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cp02-08-2011 cCity Council Workshop -February 8, 2011 — d:00 p.m. — Continuation of City Council Review
AGENDA
REGULAR MEETING — HUTCHINSON CITY COUNCIL
TUESDAY, FEBRUARY 8, 2011
1. CALL TO ORDER — 5:30 P.M.
2. INVOCATION — Shalom Baptist Church
3. PLEDGE OF ALLEGIANCE
4. PUBLIC COMMENTS
5. MINUTES
(a) REGULAR MEETING OF JANUARY 25, 2011
Action — Motion to approve as presented
6. CONSENT AGENDA ( Purpose: onlyfor items requiring Council approval by external entities that would otherwise
have been delegate tot e City Administrator. Traditionally, items are not discussed)
(a) RESOLUTIONS AND ORDINANCES
1. RESOLUTION NO. 13846—A RESOLUTION FOR APPROVAL OF PARKLAND EXCHANGE
(b) CONSIDERATION FOR APPROVAL OF ISSUING TEMPORARY LIQUOR LICENSE TO
HUTCHINSON JAYCEES ON APRIL 30, 2011, AT HUTCHINSON CIVIC ARENA
(c) CONSIDERATION FOR APPROVAL OF SETTING BOARD OF EQUALIZATION MEETING FOR
APRIL 20,201 I, AT 4:30 P.M. AT THE HUTCHINSON CITY CENTER
(d) CONSIDERATION FOR APPROVAL OF ISSUING TOBACCO LICENSE TO KARIM MISHAL
LOCATED AT 725 BALTIMORE AVENUE
(e) SUMMARY OF CLOSED MEETING PROCEEDINGS FOR THE CITY ADMINISTRAIOR
PERFORMANCE APPRAISAL SESSION HELD ON JANUARY 25, 2011
(f) CLAIMS, APPROPRIATIONS AND CONTRACT PAYMENTS
Action - Motion to approve consent agenda
7. PUBLIC HEARINGS — 6:00 P.M. - NONE
8. COMMUNICATIONS RE UESTS AND PETI'T'IONS (Purpose: to provide Council with information
necessary to cra t wise policy. Always oo ing toward t e uture, not monitoring past)
9. UNFINISHED BUSINESS
10. NEW BUSINESS
(a) DISCUSSION OF DEVELOPING A PLAN FOR A SEASONAL FORESTRY PROGRAM
Action —
CITY CO(, NCIL AGENDA — FEBRUARY 8, 2011
(b) DISCUSSION OF DEVELOPING A PLAN FOR COMMERCIAL AND INDUSTRIAL FIRE
INSPECTIONS
Action —
(c) DISCUSSION OF ESTABLISHING A FORMAL EMERALD ASH BORER FUND
Action -
(d) CONSIDERATION FOR APPROVAL OF SETTING JOINT MEETING WITH HUTCHINSON
UTILITIES COMMISSION ON FEBRUARY 23, 201 I, AT 4:00 P.M.
Action — Motion to reject — Motion to approve
11. GOVERNANCE (Purpose: to assess past organizational performance, developpolicy that guides the organisation and
Council and manage the logistics of the Council. May include monitoring reports, policy development and governance
process Items.)
(a) HUfCHINSON ECONOMIC DEVELOPMENT AUTHORITY 2010 ANNUAL REPOR "f
PRESENTATION — MILES SEPPELT, EDA DIRECTOR
(b) FIRE DEPARTMENT MONTHLY REPORT FOR JANUARY 2011
(c) HUTCHINSON PUBLIC LIBRARY BOARD MINUTES FROM NOVEMBER 22, 2010
(d) SIDEWALK SNOW REMOVAL MONTHLY REPORT FOR JANUARY 2011
No action required for these items.
12. MISCELLANEOUS
13. ADJOURN
MINUTES
REGULAR MEETING — HUTCHINSON CITY COUNCIL
TUESDAY, JANUARY 25, 2011
I. CALL TO ORDER -5:30 P.M.
Mayor Steve Cook called the meeting to order. Members present were Mary Christensen, Eric Yost, Bill Arndt
and Chad Czmowski. Others present were Jeremy Carter, City Administrator, Marc Sebora, City Attorney and
Kent Exner, City Engineer,
2. INVOCATION — Pastor Rick Stapleton, Shalom Baptist Church, delivered the invocation.
3. PLEDGE OF ALLEGIANCE
4. PUBLIC COMMENTS
5. MINUTES
(a) REGULAR MEETING OF JANUARY 11, 2011
Motion by Arndt, second by Christensen, to approve the minutes as presented. Motion carried unanimously.
