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cp04-23-85 c1 -1 U TCH I NSON
C ITY
CALENDAR
WEEK OF
pi [1 21 TO April 27
19N 5
WEDNESDAY
SI'sCRV'FAP,Y DAY
1,):(10 _ 11:00 A.M. - Meeting
j ,I Oireciors nt City Hall
SUNDAY MONDAY TUODAY
-21- -22- -23-
PROFESSIONAL SECRETARY WEEK
2:00 P.M. - Open Bids for 4:30 P.M. - Nursing Home Board
Park Tractor at Meeting at Burns
City Hall Manor
7:30 P.M. - City Council
Meeting at City
Hall
THURSDAY FRIDAY SATURDAY
-25- -26- A -27-
a
AGENDA
REGULAR MEETING - HUTCHINSON CITY COUNCIL
• TUESDAY, APRIL 23, 1985
1. Call to Order - 7:30 P.M.
2. Invocation - Reverend Gerrit Molennar Jr.
3. Consideration of Minutes - Special Meeting of March 26, 1985; Hid
Openings of March 1985 and April 160 1985; and Regular Meeting of
April % 1985
Action - Approve as distributed - Approve as amended
4. Routine Items
(a) Reports of Officers, Boards and Commissions
1. Financial Report of March 1985
2. Planning Commission Minutes dated March 199 1985
3. Hospital Board Minutes dated March 19, 1985
Action - Order report and minutes to be filed
• (b) Resolution No. 8025 - Resolution for Purchase
Action - Motion to reject - Motion to waive reading and adopt
(c) Consideration of Application for License to Sell Cigarettes At
Retail At Roberts Park Concession Stand
Action - Motion to reject - Motion to approve, issue license and
waive fee
5. Public Hearing - 8 :00 P.M.
(a) Consideration of Parkview Plaza Limited Partnership (Hotel Project)
1. Housing Revenue Bonds
Action - Motion to close hearing - Motion to reject - Motion to
approve Housing Revenue Bonds and adopt Resolution
2. Industrial Revenue Bonds
Action
approve
• 3. Tax
Action
approve
Motion to close hearing - Motion to reject - Motion to
IRBs and adopt Resolution
Increment Financing (CONTINUED HEARING FROM MARCH 26, 1985)
Motion to close hearing - Motion to reject - Motion to
tax increment financing and adopt Resolution
1
COUNCIL AGENDA
APRIL 239 1985 •
6. Communications, Requests and Petitions
(a) Consideration of Request for City Attorney to Attend DWI Implied
Consent Seminar On May 9 -10, 1985
Action - Motion to approve - Motion to reject
(b) Consideration of Request for Community Development Director to
Attend Conference
Action - Motion to reject - Motion to approve request
(c) Consideration of Request for Three Year Extension On Albrecht Oil
1980 Conditional Use Permit
Action - Motion to reject - Motion to approve extension
7. Resolutions and Ordinances
(a) Ordinance No. 6/85 - Ordinance Amending Section 806;15 of the 1974
Ordinance Code of the City of Hutchinson, Entitled Intoxicating
Liquor, Administration
Action - Motion to reject - Motion to waive second reading and
adopt
(b) Resolution No. 8021 - Resolution of Appreciation to Norah Mullan
Action - Motion to reject - Motion to waive reading and adopt
(c) Resolution No. 8026 - Transferring $254,175 from 1980 Tax Increment
Debt Service Fund to 1984 Parking Improvement Fund And All Future
Increment of Area IV
Action - Motion to reject - Motion to waive reading and adopt
8. Unfinished Business
(a) Consideration of Request for Liquor Store Improvement to Refinish
Sides of Building (DEFERRED APRIL 99 1985)
Action - Motion to reject - Motion to approve
(b) Consideration of Awarding Bid for Recreation Facility /Pool
(DEFERRED APRIL 16, 1985)
Action - Motion to reject - Motion to approve and award bid
(c) Review of Former Satterlee Pit Site
Action -
`a
0
�J
COUNCIL AGENDA
APRIL 23, 1985
(d) Consideration of Establishing Just Compensation of Property Owned
By Mrs. Gilbert Boldt (DEFERRED APRIL 9, 1985)
Action - Motion to reject - Motion to establish just compensation
in amount of appraised value and authorize City Attorney to make
offer to purchase
(e) Consideration of Establishing Just Compensation of Property Owned
By Henry "Chris" Kadelbach (DEFERRED APRIL 9, 1985)
Action - Motion to reject - Motion to establish just compensation
in amount of appraised value and authorize City Attorney to make
offer to purchase
(f) Consideration of Establishing Just Compensation of Property Owned
By Mr. & Mrs. Eugene Schimmel (DEFERRED APRIL 9, 1985)
Action - Motion to reject - Motion to establish just compensation
in amount of appraised value and authorize City Attorney to make
offer to purchase
(g) Consideration of Awarding Bid for Repair Ground Storage Reservoir
• (DEFERRED APRIL 189 1985)
Action - Motion to reject - Motion to approve and award bid
(h) Consideration of Awarding Bid for Park Tractor
(DEFERRED APRIL 22, 1985)
Action - Motion to reject - Motion to approve and award bid
9. New Business
(a) Consideration of Delinquent Water and Sewer Accounts
Action - Motion to authorize extension of payment period - Motion
to authorize discontinuation of service
(b) Consideration of Offer from Mr. & Mrs. Lloyd Schlueter to Purchase
City Owned Lot No. 11, Block 3, Se 1 chow- Jorgenson Subdivision
Action - Motion to reject - Motion to approve offer of purchase and
order Ordinance authorizing sale
(c) Consideration of Request by Leonard Miller to Continue Farming City
Land Adjacent to Second Avenue Bridge And Erie Street
• Action - Motion to reject - Motion to approve request
3
COUNCIL AGENDA
APRIL 23, 1985
i
(d) Consideration of Conditional Use Permit Requested by Quentin
Larson /Doug Dobratz with favorable recommendation of Planning
Commission
Action - Motion to reject - Motion to approve and adopt Resolution
No. 8022
(e) Consideration of Conditional Use Permit Requested by Leonard
Riemann with favorable recommendation of Planning Commission
Action - Motion to reject - Motion to approve and adopt Resolution
No. 8023
(f) Consideration of Sideyard Variance As Requested by Leonard Riemann
with favorable recommendation of Planning Commission
Action - Motion to reject - Motion to approve and adopt Resolution
No. 8024
(g) Consideration of Sketch Plan Submitted by Gerald Gassman (Within
Two Mile Radius) with favorable recommendation of Planning
Commission
•
Action - Motion to reject - Motion to approve and recommend
approval to County
(h) Consideration of Using Hutchmobile On June 16, 1985 for Airport
Dedication
Action - Motion to reject - Motion to approve and waive fare
(i) Consideration of On -Sale Non - Intoxicating Malt Liquor Licenses:
1. Pizza Hut
2. J's Pizza Garten
3. Gold Coin Chinese Restaurant
4. Godfather's Pizza
5. Little Crow Bowling Lanes
6. Crow River Country Club
Action - Motion to reject - Motion to approve and issue licenses
(j) Consideration of Off -Sale Non - Intoxicating Malt Liquor Licenses:
1. Hutchinson Warehouse Grocery
2. Hutchinson Tom Thumb Food Market
3. Southtown Mobil
4. Erickson's Big "D" Supermarket
5. One -Stop Gas IN Grocery •
6. George's Food & Fuel
Action - Motion to reject - Motion to approve and issue licenses
m
W
COUNCIL AGENDA
APRIL 23, 1985
(k) Consideration of Request for Jaycee Water Carnival Permits:
1. Parade Permit
2. Dance Permit
3. Firework's Permit
4. Permission to Close Streets and Use Library Square
Action - Motion to reject - Motion to approve and issue permits and
waive fees
(1) Consideration of Stop Sign On Corner of Third Avenue Southeast And
Jefferson Street
Action - Motion to reject - MotJon to approve and prepare Ordinance
(m) Consideration of Setting Public Hearing Date for Liquor License
Issuance (Larry Bethke, Victorian Inn)
Action - Motion to reject - Motion to set public hearing for
May 14, 1985 at 8 :00 P.M.
(n) Consideration of Security Light In Rear of Liquor Store
• Action - Motion to reject - Motion to approve
(o) Consideration of Council Approval for Sale of Parcel B Property On
Lewis Avenue According to City Subdivision Ordinance
Action - Motion to reject - Motion to approve sale and order
Resolution
(p) Consideration of Engineering Service for Water Reservoir
Action - Motion to reject - Motion to approve
(q) Consideration of Engineer's Report for Improvement Project No.
85 -01 -39
Action - Motion to reject - Motion to approve engineer's report -
Motion to waive readings and adopt Resolutions No. 8027, No. 8028
and No. 8029
(r) Consideration of Setting Public Hearing Date for Liquor License
Issuance (Gary Miller)
Action - Motion to reject - Motion to set public hearing for
May 14, 1985 at 8 :00 P.M.
• 10. Miscellaneous
(a) Communications from City Administrator
5
COUNCIL AGENDA
APRIL 23, 1985 16
11. Claims, Appropriations and Contract Payments
(a) Verified Claims
Action - Motion to approve and authorize payment from appropriate
funds
12. Adjournment
0
0
MINUTES
SPECIAL MEETING - HUTCHINSON CITY COUNCIL
TUESDAY, MARCH 26, 1985
The special meeting of the City Council was called to order at 5:00 P.M. in
the Council Chambers by Mayor Stearns. The following were present: Alderman
Mike Carls, Alderman John Mlinar (arrived late), Alderman Marlin Torgerson,
Alderman Pat Mikulecky (arrived late), and Mavor Robert H. Stearns. Also
present: City Administrator Gary D. Plotz and City Attorney James Schaefer.
Mayor Stearns commended the City Directors for the good reports submitted to
the Council concerning the use of compensatory time and suggestions for reduc-
ing accumulation of over -time.
Lengthy discussion was given to the city's policy on the accumulation and use
of compensatory time and vacation time.
City Administrator Plotz reviewed a survey of seven cities' compensatory and
vacation policies. It was pointed out that the majority of these cities did
not have a general policy handbook; however, they did have personnel policies
• and job descriptions, as does Hutchinson.
City Administrator Plotz prepared several alternative policies on the accumula-
tion and use of compensatory time and vacation time. The alternatives were
listed by the major areas of concern:
1. Rate compensatory accumulates
2. Time -frame compensatory time may be used
3. Reporting of compensatory time
4. Vacation utilized in blocks
5. Combining compensatory time and vacation time
The Mayor and Council decided they would like more time to review the written
reports and the verbal input received at this meeting. The Council will then
advise the City Administrator on the policy they would prefer to implement.
The special meeting adjourned at 6:05 P.M,
9
N
�J
n
E
MINUTES
BID OPENING
THURSDAY, MARCH 28, 1985
The bid opening was called to order at 2:00 P.M. Present were: City Adminis-
trator Gary D. Plotz, Asst. City Engineer Calmer Rice,and Administrative Sec-
retary Marilyn Swanson.
The reading of Publication No. 3387, Advertisement for Bids, Letting No. 7,
City Project No. 85- 01 -24, was dispensed with, and -the following bids were
opened and read:
Wm. Mueller & Sons, Inc.
Hamburg, MN $130,792.75
Atkinson Blacktop, Inc.
Litchfield, MN 129,831.00
Hardrives, Inc.
St. Cloud, MN 151,482.90
The reading of Publication No. 3388, Advertisement for Bids, Letting No. 9,
City Project No. 85- 01 -36, was dispensed with. The following bids were opened
and read:
Wm. Mueller & Sons, Inc.
Hamburg, MN $ 12,055.00
Erickson & Templin Excay.
Hutchinson, MN 8,741.50
The bids were referred to the Engineering Department for review.
There being no further business, the meeting adjourned at 2:10 P.M.
W.
MINUTES
REGULAR MEETING - HUTCHINSON CITY COUNCIL
• TUESDAY, APRIL 9, 1985
1. The meeting was called to order by Mayor Stearns at 7:30 P.M. The fol-
lowing were present: Alderman Mike Carls, Alderman John Mlinar, Alder-
man Marlin Torgerson, Alderman Pat Mikulecky, and Mayor Robert H.
Stearns. Also present: City Administrator Gary D. Plotz, Director of
Engineering Marlow V. Priebe, and City Attorney James Schaefer.
2. INVOCATION
The invocation was given by the Reverend Gerrit Molennar Jr.
3. MINUTES
Following discussion, Alderman Mikulecky moved to amend the March 26,
1985 minutes to include the entire letter from James G. De Meyer. The
motion was seconded by Alderman Torgerson and failed four to one, with
Alderman Mikulecky voting aye and Aldermen Carls, Mlinar and Torgerson
and Mayor Stearns voting nay.
Alderman Carls made the motion to approve the March 13, 1985 special
meeting minutes as distributed and the March 26, 1985 regular meeting
minutes as amended. The motion was seconded by Alderman Mlinar and car-
40 ried four to one, with Alderman Mikulecky voting nay.
4. ROUTINE ITEMS
(a) REPORTS OF OFFICERS, BOARDS AND COMMISSIONS
1. BUILDING OFFICIAL'S REPORT - MARCH 1985
2. NURSING HOME BOARD MINUTES DATED FEBRUARY 289 1985
3. TREE BOARD MINUTES DATED MARCH 6, 1985
4. PARRS AND RECREATION BOARD MINUTES DATED MARCH 69 1985
Mayor Stearns ordered the report and minutes to be filed.
(b) RESOLUTION NO. 8013 - RESOLUTION FOR PURCHASE
Following discussion, it was moved by Alderman Carls, seconded by
Alderman Torgerson, to waive reading and adopt Resolution No. 8013
for the purchase of grader tires, construction materials, and air
paks with spare tanks and holders. Motion carried unanimously.
(c) CONSIDERATION OF REQUEST FOR REDUCED TRASH AND REFUSE RATE BY AGNES
SITZ
• After discussion, the motion was made by Alderman Carls to approve
the reduced trash and refuse rate. Alderman Mlinar seconded the
motion, and it unanimously carried.
1
COUNCIL MINUTES
APRIL 9, 1985
•
(d) CONSIDERATION OF APPOINTMENTS:
1. CITY TREE BOARD - JERRY BROWN
2. HOSPITAL BOARD - DORI JOHNSON
3. LIBRARY BOARD - ALBERT LINDE AND KATHY MCGRAW
4. NURSING HOME BOARD - LARRY GRAF
5. PLANNING COMMISSION - LARRY ROMO AND DR. THOMAS LYRE
6. POLICE CIVIL SERVICE COMMISSION --DR. ROBERT PROCHNOW
7. POLICE STATION BUILDING COMMITTEE - DEAN O'BORSKY, JOHN GREGOR,
CHUCK JONES, CHAD PIEHL, DICK BURGART, PAT DURFEE, PHYLLIS
HEGRENES, KENNETH GRUENHAGEN, NORMAN TULMAN, AND RUSSELL MEADE
It was moved by Alderman Torgerson, seconded by Alderman Mlinar, to
ratify the above -named appointments. Motion carried unanimously.
5. PUBLIC HEARING - 8 :00 P.M.
(a) IMPROVEMENT PROJECT NO. 85 -01 -37 •
The public hearing was called to order at 8 :00 P.M. by Mayor
Stearns. Director of Engineering Priebe reported there was a
drainage problem in the area north of Fifth Avenue Northwest west
of Main Street. It was his recommendation to construct a storm
sewer service and appurtenances at an estimated cost of $13,192.
Mr. Priebe stated it would be necessary to obtain an easement from
the Saar property on the east.
Mayor Stearns stated that Mr. and Mrs. Arthur Saar, 45 Fifth Avenue
N.W., had submitted a letter in opposition of the improvement
assessment on the Fifth Avenue Northwest project.
Mr. Jon Marshall, 37 Fifth Avenue N.W., stated that when it rains,
it becomes like a flash flood. The water comes down the swell and
hits the lower ground. The present drain cannot handle the water,
and during the spring thaw the drain plugs up.
Mrs. Art Saar commented that when Maplewood Academy started build-
ing, the school changed the contour of the land; therefore, the
drainage from the other buildings comes down into the property
owners' yards.
Mrs. Jon Marshall reiterated that between the Nelson and Peterson
properties there is a constant flow of water. It was suggested
that drains be placed on Maplewood property and behind the Nelson
2
COUNCIL MINUTES
46 APRIL 99 1985
property out to the street. The problem needed to be taken care
of .
City Engineer Priebe thought perhaps the tile had collapsed or was
plugged up during the winter months. It is an old tile in the area
that hooks up with county tile.
Mr. Marshall reported the City Engineer had been out to look at the
area about a year ago, but the problem was getting worse. Mr.
Charles Nelson, 105 Fifth Avenue N.W., concurred and hoped some-
thing could be done about the situation.
A representative from Maplewood Academy stated the school had not
done any landscaping in the past eight years.
Mrs. Art Saar responded that the excavation at the school had been
done 20 years ago when heavy equipment came in and moved dirt.
City Engineer Priebe pointed out the city didn't have full -time
staff to monitor the problem when the building was done; also, the
city had no zoning and building codes at that time. It was his
• recommendation to combine the two areas and resolve the problem.
Mr. Jon Marshall believed that during the time he owned his prop-
erty, the neighbors had been assessed for square footage. They did
not have a problem with water, but it seems to come from the north
or northwest. He didn't feel the property owners should be
assessed since it was not their problem.
Mrs. Jon Marshall stated there was a valley from the school build-
ings where the water ran, and their drain cannot handle the amount.
The motion was made by Alderman Carls to close the hearing at 8 :30
P.M. Alderman Mlinar seconded the motion, and it unanimously car-
ried.
Alderman Carls moved to reject the plan for improvement project No.
85 -01 -37 and to waive reading and adopt Resolution No. 8011 reject-
ing the plan. The motion was seconded by Alderman Mlinar and car-
ried unanimously.
It was moved by Alderman Carls to direct the City Engineer to re-
view the area and come up with a new plan. Alderman Torgerson sec-
onded the motion, and it unanimously carried.
6. COMMUNICATIONS, REQUESTS AND PETITIONS
• (a) CONSIDERATION OF REQUEST FOR DIRECTOR OF ENGINEERING TO ATTEND
MINNESOTA PUBLIC WORKS ASSOCIATION SPRING CONFERENCE MAY 15 -17,
1985
3
COUNCIL MINUTES
APRIL 9, 1985
0
Following discussion, the motion was made by Alderman Mlinar, sec-
onded by Alderman Carls, to approve the request.
(b) CONSIDERATION OF REQUEST FOR LIQUOR STORE IMPROVEMENT OF NEW CARPET
AND REFINISHING SIDES OF BUILDING
After discussion, Alderman Torgerson moved to accept the low bid of
Waldo's Floor Service in the amount of $1,154.64 for new carpeting
in the liquor store. Motion seconded by Alderman Mlinar and car-
ried unanimously.
Alderman Mikulecky moved to defer the refinishing of the sides of
the building until the next City Council meeting. Alderman Mlinar
seconded the motion, and it unanimously carried.
(c) CONSIDERATION OF REQUEST FOR PARADE PERMIT FOR ANNUAL MEMORIAL DAY
PARADE ON MAY 27, 1985
After discussion, Alderman Carls made the motion to approve and is-
sue the parade permit. Motion seconded by Alderman Mikulecky. the
motion was amended by Alderman Carls to include waiving the parade
permit fee. Alderman Mlinar seconded the amended motion, and it
carried unanimously. The motion unanimously carried.
(d) CONSIDERATION OF COMMUNICATION REGARDING FLOODING IN AREA OF FIFTH
AVENUE SOUTHWEST AND GROVE STREET SOUTH
Following discussion, it was moved by Alderman Carls to defer this
item until the next Council meeting. Alderman Mlinar seconded the
motion, and it carried unanimously.
7. RESOLUTIONS AND ORDINANCES
(a) RESOLUTION NO. 8015 - RESOLUTION ACCEPTING $75,000 FROM HUTCHINSON
UTILITIES COMMISSION
The motion was made by Alderman Mlinar to waive reading and adopt
Resolution No. 8015. Motion seconded by Alderman Torgerson and
unanimously carried.
(b) RESOLUTION NO. 8016 - RESOLUTION OF APPRECIATION TO WESLEY GREVE
It was moved by Alderman Mikulecky, seconded by Alderman Torgerson,
to waive reading and adopt Resolution No. 8016. Motion carried
unanimously.
(c) RESOLUTION NO. 8017 - RESOLUTION ACCEPTING PLEDGED SECURITY FROM
CITIZENS BANK & TRUST CO. 0
Alderman Carls moved to waive reading and adopt Resolution No.
4
6
COUNCIL MINUTES
APRIL 9, 1985
8017. The motion was seconded by Alderman Mlinar and unanimously
carried.
(d) ORDINANCE NO. 6/85 - ORDINANCE AMENDING SECTION 806 :15 OF THE 1974
ORDINANCE CODE OF THE CITY OF HUTCHINSON, ENTITLED INTOXICATING
LIQUOR, ADMINISTRATION
The motion was made by Alderman Mlinar, seconded by Alderman Tor-
gerson, to waive first reading of Ordinance No. 6/85 and set the
second reading for April 23, 1985. Motion carried unanimously.
(e) RESOLUTION NO. 8020 - RESOLUTION RELATING TO AN $275,000 COMMERCIAL
DEVELOPMENT REVENUE NOTE (LYKE AND GILLARD PROJECT); AUTHORIZING
THE ISSUANCE THEREOF PURSUANT TO MINNESOTA STATUTES, CHAPTER 474
It was moved by Alderman Mlinar to waive reading and adopt Resolu-
tion No. 8020. The motion was seconded by Alderman Torgerson and
unanimously carried.
8. UNFINISHED BUSINESS
• (a) CONSIDERATION OF AWARDING BIDS FOR LIBRARY FURNISHINGS
Following discussion, Alderman Mlinar moved to approve and award
the bids for library furnishings to E. J. Pinske ($79445.00), Metro
Systems Furniture ( #7,750.00), DMO Inc. ($25,231.00), and PM John-
son's Inc. ($14,245.46). Alderman Mikulecky seconded the motion,
and it carried unanimously.
9. NEW BUSINESS
(a) CONSIDERATION OF EXTENDING CITY WATERMAIN, STORM SEWER AND SANITARY
SEWER TO HUTCHINSON PUBLIC SCHOOL SITE LOCATED SOUTH OF EXISTING
HIGH SCHOOL ALONG SCHOOL ROAD
The City Engineer presented a report on the area involved. The mo-
tion was made by Alderman Torgerson to direct the City Engineer to
prepare preliminary cost estimates on the project, including costs
that would be assessed to the school, costs deferred, ad valorem
taxes, and other pertinent information. The motion was seconded by
Alderman Carls and unanimously carried.
(b) CONSIDERATION OF ADVERTISING FOR BIDS FOR ROAD OILS AND TV
PHOTOGRAPHS OF UNDERGROUND LINES FOR MAINTENANCE
After discussion, Alderman Mlinar moved to approve advertising for
bids on road oils and TV photographs of underground lines. The mo-
tion was seconded by Alderman Torgerson and carried unanimously.
COUNCIL MINUTES
APRIL 9, 1985
•
(c) CONSIDERATION OF AUTHORIZING ADVERTISEMENT FOR BIDS ON PARK TRACTOR
Following discussion, the motion was made by Alderman Carls to ad-
vertise for bids on a park tractor in time for a bid opening on
April 22, 1985 at 2 :00 P.M. and also get a firm estimate on the
overhaul cost on the existing John Deere 2020 tractor and the
trade -in value of the old tractor. Alderman Mlinar seconded the
motion, and it unanimously carried.
(d) CONSIDERATION OF REQUEST TO INCREASE POLICE DEPARTMENT CLOTHING
ALLOWANCE
After discussion, it was moved by Alderman Carls to approve the
clothing allowance increase by $50 to $350 per year. Motion sec-
onded by Alderman Torgerson and unanimously carried.
(e) CONSIDERATION OF GENERAL FUND REIMBURSEMENT
City Administrator Plotz explained the fund transfer of $20,000
from the water and sewer fund to the 1984 general fund. Following
discussion, Alderman Carls moved to approve the general fund reim-
bursement. The motion was seconded by Alderman Mlinar and carried •
unanimously.
(f) CONSIDERATION OF AUTHORIZING PREPARATION OF PROPOSAL FOR REVOLVING
LOAN FUND FROM EXCESS TAX INCREMENTS OF AREAS 1 AND 2 DOWNTOWN AND
AREA 3 OF DISTRICT NO. 4
The motion was made by Alderman Torgerson to approve preparation of
the revolving loan fund proposal. Alderman Mlinar seconded the mo-
tion, and it unanimously carried.
(g) CONSIDERATION OF ESTABLISHING JUST COMPENSATION OF PROPERTY OWNED
BY MRS. GILBERT BOLDT
Following discussion, Alderman Mikulecky moved to contact Consult-
ing Engineers Diversified for them to look at the green area site
on the map and to contact the MPCA and other authorities if this
site is feasible for the wastewater treatment plant for the next
Council meeting. Motion seconded by Alderman Torgerson and car-
ried unanimously.
(h) CONSIDERATION OF ESTABLISHING JUST COMPENSATION OF PROPERTY OWNED
BY HENRY "CHRIS" KADELBACH
Alderman Mikulecky moved to defer action until the next Council
meeting. Alderman Torgerson seconded the motion, and it unani-
mously carried.
r,
COUNCIL MINUTES
_ APRIL 9, 1985
0
(i) CONSIDERATION OF ESTABLISHING JUST COMPENSATION OF PROPERTY OWNED
BY MR. & MRS. EUGENE SCHIMMEL
Alderman Mikulecky moved to defer action until the next Council
meeting. Alderman Torgerson seconded the motion, and it carried
unanimously.
(j) CONSIDERATION OF UTILITIES AND SERVICE ROAD FOR LARRY BETHKE'S
MOTEL PROJECT
City Engineer Priebe reported that Larry Bethke had 100 percent
ownership bf the property to be assessed; therefore, no public
hearing would be necessary.
Alderman Mlinar moved to approve the project and order the engin-
eer's report and to waive reading and adopt Resolution No. 8014.
The motion was seconded by Alderman Carls and unanimously carried.
(k) CONSIDERATION OF PLANS AND SPECIFICATIONS AND ADVERTISEMENT FOR
BIDS ON PROJECT NO. 85 -01 -38
• Following discussion, it was moved by Alderman Torgerson to approve
the plans and specifications for project No. 85- 01 -38, to open bids
April 30, 1985 at 2 :00 P.M., and to waive reading and adopt Resolu-
tion No. 8012. Alderman Mikulecky seconded the motion, and it car-
ried unanimously.
(1) REVIEW OF MUNICIPAL STATE AID STREET SYSTEM BY CITY ENGINEER
The City Engineer presented a report on the municipal state aid
street system. Alderman Mlinar moved to approve the recommended
changes and to waive reading and adopt Resolutions No. 8018 and No.
8019. The motion was seconded by Alderman Carls and unanimously
carried.
10. MISCELLANEOUS
(a) COMMUNICATIONS FROM CITY ADMINISTRATOR
City Administrator Plotz reported on a meeting held today with
officials of Pure Culture Products (Hercules), CED, and city staff.
The city was informed that Pure Culture will be reducing its flow
into the new wastewater plant by approximately 17 percent, which
will affect the proposed size of the structure. A smaller plant
will require a change in Phase I of RCM's plan. Also, Pure Culture
requested adoption of a resolution at the next Council meeting that
would identify the type of funding to be used for the construction
• of the new sewage treatment plant.
It was reported that the City of New Hope had offered $163,000 IRB
7
COUNCIL MINUTES
APRIL 9, 1985 _
•
allotment to Hutchinson to meet its commitment for the Frank Fay
hotel project.
Mr. Plotz commented on the State Planning Association Conference
which he and the Mayor had recently attended. One of the seminars
addressed the land fill problem with the burning of refuse. It
was suggested that the City Council and County Board meet to dis-
cuss this mutual concern.
On April 4 the City Administrator, City Finance Director and Sena-
tor John Bernhagen met with the State Commissioner of Finance to
discuss the problem on tax statements where the tax increment is
—listed. A different method of listing was recommended. The Coun-
cil should meet with the County Board to discuss this issue.
(b) COMMUNICATIONS FROM ALDERMAN JOHN MLINAR
Alderman Mlinar requested the use of the Hutchmobile on June 16 to
transport the public to the airport dedication program and to waive
the usual fee. No action was taken, and the item will be put on
the Council agenda for April 23.
Mr. Mlinar expressed concern about some neighborhoods cluttered up •
with various items.
(c) COMMUNICATIONS FROM MAYOR ROBERT H. STEARNS
Mayor Stearns stated he would like to discuss the function of
Region 6 -E with the County Board.
(d) COMMUNICATIONS FROM ALDERMAN PAT MIKULECKY
Alderman Pat Mikulecky commented on waiving the fee for the recrea-
tion facility building permit. He pointed out there is a State
surcharge that must be paid.
(e) COMMUNICATIONS FROM CITY ATTORNEY JAMES SCHAEFER
City Attorney Schaefer explained the procedure for the legal pro-
cess of a "public nuisance." It can't just be an eye sore.
(f) COMMUNICATIONS FROM DIRECTOR OF ENGINEERING MARLOW V. PRIEBE
Engineer Priebe reported that Richard Schmidtbauer had requested
consideration of work on Bradford Street for this year's improve-
ment projects. The improvement would be assessable to the property
owner, and he would have until May 1, 1985 to submit his request to •
the Council. It was the consensus of the Council that they would
consider the project for this year.
6
•
•
COUNCIL MINUTES
APRIL 9, 1985
11. CLAIMS, APPROPRIATIONS AND CONTRACT PAYMENTS
(a) VERIFIED CLAIMS
The motion was made by Alderman Carls, seconded by Alderman Mlinar,
to approve the claims and authorize payment from the appropriate
funds. Motion unanimously carried.
12. ADJOURNMENT
There being no further business, the meeting adjourned at 10:22 P.M.
0
0
n
U
El
MINUTES
BID OPENING
TUESDAY, APRIL 16, 1985
The bid opening was called to order at 2:00 P.M. Present were: City Adminis-
trator Gary D. Plotz, Mayor Robert H. Stearns, Architect John Korngiebel, Act-
ing Parks and Recreation Director John McRaith, and Administrative Secretary
Marilyn Swanson.
The reading of Publication No. 3389, Advertisement for Bids, Recreation Facility,
was dispensed with. The attached bids were opened and read.
The bids were referred to the architect and building committee for review.
There being no further business, the meeting adjourned at 2:23 P.M.
N
nlu TAD - Nb(.;xnATIUN FACILITY - HUTCHINSON, MINNESOTA
- "APRIL 16,1985
CONTRACTORS
Bid
Cal.
BASE BID
Alt #1
Alt 12
Alt #3
Alt #4
Alt #5
Alt #6
Alt #7
Alt 08
Sec.
Days
Chem Eaui
Chem Eauip
Wdq Pool
Pool Eauin
GL. CM11Q%
Sk lite
Masonry
Electrical
M.N.D., Inc.
Willmar, Mn.
x
280
$1,166,900
2,000 Deduct
$6,GOO Deduct
$18,300 Deduc
$3,650 Deduct
$15,900 Deduct
$6,000 Dedu
t $13,000 Ded
$10,000 Add
Del's Construction
LeSueur, Mn.
R
160
1,094,579
2,080 Deduct
6,240 Deduct
19,470 Deduc
3,796 Deduct
15,800 Deduct
13,000 Deduct
11,925 Ded
9,420 Add
Kratochvil Construction
New Prague, Mn.
x
200
1,115,100
2,000 Deduct
6,000 Deduct
18,400 Deduc
3,650 Deduct
30,300 Deduct
7,500 Deduct
1,800 Add
9,700 Add
Hasslen Construction
Ortonville, Mn.
x
180
1,140,000
2,000 Deduct
6,350 Deduct
22,000 Deduc
3,850 Deduct
12,000 Deduct
13,000 Deduct
21,000 Ded
9,500 Add
Gopher State Contractor
Rice, Mn.
Miller,Miller 6 Mac
Hutchinson, Mn.
x
0/15
1,097,800
2,000 Deduct
6,000 Deduct
19,420 Deduc
3,650 Deduct
13,059 Deduct
12,135 Deduct
17,300 Ded
9,200 Add
Lester's of Minnesota
Lester Praire, Mn.
Building Constructors
Minnetonka, Mn.
R
210
1,158,300
2,000 Deduct
6,000 Deduct
19,000 Deduc
3,700 Deduct
13,000 Deduqt
10,370 Deduct
29,000 Ded
None
Raske Bldg. Systems
Cosmos, Mn.
Terwisscha Construction
Willmar, Mn.
R
210
1,086,000
2,100 Deduct
6,400 Deduct
21,500 Deduc
4,000 Deduct
12,400 Deduct
7,700 Deduct
4,300 Ded.
None
Lau Construction
St. Cloud, Mn.
Associated Builders
Bismarck, ND
x
220
1,148,367
None
3,535 Deduct
14,831 Deduc
3,535 Deduct
30,625 Deduct
6,536 Dedu
t 3,078 Add
9,163 Add
HMH Enterprises
Watertown, Mn.
Salonek, Inc.
Springfield, Mn.
E.J. Pinske Bldrs.
.Gaylord. Mn.
Y
195
1,072,500
2,000 Deduct
6,000 Deduct
16,500 Deduci
3,650 Deduct
30,000 Deduct
12,500 Deduct
13,750 Ded
9,400 Add
Marcus Construction Co.
Prinsburg, Mn.
MARCH
CITY OF HUTCHINSON FINANCIAL REPORT - 1985
MARCH
REVENUE REPORT - GENERAL FUND
CURRENT
YEAR TO
ADOPTED
BALANCE
PERCENTAGE
0
MARCH
DATE ACTUAL
BUDGET
REMAINING
USED
TAXES
0.00
18544.83
1233985.00
1215440.17
0.02
LICENSES
7175.00
7407.00
17000.00
9593.00
0.44
PERMITS AND FEES
4308.01
8940.04
45700.00
36759.96
0.20
INTER - GOVERNMENT REVENUE
4605.86
20138.36
903321.00
883182.64
0.02
CHARGES FOR SERVICES
18552.64
55818.98
374345.00
318526.02
0.15
FINES & FORFEITS
2173.50
6969.50
23000.00
16030.50
0.30
MISCELLANEOUS REVENUE
21248.36
44771.84
182384.00
137612.16
0.25
CONTRIBUTIONS FROM OTHER FUNDS
75000.00
75000.00
479000.00
404000.00
0.16
REVENUE FOR OTHER AGENCIES
- 118.68
21.61
300.00
278.39
0.07
TOTAL
132944.69
237612.16
3259035.00
3021422.84
0.07
EXPENSE REPORT
GENERAL FUND
MAYOR & COUNCIL
1629.77
5616.67
27960.00
22343.33
0.20
CITY ADM. /CITY CLERK
9288.74
33407.19
113827.00
80419.81
0.29
ELECTIONS
0.00
0.00
9346.00
9346.00
0.00
FINANCE
11063.45
42798.33
179404.00
136605.67
0.24
MOTOR VEHICLE
4482.82
16888.50
62394.00
45505.50
0.27
ASSESSING
0.00
0.00
19672.00
19672.00
0.00
L
2326.77
8572.99
41618.00
33045.01
0.21
PLL#ING
10.15
821.19
26475.00
25653.81
0.03
CITY HALL
2844.30
10259.84
40503.00
30243.16
0.25
POLICE DEPARTMENT
51072.96
174521.22
674104.00
499582.78
0.26
FIRE DEPARTMENT
6553.36
17917.09
109938.00
92020.91
0.16
COMMUNITY SERVICE OFFICER
2791.31
8327.73
32485.00
24157.27
0.26
PROTECTIVE INSPECTIONS
5214.26
19953.79
70054.00
50100.21
0.28
CIVIL DEFENSE
45.00
145.85
1175.00
1029.15
0.12
SAFETY COUNCIL
0.00
0.00
150.00
150.00
0.00
FIRE MARSHALL
2821.55
10079.59
38118.00
28038.41
0.26
ENGINEERING
11285.60
46910.13
162424.00
115513.87
0.29
STREETS & ALLEYS
25276.80
76135.97
345215.00
269079.03
0.22
STREET MAINTENANCE A/C
4677.39
16082.18
68825.00
52742.82
0.23
LIBRARY
1428.28
17319.00
62314.00
44995.00
0.28
SENIOR CITIZEN CENTER
3269.11
11792.85
36052.00
24259.15
0.33
PARK /REC. ADMIN.
1543.14
14332.15
71260.00
56927.85
0.20
RECREATION
4794.47
21221.98
91763.00
70541.02
0.23
CIVIC ARENA
11238.96
40959.60
108007.00
67047.40
0.38
PARK DEPARTMENT
21443.26
76518.30
330500.00
253981.70
0.23
RECREATION BUILDING
0.00
0.00
13728.00
13728.00
0.00
CEMETERY
2458.93
7671.53
39994.00
32322.47
0.19
COMMUNITY DEVELOPMENT
2620.49
7112.67
32550.00
25437.33
0.22
LAWCON
2538.11
55950.99
17125.00
- 38825.99
3.27
DEBT SERVICE
0.00
13550.00
45946.00
32396.00
0.29
AIRPORT
959.32
15555.44
60925.00
45369.56
0.26
TR SIT
6206.08
18222.39
78684.00
60461.61
0.23
U1 OCATED
2098.08
5586.91
246500.00
240911.09
0.02
TOTAL
201982.46
794234.07
3259035.00
2464800.93
0.24
�- Vie. <2)
MARCH
CITY OF HUTCHINSON FINANCIAL REPORT - 1985
MARCH
0.00
- 3207.00
ENTERPRISE
FUNDS
37969.48
103366.78
460000.00
356633.22
REVENUE REPORT - LIQUOR FUND
CURRENT
YEAR TO
ADOPTED
BALANCE
PERCENTAGE
0.17
REFUSE SERVICES
MARCH
DATE ACTUAL
BUDGET
REMAINING
USED
SEWER SERVICES
LIQUOR SALES
29446.21
85857.71
410000.00
324142.29
0.21
721.16
WINE SALES
8214.73
23982.74
125000.00
101017.26
0.19
5357.15
BEER SALES
43836.74
114573.73
590000.00
475426.27
0.19
2000.00
BEER DEPOSITS
91.11
- 152.38
0.00
152.38
2500.00
1914.90
MISC. SALES
1864.32
4669.14
0.00
- 4669.14
1034391.75
0.24
INTEREST
336.76
973.80
CASH DISCOUNTS
-68.39
- 239.47
0.00
239.47
TOTAL
83721.48
229665.27
1125000.00
895334.73
0.20
EXPENSE REPORT
LIQUOR FUND
PERSONEL SERVICES
13631.43
37523.94
125344.00
87820.06
0.30
SUPPLIES, REPAIR & MAINTENANCE
427.83
961.32
4700.00
3738.68
0.20
OTHER SERVICES & CHARGES
767.76
3122.36
29000.00
25877.64
0.11
MISCELLANEOUS
19.00
292.00
9050.00
8758.00
0.03
CAPITAL OUTLAY
0.00
0.00
13700.00
13700.00
0.00
DEBT SERVICE
0.00
0.00
5110.00
5110.00
0.00
TRANSFERS
0.00
0.00
110000.00
110000.00
0.00
COST OF SALES
81003.04
255965.38
831050.00
575084.62
0.31
OTHER
0.00
0.00
16300.00
16300.00
0.00
•
TOTAL
95849.06
297865.00
1144254.00
846389.00
0.26
REVENUE REPORT - WATER
SEWER /FUND
FEDERAL GRANTS
2373.00
3207.00
0.00
- 3207.00
0.00
WATER SALES
37969.48
103366.78
460000.00
356633.22
0.22
WATER METER SALES
554.00
848.00
5000.00
4152.00
0.17
REFUSE SERVICES
23719.67
64575.87
236000.00
171424.13
0.27
SEWER SERVICES
52813.71
140685.32
615000.00
474314.68
0.23
PENALTY CHARGES
721.16
1783.03
6300.00
4516.97
0.00
INTEREST EARNED
0.00
5357.15
28000.00
22642.85
0.19
REFUNDS & REIMBURSEMENTS
0.00
0.00
2000.00
2000.00
0.00
OTHER
423.10
585.10
2500.00
1914.90
0.23
TOTAL
118574.12
320408.25
1354800.00
1034391.75
0.24
EXPENSE REPORT - WATER
SEWER /FUND
OPERATIONS
43708.33
64977.58
2380o0.o0
173022.42
0.27
WATER
38907.60
68927.93
1072128.00
1003200.07
0.06
SEWER
82294.06
134056.65
620142.00
486085.35
0.22
Is
TOTAL
164909.99
267962.16
1930270.00
1662307.84
0.14
MINUTES
HUTCHINSON PLANNING COMMISSION
46 TUESDAY, MARCH 19, 1985
1. CALL TO ORDER
The regular meeting of the Hutchinson Planning Commission was called
to order by Chairman Roland Ebent at 7 :30 p.m., with the following
members present: Marlin Torgerson, Elsa Young, Don Erickson, Tom
Lyke, Shu -Mei Hwang, and Chairman Ebent. Members absent: Larry
Romo. Also present: City Administrator Gary D. Plotz and City
Attorney James Schaefer.
2. MINUTES
The minutes of the regular meeting, dated Monday, February 18, 1985,
were approved as presented upon a motion by Mr. Erickson. Seconded
by Mr. Hwang, the motion carried unanimously.
3. PUBLIC HEARING
(a) CONSIDERATION OF VARIANCE REQUEST AS SUBMITTED BY HAROLD JUUL
Chairman Ebent opened the public hearing at 7:30 p.m. with the
reading of publication $3392 as published in the Hutchinson
. Leader on Thursday, March 7, 1985. The request is for a
variance to allow the construction of a duplex on a lot that
has 8,712 square feet. The zoning ordinance requires 10,000
square feet for a duplex in an R -2 zone.
City Administrator Plotz explained that the staff had
recommended that the request be rejected on the basis that a
single family home could be built on the lot and there was no
hardship to the owner shown.
Mr. Robert Evans, of 516 Main Street South was present to
state he objected to the development of the lot because of the
water problems it would cause for neighboring property owners.
He further explained the existing water problem for his
neighbor, Mrs. Dorothy Braun of 526 Main Street South, and
himself. Mr. Ebent explained that the question before the
Planning Commission was whether or not the proposed duplex
would fit on the lot. The drainage question would be addressed
for any building proposed for the lot when the building and
drainage plans were submitted to the building official.
Mr. Torgerson read from the State Planning Act, noting that a
variance cannot be granted unless undue hardship is shown. In
his opinion, hardship to the property owner has not been shown.
Dr. Lyke commented that a hardship cannot be created by the
. purchase of the property. Mr. Erickson noted that this was not
a unique situation to the property in question. Mrs. Young
noted that the property could be used for a single family
-Q,62-
dwelling with no problem.
After discussion, Mrs. Young made a motion to close the
hearing. Seconded by Mr. Hwang, the motion carried unanimously
and the hearing was closed. Mr. Erickson made a motion to
recommend to City Council to deny the request as submitted,
based on the fact that the conditions for granting a variance
as detailed in Section 6.05 C of Zoning Ordinance #464, had not
been met. Seconded by Mr. Hwang, the motion carried
unanimously.
D. OLD BUSINESS
(a) DISCUSSION REGARDING SITE PLAN REQUIREMENTS FOR REZONING
City Administrator Plotz explained that at the last meeting a
formal presentation regarding site plan requirements and
alternatives to them was given by Mr. Gunnar Isberg. The
Planning Coo
,zission felt they wanted to review the options
another month before making a recommendation regarding site
plan requirements. Mr. Plotz further explained that at the
Minnesota Conference of Planners coming March 31 - April 2,
site plan requirements would be a topic of discussion. He
encouraged the Planning Commission members to attend, if
possible, and suggested that a recommendation be postponed
until after the conference to allow members and the City
Council members to have as much information regarding it as
possible. After discussion, Mr. Torgerson made a motion to •
continue discussion of site plan requirements until the next
meeting. Seconded by Dr. Lyke, the motion carried unanimously.
(b) CONSIDERATION OF CQMPREHENSIVE PLAN
City Administrator Plotz explained that a priority of the City
Council for 1985 was to review the Map that shows the long
range planning for the City. He suggested that the Planning
Commission review the Comprehensive Plan Map at the next
regular meeting of the Planning Commission, when the City
Engineer is present. It was the consensus of the Planning
Commission that the map be reviewed at the next regular
meeting.
5. NEW BUSINESS
(a) DISCUSSION OF LIGHTING FOR LIBRARY SQUARE PARK
Mr. Erickson stated that with the expansion of the library and
the focus on Library Square as the "city square", he would like
to have perimeter lighting for Library Square considered.
Discussion followed. Mr. Erickson made a motion to recommend
that the Park Board and the Library Board get together to
investigate the feasibility of lighting around Library Square
Park. Seconded by Mr. Torgerson, the motion carried
unanimously.
