Press Alt + R to read the document text or Alt + P to download or print.
This document contains no pages.
cp06-27-23omwift
HUTCHINSON
A CITY ON PURPOSE.
CITY OF HUTCHINSON
MCLEOD COUNTY
HUTCHINSON, MINNESOTA
NOTICE OF A SPECIAL CITY COUNCIL WORKSHOP
Tuesday, June 27, 2023
4:00 p.m.
Council Chambers — Hutchinson City Center
Notice is hereby given that the Hutchinson City Council has called a special workshop meeting
for Tuesday, June 27, 2023, at 4:00 p.m. in the Council Chambers at the Hutchinson City Center,
111 Hassan Street SE, Hutchinson, Minnesota for the following purpose:
REVIEW GROWTH PLANNING STUDY
- / !g'. -
Matthew Jaunich, i Administrator
DATED: June 22, 2023
POSTED: City Center
HUTCHINSON CITY COUNCIL
MEETING AGENDA
TUESDAY, DUNE 27, 2023
CITY CENTER — COUNCIL CHAMBERS
(The City Council is provided background information for agenda items in advance by city staff, committees and boards. Many
decisions regarding agenda items are based upon this information as well as: Citypolicy andpractices, inputfrom constituents,
and other questions or information that has not yet been presented or discussed regarding an agenda item.)
1. CALL MEETING TO ORDER — 5:30 P.M.
(a) Approve the Council agenda and any agenda additions and/or corrections
2. INVOCATION —None
(The invocation is a voluntary expression oftheprivate citizen, to andfor the City Council, and is not intended to affiliate the
City Council with, or express the City Council's preference ffor, any religious/spiritual organization. The views or beliefs
expressed by the invocation speaker have not been previous y 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
(T is is an opportunity or 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 ifhe will be acceptingpublic comments during the agenda item ifnot apublic 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 from personal or derogatory attacks on individuals)
5. CITIZENS ADDRESSING THE CITY COUNCIL
6. APPROVAL OF MINUTES
(a) Regular Meeting of June 13, 2023
CONSENT AGENDA
(The items listedJ77c7onsiTeration 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 items are not discussed)
7. APPROVAL OF CONSENT AGENDA I
(a) Consideration for Approval of Tax Increment Financing Development Agreement with RD
Machine, Inc.
(b) Consideration for Approval of Resolution No. 15609 — Resolution Adopting Findings of Fact
and Reasons for Approval of Final Plat of Island View Heights Seventh Addition with Favorable
Planning Commission Recommendation
(c) Claims, Appropriations and Contract Payments — Register A
8. APPROVAL OF CONSENT AGENDA II
(a) Claims, Appropriations and Contract Payments — Register B
PUBLIC HEARINGS — 6:00 P.M.
CITY COUNCIL AGENDA —June 27, 2023
9. COMMENTS AND INPUT ON THE STORM WATER POLLUTION PREVENTION PLAN FOR
THE CITY OF HUTCHINSON
purpose of this portion of the agenda is to provide the ounci with information necessary to craft wise policy.
ides items like monthly or annual reports and communications from other entities.)
10. UPDATE FROM HUTCHINSON CENTER FOR THE ARTS
UNFINISHED BUSINESS
NEW BUSINESS
11. APPROVE/DENY ALLOCATING $500,000 of AMERICAN RESCUE PLAN ACT (ARPA)
MONIES FOR THE UPTOWN COMMONS PROJECT (FRANKLIN STREET
REDEVELOPMENT)
12. APPROVE/DENY SETTING COUNCIL WORKSHOP FOR JULY 25, 2023, AT 4:00 P.M. FOR
STRATEGIC PLANNING
GOVERNANCE
(The purpose o t is 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.)
13. MINUTES/REPORTS FROM COMMITTEES, BOARDS OR COMMISSIONS
(a) City of Hutchinson Financial Report and Investment Report for May 2023
(b) Hutchinson Housing & Redevelopment Authority Board Minutes from May 16, 2023
NHSCELLANEOUS
14. STAFF UPDATES
15. COUNCIL/MAYOR UPDATE
16. CLOSED SESSION PURSUANT TO MINNESOTA STATUTE §13D.05, Subd. 3(c) TO
DISCUSS SALE OF REAL PROPERTY LOCATED AT 44 WASHINGTON AVENUE
WEST, 10 FRANKLIN STREET SW, 28 FRANKLIN STREET SW AND 127 1ST
AVENUE SW
ADJOURNMENT
2
HUTCHINSON CITY COUNCIL
MEETING MINUTES
TUESDAY, JUNE 13, 2023
CITY CENTER — COUNCIL CHAMBERS
(The City Council is provided background information for agenda items in advance by city staff, committees and boards. Many
decisions regarding agenda items are based upon this information as well as: Citypolicy and practices, inputfrom constituents,
and other questions or information that has not yet been presented or discussed regarding an agenda item)
1. CALL MEETING TO ORDER — 5:30 P.M.
Mayor Gary Forcier called the meeting to order. Members present were Dave Sebesta, Tim Burley, Pat
May and Chad Czmowski. Others present were Matt Jaunich, City Administrator and Marc Sebora, City
Attorney.
(a) Approve the Council agenda and any agenda additions and/or corrections
Motion by Sebesta, second by Burley, to approve the agenda as presented. Motion carried
unanimously.
2. INVOCATION — Harvest Mission Church
(The invocation is a voluntary expression of the private citizen, to and for the City Council, and is not intended to affiliate the
City Council with, or express the City Council's preference or, any religious/spiritual organization. The views or beliefs
expressed by the invocation speaker have not been previous y reviewed or approved by the Council or staff)
3. PLEDGE OF ALLEGIANCE
4. RECOGNITION OF GIFTS, DONATIONS AND COMMUNITY SERVICE TO THE CITY
(a) Minnesota Recreation and Parks Association (MRPA) Award of Excellence — Fireman's Park
Playground Project
Nick Jacobs, Parks and Recreation Director of Otsego, on behalf of the MRPA Awards
Committee, presented an Award of Excellence for the Fireman's Park Playground Project. Mr.
Jacobs explained the background of the Awards of Excellence Program which was created to
acknowledge agencies for projects within communities. The Awards of Excellence for the
Fireman's Park project was awarded from the MRPA Parks category.
(b) Bicycle Friendly Community — Silver Designation
Lynn Neumann, PRCE Director, presented before the Council. Ms. Neumann explained that the
City's designation as a Bicycle Friendly Community has been upgraded after eights years from a
bronze designation to a silver designation. There are nine silver bicycle friendly communities
throughout the state to hold this designation. The five areas considered for this designation are
equity/inclusion, engineering, education, encouragement and evaluation/planning.
PUBLIC COMMENTS
(This is an opportunity or 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 acceptingpublic comments during the agenda item if not a public hearing. Ifyou have
a question, concern or comment, please ask to e 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, butplease refrain from personal or derogatory attacks on individuals)
5. CITIZENS ADDRESSING THE CITY COUNCIL
6. APPROVAL OF MINUTES
(a) Council Workshop of May 23, 2023
(b) Regular Meeting of May 23, 2023
CITY COUNCIL MINUTES — June 13, 2023
Motion by Czmowski, second by May, to approve the minutes as presented. Motion carried
unanimously.
CONSENT AGENDA
(The items 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 items are not discussed)
7. APPROVAL OF CONSENT AGENDA
(a) Consideration for Approval of Issuing Massage License to Emily Troska of Nature's Touch
Massage Located at 903 Hwy 15 South
(b) Consideration for Approval of Issuing Short -Term Gambling License to American Cancer
Society on August 14, 2023, at Muddy Cow
(c) Consideration for Approval of Resolution No. 15605 — Resolution to Sell at Auction Unclaimed
Bicycles
(d) Consideration for Approval of Purchasing Bag Film for Creekside
(e) Consideration for Approval of Resolution No. 15607 - Resolution Authorizing Airport
Maintenance and Operation Agreement
(f) Consideration for Approval of Resolution No. 15608 — Resolution Authorizing Business
Development Infrastructure Application
(g) Consideration for Approval of Engineering Agreement with SEH
(h) Consideration for Approval of SEH Supplemental Agreement — SWC Resiliency Grant Project
(i) Consideration for Approval of Purchase of Truck and Dump Body
0) Consideration for Approval of Purchase of Manhole Lining Repair Contract
(k) Claims, Appropriations and Contract Payments
Motion by May, second by Sebesta, to approve consent agenda. Motion carried unanimously.
PUBLIC HEARINGS — 6:00 P.M. - NONE
purpose of this portion o t e agen a is to provi e t e ounci with information necessary to craft wise policy.
rdes items like monthly or annual reports and communications from other entities.)
8. PAVEMENT MANAGEMENT REPORT
Mike Stifter, Public Works Director, presented before the Council. Mr. Stifter reviewed the 2023
Pavement Management Report which includes approximately 90 miles of city streets, county roads
and state highways. Mr. Stifter reviewed the Pavement Condition Index which rates the City's
roadways in good condition. Data does indicate a need for additional maintenance funding,
especially for patching and maintenance overlays. More use of overlays should be considered as
2
CITY COUNCIL MINUTES —June 13, 2023
maintenance overlays and mill -overlay projects can provide a relatively low-cost improvement to
overall network Pavement Condition Index. However, these repair techniques are not always
suitable for all streets. To begin to address this, the five-year Capital Improvement Plan includes a
number of mill -overlay projects. Mr. Stifter did note that areas with streets in poor condition
(Washington, Hassan, Oakland and Clifton Heights) are being addressed within the five-year capital
improvement plan.
UNFINISHED BUSINESS
9. APPROVE/DENY SECOND READING AND ADOPTION OF ORDINANCE NO. 23-839 —AN
ORDINANCE AMENDING CHAPTER 31.29 — PUBLIC ARTS COMMISSION
Matt Jaunich, City Administrator, presented before the Council. Mr. Jaunich noted that this
ordinance addresses some of the Supreme Court rulings related to freedom of speech. A portion of
the code deals with art on private property and staff feels it is appropriate to eliminate some of that
language at this time. In addition, there are a couple of minor updates that better defines the role of
the Public Arts Commission. No changes have been made since the first reading at the last Council
meeting.
Motion by Czmowski, second by May, to approve second reading and adoption of Ordinance No.
23-839. Motion carried unanimously.
10. APPROVE/DENY CUSTOM QUESTIONS FOR THE 2023 NATIONAL CITIZEN SURVEY
Matt Jaunich, City Administrator, presented before the Council. Mr. Jaunich reminded the Council
that staff is in the process of putting together the 2023 "National Citizen Survey". The last part of
putting the survey together is to select a half page of custom questions to be included within the
survey. Mr. Jaunich presented some information on possible questions related to the sales tax to be
considered. Questions 92 and 93 were asked in the last survey four years ago. Council Members
felt
Question 93 related to property tax increases dedicated to city streets is important. The consensus
was to include Questions 93, 94, 95 and Option 93 under the proposed Sales Tax questions.
Council Member Czmowski suggested eliminating Question 94 and add one of those bullet points to
Question 95.
Motion by May, second by Czmowski, to include Question 93, a combination of Questions 94 & 95
and Option 93 under the sales tax questions on the community survey. Motion carried
unanimously. The survey will be distributed in July.
NEW BUSINESS
11. APPROVE/DENY RESOLUTION NO. 15606 - RESOLUTION ACCEPTING BID AND
AWARDING CONTRACT FOR 2023 MAINTENANCE OVERLAYS (LETTING NO. 6,
PROJECT NO. 23-07)
Mike Stifter, Public Works Director, presented before the Council. Mr. Stifter explained that the
City received five bids for this maintenance overlay project. The apparent low bidder is Wm.
Mueller & Sons, Inc. with a bid of $283,793.55. The streets included in this project are portions of
2" d Avenue SW, Dale Street SW, and Market Street SW.
Motion by Czmowski, second by Burley, to approve Resolution No. 15606. Motion carried
CITY COUNCIL MINUTES — June 13, 2023
unanimously.
12. APPROVE/DENY LETTER OF INTENT FOR HUTCHINSON EVENT CENTER
Lynn Neumann, PRCE Director, presented before the Council. Ms. Neumann explained that staff
has been working with representatives of Hutchinson Health to work toward an agreement for the
future ownership of the Hutchinson Event Center. The proposed letter of intent will remain open by
either party until December 31, 2024. The City and Hutchinson Health are currently working jointly
on a Facility Conditions Assessment to explore options for the future of the property. Ms. Neumann
also noted that the Senior Center will remain at the Event Center through 2024 and plans are being
developed for a future location. Mr. Jaunich noted that the assessment will hopefully show that the
useful life of the event center has come to an end and therefore can be sold, as opposed to having to
pay the state grant back, which may have to occur in accordance with the original grant contract.
Motion by May, second by Czmowski, to approve letter of intent for Hutchinson Event Center.
Motion carried unanimously.
GOVERNANCE
(The purpose o t is 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)
13. MINUTES/REPORTS FROM COMMITTEES, BOARDS OR COMMISSIONS
(a) Public Library Board Minutes from April 24, 2023
MISCELLANEOUS
14. STAFF UPDATES
Tom Gifferson — Chief Gifferson provided an update on the new police facility. Chief Gifferson
explained that an inspection is being held tomorrow by the DOC and if that passes the department can
start moving into the facility, as long as the fire inspection is complete. Staff is tentatively planning for
a dedication ceremony to be held on June 27, 2023, with public open houses being held that afternoon,
as well as all day on June 29, 2023. The DMV intends to move to the new facility the first week of
August.
Matt Jaunich — Mr. Jaunich noted that Juneteenth is now a holiday effective this year, so city offices
will be closed on June 19, 2023. Mr. Jaunich also noted that a $150,000 pledge from Citizens Bank
came in for the new grandstand at VMF Stadium. He reminded the Council of the workshop on June
27, 2023, at 4:00 p.m. to review the Growth Planning Study. Lastly, Mr. Jaunich distributed a
legislative session overview from the 2023 session which ended in May. Some highlights Mr. Jaunich
reviewed included additional local government aid, a one-time lump sum for public safety and funds for
affordable housing. He noted that there is a two-year moratorium on local sales tax requests. Other
items include the new paid Family Medical Leave Act, the Sick/Safe time increase, updates in the
building code — one of which is to allow native landscapes -, new voting requirements, and adult use
cannabis. General discussion was held regarding what cities can/cannot due related to adult use
cannabis.
15. COUNCIL/MAYOR UPDATE
ADJOURNMENT
Motion by Czmowski, second by Burley, to adjourn at 6:25 p.m. Motion carried unanimously.
HUTCHINSON CITY COUNCIL C`ty'fl
Request for Board Action 7AL Zwl,7
Agenda Item: CONSIDER APPROVAL OF TAX INCREMENT FINANCING DEVELOPMENT
Department: EDA
LICENSE SECTION
Meeting Date: 6/27/2023
Application Complete N/A
Contact: Miles R. Seppelt
Agenda Item Type:
Presenter: none
Reviewed by Staff ❑
Consent Agenda
Time Requested (Minutes): 0
License Contingency N/A
Attachments: Yes
BACKGROUND/EXPLANATION OFAGENDA ITEM:
Staff is seeking City Council authorization for the Mayor and City Administrator to sign a Tax Increment Financing
Development Agreement between the City and RD Machine.
The City Council approved the Tax Increment Financing District (TIF) for RD Machine on January 10, 2023. The
Development Agreement lays out the responsibilities of the Developer (RD Machine) and the City for implementing
the TIF District and developing the property.
The City Attorney has reviewed the Development Agreement and found it to be satisfactory.
The Development Agreement is enclosed for your review.
If you have any questions or need additional information, please give me a call anytime at 234-4223.
BOARD ACTION REQUESTED:
Approval of Development Agreement and authorization for Mayor and City Administrator to sign
Fiscal Impact: $ 0.00 Funding Source: N/A
FTE Impact: 0.00 Budget Change: No
Included in current budget: No
PROJECT SECTION:
Total Project Cost:
Total City Cost: Funding Source:
Remaining Cost: $ 0.00 Funding Source:
Draft 3/6/2023
TAX INCREMENT FINANCING DEVELOPMENT AGREEMENT
IN
DEVELOPMENT DISTRICT NO. 4
AND
TAX INCREMENT FINANCING DISTRICT NO. 4-23
(AN ECONOMIC DEVELOPMENT DISTRICT)
CITY OF HUTCHINSON,
MCLEOD COUNTY, MINNESOTA
Between
CITY OF HUTCHINSON, MINNESOTA
And
RD MACHINE, INC.
for the
RD MACHINE, INC. EXPANSION PROJECT
Dated as of [Dated Date], 2023
This Document Was Drafted By:
DORSEY & WHITNEY LLP (GIT)
Suite 1500
50 South Sixth Street
Minneapolis, Minnesota 55402
TABLE OF CONTENTS
ARTICLE1 DEFINITIONS............................................................................................................I
1.01. Definitions................................................................................................................I
ARTICLE 2 REPRESENTATIONS AND WARRANTIES...........................................................3
2.01.
City Representations................................................................................................3
2.02.
Developer Representations......................................................................................3
2.03.
Use, Ownership of Development Property; Restrictions;
Use of
DevelopmentProperty.............................................................................................5
2.04.
Ownership of Development Property......................................................................5
2.05.
Declaration of Restrictive Covenants......................................................................5
2.06.
Damage or Destruction............................................................................................5
2.07.
Relocation Costs......................................................................................................5
ARTICLE 3 CONSTRUCTION OF PROJECT..............................................................................5
3.01.
Construction Plans...................................................................................................5
3.02.
Undertaking of Project.............................................................................................6
3.03.
Certificate of Occupancy; Certificate of Completion..............................................6
3.04.
Progress Reports......................................................................................................7
3.05.
Access to Development Property.............................................................................7
3.06.
Modification; Subordination....................................................................................7
ARTICLE 4 DEFENSE OF CLAIMS; INSURANCE....................................................................7
4.01.
Defense of Claims....................................................................................................7
4.02.
Insurance..................................................................................................................8
ARTICLE5 PUBLIC ASSISTANCE.............................................................................................7
5.01.
Development Costs..................................................................................................9
5.02.
Reimbursement for Qualified Costs.........................................................................9
5.03.
Conditions Precedent to Provision of Public Assistance.......................................10
5.04.
Satisfaction of Conditions Precedent.....................................................................11
5.05.
Notice of Default....................................................................................................11
5.06.
Real Property Taxes...............................................................................................12
ARTICLE 6 PROHIBITIONS AGAINST ASSIGNMENT AND TRANSFER ..........................13
6.01.
Transfer of Property and Assignment....................................................................13
6.02.
Termination of Limitations on Transfer................................................................13
ARTICLE 7 EVENT OF DEFAULT; FEES.................................................................................1'+
I
Draft 3/6/2023
7.01. Events of Default...................................................................................................14
7.02. Remedies on Default..............................................................................................14
7.03. No Remedy Exclusive............................................................................................15
7.04. Waivers..................................................................................................................15
7.05. Agreement to Pay Attorneys' Fees........................................................................15
ARTICLE8 GENERAL PROVISIONS.......................................................................................16
8.01.
Conflicts of Interest; City Representatives Not Individually Liable .....................16
8.02.
Equal Employment Opportunity............................................................................
16
8.03.
Restrictions on Use................................................................................................
16
8.04.
Titles of Articles and Sections...............................................................................16
8.05.
Business Subsidies Act..........................................................................................16
8.06.
Term of Agreement................................................................................................18
8.07.
Provisions Surviving Termination.........................................................................18
ARTICLE 9 ADMINISTRATIVE PROVISIONS........................................................................18
9.01.
Notices and Demands............................................................................................18
9.02.
Counterparts...........................................................................................................19
9.03.
Binding Effect........................................................................................................19
9.04.
Severability............................................................................................................19
9.05.
Amendments, Changes and Modifications............................................................19
9.06.
Further Assurances and Corrective Instruments....................................................19
9.07.
Captions.................................................................................................................19
9.08.
Applicable Law......................................................................................................19
EXHIBIT A DEVELOPMENT PROPERTY
EXHIBIT B COVENANTS AND RESTRICTIONS
EXHIBIT C PROJECT DESCRIPTION; QUALIFIED COSTS
EXHIBIT D CERTIFICATE OF COMPLETION
EXHIBIT E FORM OF LIMITED TAX INCREMENT REVENUE NOTE
it
TAX INCREMENT FINANCING DEVELOPMENT AGREEMENT
THIS Tax Increment Financing Development Agreement (this "Agreement"), made and
entered into as of this [Date] day of [Month], 2023, between the CITY OF HUTCHINSON, a
municipal corporation and political subdivision of the State of Minnesota (the "City"), and RD
MACHINE, INC., a Minnesota corporation (the "Developer").
WITNESSETH:
WHEREAS, the City has designated a Development District in the City denominated the
Development District No. 4 (the `'Development District") and adopted a Development Program
(the "Development Program") therefor, pursuant to and in accordance with Minnesota Statutes
("M.S."), Sections 469.124 to 469.133, as amended; and
WHEREAS, the City adopted a resolution establishing Tax Increment Financing District
No. 4-23, an "economic development district" (the "TIF District") pursuant to M.S., Section
469.174, Subdivision 12, and approved a Tax Increment Financing Plan therefor (the "TIF Plan");
and
WHEREAS, in order to achieve the objectives of the Development Program and the
TIF Plan, the City intends to provide assistance to the Developer through tax increment financing,
as described in M.S., Sections 469.174 through 469.1794 (the "TIF Act"), to finance a 21,000
square -foot expansion of the Developer's existing facility in the City (the "Project");
WHEREAS, the City has determined that, in order to accomplish the purposes specified in
and to carry out the Development Program and the TIF Plan, it is necessary and desirable for the
City to reimburse the Developer for certain costs to be incurred and paid by the Developer in
connection with the Project; and
WHEREAS, the City will apply tax increment revenues generated from the TIF District to
(i) pay or reimburse the City for administrative expenses relating to the TIF District to the extent
permitted by the TIF Act and (ii) reimburse the Developer, with interest, for certain costs incurred
in connection with the construction of the Project; and
WHEREAS, the City believes that the development activities associated with the Project
pursuant to this Agreement are in the best interests of the City and benefit the health, safety, morals
and welfare of its residents, and comply with the applicable state and local laws and requirements
under which the Project has been undertaken and is being assisted.
NOW, THEREFORE, in consideration of the foregoing premises and the mutual
obligations set forth in this Agreement, the parties hereto hereby agree as follows:
Draft 3/6/2023
ARTICLE 1
Definitions
1.01. Definitions.
In this Agreement, unless a different meaning clearly appears from the context:
"Act" means M.S., Sections 469.124 to 469.133.
"Agreement" means this Agreement, as the same may be from time to time modified,
amended or supplemented.
"Available Tax Increment" has the definition given it in Section 5.02(e).
"Benefit Date" means the date of the first payment by the City to the Developer of tax
increment pursuant to Section 5.02 of this Agreement.
"Business Subsidies Act" means M.S., Sections 116J.993 through 116J.995.
"Certificate of Completion" means a certification in the form attached hereto as Exhibit D,
to be provided to the Developer pursuant to this Agreement.
"Certificate of Occupancy" means a certification of the City to be provided to the
Developer that the Project is in compliance with applicable building codes and other laws and is
in a condition suitable for occupancy.
"City" means the City of Hutchinson, Minnesota.
"City Council" means the City Council of the City.
"City Qualified Costs" means costs incurred by City in connection with construction of the
Project that are reimbursable from tax increment pursuant to Sections 469.174, Subd. 12 and
469.1761 of the TIF Act. Calculated -on an annual basis, the City will retain up to ten percent
(10%) of the tax increment generated from the Project to pay for City Qualified Costs.
"Construction Plans" means the plans, specifications, drawings and related documents for
the construction work to be performed by the Developer on the Development Property.
"County" means the County of McLeod, Minnesota, a political subdivision of the State of
Minnesota.
"Default Notice" means written notice from the City to the Developer setting forth the
Event of Default and the action required to remedy the same.
"Developer" means RD Machine, Inc., a corporation under the laws of the State of
Minnesota.
"Development District" means Development District No. 4, designated pursuant to the Act.
Draft 3/6/2023
"Development Program" means the Development Program developed for Development
District No. 4.
"Development Property" or "Property" means the real property described in Exhibit A
attached hereto.
"Event of Default" means as any of the events set forth in Section 7.01 hereof.
"Legal and Administrative Expenses" means the fees and expenses incurred by the City in
connection with review and analysis of the development proposed under this Agreement with the
adoption and administration of the TIF Plan and establishment of the TIF District, the preparation
of this Agreement and the issuance of the TIF Note including, but not limited to, attorney and
municipal advisor fees and expenses.
"Mortgage" means any mortgage made by the Developer which covers, in whole or in
part, the Development Property.
"Mortgagee" means the owner or holder of a Mortgage.
"M.S." means Minnesota Statutes.
"New Full -Time Equivalent Employee" means an employee who will work an annual
cumulative expected hours equal to 2,080 hours (student workers, interns, seasonal workers, and
temporary workers are neither considered part-time nor fulltime employees and are not counted
toward achieving New Full -Time Equivalent Employee goals).
City.
"Project" means a 21,000 square -foot expansion of the Developer's existing facility in the
"Public Assistance" means the Available Tax Increment to be paid under Article 5 hereof.
"Qualified Costs" means costs incurred by Developer in connection with construction of
the Project that are reimbursable from tax increment pursuant to Sections 469.174, Subd. 12 and
469.1761 of the TIF Act, which are shown on Exhibit C to this Agreement.
"Restrictions" means the easements, covenants, conditions and restrictions set forth in
Exhibit B attached hereto.
"Section" means a Section of this Agreement, unless used in reference to M.S.
"State" means the State of Minnesota.
"Termination Date" means the earlier of (i) February 1, 2034, (ii) the date the TIF Note is
paid in full, (iii) the date on which the TIF District expires or is otherwise terminated, or (iv) the
date this Agreement is terminated or rescinded in accordance with its terms.
"TIF Act" means M.S., Sections 469.174 through 469.1794, as amended.
2
Draft 3/6/2023
"TIF District" means Tax Increment Financing District No. 4-23 (an economic
development district), established by the City Council on January 10, 2023.
"TIF Note" means the Tax Increment Revenue Note (RD Machine, Inc.) to be executed
by the City and delivered to the Developer pursuant to Article 5 hereof, the form of which is
attached hereto as Exhibit E. The total principal amount of the TIF Note issued to reimburse the
Developer for Qualified Costs of the Project may be less than but will not exceed $566,935.
"TIF Plan" means the Tax Increment Financing Plan for the TIF District approved by the
City Council.