6. CONSENT AGENDA (Purpose. only for items requiring Council approval by external entities that would otherwise
have been delegatec to the City Administrator. Traditionally, items are not discussed)
(a) RESOLUTIONS AND ORDINANCES
L RESOLUTION NO. 13843 — RESOLUTION APPROVING REVISED ASSESSMENT ROLL (SA-
5074)
(b) CONSIDERATION FOR APPROVAL OF TRANSFERRING TOBACCO LICENSE ISSUED TO
SMOKES4LESS #5 INC. FROM 1310 HWY 15 SOUTH TO 114 MAIN STREET NORTH
(c) CONSIDERATION FOR APPROVAL OF REVISING CITY POLICY NO. 1.12 — DELEGATION OF'
AUTHORITY DURING CITY ADMINISTRATOR'S ABSENCE
(d) CONSIDERATION FOR APPROVAL OF ITEMS FOR INDUSTRIAL BOULEVARD SE
RECONSTRUCTION AND ENERGY PARK BITUMINOUS WEAR COURSE PI,ACFMENT
PROJECTS (LETTING NO. 2, PROJECT NO. 11 -02 & 11 -03) — ORDERING PREPARATION OF
REPORT ON IMPROVMENNT, RECEIVING REPORT AND CALLING HEARING ON
IMPROVEMENT
(e) CONSIDERATION FOR APPROVAL OF ITEMS FOR TRUNK HWY 15 WATER MAIN LINING
PROJECT (LETTING NO. 6, PROJECT NO. 11 -09) — ORDERING PREPARATION OF REPORT ON
IMPROVEMENT, RECEIVING REPORT AND CALLING HEARING ON IMPROVEMENT
(f) CONSIDERATION FOR APPROVAL OF ISSUING SHORT -TERM GAMBLING LICENSE TO
MCLEOD COUNTY PHEASANTS FOREVER ON MARCH 26, 2011, AT MCLEOD COUNTY
FAIRGROUNDS
(g) CLAIMS, APPROPRIATIONS AND CONTRACT PAYMENTS
Item 6(e) was pulled for separate discussion.
5ta�
CITY COUNCIL MINL'TF,S -- JANUARY 2j, 2011
Motion by Czmwoski, second by Arndt, to approve consent agenda with the exception of Item 6(e). Motion
carried unanimously.
Item 6(e) had further discussion. Council Member Yost asked if anything was going to be done differently
with this project as opposed to the first time it was bid out. Kent Exner, City Engineer, explained that the
scope of work will be revised, as well as identifying the items in the project that will be bid out. In addition,
hopefully the bids will come in more favorable to the City.
Mayor Cook asked if other end users have been surveyed as it relates to bidding projects like this (multiple
Cities being the project owners). Mr. Exner noted that research has been done via consultant.
Motion by Yost, second by Cook, to approve Item 6(e). Motion carried unanimously.
7. PUBLIC HEARINGS — 6:00 P.M. - NONE
8. COMMLiNICATIONS, REQUESTS AND PETITIONS (Purpose. to provide Council with information
necessary to craft wise policy. Ahvays ooking toward t e future, not monitoring past)
(a) DISCUSSION OF PROPOSED FORESTRY MAINTENANCE POLICY
John Olson, Public Works Manager, presented before the Council. Mr. Olson explained that a forestry
maintenance policy has been developed to review hazards, removals, pruning and planting. Mr. Olson spoke
to the retirement of the City forester and the expertise that has been lost. Mr. Olson noted that contractors
will be used more often than in the past, which has been included in the 2011 budget. Unfortunately, not as
much customer service will be offered for residents and instead they will be referred to the University of
Minnesota extension office and other resources. Mayor Cook suggested that perhaps a tree care licensing
program should become a priority with the loss of the city forester's expertise. Mayor Cook questioned the
language in the policy that states "if resources permit ". Mayor Cook asked how programs are kept as
priorities. Mr. Olson spoke to the essential services and critical services, of which forestry has been
identified as. Council Member Yost asked if there was any need for an explanation of roles and expectations
of a consultant. Mr. Olson explained that consultants' necessity is identified with each program. One of the
biggest changes instituted with this policy is the contact with the public.
9. UNFINISHED BUSINESS
(a) CONSIDERATION FOR APPROVAL OF RENEWING 2011 MEMBERSHIP TO COALITION OF
GREATER MINNESOTA CITIES
Mayor Steve Cook noted that this topic has been reviewed a couple of times. The topic was not discussed
during 2011 budget discussions, but rather at the end of the year when the budget was being adopted. This
topic was discussed at a workshop a couple of weeks ago and some Council Members noted that they see a
value in being a member to the Coalition for the services that they provide, especially as it relates to local
government aid. Mayor Cook reminded the Council that the mayor of Alexandria, former president of the
Coalition, encouraged Hutchinson to maintain membership.
Council Member Christensen noted that she feels the membership to the Coalition can only benefit the City
because the City needs a voice at the legislature.
Council Member Yost noted that he is still not in support of being a member to the Coalition at this time due
to financial conditions. He expressed that the Coalition will continue on whether Hutchinson maintains
membership or not.
Mayor Cook expressed the benefits that the Coalition accomplished over the last two years with local
government aid.
Motion by Czmowski, second by Cook, to approve renewal of membership to Coalition of Greater
Minnesota Cities for 2011. Council Member Arndt noted that he spoke with Senator Newman today.
