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cp07-11-1989 cHUTCHINSON CITY CALENDAR WEEK OF juiv ,9 T 0 19 8 !) WEDNESDAY -12- 10:00 A.M. - Directors Meeting SUNDAY -9- THURSDAY -13- MONDAY -10- Summer Recreation FRIDAY -14- WATION & SICK LEAVE: CANE OLSEN - July 10 -28 Sick Leave kRK SCHNOBRICH - July 10 -17 TUE &Y -11_ 1:45 A.M. - CAER Committee Meeting 2:00 P.M. - Open Bids at City Hall for Burns Manor Renovation and Lettings 5 & 6 7:30 P.M. - City Council Meeting at City P� Hall SATURDAY -15- AGENDA REGULAR MEETIAG - HUTCHIASOA CITY COUACIL TUESDAY, JULY 11, 1989 1. Call to Order - 7:30 P.M. 2. Invocation - Rev. Dan Cloeter, Our Savior's Lutheran Church 3. Consideration of Minutes - Regular Meeting of June 27, 1989 and Board of Review Minutes of June 27, 1989 Action - Approve as distributed - Approve as amended 4. Routine Items (a) Reports of Officers, Boards and Commissions 1. Building Official's Report - June 1989 2. Library Board Minutes of June 22, 1989 3. Hospital Board Minutes of May 16, 1989 (b) Request for Use of Library Square for Arts & Crafts Festival On September 15 -16, 1989 Action - Motion to order report and minutes filed and approve request 5. Public Hearing - 8:00 P.M. (a) Assessment Roll No. 251 - Letting No. 4, Project No. 89 -05, 89 -06, 89 -07 And 89 -12 Action - Motion to close bearing - Motion to reject - Motion to approve and adopt Assessment Roll No. 251 and award contract - Motion to waive readings and adopt Resolutions (b) Assessment Roll No. 243 -A - Letting No. 6, Project No. 88 -11 Action - Motion to close hearing - Motion to reject - Motion to approve and adopt Assessment Roll No. 243 -A - Motion to waive reading and adopt Resolution 6. Communications, Requests and Petitions (a) Status Report On Lease Agreement for Youth Center (DEFERRED JUNE 27) Actioii - Motion to reject - Motion to approve and enter into agreement (b) Review of Gate In Alley West of Adams Street Between Food 'N Fuel And • Fifth Avenue Southeast Action - 1 CITY COUNCIL AGENDA - JULY 11, 1989 o 7. Resolutions And Ordinances (a) Resolution No. 9034 - Resolution for Purchase Action - Motion to reject - Motion to waive reading and adopt (b) Resolution Mo. 9035 - Resolution Accepting $112,500 From The Hutchinson Utilities Commission Action - Motion to reject - Motion to waive reading and adopt (c) Resolution No. 9037 - Resolution For Release And Substitution Of Pledged Securities From First State Federal Savings & Loan Association, Hutchinson, Minnesota Action - Motion to reject - Motion to waiver reading and adopt (d) Resolution No. 9038 - Resolution to Establish City Fees And Charges, Etc. Action - Motion to reject - Motion to waive reading and adopt 8. Unfinished Business (a) Report On Breakdown of Taxes for McLaughlin Property 0 9. New Business (a) Consideration of Re- establishing Building Permits And Fees for Reshingling And Residing Action - (b) Consideration of Retainage Reduction for Robert L. Carr Co. From $10,000 To $5,000 Action - Motion to reject - Motion to approve (c) Consideration of Sanitary Sewer Hook -Up To Tartan Park Concession Stand Action - Motion to reject - Motion to approve (d) Consideration of Purchase of New Radar Equipment for Police Department Action - Motion to reject - Motion to approve (e) Consideration of Designation for Bicycle Auction Receipts Action - Motion to reject - Motion to approve 2 CITY COUNCIL AGENDA - JULY 11, 1989 • (f') Consideration of Sale of 81,525,000 General Obligation 1989 Improvement Bonds Action - Motion to reject - Motion to approve - Motion to waive reading and adopt Resolution No. 9035 (g) Discussion of 1990 Tax Levy And City Budget Action - (h) Consideration of State Aid for Airport Maintenance and Operation Action - Motion to reject - Motion to approve - Motion to adopt Resolution No. 9036 and enter into agreement (i) Consideration of Purchase Agreement for Helland Park Property Action - Motion to reject - Motion to approve and enter into agreement (j) Consideration of Worksite Agreement with Heartland Community Action Agency • Action - Motion to reject - Motion to approve (k) Consideration of Applying for Maxi -Audit On City Hall And Old Fire Station Action - Motion to reject - Motion to approve and enter into agreement (1) Consideration of Agreement With Dan Hudson Regarding Drive - Through Window At "Subway" Action - Motion to reject - Motion to approve and enter into agreement 10. Miscellaneous (a) Communications from City Administrator 11. Claims, Appropriations And Contract Payments (a) Verified Claims Action - Motion to approve and authorize payment from appropriate funds • 12. AdJournment 5-3 e MINUTES REGULAR MEETING - HUTCHI UTCHIRSOA CITY CAURCIL TUESDAY, JUNE 27, 1989 i. The meeting was called to order by Mayor Ackland at 7:30 P.M. The follow- ing were present: Mayor Paul L. Ackland, Aldermen Mike Carls, John Mlinar, Marlin Torgerson and Pat Mikulecky. Also present: City Administrator Gary D. Plotz, Consultant Engineer Marlow V. Priebe and City Attorney G. Barry Anderson. 2. INVOCATION The invocation was given by the Reverend Randy Chrissis. 3. MINUTES The minutes of the special meeting (hearing) of May 10, 1989, Board of Re- view minutes of May 24, 1989, regular meeting of June 13, 1989, special meeting of June 19, 1989 and bid opening minutes of June 20, 1989 were ap- proved as distributed. 4. ROUTINE ITEMS (a) REPORTS OF OFFICERS, BOARDS AND COMMISSIONS • 1. FINANCIAL REPORT - MAY 1989 2. PLANNING COMMISSION MINUTES OF MAY 16, 1989 3. HRA MINUTES OF MAY 16, 1989 ' 4. POLICE COMMISSION MINUTES OF JUNE 14, 1989 The motion was made by Alderman Mlinar, seconded by Alderman Torgerson and unanimously carried, to order report and minutes filed. 5. PUBLIC HEARING None. 6. COMMUNICATIONS, REQUESTS AND PETITIONS (a) PRESENTATION OF PLAQUES TO AFS STUDENTS Mayor Ackland presented plaques to the 1988 -89 AFS students Juliana Nacif, Brazil, and Luis Duran, Spain. (b) REQUEST BY PROPERTY OWNERS TO INSTALL CURB AND GUTTER ON GRAHAM STREET • Consultant Engineer Priebe commented on past City policy regarding pri- vate construction of curb and gutter. He stated the policy has been that the property owner(s) would be required to pay the engineering fees up to 10%; if they have someone use the City plan and stake it, 1 3, CITY COUNCIL MINUTES - JUNE 27, 1989 7 H i the charge would be 5%; if the City crew stakes it, the charge would be 10 °k. Following discussion, Alderman Torgerson moved to approve Jim Hanson installing curb and gutter at the property locations of 601, 602 and 603 Graham Street. Motion seconded by Alderman Carle and unanimously carried. (c) CONSIDERATION OF REQUEST BY CHRIST THE KING LUTHERAN CHURCH TO USE LIBRARY SQUARE FOR CHURCH RALLY ON SEPTEMBER 10, 1989 The motion was made by Alderman Carle, seconded by Alderman Mlinar and unanimously carried, to approve the request. (d) STATUS REPORT ON LEASE AGREEMENT FOR YOUTH CENTER Inasmuch as the City Attorney was still in the process of preparing the lease agreement, this item was deferred to the next Council meeting. (e) REQUEST FROM PURE CULTURE PRODUCTS, INC, FOR TEMPORARY STREET CLOSING ON ADAMS STREET Following discussion of the temporary closing on a designated section • of Adams Street for July 19, 1989 from 1:00 to 4:00 P.M., Alderman Carle moved to approve the request. Motion seconded by Alderman Mlinar and unanimously carried. RESOLUTIONS AND ORDINANCES (a) ORDINANCE NO. 89 -01, SECOND SERIES - AN ORDINANCE ADOPTING A REVISION AND CODIFICATION WITH CERTAIN ADDITIONS AND DELETIONS, OF ALL ORDINANCES OF THE CITY OF HUTCHINSON, MINNESOTA The motion was made by Alderman Torgerson, seconded by Alderman Miku- lecky and unanimously carried, to waive second reading and adopt Ordi- nance No. 89 -01, (b) RESOLUTION NO. 9021 - RESOLUTION FOR PURCHASE The motion was made by Alderman Carle, seconded by Alderman Torgerson and unanimously carried, to waive reading and adopt Resolution. UNFINISHED BUSINESS (a) CONSIDERATION OF SELECTING SHORT - ELLIOTT - HENDRICKSON AS ARCHITECTURAL FIRM TO PREPARE STUDY ON REMODELING OR REPLACEMENT OF CITY HALL WITH RECOMMENDATION FROM SUB - COMMITTEE (DEFERRED JUNE 13, 1989) City Administrator Plotz reported the subcommittee recommended Short - Elliott- Hendrickson as the architectural firm to do the City Hall study. Following discussion, Alderman Torgerson moved to approve the 2 • 6 CITY COUNCIL MINUTES - JUNE 27, 1989 recommendation and execute an agreement with Short- Elliott- Hendrickson as the architectural firm. Motion seconded by Alderman Mlinar and car- ried unanimously. (b) CONSIDERATION OF AWARD FOR SECTION I1 FOR WATER TREATMENT FACILITIES FILTER REHABILITATION AND CONTROL SYSTEM MODIFICATION PROJECT (DEFERRED JUNE 13, 1989) Mr. Chuck Barger of RCM recommended the City award the Section II con- tract to Quade's Inc. and use Consolidated Electric Co. equipment, with an increased cost of $5,000. Following discussion, Alderman Carls moved to approve and enter into contract as recommended by the consultant. Motion seconded by Alder- man Mlinar and unanimously carried. (c) CONSIDERATION OF PRELIMINARY COST ESTIMATE FOR ENGINEERING DESIGN AND CONSTRUCTION SERVICES FOR DOWNTOWN WATER SERVICES AND SPRINKLING BY DONOHUE & ASSOCIATES (DEFERRED JUNE 13, 1989) Consultant Engineer Priebe reported Phase I of the Donohue preliminary study would cost $4,500. The revised costs for Part II had increased. is Following discussion, Alderman Mlinar moved to approve and enter into agreement with Donohue & Associates, with clarification of wordage that the City could stop after Phase I and would not have to enter into Pbase(s) II and III. Motion seconded by Alderman Mikulecky and unani- mously carried. (d) CONSIDERATION OF WAIVING BUILDING PERMIT FEE FOR RCM PROJECT 14007.01 (DEFERRED JUNE 13, 1989) It was reported that the specifications included the building permit fee; therefore, the bidder would pay the building fee. Alderman Mikulecky moved to approve and waive fee. Motion seconded by Alderman Torgerson. Following discussion, Mikulecky and Torgerson withdrew their motion and second respectively, Alderman Torgerson moved to reject. Motion seconded by Alderman Mlinar and unanimously carried. 9. NEW BUSINESS (a) CONSIDERATION OF DELINQUENT WATER AND SEWER ACCOUNTS Following discussion, Alderman Mikulecky moved to discontinue service at noon on July 3 unless other arrangements had been made. Notion sec- onded by Alderman Torgerson and unanimously carried. (b) CONSIDERATION OF CROW RIVER ARTS GUILD GRANT 3 CITY COUNCIL MINUTES - JUNE 27, 1989 46 The Crow River Arts Guild presented a grant proposal to the Council. The terms of the grant were a 50/50 cost share for a three year period commencing in 1990, with the total City outlay being $30,000, to estab- lish a fine arts program within the park and recreation department. Following discussion, Alderman Mlinar moved to approve the request for $10,000 per year over a three year period. Motion seconded by Alderman Mikulecky and unanimously carried. (c) CONSIDERATION OF AGREEMENTS WITH GREEN THUMB PROGRAM AND WORK STUDY WITH TECHNICAL INSTITUTE OF HUTCHINSON FOR SUBSIDIZED EMPLOYMENT Following discussion, Alderman Carls moved to approve and enter into agreements. Motion seconded by Alderman Mlinar and unanimously car- ried. (d) CONSIDERATION OF AWARDING BID FOR MID -SIZE VAN Following discussion, Alderman Carls moved to approve and enter into contract as recommended by Supervisor Doug Meier. Motion seconded by Alderman Mlinar and unanimously carried. (e) CONSIDERATION OF ABOLISHING COMMUNITY SERVICES OFFICER POSITION AND • ESTABLISHING AN ADDITIONAL PATROL POSITION IN POLICE DEPARTMENT Following discussion, the motion to approve was made by Alderman Carls, seconded by Alderman Mikulecky and unanimously carried. (f) CONSIDERATION OF PHYSICAL FITNESS PROGRAM POLICY FOR POLICE DEPARTMENT The motion was made by Alderman Carls, seconded by Alderman Mlinar, to approve the policy. Following discussion of granting a reward of 10 hours comp. time to each officer who attained a superior score per the six month evaluation period, Alderman Mikulecky amended the motion to delete item No. 5 from the policy. Amended motion seconded by Alderman Torgerson and failed unanimously. Main motion unanimously carried. (g) CONSIDERATION OF CONDITIONAL USE PERMIT REQUESTED BY DALE RANNOW TO CONSTRUCT A GARAGE IN FLOOD FRINGE WITH FAVORABLE RECOMMENDATION OF PLANNING COMMISSION Following discussion, the motion was made by Alderman Mlinar to approve the permit and waive reading and adopt Resolution No. 9022. Motion seconded by Alderman Carls and unanimously carried. (h) CONSIDERATION OF CONDITIONAL USE PERMIT REQUESTED BY JEFF MUNSELL TO MOVE IN MODULAR UNIT FOR DANCE STUDIO WITH FAVORABLE RECOMMENDATION OF PLANNING COMMISSION Following discussion, Alderman Torgerson moved to approve permit and to • waive reading and adopt Resolution No. 9023. Motion seconded by Alder- 4 0 CITY COUNCIL MINUTES - JUNE 27, 1989 man Mlinar and unanimously carried. (i) CONSIDERATION OF CONDITIONAL USE PERMIT REQUESTED BY DAN HUDSON TO CONSTRUCT DRIVE THRU WINDOW AT "SUBWAY" RESTAURANT WITH FAVORABLE RECOMMENDATION OF PLANNING COMMISSION Following discussion of the City Attorney drafting an agreement for the street right of way, Alderman Mikulecky moved to approve permit and to waive reading and adopt Resolution No. 9024, Motion seconded by Alder- man Carls and unanimously carried. (j) CONSIDERATION OF CONDITIONAL USE PERMIT REQUESTED BY TOM LUDOWESE FOR ADDITION TO ACME CAR WASH AT 690 SOUTH GRADE ROAD WITH FAVORABLE RECOMMENDATION OF PLANNING COMMISSION Following discussion, Alderman Torgerson moved to approve permit and to waive reading and adopt Resolution No. 9025. Motion seconded by Alder- man Mikulecky and unanimously carried. (k) CONSIDERATION OF CONDITIONAL USE PERMIT REQUESTED BY DAVE ROSSMAN FOR ADDITION TO GARAGE AT 604 HASSAN WITH FAVORABLE RECOMMENDATION OF PLANNING COMMISSION • Following discussion, Alderman Mlinar moved to approve permit and to waive reading and adopt Resolution No. 9026. Motion seconded by Alder- man Mikulecky and unanimously carried. (1) CONSIDERATION OF FAVORABLE RECOMMENDATION BY PLANNING COMMISSION TO ADOPT FLOOD PLAIN ORDINANCE WITH CODIFICATION Following discussion, Alderman Mlinar moved to approve, Motion sec- onded by Alderman Mikulecky and unanimously carried. (m) CONSIDERATION OF ANNUAL REVIEW OF CONDITIONAL USE PERMIT GRANTED TO TECHNICAL INSTITUTE OF HUTCHINSON FOR PORTABLE TRAINING UNITS WITH FAVORABLE RECOMMENDATION OF PLANNING COMMISSION Following discussion, Alderman Torgerson moved to approve the extended conditional use permit. Motion seconded by Alderman Carls and unani- mously carried, (n) CONSIDERATION OF RECYCLING SPECIFICATIONS During discussion, it was determined that Precinct 4 would be used as the pi;;t area for the six -month curbside recycling test program. Alderman Carls moved to refer this item to the City Attorney to prepare a document with D.J. Enterprises for the July 11 Council meeting. Mo- • tion seconded by Alderman Mlinar and unanimously carried. (o) REVIEW OF CORRESPONDENCE FROM CITY ATTORNEY CONCERNING CONSTRUCTION ANALYSIS MANAGEMENT CITY COUNCIL MINUTES - JUNE 27, 1989 • Attorney Anderson reported on his listing of problems with Construction Analysis Management concerning the new police station. An expert in professional construction services (Delpro Corporation) had reviewed the management of C.A.N. and presented an analysis. Following discussion, Alderman Torgerson moved to authorize the City Attorney to enter into negotiation with C.A.M. regarding the Gopher State contract and request C.A.M. to pay all of the City's damages. Notion seconded by Alderman Mikulecky and unanimously carried. (p) CONSIDERATION OF ORDERING PREPARATION OF ASSESSMENT ROLL AND SETTING ASSESSMENT HEARING FOR LETTING NO. 5, BLUFF STREET PROJECT Following discussion, Alderman Carls moved to approve the preparation of Assessment Rolls No. 252, No. 253, and No. 254, hold a public hear- ing on July 26, 1989 at 7:00 P.M. in the Jr. /Sr. High School Cafeteria, and to waive readings and adopt Resolutions No. 9027 -9032. Notion sec- onded by Alderman Torgerson and unanimously carried. (q) CONSIDERATION OF FIXED BASE OPERATOR AGREEMENT WITH TOM PARKER Following discussion concerning item No. 5 in the agreement, it was the consensus of the Council to delete it at this time and review the re- quest for a separate entrance in six months. Alderman Mikulecky moved to approve and enter into an agreement with Tom Parker, with the deletion of item No. 5. Motion seconded by Alder- man Mlinar and unanimously carried. (r) CONSIDERATION OF INSURANCE RENEWAL Mr. Dennis Potter, agent for Insurance Planners, presented a report on property and casualty renewal and workers compensation. Following dis- cussion, Alderman Torgerson moved to renew the various insurance con- tracts for 1989 -90. Notion seconded by Alderman Nlinar and unanimously carried. 10. MISCELLANEOUS (a) COMMUNICATIONS FROM CITY ADMINISTRATOR City Administrator Plotz stated that Dave Mooney was being nominated to the Minnesota Amateur Baseball "Hall of Fame." Therefore, it was re- quested that the Council adopt a Resolution of Appreciation for Dave Mooney as Nominee. Alderman Carls moved to adopt Resolution No. 9033. Notion seconded by Alderman Mlinar and unanimously carried. It was reported that the annual City picnic will be held on August 23. (b) COMMUNICATIONS FROM ALDERMAN MIKE CARLS • A • CITY COUNCIL MINUTES - JUNE 27, 1989 Alderman Carls inquired about the reference to title for City Council members in the new City Code Book. Upon being informed it was "Coun- cil Member," he requested new name plates for the Council table, Alderman Carls reported he had received feedback from the County re- garding roofing and siding permits. Following discussion, it was re- quested that the Building Official prepare a report to address this is- sue. (c) COMMUNICATIONS FROM ALDERMAN JOHN MLINAR Alderman Mlinar commented about the building construction underway. (d) COMMUNICATIONS FROM ALDERMAN MARLIN TORGERSON Alderman Torgerson requested the Consultant Engineer to contact Mr, Gilbertson at 385 Connecticut Street regarding when the street will be completed. It was noted that the mosquitoes were increasing greatly. The question was raised by Alderman Carls as to bow the mosquito spray affected bird life. • (e) COMMUNICATIONS FROM ALDERMAN PAT MIKULECKY Alderman Mikulecky mentioned that the sodding along Third Avenue which was laid last year needed to be watered. (f) COMMUNICATIONS FROM CITY ATTORNEY City Attorney Anderson reported the Midwest Trailer Court owner had contacted him regarding moving trailers into the park. The owner was informed that he must meet all rules and regulations to comply before any trailers could be moved into the park. (g) COMMUNICATIONS FROM CONSULTANT ENGINEER MARLOW V. PRIEBE Consultant Priebe reported that the proposed curb and gutter at the Pet Hospital could be installed, without building additional catch basins, at an estimated cost of $3,400. It was suggested that this amount be taken out of the downtown parking fund. Alderman Torgerson moved to approve the project and take funding out of the downtown parking monies. Motion seconded by Alderman Mikulecky and unanimously carried. Engineer Priebe stated that letters were mailed to affected property • owners concerning the sidewalk on South Grade Road from T.H. 15 to Dale Street. Only three property owners on Keith Street responded that they would give the City an easement. The Engineer stated that if there was no easement along South Grade Road, the boulevard trees would be 7 CITY COUNCIL MINUTES - JUNE 27, 1989 removed and the sidewalk placed on the boulevard right -of -way. 11. CLAIMS, APPROPRIATIONS AND CONTRACT PAYMENTS (a) VERIFIED CLAIMS The motion was made by Alderman Torgerson, seconded by Alderman Miku- lecky and unanimously carried, to approve and authorize payment from the appropriate funds, Motion unanimously carried. 12. ADJOURNMENT There being no further business, the meeting adjourned at 9:30 P.M. A • • • • MINUTES BOARD OF REVIEW TUESDAY, JUNE 27, 1989 LI • The Board of Review for Junker Sanitation Services was held on Tuesday, June 27, 1989 at 6:30 P.M. in the City Council Chambers, Present were: Mayor Paul L. Ackland, Aldermen Mike Caris, John Mlinar, and Marlin Torgerson. Absent: Alder- man Pat Mikulecky. Also present: City Administrator Gary D. Plotz, Manager Wayne Albrecht and Attorney Lee La Bore, representing Junker Sanitation. No residential or commercial user was present to be heard regarding refuse service. Attorney La Bore reported one business in town which Junker should be hauling for was using another hauler, The matter was to be investigated. A motion was made by Alderman Torgerson to close the Board of Review meeting at 6:35 P.M. Motion seconded by Alderman Caris and unanimously carried. H 11 • 0 05726 n 1-71") li ,o,. C-404 LLS. DEPART. ENT Or COMMERCE - - - war"UY ' APEN OVA EXPIRE I issael EueEAUa THE CENSUS Pulod In sYhleAMTttEb Wwd I JUNE 1989 IPIeaN correct any emn in rwu eri0 Mattes NcIUAvIp 21P Cowl REPORT OF BUILDING OR 553 ZONING PERMITS ISSUED AND LOCAL PUBLIC CONSTRUCTION 103500 27 ? 9999 DA5 1 0 26 9999 02730 JAMES PARKA BLDG OFFICIAL IIyourbuilding Permit System has de plat mark box below and explain mentrowiate In eomments. CITY HALL 37 WASHINGTON AVE WEST El Discontinued issuing permits HtITL N INSON AN 55350 ❑ Merged with another system ❑ Spilt Into two W more systems ❑ Annexed land areas PLEASE COMPLETE AND MAIL I ❑ Had other changes THIS FORM ON OR BEFORE JUL 7 4. 1Q4j if no permits were issued during this period, mark fXl in the Dox —� ❑ Buruu of the Census 1201 Instructions ere included. For and return this form feel Tenth Station further assistance, call collect Jeffeeeonrlllti, IN 47732 13011763-7244. EW RESIDENTIAL PRIVATELY OWNED PUBLICLY OWNED HOUSEKEEPING Item Number of Number of BUILDINGS Nc valuation of Valuation of Building, Housing Buildings Housing units construction Omit Cents construction 7BUILDIINGS lei el 10 (d1 lei unite IN Omit Cents 1 ily houses. detached bile homes. 101 2 2 171 ly houses, attached ,316 by ground to roof well, bove or below, and hosting systems and utility meters. ICoum each unit as a separate building) 102 Two - family buildings 103 Three and four - family buildings 104 Five -or more family buildings 108 TOTAL - Sum of 101 -JOB -y 109 2 2 171 316 RESIDENTIAL PRIVATELY OWNED PUBLICLY OWNED 7NONHOUSEKEEPING ILDINGS Item Number of Valuation Number of No of Valuation of Buildings Rooms construction Omu cents Buildings 9 Rooms construction Omit cents 1a1 Ib1 Ic1 Ito LI 111 1gl Hotels, motels, end tourist cabins (transient accommodations onlyl 213 Other nonhousekeeping shelter 214 NEW NONRESIDENTIAL PRIVATELY OWNED PU BLICLYOWNED m Number Valuation of Number Valuation of BUILDINGS Item No buildings construction Omit cents of building, construction Oren cents let lbl Ic) Idl el Amusement, social, and recreational 310 Churches and otherreli i.us 319 Industrial 320 Parking garages )buildings and open decked) 321 Service stations and repair garages 322 Hospitals and institutional 323 Offices, banks, and professional 321 Public works antl utilities 326 Schools and other educational 326 Stores and customer services 327 Other nonresidential buildings 328 1 10,500 Structures other than buildings 329 9 B,2t5 ILTMrMM ADDITIONS, ALTERATIONS, AND PRIVATELY OWNED PUBLICLY OWNED Number Valuation of Number Valuation of Item CONVERSIONS No. of buildinBa construction Omit cent, of buildings construction Omit Cents (al (b) W Ito W Residential - Classify additions of garages and carports in item 438. 434 12 43,517 Nonresidential and nonhousekeeping 437 5 788,127 Additions of residential garages and carports (attached and detached) 438 - Tr.N_ .MnRTr 4 46,996 PLEASE CONTINUE ON REVERSE SIDE —y TOTAL PF.RHTTS 49 - VAITIATTON ti nAQ An nn /� -� (?) RAZING OF na nnu PRIVATELY OWNED PUBLICLY OWNED BUILDINGS 07 Number IN Number of Buildings Housing Buildings Housing IM (b) Icl lot units IN Single family houses (attached and detached) $45 1 Two - family buildings 1 Bab Three- and lour - family buildin a gp Five -or -more family buildings "A All other buiidinos and structures 569 INDIVIDUAL PERMITS AUTHORIZING CONSTRUCTION VALUED AT $500,000 OR MORE Please Provide the following information entered in sections 1 for each permit authorizing construction valued at $500,000 through IV. or more Item No. from Description _ Numherof Name and address of Oshipr Valuation of sac. I IV owner or builder construction Mern fRl Omit cents Housing Buildings i lei Idl .. one units KIM of building Icl (it) lei Ill till _COMHBRCIAL _ ____________ R —MART ______ Sit..ddre•a 1090 . 15 SO. 437 1090 HWY. 22 SOUTH Kind "H __ --- -- - -�� -- - ®Public _55350 ROTCHINSON MN 55350 $750,000 of budding j _S_t_ ___________________ ----- `- ' - - - - -- Privrte s .d___dr____________________________ oi Kind of building a ____ __ _______________________________ _______________________________ ❑Privrte Site edtlreu --------------------- ❑Pupsc Kind of buildup S ____ ______________________ "________ Site .tlenaa ____ _______________________________ Public Kind of building S ___ __ _______________________________ _______________________________ Privrte Site etldms ____ _______________________________ Public Kind of building S ________ ________________________ S ___________________________ h_ •.ddnaa ________ Prints _________________________ --- - - - -'- ❑Public Kind of building S ____ _______________________________ ❑Priv.te Site eedre•i _______________ 11 Public Kind of building 0 ____ _______________________________ Site edarau _______________________________ ❑Privb __________________________ --- - - - - -- oPgblie Kind o budding $ __ _ _n _________________________ Sit____________________ s •dd____re ____________________ ommente 5 .. You aware of any new permit- lasulr.g ri.dictlorn7 ®No O' Yea — Pease give additional information in comments. me of person to contact regarding this report JAME S Telephone le A.. code Number E.tansion it. less.., BUILDING OFFICIAL • I • r!nutes of the Library Board Meeting June 22, 1989 • Meeting called to order at 5:07 by Chairman Ralph Bergstrom Present were. Ralph Bergstrom, Linda Wilimsen, Larry Ladd, Roxanne Wigan, Mary Henke, Dolores Brunner Mary Henke reported an the status of the proposed "Friends of the Library committee. She has completed a great deal of research into this project and has listed some of things necessary to consider. 1. a prospective membership list 2. informationatmeetingat 7 p.m. on Thursday June 29- Brunner and Ladd - liasons 3. By Laws committee 4. Wean representing the Library Board S. IRS Non profit status 6. State Exempt Certif ication 7. Types of services proposed 8. Fund Raisers 9. Set goals of the committees 10. Membership in State 'Friends' group at an annual foe of =10.00 She also reported on the need for a micro film reader /printer to save the bark copies of the leader for posterity and to make them more accessible and easier to copy for public research Into genealogy air- There are some funds available from the Emma Lake estate but in order to both purchase and utilize the reader /printer more funds would be needed. She contacted Patsy Prleve of the McLeod County Historical Society regarding a possible future purchase by them, but they have a micro film reader and do not intend to purchase a printer. Because of the longer • lours that the I" Is open and the abil sty of the public to have eocess to the reader /printer, the library wouldbe the ideal area to have that availability. t1d& by Larry Ladd/ Dolores Brunner: to have Mary Henke apply for e $2500 grant from the Minnesota Historical Society. Motion carried this would be a matching fund grant and would enable us to both purchase the reader /printer and enable us to put the beck copies of the Leader on micro film. Art Show: The Act Show and subsequent program during Sno- break was a huge success. Suggestion was made to Mary Henke by the Crow River Arts Ouild, to apply for a 1250.00 grant from Sarthw esternArts %ltd to help fund next years program. Mollgfl made by Roxanne Wigan /Dokres Brunner to apply for grant from SWAG. Motion Cyrlod ArL j1gVS&madeby Linda Willmsen /Roxanne Wigan that artworks are to be Judged by a panel for the Sno Break Art Show and if accepted by the panel, then they could also exhibit later( with the I IbrarWe descretion as to amount and time of display.) Motion carried Myron has reported that the Panasonic Cammerclal vacuum Is In need of repair. Motion by L Inda W illmsenharry L add to have Myron have the voc" repaired at a cast of $ 150.00 Motion carried. Linda Wilirnsen reported that the Picneertand budget was approved with a 3.5 Increase in personell. Two new cooties have joined the system. The slate has mandated that all counties must Kwkla iRA try service by 1990. Mr. Berstrom reported that Tri- Minnick has completed the cleaning of the corpetry and • windows. Haft to axlourn, Larry Ladd/Roxanne Wigan. Matson carried. Submitted by Dolores Brunner, Secretary �. (10 HUTCHINSON COMMUNITY HOSPITAL REGULAR BOARD OF DIRECTORS MEETING - May 16, 1989 Large Conference Room - 5:45 PM Present: Bob Durfee, President; Dori Johnson, Vice President; Diane Gilmer, Secretary; Rich Myers, Trustee; Rev Thor Skeie, Trustee; Mike Carls, Trustee; Robert L. Hegrenes, M.D., Chief of Staff Absent: None Others Present: Philip G. Graves, Administrator; Francis P. Seivert, Director of Finance; Jane Lien, Director of Nursing Services; Robyn Erickson, Director of Education and Marketing; Pat Halverson, Mental Health Unit Director; Cathy Nevanen, Hutchinson Leader; Lon Roach; KDUZ /KKJR Radio; La Mae J. Maiers, Recording Secretary The meeting was called to order by President Durfee at 5:45 PM. Minutes of Past Meetings. Minutes of the April 18, 1989, regular Board of Directors meeting were approved as presented. Following discussion: Motion was made by Myers, seconded by Skeie, to approve the minutes of the April 18, 1989, regular meeting of the Board of Directors. All were in favor. Motion carried. Medical Staff Meeting Minutes. Minutes of the March medical staff meeting and the Executive Committee meeting were presented by Dr. Hegrenes. It was noted that the new outpatient chemical dependency program at Hutchinson Community Hospital has been established and there are currently clients in the program, with a capacity of 10. Board President Bob Durfee stated that 3M Company of Hutchinson has indicated their support of the program. New Business A. Annual Audit Presentation. Bernie Hessie from our auditing firm of McGladrey and Pullen was at the meeting to make his annual audit presentation. Hesse reviewed the various financial statements for Fiscal Year 1988. He stated that the hospital had an excellent year and is "very, very strong financially" when compared to other hospitals in their peer group (hospitals with 50 -99 beds). HCH showed an operating revenue of nearly fl million for Fiscal Year 1988. The report showed an overall increase in assets of $1.1 million over 1987. Three factors contributed to the nearly 24% increase in gross patient revenue: a rate increase initiated in 1988, an increase in the volume of services provided and a change in intensity - -more tests being performed during the hospital stay. Regular Board Meeting - 5/16/89 Page Two (A.) Total operating expenses were up by 20% in 1988 mainly due to the addition of 21 FTE's and salary increases allotted to the employees throughout the hospital. Hesse congratulated the Board, Administrator Phil Graves, Director of Finance Frank Sievert and the hospital staff for their excellent year. Following his review of the financial "forecast" for the next four years in Included in his list of some 14 items - Medicare will continue with DRG's - payment system in the early 1990's. - Inpatient admissions will increase. statements, Hesse presented his the healthcare industry. were: will convert to a capitated - Nursing shortage will continue; acute in the Metro area. - Approximately 400 hospitals will be forced to close, mostly outstate. - More hospital mergers. - Patient will pay a larger amount of the healthcare costs - includes HMO's and PPG's. - Hospitals will become more specialized, especially in metro area. Hesse also took a few minutes to review the findings of a recent study released by Harvard on creating a scale for fairer physician fees. It was initially designed for Medicare insurance coverage, and proposed a fairness scale covering physician visits and surgical procedures. If implemented, may also be used in assisting the private insurers in setting payment rates for services performed by physicians, creating a relative value unit. In his final comments Hesse stated that out of approximately 50 hospitals that his firm works for HCH is one of, if not the most successful. He, again, complimented the Board and management staff on their "outstanding" year. Reflecting on the profit in 1988, Graves stated that HCH needs a "decedent bottom line" in order to position itself as a viable healthcare center in this area and finance the proposed expansion project, necessary for HCH's continued growth. Following discussion: Motion was made by Johnson, seconded by Myers to accept the audit as presented by Bernie Hesse of McGladrey, Hendrickson & Pullen. All were in favor. Motion carried. 