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11-25-2025HUTCHINSON CITY COUNCIL MEETING MINUTES TUESDAY, NOVEMBER 25, 2025 CITY CENTER — COUNCIL CHAMBERS (The City Council is provided background information for° agenda iten2s in advance by city staff, committees and boards. Many decisions regarding agenda iten2s are based upon this information as well as: City policy and practices, inputfrom constituents, and other questions or information that has not yet been presented or discussed regarding an agenda item.) 1. CALL MEETING TO ORDER — 5:30 P.M. Mayor Gary Forcier called the meeting to order. Members present were Tim Burley, Pat May, Chad Czmowski and Dave Sebesta. Also present were Matt Jaunich, City Administrator and Marc Sebora, City Attorney. (a) Approve the Council agenda and any agenda additions and/or corrections Motion by Burley, second by Sebesta, to approve the agenda as presented. Motion carried unanimously. 2. INVOCATION — Christ the King Lutheran Church (The invocation is a voluntary expression of the private citizen, to andfor the City Council, and is not intended to affiliate the City Council with, or express the City Council's preference for, any religious/spiritual organization. The views or beliefs expressed by the invocation speaker have not been previously reviewed or approved by the Council or staff) 3. PLEDGE OF ALLEGIANCE 4. RECOGNITION OF GIFTS, DONATIONS AND COMMUNITY SERVICE TO THE CITY (a) Resolution No. 15938 — Resolution Accepting $4102.35 Donation from Hutchinson Huskies for VMF Grandstand Project (b) Resolution No. 15939 —Resolution Accepting $1125.00 Donation from Hutchinson Health Foundation for Maintenance of Community Bike Fleet Motion by Czmowski, second by Burley, to approve Resolution Nos. 15938 and 15939. Motion carried unanimously. PUBLIC COMMENTS (This is an opportunity for° members of the public to address the City Council. If the topic you would like to discuss is on the agenda, please ask the Mayor if he will be accepting public comments during the agenda item if not a public hearing. If you have a question, concern or comment, please ask to be recognized by the mayor state your name and address for the record. Please keep comments under 5 minutes. Individuals wishing to speakfor° more than five minutes should ask to be included on the agenda in advance of the meeting. All comments are appreciated, but please refrain f on2 personal or derogatory attacks on individuals) 5. CITIZENS ADDRESSING THE CITY COUNCIL 6. APPROVAL OF MINUTES (a) Workshop of November 12, 2025 (b) Regular Meeting of November 12, 2025 Motion by May, second by Sebesta, to approve minutes as presented. Motion carried unanimously. CONSENT AGENDA (The iten2s listed for consideration will be enacted by one motion unless the Mayor, a member of the City Council or a city staff n2en2ber° requests an item to be removed. Traditionally iten2s are not discussed) CITY COUNCIL MINUTES November 25, 2025 7. APPROVAL OF CONSENT AGENDA (a) Consideration for Approval of 2026 License Renewals (b) Consideration for Approval of Issuing Short -Term Gambling License to 3M Club on April 16, 2026 (c) Consideration for Approval to Purchase a Belt Trailer for Creekside Soils (d) Consideration for Approval of Airport Hangar Re -Skin and Re -Roof (e) Consideration for Approval of Purchase of Skid Steer for Public Works Department (f) Consideration for Approval of Professional Agreement With Bolton & Menk for Snow Removal Equipment Building Project (g) Consideration for Approval of Supplemental Agreement With SEH for Edmonton Roundabout Design (h) Consideration for Approval of Lease Agreement, Master Relationship Agreement and Nondisclosure Agreement With Deimos Materials to Lease Space in Hutchinson Enterprise Center (i) Consideration for Approval of Resolution No. 15937 — Resolution Adopting Findings of Fact and Reasons for Approval of a Final Plat for Shepards Meadow With Favorable Planning Commission Recommendation (j) Consideration for Approval of Resolution No. 15940 — Resolution Adopting Findings of Fact and Reasons for Approval of a Comprehensive Plan Amendment Located at 552, 554, 564 Jefferson Street SE With Favorable Planning Commission Recommendation (k) Claims, Appropriations and Contract Payments Motion by Czmowski, second by Burley, to approve consent agenda. Motion carried unanimously. PUBLIC HEARINGS — 5:30 P.M. - NONE COMMUNICATIONS, REQUESTS AND PETITIONS (The purpose of this portion of the agenda is to provide the Council with information necessary to craft wisepolicy. Includes items like monthly or annual reports and coniniunications f on2 other entities.) 