5�j
C'17 Y COUNCIL MINUTES - JANUARY 25, 2011
Newman expressed to Arndt that the legislature is tied up with lobbyists and he requested that the group
Arndt is involved in on another matter contact Newman directly. Roll call vote was taken: Christensen -
aye; Arndt- nay; Yost- nay; Czmowski -aye; Cook- aye. Motion carried') to 2.
10. NEW BUSINESS
(a) CONSIDERATION FOR APPROVAL OF RESOLUTION NO. 13844- ARESOLUTIONAUTIfORIZING
BUSINESS DEVELOPMENT PUBLIC INFRASTRUCTURE GRANT APPLICATION
Miles Seppelt, EDA Director, presented before the Council. Mr. Seppelt explained that a grant is availabte
for a potential project that has been identified. The grant money would be used to aid in the reconstruction
of Industrial Blvd. and bring water & sanitary sewer to the 3.09 acre lot in the Industrial Park.
Motion by Arndt, second by Christensen, to approve Resolution No. 13844 - Resolution authorizing
business development public infrastructure grant application. Motion carried unanimously.
(b) CONSIDERATION FOR APPROVAL OF THE POSITION OF PART -TIME HUMAN RESOURCES
ADMINISTRATIVE TECHNICIAN
Jeremy Carter, City Administrator, presented before the council. Mr. Carter explained that currently the City
has two positions within the organization, a part-time Human Resources Technician and a part -time
Administrative Technician each working 20 hours per week. Both of these positions have been vacated by
the current employees which have caused staff to evaluate the positions. The proposal is to combine the
positions into one, with the maximum number of hours being 29 hours per week. Council Member Arndt
asked about recently laid off employees being eligible for the position. Brenda Ewing, Human Resources
Director, noted that all laid off employees were made aware that they were being terminated, therefore they
would have to apply for any future openings.
Motion by Yost, second by Czmowski, to approve the position of part -time Human Resources
Administrative Technician. Motion carried unanimously.
(c) CONSIDERATION FOR APPROVAL OF RESOLUTION NO. 13845 - A RESOLUTION IN SUPPORT
OF LOCAL GOVERNMENT AID FUNDING
Mayor Cook noted this Resolution speaks to the benefit of local government aid and requests that the
legislature preserve LGA at the maximum level of possible based on currently certified levels and any
reduction in LGA be done fairly, with city input, and only as part of a comprehensive solution to the State
budget. This Resolution will be sent to local legislators as well as legislative leaders.
Motion by Czmowski, second by Christensen, to approve Resolution No_ 13845 - Resolution in support of
local government aid funding. Motion carried unanimously.
(d) CONSIDERATION FOR APPROVAL OF SETTING COUNCIL WORKSHOP TO CONTINUE POLICY
GOVERNANCE REVIEW
Mayor Cook noted that tonight's workshop needs to be continued and also the joint HUC meeting needs to
be set in addition to this workshop.
Motion by Yost, second by Cook, to set Council workshop for February 8, 2011, at 4:00 p.m. to complete
the Council annual review. Motion carried unanimously.
11. GOVERNANCE (Purpose, to assesspast organizational performance, develop policy that guides the organization and
Council an manage the logistics of the Council. May include monitoring reports, policy development and governance
process items.)
(a) HUTCHINSON HOUSING & REDEVELOPMENT AUTHORITY BOARD MINUTF,S FROM
DECEMBER 22, 2010
CITYCOiJNCILMINUTES— JANUARY25, 2011
(b) CITY OF HUTCHINSON FINANCIAL REPORT FOR DECEMBER 2010
(c) CITY OF HUTCHINSON INVESTMENT REPORT FOR DECEMBER 2010
12. MISCELLANEOUS
Council Member Arndt— Council Member Arndt commented that he feels the new trail on Adams Street
should be a priority trail that the City maintains versus the residents. Kent Exner, City Engineer, noted that
he will review the priority listing with the Public Works Manager and PRCE Director. Mayor Cook noted
that there was a sidewalk previously in the same place of the trail, so residents should be used to maintaining
the width of a sidewalk.
Jeremy Carter — Mr. Carter noted that a meeting has been scheduled for January 31, 2011, at 7:00 a.m. with
the local legislators.
Motion by Arndt, second by Christensen, to set public meeting for January 31, 2011, at 7:00 a.m. with the
local legislators. Motion carried unanimously. Any agenda items should be given to Mr. Carter,
Mayor Cook — Mayor Cook noted that the City's local sales tax bill will be introduced in the near future at
the legislature.
13. ADJOERN
Motion by Arndt, second by Yost, to adjourn at 6:25 p.m. Motion carried unanimously.
a
SL�-�
C
TO: Mayor & City Council
FROM: Kent Exner, DPW /City Engineer
RE: Resolution for Approval of Parkland Exchange
(Letting No. 1 /Project No. 06 -01)
DATE: February 8, 2011
The attached `Resolution for Approval of Parkland Exchange' formailizes the conveyance of Mn/DOT
property (previously purchased from the City) to the City in compensation for parklands utilized for Trunk
Highway purposes (primarily stormwater detention/treatment ponds). The structure of this overall transaction
was previously reviewed and approved by the City Council_ If there are any questions or concerns, City staff
will be available at the upcoming City Council meeting.