0 • 40 r402 I Regular Board Meeting - 5/16/89 Page Three Consultation Services by Hamilton /KSA. Richard Sawyer and James Berarducci of Hamilton /KSA presented a proposal to the Board, on behalf of Al Balhorn, for continuing their building consultation planning services to HCH. Sawyer outlined the programming and design review services they would be providing as well as explaining the cost of their services. Steps 4 through 12 would be based on an hourly rate, up to a maximum of $54,500; Steps 1, 2, 3, 13, 14 and 15 also would be based on an hourly rate, not to exceed $14,000. Project - related expenses would be paid in addition to the consultation fees. Sawyer also expounded on the qualifications of Hamilton /KSA in the overall area of facility planning /building consultation for hospitals and the benefits HCH could expect to gain from their services. It was noted that Hamilton /KSA was also recently hired, independently, by the Hutchinson Medical Center to do a facility evaluation for them. Sawyer stated that they had met with the physicians and have just completed a first draft for the proposed clinic remodeling project. President Durfee thanked Richard Sawyer and James Berarducci for their presentation, and they left the meeting. Discussion followed on the cost of Hamilton's services. Carls suggested that Graves contact other hospitals involved in recent building projects to determine if Hamilton /KSA's fees are comparable to other healthcare consulting firms. Graves stated that he would do that. Graves added that this consulting firm is highly recommended by LifeSpan. Graves also informed the Board members that special meeting would be held in the near future to assist them in becoming more familiar with the various aspects of the building and remodeling project. Following discussion: Motion was made by Johnson, seconded by Myers to hire the services of Hamilton /KSA, contingent on their fees being competitive with other hospital /healthcare related consulting firms. All were in favor. Motion carried. C. Physician Staff Applications. Recommendations were received from the Executive Committee of the medical staff that staff applications of H. Cris Remucal, M.D, and Michael Wipf, M.D., be modified to include privileges in performing laser procedures. Following discussion: Motion was made by Skeie, approved by Myers, to approve the staff applications of H. Cris Remucal, M.D., and Michael Wipf, M.D., to include privileges in laser procedures at Hutchinson Community Hospital. All were in favor. Motion carried. AF (�P Regular Board Meeting - 5/16/89 Page Four Other Application as Multiple Component Hospital. Graves informed the Board that Hutchinson Community Hospital had recently contracted with Burns Manor for the purpose of providing physical therapy (PT) and occupational therapy (OT) services at the nursing home site. However, in order to bill for these services, HCH needs to request, from the State, designation as a hospital with multiple components. Graves stated that he was requesting approval from the Board to proceed with the necessary steps to apply for this designation, subject to approval by legal counsel. Following discussion: Motion was made by Carls, seconded by Skeie, for Administrator Graves to proceed with the necessary steps in order for Hutchinson Community Hospital to receive designation as a hospital with multiple components, subject to approval by legal counsel. All were in favor. Motion carried. Statistical Report and Financial Statements. The Statistical Report and financial statements were reviewed for the month of April. Director of Finance Frank Seivert explained the new format in which they were being presented and noted that in future months he would like to make some additional changes. This would include listing key business ratios which are important to the operation of HCH. Graves also solicited input from the board members as to what they would like to see presented in the reports. It was suggested that various ratios be compared against historical data (previous years) and, also, reports by Standard and Poors. A brief summary of the Statistical Report for April was at 53%, up slightly from th e also up. Ancillary services were tracking was given by Seivert. Occupancy previous month; admissions were on or near budget. In reviewing the financial statements Seivert noted that the numbers on the Income Statement are looking very positive showing a year -to -date operating revenue of $3.5 million or 4.8% greater than budget. Operating income for April was $199,820. Net patient revenues were $962,526. Accounts Payable. The accounts payable were presented. Following discussion: Motion was made by Myers, seconded by Carls, to approve for payment the attached listing of cash disbursements and accounts payable in the amount of $923,493.31. All were in favor. Motion carried. Auxiliary Meeting Minutes. The minutes of the April Auxiliary meeting were not presented at this meeting. • 0 0 (1411) Regular Board Meeting - 5/16/89 Page Five Patient Satisfaction Surveys. Surveys were presented and reviewed by the Board members. No unusual comments were made. Other New Ambulance. Carls asked about the new ambulance. Graves and Seivert both stated that it's an excellent rig and an asset to HCH. The Ambulance staff is very appreciative. Graves informed the board that the second ambulance will be reconditioned and repainted in the near future so the logo /lettering will coordinate with the new ambulance. Telephone System. Seivert informed the board that the hospital will be installing a new telephone system, in the near future, at a cost of approximately $5,500. He stated that the operating cost of the new system would be less than the present system. 6/20/89: C. Update to Main Computer System. Administrator Graves and Director of Adm. Graves Finance Seivert informed the board that they will be presenting a noted that the proposal at the June meeting to update the main computer /data cost of the processing system at HCH. Seivert explained that there is an eminent update would be need to increase the capacity /memory of the current system, due to the apximately increased demand for patient - related data and hospital statistics, and $150,000, there is no longer space available to do that on the present system. not $500,000 as stated. This Seivert explained that the cost to update would be approximately is proposed to be $500,000, and could be financed through the use of revenue bonds. financed with the revenue D. Administrator's Salary. President Durfee noted that the note issued Administrator's salary will be discussed at the June meeting. in June, 1989, for $500,000. Adjournment. The meeting was adjourned by President Durfee at 8:44 PM. 1461A�a5 Respectfully submitted, La Mae J. Maiers Recording Secretary LM (0 Diane Gilmer Secretary HUTCHINSON COMMUNITY HOSPITAL BUDGET COMPARISONS - NATURAL CATEGORIES For Four Months Ended May 31, 1989 CURRENT PERIOD ACTUAL BUDGET VARIANCE PATIENT REVENUE Daily Hospital Service S 207,342 $215,661 $ (8,319) Medical Nursing Units 75,327 49,277 26,050 Mental Health Unit 738,448 619,058 119,390 Ancillary $1,021,117 $ 883,996 $137,121 Gross Patient Revenue _(167,078) (122,572) (44,506) Less: Discounts & Allow $ 854,039 $ 761,424 $ 92,615 Net Patient Revenue 25,698 17,181 8,517 Other Operating Revenue S 879,737 $778,605 $101,132 Total Operating Revenue 422,607 $395,641 $ 26,966 80,594 76,587 4,007 80,352 59,974 20,378 12,231 12,464 (233) 31,345 24,726 6,619 99,667 90,896 8,771 16,392 18,808 (2,416) 11,958 10,783 1,175 7,868 9,104 (1,236) 9,335 9,275 60 8,010 4,295 3,715 29,656 35,336 (5,680) 34,882 40,269 (5,387) OPERATING EXPENSES ACTUAL YEAR -TO -DATE BUDGET • VARIANCE $ 1,126,988 $1,106,309 $ 20,679 418,640 373,910 44,730 3_,479,334 3,306,398 172,936 $ 5,024,962 $4,786,617 $ 238,345 (679,814) (694,509) 14,695 S 4,345,148 $4,092,108 $ 253,040 122,217 88,230 33,987 $ 4,467,365 $4,180,338 $ 287,027 Salaries Employee Benefits Medical & Other Fees Raw Food Drugs Medical & Other Supplies Utilities Building & Equipment Repair Rental Expense Insurance Interest Depreciation Other Expenses S 844,897 $788,158 $ 56,739 Total Operating Expense $ 34,840 S (9,553)$ 44,393 Operating Income $ 1,993,484 $1,926,141 $ 67,343 387,862 372,679 15,1 367,067 320,320 46,7# 62,961 68,019 (5,058) 136,731 127,877 8,854 471,955 458,283 13,672 85,997 94,048 (8,051) 40,819 53,469 (12,650) 32,553 32,110 443 45,238 46,375 (1,137) 13,502 21,473 (7,971) 143,204 176,683 (33,479) 109,780 194,213 184,433) $3,891,153 $3,891,690 S (537) $ 576,212 $ 288,648 S 287,564 Add (Deduct) Non - Operating Revenue (Expense) Price -Level Depreciation (40,023) (40,023) -- And Working Capital (200,1151 (200.115) S (5,183) $(49,576)$ _44,393 Excess Revenue Over Expenses $ 376.097 S 88,533 S 287,564 �: ,%CURRNT.MAY • HUTCHINSON AREA CHAMBER OF COMMERCE 45 Washington Avenue East Hutchinson, MN 55350 (612)587 -5252 r June 26, 1989 Mr. Gary Plotz City Administrator 35 Washington Ave. W. Hutchinson, MN 55350 Dear Mr. Plotz, We are writing to request the the use of Library Square Park for Thursday evening • (September 14) and also all day on Friday, September 15 & Saturday, September 16th for our Annual Arts & Crafts Festival. Also, we would like permission to have First Avenue Southeast (South of Library Square) closed off for the above mentioned dates, because we will be having the Taste of Hutchinson exhibitors in that area. We would also like to request assistance from the Hutchinson Police Department, The Park & Rec. Dept. and also the Street Department for our Festival. The Hutchinson Ambassadors also wish to reserve all concession rights in the Downtown area, and the control of any and all food exhibitors for the Taste of Hutchinson/Arts & Crafts Festival. (This does not include the comer popcorn stand in Library Square) Thank you for your consideration. Sincerely, Jonell Jones Chairperson Arts & Crafts Task Force 0 PUBLISHED IN THE HUTCHINSON LEADER, HUTCHINSON, MINNESOTA, ON TUESDAY, JUNE 27TH, 1989. NOTICE OF HEARING ON PROPOSED ASSESSMENT • PUBLICATION N0. 4009 ASSESSMENT ROLL NO. 251 LETTING NO. 4 PROJECT NO. 89 -05, 89 -06, 89 -07, 89 -12 Hutchinson, Minnesota June 20th, 1989 TO WHOM IT MAY CONCERN: Notice is hereby given that the Council will meet at 8:00 P.M. on the 11th day of July, 1989, in the Council Chambers at City Hall at Hutchinson, Minnesota, to pass upon the proposed assessment for the improvement of Texas Avenue from California Street to 405' East of California Street by Construction of Curb and Gutter, Bituminous Surfacing and Appurtenances; Connecticut Street from Shady Ridge Road to the South Line of Hilltop Addition and on Westwood Road from Connecticut Street to the West Terminus by Construction of Curb and Gutter, Bituminous Surfacing and Appurtenances; Carolina Avenue to School Road by Construction of Curb and Gutter, Bituminous Surfacing, and Appurtenances; and Keith Street from South Grade Road to Chicago Avenue, Sunset Street from South Grade Road to Chicago Avenue and Chicago Avenue from Sunset Street to Keith Street by Construction of Bituminous Surfacing and Appurtenances. You may at anytime prior to certification of the assessment to the County Auditor, pay the entire assessment on such property, with interest accrued to • the date of payment, to the City Administrator. No interest shall be charged if the entire assessment is paid by October 1st, 1989. You may, at anytime thereafter, pay to the City Administrator the entire amount of the assessment remaining unpaid, with interest accrued to December 31st of the year in which such payment is made. Such payment must be made before November 15th or interest will be charged through December 31st of the succeeding year. If you decide not to prepay the assessment before the date given above, the rate of interest that will apply is 9 percent per year. The right to partially prepay the assessment shall be until October 1st, 1989. The proposed assessment is on file for public inspection at the City Administrator's Office. The total amount of the proposed assessment is $99,525.13. Written or oral objections will be considered at the meeting. No appeal may be taken as to the amount of an assessment unless a signed, written objection is filed with the City Administrator prior to the hearing or presented to the presiding officer at the hearing. The Council may, upon such notice, consider any objection to the amount of a proposed individual assessment at an adjourned meeting upon such further notice to the affected property owners as it deems advisable. If an assessment is contested or there is an adjourned hearing, the following procedure will be followed: 1. The City will present its case first by calling witnesses who may testify by narratives or by examination, and by the introduction of exhibits. • After each witness has testified, the contesting party will be allowed to ask questions. This procedure will be repeated with each witness until neither side has further questions. Publication No. 4009 Page 2 2. After the City has presented all its evidence, the objector may call witnesses or present such testimony as the objector desires. The same • procedure for questioning of the City's witnesses will be followed with the objector's witnesses. 3. The objector may be represented by counsel. 4. Minnesota rules of evidence will not be strictly applies; however, they may be considered and argued to the Council as to the weight of items of evidence or testimony presented to the Council. 5. The entire proceedings will be tape recorded. 6. At the close of presentation of evidence, .the objector may make a final presentation to the Council based on the evidence and the law. No new evidence may be presented at this point. An owner may appeal an assessment to District Court pursuant to Minnesota Statutes Section 429.081 by serving notice of the appeal upon the Mayor or City Administrator within 30 days after the adoption of the assessment and filing such notice with the District Court within ten days after service upon the Mayor or City Administrator. Under Minnesota Statutes, Sections 435.193 to 435.195, the Council may, in its discretion, defer the payment of this special assessment for any homestead property owned by a person 65 years of age or older for whom it would be a hardship to make the payments. When deferment of the special • assessment has been granted and is terminated for any reason provided in that law, all amounts accumulated, plus applicable interest, become due. Any assessed property owner meeting the requirements of the law and the resolution adopted under it may, within 30 days of the confirmation of the assessment, apply to the City Clerk, for the prescribed form for such deferral of payment of this special assessment on his property. Gary D. Plotz, C ty Administrator City of Hutchinson, Minnesota • RESOLUTION ADOPTING ASSESSMENT RESOLUTION NO. 9Oa44 o ASSESSMENT ROLL NO. 251 WHEREAS, pursuant to proper notice duly given as required by law, the Council has met and heard and passed upon all objections to the proposed assessment for the improvement of Texas Avenue from California Street to 405' East of California Streete by Construction of Curb and Gutter, Bituminous Surfacing and Appurtenances; Connecticut Street from Shady Ridge Road to the South Line of Hilltop Addition and on Westwood Road from Connecticut Street to the West Terminus by Construction of Curb and Gutter, Bituminous Surfacing and Appurtenances; Carolina Avenue to School Road by Construction of Curb and Gutter, Bituminous Surfacing, and Appurtenances; and Keith Street from South Grade Road to Chicago Avenue, Sunset Street from South Grade Road to Chicago Avenue and Chicago Avenue from Sunset Street to Keith Street by Construction of Bituminous Surfacing and Appurtenances. NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF HUTCHINSON, MINNESOTA: 1. Such proposed assessment, a copy of which is attached hereto and made a part hereof, is hereby accepted, and shall constitute the special assessment against the lands named therein, and each tract of land therein included in hereby found to be benefitted by the proposed improvement in the amount of the assessment levied against it. 2. Such assessment shall be payable in equal annual installments extending over a period of ten (10) years, the first of the installments to be • payable on or before the first Monday in January, 1990, and shall bear interest at the rate of percent per annum as set down by the adoption of this assessment resolution. To the first installment shall be added interest on the entire assessment from October 1st, 1989, until the 31st day of December, 1990. To each subsequent installment when due, shall be added interest for one year on all unpaid installments. E 3. The owner of any property so assessed may, at any time prior to certification of the assessment to the County Auditor, pay the whole of the assessment on such property, with interest accrued to the date of payment, to the City Treasurer, except that no interest shall be charged if the entire assessment is paid by the 1st day of October, 1989; and he may, at any time thereafter, pay to the City Treasurer the entire amount of the assessment remaining unpaid, with interest accrued to the 31st day of December, of the year in which such payment is made. Such payment must be made before November 15th, or interest will be charged through December 31st, of the next succeeding year. 4. The Administrator shall forthwith transmit a certified duplicate of this assessment to the County Auditor to be extended on the property tax lists of the County, and such assessments shall be collected and paid over in the same manner as other municipal taxes. Adopted by the Council this 11th day of July, 1989. City Administrator Mayor RESOLUTION ACCEPTING BID AND AWARDING CONTRACT RESOLUTION NO. 90¢l • LETTING NO. 4 PROJECT NO. 89 -05, 89 -06, 89 -07, 89 -12 WHEREAS, pursuant to an advertisement for bids for the improvement of Texas Avenue from California Street to 405' East of California Street by Construction of Curb and Gutter, Bituminous Surfacing and Appurtenances; Connecticut Street from Shady Ridge Road to the South Line of Hilltop Addition and on Westwood Road from Connecticut Street to the West Terminus by Construction of Curb and Gutter, Bituminous Surfacing and Appurtenances; Carolina Avenue to School Road by Construction of Curb and Gutter, Bituminous Surfacing, and Appurtenances; and Keith Street from South Grade Road to Chicago Avenue, Sunset Street from South Grade Road to Chicago Avenue and Chicago Avenue from Sunset Street to Keith Street by Construction of Bituminous Surfacing and Appurtenances; bids were received, opened and tabulated according to law, and the following bids were received complying with the advertisement: Bidder Amount Bid Mid Minnesota Hot Mix $ 83,634.56 Wm. Mueller and Sons, Inc. $ 87,603.00 AND WHEREAS, it appears that Mid Minnesota Hot Mix of Annandale, Minnesota, is the lowest responsible bidder, NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL HUTCHINSON, MINNESOTA: • 1. The Mayor and City Administrator are hereby authorized and directed to enter into the attached contract with Mid Minnesota Hot Mix of Annandale, Minnesota, in the name of the City of Hutchinson, for the improvement contained herein, according to the Plans and Specifications therefor approved by the City Council and on file in the Office of the City Administrator. 2. The City Administrator is hereby authorized and directed to return forthwith to all bidders the deposits made with their bids, except that the deposits of the successful bidder and the next lowest bidder shall be retained until a contract has been signed; and the deposit of the successful bidder shall be retained until satisfactory completion of the Contract. Adopted by the City Council this 11th day of July, 1989. Mayor ty Administrator • �/ PUBLISHED IN THE HUTCHINSON LEADER, HUTCHINSON, MINNESOTA, ON TUESDAY, JUNE 27TH, 1989. NOTICE OF HEARING ON PROPOSED ASSESSMENT PUBLICATION NO. 4010 • ASSESSMENT ROLL NO. 243 -A LETTING N0. 6 PROJECT NO. 88 -11 Hutchinson, Minnesota June 20th, 1989 TO WHOM IT MAY CONCERN: Notice is hereby given that the Council will meet at 8:00 P.M. on the 11th day of July, 1989, in the Council Chambers at City Hall at Hutchinson, Minnesota, to pass upon the proposed assessment for the improvement of Chicago Avenue from Keith Street to Sunset Street by Construti'bn of Grading, Aggregate Base, Curb and Gutter, Bituminous Surfacing, Concrete Driveway Approaches, Sewer and Water Services to the Property Line of All Buildings or Buildable Sites, and. Appurtenances. You may at anytime prior to certification of the assessment to the County Auditor, pay the entire assessment on such property, with interest accrued to the date of payment, to the City Administrator. No interest shall be charged if the entire assessment is paid by October 1st, 1989. You may, at anytime thereafter, pay to the City Administrator the entire amount of the assessment remaining unpaid, with interest accrued to December 31st of the year in which such payment is made. Such payment must be made before November 15th or interest will be charged through December 31st of the succeeding year. If you • decide not to prepay the assessment before the date given above, the rate of interest that will apply is 9 percent per year. The right to partially prepay the assessment shall be until October 1st, 1989. The proposed assessment is on file for public inspection at the City Administrator's Office. The total amount of the proposed assessment is f 15,770.80. Written or oral objections will be considered at the meeting. No appeal may be taken as to the amount of an assessment unless a signed, written objection is filed with the City Administrator prior to the hearing or presented to the presiding officer at the hearing. The Council may, upon such notice, consider any objection to the amount of a proposed individual assessment at an adjourned meeting upon such further notice to the affected property owners as it deems advisable. If an assessment is contested or there is an adjourned hearing, the following procedure will be followed: 1. The City will present its case first by calling witnesses who may testify by narratives or by examination, and by the introduction of exhibits. After each witness has testified, the contesting party will be allowed to ask questions. This procedure will be repeated with each witness until neither side has further questions. 2. After the City has presented all its evidence, the objector may call witnesses or present such testimony as the objector desires. The same . procedure for questioning of the City's witnesses will be followed with the objector's witnesses. Publication No. 4010 Page 2 3. The objector may be represented by counsel. 4. Minnesota rules of evidence will not be strictly applies; however, they • may be considered and argued to the Council as to the weight of items of evidence or testimony presented to the Council. 5. The entire proceedings will be tape recorded. 6. At the close of presentation of evidence, the objector may make a final presentation to the Council based on the evidence and the law. No new evidence may be presented at this point. An owner may appeal an assessment to District Court pursuant to Minnesota Statutes Section 429.081 by serving notice of the appeal upon the Mayor or City Administrator within 30 days after the ad6ption of the assessment and filing such notice with the District Court within ten days after service upon the Mayor or City Administrator. Under Minnesota Statutes, Sections 435.193 to 435.195, the Council may, in its discretion, defer the payment of this special assessment for any homestead property owned by a person 65 years of age or older for whom it would be a hardship to make the payments. When deferment of the special assessment has been granted and is terminated for any reason provided in that law, all amounts accumulated, plus applicable interest, become due. Any assessed property owner meeting the requirements of the law and the resolution adopted under it may, within 30 days of the confirmation of the assessment, apply to the City Clerk, for the prescribed form for such deferral of payment of this special assessment on his property. • Gary D. Pi tz, Ci Administrator City of Hutchinson, Minnesota r1 U RESOLUTION ADOPTING ASSESSMENT RESOLUTION NO. ASSESSMENT ROLL NO. 243A WHEREAS, pursuant to proper notice duly given as required by law, the Council has met and heard and passed upon all objections to the proposed assessment for the improvement of Chicago Avenue from Keith Street to Sunset Street by Construction of Grading, Aggregate Base, Curb and Gutter, Bituminous Surfacing, Concrete Driveway Approaches, Sewer and Water Services to the Property Line of All Buildings or Buildable Sites, and Appurtenances. NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF HUTCHINSON, MINNESOTA: 1. Such proposed assessment, a copy of which is attached hereto and made a part hereof, is hereby accepted, and shall constitute the special assessment against the lands named therein, and each tract of land therein included in hereby found to be benefitted by the proposed improvement in the amount of the assessment levied against it. 2. Such assessment shall be payable in equal annual installments extending over a period of ten (10) years, the first of the installments to be payable on or before the first Monday in January, 1990, and shall bear interest at the rate of _ percent per annum as set down by the adoption of this assessment resolution. To the first installment shall be added interest on the entire assessment from October 1st, 1989, until the 31st day of • December, 1990. To each subsequent installment when due, shall be added interest for one year on all unpaid installments. 3. The owner of any property so assessed may, at any time prior to certification of the assessment to the County Auditor, pay the whole of the assessment on such property, with interest accrued to the date of payment, to the City Treasurer, except that no interest shall be charged if the entire assessment is paid by the 1st day of October, 1989; and he may, at any time thereafter, pay to the City Treasurer the entire amount of the assessment remaining unpaid, with interest accrued to the 31st day of December, of the year in which such payment is made. Such payment must be made before November 15th, or interest will be charged through December 31st, of the next succeeding year. 4. The Administrator shall forthwith transmit a certified duplicate of this assessment to the County Auditor to be extended on the property tax lists of the County, and such assessments shall be collected and paid over in the same manner as other municipal taxes. Adopted by the Council this 11th day of July, 1989. City Administrator Mayor • • LEASE AGREEMENT THIS LEASE, entered into in Hutchinson, MN, as of this 1st day of August, 1989, by and between Thomas B. Dolder, Hutchinson, Minnesota ( "Landlord "), and the City of Hutchinson, Hutchinson, Minnesota ( "Tenant "). 1. PREMISES: Landlord hereby leases to Tenant the premises (the "Premises ") described as follows: Space within the building located in Block One Rolling Oaks First Addition, Lots Four, Five, Six, and the West Forty - five feet of Lot Seven in the City of Hutchinson, having an approximate total square footage of 3,000 square feet as measured from the exterior face of any exterior walls into the center line of common walls, as outlined in red on the site plan, attached hereto as Exhibit A and made a part hereof for the purposes of more specifically locating the premises from Landlord's property. Also to include personal property in Exhibit B. Landlord reserves the right to place, maintain, repair, and replace utility lights, pipes, tunneling, and the like, in, under, over, upon, or through the premises as maybe reasonably • necessary or advisable for the servicing of the premises or other portions of the building. 2. TERM: (A) To have and to hold the premises unto Tenant commencing on August 1, 1989, and expiring on January 31, 1990 unless sooner terminated as provided herein. 3. RENT: Tenant agrees to pay the Landlord, at places Landlord may from time to time designate premises during the term of this Lease, without set -off, monthly installments commencing August amount of $2,000 per month in addition to Tenan utilities and taxes as set forth herein. 4. TAXES: his home or other as rent for the any deduction of 1, 1989 in the is portion of Tenant agrees to pay as and for its portion of real estate taxes the sum of $200 per month during the term of this Lease. Payment shall be due on the first (1st) of each month commencing on August 1, 1989. 5. CONSTRUCTION: Tenant shall not undertake any construction, nor shall Tenant install any equipment other than trade fixtures and • personal property, without first obtaining Landlords written `f� 17q' approval of plans and specifications therefore. Tenant shall not • commence any work until Tenant delivers to Landlord a policy or Policies of public liability and property damage insurance naming Landlord as an insured, and limits and with companies acceptable to Landlord, in a completion bond covering the Tenants work naming Landlord as a beneficiary and otherwise in a form issued by Surety Company acceptable to the Landlord. 6. COMMON AREAS: Landlord grants to Tenant and Tenant's customers and invitees the right to use, in common with all others to whom Landlord has or may hereafter grants rights to use the same, the Common Areas located within the building and on the land of Landlord. The term "Common Areas" as used in this Lease, shall mean the parking areas, roadways, pedestrian sidewalks, loading docks, delivery areas, landscaped areas, service court, fire corridors, public restrooms, and all other areas or improvements which may be provided by Landlord for the common use of the Tenants of the building. Landlord hereby reserves the following rights with respect to the Common Areas: (1) To establish reasonable rules and regulations for the use thereof; (2) To use or permit the use by others to whom Landlord may have granted such rights for promotional activities; (3) To change the layout of such Common Areas, including the right to reasonably add to or subtract from the shape and size, whether by the addition of building improvements or otherwise; (4) Landlord shall operate, manage, equip, light, repair and maintain said Common Areas for their intended purposes in such manner as Landlord shall in its sole discretion from time to time determine, and may from time to time change the size, location, elevation, nature and /or use of any Common Areas. Tenant shall pay to Landlord as a Common Area Charge the following share of all costs and expenses of every kind and nature paid or incurred by Landlord in operating, maintaining, and repairing the Common Areas: (i) Tenant shall pay fifty percent (508) of all maintenance, repair, and supply costs and expenses for the public restrooms. (ii) Tenant shall pay twenty -five percent (258) of all • costs and expenses in maintaining the parkinglot and 2 • other Common Areas. Such costs and expenses shall include, but not be limited to, costs of management, cleaning, lighting, reasonable reserves, repairing, maintaining, and replacing all Common Area improvements; snow removal, parkinglot scraping, painting, landscaping, provided security, providing public liability, property damage, fire and extended coverage and such other insurance as Landlord deems appropriate for the Common Areas; personal property taxes, supplies, fire protection and fire hydrant charges, licenses and permanent fees. (iii) Tenants Common Area Charge will be paid in monthly installments on the first day of each month in an amount to be estimated by Landlord. Within ninety (90) days following the end of the period used by the Landlord in estimating Landlord's cost, Landlord shall furnish to Tenant a statement of the actual amount of Tenant's proportionate share of such Common Area Charges for such period. Within fifteen (15) days thereafter, Tenant, shall pay to Landlord or Landlord shall remit to Tenant, as the case may be, the difference between the estimated amounts paid by Tenant and the actual amount of Tenant's Common Area • Charge for such period as shown by such statement. 