cp08-08-2006 cAGENDA
REGULAR MEETING — HUTCHINSON CITY COUNCIL
TUESDAY, AUGUST 8, 2006
1. CALL TO ORDER — 5:30 P.M.
2. INVOCATION — Rev. James Rainwater, Seventh Day Adventist Church
3. PLEDGE OF ALLEGIANCE
4. PUBLIC COMMENTS
5. MINUTES
(a) REGULAR MEETING OF JULY 25, 2006
Action - Motion to approve as presented
6. CONSENT AGENDA
(a) REPORTS OF OFFICERS, BOARDS AND COMMISSIONS
1. PUBLIC ARTS COMMISSION MEETING MINUTES FROM MAY 16, 2006, AND JUNE 20, 2006
2. FIRE DEPARTMENT MONTHLY REPORT FOR JULY 2006
3. BUILDING DEPARTMENT MONTHLY REPORT FOR JULY 2006
• 4. HUTCHINSON UTILITIES COMMISSION FINANCIAL REPORT FOR JUNE 2006
(b) RESOLUTIONS AND ORDINANCES
1. RESOLUTION NO. 13006 - RESOLUTION DESIGNATING THE LOCATION OF POLLING
PLACE FOR ALL CITY PRECINCTS AND APPOINTING JUDGES FOR THE 2006 CITY OF
HUTCHINSON AND STATE PRIMARY AND GENERAL ELECTIONS
2. RESOLUTION NO. 13009 — RESOLUTION FOR PURCHASE (SEAL COAT PROJECT, FIBER
CONNECTION, UNLEADED GASOLINE)
3. RESOLUTION NO. 13010 — RESOLUTION RELEASING PLEDGED SECURITIES FROM HOME
STATE BANK
4. ORDINANCE NO. 06 -0440 — AN ORDINANCE ESTABLISHING A PROCEDURE FOR
ENFORCING ADMINISTRATIVE PENALTIES FOR CERTAIN PETTY MISDEMEANORS AND
MUNICIPAL CODE VIOLATIONS (SECOND READING AND ADOPTION)
5. ORDINANCE NO. 06 -0441 AN ORDINANCE REZONING PROPERTY LOCATED AT 255 AND
287 HWY 7 EAST FROM INDUSTRIALICOMMERCIAL TO R2 (SET SECOND READING AND
ADOPTION)
6. ORDINANCE NO. 06-0442 — AN ORDINANCE AMENDING CHAPTER 120 OF THE CURRENT
PAWNBROKERS ORDINANCE (SECOND READING AND ADOPTION)
(c) CONSIDERATION FOR APPROVAL OF 32 "d ANNUAL ARTS & CRAFTS FESTIVAL TO BE
HELD SEPTEMBER 15-16,2006, IN LIBRARY SQUARE AND SURROUNDING STREETS
CITY COUNCIL AGENDA —AUGUST 8, 2006
. (d) CONSIDERATION FOR APPROVAL OF RESOLUTION REQUESTING MUNICIPAL STATE AID
VARIANCE FOR HIGHWAY 7 UNDERPASS TRAIL
Action — Motion to approve consent agenda
7. PUBLIC HEARINGS — 6:00 P.M.
(a) CONSIDERATION FOR APPROVAL OF PROCEEDING WITH 2006 STREET/TRAIUSIDEWALK
IMPROVEMENT PROJECTS (LETTING NO. 5, PROJECT NO. 06 -05) — ADOPTING ASSESSMENT
AND ACCEPTING BID
Action — Motion to reject — Motion to approve
8. COMMUNICATIONS, REOUESTS AND PETITIONS
(a) ISSUES RELATED IQ NORTHWEST CORNER OF MILLER WOODS PARK PRESENTED BY KATE
SEVERSON, 1270 7 AVENUE NW
Action -
(b) UPDATE BY CANDICE WOODS ON LIQUOR HUTCH OPERATIONS
No action.
9. UNFINISHED BUSINESS
(a) CONSIDERATION FOR APPROVAL OF CALLING FOR SALE OF 2006 IMPROVEMENT BONDS,
GENERAL OBLIGATION WATER BONDS AND GENERAL OBLIGATION WASTEWATER BONDS
Action — Motion to reject — Motion to approve
(b) CONSIDERATION FOR APPROVAL OF OUT -OF -STATE TRAVEL FOR RANDY DEVRIES TO
ATTEND THE WATER ENVIRONMENT FEDERATION ANNUAL TECHNICAL EXHIBITION AND
CONFERENCE ON OCTOBER 21 — 25, 2006, IN DALLAS, TEXAS
Action — Motion to reject — Motion to approve
10. NEW BUSINESS
(a) CONSIDERATION FOR APPROVAL OF COOPERATION BETWEEN CREEKSIDE AND PUBLIC
WORKS/PARKS FOR THE UPCOMING 2006 -2007 SNOW REMOVAL SEASON
Action — Motion to reject — Motion to approve
(b) CONSIDERATION FOR APPROVAL OF CONSULTING AGREEMENT WITH BOLTON & MENK
CONSULTING REGARDING CONSTRUCTION STAKING ON THE HIGHWAY 7 PROJECT
Action — Motion to reject — Motion to approve
(c) DISCUSSION OF HUTCHINSON AREA TRANSPORTATION SERVICES (HATS) FACILITY
DEVELOPMENT AND OPERATIONS
Action — Motion to reject — Motion to approve
(d) CONSIDERATION FOR APPROVAL OF SETTING HEARING FOR DETERMINATION OF
Aak DANGEROUS ANIMAL AS REQUESTED BY DAVID FREUND
Action — Motion to reject — Motion to approve
CITY COUNCIL AGENDA — AUGUST 8, 2006
11. MISCELLANEOUS
• (a) COMMUNICATIONS
12. CLAIMS, APPROPRIATIONS AND CONTRACT PAYMENTS
13. ADJOURN
•
MINUTES
REGULAR MEETING — HUTCHINSON CITY COUNCIL
TUESDAY, JULY 25, 2006
. CALL TO ORDER — 5:30 P.M.
2. INVOCATION — Father Keith Salisbury, St. Anastasia Catholic Church, delivered the invocation.
3. PLEDGE OF ALLEGIANCE
4. PUBLIC COMMENTS
5. MINUTES
(a) REGULAR MEETING OF JULY 11, 2006
Motion by Stotts, second by Arndt, to approve the minutes as presented. Mayor Cook noted that the alley
credits for Letting No. 7, Project No. 06 -07 & 06 -09 should be noted to say that a credit would apply if any
major work needs to be done within a 15 -year period. Motion by Stotts, second by Haugen, to amend the
motion to include adding the language regarding the 15 -year time frame. Motion carried unanimously.
6. CONSENT AGENDA
(a) REPORTS OF OFFICERS, BOARDS AND COMMISSIONS
1. HUTCHINSON HOUSING & REDEVELOPMENT AUTHORITY BOARD MINUTES FROM JUNE
20, 2006, AND JUNE 28, 2006
2. PLANNING COMMISSION MINUTES FROM JUNE 20, 2006
• 3. PUBLIC LIBRARY BOARD MINUTES FROM APRIL 24, 2006, AND MAY 22, 2006
4. CITY OF HUTCHINSON FINANCIAL REPORT FOR JUNE 2006
5. CITY OF HUTCHINSON INVESTMENT REPORT FOR JUNE 2006
(b) RESOLUTIONS AND ORDINANCES
1. RESOLUTION NO. 12995 — RESOLUTION AMENDING RESOLUTION NO. 12992 AUTHORIZING
PURCHASE OF LAND FOR ECONOMIC DEVELOPMENT
2, RESOLUTION NO. 13001 — RESOLUTION FOR PURCHASE (BIODIESEL)
(c) PLANNING COMMISSION ITEMS
1. CONSIDERATION OF REZONING PROPERTY LOCATED AT 255 AND 287 HWY 7 EAST FROM
INDUSTRIAL /COMMERCIAL TO R2 WITH STAFF RECOMMENDATION AND FAVORABLE
RECOMMENDATION (WAIVE FIRST READING AND SET SECOND READING AND ADOPTION
OF ORDINANCE NO. 06 -0441 FOR AUGUST 8, 2006)
2. CONSIDERATION OF LOT SPLITS ON OTTAWA AVENUE SE SUBMITTED BY PAUL BETKER
WITH STAFF RECOMMENDATION AND FAVORABLE RECOMMENDATION (ADOPT
RESOLUTION NUMBERS 12996, 12997, 12998 AND 12999)
3. CONSIDERATION OF A LOT SPLIT LOCATED AT 1160 BLUEJAY.DRIVE SW SUBMITTED BY
BRUCE NAUSTDAL WITH STAFF RECOMMENDATION AND FAVORABLE
RECOMMENDATION (ADOPT RESOLUTION NO. 13000)
• (d) CONSIDERATION FOR APPROVAL OF TRANSIENT MERCHANT LICENSE FOR DAVID
WAJCMAN OF CLOTHING CONCEPTS FOR CLOTHING SALE JULY 26, 2006, AT RECREATION
CENTER
(e) CONSIDERATION FOR APPROVAL OF OUT -OF -STATE TRAVEL FOR RANDY DEVRIES TO
ATTEND THE WATER ENVIRONMENT FEDERATION ANNUAL TECHNICAL EXHIBITION AND
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CITY COUNCIL MINUTES — JULY 25, 2006
CONFERENCE ON OCTOBER 21 — 25, 2006, IN DALLAS, TEXAS
• (f) CONSIDERATION FOR APPROVAL OF OUT -OF -STATE TRAVEL FOR LENNY RUTLEDGE TO
ATTEND THE INTERNATIONAL CODE COUNCIL HEARINGS ON SEPTEMBER 21— 29, 2006, IN
ORLANDO, FLORIDA
(g) CONSIDERATION FOR APPROVAL OF FAIRWAY ESTATES 3RD ADDITION SUBDIVISION
AGREEMENT
(h) CONSIDERATION FOR APPROVAL OF PURCHASE OF MED NET IV SOFTWARE SYSTEM AS
REQUESTED BY HUTCHINSON AREA HEALTH CARE
(i) CONSIDERATION FOR APPROVAL OF SURGERY REMEDIATION PROTECT AS REQUESTED BY
HUTCHINSON AREA HEALTH CARE '
Items 6(c)1, 6(c)2, 6(c)3, 6(d) and 6(e) had further discussion. Motion by Stotts, second by Haugen, to
approve consent agenda with the exception of the items noted. Motion carried unanimously.
Item 6(c) I had further discussion. Mayor Cook noted that staff requested that Resolution No. 13002 be
approved approving the findings of fact that were submitted by the Planning Commission. This will be in
addition to the ordinance. Motion by Stotts, second by Peterson to adopt Resolution No. 13002 and the first
reading of Ordinance No. 06 -0441. Motion carried unanimously.
Items 6(c)2 and 6(c)3 had further discussion. Mayor Cook noted that much discussion was held on each of
these items at the Planning Commission level. Rebecca Bowers, Planning Director, presented before the
Council. Ms. Bowers explained that these lot split requests were made after the developments had been
platted. Planning Commission discussion centered mainly around the process of approving lot splits. The
process that is followed currently allows lot splits for platted developments after building permits have been
• issued and the homes are under construction, however this does not allow the City to collect an additional
fee that is usually regulated in a subdivision agreement at the time of platting. There was also discussion
regarding the amount of trees that need to be on each lot. Council Member Haugen provided input that the
Planning Commission discussed, which ultimately recommended the lot splits, but did not require the
developers to pay the extra fees for additional trees.
Motion by Peterson, second by Arndt, to approve Items 6(c)2 and 6(c)3, advising staff to begin requiring lots
to be platted for twin homes and multifamily units with the preliminary and final plats. Motion carved
unanimously.
Item 6(d) had further discussion. Mayor Cook noted that Dolf Moon was indicated as a reference on the
application. Mr. Moon noted that he does not personally know the applicant, however he is in charge of the
Rec Center where the sale will be held.
Motion by Arndt, second by Stotts, to approve Item 6(d). Motion carried unanimously.
Item 6(e) had further discussion. John Rodeberg noted that Mr. DeVries is not in attendance tonight to
address the matter, so he requested that the item be tabled until the next meeting. Motion by Peterson,
second by Stotts, to table Item 6(e) until the next City Council meeting. Motion carried unanimously.
7. PUBLIC HEARINGS — 6:00 P.M.
(a) CONSIDERATION OF ISSUING TAX EXEMPT HOUSING AND HEALTH CARE REFUNDING
REVENUE BONDS AND AUTHORIZATION OF AMENDED AND RESTATED JOINT POWER
AGREEMENT (THE OAKS)
Joyce Akre, Housing Manager of The Oaks, presented before the Council. The Oaks is owned by a company
called Ecumen that owns several senior housing facilities throughout the state. Ms. Akre explained that this
• issue is a refinancing matter that will be sold through the City of Lake Crystal. The action required by the
Council is a joint powers agreement due to one of the properties owned by Ecumen being located within the
City of Hutchinson. The fee required by the City of Hutchinson will be 1/2% of the refinancing amount,
which will be approximately $12,750.00. This fee is being collected because no fee was imposed at the time
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CITY COUNCIL MINUTES —JULY 25, 2006
of the initial financing.
• Motion by Arndt, second by Peterson, to close public hearing. Motion carried unanimously.
Motion by Arndt, second by Haugen, to approve issuing tax exempt housing and health care refunding
revenue bonds and approving joint powers agreement with imposing a City fee of $12,750.00. Motion
carried unanimously.
Motion by Haugen, second by Stotts, to approve Resolution No. , resolution. Motion carried unanimously.
(b) REVIEW OF SCHOOL ROAD/HIGHWAY 7 UNDERPASS
John Rodeberg, Public Works Director, delivered the same power point presentation that was delivered at
the July 11, 2006, City Council meeting, which provided background on the project as to how it got to where
it is today. Over the years, many studies, focus groups, and task forces were established and several
locations were studied that related to safety issues. Both overpasses and underpasses were studied and
analyzed. Based on all of the financial and feasibility studies, an overpass located near the intersection of
Hwy 7 and School Road was recommended. Timing for the project now is appropriate as Hwy 7 is being
reconstructed and the City can save substantial money by incorporating it with this improvement project.
Mr. Rodeberg then reviewed the tentative construction schedule as well as the base design, including the
various design amendments that have been made along the way. $1.2 million is projected for the project.
Mr. Rodeber� noted that for an additional $225,000 an entire trail system can be developed in this area, with
trails extending to Shady Ridge Road to the west and Rolling Oaks Lane to the north. Mayor Cook
commented that should the City decide to proceed with this project, he feels that it should all be done at one
time. He would like to discuss this topic again at a Council workshop on August 8, 2006, to compare other
capital improvement projects that are scheduled and determine priority and funding of the various projects.
Council Member Stotts noted that the City currently does not have f indmg for this project, however in order
to pay for it, money may need to be taken from another source or taxes may need to be raised. He did note
IS that further in the agenda, a discussion item will be held regarding imposing administrative penalties, which
could help fund projects like this.
Mike McGraw, 1440 Heritage Avenue, presented before the Council. Mr. McGraw noted that for 13 years
he lived on the south side of School Road and continually used the Hwy 7 /School Road to transport his kids
to friends' houses on the north side. He, like other parents, will not allow his children to ride bike /walk
across this intersection. He encouraged the Council to take action tonight and move forward with this
project.
Rich Westlund, 470 Campbell Lane, presented before the Council. Mr. Westlund explained that he was part
of one of the task forces in 1993 that studied this issue. One of the major issues at that time was to address
major safety- related intersections. He encouraged the Council to move forward with this project.
Lloyd Schlueter, 907 Hillcrest Road, presented before the Council. He feels that this underpass should be
located at Shady Ridge Road instead of School Road and Hwy 7, and adjust the stoplights at the intersection.
Tony Rannow, Rolling Oaks Lane, presented before the Council. Mr. Rannow noted that he is a rather new
resident to the City and applauded the City for being so progressive. He noted that the construction of this
underpass makes good sense and he and his wife do not feel safe crossing the intersection.
Liz Schwarze, McLeod County Historical Society, presented before the Council. Ms. Schwarze noted that
the Board of Directors is not opposed to the underpass project, but they are opposed to the location of the
access. Ms. Schwarze requested that the additional trails be put in place to make the entire project safe.
Sedona Miller, 1235 Golfview Court, presented before the Council. Ms. Miller relayed thoughts of she and
her recently passed husband, John. Ms. Miller recalled the hard work the group of museum volunteers have
done to construct what it has done today. Ms. Miller requested that the location of the tunnel be moved a
_ little further west as to impede on the Heritage Center's property as little as possible.
qW Bill Mitchell, Carolina Avenue, presented before the Council. Mr. Mitchell explained that he uses this
intersection quite a bit and has already been hit once by a motorist.
5eQ)
CITY COUNCIL MINUTES —JULY 25, 2006
A resident of 335 Charles Street presented before the Council. She explained that she too has been hit by a
• motorist at this intersection and does not wish for this to happen to anyone else.
Gabra Lokken, 390 Shady Ridge Road, presented before the Council. Ms. Lokken noted that she feels the
construction of this trail/underpass so close to the Heritage Center will bring more people past it that may not
have before and could be good for the museum.
Marlin Torgerson presented before the Council. Mr. Torgerson explained that recently approximately 80
children attended a golf outing held by the Crow River Golf Club and he feels that an underpass may have
encouraged those children to utilize the trail and ride their bikes to the golf club. Mr. Torgerson also agreed
with Ms. Lokken in the fact that this underpass /trail may bring in more users of the museum. He also
stressed that the City needs to look at future use of this area 10 -15 years from now.
John Komgiebel presented before the Council. Mr. Komgiebel requested that more definitive plans be
presented that are easier to read.
Dennis Heckes, 325 Hassan Street, presented before the Council. Mr. Heckes is a board member of the
McLeod County Heritage Center. Mr. Heckes also noted that the current design location is largely related to
the requests of the Heritage Center. Mr. Heckes also requested that the stoplights at the intersection be
adjusted for pedestrians. He also encouraged support for paving of the trail as well.
John Rodeberg noted that adjustments that are planned for the intersection include colored crosswalks and
different timings of the lints. Mr. Rodeberg suggested a group meeting with Mn/DOT representatives to
talk about various safety issues at this intersection.
Keith Kamrath, 717 Shady Ridge Road, presented before the Council. Mr. Kamrath encouraged that the trail
extensions be included over to Shady Ridge Road to increase safety.
• David Nissen, 630 Shady Ridge Road, presented before the Council. Mr. Nissen explained that
approximately three years ago he broke his collarbone while crossing this intersection. He stressed the
importance of safety at this intersection.
Claire Lenz, 550 Campbell Court, presented before the Council. Ms. Lenz stated that there are four issues
to consider: Hwy 7 traffic will only get faster, north end residents have no safe route to the south end,
residents do not want Hutchinson to be labeled as unprogressive and a dollar amount on the value of a life
cannot be measured.
Dean Nissen, 630 Shady Ridge Road, presented before the Council. Dr. Nissen stated that based on the
information presented, this project and the timing of it seems to make the most sense and the best solution.
Motion by Arndt, second by Haugen, to close public hearing. Motion carried unanimously.
Council Member Stotts asked if anything was going to be done at the Hwy 7 /California Street intersection.
John Rodeberg noted that nothing is planned due to it being uncontrolled, with controlled intersections being
located at Hwy 7/Montana Street and Hwy 7 /School Road. Council Member Stotts noted that some
residents that live near California Street had inquired this of him and noted that they would probably not
cross at the proposed underpass location.
Motion by Arndt, second by Peterson, to proceed with this project, including the additional trail accesses to
Shady Ridge Road and Millers Woods, requesting that John Komgiebel be part of design discussions to
represent the wishes of the McLeod County Heritage Center. Mayor Cook noted that it should be
determined now as to how this project will be funded. State -aid funding and grants will be considered to
help fund the project. Motion carried unanimously. Council Member Stotts noted that creative funding will
need to be sought.
8. COMMUNICATIONS. REQUESTS AND PETITIONS
9. UNFINISHED BUSINESS
(a) CONSIDERATION FOR APPROVAL OF CALLING FOR SALE OF 2006 IMPROVEMENT BONDS,
in
_5(�)
CITY COUNCIL MINUTES —JULY 25, 2006
GENERAL OBLIGATION WATER BONDS AND GENERAL OBLIGATION WASTEWATER BONDS
• Ken Merrill, Finance Director, presented before the Council. Mr. Merrill requested that this item be deferred
due to some recent issues that have arisen. These relate to the Denver Avenue project as well as an
additional hearing that needs to be scheduled for an improvement project. Mr. Merrill also explained that
within the wastewater bonds is financing for the wastewater plant. Concerns have been raised regarding the
fact that architectural plans have not been received as of yet on that project. John Rodeberg also noted that
issues have come up with the developer on Denver Avenue.
Jessica Cook, Ehlers & Associates, presented before the Council. She noted that at the August 8, 2006, City
Council meeting a request will be made to the Council to call for the sale of the bonds with awarding of the
bonds occurring in September. Ms. Cook further explained that several improvement bonds are being
combined with the sale of these bond issues and statutorily require a hearing.
Motion by Peterson, second by Arndt, to defer this item to the August 8, 2006, City Council meeting.
Motion carried unanimously.
Motion by Stotts, second by Peterson, to set a public hearing for Letting No. 5, Project No. 06 -05 at 6:00
p.m. This item will be included with the upcoming bond sale. Motion carried unanimously.
1111101 MANN, 1fffZM c1
(a) CONSIDERATION OF ORDINANCE NO. 06 -0440 — AN ORDINANCE ESTABLISHING A
PROCEDURE FOR ENFORCING ADMINISTRATIVE PENALTIES FOR CERTAIN PETTY
MISDEMEANORS AND MUNICIPAL CODE VIOLATIONS (WAIVE FIRST READING AND SET
SECOND READING AND ADOPTION FOR AUGUST 8, 2006)
City Attorney Marc Sebora presented before the Council. Mr. Sebora stated that similar types of
• administrative penalty programs are currently in place by several cities throughout the state in an effort to
generate additional revenues. This program would allow the City to collect higher fees, however allow a
violator to pay a lower fine and keep a traffic ticket off of his or her driving record. Mr. Sebora distributed a
table of suggested offenses that could be implemented into this program with suggested fine amounts.
