the drainage into a storm structure that currently runs underneath the roadway, thereby eliminating the need for a culvert under the driveway. The City of Apple Valley 2020 Capital Improvement Program identifies $100,000 for General Stormwater Improvements. This project is tentatively scheduled for Summer 2020 Construction. A map of the proposed project area is attached (Figure: 1). BUDGET IMPACT: Project costs and funding are included in the adopted 2020 operating budget for General Stormwater Improvements. 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Rd 46) 0 1500 3000 SCALE FEET 2020 UTILITY IMPROVEMENTS ••••• •••• ••• • City of Apple Valley Apple 2020-107 VaII lle Figure 1 y EXHIBIT 1 BKJ Excavating G.F.Jedlicki,Inc Krueger Excavating McNamara Contracting,INC 18075 Daisy Ln 2471 Galpin Ct#110 7616 180 Street East 16700 Chippendale Ave. Jordan,MN 55352 Chanhassen,MN 55317 Prior Lake,MN 55372 Rosemount,MN 55068 QUOTE TAB-CITY OF APPLE VALLEY-2020 UTILITY IMPROVEMENTS-134TH ST CULVERT BKJ Excavating G.F.Jedlicki,Inc Krueger Excavating McNamara Engineering Estimate Est. No. Item Unit Quantity Unit Price Total Price Unit Price Total Price Unit Price Total Price Unit Price Total Price Unit Price Total Price Unit Price Total Price 134TH ST W CULVERT REPAIR 1 MOBILIZATION LS 1 $ $ $ 3,750.00 $ 3,750.00 $6,750.00 $6,750.00 $ 12,500.00 $ 12,500.00 $ 8,500.00 $ 8,500.00 $10,000.00 $10,000.00 2 TRAFFIC CONTROL LS 1 $ $ $ 500.00 $ 500.00 $3,745.00 $3,745.00 $ 800.00 $ 800.00 $ 275.00 $ 275.00 $1,200.00 $1,200.00 3 REMOVE BITUMINOUS PAVEMENT SY 90 $ $ $ 6.00 $ 540.00 $8.00 $720.00 $ 1.00 $ 90.00 $ 13.00 $ 1,170.00 $34.00 $3,060.00 4 REMOVE 12"HDPE STORM PIPE LF 30 $ $ $ 12.00 $ 360.00 $13.00 $390.00 $ 1.00 $ 30.00 $ 45.00 $ 1,350.00 $34.00 $1,020.00 5 REMOVE CONCRETE CURB AND GUTTER LF 55 $ $ $ 5.00 $ 275.00 $9.00 $495.00 $ 1.00 $ 55.00 $ 14.00 $ 770.00 $50.00 $2,750.00 6 COMMON EXCAVATION CY 15 $ $ $ 35.00 $ 525.00 $52.00 $780.00 $ 1.00 $ 15.00 $ 50.00 $ 750.00 $50.00 $750.00 7 DEWATERING EA 1 $ $ $ 775.00 $ 775.00 $100.00 $100.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00 $500.00 $500.00 60"DIA STORM CBMH,4.6'DEEP,INCL R-1642 CSTG 8 AND HDPE ADJ RINGS EA 1 $ $ $ 5,700.00 $ 5,700.00 $7,345.00 $7,345.00 $ 12,500.00 $ 12,500.00 $ 9,000.00 $ 9,000.00 $9,000.00 $9,000.00 9 12"RC PIPE SEWER CLASS III,0'-10'DEEP LF 20 $ $ $ 77.00 $ 1,540.00 $68.00 $1,360.00 $ 60.00 $ 1,200.00 $ 150.00 $ 3,000.00 $110.00 $2,200.00 10 12"RC PIPE APRON WITH TRASH GUARD EA 1 $ $ $ 1,700.00 $ 1,700.00 $1,970.00 $1,970.00 $ 2,000.00 $ 2,000.00 $ 3,000.00 $ 3,000.00 $2,000.00 $2,000.00 11 SELECT GRANULAR BORROW TN 19 $ $ $ 27.00 $ 513.00 $40.00 $760.00 $ 20.00 $ 380.00 $ 35.00 $ 665.00 $35.00 $665.00 12 AGGREGATE BASE CLASS 5 TN 48 $ $ $ 31.00 $ 1,488.00 $40.00 $1,920.00 $ 25.00 $ 1,200.00 $ 35.00 $ 1,680.00 $35.00 $1,680.00 13 CONNECT TO EXISTING STORM SEWER EA 2 $ $ $ 700.00 $ 1,400.00 $1,455.00 $2,910.00 $ 3,000.00 $ 6,000.00 $ 2,200.00 $ 4,400.00 $1,600.00 $3,200.00 14 CONCRETE CURB AND GUTTER,B618 LF 55 $ $ $ 48.00 $ 2,640.00 $77.00 $4,235.00 $ 80.00 $ 4,400.00 $ 100.00 $ 5,500.00 $100.00 $5,500.00 15 TYPE SPWEA240B WEAR 3"THICK-DRIVE TN 4 $ $ $ 495.00 $ 1,980.00 $320.00 $1,280.00 $ 250.00 $ 1,000.00 $ 350.00 $ 1,400.00 $300.00 $1,200.00 16 TYPE SPWEA330B NON-WEAR 2"THICK TN 9 $ $ $ 255.00 $ 2,295.00 $295.00 $2,655.00 $ 250.00 $ 2,250.00 $ 350.00 $ 3,150.00 $300.00 $2,700.00 17 TYPE SPWEA330B WEAR 2"THICK TN 9 $ $ 5 255.00 $ 2,295.00 $295.00 $2,655.00 $ 250.00 $ 2,250.00 $ 350.00 $ 3,150.00 $300.00 $2,700.00 18 BITUMINOUS MATERIAL FOR TACK COAT GL 4 $ $ $ 12.50 $ 50.00 $8.80 $35.20 $ 1.00 $ 4.00 $ 50.00 $ 200.00 $25.00 $100.00 19 LANDSCAPE ROCK(MATCH EXISTING) TN 2 $ $ $ 150.00 $ 300.00 $78.00 $156.00 $ 50.00 $ 100.00 $ 112.00 $ 224.00 $120.00 $240.00 20 SANDY CLAY LOAM TOPSOIL BORROW(LV) CY 4 $ $ $ 86.75 $ 347.00 $64.00 $256.00 $ 1.00 $ 4.00 $ 75.00 $ 300.00 $75.00 $300.00 21 COMPOST GRADE 2 CY 4 $ $ $ 85.00 $ 340.00 $72.00 $288.00 $ 1.00 $ 4.00 $ 84.00 $ 336.00 $75.00 $300.00 22 SODDING TYPE LAWN SY 70 $ $ $ 20.00 $ 1,400.00 $18.00 $1,260.00 $ 30.00 $ 2,100.00 $ 23.00 $ 1,610.00 $18.00 $1,260.00 23 FERTILIZER TYPE 3 LB 4 $ $ $ 4.00 $ 16.00 $4.00 $16.00 $ 1.00 $ 4.00 $ 280.00 $ 1,120.00 $10.00 $40.00 24 TURF ESTABLISHMENT LS 1 $ $ $ 1,800.00 $ 1,800.00 $1,240.00 $1,240.00 $ 1,000.00 $ 1,000.00 $ 3,500.00 $ 3,500.00 $2,000.00 $2,000.00 25 BULKHEAD AND FILL 12"CONDUIT LF 21 $ $ 5 70.00 $ 1,470.00 $43.00 $903.00 $ 1.00 $ 21.00 $ 32.00 $ 672.00 $30.00 $630.00 TOTAL-134TH ST W CULVERT REPAIR $ $ 33,999.00 $44,224.20 $ 49,908.00 $ 55,723.00 $54,995.00 Page 1 •••• ITEM: 4.N. ..... •5• Appleil COUNCIL MEETING DATE: June 11, 2020 Valley SECTION: Consent Agenda Description: Approve Change Order No. 1 to Agreement with Pro-Tec Design, Inc., for Municipal Center Lower Level Security Camera and Access Systems and Approve Acceptance and Final Payment Staff Contact: Department/ Division: Charles Grawe,Assistant City Administrator Administration/ Information Technologies ACTION REQUESTED: Approve Change Order No. 1 to agreement with Pro-Tec Design, Inc., for Municipal Center Lower Level Security Camera and Access Systems, with a deduction of $3,835.68, and approve acceptance and final payment, in the amount of$17,416.73. SUMMARY: The City is in the process of finishing the lower level of the Municipal Center for a variety of different uses, including meetings involving the public. In order to secure the building, access to non-public spaces as well as off-hour access to public spaces needs to be controlled. The space also requires monitoring through the City's video surveillance system. The original total cost of the project was $30,360.59. There was one change order, a credit in the amount of($3,835.68). The revised final total cost was $26,534.91. BACKGROUND: Security access and video surveillance are critical parts of the City's security systems. As this space is not easily visible to many employees during the work day, it is important to use electronic devices to efficiently control and monitor these spaces. This project covers 15 door access and four cameras for the lower level of the Municipal Center. Change Order 1 covers one issue: Issue 1: Credit for electric strikes. Some of the electric door hardware on 12 doors was duplicated in the work done by the general contractor. This change is a credit for the electric strike parts that the security contractor did not need to supply. Staff recommends the City Council approve acceptance and final payment on agreement with Pro-Tec Design, Inc., for Municipal Center Lower Level Security Camera and Access Systems in the amount of$17,416.73. BUDGET IMPACT: Change Order 1 Deduction: ($3,835.68) The $26,524.91 would come from the project budget for the lower level finishing project. ATTACHMENTS: Change Order Document(s) Final Pay Documents Invoice P Pro-Tec Design Proposal TRUSTED SECURITY SOLUTIONSTM 100% Employee Owned Sold To: City of Apple Valley Ship To: City of Apple Valley Charles Grawe Charles Grawe 7100 147th Street West 7100 147th Street West Apple Valley, MN 55124-7519 Apple Valley, MN 55124-7519 United States United States Phone: (952) 953-2508 Phone: (952) 953-2508 Fax: Fax: Email: CGrawe@ci.apple-valley.mn.us Email: CGrawe@ci.apple-valley.mn.us CO - 22574 - Credit for (12) Strikes that were Provided by Others Credit for(12) Strikes that were Provided by Others Date Quote Valid For Quote # Rep Terms 03/16/20 30 days PTD026238 Jill Bartyzal Net 30 days Line Qty Description Unit Price Ext. Price 1 -12 ELECTRIC STRIKE, MODULAR, FOR MORTISE&CYLINDRICAL LOCKSETS, $319.64 -$3,835.68 FAIL SECURE, 12/24VDC, 3-1/8"VERTICAL OPENING, 630 SATIN STAINLESS STEEL, 1/8" HORIZONTAL ADJUSTMENT, NON-HANDED, 3-HOUR UL FIRE RATED, INTERIOR OR EXTERIOR DOORS. Total -$3,835.68 5929 Baker Road-Suite#400-Minnetonka, MN 55345 Phone:763-553-1477-Fax: 763-233-6855 Page 1 solutions@pro-tecdesign.com-www.pro-tecdesign.com 1 of 4 Statement of Work Exclusions Thank you again for giving me the opportunity to provide you with this information. If you should need any further clarification or assistance, don't hesitate to contact me! To proceed with the proposal, please sign the Proposal Acceptance portion of the proposal and return to me. Jill Bartyzal Senior Business Relationship Manager 5929 Baker Road, Suite 400 Minnetonka, MN 55345 Cell (612) 222.6803 Fax (763) 553.0204 Email jartyzal@pro-tecdesign.com 5929 Baker Road-Suite#400-Minnetonka, MN 55345 Phone:763-553-1477-Fax: 763-233-6855 Page 2 solutions@pro-tecdesign.com-www.pro-tecdesign.com 2 of 4 PROPOSAL ACCEPTANCE CO - 22574 - Credit for (12) Strikes that were Provided by Others PTD026238 3/16/2020 City of Apple Valley Charles Grawe 7100 147th Street West Apple Valley, MN 55124-7519 United States City of Apple Valley Mary Hamann-Roland, Mayor Printed Name and Title: Signature: Date: PO#/ Reference#(optional): ATTEST: Pamela J. Gackstetter,City Clerk Pro-Tec Design, Inc. Printed Name and Title: Jill Bartyzal Senior Business Relationship Manager Signature: Jill Bartyzal Date: 6/11/2020 5929 Baker Road-Suite#400-Minnetonka, MN 55345 Phone:763-553-1477-Fax: 763-233-6855 Page 3 solutions@pro-tecdesign.com-www.pro-tecdesign.com 3 of 4 Standard Terms and Conditions FINANCIAL 1. No provisions of this Proposal/Contract shall serve to void our rights under Mechanics'Lien Laws. 2.We do not accept back charges that have not been previously agreed to by us in writing. 3. Late payments of 60 days or more will bear interest at the standard prevailing commercial rate 4. Unless otherwise specified,you will be billed for 30%of the project total immediately after the receipt of an order. Prompt payment is required to order parts and cover other costs associated with project start-up. 5. Progress billings will be issued monthly and unless specified in a separate contract all payments are due net 30. 6. Nothing in this Proposal/Contract shall be construed to require us to continue performance of work if we do not receive timely payment for properly performed work and suitably stored materials. 7.We retain title to all equipment until installation is complete and all payments due Pro-Tec Design have been paid in full. We reserve the right to retake possession of the same or any part thereof at your cost if default is made by you in any payment. If customer fails to follow the payment schedule(s)above or if Pro-Tec Design anticipates Customer may be unable to perform hereunder, Pro-Tec Design may terminate this contract,defer,discontinue or suspend work,or demand adequate assurance of Customer's performance. If a Customer's account must be placed with an attorney for collection,whether a lawsuit is filed or otherwise,or if the services of an attorney are required to protect Pro-Tec Design's interest, Customer agrees to pay all collection costs, including reasonable attorney's fees. 8.Alterations or modifications of the original quotation or specifications, including changes in quantity, material,design or other features, must be communicated in writing by Customer to Pro-Tec Design and accepted by Pro-Tec Design in writing, it being understood any change may increase prices. Customer shall be liable for an reimburse Pro-Tec Design for any and all work in process at the time of Pro-Tec Design's receipt of notice of changes. SITE CONDITIONS AND WORK PERFORMANCE 9.We are not responsible for protection of our work in place. 10.We will dispose of debris created by our work into Owner-furnished trash bins or container at the site. 11.You shall furnish and make available to us at the site reasonable storage and parking facilities,and convenient delivery access to our work. 12.You shall provide uncluttered and safe access for us to perform our work. The schedule of any other contractors involved in this project shall be made in consultation with us,and unless otherwise agreed to,shall provide time for us to perform our work on an 8-hour day,40-hour week basis.This Proposal/Contract does not include provision for our being required to perform overtime work for any reasons unless otherwise stated. An additional charge to the contract shall be made for any mutually agreed upon overtime. 13.We are not responsible for delays or defaults that are occasioned by causes of any kind beyond our control, Including but not limited to delays or defaults of Architects,the Owner,the Contractor,any Subcontractors,other third parties,civil disorders,labor disputes,and Acts of God.We shall be entitled to equitable adjustment for delays caused by any Architect, Engineer, Contractor,or Owner. 14. If any drawings, Illustrations,or descriptive matter are furnished with this Proposal/Contract,they are approximate and submitted only to show the general style,arrangement,and dimensions of equipment offered. 15.All work will be done during standard business hours, Monday through Friday unless otherwise noted. WARRANTY 16. No liquidated damages will be due. 17.THERE ARE NO WARRANTIES THAT EXTEND BEYOND PRO-TEC DESIGN'S STATED SPECIFICATIONS. PRO-TEC SPECIFICALLY EXCLUDES ALL WARRANTIES, EXPRESS OR IMPLIED, INCLUDING ANY IMPLIED WARRANTY FO MERCHANTIBILITY, IMPLIED WARRANTY OF FITNESS, IMPLIED WARRANTY OF DESIGN,AND ALL OTHER IMPLIED WARRANTIES. Customer's sole remedy in any action at law based hereunder(other than an action based on breach of warranty,which warranties are expressly excluded except as set forth herein)shall be limited to the repair or replacement of nonconforming goods ore parts,or,at Pro-Tec Design's option, refund of the applicable quote. IN NO EVENT SHALL PRO-TEC DESIGN BE RESPONSIBLE FOR ANY CONSEQUENTIAL ORE ECONOMIC DAMAGES OR LOSS, LOST PROFITS OR CONSEQUENTIALDAMAGES FOR PERSONAL INJURY. CUSTOMER AGREES THAT THIS PROVISION IS CONSCIONABLE. 18. Pro-Tec Design will warranty the labor and materials covered under this quotation for one year from the date of first beneficial use of the system provided the Owner is current in their payments to Pro-Tec Design, Inc.Accounts that are not current shall not receive warranty work until said accounts are made current. Pro-Tec Design will respond during normal business hours Monday through Friday.Weekends, Holidays and after hours warranty support will be billable at standard overtime rates.Warranty does not include replacement or repair of equipment damaged by Misuse, Negligence,Over or Under Voltage,or"Acts of God"such as lightning or other weather related incidents.Warranty only covers the repair or replacement of any parts supplied by Pro-Tec and any labor and travel to and from the site to execute said repairs for one(1)year from the date the Owner has beneficial use of the system. No warranty is extended to not in contract(NIC)equipment. NIC equipment is defined as any equipment not supplied by Pro-Tec or existing equipment that is re-used. The troubleshooting, repair or replacement of NIC equipment will be provided by Pro-Tec at a time and materials basis. 19. Pro-Tec Design Is not an insurer of Customer's risks and exposures, Pro-Tec shall not be liable for any failure to perform under this Agreement due to any "Act of God,""Force Majeure,"of another cause beyond Pro-Tec Design's control. Pro-Tec Design shall not be liable for any loss or damage caused in whole or in part from negligence,fault,or wrongful act of Customer or of any third persons or parties. Services provided under this Agreement are for the sole benefit of the Customer and no rights are,or may be,conferred on any other party as a third-party beneficiary,by transfer or assignment,or otherwise. Pro-Tee Design's total liability is limited to the contract price;as matter of law,this limitation does not apply to fraud,willful injury,or willful violation of the law. OTHER 20.This Proposal/Contract, including the provisions printed above and any specifications or other provisions attached hereto,when accepted by you and Pro-Tec Design shall constitute the Contract between us,and all prior representations or agreements not incorporated herein are superseded.Any terms or conditions contained in any Customer proposal/contract/purchase order are expressly rejected and shall not bind Pro-Tec Design or affect or invalidate any terms contained herein. Terms and conditions herein shall not be modified except upon Pro-Tec Design's express written agreement. 21.This Proposal/Contract shall be interpreted and governed by the laws of the State of Minnesota. Any disputes arising out of business conduced hereunder shall be venued in the district court of the State of Minnesota. In case of dispute,the prevailing party shall be awarded reasonable attorney's fees. 22.The design and/or intent of the items listed in this system specification is considered intellectual property and owned by Pro-Tec Design and will not be disclosed to any party other than those intended by Pro-Tec Design. Disclosure of this design/intent will subject the discloser to Consultant Fees equivalent of the above listed design/build quotation. 23.Customer agrees that during the term of this contract and for two years following termination,they will not directly or indirectly solicit for hire nor contract for services any employee who performs services hereunder without Pro-Tec Design's written consent 24.This proposal and any documents associated with it supersede any prior verbal or written information provided. 5929 Baker Road-Suite#400-Minnetonka, MN 55345 Phone:763-553-1477-Fax: 763-233-6855 Page 4 solutions@pro-tecdesign.com-www.pro-tecdesign.com 4 of 4 ••• •...••• •••a o•• City of Apple Valley CITY OF APPLE VALLEY APPLICATION FOR PAYMENT DATE: 5 131 /02002-2 FOR PERIOD: /r9 02 ZO PROJECT: 22571a LOWER LEVEL REi"-?oDEL FROM: 3f�-2-0 TO: 5/ 2® CONTRACTOR: Pro- Ise OPS'hs //le REQUEST FOR PAYMENT NO.: FINAL_ ADDRESS: 5962 Cif 6c-//T6 JDO _fl u'v thYiKa, HtJ SS S SUMMARY: 1. Original Contract Amount $ 30, 360 ,-S`1 2. Change Order - ADDITION $ 3. Change Order - DEDUCTION $ 3; S73 4 .. 6g 4. Revised Contract Amount $ .2 6, 5a11 .?/ 5. Total Completed and Stored to Date 6. Less Retainage _/4A % $_A.1oi9 7. Total Earned Less Retainage $_26. 524 991 8. Less Amount Paid Previously $_9i /OBI ./ 9. AMOUNT DUE THIS CURRENT REQUEST $_/ ,L.,/b . 73 The undersigned Contractor certifies that to the best of his knowledge, information and belief, the work covered by this application for payment has been completed in accordance with the contract documents, that all amounts have been paid by him for work for which previous payments were received from the City and that current payment shown herein is now due. Contractor: Pro -- Tec Des, , 4n By: � (.Gtv)/..- Recommended for Payment By: ATTACH ITEMIZED INVOICE Title: Date: #r� Pro-Tec Design,Inc. Design5929 Baker Road TRIATE4 SEcuRITy $OLUTIOM5" Suite 400 h I°y°°a,."°a Minnetonka, MN 55345 (763)231-8611 Bill To: Date Invoice City of Apple Valley 05/31/2020 96559 Attn:Accounts Payable Account 7100 147th Street West Apple Valley, MN 55124-7519 CITYAPPLEVALLEY United States Terms Due Date PO Number Reference Net 30 days 06/30/2020 Email Charles Grawe Project#9917/22574 CH - Lower Level Remodel -Readers and Cameras- Final Bill Billing Type Progress Billing Method Fixed Fee Amount $26,524.91 Company Name City of Apple Valley Contact Name Charles Grawe Other Charges Billable Other Charges Billing Detail: Original Contract Sum: $30,360.59 Net Change by Change Orders: -$3,835.68 Contract Sum to Date: $26,524.91 Total Completed and Stored to Date: $26,524.91 Less Previous Certificates for Payment:$9,108.18 Current amount due: $17,416.73 Balance to finish:$0.00 Final Invoice Invoice Subtotal: $17,416.7_ THANK YOU FOR YOUR BUSINESS! Sales Tax: $0.00 Invoice Total: $17,416.73 Make checks payable to Pro-Tec Design, Inc. Payments: $0.00 Credits: $0.00 Balance Due: $17,416.73 5929 Baker Road,Suite 400 Minnetonka, MN 55345 •••• ITEM: 4.0. Apple COUNCIL MEETING DATE: June 11, 2020 Valley SECTION: Consent Agenda Description: Approve Acceptance and Final Payment on Agreement with Ryan Contracting Company, for Project 2019-109, 147th Street and Johnny Cake Ridge Road Intersection Improvements Staff Contact: Department/ Division: Brandon Anderson, City Engineer Engineering Division ACTION REQUESTED: Approve acceptance and final payment on the agreement with Ryan Contracting Company, and accepting Project 2019-109, 147th Street and Johnny Cake Ridge Road Intersection Improvements, as complete and authorizing final payment in the amount of $26,397.90, for a contract total of$2,580,389.55. SUMMARY: Attached please find the fifth and final payment for Project 2019-109, 147th Street and Johnny Cake Ridge Road Intersection Improvements. All public improvements associated with the project are complete and in acceptable condition to become public infrastructure of the City. This final payment of $26,397.90 will close the agreement with Ryan Contracting Company, and result in a total construction cost of$2,580,389.55. BACKGROUND: In 2017, the City received a $250,000 Redevelopment Incentive Grant (RIG) from the Dakota County Community Development Agency (CDA), which will be used for the 147th Street and Johnny Cake Ridge Road intersection improvements associated with the agreement. The grant agreement requires that the funds be spent by November 2019. At the November 15, 2018, City Council approved the following items as they relate to the redevelopment of the Hanson Property: 1. Approve Preliminary Plan Development Agreement with Menard, Inc. 2. Approve Design Agreement with Menard, Inc., for Design Services of Public Infrastructure 3. Adopt Resolution Approving Re-designation of Lot 1, Block 1, Menards at Hanson Concrete Preliminary Plat from "IND" (Industrial) to "C" (Commercial) on 2030 Comprehensive Plan Land Use Map 4. Pass Ordinance Rezoning Lots 1 and 2, Block 1, and Outlots A-D, Menards at Hanson Concrete, Preliminary Plat from "I-2" (General Industrial) to "PD" (Planned Development) 5. Pass Planned Development Ordinance Codifying the Uses, Performance Standards, and Area Requirements for the Planned Development (Recommend waiving second reading) 6. Adopt Resolution Approving Preliminary Plat 7. Adopt Resolution Approving Site Plan/Building Permit Authorization to Allow for r riefviic inn of')(1 )/10_Cn r'f Ail-r , rrlc CfnrP ortcl AR O 7(1_Cn 1 t «IorPT rAil . nn T of 1 U V11J 1.1 uli l.lvll Vl Lvv,Lv/-L)( . 