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cp07-11-1995 cSUNDAY
MONDAY
TUESD
-9-
-10-
-11-
v.
NUiCNINSON
CITY
CALENDAR
5:30 p.m. - City Council
Week Ot
Meeting at
City Center
July 9 LO July 15
1995
WEDNESDAY
THURSDAY
FRIDAY
SATURDAY
-12-
-13-
-14-
-15-
10:00 a.m. - Directors Meetin
9:30 a.m. - Senior Advisory
VACATION:
at City Center
Board Meeting at
KEN MERRILL - July 10 -21
Staff Conf. Room
Senior Center
AGENDA
REGULAR MEETING - HUTCHINSON CITY COUNCIL
TUESDAY, JULY 11, 1995
CALL TO ORDER - 5:30 P.M.
2. INVOCATION - Rev. Tim Caspers, Shalom Baptist Church
NEEKerele6l 1101 M4111 MeElima ll►l 11
MINUTES OF REGULAR MEETING OF JUNE 27, 1995 AND BID OPENING OF
JUNE 12, 1995
Action - Approve as distributed - Approve as amended
(a) REPORTS OF OFFICERS, BOARDS AND COMMISSIONS
• 1. BUILDING OFFICIAL'S REPORT - JUNE 1995
2 PARKS, RECREATION & COMMUNITY EDUCATION ADVISORY
BOARD MINUTES OF JUNE 1, 1995
(b) RESOLUTIONS AND ORDINANCES
1. ORDINANCE NO. 95 -153 - AN ORDINANCE OF THE CITY OF
HUTCHINSON, MINNESOTA, AMENDING SECTION 2.60 BY
CHANGING CERTAIN LANGUAGE RELATING TO THE LENGTH OF
TERMS OF BOARD MEMBERS AND ADOPTING, BY REFERENCE,
CITY CODE CHAPTER 1 AND SECTION2.99 WHICH, AMONG OTHER
THINGS, CONTAIN PENALTY PROVISIONS (SECOND READING
AND ADOPT)
2. ORDINANCE NO. 95 -154 - VACATION OF EASEMENTS (MIKE &
GENELLE SCHALL) (SECOND READING AND ADOPT)
3. RESOLUTION NO. 10515 - RESOLUTION FOR PURCHASE
4. RESOLUTION NO. 10516 - RESOLUTION FOR 1996 TRANSIT GRANT
APPLICATION
1
CITY COUNCIL AGENDA - July 11, 1995
•
(c) TRANSIENT MERCHANT PERMIT FOR JEROLD UNTIEDT
(DEFERRED JUNE 27, 1995)
(d) HAULING LICENSE FOR AW DISPOSAL /AAGARD WEST
( COMMERCIAL /RESIDENTIAL/RECYCLING)
(e) SHORT -TERM NON - INTOXICATING MALT LIQUOR LICENSE FOR R. C.
PROMOTIONS
Action - Motion to approve consent agenda
' l: :1 :. 1► . 1 I u
NONE
(a) PRESENTATION OF RESOLUTION OF APPRECIATION TO BECKY
ALBRECHT OF HUTCHINSON TECHNOLOGY, INC.
(b) PRESENTATION BY BARRY FICK FROM SPRINGSTED REGARDING
REPORT ON COMPUTER CONSORTIUM STUDY
04T
RI
REPORT BY FORESTER MARK SCHNOBRICH ON CITY'S WEED PROGRAM
Action -
(d) PRESENTATION BY FINANCE DIRECTOR REGARDING PLANNING
PROCESS FOR 1996 BUDGET AND YEAR END AUDIT REPORT
Action -
2 •
0 CITY COUNCIL AGENDA - July 11, 1995
(a) CONSIDERATION OF DEVELOPMENT AGREEMENT FOR DOWNTOWN
HUTCH HOTEL (TAX INCREMENT FINANCING) (DEFERRED NNE 27, 1995)
Action - Motion to reject - Motion to approve
nlllml1 1
(a) CONSIDERATION OF HOLDING CITY COUNCIL WORKSHOP ON JULY 25,
1995 AT 4:15 P.M. REGARDING CITY FINANCIAL REPORTING
Action - Motion to reject - Motion to approve
(b) CONSIDERATION OF VEHICLE PURCHASE RECOMMENDATION FOR NEW
1995 MODEL L8000 FORD CAB & CHASSIS
Action - Motion to reject - Motion to approve
(c) CONSIDERATION OF SETTING PUBLIC HEARING FOR STRONG BEER AND
WINE LICENSE APPLICATION BY DURWOOD LAMPRECHT, DBA
BAVARIAN HAUS
Action - Motion to reject - Motion to approve and set hearing for July 25, 1995 at
6:00 p.m.
(d) CONSIDERATION OF CONSTRUCTION ESCROW AGREEMENT
Action - Motion to reject - Motion to approve
(e) CONSIDERATION OF AGREEMENT WITH MN/DOT FOR STATE AID FOR
AIRPORT MAINTENANCE AND OPERATION
Action - Motion to reject - Motion to approve and adopt Resolution No. 10517
(1) CONSIDERATION OF AIRPORT CONDEMNATION ISSUE REGARDING
SVANDA PROPERTY
Action - Motion to reject - Motion to approve Sponsor Certification
• 3
CITY COUNCIL AGENDA - July 11, 1995
: ►! •
(a) COMMUNICATIONS
(a) VERIFIED CLAIMS
Action - Motion to approve and authorize payment from appropriate funds
4
L_ J
•
MINUTES
REGULAR MEETING - HUTCHINSON CITY COUNCIL
TUESDAY, JUNE 27, 1995
1. The meeting was called to order at 5:30 p.m. by Mayor Torgerson. Present were: Mayor
Marlin Torgerson, Council Members John Mlinar, Kay Peterson and Don Erickson. Absent:
Council Member Bill Craig. Also present: City Administrator Gary D. Plotz, City Engineer
John Rodeberg and City Attorney G. Barry Anderson.
2. In the absence of a pastor, there was no invocation.
u11►1 1 .I
The minutes of the regular meetings of May 23, 1995 and June 12, 1995 were approved as
distributed.
(a) REPORTS OF OFFICERS, BOARDS AND COMMISSIONS
is 1. FINANCIAL REPORT - MAY 1995
0
2. INVESTMENT REPORT
3. PLANNING COMMISSION MINUTES OF MAY 16, 1995
4. LIBRARY BOARD MINUTES OF JUNE 12, 1995
(b) RESOLUTIONS AND ORDINANCES
1. ORDINANCE NO. 95 -152 - AN ORDINANCE OF THE CITY OF
HUTCHINSON, MINNESOTA, AUTHORIZING THE SALE,
DISPOSITION OR TRANSFER OF CERTAIN REAL ESTATE TO
HUTCHINSON COMMUNITY DEVELOPMENT CORPORATION AND
ADOPTING, BY REFERENCE, CITY CODE CHAPTER 1 AND SECTION
2.99 WHICH, AMONG OTHER THINGS, CONTAIN PENALTY
PROVISIONS (SECOND READING AND ADOPT)
2. ORDINANCE NO. 95 -153 - AN ORDINANCE OF THE CITY OF
HUTCHINSON, MINNESOTA, AMENDING SECTION 2.60 BY
CHANGING CERTAIN LANGUAGE RELATING TO THE LENGTH OF
1
14
CITY COUNCIL MINUTES - JUNE 27, 1995
0
TERMS OF BOARD MEMBERS AND ADOPTING, BY REFERENCE,
CITY CODE CHAPTER 1 AND SECTION 2.99 WHICH, AMONG
OTHER THINGS, CONTAIN PENALTY PROVISIONS (FIRST
READING AND SET SECOND READING FOR JULY 11, 1995)
3. RESOLUTION NO. 10502 - RESOLUTION FOR PURCHASE
4. RESOLUTION NO. 10503 - RESOLUTION ESTABLISHING LOCATION
FOR TRAFFIC CONTROL DEVICES
5. RESOLUTION NO. 10504 - RELEASING PLEDGED SECURITIES
FROM CITIZENS BANK & TRUST CO., HUTCHINSON, MN
6. RESOLUTION NO. 10505 - RESOLUTION TO REINSTATE
ASSESSMENTS FOR HELLANDS FORFEITED PROPERTY
(c) TRANSIENT MERCHANT PERMIT FOR JEROLD UNTIEDT
(d) DELINQUENT WATER AND SEWER ACCOUNTS .
(e) CHANGE ORDER NO. 1 FOR CIVIC ARENA ICE SYSTEM RENOVATION
(f) APPOINTMENT TO PLANNING COMMISSION — BILL ARNDT
(g) OUT -OF -STATE TRAVEL FOR RANDY DEVRIES
(h) HAULING LICENSES:
I. MCKIMM MILK TRANSIT, INC. — COMMERCIAL HAULING
2. WITTE SANITATION -- COMMERCIAL/RECYCLING HAULING
0) VARIANCE TO REDUCE SETBACK TWO FEET FROM ALLEY FOR
CONSTRUCTION OF GARAGE ADDITION REQUESTED BY JIM BENTON
WITH UNFAVORABLE RECOMMENDATION OF PLANNING COMMISSION
(j) CONDITIONAL USE PERMIT REQUESTED BY JIM BENTON FOR
CONSTRUCTION OF GARAGE ADDITION WITH FAVORABLE
RECOMMENDATION FROM PLANNING COMMISSION OF CITY STAFF
RECOMMENDATIONS (ADOPT RESOLUTION NO. 10511)
2
0 CITY COUNCIL MINUTES - JUNE 27, 1995
(k) PRELIMINARY AND FINAL PLAT KNOWN AS FIRST ADDITION TO SOUTH
LAKEWOOD ESTATES SUBMITTED BY BRUCE NAUSTDAL AND DIANE
SORENSEN WITH FAVORABLE RECOMMENDATION FROM PLANNING
COMMISSION OF CITY STAFF RECOMMENDATIONS
(ADOPT RESOLUTION NO. 10508)
(l) VACATION OF EASEMENTS REQUESTED BY MIKE & GENELLE SCHALL
WITH FAVORABLE RECOMMENDATION FROM PLANNING COMMISSION
OF CITY STAFF RECOMMENDATIONS (FIRST READING OF ORDINANCE
AND SET SECOND READING FOR JULY 11, 1995)
(m) CONDITIONAL USE PERMIT FOR CONSTRUCTION OF OFFICE BUILDING
IN IIC DISTRICT REQUESTED BY DAVID BROLL WITH FAVORABLE
RECOMMENDATION FROM PLANNING COMMISSION OF CITY STAFF
RECOMMENDATIONS (ADOPT RESOLUTION NO. 10509)
(n) VARIANCE FOR BILLBOARD SIGN ON HWY. 7 EAST, SECTION 33,
HUTCHINSON TOWNSHIP (ARTHUR SAAR PROPERTY) SUBMITTED BY
CUNNINGHAM ADVERTISING WITH FAVORABLE RECOMMENDATION
FROM PLANNING COMMISSION OF CITY STAFF RECOMMENDATIONS
(o) STREET NAME CHANGE IN KRSIEAN ACRES AND ON NORTH HIGH DRIVE
WEST WITH FAVORABLE RECOMMENDATION FROM PLANNING
COMMISSION OF CITY STAFF RECOMMENDATIONS (ADOPT
RESOLUTION NO. 105 10)
(p) APPOINTMENT TO POLICE COMMISSION —JOHN DECKER
The motion to approve the consent agenda, including items as recommended by
Planning Commission, with the addition of 4 (p) to reappoint Mr. John Decker to the
Police Commission and to defer 4(c) until an investigation has been completed, was
made by Council Member Erickson, seconded by Council Member Mlinar and
unanimously carried.
■1 .71MM111I17915 1
(a) PROPOSED AMENDMENTS TO DEVELOPMENT PROGRAM FOR
DEVELOPMENT DISTRICT NO. 4 AND PROPOSED TAX INCREMENT
3
CITY COUNCIL MINUTES - JUNE 27, 1995
FINANCING PLAN FOR DISTRICT NO. 10, HUTCHINSON HOTEL
Mayor Torgerson called the hearing to order at 6:00 p.m.
Mr. Dick Lennes, Director of HCDC, explained Tax Increment Financing and the
resulting tax capture. He commented on the variables of early payback and the pay -
as- you -go process. Mr. Lennes then introduced Developer Dean Limoges,
Construction Manager Dan Huebert, and Mr. Jim Mills, Sales and Marketing.
Mr. Limoges commented on the project of renovating Hutch Hotel into offices. He
commented the project agreements are signed and they are ready to proceed with
sales.
Mr.Mills commented on the marketing of the office spaces and the forms of
advertising to the public. He explained the use of the building floor by floor.
Mr. Huebert commented on the renovation of the building and the process to be used.
Discussion followed on the time lines. Mr. Limoges stated that by early fall the
building should be sold out, and construction should begin in late fall.
A motion was made 6y Council Member Mlinar to close the hearing at 6:14 p.m.,
seconded by Council Member Peterson and unanimously carried. Mr. Mlinar made
a motion to recommend approval of the Tax Increment Financing Plan for District
No. 10 and to adopt Resolution No. 10506 and No, 10507. Seconded by Council
Member Peterson the motion carried unanimously.
(b) IMPROVEMENT PROJECT NO. 96-02, LETTING NO. 2 (ARCH STREET)
Mayor Torgerson called the hearing to order at 6:15 p.m.
Director of Engineering John Rodeberg explained the project location.
Council Member Mlinar moved to close the hearing at 6:17 p.m., seconded by
Council Member Peterson and unanimously carried Council Member Mlinar made
a motion to approve project No. 96-02, Letting No. 2, and to adopt Resolution No.
10513 and No. 10514 approving the plans and specifications and advertising for bids
on July 28, 1995. Seconded by Council Member Peterson the motion carried
unanimously.
0
0
0 CITY COUNCIL MINUTES - JUNE 27, 1995
0
'W.Gja 10 twim =11 I EfIRRM : 9136111161 &IF.121 • •
(a) PRESENTATION OF RESOLUTION OF APPRECIATION TO DORIS AND
TOM DAGGETT
Mayor Torgerson presented a plaque of Resolution of Appreciation to Doris and
Tom Daggett for the donation of land in Industrial Park.
(b) REPORT ON MID- MINNESOTA DEVELOPMENT COMMISSION BY EUGENE
HIPPE
Mr. Eugene Hippe, representing Mid - Minnesota Development, commented on the
history of the commission and the development in the area He stated the Regional
Development Act made provision for local representation of elected officials to be
appointed to the commission.
Mr. Hippe gave each Council Member a copy of the Technical Assistance document
and reviewed its contents pertaining to Hutchinson and McLeod County. He stated
that housing inspections for Hutchinson are now contracted to Mid- Minnesota
Development.
(c) PRESENTATION BY CONSULTANT BILL GRASAVAGE ON HRA SMALL
CITIES GRANT APPLICATION
Ms. Jean Ward, HRA Executive Director, introduced Mr. Bill Grasavage.
Mr. Grasavage commented on the HRA Small Cities Grant Application and the
neighborhood rehabilitation project on Adams Street. He commented on the
response from the survey forms and the interest by the residents.
� 10:09) 1111111091-741121103 R oil
l.►!. I►!W, 1510 121
(a) CONSIDERATION OF ACCEPTING PETITION AND WAIVING
HEARING, RECEIVING REPORT, APPROVING PLANS AND
SPECIFICATIONS AND ADVERTISING FOR BIDS FOR LETTING NO. 1,
PROJECT NO. 96 -01 (DEFERRED JUNE 12, 1995)
5
CITY COUNCIL MINUTES - JUNE 27, 1995
0
Director of Engineering John Rodeberg explained the project on Krsiean Acres and
noted there would be some deferred assessments.
Discussion followed on the original platting and the concept of "ghost platting ".
John Rodeberg stated the residents were informed of the platting process. He stated
there will be a second informational meeting with the residents in the area.
Council Member Peterson made a motion to approve the report, plans and
specifications and to advertise for bids, and to waive readings and adopt Resolutions
No. 10496 through No. 10499. Seconded by Council Member Mlinar the motion
carried unanimously.
(b) CONSIDERATION OF APPROVING PLANS AND SPECIFICATIONS FOR
SOUTH GRADE ROAD AND LYNN ROAD PROJECT
John Rodeberg commented this was a federal aid project, and the city may only
approve the plans and specifications as the federal agency allows. He stated the
plans and specifications are at the State for review. Discussion followed on the
safety issues at the intersection.
Council Member Erickson made a motion to approve the plans and specifications,
to advertise for bids and to adopt Resolution No. 10512. Seconded by Council
Member Peterson the motion carried unanimously.
(a) CONSIDERATION OF COMPREHENSIVE AND LIABILITY INSURANCE
RENEWAL
Mr. Dennis Potter, Insurance Planners and Mr. Mark Flaten, American Risk Services,
explained the costs and decrease in the cost to renew the liability insurance. Mr.
Flaten commented on the cost benefits of increasing the deductible to $25,000 from
$5,000. He stated the $25,000 deductible would have a $125,000 cap as opposed to
the $50,000 cap with a $5,000 deductible.
City Attorney Anderson commented he has no concerns with going to a $25,000
deductible. Finance Director Ken Merrill stated raising the deductible makes sense
and would suggest establishing a reserve fund with the saving.
6 0
9 CITY COUNCIL MINUTES - JUNE 27, 1995
Council Member Erickson made a motion to approve the renewal and increase the
deductible to $25,000. Seconded by Council Member Mlinar the motion carried
unanimously.
(b) CONSIDERATION OF DEVELOPMENT AGREEMENT FOR SIMONSON
LUMBER COMPANY
City Attorney Anderson commented on the agreement and recommended the
Council approve the $175,000 purchase of right -of -way to complete the Bluff
Street bridge project.
Council Member Erickson made a motion to recommend approval of the agreement
contingent on review by staff and payment of $175,00 to Simonson Lumber for the
acquisition of right -of -way. Seconded by Council Member Peterson the motion
carried unanimously.
(c) CONSIDERATION OF DEVELOPMENT AGREEMENT FOR HUTCH HOTEL
. City Administrator Gary Plotz explained the agreement has not been received.
Council Member Mlinar made a motion to defer this item to the July 11, 1995
meeting. Seconded by Council Member Erickson the motion carried unanimously.
1 ul : ►1 •
(a) COMMUNICATIONS FROM COUNCIL MEMBER JOHN MLINAR
Council Member Mlinar stated the City/school auction will be held Thursday, June
29th.
(b) COMMUNICATIONS FROM COUNCIL MEMBER KAY PETERSON
Council Member Peterson commented on the ribbon cutting ceremony at Prince of
Peace Retirement Living open house. She stated there was an excellent attendance
of approximately 1,000.
(c) COMMUNICATIONS FROM CITY ADMINISTRATOR GARY PLOTZ
City Administrator Gary Plotz commented on a request by Crow River Habitat for
Humanity to waive the building permit fee. He stated the State surcharge of $46.82
7
CITY COUNCIL MINUTES - JUNE 27, 1995
would be required and recommended waiving the remainder of the fees.
Council Member Erickson made a motion to waive the building permit fees except
for the State surcharge of $46.82, seconded by Council Member Mlinar the motion
carried unanimously.
Mr. Plotz explained the directors now have the budget worksheets which are to be
returned by July 26th. He also reported there is a new merit worksheet which is now
in the review process.
Mr. Plotz commented on the dust control concerns in Vest River Park along Les
Kouba Parkway.
Bob Thistle of Springsted will be present at the July 1 Ith meeting with an extensive
report on the computer consortium study.
There was a meeting with Utility representatives regarding the results of the survey.
Gary Plotz commented on the oak wood that will be made into mulching chips and
sold at the compost site on Saturday, July 15, 1995.
(d) COMMUNICATIONS FROM DIRECTOR OF ENGINEERING JOHN
RODEBERG
Director of Engineering Rodeberg updated the Council on construction status.
(e) COMMUNICATIONS FROM MAYOR MARLIN TORGERSON
Mayor Torgerson commented on calls he has received regarding weeds in the city
especially behind Champion Auto.
. ice. ; • : r •. ..0 •.rr :: • ����.
(a) VERIFIED CLAIMS
The motion to approve the claims and to authorize payment form appropriate funds
was made by Council Member Erickson, seconded by Council Member Peterson and
carried unanimously.
0
0 CITY COUNCIL MINUTES - JUNE 27, 1995
I]
40
There being no further business, the meeting adjourned at 7:16 p.m.
0
MINUTES
BID OPENING
MONDAY, JUNE 12, 1995
Finance Director Kenneth B. Merrill called the bid opening to order at 3:30 P.M. Also present were
President Steve Apfelbacher of Ehlers & Associates and Administrative Secretary Marilyn J.
Swanson.
The following bids were opened for a $4,185,000 General Obligation Improvement Bonds, Series
1995A:
MUM y
.:
Dain Bosworth, Inc. $1,633,008.12 5.1750
FBS Investment 1,618,235.83 5.1280
William R. Hough 1,634,789.17 5.1835
Cronin Co. 1,642,056.92 5.2058
The following bids were opened for a $1,500,000 General Obligation Bonds, Series 199513:
INTEREST
BATH
Cronin Co. $795,349.87 5.5023
Dain Bosworth, Inc. 796,817.13 5.5131
The bids were referred to the Bond Consultant for review and a recommendation at the June 12,
1995 City Council meeting.
The bid opening adjourned at 3:35 P.M.
0
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0
NUNUTES
Parks, Recreation & Community Education Advisory Board
June 1, 1995
Members present. were Robert Hantge, Mike Cannon, J.P. Auer, Mike Schall, Bruce Rosenow,
Loretta Pishney, Rev. Brian Brosz and Peggy Westlund.
The meeting was called to order at 5:15 p.m.
The Minutes dated May 4, 1995 were approved by a motion made by Mike Schall, seconded by
Loretta Pishney, motion carried 8 -0.
OLD BUSINESS
Civic Arena Update - The replacement of the refrigeration system is on schedule. The old
equipment was sold to an organization in Clearwater, Florida.
Arbor Da X - The event took place at the Mcleod County Fairgrounds. It was well attended by
1,100 participants. Many volunteers helped make the program a success.
Bike Bonanza - There were 743 helmets ordered after the bike bonanza. Problems were
experienced with the manufacturers ability to fill the order and 138 helmets were back ordered.
The event was very successful.
Facility Use Policy District #423 - It is currently being reviewed by the policy committee.
Summer Pro r m - The Board reviewed the registration numbers for Community Education and
Parks and Recreation Programs. In Community Education, classes are cancelled if registration
fees can't cover instructor fees. In the Parks and Recreation baseball program numbers are down
in the third to eighth grade level.
Projects - Playground equipment has been installed in Roberts and Shady Ridge Parks. At
Oddfellows Park, located behind Super America gas station, the cement has been poured and the
sand filled in for playground equipment installation. A.F.S. Park will have a 6 1/2 foot statue
installed of a former Foreign Exchange Student. Dedication of the statue in the park June 10.
There are over 400 acres of park land to mow.
Figure Skating Program - The city has been working with the Figure Skating Task Force.
Together they have been working on budgets and advertised for an instructor in the Minneapolis
Tri un and the Ice Skating Institute of America (I.S.I.A.) Newsletter. Some applications have
been received, there will be a mutual list of questions for the interviews.
' C2/
MINUTES
Parks, Recreation & Community Education Advisory Board
June 1, 1995
Page two
Figure Skating Program_ Cont.
Other associations that are running programs are Tennis, Basketball, Hockey and Baseball. In the
future, the precision line will be run by the Figure Skating Association, the city will facilitate the
ice time for the association.
July Meeting - At the next regular meeting, July 6, there will be tour of the park projects.
Programming Minutes - The Board received and reviewed minutes from the Programming
Committee. The ballfields are in high demand.
&-,guests for use of Library Square and Fireman's Park - Robert Hantge made a motion to
approve the requests as stated in the letters to the Board. Rev. Brian Brosz seconded the motion.
The motion carried 8 -0.
Adjournment - Bruce Rosenow made a motion to adjourn at 6:20 p.m. Loretta Pishney seconded
the motion. Motion carried 8 -0.
klm 0
L_J
ORDINANCE NO. 95 -153, 2ND SERIES
PUBLICATION NO.
AN ORDINANCE OF THE CITY OF HUTCHINSON, MINNESOTA, AMENDING
SECTION 2.60 BY CHANGING CERTAIN LANGUAGE RELATING TO THE LENGTH OF
TERMS OF BOARD MEMBERS AND ADOPTING, BY REFERENCE CITY CODE CHAPTER
1 AND SECTION 2.99 WHICH, AMONG OTHER THINGS, CONTAIN PENALTY
PROVISIONS.
THE CITY OF HUTCHINSON ORDAINS:
Section 1. City Code, Sec. 2.60 is hereby amended as follows:
SEC. 2.60 LIBRARY BOARD. A Library board composed of seven
members, all of whom shall be residents of the City and shall serve
staggered €iv t--- -year terms, is hereby established.
Section 2. City Code Chapter 1 entitled "General Provisions
and Definitions Applicable to the Entire City Code Including
Penalty for Violation" and Section 2.99 entitled "Violation a
Misdemeanor" are hereby adopted in their entirety, by reference, as
though repeated verbatim herein.
Section 3. This ordinance shall take effect upon its adoption
and publication.
0 Adopted by the City Council this _ day of June, 1995.
Attest:
Gary D. Plotz
City Administrator
Published in the Hutchinson Leader:
First reading: June 27, 1995
Second reading.
0
Mayor
E
PUBLICATION NO. 4846
ORDINANCE NO. 95 -154
AN ORDINANCE OF THE CITY OF HUTCHINSON, MINNESOTA,
VACATING UTILITY EASEMENTS LOCATED IN
LARSON SUBDIVISION, AND BY ADOPTING BY REFERENCE
CITY CODE CHAPTER 1 AND SECTION 2.99 WHICH,
AMONG OTHER THINGS, CONTAIN PENALTY PROVISIONS
THE CITY COUNCIL OF THE CITY OF HUTCHINSON, MINNESOTA ORDAINS:
Section 1. Notice of hearing was duly given and publication of said hearing was duly made
and was made to appear to the satisfaction of the City Council that it would be in the best interests
of the City to vacate the drainage and utility easements located along the southerly line of Lot 5 in
Larson Subdivision.
• Section 2. That the utility easements to be vacated are described as follows:
The southerly 6 feet of the westerly 105.88 feet of Lot 5, Block 1, Larson
Subdivision, according to the recorded plat thereof.
Section 3. This ordinance shall take effect from and after passage and publication.
Adopted by the City Council this 11th day of July, 1995.
Marlin Torgerson
Mayor
ATTEST:
Gary D. Plotz
• City Administrator
RESOLUTION NO. 10515
CITY OF HUTCHINSON
RESOLUTION FOR PURCHASE
The Hutchinson City Council authorizes the purchase of the following:
ITEM
COST
PURPOSE
DEPT.
BUDGET
VENDOR
Blacktop Roadway -
Cemetery (330 Ton) $7,342.5(
Road Upgrade
emeter
Yes*
Wm. Mueller S Sons
*Dollars budgeted for r
ad rep
it and building dollars wilL
i
both le
used.
_The following items were authorized due to an emergency need:
ITEM
COST
Date Approved: July 11, 1995
Motion made bv:
Seconded by:
PURPOSE
DEPT. I BUDGET I VENDOR
Resolution submitted for Council action
bv:
RESOLUTION No,10516
Resolved that the City of Hutchinson enter into Contract
.
(recipient organization)
Number
with the State of Minnesota, Department of Transportation.
(FY 1996)
to provide public transportation service in City of Hutchinson
(service area)
Further resolved that City of Hutchinson agrees to provide
(recipient organization)
40%
percent of the total operating cost from local funds and 20% of the total
capital costs. Further resolved that authorization to execute the aforementioned Contract and any
amendments thereto is hereby given to the
Mayor or the City Administrator or the Finance Director
(title) (title)
Further resolved that the City Administrator or the Finance Director
(title) (title)
is hereby authorized to execute requests for reimbursement from the Minnesota Department
of Transportation.
CERTIFICATION
I hereby certify that the foregoing resolution is a true and correct copy of the resolution
presented to and adopted by Hutchinson City Council at a duly
authorized meeting thereof held on the 11th day of July 19 95
as shown by the minutes of said meeting in my possession.
1]
{name)
City Administrator
(title)
I]
E
E
TO: City Administrator Gary Plotz
FROM: Lieutenant Ron Kirchoff
DATE: July 5, 1995
RE: Application for Transient
Untiedt
Merchant Permit for Gary
On or about June 20, 1995 Gary Untiedt made application for a
transient merchant permit. The standard investigative techniques
were utilized and revealed no past criminal activity which would
prohibit Mr. Untiedt from obtaining a permit. In as much as this
is a transient merchant permit to sell seasonal goods, Mr. Untiedt
was not listed with the Minnesota Attorney General's Consumer
Division. Utilizing Mr. Untiedt's home area, Wright County was
asked to do a local background check. That background check
revealed no criminal activity. Based on the investigative criteria
followed, I would recommend Mr. Untiedt be granted the transient
merchant permit. .
s9S
// -�7
0
0
Aaron C. Searl
P.O. Box 388
Spring Park, MN
City of Hutchinson
City Center
111 Hassan Street SE
Hutchinson, MN 55350 -2522
June 15, 1995
To: Marilyn (counsel secretary?)
RECEIVED
JUI! 1 91995
CITY OF HUTCHINSON
55384
Enclosed please find the completed application for
peddlers, solicitors, and transient merchants. Jerry Untiedt
is the farmer and owner of the business and his information
is on the application.
We would like to run two (2) sweetcorn stands this
summer. One would be located at Super America on Hwy 7
(same as Ryan Bushman did last 3 year), and the second
location would be in the Hutchinson Mall parking lot in front
of Jo Ann Fabrics. We have gotten permission from both of
these parties to operate in their lots.
If you have any questions, please do not hesitate to call
me at (612) 270 -5471 or Jerry at (612) 658 -4672. Thank
you for your time and I will be looking forward to hearing
from you soon!
Thank You,
Aaron C. Searl
+` 'y',-''� r � •, .yea
.• s i J' Molise
If
r
s•
I
+` 'y',-''� r � •, .yea
.• s i J' Molise
r
s•
CM OF NM
CHY CENTER
111 NASSAN STREET SE
APPLICATION NUTCN04ON.MN SM25n
FOR
PEDDLERS, SOLICITORS, AND TRANSIENT MERCHANTS
2" x 2" Picture
required
0 How many days?
9
NAME and DRIVER'S LICENSE INFORMATION
NAME: J ate. Icj 4. 0 -Yj eel k
PERMANENT
ADDRESS: g7501)5a
�_; W11 Veda,
55,390
PERMANENT
TELEPHONE:��Z
�jy-
707oZ
TEMPORARY LOCAL ADDRESS:
TEMPORARY TELEPHONE ACCESS:
DRIVER'S LICENSE NUMBER (STATE) M Al (f) JOEMN
HEIGHT 6-0 WEIGHT -DEC EYE COLOR ,B/ve
FEES S LENGTH OF PERMIT REQUESTED
Months?
Or year?�
LICENSE FEES ARE AS FOLLOWS:
Application Fee of $25 applied towards the following permit fee(s)
Solicitors, per day ......... ............................... S 25.00
Solicitors, per year ........ ............................... $200.00
Transient Merchants, per day ............................... S 25.00
Transient Merchants, per year .............................. $200.00
Peddlers, per day ........... ............................... S 25.00
Peddlers, Per year .......... ............................... $200.00
BACKGROUND STATEMENT
HAVE YOU BEEN CONVICTED OF ANY CRIME, MISDEMEANOR, OR VIOLATION OF ANY
MUNICIPAL ORDINANCE, OTHER THAN TRAFFIC VIOLATIONS? YES NO '-�
IF YES, STATE NATURE OF OFFENSE AND PUNISHMENT OR PENALTY ASSESSED THEREFORE:
DESCRIBE NATURE OF BUSINESS AND DESCRIBE ITEM OFFERED: Z'
CJ 41 c A 4 /e // //�
i"f' Wr P v� Oct / -�-f m i �j.,� o'-f/ ti � -) l4
Q JL r4.4 X&fl .
DESCRIBE METHOD QF DELIVERY
V.u,e -
DESCRIBE YOUR SOURCE OF SUPPLY - NAME & ADDRESS OF SUPPLIER:
O({ /3f /y fS
s'"' sa
a ✓t/ /y /I'(„/. Ys-3-j
PROVIDE TWO (2) MCLEOD COUNTY PROPERTY OWNERS FOR CHARACTER REFERENCES: //
NAME S ADDRESS: C Mfr �% ✓.�c NAME d ADDRESS: 2, S4.-4. 0,
PHONE NUMBER: W-5," %,V/
PHONE NUMBER: /t- 'L`IJ� 56 6 ogw,
STATE LAST CITjYJ YOU CARRIED ON SAME ACTIVITY: /
jyveN S 4,4
CITY /STATE NAME: (jaedf+��o. /LI✓. `Ltn lc�c 6,-- l8t- 7/y
DATE OF ACTIVITY: FROM: TO: /0, / "iq
E
-2-
it
i
•
I hereby certify I have completely filled out the entire above applica-
tion and that the application is true, correct, and accurate.'
I fully understand that any person who violates any provision of the
Peddlers, Solicitors, and Transient Merchant Ordinance No. 673 is guilty of
a misdemeanor and upon conviction thereof shall be punished by a fine not ex-
ceeding $500 or by imprisonment for a peripd not exceeding 90 days or both, plus,
in either case, the costs of prosecution
�ee(a. C
ure of Aoo scan
Da to
• No application will be forwarded to the City Council unless received one
week prior to the regular Council meeting completely filled out with required
picture.
OFFICE USE
POLICE CHIEF RECOMMENDATION:
-3-
RELEASE OF I\FORP4TI0::
I*
As an applicant for a Peddlers /Solicitors /Transient Merchants License from
t ^e City of Hutchinson, Minnesota, I am required to furnish info ration which that
a;er.c :• may use in deter-.ining my =oral, physical, yenta: and financial q%a:ifica-
ticns. In this connection, I hereby expressly authorize release of any and all ic-
fey -_anon which you may have concerning me, including ir`o ration of a co-i'i-J.-a:
or privileged nature.
I hereby release the agency with which I am seeking application for license,
and any organization, company or person furnishing infor- -ation to that agency as
e.,-.)ressly authorized above, from any liability for da=age which may result from
furnishing the infor- ration requested.
Applicant's Full //
Printed `lame: �o�� � /��� �� <ICd<
(First) (Piddle) (Last)
Applicant's Address: `%7 -1'` ;�5�± Sj jw
(Numb er) (Street)
lft ✓ter /y �.% y� t iyr re`s s�
(City) (County) (State b 2i;)
Applicant's Birth Date: 3 Zip 4/,9
(Month) (Day)
(Year)
Applicant's Place of Birth: /tilP�s �A
(Ci ) (State)
Applicant's Social Security No.:
Applicant's Driver's License No.: p�
Date .