Ultimately, the officer issuing a citation needs to determine what type of citation to issue — whether a regular
citation or an administrative penalty citation. Chief Hatten noted that department guidelines would need to
be established to address this. Mr. Sebora noted another item to consider is the amount it will cost to
administer this program compared to the amount of revenue it will generate. Chief Hatten offered a couple
of different ways to attempt to configure the amount of revenue generated from this type of program. Chief
Hatten suggested having the administrative fines be collected through the City Center as opposed to the
police department collecting the administrative fines.
Ken Merrill, Finance Director, stated that he would need to visit with the City Attorney and Police Chief in
regard to procedure.
Council Member Stotts suggested putting these types of fines into a public safety fund, with Council using
their discretion as to which projects it should be spent on. Discussion was held regarding procedure.
Council Member Stotts noted that individuals that he has spoken to are in favor of the idea because it does
not go on the violator's record and the fine is reduced. Chief Hatten noted that administrative penalty
records are kept locally and not part of the statewide system.
Motion by Arndt, second by Stotts, to waive first reading and set second reading of Ordinance No. 06 -0440
for August 8, 2006. At the second reading an effective date, as well as a dedicated fund, will be identified.
Motion carried unanimously.
Chief Hatten noted that National Night Out is set for August 1, 2006, from 6:00 — 9:00 p.m. He presented a
map indicating the various neighborhood parties that will be held.
• (b) CONSIDERATION OF ORDINANCE NO. 06-0442 — AN ORDINANCE AMENDING CHAPTER 120 OF
THE CURRENT PAWNBROKERS ORDINANCE (WAIVE FIRST READING AND SET SECOND
READING AND ADOPTION FOR AUGUST 8, 2006)
5�0.�
CITY COUNCIL MINUTES — JULY 25, 2006
Chief Dan Hatten addressed the Council. Chief Hatten presented a revised pawn shop ordinance for the
• Council to consider. This ordinance allows automation of the pawning system which can track stolen items
more efficiently. There are initial costs to the police department and pawn shop owners for this system to be
put in place. However, after it is in place, a $1.50 surcharge will be put on all transactions which will help
recoup these costs over time.
Dennis Johnson, Security Coin & Pawn Shop, presented before the Council. Mr. Johnson voiced some
concerns regarding fairness and costs. He explained that there are other stores that conduct business similar
to his pawn shop, however are not regulated like his store. Mr. Johnson stated that the store he has in
Willmar is part of an automated system. He is willing to be part of Hutchinson's project, however asked that
it not be implemented until February 1, 2007.
Chief Hatten was in favor of allowing the Johnsons some extra time with regard to implementation, however
requested that the revised ordinance be adopted and complied with by any new applicants. Chief Hatten also
distributed some revised pages of the proposed ordinance which will be presented as a complete ordinance in
the next Council packet.
Motion by Peterson, second by Stotts, to waive first reading and set second reading of Ordinance No. 06-
0442 for Aupust 8, 2006, with implementation for the Johnson's going into effect February 1, 2007. Motion
carried unanimously.
(c) DISCUSSION OF LOCAL SALES TAX
Mayor Cook requested the establishment of a community committee to review use of local sales tax and
projects that a local sales tax could fund.
Ken Merrill, Finance Director, shared information that approximately 13 cities currently use a local sales tax
and approximately six others have received authorization this year to implement using a local sales tax.
• Projects funded by local sales tax in these communities include community centers, street improvements,
riverfront revitalization, airport renovation, water /wastewater treatment facilities, libraries, fire halls, and
recreation uses. Mayor Cook noted that anyone interested in serving on such a committee should contact the
City Center or a Council Member.
(d) CONSIDERATION OF ITEMS REGARDING DENVER AVENUE SE EXTENSION PROJECT
(LETTING NO. 3, PROJECT NO. 06 -03)
- CONSULTING AGREEMENT AMENDMENT WITH SEH CONSULTING REGARDING
DENVER AVENUE SE DESIGN SERVICES (CONTINUED FROM EARLIER MEETING)
- CONSULTING AGREEMENT WITH SEH CONSULTING REGARDING DENVER AVENUE SE
CONSTRUCTION SERVICES
Kent Exner, City Engineer, presented before the Council. Mr. Exner explained that staff has met with the
consultant regarding the fees imposed for the Denver Avenue project. Due to some changes with the project
along the way, the consulting fees also changed. SEH Consulting has explained the reasons for the
adjustments in the fees, which are mainly due to the scope of the project changing and the starting and
stopping of it.
Motion by Peterson, second by Stotts, to approve consulting agreement amendment with SEH Consulting
regarding Denver Avenue SE design services. Motion carried unanimously.
Kent Exner, City Engineer, presented before the Council. This consulting agreement is for staking of the
Denver Avenue project, however staff will complete other standard work. No payment will be made unless
work is actually completed by the consultant.
Motion by Peterson, second by Stotts, to approve consulting agreement with SEH Consulting for
construction services on Denver Avenue, with a not to exceed amount of $26,485. Motion carried
unanimously.
• (e) FOCILIDE CAON SYSTEM ( OVAL OF T S PR DER N NO . 506 -15) STEWATER TREATMENT
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CITY COUNCIL MINUTES— JULY 25, 2006
John Rodeberg, Public Works Director, presented before the Council. Mr. Rodeberg explained that this
• system is a Supervisory Control and Data Acquisition system that links all water /wastewater systems to read
together. This is an automated system that can be remotely accessed and maintained by one operator. The
total amount for this system totals $628,200 and will be phased in over the next several years.
Motion by Stotts, second by Peterson, to approve Task Order No. 5 — Wastewater Treatment Facility
SCADA System. Motion carried unanimously.
(f) CONSIDERATION FOR APPROVAL OF PHOSPHORUS GRANT APPLICATION RESOLUTION
John Rodeberg, Public Works Director, presented before the Council. Mr. Rodeberg explained that this
grant could potentially fund up to $500,000 of the cost of the proposed Wastewater Treatment Facility
membrane treatment improvements proposed for next year. Mr. Rodeberg noted that in the body of the
resolution, the name of Ken Merrill needs to be changed to Gary Plotz.
Motion by Arndt, second by Haugen, to approve Resolution No. 13005, application for phosphorus grant.
Motion carried unanimously.
(g) CONSIDERATION FOR APPROVAL OF SETTING COUNCIL BUDGET WORKSHOP FOR AUGUST
15, 2006, AT 3:00 P.M. AND PUBLIC HEARING FOR AUGUST 22, 2006, AT 6:00 P.M.
Motion by Stotts, second by Arndt, to approve setting Council Budget workshop for August 15, 2006, at
3:30 p.m. and public hearing for August 22, 2006, at the regular City Council meeting at 6:00 p.m. The
purpose of the public hearing is to allow the public to provide input on the proposed preliminary budget.
Motion carried unanimously.
11. MISCELLANEOUS
(a) COMMUNICATIONS
1. TRANSIENT MERCHANT APPLICATION FOR T.A.P. ENTERPRISES FOR A TOOL SALE AT
THE RECREATION CENTER ON AUGUST 4, 2006
Motion by Arndt, second by Haugen, to approve this transient merchant application. Motion carried
unanimously.
Jim Haugen — Council Member Haugen thanked John Rodeberg and his staff for all of the work and
thorough explanation of the underpass project.
Bill Arndt — Council Member Arndt also thanked John Rodeberg for all of his work on the underpass
project. Council Member Arndt also commented on the amount of people that attended the Allis Chalmers
event at the Karg Farm over the weekend. The event brought in approximately 5000 people from over 24
different states.
Casey Stotts — Council Member Stotts commended Claire Lenz on the work that she has done on the
underpass project. Although he and she may not agree, he noted that this is the process of government.
Ken Merrill — Mr. Merrill noted that the HUC web page is going to be featured on a national web site in the
next couple of weeks. He commended staff member Jackie Penke on all of the work she has done on this.
John Rodeberg — Mr. Rodeberg commented on the Hwy 7 project.
12. CLAIMS, APPROPRIATIONS AND CONTRACT PAYMENTS
Motion by Peterson, second by Stotts, to approve claims, appropriations, and contract payments. Motion
carried unanimously.
• 13. ADJOURN
Motion by Arndt, second by Peterson, to adjourn at 8:40 p.m. Motion carried unanimously.
40A
• City of Hutchinson Public Arts Commission
May 16, 2006 Meeting, 4 PM
All Committee Members were present: Tom Wirt, Mayor Steve Cook, Terry Kempfert,
Joann Wilmert, and LuAnn Drazkowski. Ex- official member, Dolf Moon joined the
meeting inprocess.
The meeting was called to order by Tom Wirt.
Tom welcomed the Commission Members and shared comments about the committee
having an annual structural meeting. After several months/meeting, officer roles will be
opened for discussion. Ex- official members include: Dolf Moon (Park and Rec), Mark
Vallancourt (Hutchinson ChamberNisitor Bureau), Miles Seppelt (Economic
Development), and Rebecca Bower (new Planning & Zoning).
Mayor Steve Cook provided insight into why the Public Arts Initiative was formed.
Tom handed out the City Council presentation outline as an overview of the past work
done by the Public Arts Initiative task force.
We reviewed the Ordinance No. 06 -0431, An Ordinance Establishing Public Arts
Commission, adopted by the City Council on March 14, 2006.
Discussions included:
• 1. Need to find funding for maintenance /upkeep of existing public art (PA) through
grants, private, policy, to avoid use of limited City funds.
2. A PA inventory list was started and should be kept current. ACTION: Tom will
distribute the most recent version of the inventory list.
3. Commission needs to set standards, while not being too restrictive
4. Discussed resource information, including the McKnight Foundation literature.
ACTION: Tom to acquire copies of the two publications for Terry and Joanne.
ACTION: LuAn send out publication summary's prepared by Linda Remucal.
5. Opportunity to build public awareness
6. Near -term priorities of City activities include:
• Little Crow Move and funding issue
• Placard for memorial benches. Fund - raising potential
• Reservoir fagade /scape
7. Dolf Moon provided updates on several projects/issues. They included:
• Hwy 7 and Reservoir plans. $22 M landscape budget with MN Dot.
• MN DOT preliminary discussions about options for Little Crow statue
relocation, including potential of a plaza along the river.
• South water tower logo/lettering determined
• Lighting requested for the Hutchinson Brother's statues, however there is
a need for support funds
• Fountain in the river is impacted by future dam reshaping. Power and
cabling considerations. Example of motor replacement associated to
• public art and no maintenance funds reserved.
(�oCC�)
• Hutchinson's current Parkland Dedication Fee is low relative to similar
and neighboring communities
• Park/Rec have been setting up landscape to be maintenance- friendly
• Park/Rec has developed a database of detailed itemizing of park trees,
equipment, statues, etc. for predictive and preventative maintenance.
• Landscape projects have about a 15 year life -cycle
• Would like to see program to rotate art in Event Center
8. Briefly discussed funding tactics, including; adjusting the Parkland Dedication
fee, establishing an Endowment reserve.
9. Next meeting invited guests will be John, Lawerance, and Miles Seppelt.
10. Next meeting's focus will be on exchanging information on what other
communities with established PA programs have for police /ordinances.
ACTION: Research these communities:
• New Prague (Tom)
• Minneapolis (Dolt)
• Owatonna (LuAnn)
• Excelsior (Joanne)
• Eden Prairie (Joanne)
• Albert Lea (LuAnn)
• Maplewood (Joanne)
• Shoreview (Joanne)
• Duluth, plus others (Terry)
• 11. Next meeting to also get update on Hwy 7 project and Little Crow statue progress.
12. Meeting adjournment. MPS Tom/Joanne
U(a) t
City of Hutchinson Public Arts Commission
June 20, 2006 Meeting, 4 PM, City Center
All Committee Members were present: Tom Wirt, Mayor Steve Cook, Terry Kempfert, Joanne
Willmert, and LuAnn Drazkowski. Ex- official member, Dolf Moon present.
Attending guests included; Mile Seppelt. Economic Development Director, Rebecca Bowers, Director of
Building, Planning and Zoning, and Lawrence Winter, Park Resource Coordinator.
The meeting was called to order by Tom Wirt.
May 2006 Minutes approved. MPS Steve /Joanne
Tom handed out Public Art Inventory Worksheets. Members asked to review and make ongoing
updates. Comment made to synchronize with Park & Rec's data where appropriate.
Discussions included:
1. Exchanged research information of other communities public art (PA) policy. Cities represented
included: Eden Prairie, Bloomington, Minneapolis, Owantonna, Vancouver, WA, and Portland.
OR. Discussed advantage of centralizing this information in an organized manner for future
retrieval. Members asked to continue research effort to bring to the July meeting. ACTION:
Organize the accumulated material (LuAnn). ACTION: Have copies made through Park & Rec
office through Sharon (LuAnn).
2. General categories to include:
go• Standards
• Commission
• Gifting process
• General operating
• Maintenance provisions
• Funding
• Retiring/obsolence
• Transfer of ownership
• Public works aspect
3. Point made that even with upfront criteria and specs developed, the installation needs to meet
quality expectations.
4. Dolf referenced "Scope" a publication which includes the 2005 Park Survey of communities
parks dedication rates. As a benchmark, Hutchinson is low and suggestion made to consider
phase in increases to be comparible.
5. Need to maintain donor autonomy if that is their preference.
6. Suggestion made to review the drafted PA policy with former donors to get their feedback of
useability prior to getting City Council approval.
7. Inquiry made about how Hutchinson Parks got named. Dolf responded through the "Adopt a
Park" program, established in the `90's. Non - binding agreement to help development of park
areas. Program highly successful and provided additional sources of funds and support for
advancing the parks. Inspired friendly competition.
8. Little Crow statue needs restoration. City has the original mold if a remake is ever necessary.
Will incorporate the relocation with the dam restoration effort. Funding available.
9. Bluff St and Hwy 7 reconstruction underway with decorative retaining walls and tiers.
to (a)_ i
a10. The EDA downtown plans have made significant improvements in appearance, connecting to
Hutch's assets, and reinforced collaboration/ties with civic organizations.
11. PA Opportunities:
• Miles provided background into the Econo Foods Mural project. Gained permission from
Nash Finch. Seeking ways to find funding. Proposed artwork had a veterans motif, but
met with some resistance because of perceived inaccurate rendition. If veteran
stakholders had input into the mural design, the support and interest level might have
been different.
• Fagade for the reservoir
• Medians on Hwy 15
• Feasibility of getting larger trees in the roadway reconstruction through a
donor /dedication offering.
12. Agreed the Commissions needs to take a proactive, activist role
13. ACTION: Investigate into Ridgewater's Percent for Art (Joanne, LUAnn)
Next meeting is July 18, 4 PM. Topics on the agenda include:
• Further fact - finding on PA policy /procedures
• Assigning categories to compose text
• Updates to Inventory Worksheet
August meeting- invite representative from the St. Louis Park's recent PA program launch to speak to the
• Commission and guests on the subject.
Meeting adjournment. MPS Luann/Joanne
u
c0(C�))
Memo
To: Mayor and City Council Members
Frmm Brad Emans, Fire Chief
Date: 08/01/06
Re: Monthty Update on Activities of the Fire Department
The fire department responded to 37 general alarms in the month of July.
Example of a few of the calls:
We responded to a person trapped in a grain bin. We were able to free the person in a short period
of time, but the person succumbed to the nature of the accident
We responded to a motor vehicle fatality just 20 minutes after the grain bin accident A vehicle
stack a power pole, breaking k off, and allowing the power lines to dangle over the vehicle. We
extricated one victim and then waded for the scene to become safe before extricating the
deceased victim.
• We responded mutual aid to a house explosion in Buffalo Lake with our Ladder truck and six
firemen.
• We responded to a residential kitchen fire in the southwest part of Hutchinson. He homeowner
extinguished the fire; we assisted with Gearing the smoke from the building. The fire still did an
estimated $3,000 damage.
• We responded to a residential structure fire in Acoma Township, The house was struck by lightning
causing the roof to bum off the second floor. The structure suffered considerable fire / water
damage, however all of the family valuables were saved. The fire did an estimated $200,000
damage.
• We were called to a senior housing building in the southeast part of the community where we
found a sprinkler pipe started leaking and caused water damage to one unit.
• We responded a commercial building in our industrial park where we found that the flinch feeder
pipe to the sprinkler system had ruptured causing the entire building to flood. We assisted the
property owner with the removal of the water.
o)p-
This is the breakdown of the calls for the month:
City:
Residential 3 Commercial /Industrial 4 Multi- family 5 School 1 Carton Monoxide 3
Hazardous Material 6 Vehicle 2 Rescue 1 Medical 1 Grass 1 Sky -Wam 0 Good Will 0
Mutual Aid 1 (Buffalo Lake FD) Arson 1 (Grass)
Rural:
Rescue 3 Grass Type 1 Medical 1 Residential 2 Farm Building 0 Hazardous Material 1
Carton Monoxide 1 Vehicle 0 Commercial/Industrial 0 Good Will 0 Arson 0
Drills / Meetings / Other Information
Monthly SCBA / small tool/ pump maintenance
• Annual OSHA required emergency vehicle driving test
• We conducted our firefighter test to establish a hiring list of new firefighters. We put a lot of work in
recruiting and we were very pleased that 17 citizens tested. It is our hope that we can hire at least
10 new people.
• Fire Prevention / Public Relations
• Assisted Cashwise grocery with their summer carnival
• Presented information on pandemic influenza planning to the Kiwanis
•
Attended the Sno-Pro's annual picnic to show the members the equipment that they purchased.
• Attended Hunters Ridge Church summer carnival
• Attended the Dassel FD 125'" Celebration with our ladder truck.
• Supplied our command trailer for the annual picnic of 3M.
• Page 2
c�(a�
CITY OF HUTCHINSON
COUNT OF BUILDINGIPLUMBINGIMECH.ANICAL PERMITS
ISSUED AND VALUATION
aa- 3
• _.. _.. BALANCE
,JUNE 30*6
ASSETS
UTILITY F1. -ANT - AT COST
LAND 6 LAND RIGHTS
DEPRECIABLE UTIi_I'IY PLANT
'TOTAL UTILITY PLANT
LESS ACCUMULATED DEPRECIATION
'TOTAL ACCUMULATED DEPRECIATION
CONSTRUCTION IN PROGRESS
TOTAL CONSTRUCTION IN PROGRESS
TOTAL. UTILITY PLANT DEPREC VALUE
RESTRICTED FUNDS 6 ACCOUNTS
FUTURE EXPANSION & DEVELOPMENT
MEDICAL INSURANCE
RATE STTABILIZATION FUND -- ELECTRIC
RATE STABILIZATION FUND -GAS
POND R INTEREST PAYMENT 2003
TOTAL RESTRICTED FUNDS 6 ACCOUNTS
CURRENT h ACCRUED ASSETS
CASI4 IN BANK
ACCOUNTS RECEIVABLE
INVENTORIES
PREPAID INSURANCE
PREPAID GAS EXPENSE
DEFERRED ENERGY COST - MISO
CLEARING ACCOUNT
SALES TAX RECEIVABLE
TOTAL CURRENT & ACCRUED ASSETS
DEFERRED CHARGE
BOND DISCOUNT 2003
TOTAL DEFERRED CHARGE
TOTAL. ASSETS
P
v
* * * * TOTAL 4 * * K
2,6:,3,391.60
102,794,441.91
105,447,833.59
(33,160,059.04)
.(33,160,059.04)
967,546.85
967,546.85
73,255,321.40
659,772.46
100,000.00
673,826.62
477,186.63
669,830.83
2,580,616.54
2,771,699.32
3,389,376.82
1,211,515.42
i54,883.24
838.70
22,430.06
323.92
15,296.39
7,566,370.87
579,924.25
579,924.25
63,982,333.06
C
0 7/19/2006
HUl'CHINSON Ul'ILI 6 COMMISSION
DALANCEOFET
JUNE_ 30,'2006
MUNICIPAL EQUITY 6 LIABILITIES
MUNICIPAL EQUITY
MUNICIPAL EQUI'f1'
UNAPPROPRIATED RETAINED EARNINGS
TOTAL "MUNICIPAL EQUITY
LONG TERM LIABILITIES -NE1 OF
CURRENT MATURITIES
2003 DOND13
TONAL. LONG TERM LIABILITIES
CONSIR CONTRACTS h ACCTS FAY RETAIN
ACCRUED EXPENSES - RE'TAINAGE
TOTAL CONSTRUCTION G ACCTS FAY
CURRENT 6 ACCRUED LIABILLITIES
ACCOUNTS PAYABLE
ACCOUNTS PAYABLE - M]:SO
INTEREST ACCRUED
ACCRUED VACATION PAYABLE
ACCRUED MEDICAL FUND
ACCRUED REC PAYMENT
ACCRUED SEVERANCE
CUSTOMER DEPOSITS
OTHER CURRENT 6 ACCRUED LIABILITIES
TOTAL CURRENT A ACCRUED LIAR
'TOTAL MUNICIPAL EQUITY h LIAR
�1
FACE
* * * * 'TOTAL % * * *
50,733,782.03
1,655,202.29
52,368,984.32
28,780,000.00
28,780,000.00
107,671.74
1.07,671.74
2,138,047.36
237,505.76
98,492.21
214,150.52
(137,392.03)
25,644.17
20,860.07
104,120.00
4,148.94
2,705,577.00
83,982,233.06
•
•
Sl'ATEME:NT
OF INC EXPENSES
JUNE 3 *006
.
PREV7: CIUS
CURRENT
BUDGETED
BUDGET
ANNUAL.