1 L. 1v1�11u111J IJ(vl� (MU TV /I v-LI( . I. (. v v(A1 vll Lv( 1, Block 1, Menards at Hanson Concrete On May 9, 2019, City Council Approved Waiver of Objection to Special Assessments with Menards, Inc. for Construction of Public Infrastructure Relating to the Proposed Menards at Hanson Concrete Redevelopment On May 9, 2019, City Council Approved Advance Purchase of Traffic Signal Controller Cabinet and Controller Unit in the amount of $26,945.90 from Traffic Control Corporation, contingent on execution of Waiver of Objection to Special Assessments with Menard, Inc., for construction of public infrastructure relating to the proposed Menards at Hanson Concrete Redevelopment Public Improvements, Project 2019-109. On May 9, 2019, City Council Approved Advance Purchase of Traffic Signal System Materials and Electrical Equipment in the amount of $63,441.00 from Millerbend Manufacturing, contingent on execution of Waiver of Objection to Special Assessments with Menards, Inc., for construction of public infrastructure relating to the proposed Menards at Hanson Concrete Redevelopment Public Improvements, Project 2019-109. On June 13, 2019, City Council adopted resolution 2019-79, Approving Plans and Specifications and Directing Receipt of sealed bids for Project 2019-109, 147th Street and Johnny Cake Ridge Road Intersection Improvements. On July 25, 2019, City Council awarded agreement for Project 2019-109, 147th Street and Johnny Cake Ridge Road Intersection Improvements. On July 25, 2019, City Council adopted resolution 2019-89, Accepting Easements (Uponor NA Asset Leasing, Inc.) for City Project 2019-109, 147th Street and Johnny Cake Ridge Road Intersection Improvements. On August 8, 2019, City Council adopted resolution 2019-93, Accepting Easements (Scannell Properties) for City Project 2019-109, 147th Street and Johnny Cake Ridge Road Intersection Improvements. On October 10, 2019, City Council adopted resolution 2019-118, Final Plat and Development Agreement approval Menards at Hanson Concrete. BUDGET IMPACT: Final cost breakdown and funding for the project is summarized below. Estimated Project Costs: Awarded Costs Final Costs Construction Cost $ 2,590,023.00 $ 2,580,389.55 Construction Contingency (10%) 259,002.30 90,386.90 Engineering Design, Contract Admin 647,505.75 310,340.48 Total Estimated Cost $ 3,496,531.05 $ 2,981,116.93 Estimated Project Funding Developer (Menard's) $ 3,145,677.95 $ 2,636,375.03 Trail Escrow(Abdallah Candies) 16,000.00 16,000.00 Community Development Agency Grant 250,000.00 250,000.00 (CDA) City Cost - Turn Lane on JCRR North of 84,853.10 78,741.90 147th Street (Municipal State Aid Funds) Total Estimated Funding $ 3,496,531.05 $ 2,981,116.93 ATTACHMENTS: Final Pay Documents PAYMENT VOUCHER NO.5 AND FINAL 147th Street and Johnny Cake Ridge Road Intersection Improvements CITY PROJECT NO.2019-109 For Period:Final OWNER: CONTRACTOR: City of Apple Valley Contractor Name Ryan Contracting Co. 7100 147th Street West Contractor Address PO Box 246 Apple Valley, MN 55124 City, State,Zip Elko, MN 55020 Telephone No. 952-894-3202 Amount of Contract: $2,590,023.00 Change Order No. 1 $72,841.00 Change Order No. 2 $14,609.60 Total Amount $2,677,473.60 Contract Value Less Amount of Work 0 Less Net Account Per Resolution Certified Percent Previous Amount Number 2019-44 To Date Retained Payments Due Left Turn Lane(City Share) 2 027-6 81 0-201 91 0 9R $ 55,133.00 $64,533.17 $0 00 $63,887.84 $645.33 Storm and Street 4502-6810.2019109R $ 2,160,802.00 S2,041,846.78 $0.00 $2,020,834 31 $21,012.47 Services-Sanitary Sewer Utility 4502-6a10.2ar8r06R $ 35,160.00 S35,160.00 $0.00 $34,808.40 $351.60 Services-Water Utility 4502-8810-2019109R $ 49,440.00 $62,219.00 $0.00 $61,596.81 S622.19 Signal System 4502-6610-2019109R $ 269,915.00 $269,915.00 $0.00 S267,215.85 $2,699.15 Trail(City Share) 2 08 2-6 81 0-2 01 91 0 9R $ 19,573.00 $19,573.00 $0.00 $19,377.27 $195.73 Change Order No.1 4502-6610-2019109R S 72,841.00 $72,533.00 $0.00 $71,807.67 $725.33 Change Order No.2 4502.6 81 0-201 91 0 9R $, 14,609.60 $14 609.60 $0.00 $14 463.50 $146.10 Subtotal $ 2,677,473.60 $2,580,389.55 $0.00 $2,467,720.48 $26,397.90 Total 92,677,473.60 $2,580,389.55 $0.00 $2,467,720.48 $26,397.90 Date.5 4 7 C y Engineer Date:6/2/20 * G - Public Works Director aua 00 o-°n Owner: City of Apple Valley,7100 W. 147th Si,Apple Valley,MN 55124 Date: Thursday,May 21,2020 ero0060 0414 App For Period: 3/13/2020 to 6/1/2020 Request No: 5 and Final eq j� Contractor: Ryan Contracting Co,PO Box 246,Elko,MN 55020 11!! y CONTRACTOR'S REQUEST FOR PAYMENT 147th Street and Johnny Cake Ridge Road Intersection Improvments Project File No. 2019-109 SUMMARY 1 Original Contract Amount $ $2,590,023.00 2 Change Order-Addition $ 87,450.60 3 Change Order-Deduction $ 0.00 4 Revised Contract Amount $ $2,677,473.60 5 Value Completed to Date $ $2,580,389.55 6 Material on I-land $ $0.00 7 Amount Earned $ $2,580,389.55 8 Less Retainage 0% $ $0.00 9 Subtotal $ $2,580,389.55 10 Less Amount Paid Previously • $ $2,553,991.66 11 Liquidated damages- $ $0.00 12 AMOUNT DUE THIS REQUEST FOR PAYMENT NO. 5 and Final $ $26,397.90 Approved by Contractor: s•• •vc1+ Owner: Ryan Contr; n Co. � ITY PPLE VALLEY ill B tdon S Anderson,City Engineer . 41t3/ ate Specified Contract Completion Date: Mary Hamann-Roland.Mayor Date Attest:Pamela J.Gackstetter,City Clerk Date Pay 5-AV JCRR E.1471h.xlsx Cunlract Contract Previous Curren( Quantify Anlolllll Est. No. item Unit Qi otily Unil Price Qi nrilltI• Quantity To 17ale To Dare PART I-MSA ii,ij NO IRG-103-0iR•I.F:FTTH11N LANE I COMMON EXCAVATION(P) CU Vt) 144 S 25.00 14400 144,00 S 3,600 CO 2 SELECT GRANULAR BORROW(CV)(P) CU VD 188 S 2000 188.00 188.00 S 3,76000 3 AGGREGATE BASE(CV)CLASS 5 TON 242 S 1500 24200 242.00 S 3,63000 4 TYPE SP 12.5 WEARING COURSE N11X(3;F) TON 53 S 125,00 53,00 53.00 S 6,625.00 5 'IYI'E SP 12 5 NONWEARING COURSE MIXTURE(3'F) TON 26 S 125 00 26 00 26.00 S 3,25400 6 5"CONCRETE WALK SQ FT 2669 S 7,00 4067.03 .106703 S 23,46921 7 CONCRETE CURB 8.GUTTER DESIGN 11618 LIN FT 846 5 1300 82940 329(1(1 S 1492200 8 4"SOLID LINE MULTI COMP LIN FT 146 5 i 00 91 98 91 98 5 91 98 9 12"SOLID LINE Mlll.11 COMP LIN FT 23 S 5 00 19.04 19.04 S 95.22 10 24'SOLID LINE.MIULTI COMP LIN FT 12 S 800 H.22 11,22 $ 8976 TOTAL PART 1-MSA SAl'NO 186.IRS.018-LEFT TURN LANE $ 64 533.17 PART 2-STORM AND STREET I I MOBILIZATION LUMP SUM 1 S 120,0130,00 100 LOS S 120,400,00 12 REMOVE MANIIOLE EACII 3 $ 80000 300 3.00 5 2,400 PO 13 REMOVE CASTING EACH 9 $ 100.00 900 9.00 5 90000 14 REMOVE DRAINAGE STRUCTURE EACFI 6 S 80000 600 6.00 5 4,30000 15 SALVAGE SIGN EACII 15 S 100.00 1400 14.00 $ 1,40000 16 REMOVE SIGN EACH 20 S 100 00 20 00 20 00 $ 2,000,00 17 REMOVE CURB&GUTTER LIN FT 4613 S 4 00 4452 10 4452.10 S 17,808 40 18 REMOVE SEWER PIPE(STORM) LIN FT 363 S 12 00 773 70 778 70 S 9,344310 19 REMOVE BITUMINOUS PAVEMENT SQ YD 12372 $ 500 12614,89 1261489 S 63.07445 20 REMOVE CONCRETE WALK SQ FT 1635 5 12.00 1675.60 1675,60 5 20,107.20 21 REMOVE BITUMINOUS WALK SQ VD 1505 S 10,00 963,80 963,80 S 9,638,00 22 COMMON EXCAVATION(P) CU YD 21777 S 25 00 21076.00 21076,00 S 526 90000 23 SUBGR ADE EXCAVATION CU YD 574 S 25.00 57622 576.22 S 14,405,50 24 SELECT GRANULAR BORROW(CV)(P) CU YD 5744 $ 2000 547270 547270 S 109,45400 25 SELECT GRANULAR BORROW(C V)(XIRASUC LT) CU YD 574 $ 2000 576.22 576.22 S 11,524.40 26 TEST ROLLING RDST 20 S 100.00 50 88 50.88 S 5,088.00 27 SUBGRADE PREPARATION RDST 20 S 50000 20,00 20.00 $ 10,000.00 28 AGGREGATE BASE(CV)CLASS 5 TON 10694 5 15 00 10182 55 10182 55 $ 152,733825 29 TYPE SP 125 WEARING COURSE MIX(3;F) TON 3436 $ 6300 3 152 47 315247 5 214,36796 30 TYPE SP 12 5 NONW FARING COURSE MIXTURE(3;F) TON 1744 5 63 00 1820.56 1820,56 S 123,798.08 31 TYPE SP 9,5 WEARING COURSE MIX(2;6)TRAIL BIT TON 406 S 80.00 231.99 231.99 S 18,55920 32 INSTALL RETAINING WALL SQ FT 304 $ 60 00 235.60 235.60 S 14,13600 33 24"RC PIPE APRON WITH TRASH GUARD EACH I S 4,00000 I,00 100 S 4,00000 34 6"PERF PE PIPE DRAIN LIN FT 2522 $ 1000 2198.30 2198,80 S 21 988.00 35 6"PVC PIPE DRAIN CLEANOUT EACH 2 $ 500.00 6.00 6.00 S 3,000.00 36 CONNECT 6"PVC OR PERF TO STORM SEWER EACH 27 S 200.00 24.00 24.00 5 4,80000 37 15"RC PIPE SEWER DES 3006 CL V LIN FT 2115 S 5200 2107.00 210700 $ 109,56400 38 IS"RC PIPE SEWER DES 3006 CL V LIN FT 8 S 69.00 12 00 12.00 S 828,00 39 24"RC PIPE SEWER DES 3006 CL III LIN FT 491 S 7Q00 491.00 491.00 S 34,370.00 3±4W.CpA4 WT., Contract Contract Previous Current Quantity Antolini Est. No. Item Unil Quantity Unit Price Quantity Quantity To Date To Dale 40 27"RC PIPE SEWER DES 3066 CI.III LIN FT 33,1 5 35 00 33.1 00 334,00 S 28,39000 41 33"RC PIPE SEWER DES 3006 CL Ill LIN FT 127 $ 115,00 14056 140.56 5 16,161,40 42 CONNECT'TO EXISTING DRAINAGE STRUCTURE EAC'If 4 S 1_500.00 ZOO 2P0 5 300000 43 C A STING ASSEMBLYR-3209-VB EACH 29 5 80000 29.01 29.GO S 23?0000 44 CAS'IlNG ASSEMBLY R-1642 EACI 1 5 S 60000 500 5.00 5 3,000 CO 45 CASTING ASSEMBLY R-3382 EACII I 5 80000 100 1.00 S 80000 46 CONST DRAINAGE STRUCTURE DES 2X3 LIN FT 65 $ 300 00 66.10 66 40 $ 19,92000 47 CONST DRAINAGE STRUCTURE DES 48-4020 LIN FT 93.7 S 300 00 91 20 91,20 $ 27,36000 48 CONST DRAINAGE STRUCTURE DES 60-1020 LIN FT 48,2 S 500 00 48 20 48 20 5 24,100.00 49 RANDOM RII'RAP CLASS II CU VD 12 5 8000 1200 1200 $ 96000 50 4"CONCRETE WALK SQ FT 453 5 600 1153.47 1153.47 $ 692083 51 5"CONCRETE WALK SQ f C 1152 $ 7.00 1673 00 1673.00 $ 11,71 I,00 52 6"CONCRETE.WALK SQ FT 1564 5 800 186862 186862 5 14,94899 53 CONCRETE CURB R GUTTER DESIGN 6618 LIN FT 3823 $ 18.00 3776 50 3776 50 5 67,97700 54 6"CONCRETE DRIVEWAY PAVEMENT SO FT 1179 5 9.00 1152,13 1152.13 $ 10,369,17 55 CONCRETE CURB DESIGN V LIN FT 83 5 30.00 22,40 2000 42,40 S 1272C0 56 CONCRETE VALLEY GUfIER LIN FT II $ 4000 -1000 .1000 5 1,600,00 57 TRUNCATED DOMES SQ FT 230 $ 6000 224 00 224 00 5 13,440.00 58 TRAFFIC CONTROL LUMP SUM I $ 50,000.00 1,00 100 5 50,000.00 59 SIGN PANELS TYPE C SQ FT 45 $ 53.00 65,00 65,00 $ 3,445.00 60 INSTALL SALVAGED SIGNS EACH 15 S 150,00 1500 15.00 5 2,25000 61 S'CORM DRAIN INLET PROTECTION EACH 36 5 150.00 36,00 3600 5 5,40000 62 SEDEMENT CONTROL LOG TYPE COMPOST LIN FT 440 $ 4_00 1976 91 1976 91 S 7.907,62 63 SANDY CLAY LOAM TOPSOIL BORROW CU YD 2643 $ 3000 577.00 577 00 $ 17,310.00 64 FERTILIZER TYPE 3 POUND I121 S 1,00 5-1300 513,00 S 543.00 65 SODDING TYPE LAWN SQ VD 854 S 7,00 1261.00 1261.00 S 8,827.00 66 EROSION CONTROL BLANKETS CATEGORY 3N SQ YD 15005 $ 100 16013.26 16013 26 5 16,013 26 67 SEEDING ACRE 31 $ 1,00000 I81 1.81 $ L810.00 68 SEED MIXTURE 25-131 POUND 682 5 500 396,00 396.00 $ 1,93000 69 EROSION CONTROL LUMP SUM I S 10,000.00 100 1,00 $ 10,000,00 70 4"BROKEN LINE MUL'H COMP LIN FI 782 $ 1.00 29925 299.25 5 299.25 71 4"SOLID LINE MULTI COMP LIN FT 613 S 1.00 1399,86 1399,86 5 1,399.86 72 4"DOUBLE LINE MULTI COMP LIN PT 2110 $ 1.50 1711 II 1711.11 S 2,566 67 73 12"SOLID LINE MULTI COMP LIN FT 665 5 5.00 544.00 544,00 $ 2,719,98 74 24"SOLID LINE MULTI COMP LIN FT 372 S 800 32071 320.71 5 2,565.64 75 PAVTMSSGMULTT COMP SO.F'• 109 5 7.00 97,47 97.47$ 68127 PART 2-STORM AND STREET S 2,041,846.78 Pay 5.AV JCRR 61 a)6uh. Contract Contract Prcvioua Currcut Qnsntity Arnmmt Est. No. Rent Unit Quantity Unit Price Qnaulily Quantity To Hate To Dale PART 3-SANITARY SEWER 76 CONNECT TO EXISTING SANITARY SEWER EACH I $ 3,000.00 1.00 I00 S 3,0)00 77 10'xl"PVC WYE EACII I S 50000 100 1.00 5 50600 78 4"PVC'PIPE SEWER SCH 40 LIN FT 24 S 50 00 24.00 24 00 5 1,20(200 79 10"PVC PIPE SEWER(SDR 35) LIN FT 381 S 60.00 381,00 38100 S 2286000 SO CASTING ASSEMBLY R-16-12 EACH I $ 80000 1.00 1.00 $ 800.00 81 RECONSTRUCT SANITARY SEWER STRUCTURE EACH I S 2,00000 1,00 100 $ 2,01X)00 82 48"SANITARY MANHOLE LIN FT IS $ 400.01I 1200 1200 S 4,80000 [OTAL PART 3-SANITARY SEWER S 35,160.00 PART 4-WATERMA IN 83 DUCTILE IRON FITTINGS POUND 404 $ 10.00 2148.00 2148,00 $ 21,48000 84 CONNECT TO EXISTING WATER MAIN EACII _ S 12.000.00 200 2.00 S 24,00000 85 ADJUST VALVE BOX EACH 3 S 800.00 3,00 3.00 5 2,40000 86 16"BUTTERFLY VALVE C BOX EACH 2 S 5,000 00 100 L00 5 5,000.00 87 16"WATERMAIN DUCTILE IRON CL 52 LIN FT RI S 150,00 62.26 62.26 S 9,33900 TOTAL PART 4-WATERMA IN 5 62,219.00 PART 5-SIGNAL SYSTEM 88 AS BUILT LUMP SUM I S 2,500,00 1 00 1 00 S 2,50000 89 EMERGENCY VEHICLE PREEMPTION SYSTEM LUMP SUM I 5 6,850,00 100 100 S 6,85000 90 TRAFFIC CONTROL INTERCONNECT LUMP SUM I S 63,952,00 1-00 100 S 6 95200 91 TRAFFIC CONTROL SIGNAL SYSTEM SYSTEM I $ 196,613.00 1.00 I00 5 196_61300 TOTAL,PART 5-SIGNAL SYSTEM S 269,915.00 PART 6-TRAIL 92 COMMON EXCAVATION(P) CU YD 114 S. 2500 114.00 114.00 S 2,85000 93 AGGREGATE BASE(CV)CLASS S TON 150 5 17.00 15000 15000 $ 2,550.00 94 TYPE.SP 9 5 WEARING COURSE MIX(2;B)TRAIL BIT TON 83 S 80 00 S3 00 83.00 S 6,6.10.00 95 COMMON TOPSOIL BORROW CU YD 103 5 30,00 103 00 103 00 5 3,090 00 96 SODDING TYPE LAWN SQ YD 620 S 7.00 620.00 62000 S 4,340-00 97 FERTILIZER TYPE 3 POUND 103 S 1,00 103 00 103.00 $ 103.00 TOTAL PART 6-TRAIT. S• 19.573.00 CHANGE ORDER NO.I PART 2-STORM AND STREET 37 U"RC PIPE SEWER DES 31106 CL V LF -30 552110 -3000 -3000 5 (1,560.00) 40 27"RC PIPE SEWER DES 3006 CI-III LF 6 S35 00 8 00 8.00 S 680,00 41 33"RC PIPE SEWER DES 311116 CLIll Li .26 511500 -2600 -26.00 $ (2,990.00) 41A 33"RC PIPE SEWER DES 3006 CL III-PRICE A DJLISFMLTIT LF 101 545.00 101 00 101.00 S 4,545 00 46 CONSI DRAINAGE STRUCTURE DES 2X3 Li 4.2 $300.011 4 20 4.20 S 1,26000 47 CONST DRAINAGE STRUCTURE DES 484020 LF 0.3 530000 080 0.80 5 240.00 18 CONST DRAINAGE STRUCCURE DES 60-4020 Li 14.8 5511000 14.80 14.80 5 7.40000 Pay 5-AV JG RR :Vr6A, Contract Contract Pros iouc Current Quantity Amount Ent. UM Unit Quantity Unit Price Quantity Quantity To Date To Date TOTAL PART 22-STORM AND STREET $ 9,575.00 PART 3-SANITARY SEWER 77 t0"ol"PVC WYE EA -I $500,00 -1.00 -1 00 S (50000) 78 4"PVC PIPE SEWER SCIt 40 LF .24 S541.00 -24,00 -24,00 S (1,20000) 79 10"PVC PIPE SEWER(SDR 35) LF -381 56000 -38100 -38100 S (22,860.00) 79A 8"PVC PIPE SEWER(SDR 3.5) LF 27 55800 2600 26,00 S 1508.00 80 CASTING ASSEMBLY R-16-12 LA -1 580019) -1 00 -I 00 S (80000) 87 48"SANITARY MANHOLE LF -IS 540000 -1200 -12.00 S (4,800.00) TOTAL PART 3-SANITARY SEWER $ (28,652,00) PART 4-WATERNIAIN 83 DCCfILE IRON FITTINGS LB 1056 SI000 105600 105600 S 10,56000 84 CONN EC'1-TO EXISTING WATER MAIN EA }. 5121101100 5.00 500 S 60,00000 86A 8"GATE VALVE AND BOX EA I• $4,000 00 I00 1.00 S 4,00000 87 IS"WATEIOMA IN DUCTILE IRON CL52 LF 84 5150.00 83.00 83.00 S 12,45000 87A 8"1VATERMAI,N DUCTILE IRON CLS2 1.P 47 51011.00 46.00 46 00 S 4,600,00 TOTAL PARE 4-WATERMA IN S 91,610.00 TOTAL PART 2-STORM AND STREET- S 9,575.00 TOTAL.PART 3-SANITARY SEWER $ (28,652.00) TOTAL PART4-WATERMAIN S 91,61000 TOTAL C.O.I S 72 533.00 CHANGE ORDER NO.2 PART 5-SIGNAL SYSTEM REPLACE LOOP DETECTORS AND HAN DHOLES LS 1 S 14,60960 100 1.00 S 14,60960 TOTAL C.O.2 S 14,609.60 TOTAL PART 1-MSA NO 183-103-018-LEFT TURN LANE S 64,533.17 TOTAL PART 2-STORM AND STREET S 2,051,421 78 TOTAL PART 3-SANI.1'ARY SEWER S 6,50800 TOTAL PART 4-WATF.RMAIN 5 153,829 00 TOTAL PART 5-SIGNAL,SYSTEM S 284,52460 TOTAL PART 6-TRAIL $ 19,573.00 S 2,580,389.55 ears-ay.1cnne 1471,15. PROJECT PAYMENT STATUS OWNER CITY OF APPLE VALLEY Project File No. 2019-109 0 CONTRACTOR Ryan Contracting Co. CHANGE ORDERS No. Date _Description _ Amount 1 F 10/24/2019 Water main&Storm Drainage $72,841.00 2 3/13/2020 SIGNAL SYSTEM, Loop detectors&handholes $14,609.60 Total Change Orders $87,450.60 PAYMENT SUMMARY No. From To Payment Retainage Completed 1 09/01/2019 10/25/19 $1,304,139.86 $68,638.94 $1,372,778.80 2 10/26/2019 11/03/19 _ $978,876.28 _ $120,158.74 $2,403,174.88 Y 3 11/04/2019 11/30/19 $256,512.02 $25,651.80 $2,565,179.95 4 12/01/2019 03/13/20 $14,463.50 $25,797.90 $2,579,789.55 1 5 and Final 03/13/2020 06/01/20 $26,397.90 $0.00 $2,580,389.55 Material on Hand $0.00 Total Payment to Date $2,580,389.55 Original Contract $2,590,023.00 Retainage Pay No. 5 0.00 Change Orders $87,450.60 Total Amount Earned $2,580,389.55 Revised Contract $2,677,473.60 Pay 5-AV JCRR&1471h.xlsx •••• ITEM: 4.P. ..... •5• Appleil COUNCIL MEETING DATE: June 11, 2020 Valley SECTION: Consent Agenda Description: Approve Personnel Report Staff Contact: Department/ Division: Melissa Haas, Human Resources Manager Human Resources Division ACTION REQUESTED: Approve the personnel report. SUMMARY: The employment actions attached to this memo are recommended for City Council Approval. BACKGROUND: The City Council's approval of the Personnel Report includes the ratification of the City Administrator's actions in carrying out the terms and conditions of the employment of the City personnel. BUDGET IMPACT: Budgeted positions. ATTACHMENTS: Personnel Report PERSONNEL REPORT City of Apple Valley June 11,2020 Human Resources The following employment actions are recommended for City Council approval: First Last Base Pay Pay Pay Date Name Name Action Position Status Dept. Rate Type Scale (on or about) Casual, Stephen Brown Hire Sales Clerk Variable Hour 5090 $ 12.00 Hourly L-1 6/5/2020 Casual, Jordan Lentsch Hire Sales Clerk Variable Hour 5090 $ 12.00 Hourly L-1 5/27/2020 Casual, Adam Morken Rehire Maintenance I Seasonal 5305 $ 13.24 Hourly SMI 6/1/2020 Casual, Noel Nichols Hire Sales Clerk Variable Hour 5090 $ 12.00 Hourly L-1 5/27/2020 Casual, Christie Seaberg Hire Sales Clerk Variable Hour 5090 $ 12.00 Hourly L-1 6/5/2020 The Council's approval of the Personnel Report includes the ratification of the City Administrator's actions in carrying out the terms and conditions of the employment of the City personnel. Page 1 of 1 •••• ITEM: 4.Q. ..... •5• Appleil COUNCIL MEETING DATE: June 11, 2020 Valley SECTION: Consent Agenda Description: Approve Claims and Bills Staff Contact: Department/ Division: Ron Hedberg, Finance Director Finance Department ACTION REQUESTED: Approve claims and bills. SUMMARY: Attached for City Council review and approval are check registers for recent claims and bills. BACKGROUND: N/A BUDGET IMPACT: Check registers dated May 20, 2020 and May 28, 2020, in the amounts of$606,729.69 and $1,626,982.58, respectively. ATTACHMENTS: Claims and Bills Claims and Bills R55CKR2 LOGIS101 CITY OF APPLE VALLEY 5/20/2020 13:36:51 Council Check Register by GL Page- 1 Council Check Register by Invoice&Summary 5/4/2020 -- 5/22/2020 Check# Date Amount Supplier/Explanation PO# Doc No Inv No Account No Subledger Account Description Business Unit 21689 5/22/2020 100101 ACE HARDWARE .94- DISCOUNT 374290 101305881461 1060.6333 COVID-19 GENERAL-CASH DISCOUNTS MUNICIPAL BLDG&GROUNDS MNTC 9,37 SHIMS,MULTI-SURFACE WIPES 374290 101305881461 1060.6229 COVID-19 GENERAL SUPPLIES MUNICIPAL BLDG&GROUNDS MNTC 53- DISCOUNT 374287 101310880661 1350.6333 GENERAL-CASH DISCOUNTS FIRE VEHICLE MAINTENANCE 5.25 APPARATUS NUTS AND BOLTS 374287 101310880661 1350,6215 EQUIPMENT-PARTS FIRE VEHICLE MAINTENANCE 4.20- DISCOUNT 374291 101310881111 1340.6333 GENERAL-CASH DISCOUNTS FIRE BLDG&GROUNDS MNTC 41.99 STATION REPAIR SUPPLIES 374291 101310881111 1340,6229 GENERAL SUPPLIES FIRE BLDG&GROUNDS MNTC .21- DISCOUNT 374288 101360880411 1720.6333 GENERAL-CASH DISCOUNTS PARK GROUNDS MAINTENANCE 2.08 NUTS AND BOLTS 374288 101360880411 1720.6229 GENERAL SUPPLIES PARK GROUNDS MAINTENANCE 10.59- DISCOUNT 374289 101360880861 1900.6333 GENERAL-CASH DISCOUNTS AV COMMUNITY CENTER 105.93 PAINTING SUPPLIES 374289 101360880861 1900.6229 GENERAL SUPPLIES AV COMMUNITY CENTER 2.90- DISCOUNT 374334 10136088107 1900.6333 GENERAL-CASH DISCOUNTS AV COMMUNITY CENTER 28.97 AVCC RAKE,SHOVEL 374334 10136088107 1900.6211 SMALL TOOLS&EQUIPMENT AV COMMUNITY CENTER 1.00- DISCOUNT 374336 101380880421 1920.6333 GENERAL-CASH DISCOUNTS SENIOR CENTER 9.99 FLOOR SQUEEGIE 374336 101380880421 1920.6229 GENERAL SUPPLIES SENIOR CENTER 183.21 21690 5/22/2020 147453 ADAM'S PEST CONTROL INC 73.45 WELL 3 MICE PESTS 374056 3116334 5320.6249 OTHER CONTRACTUAL SERVICES WATER WELL/BOOSTER STN MNT/RPR 73.45 21691 5/22/2020 148565 ADVANCED IMAGING SOLUTIONS(C 156.79 COPIER MAINTENANCE 374075 INV224395 1500.6265 REPAIRS-EQUIPMENT PW MANAGEMENT 156.79 21692 5/22/2020 100041 ALLINA HEALTH APPLE VALLEY 54,00 DRUG TEST 374084 3009715 1600.6235 CONSULTANT SERVICES STREET MANAGEMENT 91.00 DRUG/ALCOHOL TEST 374085 3009730 1600.6235 CONSULTANT SERVICES STREET MANAGEMENT 54.00 DRUG TEST 374086 3009733 1600.6235 CONSULTANT SERVICES STREET MANAGEMENT 27,00 UTIL DRUG SCREEN 374088 3012042 5365.6235 CONSULTANT SERVICES SEWER MGMT/REPORTS/DATA ENTRY 27.00 UTIL DRUG SCREEN 374088 3012042 5305.6235 CONSULTANT SERVICES WATER MGMT/REPORT/DATA ENTRY 54.00 DRUG SCREENING 374089 3013711 5305.6235 CONSULTANT SERVICES WATER MGMT/REPORT/DATA ENTRY 54.00 DRUG SCREENING 374090 3013717 5365.6235 CONSULTANT SERVICES SEWER MGMT/REPORTS/DATA ENTRY 361.00 21693 5/22/2020 144685 AM CRAFT SPIRITS INC 193,00 TAX#3 00051504 374151 10377 5085.6540 TAXABLE MISC FOR RESALE LIQUOR#3 STOCK PURCHASES 2.00 FREIGHT#3 00051504 374152 10377 5085.6550 FREIGHT ON RESALE MDSE LIQUOR#3 STOCK PURCHASES 85.40 TAX#1 00051504 374149 10433 5015.6540 TAXABLE MISC FOR RESALE LIQUOR#1 STOCK PURCHASES 2.00 FREIGHT#1 00051504 374150 10433 5015.6550 FREIGHT ON RESALE MDSE LIQUOR#1 STOCK PURCHASES 227.40 TAX#3 00051504 374153 10502 5085.6540 TAXABLE MISC FOR RESALE LIQUOR#3 STOCK PURCHASES R55CKR2 LOGIS101 CITY OF APPLE VALLEY 5/20/2020 13:36:51 Council Check Register by GL Page- 2 Council Check Register by Invoice&Summary 5/4/2020 -- 5/22/2020 Check# Date Amount Supplier/Explanation PO# Doc No Inv No Account No Subledger Account Description Business Unit 21693 5/22/2020 144685 AM CRAFT SPIRITS INC Continued... 2.00 FREIGHT#3 00051504 374154 10502 5085.6550 FREIGHT ON RESALE MDSE LIQUOR#3 STOCK PURCHASES 511.80 21694 5/22/2020 100037 APPLE VALLEY COLLISION INC 1,658.17 DAMAGE TO EMPLOYEES TRK 374119 45417 7205.6399 OTHER CHARGES INSURANCE CLAIMS 4,397.51 COLLISION REPAIR#962 374118 45428 7205.6399 OTHER CHARGES INSURANCE CLAIMS • 6,055.68 21695 5/22/2020 120405 APPLIED CONCEPTS INC 132,00 RADAR REMOTE 374063 363470 1200.6211 SMALL TOOLS&EQUIPMENT POLICE MANAGEMENT 132.00 21696 5/22/2020 101559 BARR ENGINEERING COMPANY 3,844.21 FINAL DESIGN 374340 23191419008 5505.6235 2020102D CONSULTANT SERVICES STORM DRAIN MNTC/RPR/SUMPS 3,844.21 21697 5/22/2020 100058 BELLBOY CORPORATION 44.10 TAX#2 00004928 374161 101253000 5055.6540 TAXABLE MISC FOR RESALE LIQUOR#2 STOCK PURCHASES 38.10 NTAX#2 00004928 374162 101253000 5055.6545 NON-TAXABLE MISC FOR RESALE LIQUOR#2 STOCK PURCHASES 39.00 NTAX#3 00004928 374163 101253000 5085_6545 NON-TAXABLE MISC FOR RESALE LIQUOR#3 STOCK PURCHASES 105,00 LIQ#1 00004928 374155 101254000 5015.6510 LIQUOR LIQUOR#1 STOCK PURCHASES 86.10 TAX#1 00004928 374156 101254000 5015.6540 TAXABLE MISC FOR RESALE LIQUOR#1 STOCK PURCHASES 121.60 NTAX#1 00004928 374157 101254000 5015,6545 NON-TAXABLE MISC FOR RESALE LIQUOR#1 STOCK PURCHASES 96.00 TAX#1 00004928 374158 101298900 5015.6540 TAXABLE MISC FOR RESALE LIQUOR#1 STOCK PURCHASES 58.20 NTAX#3 00004928 374178 101299000 5085.6545 NON-TAXABLE MISC FOR RESALE LIQUOR#3 STOCK PURCHASES 81.35 TAX#1 00004928 374159 101337300 5015,6540 TAXABLE MISC FOR RESALE LIQUOR#1 STOCK PURCHASES 111,05 NTAX#1 00004928 374160 101337300 5015.6545 NON-TAXABLE MISC FOR RESALE LIQUOR#1 STOCK PURCHASES 84.00 WINE#1 00004928 374166 83794800 5015.6520 WINE LIQUOR#1 STOCK PURCHASES 1.35 FREIGHT#1 00004928 374167 83794800 5015.6550 FREIGHT ON RESALE MDSE LIQUOR#1 STOCK PURCHASES 36.75 LIQ#2 00004928 374174 83831400 5055.6510 LIQUOR LIQUOR#2 STOCK PURCHASES 1.35 FREIGHT#2 00004928 374175 83831400 5055,6550 FREIGHT ON RESALE MDSE LIQUOR#2 STOCK PURCHASES 857.40 LIQ#1 00004928 374164 83831800 5015.6510 LIQUOR LIQUOR#1 STOCK PURCHASES 10.80 FREIGHT#1 00004928 374165 83831800 5015.6550 FREIGHT ON RESALE MDSE LIQUOR#1 STOCK PURCHASES • 84.00 WINE#1 00004928 374168 83886600 5015.6520 WINE LIQUOR#1 STOCK PURCHASES 1.35 FREIGHT#1 00004928 374169 83886600 5015.6550 FREIGHT ON RESALE MDSE LIQUOR#1 STOCK PURCHASES 36.75 LIQ#1 00004928 374170 83942800 5015.6510 LIQUOR LIQUOR#1 STOCK PURCHASES 1.35 FREIGHT#1 00004928 374171 83942800 5015.6550 FREIGHT ON RESALE MDSE LIQUOR#1 STOCK PURCHASES 215.58 LIQ#3 00004928 374176 83943000 5085.6510 LIQUOR LIQUOR#3 STOCK PURCHASES 4.05 FREIGHT#3 00004928 374177 83943000 5085.6550 FREIGHT ON RESALE MDSE LIQUOR#3 STOCK PURCHASES 621.00 LIQ#1 00004928 374172 84037500 5015.6510 LIQUOR LIQUOR#1 STOCK PURCHASES R55CKR2 LOGIS101 CITY OF APPLE VALLEY 5/20/2020 13:36:51 I Council Check Register by GL Page- 3 Council Check Register by Invoice&Summary 5/4/2020 -- 5/22/2020 Check# Date Amount Supplier/Explanation PO# Doc No Inv No Account No Subledger Account Description Business Unit 21697 5/22/2020 100058 BELLBOY CORPORATION Continued... 