03-28-2023HUTCHINSON CITY COUNCIL
MEETING MINUTES
TUESDAY, MARCH 28, 2023
CITY CENTER — COUNCIL CHAMBERS
(The City Council is provided background information fog° agenda iten2s in advance by city staff, committees and boards. Many
decisions regarding agenda iten2s are based upon this information as well as: City policy and practices, inputfiron2 constituents,
and other questions or information that has not yet been presented or discussed regarding an agenda iten2.)
1. CALL MEETING TO ORDER — 5:30 P.M.
Mayor Gary Forcier called the meeting to order. Members present were Dave Sebesta, Chad Czmowski,
Tim Burley and Pat May. Other present was Matt Jaunich, City Administrator.
(a) Approve the Council agenda and any agenda additions and/or corrections
Matt Jaunich, City Administrator, noted that a couple of items need to be added to the agenda. These
items include an assessment agreement that will be included as Item 9(b). Also Resolution No. 15593
will be considered as Item 14(a) which is a resolution authorizing an interfund loan related to the
hanger project. He also noted that a revised resolution has been distributed related to the continued
assessment hearing under Item 9.
Motion by May, second by Burley, to approve the agenda with the additional items noted. Motion
carried unanimously.
2. INVOCATION — Rive- of Hope Hunter's Ridge Community Church
(The invocation is a voluntary expression of the private citizen, to andfor the City Council, and is not intended to affiliate the
City Council with, or express the City Council's preferencefor, any religious/spiritual organization. The views or beliefs
expressed by the invocation speaker have not been previously reviewed or approved by the Council or staff)
3. PLEDGE OF ALLEGIANCE
4. RECOGNITION OF GIFTS, DONATIONS AND COMMUNITY SERVICE TO THE CITY
PUBLIC COMMENTS
(This is an opportunity fog° members of the public to address the City Council. If the topic you would like to discuss is on the agenda,
please ask the Mayor if he will be accepting public comments during the agenda item if not a public hearing. Ifyou have a question,
concern or comment, please ask to be recognized by the mayor state your name and address for the record. Please keep
comments under 5 minutes. Individuals wishing to speakfor more than five minutes should ask to be included on the agenda in
advance of the meeting. All comments are appreciated, but please refrain fi on2 personal or derogatory attacks on individuals)
5. CITIZENS ADDRESSING THE CITY COUNCIL
6. APPROVAL OF MINUTES
(a) Regular Meeting of March 14, 2023
Motion by Sebesta, second by May, to approve the minutes as presented. Motion carried
unanimously.
CONSENT AGENDA
(The iten2s listedfor consideration will be enacted by one motion unless the Mayor, a member of the City Council or
a city staff member requests an item to be removed. Traditionally iten2s are not discussed)
7. APPROVAL OF CONSENT AGENDA I
(a) Consideration for Approval of Out of State Travel for Public Works Employees to Attend the
2023 APWA North American Snow Conference in Omaha, NE from April 16-19, 2023
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(b) Consideration for Approval of Authorizing National Community Survey for 2023
(c) Consideration for Approval of Issuing Transient Merchant License to Virginia Hightower of TNT
Fireworks from June 20 — July 5, 2023, in Walmart Parking Lot
(d) Consideration for Approval of Resolution No. 15588 - Resolution Approving State of Minnesota
Joint Powers Agreement With the City of Hutchinson on Behalf of Its City Attorney and Police
Department (Use of BCA Systems and Tools)
(e) Consideration for Approval of Resolution No. 15589 — Resolution Authorizing the City of
Hutchinson to Complete an LCCMR Grant Application for Funding of the Otter and Campbell
Lakes Restoration Project
(f) Consideration for Approval of Resolution No. 15590 - Resolution Adopting Findings of Facts and
Reasons for Approval of Site Plan Review and Lot Split Located at 955 Hwy 7 West with
Favorable Planning Commission Recommendation
(g) Consideration for Approval of Change Order No. 3 & 4 — Letting No. 6, Project No. 21-06
(Water and Wastewater SCADA Systems Improvements)
(h) Claims, Appropriations and Contract Payments — Register A
Motion by Czmowski, second by Sebesta, to approve Consent Agenda L Motion carried
unanimously.
8. APPROVAL OF CONSENT AGENDA II
(a) Claims, Appropriations and Contract Payments — Register B
Motion by May, second by Czmowski, with Forcier abstaining, to approve Consent Agenda II.
Motion carried unanimously.
PUBLIC HEARINGS — 6:00 P.M.