We recommend that the attached Resolution be approved.
cc: Jeremy Carter, City Administrator
& V
RESOLUTION NO. 13846
RESOLUTION FOR APPROVAL OF PARKLAND EXCHANGE
At the meeting of the City Council of the City of Hutchinson, held on February 8th, 2011, the following
Resolution was offered by
and seconded by
to wit:
WHEREAS, the Commissioner of Transportation has reconstructed Highway 7/22 through the
City of Hutchinson, and
WHEREAS, the reconstruction converted 15,402 square feet of parkland to permanent Trunk
Highway right of way as shown in Exhibit "A" and Exhibit "B ", and
WHEREAS, ponds receiving Trunk Highway runoff have been located in Masonic West River Park
and Oddfellows Park, constituting a Trunk Highway use, and
WHEREAS, the section 4(f) legislation as established under the Department of Transportation
Act of 1966 (46 USC 303, 23 USC 138) provides protection for publicly owned parks, recreational areas,
historic sites, wildlife and waterfowl refuges from conversion to other use.
NOW, THEREFORE BE IT RESOLVED BYTHE CITY COUNCIL OF THE CITY OF HUTCHINSON,
MINNESOTA:
THAT the Commissioner of Transportation will provide, to the Hutchinson Park System, the
parcel on Exhibit "C, approximately 4.04 acres, as compensation for parklands used for Trunk Highway
purposes.
Mayor, Steven W. Cook
City Administrator, Jeremy J. Carter
Mn /00T porsk.oel RMTi OF WAY PARCEL LAYOUT a`" "''%
MINNESOTA DEPARTMENT OF TRANSPORTATION fa
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S.P. 4302 -44 COUNTY MCLEOD PARCEL NO. 80
OWNER CITY OF HUTCHINSON Scale 1" = 100 fit.
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Show north arrow. Outline & locatlon of buildings & improvements. Streets or highway frontage.
C.S. 4302(7= 119 -22 -2)
S.P. 4302 -44 COUNTY MCLEOD PARCEL NO. 206
OWNER CITY OF HUTCHINSON Scale 1" = 100 ft.
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February 3, 2011
CITY OF HUTCHINSON
MEMO
Administration Department
TO: MAYOR & CITY COUNCIL
FROM: JEREMY CARTER, CITY ADMINISTRATOR
SUBJECT: JAYCEE HAIRBALL EVENT — APRIL 30TH, 2011
The Hutchinson Jaycees will be looking to host its 2 "d annual Hairball Concert on April 30`h, 2011. The concert
will take place again at the Hutchinson Civic Arena. The first year was a huge success and profits from the
event allowed the Chapter to donate and pay for almost half the cost of the new playground constructed in
Jaycee Park.
As is the case with a first time event, there are things that are learned that can be changed or modified to
improve the event. This year the event will have a few changes: 1) The event will only be open to people of 21
years of age or older (opposed to 18 years of age or older at last year's event), 2) Additional Mini -biffs in more
than one area and in a larger fenced off area will be put in place to increase the use of restrooms and to reduce
the waiting period, and 3) Increasing the liquor license from 3.2 to a full liquor license will cut down on the
number of bottles being opened, poured into glasses and discarded and will allow bottled beer (bud lite lime) to
be purchased in keg form. In addition, the event will continue to have six Hutchinson Police officers on duty
that night to ensure safety for all individuals attending the event and to ensure people returning safely to
vehicles parked in the Mall parking lot or along residential streets.
Parking on residential streets, the flow of traffic and the notification to area residents will continue to be the
same as last year. The Jaycees committee and the Hutchinson Police department are in the process of finalizing
safety issues and event details and can provide a follow -up at the next council meeting.
Thanks
Cc: Dan Hatten, Police Chief
U(b)
TENS C£ WAiC`
Fa MINNE
Minnesota Department of Public Safety
ALCOHOL AND GAMBLING ENFORCEMENT DIVISION
444 Cedar Street Suite 133, St. Paul MN 55101 -5133
(651) 201 -7507 Fax (651) 297 -5259 TTY (651) 232 -6555
W W W.DPS.STATE.MN.US
APPLICATION AND PERMIT
FOR A I TO 4 DAY TEMPORARY ON -SALE LIQUOR LICENSE
TYPE OR PRINT INFORMAL ION
l
NAME OF ORGANIZATION
DATE ORGANIZED
TAX EXEMPT NUMBER
Nufe�iiNSOrr cTa Gefs
411 /
�' /- /ygoeaeo
STREET .ADDRESS
CITY
STATE ZIP CODE
Do /,3ox G.?y
Ak.4112ren
ff/V .ss3 _0
NA--ME- OF PERSON MAKING APPLICATION
BUSINESS PHONE
HOME PHONE
//
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(-�)z3y -5 5//
moo) ySS -02//6
DATES LIQUOR WILL BE SOLD
TYPE OF O ION
0 2011
B HART BLE RELI [ THERN NPR FIT
ORGANIZATION OFFICER'S NAME
ADDRES
A41ele �/e�Son -/`Ies. i/enf
//
/91 Be,X 62 /rufC/ii il.mn /%N SS3So
ORGANIZATION OFFICER'S NAME
ADDRESS
,%rem �air�� — Treasurer
Ar 19OX 0/.?