YEAR TO DATE
YEAk TO DATE
YEAR TO DATE
DEVIATION
DUDGE_'T
INCOME STATEMENT
OPERATING REVENUE
SALES - ELECTRIC ENERGY
10,129,752.90
12,866,713.35
12,738,786.00
127,927,35
27,103,800.00
SALES FOR RESALE
1,500.00
110,467.07
1.05,000.00
5,467,87
500,000.00
NET INCOME FROM 07HER SOURCES
77,102.16
131,043.98
92,500.00
38,543.98
585,000.00
SECURITY LIGHTS
5,438.00
5,430,00
;,500.00
(70.00)
11.1000.00
POLE RENTAL
1,656,50
933.25
11000.00
(66.75)
2,000.00
SALES - GAS
6,296,284.81
6,976,881.70
6,901,639.14
75,242.56
12,780,813.23
NEW ULM TRANSPORTATION
330,243.28
328,839.26
408,333.34
(79,494,08)
816,666.67
TRANSPORTATION - ELECTRIC DIVISION
.00
550,004.00
550,000.00
4.00
1,100,000.00
TOTAL OPERATING REVF_NI.IE
1'7, 441.,9137,55
20,970,3i3,41
20,802,758.48
1.6'7,554,93
42,499,779.90
OPERATING EXPENSES
PRODUCTION OPERATION
820,272.82
1.,179,807.45
1,409,674.61
229,867.16
4,019,205.10
PRODUCTION MAINTENANCE
183,907,07
182,755. 32
211,500.00
28,784.68
423,000,.00
PURCHASED POWER
6.552,5.]7.89
7,989,323.50
'7,376,838.21
(612,465.29)
15,695,443.00
OTHER POWER 13UPPLY
268,032,20
168,094.26
198,500.00
30,405.74
397,000.00
TRANSMISSION OPERATION
57,71
595.60
1,000.00
404.40
2,000.00
TRANSMISSION MAINTENANCE
5,905.46
51079.01
31000.00
(2,079.01)
6,000.00
ELECTRIC DISTRIBUTION OPERATION
1.21,477.32
158,935.28
173,750.00
14,814.72
347,500.00
F_LECTRIC ISTRIBUTION MAINTENAiVCE
99,223.1.5
78,048.37
83,750.00
5,701.63
167,500.00
PURCHASED GAS EXPENSE
5,124, 505.37
5,499,340,97
5,819,713.49
320,372 52
10,777,247.21
GAS TRANSMISSION OPERATION
37,117.39
36,166.11
42,500.00
6,333.89
85,000.00
GAS TRANSMISSION MAINTENANCE
4,297,32
4,210.134
23,500.00
19,2289,66
47,000.00
GAS DISTRIBUTION OPERATION
155,130.10
.193,505.01
156,714.50
(36,790.5i)
313,429.00
GAS DISTRIBUTION MAINTENANCE
49,742.14
42,908.52
64,750.00
21,641.48
129,500.00
CUSTOMER ACCOUNTIW; E COLLETCTIONS
146„ 720.61
161,354.64
148,861.50
(12,493.14)
297,723.00
SALES EXPENSE
17,726.28
108,066.97
128,752.38
20,685.41
257,504.75
ADMINISTRATIVE A GENERAL EXP'ENSiES
1,003,756.57
1.,117,980.14
1,066,006.30
(51,873.64)
2,132,013.00
DEPRECIATION
1,476,i99.1,4
5,523,952.00
1,523,948.50
(3.50)
3,047,897.00
TOTAL OPERATING EXPENSES
16,066,246.54
18,449,983.49
18,432,779.69
(17,203.80)
39,144,962.14
OPERATING INCOME
1.,375,741.0i
2,520,329.92
2,369,978.79
150,351.13
4,354,317.76
OTHER INCOME
OTHER - NET
64,788.29
34,989.99
25,000.00
9,989.99
50,000.00
INTEREST INCOME
33,943.02
83,251.51
32,500.00
50,751.51
65,000.00
MISC INCOME
1.,820.79
28,691.67
9,150.00
19,541.67
18,300.00
GAIN ON DISPOSAL - GAS
.00
129,742.95
.00
129,742.95
.00
LOSS ON DISPOSAL - ELECTRIC
.00
(10,895.94)
.00
(10,895.94)
.00
TOTAL OTHER INCOME
100,552.iO
265,700.18
66,650.00
199,130.18
133,300.00
OTHER EXPENSES
MISC EXPENSES
62,302.95
35,277.84
54,000.00
18,722.16
1081.000.00
INTEREST EXPENSE
595,898.40
584,142.47
579,825.63
(4,316.84)
1,159,651.26
1'01'AL OTHER EXPENSES
654,201.35
619,420.31
633,825.63
14,405.32
1,267,651.26
CONTRIBUTION TO CITY
487,075.00
511,487.50
511,087.50
(400.00)
1,022,175.00
TOTAL CONTRIBUTION TO CITY
487,075.00
"511,487.50
511,087.50
(400.00)
i,022,175.00
NON - OPERATING INCOME
(1,040,7 2.4.25)
(865,127.63)
(1,078,263.13)
213,135.50
(2,156,526.26)
:lEl INCOME 335,016.'76 1,655,202.27 11291,715.66 363,486.63 2,197,791.50
• RESOLUTION NO. 13006
RESOLUTION DESIGNATING THE LOCATION OF POLLING PLACE FOR ALL CITY
PRECINCTS AND APPOINTING JUDGES FOR THE 2006 CITY OF HUTCHINSON AND STATE
PRIMARY AND GENERAL ELECTIONS
WHEREAS, Chapter 204B, Section 204B.16, Subd. 1 and Section 204B.21, Subd. 2 of the
Laws of Minnesota states that the governing body of any municipality, by resolution adopted prior to
the giving of notice of the election, may designate the location of polling place of all precincts (one,
two, and three) and naming of judges for the City and School District Election.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
HUTCHINSON, MINNESOTA:
That the polling place to be used during the 2006 Election for all precincts will be in the
Recreation Center located at 900 Harrington Street S.W., Hutchinson, Minnesota.
That the Election Judges are hereby appointed in accordance with the attached list.
Adopted by the City Council this 8`s day of August, 2006.
ATTEST:
Gary D. Plotz, City Administrator
0
Steven W. Cook, Mayor
('0(10 )
ELECTION JUDGES CITY OF HUTCHINSON
• CITY, PRIMARY AND GENERAL ELECTIONS
2006
r1
LJ
•
EILEEN BERWALD
MORRIS BJURLIN
ELAINE BLACK
DOLORES BRUNNER
HARRIET BURICH
DORIS DAGGETT
MAXINE ENGWALL
GAIL FRANSEN
ROMAN HAAS
ANNE HAAS
JOHN HASSINGER
JEAN HASSINGER
ROXANNEJENSEN
DORI JOHNSON
DARLEEN KNIGGE
*MARK LEWANDOWSKI
MARY MCRAITH
*DEETTA NELSON
CATHY PRELLWITZ
HARRIET SCHMIDT
*DENNIS SCHROEDER
*ANN SCHUMANN
PEARLSEALE
BILL WEGNER
PHYLLIS WESELOH
PATSY WRIGHT
FRANK FAY
PAT DODGE
RUSS GOLDSTEIN
HAROLD GRAMS
ELIZABETH KURTH
NANCY REDETZKE
*denotes headjudge
All judges are appointed as health care facility judges.
86 MCLEOD AVENUE NE
527 JUUL ROAD
9502 ND AVENUE SW
968 HAYDEN AVENUE
583 CARLISLE STREET NE
978 ROLLING GREENS LANE
506 JUERGENS ROAD
955 LAKEWOOD DRIVE SW
113 MARK DRIVE NE
113 MARK DRIVE NE
5462 ND AVENUE SW
5462 N' AVENUE SW
1239 BRADFORD STREET SE
1270 ROLLING OAKS LN
832 GREENSVIEW COURT NW
1357 WESTWOOD ROAD
600 TYLER STREET SW
815 COLORADO STREET NW
640 CALIFORNIA STREET
45 SHERWOOD CIRCLE
1074 PRAIRIE VIEW DRIVE SW
129 MORNINGSIDE DRIVE
569 MILLER AVENUE
125 11' AVENUE NE
1109 LEWIS AVENUE
1300 SHERWOOD STREET SE
1221 GOLF VIEW COURT NW
213 NORTH HIGH DRIVE #202
1680 SOUTH GRADE ROAD SW
540 LINCOLN AVENU SW
1165 CAROLINA AVENUE NW 411
935 2ND AVENUE SW
RESOLUTION NO. 13009
• CITY OF HUTCHINSON
RESOLUTION FOR PURCHASE
The Hutchinson City Council authorizes the purchase of the following:
ITEM
COST
PURPOSE
DEPT.
BUDGET
VENDOR
Seal Coat Project
$42,959
Street Maintenance
Street
(1)
Pearson Bros Inc
Fiber connection
15,460
High speed computer
IT
Yes
Steile Construction
(events center-
connection
Capital
Ridgewater college)
fund
g&l) 2006 Improv Bonds letting #5
NWThe following items were authorized due to an emergency need:
ITEM
COST
PURPOSE
DEPT.
BUDGET
VENDOR
Unleaded gasoline
8,496 gallons
$23,636.72
City, County, State use
HATS
Yes
Schmeling Oil Co
Date Approved: August 8, 2006
• Motion Made By:
Seconded By:
Resolution submitted for Council action
Kenneth B. Merrill
by: Finance Director
(0Cb)'�'
•
•
RESOLUTION NO. 13010
RELEASING PLEDGED SECURITIES
FROM HOME STATE BANK
WHEREAS, Home State Bank a city depository, has requested the
following security be added under the collateral agreement with the
City of Hutchinson:
FHLMC 7% 31343EMS6 $1,000,000 04 01 2011
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF HUTCHINSON,
MINNESOTA:
THAT the City Finance Director be authorized to accept said
securities.
Adopted by the City Council this 8th day of August 2006.
ATTEST:
Gary D. Plctz
City Administrator
Steven W. Cook
Mayor
V-03
0
)007 MEMORANDUM
POLICE / EMERGENCY MANAGEMENT SERVICES
TO: Mayor and City Council
FROM: Daniel Hatten, Chief of Police
DATE: August 2, 2006
RE: Administrative Citations
The purpose of this memo is to request the second reading and adoption of the
Administrative Citation Ordinance be tabled until such time when the following items are
addressed:
1. A list of specific City Ordinances and State Statutes that would qualify for this
program is established.
2. The fee scheduleffine amount per offense is established.
3. The account in which fees will be placed is established.
4. The start date is established.
��hJ�
PUBLICATION NO.
0 ORDINANCE NO. 06-0441
AN ORDINANCE AMENDING THE OFFICIAL ZONING MAP OF THE CITY OF HUTCHINSON
FOR TWO LOTS TO BE REZONED FROM LC TO R2 LOCATED AT 255 AND 287 HWY 7 EAST
THE CITY COUNCIL OF THE CITY OF HUTCHINSON, MINNESOTA ORDAINS:
WHEREAS, the following described real property is hereby rezoned from UC (Industrial/Commercial) to R2
(Medium Density Residential) as requested by the property owners:
LEGAL DESCRIP'T'ION:
The Westerly 55 feet of all that portion of Lot One (1) in Block Three (3) in the Townsite of
Hutchinson North Half, lying Northerly of the Hutchinson - Silver Lake Road, excepting therefrom
all Railroad right-of- -way.
The East line of said tract is parallel to and distant 55 feet Easterly from the Westerly boundary line
of said Lot 1 in said Block 3.
All that portion of Lot One (1) in Block Three (3) Townsite of Hutchinson, North Half lying
north of the Hutchinson - Silver Lake Road but saving and excepting therefrom the Westerly 55
feet thereof and also saving and excepting therefrom the right-of-way of the Minnesota Western
• Railway. The west boundary line of said tract is parallel to and distant 55 feet easterly from the
west boundary line of said Lot 1.
AND ALSO
That part of Lots One(1) and Two (2) in Block Three (3) in the Townsite of Hutchinson , North
Half described as follows, to-wit: Commencing at the northeast comer of the Southeast Quarter of
Section 31, Township 117 North, Range 2 thence south along the east line of said
Southeast Quarter a distance of 970.00; feet thence southwesterly 268.19 feet along a line which
prolonged southwesterly intersects the southeasterly line of said Lot 2 a distance of 50.00 feet
westerly of said east line, as measured at a right angle to said east line, to the point ofbeg�nnm8 of
the land to be described; thence continuing southwesterly, along said southwesterly pro longation,
45.39 feet to said intersection with the southeasterly line of Lot 2; thence south, parallel with said
east line, to the intersection with the northerly right of way line of State Highway No. 7; thence
easterly, along said right of way line, to the intersection with said east line; thence north along
said east line, to a point 1241.04 feet south of said northeast comer of the Southeast Quarter,
thence westerly, to the point of beginning.
ALSO
That part of Lot Two (2) in Block Three (3) in the Townsite of Hutchinson, North Half described
as follows, to-wit: Commencing at the northeast comer of the Southeast Quarter of Section 31,
Township 117 North, Range 29 West; thence south along the east line of said Southeast Quarter a
distance of 970.00 feet; thence southwesterly 268.19 feet along a line which prolonged
southwesterly intersects the southeasterly line of said Lot 2 a distance of 50.00 feet westerly of
said east line; thence continuing southwesterly along said southwesterly prolongation, 45.39 feet
to said intersection with the southeasterly line of said Lot 2; thence southwesterly, along said
southeasterly line of Lot 2, a distance of 52.03 feet to a point 274.20 feet northeasterly of the
southeasterly comer of said Lot 2 as measured along said southeasterly line,; thence
northwesterly, at a right angle to said southeasterly line, a distance of 52.00 feet; thence
northeasterly parallel with said southeasterly line, a distance 77.54 feet; thence easterly 36.63 feet
to the point of beginning.
Ordinance No. 06 -0441
255 and 287 Hwy 7 East
August 8, 2006
Page 2
WHEREAS, the City Planning Commission and City Council have considered the effects of rezoning this piece of property,
WHEREAS, there are certain parameters that will make this rezoning appropriate for this area;
THEREFORE; the City hereby officially rezones this property to R2 and it shall take effect upon publication of this
ordinance;
Adopted by the City Council this 8"' day of August, 2006.
ATTEST:
Gary D. Plotz
City Administrator
is
•
Steven W. Cook
Mayor
('(�)5
•
•
YJ Open in New Window
CHAPTER ', 120: PAS
Section
Hutchinson, MN Code of Ordinances
LAWONS
DKERS'
CHAPTER 120: PAWNBROKERS
General Provisions
120.01
Purpose
120.02
Definitions
Licensing
120.15
License required; exemption
120.16
Ineligible persons
120.17
Ineligible places
120.18
License application
120.19
Fees
120.20
Bond required
120.21
Licenseissuance
120.22
License suspension or revocation
Rules and Regulations
120.35
Licensee responsibility; conduct
120.36
License display required
120.37
Records Required
120.38
Inspection of records
120.39
120.40
120.41
120.42
120.43
Property received; receipts
Daily Reports to Police Department
sale or redemption/Order to Hold Property
Police restrictions on
Inspection of items
Gambling prohibited
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120.44 Storage; oversized items
120.45 Off -site sales and storage
120.46
Restrictions on weapons
120.47
Redemption Period
120.48
Holding Period
120.49
Label Required
120.50
Prohibited Acts
120.51
Business at only one place
120.52
Effective Date
GENERAL PROVISIONS
§ 120.01 PURPOSE.
(A) The City Council finds that pawnbrokers potentially provide an opportunity for
the commission and concealment of crimes. These businesses have the ability to receive
• and transfer stolen property easily and quickly. The City Council also finds that
consumer protection regulation is warranted in transactions involving pawnbrokers.
(B) The purpose of this chapter is to prevent pawn broking businesses from being
used as facilities for commission of crimes and to ensure that these businesses
comply with basic consumer protection standards, thereby protecting the public
health, safety and general welfare of the citizens of the city.
(C) To help the police department better regulate current and future pawn
businesses, decrease and stabilize costs associated with the regulation of the
pawn industry, and increase identification of criminal activities in the pawn
industry through the timely collection and sharing of pawn transaction
information, this chapter also implements and establishes the required use of the
Automated Pawn System (APS).
§ 120.02 DEFINITIONS.
For the purpose of this chapter, the following definitions shall apply unless the context
clearly indicates or requires a different meaning.
. MINOR. Any natural person under the age of 18 years.
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(o (�b)
OVERSIZED ITEMS. Large items such as cars, boats and other motorized vehicles
and motorized equipment.
PAWNBROKER. Any natural person, partnership or corporation, either as principal,
or agent, or employee thereof, who loans money on deposit or pledge of personal
property or other valuable thing; who deals in the purchasing of personal property or
other valuable thing on condition of selling the same back again at a stipulated price; or
who loans money secured by chattel mortgage on personal property, taking possession of
the property or any part thereof so mortgaged. To the extent that a PAWNBROKER
business includes buying personal property previously used, rented or leased, the
provisions of this chapter shall be applicable. Any bank, savings and loan association or
credit union shall not be deemed a PAWNBROKER for purposes of this chapter.
PERSON. One or more natural persons; a partnership, including a limited
partnership; a corporation, including a foreign, domestic or nonprofit corporation; a trust;
a political subdivision of the state; or any other business organization.
SECONDHAND ITEM. Tangible personal property, excluding motor vehicles,
which has been previously used, rented, owned or leased.
REPORTABLE TRANSACTION. (a) Every transaction conducted by a pawnbroker
in which merchandise is received through a pawn, purchase, consignment or trade, or in
which a pawn is renewed, extended or redeemed, or for which a unique transaction
number or identifier is generated by their point -of -sale software, or an item is confiscated
• by law enforcement is reportable except:
(1) The bulk purchase or consignment of new or used merchandise from a
merchant, manufacturer or wholesaler having an established permanent place
of business, and the retail sale of said merchandise, provided the pawnbroker
must maintain a record of such purchase or consignment which describes each
item, and must mark each item in a manner which relates it to that transaction
record.
(2) Retail and wholesale sales of merchandise originally received by pawn or
purchase, and for which applicable hold and/or redemption periods have
expired.
BILLABLE TRANSACTION. Every reportable transaction conducted by a
pawnbroker is a billable transaction except renewals, redemptions or extensions of
existing pawns on items previously reported and continuously in the licensee's
possession, voided transactions, and confiscations.
LICENSE FEES.
(a) The annual license fees for licenses under this chapter shall be:
(b) The billable transaction license fee shall reflect the cost of processing
transactions and other related regulatory expenses as determined by the city
• council, and shall be reviewed and adjusted, if necessary, annually. Licensees
3
shall be notified in writing thirty (30) days before any adjustment is
• implemented.
(c) Billable transaction fees shall be billed monthly and are due and payable
within thirty (30) days. Failure to do so is a violation of this chapter.
LICENSING
§ 120.15 LICENSE REQUIRED; EXEMPTION.
(A) License required No person shall engage in the trade or business of
pawnbroker within the city unless that person is currently licensed under this chapter.
(B) Exceptions to license requirement. A person who holds a motor vehicle dealer
license is exempt from the terms of this chapter with respect to motor vehicles.
('89 Code, § 6.41) (Ord. 95 -162, passed 2- 27 -96) Penalty, see $ 10.99
§ 120.16 INELIGIBLE PERSONS.
• The following are not eligible for licensure under this chapter:
(A) Anyone not a citizen of the United States or a resident alien;
(B) A minor at the time the application is filed;
(C) Anyone who has been convicted of any crime directly related to the licensed
occupation and has not shown competent evidence of sufficient rehabilitation and present
fitness to perform the duties of pawnbroker or precious metal dealer under M.S. §
364.03(3), as it may be amended from time to time, or a person not of good moral
character and repute;
(D) Anyone who holds a liquor license;
(E) Anyone who, in the sole judgment of the City Council, is not the real party in
interest or beneficial owner of the business operated under the license;
(F) Anyone who has had a pawnbroker license revoked anywhere within five years
of the license application; or
(G) In the case of an individual, anyone who is not a resident of the county; in the
case of a partnership, the managing partner is not a resident of the county; or in the case
of a corporation, the manager is not a resident of the county.
4
• (1) The required residency must be established by the time the license is issued
and maintained throughout the existence of the license and all renewals.
(2) The time for establishing residency may, for good cause, be extended by the
Council.
('89 Code, § 6.41) (Ord. 95 -162, passed 2- 27 -96)
§ 120.17 INELIGIBLE PLACES.
The following places are not eligible for licensure under this chapter.
(A) No license shall be issued for any place or any business ineligible for a license
under city ordinance or state law.
(B) No license shall be issued for a place or business, which holds a liquor license.
(C) No license shall be granted for operation on any premises on which taxes,
assessments or other financial claims of the city or other government agency are
delinquent and unpaid.
('89 Code, § 6.41) (Ord. 95 -162, passed 2- 27 -96)
0 § 120.18 LICENSE APPLICATION.
(A) In addition to any other information required by any other government agency,
every application for a license under this chapter shall be made on a form supplied by the
city, shall be verified and shall contain not only the following information, but other
information as the city may reasonably require:
(1) Representations as to the applicant's character;
(2) The business in connection with which the proposed license will operate;
(3) Whether the applicant is the owner and operator of the business and if not,
who is;
(4) Whether the applicant has ever used or been known by a name other than his
or her true name, and if so, what was the name, or names, and information concerning
dates and places where used;
(5) Whether the applicant is married or single. If married, the true name, place
and date of birth and street address of the applicant's spouse;
(6) Street address at which the applicant and spouse have lived during the
preceding ten years;
• (7) Kind, name and location of every business or occupation the applicant has
been engaged in during the preceding ten years;
5
(8) Names and addresses of the applicant's and spouse's employers and partners,
if any, for the preceding ten years;
(9) Whether the applicant or spouse has ever been convicted of a violation of any
state law or local ordinance, other than a non - alcohol related traffic offense. If so, the
applicant shall furnish information as to the time, place and offense for which convictions
were had;
(10) Whether the applicant or spouse has ever been engaged as an employee or
in operating a pawnshop or other business of a similar nature. If so, the applicant shall
furnish information as to the time, place and length of time;
(11) Whether the applicant has ever been in military service. If so, the applicant
shall, upon request, document all discharges;
(12) If the applicant is a partnership, the name and address of all partners and all
information concerning each partner as is required of a single applicant as above. A
managing partner, or partners, shall be designated. The interest of each partner or
partners in the business shall be submitted with the application and, if the partnership is
required to file a certificate as to trade name under the provisions of M.S. Chapter 333, as
it may be amended from time to time, a copy of the certificate certified by the district
court administrator shall be attached to the application;
(13) If the applicant is a corporation or other organization, the applicant shall
submit the following:
• (a) Name, and if incorporated, the state of incorporation;
(b) A true copy of the certificate of incorporation, articles of incorporation or
association agreements;
(c) The name of the manager or proprietor or other agent in charge of, or to
be in charge of, the premises to be licensed, giving all information about that person as is
required in the case of a single applicant;
(d) A list of all persons who, singly or together with their spouses, own or
control an interest in the corporation or association in excess of 5% or who are officers of
the corporation or association, together with their addresses and all information as is
required for a single applicant.