E
(b) PRESENTATION BY KEN GRUENHAGEN
Mr. Ken Gruenhagen was present representing a GH & S project in
apartment development. They are planning a 24 unit apartment
building to be located on the corner lot of South Grade Road
and Merrill Street. The lot has 45,000 square feet and is
zoned R -3. They have made application with the Minnesota
Finance Agency. The apartments will not be subsidized - will
be of the deluxe variety -- the majority being two - bedroom
units with rent starting at $400 per month.
Mr. Gruenhagen explained that his reason for being before the
Planning Commission is that in the final stages of approval by
the MFA, the only remaining requirements are letters from the
Building Official and Fire Marshal stating the proposal meets
the City codes. Today, the building official had informed Mr.
Gruenhagen that the project did not meet the zoning ordinance,
as the requirements are 2200 square feet per unit and a 30'
setback. When the plans were done in July, they met City
specifications - f800 square Teet per unit, 25' front setbacks.
However, the City amended the ordinance in September. The
developers were unaware of the ordinance change. To continue
with the project as planned, a variance to allow the 1800
square feet and the 25' setback would be necessary.
Mr. Gruenhagen further explained that the problem lies in the
financing. To qualify for the financing they are requesting,
• the land cost per building unit cannot be more than $3,000.
They have already purchased the land, so that price is fixed.
By meeting the 2200 square feet requirement, the number of
units would have to be reduced to 20, which would make the
land cost per unit $3600.
Discussion followed. The question of hardship, uniqueness to
the property and whether or not granting the variance would
changed the character of the neighborhood were raised. After
discussion, Mr. Hwang stated that he felt the 30' setback could
be met, so a variance for that would not be necessary. He
further stated he would not be in favor of the variance to
allow 1800 square feet per dwelling unit, as the property could
be put to other use. Dr. Lyke stated that he would not be in
favor of a variance for the square footage. Mr. Erickson
state:' that he went along with Mr. Hwang and Dr. Lyke. Mr.
Torgerson stated he, too, would have to object at this time.
Mr. Ebent stated that he felt that when an ordinance changed,
developers and builders should be notified. It was his opinion
that as the plans were begun before the ordinance was changed,
and due to the time and expense involved with new plans and
reapplication for financing, the variance should be granted.
Chairman Ebent stated that it was the consenus of the Planning
Commission., that at this time, a variance to reduce square
• footage requirement per unit would be denied.
6. ADJOURNMENT
There being no further business, Mr. Torgerson made a motion to adjourn
the meeting at 8:35 p.m. Seconded by Mrs. Young, the motion carried
unanimously and the meeting was adjourned.
HUTCHINSON COMMUNITY HOSPITAL
REGULAR BOARD OF DIRECTORS MEETING - - - March 19, 1985
Large Conference Room - 5:15 PM
Present: Rev. Thor Skeie, President; Joan Ewald, Vice President; Rolly Balke,
Secretary; Bob Durfee, Trustee; Mike Carls, Trustee; Norah Mullan,
Trustee; Dr. Bill O'Brien, Chief of Staff
Absent: None
Others Present: Philip G. Graves, Administrator; Willard H. Rosenow, Assistant
Administrator; Jane Lien, Director of Nursing Services; Kathleen Ogren,
Hutchinson Leader; Laurie Hulkonen, Recording Secretary
Prior to the meeting, the board heard Ken Jensen, president of the Hutchinson
Community Hospital Foundation, Inc., give a brief ri story of the foundation
board's work thus far. Plans for the near future include newspaper publicity;
a mass mailing to targeted citizens; visits to service clubs to inform them
of the foundation's purpose; and mailing of brochures to specific professional
groups who are involved in estate planning. Jensen also gave a breakdown of
costs incurred in promoting the foundation and thanked the board again for
their loan-of funds to cover start -up costs.
• The meeting was called to order by President Skeie at 6:15 PM.
Minutes of Past Meetings. The minutes of the February 11 joint medical staff
and board meeting and the February 19 regular board meeting were presented.
The board asked that the second section in section A under "Other" be ended
after the word "Hutchinson" and the remainder of the sentence be stricken from
the February 19 minutes. Following discussion:
Motion was made by Carls, seconded by Ewald, to approve the
minutes of the February 11 joint medical staff and board meeting
as presented and approve the minutes of the February 19 regular
board meeting as amended. All were in favor. Motion carried.
Medical Staff Meeting Minutes. Dr. O'Brien presented the medical staff meeting
minutes. Discussion centered on a recently received denial of necessity of
admission on a patient hospitalized in November.
Old Business
A. Trustee Replacement. Replacement of Norah Mullan's position on the board
was discussed. Graves was asked whether the city policy of publishing notice
of the board vacancy had been followed, and he relayed that he had notified
the city administrator several weeks ago of the pending opening, and he
assumed the notice had been printed.
• Skeie opened the floor to nominations:
-C1 (31
Regular Board of Directors Meeting - March 19, 1985
Page Two
(A.) 1. Dori Johnson was nominated by Balke, seconded by Carls.
2. Ruth Westlund was nominated by Mullan, seconded by Carls.
3. June Knutson was nominated by Ewald, seconded by Carls. •
4. Pat Bonniwell (Dassel) was nominated by Mullan, seconded by Skeie.
Following discussion:
Motion was made by O'Brien, seconded by Durfee, to recommend
the following candidates to the mayor, in order of preference,
for replacement as trustee on the Hutchinson Community Hospital
Board of Directors:
1. Dori Johnson
2. Ruth Westlund
3. June Knutson
4. Pat Bonniwell (Dassel)
The vote was six in favor, with Ewald opposed. Motion carried.
Board expansion was discussed. The matter was tabled until the next
board meeting.
B. PPO's. Graves updated the board on the meeting between Drs. Gordon of
Hutchinson and Smyth of Glencoe to discuss PPO's. The decision had been
made not to go with a senior program due to the changes involved in reorganizing
into our own insurance company. No decision had been made on which PPO to go
with, although the preference leaned toward Select Care. •
New Business
A. CT Service. Graves told the board about two firms which had expressed interest
in servicing Hutchinson. Shared Imaging of Chaska is a new business that will
dedicate a unit to Hutchinson, Waconia, Glencoe and New Ulm. Diagnostic
Imaging of Forest Lake would send a unit that is already servicing 11 other
hospitals. The hospital tracked CT procedures that are currently going out
of town, and Graves speculated that the hospital could use the service two
days per week. Graves also relayed that the Cambridge Hospital, which is
currently using Diagnostic Imaging, is looking for another service due to
questions they had about the fees charged.
Price lists from both services were circulated.
Patients will be seen out of the purchasing entrance at present, but a
permanent site for CT patients to access the machines is being studied.
Two radiologists have contacted the hopsital to say they would come here
to read the CT scans. Concern was that a physician (radiologist) be present
for the patient in case there are reactions to the contrast media.
Following discussion:
Motion was made by Balke, seconded by Durfee, to hire Shared Imaging •
of Chaska and authorize the administrator to negotiate an arrangement
suitable to the hospital's needs. All were in favor. Motion carried.
Regular Board of Directors Meeting - March 19, 1985
Page Three
B. Birthing Bed. The capital expenditure request from the Nursing Department
for the purchase of a birthing bed was discussed. It was noted that funds
from the Auxiliary will be used to purchase the bed. Following discussion:
Motion was made by Carls, seconded by Durfee, to approve the
capital expenditure request for purchase of a birthing bed,
to be financed by Auxiliary funds, at a cost not to exceed
$7,000. All were in favor. Motion carried.
C. PT Department in Dassel. The board discussed providing PT services to the
Dassel Lakeside Nursing Home. Providing services would be beneficial to
the hospital because it would help defray costs of another physical therapist
and establish our presence in Dassel (should the hospital and medical center
decide to establish a satellite office there).
Question was asked about PT services at Burns Manor Nursing Home and why
the hospital was not involved there. The nursing home presently has an
exercise person who exercises patients, but they have not inquired about `
PT services in- house.
Graves told the board he would have an arrangement drawn up between now
and the next meeting for PT services at Dassel and bring it to the next meeting
for board review.
D. Ultrasound Update. Graves updated the board on the ultrasound training
scheduled for Jacki Rossi, to be paid by the hospital. The board agreed
•
that any efforts to specially educate hospital employees should be done when
beneficial to the hospital.
E. Trustee Conference. The upcoming Minnesota Hospital Trustee Conference was
discussed. As many trustees as are able to go were encouraged to attend.
Trustees will be leaving the lobby between 12:30 and 1:00 PM on May 8 to
drive together to the conference. The administration office will be calling
each trustee to learn who will be attending, and registration will then
be sent in.
F. Joint Meeting Discussion. Graves reminded the board of the committee
assignments made at the last joint board /medical staff meeting on March 11.
He told the group he was meeting with Bob Thompson on March 25 to get the
committees moving. It was noted that participation was good from both the
medical staff and board at that joint meeting.
Graves reported that Dr. Fleugel had approached him abouta joint venture
between Fluegel and the hospital in bringing another psychiatrist to the
city. Fluegel is willing to guarantee half the salary if the hospital is
willing to guarantee half. Graves will put this on the agenda for the
next month's meeting as he thinks its worthwhile to pursue.
Statistical Report. Graves presented the statistical report. The month of
February showed a 43`k occupancy, which was slightly improved over the 40
•for the previous month. Med /Surg areas are doing "okay ", and Surgery and
outpatient services are doing very well.
Regular Board of Directors Meeting - March 19, 1985
Page Four
Accounts Payable. Motion was made by Ewald, seconded by Mullan, to approve
for payment the attached listing of accounts payable and cash disbursements
in the amount of $380,029.69. All were in favor. Motion carried. •
Financial Statements. The statements were presented by Graves. The hospital
realized a $10,000 gain for the month after funding price level depreciation
and working capital requirements. Major reason for the gain was discounts and
allowances. The board commented on the good management of staff hours.
Departmental Reports.
A. Director of Nursing Services. The report was presented. No unusual
comments were made.
B. Education Coordinator. The report was presented. No unusual comments
were made.
C. Dietitian. The report was presented. No unusual comments were made.
Patient Satisfaction Surveys. Surveys received since the last meeting were
reviewed. No unusual comments were made.
Other
A. MAHA's Thank You to Graves. The board acknowledged the thank you letter
received by the administrator after his participation in the annual long
term care conference.
B. OB Renovation. The renovation project in OB was briefly discussed. Graves
told the board that work on the project will commence as soon as all materials
are on site. He estimated that the work itself would take four weeks after
that before completion.
C. Appreciation Dinner for Norah Mullan. The board discussed scheduling an
appreciation dinner for Norah Mullan, who is retiring after ten years on
the hospital board. The dinner was scheduled for Thursday, April 11,
at 6:00 PM at the Velvet Coach. The executive secretary will call to
remind the trustees of the dinner.
Adjournment. Motion was made by Carls to adjourn the meeting. The meeting
was adjourned at 9:00 PM by President Skeie.
Respectfully submitted,
Laurie Hulkonen Rolly Balke
Recording Secretary Secretary
LH
n
L�
HUTCHD1SCU COW NITY HOSPITAL
BUDGET 0:kTARISCNS - NATURAL CATEGORIES
For Three Months Ended March 31, 1985
YEAR- TG~DATE
PATIENT REVENUE ACTUAL BLDGET VARIANCE
Daily Hospital Service
$144,580 $186,926 $(42,346) Medical Nursing Units
47,088 27,803 19,285 Mental Health Unit
257,952 293,049 (35,097) Ancillary
$4499620 $507,778 $(58,158) Gross Patient Revenue
(4;036 (17,151) 13,115 Less: Discounts & Allowances
$445,584 $490,627 $(45,043) Net Patient Revenue
11,601
9,519
2,082
Other Operating Revenue
$661,232
$731,919
$19285,987
$457,185
$500,146
$(42,961)
Total operating Revenue
$412,358 $527,240 $(114,882)
105,186 101.311 3,875
777,663 821,247 (43,584)
$1,295,207 $19449,798 $(154,591)
(9,220)
(51,455)
42,235
Salaries
$661,232
$731,919
$19285,987
$lo398,343
$(112,356)
33,406
J x28,557)
41849
131,309
(13,330)
27,104
$1,319,393
$1,426,900
$(1071507)
$234,128
$235,975
$(1,847)
Salaries
$661,232
$731,919
$(70,687)
403495
42,394
(1,899)
Eiiployee Benefits
117,979
131,309
(13,330)
27,104
21,228
5,876
Medical & Other Fees
63,215
54,818
8,397
6,140
8,906
(2,766)
Raw Food
22,181
25,649
(3,468)
11 &8
12,154
(1,086)
Drugs
29,906
39,368
(9,462)
43,,,06
42,702
364
Medical & Other Supplies
130,632
122,092
8,540
17,296
17,605
(309)
Utilities
519512
52,814
(1,302)
49578
6,385
(1,807)
Building & Eguipment Repairs
149380
18,647
(49267)
1,596
1,696
(100)
Rental Else
4,383
7,456
(3,073)
4,667
41471
196
Insurance
13,996
13,712
284
1,460
1,483
(23)
Interest
4,774
4,449
325
17,830
19,281
(1,451)
Depreciation
54,674
57,845
(3,171)
7,056
10,207
(3,151)
Other Expenses
29,311
36,451
(7,140)
$416,484
5424,487
$(8,003)
Total Operating Expense
$1,198,175
$1,296,529
$(98,354)
40,701
75,659
(34,958)
Operating Inoue
121,218
130,371
(9,153)
Add (Deduct)
Non - Operating Revenue (Expense)
Price -Level Depreciation
(20,812)
(20,812)
- --
And Working Capital
(62,436)
(62,436)
- --
$19,889
$54,847
5(34,958)
Excess Revenues over ]Expenses
$58,782
$67,935
$(9,153)
r1
U
16
RESOLUTION NO. 8025
CITY OF HUTCHINSON
RESOLUTION FOR PURCHASE
The Hutchinson City Council authorizes the purchase of the following:
ITEM
COST
PURPOSE
DEPT.
BUDGET
VENDOR
Bases & Softballs
3810.97
Summer Recreation Program
Rec.
Yes
Kokesh Athletic
Diesel Ill Oil
1858.00
Street Equipment Use
Street
Yes
Schmeling Oil
Painter Stripper
2490.00
Street Marking Equipment
Street
Yes
Decker Supply Co.
5,000 Yrds. Crushed
8950.00
Street Use
Bonds
Yes
Wm. Mueller & Sons
Gravel
of '84
The following items were authorized due to an emergency need:
ITEM
Date Approved:
Motion made by:
Seconded by:
COST
April 23, 1985
PURPOSE
DEPT. I BUDGET I VENDOR
Resolution submitted for Council action
by:
r
0
Mumr-uzV l .' MI ➢Lr.apojw
... .. .. ..... .... ... ......
6tate of j"Ttinutgotal ............City of ........... . .......Hutchinson
.... I .............................................. .. .
County of ......... McLeod ....... ....... .4 location No... ................. ........... .............
Application for License to Sell Cigarettes at Retail
The undersigned resident...... of the ........... ...... City Hutchinson
......... I ............. ...... ....... Of .........
in the county of.........__.. McLeod. .............. State of Minnesota, HEREBY M.4KE .. APPLIC.1-
TIOX FOR LICENSE to be issued to. ...... -C.ity of Hutchinson - Parks & Recreation. Dept. ....
............ I ........................... ......... ....... ..... ............. I ............................
sell cigarettes and cilarette papers and wrappers at retail at .................. ....................................... ......
Roberts Park Concession
. Stand
.......... ................. ......................................... ...........
...... ...... ........... ....... . ...................
in
the City , Hutchinson
I ....... . .. . ........ of ....... . .. .. . ... . ............................ in said county and state for the term of
.... .. 5mo9.th..s ........ ... ...... I .. ..... ........... beginning with the......._ _.......day of . .......... M.4y....
19 85 , subject to the laws of the State, of Minnesota and the ordinances and regulations of said
City Hutchinson
............. .. I ......................................... of ........... ............... ......... .................. .......... ....... pertaining thereto, and herewith deposit
$ -0-
.... ......... ...In payment of the fee therefor.
April 18
................................... I ......... ......... I . .......
Dated ...... I.... ......................................... A7��= /0
•
(612) 587 -5151
f1UTlH' CITY OF HUTCHINSON
- 37 WASHING TON AV' -NUE WEST
/ HUTCHINSON, MILAN. 55350
M E M O R A N D U M
DATE: April 19, 1985
T0: —Mayor & Council
— --------- — — — — — — — — — — — — — — — — — — —
FROM: Gary Plotz, City Administator
SUBJECT: Review of Rehabilitation of Hutch Hotel
— ---------------------- — — — — — — —
Review by County Board, School Board and Planning Commission
The tax increment amendment, as required pursuant to statutes has been
reviewed by each of the above entities. This has been verified by
communications in the Council packet.
• Review by our Financial Consultant
Mr. William Fahey of Ehlers and Associates worked with the City's bond
counsels. Attorney Gilligan has provided the amendment to the tax
increment financing plan. The advertisement for amending the tax in-
crement financing allows financing up to $285,000.(See attached.) Mr.
Fahey will be at the meeting to review the amendment. (Amendment enclosed.)
The actual proposed tax increment financing is less than the amount ad-
vertised for.
Review by City's Bond Counsel - Dorsey, Whitney -Tax Increment
The opinion on the tax increment legalities is to be presented in the
April 17, 1985, correspondence (enclosed).
Review of Project by McLeod County Assessor
Based on information submitted to the County Assessor by Frank Fay,
County Assessor Tony Victorian issued the January 8, 1985 tax estimates.
As of April 17, 1985, Frank Fay has advised me there is no change in
the size and scope of the project since this letter was issued.
Review of IRB's and Housing Bonds - Holmes & Graven
is Frank Fay has employed the services of Holmes & Graven as bond counsel
on the IRB ($500,000) ind Housing Revenue Bond ($600,000). Attorney
Stefanie Galey of Holmes and Graven will be present to review the doc-
uments on the IRB's and Housing Revenue Bonds at the meeting.
Review /Rehabilitation Hutch Hotel
April 19, 1985
Page 2
Review of the Project by the Community Development Corporation (CDC)
The Community Development Corporation will be represented at the Council
meeting by John Bernhagen. He will comment on the CDC review (correspondence
enclosed).
Review of Housing Aspects of Project by Housing Authority
Enclosed is a copy of the minutes of the Hutchinson Housing Authority
dated January 16, 1985. It is also noted that on April 3, Carol Haukos
responded to items raised by James DeMeyer submitted at the Council
meeting of March 26, 1985 (see enclosed).
I have been advised by Frank Fay that the Housing Authority will be
represented at the Council meeting of April 23, 1985.
Review by City Attorney
On April 12, I forwarded the following documents to Attorney James
Schaefer, Frank Fay, County Assessor Tony Victorian and County Attorney
Pete Kasal (see attached memo).
1) Contract for sale of land for private development •
2) Assessment Agreement
These documents were prepared by Jerry Gilligan of the Dorsey Law Firm.
The City Attorney has been in contact with the county in regards to
these documents.
Review by City Accountant on Status of Tax Increment Fund
A review of the present status of the tax increment funds and the
parking bonds has been completed (enclosed in packet).
Review of Project by Charles Bailly & Company
Attached is an April 17, 1985 review of the project by Mr. Charles
Rolando of Charles Bailly and Company. Please review.
Within the "conclusion" portion of the report, the following items
are being verified prior to Tuesday, April 23. Items:
ill Documentation of lease commitments
#2 Submission to auditor of existing indebtedness
#3 Refinement of the pro -forma statement in regard to the
"relationship of the interest and principal pay -off to the
increment in property taxes." •
#4 Inclusion of Community Development fees in the auditor's review
of the pro -forma statement
Review /Rehabilitation Hutch Hotel
April 19, 1985
Page 3
Additional Items
#1 Frank Fay has indicated no probelms in having both partners sign
the 1) contract for sale of land for private development, and 2) assess-
ment agreement.
#2 Frank is communicating with the Housing Authority. The Housing
Authority will be represented at the meeting.
#3 Frank stated the partners will comply with the requirement.
Lastly, Chuck Rolando will verify in writing if items #1 - X14 have
been complied with by April 23.
Review by Other Communities for $163,000 of IRB Monies
Enclosed in the packet is the notification that we have received an
allocation from Beltrami County.
•
cc: Frank Fay
Bill Fahev
Ken Merrill
James Schefer
Jerry Gilligan
Stafanie Galey
Tony Victorian
Pete Kasal
John Bernhagen
Ron McGraw
Carol Haukos
Chuck Rolando
•
(612) 587 -5151
HUTCH CITY CF HUTCHINSON
37 WASHINGTON AVENUE WEST
HUTCHINSON, MINN. 55350
February 19, 1985
Arty. Stefanie Galey
Holmes & Graven
470 Pillsbury Center
Minneapolis, MN 55402
Dear Atty. Galey:
Enclosed are copies of the following documents regarding DeMeyer vs. City
of Hutchinson:
1. Stipulation of Dismissal i
2. Stipulation of Settlement
Also enclosed are copies of the documents and resolutions adopted to fulfill
the City of Hutchinson's obligations under the Stipulation of Settlement:
1. Warranty Deed to Emmet McCormick
2. Warranty Deed to Citizens Bank & Trust
3. Warranty Deed to S & L Rehab
4. Resolution No. 7713
5. Resolution No. 7714
6. Resolution No. 7715
These documents should show that any issue which Mr. DeMeyer has raised con-
cerning the validity of tax increment financing has now been settled.
Sincerely,
CITY OF HUTCH IN ©N /
r
Marilyn Swanson .
Administrative Secretary
Encls.
IRST NATIONAL-SOO LINE CONCOURSE 507 MARQUETTE AVE
February 26, 1985
Mayor and City Council
City of Hutchinson
City Hall
Hutchinson, Minnesota
EHLERS AND ASSOCIATES, INC.
FINANCIAL SPECIALISTS
MINNEAPOLIS, MINNESOTA 55402 339 -8291 (AREA CODE 612)
RE: Tax Increment Amendment for Rehabilitation of Hutchinson Hotel
Attached is the amendment to the tax increment program to accomplish the
rehabilitation of the Hutchinson Hotel.
I recommend the City Council hear evidence and testimony on February 26, 1985
and continue the Hearing to March 26, 1985. At that time, the Council will
hold hearings on the Housing Bonds and the Industrial Development Revenue
Bonds. It is my opinion the City Council should consider the tax increment
issue only after full and complete representations on Housing and IDB bonds
• are made.
The City has shown its willingness to participate in the project and therefore
need not take any further action until after the Housing and IDB bond matters
have been decided.
If the project receives favorable consideration in March, the Council will
take action on findings and the amendment to the Tax Increment Plan and
Program.
Very truly yours,
EHLERS AND ASSOCIATES, INC.
lliam E. Fahey
First Vice President
WEF:nel
PUBLISHED IN THE HUTCHINSON LEADER
THURSDAY, FEBRUARY 7, 1985
THURSDAY, FEBRUARY 14, 1985
PUBLICATION NO. 3376
NOTICE OF PUBLIC HEARING REGARDING THE
MODIFICATION OF THE EXISTING TAX INCRMEENT
FINANCING PLAN FOR DEVELOPMENT DISTRICT #4
PURSUANT TO MINNESOTA STATUTES, SECTIONS
273.71 TO 273.78 CLAN U�
THE CITY OF HUTCHINSON, MINNESOTA
NOTICE IS HEREBY GIVEN that the governing body of the City of
Hutchinson, Minnesota (the "City"), will meet on February 26, 1985, at 8:00 p.m. at
the City offices in Hutchinson, Minnesota, for the purpose of conducting a public
hearing on a proposal to modify the existing Tax Increment Financing Plan for
Development District #4 in accordance with the Minnesota Tax Increment
Financing Act, Minnesota Statutes, Sections 273.71 to 273.78 inclusive. The
governing body will consider the modification of the tax increment financing plan
to provide for the acquisition of the following parcel:
Lot 1, North 18 feet of Lot 2, Block 8, South half of the City of
Hutchinson, County of McCloud.
The Plan is also modified for the purpose of allowing for $285,000 additional
bonded indebtedness.
All persons interested may appear and be heard at the time and place set
forth above.
Dated: January 24 1985
BY ORDER OF THE CITY COUNCIL
OF THE CITY OF HUTCHINSON
By ALU
City Adlniriktrator
r�
U
Ll
• AMENDMENT TO THE DEVELOPMENT PROGRAM
AND THE TAX INCREMENT FINANCING PLAN
FOR DEVELOPMENT DISTRICT NO. 4 OF THE
CITY OF HUTCHINSON, MINNESOTA
•
Section 1. Recitals. The Hutchinson City Council,
by resolution adopted October 14, 1980, designated a development
district pursuant to Minnesota Statutes, Chapter 472A and
a tax increment financing district pursuant to Minnesota
Statutes, Sections 273.71 through 273.78. Both the development
district and the tax increment financing district have been
designated Development District No. 4 (the District). The
Hutchinson City Council has previously approved a Tax Increment
Financing Plan for the District (the Original Plan). By
Resolution No. 73.40, adopted by the Hutchinson City Council
on May 25, 1982, the Hutchinson City Council approved an
amendment to the Plan (the 1982 Amendment). The Original
Plan, as amended by the 1982 Amendment is hereinafter referred
to as the Plan.
Located within the District at the southwest corner
of Main Street and Washington Avenue is the Hutchinson Hotel
(the Hutchinson Hotel). It has been proposed that the Plan
be amended to provide for the acquisition of the Hutchinson
Hotel by the City and the sale thereof to a developer designated
by the City at a reduced cost pursuant to a development agreement
under which the developer agrees to renovate and rehabilitate
the Hutchinson Hotel for commercial and residential use (the
Project).
The City's cost of the Project is estimated to
be as follows:
Land Acquisition
Cost of Issuance and
Administrative Costs
Capitalized Interest
Bond Discount
TOTAL
The proposal provides that the
bonds in the approximate amount
the City's cost of the Project.
$ 117,000
10,500
20,000
2.500
150,000
City shall issue tax increment
of $ 150,000 to finance
Section 2. Findings and Amendment of Plan. After
a public hearing duly noticed and held in accordance with
Minnesota Statutes, Section 273.74, subd. 4, it is hereby
determined to amend the Plan to the extent necessary in order
to undertake the Project and finance the Project through
the issuance of tax increment bonds. The Project as proposed
is an economically feasible use of the Hutchinson Hotel and
comes within the framework of the Land Use and Program Objectives
stated in the Development Program for Development District
No. 4. The Project will result in the enhancing of the overall
retail, commercial and office use of the downtown area of
the City and provide rental housing for residents of the
City and the surrounding area.
3. Findings. In connection with the Project and
the amendment of the Plan approved in Section 2 hereof (the
Plan, as amended) it is found and determined as follows:
A. The Project will not occur through
private investment in the reasonably
forseeable future and therefore the use
of tax increment financing is deemed
necessary.
B. The Plan, as amended, conforms
to the general plan of redevelopment
of the City as a whole.
C. The Plan, as amended, will afford
maximum opportunity, consistent with
the sound needs of the City as a whole
for the redevelopment of the District
by private enterprise. •
•
PUBLISHED IN THE HUTCHINSON LEADER
THURSDAY, MARCH 28, 1985 AND
THURSDAY, APRIL 4, 1985
iPUBLICATION NO. 3397
EXHIBIr A
NOTICE OF PUBLIC HEARING ON A HOUSING
PROGRAM AND A PROPOSED PROJECT UNDER THE
MUNICIPAL HOUSING PROGRAMS ACT, MINNESOTA
STATUTES, CHAPTER 462C
THE CITY OF HUTCHINSON, MINNESOTA
NOTICE IS HEREBY GIVEN that the governing body of the City of
Hutchinson, Minnesota (the "City "), will meet on April 23 1985, at 8:00 p.m.
at the City offices in Hutchinson, Minnesota, for the purpose of conducting a public
hearing on a Housing Plan and Program and a proposal that the City issue its
revenue bonds under the Municipal Housing Programs Act, Minnesota Statutes,
Chapter 462C, as amended, in order to finance the cost of a project. The proposed
project will consist of acquiring land and renovating a building thereon for use as
an 20 -unit residential rental facility. The Project is located at 4 Main South in the
City of Hutchinson, Minnesota, which is legally described as: Lot 1, North 18 feet
of Lot 2, Block 8, South half of the City of Hutchinson, County of McLeod. The
current use of the property is the Hutchinson Hotel. The proposed project will be
•owned by Parkview Plaza Limited Partnership, a Minnesota limited partnership of
which Frank Fay will be a general partner, for use in its business. The estimated
total amount of the proposed issue is $600,000. The bonds shall be a limited
obligation of the City and the bonds arld interest thereon shall be payable solely
from the revenues pledged to the payment thereof, except that such bonds may be
secured by a mortgage and other encumbrance on the project. No holder of any
such bond shall ever have the right to compel any exercise of the taxing power of
the City of Hutchinson to pay the bonds, or the interest thereon, nor to enforce
payment against any property of the City except the project.
All persons interested may appear and be heard at the time and place set
forth above.
Dated: March 27 ,1985
•
BY ORDER OF THE CITY COUNCIL
OF THE CITY OF HUTCHINSON
,-�- d, (1)
0
•
•
RESOLUTION NO. 8007
ADOPTING A HOUSING PLAN PURSUANT TO MINNESOTA
STATUTES, CHAPTER 462C AND RATIFYING SUBMISSION
OF THE PLAN TO THE SIX EAST REGIONAL DEVELOPMENT
COMMISSION.
WHEREAS, pursuant to the Minnesota Municipal Housing Act, Minnesota
Statutes, Chapter 462C (the "Act "), the City of Hutchinson (the "City ") is
authorized to adopt a housing plan and carry out programs for the financing of
multifamily housing which is affordable to persons of low and moderate income;
and
WHEREAS, the Act requires adoption of the housing plan after a public
hearing held thereon after publication of notice in a newspaper of general
circulation in the City at least thirty days in advance of the hearing; and
WHEREAS, notice of a public hearing on a proposed housing plan (the "Plan ")
was published in The Hutchinson Leader, a newspaper of general circulation in the
City, on February 7, 1985 and February 14, 1885; and
WHEREAS, the City has on this date conducted a public hearing on the Plan;
and
WHEREAS, the Act further requires submission of the Plan to the Six East
Regional Development Commission for review and comment;
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of
Hutchinson:
1. That the Housing Plan of the City before the City Council on the
date hereof is hereby in all respects adopted.
2. That the submission of the Plan to the Six East Regional
Development Commission is hereby ratified and approved.
ADOPTED: March 26, 1985
ATTEST:
�n� , � �
�a
RESOLUTION NO. 8008
RESOLUTION ESTABLISHING THE DATE FOR A
PUBLIC HEARING ON A MULTIFAMILY
RESIDENTIAL RENTAL PROGRAM UNDER
MINNESOTA STATUTES, CHAPTER 462C
WHEREAS, the Municipal Housing Programs Act, Minnesota Statutes.
Chapter 462C (the "Act "), authorizes the issuance of revenue bonds to finance
multifamily residential rental projects after adoption of a Housing Plan, including a
Housing Program component; and
WHEREAS, Frank Fay as a general partner of Parkview Plaza Limited
Partnership, a Minnesota limited partnership to be formed (the "Developer ") has
presented this City Council (the "City Council ") of the City of Hutchinson (the
"City ") with information concerning a proposed project (the "Project ") to oe
acquired and- constructed within the City; and
WHEREAS, the Developer has requested that the City resolve to issue
revenue bonds pursuant to the Act to finance the Project; and
WHEREAS, the City has adopted a Housing Plan in accordance with the
requirements of the Act on March 26, 1985; and
WHEREAS, the Act provides that the City Council must conduct a public
hearing on the adoption of a Housing Program after publication of notice thereof at
least once not less than thirty (30) days prior to the date fixed for the public
hearing in a newspaper of general circulation in the City; and
WHEREAS, the Developer has 1resented to the City a form of public notice,
attached hereto as Exhibit A, with a request that the City Council establish a date
for a public hearing on the adoption or amendment of a Housing Plan or Program
including the proposal to undertake and finance the Project and that the City
authorize publication of the form of public notice provided by the Developer;
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF HUTCHINSON THAT:
1. The City will conduct a public hearing on the adoption of the Housing
Program including the proposal to undertake and finance the Project on the
23rd day of April, 1981.
2. The City Administrator of the City is hereby authorized to cause a
public notice, substantially in the form of the notice attached hereto as Exhibit A,
to be published in a newspaper of general circulation in the City.
Adopted by the Citv Council this 26th day of March, 1985.
Gary . P1 t Robert H. Stearns
City Clerk Mayor
EXHIBIT A
NOTICE OF PUBLIC HEARING ON A HOUSING i
PROGRAM AND A PROPOSED PROJECT UNDER THE
MUNICIPAL HOUSING PROGRAMS ACT, MINNESOTA
STATUTES, CHAPTER 462C
THE CITY OF HUTCHINSON, MINNESOTA
NOTICE IS HEREBY GIVEN that the governing body of the City of
Hutchinson, Minnesota (the "City "), will meet on April 23 , 1985, at 8:00 p.m.
at the City offices in Hutchinson, Minnesota, for the purpose of conducting a public
hearing on a Housing Plan and Program and a proposal that the City issue its
revenue bonds under the Municipal Housing Programs Act, Minnesota Statutes,
Chapter 462C, as amended, in order to finance the cost of a project. The proposed
project will consist of acquiring land and renovating a building tliereon for use as
an 20 -unit residential rental facility. The Project is located at 4 Main South in the
City of Hutchinson, Minnesota, which is legally described as: Lot 1, North 18 feet
of Lot 2, Block 8, South half of the City of Hutchinson, County of McLeod. The
current use of the property is the Hutchinson Hotel. The proposed project will be
owned by Parkview Plaza Limited Partnership, a Minnesota limited partnership of
which Frank Fay will be a general partner, for use in its business. The estimated
total amount of the proposed issue is $600,000. The bonds shall be a limited
obligation of the City and the bonds and interest thereon shall be payable solely
from the revenues pledged to the payment thereof, except that such bonds may be
secured by a mortgage and other encumbrance on the project. No holder of any
such bond shall ever have the right to compel any exercise of the taxing power of
the City of Hutchinson to pay the bonds, or the interest thereon, nor to enforce
payment against any property of the City except the project.
All persons interested may appear and be heard at the time and place set
forth above.
Dated: March 27--, 1985
BY ORDER OF THE CITY COUNCIL
OF THE CITY OF HUTCHINSON
UJIMEAk
M.2% WMN&I"
+1
•
(612) 587 -5151
37 WASHINGTON AVENUE WEST
HUTCHINSON, MINN. 55350
March 28, 1985
Re: Rehabilitation of
Hutchinson Hotel
(Frank Fay)
Atty. Stefanie N. Galey
Holmes & Graven
470 Pillsbury Center
Minneapolis, MN 55402
Dear Atty. Galey:
The City Council took the following action at its March 26, 1985 meeting:
1. Approved the Housing Plan and adopted Resolution No. 8007
• 2. Scheduled a new public hearing for April 23, 1985 at 8:00 P.M.
for the Housing Revenue Bonds and adopted Resolution No. 8008
3. Scheduled a new public hearing for April 23, 1985 at 8:00 P.M.
for the Industrial Revenue Bonds and adopted Resolution No. 8009
4. Continued the public hearing to April 23, 1985 at 8 :00 P.M. for
Tax Increment Financing
Enclosed are certified copies of the above -named Resolutions.
Sincerely,
CITY OF HUTCH
INS Ij
Marilyn Swanson
Administrative Secretary
Encl.
LJ
SIX UST REGIONflh DEVEhOPMENT COMMISSION
333 WEST SIXTH STREET
WILLMAR, MINNESOTA 56201
(612) 235 -8504
COMMISSION OFFICERS
EXECUTIVE DIRECTOR
PROGRAM STAFF
Ed Duesterhoeft
H. Eugene Hippe
ECONOMIC /COMMUNITY
Chairman
DEVELOPMENT
•
Orville Wog
Jerry Grinde
Vice Chairman
Eilert Flemming
4 \902122 ?�
Lee Larson
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Robert Otto
Secretary%Treasurer
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Robert Overby
FC`f
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AGING
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Kathleen McCormick
February 22, 1985
—`'f.D Co
FINANCE
Lorraine Patton
8�9stieZ`
Gary Plotz
City Administrator
City of Hutchinson
37 Washington Avenue West
Hutchinson, MN 55350
RE: Consistency of Hutchinson Housing Plan and Proposed Housing
Project (F & T Joint Venture) with Regional Housing Goals and
Objectives.
Dear Gary:
The Commission staff has analyzed the finds of the City of Hutchinson's
Housing Plan in terms of its support for the proposed multi -unit
residential facility, to be financed in dart by revenue bonds issued
by the City.
We have also analyzed the City's Housing Plan in terms of its con-
sistency with the goals and objectives of the Commission's 1984
Regional Housing study.
The Commission staff has found the City of Hutchinson's Housing Plan
is supportive of the proposed multi -unit residential rental facility,
and (the Plan) is also consistent with regional housing goals and
policies.
Excerpts from the local housing plan and the regional housing plan
which support our findings are attached.
Let me know if you should need additional input from our office on this
project.
Sincerely,
Robert L. Overby
Community & Economic DE pment
Specialist
RLO:kr 0
Enc.
HOUSING RECOMMENDATIONS
The City of Hutchinson, like most other cities in the
United State:, has not in the past exerted a major role or
influence on the housing market. Normally, city involvement
in the production, design, and quality of housing has been limited
and building
to subdivision regulations and zoning'controls which have tended
to limit what a developer can build. Through this system of
M controls and regulations, the City has been able to play a
restraining role on the development of housing and other facili-
ties in the City. The changing economic situation, high cost
of production of housing, and the low fixed income nature of some
of the City's residents begins to mandate that the City play
• a more active role in this area. Also, if the City is to grow
and prosper and to provide reasonable and good housing for
am all those desiring to live in the City, then the City should
begin to play a more dominant role in encouraging the diversity,
quality, and type of housing it wishes to have constructed
in the City. The research analysis contained in this report
provides ample evidence that the City should assume a stronger
role in order to correct deficiencies in the supply of housing
and to encourage the expansion of the supply when such is jus-
tified. Based on a review of the information contained within
this report, the following recommendations are made:
A. The Role of the Housing and Redevelopment Authority
It is recommended that the Housing and Redevelopment
• Authority (H.R.A.) of the City of Hutchinson accept a
a
mayor role in promoting the expansion of housing for low
I and moderate Income families and individuals. It is
recorended that the H.R.A. concentrate on providinZ
elderly and non -child 1"amilY-'3 housing in and near the
dcwntown area and to develop a program of providing housinL,
— for low - income families with children on a scattered basin
ZZ throughout the residential neihborhoods of the City.
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Apartment Buildere
It is recor:- j. that the Cit consider the use of
Co=..unity Development lu-ds and other available mcnie-- tc
prcvide desirable multi- family apartment sites in close
p ^orimity to the dz),Vintown area. the City does not bare
any reasonably priced multi - family apartment Sites in
tic area. Cense^uently, this housing is not being produced
in this area where it is needed. The lack of the availabilit,;
of close -in sites forces new apartment construction into
newer single family area, thereby detracting from to
single family character of the newly formed nelghbort-_oodc
and causing undo hostilities or attitudes between dc-.,eloner
and residents.
..
a iz also recommended that the City encourage the wo
_can:: c'nd . mor "r-a -es along k'_t*- con-
-,-T) c o° hc,..cirg acco�- oc,at,s-.
is ord -_r to gu- rantee that rental units are available at
!::'1CaS to all tho--e •rlho �a; aeek " r...al 2CCo^!-
-.;oa2tlonr
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HOUSING
1984 ANALYSIS & POLICIES
KANDIYOH I
MEEKER
RENVILLE
Regional
E
McLEOD
t
Development Commission
a
HOUSING GOALS
1. ADEQUATE HOUSING SUITABLE TO THE NEEDS AND WITHIN THE
MEANS OF ALL RESIDENTS IN THE REGION.
2. CONVENIENT, SAFE AND AESTHETIC LIVING ENVIRONMENTS FOR
ALL RESIDENTS IN THE REGION.
Housing Objectives
1. ASSURE THE AVAILABILITY OF A'N ADEQUATE SUPPLY OF HOUSING IN A WIDE
RANGE OF PRICES, TYPES AND LOCATIONS.
2. ENCOURAGE P?ESER ATION AND, AZ,YE=E "NECESSARY, REHABILITATION OF
EXISTINGr.'OUSL'NG STOC
3. ESTAHISH G ?.ATE' COO ?ERATJ"_, I_,.EE:: THE PURL -- .:_iD PR-VA -- -
�. PROVIDE FOR GRE.,TER r 1-
�OC.4L G_ :'eR::_ ..15.
5. PROh10TE A GREATS COI•L.ITi-1,:iJT BY LOCAL G0,1ERI;',JENT IiN DEVELOPIiJG AiJJ
AD ?•,rrNIS =EiI:: ; HOUST P40Gr ' S 0 T THE FEEDS 0? r AND
MODERATE INCOIE 'OUSEHOLDS.
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n
Choice
OBJECTIVE
ASSURE THE AVAILABILITY Or AN ADEQUATE SL ? ?--' OF HOUSIIG I:d A WIDE
R4NGE OF PRICES, TYPES AND LOCATIONS.
Most communities are made up of households widely diver-
gent in income capabilities, housing preferences and employ-
ment or service destinations. Furthermore, over the life
cycle of an individual household, these factors can be
expected to change often enough to result in different
housing preferences and needs. Lack of choice in housing
can present obstacles to mobility, have adverse effects on
the availability of labor and make it difficult for residents
to establish roots in the community.
Policy: The private sector should be given both the
• flexibility and the support necessary to provide a wide
range of housing.
•
Policy: Housing subsidies should be pursued in order
to provide greater choices in housing, particularly for low
and moderate income households.
Policy: The institutional capacity necessary for
participation in subsidy programs should be established.
Policy: Undue concentrations by type or price of
housing should be avoided both within and among communities.
Policy: Because assisted housing generally is not
subjected to the rigors of market acceptability, efforts
should be made to determine the needs and preference of
the population group served by it.
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Commitment
OBJECTIVE
PRO140TE A GREATER C01VITAENT BY LOCAL GOVERiP ENT IN DEVELOP-7.17G
AND ADMINISTERING HOUSING PROGRA,5 TO WET THE 'IEEDS OF LOW AND
610DERATE INCOIE HOUSEHOLDS.
The private sector is not able to meet the housing
needs of all population segments. Many households simply
-do not have enough money to obtain or maintain adequate
housing in the private market. Government, then, is often
asked to address the needs of households lacking resources
necessary for obtaining shelter through the private market.
The role of government in meeting housing needs is
Iona established. At the federal level, recognition of
housing as a national concern led to programs designed
primarily to help meet the housing needs of persons with
low and moderate incomes. Initially, these programs,
which were usually of limited scope, were designed and
administered by the Federal Government. During recent
years, however, federal policy has recognized that while
communities may still need funding assistance, they are
better able to identify their own housing needs and
design their own housing programs. General revenue
sharing and block grants with fewer strings attached now
provide local government additional fle:-.ibilicy to
develop and administer housing programs supported by the
Federal Government.
The State of Minnesota has also recognized housing
as a concern of the state and has desig_ed hcusino pr__ra:-s
cc -eet the needs of persons ..ith low an,: mr - c- ce—rate ins -cs.
Wi:h the combination of local initiati•:e and desig:
and federal and state financial assistance, local govern-
ment now has an opportunity to develop a greater and more
effective commitment to meeting housing needs, especially
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Cooperation
OBJECTIVE
ESTABLISH GREATER COOPEP.ATION BETWEEN THE PUBLIC AND PRIVA c
SECTOR.
Housing is a joint undertaking by the private and
public sector in many respects. Houses themselves are
usually privately produced and financed, while many of
the facilities and services necessary to make them habit-
able are publically provided. The public sector also
plays a significant role in regulating housing, a role
that has become increasingly important in recent years.
Regulations, however, often have not kept pace with tech-
nological advances or new approaches in development which,
if permitted, might result in reducing the cost of
• producing housing and providing-facilities and services.
Policy: Existing public and private institutions
should be involved in housing efforts as much as possible.
Policy: An adequate supply of suitable land appro-
priately zoned for residential development should be made
available.
Policy: Public facilities and services should be used
to guide community development and not to deliberately
increase the cost of housing or restrict its overall
expansion.
Policy: New approaches for development should be
encouraged by incorporating them into subdivisions and
other land use regulations.
Policy:
Lance should
Policy:
for state or
minimum leve
proposal.
Any application for state or federal ass--
be cost effective.
Administrative costs associated with recuests
federal assistance should be kept to the
1 necessary to effectively administer the
1 -6
those of low and moderate income households. In doing so,
the institution of local government itself can be
strengthened.
Policy: Communities and counties should be encouraged
to form housing and redevelopment authorities (HRA's) or
consolidate HRA's where duplication of effort is evident.