6.75 FREIGHT#1 00004928 374173 84037500 5015.6550 FREIGHT ON RESALE MDSE LIQUOR#1 STOCK PURCHASES 1,247.00 LIQ#3 00004928 374179 84037700 5085.6510 LIQUOR LIQUOR#3 STOCK PURCHASES 10.80 FREIGHT#3 00004928 374180 84037700 5085.6550 FREIGHT ON RESALE MDSE LIQUOR#3 STOCK PURCHASES 4,000.78 21698 5/22/2020 142897 BOLTON&MENK,INC. 15,067,50 CONSTRUCTION ADMIN 374341 249097 2027.6235 2020101G CONSULTANT SERVICES ROAD ESCROW ' 9,587.00 DEVELOPMENT REVIEW 374325 249099 4502.6235 2019165G CONSULTANT SERVICES IMPROVEMENTS-ASSESSED 362.50 PRELIMINARY DESIGN 374080 249100 5505,6235 2020106D CONSULTANT SERVICES STORM DRAIN MNTC/RPR/SUMPS 8,975.00 CONSTRUCTION STAKING 374326 249101 4502.6235 2019107G CONSULTANT SERVICES IMPROVEMENTS-ASSESSED 33,992.00 21699 5/22/2020 100071 BOYER TRUCKS 239.81 FILTERS#240 374092 30051D 1765.6215 EQUIPMENT-PARTS PARK EQUIPMENT MAINTENANCE 239_81 21700 5/22/2020 121014 BUCKEYE CLEANING CENTER 76,32 SPRAY BOTTLES 374362 90221505 1940.6229 COVID-19 GENERAL SUPPLIES AQUATIC SWIM CENTER 76,32 21701 5/22/2020 101431 COMMUNITY HEALTH CHARITIES 72.50 CHARITABLE GIVING 374013 51320816208 9000.2120 ACCRUED BENEFIT LIABILITY PAYROLL CLEARING BAL SHEET 72.50 21702 5/22/2020 101365 ECM PUBLISHERS INC 331.50 LEGAL AD-ASSESS.ROLL#666 374117 773819 5305.6239 PRINTING WATER MGMT/REPORT/DATA ENTRY 331.50 LEGALAD-ASSESS.ROLL#666 374117 773819 5365.6239 PRINTING SEWER MGMT/REPORTS/DATA ENTRY 76.50 LEGAL AD 37433 775891 1015.6239 PRINTING CITY CLERK/ELECTIONS 739.50 21703 5/22/2020 100157 FACTORY MOTOR PARTS CO 135.96 TRANS FILTER#'S 4980,4983,4 374113 16365531 1350.6215 EQUIPMENT-PARTS FIRE VEHICLE MAINTENANCE 252.45 BATTERIES#235&#237 374112 1Z21769 1765.6216 VEHICLES-TIRES/BATTERIES PARK EQUIPMENT MAINTENANCE 29.76 BRAKE CLEANER 374125 75376082 1530.6229 GENERAL SUPPLIES FLEET&BUILDINGS-CMF 418.17 21704 5/22/2020 134308 FAIRCHILD EQUIPMENT 82.48 IGNITION SWITCH#363 374127 K54343 1630.6215 EQUIPMENT-PARTS STREET EQUIPMENT MAINTENANCE 207.08 AM/FM RADIO#333 374128 K54858 1630.6215 EQUIPMENT-PARTS STREET EQUIPMENT MAINTENANCE 289.56 R55CKR2 LOGIS101 CITY OF APPLE VALLEY 5/20/2020 13:36:51 Council Check Register by GL Page- 4 Council Check Register by Invoice&Summary 5/4/2020 -- 5/22/2020 Check# Date Amount Supplier/Explanation PO# Doc No Inv No Account No Subledger Account Description Business Unit 21704 5/22/2020 134308 FAIRCHILD EQUIPMENT Continued... 21705 5/22/2020 113505 FRONTIER PRECISION INC 305.60 WOOD LATH 374083 212461A 1610.6229 GENERAL SUPPLIES STREET/BOULEVARD REPAIR&MNTC 91.65 TREE STAKES LATH 374095 212461D 1520.6229 GENERAL SUPPLIES NATURAL RESOURCES 397,25 21706 5/22/2020 116265 GALETON 130.24 FACE MASKS 374073 2533947 5375.6229 COVID-19 GENERAL SUPPLIES SEWER MAINTENANCE AND REPAIR 130.24 21707 5/22/2020 100209 GOPHER STATE ONE-CALL 31.05 GOPHER STATE ONE CALL 374070 40183 5805.6249 OTHER CONTRACTUAL SERVICES STREET LIGHT UTILITY FUND 31.05 21708 5/22/2020 100491 GREATER TWIN CITIES UNITED WAY 40.00 CHARITABLE GIVING 374009 51320816204 9000,2120 ACCRUED BENEFIT LIABILITY PAYROLL CLEARING BAL SHEET 40.00 21709 5/22/2020 136639 IMPACT PROVEN SOLUTIONS 425.73 UB PRINT/MAIL BILLS APRIL 374116 147203 5305.6249 OTHER CONTRACTUAL SERVICES WATER MGMT/REPORTIDATA ENTRY 425.74 UB PRINT/MAIL BILLS APRIL 374116 147203 5365.6249 OTHER CONTRACTUAL SERVICES SEWER MGMT/REPORTS/DATA ENTRY 779.78 UB POSTAGE APRIL 374116 147203 5365.6238 POSTAGE/UPS/FEDEX SEWER MGMT/REPORTS/DATA ENTRY 779.79 UB POSTAGE APRIL 374116 147203 5305.6238 POSTAGE/UPS/FEDEX WATER MGMT/REPORT/DATA ENTRY 2,411.04 21710 5/22/2020 103314 INNOVATIVE OFFICE SOLUTIONS 15.56 CD CASES EXERCISE AUDIO 374317 IN2965440 1920.6229 GENERAL SUPPLIES SENIOR CENTER 28.42 GREY PAPER,LABEL TAPE 374318 IN2965441 1920.6210 OFFICE SUPPLIES SENIOR CENTER 154,08 AIR,TAPE,BAKE SODA,COMPOST 374318 IN2965441 1920.6229 GENERAL SUPPLIES SENIOR CENTER 48.04 PENS/PENCILS,CLIPS 374304 IN2972047 1200.6210 OFFICE SUPPLIES POLICE MANAGEMENT 19.30 CUSTOM STAMP 374321 IN2972493 1200.6210 OFFICE SUPPLIES POLICE MANAGEMENT 193.25 MOP BUCKET W/WRINGER AND CLEAN 374315 IN2972930 1920.6229 GENERAL SUPPLIES SENIOR CENTER 9.97 FIN NOTE PADS 374352 IN2976567 1035.6210 OFFICE SUPPLIES FINANCE 15.62- BUS CARD POUCH RETURN 374320 SCN099646 1200,6210 OFFICE SUPPLIES POLICE MANAGEMENT 453.00 21711 5/22/2020 144552 KENDELL DOORS&HARDWARE INC 222.00 CORES FOR QP GATES 374131 IN018056 1715.6229 GENERAL SUPPLIES PARK ATHLETIC FIELD MAINTENANC 37.25 JCAC RESTROOM KEYS 374138 IN018115 1730.6229 GENERAL SUPPLIES PARK BUILDING MAINTENANCE 6.03- GOLF USE TAX 374314 IN018151 5100.2330 DUE TO OTHER GOVERNMENT GOLF FUND BALANCE SHEET R55CKR2 LOGIS101 CITY OF APPLE VALLEY 5/20/2020 13:36:51 Council Check Register by GL Page- 5 Council Check Register by Invoice&Summary 5/4/2020 -- 5/22/2020 Check# Date Amount Supplier/Explanation PO# Doc No Inv No Account No Subledger Account Description Business Unit 21711 5/22/2020 144552 KENDELL DOORS&HARDWARE INC Continued... 6.03 GOLF USE TAX 374314 IN018151 5105.6229 GENERAL SUPPLIES GOLF MANAGEMENT 87.75 KEYS 374314 IN018151 5105.6229 GENERAL SUPPLIES GOLF MANAGEMENT 347.00 21712 5/22/2020 100289 LOGIS 605.00 LOGIS AVOLVE SERVER HOST MAY 374339 48692 1400.6399 OTHER CHARGES INSPECTIONS MANAGEMENT 3,356.00 LOGIS PIMS/EPERMITS MAY 374339 48692 1400.6399 OTHER CHARGES INSPECTIONS MANAGEMENT 20,884.00 LOGIS SERV/INTERNET MAY 374339 48692 1040.6399 OTHER CHARGES DATA PROCESSING 808.00 LOGIS SERV/INTERNET MAY 374339 48692 5005.6399 OTHER CHARGES LIQUOR GENERAL OPERATIONS 350.00 LOGIS SERV/INTERNET MAY 374339 48692 5205.6399 OTHER CHARGES ARENA 1 MANAGEMENT 6,945.00 LOGIS SERV/INTERNET MAY 374339 48692 5365,6399 OTHER CHARGES SEWER MGMT/REPORTS/DATA ENTRY 6,945,00 LOGIS SERV/INTERNET MAY 374339 48692 5305.6399 OTHER CHARGES WATER MGMT/REPORT/DATA ENTRY 39,893.00 21713 5/22/2020 100299 MASTER ELECTRIC CO 160.50 GFI REPLACED/ELECTRICAL LOCATE 374069 SD29578 5805.6249 OTHER CONTRACTUAL SERVICES STREET LIGHT UTILITY FUND 163.60 REPAIR PHOTO CELL 374129 SD29579 1730.6249 OTHER CONTRACTUAL SERVICES PARK BUILDING MAINTENANCE 324.10 21714 5/22/2020 151844 MAVERICK WINE LLC 255.96 LIQ#3 00052289 374236 441462 5085.6510 LIQUOR LIQUOR#3 STOCK PURCHASES 1.50 FREIGHT#3 00052289 374237 441462 5085,6550 FREIGHT ON RESALE MDSE LIQUOR#3 STOCK PURCHASES 257.46 21715 5/22/2020 100302 MCNAMARA CONTRACTING INC 156.02 ASPHALT REPAIRS 374087 4672 1610.6229 GENERAL SUPPLIES STREET/BOULEVARD REPAIR&MNTC 156.02 21716 5/22/2020 138249 MINNESOTA ENVIRONMENTAL FUND 20.00 CHARITABLE GIVING 374001 513208162012 9000.2120 ACCRUED BENEFIT LIABILITY PAYROLL CLEARING BAL SHEET 20.00 21717 5/22/2020 100348 MTI DISTRIBUTING CO 27.66 IRRIGATION PARTS 374357 125549600 1940,6215 EQUIPMENT-PARTS AQUATIC SWIM CENTER 257.10 JCRPE IRRIGATION RPR PTS 374323 125558200 1715.6215 EQUIPMENT-PARTS PARK ATHLETIC FIELD MAINTENANC 284_76 21718 5/22/2020 101579 MUELKEN,SUSAN M 32.20 APRIL MILEAGE-MEULKEN 374124 20200430 1700.6277 MILEAGE/AUTO ALLOWANCE PARK&RECREATION MANAGEMENT 32.20 R55CKR2 LOGIS101 CITY OF APPLE VALLEY 5/20/2020 13:36:51 Council Check Register by GL Page- 6 Council Check Register by Invoice&Summary 5/4/2020 -- 5/22/2020 Check# Date Amount Supplier/Explanation PO# Doc No Inv No Account No Subledger Account Description Business Unit 21718 5/22/2020 101579 MUELKEN,SUSAN M Continued... 21719 5/22/2020 111219 NORTHERN SAFETY TECHNOLOGY INC 359.60 RED LENS-APPARATUS 374142 50419 1350.6215 EQUIPMENT-PARTS FIRE VEHICLE MAINTENANCE 359 60 21720 5/22/2020 118834 OPEN YOUR HEARTS 65.00 CHARITABLE GIVING 373999 513208162010 9000.2120 ACCRUED BENEFIT LIABILITY PAYROLL CLEARING BAL SHEET 65.00 21721 5/22/2020 147734 P&W GOLF SUPPLY,LLC ,10- GOLF SALES TAX ADJUST 374303 INV58858 5105.6229 GENERAL SUPPLIES GOLF MANAGEMENT .10 GOLF SALES TAX ADJUST 374303 INV58858 5100.2330 DUE TO OTHER GOVERNMENT GOLF FUND BALANCE SHEET 38.04 KEYS 374303 INV58858 5105.6229 GENERAL SUPPLIES GOLF MANAGEMENT 38,04 21722 5/22/2020 154497 PETERSON,KRAIG 28.75 APRIL MILEAGE-PETERSON 374295 20200430 5005.6277 MILEAGE/AUTO ALLOWANCE LIQUOR GENERAL OPERATIONS 28,75 21723 5/2212020 100385 PLUNKETT'S PEST CONTROL INC 200.00 INDOOR/OUTDOOR PEST CONTROL 374319 6633080 1920.6249 OTHER CONTRACTUAL SERVICES SENIOR CENTER 200.00 21724 5/22/2020 145492 PNC EQUIPMENT FINANCE,LLC 422.10 GOLF CART LEASE 374120 808337 5105.7015 DEBT SERVICE-INTEREST GOLF MANAGEMENT 6,975.40 GOLF CART LEASE 374120 808337 5100 2715 CAPITAL LEASE-NONCURRENT GOLF FUND BALANCE SHEET 7,397.50 21725 5/22/2020 122110 REINDERS INC 5,885.60 JCRPW PORTION FERT 374121 306917900 1780,6213 FERTILIZER PARK HIGH SCHOOL#4 FIELDS 11,771.20 JCE&QP FERT 374121 306917900 1715.6213 FERTILIZER PARK ATHLETIC FIELD MAINTENANC 120.46 CUP CUTTING SUPPLIES 374311 307010600 5150.6229 GENERAL SUPPLIES GOLF COURSE MAINTENANCE 17,777.26 21726 5/22/2020 144495 SMALL LOT MN 192.00 WINE#3 00051469 374254 35944 5085.6520 WINE LIQUOR#3 STOCK PURCHASES 192.00 21727 5/22/2020 150590 STONEBROOKE ENGINEERING 58.67 CONSTRUCTION ADMIN 374079 78512 2027.6235 2017109R CONSULTANT SERVICES ROAD ESCROW R55CKR2 LOGIS101 CITY OF APPLE VALLEY 5/20/2020 13:36:51 Council Check Register by GL Page- 7 Council Check Register by Invoice&Summary 5/4/2020 - 5/22/2020 Check# Date Amount Supplier/Explanation PO# Doc No Inv No Account No Subledger Account Description Business Unit 21727 5/22/2020 150590 STONEBROOKE ENGINEERING Continued... 58.67 21728 5/22/2020 101226 STREAMLINE DESIGN INC 1,189.00 STAFF UNIFORM SHIRTS(115) 374115 40002 1720;6281 UNIFORM/CLOTHING ALLOWANCE PARK GROUNDS MAINTENANCE 1,189.00 21729 5/22/2020 100471 TOLL GAS&WELDING SUPPLY 101.69 RPZ STAND SUPPLIES 374057 10349699 5330.6229 GENERAL SUPPLIES WTR MAIN/HYDRANT/CURB STOP MNT 101.69 21730 5/22/2020 101123 USA BLUE BOOK 157.71 CAP FOR 4.5"HYDRANT DIFFUSER 374067 229711 5330.6215 EQUIPMENT-PARTS WTR MAIN/HYDRANT/CURB STOP MNT 157.71 21731 5/22/2020 100496 VAN PAPER CO 254.01 BAGS#1 00008795 374255 53895500 5025.6229 GENERAL SUPPLIES LIQUOR#1 OPERATIONS 2.54- DISCT#1 00008795 374256 53895500 5025.6333 GENERAL-CASH DISCOUNTS LIQUOR#1 OPERATIONS 251,47 21732 5/22/2020 100498 VIKING INDUSTRIAL CENTER 65.36 IRRITANT SMOKE FOR FIT TESTING 374065 3191435 5325.6229 GENERAL SUPPLIES WATER TREATMENT FCLTY MNTC/RPR 256.70 REPL LIFELINES 374071 3191821 5375.6229 GENERAL SUPPLIES SEWER MAINTENANCE AND REPAIR 322.06 21733 5/22/2020 122010 VINOCOPIA 161.50 LIQ#3 00046257 374267 256043 5085.6510 LIQUOR LIQUOR#3 STOCK PURCHASES 2.50 FREIGHT#3 00046257 374268 256043 5085,6550 FREIGHT ON RESALE MDSE LIQUOR#3 STOCK PURCHASES 82.50 LIQ#1 00046257 374257 256052 5015.6510 LIQUOR LIQUOR#1 STOCK PURCHASES 264.00 WINE#1 00046257 374258 256052 5015.6520 WINE LIQUOR#1 STOCK PURCHASES 10.00 FREIGHT#1 00046257 374259 256052 5015.6550 FREIGHT ON RESALE MDSE LIQUOR#1 STOCK PURCHASES 600.00 WINE#2 00046257 374265 256367 5055.6520 WINE LIQUOR#2 STOCK PURCHASES 12.00 FREIGHT#2 00046257 374266 256367 5055.6550 FREIGHT ON RESALE MDSE LIQUOR#2 STOCK PURCHASES 448.00 WINE#1 00046257 374260 256368 5015.6520 WINE LIQUOR#1 STOCK PURCHASES 152.00 TAX#1 00046257 374261 256368 5015.6540 TAXABLE MISC FOR RESALE LIQUOR#1 STOCK PURCHASES 16,50 FREIGHT#1 00046257 374262 256368 5015,6550 FREIGHT ON RESALE MDSE LIQUOR#1 STOCK PURCHASES 560.00 WINE#3 00046257 374269 256370 5085.6520 WINE LIQUOR#3 STOCK PURCHASES 322,75 TAX#3 00046257 374270 256370 5085.6540 TAXABLE MISC FOR RESALE LIQUOR#3 STOCK PURCHASES 26.75- CMTAX#3 00046257 374271 256370 5085.6540 TAXABLE MISC FOR RESALE LIQUOR#3 STOCK PURCHASES 30.00 FREIGHT#3 00046257 374272 256370 5085.6550 FREIGHT ON RESALE MDSE LIQUOR#3 STOCK PURCHASES 293.00 LIQ#3 00046257 374273 256702 5085.6510 LIQUOR LIQUOR#3 STOCK PURCHASES R55CKR2 LOGIS101 CITY OF APPLE VALLEY 5/20/2020 13:36:51 Council Check Register by GL Page- 8 Council Check Register by Invoice&Summary 5/4/2020 -- 5/22/2020 Check# Date Amount Supplier/Explanation PO# Doc No Inv No Account No Subledger Account Description Business Unit J 21733 5/22/2020 122010 VINOCOPIA Continued... 5.00 FREIGHT#3 00046257 374274 256702 5085.6550 FREIGHT ON RESALE MDSE LIQUOR#3 STOCK PURCHASES 203.00 LIQ#1 00046257 374263 256703 5015.6510 LIQUOR LIQUOR#1 STOCK PURCHASES 2.50 FREIGHT#1 00046257 374264 256703 5015.6550 FREIGHT ON RESALE MDSE LIQUOR#1 STOCK PURCHASES 3,138.50 21734 5/22/2020 100520 WINE COMPANY,THE 1,870.00 WINE#3 00015926 374275 141564 5085.6520 WINE LIQUOR#3 STOCK PURCHASES 31.35 FREIGHT#3 00015926 374276 141564 5085.6550 FREIGHT ON RESALE MDSE LIQUOR#3 STOCK PURCHASES 216,00 WINE#3 00015926 374277 142007 5085,6520 WINE LIQUOR#3 STOCK PURCHASES 1.65 FREIGHT#3 00015926 374278 142007 5085,6550 FREIGHT ON RESALE MDSE LIQUOR#3 STOCK PURCHASES 880.00 WINE#3 00015926 374279 142009 5085.6520 WINE LIQUOR#3 STOCK PURCHASES 14.85 FREIGHT#3 00015926 374280 142009 5085.6550 FREIGHT ON RESALE MDSE LIQUOR#3 STOCK PURCHASES 3,013.85 305097 5/20/2020 101231 ADVANCED GRAPHIX INC 85.00 DOOR GRAPHICS#962 374126 204201 7205.6399 OTHER CHARGES INSURANCE CLAIMS 85.00 305098 5/20/2020 144459 ADVANCED IMAGING SOLUTIONS(L 242.00 COPIER LEASE 374076 413384819 1500.6310 RENTAL EXPENSE PW MANAGEMENT 242.00 305099 5/20/2020 153995 AMAZON CAPITAL SERVICES 247.04 NEW FAUCETS FOR HAGEMEISTER 374066 1JWPQ9T6RQM9 5330.6215 EQUIPMENT-PARTS WTR MAIN/HYDRANT/CURB STOP MNT 26.98 IPHONE CASE 374074 1NVJNJRMR6PD 1030.6211 SMALL TOOLS&EQUIPMENT INFORMATION TECHNOLOGY 139.96 REUSABLE MASKS 374355 1XRQC1TYJ9NF 1540.6229 COVID-19 GENERAL SUPPLIES CMF BUILDINGS&GROUNDS MNTC 413.98 305100 5/20/2020 154253 APPLE FORD LINCOLN 47 61 TAIL LIGHT ASSEMBLY#323 374091 489345 1630,6215 EQUIPMENT-PARTS STREET EQUIPMENT MAINTENANCE 47.61 305101 5/20/2020 100747 ARAMARK UNIFORM SERVICES INC 44.83 374094 1720241102 1710,6281 UNIFORM/CLOTHING ALLOWANCE PARK MAINTENANCE MANAGEMENT 44.83 374094 1720241102 1530.6281 UNIFORM/CLOTHING ALLOWANCE FLEET&BUILDINGS-CMF 89.65 374094 1720241102 1600.6281 UNIFORM/CLOTHING ALLOWANCE STREET MANAGEMENT 44.83 COVERALLS 374093 1720250969 1710.6281 UNIFORM/CLOTHING ALLOWANCE PARK MAINTENANCE MANAGEMENT 44.83 COVERALLS 374093 1720250969 1530.6281 UNIFORM/CLOTHING ALLOWANCE FLEET&BUILDINGS-CMF 8965 COVERALLS 374093 1720250969 1600.6281 UNIFORM/CLOTHING ALLOWANCE STREET MANAGEMENT 358.62 R55CKR2 LOGIS101 CITY OF APPLE VALLEY 5/20/2020 13:36:51 Council Check Register by GL Page- 9 Council Check Register by Invoice&Summary 5/4/2020 -- 5/22/2020 Check# Date Amount Supplier/Explanation PO# Doc No Inv No Account No Subledger Account Description Business Unit 305101 5/20/2020 100747 ARAMARK UNIFORM SERVICES INC Continued... 305102 5/2012020 154946 ARKULARY,JOSHUA 15 46 UB REFUND 15936 GRANADA AVE 374358 20200515A 5301,4997 WATER/SEWER ACCT REFUNDS WATER 8 SEWER FUND REVENUE 15 46 305103 5/20/2020 154945 ARNETT,JILL 140.00 REFUND CAMP REGISTRATIONS(X2) 374308 202005142 1001.4355 COVID-19 RECREATION USER FEES GENERAL FUND REVENUE 140.00 305104 5/20/2020 154934 ASHWELL,MORGAN 26,00 REFUND LITTLE CHEFS REG(X2) 374297 202005074 1001.4351 COVID-19 PRE SCHOOL PROGRAMS GENERAL FUND REVENUE 26.00 305105 5/20/2020 118892 ASPEN MILLS 337.97 FIRE MARSHAL UNIFORM 374140 256816 1320.6281 UNIFORM/CLOTHING ALLOWANCE FIRE PREVENTION 337.97 305106 5/20/2020 154159 BERG ENTERPRISES,LLC 262.50 EXCHANGE SERVER CONSULTANT 374135 3181 1030.6235 CONSULTANT SERVICES INFORMATION TECHNOLOGY 262.50 305107 5/20/2020 150980 BONDESON,DOUG 63.79 2/4-3/31 MILEAGE-BONDESON 374294 20200331 2012.6277 MILEAGE/AUTO ALLOWANCE CABLE TV JOINT POWERS 63.79 305108 5/20/2020 121092 BOURGET IMPORTS i 160.00 WINE#3 00045600 374181 170167 5085.6520 WINE LIQUOR#3 STOCK PURCHASES 3.50 FREIGHT#3 00045600 374182 170167 5085.6550 FREIGHT ON RESALE MDSE LIQUOR#3 STOCK PURCHASES 2,136,00 WINE#3 00045600 374183 170292 5085.6520 WINE LIQUOR#3 STOCK PURCHASES 21.00 FREIGHT#3 00045600 374184 170292 5085.6550 FREIGHT ON RESALE MDSE LIQUOR#3 STOCK PURCHASES 2,320.50 305109 5/20/2020 100152 BREAKTHRU BEVERAGE MIN WINE 3,147_34 LIQ#3 00001930 374201 1081128464 5085.6510 LIQUOR LIQUOR#3 STOCK PURCHASES 15.14 FREIGHT#3 00001930 374202 1081128464 5085.6550 FREIGHT ON RESALE MDSE LIQUOR#3 STOCK PURCHASES 2,319.00 WINE#3 00001930 374220 1081128465 5085.6520 WINE LIQUOR#3 STOCK PURCHASES 73.33- CMWINE#3 00001930 374221 1081128465 5085.6520 WINE LIQUOR#3 STOCK PURCHASES 39.10 FREIGHT#3 00001930 374222 1081128465 5085.6550 FREIGHT ON RESALE MDSE LIQUOR#3 STOCK PURCHASES 1.15- CMFREIGHT#3 00001930 374223 1081128465 5085.6550 FREIGHT ON RESALE MDSE LIQUOR#3 STOCK PURCHASES 326,05 LIQ#2 00001930 374193 1081128508 5055.6510 LIQUOR LIQUOR#2 STOCK PURCHASES R55CKR2 LOGIS101 CITY OF APPLE VALLEY 5/20/2020 13:36:51 Council Check Register by GL Page- 10 Council Check Register by Invoice&Summary 5/4/2020 -- 5/22/2020 Check# Date Amount Supplier/Explanation PO# Doc No Inv No Account No Subledger Account Description Business Unit 305109 5/20/2020 100152 BREAKTHRU BEVERAGE MIN WINE Continued... 1.15 FREIGHT#2 00001930 374194 1081128508 5055.6550 FREIGHT ON RESALE MDSE LIQUOR#2 STOCK PURCHASES 921.96 WINE#2 00001930 374217 1081128509 5055.6520 WINE LIQUOR#2 STOCK PURCHASES 14.95 FREIGHT#2 00001930 374218 1081128509 5055.6550 FREIGHT ON RESALE MDSE LIQUOR#2 STOCK PURCHASES 1,851,92 WINE#1 00001930 374209 1081128511 5015.6520 WINE LIQUOR#1 STOCK PURCHASES 28.75 FREIGHT#1 00001930 374210 1081128511 5015,6550 FREIGHT ON RESALE MDSE LIQUOR#1 STOCK PURCHASES 1,085.45 LIQ#3 00001930 374203 1081130227 5085.6510 LIQUOR LIQUOR#3 STOCK PURCHASES 111.40 TAX#3 00001930 374204 1081130227 5085.6540 TAXABLE MISC FOR RESALE LIQUOR#3 STOCK PURCHASES 11.50 FREIGHT#3 00001930 374205 1081130227 5085,6550 FREIGHT ON RESALE MDSE LIQUOR#3 STOCK PURCHASES 1,032.00 WINE#3 00001930 374224 1081130228 5085.6520 WINE LIQUOR#3 STOCK PURCHASES 15.52 FREIGHT#3 00001930 374225 1081130228 5085.6550 FREIGHT ON RESALE MDSE LIQUOR#3 STOCK PURCHASES 163.05 LIQ#2 • 00001930 374195 1081130350 5055.6510 LIQUOR LIQUOR#2 STOCK PURCHASES 1.15 FREIGHT#2 00001930 374196 1081130350 5055.6550 FREIGHT ON RESALE MDSE LIQUOR#2 STOCK PURCHASES 442.00 LIQ#1 00001930 374188 1081130352 5015.6510 LIQUOR LIQUOR#1 STOCK PURCHASES 148.69 TAX#1 00001930 374189 1081130352 5015.6540 TAXABLE MISC FOR RESALE LIQUOR#1 STOCK PURCHASES 10.45 FREIGHT#1 00001930 374190 1081130352 5015.6550 FREIGHT ON RESALE MDSE LIQUOR#1 STOCK PURCHASES 734.62 WINE#1 00001930 374211 1081130353 5015.6520 WINE LIQUOR#1 STOCK PURCHASES 9.20 FREIGHT#1 00001930 374212 1081130353 5015.6550 FREIGHT ON RESALE MDSE LIQUOR#1 STOCK PURCHASES 211.71 LIQ#2 00001930 374197 1081132500 5055.6510 LIQUOR LIQUOR#2 STOCK PURCHASES 42,00 TAX#2 00001930 374198 1081132500 5055.6540 TAXABLE MISC FOR RESALE LIQUOR#2 STOCK PURCHASES 22.00- CMTAX#2 00001930 374199 1081132500 5055.6540 TAXABLE MISC FOR RESALE LIQUOR#2 STOCK PURCHASES 3,45 FREIGHT#2 00001930 374200 1081132500 5055,6550 FREIGHT ON RESALE MDSE LIQUOR#2 STOCK PURCHASES 6,040.38 LIQ#1 00001930 374191 1081132501 5015.6510 LIQUOR LIQUOR#1 STOCK PURCHASES 38.05 FREIGHT#1 00001930 374192 1081132501 5015.6550 FREIGHT ON RESALE MDSE LIQUOR#1 STOCK PURCHASES 330.00 WINE#1 00001930 374213 1081132502 5015.6520 WINE LIQUOR#1 STOCK PURCHASES 12.65 FREIGHT#1 00001930 374214 1081132502 5015.6550 FREIGHT ON RESALE MDSE LIQUOR#1 STOCK PURCHASES 967.97 WINE#1 00001930 374215 1081132503 5015.6520 WINE LIQUOR#1 STOCK PURCHASES 15.05 FREIGHT#1 00001930 374216 1081132503 5015.6550 FREIGHT ON RESALE MDSE LIQUOR#1 STOCK PURCHASES 8,169.50 LIQ#3 00001930 374206 1081132968 5085.6510 LIQUOR LIQUOR#3 STOCK PURCHASES 60.95 TAX#3 00001930 374207 1081132968 5085.6540 TAXABLE MISC FOR RESALE LIQUOR#3 STOCK PURCHASES 56.35 FREIGHT#3 00001930 374208 1081132968 5085.6550 FREIGHT ON RESALE MDSE LIQUOR#3 STOCK PURCHASES 963.28 WINE#3 00001930 374226 1081132969 5085.6520 WINE LIQUOR#3 STOCK PURCHASES 18.40 FREIGHT#3 00001930 374227 1081132969 5085.6550 FREIGHT ON RESALE MDSE LIQUOR#3 STOCK PURCHASES 1,563.10 LIQ#1 00001930 374185 108128510 5015.6510 LIQUOR LIQUOR#1 STOCK PURCHASES 126.00- CMLIQ#1 00001930 374186 108128510 5015.6510 LIQUOR LIQUOR#1 STOCK PURCHASES 13,80 FREIGHT#1 00001930 374187 108128510 5015.6550 FREIGHT ON RESALE MDSE LIQUOR#1 STOCK PURCHASES 232.00- CMWINE#3 00001930 374219 8050986 5085.6520 WINE LIQUOR#3 STOCK PURCHASES 30,482.55 305110 5/20/2020 154944 BREMER,EMILY R55CKR2 LOGIS101 CITY OF APPLE VALLEY 5/20/2020 13:36:51 Council Check Register by GL Page- 11 Council Check Register by Invoice&Summary 5/4/2020 -- 5/22/2020 I Check# Date Amount Supplier/Explanation PO# Doc No Inv No Account No Subledger Account Description Business Unit 305110 5/20/2020 154944 BREMER,EMILY Continued... 70.00 REFUND ADVENTURE CAMP REG 374307 202005141 1001.4355 COVID-19 RECREATION USER FEES GENERAL FUND REVENUE 70,00 305111 5/20/2020 126892 CARLOS CREEK WINERY 486.00 WINE#3 00051800 374228 19172 5085,6520 WINE LIQUOR#3 STOCK PURCHASES 486.00 305112 5/20/2020 154952 CARLSON,DONNA 20,83 UB REFUND 863 JONATHAN DR 374351 20200515F 5301.4997 WATER/SEWER ACCT REFUNDS WATER&SEWER FUND REVENUE 20.83 305113 5/20/2020 126438 CBIZ FINANCIAL SOLUTIONS INC 180.80 FIRST QTR INVESTMENT ADV SVCS 374097 5289 7205,6315 WORKERS COMP-DEDUCTIBLE INSURANCE CLAIMS 180,80 305114 5/20/2020 100282 CINTAS CORPORATION .63- LIQ1 USE TAX 374122 4050517898 5000,2330 DUE TO OTHER GOVERNMENT LIQUOR BALANCE SHEET .63 LIQ1 USE TAX 374122 4050517898 5025.6240 CLEANING SERVICE/GARBAGE REMOVLIQUOR#1 OPERATIONS 9,20 RUGS 374122 4050517898 5025.6240 CLEANING SERVICE/GARBAGE REMOVLIQUOR#1 OPERATIONS 9.20 305115 5/20/2020 137147 CITY VIEW ELECTRIC INC 1.00 FULL RFND FOR 14985 GLAZIER 374064 20200214 1001.4072 STATE SURTAX COLLECTED GENERAL FUND REVENUE 42.50 FULL RFND FOR 14985 GLAZIER 374064 20200214 1001.4924 ELECTRICAL PERMIT GENERAL FUND REVENUE 43.50 305116 5/20/2020 100510 CORE&MAIN 745.29 CURB BOX REPAIR PARTS 374354 M266472 5330.6229 GENERAL SUPPLIES WTR MAIN/HYDRANT/CURB STOP MNT 745.29 305117 5/20/2020 101329 CUMMINS INC 26.46 CAM SENSOR#4983 374059 E499778 1350.6215 EQUIPMENT-PARTS FIRE VEHICLE MAINTENANCE 212.86 FUEL FILTER KEN WORTH TRUCKS 374060 J21634 1630.6215 EQUIPMENT-PARTS STREET EQUIPMENT MAINTENANCE 239.32 305118 5/20/2020 154949 DAVILA,GONZALO 63.25 UB REFUND 13657 HARMONY WAY 374359 20200515D 5301.4997 WATER/SEWER ACCT REFUNDS WATER&SEWER FUND REVENUE 63.25 305119 5/20/2020 100777 DEX MEDIA EAST LLC R55CKR2 LOGIS101 CITY OF APPLE VALLEY 5/20/2020 13:36:51 Council Check Register by GL Page- 12 Council Check Register by Invoice&Summary 5/4/2020 -- 5/22/2020 Check# Date Amount Supplier/Explanation PO# Doc No Inv No Account No Subledger Account Description Business Unit 305119 5/20/2020 100777 DEX MEDIA EAST LLC Continued... 