9. CONTINUED ASSESSMENT HEARING FOR 2023 PAVEMENT IMPROVEMENT PROJECTS
(LETTING NO. 2, PROJECT NO. 22-02, 23-02 & 22-03)
(a) Resolution No. 15581 - Resolution Adopting Assessment
Matt Jaunich, City Administrator, presented before the Council. Mr. Jaunich noted that a revised
resolution was distributed this evening with a revised assessment roll. One property on the roll is
being deferred in accordance with the assessment agreement that was also distributed this
evening. Mr. Jaunich reminded the Council that at the public hearing at the last council meeting,
the property owner of 951 Golf Course Road NW requested that the assessments on the property
be deferred.
No public comments were received.
Motion by Czmowski, second by Burley, to close public hearing. Motion carried unanimously.
Motion by Czmowski, second by Burley, to approve Resolution No. 15581 as revised. Motion
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CITY COUNCIL MINUTES March 28, 2023
carried unanimously.
(b) Approve/Deny Assessment Agreement with Mark and Lora Bullert
Matt Jaunich explained that this assessment agreement relates to the assessments that will be
deferred on 951 Golf Course Road. This agreement allows for access to and from School Road,
Golf Course Road and 12th Avenue NW to and from the property. The agreement also outlines
the deferred assessment amount and interest accrual.
Motion by Burley, second by Czmowski, to approve assessment agreement with Mark and Lora
Bullert. Motion carried unanimously.
10. ASSESSMENT HEARING AND PROJECT AWARD FOR ALLEY IMPROVEMENTS PROJECT
(LETTING NO. 3, PROJECT NO. 23-03 & 23-04)
(a) Resolution No. 15591 — Resolution Adopting Assessment
(b) Resolution No. 15592 — Resolution Accepting Bid and Awarding Contract
Mike Stifter, Public Works Director, presented before the Council. Mr. Stifter reviewed the
project which includes alley improvements in the following areas: Alley 412 between Hwy 7
West and 3rd Avenue NW from James Street to Glen Street NW and Alley 455 between Jefferson
Street SE and Adams Street SE from 2nd Avenue SE to 3rd Avenue SE. The projects include
paving and stormwater improvements. Four bids were received for the project with the low bid
coming in from Wm. Mueller & Sons, Inc. in the amount of $223,796.22. Funding will come
from general obligation improvement bonds, assessments and the stormwater fund.
No public comments were received.
Motion by Czmowski, second by May, to close public hearing. Motion carried unanimously.
Motion by Czmowski, second by May, to approve Resolution No. 15591 and 15592. Motion
carried unanimously.
COMMUNICATIONS, REQUESTS AND PETITIONS
(The purpose of this portion of the agenda is to provide the Council with information necessary to craft wise policy.
Includes items like monthly or annual reports and coniniunications f on2 other entities.)
11. PLANNING & ZONING DEPARTMENT YEAR END REPORT
Dan Jochum, Planning and Zoning Director, presented before the Council. Mr. Jochum provided an
annual update on 2022 activities for the Planning/Zoning/Building Department. Mr. Jochum
reviewed the staff and primary services provided. He reviewed the accomplishments for the year and
an overview of each area. Mr. Jochum also reviewed data related to building permits, construction
valuation/activity, inspections and information related to the rental registration/inspection program.
Lastly Mr. Jochum provided an outlook for 2023 related to local construction activity, residential
housing lot inventory and lower than average new housing starts due to interest rates.
12. PUBLIC WORKS DEPARTMENT YEAR END REPORT
John Olson, Public Works Manager, presented before the Council. Mr. Olson provided a year end
review for the Public Works Department which includes engineering, streets & roadways, cemetery,
airport, HATS facility, water, wastewater and stormwater. Mr. Olson reviewed primary services,
workforce and budgets within engineering, operations & maintenance, water and wastewater. Mr.
Olson also reviewed significant accomplishments for 2022 as well as major goals and objectives for
2023.
UNFINISHED BUSINESS
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NEW BUSINESS
13. APPROVE/DENY REQUEST RELATED TO DEFERRED ASSESSMENTS ON PROPERTY
LOCATED AT 845 HWY 7 WEST
Matt Jaunich, City Administrator, presented before the Council. Mr. Jaunich explained that the
property owner of 845 Hwy 7 West has submitted an official request to the City asking that all
interest on a deferred assessment on the property be waived. Mr. Jaunich noted that staff does not
have the authority to waive such fees. This is a deferred assessment from a project that was done in
2004 on Texas Avenue. The deferral was in place until the land was either developed or sold. In
August of 2018 the property was sold and the deferred assessment became activated. When the
assessments became activated, the property owners submitted letters stating that the intended use of
the property would continue to be commercial use and they requested continued deferral of the
assessment relative to residential development along Texas Avenue until rezoning and residential
development occurred. In December 2018 the Council agreed to continue with the deferred
assessment until rezoning and residential development occurred along Texas Avenue. The request of
the property owner is for the Council to consider waiving the interest fees on the deferred assessment.