7. UTILITIES: (A) Heat and Electric Charges. Commencing with the date on which Landlord delivers the Premises to Tenant, Tenant shall pay for all beating, electric current and all utilities required for the proper operation of Tenant's business, together with all levied or other charges on-such utilities and governmental charges based on utility consumption. (B) Water and Sewer Charges. Commencing also on the date on which Landlord delivers the premises to Tenant, Tenant shall pay all water rents, all charges resulting from any sprinkler system and sewer charges charged against the Premises. If separate charges cannot be made or portioned between Tenant and the adjoining occupant of the front portion of the building, Tenant shall pay one -half (1/2) of said charges. Said charges shall be paid within thirty (30) days of demand by Landlord. In no event shall Landlord by liable for the quality, quantity, failure, or interruption of such services to the Premises. (C) Commencing also on the date on which Landlord delivers the Premises to Tenant, Tenant shall pay one -half (1/2) of the total charges for sanitation removal for the property on which the Premises is located. Said charges will be paid by Tenant within thirty (30) days of demand by the Landlord. • 8. USE OF PREMISES BY TENANT: Tenant shall use the Premises only as and for the purpose of conducting a youth center. 9. TENANT'S COVENANTS WITH RESPECT TO OCCUPANCY: Tenant agrees: (A) To occupy the Premises in a safe and careful manner and in compliance with all laws, ordinances, rules, regulations and orders of any governmental bodies having jurisdiction over the Premises, and without committing or permitting waste; (B) To neither do nor suffer anything to be done or kept in or about the premises which contravenes Landlord's policies or increases the premiums therefore; (C) To permit no reproduction of sound which is audible outside the Premises nor permit odors to be unreasonably dispelled from the Premises; (D) To place no sign on the exterior of the Premises or on the interior surface of any windows of the Premises without also obtaining Landlord's prior written consent, which will not be unreasonably withheld, and to maintain in good repair and Promptly remove and repair any damage caused by any such permitted signs. Tenant agrees to maintain its signs in a good state of repair and to save the Landlord.harmless from any loss, cost, or damage as a result of the same and shall repair any damage which may have been caused by the erection, existence, maintenance or removal of such signs. (E) To place no merchandise, sign or other thing of any kind in the vestibule or entry of the Premises or on the sidewalks or other Common Areas adjacent thereto or elsewhere on the exterior of the Premises; (F) To park Tenant's vehicles and to require all employees to park only in such places as may be designated from time to time by Landlord for the use of Tenant and its employees, and specifically not to permit parking by any of them in any service court area (Landlord reserves the right to impose fines against Tenant for any violation of these parking restrictions by Tenant and /or Tenant's employees; Landlord further reserves the right to have towed, at Tenant's cost and expense, any automobile parked in violation of this clause); (G) To keep any refuse in proper containers in the interior of the premises until the same is removed and to permit no refuse to accumulate around the exterior of the Premises; 4 u • E (H) To neither load nor unload or permit the loading or unloading of merchandise, equipment or other property from any doors of the premises that open onto the front sidewalk areas, nor from any of the doors except from the rear of the Premises and to use its best efforts to prevent the parking or standing of vehicles and equipment upon the land except when actually engaged in loading or unloading; (I) To conduct no auction, fire or going- out -of- business sale without the prior written consent of Landlord; (J) To permit Landlord free access to the Premises at all reasonable times for the purpose of examining the same or making alterations or repairs to the premises that Landlord may deem necessary for the safety or preservation thereof; (K) To adequately heat and cool the Premises; (L) To permit no lien, notice of intention to file lien or other charges (whether arising out of work on any contractor, mechanic, laborer or materialman or any mortgage, conditional sale, security agreement or chattel mortgage or otherwise) which might be or become a lien or encumbrance or charge upon the Premises or any part thereof or the income therefrom, and to suffer no other matter or thing whereby the estate, right and interest of the Landlord in the Premises or any part thereof might be impaired; (M) To solicit no business in the Common Areas, nor distribute handbills or other advertising matter to customers, nor place the same in or on automobiles in the Common Areas; (N) To comply with all reasonable rules and regulations which Landlord may from time to time establish for the use and care of the Premises, the Common Areas, and other facilities and buildings on the land; (0) Handle and dispose of all rubbish, garbage, and waste in accordance with regulations established by Landlord and not permit the accumulation (unless in sealed metal containers) or burning of any trash, rubbish, refuse, garbage or waste materials in, on, or about any part of the land; (P) That it shall not subject any fixtures, furnishings or equipment in or on Tenant's Premises which are affixed to the realty of any mortgages, liens, conditional sales agreements, security interests or encumbrances. (Q) To permit no damage or destruction of Landlord's premises or personal property, reasonable wear and tear excepted. • 5 10. REPAIRS AND ALTERATIONS: (A) Landlord shall provide the following repairs within a reasonable time from the date of possession: Repairs by Landlord. Landlord shall keep the foundations, roof, and structural portions of the outer walls of the Premises in good repair, except for repairs required thereto by reason of the acts of Tenant, Tenant's employees, agents, invitees, licensees, or contractors. Tenant shall give Landlord written notice of the necessity for repairs coming to the attention of Tenant following which Landlord shall have a reasonable time to undertake and complete such repairs. The provisions of this section shall not apply in the case of damage or destruction by fire or other casualty or by Eminent Domain, in which events the obligations of Landlord shall be controlled by preceding Sections hereof. Landlord shall keep the HVAC unit in good working condition. It is expressly understood that Landlord shall not be responsible for any structural or exterior portions of the Premises not originally constructed by the Landlord nor any structural or exterior portions of the abutting buildings. (B) Repairs by Tenant. Except as provided in Subsection 10 (A) Tenant shall keep the Premises and every part thereof and any fixtures, facilities or equipment contained therein, in good condition and repair. (C) Removal of Improvements. All items of Landlord's construction, all heating and air conditioning equipment, and all alterations, additions and other improvements by Tenant shall become the property of Landlord and shall not be removed from the Premises. All trade fixtures, furniture, furnishings, and signs installed in the premises by Tenant and paid for by Tenant shall remain the property of Tenant and may be removed upon the expiration of the term of this Lease; provided (i) that any of such items as are affixed to the Premises and require severance may be removed only if Tenant repairs any damage caused by such removal and (ii) that Tenant shall have fully performed all of the covenants and agreements to be performed by Tenant under the provisions of this Lease. If Tenant fails to remove such items from the Premises prior to the expiration or earlier termination of this Lease, all such trade fixtures, furniture, furnishings, and signs shall become the property of the Landlord unless Landlord elects to require their removal, in which case Tenant shall promptly remove same and restore the Premises to its prior condition. In the event Tenant fails to remove all such trade fixtures, furniture, furnishings, and signs within ten (10) days after the Landlord elects to require their removal, Landlord shall have the right to remove same and sell such trade fixtures, furniture, furnishings, and signs to pay for the cost of removal. • C Tenant further agrees that all personal property of every kind or description which may at any time be in the premises shall be at the Tenant's sole risk, or at the risk of those claiming under the Tenant. Landlord shall not be responsible or liable to Tenant for any loss or damage that may be occasioned by the acts or omissions of persons occupying any space adjacent to or adjoining Tenant's premises, or any part thereof. Landlord shall not be responsible or liable to Tenant for any loss or damage resulting to Tenant or its property from roof leaks, water, gas, steam, fire, or the bursting, stoppage, or leaking of sewer pipes, or from the heating or plumbing fixtures, or from electric wires, or from gas or odors, or caused in any manner whatsoever. 11. INDEMNITY AND INSURANCE: (A) Indemnification by Tenant. Tenant will indemnify and hold Landlord harmless from and against all loss, cost, expense, and liability whatsoever (including Landlord's cost of defending against the foregoing, such cost to include attorneys' fees) resulting or occurring by reason of the Tenant's construction, use or occupancy of the Premises. (B) Public Liability Insurance. Tenant agrees to carry public liability insurance covering the Premises and Tenant's use thereof, together with contractual liability • endorsements covering Tenant's obligations set forth in Subsection ll(A), in companies and in a form satisfactory to Landlord, with minimums of Five Hundred Thousand Dollars ($500,000) on account of bodily injuries to or death of one person, One Million Dollars ($1,000,000) on account of bodily injuries to or death of more than one person as a result of any occurrence and Fifty Thousand Dollars ($50,000) coverage for property damage, and to deposit said policy or policies (or certificates thereof) with Landlord prior to the date of any use or occupancy of the Premises by Tenant; said policy or policies shall name Landlord and Tenant as insureds and shall bear endorsements to the effect the insurer agrees to notify Landlord not less than thirty (30) days in advance of any modification or cancellation thereof. (C) Landlord's liability. Landlord shall not be liable (1) for any damage to Tenant's property located in the Premises, regardless of the cause of such damage, (ii) for any acts or omissions of other tenants of the building, nor (iii) for any condition of the Premises whatsoever unless Landlord is responsible for the repair thereof, and has failed to make such repair after notice from Tenant of the need therefore, and expiration of a reasonable time for the making of such repair. (D) Fire and Extended Coverage Insurance. Landlord • agrees to carry policies insuring the improvements of the building against fire and such other perils as are normally 7 covered by extended coverage endorsements in the county where the • Premises are located, in an amount equal to at least eighty (80) percent of the insurable value of such improvements, together with insurance against such other risks (including loss of rent) and in such amounts as Landlord deems appropriate. Tenant agrees to notify Landlord in writing on the date of completion regarding the cost of any improvements installed in the Premises during the term of this Lease other than trade fixtures, inventory, furniture, furnishings, signs or personal property of the Tenant. Tenant's failure to advise Landlord regarding the value of said improvements as provided herein shall constitute a waiver of Tenant's right to be reimbursed for said improvements in the event of destruction of the Premises. Tenant agrees that the total cost of the foregoing insurance shall be included in the Common Area charge as provided for in Subsection 6(B) of this Lease and that Tenant shall pay its proportionate share of the foregoing insurance per said Subsection; provided, however, that Tenant shall have no rights in said policy or policies maintained by Landlord and shall not, by reason of such reimbursement, be entitled to be a named insured thereunder. In the event any of the Landlord's policies insures Premises or risks other than the building or the rents therefrom, the statement of the insurer shall be conclusive as to the portion of the total premium attributable to the building. Tenant agrees to carry insurance against fire and such other risks as are, from time to time, included in standard extended coverage endorsements, insuring Tenant's stock -in- trade, trade fixtures, furniture, furnishings, special equipment, floor and wall coverings, and all other items of personal property of Tenant located on or within the Premises, such coverage to be in an amount equal to at least eighty (80) percent of replacement cost thereof. Prior to possession Tenant shall furnish Landlord with a certificate evidencing such coverage. 12. DAMAGE AND DESTRUCTION. In the event the Premises are damaged by any peril covered by standard policies of fire and extended coverage insurance to an extent which is less than twenty -five (25) percent of the cost of replacement of the Premises, the damage shall, except as hereinafter provided, promptly be repaired by Landlord, at Landlord's expense but, that in no event shall Landlord by required to repair or replace Tenant's stock -in- trade, trade fixtures, furniture, furnishings, equipment or personal property. In the event (a) the Premises are damaged to the extent of twenty -five (25) percent or more of the cost of replacement of the Premises, (b) the buildings are damaged to the extent of fifty (50) percent or more of the cost of replacement, notwithstanding the extent of damages to the Premises, or (c) any damage to the Premises occurs during the last five (5) years of the term of this Lease, Landlord may elect either to repair or rebuild the Premises or the buildings, as the case may be or to • terminate this Lease upon giving notice of such election in 8 • writing to Tenant within ninety (90) days after the event causing the damage. If the casualty, repairing, or rebuilding shall render the Premises untenantable, in whole or in part, a proportionate abatement of the Minimum Rent shall be allowed until the date Landlord completes the repairs or rebuilding. If Landlord is required or elects to repair the Premises, Tenant shall repair or replace its stock -in- trade, trade fixtures, furniture, furnishings, equipment, and personal property in a manner and to at least a condition equal to that prior to its damage or destruction and the proceeds of all insurance carried by tenant shall be held in trust by Tenant for the purpose of such repair and replacement. 13. ASSIGNING AND SUBLETTING: Tenant shall not sublet the Premises or any part thereof nor assign this Lease, without in each case the prior written consent of Landlord. Any merger, consolidation or liquidation of Tenant or any other transfer of this Lease by operation of law shall constitute an assignment of this Lease. Tenant shall not permit any business to be operated in or from the Premises by any concessionaire or licensee without the prior written consent of Landlord. In the event that Tenant shall seek Landlord's consent, Tenant shall provide to Landlord the name, address and financial statement together with such other information as Landlord requires concerning the proposed • assignee, sublessee, concessionaire, or licensee. It shall be a condition to any consent by Landlord that Tenant shall reimburse Landlord for any and all cost and expense, including, but not limited to, reasonable attorneys fees for the review and preparation of documents, which may be incurred by Landlord in connection with any of the foregoing. Any consent by Landlord to any assignment or subletting, or to the operation by a concessionaire or licensee, shall not constitute a waiver of the necessity for such consent to any subsequent assignment or subletting or operation by a concessionaire or licensee. No consent by Landlord shall operate to relieve Tenant from primary liability for the performance of Tenant's obligations under this Lease. Any consent by Landlord shall not be unreasonably withheld. 14. EMINENT DOMAIN: In the event the building or any part thereof shall be taken or condemned either permanently or temporarily for any public or quasi - public use or purpose by any authority in appropriate proceedings or by any right of eminent domain, the entire compensation award thereof, including, but not limited to, all damages as compensation for diminution in value of the leasehold, reversion and fee, shall belong to the Landlord, without any deduction therefrom for any present or future estate of Tenant, and Tenant hereby assigns to Landlord all its right, • title, and interest to any such award. However, Tenant shall have the right to recover from the condemning authority, but not 9 from the Landlord, such compensation as may be separately awarded . to Tenant on account of interruption of Tenant's business and for moving and relocation expenses. In the event of taking under the power of eminent domain of (i) more than twenty -five (25) percent of the Premises or (ii) a sufficient portion of the building so that after such taking less than fifty (50) percent of the floor area in the front portion of the building located on Landlords property are occupied by Tenants, either Landlord or Tenant shall have the right to terminate this Lease by notice in writing given within ninety (90) days after the condemning authority takes possession, in which event all rents and other charges shall be prorated as of the date of such termination. 15. DEFAULT BY TENANT: If Tenant defaults in the payment of Minimum Rent or other charges or in the performance of any other of Tenant's obligations hereunder, and fails to remedy such default within ten (10) days after written notice from Landlord (unless the default relates to matters other than the payment of money and cannot be remedied within ten (10) days and Tenant commences to remedy such default within (10) days after written notice from Landlord and thereafter diligently pursues correction thereof in which event the time to remedy such default shall be extended to the time reasonably required therefore), or if a receiver of any . property of Tenant on the Premises is appointed or Tenant's interest in the Premises is levied upon by legal process or Tenant be adjudged bankrupt and Tenant fails within thirty (30) days to cause the vacation of such appointment, levy or adjudication, or if Tenant files a voluntary petition in bankruptcy, disposes of all or substantially all of its assets in bulk, or makes an assignment for the benefit of its creditors, then and in any such instance, without further notice to Tenant, Landlord may enter upon the premises and terminate this Lease. In the event of such termination, the obligations of Landlord hereunder shall cease without prejudice, subject however, to the right of Landlord to recover from Tenant any sums due Landlord for rent or otherwise including reasonable attorneys' fees, to the date of such entry, and also liquidated damages equal to any deficiency between the then rental value of the Premises for the unexpired portion of the term and the rent provided for that portion of the term, discounted at four (4) percent per annum to present net worth. In addition, Landlord may enter upon the Premises without terminating his Lease and may relet them in its own name for the account of Tenant for the remainder of the term at the highest rent then obtainable and immediately recover from Tenant any deficiency for the balance of the term between the amount for which the Premises were relet, less expense of reletting and the rent provided hereunder. If Landlord submeters electric current, gas, or water to the Premises, then if at any • time Tenant fails to pay rent or other charges for the same 10 . within ten (19) days after they are due, Landlord may, at it option, in addition to the foregoing remedies and without further notice to tenant, cease furnishing such electric current, gas or water. No failure of Landlord to enforce its right or remedies upon default of Tenant shall prejudice or effect the rights of Landlord upon any subsequent or similar default. • • If Tenant at any time shall fail to pay any taxes, assessments, or liens, to make any payment or perform an act required by this Lease to be made or performed by it, Landlord, without waiving or releasing Tenant from any obligation or default under this Lease, may (but shall be under no obligation to) at any time thereafter make such payments or perform such act for the account and at the expense of Tenant. All sums so paid by Landlord and all costs and expenses so incurred including reasonable attorneys' fees, shall accrue interest at the rate of eight (8) percent (or the highest rate of interest allowable by law, whichever is the lesser) from the date of payment or incurring thereof by Landlord and shall constitute additional rent payable by Tenant under this Lease and shall be paid by Tenant to Landlord upon demand. All other sums payable by Tenant to Landlord under this Lease, if not paid when due, shall accrue interest at the rate of fifteen (15) percent (or the highest rate of interest allowable by law, whichever is the lesser) from their due date until paid, said interest to be so much additional rent under this Lease and shall be paid to Landlord by Tenant upon demand. All rights and remedies of Landlord herein enumerated shall be cumulative, and none shall exclude any other remedies allowed at law or in equity. 16. NOTICES: Any notice or consent required to be given by or on behalf of either party to the other shall be deemed given when mailed by registered or certified mail, return receipt requested, addressed to the Landlord at the address hereinabove specified, and to the Tenant at the address hereinabove specified, or the Premises, or at such other address as may be specified, from time to time by notice in the manner herein set forth. 17. MORTGAGE SUBORDINATION: (A) Upon written request or notice by Landlord, concurred in by any mortgagee or trustee of the building or by any person, firm or corporation intending to become such a mortgagee or trustee, Tenant agrees to subordinate its rights under this Lease to the liens of any mortgages or deeds of trust that may hereafter be placed upon the building and the Premises and to any and all advances to be made thereunder, and to the interest thereon, and all renewals, replacements, and extensions thereof. Tenant also agrees that any mortgagee or trustee may elect to have this Lease prior to the lien of its mortgage or 11 deed of trust, and upon notification by such mortgagee or trustee • to Tenant to that effect, this Lease shall be deemed prior in lien to the said mortgage or deed of trust, whether this Lease is dated prior to or subsequent to the date of said mortgage or trust deed. Tenant agrees that, upon the request of Landlord, any mortgagees, or any trustees named in such mortgages or trust deeds, it shall execute and deliver whatever instruments (including but not limited to a Memorandum of Lease and /or a Non - Disturbance and Attornment Agreement in recordable form) which may be required for such purposes and to carry out the intent of this section. 18. QUIET ENJOYMENT: Landlord hereby covenants and agrees that if Tenant shall perform all the covenants and agreements herein stipulated to be performed on Tenant's part, Tenant shall at all times during the continuance hereof have the peaceable and quiet enjoyment and possession of the premises without any hindrance from Landlord or any person or persons lawfully claiming the Premises. 19. MISCELLANEOUS PROVISIONS: (A) Accord and Satisfaction. No payment by Tenant or receipt by Landlord of a lessor amount than the rental herein stipulated shall be deemed to be other than on account of the earliest stipulated rent nor shall any endorsement or statement • on any check or any letter accompanying any check or payment as rent be deemed in accord and satisfaction, and Landlord may accept such check or payment without prejudice to Landlord's right to recover the balance of such rent or pursue any other remedy provided for in this Lease or available at law or in equity. (B) Waiver. No waiver of any condition or legal right or remedy shall be implied by the failure of Landlord to declare a forfeiture, or for any condition or covenant shall be valid unless it be in writing signed by Landlord. No waiver by Landlord with respect to one or more tenants or occupants of the building shall constitute a waiver in favor of any other tenant, nor shall the waiver of a breach of any condition be claimed or pleaded to excuse a future breach of the same condition or covenant. (C) Broker's Commission. Tenant warrants that, except for any amounts payable by Landlord to its agent, there are no claims for broker's commissions or finder's fees in connection with its execution of this Lease and agrees to indemnify and save Landlord harmless from any liability that may arise from such claims, including reasonable attorneys' fees. (D) Lease Inures to the Benefit of Assignees. This • Lease and all of the covenants, provisions, and conditions herein 12 • contained shall inure to the benefit of and be binding upon the heirs, personal representatives, successors and assigns respectively, of the parties hereto, provided, however, that no assignment by, from, through, or under however, Tenant in violation of the provisions hereof shall vest in the assigns any right, title, or interest whatever. (E) Entire Agreement. This Lease and the exhibits attached hereto set forth all the covenants, promises, agreements, conditions, and understandings between Landlord and Tenant concerning the Premises and that there are no covenants, promises, agreements, conditions or understandings, either oral or written, between them other than are herein set forth. Except as herein otherwise provided, no subsequent alteration, amendment, change or addition to this Lease shall be binding upon Landlord or Tenant unless reduced to writing and signed by them. (F) Surrender and Holding Over. Tenant shall deliver up and surrender to Landlord possession of the premises upon the expiration of the Lease, or its termination in any way, in as good condition and repair as the same shall be at the commencement of said term (damage by fire and other perils covered by standard fire and extended coverage insurance and ordinary wear and decay only excepted). Should Tenant remain in possession of the Premises after any termination of this Lease, • no tenancy or interest in Premises shall result therefrom but such holding over shall be an unlawful detainer and all such parties shall be subject to immediate eviction and removal, and Tenant shall upon demand pay to Landlord, as liquidated damages, a sum equal to double the Minimum Rent as specified herein for any period during which Tenant shall hold the premises after the stipulated term of this Lease may have terminated. • (G) Additional Rent. Any amounts to be paid by Tenant to Landlord pursuant to the provisions of this Lease, whether such payments are to be periodic and recurring or not, shall be deemed to be "Additional Rent" and otherwise subject to all provisions of this Lease and of law as to the default in the payment of rent. (H) Severability. In the event that any provision or section of this Lease in rendered invalid by the decision of any court or by the enactment of any law, ordinance or regulation, such provision of this Lease shall be deemed to have never been included therein and the balance of this Lease shall continue in effect in accordance with its terms. 13 WHEREFORE, we have hereto set our hands this • day of 1989. Landlord: Thomas B. Dolder Tenant: CITY OF HUTCHINSON BY: Its: • 14 • 0 0 Ims 17 Exat, L, 4— 4, kT............... .......... Ims E%BIBIT B PERSONAL PROPERTY • • • 1 LEASE AGREEMENT THIS LEASE, entered into in Hutchinson, MN, as of this day of July, 1989, by and between Thomas B. Dolder, Hutchinson, Minnesota ( "Landlord "), and the City of Hutchinson, Hutchinson, Minnesota ( "Tenant "). 1. PREMISES: Landlord hereby leases to Tenant the premises (the "Premises ") described as follows: Space within the building located in Block One Rolling Oaks First Addition, Lots Four, Five, Six, and the West Forty - five feet of Lot Seven in the City of Hutchinson, having an approximate total square footage of 3,000 square feet as measured from the exterior face of any exterior walls into the center line of common walls, as outlined in red on the site plan, attached hereto as Exhibit A and made a part hereof for the purposes of more specifically locating the premises from Landlord's property. Also to include personal property in Exhibit B. Landlord reserves the right to place, maintain, repair, and replace utility lights, pipes, tunneling, and the like, in, • under, over, upon, or through the premises as maybe reasonably necessary or advisable for the servicing of the premises or other portions of the building. 2. TERM: (A) To have and to hold the premises unto Tenant commencing on Aug. 1, 1989, and expiring on December 31, 1989 unless sooner terminated as provided herein. 3. RENT: Tenant agrees to pay the Landlord, at his home or other places Landlord may from time to time designate as rent for the premises during the term of this Lease, without any deduction of set -off, monthly installments commencing Aug- 1, 1989 in the amount of $2,000 per month in addition to Tenants portion of utilities and taxes as set forth herein. 4. TAXES: Tenant agrees to pay as and for its portion of real estate taxes the sum of $200 per month during the term of this Lease. Payment shall be due on the first (1st) of each month commencing on Aug. 1, 1989. 5. CONSTRUCTION: Tenant shall not undertake any construction, nor shall Tenant install any equipment other than trade fixtures and Personal property, without first obtaining Landlords written approval of plans and specifications therefore. Tenant shall not • commence any work until Tenant delivers to Landlord a policy or policies of public liability and property damage insurance naming Landlord as an insured, and limits and with companies acceptable to Landlord, in a completion bond covering the Tenants work naming Landlord as a beneficiary and otherwise in a form issued by Surety Company acceptable to the Landlord. 