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23-006 (01-17) Support Local Sales Tax for Capital Improvement Projectsuuuuolyll Cnvulupc 1v. Feu � I uvav­­-.v-.�. ....-v....�.-.���. — .. . RESOLUTION NO. 23-006 RESOLUTION SUPPORTING THE AUTHORITY TO IMPOSE A LOCAL SALES TAX TO FUND SPECIFIC CAPITAL IMPROVEMENTS THAT PROVIDE REGIONAL BENEFIT, TO ESTABLISH THE DURATION OF THE TAX AND THE REVENUE TO BE RAISED BY THE TAX, AND TO AUTHORIZE THE CITY OF GOLDEN VALLEY TO ISSUE BONDS SUPPORTED BY THE SALES TAX REVENUE WHEREAS, the City of Golden conducted a comprehensive study in 2021 to identify the future needs of its Public Safety and Public Works; and WHEREAS, the study determined that the City's facilities are outdated and undersized, create inefficiencies, and cannot be effectively remodeled to meet modern standards; and WHEREAS, the City extensively engaged residents and businesses during the study to establish principles, priorities and scenarios to develop a long-term phased approach to address its facility needs; and WHEREAS, the City's Public Safety operations serve the needs of the surrounding communities through emergency responses and regional collaboration; and WHEREAS, the City's Public Works operations manage and support a water supply system jointly owned and operated by the cities of Golden Valley, Crystal and New Hope, with water purchased by the City of Minneapolis and stored in reservoirs located in Crystal and Golden Valley; and WHEREAS, the City's Public Works operations maintain and manage a stormwater management system to protect and enhance the quality of stormwater that drains into the Mississippi River with management from Bassett Creek Water Management Commission which involves nine cites and WHEREAS, following a presentation of the completed facilities study, the City Council identified four areas are needed to be renovated to meet the needs of the City and the region: 1. Downtown Public Safety Facility: The current public safety building does not meet the operational needs for contemporary public safety operations, creating many operational inefficiencies. The current facility does not have gender -equitable locker rooms, suitable dedicated training space for classroom and physical training by police officers and fire fighters, sufficient secure space for vehicles and equipment, adequate workspace for officers and firefighters to complete administrative duties, or space to meet or engage with the public. The building's structural construction and limited site size limit the ability to modify or expand. ($45M) 2. Public Works Facility: The City's Public Works Department encompasses four divisions (Parks, Streets, Utilities, Vehicle Maintenance) to maintain local and regional infrastructure, uocuaign tnveiope w. -re- mvvv-•ro parks, vehicles and buildings. Work includes planned maintenance projects throughout the year, seasonal maintenance and response and emergency repairs. Currently Public Works operates out of four buildings on two different sites. A new public works facility would be moved out of the downtown area to allow more housing options. Public Works operates under a regional approach for mutual aid, works with the Bassett Creek Water Management Commission (9 cities) that works with storm water management, and the Joint Water Commission (3 cities) to maintain a water distribution system with the City of Minneapolis water. Golden Valley has four major trunk highway systems. ($45M) 3. Land: In order for the Public Safety Building to build on the City Campus, land must be purchased to move the Public Works Facility to another site. ($15M) WHEREAS, the projected cost to construct new facilities that meet the needs of the community and the region over a thirty year period exceed $190.5M. WHEREAS, the Minnesota Department of Revenue's estimate for the City of Golden Valley estimates that a local sales tax of 1.25 percent would generate $6.25 million annually. WHEREAS, the City has provided documentation of the regional significance of each project, including the share of the economic benefit to or use of each project by persons residing, or businesses located, outside of the jurisdiction; and WHEREAS, the estimated local sales tax revenue and estimated time needed to raise that amount of revenue for the project is as follows: • Municipal Facilities as described earlier WHEREAS, Minn. Stat.§ 297A.99 authorizes the imposition of a general sales tax if permitted by special law of the Minnesota Legislature; and WHEREAS, Minn. Stat.§ 297A.99 requires the City to pass a resolution authorizing such a local tax and to obtain Legislative approval prior to approval by the local voters to enact the local tax. NOW, THEREFORE, BE IT RESOLVED THAT the City Council supports the authority to impose a general local sales tax of 1.25 percent for a period of 30 years to fund the aforementioned project(s). Upon approval of this resolution, the City will submit the adopted resolution and documentation of regional significance to the chairs and ranking minority members of the House and Senate Taxes committees for approval and passage of a special law authorizing the tax, by January 31 of the year that it is seeking the special law. Upon Legislative approval and passage of the special law authorizing the tax, the City will adopt a resolution accepting the new law, which will be filed with a local approval certificate to the Office of the Secretary of State before the following Legislative session. uvcuoiyn V-nvciupw 1v. NOW, THEREFORE, BE IT FURTHER RESOLVED THAT the City will put a detailed ballot question(s), which includes separate questions for each project, on a general election ballot for local voter approval. This will be done within two years of receiving legislative authority. If the ballot question passes, the City will also pass an ordinance imposing the tax and notify the Commissioner of Revenue at least 90 days before the first day of the calendar quarter that the tax will be imposed. Upon completion of the aforementioned requirements, the local sales tax will commence and run thirty (30) years or until a sum sufficient to fund the voter approved project(s), including related debt costs, is raised, whichever comes first. Adopted by the City Council of Golden Valley, Minnesota this 17th day of January 2023. DocuSigned by: h . fkAms Shepard M. Harris, Mayor ATTEST: DocuSigned by: Tl•uc Theresa J. Schyma, City Clerk