8. MS4 ANNUAL MEETING TO RECEIVE INPUT AND CONSIDER COMMENTS ON THE STORM WATER POLLUTION PREVENTION PLAN (SWPPP) FOR THE CITY OF HUTCHINSON Brandon Braithwaite, Assistant Public Works Director/City Engineer, presented before the Council. Mr. Braithwaite noted that this presentation is required annually in compliance with the MPCA 2 CITY COUNCIL MINUTES November 25, 2025 National Pollution Discharge Elimination System Phase II permit that the City holds. This is required of all cities that have and maintain a Municipal Separate Storm Sewer System (MS4). Mr. Braithwaite reviewed the reasons stormwater is regulated and the City's stormwater system. As part of the MS4 storm water program, minimum control standards must be maintained. These standards include: 1. Public Education & Outreach; 2. Public Participation/Involvement; 3. Illicit Discharge Detection and Elimination; 4. Construction Site Stormwater Control; 5. Post -Construction Stormwater Management; and 6. Pollution Prevention/Good Housekeeping. Matt Jaunich, City Administrator, noted that because Hutchinson is an MS4 city, additional requirements are put in place for stormwater controls due to the MPCA permitting. No public comments were received. Motion by May, second by Czmowski, to approve Stormwater Pollution Prevention Plan. Motion carried unanimously. 9. DISCUSSION ON THE PRELIMINARY BUDGET AND TAX LEVY FOR 2026 Matt Jaunich, City Administrator, presented before the Council. Mr. Jaunich provided an update to the Council on the preliminary budget and proposed tax levy for 2026. Mr. Jaunich noted that significant changes have been made to the preliminary budget and tax levy from September. Identified increased revenues of $113,870 have helped reduce the tax levy by $214,243. These increases have come from building permit revenues, state aid for police and fire pensions received, charges and services were increased and other minor adjustments. In addition, expenses were decreased by $65,419. These decreases are made up of the LMCIT reduced workers compensation rates by an average of 25%, open enrollment for health benefits and other employee related costs, software costs related to a new system for building permits and other minor adjustments. With these adjustments, the proposed general fund tax levy is at an 8.6% increase, down 2.7% from the preliminary levy set in September. The debt tax levy is proposed at a 2.5% increase, down 1.4% from the preliminary levy set in September. The total tax levy is proposed at a 6.9% increase, down 2.3% from the preliminary levy set in September. This proposed levy increase means a $60 increase from 2025 on a home valued at $275,000. Mr. Jaunich reviewed preliminary tax levy increases in other cities for comparison data. Mr. Jaunich reviewed the tax levy allocation to departments. Mr. Jaunich also provided an updated 2026 fee schedule that will be considered for adoption. There were some increased user fees in certain areas. This information will be presented at the Truth in Taxation hearing on December 4, 2026. UNFINISHED BUSINESS NEW BUSINESS 10. APPROVE/DENY PURCHASE OF KOCK JEWELRY PROPERTY LOCATED AT 10 MAIN STREET SOUTH Miles Seppelt, EDA Director, presented before the Council. Mr. Seppelt explained that in order to preserve future opportunities for the redevelopment of the Jorgensen Hotel property, the EDA is proposing to purchase the Kock Jewelry property at 10 Main Street South for $310,000 plus $40,000 as a fixed payment in lieu of relocation benefits for a total acquisition price of $350,000. At this time, the developer, Titanium Partners intends to purchase the property and is scheduled to close on December 12, 2025, however in the event that does not occur, purchase by the EDA is the alternative plan. The main reason for the alternative plan is that the Kocks have informed Mr. Seppelt that if the property is not CITY COUNCIL MINUTES November 25, 2025 closed on this year, their intention would be to remain in business as a j ewelry store until 2033. Because redevelopment of this area has been a priority of the EDA for many years, the board has expressed that having the EDA purchasing the property as an alternative plan is the best course of action. It was noted that the EDA has purchased property many times in the past to preserve for redevelopment purposes. No general tax dollars will be used for this purchase but rather with EDA sources such as the Downtown Revolving Loan Fund, the EDA Operations Fund and the Economic Development Loan Fund. If this alternative plan does need to be used, a purchase agreement will come before the Council for approval. Motion by Czmowski, second by Burley, to approve the purchase of 10 Main Street South. Motion carried unanimously. 