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HomeMy WebLinkAbout07-14-2026HUTCHINSON CITY COUNCIL MEETING MINUTES TUESDAY, JULY 14, 2026 CITY CENTER — COUNCIL CHAMBERS (The City Council is provided background information for agenda items in advance by city staff, committees and boards. Many decisions regarding agenda items are based upon this information as well as: City policy and practices, input from 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, Dave Sebesta and Chad Czmowski. 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 Czmowski, second by Sebesta, to approve the agenda as presented. Motion carried unanimously. 2. INVOCATION — Faith Lutheran Church (The invocation is a voluntary expression of the private citizen, to and for the City Council, and is not intended to affiliate the City Council with, or express the City Council's preference 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 staf� fj 3. PLEDGE OF ALLEGIANCE 4. RECOGNITION OF GIFTS, DONATIONS AND COMMUNITY SERVICE TO THE CITY (a) Resolution No. 16053 — Resolution Accepting $6813.53 Donation from Paul Wright (Wright Farms) to Hutchinson Fire Department For Safety Equipment and Other Firefighting Material/Equipment Paul Wright presented before the Council. Mr. Wright explained that with an event his family of Wright Farms hosted, Breakfast on the Farm, funds were able to be raised to allow this donation to the fire department. The event was able to be held in cooperation with several donations and sponsorships. Fire Chief Schumann noted that the funds will be used for equipment for grain bin rescues and other rescue equipment. Motion by May, second by Burley, to approve Resolution No. 16053. 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 S minutes. Individuals wishing to speak for more than five minutes should ask to be included on the agenda in advance of the meeting. All comments are appreciated, but please refrain from personal or derogatory attacks on individuals) 5. CITIZENS ADDRESSING THE CITY COUNCIL 6. APPROVAL OF MINUTES (a) Regular Meeting of June 23, 2026 Motion by Burley, second by Sebesta, to approve the minutes as presented. Motion carried unanimously. CITY C 0 UNCIL MINUTES July14, 2026 CONSENT AGENDA (The items listed for consideration will be enacted by one motion unless the Mayor, a member of the City Council or a city staff member requests an item to be removed. Traditionally items are not discussed) 7. APPROVAL OF CONSENT AGENDA I (a) Consideration for Approval of Resolution No. 16049 - Resolution Approving Authorization to Apply for Redevelopment Grant from the Minnesota Department of Employment and Economic Development for the Jorgensen Hotel Redevelopment Project (b) Consideration for Approval of Resolution No. 16050 — Resolution Approving Commitment to Provide Local Match and Authorizing Contract Signatures for Jorgensen Hotel Redevelopment Proj ect (c) Consideration for Approval of Resolution No. 16052 — Resolution Appointing Election Judges for Primary Election (d) Consideration for Approval to Authorize an Application for a Request for U.S. Army -Owned Equipment to be Used for Static Display Purposes at the Hutchinson Municipal Airport (e) Consideration for Approval of Grant Amendment for Snow Removal Equipment Shed (f) Consideration for Approval of Amending South Park Water Tower Lease Agreement With Midwest Wireless dba Verizon Wireless (g) Consideration for Approval of Out -of -State Travel for Miles Seppelt to Attend the Economic Development Council's Centennial Summit in Rapid City, South Dakota (h) Consideration for Approval of Issuing Caterer's Permit to Marshall Paulsen of Picnic Linden Hills on August 15, 2026, at McLeod County Fairgrounds (i) Consideration for Approval of Issuing Temporary Liquor License to McLeod County Agriculture Association from August 20 — 23, 2026, for McLeod County Fair (j) Consideration for Approval of Issuing Temporary Liquor License to St. Anastasia Catholic Church on September 12 & 13, 2026, for Fall Festival (k) Consideration for Approval of Issuing Short -Term Gambling License to St. Anastasia Catholic Church on September 12 & 13, 2026 (1) Consideration for Approval of Issuing Short -Term Gambling License to Hutchinson Fire Department Relief Association on September 12, 2026 (m)Claims, Appropriations and Contract Payments — Register A Item 7(b) was pulled for separate discussion. 2 CITY C 0 UNCIL MINUTES July14, 2026 Motion by May, second by Sebesta, to approve Consent Agenda I with the exception of Item 7(b). Motion carried unanimously. Item 7(b) had further discussion. Council Member May noted that the resolution indicates that the City may be required to pay 100% of the awarded grant if the project fails to substantially provide the public benefits listed in the application within five years from the date of the grant award. Mr. Jaunich explained that if the City is awarded the grant, there will be a grant agreement put in place with the developer that will put the repayment responsibility on the developer. The language in the resolution is a requirement of Minn. Stat. 116J. 575, Subd. 4, but again, if the grant is awarded, an agreement will be put in place putting the responsibility on the developer of the project. Motion by May, second by Sebesta, to approve Item 7(b). Motion carried unanimously. APPROVAL OF CONSENT AGENDA II (a) Claims, Appropriations and Contract Payments — Register B Motion by Burley, second by May, with Czmowski and Forcier abstaining, to approve Consent Agenda IL Motion carried unanimously. PUBLIC HEARINGS — 5:30 P.M. - NONE purpose of this portion of the agenda is to provide the Council with information necessary to craft wise policy. ides items like monthly or annual reports and communications from other entities.) 