Policy: Federal and state agencies should be
encouraged to simplify application procedures and hasten
application processing times.
Policy: The Regional Development Commission should
assume a role in providing information on housing condi-
tions and needs to the citizens and elected officials of
the region in order that they can more easily determine
their need for various housing programs.
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9
1 -9
PUBLISHED IN THE HUTCHINSON LEADER
THURSDAY, MARCH 28, 1985 AND
THURSDAY, APRIL 4, 1985
PUBLICATION N0. 3396
EXHIBIT A
NOTICE OF PU3LIC HEARING ON A PROPOSED
PROJECT UNDER THE MUNICIPAL INDUSTRIAL
DEVELOPMENT ACT, MINNESOTA STATUTES,
CHAPTER 474, AS AMEN DED
THE CITY OF HUTCHINSON, MINNESOTA
NOTICE IS HEREBY GIVEN that the governing body of the City of
Hutchinson, Minnesota (the "City "), will meet on April 23 , 1985, at 8:00 p.m.
at the City offices in Hutchinson, Minnesota, for the purpose of conducting a public
hearing on a proposal that the City issue its revenue bonds under the Municipal
Industrial Development Act, Minnesota Statutes, Chapter 474, as amended, in order
to finance the cost of a project. The proposed project will consist of acquiring land
and renovating a building thereon for use as an approximately 14,000 square foot
(net rentable space) commercial rental facility. The Project is located at 4 Main
South in the City of Hutchinson, Minnesota, which is legally described as: Lot 1,
North 18 feet of Lot 2, Block 8, South half of the City of Hutchinson, County of
•McLeod. The current use of the property is the Hutchinson Hotel. The proposed
project will be owned by Parkview Plaza Limited Partnership, a Minnesota limited
partnership to be formed of which Frank Fay will be a general partner, for use in
its business. The estimated total amount of the proposed issue is $500,000. The
bonds shall be a limited obligation of the City and the bonds and interest thereon
shall be payable solely from the revenues pledged to the payment thereof, except
that such bonds may be secured by a mortgage and other . encumbrance on the
project. No holder of any such bond shall ever have the right to compel any
exercise of the taxing power of the City of Hutchinson to pay the bonds, or the
interest thereon, nor to enforce payment against any property of the City except
the project.
A draft copy of the proposed application to the Minnesota Energy and
Economic Development Authority for approval of the project, together with all
attachments and exhibits thereto, is available for public inspection at the City
offices.
All persons interested may appear and be heard at the time and place set
forth above.
Dated: March 271 1985
BY ORDER OF THE CITY COUNCIL
OF THE CITY OF HUTCHINSON
• By L
Cit dministra r
RESOLUTION NO. 8009
RESOLUTION ESTABLISHING THE DATE FOR A .
PUBLIC HEARING ON A PROPOSAL TO UNDERTAKE
AND FINANCE A PROJECT UNDER MINNESOTA
STATUTES, CHAPTER 474
WHEREAS, the Minnesota Municipal. Industrial Development Act, Minnesota
Statutes, Sections 474.01 et sue. (the "Act "), authorizes the issuance of revenue
bonds to finance projects; and
WHEREAS, the term "project" is defined by Section 474.02, subdivision la,
of the Act to include "any properties, real or personal, used or useful in connection
with a revenue producing enterprise "; and
WHEREAS, Frank Fay, as a general partner of Parkview Plaza Limited
Partnership, a Minnesota limited partnership to be farmed (the "Developer ") hes
presented this City Council (the "City Council ") of the City of Hutchinson (the
"City ") with information concerning a proposed project (the "Project ") to be
acquired and constructed within the City; and
WHEREAS, the Developer has requested that the City resolve to issue
revenue bonds pursuant to the Act to finance the Project; and
WHEREAS, Section 474.01, subdivision 7b, of the Act provides that the City
Council must conduct a public hearing on any proposal to undertake and finance a
project; and
WHEREAS, Section 474.01, subdivision 7b, of the Act provides that notice of
the time and place of such public hearing and stating the general nature of the
project and an estimate of the principal amount of the bonds or other obligations to
be issued to finance the project must be published at least once not less than
fifteen (15) days nor more than thirty (30) days prior to the date fixed for the
public hearing in the official newspaper of the City and a newspaper of general
circulation in the City; and
WHEREAS, Section 474.01, subdivision 7b, of the Act provides that the
notice must state that a draft copy of the proposed application (the "Application ")
to the Minnesota Energy and Economic Development Authority for approval of the
Project, together with all attachments and exhibits, is on file with the City and
available for public inspection; and
WHEREAS, the Developer has presented to the City a form of public notice,
attached hereto as Exhibit A, with a request that the City Council establish a date
for a public hearing on the proposal to undertake and finance the Project and
authorize publication of the form of public notice provided by the Developer;
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF HUTCHINSON THAT:
1. The City will conduct a public hearing on the proposal to undertake
and finance the Project on the 23rd day of April, 1985.
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2. The City Administrator of the City is hereby authorized to cause a
public notice, substantially in the form of the notice attached hereto as Exhibit A,
to be published in the official newspaper of the City and a newspaper of general
circulation in the City.
3. The City Administrator of the City is hereby authorized and directed
to have available for public inspection in the offices of the City a draft copy of the
proposed Application, together with all attachments and exhibits thereto.
4. Neither this resolution nor any resolution which may be adopted after
public hearing shall constitute a grant of the bond issuance authority of the City.
The City retains the sole discretion to award any allocation of such authority to
any other applicant or applicants and to withhold such an allocation from the
Developer.
Adopted by the City Council this 26th day of March, 1985.
•
ATTEST:
A
it
itv Clerk
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Robert H. Stearns
Mayor
ExIfIBIT A
NOTICE OF PUBLIC HEARING ON A PROPOSED •
PROJECT UNDER THE MUNICIPAL INDUSTRIAL
DEVELOPMENT ACT, MINNESOTA STATUTES,
CHAP'T'ER 474, AS AMENDED
THE CITY OF HUTCHINSON, MINNESOTA
NOTICE IS HEREBY GIVEN that the governing body of the City of
Hutchinson, Minnesota (the "City "), will meet on April 23 1985, at 8:00 p.m.
at the City offices in Hutchinson, Minnesota, for the purpose of conducting a p,..,blic
hearing on a proposal that the City issue its revenue bonds under the Municipal
Industrial Development Act, Minnesota Statutes, Chapter 474, as amended, in order
to finance the cost of a project. The proposed project will consist of acquiring land
and renovating a building thereon for use as an approximately 14,000 square foot
(net rentable space) commercial rental facility. The Project is located at 4 Main`
South in the City of Hutchinson, Minnesota, which is legally described as: Lot 1,
North 18 feet of Lot 2, Block 8, South half of the City of Hutchinson, County of
McLeod. The current use of the property is the Hutchinson Hotel. The proposed
project will be owned by Parkview Plaza Limited Partnership, a Minnesota limited
partnership to be formed of which Frank Fay will be a general partner, for use in
its business. The estimated total amount of the proposed issue is $500,000. The
bonds shall be a limited obligation of the City and the bonds and interest thereon
shall be payable solely from the revenues pledged to the payment thereof, except
that such bonds may be secured by a mortgage and other encumbrance on the
project. No holder of any such bond shall ever have the right to compel any
exercise of the taxing power of the City of Hutchinson to pay the bonds, or the
interest thereon, nor to enforce payment against any property of the City except
the project.
A draft copy of the proposed application to the Minnesota Energy and
Economic Development Authority for approval of the project, together with all
attachments and exhibits thereto, is available for public inspection at the City
offices.
All persons interested may appear and be heard at the time and place set
forth above.
Dated: March 27 , 1985
BY ORDER OF THE CITY COUNCIL
OF THE CITY OF HUTCHINSON
Frank J. Fay 6% Better
i Realty I I dd Homesu
FRANK J. FAY REALTY INC. 126 Main South Hutchinson, Minnesota 55350 Telephone (612) 587 -2341
August 28, 1984
City of Hutchinson
City Hall
Hutchinson, MN 55350
Attn: City Council
Dear N1abers of the Council:
We ask your support on the Industrial Bonds for the rehabilitation
of the Hutch Hotel.
• We need the approval of these bonds to make this project economically
feasible.
Thank you.
sincerely,
K
F'r J. F �
F and T Joint Vlentner
FJF /gjb
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oo °ems -y�
HUTCHINSON COWIT'N1TY i)EVF.? OPMFNT CORPORATIGN
Board of Directors Mcuting
April 4, 1985
MINUTES
Directors Present:
L�\
i
Others Present:
Pon McGraw, Chairman John Bernhagen, Fxecutive Director
Buzz Burich Gary Plotz, City Administrator
Tom Daggett Mark Myers, Chamber Executive Vice Pres.
Don Glas
Glenn Matejka U t1l rNI
The meeting way- alled to order by Chairman McGraw at 7:00 a.m.�1\ Gay
Minutes of the February 7 and 11 meeting were approved.
Treasurer's report was approved.
�Dased on the nine TRB criteria that has recently been established, a review of
these criteria was given for the Parkview Plaza project. Motion made, seconded
and carried to confirm that the project met seven of the nine criteria with
potential of meeting criterial number six and seven.
Motion made, seconded and carried that the previous action as passed for use of
IRB's on January 3, 1985 on a first come first serve basis is established on the
basis of favorable approvable evidenced by passage of the inducement resolution
which is the action of the City Council after the public hearing.
Gary Plotz report +.d that the City Council is asking Hutchinson immunity
Development Corporation to help in preparation of a plan for the use of the cities
TIF account and to help in the planning of the city owned land surrounding the
new waste water treatment facility. The TIF account project will be turned over
to the Finance Cvmmittce and the Industrial Park project to the Sites and Build -
ing Committee.
Bernhag,-n is to set up a two day conference in the later part of May or early Jl_,ne
fur the board and staff.
Meeting was adjourned at 9:00 a.m.
Cha: 1.a of conference:
_:tar City h,-.s !�r -en resuitcu�itd to Su};t,: ^t:.r 1 ? -19 insto�d of Mav 7_9,
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Jl,hn 1, Bernhapen
Eauwim Dirn'au
16121 5117 -5:52
Gary D. Plan.
City Adainanlnr
16121 587-5151
:OARD OF DIRECTORS
Prc.. Ruwld 1. WC.
Aw tv,y al Lar
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ProWaa
Firs NA..[ Bank
Scc.lTru. Chad B. Piehl
Cenil'ied Public Aw
Partner, Du Waym
Paemm & Co.
T.A. IBu¢1 Bu,.h
EA, V.P. Ca,r
Rank and True C...
T,un Dagg.11
V.P., Gcxrul hlariatm
uchi m Mf Salo. Inc.
Fla.
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•
Hutchinson Community Development Corp.
45 Washington Ave. Eau
Hutchinson, Minnesota 55350 40
January 17, 1985
Frank Fay
126 Main Street South
Hutchinson, MN 55350
RE: R & T Joint Venture - Parkview Plaza
Dear Mr. Fay:
At the Hutchinson Community Development Corporation
meeting of January 17, action was taken regarding the
proposal you presented. The following resolution was
approved.
The Board of Directors of Hutchinson Community
Development Corporation recommended to the Hutchinson
City Council the approval of the Parkview Plaza
project contingent upon the necessary financial
statements required including appropriate loan
guarantee and the city auditor giving favorable
review of the project.
As a reminder, it will be necessary for you to submit
your project to the city auditor so that a statement
by them will be available at the City Council's
public hearing on February 26.
Sincerely,
John Bernhagen,
Executive Director
ti
` TC
The City Council of Hutchinson, Minnesota
Dear Council Members:
PIPER JAFFRA�'& H�)RW)OF)
a.A.,
Eu Mln.ea X895 M.mEe. New vo l Soc. E¢nanpe me
Piper )affTm T cr
Pest Office Box_
'v4inne-apoli,, Alinre«ot.i �i440
h12 -342-6000
April 18, 1985
With - regard to the Proposed Industrial Development Revenue and Housing
Revenue Bond issues on behalf of the Parkview Limited Partnership, we
have had discussions with the principals regarding the feasibility of
the proposed project and subject to the following:
1. satisfactory documentation
2. securing a AA rated Letter of Credit or equivalent alternative
form of credit enhancement.
We would agree to underwrite the proposed bond issue.
Sincerely,
PIPER, JAFFRAY & HOP OD INCORPORATED
Michael P. Grossman
Public Finance Department
MPG /rrb
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RESOLUTION NO.
RESOLUTION GIVING PRELIMINARY APPROVAL TO
A PROJECT UNDER THE MUNICIPAL INDUSTRIAL
DEVELOPMENT ACT, REFERRING THE PROPOSAL
TO THE MINNESOTA DEPARTMENT OF ENERGY
AND ECONOMIC DEVELOPMENT FOR APPROVAL,
AND AUTHORIZING PREPARATION OF NECESSARY
DOCUMENTS
WHEREAS, the welfare of the State of Minnesota (the "State") requires
active promotion, attraction, encouragement and development of economically
sound industry and commerce through governmental acts to prevent, so far as
possible, emergence of blighted lands and areas of chronic unemployment, and it is
the policy of the State to facilitate and encourage action by local government units
to prevent the economic deterioration of such areas to the point where the process
can be reversed only by total redevelopment through the use of local, state and
federal funds derived from taxation, with the attendant necessity of relocating
displaced persons and of duplicating public services In other areas; and
WHEREAS, technological change has caused a shift to a significant degree
in the area of opportunity for educated youth to processing, transporting,
marketing, service and other industries, and unless existing and related industries
are retained and new industries are developed to use the available resources of the
•City of Hutchinson (the "City"), a large part of the existing investment of the
community and of the State as a whole in educational and public service facilities
will be lost, and the movement of talented, educated personnel of mature age to
areas where their services may be effectively used and compensated and the
lessening attraction of persons and businesses from other areas for purposes of
industry, commerce and tourism will deprive the City and the State of the
economic and human resources needed as a base for providing governmental
services and facilities for the remaining population; and
WHEREAS, the increase in the amount and cost of governmental services
requires the need for more intensive development and use of land to provide an
adequate tax base to finance these costs; and
WHEREAS, a representative of F & T Joint Venture, a Minnesota general
partnership (the "Developer "), has advised this City Council that it desires to
acquire land and renovate a building thereon for use as a 15,000 square foot (net
rentable space) commercial rental facility (hereinafter referred to as the
"Project"). The Project will be located at 4 Main South in the City of Hutchinson,
Minnesota, which is legally described as: Lot 1, North 18 feet of Lot 2, Block 8,
South half of the City of Hutchinson, County of McCloud. The current use of the
property is the Hutchinson Hotel. The Proposed project will be owned by the
Developer for use in their business; and
WHEREAS, the existence of the Project in the City will contribute to more
intensive development and use of land to increase the tax base of the City and
overla ?ping taxing authorities and maintain and provide for an increase in
opportunities for employment for residents of the City, including economically
disadvantaged or unemployed individuals; and
WHEREAS, the City has been advised that conventional, commercial •
financing to pay the capital cost of the Project is available at such costs of
borrowing that the economic feasibility of operating the Project would be
significantly reduced, and, therefore, the City finds that but for the aid of
municipal financing, and its resulting lower borrowing cost, the Project would not
be underaken;and
WHEREAS, this Council has been advised by a representative of the
Developer that on the basis of information submitted to them and their discussions
with representatives of area financial institutions and potential buyers of tax -
exempt bonds, industrial development revenue bonds of the City could be issued
and sold upon favorable rates and terms to finance the Project; and
WHEREAS, the City is authorized by Minnesota Statutes, Chapter 474, to
Issue its revenue bonds to finance the cost, in whole or in part, of the acquisition,
construction, reconstruction, improvement or extension of capital projects
consisting of properties used and useful in connection with a revenue producing
enterprise, such as that of the Developer, and the issuance of such bonds by the
City would be a substantial inducement to the Developer to construct its facility in
the City; and
WHEREAS, on the basis of Information given the City to date, it appears
that it would be in the best interest of the City to issue its industrial development
revenue bonds under the provisions of Chapter 474 to finance the Project of the
Developer in an amount presently estimated not to exceed $500,000.
NOW, THEREFORE, BE IT RESOLVED THAT:
1. The Project is hereby given preliminary approval by the City and the
issuance of the revenue bonds for such purpose and in such amount is preliminarily
approved, subject to approval of the Project by the Minnesota Department of
Energy and Economic Development and to the mutual agreement of this body, the
Developer and the initial purchaser of the bonds as to the details of the bonds and
provisions for their payment. In all events, it is understood, however, that the
bonds of the City shall not constitute a charge, lien or encumbrance legal or
equitable upon any property of the City except the Project, and the bonds, when,
as, and if issued, shall recite in substance that the bonds, including interest
thereon, are payable solely from the revenues received from the Project and
property pledged to the payment thereof, and shall not constitute a debt of the
City.
2. In accordance with Minnesota Statutes, Section 474.01, Subdivision
7a, the Mayor of the City is hereby authorized and directed to submit the proposal
for the Project to the Minnesota Department of Energy and Economic Development
for approval of the Project. The :Mayor and other officers, employees and agents
of the City are hereby authorized to provide the Minnesota Department of Energy
and Economic Development with any preliminary information needed for this
purpose, and the City Attorney is authorized to initiate and assist in the
preparation of such documents as may be appropriate to the Project, if it is
approved by the Minnesota Department of Energy and Economic Development.
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3. The law firm of Holmes do Graven, Chartered, is authorized to act as
Bond Counsel and to assist in the preparation and review of necessary documents
reatinD to the Project and bonds issued in connection therewith. The Mayor, City
Attorney, and other officers, employees and agents of the City are hereby
authorized to assist Bond Counsel in the preparation of such documents.
4. In accordance with Minnesota Statutes, Section 474.01, Subdivision
11, the City Administrator and other officers, employees and agents of the City
are hereby authorized and directed to encourage the Developer to provide
employment opportunities to economically disadvantaged or unemployed
Individuals. Such individuals may be identified by such mechanisms as are available
to the City, Including a first source agreement in which the Developer agrees to
use a designated State employment office as a first source for employment
recruitment, referral, and placement.
Adopted by the City Council this 23rd day of April, 1985.
• ATTEST:
Gary D. Plotz
City Clerk
•
-3-
Robert H. Stearns
Mayor
(�Wmle/ 4eel
4 Main Street South
Hutchinson, Minnesota 55350
'Vril 16, 1985
City :call
37 Washington Avenue West
Hutchinson, MV 55350
Att: Robert Stearns,Mayor
City Council MaTbers
Dear Mayor Stearns and Council Menbers:
f Z
n4+
i
:E: Parkviw Plaza
A;e- are scheduled to appear before the Council Meeting on Tuesday, April 23,
1985, regarding the Tax Increment Financing for the Parkview Plaza Project.
This project will not be undertaken by this partnership except by the avail-
ability of the Tax Increment Financing by the City.
Thank you for your consideration.
Very truly yours,
Parcviea P %O Partnership
Frank J. ay, Geiferal Partner
FJF /gjb
•
TO:
FROM:
SUBJECT:
11
\J
(612) 587 -5151
j c1: Y OF HuTCHINSCAJ
37 WASHING TON AVE NUE IVES"
HUTCHINSON, MINN. 55350
M E M O R A N D U M
DATE: April 17, 1985
Mayor and City Council
------------------------ - - - - --
Planning Commission
------------------------ - - - - --
FRANK FAY HOTEL REDEVELOPMENT PROJECT
------------------------ - - - - --
At the regular meeting of the Planning Commission on
April 16, 1985, the Frank Fay Hotel Redevelopment project
was reviewed with regard to the Comprehensive Plan. It was
the consensus of the Planning Commission that the concept
of the renovation of the Hutch Hotel is in accordance with
the comprehensive plan. The Planning Commission recommends
approval of the concept of the renovation of the Hutch
Hotel.
COUNTY OF McLEOD
830 11 th Street East
Glencoe, Minnesota 55336
MILO N. KUBASCH
GRANT G. KNUTSON
LAWRENCE A. WENDORFF, Chairma n
let District
3rd District
5th District
Phone (612) 085-2657
Phone (612) 587-9108
Phone (612) 587 -4079
261 Sherman Ave. E, Box 208
Route 0
St. 3, Box 212
Winsted, 55395
Hutchinson, 55350
Hutchinson, 55350
MELVIN H. DOSE
HOWARD CHRISTENSEN, Vice Chalrman
GENE REDDEMANN
2nd District
0th District
Fxecutive Secretary
Phone (61 2) 884 -3304
Phone (612) 587 -0788
Phone (612) 864 -5551
St. 2, Box 180
St. 1, Box 247
Courthouse
Glencoe, 55336
Hutchinson 55360
Glencoe, Minnesota 55336
April 5, 1985
Mr. Gary Plotz
City Administrator
City of Hutchinson
37 Washington Avenue West
Hutchinson, MN 55350
Dear Gary:
Q
McLeod
�234567,�'
4P
ccC) J
C" • 1. ..
This acknowledges your March 15th letter and the tax increment amendment for
rehabilitation of the Hutchinson Hotel.
You and other representatives from the City of Hutchinson discussed this tax
increment proposal with the County Board on March 26. The County Hoard after
reviewing it decided to take no position on your proposal.
This verifies that the City of Hutchinson reviewed the tax increment amendment
for rehabilitation of the Hutchinson Hotel with the County Board as required
by applicable state law. If there are any questions, please advise.
GR /nm
S5cArely, J
- demann
Executive Secretary
McLEOD COUNTY IS AN EQUAL OPPORTUNITY EMPLOYER
•
•
HUTCHINSON PUBLIC SCHOOLS
f�GEGORDON•Cwtrouna INDEPENDENT SCHOOL DISTRICT NO. 423
POD' CI°t
GREEN, Tte HUTCHINSON, MINNESOTA 55350
uurar
Glenn Matejka, Superintendent of Schools
March 26, 1985
Mayor Robert Stearns
Members of the City Council
Hutchinson City Hall
Hutchinson, MN 55350
RE: Tax Increment Financing Rehabilitation of the
Hutchinson Hotel
Dear Mayor Stearns and Council Members:
MWAYNE PETERSON, Vice Cheltssr
DANIEL PERRINE. Dhectet
LUCI t c ARLT. Dbacm
3031•h�
M
As per the request of the City Administrator, the Hutchinson
Board of Education has reviewed the above mentioned proposed
project.
The School Board has not taken a position of opposition in
reference to tax increment financing for the rehabilitation of
the Hutchinson Hotel.
However, the school district re is consideration concerning
the increase of tax incremen valuate n as per the city document
on tax increment financing,/ page 39. The school district
requests special arrangemeriXs turn to the school district a
portion of the taxes that ha en raised from the recent
increase of valuation on tax increment districts.
An early response regarding parag aph 3 would be appreciated.
Thank you for your consideration.
Sincerely,
� �r�
�Wayne Pe erson
Vice Chaan, Board of Education
•STRICT
OFFICES
AREA VOCATIONAL- TECHNICAL INSTITUTE
30 Glen Street NonY
200 Century Avenue
Phone1612)587 -2860
Photo (612) 587.3636
SENIOR HIGH SCHOOL
Roberts Road
Phone 1612) 587 -2151
EQUAL OPPORTUNITY EMPLOYER
JUNIOR HIGH SCHOOL
Roberts Road
Phone 1612) 587.2656
ELEMENTARY SCHOOL
100 Glen Street
Phoae(612) 587.2837
G.
H,
Yearly Principal and Interest •
Payment in Years 3 - 23 $301,200
Estimated Tax Increment From
Areas 1, 2, and 3 Years 3 - 23 333,133
Surplus Tax Increment $ 31,833
The Interest rate and amortization period of the bond
issue will be adjusted to current economic conditions
prior to the authorization for the sale of bonds. The
adjustments will, however, be accomplished in such a
manner to guarantee financial feasibility within the
above framework.
While the activities in the four Development areas are
anticipated to be carried out over the next five to
six years, this tax increment plan contemplates public
expenditures taking place over a two year period of
time. At the end of this time period, no new capital
expenditures will be proposed unless this plan is
modified to reflect those expenditures. Should
modification of this plan be considered, it will be
subject to the same adoption procedures as this plan.
ESTIMATED IMPACT ON TAXING JURISDICTIONS
The four areas contained in the Development Districts
as established, or to be established, have a base
year assessed value of $2,990,097, As such, it
represents the following percentages of the taxable
base of each jurisdiction.
-39-
r-1
6A
Additional tax increments, in an amount not to exceed
K
those derived from Area 4, will be utilized to reduce
or abate the nonassessed portion of a bond issue to pro-
vide public parking in Areas 1 and 2. The tax increment
from Area 4 is currently estimated at $127,000, which
y
would be sufficient to amortize the ssesse re
Nk
of arki ng pro $m_ 1rlpntifioA sa, =ice ig
�thhe
re
The City of Hutchinson may enter into special agreements
with the affected taxing jurisdictions to return to them
any tax increment derived from Area 4 which is attrib-
utable to taxes levied by such taxing jurisdictions for
.their debt service resulting from referendums.
DURATION OF THE PROGRAM 7EXISTEA
While the activities in the four Development areas are
anticipated to be carried out over the next five to
six years, this tax increment plan contemplates public
expenditures taking place over a two year period of
time. At the end of this time period, no new capital
expenditures will be proposed unless this plan is
modified to reflect those expenditures. Should
modification of this plan be considered, it will be
subject to the same adoption procedures as this plan.
ESTIMATED IMPACT ON TAXING JURISDICTIONS
The four areas contained in the Development Districts
as established, or to be established, have a base
year assessed value of $2,990,097, As such, it
represents the following percentages of the taxable
base of each jurisdiction.
-39-
r-1
6A
EHLERS AND ASSOCIATES, INC
FINANCIAL SPECIALIST`
FIRST Ar10NAL-SOO LINE CONCOURSE 507 MARQUETTE AVE. MINNEAPOLIS. MINNESOTA 55402 339-8291 [AREA COOE 812
a
February 26, 1985
Mayor and City Council
City of Hutchinson
City Hall
Hutchinson, Minnesota
RE: Tax Increment Amendment for Rehabilitation of Hutchinson Hotel
Attached is the amendment to the tax increment program to accomplish the
rehabilitation of the Hutchinson Hotel.
I recommend the City Council hear evidence and testimony on February 26, 1985
and continue the Hearing to March 26, 1985. At that time, the Council will
hold hearings on the Housing Bonds and the Industrial Development Revenue
Bonds. It is my opinion the City Council should consider the tax increment
•issue only after full and complete representations on Housing and IDB bonds
are made.
The City has shown its willingness to participate in the project and therefore
need not take any further action unti9 after the Housing and ID8 bond matters
have been decided.
If the project receives favorable consideration in March, the Council will
take action on findings and the amendment to the Tax Increment Plan and
Program.
Very truly yours,
EHLERS AND ASSOCIATES, INC.
William E. Fahey
First Vice President
WEF:nel
i
AMENDMENT TO THE DEVELOPMENT PROGRAM
AND THE TAX INCREMENT FINANCING PLAN
FOR DEVELOPMENT DISTRICT NO. 4 OF THE
CITY OF HUTCHINSON, MINNESOTA
Section 1. Recitals. The Hutchinson City Council,
by resolution adopted 0ct0ct -14, 1980, designated a development
district pursuant to Minnesota Statutes, Chapter 472A and
a tax increment financing district pursuant to Minnesota
Statutes, Sections 273.71 through 273.78. Both the development
district and the tax increment financing district have been
designated Development District No. 4 (the District). The
Hutchinson City Council has previously approved a Tax Increment
Financing Plan for the District (the Original Plan). By
Resolution No. 71.40, adopted by the Hutchinson City Council
on May 25, 1982, the Hutchinson City Council approved an
amendment to the Plan (the 1982 Amendment). The Original
Plan, as amended by the 1982 Amendment is hereinafter referred
to as the Plan.
Located within the District at the southwest corner
of Main Street and Washington Avenue is the Hutchinson Hotel
(the Hutchinson Hotel). It has been proposed that the Plan
be amended to provide for the acquisition of the Hutchinson
Hotel by the City and the sale thereof to a developer designated
by the City at a reduced cost pursuant to a development agreement
under which the developer agrees to renovate and rehabilitate
the Hutchinson Hotel for commercial and residential use (the
Project).
E
The City's cost of the Project is estimated to
be as follows: ^f�F ` 1
Land Acquisition S 117,000
Cost of Issuance and
Administrative Costs 109500
Capitalized Interest 20,000
Bond Discount 2 500
TOTAL T1501000
The proposal provides that the City shall issue tax increment
bonds in the approximate amount of $ 1509000 to finance
the City's cost of the Project.
Section 2. Findings and Amendment of Plan. After
a public hearing duly noticed and held in accordance with
Minnesota Statutes, Section 273.74, subd. 4, it is hereby
determined to amend the Plan to the extent necessary in order
to undertake the Project and finance the Project through
the issuance of tax increment bonds. The Project as proposed
is an economically feasible use of the Hutchinson Hotel and
0
comes within the framework of the Land Use and Program Objectives
stated in the Development Program for Development District
No. 4. The Project will result in the enhancing of the overall
retail, commercial and office use of the downtown area of
the City and provide rental housing for residents of the
City and the surrounding area.
3. Findings. In connection with the Project and
the amendment of the Plan approved in Section 2 hereof (the
Plan, as amended) it is found and determined as follows:
A. The Project will not occur through
private investment in the reasonably
forseeable future and therefore the use
of tax increment financing is deemed
necessary.
B. The Plan, as amended, conforms
to the general plan of redevelopment
of the City as a whole.
C. The Plan, as amended, will afford
maximum opportunity, consistent with I
the sound needs of the City as a whole
for the redevelopment of the District
by private enterprise. l
ell
J
�e
ad
•
•
VALUATIONS
Jurisdiction
City of Hutchinson
IMPACT ON TAX BASE
Jurisdiction
City of Hutchinson
I.S.D. No. 423
McLeod County
IMPACT ON MILL RATES
Jurisdiction
City of Hutchinson
I.S.D. No. 423
McLeod County
CITY OF HUTCHINGON
FRANK FAY HOTEL REDEVELOPMENT
TAX INCREMENT PROJECT
Original Current Projected
Assessed Value Assessed Value Assessed Value
$54,189 $46,384 $285,058
Tax Base
$44,863,754
74,573,566
182,067,941
Current
Mill Rate
48.574
49.809
29.226
127.609
Original
Assessed Value
as Percentage
of Jurisdiction
.001208
.000727
.000298
Potential
Tax Increment
Generated
$11,214
$11,499
$6,747
$29,460
Projected
Assessed Value
as Percentage
of Jurisdiction
.006353
.003822 •
.001565
Potential Mill Rate
Decrease if Development
Occurred without Tax
Increment Financina
.25 mills
.15 mills
.04 mills
•
6
•
u
510 NORTH CENTRAL LIFE TOWER
445 MINNESOTA STREET
ST. PAUL,MINNESOTA 55101
(15121227-8017
P. O. BOX 848
340 FIRST NATK>NAL BANK BUILDING
ROCHESTER, MINNESOTA 55903
(507) 288 -3156
312 FIRST NATIONAL BANK BUILDING
WAYZATA, MINNESOTA 55391
(612) 475 -0373
201 DAVIDSON BUILDING
8 THIRD STREET NORTH
GREAT FALLS, MONTANA 59401
(408)727 -3832
DORSEY & WHITNEY
A Parinemhip Including Prpfeswro l Co PaahOns
2200 FIRST BANK PLACE EAST
MINNEAPOLIS, MINNESOTA 55402
( 612) 340-2600
TELEX 29-0605
TELECOPIER: (612)340 -2868
JEROME P. GILLIGAN
(612) 340 -2962
March 26, 1985
Mr. Gary D. Plotz
City Administrator
City of Hutchinson
37 Washington Avenue West
Hutchinson, Minnesota 55350
Re: Amendments to Tax Increment Plan
Dear Gary:
304 TRANSWESTERN PLAZA III
550 NORTH 31•' STREET
P. O. BOX 109
84 LUNGS. MONTANA 59103
(408(252 -3800
SUITE 875 NORTH
1900 M STREET N. W.
WASHINGTON, D C.20038
(202) 955 -1050
20C PARK AVENUE
NEW YORK, NEW YORK 10168
(212) 972 -4433
30 RUE LA BOETIE
75008 PARIS, FRANCE
011 331 562 32 50
� X5262728
n � �
r L' a V L--- T„
o. t„
Enclosed are ten copies of the latest draft of the
Amendment to the Tax Increment Plan for the Hutchinson Hotel
Project and seven copies of a resolution of the City Council
which approves the Amendment. You will note that the Amendment
and the Resolution contain various blanks which you will need to
complete relating to the cost of the Project and the amount of
tax increment bonds to be issued.
Neither of these documents have been reviewed by Jim
Schaefer so you should arrange to have Jim review them prior to
the meeting if at all possible.
If you have any questions or comments, please give me a
call.
Yours truly,
Jerome P. Gilliga `
JPG:cmn
Enclosures
-s_Q,31
CERTIFICATION OF MINUTES
RELATING TO DEVELOPMENT DISTRICT NO. 4
Issuer: City of Hutchinson, Minnesota
Governing Body: City Council
Kind, date, time and place of meeting: A meeting,
held on March 26, 1985, at o'clock P.M., at the City
Hall.
Members present:
Members absent:
Documents Attached:
Minutes of said meeting (pages) 1 through 3
RESOLUTION NO.
RESOLUTION APPROVING AMENDMENTS TO THE
DEVELOPMENT PROGRAM AND THE TAX INCREMENT
FINANCING PLAN FOR THE DEVELOPMENT DISTRICT
NO. 4 OF THE CITY OF HUTCHINSON, MINNESOTA
I, the undersigned, being the duly qualified and
acting recording officer of the City of Hutchinson, certify
that the resolution attached hereto, as described above,
have been carefully compared with the original records of
the City in my legal custody, from which they have been
transcribed; that the resolution is a correct and complete
copy of a resolution approved by the governing body at the
meeting; and that the meeting was duly held by the governing
body at the time and place and was attended throughout by
the members indicated above, pursuant to call and notice
of such meeting given as required by law.
WITNESS my hand officially as such recording officer
and the seal of the City this day of March, 1985.
(SEAL)
Signature
Gary D. Plotz, City Administrator
Name and Title
E
•
E
Member introduced the following
resolution and moved its adoption:
RESOLUTION NO.
RESOLUTION APPROVING AMENDMENTS TO THE DEVELOPMENT
PROGRAM AND THE TAX INCREMENT FINANCING PLAN FOR
THE DEVELOPMENT DISTRICT NO. 4 OF THE CITY OF
HUTCHINSON, MINNESOTA.
BE IT RESOLVED by the City Council of the City
of Hutchinson, Minnesota, as follows:
1. Recitals. This Council, by resolution adopted
October 14, 1980, designated a development district pursuant
to Minnesota Statutes, Chapter 472A and a tax increment financing
district pursuant to Minnesota Statutes, Sections 273.71
through 273.78. Both the development district and the tax
increment financing district have been designated Development
District No. 4 (the District). The Hutchinson City Council
has previously approved a Tax Increment Financing Plan for
•the District (the Original Plan). By Resolution No. 7140,
adopted by the Hutchinson City Council on May 25, 1982, the
Hutchinson City Council approved an amendment to the Plan
(the 1982 Amendment). The Original Plan, as amended by the
1982 Amendment is hereinafter referred to as the Plan.
Located within the District at the southwest corner
of Main Street and Washington Avenue is the Hutchinson Hotel
(the Hutchinson Hotel). It has been proposed that the Plan
be amended to provide for the acquisition of the Hutchinson
Hotel by the City and the sale thereof to a developer designated
by the City at a reduced cost pursuant to a development agreement
under which the developer agrees to renovate and rehabilitate
the Hutchinson Hotel for commercial and residential use (the
Project).
The City's cost of the Project is estimated to
be as follows:
Land Acquisition $
Cost of Issuance and
Administrative Costs
Capitalized Interest
Bond Discount
TOTAL $
• The proposal provides that the City shall issue tax increment
bonds in the approximate amount of $ to finance
the City's cost of the Project.
2. Amendment of Plan. After a public hearing
duly noticed and held by this Council in accordance with
Minnesota Statutes, Section 273.74, subd. 4, it is hereby
determined to amend the Plan to the extent necessary in order
to undertake the Project and finance the Project through
the issuance of tax increment bonds. The Project as proposed
is an economically feasible use of the Hutchinson Hotel and
comes within the framework of the Land Use and Progam Objectives
stated in the Development Program for Development District
No. 4. The Project will result in the enhancing of the overall
retail, commercial and office use of the downtown area of
the City and provide rental housing for residents of the
City and the surrounding area.
3. Findings Under the Minnesota Tax Increment
Financing Act. Purusant to Minnesota Statutes, Section 273.74,
subdivision 3, it is hereby found that:
(A) The Project would not reasonably be expected
to occur solely through private investment in the reasonably
foreseeable future due to the present high costs of
financing and the high cost of acquiring and renovating
the Hutchinson Hotel and therefore tax increment financing
is deemed necessary;
(B) The amendment of the Plan to the extent necessary •
in order to undertake the Project and finance the Project
through the issuance of tax increment bonds conforms
to the general plan to the development and redevelopment
of the City as a whole in that it aids in the renovation
of an underutilized building in the downtown area of
the City which requires substantial renovation and provides
needed rental housing units for residents of the City
and the surrounding area; and
(C) The amendment of the Plan to the extent necessary
in order to undertake the Project and finance the Project
through the issuance of tax increment bonds will afford
maximum opportunity, consistent with the sound needs
of the City as a whole for the development and redevelopment
of the District by private enterprise in that it serves
as an inducement to a private party to acquire and renovate
the Hutchinson Hotel, all of which benefits the residents
of the City and the surrounding area by increasing the
viability of the downtown area of the City and providing
needed rental housing units.
4. Payment of Tax Increment Bonds. In accordance
with Resolution No. 7714 no tax increment revenue generated
from that area included in the District and currently designated
Tax Increment Area Four, shall be used by the City to pay •
any costs of the Project or to pay all or any portion of
-2-
the principal of or interest on any tax increment bonds issued
by the City to finance the Project.
Adopted by the Hutchinson City Council this
day of , 1985
Attest:
Mayor
City Administrator
The motion for the adoption of the foregoing was
duly seconded by Member , and upon vote
being taken thereon, the following voted in favor thereof:
• and the following voted against the same:
whereupon said resolution was declared passed and adopted
and was signed by the Mayor and his signature was attested
by the City Administrator.
9
-3-
PUBLISHED IN THE HUTCHINSON LEADER
THURSDAY, FEBRUARY 7, 1985
THURSDAY, FEBRUARY 14, 1985
PUBLICATION NO. 3376
NOTICE OF PUBLIC HEARING REGARDING THE
MODIFICATION OF THE EXISTING TAX INCRMEENT
FINANCING PLAN FOR DEVELOPMENT DISTRICT #4
PURSUANT TO MINNESOTA STATUTES, SECTIONS
273.71 TO 273.78 UTUEMW
THE CITY OF HUTCHINSON, MINNESOTA
NOTICE IS HEREBY GIVEN that the governing body of the City of
Hutchinson, Minnesota (the "City"), will meet on February 26, 1985, at 8:00 p.m. at
the City offices in Hutchinson, Minnesota, for the purpose of conducting a public
hearing on a proposal to modify the existing Tax Increment Financing Plan for
Development District #4 in accordance with the Minnesota Tax Increment
Financing Act, Minnesota Statutes, Sections 273.71 to 273.78 inclusive. The
governing body will consider the modification of the tax increment financing plan
to provide for the acquisition of the following parcel:
Lot 1, North 18 feet of Lot 2, Block 8, South half of the City of
Hutchinson, County of McCloud.
The Plan is also modified for the purpose of allowing for $285,000 additional
bonded indebtedness.
All persons interested may appear and be heard at the time and place set
forth above.
Dated: January 24 1985
BY ORDER OF THE CITY COUNCIL
OF THE CITY OF HUTCHINSON
By -Ac,
Cit Adlniriktrator
E
0
'.� �'q ('C�)'
41
to
304 TRANSWESTERN PLAZA III
550 NORTH 31.1 STREET
P. 0. BOX 1179
BILLINGS, MONTANA 59103
(408) 252-3800
SUITE 575 NORTH
IBDO M STREET N. W.
WASHINGTON,D C. 20036
(202) 955 -1050
200 PARK AVENUE
NEW YORK, NEW YORK 10156
(212) 972 -4433
30 RUE LA 80ETIE
75008 PARIS, FRANCE
011 331 582 32 50
16171 9
Mr. Gary D. Plotz
City Administrator
City of Hutchinson CO
37 Washington Avenue South O
Hutchinson, Minnesota 55350
Dear Mr. Plotz :
You have asked whether the City of Hutchinson may
• pledge tax increment revenues to be derived from areas numbered
1, 2 and 3 in Development District No. 4 to the payment of tax
increment bonds to be issued by the City in connection with the
redevelopment of the Hutchinson Hotel (the "1985 Bonds "), without
violating the provisions of Resolution No. 6637, adopted on
November 12, 1980, which sets forth the terms and security for
the City's $650,000 General Obligation Tax Increment Bonds, dated
November 1, 1980 (the "1980 Bonds "), or the provisions of
Resolution No. 7237, adopted on August 2, 1982, which set forth
the terms and security for the City's $135,000 General Obligation
Tax Increment Bonds of 1982, dated as of July 1, 1982 (the "1982
Bonds ").
Under the provisions of Resolution No. 6637 and
Resolution No. 7237, the 1980 Bonds and the 1982 Bonds are
payable from the 1980 General Obligation Tax Increment Bond Fund
(the "Tax Increment Bond Fund ") of the City established by
Resolution No. 6637. The City has pledged to the Tax Increment
Bond Fund the tax increment revenues to be derived from all four
areas of Development District No. 4.
Pursuant to Section 4.07 of Resolution No. 6637 the
City reserved the right to issue additional bonds payable from
the Tax Increment Bond Fund to finance costs of projects to be
undertaken by the City within Development District No. 4 pursuant
• to the development district program and tax increment financing
plan. It was pursuant to this authority that the City issued the
1982 Bonds and made them payable from the Tax Increment Bond
Fund.
N
DORSEY & WHITNEY
A Pannen h,p InClUdinp Prpleoelpnal Co por9hdne
2200 FIRST BANK PLACE EAST
510 NORTH CENTRAL LIFE TOWER
MINNEAPOLIS, MINNESOTA 55402
M5 MINNESOTA STREET
ST. PAUL,MINNESOTA 55101
(612 340 -2600
(612)227 -8017
TELEX 29-0605
P. O. BOX 848
TELECOPIER : (8t2)340-28e8
340 FIRST NATIONAL BANK BUILDING
ROCHESTER, MINNESOTA 55903
( 507) 288-3t58
312 FIRST NATIONAL BANK BUILDING
WAYZATA, MINNESOTA 55391
JEROME P. GILLIGAN
(&2)475 -0373
(612) 300 -2962
201 DAVIDSON BUILDING
8 THIRD STREET NORTH
GREAT FALLS, MONTANA 59401
)406)727 -3632
April 17, 1985
41
to
304 TRANSWESTERN PLAZA III
550 NORTH 31.1 STREET
P. 0. BOX 1179
BILLINGS, MONTANA 59103
(408) 252-3800
SUITE 575 NORTH
IBDO M STREET N. W.
WASHINGTON,D C. 20036
(202) 955 -1050
200 PARK AVENUE
NEW YORK, NEW YORK 10156
(212) 972 -4433
30 RUE LA 80ETIE
75008 PARIS, FRANCE
011 331 582 32 50
16171 9
Mr. Gary D. Plotz
City Administrator
City of Hutchinson CO
37 Washington Avenue South O
Hutchinson, Minnesota 55350
Dear Mr. Plotz :
You have asked whether the City of Hutchinson may
• pledge tax increment revenues to be derived from areas numbered
1, 2 and 3 in Development District No. 4 to the payment of tax
increment bonds to be issued by the City in connection with the
redevelopment of the Hutchinson Hotel (the "1985 Bonds "), without
violating the provisions of Resolution No. 6637, adopted on
November 12, 1980, which sets forth the terms and security for
the City's $650,000 General Obligation Tax Increment Bonds, dated
November 1, 1980 (the "1980 Bonds "), or the provisions of
Resolution No. 7237, adopted on August 2, 1982, which set forth
the terms and security for the City's $135,000 General Obligation
Tax Increment Bonds of 1982, dated as of July 1, 1982 (the "1982
Bonds ").
Under the provisions of Resolution No. 6637 and
Resolution No. 7237, the 1980 Bonds and the 1982 Bonds are
payable from the 1980 General Obligation Tax Increment Bond Fund
(the "Tax Increment Bond Fund ") of the City established by
Resolution No. 6637. The City has pledged to the Tax Increment
Bond Fund the tax increment revenues to be derived from all four
areas of Development District No. 4.
Pursuant to Section 4.07 of Resolution No. 6637 the
City reserved the right to issue additional bonds payable from
the Tax Increment Bond Fund to finance costs of projects to be
undertaken by the City within Development District No. 4 pursuant
• to the development district program and tax increment financing
plan. It was pursuant to this authority that the City issued the
1982 Bonds and made them payable from the Tax Increment Bond
Fund.