26.00 WEST METRO AD-MAY 374301 110115110MAY20 5105.6239 PRINTING GOLF MANAGEMENT 26.00 - 305120 5/20/2020 120698 DURAND MANUFACTURING 12.00 METAL REPAIR HYD PULLER 374072 28637 5330.6265 REPAIRS-EQUIPMENT WTR MAIN/HYDRANT/CURB STOP MNT 12.00 305121 5/20/2020 100166 FEDEX 225.68 FEDEX CHARGES 374312 697432394 5115.6424 GOLF FREIGHT ON RESALE MDSE GOLF PRO SHOP 225.68 305122 5/20/2020 100168 FERRELLGAS 201,68 PROPANE FORKLIFT 374081 1111696746 1630.6212 MOTOR FUELS/OILS STREET EQUIPMENT MAINTENANCE 201.68 305123 5/20/2020 118370 FIRST SIGNS OF FIRE,THE 70.50 EQUIPMENT TAGS 374143 S200248 1330.6229 GENERAL SUPPLIES FIRE OPERATIONS 70,50 305124 5/20/2020 154937 FROST,KATE 14.00 REFUND FUN RUN REGISTRATION X2 374300 202005081 1001.4355 COVID-19 RECREATION USER FEES GENERAL FUND REVENUE 14.00 305125 5/20/2020 101328 GOVCONNECTION INC 170,56 WEBCAMS 374077 57710152 1030.6725 COVID-19 CAPITAL OUTLAY-OFFICE EQUIP INFORMATION TECHNOLOGY 162.87 DOCKING STATIONS 374078 57713757 1030.6725 CAPITAL OUTLAY-OFFICE EQUIP INFORMATION TECHNOLOGY 92,84 BLU-RAY WRITER 374136 57717596 1030.6211 SMALL TOOLS&EQUIPMENT INFORMATION TECHNOLOGY 426.27 305126 5/20/2020 100827 GRAPE BEGINNINGS INC 420.00 WINE#2 00032379 374230 78451 5055.6520 WINE LIQUOR#2 STOCK PURCHASES 11.25 FREIGHT#2 00032379 374231 78451 5055,6550 FREIGHT ON RESALE MDSE LIQUOR#2 STOCK PURCHASES 300.00 LIQ#3 00032379 374232 78452 5085.6510 LIQUOR LIQUOR#3 STOCK PURCHASES 64,00 WINE#3 00032379 374233 78452 5085.6520 WINE LIQUOR#3 STOCK PURCHASES 6.75 FREIGHT#3 00032379 374234 78452 5085.6550 FREIGHT ON RESALE MDSE LIQUOR#3 STOCK PURCHASES 72,00- CMWINE#3 00032379 374235 78453 5085.6520 WINE LIQUOR#3 STOCK PURCHASES 420.00 WINE#1 00032379 374229 78675 5015_6520 WINE LIQUOR#1 STOCK PURCHASES 1,150.00 305127 5/20/2020 150543 GROUP HEALTH INC-WORKSITE R55CKR2 LOGIS101 CITY OF APPLE VALLEY 5/20/2020 13:36:51 Council Check Register by GL Page- 13 Council Check Register by Invoice&Summary 5/4/2020 -- 5/22/2020 Check# Date Amount Supplier/Explanation PO# Doc No Inv No Account No Subledger Account Description Business Unit 305127 5/20/2020 150543 GROUP HEALTH INC-WORKSITE Continued... 244.00 EAP EMPLOYEES MARCH 2020 374096 W817085 9000.2115 ACCRUED MEDICAL INSURANCE PAYROLL CLEARING BAL SHEET 244.00 305128 5/20/2020 154947 HAGE,SHELDON 89.25 UB REFUND 15686 DUCK POND WAY 374360 20200515B 5301.4997 WATER/SEWER ACCT REFUNDS WATER&SEWER FUND REVENUE 89,25 305129 5/20/2020 154935 HARRIS,KELSIE 13.00 REFUND LITTLE CHEFS REG 374298 202005075 1001.4351 COVID-19 PRE SCHOOL PROGRAMS GENERAL FUND REVENUE 13.00 305130 5/20/2020 154943 ISD 196 EARLY CHILDHOOD 180.00 REFUND AVCC RENT-SCREENING 374306 202005111 1001,5115 COVID-19 RENTS-APPLE VALLEY COMM CENTER GENERAL FUND REVENUE 180.00 305131 5/20/2020 118232 JOHN DEERE FINANCIAL 27,54 JD MOWER PARTS 374134 P20500 1765.6215 EQUIPMENT-PARTS PARK EQUIPMENT MAINTENANCE 40.22 PARTS FOR 206 374130 P20501 1765.6215 EQUIPMENT-PARTS PARK EQUIPMENT MAINTENANCE Supplier 100608 FRONTIER AG&TURF 67.76 305132 5/20/2020 116371 LOFFLER COMPANIES INC(CONT I 70.00 PRINTER TONER&MAINTENANCE 374296 3381735 1300.6265 REPAIRS-EQUIPMENT FIRE MANAGEMENT 70,00 305133 5/20/2020 100309 MENARDS 23.37 STEP REPAIR SUPPLIES 374123 79150 1930.6229 GENERAL SUPPLIES REDWOOD POOL 28.97 LIGHT BULB REPLACEMENTS 374132 79169 1720.6229 GENERAL SUPPLIES PARK GROUNDS MAINTENANCE 18.99 LIGHT BULB REPLACEMENTS 374133 79175 1720.6229 GENERAL SUPPLIES PARK GROUNDS MAINTENANCE 58,68 CAULK FOR POOL SHELL. 374324 79177 1940.6229 GENERAL SUPPLIES AQUATIC SWIM CENTER 147.92 SALVAGE TARPS 374139 79215 1330.6229 GENERAL SUPPLIES FIRE OPERATIONS 18.99 LIGHT BULB REPLACEMENTS 374137 79274 1720.6229 GENERAL SUPPLIES PARK GROUNDS MAINTENANCE 5,37 DRAIN CAP 374316 79397 1730.6229 GENERAL SUPPLIES PARK BUILDING MAINTENANCE 26.51- GOLF USE TAX 374313 79405 5100.2330 DUE TO OTHER GOVERNMENT GOLF FUND BALANCE SHEET 26.51 GOLF USE TAX 374313 79405 5150.6211 SMALL TOOLS&EQUIPMENT GOLF COURSE MAINTENANCE 385.63 GOLF CHAINSAW,MISC TOOLS 374313 79405 5150.6211 SMALL TOOLS&EQUIPMENT GOLF COURSE MAINTENANCE 20,93 CONTAINERS COVID SHIELDS 374141 79471 1330,6229 COVID-19 GENERAL SUPPLIES FIRE OPERATIONS 3,19- LIQ3 USE TAX 374302 79519 5000.2330 DUE TO OTHER GOVERNMENT LIQUOR BALANCE SHEET 3.19 LIQ3 USE TAX 374302 79519 5095,6229 GENERAL SUPPLIES LIQUOR#3 OPERATIONS 46.46 SOFTENER PELLETS/LIGHT/SILICON 374302 79519 5095,6229 GENERAL SUPPLIES LIQUOR#3 OPERATIONS R55CKR2 LOGIS101 CITY OF APPLE VALLEY 5/20/2020 13:36:51 Council Check Register by GL Page- 14 Council Check Register by Invoice&Summary ' 5/4/2020 -- 5/22/2020 Check# Date Amount Supplier/Explanation PO# Doc No Inv No Account No Subledger Account Description Business Unit 305133 5/2012020 100309 MENARDS Continued... 755.31 305134 5/20/2020 101549 MENARDS-BURNSVILLE 1.77- LIQ USE TAX 374111 31441 5000.2330 COVID-19 DUE TO OTHER GOVERNMENT LIQUOR BALANCE SHEET ,59 LIQ3 USE TAX 374111 31441 5095.6229 COVID-19 GENERAL SUPPLIES LIQUOR#3 OPERATIONS .59 LIQ2 USE TAX 374111 31441 5065.6229 COVID-19 GENERAL SUPPLIES LIQUOR#2 OPERATIONS .59 LIQ1 USE TAX 374111 31441 5025.6229 COVID-19 GENERAL SUPPLIES LIQUOR#1 OPERATIONS 8.58 PROTECTIVE GLOVES FOR STAFF 374111 31441 5095.6229 COVID-19 GENERAL SUPPLIES LIQUOR#3 OPERATIONS 8.58 PROTECTIVE GLOVES FOR STAFF 374111 31441 5065.6229 COVID-19 GENERAL SUPPLIES LIQUOR#2 OPERATIONS 8.58 PROTECTIVE GLOVES FOR STAFF 374111 31441 5025.6229 COVID-19 GENERAL SUPPLIES LIQUOR#1 OPERATIONS 25.74 305135 5/20/2020 154158 MIRACLE RECREATION EQUIPMENT CO 25,210.00 PROJ 2019.15E AVFAC IMPROVEMEN 374114 822813 4002.6740 2019158P CAPITAL OUTLAY-MACH/EQUIP/OTHE MUNICIPAL BUILDINGS 25,210,00 305136 5/20/2020 109947 NEW FRANCE WINE CO 976.00 WINE#3 00041046 374238 157047 5085.6520 WINE LIQUOR#3 STOCK PURCHASES 20.00 FREIGHT#3 00041046 374239 157047 5085.6550 FREIGHT ON RESALE MDSE LIQUOR#3 STOCK PURCHASES 996.00 305137 5/20/2020 154297 NITTI SANITATION 435.05 CH TRASH MAY 374335 30182001MAY20 1060.6240 CLEANING SERVICE/GARBAGE REMOVMUNICIPAL BLDG&GROUNDS MNTC 669,12 CMF TRASH MAY 374333 30182002MAY20 1540.6240 CLEANING SERVICE/GARBAGE REMOVCMF BUILDINGS&GROUNDS MNTC 124.16 FIRE STA 1 TRASH MAY 374332 30182003MAY20 1340,6240 CLEANING SERVICE/GARBAGE REMOVFIRE BLDG&GROUNDS MNTC 34.72 FIRE STA 2 TRASH MAY 374331 30182004MAY20 1340.6240 CLEANING SERVICE/GARBAGE REMOVFIRE BLDG&GROUNDS MNTC 37.06 FIRE STA 3 TRASH MAY 374330 30182005MAY20 1340.6240 CLEANING SERVICE/GARBAGE REMOVFIRE BLDG&GROUNDS MNTC 125.36 LIQ 1 TRASH MAY 374329 30182006MAY20 5025.6240 CLEANING SERVICE/GARBAGE REMOVLIQUOR#1 OPERATIONS 77.06 LIQ 2 TRASH MAY 374328 30182007MAY20 5065.6240 CLEANING SERVICE/GARBAGE REMOVLIQUOR#2 OPERATIONS 37.06 LID 3 TRASH MAY 374350 30182008MAY20 5095,6240 CLEANING SERVICE/GARBAGE REMOVLIQUOR#3 OPERATIONS 99.18 OLD CH TRASH MAY 374349 30182009MAY20 2092.6240 CLEANING SERVICE/GARBAGE EDUCATION BUILDING FUND 217,92 HCSC TRASH MAY 374348 30182010MAY20 1920,6240 CLEANING SERVICE/GARBAGE REMOVSENIOR CENTER 321.66 AVCC TRASH MAY 374348 30182010MAY20 1900.6240 CLEANING SERVICE/GARBAGE REMOVAV COMMUNITY CENTER 163.22 IA2 TRASH MAY 374348 30182010MAY20 5265.6240 CLEANING SERVICE/GARBAGE REMOVARENA 2 BLDG MAINTENANCE-HAYES 173.02 REDWOOD TRASH MAY 374347 30182011MAY20 1730.6240 CLEANING SERVICE/GARBAGE REMOVPARK BUILDING MAINTENANCE 69.73 JC ACTIVITY CTR TRASH MAY 374346 30182013MAY20 1730.6240 CLEANING SERVICE/GARBAGE REMOVPARK BUILDING MAINTENANCE 165.62 JCR PK TRASH MAY 374345 30182014MAY20 1730,6240 CLEANING SERVICE/GARBAGE REMOVPARK BUILDING MAINTENANCE 78.86 QP TRASH MAY 374344 30182015MAY20 1945.6240 CLEANING SERVICE/GARBAGE REMOVQUARRY POINTE 78.86 VM PK TRASH MAY 374343 30182016MAY20 1730,6240 CLEANING SERVICE/GARBAGE REMOVPARK BUILDING MAINTENANCE 1,006.71 GOLF TRASH MAY 374342 30182017MAY20 5145,6240 CLEANING SERVICE/GARBAGE REMOVGOLF SHOP BUILDING MAINTENANCE R55CKR2 LOGIS101 CITY OF APPLE VALLEY 5/20/2020 13:36:51 Council Check Register by GL Page- 15 Council Check Register by Invoice&Summary 5/4/2020 -- 5/22/2020 Check# Date Amount Supplier/Explanation PO# Doc No Inv No Account No Subledger Account Description Business Unit 305137 5/20/2020 154297 NITTI SANITATION Continued... 3,914.37 305138 5/20/2020 122005 NORTHLAND CHEMICAL CO 254.00 HAND SANITIZER 374356 51892 1930,6229 COVID-19 GENERAL SUPPLIES REDWOOD POOL 254.00 305139 5/20/2020 127905 OFFICE OF MN.IT SERVICES 13.90 LANGUAGE LINE-MARCH 374305 W20030578 1200.6237 TELEPHONE/PAGERS POLICE MANAGEMENT 13.90 305140 5/20/2020 100372 PAUSTIS&SONS _ 624.00 WINE#1 00001291 374240 88004 5015,6520 WINE LIQUOR#1 STOCK PURCHASES 8.75 FREIGHT#1 00001291 374241 88004 5015.6550 FREIGHT ON RESALE MDSE LIQUOR#1 STOCK PURCHASES 542.00 WINE#1 00001291 374242 88843 5015.6520 WINE LIQUOR#1 STOCK PURCHASES 6.25 FREIGHT#1 00001291 374243 88843 5015.6550 FREIGHT ON RESALE MDSE LIQUOR#1 STOCK PURCHASES 2,004.00 WINE#3 00001291 374248 88873 5085.6520 WINE LIQUOR#3 STOCK PURCHASES 23.75 FREIGHT#3 00001291 374249 88873 5085.6550 FREIGHT ON RESALE MDSE LIQUOR#3 STOCK PURCHASES 399.00 WINE#1 00001291 374244 89309 5015.6520 WINE LIQUOR#1 STOCK PURCHASES 5.00 FREIGHT#1 00001291 374245 89309 5015.6550 FREIGHT ON RESALE MDSE LIQUOR#1 STOCK PURCHASES 207.00 WINE#2 00001291 374246 89337 5055.6520 WINE LIQUOR#2 STOCK PURCHASES 2.50 FREIGHT#2 00001291 374247 89337 5055.6550 FREIGHT ON RESALE MDSE LIQUOR#2 STOCK PURCHASES 455,00 WINE#3 00001291 374250 89449 5085,6520 WINE LIQUOR#3 STOCK PURCHASES 7.50 FREIGHT#3 00001291 374251 89449 5085.6550 FREIGHT ON RESALE MDSE LIQUOR#3 STOCK PURCHASES 4,284.75 305141 5/20/2020 150643 RUE 38 440.00 WINE#3 00052178 374252 8166 5085.6520 WINE LIQUOR#3 STOCK PURCHASES 7.50 FREIGHT#3 00052178 374253 8166 5085,6550 FREIGHT ON RESALE MDSE LIQUOR#3 STOCK PURCHASES 447.50 305142 5/20/2020 154936 SAMUELS,PAULINE 39.00 REFUND TOTS DAY OF FUN REG 374299 202005076 1001.4351 COVID-19 PRE SCHOOL PROGRAMS GENERAL FUND REVENUE 260.00 REFUND TOTS DAY-SOCCER REG 374309 202005154 1001.4351 COVID-19 PRE SCHOOL PROGRAMS GENERAL FUND REVENUE 299.00 305143 5/20/2020 154940 SCOTT,ERIC 7.00 REFUND FUN RUN REGISTRATION X1 374293 202005083 1001,4355 COVID-19 RECREATION USER FEES GENERAL FUND REVENUE 7.00 305144 5/20/2020 111161 SHRED IT USA LLC R55CKR2 LOGIS101 CITY OF APPLE VALLEY 5/20/2020 13:36:51 Council Check Register by GL Page- 16 Council Check Register by Invoice&Summary 5/4/2020 -- 5/22/2020 Check# Date Amount Supplier/Explanation PO# Doc No Inv No Account No Subledger Account Description Business Unit 305144 5/20/2020 111161 SHRED IT USA LLC Continued... 155.05 SHREDDING SERVICE 374061 8129651433 1250.6240 CLEANING SERVICE/GARBAGE REMOVPOLICE FACILITY 155.05 305145 5/20/2020 101342 THOMSON REUTERS-WEST 300.59 BACKGROUND CHECKS-APRIL 374322 842270602 1215.6249 OTHER CONTRACTUAL SERVICES POLICE DETECTIVE UNIT 300.59 305146 5/20/2020 101587 TWIN CITY WATER CLINIC INC 250,00 WATER TESTING 374082 14436 4502,6810 2019108R CONSTRUCTION IN PROGRESS IMPROVEMENTS-ASSESSED 250,00 305147 5/20/2020 154939 UNTEN,BETH 28.00 REFUND FUN RUN REGISTRATION X4 374292 202005082 1001.4355 COVID-19 RECREATION USER FEES GENERAL FUND REVENUE 28.00 305148 5/20/2020 100631 VERIZON WIRELESS 2,721.74 CELL SERVICE 374062 9853753420 1200.6237 TELEPHONE/PAGERS POLICE MANAGEMENT 40.01 PW WIRELESS DATA 374338 9853946420 1500.6237 TELEPHONE/PAGERS PW MANAGEMENT 40.01 PK WIRELESS DATA 374338 9853946420 1710.6237 TELEPHONE/PAGERS PARK MAINTENANCE MANAGEMENT 40.01 IT WIRELESS DATA 374338 9853946420 1030,6237 TELEPHONE/PAGERS INFORMATION TECHNOLOGY 42.53 HCSC CELL PHONE MAY 374338 9853946420 1920.6237 TELEPHONE/PAGERS SENIOR CENTER 42.53 PK CELL PHONE MAY 374338 9853946420 1710.6237 TELEPHONE/PAGERS PARK MAINTENANCE MANAGEMENT 42.53 SHOP CELL PHONE MAY 374338 9853946420 1530.6237 TELEPHONE/PAGERS FLEET&BUILDINGS-CMF 85.06 ADM CELL PHONE MAY 374338 9853946420 1010.6237 TELEPHONE/PAGERS ADMINISTRATION 93.60 CODE CELL PHONE MAY 374338 9853946420 1013.6237 TELEPHONE/PAGERS CODE ENFORCEMENT 160.04 ENG WIRELESS DATA 374338 9853946420 1510.6237 TELEPHONE/PAGERS PW ENGINEERING&TECHNICAL 162.59 STR CELL PHONE MAY 374338 9853946420 1600.6237 TELEPHONE/PAGERS STREET MANAGEMENT 170.12 INSP CELL PHONE MAY 374338 9853946420 1400,6237 TELEPHONE/PAGERS INSPECTIONS MANAGEMENT 189.42 ENG CELL PHONE MAY 374338 9853946420 1510.6237 TELEPHONE/PAGERS PW ENGINEERING&TECHNICAL 200.05 INSP WIRELESS DATA 374338 9853946420 1400.6237 TELEPHONE/PAGERS INSPECTIONS MANAGEMENT 245.57 FIRE CELL PHONE MAY 374338 9853946420 1330,6237 TELEPHONE/PAGERS FIRE OPERATIONS 400.10 REC WIRELESS DATA 374338 9853946420 1700.6237 TELEPHONE/PAGERS PARK&RECREATION MANAGEMENT 520.13 FIRE WIRELESS DATA 374338 9853946420 1330.6237 TELEPHONE/PAGERS FIRE OPERATIONS 587,12 REC CELL PHONE MAY 374338 9853946420 1700.6237 TELEPHONE/PAGERS PARK&RECREATION MANAGEMENT 640.16 STR WIRELESS DATA 374338 9853946420 1600.6237 TELEPHONE/PAGERS STREET MANAGEMENT 1,320.49 POL WIRELESS DATA 374338 9853946420 1205,6237 TELEPHONE/PAGERS POLICE RECORDS UNIT 40.01 GOLF WIRELESS DATA 374338 9853946420 5105.6237 TELEPHONE/PAGERS GOLF MANAGEMENT 21.26 UTIL ON-CALL CELL PHONE MAY 374338 9853946420 5365.6237 TELEPHONE/PAGERS SEWER MGMT/REPORTS/DATA ENTRY 21.27 UTIL ON-CALL CELL PHONE MAY 374338 9853946420 5305.6237 TELEPHONE/PAGERS WATER MGMT/REPORT/DATA ENTRY 93.60 UTIL CELL PHONE MAY 374338 9853946420 5365.6237 TELEPHONE/PAGERS SEWER MGMT/REPORTS/DATA ENTRY R55CKR2 LOGIS101 CITY OF APPLE VALLEY 5/20/2020 13:36:51 Council Check Register by GL Page- 17 Council Check Register by Invoice&Summary 5/4/2020 -- 5/22/2020 Check# Date Amount Supplier/Explanation PO# Doc No Inv No Account No Subledger Account Description Business Unit 305148 5/20/2020 100631 VERIZON WIRELESS Continued... 127.59 UTIL CELL PHONE MAY 374338 9853946420 5305.6237 TELEPHONE/PAGERS WATER MGMT/REPORT/DATA ENTRY 635.61 UTIL WIRELESS DATA 374338 9853946420 5305.6237 TELEPHONE/PAGERS WATER MGMT/REPORT/DATA ENTRY 40.01 STORM WIRELESS DATA 374338 9853946420 5505.6237 TELEPHONE/PAGERS STORM DRAIN MNTC/RPR/SUMPS 127.59 STORM CELL PHONE MAY 374338 9853946420 5505.6237 TELEPHONE/PAGERS STORM DRAIN MNTC/RPR/SUMPS 80,02 IA1 WIRELESS DATA(PADS 374337 9853946421 5250.6237 TELEPHONE/PAGERS ARENA 1 CONCESSIONS 40,01 UTIL WIRELESS DATA(PADS 374337 9853946421 5305.6237 TELEPHONE/PAGERS WATER MGMT/REPORT/DATA ENTRY 8,970.78 305149 5/20/2020 154948 WENSMANN,DEBRA 200.00 UB REFUND 4796 159TH ST W 374361 20200515C 5301.4997 WATER/SEWER ACCT REFUNDS WATER&SEWER FUND REVENUE 200.00 305150 5/20/2020 100521 WINE MERCHANTS 288,00 WINE#3 00022992 374283 7282772 5085.6520 WINE LIQUOR#3 STOCK PURCHASES 936.00 WINE#2 00022992 374282 7282773 5055.6520 WINE LIQUOR#2 STOCK PURCHASES 600.00 WINE#3 00022992 374284 7282774 5085.6520 WINE LIQUOR#3 STOCK PURCHASES 880.00 WINE#3 00022992 374285 7283449 5085.6520 WINE LIQUOR#3 STOCK PURCHASES 120.00 WINE#1 00022992 374281 7284122 5015.6520 WINE LIQUOR#1 STOCK PURCHASES 888.00 WINE#3 00022992 374286 7284123 5085,6520 WINE LIQUOR#3 STOCK PURCHASES 3,712,00 305151 5/20/2020 108865 WINFIELD SOLUTIONS,LLC 250.09 CHEMICALS FOR GOLF COURSE 374310 63787354 5150.6214 CHEMICALS GOLF COURSE MAINTENANCE 250.09 305152 5/20/2020 100363 XCEL ENERGY 134.69 STREET LIGHTS ELECTRIC 374058 5168727942MAY20 5805.6545 NON-TAXABLE MISC FOR RESALE STREET LIGHT UTILITY FUND 134.69 20200513 5/15/2020 148015 EMPOWER 810.00 MNDCP-457 CONTRIBUTIONS 374002 513208162013 9000.2120 ACCRUED BENEFIT LIABILITY PAYROLL CLEARING BAL SHEET 810.00 20200514 5/15/2020 151439 EMPOWER 200 00 MNDCP-ROTH 457 CONTRIBUTIONS 374005 513208162016 9000,2120 ACCRUED BENEFIT LIABILITY PAYROLL CLEARING BAL SHEET 200.00 20200515 5/15/2020 148869 EMPOWER(HCSP) 308.93 SERGEANT HCSP FUNDING GROSS WA 374004 513208162015 9000.2120 ACCRUED BENEFIT LIABILITY PAYROLL CLEARING BAL SHEET 846.42 ADMIN HCSP FUNDING-GROSS WAGES 374004 513208162015 9000.2120 ACCRUED BENEFIT LIABILITY PAYROLL CLEARING BAL SHEET R55CKR2 LOGIS101 CITY OF APPLE VALLEY 5/20/2020 13:36:51 Council Check Register by GL Page- 18 Council Check Register by Invoice&Summary 5/4/2020 -- 5/22/2020 Check# Date Amount Supplier/Explanation PO# Doc No Inv No Account No Subledger Account Description Business Unit 20200515 5/1512020 148869 EMPOWER(HCSP) Continued... 1,300.07 POLICE HCSP FUNDING-GROSS WAGE 374004 513208162015 9000.2120 ACCRUED BENEFIT LIABILITY PAYROLL CLEARING BAL SHEET 1,958,52 HCSP FUNDING-ANN LV/COMP 374004 513208162015 9000.2120 ACCRUED BENEFIT LIABILITY PAYROLL CLEARING BAL SHEET 4,413.94 20200516 5/18/2020 102664 US BANK 9,101,69 EMPLOYEE MEDICARE 374014 51320816209 9000.2111 ACCRUED FEDERAL/FICA PAYROLL CLEARING BAL SHEET 9,101.69 CITY SHARE MEDICARE 374014 51320816209 9000.2111 ACCRUED FEDERAL/FICA PAYROLL CLEARING BAL SHEET 26,434.88 CITY SHARE FICA 374014 51320816209 9000.2111 ACCRUED FEDERAL/FICA PAYROLL CLEARING BAL SHEET 26,434.89 EMPLOYEE FICA 374014 51320816209 9000.2111 ACCRUED FEDERAL/FICA PAYROLL CLEARING BAL SHEET 59,808.37 FEDERAL TAXES PR 374014 51320816209 9000.2111 ACCRUED FEDERAL/FICA PAYROLL CLEARING BAL SHEET 130,881.52 20200517 5/15/2020 101238 MINNESOTA CHILD SUPPORT PAYMEN 478,00 CHILD SUPPORT DEDUCTIONS 374011 51320816206 9000.2120 ACCRUED BENEFIT LIABILITY PAYROLL CLEARING BAL SHEET 117.50 CHILD SUPPORT DEDUCTIONS 374012 51320816207 9000.2120 ACCRUED BENEFIT LIABILITY PAYROLL CLEARING BAL SHEET 595,50 20200518 5/18/2020 100657 MN DEPT OF REVENUE 26,704.28 STATE TAX WITHHOLDING 374010 51320816205 9000.2112 ACCRUED STATE W/H PAYROLL CLEARING BAL SHEET 26,704.28 20200519 5/18/2020 100392 PUBLIC EMPLOYEES RETIREMENT AS 52,800.93 EMPLOYEE SHARE PERA 374008 51320816203 9000.2114 ACCRUED PERA PAYROLL CLEARING BAL SHEET 69,634.27 CITY SHARE PERA 374008 51320816203 9000.2114 ACCRUED PERA PAYROLL CLEARING BAL SHEET 122,435.20 20200520 5/1512020 148841 FURTHER 5,406.94 HSA EMPLOYEE FUNDING 374003 513208162014 9000.2125 ACCRUED HSA/HRA BENEFIT PAYROLL CLEARING BAL SHEET 5,406.94 20200521 5/13/2020 148841 FURTHER 180.00 FLEX SPENDING MEDICAL-2020 374098 39427494 9000.2119 ACCRUED FLEX SPENDING PAYROLL CLEARING BAL SHEET 180.00 20200522 5/15/2020 100009 AFSCME COUNCIL#5 1,208.64 UNION DUES 373261 42920823021 9000.2120 ACCRUED BENEFIT LIABILITY PAYROLL CLEARING BAL SHEET 1,208.16 UNION DUES 373998 51320816201 9000.2120 ACCRUED BENEFIT LIABILITY PAYROLL CLEARING BAL SHEET 2,416.80 20200523 5/15/2020 151440 VANTAGEPOINT TRANSFER AGENTS R55CKR2 LOGIS101 CITY OF APPLE VALLEY 5/20/2020 13:36:51 Council Check Register by GL Page- 19 Council Check Register by Invoice&Summary 5/4/2020 -- 5/22/2020 Check# Date Amount Supplier/Explanation PO# Doc No Inv No Account No Subledger Account Description Business Unit 20200523 5/15/2020 151440 VANTAGEPOINT TRANSFER AGENTS Continued... 1,575.50 ROTH 457-PLAN#301171-FIRE TOO 374006 513208162017 9000.2120 ACCRUED BENEFIT LIABILITY PAYROLL CLEARING BAL SHEET 1,575.50 20200524 5/15/2020 100240 VANTAGEPOINT TRANSFER AGENTS-457 FT 26,074.90 ICMA-PLAN#301171-FIRE TOO 374007 51320816202 9000.2120 ACCRUED BENEFIT LIABILITY PAYROLL CLEARING BAL SHEET 26,074.90 20200525 5/15/2020 126459 VANTAGEPOINT TRANSFER AGENTS-ROTH _ 3,568.05 ROTH IRA-PLAN#705481 374000 513208162011 9000.2120 ACCRUED BENEFIT LIABILITY PAYROLL CLEARING BAL SHEET 3,568.05 20200526 5/11/2020 100873 HEALTHPARTNERS(DENTAL CLAIMS 89.48 DENTAL CLAIMS 4/30-5/6/20 374144 20200506 7105.6146 DENTAL INSURANCE INSURANCE TRUST DENTAL 89.48 20200527 5/4/2020 100873 HEALTHPARTNERS(DENTAL CLAIMS 110.20 DENTAL CLAIMS 4/23-4/29/20 374145 20200429 7105.6146 DENTAL INSURANCE INSURANCE TRUST DENTAL 110.20 20200528 5/14/2020 101671 MN DEPT OF REVENUE 25.08 DIESEL TAX-TRAFFIC SIGNS 374146 20200514 1680.6212 MOTOR FUELS/OILS TRAFFIC SIGNS/SIGNALS/MARKERS 41.80 DIESEL TAX-PARKS 374146 20200514 1765.6212 MOTOR FUELS/OILS PARK EQUIPMENT MAINTENANCE 840.28 DIESEL TAX-STREETS 374146 20200514 1630,6212 MOTOR FUELS/OILS STREET EQUIPMENT MAINTENANCE 23.22 DIESEL TAX-WATER 374146 20200514 5345.6212 MOTOR FUELS/OILS WATER EQUIP/VEHICLE/MISC MNTC 38,63 DIESEL TAX-SEWER 374146 20200514 5390.6212 MOTOR FUELS/OILS SWR EQUIPNEHICLE MISC MNTC/RP 969.01 20200529 5/15/2020 100000 MN DEPT OF REVENUE 903.00- SALES/USE TAX-GENERAL FUND 374147 20200515 1000.2330 DUE TO OTHER GOVERNMENT GENERAL FUND BALANCE SHEET 18.00- SALES/USE TAX-CABLE TV RESERVE 374147 20200515 1000,2330 DUE TO OTHER GOVERNMENT GENERAL FUND BALANCE SHEET 2,061.00 SALES/USE TAX-LIQUOR#2 374147 20200515 5000.2330 DUE TO OTHER GOVERNMENT LIQUOR BALANCE SHEET 21,843.00 SALES/USE TAX-LIQUOR#1 374147 20200515 5000.2330 DUE TO OTHER GOVERNMENT LIQUOR BALANCE SHEET 22,938.00 SALES/USE TAX-LIQUOR#3 374147 20200515 5000.2330 DUE TO OTHER GOVERNMENT LIQUOR BALANCE SHEET 5,097.00 SALES/USE TAX-GOLF 374147 20200515 5100.2330 DUE TO OTHER GOVERNMENT GOLF FUND BALANCE SHEET 1.00- SALES/USE TAX-ARENA 374147 20200515 5200.2330 DUE TO OTHER GOVERNMENT ARENA FUND BALANCE SHEET 1,296.00 SALES/USE TAX-WATER&SWR 374147 20200515 5300.2330 DUE TO OTHER GOVERNMENT WATER&SEWER FUND BAL SHEET 9.00- SALES/USE TAX-STORM DRAIN 374147 20200515 5500.2330 DUE TO OTHER GOVERNMENT STORM DRAIN UTIL BALANCE SHEET 52,304,00 20200530 5/22/2020 102664 US BANK R55CKR2 LOGIS101 CITY OF APPLE VALLEY 5/20/2020 13:36:51 Council Check Register by GL Page- 20 Council Check Register by Invoice&Summary 5/4/2020 -- 5/22/2020 Check# Date Amount Supplier/Explanation PO# Doc No Inv No Account No Subledger Account Description Business Unit 20200530 5/22/2020 102664 US BANK Continued.., 576.04 EMPLOYEE MEDICARE 374104 51920910216 9000.2111 ACCRUED FEDERAL/FICA PAYROLL CLEARING BAL SHEET 576,04 CITY SHARE MEDICARE 374104 51920910216 9000.2111 ACCRUED FEDERAL/FICA PAYROLL CLEARING BAL SHEET 1,841.84 FEDERAL TAXES PR 374104 51920910216 9000.2111 ACCRUED FEDERAL/FICA PAYROLL CLEARING BAL SHEET 2,993.92 20200531 5/21/2020 101238 MINNESOTA CHILD SUPPORT PAYMEN 36.23 CHILD SUPPORT DEDUCTIONS 374103 51920910215 9000,2120 ACCRUED BENEFIT LIABILITY PAYROLL CLEARING BAL SHEET 36.23 20200532 5/22/2020 100657 MN DEPT OF REVENUE 946.67 STATE TAX WITHHOLDING 374102 51920910214 9000,2112 ACCRUED STATE W/H PAYROLL CLEARING BAL SHEET 946.67 20200533 5/18/2020 148841 FURTHER 780.75 FLEX SPENDING DAYCARE-2020 374148 39434811 9000.2119 ACCRUED FLEX SPENDING PAYROLL CLEARING BAL SHEET 780.75 20200534 5/21/2020 100038 APPLE VALLEY FIREFIGHTERS RELI 1,001.47 FIRE RELIEF DUES 374099 51920910211 9000.2120 ACCRUED BENEFIT LIABILITY PAYROLL CLEARING BAL SHEET 1,001,47 20200535 5/21/2020 151440 VANTAGEPOINT TRANSFER AGENTS 200.00 ROTH 457-PLAN#301171-FIRE TOO 374105 51920910217 9000.2120 ACCRUED BENEFIT LIABILITY PAYROLL CLEARING BAL SHEET 200.00 20200536 5/21/2020 100240 VANTAGEPOINT TRANSFER AGENTS-457 FT 275,00 ICMA-PLAN#301171-FIRE TOO 374100 51920910212 9000.2120 ACCRUED BENEFIT LIABILITY PAYROLL CLEARING BAL SHEET 275.00 20200537 5/21/2020 100241 VANTAGEPOINT TRANSFER AGENTS-457 PT 1,892,25 ICMA-PLAN#306561-FIRE ONLY 374101 51920910213 9000,2120 ACCRUED BENEFIT LIABILITY PAYROLL CLEARING BAL SHEET 1,892,25 606,729769 Grand Total Payment Instrument Totals Checks 89,653.08 EFT Payments 386,861.61 A/PACH Payment 130,215.00 Total Payments 606,729,69 R55CKS2 LOGIS100 CITY OF APPLE VALLEY 5/20/2020 13:37:00 Note: Payment amount may not reflect the actual amount due to data sequencing and/or data selection. Council Check Summary Page- 1 5/4/2020 - 5/22/2020 Company Amount 01000 GENERAL FUND 62,262.02 02010 CABLE TV RESERVE FUND 63.79 02025 ROAD ESCROW FUND 15,126.17 02090 PARTNERS IN EDUCATION 99.18 04000 MUNICIPAL BUILDING FUND 25,210.00 04500 CONSTRUCTION PROJECTS 18,812.00 05000 LIQUOR FUND 103,244.79 05100 GOLF FUND 14,674.87 05200 ARENA FUND 592.24 05300 WATER&SEWER FUND 21,601.50 05500 STORM DRAINAGE UTILITY FUND 4,365.31 05800 STREET LIGHT UTIL FUND 326.24 07100 INSURANCE TRUST DENTAL FUND 199.68 07200 RISK MANAGEMENT/INSURANCE FUND 6,321.48 09000 PAYROLL CLEARING FUND 333,830.42 Report Totals 606,729.69 I « ' o R55CKR2 LO 1 CITY OF APPL ,EY 5/28/2 ;47713 Council Check Register by GL Page- 1 Council Check Register by Invoice&Summary 5/20/2020 -- 6/1/2020 Check# Date Amount Supplier/Explanation PO# Doc No Inv No Account No Subledger Account Description Business Unit 21735 5/29/2020 100101 ACE HARDWARE 21.99 WEED KILLER 374767 101310882541 1340.6229 GENERAL SUPPLIES FIRE BLDG&GROUNDS MNTC .40- DISCOUNT 374768 101310882671 1330.6333 GENERAL-CASH DISCOUNTS FIRE OPERATIONS 3.99 LAUNDRY SOAP 374768 101310882671 1330.6229 GENERAL SUPPLIES FIRE OPERATIONS .77- DISCOUNT 374585 101360881751 1730.6333 GENERAL-CASH DISCOUNTS PARK BUILDING MAINTENANCE 7.79 FLOOR DRAIN COVER,BOLTS 374585 101360881751 1730.6229 GENERAL SUPPLIES PARK BUILDING MAINTENANCE 3.00- DISCOUNT 374765 101360882181 1900.6333 GENERAL-CASH DISCOUNTS AV COMMUNITY CENTER 29.98 PAINT 374765 101360882181 1900.6229 GENERAL SUPPLIES AV COMMUNITY CENTER 5.75- DISCOUNT 374438 101380881361 1920.6333 GENERAL-CASH DISCOUNTS SENIOR CENTER 40.56 HCSC FERTILIZER,SOIL 374438 101380881361 1920.6229 GENERAL SUPPLIES SENIOR CENTER 49.99 HCSC HOSE REEL 374438 101380881361 1920.6211 SMALL TOOLS&EQUIPMENT SENIOR CENTER .60- DISCOUNT 374766 101380881761 1920.6333 GENERAL-CASH DISCOUNTS SENIOR CENTER 6.00 NUTS/BOLTS 374766 101380881761 1920.6229 GENERAL SUPPLIES SENIOR CENTER 1.19- DISCOUNT 374584 101400881151 5345.6333 GENERAL-CASH DISCOUNTS WATER EQUIPNEHICLE/MISC MNTC 11.99 DRILL BITS 374584 101400881151 5345.6211 SMALL TOOLS&EQUIPMENT WATER EQUIPNEHICLE/MISC MNTC 2.09- DISCOUNT 374572 101400881321 5320.6333 GENERAL-CASH DISCOUNTS WATER WELL/BOOSTER STN MNT/RPR 20.99 WELL ENCLOSURE 11 FASTNERS 374572 101400881321 5320.6229 GENERAL SUPPLIES WATER WELL/BOOSTER STN MNT/RPR 179.48 21736 5/29/2020 150442 ADVANCED ENGINEERING&ENVIRO 99.50 WELLHEAD PLAN UPDATE 374522 68345 5305.6235 2019140W CONSULTANT SERVICES WATER MGMT/REPORT/DATA ENTRY 199.00 WATER MODELING 374441 P050472018001 4502.6235 2019139G CONSULTANT SERVICES IMPROVEMENTS-ASSESSED 298.50 21737 5/29/2020 153092 ADVANCED SYSTEMS INTEGRATION 929.37 MC LOWER LEVEL VIDEO MOUNTS 374550 1599 4002.6740 2019157G CAPITAL OUTLAY-MACH/EQUIP/OTHE MUNICIPAL BUILDINGS 929.37 21738 5/29/2020 100054 BAUER BUILT INC 419.94 MOWER TIRES#335,#349 374556 180261384 1630.6215 EQUIPMENT-PARTS STREET EQUIPMENT MAINTENANCE 103.50 TIRE MOUNTING#322 374413 518000926 1630.6265 REPAIRS-EQUIPMENT STREET EQUIPMENT MAINTENANCE 560.00 STEER TIRES#322 374413 518000926 1630.6216 VEHICLES-TIRES/BATTERIES STREET EQUIPMENT MAINTENANCE 75.95 TIRE REPAIR#305 374423 518001586 1630.6265 REPAIRS-EQUIPMENT STREET EQUIPMENT MAINTENANCE 1,159.39 21739 5/29/2020 142897 BOLTON&MENK,INC. 3,506.50 FEASIBILITY REPORT 374397 249103 4502.6235 2019139G CONSULTANT SERVICES IMPROVEMENTS-ASSESSED 3,506,50 21740 5/29/2020 121014 BUCKEYE CLEANING CENTER 192.93 HAND SANITIZER REFILL SOLUTION 374538 90217957 1930.6229 COVID-19 GENERAL SUPPLIES REDWOOD POOL R55CKR2 LOGIS101 CITY OF APPLE VALLEY 5/28/2020 10:47:13 Council Check Register by GL Page- 2 Council Check Register by Invoice&Summary 5/20/2020 -- 6/1/2020 Check# Date Amount Supplier/Explanation PO# Doc No Inv No Account No Subledger Account Description Business Unit 21740 5/29/2020 121014 BUCKEYE CLEANING CENTER Continued... 