"Unavoidable Delay" means a failure or delay in a party's performance of its obligations
under this Agreement, or during any cure period specified in this Agreement which does not entail
the mere payment of money, not within the parry's reasonable control, including but not limited to
acts of God, governmental agencies, the other party, strikes, labor disputes (except disputes which
could be resolved by using union labor), fire or other casualty, lack of materials, or declarations of
any state, federal or local government, pandemics, epidemics (including the COVID-19 virus);
provided that within ten (10) days after a party impaired by the delay has actual (as opposed to
constructive) knowledge of the delay it shall give the other party notice of the delay and the
estimated length of the delay, and shall give the other party notice of the actual length of the delay
within ten (10) days after the cause of the delay has ceased to exist. The parties shall pursue with
reasonable diligence the avoidance and removal of any such delay. Unavoidable Delay shall not
extend performance of any obligation unless the notices required in this definition are given as
herein required.
ARTICLE 2
Re resentations and Warranties
2.01. City Representations.
The City makes the following representations to the Developer:
(a) The City a municipal corporation and political subdivision of the State. Under
the provisions of the Act and the TIF Act, the City has the power to enter into this
Agreement and carry out its obligations hereunder.
(b) The City has designated the Development District and has adopted the
Development Program in accordance with the provisions of the Act and has created the
TIF District and adopted the TIF Plan in accordance with the provisions of the TIF Act.
(c) With each payment of the TIF Note, the City will provide Developer with a
statement showing the Available Tax Increment along with a statement of the remaining
amounts unpaid interest, if any, and principal.
2.02. Developer Representations.
The Developer represents and warrants that:
3
Draft 3/6/2023
(a) The Developer is a Minnesota corporation and has power to enter into this
Agreement and has duly authorized, by all necessary corporate action, the execution and
delivery of this Agreement.
(b) Developer will, subject to and as required by Agreement, construct the Project
in accordance with the terms of this Agreement, the TIF Plan and all applicable local, state
and federal laws and regulations.
(c) At such time or times as may be required by law, the Developer will have
complied with all local, state and federal environmental laws and regulations applicable to
the Project, and will have obtained any and all necessary environmental reviews, licenses
and clearances. The Developer has received no written notice from any local, state or
federal official that the activities of the Developer or the City with respect to the
Development Property may be or will be in violation of any environmental law or
regulation. The Developer has no actual knowledge of any facts the existence of which
would cause it to be in violation of any local, state or federal environmental law, regulation
or review procedure with respect to the Development Property.
(d) Neither the execution or delivery of this Agreement, the consummation of the
transactions contemplated hereby, nor the fulfillment of or compliance with the terms and
conditions of this Agreement is prevented by, limited by, conflicts with, or results in a
breach of, any restriction, agreement or instrument to which the Developer is now a party
or by which the Developer is bound.
(e) The Developer has no actual knowledge that any member of the City Council,
or any other officer of the City has any direct or indirect financial interest in the Developer,
the Development Property, or the Project.
(f) The Developer will use commercially reasonable efforts to obtain, in a timely
manner, all required permits, licenses and approvals, and will meet, in a timely manner, all
requirements of all local, state and federal laws and regulations which must be obtained or
met in connection with the Project. Without limitation to the foregoing, the Developer will
request and seek to obtain from the City all necessary variances, conditional use permits
and zoning changes related to the Project.
(g) The Developer would not undertake the Project without the financial assistance
to be provided by the City pursuant to this Agreement and the TIF Plan.
(h) Apart from the assistance to be provided under this Agreement, the Developer
shall pay all standard charges and fees due with respect to real estate developments and
allocable to the Development Property under City ordinances and the City code, including
but not limited to special assessments for local improvements, sewer and water use charges,
building permit fees, plat fees, inspection fees, storm water fees and the like used against
the Development Property.
(i) It is anticipated that the Project will be constructed so that the Development
Property will have a market value as determined pursuant to Minnesota Statues, Section
273.11, of at least $3,200,000.
M
Draft 3/6/2023
2.03. Use, Ownership of Development Property; Restrictions; Use of Development
Pro e . The Developer's use of the Development Property shall be subject to and in compliance
with all of the conditions, covenants, restrictions and limitations imposed by this Agreement, the
Restrictions, and all applicable laws, ordinances and regulations.
2.04. Ownership of Development Pro e . The Developer hereby represents and
warrants that it is the owner in fee simple of the Development Property and that there are no liens,
defects or other encumbrances upon title to the Development Property that would hinder the
development of the Development Property by the Developer as contemplated by this Agreement.
2.05. Declaration of Restrictive Covenants. The Developer shall prepare, execute, and
record on the title to the Development Property a Declaration of Restrictive Covenants, in form
approved by the City, which includes the Restrictions set forth in Exhibit B. If the Developer
determines that operation of the Development Property and the Project would endanger the
financial viability thereof, the Developer may request the City Council to consent to the
amendment, modification or termination of any of the restrictions in any respect. The City is under
no obligation to amend, modify or terminate any of the restrictions and may, in its sole and absolute
discretion, refuse to do so.
2.06. Damage or Destruction. Subject to any mortgage requirements, upon any damage
or destruction of the Project, or any portion thereof, by fire or other casualty, the Developer shall
within one hundred twenty (120) days after such damage or destruction, commence the process
required to repair, reconstruct and restore the damaged or destroyed Project, or portion thereof, to
substantially the same condition or utility value as existed prior to the event causing such damage
or destruction and shall diligently pursue such repair, reconstruction and restoration.
2.07. Relocation Costs. The Developer shall pay all relocation costs or expenses required
under federal or state law to be paid to any owner or occupant of the Development Property as a
result of the Project, and shall indemnify and hold harmless the City, its governing body members,
officers, and agents including the independent contractors, consultants, and legal counsel, servants
and employees thereof from any such relocation costs and expenses in accordance with the
provisions of Section 4.01.
ARTICLE 3
Construction of Proiect
3.01. Construction Plans. Prior to commencing construction of the Project, the
Developer shall make available to the City for review Construction Plans for the Project. The
Construction Plans shall provide for construction of the Project in conformity with the
Development Program, the TIF Plan, this Agreement, and all applicable state and local laws and
regulations. The City shall approve the Construction Plans in writing if, in the reasonable
discretion of the City, the Construction Plans: (a) conform to the Development Program, the TIF
Plan, this Agreement, and to any subsequent amendments thereto approved by the City; (b)
conform to all applicable federal, state and local laws, ordinances, rules and regulations; (c) are
adequate to provide for construction of the Project; and (d) no Event of Default has occurred.
Draft 3/6/2023
No approval by the City shall relieve the Developer of the obligation to comply with the
terms of this Agreement, applicable federal, state and local laws, ordinances, rules and regulations,
or to properly construct the Project. No approval by the City shall constitute a waiver of an Event
of Default. Any disapproval of the Construction Plans shall set forth the reasons therefore and
shall be made within thirty (30) days after the date of their receipt by the City. If the City rejects
the Construction Plans, in whole or in part, the Developer shall submit new or corrected
Construction Plans within thirty (30) days after written notification to the Developer of the
rejection. The provisions of this Section relating to approval, rejection and resubmission of
corrected Construction Plans shall continue to apply until the Construction Plans have been
approved by the City.
3.02. Undertakin of Project.
(a) Subject to Unavoidable Delay, Developer shall commence the Project by
February 1, 2023, and cause the Project to be substantially completed in accordance with
Section 3.03(a) and other terms of this Agreement by December 31, 2023.
(b) All work with respect to the Project shall be in substantial conformity with the
Construction Plans approved by the City.
(c) The Developer shall not interfere with, or construct any improvements over,
any public street or utility easement without the prior written approval of the City. All
connections to public utility lines and facilities shall be subject to approval of the City (in
accordance with City code) and any applicable private utility provider. Except for public
improvements, which are undertaken by the City or other governmental body and assessed
against benefited properties, all street and utility installations, relocations, alterations and
restorations shall be at the Developer's expense and without expense to the City. The
Developer, at its own expense, shall replace any public facilities or utilities damaged during
the Project by the Developer or its agents or by others acting on behalf of or under the
direction or control of the Developer.
3.03. Certificate of Occu anc Certificate of Completion.
(a) Upon the Developer's request following the City's issuance of a Certificate of
Occupancy with respect to the Project, the City will furnish the Developer with a Certificate
of Completion for the Project, in substantially the form attached hereto as Exhibit D, as
conclusive evidence of satisfaction and termination of the agreements and covenants of
this Agreement with respect to the obligations of the Developer to complete the Project.
The furnishing by the City of such Certificate of Completion shall not constitute evidence
of compliance with or satisfaction of any obligation of the Developer to any Mortgagee.
(b) If the City shall refuse or fail to provide a Certificate of Completion following
the Developer's request, the City shall, within ten (10) days after the Developer's request,
provide the Developer with a written statement specifying in what respects the Developer
has failed to complete the Project in accordance with this Agreement, or is otherwise in
default, and what measures or acts will be necessary, in the reasonable opinion of the City,
for the Developer to obtain the Certificate of Completion.
Con
Draft 3/6/2023
3.04. Progress Reports. Until the Certificate of Completion is issued for the Project, the
Developer shall make, in such detail as may reasonably be required by the City, and forward to
the City, upon demand by the City (provided such demand shall not be made more frequently than
quarterly in the absence of an Event of Default hereunder), a written report as to the actual progress
of construction.
3.05. Access to Development Pro ert . The Developer agrees to permit the City and any
of its officers, employees or agents access to the Development Property at all reasonable times for
the purpose of inspection of all work being performed in connection with the Project; provided,
however, that the City shall not have an obligation to inspect such work.
3.06. Modification: Subordination. The City agrees to subordinate its rights under this
Agreement to the holder of any Mortgage securing construction or permanent financing, in
accordance with the terms of a subordination agreement in a form reasonably acceptable to the
City.
ARTICLE 4
Defense of Claims; Insurance
4.01. Defense of Claims.
(a) The Developer shall indemnify and hold harmless the City, its governing body
members, officers, and agents including the independent contractors, consultants, and legal
counsel, servants and employees thereof (hereinafter, for the purposes of this Section,
collectively the "Indemnified Parties") for any expenses (including reasonable attorneys'
fees), loss (excluding consequential, special or punitive damages except to the extent
payable to third parties by any Indemnified Parties), damage to property, or death of any
person occurring at or about, or resulting from any defect in, the Project; provided,
however, the Developer shall not be required to indemnify any Indemnified Party for any
claims or proceedings arising from any negligent, intentional misconduct, or unlawful acts
or omissions of such Indemnified Party, or from expenses, damages or losses that are
eligible to be reimbursed by insurance. Promptly after receipt by the City of notice of the
commencement of any action in respect of which indemnity may be sought against the
Developer under this Section 4.01, such person will notify the Developer in writing of the
commencement thereof, and, subject to the provisions hereinafter stated, the Developer
shall assume the defense of such action (including the employment of counsel, who shall
be counsel reasonably satisfactory to the City) and the payment of expenses insofar as such
action shall relate to any alleged liability in respect of which indemnity may be sought
against the Developer. The City shall have the right to employ separate counsel in any
such action and to participate in the defense thereof, but the fees and expenses of such
counsel shall not be at the expense of the Developer unless the employment of such counsel
has been specifically authorized by the Developer. Notwithstanding the foregoing, if the
City has been advised by independent counsel that there may be one or more legal defenses
available to it which are different from or in addition to those available to the Developer,
the Developer shall not be entitled to assume the defense of such action on behalf of the
City, but the Developer shall be responsible for the reasonable fees, costs and expenses
(including the employment of counsel) of the City in conducting their defense. The
7
Draft 3/6/2023
Developer shall not be liable to indemnify any person for any settlement of any such action
effected without the Developer's consent. The omission to notify the Developer as herein
provided will not relieve the Developer from any liability which they may have to any
Indemnified Party pursuant hereto, otherwise than under this Section.
(b) The Developer agrees to protect and defend the Indemnified Parties, and further
agrees to hold the aforesaid harmless, from any claim, demand, suit, action or other
proceeding whatsoever by any person or entity arising or purportedly arising from the
actions or inactions of the Developer (or other persons acting on its behalf or under its
direction or control) under this Agreement, or the transactions contemplated hereby or the
acquisition, construction, installation, ownership, and operation of the Project; provided
that this indemnification shall not apply to the warranties made or obligations undertaken
by the City in this Agreement or to any actions undertaken by the City which are not
contemplated by this Agreement but shall, in any event, apply to any pecuniary loss
(excluding consequential, special or punitive damages except to the extent payable to third
parties by any of the Indemnified Parties) or penalty (including interest thereon from the
date the loss is incurred or penalty is paid by the City at a rate equal to the prime rate) as a
result of the Project, as constructed and operated by the Developer, causing the TIF District
to cease to qualify as an "economic development district" under the TIF Act or to violate
limitations as to the use of the revenues therefrom as set forth in the TIF Act.
(c) All covenants, stipulations, promises, agreements and obligations of the City
contained herein shall be deemed to be the covenants, stipulations, promises, agreements
and obligations of the City and not of any governing body member, officer, agent, servant
or employee of the City, as the case may be.
4.02. Insurance.
(a) Subject to the terms of any Mortgage relating to the Development Property, the
Developer shall keep and maintain the Development Property and Project at all times
insured against such risks and in such amounts, with such deductible provisions, as are
customary in connection with facilities of the type and size comparable to the Project, and
the Developer shall carry and maintain, or cause to be carried and maintained, and pay or
cause to be paid timely the premiums for direct damage insurance covering all risks of loss,
including, but not limited to, the following:
1. fire
2. extended coverage perils
3. vandalism and malicious mischief
4. boiler explosion (but only if steam boilers are present)
5. collapse
on a replacement cost basis in an amount equivalent to the full insurable value thereof.
("Full insurable value" shall include the actual replacement cost of the Project, exclusive
of foundations and footings, without deduction for architectural, engineering, legal or
administrative fees or for depreciation.) Insurance in effect with respect to any portion of
the Project to be constructed, rehabilitated, or renovated as a part of the Project prior to the
Draft 3/6/2023
issuance by the City of a Certificate of Completion under Section 3.03 hereof with respect
thereto shall be maintained on an "all-risk" builder's risk basis during the course of
construction. The policies required by this Section 4.02 shall be subject to a no coinsurance
clause or contain an agreed amount clause, and may contain a deductibility provision not
exceeding $25,000.
(b) Subject to the terms of any Mortgage relating to the Development Property,
policies of insurance required by this Section 4.02 shall insure and be payable to the
Developer, and shall provide for release of insurance proceeds to the Developer for
restoration of loss. The City shall be furnished certificates showing the existence of such
insurance. In case of loss, the Developer is hereby authorized to adjust the loss and execute
proof thereof in the name of all parties in interest. On an annual basis and from time to time
at the City's request, the Developer shall file with the City, as applicable, a certificate of
insurance for each of the policies required under this Section.
ARTICLE 5
Public Assistance
5.01. Develo ment Costs The Developer has agreed to and shall be responsible to pay
all of its respective costs of the Project, as herein provided. However, the City, in order to
encourage the Developer to proceed with the construction of the Project, and to assist the
Developer in paying the costs thereof, is willing to provide the Public Assistance and thereby
reimburse the Developer for Qualified Costs, as permitted by the TIF Act and in accordance with
the TIF Plan, that will be incurred by the Developer to construct the Project.
5.02. Reimbursement for Oualified Costs.
The City agrees to reimburse the Developer, using Available Tax Increment on a
pay-as-you-go basis, for Qualified Costs of the Project. The City shall, upon completion of the
Project and the issuance of the Certificate of Completion therefor, make reimbursement payments
pursuant to a limited revenue tax increment note for the Project, the form of which is attached
hereto as Exhibit E, with said payments of principal and interest to be made on the dates (the
"Payment Dates") specified in the TIF Note, subject to the following terms and conditions:
(a) The total principal amount of the TIF Note issued for the Project may be less
than but will not exceed five hundred sixty-six thousand, nine hundred thirty-five dollars
($566,935).
(b) The unpaid principal of the TIF Note shall bear simple non -compounding
interest from the date of issuance of the TIF Note, at four percent (4.00%) per annum.
Interest shall be computed on the basis of a 360 day year consisting of twelve (12) 30-day
months. If the Developer does not pay real property taxes payable with respect to all and
any parts of the Development Property, as required pursuant to Section 5.06, accrual of
interest on the TIF Note shall be suspended until the next Payment Date after such taxes
are paid by Developer.
(c) No payments shall be made by the City to the Developer unless and until the
Developer has provided written evidence reasonably satisfactory to the City that
9
Draft 3/6/2023
(i) Qualified Costs in the amount to be reimbursed from the Available Tax Increment have
been incurred for the Project and paid by the Developer and (ii) the Certificate of
Completion has been issued for the Project as contemplated in Section 3.03 hereof.
(d) The City shall be obligated to make the payments to the Developer required
pursuant to this Section 5.02 only from and to the extent of the Available Tax Increment
actually received from the TIF District for any tax year, and such payments shall never be
considered to be a general obligation or indebtedness of the City.
(e) Calculated on an annual basis, the City will retain ten percent (10%) of the tax
increment generated from the Project for administrative costs and apply the retained tax
increment first to pay any administrative expenses relating to the Development Property to
the extent permitted by the TIF Act and to the extent that such expenses have not been paid
or reimbursed to the City by the Developer. Calculated on an annual basis, the City will
also retain up to ten percent (10%) of the tax increment generated from the Project to pay
for City Qualified Costs. Any of the retained tax increment remaining after (1) the payment
of any administrative expenses then due and owing and (2) payment of any City Qualified
Costs (the "Available Tax Increment") shall first be paid to the Developer for
reimbursement of the Qualified Costs plus interest on the Payment Dates, and any
increment remaining thereafter shall be retained by the City.
(f) Upon thirty (30) days' written notice to the Developer, the City may prepay all
or a portion of the outstanding principal balance due to the Developer pursuant to this
Section 5.02 without penalty, on any date at a prepayment price equal to the outstanding
principal balance to be prepaid plus accrued interest to the prepayment date.
(g) The City shall not be obligated to make any payments hereunder subsequent to
the termination of this Agreement as provided in Section 8.06 hereof, and any amounts
remaining unpaid as of such date (other than by reason of failure of the City to comply with
the terms of this Agreement) shall be considered forgiven by the Developer and shall cease
to be owing.
(h) The Developer may assign its rights under this Agreement (including the
payments to be made to the Developer hereunder) to secure financing incurred by the
Developer to pay costs of the Project, including but not limited to any Mortgagee, or, after
Certificate of Completion has been issued by the City, to third parties.
5.03. Conditions Precedent to Provision of Public Assistance.
Upon payment by the Developer of Qualified Costs for the Project, the Developer will
deliver to the City an instrument executed by the Developer (i) specifying the amount and nature
of the Qualified Costs of the Project to be reimbursed and (ii) certifying that such costs have been
paid to third parties unrelated to the Developer, or if any costs have been paid to third parties
related to the Developer, that such costs do not exceed the reasonable and customary costs of
services, labor or materials of comparable quality, dependability, availability and other pertinent
criteria and that such costs have not previously been contained in an instrument furnished to the
City pursuant to this Section 5.03. Together with such instrument, the Developer shall deliver to
10
Draft 3/6/2023
the City evidence reasonably satisfactory to the City of the payment by the Developer of such costs
to be reimbursed. Thereafter, the City will provide to the Developer reimbursement for the Project,
constituting a portion of the Public Assistance described in this Article 5, paid up to the maximum
amount then due and payable, in accordance with Section 5.02.
5.04. Satisfaction of Conditions Precedent. Notwithstanding anything to the contrary
contained herein, the City's obligation to reimburse the Developer for Qualified Costs shall be
subject to satisfaction, or waiver in writing by the City, of all of the following conditions precedent:
(a) the conditions precedent in this Section 5.04 hereof have been satisfied;
(b) the Developer shall have cured any material title defects with respect to the
Development Property;
(c) the Developer shall not be in default under the terms of this Agreement
beyond any applicable cure period;
(d) the Developer shall have executed and recorded on the title to the
Development Property, the Declaration of Restrictive Covenants, required by Section 2.05
hereof, as set forth in Exhibit B. and
(e) the Developer shall have closed on or received commitments in financing
or shall provide equity sufficient to pay all costs to be incurred in connection with the
Project.
In the event that all of the above conditions required to be satisfied as provided in this
Section 5.04 have not been satisfied by December 31, 2024, either the City or the Developer may
terminate this Agreement if such conditions are not satisfied within thirty (30) days following
notice to the non -terminating party by the terminating party. Upon such termination, the
provisions of this Agreement relating to the Project shall terminate and, except as provided in
Article 8, neither the Developer nor the City shall have any further liability or obligation to the
other hereunder.
5.05. Notice of Default. Whenever the City shall deliver any notice or demand to the
Developer with respect to any breach or default by the Developer in its obligations or covenants
under this Agreement, the City shall at the same time forward a copy of such notice or demand to
each investor, lender, or holder of any permitted mortgage, lien or other similar encumbrance at
the last address of such holder shown in the records of the City. Each such investor, lender, or
holder shall have the right, at its option, to cure or remedy such breach or default and to add the
cost thereof to the mortgage debt and the lien of its mortgage; provided that if the breach or default
is with respect to construction of the Project, nothing contained in this Agreement shall be deemed
to permit or authorize such holder, either before or after foreclosure or action in lieu thereof, to
undertake or continue the construction or completion of the Project without first having expressly
assumed -the obligation to the City, by written agreement satisfactory to the City, to complete the
construction the Project in accordance with the plans and specifications therefor and this
Agreement. Any such holder who shall properly complete the construction of the Project shall be
entitled, upon written request made to the City, to a certification by the City to such effect in the
manner provided in Section 3.03.
11
Draft 3/6/2023
5.06. Real Property Taxes. Prior to the Termination Date, the Developer shall pay all
real property taxes payable with respect to all and any parts of the Development Property acquired
and owned by it until the Developer's obligations have been assumed by any other person pursuant
to the provisions of this Agreement. If the Developer does not pay real property taxes payable
with respect to all and any parts of the Development Property, as required pursuant to this Section
5.06, accrual of interest on the TIF Note shall be suspended until the next Payment Date after such
taxes are paid by Developer.
The Developer agrees that prior to the Termination Date:
(1) It will not seek administrative review or judicial review of the
applicability of any tax statute relating to the ad valorem property taxation of real
property contained on the Development Property determined by any tax official to
be applicable to the Project or the Developer or raise the inapplicability of any such
tax statute as a defense in any proceedings with respect to the Development
Property, including delinquent tax proceedings; provided, however, "tax statute"
does not include any local ordinance or resolution levying a tax;
(2) It will not seek administrative review or judicial review of the
constitutionality of any tax statute relating to the taxation of real property contained
on the Development Property determined by any tax official to be applicable to the
Project or the Developer or raise the unconstitutionality of any such tax statute as a
defense in any proceedings, including delinquent tax proceedings with respect to
the Development Property; provided, however, "tax statute" does not include any
local ordinance or resolution levying a tax;
(3) It will not seek any tax deferral or abatement, either presently or
prospectively authorized under M.S., Section 469.1813, or any other State or
federal law, of the ad valorem property taxation of the Development Property
between the date of execution of this Agreement and the Termination Date.
5.07 Action to Reduce Taxes. The Developer may seek through petition or other means
to have the market value for the Development Property reduced. Until the TIF Note is fully paid,
such activity must be preceded by written notice from the Developer. Upon receiving such notice,
or otherwise learning of the Developer's intentions, the City may suspend payments due under the
TIF Note until the actual amount of the reduction is determined, whereupon the City will make the
suspended payments less any amount that the City is required to repay the County as a result any
reduction in market value of the Development Property. During the period that the payments are
subject to suspension, the City may make partial payments on the TIF Note if it determines, in its
sole and absolute discretion, that the amount retained will be sufficient to cover any repayment
which the County may require. The City's suspension of payments on the TIF Note pursuant to
this Section shall not be considered a default under this Agreement.
5.08 Legal and Administrative Ex enses. The Developer has paid to the City a fee of
$15,000, which payment shall go towards the Legal and Administrative Expenses that are incurred
in connection with the negotiating, approval and documentation of this Agreement. Thereafter,
Administrative Expenses shall be reimbursed by the City in accordance with 5.02(e) of this
12
Draft 3/6/2023
Agreement or any amendment to this Agreement requested by the Developer. Notwithstanding
the Developer's fee paid for Legal and Administrative Expenses as described in this Section, the
Developer agrees to pay any attorneys' fees in accordance with the Section 7.05 and the
circumstances described therein.
ARTICLE 6
Prohibitions Against Assi nment and Transfer
6.01. Transfer of Property and Assignment. Other than leases made in the ordinary
course of business, the Developer has not made and will not make, or suffer to be made, any total
or partial sale, assignment, conveyance, lease, or other transfer, with respect to this Agreement,
the Project or Property or any part thereof or any interest therein (other than any Mortgage or
Mortgages securing financing for the Project or other than any assignment of the payments to be
made to the Developer under Section 5.02 hereof that is permitted under Section 5.02 hereof), or
any contract or agreement to do any of the same, without the prior written approval of the City,
which shall not be unreasonably withheld or delayed. The City shall be entitled to require as
conditions to any such approval that: (i) the proposed transferee have the qualifications and
financial responsibility, as reasonably determined by the City, necessary and adequate to fulfill the
obligations undertaken in this Agreement by the Developer; (ii) the proposed transferee, by
recordable instrument satisfactory to the City shall, for itself and its successors and assigns, assume
all of the obligations of the Developer under this Agreement. No transfer of, or change with respect
to, ownership in the Project or Property or any part thereof, or any interest therein, however
consummated or occurring and whether voluntary or involuntary, shall operate, legally or
practically, to deprive or limit the City of or with respect to any rights or remedies or controls
provided in or resulting from this Agreement with respect to the Project or Property and the
completion of the Project that the City would have had, had there been no such transfer or change.
There shall be submitted to the City for review all legal documents relating to the transfer.
Notwithstanding the foregoing, this Section 6.01 shall not apply to any transfer or
assignment: (i) to any entity controlling, controlled by or under common control with the
Developer; (ii) to any entity in which the majority equity interest is owned by the parties that have
a majority equity interest in the Developer; or (iii) that after giving effect to such transfer or
assignment does not result in a change in control of the Developer.
Provided that no Event of Default exists hereunder, any such transfer or assignment shall
release the Developer from its obligations hereunder upon execution and delivery to the City by
the transferee or assignee of an instrument in form and substance satisfactory to the City by which
the transferee or assignee assumes the obligations of the Developer hereunder.
Except as set forth in the immediately preceding paragraph, in the absence of specific
written agreement by the City to the contrary, no approval of any assignment or transfer by the
City thereof with respect to any transfer or assignment shall be deemed to relieve the Developer,
or any other party bound in any way by this Agreement or otherwise with respect to the completion
of the Project, from any of their obligations with respect thereto.