(14) A list of responsible persons, including the names of owners, managers and
assistant managers, who may be notified or contacted by state or city employees in case
of emergency;
(15) Whether the applicant holds a current pawnbroker license from any other
governmental unit and whether the applicant is licensed under M.S. §§ 471.924 or
325F.731 - 325.744, as it may be amended from time to time;
(16) Whether the applicant has ever been denied a pawnbroker license from any
• other governmental unit;
E
(n(6) �,
(17) The location of the business premises;
• (18) The legal description of the premises to be licensed, including a map of the
area for which the license is sought, showing dimensions, location of building, street
access and parking facilities;
(19) Whether all real estate and personal property taxes that are due and payable
for the premises to be licensed have been paid, and if not paid, the years and amounts that
are unpaid; and
(20) Other information that the city deems appropriate.
(B) Any pawnshop conducting business within the city limits on January 2, 1996
shall not be required to submit the application otherwise mandated by this section. In all
other respects, any such pawnshop shall comply with this chapter.
(C) No person shall make a false statement or material omission in a license
application or investigation. Any false statement or material omission shall be grounds
for denial, suspension or revocation of a license.
(D) Each licensee shall have the continuing duty to properly notify the City
Administrator of any change in the information or facts required to be furnished on the
application for a license. This duty shall continue throughout the period of the license.
Failure to comply with this section shall constitute cause for revocation or suspension of
the license.
• (E) The application for the renewal of any existing license shall be made at least 90
days prior to the date of the expiration of the license and shall be made on the form,
which the Council provides.
('89 Code, § 6.41) (Ord. 95 -162, passed 2- 27 -96) Penalty, see 6 10.99
§ 120.19 FEES.
(A) Every applicant for a license shall pay to the city the investigation fee specified
by the city. This fee shall be for the purpose of conducting a preliminary background and
financial investigation of the applicant. If the Council believes that the public interest so
warrants, it may require a similar investigation at the time of renewal of any license. If
an investigation is ordered by the City Council at the time of license renewal, the
applicant shall pay the fee specified above, except that the fee shall be the smaller of the
stated dollar amount or the actual cost of the investigation. There shall be no refund of
the investigation fee for any person after the investigation has begun.
(B) The annual fees for a pawnshop license shall be established by the City Council
by ordinance.
7
(.Ocb�
(C) Each license shall expire on December 31 of the year in which it is issued. Fees
• for licenses issued during the license year shall be pro -rated according to the number of
months remaining in the year. For this purpose an unexpired fraction of a month shall be
counted as a whole month, which shall have elapsed.
(D) No refund of any fee shall be made except as authorized by the City Council.
('89 Code, § 6.41) (Ord. 95 -162, passed 2- 27 -96)
§ 120.20 BOND REQUIRED.
At the time of filing an application for a license, the applicant shall file a bond in the
amount of $5,000 with the City Administrator. The City Attorney thereon, must approve
the bond, with a duly licensed surety company as surety as to form. The bond must be
conditioned that the licensee shall observe the ordinances of the city, in relation to the
business of pawnbroker, and that the ceensee will . .,t fer and deliver- to an pefseft
le ..n entitled there r4iele hi 1. h • to 4h fth
..g....� ... o- a. i���iirrczcS-�idnrorrrixv�r"mv'° " w' "`mv- i'r'�nvmc�i�Sw58ioi�vnrav
licensee e........ ibfeker or in lieu theree f the I:eensee shall pay the ..e.... ,. per-sons th
reasonable value 4hpfee) all laws in relation to pawnbrokers, and will conduct business in
conformity thereto, and that the principal will account for and deliver to any person
legally entitled any goods which have come into the principal's hand through the
principal's business as a pawnbroker, or in lieu thereof, will pay the reasonable value in
the money to the person. The bond shall contain a provision that no bond may be
cancelled except upon thirty (30) days written notice to the city, which shall be served
upon the licensing authority.
§ 120.21 LICENSE ISSUANCE.
(A) No license shall be issued until the Police Department has conducted an
investigation of the representations set forth in the application, the applicant's moral
character and the applicant's financial status. All applicants must cooperate with this
investigation.
(B) No license shall be issued until the Council has held a public hearing in the
manner as the Council may direct. At the public hearing all persons interested in the
matter shall be heard, and the hearing may be adjourned from time to time. No hearing
shall be required for a renewal of a license, but the Council may, in its sole discretion,
hold a hearing.
(C) After investigation and hearing, the Council shall, in its discretion, grant or
deny the application.
0
91
• (D) Each license shall be issued only to the applicant and for the premises described
in the application. No license may be transferred to another person or place without
application to the Council in the same manner as an application for a new license.
Transfer of 25% or more of the stock of a corporation or of a controlling interest thereof,
whichever is less, shall be deemed a transfer of the license of a corporate licensee. If the
licensee is a corporation, which is wholly owned by another corporation, the same
provisions about the transfer of a stock or a controlling interest shall apply to that parent
corporation, any second parent corporation, which wholly owns the parent corporation,
and all other similarly situated parent corporations up through the chain of ownership.
Transfer of this amount of stock without prior Council approval is a ground for
revocation or suspension of the license. In addition, each day the licensee operates under
the license after a transfer has taken place without obtaining Council approval shall be a
separate violation of this chapter.
(E) Any application for a license may be considered by the City Council at the same
time an applicant is requesting any land use approvals needed for the site, including site
plan review, rezoning or an amendment to the Comprehensive Guide Plan. Final
approval of a license shall not be granted until the City Council has given at least
preliminary approval to any necessary land use request. If an application is granted for a
location where a building is under construction or not ready for occupancy, the license
shall not be delivered to the licensee until a certificate of occupancy has been issued for
the licensed premises.
• (F) In the case of the death of a licensee, the personal representative of a licensee
may continue operation of the business for not more than 180 days after the licensee's
death.
('89 Code, § 6.41) (Ord. 95 -162, passed 2- 27 -96) Penalty, see § 10.99
§ 120.22 LICENSE SUSPENSION OR REVOCATION. Any license under this
chapter may be denied, suspended or revoked for one or more of the following reasons:
(A) Delinquent taxes. The City Council may suspend or revoke a license issued
under this chapter for operation on any premises on which real estate taxes, assessments
or other financial claims of the city or of the state are due, delinquent or unpaid. If an
action has been commenced pursuant to the provisions of M.S. Chapter 278, as it may be
amended from time to time, questioning the amount of validity of taxes, the Council may
on application by the licensee waive strict compliance with the provision; no waiver may
be granted, however, for taxes, or any portion thereof, which remain unpaid for a period
exceeding one year after becoming due unless the one -year period is extended through no
fault of the licensee.
(B) Violations. The Council may either suspend for up to 60 days or revoke any
license or impose a civil fine not to exceed $2,000 for each violation upon a finding that
the licensee or an agent or employee of the licensee has failed to comply with any
applicable statute, regulation or ordinance. No suspension or revocation shall take effect
• until the licensee has been afforded an opportunity for a hearing pursuant to M.S. §§
(i
(0N) �--
14.57 - 14.69, as it may be amended from time to time. Any conviction by the licensee
• for theft, burglary, robbery, receiving stolen property or any other crime or violation
involving stolen property shall result in the immediate suspension pending a hearing on
revocation of any license issued hereunder.
(C) The proposed use does not comply with the applicable zoning code.
(D) The proposed use does not comply with any health, building, building
maintenance or other provisions of this Code of Ordinances or state law.
(E) The applicant or licensee has failed to comply with one or more provisions of
this chapter.
(F) The applicant is not a citizen of the United States or a resident alien, or upon
whom it is impractical or impossible to conduct a background or financial
investigation due to the unavailability of information.
(G) Fraud, misrepresentation or bribery in securing or renewing a license.
(H) Fraud, misrepresentation or false statements made in the application and
investigation for, or in the course of, the applicants business.
(I) Violation within the preceding five (5) years, or any law relating to the theft,
damage or trespass to property, sale of controlled substances, or operation of a
business.
• (J) The owner of the premises licensed or to be licensed would not qualify for a
license under the terms of this chapter.
RULES AND REGULATIONS
§ 120.35 LICENSEE RESPONSIBILITY; CONDUCT.
Every licensee is responsible for the conduct of his or her place of business and the
conditions of order in it. The act of any employee of the licensed premises is deemed the
act of the licensee as well, and the licensee shall be liable for all penalties provided by
this chapter equally with the employee, except criminal penalties.
('89 Code, § 6.41) (Ord. 95 -162, passed 2- 27 -96)
§ 120.36 LICENSE DISPLAY REQUIRED.
Every license must be posted in a conspicuous place in the premises for which it is
used.
0 ('89 Code, § 6.41) (Ord. 95 -162, passed 2- 27 -96)
10
Vo(o
• § 120.37 RECORDS REQUIRED.
(a) At the time of any reportable transaction other than renewals, extensions,
redemptions or confiscations, every licensee must immediately record in English
the following information by using ink or other indelible medium on forms or in a
computerized record approved by the police department:
(1) A complete and accurate description of each item including, but not
limited to, any trademark, identification number, serial number, model
number, brand name, or other identifying mark on such an item.
(2) The purchase price, amount of money loaned upon or pledged
therefor.
(3) The maturity date of the transaction and the amount due, including
monthly and annual interest rates and all pawn fees and charges.
(4) Date, time and place the item of property was received by the licensee
and the unique alpha and/or numeric transaction identifier that
distinguishes it from all other transactions in the licensee's records.
(5) Full name, current residence address, current residence telephone
number, date of birth and accurate description of the person from whom
the item of property was received, including: sex, height, weight, race,
color of eyes and color of hair.
(6) The identification number and state of issue from any of the
following forms of identification of the seller:
a. Current valid Minnesota driver's license.
b. Current valid Minnesota identification card.
c. Current valid photo identification card issued by another state
or province of Canada.
(7) The signature of the person identified in the transaction.
(8) Effective sixty (60) days from the date of notification by the police
department of acceptable video standards, the licensee must also take a
color photograph or color video recording of:
a. Each customer involved in a billable transaction.
b. Every item pawned or sold that does not have a unique serial or
identification number permanently engraved or affixed.
If a photograph is taken, it must be at least two inches in length by two
inches in width and must be maintained in such a manner that the
photograph can be readily matched and correlated with all other records of
the transaction to which they relate. Such photographs must be available to
the chief of police or the chiefs designee, upon request. The major portion
• of the photograph must include an identifiable facial image of the person
II
(o (b)(to
who pawned or sold the item. Items photographed must be accurately
• depicted. The licensee must inform the person that he or she is being
photographed by displaying a sign of sufficient size in a conspicuous place
on the premises. If a video photograph is taken, the video camera must
focus on the person pawning or selling the item so as to include an
identifiable image of that person's face. Items photographed by video must
be accurately depicted. Video photographs must be electronically
referenced by time and date so they can be readily matched and correlated
with all other records of the transaction to which they relate. The licensee
must inform the person that he or she is being videotaped by displaying a
sign of sufficient size in a conspicuous place on the premises. The licensee
must keep the exposed videotape for three (3) months.
(9) Digitized photographs. Effective sixty (60) days from the date of
notification by the police department, licensees must fulfill the color
photograph requirements in section 120.37(8) by submitting them as
digital images, in a format specified by the issuing authority, electronically
cross referenced to the reportable transaction they are associated with.
Notwithstanding the digital images may be captured from required video
recordings, this provision does not alter or amend the requirements in
subsection (8).
(10) Renewals, extensions, redemptions and confiscations. For renewals,
extensions, redemptions and confiscations, the licensee shall provide the
• original transaction identifier, the date of the current transaction and the
type of transaction.
§ 120.38 INSPECTION OF RECORDS.
The licensee shall make available the information required above at all reasonable
times for inspection by law enforcement officials. The information required in § 120.37
above shall be retained by the pawnbroker for at least four years.
('89 Code, § 6.41) (Ord. 95 -162, passed 2- 27 -96)
§ 120.39 PROPERTY RECEIVED; RECEIPTS.
Each licensee shall issue a receipt as follows:
(1) Every licensee must provide a receipt to the party identified in every
reportable transaction and must maintain a duplicate of that receipt for
three (3) years. The receipt must include at least the following
• information:
12
(c,W)k-,
§ 120.40 DAILY REPORTS TO POLICE DEPARTMENT.
Daily reports to Hutchinson Police Department containing the following
information are hereby required:
•
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(,0(6) (P
a. The name, address and telephone number of the licensed
•
business.
b. The date and time the item was received by the licensee.
c. Whether the item was pawned or sold or the nature of the
transaction.
d. An accurate description of each item received including, but
not limited to, any trademark, identification number, serial number,
model number, brand name or other identifying mark on such an
item.
e. The signature or unique identifier of the licensee or employee
who conducted the transaction.
f. The amount advanced or paid.
g. The monthly and annual interest rates, including all pawn fees
and charges.
h. The last regular day of business by which the item must be
redeemed by the pledger without risk that the item will be sold and
the amount necessary to redeem the pawned item on that date.
i. The full name, current residence address, current residence
telephone number and date of birth of the pledger or seller.
•
j. The identification number and state of issue from any of the
following forms of identification of the seller:
1. Current valid Minnesota driver's license; or
2. Current valid Minnesota identification card; or
3. Current valid photo drivers license or identification
card issued by another state or province of Canada.
k. Description of the pledger or seller, including approximate
height and weight, sex, race, color of eyes and color of hair.
1. The signature of the pledger or seller.
m. All printed statements as required by M.S.A. § 325J.04,
Subdivision 2 or any other applicable statutes.
§ 120.40 DAILY REPORTS TO POLICE DEPARTMENT.
Daily reports to Hutchinson Police Department containing the following
information are hereby required:
•
13
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• (1) Effective no later than sixty (60) days after the police department provides
licensees with the current version of the automated pawn system interchange file
specification, licensees must submit every reportable transaction to the police
department daily in the following manner:
a. Licensees must provide to the police department all reportable transaction
information by transferring it from their computer to the automated pawn
system via modem using the current version of the automated pawn
system interchange file specification. All required records must be
transmitted completely and accurately after the close of business each day
in accordance with standards and procedures established by the issuing
authority. Any transaction that does not meet the automated pawn system
interchange file specification must be corrected and resubmitted the next
business day. The licensee must display a sign of sufficient size, in a
conspicuous place on the premises, which informs patrons that all
transactions are reported to the police department daily.
(2) Billable transaction fees. Licensees will be charged for each billable transaction
reported to the police department.
a. If a licensee is unable to successfully transfer the required reports by
modem, the licensee must provide the police department, upon request,
• printed copies of all reportable transactions along with the video tape(s)
for that date, by noon the next business day;
is
b. If the problem is determined to be in the licensee's system and is not
corrected by the close of the first business day following the failure, the
licensee must continue to provide the required reports as detailed in
subsection 120.40 (1)(a), and shall be charged a $1.50 (reserved for future
consideration) reporting failure penalty, daily, until the error is corrected;
or
c. If the problem is determined to be outside the licensee's system, the
licensee must continue to provide the required reports in subsection
120.40 (1)(a), and resubmit all such transactions via modem when the
error is corrected.
d. If a licensee is unable to capture, digitize or transmit the photographs
required in subsection 120.37, the licensee must immediately take all
required photographs with a still camera, cross reference the photographs
to the correct transaction and make the pictures available to the police
department upon request.
14
(C06��
e. Regardless of the cause or origin of the technical problems that prevented
the licensee from uploading their reportable transactions, upon correction
of the problem, the licensee shall upload every reportable transaction from
every business day the problem had existed.
f. Subsection 120.40, and all subdivisions, notwithstanding, the police
department may, upon presentation of extenuating circumstances, delay
the implementation of the daily reporting penalty.
§ 120.41 POLICE RESTRICTIONS ON SALE OR REDEMPTION /ORDER TO
HOLD PROPERTY.
a) Investigative hold. Whenever a law enforcement official from any agency
notifies a licensee not to sell an item, the item must not be sold or removed from
the premises. The investigative hold shall be confirmed in writing by the
originating agency within seventy -two (72) hours and will remain in effect for 15
days from the date of initial notification, or until the investigative order is
cancelled, or until an order to hold/confiscate is issued, pursuant to subsection (b),
whichever comes first.
(b) Order to hold. Whenever the chief of police, or the chiefs designee, notifies
a licensee not to sell an item, the item must not be sold or removed from the
licenses premises until authorized to be released by the chief of police or the
chiefs designee. The order to hold shall expire ninety (90) days from the date it is
placed, unless the chief of police, or the chiefs designee, determines the hold is
still necessary and notifies the licensee in writing.
(c) Order to confiscate. If an item is identified as stolen or evidence in a
criminal case, the chief of police or the chiefs designee may:
(1) Physically confiscate and remove it from the shop pursuant to a
written order from the chief of police or the chiefs designee; or
(2) Place the item on hold or extend the hold as provided in subsection
(b) and leave it in the shop.
When an item is confiscated, the person doing so shall provide identification upon
request of the licensee and shall provide the licensee with the name and telephone
number of the confiscating agency and investigator and the case number related to the
confiscation.
When an order to hold /confiscate is no longer necessary, the chief of police or chiefs
designee shall so notify the licensee.
15
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§ 120.42 INSPECTION OF ITEMS.
(A) Inspection by city. The licensee shall, at all times during the term of the license,
allow the City Police Department to enter the premises where the business is located and
any other premises where items purchased or received as part of the business are stored,
for the purpose of inspecting the premises and the merchandise therein to locate items
suspected or alleged to have been stolen or otherwise improperly disposed of
(B) Inspection by claimants. Additionally, all the items coming into possession of
the licensee shall at all times be open to inspection and right of examination of any
person claiming to have been the owner thereof or claiming to have any interest therein,
when that person is accompanied by a police officer. The licensee may require, prior to
inspection, a reasonable description of the property from the party claiming ownership or
an interest in the property.
('89 Code, § 6.41) (Ord. 95 -162, passed 2- 27 -96)
§ 120.43 GAMBLING PROHIBITED.
No licensee may keep, possess or operate, or permit the keeping, possession or
• operation on the licensed premises of dice, slot machines, roulette wheels, punchboards,
blackjack tables or pinball machines which return coins or slugs, chips or tokens of any
kind, which are redeemable in merchandise or cash. No gambling equipment authorized
under M.S. §§ 349.11 - 349.61, as it may be amended from time to time, may be kept or
operated and no raffles may be conducted on the licensed premises or adjoining rooms.
The purchase of lottery tickets may take place on the licensed premises as authorized by
the director of the lottery pursuant to M.S. §§ 349A.01 - 349A.15, as it may be amended
from time to time.
('89 Code, § 6.41) (Ord. 95 -162, passed 2- 27 -96) Penalty, see & 10.99
§ 120.44 STORAGE; OVERSIZED ITEMS.
All items must be stored within the licensed premises building, except the city may
permit the licensee to designate one locked and secured warehouse building within the
city in which the licensee may store oversized items. No item may be stored in the
designated warehouse building that is not reported in the journal. The licensee shall
permit immediate inspection of the warehouse at any time during business hours by the
city, and failure to do so is a violation of this chapter. Oversized items may not be stored
in parking lots or other outside areas. All provisions regarding record keeping and
reporting shall apply to oversized items.
('89 Code, § 6.41) (Ord. 95 -162, passed 2- 27 -96) Penalty, see & 10.99
16
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• § 120.45 OFF -SITE SALES AND STORAGE.
All items accepted by a licensee at a licensed location in the city shall be for pledge or
sale through a licensed location in the city. The licensee shall be responsible for
maintaining adequate records to demonstrate ownership for the sale or pledging of items
acquired at appropriately licensed facilities located in other cities.
0
('89 Code, § 6.41) (Ord. 95 -162, passed 2- 27 -96)
§ 120.46 RESTRICTIONS ON WEAPONS.
(A) A licensee may not receive as a pledge or otherwise, or accept for consignment
or sale, any firearm as defined in § 130.01 of this code, unless the licensee also maintains
a federal firearms dealer's license.
(B) A licensee may not receive as a pledge or otherwise, or accept for consignment
or sale, any assault weapon.
(C) A licensee may not use out -of -state identification for the sale, consignment or
pawning of any firearm.
('89 Code, § 6.41) (Ord. 95 -162, passed 2- 27 -96) Penalty. see § 10.99
§ 120.47 REDEMPTION PERIOD. Any person pledging, pawning, or depositing an
item for security must have a minimum of ninety (90) days from the date of that
transaction to redeem the item before it may be forfeited and sold. During the ninety (90)
day holding period, items may not be removed from the licensed location except as
provided in 120.52 Licensees are prohibited from redeeming any item to anyone other
than the person to whom the receipt was issued or, to any person identified in writing by
the pledger at the time of the initial transaction and signed by the pledger, or with
approval of the chief of police, or chief s designee. Written authorization for release of
property to persons other than original pledger must be maintained along with the
original transaction record in accordance with 120.37.
§ 120.48 HOLDING PERIOD. Any item purchased or accepted in trade by a licensee
must not be sold or otherwise transferred for twenty -one (2 1) days from the date of the
transaction. An individual may redeem an item seventy -two (72) hours after the item was
received on deposit, excluding Sundays and legal holidays.
§ 120.49 LABEL REQUIRED. Licensees must attach a label to every item at the time
it is pawned, purchased or received in inventory from an reportable transaction.
Permanently recorded on this label must be the number or name that identifies the
transaction in the shop's records, the transaction date, the name of the item and the
description or the model and serial number of the item as reported to the police
department, whichever is applicable, and the date the item is out of pawn or can be sold,
if applicable. Labels should not be re -used.
17
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§ 120.50 PROHIBITED ACTS.
• (a) No person under the age of eighteen (18) years may pawn or sell or attempt to
pawn or sell goods with any licensee, nor may any licensee receive any goods
from a person under the age of eighteen (18) years.
(b) No licensee may receive any goods from a person of unsound mind or an
intoxicated person.
(c) No licensee by receive any goods, unless the seller presents identification in
the form of a valid driver's license, a valid State of Minnesota identification
card, or a current valid photo driver's license or identification card issued by
the state or providence of residency of the person from whom the item was
received.
(d) No licensee may receive any item of property that possesses an altered or
obliterated serial number or operation identification number or any item or
property that has had its serial number removed.
(e) No person may pawn, pledge, sell, consign, leave, or deposit any article of
property no their own; nor shall any person pawn, pledge, sell consign, leave,
or deposit the property of another, whether with permission or without; nor
shall any person pawn, pledge, sell, consign, leave, or deposit any article of
property in which another has a security interest; with any licensee.