ORGAN IZA ION OFFICER'S NAME
ADDRESS
Location license will be used. If an out area, d/escribe
9.T0 /7prrr•nmTOh .S1iceT .SLf/
7L/!i%/30n /L%/i/ SS4 S'a
e Sgmoor Ci' ✓/ c I'i�re/!a
Will the applicant contract for intoxicating liquor service? If so, gi
the name and address of the liquor licensee providing the service.
// .fOr// /ice W /'J� bt y'r0 ✓ /�ed
/ve
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Will the applicant carry liquor liability insurance? If so, please provide the carrier's name and amount of coverage.
Yes Zr/saraarr 4_ 2es7gn
a 41 0cl Cloc9
APROVAL
APPLICATION MUST BE APPROVED BY CITY OR COUNTY BEFORE SUBMITTING TO ALCOHOL & GAMBLING
ENFORCEMENT
CITY /COUNTY
DATE APPROVED
CITY FEE AMOUNT
LICENSE DATES
DATE FEE PAID
SIGNATURE CITY CLERK OR COUNTY OFFICIAL
APPROVED DIRECTOR ALCOHOL AND GAMBLING ENFORCEMENT
NOTE: Submit this form to the city or county 30 days prior to event. Forward application signed by city and /or county to the address
above. If the application is approved the Alcohol and Gambling Enforcement Division will return this application to be used as the License for the event
PS-09U79 (05/06)
�, (I)
A� ° ® CERTIFICATE OF LIABILITY INSURANCE 1
1/19/2011 ce'
THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS
CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES
BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S), AUTHORIZED
REPRESENTATIVE OR PRODUCER, AND THE CERTIFICATE HOLDER.
IMPORTANT: If the certificate holder is an ADDITIONAL INSURED, the policy(ies) must be endorsed. If SUBROGATION IS WAIVED, subject to
the terms and conditions of the policy, certain policies may require an endorsement. A statement on this certificate does not confer rights to the
certificate holder in lieu of such endorsement(s).
PRODUCER
Insurance By Design, LLC
14041 Burnhaven Drive
CONTACT Melanie Skime
NAME:
_
s: (952) 808 -7002 _ III FAX N °1. (952)1108 -71)(04
RE,.el.nies@insurancedesign.net
ADDHFSS :melanies ®insurancedesign.net _
PRODUCER 00000001
MERJDa
Suite 100
INSURER(S) AFFORDING COVERAGE
NAICN
Burnsville MN 55337
INSURED
INSURERA:Flrst Specialty Insurance Cor
$ 1,000,000
INSURERS:
X COMMERCIAL GENERAL LIABILITY
-
INSURERC:___
Minnesota Jaycees, Inc
INSURER D:
DAMAGETORENTEb
PREMISES Ea occurrence
2101 West Highway 13
INSURER E:
CLAIMSAIADE XIOCCUR
Athletic Part
INSURER F:
IIRG 15176
Burnsville MN 55337
COVERAGES CERTIFICATE NUMBER- CL1091400663 REVISION NUMBER:
THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED A13OVE FOR THE POLICY PERIOD
INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS
CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS,
EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS.
INSR
LTR
--
rypE OF
AD�DL
SUBR
-'
POLICY NUMBER
POLICY
MMIDDIYYYY
_
POLICY EXP
MMIDDNYYY
LIMITS
I - LuAnn Paulet /MKS
GENERAL LIABILITY
EACH OCCURRENCE
$ 1,000,000
X COMMERCIAL GENERAL LIABILITY
-
DAMAGETORENTEb
PREMISES Ea occurrence
$ 50,000
A
CLAIMSAIADE XIOCCUR
Athletic Part
IIRG 15176
9/22/2010
9/22/2011
MEO EXP;Any one person)
$ 5,000
PERSONAL& ADV INJURY
-
E 1,000,080
�X��Excl
n
- _
l $2,500 Deductible
GENERAL AGGREGATE
$ 11000,000
GEN' L AGGREGATE LIMIT APPLIES PER.
PRODUCTS- COMPIOP AGG
$ 2,000,000
$
I POLICY � PRO- X LOG
CT
AUTOMOBILE
LIABILITY
I
COMBINED SINGLE LIMIT
(Ea accident)
$
ANY AUTO
BODILY INJURY (Per person)
$
ALL OVMED AUTOS
BODILY IN (Per accident)
$
SCHEDULED AUTOS
HIRED ALTOS
I
I
TY DAMADAMA
PROPERGE
(Per accident)
$
$
NON -OANED AUTOS
UMBRELLA LIAR
OCCUR
EACH OCCURRENCE
_ S
AGGREGATE S -
-y
EXCESS LIAB
_
CLAIMS -MADE
'DEDUCTIBLE
—.