6.02. Tennination of Limitations on Transfer. The provisions of Section 6.01 shall
terminate at such time as the Certificate of Completion has been issued by the City under
13
Draft 3/6/2023
Section 3.03 of this Agreement with respect to the Project; provided, however, that any assignment
of the payments to be made to the Developer under Section 5.02 may only be assigned as permitted
under Section 5.02 hereof.
ARTICLE 7
Event of Default; Fees
7.01. Events of Default. Subject to Unavoidable Delay, the following shall be "Events
of Default" under this Agreement and the term "Event of Default" shall mean, whenever it is used
in this Agreement (unless the context otherwise provides), any one or more of the following events
which occurs and continues for more than thirty (30) days after written notice by the defaulting
party of such default (and the term "default" shall mean any event which would with the passage
of time or giving of notice, or both, be an "Event of Default" hereunder):
(a) Failure of the Developer to construct or reconstruct the Project as required
hereunder.
(b) Failure of the Developer to furnish the Construction Plans as required
hereunder.
(c) Failure of the Developer to pay to the City any amounts required to be paid by
the Developer hereunder.
(d) Failure of the Developer or the City to observe and perform any other material
covenant, condition, obligation or agreement on its part to be observed or performed
hereunder.
(e) Failure of the Developer to pay any taxes on the Development Property prior to
the same becoming delinquent.
(f) Filing of any voluntary petition in bankruptcy or similar proceedings by the
Developer; general assignment for the benefit of creditors made by the Developer or
admission in writing by the Developer of inability to pay its debts generally as they become
due; or filing of any involuntary petition in bankruptcy or similar proceedings against the
Developer which are not dismissed or stayed within sixty (60) days.
7.02. Remedies on Default. In the event the City desires to exercise any of its rights or
remedies as provided herein or otherwise available to the City at law or in equity, the City shall
first provide written notice to Developer setting forth with specific particularity the Event of
Default and the action required to cure or remedy the same (the "Default Notice"). Developer or
any transferee or assignee under Section 6.01 hereof, shall have thirty (30) days from receipt of a
Default Notice to cure or remedy the Event of Default specified in the Default Notice, or such
longer period as may be reasonably required to complete the cure as soon as reasonably possible
under the circumstances. If, following Developer's receipt of a Default Notice, Developer does
not cure or remedy the Event of Default therein specified within the time provided above, the City
may take any one or more of the following actions at any time prior to Developer's curing or
remedying the Event of Default:
14
Draft 3/6/2023
(a) Suspend its performance under this Agreement until it receives assurances from
Developer, deemed reasonably adequate by the City, that Developer will cure its default
and continue its performance under this Agreement.
(b) In the case of a material default that is not cured within a reasonable period of
time, terminate all rights of Developer under this Agreement.
(c) Withhold the Certificate of Completion.
(d) Take whatever action at law or in equity may appear necessary or desirable to
the City to enforce performance and observance of any obligation, agreement, or covenant
of Developer under this Agreement.
In the event the City should fail to observe or perform any covenant, agreement or
obligation of the City on their part to be observed and performed under this Agreement, Developer
may take any one or more of the following actions:
(a) Suspend its performance under this Agreement until it receives assurances from
the City deemed adequate by Developer, that the City will cure its default and continue its
performance under this Agreement.
(b) In the case of a material default that is not cured within a reasonable period of
time, terminate all rights of the City under this Agreement.
(c) Take whatever action at law or in equity may appear necessary or desirable to
Developer to enforce performance and observance of any obligation, agreement, or
covenant of the City under this Agreement.
7.03. No Remedy Exclusive. No remedy herein conferred upon or reserved to the City,
or to the Developer is intended to be exclusive of any other available remedy or remedies, but each
and every such remedy shall be cumulative and shall be in addition to every other remedy given
under this Agreement or now or hereafter existing at law or in equity or by statute. No delay or
omission to exercise any right or power accruing upon any default shall impair any such right or
power or shall be construed to be a waiver thereof, but any such right and power may be exercised
from time to time and as often as may be deemed expedient. In order to entitle the City, or
Developer to exercise any remedy reserved to them, it shall not be necessary to give notice, other
than such notice as may be required under this Agreement.
7.04. Waivers. All waivers by any party to this Agreement shall be in writing. If any
provision of this Agreement is breached by any party and thereafter waived by another party, such
waiver shall be limited to the particular breach so waived and shall not be deemed to waive any
other concurrent, previous or subsequent breach hereunder.
7.05. A reement to Pay Attome s' Fees. Whenever any Event of Default occurs and the
City shall employ attorneys or incur other expenses for the collection of payments due or to become
due or for the enforcement or performance or observance of any obligation or agreement on the
part of the Developer herein contained, the Developer agrees that it shall, on demand therefor, pay
to the City the reasonable fees of such attorneys and such other expenses so incurred by the City.
15
Draft 3/6/2023
ARTICLE 8
General Provisions
8.01. Conflicts of Interest; City Representatives Not Individually Liable. No member,
official, employee, or consultant or employee of a consultant of the City shall have any personal
interest, direct or indirect, in this Agreement, nor shall any such member, official, consultant or
the consultant's employees or employee participate in any decision relating to this Agreement
which affects his or her personal interests or the interests of any corporation, partnership, or
association in which he or she is directly or indirectly interested. No member, official, consultant
or consultant's employee, or employee of the City shall be personally liable to Developer, or any
successor in interest, in the event of any default or breach by the City or for any amount which
may become due to Developer or successors or on any obligations under the terms of this
Agreement. No member, official, consultant or consultant's employee, or employee of the
Developer shall be personally liable to the City, or any successor in interest, in the event of any
default or breach by the Developer or for any amount which may become due to the City on any
obligations under the terms of this Agreement.
8.02. Equal Employment Opportunity. Developer, for itself and its successors and
assigns, agrees that during the construction of the Project it will comply with any applicable
affirmative action and nondiscrimination laws or regulations.
8.03. Restrictions on Use. Developer agrees for itself, and its successors and assigns,
and every successor in interest to the Development Property, or any part thereof, that Developer,
and such successors and assigns, shall devote the Development Property to, and only to and in
accordance with, the uses specified in the Development Program, this Agreement and other
agreements entered into between the Developer and the City, and shall not discriminate upon the
basis of race, color, creed, religion, national origin, sex, marital status, disability, status with regard
to public assistance, sexual orientation, and familial status in the sale, lease, or rental or in the use
or occupancy of the Development Property or any improvements erected or to be erected thereon,
or any part thereof.
8.04. Titles of Articles and Sections. Any titles of the several parts, Articles, and Sections
of this Agreement are inserted for convenience of reference only and shall be disregarded in
construing or interpreting any of its provisions.
8.05. Business Subsidies Act.
(a) Representations and Covenants. The provisions of this Section constitute the
"Business Subsidy Agreement" for purposes of the Business Subsidies Act.
(1) The Developer acknowledges and agrees that the provisions of the
Business Subsidy Act apply to this Agreement, as Developer is receiving the Public
Assistance under the terms of this Agreement, which Public Assistance constitutes
a "Business Subsidy" for purposes of the Business Subsidies Act.
(2) The public purposes and goals of the subsidy are to create jobs,
enhance economic diversity of the city, and increase the tax base in the City.
L
Draft 3/6/2023
(3) The goals for the subsidy are to create jobs that pay a livable wage,
per Section 8.05(b) of this Agreement.
(4) The subsidy is needed because the Project is economically infeasible
without the Public Assistance and the City is desirous of the Developer undertaking
the Project in order to create jobs and increase the tax base in the City's area of
operation.
(5) The Developer represents and covenants to continue operations in
the City for at least five years following the Benefit Date.
(6) The Developer represents and covenants to meet the job and wage
goals for the Business Subsidy, as described in subsection (b) below.
(7) The Developer does not have a parent corporation.
(8) In addition to the assistance provided under this Agreement, the
Developer has received or expects to receive as part of this Project, the following
financial assistance from other "grantors" as defined in the Business Subsidies Act:
$300,000 Loan from Southwest Initiative Foundation.
(b) Job and Wage Goals for the Business Subsidy.
(1) The Developer agrees that the job and wage goals for the Project are
two (2) New Full -Time Equivalent Employees, paying wages (exclusive of
benefits) at least equal to the U.S. Department of Health and Human Services
Poverty Level for a family of four as of January 10, 2023 ($30,000).
(2) Such wage and jobs and goals must be met within two years after
the Benefit Date.
(c) Financial Obligation of the Developer if Business Subsidy Agreement Not
Fulfilled.
(1) If the Developer does not fulfill this Business Subsidy portion of this
Agreement, the Developer will repay to the City a pro rata portion of the Business
Subsidy which has been paid to the Developer plus interest from the date of such
payments ("Interest") set at the implicit price deflator for government consumption
expenditures and gross investment for state and local governments prepared by the
bureau of economic analysis of the United States Department of Commerce for the
12-month period ending March 31 of the previous year. For instance, if Developer
creates one (1) permanent, full-time job, paying the wage goals for the Project, the
Developer will repay to the City 50% (1 divided by 2) of the Business Subsidy which
has been paid to the Developer plus Interest. The Public Assistance in years after
any such failure to create one hundred percent (100016) of the job and wage goals
shall be paid in proportion to the actual jobs created within two years after the
Benefit Date, e.g., actual jobs created divided by two (2).
17
Draft 3/6/2023
(d) Reporting Requirements; Term of Business Subsidy portion of this
Agreement.
a. The Developer agrees to furnish to the City on or before March 1 in
each year the report required in Section 116J.994, Subdivision 7 of the Business
Subsidies Act on forms developed by the Minnesota Department of Employment
and Economic Development.
b. If the City does not receive the reports, it will mail the Developer a
warning within one week of the required filing date. If within 14 days of the post
marked date of the warning the reports are not made, the Developer agrees to pay
to the City a penalty of $100 for each subsequent day until the report is filed up to
a maximum of $1,000.
C. This Business Subsidy portion of this Agreement will be in full force
and effect until the earlier of the Developer meeting all of its obligations hereunder
or the provisions of the Business Subsidies Act no longer apply to the City, the
Developer, or the Project, in which case this Business Subsidy portion of the
Agreement will be terminated.
8.06. Term of A eement. This Agreement shall terminate upon the earlier to occur of
(i) February 1, 2034, (ii) the date the TIF Note is paid in full, (iii) the date on which the TIF District
expires or is otherwise terminated, or (iv) the date this Agreement is terminated or rescinded in
accordance with its terms; it being expressly agreed and understood that the provisions of this
Agreement are intended to survive the expiration and satisfaction of any security instruments
placed of record contemporaneously with this Agreement, if such expiration and satisfaction
occurs prior to the expiration of the term of this Agreement, as stated in this Section 8.06.
8.07. Provisions Surviving Termination. Sections 4.01 and 7.05 hereof shall survive any
termination, rescission, or expiration of this Agreement with respect to or arising out of any event,
occurrence, or circumstance existing prior to the date thereof.
ARTICLE 9
Administrative Provisions
9.01. Notices and Demands. Except as otherwise expressly provided in this Agreement,
a notice, demand, or other communication under this Agreement by any party to another party
shall be sufficiently given or delivered if it is dispatched by registered or certified mail, postage
prepaid, return receipt requested, or delivered personally as follows:
in the case of Developer, addressed to or delivered personally to:
RD Machine, Inc.
325 Michigan Str SE
Hutchinson, MN 55350
Attention: Jeff Leway, President & Dave Mueller, Vice President
in the case of the City, addressed or delivered personally to:
18
Draft 3/6/2023
City of Hutchinson
111 Hassan St SE
Hutchinson, MN 55350
Attention: Matt Jaunich, City Administrator
The City and the Developer, by notice given hereunder, may designate different addresses
to which subsequent notices, certificates or other communications should be sent.
9.02. Counterparts. This Agreement may be executed in any number of counterparts,
each of which shall constitute one and the same instrument.
9.03. Binding. This Agreement shall inure to the benefit of and shall be binding
upon the City and the Developer and their respective successors and assigns.
9.04. Severabilit . In the event any provision of this Agreement shall be held invalid or
unenforceable by any court of competent jurisdiction, such holding shall not invalidate or render
unenforceable any other provision hereof.
9.05. Amendments Changes and Modifications. This Agreement may be amended or
any of its terms modified only by written amendment authorized and executed by the City and the
Developer. The Mayor and City Administrator are authorized to execute and deliver amendments
and any documents related to this Agreement on behalf of the City.
9.06. Further Assurances and Corrective Instruments. The City and the Developer agree
that they will, from time to time, execute, acknowledge and deliver, or cause to be executed,
acknowledged and delivered, such supplements hereto and such further instruments as may
reasonably be required for correcting any inadequate or incorrect description of the Development
Property or the Project or for carrying out the expressed intention of this Agreement.
9.07. Captions. The captions or headings in this Agreement are for convenience only
and in no way define, limit or describe the scope of intent of any provisions or Sections of this
Agreement.
9.08. Applicable Law. This Agreement shall be governed by and construed in
accordance with the laws of the State of Minnesota without giving effect to the conflicts -of -laws
principles thereof.
19
Draft 3/6/2023
IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed
as of the date first above written.
CITY OF HUTCHINSON, MINNESOTA
By
Mayor
And
City Administrator
STATE OF MINNESOTA )
ss.
COUNTY OF MCLEOD )
The foregoing instrument was acknowledged before me on this day of
, 2023, by , the Mayor, and , the City
Administrator, of the City of Hutchinson, a Minnesota municipal corporation, on behalf of the
corporation.
IN WITNESS WHEREOF, I have set my hand and my official seal this day of
.2023.
Notary Public
S-1
STATE OF A+"r eWPA )
) ss
COUNTY OF &Leat• )
Draft 3/6/2023
RD MACHINE, INC., a Minnesota corporation
By:
Print Name:
Its: PreS,del? r
-------------------
MILES R. NWELT
Nola of Pubtic
state of Minnesota
My Commission Expires
Janua 31, 2024
The foregoing instrument was acknowledged before me on this 12 day of J.A.1A ,
2023, by ¢4' Le'4-f the r of RD Machine, Inc., a Minnesota
corporation, on behalf of the company.
IN WITNESS WHEREOF, I have set my hand and my official seal this I i o day of
5,,...e 2023.
Notar Public
S-2
EXHIBIT A
DEVELOPMENT PROPERTY
The real property and interests in such property located in the County of McLeod, State of
Minnesota and described as follows:
Parcel ID Number Legal Description
23 256 0040 HUTCHINSON INDUSTRIAL DISTRICT Lot-006
Block-002 & VAC 4TH AVE ADJ
A-1
EXHIBIT B
COVENANTS AND RESTRICTIONS
During the term of that certain Tax Increment Financing Development Agreement between
the City of Hutchinson (the "City"), and RD Machine, Inc. (the "Developer"), dated [Dated Date],
2023, and recorded in the Office of the McLeod County Registrar as Document No.
on , 20[_J, the Property shall be subject to the following covenants and
restrictions:
1. The Property shall not be exempt from real estate taxes notwithstanding the
ownership or use of the land.
2. The Property shall not be sold, transferred, conveyed or leased to any of the
following parties:
a. An institution of purely public charity;
b. A church or ancillary tax-exempt housing;
C. A public hospital;
d. A public school district;
e. An organization exempt from federal income taxes pursuant to
Section 501(c)(3) of the Internal Revenue Code of 1986, as amended, if as
a result of such sale, transfer, conveyance or lease the Property would
become exempt from real estate taxes; or
f. A Minnesota cooperative association organized under Minnesota Statutes,
Section 308.05 and 308.18 for the purpose of complying with the provisions
of Minnesota Statutes, Section 273.133, subdivision 3, or any other party
that would cause the Property to be valued and assessed for real estate tax
purposes at a lower percentage of its market value than the Property is then
being valued and assessed for real estate tax purposes or would result in the
Property becoming exempt from real estate taxes.
3. The Property shall not be used for any of the following purposes:
a. The operation of a public charity;
b. A church or house of worship;
C. The operation of a public hospital;
d. The operation of a public schoolhouse, academy, college, university or
seminary of learning; or
Draft 3/6/2023
e. Any other use which would cause the Property to be valued and assessed
for real estate tax purposes at a lower percentage of its market value than
the Property is then being valued and assessed for real estate tax purposes
or would result in the Property becoming exempt from real estate taxes.
4. The Property shall be devoted to uses consistent with an "economic development
district" under Minnesota Statutes, Sections 469.174 through 469.1794.
5. The Property owner shall:
a. not discriminate upon the basis of race, color, creed, religion, national
origin, sex, marital status, disability, status with regard to public assistance,
sexual orientation, and familial status in the sale, lease, or rental or in the
use or occupancy of the Development Property, the Project or any part
thereof;
b. develop the Development Property in an orderly manner consistent with the
City's zoning ordinances and comprehensive plan.
6. The covenants and restrictions herein contained shall run with the title to the
Property and shall be binding upon all present and future owners and occupants of the Property;
provided, however, that the covenants and restrictions herein contained shall inure only to the
benefit of the City and may be released or waived in whole or in part at any time, and from time
to time, by the sole act of the City, and variances may be granted to the covenants and restrictions
herein contained by the sole act of the City. These covenants and restrictions shall be enforceable
only by the City, and only the City shall have the right to sue for and obtain an injunction,
prohibitive or mandatory, to prevent the breach of the covenants and restrictions herein contained,
or to enforce the performance or observance thereof.
7. The covenants and restrictions herein contained shall remain in effect until the
earlier of (i) February 1, 2034, or (ii) the date the City terminates the TIF District.
IM
EXHIBIT C
PROJECT DESCRIPTION; QUALIFIED COSTS
Project Description
Draft 3/6/2023
The Project involves a 21,000 square -foot expansion of the Developer's existing facility in
the City.
Qualified Costs
The estimated Qualified Costs of the TIF District are listed below that are eligible for
reimbursement from tax increments of the TIF District. The categories below identify the
categories of expenses that the parties agree may be reimbursed through tax increment financing.
The amounts assigned to each category are estimates only and not independent limitations of
Developer's Qualified Costs.
Site ImproN ements Preparation costs
[List other eligible purposes]
Total S
* Developer's Qualified Cost. The total principal amount of the TIF Note issued to reimburse the
Developer for Qualified Costs of the Project may be less than but will not exceed $566,935.
C-1
EXHIBIT D
CERTIFICATE OF COMPLETION
WHEREAS, RD Machine, Inc., a Minnesota corporation ("the Developer"), is the owner
and the Developer of the property in the County of McLeod and State of Minnesota described on
Exhibit A hereto and made a part hereof (the "Development Property"); and
WHEREAS, the Development Property is subject to the provisions of a certain Tax
Increment Financing Development Agreement (the "Agreement") in the Development District No.
4 and Tax Increment Financing District No. 4-23 (an economic development district), dated as of
[Dated Date], 2023, between the Developer and the City of Hutchinson, Minnesota; and
WHEREAS, the Developer has fully and duly performed all of the covenants and
conditions of Developer under the Agreement with respect to the completion of the Project (as
defined in the Agreement);
NOW, THEREFORE, it is hereby certified that all requirements of the Developer under
the Agreement with respect to the completion of the Project have been completed and duly and
fully performed, and this instrument is to be conclusive evidence of the satisfactory termination of
the covenants and conditions of the Agreement as they relate to the completion of the Project. All
other covenants and conditions of the Agreement shall remain in effect and are not terminated
hereby.
Dated this day of , 20_
CITY OF HUTCHINSON, MINNESOTA
By
Mayor
And
City Administrator
D-1
Draft 3/6/2023
Exhibit A
Development Property
The real property and interests in such property located in the County of McLeod, State of
Minnesota and described as follows:
cel ID Number Le al Description
23 256 0040 HUTCHINSON INDUSTRIAL DISTRICT Lot-006
Block-002 & VAC 4TH AVE ADJ
D-2
No. R-1
EXHIBIT E
FORM OF LIMITED TAX INCREMENT REVENUE NOTE
UNITED STATES OF AMERICA
STATE OF MINNESOTA
CITY OF HUTCHINSON
LIMITED REVENUE TAXABLE TAX INCREMENT NOTE
(RD MACHINE, INC. EXPANSION PROJECT)
PRINCIPAL AMOUNT:
INTEREST RATE: 4.00%
$ [PAR]
The City of Hutchinson, Minnesota (the "City") for value received, promises to pay, but
solely from the source, to the extent and in the manner hereinafter provided, to RD Machine, Inc.,
or its registered assigns (the "Owner"), the principal sum of [........ J dollars ($[PAR]), in
semi-annual installments payable on August 1, 2025, and on each February 1 and August I
thereafter up to and including February 1, 2034 (each being a "Scheduled Payment Date"), together
with interest on the outstanding and unpaid principal balance of this Limited Tax Increment
Revenue Note (RD Machine, Inc. Expansion Project) (this "Note") at the rate of four percent
(4.00%) per annum. Installment payments shall be applied first to interest and then to a reduction
of outstanding principal. Interest on the outstanding balance of this Note shall accrue from the date
hereof as simple, non -compounding interest. Each payment on this Note is payable in any coin or
currency of the United States of America which on the date of such payment is legal tender for
public and private debts and shall be made by check or draft made payable to the Owner and mailed
to the Owner at the postal address within the United States designated from time to time by the
Owner.
This Note is subject to prepayment on any Scheduled Payment Date at the option of the
City, in whole or in part, upon payment to the Owner of the principal amount of the Note to be
prepaid, without premium or penalty.
This Note is a special and limited obligation and not a general obligation of the City, which
has been issued by the City in aid of financing a project pursuant to and in full conformity with
the Constitution and laws of the State of Minnesota, including M.S., Sections 469.174 through
469.1794. This Note is issued pursuant to the provisions of that certain Tax Increment Financing
Development Agreement, dated as of [Dated Date], 2023, as the same may be amended from time
to time (the "Tax Increment Financing Development Agreement"), between the City and Owner.
THIS NOTE IS NOT PAYABLE OUT OF ANY FUNDS OR PROPERTIES OTHER
THAN PLEDGED TAX INCREMENT, AS DEFINED BELOW.
E-1
Draft 3/6/2023
The Note Payment Amounts due hereon shall be payable solely from a portion of the tax
increments calculated annually, less the City's administrative fee of ten percent (10%), and less
the City's retainage for City Qualified Costs (up to ten percent (10%)) from the Development
Property within the City's Tax Increment Financing District No. 4-23 (an economic development
district) (the "TIF District") within its Development District No. 4, which are paid to the City and
which the City is entitled to retain pursuant to the provisions of M.S., Sections 469.174 through
469.1794, as the same may be amended or supplemented from time to time (the "Available Tax
Increment"). Any increment remaining after (1) retaining the percentage noted above for the
City's administrative fee, (2) retaining for City Qualified Costs, and (3) the payment of the Note
Payment Amounts due shall be retained by the City. The City makes no representation or
covenant, express or implied, that the Available Tax Increments will be sufficient to pay, in whole
or in part, the amounts which are or may become due and payable hereunder.
The City shall pay to the Owner on each Scheduled Payment Date all Available Tax
Increment on that date to the extent necessary to pay principal and interest then due and any past
due installment. To the extent that the City is unable to pay the total principal and interest due on
this Note at or prior to the February 1, 2034, maturity date hereof as a result of its having received
as of such date insufficient Available Tax Increment, such failure shall not constitute a default
under this Note and the City shall have no further obligation hereon.
If the Owner does not pay real property taxes payable with respect to all and any parts of
the Development Property, as required pursuant to the Tax Increment Financing Development
Agreement, accrual of interest on the TIF Note shall be suspended until the next Payment Date
after such taxes are paid by Owner.
This Note shall not be payable from or constitute a charge upon any funds of the City, and
the City shall not be subject to any liability hereon or be deemed to have obligated itself to pay
hereon from any funds except the Available Tax Increment, and then only to the extent and in the
manner herein specified.
The Owner shall never have or be deemed to have the right to compel any exercise of any
taxing power of the City or of any other public body, and neither the City nor any council member,
officer, employee or agent of the City, nor any person executing or registering this Note shall be
personally liable hereon by reason of the issuance or registration hereof or otherwise. The Owner
may assign its rights hereunder, with notice thereof provided to City, in accordance with the
associated Tax Increment Financing Development Agreement.
IT IS HEREBY CERTIFIED AND RECITED that all acts, conditions, and things required
by the Constitution and laws of the State of Minnesota to be done, to have happened, and to be
performed precedent to and in the issuance of this Note have been done, have happened, and have
been performed in regular and due form, time, and manner as required by law; and that this Note,
together with all other indebtedness of the City outstanding on the date hereof and on the date of
its actual issuance and delivery, does not cause the indebtedness of the City to exceed any
constitutional or statutory limitation thereon.
E-2
IN WITNESS WHEREOF, the City of Hutchinson has caused this Note to be executed
by the manual signatures of the Mayor and the City Administrator and has caused this Note to be
dated as of , 20 .
Mayor
E-3
City Administrator
c HUTCHINSON CITY COUNCIL
HUTCHINSON Request for Board Action
A CITY ON PURPOSE.
Consideration of Final Plat of Island View Heights 7th Addition
Agenda Item:
Department: Planning
LICENSE SECTION
Meeting Date: 6/27/2023
Application Complete N/A
Contact: Dan Jochum
Agenda Item Type:
Presenter: Dan Jochum
Reviewed by Staff ❑�
Consent Agenda
Time Requested (Minutes): 5
License Contingency N/A
Attachments: Yes
BACKGROUND/EXPLANATION OFAGENDA ITEM:
The property owners are requesting to replat two lots in the current Island View Heights Second
Addition. The purpose of the plat is to make the lot located at 1155 West Shore Drive SW larger.
The lot located at 1165 West Shore Dr SW will still meet lot size requirements of the R-1 Zoning
District.
The Planning Commission asked why the lots weren't originally platted like they are being
proposed to be platted. Staff answered that the lots met the ordinance requirements when they
were originally platted, so it was the developers choice to plat the lots as they wanted as long as
it met the requirements.
Nobody from the public spoke regarding this request. The Planning Commission voted
unanimously (6-0) to approve the request.
BOARD ACTION REQUESTED:
Approval of final plat.
Fiscal Impact: Funding Source:
FTE Impact: Budget Change: New Bu
Included in current budget: No
PROJECT SECTION:
Total Project Cost:
Total City Cost: Funding Source: N/A
Remaining Cost: $ 0.00 Funding Source: N/A
CITY OF HUTCHINSON
MCLEOD COUNTY, MINNESOTA
RESOLUTION NO. 15609
RESOLUTION ADOPTING FINDINGS OF FACT AND REASONS FOR APPROVAL OF A FINAL
PLAT FOR ISLAND VIEW HEIGHTS SEVENTH ADDITION.