N
DORSEY & WHITNEY
Page -2-
Mr. Gary D. Plotz
April 17, 1985
If the City were to determine to issue the 1985 Bonds
the bond resolution adopted by the City Council for the 1985
Bonds will provide that they are being issued pursuant to the
authority contained in Section 4.07 of Resolution No. 6637 to
issue additional bonds payable from the Tax Increment Bond Fund
for projects undertaken by the City in Development District No. 4
pursuant to the development district program and tax increment
financing plan. The bond resolution would provide that only tax
increment revenues in the Tax Increment Bond Fund derived from
areas numbered 1, 2 and 3 of Development District No. 4 would be
used to pay the 1985 Bonds. This would require the City to
segregate in the Tax Increment Bond Fund the tax increment
revenues derived from areas 1, 2 and 3 and the tax increment
revenue derived from area 4. The issuance by the City of the
1985 Bonds in this manner will not violate the provisions of
Resolution No. 6637 or Resolution No. 7237.
You have informed me that the City is considering •
making a deposit of tax increment revenue derived from area
number 4 of Development District No. 4 to the debt service fund
for the $780,000 General Obligation Parking Improvement Refunding
Bonds of 1985, dated May 1, 1984 (the "Parking Bonds ") to pay the
City's share of the Parking Bonds. The City Council has
previously adopted a resolution authorizing the use of excess tax
increment revenues to pay for the Parking Bonds. Resolution No.
7712 sets forth the terms and security of the Parking Bonds and
provides in Section 5.01 that the Parking Bonds are payable from
the 1984 Parking Improvement Refunding Bond Fund (the "Parking
Bonds Bond Fund ") which the City is to maintain as a separate
debt service fund until the Parking Bonds and all interest
thereon are fully paid. This deposit of tax increment revenue
would presumably be made by the City to the Parking Bonds Bond
Fund.
Under Section 7.05 of Resolution No. 7712 the City
Administrator is to ascertain monthly the amount on deposit in
the Parking Bonds Bond Fund. If the amount on deposit therein
ever exceeds the aggregate amount of principal and interest due
and payable from the Parking Bonds Bond Fund through the
following May 1, plus a reasonable carryover amount not exceeding
the greater of one year's earnings on the Parking Bonds Bond Fund
or one - twelfth of the annual debt service payable therefrom, such
excess shall be used to prepay and redeem the Parking Bonds or
shall be invested at a yield less than or equal to the yield on
DORSEY & WHITNEY
+ Page -3-
Mr. Gary D. Plotz
April 17, 1985
the Parking Bonds. This provision is included in Resolution No.
7712 to evidence the restrictions on the investment of funds in
the Parking Bonds Bond Fund under the arbitrage regulations
promulgated under Section 103(c) of the Internal Revenue Code of
1954, as amended. If the deposit in the tax increment revenues
to the Parking Bonds Bond Fund causes the amount in this Fund to
exceed the amount provided in Section 7.05 of Resolution No.
7712, such excess must either be used to prepay and redeem
Parking Bonds or be invested at -a yield less than or equal to the
yield on the Parking Bonds. Since the Parking Bonds are not
prepayable until May 1, 1991, at this time the only option for
the City if this amount exceeded would be to restrict the yield
on the investment of the excess funds in the Parking Bonds Bond
Fund to the yield on the Parking Bonds. The yield on the Parking
Bonds for this purpose was determined at the time of issuance of
the Parking Bonds to be 10.4% per annum. If it is necessary to
restrict the yield on the investment of funds in the Parking
• Bonds Fund such investment must be made in compliance with the
"market price" rules under the arbitrage regulations.
Should you have any further questions relating to the
matters addressed in this letter, please do not hesitate to call
me.
JPG:cmn
cc: James Schaefer
William Fahey
E
Yours truly
Jeromi /C-ill' an
r
V
A.O. (Tony) Victorian
(County Assessor)
January 8, 1985
Office of
MCLEOD COUNTY ASSESSOR
Court House
Glencoe, Minnesota 55336
Mr. Frank Fay
Frank J Fay Realty Inc.
126 Main S.
Hutchinson, MN 55350
Dear Frank,
Based on the rental information you furnished this office on
the proposed renovation of the Hutchinson Hotel I made the following
tax estimates.
Using the income from the apartments and retail area and
Fallowing for expenses etc. the estimated tax would be $33,819.58. I am
ing the current 1984 Hutchinson City mill rate of 118.639.
Telephone
864.5559
However based on the current level of assessment in Hutchinson
City and allowing for an adjustment in value for the commercial property
the tax would be $26,398.84.
Sincerely,
1
A. 0. Victorian LO f / N, /10
Count;: Assessor
AOV /ar
CC: Gary Plotz
City Administrator
Hutchinson, MN
FPJ 01 J
Mike Saxton
Truckers Sheehy Constructors Inc.
Minneapolis, MN
NEXA/ r'RO 2Gti
Ax
61 39y— 7,3ya.
,33iP?_7139
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6� 3c7
X139,2- 7Xcs @ 1J�,639�/
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McLeod County
Equal Opportunity Employer
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c27
9
(612) 587 -5151
CITY OF HUTCHINSON
tiv ,-_JlNSON NIAN ti5
M E M O R A N D U M
DATE: April 19, 1985
TO: Mayor & Council_
----------- - - - - --
FROM: Gary Plotz
SUBJECT: QUESTIONS FROM JAMES DEMEYER SUBMITTED TO—THE—CITY COUNCIL
------------- - - - - -- - - --
ON MARCH 26th, 1985
The objections raised by James DeMeyer are on file, and
the parties that have provided the various documents within
your packet on the Frank Fay poject have been notified.
These parties include:
• Attorney Stefanie Galey, Holmes & Graven
Attorney Jerry Gilligan, Dorsey & Whitney
Attorney James Schaefer, City Attorney
Mr. William Fahey, Ehlers & Associates
Hutchinson Housing Authority
Community Development Corporation
Frank Fay, Developer
The Hutchinson Housing Authority has responded to question Ill
page 1, and questions X15, 6, 7, 8, 9, 10, 16 and 18 of page 2.
Frank Fay has stated he has provided verification of ownership
to the City Auditor that answers questions #1, 2, 3 and 4. He
is requesting confidentiality of these materials.
Question #11 cannot be answered at this time. The valuation is
set by the County Assessor. Question #12 regarding values are
shown by Bill Fahey in the tax increment valuation estimates;
namely, an "estimated" completed assessed value of $285,058.
See attached sheet.
Question #13 regarding transfer of the Parkview Plaza property
limitations will be proposed by the City Attorney, similar to
the past limitations on the S & L project's development agree-
ment.
Question #1 — Ownership is proposed as Parkview Plaza Limited
Partnership. Holmes and Graven can respond further at the
Council meeting, if desired, on either the ownership or rental
questions raised.
QUESTIONS /JAMES DEMEYER
April, 19, 1985
PAGE 2
Question #15 - Frank Fay has stated there is no relocation.
Question 0116 - The Community Development Board members are: Ron McGraw,
Art Cooper, Don Glas, Tom "Buzz" Burich and Glenn Matejka.
Question #17 Regarding minutes - The community minutes are placed in
the Council packet subsequent to the CDC meetins. John Bernhagen can
respond or review the minutes if desired.
Question #19 regarding ownership is a bond counsel question. Jerry
Gilligan has provided a letter on April 17, 1985.
Question 0120 - The types of guarantees are in the proposed developers_'
agreements. See "Contract for Sale of Land for Private Development"
and "Assessment Agreement" within Council packet. Jim Schaefer will
comment on this question.
Question 1121 - refer to response in question 0120.
Question 1122 - Bond Counsel has advised the City on all time - frames and
will be present at the meeting (Stefanie Galey).
Question 1123 - Regarding leased parking, the City Council has requested •
a survey (enclosed in packet); and the proposed leased parking spaces
on the west side of Franklin, adjacent to the Flinn /White dental offices,
is a parking lot purchased several years ago, prior to the downtown
parking financing.
•
Hutchinson City Council
ATTN: Pat Mikulecky
Hutchinson, MN 55350
In consideration of the fact that due to the results of an auto
accident of May 23, 1984, my health is such that I am not able to
be present at the hearings as it relates to that which is commonly
known as "The Hutch Hotel ", Hutchinson, MN. I hereby request this
being entered into the hearing minutes on the Housing Revenue Bonds
and Tax Increment Financing March 26, 1985. I have asked Alderman,
Pat Mikulecky to read the following:
MAYOR STEARNS AND FELLOW ALDERMEN:
I have recently been informed that the present owner of what is
commonly known as the Hutch Hotel property is requesting tax
increment in the amount of $ 285,000.00. He's also including a
request for the City of Hutchinson to lease a parking lot, this in
my opinion is in gross excess of common courtesy.
With information obtained from the McLeod County Court House, the
estimated market value for the Hutch Hotel for 1984 was $ 128,800.00,
how can a proposed purchase of $ 285,000.00 be justified?
Mr. Fay is a real estate broker and should have knowledge that
apartment units, including land and garages are able to be provided
at a cost of approximately 28,000 - 32,000 dollars per unit, new!
I have not seen any reports as to the existing tenants on the main
floor of the building, vacating their leased areas, therefore, based
on that, there would be no new tenants of the main level. The super
structure is being left in place and not changing substantially the
esthetics value and /or character of the property. It would appear
that based on the amount of housing units being provided, that the
request for tax increment funds and the parking lot would be approximately
half of what a new unit could be built for. Without tax increment
financing all the new generated tax dollars would go for the operations
of the city, county, and school district # 423.
The fact of the upper levels of the Hutch Hotel being shut down should
have no bearing on these financing requests. The building was purchased
accordingly and Mr. Fay choose not to maintain the building, to meet
the standards as established.
As reported the project has previously been approved by the Hutchinson
Community Development Corporation and the Hutchinson Redevelopment
Authority without having provided a total disclosure as to how the
project and financing would affect the tax payers of Hutchinson. With
information reported in the Hutchinson Leader, I don't think it's
proper to use the Hutchinson city name without a disclosure as to the
liabilities and costs incurred by the city which may affect the tax
payers. This is improper and unjust.
Why is the Hutchinson Housing and Redevelopment Authority becoming
involved in privately owned ventures? With a management rate of
• $ 250.00 per unit; per year or a total of (19 x 250) $ 4,750.00, who
will benefit?
Page 2
At a estimated value of approximately $ 30,000.00 per living rental
unit including the value of the parking lot and the tax increment
funds, how much more or less than S 40,000.00 per year would the tax
payers be contributing to Frank Fay or his heirs or assigns? Yes,
could this be approximately $ 40,000.00 per year or yes, could this
be a total benefit of $ 800,000.00 to Frank Fay?
Why is it such that the tax payers have to request this type of
information when it should be provided total and complete through
staff and /or organizations approving a project requesting tax dollars.
I am not familiar with Mr. Fay supporting the renovation of the Old
Armory or the development of the Hutchinson Mall for IRB bonds, how
can he now justify the request he has made?
With information provided, the expansion of the Hutch Hotel that
is being proposed does not include for a competitive bid, therefore,
profit costs, etc., are at the discretion of those that develope it.
In my judgment, what is being requested is a request of the tax payers
to subsidize a project which is already owned by the party associated
with the development.
To manage and subsidize a project for Frank Fay, who in my opinion,
is a clever speculator, not a developer, is unjust to those who
have developed and menage their own property at their own expense.
Affidavits to the following listed items, should be obtained, then
and
only then can a proper hearing be provided.
1.
Does Mr. Fay owp the ropernt{y, commonly known as the Hutch Hotel?
"r
i^ ' %•/ I tJ P..
n f! ( f f� _,y is 1/-/1�'�- i- �F}il1
mil
2.
Who did Mr. Fay purchase the property from?
3.
How much did Mr. Fay pay for the at the time of purchase?
AIA
`property
1
4.
How much was applied to the down payment at }he time of ,Purchase?
.%rt)[i f/f. c-✓� ��F1��CiJ
L
5.
Who will receive the $ 4,750.00 per year for managing the property?
6.
What is the occupancy factor for Park Towers for the year 1984?
7.
What is the financial statutes for Park Towers for the year 1984?
8. What is the occupancy factor for the Evergreen Apartment complex
for the year 1984?
9. Is the Housing Authority establishing a rate of, how many dollars
per unit, per month, guaranteed by the government, for the repayment
of the debt?
10. Is the dollar value that may be established by the Housing Authority
then going to be subsidized by tax dollars?
11. What is the valuation estblished for each completed apartment unit?
12. What is the appraisal valuation estimated by the County Assessors
office for the completed project? 9
13. What provisions are in the agreement so that the property can not be
exchanged, sold or transferred prior to all bonds and /or mortgages .
for said project paid in full? r
14. Who will own the Hutch Hotel property after the city has provided
rental of the property and when the tax payers may have guaranteed .
the rent income ?�,;
Page 3
15. How much are the relocation costs ?
16. What are the names of the board members of the Hutchinson Housing
16 and Redevelopment Authority?
17. What are the names of the board members of the Hutchinson Community
Development Corporation?
18. With the minutes provided the city council as to the claimed
support given by the Hutchinson Housing and Redevelopment
Authority and the Hutchinson Community Development Corporation,
which members voted their support? d ;�
19. What statutes are provided, whereby a property owner already' N�
claiming ownership of a property, has the right to obtain taxY
increment funds as it• relates to the acquiring of ownership of
a property for development which already exists.
20. What will happen if the improvement of the project is not completed
to the value of $ 1,500,000.00? d '� 3' :k ��, ✓� J , j� u� '"`�
21. What guarantee by affidavit that the improvements proposed will not
be reduced after the hearing is closed and the granting of the
bonds, which if said improvements are reduced, would in effect -
change the valuation established at the time of the hearing?
22. What is the requirement, regarding the calling of a hearing as to
the time frame required by law as it relates to the $ 600,000.00
housing bond, $ 500,000.00 Industrial Revenue Bonds, and the /, j
$ 285,000.00 tax increment financing? ,,
• 23. What collateral is pledged to repay the proposed leased - Vd,,a
parking lot?
I hereby object to the providing 3f tax increment financing for this
project. The leasing of any city parking facilities, and having the
HRA manage the housing units.
James G. DeMeyer
364 Larson Street
Hutchinson, MN
E
HUTCHINSON HOUSING AND REDEVELOPMENT AUTHORITY
133 Third Avenue DW, Hutchinson, Min���ta 55350
Telephone: (612) 587 -2166
Ul
EQUAL HOUSING c / Q�
IC - OPPO /
,
OPPORTUNITY CY irJ ��S L -
April 3, 1985
Mr. Gary Plotz, City Administrator
37 Washington Avenue West
Hutchinson, MN 55350
Dear Gary:
The following listing provides you with the information required to
answer the inquiries made by James G. Demever to the Hutchinson HRA
in its involvement in the Hutch Hotel Rehab Project. These responses
were adopted at a special HRA Board meeting on April 2, 1985.
Response to Question Last Paragraph Page #1:
The Hutchinson HRA has been the management agent for the privately
owned Evergreen Apartment Project since January 1982, and is paid a
management agent fee for its services of approximately $250.00 per unit
per year. These rates are established and approved by the Minnesota
Housing Finance Agency on an annual basis, and the Hutch Hotel Rehab
Project will be managed under the same principles. All HRA management
expenses are covered by the management fees received.
Response to Question #5 Page #2:
The Hutchinson HRA as management agent for the residential apartment
units.
Response to Question #6 Page #2:
100% occupancy, approximately a six month wait to be admitted.
Response to Question #7 Page #2:
The Park Towers annual financial report is included in the consolidated
audit for the City of Hutchirson,and information regarding it is obtainable
from the audit.
Response to Question #8 Page #2:
100% occupancy, approximately an eighteen month wait to be admitted.
Response to Question #9 Page #2:
The Hutchinson ERA has no liability, nor has underwritten or been
obligated to repay any of the deb, of the Hutch Hotel Rehab Project. The
H.RA will be hired as management agent only for the residential section of
the project.
Response to to Question #10 Page #22Page #2:
No. refer to the response to question #9.
Response to to Question #l6 Page #3Page #3:
The membership information is posted at all times in the main lobby
cf City Hall and is as follows: Paul L. Ackland, Chairman; Garey Knudsen,
Vice - Chairman; Mildred Nelson, Secretary /Treasurer; Phyllis Hegrenes,
Commissioner; and Don Krasen, Commissioner.
HUTCHINSON HOUSING AND REDEVELOPMENT AUTHORITY
133 Third Avenue S.W. • Hutchinson, Minnesota 55350
Telephone: (612) 587 -2168
ti
EQUAL HOUSING
OPPORTUNITY
Page Two - Letter Gary Plotz April 3, 1985
Response to Question #18 Page #3:
See attached copy of the appropriate section of the minutes of the
January lb, 1985 meeting.
The above concludes our responses to Mr. Demeyer's inquiries and are
inteftded to provide the information needed by the Hutchinson City Council
if necessary in any formal response.
•
Enclosure
0
Sincerely,
�fL ttclC�
Carol Haukos
Executive Director
Page Three - Minutes HHRk Regular Board Meeting January 16, 1985
to
additional discussion Garay Knudsen moved that the HRA aDDrove a fifteen
year ement t antract
specification would be satisfactory to the partiee concerned, and
the rata a or a ecision would be based on Is desire to eee _
a betterment of e downtown diefrTet that would re u1t Srom the pro _1ect._
EE an increase in strata call located
D"U.dAts. Pa Ac and seconded. Gaza Snudsen, Emil Ankland Mildred
Nelson and Don Krkian voted iiLtavnr _ Phyllis Hearenes noted against
Motion carried four votes to one._ The director was instructed to formally
notify Mr. Fay of the board's decision.
VII. OTHER BUSINESS
Paul Ackland informed board members that he had been notified by Travelers
Insurance that--the workmen's compensation rates for 1985 had been increased
dramatically. This increase was the result of the State of Minnesota
changing control of the rates allowed. The billing for our 1985 insurance
would reflect the increase from 92.60/ :100 to i3.77/$100.
VIII. ADJOURNMENT
Chairman Ackland called for adjournment. Meeting adjourned.
Recorded by Carol Haukos, Executive Director.
20. 1985 2:00 P
Mildred Nelson, Secretary /Treasurer
•
(612) 587 -5151
oe "37 WASHINGTON AVENUE WEST
HUTCHINSON, MINN. 55350
11�
February 1, 1985
Ms. Stefanie N. Galey, Atty.
Holmes & Graven
470 Pillsbury Center
Minneapolis, MN 55402
RE: F & T Joint Venture Project
Rehabilitation of Hutchinson Hotel
Dear Stefanie:
• Attached is a copy of Hutchinson's Tax Increment Finance Plan as of the
October 1980 printing. There have been some minor amendments; however,
this is the basic plan.
The "findings" to qualify the district as "redevelopment" are available
if you desire to request this additional information.
Sincerely,
CITY OF HUTCHINSON
.rA
Gary e. , otz
City Administrator
GDP: ms
Encl.
cc: Kenneth B. Merrill, Finance Dir.
Bill Fahey, Ehlers & Associates
r1
LJ
r (612) 587 -5151
CITY OF HUTCHINSON
37 h✓ASHINC`0�% z VV'EST
HUTCHlNSON �
M E M O R A N D U M
DATE: April 12, 1985
TO: Atty. James Schaefer, Frank Fay, County Assessor Tony Victorian,
-
----- - - - - - - - - - - - - - - - - - - - - - - - -
County Attorney Pete Kasal
FROM: - Gary .D,Plet7. St A-didnia-tutorr— - - - - - - - - - - -
SUBJECT: Draft Copy of Contract for Sale of Land for Private Development;
------------------------------
and Assessment Agreement for the Proposed Hutchinson Hotel Project
Enclosed are the documents for your review of the anticipated Hutchinson
Hotel project.
These documents will be placed in the City Council packet on April 18, 1985 •
and will be considered by the Council on April 23, 1985.
I would appreciate a memo by April 18, 1985 from the City Attorney concerning
his evaluation of the documents.
In relation to the proposed Assessment Agreement, I would appreciate the
County Assessor and County Attorney reviewing the agreement(s) and specifically
Exhibit C. If there are any objections executing Exhibit C, please advise the
City Attorney James Schaefer immediately prior to April 18, 1985.
The documents were drawn up by Atty. Jerry Gilligan of Dorsey Whitney law
firm (612) 340 -2962, and I understand they are boil -plate agreements utilized
in other projects by the Dorsey Whitney law firm.
/ms
cc: Mayor & City Council
Ken Merrill, Finance Dir.
Bill Fahey, Financial Consultant
John Bernhagen, Comm. Develop. Corp. Exec. Dir.
11
(612) 587 -5151
ff CITY OF HUTCHINSCN
WASHINGTON AVENUE WEST
CHINSON. MINN. 55350
April 19, 1985
The Hutchinson City Council
RE: Hutchinson Hotel Assessment Agreement; Contract For Sale
of Land For Private Development
Dear Councilmembers:
I have been asked to comment on the above - mentioned documents.
The assessment agreement is authorized by Minnesota Statutes
Section 273.76, Subdivision 8. A copy of that section is
included as Exhibit D of the Assessment Agreement. Highlights
of the agreement are:
• 1.02 - The developer and the City agree to the purchase and
sale of the proposed property with the city to finance
the purchase of the property through tax increment
bonds.
1.04 - The city pledges that the debt service on the bonds will
be payable primarily from the increments derived from
all the taxable property in the district with the
exception of the increments of area four. It should be
remembered that the economic analysis of this project
indicates that it should be self - supporting, that is,
the increments generated by this project alone should be
sufficient to cover the debt service on the bonds.
2.01
- The developer agrees for taxing purposes the facility
shall deem to be completed as of January 1, 1986 whether
or not the project is actually completed.
2.02
- The developer agrees that nothing he does shall reduce
the minimum market value of the property for tax purposes
to below a certain a value. This value should be
sufficient to pay the bond through the increments
generated.
2.03
- The developer agrees that the minimum market value agreed
upon is a fair and accurate value of the property's worth
after renovation and further agrees that in the future
assessed values w'_11 not be less than values agreed upon
•
in this document.
2. "�4
- The McLeod County Assessor is permitted to assess a higher
market value than that agreed upon in this document.
The Hutchinson City Council •
April 19, 1985
Page Two
3.02 - This provides that recording of any documents is the
developer's responsibility.
5.01 - This binds the developer and all his subsequent holders.
This is the reason for requiring that this document be
recorded.
Exhibit C of the Assessment Agreement is a certificate signed
by the McLeod County Assessor. This document has been presented
to the McLeod County Attorney and the McLeod County Assessor
for their examination. I have discussed this matter briefly
with the assessor and assuming the documents provided him
do indicate the proper market value there would appear to be
no problem with obtaining the signature of the assessor on this
document.
The Contract for the Sale of Land covers the purchase and the
sale of the real estate.
Its highlights are as follows:
2.04 - The developer shall pay all taxes subsequent to the date
of the closing. Since the city will only purchase the
property if all taxes prior to the date of closing have
been paid, there will be no tax liability on the city.
2.06 - The developer waives any rights it may have to require
title evidence or examination of title.
3.01 - The city agrees to purchase the property and finance the
cost through the proceeds of the bonds.
3.03 - The developer agrees that the proceeds of the bonds will
not be disbursed until he has provided the city with all
necessary documents showing his ability to pay the cost
of acquiring the property and constructing the improvements.
4.01 - Among other things, this provides that the developer shall
not transfer the property to any tax exempt entity. If
you should so desire, it is possible to place a limitation
on this ability of the developer to transfer the property
to any other entity for a certain time frame.
4.02 - The developer must comply with all local laws, ordinances,
rules and regulations concerning the improvements to be
made to the property.
4.07 - This again provides for specific periodic increases in
the assessed market value.
4.08 - This provides that the developer is responsible for payment
of administrative expenses.
The Hutchinson City Council
April 19, 1985
Page Three
5.02 - This provides that the covenants run with the land and
bind any subsequent holder of the property.
5.03 - This paragraph restricts the transfer of the property
or any subsequent encumbrances until after a completion
certificate has been issued. Again, a longer period
could be installed.
5.06, 5.07 - These paragraphs provide for the insurance and a
method of disbursing any insurance proceeds.
6.01 - This paragraph provides for the disbursement of tax
increment revenues other than the increments derived
from area four.
6.02 - This provides for a partial bond guarantee by the developer.
If any of you have any questions concerning this document,
please feel free to contact me directly.
Sincerely yours,
• CITY OF HUTCHINSON
JAMES H. SCHAEFER
By /
James H. Schaefer
Hutchinson City Attorney
JHS:dlp
•
(612) 587 -5151
CITY OF HUTCHINSON
37 WASHINGTON AVENUE WEST
HUTCHINSON, MINN. 55350
M E M 0 R A N D U
DATE: April 12, 1985
To: Mayor & Council
From: Ken Merrill - Finance Director
Subject: Parking Bonds
Since 1981, our parking program has gone through numerous
changes. It would appear 1985 will just about end the construc-
tion phase of the program. In 1984, a bond issue was sold -
proceeds of which were used with excess money from 1981 parking
bonds to defease the 1981 Parking Bonds.
Thirteen years remain to be paid on the program of which the
city is committed to share the assessment. Roll 152 adopted the
portion to be assessed ($392,000). Appeals and corrections have
reduced this number. As of December 31, 1984, collection to be
made, including appeals, was $291,000.
City portion of the project originally was $260,000. To this
amount, the interest must be added, and, of course, pending
nonpayment of the assessment, the nonassessed portion must be
paid by the city. I have assumed this would be paid from the
tax increment and not ad- valorem taxes. Because of delinquency
factors and paybacks, exact amounts needed for the city portion
are not totally clear.
In our tax increment project, we have collected in area 4 a
total of $254,000; plus some interest could be assigned. This
amount has not yet been transferred to 1984 Parking Bond. In
1985, there is the collection of $2139249 anticipated; it would
be somewhat less due to delinquency. This would give us a total
of $467,249• If 1986 is similar in dollars as 1985, we should
have enough money for the 1984 bond fund.
By providing this money, we would allow a cushion for the fund.
Money left over, if any, could be given back for the County to
redistribute to the taxing jurisdiction, when all bonds have
been paid. If we out the amount back and eliminate the area too
soon, there could be the possibility of needing an ad- valorem •
tax to make up the difference, which would seem to be against
the intent of the council.
SQ�3�
-5151
612) 587
CITY OF HUTCHINSON
37 WASHINGTON AVE(\IL,E VEST
hUT CHASON, MiNN 55350
M E M O R A N D U M
DATE: April 12, 1985
To: Mayor & Council
From: Ken Merrill - Finance Director
Subject: Tax Increment Status
As of December 31, 1984, our tax increment fund for the City of Hutchinson
shows the following information:
Cash Balance
Cash on hand: Remaining 12/31/84
Area I $ 67044 *
Area II 1201789 *
• Area III 620911 *
Area IV 2549175
Interest Earned 45,387
Total $55
*Using % of balance compared to total $'s generated.
I II III IV TOTAL
1984 Capture value 226,754 594,202 216,144 115289967 215669067
Net received 269902 70,496 259643 1819395 304,436
1985 Capture value 448,586 9419634 1929761 1,6759784 39258,772
1985 Taxes anticipated 57,084 1199826 242530 2139249 414,689
(Dollars actually received will be less due to delinquency.)
(Payments in 1985 will be $93,000 from the two tax increment bonds.)
Indebtedness (Outstanding as of 12/31/84) Principal and Interest
1980 Tax Increment Bonds (Evergreen /railroad) 937,043
1982 Tax Increment Bonds (S & L Rehab) 2379144
$1,174,187
Area IV only
• 1984 Parking Bonds 660,000
While our cash balance is good, we must be careful as the future, due to
legislative changes, creating problems for the program.
Charles Bail ly & Company
Certified Public Accountants
Parkdale Four. Suite 300
5353 Gamble Drive
Minne&polis. Minnesota 55416
Telephone (612) 546 -0404
April 17, 1985
Mr. Gary Plotz
City Administrator
City Hall
37 Washington Avenue West
Hutchinson, MN 55350
Dear Gary:
x/171 P I92nc;
a\
_
A
N
f.fclvi.D s
m '
�_'? I•l£
Offices in Minnesota.
Montana. North Dakota
and South Dakota
Associates in principal cities
of United States, Canada.
Mexico. Europe
and Asia
As requested, we have read the financial statements forwarded to us by
Frank J. Fay, Curtis E. Burckhardt, and the projection prepared by Michael
Saxton of Trucker Development. The above are parties associated with the
Jorgenson Hotel development proposal.
The information submitted to us is as follows:
• 1. Statement of Financial Condition, Frank J. Fay, January 31, 1985
and 1984 (compiled)
2. Statement of Financial Condition, Curtis E. Burckhardt, Years
Ended December 31, 1983 and 1982 (compiled) and 1984 Federal
Individual Income Tax Return.
3. Development Analysis for Commercial- Residential Building
(Hutchinson), including 10 -year projections. This data was not
compiled or reviewed by an independent accountant. It was
submitted by Trucker Development.
Analysis of above information:
Personal Financial Statements
These statements are representations of each individual shown above and
were not subject to audit or independent verification. Assuming Mr.
Burckhardt's representation that his December 31, 1984 equity is not less than
his December 31, 1983 equity,the combined net equity of the parties in 1 and 2
above, exceeds the total bond liabilities for the entire project.
Development Analysis - Commercial - Residential Building
. Time requirements have limited our analysis to oral inquiries regarding
some of the assumptions used in the proposal and projection. Pertinent items
resulting from these inquiries are listed on the following page.
i
Mr. Gary Plotz
April 17, 1985
Page Three
i
3. Real Estate Taxes and Tax Increment Financing
Real estate taxes estimated in the projection are $20,000 vs
$26,400 as estimated by the County Auditor. Also, the tax
increment bonds are shown at $200,000 and this amount exceeds the
amount ($150,000 to $160,000) which had been calculated as the
limit in relation to the increment in property taxes for paying
the bonds and interest.
4. In addition, it appears that a fee of $12,600 to Community
Development has not been provided for in the projection.
Conclusion
Although the projection demonstrates the feasibility of the project,
further verification and revisions, should be made.
1. The commercial leases should be documented with firm commitments.
2. The sale of the building and use of proceeds to pay off existing
indebtedness should be clearly shown so that the transaction can
be accomplished.
3. The tax increment financing, issuance of bonds and relationship of
interest and principal pay -off to the increment in property taxes
should be clarified and defined. It should relate to the
projection for dollar amounts of real estate taxes in operating
expense and the total amount of the bonds.
4. Fees to Community Development should be included in the
projection.
In addition the following items require consideration:
1. Both general partners should be responsible for completing the
project and for shortfalls in the financing, including the tax
increment financing. This should be in a signed document. The
developers have stated there will he a performance bond on the
project - it should be required.
2. Communication with the Housing and Redevelopment Authority should
be made to establish a basis for the reasonableness of the
projections on the residential units.
3. With adequate equity, requiring personal guarantees would be
meaningful.
A judgment as to feasibility of the project rests upon the resolution
of the items listed above. Once resolved, the project can be demonstrated as
feasible.
U
•
h. Vacant 2,875
12,590
Leases on the residential units are to be the responsibility of
the Housing and Redevelopment Authority which would be under
contract to manage these units.
2. Sale of Existing Building to Partnership
The projected sale of the property prior to construction assumes
that all indebtedness including liens on the property will be
• paid. Some of these items are:
1983 Property Taxes $11,100
1984 Property Taxes 9,758
Utility Billings (Delinquent) 15,723
Mortgages /Notes Not Verified
Mr. Gary
Plotz
April 17,
1985
Page Two
1.
Lease /Rental
The status of
leases at April
17, 1985 is:
New
Space -
Present
Lease
Lessee
Square Feet
Lease
(Signed)
Comments
a. Dress Shop
270
Month to
Month
No
b. Koch Jeweler
1,150
To 1989
Covered
c. Navy
545
To July 1,
1966
Covered
Extension
subject
to
funding.
d. Rexall Drug
3,870
To 1987
No
Letter of
confirma-
tion on
revised
lease.
e. Community Credit 1,080
To July 1,
1985
No
Signed 5
year
lease in
transit.
f. Fay Realty
2,000
None
No
5 year
lease in
process.
g. Hairdressers
800
Month to
Month
No
5 year
lease in
process.
h. Vacant 2,875
12,590
Leases on the residential units are to be the responsibility of
the Housing and Redevelopment Authority which would be under
contract to manage these units.
2. Sale of Existing Building to Partnership
The projected sale of the property prior to construction assumes
that all indebtedness including liens on the property will be
• paid. Some of these items are:
1983 Property Taxes $11,100
1984 Property Taxes 9,758
Utility Billings (Delinquent) 15,723
Mortgages /Notes Not Verified
Mr. Gary Plotz - - -- - - - - -- -
April 17, 1985
Page Four
We have not audited, reviewed or compiled any of the financial
information sumbitted to us nor have we examined any supporting documentation
used to prepare the financial information and do not express any opinion as to
the correctness of the financial information listed in the first paragraph of
this letter.
Sincerely,
CHARLES BAIIL-L-Y & COMPANY
By 6 &� .z-4-;!f C.P.A.
Charles L. Rolan o, Jr.
CLR:bjs
•
•
Ir�
0
DORSEY & WHITNEY
A Partnemh,p Including Pr0less,onal COrpd tpons
2200 FIRST BANK PLACE EAST
MINNEAPOLIS, MINNESOTA 55402
(612) 340 -2600
TELEX 29 -0605
TELECOPIER : (612)340-2868
JEROME P. GILLIGAN
(612) 340 -2962
April 8, 1985
Mr. Gary D. Plotz
City Administrator
City of Hutchinson
37 Washington Avenue West
Hutchinson, Minnesota 55350
Mr. James Schaefer
105 Second Avenue Southwest
P.O. Box 363
Hutchinson, Minnesota 55350
Mr. William Fahey
Ehlers & Associates
120 First National Bank -Soo Line Concourse
Minneapolis, Minnesota 55402
Re: Development District No. 4
Hutchinson Hotel Project
Gentlemen:
304 TRANSWESTERN PLAZA HI
550 NORTH 3W STREET
P. O- BOX 1179
BILLINGS, MONTANA 59103
(4061252 -3800
SUITE II NORTH
Ie00 M STREET N. W.
WASHINGTON. D C- 20036
(202) 955 -1050
200 PARK AVENUE
NEW YORK, NEW YORK 10166
(212) 972 -4433
30 RUE LA BOETIE
75000 PARIS, FRANCE
011 331 562 32 50
O n
J1,
Enclosed is a draft of a Contract for Sale of Land for
Private Development and an Assessment Agreement for the proposed
Hutchinson Hotel project.
Please review these agreements and call me with any
questions or comments you may have.
Yours truly,
� L ))
er Ye P. Gil' igan
JPG:cmn J/
Enclosures
51C NORTH CENTRAL LIFE TOWER
45 MINNESOTA STREET
ST. PAUL,MINNESOTA 55101
( 812 ) 227 - 8017
P O Box 848
34(1 FIRST NATIONAL BANK BUILDING
ROCHESTER, MINNESOTA 55903
15071288 -3156
312 FIRST NATIONAL BANK BUILDING
WAYZATA, MINNESOTA 55391
t 612) 475 - 0373
201 DAVIDSON BUILDING
8 THIRD STREET NORTH
GREAT FALLS, MONTANA 59401
406)727 -3632
Ir�
0
DORSEY & WHITNEY
A Partnemh,p Including Pr0less,onal COrpd tpons
2200 FIRST BANK PLACE EAST
MINNEAPOLIS, MINNESOTA 55402
(612) 340 -2600
TELEX 29 -0605
TELECOPIER : (612)340-2868
JEROME P. GILLIGAN
(612) 340 -2962
April 8, 1985
Mr. Gary D. Plotz
City Administrator
City of Hutchinson
37 Washington Avenue West
Hutchinson, Minnesota 55350
Mr. James Schaefer
105 Second Avenue Southwest
P.O. Box 363
Hutchinson, Minnesota 55350
Mr. William Fahey
Ehlers & Associates
120 First National Bank -Soo Line Concourse
Minneapolis, Minnesota 55402
Re: Development District No. 4
Hutchinson Hotel Project
Gentlemen:
304 TRANSWESTERN PLAZA HI
550 NORTH 3W STREET
P. O- BOX 1179
BILLINGS, MONTANA 59103
(4061252 -3800
SUITE II NORTH
Ie00 M STREET N. W.
WASHINGTON. D C- 20036
(202) 955 -1050
200 PARK AVENUE
NEW YORK, NEW YORK 10166
(212) 972 -4433
30 RUE LA BOETIE
75000 PARIS, FRANCE
011 331 562 32 50
O n
J1,
Enclosed is a draft of a Contract for Sale of Land for
Private Development and an Assessment Agreement for the proposed
Hutchinson Hotel project.
Please review these agreements and call me with any
questions or comments you may have.
Yours truly,
� L ))
er Ye P. Gil' igan
JPG:cmn J/
Enclosures
0
CONTRACT
for
SALE OF LAND FOR PRIVATE DEVELOPMENT
in
DEVELOPMENT DISTRICT NO. 4
CITY OF HUTCHINSON
MCLEOD COUNTY, MINNESOTA
between
• CITY OF HUTCHINSON, MINNESOTA
and
Dated , 1985
n
►J
•
•
THIS AGREEMENT,
day of 1985,
municipal corporation of
made and entered into as of this _
between the CITY OF HUTCHINSON, a
the State of Minnesota (the City),
(the Developer);
and
WITNESSETH THAT, in the joint and mutual exercise of
their powers, and in consideration of the mutual covenants
herein contained, the parties hereto recite and agree as
follows:
Section 1. Recitals.
1.01. Designation of Development District and
Adoption of Development Program. The City has designated a
development district in the City denominated Development
District No. 4 (the Development District) and has approved a
development program for the Development District (the
Development Program) pursuant to and in accordance with
Minnesota Statutes, Chapter 472A (the Act).
1.02. Creation of the District. The City has
established a tax increment financing district (the District)
within the Development District and authorized the financing of
the Development Program pursuant to a Tax Increment Financing
Plan (the Financing Plan) pursuant to and in accordance with
Minnesota Statutes, Sections 273.71 through 273.86 (the Tax
Increment Financing Act).
1.03. Implementation. The City Council of the City
(the City Council) has authorized and directed the officers of
the City to take all actions necessary to implement and carry
out the Development Program, subject only to such approval by
the City Council as may be required by the Act. The
Development Program proposes that the City issue its General
Obligation Tax Increment Bonds (the Bonds) to finance the
capital and administrative costs of the Development District.
1.04. Acquisition of Property. The City has
determined that it is necessary, in order to accomplish the
purposes specified in and to carry out the Development Program,
for the City to acquire certain property located in McLeod
County, Minnesota described in Exhibit A hereto (the Property),
and to sell the Property to the Developer for redevelopment in
accordance with the Development Program and pursuant to the
Act. The City agrees to purchase the Property from
pursuant to a Purchase
Agreement, a copy of which is attached hereto as Exhibit B (the
Purchase Agreement), in accordance with its terms.
6 1.05. Original Assessed Value; Tax Increment. The
County Auditor of McLeod County has certified the Assessed
Value of all taxable property in the District (the Original
Assessed Value). The assessed value of the Property at such
time which was included in the Original Assessed Value was
The Assessed Value of all taxable property in
the District as determined for each year during the existence
of the District, less the Original Assessed Value, shall be
known as the Captured Assessed Value. The ad valorem taxes
derived from such property, by applying the aggregate mill rate
levied by all governmental entities having authority.to levy
taxes on such property to the Captured Assessed Value, shall be
known as the Tax Increment.
1.06. Intention to Contract. The City is desirous of
contracting with the Developer to purchase the Property in
accordance with the Development Program, as specified in this
Agreement; and the Developer is desirous of contracting with
the City for this purpose.
1.07. Authority. Each of the parties has authority
to enter into this Agreement and to take all actions required
of it hereby, and has taken all actions necessary to authorize
the execution and delivery of this Agreement.
1.08. Developer. For purposes of this Agreement,
"Developer" includes its heirs,
representatives, successors and assigns, and any person or
entity to whom the Property or any of its rights hereunder are
transferred or assigned, as hereinafter permitted.
Section 2. Sale of Property.
2.01. Agreement to Sell; Purchase Price. Subject to
the terms and conditions of this Agreement, the City agrees to
sell the Property to the Developer, and the Developer agrees to
purchase the Property from the City, for the price of $
(the Purchase Price).
2.02, Deed. At closing, the City shall convey title
to the Property to the Developer by quit claim deed in the form
attached hereto as Exhibit C (the Deed).
2.03. Time and Place of Closinq. The conveyance of
the Deed from the City to the Develocer and the pay,:.ent of the
Purchase Price (the Closing) shall take place at a date and
place to be mutually agreed upon by the parties but snail occur
not later than , 1985. Closing shall be expressly
contingent on the City acquiring title to the Property from its
• current owners pursuant to the Purchase Agreement described in
-2-
Section 1.04 hereof. The City shall notify the Developer of i
the proposed date of Closing not less than ten (10) days prior
to the proposed date. Subject to the provisions of this
Agreement, the City shall deliver the Deed to Developer on the
date of Closing, at which time the Developer shall pay the
Purchase Price and obtain possession of the Property.
2.04. Taxes. The Developer shall pay all ad valorem
taxes and special assessments levied on the Property which are
payable subsequent to the date of Closing, and shall make such
payments promptly throughout the term of this Agreement.
2.05. Assessment Agreement; Recording. The Developer
agrees to execute and deliver on the date hereof the Assessment
Agreement in the form of Exhibit D hereto (the Assessment
Agreement), which is hereby made a part of this Agreement. The
Developer shall, within 10 days after the Closing, file and
have recorded in the office of the County Recorder of McLeod
County, the Deed, the Assessment Agreement and this Agreement,
and shall pay all costs of such recording.
2.06. Evidence of Title. The Developer hereby
accepts the condition of title, acknowledges that a quit claim
deed from the City will be acceptable and waive any rights it
may have to require additional title evidence or examination of •
title to the Property.
Section 3. Citv Undertakinqs.
3.01. Acquisition of Property. The City agrees to
acquire the Property and to finance the cost thereof from the
proceeds of the Bonds, but only on and subject to the terms and
conditions specified in this Agreement.
3.02. Issuance of Bonds. The City agrees to exercise
all powers conferred upon it by law to sell and issue the Bonds
on or before 1, 1985, or such later date as may be
agreed to in writing by the parties, in a principal amount
sufficient to pay, inter alia, the net purchase price of the
Property to be paid by the City.
3.03. Disbursement of Bond Proceeds. The City and
the Developer acknowledges and agrees that under the Resolution
proceeds of the Bonds will not be disbursed to pay the cost of
the acquisition of the Property unless and until the City has
approved the plans and specifications for the Improvements (as
hereinafter defined) in accordance with Section 4.02 hereof,
and the Developer have provided the City with a copy of the
construction and permanent mortgage commitments) obtained by
the Developer together with financial statements of the
-3-
•
iDeveloper collectively evidencing the Developer's ability to
pay the cost of acquiring the Property and constructing the
Improvements.
Section 4. Developer's Undertakinqs.
4.01. Acquisition of Property; Renovation and Value
of Improvements. The Developer agrees to acquire the Property
as contemplated by Section 2 hereof and to renovate (or cause
to be renovated) the Improvements on the Property as described
in Exhibit E hereto. The Developer will acquire the Property
and construct the Improvements for
The renovation of the Improvements
shall cost at least $ The Developer shall not,
either through (a) tax abatement proceedings, and /or (b) any
proceeding commenced pursuant to Minnesota Statutes, Chapter
278 or any similar law, and /or (c) willful demolition of the
Improvements, cause the Assessor's Market Value of the
Property, the Improvements, and any other improvements
constructed on the Property, as the basis for ad valorem taxes
payable in 198_ and thereafter, to fall below $ , or
such higher Assessor's Market Value as may be specified for
such period by Section 4.07 hereof. The Developer shall not
• transfer, sell or otherwise convey the Property or the
Improvements to an entity which is exempt from payment of ad
valorem property taxes. Except as expressly provided otherwise
herein, no provision of this Agreement shall restrict the
Developer from the construction of additional improvements on
the Property. The Improvements, and any additional
improvements to be located upon the Property prior to the
issuance of a Completion Certificate (as defined in Section
4.06 hereof), shall be renovated and constructed in accordance
with this Section 4.01 and Section 4.02 hereof; provided,
however, that no such additional improvements shall reduce the
fair market value of the Property or the Improvements for ad
valorem tax purposes.