L -Of - ya(��1
App' cant's Signature
—�r'
0
•
CITY OF HUTCHINSON
APPLICATION FOR LICENSING
(UNDER ORDINANCE NO. 92 -57)
RECENED
JUV 2 9 1995
CITY OF HUTCHINSON
TYPE OF APPLICATION (PURSUANT TO SECTION 6.23, SUBSECTION 2)
A Commercial Hauling .......... FEE $100 /Year
X Residential Hauling ......... FEE $100 /Year
_X Recycling ...................FEE $ 50 /Year
APPLICANT'S NAME, ADDRESS, TELEPHONE NUMBER:
P; Lela IN alial
�� .
NAME AND TITLE OF ALL OFFICERS OF APPLICANT'S FIRM:
NUMBER OF YEARS APPLICANT HAS BEEN:
IN COMMERCIAL HAULING ...................... Aa Years
IN RESIDENTIAL HAULING ......................
RECYCLING ..... .............................. �0 Years
LIST
REFUSE EQUIPMENT
/ofd^
OWNED OR LEASED (INCLUDE
-f r Sow
RECYCLING
EQUIP T).ao-►� So
�s tia 6
� 9'3
DESCRIPTION
i(o!
For& L
MAKE /MODEL
9.S
Y Pte$
a w ex
CAPACITY
4#
Ws'
A,-CQ a K.
�� 7(�ea�lo• -=W* 4, 91
A+ 80 R °I /off SArfL, 9yoa 9°
$l Qello�rF znr +t 7Y0 u q/
LIST ADDITIONAL EQUIPMENT NEEDED TO PURCHASE OR LEASE TO MEET
LICENSING REQUIREMENT FOR ADEQUATE TRANSIT VEHICLES
(SECTION 6.23, SUBSECTION 4,E)
^(a 1" e-
INSURANCE COVERAGES (SEE SECTION 6.23, SUBSECTION 4, D)
NAME, ADDRESS, TELEPHONE NUMBER OF AGENT:
FAMe ": e+— .27': tz /ems 7'..
NOTE: Attach insurance binder to application form that
meets or exceeds limits established in the ordinance.
MONTHLY SUBMISSION OF INFORMATION TO CITY ADMINISTRATOR
(SEE SECTION 6.23, SUBSECTION 9)
Are you aware of your responsibility to submit names and
addresses of your business and commercial account no later
than the 10th of each month to the City Administrator?
)_ YES
NO
Are you willing to maintain a local telephone number and a
daily 24 -hour answering service to handle service questions?
YES
NO
I hereby certify that I have completely filled out the entire
above application, together with the attached and executed Release
of Information Form, and that the application is true, correct, and
•a)q - 91T`
Date
0
0
0
RELEASE OF INFORMATION FORM
As an applicant for a license from the City of Hutchinson,
Minnesota, I am required to furnish information which that agency
may use in determining my moral, physical, mental, and financial
qualifications. In this connection, I hereby expressly authorize
release of any and all information which you may have concerning
me, including information of a confidential or privileged nature.
I hereby release the agency with which I am seeking
application for license, and any organization, company or person
furnishing information to that agency as expressly authorized
above, from any liability for damage which may result from
furnishing the information requested.
11
Applicant's Full
Printed Name: 0 A R.A
Applicant's Address:
Applicant's Birth
Date:
(First) (Middle)
,Sao n/, 6 rbaG
(Number) (Street)
0-,O-,t V e r 0-a.tVQA.
(City) (County)
is a 9
Applicant's Place Y r lip I S yr)/\f
of Birth: (City) (State)
Applicant's Social Security No.:
Applicant's Driver's License No.:
Date: 4 a;F.9S
0
Year)
Applic 's Signature
.S53 /S-
D.
1 612 234 4240
JUL -05 -1955 16:11 FROM CITY OF HUTCHINSON TO 9-16I2e6412135
zbKUWjr_•rr_M
Form No. 235-A.0c.troe br
M.h W,ew -ON. &'-
RETAIL "ON SALE"
*trite of Ininneocita,
COUXTY McLeod
- - . 1 ..... . . .... ....
To the ... ... qi Y. 99mac.i-11 ......... 1. ......
R.01i01
C i Hutchins
..... on ................ . .. ..... . ........ ......
.Of tbe. .. . _ ................_...Of... Hutchinson
. ...................................
........ .... .. ........... ....................................... I ........ I State of Minnesota:
hereby ap'V4zli for a Ueeoee for the tarn, of ... . .............. . . ....... . .. ........... ......
............... . .. .. ..
___ _-4tawy of--- --__ - -- ........ .. ..... ..... ........ . ......
At Rat-U Onkr, Non-Intoxicating Malt Liquors,
as the same are defined by Saw, for ooneampdim "ON-' those cort"4n P".&Aese in the......_ _.._.........._._._............
..._.... .I.........._..._....._..4..... .1 . . . . . . ... . . . . . . . . . . . . . .
doporibed as falZo . ta-wit
at whic), place said app"cans opera".. the aoualrrese o1 -._. - __6? ...
................ ........... .... ... -.1 . ....... . .......... ... ........ ... . ........ .. .. I ... ... I
and 00 that end r@p?V*W7 . ...... -a a state_...ae fotlaws:
2-ha.6 said applicant............ a/)"# 47'" S Of 00d "ban" 0haractor,
a" eputa; and ha. ... _aftatnod Ow age of 01 W�; shat,_ ... =91'
e4tabl4h~nt for which MW lioeaue wU4 be tore," if 4hie applica4tiam " granted,
That " manicfaetu of eu4ch malt jjquors has any awmarejap, im whole or in part,
in said bg"tnase of said app&,aa" .. cr any intwroet $her";
That 'a" this appu.'am pw-'.Oa t and eubjoa #0 all "a lava of Ae state of
Arirereemta and the ardzaoveose and res"40"ane of .......... — ------- -
appl&eaUd thereto, Wh(17& are hereby NZado a Part hersof, and h#FVZW a0rW_-.t* observe and obey the same:
.. ..........................
Recommend approval with restrictions and requirements as in the past.
Driver's License I.D. to be required for purchase.
Steve Hadson. Police Chief
Each applicant further states that ___he is not now the holder of, nor has __Ae made application for,
nor does --he intend to make application for a Federal Retail healers Special tas stamp for the sale of
gntoxicatinm liquor.
JUL 7 1995
�4'
P. O. ....... .
,oddrom ..... ... .... .....
W COPENHAGEN SKOAL
PULLING CIRCUITSM
Coca -Cola Classic NTPA
Power Pull Nationals
August 1 & 25 1995
McLeod County Fairgrounds
Hutchinson, Minnesota
Tickets - $9.00
Advance Tickets - $8.00
Sold at:
Champion Auto, Hutchinson
Area NAPA Stores
Sponsored by Coca -Cola
�re6
Trade -Mark
CHEVY
TRUCKS
Kendall
MOTOR OIL
Tuesday. 7:00 a.m.
Four Wheel Drive Trucks
Two Wheel Drive Trucks
Super Stock Tractors
Modified Tractors
Super Stock Four Wheel Drive Trucks (State)
Modified Stock Tractors (State)
Wednesday, 7:00 p.m.
Four Wheel Drive Trucks
Two Wheel Drive Trucks
Super Stock Tractors
Modified Tractors
Modified Stock Tractors (State)
Super Stock Four Wheel Drive Trucks (State)
... 11 ... .... .. UJ ..I,
of the Government ancc ficers� Asso tio,i.
Ok Minnesota PV N
Consoftium Finds
Benefits in Sharing
By Part Norton
When members of a community agree to
pool some of their resources for the com-
mon good, they likely will get back more
than what they put in. A group of Mince-
am cities and government agencies have
been reaping the benefits of sharing for
more than 20 years. Their consortium,
named LOGIS (Local Government Infor-
mation Systems Association), has provided
them with data processing systems and
services that have unique advantages only
sharing can provide.
Sharing and cooperation are central to
the LOGIS consortium, composed of 24
Minnesota municipalities and government
ate. By combining their resources,
LOGIS members have been able to attain a
level of data processing service that would
be difficult or prohibitively expensive to
acquire separately. Along the way, they
discovered that sharing and cooperation
a consortium had benefits beyond
1111rst cost savings— benefits that have
their operations in many ways.
Structure and ffistory of LOGIS
Goes and agencies become members of
LOGIS by signing a joint -powers agree-
ment (Thus, in a legal sense, LOGE is a
governmental unit.) LOGIS is controlled by
a board of directors containing one
representative from each member mum a-
paliry /agency. The board approves the-
broad aspects of LOGIS, such as its
direction and annual budget. An executive
committee, composed of five representatives
elected by the members, oversees more
detailed aspects, such as approval of
expenditures, setting operating policies, and
service charges. The executive director
handles day - today management duties and
works with the executive committee and
board of directors to develop long -range
Policies-
The consortium is organized and
controlled by nonelected officials tither
than dry councils or mayors, which
removes it somewhat from political
pressures. Like any publicly funded
organization, however, some political
considerations still apply.
• The funding for LOGIS comes from
�FC?(Jl,TA 17 G�v
STATE /PROVINCIAL HIGHLIGHTS
monthly charges billed to its members.
These charges cover almost every aspect of
LOGIS services, including facilities,
unlimited support, hardware and software
enhancements, "bug fixes," hardware and
software consulting, training and other
project work. These charges are difficult to
compare with other vendors because other
vendors' "maintenance" charges typically
consist of only enhancements and bug
fixes. For example, if a legislative action
requires a change in software, LOGIS
provides that change at no additional
charge.
LOGIS was created in 1972 as a
response to the needs of municipaliries at a
time when cities were beginning to
understand the advantages of data process-
ing, but the cost of data processing
hardware, software, and staff were too
high for all but the largest cities. Seven
municipalities reasoned char they could
afford access to data processing by
cooperating with one another and sharing
costs. Thus, LOGIS was born.
Operations began in 1973 with a remote
communicarions link to computers in Santa
Clara, California. The initial applications
were financial, fixed assets, payroll, and
LOGIS MEMBERS
AND POPULATIONS
ChylAgen y
Poputsom
Apple Valley
x7,802
Brooldyn Center
28,004
Coon Rapids
59,945
Cottage Grove
24,769
crystal
23,426
Eagan
52,866
Eden Prairie
43,089
Edna
46,249
Farmington
8,000
Golden Valley
20
on
oup
LakeVWG
29,994
Maple Grove
42,281
Metropolitan Council
WA
Mkrbbnka
50,096
New Hope
21,452
Norli wart Cable Commission
WA
Oak Greve
5,765
Orono
7,323
Robb4odale
14,149
St Louis Park
42.755
&*imp"
12,142
Stab of Mirro9ote
Baking Codes and SlwMetds WA
While Bear Lake
25,153
Total Population
608,281
WA = not applicable
utility billing. (These "core" applications
continue to be the most heavdv used
systems offered by LOGIS.) It soon was
apparent that a local data processing
provider was needed; so in 1974, LOGIS
moved its operations to the Hennepin
County Computer Center in Minneapolis.
In 1978, operations were converted to
minicomputers, which allowed LOGIS to
provide additional applicatons, such as
property data, special assessments, and
vehicle management. In the early 1980s,
LOGIS moved operations to its own
facility in Brooklyn Center, Minnesota, a
suburb in the northwest quadrant of the
Twin Cities metro area. This move was
necessary so LOGIS could serve its
growing membership and increasing
number of applications. From offering just
four applications in 1973, LOGIS today
has evolved to provide data processing
solutions from a single support organiza-
tion chat encompass a full range of data
processing systems and services. Its current
membership stands at 21 cities and three
government agencies.
Processing, Sofrware, and Support
LOGIS members can choose either
central site or distributed ('in- house')
processing. With the central site option,
processing is carried out on computers at
the LOGIS offices. Members communicate
with the central site computers via termi-
nals or terminaltmularing personal
computers (PCs) across high - speed,
dedicated phone lines. Output is panted at
the LOGIS offices and sent to members via
courier. Recent advances in wide- and
local- area - nerwork technology have made
it possible for central site members to have
"distributed" printers in their offices.
These printers are able to receive and print
reports and other output from the central
site computers.
)With the distributed processing option,
both the processing and the printing of
output are carried out at the members'
offices on their own computers. The
distributed site computer is capable of
using all LOGIS applications, and LOGIS
srill provides complete software support.
The range of software applications that
LOGIS now offers for its members includes
financial controls (with integrated fixed
assets), utility billing, payroll, human
resources, police, geographic information,
parks and recreation, fleet management,
property data/assessments, permits and
inspection, and additional specialty
applications. Members choose which
JU 1995 • GOVERNmE FwJ u REV 43
Exhibit 1
DATA PROCESSING (DP) COSTS: LOGIS VS. NON-LOGIS CITIES
-LOGIS Gilles
Large Nort Sma
City A City B City C C City F
Population 53 ,000 52AW 49,000 23,000 17AW 25,000
Daerlptlort/Cale9ory
DP oosb -1994 actual
&A*9Spam
Annual allocated hardware costs
Years for education
Annual allocated software costs
Years for allocation
Total estimated annual costs
Populatioll
Descrollorucaftory
DP Costs-1994 actal
SuildYt01Pace
Eagrtard suppree
Estimated MIS personnel
LOGIS special prolects (estaimeted)
Conas+icatioro
Total MkntMd annual oasts
Average "U..tand cast tor.
5787,500
$364,400
$361,000
$84,000
:2801560
$74970
20,223
91319
4,745
2,847
3,796
10,629
54.728
75,386
52,857
30.000
14.000
22,6
5
5
7
5
5
5
84,631
10,600
85,714
26,000
7,000
26,009
5
5
7
5
5
5
$ 347, 082
$ 459, 687
$504.316
$142,817
$285,356
$134,484
LOGIS CHlea
Large Cities-
Small Cities
City G
City H
City 1
City J
City K
City L
51,000
29,000
14,008
27AW
14,000
23,000
$204,000
$213,000
$226,000
$105,000
$109,000
$108,000
949
949
3,322
1,424
0
919
2,500
2,500
2,500
1,500
1,500
1,500
37,500
42,500
5.000
20,000
5,000
10.000
5,000
5,000
5,000
5,000
5,000
5,000
4,600
3280
1,900
4,840
1,900
4,120
$254,416
$ 287, 016
$243,377
s138,158
$121,M
$129,190
Large non -LGGIS $ 437,028
Small non -LOGIS cities:
$187AN
Large LOGIS
cities: $254,918
Smog LOGIS ddes:
$129,7W
' Thew area does have ear tr1@z1 a)qowKftrm d LO018 d§W
Sour Survey w wracipr ExpendRiiess bar Norman Prooselft Sysams one Services, an trweperbed wet w* .
applications they want to use from the
pod of available systems. They can use as many
or as few of these applications as they wish,
and they only pay for those applications
they use.
Resources are set aside so that, as
applications 'age" (Le-, become obsolete),
a replacement an be provided. This
guarantees that applications are state of the
art Integrated applications transfer
appropriate data to one another automari-
cally. For example, information from
LOGIS' property data system an be
accessed for use in its permit and inspec-
tion management system.
Report-writer software allows users to
ante custom reports from the databases.
This type of software also allows users to
download data to PCs in a variety of
spreadsheet and database fOflrlars.
A LOGIS Help Desk provides complete
telephone support for all applications -
those it acquires from other vendors as well
as its own applications. Since LOGIS is
tended to be the data processing depart-
ent for its members, users have unlim-
44 JOE 1995 • GOVERMM FINANCE RMEW
ited access to telephone support and the
expertise of the other LOGIS staff. Support
also is provided for conversion and post -
conversion issues.
LOGIS customizes training for each of its
applications. Each member is alkxted 15
hours of training per application per year
however, this time an be "spent' in any
way the member desires. A member an use
more than 15 hours on one application and
less on another. If members use up their
allotment and want more training, they are
charged a Flat hourly rare char is often less
than half that charged by other training
facilities. Periodic seminars and workshops
about various aspects of applications also
are provided.
For those applications developed in-
house, LOGIS writes and distributes its own
user manuals. For applications acquired
from outside vendors, the vendors' manuals
are copied and distributed so that members
have the latest versions.
For central site users, LOGIS handles all
aspects of data processing operations,
including the running and printing of batch
jobs, maintenance of communication links
to the central computers, and so forth. For
distributed site users, LOGIS advises and
assists in the selection of hardware,
preparation of the computer site, and
training of the computer operator. LOGIS
also provides ongoing user and technical
support for the computer operation.
Advantages of a Consortium
The advantages of LOGIS' consortium
approach grow "rurally out its general
principles of sharing and cooperation. For
example, members' data processing costs
can be reduced by sharing development
and technical expenses. By sharing LOGIS
personnel, members can reduce or
eliminate the need for maintaining their
own data processing staff. This also
reduces the costs associated with staff
turnover (e.g., productivity loss, hiring,
training). It should be noted that some
members have hired a management
information system (MIS) coordinator to
address PC issues and act as a liaison with
the LOGIS staff.
te QRecently, the LOGIS executive commit -
commissioned an independent study to
compare actiral data processing costs
between LOGIS member cities and other
cities of similar size. This study, conducted
by a leading public financial consulting
firm, took into account data processing
costs that may be "hidden" in a city's
budget. For example, several employees of
a city may be classified as being in the
finance department although the majority
of their duties are data - processing related.
The results of the cost study, summarized in
Exhibit 1, show conclusively the financial
advantages of the consortium approach.
LOGIS an be used as a "single - provider
sdution' for its members. This is an
advantage because of superior product
integrarion. If a user confronts a problem
with an application, hardware, or commu-
nications, the problem will be taken care of
within LOGIS. Users are not referred to
other companies for a solution.
Invettahaas in new hardware and
software are part of the charging structure.
Ovv the years, LOGIS has continually
upgraded its computers, peripherals, and
applications without its members paying
additional or special fees. Thus, members
an able to plan their budgets without
for any surprises in data process -
costs.
Member data are extremely secure. All
data are backed up every night, and a copy
is stored off -site. If a disaster occurs at a
member's facility, all data are restored
within 24 hours, and offices with terminals
are provided to continue the processing of
critical applications. Most organizations
cannot afford to maintain a backup site or
pay the monthly lease costs for disaster
recovery services. LOGIS offers this service
at no extra cost-
As a consortium, LOGIS provides a
unique capability to its members: the
flarible sharing of data. LOGIS has in place
a sophisticated web of wide area networks
(WANs) and local area networks (LANs)
that allow members to share certain data
with fellow members while keeping other
data private. For example, users of the
police system can share data about a
cdminal's past offenses, aliases, and
as3cidates. Since criminals rarely confine
their activities to our community in a large
metro area, this feature can be of enormous
benefit when conducting investigations.
The WAN also makes it possible for a
member's LAN or distributed site computer
to be managed from the central offices.
Wrib"crments and upgrades an be
performed in a timely manner without
intervenrion from member staff. Full data
securiry can be maintained.
LOGIS also acts as a forum for sharing
the ideas and experiences of its members.
For example, a finance officers group meets
regularly to discuss issues related to both
LOGIS and other topics, such as brain-
storming abour how to handle new state
tax laws or accounting procedures.
All members benefit from shared
technological expertise. For example,
LOGIS has extensively investigated
handheld meter - reading devices and shares
this expertise with its members. The
consortium can facilitate the bidding and
implementation of these devices, saving
each member many hours of research and
investigation.
Through user groups, members have a
direct say in which enhancements will be
made to an existing application and which
features a new application will have,
nuking the -, groups more influential
than similar national user groups for
applications from other vendors.
The LOGIS Financial Application
An interesting case study demonstrating
the advantages of a consortium approach is
the acquisition of LOGIS' current financial
controls application. In early 1991, it
became dear that the financial controls
application dien in use was at the end of its
productive life. A new system was needed
to keep pace with advances in hardware
and software.
Although a consortium may seem to be
at a disadvantage in that it must please all
its members, the process went smoothly for
LOGIS. A selection commiaee was formed
consisting of members, staff, and a
consultant. Users had a great deal of input
in choosing the system, and the mix of
members helped ensure that the committee
examined as many aspects of the candidate
systems as possible.
The buying power of the consortium has
made it possible to provide a stateof -tbe-
art system to its members at a fraction of
the normal cost. The relative low -cost
through LOGIS enables a small city to use
a system that would be extremely difficult
for it to afford on its own For example,
LOGIS purchased a license for the stew,
system at a per- member cost of approxi-
mately 511,000, with maintenance fees of
approximately $1,500 per year. Without
LOGIS, a city typically would pay more
than 590,000 for license fees and $11,000
for maintenance fees. Small cities may not
have huge budgets, but through the use of
a topof-rhe -line computer system they can
have complex accounting strucrures.
Challenges in the Furure
While there are many strengths that flow
from the consortium concept, there are also
a few challenges which tend to stem from
LOGIS' advantages. For example, reaching
consensus among members on an impor-
tant issue sometimes can be a long process.
Thus, it an be difficult to react quickly to
changes in the industry. One of LOGIS'
weapons against this problem is the long -
range planning committee. This commit-
tee —which consists of member representa-
rives, staff, and (at times) consultants —
examines the current situation and future
opportunities, determines goals to strive for
and develops plans to achieve thou goals.
LOGIS must compete with private
vendors for market share and retention of
customer base- To compete effectively,
LOGIS researches continuously to improve
its software products and data processing
smites. Recently, it has increasingly been
moving towards client/server technology:
its two most recently acquired systeros-
parks and recreation and fleet manage-
ment—am client/server based. Client/server
technology an run programs and process
information on a number of computers
regardless of where the programs or data
are located. It is easily salable based on
user needs and is less dependent on
proprietary computer hardware.
Perhaps the most notable achievements
of LOGIS are its longevity and success.
There have been few groups in the nation
that an match the LOGIS record of
successful cooperation between widely
different cities and agencies over such a
long period. Much of the credit must go to
LOGIS members, who understand at a
basic level that they are essentially share-
holders in their consortium. The success of
LOGIS is their success. 0
li x Nonon a a tac &meal with /or LOGIS.
Jane 1995 • Govttwiutarr Fwu a R-Eww 45
0
0
n
U
Report on the
Survey on Municipal Expenditures
for
Information Processing
Systems and Services
Phase I: Non -LOGIS Cities
Prepared for
Local Government Information
Systems Association (LOGIS)
December 7, 1994
to '4,
0
Table of Contents
A. EXECUTIVE SUMMARY . ............................... 1
........................
B. SCOPE OF SERVICES ........ ...............................
C. REPORT OF FINDINGS
General Information ..................................... ...............................
1 -3
Current System Costs ..... ............................... ............
3
Current Annual Operational Costs ................ ...............................
3-4
Miscellaneous Costs .................................... ...............................
45
FutureCosts ................................................ ...............................
5
Conclusion....................................... ...............................
............ 5-6
• D. COMPILATION OF SURVEY RESULTS .......... ...............................
1 -5
0
E. SURVEY RESPONSES .................................... ............................... 1-6
SPRINGSTE
Executive Summary Section A
• The Local Government Information Systems Association (LOGIS)
has engaged Springsted Incorporated to conduct a survey of cities
in Minnesota in order to determine the level of computer
applications utilization by cities which are not currently using the
services provided by LOGIS.
C1
The survey results in a number of preliminary observations,
outlined as follows:
The survey shows a trend to increasing hardware and software
usage. This trend has been noted in private industry.
The survey shows that larger cities have used computer
applications for a longer period than smaller cities, and have
upgraded their hardware more times.
The survey shows that all cities, large and small, have a significant
utilization of computer applications. None of the survey participants
anticipate a decline in the amount of money spent for hardware and
software in the near future.
The survey shows that size is not a factor in predicting computer
utilization. Small cities which have significant operating divisions
make extensive use of computer applications.
The survey shows that, in general, larger cities have greater
expenditures for data processing, both in absolute dollar amounts
and as a percentage of their budgets.
The survey separated mainframe data processing tasks from PC
processing tasks, such as word processing, spreadsheet analysis
and related tasks. The mainframe data processing tasks performed
by each city surveyed are detailed in Section E.
% SPRINGSTED Page A -1
Scope of Services Section B
• Springsted, working in conjunction with LOGIS personnel,
developed a questionnaire which inquired about the computer
applications utilization of the entity answering the questionnaire.
The questionnaire was sent to six (6) cities, each selected to
represent a reasonable cross - section of cities in Minnesota. The
cities selected for participation in the survey were not selected
using strict scientific criteria to insure that the participants were
statistically representative of cities who currently do not utilize
LOGIS services.
The cities were sent a copy of the questionnaire and a site visit was
made by a Springsted representative to complete the
questionnaire. Prior to conducting the survey of the participant
cities, Springsted went through the survey questions with a city
which uses LOGIS services. The goal of this "trial run" was to
make sure that the questions included in the survey were designed
to collect the information necessary for LOGIS to use in its analysis
of the data.
The cities included in this survey are identified by a number only.
The actual identity of each participant city has not been disdosed to
• anyone at LOGIS. This is done to insure confidentiality of the
results and insure complete cooperation from the participating
Mies.
D
The following discussion examines the several responses by the six
cities to the survey questions, and is organized according to the
categories contained in the questionnaire:
(1) general questions,
(2) a summary of the current costs of the systems,
(3) current annual operational costs,
(4) miscellaneous current costs, and
(5) future costs.
The responses from the survey sheets, as they are shown on the
table, are organized by the three larger cities and the three smaller
cities. Each city has one identifier using Roman numerals.
Footnotes and the separately attached pages showing the
responses to question 13, the applications used on each city's
current system, are coded by those city names.
% SPRINGSTED Page B-1
of
Section C
• General Information
1. During the last three years (1992 to 1994) the expenditures
for data processing purposes have increased for three of the
cities, have stayed about the same for two cities and have
decreased for one. The decrease has come about because
of a reduction in the payments for hardware; without that
change, all of the larger cities supported increases as did one
of the smaller cities.
2. The three cities that indicated an increase in total costs stated
that approximately half of the increase was due to hardware
costs. Software increases were a lesser part of the total
change. City III had a 30 percent increase in personnel costs.
City I stated that it had a personnel cost increase equivalent
to inflation. (For purposes of this discussion, we are
assuming that personnel costs include expenditures for fringe
benefits.)
3. As stated previously, the single city that showed a decrease in
expenditures during the three years had a reduction in
payments for hardware.
4. One of the two cities that showed the costs of data processing
to be approximately the same over three years said that there
had been no shift in the costs. The other city said that it was
able to reduce its personnel over the past five years in various
departments outside of the data processing function by 2.25
full -time equivalents by upgrading its hardware and software.
5. Including all data processing costs, four of the cities are
planning to spend from a quarter of a million dollars to more
than a half - million dollars for data processing during 1995.
The other cities will approximate $100,000 each. The data for
this question is limited to mainframe or LOGIS -like
applications.
6. Four of the cities have 1994 budgets of $25 million to
$34 million. The other two plan to spend approximately
$12 million and $14 million, respectively. It should be noted
that one of the smaller cities has a substantial utility operation;
based on the amounts shown here, it is twice as large as any
0- of the three larger cities. (There is some duplicating of
% SPRINGSTED Page C -1
LOGIS
expenditures in these numbers because internal service funds
• of the smaller cities are allocated to the other funds of those
cities, and the central equipment fund of City III is partially
reallocated. Also, the amounts budgeted in the general funds
of these cities varied substantially, but the scope of this study
did not get into the types or volumes of the municipal services
provided, nor do the differences in the amount of planned
expenditures necessarily have any relationship to the data
processing costs.)
7. The 1994 data processing budgets dedicated to mainframe
costs appear to establish a pattern. The three larger cities
each have significant data processing expenditures. Two of
the smaller cities have expenditures about one -third the size
of the other, but that can be explained by the large role that
utility billing plays in the third city's operation. The data for
this question is limited to mainframe or LOGIS -like
applications.
8. The length of time that the six cities have had independent
computing facilities appears to congregate around two time
periods: 10 years and 20 years. Note that the smaller city
with the exceptional utility system has had computers for the
longest period of time.
9. Two of the cities have used the current hardware for seven
and 10 years, respectively. The others have upgraded more
recently.
10. One city has used its current software for seven years and
one for five. The others are three years or less. The city with
the oldest software also has had its hardware for seven years.
Software has been upgraded from zero to four times, although
the city with no upgrades states that it has ongoing
maintenance on its software.
11. The larger cities and the smaller city with the large utility
system have data processing coordinators or supervisors.
The other two cities have no person who has chargeable time
to the total system, but each of these two cities has an
employee committee which makes recommendations to the
% SPRINGSTED Page C -2
LOGES
city administration. (In the responses to this question, we
• have attempted to include only the mainframe costs.)
The four cities with the larger computer systems have various
computer staff members as detailed in the table. The two
smaller cities (IV and VI) receive their hardware and software
support from vendors_
12. The full -time equivalent personnel involved in the data
processing function ranges from none in the two smaller cities
to four in one of the larger cities.
Current System Costs
13. The PC's used as local area network devices vary from three
to eight for the larger cities and are virtually nonexistent in the
smaller cities. PC's are used independently in five of the
cities. (See Section E.)
14. The system hardware costs approximate a half- million dollars
or more for the larger cities and between $100,000 and
• $150,000 for the smaller cities. City V has a MacDonald-
Douglas computer that is used by its police and fire
departments for dispatching; it is of unknown vintage and cost
regarding both hardware and software.
15. System software costs vary for all of the cities.
Current Annual Operational Costs
16. The annual maintenance costs on all of the computer
hardware used in city applications varied from $25,000 to
$75,000 for those four cities which are most involved in
computer operations. The two smaller cities with smaller
operations approximated $10,000.
17. The annual maintenance costs on operating system hardware
ranged from $4,000 to $75,000 for the larger cities and from
$0 to $5,000 for the smaller cities. The city with no
maintenance costs is the one with the newest hardware.
% SPRINGSTED Page C -3
LOGIS
18. The annual maintenance casts on application software ranged
• from $0 to $10,000 for the larger cities, and from $10,000 to
$16,000 for the smaller cities. Cities IV and VI may reflect the
difference in cost when it is necessary to employ vendors for
maintenance compared to having the capacity on staff.
19. One larger and one smaller city hired outside vendors for
support for applications and hardware. Both were on a
contractual basis rather than an hourly charge.
20. The larger cities planned to spend from $10,000 to $23,000
for data processing consulting services costs. The smaller
cities planned none at all.
21. The diversity of the annual cost of supplies probably reflected
the development of the several systems. They ranged from
$8,500 to $42,000 for the cities with larger computer systems.
The two smaller cities averaged $3,000.
22. Two of the larger cities and one smaller city plan capital
expenditures for data processing in excess of $120,000. The
• other three cities are under $80,000 each.
Miscellaneous Costs
23., 24.,
25., 26.
and
27. The questions in this section were added to the questionnaire
in case these costs were not included in response to the
request for data processing costs in question #7. The three
larger cities and City V did have the costs for questions #23 to
#27 included in that earlier question. One of the smaller cities
budgeted $4,000 for professional training (to be provided by
vendors) for all staff for data processing and the other had
$2,000. City IV had none of the remainder of those costs
budgeted.
The larger cities budgeted from a half -day per month to two
days per month (full -time equivalents) for metropolitan -area
user group meetings. City V budgeted five days per year and
the other two cities had none.
% SPRINGSTED Page C -4
LOGIS
28. The matter of determining the cost of the space allocated to
• the data processing function easily could have become
bogged down in defining the factors that went into making up
the cost rate (cost of the building, heat, light, janitor service,
etc.). It was concluded that the survey would use the square
foot rate that the Local Government Information Systems
Association is paying for its facilities. Therefore, the amount
of space used by each city for data processing operations
became the variable. The larger cities ranged from $20,000
to $4,700. Two of the smaller cities were under $4,000.
City VI has the newest city hall and that may reflect the
amount of space provided.
29. Apparently only City III provides off -site storage.
30. Four of the six cities maintain records of communications
costs for equipment and telephone lines to off -site facilities.
Two larger cities spend $5,500 and $4,000; two smaller cities
spend $400 and $500.
is Future Costs
31. and
32. Four of the cities are planning new or replacement systems in
1995 or later years. Those expenditures will be for hardware,
software and consulting and will total $967,000. Major
subsystems will cost $110,650, a total approximating
$1,100,000.
Conclusion
Each reader of the accompany data will draw conclusions that are
different from those of anyone else; there does not appear to be
any package of information that "snaps out." Nevertheless, there
are some statements that can be made that may draw a focus to
certain parts of the study.
The information from the six cities that were surveyed for the
purposes of this study was arranged so that the data from the three
larger cities was separated from that of the three smaller cities.
The data did not lead to that precise distinction. One of the smaller
% SPRINGSTED Page C -5
LOGIS
cities has a utility system so large that, more often than not, it
• moved the data from that city into a closer relationship with the
three larger cities than with its smaller compatriots. This is
especially noticeable when comparing the size of budgets, length of
time that the cities have had computer facilities, the size of
computer staff and the cost of current operations. Other
information was more unique to each city.
•
J
To some extent, four of the six cities are expecting an increase in
costs from 1994 to 1995; a fifth city improved the data processing
services that it provided by upgrading its hardware and software
and decreasing the amount of city staff, in departments other than
data processing, that are dedicated to data processing. Five of the
six cities are planning to spend a substantial amount of money to
upgrade their systems within this decade. The sixth city has just
completed such an upgrade.
PRINGSTED Page C -6
m
d
Q3
m
0
SURVEY ON MUNICIPAL EXPENDITURES
FOR INFORMATION PROCESSING SYSTEMS AND SERVICES
Survey Questions
�jq�1
L&Wt as
Smaller Cities
(�
Cilv lIIIII
CIN IV
CiN V
Ciry VI
General:
O
1. 1992 -1994 Total expenditures have:fel
Decreased
Increased
Increased
About the same
About the same
Increased
.0
2. Expenditures increased because of:
N/A
N/A
N/A
w
Personnel
5%
30%
5%
Hardware
50%
50%
45%
o
Software
30%
20%
45%
Additional Tasks
10%
O
Other
--&%
Total
100%
100%
100%
p
3. Expenditures decreased because of:
N/A
N/A
N/A
N/A
N/A
Hardware
100%
4. If expenditures remained the same,
has there been a shift?
NIA
N/A
N/A
No shift
N/A
Personnel
2.25 fewer FTE's
C
Hardware
Upgraded
Software
Upgraded
5. Budgeted Data Processinngg
Expenditures for 1995:fe1
$201,100
$472,000
$371,800
$82,000
$260,560
$107,000
6. Total 1994 City Budget:
General Fund
$20,920,300
$16,834,546
$13,012,500
$ 4,750,000
$ 6,171,300
$ 7,005,000
Utility Funds
4,770,000
6,508,505
2,736,700
Enterprise Funds
3,478,800
1,954,343
7,639,900
3,800,000
18,455,700
2,396,000
Internal Service Funds /b/
657,000
1,270,000
1,838,600
Special Revenue Funds
4,507,400
2,411,000
276,500
Recreation Fund
708,400
HRA
1,824,907
Central Equipment Fund /°/
1,410,900
Other Funds
318.717
690.900
240.500
Total 1994 City Budget
$33,676,500
$25,616,111
$24,596,607
$11,618,000
$26.864,400
$14,216,800
7. Total 1994 Data Processing Budget:(u)
General Fund
$172,500
$239,500
$213,600
$82,000
$ 65,120
$74,830
Utility Funds
12,300
92,600
43,440
140
Enterprse
Funds
2,700
27,800
43,440
All Other
Funds
4.500
147.400
2.000
106 560
Total 1994 Data Processing
Expenditures
$187,500
$364,400
$361,000
$84,000
$260,560
$74,970
8. Number of years operating
an
independent facility
22
12
18
10
25
10
0
9. Number of years using
O
current hardware
2
3
7
10
1.5
3
d
Number of gen @rations
of hardwarefel
5
3
4
2
2
2
SURVEY ON MUNICIPAL EXPENDITURES FOR INFORMATION PROCESSING SYSTEMS AND SERVICES
Survey
Questions
QW
Lar V les
Cl" I
CIN IV
Smaller Cities
C ty VI
Cn
General (continued):
10.