6. COMMON AREAS: Landlord grants to Tenant and Tenant's customers and invitees the right to use, in common with all others to whom Landlord has or may hereafter grants rights to use the same, the Common Areas located within the building and on the land of Landlord. The term "Common Areas" as used in this Lease, shall mean the parking areas, roadways, pedestrian sidewalks, loading docks, delivery areas, landscaped areas, service court, fire corridors, public restrooms, and all other areas or improvements which may be provided by Landlord for the common use of the Tenants of the building. Landlord hereby reserves the following rights with respect to the Common Areas: (1) To establish reasonable rules and regulations for the use thereof; (2) To use or permit the use by others to whom Landlord may have granted such rights for promotional • activities; (3) To change the layout of such Common Areas, including the right to reasonably add to or subtract from the shape and size, whether by the addition of building improvements or otherwise; (4) Landlord shall operate, manage, equip, light, repair and maintain said Common Areas for their intended purposes in such manner as Landlord shall in its sole discretion from time to time determine, and may from time to time change the size, location, elevation, nature and /or use of any Common Areas. Tenant shall pay to Landlord as a Common Area Charge the following share of all costs and expenses of every kind and nature paid or incurred by Landlord in operating, maintaining, and repairing the Common Areas: (i) Tenant shall pay fifty percent (508) of all maintenance, repair, and supply costs and expenses for the public restrooms. (ii) Tenant shall pay twenty -five percent (258) of all costs and expenses in maintaining the parkinglot and • 2 • other Common Areas. Such costs and expenses shall include, but not be limited to, costs of management, cleaning, lighting, reasonable reserves, repairing, maintaining, and replacing all Common Area improvements; snow removal, parkinglot scraping, painting, landscaping, provided security, providing public liability, property damage, fire and extended coverage and such other insurance as Landlord deems appropriate for the Common Areas; personal property taxes, supplies, fire protection and fire hydrant charges, licenses and permanent fees. (iii) Tenants Common Area Charge will be paid in monthly installments on the first day of each month in an amount to be estimated by Landlord. Within ninety (90) days following the end of the period used by the Landlord in estimating Landlord's cost, Landlord shall furnish to Tenant a statement of the actual amount of Tenant's proportionate share of such Common Area Charges for such period. Within fifteen (15) days thereafter, Tenant, shall pay to Landlord or Landlord shall remit to Tenant, as the case may be, the difference between the estimated amounts paid by Tenant and the actual amount of Tenant's Common Area • Charge for such period as shown by such statement. 7. UTILITIES: (A) Heat and Electric Charges. Commencing with the date on which Landlord delivers the Premises to Tenant, Tenant shall pay for all heating, electric current and all utilities required for the proper operation of Tenant's business, together with all levied or other charges on -such utilities and governmental charges based on utility consumption. (B) Water and Sewer Charges. Commencing also on the date on which Landlord delivers the premises to Tenant, Tenant shall pay all water rents, all charges resulting from any sprinkler system and sewer charges charged against the Premises. If separate charges cannot be made or portioned between Tenant and the adjoining occupant of the front portion of the building, Tenant shall pay one -half (1/2) of said charges. Said charges shall be paid within thirty (30) days of demand by Landlord. In no event shall Landlord by liable for the quality, quantity, failure, or interruption of such services to the Premises. (C) Commencing also on the date on which Landlord delivers the Premises to Tenant, Tenant shall pay one -half (1/2) of the total charges for sanitation removal for the property on which the Premises is located. Said charges will be paid by Tenant within thirty (30) days of demand by the Landlord. • 8. USE OF PREMISES BY TENANT: Tenant shall use the Premises only as and for the purpose of conducting a youth center. 9. TENANT'S COVENANTS WITH RESPECT TO OCCUPANCY: Tenant agrees: (A) To occupy the Premises in a safe and careful manner and in compliance with all laws, ordinances, rules, regulations and orders of any governmental bodies having jurisdiction over the Premises, and without committing or permitting waste; (B) To neither do nor suffer anything to be done or kept in or about the premises which contravenes Landlord's policies or increases the premiums therefore; (C) To permit no reproduction of sound which is audible outside the Premises nor permit odors to be unreasonably dispelled from the Premises; (D) To place no sign on the exterior of the Premises or on the interior surface of any windows of the Premises without also obtaining Landlord's prior written consent, which will not be unreasonably withheld, and to maintain in good repair and promptly remove and repair any damage caused by any such permitted signs. Tenant agrees to maintain its signs in a good state of repair and to save the Landlord.harmless from any loss, cost, or damage as a result of the same and shall repair any damage which may have been caused by the erection, existence, maintenance or removal of such signs. (E) To place no merchandise, sign or other thing of any kind in the vestibule or entry of the Premises or on the sidewalks or other Common Areas adjacent thereto or elsewhere on the exterior of the Premises; (F) To park Tenant's vehicles and to require all employees to park only in such places as may be designated from time to time by Landlord for the use of Tenant and its employees, and specifically not to permit parking by any of them in any service court area (Landlord reserves the right to impose fines against Tenant for any violation of these parking restrictions by Tenant and /or Tenant's employees; Landlord further reserves the right to have towed, at Tenant's cost and expense, any automobile parked in violation of this clause); (G) To keep any refuse in proper containers in the interior of the premises until the same is removed and to permit no refuse to accumulate around the exterior of the Premises; 4 0 • • (H) To neither load nor unload or permit the loading or unloading of merchandise, equipment or other property from any doors of the premises that open onto the front sidewalk areas, nor from any of the doors except from the rear of the Premises and to use its best efforts to prevent the parking or standing of vehicles and equipment upon the land except when actually engaged in loading or unloading; (1) To conduct no auction, fire or going- out -of- business sale without the prior written consent of Landlord; (J) To permit Landlord free access to the Premises at all reasonable times for the purpose of examining the same or making alterations or repairs to the premises that Landlord may deem necessary for the safety or preservation thereof; (K) To adequately heat and cool the Premises; (L) To permit no lien, notice of intention to file lien or other charges (whether arising out of work on any contractor, mechanic, laborer or materialman or any mortgage, conditional sale, security agreement or chattel mortgage or otherwise) which might be or become a lien or encumbrance or charge upon the Premises or any part thereof or the income therefrom, and to suffer no other matter or thing whereby the • estate, right and interest of the Landlord in the Premises or any part thereof might be impaired; (M) To solicit no business in the Common Areas, nor distribute handbills or'other advertising matter to customers, nor place the same in or on automobiles in the Common Areas; (N) To comply with all reasonable rules and regulations which Landlord may from time to time establish for the use and care of the Premises, the Common Areas, and other facilities and buildings on the land; (0) Handle and dispose of all rubbish, garbage, and waste in accordance with regulations established by Landlord and not permit the accumulation (unless in sealed metal containers) or burning of any trash, rubbish, refuse, garbage or waste materials in, on, or about any part of the land; (P) That it shall not subject any fixtures, furnishings or equipment in or on Tenant's Premises which are affixed to the realty of any mortgages, liens, conditional sales agreements, security interests or encumbrances. (4) To permit no damage or destruction of Landlord's premises or personal property, reasonable wear and tear excepted. • 5 10. REPAIRS AND ALTERATIONS: • (A) Landlord shall provide the following repairs within a reasonable time from the date of possession: Repairs by Landlord. Landlord shall keep the foundations, roof, and structural portions of the outer walls of the Premises in good repair, except for repairs required thereto by reason of the acts of Tenant, Tenant's employees, agents, invitees, licensees, or contractors. Tenant shall give Landlord written notice of the necessity for repairs coming to the attention of Tenant following which Landlord shall have a reasonable time to undertake and complete such repairs. The provisions of this section shall not apply in the case of damage or destruction by fire or other casualty or by Eminent Domain, in which events the obligations of Landlord shall be controlled by Preceding Sections hereof. Landlord shall keep the HVAC unit in good working condition. It is expressly understood that Landlord shall not be responsible for any structural or exterior portions of the Premises not originally constructed by the Landlord nor any structural or exterior portions of the abutting buildings. (B) Repairs by Tenant. Except as provided in Subsection 10 (A) Tenant shall keep the Premises and every part thereof and any fixtures, facilities or equipment contained therein, in good condition and repair, including, but not limited • to, exterior and interior portions of all doors, door checks and operations, windows, plate glass, and showcase surrounding the Premises, the heating, air conditioning, electrical, plumbing and sewer systems, the exterior doors, window frames, and all portions of broken and /or cracked plate and window glass which may become necessary during the term of'this Lease, and excepting any repairs to items of Landlord's original construction made necessary by reason of damage due to fire or other casualty covered by standard fire and extended coverage insurance. If Tenant refuses or neglects to commence or complete repairs promptly and adequately, Landlord may, make or complete said repairs and Tenant shall pay the cost thereof to Landlord upon demand, together with the sum of fifteen percent (158) of said costs for overhead and an additional sum equal to ten percent (108) of said amount for profit. (C) Removal of Improvements All items of Landlord`s construction, all heating and air conditioning equipment, and all alterations, additions and other improvements by Tenant shall become the property of Landlord and shall not be removed from the Premises. All trade fixtures, furniture, furnishings, and signs installed in the premises by Tenant and paid for by Tenant shall remain the property of Tenant and may be removed upon the expiration of the term of this Lease; provided (i) that any of 6 • such items as are affixed to the Premises and require severance may be removed only if Tenant repairs any damage caused by such removal and (ii) that Tenant shall have fully performed all of the covenants and agreements to be performed by Tenant under the provisions of this Lease. If Tenant fails to remove such items from the Premises prior to the expiration or earlier termination of this Lease, all such trade fixtures, furniture, furnishings, and signs shall become the property of the Landlord unless Landlord elects to require their removal, in which case Tenant shall promptly remove same and restore the Premises to its prior condition. In the event Tenant fails to remove all such trade fixtures, furniture, furnishings, and signs within ten (10) days after the Landlord elects to require their removal, Landlord shall have the right to remove same and sell such trade fixtures, furniture, furnishings, and signs to pay for the cost of removal. Tenant further agrees that all personal property of every kind or description which may at any time be in the premises shall be at the Tenant's sole risk, or at the risk of those claiming under the Tenant. Landlord shall not be responsible or liable to Tenant for any loss or damage that may be occasioned by the acts or omissions of persons occupying any space adjacent to or adjoining Tenant's premises, or any part thereof. Landlord shall not be responsible or liable to Tenant for any loss or damage resulting to Tenant or its property from • roof leaks, water, gas, steam, fire, or the bursting, stoppage, or leaking of sewer pipes, or from the heating or plumbing fixtures, or from electric wires, or from gas or odors, or caused in any manner whatsoever. 11. INDEMNITY AND INSURANCE: (A) Indemnification by Tenant. Tenant will indemnify and hold Landlord harmless from and against all loss, cost, expense, and liability whatsoever (including Landlord's cost of defending against the foregoing, such cost to include attorneys' fees) resulting or occurring by reason of the Tenant's construction, use or occupancy of the Premises. (B) Public Liability Insurance. Tenant agrees to carry public liability insurance covering the Premises and Tenant's use thereof, together with contractual liability endorsements covering Tenant's obligations set forth in Subsection 11(A), in companies and in a form satisfactory to Landlord, with minimums of Five Hundred Thousand Dollars ($500,000) on account of bodily injuries to or death of one person, One Million Dollars ($1,000,000) on account of bodily injuries to or death of more than one person as a result of any occurrence and Fifty Thousand Dollars ($50,000) coverage for Property damage, and to deposit said policy or policies (or certificates thereof) with Landlord prior to the date of any use • or occupancy of the Premises by Tenant; said policy or policies shall name Landlord and Tenant as insureds and shall bear 7 endorsements to the'effect the insurer agrees to notify Landlord • not less than thirty (30) days in advance of any modification or cancellation thereof. (C) Landlord's liability. Landlord shall not be liable (i) for any damage to Tenant's property located in the Premises, regardless of the cause of such damage, (ii) for any acts or omissions of other tenants of the building, nor (iii) for any condition of the Premises whatsoever unless Landlord is responsible for the repair thereof, and has failed to make such repair after notice from Tenant of the need therefore, and expiration of a reasonable time for the making of such repair. (D) Fire and Extended Coverage Insurance. Landlord agrees to carry policies insuring the improvements of the building against fire and such other perils as are normally covered by extended coverage endorsements in the county where the Premises are located, in an amount equal to at least eighty (80) percent of the insurable value of such improvements, together with insurance against such other risks (including loss of rent) and in such amounts as Landlord deems appropriate. Tenant agrees to notify Landlord in writing on the date of completion regarding the cost of any improvements installed in the Premises during the term of this Lease other than trade fixtures, inventory, furniture, furnishings, signs or personal property of the Tenant. Tenant's failure to advise Landlord regarding the value of said • improvements as provided herein shall constitute a waiver of Tenant's right to be reimbursed for said improvements in the event of destruction of the Premises. Tenant agrees that the total cost of the foregoing insurance shall be included in the Common Area charge as provided for in Subsection 6(B) of this Lease and that Tenant shall pay its proportionate .share of the foregoing insurance per said Subsection; provided, however, that Tenant shall have no rights in said policy or policies maintained by Landlord and shall not, by reason of such reimbursement, be entitled to be a named insured thereunder. In the event any of the Landlord's policies insures Premises or risks other than the building or the rents therefrom, the statement of the insurer shall be conclusive as to the portion of the total premium attributable to the building. Tenant agrees to carry insurance against fire and such other risks as are, from time to time, included in standard extended coverage endorsements, insuring Tenant's stock -in- trade, trade fixtures, furniture, furnishings, special equipment, floor and wall coverings, and all other items of personal property of Tenant located on or within the Premises, such coverage to be in an amount equal to at least eighty (80) percent of replacement cost thereof. Prior to possession Tenant shall furnish Landlord with a certificate evidencing such coverage. 12. DAMAGE AND DESTRUCTION. In the event the Premises are damaged by any peril • 8 covered by standard policies of fire and extended coverage insurance to an extent which is less than twenty -five (25) percent of the cost of replacement of the Premises, the damage shall, except as hereinafter provided, promptly be repaired by Landlord, at Landlord's expense but, that in no event shall Landlord by required to repair or replace Tenant's stock-in- trade, trade fixtures, furniture, furnishings, equipment or personal property. In the event (a) the Premises are damaged to the extent of twenty -five (25) percent or more of the cost of replacement of the Premises, (b) the buildings are damaged to the extent of fifty (50) percent or more of the cost of replacement, notwithstanding the extent of damages to the Premises, or (c) any damage to the Premises occurs during the last five (5) years of the term of this Lease, Landlord may elect either to repair or rebuild the Premises or the buildings, as the case may be or to terminate this Lease upon giving notice of such election in writing to Tenant within ninety (90) days after the event causing the damage. If the casualty, repairing, or rebuilding shall render the Premises untenantable, in whole or in part, a proportionate abatement of the Minimum Rent shall be allowed until the date Landlord completes the repairs or rebuilding. If Landlord is required or elects to repair the Premises, Tenant shall repair or replace its stock -in- trade, trade fixtures, furniture, furnishings, equipment, and personal property in a manner and to at least a condition equal to that prior to its • damage or destruction and the proceeds of all insurance carried by tenant shall be held in trust by Tenant for the purpose of such repair and replacement. 13. ASSIGNING AND SUBLETTING: Tenant shall not sublet the Premises or any part thereof nor assign this Lease, without in each case the prior written consent of Landlord. Any merger, consolidation or liquidation of Tenant or any other transfer of this Lease by operation of law shall constitute an "assignment of this Lease. Tenant shall not permit any business to be operated in or from the Premises by any concessionaire or licensee without the prior written consent of Landlord. In the event that Tenant shall seek Landlord's consent, Tenant shall provide to Landlord the name, address and financial statement together with such other information as Landlord requires concerning the proposed assignee, sublessee, concessionaire, or licensee. It shall be a condition to any consent by Landlord that Tenant shall reimburse Landlord for any and all cost and expense, including, but not limited to, reasonable attorneys fees for.the review and preparation of documents, which may be incurred by Landlord in connection with any of the foregoing. Any consent by Landlord to any assignment or subletting, or to the operation by a concessionaire or licensee, shall not constitute a waiver of the necessity for such consent to any subsequent assignment or • subletting or operation by a concessionaire or licensee. No consent by Landlord shall operate to relieve Tenant from primary E liability for the performance of Tenant's obligations under this Lease. Any consent by Landlord shall not be unreasonably withheld. 14. EMINENT DOMAIN: In the event the building or any part thereof shall be taken or condemned either permanently or temporarily for any public or quasi - public use or purpose by any authority in appropriate proceedings or by any right of eminent domain, the entire compensation award thereof, including, but not limited to, all damages as compensation for diminution in value of the leasehold, reversion and fee, shall belong to the Landlord, without any deduction therefrom for any present or future estate of Tenant, and Tenant hereby assigns to Landlord all its right, title, and interest to any such award. However, Tenant shall have the right to recover from the condemning authority, but not from the Landlord, such compensation as may be separately awarded to Tenant on account of interruption of Tenant's business and for moving and relocation expenses. In the event of taking under the power of eminent domain of (i) more than twenty -five (25) percent of the Premises or (ii) a sufficient portion of the building so that after such taking less than fifty (50) percent of the floor area in the front portion of the building located on Landlords property are • occupied by Tenants, either Landlord or Tenant shall have the right to terminate this Lease by notice in writing given within ninety (90) days after the condemning authority takes possession, in which event all rents and other charges shall be prorated as of the date of such termination. 15. DEFAULT BY TENANT: If Tenant defaults in the payment of Minimum Rent or other charges or in the performance of any other of Tenant's obligations hereunder, and fails to remedy such default within ten (10) days after written notice from Landlord (unless the default relates to matters other than the payment of money and cannot be remedied within ten (10) days and Tenant commences to remedy such default within (10) days after written notice from Landlord and thereafter diligently pursues correction thereof in which event the time to remedy such default shall be extended to the time reasonably required therefore), or if a receiver of any property of Tenant on the Premises is appointed or Tenant's interest in the Premises is levied upon by legal process or Tenant be adjudged bankrupt and Tenant fails within thirty (30) days to cause the vacation of such appointment, levy or adjudication, or if Tenant files a voluntary petition in bankruptcy, disposes of all or substantially all of its assets in bulk, or makes an assignment for the benefit of its creditors, then and in any such instance, without further notice to Tenant, Landlord may enter upon the premises and terminate this Lease. • In the event of such termination, the obligations of Landlord 10 hereunder shall cease without prejudice, however, to the right of Landlord to recover for Tenant any sums due Landlord for rent or otherwise including reasonable attorneys' fees, to the date of such entry, and also liquidated damages equal to any deficiency between the then rental value of the Premises for the unexpired portion of the term and the rent provided for that portion of the term, discounted at four (4) percent per annum to present net worth. In addition, Landlord may enter upon the Premises without terminating his Lease and may relet them in its own name for the account of Tenant for the remainder of the term at the highest rent then obtainable and immediately recover from Tenant any deficiency for the balance of the term between the amount for which the Premises were relet, less expense of reletting and the rent provided hereunder. If Landlord submeters electric current, gas, or water to the Premises, then if at any time Tenant fails to pay rent or other charges for the same within ten (10) days after they are due, Landlord may, at it option, in addition to the foregoing remedies and without further notice to tenant, cease furnishing such electric current, gas or water. No failure of Landlord to enforce its right or remedies upon default of Tenant shall prejudice or effect the rights of Landlord upon any subsequent or similar default. If Tenant at any time shall fail to pay any taxes, assessments, or liens, to make any payment or perform an act • required by this Lease to be made or performed by it, Landlord, without waiving or releasing Tenant from any obligation or default under this Lease, may (but shall be under no obligation to) at any time thereafter make such payments or perform such act for the account and at the expense of Tenant. All sums so paid by Landlord and all costs and expenses so incurred including reasonable attorneys' fees, shall accrue interest at the rate of fifteen (15) percent (or the highest rate of interest allowable by law, whichever is the lesser) from the date of payment or incurring thereof by Landlord and shall constitute additional rent payable by Tenant under this Lease and shall be paid by Tenant to Landlord upon demand. All other sums payable by Tenant to Landlord under this Lease, if not paid when due, shall accrue interest at the rate of fifteen (15) percent (or the highest rate of interest allowable by law, whichever is the lesser) from their due date until paid, said interest to be so much additional rent under this Lease and shall be paid to Landlord by Tenant upon demand. All rights shall be cumulative, allowed at law or in 16. NOTICES: Any notice • behalf of either par mailed by registered and remedies of Landlord herein enumerated and none shall exclude any other remedies equity. or consent required to be given by or on ty to the other shall be deemed given when or certified mail, return receipt requested, 11 addressed to the Landlord at the address hereinabove specified, and to the Tenant at the address hereinabove specified, or the Premises, or at such other address as may be specified, from time to time by notice in the manner herein set forth. 17. MORTGAGE SUBORDINATION: (A) Upon written request or notice by Landlord, concurred in by any mortgagee or trustee of the building or by any person, firm or corporation intending to become such a mortgagee or trustee, Tenant agrees to subordinate its rights under this Lease to the liens of any mortgages or deeds of trust that may hereafter be placed upon the building and the Premises and to any and all advances to be made thereunder, and to the interest thereon, and all renewals, replacements, and extensions thereof. Tenant also agrees that any mortgagee or trustee may elect to have this Lease prior to the lien of its mortgage or deed of trust, and upon notification by such mortgagee or trustee to Tenant to that effect, this Lease shall be deemed prior in lien to the said mortgage or deed of trust, whether this Lease is dated prior to or subsequent to the date of said mortgage or trust deed. Tenant agrees that, upon the request of Landlord, any mortgagees, or any trustees named in such mortgages or trust deeds, it shall execute and deliver whatever instruments (including but not limited to a Memorandum of Lease and /or a Non - Disturbance and Attornment Agreement in recordable form) which may be required for such purposes and to carry out the intent of • this section. 18. QUIET ENJOYMENT: Landlord hereby covenants and agrees that if Tenant shall perform all the covenants and agreements herein stipulated to be performed on Tenant's part, Tenant shall at all times during the continuance hereof have the peaceable and quiet enjoyment and possession of the premises without any hindrance from Landlord or any person or persons lawfully claiming the Premises. 19. MISCELLANEOUS PROVISIONS: (A) Accord and Satisfaction. No payment by Tenant or receipt by Landlord of a lessor amount than the rental herein stipulated shall be deemed to be other than on account of the earliest stipulated rent nor shall any endorsement or statement on any check or any letter accompanying any check or payment as rent be deemed in accord and satisfaction, and Landlord may accept such check or payment without prejudice to Landlord's right to recover the balance of such rent or pursue any other remedy provided for in this Lease or available at law or in equity. (B) Waiver. No waiver of any condition or legal right or remedy shall be implied by the. failure of Landlord to declare a forfeiture, or for any condition or covenant shall be • valid unless it be in writing signed by Landlord. No waiver by 12 Landlord with respect to one or more tenants or occupants of the building shall constitute a waiver in favor of any other tenant, nor shall the waiver of a breach of any condition be claimed or pleaded to excuse a future breach of the same condition or covenant. (C) Broker's Commission. Tenant warrants that, except for any amounts payable by Landlord to its agent, there are no claims for broker's commissions or finder's fees in connection with its execution of this Lease and agrees to indemnify and save Landlord harmless from any liability that may arise from such claims, including reasonable attorneys' fees. (D) Lease Inures to the Benefit of Assignees. This Lease and all of the covenants, provisions, and conditions herein contained shall inure to the benefit of and be binding upon the heirs, personal representatives, successors and assigns respectively, of the parties hereto, provided, however, that no assignment by, from, through, or under however, Tenant in violation of the provisions hereof shall vest in the assigns any right, title, or interest whatever. (E) Entire Agreement. This Lease and the exhibits attached hereto set forth all the covenants, promises, agreements, conditions, and understandings between Landlord and • Tenant concerning the Premises and that there are no covenants, promises, agreements, conditions or understandings, either oral or written, between them other than are herein set forth. Except as herein otherwise provided, no subsequent alteration, amendment, change or addition to this Lease shall be binding upon Landlord or Tenant unless reduced to writing and signed by them. (F) Surrender and Holding Over. Tenant shall deliver up and surrender to Landlord possession of tbe..premises upon the expiration of the Lease, or its termination in any way, in as good condition and repair as the same shall be at the commencement of said term (damage by fire and other perils covered by standard fire and extended coverage insurance and ordinary wear and decay only excepted). Should Tenant remain in possession of the Premises after any termination of this Lease, no tenancy or interest in Premises shall result therefrom but such holding over shall be an unlawful detainer and all such parties shall be subject to immediate eviction and removal, and Tenant shall upon demand pay to Landlord, as liquidated damages, a sum equal to double the Minimum Rent as specified herein for any period during which Tenant shall hold the premises after the stipulated term of this Lease may have terminated. (G) to Landlord p • such payments Additional Rent. Any amounts to be paid by Tenant ursuant to the provisions of this Lease, whether are to be periodic and recurring or not, shall be 13: deemed to be "Additional Rent" and otherwise subject to all provisions of this Lease and of law as to the default in the payment of rent. (H) Severability. In the event that any provision or section of this Lease in rendered invalid by the decision of any court or by the enactment of any law, ordinance or regulation, such provision of this Lease shall be deemed to have never been included therein and the balance of this Lease shall continue in effect in accordance with its terms. WHEREFORE, we have hereto set our hands this day of , 1989. Landlord: Thomas B. Dolder Tenant: CITY OF HUTCHINSON BY: s: E 14 • • f q:w 7--Z EZBIBIT B PERSONAL PROPERTY • • July 5, 1989 r (612) 587.5151 CITY OF HUTCHINSON 37 WASHINGTON AVENUE WEST HUTCHINSON, MINN 55350 M E M O R A N D U M TO: Mayor and City Council's FROM: Director of Engineering RE: Gate in Alley, West of Adams Street Since the installation of the above- referenced gate, I have received no negative comments from the public, area residents or staff. I have talked with some staff members with only positive comments. • It is my opinion that the gate be left in position on a long term permanant basis. w4ror ox ? P-4L0 Marlow V. Priebe City Engineer MVP/bjl • r(6 )2) 587.5151 ITY OF HUTCHINSON 37 WASHINGTON AVENUE WEST is HUTCHINSON, MINN. 55350 M E M O R A N D U M DATE: July 7, 1989 TO: -Mayor & Cou- ncil - - - - - - - - - - - - - - - - - - - - - - - - FROM: —Doug Meier and Larry Barg_ - - - - - - - - - - - - - - - - SUBJECT: - Recommendation Re_ Review of Gate In Alley West of Adams Street - - - - - - - - - - - - - - - - - - - Since the installation of a gate and closing of the alley behind Minne -Mine west of Adams Street, the maintenance department has not received any com- • plaints in regard to the closing of the alley. It is our recommendation that the alley remain closed as is. /ms • IWJ(612) 587 -5151 37 ITY OF HUTCHINSON WASHINGTON AVENUE WEST CHINSON, MINN, 55350 M E M O R A N D U M DATE: .Iuly 7. 