• (f) No person seeking to pawn, pledge, sell, consign, leave, or deposit any article
of property with any licensee shall give a false or fictitious name; nor give a
false date of birth; nor give a false or out of date address of residence or
telephone number; nor present a false or altered identification, or the
identification of another; to any licensee.
§ 120.51 BUSINESS AT ONLY ONE PLACE. A license under this chapter authorized
the licensee to carry on its business only at the permanent place of business designated in
the license. However, upon written request, the chief of police, or chief's designee, may
approve an off -site locked and secured storage facility. The licensee shall permit
inspection of the facility in accordance with 120.38. All provisions of this chapter
regarding record keeping and reporting apply to the facility and its contents. Property
shall be stored in compliance with all provisions of the city code. The licensee must
either own the building in which the business is conducted, and any approved off -site
storage facility, or have a lease on the business premise that extends for more that six (6)
months.
§ 120.52 EFFECTIVE DATE.
This division shall be effective from and after the later of the following:
(1) Sixty (60) days after its adoption and second publication; or
(2) September 1, 2006
•
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Disclaimer.
• This Code of Ordinances and/or any other documents that appear on this site may not reflect the most current legislation
adopted by the Municipality. Amercan Legal Publishing Corporation provides these documents for informational purposes
only. These documents should not be relied upon as the definitive authority for local legislation. Additionally, the
formatting and pagination of the posted documents varies from the formatting and pagination of the official copy. The
official printed copy of a Code of Ordinances should be consulted prior to any action being taken.
For further information regarding the official version of any of this Code of Ordinances or other documents posted on this
site, please contact the Municipality directly or contact American Legal Publishing toll -free at 800- 445 -5588.
® 2005 American Legal Publishing Corporation
tBC4suoo0rIA8Mleoa I. corn
1.800.445.5588.
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19
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(/W N#WWV Area
Chamber of Commerce
Convention & Visitors Bureau
July 21, 2006
Mr. Gary Plotz
City Administrator
City of Hutchinson
111 Hassan Street Southeast
Hutchinson, MN 55350
Dear Mr. Plotz,
2 Main Street South
Hutchinson, MN 55350
320.587.5252
800.572.6689
Fax 320.587.4752
info @explorehutchinson.com
www.explorehurchinson.com
The 32 "d Annual Arts & Crafts Festival of the Hutchinson Area Chamber of Commerce,
Convention & Visitors Bureau will be held Friday, September 15, 10 am to 6:00 pm, and
Saturday, September 16, 9 am to 4 pm.
We have contacted Mayor Cook, the Hutchinson Police Department, the Park and Recreation
• Department and the Street Department for their assistance. If you have any questions, please call
the Chamber CVB at 587 -5252.
The Hutchinson Ambassadors also wish to reserve all concession rights in the downtown area as
well as the control of any and all food exhibitors for the Taste of Hutchinson. The Ambassadors
have an agreement with Hutchinson Downtown Association regarding the operation of the
Popcorn Wagon during the event.
Thank you for your cooperation and for all the help you've provided in the past.
AVail'111anco
President
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C
TO: Mayor & City Council
FROM: John Rodeberg, Director of Public Works
Kent Earner, City Engineer
RE: Consideration of Resolution Requesting Municipal State Aid Variance for Highway
7 Underpass Trail
DATE: August 8, 2006
As noted at previous meetings and hearings, during the design process the City of Hutchinson agreed to
pursue a variance from the State Aid standard trail radius (from 90' minimum to 70') in order to lessen the
• impact on the Heritage Center site. The Mn/DOT State Aid Engineer has indicated that it is very likely that
we would be able to acquire this variance.
Attached is the Figure D from SRF Consulting's recommendation memo dated June 16,2006. This drawing
shows the 70' radius relative to the Heritage Center's building and surrounding landscaping. We believe that
this alternative best addresses the concerns and issues that have been communicated while still providing a
functional and cost - effective trail location. The attached Resolution states as required by State Aid that the
City Council supports the request for the design variance. This Resolution is necessary for the submittal to the
State Variance Committee prior to September 1, 2006.
We recommend approving this Resolution Requesting Municipal State Aid Variance for Highway 7
Underpass Trail.
cc: Gary Plotz —City Administrator
(,(J)
•
•
9
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5376 City of Hutchinson
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• RESOLUTION RELATING TO STATE AID VARIANCE
Resolution No. 13007
S.A.P. # 133 -090 -002 (School Road Pedestrian Underpass approximately 350' west of TH 7 and School
Road NW intersection) in the City of Hutchinson, Minnesota, City Letting No. 1 /Project No. 07 -01.
WHEREAS, THIS RESOLUTION was passed this 8th day of August, 2006, by the City of
Hutchinson in McLeod County, Minnesota. The Municipal corporation shall hereinafter be called the
"City",
WiTNESSETH:
WHEREAS, the "City", has planned the construction of a 10' x 14' tunnel structure beneath TH 7
with associated 10' trail improvements and appurtenances in the City of Hutchinson, Minnesota.
WHEREAS, the "City" will be expending Federal Aid Funds and possibly expending Municipal
Street Aid Funds on these improvements; and
WHEREAS, this improvement provides for a 70' trail radius immediately adjacent to the northerly
tunnel opening that does not achieve the State Aid standard of 92' minimum trail radii; and approval of the
proposed construction as a Federal Aid and possibly Municipal State Aid Street project must therefore
require a State Aid design variance.
0 NOW, THEREFORE, IT IS HEREBY RESOLVED:
That the "City" formally requests a State Aid design variance for a 70' trail radius. By State
approval of this variance, the "City" indemnifies, saves, and holds harmless the State and its agents and
employees of and from claims, demands, actions, or causes of action arising out of or by reason of the
granting of the variance. The "City" shall further agree to defend at its sole cost and expense any action
or proceeding begun for asserting any claim of whatever character arising as a result of the granting of
the variance.
Dated this 8th day of August, 2006.
ATTEST:
City of Hutchinson, Minnesota.
Steven W. Cook - Mayor
• Gary D. Plotz - City Administrator
(.0 (d)
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TO: Mayor & City Council
FROM: John Rodeberg, Director of Public Works
Kent Exner, City Engineer
RE: Consideration of Proceeding with 2006 Street/TraillSidewalk Improvement
Projects (Letting No. 5 /Project No. 06 -05)
DATE: August 8, 2006
As previously discussed, this project includes general maintenance work (such as patching, concrete repair,
seal coating, crack sealing and other minor repairs) that is included in several small contracts, each below
$50,000. These projects are quoted individually, and the hearing is necessary for city bonding purposes. This is
the work that eventually would come out of the General Fund when the proposed phased inclusion of
maintenance funding in the Street Department budget is completed (about three more years).
A short presentation and discussion regarding this project will be held prior to opening the Public Hearing. No
assessments are proposed for these improvements, thus an Assessment Hearing will not be required.
Attached is the Resolution Accepting Bids & Awarding Contracts.
We recommend the approval of this Resolution.
cc: Gary Plotz — City Adrrunistrator
J
RESOLUTION NO. 13008
• RESOLUTION ACCEPTING BID AND AWARDING CONTRACT
LETTING NO.5
PROJECT NO. 06-05
Whereas, pursuant to an advertisement for bids for the furnishing of all labor and material for
the improvement of:
Street/Sidewalk/Trail Maintenance — maintenance of existing street, sidewalk and trail
infrastructure by crack filling, patching, sealcoating, pavement reclamation /milling,
resurfacing, concrete repairs and appurtenances, and
bids were received, opened and tabulated according to law, and the following bids were received
complying with the advertisement:
Bidder
Skim Patching
Mill Patchina
Seal Coating
Wm Mueller & Sons Inc of Hamburg MN
$98.00/Ton
$150.00/Ton
No Bid
Duininck Bros Inc of Prinsburg MN
$167.45/Ton
$167.45/Ton
No Bid
Pearson Bros Inc of Hanover MN
No Bid
No Bid
$1.18/Sq Yd
Astech Inc of St Cloud MN
No Bid
No Bid
$1.34/Sq Yd
and whereas, it appears that W m Meuller & Sons Inc of Hamburg MN is the lowest responsible bidder
for Skim & Mill Patching and Pearson Bros Inc of Hanover MN is the lowest responsible bidderfor Seal
Coating.
• NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
HUTCHINSON, MINNESOTA:
1. The mayor and city administrator are hereby authorized and directed to enter into a contract
with Wrn Mueller & Sons Inc in the amount not to exceed $30,000.00 ($98.00/Ton for Skim Patching
and $150.00/Ton for Mill Patching) and with Pearson Bros Inc in the amount not to exceed $50,000.00
($1.18 /Sq Yd for Seal Coating) in the name of the City of Hutchinson, for the improvement contained
herein, according to the plans and specifications therefor approved by the City Council and on file in the
office of the Director of Engineering.
2. The Director of Engineering is hereby authorized and directed to return forthwith to all
bidders the deposits made with their bids, except that the deposits of the successful bidder and the
next lowest bidder shall be retained until a contract has been signed, and the deposit of the successful
bidder shall be retained until satisfactory completion of the contract.
Adopted by the Hutchinson City Council this 8th day of August 2006.
Mayor
City Administrator
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2006 NEIGHBO..HOOD MAINT.
City of Hutchinson
Crack seal Project
Year 2006
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Liquor Hutch Update
August 8t" 2006
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Purpose of Municipal Liquor
■ Promote moderation and control in the sale of a
product that has numerous societal impacts
■ Contribute to the financial well -being of the
community through the annual transfer of
profits to the City of Hutchinson General Fund —
over $2.8 Million in the last 12 years!!
■ The Liquor Enterprise Fund is totally self -
supporting with NO TAX DOLLARS USED for the
Liquor Operations
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Construction Costs
January 2005 Project Estimate
$1,932,484
August 2006 Actual Project Costs
$1,881,656
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2006
les Increases
January 2006
up
11.7%
$27,879
February 2006
up
19.9%
$50,327
March 2006
up
12.1%
$34,119
April 2006
up
8.7%
$26,941
May 2006
up
13.8%
$46,066
June 2006
up
16.9%
$63,780
July 2006
up
6.7%
$26,046
Year to Date up 12.7% $2751,158
0
•
zuub cross Prom increases
January 2006
February 2006
March 2006
April
2006
May
2006
June
2006
July
2006
up 11.0%
up 19.8%
up 13.0%
up 6.3%
up 18.3%
up 20.3%
up 13.2%
$ 6,153
$11,928
$ 8,843
$ 4,914
$13,627
$16,861
$10,975
Year to Date up 14.7% $73,301
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Revenue
06 Adopted audget
" "Conservative /Worst Case Scenario" Projections
Expenses
Labor
Supplies, Repairs, Maint
Consulting
Services and Misc
Debt Service
Cost of Goods
$432,426
$ 12,850
$ 6,000
$113,650
$ 91,000
$3,088,010
Net Profit including depreciation
Transfers to General Fund
$3,998,828
$3,743,936
$254,892
$321,500
Note: Accumulated liquor profits to be used for 3 years to meet transfer
obligation while sales increased to a level that would support debt service
and transfer.
u
40
IF
.• •
Revenue
i Projected -Budget
Based on a 10% Sales Increase
Expenses
Labor
Supplies, Repairs, Maint
Consulting
Services and Misc
Debt Service
Cost of Goods
$
432,426
$
12,850
$
6,000
$
113,650
$
91,000
$3,311,000
Net Profit including depreciation
Transfers to General Fund
$4,300,000
$3,966,926
$ 333,074
$ 321,500
Note: Debt Service and Transfer should be supported by sales in
the first year! I
11
IF
0
Future
• New facility provides space for growth for
many years to come ensuring continued
contributions to the General Fund
• Immediate issues to complete include
increased lighting and aisle signage
• Planning an In -store Customer Survey to be
conducted this fall
• Planning a comprehensive review of
Marketing /Advertising strategy to be
completed by November 1St.
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CITY OF HUTCHINSON
MEMO
Finance Department
August 3, 2006
TO: MAYOR 6 CITY COUNCIL
FROM: KEN MERRILL, FINANCE DIRECTOR
SUBJECT: 2006 BONDING
The revised documents calling for the sale of the 3 bonds to be
issued by the City for 2006 are enclosed. Pre -Sale reports for the
2006 Improvement Bonds, 2006 GO Water Bonds, and 2006 GO Sewer
Revenue Bonds were prepared and will be reviewed by our Ehlers
Financial Consultant Tuesday. As you make dollar comparison from
earlier reports you will notice we have reduced the bond amount for
the GO Sewer Revenue Bonds.
The resolutions requested to be approved by the City Council set
the dollar amount of the bonds, the date bids will be opened and
awarded by the City.
H: \DOC \City council memo 3.doc
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City of Hutchinson, Minnesota
Pre -Sale Report
August 8, 2006
Proposed Issue: $3,230,000 General Obligation Improvement Bonds, Series 2006A
Purpose: The bonds will finance the City's 2006 public improvement projects, including
Highway 7 reconstruction; Denver Avenue; street, sidewalk, and trail maintenance;
trail improvements; and the 2006 pavement rehabilitation projects.
Term: The bonds will have a term of 15 years.
Funding Sources: The bonds will be repaid with special assessments and tax levy. Special
assessments are to be levied for 52% of the project costs. The remaining $1,565,000
of the bonds will be supported with the tax levy. The Bonds will be secured with a
general obligation pledge from the City of Hutchinson.
Discussion Items: The bonds have been structured consistent with the direction Council provided at
their June 13, 2006 meeting. The term is 15 years, and the principal repayment is
structured to achieve level annual debt payments on future bonds by 2010. The
• annual debt levy is scheduled to increase 5% per year.
Schedule:
City Council Pre -Sale Review: August 8, 2006
Distribute Official Statement: Week of August 14
Rating Agency Interview Week of August 14
Bond Sale: August 22, 2006
Awarded at regular City Council meeting.
Estimated Closing Date: Week of September 18
Ehlers Contacts:
Financial Advisors: Steve Apfelbacher (651) 697 -8510
Jessica Cook (651) 697 -8546
Bond Analysts: Diana Lockard (651) 697 -8534
Debbie Holmes (651) 697 -8536
Bond Sale Coordinator: Connie Kuck (651) 697 -8527
Attachments: Resolution authorizing Ehlers to proceed with bond sale
Proposed Debt Service Schedule and Assessments
Chart Showing Future Debt and Target Levy
• Bond Buyer Index Graph on Interest Rates
The Official Statement for this financing will be mailed to the Council Members at their home address for review
prior to the sale date
1 (G)
• FREERS
ASSOCIATES INC
Resolution No.
Council Member introduced the following resolution and moved its adoption:
Resolution Providing for the Sale of
13,230,000 General Obligation Improvement Bonds, Series 2006A
A. WHEREAS, the City Council of the City of Hutchinson, Minnesota, has heretofore determined that it
is necessary and expedient to issue the City's $3,230,000 General Obligation Improvement Bonds,
Series 2006A (the "Bonds "), to finance certain public improvements; and;
B. WHEREAS, the City has retained Ehlers & Associates, Inc., in Roseville, Minnesota ( "Ehlers"), as its
independent financial advisor for the Bonds and is therefore authorized to solicit proposals in
accordance with Minnesota Statutes, Section 475.60, Subdivision 2(9);
NOW, THEREFORE, BE IT RESOLVED by the City Council of Hutchinson, Minnesota, as follows:
1. Authorization: Findings. The City Council hereby authorizes Ehlers to solicit proposals for the sale
of the Bonds.
• 2. Meeting: Proposal Opening. The City Council shall meet at City Hall on August 22, 2006, for the
purpose of considering sealed proposals for and awarding the sale of the Bonds.
3. Official Statement. In connection with said sale, the officers or employees of the City are hereby
authorized to cooperate with Ehlers and participate in the preparation of an official statement for the
Bonds and to execute and deliver it on behalf of the City upon its completion.
0
The motion for the adoption of the foregoing resolution was duly seconded by Council Member
and, after full discussion thereof and upon a vote being taken thereon, the
following Council Members voted in favor thereof:
and the following voted against the same:
Whereupon said resolution was declared duly passed and adopted.
Dated this day of
Prepared by Ehlers & Associates, Inc.
City Clerk
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City DI Hutchinson, MN
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M,3O1
tet Pri•iPN Pyn9
2/12007
TO SOVme
3.258.304
A. Colyon
Gat E•4 E•tlmaeM
I" Ultleiwi0ela� (1.100%)
35.530
Tic
4.8976%
Co dluualm
28,000
MC
Eaben9 Boi«
Depu to Pr*d Coimhvr500 Fv
3.190.533
Y«r
flab rMlelp•I Rab Inbnat
Rand'. Pmaa9
4241
R« "
Only
Tdm flees
3,258,304
1 i
0 1 EHLERS
1
2
3 4 5 6
7
8
9
10
11 12
13 14 15 16 17 18
mw.
1.492666
91Y1008
1.16.186
Tebl
Pr•p••N
L•vy
E•1
Gat E•4 E•tlmaeM
L•vy
CoNaol
Paym 1 40
Nat
Pal
A•e•s•1«nl
N•wD
Eaben9 Boi«
8•l1« SaM• FO TOW T.'A O4.11
Y«r
Y«r
flab rMlelp•I Rab Inbnat
Pal
H.00%
R« "
Only
L•vy 2007
2006 200! MN L•vy Levy' Un
2005
2006
9.52008
12/312(216
Dab
-
_
h" W
mw.
1.492666
91Y1008
1.16.186
_
1.49 ;868
1.492,666
10012(225
21221
207
12/312007
85,000
3.75%
127,513
212.513
223,136
(227,9&11
(4,817)
1,580,661
12/120"
331612
4.550%
4,888
1,58001
1,580,661
(0)
2007
2008
12/112008
165,000
395%
138,931
321,934
338.030
(219,642)
116,369
1,527,528
311M07
-
-
1.615.915
1.M9,M4
(13,779)
NOB
2008
12/112009
110,000
400%
131,080
241,080
253.134
1211,2961
41,636
1,524(268
180,000
IN.000
1,726104
1,742,679
(16,575)
N"
2010
12/112010
70,000
405%
127,400
197.483
207,336
(202955)
4,381
1,528,294
1M,O00
160.000
MO00
1,817.875
1,826813
(12,138)
2010
2011
12/312011
70,000
4.10%
124.610
194810
201,341
(194.811)
9,120
1.513.137
1MO00
MOM
125,000
385,0"
1,"1.868
1,921.3"
(13,438)
2011
2012
121112012
135.000
415%
120.308
255.300
Mon
(256815)
11258
1,420.253
145,"0
140.000
125,000
570,000
2,001,508
2,017,388
(15,659)
2012
2013
12!112013
165,000
4.30%
113,890
278,880
292835
(245,423)
47.411
1,157.859
155000
180.000
MOM
88.0"
Zan.=
2,118237
(47,967)
M13
2014
lMlM14
125.000
44016
107,593
232500
202,222
(234.031)
10.191
1,136786
170,000
1 ",0"
160,000
970,00 -
2118,979
2.224,149
(105,170)
M14
M15
12//12015
110,000
445%
102,395
212395
223,015
(222640)
375
1,064,388
170,000
185.000
190.000
1,135,000
2219,741
2335,356
(116,615)
2015
2018
12/112016
350,000
4.50%
82073
202073
484178
(211,246)
252628
669,300
1761100
MOM
IN."
12 ,(210
2217,228
2452124
2018
2017
12/112017
630.000
4.55%
6sW5
6N.W5
734868
-
7!1.858
170,000
165000
160,000
1,455,000
2100658
2.574.730
(381.872)
2017
2018
12/112018
5110,000
4.60%
"'am
544. "3
571,234
-
571.234
-
170,000
185.000
160.000
1615,000
2186234
2574.M
(388.498)
2018
2019
12/312019
386000
4.65%
24,018
389.048
406.499
-
400,499
-
170,000
185.000
MOM
1,775.000
2183499
2574.M
(381,232)
2019
2020
12/112020
1",000
410%
10.155
240,155
252181
-
- 252.183
-
170.000
1650"
160.000
1,935,000
2187,183
2.574.730
(387.507)
2020
2021
12/112021
1 130,000
4.75%
2375
102,375
107.494
-
107,481
-
170,0"
16'.50"
186"0
2,045,000
2202494
2374,730
(372,235)
_
iN,"0
185.0"
160.0"
22650"
2255.0"
2674.730
(319.730)
_
185.000
160.000
2245.000
2245.000
2574730
(329,730)
_
_
1 60,000
2.240.0210
- _ -
2.240.000
2.574.730314.30)
32300"
1334320
4561329
4,792545
(220610)
2.565.897
2240.000
2.240.000
2240.000
50.967.881
• tieNmNW ruttN• a61 Yttlua« E•L BarN• 2"7, 2"6 a x006, «wN.• MM I«U•d 2010 tlr0uph 26+e pwt
•4101201). eah•dWd dab/ Snbe 2010 tlna49h 20fe I•hlml• b ••Bmabd Nr•14•01 N epP xknM y $14W0" par
y P•rb•n•.
" TarW L•vy a••um• a60%I«1••« •a•h Y«r 4 MW M 2006 b 10 yan e1.11 Mwl.
N VAFneota9MMilem\N08 DeE6Geememanlrlbh6aw7 7202IX18
CpbhY0 "Fun6 Dmv eah•N•
Dab
Pr14wIpM
bb
h" W
mw.
91Y1008
1.16.186
1,1m.180
10012(225
33.139
460%
e,381
33.500
11/12008
330.395
4.50%
6.115
33.500
12/120"
331612
4.550%
4,888
336,500
1/1207
312.222
4.50%
3,656
336.378
2/12007
-
2,419
311M07
-
2426
4/12007
851,184
2,437
85.496
3,182229
26,302
3,1 ",533
Prepred M fTbn a Aa«tleNe. 11c
• tieNmNW ruttN• a61 Yttlua« E•L BarN• 2"7, 2"6 a x006, «wN.• MM I«U•d 2010 tlr0uph 26+e pwt
•4101201). eah•dWd dab/ Snbe 2010 tlna49h 20fe I•hlml• b ••Bmabd Nr•14•01 N epP xknM y $14W0" par
y P•rb•n•.
" TarW L•vy a••um• a60%I«1••« •a•h Y«r 4 MW M 2006 b 10 yan e1.11 Mwl.