�— S
RETENTION $
WORKERS COMPENSATION
1 AND EMPLOYERS' LIABILITY yIN
ANY PROPRIETOR /PARTNERIEXECUTIVE
WC STATU- OF H -'
4
E L EACH ACCIDENT
$
— "-
EJ_. DISEASE - EA EMPLOYE
--
8 . _
OFFICERIMEMBER EXCLUDED' ❑'NIA
(Mandatary in NH)
E.L. DISEASE - POLICY LIMIT
$
1 es, descnbe under
DESCRIPTION OF OPERATIONS below
A
Liquor Liability
IRG 15176 19/22/2010
9/22/2011
Each C.I.P. $1,000,000
General Aggregate $1,000,000
DESCRIPTION OF OPERATIONS I LOCATIONS) VEHICLES (Attach ACORD 101, Additional Remarks Schedule, if more space Is required)
Provides evidence of insurance for the Hutchinson Jaycees as respects event to be held April 30, 2011.
The City of Hutchinson is listed as Additional Insured.
CFQTIFICATF Hru nFR CANCELLATION
ACORD 25 (2009109) © 1988 -2009 ACORD CORPORATION. All rights reserved.
INS025(200909) The ACORD name and logo are registered marks of ACORD
SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE
THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN
ACCORDANCE WITH THE POLICY PROVISIONS.
City of Hutchinson
Hutchinson, MN
AUTHORIZED REPRESENTATIVE
I - LuAnn Paulet /MKS
ACORD 25 (2009109) © 1988 -2009 ACORD CORPORATION. All rights reserved.
INS025(200909) The ACORD name and logo are registered marks of ACORD
OFFICE OF COUNTY ASSESSOR
TO THE CLERK OF THE CITY OF HUTCHINSON
McLEOD COUNTY, MINNESOTA:
NOTICE IS HEREBY GIVEN, That the 20th day of April 2011
at 4:30 o'clock P.M., has been fixed as the date for the meeting of the Board of
Appeal in your City for said year. This Meeting should be held in your office as provided
by law.
Pursuant to the provisions of Minnesota Statutes Section 274.03, you are required to
give notice of said meeting by publication and posting, no later than ten days prior to the
date of said meeting.
Given under my hand this 14th day of January 2011
114 I A"L 1,
Sue Schulz, County Ass&sor 0
McLeod County, Minnesota
Filed in my office this day of 20
Clerk
i
i
( (C)
MEMORANDUM
POLICE / EMERGENCY MANAGEMENT SERVICES
TO: Mayor and Council
FROM: Chief Dan Hattenjg
DATE: January 24, 2011
RE: Consent Agenda — Tobacco License Application — Karim Mishal
A background check was conducted on Karim Mishal in reference to his obtaining a
tobacco license in the City of Hutchinson. Mr. Mishal is planning to open a tobacco
shop at 725 Baltimore Avenue.
Mr. Mishal does not have a criminal history record. Hutchinson Police Services and the
other Logis member cities have not had contact with him. There have been several
court claims filed against Mishal none of which would preclude him from obtaining this
license.
It would be my recommendation to grant the tobacco license to Karim Mishal.
2011 -01 -0001
(-�W)
LI
yof -'%OCIVE F P-4
I ^LI
I I t Hassan StreeL Southeast of License Fee; S175.00
Hutchinson, NN 55350 License
Year:
;(310) 587-5151/Fax: (320) 234- 4240
City of Hutchinson
Application for License to Sell Tobacco at Retail
Applicant Information
k;q
-A
AfipTicarif Name Phone'MNbW
!A lijant Ad L rate
� tesss '4 ty
•
a
Business Information
IVWX 4��- A4
iq
i;
Rusin6s PloKe
Num&er
Business Name
State
zip -
7
ddr'ess
ji� L�'z 1
if4s�s AI/JI/
,
1
Contact: 1,714.1, i
Co orate Information (if applicable)
C6por5te Name
-'Mporale Phone Number
K
-Coipoicite.Udress
State
ZIP
z
The following items need to be completed and/or attached in order for the application to be processe d-
Application fee paid in full (check or money order): iyes ❑ no
Application completed in full and signed: -Ayes ❑ no
I hereby certify that I have completely filled out the entire above application, together and that the application is
true, correct, and accurate.
Signarure ofApplicanr Date
Print Name Tille
VOTE: No application will beforivarded to the City Council unless received two weeks prior to the regular
Council meeting, filled out in completion, andjeepqvinent is attached.