Number of years using current software
2
3
7
5
1.5
3
Z
Number of software upgrades(0
1
3
0
4
2
2
11.
Computer personnel.
—1
Overall Data Processing
Finance Dir. w/
MIS
IMS
Assistant to
DP Manager
No overall
rn
Direction(g)
DP Supervisor
Coordinator
Coordinator
City Manager
DP Manager
Hardware Support
Two Prgmrs.
Computer
Fin. Dir.
Contract
DP Manager
IBM and
-1%,
Specialist
-10%
-36%,
Wybrile
DP Supervisor
-45%
Two Prgmr./
Computer
-10%
Analysts
Operator
- 20% each
-20%
Software Support Two
Pr mrs. - 30 %,
Computer
Fin. Dir.
Contract
DP Manager
Vendor
DP Supervisor
Specialist
-10%.
-35%,
update
-10%
-`10%
Two Prgmr./
Computer
yearly,
Analysts
Operator
HTE Inc.
- 80% each
-80%
12.
FTE - Mainframe
0.82
0.55
220
None
1.70
N/A
FTE - Data Processing
4
2
3.45
None
2.50
None
Current System Costs:
13.
Applications used on city's current system Attached
Attached
Attached
Attached
Attached
Attached
14.
System hardware costs(h ):
Computer Systems Purchased
$190,714
$376,838
$ 57,000
Workstations
36,589
Included above
Terminals and Cabling
PC's, Disk Drives and Tape Drives
15,075
81,749
WA
N/A
10,000
60,000
N/A
Computer Room/Area Construction Costs 31,260
N/A
Initial Supplies
3,000
Other Costs
Total system hardware costs
$273,638
$458,587
$700,000
$150,000
$130,000
$114,281
15.
System software costs(h):
Payroll
$ 4,000
Financial Control
6,000
$119,100
Utility
10,000
Operating ystem
$ 74,330
7,100
Report Writers
N/A
N/A
N/A
4,000
Database Managers
Included above
rQ
ramng Languages/Toots
Pr mi
3,900
Utility Software
0
Other
348.825
10.945
Total system software costs
$423,155
$53,000
$600,000
$130,000
$35,000
$130,045
r
O
O
SURVEY ON MUNICIPAL EXPENDITURES
FOR INFORMATION PROCESSING
SYSTEMS
AND SERVICES
S
Smaller Cities
U)
Survey
Questions
C1I>LI
CiM III
City IV
CA"
City VI
Current Annual Operational Costs:
29
16.
Annual maintenance costs on hardware
$55,228
$ 28,600
$ 75,000
$ 10,500
$25,000
$ 9,383
Z
17.
Annual maintenance costs on
operating system software
$ 4,195
$ 2,000
$ 75,000
$ 5,400
$ 0
$ 3,000
m
18.
Annual maintenance costs on
In -house
0
application software
Cost N/A
$ 24,050
$ 10,000
$ 10,000
$16,000
$14,800
19.
Annual outside costs for
applications /hardware
$ 0
$ 2,000
$ 0
$ 27,000
$ 0
$ 0
Annual contract OR hourly charge
N/A
Contract
N/A
Contract
N/A
N/A
20.
Planned data processing consulting
services for the year
$10,000
$ 15,000
$ 23,000
$ 0
$ 0
$ 0
21.
Annual cost of supplies
$10,100
$ 8,500
$ 42,000
$ 3,350
$17,500
$ 2,650
22.
Budgeted capital additions for
computer and applications:
Additional Disks
$ 4,000
PC's/Terminals
$79,900
38,000
N/A
$30,000
Additional Software Modules
14,000
N/A
31,500
Bar Coding Equipment
4,000
Specialized Systems
42,000
Other
Total Budgeted capital additions for
computer and applications
$79,900
$100,000
$121,000
$0
$61,500
$0
Are the amounts shown in questions 16 to 22
included in the total shown In question 77 Yes
Yes
Yes
Yes
Miscellaneous Costs:
23.
Annual fringe benefits costs
Included in #7
Included in #7
Included in #7
$ 0
Included in #7
Included in #7
24.
Annual budget for professional
training for all city staftyO
Included in 07
Included In #7
Included in #7
$4,000
Included in #7
$2,000
25.
Travel costs if not included in 024
Included in #7
Included In #7
Included in #7
$ 0
Included in #7
Included in #24
26.
Metropolitan area user group meetings:
Time Commitment
Cost
6 days r.
12 daysryr.
24 days r.
None
5 days/yr.
None
Incl uded in 7
Included in 7
Included In 7
$ 0
Included in #7
$ 0
27.
Cost of aftending national or regional
user group meetings
Included in #7
Included in #7
Included in #7
$ 0
Included in #7
$ 0
v
w
r
O
O
T
m
0
r—
O
O
0
0
0
SURVEY ON MUNICIPAL EXPENDITURES FOR INFORMATION PROCESSING SYSTEMS AND SERVICES
Lar ties
Smal
U)
Survey Questions
)
CiN III
City IV
"ties
City VI
U
28. Total area utilized by the data processing
;0
operation:
Z
Computer Room
595 sq. ft.
650 s% ft.
200 sq. ft.
300 sq. ft.
400 total
1,120 sq. ft.
O
Data Processing Office,
)
Storage, Etc.
1,536 sq. ft.
432 sq. ft.
300 sq. ft.
0 sq, ft,
sq. ft.
0 sq. ft.
M
Cost Based on the
Square Footage Shown
$20,223
$9,319
$1,745
$2,847
$3,796
$10,629
29. Annual rental costs for oft -site storage,
backup materials, etc.
$ 0
$ 0
$ 500
$ 0
$ 0
$ 0
30. Annual communications costs to
vendors, State agencies, etc. Not significant
$5,500
$4,000
$ 0
$ 400
$ 500
Future Costs (Major Computer Upgrades):
31. Antldpaled budget for new, or replacement,
computing systems:(k)
All PC
75% PC
MF $300,000
Hardware-Cost(k)
$36,750
$55,000
PC $100,000
$40,000
$0
$ 0
Hardware -Year
1995
1994
1995
1996
Software-Cost(k)
$11,250
$86,000
$200,000
$35,000
$0
$ 0
Software -Year
1995
1995
1995
1997
Hardware/Software-Cost(k)
$30,000
Consulting -Cost
$10,000
$13,000
$ 50,000
$ 0
$0
$ 0
Consuttng -Year
1995
1995
1995
32. Major subsystems replacement If entire
Ali PC
75% PC
system is not replaced:
Hardware- Costfrl
$ 0
$12,000
$ 0
$ 0
$0
$34,050
Hardware -Year
1995
Software(l)
$ 0
$ 0
$ 0
$ 0
$0
$ 5,100
Consulting(l)
$ 0
$0
$13,600
T
m
0
r—
O
O
OA
Z
G)
M
0
SURVEY ON MUNICIPAL EXPENDITURES FOR INFORMATION PROCESSING SYSTEMS AND SERVICES
(a) 1.) Excluding the decrease in the cost of hardware, there was a slight increase in the total costs, probably equivalent to inflation.
(b) IV., V., VI.) The expenditures of the Internal Service Fund are reallocated to the other funds.
(c) Ill.) The expenditures of the Central Equipment Fund are partially allocated to other funds.
(n0 Based on a share of total computer costs allocated to mainframes.
(a) IV.) Two generations of DEC hardware, but only one generation on this software.
(0 ill.) There have been no formal upgrades, but there is ongoing maintenance.
(9) IV.) No dedicated staff. Finance and other staff members process their own work through the computer system. Users group (all depadments) influence the
decisions.
VI.) Committee of employees provides recommendations to city administrator
(h) V) In addition, there is a MacDonald- Douglas computer used for police and Are dispatching whose cost is unknown.
VI.) Includes a finance system and a GIS system.
N IV.) AM training is provided by the vendor on -site during upgrade or via long-distance telephone.
0) IV.) Permit software .$35,000; Hardware !39,000 (In PC's and PC network); Park software $79,000. PC's, software and calding $27,000 (1995).
Vl.) Allocation not made at present.
(k) IV.) Mainly PC's and PC network additions. Hardware and software additions of $35,000 (199 7) and $30, 000 (undesignated year) are expected.
(I) VI.) Costs to establish a local area network.
r
m O
0 0
in W
U
•
Section E
13. Please check ALL applications in use on your current system
Legend: T to Mn = Terminal to Mini /Mainframe
PC to Mn = PC to Mini /Mainframe
PC to LAN = PC as Local Area Network
PC1..PC6 = PC Only is used, No Mini /Mainframe needed
(Check off same PC number when multiple applications
used on SAME PC; check different PC number when
applications are on different PC's.)
City I
00MMI-111
Additional Hardware Needed for
PC Only (i.e., printer, modem, etc.)
Business License
Police •
Comp.
ee�i
■
■
■
■
■■
i-roperty
ee■■■■■■■
SPRINGSTED
Page E -1
•
•
u
LOGES
13. Please check ALL applications in use on your current system
Legend: T to Mn = Terminal to Mini /Mainframe
PC to Mn = PC to Mini /Mainframe
PC to LAN = PC as Local Area Network
PC1..PC6 = PC Only is used, No Mini/Mainframe needed
(Check off same PC number when multiple applications
used on SAME PC; check different PC number when
applications are on different PC's.)
City II
Application
Payroll
T
to
Mn
X
PC
to
Mn
X
PC
to
LAN
P
C
1
P
C
2
P
C
3
P
C
4
P
C
5
P
C
6
Additional Hardware Needed for
PC Only (i.e., printer, modem. etc.)
Printer, Modem
Personnel
X
X
Printer
Utility Billing
X
X
Printer
Permits/inspection
X
X
X
Printer
General Ledger
X
X
Accounts Receivable
X
X
Accounts Payable
X
X
Budgeting
X
X
Cost Accounting
X
X
Purchase Orders
X
X
Printer
Financial Other
X
X
Business License
Electronic Mail
Liquor Invento
Vehicle Ni mt.
X
X
Printer
Police Comp. Aid
Disp.
X
X
X
X
Police Records
X
X
X
Printer. Modems
Fire Records
X
X
X
X
Modems
Property Data/
Assessment
X
X
X
X
Special Assess.
X
X
X
X
Deputy Registrar
Fixed Asset M mt
X
Street/Alley Inv,
X
Geo. Info. Sys-
X
X
Plotter, Printer
Homestead Proc.
Citizen Complaints
X
Clerks Index
X
Park/Recreational
Facility M mt.
Park/Recreation
Schedulin
X
X
Printers
Dog Licensing
Investment M mt.
X
X
Ireeinventory
Other.
Other
Other:
Other
SPRINGSTED
Page E -2
•
•
•
LOGIS
13. Please check ALL applications in use on your current system
Legend: T to Mn = Terminal to Mini/Mainframe
PC to Mn = PC to Mini /Mainframe
PC to LAN = PC as Local Area Network
PC1. -PC6 = PC Only is used, No Mini/Mainframe needed
(Check off same PC number when multiple applications
used on SAME PC; check different PC number when
applications are on different PC's.)
City III
SPRINGSTED
Page E -3
Additional Hardware Needed for
PC Only (i.e., printer, modern, etc.)
Purchase Orders
Financial (Other)
-License
Business
Property Data/
Assessment
ee
■■■■■■■
Facility Mgmt
SPRINGSTED
Page E -3
i
I- I
L
•
13. Please check ALL applications in use on your current system
Legend: T to Mn
PC to Mn
PC to LAN
PC1..PC6
LOGIS
City IV
= Terminal to Mini/Mainframe
= PC to Mini /Mainframe
= PC as Local Area Network
= PC Only is used, No Mini/Mainframe needed
(Check off same PC number when multiple applications
used on SAME PC; check different PC number when
applications are on different PC's.)
m
®®
.Additional
.... Needed for
.
In Process of Pu asin,
F �1
•
-ft 1 •
SW
acility mqmt.
In Process of Purchasing
In Process of Purchas-
Tree inventory
%SPRINGS -ED Page E -4
LOUIS
13. Please check ALL applications in use on your current system City V
• Legend: T to Mn = Terminal to MindMainframe
PC to Mn = PC to Mini /Mainframe
PC to LAN = PC as Local Area Network
PC1..PC6 = PC Only is used, No Mini/Mainframe needed
(Check off same PC number when multiple applications
used on SAME PC; check different PC number when
applications are on different PC's.)
L�
•
.. _ .
...:. : Hardware _:de .
_®EM
imerm
General Ledger
_ . ..
e■■■■■■■■
ssment
"SPRINGSTED Page E -5
E
•
•
13. Please check ALL applications in use on your current system
Legend: T to Mn
PC to Mn
PC to LAN
PC 1.. PC6
LOGIS
City VI
= Terminal to Mini /Mainframe
= PC to Mini /Mainframe
= PC as Local Area Network
= PC Only is used, No Mini/Mainframe needed
(Check off same PC number when multiple applications
used on SAME PC; check different PC number when
applications are on different PC's.)
;1 SPRINGSTED Page E -6
Additional Hardware Needed for
PC Only (i.e., printer, modem, etc.)
PermWnspectio
Accounts
Accoun
Police Comp. Aid
• r
Assessment
MEN������
MMMMMMM
ei-
;1 SPRINGSTED Page E -6
0
0
0
Report on the
Survey on Municipal Expenditures
for
Information Processing
Systems and Services
Phase II - LOGIS Cities
Prepared for
Local Government Information
Systems Association (LOGIS)
February 1, 1995
�-
Table of Contents
A. EXECUTIVE SUMMARY ...... ............................... .
B. SCOPE OF SERVICES ..................................... ............................... 1
C. REPORT OF FINDINGS
General Information ..................................... ...............................
1 -3
Current System Costs .................................. ...............................
3
Current Annual Operational Costs ..............
Miscellaneous Costs ....................
FutureCosts ................................................ ...............................
5
Conclusion............................... ...............................
• D. COMPILATION OF SURVEY RESULTS .......... ...............................
1-4
L�
E. SURVEY RESPONSES ............................ ...... ........... 1-6
......................
SPRINGSTED
Executive Summary Section A
The Local Government Information Systems Association ( LOGIS)
• has previously engaged Springsted Incorporated to conduct a
survey of cities in Minnesota in order to determine the level of
computer applications utilization by cities which are not currently
using the services provided by LOGIS.
Subsequent to that engagement, LOGIS engaged Springsted to
conduct a survey of cities in Minnesota who are utilizing the
services of LOGIS. This survey was conducted in order to provide
a frame of reference to the survey of cities who are not currently
using the services provided by LOGIS.
The survey results in a number of preliminary observations,
outlined as follows:
The survey shows a trend to increasing hardware and software
usage. This trend has been noted in private industry.
The survey shows that larger cities have used computer
applications for a longer period than smaller cities, and have
upgraded their hardware more times.
• The survey shows that all cities, large and small, have a significant
utilization of computer applications. None of the survey participants
anticipate a decline in the amount of money spent for hardware and
software in the near future.
•
The survey shows that size is not a factor in predicting computer
utilization. Small cities which have significant operating divisions
make extensive use of computer applications.
The survey shows that, in general, larger cities have greater
expenditures for data processing, both in absolute dollar amounts
and as a percentage of their budgets.
The survey separated mainframe data processing tasks from PC
processing tasks, such as word processing, spreadsheet analysis
and related tasks. The mainframe data processing tasks performed
by each city surveyed are detailed in Section E.
SPRINGSTED Page A -1
Scope of Services Section B
• As in the initial study, Springsted, working in conjunction with
LOGIS personnel, developed a questionnaire which inquired about
the computer applications utilization of the entity answering the
questionnaire. The questionnaire was sent to six (6) cities who use
LOGIS services, each selected to represent a reasonable cross -
section of cities in Minnesota and to correspond generally in
demographics and computer applications to the six (6) non - LOGIS
cities who were surveyed in the initial phase of the study.
The cities were sent a copy of the questionnaire and a site visit was
made by a Springsted representative to complete the
questionnaire.
The cities included in this survey are identified by a number only, as
was done in Phase I of the survey. The actual identity of each
participant city has not been disclosed to anyone at LOGIS,
although LOGIS personnel did assist in the selection of the LOGIS
cities chosen for the Phase II survey. Because the LOGIS cities
already work with LOGIS, the confidentiality issue is of less concem
with LOGIS cities than with the non - LOGIS cities surveyed in
Phase I. However, in order to enhance impartiality, we have
• continued the practice of identifying the cities in the survey by
number, rather than identifying them by name.
40
The following discussion examines the several responses by the six
cities to the survey questions, and is organized according to the
categories contained in the questionnaire:
(1) general questions,
(2) a summary of the current costs of the systems,
(3) current annual operational costs,
(4) miscellaneous current costs, and
(5) future costs.
The responses from the survey sheets, as they are shown on the
table, are organized by the three larger cities and the three smaller
cities. Each city has one identifier using Roman numerals.
Footnotes and the separately attached pages showing the
responses to question 13, the applications used on each city's
current system, are coded by those city names.
% SPRINGSTED Page B -1
Report of Findings Section C
General Information
• 1. During the last three years (1992 to 1994) the expenditures
for data processing purposes have increased for five of the
cities and have decreased for one. The decrease has come
about because of a reduction in the payments for hardware
and personnel.
The five cities that indicated an increase in total costs show
that the increases are spread over a variety of sources. In
one city, hardware increases accounted for a large portion of
the increase. In another city, personnel costs were
decreased, but other costs increased by more than the
personnel costs declined. Software increases were a lesser
part of the total change.
3. As stated previously, the single city that showed a decrease in
expenditures during the three years had a reduction in
payments for hardware (50% of the reduction) and personnel
(50% of the reduction).
• 4. One of the cities that showed the costs of data processing to
be increasing, City X, shows a decrease in personnel costs of
167 %. This was offset by a 185% increase in costs included
in the 'other" category, leading to an overall increase in
expenditures for the period.
5. Including all data processing costs, five of the cities are
planning to spend from a quarter of a million dollars to more
than a hatf- million dollars for data processing during 1995-
The other city will spend approximately $150,000.
6. Three of the cities have 1994 budgets of $20 million to
$32 million. The other three plan to spend approximately
$10.8 million to $13 million. It should be noted that two of the
smaller cities have liquor operations, but these operations do
not appear to be a substantial portion of these cities data
processing expenditures.
7. The 1994 data processing budgets appear to establish a
pattern. The three larger cities each have significant data
processing expenditures, ranging from a low of $325,000 to
•
% SPRINGSTED Page C -1
LOGIS
$404,000. The smaller cities have data processing
• expenditures ranging from $127,000 to $230,000.
8. The length of time that the six cities have had computing
facilities appears to congregate around 20 years. Note that
this information was not available for two of the smaller cities.
9. All of the cities have recently upgraded their hardware and
software. This is not unusual as the software upgrades are
often updated versions published by the software vendor. In
addition, the bulk of the hardware costs are PC related, and
the cost of PC's has declined substantially in recent years,
making upgrades cost effective.
10. One city (City XI I) has used its current software for 19 years
and another city for five years. The others have used their
current software for three years or less. The City which used
d current software for 19 years purchased hardware within the
past year.
Software has been upgraded from annually to seven times,
• depending on the application. Again, most upgrades are to
new versions of the same software.
11. The larger cities have data processing coordinators or
supervisors. One of the smaller cities has the Assistant
Finance Director devote some time to data processing, but
two of the smaller cities have no person who has chargeable
time to the total system, but each of these two cities has a
person who spends part of their time working on the software
support side.
The three cities with the larger computer systems have
various computer staff members as detailed in the table.
It should be noted that these costs relate primarily to non -
main frame activities. These costs relate mainly to PC based
systems.
12. The full -time equivalent personnel involved in the data
processing function ranges from 0.1 in the small cities to 0.85
• in the larger cities. This is considerably smaller than the
SPRINGSTED Page C -2
LOG1S
equivalent figures for the non - LOGIS cities surveyed in
• Phase I.
Current System Costs
13. The terminals and PC's connected to the mini /mainframes are
significant for all six cities. The PC's used as local area
network devices used much less than the Terminal to
Mini /Mainframe mode. PC's are used independently in all six
of the cities. (See Section E.)
14. The system hardware costs range between $350,000 and
$565,000 for the larger cities and between $78,000 and
$135,000 for the smaller cities. These costs are substantially
lower than for the six non-LOG IS cities surveyed in Phase I of
the study.
15. System software costs vary for all of the cities, with one city
unable to provide an accurate figure and one city using only
LOGIS software. One of the larger cities and one of the
• smaller cities have total software system costs of about
$100,000, while one larger city and one smaller city have
software system costs of less than $10,000 each.
Current Annual Operational Costs
16. The annual maintenance costs on all of the computer
hardware used in city applications varied from $500 to $9,000
for the cities.
17. The annual maintenance costs on operating system hardware
were zero for all three large cities and one small city. The
other two small cities had costs of $5,000 or $6,000. This
compares to annual maintenance costs for non - LOGIS cities
which ranged from $4,000 to $75,000 for the larger cities and
from $0 to $5,000 for the smaller cities. The city surveyed in
Phase I with no maintenance costs is the one with the newest
hardware.
18. The annual maintenance costs on application software ranged
• from $0 to $3,000 for the larger cities, and from $0 to $1,000
for the smaller cities. These costs are significantly lower than
SPRINGSTED Page C -3
the equivalent cost for non - LOGIS cities as surveyed in
• Phase I
n
U
LOG /S
19. None of the six cities has significant costs for outside costs.
20. None of the six cities has significant costs for data processing
consulting services.
21. The diversity of the annual cost of supplies probably reflected
the development of the several systems. They ranged from
$5,000 to $9,200 for the large cities. The smaller cities
averaged $2,500. These costs are lower than recorded by
the non - LOGIS cities surveyed in Phase I.
22. All of the cities plan capital expenditures for data processing
at some level. These range from $14,000 to $178,000. There
appears to be no pattern to these expenditures.
Miscellaneous Costs
•
23-24.,
25., 26.
and
27. The questions in this section were added to the questionnaire
in case these costs were not included in response to the
request for data processing costs in question V. As the
survey results show, most of the cities included most of these
costs in their response to question V. Only Cities XI and XII
have significant costs for user group meetings.
28. None of the cities have significant space devoted to data
processing. This is most likely due to the fact that these are
LOGIS cities and therefore do not require significant amounts
of space in their facilities devoted to data processing.
29. Apparently only City VII provides off -site storage.
30. Most of these costs are included in the answer to question V.
SPRINGSTED Page C -4
LOG1S
Future Costs
• 31. and
32. All of the cities are planning new or replacement systems in
1995 or later years. Those expenditures will be for hardware,
software and consulting. All of the costs anticipated to be
spent in the future will relate to PC or LAN systems and not to
data processing costs as they are defined for purposes of this
survey and Phase I.
Conclusion
Each reader of the accompany data will draw conclusions that are
different from those of anyone else. There are some statements
that can be made that may draw a focus to certain parts of the
study.
The information from the six cities that were surveyed for the
purposes of this study was arranged so that the data from the three
larger cities was separated from that of the three smaller cities. As
• with the Phase I survey of non - LOGIS cities, the data for LOGIS
cities also did not necessarily lead to that precise distinction. Other
information was more unique to each city.
•
To some extent, five of the six cities are expecting an increase in
costs from 1994 to 1995; a sixth city reduced its expenses by
reducing both personnel and hardware costs. All of the six cities
are planning to spend a substantial amount of money to upgrade
their systems within this decade. The upgrades will be in the area
of PC's and LAN's rather than in mainframe data processing.
% SPRINGSTED Page C -5
• SURVEY ON MUNICIPAL EXPENDITURES FOR INFORMATION PROCESSING SYSTEMS AND SERVICES
nl L es Smaller Cities
C
v
Survey Questions City VII City IX City x Cl" I City XII
General:
1. 1992 -1994 Total expenditures have:(")
2. Expenditures increased because of:
Personnel
Hardware
Software
Additional Tasks
Other
Total
3, Expenditures decreased because of:
Personnel
Hardware
Software
Additional Tasks
Other
Total
4. If expenditures remained the same.
has there been a shift?
5. Budgeted Data Processing
Expenditures for 1995:
6 Total 1994 City Budget:
General Fund
Utility Funds
Internal Service Funds(a)
Enterprise Funds
Other Funds
Total 1994 City Budget
7. Total 1994 Data Processing Budget:
General Fund
Utility Funds
Internal Service Funds
Enterprise Funds
Park and Rec.
Other Funds
Total
8. Number of years operating a
computer facifity
9. A Number of years using
current hardware?
B. Number of years using
current software?
Increased
3%
10%
20%
20%
—4Z%
100%
IV
Decreased
N/A
50%
50%
100°/6
N/A N/A
rlr
$13,501,600
$ 9.467,900
$22,969,500
$328.000
$328,000
Since 1981
Annual update
PC 4or5
$457,220
r (r rrr
rr rrr
rrr rrr
r� rrl
$20,050,000
$361,750
$ 22,330
$ 20,000
$404,080
22
LAN 1992
Increased
Increased
Increased
Increased
2.2%
- 167%
18%
$ 4,893,000
84.5%
82%
2%
$13,515,100
7.7%
$161,025
$ 67,200
100%
5 -6%
100%
100%
100%
100%
N/A
N/A
N/A
N/A
N/A N/A N/A N/A
$556,145 $243,000
$17,775,942
$ 8,322,100
$10,241,530
Inc. in Enterprise
$ 4,845,826
i 1.11.1193
$10,793.362
$ 4,893,000
$126.957
$47,630
$32,863,298
$13,515,100
$223,000
$161,025
$ 67,200
$149,657 $251,125
$ 5,630,703 $ 7,988,483
$ 2,805,307 $ 2.474,017
Liquor -/
Liquor 4
$ 2,106,001
$ 763,881
1- 251.361
i 1.11.1193
$10,793.362
512338,174
$126.957
$47,630
LOGIS $103,100
$ 3,000
$ 43,100
5 20.700 $ 3.750
$354,000 $167,775 $126,957
22 22 Not Available
2 Since 1993 5
2 3 4
S 79.000
$229,730
Less than
1 year
2
IO
EE
m
C
r..
N
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• SURVEY ON MUNICIPAL EXPENDITURES FOR INFORMATION PROCESSING SYSTEMS AND SERVICES
Larger Cities _ Smaller Cities
Survey Questions City VII CiN VIII cin Ix City X CiN XI City XII
General (continued):
109 A. Number of years using current software Annual Update LAN LOGIS 1992 Since 1993 5 19
B. Number of software upgrades Word =5 LOGIS 2 Varies by WordStar 7 LOGIS
Spreadsheet =5 application
11. Computer personnel:
Overall Data Processing
Direction
Hardware Support
Software Support
12. FTE - personnel involved in
DP /IS function
FTE - personnel involved in PC/LAN activity
Current System Costs:
13. Applications used on city's current system
14. System hardware costs:
Computer Systems Purchased
Workstations
Terminals
PC's, Disk Drives and Tape Drives
Computer Room/Area Construction Costs
Printers
LAN
Other Costs
Total system hardware costs
15. System software costs:
Payroll
Financial Control
Utility Billing
Operating System
Report Writers
Database Managers
Programming Languages/Tools
Utility Software
Other
Total system software costs
1L, Annual maintenance costs on hardware
MIS Coord.
MIS Coord,
Manager of
Computer
Coordinated
Users in each
$5,000 Replacement
DP Advisory
Information
committee of six
through LOGIS
activity
Committee
Technologies
members.
MIS Coord.=50%
MIS Coord. =30%
Mgr. of Inf.
Asst F. Dir. =10%
None
Accounlanl =5%
Tech. =40%
Detective =5%
Dispatcher -5%
Engr Aid =5%
GIS Tech =5%
MIS Coord. =50%
MIS Coord. =70%
Mgr. of Inf.
Asst, F- Dir. =10%
Fin. Dir, , Police,
Accountanl =2%
Police -25%
Tech. =10%
Delective =5%
Engr. =214
Dispatcher =2%
Liquor Mgr. =25%
Engr. Aid =5%
hours/year
G I S Tech . =2%
75
.85
.1
A
.1
2
25
.65
.4
4
1
None
Attached
Attached
Attached
Attached
Attached
Attached
Est, purchase
cost, no depr.
$ 10,000
$11,500
$ 25,000
$ 5.000
$ 10,000
$ 20,700
$424.000
$210,000
$192,000
$78,510
$24,000
$135,000
$ 86,100
5141 340
$105,000
S so,
$47,800
$565,340
$350.000
$363,800
$78,510
_ --
$83,300
—
$135,000
None
LOGIS
517 000
ST
$7,500
51444!?4
$100.000
STo.z44
$27.500
$93Q4Q
$93.1100
Inc in Y7 $9,000
Inc in #7 $500 Inc- in 07 $7,500
$5,000 Replacement
$5,000
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SURVEY ON MUNICIPAL EXPENDITURES FOR INFORMATION PROCESSING SYSTEMS AND SERVICES
Survey Questions City VII CiN IX CiN X SmQl XlCilles Cdv XII
Current Annual Operational Costs:
17. Annual maintenance costs on
operating system software
18. Annual maintenance costs on
application software
19. Annual outside costs for
applicationsMwdware
Annual contract OR hourly charge
20. Annual data processing consulting
services costs
21. Annual coals of supplies
22. Capital additions for computer
and applications:
Additional Disks
PC's7Terminals
Additional Software Modules
Other
Total Budgeted capital additions for
computer and applications
Miscellaneous Costs:
23. Annual fringe benefits costs
24. Annual budget for professional
training for all city staff
25 Travel costs if not included in #24
26. Metropolitan area user group meetings:
Time Commitment
Cost
27. Cost of attending national or regional
user group meetings
28. Total area uldized by the data processing
operation:
Computer Room
Data Processing Office,
Storage, Etc.
29. Annual rental costs for off -site storage,
materials, etc.
30 Annual communications costs to
vendors, state agencies, banks, etc.
None None None
None Inc, in #7 $1.500 Inc. in #7 $3,000
Not significant None None
Hourly charge N/A
None None None
Inc in 07 $9,200 Inc. in 07 $9,100 Inc. In #7 $5,000
=1
Inc in #17
Inc. in #17
Hourly charge
$1.000
$2,500
$133,900 $61,546 $142,000 $14,495
$ 44.800 IAN S25.4QlI
$178,500 $86,546 $142.000 $14.495
Inc. in 07 Inc. in 07
Inc. in #71nc.in 07 $10,000
Inc. in #7 Inc. in 07
24 days/year 3 daystyear
Inc. in #7 Inc. in 07 $600
Inc, in #7 Inc. in #7 $350
Inc. in #7
Inc. in #7
Inc. in #7
$4.000
Inc. in #7
Inc. in dept. budg.
6 daystyear
36 days/year
$1,200
$6.000
None
100 sq. It. 100 sq. ft. 350 sq, ff.
Inc. in #7 None None
Inc. In #7 Inc. in #7 $8.617 Inc in 07 $12,000
None
150 sq. h.
None
LOGIS
$1.000
Liquor $600
Contract
None
$3,400
$22,700
$22,700
Inc in #7
$600
$200
12 days/year
$6,700
None
None
3,650 Inc in #7 $14,000
$5,000
None
None
None
$2,000
Inc. in #7
$117,800
$117,800
Inc in #7
Inc in #7
None
10 days/yeaf
$1,200
None
100 sq. ft,
None
$2,000
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SURVEY ON MUNICIPAL EXPENDITURES FOR INFORMATION PROCESSING SYSTEMS AND SERVICES
La eq Survey Questions y VII Citv IX City X SmaIICiN X lies City XII
Future Costs (Major Computer Upgrades):
31. Anticipated budget for new, or replacement,
computing systems:
Hardware(a) LAN-$37.500 1995= $81,427 1995 - $70,000 PC's in 1995 PC'sttenninals Cash registers
PC's = $51,0130 1996 = $78,000 $48,600 1995 $22.700 1995 $71,500
1997 =$220,000 Server in 1998
1998480,000 $25,000
Software(c)
ConsuBing(d)
32 Major subsystems replacement if entire
system is not replaced:
Hardware -Cost
(a) Vllt, IX) Reallocated to other funds.
$5,000 1995420,000
1996=$20,000
1997=$50.000
1998 = $20,000
1986=52,000
1997 = $90,000
1997 = $50,000
PC, terminals:
to $60,000 for
$108,000 in 1995,
recablmg
$100,010 in 1996
1997 = $5.000
Software:
for consultation
$50,000 in 1997:
'
Consulling.
$5,000 in 1996
(b) Vll.) For 1995 and each of several years.
Off) 1997 includes optical disk, radio systems for $140, 000, plus $80,000 for ongoing capital oullay
(c) Vll) For 1995 and each of several years.
Vlll -) 1997 includes optical disk, radio systems for $30.000, plus $20.000 for ongoing expenditures.
(d) 00) 1997 includes transferring data Imm paper to the new system.
Park and Rec.
system in 1996;
vehicle
maintenance in
1996, 1997, both
from LOGIS
Software 1996 None
$4,000
r
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•
E
•
Survey
13. Please check ALL applications in use on your current system
Legend: T to Mn
PC to Mn
PC to LAN
PC1..PC6
Section E
City VII
= Terminal to Mini /Mainframe
= PC to Mini /Mainframe
= PC as Local Area Network
= PC Only is used, No Mini/Mainframe needed
(Check off same PC number when multiple applications
used on SAME PC; check different PC number when
applications are on different PC's.)
Application
T
to
Mn
PC
to
Mn
PC
to
LAN
P
C
1
P
C
2
P
C
3
P
C
4
P
C
5
P
C
6
Additional Hardware Needed for
PC Onty (i.e., printer, modem, etc.)
Payroll
X
X
Personnel
X
Utility Billing
X
Permits/Inspecton
X
X
General Ledger
X
X
Accounts Receivable
Accounts Payable
X
X
Bud ehn
Cost Accounting
X
X
Purchase Orders
Financial Other
X
Business License
X
Electronic Mail
Liquor Inventory
Vehicle M mt
X
X
Police Comp. Aid
Dis .
X
Police Records
X
X
Fire Records
X
Property Data/
Assessment
Special Assess.
X
X
Deputy Registrar
Fixed Asset M mt.
X
Street/Alley Inv,
X
Geo. Info. Sys.
UNIX Workstation & X Terminal
Homestead Proc.
Citizen Complaints
Clerks Index
Park/Recreational
Facility M mt.
X
Park/Recreation
Scheduling
X
Dog LicensingX
X
Investment M mt.