FACTS
1. Josh and Kellie Wendland are the owners of 1165 West Shore Dr SW; and,
2. The subject property is legally described as: Lot 2, Block 1, Island View Heights 2nd Addition
3. Josh and Kellie Wendland and Roger and Joy Schmitz have applied for a two -lot final plat, located at
1155 West Shore Dr SW and 1165 West Shore Dr SW, Hutchinson, MN, to be known as Island View
Heights Seventh Addition.
4. The Planning Commission met on June 20, 2023 and held a public hearing on the request and
considered the effects of the proposal on the health, safety, and welfare of the occupants of the
surrounding lands, existing and anticipated traffic conditions, and the effect on values of properties in
the surrounding area and consistency with the Comprehensive Plan, and hereby recommends approval
of the request subject to the following findings and conditions:
a. The final plat shall be recorded at the McLeod County Recorder's Office within 270 days of
approval.
The City Council of the City of Hutchinson reviewed the request at its meeting on June 27, 2023 and
has considered the recommendation and findings of the Planning Commission and hereby does
recommend approval of the final plat of Southfork Ridge Fourth Addition subject to the following
findings and conditions:
a. The final plat shall be recorded at the McLeod County Recorder's Office within 270 days of
approval.
APPLICABLE LAW
6. The final plat request meets the following standards as required in Sections 153.050 and153.100 of the
City of Hutchinson Municipal Code.
CONCLUSIONS OF THE LAW
7. The requested plat is consistent with the comprehensive plan and applicable ordinances.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Hutchinson, Minnesota, that the
final plat for Island View Heights Seventh Addition is approved.
Adopted by the City Council this 27th day of June, 2023.
ATTEST:
Findings of Fact — Resolution # 15609
Island View Heights Seventh Addition
Final Plat
Page 2
Matthew Jaunich Gary T. Forcier
City Administrator Mayor
DIRECTORS REPORT - PLANNING DEPARTMENT
To: Hutchinson Planning Commission
From: Dan Jochum, AICP
Date: June 13, 2023 for June 20, 2023, Planning Commission Meeting
Application: Consideration of a Final Plat for Island View Heights 7th Addition
Applicants: Roger and Joy Schmitz
Josh and Kellie Wendland
FINAL PLAT FOR ISLAND VIEW HEIGHTS SEVENTH ADDITION
The property owners are requesting to replat two lots in the current Island View Heights Second
Addition. The purpose of the plat is to make the lot located at 1155 West Shore Drive SW
larger. The lot located at 1165 West Shore Dr SW will still meet lot size requirements of the R-1
Zoning District_
Final Plat
Island View Heights Seventh Addition
Planning Commission —6/20/23
Page 2
GENERAL INFORMATION
Existing Zoning: R-1
Property Location: 1155 and 1165 West Shore Dr SW
Existing Lot Sizes: 1155 West Shore Dr SW — 20,342 sq. ft.
1165 West Shore Dr SW — 38,463 sq. ft.
Existing Land Use: Single Family Home and Vacant Land
Adjacent Land Use
And Zoning: Residential. R-1 Zoning
Comprehensive
Land Use Plan: Low Density Residential Neighborhood
Zoning History: This property was originally platted in 1997.
Applicable
Regulations: Sections 153.050 and 153.100 of the City Code
Final Plat:
The proposed Island View Heights Seventh Addition is a two -lot re -plat that makes the lot
located at 1155 West Shore Dr SW larger by 8,712 square feet and the lot at 1165 West Shore Dr
SW smaller by 8,712 square feet. The applicant proposed this plat to make his lot larger at 1155
West Shore Dr SW. The re -platted lot at 1155 West Shore Drive SW will be approximately
29,185 square feet which meets the minimum standard of the zoning ordinance. The lot at 1165
West Shore Dr. SW also meets the standard and is 20,473 square feet. Minimum lot area in the
R-1 district that are riparian lots (on water) need to be at least 15,000 square feet in size.
Each of these lots are already served by utilities and have proper access from City streets. The
plat did create new drainage and utility easements around each lot which is required by the City
subdivision ordinance.
Final Plat Review Criteria
After the submittal of the final plat, the Planning Commission shall recommend approval or
disapproval of the plat. Failure of the Planning Commission to act upon the final plat shall be
deemed a recommendation of approval of the plat. If plat disapproval is recommended, the
grounds for disapproval shall be stated in the records of the Planning Commission.
A plat shall not be recommended for approval unless it:
(a) Conforms to the preliminary plat; (no preliminary plat required per 153.100)
(b) Conforms to the design standards set forth in this chapter;
(c) Conforms to the adopted Comprehensive Plan; and
(d) Is in accordance with all requirements and laws of this state.
Final Plat
Island View Heights Seventh Addition
Planning Commission —6/20/23
Page 3
Recommendation:
Staff recommends approval of this request.
If Planning Commission feels this Plat is acceptable the following conditions should be applied to
the final plat approval:
1. The final plat shall be recorded at the McLeod County Recorder's Office within 270
days of approval.
ISLAND VIEW HEIGHTS SEVENTH ADDITION
NORTH
VICINITY MAP
PART OF S-4 6A, RNG 30
L
MCL—D —TY, M-ESOTA
— —1)
C—M= AND —G—HT
7 7.
IT. l'
-------------
�-6
I II
I II
------ - -- - - - -
1-D — — — —
14
VVVr —
— —
— — — — — — — — —
— — — — — — — — — —
OTTER LAKE
2 = 0.86
2
- --------
CRAPflIC SCALE
A
6----
PROPOSED EASEMENT OETML
LEGEND
F-
1�"ITE: R11 =12T . ... .
D . _
PU7 . ESA FS.,LT..ENMT4 i� /'*F P. j1@ IL SONS, INC.
T
1— \"-P- Professional Land Surveyors
SHEET 1 OF 1 SHEETS
CHECK REGISTER A FOR CITY OF HUTCHINSON
CHECK DATE FROM 6/14/23 - 6/27/23
Check Date
------------------
06/16/2023
Check
----------------------
EFT
Vendor Name
-----------------------------------------------------------------
EFTPS
Description
----------------------------------------------------------------------
Payroll Report 5/28/23 - 6/10/23
Amount
----------------------
80,517.29
06/16/2023
EFT
Child Support
Payroll Report 5/28/23 - 6/10/23
450.39
06/16/2023
EFT
MN Dept of Revenue
Payroll Report 5/28/23 - 6/10/23
15,524.23
06/16/2023
EFT
Provident Life -Vol Ins
Payroll Report 5/28/23 - 6/10/23
394.15
06/16/2023
EFT
PERA
Payroll Report 5/28/23 - 6/10/23
62,291.78
06/16/2023
EFT
Further HSA
Payroll Report 5/28/23 - 6/10/23
15,156.13
06/16/2023
EFT
Mission Square
Payroll Report 5/28/23 - 6/10/23
4,118.27
06/16/2023
EFT
VOYA
Payroll Report 5/28/23 - 6/10/23
460.00
06/16/2023
EFT
MNDCP
Payroll Report 5/28/23 - 6/10/23
350.00
06/16/2023
111936
Manual Employee Check
Payroll Report 5/28/23 - 6/10/23
516.07
06/16/2023
111937
Manual Employee Check
Payroll Report 5/28/23 - 6/10/23
353.22
06/16/2023
111938
Manual Employee Check
Payroll Report 5/28/23 - 6/10/23
12.93
06/16/2023
111939
MNPEA
Payroll Report 5/28/23 - 6/10/23
768.00
06/16/2023
111940
UNUM Life Insurance
Payroll Report 5/28/23 - 6/10/23
920.29
06/16/2023
111941
LELS Union Dues
Payroll Report 5/28/23 - 6/10/23
337.50
06/16/2023
111942
HART
Payroll Report 5/28/23 - 6/10/23
404.62
06/27/2023
111943
AARP
JUNE INSTRUCTION - SR CTR
210.00
06/27/2023
111944
ACE HARDWARE - 1315
REPAIR & MAINT SUPPLIES - MULTIPLE DEPTS
576.77
06/27/2023
111945
VOID
VOIDED CHECK
-
06/27/2023
111946
ACE HARDWARE - 1790
ENGINE 2 PARTS, PLIERS - FIRE
67.56
06/27/2023
111947
ACE HARDWARE - 1825
REPAIR & MAINT SUPPLIES - POLICE
120.60
06/27/2023
111948
ADVANCED POWER SERVICES INC
GENERATOR INSPECTIONS - EMERG MGMT
1,060.00
06/27/2023
111949
ALLIED PRODUCTS CORP
FLAGS - POLICE
79.71
06/27/2023
111950
ALPHA TRAINING & TACTICS LLC
POINT BLANK CARRIER, ID - POLICE
261.88
06/27/2023
111951
AMERICAN BOTTLING CO
COST OF GOODS SOLD - LIQUOR HUTCH
332.72
06/27/2023
111952
AMERICAN PUBLIC HEALTH ASSOC
SINGLE USER LICENSE: LAB SUPPLIES - WWTP
435.00
06/27/2023
111953
ANIMAL MEDICAL CENTER ON CROW RIVER
MAY PROCESSING/BOARDING - POLICE
835.00
06/27/2023
111954
ARTISAN BEER COMPANY
COST OF GOODS SOLD - LIQUOR HUTCH
1,168.00
06/27/2023
111955
AUTO VALUE - GLENCOE
JICS, PIPE, 0-RINGS - HATS
422.75
06/27/2023
111956
B & C PLUMBING & HEATING INC
REFUND: PERMIT/METER - BLDG
462.50
06/27/2023
111957
BACHMAN'S
TREES -STREETS
2,111.15
06/27/2023
111958
BATTLE LAKE SENIOR CENTER
CARDS, ENVELOPES - SR CTR
189.54
06/27/2023
111959
BCATRAINING EDUCATION
MENTORING/COACHING: A NORTROM - POLICE
250.00
06/27/2023
111960
BELLBOY CORP
COST OF GOODS SOLD - LIQUOR HUTCH
1,633.56
06/27/2023
111961
BENEFIT EXTRAS INC
MAY COBRA/RETIREE BILLING
53.00
06/27/2023
111962
BERNICK'S
CONCESSION SUPPLIES - REC / WATERPARK
4,392.54
06/27/2023
111963
BETKER, CLARA
UB refund for account: 1-270-7160-6-00
4.37
06/27/2023
111964
BEYOND BROKEN
2023 SHOW GUIDE ADV - LIQUOR HUTCH
160.00
06/27/2023
111965
BMI
ACCT# 2460499 ANNUAL FEE - ARENA
421.00
06/27/2023
111966
BOLTON & MENK INC
MAY PROJECTS -AIRPORT
5,875.00
06/27/2023
111967
BORDER STATES ELECTRIC
FIBER CABLE - IT
190.81
06/27/2023
111968
BRANDON TIRE CO
MOWER TIRE REPAIRS - PARKS
341.99
06/27/2023
111969
BRASS FOUNDRY BREWING CO
COST OF GOODS SOLD - LIQUOR HUTCH
380.74
06/27/2023
111970
BRAUN INTERTEC CORP
2023 PVMT & STREET IMPVS THRU 6/9/23
5,280.50
06/27/2023
111971
BREAKTHRU BEVERAGE
COST OF GOODS SOLD - LIQUOR HUTCH
25,087.52
06/27/2023
111972
BROOKS, EUGENE
UB refund for account: 2-975-8500-6-06
12.88
06/27/2023
111973
BROWNELLS INC
RETAINER, SPRING, MAGS, PATCH, RINGS - POLICE
119.02
06/27/2023
111974
C & L DISTRIBUTING
COST OF GOODS SOLD - LIQUOR HUTCH
56,438.30
06/27/2023
111975
CARD SERVICES
SUPPLIES - POLICE
12.50
06/27/2023
111976
CARS ON PATROL SHOP LLC
OIL CHANGES, INSPEC, REPAIRS - POLICE
2,429.20
06/27/2023
111977
CARTER, RILEY
UB refund for account: 3-696-4050-4-04
34.24
06/27/2023
111978
CENTER FOR ENERGY & ENVIRONMENT
NEW POLICE FACILITY THRU 6/1/23
14,725.00
06/27/2023
111979
CENTRAL HYDRAULICS
PIPE, COUPLER - HATS
161.08
06/27/2023
111980
CINTAS CORPORATION
SUPPLIES & SERVICE - MULTIPLE DEPTS
343.08
06/27/2023
111981
COMPUTER INTEGRATION TECHNOLOGIES
VIDEO SURVEILLANCE PROJECT
39,387.00
06/27/2023
111982
CONTEGRITY GROUP
NEW POLICE FACILITY THRU 6/1/23
7,629.98
06/27/2023
111983
CORE & MAIN LP
2" OMNI C2 FOR LAKERIDGE DEDUCT - WATER
1,879.37
06/27/2023
111984
CREEKSIDE SOILS
GOLD MULCH - STREEETS
505.25
06/27/2023
111985
CRESCENT MOON PRODUCTIONS LLC
ICE SHOW - ARENA
2,875.00
06/27/2023
111986
CROW RIVER FLORAL & GIFTS
ARRANGEMENTS - MULTIPLE DEPTS
147.50
CHECK REGISTER A FOR CITY OF HUTCHINSON
CHECK DATE FROM 6/14/23 - 6/27/23
Check Date
------------------
06/27/2023
Check
----------------------
111987
Vendor Name
-----------------------------------------------------------------
CROW RIVER OFFICIALS ASSN
Description
----------------------------------------------------------------------
APR - JULY GAMES/TOURN - REC
Amount
----------------------
20,580.00
06/27/2023
111989
DAHLHEIMER BEVERAGE
COST OF GOODS SOLD - LIQUOR HUTCH
80,536.55
06/27/2023
111990
E2 ELECTRICAL SERVICES INC
REPAIR BROKEN WIRES @ ROBERTS PARK
659.64
06/27/2023
111991
EBERT CONSTRUCTION
NEW POLICE FACILITY THRU 6/1/23
1,798.74
06/27/2023
111992
EBERT CONSTRUCTION
NEW POLICE FACILITY THRU 6/1/23 PAY #7
1,509.22
06/27/2023
111993
EMBROIDERY PLUS
UNIFORM CLASS D T-SHIRTS - FIRE
929.00
06/27/2023
111994
ERICKSON ENGINEERING CO LLC
MAY BRIDGE REPAIRS - ENG
10,919.18
06/27/2023
111995
FALCON MECHANICAL
NEW POLICE FACILITY THRU 6/1/23 PAY#17
10,925.00
06/27/2023
111996
FARM -RITE EQUIPMENT
EQUIPMENT PARTS - MULTIPLE DEPTS
332.11
06/27/2023
111997
FASTENAL COMPANY
SCREWS - MULTIPLE DEPTS
43.37
06/27/2023
111998
FORD METRO INC
NEW POLICE FACILITY THRU 6/1/23 PAY#11
4,314.55
06/27/2023
111999
FURTHER
JUNE 2023 HSA/FSAADM. FEES
343.80
06/27/2023
112000
FUZE LOGISTICS SERVICES USA INC
CREEKSIDE FREIGHT TO MULTIPLE LOCATIONS
1,650.00
06/27/2023
112001
GALLS LLC
UNIFORMS - MULTIPLE DEPTS
389.41
06/27/2023
112002
GAVIN, JANSSEN & STABENOW LTD
APRIL PROSECUTIONS - LEGAL
3,700.00
06/27/2023
112003
GEIKEN'S GUIDE & GUARD LLC
DARE TEACHING - POLICE
942.24
06/27/2023
112004
GOLDEN TONGUE CONSULTANTS
INTERPRETING SERVICES - POLICE
182.50
06/27/2023
112005
GOODPOINTE TECHNOLOGY
STREET & TRAIL PAVEMENT CONDITION SURVEY
9,442.50
06/27/2023
112006
GRAINGER
EQUIPMENT PARTS - MULTIPLE DEPTS
1,499.70
06/27/2023
112007
GRANITE ELECTRONICS INC
CASES, REPAIRS FOR PAGERS - FIRE
222.35
06/27/2023
112008
GREEN EARTH LAWN CARE INC
EARLY SPRING APP, MOWING - MULTIPLE DEPTS
585.13
06/27/2023
112009
HACH COMPANY
CHLORINE, FLUORIDE, REAGENT SET - WATER
795.31
06/27/2023
112010
HAGER JEWELRY INC
CHARMS FOR WATER CARNIVAL
137.50
06/27/2023
112011
HANSEN GRAVEL INC
RED ROCK - WWTP
75.00
06/27/2023
112012
HANSEN TRUCK SERVICE
AIR LINE - COMPOST
57.50
06/27/2023
112013
HANSON & VASEK CONSTRUCTION
CURB REPAIRS - STORM WATER
3,800.00
06/27/2023
112014
HEMLING, BRAD
REIMB: SAFETY FOOTWEAR - POLICE
225.00
06/27/2023
112015
HILLYARD / HUTCHINSON
OPERATING SUPPLIES, REPAIR - MULTIPLE DEPTS
1,361.30
06/27/2023
112016
HJERPE CONTRACTING
REDUCER -STREETS
98.00
06/27/2023
112017
HOLT-PETERSON BUS
5/13 CHS FIELD, 4/18 CRUISE - SR TRIPS
1,770.00
06/27/2023
112018
HOME CITY ICE COMPANY
COST OF GOODS SOLD - LIQUOR HUTCH
1,529.65
06/27/2023
112019
HOMETOWN SPORTS & APPAREL
T-SHIRTS - REC
1,985.60
06/27/2023
112020
HUTCHFIELD SERVICES
JUNE CLEANING - HATS
1,485.75
06/27/2023
112021
HUTCHINSON CO-OP
MAY FUEL & SERVICES - MULTIPLE DEPTS
37,743.16
06/27/2023
112022
HUTCHINSON UTILITIES
UTILITIES 5/1- 6/1'23
72,138.81
06/27/2023
112023
HUTCHINSON UTILITIES
2ND QTR BILLING B FITZPATRICK - IT
16,088.85
06/27/2023
112024
HUTCHINSON WHOLESALE #1550
OIL, V-BELTS - HATS
114.36
06/27/2023
112025
HUTCHINSON WHOLESALE #1552
AIR FILTERS - PARKS
101.38
06/27/2023
112026
HUTCHINSON WHOLESALE#2520
BOOT TRAILER: LED LIGHT KIT, PARTS- FIRE
89.66
06/27/2023
112027
HUTCHINSON, CITY OF
MAY 2023 STORM DRAINAGE
7,221.84
06/27/2023
112028
IMS SHARPENING SERVICE
CATCH BASIN REPAIR -STORM WATER
2,250.00
06/27/2023
112029
INTERSTATE BATTERY SYSTEM MINNEAPOL
BATTERIES - HATS
314.80
06/27/2023
112030
JOHNSON BROTHERS LIQUOR CO
COST OF GOODS SOLD - LIQUOR HUTCH
2O,645.93
06/27/2023
112031
KAHL, DENNIS
MOWING:GRANTST, WATERST-STORM WATER
220.00
06/27/2023
112032
KALENBERG, BRIAN
UB refund for account: 2-675-6880-9-01
148.64
06/27/2023
112033
KEVIN LOFTNESS LLC
DUST CONTROL - STREETS
5,020.56
06/27/2023
112034
KEVIN'S TOWING & RECOVERY
TOW 2019 CHEVY - POLICE
408.00
06/27/2023
112035
KOHLS SWEEPING SERVICE
WORK AT CREEKSIDE & NEW PD
4,709.25
06/27/2023
112036
L & P SUPPLY CO
REPAIR & MAINTSUPPLIES- MULTIPLE DEPTS
501.71
06/27/2023
112037
LANO EQUIPMENT OF NORWOOD
STRT312: FILTER, HOSE - STREETS
451.00
06/27/2023
112038
LAWSON PRODUCTS INC
CABLE TIES, BITS, ANCHORS, SPADE - WWTP
277.76
06/27/2023
112039
LEAGUE OF MN CITIES
2023 MNACA LEGISLATIVE UPDATE - LEGAL
190.00
06/27/2023
112040
LEAGUE OF MN CITIES -INS TRUST
3RD QTR 2023 INSURANCE PREMIUMS
96,186.00
06/27/2023
112041
LEFEBVRE BULK TRANSPORT INC
6/7 CREEKSIDE FREIGHT TO MINNETONKA
575.00
06/27/2023
112042
LYNDE & MCLEOD INC
MAY YARDWASTE - COMPOST
1,600.26
06/27/2023
112043
MALLAK, AIDEN
REIMB: SAFETY FOOTWEAR - PARKS
179.99
06/27/2023
112044
MARCO TECHNOLOGIES LLC
PRINTING CONTRACTS - MULTIPLE DEPTS
1,192.27
06/27/2023
112045
MARCO TECHNOLOGIES LLC
PRINTING CONTRACTS - MULTIPLE DEPTS
283.45
06/27/2023
112046
MARIE RIDGEWAY & ASSOCIATES
MANDATORY CHECK -INS - POLICE
2,324.00
06/27/2023
112047
MAVERICK WINE
COST OF GOODS SOLD - LIQUOR HUTCH
1,792.72
CHECK REGISTER A FOR CITY OF HUTCHINSON
CHECK DATE FROM 6/14/23 - 6/27/23
Check Date
------------------
06/27/2023
Check
----------------------
112048
Vendor Name
-----------------------------------------------------------------
MENARDS HUTCHINSON
Description
----------------------------------------------------------------------
REPAIR & MAINTSUPPLIES- MULTIPLE DEPTS
Amount
----------------------
1,822.85
06/27/2023
112049
MID CENTRAL DOOR
NEW POLICE FACILITY THRU 6/1/23
164.38
06/27/2023
112050
MID CENTRAL DOOR
NEW POLICE FACILITY THRU 6/1/23 PAY #10
2,310.68
06/27/2023
112051
MINI BIFF
VARIOUS RENTALS - MULTIPLE DEPTS
1,230.63
06/27/2023
112052
MINNESOTA CONTINUING LEGAL EDUCATIO
2023 UPDATE - LEGAL
57.50
06/27/2023
112053
MINNESOTA DEPT OF MOTOR VEHICLE
TITLE & REGISTRATION - STREETS
2,574.72
06/27/2023
112054
MINNESOTA DEPT OF MOTOR VEHICLE
TITLE & REGISTRATION - STREETS
2,717.98
06/27/2023
112055
MINNESOTA VALLEY TESTING LAB
LAB SAMPLE TESTING - MULTIPLE DEPTS
2,234.00
06/27/2023
112056
MIRAN CREEK FURNITURE INC
NEW POLICE FACILITY THRU 6/1/23 PAY #6
1,529.50
06/27/2023
112057
NORTH AMERICAN SAFETY INC
GLOVES, SAFETY GLASSES, COVERALLS - WWTP
1,128.68
06/27/2023
112058
NORTH CENTRAL LABORATORIES
BUFFER SOLUTION, PHOSPHATE - WWTP
206.98
06/27/2023
112059
NUSS TRUCK& EQUIPMENT
REFRIGERANT - HATS
275.00
06/27/2023
112060
ODP BUSINESS SOLUTIONS LLC
OFFICE SUPPLIES - MULTIPLE DEPTS
483.99
06/27/2023
112061
ODRA LLC
HUB ASM, BEARINGS, HYD MOTOR - STORMWATER
894.99
06/27/2023
112062
PAAPE DISTRIBUTING COMPANY
BURICH ARENA HVAC THRU 6/1/23 PAY#2
9,015.50
06/27/2023
112063
PAULSON, JOHN
REIMB: MESERB MEETING - WWTP
668.48
06/27/2023
112064
PAUSTIS WINE COMPANY
COST OF GOODS SOLD - LIQUOR HUTCH
1,433.50
06/27/2023
112065
PEOPLEREADY INC
CREEKSIDE TEMP STAFFING
2,195.28
06/27/2023
112066
PHILLIPS WINE & SPIRITS
COST OF GOODS SOLD - LIQUOR HUTCH
22,475.78
06/27/2023
112067
PIONEER ATHLETICS / PIONEER MFG
MARBLE, BRITE STRIPE, CLEANER - PARKS
3,338.23
06/27/2023
112068
PIONEERLAND LIBRARY SYSTEM
2ND QTR 2023 FUNDING REQUEST
47,804.00
06/27/2023
112069
POSTMASTER
POSTAGE - UB BILLING
1,690.00
06/27/2023
112070
PRECISION UTILITIES
INSTALL NEW SEWER SERVICE @ 1070 SHERWOOD
8,500.00
06/27/2023
112071
PREMIER TEST& BALANCE INC
NEW POLICE FACILITY THRU 6/1/23 PAY#1
23,655.00
06/27/2023
112072
PREMIUM WATERS
5 GALLONS - PARKS
86.24
06/27/2023
112073
QUILL CORP
OPERATING SUPPLIES - MULTIPLE DEPTS
856.10
06/27/2023
112074
RAN NOW, JANIS
RELOCATION BENEFIT: NEW DRIVERS LICENSE
33.25
06/27/2023
112075
READY WATT ELECTRIC
MAINT ON CITY SIREN'S - EMERG MGMT
4,470.00
06/27/2023
112076
RECREONICS
REPAIR & MAINTSUPPLIES- WATERPARK
3,775.03
06/27/2023
112077
RED BULL DISTRIBUTION COMPANY INC
COST OF GOODS SOLD - LIQUOR HUTCH
182.40
06/27/2023
112078
RED'S CONCRETE LLC
CONCRETE REPAIR -STREETS
3,500.00
06/27/2023
112079
REINER ENTERPRISES INC
CREEKSIDE FREIGHT TO MULTIPLE LOCATIONS
3,130.42
06/27/2023
112080
RICHARD LARSON BUILDERS
PERMIT REFUND - BLDG
61.00
06/27/2023
112081
RUNNING'S SUPPLY
REPAIR & MAINT SUPPLIES - MULTIPLE DEPTS
154.95
06/27/2023
112082
S&S TRUCKING LLC
CREEKSIDE FREIGHTTO MULTIPLE LOCATIONS
7,470.00
06/27/2023
112083
SCHWARTZ, MELANIE
UB refund for account: 1-880-0450-8-01
106.99
06/27/2023
112084
SHAFF, ZACH
UB refund for account: 1-415-0450-4-10
93.96
06/27/2023
112085
SHARE CORPORATION
ROUNDHOUSE - HATS
312.45
06/27/2023
112086
SHAW, KAREN
MAY CLASSES - SR CTR
180.00
06/27/2023
112087
SIMONSON LUMBER CO
LUMBER - PARKS
229.58
06/27/2023
112088
SMALL LOT MN
COST OF GOODS SOLD - LIQUOR HUTCH
1,036.08
06/27/2023
112089
SOUTHERN WINE & SPIRITS OF MN
COST OF GOODS SOLD - LIQUOR HUTCH
2O,598.96
06/27/2023
112090
SOUTHWEST CORRIDOR TRANS COALITION
2023 DUES: MIKE STIFTER - ENG
100.00
06/27/2023
112091
ST CLOUD REFRIGERATION INC
BURICH ARENA HVAC THRU 6/1/23 PAY #7
58,900.00
06/27/2023
112092
STACY'S NURSERY
ARRANGEMENT- BLDG
50.00
06/27/2023
112093
STANDARD PRINTING-N-MAILING
POSTAGE & SUPPLIES - MULTIPLE DEPTS
2,283.53
06/27/2023
112094
STAPLES ADVANTAGE
OFFICE SUPPLIES - MULTIPLE DEPTS
308.46
06/27/2023
112095
STEARNS COUNTY SHERIFF'S OFFICE
NO 23-1274 SUBPOENA - LEGAL
70.00
06/27/2023
112096
STREICH TRUCKING
CREEKSIDE FREIGHT TO MULTIPLE LOCATIONS
3,675.00
06/27/2023
112097
SYSCO WESTERN MN
CONCESSION SUPPLIES - REC / WATERPARK
3,932.97
06/27/2023
112098
TARGET PEST CONTROL
6/5 PEST CONTROL - MULTIPLE DEPTS
825.00
06/27/2023
112099
THOMSON REUTERS-WEST
MAY SUBSC - MULTIPLE DEPTS
1,439.65
06/27/2023
112100
TRI COUNTY WATER
BOTTLE WATER DELIVERY - MULTIPLE DEPTS
98.50
06/27/2023
112101
TWO-WAY COMMUNICATIONS INC
INSTALL, PARTS - MULTIPLE DEPTS
726.64
06/27/2023
112102
UNUM LIFE INSURANCE CO OF AMERICA
JULY LIFE INSURANCE
3,007.89
06/27/2023
112103
USA BLUE BOOK
SLUDGE HOE, AMMONIA TESTS - WWTP
601.24
06/27/2023
112104
VIKING BEER
COST OF GOODS SOLD - LIQUOR HUTCH
22,917.58
06/27/2023