I internal Use Unly
Building: ❑ approved Notes:
Fire ❑ approved ❑ denied Notes
Police ❑ approved ❑ denied 'Notes:
City Council 0 approved ed Q denied Notes:
rl,ba.,, d,
HUTCHINSON CITY COUNCIL
SUMMARY OF CLOSED MEETING PROCEEDINGS
CITY ADMINISTRATOR PERFORMANCE APPRAISAL
January 25, 2011
On January 25, 2011, the Hutchinson City Council closed its meeting at 4:25 p.m. to conduct the
performance appraisal for the City Administrator, Jeremy Carter. Individuals present included
the Hutchinson Mayor and City Council (Steve Cook, Bill Arndt, Mary Christensen, Chad
Czmowski, and Eric Yost), City Administrator Jeremy Carter, City Attorney Marc Sebora, and
Brenda Ewing, Human Resources Director. Mr. Carter exercised his right to close the
proceedings to the public.
The Council reviewed with Mr. Carter his performance for the period of January 1, 2010, to
present. The appraisal system allows an individual to be rated on the scale of ratings range
including Unsatisfactory (1), Needs Improvement (2), Meets Job Requirements (3), Exceeds Job
Requirements (4), and Outstanding (5).
The consensus of the Council is that Mr. Carter's cumulative performance for the review period
was found to be outstanding on the ratings scale. Mr. Carter presented to the Council specific
achievements for the review period. The list of achievements included the following:
Completing the financial statements in- house. The auditors are not to be creating these
documents. This resulted in an approximate $2,000 budget savings. It is the intent to
complete these documents in -house for the 2010 budget.
Create City Investment Policy
Implement a City -Wide Accounting policy Manual. This is in the final stage review.
Refining the 5 -year Budget & Guidelines
The other miscellaneous accomplishments included:
1. Hospital bond refinancing / City bond refinancing
2. Obtaining short and long term financing for hospital and the senior care project
3_ Increasing utility billing ACH payment participation and reviewing the potential of on-
line payments. Working to secure a 3` party vendor to process bank payment files. The
objectives are to improve efficiencies and to maintain the current utility billing staffing
levels.
4. Balance the 2011 General Fund budget
5. Adopted the fund balance accounting guidelines as part of GASB
6. Worked with Administrator Plotz and Human Resources to control health care costs and
promote an effective wellness program
7. Improved cost accounting controls at Creek Side and general refinement of the operation
Mr. Carter then reviewed with the Council his recommendations for City Administrator
initiatives for 2011. The list provided includes:
cc (- -e)
I . Implementation of a formal employee wellness program (3 year plan). The stated goal is
to reduce health care costs by 10% by year three of the program.
2. Implementation of a formal volunteer program
3. Review of internal City policies, recommend and implement required updates, changes..
and /or corrections. The goal is consistency, adherence to policy and excellence in the
administration of policies as well as the promotion of professionalism, values and ethics.
4. Initiate working toward implementing GFOA Budgeting Format with utilization of a
Metric System of measurements. The ultimate goal is to achieve the GFOA certification
in this area.
5. Develop and Implement a City -wide Master Facilities Plan that objectively prioritizes our
facilities and necessary maintenance and repairs and matches the available funding to the
list. This initiative ties in with the 5 -year CIP plan.
Human Resources Director, Brenda Ewing, informed the City Council that Mr. Carter's current
pay rate is at compa ratio 100.0 on the 2011 pay grid. Depending on the performance appraisal
cumulative rating determined by the Council, Mr. Carter is eligible for a pay rate increase from
0% to 4 %.
Motion by Mr. Czmowski to determine a performance appraisal score of 4.30 that equates to a
4% increase effective March 6, 2011, second by Ms. Christensen. There was discussion
regarding the current salary rate. Motion passed unanimously.
Motion by Mr. Czmowski, second by Mr. Arndt to adopt the five (5) primary initiatives
presented by Mr. Carter for consideration at City Administrator review to be conducted in
November /December 2011. The motion passed unanimously.
Motion by Mr. Arndt, second by Mr. Yost to open the closed proceedings at 527 p.m. The
motion passed unanimously.
Motion by Mr. Arndt, second by Mr. Czmowski to adjourn the meeting at 5:28 p.m. The motion
passed unanimously.
(S C-e)
RSSCKREG LOG22001VO
Check #
163931
163932
163933
163935
163936
163937
163938
163939
163940
163941
163942
163943
163944
163945
163946
163947
163948
163949
163950
163951
163952
163953
163954
163955
163956
163957
163958
163959
163960
Ck Date
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
Amount
75.00
1,166.49
3,000.00
509.38
275.00
146.33
10.62
CITY OF HUTCHINSON
Council Check Register
Vendor/ Explanation
10,000 LAKES CHAPTER
A -Z RESTAURANT EQUIP CO
ABDO, DICK & MEYERS
ACE HARDWARE
ADVANTAGE PLUMBING & HEATING I
AG SYSTEMS
ALBERTS, MARK
100.00
AMEM
149.86
AMENT, ADAM
166.16
AMERICAN BOTTLING CO
64.75
AMERICAN FAMILY INS CO.
350.00
AMERICAN LEGAL PUBLISHING CORP
264.94
AMERICAN MESSAGING
580.00
AMERICAN PUBLIC WORKS ASSN
57.50
AMERICAN WATERWORKS ASSOC.