X
Tree Inventory
X
X
Other
Other
Other
SPRINGSTE
Page E -1
r1
LJ
•
•
13. Please check ALL applications in use on your current system
Legend: T to Mn
PC to Mn
PC to LAN
PC1..PC6
LOG1S
City VIII
= Terminal to Mini /Mainframe
= PC to Mini /Mainframe
= PC as Local Area Network
= PC Only is used, No Mini/Mainframe needed
(Check off same PC number when multiple applications
used on SAME PC; check different PC number when
applications are on different PC's.)
SPRINGSTED
Page E -2
T
PC
PC
P
P
P
p
p
P
to
to
to
C
C
C
C
C
C
Additional Hardware Needed for
Application
Mn
Mn
LAN
1
2
3
4
5
6
PC Only (i.e., printer, modem, etc.)
Payroll
X
Personnel
Utility Billing
X
Permits /fns ection
X
X
General Led er
X
Accounts Receivable
X
Accounts Pa able
X
Bud etin
X
Cost Accountin
X
Purchase Orders
Financial Other
X
X
Business License
X
Electronic Mail
X
L' uorinvento
X
X
Vehicle M mt.
X
New
Police Comp. Aid
X
X
Moving to PC
Dis .
Police Records
X
Fire Records
X
Property Data/
X
X
Assessment
Special Assess.
X
X
De2uty Registrar
Fixed Asset M mt
X
Street/Alle Inv,
X
Geo. Info. S s.
X
X
Homestead Proc.
X
Citizen Com faints
X
Clerks Index
Park/Recreational
X
New
Facili M mt.
Park/Recreation
X
New
Schedulin
Dog Licensing
Investment M mt.
X
Tree Invento
X
Other:
Other:
X
Utility Mana ement
Other
X
Well Management
SPRINGSTED
Page E -2
•
•
E
13. Please check ALL applications in use on your current system
Legend: T to Mn
PC to Mn
PC to LAN
PC1..PC6
LOGIS
City IX
= Terminal to Mini /Mainframe
= PC to Mini /Mainframe
= PC as Local Area Network
= PC Only is used, No Mini/Mainframe needed
(Check off same PC number when multiple applications
used on SAME PC; check different PC number when
applications are on different PC's.)
Application
Payroll
T
to
Mn
X
PC
to
Mn
PC
to
LAN
P
C
1
P
C
2
P
C
3
P
C
4
P
C
5
P
C
6
Additional Hardware Needed for
PC Only (i.e., printer, modem, etc -)
Personnel
X
Utili Billin
X
Permits/Inspection
X
General Ledger
X
Accounts Receivable
Accounts Payable
X
Bud etin
Cost Accounting
Purchase Orders
Financial Other
Business License
X
Electronic Mail
X
Liquor Invento
Vehicle M mt.
X
Police Comp. Aid
Dis .
X
Police Records
X
Fire Records
X
X
X
X
Property Data/
Assessment
X
5peci al Assess.
De u R istrar
Fixed Asset M mt.
X
Street/Alley Inv, I
X
Geo. Info. S s.
Homestead Proc.
X
x - HP NbrksbliaVPWWr nQlwakse W Locis
Citizen Complaints I
X
Clerks Index
X
Park/ Recreational
Facili M mt.
Park/IR ation
Scheduling
X
League Scheduling
Dog Licensing
X
Investment M mt.
Tree Invento
X
Other: En . /CAD
Other: Uti. /Inv.
Other: Meter
Reading/Recycling
Bar Code Readin
X - PC /Plotter
X - PC
X - Handhelds
Other: Food /Pool
Ins lion
X - Handhelds/Portable Printer
% SPRINGSTED
Page E -3
•
11
LOGIS
13. Please check ALL applications in use on your current system
Legend: T to Mn = Terminal to MinUMainframe
PC to Mn = PC to Mini /Mainframe
PC to LAN = PC as Local Area Network
PC1..PC6 = PC Only is used, No Mini/Mainframe needed
(Check off same PC number when multiple applications
used on SAME PC; check different PC number when
applications are on different PC's.)
City X
Application
Payroll L
T
tc
Mn
X
PC
to
Mn
PC
to
LAN
P
C
1
P
C
2
P
C
3
P
C
4
P
C
5
P
C
6
Additional Hardware Needed for
PC Only (i.e., printer, modem, etc.)
Personnel L
X
Utility Billing L
X
Permits/Inspection L
X
General Ledger L
X
Accounts Receivable
L
-Payable
X
Accounts L
X
Budgeting L
X
Cost Accountinq L
X
Purchase Orders L
X
Financial Other L
X
Business License
Electronic Mail IN
X
Liquor Invento
Vehicle M mt IN
X
PC
Police Comp. Aid
Dis . L
X
Police Records L
X
Fire Records IN
X
PC
Prober Chief
Property Data/
Assessment
Special Assess. IN
Coun
X
$2,000
PC
Deputy Registrar L
X
Fixed Asset M mt. L
X
StreetfAlle Inv,
Geo. Info. S s.
Homestead Proc.
Citizen Cam taints
Clerks Index
Park/Recreational
Facility M mt.IN
$2,000
Maint
PC
Park/Recreation
Scheduling
Dog Licensing
Investment M mt.
Tree Inventory
Other.
Other
Other:
N SPRINGSTED Page E-4
r�f,
r] L
•
13. Please check ALL applications in use on your current system
Legend: T to Mn
PC to Mn
PC to LAN
PC1..PC6
LOGIS
City Xi
= Terminal to Mini /Mainframe
= PC to Mini /Mainframe
= PC as Local Area Network
= PC Only is used, No Mini/Mainframe needed
(Check off same PC number when multiple applications
used on SAME PC; check different PC number when
applications are on different PC's.)
SPRINGSTED
Page E -5
Additional Hardware Needed for
PC Only (i.e., printer, modem, etc,)
Assessment
Facility Mgmt.
SPRINGSTED
Page E -5
9
•
•
13. Please check ALL applications in use on your current system
Legend: T to Mn
PC to Mn
PC to LAN
PC1..PC6
LOG1S
City XII
= Terminal to Mini /Mainframe
= PC to Mini /Mainframe
= PC as Local Area Network
= PC Only is used, No Mini /Mainframe needed
(Check off same PC number when multiple applications
used on SAME PC; check different PC number when
applications are on different PC's.)
SPRINGSTED
Page E -6
Additional Hardware Needed for
MEN
ININIME
MEN
IMEME
�-MMM
MINE
W-1-F7112
MIN
EMEMINME
NO
. •'MMNIMI
IMIE
MEMEMIN
�.�_-
00
...
MEN
MEN
IMIN
INME
investment Mgmt.
Tree Inventory
MIME
SPRINGSTED
Page E -6
0
Report on the
Survey on Municipal Expenditures
for
Information Processing
Systems and Services
Executive Summary
Phase I and Phase II
Combined Analysis
•
Prepared for
Local Government Information
Systems Association (LOGIS)
February 23, 1995
19
•
•
Table of Contents
A. COMPILATION OF SURVEY RESULTS .......... ............................... 1
Purpose of Survey ........................................ ............................... 1
Data Interpretation Constraints ..................... ............................... 1
B. GENERAL COMPARISONS ............................. ............................... 1
%SPRINGSTED
of Survey Results Section A
Springsted has prepared a summary sheet for both the Phase 1
• (Non - LOGIS Cities) and the Phase II ( LOGIS Cities) survey results.
The Summary is divided into three pages. One page provides a
summary of the survey responses from Phase I cities. One page
provides a summary of the survey responses from Phase II cities.
The third page provides a framework for comparing, in general but
not specific terms, the Information Processing Systems and Service
costs of LOGIS compared to non - LOGIS participants.
Purpose of Survey
The purpose of the survey of both non - LOGIS cities (Phase 1) and
LOGIS cities (Phase II) is to form a general perspective of the
amount of effort and cost which cities are devoting to computer
application for Information Processing Systems and Services. The
survey is not designed to provide an application by application or
city by city comparison of these costs.
Data Interpretation Constraints
• Because the survey is not designed to provide specific
comparisons, any such comparison of costs between individual
cities is not valid. Each city, whether it is a participant in LOGIS or
not, may not be compared to any other city, LOGIS participant or
not. There are three primary reasons for this.
First, each city uses Information and Data Processing in different
ways and at different levels. An individual city may use computer
services for many applications or a select few applications. In
addition, the applications which are performed using computers
may or may not be specialized, requiring specialized application
software applicable only to a particular application in a particular
city. The complexity of the application for each city will differ as
well. More complex situations may occur for the same application
in different cities.
Second, each city may account for costs of Information and Data
Processing in a slightly different manner. One city may choose to
capitalize a certain cost over a number of years, where another city
may choose to expense a similar cost in one year. The accounting
• treatment of both cities may be correct, depending on their
individual circumstances. Each city may choose to allocate
"SPRINGSTED Page A -1
LOGIS
Information and Data Processing costs to various departments
• using different methods. The allocation of overhead or personnel to
Information and Data Processing will vary between cities and within
each city over time.
Third, the survey performed by Springsted is not designed to
comply with scientific or statistical sampling methodology. The size
of the survey is not large enough to be statistically valid. Neither is
the selection of the cities for inclusion in the survey completely
random to insure statistical validity. Rather, the survey was
performed with the consent of the surveyed cities. Each city was
selected to meet general criteria established by LOGIS. These
criteria included population, growth, number of applications
performed using computers among others. No attempt was made
to insure that the cities chosen are statistically representative of the
north. Nor was any attempt made to insure that the non - LOGIS
cities were directly comparable to LOGIS cities.
For these three reasons, it is not valid to compare any individual
LOGIS city costs with the costs of any individual non - LOGIS city.
Rather, the survey results may be used as a starting point to
• compare overall costs on a more general basis.
•
Using a broader approach potentially reduces, but does not
eliminate, the risk that individual city differences in levels of
applications, types of applications, accounting treatment, or similar
issues will alter the analysis in a material respect. Individual city
differences will result in comparisons necessarily being less precise
than might be desirable. The most valid comparison would be for a
non - LOGIS city to compare specific applications to LOGIS charges
for the applications to be compared. This would allow identification
of specific features for an individual city which may then be
adjusted for in any comparison.
H SPRINGSTED Page A -2
General Comparisons Section B
Looking at a broad based comparison is shown on the schedule of
• "Summary - Comparison of Equalized Costs ", which provides one
possible framework for looking at LOGIS city costs compared to
non - LOGIS city costs for similar services. The LOGIS cost for
LOGIS cities was adjusted to reflect survey results showing building
space, supplies, personnel. In addition, estimates of LOGIS special
programming projects and estimated cost of dedicated high -speed
telephone lines were added to the base LOGIS cost.
The resulting figures represents an estimate of the total cost to the
surveyed LOGIS cities for LOGIS services. The LOGIS cities and
non — LOGIS cites are divided into large cities and small cities.
The large cities and small cities are each averaged as a group,
separated into large and small cities. It is important to note that the
averages are based only on the cities included in the survey
conducted by Springsted. Since the survey is not based on a
statistically significant sample size, only general comparisons
should be drawn from the figures. Nonetheless, the survey results
provide a beginning point for additional analysis.
• Comparison of the LOGIS cities and non - LOGIS cities shows a cost
differential between the LOGIS cities and the non - LOGIS cities.
This differential occurs for both the large cities and the small cities.
This cost differential favors LOGIS in both the large city and the
small city groupings.
•
For the reasons outlined earlier, it is not possible to directly
compare the estimated costs on a city by city basis. The
magnitude of the differential in the large city portion of the survey
indicates that in a general sense, the LOGIS approach to
Information and Data Processing Systems and Services may
provide a more cost effective delivery of services.
% SPRINGSTED Page a -1
0
0
Summary - Comparison of Equalized Costs
FJ SPRINGSTED
Exhibit I
'
Survey on Municipal Expenditures for
InforrnaWn Processing Systems and Services
Summa - Comparison of Equalized Costs
$226,000
$105,000
• NON LOGIS ClUes
$108,000
949
949
3,322
Description - Category
1
City
II III IV
V
2,500
DP Costs - 1994 Actual
$187,500
$364,400 $361,000 $84,000
$260,560
$74,970
Building Space
20,223
9,319 4,745 2,847
3,796
10,629
Ann. Allocated Hardware
Years for Cost Allocation
54,728
5
75,368 52,857 30,000
5 7 5
14,000
5
22,856
5
Annual Allocated Software
Years for Cost Allocation
84,631
5
10,600 85,714 26,000
5 7 5
7,000
5
26,009
5
Estimated Annual Costs
$347,082
$45%687 $504,316 $142847
$285356
$134,464
Average Estimated Annual Cost for
Large Non-LOGIS Cities (i to 111) $437.028
Small Non - LOGIS Cities (1V to V1)
• LOGIS Clues
Description - Category
LOGIS Cost - 1994 Actual
Building Space
Estimated Supplies
Estimated MIS Personnel
LOGIS Sp. Projects (eat)
Communications
$187.556
$204,000
$213,000
$226,000
$105,000
$109,000
$108,000
949
949
3,322
1,424
0
949
2.500
2,500
2,500
1,500
1,500
1,500
37,500
42,500
5,000
20,000
5,000
10,000
5,000
5.000
5,000
5,000
5,000
5,000
4,600
3,280
1,900
4,840
1,900
4,120
Estimated Annual Costs .$254,416 $267,045 $243,37 $138,168 $121,983 $129 190
Average Estimated Annual Cost for
Large LOGIS Cities (V11 to UQ $254,946
Small LOGIS Cities (X to Xlt) 5129.780
Local Government Information Systems Association
Survey on Municipal Expenditures for
Information Processing Systems and Services
Sum - Phase I, Non -LOGIS Cities
Description - Category
I. Data Processing Budget
(LOGIS type activities)
1994 Actual
1995 Budgeted
II. FTE Personnel
Total
Main Frame H/W support
LAN/PC type support
III. Years of Operation
•IV. System Hardware Cost
Total
PC related
Main Frame Hardware
Years Current Sys in use
Number of Upgrades
V. System Software Cost
Total
PC related
Main Frame Software
Years Current Sys in use
Number of Upgrades
Common Applications
•
VI. Building Space
187,500 364,400 361,000 84,000 260,560 74,970
201,100 472,000 371,800 82,000 260,560 107,000
3.00
2.00
3.45
0.00
2.50
000
1.80
0.55
2.20
0.00
1.70
0.00
1.20
1.45
1.25
0.00
0.80
0.00
22 12 18 10
273,638
458,587 00 000
a
81,749 .1 10
2.00
00 00
12.
5.00
0r i0
423,155
Q
423.155
2.00
1.00
12
20,223
53,000
600,000
130,000
Q
53.QQQ
4
600."
Q
3.00
7.00
130-OW
5.00
3.00
0.00
4.00
10
14
7
9,319
4,745
2,847
25 10
130,000
60,000 a
70-Wn
00
2.00 2.00
35,000 130.045
Q Q
35-ran 1
1.50 3.00
2.00 2.00
4 5
3,796 10,629
Local Government Information Systems Association
Survey on Municipal Expenditures for
Information Processing Systems and Services
Summa - Phase II, LOGIS Cities
Description - Category
I. Data Processing Budget
(LOGIS activities)
1994 Actual
1995 Budgeted
II. FTE Personnel
Total
Main Frame H/W support
LAN/PC type support
III. Years of Operation
• N. System Hardware Cost
Total
PC & related
Main Frame Hardware
Years Current Sys in use
Number of Upgrades
V. System Software Coat
Total
PC related
Main Frame Software
Years Current Sys in use
Number of Upgrades
Common Applications
•
Vt. Budding Space
203,867 212,816 225,655 105,404 108,583 107,621
228,000 228,000 242,000 120,000 126,000 102,000
1.00
1.50
0.50
0.80
0.20
0.20
0.75
0.85
0.10
0.40
0.10
0.20
0.25
0.65
0.40
0.40
0.10
0.00
14
22
22
22
WA
19
565,340
565.344
350,000
350 000
363,800
363.fl44
78,510
7.8.510
83,300
83.344.
135,000
13,5.444
Q
Q
Q
Q
Q
Q
4.00
4.00
4.00
4.00
4.00
4.00
2.00
2.00
2.00
2.00
2.00
2.00
7,500
100,000
WA
WA
27,500
93,000
L50
10.E
WA
WA
2Z544
93,0.00
Q
Q
Q
Q
Q
4
Varies
Varies
Varies
Varies
Varies
Varies
Varies
Varies
Varies
Varies
Varies
Varies
12
10
14
7
7
5
949
949
3,322
1,424
0
949
C
TO: Mayor & City Council
FROM: Mark Schnobrich, City Forester
DATE: July 5, 1995
RE: Weed Ordinance Update
Each year in compliance with City Ordinance Chapter 10.3 1, City staff complete three to four
seasonal surveys for weed non compliance. To date we have completed two citywide surveys for
lots with weeds or grass which violates City Ordinance. The two surveys have yielded 39
separate lots which were not in compliance as of July 3, 1995.
The City Staff also receive citizen complaints in regards to neighborhood weed lots. We respond
to each complaint as we receive them. Lots that are found in non - compliance are then researched
as to proper ownership and owners address. Property owners are then notified by mail and upon
receipt of the weed notice are given seven days with which to comply. Weed lots are then re-
surveyed after the seven days and, if found in non - compliance, are turned over to a city contractor
for mowing. Each lot that is tagged for weeds and mowed by city contractors is then assessed the
cost of the mowing plus a $50 administrative fee.
Due to the nature of the weed lots and the specialized equipment needed to handle the weeds, the
City is limited to contractors that are able to provide equipment that can actually accomplish the
job.
In addition to city weed ordinance compliance, city staff work closely with the County Weed
Inspector in notifying city lot owners of noxious weed violations. The same procedure is applied
on lots with noxious weed, as to city weed non - compliance lots, with the possible addition of
contracting the actual spraying of noxious weeds above and beyond just mowing.
To date, the city contractor has been given 23 delinquent lots and has mowed 22 lots which will
be assessed to the property owner.
City Center
1 / 1 Hassan Street SE
Hutchinson, MN 55350 -2522
(612) 587 -5151
Fax (612) 234 -4240
Parks & Recreation
900 Harrington Street SW
Hutchinson, MN 55350 -3097
(612) 587 -2975
Fax(612)234 -4240
- Prwed on recycled paper -
Police Services
10 Franklin Street SW
Hutchinson, MN 55350 -2464
/ (612) 587 -2242
/n Fax (612) 587 -6427
G
July 7, 1995
:i •
I have attached a preliminary schedule for our 1996 budget for the
city council to review. I will review the details and be available
to answer any questions you may have regarding the procedure.
Our year end audited report has been completed and will be ready
for presentation to the council. If the council desires to
schedule a workshop to review the material; a date and time will
need to be scheduled.
isCity Center
111 Hassan Street SE
Hutchinson, MN 55350 -2522
(612) 587 -5151
Fax(612)234 -4240
Parks & Recreation
900 Harrington Street SW
Hutchinson, MN 55350 -3097
(612) 587 -2975
Fax(611)134 -4240
- Pnnted an rem l,d pope, -
Police Services
10 Franklin Street SW
Hutchinson, MN 55350 -2464
(612) 587-2242
Fax (612) 587 -6427
•
CITY OF HUTCHINSON
BUDGET SCHEDULE
1996
JANUARY 1995 - JULY 1995 Planning 1 year and 5 year plans being development by
director following City's Vision Statement and
council's planned Direction.
June 27, Budget worksheets to directors and department heads to be
returned by July 27.
July 11, Review budget schedule with City Council
July 27, Budget worksheets prepared and returned to finance
department for fund summary of expenses and revenues for
preliminary budget presentation
August Directors review budget and propose adjustments to
balance revenues and expenditures. preliminary numbers
given to city council.
September 12, City Council selects hearing date - school district selects
first date, county dates are December 12 and December 19.
City's selected date and time cannot conflict with School
District 423 or McLeod County Truth -In- Taxation (TIT)
hearing dates. Hearing cannot be any earlier than
November 29, 1995 nor later than December 20, 1995.
City Council set preliminary tax levy for 1996. Certified
levy can be reduced but cannot be increased for 1996 after
public hearing.
September through November City council reviews budget - general fund, other
government and enterprise funds of the City. Schedule as
determined by City Council.
November 10 - 24 Parcel specific notices mailed to tax payers indicating
preliminary taxes payable. Notice gives date and time of
hearings by taxing district.
November/ December Printed Notice not more than 6 business days prior but not
less than 2 days prior to Truth -In- Hearing date established
in September.
--Z),
December 20 Or at least i day after public hearing city council adopts
final 1996 tax levy and certifies the amount to the McLeod
County Auditor's Office.
9
•
s
•
NEW YORK
WASHINGTON, D. G.
DENVER
ORANGE COUNTY, CA
LONDON-
BRUSSELS
HONG KONG
Mr. Dick Lennes
City of Hutchinson
111 Hassan Street SE
Hutchinson, MN 55350
DoiRSEY & WHITNEY
PROICSS10 %AL LJA,,C. Ll.,011111 PAPT \- EPSHIP
PILLSBURY CENTER SOUTH
220 SOUTH SIXTH STREET
MINNEAPOLIS. MINNESOTA 33102-1498
(912) 340-2900
F.,C !912 3. 2888
Mr. Kenneth Merrill
City of Hutchinson
111 Hassan Street SE
• Hutchinson, MN 55350
Mr. G. Barry Anderson
Arnold, Anderson & Dove
101 Park Place
Hutchinson, MN 55350 -2563
JEROME P. GELUGAN
(6121340-2M
July 7, 1995
Re: Hutchinson Hotel Development Agreement
Dear Dick, Ken and Barry:
SEATTLE
ROCHESTER. MN
BILLINGS
GREAT FALLS
MISSOULA
DES MOINES
FARGO
Enclosed is a first draft of the Development Agreement for the
Hutchinson Hotel redevelopment project, together with a resolution of the City
Council approving the Development Agreement and pay -as- you -go tax increment
Bond. The form of the Bond is attached as Exhibit C to the Development
Agreement. The Bond is payable from 80% of the tax increment received by the City
from TIF District No. 10. No other funds are pledged by the City to the payment of
the Bond.
I have provided that the principal amount of the Bond is $190,000. I
have provided that no interest accrues on the Bond until the later of January 1, 1997
or the second January 1 following the issuance of the Certificate of Completion with
• respect to the project.
I
DORSEY & WHIT \FY
P—,--, i—,. L,.. —' rare1,..—
Page -2-
Mr. Dick Lennes
Mr. Kenneth Merrill
Mr. G. Barry Anderson
July 7, 1995
Please review this material and call me with any questions or
comments you may have.
JPG:cmn
Enclosures
0
•
•
e
r
• CERTIFICATE
CITY OF HUTCHINSON MINNESOTA
I, the undersigned being the duly qualified City Administrator of the
City of Hutchinson, Minnesota (the City), hereby attest and certify that:
1. As such officer, I am the recording officer of the City and have the
legal custody of the original record from which the attached resolution was
transcribed.
2. I have carefully compared the attached resolution with the original
record of the meeting at which the resolution was acted upon.
3. I find the attached resolution to be a true, correct and complete copy
of the original:
RESOLUTION NO.
Resolution Relating to Development Program for
Development District No. 4; Approving Execution of
Development Agreement with Morningside
• Development Company and Issuance of Limited Revenue
Taxable Tax Increment Bond
1]
4. I further certify that the affirmative vote on said resolution was
ayes, nayes, and absent/ abstention.
5. Said meeting was duly held, pursuant to call and notice thereof, as
required by law, and a quorum was present.
WITNESS my hand officially as such City Administrator this day
of ,1995.
Gary D. Plotz,
City Administrator
Councilmember introduced the following
resolution and moved its adoption:
RESOLUTION NO.
RESOLUTION RELATING TO DEVELOPMENT
PROGRAM FOR DEVELOPMENT DISTRICT NO. 4;
APPROVING EXECUTION OF DEVELOPMENT
AGREEMENT WITH MORNINGSIDE DEVELOPMENT
COMPANY AND ISSUANCE OF LIMITED REVENUE
TAXABLE TAX INCREMENT BOND
BE IT RESOLVED by the City Council (the "Council') of the City of
Hutchinson, Minnesota (the "City"), as follows:
Section 1. Recitals.
1.01. Development Program and Tax Increment Financing Plan. The
City has previously approved a development program for a development district of
the City, under Minnesota Statutes, Sections 469.124 through 469.134, and a tax
increment financing plan of the City, under Minnesota Statutes, Section 469.174 to
469.179, designated as Development Program for Development District No. 4 (the
"Development District") and Tax Increment Financing Plan for Tax Increment
Financing District No. 10 (the "Tax Increment Financing Plan"). The Tax Increment
Financing Plan established Tax Increment Financing District No. 10 (the "Tax
Increment District ").
1.02. Expenditure of TM Increment Revenue. The Development
District constitutes a "project' and the Tax Increment District constitutes a "tax
increment financing district" within the meaning of Minnesota Statutes, Sections
469.174 to 469.179, and thus the City has authority under said Sections 469.174 to
469.179 to expend ad valorem tax increments derived from the Tax Increment
District to pay costs incurred or to be incurred by the City in aid of the Development
Program for the Development District, or to pay the principal of and interest on
bonds, notes or other obligations of the City issued to finance such costs, in
accordance with the Dedevelopment Program.
1.03. Computation of Tax Increment The County Auditor of McLeod
County upon application of the City has or will certify to the City, the Original Tax
Capacity of all taxable property in the Tax Increment District (the "Original Tax
Capacity"), and is to certify to the City in each year the then current Tax Capacity of
all taxable property in the Tax Increment District (the "Current Tax Capacity"). The
Current Tax Capacity, less the Original Tax Capacity, is the Captured Tax Capacity.
The ad valorem taxes derived from the property in the Tax Increment District in
each year, by application of the aggregate tax capacity rate levied by all governmental
i
•
•
entities having authority to levy taxes on such property to the Captured Tax
Capacity, subject to the limits set forth in the Minnesota Statutes, Section 469.177, is
the Tax Increment to be derived from the Tax Increment District (the "Tax
Increment ").
1.04. Development Agreement and Bond. It has been proposed that
the City enter into a Development Agreement (the "Development Agreement ")
between Morningside Development Company (the "Developer "), the form of which
has been presented to this Council and is ordered placed on file in the office of the
City Administrator. Under the Development Agreement, the Developer agrees to
renovate the existing Hutchinson Hotel into an office /renovation condominium,
together with other related site improvements (the "Project ") on property included
in the Development District and in the Tax Increment District. The Development
Agreement provides that to reimburse the Developer for a portion of the costs of the
Project the City will issue to the Developer the Limited Revenue Taxable Tax
Increment Bond of the City in the original principal amount of up to $190,000 and in
substantially the form attached to the Development Agreement (the 'Bond "). The
Bond will be payable solely out of Tax Increment and will bear interest at the rates
provided in the Bond.
is 2.01. Approval of Development Agreement and Bond. The form and
terms of the Development Agreement and the Bond are hereby approved, and the
execution and delivery by the City of the Development Agreement and execution,
delivery and issuance of the Bond by the City as provided in the Development
Agreement are hereby authorized. The terms of the Bond shall be as set forth in the
Bond. The Mayor and City Administrator are hereby authorized and directed to
execute and deliver the Development Agreement and the Bond on behalf of the City
in substantially the form presented hereto with such changes and modifications as
may be approved by the officers executing the Development Agreement and the
Bond. The execution and delivery of the Development Agreement and the Bond by
the Mayor and City Administrator shall be conclusive evidence of the approval of
any changes and modifications to the Development Agreement and the Bond by
such officers.
1]
2.02. Pledge of Tax Increment. The portion of the Tax Increment
which constitutes "Available Tax Increment," as defined in the Bond, is hereby
pledged to pay the principal of and interest on the Bond as provided in the Bond.
2.03. No Representations or Warranties. The City does not in any
manner represent or warrant that the Tax Increment will be sufficient to pay the
principal of and interest on the Bond when due.
-2-
Section • l ty Auditor RQgjairation and Certification of
3.01. County Auditor Registration. The City Administrator is hereby
authorized and directed to file a certified copy of this resolution with the County
Auditor of McLeod County, together with such other information as the County
Auditor shall require, and to obtain from such County Auditor a certificate that the
Bond has been entered on his bond register as required by law.
3.02. Certification of Proceedinp. The officers of the City and the
County Auditor of McLeod County are hereby authorized and directed to prepare
and furnish to the purchaser of the Bond and to Dorsey & Whitney, Bond Counsel,
certified copies of all proceedings and records of the City, and such other affidavits,
certificates and information as may be required to show the facts relating to the
legality and marketability of the Bond as to the same appear from the books and
records under their custody and control or as otherwise known to them, and all
such certified copies, certificates and affidavits, including any heretofore furnished,
shall be deemed representations of the City as to the facts recited therein.
Attest:
Mayor
City Administrator
The motion for the adoption of the foregoing resolution was duly
seconded by Councilmember
taken thereon, the following voted in favor thereof:
and the following voted against the same:
and upon vote thereof being
whereupon said resolution was declared duly passed and adopted, and was signed by
the Mayor, whose signature was attested by the City Admininistrator.
E
•
-3- 0
0
•
11
DEVELOPMENT AGREEMENT
DEVELOPMENT DISTRICT NO. 4
(MORNINGSIDE DEVELOPMENT COMPANY.)
CITY OF HUTCHINSON, MINNESOTA
IR`f7
MORNINGSIDE DEVELOPMENT COMPANY
...
roan A"
• TABLE OF CONTENTS
Section 1.1 Definitions ................. ...............................
Section 2.1 By City ..................... ...............................
Section 2.2 By Developer ............... ...............................
Section 3.1 Use ........................ ...............................
Section 3.2 Declaration of Restrictions ..................................
Section 4.1 Construction Plans .......... ...............................
Section 4.2 Undertaking of Project ....... ...............................
Section 4.3 Certificate of Completion ...................................
Section 5.1 Defense of Qaims ........... ...............................
• Section 5.2 Insurance .................. ...............................
Section 6.1 Issuance of Bond ............ ...............................
Section 7.1 Transfer of Property and Assignment ........................
Section 7.2 Termination of Limitations on Transfer ......................
Section 8.1 Events of Default ............ ...............................
Section 8.2 Remedies on Default ........ ...............................
Section 8.3 No Remedy Exclusive ......................................
Section 8.4 Waivers .................... ...............................
Section 9.1 Conflict of Interests; City Representatives
Not Individually Liable .....................................
Section 9.2 Equal Employment Opportunity .............................
• Section 9.3 Restrictions on Use .......... ...............................
-i-
Section 9.4 Titles of Articles and Sections ............................... •
Section 9.5 Notices and Demands ....... ...............................
Section 9.6 Term of Agreement ......... ...............................
Section 9.7 Counterparts ............... ...............................
Schedule A Development Property
Schedule B Project Description
Exhibit A Certificate of Completion
Exhibit B Declaration of Restrictive Covenants
Exhibit C Form of Bond
•
_ii_ is
• DEVELOPMENT AGREEMENT
This Agreement is made as of ' 1995, by and between
the CITY OF HUTCHINSON, MINNESOTA, a municipal corporation of the State of
Minnesota (the "City"), and MORNINGSIDE DEVELOPMENT COMPANY, a
( "Developer ").
W ITNESSETH:
WHEREAS, 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, Sections 469.124
to 469.134 (the "Act ");
WHEREAS, the City has established a tax increment financing district
designated as Tax Increment Financing District No. 10 (the "District ") within the
Development District and authorized the financing of the Development Program
pursuant to a Tax Increment Financing Plan For Tax Increment Financing District
No. 10 (the "Financing Plan") pursuant to and in accordance with Minnesota
• Statutes, Sections 469.174 through 469.179 (the "Tax Increment Financing Act ");
WHEREAS, 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;
WHERAS, 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 reimburse the Developer for certain costs to be paid by the Developer
with respect to improvements to be constructed on the property located in McLeod
County, Minnesota described in Exhibit A hereto (the "Development Property");
WHEREAS, the City is desirous of contracting with the Developer to
improve the Development 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.
NOW, THEREFORE, in consideration of the foregoing premises and
the mutual obligations set forth in this Agreement, the parties hereto hereby agree
as follows:
ARTICLE 1
Definitions
Section I.I. Definitions. In this Agreement, unless a different
meaning clearly appears from the context:
"Act" means Minnesota Statutes, Sections 469.124 through 469.134.
"Agreement" means this Agreement, as the same may be from time to time
modified, amended or supplemented.
"Bond Resolution" means the resolution or resolutions adopted by the City Council
authorizing the issuance and setting forth the terms and security for the Bond.
"Bond" means the Limited Revenue Taxable Tax Increment Bond in substantially
the form of Exhibit C hereto to be issued by the City pursuant to the Bond
Resolution and to be delivered by the City to the Developer as provided in
Section 6.1 hereof.
"Certificate of Completion" means a certification in the form attached as Exhibit A,
to be provided to Developer pursuant to this Agreement.
CJ
"City" means the City of Hutchinson, Minnesota, a Minnesota municipal •
corporation.
"City Council" means the City Council of the City.
"Construction Plans" means the plans, specifications, drawings and related
documents for the construction work to be performed by the Developer on the
Development Property as a part of the Project, which (a) shall be at least as detailed
as the plans, specifications, drawings and related documents which are submitted to
the building inspector of the City and (b) shall include at least the following: (1) site
plan; (2) foundation plan; (3) basement plans; (4) floor plan for each floor; (5)
elevations on all sides; (6) landscape plan; (7) grading plan; and (8) utility plan.
"Development Area" means the area included in the Development District.
"Development District" means Development District No. 4 designated by the City
under the Act.
"Developer" means Momingside Development Company, a
-2- •
• "Development Program" means the Development Program for the Development
District.
"Development Property" means the portion of the Development Area described on
Schedule A attached hereto.
"Event of Default" means as set forth in Section 9.01 hereof.
"Improvements" means the buildings or other improvements located on the
Development Property.
"Mortgage" means any mortgage made by Developer which covers, in whole or in
part, the Development Property.
"Mortgagee" means the owner or holder of a Mortgage.
"Net Proceeds" means any proceeds paid by an insurer to Developer and the City
under a policy or policies of insurance required under Article 5 and remaining after
deducting all expenses (including fees and disbursements of counsel) incurred in the
collection of the proceeds.
• "Project' means the renovation of the existing building on the Development
Property into an office /retail condominium, and the construction of site
improvements and other improvements of a public nature, all as further described
in Schedule B attached to this Agreement.
11
"Plans" means Developer's plans dated . 1995 for the Project
prepared by as submitted to the City,
with any subsequent amendments approved by the City.
"Restrictions" means the Declaration of Restrictive Covenants set forth in Exhibit B.
"Section" means a Section of this Agreement, unless used in reference to Minnesota
Statutes.
"State" means the State of Minnesota.
"Tax Increment Act" means Minnesota Statutes, Sections 469.174 through 469.179.
"Tax Increment District" means Tax Increment Financing District No. 10 created by
the City pursuant to the Tax Increment Financing Plan.
-3-
"Tax Increment Financing Plan" means Tax Increment Financing Plan for
Redevelopment Tax Increment Financing District No. 10 approved by the City and
the City Council and dated June 27, 1995.