4.02. Plans and Specifications. The Developer will
renovate the Improvements in accordance with plans and
specifications (the Plans and Specifications) which conform to
the Development Program, this Agreement and applicable state
and local laws, ordinances, rules and regulations. The Plans
and Specifications shall be submitted to and be subject to
approval by -he City cr:c- tc -he commencement of
construction. If the Plans and Specifications conform to the
Development Program, this Agreement and applicable laws,
ordinances, rules and regulations, the City shall approve them
in writing. If the Plans and Specifications do not so conform,
• the City shall notify the Developer of this fact and provide
CE10
the Developer with a list of specific objections within thirty i
(30) days after receipt of the Plans and Specifications by the
City. The Plans and Specifications shall be deemed approved if
the City does not approve of or object to the Plans and
Specifications within this 30 -day period. The Developer shall
within forty -five (45) days of receipt of the list of specific
objections by the City, submit new or corrected conforming
Plans and Specifications to the City, and the City shall
approve of or object to the Plans and Specifications in the
manner hereinbefore provided. After approval of the Plans and
Specifications by the City, any change in the Plans and
Specifications which substantially or materially alters the
renovation of the Improvements shall be submitted to and shall
be subject to approval by the City.
4.03. Construction Contracts. The Developer shall--
enter into one or more contracts with one or more contractors
(the Contractors) providing for the renovation of the
Improvements, having an aggregate cost of not less than
$ Renovation of the Improvements shall be completed
on or before January 1, 1986, and the contracts for the
construction shall so provide. The completion date under such
contracts may be made subject to Unavoidable Delays (as
hereinafter defined), in which event the completion date may be
extended by the period of such Unavoidable Delays. The
Developer shall provide the City with a copy of executed
construction contracts and payment and performance bonds by the
Contractors, which bonds shall (1) name the Developer's
mortgagee, if any, as an obligee, (2) be in a penal sum or
amount equal to the contract price under such construction
contracts, and (3) be certified by the Developer to be a true
and correct copy thereof.
4.04. Access to Property. The City agrees to permit
the Developer or its employees, agents or contractors access to
the Property for any purpose deemed necessary by the Developer
for carrying out the provisions of this Agreement. Subsequent
to the conveyance of the Property to the Developer, the
Developer agrees to permit the City and any of its officers,
employees or agents access to the Property for the purpose of
inspection of all work being performed in connection with the
construction of the Improvements; provided, however, that the
City shall have no obligation to inspect such work or the
Improvements.
4.05, Construction Progress Report. Subsequent to
the conveyance of the Property to the Developer, and until
renovation of the Improvements has been completed in accordance
with Section 4.01 hereof, the Developer shall, upon written
request of the City, make, in such detail as may reasonably be
-5-
required by the City, and forward to the City, a written report
as to the actual progress of such renovation.
4.06. Completion Certificate. Upon completion of
renovation of the Improvements in accordance with Section 4.03
hereof, the City shall furnish to the Developer an appropriate
completion certificate (Completion Certificate) so certifying.
The certification shall be (and it shall be so provided in the
certification itself) a conclusive determination of
satisfaction and termination of the covenants in this Section 4
with respect to the obligations of the Developer to construct
the Improvements and the dates of completion thereof. The
certificate shall be in the form of Exhibit F hereto. Within
thirty (30) days after written request by the Developer, the
City shall provide to the Developer such certification or a
written statement indicating in adequate detail the manner in
which the Developer has failed to construct the Improvements in
accordance with this Agreement, or is otherwise in default, and
the measures or actions that must be taken to construct the
Improvements in accordance with this Agreement.
4.07. Increase in Market Value After Completion. The
Developer acknowledges and agrees that the Assessor's Market
Value of the Property and Improvements set forth in Section
•4.01 hereof reflects fairly and accurately the market value of
the Property and Improvements upon completion of the
Improvements pursuant to the obligations of the Developer
pursuant to this Section 4. The Developer further acknowledges
and agrees that the market value of the Property and
Improvements will increase in subsequent years due to the
nature and location of the Property and the Improvements and
general inflationary pressures. In recognition thereof, the
Developer acknowledges, covenants and agrees that, for all
purposes of this Agreement, the Assessor's Market Value of the
Property, the Improvements and any other improvements
constructed on the Property shall not be assessed for property
tax purposes at a value less than the figure of Assessor's
Market Value set forth below opposite the dates on which such
property is to be valued for purposes of ad valorem property
taxation:
Assessor's
Assessment Dare Market Val
aP_uary
January
January
January
January
• January
January
2,
2,
2,
2,
2,
2,
2,
19
19
19
19
19
19
19
In the event the provisions of this Section 4.07 are, for
whatever reason, held invalid or unenforceable by any court of
competent jurisdiction, it is the intention of the parties
hereto that such holding shall not invalidate or render
unenforceable any other provision of this Agreement or the
Assessment Agreement.
4.08. Payment of Administrative Expenses. The
Developer hereby agrees to pay directly to the City upon
demand, whether or not the Bonds are issued, either in cash or
by certified check, any and all administrative expenses
relating to this project as part of the Development Program,
including, but not be limited to, all costs of issuance of the
Bonds, including fees of bond counsel, counsel to the City, the
fiscal agent and any other consultants retained by the City in
connection with the implementation and administration of the`"
Development District and the Development Program, with respect
to the Property, to the extent that such costs are not
reimbursed to the City from proceeds of the Bonds or from Tax
Increments or may not be so reimbursed by reason of the
application of Minnesota Statutes, Section 273.75,
Subdivision 3.
4.09. Enforcement; Damages. The Developer
acknowledges the right of the City to enforce the terms of this •
Agreement against the Contractors and the Developer, by action
for specific performance or damages, or both, or by any other
legally authorized means. The Developer also acknowledges that
its failure to perform any or all of its obligations under this
Agreement may result in the City having to levy an ad valorem
tax on all taxable property in the City, for the payment of the
Bonds and the interest thereon when due; that in the event of
default by any Contractor or the Developer, the City may
commence legal action to recover the amount of such tax from
the Contractor or the Developer, as the case may be, together
with all expenses incurred in connection with the levy of such
tax or such legal action; and that such expenses may include
but are not limited to the reasonable fees of legal counsel
employed with respect to the enforcement of this Agreement.
Neither the Developer nor any agent or employee of the
Developer shall be liable to the City for any expense or loss
incurred by the City as a result of any Contractor's default in
the construction of Improvements in excess of the liability of
the Contractor to the Developer for such default.
4.10. Indernity. The Developer, its heirs,
representatives, successors and assigns, shall indemnify,
defend and save harmless the City and its officers, agents and
employees from all costs and expenses, including all attorneys'
fees, in any way resulting from or arising out of the condition •
-7-
or use of the Property and construction of the Improvements,
including operations of Contractors and acts or omissions of
employees or agents of Contractors.
Section 5. Use of Property; Financinq and Liens.
5.01. General Restrictions. The Developer agrees for
itself, and its heirs, representatives, successors and assigns,
and every successor in interest to the Property or any part
thereof, that the Developer and its permitted successors and
assigns shall:
(A) devote the Property and the Improvements to
the uses specified in the Development Program;
(B) not discriminate on the basis of color,
creed, national origin, or sex in the sale, lease, use
or occupancy of the Property or the Improvements, or
any part thereof;
(C) not cause the Property or the Improvements
or any part thereof to be removed from the public tax
rolls or to become exempt from assessment for general
ad valorem real estate taxes by reason of any
• conveyance, lease or other action.
5.02. Covenants. It is intended and agreed, that the
covenants provided in Sections 4.01 and 5.01 shall be covenants
running with the land binding to the fullest extent permitted
by law and equity for the benefit and in favor of, and
enforceable by, the City, its successors and assigns, and any
successor in interest to the Property, or any part thereof,
against the Developer, and its heirs, representatives,
successors and assigns, and every successor in interest to the
Property or any part thereof or any interest therein, and any
party in possession or occupancy of the Property or any part
thereof; provided further that breach of these covenants shall
not result in a reversion of title to the Property to the
City. The covenants provided in Sections 4.01 and 5.01 shall
remain in effect until no Bonds or additional bonds are deemed
outstanding under the Resolution.
5.03. Restrictions on C- O"Veyance; Financing. Until
the City issues its Completion Certificate, the Developer will
not make or s-.iffer to oe .:jade, any sale, ass nment,
conveyance, lease, mortgage, encumbrance, lien or transfer in
any other form, of this Agreement or the Prcpert_v or the
Improvements, or any part thereof, or any interest therein, or
contract or agree to do any of the same, withcut the written
• consent of the City.
5.04. Notice of Default. Whenever the City shall i
deliver any notice or demand to the Developer with respect to
any breach or default by the Developer in its obligations or
covenants under this Agreement, the City shall at the same time
forward a copy of such notice or demand to each holder of any
permitted mortgage, lien or other similar encumbrance at the
last address of such holder shown in the records of the City.
Each such holder shall have the right, at its option, to cure
or remedy such breach or default and to add the cost thereof to
the mortgage debt and the lien of its mortgage; provided that
if the breach or default is with respect to construction of the
Improvements, nothing contained in this Agreement shall be
deemed to permit or authorize such holder, either before or
after foreclosure or action in lieu thereof, to undertake or
continue the construction or completion of the Improvements
without first having 4xpressly assumed the obligation to the
City, by written agreement satisfactory to the City, to
complete the construction of the Improvements in accordance
with the Plans and Specifications and this Agreement. Any such
holder who shall properly complete the construction of the
Improvements shall be entitled, upon written request made to
the City, to a certification or certifications by the City to
such effect in the manner provided in Section 4.06.
5.05. No Merger. Any provision in this Agreement .
which has not been performed prior to Closing shall not be
deemed to have merged into the Deed delivered at Closing, but
shall, unless expressly waived in writing, survive such closing
and be in force and effect until performed.
5.06. Destruction of Improvements. Until the Bonds
are paid in full, in the event of damage to or destruction of
the Improvements or any part thereof which reduces the
Assessor's Market Value of the Improvements and the Property
below $ , or such higher Assessor's Market Value as may
be specified for such period by Section 4.07 hereof:
(A) The Developer shall, as soon as reasonably
possible and in any event on or before the second
succeeding December 31 following such destruction,
time being of the essence, repair, rebuild or replace
the damaged Improvements to such extent as will cause
the Assessor's Market Value of the Improvements and
the Property to equal or exceed $ , or such
higher assessor s Market Value as may be specified for
such period by Section 4.07 hereof;
(B) If such repair, rebuilding or replacement, to
the extent required by paragraph (A) of this Section
5.06, is not completed by such date, the Developer •
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shall be liable to the City for damages in an amount
equal to the difference between the Tax Increment
received by the City in each subsequent year and the
Tax Increment that would have been received by the
City had such repair, rebuilding or replacement been
completed by such date.
5.07. Insurance. (a) The Developer shall keep and
maintain the Improvements at all times insured against such
risks and in such amounts, with such deductible provisions, as
are customary in connection with the operation of facilities of
the type and size comparable to the Improvements, and the
Developer shall carry and maintain, or cause to be carried and
maintained, and pay or cause to be paid timely the premiums
for, with respect to the Improvements, direct damage insurance
covering all risks of loss, including, but not limited to, the
following:
(1)
(2)
(3)
(4)
• (5)
(6)
(7)
fire
extended coverage perils
vandalism and malicious mischief
boiler explosion (but only if steam boilers are
present)
water damage
debris removal
collapse
on a replacement cost basis in an amount equivalent to the full
insurable value thereof. ( "Full insurable value" shall include
the actual replacement cost of the Improvements (exclusive of
foundations and footings) without deduction for architectural,
engineering, legal or administrative fees or for
depreciation.) Insurance in effect prior to the issuance by
the City of a Completion Certificate under Section 4.06 hereof
shall be maintained on an "all- risk" builder's risk basis
during the course of construction. The policies required by
this Section 5.07 shall be subject to a no co- insurance clause
or contain an agreed amount clause, and may contain a
deductibility provision not exceeding $1,000.
(b) Policies of insurance required by this Section
5.07 shall assure and be payable to the Developer, and shall
provide for release of insurance proceeds to the Developer for
estorat_on of Icss. The C,ty s':all It furnished Cert'f.Ca`_e
showing the existence of such :assurance. In case of loss, the
Developer is hereby author zed to adjust the loss and execute
proof thereof in the name of all Parties in interest. The
Developer shall annually file with the City a schedule
• describing all such policies in force, including the types of
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insurance, names of insurers, policy numbers, effective dates,
terms of duration or any other information the Developer deem
pertinent. Such list shall be accompanied by a certificate
executed by the Developer stating that, to the best of the
knowledge of the Developer, insurance on the Improvements then
in force complies with this Section 5.07.
Section 5.08. Condemnation. In the event of a taking
of all of the Property under the power of eminent domain other
than by the City, or in the event a deed is given under the
threat thereof, the Developer shall pay to the City such amount
of the condemnation proceeds as is required, together with
moneys then on hand in the debt service fund for the Bonds, to
pay % of the principal of all Bonds then outstanding and
interest accrued thereon to the date of payment. Any proceeds
remaining after the application above specified shall be the
property of the Developer. In the event of a taking of part of
the Improvements, the Developer shall rebuild such part of the
Improvements on the Property if such rebuilding is reasonably
possible, but in any event shall take such steps as are
necessary to ensure that the Assessor's Market Value of the
Property, the Improvements and any other improvements on the
Property does not fall below $ , as such higher
Assessor's Market Value as may be specified for such period by
Section 4.07 hereof. •
Section 6. Securitv for Bonds.
6.01. Tax Increments. The Developer acknowledges the
right of the City to assign and pledge the Tax Increment
derived from the District (other than Tax Increment derived
from that area included in the District and currently
designated as Tax Increment Area Four) to the payment of
principal of and interest on the Bonds; to deposit the Tax
Increment with the Paying Agent under the Resolution for this
purpose not more often than twice yearly on or before the dates
specified in the Resolution; and to invest such Tax Increment
in accordance with Minnesota Statutes, Section 475.66 and the
Resolution.
6.02. Partial Bond Guaranty. The Bonds, if and when
issued by the City, shall be issued in an aggregate principal
amount not greater than $ , shall bear interest at such
rates that the net effective interest rate on the Bonds is not
greater than per annum and shall be payable over a term not
exceeding _ years. The Developer agrees to pay to the City at
the times and subject :o the limitations hereinafter provided,
the amount needed, in addition to the Tax Increment and any
interest earnings available to the City, to pay % the
principal of and interest on the Bonds when due. The City will 0
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no later than 15 days before an interest payment date on the
Bonds notify and request payment from the Developer of the
amount required, if any, in addition to such Tax Increment and
interest earnings, to pay % of the principal and interest
coming due on the Bonds on said interest date. The Developer
agrees to pay such amount to the City immediately upon receipt
of such request from the City; provided that in no event shall
the amount paid to the City pursuant to any such request from
time to time exceed, together with payments theretofore made by
other private individuals or entities pursuant to other like
Contracts for Sale and Development: (a) to pay principal, 25%
of the aggregate principal amount of the Bonds that has been
retired or is then due and payable, less the amount of any
previous payments made for this purpose; and (b) to pay
interest, 25% of the interest that has been paid on the Bonds
or is then due and payable thereon, legs the amount of any
previous payments made for this purpose.
Section 7. General Provisions.
7.01. Conflicts of Interest; City's Representatives
Not Individually Liable. No member, officer, or employee of
the City shall have any personal interest, direct or indirect,
in the Property, the contracts for the construction of the
• Improvements, the Improvements or this Agreement, nor shall any
such member, officer, or employee participate in any decision
relating to this Agreement which affects his or her personal
interests or the interests of any corporation, partnership, or
association in which he or she is, directly or indirectly,
interested. No member, officer or employee of the City shall
be personally liable to the Developer in the event of any
default under or breach of this Agreement by the City, or for
any amount which may become due to the Developer for any
obligation issued under the terms of this Agreement.
7.02. Rights Cumulative. The rights and remedies of
the parties of this Agreement, whether provided by law or by
this Agreement, shall be cumulative, and the exercise by either
party of any one or more of such remedies shall not preclude
the exercise by such party, at the same or different times, of
any other remedy for the same default or breach or of any of
its remedies for any other default or breach of the party. No
waiver made by either such party with respect to the
performance or the manner or time thereof, of any obligation
under this Agreement, shall be considered a waiver with respect
to the particular obligation_ of the other party or a condition
to its own obligation beyond tose expressly waived in writing
and to the extent thereof, or a waiver in any respect in regard
to anv other rights of the party making the waiver of any
obligations of the other party. Delay by a party hereto
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instituting or prosecuting any cause of action or claim i
hereunder shall not be deemed a waiver of any rights hereunder.
7.03. Unavoidable Delays. Wherever used in this
Agreement, the term "Unavoidable Delays" shall mean a delay
resulting from a cause over which the party required to make
performance does not have control and which can not or could
not have been avoided by the exercise of reasonable care,
including but not limited to acts of God, accidents, war, civil
unrest, embargos, strikes, unavailability of raw materials or
manufactured goods, litigation and the delays of the other
party or its contractors, agents or employees in the
performance of their duties under or incident to this Agreement.
7.04. Term of Agreement. This Agreement shall remain
in effect until no Bonds or additional bonds are deemed
outstanding under the Resolution.
Section 8. Administrative Provisions.
8.01. Notices. All notices, certificates or other
communications required to be given to the City and the
Developer hereunder shall be sufficiently given and shall be
deemed given when delivered or deposited in the United States
mail in registered or certified form with postage fully prepaid .
and addressed as follows:
If to the City: City of Hutchinson
City Hall
37 Washington Avenue West
Hutchinson, Minnesota 55350
Attn: City Clerk- Administrator
If to the Developer:
The City and the Developer, by notice given hereunder, may
designate different addresses to which subsequent notices,
certificates or other communications should be sent.
8.02 Binding Effect. This Agreement shall inure to
the benefit of and shall be binding upon the City and the
Developer and its respective heirs, representatives, successors
or assigns.
8.03. Severability. In the event any provision of
this Agreement shall be veld invalid or unenforceable by any •
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icourt of competent jurisdiction, such holding shall not
invalidate or render unenforceable any other provision hereof.
8.04. Amendments, Changes and Modifications. This
Agreement may be amended or any of its terms modified only by
written amendment authorized and executed by the City and the
Developer.
8.05. Further Assurances and Corrective Instruments.
The City and the Developer agree that they will, from time to
time, execute, acknowledge and deliver, or cause to be
executed, acknowledged and delivered, such supplements hereto
and such further instruments as may reasonably be required for
correcting any inadequate or incorrect description of the
Property or the Improvements, or for carrying out the expressed
intention of this Agreement.
8.06. Execution Counterparts. This Agreement may be
simultaneously executed in several counterparts, each of which
shall be an original and all of which shall constitute but one
and the same instrument.
8.07. Applicable Law. This Agreement shall be
governed by and construed in accordance with the laws of the
. State of Minnesota.
8.08. Captions. The captions or headings in this
Agreement are for convenience only and in no way define, limit
or describe the scope of intent of any provisions or Sections
of this Agreement.
IN WITNESS WHEREOF, the parties hereto have caused
this Agreement to be executed as of the date first above
written.
•
CITY OF HUTCHINSON, MINNESOTA
(SEAL) By
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By
Mayor
City Clerk- Administrator
;Develcperj
STATE OF MINNESOTA )
) ss.
COUNTY OF )
The foregoing instrument was acknowledged before me on
this day of 1985, by , Mayor,
and , City Clerk- Administrator, of the City
of Hutchinson, a Minnesota municipal corporation, on behalf of
the corporation.
Notary Public
STATE OF MINNESOTA )
ss.
COUNTY OF )
The foregoing instrument was acknowledged before me on
this day of , 1985, by
This document was drafted by
Dorsey & Whitney
2200 First Bank Place East
Minneapolis, Minnesota 55402
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Notary Public 0
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6 EXHIBIT A
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Legal Description of the Property
The real property and interests in such property
located in the County of McLeod, State of Minnesota and
described as follows:
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EXHIBIT B
[attach copy of Purchase Agreements]
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EXHIBIT C
[attach form of quit claim deed from the City
to the Developer]
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EXHIBIT D 6
[attach form of Assessment Agreement]
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•
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EXHIBIT E
The Improvements
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EXHIBIT F
Completion Certificate
The undersigned, being the duly qualified and acting
Mayor of the City of Hutchinson, Minnesota, hereby certify
pursuant to Section 4.06 of the Contract for Sale of Land for
Private Redevelopment in Development District No. dated as
of , 1985, between the City and
(the Developer), that the Developer has completed the
construction of the Improvements (as defined in said Contract)
in accordance with said Contract.
Dated:
19
Mayor
City of Hutchinson, Minnesota
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ASSESSMENT AGREEMENT
THIS AGREEMENT, made and entered into as of this
day of , 1985, by and between the City of
Hutchinson, Minnesota, a municipal corporation of the State of
Minnesota (the City), and
(the Developer);
WITNESSETH THAT, in the joint and mutual exercise of
their powers, and in consideration of the mutual benefits
herein described, the parties hereto recite and agree as
follows:
Section 1. Recitals.
1.01. Establishment of Project and Plans. The City
Council of the City (the City Council) has designated a
Development District in the City known as Development District
No. 4 (the Development District), has approved a Development
Program for the Development District (the Development Program),
has established a tax increment financing district (the
District) within the Development District, and has approved a
Tax Increment Financing Plan for the District (the Financing
Plan), all pursuant to and in accordance with Minnesota
Statutes, Chapter 472a and Sections 273.71 through 273.86.
1.02. Implementation. The Citv Council has
determined that it is necessary, in order to accomplish the
purposes specified in and to carry out the Development Program,
and in the best interests of the City for the City to purchase
the real property described in Exhibit A hereto (the Property)
in accordance with the Development Program.
The City and the Developer have entered into a
Contract for Sale of Land for Private Development in
Development District No. 4, dated , 1985 (the
Development Agreement), whereby the Developer has agreed to
purchase the Property from the City and to renovate (or cause
to be renovated) upon the Property the existing building
located thereon as described in Exhibit B hereto (the
Facilities), and the City has agreed to issue its General
Obligation Tax Increment Bonds (the Bonds) to finance the
capital and administration costs of the Development District as .
described in the Financing Plan, including the costs of
acquisition of the Property. The Developer will acquire the
Property and construct the Improvements for
1.03. Payment of Bonds. The County Auditor of McLeod
County has certified the assessed value, as defined by law, of
the District as of January 2, 1980 (the Original Assessed
Value). The assessed value of the Property at such time which
was included in the Original Assessed Value was $
The assessed value of all taxable property in the District as
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idetermined for each year during the existence of the District,
less the Original Assessed value, shall be known as the
Captured Assessed Value. The ad valorem taxes derived from all
taxable property in the District, after application to the
Captured Assessed Value of the aggregate mill rate levied by
all governmental entities having authority to levy taxes on
such property, shall be known as the "Tax Increment." Under
Sections 273.71 through 273.86, the County Auditor is required
to pay to the City the Tax Increment derived from the District
during the existence of the District, to be used to pay costs
incurred by the City in carrying out the Development Program
including, but not limited to, debt service on the Bonds, and
. other bonds issued by the City payable in whole or in part from
the Tax Increment, and related paying agency and registration
charges.
1.04. Purpose of Contract. The debt service on the
Bonds will be payable primarily from the Tax Increment derived
from all taxable property in the District, other than that area
included in the District and currently designated as Tax
Increment Area Four, the amount of which is dependent upon the
completion of the renovation of the Facilities by the Developer
and upon their market value for ad valorem tax purposes. In
order to make more certain the minimum amount of the --ax
Increment to be derived by the Authority from the Property
commencing in the year 1987, the City desires to contract with
• the Developer to establish a minimum market value of the
Property and the completed Facilities.
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1.05. Effect of Agreement; Consideration. The City •
and the Developer acknowledge and agree that the establishment
of such minimum market value will tend to reduce the interest
cost on the Bonds, thus making the Tax Increment received by
the City more adequate for the payment of debt service on the
Bonds and reducing the possibility that the City will be
required to levy ad valorem taxes on all taxable property
within its corporate limits to pay debt service on the Bonds
when due.
1.06. Authority. Each of the parties has authority
to enter into this Agreement and to take all actions required
of it hereby, and has taken all actions necessary to authorize
the execution and delivery of this Agreement. This Agreement
is entered into by the City pursuant to Minnesota Statutes,
Section 273.76, Subdivision 8.
Section 2. Market Value of Property and Facilities.
2.01. Completion of Facilities. Under the
Development Agreement, the Developer is required and have
agreed to complete renovation of the Facilities by January 1,
1986. For purposes of this Agreement and the determination of
the market value of the Property and the completed Facilities
for ad valorem tax purposes, the Developer agrees that the
renovation of the Faci:.:ies shall be deemed to be completed in
accordance with the Development Agreement as of January 1, 1986
(the required date of completion), whether in fact completed or
not. 0
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6 2.02. Minimum Market Value Upon Completion. The
Developer agrees that the minimum market value of the Property
and the completed Facilities for ad valorem tax purposes,
commencing with the assessment made as of January 2, 1986, and
continuing through the assessment made as of January 2,
shall not be reduced by any action taken by the Developer
(other than a deed in lieu of, or under threat of, condemnation
by the City or other condemning authority), to less than
$ , or such higher minimum market value as may be
specified for such period by Section 2.03 hereof; and that
during said period no reduction of the market value therefor
below said minimum market value shall be sought by the
rDeveloper or granted by any public official or court except in
accordance with Minnesota Statutes, Section 273.76, Subdivision
8 and no action shall be taken by the Developer to cause such
Property and completed Facilities to become exempt from real
estate taxes.
2.03. Increase in Market Value After Completion. The
Developer acknowledges and agrees that the minimum market value
of the Property and completed Facilities set forth in Section
2.02 hereof reflects fairly and accurately the market value of
the Property and facilities upon completion of the renovation
of the Facilities pursuant to the obligations of —e Developer
pursuant to the Development Agreement. The Developer further
acknowledges and agrees that the market value of the Property
•
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and Facilities will increase in subsequent years due to the
nature and location of the Property and the Facilities and
general inflationary pressures. In recognition thereof, the
Developer acknowledges, covenants and agrees that, for all
purposes of this Agreement, the minimum market value of the
Property, the Facilities and any other improvements constructed
on the Property shall not be assessed for property tax purposes
at a value less than the figure of minimum market value set
forth below opposite the dates on which such property is to be
valued for purposes of ad valorem property taxation:
Assessment Date
January 2, 19_
January 2, 19_
January 2, 19_
January 2, 19_
January 2, 19_
January 2, 19_
January 2, 19_
Minimum Market Value
In the event the provisions of this Section 2.03 are, for
whatever reason, held invalid or unenforceable by any court of
competent jurisdiction, it is the intention of the parties
hereto that such holding shall not invalidate or render
unenforceable any other provision of this Agreement or the
Development Agreement.
2.04. Higher Market Value. Nothing in this Agreement
shall limit the discretion of the Ccur_ty Assessor of McLeod
County, or any other public official or body having the duty to
determine the market value of the Property and the Facilities
WE
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rfor ad valorem tax purposes (the Assessor), to assign to the
Property and the Facilities, or to any other improvements
constructed on the Property, on a nondiscriminatory basis and
treated fairly and equally with all other property so
classified in McLeod County, a market value in excess of the
minimum market value specified in Sections 2.02 or 2.03 hereof.
section 3. Filing and Certification.
3.01. The City shall present this Agreement to the
McLeod County Assessor and request him to execute the
certification attached hereto as Exhibit C. The Developer
shall provide to the Assessor all information relating to the
Property and the Facilities requested by him for the purpose of
•
discharging his
duties
with respect
to the certification.
3.02.
Within
30 days after
the execution of this
Agreement, the Developer shall cause this Agreement and a copy
of Minnesota Statutes, Section 273.76, Subdivision 8, attached
hereto as Exhibit D, to be recorded in the office of the County
Recorder of McLeod County.
Section 4. Relation to Development Agreement. The
covenants and agreements made by the Developer in this
Agreement are separate from and in addition to the covenants
and agreements made by the Developer in the Development
Agreement; nothinq contained ::ere_n sl.al' in any way alter,
diminish or supersede the duties and obligations of t_e
• Developer under the Development Agreement.
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Section 5. Administrative Provisions.
5.01. Binding Effect. This Agreement shall inure to
the benefit of and shall be binding upon the City and the
Developer and its respective heirs, representatives, successors
and assigns, and upon all subsequent owners of the Property and
the Facilities.
5.02. Severability. In the event any provision of
this Agreement shall be held invalid or unenforceable by any
court of competent jurisdiction, such holding shall not
invalidate or render unenforceable any other provision hereof.
5.03. Amendments, Changes and Modifications. Except
as provided in Section 5.04 hereof, this Agreement may be
amended or any of its terms modified only by written amendment •
authorized and executed by the City and the Developer.
5.04. Further Assurances and Corrective Instruments.
The City and the Developer agree that they will, from time to
time, execute, acknowledge and deliver, or cause to be
executed, acknowledged and delivered, such supplements hereto
and such further instruments as may reasonably be required for
correcting any inadequate or incorrect description of the
Property or the Facilities, or for carrying out the expressed
intention of this Agreement.
5.05. E_:ecutio ^. Counterparts. This = .greement may be
simultaneously executed in several counterparts, each of which
shall be an original and all of which shall constitute but one
and the same instrument. •
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5.06. Applicable Law. This Agreement shall be
governed by and construed in accordance with the laws of the
State of Minnesota.
5.07. Captions. The captions or headings in this
Agreement are for convenience only and in no way define, limit
or describe the scope of intent of any provisions or Sections
of this Agreement.
IN WITNESS WHEREOF, the City and the Developer have
caused this Agreement to be executed by their duly authorized
representatives as of the date first above written.
(SEAL)
STATE OF MINNESOTA)
ss.
COUNTY OF )
CITY OF HUTCHINSON, MINNESOTA
By
Mayor
Attest:
City Clerk- Administrator
(Developer]
The foregoing instrument was acknowledged before me
this day of 1985, by , the
Mayor, and the City Clerk- Administrator, of
the City of Hutchinson, a municipal corporation of the State of
Minnesota, on behalf of the municipal corporation.
• Notary Public
STATE OF MINNESOTA) 6
ss.
COUNTY OF )
The foregoing instrument was acknowledged before me
this day of , 1985, by
This document was drafted by
Dorsey & Whitney
2200 First Bank Place East
Minneapolis, Minnesota 55402
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Notary Public
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EXHIBIT A
Legal Description of the Property
EXHIBIT C
ASSESSOR'S CERTIFICATION
The undersigned, being the duly qualified and acting
Assessor of McLeod County, Minnesota, hereby certifies that:
1. he is the assessor responsible for the assessment
of the Property described in the foregoing Exhibit A.
2. he has read the foregoing Agreement;
3. he has received and read a duplicate original of
the Development Agreement;
4. he has received and reviewed the architectural and
engineering plans and specifications for the Facilities agreed
to be constructed on the Property by the Developer pursuant to
the Development Agreement;
5. he has received and reviewed an estimate prepared
by the Developer of the cost of the Property and the Facilities
to be constructed thereon; and
U
6. the Market Value assigned to the Property and the •
Facilities described in the foregoing Exhibits A and B upon
completion shall not be less than $
Dated: , 1985.
McLeod County, Assessor
, Minnesota
•
0 EXHIBIT D
Minnesota Statutes, Section 273.76, Subdivision 8
Subd. 8. [ASSESSMENT AGREEMENTS.] An authority may,
upon entering into a development or redevelopment agreement
pursuant to section 273.75, subdivision 5, enter into a written
assessment agreement in recordable form with the developer or
redeveloper of property within the tax increment financing
district which establishes a minimum market value of the land
and completed improvements to be constructed thereon until a
specified termination date, which date shall be not later than
the date upon which tax increment will no longer be remitted to
the authority pursuant to section 273.75, subdivision 1. The
assessment agreement shall be presented to the county assessor,
or city assessor having the powers of the county assessor, of
the jurisdiction in which the tax increment financing district
is located. The assessor shall review the plans and
specifications for the improvements to be constructed, review
the market value previously assigned to the land upon which the
improvements are to be constructed and, so long as the minimum
market value contained in the assessment agreement appears, in
• the judgment of the assessor, to be a reasonable estimate,
shall execute the following certification upon such agreement:
The undersigned assessor,
for the assessment of the
upon completion of the im
thereon, hereby certifies
assigned to such land and
shall not be less than $
being legally responsible
above described property
provements to be constructed
that the market value
improvements upon completion
Upon transfer of title of the land to be developed or
redeveloped from the authority to the developer or redeveloper,
such assessment agreement, together with a copy of this
subdivision, shall be filed for record and recorded in the
office of the county recorder or filed in the office of the
registrar of titles of the county where the real estate or any
part thereof is situated. Upon completion of the improvements
by the developer or redeveloper, the assessor shall value the
property pursuant to section 273.11, except that the market
value assigned thereto shall not be less than the minimum
market value contained in the assessment agreement. Nothing
herein shall limit the 3iscretion of the assessor to assign a
market value to the property in excess of the minimum market
value contained in the assessment agreement nor prohibit the
developer or redeveloper from seeking, through the exercise of
. administrative and legal remedies, a reduction in market value
for property tax purposes; provided, however, that the
developer or redeveloper shall not seek, nor shall the city up
assessor, the county assessor, the county auditor, any board of
review, any board of equalization, the commissioner of revenue
or any court of this state grant a reduction of the market
value below the minimum market value contained in the
assessment agreement during the term of the agreement filed of
record regardless of actual market values which may result from
incomplete construction of improvements, destruction or
diminution by any cause, insured or uninsured, except in the
case of acquisition or reacquisition of the property by a
public entity. Recording or filing of an assessment agreement
complying with the terms of this subdivision shall constitute
notice of the agreement to any subsequent purchaser or
encumbrancer of the land or any part thereof, whether voluntary
or involuntary, and shall be binding upon them.
•
D -2
Charles Bailly, & Company
Certified Public Accountants
Parkdale Four, Suite 300
5353 Gamble Drive
Minneapolis, Minnesota 55416
j Telephone (612) 5464464
Mr. Gary Plotz
City Administrator
City Hall
37 Washington Avenue West
Hutchinson, MN 55350
Dear Gary:
April 23, 1985
if-
,
Offrc' in Fli "nesota,
Montana, North Dakota
and South Dakota
Associates in principal title
of United States, Canada,
Modoo, Europe
and Ada
Regarding our letter of April 17, 1985 on the Jorgenson Hotel project,
I have received additional information from Frank Fay as follows:
1. Comercial leases:
Signed letters of commitment:
Rexall Drug
Hairstyles Plus
Fay Realty
A proposed lease drafted by Community Credit Co.
The terms agree in substance with the projected amounts
with the exception of Rexall Drug - the terms are $4.00
per square foot vs $6.00 per square foot used in the
projection.
2. Items 2, 3 and 4 immediately following the "Conclusion"
section on page three of our April 17, 1985 letter have
been cleared and revisions made in the projection for the
project.
In addition, the Housing and Redevelopment Authority
has provided information which supports the market
assumption used in the projection.
Since the above items have been resolved, the project based on the
assumptions used in the projection is demonstrated as feasible.
The final paragraph of our previous letter dated April 17, 1985,
describes our audit responsibility and is reiterated in this letter.
CLR:bjs
Sincerely,
CHARLES BAILLY & COMPANY
By .P .A.
Charles L. Rola do, Jr.
•
Gary D. Plotz
City Administrator
Ci -tv of Hutchinson
37 Washington Ave. West
Hutchinson, MN 55350
Dear Mr. Plotz:
S
Tatkaw County
Bemidji, Minnesota 56601
(218) 751.7300
April 15, 1985
171R'
`sy
r
�sv 1 VED
CO
FOR YOUR INFORMATION
On April 9, 1985, the Beltrami County Board of Commissioners
passed a motion authorizing the City of Hutchinson to use $163,000
of the County's Entitlement Bonds. It was the consensus of the Board
that the remaining bonds be utilized locally for economic development
projects.
Please let me know what additional information, if any, you
will need from us should you decide to use these funds.
JT /ln
Yours truly,
Julie Thompson
Beltrami County Auditor
An Affirmative Action Employer
LEASED PARKING SURVEY
AMOUNT MONTHLY r
LEASED SPACES OR YEARLY METHOD OF LONG TERM
CITY POPULATION YES /NO LEASE /SPACE IMPLEMENTATION COMMITMENT
WORTHINGTON
10,243
YES
$5 /mo.
Cards in Vehicle
May prepay
Window
for a year;
no long term
contracts.
FERGUS FALLS
129519
YES
$8 /mo.
Sticker method
216 of approx.
500 spaces are
leased;may pre-
pay one year;
no long--term
leases
NEW ULM
13,755
YES
$8 /mo. -
oiled Designated spaces
May prepay for
$11 /mo.-
finished sign
one year; no
long term con-
tract.
ALEXANDRIA
72608
YES
$100 /year
Designated spaces
Prorated for
by sign,$10 fee
less thaVe
for sign initially;
year - n ng
32 being leased
term contract
WILLMAR
15,895
YES
$25 /year
Sticker - limited
None
to service type
business (plumbers,
carpet cleaning, etc.)
FARIBAULT
16,241
YES
$25 /year
Sticker - no limit
None.
on eligibility
I also contacted Owatonna, Little Falls, Northfield and Albert Lea
that reported no leased parking.
I have discussed the results of the survey with Frank Fay and Mike
Saxton. They forsee no problem in dropping the concept of a long term
lease and instead having the tenants apply for leased parking similar to
Worthington, Fergus Falls, New Ulm or Alexandria.
�^ X
MINNESOTA COUNTY ATTORNEYS ASSOCIATION
. 40 cAl,,,u%i cSltttt, c5-a, 10o • Si. faui,'Alinncfulu !1'5104 • 1671% 227 -7493
TO: County Attorneys, Assistant County Attorneys,
City Attorneys and Assistant City Attorneys
FROM: Laurie Light, Legal Assistant
RE: 1985 D.W.I. /Implied Consent Seminar
May 9 & 10, 1985
Radisson Inn Plymouth
DATE: April 9, 1985
• The Minnesota County Attorneys Association is sponsoring a D.W.I. /Implied
Consent Seminar for Minnesota Traffic Law Prosecutors. The seminar is
scheduled for May 9 b 10, 1985, at the Radisson Inn Plymouth, 2705
Annapolis Lane in Plymouth. Costs for the day and one -half program will
be paid by a Federal Highway Traffic Safety Administration Grant awarded
through the Minnesota Department of Public Safety.
•
The agenda and registration form are enclosed. Application for 9.0 hours
of continuing legal education credits has been made.
There is a registration fee of $35.00 (which includes lunch on May 9) to
cover a portion of the direct expenses. This sum will be refunded if
notice of cancellation is received in this office by May 2, 1985.
Registrants are responsible for obtaining and paying for their own
lodging. You should contact the Radisson Plymouth at (612) 553 -1600 or
(800) 228 -9822. A block of rooms has been reserved for registrants until
April 24, 1985. In order to receive a reduced room rate, be sure to
inform the hotel personnel when reservations are made that you are
attending this course.
ATTENDANCE IS LIMITED AND AVAILABLE ON A FIRST -COME, FIRST - SERVED BASIS
AS REGISTRATION FORMS AND FEES ARE RECEIVED BY THIS OFFICE.
May 9. 1985
8:30 a.m. - 9:00 a.m.
9:00 a.m. - 9:15 a.m.
9:15 a.m. - 9:45 a.m.
9:45 a.m. - 10:00 a.m.
10:00 a.m. - Noon
Noon - 1:15 p.m.
1:15 p.m. - 2:15 p.m.
2:15 p.m. - 2:45 p.m.
AGENDA
1985 D.W.I. /IMPLIED CONSENT SEMINAR
May 9 b 10, 1985
Radisson Inn
Plymouth, Minnesota
Registration
INTRODUCTION
Paul Tschida, Commissioner of Public Safety
STATUTORY CHANGES, PROPOSED AND PASSED
Jerry Anderson, Special Assistant
Attorney General
Break
D.W.I./IMPLIED CONSENT CASE LAW UPDATE
Joel Watne, Special Assistant Attorney General
Lunch
MANDATORY TESTING b THE RIGHT TO COUNSEL:
THE NYFLOT CASE
Martin Costello, Attorney at Law, Peterson,
Bell S Converse
STOPS IN D.W.I. CASES: USING ROADBLOCKS
Alex Andrea, Assistant Bloomington City
Attorney
2:45 p.m. - 3:00 p.m. Break
3:00 p.m. - 4:30 p.m. PROSECUTION OF CRIMINAL NEGLIGENCE UNDER
THE 1983 STATUTE
Louise Dobbe, Assistant Washington County
Attorney
May 10, 1985
8:30 a.m. - 10:15 a.m.
10:15 a.m. - 10:30 a.m
ACCIDENT RECONSTRUCTION
Scott McAllen, Accident Reconstruction
Specialist, Minnesota State Highway Patrol
Break
10:30 a.m. - Noon ACCIDENT RECONSTRUCTION, cont.
0
it
E
Jahn J BerNugen
Eanwivc D.mi,r
16111587-5.152
Gap D. Pkxe,
Cay Adrnmwmm
16121587-5151
BOARD OF DIRECTORS
Pn,, R,wId 1. McGraw
Attain, W Law
lice Prn. Arthur L. C,.,per
Preeiden[
F," NW,,,.l Bank
Se, .. Trrm. Chat B. Pichl
Certified Public 4a1 .
Parl ,. Du N'a,w
Phctum K Cu.
T.A. iBut Burich
Ex. V . C"acn,
BJnk And Tm't Co
Tam D.V,,I1
V.P.. Ocncml kb.gcr
:[tichi,twin MI 6 Sal �. 41,'.
A GI:n
P' Fad
Sa, mp, @ Lan lk,-n
(.ICnn %Uw,kA
Sup[. ul S.hud.
Dntr,i 42:
Hutchinson Community Development Corp.
St
- — 45 Washington Ave. East
Hutchinson, Minnesota 55350
April 10, 1985
Ken Merrill
City Hall
Hutchinson, MN 55350
Dear Ken,
Enclosed is the notice for a conference I will be attending in June.
As you will note, the registration fee is $50.00 and is due on April
22nd. Could you please send the registration check in the envelope
included to the National Economic Development and Law Center? (I
have preregistered without the fee noting with the form, that a check
would be coming from the Hutchinson office.)
The lodging is to be taken care of separately and sent directly to
the Olympia Resort and Spa in Oconomowoc, Wisconsin (This envelope is
enclosed also.). They are asking for one nite lodging. Letty will
be attending with me so it will be $64 for the reservation. However,
I will be reimbursed upon return at the $50 single room rate. Please
enclose the $64 in the Hotel envelope.
Sincerely,
hn Bernhagen
G =�
(612) 587 -5151
tiv,raHl' CITY OF HUTCHINSON
-- / df HUTCHASON
M E M 0
DATE: April 18, 1985
TO: Mayor and City Council
FROM: Building Official
RE: Albrecht Oil 1980 Conditional Use Permit
Albrecht Oil Company was granted a Conditional Use Permit on September 23,
1980, contingent upon the property owner placing all existing above - ground
storage tanks underground by October 1, 1985.
Emanuel Albrecht is now requesting a three year extension. I would have no
objection to the extension of time and am forwarding his request to the
• council for your information and discussion.
HP /pv
•
►� •
Homer Pittman
Building Official
..omi.ec6r oil coo
Gasoline • Oil • Fuel Oil
Box 115
Hutchinson, MN 55350
April 17, 1985
Att: t•.r. Homer Pittman
Building Official Office
37 Washington Ave. West
iutchinson, Minn. 55350
.,Jith this letter we are respectfully asking
for a three year extension to the time su7-ested
that we go undergroun wit`_,, our 66,000 ahove�rounj
storage.
I don't think , Mr. Pittman that we will ever find
and engineering firm that will sanction our going
underground with that amount of storage and in
particular it not being new storage.
We know for certain that we cannot get proper insurance •
cove-age for this type underground storage.This puts
us in severe jeopardy, and I am sure that the City
woul; not want to assume the liability since they
made the surgestion.
;.y feeling is that if we can have the three year
extension we can solve this problem to everyone-
satisfaction and that the practicality and the
constitutionality of the matter should at that t'-me
he no factor.
Pespec fully yours
Emanuel V.�lbrech
A1Lrecrt Oil Co.
0
•
•
ORDINANCE 6/85
ORDINANCE AMENDING SECTION 806:15 OF THE 1974
ORDINANCE CODE OF THE CITY OF HUTCHINSON, ENTITLED
INTOXICATING LIQUOR, ADMINISTRATION
THE CITY OF HUTCHINSON DOES ORDAIN:
SECTION 1. Section 805:15 of the 1974 Ordinance Code of the City
of Hutchinson, entitled Application for License, is hereby amended to read
as follows;
Section 806:15. Application for License.
Subd. 2. Such application shall be accompanied by a surety bond
or cash or certified check in lieu of such bond, in the sum of not
less than $3,000.00, and by a liability insurance policy to insure
against damages under the Civil Damage Act, or any other act or law,
said policy limits to be not less than $100;000 $50,000 per injured
person, and $308,, -099 $100,000 per accident or occurence.