112105
VIKING COCA COLA
COST OF GOODS SOLD - LIQUOR HUTCH
816.56
06/27/2023
112106
VINOCOPIA INC
COST OF GOODS SOLD - LIQUOR HUTCH
1,694.99
06/27/2023
112107
VIVID IMAGE
ANNUAL REPORT, CUSTOM LOGO - POLICE
173.75
CHECK REGISTER A FOR CITY OF HUTCHINSON
CHECK DATE FROM 6/14/23 - 6/27/23
Check Date
------------------
06/27/2023
Check
----------------------
112108
Vendor Name
-----------------------------------------------------------------
WASTE MANAGEMENT OF WI -MN
Description
----------------------------------------------------------------------
REFUSE TAKEN TO LANDFILL
Amount
----------------------
8,371.09
06/27/2023
112109
WEST CENTRAL SANITATION INC
MAY REFUSE - MULTIPLE DEPTS
55,697.53
06/27/2023
112110
WESTMOR FLUID SOLUTIONS LLC
INSTALLED FUEL HOSE -AIRPORT
1,877.63
06/27/2023
112111
WILSON'S NURSERY INC
TREES - STREETS
2,938.00
06/27/2023
112112
WINE COMPANY, THE
COST OF GOODS SOLD - LIQUOR HUTCH
1,673.10
06/27/2023
112113
WM MUELLER & SONS
SAND & 2023 STREET REPAIRS
15,728.17
06/27/2023
112114
WOLD ARCHITECTS & ENGINEERS
NEW POLICE FACILITY THRU 5/31/23
514.29
06/27/2023
112115
WOOD & RUE PLLP
43-CR-22-996: REVIEW FILE - LEGAL
64.00
06/27/2023
112116
YAMRY CONSTRUCTION
NEW POLICE FACILITY THRU 6/1/23
142.50
06/27/2023
112117
ZARNOTH BRUSH WORKS INC
EQUIPMENT PARTS - MULTIPLE DEPTS
1,643.69
Total - Check Register A:
$ 1,174,230.30
Department Purchasing Card Activity - May 2023
Date
Department
Vendor Name
Description
Amount
5/14/2023
ADMIN
CGMC
Registration for annual CGMC Summer Conference
175.00
5/11/2023
CREEKSIDE
MENARDS HUTCHINSON
Totes for waste audit
60.06
5/4/2023
CREEKSIDE
SPS COMMERCE
Apr 2023 SPS fees; UH & Bomgaars
243.85
5/28/2023
EDA
DEED COMMUNICATIONS
Minnesota Marketing Partnership meeting
30.00
5/28/2023
EDA
DEED COMMUNICATIONS
Credit Card fee
0.65
5/25/2023
EDA
USPS
Postage stamps
12.60
5/24/2023
EDA
JIMMY JOHNS
EDA Board lunches
110.93
5/18/2023
EDA
JIMMYS PIZZA
Finance Team lunches
90.84
5/31/2023
FINANCE
EZBUSINESS FEE
Credit Card Service Fee
15.00
5/18/2023
FINANCE
WM SUPERCENTER
City Center - soda for vending machine
72.62
5/18/2023
FINANCE
AMAZON
City Center - Booklet envelopes
53.00
5/17/2023
FINANCE
AMAZON
City Center - binder clips
35.02
5/17/2023
FINANCE
AMAZON
Bldg Insp - scissors
8.87
5/9/2023
FINANCE
AMAZON
Finance - Web camera/microphone
69.99
5/3/2023
FINANCE
GOVT FINANCE OFFICERS ASSN - GFOA
2023 GFOA dues - Andy & Justin
340.00
5/1/2023
FINANCE
AMAZON
City Center - sticky notes
7.99
5/28/2023
FIRE
FORESTRY SUPPLIERS INC
Wildland drip torch parts
148.01
5/10/2023
FIRE
CASH WISE FOODS
Bottled drinking water
44.70
5/1/2023
FIRE
JJS TECHNICAL SERVICES
4 gas meter - micro clip parts
211.40
5/1/2023
FIRE
SHELL OIL
Fuel for trip to FDIC - Indianapolis
66.31
5/26/2023
IT
SOLARWINDS
Annual Maintenance
913.15
5/26/2023
IT
SOLARWINDS
Annual Maintenance
61.91
5/26/2023
IT
SOLARWINDS
Annual Maintenance
38.69
5/26/2023
IT
SOLARWINDS
Annual Maintenance
23.22
5/26/2023
IT
SOLARWINDS
Annual Maintenance
15.48
5/26/2023
IT
SOLARWINDS
Annual Maintenance
61.91
5/26/2023
IT
SOLARWINDS
Annual Maintenance
54.17
5/26/2023
IT
SOLARWINDS
Annual Maintenance
100.60
5/26/2023
IT
SOLARWINDS
Annual Maintenance
85.12
5/26/2023
IT
SOLARWINDS
Annual Maintenance
46.43
5/26/2023
IT
SOLARWINDS
Annual Maintenance
464.32
5/19/2023
IT
AMAZON
Keyboard and Mouse for Concessions
28.77
5/12/2023
IT
SERVER SUPPLY.COM INC
Server hard drives
316.10
5/12/2023
IT
NEWEGG
Server Network Card
329.45
5/10/2023
IT
AMAZON
Cell phone case Jalnes
57.95
5/3/2023
IT
AMAZON
Monitor Stands
199.78
5/29/2023
LIQUOR HUTCH
ACE HARDWARE - 1315
Cleaning supplies
14.97
5/28/2023
LIQUOR HUTCH
CONSTANTCONTACT.COM
Email blast advertising
70.00
5/21/2023
LIQUOR HUTCH
AMAZON
Cleaning supplies
28.38
5/16/2023
LIQUOR HUTCH
RITE INC
Monthly pos system maintenance
273.81
5/11/2023
LIQUOR HUTCH
ACE HARDWARE - 1315
Cooler repair items
3.53
5/11/2023
LIQUOR HUTCH
AMAZON
Beer 6 pack rings
215.74
5/5/2023
LIQUOR HUTCH
DOMINO'S PIZZA
Lunch for cooler reset staff
100.81
5/1/2023
LIQUOR HUTCH
FACEBOOK
FB advertising
35.26
5/31/2023
PARK & REC
OUTDOOR MOTION
Bike Fleet Project - Bike Tools + Equipment
20.00
5/31/2023
PARK & REC
HUTCHINSON AREA CHAMBER OF COMMERCE
Casey Hagert- Hutchinson Leadership Institute
550.00
5/28/2023
PARK & REC
HARBOR FREIGHT TOOLS
Pneumatic Roller Seat
24.74
5/28/2023
PARK & REC
HASTY AWARDS
Fastpitch Softball Tournament Medals
962.50
5/28/2023
PARK & REC
MINNESOTA ASA
Softball - 12 dozen
761.74
5/28/2023
PARK & REC
COMPOSITE RECYCLING
Pickleball Net Replacement Parts
71.00
5/26/2023
PARK & REC
CHANHASSEN DINNER THEATRES
Senior Trips - Chanhassen Dinner Theater Tickets
2,725.83
5/25/2023
PARK & REC
AMAZON
Cones for Youth Sports
34.64
5/19/2023
PARK & REC
AMAZON
Softballs - Slow Pitch Softball Program
532.74
5/19/2023
PARK & REC
AMAZON
T-ball Safety Baseballs
69.98
5/18/2023
PARK & REC
AMAZON
Soccer Cones, Pickleball Paddles, Pickleball Balls
261.96
5/17/2023
PARK & REC
WAL-MART
Concession Supplies- buns, mustard, measuring cups
54.59
5/17/2023
PARK & REC
CANVA
Canva- Online Marketing Tool for PRCE Programs
119.99
5/14/2023
PARK & REC
AMAZON
Flavorice Freeze Pops
84.78
5/12/2023
PARK & REC
AMAZON
Pickles, Airhead Extreme Candy
84.70
5/11/2023
PARK & REC
AMAZON
Big League Bubble Gum, Sunflower Seed
111.79
5/11/2023
PARK & REC
WHENIWORK.COM
Employee Scheduling Software
84.00
Department Purchasing Card Activity - May 2023
Date
Department
Vendor Name
Description
Amount
5/11/2023
PARK & REC
TRACFONE
Senior Tour Phone Data Card
10.00
5/9/2023
PARK & REC
OUTDOOR MOTION
Bike Fleet Project - Bike Tools + Equipment
110.97
5/8/2023
PARK & REC
AMAZON
Car Chargers for (phones
25.18
5/7/2023
PARK & REC
DUNHAMS
Ball Buckets for Fastpitch Softball
209.93
5/7/2023
PARK & REC
AMAZON
Otterbox (phone Case
21.95
5/4/2023
PARK & REC
AMAZON
PaddleSport Equipment Parts
13.20
5/4/2023
PARK & REC
AMAZON
PaddleSport Equipment Parts
40.95
5/4/2023
PARK & REC
AMAZON
Skittles, M & M's - Concessions Supplies
112.97
5/4/2023
PARK & REC
AMAZON
Sour Patch Kids Candy - Concession Supplies
19.88
5/3/2023
PARK & REC
AMAZON
Otterbox (phone Case
38.89
5/3/2023
PARK & REC
AMAZON
Popcorn Kernels for Concession Stand
27.12
5/2/2023
PARK & REC
OUTDOOR MOTION
Bike Fleet Project - Bike Tools + Equipment
37.98
5/1/2023
PARK & REC
AMAZON
Baseball/Softball Score Books
389.70
5/3/2023
PLANNING
AMAZON
Water heater
249.00
5/29/2023
POLICE
AMAZON
Batteries
24.97
5/26/2023
POLICE
AMAZON
Phone case and protector
53.98
5/25/2023
POLICE
MAPET
Annual Conf - Schermann
200.00
5/21/2023
POLICE
PHILIPS HEALTHCARE
Defib pads for McLeod Fairgrounds
48.75
5/21/2023
POLICE
PHILIPS HEALTHCARE
Defib pads for Squeaky's
48.75
5/21/2023
POLICE
PHILIPS HEALTHCARE
Defib pads for City Center
48.75
5/16/2023
POLICE
BCATRAINING EDUCATION
Nortrom
75.00
5/11/2023
POLICE
AMAZON
Trash cans new building
779.94
5/9/2023
POLICE
POST BOARD LICENSING
M. Duenow Renew
90.00
5/7/2023
POLICE
AMAZON
Trash cans new building
129.99
5/29/2023
PUBLIC WORKS
NEOTREKS
Monthly Plow Ops Subscription - Total $420
108.00
5/29/2023
PUBLIC WORKS
NEOTREKS
Monthly Plow Ops Subscription
312.00
5/18/2023
PUBLIC WORKS
E-CONOLIGHT
Replacement Admin Bldg Exterior Lights - LED
1,295.85
5/16/2023
PUBLIC WORKS
FIRE HOSE DIRECT
Booster Fire Hose Storage
2,199.07
5/14/2023
PUBLIC WORKS
MWOA
MWOA Lab School Registration - DP
75.00
5/11/2023
PUBLIC WORKS
CUSTOMER ELATIONN INC
Monthly Dispatch Services - Total $441
220.50
5/11/2023
PUBLIC WORKS
CUSTOMER ELATIONN INC
Monthly Dispatch Services
220.50
5/2/2023
PUBLIC WORKS
AMAZON
Ext. Pole and Attachments, Business Card Stock
187.06
Total P-Cards:
$ 19,317.20
CHECK REGISTER B FOR CITY OF HUTCHINSON
CHECK DATE FROM 6/14/23 - 6/27/23
Check Date
---------
06/27/2023-------
Check
-------------------
111988
Vendor Name
--------------------------------------------------------
CROW RIVER SIGNS
Description
-------------------------------------------------------------
NEW POLICE FACILITY THRU 6/1/23
Amount
----------------
215.75
Total - Check Register B:
$ 215.75
HUTCHINSON CITY COUNCIL ci=y�f 0"'N
Request for Board Action79
Agenda Item: Annual Meeting to Consider Comments and Input on the City MS4 SWPPP
Department: Public Works
LICENSE SECTION
Meeting Date: 6/27/2023
Application Complete N/A
Contact: John Paulson
Agenda Item Type:
Presenter: John Paulson
Reviewed by Staff ❑
Public Hearing
Time Requested (Minutes): 10
License Contingency N/A
Attachments: Yes
BACKGROUND/EXPLANATION OFAGENDA ITEM:
Per requirements of the MPCA whom administer the National Pollution Discharge Elimination System (NPDES)
Phase II permit, the City must have a Annual Meeting and consider comments relating to the Storm Water Pollution
Prevention Plan (SWPPP). This regulation applies to all cities that are determined to have and maintain a Municipal
Separate Storm Sewer System (MS4). Public comments will be received at this meeting. An annual report to the
MPCA is being postponed due to software and system improvements being made by the state. Once their project is
complete an annual report will be submitted.
City staff will provide a presentation about the City's MS4 storm water program and 2022 activities that were
performed.
BOARD ACTION REQUESTED:
None.
Fiscal Impact: Funding Source:
FTE Impact: Budget Change: No
Included in current budget: No
PROJECT SECTION:
Total Project Cost:
Total City Cost: Funding Source:
Remaining Cost: $ 0.00 Funding Source:
City of Hutchinson
NPDES MS4
Annual Review
Public Meeting
June 28, 2022
John Paulson — Project/Environmental/Regulatory Manager
Public Education and Outreach
• PRCE Stormwater Page
• Stormwater Web page
• http://www.ci.hutchinson.mn.us/surfwatermanage.htm
• Stormwater Brochure
SW BMP Details distributed to /'' 82
Developers/Builders l sold
• Annual Public Meeting
Public Education and Outreach
• Storm drain Marker Program
• Signage and Educational Displays
BMPs/Rain Gardens
Native Prairies/Parks
Illicit Discharge Detection and
Elimination
• Stormwater System Map updates
132 Stormwater BMPs
56 City SW BMPs (end of 2021)
• 3800+ Catch Basins
• 1300+ Stormwater Manholes
• 94 miles of stormwater lines
• 76 Outlets from storm sewer system
• South Fork Crow River
• Wetlands
• McCuen Creek
City of Hutchinson 2022 MS4 Annual Meeting
28 June 2022
3
Illicit Discharge Detection and
Elimination
• Stormwater System Map updates
• Responded to Illicit Discharge Complaints
• Stormwater Inspection Program
• Conducted staff training
• Distributed educational materials to the public
• Stormwater Call Number to receive complaints,
input and to report illicit discharges
• (320)234-5682
Construction Site Stormwater
Runoff Control
• Performed site inspections on projects
• Stormwater design review is incorporated into
the development review process
• Stormwater Call Number to receive complaints,
input and to report illicit discharges
• (320)234-5682
Construction Site Stormwater
Runoff Control Issues
• Inlet Protection Missing
• Perimeter protection needs maintenance
• Site and/or stockpiles not stabilized
• Dewatering sediment laden water without BMP
• Sediment tracking onto the street
Post -Construction Stormwater
Management
• Update Stormwater System Map with new
Stormwater treatment measures
• Currently Implementing Operation and
Maintenance process for Best Management
Practices
Pollution Prevention/Good
Housekeeping
• Conducted City staff training
• Street Sweeping Program
• Leaf Pickup Program
• Inspections of Stormwater System Controls
14 of 56 Ponds
28 of 76 Outfalls
• Follow-up inspections and repairs to
infrastructure in need of maintenance
Additional Information
• Local Resource for answering SW questions
• Minnesota Cities Stormwater Coalition
• MS4 Permit Reissuance
NEW MS4 Permit coverage began October 20, 2021
Ordinance update for outdoor salt storage and use, Fall 2022
Looking Ahead
• Pond Cleanout Projects
• Lake/River Basin Nutrient Trading Analysis
• Ongoing MS4 Activities
• Chloride Education (Smart Salting)
• Tighter redevelopment SW standards
• Seek and Evaluate Funding Sources for Basin
Sediment Management Options
LCCMR funding application — pending review
r� �
Questions?
h
15 FRANKLIN ST SW — — — —
hutchlnson
CENTER ,
? Y 1
- .wccm—
■
• $45,000 for 3 years ($15,000/year).
• Unrestricted funds - all other grants received are for specific projects.
• This funding helps us leverage other grants.
• Funding sources post pandemic are decreasing.
• Historically used to help cover Operational Expenses - this allows us to focus
on our mission and provide vital arts programming to our community.
Our Missioh�- n
To broaden and deepen the arts
experiences for Hutchinson and
surrounding communities.
We accomplish this through education,
exhibitions, community outreach, and
partnerships with other organizations.
Painting flower pots at the Farmers Market.
One of the only art centers in a 50 mile
radius - we serve a broad community
and have a regional draw.
F- 2022 Attendance
Gallery & Exhibitions 1624
Classes 155
Outreach 1232
Events 1 320
TOTAL 1 3331
Sales gallery featuring work from 25 local
artists.
Exhibition space highlighting emerging and
professional artists from across Minnesota.
Annual Community Showcase & Youth Art
Show draws an average of 775 people every
year.
A *new* annual show for 2024 featuring local
artists with disabilities or mental challenges.
Artist Glenna Olson talks about her work and process.
Educational programming has
increased significantly since 2021.
Eleven local and regional artists and art
educators taught classes last year.
Scholarships and transportation
assistance are always available.
Kids admire the artwork during
Summer Studio Art Camp 41
ainting
ts.
i
Free programming at the Center
• Open Studio & Art Kits
Activities at public events
• Farmers Market, McLeod County Fair,
Water Carnival, Arts & Crafts Festival
Collaborative events
• Partnerships with Hutchinson Public
Library, One Book One Community,
Special Olympics MN, Empty Bowls
Kids try out printmaking at our free
monthly Open Studio for all ages.
We provide:
• Fiscal sponsorship for grants
• Liability insurance
• Storage & event space
• Other administrative support
When you support the Center, you support our partners!
Crow River Area Youth Orchestra Crow River Youth Choir Crow River Singers Historic Hutchinson
HPRCE Hutchinson Theatre Company Litchfield Area Male Chorus MN Pottery Festival
No Lines Improv Troupe RiverSong Music Festival
The value of our programming far exceeds $15,000 - there is a large return on this
investment.
Our educational programming alone costs approximately $7, 000 for a year.
For $15,000/yr, we're able to provide more services to the community than what
the City could for the same amount.
LL Economic Impact -A
Arts & Culture organizations in Hutchinson draw nearly 62,000 attendees annually.*
Nonprofit Arts & Culture Organizations in Hutchinson
Total spent by arts & culture attendees annually 1 $1.2 Million
Total spent by arts & culture organizations annually $1 Million
*Data provided by Creative Minnesota, developed in partnership with Minnesota Citizens for the Arts.
Data sources and methods can be found at CREATIVEMN.org
3:25 PM Hutchinson Center for the Arts
06/16/23 Profit & Loss Budget Overview
Accrual Basis January through December 2023
■ ETA .1- S l
Income
4000 • HCA Grants
58,071.00
4100 • Donations
31,000.00
4500 • MEMBERSHIP DUES
7,100.00
4600 • EVENT INCOME
7,000.00
4650 • MERCHANDISE SALES
5,000.00
4700 • FACILITIES, SERVICE & RENTALS
1,500.00
4800 • PROGRAMS, WORKSHOPS & CLASSES
6,000.00
Total Income
115,671.00
Gross Profit
115,671.00
Expense
6155 • Merchandise Shop Expenses
500.00
6050 • ADVERTISING
250.00
6100 • EVENT EXPENSE
1,250.00
6110 • Equipment, Software/Bloomerang
3,350.00
6130 • INSURANCE
4,500.00
6150 • MAINTENANCE & REPAIRS
800.00
6170 • OFFICE SUPPLIES
400.00
6235 • POSTAGE & SHIPPING
500.00
6180 • PAYROLL EXPENSES
47,500.00
6190 • PROFESSIONAL FEES
5,800.00
6200 • PROGRAM EXPENSES
8,380.00
6250 • RENT EXPENSE
29,760.00
6300 • UTILITIES
4,600.00
6400 • MEMBERSHIP DUES & SUBSCRIPTIONS
200.00
Total Expense
107,790.00
Net Income
7,881.00
Page 1
c HUTCHINSON CITY COUNCIL
HUTCHINSON Request for Board Action
A CITY ON PURPOSE.
Consideration of Using $500,000 of American Rescue Plan Act (ARPA) Monies for
Agenda Item: the Uptown Commons Project (Franklin Street Redevelopment)
Department: Finance
LICENSE SECTION
Meeting Date: 6/27/2023
Application Complete N/A
Contact: Andy Reid
Agenda Item Type:
Presenter:
Reviewed by Staff ❑�
New Business
Time Requested (Minutes): 3
License Contingency N/A
Attachments: Yes
BACKGROUND/EXPLANATION OFAGENDA ITEM:
The City has incurred costs related to the purchase of properties adjacent to its Franklin Street
redevelopment site. The attached schedule shows a total estimated cost of $1,332,554. After
applying the FEMA grant dollars received ($676,426) and the use of our Shopko TIF fund
balance ($273,687), the net City cost of $382,441 must be funded by other sources. The city will
be incurring additional site and infrastructure costs as the project progresses over the next year.
The city council previously discussed committing $500,000 of its federal ARPA monies towards
the Franklin Street redevelopment project. Now that costs have been incurred, it's necessary to
formally allocate funds to the project.
City staff is requesting that the city council commit $500,000 to the Franklin Street
redevelopment project. Once approved, the Finance Department will transfers monies as
needed, up to the $500,000 amount, or other amount as approved by the city council.
Information is attached regarding the balance of ARPA monies and the costs incurred or to be
incurred related to the Franklin Street redevelopment project. If the $500,000 is approved with
this agenda item, we would have an ARPA balance of $107,586 to be used for other projects.
BOARD ACTION REQUESTED:
Allocate $500,000 of the City's ARPA monies to the Uptown Commons project
Fiscal Impact: $ 500,000.00 Funding Source: COVID Relief Funding Fund
FTE Impact: Budget Change: No
Included in current budget: No
PROJECT SECTION:
Total Project Cost:
Total City Cost: Funding Source: N/A
Remaining Cost: $ 0.00 Funding Source: N/A
American Rescue Plan Act of 2021 (ARPA)
City of Hutchinson
Hutchinson's ARPA Funds: $1,528,093.53
Date
Description
07/28/2021
1 st ARPA funds received
11 /22/2021
Add'I ARPA funds received
07/01/2022
Final ARPA funds received
Committed Proiects:
Civic Arena HVAC project
General Fund Security Project
EDA Development Project
Revenue
$739,819.71
$24,227.06
$764,046.76
Expense
Reserve
$763,270.00
$157,237.00
$500,000.00
Balance
Totals $1,528,093.53 $1,420,507.00 $107,586.53
Franklin Street Project
Property Purchases
Property Purchase
Estimated
Purchase
Closing
Relocation
Demolition
TOTAL
Price
Costs
Total
Benefit
Costs
COST
135 Glen St N
Rannow
$246,000
$3,098
$249,098
$47,567
$15,000
$311,665
145 Glen St N
Olson
$330,000
$3,361
$333,361
$44,025
$15,000
$392,386
125 Glen St N
Witt
$312,100
$3,838
$315,938
$42,650
$15,000
$373,588
135 1stAve N
Witt
$143,000
$5,270
$148,270
$7,500
$155,770
145 1stAve N
Witt
$86,000
$5,644
$91,644
$7,500
$99,144
TOTAL PAYMENTS $1,117,100 $21,212 $1,138,312 $134,242
FEMA Grant
Less: Shopko TIF Fund Monies Used
Balance of Costs to Fund with ARPA
$60,000 $1,332,554
-$676,426
-$273,687
$382,441
Note: This analysis consists only of the costs related to property acquistions. Additional site and infrastructure
costs will be incurred over the next year, utilizing the remainder of the $500,000 ARPA funds in addition to other
funding sources.
HUTCHINSON CITY COUNCIL
HUTCHINSON Request for Board Action
A CITY ON PURPOSE.
Set Workshop Meeting for 4 p.m. on July 25 for Strategic Planning
Agenda Item:
Department: Administration
LICENSE SECTION
Meeting Date: 6/27/2023
Application Complete N/A
Contact: Matt Jaunich
Agenda Item Type:
Presenter: Matt Jaunich
Reviewed by Staff ❑�
New Business
Time Requested (Minutes): 1
License Contingency N/A
Attachments: No 0
BACKGROUND/EXPLANATION OFAGENDA ITEM:
City staff would like to conduct a workshop session (possibly more than one) to review the City's
End Statements (Core Values) and 5-year strategic plan. We are essentially looking to conduct a
strategic planning session with the Council in an effort to lay out some strategic goals to help
guide the City for the next 3-5 years.