"Unavoidable Delay" means a failure or delay in a party's performance of its
obligations under this Agreement, or during any cure period specified in this
Agreement which does not entail the mere payment of money, not within the
party's reasonable control, including but not limited to acts of God, governmental
agencies, the other party, strikes, labor disputes (except disputes which could be
resolved by using union labor), fire or other casualty, or lack of materials; provided
that within 10 days after a party impaired by the delay has knowledge of the delay it
shall give the other party notice of the delay and the estimated length of the delay,
and shall give the other party notice of the actual length of the delay within 10 days
after the cause of the delay has ceased to exist. The parties shall pursue with
reasonable diligence the avoidance and removal of any such delay. Unavoidable
Delay shall not extend performance of any obligation unless the notices required in
this definition are given as herein required.
Section 2.1. By City. City makes the following representations to •
Developer:
(a) City is a Minnesota municipal corporation. Under the provisions
of the Act, City has the power to enter into this Agreement and carry out its
obligations hereunder.
(b) The Development Project is located within the Development
District and the Development Program for the Redevelopment District was adopted
and approved in accordance with the terms of the Act.
(c) The Tax Increment District is a "tax increment district" within the
meaning of the Tax Increment Act and was created, adopted and approved in
accordance with the terms of the Tax Increment Act.
Section 2.2. By Developer. Developer represents and warrants that:
(a) Developer is a duly organized
and existing under the laws of Minnesota[ and is in good standing under the laws of
the State]. The Developer has full [corporate] power and authority to execute and
deliver this Agreement and this Agreement has been duly authorized, executed and
delivered by the Corporation.
-4- 0
• (b) Developer will, subject to Unavoidable Delays, complete the Project
in accordance with the terms of this Agreement, and all local, state and federal laws
and regulations.
(c) Developer has received no notice or communication from any
local, state or federal official that the activities of Developer or the City with respect
to the Development Property may be or will be in violation of any environmental
law or regulation. Developer is aware of no facts the existence of which would cause
it to be in violation of any local, state or federal environmental law, regulation or
review procedure with respect to the Development Property.
(d) Neither the execution or delivery of this Agreement, the
consummation of the transactions contemplated hereby, nor the fulfillment of or
compliance with the terms and conditions of this Agreement is prevented by,
limited by, conflicts with, or results in a breach of, any restriction, agreement or
instrument to which Developer is now a party or by which it is bound.
(e) The Developer (i) is not in default in the payment of the principal
of or interest on any indebtedness for borrowed money; or (ii) is not in default
under any instrument or agreement under and subject to which any indebtedness
for borrowed money has been issued.
• (f) The Developer would not undertake the Project but for the tax
increment financing assistance being provided by the City hereunder.
(g) No member of the governing body of the City or any other officer of
the City has any direct or indirect financial interest in the Developer, the
Development Property or the Project.
(h) The costs of land acquisition, demolition, relocation and other site
preparation to be paid by the Developer with respect to the Project will be in excess
of $190,000.
�IMWGTMPA'ZM- It
Section 3.1 Imo. Developer's use of the Development Property shall be
subject to and in compliance with all of the conditions, covenants, restrictions and
limitations imposed by this Agreement, the Restrictions and all applicable laws,
ordinances and regulations.
Section 3.2 Declaration of Restrictions. Developer shall prepare,
• execute, and record on the title to the Development Property a Declaration of
-5-
Restrictive Covenants, substantially in the form set forth as Exhibit B, and shall
cause each existing Mortgagee to execute an appropriate instrument in form
satisfactory to the City consenting to and agreeing to be bound by the Restrictions in
the event it becomes a record owner of all or a part of the Development Property.
0 t
141111. :••
Section 4.1 Construction Plans. Developer shall submit Construction
Plans to the City according to the Time Table. The Construction Plans shall provide
for construction of the portion of the Project consisting of construction in
conformity with the Plans, this Agreement, and all applicable state and local laws
and regulations. The City shall approve the Construction Plans in writing if no
Event of Default has occurred and, in the reasonable discretion of the City, the
Construction Plans: (a) substantially conform to the Plans and subsequent
amendments approved by the City; (b) conform to the terms and conditions of this
Agreement; (c) conform to all applicable federal, state and local laws, ordinances,
rules and regulations; (d) are adequate to provide for construction of the portion of
the Project consisting of construction; and (e) provide for minimum disturbance to
neighboring properties during construction.
No approval by the City shall relieve Developer of the obligation to •
comply with the terms of this Agreement, applicable federal, state and local laws,
ordinances, rules and regulations, or to properly demolish the existing buildings or
construct the Improvements. No approval by the City shall constitute a waiver of
an Event of Default. Any disapproval of the Construction Plans shall set forth the
reasons therefor, and shall be made within 30 days after the date of their receipt by
the City. If City rejects the Construction Plans, in whole or in part, Developer shall
submit new or corrected Construction Plans within 30 days after written notification
to Developer of the rejection. The provisions of this Section relating to approval,
rejection and resubmission of corrected Construction Plans shall continue to apply
until the Construction Plans have been approved by City.
(a) Subject to Unavoidable Delays, Developer will complete the Project
all in accordance with the Plans and the Construction Plans on or before
.199
(b) All work with respect to the portion of the Project consisting of
construction shall be in substantial conformity with the Construction Plans
approved by the City. Developer shall promptly begin the Project and diligently
prosecute the Project to completion. Developer shall make reports, in such detail
-6- •
• and at such times as may reasonably be requested by the City, as to the actual
progress of Developer with respect to the Project.
(c) Developer shall not interfere with, or construct any improvements
over, any public street or utility easement without the prior written approval of the
City. All connections to public utility lines and facilities shall be subject to approval
of the City and any private utility company involved. Except for public
improvements which are assessable by the City or other governmental body against
other benefitted properties, all street and utility installations, relocations, alterations
and restorations shall be at Developer's expense and without expense to the City.
Developer at its own expense shall replace any public facilities or utilities damaged
during the Project.
(a) Promptly after completion of the Project in accordance with this
Agreement, Developer will provide the City with a certificate of substantial
completion from Developer's architect and the City will furnish Developer with an
appropriate Certificate of Completion as conclusive evidence of satisfaction and
termination of the agreements and covenants of this Agreement with respect to the
obligations of Developer to complete the Project. The furnishing by the City of the
Certificate of Completion shall not constitute evidence of compliance with or
• satisfaction of any obligation of Developer to any Mortgagee.
(b) If the City shall refuse or fail to provide the Certificate of
Completion, the City shall, within 15 days after the Developer provides the
architect's certificate referenced in Section 43(a), provide Developer with a written
statement specifying in what respects Developer has failed to complete the Project in
accordance with this Agreement, or is otherwise in default, and what measures or
acts will be necessary, in the opinion of the City, for Developer to obtain the
Certificate of Completion.
Section 5.1 Defense of Claims. Developer shall indemnify and hold
harmless the City and their respective officers, employees and agents for any loss,
damages and expenses (including attorneys' fees) in connection with any claims or
proceedings arising from damages or injuries received or sustained by any person or
property by reason of any actions or omissions of Developer or its contractors,
agents, officers or employees or arising out of or relating to this Agreement or the
transactions contemplated by this Agreement, other than claims or proceedings
• arising from any negligent or unlawful acts or omissions of the City or its
-7-
contractors, agents, officers or employees, and for any loss, damages and expenses in
connection with any claims or proceedings related to the payment of relocation
benefits to any person as a result of any redevelopment of the Development
Property by the Developer. Promptly after receipt by the City of notice of the
commencement of any action in respect of which indemnity may be sought against
the Developer under this Section 5.1, such person will notify the Developer in
writing of the commencement thereof, and, subject to the provisions hereinafter
stated, the Developer shall assume the defense of such action (including the
employment of counsel, who shall be counsel satisfactory to the City, and the
payment of expenses) insofar as such action shall relate to any alleged liability in
respect of which indemnity may be sought against the Developer. The City shall
have the right to employ separate counsel in any such action and to participate in
the defense thereof, but the fees and expenses of such counsel shall not be at the
expense of the Developer unless the employment of such counsel has been
specifically authorized by the Developer. The Developer shall not be liable to
indemnify any person for any settlement of any such action effected without its
consent. The omission to notify the Developer as herein provided will not relieve
it from any liability which it may have to any indemnified party pursuant hereto,
otherwise than under this section.
Section 5.2 Insurance.
(a) The Developer shall keep and maintain the Development Property •
and Improvements at all times insured against such risks and in such amounts,
with such deductible provisions, as are customary in connection with facilities of
the type and size comparable to the 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 direct damage insurance covering all risks of loss,
including, but not limited to, the following:
(1) fire
(2) extended coverage perils
(3) vandalism and malicious mischief
(4) boiler explosion (but only if steam boilers are present)
(5) water damage
(6) debris removal
(7) 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 with respect to any portion of the Improvements to be renovated
or remodeled as a part of the Project prior to the issuance by the City of a
-8- •
Completion Certificate under Section 4.3 hereof with respect thereto shall be
maintained on an "all- risk' builder's risk basis during the course of construction.
The policies required by this Section 5.2 shall be subject to a no coinsurance clause or
contain an agreed amount clause, and may contain a deductibility provision not
exceeding $25,000.
(b) Policies of insurance required by this Section 5.2 shall assure and be
payable to the Developer, and shall provide for release of insurance proceeds to the
Developer for restoration of loss. The City shall be furnished certificates showing
the existence of such insurance. In case of loss, the Developer is hereby authorized
to adjust the loss and execute proof thereof in the name of all parties in interest.
The Developer shall annually file with the City a schedule describing all such
policies in force, including the types of insurance, names of insurers, policy
numbers, effective dates, terms of duration or any other information the City deems
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 5.2.
.. :!.1.
• Section 6.1 Issuance of Bond. In order to reimburse the Developer for
all or a portion of the costs paid by the Developer as to that portion of the Project
identified on Schedule B hereto, the City agrees to issue the Bond to the Developer.
The Bond shall be originally issued in the principal amount of $190,000. No interest
shall accrue on the Bond until the later of (i) January 1, 199 or (ii) the second
Janaury 1 following issuance by the City of the Certificate of Completion pursuant to
Section 4.3 hereof; and thereafter interest shall accrue on the Bond at 9.50% per
annum. The Developer acknowledges that no payments shall be due and owing on
the Bond after February 1, 2022.
lung M.7 MVO U-NUFFIRMUM-2-31
Section 7.1 Transfer of Property and Assignment. Developer has not
made and will not make, or suffer to be made, any total or partial sale, assignment,
conveyance, lease, mortgage, encumbrance, lien or other transfer, with respect to
this Agreement or the Development Property or any part thereof or any interest
therein, or any contract or agreement to do any of the same, other than the mortgage
of the Development Property to secure the Developer's financing of the costs of the
Project, without the prior written approval of the City. The City shall be entitled to
• require as conditions to any such approval that: (i) the-proposed transferee have the
-9-
qualifications and financial responsibility, as reasonably determined by the City, •
necessary and adequate to fulfill the obligations undertaken in this Agreement by
Developer; (ii) the proposed transferee, by recordable instrument satisfactory to the
City shall, for itself and its successors and assigns, assume all of the obligations of
Developer under this Agreement. No transfer of, or change with respect to,
ownership in the Development Property or any part thereof, or any interest therein,
however consummated or occurring and whether voluntary or involuntary, shall
operate, legally or practically, to deprive or limit the City of or with respect to any
rights or remedies or controls provided in or resulting from this Agreement with
respect to the Development Property and the completion of the Project that the City
would have had, had there been no such transfer or change. There shall be
submitted to the City for review all legal documents relating to the transfer.
In the absence of specific written agreement by the City to the contrary,
no such transfer or approval by the City thereof shall be deemed to relieve
Developer, or any other party bound in any way by this Agreement or otherwise
with respect to the completion of the Project, from any of its obligations with respect
thereto.
7.2 Termination of Limitations on Transfer. The provisions of
Section 7.1 shall terminate at such time as the Certificate of Completion has been
issued by the City under Section 4.3 of this Agreement with respect to the Project.
ARTICLE 8 •
Events of Default
Section 8.1 Events of Default. The following shall be "Events of
Default' under this Agreement and the term 'Event of Default' shall mean,
whenever it is used in this Agreement (unless the context otherwise provides), any
one or more of the following events which occurs and continues for more than 30
days after notice by the City to Developer of such default (and the term "default'
shall mean any event which would with the passage of time or giving of notice, or
both, be an 'Event of Default' hereunder):
(a) Failure of Developer to complete the Project as required hereunder.
(b) Failure of Developer to furnish the Construction Plans as required
hereunder.
(c) Failure of Developer to observe and perform any other covenant,
condition, obligation or agreement on his part to be observed or performed
hereunder or under the Restrictions.
-10- •
• (e) If prior to the issuance of the Certificate of Completion under
Section 4.3 hereof, Developer shall admit in writing his inability to pay its debts
generally as they become due, or shall file a petition in bankruptcy, or shall make an
assignment for the benefit of his creditors, or shall consent to the appointment of a
receiver of itself or of the whole or any substantial part of the Development
Property.
Section 8.2 Remedies on Default. Whenever any Event of Default
referred to in Section 8.1 occurs, the City may take any one or more of the following
actions:
(a) Suspend its performance under this Agreement until it receives
assurances from Developer, deemed adequate by the City, that Developer will cure
its default and continue its performance under this Agreement.
(b) Terminate all rights of Developer under this Agreement.
(c) Withhold the Certificate of Completion.
(d) Terminate the Bond.
(e) Take whatever action at law or in equity may appear necessary or
• desirable to the City to enforce performance and observance of any obligation,
agreement, or covenant of the Developer under this Agreement.
•
Section 8.3. No Remedy Exclusive. No remedy herein conferred upon
or reserved to the City is intended to be exclusive of any other available remedy or
remedies, but each and every such remedy shall be cumulative and shall be in
addition to every other remedy given under this Agreement or now or hereafter
existing at law or in equity or by statute. No delay or omission to exercise any right
or power accruing upon any default shall impair any such right or power or shall be
construed to be a waiver thereof, but any such right and power may be exercised
from time to time and as often as may be deemed expedient. In order to entitle the
City or Developer to exercise any remedy reserved to it, it shall not be necessary to
give notice, other than such notice as may be required under this Agreement.
Section 8.4. Waivers. All waivers by the City, shall be in writing. If
any provision of this Agreement is breached by either party and thereafter waived by
the other party, such waiver shall be limited to the particular breach so waived and
shall not be deemed to waive any other concurrent, previous or subsequent breach
hereunder.
11-
ARTICLE 9
Additional Provisions
Section 9.1 Conflict of Interests; City Representatives Not Individually
Liable. No member, official, employee, or consultant or employees of the
consultants of the City shall have any personal interest, direct or indirect, in this
Agreement, nor shall any such member, official, consultant or the consultant's
employees or employee participate in any decision relating to this Agreement which
affects his or her personal interests or the interests of any corporation, partnership,
or association in which he or she is directly or indirectly interested. No member,
official, consultant or the consultant's employees, or employee of the City shall be
personally liable to Developer, or any successor in interest, in the event of any
default or breach by the City or for any amount which may become due to Developer
or successor or on any obligations under the terms of this Agreement.
Section 9.2 Equal Emploympni Qpportunity. Developer, for itself and
its successors and assigns, agrees that during the construction of the Project it will
comply with any applicable affirmative action and nondiscrimination laws or
regulations.
•
Section 9.3 Restrictions on Use. Developer agrees for itself, and its
successors and assigns, and every successor in interest to the Development Property,
or any part thereof, that Developer, and such successors and assigns, shall devote the •
Development Property to, and only to and in accordance with, the uses specified in
this Agreement, and shall not discriminate upon the basis of race, color, creed, sex or
national origin in the sale, lease, or rental or in the use or occupancy of the
Development Property or any improvements erected or to be erected thereon, or any
part thereof.
Section 9.4 Titles of Articles and Sections. Any titles of the several
parts, Articles, and Sections of this Agreement are inserted for convenience of
reference only and shall be disregarded in construing or interpreting any of its
provisions.
Section 9.5 Notices and Demands. Except as otherwise expressly
provided in this Agreement, a notice, demand, or other communication under this
Agreement by either party to the other shall be sufficiently given or delivered if it is
dispatched by registered or certified mail, postage prepaid, return receipt requested,
or delivered personally as follows:
(a) in the case of Developer, addressed to or delivered personally to
Developer at . Hutchinson, Minnesota 55350;
-12- •
• (b) in the case of the City addressed or delivered personally to the City
Administrator at City Center, 111 Hassan Street SE, Hutchinson, Minnesota 55350;
•
•
or at such other address with respect to any such party as that party may, from time
to time, designate in writing and forward to the other parties as provided in this
Section.
Section 9.6 Term of Agreement. This Agreement shall terminate
upon the later to occur of (i) February 1, 2022, or (ii) the payment in full of the Bond;
provided that notwithstanding the termination of this Agreement, the Restrictions
shall remain in full force and effect until terminated in accordance with its terms.
Section 9.7. Counterparts. This Agreement is executed in any number
of counterparts, each of which shall constitute one and the same instrument.
-13-
IN WITNESS WHEREOF, the parties have caused this Agreement to be •
duly executed as of the date first above written.
CITY OF HUTCHINSON, MINNESOTA
By
Its Mayor
VI
Its City Administrator
MORNINGSIDE DEVELOPMENT COMPANY
QI
•
-14- •
• STATE OF MINNESOTA )
SS
COUNTY OF )
L�
•
The foregoing instrument was acknowledged before me this _ day of
1995, by the Mayor and the City Administrator of the City of
Hutchinson, Minnesota, a Minnesota municipal corporation.
-15-
Notary Public
STATE OF MINNESOTA
COUNTY OF
)
SS
The foregoing instrument
1995, by
Morningside Development Company, a
Dorsey & Whitney P.L.L.P. (JPG)
Pillsbury Center South
220 South Sixth Street
Minneapolis, Minnesota 55402
was acknowledged before me this _ day of
the of
-16-
Notary Public
.I
L
E
0 SCHEDULE A
0
0
DEVELOPMENT PROPERTY
[Insert Legal Description]
Wel
I. SITEWORK
• [Insert details]
H. EXTERIOR
• [Insert details]
III. STRUCTURE
• [Insert details]
IV. INTERIORS
• [Insert details]
V. UTILITIES
• [Insert details]
SCHEDULE B
PROJECT DESCRIPTION
w
CJ
•
• EXHIBIT A
CERTIFICATE OF COMPLETION
WHEREAS, Momingside Development Company ( "Owner') is the
owner of the property in the County of McLeod and State of Minnesota described on
Exhibit 1 attached hereto and made a part hereof ( "Property"); and
WHEREAS, the Property is subject to the provisions of a certain
Redevelopment Agreement (the "Agreement ") dated 1995 by and
between Owner and the City of Hutchinson, Minnesota (the "City"); and
WHEREAS, Owner has fully and duly performed all of the covenants
and conditions of Owner under the Agreement with respect to the completion of
the Project (as defined in the Agreement);
NOW, THEREFORE, it is hereby certified that all requirements of
Owner under the Agreement with respect to the completion of the Project have
been completed and duly and fully performed, and this instrument is to be
conclusive evidence of the satisfactory termination of the covenants and conditions
of the Agreement as they relate to the completion of the Project. All other
• covenants and conditions of the Agreement shall remain in effect and are not
terminated hereby.
Dated this _ day of 199_
CITY OF HUTCHINSON, MINNESOTA
By
Its Mayor
M
•
Its City Administrator
1:61
STATE OF MINNESOTA ) •
) SS
COUNTY OF )
The foregoing instrument was acknowledged before me this _ day of
. 199 by . Mayor and
City Administrator of the City of Hutchinson, Minnesota.
This Instrument Was Drafted By:
DORSEY & WHITNEY P.L.L.P. (JPG)
Pillsbury Center South
220 South Sixth Street
Minneapolis, Minnesota 55402
A -2
Notary Public
•
0
• EXHIBIT B
DECLARATION OF RESTRICTIVE COVENANTS
This Declaration is made and executed as of the day of
1995 by Morningside Development Company, a
( "Declarant ").
A. Declarant is fee owner of the following described premises located in the
County of McLeod, State of Minnesota (the "Property"):
[Insert legal description]
B. The City of Hutchinson, Minnesota ( "City") has entered into a
Development Agreement, dated . 1995 (the "Development
Agreement "), with the Declarant. The Development Agreement provides for
certain aid and assistance to be provided by the City in connection with the
acquisition by the Declarant of the Property and the renovation by the Declarant of
the building located thereon into an office /retail condominimum.
• C. Section 3.2 of the Redevelopment Agreement provides for this Declaration
to be executed by Declarant and for this Declaration to be filed of record in the real
estate records.
NOW, THEREFORE, in consideration of the foregoing and in compliance
with its obligations under Section 3.2 of the Redevelopment Agreement, Declarant,
for itself, and its successors and assigns, does hereby declare that the Property shall be
owned, used, occupied, sold and conveyed subject to the following covenants and
restrictions:
1. The Property shall not be exempt from real estate taxes notwithstanding
the ownership or use of the Property.
2. The Property shall not be sold, transferred, conveyed or leased to any of the
following parties:
(a) An institution of purely public charity;
(b) A church or ancillary tax exempt housing;
• (c) A public hospital;
M.
(d) A public school district; •
(e) An organization exempt from federal income taxes
pursuant to Section 501(c)(3) of the Internal Revenue
Code of 1986, as amended; or
(f) A Minnesota cooperative association organized under
Minnesota Statutes, Section 308.05 and 308.18 for the
purpose of complying with the provisions of Minnesota
Statutes, Section 273.133, subdivision 3, or any other party
that would cause the Property to be valued and assessed
for real estate tax purposes at a lower percentage of its.
market value than the Property is then being valued and
assessed for real estate tax purposes or would result in the
Property becoming exempt from real estate taxes.
3. The Property shall not be used for any of the following purposes:
(a) The operation of a public charity;
(b) A church or house of worship;
(c) The operation of a public hospital; •
(d) The operation of a public schoolhouse, academy, college,
university, or seminary of learning; or
(e) Any other use which would cause the Property to be
valued and assessed for real estate tax purposes at a lower
percentage of its market value than the Property is then
being valued and assessed for real estate tax purposes or
would result in the Property becoming exempt from real
estate taxes.
4. The covenants and restrictions herein contained shall run with the title to
the Property and shall be binding upon all present and future owners and occupants
of the Property; provided, however, that the covenants and restrictions herein
contained shall inure only to the benefit of the City, and may be released or waived
in whole or in part at any time, and from time to time, by the sole act of the City,
and variances may be granted to the covenants and restrictions herein contained by
the sole act of the City. These covenants and restrictions shall be enforceable only by
the City, and only the City shall have the right to sue for and obtain an injunction,
B -2 •
•
•
11
prohibitive or mandatory, to prevent the breach of the covenants and restrictions
herein contained, or to enforce the performance or observance thereof.
5. The covenants and restrictions herein contained shall remain in effect
until February 1, 2025 and thereafter shall be null and void.
6. If any one or more of the covenants or restrictions contained in this
Declaration are held to be invalid or enforceable, the same shall in no way affect any
of the other provisions of this Declaration, which shall remain in full force and
effect.
MORNINGSIDE DEVELOPMENT
COMPANY
STATE OF MINNESOTA )
) SS
COUNTY OF )
The foregoing instrument was acknowledged before me this
1995, by the
of Morningside Development Company, a
DRAFTED BY:
Dorsey & Whitney P.L.L.P. (JPG)
Pillsbury Center South
220 South Sixth Street
Minneapolis, Minnesota 55402
UN
Notary Public
day of
EXHIBIT C
FORM OF BOND
UNITED STATES OF AMERICA
STATE OF MINNESOTA
COUNTY OF MCLEOD
CITY OF HUTCHINSON, MINNESOTA
LIMITED REVENUE TAXABLE TAX INCREMENT BOND
(MORNINGSIDE DEVELOPMENT COMPANY)
0
THE CITY OF HUTCHINSON, McLeod County, Minnesota (the "City"),
acknowledges itself to be indebted and, for value received, hereby promises to pay to
Morningside Development Company, a (the
"Developer "), the principal amount specified above, together with interest hereon at
the rate of 0% per annum until the later of (i) January 1, 1997; or (ii) the second
Janaury 1 following the date of issuance of the Certificate of Completion pursuant to •
Section 4.3 of the Development Agreement, dated 1995 (the
"Development Agreement "), between the City and Developer; and thereafter at
9.50% per annum. The principal hereof is payable in lawful money of the United
States of America, by check or draft of the City mailed to the Developer at the
address specified by the Developer, on the dates and in the amounts hereafter
specified. Any interest due on this Bond on any February 1 or August 1 which is not
paid shall be added to the principal amount of the Bond on such date.
This Bond is issued pursuant to a resolution adopted by the City
Council of the City on 1995 (the "Resolution ") to reimburse the
Developer for the payment of the capital costs of a Development Program (the
"Development Program") for Development District No. 4 of the City to be
undertaken in Tax Increment Financing District No. 10 (the "District') of the City
and is issued pursuant to and in full conformity with the provisions of the
Constitution and laws of the State of Minnesota thereunto enabling, including
Minnesota Statutes, Section 469.178 and Chapter 475. This Bond is payable solely
from tax increments to be derived from the District (the "Tax Increment') which
have been pledged to the payment of this Bond by the Resolution.
On each August 1 and February 1 commencing August 1, 1997 through
and including February 1, 2022, the City will apply all Available Tax Increment, as •
C -1
hereinafter defined, to payment of this Bond. All such payments shall be applied
first to accrued interest and then to the principal amount of this Bond. No further
amounts shall be due and owing on this Bond after February 1, 2022,
notwithstanding that the full principal amount of this Bond and accrued interest
thereon shall not have been paid on such date, and any principal and interest
remaining unpaid as of such date shall be considered forgiven by the Developer.
"Available Tax Increment" is defined as 80% of the Tax Increment
received by the City.
This Bond shall not be deemed to constitute a general obligation of the
State of Minnesota or any political subdivision thereof, including, without
limitation, the City. Neither the State of Minnesota, nor any political subdivision
thereof, including, without limitation, the City, shall be obligated to pay the
principal of and interest on this Bond or other costs incident hereto except from Tax
Increment pledged therefor by the Resolution, and neither the full faith and credit
nor the taxing power of the State of Minnesota or any political subdivision thereof,
including, without limitation, the City, is pledged to the payment of the principal of
and interest on this Bond or other costs incident hereto.
THE CM MAKES NO REPRESENTATION OR WARRANTY THAT
THE AVAILABLE TAX INCREMENT WILL BE SUFFICIENT TO PAY THE
• PRINCIPAL OF AND INTEREST ON THIS BOND.
THIS BOND MAY NOT BE TRANSFERRED OR ASSIGNED, IN
WHOLE OR IN PART, BY THE DEVELOPER WITHOUT THE PRIOR WRITTEN
CONSENT OF THE CITY; PROVIDED THAT THE DEVELOPER MAY PLEDGE THIS
BOND AND THE PAYMENTS HEREUNDER TO A LENDER FOR THE PROJECT,
AS DEFINED IN THE DEVELOPMENT AGREEMENT, IF PRIOR WRITTEN
NOTICE OF SUCH ASSIGNMENT IS GIVEN TO THE CITY AND THE LENDER
DELIVERS TO THE CITY AN INSTRUMENT EXECUTED BY SUCH LENDER
ACKNOWLEDGING THAT IT HAS REVIEWED THE TERMS OF THE BOND,
THAT IT HAS SUFFICIENT KNOWLEDGE AND EXPERIENCE TO EVALUATE
THE ABILITY OF PAYMENTS TO BE MADE BY THE CITY UNDER THIS BOND,
THAT IT HAS ALL FINANCIAL AND OTHER INFORMATION IT HAS
REQUESTED REGARDING THE DISTRICT AND THE TAX INCREMENT, THAT
THE BOND IS PAYABLE SOLELY FROM AVAILABLE TAX INCREMENT AS
PROVIDED HEREIN AND THAT THE CITY IS NOT MAKING ANY
REPRESENTATIONS AND WARRANTIES AS TO THE SUFFICIENCY OF
AVAILABLE TAX INCREMENT TO PAY THE BOND.
IT IS HEREBY CERTIFIED, RECITED, COVENANTED AND AGREED
that all acts, conditions and things required by the Constitution and laws of the State
of Minnesota to be done, to exist, to happen and to be performed precedent to and in
• the issuance of this Bond in order to make it a valid and binding limited obligation
C -2
of the City according to its terms have been done, do exist, have happened and have
been performed in regular and due form as so required. 0
IN WITNESS WHEREOF, the City of Hutchinson, McLeod County,
State of Minnesota, by its City Council, has caused this Bond to be executed by the
signatures of its Mayor and City Administrator and has caused this Bond to be dated
as of the date set forth below.
Dated: 1995
City Administrator
C -3
Mayor
•
C
•
MEMORANDUM
• e 4 t, t.
SUBJECT:Vehicle Purchase Recommendation
• I am recommending that the City of Hutchinson enter into a contract with Boyer Ford Truck
Inc., Minneapolis, MN, for the purchase of a new 1995 Model L8000 Ford Cab & Chassis
Vehicle. The purchase of this vehicle would be in accordance with the State of Minnesota
Cooperative Purchasing Venture (CPV) Program.
Terms of the contract permit municipalities to "tag -on" to the State Contract and eliminate the
need for the bidding process. The beat reason is to take advantage of the State's volume buying
power, thereby saving a substantial amount of money, versus a single bid situation. Even though
the CPV does not have a trade -in provision, Boyer Ford has indicated they will bid the trade -in
separately.
I am recommending that the City of Hutchinson purchase the 1995 Ford Cab & Chassis from
Boyer Ford, per the State Contract price of $48,900.00.
The vehicle being replaced is a 1981 GMC, 2 -1/2 Ton Dump with Snow Plow. This vehicle was
included in the 1995 Budget for replacement.
City Center
I I I Hassan Street SE
Hutchinson, MN 55350 -2522
(612) 587 -5151
Fax(612)234 -4240
Parks & Recreation
900 Harrington Street SW
Hutchinson, MN 55350 -3097
(612) 587 -2975
Fax(612)234 -4240
- Printed on rerycfed paper -
Police Services
10 Franklin Street SW
Hutchinson, MN 55350 -1464
9- t (612) 587 -22
Fax (612) 587-6427
0
0
0
RETAIL "ON SALE"
btate of 'minne0ta,
COUXTr OF, . .. . ....... . _Q.JjY ..... . ... ... ....
To the... 1-1-1-CiLy .. CoUntil .. ...... .1 . of the .... ..— Qj.ly .............. .... oftutcbin&Q.n ................
....... ........... - - ... I".... ....... I . - I I . State of Minnesota:
hereby applies. for a Ueen`6 for the term Of.'rl$..�L_kT..MQ.ULIIS-...—.--r .........
/ram the..-- -4r."A -------- -- --- r....--'-..Aay Of' 191�—, to mu
At Retail Only, wineAntoxicating Malt Liquors,
as the same are defined by law, for ooneumption "Or' thou oartain premises Ln ihs.
.......... ......... .... . -- - ' ' '---C'I—ty_ ........ .. —of .__Hutchinson
described " foUc%m. to-wit; -
Bavarian Hans
36 Main Street N.
at which place said appUoant- -Owratea the bU9iAW
and to that end repreamt--and state—as follows
That Said of the United State*; of load moral okaraot;er
and repute; and has......... attained the ale of ZI years; that.— sa I d ... --proPriew—W the
meabliAment for which the license will be issued If this application is iranted.
That no manwfacfurer of such intacuating malt liquor, has any mumunvhip, in whole or in part,
in said business of said applicaM.—or any Interest thervin;
That said appli6ant--make...-thij application pursuant and subject to all the laws of the Staid of
Minnesota and the ordinances and rejolatione of
applicable thereto, which are hereby nkids a pail hereof, and hereby apw--Io oba and obey IAP
Rec om end approval.
Driver's license I.D. requiredfor purchase.
All liquor regulations apply.
Steve MAdson
Police Chief
Each applicant further states that —he is not now the holder of, nor has —he made application for,
nor does --he intend to make application for a Federal Retail Dealer's Special tax stamp for the sale of
intoxicaiing liquor.
P. 0.
9 9.
C' J
AN % 9 1995
RELEASE OF IN9CMTICN
As an applicant for an On' -Sale Wine/Intoxicating Malt Liquor License with
the City of Hutchinson, Minnesota, I am required to furnish information which
that agency may use in determining my moral, physical, mental and financial
qualifications. In this oomection, I hereby expressly authorise release of
any and all information which you my have conceming me, including
information of a confidential or privileged nature.
I hereby release the agency with which I am seeking application for
license, and any organization, company or person furnishing information to
that agency as expressly authorized above, from any liability for damage which
may result from furnishing the information requested.
Applicant's Full
Printed Name:
Applicant's Address:
Applicant's Birth Date:
Applicant's Place of Birth:
Applicant's Social security No:
Applicant's Driver's License No:
Date: June 27. 1995
far.... WM :.u. - .
.:
361 6th. Avenue South Box
r} (Street
AFton Minnesota 12
(County) tate i p
0 1
March
} ear
Redwood Falls Minnesota
(City) (State)
9 -c
0
C
July 7, 1995
MEMO
We are in the process of revising an escrow agreement with two
firms doing work with the City of Hutchinson, The escrow
agreements are different in the company's are wanting to supply
bonds or notes rather than having a 5 16 retainage.
Since this is a new type of agreement we are have revised the
agreement once and still must have it reviewed by Barry. The
material should be completed by Tuesday for City Council approval.
I have included a draft of the proposed agreement for review and
expect the contractors will not have any problem in accepting the
necessary revisions.
City Center
111 Hassan Street SE
Hutchinson, MN 55350 -2522
(612) 587 -5151
Fax(612)234 -4240
Parks & Recreation
900 Harrington Street SW
Hutchinson, MN 55350 -3097
(612) 587 -2975
Fax(612)234 -4240
- Printed on recycled paper -
Police Services
10 Franklin Street SW
Hutchinson, MN 55350 -2464
(612) 587 -2242
�� Fax (612) 587 -6427
• This Escrow Agreement and Assignment is made and entered into this _ day of
19 by and between City of Hutchinson, Hutchinson MN
(hereinafter referred to as "Owner')
and
and
American bank. 101 E. Fifth Street_ St. Paul. MN 55101
Attn: Corporate Trust Department
(Bank)
WITNESSETH;
WHEREAS, Owner and Contractor have entered into a contract for construction of Hierhia=
• Area TransRwjaation Services Facility
(Hereinafter referred to as "Contract')
WHEREAS, said contract provides that Owner may reserve as retainage an amount not to
exceed five percent of progress payments due on the contract pursuant to the provisions of Minnesota
Statutes, Section 15.71 through 15.74.
WHEREAS, Minnesota Statutes, Section 15.73 (attached), provides that a contractor may deposit
certain bonds or securities with Owner or in any bank or trust company to be held in lieu of the described
cost retainage for the benefit of the public contracting agency:
WHEREAS, Owner, Contractor, and Bank mutually desire to enter into this Escrow Agreement and
Assignment (hereinafter referred to as "Agreement's in order to implement the statutory provisions;
• 1
9 )a
NOW, THEREFORE, in consideration of the foregoing and mutual covenants and promises
contained herein, the parties agree as follows: •
1. Owner designates the Bank as its escrow agent and custodian to care for and service any securities
or funds deposited by Contractor with Owner pursuant to Minnesota Statutes, Section 15.73.