1989 TO: — Mayne& CSLMCd7-- --------------- - - - - -- FROM: _$4CSh_ngrLke, Fire — Chief — — — — — — — — — — — — — — — — — — SUBJECT: — Gate In Alley West of —Adams Street — — _ — _ _ — _ — — _ _ The Fire Marshal and I have discussed this issue,.and I believe that • a trial period of 90 days with the gate open should be tried. I still believe that possible emergency service of any type would be restricted by continuing to close off this alley. /ms Li July 6, 1989 IF (612) 587 -5151 CITY OF HUTCHINSON 37 WASHINGTON AVENUE WEST HUTCHINSON, MINN. 55350 M E M O R A N D U M TO: Gary Plotz, City Administrator ✓ FROM: George F. Field, Fire Marshal RE: Alley from 5th Ave. So. between Adams Street and Jefferson Now that the 60 day trial period has been completed for closing the alley, I believe the traffic pattern developed by anyone using that area will continue as they have for the past 60 days. If I could suggest a trial period of 90 days with the gate open, and if it wasn't suggested earlier, a sign at the north entrance to the alley "Local Traffic Only ". I still maintain that possible emergency service of any type would be restricted by the continued closure of this alley. George F. Field Fire Marshal GFF /bjl Cc: Orlen Henke, Fire Chief C1 RESOLUTION NO. 9034 CITY OF HUTCHINSON RESOLUTION FOR PURCHASE The Hutchinson City Council authorizes the purchase of the following: ITEM COST PURPOSE DEPT. BUDGET VENDOR Diamond Aggregate AML I $3,952 Ball Field Maintenance Park Yes Bryan Rock The following items were authorized due to an emergency need: ITEM COST PURPOSE DEPT. BUDGET VENDOR Aviation Gas $8,935.:0 Resale Airport Yes Jayco Date Approved: July 11, 1989 Wotion made by: Seconded by: Resolution submitted for Council action by: 7 q, 6 E • RESOLUTION NO. 9035 RESOLUTION ACCEPTING $112,500 FROM THE HUTCHINSON UTILITIES COMMISSION BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF HUTCHINSON: THAT a $112,500.00 transfer from the Hutchinson Utilities Commission to the City of Hutchinson's General Fund and Capital Projects Fund is hereby accepted. Adopted by the City Council this 11th day of July, 1989. ATTEST: Gary D. Plotz City Administrator Paul L. Ackland Mayor .l� 0 RESOLUTION NO. 9037 RESOLUTION FOR RELEASE AND SUBSTITUTION OF PLEDGED SECURITIES FROM FIRST STATE FEDERAL SAVINGS & LOAN ASSOCIATION HUTCHINSON, MINNESOTA WHEREAS, First State Federal Savings & Loan Association , a duly designated depository of the City, has requested the release of the following securities: NUMBER DESCRIPTION DUE AMOUNT 880923001 U.S. Treasury Strips 5 -15 -17 $5,000,000.00 which have heretofore been pledged as collateral security for the account of the City with such depository are hereby substituted for: NUMBER DESCRIPTION DUE AMOUNT • 870610016 FHLMC 288142 3 -01 -17 $888,864.97 BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF HUTCHINSON, MINNESOTA: THAT the City Treasurer is hereby authorized to release and return to said depository the securities requested and accept said pledged security being held at Federal Home Loan Bank of Des Moines, Iowa. Adopted by the City Council this 11th day of July, 1989. Paul L. Ackland Mayor ATTEST: Gary D. Plotz • City Administrator 7- �. (612) 587 -5151 HUTCH CITY OF HUTCHINSON • 37 WASHINGTON AVENUE WEST HUTCHINSON, MINN. 55350 M E M O R A N D U M TO: - Mayer- &- CQuacil- - - - - - - - -- - - - - - - - - - - - - FROM: -Mari 4-n Sxanssn, Admza- ,5?-ctetary - - - - - - - - - - - - - SUBJECT: — Establishigg City Fges AnA Charges ELc. — — — — — — — _ — The newly adopted Ordinance Book does not include license fees, utility rates and charges, permit fees, parking regulations, etc. Therefore, they must be established (and changed /amended) by Resolution. • The City Attorney is preparing the basic Resolution for adoption, and it is left up to City staff /employees to prepare the fees and charges schedule. Hopefully, it will also be ready by Tuesday! • 0 RESOLUTION CONTINUING THE EFFECT OF PARKING AND TRAFFIC REGULATIONS Resolution No. 9039 WHEREAS, the City of Hutchinson recodified its ordinances and regulations into a new city code on July 1, 1989; AND WHEREAS, certain traffic and parking regulations must be adopted by resolution of the City Council; AND WHEREAS, it is the intent of the Hutchinson City Council to continue the parking and traffic regulations that have previously been established by ordinance; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF HUTCHINSON, MINNESOTA. 1. That the Hutchinson City Council hereby declares that all parking and traffic regulations previously established by ordinance are carried forth from the 1974 codification to the July 1, 1989, recodification of the ordinance and regulations of the City of Hutchinson into what is known as the Hutchinson City Code. • 2. Any conflict between previous ordinance construction and current city code will be controlled by the language as exists in the City Code Revision of July 1, 1989. Adopted by the City Council this 11th day of July, 1989. City Administrator • Mayor �r (612) 587.5151 CITY OF HUTCHINSON 37 WASHINGTON AVENUE WEST HUTCHlNSO%', MINN. 55350 MEMO JULY 6. 1989 TO: MAYOR & CITY COUNCIL ----------------------------------------------------------- - - - - -- FROM: KEN MERRILL, FINANCE DIRECTOR ----------------------------------------------------------- - - - - -- SUBJECT: MCLAUGHLIN BUILDING DEMOLITION COST ----------------------------------------------------------------- I have attached the documents we have accumulated on the special assessment of the McLaughlin property. Again to review we took cff the special assessment for demolition of the building and carried the amount on our assessment records internally. The amount of the $1,544.44 is showing on our records. • In talking to the county auditors they have a total amount of delinquent taxes /specials and penalties of 33,696.73. Their office did not have on hand but additional interest monies would have been due on this amount. A rate of 8% per year would have to be added. According to county records the delinquency began in 1977. If you have any other questions with regard to this matter please give me or Barry a call. C.C. G. Barry Anderson • DAVID B. ARNOLD CHARLES R. CARMICHAEL GARY D. M<DOW£LL STEVEN A. ANDERSON G. BARRY ANDERSON STEVEN S. HOGE IACRA N. PRETLAND DAVID A. BRUEGOEMANN JOSEPH M. PAIEMENT JAMES UTLEY JULIA A. CHRISTIANS RICHARD G. McGEE ARNOLD & MGDOWELL FOR YOUR INFORMATION. ATTORNEYS AT LAW 5881 GEDAR LANE ROAD or MtH(SIL • MINNEAPOLIS, MINNESOTA 55418 -1402 I\ LLIAM W. CAMERON I (612) 545 -8000 Q�/ PAUL D. DOVE M\ TOLL FREE 800- 343-4545 CABLE MCLAN' MINNEAPOLIS TEL£COPIER (H12( L ^ May 9, 1989 )J Gary Plotz City Hall City of Hutchinson Hutchinson, MN 55350 yr, Re: City of Hutchinson ' McLaughlin Property Matter Our File No. 3188 -87 -0001 Dear Gary: (� 501 SOUTH FOURTH STREET PRINCETON. MINNESOTA 55371 4A (012)388.2214 N TELECOPIER(612) 389 -5508 1 ICI PARR PLACE HUTCHINSON, MINNESOTA 55350 (012)587 -7575 T£LECOPIER (812) 587 -9099 30 31-12\ fit � MAY98�9{� D 1 LL Enclosed please find an April 13, 1989 letter from McLeod County Attorney, Michael Junge, to my office in regard to the McLaughlin property matter. Also enclosed please find copies of Minnesota Statutes cited by Mr. Junge in his letter. Mr. Junge's letter is self - explanatory, however, I add the following observations: Minnesota Statute §282.02, Subdivision 3, sets forth the procedure for a municipality to certify the costs of an improvement to a parcel of land to the county for collection of those funds. Of special interest under the McLaughlin facts is the statutory language that "[No] sale of a parcel of land shall discharge or free the parcel of land from lien for the special benefit conferred upon it by reason of the public improvement until the cost of it, including penalties, if any, is paid." This language clearly reveals that the City's assessment survives the sale of the McLaughlin property to Hutchinson Housing and Redevelopment Authority. Minnesota Statute §282.01 permits the reinstatement of special assessments, therefore, permitting the City to impose upon Hutchinson, HRA the cost of the unpaid special assessment. The necessary conclusion is that the County's conduct with regard to the sale of the McL�,;ghlin property was appropriate. It is the City's option now to either reassess and place the financial responsibility upon the HRA or do nothing, therefore, assuming the • cost themselves. Gary Plotz • May 8, 1989 Page two Additionally, I have compiled the following figures tracing the proceeds from the sale of the McLaughlin property. According to the county auditors office, Hutchinson HRA purchased the property for $5,356.00. The following is a breakdown of the county's distribution of those proceeds: (1) $256.00 assurance fee to the State of Minnesota (2) $1,000.00 to the county for expenses (3) $4,200.00 to - (a) 408 to county (b) 408 to Hutchinson schools (c) 208 to the City of Hutchinson The 208 distribution to the City of Hutchinson noted in 3(c) totalled $818.15 and was sent to the City on February 7, 1986. The proceeds were distributed under the above scheme pursuant tc Minnesota Statute $282.08, Subdivision 3(c). (A copy of the Statute is attached for your convenience). • In a number of telephone conversations, Mike Junge indicated that the County, prior to selling the McLaughlin property, discussed the matter with Hutchinson city officials. From those discussions, the County acted under the assumption that the City would reinstate the assessments against the property after the sale. The agreement between the City and County did not necessarily comply with the strict statutory requirements of $282.08, however, the practical result of the agreement excepted the parties from the statutory requirements. If I can be of any further assistance in regard to this matter, please do not hesitate to contact me. Very truly yours, ARNOL c WEL G. Barry Anderson GBA /sem Enclosure cc: Michael Junge • RCM \3188 \01- LTR.04 DAVID B. ARNOLD CHARLES R. CARMICHAEL GARY D. IICDOWELL STEVEN A. ANDERSON O -BARRY ANDERSON STEVEN S. HOGE LAURA R. FRETLAND DAVID A. BRUEGGEMANN JOSEPH M. PAIENENT JAMES UTLEY JULIA A. CHRISTIANS RICHARD G. MCGEE April 6, 1989 ARNOLD & McDOWELL ATTORNEYS AT LAW 5881 CEDAR LAKE ROAD MINNEAPOLIS. MINNESOTA 55418 -1402 (812)545 -9000 MN TOLL FREE 800.343 -4545 CABLE MCI -AW MINNEAPOLIS City of Hutchinson Attention: Mr. Gary Plotz 37 Washington Avenue West Hutchinson, MN 55350 TELECOPIER (612)545 -1190 Re: McLaughlin Property Matter Dear Gary: Or COUNSEL WILLIAM M. CAMERON PALL D. DOVE 501 SOUTH FOURTH STREET PRINCETON, MINNESOTA 55011 (612( 089. 2214 TELECOPIER(812) 388 -5506 101 PARR PLACE HUTCHINSON. MINNESOTA 55050 (612) 581 -7575 TELECOPIFR(612) 587 -4096 V * ✓''�� kC? :969 ` T;tii�JED tn 14 � I write to you regarding the outstanding debt of $1,544.44 due and owing on the John W. McLaughlin property located at 136 Huron, Hutchinson. From discussions with the McLeod County Auditor and his staff, I learned that the Hutchinson HRA purchased the property for $5,200.00 plus a $156.00 assurance fee to the State of Minnesota. Approximately $1,000 went to the County for expenses, leaving approximately $4,200 for distribution. Approximately $4,200 was distributed to several entities including 408 to the County, 408 to the Hutchinson School Board and the remaining 208 to the City of Hutchinson pursuant to Minnesota Statutes 8282.08 Subdivision 3(c). A copy of the Statute is enclosed for your convenience. The County purportedly sent a check in the amount of $818.15 to the City of Hutchinson on February 7, 1986. A review of the statutory language cited by the County seems to permit the method of distribution followed by the County. However, Subdivisions 1 and 2 of Minnesota Statutes 8282.08 may raise some question with regard to that distribution scheme. At this point, I am waiting for the County Attorney to render an opinion as to what happened in this matter. Until then, any course of action will be premature. • • L t-al City of Hutchinson April 6, 1989 Page 2 0 I will keep you advised as to the progress made in the resolution of this matter. Should you want to discuss this matter, please do not hesitate to contact me. Very truly yours, ARNOLD & McDOWELL G. Barry Anderson GBA� AGM. \3188 \01- LTH.02 • • §282.08 TAX - FORFEITED LAND SALES 281.08. Apportionment of proceeds The net proceeds from the sale or rental of any parcel of forfeited land, cr from the sale of any products therefrom, shall be apportioned by the county auditor to the using districts interested therein, a, follows: (1) Such portion u may be required to pay any amounts included in the optimised value under section 282.01, subdivision 3, as representing increased value due to any public improvement made after forfeiture of such parcel to the state, but not exceeding the amount certified by the clerk of the municipality, shell be apportioned to the municipal subdivision entitled thereto; (2) Such portion of the remainder as may be required to discharge any special assessment chargeable against such parcel for drainage or other purpose whether due or deferred at the time of forfeiture, shall be apportioned to the municipal subdivision entitled thereto; and (3) Any balance shall be apportioned as follows: (a) Any county board may annually by resolution set aside no more than 30 percent of the receipts remaining to be used for limber development on tax - forfeited land and dedicated memorial forest&, to be expended under the supervision of the county board. It shall be expended only on projects approved by the commissioner of nslunl resources. (b) Any county board may annually by evolution ,el aside no more than 20 percent of the receipts remaining to be used for the acquisition and maintenance of county parks or reematiomd areas as defined is aeclions 398.31 to 398.36, to be expended under the supervision of the county board. (c) If the board don not avail itself of the authority under paragraph (a) or (b) any balantt remaining shall be apportioned as follows•. county, 40 percent; own or city, 20 pemenC and school distrirL 40 percent, and if the board avails itself of the authority under paragraph (a) or (b) the balance remaining shall be apportioned among the county, own or city, and school district in the proportions in this paragraph above stated, provided, however, that in unorganised territory that portion which should have accrued to the township shall be administered by the county hosed of commissioners. Amended by Iowa 1969, e. 9, F 73, eff. Feb. 12, 196., law$ 1969, a 1129, sri. 10, / 2 Lacs 1971-C 775, it 1, eff. June 6, 1971; law$ 1976, a 123, art 5, 1 1; laws 1982, e. 629, alt 3% 1 1. eff. March 25, 1982; ta.a 1987, a 384. art 1. 1 lag. 1171 Amendment Deleted this provisions In clause (t) of paragraph (4) allotting the suite 10 percent of remaining balan , and increased the allotment as the county from 30 0 40 Percent 1983 Amendment Detailed clause (3) and m numbered the following clause aeordintly clause (3) formerly read: 'Such portion of the nmdndar a may have been therewfoel k.ied an the panel of land far any bond issue of the school district town, city or county. wherein the p.ml of land in ahuated 282.09. Forfeited sag ale fund shag be apportioned to the municipal subdh+ ,ions In the proportions of their respective inter rat; and" 1967 laglshelos Uses 1987. e. 384 was a Revhor's bit tomeb ing enenepas, ambiguous, omitted and oboakte references and tsxt Law Reelew Cemmeatorlea 19614 Mad medwraatlon In Ilea of taxatinn! 1969. M Miss. Law R.vkv 179. Subdivision 1. Money, placed In fond. The county auditor and county lgeasuror shall place all moneys received through the operation of ,sections 282.01 to 282.13 in a fund to be known as the forfeited tax Dole fund and all disbursements and cats shall be charged against that fund, when allowed by the county board. Members of the county bard may be paid a per diem pursuant to section 375.065, subdivision 1, and reimbuned for their necessary expenses, and may receive mllnge as now or hereafter fixed by law. Compensation of a land commissioner and assistants, if a land commissioner is appointed. shall be in such amount as shell be determined by the county board. The county auditor shall receive 60 cents for each eertiflrats of Dole, each contract for deed and each leas, executed by the auditor• and in counties when no land commissioner in appointed such 02 • TAX - FORFEITED LAND SALES § 282.09 Mote 5 additional annual compensation, not exceeding $300, as shall be fixed by the county board. Compensation of any other clerical help that may be needed be the county auditor or land commayo ner shall he in such amount as shall he determined by the county board. All compensation provided for herein shell be in addition to other compensation allowed b5• law. I," so charged in addition to the fee imposed in section 2p2.014 shall he included in the annual settlement by the county auditor as hereinafter provided. On or before February 1 in each year. the commissioner of revenue shall certify to the commissioner of finance, by count". the total number of state deeds issued and reissued during the preceding calendar year for which such fees are charged and the total amount thereof. When dusbursemtmu are made from the fund for repairs, refundments, expenses of actions to quiet title, or any other purpose which particularly affects specific parcels of forfeited land,, the amount of such disbursements shall be charged to the account of the using districts interested in such parcels. The county auditor shall make an annual settlement of the net proceeds received from sales and rentals by the operation of ,sellers 282.01 to 282.13. N the regular March settlement, for the preceding calendar Year. (.See main rolume for tent of subd. yJ Amended by lair, 1969, e. 1148.6 39; tar. 1973, e. 493, 1 14; [Ave, 1975, e. Set 1 5; Lawa 1975, C. Yd, 1 4,, I .a.. 14F2, a 523, art. 19, 1 s, eff. Jan. 1, 1983; law, 198. c, 114. 1949 Imendment. Laws 1969, e. 1118, genre. dh m.i.rd fns Is,d to the suit upward throur Local euote. The .mendmem of thin .re. tom .. a part of that general revision. La %v 1969, r. 1140, 1 67 provided in par that ...h s ctnm is m effect an the claw the fee imposed sac," due and Peyalde after final enactment 16"', rner. y9•mr.l June 9, 19691. ..rcpt m .rndmvuts of 168.45, 10 54. solid. 4, and the n•rh•ratnms rode which wen efknite Neer July 2. I:,4% IYS Amendment Reserve the second Ben. fence s1,r11 prior Iho"to, cod: "Conionsalion of rerml.n of the rounly bond shall be at the nu wf 110 per day and mileage as now or brreaf ,r hard Ly law with the aggregate coin. m leau,,n of any member of a county board for urn wrs rcnderrd hereunder not o averted the rum of 1:1011 in am' one c..r," Iona 1975, e. 301, 1 17, provides In part 'Thu .et as effectne the day following find enartmrm ' Ifovemor's wpprovd June Any amounts in the nature of per diem, pay. able to members of the board of county runmat- samen pursuant to laws amended, repealed, ar supenlded by this art may edmnew a be paid .nett the board of only commissioner stab linhes entepeaalgn for its members in accord. wart %1111 ,Ilion 315055, subdivision 1 are until January 1, 1917, whichever ateon first" 11p Amendment. Deleted tit, s,vemh sen- uewv from salad 1 which cad: "Out at the gross proceed. in this fund then &lull Ise pad u the cote, in addition to any distribution of net proceeds therefrom, a fee of 93 for each and every state deed hereafter in. sued w elatsaed by the eommink i of menu, Pers ... I ts the auk of any u, forfeited lands. Fen ao charged shall he included In the annual • settlement by the county author u hereinafter provided" Added "in addition to the fee impoed in sec - lion 202014' in the fallo.mg .entree,. 1989 Amendment. lava 1960. a 444. 1 1. elevated gender specific referenc,. applicable to human beings throughout Minn. Sulu, by adopt ing by reference protmed amendments for such revu m prepared by the m,.r of statute. pair- .,ant o lie. 190, e, 4M. 1 21, and ceru6ed and filed with the s"tary of ants on Jan. 24. 1986. Section 3 of law. 1986, c. 444. provides that the amendments "do not change the sub sulnn of the .astute amended .'• Rot., of nerldons 1. Conrteartlon and application The state deed, fee as mere.,ed by the 1969 amendment of that section u payable at the Increased rate for ail deeds issued during 1969 rather than for deeds usued after the effective date because the fee does not become due and payable until the Commissioner retufres the number of deeds issued during the preeeding year and this earufitatkas occurs by February of the follovine year with respect to dl deed. issued during the precedtng year and tberefore the b,crea.ed rasa applies to all deeds rerorwd at that Ums, that Is o all deed, issued during 1969. Op.Alty.Gen., 196 -s, Sept. 12, 1969. Thin section don not autborise only board to use tax -forfeited Umber devebpreenl funds for construction of public settss and recreational developments an ri.vrs and lakes on us forfero ed kids. Op.Arty.Gen., I078 -9, Aug. 26, 1965. 4 Maintenance and lan aw,rsmt County Board mid not use fund. In Forfeited Tax Sale Fund a maintain and improve own 83 0 JW37 (612) 587 -5151 CITY OF HUTCHINSON WASHINGTON AVENUE WEST TCHINSON, MINN. 55350 MEMO MARCH 24, 1989 TO: MAYOR & CITY COUNCIL ------------------------------------------- ---------------- - - - - -- FROM: KEN MERRILL, FINANCE DIRECTOR ----------------------------------------------------------- - - - - -- SUBJECT:McLAUGHLIN PROPERTY INFORMATION UPDATE ----------------------------------------------------------- - - - - -- Ed Ide, McLeod County Auditor, has provided the following information regarding tax forfeited land. When the land goes tax forfeit, all back taxes are cancelled. A minimum bid is • established, hopefully low enough, to bring a bid. This minimum is based upon the County Assessor's estimate. • At the time a letter is sent to the city asking if assessments will be reinstated and the amounts and are announced at the time of the auction. We said the assessments would be reinstated. All monies collected from the sale are distributed by the County Auditor, after expenses are deducted, and distributed base upon CURRENT TAX LEVIES. All monies are distributed this way and may not be used to payoff assessments. This according to Ed Ide is per Mr. State Statue. Again in our case the building demolition cost has been carried on our books. It was not recertified to the county. It was our thinking the collection would occur when the property was sold. We cannot however find any documentation to substantial this procedure. I have enclosed the previous memos from the last council meeting and have visited with Barry Anderson about this matter. (612) 587.5151 CITY OF HUTCHINSON 37 WASHINGTON AVENUE WEST HUTCHINSON, MINN. 55350 MEMO MARCH 8, 1989 TO: MAYOR & CITY COUNCIL ----------------------------------------------- FROM: KEN MERRILL, FINANCE DIRECTOR ---------------------------------------------- SUBJECT: DEMOLITION COST ON MCLAUGHLIN BUILDING Several years ago the city demolished the building on Lot 5 Block 18 South 112 city know as the John W. McLaughlin Property - 136 Huron. At the time of demolition we certified the amount to taxes for collection. The property went tax forfeit and was sold at auction and purchased by the Hutchinson HRA. At the time of the sale we stated, which has been confirmed by the County Auditor, the assessment would be reinstated on the property when it was sold. We placed the amount on our records believing the payment would occur at the time the property was sold by the HRA. This property was sold and now the matter of the $1,544.55 according to our record would be due and payable. The HRA does not believe the amount should be paid. They did not have an assessment search until the property was sold and the $1,544.44 shows on this search. The question being asked if the City Council would forgive the $1,544.44 or is the amount due and payable apparently by the HRA. We can find no action taken on this by the city counci l in the recorded minutes. • • 11 (612) 587 -5151 JWJHUTCHINSON, ITY OF HUTCHINSON WASHINGTON AVENUE WEST MINN. 55350 June 29, 1989 M E M O R A N D U M TO: Mayor and City Council FROM: Jim Marka, Building Official 91}1 RE: Consideration to Re- establish Building Permits and Fees for Reshingling and Residing 1 and 2 Family Dwellings As you know, building permits for reshingling and residing on 1 and 2 Family Dwellings was eliminated because it was the concensus that a fee should not be charged on maintenance type work. • If the City Council so desires, I would propose the building permits again be required for reshingling and residing with the fixed fees of $10 and $20, plus the $.50 state surcharge. JM /bj1 cc: Gary Plotz, City Administrator Ken Merrill, Finance Director Don Johaneson, Building Inspector a, (612) 587 -5151 f/HTIH CITY OF HUTCHINSON • 37 WASHINGTONA VENUE WEST �� HUTCHINSON, MINN 55350 M E M O R A N D U M DATE: July 7, 1989 T0: —Mayor — & — Council — —----- — — — — — — — — — — — — — — — — — — — — FROM: — M7z1�ycLS�aasQns AdmiaiztLa1imeCacrerPry— — _ — — — — — — SUBJECT: _$etaina$e Paadyc -LiD-n —fQr_Rabert_ L. Carr Comwan y — — — — _ — Correspondence regarding this item will be received from George MacDonald, • Donohue & Associates, for the Tuesday Council meeting. cc: Randy DeVries, WWTP Dir. • 0 • L� hIG INC CAS AFCHITLCTS SC I ENT IS TS 2./2,d July 10, 1089 City of Hutchinson 37 T:ashington Avenue Test Hutchinson. M` 55350 Attn: Mr. Car,; Plotz Clty Administrator Re: City of Hutchinson Wastewater Treezmer.•z Facility Donohue Project too. 41880 R.L. Carr Co. Progress Payment -26 Dear Mr. Plotz: After reviewing the project status is recommended that the retainage reduced fro-+ $1.0,000_.00 to $5,000 Company providing 1/ a final. Mechanical: 2) additional lawn areas, and 3) painters to complete with Mr. Randy DeVries, it en R.L. Carr's contract be .00 conditioned on R.L. Carr loin waiver from Harris teed to the WWTF for bare painting items. If you have any questions, please contact me. Very truly yours, DONOHUE & ASSOCIATES, INC. Geor.Fe MacDonald, P.E. Project Engineer C S /sjw T / L /OCO cc: Doug Tholo Mi }'E. '- Light ICGc: Kin Christenser. ;R.L. Carr; • 9?uOHeminckLela. }br;h Suite 100 Marla Grove, Minrasore £i ?69 6124151181 Tele%ar 611.415.141-1 ET6T Sat' NW '3AO215 37dUW 3nHUNOII_80 :VT 68. OT -Ur- (612) 587.5151 Hvrcy' CITY OF HUTCHINSON 37 WASHINGTON AVENUE WEST HL!TCHINSON, MINK 55350 June 29, 1989 M E M O R A N D U M TO: Mayor and City Council n FROM: Jim Marks, Building Official L.kA, u RE: Tartan Park Sewer Connection It is my understanding that Tartan Park's concession stand is not connected to the city sanitary sewer line. • If this is the case, I am requesting your consideration to authorize connection to the city sanitary main. JM /bjl cc: Dolf Moon, Recreation and Park Director Gary Plotz, City Administrator Ken Merrill, Finance Director Marlow V. Priebe, City Engineer Randy DeVries, Director W /WWTP Operations 11 (612) 587.5151 JWJHUTCHINSON, ITY OF HUTCHINSON WASHINGTON AVENUE WEST MINN. 55350 M E M 0 DATE: July 6th, 1989 TO: Mayor and City Council L,� FROM: City Engineer RE: Sewer Hook -up Concession Stand Tartan Park Attached is the 1988 Cost Estimate for the above - referenced hook -up at Tartan Park, that I verified is still valid. The street repair should be completed by the Street Department, as it would be cost effective for the City. 40 MVP /pv attachment • w P ' e-A Marlow V. Priebe City Engineer LISTING CHART JUUL CONTRACTING CO. Fee L l/L d,,tt. '/iltt Park v4 6w sin%. S/44 • IL4 S0.Ov %✓ /30 A.t @ /' -S 229, so & oe / 4 r- @ 8 4p. 00 GYG W Co.,- Cleo, m, L !6� //Cap //�� C20"Pon /fp do0 ?rinc /30 to / SG.00 6. ✓G e t dots e/ 41 z 41 ,Pd vS Ze /ata.s C/ A.bvt�- //rr�J i1 aV P Q.ILC% Critin POLICE DEPARTMENT MEMORANDUM TO: Gary Plotz, City Administrator FROM: Steven Madson, Chief of Police6-y- DATE: July 3,1989 R£: Purchase of New Radar Equipment Attached hereto please find a copy of an advertisement from Kustom Electronics Incorporated of Lanexa, Kansas. I direct your attention to the back page of the flier which has the Pro -1000 radar unit pictured. This particular radar unit apparently has a special that is the introductory price of which would be extremely beneficial to take advantage. The introductory special on this particular unitis such that if we purchase one we get one unit free or we receive two units for the cost of $1,790.00 or $895.00 each. The Police Department has researched this particular type of unit and believes that this unit would fit our needs very well. I would like to point out that the Police Department has not purchased a new radar unit since 1984 and our oldest radar unit currently in operation is at least 12 years old. In an attempt to improve traffic enforcement in the community the Police Department is attempting to utilize more vehicles and absent sufficient radar units in the vehicles it is impossible to detect speed violations. I would also like to point out that these particular units will be part of our capital expenditures request for the 1990 budget. If purchased now, the need for 1990 capital outlay for radars would be eliminated. I believe that sufficient monies could be Pound within the department budget for 1989 if this expenditure were approved. As I mentioned previously. I believe that $1,790.00 could be saved by taking advantage of the special introductory offer. I would request that approval be given for the purchase of these radar units. If you have any questions or concerns regarding this memorandum please do not hesitate me at your earliest convenience. 89 -02 -0003 E • • KUSTOM'S C SAFETY RADAR UNIT! BUY 1, GET I FREE! Several months ago, Kustom introduced the first qualit} X -Band radar unit to the market. Due to overwhelming response, we are pleased to announce a 2 for I special for the KR -10SP X -Band. Throu,h Juh 5 Kustom Electronics is offer- ing Traffic Safety Professionals the opportunity to purchase one KR -IOSP X -Band and receive a second KR-IOSP X -Band radar unit ABSOLUTELY FREER KR -10SP X -BAND Single Antenna List Price ............ $1770 Introductory Special .... $1770 for 2 X -Band units Call your DISTRICT MANAGER today for more information on dual antennas, other radar units or our Lease /Purchase Plans at 800 - 255 -6311. KUSTOM ELECTRONICS NEW Features include: ■ Moving/Stationary Modes KR -10SP X -BAND RADAR UNIT • Automatic internal crystal error test • Automatic light dimmer • Target acquisition from RF Hold in a frac- tion of a second ■ Weather resistant antenna ■ Single or dual antenna available Please allow approximately 30 -60 days for delivery. i IV KR -10SP X -BAND Kustom's tradition and dedication to manufacturing high quality and reliable products is continued with the KR -10SP X -Band radar unit. Also, as part of Kustom's product support policy, authorized maintenance centers are located nationwide. KRAOSP is also available in K -Band! (Call your District Manager for pricing) • • • HURRY! OFFER ENDS JULY 319 1989 • Other Kustom Radar Units . . . • H.A.W.K. H.A.W.K. K -BAND The H.A.W.K. is the only moving radar system that gives you complete coverage of vehicles in same and op- posite lanes and in front of and behind the patrol vehicle. H.A.W.K. features include: • Electronic stopwatch for clocking traffic. • Hand -held remote control for easy operation. • Exclusive jammer detection when the unit is in the hold mode. • Doppler audio with volume control. • Optional dual antenna. The H.A.W.K. and other Kustom radar units are available without lock capability to meet the requirements of those agencies requiring non - locking systems. ._- - - -__— - - -___ CUTHERE C- li , - ■ Iz] � Z O V Qn 2 n Q V R C 0 _ ❑ ❑ ❑ N � = C � ti] yy'N v1N C � EZ a na 4 Z a o °���g�� = = < x m Y ° F v k Z 3 — o r E x¢ a z R w� E n b u x x a x a� a F A z V p o ¢ aai y F c _ ❑ ❑ ❑ ❑ li , Unmatched performance ... ■ Operator can select the range for which the radar will begin displaying the speeds of target vehicles. • Hold lets the operator turn off the transmitter. allowing the radar to be undetectable. • Operates on K -Band frequency. Only unit of its kind ... • Third window displays the locked target vehi- cle speed, allowing the user to simultaneously lock and track vehicle speeds. • Compact unit fits in both full size and com- pact size cars. It measures 2.5 inches by 8 inches by 5 inches, and weighs only 2.25 pounds. • Two -piece design DOES NOT require remote electronics components box under the seat or in the trunk. ■ Operates on K -Band frequency. LHich ;;r '�LIi.E HUT ;41NSON rQLI-�E DEP ART PENT + f'RANRLI`i STREET SOUTi HUTLHIN.