SECTION 2. Penalty. Any person violating the provisions of this ordinance
shall be guilty of a penal offense and upon conviction shall be punished by a
fine of not more than three hundred dollars ($300) or by imprisonment for not
to exceed ninety (90) days, or both.
SECTION 3. Effective Date. This Ordinance shall take effect upon its
passage and publication.
Adopted by the City Council this 23rd day of April, 1985.
Robert H. Stearns
Mayor
ATTEST:
•
Gary D. Plotz
City Clerk
f ^ '1
U
•
�j
RESOLUTION NO. 8021
T40
�rpti�l��j7
Md&)T-
IDEIRTAS, 11I11ra4 Tullan has serurd the Litt' well as a memlier of the ?inspital
Vnard fnr the Vast ten PIT) graro;
IDET U A-5, Narah Mullan has served faithfully and diligrnflg giuing of her
time and talrnfs toward the rnrichment of the Cify,
Nor nEEEYOEE, BE 3r RE30ry u '?i'i1 ZBE �'33U TouNnc OY FRE nzu
O ?III( Cr$3NS(91�T, T3FNE50TA:
C.E;C:, deep apprrciatinn is hrrehy rxpressed to 4'rnra4 ffullan far her ufurr-
mrnfinnrd seruires and the gratitude of Elutchinsun and the citi_>rne fhrrrnf is
herrhg rxpressrd.
Maptrd &y fhr (?'itg Council this 23rd day of April, 1985.
(5iL;`y i1. � nit
C�i tg Crlrrh
Enbert I3. Strarns
ifiaynr
0 RESOLUTION NO. 8026
TRANSFERRING $254,175 FROM 1980 TAX INCREMENT DEBT
SERVICE FUND TO 1984 PARKING IMPROVEMENT FUND
AND ALL FUTURE INCREMENTS OF AREA IV
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF HUTCHINSON, MINNESOTA:
THAT $254,175.00 is hereby transferred by the 1980 Tax Increment Debt
Service Fund to the 1984 Parking Improvement Fund for the City's portion of
the parking assessment. All tax increments received in 1985 and future years
from Area IV are to be transferred to the 1984 Parking Bonds upon receipt of
tax settlement money.
Adopted by the City Council this 23rd day of April, 1985.
is
ATTEST:
Gary D. Plotz
City Clerk
•
Robert H. Stearns
Mayor
(612) 587 -5151
f/UTlH j CITY Of HUTCHINSON
=`` ti AbrNUE WEST
TO: Mayor & City Council
FROM: John McRaith, Assistant Recreation Director
DATE: April 18, 1985
SUBJECT: Building Committee Recommendation
0
CJ
The building committee met at 5:30 p.m. on Wednesday,
April 17 to discuss the recreation facility bids and make
a recommendation.
It was the building committee's feeling that the low bid
from E.J. Pinske Builders should be accepted with the alter-
nates recommended by Korngiebel Architects to be included
(total cost $1,072,200). It was felt that the most important
consideration at the time should be the immediate construction
of the facility itself, with the flooring ($60,000) being the
first option to consider when the funds become available. The
next consideration would be the addition of the wading pool.
Overall, the committee felt that the bids were within
expectations and that extra funds would be necessary to build
even the most "bare bones" facility.
klm
�r
MINUTES
Building Committee
April 17, 1985
Members Present: Donn Hoffman, Kay Peterson, Sue Wagner, Garey Knutsen and
Lyle Block.
Members Absent: Barry Anderson and Arnold Rotzien.
Also present were Mayor, Bob Stearns, John Korngiebel, Jim Haugen, John McRaith
and Karen McKay.
John Korngiebel handed out a bid summary of the lowest bidder for the recreation
facility, E.J. Pinske Builders from Gaylord, Minnesota. Included on the sum-
mary were the recommended alternates from Korngiebel Architects.
After talking with Bob Rosene of Bonestroo, Rosene, An_derlik & Associates, In-
corporated, Jim Haugen told the committee that Vossen Brothers Construction;
builders of "Designer Pools ", would do a good job and that Rosene recommended
that the committee accept deducts 411; chemical feed equipment and #4 galvanized
steel diving standards and life guard chairs. Rosene also felt that the
wading pool quote at $16,500 was a good price, and should be taken advantage
of. John Korngiebel, however, felt that since the wading pool wasn't included
on the bond issue, it shouldn't be added.
John Korngiebel told the committee that alternate #5, the glazed blocks for
striping, could be deducted and the stripes could be painted on,inside and
outside the building. John also recommended taking the skylight deduction.
He also mentioned that if all deductions were accepted, the project would
still be $152,000 over the projected funds available, including the architect
fees and the flooring. John told the committee that Pinske had two subcon-
tractors, Krasen Plumbing & Heating, Hutchinson and Baker Electric of Willmar.
If there was a consideration to rebid, John felt that approximately half the
bidders would submit a bid, and that the bids would probably be higher.
John asked the Mayor Bob Stearns if there was a recommendation from the city
council. His personal opinion was that a "bare bones" facility was promised,
and that after a year or two contributions could be used to improve the
facility. The automatic chemical feeding equipment could be eliminated along
with the wading pool. However, the plumbing for the wading pool should be
done. The mayor told the committee that the council has to come to an agree-
ment.
John Korngiebel told the committee that the contract has to be signed with
the builder within 30 days for the current bid price.
Donn Hoffman made a motion to accept the base bid as listed by Korngiebel
Achitecture through the "Total Construction Cost & Fees" for a cost of
$1,072,200. Kay Peterson seconded the motion and the committee unanimously
agreed.
Garey Knutsen made a motion that the first priority added would be flooring
for the field house. The second priority would be the wading pool. Lyle
Block seconded the motion and the committee unanimously agreed.
The meeting was adjourned at 6:30 p.m.
0
CJ
April 17,1985
Korngiebel Architecture
Ubrary Swan
Suite 302
Washington Avenue East
Hutchinson, Minnesota
55350
612/587 -2483
RECREATION FACILITY - HUTCHINSON, MINNESOTA
BID SUMMARY
E.J. PINSKE BUILDERS - LOW BASE BID: $1,072,500.00 - 195 DAYS
RECOMMENDED ALTERNATES
Alt #1 - Chemical Feed Equipment
#3 - Wading Pool & Deck
#4 - Diving Standards & Lifeguard Chairs
#5 - Glazed Masonry Units
#6 - Skylite
Total Deduct
Net
Architect Fees
X $1,081,900.00 (Includes Alt #8) _
JTAL CONSTRUCTION COST & FEES
By Owner: Flooring & Equipment
TOTAL PROJECT COST (25,128 SF Bldg.)
$ 2,000.00
16,500.00
3,650.00
30,000.00
12,500.00
$ 64,650.00
$1,007,850.00
64,350.00
$1,072,200.00
60,000.00
$1,132,200.00
Building Cost Per Square Foot
Total Net - $1,007,850.00
Less Pool 215,000.00
Bldg Cost $ 792,850.00 (25,128 SF = $31.55/SF)
Last Estimate - May 30,1984
Field House - 16,200 SF @ $20 /SF =
Public Areas - 2,600 SF @ $35 /SF =
Locker Rooms - 3,600 SF @ $50 /SF =
Park /Recreation Office - 1,104 SF @ $45 /SF =
Pool Equipment & Storage - 1,330 SF @ $35 /SF =
Pool
•nish Floor & Field House
Architectural Fees (6 %)
(294 SF less @ $31.15) _
Revised Total
$ 324,000.00
91,000.00
180,000.00
49,680.00
46,550.00
$ 691,230.00
270,000.00
$ 961,230.00
56,700.00
61,075.00
$1,079,005.00
9,158.00
$1,088,163.00
Recreation Facility - Hutchinson, Mn.
Bid Summary
Page 2
$44,037.00 Over Budget (3.898)
Not Including: City Work - Parking lot, dirt removal, utilities to
building, soil borings, survey & building
permit.
Funds Available -
Projected Interest -
Needed
Short
$ 950,000.00
30,000.00
$ 980,000.00
$1,132,200.00
$ 152,200.00
0
•
•
BID TAB - RECREATION
FACILITY - HUTCHINSON, MINNESOTA - APRIL 16,1985
CONTRACTORS
Bid
Cal.
BASE BID
Alt N1
Alt N2
Alt i3
Alt /4
Alt N5
Alt Y6
Alt #7
Alt N8
Sec.
Days
Chem Equip
Qem Eouio
Wd
Sk lite
Mason
Electrical
Y..N.D., Inc.
Willmar, Mn.
R
280
$1,166,900
2,000 Deduct
$6,000 Deduct
$18,300 Deduc
$3,650 Deduct
$15,900 Deduct
$6,000 Dedu
t $13,0011 Ded
$10,000 Add
Del's Construction
LeSueur, Mn.
X
160
1,094,579
2,080 Deduct
6,240 Deduct
19,470 Deduc
3,796 Deduct
15,800 Deduct
13,000 Ded
ct 11,925 Ded
9,420 Add
Bratochvil Construction
New Prague, Mn.
x
200
1,115,100
2,000 Deduct
6,000 Deduct
18,400 Deduc
3,650 Deduct
30,300 Dedu
t 7,500 Ded
ct 1,800 Add
9,700 Add
Hasslen Construction
' Ortonville, Mn.
x
180
1,140,000
2,000 Deduct
6,350 Deduct
22,000 Deduc
3,850 Deduct
12,000 Dedu cl
t 13,000 Ded
ct 21,000 Ded
9,500 Add
Gopher State Contractor
Rice, Mn.
Miller,Miller G Mac
Hutchinson, Mn.
7(
0/15
1,097,800
2,000 Deduct
6,000 Deduct
19,420 Deduc
3,650 Deduct
13,059 Deduct
12,135 Ded
ct 17,300 Ded
9,200 Add
Lester's of Minnesota
.Lester Praire, Mn.
;Building Constructors
Minnetonka, Mn.
E
210
1,158,300
2,000 Deduct
6,000 Deduct
161,000 Daduci
3,700 Deduct
13,000 Deduct
10,370 Ded
cr 29,000 Ded
None
Raske Bldg. Systems
Cosmos, Mn.
Tervisscha Construction
Willmar, Mn.
x
210
1,086,000
2,100 Deduct
6,400 Deduct
121,5GO Deduci
4,000 Deduct
12,400 Deduct
7,700 Dedu
t 4,300 Ded.
None
Lau Construction
'St. Cloud, Mn.
Associated Builders
Bismarck, ND
x
220
1,148,367
None
3,535 Deduct
14,831 Deduci
3,535 Deduct
30,625 Deduct
6,536 Dedu
t 3,078 Add
9,163 Add
NMH Enterprises
Watertown, Mn.
�Salonek, Inc.
Springfield, Mn.
E.J. Pinske Bldrs.
x
195
1,072,500
2,000 Deduct
6,000 Deduct
16,500 Deduc
3,650 Deduct
30,000 Deduc
12,500 Ded,cc
13,750 Ded
9,400 Add
Marcus Construction Co.
Prinsburg, Mn.
• • •
(612) 587 -5151
CITY OF HUTCHINSON
37'W,4SHINC ITON AVENUE WEST
Hv i C NSC N .M /NN 5535C
M E M O R A N D U M
Date: April 18, 1985
TO: Mayor and City Council
FROM: Ken Merrill Finance Director
SUBJECT: Pool & Recreation Building Financ
Cost of the facility breaks down as follows:
General Bid $ 19007,850
Architect Fee 649350
Flooring & Equipment 60,000
$ 19132,000
Additional items not in this cost are the water and sewer service to
the facility and the parking lot. Some savings may result in the •
matter of sales tax and building permit fees if they are included in
the present bid.
Financing available and alternatives:
Estimated on hand June 1, 1985 $ 9589800
Estimated interest earning bal. of yr. 15,000
Additional General Fund Balance Transfer 100,000
(Estimated bal at 12/31/85 would be $622,000)
Additional Federal Revenue Sharing Transfer 100,000
(Estimated bal at 12/31/85 would be $387,700)
*Park Land Sale (Jorgenson Lot) 5,000
*Public Site Fund - amount available 149000
*(Need favorable City Attorney ruling)
Additional Tax - 1 mill rate 41,000
(Not available until 1986)
r-J-,
Office of
McLEOD COUNTY
Zoning Administrator
a30 11th Street East - Court House
GLENCOE, MINNESOTA 55336
Phone 864 -5551 Ext. 259
EDWIN E. HOMAN
Administrator
April 17, 1985
Mr. Gary Plotz
City of Hutchinson
City Clerk's Office
37 Washington Avenue West
Hutchinson, MN 55350
RE: Parcel No. 06-315-00%-formerly the Satterlee Pit
Dear Mr. Plotz:
RECEIVED
Q� rU
�sx�c l - l L Gt62,3
As I indicated in our telephone conversation on Friday, April 12, 1985,
the construction of a new waste water treatment facility is a use that is
neither specifically permitted nor denied in the "A" Agricultural District;
therefore, the use shall be considered prohibited. However upon request,
a study and amendment may be initiated to provide for the facility in the
Agricultural District. The amendment procedure would take approximately
• sixty (60) to ninety (90) days, depending upon the recommendations to the
Board of County Commissioners from the affected Board of Town Supervisors
and the McLeod County Planning Commission.
Prior to issuing a County land use permit for the facility, there are other
areas of concern that you will need to consider. The possible environmental
effects that may require an EAW and the location of the facility with regard
to the Flood Plain District that is delineated on Panel 25 of 150 of the
McLeod County Flood Insurance Rate Map (segment enclosed). The procedure for
evaluating the flood plain and environmental review may require an additional
thirty (30) days to sixty (60) days.
I hope this brief explanation of the County's review process will assist
you in evaluating the potential of this site. As you are probable aware,
to escape the County's review you may want to consider annexation of adjacent
property or a site within the existing city boundaries.
If you have any further questions regarding this matter, please contact me.
Sincerely,
Edwin E. Homan
McLeod County Zoning Administrator
• EEH /san
Encicsure
f-e I
1
IPA
13
Ocitv of Hutchinson
AREA NOT INCLUDED
CHICAGO
5 4
BURLINGTON
II i
W—ZONE A
ZONE C
7 8
COUNTY ROAD
89
ZONE C
18 Jr 17 16
"
ZONE
ZONE A
9
n
®RECEIVED'(�l April 17, 198SULTING
ENGINEERS
DIVERSIFIED INC.
City of Hutchinson
37 Washington Avenue, West
Hutchinson, MN 55350
Attn: Mr. Gary Plotz
City Administrator
Re: Wastewater Treatment Plant
SurP2oo
Alternate Site Investigation
Moo "F'',e MN"P " °Rn
rnooie �� �.e � 5569
Donohue Project No. 14079.000
J
!612 422181
Dear Gary:
As requested we have made a cursory review of changing
he wastewater treatment plant site. Below is a short
discussion of our findings.
HISTORY
•
The past 5 years facility planning effort has only
considered the parcel of land between the City tree
dump and the armory site along Highway 22 and the South
Fork of the Crow River. The existing facility plan
indicates "the site was preferred by the City and the
Public Participation Advisory Committee for its loca-
tion immediately outside the City limits between two
City -owned parcels of land ". This land is not owned by
the city and the cost to purchase this land was esti-
mated at $250,000.
ADDITIONAL CONSTRUCTION COSTS
In an effort to reduce the new facilities cost, the
City Council has suggested using the City -owned "tree
dump" site in lieu of purchasing the proposed parcel of
land. The use of this alternate site would save on the
purchase price of the new site, but would result in
additional construction costs.
The first added cost would be an additional 2,000 feet
of force main to convey raw sewage from the existing
treatment facilities to the new site. The extra force
main length could cost up to $120,000, and would also
result in additional frictional headloss which would
increase annual electrical pumping costs by $1,500.
Clearing the site of tree remnants and excavation costs
in areas where broken concrete and rubble have been
disposed would also increase construction costs. Soil
borings and a more detailed engineering study would be
required to determine how much additional clearing and
excavation costs can be expected. In addition, it
would still be necessary to purchase or obtain an ease-
ment to occupy the land parcel facing the highway for
force main construction. In discussions with MPCA,
they may also require a review of all treatment alter-
natives in light of the increased construction costs
listed.
MPCA CHALLENGES
MPCA believes that a change of the proposed site at
this time will have a serious impact upon the project —
schedule. Agency "sign -offs" on the new site would be
required in writing from the County, the Township,
Minnesota DNR, and other Fish and Wildlife Organiza-
tions. To obtain the Step 2 advanced allowance of
approximately $380,000 this year, the facility plan
must be "approvable" by July 1, 1985. A one -year delay
in receiving this money would cost the City $38,000,
based upon a 10 percent interest rate.
MPCA stated that the existing approvable status of the •
Facilities Plan would dissolve with a site change at
this time. It is unlikely approvals can be obtained
from all agencies in a time period which would allow
the revised facilities planning report to be classified
as "approvable" by July 1, 1985.
DESIGN TIME LINE
To qualify for fiscal year 1987 (FY87) Step 3 funding,
plans and specifications must be submitted by Decem-
ber 1, 1985. To meet this date, the design process
must begin May 15, 1985 per the schedule contained in
our agreement with the City. Since the new site will
not be approved by this date, the December 1 deadline
can be met only by starting design without an "approv-
ed" site. Problems with site approval cuul`?
necessitate a nonfundable redesign at an approved site
if the site does not receive alternate approval. Miss-
ing the December 1 deadline would result in delayed
Step 3 construction funding. Proposed federal funding
cutbacks beyond F'f87 may result in additional reduced
funding levels for the construction phase of this pro-
ject.
� 1
Mr. Gary Plotz
April 17, 1985
Page 2
E
n
LJ
•
CONCLUSION
Based upon these considerations, we strongly recommend
not considering an alternate plant site location.
Added costs and potential lost grants greatly outweigh
the benefits. To avoid falling behind schedule, we
must proceed with the advanced facility plan portion of
this project at the approved site immediately.
In addition, to keep both the Advanced Facilities and
the Design on Schedule we strongly recommend proceeding
with purchase at your April 23, 1985 council meeting.
A delay of even several weeks can have a ripple effort
on the schedule for MPCA Final facilities plan
approval, site layout and Value Engineering. We also
request you consider purchase, or at least,- obtaining
easements for the strip of land adjacent to STH "22"
since set backs and right -of -way construction clear-
ance, for the force main in or near STH "22 ", is not
obtained and will not be for several months.
Please call with questions
information.
Sincerely,
or comments regarding this
DONOHUE & ASSOCIATES, INC.
Donald F. Roecker, P.E., Manager
Governmental Liaison Activities
Edward S. Nevers, P.E.
Project Engineer
ESN /d 1 j
cc: Gary Warren
Tom Heney
TR /L /FVO
Mr. Gary Plotz
April 17, 1985
Page 3
RESOLUTION NO. 8017
RESOLUTION OF OFFER TO PURCHASE
WHEREAS, the City of Hutchinson is seeking to obtain land to be utilized
as the site for a Wastewater Treatment Facility, and;
WHEREAS, the following properties have been considered as part of a suit-
able site for construction of such Wastewater Treatment Facility:
Boldt Property, legally described as: All that certain triangular shaped
piece of land containing 51.13 acres more or less, lying south of the C.M.
and St. P. Railroad right -of -way (as now located), in the southwest corner
of the northwest quarter of Section 8 in T116N, R29W, together with all
rights to road leading from said premises in a northerly direction to the
public road, subject to easement granted to the Hutchinson Lighting and
Manufacturing Company, said piece of land being the same as deeded to John
Anderson by Warranty Deed dated September 17, 1917, signed by Christen J.
Christensen and Marie Christensen, except the following described lands:
Beginning at a point marked by an iron post on the west boundary line of
section 8, T116N, R29W, which said point is 58.2 feet north of the south-
east corner of Lot 8 of Auditor's Plat of Section 7 in said Township 116,
• which said plat is on file in the office of the Register of Deeds in and
for said McLeod County; thence running S44 °39'E 213 feet to an iron post;
thence running S52 °44'E 262 feet to an iron post; thence running S17 °44'E
123.6 feet to an iron post on the south boundary line of northwest quarter
of said section 8; thence running westerly along the south boundary line
of said northwest quarter of said Section 8 to the southwest corner of said
northwest quarter of said section 8; thence running northerly along the west
boundary line of said section 8 to place of beginning.
Kadelbach Property, legally described as: A legal description for this
property was not provided, but the land is a 100' wide strip of abandon
railroad right -of -way on the southwesterly side of State Highway No. 22,
and is in the NW 1/4 of Section 8, Township 116 North, Range 29 West.
Schimmel Property, legally described as: A legal description for this
property was not provided, but the land is the portion of the NW 1/4,
SW 1/4 of Section 8, lying northeasterly of the Crow River and in Town-
ship 116 North, Range 29 West.
WHEREAS, the City of Hutchinson has caused such properties to be appraised
by a qualified, certified appraiser, and;
WHEREAS, said appraisals were conducted with the knowledge and permission of
the owners of said properties,the owners of said properties being permitted to
• accompany the appraiser on his inspection of said properties, and the owners of
said properties having been provided the results of said appraisals.
NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF HUTCHINSON,
MINNESOTA:
�� -_�Z_ -� -
RESOLUTION NO. 8017
PAGE 2
That the Hutchinson City Attorney is authorized to offer to purchase said
properties from the owners thereof for a price not to exceed the appraised fair
market value thereof.
Adopted by the City Council this 9th day of April, 1985.
Robert H. Stearns
Mayor
ATTEST:
Gary D. Plotz
City Clerk
•
40
(612) 587 - 5151 - -
yar�A CITY OF HUTCHINSON
{v _ H1rVS(---)N, ,klINN.
M E M 0
DATE: April 18, 1985
TO: Mayor and City Council
FROM: Director of Engineering
RE: Repair Ground Storage Reservoir
Water Treatment Plant Site
Bids were received for the above repair Work, ranging from $154,965.00 to
$230,056.00.
I recommend awarding a contract to Acton Construction of Hugo, Minnesota in
the amount of 31549965.00.
•
MVP /pv
cc: Ken Merrill
Ralph Neumann
Dick Nagy
•
Marlow V. Priebe
Director of Engineering
�- G
v0HUT(612) 587 -5151
DH ASON, CITY OF HUTC HINSON
3 w,as;,vc oN vE,vur Iv MINN .55 3160
M E M O R A N D U M
DATE: April 18. 1
TO: Mayor and Council
------------------------------
FROM: Ken Merrill, Finance Director
------------------------------
SUBJECT: Water & Sewer Fund Financ— — in
-------- - - - -- — — — — — — — — — — — — — —
With this agenda are two major purchases from the water and
sewer fund. We have a good cash balance as of 12/31/84
$1.2 million. (We do have debt service requiring $251,000
in 1985.) Items we are looking at for 1985 are presently
3 with major dollar impact.
1) Design - Waste Water Plant $ 633,000 •
2) Storage Tank Repair 155,000
3) Land Acquisition (Wastewater Plant Site) 248,200
At this time, we would ask the use of water sewer funds for
items 2 & 3 on a temporary basis. When the bond issues are
in place for 1985, we will have a proposal for item number 1
and possibly 3. Until that time, we request the use of in-
ternal financing.
0
r C;
S
0
�01
rieke
carroil
Vciates,inc.
architects
engineers
land surveyors
•
1011 first street south
post office box 130
hopkins, minnesota 55343
612- 935 -6901
/K^^( %�.APR 1r79�35 N
tl _W�yy.-n N cc
• �rLJ
Ili
BY
w
April 19, 1985
City Council
City of Hutchinson
37 Washington Avenue West
Hutchinson, MN. 55350
RE: REPAIR GROUND STORAGE RESERVOIR
RCM FILE NO. 841805 -0
Dear Sirs:
Bids were received Thursday, April 19, 1985 for the repair of the ground
storage reservoir. A total of nine general contractors bid on the project
with a total base bid price range of $154,965.00 to $230,056.00. The five
lowest bidders are as follows:
Acton Construction, Inc., Hugo, MN $154,965.00
HMH Enterprises, Inc., Watertown, MN $161,800.00
ABE Construction Co., Inc., Plymouth, MN $1649000.00
Merrimac Construction Co., Anoka, MN $181,873.00
ACG, Inc., St. Paul, MN $184,740.00
All proposals were accompanied by a bid bond in the amount of 10 %,
together with the certified copy of the power of attorney. A complete
copy of the bid tabulation is attached to this letter.
The low bid contractor, Acton Construction, is a well known and
experienced contractor in the area of concrete and treatment plant
construction. RCM has worked with this organization in the past and
have found their work to be satisfactory.
It is our recommendation that the City award the construction contract
for the repair of the ground storage reservoir to Acton Construction, in
the amount of $154,965.00 and you authorize them to proceed as the sign
contract, bond and insurance forms are approved.
Enclosed are copies of the Owner /Contractor Agreements. After you
review, please forward three copies to the Contractor for his signature.
City of Hutchinson
April 19, 1985
Page 2
If you have any questions regarding the above recommendation, I would
be more than willing to meet with you and discuss the situation.
Ve u yours
C. S. Barger, P.E.
RIEKE CARROLL MULLER ASSOCIATES, INC.
CSB:cw
Enclosure
cc: Marlow Priebe, City Engineer
Jim Schaeder, City Attorney
Mike LaFrance, RCM
i
•
•
REPAIRS TO GROUND STORAGE RESERVOIR
R1EKE– CARROLL– MULLER ASSOCIATES, INC.
ADDRESS
CORP.— PART. -1ND
SIGNED BY
TITLE
JBBIID- SECURITY
ADDEI NDUM
1.
Crack
flushi
Hugo, Mn.
11000
ft. @
'2.
Crack
repair
P.K. Miller
11000
ft. @
13.
Cores
Pres.
B.B.
4 ft.
@
1 &2
1 &2
1 &2
14.
Lump
sum
TOTAL BASE
BID
jSub- contractors:
Epoxy grout
Completion time:
,l. Start
2. Complete-Cell 1
'3. Complete Cell 2
j4. Final comp.
,Remarks:
Acton uonst.
ACG Inc.
HmH Enterprises
Hugo, Mn.
St. Paul, Mn.
Watertown, Mn.
Co rpk
Corp.
Corp,
P.K. Miller
T. McCormick
G.E. Henricks
Pres,
V. Pres.
Pres.
B.B.
B.B.
1B.B.
2,000
20
my 12,19
3' 1 3.500
y 15,
810 TABULATION
HUTCHINSON, MINNESOTA
2:00 P.M.
ABE Const.
I Plymouth, Mn.
. inomas
1 1 1,000
45
—JO—
Sept 1,
PROJECT. 841805 -0
DATE: April 18, 1985
Merrimac Const.
ACG Inc.
R. W. Carlstrom
Anoka, Mn.
St. Paul, Mn.
Mankato, Mn.
Corp.
Corp.
Corp.
J. Szurek
T. McCormick
J. Carlstrom
V. Pres.
Pres.
-Pres,
B.B.
B.B.
B.B.
1 &2
1 &2
1 &2
3
3,470
2
2,000
3
31150
2030,20,300
159
15 000
18
18,450
?A6
1-144
24n
1,040
156.959
167,500
163,625
181,873
1184.740
186,265
t
10
10
10
45
45
30
60
90
60
90
120
Puly 15,1985
BID TABULATION
REPAIRS GROUND STORAGE RESERVOIR PROJECT :_ 841805 -0 a
HUTCHINS• MINNESOTA
RIEKE —C OLL— MULLER ASSOCIATES, INC. 2:00 P.M. DATE: April 18, 1985
CONTRACTOR
ADDRESS
Anoka, Mn.
Plymouth, Mn.
St. Paul, Mn.
CORP,— PART. —IND.
Corp.
Cori),
SIGNED BY
R. Young
Thies
TITLE
Pres.
PrPs.
__
BID SECURITY
B.B.
B.B.
B.B.
ADDENDUM
I & 2
1 & 2
& 2
ITEMS
1. Crack flushinq
11000 ft. @
15
15
00
7P onf)
2. Crack repair
11000 ft. @
4
18
18,450
18,000
3. Cores
4 ft. @
260
19040
350
1,400
14
rr
4. Lump sum
177,297
180 295
205,000
TOTAL BASE BID
199,937
203,295
230,056
Sub - contractors:
Epoxy grout
Completion time:
1. Start
10
2
2. Complete Cel 1 1
3. Complete Cell 2
4. Final comp.
July 19o198
--
ug 1, '1985
Remarks:
(612) 587 -5151
CITY OF HUTCHINSON
3? 6 LASHING T i)N A 1/ENuE WEST
HU7CHINSON ,�IiNN_ SSS�O
TO: Mayor & City Council
FROM: John McRaith, Assistant Recreation Director
DATE: April 18,1985
SUBJECT: Purchase of Park Tractor
The Parks & Recreation Department will open bids for anew trac-
tor at 2:00 pm. on Tuesday, April 23. From the information I
have received thus far, I am confident we will have some very
good bids. I would urge you to make a decision on the tractor
immediately. I have discussed the financing with Ken Merrill
and we are both comfortable with the arrangement made.
The tractor is essential to our department especially
during this time of the year. The tractor is needed for our
dandelion spraying operation, which will begin shortly. The
shelter construction at Roberts Park and tree pruning are
two other areas for which this piece of equipment is badly
needed.
The new tractor will give us the capability to do these
heavy duty type of jobs for which the John Deere 2020 was not
originally intended.
klm
TO:
FROM:
SUBJECT:
r (612) 587.5151
CITY OF HUTCHINSON
37 WASHING TON AVENUE WE-S, TI
HUTCHINSON, MAN 55350
M E M O R A N D U M
DATE: April 18, 1985
MU.Qr- agd_CjtX CoarLQU - - - - - - - - - - - - - - - - - -
KenMerrill. Fi-naIlcgpire,Qt,Qr - - - - - - - - - - - - - -
Park Tractor Financ _jqg - - - - - - - - - - - - - - - - - -
Financing of the park tractor (bids to be opened on Monday)
is proposed as follows:
1. Rental dollars paid to Central Garage $ 2226
2. Money available from Park Dept. 4000
$ 6226
Balance to be financed by Central Garage Fund until 1986. In
1986, the budget of Park Department will pay any balance re-
maining to Central Garage Fund. (We are estimating $6000 -
$8000 needed after trade -in.)
16
0
0
R E P A I R P A R T S
ARS3370
Engine Gasket Set
1
@ 62.21
848767
Packing 4
@1.97
7.88
AR71617
0' Ring Kit 4
@5.62
22.48
F19044
Oil Filter
1
@ 3.25
T20326
Rear Oil Seal
1
@ 74.08
R49516
Gasket
1
@ 7.27
T20182
Head Bolt 14 @1.81
25.34
T20184
Head Bolt 4
@2.49
9.96
AR71590
Kit, Cylinder Linner with
Pistons & Rings
4 @123.60
494.40
AT10123
Rod Bearings 4
@10.73
42.92
TS26T
Rod Bushing 4
@7.73
30.92
T19173
Rod Bolts 8
@4.90
39.20
AT21139
Crankshaft Bearing
1
@ 30.12
AT21140
Crankshaft Bearing
2 @12.33
24.66
T23474
Crankshaft Bearing
Bolt 6 @11.09
66.54
AR62979
Oil Pump
1
@ 39.44
AT18049
Camshaft
1
@128.49
AT20728
Air Cleaner Filter
1
@ 13.00
AT22962
Thermostat 2
@5.33
10.66
AR62244 '
Carburetor
211.96
T36236
Gasket 1
@7.79
7.79
T21448
Shaft Clutch Pedal
1
@ 9.30
T21998
Bushing Clutch Pedal
1
@ 3.03
AR66923
Clutch Disk
1
@ 63.32
T22194
Clutch Plate
1
@101.65
T22195
Clutch Plate Powershaft
1
@ 94.16
AT17464
Bearing Thrust
1
@ 9.62
T22197
Leuer, Clutch 3
@21.59
64.77
T27707
Clutch Spring 3
@ 1.81
5.43
AR75603
Hyd. Filter
1
@ 3.99
AR39168
Hyd. Pump
1
@573.64
AR65688
Brake Line
1
@ 3.07
.
AR65688
Brake Line
1
@ 2.30
T21813
Brake Check Valve 2
110.14
20.28
AR54929
Brake 0' Ring Kit
1
@ 9.68
T30687
Gasket
1
@ 21.22
T21743
Wheel
1
@143.40
Repair Parts
Page two
AT20945
AT27130
T23118,
T21669
AW19747
AT21047
Tie Rod
Tie Rod
Bushing
Pin
Valve Complete
New Crankshaft
Labor
Outside Machine Work
Crankshaft & Clutch
2 @ 39.89 79.78
2 @ 57.10 114.20
2 @ 4.24 8.48
1 @ 13.78
1 @211.28
1 @640.95
$2,908.95
@ $24.00 960.00
"t�l(
100.00
$4v909.90
•
0
0
I
1
PERFECT CIRCLE
?! MACH f N E SHOP
Quality Parts
Perfect Circle
f
( VICTOR
N° 14047
G.T.C. AUTO PARTS OF HUTCHINSON
31 1st Ave. N.E.
Hutchinson, MN. 553SO
Phone: 587 -2618
Customer Name
Address:
(street) (city) (state) Izip code)
Phone No.: Contact: Date Rec'd: S�
8' o IaT
Year. � Instructions:
Make: O OY\ .- &o
Model: Z
Cyt.: _.
Part No.
Dty.
Description
Price
List
Net Each
Total
!
2.7R
3S, r-2-
1FY 0A.
).7f
% TM
s
_ -
(35.77
•—
�%O,
16 is 7
104os
sd • LO
//
/�.
/ /te►lr r:. �e
s-Albtf
t/3 W/
111 om
& ,
a 9•!Fev
a 3. Po
VV
a.gg
r
.67
/%
•
fi
1
/
Total Parts
Total Labor
Shop Mat. G�
Grand Total
�Coartoal
BLOCK WORK
Cyl's
Oversize
Price
Remarks
13
Disassemble engine
fj-
14
Assemble engine
15
Clean block
3---
16
Cylinder rebored
11
Cylinaer honed
--
18
Repair block and resurface
19
Install cylinder sleeves
�--
20
Install cam bearings
---
SUB TOTAL
boovcow
HEAD WORK
C I'S
Oversize
Price
Remar
01
Disassemble-clean & assemble head
02
Resurface cyl. head
03
Repair cyl. head -cast & alum.
04
Reface valve and seats
05
Replace valves
O6
Install valve seats
^
07
Install valve guides
SS —
08
Check valve springs
�"-
09
Remove and replace head studs
10
Machine guides -P.C. seal
11
Harley Seat Inst.
12
Pressure Testing
SUBTOTAL
Jobbwco•
PISTON AND ROD WORK
Cyl's
Oversize
Price
-== Remarks _ - - - -• _`�= -
21
Press & tit pins
-_
22
Align rods
23
Recondition rods
�--
24 IMisc.
%rK
1C1D --
SUB TOTAL
jowem
BRAKE DRUM AND ROTOR WORK
Price
Remarks
25
Brake drums turned
26
Rotors turned
27
Remove & install axle brg.
28
Tractor b kes
(Poo
•s
SUB TOTAL
-
law
LABOR TOTAL
1;1 Or
(612)5875151
/,Z177, 1r w .;'CITY OF HUTCHINSON
TO: Mayor & City Council
FROM: John McRaith, Assistant Recreation Director
DATE: April 22, 1985
SUBJECT: Park Tractor Bid
•
0
The bid opening for the purchase of a used park tractor
was held at 2:00 p.m. on Monday, April 22nd. We received
one bid from Tepley Equipment of Glencoe with six differenf-
alternatives .
I would like to recommend that we accept the lowest
bid of the six which is $12,000 for the International 886
including the trade -in of the John Deere 2020.
With the repair estimate of $5,000,(enclosed in packet)
the value of our 2020 is worth less than the estimated cost
of repairs.
By spending an additional $7,000 over the cost of re-
pairs, we can update the tractor from 1968 to 1981 and get
additional horsepower we need to accomplish our present
tasks.
klm
PROPOSAL FORM
City Clerk
37 Washington Ave. West
Hutchinson, Mn 55350
Dear Sir:
We, the undersigned, doing business as Tep v Equipment Inc,
and hereinafter known as the Bidder, hereby propose and, if this proposal is
accepted, agree to enter into an agreement with the City of Hutchinson, and to
furnish the vehicle, machinery or equipment, all in strict accordance with the
specifications entitled "SPECIFICATIONS FOR PURCHASE OF ONE (1) USED JOHN
DEERE #2940 TRACTOR OR ONE (1) USED INTERNATIONAL #886 TRACTOR ". The
undersigned hereby certifies that an examination has been made of the
specifications, and hereby proposes to furnish the vhhicle, machinery or
equipment described, in conformance with these documents.
is 41 ,N1„I: •
Total Price Bid - Used International #886 $16,00000
- BID NUMBER TWO
Total Price Bid - Used John Deere #2940 none
BID NUMBER THREE -
Total Price Bid - Used International #886
Less Trade -In 1968 John Deere 20 -20 $12100040
BID NUMBER FOUR -
Total Price Bid - Used John Deere #2940
Less Trade -In 1968 John Deere 20 -20 none
Accompanying this proposal is the Bid Security required to be furnished by the
Advertisement for Bids, the same being subject to forfeiture in the event of
default by the undersigned.
In submitting this bid, it is understood, that the right is reserved by the
City to reject any or all bids, and it is agreed that this bid may not be
withdrawn for a period of thirty (30) days from the opening thereof.
If a corporation, what is the State of Incorporation? Minnesota
If a partnership, state full names of all co-partners.
Official Address: Firm Te p ]Eguipment Inc
Hwy 919 Feast Box 156 By: S=; ti-
Glencoe, MN 55336 Title:
By:
Dated: Title:
I] L
�y
1
Teply Equipment Inc.
Hwy. 212 East
Glencoe, MN 55336
12.8645571
Alternate Bid
City Clerk
37 Washington Ave. West
Hutchinson, MN 55350
Dear Sir:
We., Teply Equipment Inc., do hereby submit to YOU
an alternate bid according to paragraph E of the General
Specifications sheet.
• Model: John Deere Tractor #2940 MRM
Engines 85 hop* Diesel
Comfort Cover: alternate to cab
Hitch: 3 point hitch (category 2)
Tires: 18*4 x 34 with fluid
Hours: 1375 Actual Hours
Warranty: 100 Hours or 90 Days
Bucket, 81: John Deere (new) Model 260
loader (quick attach)
Transmission: 16 Speed, w/ high low shift on the go
0 O
Total Price Bid - Used John Deere #2940
with loader ~'
• Total Price Bid - Used John Deere #2910
with loader p a
Less Trade -In 1968 John Deere 20 -20 �� O 0 O
C�
•
r �' (6121587 -5151
f vI I / V ee I %I / %F 1400 %.Viv7
37WASh'INGTONAVENUE 'NEST
HUTCHINSON, MINN. 55350
M E M O R A N D U M
DATE: April 23, 1985
T0: Mayor and City Council
FROH. Water Billing Department
------------------------------
SUBJECT: Delinquent Water Accounts
Attached is a listing of the delinquent water accounts for the month of
April. Recommend water service be discontinued on Monday, April 29,
1985, at Noon.
t•
L -350 -0614 -031
Denn s Wedge
614 rd Ave. ,Z.W.
Hutchin n y0 55350
614 fh, 4e. SW
115
. Oq
cc: nis Witt
1416 ioneer C
No hfield NTN 5 57
2 -255- 0324 -071
Mike Maiers
324 Boulder Circle
Hutchinson MN 55350
324 Boulder Circle
125.11
2- 350 -0505 -021
Richard Mattson
505 Dale Street
Hutchinson MN 55350
505 Dale Street
82.31
2- 620 - 0530 -051
Charles Parsons
530 Larson St.
Hutchinson MN 55350
530 Larson Street
63.58
2- 700 - 1320 -001
Ronald J. Thompson
1320 McDonald Drive
Hutchinson MN 55350
1320 McDonald Drive
32.63
3- 535 - 0425 -053
Rick Hanson
425 Huron St.
Hutchinson MN 55350
425 Huron St.
77.63
cc: Bruce Kopesky
430 Shady Ridge Road
Hutchinson MN 55350
2- 070 -0565 -081
David Norton
565 Fourth Ave. SW
Hutchinson Mn 55350
565 Fourth Ave. SW
58.89
Promises to pay 5/1/85
2- 345 - 0744 -011
Odella Radtke
744 Craig Ave.
Hutchinson NAT 55350
744 Craig Ave.
77.63
2 -465- 0626 -081
Chris Johnson
626 Harmony Lane
Hutchinson MN 55350
626 Harmony Lane
65.92
2- 650 - 0511 -011
Kathy Piehl
511 Linden,Ave.
Hutchinson MN 55350
511 Linden Avenue
51.68
Promises to pay 5/1/85
2- 665 - 0535 -063.
Northstar Realty
688 Hague Ave.
St. Paul MN 55104
535 Lyndale Ave.
27.74
2_;,,0_,7638_071
George Helget
638 Fifth Ave. SW
Hutchinson Mn 55350
638 Fifth Ave. SW
51.97
Promises to pay 4/26
m. 0- 0225 -011
da rnW35H
225 le S eet
Hutch ee 55350
225 Street
42.
es
2- 585 - 0621 -081
Mrs. Ruth Piehl
621 Juul Road
Hutchinson Mn 55350
621 Juul Road
79.97 -
Promises to pay 5/3/85
2- 675 -0544 -031
'Keith Krommenhoek
544 Madson Ave.
Hutchinson MN 55350
544 Madson Ave.
84.65
Promises to pay 5/1/85
3-535- 0215 -091
Don Kramer
215 Huron St.
Hutchinson MN 55350
215 Huron St.
115.36
•
April 15, 1985
To the Hutchinson City Council:
This letter is in regard to lot #11 in the Selchow and
Jorgenson addition on Jorgenson Street which the city of
Hutchinson has for sale. We are interested in this property
and make an offer of $10,000 in cash for it.
1��rG
Sheryl Schlueter
Lloyd Schlueter
jj(67?) 879,
Awl
H�r�N, CITY OF HUTCHINSON
tVASH /NG,ON AV�NUr tli
/ i CHINSON MJNN 55350
M E M O R A N D U M
DATE: APRIL 15, 1985
TO: _ MAYOR AND CITY COUNCIL _ _ _ _ _ _ _ _ _ _ _ _
FROM: _RALPH NEUMANN _ _ 9Z-- _ _ _ _ _ _ _ _ _
SUBJECT: —CITY OWNED PROPERTY _ _ _ _ _ _ _ _ _ _ _ _ _
B
On December 21, 1981 the City of Hutchinson purchased a
rectangular piece of land located adjacent to the 2nd. Ave bridge
• and Erie Street from Leonard Miller.
Terms of this contract allowed Mr. Miller to farm this land
at no cost to himself until December 31, 1984.
At the present time (after notifying Mr. Miller) the city is
now utilizing an area along Erie Street to dump clean fill with
the purpose of building the road shoulder wider.
In talking to Mr. Miller, he has indicated an interest to
continue farming this small tract (2to 3 acres) rent free. I
feel this a fair agreement on a year to year basis as it eliminates the
cities responsibility in mowing and keeping the weeds down. A
stipulation being made the land must be plowed back in the fall.
tlltlAatt , AAAA AuARSS OR CAeM RANT. 4ltu.1u, IN,rv.l Clou.. n..c. So,....1.......
OR this .. 21st_ A af December ._ _. 1081 , it is agreed that
City of Hutchinson
, a municipal colpdration,
_ ....... ......................... .__.... AS LESSOR
hereby leases and rents to
.... Leonard G.-Miller _... __ . ... ................. .. _ __ ... __._. d3 LESSEE
as feeble lad lying ie McLeod ... ... ... ...... ._._. Coal ...... Mi,OA999ta__.. ._. _.. described as follaws, to•:•il:
Lots 1, 2, 3, and 4 of Block Nineteen (19), Townsite of Hutchinson, South Half. i
Lots 1, 2, and 3 of Block Forty -one (41), Townsite of Hutchinson, South Half.
Lots 1, 2, 3, 6, 7, and the East sixty -six (66) feet of Lot Five (5) in Block
Forty -two (42), Townsite of Hutchinson, South Half. Lot one (1), Block Sixty -
six (66), Townsite of Hutchinson, South'Half.
L dml:o._... --. _._.... , rappnQiy- ....--. ...... .... Ranya Joe the tees of ._. threw .M ...... ..... _.._. yeas..
beginning with the ..... ,..lsS ........ ............ dq of..44MUyO;y, . .................. 10..82.. od edi ►y_Dec®he.[..31,...198A.......
SAID LESSEE, in s idesaliew of said lease, hereby sowaanle with said leader u fadilrwe, to -silt
e aMrl TSN M Ada pan r SAM ISpaSr Sol M rY Sold r fYwanl
Lessee, and /or his assigns and heirs, shall have the right to grow crops on the
tillable lend above described. Lessee shall be responsible for weed control
during the term of this Lease.
Lessor may terminate this Lease at an earlier date by giving written notice to
Lessee terminating said Lease. If said Lease is terminated during the crop
season, Lessor will compensate Lessee for the damage to trope, if any.
