NO ONE HAS COME FORWARD … YET
TO ASK FOR THE 2 A.M. BAR CLOSING
Victoria city staff sought direction from Council regarding the new 2 a.m. closing liquor law.  The 2003 Minnesota Legislative Session approved an amendment to the current liquor law that allows for the sale of alcoholic beverages on the liquor-licensed premises until 2 a.m. (instead of 1 a.m.) on all days of the week. 
Stated City Planner Mark Kaltsas, "It might be advisable to review our ordi-nance to see if we want to stay with the state or go on our own."  He said bar owners have to apply to the city to stay open beyond 1 a.m.
He reported that the cities of Minne-tonka and Shakopee have said "No" to the 2 a.m. closing extension, while the cities of Waconia, Chaska, and Chanhassen have said "Yes" to it.
Stated Councilmember Mary Thun, "I prefer to let the businesses come forward.  Then we can make a decision."  To date there has been no formal request for a Victoria liquor establishment to stay open beyond 1 a.m.

ASSISTING PRESBYTERIAN HOMES
AND POCKETING $24,000
Councilmembers voted 4-0 to partici-pate in the issuance of bonds for Presby-terian Homes, which proposes to build a 161-unit senior housing campus in the City of Chanhassen to be known as Villages on the Ponds.  Total cost of the project is approximately $27 million and the borrower proposes to finance $24 million through tax-exempt housing bonds.
The City of Chanhassen can finance no more than $7.8 million of the bonds as "bank qualified" because Chanhassen has already issued its capacity in bonds this year.
The City of Victoria was asked to act as the issuer for the entire $24 million of bonds.  In agreeing to do so, Victoria will receive a 1% administrative/issuance fee of $24,000.
Stated Jennifer Gray, a representative of Briggs and Morgan, the city's bond counsel, "The city has no liability and no moral obligation.  There will be backup borrowers with guarantees.  It doesn't affect your credit rating.  It doesn't affect your debt limits nor your standing in the bond market."
Councilmember Terry Bishop asked if there was a downside to the proposal.  A potential downside is that the city cannot issue any of its own bonds before the end of 2003.  However, the City of Victoria does not currently expect to issue any more of its own bonds for municipal projects this year.
As for possible default by Presbyteri-an Homes, the bond counsel stated, "There is a possibility, but the chances in these next six months for that is very tiny.  It's unlikely anything would happen.  Presbyterian Homes is a large entity and should be able to stand by its obligation."
The City of Victoria has participated in the issuance of tax-exempt bonds in a similar manner in the past for Pagel Center in Minnetonka, Holy Family Catholic High School, Mount Olivet Rolling Acres, and HEI. 

NEIGHBORHOOD STREET IMPROVEMENTS
PUBLIC HEARINGS COMING IN JULY
On June 12th councilmembers adopt-ed three resolutions that accept feasibility studies on three public projects in three different areas of Victoria.  The resolu-tions also call for public hearings on the improvements at dates yet unspecified.
The projects include street and drain-age improvements at Parkside Estates, the Smithtown Area, and Hartwood. 
Parkside Estates includes Lilac Lane and Kochia Lane.  The Smithtown Area involves Sunny Shadows, Smithtown Court, Smithtown Road, Smithtown Ter-race, Iris, Iris Circle, and Virginia Shores Circle.  Hartwood involves Marigold Street, Lilac Street, 79th and 79 ½ Streets.
Combined project cost is estimated to be $1,669,700.  Where there is reconstruc-tion of roads, the city will pick up half the tab while benefiting property owners will be assessed the other half.  Where there is new construction, benefiting property owners will pay 100% of that cost.  Most of the improvements are reconstruction projects.
City Planner Mark Kaltsas and City Engineer Jack Griffin are working on a schedule for the hearings, which will likely be held in July and August.
At this time the estimated assess-ments for each of the 30 benefiting properties at Parkside is $7,800; at Smith-town the assessments on approximately 50 properties are expected to range from about $3,800 to $8,100 depending on location; at Hartwood a typical assess-ment for each of the 30 benefiting properties varies from $5,800 to $8,000 depending on type of street.
All cost estimates are based on recent construction projects and assume that the proposed improvements would begin in 2004 as part of a city-wide 2004 Street Improvement Project.
Mayor Jerry Bohn suggested the possibility of adding some old town streets to the project list, especially those streets between Lions Park and Hwy 5.  City staff will send those residents a letter asking if they're interested.  Economies of scale mean cost savings to both property owners and the City of Victoria.

DROP IN DAYCARE AT FIELD HOUSE
TRIAL PROGRAM TO BEGIN IN SEPTEMBER
Administrator Steve Sarvi reported that Parks & Rec has been working on all the various services that the Victoria Field House will offer, including drop-in day-care.  He said that resident Dawn Peterson has been helpful in going through the process.
Bids are out for the daycare, he said, and the city is advertising for part time childcare attendants.  Council unanimous-ly approved the trial program to begin in September, when the new floor of the gymnasium should be finished.

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