BOARD ACTION REQUESTED:
Approval of calling a special workshop meeting for 4 p.m. on July 25
Fiscal Impact: Funding Source:
FTE Impact: Budget Change: No 0
Included in current budget: No
PROJECT SECTION:
Total Project Cost:
Total City Cost: Funding Source: N/A
Remaining Cost: $ 0.00 Funding Source: N/A
c HUTCHINSON CITY COUNCIL
HUTCHINSON Request for Board Action
A CITY ON PURPOSE.
May 2023 Financial and Investment Reports
Agenda Item:
Department: Finance
LICENSE SECTION
Meeting Date: 6/27/2023
Application Complete N/A
Contact: Andy Reid
Agenda Item Type:
Presenter:
Reviewed by Staff ❑�
Governance
Time Requested (Minutes): 0
License Contingency N/A
Attachments: Yes
BACKGROUND/EXPLANATION OFAGENDA ITEM:
For Council review, attached are the May Financial Reports for the general
fund and enterprise
funds. Also attached is the May Investment Report.
Feel free to contact me with any questions. Thank you.
BOARD ACTION REQUESTED:
Fiscal Impact: Funding Source:
FTE Impact: Budget Change: Govern;
Included in current budget: No
PROJECT SECTION:
Total Project Cost:
Total City Cost: Funding Source: N/A
Remaining Cost: $ 0.00 Funding Source: N/A
General Fund
Taxes
Other Taxes
Licenses & Permits
Intergovernmental Revenue
Charges for Services
Miscellaneous Revenues
Transfers -In
Fines & Forfeitures
Capital Contributions
TOTAL REVENUES
Wages & Benefits
Supplies
Services & Charges
Miscellaneous Expenses
Transfers -Out
Capital Outlay
TOTAL EXPENDITURES
NET REVENUE
REVENUE AND EXPENDITURE REPORT for CITY of HUTCHINSON
PERIOD ENDING MAY 31, 2023
2023 ACTUALS
MAY YTD
2023
BUDGET
AVAILABLE
BALANCE
2023
% BDGT
USED
2022 YTD
ACTUAL
2022
BUDGET
2022
% BDGT
USED
-
-
5,846,751
5,846,751
-
-
5,617,556
-
9,165
85,300
330,000
244,700
25.8
83,444
320,000
26.1
44,988
163,203
442,100
278,897
36.9
268,335
443,600
60.5
3
26,966
1,793,941
1,766,975
1.5
21,263
1,744,821
1.2
197,246
1,051,557
2,872,308
1,820,751
36.6
1,003,082
2,816,325
35.6
58,601
162,362
289,800
127,438
56.0
84,209
256,500
32.8
-
952,268
2,724,536
1,772,268
35.0
933,596
2,710,191
34.4
5,521
21,860
55,000
33,140
39.7
19,465
55,000
35.4
315,524
2,463,516
14,354,436
11,890,920
17.2
2,413,395
13,963,993
17.3
685,106
3,310,552
9,672,602
6,362,050
34.2
3,234,208
9,443,650
34.2
131,221
441,011
986,823
545,812
44.7
323,488
934,515
34.6
202,067
1,013,126
2,827,889
1,814,763
35.8
1,045,834
2,756,429
37.9
11,614
137,947
373,500
235,553
36.9
101,066
714,086
14.2
-
56,811
488,622
431,811
11.6
55,157
110,313
50.0
(19,940)
11,497
5,000
(6,497)
229.9
9,394
5,000
187.9
1,010,068
4,970,943
14,354,436
9,383,493
34.6
4,769,146
13,963,993
34.2
(694,544)
(2,507,427)
-
2,507,427
(2,355,752)
-
REVENUE AND EXPENDITURE REPORT for CITY of HUTCHINSON
PERIOD ENDING MAY 31, 2023
2023 ACTUALS
MAY
General Fund Expense by Department
YTD
2023 2022
2023 AVAILABLE % BDGT 2022 YTD 2022 % BDGT
BUDGET BALANCE USED ACTUAL BUDGET USED
Mayor & City Council
2,834
13,814
50,087
36,273
27.6
13,885
50,077
27.7
City Administrator
38,932
176,326
486,246
309,920
36.3
207,580
482,617
43.0
Elections
-
-
-
-
-
5,965
18,700
31.9
Finance Department
39,754
171,567
406,320
234,753
42.2
165,605
404,170
41.0
Motor Vehicle
23,108
114,191
299,947
185,756
38.1
105,672
296,160
35.7
Assessing
-
-
61,478
61,478
-
-
61,205
-
Legal
19,833
111,024
325,697
214,673
34.1
110,850
328,734
33.7
Planning
12,928
61,793
170,925
109,132
36.2
60,136
170,514
35.3
Information Services
34,005
215,243
584,601
369,358
36.8
217,873
598,135
36.4
City Hall Building
21,770
75,053
201,625
126,572
37.2
66,997
193,849
34.6
Police Department
283,151
1,439,306
3,711,079
2,271,773
38.8
1,289,795
3,497,529
36.9
Hospital Security
26,131
127,529
373,964
246,435
34.1
123,997
361,679
34.3
Emergency Management
116
4,716
16,980
12,264
27.8
4,016
16,980
23.6
Safety Committee
-
11,813
12,000
187
98.4
9,827
11,370
86.4
Fire Department
19,295
153,618
410,444
256,826
37.4
128,744
411,094
31.3
Protective Inspections
28,488
125,016
359,241
234,225
34.8
121,646
334,179
36.4
Engineering
33,658
157,559
505,473
347,914
31.2
192,958
441,310
43.7
Streets & Alleys
125,428
607,370
1,677,692
1,070,322
36.2
496,837
1,630,466
30.5
Park/Recreation Administration
35,058
108,074
263,811
155,737
41.0
93,773
249,716
37.6
Recreation
33,182
82,897
232,197
149,300
35.7
86,506
278,533
31.1
Senior Citizen Center
6,031
23,827
84,861
61,034
28.1
39,638
96,796
41.0
Civic Arena
21,238
164,845
407,734
242,889
40.4
134,991
411,332
32.8
Park Department
106,425
419,910
1,145,736
725,826
36.6
361,140
1,072,754
33.7
Recreation Building
18,912
100,172
281,230
181,058
35.6
81,620
265,600
30.7
Events Center
14,081
63,849
171,156
107,307
37.3
146,910
261,357
56.2
Evergreen Building
2,499
12,174
34,880
22,706
34.9
13,474
31,375
42.9
Library
3,233
64,591
244,216
179,625
26.4
109,549
230,492
47.5
Waterpark
25,744
39,502
457,647
418,145
8.6
50,326
396,659
12.7
Cemetery
15,380
56,781
151,085
94,304
37.6
51,608
145,838
35.4
Airport
8,812
75,174
143,905
68,731
52.2
67,913
145,123
46.8
Unallocated General Expense
10,040
193,211
1,082,179
888,968
17.9
209,316
1,069,650
19.6
TOTAL EXPENDITURES
1,010,068
4,970,943
14,354,436
9,383,493
34.6
4,769,146
13,963,993
34.2
REVENUE AND EXPENDITURE REPORT for CITY of HUTCHINSON
PERIOD ENDING MAY 31, 2023
2023
2022
2023 ACTUALS
2023
AVAILABLE
% BDGT
2022 YTD
2022
% BDGT
MAY
YTD
BUDGET
BALANCE
USED
ACTUAL
BUDGET
USED
Liquor Fund
Sales
663,906
2,718,894
7,281,000
4,562,106
37.3
2,622,020
7,424,000
35.3
Miscellaneous Revenues
564
1,307
10,500
9,193
12.4
1,360
3,000
45.3
TOTAL REVENUES
664,470
2,720,201
7,291,500
4,571,299
37.3
2,623,381
7,427,000
35.3
Cost of Sales
508,758
2,082,535
5,504,000
3,421,465
37.8
1,981,726
5,666,000
35.0
Wages & Benefits
67,354
326,931
904,864
577,933
36.1
300,075
812,108
37.0
Supplies
1,747
12,476
25,500
13,024
48.9
8,326
21,100
39.5
Services & Charges
19,294
109,759
298,750
188,991
36.7
123,573
285,550
43.3
Miscellaneous Expenses
-
70
6,700
6,630
1.0
85
6,700
1.3
Transfers -Out
-
-
550,000
550,000
-
-
550,000
-
CapitalOutlay
791
8,204
15,000
6,796
54.7
23,250
15,000
155.0
Depreciation Expense
-
-
61,000
61,000
-
-
70,700
-
TOTAL EXPENDITURES
597,944
2,539,974
7,365,814
4,825,840
34.5
2,437,036
7,427,158
32.8
NET REVENUE
66,526
180,227
(74,314)
(254,541)
186,345
(158)
Year to Date Sales
May Sales
Comments
2023
2022
Change
2023
2022
Change
Liquor Sales Revenue: Liquor
1,042,976
984,791
5.9%
238,896
215,662
10.8%
Beer
1,246,931
1,225,946
1.7%
333,108
330,336
0.8%
Wine
359,038
350,994
2.3%
73,431
69,954
5.0%
Other
69,948
60,289
16.0%
18,470
16,434
12.4%
Total Sales
2,718,894
2,622,020
3.7%
663,906
632,386
5.0%
Gross Profit
$636,359
$640,294
$155,148
$146,132
Gross Margin on Sales
23.4%
24.4%
-1.0%
23.4%
23.1%
0.3%
Customer Count
90,923
90,317
0.7%
21,490
20,864
3.0%
Average Sale per Customer
$29.90
$29.03
3.0%
$30.89
$30.31
1.9%
Labor to Sales Ratio
12.0%
11.4%
0.6%
10.1 %
10.3%
-0.2%
REVENUE AND EXPENDITURE REPORT for CITY of HUTCHINSON
PERIOD ENDING MAY 31, 2023
2023
2022
2023 ACTUALS
2023
AVAILABLE
% BDGT
2022 YTD
2022
% BDGT
MAY
YTD
BUDGET
BALANCE
USED
ACTUAL
BUDGET
USED
Water Fund
Sales
105,918
538,969
1,840,000
1,301,031
29.3
635,106
1,715,000
37.0
Sales - Other
100,605
407,027
614,000
206,973
66.3
224,959
549,950
40.9
Local Sales Tax
89,100
324,791
1,012,000
687,209
32.1
277,593
812,000
34.2
Charges for Services
3,373
51,762
71,685
19,923
72.2
48,582
71,685
67.8
Miscellaneous Revenues
13,487
47,839
44,500
(3,339)
107.5
11,023
42,000
26.2
Capital Contributions
-
-
-
-
-
-
-
-
TOTAL REVENUES
312,484
1,370,388
3,582,185
2,211,797
38.3
1,197,263
3,190,635
37.5
Wages & Benefits
43,539
215,477
579,848
364,371
37.2
212,115
579,241
36.6
Supplies
31,692
83,623
185,800
102,177
45.0
74,279
168,150
44.2
Services & Charges
52,912
178,801
561,885
383,084
31.8
179,334
507,750
35.3
Miscellaneous Expenses
400
8,960
13,500
4,540
66.4
303
13,500
2.2
Transfers -Out
-
-
70,000
70,000
-
-
70,000
-
CapitalOutlay
1,242
154,586
902,876
748,290
17.1
104,206
998,450
10.4
Depreciation Expense
-
-
1,090,000
1,090,000
-
-
1,132,000
-
Debt Service
-
114,254
1,371,173
1,256,920
8.3
208,342
1,465,433
14.2
TOTAL EXPENDITURES
129,784
755,701
4,775,082
4,019,381
15.8
778,578
4,934,524
15.8
NET of REVENUES & EXPENDITURES
182,699
614,688
(1,192,897)
(1,807,585)
418,685
(1,743,889)
Year to Date Water Sales
Comments
2023
2022
Change
Water Sales Revenue: Residential
353,887
429,406
-17.6°/u
Commercial
96,476
119,829
-19.5%
Industrial
88,606
85,870
3.2%
Water Sales
538,969
635,106
-15.1%
Base Charge
311,427
184,486
68.8%
Water Connection Charge
31,500
14,438
118.2%
Other
64,100
26,035
146.2%
Other Sales
407,027
224,959
80.90.
The new rate structure shifts more collection of the facility's fixed costs through the Base Charge as opposed to the usage charge.
This is evident with the drop in usage revenue for Residential and Commercial with the corresponding increase to the Base
Charge. The goal, and result to date, is a revenue neutral impact with the new rate structure.
REVENUE AND EXPENDITURE REPORT for CITY of HUTCHINSON
PERIOD ENDING MAY 31, 2023
2023
2022
2023 ACTUALS
2023
AVAILABLE
% BDGT
2022 YTD
2022
% BDGT
MAY
YTD
BUDGET
BALANCE
USED
ACTUAL
BUDGET
USED
Wastewater Fund
Sales
225,740
1,149,945
2,750,000
1,600,055
41.8
1,244,648
2,755,000
45.2
Sales - Other
96,807
394,749
549,000
154,251
71.9
184,043
559,300
32.9
Local Sales Tax
71,658
261,115
810,000
548,885
32.2
277,593
812,000
34.2
Licenses & Permits
-
5,800
6,000
200
96.7
6,000
6,500
92.3
Charges for Services
-
1,610
7,500
5,890
21.5
3,575
7,500
47.7
Miscellaneous Revenues
25,208
78,341
93,500
15,159
83.8
22,702
90,000
25.2
Capital Contributions
-
-
-
-
-
-
-
-
TOTAL REVENUES
419,413
1,891,559
4,216,000
2,324,441
44.9
1,738,561
4,230,300
41.1
Wages & Benefits
57,856
281,531
813,235
531,704
34.6
276,841
776,934
35.6
Supplies
10,896
91,431
279,200
187,769
32.7
99,990
246,500
40.6
Services & Charges
47,381
240,934
855,920
614,986
28.1
240,924
769,000
31.3
Miscellaneous Expenses
237
19,095
36,000
16,905
53.0
19,196
40,000
48.0
Transfers -Out
-
-
80,000
80,000
-
-
80,000
-
CapitalOutlay
41,434
534,228
1,638,085
1,103,857
32.6
2,199,707
984,400
223.5
Depreciation Expense
-
-
1,136,000
1,136,000
-
-
1,182,000
-
Debt Service
-
492,262
1,557,895
1,065,633
31.6
396,346
1,526,311
26.0
TOTAL EXPENDITURES
157,804
1,659,481
6,396,335
4,736,854
25.9
3,233,004
5,605,145
57.7
NET of REVENUES & EXPENDITURES
261,609
232,078
(2,180,335)
(2,412,413)
(1,494,444)
(1,374,845)
Year to Date Sewer Sales
Comments
2023
2022
Change
Wastewater Sales Revenue: Residential
624,270
662,681
-5.8°/u
Commercial
186,141
169,836
9.6%
Industrial - Flow
171,536
191,413
-10.4%
Industrial - Violation Surcharges
147,673
220,718
-33.1 %
Sewer Sales
1,129,621
1,244,648
-9.2%
Base Charge
332,053
159,293
108.5%
Sewer Connection Charge
41,400
16,675
148.3%
Other
21,296
8,075
163.7%
Other Sales
394,749
184,043
114.5%
REVENUE AND EXPENDITURE REPORT for CITY of HUTCHINSON
PERIOD ENDING MAY 31, 2023
2023
2022
2023 ACTUALS
2023
AVAILABLE
% BDGT
2022 YTD
2022
% BDGT
MAY
YTD
BUDGET
BALANCE
USED
ACTUAL
BUDGET
USED
Refuse Fund
Sales
108,401
536,592
1,285,000
748,408
41.8
528,627
1,267,000
41.7
Sales - Other
3,836
18,615
45,000
26,385
41.4
18,274
44,800
40.8
Intergovernmental Revenue
7,641
14,773
12,500
(2,273)
118.2
2,592
12,500
20.7
Miscellaneous Revenues
5,418
20,131
15,000
(5,131)
134.2
5,304
15,000
35.4
TOTAL REVENUES
125,296
590,111
1,357,500
767,389
43.5
554,798
1,339,300
41.4
Wages & Benefits
23,330
81,987
343,101
261,114
23.9
68,407
259,732
26.3
Supplies
9,142
20,603
62,850
42,247
32.8
25,504
59,900
42.6
Services & Charges
84,551
328,295
897,590
569,295
36.6
303,591
848,350
35.8
Miscellaneous Expenses
206
206
750
544
27.5
-
1,000
-
Transfers -Out
-
-
55,000
55,000
-
-
55,000
-
CapitalOutlay
751
6,038
1,018,482
1,012,444
0.6
19,815
1,207,500
1.6
Depreciation Expense
-
-
172,000
172,000
-
-
169,000
-
TOTAL EXPENDITURES
117,981
437,129
2,549,773
2,112,644
17.1
417,316
2,600,482
16.0
NET of REVENUES & EXPENDITURES
7,315
152,982
(1,192,273)
(1,345,255)
137,482
(1,261,182)
REVENUE AND EXPENDITURE REPORT for CITY of HUTCHINSON
PERIOD ENDING MAY 31, 2023
2023
2022
2023 ACTUALS
2023
AVAILABLE
% BDGT
2022 YTD
2022
% BDGT
MAY
YTD
BUDGET
BALANCE
USED
ACTUAL
BUDGET
USED
Compost Fund
Sales
536,483
1,659,469
2,939,400
1,279,931
56.5
2,228,283
2,706,000
82.3
Charges for Services
35
595
97,000
96,405
0.6
1,180
87,000
1.4
Miscellaneous Revenues
6,718
27,564
32,000
4,436
86.1
12,626
32,000
39.5
TOTAL REVENUES
543,236
1,687,627
3,068,400
1,380,773
55.0
2,242,089
2,825,000
79.4
Cost of Sales
355,344
1,123,050
2,158,000
1,034,950
52.0
1,536,877
1,837,000
83.7
I nventory Cost Adjustment
(59,069)
(192,553)
(657,750)
(465,197)
29.3
(290,570)
(712,500)
40.8
Wages & Benefits
58,792
285,349
838,147
552,798
34.0
291,685
808,198
36.1
Supplies
8,733
33,706
162,500
128,794
20.7
51,610
129,000
40.0
Services & Charges
9,350
75,574
304,980
229,406
24.8
82,492
304,850
27.1
Miscellaneous Expenses
278
2,512
11,000
8,488
22.8
4,007
11,000
36.4
Transfers -Out
-
-
120,000
120,000
-
-
120,000
-
CapitalOutlay
751
5,288
349,652
344,364
1.5
(21)
221,000
(0.0)
Depreciation Expense
-
-
290,000
290,000
-
365
278,000
0.1
Debt Service
-
69,646
73,808
4,162
94.4
68,338
73,808
92.6
TOTAL EXPENDITURES
374,179
1,402,572
3,650,337
2,247,765
38.4
1,744,785
3,070,356
56.8
NET of REVENUES & EXPENDITURES
169,057
285,055
(581,937)
(866,992)
497,304
(245,356)
Year to Date Sales
Comments
2023
2022
Change
Compost Sales
Bagged
1,500,513
1,838,974
-18.4%
Bulk
49,613
100,200
-50.5%
Other (Freight)
109,343
289,110
-62.2%
Total Sales
1,659,469
2,228,283
-25.5%
Gross Profit
536,419
691,406
Gross Margin
32.3%
31.0%
REVENUE AND EXPENDITURE REPORT for CITY of HUTCHINSON
PERIOD ENDING MAY 31, 2023
2023
2022
2023 ACTUALS
2023
AVAILABLE
% BDGT
2022 YTD
2022
% BDGT
MAY
YTD
BUDGET
BALANCE
USED
ACTUAL
BUDGET
USED
Storm Water Utility
Sales
89,064
442,402
1,065,000
622,598
41.5
428,840
1,033,000
41.5
Sales - Other
354
1,828
3,500
1,672
52.2
2,337
3,500
66.8
Licenses & Permits
1,570
2,875
5,500
2,625
52.3
3,945
4,800
82.2
Miscellaneous Revenues
6,527
16,237
15,300
(937)
106.1
3,540
14,350
24.7
TOTAL REVENUES
97,515
463,342
1,089,300
625,958
42.5
438,661
1,055,650
41.6
Wages & Benefits
22,044
104,942
308,906
203,964
34.0
103,810
290,084
35.8
Supplies
6,941
12,849
53,625
40,776
24.0
10,691
51,325
20.8
Services & Charges
24,146
40,857
208,535
167,678
19.6
33,025
212,150
15.6
Miscellaneous Expenses
-
2,291
10,000
7,709
22.9
2,021
18,000
11.2
Transfers -Out
-
-
-
-
-
-
-
CapitalOutlay
247,293
247,293
746,600
Depreciation Expense
-
275,000
275,000
-
-
254,000
-
Debt Service
-
148,411
221,589
73,178
93.5
143,761
221,589
70.2
TOTAL EXPENDITURES
53,131
309,350
1,324,948
1,015,598
23.3
293,308
1,793,748
16.4
NET of REVENUES & EXPENDITURES
44,384
153,993
(235,648)
(389,641)
145,353
(738,098)
Oppenheimer & Co. Inc.
85 Broad Street STATEMENT OF
PPENHE
T� /(� ��/� New York, N10004
c212> 668-8000 ACCOUNT
�'.. '" Transacts Business on All Principal Exchanges SAT
Assets maturing during the next 60 days appear at the end of this statement.
Special Message
This statement has been provided to you through electronic delivery.
Thank you for helping us 'Go Green'!
Oppenheimer is acting in a Brokerage capacity for this account.
Portfolio Summary
This
Previous
Estimated
Period
Period
Annual Income
05/31/23
04/30/23
Advantage Bank Deposits*
$11,906.54
$645.05
$29.76
Mutual Funds
63,320.12
26,434.87
2,942.99
Government Agency Bonds
942,580.00
947,270.00
25,900.00
Municipal Bonds
12,218,913.15
12,255,053.50
351,714.10
Certificates of Deposit
6,385,761.33
6,405,136.66
205,461.00
Cash Account Balance
416.16
5,718.29
Total Asset Value
$19,622,897.30
$19,640,258.37
$586,047.85
Net Value of Accrued Interest $159,272.95 $147,853.18
Total Asset Value does not include Direct Investments, Accrued Interest or unpriced securities.
* Eligible for FDIC insurance up to standard maximum insurance amounts, Not S/PC insured.
Account Number: D25-5019707 Tax ID Number: ON FILE
For the Period: 05/01/23 - 05/31/23 Last Statement: 04/30/23
Page 1 of 13
CITY OF HUTCHINSON MINNESOTA
I I I HASSAN ST SE
HUTCHINSON MN 55350-2522
Financial Professional
SULLIVAN,C/FAY,J
511X
(800)258-3387
Internet Address: www.opco.com
Income Summary
Office Serving Your Account
100 SOUTH 5TH ST
SUITE 2200
MINNEAPOLIS, MN 55402
Reportable
This Period
Year to Date
Advantage Bank Dep Interest
$0.29
$4.09
Corporate Interest
24,647.30
78,430.24
Municipal Interest
13,741.00
95,690.19
Government Interest
4,375.00
11,387.50
Dividends
81.02
4,785.84
Total Reportable
$42,844.61
$190,297.86
Non -Reportable
Municipal Accrued Int Paid
$0.00
$-7,789.94
Total Non -Reportable
$0.00
$-7,789.94
PPENHEIMEk Executive Summary CITY OF HUTCHINSON
report as of 0610112023 XXXXXX9707
Summary Totals
Original Face
$20,173,000
Current Face (Par)
$20,173,000
Market Principal
$19,547,254
Accrued Interest
$118,977
Cash & Cash Alternatives
$0
Fixed Income Funds
$0
Equity Balance
$0
Total Portfolio Value
$19,666,231
Next 12mo Cpn Cash Flow
$555,736
Generic Annual Cpn Cash Flow
$583,075
Weighted Averages
Coupon*
2.890 %
Maturity**
2.14 yrs
Duration
1.96
Yield to Worst
5.117 %
Yield to Maturity
5.128 %
Market Price*
96.898
Tax Lots Holdings Included
58 of 58
'Par-Wid, all else Mkt-Wid.
* Avg life used for principal Paydowns, and
perpetual securities
are assigned a 40 yearmatudty.
Moody's S&P
UST/AGY/CD -
PR/ETM
Aaa LAAA
As
AA
A
A
See
BBB
$60,000
$50,000
$40,000
$30,000
. Muni- 62.5%
CD- 32.7%
Agy- 4.8%
Fed Tax -Exempt 0 Fed Taxable 0 Subj to Cap Gains 0 Subj to AMT
40%
20%
I 1
o%
tinrlb,�`�,t6,y'�,t0,t�i.�o,b1,�'L.�'3.bb,�h.�6,�'�,�0,�0 pO a'Ya'l•p"�pb ah p6 a'1 a0 poiy0y'Yy'L x ,p�
yO,tO,1O,yO,00,1O,yO,tO,yO,yO,00,yO,yO,tO,1O,yO,00,LO,yO,00,LO,yO,tO,LO,yO,00,LO,yO,tO,yOoyReJ
Qe
40%
20%
Be $20,000
BB
1 1
<BB $10,000
NR
NR
NR
$0
None '
'S 'S 'S 'S '� 'S '� b b b b b b
None bti J�� ��" C� ��" dti �" bti vti L�' L�' ��' bti 0%
0% 20% 40% 60% 80% 100% )J P� �o O� )e O a`0 PA !C0 )J o'Yo'1-o3obogoxoo'1 o0ooiyo,,,,yl,.y„.yP,y`oy0,'1,yo y�i,yo,y,1,t,L.y,3.yb,�5.y0,y'�,to,y0,�oox
o0'otio'1%o'3aPo<ioroo'1'o9oc'.yo,y'Y,�'I,.y"ryay5.y0,y'�,�0,�0',y0',ytit'L,y3,tb,yh,yO,L'1;yo',L9' '>
Includes coupon cash flows for the next 12 months, from 06101/2023 to 05aI12024.
Includes all tax lot holdings with recognized CUSIP, quantity, market price and full analytical calculations on reporting date. Includes coupon cash flows for the next 12 months, from 06/01/2023 to 05131/2024. Projected Principal Paydowns for
CMOs are produced by applying current pool speeds which are updated weekly. Assuming similar market conditions going forward, Projected Principal Paydowns for Pass-Thru securities are produced by calculating and applying concurrent
historical speeds to future paydown schedules.
Page 3 of 25
PPENHEIMEI� Totals & Averages @ Current Market CITY OF HUTCHINSON
report as of 0610112023 XXXXXX9707
Original Face Value
Current Face Value
Valid Tax Lot Holdings
Unrecognized Tax Lot Holdings
Total Tax Lot Holdings
$20,173,000
$20,173,000
58
0
58
'Valid Tax Lot Holdings' includes all tax lot holdings with recognized CUSIP and quantity.