OTRa AT1Da 1 Tkal M wm wepe WI wM .aa.rdlY r W n.r Mpet.Se r W wgalDr IAn.K .M rrW era Wad k.`, Iri
Iywgoi AM San Lr rwrrr, r Wt Sad.
SURD, Ttat be veal r Soy pea been W Y W sera ",gal
rna"ulNO, Thai M wm arapeaYr W All Sena N Ihrgghta, par ani we.
waseal Thal be will keel d.wle ae wood* neh Sore and will SSI allow O. r« in rater* gW at spy raver
PTaAW AND k nuns. Tbal V win AM Mara or Sall or pwnw an ra.n. gY err 4. an Sold War whSea rant needed as
.....S. ghveea.
TLOWINO3 Thal he will. Ipepee W, airline hareeellar neh ,Sap rah rear. pww SW wad as fNwwa . ..... .........................._.... ....
No plowback required.
ua that w saw be Shall ran So do be. M array Sol \eel.ee Sold Near ,e anise upon safe wad and to w pww {M aaaw Y rM eepnpeo
.1 tan New.
Use &&", That be pin .. ... .t his San n.p.eg., eoplan .M opiall ell dope.,. w IpepnlsrnW an Sold Wad Sena by W
.Y ai MN M MelWeneal sad the, an .Ilyr ,nailer shalt an rVn r 1alWwnl .. ...... ....
UMTRT ST LUSSOS. That Safe 1 ., pear rwe .M. Sold load era Say Rae 1. $a.m. Me Sapen AN to peak. pea► r.rlrg miss
Ipepm.al a V Ws door .eeegYq, .r w preaan toy Sao ape..Mbe nM. pra.MW M .hall rI ".a. n.ea sad saw peppery
a Sold Magn.
ASA1OMeIr.MT AND SRa1.RTTIMO. Thai her wm appear Wars this Inn one *Saint oar Mel at geld IaSd wMheat Sasso., he
wash, 0 Sold wage.
SECURITY INTEREST: To eoCurs the payment of the rents hSraln .peclfled and ILe lallhful perbrrnuaCS and Mrlcl fulfill-
ment W .11 the t.yenanl. of Sap Neaee In lhl. le.w .v�sdlned. aged 1 .. dune Io-rrby Knot a .a�mlly Intone W said ler.q her
hells, .urte.r,r. a galena, In WI c,up. ernwla, oar Fawn IIn ..W pr.mipe. durhm the term .d Ihl. ISU.r and 1. pruducw upd e.mtyarl
right. VIth re.pvct Iho,ot. and ell protg,ds W all Th. lanais aeI'ee. not 1. .,II or Ul h,rwlw db„vre .f any of Said p,oPerty Sad IP
cane of any default In the payment of Sold not, oar In p,rfurm In, .Sly of the c ,,o.oI. of Imn Irn.u, , r I. t.so any of saw priy,rrly le
Sold or dwpusod oaf, or Mean the I.SSol h, flood wllh d,mo. hhowlf ho,e.'ur.. �c id leans k h,l0,1 Autlmr Ned and emWro.d to d..
clare the whole bum or any and all Some Secured herehy m he Immgdialely doe and po YRblr, Road b, any Such cam .hall luvr, In
addllbo lu the Hatt. and rrni.dln rran Wd herehY. all rlahla and reno,dlro of a r.•.nr,J party under Ihr tl.It.rel Con ilrwrcl.l t'ult
Ioother +pp11tS41, err S.Id )..or null reaulle ..,Id Iee.ee 11.:iw•n�Lle .uld mol.'r1y and L.Ikl It ay.IL1ho to avid Inlu.r at n n ..
h, d,altlwled by Said leaver that N rasonabiy . -unve Ic.t b, b.,lll Yurt,e. Y:ip,n... of r,l.klna, hobbles, p,.",lag fur ale, .ell.
like and the like, shall Ineluda the regeolahN anorngi love and It"] .aprowa .d r kl lenw.r
E
F-1 L
"to c or retcadiars, it the "oduiauea ue,O Ouid duet*, the tato at sbau aeude, ." beta I" e,u,,e ionee,et ihan O. Or two eeedl.a
.1 ... MOM .w le be •vueuil ad elau, "eumeu, dowl,ou auld beeauee, A. tuvt .Ilb W umedrr ees.e.abee a MW e..
I....... ",..a 1e blue at 11 stay, a. fee —Oka Ouu at suld VIO." by base .4 the these 1. 4yedau.6"I
•.4 1$ A. each • e'. Of ..W nuWe ."" Le full ". Or IY f." 'rups, .hl -h ...at he, ..,u lau,l.dua seed. iume, •"
,.— 1. —in.1hes 11 W p,..I.. .1. Old Oil., Mabee erve,* .. W. .. 1,.. ah.11 Me. tm amul.t. 'Ish, W
rennn 4. '.elue ..4, obw I'aue, '.'Idada theil he .. Of ".1, .10 am penvulleme, almill Mee all the rtebts ad leaddeer ender 'bft
.—.1 hl J... Of ..'h
-I "REND LM OF AND ROLDINO QV►kc lik" .6 the Nrnls.11w Of Was teem use I,paft ro-aealry, by ae" I.osee,
• .1. I. 11.11d.A. he .11a , —.1pal Mrewder possOealu. at .11 auld lead 1. saw NOOOIl ..a the, le evue he k.11 ..I. W
.hr l .11r1 e. YO.Uw . rW let. .r nmer ve-e.,,, . li,tWia re.leled, k mU eme, " vueel.r." m • rp..aal a " samema. ." ause,
le ..eh ..r, m .1411 ourve.due, .." 1. .14 leauser .". d. ".
-Ter ' end -'I. .tall, h... the rvN,test 0. MIMI., he 6.1r rIW 1. nrn the mill, eaft.w., Ideritnia.
u 1,, 1.,A reVneenl.tleea, .ulaeadols Lnd ..Wll cof the rb.pu,tivu "rlh, h.rrin and ethl- -411WItsWit. 'Qed- used AN thle
,1 In the M.Wim Sain", leclwao blue fuanlielme end "wit.r. the Whs.l.r riw,bar IWI.d. Me pjY mel am piur.3 thes
In T.W.., Ww&O. Noth "Alm he" her"itte out fleet, Items, end *W. the day end your hVel,khafar, voritt..
CITY OF. )YTCHINSO,—A MUNICIPAL- CORPORATION,
IN PRLSM(A OF By :
-256 andA
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STATE OF ... nnnesots
County of McLeod
On this..— 7 n -------.day ot _pgcemti r IJ, M... before nad,
a __--within wad for mid
County and State, personally
__tda anda knows to be Use person
dewribed in and who "autsid the foregoing tostrundust, fund acknowledged thst___.hs_maoutad the swast ns__biJL_.
fees wt sad dad&
STATE Op_ Minnesota '.'�GRAW
a N, I t ;'Lrl OC
-L".4 MI"ESOTA
County of— hQL2QA____
t._LEOO COUNTY
Conur'Z31on no, LASY 24, IN?
On
and for said County, pwwn&Uy sapped"
to and, personally known, who, being em► by me duly sworn. --- --- ........ did my that they we mpwuvsly
the . MaY9T_____l'MMMT end the _City A4!qqi qt rat - o - r of the corporation owned in
the foregoing iDetrucesint, and that the mial affixed to mid Inattrunheasat is the corporate we[ of said corporation, and that
mid instruan•aL was signed wid Ad In behalf of mid corporaim" buuthority q its anexAsatiLSIty coumi
and mid . Ralpll D. Westlunt_ ry D. P citz
acknowledged mid instrum•nt to be the free act and dead of said co
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(612) 587 -5151
'CITY OF HUTCHINSON
37 WASHINGTON AVENUE WEST
- k HUTCHINSON, MINN. 55350
M E M O R A N D U M
DATE: April 17, 1985
TO: Hutchinson City Council
FROM: Hutchinson Planning Commission
SUBJECT: Conditional Use Permit as requested by Larson / Dobratz
Pursuant to Section 6.05, C5, of Zoning Ordinance No. 464, the Hutchinson
Planning Commission is hereby submitting its findings of fact and recom-
mendation with respect to the aforementioned request for a conditional use
permit.
HISTORY
On March 26, 1985, Quentin Larson and Doug Dobratz submitted an application
for a conditional use permit to allow the moving of a house from 613 2nd
Ave. SE onto property located at 535 Franklin St. S. A public hearing was
held at the regular meeting of the Planning Commission on Tuesday, April 16,
1985, at which time several persons voiced their concerns about the proposed
• project. Mrs. Lucille Arlt, representing Mr. Hugo guester, 506 Main St. S.,
stated she felt a newer home would be more suitable for the area. Mr. John
Fox of 4- Square Builders in Glencoe stated they intend to construct a new
house next door and felt a new home would be better for the area. Mr.
Melvin glockman of 545 Franklin St., stated his concern about what type of
resident the house would draw. Mr. Bob Evans of 516 Main St. was concerned
about water drainage in the area. Mr. Larson and Mr. Dobratz stated they
had contacted 8 neighbors who had no objection to the proposal.
FINDINGS OF FACT
1. The required application was submitted and the appropriate fee
paid.
2. Notices were mailed to the surrounding property owners as well as
published in the Hutchinson Leader on April 41 1985.
3. The proposal is in conformance with the requirements of a conditional
use permit.
RECOMMENDATION
It is the recommendation of the Planning Commission that the afore-
mentioned request for a conditional use permit be granted.
• Respectfully submitted,
Roland Ebent, Chairman
Hutchinson Planning Commisson
- q- - 6� 1 __
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RESOLUTION NO. 8022
RESOLUTION GRANTING CONDITIONAL USE PERMIT UNDER
SECTION 6.07 OF ZONING ORDINANCE NO. 464 TO
46 ALLOW THE MOVING OF A HOUSE ONTO PROPERTY LOCATED AT 535 FRANKLIN ST. S.
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF HUTCHINSON, MINNESOTA:
FINDINGS
1. Quentin Larson and Doug Dobratz of Hutchinson have made application
to the City Council for a Conditional Use Permit under Section 8.03 of
Zoning Ordinance No. 464 to allow the moving of a house onto property
located at 535 Franklin Street South, with the following legal description:
Lot 7 Block 57 - Townsite of Hutchinson, South 1/2
2. The City Council has considered the recommendation of the Planning
Commission and the effect of the proposed use on the health, safety, and
welfare of the occupants of the surrounding lands, existing and anticipated
traffic conditions, and the effect on values of properties in the surrounding
area and the effect of the use on the Comprehensive Plan.
3. The Council has determined that the proposed use will not be detri-
mental to the health, safety, or general welfare of the community nor will it
•cause serious traffic congestion nor hazards, nor will it seriously depreciate
surrounding property values, and the proposed use is in harmony with the gener-
al purpose and intent of the Zoning Ordinance and the Comprehensive Plan.
CONCLUSION
The application for Conditional Use Permit for the purpose designated is
granted, based upon the findings set forth above.
Adopted by the City Council this 23rd day of April, 1985.
Attest:
•
Gary D. Plotz
City Clerk
Robert H. Stearns
Mayor
9 -�
a��� (612) 587 -5151
��r�H' C1 T Y OF HUTCHINSON
37 WASHINGTON AVENUE WEST
� HUTCHINSON, MILAN. 55350
M E M O R A N D U M
DATE: April 17, 1985
TO: Hutchinson City Council
FROM: Hutchinson Planning Commission
SUBJECT: Conditional Use Permit as requested by Leonard Heimann
Pursuant to Section 6.059 C5, of Zoning Ordinance No. 464, the Hutchinson
Planning Commission is hereby submitting its findings of fact and recom-
mendation with respect to the aforementioned request for a conditional use
permit.
HISTORY
On April 1, 1985, Leonard Riemann submitted an application for a conditional
use permit to allow the operation of a convenience store /gas station on
property located at 640 Hwy. 7 East (former A & W). A public hearing was
held at the regular meeting of the Planning Commission on Tuesday, April 16,
. 1985, at which time there was no one present who objected to the proposal.
FINDINGS OF FACT
1. The required application was submitted and the appropriate fee
paid.
2. Notices were mailed to the surrounding property owners as well as
published in the Hutchinson Leader on April 4, 1985.
3. The proposal is in conformance with the requirements of a conditional
use permit.
RECOMMENDATION
It is the recommendation of the Planning Commission that the afore-
mentioned request for a conditional use permit be granted.
Respectfully submitted,
Roland Ebent, Chairman
Hutchinson Planning Commisson
•
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fo ii
it
0
RESOLUTION NO. 8023
RESOLUTION GRANTING CONDITIONAL USE PERMIT UNDER
SECTION 6.07 OF ZONING ORDINANCE NO. 464 TO
ALLOW THE OPERATION OF A CONVENIENCE STORE /GAS STATION
ON PROPERTY LOCATED AT 640 HIGHWAY 7 EAST
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF HUTCHINSON, MINNESOTA:
FINDINGS
1. Mr. Leonard Riemann of Hutchinson has made application to the
City Council for a Conditional Use Permit under Section 8.08 of Zoning
Ordinance No. 464 to allow the construction of a convenience store /gas
station on property located at 640 Highway 7 East, with the following legal
description:
Beginning at a point 209 feet South and 542 feet West of the Northwest
Corner of the South Half of the Southeast Quarter (SE 1/4) of Section 32,
Township 117, Range 29, thence South 250 feet; thence East 125 feet; thence
North 250 feet; thence West 125 feet to the point of beginning; being a part
of Lot 10 of Lot 14 of Auditor's Plat of the West Half, Section 329 Township
117, Range 29, according to the map or plat thereof on file and of record in
the office of the Register of Deeds in and for said County and State.
• 2. The City Council has considered the recommendation of the Planning
Commission and the effect of the proposed use on the health, safety, and
welfare of the occupants of the surrounding lands, existing and anticipated
traffic conditions, and the effect on values of properties in the surrounding
area and the effect of the use on the Comprehensive Plan.
3. The Council has determined that the proposed use will not be detri-
mental to the health, safety, or general welfare of the community nor will it
cause serious traffic congestion nor hazards, nor will it seriously depreciate
surrounding property values, and the proposed use is in harmony with the gener-
al purpose and intent of the Zoning Ordinance and the Comprehensive Plan.
CONCLUSION
The application for Conditional Use Permit for the purpose designated is
granted, based upon the findings set forth above.
Adopted by the City Council this 23rd day of April, 1985.
Attest:
•
Gary D. Plotz
City Clerk
Robert H. Stearns
Mayor
� d (612) 587 -5151
, %lUTCH'^ CITY OF HEr TCsm- 7F1VS0111
37 WASHINGTON AVE,� L' c" WEST
-- - , HUTCHINSON, M I NN, 55350
M E M O R A N D U M
DATE: April 17, 1985
TO: Hutchinson City Council
FROM: Hutchinson Planning Commission
SUBJECT: Variance Request as Submitted by Leonard Riemann
Pursuant to Section 6.05, B3, of Zoning Ordinance No. 4649 the Hutchinson
Planning Commission is hereby submitting its findings of fact and recom-
mendation with respect to the aforementioned request for a variance.
HISTORY
On April 1, 1985, Mr. Leonard Riemann submitted a request for a
variance to allow the construction of gasoline pumps 15' from the frontyard
property line on property located at 640 Hwy 7 East (former A & W). A
• public hearing was held at the regular meeting of the Planning Commission on
Tuesday, April 16, 1985, at which time there was no one present who objected
to the request.
FINDINGS OF FACT
1. The required application was submitted and the appropriate fee
paid.
2. Notices were mailed to the surrounding property owners as well as
published in the Hutchinson Leader on Thursday, April 4, 1985.
3. It was the consensus of the Planning Commission that without the
variance, the existing building would have to be moved, which would be a
hardship to the property owner.
RECOMMENDATION
It is the recommendation of the Planning Commission that the afore-
mentioned request for a variance be granted.
Respectfully submitted,
• Roland Ebent, Chairman
Hutchinson Planning Commisson
•
l J
•
RESOLUTION
ZONING ORDINANCE NO.
FRONTYARD PROPERTY
RESOLUTION N0. 8024
GRANTING VARIANCE UNDER SECTION 6.05 OF
464 TO ALLOW INSTALLATION OF GAS PUMPS 15' FROM
LINE ON PROPERTY LOCATED AT 640 EAST HIGHWAY 7
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF HUTCHINSON, MINNESOTA:
FINDINGS
1. Leonard Riemann, has applied for a variance from
Section 9,3a. of the Zoning Ordinance No. 464 for a variance of 10' allow
the installation of gas pumps 15' from the frontyard property line on
property described as:
Beginning at a point 209 feet South and 542 feet West of the Northwest
Corner of the South Half of the Southeast Quarter (SE 1/4) of Section 32,
Township 117, Range 29, thence South 250 feet; thence East 125 feet; thence
North 250 feet; thence West 125 feet to the point of beginning; being a part
of Lot 10 of Lot 14 of Auditor's Plat of the West Half, Section 329 Township
117, Range 29, according to the map or plat thereof on file and of record in
the office of the Register of Deeds in and for said County and State.
2. The Planning Commission has reviewed the application for a
variance and has recommended to the City Council that the application be
granted.
3. The Council has considered the effect of the proposed variance
upon the health, safety, and welfare of the community, existing and
anticipated traffic conditions, light and air, danger of fire, risk to the
public safety, and the values of property in the surrounding area and the
effect of the proposed variance upon the Comprehensive Plan.
4. Because of conditions on the subject property and on the surrounding
property, it is possible to use the subject property in such a way that the
proposed variance will not impair an adequate supply of light and air to adja-
cent property, unreasonably increase the congestion in the public streets,
increase the danger of fire, endanger the public safety, unreasonably diminish
or impair health, safety, comfort, morals, or in any other aspect be contrary to
the intent of the ordinance and the Comprehensive Plan.
5. The special conditions applying to the structure or land in question
are peculiar to such property or immediately adjoining property and do not apply
generally to other land or structures in the district in which such land is
located.
6. The granting of the application is necessary for the preservation and
enjoyment of a substantial property right of the applicant. It will not merely
serve as a convenience to the applicant, but is necessary to alleviate demon-
strable hardship or difficulty.
Resolution No. 8024
Page 2
CONCLUSION
The application for variance for the purpose designated is granted based
upon the findings set forth above.
Adopted by the City Council this 23rd day of April, 1985.
ATTEST:
Robert H. Stearns
Mayor
Gary D. Plotz
City Clerk •
0
(612) 587 -5151
Hu�[H CITY OF HU CHIX 54.010
37 WASHINGTON AVENUE WE T
_ - -�- HUTCHINSON, MINN. 55350
M E M O R A N D U M
DATE: April 17, 1985
TO: Mayor and City Council
------------------------ - - - - --
FROM: Planning Commission
------------------------ - - - - --
SUBJECT: SKETCH PLAN SUBMITTED BY GERALD GASSMAN TO COUNTY
------------------------ - - - - --
(within two mile radius)
The Planning Commission recommends that the §ketch plan
be approved as submitted.
•
9-�
/ (612) 587 -5151
(HUTCH/ CITY OF HUTCHINSON
37 WASHINGTON AVENUE WEST
HUTCH/NSON, MILAN. 55350
April 18, 1985
MEMORANDUM
TO: MAYOR AND CITY COUNCIL
FROM: HAZEL SITZ, TRANSIT COORDINATOR S'
RE: USE OF HUTCHMOBILE FOR AIRPORT DEDICATION
Members of the Civil air patrol have requested consideration of
the use of a Hutchmobile for the airport dedication and pork
chop dinner on Sunday, June 16 (Water Carnival Sunday) from
about 2 to 6 p.m. They would consider using the bus to bring
people from town and possibly as a shuttle between a remote
parking area and the airport facilities.
. The Council might want to authorize this as a service to be
provided for a city function, with fares waived. (It should be
noted that in the past, when arrangements were made to use the
bus for an exclusively private venture, there were objections
raised by a local charter service on the basis of unfair competition.)**
It would be understood that the bus would be operated by one of
our regular drivers, as per the terms of our insurance and our transit grant.
If the Council authorizes this special service, the civil air
patrol should assume the responsibility for publicising and coordinating
the service in the way best suited to the needs of the day.
copy: George Runke, President, Civil Air Patrol
Bob Powell
John Miller
**
Chart ^_r /School; 't �
Bus rteaulation
' These assurances are hart of the
rinal Application Narrative.
?eci-)ients cannot onerate an--
charter service which is not
subject to public Utilities
Commission regulation. Char^
for nrovidinq charter service
nest be equal to or greater
than those charged by author-
charter service.
9 �.
40
(612) 587.5151
C CITY OF HU_#7%6ffH1PjSCrj
37 WASHINGTON AVENUE WEST
HUTCHINSON, MINN. 55350
M E M O R A N D U M
DATE: April 22, 1985
TO: — Mayor and City Council
---------------- - - - - --
FROM: Kaye.-Link
SUBJECT: Non- Intoxicating On and Off Sale LicLuor Licenses
The following establishments have submitted application to
renew their non - intoxicating on -sale liquor licenses:
Pizza Hut
J's Pizza Garten
Gold Coin Restaurant
Godfather's Pizza
Crow River Country Club
Crow River Bowling Lanes
The following establishments have submitted application to
renew their non - intoxicating off -sale licenses:
Warehouse Grocery
Tom Thumb Food Market
Southtown Mobil
Erickson's Big D.Supermarket
One -Stop Gas and Grocery
George's Food & Fuel
The Chief of Police, Dean O'Borsky has reviewed each of the
applications and recommends approval
APRIL 10, 1985
MR. GARY PLOTZ. CITY ADMINISTRATOR
CITY OF HUTCHINSON
37 WASHINGTON AVE. WEST
HUTCHINSON MINNESOTA 55.. =150
IN REGARDS TO THE PERMITS THAT ARE REQUIRED FOR THE 1985
HUTCHINSON JC WATER CARNIVAL. THE DATES FOR THIS YEARS
CELABRATION ARE JUNE 14,15,16. I WOULD LIKE TO ASK YOU TO
CONSIDER OUR APPLICATIONS FOR THE FOLLOWING PERMITS_
1. STREET USE - TO CLOSE OFF THIRD AVE FROM MAIN STREET TO
JAMES STREET, THEN LES KOUBA PARKWAY TO OPTIMIST RIVERSIDE
PARK. FOR THE CARNIVAL MIDWAY SHOW JUNE 12 - 16TH.
2. CLOSE STREET FOR KIDDIE DAY PARADE, JUNE 15TH FROM
12:00PM TO 1 :30PM. ROUTE - START AT SOUTH SIDE OF PARE_
TOWERS ON GLEN STREET, TURN WEST ON 4TH AVE. SW TO GROVE
STREET THEN NORTH ON GROVE TO SECOND AVE. THEN FINISH THE
ROUTE AT GLEN ST.
3. CLOSE STREET AND ISSUE PARADE PERMIT FOR GRANDE DAY
PARADE ON JUNE 16TH FROM 11 :00 AM. TO 4:OOPM. ROUTE - START
ON LAk`E STREET TO 2ND AVE. SW, EAST ON 2ND AVE. TO FRANKLIN
STREET, THEN SOUTH ON FRANKLIN STREET TO LINDEN AVE.
4. CLOSE STREET JUNE 15TH FROM 8:OOAM TO 11:30AM FOR
MARATHON, 4TH AVE. BETWEEN GLEN AND GROVE STREET.
5. ISSUE PERMIT FOR FIREWORKS DISPLAY ON SUNDAY JUNE 16TH AT
APPROXIMATLY 10:00 PM FROM LES KOUBA POINT. WE WILL BE
ARRANGING TO HAVE THE FIRE DEPT. STANDING BY IF ANY
ASSISTANCE IS NEEDED.
6. IN THE PAST THE CITY HAS TAKEN CARE OF THE MINI BIFFB
NEEDED THAT WEEKEND. IN TALk:ING WITH YOU EARLIER GARY YOU
SEEMED WELL INFORMED OF THE LOCATIONS AND TIMES THEY ARE
NEEDED.
7. ISSUE PERMIT FOR A CONCERT ON SUNDAY AFTERNOON JUNE 16TH
TO BE HELD AT THE FAIRGROUNDS FOLLOWING THE PARADE.
THE JAYCEES, AS A NON - PROFIT ORGANIZATION, WOULD AFFRECTATE
NOT HAVING TO PAY FOR THE ABOVE PERMITS AS TO DEFRAY OUR
EXPENSES. WE REALLY APPRECIATE ALL HELP AND ASSISTANCE WE
RECIEVE FROM THE CITY, THIS COMMUNITY CELEBRATION COULD NOT
BE RUN WITHOUT YOUR HELP.
IF YOU HAVE ANY QUESTIONS IN REGARD TO ANY OF THE EVENTS
PLEASE FEEL FREE TO CONTACT ME AT ANY TIME. MY PHONE
NUMBERS ARE 587 -6300 (WORK) OR 587 -4636 (HOME) .
SI NCERLYY ,
• JOHN BRINKMAN
1985 WATER CARNIVAL COMMOU�ORE
9 --/z,
MR. GARY F'LOTZ. CITY ADMINISTRATOR APRIL 10, 1485
CITY OF HUTCHINSON
37 WASHINGTON AVE. WEST
HUTCHINSON MINNESOTA 55350
IN REGARDS TO THE PERMITS THAT ARE REQUIRED FOR THE 1985
HUTCHINSON JC WATER CARNIVAL. THE DATES FOR THIS YEARS
CELEBRATION ARE JUNE 14,15,16. I WOULD L_IK:E TO ASK" YOU TO
CONSIDER OUR APPLICATIONS FOR THE FOLLOWING PERMITS.
1. STREET USE - TO CLOSE OFF THIRD AVE FROM MAIN STREET TO
JAMES STREET, THEN LES KOUBA PARKWAY TO OPTIMIST RIVERSIDE
PARK. FOR THE CARNIVAL MIDWAY SHOW JUNE 12 - 16TH.
2. CLOSE STREET FOR KIDDIE DAY PARADE, JUNE 15TH FROM
12:00PM TO 1:30PM. ROUTE - START AT SOUTH.. -SIDE OF PARK:
TOWERS ON GLEN STREET, TURN WEST ON 4TH AVE. SW TO GROVE
STREET THEN NORTH ON GROVE TO SECOND AVE. THEN FINISH THE
ROUTE AT GLEN ST.
3. CLOSE STREET AND ISSUE PARADE PERMIT FOR GRANDE DAY
PARADE ON JUNE 16TH FROM 11:00 AM. TO 4:OOPM. ROUTE - START
ON LAKE STREET TO 2ND AVE. SW, EAST ON 2ND AVE. TO FRANK::LIN
STREET, THEN SOUTH ON FRANKLIN STREET TO LINDEN AVE.
4. CLOSE STREET JUNE 15TH FROM 8:00AM TO 11:30AM FOR
MARATHON, 4TH AVE. BETWEEN GLEN AND GROVE STREET.
5. ISSUE PERMIT FOR FIREWORKS DISPLAY ON SUNDAY JUNE 16TH'AT
APPROXIMATLY 10:00 PM FROM LES K:OUBA POINT. WE WILL BE
ARRANGING TO HAVE THE FIRE DEFT. STANDING BY IF ANY
ASSISTANCE IS NEEDED.
6. IN THE FAST THE CITY HAS TAKEN CARE OF THE MINI RIFFS
NEEDED THAT WEEKEND. IN TALKING WITH YOU EARLIER GARY YOU
SEEMED WELL INFORMED OF THE LOCATIONS AND TIMES THEY ARE
NEEDED.
7. ISSUE PERMIT FOR A CONCERT ON SUNDAY AFTERNOON JUNE 16TH
TO BE HELD AT THE FAIRGROUNDS FOLLOWING THE PARADE.
THE JAYCEES, AS A NON - PROFIT ORGANIZATION, WOULD APPRECIATE
NOT HAVING TO PAY FOR THE ABOVE PERMITS AS TO DEFRAY OUR
EXPENSES. WE REALLY APPRECIATE ALL HELP AND ASSISTANCE WE
RELIEVE FROM THE CITY, THIS COMMUNITY CELEBRATION COULD NOT
BE RUN WITHOUT YOUR HELP.
IF YOU HAVE ANY QUESTIONS IN REGARD TO ANY OF THE EVENTS
PLEASE FEEL FREE TO CONTACT ME AT ANY TIME. MY PHONE
NUMBERS ARE 587- 6300 (WORK:) OR 587 -4636 (HOME).
SIN CERLY,
JOHN BRINK::MHN
1985 WATER CARNIVAL COMMODORE
9 --/&
HUTCHINSON
FIRE DEPARTMENT
205 Third Avenue South East
HUTCHINSON, MINNESOTA 55350
— -
Chief., Orlin "Burch "Henke
M E M O R A N D U M
DATE:—March-4, 1985
— — — — — — — — — — — — —
TO: City Administrator
FROM: Fire Chief -
SUBJECT: Stop sign on corner of 3rd Ave SE & Jefferson Street
On Wednesday February 27, 1985 I met with Sheriff Duane Kopesky
regarding the stop signs at 3rd Ave. SE and Jefferson Street. I
explained to him the problems that the fire department has with
traffic at this intersection during fire calls.
My request to Sheriff Kopesky was to remove the stop signs on 3rd
and install them on Jefferson Street. Sheriff Kopesky agreed with
me after taking a look at what happens at this intersection. He
told me that he would be in contact with Mr. Robert Kattor from
the County Highway Department. Mr. Kattor stopped on Wednesday
afternoon to talk to me about the problem and stated that the City
of Hutchinson should send a letter to the McLeod County Board of
Commissioners requesting a change of right of way to make 3rd AVE
SE a through street and have stop signs on Jefferson Street at
that intersection.
I have also talked with Dean on this issue and he concurs that it
should be changed as soon as possible to avoid any problems.
�I would like to request that you contact the County Board with this
issue so it can be changed
r If you have any questions feel free to contact me.
V
*/� (612) 587 -5151
HUTCH CITY OF HUTCHINSON
37 W'AS.�-r, NG TON AVE ^tUE W ES'
- HUTCHINSON, M/ %-N. 55 -50
M E M O R A N D U M
DATE: April 18, 1985
TO: MAYOR AND CITY COUNCIL
------------------------ - - - - --
FROM: KAYE LINK
------------------------ - - - - --
SUBJECT: LI INTOXICATING UOR AP PLICATION SUBMITTED BY LARRY BETHKE
- - - - -- 4-------- - - - - --
Mr. Larry Bethke has submitted an application for an
intoxicating liquor license for the future VICTORIAN INN.
If approved, the license will not be issued until such
time that the business opens, which Mr. Bethke anticipates
by November, or December of this year.
0
0
•
jW_rH(612) 587 -5151
LJTCHINSON, CITY OF HUTCHINSON
WASHINGTON AVENUE WES- MINN. 55350
M E M O R A N D U M
DATE: April 18, 1985
TO: —Mayor and City Council — — — — — — — —
FROM: Gary D. Plotz, City Administrator
SUBJECT: —Security Light In Rear Of Liquor Store
— -------------------- — — — — — — — —
The existing lighting for the property owned by Lloyd Allen (cold storage
facility) will be moved, creating a need for lighting to the rear of the
liquor store.
Authorization is requested to install a security light in the rear of the
liquor store as discussed with Councilmember Marlin Torgerson.
9 -",,)
0
April 18, 1985
The Honorable Mayor and City Council
The City of Hutchinson
City Hall
Hutchinson, MN 55350
Dear Sirs:
I request an approval to sell Parcel B as shown on attached
survey drawing, from the total parcel description which is
also shown on the survey.
Sincerely,
• � � T �'L(? fZZt° C�' 3721 -' s�/
June Redman
Property Owner
JR:jjr
Enclosure
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South lint of lot 6 of the Aud. Plat -
LEWIS
AVENUE
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1 .60 APPLICATION OF ORDINANCE: Any plat, hereafter made, for each subdi-
vision or each part thereof lying within the jurisdiction of this Ordinance, shall
be prepared, presented for approval, and recorded as herein prescribed. The
regulations contained herein shall apply to the subdivision of a lot, tract or
parcel of land into three or more lots, tracts or other division of land for the
purpose of sale or building development, whether immediate or future, in-
cluding the re- subdivision or replotting of land or lots. Division of land in
tracts larger than five (5) acres in area and 300 feet in width shall be exempt
from the requirements of this Ordinance.
7 70 CONVEYANCE OF LAND: No conveyance of land in which the land conveyed
is described by metes and bounds, or by reference to a plat made after adoption
of these platting regulations without approval by Council resolution, shall be
made or recorded if the parcel described in the conveyance is ess t on five (5)
acres in area and 300 feet in width unless such parcel is a separate parcel of
record at the time of adoption of this ordinance or unless an agreement to con-
vey such smaller parcel was entered into prior to such time and the instrument
showing the agreement to convey is recorded in the office of the Register of
Deeds within one year hereafter.
1.80 RIGHT OF BUILDING PERMIT REFUSAL: The City Engineer and /or Building
Inspector shall refuse building permits and utility services to any parcel of
property conveyed by metes and bounds description in violation of this ordi-
nance.
1.90 PUBLIC STREET GRANTS: No grant of a public street to the City by deed
shall be filed without the approval of the Council by a resolution to that
effect.
2.00 DEFINITIONS: As used in these regulations, certain terms and conditions are here -
wit defined as follows:
2.01 COMMISSION: The Advisory Planning Commission of the City of Hutchinson,
innesota.
2.02 MAP: A drawing showing one or more parcels of land.
2.03 PLAT: A map showing a plan for the subdivision of land which is submitted
for approval and is intended in final form for recording.
2.04 STREET: A way set aside for vehicular traffic, regardless of size or designa-
tion, but excluding private driveways serving only one parcel of land.
2.041 ARTERIAL STREETS AND HIGHWAYS: are those designed or utilized pri-
marily for high vehiculcr speeds end /or for hecvy volumes of traffic.
• 2.042 COLLECTOR STREETS AND HIGHWAYS: are those designed or utilized
to carry intermediate volumes of traffic from minor streets to arterial streets.
2
•
APRIL 229 1985
TO THE HUTCHINSON CITY COUNCIL AND MAYOR:
We the property owners near 1117 Lewis Ave.
to reject any request to divide this parcel
neighborhood.
We feel placing 2 homes on this.city lot is
and aesthetics of a well developed area of
r
Oe�/J
requests the City Council
of land in a R -1 zoned
detrimental to the area
Hutchinson.
--ia-)-� .
ti �.
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j
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deke
carrot
Ber
iates,inc.
eleCIS
engineers
land surveyors
V
•
1011 first street south
post office box 130
hopkins, minnesota 55343
612- 935 -6901
April 16, 1985
r
J
Mr. Marlow Priebe, P.E.
City EngineerC
City of Hutchinson
37 Washington Avenue West
Hutchinson, MN 55350
RE: REPAIR GROUND STORAGE RESERVOIR �.
RCM FILE #841805
Dear Mr. Priebe:
0-'
PJ
I1\
We propose to render professional engineering services in
connection with repair to the existing ground storage reservoir,
hereinafter called the "Project ". RCM's services will consist of
preparing the final design Drawings and Contract Documents,
providing assistance during bidding, and providing limited
construction phase services, all as set forth in the attached yrL
General Provisions. RCM will also provide certain additional �1�4.
services that you may request. %�_, & .
1. �, I
The City will pay RCM for services a fee equal to 10.5 % of the
construction cost of the project. Since a portion of the
preliminary engineering services was completed under the
August 14, 1984 report, RCM will credit the City with 25% of
the fee previously paid by the City to RCM for the
investigation and preparation of this report (total credit of
$1,985.22). Additional resident inspection service during thew'
high pressure cleaning and epoxy grouting phase and during!y;C ,ff
concrete placement will be available upon request and invoiced- --7
on the basis of RCM's payroll cost times a factor of 2.4. e
,.,,;will bill you monthly for services and reimbursable expenses.
r, RCM Invoice No.'s 46453 and 48541 in the total amount of
kX $10,829.83 hpply to the work under this agreement.
r,
This proposal and the attached General Provisions consisting of
seven pages, represent the entire understanding between the
City of Hutchinson and RCM in respect to the Project and it
may only be modified in writing signed by both of us. If it
satisfactorily sets forth your understanding of the arrangement
Mr. Marlow Priebe
April 16, 1985 .
Page 2
between us, we would appreciate your signing both copies of
this letter in the space provided. Please keep one copy for your
files and return the other copy to us.
Very truly yours,
RIEKE CARROLL MULLER ASSOCIATES, INC.
Robert skopf, 1
/1 Y/ , n
Chafles S. Barger, P.E., Ppeject Manager
CSB:sma
Accepted this day of , 1985.
CITY OF HUTCHINSON •
By:
0
RCM 541805
• GENERAL PROVISIONS
Attached to and made a part of LETTER AGREEMENT dated
City of Hutchinson, Minnesota (OWNER) and Rieke Carroll
(ENGINEER) in respect of the project (Project) described therein.
SECTION 1- -BASIC SERVICES OF ENGINEER
I.I. General.
April 16, 1985, between
Muller .Associates, Inc.
I.I.I. ENGINEER shall perform professional services as hereinafter stated which include
customary civil, structural, mechanical and electrical engineering services and customary
architectural services incidental thereto.
1.2. Study and Report Phase.
Investigation of the problem and recommendations were included in report submitted
August 14, 1984.
1.3. Preliminary Design Phase.
Portions of this phase were included in above- mentioned report.
0 1.4. Final Design Phase.
After written authorization to proceed with the Final Design Phase, ENGINEER shall:
1.4.1. On the basis of the selected alternate B, in the above study, prepare for
incorporation in the Contract Documents final drawings to show the character and extent
of the Project (hereinafter called "Drawings ") and Specifications.
1.4.2. Furnish to OWNER such documents and design data as may be required for, and
assist in the preparation of, the required documents so that OWNER may apply for
approvals of such governmental authorities as have jurisdiction over design criteria
applicable to the Project, and assist in obtaining such approvals by participating in
submissions to and negotiations with appropriate authorities.
1.4.3. Advise OWNER of any adjustments to the latest opinion of probable Project Cost
caused by changes in extent or design requirements of the Project or Construction Costs
and furnish a revised opinion of probable Project Cost based on the Drawings and
Specifications.
1.4.4. Prepare for review and approval by OWNER, his legal counsel and other advisors
contract agreement forms, general conditions and supplementary conditions, and (where
appropriate) bid forms, invitations to bid and instructions to bidders, and assist in the
preparation of other related documents.
•1.4.5. Furnish copies of the above documents and present and review them in person with
OWNER.
Page 1 of 7
i
RCM 841805
1.5. Bidding or Negotiating Phase. 0
After authorization to proceed with the Bidding or Negotiating Phase, ENGINEER shall:
1.5.1. Assist OWNER in obtaining bids or negotiating proposals for a single prime
contract for construction, materials, equipment and services.
1.5.2. Consult with and advise OWNER as to the acceptability of subcontractors and
other persons and organizations proposed by the prime contractor (hereinafter called
"Contractor ") for those portions of the work as to which such acceptability is required by
the bidding documents.
1.5.3. Consult with and advise OWNER as to the acceptability of substitute materials and
equipment proposed by Contractor when substitution prior to the award of contracts is
allowed by the bidding documents.
1.5.4. Assist OWNER in evaluating bids or proposals and in assembling and awarding
contracts.
1.6. Construction Phase.
During the Construction Phase ENGINEER shall:
1.6.1. Consult with and advise OWNER and act as his representative as provided in
Articles I through 17, inclusive, of the Standard General Conditions of the Construction
Contract No. 1910 -8, (1983 edition). The extent and limitations of the duties, responsibi-
lities and authority of ENGINEER as assigned in said Standard General Conditions shall
not be modified, and except as ENGINEER may otherwise agree in writing. All of
OWNER's instructions to Contractor will be issued through ENGINEER who will have
authority to act on behalf of OWNER to the extent provided in said Standard General
Conditions except as otherwise provided in writing.
1.6.2. Make visits to the site at intervals appropriate to the various stages of construc-
tion to observe the progress and quality of the executed work of Contractor and to
determine in general if such work is proceeding in accordance with the Contract
Documents. ENGINEER shall not be required to make exhaustive or continuous on -site
inspections to check the quality or quantity of such work. ENGINEER shall not be
responsible for the means, methods, techniques, sequences or procedures of construction
selected by Contractor or the safety precautions and programs incident to the work of the
Contractor. ENGINEER's efforts will be directed toward providing a greater degree of
confidence for OWNER that the completed work of Contractor will conform to the
Contract Documents, but ENGINEER shall not be responsible for the failure of Contractor
to perform the work in accordance with the Contract Documents. During such visits and
on the basis of his on -site observations ENGINEER shall keep OWNER informed of the
progress of the work, shall endeavor to guard OWNER against defects and deficiencies in
such work and may disapprove or reject work failing to conform to the Contract
Documents.
1.6.3. Review and approve (or take other appropriate action in respect of) Shop Drawings
(as that term is defined in the aforesaid Standard General Conditions) and samples, the
results of tests and inspections and other data which each Contractor is required to
submit, but only for conformance with the design concept of the Project and compliance
Page 2 of 7
RCM 841805
• with the information given in the Contract Documents (but such review and approval or
other action shall not extend to means, methods, sequences, techniques or procedures of
construction or to safety precautions and programs incident thereto); determine the
acceptability of substitute materials and equipment proposed by Contractor; and receive
and review (for general content as required by the Specifications) maintenance and
operating instructions, schedules, guarantees, bonds and certificates of inspection which
are to be assembled by Contractor in accordance with the Contract Documents.
1.6.4. Issue all instructions of OWNER to Contractor; issue necessary interpretations and
clarifications of the Contract Documents and in connection therewith prepare change
orders as required; have authority, as OWNER's representative, to require special inspec-
tion or testing of the work; act as initial interpreter of the requirements of the Contract
Documents and judge of the acceptability of the work thereunder and make decisions on
all claims of OWNER and Contractor relating to the acceptability of the work or the
interpretation of the requirements of the Contract Documents pertaining to the execution
and progress of the work; but ENGINEER shall not be liable for the results of any such
interpretations or decisions rendered by him in good faith.
1.6.5. Based on ENGINEER's on -site observations as an experienced and qualified design
professional and on review of applications for payment and the accompanying data and
schedules, determine the amounts owing to Contractor and recommend in writing
payments to Contractor in such amounts; such recommendations of payment will consti-
tute a representation to OWNER, based on such observations and review, that the work
has progressed to the point indicated, that, to the best of ENGINEER's knowledge, infor-
mation and belief, the quality of such work is in accordance with the Contract Documents
(subject to an evaluation of such work as a functioning Project upon Substantial
Completion, to the results of any subsequent tests called for in the Contract Documents,
and to any qualifications stated in his recommendation), and that payment of the amount
recommended is due Contractor; but by recommending any payment ENGINEER will not
thereby be deemed to have represented that continuous or exhaustive examinations have
been made by ENGINEER to check the quality or quantity of the work or to review the
means, methods, sequences, techniques or procedures of construction or safety precau-
tions or programs incident thereto or that ENGINEER has made an examination to
ascertain how or for what purposes any Contractor has used the moneys paid on account
of the Contract Price, or that title to any of the work, materials or equipment has passed
to OWNER free and clear of any lien, claims, security interests or encumbrances, or that
Contractor have completed their work exactly in accordance with the Contract
Documents.
1.6.6. Conduct an inspection to determine if the Project is substantially complete and a
final inspection to determine if the work has been completed in accordance with the
Contract Documents and if each Contractor has fulfilled all of his obligations thereunder
so that ENGINEER may recommend, in writing, final payment to each Contractor and
may give written notice to OWNER and the Contractor that the work is acceptable
(subject to any conditions therein expressed), but any such recommendation and notice
shall be subject to the limitations expressed in paragraph 1.6.5.
1.6.7. ENGINEER shall not be responsible for the acts or omissions of any Contractor, or
subcontractor, or any of the Contractor's or subcontractor's agents or employees or any
other persons (except ENGINEER's own employees and agents) at the site or otherwise
performing any of the Contractors' work; however, nothing contained in paragraphs 1.6.1
thru 1.6.7, inclusive, shall be construed to release ENGINEER from liability for failure to
properly perform duties undertaken by him in the Contract Documents.
Page 3 of 7
RCM 841805
SECTION 2-- ADDITIONAL SERVICES OF ENGINEER
2.1. Normal and customary engineering services do not include services in respect of the
following categories of work which are usually referred to as Additional Services. If
OWNER wishes ENGINEER to perform any Additional Services, he shall so instruct
ENGINEER in writing, and ENGINEER will be paid therefor as provided in the Letter
Agreement. Additional Services include:
- Furnishing the services of special consultants.
- Services in connection with change orders to reflect changes requested by OWNER,
evaluating substitutions proposed by Contractor after award, and services resulting
from material, equipment or energy shortages.
- Services during out -of -town travel other than visits to the site.
- Preparing for OWNER, on request, a set of reproducible record prints based on data
furnished by Contractor.
Additional or extended services during construction made necessary by (1) work
damaged by fire or other cause during construction, (2) a significant amount of
defective or neglected work of Contractor, (3) prolongation of contract time, (4)
Contractor's overtime work, and (5) Contractor's defaults.