�O,vr +ty. A. 553JO -Cie L Falcon PRO -1000 ® KUSTOM ELECTR EIKTRONKS INC. 8320 NIEMAN ROAD LENEXA, KANSAS 66214 -1510 PLACE STAMP HERE 9- • • j POLICE `E Y jAiY'. DEPARTMENT MEMORANDUM T0: Gary Plotz, City Administrat FROM: Steve Madson, Chief of Polic DATE: July 3,1989 RE: Bicycle Option Receipts -------------------------------------- ----- ----- ------ ---- - - - - -- In early June, the Police Department conducted its annual auction of bicycles which were found, abandoned, or confiscated because of the items being unclaimed stolen property. The net proceeds from the auction amounted to $1,187.00. These funds are unallocated funds which were not budgeted in the 1989 budget for the community. Since these funds were unallocated I would like to request that certain items of equipment for the Police Reserves as well as two items for the police building be allowed to be purchased with monies derived from the bicycle auction. I would like to point out that the Police Reserves spent a significant amount of time in cleaning the bicycles, repairing the bicycles and assisting at the bicycle auction. The items of equipment for the Police Reserves include: 4 reversible rain coats @ $65.00 = $260,00 3 Streamlight SL20 flashlights and chargers @ $95.00 = $285.00 8 basket weave flashlight holders @ $25.00 = $200.00 Total $750 00 Additionally, the Police Department would request that approximately 22 square yards of carpet be purchased for the purpose of covering the floor in the new conference area in the basement. Approximately 22 yards is necessary to complete the project and it is anticipated that the carpet would cost approximately $250.00. The last item would be a 6 foot marker board for the new conference room area with an approximate cost of $125.00. The aggregate expenditure would amount to $1,170.00 if approved. I would request that consideration be given for this expenditure. If you have any questions or concerns regarding this memorandum please. do not hesitate to contact me at your earliest convenience. 0 89 -02 -0002 9 -'�e • (612) 587 -5151 ff ITY OF H UTCHINSON WASHINGTON AVENUE WEST CHINSON, MINN. 55350 MEMO JULY 6, 1989 TC: MAYOR & CITY COUNCIL ---------------------------- - - - - -- FROM: KEN MERRILL, FINANCE DIRECTOR ---------------------------- ----------------------- - - - - -- SUBJECT: SALE OF 1989 IMPROVEMENT BONDS A resolution calling for the sale of the 1989 improvement bonds is being drafted for City Council approval. Because all the numbers will not be known until the afternoon of the July 11 bid opening, the exact size of the bond issue is not known. Mr. Bi1j Fahey wi11 be on hand to address any concerns of the Mayor and Council members. 0 CITY OF HUTCHINSON 1989 IMPROVEMENT BONDS PROJ # DESCRIPTION 89-01 SCHOOL RD & S. GRADE 89 -02 WAGNER SUB & LITES 89 -03 DOWNTOWN SPRINKLING 89 -04 SOUTH GRADE ROAD SIDEWALK 89 -05 TEXAS AVE 89 -06 CONNECTICUT ST 89 -07 CAROLINA AVE 89 -08 DARREL /MCDONALD /PARK ISLAND 89 -09 minnie mine 89 -10' PARKING LOT - QUADE 89 -11 PARKING LOT - FRANKLIN 89 -12 KEITH & SUNSET 89 -13 T. H. 7 EAST 89 -14 (UNASSIGNED) 89 -15 BLUFF /WALLER DR. 89 -16 1990'S SIDEWALK STREET LIGHTS 1988/89 TYPE OF LETTING WORK NUMBER 3 1 4 2 2,5 ENGINEERING CONTINGENCY COST OF ISSUANCE CAPITAL INTEREST DISOUNT TOTAL 1 4 1 4 1 4 1 REJECTED BID PRICE 69604 209943 36195 83635 1 PROJECT DELETED 3/14/89 2 4 5 364000 20000 -- 149400- 932777 ROUNDED 933000 112000 47000 SUB TOTAL 1092000 43000 96000 SUBTOTAL 1231000 19000 1= GRADING AGGREGATE BASE, CURB & GUTTER bIT SURFAC. & APPURT. 2= BITUMINOUS SURFACING 3 =WATER MAIN CONSTRUCTION 4= SANITARY, WATER, S.S.,GRADI`iG (NOTE ALL STREET LITES FOR 1989 ARE IN THIS PROPOSAL) 5= STORM SEWER • 1250000 9 -� a5-V CERTIFICATION OF MINUTES RELATING TO $1,52.5 -,000 GENERAL OBLIGATION IMPROVEMENT BONDS OF 1989 Issuer: City of Hutchinson, Minnesota Governing body: City Council Kind, date, time and place of meeting: A regular meeting held on July 11, 1989, at 7:30 o'clock, p.m., at the City Hall in the City of Hutchinson, Minnesota. Members present: Members absent: Documents attached: Minutes of said meeting (pages): 1 through 9 RESOLUTION NO. %03S RESOLUTION RELATING TO $1,s.zz ;000 GENERAL OBLIGATION IMPROVEMENT BONDS OF 1989; is CALLING FOR THE PUBLIC SALE THEREOF I, the undersigned, being the duly qualified and acting recording officer of the public corporation issuing the obligations referred to in the title of this certificate, certify that the documents attached hereto, as described above, have been carefully compared with the original records of the corporation in my legal custody, from which they have been transcribed; that the documents are a correct and complete transcript of the minutes of a meeting of the governing body of the corporation, and correct and complete copies of all resolutions and other actions taken and of all documents approved by the governing body at the meeting, insofar as they relate to the obligations; and that the meeting was duly held by the governing body at the time and place and was attended throughout by the members indicated above, pursuant to call and notice of such meeting given as required by law. WITNESS my hand officially as such recording officer and the seal of the City this day of July, 1989. Gary D. Plotz City Administrator • (SEAL) Member introduced the following resolution • and moved its adoption: RESOLUTION NO. RESOLUTION RELATING TO $1,'545,000 ,000 GENERAL OBLIGATION IMPROVEMENT BONDS OF 1989; CALLING FOR THE PUBLIC SALE THEREOF BE IT RESOLVED by the City Council of the City of Hutchinson, Minnesota (the City), as follows: 1. Authorization and Combination of Improvements. It is hereby determined that it is necessary for the City to issue and sell its General Obliga i Improvement Bonds of 1989 in the principal amount of $1, 000 (the Bonds) to finance the following local improvement projects being undertaken by the City pursuant to Minnesota Statutes, Chapter 429: (the Improvements). $28,000 of the principal amount of the Bonds represents interest as provided in Minnesota Statutes, Section 475.56. Pursuant to Minnesota Statutes, Section 429.021, subdivision 2, • the Improvements are combined for purposes of financing. It is hereby determined that the City Administrator shall receive and open sealed bids for the purchase of the Bonds on August 8, 1989, at 11:00 o'clock A.M., and this Council shall meet at 7:30 o'clock P.M. that same date to award the sale. 2. Sale. The City Administrator is hereby authorized and directed to cause notice of the time, place and purpose of said sale to be published at least ten days in advance of the bid opening in a legal newspaper having general circulation in the City, and in a periodical published in Minneapolis, Minnesota, giving financial news and of general circulation throughout the State, which notice shall be in substantially the following form: • -2- • TICE OF BOND SALE $1,10000 GENERAL OBLIGATION IMPROVEMENT BONDS OF 1989 CITY OF HUTCHINSON, MINNESOTA • NOTICE IS HEREBY GIVEN that the City of Hutchinson, Minnesota, will receive sealed bids for the purchase of $1,525,000 General Obligation Improvement Bonds of 1989, of the City (the Bonds), at the City Hall in Hutchinson, Minnesota, until 11:00 a.m. on Tuesday, August 8, 1988, at which time the bids will be opened and tabulated. The City Council will meet at 7:30 p.m. the same day to consider such bids and award the sale of the Bonds. The Bonds will be issued for the purpose of financing local improvements within the City. The Bonds will be issuable as fully registered bonds of single maturities, in denominations of $5,000 or any integral multiple thereof, will be dated, as originally issued, as of August 1, 1989, and will mature on February 1 in the following years and amounts: Year Amount 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 $175,000 150,000 150,000 150,000 150,000 150,000 150,000 150,000 150,000 150,000 The City will select a bank, financial institution or trust company to act as Bond Registrar, Transfer Agent and Paying Agent. Interest will be payable on each February 1 and August 1, commencing February 1, 1990, to the registered owners of the Bonds appearing of record in the Bond Register as of the 15th day of the immediately preceding month. The rate of interest expressed for a maturity may not exceed the rate specified for Bonds of any subsequent maturity. Bonds having stated maturities in 1996 and later years are each subject to redemption, at the option of the City and in whole or in part, and if in part, in inverse order of maturities, and in $5,000 principal amounts selected by lot within a maturity, on February 1, 1995, and on any interest payment date thereafter equal to the principal amount thereof to be redeemed plus interest accrued to the date of redemption. A legal opinion will be furnished by Dorsey & Whitney, of Minneapolis, Minnesota. Copies of a statement of Terms and Conditions of -3- Sale and additional information may be obtained from the • undersigned or from Ehlers and Associates, Inc., 2950 Norwest Center, 90 South 7th Street, Minneapolis, Minnesota 55402; telephone 612- 339 -8291, financial consultants to the City. Dated: July 11, 1989. BY ORDER OF THE CITY COUNCIL Gary D. Plotz City Administrator City of Hutchinson, Minnesota 1] n LJ -4- • 3. Terms and Conditions of statement of Terms and Conditions of terms and conditions for the sale an such terms and conditions are hereby incorporated in material distributed the Bonds: • • -5- Sale. The following Sale shall constitute the 9 issuance of the Bonds and authorized to be to prospective bidders for TERMS AND CONDITIONS OF SALE • $1,525,000 GENERAL OBLIGATION IMPROVEMENT BONDS OF 1989 CITY OF HUTCHINSON, MINNESOTA Sealed bids for the purchase of $1,525,000 General Obligation Improvement Bonds of 1989 (the Bonds) of the City of Hutchinson, Minnesota (the City) will be received at the office of the City Administrator, until 11:00 a.m., on Tuesday, August 8, 1989, when they will be opened, read and tabulated. The bids will be presented to the City Council for consideration at a meeting to be held at the City Hall at 7:30 P.M. on the same date. This is a statement of the terms and conditions upon which the bids for the Bonds will be received, the sale thereof awarded and the Bonds issued. PURPOSE The Bonds will be issued for the purpose of financing the cost of construction of local improvements within the City, in accordance with the provisions of Minnesota Statutes, Chapters 429 and 475. TYPE, DENOMINATION, MATURITIES AND REDEMPTION The Bonds will bear a date of original issue, as of • August 1, 1989, will be in fully registered form and in denominations of $5,000 or any integral multiple thereof, of single maturities, and will mature on February 1 in the following years and amounts: Year Amount 1991 $175,000 1992 150,000 1993 150,000 1994 150,000 1995 150,000 1996 150,000 1997 150,000 1998 150,000 1999 150,000 2000 150,000 The Bonds maturing on and after February 1, 1996 shall each be subject to redemption and prepayment, at the option of the City and in whole or in part, and if in part, in inverse order of maturities and in $5,000 principal amounts selected by lot n LJ =1' • within a maturity, on February 1, 1995, and on any interest payment date thereafter, at a price equal to the principal amount thereof to be redeemed plus interest accrued to the date of redemption. INTEREST PAYMENT DATES AND RATES Interest will be payable on February 1, 1990 and semiannually thereafter on each February 1 and August 1, to the registered owners of the Bonds appearing of record in the bond register as of the close of business on the 15th day (whether or not a business day) of the immediately preceding month. All Bonds of the same maturity must bear interest from date of original issue until paid at a single, uniform rate, not exceeding the rate specified for Bonds of any subsequent maturity. Each rate must be expressed in an integral multiple of 5 /100 or 1/8 of 1%, not exceeding the rate specified for Bonds of any subsequent maturity. BOND REGISTRAR, TRANSFER AGENT AND PAYING AGENT The City will designate and contract with a bank, financial institution or trust company to act as Bond Registrar, Transfer Agent and Paying Agent (the Registrar). • The Bond Register will be kept, principal and interest will be paid to the registered owner of each Bond and transfers of ownership will be effected by the Registrar. The City will pay the reasonable and customary charges of the Registrar for such services. The City reserves the right to remove the Registrar and appoint a successor. • DELIVERY Within 90 days after the sale, the City will deliver to the Registrar the printed Bonds ready for completion and authentication. The original purchaser of the Bonds must notify the Registrar, at least five business days before delivery of the Bonds, of the persons in whose names the Bonds will be initially registered and the authorized denominations of the Bonds to be originally issued. If notification is not received by that date, the Bonds will be registered in the name of the original purchaser and will be issued in denominations corresponding to the principal maturities of the Bonds. On the day of closing, the City will furnish to the purchaser the opinion of bond counsel hereinafter described, an arbitrage certification and a certificate verifying that no litigation in any manner questioning the validity of the Bonds is then pending or, to the best knowledge of officers of the City, threatened. Payment for the Bonds must be received by the City -7- at its designated depositary on the date of closing in • immediately available funds. LEGAL OPINION An opinion as to the validity of the Bonds and the exemption from taxation of the interest thereon will be furnished by Dorsey & Whitney, of Minneapolis, Minnesota and will be printed on the Bonds. The legal opinion will state that the Bonds are valid and binding general obligations of the City enforceable in accordance with their terms, except to the extent to which enforceability may be limited by state or United States laws relating to bankruptcy, reorganization, moratorium or creditors' rights. QUALIFIED TAX - EXEMPT OBLIGATIONS The Bonds will be designated by the City as "Qualified Tax - Exempt Obligations" within the meaning of Section 265(b)(3) of the Internal Revenue Code of 1986, as amended. TYPE OF BID AND AWARD Sealed bids must be mailed or delivered to the undersigned and must be received prior to the time established above for the opening of bids. Each bid must be unconditional. A good faith deposit in the amount of $30,500 must be submitted with each bid. The good faith deposit must be in the form of a certified or cashiers check or bank draft or a wire transfer of funds to Resource Bank & Trust Company, ABA #09 -19- 0550 -6 for further credit to Ehlers and Associates, Inc. Bond Issue Escrow Account #850- 788 -1, Attention: Nancy Allen. The good faith deposit will be retained by the City as liquidated damages if the bid is accepted and the bidder fails to comply therewith. The good faith deposit will be returned to the purchaser at the closing for the Bonds. The bid authorizing the lowest net interest cost (total interest from date of Bonds to stated maturities less any cash premium or plus any discount) will be deemed the most favorable. No oral bid and no bid of less than $1,497,000 plus accrued interest on all of the Bonds will be considered and the City reserve the right to reject any and all bids and to waive any informality in any bid. CUSIP NUMBERS The City will assume no obligation for the assignment or printing of CUSIP numbers on the Bonds or for the correctness of any numbers printed thereon, but will permit such numbers to be assigned and printed at the expense of the • ME • purchaser, if the purchaser waives any delay in delivery occasioned thereby. • 11 Information for bidders and bidding forms may be obtained from the undersigned or from Ehlers and Associates, Inc., 2950 Norwest Center, 90 South 7th Street, Minneapolis, Minnesota 55402, telephone: 612 - 339 -8291, Financial Consultants to the City. Dated: July 11, 1989. BY ORDER OF THE CITY COUNCIL Gary D. Plotz City Administrator City of Hutchinson, Minnesota am 4. Official Statement. The City Administrator and • other officers of the City, in cooperation with Ehlers and Associates, Inc., financial consultants to the City, are hereby authorized and directed to prepare on behalf of the City an official statement to be distributed to potential purchasers of the Bonds. Such official statement shall contain the statement of Terms and Conditions of Sale set forth in paragraph 3 hereof and such other information as shall be deemed advisable and necessary to describe accurately the City and the security for, and terms and conditions of, the Bonds. Attest: Mayor City Administrator The motion for the adoption of the foregoing resolution was duly seconded by Member and upon vote 0 being taken thereon, the following voted in favor thereof: and the following voted against the same: whereupon said resolution was declared passed and adopted, signed by the Mayor and his signature attested by the City Administrator. -10- 1J /'/ (612) 587 -5151 JIW37 CITY OF HUTCH /NSON . WASHINGTON AVENUE WEST TCHINSON, MINN. 55350 MEMO JULY 6. 1989 T0: MAYOR & CITY COUNCIL FROM: KEN MERRILL, FINANCE DIRECTOR SUBJECT:1990 TAX LEVY & CITY BUDGET I would like to review the dates of the 1990 budget meetings and also consideration of 1990 tax levy. As you are aware Governor Perpich has vetoed the 1989 tax bi l l • creating many possibilities for the 1990 year. A recent legislative update, given by the League of Minnesota Cities, reviewed options including setting the tax levy based upon 1988 law which is currently in effect. If the legislature and governor can agree, a special session may be called and a new law passed which would alter the numbers and time table for 1990 . E Because of this variable the League of Minnesota Cities has said you may want to comply with 1988 law and set a tax levy by August 1st. I will be presenting the options at this meeting and depending on the wishes of the City Council formal action can take place at the next regular meeting July 25, 1989. Attached is a copy of the Department of Revenue from Commissioner John James which the city recently received. 9 -� Proposed Tax Levy to McLeod County CITY OF HUTCHINSON COMPARISON OF TAX LAWS Current Law (1988 Passage) August 1, 1989 Hearing Prior to adption with individual notice showing impact and hearing date. Certified Tax Levy Levy Limites Certified Local Government Aid Certified October 25, 1989 Department of Revenue Revision October 1, 1989 Published notice in paper (specific guide- lines) . November 9, 1989 August 15, 1989 August 15, 1989 0 Vetoed Tax Bill September 15, 1989 County mail generic notice November 10. December 20, 1989 September 1, 1989 September 1, 1989 Requires Certifica- tion of payment to all lobbyists. I County Market Tax Capacity Overall Levy Limit Local Government Aid Special Levies Debt Service Total Certified Tax Rate Tax Base Equalization Aid Disparity Aid * Vetoed Tax Bill CITY OF HUTCHINSON LEVY LIMITS & STATE AIDS $ 228,410,400 6,729,822 2,589,960 1,320,718 1, 269,242 1,008,749 2,277,991 34.41% 133,013 1990 $ 242,022,300 2,667,659 est. 1,410,739 1,259,920 198,116 133,013 0 NEW NET TAX CAPACITY PERCENTAGES UNDER 1988 LAW COMPARED TO VETOED TAX BILL PAYABLE 1990 VETOED PERCENT PROPERTY CLASS 1988 LAW TAX BILL CHANGE RESIDENTIAL HOMESTEAD Under $68,000 1.00 $ 0.95 $ - 5.0 $ $68,000 - 100,000 2.50 1.80 - 28.0 * * ** Over $100,000 3.30 3.00 - 9.1 * * ** Disabled Homestead 0.40 0.40 0 RENTAL PROPERTY Fewer than four units 3.50 2.88 - 17.7 * * ** Four units or more 4.10 3.38 - 17.6 * * ** _ Type I & II, 5+ stories 3.50 3.38 - 3.4 Type II subsidized apts. 2.50 2.50 0 Farmers Home Admin. 1.50 1.50 0 • COMMERCIAL /INDUSTRIAL under $100,000 3.30 3.15 - 4.5 $100,000 - $150,000 5.25 3.15 - 40.0 * ** - over $150,000 5.25 5.05 - 3.8 STATE OF MINNESOTA OEPARTMENT OF REVENUE June 23, 1989 To: Mayors, City Managers and City Clerks of all Minnesota Cities JUN1989 RECEIVED As you know, Governor Perpich has vetoed the omnibus tax bill passed by the 1989 state legislature. The Governor has said that he will call a special session of the legislature in September to consider another tax bill for 1989 if he and legislative leaders agree in advance on provisions to reform Minnesota's property tax system. The veto of the 1989 tax bill and the possibility that a special session of the legislature will pass a new tax bill for 1989 will affect: • state aid amounts for property tax payable in 1990 for all cities; • levy limits for payable 1990 for cities with populations over 2,500; • levy limits for payable 1990 for cities with populations under 2,500 which are receiving aid from taconite production tax revenues; and • actions which cities with populations over 2,500 are required to take in connection with the preparation by counties of truth in taxation notices — also referred to as proposed property tax bills. , In general, the veto of the 1989 tax bill means that unless the legislature in a special session passes and the Governor signs another tax bill, cities will receive state aid amounts and will be subject to levy limits and truth in taxation provisions which were set for payable 1990 by the law now in effect — the tax bill enacted in law in 1988. The attached summary and instructions explain what cities must do in going through the budget- setting process for payable 1990 and in fulfilling their responsibilities in connection with truth in taxation as required by the 1988 tax law. Beyond that, you will notice in the instructions that I have used the authority granted by law to the Commissioner of Revenue to extend deadline dates by which local governments are required to certify proposed and actual property tax levies to the county auditor. While you are required to go through your budget - setting process on the basis of aid amounts and levy limits specified by the 1988 tax law, I think it's highly likely that there 1pwill be a special session of the legislature and that it will pass legislation which will include the same levy limits which were in the vetoed 1989 tax bill. AN EQUAL OPPORTUNITY EMPLOYER ? - G. Mayors, City Managers and City Clerks June 23, 1989 Page 2 As a result, I encourage you to develop budgets for payable 1990 based on two contingencies -- one in which the levy limits in the 1988 tax law apply, and one in which the levy limits in the vetoed 1989 tax bill apply. To provide you with the information to plan for both contingencies, on August 15 the Department will certify each city's property tax levy for payable 1990 based on the 1988 tax law. And, in addition, on September 1 the Department will notify each ,city of its property tax levy for payable 1990 based on levy limits in the vetoed 1989 tax bill -- the same levy limits which I expect to be enacted into law by a special session of the legislature in September. If — as I expect -- the special session enacts the levy limits which were in the vetoed 1989 tax bill, I would also expect the legislature to further extend the deadlines by which local governments are required to certify their proposed and actual property tax levies. This will make it easier for local governments to respond to the new legislation, and will permit them to prepare and mail property tax bills in sufficient time for taxpayers to be prepared to pay their first -half property tax bills on May 15, 1990. Please observe the enclosed instructions. In particular, you will want to be sure to observe the truth in taxation instructions fully in order to avoid being required to limit your property tax levy for payable 1990 to no more than the amount you levied for payable 1989. If you have any questions about what you are required to do, please don't hesitate to call the Department's Local Government Services Divisions at 612- 296 -5138. Sincerely, John James Commissioner • Minnesota Department of Revenue Summary of Property Tax Developments and Instructions to Cities June 23, 1989 !Numbered for reference/ The veto of the 1989 tax bill means that all provisions of the tax law passed by the 1988 state legislature concerning state aid amounts for all cities, levy limits for cities with populations over 2,500, levy limits for cities with populations under 2,500 which are receiving aid from taconite production tax revenues and truth in taxation requirements for cities with populations over 2,500 remain in effect. State aid amounts for all cities 2 On August 15 the Department of Revenue will certify state aid amounts to cities for payable 1990 which were set for payable 1990 by the 1988 tax law. • 3 If the special session changes state aid amounts for payable 1990, the Department of Revenue will certify the new aid amounts for cities as soon as possible after the special session. Levy limits for cities with populations over 2,500 4 The 1988 tax law specifies levy limits for cities for payable 1990. These are the limits which are now in effect. On August 15, the Department of Revenue will certify the dollar amount of property tax which these levy limits permit each city to levy for property taxes payable in 1990. However, because there is a good chance that the legislature -- in a special session - will adopt the lower levy limits which were specified in the vetoed tax bill, by September 1, the Department will also notify each city of the dollar amount of property tax which the lower levy limits specified in the vetoed bill would permit each city to levy for property taxes payable in 1990. This will allow each city to develop an alternate budget for payable 1990 -- based on a levy limit which would result in a reduced amount of property tax. 6 The ? 988 law now in effect permits each city to increase its levy limit base for payable 1990 -- the amount of its levy limit for property taxes payable in 1989 plus the amount of its local government aid for 1989 — by three percent over the • previous year plus whichever is greater: the percentage of increase of the city's population or the percentage of increase in the number of its households. 9 - ,f-, Summary and Instructions to Cities Page 2 0 The vetoed 1989 tax bill would permit each city to increase its levy limit base for payable 1990 by three percent over the previous year plus whichever is greater: one -half of the percent of increase in the city's population or one -half of the percent of increase in the number of its households. 8 If the special session changes levy limits for payable 1990, the Department of Revenue will certify the new levy limits for cities as soon as possible after the special session. If a city used reserve funds in 1989 to reduce the amount of property taxes it levied for payable 1989, the city cannot apply to the Commissioner of Revenue to increase its levy limit for payable 1990. However, if a city used reserve funds in 1988 to reduce the amount of property taxes it levied for payable 1988 and it did not apply to the Commissioner in 1988 to increase its levy limit for payable 1989, the city can now apply to the Commissioner to increase its levy limit for payable 1990. 10 The deadline for cities to certify their proposed property tax levies to the county auditor is changed from August 1, 1989 to October 1, 1989. If a special session of the legislature changes this deadline, the Department of Revenue will notify all cities immediately. • 11 The deadline for cities to certify the final property tax levies to the county auditor is changed from October 25, 1989 to November 9, 1989. If a special session of the legislature changes this deadline, the Department of Revenue will notify all cities immediately. 12 The amount of the final property tax levy which each city certifies to the county auditor on November 9, 1989 cannot be greater than the amount of the proposed property tax levy which the city certified to the county auditor on October 1, 1989. Truth in Taxation requirements for cities with populations over 2,500 13 The 1988 tax law requires counties to prepare and mail Proposed Property Tax Bills to property owners this year. However, because it is impossible for cities to certify their proposed property tax levies to the county auditor until October 1, 1989, counties cannot prepare and mail proposed property tax bills before the budget hearings of cities. As a result, there will be no proposed property tax bills this year. 14 Although counties cannot prepare and mail proposed property tax bills this year, to provide property owners with advance notice of proposed property taxes payable in 1990, each city with a population over 2,500 is required to take the following actions according to the following standards before its 1989 public budget hearings: • a at least five weekdays before each city's public budget hearing, each city must publish an advertisement which includes: i the hour, date and place of the hearing; 0 Summary and Instructions to Cities Page 3 ii the total dollar amount of the proposed property taxes to be levied by the city for payable 1990; iii the percentage of increase or decrease this amount represents over the amount collected for the previous year; iv a statement inviting all citizens to attend and participate in the hearing; b the advertisement must be published in the newspaper of general paid circulation published at least five days a week which is received by the greatest number of people in the city; c if the newspaper of general paid circulation received by the greatest number of people in the city is published less frequently than five days a week, the advertisement must be published in the next most - frequently published newspaper of general paid circulation; d the advertisement cannot be published in a section of the newspaper where legal notices and classified advertisements appear; • e the advertisement must be no less than one - quarter page in size; f the headline of the advertisement must be printed in no smaller than 18 -point type; g if the budget hearing is recessed, the city must place another advertisement in the same newspaper announcing the time and place for the reconvened meeting; and h the announcement of the reconvened meeting must appear at least two days but no more than five days before the reconvened meeting. 15 Cities may schedule their public budget hearings on any day except Sunday. 16 Cities must schedule their public budget hearings after 5:00 p.m. unless the hearing is to be held on a Saturday; 17 When certifying its budget for payable 1990 to the county auditor, each city must mail to the Commissioner of Revenue a copy of the newspaper advertisement announcing its public budget hearing. 18 If the Commissioner of Revenue determines that any city has not substantially complied with the above requirements for holding public budget hearings and • publishing an advertisement of the meeting, the Commissioner will notify the county auditor of the county in which the city is located. The county auditor will then require the city to use a tax rate for payable 1990 which will result in the city collecting the same amount of property taxes it collected for payable 1989. 1989 Property Tax Certification 0 Timetable for Cities July 15 Cities with populations over 2,500 and towns receiving revenues from taconite production taxes certify to the Department of Revenue their payable 1989 levies for the operating costs of regional library services not previously claimed as a special levy for property taxes payable in 1989 August 15 Department of Revenue certifies local government aid amounts to cities and towns which were set for payable 1990 by the 1988 tax law August 15 Department of Revenue will certify the payable 1990 levy limits under the 1988 tax bill to cities with populations over 2,500 and towns receiving revenues from taconite production taxes September 1 Department of Revenue will certify local government aid and levy limits under the vetoed tax bill to cities with populations over 2,500 and towns receiving revenues from taconite production taxes October 1 Cities certify proposed property tax levies to county auditors November 9 Cities certify final property tax levies to county auditors 1] 0 (612) 587 -5151 1vv7-cH' CITY OF HUTCHINSON • 3? WASHING TON AVENUE WEST NUTCHINSON, MINN, 55350 MEMO JULY 6, 1989 TO: MAYOR & CITY COUNCIL ----------------------------------- FROM: KEN MERRILL, FINANCE DIRECTOR SUBJECT: AIRPORT MAINTENANCE RESOLUTION • ----------------------------------------------------------------- The attached resolution and agreement is required to be approved by the City of Hutchinson and State of Minnesota. The agreement reimburses the City of Hutchinson $6,500 for airport maintenance. The agreement is similar to previous agreements which have been in effect for our airport. It would be requested to approve the resolution and agreement • lA�NNE�Tq �O Zp 9 Q F NT OF TRe June 22, 1989 The Honorable Paul L. Ackland Mayor of Hutchinson 626 Bluff Hutchinson, MN 55350 Dear Mayor Ackland: Minnesota Department of Transportation Transportation Building, St. Paul, MN 55155 Subject: State Aid for Airport Maintenance and Operation Enclosed are three 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, 1991. For maintenance and operation during the year, the state will participate on a percentage basis, not to exceed the 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. • 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 three copies of the agreement and three 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, n Raymond J Roug t Director, Office of Aeronautics Minnesota Department of Transportation Program Management Division Enclosure An Equal Opporlww, Emphn'er t'��- 0 RESOLUTION FOR STATE AID FOR MAINTENANCE AND OPERATION Be it resolved that the Mayor (and Clerk) is (are) authorized to sign an Agreement with the State of Minnesota for State aid for maintenance and operation of the Hutchinson Municipal Airport during all seasons of the year up to June 30, 1991. The State will pay up to 66 2/3 percent of the cost, not to exceed the amount specified in the Agreement. • (SEAL) L J Passed this 11th Attest: Clerk day of Municipality Hutchinson, MN ME Q 9 -y Agreement No. • 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, • Program Management Division, Office of Aeronautics, "Minnesota Rules." f. Replacing windsock when necessary. g. Maintain the drainage and fencing systems. 