In exchange for waiving those interest fees, the owner would pay off the principal balance of
$36,931.05. Mr. Jaunich asked that the Council consider a couple of things related to this request: 1.
The deferred assessment is in place due to an agreement the City entered into with the owner of the
property back in 2004 and once again in 2018 — nothing in those agreements talked about waiving
interest fees; 2. Approving this request would set a precedent; 3. The City's policy for deferred
assessments on undeveloped property does not offer any language to waive deferrals, but does give
the Council flexibility to adjusting accrued interest on assessments; 4. To staff s knowledge, the City
has never waived deferred assessments or interest fees for a property that was undeveloped and had
requested a deferral; 5. Mr. Jaunich believes that there is a valid point in the amount of accrued
interest that is incurring on the deferred assessment and that is likely a policy issue for the Council to
consider. Should the Council decide to work with the owner on the their request, Mr. Jaunich also
provided a few scenarios for the Council to consider.
Motion by Czmowski, second by Burley, to deny the request, however noted that the assessment
policy should be reviewed for revisions. Council Member May requested that a revised policy be
presented to the Council in June. Motion carried unanimously.
14. APPROVE/DENY AIRPORT HANGER PROJECT — AWARD BID, APPROVE WORK ORDER,
AUTHORIZE INTERFUND LOAN
(a) Consideration for Approval of Resolution No. 15593 — Resolution Authorizing an Interfund Loan
for Advance of Certain Costs in Connection With the Airport Hangar Construction Project
John Olson, Public Works Manager, presented before the Council. Mr. Olson explained that the low
bid for this hanger construction project came in at $596,192 from Everstrong Construction. Staff is
requesting that the Everstrong Construction be awarded the bid, that Work Order 47 be approved
with Bolton-Menk for construction administration in the amount of $95,000 and that Resolution No.
15593 be approved authorizing an interfund loan for advance of certain costs in connection with the
project. Construction of the building would start in the Fall with everything being open early next
year.
Motion by Czmowski, second by Burley, to approve project award, Work Order 47 and Resolution
No. 15593. Motion carried unanimously.
15. APPROVE/DENY FIRST READING OF ORDINANCE NO. 23-838 — ORDINANCE
AMENDING CHAPTER 95 — PUBLIC PARKS
Matt Jaunich, City Administrator, presented before the Council. Mr. Jaunich explained that the
changes being proposed relate to public gatherings in parks and allowing staff to approve and
authorize the events within city parks rather than permits having to be obtained from the City
Council. Larger -type events and/or events with special considerations will still come to the Council
for approval.
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CITY COUNCIL MINUTES March 28, 2023
Motion by Czmowski, second by May, to approve first reading of Ordinance No. 23-838. Motion
carried unanimously.
16. APPROVE/DENY SETTING JOINT MEETING WITH HUTCHINSON UTILITIES
COMMISSION
Matt Jaunich, City Administrator, presented before the Council. Mr. Jaunich provided some options
for the Council to consider in April.
Motion by Czmowski, second by May, to set joint meeting with Hutchinson Utilities Commission for
April 17, 2023, with a time to be determined. Motion carried unanimously.
GOVERNANCE
(The purpose of this portion of the agenda is to deal with organizational development issues, including policies,
performances, and other matters that manage the logistics of the organization. May include monitoring reports,
policy development and governance process items.)
17. MINUTES/REPORTS FROM COMMITTEES, BOARDS OR COMMISSIONS
(a) December 2022 Preliminary Financial Statements & Local Sales Tax Update
(b) City of Hutchinson Financial Report and Investment Report for February 2023
(c) Library Board Minutes from January 23, 2023
(d) Hutchinson Housing & Redevelopment Authority Board Minutes from February 21, 2023
MISCELLANEOUS
18. STAFF UPDATES
Tom Gifferson — Chief Gifferson reported that the new police facility is nearing completion and final
inspections are anticipated to take place the end of April. The department is hoping to move in the first
part of May. Open houses will be conducted prior to the department being open for business.
Matt Jaunich — Mr. Jaunich noted that the Spring clean-up (white good pick up) is set for April 22,
2023.
19. COUNCIL/MAYOR UPDATE
ADJOURNMENT
Motion by Czmowski, second by May, to adjourn at 7:05 p.m. Motion carried unanimously.
ATTEST:
Gary T. Forcier
Mayor
Matthew Jaunich
City Administrator