385.86 HAND SANITIZER REFILL SOLUTION 374538 90217957 1540.6229 COVID-19 GENERAL SUPPLIES CMF BUILDINGS&GROUNDS MNTC 385.86 HAND SANITIZER REFILL SOLUTION 374538 90217957 1060.6229 COVID-19 GENERAL SUPPLIES MUNICIPAL BLDG&GROUNDS MNTC 13.26- LIQ USE TAX 374538 90217957 5000.2330 COVID-19 DUE TO OTHER GOVERNMENT LIQUOR BALANCE SHEET 4.42 LIQ3 USE TAX 374538 90217957 5095.6229 COVID-19 GENERAL SUPPLIES LIQUOR#3 OPERATIONS 4.42 LIQ2 USE TAX 374538 90217957 5065,6229 COVID-19 GENERAL SUPPLIES LIQUOR#2 OPERATIONS 4.42 LIQ1 USE TAX 374538 90217957 5025.6229 COVID-19 GENERAL SUPPLIES LIQUOR#1 OPERATIONS 64.31 HAND SANITIZER REFILL SOLUTION 374538 90217957 5095.6229 COVID-19 GENERAL SUPPLIES LIQUOR#3 OPERATIONS 64.31 HAND SANITIZER REFILL SOLUTION 374538 90217957 5065.6229 COVID-19 GENERAL SUPPLIES LIQUOR#2 OPERATIONS 64.31 HAND SANITIZER REFILL SOLUTION 374538 90217957 5025.6229 COVID-19 GENERAL SUPPLIES LIQUOR#1 OPERATIONS 448.80 HAND SANITIZER 374534 90217958 1540.6229 COVID-19 GENERAL SUPPLIES CMF BUILDINGS&GROUNDS MNTC 448.80 HAND SANITIZER 374534 90217958 1015.6229 COVID-19 GENERAL SUPPLIES CITY CLERK/ELECTIONS 436.80 HAND SANITIZER 374529 90217959 1900.6229 COVID-19 GENERAL SUPPLIES AV COMMUNITY CENTER 2,491.98 21741 5/29/2020 101562 CDW GOVERNMENT INC 3,319.92 LAPTOP COMPUTERS(4) 374394 XRL6652 1030.6725 COVID-19 CAPITAL OUTLAY-OFFICE EQUIP INFORMATION TECHNOLOGY 875.83 AC DELCO LAP TOP SCAN TOOL. 374400 XRS0859 1530.6211 SMALL TOOLS&EQUIPMENT FLEET&BUILDINGS-CMF 4.195.75 21742 5/29/2020 101431 COMMUNITY HEALTH CHARITIES 72.50 CHARITABLE GIVING 374595 527201019275 9000.2120 ACCRUED BENEFIT LIABILITY PAYROLL CLEARING BAL SHEET 72.50 21743 5/29/2020 100128 DAKOTA ELECTRIC ASSOCIATION 43.14 SIGNAL 140TH/GARDENVIEW MAY 374463 200003037769MAY 5805.6255 UTILITIES-ELECTRIC STREET LIGHT UTILITY FUND 20 34.46 SIGNAL 140TH/HAYES MAY 374464 200003037777MAY 5805.6255 UTILITIES-ELECTRIC STREET LIGHT UTILITY FUND 20 10.51 HEYWOOD CT SPEED SIGN MAY 374465 200003855137MAY 1210.6255 UTILITIES-ELECTRIC POLICE FIELD OPERATIONS/PATROL 20 15.73 GARDENVIEW DR PK SHLTR MAY 374466 200004331096MAY 1730.6255 UTILITIES-ELECTRIC PARK BUILDING MAINTENANCE 20 23.31 REDWOOD PKS RESTROOM MAY 374467 200004514691MAY 1730,6255 UTILITIES-ELECTRIC PARK BUILDING MAINTENANCE 20 5.15 CD SIREN-PILOT KNOB#394930-2 374561 200010000089MAY 1290.6255 UTILITIES-ELECTRIC CIVIL DEFENSE MANAGEMENT 20 5.25 CD SIREN-CMF#2010767 374561 200010000089MAY 1290.6255 UTILITIES-ELECTRIC CIVIL DEFENSE MANAGEMENT 20 5.25 CD SIREN-HUNTINGTON#2010775 374561 200010000089MAY 1290.6255 UTILITIES-ELECTRIC CIVIL DEFENSE^"ANAGEMENT 20 R55CKR2 LO CITY OFAPPLI _ Y 5/28/2i i;47:13 Council Check Register by GL Page- 3 Council Check Register by Invoice&Summary 5/20/2020 -- 6/1/2020 Check# Date Amount Supplier/Explanation PO# Doc No Inv No Account No Subledger Account Description Business Unit 21743 5/29/2020 100128 DAKOTA ELECTRIC ASSOCIATION Continued... 5.25 CD SIREN-DELANEY#2010783 374561 200010000089MAY 1290.6255 UTILITIES-ELECTRIC CIVIL DEFENSE MANAGEMENT 20 5.25 CD SIREN-DUCHESS#2010791 374561 200010000089MAY 1290.6255 UTILITIES-ELECTRIC CIVIL DEFENSE MANAGEMENT 20 5.25 CD SIREN-GALAXIE&42#2010809 374561 200010000089MAY 1290.6255 UTILITIES-ELECTRIC CIVIL DEFENSE MANAGEMENT 20 5,25 CD SIREN-CED KNOLLS#2010817 374561 200010000089MAY 1290.6255 UTILITIES-ELECTRIC CIVIL DEFENSE MANAGEMENT 20 5.25 CD SIREN-WILDWOOD#2010825 374561 200010000089MAY 1290.6255 UTILITIES-ELECTRIC CIVIL DEFENSE MANAGEMENT 20 5.25 CD SIREN-CHAPARRAL#2010833 374561 200010000089MAY 1290.6255 UTILITIES-ELECTRIC CIVIL DEFENSE MANAGEMENT 20 10.51 GARDNVW DR-SL SIGN#379233-0 374561 200010000089MAY 1210,6255 UTILITIES-ELECTRIC POLICE FIELD OPERATIONS/PATROL 20 15.12 EASTVIEW PRESS BOX#2079408 374561 200010000089MAY 1730.6255 UTILITIES-ELECTRIC PARK BUILDING MAINTENANCE 20 15.12 PK-BELMT PD AER/FOUNT#325093-3 374561 200010000089MAY 1720.6255 UTILITIES-ELECTRIC PARK GROUNDS MAINTENANCE 20 15.12 SCOTT TENNIS LTS#1804079 374561 200010000089MAY 1745.6255 UTILITIES-ELECTRIC PARK CRT/GAME AREA MAINTENANCE 20 15.48 HAGEMEISTER TENNIS LTS#1804087 374561 200010000089MAY 1745.6255 UTILITIES-ELECTRIC PARK CRT/GAME AREA MAINTENANCE 20 16.10 FOUNDER PK LT#366449-7 374561 200010000089MAY 1740.6255 UTILITIES-ELECTRIC PARK SIDEWALK/PATH MAINTENANCE 20 16.83 LEGION FLD PRESS BX#310081-5 374561 200010000089MAY 1730.6255 UTILITIES-ELECTRIC PARK BUILDING MAINTENANCE 20 17.69 ALIMAGNET PK RESTRM#144117-9 374561 200010000089MAY 1730.6255 UTILITIES-ELECTRIC PARK BUILDING MAINTENANCE 20 24.30 SALT BLDG#310219-1 374561 200010000089MAY 1540.6255 UTILITIES-ELECTRIC CMF BUILDINGS&GROUNDS MNTC 20 27.47 KELLEY PD PK/SPKLR#405066-2 374561 200010000089MAY 1720.6255 UTILITIES-ELECTRIC PARK GROUNDS MAINTENANCE 20 32.01 GALAXIE PK WMHSE#481583-3 374561 200010000089MAY 1730.6255 UTILITIES-ELECTRIC PARK BUILDING MAINTENANCE 20 33.97 HUNTINGTON PK SHLTR#2014926 374561 200010000089MAY 1730.6255 UTILITIES-ELECTRIC PARK BUILDING MAINTENANCE 20 41.76 COBBLESTONE PAVILLION 374561 200010000089MAY 1730.6255 UTILITIES-ELECTRIC PARK BUILDING MAINTENANCE 20 45.10 AV EAST PK WMHSE#2148484 374561 200010000089MAY 1730.6255 UTILITIES-ELECTRIC PARK BUILDING MAINTENANCE R55CKR2 LOGIS101 CITY OF APPLE VALLEY 5/28/2020 10:47:13 Council Check Register by GL Page- 4 Council Check Register by Invoice&Summary 5/20/2020 -- 6/1/2020 Check# Date Amount Supplier/Explanation PO# Doc No Inv No Account No Subledger Account Description Business Unit 21743 5/29/2020 100128 DAKOTA ELECTRIC ASSOCIATION Continued... 20 51.31 PW RADIO EQUIP#215383-1 374561 200010000089MAY 1540.6255 UTILITIES-ELECTRIC CMF BUILDINGS&GROUNDS MNTC 20 60.39 HAGEMEISTER PK SHLTR#151256-5 374561 200010000089MAY 1730.6255 UTILITIES-ELECTRIC PARK BUILDING MAINTENANCE 20 62.60 PARK HS#4 FIELDS#224529-8 374561 200010000089MAY 1780.6255 UTILITIES-ELECTRIC PARK HIGH SCHOOL#4 FIELDS 20 65.22 DELANEY PK SHLTR#151247-4 374561 200010000089MAY 1730.6255 UTILITIES-ELECTRIC PARK BUILDING MAINTENANCE 20 67.75 FARQ PK RESTROOMS#1617653 374561 200010000089MAY 1730,6255 UTILITIES-ELECTRIC PARK BUILDING MAINTENANCE 20 71.31 VALLEY MID PK SHLTR#1247824 374561 200010000089MAY 1730.6255 UTILITIES-ELECTRIC PARK BUILDING MAINTENANCE 20 163.59 REDWOOD/POOL#108328-6 374561 200010000089MAY 1730.6255 UTILITIES-ELECTRIC PARK BUILDING MAINTENANCE 20 169.83 CMF STORAGE#2009652 374561 200010000089MAY 1540.6255 UTILITIES-ELECTRIC CMF BUILDINGS&GROUNDS MNTC 20 186.14 AVFAC EXPANSION#443065-8 374561 200010000089MAY 1940.6255 UTILITIES-ELECTRIC AQUATIC SWIM CENTER 20 194,63 AQUATIC CENTER#273061-2 374561 200010000089MAY 1940.6255 UTILITIES-ELECTRIC AQUATIC SWIM CENTER 20 199.20 FIRE STATION#3#146046-8 374561 200010000089MAY 1340.6255 UTILITIES-ELECTRIC FIRE BLDG&GROUNDS MNTC 20 275.45 FIRE STATION#2#145450-3 374561 200010000089MAY 1340.6255 UTILITIES-ELECTRIC FIRE BLDG&GROUNDS MNTC 20 621.21 EASTVIEW-HIGHLAND#1889047 374561 200010000089MAY 1715.6255 UTILITIES-ELECTRIC PARK ATHLETIC FIELD MAINTENANC 20 651.22 TEEN CENTER#268335-7 374561 200010000089MAY 1730.6255 UTILITIES-ELECTRIC PARK BUILDING MAINTENANCE 20 782.93 FIRE STATION#1#111343-0 374561 200010000089MAY 1340.6255 UTILITIES-ELECTRIC FIRE BLDG&GROUNDS MNTC 20 910.71 QUARRY PT ATHLCPLX#456933-1 374561 200010000089MAY 1715.6255 UTILITIES-ELECTRIC PARK ATHLETIC FIELD MAINTENANC 20 1,022.05 HAYES COMM&SR CTR#451229-9 374561 200010000089MAY 1920.6255 UTILITIES-ELECTRIC SENIOR CENTER 20 1,327.33 PARK PATHWAY LTS#2053296 374561 200010000089MAY 1740.6255 UTILITIES-ELECTRIC PARK SIDEWALK/PATH MAINTENANCE 20 1,430.15 AV COMM CTR#1883305 374561 200010000089MAY 1900.6255 UTILITIES-ELECTRIC AV COMMUNITY CENTER 20 R55CKR2 LC. I CITY OF APPL 'EY 5/28/2 47:13 Council Check Register by GL Page- 5 Council Check Register by Invoice&Summary 5/20/2020 -- 6/1/2020 Check# Date Amount Supplier/Explanation PO# Doc No Inv No Account No Subledger Account Description Business Unit 21743 5/29/2020 100128 DAKOTA ELECTRIC ASSOCIATION Continued... 1,977,83 CENTRAL MAINT FAC#511870-8 374561 200010000089MAY 1540.6255 UTILITIES-ELECTRIC CMF BUILDINGS&GROUNDS MNTC 20 3,572.53 MUNICIPAL CENTER#288247-0 374561 200010000089MAY 1060.6255 UTILITIES-ELECTRIC MUNICIPAL BLDG&GROUNDS MNTC 20 931.47 OLD CITY HALL#517541-9 374561 200010000089MAY 2092.6255 UTILITIES-ELECTRIC EDUCATION BUILDING FUND 20 64.57 CENTRAL VILLAGE P-LOT 374561 200010000089MAY 2097.6255 UTILITIES-ELECTRIC CENTRAL VILLAGE PARKING LOT 20 417.27 LIQUOR STORE 2#138678-8 374561 200010000089MAY 5065.6255 UTILITIES-ELECTRIC LIQUOR#2 OPERATIONS 20 933.83 LIQUOR STORE 1#145003-0 374561 200010000089MAY 5025.6255 UTILITIES-ELECTRIC LIQUOR#1 OPERATIONS 20 1,773.16 LIQUOR STORE 3#444140-8 374561 200010000089MAY 5095.6255 UTILITIES-ELECTRIC LIQUOR#3 OPERATIONS 20 215.29 VLLYWD GOLF SPRINK-134893-7 374561 200010000089MAY 5150.6255 UTILITIES-ELECTRIC GOLF COURSE MAINTENANCE 20 615.70 ICE ARENA#1#136723-4 374561 200010000089MAY 5210.6255 UTILITIES-ELECTRIC ARENA 1 BUILDING MAINTENANCE 20 1,109.44 HAYES PK ICE ARENA#222230-5 374561 200010000089MAY 5265.6255 UTILITIES-ELECTRIC ARENA2 BLDG MAINTENANCE-HAYES 20 15.12 LIFT STN 5 WHITNEY#1116599 374561 200010000089MAY 5380.6255 UTILITIES-ELECTRIC SEWER LIFT STN REPAIR&MNTC 20 15.12 PUMPHOUSE 15#2121093 374561 200010000089MAY 5320.6255 UTILITIES-ELECTRIC WATER WELL/BOOSTER STN MNT/RPR 20 17.56 HERALD WY PRESS STN#103686-2 374561 200010000089MAY 5320.6255 UTILITIES-ELECTRIC WATER WELL/BOOSTER STN MNT/RPR 20 18.38 PALOMINO RESERVOIR#103546-8 374561 200010000089MAY 5320.6255 UTILITIES-ELECTRIC WATER WELL/BOOSTER STN MNT/RPR 20 31.03 WTRTWR RESERV-LONGRDG#144881- 374561 200010000089MAY 5320.6255 UTILITIES-ELECTRIC WATER WELL/BOOSTER STN MNT/RPR 20 34.95 PUMPHOUSE#5#135486-9 374561 200010000089MAY 5320.6255 UTILITIES-ELECTRIC WATER WELUBOOSTER STN MNT/RPR 20 47.79 LS 7 HERITAGE HILLS#144109-6 374561 200010000089MAY 5380.6255 UTILITIES-ELECTRIC SEWER LIFT STN REPAIR&MNTC 20 51.47 LS 10 NORDIC WOODS#1830835 374561 200010000089MAY 5380.6255 UTILITIES-ELECTRIC SEWER LIFT STN REPAIR&MNTC 20 52.69 LS 11-HIGHLAND PT CT#2021699 374561 200010000089MAY 5380.6255 UTILITIES-ELECTRIC SEWER LIFT SIN REPAIR&MNTC 20 96.38 PUMPHOUSE#2#108018-3 374561 200010000089MAY 5320.6255 UTILITIES-ELECTRIC WATER WELL/BOOSTER STN MNT/RPR R55CKR2 LOGIS101 CITY OF APPLE VALLEY 5/28/2020 10:47:13 Council Check Register by GL Page- 6 Council Check Register by Invoice&Summary 5/20/2020 -- 6/1/2020 Check# Date Amount Supplier/Explanation PO# Doc No Inv No Account No Subledger Account Description Business Unit 21743 5/29/2020 100128 DAKOTA ELECTRIC ASSOCIATION Continued... 20 96.39 PUMPHOUSE#1#106890-7 374561 200010000089MAY 5320.6255 UTILITIES-ELECTRIC WATER WELL/BOOSTER STN MNT/RPR 20 97.37 PUMPHOUSE 14#2008852 374561 200010000089MAY 5320.6255 UTILITIES-ELECTRIC WATER WELL/BOOSTER STN MNT/RPR 20 97.80 PUMPHOUSE 19#415728-5 374561 200010000089MAY 5320.6255 UTILITIES-ELECTRIC WATER WELL/BOOSTER STN MNT/RPR 20 114.70 PUMPHOUSE 12#2023273 374561 200010000089MAY 5320.6255 UTILITIES-ELECTRIC WATER WELL/BOOSTER STN MNT/RPR 20 128.56 PUMPHOUSE 13#2023265 374561 2D0010000089MAY 5320.6255 UTILITIES-ELECTRIC WATER WELL/BOOSTER STN MNT/RPR 20 131.62 PUMPHOUSE 08#1468404 374561 200010000089MAY 5320.6255 UTILITIES-ELECTRIC WATER WELL/BOOSTER STN MNT/RPR 20 132.62 PUMPHOUSE#3#106099-5 374561 200010000089MAY 5320.6255 UTILITIES-ELECTRIC WATER WELL/BOOSTER STN MNT/RPR 20 135.07 LIFT STN 4 PH LKSHR#1030667 374561 200010000089MAY 5380.6255 UTILITIES-ELECTRIC SEWER LIFT STN REPAIR&MNTC 20 135.44 LS 9 4771 DOMINICA WY#525977- 374561 200010000089MAY 5380.6255 UTILITIES-ELECTRIC SEWER LIFT STN REPAIR&MNTC 20 168,41 PUMPHOUSE 20#484299 374561 200010000089MAY 5320,6255 UTILITIES-ELECTRIC WATER WELL/BOOSTER STN MNT/RPR 20 191.36 PUMPHOUSE#11#174395-4 374561 200010000089MAY 5320.6255 UTILITIES-ELECTRIC WATER WELL/BOOSTER STN MNT/RPR 20 416.82 LFT STN3 133 CHAPARRAL 546943 374561 200010000089MAY 5380.6255 UTILITIES-ELECTRIC SEWER LIFT STN REPAIR&MNTC 20 429.79 AV BOOSTER-NORDIC#138075-7 374561 200010000089MAY 5320,6255 UTILITIES-ELECTRIC WATER WELL/BOOSTER STN MNT/RPR 20 437.33 LIFT#5#580685-6 374561 200010000089MAY 5380.6255 UTILITIES-ELECTRIC SEWER LIFT STN REPAIR&MNTC 20 1,034.08 LIFT STN 1 ELLICE#131715-5 374561 200010000089MAY 5380.6255 UTILITIES-ELECTRIC SEWER LIFT STN REPAIR&MNTC 20 1.219.96 PUMPHOUSE#4#121151-5 374561 200010000089MAY 5320.6255 UTILITIES-ELECTRIC WATER WELL/BOOSTER STN MNT/RPR 20 1,744,74 PUMPHOUSE#10#155867-5 374561 200010000089MAY 5320.6255 UTILITIES-ELECTRIC WATER WELL/BOOSTER STN MNT/RPR 20 1,862.11 PUMPHOUSE 18#1078310 374561 200010000089MAY 5320.6255 UTILITIES-ELECTRIC WATER WELL/BOOSTER STN MNT/RPR 20 2,040.85 PUMPHOUSE 17#307438-2 374561 200010000089MAY 5320.6255 UTILITIES-ELECTRIC WATER WELL/BOOSTER STN MNT/RPR 20 R55CKR2 LO 1 CITYOFAPPL ,EY 5/28/2 47:13 Council Check Register by GL Page- 7 Council Check Register by Invoice&Summary 5/20/2020 -- 6/1/2020 Check# Date Amount Supplier/Explanation PO# Doc No Inv No Account No Subledger Account Description Business Unit 21743 5/29/2020 100128 DAKOTA ELECTRIC ASSOCIATION Continued... 2,205.59 PUMPHOUSE#7#126394-6 374561 200010000089MAY 5320.6255 UTILITIES-ELECTRIC WATER WELL/BOOSTER STN MNT/RPR 20 2,255.07 PUMPHOUSE 09#1526292 374561 200010000089MAY 5320.6255 UTILITIES-ELECTRIC WATER WELL/BOOSTER STN MNT/RPR 20 8,078.54 WTR TREATMENT PLANT#511870-8 374561 200010000089MAY 5325.6255 UTILITIES-ELECTRIC WATER TREATMENT FCLTY MNTC/RPR 20 16.34 LS STM SWR HGHWD#1586924 374561 200010000089MAY 5505.6255 UTILITIES-ELECTRIC STORM DRAIN MNTC/RPR/SUMPS 20 55.63 LS STM SWR-BELMONT PK#2011021 374561 200010000089MAY 5505.6255 UTILITIES-ELECTRIC STORM DRAIN MNTC/RPR/SUMPS 20 79.37 LS STM SWR BRIAR OAKS#1827781 374561 200010000089MAY 5505,6255 UTILITIES-ELECTRIC STORM DRAIN MNTC/RPR/SUMPS 20 149.42 LS STM SWR PENNOCK SHR#135489 374561 200010000089MAY 5505.6255 UTILITIES-ELECTRIC STORM DRAIN MNTC/RPR/SUMPS 20 275,69 LS-WHEATON PONDS#443438-7 374561 200010000089MAY 5505.6255 UTILITIES-ELECTRIC STORM DRAIN MNTC/RPR/SUMPS 20 436.41 LS STM SWR-HANNOVER#19860009 374561 200010000089MAY 5505.6255 UTILITIES-ELECTRIC STORM DRAIN MNTC/RPR/SUMPS 20 827.52 LS STN COBB LK#306511-7 374561 200010000089MAY 5505.6255 UTILITIES-ELECTRIC STORM DRAIN MNTC/RPR/SUMPS 20 1,051.23 LS STM SWR ALIMAGNET#144134-4 374561 200010000089MAY 5505.6255 UTILITIES-ELECTRIC STORM DRAIN MNTC/RPR/SUMPS 20 1,379.82 LS 2 7698 128TH ST W#490873-7 374561 200010000089MAY 5505.6255 UTILITIES-ELECTRIC STORM DRAIN MNTC/RPR/SUMPS 20 2,139.80 LS STM SWR FARQUAR#137184-8 374561 200010000089MAY 5505,6255 UTILITIES-ELECTRIC STORM DRAIN MNTC/RPR/SUMPS 20 44.25 CEMETERY LTS#339637-1 374561 200010000089MAY 5605.6255 UTILITIES-ELECTRIC CEMETERY 20 49.14 CEMETERY LTS FLAGPOLE#318998-2 374561 200010000089MAY 5605.6255 UTILITIES-ELECTRIC CEMETERY 20 28.26 GREENWAY TUNNEL#563183-3 374561 200010000089MAY 5805.6545 NON-TAXABLE MISC FOR RESALE STREET LIGHT UTILITY FUND 20 38.36 SIGNAL-GALAXIE&153RD#3128204 374561 200010000089MAY 5805.6545 NON-TAXABLE MISC FOR RESALE STREET LIGHT UTILITY FUND 20 40.21 SIGNAL-147TH/PENNOCK#103448-7 374561 200010000089MAY 5805.6545 NON-TAXABLE MISC FOR RESALE STREET LIGHT UTILITY FUND 20 40.82 SIGNAL 153RD&CUB#2013084 374561 200010000089MAY 5805,6545 NON-TAXABLE MISC FOR RESALE STREET LIGHT UTILITY FUND 20 40.94 SIGNAL-GALAXIE&140TH#2053858 374561 200010000089MAY 5805.6545 NON-TAXABLE MISC FOR RESALE STREET LIGHT UTILITY FUND R55CKR2 LOGIS101 CITY OF APPLE VALLEY 5/28/2020 10:47:13 Council Check Register by GL Page- 8 Council Check Register by Invoice&Summary 5/20/2020 -- 6/1/2020 Check# Date Amount Supplier/Explanation PO# Doc No Inv No Account No Subledger Account Description Business Unit 21743 5/29/2020 100128 DAKOTA ELECTRIC ASSOCIATION Continued... 20 43.27 SIGNAL-GARRETT&150TH#1802081 374561 200010000089MAY 5805.6545 NON-TAXABLE MISC FOR RESALE STREET LIGHT UTILITY FUND 20 43.39 SIGNAL-14OTH/FLAGSTAFF#2750370 374561 200010000089MAY 5805.6545 NON-TAXABLE MISC FOR RESALE STREET LIGHT UTILITY FUND 20 43.64 SIGNAL-149TH/PENNOCK#103448-7 374561 200010000089MAY 5805.6545 NON-TAXABLE MISC FOR RESALE STREET LIGHT UTILITY FUND 20 48.52 SIGNAL 42&PENNOCK#1033836 374561 200010000089MAY 5805.6545 NON-TAXABLE MISC FOR RESALE STREET LIGHT UTILITY FUND 20 48.65 SIGNAL-CEDAR& 145TH#2047702 374561 200010000089MAY 5805.6545 NON-TAXABLE MISC FOR RESALE STREET LIGHT UTILITY FUND 20 49.02 SIGNAL-140TH/JOHNNY CK#2750412 374561 200010000089MAY 5805.6545 NON-TAXABLE MISC FOR RESALE STREET LIGHT UTILITY FUND 20 51.31 UTIL RADIO EQUIP#215383-1 374561 200010000089MAY 5805.6255 UTILITIES-ELECTRIC STREET LIGHT UTILITY FUND 20 53,06 SIGNAL CEDAR&147TH#1033901 374561 200010000089MAY 5805.6545 NON-TAXABLE MISC FOR RESALE STREET LIGHT UTILITY FUND 20 53.92 TUNNEL STREET LT#279581-3 374561 200010000089MAY 5805,6545 NON-TAXABLE MISC FOR RESALE STREET LIGHT UTILITY FUND 20 55,38 SIGNAL CEDAR&140TH#1577386 374561 200010000089MAY 5805.6545 NON-TAXABLE MISC FOR RESALE STREET LIGHT UTILITY FUND 20 57.47 GASLIGHT STREET LT#267358-0 374561 200010000089MAY 5805.6545 NON-TAXABLE MISC FOR RESALE STREET LIGHT UTILITY FUND 20 57.83 SIGNAL GALAXIE&15OTH#1821115 374561 200010000089MAY 5805.6545 NON-TAXABLE MISC FOR RESALE STREET LIGHT UTILITY FUND 20 58.57 SIGNAL-140TH/PENNOCK#303778-5 374561 200010000089MAY 5805.6545 NON-TAXABLE MISC FOR RESALE STREET LIGHT UTILITY FUND 20 84.26 SIGNAL-GALAXIE&38#2146678 374561 200010000089MAY 5805.6545 NON-TAXABLE MISC FOR RESALE STREET LIGHT UTILITY FUND 20 88.56 SIGNAL 42&GARDENVW#124646-1 374561 200010000089MAY 5805.6545 NON-TAXABLE MISC FOR RESALE STREET LIGHT UTILITY FUND 20 110.34 CO RD 42/CEDAR LTS#501516-9 374561 200010000089MAY 5805.6545 NON-TAXABLE MISC FOR RESALE STREET LIGHT UTILITY FUND 20 116.71 CEDAR/147TH LTS#501520-1 374561 200010000089MAY 5805.6545 NON-TAXABLE MISC FOR RESALE STREET LIGHT UTILITY FUND 20 143.99 147TH ST W LTS#498760-8 374561 200010000089MAY 5805.6545 NON-TAXABLE MISC FOR RESALE STREET LIGHT UTILITY FUND 20 170.31 CEDAR/145TH LTS#501526-8 374561 200010000089MAY 5805.6545 NON-TAXABLE MISC FOR RESALE STREET LIGHT UTILITY FUND 20 i .F R55CKR2 LC 1 CITY OF APPL .[EY 5/28/2 '47:13 Council Check Register by GL Page- 9 Council Check Register by Invoice&Summary 5/20/2020 -- 6/1/2020 Check# Date Amount Supplier/Explanation PO# Doc No Inv No Account No Subledger Account Description Business Unit 21743 5/29/2020 100128 DAKOTA ELECTRIC ASSOCIATION Continued... 173.37 CEDAR/140TH LTS#501536-7 374561 200010000089MAY 5805.6545 NON-TAXABLE MISC FOR RESALE STREET LIGHT UTILITY FUND 20 176.31 CEDAR&153RD LT#487980-5 374561 200010000089MAY 5805.6545 NON-TAXABLE MISC FOR RESALE STREET LIGHT UTILITY FUND 20 194.31 CEDAR&157RD LT#487985-4 374561 200010000089MAY 5805.6545 NON-TAXABLE MISC FOR RESALE STREET LIGHT UTILITY FUND 20 16.20 12119 GANTRY LN POND MAY 374519 200010036848MAY 5805.6545 NON-TAXABLE MISC FOR RESALE STREET LIGHT UTILITY FUND 20 52,591,30 21744 5/29/2020 100858 DALCO 50.84 KAIVAC SANITIZER PARTS 374462 3613829 1730.6229 COVID-19 GENERAL SUPPLIES PARK BUILDING MAINTENANCE 50.84 21745 5/29/2020 100141 DICKS VALLEY SERVICE 113.00 TOWING#917 FROM COUNTY JAIL 374371 226792 1210.6265 REPAIRS-EQUIPMENT POLICE FIELD OPERATIONS/PATROL 113.00 21746 5/29/2020 100685 EMERGENCY APPARATUS MAINTENANC 918.54 4982 ELECTRICAL CONNECTOR RPR 374425 112024 1350.6265 REPAIRS-EQUIPMENT FIRE VEHICLE MAINTENANCE 918,54 21747 5/29/2020 100157 FACTORY MOTOR PARTS CO 37,79 BALL JOINT#243 374750 16345731 1765.6215 EQUIPMENT-PARTS PARK EQUIPMENT MAINTENANCE 8.19 FUSES#363 374369 16374799 1630.6215 EQUIPMENT-PARTS STREET EQUIPMENT MAINTENANCE 45.98 21748 5/29/2020 134308 FAIRCHILD EQUIPMENT 491.97 HEADLIGHTS&BRACKET#363 374412 K54280 1630,6215 EQUIPMENT-PARTS STREET EQUIPMENT MAINTENANCE 526.86 SHUTTLE LEVER#363 374547 K54480 1630.6215 EQUIPMENT-PARTS STREET EQUIPMENT MAINTENANCE 39.34 RELAYS#363 374373 K55031 1630.6215 EQUIPMENT-PARTS STREET EQUIPMENT MAINTENANCE 1,058.17 21749 5/29/2020 100177 FLUEGEL ELEVATOR INC 478.80 STRAW MATTING FOR BLVD RPR 374414 2730093 1610.6229 GENERAL SUPPLIES STREET/BOULEVARD REPAIR&MNTC 478.80 21750 5/29/2020 113505 FRONTIER PRECISION INC 91.65 LATH FOR SIGNS 374752 212461C 1720.6229 GENERAL SUPPLIES PARK GROUNDS MAINTENANCE 91.65 R55CKR2 LOGIS101 CITY OF APPLE VALLEY 5/28/2020 10:47:13 Council Check Register by GL Page- 10 Council Check Register by Invoice&Summary 5/20/2020 -- 6/1/2020 Check# Date Amount Supplier/Explanation PO# Doc No Inv No Account No Subledger Account Description Business Unit 21750 5/29/2020 113505 FRONTIER PRECISION INC Continued... 