Services after completion of the Construction Phase.
Preparing to serve or serving as a consultant or witness in any legal or administra-
tive proceeding or public hearing.
Providing services normally furnished by OWNER.
2.2. ENGINEER shall provide on site resident inspection during the high pressure
cleaning, epoxy grouting phase and concrete placement which will be paid for by OWNER
on the basis of payroll cost times a factor of 2.4 plus reimbursable expenses.
SECTION 3-- OWNER'S RESPONSIBILITIES
3.1. OWNER shall provide ENGINEER with all criteria and full information as to
OWNER's requirements for the Project, designate a person to act with authority on
OWNER's behalf in respect of all aspects of the Project; examine and respond promptly to
ENGINEER's submissions; and give prompt written notice to ENGINEER whenever he
observes or otherwise becomes aware of any defect in the work.
3.2. OWNER shall also do the following and pay all costs incident thereto:
Provide such legal, accounting, independent cost estimating and insurance
counseling services as may be required for the Project, any auditing service required
in respect of Contractor's applications for payment, and any inspection services to
determine if Contractor are performing the work legally. 9
Page 4 of 7
RCM 841805
- Provide field control surveys and fix reference points and base lines.
Furnish approvals and permits from all governmental authorities having jurisdiction
over the Project.
3.3. OWNER shall pay all costs incident to obtaining bids or proposals from Contractor.
SECTION 4-- MEANING OF TERMS
4.1. As used herein the term "this Agreement" refers to the Letter Agreement to which
these General Provisions are attached and to these General Provisions as if they were part
of one and the same document.
4.2. The construction cost of the entire Project (herein referred to as "Construction
Cost ") means the total cost of the entire Project to OWNER, but it will not include
ENGINEER's compensation and expenses, the cost of land, rights -of -way, or compensation
for or damages to, properties unless this Agreement so specifies, nor will it include
OWNER's legal, accounting, insurance counseling or auditing services, or interest and
financing charges incurred in connection with the Project. When Construction Cost is
used as a basis for payment it will be based on one of the following sources with
precedence in the order listed for work designed or specified by ENGINEER:
4.2.1. For completed construction work the total cost of all work performed as designed
or specified by ENGINEER.
4.2.2. For work designed or specified but not constructed, the lowest bona fide bid
received from a qualified bidder for such work; or, if the work is not bid, the lowest bona
fide negotiated proposal for such work.
4.2.3. For work designed or specified but not constructed upon which no such bid or
proposal is received, the most recent estimate of Construction Cost, or, if none is
available, ENGINEER's most recent opinion of probable Construction Cost.
Labor furnished by OWNER for the Project will be included in the Construction Cost at
current market rates including a reasonable allowance for overhead and profit. Materials
and equipment furnished by OWNER will be included at current market prices. No
deduction is to be made from ENGINEER's compensation on account of any penalty,
liquidated damages, or other amounts withheld from payments to Contractor.
4.3 Direct Labor Costs - not applicable.
4.4. The Payroll Costs used as a basis for payment mean salaries and wages (basic and
incentive) paid to all personnel engaged directly on the Project, including, but not limited
to, engineers, architects, surveyors, designers, draftsmen, specification writers,
estimators, other technical personnel, stenographers, typists and clerks; plus the cost of
customary and statutory benefits including, but not limited to, social security contribu-
tions, unemployment, excise and payroll taxes, workers' compensation, health and
retirement benefits, sick leave, vacation and holiday pay applicable thereto.
• The amount of customary and statutory benefits of all personnel will be considered equal
to 30% of salaries and wages.
Page 5 of 7
RCM 841305
4.5. Reimbursable Expenses mean the actual expenses incurred directly or indirectly in IS
connection with the Project for: transportation and subsistence incidental thereto;
obtaining bids or proposals from Contractor; subsistence and transportation of Resident
Project Representative; reproduction of Drawings, Specifications, and similar Project-
_ related items in addition to those required under Section 1; expenses of photographic
production techniques; and, if authorized in advance by OWNER, overtime work requiring
higher than regular rates.
SECTION 5 -- MISCELLANEOUS
5.1. Reuse of Documents.
All documents including Drawings and Specifications prepared by ENGINEER pursuant to
this Agreement are instruments of service in respect of the Project. They are not
intended or represented to be suitable for reuse by OWNER or others on extensions of the
Project or on any other project. Any reuse without written verification or adaptation by
ENGINEER for the specific purpose intended will be at OWNER's sole risk and without
liability or legal exposure to ENGINEER; and OWNER shall indemnify and hold harmless
ENGINEER from all claims, damages, losses and expenses including attorneys' fees arising
out of or resulting therefrom. Any such verification or adaptation will entitle ENGINEER
to further compensation at rates to be agreed upon by OWNER and ENGINEER.
5.2. Opinions of Cost.
Since ENGINEER has no control over the cost of labor, materials, equipment or services •
furnished by others, or over the Contractor's methods of determining prices, or over
competitive bidding or market conditions, his opinions of probable Project Cost and
Construction Cost provided for herein are to be made on the basis of his experience and
qualifications and represent his best judgment as an experienced and qualified professional
engineer, familiar with the construction industry; but ENGINEER cannot and does not
guarantee that proposals, bids or actual Project or Construction Cost will not vary from
opinions of probable cost prepared by him. If prior to the Bidding or Negotiating Phase
OWNER wishes greater assurance as to Project or Construction Cost he shall employ an
independent cost estimator as provided in paragraph 3.2. Engineering services to modify
the Contract Documents to bring the Construction Cost within any limitation established
by OWNER will be considered Additional Services and paid for as such by OWNER.
5.3. Late Payment.
If OWNER fails to make any payment due ENGINEER for services and expenses within 30
days, the amounts due ENGINEER shall include a charge at the rate of IY2% per month
from the invoice date, and in addition, the ENGINEER may, after given seven days'
written notice to OWNER, suspend services under this Agreement until he has been paid in
full all amounts due him for services and expenses.
5.4. Termination.
The obligation to provide further services under this Agreement may be terminated by
either party upon seven days' written notice in the event of substantial failure by the
other party to perform in accordance with the terms hereof through no fault of the
terminating party. In the event of any termination, ENGINEER will be paid for all
services rendered to the date of termination, all Reimbursable Expenses and termination
expenses.
Page 6 of 7
0
.icon 8418o5
5.5. Successors and Assigns.
5.5.1. OWNER and ENGINEER each binds himself and his partners, successors, executors,
administrators, assigns and legal representatives to the other party to this Agreement
and to the partners, successors, executors, administrators, assigns and legal representa-
tives of such other party, in respect to all covenants, agreements and obligations of this
Agreement.
5.5.2. Neither OWNER nor ENGINEER shall assign, sublet or transfer any rights under or
interest in (including, but without limitation, moneys that may become due or moneys that
are due) this Agreement without the written consent of the other, except as stated in
paragraph 5.5.1 and except to the extent that the effect of this limitation may be
restricted by law. Unless specifically stated to the contrary in any written consent to an
assignment, no assignment will release or discharge the assignor from any duty or
responsibility under this Agreement. Nothing contained in this paragraph shall prevent
ENGINEER from employing such independent consultants, associates and subcontractors
as he may deem appropriate to assist him in the performance of services hereunder.
5.5.3. Nothing herein shall be construed to give any rights or benefits hereunder to
anyone other than OWNER and ENGINEER.
END OF GENERAL PROVISIONS
Page 7 of 7
(612) 587.5151
Hu�cH' CITY OF HUTCHINSON
)7 A,ASH/NGTON AVENUE WEST
,tit/NN 55350
M E M 0
DATE: April 18, 1985
TO: Mayor and City Council
FROM: Director of Engineering
--RE: Project 85 -01 -39
Attached is the Engineer's Report for the above- referenced project.
To proceed on this project, it will be necessary to adopt the attached
resolutions:
• 1. Resolution Declaring Adequacy of Petition
2. Resolution Receiving Report
3. Resolution Ordering Preparation of Plans and Specifications
MVP /pv
attachments
L
Marlow V. Priebe
Director of Engineering
RESOLUTION DECLARING ADEQUACY OF PETITION
RESOLUTION NO. 8027 0
BE IT RESOLVED BY THE CITY COUNCIL OF HUCTHINSON, MINNESOTA:
1. A certain petition requesting the improvement of T.H. 7 hest Service
Road from Les Kouba Parkway to 1040 Feet East by the construction of
watermain, storm sewer, grading, gravel base and curb and gutter and
appurtenances, filed with the Council on April 91 1985, is hereby declared to
be signed by a hundred percentage of the owners of property affected thereby.
This declaration is made in conformity to Minnesota Statutes, Section 429.035.
Adopted by the City Council this 23rd day of April, 1985.
City Clerk
Mayor
Q
0
16
•
ENGINEER'S REPORT
CITY OF HUTCHINSON
DATE:
April
180
1985
TO:
Mayor
and
City Council
FROM: Director of Engineering
SUBJECT: Bethke's Motel Site & Service Road Improvement Project
Gentlemen:
I have studied the following areas and find that the proposed project is
feasible and recommend it be constructed.
PROJECT NO. 85 -01 -39 - Construction of watermain, storm sewer, grading, gravel
base, curb and gutter and appurtenances on T.A. 7 Test Service Road from Les
Kouba Parkway to 1040 Feet East
Construction Cost
Engineering
Fiscal and Miscellaneous
Land Acquisition
Capitalized Interest
TOTAL------------ - - - - --
Assessable Cost
Deferred Assessable Cost
City Cost
TOTAL-------- - - - - --
$ 1189440.00
9,475.00
9,475.00
0.00
9,475.00
$ 1462865.00
$ 93,605.00
0.00
53,260.00
----------- 146,865.00
Respectfully submitted,
Marlow V. Priebe
Director of Engineering
RESOLUTION RECEIVING REPORT
PROJECT NO. 85 -01 -39
RESOLUTION NO. 8028
WHEREAS, pursuant to resolution of the Council adopted April 9, 1985, a
report has been prepared by Marlow V. Priebe with reference to the improvement
of T.H. 7 West Service Road from Les Kouba Parkway to 1040 Feet East by the
construction of watermain, storm sewer, grading, gravel base, curb and gutter
and appurtenances, and this report was received by the council on April 23,
1985.
NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF HUTCHINSON,
MINNESOTA:
1. The council will consider the improvement of such street in
accordance with the report and the assessment of benefited property for all or
a portion of the cost of the improvement pursuant to Minnesota Statutes
Chapter 429 at an estimated total cost of the improvement of $146,865.00.
Clerk
Adopted by the council this 23rd day of April, 1985.
Mayor 0
is
E
RESOLUTION ORDERING IMPROVEMENT AND PREPARATION OF PLANS AND SPECIFICATIONS
PROJECT N0. 85 -01 -39
Resolution No. 8029
WHEREAS, a certain petition requesting the improvement of T.H. 7 West
Service Road from Les Kouba Parkway to 1040 Feet East by the construction of
watermain, storm sewer, grading, gravel base, curb and gutter and
appurtenances, was duly presented to the council on the 9th day of April,
1985; and
WHEREAS, pursuant to resolution of the council adopted April 9, 19859 a
report has been prepared by Marlow V. Priebe, Director of Engineering, with
reference to the improvement, and this report was received by the council on
April 23rd, 1985;
NOW THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF HUTCHINSON,
MINNESOTA:
1. The council finds and determines that said petition was signed by all
owners of real property affected by the improvement of the street named as the
location of the improvement.
2. Such improvement is hereby ordered as proposed in the council
resolution adopted April 9, 1985.
3. Marlow V. Priebe is hereby designated as the engineer for this
improvement. He shall prepare plans and specifications for the making of such
improvement.
Adopted by the council this 23rd day of April, 1985.
Mayor
Clerk
0
0
ar�0612) 587 -5151
CITY OF HUTCHIiiOSCIV
37 WASHINGTON AVENUE WEST
HUTCHINSON, MINN. 55350
M E M O R A N D U M
DATE: April 23, 1985
TO: Mayor and City Council
------------------------------
FROM: Marilyn Swanson, Administrative Secretary
SUBJECT: Agenda Item 9 -(r) — _ — — _ —
Agenda item 9 -(r) has been withdrawn at this time.
Gary Miller and /or Tom Dolder will be submitting a request at the next
Council meeting.
9 -�
L
REGULAR COUNCIL MEETING
APRIL 23, 1985
�+IATER $ SEWER FUND
*State Treasurer
social security
$397.83
Gene Iverson
equipment rental
5.00
City of Hutchinson
reimbursement
19,966.00
General Repair Service
repairs
817.94
Lakeland Eng. Equipment Co.
parts
166.31
KAMAN Bearing
parts
248.20
Blue Cross Blue Shield
May med. ins.
1107.37
Electric Motor Co.
motor repairs
116.44
Floor Care Supply
cleaning supplies
37.50
Logis
computer charges
465.00
LTP Enterprises
repairs
169.64
Mn. Blueprint
graph paper
12.28
Mn. Valley Testing Lab
testing
114.00
Power Process
parts
235.74
State Treasurer
pera
239.82
Zep Mfg. Co.
chemicals
47.70
Water Products Co.
meters $ parts
5240.46
Miller Davis Co.
supplies
92.28
$29,479.50
CENTRAL GARAGE FUND
rState Treasurer
social security
$ 46.10
*League of Mn. Cities Housing Bureau
room reservation
64.00
Larry Karg
rental $ supplies
90.00
AMI Products Inc.
supplies
195.00
Able House $ Rubber Co.
supplies
17.40
Cleveland Cotton Products
shop supplies
83.36
Security State Bank
parts
209.09
Ag Systems Inc.
part
17.10
Blue Cross Blue Shield
May med. ins.
174.60
Farmers Elevator Assn.
supplies
123.00
HAVTI
repairs
162.42
Jerabek Machine Shop
parts
11.52
L $ P Supply
parts
1.20
MTI Dist. Co.
parts
33.04
MacQueen Equipment
parts
97.24
Road Machinery
parts
144.11
Sorensen Farm Supply
parts
18.90
State Treasurer
pera
27.79
Town $ Country Tire
repairs
69.77
Ziegler Inc.
parts
83.32
$ 1,668.96
16
/( - Q I,
-2-
*GENERAL
FUND
*Mn. STate Treasurer
boat registration fees
$113.00
*League of Mn. Cities
housing reservations
364.00
*Leagues of Mn. Cities
housing reservation
54.00
*Mn. State Treasurer
boat registration fees
145.00
*State Treasurer
social security
2862.97
*Old Log Theatre
tickets
230.00
*National Economic Development Center
reservation fee
50.00
*Olympia Resort
lodging reservation
64.00
*League of Mn. Cities
room reservation
64.00
Joe Sic
floor conditioning supplies
259.00
Percy Hansen
safety boots
30.00
Harland Emans
custodian fee
120.00
Richard Wanzek
referee $ refund
50.00
Darlene Forbroyd
room rental deposit
21.00
Cal Rice
safety glasses
80.00
Scott Hogrefe
safety boots
24.97
Mark Schnobrich
safety boots
30.00
Paul Herrly
safety boots
30.00
Randy Stille
safety boots
30.00
Doug Schuette
referees refund
56.25
Rick Schmidt
referees refund
12.50
Gene Iverson
rental equipment
65.00
Systems INc.
supplies
179.00
16ccuease
eacon Products
supplies
200.00
B & F Investment
library rental
1200.00
Crow River Mechanical
parts
46.20
Fire Safety Products Inc.
repairs
235.65
Hewlett Packard
HP update subscription
24.00
McLeod Co. Sheriff
911 stickers
6.00
MnPlayground Co.
springs
126.43
Mn.Crime Prevention Assn.
1985 dues
15.00
National Guard Armory
rental
160.00
Prof.Civil Eng.Book Club
2 books
58.98
Pioneerland Library System
2nd quarter payment
12,145.00
Stewart Sandwiches
arena supplies
50.65
Albinson
supplies
43.96
Am. Welding Supplies
welding gas
23.96
Big Bear
supplies
94.91
Brinkman Studio
flashbars
9.90
Blue Cross Blue Shield
May med. ins.
11,592.79
C.R. Cable TV
basic cable
6.45
Chapin Pub.Co.
publications
187.68
Central Mn. Communications
repairs
182.00
Copy Equipment Inc.
supplies
75.98
Co. Treasurer
dl fees for county
136.00
Charles Bailley Co.
audit fees
11,525.00
Dept. of Safety
cjdn connect charges
150.00
Wstal & Oleson Oil Co.
solvent
20.50
Ericksons
supplies
4.52
1st State Bank of Mn.
parts
2.80
Floor Care Supply Co.
cleaning supplies
180.05
Fitzloff Hardware
Mar.arena supplies
62.68
Guardian Pest Control
spray
36.25
-3-
HAVTI
repairs
$ 62.50
enrys Candy Co.
arena supplies
916.03
NWHome Bakery
cake & rolls
6.65
Hutch Community Hospital
laundry
14.40
Hutch Iron & Metal
iron
36.16
Hutch Utilities
service call $ lamps $ cells
725.24
Orlin Henke
intown mileage -april
30.00
Ind.School Dist. 423
supervisor,lifeguard,etc.
274.60
Ideal Shoe Shop
sewing repairs
7.50
Jahnkes Red Owl
supplies
37.52
Johnson Super Value
supplies
65.43
JOes Sport Shop
trophies
50.00
K Mart
supplies
5.91
Schwinn Bike
repairs
17.70
L $ P Supply
parts
20.95
Law Enforcement Equipment
supplies
15.25
Logis
computer charges
3490.91
MTI Dist. Co.
parts
4.18
Miller Davis Co.
supplies
184.57
McGarvey Coffee
coffee
142.80
Northern STate Supply
supplies
32.20
Pitney Bowes
maintenance agreement
112.00
Gary Plotz
mileage $ expenses
84.38
Thomas Patco. Co.
equipment
602.75
Pamida Inc.
supplies
9.79
Rannow Electric
service calls
25.35
�orensen Farm Supply
parts
29.00
STate Treasurer
pera
3684.90
James Schaefer
' Apr. compensation
962.50
Traf 0 Teria System
1500 tickets
100.82
Town $ Country Tire
parts
4.00
United Bldg. Centers
supplies
112.00
University of Mn.
registration fees
50.00
West Pub. Co.
1985 session laws
52.50
Wesley Pharmacy
supplies
4.16
$55,512.68
BOND FUNDS
Pool & Recreation Fund
Chapin Publication Co. publications $ 92.48
1981 Parking Bonds
1st StateBank of Brownton contract payment of Bennie Carlson 669.30
0
MUNICIPAL LIQUOR STORE
Griggs Cooper $ Co.
BEd Phillips & Sons
ality Wine $ Spirits
Griggs Cooper $ Co.
Ed Phillips & Cons
Quality Wine & Spirits
Twin City Wine Co.
State Treasurer
State Treasurer
City of Hutchinson
Commissioner of Revenue
E
wine 4
liquor
$2305.25
wine $
liquor
3623.17
wine &
liquor
1849.99
wine $
liquor
1785.57
wine &
liquor
1039.57
wine $
ligour
79.26
wine $
liquor
2332.21
social
security
270.06
pera
162.80
payroll
4240.57
1 sale taxes
7041.09
$24,729.54
ALLEN WATER do WASTEWATER ENGINEERING INC.
- 605 Hillside Drive 131 15
Fairfield, Iowa 52556 p > >?
(515) 472 -5 �
F- April 9, 1985 e yam.
6Z8i LZ32�J
Mr. Gary Plotz
City Administrator
City Hall
37 Washington Ave.
Hutchinson, MN 55350
Dear Mr. Plotz,
J� r
VL 'k]
F_
RE:
FOR YOUR INFORMATION
Wastewater Treatment
System
I have been discussing Hutchinson's proposed wastewater
system with Mr. Priebe over the last five or six months. Enclosed
is a copy of my letter to Mr. Priebe of November 1, 1984.
Mr. Priebe has informed me that the City recently retained
Consulting Engineers Diversified to do detailed design work on
• your wastewater plant, and that the capitol cost estimate for
your new plant was approximately $11,000,000.
As you will note from my letter of November 1, 1984, my
rough cost estimate for a plant to meet your effluent limits
could likely be constructed for less than $5,000,000. This is
admittedly a rough figure but it does indicate the potential
for substantial cost savings.
With the anticipated $11,000,000 cost, I assume that a Value
Engineering Review will be required by EPA. The Value Engineering
Review process normally doesn't take place until late in the
design phase. The Value Engineering process assumes that the
basic treatment process is fixed and, therefore, plans and
specifications are suU4ect to refinements in detail only.
./ A potential that-the City may, be interested in at this time
is a ' se'"�cond opinion" as to the basic...treatment process �T1tt` overall
treatment_ approach. The "second opinion" process done early
in the design phase has the potential of significantly reducing
costs without the consequences of redesign costs. I believe this
"second opinion" _-could :be coa5idered_ a p gt, of the Value Eng-
ineering process under the EPA grant program. My experience
to da£c, and that of others who have chose-n"'- his "second opinion"
i route, is that substantially more cost savings can be realized by
modifying the basic treatment concept than by refining design
details near the end of the design process.
Mr. Gary Plotz 2
I would be pleased to assist the City
providing a second opinion relative to the
approach. I would expect to coordinate my
your Design Engineer, and the State of Min
April 9, 1985
of Hutchinson by
basic treatment
efforts with you,
nesota.
If such an approach is thought_ to be worthwhile, I would
be pleased to submit a detailed proposal. I will call you within
the next ten days to see if there is any interest in this "second
opinion" approach. For your information, Iowa City is presently
pursuing this basic approach. Their preliminary results to date
indicated cost savings in excess of $15,000,000 on the originally
proposed $49,000,000 proposal.
Sincere 4
homas F. Allen, P.E., President
Allen Water & Wastewater Eng.
TFA /mw
Enclosure
cc: Marlow Priebe, Director of Eng. '
•
=r ALLEN WATER do WASTEWATER ENGINEERING INC.
605 Hillside Drive
Fairfield, Iowa 52556
(515) 472 -5009
November 1, 1984
Mr. Marlo Priebee
City Engineer
City Hall
Hutchinson, MN 55350
Dear Mr. Priebee,
It was a real pleasure to talk with you this past Monday
regarding the City's planning efforts for a new wastewater
treatment system. As I remember from our conversation, the
City will soon be receiving an updated NPDES permit to
establish ultimate design treatability requirements. These
limits are still anticipated to require the substantial
removal of amonia nitrogen.
'For your reference and comparison, my recent design for
a population equivalent of 15,000 to remove BOD and suspended
solids to a level of 20 ppm and to remove amonia nitrogen to
a level of 5, was bid at 2.7 million dollars. This system
did incorporate some existing facilities. My estimation of
C • the totally new treatment system to handle the same amount
of water and degree of treatment would cost approximately
4 million dollars.
The above design included a storm water retention basin
system to accomodate peak hourly wet weather flows of up to
7.5 million gallons a day flow rate.
From what you described as the needs of Hutchinson for a
new wastewater treatment system, I would be anticipating the
cost in the neighborhood of 3 to 5 million dollars depending
upon geological restraints and the degree of treatment.
Enclosed is my calling card and company brochure for your
review. By specializing in water and wastewater treatment, I
feel I can provide speciality concept engineering services for
both municipalities and industries to insure the most cost
effective solutions. Please give me a call if I can be of any
assistance. I will plan on calling you in two or three weeks
to see if revised discharge limits have been established and
if a trip to Hutchinson to discuss potential solutions would
be of assistance to you.
Sincerely,
Thomas F. Allen, P.E., President
Allen iJater & Agastewater Eng.
Enclosures
A
POTENTIAL MUNICIPAL
WATER TREATMENT
SYSTEMS ALLEN
Iron Oxidation & Filtration 1
WATER
Lime Softening
Lime & Soda Ash Softening
MUNICIPAL
Reverse Osmosis
AND
Catalytic Precipitation
AND
Ion Exchange
Carbon Adsorption
WASTEWATER
Straight Filtration
Some Combination of Above
CLIENTS
Distribution Systems
ENGINEERING
POTENTIAL
MUNICIPAL WATER
INC.
SUPPLY & TREATMENT
Thomas F. Allen, P.E., President
COMPONENTS
605 Hillside Drive
Wells
SERVING
Empoundments
Primary Clarifiers
MUNICIPAL
Aeration Facilities
Iron Removal Filters
AND
Softening Systems
Final Clarifiers
INDUSTRIAL
Filtration Facilities
Disinfection Facilities
CLIENTS
Distribution Systems
Storage Facilities
Sludge Dewatering Facilities
Thomas F. Allen, P.E., President
605 Hillside Drive
" Fairfield, Iowa 52556
(515) 472 -5009
1• •
SERVICES OFFERED
regarding
MUNICIPAL WATER &
WASTEWATER SYSTEMS
Alternative Treatment Evaluations
Feasability Studies
Plans & Specifications
Shop Drawing Review
Inspection
O & M Manuals
Start-up Assistance
Operator Training
Trouble- shooting
Energy Conservation Analysis
Waste Solids Handling Evaluations
Rate Studies
Grant Application Assistance
Consultations
Plan of Action Development
Facility Planning
Contract Operations
Allen Water & Wastewater
Engineering offers Professional Engin-
eering Consulting Services to munici-
palities in the specialized areas of water
treatment and wastewater treatment.
Such services range from initial feas-
ability studies, to design, to contract
operations.
Municipalities, or their utility boards,
have the responsibility of providing
clean safe drinking water, and of provid-
ing adequate wastewater treatment
utility services to their customers. Allen
Water & Wastewater Engineering
appreciates the difficulty of fulfilling
these responsibilities with limited bud-
gets and decreasing sources of available
financial assistance.
"Plans of Action" are now being re-
quired of municipalities to meet current
standards of wastewater treatment.
When completed, these plans will
commit cities to a course of action that
will have long lasting consequences. It is
very important that every effort be
made to minimize utility service charges
while meeting State & EPA require-
ments. Such efforts often require inno-
vative solutions encompassing both
engineering design concepts and
financial planning.
If your city needs to develop a Plan of
Action, needs assistance to upgrade
your sewerage system or water system,
Allen Water & Wastewater Engineering
offers specialty Consulting services in
these areas and would appreciate your
inquiry.
POTENTIAL
MUNICIPAL
WASTEWATER TREATMENT
SYSTEMS
Oxidation Lagoons
Aerated Lagoons
Facultative Lagoons
Trickling Filters
Extended Aeration
Activated Sludge
Packed Towers
RBC's
Oxidation Ditch
Sequencing Batch Reactors
Irrigation
POTENTIAL
MUNICIPAL
WASTEWATER
TREATMENT SYSTEM
COMPONENTS
Lagoons
Equalization Basins
Screens
Grit Chambers
Primary Clarifiers
Aeration Facilities
Final Clarifiers
Chlorination Facilities
Dechlorination Facilities
Sludge Stabalization Facilities
Sludge Dewatering Facilities
Sludge Disposal Systems
Some Combination of the Above
%NWESpT
moo.* Minne;;ota
Department of Transportation
BOX 766
2503 TRANSPORTATION ROAD
5 WILLMAR, MINNESOTA 56201
OF TRP�
April 16, 1985
Mr. Gary D. Plotz
City Administrator
37 Washington Avenue West
Hutchinson, Minnesota 55350
Re: Signal at T.H. 22(7) and School Road
In Hutchinson, Minnesota
Dear Mr. Plotz:
�£ 17 1 j\
m B % -.r
QQ
'1EO£6Z LJ:
(612)231 -5497
FOR YOUR INFORMATION
Your correspondence of March 19, 1985, asked several questions from
the City Council regarding traffic signals at the intersection of
School Road and T.H. 22(7).
Cost estimates for a temporary signal system were mis- stated in my
• 2 -27 -85 letter. The letter should have said that the City should
estimate to share equally in costs of $40,000 to $50,000 for
constructing a temporary signal. I apologize for this error.
We have difficulty estimating fees for a consultant to design a tem-
porary signal. Engineering costs could be 20 to 25% of the signal
system costs. A breakdown of the other signal costs include:
-- 8 magnetic vehicle detectors @ $1000 S 8,000
-- 2 phase signal controller & cabinet 149000
-- 4 mast arm signal poles and lights @ $4000 16,000
There are other costs for cable, trenching, jacking, etc. The esti-
mated City share in a temporary signal should be $20,000- $25,000. In
addition, the City would be responsible for all design costs.
A cost comparison between the signal installed at South Grade Road and
T.H. 15, jointly by City /State efforts and a temporary signal at
School Road and T.H. 22 is difficult for the following reasons:
1. We do not have labor - equipment costs the City paid towards
the installation.
2. Materials furnished by the State for the signal were salvaged
equipment and not charged out to the project. We do not have
. salvaged equipment available to furnish for School Road.
Equipment would have to be purchased new from suppliers.
An Equal Opportunity Employer
Page 2
3. The signal system for T.H. 15 was a fixed -time signal vs. the
traffic actuated signal required for T.H. 22. The equipment
required for a traffic actuated signal is more sophisticated and
more costly than for a fixed time signal.
4. We recommend steel mast arm poles @ $4,000 at School Road
as compared to 40' wood poles furnished by the City at South
Grade Road.
5. There was no charge to the City for signal design on T.H. 15.
A temporary signal provides some protection and has a tendency to
lower the urgency for permanent improvements. A temporary signal
interrupts trunk highway traffic to allow for freer movement of side
street traffic. It will not eliminate all accidents at an intersec-
tion. Since activating the temporary signal at South Grade Road -
T.H. 15 on 8 -7 -84, our records show 9 accidents have been reported.
Four were right -angle type and two were rear -ender type accidents.
Both rear - enders involved personal injury as well as property damage.
Installing a signal system without traffic actuation (no vehicle
detectors) and without providing left -turn channelization could
drastically increase the number of rear -ender type accidents at School
Road and T.H. 22. While some protection could be provided for right -
angle accidents, the potential for a serious accident would be present
with every loaded semi approaching the intersection on a green light
and about to lose it to a fixed -time temporary signal. T.H. 22
carries 4 times as many trucks as T.H. 15.
Signalization and left -turn channelization has been proposed to Mn /DOT
staff for programming in 1987 at an estimated cost of $600,000. The
proposal, if approved, will require coordination between Mn /DOT, the
City of Hutchinson, and the Federal Highway Administration (FHWA) for
funding and the scope of the project. Funding, right -of -way, and
coordination of the design (utilities, etc.) preclude an earlier
letting date. The preliminary plan proposes left- and right -turn
lanes at School Road and California Street.
The temporary signal
Hutchinson has shown
However, the Council
accidents occurring
installation. There
such as:
system at South Grade Road and T.H. 15 in
a reduction in right -angle type accidents.
should not expect the elimination of all the
at the School Road intersection with a similar
are numerous differences in the intersections,
•
E
Page 3
•
1. Speed Limit
2. Urban Development
3. Accident Types
(1 -1 -81 to 8- 7 -84) **
4. HCADT
5. Average Daily Traffic
T.H. 15 and T.H. 22 (7) and
South GradRoad School Road
40 MPH
Shopping Centers
4 Rear - enders
11 Rt. Angle
7 Lt. Turn
250 Trucks /Daily
5850 Vehicles /Daily
50 MPH
50%
13 Rear - enders
8 Rt. Angle
4 Lt. Turn
955 Trucks /Daily*
9500 Vehicles /Daily
* 75% of 5 -axle semi's are grain trucks.
** Signals turned on South Grade Road on 8 -7 -84.
We suggest that the City Engineer coordinate a meeting between Mn /DOT,
Hutchinson City Council, the Council Safety Committee, and others to
provide input into the preliminary plans developed for the T.H. 22
(T.H. 7) project. Coordination between the City and Mn /DOT is essen-
tial in developing plans for the project at the earliest possible
date. We will look forward to a joint meeting with the City in May.
Sincerely,
K. A. Madole, P.E.
District Engineer
•
MINNESOTA
HOUSING FOR YOUR INFORMATION
FINANCE
AGENCY
5678 -9
April 5, 1985
e
The Honorable James DeMeyer
Mayor of Hutchinson
City Hall
37 Washington Avenue West
Hutchinson, MN 55350
RE: HERITAGE SQUARE
Hutchinson
MHFA #85 -003
Dear Mayor DeMeyer:
We are pleased to inform you that the Minnesota Housing Finance Agency (Agency)
has completed the Feasibility underwriting and technical review for the referen-
ced housing development proposal. On March 28, 1985, the Agency Board determined
that this proposed development appears feasible for mortgage financing under the
•Agency's Market Rate Graduated Payment Mortgage Program, and authorized the
issuance of a Feasibility Letter of G.H. & S., Glencoe.
Please note that this action does not constitute a commitment on the part of
the Agency to finance the development. Additional analysis must be done before
the final decision is made on providing a mortgage.
Our action now is a determination by the Agency that the proposal, as currently
structured, has a site which is acceptable, a market exists for the units, and
the development plan as proposed is basically acceptable to the Agency. While
this action does not commit the Agency to issue a mortgage for the development,
it does provide assurance to the developer that the proposal at this state is
acceptable and the Agency will continue to pursue mortgage funds.
This letter is to assist you in understanding the current status of this proposed
rental housing development with the Agency. It is not intended to influence the
outcome of any deliberations regarding zoning or other land use considerations
you may currently have with the developer.
Thank you for your continued cooperation and commitment to the goal of providing
decent and affordable housing for the citizens of your community. If you have
any questions, please contact Marcia Kolb, Housing Development Officer, at
(612) 296 -3028.
Sincerel ,
i
Jame J Sole
xecut Direc
cc. Ga
, City Administrator
333 Sibley Street, Suite 200, St. Paul, Minnesota 55101 (612) 296.7608
Equal Opportunity Housing and Equal Opportunity Employment
/ (612) 587 -5151
fHUTlH CITY OF HUTCHINSON
;?? j4✓ASHiNG'GN AVENUE WES l
j" HN�TCNiNSCIV, �ti1;1�:�;'. 55350
M E M 0
DATE: April 18, 1985
TO: Mayor and City Council
FROM: Director of Engineering
RE: Project No. 85 -01 -24
Street Resurfacing
FOR YOUR INFORMATION
According to the low bid received, the total project cost is $158,390.36. The
cost is $5.28 per front foot of street. Based on an assessment of $3.00 per
front foot and a credit of $2.28 per front foot, the cost for the project is
as follows:
City Cost
Street R/W
Corner Lot Credits
City Cost
Credits
Street
Assessed
City Property
Per Lot
Total
Peterson Circle
19740.00
$ -0-
$ 1,322.40
; 3062.40
Ash Street
6,563.40
11926.14
41988.17
13,477.71
Spruce Street
50682.45
-0-
49318.67
10,001.12
Northwoods Avenue
21690.82
71324.79
21045.02
12,060.63
Maple Street
49973.55
19230.24
3,779.90
91983.69
Oak Street
69607.56
3,442.56
5,021.76
15,071.88
10th Avenue N.E.
11923.48
2,568.19
1,461.84
57953.51
Alan Street
7,295.19
717.82
50444.36
13,457.37
Circle Drive
3,264.39
2,046.16
29481.17
7,791.72
Harrington Street
51085.96
49349.45
3,865.33
13000.74
Milwaukee Avenue
9,345.45
2,601.35
79102.56
199049.36
Water Street
31963.60
-0-
31012.33
61975.93
9th Avenue N.E.
21617.53
2,133.86
11989.32
69740.71
Lea Avenue
19917.36
1,728.27
1,457.19
5,102.82
Lewis Avenue
3,630.00
1,044.81
29758.80
71433.61
Bradford Street
782.25
19224.96
594.51
2,601.72
Lyndale Avenue
3024.00
475.20
2,526.24
69325.44
$71,406.99
$32,813.80
$54,169.57
$158,390.36
The total assessment
is $71,406.99
and the total City Cost is $86,983.37.
•
744zwx
��L
Marlow V. Priebe
Director of
Engineering
MVP /pv
0
M E M O R A N D U M
M pE= £i "JED
To Coalition Member Cities
From: Mayor, Little Falls
Chairman, Coalition Legislative Committee FOR YOUR INFORMATION
Re: Update on Local Government Aid
Date: April 9, 1985
The Local Government Finance Division of the House Tax
Committee will begin work on Representative Schreiber's property
tax simplification proposal and on various LGA proposals next
week. The LGA proposals to be considered will include formulas
proposed by the League, the suburban Municipal Legislative
Commission (MLC) cities, and the Association of Small Cities.
Your Legislative Committee met today and reviewed these
formulas and other formula types. One of the other formula types
we considered was a variable local effort formula that
d0ributes LGA based on fiscal need (LGA plus levy), fiscal
capacity (adjusted assessed value) and local effort (mill rate).
This variable local effort formula is consistent with the
Coalition's policy on LGA.
Based on our review of these formulas, the Legislative
Committee has taken the following positions:
1. To continue to support the original League formula for
the sake of League unity.
2. To support a variable local effort formula because it
would provide an equitable distribution of LGA for
property tax relief. (A printout is attached that
shows the impact of this type of formula on Coalition
Cities.)
3. To oppose the suburban MLC and the small cities
proposals because they were not agreed to in the League
process and because they do not provide an equitable
distribution of LGA for property tax relief.
Your Legislative Committee has also asked Holmes & Graven to
analyze the impact of Representative Schreiber's property tax
simplification proposal on Coalition cities. We will send you
t�r analysis as soon as it is available.
3
r_-�]
I
04 -08 -1985
THIS IS RUN:
BOB -- VARIABLE
i.00AL EFFORT
FORMULA. x CHANGE
IN LGA W/ A 6%
APPROP INCREASE.
12:09:16
•
•
*1
MINNESOTA COALITION
OF OUTSTATE CITIES
POPULATION
FISC NEED /CAP
AAV /CAPITA
84 EO MILLS
x CHNG IN LGA
PURE FORMULA
DETROIT LAKES
7,057
193
5,780
18.53
7.44
26.13
BEMIDJI
11,285
196
4.449
20.11
2.97
10.41
SAUK RAPIDS
6,114
159
3,834
24.11
10.00
36.22
MANKATO
28,479
264
5,683
33.78
10.00
47.33
NEW ULM
13,751
215
5,025
27.87
10.00
56.22
MONTEVIDEO
5,832
197
3,754
29.12
10.00
50.45
MOORHEAD
29,466
173
4.175
28.09
10.00
64.28
BRAINERD
11,245
184
5,418
21.11
6.83
23.99
ALEXANDRIA
7,774
236
6,053
23.96
7.79
27.34
BLUE EARTH
4,125
200
4.405
33.39
10.00
70.17
ALBERT LEA
18,411
217
4,685
26.12
7.36
25.64
RED WING
13,748
438
14,743
26.39
0,00
-69.71
JACKSON
3,787
242
3.573
45.76
10.00
80.57
MORA
2,754
179
5,065
21.32
6.90
24.24
WILLMAR
16,784
152
5,016
19.61
7.28
25.58
INTHL FALLS
5,261
347
7,568
28.24
0.00
-20.52
CLEVELAND
726
141
3,151
37.12
10.00
157.46
LE SUEUR
3,700
191
4,757
25.23
10.00
46.35
MARSHALL
11,519
159
5.072
21.70
10.00
46.90
HUTCHIM50P
9,490
239
6,532
27.42
10.00
82.40
FAIRMONT
11.508
165
5,797
24.55
9.98
35.03
LITCHFIELD
5,832
159
5,076
18.49
5.59
19.64
LITTLE FALLS
7,163
196
3,645
25.17
5.12
17.97
AUSTIN
22,652
222
4.436
28.96
10.00
35.93
NO MANKATO
9,626
197
5.101
26.00
10.00
61.91
ST PETER
9.146
121
3.187
24.43
10.00
60.31
WORTHINGTON
10,315
225
4.740
33.62
10.00
46.07
ROCHESTER
59,307
221
7.382
21.30
10.00
35.41
STEWARTVILLE
4,062
135
3,784
25.58
10.00
54.22
FERGUS FALLS
12.669
239
5.625
22.45
5.11
17.94
PIPESTOME
4,594
183
3.605
25.65
6.83
31.02
FARIBAULT
16,205
221
4,327
29.71
10.00
40.00
NORTHFIELD
12,993
160
4,270
27.57
10.00
75.57
LUVERNE
4,577
155
4.146
17.50
1.31
4.62
ELK RIVER
7,214
112
6.602
13.35
7.61
27.43
3ARTELL
3.659
164
6.143
16.76
4.81
16.89
ST CLOUD
43.311
245
5.762
27.73
10.00
45.61
OWATONNA
18,538
213
5.063
30.42
10.00
68.54
MORRIS
5,282
215
3.540
33.00
10.00
47.61
BENSON
3,582
192
3.124
31.58
10.00
48.53
WASECA
8,352
201
4,636
25.80
10.00
47.75
3T JAMES
4.267
186
3.749
35.26
10.00
74.81
BRECKENRIDGE
3,951
225
2.777
42.69
10.00
48.51
WINONA
24,543
233
4.196
33.64
10.00
60.64
1 MONTICELLO
2.996
447
24.973
16.85
0.00
- 100.00
GRANITE FALLS
3,326
191
4.636
25.37
10.00
56.17
TOTAL
531,178
216
5,544
25.73
8.57
38.33
•
Ll
•
FIRST CLASS
CITIES
POPULATION
FISC NnD /CAP
AAV /CAPITA
64 EO MILLS
x CHNG IN LGA
. PURE FORMULA
. MINNEAPOLIS
C 364,250
376
8,594
28.77
1.91
6.71
ST PAUL
C 269.240
278
7,469
25.64
3.97
13.93
DULUTH
67,061
260
4,278
36.76
10.00
51.14
10,911
12.67
10.00
83.56
•
BLOOMINGTON
83,710
Ll
•
MUNICIPAL LEGISLATIVE COMMISSION
POPULATION
FISC MEEO /CAP
AAV /CAPITA
84 60 MILLS
x CHNG IN LGA
PURE FORMULA
.
BLAINE
32,810
88
5,524
12.13
2.66
.
9.32
BURNSVILLE
38,380
188
9.724
19.10
10.00
116.74
EAGAN
26.470
129
10,911
12.67
10.00
83.56
•
BLOOMINGTON
83,710
166
11.693
13.29
8.36
29.37
BROOKLYN PARK
48,780
120
6.212
16.90
10.00
59.19
EDEN PRAIRIE
21,250
206
12,727
17.56
10.00
116.04
•
EDINA
45.260
140
15.912
6.83
0.00
- 100.00
MAPLE GROVE
25.720
133
7.311
17.48
10.00
191.32
MINNETONKA
40,930
194
11.613
15.04
10.00
65.15
•
PLYMOUTH
37,050
131
11,001
12.43
10.00
120.65
MAPLEWOOD
26.130
181
10,965
14.32
9.13
32.07
HOUNDS VIEW
12,870
99
5.590
12.09
7.81
27.43
•
ROSEVILLE
35,770
129
10,647
11.21
3.22
11.31
SHOREVIEW
19,780
87
7,953
9.11
0.00
-24.65
WHITE BEAR LAKE
22,810
108
6,383
12.39
5.56
19.59
•
WOODBURY
12,660
156
9,926
14.34
10.00
38.63
TOTAL
S32,400
145
10,115
13.43
7.74
47.33
•
•
•
•
•
•
(612) 587 -5151
f/UTCH CITY OF HUTCHINSON
37 WASHING' ON AVENL,,E WEST
HUTCHINSON %V NN 55350
TO: Mayor & City Council
FROM: John McRaith, Assistant Recreation Director
DATE: April 18, 1985
SUBJECT: Dandelion Control Program
FOR YOUR INFORMATION
In the past, our department has sprayed for dandelions
on our more frequently used park areas, and the state right -
of -ways in —our community. Spraying in other areas was done
on a random basis when residents notified us of a dandelion
problem. This season, we have purchased additional chemical
to allow us to spray all city owned property in the community
excluding the airport and Miller's woods.
In addition, our weed inspector, Mark Schnobrich, will be
watching for areas that may need respraying. As far as the
private sector of our community is concerned, there are no
• ordinances affecting dandelion control on provate property.
We, therefore, have no recourse for dandelion problems on pri-
vate property.
The spraying program will be started within the next week
or two, contingent upon weather conditions suitable for spray-
ing.
klm
0
(612) 587.5151
CITY OF HUTCHINSON
i 37 A'ASHINGTON AVENUE A'EST
FOR YOUR INFORMATION
TO: Mayor & City Council
FROM: John McRaith, Assistant Recreation Director
DATE: April 18, 1985
UBJECT: Mosquito Spraying Program
This year provides us with our first chance to obtain full
season mosquito control. Mark Schnobrich, Cliff Paulsen and I
attended a mosquito control seminar in early April to prepare
for this season's program.
We will begin spraying in mid -May and continue with twice
a week sprayings throughout the summer.
In addition, we
briquettes in catch
out the city. This
they reach the adul
of mosquito control
overall.
klm
•
will be using larvicides in the form of
basins and stagnate ponds of water through -
hinders the development of mosquitos before
t stage. The combination of these two types
should lead to a very effective program