11. APPROVE/DENY FIRST READING OF ORDINANCE NO. 25-867 - AN ORDINANCE TO REZONE PROPERTY AT 155 GLEN STREET NW WITH FAVORABLE PLANNING COMMISSION RECOMMENDATION Matt Jaunich City Administrator, presented before the Council. Mr. Jaunich explained during the processing of building permits for The Landing project, it was found from 2021 that the east side of the subject property had been zoned Mixed Use to potentially accommodate a project from a different developer. Staff realized the zoning map had not been updated to show the rezoning to Mixed Use in 2021 and the map showed the property was zoned C-3. This led to staff thinking the property was zoned C-3 when in fact it was zoned MXD. Due to this, the property needs to be rezoned back to C-3 which was the zoning designation prior to 2021. This does not change anything related to the project but rather just fixing an inadvertent internal error. Motion by Burley, second by Czmowski, to approve first reading of Ordinance No. 25-867. Motion carried unanimously. 12. APPROVE/DENY FIRST READING OF ORDINANCE NO. 25-869 — AN ORDINANCE AMENDING SECTION 153.072 - PUBLIC SITES, OPEN SPACES AND BICYCLE AND PEDESTRIAN PATHS WITH FAVORABLE PLANNING COMMISSION RECOMMENDATION Matt Jaunich City Administrator, presented before the Council. Mr. Jaunich explained that in Section 153.072 of the City's subdivision ordinance there are fees that are noted within it. It is very uncommon to have actual fees noted in the ordinance and more common to note that there are fees subject to the City fee schedule that is adopted annually. Staff recommends removing the fees from the ordinance so that it doesn't have to be amended every time a fee is changed. Motion by Czmowski, second by Burley, to approve first reading of Ordinance No. 25-869. Motion carried unanimously. GOVERNANCE (Thepurpose of thisportion of the agenda is to deal with organizational development issues, includingpolicies, 11 CITY COUNCIL MINUTES November 25, 2025 pei orniances, and othermatters that manage the logistics of the organization. May include monitoring reports, po icy development and governance process items.) 13. MINUTES/REPORTS FROM COMMITTEES, BOARDS OR COMMISSIONS �a) City of Hutchinson Financial Report and Investment Report for October 2025 b) Planning Commission Minutes from October 21, 2025 MISCELLANEOUS 14. STAFF UPDATES Mike Stifter — Mr. Stifter noted that with the predicted snow this evening, staff will be working in the early morning tomorrow and perhaps downtown clean up dependent on the amount of snow. Mr. Jaunich noted that snow emergencies will be declared when all parked vehicles have to be removed from the roadways. There is a notification system in place for residents to opt in to. Matt Jaunich — Mr. Jaunich noted that city offices will be closed for the Thanksgiving holiday this Thursday and Friday. He reminded everyone of the Truth in Taxation hearing set for December 4, 2025, at 6:00 p.m. He also inquired of the Council about the December 23, 2025, City Council meeting and if there was a desire of the Council to move it for any reason. The Council agreed to leave the meeting as scheduled. 15. COUNCIL/MAYOR UPDATE Gary Forcier — Mayor Forcier noted that the Hutchinson HRA has fix -up funds available. He provided an update from the Airport Commission with information regarding improvements being completed on hangars and noted that j et fuel sales are going well. He announced that there are openings on various boards/commissions such as the Public Arts Commission, Charter Commission, and Sustainability Advisory Board. He encouraged interested people to complete a board interest form if they would like to be appointed. ADJOURNMENT Motion by May, second by Czmowski, to adjourn at 6:25 p.m. Motion carried unanimously. ATTEST: Gary T. Forcier Mayor Matthew Jaunich City Administrator