3. 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. 5. 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 $6,500 of State aid for each fiscal year. • 9 -� 6. The Municipality shall submit a breakdown of its costs incurred hereunder to the Director, Office of Aeronautics, on forms supplied • by him. In any and all events, costs must be submitted to the Director, Office of Aeronautics, on or before August 1 for each fiscal year ending June 30. No requests received after August 1 for the preceding fiscal year will be honored by the Director, Office of Aeronautics. The Director, Office of Aeronautics, reserves the right to reject items that may not be eligible for reimbursement, and reimbursement may be denied entirely if the airport is not properly maintained in accordance with this Agreement. 7. The Municipality has established a zoning authority for the airport, and such authority is in the process of and will complete, with due diligence, an airport zoning ordinance in accordance with Minnesota Statutes 360.061 to 360.074. 8. This Agreement is in effect for the fiscal years 1989 -1990 and 1990 -1991. time upon 30 days' written notice by APPROVED: 1. MUNICIPALITY City of Hutchinson 2. By: Title: By Title: City Administrator Date: July 11 1.289 3. DEPARTMENT OF TRANSPORTATION OFFICE OF AERONAUTICS By: Director Date: It may be terminated at any either party. APPROVED AS TO FORM AND EXECUTION SpeciaT Assistant Attorney General • 4. DEPARTMENT OF ADMINISTRATION By: Authorized Signature Date: 5. DEPARTMENT OF FINANCE By: Date: Authorized Signature 1] 1J n'rnrslornd.. I,.hs� Yes. I IA % I 1'hLrPR' —nu> rr'a ..x anL I..:n. t,ACm 11n PURCHASE AGREEMENT K -N Y.e. It Olt Mbnl..nlaln ........ Hutchinson...... _Minn.. .. 19... RECEIVED OF City. of .Hutchinson.,...a. Minnesota.. political corporation the sum of One Dollar ,_. .., _ ($ __.1.00 J DOLLARS .. ... .........................as tautest money and in part payment for the purchase of property at Icheek CVh. b be day-ted mans "nee, w Nob— S,nlewhIduI School Road Hutchinson, Minnesota situated in tl„ __.. _ ...... ........... ............................... .._ County of .....McLeod .., Stan, of Montanus, and legally described as follows, m -wic ........................... ............................... See Attached Exhibit 'An all of which property the undersigned has this day sold to the buyer for the sum of: Fifty -five Thousand and no /100 ----------- - - - - -- 55 000. which the buyer agrees to pay in the fo0awing manner•. Eanus( money heroin paid $ 1.00 and $ 10 t 999 , 0(bash,on June 1, 1989 ,the also• of dosing. $44,000 with interest thereon at eight percent (88) per annum, by a contract for deed payable in monthly installments amortized on a 25 year schedule commencing on the 1st day of July, 1989 and on the first day of each and every month thereafter. Payment shall be credited first to interest and remainder to principal. On the 1st day of June, 1993, the entire unpaid balance of this contract for deed, along with all accrued interest, if any, shall be due and payable. 'Taxes payable in 1989 shall be apportioned on the basis of the date of closing. ?_1 Buyer agrees to assume,all assessments, including certified payable `�� in the year 1989. • Suhian, m prlummnce by the buyer du stile, ape s to rxrrulr, and deltic a Warranty Deed (ro he joined in brilliant. if anYl conveying markeahle title Is, said premises mbiect Im1Y to the felluwing mcfarins: u) auilJina and aonin, l aws, nadigarmx. Stan, and Federal legohnium. Ibl Restrictions relating ro use or hollowness of premises wilhoul egeriw bulletin, provisions. Ica Reurvuion n(suy minerals tar mircral righrs m dw Slam of Mirml -w. (d) Uuhry and drain g uumenn which J nIx inmr(ere wish preum impnwemenn. lu Rights of mints u follows: (uNes specified, not s.b,,, w win) The buyer shall pay the real er rc taxes due' she Year 19 arty ismullu unpaid 1�9 fibijapecial aresanencs ,,le there.. uh and Ihen,afmc &fill warrany that .1 glass, lave do, m the year 19 will be homestead dasuhnti,m I full, partial or nunlhrxnntead —hate which r Neider the Ile, con she inlet, aarnt make any reprrwnmdon or warranty whancever concerning the amount of real estate taxes -huh that he trussed sgairel the property mbm9uem .,he Jate of purchase. Filer rov,nanus Iha, buildings, if any, arc enlirel, wiahln the laumlary line of the pnrperry and agrees to remove all prsuwl Prnptty aroulI rat Indudnd hcmn and all debris fmm she puns se, prior m pm ssag Jam. SELLER WARRANTS ALL APPLIANCES, NG. AIR CONUII IONING, W [RING AND PLUMBING USED AND LIR:AI'I D ON SAID PREMISES ARE IN PROPER WORKING ORDER Al DA'Z'E OE CLOSING. The seller further agtm slid efile, rousah -n cox late, man ..June 1, 1989 provided Ihal all anndai„m of this ugreemenr have ben complied wish. Unless other. ise aphid On sale shill be dosed on or before 60 day, free the date hereuL In the gem This Prepay is destrosxd tar ummamklly damaged by lire co any osier cause before the riming dale, this agrernmnf shell beam, all and void al the pumhaer's optmn, and all monies paid ].,,.ad., shall be refolded In him. The buyer and seller also mutually agree that pro cars adiustraNtg( rer, iMIf,rftp m vd city wearer, ail, in aloe rase of uwome Prmerty, current opening expenses, ,hall h male a, of _ _ Yn The caller shall, within a rem -gable crime after pproxal if this agreement, furnish an ,dame, of III,. or a Ra;eisteed I'n�ITrry Abstmsr - rtifiei to date to Include pouter Igarcbe cuverily. bankruplrin. and Sam tad Federal iudgnm,ns and liens. rte hnyrr stuff M all -�ed Id days after neural thereof for vaammation of mId title an.l dre making of any obinvbns Ihemlo, mid 4hjraisms et Iw mall, in writing or domed ro be wai,ed. If any objections arc m male dw seller shall be alln -'ed 120 d:sys ut ntake sorb tidy funkcmbl,. Pending corrgaton of tide I. payments hereurxlsr required shall he two. nest, bur upset correttism M aide and -ichin 10 days aln,, seeing, gol,, v+ she barer. the parties shall Reform This sgn,emen, according to in terms. If said .file is mu mrkemble and is on mall, on wthin Hollins from the dam M wriewn ohimiums damru as aM,m puciuded, his agreercnt shall be null and void, a, option M flue bayeq and neither prinuipl mall be liable for damage, hereunder m the ollmr principal. A11 money dlerautue paid by dre burg, stall be refundel. If de tide m said grape. be fixed markerA le or be sat made widdn said new, and cull b rer shall default in spy of the ...eemenll and continue in defld, for a period tab III dms, den in and I11,11 case dse selfer may stunning Otis contract and tan such termination all the paymenn made upon this sunnact sh.ill he mailed by "id islet and said ,fens, as tlrcir rcspdarve imrrens Ii,P�i.la,al Jamagas, Iwing marry aylrur, as rim, of the r.,e hand. Thi, lon,minn shell our dtprive timer I , of the r' •b, nl n forcing the ,,it fellormanre of ,his n.mu.a Snouted such ..malt shall out le monisawd., aforesaid, and provided arum. n, oform such sr+ecilrc performance shall be c nroxemed within six gumtha offer such right of action shall aria. II is l Jc,stmd and agread that This auk is made rehire m the approval by,he uwnel Id mill premiers in strum, and dam be under signed agen, is in nu manner liable or resgmsibfe on account of this summem. exmpr m Burn or accuser fm III, earnest county paid under m.. u., ram r. The delivery of all peen sad monies shall be mark at the .ace of: _...._._...._........ . I ....... _. ....... ..._. ..... _. ............ .. ... .... .... .... .. ... __._...__. .... ........I............ ...... ............... ........___.._ I. the undersigned, car ne. of the show land, do hereby approve BY ... ......._ . _. _... Agent the above agramem and the ark theuby made, I hereby ague to prchaw the said pre m for the price and �rc me, above mentxmed, and au m all cmdnmru � l.rls'f51 OF HUTCHINSON �[..i�. �1....� •. lC dL lhL rJ /(SEAL) ..r .. S f By........... EAt (SEAL) Paul Ackland p>rFayo��� ...... ., 'Seller (. .... ............. ............................... ............................_ _(SEAL) Bu s ?_1 EXHIBIT IIA° Tracts D, E, and F of Registered Land Survey No. 22 of Section Thirty -six (36) , Township One Seventeen North (117 N) , Range Thirty West (30 W) Lot 2, Block 2, Lot 1, Block 3 and Lots 6, 7, 8, 9, 10, 11, 12, 13 and 14 of Block 71 Helland's � Addition to the City of Hutchinson and the adjacent streets thereto. C1 J • I* / (612)587-5151 CITY OF HUTCHINSON 37 WASHINGTON AVENUE WEST HUTCHINSON, MINN. 55350 July 5, 1989 M E M O R A N D U M TO: MAYOR AND CITY COUNCIL FROM: PERSONNEL COORDINATOR_ RE: WORKSITE AGREEMENT Attached is a Worksite Agreement with Heartland Community Action Agency for the employment of disadvantaged /handicapped youth through their funding. • Similar services were-provided-to-us in prior years through the R.P. V.S. agency. Approval is recommended. 0 v' • • community octi( Mid -Town Plaza 310 South First Street Box 1359 Willmar, Minnesota 56201 (612) 235 -0650 1 -600 -992 -1710 (Toll Free) Fax No. 1- 612 - 235 -7703 agency, CAA TRA114ING OFFICE • • tl' ay IS •' •' I IW • •' L1• y' y M This is an agroFm -mt made by and between the worksite and CAA Job Training Office for the JT ?A Simmer Youth Program. WHEREAS tree worksite and CAA Job Training desire to enter into an agreement f. --r t!-e s_ __ e of the Ycut': Employ m-n- Progra,,. C AA Job Tra.ir,ing does hercbv aG_-e: `n - the youth for work perfo- _ cn the worksite, carry Workel's Caipennation and Liability insurance on the youth so Fxployed and mo. ^.i_or the worksite. Tre worksite does hereby agree to provide proper s +spervision and training of the youth assigned to the worksite, help in settiny up a suitable work schedule, comply with Federal and State Labor Laws with special attention given to the Child Labor Laws. The worksite further agrees to reasonable monitoring by CAA Job Training youth s':-ff and State and Federal Officials. Failure to comply with the rules and regulations stated herein will result in the termination of the worksite from the program. The Youth Employment Program is a work training program for young people. As part of the Job Training Partnership Act, it seeks to give yowig pa+ople, from lea- income families, work exposure to develop skills and attitudes which can lead to a more satisfying future. It is believed that basic vocational skills and work discipline are necessary or regarding employment and these can be gained best through experience. The work done by enrollees must provide or increase public services that woul3 not otherwise be provided in the community. This guarantees that wage earners will not be displaced by the participant. All participants must be certified and appmven by the CAA Job Training Office b=- -fore they begin work. The following .lust be colz)leted before an enrollee is employed: a current JTPA Youth Application with parents or guardian's income verified and signatures secured; W -4 with a Social Security Number. PROGRAM REGJLATIONS 1. Participants must be age 14 - 21 (inclusive). 2. Participants must be economically disadvantaged or At Risk Youth. 3. Participants will receive at least Federal Minimum Wage ($3.85/hr.). 4. Social Security payments will be withheld from enrollees' wages. 5. A" -art;cipants will be screened and interviewed. 6. Ali terminations must be reported to CAA Job Training on the day they occur with the reasons for termination. Replacement should not be made without final approval from CAA Job Training Office. 7. All worksites must be public or private non -profit organizations private non- profit as well as public. 8. Participants in the program will not be employed on construction, operation or maintenance of that part of any facility which is used for religious instruction or worship. Heartland Community Action Agency is an Equal Opportunity Employer 9_s WC)FWITE SUPEVnSORS: 1. Each worksite will provide supervision for each participant. 2. All job assignments must comply with State and Federal Child. Labor and Safety Regulations. 3. Safety equipment when needed will be provided by the worksite. s 4. Prior to their employment, participants will be orientated as to their duties, work and w :t.;.t is expertG of then regarding punctuality, dress requirernnts, and anv work- related item. 5. worker's Unpensation and liability insurance will be provided by the CAA Job Training Office for work experience participants. on- the-Job Training participants will be covered by their employer's policy. 6. All injuries must be reported immediately. 7. When a youth is placed at.a worksite where there is a union in force, that is directly related to the type of work the enrollee would be engaged in, CAA Job Training must have a union sign off approval. 8. Should the regular supervisor of participants be absent from the job for any reason (vacation, sickness, termination) the worksite has the responsibility to notify the CAA Job Training Office of his/her re- placement. If possible, we would like a one week notice to insure adequate training. 9. The worksite assures safe and healthy environment for participants. PROGRAM SPECIFICS 1. Enrollees may work up to 40 hours per calendar week. 2. Holidays and lunch hours will not be paid unless they are worked. 3. Participants will not be paid for unexcused absences, unworked hours, or recreational activities. 4. By- weekly timesheets will be completed correctly and signed by both the enrollee and supervisor in ink. 5. Incomplete timesheets (missing signaturesv hours, etc.) will be returned to the worksites and checks will be withheld until the completed timesheets are returned to the CAA Job Training Office. 6. To insure prompt payment, all enrollee's timesheets must be received no later than Monday noon following the end of the payroll period. 7. Sexual harassment is prohibited by law and the law applies to participants in this program. Reported harassment is grounds for closing of a worksite. 8. Participants may not use private vehicles while working without special permission form CAA Job Training Office. WE, THE MWITE OF have received and read the CAA ~ Job Training Worksite Agreement foam. We understand the goals, description, and guidelines for the Youth Employment Program. We agree to participate and to cooperate with the CAA Job Training Office as a worksite by providing proper supervision of enrollees, sufficient work, and by adhering to the Federal Regu- lations as stated in the Agreement. Worksite Representative Signature CAA Job Training Representative (signed by Mark Schnobrich 6 -897) June 19, 1989 - Scott Hanson, enrollee - 2 - (612) 587 -5151 f/U7CH' CITY OF HUTCHINSON 37 WASHINGTON AVENUE WEST HUTCHINSON, MINN, 55350 M E M O R A N D U M DATE: Julv 6, 1989 TO: _Mayor &_Council_ _ _ FROM: —Gary D.— Plotz, City Administrator — —.r — — — — — — SUBJECT: —Maxi -Audit On City Hall And Old Fire Station ----------- ------------ -- - - -- As you may recall, it may be possible to get partial state funding of the evaluation on City Hall (study $8,500) and the old fire station. . We can apply for $1,600 in funding on City Hall and $800 on the old fire station. This evaluation serves a dual purpose in the event the City applies for Exxon overcharge monies (no "guarantees" on funding improvements) as this up -to -date maxi -audit is required. Therefore, I recommend authorization to apply for these funds subsequent to executing the agreement with SEH to perform the services. /ms • �1_el COST -SHARE MAXI -AUDIT GRANT REQUEST Please send me a State Cost -Share Maxi -Audit grant agreement to conduct a maxi -audit on each building listed below. I understand that to be reimbursed for the State's share of the audit costs, the following conditions apply: 1. The maxi -audit cannot be contracted for or begun prior to complete execution of the grant agreement. 2. The audit must be done by a state authorized maxi - auditor. 3. The audit must be reviewed and approved by the Department of Public Service. 4. Invoices for the audit work by building must be submitted with the audit report. Typed Name Title Signature Date This form can be folded in thirds and mailed without an envelope to the address printed on the other side. November 1987 • • • Municipality Hutchinson Address: 37 Washington Ave., W., Hutchinson, MN 55350 Previous Audit Floor area List Building Names _Building Address Yes or No in Square Feet EXAMPLE: City Hall 1984 Main Street Yes 31,000 City Hall 37 Washington Ave. W. Yes 10,180 Fire Station 44 Washington Ave. W. 2,904 Gary D. Plotz City Administra tor I Typed Name Title Signature Date This form can be folded in thirds and mailed without an envelope to the address printed on the other side. November 1987 • • • E.n.ergy D,vision • Department of Public Service • 9 American Canter Ew.cng • 150 E--st r: I cqg E0: c rc • S . _ . . ' „ Program Description JANUARY 1989 The Energy Division of the Minnesota Department of Public Service is now offering Cost -Share Maxi -Audit Grants to cities, counties, towns, schools and hospitals to conduct energy audits on their buildings and energy using systems. Once completed, these Maxi - Audits can be used to apply for loan funding to implement energy conservation projects. Over the past several years, a similar program has been very successful in reducing energy consumption and cost for Minnesota's public schools.' The Maxi -Audit The Maxi -Audit is a comprehensive engineering study of a building and its energy using systems. It clearly identifies available energy conservation opportunities and analyzes the potential costs and benefits of these measures. It is a valuable tool for making wise energy conservation investment decisions. The Maxi - Auditor Maxi - Audits conducted under this program must be conducted by a professional engineer or architect authorized by the Minnesota Department of Public Service to conduct these audits. A list of authorized auditors may be obtained by contacting our office. If you work with an engineer or architect who is not currently authorized, have them contact our office for authorization details. Cost -Share Grants Cost -Share Grants are available to municipalities and schools and hospitals to help pay the cost of conducting these energy audits. Grants are awarded on a first -come, first - served basis and are available whether or not a building has been audited previously. There is a restriction on previously audited buildings. A building for which a municipality or a school or hospital has received cost -share maxi -audit funds is not eligible for another cost -share maxi -audit grant until five years after the date of the previous grant payment. Grant funds are not issued until after the work is completed and all the grant requirements have been met. q -e- Grant Application The grant application is a one page form that includes the municipality or institution name, name and address of the building(s) and the building size(s). Application forms may be requested from our office by phone or mail. Most applications are processed within 30 days of receipt. Prior Approval Maxi -Audit services may not be contracted for or begun until a Cost -Share Grant application has been approved and the contract has been fully executed. Funding Limits Cost -Share grant limits vary according to the size of the building to be audited. The State will provide 800 of the actual audit costs up to that limit. The following table shows formulas and funding limits for various size buildings. Grant Reimbursement To be rcirwuLsed for the Cost -Share Maxi -Audit grant, the grantee must submit a copy of the completed Maxi -Audit Report and contractor invoices to our office for review. When staff review has determined that all requirements have been fulfilled, the grant funds will be issued. FOR MORE INFORMATION OR TO REQUEST AN APPLICATION, CALL (612) 297 -2103 OR WRITE: COST -SHARE MAXI -AUDIT GRANTS MINNESOTA DEPARTMENT OF PUBLIC SERVICE 900 AMERICAN CENTER • 150 EAST KELLOGG BOULEVARD ST. PAUL, MINNESOTA 55101 �14/ FUNDING LIMITS FOR COST -SHARE MAXI -AUDIT GRANTS A Building rea C Formula Funding Limits in square feet 1 11 0 - 5,000 $ 800 $ 800 5,001 - 25,000 $1,600 1,600 25,001 - 50,000 (Area) *($.064 /sq ft) 3,200 50,001 - 100,000 (Area) *($.0384 /sq ft) + $1,280 5,120 100,001 — 150,000 (Area) *($.0256 /sq ft) + $2,560 6,400 150,001 - 200,000 (Area) *($.0192 /sq ft) + $3,520 7,360 200,001 - 250,000 (Area) *($.0128 /sq.ft) + $4,800 8,000 250,001 - and up $8,000 8,000 Grant Reimbursement To be rcirwuLsed for the Cost -Share Maxi -Audit grant, the grantee must submit a copy of the completed Maxi -Audit Report and contractor invoices to our office for review. When staff review has determined that all requirements have been fulfilled, the grant funds will be issued. FOR MORE INFORMATION OR TO REQUEST AN APPLICATION, CALL (612) 297 -2103 OR WRITE: COST -SHARE MAXI -AUDIT GRANTS MINNESOTA DEPARTMENT OF PUBLIC SERVICE 900 AMERICAN CENTER • 150 EAST KELLOGG BOULEVARD ST. PAUL, MINNESOTA 55101 �14/ • DAVID B. ARNOLD CHARLES R. CARMICHAEL GARY D. MIDOW£LL STEVEN A. ANDERSON G. BARRY ANDERSON STEVEN S. HOGE LAURA K. PRETLAND DAVID A- BRUEGGEMANN JOSEPH M. PAIEMENT JAMES UTLEY JULIA A. CHRISTIANS RICHARD G. MCGEE June 28, 1989 ARNOLD & MGDOWELL ATTORNEYS AT LAW 5881 CEDAR LAKE ROAD MINNEAPOLIS. MINNESOTA 55416 -1492 (612) 545 -9000 M\ TOLL FREE 800- 343 -4545 CABLE MCLAW MINNEAPOLIS Mr. Jim Marka Building Official 37 Washington Avenue West Hutchinson, MN 55350 TELECOPIER (012)545 -1793 Mr. Gary D. Plotz Hutchinson City Administrator 37 Washington Avenue West Hutchinson, MN 55350 RE: Hudson /Hutchinson Agreement Our File No.: 3188 -87 -0001 Dear Jim and Gary: OF COV95EL WILLIAM w. CAMERON PAUL D. DOVE 501 SOUTH FOURTH STREET PRINCETON. MINNESOTA 55371 (612) 389 -2214 TELECOPIER (612) 389 -5508 ICI PARE PLACE HUTCHINSON, MINNESOTA 55350 (612)587 -7575 TELECOPIER (612) 587-4096 ,. , I`i13t�„Ci 01 RECaVF I enclose herewith a rough draft of the proposed Agreement between Hudson and the City of Hutchinson. It is my understanding that the City has routinely recorded conditional use permits and I am assuming that is or will be done in this case as well so I did not incorporate it into this Agreement the language dealing with the conditional use permit. Also, I intentionally left the Agreement vague on what triggers the right of the City to revoke the conditional use permit. I would rather give the City the right to revoke it at anytime for any reason as opposed to getting into a debate as to whether the Water Street improvement project specified as the "triggering" event. If the agreement is satisfactory in form and content, please place the matter on the agenda for approval on July 11 and send a copy of the proposed Agreement Mr. Hudson for his review. I don't believe he is the owner of the property, or at least he wasn't he the last time I had any contact with regard to this • particular property. Nonetheless, I believe the instrument is in recordable form and as the operator, the recorder's office should take this Agreement and record it. Jim Marka /Gary Plotz • June 28, 1989 Page 2 Please contact me with any questions. Very truly yours, ARNOLD cDp WELL G. Barry nderson GBA /lls • • • AGREEMENT This Agreement is made and entered into on the day of July, 1989 by and between the City of Hutchinson, a municipal corporation ( "City ") and Dan Hudson the owner and operator of a business enterprise known as "Subway ". RECITALS 1. Hudson, as the owner and operator of a restaurant and food service operation known as "Subway" desires to add to his facility by opening a drive - through window; 2. The proposed drive - through window will use and infringe Upon City of right -of -way; 3. The City has no immediate use for the right -of -way but wishes to preserve its options to use the right -of -way in the • future; 4. As required by the City Zoning Ordinance, Hudson has made application for a conditional use permit under Section 6.07 of Hutchinson City Ordinance No. 464 to allow for the construction of a drive - through pick -up window; NOW THEREFORE, IT IS AGREED by and between the parties as follows: 1. Subject to the terms of the conditional use permit and further subject to the terms of this Agreement, the City agrees to issue a conditional use permit for the construction of a drive - through window which permit shall cover and be limited to the following described property: Lots 1, and 2, Block 24, North half of Hutchinson, according to the recorded plat thereof. 9� 'N Except that part of said Lot 2 described as follows: • Beginning at the southwest corner of said Lot 2; thence east along the south line of said Lot 2 a distance of 12.50 feet; thence northerly to a point on the north line of said Lot 2 a distance of 5.50 feet easterly of the northwest corner of said Lot 2; thence westerly, along said north line, to said northwest corner; thence southerly, along the west line of said Lot 2, to the point of beginning. 2. The parties agree that the City may revoke the conditional use permit at any time for any reason, provided, however, that the City shall give 60 days written notice addressed to 204 Highway 7 West, Hutchinson, MN 55350 of the City's demand to revoke the conditional use permit. 3. Hudson agrees to close the drive - through window no later than 60 days following notice of intent by the City to revoke the conditional use permit as specified in this Agreement. 4. Hudson agrees that neither he nor his successors or • assigns acquire any rights against the City by way of adverse Possession, prescriptive easement or by any other theory of law. S. This Agreement is not intended to and does not in any limit the rights of the City to enforce any of the City's rules, regulations, or ordinances. 6. This Agreement binds all successors and assigns and runs with the land. Dated: Dan Hudson state of Minnesota ) ) ss. County of Hennepin ) The foregoing instrument was acknowledged before me this day of , 1989 by Dan Hudson, a single person. Notary Public 40 0 Dated: Paul Ackland Mayor of Hutchinson By: Its: State of Minnesota ) ) ss. County of Hennepin ) The foregoing instrument was acknowledged before me this day of , 1989 by Paul Ackland, Mayor of Hutchinson. Notary Public Attest: • State of Minnesota ) ) ss. County of Hennepin ) Gary D. Plotz Hutchinson City Administrator By: Its: The foregoing instrument was acknowledged before me this day of , 1989 by Gary D. Plotz, Hutchinson City Administrator. This instrument was drafted by: G. Barry Anderson #196X Arnold & McDowell 5881 Cedar Lake Road Minneapolis, MN 55416 (612) 545 -9000 • Regular Council Meeting July 11,1989 •WATER $ SEWER FUND Ashbrook- Simon - Hartley supplies $ 81.91 Blair Pump Co. supplies `92.30 Hotsy Corp. supplies 39.00 Flexible Pipe Tool Co. supplies 184.00 Northern supplies 269.31 Sargent Welch Scientific supplies 54.33 Witte Sod supplies 50.25 City of Hutch, Self Ins. Fund insurance -med. July 2,219.73 City of Hutch, Self Dental Fund insurance -den. July 332.91 Mutual Benefit insurance -LTD July 108.15 MN Mutual Life insurance -Life March 21.34 MN Mutual Life insurance -Life April 40.74 MN Mutual Life insurance -Life May 40.74 MN Mutual Life insurance -Life June 40.74 MN Mutual Life insurance -Life July 40.74 Big Bear supplies 17.99 Crow Chemical supplies 14.00 Central Garage supplies 304.19 Carquest Auto Parts supplies 67.18 Coast to Coast supplies 226.18 Commissioner of Revenue supplies 667.70 County Market supplies 33.09 DPC Industries supplies 427.70 Erickson More 4 supplies 112.60 • Family Rexall Drug supplies 1.00 Farm $ Home Distributing supplies 122.53 Farmers Elevator Assn. supplies 103.13 Floor Care Supply supplies 79.22 Fitzloff Hardware supplies 27.47 G&,K Services uniform rental 265.30 Hutch Coop gasoline 770.95 Hutch Iron $ Metal supplies 18.00 Hutch Manufacturing 8 Sales supplies 173.72 Hutch Utilities elec 4 gas 12,822.00 Hutchinson Wholesale supplies 26.34 Junker Sanitation refuse charges 37,299.80 Juul Contracting Co. So. Grade Road $ Dale "8,632.20 L $ P Supply Co. repair $ supplies 57.81 MN Valley Testing Lab testing 275.05 Nalco Chemical Co. supplies 576.45 MN Tech Enviro Corp supplies 120.87 MN Tech Environmental Corp. supplies 121.75 Nott Company supplies 476.66 Plowmans Inc. truck rental 500.00 Pikal Music Store supplies 3.00 Schramm Implement Machinery rental 70.00 Sorenson Farm Supply supplies 11.00 PERA Employer Contribution 6/30/89 346.44 Tri County Water Conditioning supplies 8.20 US Post Office meter postage 91.70 • Quades Electric supplies$ repairs 2584.27 Simonson Lbr Co. supplies 1.98 Am. National Bank fees G expenses 262.75 TOTAL $71,236.41 • CENTRAL GARAGE FUND Boyum Equipment, Inc. Glencoe Ford Motors Sweeney Bros. Tractors Brandon Tire Carquest Auto Parts Hutch Wholesale Plowmans Inc. Schmeling Oil Co. Sorenson Farm Supply PERA Town F, Country Tire US Postmaster Wigen Chevrolet Co. City of Hutch Self Ins City of Hutch Dental Self Ins Mutual Benefit MN Mutual Life MN Mutual Life MN Mutual Life MN Mutual Life MN Mutual Life • BURNS MANOR CONSTRUCTION FUND Design Dimensions Good Neighbor BONDS OF 1978 First Trust BONDS OF 1980 First Trust BONDS OF 1983 Norwest Bank MN BONDS OF 1987 DEBT SERVICE FUND Am. Nat'l Bank BONDS OF 1988 Duninck Bros. Inc. Wm. Mueller 4 Sons BONDS OF 1989 40 Juul Contracting - 2 - supplies $ 67.50 supplies 34.70 supplies 407.32 repair 1,089.71 June invoices 998.42 June invoices 173.65 supplies, repairs, truck 13,533.69 supplies 48.00 supplies 21.00 Employer Contribution 6/30/89 50.91 repair 23.50 meter postage 7.75 repair 98.40 Medical - July 235.61 Dental - July 31.28 LTD -July 11.60 Life - March 2.53 Life - April 4.83 Life - May 4.83 Life - June 4.83 Life - July 4.83 TOTAL $16,854.89 Design fee - partial $16,920.00 May Consulting Fee 40,000.00 TOTAL $56,920.00 Principle, interest, expense $ 8,907.07 Interest and expense $16,879.38 Interest and expense $20,525.00 fees 0 expenses $ 227.25 Est. #6 $11,185.30 Est. #8 3,491.73 $14,677.03 Est. #2 $50,672.85 GENERAL FUND • Karen McKay paper holder $ 2.50 Jennifer Crosby umpire 16.00 Charlie Haukos safety boots 30.00 Norman Wright safety boots 30.00 Mrs. Charles Johnson refund shelter 10.00 Robert Hornick refund cond. use permit 45.00 Mary Haala variance refund 45.00 Matt Myllykanges umpire 36.00 Judy Borscheid swimming lesson refund 16.00 Debbie Ulrich swimming lesson refund 12.00 Joanne Bolland refund swimming 10.00 Marlin Torgerson League conference expenses 45.45 Christy Christensen safety boots 29.99 Mark Daak safety boots 29.84 Kim Mies supplies 13.76 Vickie Braml swimming refund 16.00 James Ford safety boots 30.00 Trent Smutka safety boots 30.00 Carlsons Lake State Equipment tractor 8 repairs 1750.00 D $ K cleaners cleaning blanket 18.45 Enforcement Products Inc. squad partition 372.88 Echo Industrial Products degreaser 99.95 Fitzharris Athletic bases 74.00 Fire Protection Pub. publication 224.00 Hutch Schwinn Cyclery repairs 29.65 • Intoximeters Inc. supplies 100.00 Junction Amoco car wash 2.12 Jims Garden Service till girdens 54.00 Lasting Woodlands Inc. donation 20.00 Lovegreen Industrial repairs 529.05 Mini Biff rental units 650.00 Mn. Conway Fire $ Safety supplies 276.90 Pioneerland Lib. System 3rd quarter payment 14,035.25 R. L. Polk Co. Polk directories 212.00 Schwans Sales Ent. supplies 69.80 The Secretarian office help 1122.00 Wesleys Pharmacy film 14.38 TEK Mech. Services repairs 93.48 Priebe Eng. services per contract 4408.53 City of Hutchinson Dental Ins. dental ins. July 1829.87 City of Hutchinson Self Ins. medical ins. July 14,422.17 Mn. Mutual Life Ins. S mos. life ins. 1479.68 Mutual Benefit July LTD ins. 816.47 A 8 B Electric repairs 83.13 Albrecht oil Co. gasoline 290.35 Allen Office supplies 72.11 Allied Mechanical Systems parts 3.85 Am. Risk Services prof. services 1028.16 Am. Welding Supplies supplies 11.50 Anderson Interiors Inc. 1 gal. bin 25.29 Big Bear supplies 50.20 Brinkman Studios films & photos 23.54 Browns Greenhouse plants 12.00 S! Bennett Office Supplies repairs & supplies 139.00 • John Bernhagen Cash Wise july compensation supplies 1800.00 160.13 Centrol Garage May repair jobs 6709.47 Cash Drawer #4 gas 3.00 Chapin Pub. Co. bid ads 269.80 Crow River Vet Clinic june invoices 218.00 Coast to Coast supplies 352.14 Coca Cola Bottling supplies 923.50 CHamber of Commerce office rental & secretarial 386.59 Co. Treasurer DL fees 113.50 County Market supplies 9.38 CUlligan Water Condition salt $ monthly services 43.50 Crow River Press Inc. printing chgs. 19.40 Ericksons More 4 supplies 50.61 Ericksons Oil Products gasoline 35.25 Electro Watchman Inc. maintenance 180.00 Family Rexall Drug supplies 222.35 Farm & Home Dist. Co. supplies 145.65 Floor Care Supply supplies 1030.23 Fitzloff Hardware supplies 461.60 Gopher State One Call calls 190.00 Hager Jewelry UPS chgs. $ princess charm 37.48 G $ K Services uniform rental 849.77 Hutch Coop gasoline 3115.56 Henrys Candy Co. supplies 2224.42 • Hutch Com. Hospital Hutch Iron $ Metal laundry &equipment supplies 524.52 17.84 Hutch Leader publication costs 859.42 Hutch Plbg. $ Htg. supplies 2.00 Hutch Utilities electricity 10,928.03 Hutch Wholesale supplies 176.98 Hutch Fire $ Safety maintenance 40.55 Ink Spots printing 158.26 Juul Contracting drilled holes 60.00 Kokesh Athletic supplies equipment 1874.50 L $ P Supply repairs $ supplies 133.54 League of Mn. Cities registration fees 170.00 Marco Business Products repairs 77.72 McLeod Cooperative Power electricity 216.69 STar Tribune help ads 267.15 McGarvey Coffee coffee 117.73 Northern States Supply supplies 31.75 Olson Locksmith repairs 42.00 Popps Electrical parts 78.00 Quades Electric repairs $ parts 372.35 Quades Sport Shop supplies 20.00 St. Paul Book & Stationery supplies 56.52 Schmeling Oil Co. gasoline 112.20 SHopko supplies 25.45 Simonson Lbr. Co. supplies 54.42. Sorenson Farm Supply supplies 37.25 • State Treasurer qtry bldg. surcharges 2429.34 PERA employer contribution 4020.44 Tri Co. Water salt 12.30 The Saltman salt 71.25 U.S. Postmaster meter postage 695.SS -5- Uniforms Unlimited •Viking Signs Xerox Wm. Mueller $ Sons • • clothing - police signs contract payment airport. 