N VAFneota9MMilem\N08 DeE6Geememanlrlbh6aw7 7202IX18
1 1
• Pr 6
City of Hutchinson, MN
Special Assessments for Proposed G.O. Bonds Series 2006A
Assessment Revenue, Assessment Revenue Assessment Revenue
2008 Projects
Applebees
College
and Fart Development
Assessment Amt
1,399,751
Assessment Amt'
32,000
Assessment Amt
233,000
Rate
5.70%
Rate
6.70%
Accrued Interest
88,405
Start Year (Collection)
2007
Start Year (Collection)
2004
Assessment Amt
299,405
Term
10
Term
5
Rate
5.70%
Calculation Method
Equal Prin
CakWatlon
Method
Equal Prin
Start Year (Collection)
2004
Tenn
5
Calculation Method
Equal Pnn
1 2
3
4
5
6
7 8
9
10
Total
Total
Total
Total
Assessment
Principal Interest
Assesamt
Principal
Interest
Assessmt
Principal Interest
Assessmt
Revenue
(139,975) (79,786)
(219,781)
(6,400)
(1,824)
(8,224)
(227,985)
(139,975) (71,807)
(211,782)
(6,400)
(1,459)
(7,&59)
(219,642)
(139,975) (63,829)
(203,804)
(6,400)
(1,094)
(7,494)
(211,298)
(139,975) (55,850)
(195,825)
(6,400)
(730)
(7,130)
(202,955)
(139,975) (47,871)
(187,847)
(6,400)
(365)
(6,765)
(194,811)
(139,975) (39,893)
(179,868)
-
-
-
(59,881) (17,066)
(76,947)
(256,815)
(139,975) (31,914)
(171,889)
-
-
-
(59,881) (13,653)
(73,534)
(245,423)
(139,975) (23,936)
(163,911)
-
-
-
(59,881) (10,240)
(70,121)
(234,031)
(139,975) (15,967)
(155,932)
-
-
(59,881) (6,826)
(68,707)
(222,840)
(139,975) (7,979)
(147,954)
-
-
-
(59,881) (3,413)
(63,294)
(211,248)
(1,399,751) (438,822)
(1,638,573)
(32,000)
(5,472)
(37,472)
(299,405) (51,198)
(350,603)
rl (2,228,848)
Prepared by Ehlers & Associates, Inc
N. V. llnnsota+1utchlnsom2006 DebtWsseaementcashllow7
i
rLf..:
3,000,000
2,500,000
1,500,000
1,000,000
500,000
Projected Futue Debt Levy
with Series 2006A G.O. Improvement Bonds
Existing Debt Future Debt including Series 2006 'Target Levy
Prepared by Ehlers & Associates, Inc. 7/20/2006
2006 2007 2008 2009 2010 2011 2012 2013
2014 2015
2016
2017 2018 2019 2020
2021
Existing Debt Future Debt including Series 2006 'Target Levy
Prepared by Ehlers & Associates, Inc. 7/20/2006
BONDINDEX
Bond Buyer Index (20 Bond, 20 Years) Revenue Bond Index (25 Bond, 30 Years)
5.40% { November 2004 through July 2006
I
5.20 %
I
4
5.00%
RBI
I I I OON
4.80 % i`_ - _
L
4.80%
Oe
I. 'BBI
i
4.40% - -
i
As of July 31, 2006
4.20% Revenue Bond Index............ 5.13%
Bond Buyer Index ................. 4.55 ° /p
4.00% _-1 -,- T
• x • t~ J t 3 t > 1 3 t J 5 2 • ] • t J t z 1] 1 ] s z • x •] • t ] 1 a e a • z
F M A M J 5 O X p A N
r1/
V
•
•
City of Hutchinson, Minnesota
Pre -Sale Report
August 8, 2006
Proposed Issue: 52,240,000 General Obligation Sewer Revenue Bonds, Series 2006B
Purpose: The bonds will finance the wastewater improvements to he installed in the Highway
7 Project the South Mill Pond trunk sanitary lining, and improvements to the
aeration system.
Term: The bonds will have a term of 15 years.
Funding Sources: The bonds will be repaid with revenue from the wastewater utility (user charges and
connection fees). The Bonds will be secured with a general obligation pledge from
the City of Hutchinson. There will be a need to increase wastewater utility fees to
fund these and future improvements (please see attached memo).
Schedule:
City Council Pre -Sale Review:
Distribute Official Statement:
Rating Agency Interview
Bond Sale:
Estimated Closing Date:
Ehlers Contacts:
August 8, 2006
Week of August 14
Week of August 14
August 22, 2006
Awarded at regular City Council meeting.
Week of September 18
Financial Advisors: Steve Apfelbacher (651) 697 -8510
Jessica Cook (651) 697 -8546
Bond Analysts: Diana Lockard (651) 697 -8534
Debbie Holmes (651) 697 -8536
Bond Sale Coordinator: Connie Kuck (651) 697 -8527
Attachments: Resolution authorizing Ehlers to proceed with bond sale
Proposed Debt Service Schedule
Memo on Sewer Rates
The Official Statement for this financing will be mailed to the Council Members at their home address for review
prior to the sale date
EHLERS
9 assocures inc
n
�J
Resolution No.
Council Member introduced the following resolution and moved its adoption:
Resolution Providing for the Sale of
$2,240,000 General Obligation Sewer Revenue Bonds, Series 2006B
A. WHEREAS, the City Council of the City of Hutchinson, Minnesota, has heretofore determined that it
is necessary and expedient to issue the City's $2,240,000 General Obligation Water Revenue Bonds,
Series 2006B (the "Bonds "), to finance certain public improvements; and;
B. WHEREAS, the City has retained Ehlers & Associates, Inc., in Roseville, Minnesota ( "Ehlers "), as its
independent financial advisor for the Bonds and is therefore authorized to solicit proposals in
accordance with Minnesota Statutes, Section 475.60, Subdivision 2(9);
NOW, THEREFORE, BE IT RESOLVED by the City Council of Hutchinson, Minnesota, as follows:
1. Authorization: Findines. The City Council hereby authorizes Ehlers to solicit proposals for the sale
of the Bonds.
2. Meeting: Proposal Opening. The City Council shall meet at City Hall on August 22, 2006, for the
• purpose of considering sealed proposals for and awarding the sale of the Bonds.
3. Official Statement. In connection with said sale, the officers or employees of the City are hereby
authorized to cooperate with Ehlers and participate in the preparation of an official statement for the
Bonds and to execute and deliver it on behalf of the City upon its completion.
•
The motion for the adoption of the foregoing resolution was duly seconded by Council Member
and, after full discussion thereof and upon a vote being taken thereon, the
following Council Members voted in favor thereof:
and the following voted against the same:
Whereupon said resolution was declared duly passed and adopted.
Dated this day of
Prepared by Ehlers & Associates, Inc.
City Clerk
of (C;)
AW
Sources &lses
Sotarccs OfFunds
Farxmm/uo of Bonds ......................................................... ............................... .....................................................................................
$2,2*0»00.00
zmumfted Interest Earnings ' Construction Fund ..................................................................................................................................
mo»oum
T»to/
----_--' $2,amPoouu
Uses Of Funds
Total Underwriter's oiwxmm(1.zmno .....................................................................................
......................................................... m,W.00
un*wymumoe .'--_--.—_.—'----------_--'-----'----.'.--.—..'--..--.---'
26/000a0
Depositm"net Construction Fund ..........................................................................................
.......................................... ............. 2,205.960.14
Ehlers /l Associates, Inc.
Leaders in Public Finance
Page 1
8
Hutchinson, MN
•$2,240,000 G.O. Sewer Revenue Bonds, Series 2006
Debt Service Schedule
Date Principal Coupon Interest Total P +I Fiscal Total
10/01/2006
-
-
-
-
02/01/2007
-
-
33,238.33
33,238.33
33,238.33
08/01/2007
-
-
49,857.50
49,857.50
-
02/01/2008
110,000.00
3.950%
49,857.50
15907.50
209,715.00
08/01/2008
47,685.00
47,685.00
-
02/01/2009
115,000.00
4.000%
47,685.00
162,685.00
210,370.00
08/01/2009
-
-
45,385.00
45,385.00
-
02/01/2010
120,000.00
4.050%
45,385.00
165,385.00
210,770.00
08/01/2010
-
-
42,955.00
42,955.00
-
02/01/2011
125,000.00
4.100%
42,955.00
167,955.00
210,910.00
08/01/2011
-
-
40,392.50
40,392.50
-
02/01/2012
130,(100.00
4.250%
40,392.50
170,392.50
210,785.00
08/01/2012
-
-
37,630.00
37,630.00
-
02/01/2013
135,000.00
4.300%
37,630.00
172,630.00
210,260.00
08/01/2013
-
-
34,727.50
34,727.50
-
02/01/2014
140,000.00
4.400%
34,727.50
174,727.50
209,455.00
08/01/2014
-
-
31,647.50
31,647.50
-
02/01/2015
145,000.00
4.450%
31,647.50
176,647.50
208,295.00
08/01/2015
-
-
28,421.25
28,421.25
-
02/01/2016
150,000.00
4.500%
287421.25
178,421.25
206,842.50
08/01/2016
-
-
25,046.25
25,046.25
-
02/01/2017
•
160,000.00
4.55096
25,046.25
185,046.25
210,092.50
08/01/2017
-
-
21,40625
21,406.25
-
02/01/2018
165,000.00
4.600%
21,406.25
186,406.25
207,812.50
08/01/2018
-
-
17,611.25
17,611.25
-
02/01/2019
175,000.00
4.650%
17,611.25
1922611.25
210,222.50
08/01/2019
-
-
13,542.50
13,542.50
-
02/01/2020
180,000.00
4.700%
132542.50
1932542.50
207,085.00
08/01/2020
-
-
9,312.50
9,312.50
-
02/01/2021
190,000.00
4.750%
9,312.50
199,312.50
208,625.00
08/01/2021
-
-
4,800.00
4,800.00
-
02/01/2022
200,000.00
4.800%
4,800.00
204,800.00
209,600.00
Total
$2,240,000.00
-
$934,078.33
$3,174,078.33
-
Yield Statistics
BondYear Dollars ........................................................................................................................................................
...............................
$20,411.67
Averagelife................................
................................................................................
............................................................................
9.112 Years
AverageCoupon ..............................................................................................................._.........................................
...............................
4.5761982%
NetInterest Cost ( NIC) ............................
...........................................................................
_........................................................................
4.7078876%
TrueInterest Cost (TIC) .........
....................................................................................
...... -...........................................................................
4.7311300%
BondYield for Arbitrage Purposes
....................................................................................................................................
...............................
4.5614186%
AllInclusive Cost ( AIC) .................................................................................................................................................
...............................
4.8981098%
IRS Farm 8058
NetInterest Cost ........................................................................................................................................................
...............................
4.5761982%
WeightedAverage Maturity ........
... ...............................................................................
..........._......................................................................
9.112 Years
Sei Ofil29P.fM 4051nr:r / JNti/L/T/R/Cb'L / 8 121Z" /
I #XM
• Ehlers & Associates, Inc.
Leaders in Public Finance Pape 2
(\ to-)
0
•
11
EHLERS
6 ASSOCIATES INC
OTo:
Ken Merrill, Finance Director
9M
WSubject:
From: Steve Apfelbacher and Jessica Cook
Wastewater Rate Projections
Date: July 20, 2006
MM
You have requested that Ehlers & Associates analyze the impact of planned
improvements on the sewer rates for the City's wastewater utility. Ehlers' review is
based on historical operations, debt service, and future improvements to the system
including building expansion, new lift station pumps, improvements to be undertaken in
conjunction with road reconstruction projects, and other improvements in the five -year
Capital Improvement Plan.
Assumptions
✓ Historically, the City has collected enough revenue to fully fund depreciation. It
is assumed that funding annual depreciation is the long -term financial goal for the
wastewater utility.
✓ Operating expenses will increase 5% per year. In addition operating expenses
will increase $150,000 by 2009 to operate the expanded treatment plant.
✓ Connection fees increase 5% per year.
✓ The City anticipates expanding the sewer treatment plant in 2007. The expansion
is expected to cost $11412 million and will be financed with a combination of
grants and a low- interest loan from the Public Finance Authority of the State of
Minnesota. Donahue & Associates, the engineering firm designing the expansion,
will be undertaking a rate study to determine the impact of the expansion on
future sewer rates. Our analysis assumes that the City will finance an $11 million
treatment plant with sewer revenue bonds. p
3060 Centre Pointe Drive (651) 697 -8546 Fez: (651) 697 -8555
Rouville, MN 55113 -1105 jwok(aehlers- ine.wm
http:lt w .eWen- im.com
q(a)
0
•
•
Conclusions
Based on the cashflow projection attached as Exhibit A, we conclude that the following
sewer revenue increases will be necessary to operate the system with a positive financial
cashflow.
Year
2007
2008
2009 and beyond
Annual
300/6
20%
4 %per year
Increasein
Revenue
If the City obtains grant funds or a low- interest loan from the Public Finance Authority, it
will not need to raise as much revenue. In addition, it is our understanding that Donahue
and Associates is conducting a rate study that includes allocating costs differently
between industrial and residential users, thereby potentially reducing the impact to
residents.
Please note that we have evaluated the necessary increases in wastewater revenue. As
mentioned above, actual rate increases will depend on how the revenue increases are
allocated between the different types of water customers.
3060 Centre Pointe Drive
Roseville, MN 55113 -1105
- — - __ - f
(651) 697 -8546 Fu: (651) 697-8555
jcwk@ehlers-inc.com
http: / /www.chle¢ inc.com
9((-')'
NOTES: 1. G.pibl Mn1.0..1n.r6. M100184 CIP, Plea i2M^OOOP. M2006- M106M$MODOI^ MM11
2 B b 4.6um.d Rat Sa 6.aa bubn.r8 p11r14 X111 M M1P.9.M M 3067 w66mro.6 MM11 62606 6984..
S N I. 114.IIIa6 6163 9P6r11Rr.9 pp.b w111 Mm.w {846.000 P.r yur M 20011 .86rir6�n.rV pbM I..�.M.L
L BplMlq In 200{, MvwMarlt M.en1. 14 6010 M Mb.wt V.YrIIM6. r.wMO en 0.. Man 4WN.M b tla 11p6.e 6MIr..
Pnpse05y Elms AUUtlala. N:VAMIa61.V98tlirv6M2o06 O6FLU's Nwvp6�rYm
7/20'20"
CITY OF HUTCHINSON
FOR DISCUSSION
ONLY
Exhibit A
WASTEWATER SEWER UTILITY PROJECTION
Ems. M
5%
5%
5%
5%
8%
5%
5%
5%
5%
5%
6%
5%
CpDx Rmana M6966n
3%
3%
3%
3%
3%
3%
3%
3%
3%
3%
3%
IncMman tluRps kr vNm.
gya�w.m.
30%
2D%
4,^
4.0%
4.0%
4.0%
4.0%
4.0%
1.091
3%
4.D%
1A1 Yn�e
AUDITED
ACTUAL
BUDGET
E6T
EST
EST
EST
EST
EST
EST
EST
EST
EST
8401
IW6
2006
]067
2068
2905
2840
3011
3012
N13
9014
2015
MIS
GPERanNC REVENUES
On6rp..Mes .
1403,950
1921495
2,906."
3.770.=
1,521,660
4,764,950
4.M.l 6
S,9M,695
SM,tw
s,564,13e
s,n43m
8,953275
5,191.106
Pm 16.&6vchs
-
-
-
-
SUBTOTAL
;163.060
2,99 ;196
2.9K0N
3,T6006
1,624606
4704660
4663,166
18411,846
5261406
6.601,136
6.724,903
1
6^653,376
2
SiM,A
NCBi-0PERATING REVENUES
6R.cbl A9.mv0.nd
-
RaM
4210
6.993
-
-
f.6Raca6n F.
155,667
125,521
M.000
92,700
95,481
95345
101.296
14,335
107,165
110,559
114,006
117,130
1M.M
CMBS Moan
5,107
5.964
2.000
2.060
2,122
2.185
2361
.2319
zaas
2.160
_2.53^1
2510
2.685
SUBTOTAL
17C M
136 ^116
62^000
84.760
67.906
160,631
10.1 ^847
1N ^663
106^843
111116
114606
120 ^036
in'm
TOTAL REVENUES
211166.064
SN1,6M
Sf610m
3^W ^760
4.621,603
4,603,461
4666 ^706
6,166,636
6,061263
6^617.266
6,W.M9
6.071316
111315,W
01P MN0 9Pwl."ntl ,, tlgrplWOn
Pc 1 S ,
45/.986
552.506
560,596
Sm,625
60,105
875111
7M.717
741,00
775,053
515,955
557,503
Mm
945.TM
S",i ,Rep®. d MwMwra
287,1.
209,733
196,060
206,9"
218,090
226,69.1
235339
260,151
261559
276^792
259,551
364,050
319263
Mi-amuFWni ®(mckmo6 Dep.ei. non)
17,100
17,955
1Rm
19,795
mm
21,524
21916
24,051
28]84
26,528
27,884
Ohm SmvM &chnn
837,396
1,095,334
493,950
518,648
W84mo
571.806
600,399
630,419
501,840
6KMT
729,759
766.279
SM.M
1m,m0
150.060
ly,8w
155.375
1TS644
182,326
191.42
201,014
211.065
SUBTOTAL
1,M &M
1.606^733
1, .846
1,362.17
1,619QM
1,MO,1110
1,721841
IAKT73
I mi11
1,11404,172
2,063,660
1161674
1306,606
Nd� `,Ca4N+111�*Ir•A�.dL'"/a ^u.Blrl c496d' -'
1i�kkaEA
: 1.t11H5='".
�i ;767.9Mrr::�"'�311ot,YrM�Kb61
s'�`6,$7+ko(6-
784.:
^:f. ":'P.'d''6YSiT�4 `::-
3,Y�Ye-Lxp'?.T�gpi;BK'
CASH OUTFLOW FOR DEBT AND GHTAL
Mbm1b F�
C--dm
62a,655
SOM
82,506
66,125
57. 561
60,775
83,514
57,066
70.355
73573
77,566
Cp Mip6
35,115
3,195,760
4",000
250."0
250,006
250,"0
350.006
JSO,om
350,000
378,00)
375.060
3TS.m0
Sawa Tm6nm. Eywow✓Admb Buil�11
10,501,000
Ddl Serum
Prapo..62m51.w.
64,658.74
331.132.60
331520.06
335. 320.00
3n525.00
33AMM
335.917.50
338,6n.S0
338,7n.50
516,31506
335290."
Prap6. MV 1. WE+gt W.
915930
916,950
916,960
916,960
918,i6O
916,950
915,650
915,950
916,960
EA."CMW1
150. 668
363512
413.132
M,4 _
m1w
585.574
573.653
672.329
64061
674 ^661
574.581
674.861
574,851
SUSRDTAL
160.1184
M737
4.646^267
111N,6N
1224.622
2,22S,6M
2^231,096
1994W
1911,843
1948 ^166
2,373,AM
13711^666
1375,W
BOND FROLT.EDS
3,071^717
11,OO ,ow
TRANSFERS
(57,000)
(58.750)
(80.000)
(60,0DD)
(50.000)
(WOOD)
610,006)
(60,000)
(601ODO)
(60,000)
(80,000)
(00,006)
(80,OD0)
1N9LSFMIMTMCOML(Se.NMC1)
-
7,149
25,750
28284
28,065
Min
23,524
21,803
.,018
19^515
17,010
15,519
14,018
CAlOY'LOW1 67P.77I6871.3 d;.
6R6 ,696--
:'.71116a6 11<1701,616
- -::t:m.lae
.e:1:11r
y-tae3keb`;3"J,eo6.ea ' r-
11m3A64^
1.731:erkaa.ra3RtU3u
en.33dd7e �- *ice °.: m4.ido e+e)
NOTES: 1. G.pibl Mn1.0..1n.r6. M100184 CIP, Plea i2M^OOOP. M2006- M106M$MODOI^ MM11
2 B b 4.6um.d Rat Sa 6.aa bubn.r8 p11r14 X111 M M1P.9.M M 3067 w66mro.6 MM11 62606 6984..
S N I. 114.IIIa6 6163 9P6r11Rr.9 pp.b w111 Mm.w {846.000 P.r yur M 20011 .86rir6�n.rV pbM I..�.M.L
L BplMlq In 200{, MvwMarlt M.en1. 14 6010 M Mb.wt V.YrIIM6. r.wMO en 0.. Man 4WN.M b tla 11p6.e 6MIr..
Pnpse05y Elms AUUtlala. N:VAMIa61.V98tlirv6M2o06 O6FLU's Nwvp6�rYm
7/20'20"
San Sewer Chart 1
Page 1
City of Hutchinson, Minnesota
Pre -Sale Report
August 8, 2006
Proposed Issue:
$2,210,000 General Obligation Water Revenue Bonds, Series 2006C
Purpose:
The bonds will finance the water improvements to be installed in the Highway 7
project and Denver Avenue, the Century Avenue elevated storage tank, and
improvements related to the 2006 pavement rehab program.
Term:
The bonds will have a term of 15 years.
Funding Sources:
The bonds will be repaid with revenue from the water utility (user charges and
connection fees). The Bonds will be secured with a general obligation pledge from
the City of Hutchinson. As part of planning for the new water treatment facility, the
engineers have indicated there will be a need to increase water rates through 2008.
Ehlers & Associates' projections forecast that the capital improvements to be
financed with the 2006C bonds as well as future improvements will necessitate rate
increases beyond 2008. Please see attached memo.
Schedule:
City Council Pre -Sale Review: August 8, 2006
Distribute Official Statement: Week of August 14
Rating Agency Interview Week of August 14
Bond Sale: August 22, 2006
Awarded at regular City Council meeting.
Estimated Closing Date: Week of September 18
Ehlers Contacts:
Financial Advisors: Steve Apfelbacher (651) 697 -8510
Jessica Cook (651) 697 -8546
Bond Analysts: Diana Lockard (651) 697 -8534
Debbie Holmes (651) 697 -8536
Bond Sale Coordinator: Connie Kuck (651) 697 -8527
Attachments:
Resolution authorizing Ehlers to proceed with bond sale
Proposed Debt Service Schedule
Memo on Water Rates
•
The Official Statement for this financing will be mailed to the Council Members at their home address for review
prior to the sale date
q(�
L
•
Council Member
40 EHLERS
& ASSOCIATES INC
Resolution No.
introduced the following resolution and moved its adoption:
Resolution Providing for the Sale of
$2,210,000 General Obligation Water Revenue Bonds, Series 2006C
A. WHEREAS, the City Council of the City of Hutchinson, Minnesota, has heretofore determined that it
is necessary and expedient to issue the City's $2,210,000 General Obligation Water Revenue Bonds,
Series 2006C (the "Bonds "), to finance certain public improvements; and;
B. WHEREAS, the City has retained Ehlers & Associates, Inc., in Roseville, Minnesota ( "Ehlers "), as its
independent financial advisor for the Bonds and is therefore authorized to solicit proposals in
accordance with Minnesota Statutes, Section 475.60, Subdivision 2(9);
NOW, THEREFORE, BE IT RESOLVED by the City Council of Hutchinson, Minnesota, as follows:
I. Authorization; Findings. The City Council hereby authorizes Ehlers to solicit proposals for the sale
of the Bonds.