21751 5/29/2020 100209 GOPHER STATE ONE-CALL 1,065.15 GOPHER STATE LOCATES 374523 40182 5305.6237 TELEPHONE/PAGERS WATER MGMT/REPORT/DATA ENTRY 1,065.15 21752 5/29/2020 100491 GREATER TWIN CITIES UNITED WAY 40.00 CHARITABLE GIVING 374593 527201019273 9000,2120 ACCRUED BENEFIT LIABILITY PAYROLL CLEARING BAL SHEET 40.00 21753 5/29/2020 103314 INNOVATIVE OFFICE SOLUTIONS 21,08 GLOVES 374363 IN2970112 1920.6229 COVID-19 GENERAL SUPPLIES SENIOR CENTER 7.51 FIRE-LABEL MAKER TAPE 374761 IN2978845 1330.6229 GENERAL SUPPLIES FIRE OPERATIONS 15.70 SUPPLY ROOM PLAIN ENVELOPES 374762 IN2979468 1035.6210 OFFICE SUPPLIES FINANCE 44.29 21754 5/29/2020 144552 KENDELL DOORS&HARDWARE INC 685.00 LOCKS FOR JC-EAST/QP 374419 IN017937 1715.6229 GENERAL SUPPLIES PARK ATHLETIC FIELD MAINTENANC 685.00 21755 5/29/2020 100289 LOGIS 1,187.50 NETWORK SERVICES 374428 48655 1030.6235 CONSULTANT SERVICES INFORMATION TECHNOLOGY 15.00 VPN TOKENS 374379 48751 1600.6211 SMALL TOOLS&EQUIPMENT STREET MANAGEMENT 122.37 STATE WAN-INTERNET 374379 48751 1040.6399 OTHER CHARGES DATA PROCESSING 7,774.60 MC LOWER LEVEL NETWORK SWITCH 374379 48751 4002.6740 2019157G CAPITAL OUTLAY-MACH/EQUIPIOTHE MUNICIPAL BUILDINGS 30,18 STATE WAN-INTERNET 374379 48751 5005,6399 OTHER CHARGES LIQUOR GENERAL OPERATIONS 10.61 STATE WAN-INTERNET 374379 48751 5205.6399 OTHER CHARGES ARENA 1 MANAGEMENT 81.59 STATE WAN-INTERNET 374379 48751 5305.6399 OTHER CHARGES WATER MGMT/REPORT/DATA ENTRY 81.59 STATE WAN-INTERNET 374379 48751 5365.6399 OTHER CHARGES SEWER MGMT/REPORTS/DATA ENTRY 9,303.44 21756 5/29/2020 100299 MASTER ELECTRIC CO 457.55 REPLACE BAD SECURTY LIGHT QP 374420 SD29580 1730.6249 OTHER CONTRACTUAL SERVICES PARK BUILDING MAINTENANCE 457.55 21757 5/29/2020 100311 METRO COUNCIL ENVIRONMENTAL SV 2,563.27 MCES CHGS-INDUSTRIAL CAPACITY 374398 1109065 5325.6399 OTHER CHARGES WATER TREATMENT FCLTY MNTC/RPR 13,735,82 MCES STRENGTH CHARGES 374399 1109090 5365.6317 METRO WASTE CONTROL PAYMENT SEWER MGMT/REPORTS/DATA ENTRY 271,821.02 WASTEWATER SVC-JUNE 374528 1109388 5380.6317 METRO WASTE CONTROL PAYMENT SEWER LIFT STN REPAIR&MNTC 475.00 MCES INDUSTRIAL WASTE PERMIT 374565 1110616 5305.6399 OTHER CHARGES WATER MGMT/REPORT/DATA ENTRY 288,595.11 R55CKR2 LC -1 CITY OFAPPL FAY 5/28/2 '47:13 Council Check Register by GL Page- 11 Council Check Register by Invoice&Summary 5/20/2020 -- 6/1/2020 Check# Date Amount Supplier/Explanation PO# Doc No Inv No Account No Subledger Account Description Business Unit 21757 5/29/2020 100311 METRO COUNCIL ENVIRONMENTAL SV Continued... 21758 5/29/2020 138249 MINNESOTA ENVIRONMENTAL FUND 20.00 CHARITABLE GIVING 374599 527201019279 9000,2120 ACCRUED BENEFIT LIABILITY PAYROLL CLEARING BAL SHEET 20.00 21759 5/29/2020 120496 NATURE CALLS INC 111.00 PORTABLE TOILETS-APRIL 374461 26680 1770.6310 RENTAL EXPENSE PARK GENERAL MAINTENANCE 222.00 PORTABLE TOILETS-APRIL 374461 26680 5150.6310 RENTAL EXPENSE GOLF COURSE MAINTENANCE 333.00 21760 5/29/2020 146279 NORDIC MECHANICAL SERVICES,I 995.00 OLD RTU MUNI/PD 374408 56546 1060.6266 REPAIRS-BUILDING MUNICIPAL BLDG&GROUNDS MNTC 3.110.00 CONCESSION WATER HEATER 374536 56547 1940.6229 GENERAL SUPPLIES AQUATIC SWIM CENTER 4,105.00 21761 5/29/2020 123759 NORDQUIST,BRUCE 125.00 NAPA CONFERENCE-NORDQUIST 374521 20200521 1100,6276 SCHOOLS/CONFERENCES/EXP OTHERDEV MANAGEMENT 125.00 21762 5/29/2020 111219 NORTHERN SAFETY TECHNOLOGY INC 12,373.36 NEW SQUAD BUILD#919 374448 50416 7400.1750.048 TRANSPOR EQUIPMNT-4 YRS VERF-POLICE BAL SHEET 237.50 MINI LIGHT BAR#421 374370 50424 5345.6215 EQUIPMENT-PARTS WATER EQUIP/VEHICLE/MISC MNTC 9,976.19 NEW SQUAD EQUIPMENT 916 374559 50438 7400.1750.048 TRANSPOR EQUIPMNT-4 YRS VERF-POLICE BAL SHEET 10,029.22 NEW SQUAD EQUIPMENT 917 374558 50439 7400.1750.048 TRANSPOR EQUIPMNT-4 YRS VERF-POLICE BAL SHEET 10,029.22 NEW SQUAD EQUIPMENT 918 374560 50440 7400.1750.048 TRANSPOR EQUIPMNT-4 YRS VERF-POLICE BAL SHEET 138.62- CREDIT-SQUAD 919 BUILD 374424 50441 7400.1750.048 TRANSPOR EQUIPMNT-4 YRS VERF-POLICE BAL SHEET 42,506.87 21763 5/29/2020 118834 OPEN YOUR HEARTS 65.00 CHARITABLE GIVING 374597 527201019277 9000.2120 ACCRUED BENEFIT LIABILITY PAYROLL CLEARING BAL SHEET 65.00 21764 5/29/2020 100385 PLUNKETT'S PEST CONTROL INC 75.00 PEST CONTROL 374456 6646729 1900.6249 OTHER CONTRACTUAL SERVICES AV COMMUNITY CENTER 75.00 PEST CONTROL AVSC 374442 6646816 1920.6249 OTHER CONTRACTUAL SERVICES SENIOR CENTER 150.00 21765 5/29/2020 100393 PUMP AND METER SERVICE INC 1,054.55 VEHICLE HOIST BAY 3 374403 1197862J 4002.6715 2020142G CAPITAL OUTLAY-BUILDINGS MUNICIPAL BUILDINGS 1,054.55 R55CKR2 LOGIS101 CITY OF APPLE VALLEY 5/28/2020 10:47:13 Council Check Register by GL Page- 12 Council Check Register by Invoice&Summary 5/20/2020 -- 6/1/2020 Check# Date Amount Supplier/Explanation PO# Doc No Inv No Account No Subledger Account Description Business Unit 21765 5/29/2020 100393 PUMP AND METER SERVICE INC Continued... 21766 5/29/2020 142782 RINK-TEC INTERNATIONAL 43,418.00 CONDSR REPLCMNT-HAYES PMT#2 374578 20200518 5260.6740 2020138P CAPITAL OUTLAY-MACH/EQ/OTHER ARENA 2 MANAGEMENT-HAYES 43,418.00 21767 5/29/2020 145515 SCHUFT,STEVE 34.79 PRICE GUN LABELS 374427 20200520 5025.6229 GENERAL SUPPLIES LIQUOR#1 OPERATIONS 34.79 21768 5/29/2020 100437 SHERWIN WILLIAMS CO 63.54 PAINTING SUPPLIES 374457 97582 1900.6229 GENERAL SUPPLIES AV COMMUNITY CENTER 63.54 21769 5/29/2020 102224 SL-SERCO LABORATORIES 2,300.00 AMI CONSULTING 374583 11076812C 5305.6235 2016101W CONSULTANT SERVICES WATER MGMT/REPORT/DATA ENTRY 2,300.00 21770 5/29/2020 100524 SOUTHERN GLAZERS WINE NAD SPIRITS OF MN 1,112.50 LIQ#1 00050756 374707 1950432 5015.6510 LIQUOR LIQUOR#1 STOCK PURCHASES 416.00 WINE#1 00050756 374734 1950433 5015.6520 WINE LIQUOR#1 STOCK PURCHASES 1,712.00 LIQ#1 00050756 374708 1950434 5015.6510 LIQUOR LIQUOR#1 STOCK PURCHASES 116.00 WINE#1 00050756 374735 1950435 5015.6520 WINE LIQUOR#1 STOCK PURCHASES 828.60 LIQ#3 00050756 374720 1950450 5085.6510 LIQUOR LIQUOR#3 STOCK PURCHASES 3,293.06 LIQ#3 00050756 374721 1950451 5085.6510 LIQUOR LIQUOR#3 STOCK PURCHASES 930.00 WINE#3 00050756 374744 1950452 5085.6520 WINE LIQUOR#3 STOCK PURCHASES 1,209.65 LIQ#1 00050756 374711 1952438 5015.6510 LIQUOR LIQUOR#1 STOCK PURCHASES 1,495.49 LIQ#1 00050756 374712 1952439 5015.6510 LIQUOR LIQUOR#1 STOCK PURCHASES 1,140.00 WINE#1 00050756 374738 1952440 5015.6520 WINE LIQUOR#1 STOCK PURCHASES 395.96 LIQ#1 00050756 374713 1952441 5015,6510 LIQUOR LIQUOR#1 STOCK PURCHASES 96.00 WINE#2 00050756 374740 1952443 5055.6520 WINE LIQUOR#2 STOCK PURCHASES 356.40 LIQ#2 00050756 374719 1952444 5055.6510 LIQUOR LIQUOR#2 STOCK PURCHASES 1,685.40 LIQ#3 00050756 374725 1952455 5085.6510 LIQUOR LIQUOR#3 STOCK PURCHASES 3,289.56 LIQ#3 00050756 374726 1952456 5085.6510 LIQUOR LIQUOR#3 STOCK PURCHASES 240.00 LIQ#1 00050756 374727 1952456 5015.6510 LIQUOR LIQUOR#1 STOCK PURCHASES 3,050.00 WINE#3 00050756 374745 1952458 5085.6520 WINE LIQUOR#3 STOCK PURCHASES 2,533.50 LIQ#1 00050756 374714 1954646 5015.6510 LIQUOR LIQUOR#1 STOCK PURCHASES 560.00 WINE#1 00050756 374739 1954647 5015.6520 WINE LIQUOR#1 STOCK PURCHASES 2,242.74 LIQ#1 00050756 374715 1954650 5015.6510 LIQUOR LIQUOR#1 STOCK PURCHASES 58,60- CMLIQ#1 00050756 374716 1954650 5015.6510 LIQUOR LIQUOR#1 STOru PURCHASES 520.00 WINE#2 00050756 374742 1954651 5055.6520 WINE LIQUOR#2 ST JRCHASES R55CKR2 LO 1 CITY OF APPL EY 5/28/2 47:13 Council Check Register by GL Page- 13 Council Check Register by Invoice&Summary 5/20/2020 -- 6/1/2020 I Check# Date Amount Supplier/Explanation PO# Doc No Inv No Account No Subledger Account Description Business Unit 21770 5/29/2020 100524 SOUTHERN GLAZERS WINE NAD SPIRITS OF MN Continued... 269_98 LIQ#3 00050756 374728 1954659 5085.6510 LIQUOR LIQUOR#3 STOCK PURCHASES 1 1,995.56 LIQ#3 00050756 374729 1954660 5085.6510 LIQUOR LIQUOR#3 STOCK PURCHASES 314.98 LIQ#3 00050756 374730 1954661 5085.6510 LIQUOR LIQUOR#3 STOCK PURCHASES 2,217.74 LIQ#3 00050756 374731 1954662 5085.6510 LIQUOR LIQUOR#3 STOCK PURCHASES 1,955.96 WINE#3 00050756 374747 1954663 5085,6520 WINE LIQUOR#3 STOCK PURCHASES 420.00 WINE#1 00050756 374732 5057155 5015.6520 WINE LIQUOR#1 STOCK PURCHASES 150.00 WINE#1 00050756 374733 5057156 5015.6520 WINE LIQUOR#1 STOCK PURCHASES 126.00 WINE#3 00050756 374743 5057162 5085.6520 WINE LIQUOR#3 STOCK PURCHASES 341.98 LIQ#1 00050756 374706 5057317 5015.6510 LIQUOR LIQUOR#1 STOCK PURCHASES 28.00- CMLIQ#1 00050756 374709 9208869 5015.6510 LIQUOR LIQUOR#1 STOCK PURCHASES 12.00- CMLIQ#2 00050756 374717 9208870 5055,6510 LIQUOR LIQUOR#2 STOCK PURCHASES 20.00- CMLIQ#3 00050756 374722 9208872 5085.6510 LIQUOR LIQUOR#3 STOCK PURCHASES 98.00- CMWINE#1 00050756 374736 9209065 5015.6520 WINE LIQUOR#1 STOCK PURCHASES 900.00- CMLIQ#3 00050756 374724 9209066 5085.6510 LIQUOR LIQUOR#3 STOCK PURCHASES 164.98- CMWINE#1 00050756 374737 9209366 5015.6520 WINE LIQUOR#1 STOCK PURCHASES 32.77- CMWINE#2 00050756 374741 9209367 5055.6520 WINE LIQUOR#2 STOCK PURCHASES 114.13- WINE#3 00050756 374746 9209371 5085.6520 WINE LIQUOR#3 STOCK PURCHASES 120.00- CMLIQ#1 00050756 374710 9209755 5015.6510 LIQUOR LIQUOR#1 STOCK PURCHASES 96.00- CMLIQ#2 00050756 374718 9209756 5055,6510 LIQUOR LIQUOR#2 STOCK PURCHASES 126,00- CMLIQ#3 00050756 374723 9209763 5085.6510 LIQUOR LIQUOR#3 STOCK PURCHASES 33,244.58 21771 5/29/2020 139811 SRF CONSULTING GROUP 267.63 FEASIBILITY REPORT 374443 118540014 2027.6235 2019106R CONSULTANT SERVICES ROAD ESCROW 267.63 21772 5/29/2020 101226 STREAMLINE DESIGN INC 30.00 STAFF SHIRTS 374540 40001 1850.6281 UNIFORM/CLOTHING ALLOWANCE REC SOFTBALL 80.00 STAFF SHIRTS 374540 40001 1720.6281 UNIFORM/CLOTHING ALLOWANCE PARK GROUNDS MAINTENANCE 100.00 STAFF SHIRTS 374540 40001 1930.6281 UNIFORM/CLOTHING ALLOWANCE REDWOOD POOL 300.00 STAFF SHIRTS 374540 40001 1940.6281 UNIFORM/CLOTHING ALLOWANCE AQUATIC SWIM CENTER 300.00 STAFF SHIRTS 374540 40001 1900.6281 UNIFORM/CLOTHING ALLOWANCE AV COMMUNITY CENTER 810.00 21773 5/29/2020 111055 THE RETROFIT COMPANIES INC 839.00 ELECTRONICS RECYCLE 374554 1083201N 1060.6240 CLEANING SERVICE/GARBAGE REMOVMUNICIPAL BLDG&GROUNDS MNTC 839.00 21774 5/29/2020 100834 VERSATILE VEHICLES INC 2,800.00 CART RENTAL 374602 37422 5115.6410 GOLF-RENT POWER CARTS GOLF PRO SHOP R55CKR2 LOGIS101 CITY OF APPLE VALLEY 5/28/2020 10:47:13 Council Check Register by GL Page- 14 Council Check Register by Invoice&Summary 5/20/2020 -- 6/1/2020 Check# Date Amount Supplier/Explanation PO# Doc No Inv No Account No Subledger Account Description Business Unit 21774 5/29/2020 100834 VERSATILE VEHICLES INC Continued... 2,800 00 21775 5/29/2020 100498 VIKING INDUSTRIAL CENTER 812.75 MASK/REPIRATORS 374524 3188821 5375.6229 COVID-19 GENERAL SUPPLIES SEWER MAINTENANCE AND REPAIR 812.75 305153 5/20/2020 119353 MADISON NATIONAL LIFE INS CO INC 245.70 STD FEES MAY 2020 374365 20200501 1020.6235 CONSULTANT SERVICES HUMAN RESOURCES .09- LTD ADJ MILLER 374365 20200501 9000.2113 ACCRUED LTD PAYROLL CLEARING BAL SHEET .29 LTD ADJ FEE HAYES 374365 20200501 9000.2113 ACCRUED LTD PAYROLL CLEARING BAL SHEET 1.09 LTD ADJ FEE DEMO 374365 20200501 9000,2113 ACCRUED LTD PAYROLL CLEARING BAL SHEET 3.23 LTDADJ ROTHER 374365 20200501 9000.2113 ACCRUED LTD PAYROLL CLEARING BAL SHEET 2,605.10 LTD INSURANCE-MAY 374365 20200501 9000.2113 ACCRUED LTD PAYROLL CLEARING BAL SHEET 2,855.32 305154 5/20/2020 147332 SUNLIFE 98.50 374364 20200501 9000.2117 ACCRUED LIFE INSUR-BASIC PAYROLL CLEARING BAL SHEET 10,115.15 374364 20200501 9000.2118 ACCRUED LIFE INSUR-SUPP/DEPEND PAYROLL CLEARING BAL SHEET 10,213.65 305155 5/27/2020 121388 ABSOLUTE TRAILER SALES 2,095.00 REPLACE TRAILER 372 374567 20200511 1610.6211 SMALL TOOLS&EQUIPMENT STREET/BOULEVARD REPAIR&MNTC 2,095.00 305156 5/27/2020 100431 ACTIVAR PLASTIC PRODUCTS GROUP 3,005,80 COVID 19 BUILDING SHIELDS 374557 SI0291747 1060.6740 COVID-19 CAPITAL OUTLAY-MACH/EQ/OTHER MUNICIPAL BLDG&GROUNDS MNTC 3,005.80 305157 5/27/2020 100389 ALPHAGRAPHICS 138,08 PRINTING PLANS 374758 111312 2027.6239 2019108R PRINTING ROAD ESCROW 198.09 PRINTING SPECS 374759 111315 4502.6239 2019108R PRINTING IMPROVEMENTS-ASSESSED 142.69 PRINTING 2020 TECHNICAL SPECS 374374 111317 1510.6239 PRINTING PW ENGINEERING&TECHNICAL 63.82 PRINTING PLANS 374380 111530 2027.6239 2020103R PRINTING ROAD ESCROW 133.61 PRINTING PLANS 374377 111531 2027.6239 2020104R PRINTING ROAD ESCROW 80.50 PRINTING PLANS 374381 111532 2027.6239 2020105G PRINTING ROAD ESCROW 41.99 PRINTING PLANS 374367 111533 2027.6239 2020101G PRINTING ROAD ESCROW 104.66 PRINTING SPECS 374375 111534 2027,6239 2020103R PRINTING ROAD ESCROW 251.91 PRINTING SPECS 374376 111535 2027.6239 2020104R PRINTING ROAD ESCROW 144.91 PRINTING SPECS 374366 111536 2027.6239 2020105G PRINTING ROAD ESCROW 1,300.26' I R55CKR2 LO 1 CITY OF APPL .EY 5/28/2 .47:13 Council Check Register by GL Page- 15 Council Check Register by Invoice&Summary 5/20/2020 -- 6/1/2020 Check# Date Amount Supplier/Explanation PO# Doc No Inv No Account No Subledger Account Description Business Unit 305157 5/27/2020 100389 ALPHAGRAPHICS Continued... 305158 5/27/2020 153995 AMAZON CAPITAL SERVICES 190.95 MC LOWER LEVEL MOVING STORAGE 374392 19XXM3GWN37J 4002.6740 2019157G CAPITAL OUTLAY-MACH/EQUIP/OTHE MUNICIPAL BUILDINGS 45.97 IPAD CASES-PARKS 374470 1CH1CT31 PJ3N 1900.6211 SMALL TOOLS&EQUIPMENT AV COMMUNITY CENTER 47.18 ANTI-GLARE SCREENS FOR LAPTOPS 374382 1HX7YTG7JDJR 1510.6211 SMALL TOOLS&EQUIPMENT PW ENGINEERING&TECHNICAL 49.80 IPAD STAND 374385 1J9F4CLVPHR4 1005.6210 OFFICE SUPPLIES MAYOR/CITY COUNCIL 81.55 EAR PHONES AND JACKS 374764 1MCL76YV7RWC 1330.6211 SMALL TOOLS&EQUIPMENT FIRE OPERATIONS 189.90 PPE REUSABLE FAVE MASKS 374548 1PF6D4TGW3H9 1540.6229 COVID-19 GENERAL SUPPLIES CMF BUILDINGS&GROUNDS MNTC 221,06 PPE 374548 1PF6D4TGW3H9 1930.6229 COVID-19 GENERAL SUPPLIES REDWOOD POOL 598.19 PPE EYE SHIELDS 374551 1VF3PWVHV1KF 1015.6229 COVID-19 GENERAL SUPPLIES CITY CLERK/ELECTIONS 1,424.60 305159 5/27/2020 100854 AMERICAN TEST CENTER 2,300.00 LADDER TESTING 374601 2200938 1350.6265 REPAIRS-EQUIPMENT FIRE VEHICLE MAINTENANCE 2,300.00 305160 5/27/2020 100023 ANDERSEN INC,EARL F 168.95 NO TRESPASSING SIGN 374453 1232071N 1930.6229 GENERAL SUPPLIES REDWOOD POOL 168.95 305161 5/27/2020 154253 APPLE FORD LINCOLN 443.17 WATER PUMP&CNTLARMS#918 374552 490887 1210.6215 EQUIPMENT-PARTS POLICE FIELD OPERATIONS/PATROL 443.17 305162 5/27/2020 100747 ARAMARK UNIFORM SERVICES INC 48.16 COVERALLS 374440 1720267656 1530.6281 UNIFORM/CLOTHING ALLOWANCE FLEET&BUILDINGS-CMF 48.17 COVERALLS 374440 1720267656 1710.6281 UNIFORM/CLOTHING ALLOWANCE PARK MAINTENANCE MANAGEMENT 96.33 COVERALLS 374440 1720267656 1600.6281 UNIFORM/CLOTHING ALLOWANCE STREET MANAGEMENT 48.16 COVERALLS 374445 1720270368 1530.6281 UNIFORM/CLOTHING ALLOWANCE FLEET&BUILDINGS-CMF 48,17 COVERALLS 374445 1720270368 1710.6281 UNIFORM/CLOTHING ALLOWANCE PARK MAINTENANCE MANAGEMENT 96.33 COVERALLS 374445 1720270368 1600.6281 UNIFORM/CLOTHING ALLOWANCE STREET MANAGEMENT 48.16 COVERALLS 374439 1720273042 1530.6281 UNIFORM/CLOTHING ALLOWANCE FLEET&BUILDINGS-CMF 48.17 COVERALLS 374439 1720273042 1710.6281 UNIFORM/CLOTHING ALLOWANCE PARK MAINTENANCE MANAGEMENT 96.33 COVERALLS 374439 1720273042 1600.6281 UNIFORM/CLOTHING ALLOWANCE STREET MANAGEMENT 577.98 305163 5/27/2020 148956 AUTO ZONE 49.69 ROCKER SWITCHES FOR STOCK 374372 4343077111 1530.6229 GENERAL SUPPLIES FLEET&BUILDINGS-CMF 49.69 R55CKR2 LOGIS101 CITY OF APPLE VALLEY 5/28/2020 10:47:13 Council Check Register by GL Page- 16 Council Check Register by Invoice&Summary 5/20/2020 -- 6/1/2020 Check# Date Amount Supplier/Explanation PO# Doc No Inv No Account No Subledger Account Description Business Unit 305164 5/27/2020 154159 BERG ENTERPRISES,LLC Continued... 975.00 EXCHANGE SERVER CONSULTANT 374545 3160 1030.6235 CONSULTANT SERVICES INFORMATION TECHNOLOGY 975.00 305165 5/27/2020 144930 CANON 42.68 COPIER LEASE 374549 21463341 1920.6310 RENTAL EXPENSE SENIOR CENTER 47.69 COPIER LEASE 374549 21463341 1400.6310 RENTAL EXPENSE INSPECTIONS MANAGEMENT 289.01 COPIER LEASE 374549 21463341 1700,6310 RENTAL EXPENSE PARK&RECREATION MANAGEMENT 399.60 COPIER LEASE 374549 21463341 1200.6310 RENTAL EXPENSE POLICE MANAGEMENT 730.68 COPIER LEASE 374549 21463341 1030.6310 RENTAL EXPENSE INFORMATION TECHNOLOGY 30.09 COPIER LEASE 374549 21463341 5095.6310 RENTAL EXPENSE LIQUOR#3 OPERATIONS 30.09 COPIER LEASE 374549 21463341 5065.6310 RENTAL EXPENSE LIQUOR#2 OPERATIONS 30,09 COPIER LEASE 374549 21463341 5025.6310 RENTAL EXPENSE LIQUOR#1 OPERATIONS 62.01 COPIER LEASE 374549 21463341 5105.6310 RENTAL EXPENSE GOLF MANAGEMENT 42,05 COPIER LEASE 374549 21463341 5210.6310 RENTAL EXPENSE ARENA 1 BUILDING MAINTENANCE 1,703.99 305166 5/27/2020 100319 CENTERPOINT ENERGY 57,86 SWIM GAS MAY 374503 110055472MAY20 1940.6256 UTILITIES-NATURAL GAS AQUATIC SWIM CENTER 1,139.08 CH GAS MAY 374504 110055563MAY20 1060.6256 UTILITIES-NATURAL GAS MUNICIPAL BLDG&GROUNDS MNTC 236.32 IA1 GAS MAY 374469 110060944MAY20 5210.6256 UTILITIES-NATURAL GAS ARENA 1 BUILDING MAINTENANCE 674.88 CMF GAS MAY 374473 110061900MAY20 1540.6256 UTILITIES-NATURAL GAS CMF BUILDINGS&GROUNDS MNTC 39,01 DELANEY PK GAS MAY 374472 55372148MAY20 1730.6256 UTILITIES-NATURAL GAS PARK BUILDING MAINTENANCE 91.11 FIRE STN 3 GAS MAY 374471 55533657MAY20 1340.6256 UTILITIES-NATURAL GAS FIRE BLDG&GROUNDS MNTC 124,41 LIQ 2 GAS MAY 374474 55533673MAY20 5065.6256 UTILITIES-NATURAL GAS LIQUOR#2 OPERATIONS 68,37 VALLEY MID PK GAS MAY 374475 55611420MAY20 1730,6256 UTILITIES-NATURAL GAS PARK BUILDING MAINTENANCE 133.97 REDWOOD GAS MAY 374476 55612972MAY20 1930.6256 UTILITIES-NATURAL GAS REDWOOD POOL 27.45 WELL 2 GAS MAY 374477 55675664MAY20 5320,6256 UTILITIES-NATURAL GAS WATER WELL/BOOSTER STN MNT/RPR 762.86 AVCC GAS MAY 374480 55686299MAY20 1900,6256 UTILITIES-NATURAL GAS AV COMMUNITY CENTER 318.98 OLD CH GAS MAY 374498 55710289MAY20 2092.6256 UTILITIES-NATURAL GAS EDUCATION BUILDING FUND 189.89 CMF STRG BLD 2 GAS MAY 374478 55793483MAY20 1540.6256 UTILITIES-NATURAL GAS CMF BUILDINGS&GROUNDS MNTC 31.89 GALAXIE PK GAS MAY 374479 55848238MAY20 1730.6256 UTILITIES-NATURAL GAS PARK BUILDING MAINTENANCE 20.89 AV EAST PK GAS MAY 374483 55851521MAY20 1730.6256 UTILITIES-NATURAL GAS PARK BUILDING MAINTENANCE 90.63 FIRE STN 2 GAS MAY 374482 55851539MAY20 1340.6256 UTILITIES-NATURAL GAS FIRE BLDG&GROUNDS MNTC 46.63 WELL 5 GAS MAY 374481 55851562MAY20 5320.6256 UTILITIES-NATURAL GAS WATER WELL/BOOSTER STN MNT/RPR 68.37 WELL 4 GAS MAY 374485 55851604MAY20 5320.6256 UTILITIES-NATURAL GAS WATER WELL/BOOSTER STN MNT/RPR 1,751.23 VVTP GAS MAY 374484 55877872MAY20 5325.6256 UTILITIES-NATURAL GAS WATER TREATMENT FCLTY MNTC/RPR 41,75 WELL 1 GAS MAY 374486 55887046MAY20 5320.6256 UTILITIES-NATURAL GAS WATER WELL/BOOSTER STN MNT/RPR 166.19 FIRE STN 1 GAS MAY 374487 55888184MAY20 1340.6256 UTILITIES-NATURAL GAS FIRE BLDG&GROUNDS MNTC 825,25 IA2 GAS MAY 374488 55978928MAY20 5265.6256 UTILITIES-NATURAL GAS ARENA 2 BLDG""'NTENANCE-HAYES 428.76 CMF STRG BLD 1 GAS MAY 374569 56034416MAY2C 1540.6256 UTILITIES-NATURAL GAS CMF BUILDINC ROUNDS MNTC ^• � . - R55CKR2 LO, CITY OF APPLI V 5/200 '47:13 Council Check Register by GL Page- 17 Council Check Register by Invoice&Summary 5/20/2020 -- 6/1/2020 Check# Date Amount Supplier/Explanation PO# Doc No Inv No Account No Subledger Account Description Business Unit 305166 5/27/2020 100319 CENTERPOINT ENERGY Continued... 34.08 HAGEMEISTER PK GAS MAY 374491 56100324MAY20 1730.6256 UTILITIES-NATURAL GAS PARK BUILDING MAINTENANCE 192.10 LIQ 1 GAS MAY 374489 56265598MAY20 5025,6256 UTILITIES-NATURAL GAS LIQUOR#1 OPERATIONS 23.63 JC ACTIVITY CTR GAS MAY 374490 56281637MAY20 1730.6256 UTILITIES-NATURAL GAS PARK BUILDING MAINTENANCE 57.24 AQUATIC CTR GAS MAY 374495 56284078MAY20 1940.6256 UTILITIES-NATURAL GAS AQUATIC SWIM CENTER 29.68 HUNTINGTON PK GAS MAY 374496 56346620MAY20 1730.6256 UTILITIES-NATURAL GAS PARK BUILDING MAINTENANCE 245.82 CMF STRG BLD 3 GAS MAY 374494 56696487MAY20 1540.6256 UTILITIES-NATURAL GAS CMF BUILDINGS&GROUNDS MNTC 21.42 460 REFLECTION RD GAS MAY 374493 75761361MAY20 5380.6256 UTILITIES-NATURAL GAS SEWER LIFT STN REPAIR&MNTC 54.01 SWIM UNIT D GAS MAY 374492 78955218MAY20 1940.6256 UTILITIES-NATURAL GAS AQUATIC SWIM CENTER 55.73 SWM PK GAS MAY 374497 79512695MAY20 1940,6256 UTILITIES-NATURAL GAS AQUATIC SWIM CENTER 135.11 HCSC GAS MAY 374499 79615332MAY20 1920.6256 UTILITIES-NATURAL GAS SENIOR CENTER 30.78 UTIL SAN LIFT 2 GEN GAS MAY 374500 91747147MAY20 5380.6256 UTILITIES-NATURAL GAS SEWER LIFT STN REPAIR&MNTC 240.64 GOLF GAS MAY 374468 96338967MAY20 5110.6256 UTILITIES-NATURAL GAS GOLF CLUBHOUSE BUILDING 8,456.02 305167 5/27/2020 100878 CHARTER COMMUNICATIONS 23.81 AVSACABLE-MAY 374600 835230604010513 5205.6237 TELEPHONE/PAGERS ARENA 1 MANAGEMENT 0MAY20 23.81 305168 5/27/2020 100282 CINTAS CORPORATION 12.00 AIR FRESHENER/SOAP 374422 4050785528 5110.6240 CLEANING SERVICE/GARBAGE REMOVGOLF CLUBHOUSE BUILDING 64.87 MATS 374422 4050785528 5110.6240 CLEANING SERVICE/GARBAGE REMOVGOLF CLUBHOUSE BUILDING 76.87 305169 5/27/2020 131976 CLICGEAR USA 96.00 FREIGHT ON RESALE MERCHANDISE 374568 112279900 5115.6424 GOLF FREIGHT ON RESALE MDSE GOLF PRO SHOP 978.00 PUSH CARTS FRO RESALE 374568 112279900 5115.6418 GOLF-PRO SHOP OTHER GOLF PRO SHOP 1,074.00 305170 5/27/2020 100510 CORE&MAIN 1,263.28 CB TOP HATS&COVERS 374563 M349068 5330.6229 GENERAL SUPPLIES WTR MAIN/HYDRANT/CURB STOP MNT 2,280.00 CB TOP HATS FOR RECONSTRUCTION 374564 M367058 5330.6229 2020104R GENERAL SUPPLIES WTR MAIN/HYDRANT/CURB STOP MNT 3,543,28 305171 5/27/2020 100123 DAKOTA COUNTY FINANCIAL SERVIC 8,604.00 1ST Q GIS CONSULTING SERVICES 374571 38125 1510.6235 CONSULTANT SERVICES PW ENGINEERING&TECHNICAL 23.33 800 MHZ FEES(1) 374432 38224 1600,6249 OTHER CONTRACTUAL SERVICES STREET MANAGEMENT 23.33 800 MHZ FEES(1) 374432 38224 1500.6249 OTHER CONTRACTUAL SERVICES PW MANAGEMENT 46.66 800 MHZ FEES(2) 374432 38224 1530.6249 OTHER CONTRACTUAL SERVICES FLEET&BUILDINGS-CMF 1,469.79 800 MHZ FEES(63) 374432 38224 1330.6249 OTHER CONTRACTUAL SERVICES FIRE OPERATIONS R55CKR2 LOGIS101 CITY OF APPLE VALLEY 5/28/2020 10:47:13 Council Check Register by GL Page- 18 Council Check Register by Invoice&Summary 5/20/2020 — 6/1/2020 Check# Date Amount Supplier/Explanation PO# Doc No Inv No Account No Subledger Account Description Business Unit 305171 5/27/2020 100123 DAKOTA COUNTY FINANCIAL SERVIC Continued... 2,309.67 800 MHZ FEES (99) 374432 38224 1200.6280 DUES&SUBSCRIPTIONS POLICE MANAGEMENT 23.33 800 MHZ FEES(1) 374432 38224 5305.6249 OTHER CONTRACTUAL SERVICES WATER MGMT/REPORT/DATA ENTRY 12,500.11 305172 5/27/2020 100898 DAKOTA COUNTY HISTORICAL SOCIE 250.00 MEMBERSHIP RENEWAL 374755 20200501 1015.6280 DUES&SUBSCRIPTIONS CITY CLERK/ELECTIONS 250,00 305173 5/27/2020 153904 EASTES,ALYSSA 138.00 REFUND SWIM LESSONS(X2) 374756 2004321002 1001.4311 COVID-19 REDWOOD SWIMMING LESSONS GENERAL FUND REVENUE 138.00 305174 5/27/2020 145163 EMERGENCY RESPONSE SOLUTIONS 3,598.19 30 NOMEX HOODS 374426 15193 1330.6281 UNIFORM/CLOTHING ALLOWANCE FIRE OPERATIONS 3,598.19 305175 5/27/2020 145786 EVENTPRO360 LLC 980.00 EVENT PRO360 MEMBERSHIP 374430 2774 5105.6280 DUES&SUBSCRIPTIONS GOLF MANAGEMENT 980.00 305176 5127/2020 100166 FEDEX 482.73 FREIGHT ON RESALE MERCHANDISE 374527 696777606 5115.6424 GOLF FREIGHT ON RESALE MDSE GOLF PRO SHOP 482.73 305177 5/27/2020 154950 FLOHR,RICHARD 2,669.44 UB REFUND 14720 ECHO WAY 374437 20200515D 5301.4997 WATER/SEWER ACCT REFUNDS WATER&SEWER FUND REVENUE 2,669,44 305178 5/27/2020 100769 FRONTIER COMMUNICATIONS OF MN 16.50 POL INTOXILIZER MAY 374532 651101065412229 1250.6237 TELEPHONE/PAGERS POLICE FACILITY 37MAY20 66.00 UTIL STRM SWR ALARMS MAY 374507 651197340501279 5505.6249 OTHER CONTRACTUAL SERVICES STORM DRAIN MNTC/RPR/SUMPS 97MAY20 33.00 CMF RADIO LINE MAY 374508 651197403911269 1540.6237 TELEPHONE/PAGERS CMF BUILDINGS&GROUNDS MNTC 27MAY20 205.30 UTIL WTP PHONES MAY 374509 952431508111088 5325.6237 TELEPHONE/PAGERS WATER TREATMENT FCLTY MNTC/RPR 97MAY20 69.18 AVCC CREDIT CARD PHONE MAY 374510 952953231702179 1900,6237 TELEPHONE/PAGERS AV COMMUNITY CENTER 97MAY20 52.30 GOLF CLUBHOUSE PHONES MAY 374511 95295323190412 j5110.6237 TELEPHONE/PAGERS GOLF CLUBHC ,UILDING R55CKR2 LO I CITY OFAPPL ,EY 5/28/2 -)47:13 Council Check Register by GL Page- 19 Council Check Register by Invoice&Summary 5/20/2020 -- 6/1/2020 Check# Date Amount Supplier/Explanation PO# Doc No Inv No Account No Subledger Account Description Business Unit 305178 5/27/2020 100769 FRONTIER COMMUNICATIONS OF MN Continued... 