Contractor agrees to pay all escrow fees charged by the Bank for servicing this escrow account in
accordance with Exhibit A attached hereto.
2. Whenever Contractor elects to substitute bonds or securities for all or any part of the amount which
would be retained by Owner from partial payments pursuant to the Contract, it shall notify Owner of such
election. The Contractor upon giving such notification shall transfer fiords in that amount to the Bank,at which
time the Bank agrees to immediately purchase one or more of the type of securities set forth in Paragraph 4
of this Agreement in the name of Contractor in accordance with investment directions received from
Contractor and place such securities in the Owner's escrow account. Contractor shall have the right to direct
the Bank to change the investment of funds in a particular security to another security as long as all securities
comply with the requirements of Paragraph 4 of this Agreement, as long as Contractor pays all handling and/or
transfer fees related to investment changes. All such securities shall be held by Bank in the Owner's escrow
account in the name of the Contractor in accordance with this Agreement, and shall be deemed to be in the
possession of Owner for its benefit in lieu of retainages held by Owner under the Contract. •
3. The Bank shall report at least monthly to Contractor and Owner on the market value of the
securities deposited with the Bank pursuant to this Agreement. If at any time the market value of the
securities falls below the amount of retained funds substituted by bonds and securities, Contractor shall
deposit with the Bank, in the Owners escrow account, securities in the name of the Contractor complying
with Paragraph 4 of this Agreement in an amount sufficient to re -establish a total deposit of securities
equal in value to the amount substituted. The Bank shall not be responsible for monitoring the market
value of the securities except on a month -end basis.
4. For purposes of the Agreement only, the term "security" shall be of a character described in
Minnesota Statutes, Section 15.73, Subd. 3, to wit, approved by the State Treasurer, including:
(a) Bills, certificates, notes or bonds of the United States;
(b) Other obligations of the United States or its agencies;
(c) Obligations of any corporation wholly owned by the federal government; or
(d) Indebtedness of the Federal National Mortgage Association; and
•
. 4. Cont.
(e) Exclude all mortgage backed securities defined in MN States Section 475.66, Subd. 5 and
(f) Further all such security shall bear the same fixed rate for the term of the security and
mature within seven years from the date of this agreement.
5. All interest and income paid on any bonds or securities deposited pursuant to this Agreement
shall be collected on a regular basis by the Bank and said amount shall be the property of and be paid,
when and as collected, to Contractor, less reasonable custodial care or service costs charged for such
service.
6. The Bank agrees to hold all purchased or deposited securities in escrow pursuant to this
Agreement until such time Owner gives the Bank written authorization to deliver all or a portion of said
securities to Contractor. The Bank shall deliver to Owner all or any portion of said securities; upon
written request of Owner.
7. Owner and Contractor agree that this Agreement shall in no way infringe on or restrict the
rights of Owner or Contractor under the Contract.
8. Any notice given by any of parties hereto shall be sufficient when made in writing and
• delivered in person or sent by registered mail or certified mail, return receipt requested, to the address
shown above or to such other address as the respective parties may hereafter designate.
9. The Bank is not a party to nor bound by an instrument other than this Agreement and shall not be
required to take notice of any default or any other matter, not be bound by, nor be required to give any notice
or demand, nor be required to take any action whatsoever except as herein expressly provided.
10. ASSIGNMENT - Contractor hereby assigns to Owner any and all rights, title and interest,
without reservation whatsoever, which it might have in the bonds or securities which are now or may
hereafter be deposited with the Bank pursuant to this Agreement
11. This Agreement shall be effective on the date it is executed by the parties hereto and shall
remain in full force and effect until all of the bonds or securities deposited herein have been delivered to
Owner or Contractor.
12. Contractor hereby agrees to indemnify and hold harmless the Bank from and against all
claims, liabilities, losses, actions, suits or proceedings at law or in equity, or any other expenses, fees or
charges of any character or nature, which the Bank may incur or with which the Bank may be threatened
by reasons of its acting as escrow agent under this Agreement and in connection therewith to indemnify
the Bank against any and all expenses, including attorney's fees and the cost of defending any action, suit
or proceedings or resisting any claim.
Notwithstanding the foregoing, it is specifically understood and agreed that in the event the Bank is found
guilty of gross negligence or willful misconduct or malfeasance in the exercise of its responsibilities •
hereunder, the indemnification provisions of this Agreement shall not apply.
13. The Bank shall otherwise not be liable for any mistakes of fact or for any acts of omissions of
any kind unless caused by its willful misconduct or gross negligence.
14. The Bank may resign upon thirty (30) days advance written notice to the parties of this
Agreement. If a successor escrow agent is not appointed within said thirty (30)day period, the Bank may
petition any court of competent jurisdiction to name a successor.
By:
By:
LE
EXECUTED the day and year fast above written,
OWNER
CONTRACTOR
BANK
0
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is
01
a
July 3, 1995
The Honorable Marlin Torgerson
Mayor of Hutchinson
Hutchinson City Center
111 Hassan Street Southeast
Hutchinson, MN 55350 -2522
Dear Mayor Torgerson:
Office of Aeronautics
Subject: State Aid for Airport Maintenance and Operation
(612) 296 -8202
(612) 297 -1600
Fax: (612) 297 -5643
Fax: (612) 296 -1828
RECEIVED
JUL 5 1995
CRY OF HUTCHINSON
Enclosed are four copies of a proposed form of resolution and the agreement for requesting state aid
for maintaining your airport during all seasons of the year up to June 30, 1997.
For maintenance and operation during the year, the state will participate on a percentage basis, not
to exceed the base amount of state aid as set forth in the agreement for the cost of snowplowing,
mowing, fertilizing, re- seeding, rehabilitating runway lights, landing strip markers, and drainage
systems, and general maintenance of the runways, taxiways, and apron areas.
A supplement amount has been established for requesting reimbursement of expenses for airport
maintenance training activities, including attendance at the Minnesota Aviation Symposium, by any
individual having operational involvement with your airport.
Reimbursement will be based on actual time and cost records kept by the municipality. Prior to any
reimbursement being made by the state, the municipality must have a zoning authority established, and
such authority must have adopted or be in the process of adopting an airport zoning ordinance in
accordance with Minnesota Statutes 360.061 to 360.074. Reimbursement may be denied entirely or
in -part if the airport is not properly maintained.
If you desire state assistance and agree to comply with the requirements of the agreement, please
complete and submit four copies of the agreement and four copies of the resolution to this office
for the encumbrance of state funds. An approved copy will be returned for your records.
It is particularly important during the winter and spring seasons, or when hazardous conditions may
exist, to keep the air - traveling public informed of the status or condition of your airport. This
is accomplished by notifying the nearest Federal Aviation Administration Flight Service Station and
this department.
Sincerely,
Raymond J Ron
Director
Enclosure
222 East Plato Boulevard, St. Paul, Minnesota 55107 -1618 9 _ZE_,
TYPICAL RESOLUTION
Authorization to Execute Mn /DoT Agreement
for Maintenance and Operation
Be it resolved by the
(City /County/
as follows:
1. That the State of Minnesota Agreement No. / #d 5 a
"Agreement for State Aid for Airport Maintenance and '
Operation at the Hutchnson Municipal Airport"
is hereby accepted.
2. That the Mayor and City Administrator
(Mayor /Chairperson) (Clerk /Secretary)
are hereby authorized and directed to execute said
Agreement No. '7406,;l on behalf of the
City of Hutchinson , and to execute and affix
their signatures to any and all further required
documents pertinent hereto, and all amendments thereof.
I,
of the
do hereby certify that the foregoing'
resolution is a true and exact copy
(Corporate Seal as duly passed by the
or Notary) of
and recorded in the minutes of a
meeting held on the
day of , 19 ,
at which meeting there was present a
quorum of the council.
Signature:
(Clerk or Equivalent)
Agreement No. 7 `/b5 .-1.
is AGREEMENT FOR STATE AID FOR AIRPORT MAINTENANCE AND OPERATION
AT THE HUTCHINSON MUNICIPAL AIRPORT
The State of Minnesota and City of Hutchinson agree as follows:
(Name of Municipality)
1. The Municipality will keep at least one paved runway, associated
taxiway, and apron area cleared of snow and ice for safe use of
aircraft using wheels. The paved runway shall be kept clear for its
full length and width, and snowbanks kept down so that aircraft wings
will clear them, and runway and threshold lights will remain visible.
2. The Municipality will maintain the runways in good order by performing
maintenance work, including, but not limited to, the following:
a. Crack filling and patching of surfaced runways, taxiways,
and aprons.
b. Mowing grass on landing strips and around lights. The grass
must be mowed at least 7 feet beyond the lights, and at no
time may the grass exceed 6 inches in height on landing areas.
C. Maintain beacon and runway lights or markers, and rehabilitate
them when necessary.
d. Fertilizing and seeding as necessary to prevent erosion.
e. Maintain clearance in approach zones in conformance with
• Chapter 8800.1200 of the Department of Transportation,
Transportation Research and Investment Management (TRIM)
Division, Office of Aeronautics, "Minnesota Rules."
f. Replacing windsock when necessary.
g. Maintain the drainage and fencing systems.
The Municipality shall provide at least two yard -type lights in the
building /aircraft tie down area and shall keep the area lighted from
dusk to dawn. The Municipality shall also keep the airport property
clear and free of debris. At airports where aviation fuel is
dispensed, at least one 20- pound, dry- powder fire extinguisher shall
be available in the vicinity of the fuel pump.
4. The airport must pass periodic inspections performed by a
representative of the Office of Aeronautics for compliance with the
rules of the Department of Transportation and for compliance with
this Agreement. If the airport is not so maintained, then no
reimbursement shall be made hereunder.
0
The State will reimburse the Municipality for 2/3 of the direct,
actual maintenance and operation costs not reimbursed by any other
source, not to exceed a base amount of $12,000 of State aid for each
fiscal year.
9 -E
The State will reimburse the Municipality for 2/3 of all expenses
associated with registration and attendance to maintenance training
functions, including the Minnesota Aviation Symposium, not to exceed
a supplemental amount of $300 of State aid for each fiscal year.
The Municipality shall submit a breakdown of its costs incurred
hereunder to the Director, Office of Aeronautics, on forms supplied
by him. In any and all events, costs must be submitted to the
Director, Office of Aeronautics, on or before August 1 for each
fiscal year ending June 30. No requests received after August 1
for the preceding fiscal year will be honored by the
Director, Office of Aeronautics. The Director, Office of Aeronautics,
reserves the right to reject items that may not be eligible for
reimbursement, and reimbursement may be denied entirely if the airport
is not properly maintained in accordance with this Agreement.
The Municipality has established a zoning authority for the airport,
and such authority has completed, or is in the process of and will
complete, with due diligence, an airport zoning ordinance in
accordance with Minnesota Statutes 360.061 to 360.074.
9. This Agreement is in effect for the fiscal years 1995 -1996 and
1996 -1997. It may be terminated at any time upon 30 days, written
notice by either party.
APPROVED:
1. MUNICIPALITY CITY OF HUTCHINSON
2.
By:
Title: Mayor
By:
Title: City Administrator
DEPARTMENT OF TRANSPORTATION
OFFICE OF AERONAUTICS
By:
Director
Date:
3. APPROVED AS TO FORM AND EXECUT19
Assistant Attorney General
4. DEPARTMENT OF ADMINISTRATION
By:
Authorized Signature
Date:
5. DEPARTMENT OF FINANCE
By:
Authorized Signature
Date:
0
�J
DAVID B. ARNOLD
STEVEN A. ANDERSON
G. BARRY ANDERSON*
STEVEN S. HOGE
LAURA K. FRETLANO
DAVID A. BRUEGGEMANN
PAUL D. DOVE**
RICHARD G. McGEE
CATHRYN D. REHER
GINA M. BRANDT
BRETT D. ARNOLD
K30 ADMITTED IN TEXAS A.H ncW YO.R
ARNOLD, ANDERSON & DOVE
PROFESSIONAL LIMITED LIABILITY PARTNERSHIP
ATTORNEYS AT LAW
101 PARK PLACE
HUTCHINSON, MINNESOTA 55350 -2563
(612)567 -7575
FAX(612)587 -4096
Mr. Gary D. Plotz
City Administrator
Hutchinson City Center
111 Hassan Street S.E.
Hutchinson, Mn. 55350
RESIDENT ATTORNEY
G. BARRY ANDERSON
July 6, 1995
Re: Airport Condemnation Issues - Svanda
Our File No. 3244 -93069
Dear Gary:
RECi�1titD
1'J L b 1995
C[TY OF HUTCHINSON
OF COUNSEL
RAYMOND C. LALLIER
JANE VAN VALKENBURG
5661 CEDAR LAKE ROAD
MINNEAPOLIS, MINNESOTA 55416
(612)545 -9000
FAX (612) 545 -1793
501 SOUTH FOURTH STREET
PRINCETON, MINNESOTA 55371
1612) 389.2214
FAX (612) 389 -5506
Apparently Dagmar Runyon at the Minnesota Department of
Transportation needs another Sponsor Certification on the Svanda
property and I am enclosing herewith such a certification for
approval by the City Council and execution by the Mayor. Upon
execution, I would appreciate it if you would see that the original
is duly delivered to Dagmar Runyon at the following address:
Minnesota Department of Transportation
222 E. Plato Blvd.
St. Paul, Mn. 55107 -1618
She has requested some other information from our files which we
will be providing to her. I believe with her receipt of that
information all activity relating to the airport project will have
been completed.
If you have any questions or problems in connection with the
foregoing, you should certainly feel free to contact me. Thank
you.
Very truV o11rs, /
P. L. L. P.
G. Barry Anderson
GBA:lm
Enclosure
CERTIFIED AS A CIVIL TRIAL SPECIALIST BY THE MINNESOTA STATE BAR ASSOCIATION
CERTIFIED AS A REAL PROPERTY LAW SPECIALIST BY THE MINNESOTA STATE BAR ASSOCIATION
Attachment 4
SPONSOR CERTIFICATION FOR REAL PROPERTY PCOUISITION 7 9
City of Hutchinson Hutchinson Municipal Airp. AIP 3- 27-0042 -01
Sponsor's Name Airport Project Number
Parcel 9 (Svanda
Project Descr
0.479 Arres Fee
Section 509(d) of the Airport and Airway Improvement Act of 19x2,
as amended (herein called the Act), authorizes the Secretary to
require certification from sponsors that they will comply with
statutory and administrative requirements. The following list of
certified items includes major requirements for this aspect of
project implementation. However, the list is not comprehensive,
nor does it relieve sponsors from fully complying with all
applicable statutory and administrative standards. Every
certified item must be marked. Each certified item with a "no"
response must be fully explained in an attachment to this
certification. If the item is not applicable to this project,
mark the item "N /A ". General requirements on real property
acquisition and relocation assistance are in 49 CFR 24. The
project Grant Agreement contains specific requirements and
assurances on the Uniform Relocation Assistance and Real Property
Acquisition Policies Act of 1970, as amended (Uniform Act).
1. Good and sufficient title (is) 4+jd&)W held on property in
the project. The sponsor's attorney or other official (has
prepared) (vgikkXRgg,Rgx3rJ and (has) )bgjgq. on file title
evidence on the property.
Yes x No N/A
2. If defects and /or encumbrances exist in the title which
adversely impact the sponsor's intended use of property in the
project, they (have been) PUW; extinguished, modified, or
subordinated.
Yes No N/A X
3. If property for airport development (is) 6k${x�l leased,
the term is for 20 years or the useful life of the project. The
lessor is a public agency and the lease contains no provisions
which prevent full compliance with the grant agreement.
Yes No N/A X
4. Property in the project (is) (*AtAl,�X)hW in conformance with
the current Exhibit A (property map). The property map is based
on deeds, title opinions, land surveys, the approved airport
layout plan, and project documentation.
Yes X No N/A
S. For any acquisition of property interest in noise sensitive
Page 1 of 3
s
•
9 -F
approach zones and related areas, property interest (was) (-ZJJX
ice) obtained to ensure land is used for purposes compatible with
noise levels associated with operation of the airport.
Yes No N/A X
6. For any acquisition of property interest in runway
protection zones and areas related to FAR Part 77 surfaces,
property interest (was) (XIXXXI§N) obtained for the right of
flight and right of ingress and egress to remove obstructions.
Interest -(was) (WCp==4K) obtained for the right to restrict the
establishnent of future obstructions.
Yes X No N/A
7. Appraisals (include) (2XXXXgYEC) valuation data to
estimate the current market value for the property interest
acquired on each parcel and (were) (XM74XW prepared by
qualified real estate appraisers hired by the sponsor. An
opportunity (was) (oX3CpC1CXM) provided the property owner or
representative to accompany appraisers during inspections.
Yes x No N/A
8. Each appraisal (has been) (XXjp�) reviewed by a qualified
review appraiser to recommend an amount for the offer of just
compensation. The written appraisals and review appraisal are
available to FAA for review.
Yes _X No N/A
9. A written offer to acquire each parcel (was) ggo=)09)
presented to the property owner for not less than the approved
amount of just compensation.
Yes X No N/A
•10. Effort (was) (.) made to acquire each property through
negotiation with no coercive action to induce agreement. If
negotiation (was) Q )W successful, project files (contain)
6M&6kX9 4XkKj1O) supporting documents for settlements.
Yes X No N/A
11. If a negotiated settlement is not reached, condemnation
(was) (will be) initiated and a court deposit not less than the
just compensation (was) (will be) made prior to possession of the
property. Project files (contain) (will contain) supporting
documents for awards.
Yes No N/A X
12. If displacement of persons, businesses, farm operations, or
nonprofit organizations is involved, a relocation assistance
program (was) (will be) established. Displaced persons
(received) (will receive) general information on the relocation
program in writing, notice of relocation eligibility, and a 90-
day notice to vacate.
Yes No N/A X
13. Relocation assistance services, comparable replacement
housing, and payment of necessary relocation expenses (were)
(will be) provided within a reasonable time period for each
Page 2 of 3
0
displaced occupant in accordance with the Uniform Act.
Yes Na N/A X
I certify that, for the project identified herein, the responses
to the forgoing items are correct as marked, and that the
attachments, if any, are correct and complete.
Signed: Dated:
Sponsor's Authorized Representative
Typed Name and Title of Sponsor's Representative
•
Page 3 of 3
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DAVID B. ARNOLD'
STEVEN A_ANDERSON
G. BARRY ANDERSON*
STEVEN S. HOGE
LAURA K. FRETLAND
DAVID A. BRUEGGEMANN
PAUL D. DOVE"
RICHARD G. McGEE
CATHRYN D. REHER
GINA M. BRANDT
BRETT D. ARNOLD
ALSO Ao wirrco IN 111.8 LNO New ♦ORS
ARNOLD, ANDERSON & DOVE
PROFESSIONAL LIMITED LIABILITY PARTNERSHIP
ATTORNEYS AT LAW
101 PARK PLACE
HUTCHINSON, MINNESOTA 55350 -2563
Mr. Gary D. Plotz
City Administrator
Hutchinson City Center
111 Hassan Street S.E.
Hutchinson, Mn. 55350
Mr. John Rodeberg
Director of Engineering
Hutchinson City Center
111 Hassan Street S.E.
Hutchinson, Mn. 55350
(612) 587 -7575
FAX (612) 587 -4096
RESIDENT ATTORNEY
G. BARRY ANDERSON
July 5, 1995
Re: Simonson Lumber /City of Hutchinson
Our File No. 3244 -95079
Dear Gary and John:
FOR YOUR INFORMATION
OF COUNSEL
RAYMOND C. LALLIER
JANE VAN VALKENBURG
5661 CEDAR LAKE ROAD
MINNEAPOLIS, MINNESOTA 55416
(612) 545 -9000
FAX (61 2) 545-1793
501 SOUTH FOURTH STREET
PRINCETON, MINNESOTA 55371
(61 2) 389 -2 214
FAX 16121 369 -5506
RECEIVED
JUL 5 1995
CITY OF HUTCHINSON
I am enclosing herewith the latest draft of the proposed agreement
between the City and Simonson's. Please review the same carefully.
In the absence of legal descriptions, which I understand the
surveying firm is still completing, it will not be possible to go
forward with the ordinance authorizing a triangular piece of land.
This agreement, as presently drafted, contemplates wrapping up not
only the purchase price of real estate necessary for right of way,
but also the transfer of the triangular piece of land to Simonson's
as an entire package. The City Council will need to approve the
formal transfer of the triangular piece of land because Council
action this past council meeting was limited solely to approval of
the $175,000 purchase price for the acquisition of right -of -way.
While I recognize that the property has virtually no value and, in
deed, may have negative value if soil correction problems are
present, formal Council approval of the transfer will be required
and that transfer can occur only by ordinance.
CERTIFIED AS A CIVIL TRIAL SPECIALIST BY THE MINNESOTA STATE BAR ASSOCIATION
"CERTIFIED AS A REAL PROPERTY LAW SPECIALIST BY THE MINNESOTA STATE BAR ASSOCIATION
to
Mr. Gary D. Plotz
Mr. John Rodeberg
July 5, 1995
Page 2
I would suggest that the present form of the agreement as well as
copies of my correspondence to Mr. Meyers as well as this letter be
included in the next Council package on a "for your information"
basis.
Thank you. Best regards.
Very truly yours,
ARNOLgderson ON & VE, 7L.L.P.
G. Ba
GBA:lm
M
C�
•
40
•
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ARNOLD, ANDERSON.& DOVE
PROFESSIONAL LIMITED LIABILITY PARTNERSHIP
DAVID B. ARNOLD'
STEVEN A. ANDERSON
G. BARRY ANDERSON
STEVEN S. HOGE
LAURA K. FRETLAND
DAVID A. BRUEGGEMANN
PAUL D. DOVE —
RICHARD G. MEGEE
CATHRYN D. REHER
GINA M. BRANDT
BRETT D. ARNOLD
'ALSO ADMITTED IN 'Ex" ANO NEw io Rw
Mr. David J. Meyers
ATTORNEYS AT LAW
101 PARK PLACE
HUTCHINSON. MINNESOTA 55350 -2563
(612) 587 -7575
FAX (612) 587 -4096
RESIDENT ATTORNEY
G. BARRY ANDERSON
July 5, 1995
Rinke- Noonan
Suite 700
Norwest Center
Box 1497
St. Cloud, Mn. 56302
Re: Simonson Lumber /City of Hutchinson
Our File No. 3244 -95079
Dear Dave:
OF COUNSEL
RAYMOND C. LALLIER
JANE VAN VALKENBURG
5681 CEDAR LAKE ROAD
MINNEAPOLIS, MINNESOTA 55416
is 12) 545 -9000
-'
FAX(G12)545-1793
501 SOUTH FOURTH STREET
PRINCETON, MINNESOTA 55371
(612) 389 -2214
FAX(612)389 -5506
I have your letter of June 27, 1995. I have consulted with the
City Engineer regarding some of the minor points that need to be
clarified and most of the changes that you have requested have been
made. Enclosed please find a redlined copy, as well as a clean
copy of the agreement between Simonson and the City of Hutchinson.
I would add the following comments relative to the various
paragraphs n the agreement:
1. Taxes and Assessments. The original agreement made
payment of taxes and assessments relative to the property
to be conveyed to the City the responsibility of
Simonson. The agreement was silent on what happened to
taxes and assessments relating to the property to be
acquired by Simonson. I think your suggestion that we
simply pro rate taxes relative to all parcels involved in
this transaction make sense and I have incorporated that
language in a separate paragraph. It should be noted
F that the language in the agreement that makes it clear
that your clients are not subject to assessment for the
improvements to the roadway has been left unaltered.
CERTIFIED AS A CIVIL TRIAL SPECIALIST BY THE MINNESOTA STATE BAR ASSOCIATION
"CERTIFIED A5 A REAL PROPERTY LAW SPECIALIST BY THE MINNESOTA STATE BAR ASSOCIATION
Mr. David J. Meyers
July 5, 1995
Page 2
2. Date of Possession. I confess to being somewhat confused
as to exactly what is going on relative to possession
date. John Rodeberg advises me that it is his
understanding that your client is anxious to start
construction late summer or early fall. The changes that
you suggested seem to imply that perhaps that
construction is going to occur in 1996. Regardless, the
dates suggested by you are a little late for the City.
I have set forth a possession date for all of the various
parcels of February 28 and a date for demolition and
removal of material of March 31. I certainly have no
objection if your client wants to communicate directly
with the City Engineer regarding this subject.
3. Contingencies. I have included language that allows your
client a contingency for securing the necessary
governmental approvals which, after all, makes sense
because this deal only works if they, are able to go
forward with the proposed construction. Please note that •
I have set a deadline for the contingency of August 15,
which I anticipate to be the closing date. I assume the
approval process is or will shortly be underway and
should be resolved by mid August when presumably we would
be in a position to close. It should also be noted that
I have changed all of the other contingency dates to
reflect August 15 as the projected date.
4. Soil Issues. My understanding from the City Engineer is
that there is no contaminated soil on the site but there
may be some questions about suitability for construction
purposes. This latter issue is solely the responsibility
of Simonson's. I have added language to the agreement to
make this point clear.
S. Electrical Transformer. The City will undertake
responsibility for removal of the transformer.
6. Real Estate Descriptions. The survey work is still being
completed and the three exhibits called for in the
agreement will be attached as soon as that work is
finished. The City Engineer is checking on the status of
the survey work and I should be able to report more on
that regard shortly.
7. Grant of Temporary Construction Easement The temporary •
construction easement has been extended one year to
• Mr. David J. Meyers
July 5, 1995
Page 3
December 31, 1997.
If you have any questions in connection with this agreement, please
advise.
Thank you. Best regards.
Very truly yours,
ARNOLD, ANDERSON & DOVE, P.L.L.P.
G. Barry Anderson
GBA:lm
Enclosures
•
F
•
• BITE PURCHASE AGREEMENT
THIS AGREEMENT, made this day of July, 1995, by and
between Simonson Lumber of Hutchinson, Inc., ( "Simonson ") a
Minnesota corporation and the City of Hutchinson, ( "Hutchinson ") a
Minnesota municipal corporation.
RECITALS:
1. Hutchinson desires to purchase a parcel of real estate
described on Exhibit "1" hereto for the purpose of constructing,
operating and maintaining a bridge across the south fork of the
Crow River; and
2. Simonson has agreed to sell such real estate to Hutchinson
pursuant to the terms and conditions of this agreement; and
3. Both parties are represented by counsel who have discussed
. the sale and acquisition of this property with their respective
clients and both parties enter into this Agreement with full
knowledge of their rights and obligations under Minnesota law.
NOR, THEREFORE, in consideration of the mutual covenants
herein contained and for other good and valuable consideration, the
receipt, value and sufficiency of which are hereby acknowledged,
the parties agree as follows:
1. Purchase of Real Estate. Hutchinson agrees to purchase,
and Simonson agrees to sell a parcel of real estate described on
Exhibit "1" in accordance with the terms and conditions of this
agreement. Hutchinson shall cause, at Hutchinson's sole expense,
a survey to be made of the real estate by a registered land
• -1-
surveyor, verifying the location, description and quantity of the •
property, depicting the location of easements, 'public streets,
encroachments and improvements on or abutting the property.
2. Purchase Price. The purchase price for the property shall
be the sum of One Hundred Seventy -five Thousand and no /100 Dollars
($175,000.00), with the entire purchase price to be paid at
closing. Hutchinson agrees to undertake a "friendly condemnation,"
Apft in which Simonson will cooperate according
to the terms of this Agreement itobs� >s a1 •3�e zesponsxbl'e V
3. Triangle Parcel of Land. As and for additional
consideration for Simonson, Hutchinson agrees to convey to Simonson
a triangle portion of land legally described on attached Exhibit 2, is
which is located adjacent to Simonson's property, on the southwest
side. Hutchinson agrees to retain all liability for any pollution
or contamination on this land incurred prior to the date hereof, to
provide Simonson with all environmental reports and other
information concerning any pollution or contamination and to cap
off any monitoring or other wells located on this parcel of
property, all at Hutchinson's cost. Hutchinson further agrees to
indemnify and hold harmless Simonson for any and all liability that
may now exist or hereafter arise in any respect, due to
environmental contamination or pollution on this property prior to
the date hereof.
-2-
• 4. Hutchinson's Contingencies. The obligations of Hutchinson
hereunder are subject to the following contingencies, the
satisfaction of each of which is a material condition precedent to
the obligations of Hutchinson hereunder:
A. An environmental survey and assessment, prepared and paid
for by Hutchinson, must demonstrate that the Property is
free of any and all hazardous or toxic substances,
material or waste. The term "hazardous or toxic
substances, material or waste" means any substance that
is toxic, ignitable, explosive, reactive or corrosive or
otherwise defined as hazardous and that is regulated by
the City of Hutchinson, the County of McLeod, the State
of Minnesota, or the United States government and that
exceeds the levels of regulatory tolerance including, but
not limited to substances regulated by or under the
Federal Water Pollution Control Act (33 U.S.C. §1321 et
sea.), the Federal Clean Air Act (42 U.S.C. §7401 et
sea.), the Federal Resource Conservation and Recovery Act
(42 U.S.C. §6901 et sea.), the Comprehensive
Environmental Response, Compensation and Liability Act
(42 U.S. C. §9601 et sea.), the Toxic Substance Control
Act (15 U.S. C. §2601 et sea.), or under the Solid Waste
• disposal Act (42. U.S.C. §691 et sea.), petroleum or its
derivatives and products, asbestos or polychlorinated
biphenyls (PCBs) . Simonson hereby grants Hutchinson, its
successors and assigns and their agents and employees,
permission to enter upon the Property to conduct an
environmental survey and assessment.
B. The approval of the condition of title to the property by
Hutchinson either in the form of a title insurance
commitment or an attorney's title opinion, with the cost
of all title insurance or attorney's fees to be borne by
Hutchinson. Simonson shall provide an updated Abstract
to the property with all of the usual and customary
searches.
C. The approval of this Agreement by the Hutchinson City
Council.
�� 3m�nsa�� rti =s�t�enc�es •' kt� .a��.�gatic'+� • o� szmcnsOis
sx , ec try MAD Out' I MI' nesota" te�a�tme � rs
sM Stss�Ucsjt <; vt g�aveza1 appoxaTs atu
0 -3-
6. Waiver of Contingencies. All contingencies of Hutchinson,
except with respect to the title to the property (which shall not
be waived or availed of until closing) , shall be waived or availed
of by Hutchinson on or before
X55. Any
contingency not availed of by Hutchinson by that date shall be
deemed waived.
7. Conveyance. The conveyance to Hutchinson shall be by good
and sufficient warranty deed, free and clear of all liens and •
encumbrances. Real estate tames and aVeeial asseesate2 is 81ka4-3-
in "- respensibility Simonson shall demolish and
remove all improvements to the site, including foundations, if any,
but shall not be required to do any grading or to provide any fill.
Hutchinson further agrees to fill and grade Simonson's property, as
requested by Simonson, with soils reasonably comparable to the
existing soils, all to Simonson's satisfaction. Simonson shall be
given an opportunity to inspect fill to be deposited on site and if
Simonson does not object to the deposit of said fill, this
condition requiring Simonson's satisfaction shall be deemed waived.
Hutchinson shall have no responsibility for finish grading or
-4- 40
• providing any other grading services save and except the
requirement that the fill be deposited and the site level.
Simonson shall retain ownership of the salvage and sell or dispose
of the salvage in any legal manner and shall retain any proceeds
from the disposition thereof.
7A. Assessments $zt8 aXs. Hutchinson agrees that
Simonson shall not be assessed for any of the
improvement and /or work performed by Hutchinson in
connection with the construction and /or change of
title defects within fifteen (15) days after receipt of the title
policy commitment or the attorney's title opinion which are not
acceptable to Hutchinson or if the commitment does not contain the
extended coverage endorsement, Simonson shall use its best efforts
to cure such defects. If any such defects are not cured by the date
of closing, Hutchinson may terminate this Agreement. In the event
of such termination, all parties shall be relieved of all
obligations hereunder.
9. Brokerage Matters. Hutchinson and Simonson each warrant
• -5-
and represent to each other that it has used no brokers in this •
transaction and each agrees to save, indemnify and hold harmless
the other from and against any and all claims, costs, expenses,
finders fees, liabilities and obligations of every nature, kind and
description from brokerage services from any person, firm
corporation, partnership or other entity claiming entitlement to
fees, commissions, compensation or expenses from brokerage services
performed by or on behalf of Hutchinson or Simonson in connection
with this transaction.
10. Closing Date. This transaction shall be closed on or
before lute 1, 1995 i14X� X95 at the offices of the title
insurance company providing title insurance hereunder, or such
other place as the parties may agree in writing.
11. Default. If either party defaults under this Agreement, •
the other party shall be entitled to all remedies available under
law or equity, including but not limited to specific performance
(if Simonson defaults) or an action for damages (if Hutchinson
defaults).
12. waiver of Relocation Payments. Both parties have
considered the right to relocation benefits under state and federal
law in arriving at the negotiated price for the acquisition of the
real estate and, in consideration of the purchase price set forth
above, Simonson agrees to waive all relocation payments Simonson
will be entitled to under either federal law or state law, or by
virtue of any other authority, and further agrees to waive any and
-6-
•
•
all damages,
benefits or
payments that would otherwise
accrue to
Simonson in
the context
of a condemnation action or a
threatened
•
condemnation action as provided by Chapter 117 of Minnesota
Statutes or as provided by virtue of any other law.
13. Grant of Temporary Construction Easement. Simonson
agrees to grant to Hutchinson a temporary construction easement for
the purpose of facilitating the construction of the bridge and
related improvements. Hutchinson agrees to restore the property to
the approximate condition prevailing at the time of the execution
of this Agreement unless otherwise agreed to, in writing, by the
parties. The easement will expire, without further action by any
party on December 31, 1996'7. The temporary construction easement
will include the °- '_'_ewing deseri --'_ real property 4000 *"R"
eg3xflcj aGaupiGy
O/^...� YT�t'1� i"�iiJ�ca4� Fi:O f .1.D7Vk .��V�%7C1i�QR S�td��.
ox for theca al4.rOen irs7ud#►gs
tsd tuide�x p8r 7 0 his a±�reem�at, na':a�iar.asr 1.
0 -7-
MOT, %
16. Miscellaneous.
A. Execution by All Parties in Counterparts. This Agreement
shall not become effective and binding until executed by all
parties. This Agreement may be executed in two (2) or more
counterparts, each which shall be deemed an original and all of
which shall constitute a single instrument, and the signature of
any party to any counterpart shall be deemed a signature to and may
be appended to any other counterpart.