Priced Original Face Value
$20,173,000
Priced Current Face Value
$20,173,000
Tax Lot Holdings Included
58 of 58
Priced Market Principal
$19,547,254
Average Coupon
2.890%
Average Market Price
96.898
Includes all tax lot holdings with recognized CUSIP, quantity and market price on reporting
date. Average coupon and market price weighted by market principal.
Portfolio Totals
Original Face Value
Current Face Value
Market Principal Value
Accrued Interest
Total Market Value
Cash & Cash Alternatives
Fixed Income Funds
Equity Balance
Total Portfolio Value
Next 12mo Cpn Cash Flow
Generic Annual Cpn Cash Flow
Tax Lot Holdings Included
Portfolio Averages
$20,173,000
Coupon
$20,173,000
Maturity
$19,547,254
Duration
$118,977
Convexity
$19,666,231
Current Yield
$0
Yield to Worst
$0
Yield to Maturity
$0
After Tax YTW
$19,666,231
Taxable Equivalent YTW
$555,736
After Tax YTM
$583,075
Taxable Equivalent YTM
58 of 58
Market Price
2.890%
2.14 yrs
1.96
0.067
2.983%
5.117%
5.128%
5.117%
5.117%
5.128%
5.128%
96.898
Includes all tax lot holdings with recognized CUSIP, quantity, market price and full analytical calculations on reporting date.
Portfolio average values are market -weighted, unless otherwise noted.
Coupon and market price are par -weighted.
All prices have been normalized to par.
Average life used for principal paydowns, and perpetual securities are assigned a 40 year maturity.
Includes coupon cash flows for the next 12 months, from 0610112023 to 0513112024.
ATY/TEY calculations use a Fed Tax rate of 0.00%, a Cap Gains Tax rate of 0.00%, a State of N/A, and a State Tax rate of N/A.
Generic Annual Cpn Cash Flow is simply coupon rate times current face value, and does not consider acquisition date, redemption dates, long/short
first coupons, ex -dividend dates, payment delays, etc.
Duration and convexity figures represent modified duration to worst.
Page 4 of 25
PPENHEIMEI� Totals & Averages @ Acquisition CITY OF HUTCHINSON
report as of 0610112023 XXXXXX9707
Original Face Value
Current Face Value
Valid Tax Lot Holdings
Unrecognized Tax Lot Holdings
Total Tax Lot Holdings
$20,173,000
Portfolio Totals
Portfolio Averages
$20,173,000
Original Face Value
$20,173,000
Yield to Worst (cost)
2.954%
58
Face Value at Acquisition
$20,173,000
Yield to Worst (mkt)
5.117%
0
Original Principal Cost
$20,159,786
Yield to Maturity (cost)
2.989%
58
Adjusted Principal Cost
$20,104,574
Yield to Maturity (mkt)
5.128%
Current Market Principal
$19,547,254
Original Acquisition Price
99.934
Estimated Gainl(Loss)
-$557,319
Adjusted Cost Price
99.661
Tax Lot Holdings Included
58 of 58
Current Market Price
96.898
Valid Tax Lot Holdings' includes all tax lot holdings with recognized CUSIP and quantity.
Original Face Value
$20,173,000
Face Value at Acquisition
$20,173,000
Tax Lot Holdings Included
58 of 58
Original Principal Cost
$20,159,786
Average Acquisition Price
99.934
Includes all tax lot holdings with recognized CUSIP, quantity, acquisition date/price, full analytical calculations at acquisition, market price, and full
analytical calculations on reporting date.
Average values @ cost are weighted by respective original total acquisition costs.
Includes all tax lot holdings with recognized CUSIP, quantity, and acquisition date/price. All prices have been normalized to par.
Average acquisition price is weighted by original principal cost. Average life used for principal paydowns, and perpetual securities are assigned a 40 year maturity.
Page 5 of 25
PPENHEIMEI, Position Details CITY OF HUTCHINSON
report as of 0610112023 XXXXXX9707
CUSIP Curr
Face Account #
Mdy / S&P
Coupon
Mitt Px
Acq Date
Tot Adj Cost Mkt Principal
Unreal GIL
Asset
% Port Held
(Underlying)
Issue Description
Maturity Duration
Px To
Date
Yield
ATY TEY
Acq Px I Yid
Adj Cost Px
Accr Int
%Adj Cost
149159MQ5
245 xxxxxx9707
-/-
CATHAY BK LOS ANGEL CALIF
3.150%
99.953 Maturity
06/08/2023
8.737 % (w)
8.737 % 8.737 %
06/08/2018
$245,000
$244,885
($115)
CD
1.21% Held
FDIC Cert A, 18503
061082023
0.01 Cuff Yield
-
3.15'1 %
100.000 / 3.150%
100.000
$3,785
(0.0%)
Death Put I I CATY I Semi -Annual Pay I Restricted States: CA, NY
856425AR4
245 xxxxxx9707
-/-
STATE BANK OF LISMORE
3.100%
99.845 Maturity
06/27/2023
5.676% (w)
5.676% 5.676%
06/27/2018
$245,000
$244,620
($380)
CD
1.21% Held
LISMORE MN
0627/2023
0.06 Cuff Yield
-
3.105%
100.00013.100%
100.000
$187
(0.291)
FDIC Cert A, 8190
Death Put I I SBKLIS I Monthly Pay
45581EAX9
245 xxxxxx9707
-/-
INDUSTRIAL & COML BK CHINA
3.300%
99.844 Maturity
06/30/2023
5.583% (w)
5.583% 5.583%
08/30/2018
$245,000
$244,618
($382)
CD
1.21% Held
USA
06/302023
0.07 Cuff Yield
-
3.305%
100.00013.300%
100.000
$133
(0.2%)
FDIC Cent A, 24387
Death Put I I INDCMB I Monthly Pay I Restricted States: NON-USACCOUNTS
75472RAW1
245 xxxxxx9707
-/-
RAYMOND JAMES BK NATL ASSN
1.700%
99.258 Maturity
08/14/2023
5.582% (w)
5.582% 5.582%
02/14/2020
$245,000
$243,182
($1,818)
CD
1.21% Held
FDIC Cert A, 33893
08/142023
0.19 Cuff Yield
-
1.713%
100.00011.700%
100.000
$1,267
(0.7%)
Death Put I I RJF I Semi -Annual Pay
59833LAF9
245 xxxxxx9707
-/-
MIDWEST INDPT BK MO
3.150%
99.361 Maturity
09/18/2023
5.392% (w)
5.392% 5.392%
09/17/2018
$245,000
$243,434
($1,566)
CD
1.21% Held
FDIC Cert A, 25849
0911812023
0.28 Cuff Yield
-
3.170%
100.000 / 3.150 %
100.000
$402
(0.691)
Death Put I I MIDINB I Monthly Pay
59447TKJI
300 xxxxxx9707
Aa2/AA-
MICHIGAN FIN AUTH REV
2.744%
98.851 Maturity
11/01/2023
5.627% (w)
5.627% 5.627%
07/26/2022
$298,308
$296,553
($1,755)
Muni
1.49% Held
(WRi-)
111012023
0.39 Cuff Yield
-
2.776%
99.436 / 3.201%
99.436
$777
(0.6%)
Material Events I FEDERALLY TAXABLE I S&P Outlook Stable I Make Whole Call I Extraordinary Calls I Revenue I Government I Semi -Annual Pay
61760ARSO
245 xxxxxx9707
-/-
MORGAN STANLEY PRIVATE BK
3.550%
99.200 Maturity
11/08/2023
5.451 % (w)
5.451 % 5.451 %
11/08/2018
$245,000
$243,040
($1,960)
CD
1.21% Held
NATL
111082023
0.42 Cuff Yield
-
3.579%
100.00013.550%
100.000
$667
(0.8%)
FDIC Cart A, 34221
Death Put 11 MS 1 Semi -Annual Pay
54627CAX1
250 xxxxxx9707
Aaa/-
LOUISIANA HSG CORP
0.550%
97.855 Next Call
06/22/2023
46.862%
46.862% 46.862%
05/11/2022
$240,758
$244,638
$3,880
Muni
1.24% Held
MULTIFAMILY HSG REV -
121012023
0.48 Maturity
12/01/2023
5.045% (w)
5.045% 5.045%
96.303 / 3.000%
96.303
$15
1.6%
HOLLYWOOD ACRES LLC-
Cuff Yield
-
0.562%
HOLLYWOOD HEIGHTS PROJS
Material Events I Revenue I Housing I Semi -Annual
Pay
538036CZ5
245 xxxxxx9707
-/-
LIVE OAK BANKING COMPANY
2.500%
98.523 Maturity
12/13/2023
5.369% (w)
5.369% 5.369%
12/13/2017
$245,000
$241,381
($3,619)
Co
1.21% Held
WILMINGTON NC
12/132023
0.52 Cuff Yield
-
2.537%
100.00012.500%
100.000
$67
(1.5%)
FDIC Cent A, 58665
Death Put I I LIVOAK I Monthly Pay
Includes all tax lot holdings with recognized CUSIP. For
preferred securities, # of shares is displayed instead of current face value, which is represented in thousands (000).
The (w) in the
Yield column indicates which yield value is the Yield to Worst (YTW).
Duration figure represents modified duration to worst.
ATY/TEY calculations use a Fed Tax rate of 0.00%, a Cap Gains Tax rate of 0.009/, a State of N/A, and a State Tax rate of N/A.
Page 6 of 25
PPENHEIMEI,
Position Details (continued...)
CITY OF HUTCHINSON
report as of 0610112023
XXXXXX9707
Position
Details
CUSIP Curr
Face Account #
Mdy / S&P
Coupon
Mkt Px
Acq Date
Tot Adj Cost Mkt Principal
Unreal GIL
Asset
% Port Held
(Underlying)
Issue Description
Maturity Duration
Px To Date
Yield
ATY
TEY Acq Px I Yid
Adj Cost Px
Accr Int
%Adj Cost
03784JSL9
245 xxxxxx9707
-/-
APPLE BANK FOR SAVINGS
0.600%
97.060 Maturity 01/22/2024
5.376%(w)
5.376%
5.376% 01/26/2022
$243,456
$237,797
($5,660)
CD
1.21 % Held
FDIC Cert #., 16068
0122/2024
0.61 Cuff Yield -
0.618 %
99.370 / 0.920 %
99.370
$544
(2.391)
Death Put I I APPBNK I Semi -Annual Pay I Restricted States:
TX
06251AV80
245 xxxxxx9707
-/-
BANK HAPOALIM B M NEW YORK
3.200%
98.677 Maturity 01/23/2024
5.327%(w)
5.327%
5.327% 01/23/2019
$245,000
$241,759
($3,241)
CD
1.21 % Held
FDIC Cent A, 33686
0123/2024
0.61 Cuff Yield -
3.243 %
100.000 / 3.200 %
100.000
$2,857
(1.39')
Death Put I I Foreign I Emerging I HAPOAL
I Semi -Annual Pay I Restricted States: MT,TX
20033AP91
245 xxxxxx9707
-/-
COMENITY CAP BK UTAH
3.100%
98.474 Maturity 02/15/2024
5.330% (w)
5.330%
5.330% 02/15/2019
$245,000
$241,261
($3,739)
CD
1.21 % Held
FDIC Cert A, 57570
02/15/2024
0.68 Cuff Yield -
3.148 %
100.000 / 3.100 %
100.000
$437
(1.5%)
Death Put I I ADS I Monthly Pay I Restricted States: OH,TX
057864AZ3
485 xxxxxx9707
Aa2/AA
BALDWIN CNTY ALA PUB BLDG
3.000%
99.462 Maturity 03/01/2024
3.740% (w)
3.740%
3.740% 03/20/2020
$486,751
$482,391
($4,360)
Muni
2.40% Held
(A821)
AUTH BLDG REV - JAIL PROJ
0310112024
0.72 Cuff Yield -
3.016%
101.867 / 2.500%
100.361
$3,799
(0.9%)
Material Events I S&P Outlook Stable I Extraordinary Calls I Revenue
I Government I Semi -Annual Pay
65621XAN9
580 xxxxxx9707
-/AA+
NORMANDYSCHS
0.550%
96.379 Maturity 03/01/2024
5.620% (w)
5.620%
5.620% 12/07/2021
$577,048
$558,998
($18,050)
Muni
2.88% Held
(-/a)
COLLABORATIVE MOJT
0310112024
0.72 Cuff Yield -
0.571%
99.491 / 0.780%
99.491
$833
(3.1%)
EXECUTIVE GOVERNING BRD ST
LOUIS CNTY
Material Events I FEDERALLY TAXABLE I STATE TAXABLE
I S&P Outlook Stable I General Obligation
I Education I Semi -Annual
Pay
90348JJQ4
245 xxxxxx9707
-/-
UBS BK USA SALT LAKE CITY UT
2.900 %
97.997 Maturity 04/03/2024
5.372% (w)
5.372 %
5.372 % 04/03/2019
$245,000
$240,093
($4,907)
CD
1.21% Held
FDIC Cent A, 57565
0410312024
0.81 Cuff Yield -
2.959%
100.000 / 2.900 %
100.000
$39
(2.09/)
Death Put I I UBS I Monthly Pay
438701Y73
675 xxxxxx9707
Aa2/-
HONOLULU HAWAII CITY &CNTY
0.545%
95.238 Maturity 07/01/2024
5.167% (w)
5.167%
5.167% 03/07/2022
$668,112
$642,856
($15,255)
Muni
3.35% Held
(Aa2i)
WASTEWTR SYS REV
0710112024
1.04 Cuff Yield -
0.572%
97.498 / 1.650%
97.498
$1,574
(2.3%)
Material Events I FEDERALLY TAXABLE I Make Whole Call I
Pm-Rata I Revenue I Utilities I Semi -Annual
Pay
14042RSR3
245 xxxxxx9707
-I-
CAPITAL ONE NATL ASSN VA
3.300%
97.787 Maturity 07/08/2024
5.404% (w)
5.404%
5.404% 07/07/2022
$245,000
$239,578
($5,422)
CD
1.21 % Held
FDIC Cert A, 4297
07/08/2024
1.04 Cuff Yield -
3.375 %
100.000 / 3.300 %
100.000
$3,300
(2.2%)
Death Put I I COF I Semi -Annual Pay
20056UAV6
500 xxxxxx9707
-/AA
COMMERCE CALIF CMNTY DEV
3.000%
97.163 Maturity 08/01/2024
5.565% (w)
5.565%
5.565% 05/09/2017
$504,530
$485,815
($18,715)
Muni
2.48% Held
(-/A)
COMMN SUCCESSOR AGY TAX
08/01/2024
1.10 Curr Yield -
3.088%
105.31912.200%
100.906
$5,167
(3.791)
ALLOCATION
FEDERALLY TAXABLE I S&P Outlook Stable I DID I Revenue I Government I AGMC Insured I Semi -Annual
Pay
Includes all tax lot holdings with recognized CUSIP. For preferred securities, # of shares is displayed instead of current face value, which is represented in thousands (000).
The (w) in the Yield column indicates which yield value is the Yield to Worst (YTW).
Duration figure represents modified duration to worst.
ATY/TEY calculations use a Fed Tax rate of 0.00%, a Cap Gains Tax rate of 0.00Y, a State of N/A, and a State Tax rate of N/A.
Page 7 of 25
PENHEIMER, Position Details (continued...) CITY OF HUTCHINSON
report as of 0610112023 XXXXXX9707
CUSIP Curr
Face Account #
Mdy / S&P
Coupon Mkt Px
Acq Date
Tot Adj Cost Mkt Principal
Unreal G/L
Asset
% Port Held
(Underlying)
Issue Description Maturity Duration Px To Date
Yield
ATY
TEY Acq Px I Yid
Adj Cost Px
Accr Int
%Adj Cost
438687KT1
1,000 xxxxxx9707
Aa2/-
HONOLULU HAWAII CITY &CNTY 1.832% 96.172 Maturity 08/01/2024
5.288%(w)
5.288%
5.288% 10/30/2019
$996,000
$961,720
($34,280)
M-i
4.96% Held
(Aa2/-)
081012024 1.11 Cuff Yield -
1.905%
99.600/1.920%
99.600
$6,310
(3.491)
Material Events I FEDERALLY TAXABLE I Make Whole Call I General Obligation I Government 1 Semi
-Annual Pay
02589ADMI
245 xxxxxx9707
-/-
AMERICAN EXPR NATL BK 3.350% 97.670 Maturity 08/12/2024
5.388% (w)
5.388 %
5.388% 08/10/2022
$245,000
$239,292
($5,708)
CD
1.21 % Held
FDIC Cent #., 27471 08112.2024 1.13 Curr Yield -
3.430 %
100.000 / 3.350%
100.000
$2,586
(2.391)
Death Put I I AXP I Semi -Annual Pay
20772J3J9
570 xxxxxx9707
Aa3/AA-
CONNECTICUTST 2.400% 96.839 Maturity 08/15/2024
5.160% (w)
5.160%
5.160% 07/11/2019
$568,906
$551,982
($16,923)
Muni
2.83% Held
(Aa3y
08/15/2024 1.15 Curr Yield -
2.478 %
99.808 / 2.440 %
99.808
$4,180
(3.0%)
Material Events I FEDERALLY TAXABLE I S&P Outlook Stable I General Obligation I Government I Semi -Annual Pay
3134GXR22
500 xxxxxx9707
Aaa/AA+
FEDERAL HOME LN MTG CORP 4.000 % 98.977 Next Call 08/28/2023
8.364%
8.364 %
8.364 % 08/30/2022
$500,000
$494,885
($5,115)
Ally
2.48% Held
0826/2024 0.72 Mid Call 02/28/2024
5.928% (w)
5.928 %
5.928 % 100.000 / 3.260%
100.000
$222
(1.0%)
Maturity 08/28/2024
6.349 %
6.349 %
6.349 %
Cuff Yield -
4.041%
S&P Outlook Stable I Short First Coupon I FHLMC I Multi -Step Coupon 3.25 % unfit 02128/2023, 3.5% until 0512812023, 4.0 %
until 08/28/2023, 4.5%until 1112812023, 5.0% until 02128/2024, 6.0% unfit 05/28/2024,
then 8.0% 1 Quarterly Pay
64971QJ38
500 xxxxxx9707
Aal/AAA
NEW YORK N Y CITY 2.600% 96.458 Next Call 07/02/2023
51.071%
51.071%
51.071 % 05/09/2017
$486,750
$482,290
($4,460)
Muni
2.48% Held
(Aav-)
TRANSITIONAL FIN AUTHREV 111012024 1.35 Maturity 11/01/2024
5.245%(w)
5.245%
5.245% 97.350 / 2.998%
97.350
$1,228
(0.9%)
Cuff Yield -
2.695%
Material Events I FEDERALLY TAXABLE I S&P Outlook Stable I Revenue I Government I Semi -Annual
Pay
564759RJ9
244 xxxxxx9707
-/-
MANUFACTURERS& TRADERS TR 4.900% 99.382 Maturity 12/09/2024
5.330% (w)
5.330%
5.330% 12/07/2022
$244,000
$242,492
($1,508)
CD
1.21% Held
CO 12/092024 1.40 Cuff Yield -
4.930%
100.00014.900%
100.000
$5,896
(0.6%)
FDIC Cert A, 588
Death Put I I MTB I Semi -Annual Pay I Restricted States: CT,DE,MA,MD,ME,NH,NJ,NY,PA,VA,VT
795451BAO
245 xxxxxx9707
-I-
SALLIE MAE BK MURRAY UTAH 1.000% 93.669 Maturity 12/16/2024
5.352% (w)
5.352%
5.352% 12/15/2021
$245,000
$229,489
($15,511)
CD
1.21% Held
FDIC Cert A, 58177 12/162024 1.48 Cuff Yield -
1.068%
100.000/1.000%
100.000
$1,155
(6.3%)
Death Put I I SALLMA I Semi -Annual Pay I Restricted States: OH,TX
287299MR9
150 xxxxxx9707
-/AA+
ELK GROVE VILLAGE ILL 1.000% 93.987 Maturity 01/01/2025
5.025% (w)
5.025%
5.025% 11/01/2021
$150,000
$140,980
($9,020)
Muni
0.74% Held
(-/-)
011012025 1.52 Cuff Yield -
1.064%
100.000 / 1.000%
100.000
$642
(6.091)
FEDERALLY TAXABLE I STATE TAXABLE I S&P Outlook Stable I General Obligation I Government I
Semi -Annual Pay
686087U88
355 xxxxxx9707
Aa2/-
OREGON ST HSG&CMNTY SVCS 4.659% 98.770 Maturity 01/01/2025
5.484% (w)
5.484%
5.484% 10/27/2022
$354,677
$350,634
($4,043)
Muni
1.76% Held
(Aa2i--)
DEPT MTG REV 011012025 1.46 Cuff Yield -
4.717%
99.909 / 4.700%
99.909
$7,075
(1.19')
Material Events I FEDERALLY TAXABLE I Short First Coupon I Extraordinary Calls I Revenue I Housing I Semi -Annual Pay
Includes all tax lot holdings with recognized CUSIP. For
preferred securities, # of shares is displayed instead of current face value, which is represented in thousands
(000).
The (w) in the
Yield column indicates which yield value is the Yield to Worst (YTW).
Duration figure represents modified duration to worst.
ATY/TEY calculations use a Fed Tax rate of 0.00%, a Cap Gains Tax rate of 0.009/, a State of N/A, and a State Tax rate of N/A.
Page 8 of 25
PPENHEIMEI,
Position Details (continued...)
CITY OF HUTCHINSON
report as of 061012023
XXXXXX9707
Position Details
CUSIP Curr Face Account # Mdy / S&P
Coupon Mkt Px
Acq Date
Tot Adj Cost Mkt Principal Unreal G/L
Asset % Port Held (Underlying) Issue Description
Maturity Duration Px To Date Yield
ATY TEY Acq Px / Yid
Adj Cost Px Accr Int %Adj Cost
696583GV9 460 xxxxxx9707 Aaa/AAA PALM BEACH FLA REV
2.500% 96.303 Maturity 01/01/2025 4.972%(w)
4.972% 4.972% 01/08/2020
$463,179 $442,994 ($20,185)
Muni 2.28% Held (Aaai)
0110112025 1.50 Cuff Yield - 2.596%
102.12012.050%
100.691 $4,919 (4.4%)
Material Events I FEDERALLY TAXABLE I S&P Outlook Stable I Revenue I Government I Semi -Annual Pay
59013KFJO
245 xxxxxx9707
4-
MERRICK BK SOUTH JORDAN 1.800%
94.419 Maturity 01/31/2025
5.319% (w)
5.319%
5.319%
01/31/2020
CD
1.21% Held
UTAH 0113112025
1.62 Cuff Yield -
1.906 %
100.000 / 1.800 %
FDIC Cent A, 34519
Death Put I I MERICK I Monthly Pay I Restricted States: OH,TX
16166NCL7
300 xxxxxx9707
-/AA-
CHASKA MINN ECONOMIC DEV 3.430%
97.107 Maturity 02/01/2025
5.275% (w)
5.275%
5.275%
02/03/2020
Muni
1.49% Held
(-y
AUTHLEASE REV 02/01/2025
1.56 Cuff Yield -
3.532%
107.752 / 1.800%
Material Events I FEDERALLY TAXABLE I STATE TAXABLE I S&P Outlook Stable I Revenue I Industrial
I Semi -Annual Pay
927781UZ5
570 xxxxxx9707
Aal/AA+
VIRGINIA COLLEGE BLDG AUTH 4.250%
98.552 Maturity 02/01/2025
5.170% (w)
5.170%
5.170%
09/26/2022
Muni
2.63% Held
(Aa1/--)
VAEDL FACS REV - 21 ST CENTURY 021012025
1.55 Cuff Yield -
4.312 %
100.000 / 4.248%
COLL EQUIP FROG
Material Events I FEDERALLY TAXABLE I S&P Outlook Stable I DID I Make Whole Call I Extraordinary Calls I Revenue I Education
I Semi -Annual Pay
05465DAE8
245 xxxxxx9707
-/-
AXOS BK SAN DIEGO CALIF 1.650%
93.698 Maturity 03/26/2025
5.313% (w)
5.313%
5.313%
03/26/2020
CD
1.21% Held
FDIC Cert A, 35546 03/26/2025
1.77 Cuff Yield -
1.761 %
100.000 / 1.650 %
Death Put I I BOR I Monthly Pay
59334PJA6 375 xxxxxx9707 -/AA MIAMI-DADE CNTY FLA TRAN SYS 0.900% 92.232 Maturity 07/01/2025 4.887% (w) 4.887 % 4.887% 11/23/2021
Muni 1.86% Held y) SALES SURTAX REV 07/012025 2.00 Cuff Yield - 0.976% 99.470 / 1.050%
Material Events I FEDERALLY TAXABLE I S&P Outlook Stable I Revenue I Government I Semi -Annual Pay
052405FP7 245 xxxxxx9707 Aa3/AA AUSTIN TEX CMNTY COLLEGE 0.992 % 91.899 Maturity 08/01/2025 5.003% (w) 5.003 % 5.003 % 04/29/2022
Muni 1.21% Held (Aa3y DISTPUB FAC CORP LEASE REV 081012025 2.08 Cuff Yield - 1.079% 93.666 / 3.050%
Material Events I FEDERALLY TAXABLE I S&P Outlook Stable I Extraordinary Calls I Revenue I Education I Semi -Annual Pay
34520LAD5 245 xxxxxx9707 -/- FORBRIGHT BK POTOMAC MD 3.500% 96.272 Maturity 09/16/2025 5.234% (w) 5.234% 5.234% 09/16/2022
CD 1.21% Held FDIC Carl A, 57614 091162025 2.18 Cuff Yield - 3.636 % 100.000 / 3.500 %
Death Put I I FORBBK I Monthly Pay
319477AN5 244 xxxxxx9707 -/- FIRST CTZNS BK & TR CO 4.700 % 98.840 Maturity 10/28/2025 5.216 % (w) 5.216 % 5.216 % 10128/2022
CD 1.21% Held RALEIGH 102812025 2.23 Cuff Yield - 4.755% 100.00014.700%
FDIC Cent A, 11063
Death Put I I FCNCA I Semi -Annual Pay
Includes all tax lot holdings with recognized CUSIP. For preferred securities, # of shares is displayed instead of current face value, which is represented in thousands (000).
The (w) in the Yield column indicates which yield value is the Yield to Worst (YTW).
Duration figure represents modified duration to worst.
ATY/TEY calculations use a Fed Tax rate of 0.00%, a Cap Gains Tax rate of 0.009/, a State of N/A, and a State Tax rate of N/A.