2. Meeting; Proposal Opening. The City Council shall meet at City Hall on August 22, 2006, for the
purpose of considering sealed proposals for and awarding the sale of the Bonds.
3. Official Statement. In connection with said sale, the officers or employees of the City are hereby
authorized to cooperate with Ehlers and participate in the preparation of an official statement for the
Bonds and to execute and deliver it on behalf of the City upon its completion.
The motion for the adoption of the foregoing resolution was duly seconded by Council Member
and, after full discussion thereof and upon a vote being taken thereon, the
following Council Members voted in favor thereof:
and the following voted against the same:
Whereupon said resolution was declared duly passed and adopted.
Dated this day of _
City Clerk
• Prepared by Ehlers & Associates, Inc.
•
•
Hutchinson, MN
$2,21O,OOOG.O. Wafer Revenue Bonds,Series2OO6
Dated 09/09/20061 De]ivered 09/05/2006
Source Of Funds
Per Amount of Bonds ..... ...............................
Estimated Interest Earnings - Construction
Uses Of Funds
Total Underwriter's DLs nt
Deposit to Project Construction
Rounding Amount ......................
Total
.Sn 0611..T99MW W krR I .AN4lLlLR/lUL i 71711r % l f 14f
Ehlers & Associates, Inc.
Leaders in Public Finance
Sources & Uses
MOM
err
$2,240,000.00
26,520.00
25,000.00
2,184,477.49
4,002.51
$2,240,000.00
Pape 1
q 16-)
Hutchinson, MN
• $2,210,000GO. Water Revenue Bonds, Senes2006
Debt Service Schedule
Date
Principal
Coupon
Interest
Total P +1
Fiscal Total
09/05/2006
-
4.5768728%
_
NetInterest Cwt ( NIC) ......................................................................................................._.........................................
............................... 4.7071200%
02/01/2007
-
-
39,914.78
39,914.78
39,914.78
08/01/2007
-
-
49,210.00
49,210.00
-
02/01/2008
110,000.00
3.950%
49,210.00
159,210.00
208,420.00
08/01/2008
-
-
47,037.50
47,037.50
-
02/01/2009
115,000.00
4.000%
47,037.50
162,037.50
209,075.00
08/01/2009
-
-
44,737.50
44,737.50
-
02/01/2010
115,000.00
4.050%
44,737.50
159,737.50
204,475.00
08/01/2010
-
-
42,408.75
42,408.75
-
02/01/2011
120,000.00
4.100%
42,408.75
162,408.75
204,817.50
08/01/2011
-
-
39,948.75
39,948.75
-
02/01/2012
125,000.00
4.250%
39,948.75
164,948.75
204,897.50
08/01/2012
-
-
37,292.50
37,292.50
-
02/01/2013
130,000.00
4.300%
37,292.50
167,292.50
204,585.00
08/01/2013
-
-
34,497.50
34,497.50
-
02/01/2014
1402000.00
4.400%
34,497.50
174,497.50
208,995.00
08/01/2014
-
-
31,417.50
31,417.50
-
02/01/2015
145,000.00
4.450%
31,417.50
176,417.50
207,835.00
08/01/2015
-
-
28,191.25
28,19125
-
02/01/2016
150,000.00
4.500%
28,191.25
178,191.25
206,382.50
08/01/2016
-
-
24,816.25
24,816.25
-
02/01/2017
•
155,000.00
4.550%
24,816.25
179,816.25
204,632.50
08/01/2017
-
-
21,290.00
21,290.00
-
02/01/2018
165,000.00
4.600%
21,290.00
186,290.00
207,580.00'
08/01/2018
-
-
17,495.00
17,495.0
-
02/01/2019
170,000.00
4.650%
17,495.00
187,495.00
204,990.00
08/01/2019
-
-
13,542.50
13,542.50
-
02/01/2020
180,000.00
4.700%
13,542.50
193,542.50
207,085.00
08/01/2020
-
-
9,312.50
9,312.50
-
02/01/2021
190,000.00
4.750%
9,312.50
199,312.50
208,625.00
08/01/2021
-
-
4,800.00
4,800.00
-
02/01/2022
200,000.00
4.800%
4,800.00
204,800.00
209,600.00
Total $2,210,000.00 - $931,909.78 $3,141,909.78
Ykld Statistics
Leaders in Public Finance Page y
qca-)
BondYear Dollars ........................................................................................................................................................
............................... $20,361.28
AverageLife ............................................................................................................................_...............................
............................... 9.213 Years
AvengeCoupon.......................................................... ............................................................. ............. ......................................................
4.5768728%
NetInterest Cwt ( NIC) ......................................................................................................._.........................................
............................... 4.7071200%
TrueInterest Cwt ( TIC) ......................................................................................................_.........................................
............................... 4.7299594%
BondYield for Arbitrage Purposes ............................................................................................._........................................
............................... 4.5618285%
AllInclusive Cost ( AIC) ......................................................................................................_.........._...........................
.._.............._............. 4.8911386%
IRS Fonn 8038
NetInterest Cost................... _ ................................................... ............................... ...... _........................................................................
4.5768728%
WeightedAvenge Maturity ................................................................................................................................................
............................... 9.213 Years
. rc Sl.9.93 Wa fR I erAt'!L /i /! /t]¢' / 7171p " / 4.14M
•
Ehlers & Associates, Inc.
Leaders in Public Finance Page y
qca-)
0
•
•
OTo:
From:
W Subject:
,9M Date:
Ken Merrill, Finance Director
Steve Apfelbacher and Jessica Cook
Water Rate Projections
July 20, 2006
EHLERS
& ASSOCIATES INC
You have requested that Ehlers & Associates analyze the impact of planned
improvements on the water rates for the City's water utility. The City's contract
engineers have previously projected rate increases necessary to finance the construction
and operations of the new water treatment plant and operations. Ehlers' review also
includes improvements to the system undertaken in conjunction with road reconstruction
projects, such as Highway 7 and Denver Avenue, and other improvements in the five -
year Capital Improvement Plan.
Assumptions
✓ Historically, the City has collected enough water revenue to fully fund
depreciation. It is assumed that funding annual depreciation is the long -term
financial goal for the water utility.
✓ The user fees will increase from 2005 -2008 as projected by the engineers. The
total increase over those four years was projected to be 50% for residential
customers, 52% for commercial customer, and 55.6% for industrial customers.
The commercial and industrial customers will continue to pay less per 1,000
gallons than residential customers.
✓ Operating expenses will increase 5% per year. In addition operating expenses
will increase $160,000 by 2008 to operate the new treatment plant, consistent with
the engineers' estimates.
✓ Connection fees increase 5% per year.
3060 Centre Pointe Drive (651) 697 -6546 Fw (651) 697 -8555
Roseville, MN 55113 -1105 jcook@ehic s inc.com
httpJ /w .thle aim.com
q(0_�
0
•
C1
Conclusions
Based on the cashflow projection attached as Exhibit A, we conclude that the proposed
water revenue increases in 2005 -2008 will not be sufficient to operate the system with a
positive financial cashflow. The proposed revenue increases from the engineering report
are 15% in 2006, 17% in 2007 and 17% in 2008.
To achieve the City's primary requirement of operating the utility "in the black" and
secondary goal of funding annual depreciation, the City has two options:
Option 1: Continue to increase user charges by 25% in 2009, 20% in 2010 and 5% per
year thereafter. Over time, the utility will restore its financial health. The water fund
will experience two years of deficits in 2007 and 2008, totaling approximately $1.1
million.
Option 2: Increase user charges above original estimates beginning in 2007. To keep
the water utility in a positive cashflow position, the City would need to increase rates
50% in 2007, 20% in 2008, and 6% per year thereafter.
Please note that we have evaluated the necessary increases in water revenue. Actual rate
increases would depend on how the revenue increases are allocated between the different
types of water customers.
3060 Centre Pointe Drive
Roseville, h44 55113 -1105
(651) 697 -8546 Fm: (651) 697-8555
icaok@ehlem- tnc.com
http://www.chlem-im.com
9tc)
•
0
0
CITY OF HUTCHINSON
FOR DISCUSSION ONLY
Exhlblt A
WATER UTILITY PROJECTION
ErPenee IMa99n
5%
5%
5%
5%
5%
S%
5%
5%
O.05
0.05
0.05
C R1vu5t1 lnKWn
5%
5%
5%
5%
5%
5%
0%
S%
5%
6%
5%
Imeau on dirpea a. em it
10
17%
fA1
m%
tax
5%
S%
5%
4%
4%
AUDITED
ACTUAL
BUUOET
EST
EST
ELT
EST
EST
E8T
ELT
EST
EST
MI
MS
}Obi
3651
2006
2609
mm
2611
2012
9513
2014
2015
OPERATING REVENUES
CturppbrS
1,270,410
1,374,740
1,516,500
1,052265
2,163,300
2741.125
3211,950
3.1/1,180
3,577,657
3.755.135
3,905,893
4,082,965
PYV Mva.hY
21AM
21.705
.21 000
25.510
.30.115
37651
45,217
47.478
49552
62345
5,
06.a16
SUBTOTAL
t,m1,b"
1,354651
I'aw'm
1,6n,mo
21"4"9
2,741,606
3290,10
34"4,an
3,SVA0b
3.M.M
3,411,131
A.119,Bn
NOKOPERATING REVENUES
8p9U8 Aiaaumenl3
1,188
1 609
Retie
19,665
19,600
2,000
21,000
22,050
23153
24,310
25,525
26,002
28,112
26,619
314027
COnrtllm Face -
125,563
56,015
5,000
60,565
99,225
101,150
165,386
111,065
120,809
1m,539
1311,571
135620
CNter limns
11690
6,851
MYK 9Ye
15000
15,750
15,535
17,341
15.233
19,1"
20,1D1
21,107
22.162
23,170
SUBTOTAL
1"'m
tm,n6
126600
131,965
131,513
111,]65
151,636
165,636
167,512
116,a66
161,662
193,516
TOTAL REVENUES
1,119,T9a
1,63,m9
1.7m.boo
2,Om,m0
;311,m2
2,56{.565
3,"2,106
3,511,211
3,?KSm
3.541.682
1,144513
43131M
OPEMTNS OVEN656, /4/165 Nq dpmlYbn
Pnnmel Senior
281, 160
335,920
316.731
3",065
362,271
N1,3
121,151
442526
161663
081,555
512260
537,091
Supplieq R.1®Od Mam9a00aa
00,a11
59,715
109,550
115,113
126,900
126,905
13382
139,957
Y15,955
151,26:1
1R401a
1n,115
Mrm0eeom E� ka Deprtcuion
40
19,250
26,213
2183
22.264
23395
21,568
25:n7
27,057
"."1
29,803
OHe $miaad COSbee
262337
m .m
219,726
230,7&1
212.302
251,117
267, 135
260,195
201,526
308206
321,708
]10,913
hwuN Opcnma Eepc�fve NCwTwmmtPld
100,000
16,000
M.65
176,40
185,220
165, "1
201]05
214,415
225,136
SUBTOTAL
624.3]6
663,360
886,116
SJ,137
Sm,W
6740"
1.021.662
1."Zm
1.125,405
1,182 m
1,ml,
1,365,566
NY O6sY69.IYeaYiN Aa1916119w F.apRY:�1Dd5 ''. '.. -.
&MASS
8'd5.025 �.:
1.03455/
CASH OUTFLOW FOR CAP AND DEBT
OMa cwr9car
35.000
25,900
41.595
43,990
06.158
",499
50.924
51,170
56,111
SS,950
Cpol lmpmrmimU PUtl MiIa COd
4216m
11,651
2,181,500
2X)665
260,000
1,10,000
350,000
3540,000
35,000
375,000
375,000
3n,650
WSar Taatmem -Te Sl3mfflm
2286,220
10,565600
5213,726
Deb S .
Pr.po 2006 I..
3,915
2OB,120
269,075
X",075
2016th
201896
21Y,555
m8,995
267,035
206,365
2005 PFAL
26,700
271,150
375,096
350. 349
308, 318
359,3.19
359.319
308,348
369,309
3
38D,319
2808 PFA LUn
702095
1,051,900
1,0516"
1.051,905
1651,905
1661,905
1,051,900
.mo
i,O61,80a
1,061,908
Pmpmatl 200914w (15 y9�1 Y 5 5 %)
S1n1
165,589
109,508
10,688
109,580
108,588
108,566
EAr V DaY
11,820
55,160
00.311
01.140
05,740
. 31,926
31,053
3O,tn
29,302
29,263
26,301
?94405
SUBTOTAL
1 m
2,407,271
13,093,909
9677224
40"6/7
2,6n."3
21SZ908
2,151,411
41S46a6
9,"7,913
2. "a.1"
2,320.463
BOND 7ft C
2200,220
1 ;861,600
5,213,7n
1,165600
TRANS7EF5
157,04040)
(58,700)
(504000)
(60665)
(040.04040)
(00,000)
(65,000)
(65,650)
(50.000)
(5919991
(59.995)
(04697)
RiVLRMPM DVCOME(See Nwa J)
08,030
117,710
2D,750
20241
26,555
25,182
23524
21,603
26,303
1S,Sm
17,3,1
16,6,1
734.586 "`
664726
:.'iU1F55a1 :
�',:(56474DS�
.: "�153,zi5'=
,:{667,012''
'S14sn
NOTEL: 1. Cryk01 NnPr9larnarrl 1969/! tl» Ci, P61a {954000 In 2606 and f340,000/7vr b 1910.201; MIaWq tllararbr.
2 Nb uwlnatl 21Y opwatlrp O9W wM h101vu"O,OWIn tlYed 11a4o001n2606far r 499bwR 40191/(/awe on Oe1�rsY9 utl61Wa)
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Water Chart 1
Projected Water Utility Cashflow 2006 -2015
Option 1
1,000,000
800,000
600,000
400,000
200,000
(200,000)
(400,000)
(600,000)
(800,000)
I
i
i
.•ate
Annual cashflow
(before
depreciation)
Depreciation
Page 1
2006 2009 2010 2011 2012 2013 2014 2015
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Page 1
800,000
700.000
600,000
500,000
400,000
300,000
200,000
100,000
Water option 2 Chart 1
Projected Water Utility Cashflow 2006 -2015
Option 2
'006 2007 2008 2009 2010 2011 2012 2013 2014 201
Page 1
Annual cashflow
(before
depreciation)
Depreciation
�t
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'006 2007 2008 2009 2010 2011 2012 2013 2014 201
Page 1
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ctcy of
PUBLIC WORKS GROUP
Engineering, Streets & Alleys, Water/Wastewater
TO: Mayor and City Council
FROM: John Rodeberg, Public Works Director
Randy DeVries, Water/Wastewater Director
RE: Consideration of Out -Of -State Travel by Water/Wastewater Director Randy
DeVries (continued from July 25`h Council Meeting)
DATE: August 1, 2006
At the last Council meeting we requested consideration for out -of -state travel by Randy to attend the
Water Environment Federation Annual Technical Exhibition and Conference (WEF -TEC) from
October 21't to 25th in Dallas, Texas. Questions were raised regarding previous out -of -state travel for
Randy, based on the policy that allows attendance at out -of -slate conferences every other year (There
was a question about whether or not he had been permitted to attend a conference last year).
• Randy did request attendance at this same conference last year (at the July 12t, 2005 Council
meeting). Although he had attended an out -of -state conference in 2004, and had not budgeted for this
conference in 2005, one of the professional associations that he belonged to was going to pay the
majority of his costs in lieu of his support and involvement at the conference. The Council denied
Randy's request to attend the conference. Due to his commitment to the association, he utilized his
own vacation time and paid for all extra costs in order to attend the Conference.
This year, he would like to attend the conference sessions without the commitment of time and
energy to the association. The estimated cost to attend the conference is $1,500 (Hotel: $500, Air:
$289, Meals: $100, Transportation: $50 plus conference and other fees), and it is included in the
Wastewater Travel Schools & Conferences budget for 2006.
This conference directly supports Randy's continuing professional certification and includes sessions
on biosolids, innovative technologies, MBR's (like the new proposed Wastewater Facility
improvements), watershed management, TMDL's (Total Maximum Daily Loads to rivers, a new &
controversial topic), automation, facility operations and other topics. It also includes a large
exhibition of equipment and services related to the pollution control industry.
Based on meeting the City's policy on attendance at out -of -state conferences, the inclusion of the
conference and costs in the 2006 budget, and the direct benefit to Randy and the City of Hutchinson
in his attendance and involvement /training at the Conference, we recommend this travel be
• approved.
Thank you!
<<.(0
August 1, 2006
City of Hutchinson
Public Works Department
Maintenance Operations
1400 Adams St SE
Hutchinson, MN 55350
Phone(320)234-4219 Fax(320)234 -6971
To: Honorable Mayor & City Council members
From: Doug Johnson, Compost Facility Coordinator
John Olson, Public Works Superintendent
Subject: Shared Snow Removal Operations — Creekside & Public Works/Parks
Creekside has the potential to provide a significant service to the community by partnering with
Public Works/Parks for snow removal on City streets. The most significant contribution, by far,
would be the use of a wheel loader. By using a Creekside wheel loader, the General Fund would
not need to replace an existing 1985 wheel loader used for snow removal. The value of that
replacement was estimated at $120,000. Equipment and personnel from Creekside will also have
a significant positive affect on downtown snow removal operations by plowing curb cuts, parking
lots, and smaller, tight areas ahead of larger wheel loaders. By plowing these areas with smaller
equipment, the large Public Works/Parks wheel loaders can be used where they are most efficient.
We propose that Creekside partner with Public Works/Parks for snow removal activities this
winter, including these operations:
1. Creekside to provide a wheel loader for use by Public Works. The loader would be attached to a
snow blower, used in downtown snow removal. The loader, whenever not being used by the snow
blower, would be available to Creekside staff.
2. Creekside to provide at least one skid steer loader and operator, to assist Parks and Public Works
staff clear corners of downtown parking lots, curb cuts, and other areas difficult for large wheel
loaders to access.
3. Provided the hooklift is replaced, the large hook -lift truck used by Source Separated could be used
to haul snow during any significant snow removal emergency not able to be managed using City-
owned and contracted personnel/equipment.
4. Provide backup personnel to operate Parks/Public Works light trucks to perform snow removal on
cul-de -sacs and dead -ends.
5. The City would purchase a 12' snow pusher for use at the Creekside facility using Central Garage
funds. The snow pusher would also be available for use by Public Works/Parks staff for
emergencies or when the attachment is available once Creekside operations are completed.
•
August I, 2006
• Mayor & City Council
Doug Johnson, John Olson
Page 2
During our discussions we identified that Creekside equipment and personnel would be available
during the average 10 -15 snow events per season. Creekside operators would, be subject to
callout provisions that other Maintenance personnel are subject to.
Regarding compensation to cover the cost of using Creekside equipment and to compensate for
personnel costs, the following fee schedule, which mirrors what is used for other interagency
projects, would be used for winter 2006 -2007.
Personnel = $30/hr. for regular time; $45/hr, for overt ime /premium time.
Wheel loader = $70/hr.
Heavy truck = $50 /hr.
Skid steer loader = $25/hr.
Creekside operators would prepare snow removal forms, just like Public Works /Parks employees
use, identifying the operator, equipment, fuel, supplies & consmnables used during their
operation. About the 20" of each month, Sonja would total the Creekside activity, and Doug and
1 would approve a memorandum to the Finance Department transferring the appropriate amount
of money by month's end.
This opportunity was generated primarily because of improvements to operations at Creekside
over the last few years. This opportunity will save the City up to $120,000 by eliminating the
need to replace a wheel loader. This opportunity will improve downtown snow removal
operations. This opportunity provides some additional bench -depth to the snow removal crew
without hiring additional staff.
We recommend the City Council approve the cooperation between Creekside and Public
Works/Parks for the upcoming 2006 -2007 snow removal season.
iI
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9
C
TO: Mayor & City Council
FROM: John Rodeberg, Director of Public Works
Kent Exner, City Engineer
RE: Consideration of Consulting Agreement with Bolton & Menk for Regarding
Construction Staking on the Highway 7 Project
DATE: August 8, 2006
Bolton & Menk was originally contracted to only complete the construction staking work from Main St. to
• the east end of the project, including Bluff/Adams Street and Main StreetrM 15, due to the complexity of
the work and the lack of full- and - part-time City staff availability early in the construction season. We were
going to look at our workload and staffing and consider whether to complete the remainder of the work in-
house after that point. Due to being one staff member short (military duty in Iraq) and the remaining part-
time help leaving for school and fulltime occupations shortly, we have proposed to extend the consulting
agreement with Bolton & Menk. The consultant's work to date has been well above satisfactory, and is
running below their original estimate. We recommend continuing with the current arrangement.
Attached is the proposal provided by Bolton & Menk for completing the construction staking west ofTH 15 on
an as- needed basis. The cost of providing these construction staking services for the westerly portion of the
project is estimated to be 513,500. The costs of these services are accounted for within improvement project
budgets and estimated fees.
We recommend approving this consulting agreement with Bolton & Menk, Inc.
cc: Crary Plotz — City Administrator
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•
BOLTON & MBN K,
Consulting Engineers & Surveyors
1960 Premier Drive • Mankato, MN 56001 -5900
Phone (507) 625 -4171 • FAX (507) 625 -4177
July 24, 2006
Attn: Kent Exner
Hutchinson City Engineer
111 Hassan St. E
Hutchinson, MN 55350
Re: TH 7 Improvements
Dear Kent:
Per Quinton's request I have prepared a scope of services and budget for the remaining construction
staking services on the Trunk Highway 7 improvement through Hutchinson.
Bolton & Menk, Inc.'s staff has posted approximately $10,000 in fees to the original contract, which was
for the East end of the project's staking. Therefore, there is about $3,500 left in that budget.