B. Notice. All notices, demands and /or consents provided for
in this Agreement shall be in writing and shall be deemed given
when delivered to the parties hereto by hand or by United States
registered or certified mail, return receipt requested, with
postage prepaid. All such notices and communications shall be
deemed to have been served on the date when mailed. All notices
and communications shall be addressed to the parties hereto at the
respective addresses set forth below:
I. If to Hutchinson: City of Hutchinson
Hutchinson City Center
111 Hassan Street S.E.
Hutchinson, Mn. 55350
With a Copy to: G. Barry Anderson
Arnold, Anderson & Dove, PLLP
101 Park Place
Hutchinson, Mn. 55350
2. If to Simonson: Simonson Lumber of Hutchinson, Inc.
295 First Avenue N.E.
Hutchinson, Mn. 55350
With a Copy to: David Meyers
Rinke- Noonan
•
•
-8- •
Suite 700 Norwest Center
P.O. Box 1497
St. Cloud, Mn. 56302
C. Governing Law. This Agreement shall be governed by and
construed in accordance with the laws of the State of Minnesota.
D. Cooperation. Each of the parties agrees to cooperate with
the other in effecting the purposes of this Agreement. Without
limiting the generality of the foregoing, the Simonson agrees to
cooperate with Hutchinson in submitting applications for permits
consistent with the terms of this Agreement.
E. Assignment. Neither Hutchinson nor Simonson shall have
the right to assign this Agreement or any of the rights or
obligations hereunder without obtaining the prior written consent
of the other party.
• F. Successors and Assigns. This Agreement shall apply to,
inure to the benefit of, and be binding upon and enforceable
against the parties hereto and their respective successors and
assigns.
G. Paragraph Headings. The headings inserted at the
beginning of each paragraph are for convenience of reference only
and shall not limit or otherwise affect or be used in the
construction of any of the terms or provisions hereof.
H. Entire Agreement. This Agreement contains all of the
agreements, terms, covenants, conditions, warranties, and
representations made or entered into by and between the parties,
and supersedes all prior discussions and agreements, whether
0 -9-
written or oral, between the parties and constitutes the sole and
entire agreement between the parties with respect thereto. This
Agreement may not be modified or amended unless such modification
or amendment is set forth in writing and executed by all parties
hereto.
17. permits. Hutchinson agrees to give all reasonable
assistance to Simonson in obtaining building permits, side plan
approval and other approvals from all government entities to allow
Simonson to reconstruct facilities on its property.
IN WITNESS WHEREOF, the parties hereto have caused this
Agreement to be executed as of the day and year first above
written.
SIMONSON LUMBER OF HUTCHINSON, INC.
•
By:
Its:
By:
Its
CITY OF HE
By:
Tts_
By:
Its:
-10- 0
STATE OF MINNESOTA)
SS.
COUNTY OF McLEOD )
On this day of July, 1995, before me a Notary Public,
personally came before me the
and
the of Simonson Lumber of Hutchinson, Inc.,
a Minnesota corporation, to me known to be the persons who executed
the foregoing instrument and acknowledged that they executed the
foregoing instrument on behalf of said corporation.
Notary Public
STATE OF MINNESOTA)
) SS.
COUNTY OF McLEOD )
On this day of July, 1995, before me a Notary Public,
personally came before me Marlin Torgerson, the Mayor and Gary D.
Plotz, City Administrator for the City of Hutchinson, a Minnesota
municipal corporation, to be known to be the persons who executed
the foregoing instrument and acknowledge that they executed the
foregoing instrument on behalf of said municipal corporation.
• Notary Public
THIS INSTRUMENT WAS DRAFTED BY:
G. Barry Anderson
ARNOLD, ANDERSON & DOVE, PLLP
101 Park Place
Hutchinson, Mn. 55350
Telephone (612- 587 -7575)
Attorney I.D. No. 196X
• -11-
0
OPEN -HOLD COUNCIL REPORT Tue Jul 11 1995 10:31:3B
Page 1
1980 TIDS
• FIRST TRUST INTEREST $2,587.88
$2,587.88
1987 IMPROV. BDS
AM.NATIONAL BANK PAYING AGENT FEES $302.75
$302.75
1989 IMPROV. BDS
AM.NATIONAL BANK INTEREST $19,437.50
$19,437.50
1994 IMPRO CONST
EARL ANDERSON ASSOC
STREET
SIGNS & POSTS
$1,856.47
JUUL CONTRACTING CO
EST #7
EST
$15,754.67
M R SIGN
STREET
SIGNS
$872.44
MID -MN HOT MIX INC
EST #9
LET 9
$712.50
RANDY KRAMER EXCAVATING INC
EST #5
LET 10
$5,519.79
$24,715.87
1995 IMPRO CONST
BAUERLY BROS INC.
EST
#2
LET
7 $116,555.90
CONTRACTING CO
EST
#1
CITY OF HUTCHINSON
$58,227.92
•JIIUL
LANDWEHR CONSTRUCTION
EST
#1
SIIPPLIES
$90,328.38
MID -MN HOT MIX INC
EST
#1
LET
9 $4,491.13
R.P.UTILITIES
EST
#1
LET
1 $38,908.21
WM MUELLER & SONS
EST
#2
LET
5 $65,322.00
$373,833.54
GARAGE
CARQUEST AUTO PARTS
SIIPPLIES
$955.61
CENTRAL GARAGE
MAY REPAIRS
$147.79
CITY OF HUTCHINSON
JULY MEDICAL
$432.09
COAST TO COAST
SIIPPLIES
$1.77
CRYSTEEL DISTRIBUTING
CROSS BOX
$288.61
FITZLOFF HARDWARE
HOSE PARTS
$3,97
FORTIS BENEFITS
JULY LTD
$17.93
G & K SERVICES
SHOP TOWELS
$65.54
HUTCH COOP CENEX
TIRES
$440.96
HUTCHINSON WHOLESALE
SUPPLIES
$178.09
INK SPOTS
FORMS
$245.29
JOHNSON MOTOR CO
RELAY
$7.99
MANKATO MOBILE RADIO
SQUAD INSTALLATION
$489.41
MN MUTUAL LIFE
JULY LIFE
$6.72
MTI DIST.CO
SOCKET ASM
$608.93
PLOWMANS
SERVICE TRANSMISSION
$318.09
POSTAGE BY PHONE
JUNE POSTAGE
$9.48
• SCHMELING OIL CO
FLUID
$60.60
11 -A ,
OPEN -HOLD COUNCIL REPORT Tue Jul 11 1995 10:31:38
------------------- - ------- -------- - ------ - --
STEWARD ENTERPRISES GREASE
SWEENEY BROS TRACTOR PIN
• WIGEN CHEVROLET CO WINDOW REGULATOR
ENERGY LOAN FD
MEYER, LORRAINE REIMBURSEMENT
FIRE HALL DS
AM.NATIONAL BANK INTEREST
IHa:1:A:7c� yq.P
Page 2
$204.48
$22.51
HAND $176.61
$4,682.47
$10.00
$10.00
$4,368.75
$4,368.75
3M CLUB
PICNIC TABLES REFUND
$55.00
A -1 BIKE SHOP
CHECK OVER
$19.95
ABDO ABDO 6 SICK
AUDIT SERVICES
$10,000.00
ADAMS, JUDY
SWIM LESSONS REFUND
$20.00
ANDERSON'S DECORATING CENTER
PAINT
$34.23
ARNOLD 6 MCDOWELL
JUNE COMP
$4,164.00
AUTOMATION SUPPLY CO
DISKS
$23.57
BACK DOOR
12 HUTCH MUGS
$44.74
BENNETT OFFICE SUP.
TONER
$306.46
BIG BEAR
SUPPLIES
$1.48
•BREMIX CONCRETE CO
BRINKMAN STUDIO
CONCRETE
FRAMES
$581.60
$1,152.44
BUSINESSWARE SOLUTIONS
4MB MEMORY
$2,641.20
CARNEYS
TEMPRA PAINT
$15.94
CARQUEST AUTO PARTS
PARTS
$3.14
CARR FLOWERS
PLANT- ANGERMEYER
$15.98
CASH WISE
POP
$457.65
CENTRAL GARAGE
MAY REPAIRS
$5,877.58
CITY OF HUTCHINSON
JULY DENTAL
$29,512.85
COAST TO COAST
TAPE, PAINT
$582.08
COMM TRANSPORTATION
HANGAR PAYMENT
$700.00
COUNTRY KITCHEN
PRISONER MEALS
$14.00
CROW RIVER COUNTRY CLUB
SR.GOLF LESSONS
$120.00
CROW RIVER GLASS
TEMP GLASS
$21.30
CULLIGAN WATER COND
2 BAGS SALT
$12.99
DEPT NATURAL RESOURCES
DNR REG FEES
$476.00
DOSTAL, ROSA
2 HRS INTERPRETOR
$67.50
EARL ANDERSON ASSOC
SIGNS, POSTS
$1,441.00
ERLANDSON, DAVID
COLLAR BRASS
$16.55
ESMET INC
LARGE EM LCKHD
$100.99
FARM a HOME DIST. CO
VALVE, NIPPLE
$162.04
FESTIVAL FOODS
BOX LUNCHES
$284.91
FITZLOFF HARDWARE
CHISELS
$29.12
FORCIER, GARY
SWIM LESSONS REFUND
$12.00
FORTIS BENEFITS
JULY LTD
$1,360.13
G & K SERVICES
UNIFORMS
$914.86
• G F NEMITZ SONS
GLASS
$2.83
OPEN -HOLD COUNCIL REPORT Tue Jul 11 1995 10:31:38
Page 3
- - ------ ------------------------------
GEYER RENTAL
- -------------------
MOONWALK RENTAL
-------------------------------
$185.00
- --
GLENCOE LIONS
DUNK TANK RENTAL
$100.00
•
GREAT PLAINS SUPPLY
PLYWOOD
$83.02
GUARDIAN PEST CTL
PEST SERVICE
$21.57
GUTHERY, TOM
MOTORCYCLE RENTAL JUNE
$100.17
HAGER JEWELRY
MEDALLIONS FOR WATER C
$138.71
HARRIS CONTRACTING
MAY PREV MTCE
$355.00
HENRYS FOODS INC
CANDY
$1,356.07
HILLYARD FLOOR CARE / HUTCHINSON
KITCHEN ROLL
$436.76
HINCKLEY JOINT PLANNING BOARD
SUBDIVISION ORDINANCE
$13.00
HRA
TRANSFER
$35,159.00
HUTCH CAFE
PRISONER MEALS
$92.00
HUTCH COMM HOSPITAL
TAXES REFUNDED
$3,743.10
HUTCH CONVENTION 6
MAY LODGING TAX
$2,948.40
HUTCH COOP CENEX
JUNE FUEL
$3,921.63
HUTCH FIRE 6 SAFETY
INSEPCTIONS
$119.41
HUT CHINSON LEADER
PUBLISH
$1,044.13
HUTCHINSON TEL CO
JULY PHONE
$5,032.59
HUT CHINSON WHOLESALE
PARTS
$35.39
ICE SKATING INSTITUTE OF AMERI
NEWSLETTER AD
$99.00
INK SPOTS
SWIM TICKETS
$124.59
JACK'S UNIFORMS & EQUIPMENT
TRAFFIC WANDS
$92,25
JACOBSEN, LYNN
SWIM LESSONS REFUND
$24.00
K MART
GAL JUGS
$27.63
KING, TOM
UMPIRE
$34.00
KIRCHOFF, RONALD
MPPO BANQUET REIMB
$300.00
KLOSS, TOM
SAFETY BOOTS
$49.99
•L
6 P SUPPLY CO
LATT, JOE
SPREADER
SUMMER FOOTWEAR
$110.00
$60.00
LAW ENFORCE EQUIP
NAME BARS
$284.19
LEHN, JEFF
FIELD RESERVATION REFU
$5.00
LENNES, RICHARD
JUNE COMPENSATION
$2,163.00
LINDER BUS COMPANY
BUS -TWINS GAME
$189.70
M R SIGN
STREET SIGNS
$632.28
MANKATO MOBILE RADIO
SIREN REPAIR
$1,488.80
MARCO BUS.PRODUCTS
SCISSORS,PROTECTORS, E
$90.90
MARKA, JAMES
SAFETY GLASSES
$54.06
MCGARVEY COFFEE INC
COFFEE
$212.85
MCLEOD COOP POWER
ELECTRICITY
$524.84
MEEKER SAND & GRAVEL
SAND
$728.84
METRO ATHLETIC SUPPLY
PARACHUTE
$162.87
MID -MN HOT MIX INC
HOT MIX
$3,276.47
MIDWEST CABLEVISION
JULY CABLE SERVICE
$4.96
MINNE- SEW -TA VAC
KIRBY CORD
$13.79
MINNESOTA BLUEPRINT
REPAIR XEROX
$455.83
MN ELEVATOR INC.
ELEVATOR SERVICE
$62.95
MN MUTUAL LIFE
JULY LIFE
$503.79
MN REC 6: PARK ASSC
DISTRICT MEET FEES
$422.00
MN SPORTS FEDERATION
TOURNEY FEES
$1,270.00
MOGARD, STEVE
BRIEFCASE
$59.96
MPPOA
POCKET DIRECTORY
$30.00
NO STATES SUPPLY INC
BELTS
$14.50
NYSCA
COACHES CERTIFICATION
$120.00
•
OLSONS LOCKSMITH
LOCKER LOCK
$67.99
OPEN -HOLD COUNCIL REPORT Tue Jul 11 1995 10:31:38
Page 4
LOVERING- JOHNSON APPL Y2 $817,928.00
$817,928.00
HOUSING REDEV
ANNETT 6, GENEVIEVE WINDOW WORK $457.79
THOMPSON 6, LORNA BATHROOM WORK $2,233.74
$2,691.53
LIQUOR STORE
1995 DIVISION II LEGION TOURNA HALF PAGE AD $100.00
•AM.LINEN SUPPLY CO JUNE DELIVERY $136.91
-------------------------------------------------------------------------------------------------
PADGETT-THOMPSON
C.JONES
$139.00
PIONEERLAND LIBRARY SYSTEM
3RD QUARTER
$17,876.50
•PITNEY
BOWES CREDIT CORP
MAILING MACHINE
$966.38
PITNEY BOWES INC
POSTAGE METER RENTAL
$310.46
PLANTS BEAUTIFUL NURSERY
11 SPRUCE, 3 PINE
$1,183.75
PLATO OFFSALE
4 CASES BOTTLES
$10.00
PLOTZ, GARY D.
LUNCHEON MEETING
$34.86
POSTAGE BY PHONE
JUNE POSTAGE
$932.32
PRO COMMUNIQUE
JUNE 95 ADVOCATE
$200.00
QUADE ELECTRIC
SIREN REPAIR
$91.54
QUADES SPORT SHOP
LANYARD, COUGAR BRASS
$34.93
RAY ALLEN MANUFACTURING CO
PINCH HANDLE
$61.70
RECREONICS
SUPERBOARDS, BUOYS, ET
$233.46
RIDER BENNETT EGAN & ARUNDEL
PROF SERVICES
$74.86
SCW4ELING OIL CO
FUEL OIL
$917.36
SEWING BASKET
CAMO UNIFORM
$27.00
SHOPKO
CABS
$97.31
SHOUTZ, MARK
TRAVEL -USPCA TRIALS
$350.00
SIMONSON LUMBER CO
PLYWOOD
$29.29
STATE TREASURER
2ND QTR SURCHARGE
$2,561.12
STREICH, KIM
SWIM LESSONS REFUND
$10.00
STREICHERS
CLIPBOARDS, POLISH
$80.78
TELECKY, DAVE
SAFETY GLASSES
$75.48
TEPLY, TODD
BEACON
$64.20
THOMA, DENISE
PLAYGROUND SUPPLIES
$14.21
TRAFFIC INSTITUTE
1 GUEST LUNCHEON
$15.00
TRIPLE G DISTRIBUTING INC
POP
$111.80
•
TWO WAY COMM INC
UHL CO.
BATTERY
SPRING SERVICE
$81.16
$800.00
UNITED BLDG CENTERS
LAP SIDING
$46.15
UNITED LABORATORIES
PINK MARVEL
$211.19
VIKING COCA COLA
POP
$145.00
W. M. MONTGOMERY
PROF SERVICES
$70.00
WAL -MART
EUREKA BAGS
$178.09
WILSONS NORTH WEST NURSERY INC
WILLOW- MEMORIAL TREE
$148.04
WINTERS, A. JOSEPHINE
HUTCHMOBILE TICKETS RE
$28.00
XEROX
JUNE METER USAGE
$155.00
$156,258.03
HAT -FAC. CONST.
LOVERING- JOHNSON APPL Y2 $817,928.00
$817,928.00
HOUSING REDEV
ANNETT 6, GENEVIEVE WINDOW WORK $457.79
THOMPSON 6, LORNA BATHROOM WORK $2,233.74
$2,691.53
LIQUOR STORE
1995 DIVISION II LEGION TOURNA HALF PAGE AD $100.00
•AM.LINEN SUPPLY CO JUNE DELIVERY $136.91
i
OPEN -HOLD COUNCIL REPORT Tue Jul 11 1995 10:31:38
Page 5
- - -------------------------------
AMERICAN LEGION POST 21
- ------------------------------------
ADV BASEBALL TOURN
$52.50
CDI OFFICE PRODUCTS LTD
OPE SUPPLIES
$316.58
•CHUCK'S
REF
REP E MAINT
$62.37
CITY OF HUTCHINSON
JULY DENTAL
$1,505.18
COAST TO COAST
SURGE STRIP
$20.64
DIAMOND CLEAR ICE
ICE FOR JUNE
$368.60
ED PHILLIPS & SONS CO.
LIQUOR PURCHASE
$1,191.39
ELECTRO WATCHMAN
QURT CHARGES
$290.75
FESTIVAL FOODS
SUPPLIES
$29.72
FORTIS BENEFITS
JULY LTD
$31.08
FRIENDLY BEVERAGE CO
BEER PUR JUNE
$3,264.55
HENRYS FOODS INC
BAGS, ETC
$2,773.32
HERMEL WHOLESALE
JUNE SUPPLIES
$676.78
HUTCHINSON LEADER
ADVERTISING
$570.18
HUTCHINSON TEL CO
JULY PHONE
$101.51
JOHNSON BROTHERS LIQUOR CO.
LIQUOR
$2,448.65
JORDON BEVERAGE INC.
BEER PUR JUNE
$1,587.20
K D U Z
JUNE ADV
$80.75
KARP RADIO
`E ADS
$14.00
KKJR
JUNE ADV
$64.60
LENNEMAN BEVERAGE DIST. INC
CASE DEPOSITS
$11,013.95
LOCHER BROS INC
COST OF MIX & SOFT DRI
$23,018.03
MN MUTUAL LIFE
JULY LIFE
$11.55
PAUSTIS 6 SONS
BEER PUR JUNE
$437.46
POSTAGE BY PHONE
JUNE POSTAGE
$21.76
QUADE ELECTRIC
INSTALL NEW BREAKER
$179.45
RIDER BENNETT EGAN 6 ARUNDEL
PROF SERVICES
$875.49
•SPRENGLER
TRUCKING
STANDARD PRINTING
JUNE FREIGHT
3 TAPE CASSETTES
$1,286.79
$102.11
TAI CO WATER COND
BOTTLE WATER
$21.08
TRIPLE G DISTRIBUTING INC
CASE DEPOSITS
$29,222.75
VIKING COCA COLA
POP
$856.35
$82,734.03
PAYROLL FUND
ASTNA VARIABLE LIFE ASS. CO.
EMPLOYEE CONTRIB
7 -1
$655.00
GREAT WEST LIFE INS. CO.
EMPLOYEE CONTRIB
7 -1
$100.00
H.R.L.A.P.R.
EMPLOYEE CONTRIB
7 -1
$147.57
ICMA RETIREMENT TRUST
EMPLOYEE CONTRIB
7 -1
$1,642.45
PERA LIFE INS CO.
EMPLOYEE CONTRIB
7 -11
$136.50
PERA- D.C.P.
EMPLOYEE CONTRIB -7
-1
$52.02
PRUDENTIAL
EMPLOYEE CONTRIB
7 -1
$155.00
PRUDENTIAL MUTUAL FUNDS
EMPLOYEE CONTRIB
7 -1
$318.46
PUBLIC EMPLOYEES
EMPLOYEE CONTRIB
7 -1
$13,355.02
TEMPLETON INC
EMPLOYEE CONTRIB
7 -1
$448.46
WADELL & REED
EMPLOYEE CONTRIB
7 -1
$150.00
WITHHOLDING TAX ACCT
EMPLOYEE CONTRIB
7 -1
$34,813.77
$51,974.25
RURAL F. D.
HUTCH COOP CENEX
JUNE FUEL
$56.08
•
$56.08
OPEN -HOLD COUNCIL REPORT Tue Jul 11 1995 10:31:38 Page 6
----------- — --------------- — --------- ------------------------------- — -------------------------
WATER /SEWER FUND
• AAGARD WEST
ALLEN OFFICE PROD
AM.NATIONAL BANK
AQUARIA PETS
BUSINESSWARE SOLUTIONS
CASH WISE
CEI
CENTRAL GARAGE
CITY OF HUTCHINSON
r
COAST TO COAST
FARM 6 HOME DIST. CO
FEED RITE CONTROLS
FESTIVAL FOODS
FITZLOFF HARDWARE
FORTIS BENEFITS
G 6 K SERVICES
HACH COMPANY
HUTCH COOP CENEX
HUTCHINSON TEL CO
HUTCHINSON WHOLESALE
KELLY INN
L & P SUPPLY CO
LAMPLIGHTER II
MCNELLY GROUP
MID-MN HOT MIX INC
• MN MUTUAL LIFE
MVTL LABORATORIES
MWOA
POSTAGE BY PHONE
QUADE ELECTRIC
RADISSON SUITE HOTEL
SANIFILL INC
STANDARD PRINTING
STRINGER BUS SYSTEMS
WESTERN AUTO
•
JUNE PICKUP
$24,403.79
LABELS, FILES,ETC
$77.53
PAYING AGENT FEES
$863.05
PUMP, TANK, ETC
$47.14
4MB MEMORY
$465.42
SUPPLIES
$10.76
FREIGHT
$15.09
MAY REPAIRS
$246.35
JULY MEDICAL
$4,266.71
GEAR PULL
$528.90
TAN TAPE
$2.01
INHIBITOR
$4,920.73
WATER
$6.23
ELBOWS
$14.89
JULY LTD
$186.91
UNIFORMS
$365.70
REAGENT SET
$31.56
UREA, POTASH, ETC
$711.68
JULY PHONE
$664.66
STARTERS
$322.48
LODGING- M.GRAHAM
$130.00
BLADE
$84.89
RUSSIAN VISIT
$31.39
JUNE LEASE PAYMENT
$5,325.00
HOT MIX
$782.76
JULY LIFE
$69.30
PLATE COUNT
$78.00
REG- M.GRAHAM
$300.00
JUNE POSTAGE
$211.44
BULBS
$17.58
LODGING- D.JOHNSON
$148.00
LOADS JUNE 19 -23
$1,968.57
LABELS
$65.52
MTCE CONTRACT
$249.00
RACKS, ORGANIZERS, LIN
$847.97
$48,461.01
$1,592,041.69
IMMEDIATE PAY COUNCIL REPORT Tue Jul 11 1995 10:30:55 Page 1
------------- ------------------------------- — ---- ------ ----------------------------------------
CENTRAL GARAGE
MOTOR VEHICLE SALES TAX TITLE & PLAT $1,029.40
PLOWMANS 1995 FORD F250 $15,260.00
$16,289.40
GENERAL FUND
DEPT NATURAL RESOURCES
ECKSTEIN, DAVE
MULARONI, MIKE
LIQUOR STORE
CITY OF HUTCHINSON
COMMUNITY FIRST STATE BANK
ED PHILLIPS & SONS CO.
GRIGGS COOPER 6 CO
JOHNSON BROTHERS LIQUOR CO
QUALITY WINE & SPIRITS CO.
WATER /SEWER FUND
WEF
•
.� . N•
rte• • � i
•
DNR FEES REM $682.00
TRANSPLATING TREES $760.00
ARCH SERVICE $2,500.00
$3,942.00
LOTTERY SALES
$26.00
COOLERS
$280.00
BEER PUR JUNE
$4,921.04
WINE PUR JUNE
$11,984.45
WINE FUR JUNE
$9,463.33
LIQ CREDIT
$1,179.99
$27,854.81
REG R DEVRIES $240.00
$240.00
$48,326.21
EMPIO= WITHHOLDING $6,778.23
ARNOLD, ANDERSON & DOVE
Ms. Dagmar Runyon
Minnesota Department of Transportation
222 E. Plato Blvd.
St. Paul, Mn. 55107 -1618
RECi2i !ED
JUL 5 1995
CITY OF HUTCHINSON
OF COUNSEL
RAYMOND C. LALLIER
JANE VAN VALKENBURG
5881 CEDAR LAKE ROAD
MINNEAPOLIS, MINNESOTA 55416
(612) 545 -9000
FAX (612) 545 -1793
501 SOUTH FOURTH STREET
PRINCETON, MINNESOTA 55371
(612) 389 -2214
FAX (612) 389 -5506
Re: Hutchinson Airport Condemnation /Svanda Parcel
Our File No. 3244 -93069
Dear Dagmar:
FOR YOUR INFORMATION
• I am enclosing herewith a copy of the January 7, 1994 Order along
with a copy of my correspondence to Leland Frankman dated June 27,
1994 along with a copy of the green card reflecting receipt of the
funds. We will be recording the certified copy of the Order
against the Svanda property along with an Affidavit indicating that
payment was duly transmitted pursuant to Order. This should be
sufficient to pass title.
Do you need a final title opinion? If so, I would be happy to
provide one.
•
Please advise at your convenience. Best regards.
Very truly.] "you)rs,
ARNOLD
G. Ba1(ry Anderson
GBA:lm
Enclosure
CC Gary Plotz
Ken Merrill
& DOVE, P.L.L.P.
CERTIFIED AS A CIVIL TRIAL SPECIALIST BY THE MINNESOTA STATE BAR ASSOCIATION
"CERTIFIED AS A REAL PROPERTY LAW SPECIALIST BY THE MINNESOTA STATE BAR ASSOCIATION
PROFESSIONAL LIMITED LIABILITY PARTNERSHIP
•
ATTORNEYS AT LAW
101 PARK PLACE
DAVID B. ARNOLD'
HUTCHINSON, MINNESOTA 55350-2563
STEVEN A. ANDERSON
G. BARRY ANDERSON*
(612)567-7575
STEVEN S. HOGE
FAX (612) 587 -4096
LAURA K. FRETLAND
DAVID A. BRUEGGEMANN
RESIDENT ATTORNEY
PAUL D. DOVE*
O. BARRY ANDERSON
RICHARD G. MtGEE
CATHRYN O. REHER
GINA M. BRANDT
BRETT D. ARNOLD
'ALSO ADMITTED IN TEXAS AND NEW YORK
July 6, 1995
Ms. Dagmar Runyon
Minnesota Department of Transportation
222 E. Plato Blvd.
St. Paul, Mn. 55107 -1618
RECi2i !ED
JUL 5 1995
CITY OF HUTCHINSON
OF COUNSEL
RAYMOND C. LALLIER
JANE VAN VALKENBURG
5881 CEDAR LAKE ROAD
MINNEAPOLIS, MINNESOTA 55416
(612) 545 -9000
FAX (612) 545 -1793
501 SOUTH FOURTH STREET
PRINCETON, MINNESOTA 55371
(612) 389 -2214
FAX (612) 389 -5506
Re: Hutchinson Airport Condemnation /Svanda Parcel
Our File No. 3244 -93069
Dear Dagmar:
FOR YOUR INFORMATION
• I am enclosing herewith a copy of the January 7, 1994 Order along
with a copy of my correspondence to Leland Frankman dated June 27,
1994 along with a copy of the green card reflecting receipt of the
funds. We will be recording the certified copy of the Order
against the Svanda property along with an Affidavit indicating that
payment was duly transmitted pursuant to Order. This should be
sufficient to pass title.
Do you need a final title opinion? If so, I would be happy to
provide one.
•
Please advise at your convenience. Best regards.
Very truly.] "you)rs,
ARNOLD
G. Ba1(ry Anderson
GBA:lm
Enclosure
CC Gary Plotz
Ken Merrill
& DOVE, P.L.L.P.
CERTIFIED AS A CIVIL TRIAL SPECIALIST BY THE MINNESOTA STATE BAR ASSOCIATION
"CERTIFIED AS A REAL PROPERTY LAW SPECIALIST BY THE MINNESOTA STATE BAR ASSOCIATION
r.
0
ARNOLD, ANDERSON & DOVE
PROFESSIONAL LIMITED LIABILITY PARTNERSHIP
DAVID B. ARNOLD'
STEVEN A. ANDERSON
G. BARRY ANDERSON*
STEVEN S. HOGE
LAURA K. FRETLAND
DAVID A. BRUEGGEMANN
PAUL D.DOVE-
RICHARD G. McGEE
CATHRYN D. REHER
GINA M. BRANDT
BRETT D. ARNOLD
nIf....1EO IN TfX .NO MCw YORK
Mr. David J. Meyers
ATTORNEYS AT LAW
101 PARK PLACE
HUTCHINSON. MINNESOTA 55350-2563
(612) 587 -7575
FAX (612) 587 -4096
RESIDENT ATTORNEY
G. BARRY ANDERSON
July 6, 1995
Rinke- Noonan
Suite 700
Norwest Center
Box 1497
St. Cloud, Mn. 56302
Re: Simonson Lumber /City of Hutchinson
Our File No. 3244 -95079
RECEIVED
JUL 5 1995
CITY OF HUTCHINSON
OF COUNSEL
RAYMOND C. LALLIER
JANE VAN VALKENBURG
5861 CEDAR LAKE ROAD
MINNEAPOLIS, MINNESOTA 55416
(612) 545 -9000
FAX (612) 545 -1793
501 SOUTH FOURTH STREET
PRINCETON, MINNESOTA 55371
(612)389.2214
FAX (461 2) 3895506
FOR YOUR INFORMATIO'r
• Dear Dave:
I believe I sent you a draft agreement yesterday regarding the
above referenced project. This morning I met with Ken Merrill,
Gary Plotz, John Rodeberg and Dick Lennes regarding various issues
associated with this project and as part of that discussion, I
wanted to bring several matters to your attention. In no
particular order they are as follows:
1 UtilitY Relocation. There are two Agreements covering this
project. The Development Agreement prepared by Jerry Gilligan
correctly references the requirement that your client pay for
the expense of transformer and utility relocation. I
understand the transformer relocation cost is around $3500.
However, this is an eligible cost from a tax increment
standpoint. The Agreement that we drafted references this as
a City cost and that is not correct. The final draft will
need to be amended to reflect this cost as properly in the
domain of Simonson's.
2. Plans and Specifications In order to process all of the
necessary permits and documents, plans and specifications from
your client will be necessary. I understand that John
Rodeberg and the architect had a very productive meeting and
it appears that matters are moving forward in this regard.
However, it is important that plans and specifications be
received by the end of July because it will take the City
three to four weeks to review them. Among other things, if
CERTIFIED AS A CIVIL TRIAL SPECIALIST BY THE MINNESOTA STATE BAR ASSOCIATION
**CERTIFIED AS A REAL PROPERTY LAW SPECIALIST BY THE MINNESOTA STATE BAR ASSOCIATION
Mr. David J. Meyers
July 6, 1995
Page 2
the plans and specifications reveal the need for a conditional
use permit or other planning commission action, in order to
make the packet deadline, that information is needed by the
end of July.
3. Closing Date. The document that I sent to you yesterday
projects an August 15 closing date. I can already see that we
are not going to be able to meet that date for several
reasons, not the least of which is the issues regarding the
plans and specifications. Please note under the Development
Agreement prepared by Jerry Gilligan's office a timeline and
building schedule is also required.
4. Demolition Date. The City recognizes the footings cannot come
out of the ground until the end of March. However, from the
standpoint of the demolition of the building in the right of
way (as opposed to demolition work involved in the tax
increment aspects of this project), the City would prefer to
have that demolition completed around December 31, 1995, which
is the date used in the tax increment Development Agreement.
Please confer with your clients to see if that is a
possibility.
5. State Transportation Aid Although this issue does not affect
your client, my client is concerned about whether or not the
State will require the separation of the acquisition of the
triangular piece of land from the acquisition of the right of
way, temporary construction easement etc. The best guess at
this point is that no separation will be required and we will
be able to use the single agreement that you and I have been
discussing over the course of the last few months. I did
suggest that it might make sense on the deed of conveyance to
provide for state deed stamp tax in the amount appropriate to
a $175,000 purchase price insofar as the right of way is
concerned so the State is clear on that issue. From our
perspective, it makes very little difference how the purchase
price is divided up and I don't know that it makes any
difference to your client from a tax standpoint. If it does,
we should discuss this issue, but I really think it is more a
matter of handling paperwork than any kind of substantive
issue.
6. Relocation Issues. The State may require us to fill out
certain relocation forms and I am going to have a consultant
that the City uses occasionally for these kinds of projects
make a quick trip to the site and advise as to whether or not
1]
0
0
Mr. David J. Meyers
July 6, 1995
Page 3
the City should undertake the preparation of these forms.
This is not an issue that is of any concern to your client, as
we discussed previously, but I simply wanted to mention it so
that when he contacts Simonson's for permission to walk on the
property they know what is taking place.
7. Development Agreement - Tax Increment Issues. A Development
Agreement for tax increment purposes includes some language
dealing with bonds which will obviously need to be removed and
there are some other changes as well. I will be in touch with
you regarding these housekeeping matters.
S. Demolition Issues. Lennes suggested, and I think it makes
sense, that the Site Purchase Agreement should specifically
reference the property to be demolished so that we are not
confusing any outside parties. For example, since both the
Site Purchase Agreement and the Development Agreement for tax
increment purposes referenced demolition issues, we want to
make certain that an auditor knows that we are talking about
two different sets of demolition projects. Accordingly, I
will insert in the final draft of the Site Purchase Agreement
a reference to the fact that the demolition issues covered by
this Agreement concern the so- called east structure and office
area unless you feel they should be described in some other
fashion.
I believe that is the extent of my comments at the present time.
If you have any questions regarding these matters, please contact
me. Thank you. Best regards.
Very truly]
ARNOLD,
G. Ba34:jA0Anderson
GBA:lm
CC John Rodeberg
Gary Plota
Ken Merrill
Dick Lennes
6 DOVE, P.L.L.P.
ARNOLD, ANDERSON & DOVE
RECEIVED
JUL 5 1995
CrrY OF HUTCHINSON
OF COUNSEL
RAYMOND C. LALLIER
JANE VAN VALKENBURG
5661 CEDAR LAKE ROAD
MINNEAPOLIS, MINNESOTA 55416
(612) 545 -9000
FAX (61 2) 545-1793
501 SOUTH FOURTH STREET
PRINCETON, MINNESOTA 55371
161 21 3642214
FAX (612) 369 -5506
Mr. Kirk Schnitker FOR YOUR INFORMATION
Schnitker & Associates, P.A.
2300 Central Avenue N.E.
Minneapolis, Mn. 55418
Re: Simonson's Lumber Redevelopment/ City of Hutchinson
Our File No. 3244 -95079
Dear Kirk:
You and I have traded phone messages over the course of the last
couple of weeks but without success. I write to you today
regarding the Simonson's redevelopment project that the City of
Hutchinson now has underway.