47MAY20 141.64 PK JCRP PHONES MAY 374512 952953234904139 1730.6237 TELEPHONE/PAGERS PARK BUILDING MAINTENANCE 47MAY20 399.37 PK REDWOOD PHONES MAY 374513 952953235004139 1730.6237 TELEPHONE/PAGERS PARK BUILDING MAINTENANCE 47MAY20 236.32 UTILMNTC PHONE MAY 374514 952953235508170 5305.6237 TELEPHONE/PAGERS WATER MGMT/REPORT/DATA ENTRY 47MAY20 101.17 IA2 PHONES MAY 374515 952953236311019 5265.6237 TELEPHONE/PAGERS ARENA 2 BLDG MAINTENANCE-HAYES 57MAY20 71.49 IA1 PHONES MAY 374517 952953236805059 5210,6237 TELEPHONE/PAGERS ARENA 1 BUILDING MAINTENANCE 57MAY20 175.23 JC ACTIVITY CTR PHONES MAY 374516 952953238502179 1730.6237 TELEPHONE/PAGERS PARK BUILDING MAINTENANCE 97MAY20 1,330.36 MUNI-CTR PHONES MAY 374505 952953250005291 1030.6237 TELEPHONE/PAGERS INFORMATION TECHNOLOGY 27MAY20 70.66 OLD CH PHONES MAY 374531 952953253410100 2092.6237 TELEPHONE/PAGERS EDUCATION BUILDING FUND 17MAY20 172,28 CH GENERATOR/HVAC MODEM MAY 374518 952953273409250 1060.6237 TELEPHONE/PAGERS MUNICIPAL BLDG&GROUNDS MNTC 07MAY20 282.49 SWIM CHLORINE MONITOR MAY 374506 952953291301071 1940.6237 TELEPHONE/PAGERS AQUATIC SWIM CENTER 07MAY20 3,423.29 305179 5/27/2020 150163 GALLS 202.27 GYSBERS UNIFORMS 374770 15477201 1200.6281 UNIFORM/CLOTHING ALLOWANCE POLICE MANAGEMENT 46.81 KLINE UNIFORMS 374771 15508731 1200.6281 UNIFORM/CLOTHING ALLOWANCE POLICE MANAGEMENT 20,00 AWARD COMMENDATION BAR 374772 15508748 1200.6281 UNIFORM/CLOTHING ALLOWANCE POLICE MANAGEMENT 532.00 AX TIE CLIPS 374546 15604362 1330.6281 UNIFORM/CLOTHING ALLOWANCE FIRE OPERATIONS 801.08 305180 5/27/2020 102694 GERTENS 190.91 AVCC PLANTINGS 374459 939312 1720,6229 GENERAL SUPPLIES PARK GROUNDS MAINTENANCE 190.91 305181 5/27/2020 101328 GOVCONNECTION INC 549.95 WEBCAMS(5) 374429 57717610 1030.6725 COVID-19 CAPITAL OUTLAY-OFFICE EQUIP INFORMATION TECHNOLOGY 549.95 305182 5/27/2020 153200 GRANICUS 7,950.00 NOVUS AGENDA SUBSCRIPTION 2020 374415 126320 1030.6249 OTHER CONTRACTUAL SERVICES INFORMATION TECHNOLOGY R55CKR2 LOGIS101 CITY OF APPLE VALLEY 5/28/2020 10:47:13 Council Check Register by GL Page- 20 Council Check Register by Invoice&Summary 5/20/2020 -- 6/1/2020 Check# Date Amount Supplier/Explanation PO# Doc No Inv No Account No Subledger Account Description Business Unit 305182 5/27/2020 153200 GRANICUS Continued... 7,950.00 305183 5/27/2020 154956 HACKERSON,DEBBY 60.00 REFUND SHELTER RESERV 6-6-2020 374384 202005181 1001.5199 COVID-19 RENTS-OTHER GENERAL FUND REVENUE 60.00 305184 5/27/2020 147493 HARRIS SERVICE 3,384.25 HARRIS QUARTERLY SERVICE 374431 505010163 5110,6249 OTHER CONTRACTUAL SERVICES GOLF CLUBHOUSE BUILDING 28.05- GOLF USE TAX 374436 507024562 5100.2330 DUE TO OTHER GOVERNMENT GOLF FUND BALANCE SHEET 28.05 GOLF USE TAX 374436 507024562 5110.6229 GENERAL SUPPLIES GOLF CLUBHOUSE BUILDING 407.95 THERMOSTAT FOR KITCHEN 374436 507024562 5110.6229 GENERAL SUPPLIES GOLF CLUBHOUSE BUILDING 3,792.20 305185 5/27/2020 101169 HAWKINS,INC. 485.00 UTIL CHLORINE 374539 4708328 5325.6214 CHEMICALS WATER TREATMENT FCLTY MNTC/RPR 1,412.40 WATER PLANT CHEMICALS 374410 4710490 5325.6214 CHEMICALS WATER TREATMENT FCLTY MNTC/RPR 1,897.40 305186 5/27/2020 137419 HEDBERG,RON 8.00 #916-919 LATE FEES 374449 20200514 1210.6215 EQUIPMENT-PARTS POLICE FIELD OPERATIONS/PATROL 8.00 305187 5/27/2020 154970 HEMPEL COMPANIES 8,800.00 NRMP 15730 EMPEROR AVE 374576 20200513A 4900.2420 NRMP FIN GUAR-DEVELOPER DEP PHYSICAL IMPROV ESCROW BAL SHT 8,800.00 305188 5/27/2020 132444 HENRICKSEN PSG 66.42 ANTI-FATIGUE MATS 374533 691485 5305.6211 SMALL TOOLS&EQUIPMENT WATER MGMT/REPORT/DATA ENTRY 495,00 INSTALL&LABOR 374533 691485 5305.6249 OTHER CONTRACTUAL SERVICES WATER MGMT/REPORT/DATA ENTRY 1,602.52 DESK&ASSOCIATED ITEMS 374533 691485 5305.6735 CAPITAL OUTLAY-OTHER IMPROVEME WATER MGMT/REPORT/DATA ENTRY 2,163.94 305189 5/27/2020 100242 INDEPENDENT BLACK DIRT CO 60.00 PULVERIZED BLACK DIRT 374501 27701 1720.6229 GENERAL SUPPLIES PARK GROUNDS MAINTENANCE 60.00 305190 5/27/2020 116698 INSIGHT PUBLIC SECTOR 38.46- LIQ2 USE TAX 374401 1100728638 5000.2330 DUE TO OTHER GOVERNMENT LIQUOR BALANCE SHEET 38.46 LIQ2 USE TAX 374401 1100728638 5065,6211 SMALL TOOLS&EQUIPMENT LIQUOR#2 OPERATIONS 559.47 ACCUTOUCH 17"LED MONITOR(1) 374401 1100728638 5065.6211 SMALL TOOLS&EQUIPMENT LIQUOR#2 OF DNS 7-Th r R55CKR2 LO, 1 CITYOFAPPL ,EY 5/28/2 '47:13 Council Check Register by GL Page• 21 Council Check Register by Invoice&Summary 5/20/2020 -- 6/1/2020 Check# Date Amount Supplier/Explanation PO# Doc No Inv No Account No Subledger Account Description Business Unit 305190 5/27/2020 116698 INSIGHT PUBLIC SECTOR Continued... 1,346.42 HP PROBOOK LAPTOP W/DOCK(1) 374395 1100729543 1030.6725 CAPITAL OUTLAY-OFFICE EQUIP INFORMATION TECHNOLOGY 1,905.89 305191 5/27/2020 100939 JIRIK SOD FARMS INC 22.00 SOD DAMAGE FROM PLOWING 374502 29613 1720.6229 GENERAL SUPPLIES PARK GROUNDS MAINTENANCE 22.00 305192 5/27/2020 100255 JOHNSON BROTHERS LIQUOR 144.00- CMLIQ#1 00000109 374617 100593 5015.6510 LIQUOR LIQUOR#1 STOCK PURCHASES 45.16- CMWINE#3 00000109 374669 100678 5085.6520 WINE LIQUOR#3 STOCK PURCHASES 10,50- CMWINE#2 00000109 374661 101256 5055.6520 WINE LIQUOR#2 STOCK PURCHASES 49.65 WINE#2 00000109 374653 1503034 5055.6520 WINE LIQUOR#2 STOCK PURCHASES 2,264.10 LIQ#1 00000109 374607 1554122 5015.6510 LIQUOR LIQUOR#1 STOCK PURCHASES 935.96 WINE#1 00000109 374644 1554123 5015.6520 WINE LIQUOR#1 STOCK PURCHASES 16,00 LIQ#1 00000109 374608 1554124 5015.6510 LIQUOR LIQUOR#1 STOCK PURCHASES 285.50 WINE#1 00000109 374645 1554125 5015,6520 WINE LIQUOR#1 STOCK PURCHASES 943,00 LIQ#1 00000109 374609 1554126 5015.6510 LIQUOR LIQUOR#1 STOCK PURCHASES 314.00 LIQ#3 00000109 374626 1554127 5085.6510 LIQUOR LIQUOR#3 STOCK PURCHASES 186.00 LIQ#2 00000109 374623 1554128 5055.6510 LIQUOR LIQUOR#2 STOCK PURCHASES 1,042.00 LIQ#1 00000109 374610 1554129 5015.6510 LIQUOR LIQUOR#1 STOCK PURCHASES 755.00 WINE#1 00000109 374646 1554130 5015.6520 WINE LIQUOR#1 STOCK PURCHASES 73.33 WINE#2 00000109 374654 1554131 5055.6520 WINE LIQUOR#2 STOCK PURCHASES 74.50 WINE#2 00000109 374655 1554132 5055.6520 WINE LIQUOR#2 STOCK PURCHASES 266.30 WINE#2 00000109 374656 1554133 5055.6520 WINE LIQUOR#2 STOCK PURCHASES 1,024,56 LIQ#3 00000109 374627 1554134 5085.6510 LIQUOR LIQUOR#3 STOCK PURCHASES 3,345.37 WINE#3 00000109 374662 1554135 5085,6520 WINE LIQUOR#3 STOCK PURCHASES 36.00 TAX#3 00000109 374628 1554136 5085.6540 TAXABLE MISC FOR RESALE LIQUOR#3 STOCK PURCHASES 3,338.60 WINE#3 00000109 374663 1554137 5085,6520 WINE LIQUOR#3 STOCK PURCHASES 1,457.00 LIQ#3 00000109 374629 1554138 5085.6510 LIQUOR LIQUOR#3 STOCK PURCHASES 832.95 LIQ#3 00000109 374630 1554139 5085.6510 LIQUOR LIQUOR#3 STOCK PURCHASES 559.35 WINE#3 00000109 374664 1554140 5085.6520 WINE LIQUOR#3 STOCK PURCHASES 97,50 TAX#3 00000109 374631 1554141 5085.6540 TAXABLE MISC FOR RESALE LIQUOR#3 STOCK PURCHASES 598.00 LIQ#1 00000109 374611 1557828 5015.6510 LIQUOR LIQUOR#1 STOCK PURCHASES 22.16- LIQ#1 00000109 374612 1557828 5015.6510 LIQUOR LIQUOR#1 STOCK PURCHASES 53.75 WINE#1 00000109 374647 1557829 5015.6520 WINE LIQUOR#1 STOCK PURCHASES 432.00 LIQ#1 00000109 374613 1557830 5015.6510 LIQUOR LIQUOR#1 STOCK PURCHASES 834.91 WINE#1 00000109 374648 1557831 5015.6520 WINE LIQUOR#1 STOCK PURCHASES 44.95 TAX#1 00000109 374614 1557832 5015.6540 TAXABLE MISC FOR RESALE LIQUOR#1 STOCK PURCHASES 2,171.24 LIQ#1 00000109 374615 1557833 5015.6510 LIQUOR LIQUOR#1 STOCK PURCHASES 1,548.48 LIQ#3 00000109 374633 1557834 5085.6510 LIQUOR LIQUOR#3 STOCK PURCHASES R55CKR2 LOGIS101 CITY OF APPLE VALLEY 5/28/2020 10:47:13 Council Check Register by GL Page- 22 Council Check Register by Invoice 8,Summary 5/20/2020 - 6/1/2020 Check# Date Amount Supplier/Explanation PO# Doc No Inv No Account No Subledger Account Description Business Unit 305192 5/27/2020 100255 JOHNSON BROTHERS LIQUOR Continued... 1,825.15 LIQ#1 00000109 374616 1557835 5015.6510 LIQUOR LIQUOR#1 STOCK PURCHASES 502.00 WINE#1 00000109 374649 1557836 5015.6520 WINE LIQUOR#1 STOCK PURCHASES 84.00 WINE#2 00000109 374657 1557838 5055,6520 WINE LIQUOR#2 STOCK PURCHASES 559.69 LIQ#3 00000109 374634 1557839 5085,6510 LIQUOR LIQUOR#3 STOCK PURCHASES 502.32 WINE#3 00000109 374666 1557840 5085.6520 WINE LIQUOR#3 STOCK PURCHASES 430.00 LIQ#3 00000109 374635 1557841 5085.6510 LIQUOR LIQUOR#3 STOCK PURCHASES 1,092.35 WINE#3 00000109 374667 1557842 5085.6520 WINE LIQUOR#3 STOCK PURCHASES 608.00 LIQ#3 00000109 374636 1557843 5085.6510 LIQUOR LIQUOR#3 STOCK PURCHASES 2,000,10 LIQ#3 00000109 374637 1557844 5085.6510 LIQUOR LIQUOR#3 STOCK PURCHASES 1,134.25 WINE#3 00000109 374668 1557845 5085.6520 WINE LIQUOR#3 STOCK PURCHASES 51.95 NTAX#3 00000109 374638 1557846 5085.6545 NON-TAXABLE MISC FOR RESALE LIQUOR#3 STOCK PURCHASES 2,105.20 LIQ#1 00000109 374618 1562083 5015.6510 LIQUOR LIQUOR#1 STOCK PURCHASES 736.80 WINE#1 00000109 374650 1562084 5015.6520 WINE LIQUOR#1 STOCK PURCHASES 100.00 LIQ#1 00000109 374619 1562085 5015,6510 LIQUOR LIQUOR#1 STOCK PURCHASES 231.05 LIQ#1 00000109 374620 1562086 5015.6510 LIQUOR LIQUOR#1 STOCK PURCHASES 2,766.50 WINE#1 00000109 374651 1562087 5015.6520 WINE LIQUOR#1 STOCK PURCHASES 2,891.70 WINE#1 00000109 374652 1562088 5015.6520 WINE LIQUOR#1 STOCK PURCHASES 3,061.04 LIQ#1 00000109 374621 1562089 5015.6510 LIQUOR LIQUOR#1 STOCK PURCHASES 92.00- CMLIQ#1 00000109 374622 1562089 5015.6510 LIQUOR LIQUOR#1 STOCK PURCHASES 184.00 LIQ#2 00000109 374624 1562090 5055.6510 LIQUOR LIQUOR#2 STOCK PURCHASES 1,733.80 LIQ#3 00000109 374639 1562091 5085.6510 LIQUOR LIQUOR#3 STOCK PURCHASES 448.20 WINE#2 00000109 374658 1562092 5055.6520 WINE LIQUOR#2 STOCK PURCHASES 839.36 WINE#2 00000109 374659 1562093 5055.6520 WINE LIQUOR#2 STOCK PURCHASES 91.00 WINE#2 00000109 374660 1562094 5055.6520 WINE LIQUOR#2 STOCK PURCHASES 173.00 LIQ#2 00000109 374625 1562095 5055.6510 LIQUOR LIQUOR#2 STOCK PURCHASES 1,095.00 LIQ#3 00000109 374640 1562096 5085.6510 LIQUOR LIQUOR#3 STOCK PURCHASES 7,157.67 WINE#3 00000109 374670 1562097 5085.6520 WINE LIQUOR#3 STOCK PURCHASES 1,182.25 LIQ#3 00000109 374641 1562098 5085.6510 LIQUOR LIQUOR#3 STOCK PURCHASES 2,289,35 WINE#3 00000109 374671 1562099 5085.6520 WINE LIQUOR#3 STOCK PURCHASES 51.95 NTAX#3 00000109 374642 1562100 5085.6545 NON-TAXABLE MISC FOR RESALE LIQUOR#3 STOCK PURCHASES 695.00 WINE#3 00000109 374672 1562101 5085.6520 WINE LIQUOR#3 STOCK PURCHASES 723.00 LIQ#3 00000109 374643 1562102 5085.6510 LIQUOR LIQUOR#3 STOCK PURCHASES 320.00- CMLIQ#3 00000109 374632 602058 5085.6510 LIQUOR LIQUOR#3 STOCK PURCHASES 5.56- CMWINE#3 00000109 374665 602059 5085.6520 WINE LIQUOR#3 STOCK PURCHASES 60,286.30 305193 5/27/2020 147560 KEYLAND HOMES 2,000.00 NRMP 15576 FAIRFIELD DR 374570 20200513 4900.2420 NRMP FIN GUAR-DEVELOPER DEP PHYSICAL IMPROV ESCROW BAL SHT 2,000,00 NRMP 15632 FAIRCHILD WAY 374574 20200513A 4900.2420 NRMP FIN GUAR-DEVELOPER DEP PHYSICAL IMPP -FSCROW BAL SHT R55CKR2 LO i CITY OFAPPL £Y 5/28/2 47:13 Council Check Register by GL Page- 23 Council Check Register by Invoice&Summary 5/20/2020 -- 6/1/2020 Check# Date Amount Supplier/Explanation PO# Doc No Inv No Account No Subledger Account Description Business Unit 305193 5/27/2020 147560 KEYLAND HOMES Continued... 4,000.00 305194 5/27/2020 154955 KWIK TRIP 175.00 REFUND AVCC RENTAL-7-8-2020 374383 202005153 1001.5115 COVID-19 RENTS-APPLE VALLEY COMM CENTER GENERAL FUND REVENUE 175.00 305195 5/27/2020 100646 LAWSON PRODUCTS INC 60.20 NYLON TIES FOR R/ROUTE FLAGS 374769 9307587664 1625.6229 GENERAL SUPPLIES STREET RING ROUTE MAINT 60,20 305196 5/27/2020 154976 LEECH LAKE BAND OF OJIBWE 300.00 UB REFUND 15940 GRANADA AVE 374604 20200522 5301.4997 WATER/SEWER ACCT REFUNDS WATER&SEWER FUND REVENUE 300.00 305197 5/27/2020 100288 LMC INSURANCE TRUST 454,904.00 PROP LIAB INS 1ST AND 2ND QTR 374753 20200521 7205.6311 INSURANCE-PROPERTY/LIABILITY INSURANCE CLAIMS 454,904.00 305198 5/27/2020 101616 LMC INSURANCE TRUST 1,176.20 WC DED SPENCER MAY 374542 15765 7205.6315 WORKERS COMP-DEDUCTIBLE INSURANCE CLAIMS 882.36 WC DED KELLY,J MAY 374537 15774 7205.6315 WORKERS COMP-DEDUCTIBLE INSURANCE CLAIMS 1,218.70 WC DED CASPERSON MAY 374535 15806 7205,6315 WORKERS COMP-DEDUCTIBLE INSURANCE CLAIMS 308.59 WC DED KLINE MAY 374387 15827 7205.6315 WORKERS COMP-DEDUCTIBLE INSURANCE CLAIMS 12.96 WC DED HOOPER MAY 374388 15831 7205.6315 WORKERS COMP-DEDUCTIBLE INSURANCE CLAIMS 971.69 WC DED PETERSON J MAY 374541 15847 7205.6315 WORKERS COMP-DEDUCTIBLE INSURANCE CLAIMS 792.99 WC DED FREY MAY 374543 15868 7205.6315 WORKERS COMP-DEDUCTIBLE INSURANCE CLAIMS 1,582.57 WC DED DROGSETH MAY 374544 15885 7205.6315 WORKERS COMP-DEDUCTIBLE INSURANCE CLAIMS 321.24 WC DED NELSON Z MAY 374378 15896 7205.6315 WORKERS COMP-DEDUCTIBLE INSURANCE CLAIMS 7,267.30 305199 5/27/2020 116371 LOFFLER COMPANIES INC(CONT I 48.95 COPIER MAINTENANCE 374396 3418821 1920.6265 REPAIRS-EQUIPMENT SENIOR CENTER 62.38 COPIER MAINTENANCE 374396 3418821 1400.6265 REPAIRS-EQUIPMENT INSPECTIONS MANAGEMENT 291.34 COPIER MAINTENANCE 374396 3418821 1700.6265 REPAIRS-EQUIPMENT PARK&RECREATION MANAGEMENT 649.01 COPIER MAINTENANCE 374396 3418821 1200.6265 REPAIRS-EQUIPMENT POLICE MANAGEMENT 2,085.37 COPIER MAINTENANCE 374396 3418821 1030.6265 REPAIRS-EQUIPMENT INFORMATION TECHNOLOGY 9.11 COPIER MAINTENANCE 374396 3418821 5065.6265 REPAIRS-EQUIPMENT LIQUOR#2 OPERATIONS 47.36 COPIER MAINTENANCE 374396 3418821 5095.6265 REPAIRS-EQUIPMENT LIQUOR#3 OPERATIONS 57.84 COPIER MAINTENANCE 374396 3418821 5025.6265 REPAIRS-EQUIPMENT LIQUOR#1 OPERATIONS 74.76 COPIER MAINTENANCE 374396 3418821 5105.6265 REPAIRS-EQUIPMENT GOLF MANAGEMENT 'R55CKR2 LOGIS101 CITY OF APPLE VALLEY 5/28/2020 10:47:13 Council Check Register by GL Page- 24 Council Check Register by Invoice&Summary 5/20/2020 -- 6/1/2020 Check# Date Amount Supplier/Explanation PO# Doc No Inv No Account No Subledger Account Description Business Unit 305199 5/27/2020 116371 LOFFLER COMPANIES INC(CONT I Continued... 30.57 COPIER MAINTENANCE 374396 3418821 5210.6265 REPAIRS-EQUIPMENT ARENA 1 BUILDING MAINTENANCE 3,356.69 305200 5/27/2020 145429 LUBE-TECH&PARTNERS,LLC 28.33 WASHER FLUID 374402 1604282 1630.6229 GENERAL SUPPLIES STREET EQUIPMENT MAINTENANCE 28.33 WASHER FLUID 374402 1604282 1765,6229 GENERAL SUPPLIES PARK EQUIPMENT MAINTENANCE 28.33 WASHER FLUID 374402 1604282 1350.6229 GENERAL SUPPLIES FIRE VEHICLE MAINTENANCE 40.37 WASHER FLUID 374402 1604282 1210.6212 MOTOR FUELS/OILS POLICE FIELD OPERATIONS/PATROL 83.81 DEF FLUID 374402 1604282 1630.6212 MOTOR FUELS/OILS STREET EQUIPMENT MAINTENANCE 83.81 DEF FLUID 374402 1604282 1350,6212 MOTOR FUELS/OILS FIRE VEHICLE MAINTENANCE 83.81 DEF FLUID 374402 1604282 1765.6212 MOTOR FUELS/OILS PARK EQUIPMENT MAINTENANCE 28.33 WASHER FLUID 374402 1604282 5345.6229 GENERAL SUPPLIES WATER EQUIPNEHICLE/MISC MNTC 28.33 WASHER FLUID 374402 1604282 5390.6229 GENERAL SUPPLIES SWR EQUIPNEHICLE MISC MNTC/RP 83.81 DEF FLUID 374402 1604282 5345.6212 MOTOR FUELS/OILS WATER EQUIPNEHICLE/MISC MNTC 83.81 DEF FLUID 374402 1604282 5390.6212 MOTOR FUELS/OILS SWR EQUIPNEHICLE MISC MNTC/RP 601.07 305201 5/27/2020 130692 MARTIN MARIETTA MATERIALS 964.14 GRANITE CHIPS(23.4 TN)POTHOLES 374406 28618704 1610.6229 GENERAL SUPPLIES STREET/BOULEVARD REPAIR&MNTC '964:14 305202 5/27/2020 100309 MENARDS 31.82- GOLF USE TAX 374435 79264 5100.2330 DUE TO OTHER GOVERNMENT GOLF FUND BALANCE SHEET 31.82 GOLF USE TAX 374435 79264 5145.6229 GENERAL SUPPLIES GOLF SHOP BUILDING MAINTENANCE 462.90 LUMBER,MISC 374435 79264 5145.6229 GENERAL SUPPLIES GOLF SHOP BUILDING MAINTENANCE 51.62 KELLEY CLOCK TOWER REPAIR 374450 79445 1720.6229 GENERAL SUPPLIES PARK GROUNDS MAINTENANCE 7.94 KELLEY CLOCK TOWER REPAIR 374451 79460 1720.6229 GENERAL SUPPLIES PARK GROUNDS MAINTENANCE 375.48 SOFTENER SALT CMF 374444 79613 1540.6229 GENERAL SUPPLIES CMF BUILDINGS&GROUNDS MNTC 195.87 SUMP PUMP AND HARDWARE. 374452 79621 1940,6211 SMALL TOOLS&EQUIPMENT AQUATIC SWIM CENTER 43.92 PLUMBING PARTS 374454 79716 1940.6215 EQUIPMENT-PARTS AQUATIC SWIM CENTER 1,137,73 305203 5/27/2020 153896 MILLERBERND MANUFACTURING CO 5,359.00 ANCHOR BOLTS-TRAFFIC SIGNAL 374391 155383 4502.6810 2019108R CONSTRUCTION IN PROGRESS IMPROVEMENTS-ASSESSED 5,359.00 305204 5/27/2020 101199 NCPERS MINNESOTA 640.00 NCPERS JUNE 2020 374404 314900062020 9000.2120 ACCRUED BENEFIT LIABILITY PAYROLL CLEARING BAL SHEET 640.00 /- , R55CKR2 LO, I CITYOFAPPL ,EY 5/28/2 '47:13 Council Check Register by GL Page- 25 Council Check Register by Invoice&Summary • 5/20/2020 -- 6/1/2020 Check# Date Amount Supplier/Explanation PO# Doc No Inv No Account No Subledger Account Description Business Unit 305205 5/27/2020 122005 NORTHLAND CHEMICAL CO Continued... 20.00 2 WIPES DISPENSERS 374573 54352 1920.6229 COVID-19 GENERAL SUPPLIES SENIOR CENTER 40.00 2 WIPES DISPENSER 374573 54352 1930.6229 COVID-19 GENERAL SUPPLIES REDWOOD POOL 60,00 3 WIPES DISPENSER 374573 54352 1060.6229 COVID-19 GENERAL SUPPLIES MUNICIPAL BLDG&GROUNDS MNTC 320.00 16 WIPES DISPENSERS 374573 54352 1015,6229 COVID-19 GENERAL SUPPLIES CITY CLERK/ELECTIONS 6.88- LIQ USE TAX 374573 54352 5000.2330 COVID-19 DUE TO OTHER GOVERNMENT LIQUOR BALANCE SHEET 1.38 LIQ2 USE TAX 374573 54352 5065,6229 COVID-19 GENERAL SUPPLIES LIQUOR#2 OPERATIONS 2.75 LIQ3 USE TAX 374573 54352 5095.6229 COVID-19 GENERAL SUPPLIES LIQUOR#3 OPERATIONS 2.75 LIQ1 USE TAX 374573 54352 5025.6229 COVID-19 GENERAL SUPPLIES LIQUOR#1 OPERATIONS 20.00 WIPES DISPENSER 374573 54352 5065.6229 COVID-19 GENERAL SUPPLIES LIQUOR#2 OPERATIONS 40.00 2 WIPES DISPENSERS 374573 54352 5025.6229 COVID-19 GENERAL SUPPLIES LIQUOR#1 OPERATIONS 40,00 2 WIPES DISPENSERS 374573 54352 5095.6229 COVID-19 GENERAL SUPPLIES LIQUOR#3 OPERATIONS 5.50- GOLF USE TAX 374573 54352 5100.2330 COVID-19 DUE TO OTHER GOVERNMENT GOLF FUND BALANCE SHEET 5.50 GOLF USE TAX 374573 54352 5110.6229 COVID-19 GENERAL SUPPLIES GOLF CLUBHOUSE BUILDING 80.00 2 WIPES DISPENSERS 374573 54352 5110.6229 COVID-19 GENERAL SUPPLIES GOLF CLUBHOUSE BUILDING 620.00 305206 5/27/2020 100605 PGA OF AMERICA 411.00 PGA DUES-ZINCK 374393 2407243 5105.6280 DUES&SUBSCRIPTIONS GOLF MANAGEMENT 411.00 305207 5/27/2020 100751 PHILLIPS WINE&SPIRITS INC 95.00 LIQ#1 00000106 374673 6031906 5015.6510 LIQUOR LIQUOR#1 STOCK PURCHASES 1,264.50 WINE#1 00000106 374701 6031907 5015.6520 WINE LIQUOR#1 STOCK PURCHASES 386,00 TAX#1 00000106 374674 6031908 5015.6540 TAXABLE MISC FOR RESALE LIQUOR#1 STOCK PURCHASES 119.60 NTAX#1 00000106 374675 6031908 5015.6545 NON-TAXABLE MISC FOR RESALE LIQUOR#1 STOCK PURCHASES 49,50 LIQ#2 00000106 374686 6031909 5055.6510 LIQUOR LIQUOR#2 STOCK PURCHASES 357.00 LIQ#3 00000106 374688 6031910 5085.6510 LIQUOR LIQUOR#3 STOCK PURCHASES 185,00 LIQ#3 00000106 374689 6031911 5085.6510 LIQUOR LIQUOR#3 STOCK PURCHASES 516.25 WINE#3 00000106 374690 6031911 5085.6520 WINE LIQUOR#3 STOCK PURCHASES 469.90 TAX#3 00000106 374691 6031912 5085.6540 TAXABLE MISC FOR RESALE LIQUOR#3 STOCK PURCHASES 116.40 NTAX#3 00000106 374692 6031912 5085.6545 NON-TAXABLE MISC FOR RESALE LIQUOR#3 STOCK PURCHASES 297.55 LIQ#1 00000106 374676 6034292 5015.6510 LIQUOR LIQUOR#1 STOCK PURCHASES 370.00 LIQ#1 00000106 374677 6034293 5015.6510 LIQUOR LIQUOR#1 STOCK PURCHASES 499.01 WINE#1 00000106 374678 6034293 5015.6520 WINE LIQUOR#1 STOCK PURCHASES 69.90 NTAX#1 00000106 374679 6034294 5015.6545 NON-TAXABLE MISC FOR RESALE LIQUOR#1 STOCK PURCHASES 116.00 WINE#2 00000106 374702 6034296 5055.6520 WINE LIQUOR#2 STOCK PURCHASES 450.00 LIQ#3 00000106 374693 6034297 5085.6510 LIQUOR LIQUOR#3 STOCK PURCHASES 3,216.00 WINE#3 00000106 374704 6034298 5085.6520 WINE LIQUOR#3 STOCK PURCHASES 249.90 TAX#3 00000106 374694 6034299 5085.6540 TAXABLE MISC FOR RESALE LIQUOR#3 STOCK PURCHASES 109.90 NTAX#3 00000106 374695 6034299 5085.6545 NON-TAXABLE MISC FOR RESALE LIQUOR#3 STOCK PURCHASES R55CKR2 LOGIS101 CITY OF APPLE VALLEY 5/28/2020 10:47:13 Council Check Register by GL Page- 26 Council Check Register by Invoice&Summary 5/20/2020 -- 6/1/2020 Check# Date Amount Supplier/Explanation PO# Doc No Inv No Account No Subledger Account Description Business Unit 305207 5/27/2020 100751 PHILLIPS WINE&SPIRITS INC Continued... 1,025,25 LIQ#1 00000106 374681 6037075 5015.6510 LIQUOR LIQUOR#1 STOCK PURCHASES 259,00 LIQ#1 00000106 374682 6037076 5015.6510 LIQUOR LIQUOR#1 STOCK PURCHASES 542.25 WINE#1 00000106 374683 6037076 5015.6520 WINE LIQUOR#1 STOCK PURCHASES 148.00 TAX#1 00000106 374684 6037077 5015.6540 TAXABLE MISC FOR RESALE LIQUOR#1 STOCK PURCHASES 306.40 NTAX#1 00000106 374685 6037077 5015,6545 NON-TAXABLE MISC FOR RESALE LIQUOR#1 STOCK PURCHASES 238.12 LIQ#3 00000106 374696 6037078 5085.6510 LIQUOR LIQUOR#3 STOCK PURCHASES 540,40 TAX#3 00000106 374697 6037079 5085.6540 TAXABLE MISC FOR RESALE LIQUOR#3 STOCK PURCHASES 193.15 NTAX#3 00000106 374698 6037079 5085.6545 NON-TAXABLE MISC FOR RESALE LIQUOR#3 STOCK PURCHASES 259,75 LIQ#2 00000106 374687 6037080 5055,6510 LIQUOR LIQUOR#2 STOCK PURCHASES 91.00 WINE#2 00000106 374703 6037081 5055.6520 WINE LIQUOR#2 STOCK PURCHASES 1,342.30 LIQ#3 00000106 374699 6037082 5085.6510 LIQUOR LIQUOR#3 STOCK PURCHASES 1,861.29 WINE#3 00000106 374705 6037083 5085,6520 WINE LIQUOR#3 STOCK PURCHASES 84,40 TAX#3 00000106 374700 6037084 5085.6540 TAXABLE MISC FOR RESALE LIQUOR#3 STOCK PURCHASES 25.90- CMNTAX#1 00000106 374680 605724 5015.6545 NON-TAXABLE MISC FOR RESALE LIQUOR#1 STOCK PURCHASES 15,802.82 305208 5/27/2020 100262 PING 9.19- GOLF SALES TAX ADJUST 374460 15135327 5115.6413 GOLF-CAPS/HATS/CLOTHING GOLF PRO SHOP 9.19 GOLF SALES TAX ADJUST 374460 15135327 5100.2330 DUE TO OTHER GOVERNMENT GOLF FUND BALANCE SHEET 138.19 HATS FOR RESALE 374460 15135327 5115.6413 GOLF-CAPS/HATS/CLOTHING GOLF PRO SHOP 138.19 305209 5/27/2020 143336 PREMIER LOCATING INC 598.24 GSOC ELECTRICAL LOCATES 374566 40969 5805.6249 OTHER CONTRACTUAL SERVICES STREET LIGHT UTILITY FUND 598.24 305210 5/27/2020 101797 RCM SPECIALTIES INC 529.76 ASPHALT EMULSIFIER(172 GA) 374411 7450 1610.6229 GENERAL SUPPLIES STREET/BOULEVARD REPAIR&MNTC 540.60 ASPHALT EMULSIFIER 374553 7486 1610.6229 GENERAL SUPPLIES STREET/BOULEVARD REPAIR&MNTC 1,070.36 305211 5/27/2020 154968 RISKEDAHL,DIONNE 480.00 REFUND AVCC RENTAL 6-20-2020 374754 202005211 1001.5115 RENTS-APPLE VALLEY COMM CENTER GENERAL FUND REVENUE 480.00 305212 5/27/2020 152480 RMB ENVIRONMENTAL LAB 250.00 WATER QUALITY LAB TESTS 374749 499109 5505.6235 CONSULTANT SERVICES STORM DRAIN MNTC/RPR/SUMPS 71.00 WATER QUALITY LAB TEST 374748 500426 5505.6235 CONSULTANT SERVICES STORM DRAIN MNTC/RPR/SUMPS 321.00 R55CKR2 LOB CITY OF APPLI =Y 5/28/21 A47:13 Council Check Register by GL Page- 27 Council Check Register by Invoice&Summary 5/20/2020 -- 6/1/2020 Check# Date Amount Supplier/Explanation PO# Doc No Inv No Account No Subledger Account Description Business Unit 305213 5/27/2020 145283 SAVATREE Continued... 