Bolton & Menk, Inc. puts a high priority on ensuring that our company's efforts are consistent with our
clients needs. Please review the attached documents and contact me if this proposal does not meet your
expectations. (This document will be emailed to you today.)
If you accept all the terms defined on the attached pages please fax me a signed and dated copy of this
document.
Signature
Sincerely,
A' -
Bolton & Menk, Inc.
Janele Fowlds, L.S.
Enclosures: Scope of Services and Budget (1 page)
Terms of Proposal (2 pages)
Fee Schedule (1 page)
Date
• I: \$MANAGEPR0P0SALSC0NST1JCr10N SIAKING20064MCHINSON TH 7 2ND PART.DOC
MANKATO, MN • FAIRMONT, MN • SLEEPY EYE, MN • BURNSVILLE, MN • CHASKA MN
• WILLMAR, MN • RAMSEY, MN • AMES. IA
w .bonorHnenk.com
An EcacY Opportunity Employer
('' N)
SCOPE OF SERVICES AND BUDGET FOR CONSTRUCTION STAKING SERVICES
Client: City of Hutchinson
• Project: TH 7 Improvements
DESCRIPTION OF PROPOSED PROJECT
Watermain and Sanitary Sewer Improvements on the West end of MNDOT Project No. 4302-44 (T.H. 7)
to T.H. 15
SCOPE OF WORK
Bolton and Menk, Inc. (BMI) will complete the following scope of work:
• Watermain Staking (5 trips to site — 50 hours allotted)
• Set one set of stakes indicating the offset positioning for watermain at 100' increments
• Set one set of stakes indicating the structures, services and hydrants for the watermain
Sanitary Sewer Staking (5 trips to site — 50 hours allotted)
• Set one set of stakes indicating the offset positioning for sanitary sewer at 100' increments
• Set one set of stakes indicating the structures and services for the sanitary sewer
ASSUMPTIONS
This proposal is based upon the following assumptions:
A. Bolton & Menk, Inc. budgeted time for the field crew to make 10 trips (100 hours) to the job
site for the above defined construction staking. It is expected that the field crew will have a
full days work on the project (10 hours per day - including travel time) for each staling request.
B. Bolton & Menk, Inc. budgeted 12 hours of an office survey technician's time to prepare the
• staking drawings and budgeted 7 hours for supervision/project management time.
C. Staking is proposed on a "one time" basis. Other contractors and subcontractors are to protect
all stakes until the staked facility has been completed and the stake is no longer roquired.
Control points shall be protected throughout the project. Any replacing of lost or obliterated
stakes will be considered re- staking and billed in accordance with Bolton & Menk, Inc.'s
standard schedule of fees.
FEES
The fees to provide the above work will be billed hourly, in accordance with Bolton & Menk, Inc.'s
standard schedule of fees, with the total estimated costs of. S 13,500.00
Additional Services will be provided on an hourly basis in accordance Bolton & Menk, Inc.'s standard
schedule of fees.
SCHEDULE
Bolton & Menk, Inc.'s scheduling policy is that we will make every attempt to have a survey crew on site
within 2 working days of a construction- staking request.
•
1 ac-6)
Version 11- 30 -99/CS
• Terms of Construction Staking Proposal
Bolton & Menk, Inc.
This accompanying Proposal (hereinafter referred to as "Proposal") is subject to the following terms and
conditions. These Terms of Proposal (hereinafter referred to as "Terms") are an Integral part of the Proposal as
If stated directly therein. No change or deviation from these Terns will he binding without the written approval
of Bolton & Menk, Inc (BM I). Such changes may require an adjustment in the proposed fee, schedule or scope of
Proposal
A. Services: BMl proposes to perform the services outlined in the Proposal for the stated fee arrangement. Restalong,
verification of plans prepared by others and changes required by the Client or other controlling entities (regulatory
agencies, contractors, subcontractors, etc.) from the scope or schedule of services described in the Proposal shall be
considered "Additional Services" and will be invoiced on an hourly basis in addition to the stated fee arrangement.
B. Information from Client: Unless otherwise stated, Client agrees to provide BMI with all site information necessary
to complete the proposed services. This information includes current site property descriptions (from abstract, title
opinion or title commitment) and other legal documents affecting site; a complete set of the project construction plans;
copies of previous surveys, maps, engineering studies and plans; existing or required soils and geotechnical reports;
governmental, regulatory and utility reviews and determinations; and all other pertinent information. BMI is entitled to
rely upon the accuracy of the construction plans and accepts no responsibility for undetected errors in plans prepared by
others. Client shall promptly inform BM of any alleged defects in services provided by Blvll.
C. Access to Site: Unless otherwise stated, Client agrees to provide BMl with access to the site, including adjoining
properties, for activities necessary for the performance of services. It is understood that in the normal course of work,
• property damage may occur due to excavations, tree and brush trimming, marking lines, etc. The cost to correct
resulting damages has not been included in the fee. BMI will take precautions to minimize damage due to these
activities and the Client agrees to reimburse BMI for any toss associated with required restoration work
D. Standard of Care: Professional services provided under this Agreement will be conducted in a marmer consistent
with that level of care and skill ordinarily exercised by members of BMI's profession currently practicing under similar
conditions. BIM makes no expressed or implied warranty with respect to its undertakings described herein.
E Certifications: Any certification provided by BMl is a professional opinion based upon knowledge, information
and beliefs available to BM at the time of certification. Such certifications are not intended as and shall not be
construed as a guarantee or warranty. BM shall not be required to certify the existence of conditions whose existence
BNII cannot reasonably ascertain.
F. Construction Supervision: This Proposal assumes that the Client will maintain supervisory personnel for the
control of the project. Client's supervisory personnel shall be empowered to authorize staking and additional services.
Client is responsible for providing coordination of all staking requests from owner, other contractors, subcontractors,
architects, etc. and any interpretation of plans, conflicts, dimensions, and other unresolved construction matters required
for completion of staking services. Client shall promptly advise BMI of any addendums, change orders, field changes,
shop drawings or other documents affecting the location of improvements to be staked. BMl shall not be responsible
for the means, methods, techniques or procedures of construction selected by any contractor employed on the project
nor for the safety precautions or programs incident to the work of any contractor.
G. Ownership and Alteration of Documents: All documents, including reports, specifications, drawings, field data,
notes and documents or electronic media prepared or furnished by BMl under this agreement shall remain the property
of BMI. The Client may make and retain copies for its use in connection with this project. However, such documents
are not intended for reuse by the Client on any other project or alteration of the project by others without the written
consent of BM. Electronic media may be furnished for convenience of Client; however, only signed and certified hard
copies of submittals may be relied upon as documentation of professional services provided.
•
Page I of 2 - Terms of Proposal
0b) l
• Terms of Construction Staking Proposal
Bolton & Menkc, Inc.
(Continued)
I- Billings and Payments: Invoices for BMl's services shall be submitted, at BMl's option, either monthly or upon
completion of such services. Invoices are due and payable within 30 days after the invoice date. If the invoice is not
paid within 30 days, BMI may, without waiving any claim or right against the Client, and without liability whatsoever to
the Client, terminate the performance of its services.
I. Late Payments: Accounts unpaid 30 days after the invoice date will be subject to a monthly service charge of 18%
on the unpaid balance. If any portion or all of an account remains unpaid 90 days after billing, the Client shall pay all
costs of collection, including reasonable attorney's fees.
J. Lien Waivers: Upon request, BMI will provide lien waivers on industry standard forms for payments received.
Lien waivers will not be issued in advance of receipt of payment or for balances owed.
K. Termination of Services: The Client may terminate this agreement or BMI should the other fail to perform its
obligations hereunder. In the event of termination, the Client shall pay BMI for services rendered to the date of
termination, all reimbursable expenses, and reimbursable termination expenses.
L. Certificates of Insurance: BMI will maintain, at its expense, statutory worker's compensation insurance coverage
and such general liability insurance coverage for claims arising for bodily injury, death or property damage which may
arise from the negligent performance by BMl or its employees of its general business activities, including automobile
use, and exclusive of any professional services included in the Proposal. BMI will, upon request, furnish Certificates of
Insurance documenting terms of coverages. BMI will not be required to extend coverages beyond those, which are
usual and customary for similar firms practicing construction staking unless it is reimbursed for additional premium
• expenses
M. Limitation of Liability: In recognition of the relative risks, rewards and benefits of the project to both the
Client and BMI, the risks have been allocated such that the Client agrees that, to the fullest extent permitted by
law, BMI's total liability to the Client for any and all injuries, claims, losses, expenses, damages or claimed
expenses arising out of the performance of this agreement from any cause or causes, shall not exceed
S 13.500.00 . Such claims include, but are not limited to, BMI's negligence, errors, omissions, strict liability,
breach of contract, or breach of warranty.
r1
U
N. Dispute Resolution: Any claims, with the exception of claims by BMI for non - payment of services rendered, or
disputes made during or after the performance of services between BM1 and the Client and its contractors, subcon-
tractors, suppliers, shall be submitted to mediation and/or arbitration.
O. Withdrawal of Proposal: This Proposal constitutes a non - binding offer to perform services and BMI reserves the
right to withdraw or modify this proposal, without liability to the Client, at any time prior to receipt of written
acceptance from the Client and execution of a signed agreement in accordance with Paragraph P.
P. Agreement: If the Proposal is accepted, the Client and BMl may enter into and execute an Agreement
incorporating the Proposal, these Terms and such additional terms and conditions as may be mutually acceptable to BMI
and Client. Upon request by the Client, BMI may, at its sole discretion and for the benefit of the Client, proceed with
any proposed services prior to execution of a written agreement. In the absence of a executed written agreement, the
accompanying Proposal and these Terms of Proposal shall constitute the whole and complete agreement between BMI
and the Client-
Page 2 of 2 - Terms of Proposal
1LCb�
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BO LTON & NA E N K If
Consulting Engineers & Surveyors
1960 Premier Drive • Mankato, MN 56001 -5900
Phone (507) 625.4171 • FAX (507) 625 -4177
I NC_
The following Schedule of Fees is based upon competent, responsible engineering and surveying services
and is the minimum, below which adequate professional standards cannot be maintained. It is, therefore,
to the advantage of both the Professional Engineer or Surveyor and the Client, that fees be commensurate
with the service rendered
2006 Hourly Billing Rates
Principal Engineer / Surveyor ..................... ..................5120- 175/Hour
Associate Engineer /Surveyor ......... ...............................
545- 135/Hour
Project/Design Engineer ............................ ...................555-
125/Hour
Licensed Surveyor ...... ............................... ...................570-
130/1-lour
Project Surveyor .......... ............................... ....................550-
90/Hour
Senior Technician ....... ............................... ...................555-
120/Hour
Technician ................... ............................... ....................540-
90/Hour
Clerical ............................................ ...............................
530- 85/Hour
GPS/Robotic Survey Equipment ................. ....................$45-
80/Hour
AutoCAD /Computer Time .................. ...............................
No Charge
Office Supplies ..................................... .............................No
Charge
Photo Copying/ Reproduction .............. ...............................
No Charge
Field Supplies/Survey Stakes & Equipment .......................
No Charge
Mileage................................................. .............................No
Charge
Charges are based on hours spent at hourly rates in effect for the individuals performing the work. The
hourly rates for Principals, Senior Associates, Associates and members of the staff vary according to skill
and experience. The Schedule of Fees shall apply for the period through December 31, 2006. These rates
may be adjusted annually thereafter to account for changed labor costs, inflation or changed overhead
conditions.
These rates include labor, general business and other normal and customary expenses associated with
operating a professional business. Unless otherwise agreed, the above rates include vehicle and personal
expenses, mileage, telephone, survey stakes and routine expendable supplies; and no separate charges will
be made for these activities and materials. Expenses beyond the agreed scope of services and non- routine
expenses, such as large quantities of prints, extra report copies, out - sourced graphics and photographic
reproductions, document recording fees, outside professional and technical assistance and other items of
this general nature, will be invoiced out separately. Rates and charges do not include sales tax, if
applicable.
When it is possible to accurately define the scope of the project and the engineering services to be
performed, a lump sum may be agreed upon for total compensation.
MANKATO, MN • FAIRMONT, MN • SLEEPY EYE, MN • BLHNISVILLE, MN • CHASKA MN
• WILLMAR, MN • RAMSEY, MN • AMES, IA
w .bottorrmenk.com
•.
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i
TO:
Mayor and City Council
FROM:
John Rodeberg - Public Works Director
RE:
Review of HATS Facility Needs
DATE:
August 2, 2006
We have been talking with the Council for some time about some of the capital needs and requests that our
department is facing, including among them, the needs at the HATS Facility.
This spring, the HATS Joint Powers Board invited Pat Murphy, a retired Mn/DOT State Aid engineer, now
representing the University of Minnesota's Center for Transportation Studies, Local Technical Assistance
Program, to review operations at the HATS Facility. Mr. Murphy has always been aware of the HATS
Facility, and was eager to help the Joint Powers Board identify any issues and propose potential improvements.
Mr. Murphy met with members of the HATS Joint Powers Board, then proceeded to interview representative
groups of employees, including supervisors, mechanics, maintenance operations staff, office staff, and
• engineering and construction staff. Many of the changes that have taken place at HATS over the last ten years
were reviewed. He also took a look at how HATS operations are governed and the culture of the employees
who work at HATS. After interviewing staff groups, Mr. Murphy gathered the Joint Powers Board and other
partner agency leaders, to make his verbal report. Gary Plotz, City Administrator, was able to attend. Later, he
followed up with a written report, attached for your reference.
In his report, Pat states recognized the need for additional vehicle /equipment storage. He states,
"...The state constructed additional cold storage on the site in the recent past and the city and county are
in the process of developing plans to provide storage for each of their needs in the area adjacent to the
salt storage. This appears to be a necessary and reasonable solution to the existing problem.... It is
recommended that the city and county proceed as expeditiously as possible with their plans for additional
storage."
This report, along with other information gathered by staff, will help frame additional discussion about the
capital needs at the HATS Facility.
0
,d(c)
excellent job of being responsive to each agency's changing needs while keeping the
facility functional and the partnership healthy.
Culture of the Facility:
The most impressive perception of my visit was the high degree of collaboration and
partnering taking place among the workers involved both with equipment/vehicle repair
and with equipment operation in the field. These were the groups for which the facility
was originally created and many have been there since the beginning. Both groups
consist of city, county and state employees who recognize that their primary
responsibility is maintaining the equipment or roads under their agency's jurisdiction.
The members of both groups have a strong feeling of pride and ownership in belonging to
this unique partnership. They understand the fact that they work for different agencies
and therefore some of their rules, procedures, etc. will differ from each other. They
respect the various differences and are each committed to working well together. The
amount of knowledge transfer that takes place among the mechanics and among the
equipment operators is very high. Also, although each agency is primarily involved in
doing work on their own equipment and roads, they do collaborate on solving problems.
While the three agencies have apparently historically helped each other out on specific
projects or jobs where appropriate, all parties interviewed said that the increased
communication possible by using a shared facility makes it easier for each agency to be
most effective. The synergy that exists is evident and is an excellent example of the total
exceeding the sum of the parts. This undoubtedly did not happen by accident. It surely is
the result of an effort involving the managers and supervisors encouraging this partnering
• culture among the employees. It could not have happened without a joint facility and it
probably could not have happened without the unique partnering structuring which exists
to manage the facility.
While the state has had engineering and construction personnel in the facility for several
years, they have not had their city or county counterparts at the same facility as is the
case for the maintenance personnel. This will change when the county highway
engineering and construction functions move into the new addition.
This will provide a perfect opportunity to develop working relationships between state
and county engineering and construction employees that can lead to the same
collaborative and partnering culture which currently exists with the maintenance
function. Again, it may not happen by itself and will almost certainly require active
support, encouragement and empowerment on the part of managers, supervisors and
employees.
Physical Plant Needs:
The four major changes cited earlier in this report have had two noticeable impacts on the
operation of the facility.
These changes have reduced the space available for equipment and vehicle storage and
have increased the storage needs. Based on anecdotal information obtained during the
10 interviews, this problem has become very serious during the winter snow removal season.
This will become even more of a problem when the county moves its engineering and
• construction function because of the additional support vehicles to be accommodated on
the site. All of the storage needs do hot require warm storage and can be handled in cold,
or preferably temperate storage. The state constructed additional cold storage on the site
in the recent past and the city and county are in the process of developing plans to
provide storage for each of their needs in the area adjacent to the salt storage. This
appears to be a necessary and reasonable solution to the existing problem. Once those
facilities are constructed , it will be important to review and perhaps modify current
policies in regard to where particular equipment is stored in order to protect the warm
storage for those uses which most require warm storage.
It is recommended that the city and county proceed as expeditiously as possible with their
plans for additional storage.
The other impact is probably best described as an inconvenience at the present but will
likely become more serious when the county highway engineering and construction
function moves into the building. This relates to the adequacy of restroom, locker,
lunchroom and meeting room facilities. The additional employees using the facility will
likely make this more than an inconvenience. At the present time, the meeting rooms can
serve as a relief valve to the small lunchroom when they are not being used. The new
functions in the building will not only increase the demand for restroom and lunchroom
space but will also increase demand for meeting space, thereby reducing the use of
meeting room space as a relief valve. The JPB is currently discussing various approaches
to relieve this problem. In my experience these space uses are very "personal" to
• employees and care must be taken to develop desirable space that will serve the need well
for the long term, or the excellent employee morale which seems to exist today may
deteriorate.
Preparing for the Future:
My review of HATS after its first ten years of operation was relatively brief, but I can say
with certainty that this unique partnership for what was initially a shared maintenance
facility has been successful. The collaborative culture which exists among the personnel
in the maintenance operation is impressive and I believe it can be repeated when both the
county and state engineering/construction are located there. The JPB has been
successful in accommodating the changing needs of the three agencies on the site. The
past few physical changes were not for joint uses and were financed by the respective
agency using the new space, which meant that joint financing did not become an issue.
Based on my discussions with you, I can see where it is becoming increasingly difficult
to arrange financing for any major joint facility costs. With the three agencies having
different revenue bases, and the state particularly needing to rely on legislative approval
for any major capital building expenditures, coordinating a major joint development will
be difficult. Fortunately, it appears that solutions for the storage and common usage area
problems described earlier are of a magnitude that financing can be arranged and that will
meet at least the essential needs for the near future. However, I cannot help but believe
that it will not be too many years before the JPB will be faced with the need to consider
• some major joint use project on the site. One possible example would be creating a more
O(0
effective and efficient equipment repair facility, which has been studied in the past and
• determined not to be attainable at the present time, primarily because of financing
constraints. I believe there are some things that the JPB could do during the next couple
of years that might make it easier to deal with major joint use project needs that may
surface in the future.
*Re- affirm, and possibly redefine the common purpose of HATS to the three
agencies. It seems to me that with the additional or expanded functions that have taken
place during the first ten years, that the facility fulfills far more than the role of a joint
maintenance for each of the partners. I would think that at this stage, each of those three
statements would be somewhat different from each other. The three agencies should then
pull out the common threads from all of them to develop a common statement which
could be used to reaffirm the benefits of this unique partnering arrangement while
reflecting a broader use perspective than existed when the facility was first proposed. I
believe this exercise would be a valuable renewal process to prepare for the next 10 to 15
years.
*Since I believe you will be faced in the next several years with the need to
consider some major joint project on the site, I suggest that you take some time to explore
various joint financing methods. You can do a more comprehensive job of exploring
various alternatives ( and exploring think outside of the box ideas) when you are not
faced with an imminent project that requires decisions on a tight timetable. In this way
you will be better prepared to deal with your next major joint facility need.
Conclusion:
I enjoyed the opportunity to review the HATS operation after its first ten years. It is truly
a unique and very effective partnering arrangement which has been of real benefit to the
agencies involved and to the constituency of each agency. I hope that this report will be
of value as you embark on your next ten years of successful partnership.
•
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0
•
TO: Mayor & City Council
FROM: Melissa Starke
DATE: August 3, 2006
SUBJECT: Dangerous Animal Designation Appeal
Hutchinson City Center
111 Hassan Street SE
Hutchinson, MN 55350-2522
320- 557.5151/Fa 320-2344240
As noted, a dog owned by David Freund has been designated by the City of Hutchinson's
Animal Control Officer as a dangerous animal due to the dog biting an individual causing
injury requiring medical attention.
Per Hutchinson City Code, the dog owner has the right to appeal this designation and
have a hearing in front of the City Council. On July 28, 2006, I spoke with David Freund
who indicated that he wished to appeal this dangerous animal designation and requested
that the City Council set a hearing date to discuss the matter. The hearing must occur
within three weeks of the appeal date, or in this matter, by August 18, 2006.
Primed on recycled paper -
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•
July 13, 2006
David Freund
405 Erie St. SE
Hutchinson. MN 55350
Re: Dangerous Dog Designation Order
Dear Mr. Freund:
Police/Emergency Management Services
10 Franklin Street SW
Hurchln , MN $5350 -2464
320- 587.2242/Fax 320 -587 -6427
Be advised that the Hutchinson Police Department has been made aware of an incident involving your
dog that occurred on June 29, 2006, at approximately 3:23 p.m. at your residence.
Because of your dog biting an individual causing injury requiring medical attention, your dog has been
declared a dangerous animal.
You have 14 days from the receipt of this letter to appeal this order. If you appeal this order, a hearing
will be held within three weeks before the City Council.
After hearing the evidence at the hearing, the City Council may order the following:
1. Seizure and destruction of the animal.
• 2. The animal be kept in a proper enclosure.
3. Signs posted at the front and rear of your residence including a warning symbol to inform
children that there is a dangerous animal as specified in Minnesota Statute §347.51.
4. Provide and show proof annually of public liability insurance in the minimum amount of
$300,000.
5. If the animal is outside its proper enclosure, the dog must be muzzled and restrained by a
chain or leash not lass than six feet in length and under the restraint of someone not under
the age of 16.
6. The dog must have an easily identifiable standardized tag identifying the dog as a dangerous
animal affixed to its collar at all times as specified in Minnesota Statute §347.51.
7. The dog shall have a microchip implanted as provided by Minnesota Statute §347.51.
a. The dog shall be registered with McLeod County authorities as a dangerous animal.
If you fail to appeal this order, this agency may seize and destroy the animal.
Should you have any questions, please contact our office at 320-587 -2242.
Sincerely,
HUTCHINSON POLICE SERVICES
Robert Loehrer
Animal Control Officer
•
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