Page 9 of 25
$245,000 $231,327 ($13,673)
100.000 $60 (5.6%)
$307,935 $291,321 ($16,614)
102.645 $3,544 (5.4%)
$570,000 $561,746 ($8,254)
100.000 $8,344 (1.451)
$245,000 $229,560 ($15,"0)
100.000 $111 (6.3%)
$373,012 $345,870 ($27,142)
99.470 $1,444 (7.3%)
$229,482 $225,153 ($4,329)
93.666 $837 (1.9%)
$245,000 $235,866 ($9,134)
100.000 $470 (3.791)
$244,000 $241,170 ($2,830)
100.000 $1,194 (1.291)
PPENHEIMEI, Position Details (continued...) CITY OF HUTCHINSON
report as of 0610112023 XXXXXX9707
CUSIP Curr
Face Account #
Mdy / S&P
Coupon
Mkt Px
Acq Date
Tot Adj Cost Mkt Principal
Unreal GIL
Asset
% Port Held
(Underlying)
Issue Description Maturity Duration
Px To
Date Yield
ATY
TEY Acq PxI Yid
Adj Cost Px
Accr Int
%Adj Cost
29278TMJ6
245 xxxxxx9707
-/-
REGIONS BK BIRMINGHAM ALA 2.000%
92.717 Maturity
10/31/2025 5.225% (w)
5.225%
5.226 10/31/2019
$245,000
$227,157
($17,843)
Co
1.21% Held
FDIC Cert A, 57293 1013112025
2.33 Cuff Yield
- 2A 57 %
100.000 / 2.000 %
100.000
$67
(7.391)
Death Put I I RF I Monthly Pay I Restricted States: OH,TX
34387AFF1
245 xxxxxx9707
-/-
FLUSHING BANK 4.700%
98.832 Maturity
11/04/2025 5.215%(w)
5.215%
5.215% 11/04/2022
$245,000
$242,138
($2,862)
CD
1.21% Held
FDIC Cent A, 58564 1110412025
2.27 Cuff Yield
- 4.756 %
100.000 / 4.700%
100.000
$663
(1.291)
Short First Coupon I Death Put I I FFIC I Monthly Pay
02007GC68
244 xxxxxx9707
-/-
ALLY BK SANDY UTAH 4.800%
99.062 Maturity
11/10/2025 5.212% (w)
5.212%
5.212% 11/10/2022
$244,000
$241,711
($2,289)
CD
1.21% Held
FDIC Cart A, 57803 11110/2025
2.26 Cuff Yield
- 4.845 %
100.000 / 4.800 %
100.000
$834
(0.9%)
Death Put I I GMATBK I Semi -Annual Pay
47770VBF6
310 xxxxxx9707
Aa3/AA+
JOBSOHIO BEVERAGE SYS OHIO 2.034%
93.385 Maturity
01/01/2026 4.798% (w)
4.798%
4.798% 04/29/2022
$298,815
$289,494
($9,322)
Muni
1.54% Held
(Aa3y
STATEWIDE LIQUOR PROFITS REV 01/01/2026
2.44 Cuff Yield
- 2.178%
96.392 / 3.080%
96.392
$2,697
(3.1%)
FEDERALLY TAXABLE I S&P Outlook Stable I Make Whole Call I Pro -Rats I Revenue I Industrial I Semi -Annual Pay
678553BUl
300 xxxxxx9707
Aa2/AA+
OKLAHOMA CITY OKLA ECONOMIC 1.118%
90.912 Maturity
03/01/2026 4.692% (w)
4.692%
4.692% 02/10/2022
$292,833
$272,736
($20,097)
Muni
1.49% Held
(Aa2l)
DEV TR TAX APPORTIONMENT - 03/01/2026
2.63 Cuff Yield
- 1.230%
97.611 / 1.730%
97.611
$876
(6.9%)
INCREMENT DIST NO 8 PROJ
Material Events I FEDERALLY TAXABLE I S&P Outlook Stable I Make Whole Call I Revenue I Government I Semi -Annual
Pay
6500354W5
190 xxxxxx9707
Aa1/NR
NEW YORK ST URBAN DEV CORP 3.170%
96.445 Maturity
03/15/2026 4.545% (w)
4.545%
4.545% 08/30/2022
$187,925
$183,246
($4,680)
Muni
0.94% Held
(Aa1/--)
REV 03/15/2026
2.60 Cuff Yield
- 3.287%
98.908 / 3.500%
98.908
$1,338
(2.59/)
Material Events I FEDERALLY TAXABLE I Escrow to Mal I Make Whole Call I Revenue I Government I Semi -Annual Pay
032879UV8
500 xxxxxx9707
-/AA
ANCHOR BAY MICH SCH DIST 1.250%
90.645 Maturity
05/01/2026 4.734% (w)
4.734%
4.734% 07/16/2020
$501,850
$453,225
($48,625)
Muni
2.48% Held
(-i)
05/01/2026
2.79 Cuff Yield
- 1.379%
100.726/1.120%
100.370
$590
(9.791)
Material Events I FEDERALLY TAXABLE I S&P Outlook Stable I General Obligation I Education I Semi -Annual Pay
71884AH28
135 xxxxxx9707
Aa2/AAA
PHOENIX ARIZ CIVIC IMPT CORP 1.157%
90.365 Maturity
07/01/2026 4.553% (w)
4.553%
4.553% 12/14/2021
$134,150
$121,993
($12,157)
Muni
0.6791 Held
(Aa2r--)
EXCISE TAX REV 07/01/2026
2.94 Cuff Yield
- 1.280%
99.370 / 1.300%
99.370
$668
(9.1%)
Material Events I FEDERALLY TAXABLE I S&P Outlook Stable I Make Whole Call I Revenue I Government I Semi -Annual
Pay
89235MLD1
245 xxxxxx9707
-/-
TOYOTA FINL SVGS BK HEND NV 0.950%
87.967 Maturity
07/22/2026 5.158% (w)
5.158%
5.158% 07/22/2021
$245,000
$215,519
($29,481)
CD
1.21% Held
FDIC Cert A, 57542 07/22/2026
3.00 Cuff Yield
- 1.080%
100.000 / 0.950 %
100.000
$854
(12.09')
Death Put I I TOYFBN I Semi -Annual Pay I Restricted States:
OH,TX
Includes all tax lot holdings with recognized CUSIP. For
preferred securities, # of shares is displayed instead of current face value, which is represented in thousands (000).
The (w) in the
Yield column indicates which yield value is the Yield to Worst (YTW).
Duration figure represents modified duration to worst.
ATY/TEY calculations use a Fed Tax rate of 0.00%, a Cap Gains Tax rate of 0.009/, a State of N/A, and a State Tax rate of N/A.
Page 10 of 25
PENHEIMER,
Position Details (continued...)
CITY OF HUTCHINSON
report as of 0610112023
XXXXXX9707
Position Details
CUSIP Curr Face Account #
Mdy / S&P
Coupon Mkt Px
Acq Date
Tot Adj Cost Mkt Principal Unreal GIL
Asset % Port Held
(Underlying) Issue Description
Maturity Duration Px To Date Yield
ATY TEY Acq Px I Yid
Adj Cost Px Accr Int %Adj Cost
798306WQ5 140 xxxxxx9707
Aa2/- SAN JUAN CALIF UNI SCH DIST
1.201 % 90.233 Maturity 08/01/2026 4.559% (w)
4.559% 4.559% 11/12/2021
$140,000 $126,326 ($13,674)
Muni 0.69% Held
(Aa21--)
08/01/2026 3.02 Cuff Yield - 1.331 %
100.000 / 1.201 %
100.000 $579 (9.891)
FEDERALLY TAXABLE I Make Whole Call I General Obligation I Education I Semi -Annual Pay
3130APC45
500 xxxxxx9707
Aaa/AA+
FEDERAL HOME LOAN BANKS
1.180% 89.539 Next Call
06/26/2023 176.333% 176.333% 176.333%
10/26/2021
Agy
2.48% Held
10/2&2026 3.26 Maturity
10/26/2026 4.534% (w) 4.534%
4.534 %
100.000 / 1.180%
Cuff Yield
- 1.318%
Moody's Outlook Stable I S&P Outlook Stable I FHLB I Semi -Annual Pay
25483VPY4
400 xxxxxx9707
Aa2/AA
DISTRICT COLUMBIA REV -
4.232% 98.950 Next Call
06/01/2025 4.791% 4.791%
4.791%
02/16/2023
Muni
1.98% Held
(Aa2i--)
SOUTHWEST WATERFRONT
06/01/2027 3.63 Maturity
06/01/2027 4.523% (w) 4.523%
4.523%
99.421 / 4.380%
PROJECT
Cuff Yield
- 4.277%
Material Events I FEDERALLY TAXABLE I S&P Outlook Stable I Callable I Extraordinary Calls I Revenue I Government I Semi -Annual Pay
25483VPY4
350 xxxxxx9707
Aa2/AA
DISTRICT COLUMBIA REV -
4.232% 98.950 Next Call
06/01/2025 4.791% 4.791%
4.791%
01/20/2023
Muni
1.73% Held
(Aa2i)
SOUTHWEST WATERFRONT
06/01/2027 3.63 Maturity
06/01/2027 4.523% (w) 4.523%
4.523%
99.924 / 4.250%
PROJECT
Cuff Yield
- 4.277%
Material Events I FEDERALLY TAXABLE I S&P Outlook Stable I Callable I Extraordinary Calls I Revenue I Government I Semi -Annual Pay
71884AH36
175 xxxxxx9707
Aa2/AAA
PHOENIX ARIZ CIVIC IMPT CORP
1.257% 88.155 Maturity
07/01/2027 4.471% (w) 4.471 %
4.471 %
04/01/2022
Muni
0.8796 Held
(Aa2i--)
EXCISE TAX REV
07/01/2027 3.86 Cuff Yield
- 1.426%
92.050 / 2.900%
Material Events I FEDERALLY TAXABLE I S&P Outlook Stable I Make Whole Call I Revenue I Government I Semi -Annual Pay
45506DUZ6
1,000 xxxxxx9707
Aa2/AA+
INDIANA ST FIN AUTH REV-
4.109% 98.861 Maturity
07/15/2027 4.414% (w) 4.414%
4.414%
01/31/2023
Muni
4.96% Held
(Aa2/-)
MOTORSPORTS IMPT PROJ
0711512027 3.68 Cuff Yield
- 4.156%
100.00014.109%
Material Events I FEDERALLY TAXABLE I S&P Outlook Stable I Make Whole Call I Extraordinary Calls I Revenue I Recreation I Semi -Annual
Pay
87165GV25
245 xxxxxx9707
-/-
SYNCHRONYBANK
3.500% 93.910 Maturity
09/09/2027 5.103%(w) 5.103%
5.103%
09/09/2022
CD
1.21% Held
FDIC Cent A, 27314
09/09/2027 3.86 Cuff Yield
- 3.727 %
100.000 / 3.500 %
Death Put 11 SYF I Semi -Annual Pay
649902T45
300 xxxxxx9707
Aal/AA+
NEW YORK ST DORM AUTH ST
5.051% 101.494 Maturity
09/15/2027 4.660% (w) 4.660%
4.660%
12/13/2022
Muni
1.49% Held
(Aav-)
PERSINCOME TAX REV
0911512027 3.78 Cuff Yield
- 4.977%
102.75914.400%
Material Events I FEDERALLY TAXABLE I S&P Outlook Stable I Extraordinary Calls I
Revenue I Education I Semi -Annual Pay
2546732131
242 xxxxxx9707
-/-
DISCOVER BK
4.900% 99.203 Maturity
11/30/2027 5.100% (w) 5.100%
5.100%
11/30/2022
Co
1.20% Held
FDIC Cert A, 5649
11/30/2027 3.98 Cuff Yield
- 4.939 %
100.000 / 4.900 %
Death Put I I DFS I Semi -Annual Pay
Includes all tax lot holdings with recognized CUSIP. For preferred securities, # of shares is displayed instead of current face value, which is represented in thousands (000).
The (w) in the
Yield column indicates which yield value
is the Yield to Worst (YTW).
Duration figure represents modified duration to worst.
ATY/TEY calculations use a Fed Tax rate of 0.00%, a Cap Gains Tax rate of 0.009/, a State of N/A, and a State Tax rate of N/A.
Page 11 of 25
$500,000 $447,695 ($52,305)
100.000 $590 (10.5%)
$397,684 $395,800 ($1,884)
99.421 $188 (0.5%)
$349,734 $346,325 ($3,409)
99.924 $165 (1.0%)
$161,088 $154,271 ($6,816)
92.050 $941 (4.2%)
$1,000,000 $988,610 ($11.390)
100.000 $15,979 (1,1%)
$245,000 $230,080 ($14,921)
100.000 $2,067 (8.1%)
$307,518 $304,482 ($3,036)
102.506 $3,367 (1.09')
$242,000 $240,071 ($1,929)
100.000 $195 (0.8%)
PENHEIMER,
Position Details (continued...)
CITY OF HUTCHINSON
report as of 0610112023
XXXXXX9707
Position
Details
CUSIP Curr
Face Account #
Mdy / S&P
Coupon Mkt Px
Acq Date
Tot Adj Cost Mkt Principal Unreal GIL
Asset
% Port Held
(Underlying)
Issue Description
Maturity Duration Px To Date Yield
ATY TEY
Acq Px I Yid
Adj Cost Px
Accr Int %Adj Cost
721664JL5
1,000 xxxxxx9707
-/AA-
PIMA GNTY ARIZ CTFS PARTN
5.382% 101.693 Maturity 12/01/2027 4.957%(w)
4.957% 4.957%
11/17/2022
$1,013,170
$1,016,930 $3,760
Moo!
4.96% Held
(-y
1210112027 3.95 Cuff Yield - 5.292 %
101.458 / 5.050%
101.317
$598 0.4%
FEDERALLY TAXABLE I STATE TAXABLE
I S&P Outlook Stable I Long First Coupon I Extraordinary Calls I Certificate of
Participation I Government
I Semi -Annual Pay
61690U3C2
244 xxxxxx9707
4-
MORGAN STANLEY BK N A
4.800 % 98.729 Maturity 03/16/2028 5.099% (w)
5.099 % 5.099 %
03/16/2023
$244,000
$240,899 ($3,101)
CD
1.21 % Held
FDIC Cent A, 32992
03116/2028 4.18 Cuff Yield - 4.862 %
100.000 / 4.800 %
100.000
$2,599 (1.39')
Death Put I I MS I Semi -Annual Pay
00833JAQ4
195 xxxxxx9707
-/-
AFFINITY BK COVINGTON GA
4.900% 99.150 Maturity 03/17/2028 5.100%(w)
5.100% 5.100%
03/17/2023
$195,000
$193,342 ($1,657)
CD
0.97% Held
FDIC Cart A, 29510
03/17/2028 4.24 Cuff Yield - 4.942 %
100.000 / 4.900 %
100.000
$497 (0.85/)
Death Put I I AFFBGA I Monthly Pay
977100HV1 500 xxxxxx9707 Aa2/- WISCONSIN ST GEN FD ANNUAL 4.330% 99.907 Maturity 05/01/2028 4.350%(w) 4.350% 4.350% 02/23/2023 $497,905 $499,535 $1,630
Muni 2.48% Held (A821) APPROPRIATION REV 05/01/2028 4.32 Curr Yield - 4.334% 99.581 /4.420% 99.581 $6,555 0.3%
FEDERALLY TAXABLE I STATE TAXABLE I Make Whole Call I Long First Coupon I Revenue I Government I Semi -Annual Pay
Includes all tax lot holdings with recognized CUSIP. For preferred securities, # of shares is displayed instead of current face value, which is represented in thousands (000).
The (w) in the Yield column indicates which yield value is the Yield to Worst (YTW).
Duration figure represents modified duration to worst.
ATY/TEY calculations use a Fed Tax rate of 0. 00%, a Cap Gains Tax rate of 0.009/, a State of N/A, and a State Tax rate of N/A.
Page 12 of 25
r PPENHEIMEI� Coupon Cash Flow - Year 1 CITY OF HUTCHINSON
report as of 0610112023 XXXXXX9707
Jun'23
Jul'23
Aug'23
Sep'23
Oct'23
Nov'23
Dec'23
Jan'24
Feb'24
Mar'24
Apr24
May'24
Jun'24 Total
%Tot
Agency
$5,000
$2,950
$5,625
$6,250
$2,950
$7,500
$30,275
5.4%
Agency Pass-Thru
-
-
-
-
-
-
-
-
Asset -Backed
-
-
-
-
-
-
-
-
CD
$18,414
$15,686
$12,211
$16,299
$11,021
$21,661
$12,695
$14,847
$8,987
$14,147
$9,979
$15,312
$171,260
30.8%
CMO
-
-
-
-
-
-
-
-
-
-
-
-
-
-
Corporate
-
-
-
-
-
-
-
-
-
-
-
-
Muni: Fed Tax
$44,873
$43,875
$42,813
$13,860
-
$29,076
$42,780
$43,875
$42,813
$13,860
-
$20,450
- $338,277
60.9%
Muni: Tax -Exempt
$688
-
-
$7,275
-
$688
-
-
$7,275
-
$15,925
2.9%
Muni: Subj AMT
-
-
-
-
-
-
Pfd: Fed Tax
Pfd: Tax -Exempt
Pfd: Cap Gains
Treasury
Total
$63,974
$59,561
$60,025
$37,434
$13,971
$56,363
$56,163
$58,722
$58,050
$35,282
$12,929
$43,262
$555,736100.0%
Fed Tax -Exempt
$688
-
-
$7,275
-
-
$688
-
-
$7,275
-
-
$15,925
2.9%
Fed Taxable
$63,287
$59,561
$60,025
$30,159
$13,971
$56,363
$55,475
$58,722
$58,050
$28,007
$12,929
$43,262
$539,811
97.1
Subj to Cap Gains
Subj to AMT
Fed Tax -Exempt 0 Fed Taxable 0 Subj to Cap Gains 0 Subj to AMT
$60,000
$50,000
$40,000
$30,000
$20,000
$10,000
$0
Jun'23 Jul'23 Aug'23 Sep'23 Oct'23 Nov'23 Dec'23 Jan'24 Feb'24 Mar'24 Apr24 May'24 Jun'24
Includes all tax holdings with recognized CUSIP, quantity, market price and full analytical calculations on reporting date. Includes coupon cash flows for the next 12 months, from 06/01/2023 to 05/31/2024. Totals are the sum of rounded displayed
values. The cash flows displayed are only estimates. Your actual interest and principal payments may be higher or lower than these estimates. Projected Principal Paydowns for CMOs are produced by applying current pool speeds which are updated
weekly. Assuming similar market conditions going forward, Projected Principal Paydowns for Pass-Thru securities are produced by calculating and applying concurrent historical speeds to future paydown schedules.
Page 13 of 25
PPENHEIMEk Maturity & Duration - All CITY OF HUTCHINSON
report as of 0610112023 XXXXXX9707
0
c ao
20 %
0
e
I 1
0%
O,�n�O,LdO,LhO,t60,L'�O,y00,L�i 0.5oO,h'lO,hry0.630.5D,O.h(o
O.h60O,hOO,h00a00�'lOaryOp"�OQPOay OQbOa'�OQAOb00y00y'YOy'L ,� `J,p�
ry ry ry ry ry ry ry ry ry ry ry ry ry ry ry ry ry ry ry ry ry ry ry ry ry ry ry ry ry 'L ry0 tQe
Qe
40 %
e'e
v
20 % a N
0
ro
r
v
0% '
O�' Ory O'� Ob Oh 06 01 00 09 .y0 .y'Y try 'Y'h ,yb ,yh 'fro 11 ,Y0 19 .10 ry'1' ryry rya ryQ .y<o ry0 .1't ry0 .tA .50 Ox
00 Oti 01' 09' Oa Oh Ord O'�' O$ 00' .�0' .�'ti tiry tip' ,yP tih' yH .�'t' y9 .y0' ,y0' .1'ti ,1'1%,l"i ryp ryh' ,t/d ry1' ry0 ry0' 'h
Displays represent % ofmarket principal for all tax lot holdings with a recognized CUSIP, quantity, current market price and full analytical
calculations. Average life used for principal paydowns, and perpetual securities are assigned a 40 year maturity. Duration figure
represents modified duration to worst.
Year
Curr Face
%
Mkt Principal
%
Range
Curr Face
%
Mkt Principal
%
2023
$2,265,000
11.23%
$2,246,351
11.49%
00-01
$4,810,000
23.84%
$4,743,535
24.27%
2024
$6,769,000
33.55%
$6,572,698
33.62%
01-02
$6,549,000
32.46%
$6,324,076
32.35%
2025
$4,168,000
20.66%
$4,007,627
20.50%
02-03
$3,148,000
15.61 %
$2,949,407
15.09%
2026
$2,320,000
11.50%
$2,110,233
10.80%
03-04
$4,352,000
21.57%
$4,250,590
21.75%
2027
$3,712,000
18.40%
$3,676,569
18.81%
04-05
$939,000
4.65%
$933,776
4.78%
2028
$939,000
4.65%
$933,776
4.78%
05-06
2029
06-07
2030
07-08
2031
08-09
2032
09-10
2033
10-11
2034
11-12
2035
12-13
2036
13-14
2037
14-15
2038
15-16
2039
16-17
2040
17-18
2041
18-19
2042
19-20
2043
20-21
2044
21-22
2045
22-23
2046
23-24
2047
24-25
2048
25-26
2049
26-27
2050
27-28
2051
28-29
2052
29-30
2053+
30+
Perpetual
Page 14 of 25
111 Hassan Street SE
HRA
Hutchinson, MN 55350
Website: www.hutchinsonhra.com
HUTCHINSON HOUSING AND
REDEVELOPMENT AUTHORITY
(320) 234-4251 (320) 234-4240 Fax
Hutchinson HRA Regular Board Meeting
May 16, 2023
Minutes
CALL TO ORDER Chair Renee Lynn Johnson Kotlarz called the meeting to order.
Members Present: Renee Lynn Johnson Kotlarz, Gary Forcier, Robin Kashuba, Steve Jensen and
Kimberly Merwin. Staff Present: Judy Flemming, and JJ Morgan.
a. Steve Jensen moved to approve the agenda as presented. Robin Kashuba seconded. The motion
carried unanimously.
2. PUBLIC COMMENTS No citizens addressed the HHRA Board of Commissioners.
3. MINUTES OF THE REGULAR BOARD MEETING ON APRIL 18, 2023
a. Steve Jensen moved to approve the minutes of the April18, 2023 regular board meeting.
Kimberly Merwin seconded. The motion carried unanimously.
4. FINANCIAL REPORTS
a. Steven Jensen moved to approve City Center General Fund payments of $10,494.84 for checks
9332 to 9336. Kimberly Merwin seconded. The motion carried unanimously.
b. Steve Jensen moved to approve City Center April 30, 2023 Financial Statements.
Kimberly Merwin seconded. The motion carried unanimously.
c. Steve Jensen moved to approve Park Towers Operating Account payments of $27,910.73 for
checks 16023 to 16055 and for an EFT payment on 5/10/2023 for the $433.19 Visa Bill.
Kimberly Merwin seconded. Gary Forcier abstained. The motion carried unanimously.
d. Steven Jensen moved to approve Resolution 2023-2 Void Park Towers Operating Account
Checks 15984 and 16042 to 16048. Kimberly Merwin seconded. The motion carried
unanimously.
e. Steve Jensen moved to approve Park Towers Financials for March 31, 2023 and April 30, 2023.
Kimberly Merwin seconded. The motion carried unanimously.
5. PARK TOWERS
a. Park Towers May Newsletter was presented.
b. Judy Flemming highlighted the Park Towers Vacancy Report.
c. Operation Update: Judy Flemming reported the submission to HAI for the replacement of the
Federal Pacific Stab _Lok circuit breakers and that the installation of the new security cameras
will take place on May 10.
6. FINAL 2022 HUTCHINSON HRA AUDIT
a. Kimberly Merwin motioned to approved the Final 2022 Hutchinson HRA Audit. Steve Jensen
seconded. The motion carried unanimously.
7. EDA HOUSE PROJECT
Judy Flemming provided updated information and budget projection for the EDA House Project.
The board asked that the project continue to move forward.
�e�
HRA
HUTCHINSON HOUSING AND
REDEVELOPMENT AUTHORITY
III Hassan Street SE
Hutchinson, MN 55350
Website: www.hutchinsonhra.com
(320) 234-4251 (320) 234-4240 Fax
8. DISCUSSION OF RECOMMENDED CORE VALUES FOCUSING ON HOUSING
a. Kimberly Merwin motioned to approve the Core Values Focus description as presented and with
the recommendations brought forward from discussion. Steve Jensen seconded. The motion
carried unanimously.
9. COMMUNICATIONS
a. A copy of the presentation HHRA Year End Report Presentation to the City Council was
provided to the board.
b. A copy of the proposed National Citizens Survey was provided to the board.
10. ADJOURNMENT
a. Gary Forcier moved to adjourn and Kimberly Merwin seconded. The motion carried
unanimously. There being no other business, Chair Renee Lynn Johnson Kotlarz declared the
meeting adjourned.
Recorded by Judy Flemming, HRA Executive Director
T6, Lo W��
Gary Fo4cier, Secretary/Treasurer
n
c HUTCHINSON CITY COUNCIL
HUTCHINSON Request for Board Action
A CITY ON PURPOSE.
Closed Session According to Minnesota Statute 3D.05, subdivision 3(c)
Agenda Item:
Department: Administration
LICENSE SECTION
Meeting Date: 6/27/2023
Application Complete N/A
Contact: Matt Jaunich
Agenda Item Type:
Presenter: Matt Jaunich
Reviewed by Staff ❑�
New Business
Time Requested (Minutes): 10
License Contingency N/A
Attachments: Yes
BACKGROUND/EXPLANATION OFAGENDA ITEM:
City staff will be asking the City Council to consider going into a closed session according to
Minnesota Statue 13D.05, Subd. 3(c), to consider the asking price for the properties at 44
Washington Avenue West (EOC Building), 10 Frankling Street SW (Police Station), 28 Franklin
Street SW (Police Parking Lot), and 127 1st Avenue SW (Police Garage).
With the new police facility ready for use, the City Council should have a conversation on what
you would like to do with the existing facilities. Is there still a desire to sell them? Please see the
attached memo that goes into a little more detail on the lots/sites and some of staff's
recommendations.
Staff will be seeking direction from the Council on whether or not you want to sell the lots/sites,
what we should be asking for a price, and the method we want to use to sell them.
BOARD ACTION REQUESTED:
No action at this time. Going into a closed session to consider the asking price for the properties at 44 Washington
Avenue West, 10 Franklin Street SW, 28 Franklin Street SW, and 127 1st Avenue SW
Fiscal Impact: Funding Source:
FTE Impact: Budget Change: No 0
Included in current budget: No
PROJECT SECTION:
Total Project Cost:
Total City Cost: Funding Source: N/A
Remaining Cost: $ 0.00 Funding Source: N/A