9. EMERALD ASH BORER (EAB) UPDATE Mike Stifter, Public Works Director, provided an update to the Council on emerald ash borer (EAB). Mr. Stifter noted that definitive evidence of EAB has been found in Hutchinson. It was first noticed in the backyards of Rose Lane NE. The City has aggressively pursued ash removals in this neighborhood so the initial impact to publicly owned trees will not be as significant. The presence of EAB will initiate the City's Orders to Remove Policy which was added to the City's nuisance vegetation ordinance several years ago. The goal of the ash removal orders is to focus on public and private safety issues. Trees affected by EAB can quickly become unstable and pose a hazard to anything within the fall radius in the event of a tree failure. The sooner the trees can be removed, the less risk of causing injury and damage. The message to private properties that have ash trees is to review their trees and consider treatment plans and/or reach out for a consultant to consider removal if needed. 10. PRESENTATION OF CITY OF HUTCHINSON 2025 YEAR END REPORT Matt Jaunich, City Administrator, provided the City's 2025 year end report to the Council which was included in the City Council packet. The intent of the report is to measure the City's performance on CITY C 0 UNCIL MINUTES July14, 2026 an annual basis. Information contained in the report is data and information from January 1 — December, 2025. The report is a collection of department year end reports into one document. Motion by Czmowski, second by May, to accept the City of Hutchinson 2025 year end report. UNFINISHED BUSINESS NEW BUSINESS 11. APPROVE/DENY 2025 COMPREHENSIVE FINANCIAL REPORT Justin Juergensen, Assistant Finance Director, introduced Abby Schmidt from the City's financial auditing firm, Abdo. Mr. Juergensen explained that a workshop was held prior to the City Council meeting where Ms. Schmidt reviewed the report in detail. Ms. Schmidt presented before the Council and noted that the auditing firm has issued an unmodified, or clean, opinion with no issues and the City is in healthy financial condition. Motion by May, second by Czmowski, to approve 2025 comprehensive financial report. Motion carried unanimously. 12. APPROVE/DENY RESOLUTION NO. 16051 — RESOLUTION AUTHORIZING THE SALE OF GENERAL OBLIGATION IMPROVEMENT BONDS, SERIES 2026A AND PUBLIC UTILITY REVENUE BONDS, SERIES 2026B Andy Reid, Finance Director, presented before the Council. Mr. Reid reviewed the projects that will be part of this bond sale. These projects include roadway improvements including Edmonton Avenue SE and the Pavement Management Plan. Bonding is paying for approximately 47% of these projects. The fire ladder truck will also be 41% funded with this bond sale. Wastewater facility improvements are also part of this sale due to a large biosolids project, however will be paid solely by wastewater fund operating revenues. The Hutchinson Utilities Commission improvements included in the bond sale will solely be paid by HUC electric division operating revenues. Debt and other funding sources for these projects are at a 49%/51% split. With the fire ladder truck bonding, there is a 5.1 % debt levy increase from 2026. This additional debt is a 1.4% total City tax levy increase. Nick Anhut, Ehlers, presented before the Council. Mr. Anhut explained the two parts to the bond sale — City projects and HUC project. City projects are approximately $5.7 million for the roadway improvement projects, fire truck and wastewater facility improvements. The HUC's electrical system project has an estimated par value of $4,295,000. The HUC electrical improvements will be paid solely by HUC electric division operation revenues over an 11-year term. The bids will be submitted through a competitive sale process prior to the August 11, 2026, City Council meeting where the low bid will be considered for award. Motion by May, second by Czmowski, to approve Resolution No. 16051. Motion carried 11 CITY C 0 UNCIL MINUTES July14, 2026 unanimously. GOVERNANCE (The purpose of this portion of the agenda is to deal with organizational development issues, including policies, performances, and other matters that manage the logistics of the organization. May include monitoring reports, policy development and governance process items.) 13. MINUTES/REPORTS FROM COMMITTEES, BOARDS OR COMMISSIONS a) 2025 General Fund Financial Results b) Hutchinson Utilities Commission Minutes from May 27, 2026 c) Liquor Hutch Quarterly Report MISCELLANEOUS 14. STAFF UPDATES Mike Stifter — Mr. Stifter noted that Edmonton Avenue was opened a couple of week ago and within the next month the other street projects should be completed with all paving be completed at one time. Matt Jaunich — Mr. Jaunich noted that the Crow River fountain is getting repaired after damage done by muskrats. He also noted that he has been appointed to the LMC Board of Directors. 15. COUNCIL/MAYOR UPDATE Pat May — Council Member May commented that the Public Arts Commission is operating with a full committee and a new chair. The Commission is looking to do new things and expand beyond their main focus of the Sculpture Stroll. Chad Czmowski — Council Member Czmowski commented on the RiverSong Music Festival held last weekend and the successful event it was. ADJOURNMENT Motion by May, second by Czmowski, to adjourn at 6:20 p.m. Motion carried unanimously.