41,650.00 '20 ROW TREE PRUNING FINAL#1 374562 7222297A 1600.6249 2020120G OTHER CONTRACTUAL SERVICES STREET MANAGEMENT 41,650.00 305214 5/27/2020 100432 SEH ENGINEERS 9.75- VALLEYWOOD CELL COOR-AT&T 374106 383766 5305.6235 2017101W CONSULTANT SERVICES WATER MGMT/REPORT/DATA ENTRY 2,474.40- VALLEYWOOD CELL COOR-AT&T 374107 383767 5305.6235 2017101W CONSULTANT SERVICES WATER MGMT/REPORT/DATA ENTRY 48.56- VALLEYWOOD CELL COOR-SPRINT 374108 383768 5305.6235 2017101W CONSULTANT SERVICES WATER MGMT/REPORT/DATA ENTRY 189.36- VALLEYWOOD CELL COOR-SPRINT 374109 383769 5305.6235 2017101W CONSULTANT SERVICES WATER MGMT/REPORT/DATA ENTRY 1,640.96- VALLEYWOOD CELL COORDINATION 374110 383770 5305.6235 2017101W CONSULTANT SERVICES WATER MGMT/REPORT/DATA ENTRY 7,680,49 VALLEYWOOD CELL COOR-VERIZON 374525 383771 5305.6235 2017101W CONSULTANT SERVICES WATER MGMT/REPORT/DATA ENTRY 7,690.33 VALLEYWOOD CELL COOR-TMOBILE 374526 383772 5305.6235 2017101W CONSULTANT SERVICES WATER MGMT/REPORT/DATA ENTRY 976.09 LONGRIDGE CELL COOR-SPRINT 374417 384937 5305.6235 2020113W CONSULTANT SERVICES WATER MGMT/REPORT/DATA ENTRY 1,133,54 LONGRIDGE CELL COOR-TMOBILE 374579 384938 1000.2430 20053008 ANTENNA LEASE ESCROWS GENERAL FUND BALANCE SHEET 857.37 LONGRIDGE CELL COOR-ZAYO 374418 384939 5305,6235 2020113W CONSULTANT SERVICES WATER MGMT/REPORT/DATA ENTRY 42,773,51 CONSTRUCTION ADMIN 374390 385410 4502.6235 2019108R CONSULTANT SERVICES IMPROVEMENTS-ASSESSED 969.67 VALLEYWOOD RES REHAB CONSULT 374577 386596 5320.6735 2017101W CAPITAL OUTLAY-OTHER IMPROVEME WATER WELL/BOOSTER STN MNT/RPR 771.94 LONGRIDGE CELL COOR-SPRINT 374580 386597 5305.6235 2020113W CONSULTANT SERVICES WATER MGMT/REPORT/DATA ENTRY 574.39 LONGRIDGE CELL COOR-TMOBILE 374581 386598 1000.2430 20053008 ANTENNA LEASE ESCROWS GENERAL FUND BALANCE SHEET 962.57 LONGRIDGE CELL COOR-TMOBILE 374582 386599 1000.2430 20053008 ANTENNA LEASE ESCROWS GENERAL FUND BALANCE SHEET 60,026.87 305215 5/27/2020 100645 SHAW,KAREN L 225.00 REFUND 3 AVFAC PUNCH CARDS 374760 202005222 1001.4330 COVID-19 SWIM CENTER REVENUE GENERAL FUND REVENUE 225.00 305216 5/27/2020 154969 SHERBURNE CONSTRUCTION 3,500_00 NRMP 7668 150TH ST W 374575 20200513 4900.2420 NRMP FIN GUAR-DEVELOPER DEP PHYSICAL IMPROV ESCROW BAL SHT 3,500.00 305217 5/27/2020 111161 SHRED IT USA LLC 18.29 SHRED IT 374751 8129791809 1510.6240 CLEANING SERVICE/GARBAGE REMOVPW ENGINEERING&TECHNICAL 18.29 SHRED IT 374751 8129791809 1100.6240 CLEANING SERVICE/GARBAGE REMOVDEV MANAGEMENT 54.87 SHRED IT 374751 8129791809 1400.6240 CLEANING SERVICE/GARBAGE REMOVINSPECTIONS MANAGEMENT 91.45 305218 5/27/2020 140021 ST PAUL,CITY OF 669.30 ASPHALT MIX 10 TON FOR REPAIRS 374407 IN40925 1610.6229 GENERAL SUPPLIES STREET/BOULEVARD REPAIR&MNTC 669.30 305219 5/27/2020 154941 STEINKE,JOSH R55CKR2 LOGIS101 CITY OF APPLE VALLEY 5/28/2020 10:47:13 Council Check Register by GL Page- 28 Council Check Register by Invoice&Summary 5/20/2020 -- 6/1/2020 Check# Date Amount Supplier/Explanation PO# Doc No Inv No Account No Subledger Account Description Business Unit 305219 5/27/2020 154941 STEINKE,JOSH Continued... 140,00 4 PR JEANS-J STEINKE 374389 20200507 5305.6281 UNIFORM/CLOTHING ALLOWANCE WATER MGMT/REPORT/DATA ENTRY 140.00 • 305220 5/27/2020 154471 STORAGE SOLUTIONS,INC. 1,000.00 EVIDENCE ROOM SHELVING 374416 907891N 4002.6720 2019157G CAPITAL OUTLAY-FURNITURE&FIX MUNICIPAL BUILDINGS 1,000.00 305221 5/27/2020 154954 THOMPSON,ANNE 26.00 REFUND LITTLE CHEFS REG(X2) 374763 2004337002 1001,4351 COVID-19 PRE SCHOOL PROGRAMS GENERAL FUND REVENUE 242.00 REFUND MUSIC TOGETHER REG(X2) 374605 202005152 1001.4351 COVID-19 PRE SCHOOL PROGRAMS GENERAL FUND REVENUE 268.00 305222 5/27/2020 101213 TRAFFIC CONTROL CORPORATION 33,400.90 SIGNAL CABINET 374405 120321 4502.6810 2019108R CONSTRUCTION IN PROGRESS IMPROVEMENTS-ASSESSED 33,400.90 305223 5/27/2020 110884 TRANE U.S.INC. 1,064.40 COMPUTER AUTOMATION 374530 310729886 5325.6215 EQUIPMENT-PARTS WATER TREATMENT FCLTY MNTC/RPR 1,064.40 305224 5/27/2020 100481 TRI-STATE BOBCAT INC 113,52 TOOLCAT MOWER PARTS 374421 P33629 1630.6215 EQUIPMENT-PARTS STREET EQUIPMENT MAINTENANCE 113.52 305225 5/27/2020 101587 TWIN CITY WATER CLINIC INC 660,00 WATER TESTING APRIL 374409 14406 5305.6249 OTHER CONTRACTUAL SERVICES WATER MGMT/REPORT/DATA ENTRY 250.00 WATER TESTING 374446 14450 4502.6810 2019108R CONSTRUCTION IN PROGRESS IMPROVEMENTS-ASSESSED 250.00 WATER TESTING 374447 14467 2027,6810 2020101G CONSTRUCTION IN PROGRESS ROAD ESCROW 1,160,00 305226 5/27/2020 142614 USA SAFETY SUPPLY CORP 25.37 2 HARD HATS-ENG INTERNS 374386 138159 1510.6281 UNIFORM/CLOTHING ALLOWANCE PW ENGINEERING&TECHNICAL 26.50 STREETS SEASONAL SHIRTS 374603 138260 1600.6281 UNIFORM/CLOTHING ALLOWANCE STREET MANAGEMENT 26.52 ENGINEERING SEASONAL SHIRTS 374603 138260 151 D.6281 UNIFORM/CLOTHING ALLOWANCE PW ENGINEERING&TECHNICAL 13,25 UTIL SEWER SEASONAL SHIRTS 374603 138260 5365.6281 UNIFORM/CLOTHING ALLOWANCE SEWER MGMT/REPORTS/DATA ENTRY 13.25 UTIL WATER SEASONAL SHIRTS 374603 138260 5305.6281 UNIFORM/CLOTHING ALLOWANCE WATER MGMT/REPORT/DATA ENTRY 104.89 306227 5/27/2020 152720 VERIZON 1,217.30 VERIZON GPS 374555 OSV0000021018 1530.6237 TELEPHONE/PAGERS FLEET&BUILC CMF TPM R55CKR2 LQi CITY OF APPLfEY 5/28/2 47 13 Council Check Register by GL Page- 29 Council Check Register by Invoice&Summary 5/20/2020 -- 6/1/2020 Check# Date Amount Supplier/Explanation PO# Doc No Inv No Account No Subledger Account Description Business Unit 305227 5/27/2020 152720 VERIZON Continued... 1,217,30 305228 5/27/2020 100081 WASTE MANAGEMENT-BURNSVILLE LANDFILL 680.26 PARKS TRASH 374433 3414402911 1720.6240 CLEANING SERVICE/GARBAGE REMOVPARK GROUNDS MAINTENANCE 680.26 305229 5/27/2020 108865 WINFIELD SOLUTIONS,LLC 225.63 CHEMICALS 374458 63796951 5150.6214 CHEMICALS GOLF COURSE MAINTENANCE 225.63 305230 5/27/2020 109061 ZEP VEHICLE CARE INC 255.56 TRUCK WASH 374455 9005172526 1350.6229 GENERAL SUPPLIES FIRE VEHICLE MAINTENANCE 255.56 20200538 5/29/2020 148015 EMPOWER 810.00 MNDCP-457 CONTRIBUTIONS 374587 5272010192710 9000,2120 ACCRUED BENEFIT LIABILITY PAYROLL CLEARING BAL SHEET 810,00 20200539 5/29/2020 151439 EMPOWER 200.00 MNDCP-ROTH 457 CONTRIBUTIONS 374590 5272010192713 9000.2120 ACCRUED BENEFIT LIABILITY PAYROLL CLEARING BAL SHEET 200,00 20200540 5/29/2020 148869 EMPOWER(HCSP) 311,26 SERGEANT HCSP FUNDING-GROSS WA 374589 5272010192712 9000.2120 ACCRUED BENEFIT LIABILITY PAYROLL CLEARING BAL SHEET 846.42 ADMIN HCSP FUNDING-GROSS WAGES 374589 5272010192712 9000.2120 ACCRUED BENEFIT LIABILITY PAYROLL CLEARING BAL SHEET 1,282.96 POLICE HCSP FUNDING-GROSS WAGE 374589 5272010192712 9000.2120 ACCRUED BENEFIT LIABILITY PAYROLL CLEARING BAL SHEET 2,245.57 HCSP FUNDING-ANN LV/COMP 374589 5272010192712 9000.2120 ACCRUED BENEFIT LIABILITY PAYROLL CLEARING BAL SHEET 4,686.21 20200541 5/28/2020 148841 FURTHER 4,746.94 HSA EMPLOYEE FUNDING 374588 5272010192711 9000.2125 ACCRUED HSA/HRA BENEFIT PAYROLL CLEARING BAL SHEET 4,746.94 20200542 5/26/2020 148841 FURTHER 162.51 FLEX SPENDING MEDICAL-2020 374606 39439969 9000.2119 ACCRUED FLEX SPENDING PAYROLL CLEARING BAL SHEET 1,153.86 FLEX SPENDING DAYCARE-2020 374606 39439969 9000.2119 ACCRUED FLEX SPENDING PAYROLL CLEARING BAL SHEET 1,316.37 20200543 5/29/2020 151440 VANTAGEPOINT TRANSFER AGENTS 1,575.50 ROTH 457-PLAN#301171-FIRE TOO 374591 5272010192714 9000.2120 ACCRUED BENEFIT LIABILITY PAYROLL CLEARING BAL SHEET R55CKR2 LOGIS101 CITY OF APPLE VALLEY 5/28/2020 10:47:13 Council Check Register by GL Page- - 30 Council Check Register by Invoice 8,Summary 5/20/2020 -- 6/1/2020 Check# Date Amount Supplier/Explanation PO# Doc No Inv No Account No Subledger Account Description Business Unit 20200543 5/29/2020 151440 VANTAGEPOINT TRANSFER AGENTS Continued... 1,575.50 20200544 5/29/2020 100240 VANTAGEPOINT TRANSFER AGENTS-457 FT 26,074.90 ICMA-PLAN#301171-FIRE TOO 374586 527201019271 9000.2120 ACCRUED BENEFIT LIABILITY PAYROLL CLEARING BAL SHEET 26,074.90 20200545 5/29/2020 126459 VANTAGEPOINT TRANSFER AGENTS-ROTH 3,568.05 ROTH IRA-PLAN#705481 374598 527201019278 9000.2120 ACCRUED BENEFIT LIABILITY PAYROLL CLEARING BAL SHEET 3,568.05 20200601 6/1/2020 102664 US BANK 9,409.36 EMPLOYEE MEDICARE 374596 527201019276 9000.2111 ACCRUED FEDERAL/FICA PAYROLL CLEARING BAL SHEET 9,409.36 CITY SHARE MEDICARE 374596 527201019276 9000.2111 ACCRUED FEDERAL/FICA PAYROLL CLEARING BAL SHEET 27,647.63 EMPLOYEE FICA 374596 527201019276 9000.2111 ACCRUED FEDERAL/FICA PAYROLL CLEARING BAL SHEET 27,647.64 CITY SHARE FICA 374596 527201019276 9000.2111 ACCRUED FEDERAL/FICA PAYROLL CLEARING BAL SHEET 61,878.96 FEDERAL TAXES PR 374596 527201019276 9000.2111 ACCRUED FEDERAL/FICA PAYROLL CLEARING BAL SHEET 135,992.95 20200602 6/1/2020 100657 MN DEPT OF REVENUE 27,849.57 STATE TAX WITHHOLDING 374594 527201019274 9000.2112 ACCRUED STATE W/H PAYROLL CLEARING BAL SHEET 27,849.57 20200603 6/1/2020 100392 PUBLIC EMPLOYEES RETIREMENT AS 52,635.93 EMPLOYEE SHARE PERA 374592 527201019272 9000.2114 ACCRUED PERA PAYROLL CLEARING BAL SHEET 69,387,52 CITY SHARE PERA 374592 527201019272 9000.2114 ACCRUED PERA PAYROLL CLEARING BAL SHEET 122,023.45 1,626,982.58 Grand Total Payment Instrument Totals Checks 796,816.64 EFT Payments 328,843,94 A/PACH Payment 501,322.00 Total Payments 1,626,982.58 R55CKS2 LC - d CITY OFAPPL.EY 5128/2 4742 Note Payment amount may not reflect the actual amount due to data sequencing and/or data selection. Council Check Summary Page- 1 5/20/2020 - 6/1/2020 Company Amount 01000 GENERAL FUND 136,209.87 02025 ROAD ESCROW FUND 1,477.11 02090 PARTNERS IN EDUCATION 1,321.11 02095 CENTRAL VILLAGE PARKING LOT 64.57 04000 MUNICIPAL BUILDING FUND 10,949.47 04500 CONSTRUCTION PROJECTS 85,687,00 04900 PHYSICAL IMPROVEMENTS ESCROW F 16,300.00 05000 LIQUOR FUND 113,896.42 05100 GOLF FUND 11,390.52 05200 ARENA FUND 46,484.41 05300 WATER&SEWER FUND 346,562.28 05500 STORM DRAINAGE UTILITY FUND 6,798.23 05600 CEMETERY FUND LEVEL PROGRAM 93.39 05800 STREET LIGHT UTIL FUND 2,802.82 07200 RISK MANAGEMENT/INSURANCE FUND 462,171.30 07400 VERF-POLICE 42,269.37 09000 PAYROLL CLEARING FUND 342,504.71 Report Totals 1,626,982.58 I I t L •••• ITEM: 5.A. ..... •5• Appleil COUNCIL MEETING DATE: June 11, 2020 Valley SECTION: Regular Agenda Description: Hold Public Hearing on Vacation of Drainage and Utility Easements on Outlot B, Menards at Hanson Concrete, on SW Corner of Johnny Cake Ridge Road and 147th Street W. (Preliminary Platted as Apple Valley Commerce Center) Staff Contact: Department/ Division: Kathy Bodmer,Al CP, Planner Community Development Department Applicant: Project Number: Scannell Properties #281, LLC and Menard, Inc. PC19-20-SB Applicant Date: 4/23/2020 60 Days: 6/22/2020 120 Days: 8/21/2020 ACTION REQUESTED: Conduct public hearing to consider vacation of drainage and utility easements on Outlot B, Menards at Hanson Concrete on the southwest corner of Johnny Cake Ridge Road and 147th Street West (preliminary platted as Apple Valley Commerce Center). SUMMARY: Scannell Properties #281, LLC, and Menard, Inc., request consideration of vacation of a drainage and utility easement for a trunk storm sewer pipe. The two property owners are working together to conduct a land swap to reshape the Scannell property to make it more suitable for development. The new plat, Apple Valley Commerce Center, will shift a common lot line to the south to "square up" the Scannell property. The property owners request that the easement be relocated to the south to match the new property line location. The easement for the trunk storm sewer line would be rededicated as part of the Apple Valley Commerce Center final plat which will be reviewed at an upcoming meeting. Scannell wishes to reconfigure its lot so that it can construct a 117,000 sq. ft. flex-industrial office warehouse building on Lot 2, Block 1 Apple Valley Commerce Center. Preliminary approvals were obtained for this development at the City Council's March 12, 2020, meeting. BACKGROUND: A large drainage and utility easement was dedicated for a large trunk storm sewer pipe along the north property line of Outlot B in connection with the Menards at Hanson Concrete subdivision approval. The pipe will drain Johnny Cake Ridge Road. The Apple Valley Commerce Center upcoming final plat moves the shared lot line for the Scannell and Menard properties south approximately 100 feet; the vacation is requested to move the easement to better align with the new property line location. Relocating the easement will also allow for more efficient use of the Scannell property. The two property owners have worked closely with the City Engineer on the new easement location. The trunk storm sewer line has not yet been installed, pending the completion of the final plat of the Apple Valley Commerce Center. The vacation of the drainage and utility easement will be followed by dedication of replacement easements with the new plat which is expected to occur at an upcoming City Council meeting. In order to vacate the easement, the City must make a determination that the easement is no longer needed for public purposes. The City Engineer states that he does not object to the vacation as long as a replacement easement is dedicated for the trunk storm sewer line. The process for review of a request for a vacation of easement includes contacting utility companies so that they may respond if they have services in the area. No objections have been received to date from other utility companies. Staff recommends that the hearing for the vacation of the easements be held, but that no other formal action be taken until the City Council reviews the Apple Valley Commerce Center final plat. This will ensure that replacement easements are dedicated along the new property line. BUDGET IMPACT: N/A ATTACHMENTS: Map Correspondence Presentation N� :• L I 144TH;ST W lil-I.!. : IlllllliIL � i 11i 1 - , f 1 . . • I il I 1111. r , . .. .:7•• t _ ` UPPER147TH,ST W�D " .YaA� K Z - 1 �a ! :^ Wr. . - _S 014.4. ` a i:I• �r _ S' ?� r . r* ' _ _ :. � � a -ark 1 L �'-- ---_. �r�V[ ._."Y�a�� t • 't m S T E4 Q '48TtiS �,i k U T P. as L :.' i• 1 li + . s. +� 149TH ST W ,f�: `, -•- I r'7 • . I L is r- i - ' - - ... 150TH STkWr _ 150TH ST.W..._. mgegoimok pd. i I , :oir, . i . ., A • -.. �!k - r 151 ST'ST W^;-- OUTLOT B Anvil ill' m �r�f' J MENARDS AT HANSON �� �,.r Ir�r �.�. r� i W ii• j��'�1•'Rr t CONCRETE 4ate ��_�nr l �� an y 114 1��1�d� � # N kissis �■ ^^ �u1 mairau�tenet. 4Maringrffrid lr—Pi; ~N FLY°ID '�j� �P �A •r14,1.. LOCATION MAP _ ��„or, -_ {M� U , , ____ q __ 1 I— V / 1 1 c, / I.., C� / I:) A LIT - T ^T r)ri ir— r—A / / .r— ^1A/ / A ^ r' '74: <] 1 CC i r,I \ I L/1 I r1L_ L_n.: I I / . \ 'I .:VV I / `1- ..%r—C_v. . )J / NE COR. OF OUTLOT B, MENARDS AT, �,/ 0 I —NORTH LINE OF OUTLOT B, MENARDS—N HANSON CONCRETE \\ AT HANSON CONCRETE \ �I /// V E�i T;E/,vfic(1 M -/-/ /// / P,R � A/ I - I Lo�LIJ / - p / i���T / fir, -- b ,/ --- / N89'S4'29"W 764.19 ��� / I �� // ��� / / \ / / —DRAINAGE AND UTILITY— EASEMENT PER MENARDS AT N\ i i / HANSON CONCRETE \ /C LiI .._,. 1 1 ( A ^ I J \ \ \ I I ci (.: I J \ I •Z - Ii� II \�/� (/ / z_ N �(:) ` </ / ---------7------ /� ( < I \/I'/, \ i\ It' '7 J L. L_\__J `. f \ I \ _,J t � cJ K;- \ \ / \ K, / �Jv \ / That part of the public drainage and utility easement dedicated over OUTLOT B, MENARDS AT HANSON CONCRETE, according to the recorded plat thereof, Dakota County, Minnesota, lying northerly of the following described line: Commencing at the northeast corner of said OUTLOT B; thence on as assumed bearing of South 00 degrees 05 minutes 31 seconds West, along the east line of said OUTLOT B, 108.19 feet to the point of beginning for said line; thence North 89 degrees 54 minutes 29 seconds West 764.19 feet to the west line of said OUTLOT B and said line there terminating. - - W E N C K Addy, Sresstate, Zip PROJECT TITLE Cit - ASSOCIATES Ph: Foe: VACATION EXHIBIT DENOTES EXISTING DEDICATED Responsive partner.Exceptional outcomes. DRAINAGE AND UTILITY EASEMENT CLIENT NAME DWN BY CHK'D APP'D DWG DATE MARCH 2020 TO BE VACATED GJB XXX XXX SCALE 1" = 150' MENARD INC. PROJECT NO. 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''') ) '' ) Frontier Correspondence Outlot B, Menards at Hanson Concrete From: Gackstetter, Pamela <PGackste@ci.apple-valley.mn.us> Sent:Tuesday,June 2, 2020 2:08 PM To: Lawell,Tom <TLawell@ci.apple-valley.mn.us>; Bodmer, Kathy<KBodmer@ci.apple-valley.mn.us>; Sharpe,Alex<asharpe@ci.apple-valley.mn.us> Subject: FW: PROJECT NO. 5024-0031-VACATION EXHIBIT FYI... ::. ,.,.• Pamela J.Gackstetter I City of Apple Valley Apple„ Administration I City Clerk's Office pRValley 952.953.2506 I pgackstetter@ci.apple-valley.mn.us From: Latta, Ryan < > Sent:Tuesday,June 2, 2020 2:06 PM To: Gackstetter, Pamela <PGackste@ci.apple-valley.mn.us> Subject: PROJECT NO. 5024-0031 -VACATION EXHIBIT To whom it may concern; Frontier doesn't have any facilities in that area after the reconstruction of Johnny Cake Ridge Rd and 150th intersection, we moved to accommodate that. Thank You, Ryan Latta Network Engineer 14450 Burnhaven Dr Burnsville, MN 55306 (952)435- (0) (612)422- (C ) Frontier COMMUNICATIONS 6/11/2020 Apple Valley Commerce Vacation Public Hearing City Council Meeting June 11, 2020 t ""valley Location Map 9 1 - _cam . �na.- 1 - - 11PPER w :,�L 2 - r�� r� - Scannell . a nsTw_ v�hl '= P0� " I . - S I'TE 48 ,. is ._. }t,..., ..,. ... 4 !:, 4 a b x � W "54 Yp . . m, : ,i, t ) .„ .::::, , ,,lip .„1-.,,....-,.,- , _ . ._ 1, 1 . . :-. .: _ a w — 15oTH- - - .- ..._.. �a... 1 6/11/2020 Easement Location a ` I MENARDS AT HANSON �' { ", Approximate Current Easement Location CONCRETE !�I z _..7::. _ j S s s tip._ W w. ` E gg Ili ea. 1� I . , i'.(::-..-714'' \,.:', ,xa , til 1 It9... >�,,... Owe, I3? Requested Easement - AV Commerce Center o.,eo = I 95 B - _-UPPER-IJTTHSTREET WEST -�: ...i w .'' yzGec bs'�� — 5.98.661•L Requested i , y H o�rLOTA q ted Vacation I ' a , ,I i 3 rmuswr N �.,ri, vase 't.' au r/' vu'o, •. ' BLOCK 7 / I LOT 1 - a ! _ ., . , _ , , , New New Property Easement Location Line .�,a 0,r. '1 1 : .1: ,- *:#L, : . ,.. , , „., g. ! ,,1 2 6/11/2020 Requested Action Conduct public hearing to consider vacation of drainage and utility easement No further action recommended until final plat is approved. Apple Questions? A�VeII 0Y 3 • ITEM: 5.B. ..... .... Apple COUNCIL MEETING DATE: June 11, 2020 Valley SECTION: Regular Agenda Description: Adopt Resolution Approving Temporary Amendment to On-Sale Liquor License Premises Staff Contact: Department/ Division: Pamela J. Gackstetter, City Clerk City Clerk's Office ACTION REQUESTED: Adopt the resolution amending the On-Sale Intoxicating Liquor License and Special License for Sunday Liquor Sales by temporarily amending the licensed premises to include an outside area for El Azteca Apple, Inc., d/b/a El Azteca Mexican Restaurant, 6670 150th Street W., Ste. 106., subject to receipt of the necessary documents. SUMMARY: One of the conditions of an On-Sale Liquor License is that it is effective only for the area defined in the approved license. El Azteca Apple, Inc., d/b/a El Azteca Mexican Restaurant, 6670 150th Street W., Ste. 106, has submitted an application for a temporary amendment to their liquor license by adding a temporary outdoor seating area to their licensed premises. Temporary amendments to the licensed premises will expire on November 15, 2020. The area requested is confined and contiguous as required by state law. The site plan depicting the proposed temporary outdoor dining/alcohol area or licensed premises is attached as Exhibit A to each resolution. BACKGROUND: N/A BUDGET IMPACT: N/A ATTACHMENTS: Resolution Exhibit CITY OF APPLE VALLEY RESOLUTION NO. 2020- A RESOLUTION AMENDING LIQUOR LICENSE FOR EL AZTECA MEXICAN RESTAURANT WHEREAS, the City Council, by its Resolution No. 2019-146, granted license number L-2020-06 for"On-Sale Intoxicating Liquor" and"Special License for Sunday Liquor Sales" for the year 2020 to El Azteca Apple, Inc., d/b/a El Azteca Mexican Restaurant, 6670 150th Street W., Ste. 106; and WHEREAS, said licensee has requested to amend its licensed premises as shown in Exhibit A attached hereto. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Apple Valley, Dakota County, Minnesota, that: 1. Liquor License No. L-2020-06, as approved by Resolution No. 2019-146, is hereby amended to include the expanded licensed premises at 6670 150th Street W., Ste. 106, in Apple Valley, Minnesota, shown in Exhibit A. 2. All other terms and conditions of Resolution No. 2019-146 remain unchanged and in full force and effect. 3. The amended license shall not be effective until receipt of the necessary documents and the temporary outside dining area conforms to the approved site plan. ADOPTED this 11th day of June, 2020. Mary Hamann-Roland, Mayor ATTEST: Pamela J. Gackstetter, City Clerk EL AZTECA RESTAURANT TEMPORARY DINING AREA PLAN . ,_ .. ._ . . , __ T. . �: - z ,krt,,' ,,: I---.--1," Is ,, .i. .._. . , ____„... . { , ,41 • , , . . , , . ., ,._.:..... IN, --aptipw, . --- ' qv. -- • .. _1 „.6 , _ • s - ) . U D OR I I TTL DINING ,�,. .,,. — i .4 ;` AREA i",; r. �� c Y I. .. 412:. ob cr -r ‘ r r r - -•r—. A.d a., '•i--,sot—.c _ 1 . JLi. _ 1 --1 i. 1 C; 4 L! • .- _4.-'-.0... .i i).1it.. ` i k. i i. A,i , TWO TEMPORARY HANDICAP d s jr114 ' \ II 0... ' • ilL .= 1PARKI„-„,,.„ , - NG SPACES 1 . 1 1 E ,51,-N-4,,,i- 0-, i � - [j I - ,----- ---...., -., .%__ , ; .. _ ....2... - - y - I i . i n - — I ,7� _ •••• ITEM: 7. ..... •5• Apple COUNCIL MEETING DATE: June 11, 2020 Valley SECTION: Calendar of Upcoming Events Description: Approve Calendar of Upcoming Events Staff Contact: Department/ Division: Stephanie Marschall, Deputy City Clerk City Clerk's Office ACTION REQUESTED: Approve the calendar of upcoming events as listed in the summary below, and noting each event listed is hereby deemed a Special Meeting of the City Council. SUMMARY: Day/Date Time Location Event Thur./June 11 5:30 p.m. Virtual Meeting Informal City Council Meeting Thur./June 11 7:00 p.m. Virtual Meeting Regular City Council Meeting Wed./June 17 7:00 p.m. Virtual Meeting Planning Commission Meeting Orchard Path Senior Chamber Busincss After Hours Thur./June 18 4:30-6:30 p.m. tiving CANCELED June 24-26 St. Paul, MN LMC Annual Conference CANCELED Wed./June 24 9:00 a.m. Virtual Meeting Firefighters Relief Association Meeting Thur./June 25 1:00-2:30 p.m. Virtual Meeting LMC Annual Conference Business Meeting Fri./July 3 City Offices Closed Day Sat./July 4 1:00 p.m. Pennock & Fireside Frccdom Days Parade - CANCELED Johnny Cake Ridge Freedom Days Fireworks Sat./July 4 10:00 p.m. Park East Display CANCELED Wed./July 8 7:00 p.m. Municipal Center Traffic Safety Advisory Committee Meeting Thur./July 9 5:30 p.m. Municipal Center Informal City Council Meeting Thur./July 9 7:00 p.m. Municipal Center Regular City Council Meeting Wed./July 15 7:00 p.m. Municipal Center Planning Commission Meeting BACKGROUND: Each event is hereby deemed a Special Meeting of the City Council, the purpose being informational or social gathering. Only events marked with an asterisk (*) will any action of the Council take place. BUDGET IMPACT: N/A