842.15 75.00 76.94 6911.34 $ 95,982.81 9 • LIQUOR STORE PERA PERA City of Hutchinson Withholding Tax Acct. John H. Crowther Quality Wine $ Spirit Co. Johnson Brothers Wholesale Ed Phillips $ Sons Johnson Brothers Wholesale Griggs 8 Cooper & Co. Ed Phillips g Sons Griggs F, Cooper & Co. Lenneman Beverage Dist. Locher Bros., Inc. Triple G. Distributing Friendly Beverage Co. Quality Wine $ Spirits - 3 - Employer Contribution 6/30/89 $ 175.64 Employer Contribution 165.77 Payroll 4,379.99 Sec. Sec /Medicare 6/30/89 313.97 Annual Premium Liq. List 9,898.00 Wine $ Liquor 1,514.25 Wine F, Liquor 4,830.91 Wine $ Liquor 3,800.53 Wine $ Liquor 3,868.24 Wine $ Liquor 2,885.42 Wine €, Liquor 4,257.43 Wine $ Liquor 835.62 Beer 14,534.25 Beer 10,407.45 Beer 11,173.30 Beer 489.10 Beer 3,984.98 TOTAL $77,514.85 DAVID IL ARNOLD CHARLES R. CARMICHAEL GARI D. MCDOWELL STEVEN A. ANDERSON O. DARRY ANDERSON STEVEN S. HOGE LAUHA K. FRETLAND DAVID A. HRUEGGEMANN JOSEPH M. PAIEMENT JAMES UTLEY JULIA A. CHRISTIANS RICHARD G. M'GEE July 7, 1989 ARNOLD & McDONvELL ATTORNEYS AT LAW 5681 CEDAR LAKE ROAD Ti1NN EAPOLIS, !111NNESOTA 55416-1492— (612) 545 -9000 MN TOLL FREE e01)-3.13 -4545 CABLE MCLAW MINNEAPOLIS TELECOPIER (n12)5J5 -1793 Mr. Gary D. Plotz Hutchinson City Administrator 37 Washington Avenue West Hutchinson, MN 55350 RE: Downtown Sprinkling System Our File No.: 3188 -87 -0052 FOR YOUR INFORMATIO( OF COISSEL WILLIAM W. CAMERON PAUL D. DOVE 501 SOUTH FOURTH STREET PRINCETON, MINNESOTA :'391 (812) 369 -221; TELECOPIER (812) 360 -5500 101 PARK PLACE HUTCHINSON. MINNESOTA 55050 (012)567 -7595 TELECOPIER (01-1) 567 -4066 E °"j a; p 2 U L .1;5J c, Ly Dear Gary: • Please provide a copy of this letter to the council on a for -your- information basis. At the last meeting of the city council, I advised members of the council that I was reexamining the question of whether or not prior advice given to the City that the City was required to enforce the sprinkling requirement was in fact accurate. Our review of existing ordinances and state statutes reveals that the state building and state fire code, adopted by reference, do require the sprinkling of basements in downtown Hutchinson. Both codes require automatic sprinkler systems in all basements which are: 1. In excess of 1500 square feet; and 2. Do not have at least 20 square feet of opening (such as windows, doors, window wells, etc.) for each 50 lineal feet of an exterior wall; or 3. Have any portion of a basement which is located more than 75 feet from such openings. The codes go on to define the openings as follows: a) The openings must be on at least one side of the building; b) The openings must • be above grade, in other words, above ground; and c) the openings must have a minimum dimension of 30 inches. Mr. Gary D. Plotz July 7, 1989 Page 2 U Please note that m portion of the basement can be located more than 75 feet from the requisite openings and further, the larger the building, the larger the requirement for square footage of opening. There are exceptions to the requirements of the uniform building code and uniform fire code, but they consist principally of residential dwellings, lodging houses, private garages, car ports and the like, none of which would appear to be of assistance to the City in the current situation. See Uniform Building Code at Section 3802 (b) and the Uniform Fire Code at Section 10.309 (b). There is also an exception, for example, that does allow for the non - installation of sprinkler systems where such sprinkler systems would constitute a serious life or fire hazard, where the basement or other area is made of fire - resistive construction or the special nature of the contents of the basement would be damaged by the use of sprinklers. See Uniform Fire Code at Section 10.311 (1 -5). Finally, I would note the presence of variance machinery as more fully set out in Minn. Stat. Section 299 F.011, subdivision 5. On the statement of the statute it would not .appear that these downtown buildings would qualify for a variance since the variance seems to be geared to provision of affordable housing and all of to the buildings, so far as I know, are essentially commercial in character. In summary, it appears that the sprinkling requirement does apply to the "core" downtown buildings located in the City of Hutchinson and ultimately, the City will have to seek compliance with the statute from the affected property owners. Thank you. Very truly yours, ARNOLD & McDOWELL �f. �c> ✓rt;I �71C�vS�. G. Barxy Anderson GBA lls 0 0 r- IL FOR YOUR INF_ORMARON 1958 EDITION 10.307. 10.309 Sprinkler System Supervision Alarms Sec. 10.307. Automatic sprinkler systems shall be supervised by an approved central, proprietary or remote station service or a local alarm which will give an audible signal at a constantly attended location when the number of sprinklers is: 1. 20 or more in Group 1, Division I Occupancies. 2. 100 or more in other occupancies. Permissible Sprinkler Omissions Sec. 10.308. Subject to the approval of the building official and with the concurrence of the chief of the fire department, sprinklers may be omitted in rooms or areas as follows: 1. When sprinklers are considered undesirable because of the nature of the contents or in rooms or areas which are of noncombustible construction with wholly noncombustible contents and which are not exposed by other areas. Sprinklers shall not be omitted from any room merely because it is damp or of fire- resistive construction. 2. Sprinklers shall not be installed when the application of water or flame and water to the contents may constitute a serious life or fire hazard, as in the manufacture or storage of quantities of aluminum powder, calcium carbide. calcium phosphide, metallic sodium and potassium, quicklime, magnesium pow- der and sodium peroxide. 3. Safe deposit or other vaults of fire - resistive construction, when used for the storage of records, files and other documents, when stored in metal cabinets. 4. Communication equipment areas under the exclusive control of a public communication utility agency, provided: A. The equipment areas are separated from the remainder of the building by one -hour fire - rcsistive occupancy separation; and B. Such areas are used exclusively for such equipment; and C. An approved automatic smoke detection system is installed in such areas and is supervised by an approved central, proprietary or remote station service or a local alarm which will give an audible signal at a constantly attended location; and D. Other approved fire- protection equipment such as portable fire extinguish- ers or Class D standpipes are installed in such areas. 5. Other approved automatic fire extinguishing systems may be installed to protect special hazards or occupancies in lieu of automatic sprinklers. Standpipes Sec. 10.309. (a) General. Standpipes shall comply with the requirements of this section and U.B.C. Standard No. 38 -2. (b) Where Required. Standpipe systems shall be provided as set forth in Table No. 10.311. 55 • • DAVID H. ARNOLD CHARLES R. CARMICHAEL GARY D. MIDOWELL STEVEN A. ANDERSON G. BARRY ANDERSON STEVEN S. HOGE LAURA K. FRETLAND DAVID A. BRCEGGEMANN JOSEPH M. PAIENENT JAMES UTL£V JULIA A. CHRISTIANS RICHARD O. M,GEE ARNOLD & MCDOWELL ATTORNEYS AT LAM' 5881 CEDAR LAKE ROAD MINNEAPOLIS, MINNESOTA 55416 -149 2 (612) 545 -9000 MN TOLL FREE 800-343 -4545 CABLE -MCiLkW MINNEAPOLIS TELECOPIER (JYy'{.545-0 �J 1 �J July 6, 1989 Mr. Gary D. Plotz Hutchinson City Administrator 37 Washington Avenue West Hutchinson, MN 55350 RE: State of Minnesota Property Condemnation Matter Our File No.: 3244 -88 -0026 Dear Gary: FOR YOUR INFORMATION oI cOL'NSEL WILLIAM W. CAMERON PAUL D. DOVE 501 SOUTH FOURTH STREET PRINCETON. MINNESOTA 55371 (612)'388 -2214 TELECOPIER(6121389 -5506 101 PARK PLACE HUTCHINSON. MINNESOTA 55350 4612) 587-7S71 TELECOPIER(612) 567 -4096 RECF(VM zz Please provide a copy of this correspondence to the Council as a "FOR YOUR INFORMATION" only item. The above - referenced matter had its origins in the Highway 22 South project in which the State of Minnesota sought to acquire certain municipal property, both for temporary easements and for a permanent taking, the latter of which consisted of 3.0 acres. You may recall that the State of Minnesota made an inadequate offer early on which, on the basis of a "curb- side" appraisal by James Robinson, I recommended rejection of and which was subsequently rejected. My recollection is that the offer was in the $2,000 range. Subsequently, the State has increased its offer, most recently offering $11,200 for the parcel to be acquired, and $3,200 for a temporary easement. We did hire David Lorence to prepare an appraisal report on the value of the properties involved and he concluded that, as to the permanent taking, that parcel had a value of slightly in excess of $24,000, and as to the temporary taking, his estimate was $1,300 in value, approximately $2,000 less than the value arrived at by the State of Minnesota. The entire package was presented to the Eminent Domain Commissioners •for action and we do anticipate a result within the next several days. I am reluctant to make a prediction, but I would expect the City to do at least slightly better, on a net basis, than the last offer made by the State of Minnesota. Mr. Gary D. Plotz Page 2 July 6, 1989 If we receive the Commissioner's award prior to Tuesday, I will probably request that the Council approve it at the upcoming City Council meeting. Regardless of the decision of the Commissioners, it does appear the City will come out several thousand dollars ahead of the original offer which was increased after discussions with this office. If you have any questions in connection with the foregoing, you certainly should feel free to contact me. Very t G. Barry�Anderson GBA:js 11 • 11 • • 0 FOR YOUR INF_ORMA ION 1989 Property Tax Certification Timetable for Cities July 15 Cities with populations over 2,500 and towns receiving revenues from taconite production taxes certify to the Department of Revenue their payable 1989 levies for the operating costs of regional library services not previously claimed as a special levy for property taxes payable in 1989 z JY ( .V ,,, L-Adt) ptilCrU I (-_c Q0r.cA r -01'J August 15 Department of Revenue certifies local government aid amounts to cities and towns which were set for payable 1990 by the 1988 tax law August 15 Department of Revenue will certify the payable 1990 levy limits under the 1988 tax bill to cities with populations over 2,500 and towns receiving revenues from taconite production taxes September 1 Department of Revenue will certify local government aid and levy limits under the vetoed tax bill to cities with populations over 2,500 and towns receiving revenues from taconite production taxes October 1 Cities certify proposed property tax levies to`coun4 auditors— V.!qr ,_� R") f ! L Ccrt i.r_ November 9 Cities certify final property tax levies to county auditors FOR YOUR INFORMATION '� �- ✓�u.C.G�' Cl.�; �C? c..ti,t.<JC.L �✓ L.. /:. l.lcs+! <.i�+l.L �• . �, L <N nj- �ri...i,.(,Z' iC-' -l' =V. ,/}� -fL 'r�•!.I" -. "L✓�'LC__ �}. l lip . ��•� ,. > =�-- � L(,• �t�(,.- ti-- :C..- � /t.Z. •t�-- .�L''_.z. o./ � i'r�.6- ✓✓— h e't - 1'lt,C,•✓VI�A- LtN.O! l'�c...!'C•�PJ.c�G(i•W�- ��-.�. '..k / s- t_. -t'.. .Ltl LL--� It -y.;t< u !- )� Z;tZ• ,!i <: Gt- .iZ. e >' ..v . �i =ALE: _ 1 J ,/� tLL'*f (t, '= C- YL.f.,iL �- N� . �%;'�ei) ?!.- Vii!/. yZ,- f. -y_i✓' lC. tLLx -k- .tiS -5-S7- 3 75.3 jljt 1989 "c.D 0 o E,.'2 '89 ELECTkIC DIVISIION INCOME STATEMENT OPERATING REVENUE SALES - ELECIRIC ENEFX Y UPA - ENERGY NET INCOME FROM OTHER SOURC'E'S SECURITY LIGHTS POLE RENTAL TOTAL OPERATING REVENUE OPERATING EXPENSES PRODUCTION OPERATION PRODUCTION MAINTENANCE PURCHASED POWER TRANSMISSION OPERATION TRANSMISSION MAINTENANCE DISTRIBUTION OFERATION DISTRIBUTION MAINTENANCE CUSTOMER EXPENSES CUSTOMER SERVICES ADMINISTRATIVE 6 GENERAL EXPENSES DEPRECIATION TOTAL OPERATING EXPENSES OPERATING INCOME OTHER INCOME AND DEDUCTIONS OTHER - NET INTEREST INCOME MISC INCOME /EXPENSE INTEREST EXPENSE TOTAL OTHER INCOME AND DEDUCTIONS NET INCOME. HU "FCH.IMSON UTIL COMMISSION PAGE 1. HUTCI'IIN(.ON NNESOIA I&S STATEMENT OF 3f, _" 1989 A EXPENSES MAY 3i, FOR YOUR INFORMATION PREVIOUS CURRENT BUDGETED LIUDGET ANNUAL YEAR TO DATE YEAR TO DATE YGAR: TO DATE DEVIATION FIUPGET 3,376,269.69 3,624,561.42 3,578,792.00 45,769.42 9,206.600.00 .00 .00 .00 .00 15,000.00 1.1,725. 70 11,119.50 11,322.20 (202.70) 2311180,00 5,260.50 5,327.50 6,300.00 (972.50) 15,006.00 1,916.25 1,916.25 2,000.00 (63.75) 4,000.00 3,395 ,172.14 3,642,924.67 3,598,414.20 44,530,47 9,264,480,00 210,162.05 249,376.62_. 250,603.17 1,226.55 _ 594,922.00 38,778.98 50,307.29 37,3B6.00 (121921.29) 134,630.00 2, 041,974.65 2,063,699.40 2,072,212.74 8,513,34 5,3i3,366.00 .00 80.65 .00 (80.65) 4,600.00 67,413.90 16,277.57 18,160.00 1,882.43 32,500.00 52,880.58 68,979.22 60,649.96 (8,329.26) 147,088.00 49,982 84 _ 44,510.13 44,113.32 (396.81) 98,514.00 30,766.02 31.,583.39 31,930.50 347.11 76,161.00 5,027.84 4,126.55 4,693.68 567.13 11,448.00 t 263,627.51 271,756.82 296,134.61 24,377.79 657,00`5.00 400,000.00 385,500.00 402,620.00 17,120.00 982,000.00 3,160,614.37 3,186,197.64 3,218,503.98 32,306.34 81051,934.00 234,557.77 456,727.03 379,910.22 76,816.81 1,212,546.00 2,211.18 (5,209.13) 1,086.00 (6,2+5.13) 7,400.00 128,022.49 170,700.13 120,950.00 49,750.13 295,000.00 -i 19,632.11 6,569.38 (380.00)... _.. 6,949.38 1,000.00 80,000.00 75,000.00 71,750.00 (3,250.00) 180,000.00 69,865.78 97,060.38 49,906.00 47,154.38 123.400.00 304,423.55 553,787.41 429,816.22 123,971.19 1,335,946.00 ( I i l I 6/22/89 HUTCHINSON UTILITIES COMMISSION .PAGE 2 HUTCHINSON, MINNESOTA Geis DIVISION STATEMENT OF INCOME 6 EXPENSES MAY 31, 1989 PREVIOUS CURRENT BUDGETED UUDGEI ANNUAL. YEAR TO DATE YLAR TO DATE YEAR TO DATE DEVIATION L:UDiSEI INCOME STATEMENT OPERATING REVENUES SALES 2,21.4,165.43 2_,0£73,691.65 2,004,950.00 (S,C" }6.15) 3, lt,00, 000.00 FORFEITED DI::COUNTG 51096.96 5,537.67 4,160.00 t,377.67 8,000100 TOTAL OPERATING REVENUE 2,219,262.39 2,089,229.52 2,089,110.00 119.52 3,508,000.00 OPERATING EXPENSE. MFG GAS PRODUCTION OPERATION 1,203.15 1,291.54. 1;037.00 (254.9;4) 5,200.00 MFG GAS PRODUCTION MAINTENANCE .00 116.73 .00 (116.73) :00.00 PURCHASED GAS EXPENSE 1,702,550.41 1,577,988.62 i,512,500.00 (65,488.62) 2,750,000.00 DISTRIBUTION OPERATION 75,360.63 76,878.67 69,421.81 (7,456.86) 170,681.00 DISTRIBUTION MAINTENANCE 19,077.77 9,566.59 18,858.00 9,271.41 40,000.00 CUSTOMER EXPENSES 16,035.41 21,048.37 19,210.68 (1,837.69) 50,77,,.00 CUSTOMER SERVICES 3,351.90 2,'751.03 3,129.12 :376.09 7,632.00_ ADMINISTRATION b GENERAL 87,836.39 107,380.88 _ 118,565.98 11,185.10 257,403.00 DEPRECIATION 32,000.00 35,500.00 32,376.00 (3,124.00) 85,200.00 TOTAL UPERATING EXPENSES 1,939,415.66 1,832 542.43 5,775,098.59 (57,443.84) 3,367,390.00 OPERATING INCOME 279,846.73 256,6e7.09 314,011.41 (57 324.32) 140,610.00 OTHER INCOME AND DEDUCTIONS OTHER — NET (1,654.05) 244.48 (1,907.00) 2,151.48 5,300.00 INTEREST INCOME _ _ 97,284.77 1.05,565.42 90,000.00 225,000.00 MISC INCOME /EXPENSE 1.,827.19 1,849.32 (1,976.00) _15,565.42 3,025.32 800.00 TOTAL OTHER INCOME AND DEDUCTIONS 97,457.91. 107,659.22 86,117.00 21,542.22 231,100.00 NET INCOME 377,304.64 364,346.35 400,528.41 (35,782.10) 371,710.00 _1 I l � c12: "r19 ASSETS' UTILITY PLANT - AT CO'.',T' LAND 6 LAND RICHIS DF-F'RECTADLE I1111.I1Y F'I.ANT TOTAL UTILITY PLANT LESS ACCUMULATED DF7PF.F.C3.ATI0N TOTAL ACCUMULATLD DEPF*F_CIA'FiON CONSTRUCTION IN PROGRES£i TOTAL CONSTRUCTION IN PROGRESS TOTAL UTILITY PLANT DEPREC VALUE RESTRICTED FUNDS 6 ACCOUNTS FUTURE EXPANSION 8 DEVELOPMENT RESERVE FOR FUEL OIL MEDICAL INSURANCE ITA — OPERATING S MAINT RESERVE INSURANCE LOSS CONTRIBUTION — CITY OF HUTCHINSON BOND A INTEREST PAYMENT 1986 1986 BOND RESERVE CATASTROPHIC FAILURE FUND FEDERAL INTERPRFTATION MAIN REPLACEMENT FUND TOTAL RESTRICTED FUNDS 6 ACCOUNTS CURRENT 6 ACCRUED ASSETS CASH IN DANK INVESTMENTS& SAVINGS ACCOUNTS CONTRACT ACCOUNTS RECEIVABLE INVENTORIES PREPAID INSURANCE ACCRUED INTEREST RECEIVABLE TOTAL CURRENT 6 ACCRUED ASSETS DEFERRED CHARGE BOND DISCOUNT 1986 TOTAL DEFERRED CHARGE TOTAL ASSETS HUTCHINSON UT'_L : COMMISSION PF,GE 1 HUTCHINSOANNESOTA BALANCE SLit:E'f MAY 31, 1989 FOR YOUR INFORMATION it • • ELECTRIC w r a r r w w a GAS • • * * +, .* r it is 'TOTAL a it 140,963.10 1.7,957,532.9£1 16,090,496.00 (12, 049, 820.' M) (12,049,020,75) 27.763.89 227,763.88 6,276,439.21 6,919,B21.I() 750,000.00 60,000.00 200,000.00 300,000.00 75,000.00 216,681.27 392,000.00 750,000.00 .00 .00 9,663,502.37 228,624.43 448,779.18 .00 875,147.29 509,174.77 38,553.05 225, 9£)9.57 2,326,189.09 85,337.97 85,337.97 18,351,468.64 1.3,97£'.10 154,94?..20 ^,430,090.91. 20,530,586.99 (1,041,320.03) (13,091,1.40.76, (1.,041,320.03) (13,091,)40.76) 28,927.28 256,691.16 281927.28 256,691.16 1,419,698.16 7,696,137.37 _. 1,250,000.00 .00 40,000.00 .00 .00 .00 .00 .00 .00 627,326.59 11000,000.00 2,917,326.59 616,883.22 109,098.88 49,648.97 208,262.65 60,292.23 1, 698.5:3 127, `.515.22 1,173,399.70 00 .00 ,'51.0,424.45 8,169,821..10 750,000.00 i00,000.00 200,000.00 300,000.00 75,000.00 216,68t.27 392,000.00 750,000.00 627,326.!;9 1,000,000.00 12,580,820.96 845,507.65 557,878.06 49,648.97 1,083.409.94 569,467.00 40,252.38 353,424.79 3,499,58B.79 85,337.97 85,337.97 23,861,893.09 0 6/22..89 HUTCHINSON UTILITIES COMMISSION HUTCHINSON, MINNESOTA 11ALA14CL SHEET MAY 3t, 1909 . r1UN1CTPAL EQUITY h LIAPILI77:E_S MUNICIPAL EQUITY MUNICIPAL. EQUITY UNAPPROPRIAIE.D kETAINE -.D EAPF41NGS CONTRIBUTION TO CITY TOTAL .MUNICIPAL EQUITY LONG TERM LIABILITIES -NET OF CURRENT MATWITIES 1986 PONDS TOTAL LONG TERM LIABILITIES. CONSTP. CONTRACTS 6 ACCTS PAY RETAIN TOTAL CONSTRUCTION 6 ACCTS PAY CURRENT G ACCRUED LIABILITIES ACCOUNTS PAYABLE INTEREST ACCRUED ACCT PAYABLE TO ASSOCIATED COMPANY ACCRUED PAYROLL ACCRUED VACATION PAYABLE CUSTOMER DEPOSITS OTHER CURRENT 6 ACCRUED LIABILITIES TOTAL CURRENT d ACCRUED LIAP- TOTAL MUNICIPAL EQUITY h LIAR PAGE w r w ELECTRIC w r w w +t w w if GAS w w w .w_.* ......._ w w w «. TOTAL w w w w 13,621,30`.78 4,943,423.28 18,564,733.6,, 553,787,4i x64,346 31 (112,1;00.00) (.00) (512,500.00) 14,062,597.19 5,307,769.59 19- ,370,366.78 3,510,000.00 - 3,510,000.00.. .00 587,289.86 1,337.64 (25,060.68) _. 39,844.43 77,803.84 97,705.11 (48.75) 778,671.45 18,351,468.64 .00 3.tAtel000.00 .00 315101000.00 175,603.23 - '762,893.09 .00 1,337.64 (.00) .. - -?,309.55. -. (23,348.06) _. 49,153.98. 16,048.68 93.8521.52 .00 - 97,705.11 (19.20) (67.95) 202,654.86 981,526.31 5,510,424.45 23,865,(1,93.09 FOR YOUR INFORMATIO1 MAY CITY OF HUTCHINSON FINANCIAL REPORT - 1989 MAY REVENUE REPORT - GENERAL FUND CURRENT YEAR TO ADOPTED BALANCE PERCENTAGE • MAY DATE ACTUAL BUDGET REMAINING USED TAXES 450000.00 476378.46 1278791.00 802412.54 37.3% LICENSES 159.00 9406.50 19825.00 10418.50 47.4% PERMITS AND FEES 45029.35 60514.11 90000.00 29485.89 67.2% INTER - GOVERNMENT REVFNUE 0.00 110289.42 1549218.00 1438928.58 7.1% CHARGES FOR SERVICES 77026.72 201991.69 515362.00 313370.31 39.2% FIVES & FORFEITS 3026.43 15537.62 35500.00 19962.38 43.8% MISCELLANEOUS REVENUE 9212.85 45394.21 156556.00 111161.19 29.0% CONTRIBUTIONS FROM OTHER FENDS 5750.00 80757.00 426000.00 345243.00 19.0% REVENUE FOR OTHER AGENCIES 1732.91 2016.45 200.00 - 1816.45 1008.2% TOTAL 591937.26 1002285.46 4071452.00 3069166.54 24.6% EXPENSE REPORT GENERAL FUND MAYOR & COUWIL 2313.06 14181.05 32940.00 18758.95 43.1% CITY ADM. /CITY CLERK 11807.46 62874.76 141512.00 78637.24 44.4% ELECTIONS 0.00 0.00 2768.00 2768.00 0.0% FINANCE 15281.82 95657.07 225914.00 130256.93 42.3w- MOTOR VEHICLE 5195.90 28964.68 64074.00 35109.32 45.2% ASSESSING 0.00 0.00 20700.00 20700.00 0.0% LEGAL 2542.00 12940.25 41000.00 28059.75 31.6% •PL.ANNING 1329.73 7853.67 12475.00 4621.33 63.0% CITY HALL 2006.10 14065.04 41856.00 27790.96 33.6% RECREATION BUILDING 5310.34 19361.62 57366.00 38004.38 33.8% POLICE DEPARTMENT 72131.95 374318.70 836667.00 462348.30 44.7% FIRE DEPARTMENT 4733.05 31266.46 104915.00 73648.54 29.8% COMMUNITY SERVICE OFFICER 2115.30 11227.85 30482.00 19254.15 36.8% SCHOOL LIAISON OFFICER 0.00 22039.00 22039.00 0.0% BUILDING INSPECTION 4790.04 26477.00 61908.00 35431.00 42.8% EMERGENCY MANAGEMENT 0.00 157.50 13238.00 13080.50 1.2% SAFETY COUNCIL 0.00 0.00 150.00 150.00 0.0% FIRE MARSHALL 3727.80 19234.21 50840.00 31605.79 37.8% ENGINEERING 16714.44 80821.83 224454.00 143632.17 36.0% STREETS & ALLEY'S 31705.50 153577.05 366040.00 212462.95 42.0% STREET MAINTENANCE A/C 2897.29 21424.87 89900.00 68475.13 23.8% LIBRARY 857.88 32810.37 68791.00 35980.63 47.7% SENIOR CITIZEN CENTER 9464.19 36059.23 82860.00 46800.77 43.5% PARK /REC. ADMIN. 8012.78 30904.27 95151.00 64246.73 32.5% RECREATION 9879.19 41059.26 153472.00 112412;74 26.8% CIVIC ARENA 12245.96 69008.57 112411.00 43402.43 61.4% PARK DEPARTMENT 44744.39 150057.16 409116.00 259058.84 36.7% CEMETERY 3635.13 17779.62 49132.00 31352.38 36.2% COMMUNITY DEVELOPMENT 2330.79 13426.21 33150.00 19723.79 40.5% CELEBRATE 1990 GRANT 4567.50 4567.50 0.00 - 4567.50 ERR DEBT SERVICE 1500.00 14500.00 57000.00 42500.00 25.4% AIRPORT - 4843.26 111580.48 55075.00 - 56505.48 202.6% TRANSIT ENERGY COUNCIL 7467.91 3812.00 38832.84 14110.08 129016.00 30000.00 90183.16 15889.92 30.1% 47.0% S.C.D.P. COORDINATRO 2796.63 17865.08 0.00 - 17865.08 0.0% UNALLOCATED - 50657.62 78217.74 355040.00 276822.26 22.0% 0.00 TOTAL 240415.25 1645182.02 4071452.00 2426269.98 40.4% MAY CITY OF HUTCHINSON FINANCIAL REPORT - 1989 MAY 133169.00 ENTERPRISE FUNDS SUPPLIES, REPAIR & M.AINTENANCE 26.95 265.24 REVENUE REPORT - LIQUOR FUND MONTH OF YEAR TO ADOPTED BALANCE PERCENTAGE 39800.00 MAY DATE ACTUAL BUDGET REMAINING USED LIQUOR SALES 31430.50 158903.72 447800.00 288896.28 35.:;% WINE SALES 9588.27 44500.06 160300.00 115799.94 27.$% BEER SALES 60279.39 9.42376.51 700300.00 457923.49 34.6% BEEP. DEPOSITS 641.30 389.92 0.00 - 389.92 0.00 MISC. SALES 2546.56 12129.55 45000.00 32870.45 450415.96 INTEREST 637.13 2286.24 5600.00 3313.76 40.8% REFUNDS & REIMBURSEMENTS - 270.32 0.00 0.00 0.00 20077.19 CASH DISCOUNTS -90.20 - 318.9-4 - 2800.00 - 2481.76 979502.47 TOTAL 105032.95 460267.76 1356200.00 895932.24 33.9% EXPENSE REPORT LIQUOR FUND PERSONEL SERVICES 10680.89 57956.04 133169.00 75212.96 43.5% SUPPLIES, REPAIR & M.AINTENANCE 26.95 265.24 4700.00 4433.76 5.6% OTHER SERVICES & CHARGES 1805.91 8512.59 39800.00 31287.43 21.4% MISCELLANEOUS 250.00 253.00 8900.00 8647.00 2.8% CAPITAL OUTLAY 3130.00 4368.32 29000.00 24631.68 0.0% TRANSFERS 0.00 0.00 110000.00 110000.00 0.0% COST OF SALES 118431.10 379060.79 1032600.00 653539.21 36.'% OTHER 0.00 0.00 - 2300.00 - 2300.00 0.0% TOTAL 134324.85 450415.96 1355869.00 905453.04 33.2% REVENUE REPORT - WATER SEWER /FUND FEDERAL GRANTS 0.00 0.00 0.00 0.00 0.0% WATER SALES 36266.31 188655.93 506000.00 317344.07 37.3% WATER METER SALES 2152.00 6142.30 6500.00 357.70 94.5% REFUSE SERVICES 38922.63 171222.38 412000.00 240777.62 SEWER SERVICES 108273.60 553527.65 1147000.00 593472,35 48.3% EPA SALES 0.00 0.00 0.00 PENALTY CHARGES 1086.63 5871.64 11000.00 5128.36 0.0% INTEREST EARNED 4789.68 31735.06 60000.00 28264.94 52.9% REFUNDS & REIMBURSEMENTS 357.00 2270.32 2000.00 - 270.32 0.0% OTHER 17.50 20077.19 2000.00 - 18077.19 100319% TOTAL 191865.35 979502.47 2146500.00 1166997.53 45.6% EXPENSE REPORT - WATER SEWER /FUND REFUSE 37299.80 217024.10 411438.00 194413.90 58.7% WATER 15172.58 208249.57 853683.00 645433.43 24.4% SEWER 36844.03 816677.62 1805816.00 989138.38 45.2 % -* WASTE TREATMENT PLANT CONSTRUCT. 8380.48 65548.16 0.00 - 65548.16 TOTAL 97696.89 1307499.45 3070937.00 1763437.55 42.6% • • 0 Hutchinson Safety Council Minutes June 26, 1989 12:00 Noon Hutchinson Fire Station FOR YOUR INFORMATION The Program was given by Carol Bufton, President of the Minnesota State Safety Council. Carol spoke regarding the mission of the State Safety Council - to promote occupational, home and public safety and to reduce accidents. Resources from the Minnesota State Safety Council include • Speaker's Bureau and an • Audio visual Library Programs that the State Safety Council are involved in include: * MN Safe Kids * Defensive Driving Course, and * Awards Program School Patrol School Bus City and County Traffic Awards Program The meeting was called to order by Vice - President Mark Schnobrick. The Treasurer's report was given and the minutes were approved as read. OLD BUSINESS 1. Out of seven letters sent out in May to potential new members, we have received 5 responses. The VFW and Legion have not yet responded. We now have 29 members on our mailing list. Mailing the minutes out costs approximately $100.00 per year. The Treasurer moved that we request an additional $100.00 per year for a total budgeted amount of $25U.00 per year. The motion was seconded and approved unanimously. 2. The County Fair was discussed. Since the safety trailer is not available George Fields moved that we obtain the Vince and Larry Crash Dummies for the fair. The motion was seconded by Grant Knutson and approved unanimously. Mark Schnobrick will check with Liz Akre, our Safety Council member representative from the Student Council-to ask her recommendation on people who might be willing to wear the costumes at the Fair. Mark will also check with John Reynolds about renting a space at the Fair. Les Smith stated that the money in our savings account was set aside for the purpose of defraying expenses at the County Fair and could be used for renting a booth at the Fair. It was decided that we would need some pamphlets and hand -out materials for the Fair and for the rack at the entrance to City Hall. George Fields stated that he would be willing to stock the pamphlet rack at City Hall if we had the materials available. The City Hall rack is suppossed to be sponsored by the Hutchinson Jaycees and the Hutchinson Safety Council; a letter will be written to the Jaycees asking for funds to order materials to stock the City Hall Rack and to ask whether they would be willing to sponsor the Safe Kids brochures (.10p / copy) at the Fair Booth. Jean Ward will look into ordering the safety brochures for both the Fair and the and the City Hall pamphlet rack. 3. The next meeting will be Monday, July 31st at the Fire Hall. The meeting was adjourned at 1:15. Submitted by Jean Ward, Secretary / Treasurer PIONEERLAND LIBRARY SYSTEM BOARD MEETING June 12, 1989 PRESENT: !! FOR YOUR INFORMAjif Jeanette Buchanan representing Willmar Nancy Alsop Litchfield Sjirley Nowak McLeod County Lorna Carlson Swift Cty. Richard Post " Kandiyohi Cty. John Nevins Dawson Ric Emery Willmar Gladys Nelson Ortonville Kathleen Kubasch " McLeod County Noel Phifer " Glencoe Stan Jacobson Chippewa County William Scherer Hutchinson Anne Macquire Madison Judy Oestreich Litchfield Dick Baysinger Benson Sandy Casper Graceville Jan Kreie McLeod County Marian Miller Meeker County Linda Ulricl. Renville Shirley Schutt Kerkhoven Laverna Birkland Kandiyohi Cty. Peg Mossberg Kandiyohi Cty. Liz Erickson Appleton Kathy Matson, Associate Director David Lauritsen, Chippewa County Librarian ABSENT: Burton Sundberg, Director Carol Conradi * Willmar Orlynn Mankell * Kandiyohi Cty. Jack Langen * Swift County Howard Turck * Meeker County Steve Boehlke * Chippewa County Arlen Lacombe Big Stone County Linda Willmsen Hutchinson Dorothy Tebben Chippewa County Margaret Jenner Bird Island Joe Schriefer Hector * Excused absence The June 12th meeting of the.full PLS Board of Trustees was called to order at 7:35 PM by Vice- chairperson Linda Ulrich. The Secretary's minutesof the May meeting were approved on a motion by Buchanan /Schutt. Due to the absence of Carol Conradi, Finance Committee member, a motion was made and carried (Oestreich /Scherer) to table the Financial Report. Page 2 PLS Board Meeting -June 12, 1989 Kathy Matson gave the details of a Library Tour to Northfield, MN on July 27th available to staff, trustees, and guests. The old van was sold on a bid of $506, according to Mrs. Matson. Nelson /Jacobson moved for payment of bills;carried. Concerning Extension of Access, Lac qui Parle County has signed a contract to join PLS effective 1/1/90. As of June 1st, 1989, library patrons in this county were able to obtain free non - resident library cards. The City Council of Clarkfield has shown some interest in joining PLS. We hope to have future meetings with Olivia City Council, Yellow Medicine County Commissioners and Granite Falls City Council. At the close of the Legislative Session, Mrs. Matson stated, the amount of funds earmarked for libraries was slightly above last year. Despite the legislative recess, the legi- slation to exempt libraries from the levy limit was still in limbo because of the governor's veto of the tax bill. A thank you note was read from the family of Robert Arens for the book placed in the Dassel Library in his memory. The 1990 Budget Proposal, being tabled at the May meeting, was removed from the table by a carried motion (Scherer /Post). After some discussion, a motion was made (Emery) to reduce all expenditures by .75% (the approximate difference between . the 3 %Z% levy limit and the current increase proposed) not to include personnel, cataloging, and other fixed expenses. Motion died for lack of second. A motion to accept the Budget as presented was carried (Jacobson /Mossberg). The motion to authorize Steve Boehlke, Chairman, to sign our application for State and Federal Funds passed (Oestreich /Kreie). Motion by Nelson /Nevins to authorize Steve Boehlke to sign the Agreement with Lac Qui Parle County. The Executive Committee will meet July 10, 1989. The meeting was adjourned at 8:40 PM. Respectfully submitted, Judy Oestreich, Secretary •