Although Simonson's has agreed to a price that includes relocation
costs, the thought has occurred to the City that perhaps it would
be helpful to have some idea of what those costs are and if they
are not terribly extensive, perhaps we would go to the trouble of
securing a formal waiver from Simonson's.
My understanding is that you provide these kinds of services and
have done so for the HRA in the past.
I would appreciate it if you would contact either John Rodeberg or
myself to discuss arrangements for conducting an inspection of the
property and preparing as quickly and as inexpensively as possible,
an assessment of the relocation exposure relative to this project.
Thank you.
Very trul
ARNOLD
G. B A
GBA: m
Best regards.
son
& DOVE, P.L.L.P.
CERTIFIED AS A CIVIL TRIAL SPECIALIST BY THE MINNESOTA STATE BAR ASSOCIATION
��CERTIFIED AS A REAL PROPERTY LAW SPECIALIST BY THE MINNESOTA STATE BAR ASSOCIATION
PROFESSIONAL LIMITED LIABILITY PARTNERSHIP
ATTORNEYS AT LAW
101 PARK PLACE
DAVID B. ARNOLD'
HUTCHINSO N, MINNESOTA 55350 -2563
STEVEN A. ANDERSON
G. BARRY ANDERSON*
(612)587 -7575
STEVEN S. HOGE
FAX (612) 587 -4096
LAURA K. FRETLAND
DAVID A. BRUEGGEMANN
RESIDENT ATTORNEY
PAUL D. DOVE **
G. BARRY ANDERSON
RICHARD G. MCGEE
CATHRYN D. REHER
GINA M. BRANDT
BRETT D. ARNOLD
ALSO .ORiTTEO I. 1w1... NEW To.K
July 6, 1995
RECEIVED
JUL 5 1995
CrrY OF HUTCHINSON
OF COUNSEL
RAYMOND C. LALLIER
JANE VAN VALKENBURG
5661 CEDAR LAKE ROAD
MINNEAPOLIS, MINNESOTA 55416
(612) 545 -9000
FAX (61 2) 545-1793
501 SOUTH FOURTH STREET
PRINCETON, MINNESOTA 55371
161 21 3642214
FAX (612) 369 -5506
Mr. Kirk Schnitker FOR YOUR INFORMATION
Schnitker & Associates, P.A.
2300 Central Avenue N.E.
Minneapolis, Mn. 55418
Re: Simonson's Lumber Redevelopment/ City of Hutchinson
Our File No. 3244 -95079
Dear Kirk:
You and I have traded phone messages over the course of the last
couple of weeks but without success. I write to you today
regarding the Simonson's redevelopment project that the City of
Hutchinson now has underway.
Although Simonson's has agreed to a price that includes relocation
costs, the thought has occurred to the City that perhaps it would
be helpful to have some idea of what those costs are and if they
are not terribly extensive, perhaps we would go to the trouble of
securing a formal waiver from Simonson's.
My understanding is that you provide these kinds of services and
have done so for the HRA in the past.
I would appreciate it if you would contact either John Rodeberg or
myself to discuss arrangements for conducting an inspection of the
property and preparing as quickly and as inexpensively as possible,
an assessment of the relocation exposure relative to this project.
Thank you.
Very trul
ARNOLD
G. B A
GBA: m
Best regards.
son
& DOVE, P.L.L.P.
CERTIFIED AS A CIVIL TRIAL SPECIALIST BY THE MINNESOTA STATE BAR ASSOCIATION
��CERTIFIED AS A REAL PROPERTY LAW SPECIALIST BY THE MINNESOTA STATE BAR ASSOCIATION
DAVID B. ARNOLD'
STEVEN A. ANDERSON
G. BARRY ANDERSON'
STEVEN S. HOGE
LAURA K. FRETLAND
DAVID A. SRUEGGEMANN
PAUL D. DOVE'S
RICHARD G. McGEE
CATHRYN D. REHER
GINA M. BRANDT
BRETT D. ARNOLD
'ALSO AO -7TEO IN TEXAS AND NLW YOKI[
ARNOLD, ANDERSON & DOVE
PROFESSIONAL LIMITED LIABILITY PARTNERSHIP
ATTORNEYS AT LAW
101 PARK PLACE
HUTCHINSON. MINNESOTA 55350 -2563
Mr. Jerry Gilligan
Dorsey & Whitney, PLLP
220 south Sixth Street
Minneapolis, Mn. 55402
(612) 587 -7575
FAX (612) 587 -4096
RESIDENT ATTORNEY
G. BARRY ANDERSON
July 6, 1995
Re: Simonson's Lumber Project
Our File No. 3244 -95079
Dear Jerry:
OF COUNSEL
RAYMOND C. LALLIER
JANE VAN VALKENBURG
5881 CEDAR LAKE ROAD
MINNEAPOLIS, MINNESOTA 55416
(612) 545 -9000
FAX (612) 545-1793
501 SOUTH FOURTH STREET
PRINCETON, MINNESOTA 55371
(612)389 -2214
FAX (612) 3895506
By the time this correspondence catches up with you, I believe we
will have had a chance to discuss matters. The tax increment
Development Agreement was reviewed by Dick Lennes, Ken Merrill,
Gary Plotz, John Rodeberg and, to a limited extent, myself. There
is language in the agreement dealing with bonds and since this is
a pay as you go arrangement, that language should be deleted.
Additionally, a question was raised about the covenants found at
the end of the agreement which make reference to a deadline of the
year 2025. The question arose whether some other deadline would be
appropriate or indeed whether covenants are required at all since
this is a pay as you go arrangement.
Page 7 of the Development Agreement references that street and
utility relocations are to be at the expense of the developer.
Actually, the City has agreed not to access Simonson's for street
relocation not only because it is part of the overall deal, but
also because there is arguably no benefit. Obviously, this
language will need to be changed as well.
A question was also raised regarding whether or not parking lot
work would be eligible for tax increment and it is my understanding
that it probably is eligible. In any event, it does not appear
that Simonson's will have any trouble reaching the $75,000 figure
set in the Agreement.
CERTIFIED AS A CIVIL TRIAL SPECIALIST BY THE MINNESOTA STATE BAR ASSOCIATION
"CERTIFIED AS A REAL PROPERTY LAW SPECIALIST BY THE MINNESOTA STATE BAR ASSOCIATION
E
9
Mr. Jerry Gilligan
July 6, 1995
Page 2
I hope by the time this correspondence reaches you we will have had
a chance to visit about some of these issues. Thank you. Best
regards.
Very truly yours,
ARNOLD, 400ERS N & DOVE, P.L.L.P.
G. BatTy/AAder9on
GBA:Im
CC Ken Merrill
Gary Plotz
John Rodeberg
Dick Lennes
FOR YOUR INFORMATION
Administrative Office •
ohn M. Houlahan, Director PILIBMRY ioneedand
10 Fifth Street SW SYSTEM
O. Box 327
Willmar, Minnesota 56201 -0327
Phone: (612) 235 -6106 Fax: (612) 235 -3169 wilmarpi@forgus.cfa.org
Date: June 23, 1995
To: Cities and counties's mayors, council members, commissioners, administrators &
coordinators
From: John Houlahan, Director, Pioneerland Library System
Re: Agreement amendments and changes & library technology /telecommunication grants
Because of editorial errors, legal opinions, and need to clarify issues such as ownership of
assets, Pioneerland Library System Agreement requires a number of changes and new
amendments. One of the major changes is the elimination of the provision for short term
borrowing. In the opinions of two legal firms, Pioneerland Library System lacks statutory
authority for short term borrowing.
There are still some unanswered questions concerning long term borrowing which are
fisted under issue 42 of the enclosed handout, Other agreement issues. Whatever the
answers maybe for long term borrowing, no signatory would be obligated for any debt
• without its consent.
Enclosed, for your consideration, are (four) pages of suggested changes and I (one) page
of agreement issues. They are arranged with current agreement language fast and new
language follows with changes highlighted. There are also three new sections: IV.I.C,
IV.2.A & V 11.
Pioneerland Library System Board will wait for your comments to the enclosed ideas
before drafting new amendments and seeking your final approval. Please forward by
September 1, 1995 your comments or questions concerning the enclosed information to
John Houlahan at the above address.
Also in this mailing is information on two new library technology and telecommunication
grant programs passed in the last legislative session. Both of these programs require local
city and county match. To qualify in 1996 for either or both programs, cities and counties
need to levy .l percent of adjusted net tax capacity. These matching funds are not
included in maintenance of effort.
Later this summer, Pioneerland Library System's automation committee will be sending
out information to signatories on how these grants will benefit libraries and their
communities and ask cities and counties to participate in the grant programs.
It
LIBRARY TECHNOLOGYITELECOMMUNICATIONS' LEGISLATION 1995 •
1) REGIONAL LIBRARY TELECOMMUNICATIONS AID
A) Legislation
Omnibus Education Bill, Article 12, Section 5, (134.46)
B) Purposes
1) construction, maintenance, and lease costs of data access connections, including
internet
2) purchase, maintenance, professional development, and support of computer hardware
and software for data access
3) cost of technical support for a regional library system's technology investments,
including technical support, personnel, contracted services for technical support, and
training.
4) promotion of electronic access through public libraries for members of the public.
C) Funding
1) $g00,000 over two years for Mmnesota's 12 regional library systems
2) Matching funds are required from all cities and counties who participate in the aid
program. Regional library systems must match state aid with local funds equal to .1
percent times the adjusted net tax capacity for each participating city or county for the •
year preceding the year the levy is certified. Amount of funds cities and counties will need
to provide in order to participate in 1996 will not be known until adjusted net tax capacity
figures are released in July, 1995. In July 1994, Pioneerland Library System had a total net
adjusted tax capacity of $92,700,000. The .1 percent would have raised $92,700 matching
dollars. Matching amounts are not part of maintenance of effort.
3) Aid dollars for Pioneerland Library System are determined by multiplying $1.00 times
(X) population of participating cities and counties - (minus) local match. As example,
Pioneerland Library System has approximately 159,000 population and $92,700 in
matching funds through the .1 percent levy. Therefore, aid dollars would be $159,000 -
(minus) $92,700 or $66,300. However, this illustration is based on two assumptions: 1)
There is enough money to fund full participation for all cities and counties throughout the
state. The fact is legislature didn't fund it at the amount to accomplish full participation for
all cities and counties. Minnesota's Office of Library Development and Services (LDS)
will survey regional library systems in August or September of this year to deterntine
which cities and counties will be participating. Also, LDS will determine the state's
technology and telecommunication funds that will be available for the regional library
systems. 2) Second assumption is that all Pioneerland Library System's cities and counties
will commit the .1 percent. Less local participation means less state dollars for local
technologies and telecommunications.
9
2) REGIONAL LIBRARY TELECOMMUNICATION GRANT
A) Legislation
Omnibus Education Bill, Article 12, Section 4, Subd. 3
B) Purpose
Grant must be used to create or expand capacity of electronic data access and connect
library system with MNet. If MNet is not selected as the vendor, the application must
provide reasons for choosing an alternative vendor. Regional Library grant is a part of a
comprehensive plan for a statewide school district telecommunication network. (see
Omnibus Education Bill. Article 12, Section 4, subdivisions 1,2,3 & 4)
C) Funding
1) $10,500,000 statewide over two years to fund all grants under section 4. subdivisions
1,2,3, & 4.
2) Regional public library systems must provide matching funds (see above I.C. Regional
Library Telecommunications Aid)
0
0
PIONEERLAND LIBRARY SYSTEM
AMENDMENTS TO THE 1994 AGREEMENT
NNE 5, 1995
Section I l; 1. POWERS AND DUTIES
There shall be a library board. It shall have all powers and duties allowed by law for regional library systems,
including, without limit to them, those set forth in Mmnesota Statutes 134.09 - 134.13. It shall have authority
to accept state, federal, and local funds made available to it and funds from any other source. It shall operate
according to rules and regulations which govern libraries accepting state and federal funds and according to
policies established by the library board. The library board shall employ a director to administer the regional
library system and shall employ such other personnel as are necessary to operate and provide public library
service herein provided for.
SECTION 11;1. POWERS AND DUTIES: AMENDED
There shall be a library board. It shall have all powers and duties allowed by law for regional library systems,
including without limit to them, those set forth in Minnesota Statutes 134.1 1 - 134.13_ It shall have authority
to accept state, federal and local funds made available to it and funds from any other source. It shall operate
according to Hiles and regulations which govern libraries accepting state and federal funds and according to
policies established by the library board. The library board shall employ a director to administer the regional
library system and shall employ such other personnel as are necessary to operate and provide public library
service herein provided for.
SECTION 11, 2. BOARD MEMBERSHIP
Board of commissioners of each participating county shall appoint one member which may be a member of
the board of commissioners. The city council of each signatory city shall appoint one member who may be a
member of the city library board if there is one. In addition each board of county commissioners and each city
council shall appoint one additional member for each 6,000 population of (sic) major percentage (85 %)
thereof.
SECTION 11; 2. BOARD NEMBERSHIP: AM[ENDED
Pursuant to UI\ StatutCs 1 .... . • .• tl 11 1 1 ' •• 1 1 / . .. 1 • • / \ 1 . ... • 1 • 1 -
11 all li • • 1 • 1 7 41 : • l M • .1 : ..... 11 1 duQIuuI-JWKiqCII . • .
commissioners and each city council appoint one additional .' • • 111 population
' • . 1 1 e set OT : 1 .. \ 7 1,1 1 ' • 11 . • . 1 1 1 Y r iATmew 1 1 "
•11 1 .1.1. Ia :1 14:. • 1'L..' 114110 "
11.• Id •14.1 11••t1. 1'11a 111.a
• 1 " 1 .: � 1 • - 1 1 • J 1I 11 1. • 1 • 1 a • 1 1 ' 4•.1 \ • 1 i • 1 M• 1 • I .. a •
SECTION l I I1 1. BUDGETS
The minimum contribution of any party to the general operating budget of the Pioneerland Library System
shall be the amount needed to insure participation in state and federal grant programs (see Minnesota
Statutes 134.33 regarding minimum level of local support and Minnesota Statutes 134.34, subd. 4, regarding
maintenance of effort). Any party not providing minimum contribution shall be considered in violation of this
agreement and may be subject to termination (see Section W. I -a.)
1
•
SECTION 111; 1. BUDGETS: AMENDED
*he minimum contribution of any party to the general operating budget of the Pioneerland Library System
I be the amount needed to insure participation in state and federal grant programs (see Minnesota
Statutes 13414 regarding minimum level of local support and Minnesota Statutes 134 -341, regarding
maintenance of effort). Any parry not providing minimum contribution shall be considered in violation of this
agreement and may be subject to termination (see Section IV. I.a.)
SECTION 111; 4.G. FINANCING AND DISBURSEMENTS OF FUNDS
The library board may authorize short-term borrowing of funds (six months or less) not to exceed one -
quarter of the annual budget for the previous twelve months. Library board may also authorize long term
borrowing of funds (greater than six months) with approval of two-thirds of signatories to agreement.
/•'
mi,iio,llla 1 1.\ . sll • 1 IJ 1#1 111
' • I ti 11 1
6A,
Y "'T 11 1 • t 'tl 1 Y •.1 1 1 • 1 1.:11 • ./ I Y 11 1 RIP.
' • =1a1 11 =l1 1
11.1 1- /1 ' 01 • •Y•• . RI K �1. :•11 • . .: '.Y . 1 wY :1 . : r.•11
.111 4 1 1 .a 11 1 1Z 1.•. 1 MI 1.11.• lY•• • 1 . • 1 1 I •• 1 .: 11• 1 11 M :. f: -
11 • 1 . \ 1 '.• 11 vl " Il r ► � . 1 l 1 1 �1( . 1 1 1 � •• 1 11 • 1 • . . � 1: 1 �1 • :(• 1 • .: al .: 1 1 •.
Constituent 1 1 tv and city lizoverning 1.1.1 :. •1" ratification would i7chide a 1 :11•' of .. .: •a�lll .mow 1
r 1 • • .1 11 ' 1 IP 1 6 641PI 1 •.• a 1•. /11.:11 • OR 1 " 1.• 1.1 •1 l -.+ ! lI 1 1 1 1 :I 1 It A" I 1 11 1
11 • 1 1 1 H ql ' 11 �.n1 1 • 11 • i. .111 1 . MMM
SECTION IV, LA. TERMINATION.
Is agreement shall continue in force until rescinded by a (sic) action of one of the signatories. Any
Ignatory to this agreement may terminate its participation under either of the following provisions: by giving
notice in writing to the director at least six months in advance of commencement of the next fiscal year or by
mutual agreement of the parties.
SECTIOIN IT, I.A. - -'wfix • N: ANIENDED
_ 1 1 ..
n t rn 1 . ... 1. • r 1 1 .Ran 11 •, .1 1 1 • • 1 " . n,1 I . a 1 our r .
•.a •. 11 1 11 •11 1.• Ya$I O (116PM r1 .iR11 =4 1" Roar • -a\.R1 �u•11• n"n•
•.a
Any signatory to this agreement may terminate its participation under either of the following provisions: by
giving notice in writing to the director at least six months in advance of commencement of the next fiscal year
or by mutual agreement of the parties.
0
SECTION IV. I.B. OWNERSHIP AND DIVISION OF ASSETS
Each signatory to this agreement shall retain title to all assets, including buildings, furniture, equipment,
vehicles, books, magazines, and other library materials which it owned at the time of initial agreement. This
provision, however, shall in no way prevent the administrative merger or co- mingling of these assets, nor
shall it be construed to prevent the use of the assets fo (sic) one library by the patrons of one of the others.
Private gifts to any library shall be deemed assets to that library. Machine - readable records produced by
Pioneerland Library System remain under exclusive control of Pioneerland Library System.
SECTION IV. l.B. OWNERSHIP AND DIVISION OF PHYMCAT ASSETS: AMENDED
Each signatory to this agreement shall retain title to all assets, including buildings, furniture, equipment,
vehicles, books, magazines, and other library materials which it owned at the time of initial agreement. This
provision, however, shall in no way prevent the administrative merger or co- mingling of these assets, nor
shall it be construed to prevent the use of the assets cd one library by the patrons of one of the others. Private
gifts to any library shall be deemed assets to that library. Machine - readable records produced by Pioneerland
Library System remain under exclusive control of Pioneerland Library System.
• 1 :_ 1 • 1 � 7 �lll :/ 11 . 1 1 a • 1 • 1 YL: • � .:1 1 : 1 1 '
1' n:l.•wual
• ••1R 1.1• •• 7'11•.1. 1" • 1• .I •"•'pl li• 1• •1 ••1R' 1• •\
'1'11 11 1
• 121 8 kj w 11 WLThTj_0j 101 \/ Ll • ♦ • 171► : \
1 .. III wl • • . 1 • 1 , 1 r;,q .1 1 . O J 1 • • . •M• 1 •. �qll 11 1 . 1 . 1 JI :1•
• • h• • • 1 • 1 IA 1 M :A.Q :.+ 1 (one 111,1 • Q $I C01111961 1 1 • 11 1 1 • 1.• • • I • 1 1 • 1 • • • I • s1 • 1
SECTION V. NEW MEMBERS
y eligible municipality or governmental entity may join Pioneerland Library System with the approval of
o- thirds of the board, upon accepting all the terms and conditions of the agreement. The board shall
establish such special provisions as are appropriate for integration of the new signatory into its services and
budget. New members must agree to a three -year commitment of membership.
In witness whereof, this agreement has been executed by the parties listed below on the dates indicated.
SECTION V. NEW MEMBERS OR Fi0ININ . MFMR RC; AMENDED
Any eligible municipality or governmental entity may join or re1oin Pioneerland Library System with the
approval of two-thirds of the board, upon accepting all the terms and conditions of the agreement. The board
shall establish such special provisions as are appropriate for integration of the new signatory into its services
and budget. New members and Erjoining members must agree to a three -year commitment of membership.
SECTION is : rr.
r]
Other agreement issues
1. Non signatories
Issues and concerns of nonsignatory libraries were assigned to Pioneerland Library System's System Services
Committee- System Service Committee will look at the following: A) definition of nonsignatory B)
ownership of financial and physical assets C) local funding obligations, financial minimums and service
requirements D) service standards E) facility requirements F) local maintenance of effort G) PLS board
representation H) termination of a nonsignatory library and I) insurance responsibilities.
Should nonsignatories be included in the agreement or should there be a separate contract with nonsignatory
communities that have Pioneerland Library system libraries?
2) Does all signatories have to agree to long term borrowing? Can a signatory who opposes borrowing be
excused from borrowing obligations and liabilities? If one of more signatories oppose borrowing, does that
prevent majority of signatories from borrowing?
3) Should a signatory qualify for additional board representation at a specific % of 6,000 population? See
Section 11;2. board membership of current agreement.
•
1I
TO: Mayor and Council
FROM: Dolf Moon - Director of PRCE
DATE: 7 -6 -95
RE: DNR Trail Grant Status
Please be advised that the DNR trail connection grant awarded to the city is meeting
opposition.
The opportunity to connect the trail from Arch to Kimberely Park is not likely to be
completed.
The status of the four property owners is as follows:
Mr. Kenneth Jones - Not willing to sell
Mr. & Mrs. Harlow Karg - Not willing to sell
Mr. Ron McGraw - Not adverse to selling, concerned about rail access.
Maplewood Academy - Not willing to sell
At this time I will be contacting Dan Collins the DNR Trail and Waterway director, to
advise him of the project status and review alternative options.
cc. Gary Plotz City Administrator
John Rodeberg City Engineer
Brenda Ewing Planning Coordinator
Ciry Center
III Hassan Street SE
Hutchinson, MN 55350 -2522
(612)587 -5151
Fax (612)234 -4240
Parks & Recreation
900 Harrington Street SW
Hutchinson, MN 55350 -3097
(612) 587 -2975
Fax(612)234 -4240
- Primed on recvried paper -
Police Services
10 Franklin Street SW
Hutchinson, MN 55350 -2464
(612) 587 -2242
Far(612)587 -6127
FYy �
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O� �r
y Pam`
AVLk G
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JhatLP-4) t°'c)a �' X
HUTCHINSON FIRE DEPARTMENT MINUTES
REGULAR MEETING
Monday, June 5, 1995
0 The meeting opened at 8:25 p.m.
The minutes were read and approved.
COMMITTEE'S
SCBA's - The department is missing Unit # 220 from engine #2339. Discussion followed on
putting back equipment after drills and runs to their proper places. During monthly checks of
SCBA's, there have been some mainline valves left turned on. The procedure after SCBA use is
to dose mainline valves, bleed of the regulator, and extend all straps on packs and masks.
Uniforms - Rob Carlson reported that 1st responder patches should be placed 1' below the U.S.
flag, centered on the crease.
Fire Safety - Casey Stotts reported that the fire house will be used on Wednesday June 7th at
12:30. Volunteers needed.
Membership - Tom Glaeser reported that the department will be conducting a test for recruits on
Saturday June 24th at 8:00 am at the fire station. Help is needed for the testing process.
Rural Tanker - Tom Pessek reviewed the rural tanker cost estimates which will be presented to
the townboards.
MMS to accept the rural tanker proposal Wthout the part on the used apparatus. Motion passed.
The date for the townboard meeting is June 29th at 8:00 PM. Secretary to send out notices.
BILLS
City, Fire Marshall and Rural Account
$3,288.57
General Account
Standard Printing (tickets)
734.85
Cashwise
4,86
City of Hutch (postage)
85.89
Festival Foods
2.91
Cashwise
60.12
Browns Floral (banquet)
21.30
Festival Foods
4.47
Lester Prairie F.D. (regional)
9.00
Sewing Basket
19.17
McLeod Co. Ag. Ass'n (rent)
500.00
Browns Floral (banquet)
98.85
Our Design's (1st Res. patch)
215.50
Crow River CC (banquet)
2,319.31
Cashwise
1161
Mike Schmidt
7.12
Art Krzmarzick (bulb recycle)
67.60
Gary Henke (cash for dance)
300.00
C&C Embroidery (shirts)
73.75
Bob 8 Beach Combers (dance)
1,500.00
Hutch Leader (dance)
148.24
Robin Schoulz (ticket taker)
20.00
KDUZIKKJR (dance)
116.50
Stacey Jundra (ticket taker)
20.00
KARP (dance)
84.00
Jay Hauslauden (ticket taker)
20.00
Glencoe Uniforms
4.50
Chris Guggemos (ticket taker)
20.00
Total $8,458.55
RUNS
5-1
Country Club Terrace -Grass
5-17
Village Co-op - Alarm
5-2
5-5
Middle School - Alarm
Dakota Rail - Rural - Grass
5-18
5-20
Medical
10-50 Rescue
5-6
Hutch Iron - Scrap pile
5-22
Structural Specialties - Rural Haz-mat
5-6
Medical - Airport Rd.
5-27
Middle School - Alarm
5-12
Medical - Biscay Hwy 22
5-29
R. Williams - Car
5-15
10-52 Rescue - Hwy 7E
5-30
10-52 Rescue - Rural
5-1 SCBA's 5-8 Drill
5-1 Drill f Meeting 5-15 Drill
MMS to approve the bills and runs as read. Motion passed.
COMMUNICATION'S
MMS to accept the resignation of Mike Schmidt as of July 5, 1995. Motion passed -
NEW BUSINESS
Asst. Chief Steve Schramm is looking for a F.D. mechanic. See Steve for details.
Ass[. Chief Randy Redman announced that there YAll be a Regional Fire school July 22 at
Litchfield. See Randy for details and signup.
Rob Carlson and Casey Stotts reported on the State Fire school Gasses they had attended.
Chief Brad Emans reported that as of the June Drills and fires, vve will start to use the
accountability system. Place one name tag on each of the two boards in the trucks as you gel in
before leaving the station.
Chief Emans also reminded everyone of the signup sheets for the Water Carnival and other
activities corning up.
The meeting adjourned at 9:15 p.m.
Respectfully submitted by,
Jim Brodd •
Secretary
HUTCHINSON FIRE DEPARTMENT MINUTES
OFFICER'S MEETING
Monday, June 12, 1995
The meeting opened at 9:25 p.m
There was general discussion about the PAR (personnel accountability reporting) system and
consensus was that we should implement it slowly.
There was general discussion about the Water Carnival parade and the 1 st Aid station that vAll
be set up at the end of the route.
Tom Glaeser and the Membership committee talked about the new member testing on June 24
at 8:00 AM and the extra help that is needed.
The Tactical Fire Frequency - Channel 3 on the new portable radios, will be used when we have
major incidents or at the chiefs discretion. Portables should be switched to charnel 3 and put on
scan so that we can hear other radio traffic.
Chief Brad Emans has talked to Miriam Filk at the Fairgrounds about next years dance. The Ag
Ass'n has requested $500.00 rent and $500.00 damage deposit. Chief Emans also notified the
Ag Ass'n that the fire coverage for the Fair will be a contractual service. Firefighters vAll be paid
for the hours worked at an event. Discussion followed about other events and if we should
charge for this service. The Chiefs will set up a fee schedule to be charged accordingly.
Casey Stotts requested that he be notified when Knox box seals are broken so that he can get
them replaced.
The Chiefs slated that Idds must be supervised at all times when in the fire station.
Meeting adjourned at 10:10 p.m.
Respectfully submitted by,
Jim Brodd
Secretary
TO: Mayor and Council
FROM: Brad Emans, Fire Chief
HUTCHINSON
FIRE DEPARTMENT
205 Third Avenue South East
HUTCHINSON, MINNESOTA 55350
June, 1995
The fire department responded to 21 calls in June of those calls, 6 were in the rural and
15 in the city.
Breakdown
of the calls:
5
- Residential
6
- CommerciaVindustrial
4
- Rescue
2
Medicals
2
_
HazMat
1
- Grass
1
- Goodwill
Drills/Meetings for the month•
• Mutual Aid drill in Silver Lake
• Accountability on the fire ground
• Ropes and knots
Extra Duty:
• Park and Rec Safety Day
• 1st Aid at Parade end
• Fireworks
Special note: We had another firefighter test on June 24th. Seven people tested with four
hired for training.
On June 29, 1995 the townships approved letting bids for a 1996 - 3000 gallon tanker truck
with bid opening in August.
0
hutchinson
community
hospital
burns manor nursing Fame
1095 Highway 15 South • Hutchinson, MN 55350 • 612/234 -5000
June 21, 1995
Mr. Brad Emans
Hutchinson Fire Department
205 3rd Av. S.E.
Hutchinson, MN. 55350
Dear Mr. Emans:
On behalf of Hutchinson Community Hospital, I would like to thank your department for
your assistance at this year's Jaycee Water Carnival parade first -aid station.
In view of the high heat and humidity encountered Sunday, the Immediate avaiabllity of
water and a cooling shower proved very valuable. I know your personnel were kept
very busy handing out cups of water, but their efforts made our first aid station a
success.
We received many positive comments regarding the staffing and organization of the
first -aid area. Thanks again for your support.
Sincerely,
_ -
�`�"'Y`
George R. Gordon, M.D.
Emergency Services Director
Hutchinson Community HospitaUHutchinson Area Health Care
0
0
E
•
Highway 7 & 3rd Avenue Informational Meeting
July 6, 1995
Questions
The following are questions that were posed by the meeting attendees in response to the
conceptual plan to split Highway 7.
1. Don Hantge, Tri County Water - Is 3rd Ave. sufficient for truck traffic?
It is a state aid, 9 ton road. The State prefers 10 ton roads for State highways. It would be
requested that the street stay as it is.
2. Would 3rd Ave. and Highway 7 stay the same width or would they be widened?
They would probably remain the same width as they are now.
Dick Desens, New Dimension Plating - What would be the posted speed limit?
30 mph
4. Bob Stearns, Stearnswood - Stated that the conceptual plan would be detrimental to his business. He
questioned how 19 semi trucks per week could gain access to and exit from the property? Also stated
that the practice of lift trucks going back and forth across 3rd Ave. to the Stearnswood warehouse is
totally safe. This would be impossible if 3rd Ave. becomes part of the highway.
5. Dick Desens - Stated that he is anticipating increased truck traffic for his business.
6. Fritz Schmeling, Junction Amoco - Will the frontage road by the Victorian Inn be connected to 3rd
Ave.?
Probably not since the intersection by Cenex and Les Kouba Parkway already has stacking
problems.
7. Dick Desens - Has MnDot considered the railroad r -o-w as a possible easterly route?
Not to the City's knowledge.
g. Fritz Schmeling - Why are there no turn lanes at Bluff St. and Hwy 7?
The intersection will be striped this summer. Highway 7 will be striped from Bluff St. to Hwy
15.
The general consensus is that the major concern is maintaining and/or providing adequate access
to the business properties along the route. Adequate area is required to allow truck traffic to enter and
exit the properties in a practical manner.
Those present who expressed a desire to meet to address the issues raised at this meeting are as follows:
Clarence Kadrmas, Hutchinson Utilities
Robert Stearns, Stearnswood
Fritz Schmeling, Junction Amoco
Richard Desens, New Dimension Plating
Don Hantge, Tri -County Water
HCI - Hutchinson Computer
Laraway Roofing
Cenex
AGENDA
SUBJECT. Proposed New Zoning District between State Hwy. 7 and 22 and Third
Avenue N.W.
INTRODUCTION.
Jim Marka, Director of Planning, Zoning, and Building
• Land -Use regulation history of area
Dick Lennes, HCDC Director
0 Review HCDC Conceptual Plan for this area .
Brenda Ewing, Planning Coordinator
• Review of ezisting zoning regulations
a Conceptual review of preliminary proposed regulations
John Rodeberg, Director of Engineering
• Review of MnDOT Conceptual Plan for T.H. #7 and
Third Ave.
0
CITY OF HUTCHINSON
LIQUOR STORE COMPARISON
JUNE 1994
JUNE
195
441
1994
LIQUOR
BEER
1
2,169
2,314
2
1,786
3,451
3
2,452
6,778
4
2,667
7,808
6
1,192
2,577
7
1,164
1,836
8
1,133
2,081
9
1,454
3,176
10
2,379
5,691
11
2,646
6,247
13
1,274
2,577
14
1,331
2,978
15
1,300
2,475
16
1,796
3,906
17
2,601
8,226
18
3,305
7,833
20
1,110
2,053
21
1,286
2,763
22
1,186
2,417
23
2,005
3,351
24
2,426
6,429
25
2,489
5,940
27
1,086
2,391
28
1,255
2,368
29
1,425
3,054
30
2,738
4,233
TOTAL 47,655 102,951
93 TOTAL 41,523 80,941
% OF SALE 27 59
SALES INC OR DEC
WINE MISC.
179
195
441
249
1,009
489
1,040
1,090
349
201
363
121
406
157
566
288
719
388
1,039
630
438
169
404
213
368
132
487
257
820
414
1,170
680
286
157
353
214
413
207
453
209
845
490
1,087
552
299
152
339
186
566
213
620
344
15,059 8,397
12,836 6,644
9 5
32,118
TOTAL
4,857
5,927
10,728
12,605
4,319
3,484
3,777
5,484
9,177
10,562
4,458
4,926
4,275
6,446
10,081
12,988
3,608
4,616
4,223
6,018
10,100
10,068
3,928
4,146
5,258
7,935
FOR YOUR INFOOTION
CITY OF HUTCHINSON
LIQUOR STORE COMPARISON
JUNE 1995
TOTAL , JUNE A W TOTAL
BY WEEK 1995 LIQUOR BEER WINE MISC. TOTAL BY WEEK
23 %
1
2,066
4,189
828
292
7,375
2
3,276
7,723
1,301
719
13,019
3
3.649
8,784
1,277
2,141
15,851
36,245
34,117
5
1,189
2,537
431
184
4,341
6
1,290
2,946
378
228
4,842
7
1,539
2,507
424
151
4,621
8
1,870
2,969
528
276
5,643
9
3,186
5,849
905
500
10,440
10
3,157
5,594
949
539
10,239
40,126
36,803
12
2,244
2,939
462
226
5,871
13
1,503
3.859
951
410
6,723
14
2,091
3,825
483
391
6,790
15
2,023
4,939
676
364
8,002
16
3,093
8,375
1,193
611
13,272
17
3,817
11,193
1,638
1,208
17,856
58,514
43,154
19
1,277
2,688
451
212
4,628
20
1,072
2,605
340
240
4,257
21
1,976
3,372
558
297
6,203
22
1,753
4,295
702
355
7,105
23
3,204
6,870
1,063
176
11,313
24
2,871
6,983
1,002
176
11,032
44,538
38,721
26
1,198
2,322
381
239
4,140
27
1,378
2.366
515
262
4,521
28
1,686
3,067
415
287
5,455
29
2,333
4,566
912
274
8,085
30
4,045
8,367
1,383
592
14,387
21,267
36.588
174,062
TOTAL
58,786
125,729
20,146
11,350
216,011
141,944
94 TOTALS
47,655
102,951
15,059
8,397
174,062
100
% SALE
27
58
9
5
100
SALES INC OR
DEC
41,949
24 %
NOTICE
July 21, 1995
To: To Whom It May Concern:
From: Gary D. Plotz, City Administrator
The closed meeting at 4:00 P.M. with the City Council is to discuss a personnel item regarding an
employee disability claim.
•
An additional item for the agenda, under "Communications-- 6(c) ", will be a summary by Ken
Merrill of the 4:15 P.M. City Council Workshop on the overview of City finances.
•