72.37
AMERIPRIDE LINEN & APPAREL
7,942.52
ANDERSON CHEMICAL COMPANY
102.70
ARAMARK UNIFORM SERVICE
178.87 ARCTIC GLACIER PREMIUM ICE INC
309.00 ASCAP
2,031.29 B. W. WELDING
232.00 BAHE, MICHAEL
3,159.22 BELLBOY CORP
529.31
BERGER PLUMBING HEATING AC
1,417.73
BERNICK'S
1,110.00
BERNICK'S FOOD SERVICE
111.55
BRANDON TIRE CO
290.00 BREYER, TODD
670.00 BROTHERS FIRE PROTECTION COMPA
2/8/2011
Account Description
DUES & SUBSCRIPTIONS
OPERATING SUPPLIES
AUDIT & FINANCE
REPAIR & MAINTENANCE SUPPLIES
PROFESSIONAL SERVICES
REPAIR & MAINTENANCE SUPPLIES
TRAVEL SCHOOL CONFERENCE
DUES & SUBSCRIPTIONS
UNIFORMS & PERSONAL EQUIP
COST OF MIX & SOFT DRINKS
ACCRUED LIFE INSURANCE
OPERATING SUPPLIES
COMMUNICATIONS
DUES & SUBSCRIPTIONS
SAFETY SUPPLIES
CONTRACT REPAIR & MAINTENANCE
CHEMICALS & PRODUCTS
SHOP MATERIALS
COST OF MIX & SOFT DRINKS
DUES & SUBSCRIPTIONS
EQUIPMENT PARTS
TRAVEL SCHOOL CONFERENCE
COST OF MIX & SOFT DRINKS
CONTRACT REPAIR & MAINTENANCE
FOOD PRODUCTS - CONCESSION
FOOD PRODUCTS - CONCESSION
CENTRAL GARAGE REPAIR
OTHER CONTRACTUAL
PROFESSIONAL SERVICES
KI-SM -11
163962
163963
163964
163965
163966
163967
163968
163969
163970
163971
163972
163973
163974
163975
163976
163977
163978
163979
163980
163981
163982
163983
163984
163985
163986
163987
163988
163989
163990
163991
163992
163993
163994
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
475.14 BUSHMAN, RAQUEL
1,507.77 BUSINESSWARE SOLUTIONS
16,855.90 C & L DISTRIBUTING
48.00
CARTER, JEREMY
273.46
CENTRAL HYDRAULICS
79.45
COMDATA CORPORATION
1,282.50
COUNTRYSIDE FLAGPOLE
44.77
CROW RIVER AUTO & TRUCK REPAIR
288.38
CROW RIVER GLASS & SIGNS
279.65
CROW RIVER PRESS INC
6,756.90
DAY DISTRIBUTING
960.00
DEATONS MAILING SYSTEM
2,503.36
OLT SOLUTIONS
377.00
DOMINO'S PIZZA
85.55
DROP -N -GO SHIPPING, INC
16.76
DUENOW, TYLER
1,005.78
DYNA SYSTEMS
1,453.16
E2 ELECTRICAL SERVICES INC
5.65
EBERT, PAT
125.04
ECOLAB PEST ELIM
205.20
ELECTRO WATCHMAN
593.96
ELECTRONIC SERVICING
30.00
ELLIOTT, TIM
112.14
EMBASSY SUITES MINNEAPOLIS
33.00
ENGINEERING MINNESOTA
37.68
FASTENAL COMPANY
961.88
FEDERAL SIGNAL CORP
229.00
FINANCE & COMMERCE
402.25
FITZGERALD, STEPHANIE
305.40
FOREST EDGE WINERY
484.25
FOUNDATION FOR CHALLENGED CHIL
286.41
G & K SERVICES
10.00
GIFFERSON, TOM
769.00
GRAND PERE WINES INC
FOOD PRODUCTS - CONCESSION
CONTRACT REPAIR & MAINTENANCE
COST OF SALES -BEER
TRAVEL SCHOOL CONFERENCE
RECEIVED NOT VOUCHERED
FOOD PRODUCTS - CONCESSION
OPERATING SUPPLIES
CENTRAL GARAGE REPAIR
CENTRAL GARAGE REPAIR
PRINTING & PUBLISHING
COST OF SALES -BEER
CONTRACT REPAIR & MAINTENANCE
DATA PROC EQUIPMENT RENTAL
FOOD PRODUCTS - CONCESSION
POSTAGE
TRAVEL SCHOOL CONFERENCE
RECEIVED NOT VOUCHERED
CONTRACT REPAIR & MAINTENANCE
TRAVEL SCHOOL CONFERENCE
RECEIVED NOT VOUCHERED
CONTRACT REPAIR & MAINTENANCE
CONTRACT REPAIR & MAINTENANCE
OTHER CONTRACTUAL
TRAVEL SCHOOL CONFERENCE
DUES & SUBSCRIPTIONS
REPAIR & MAINTENANCE SUPPLIES
MACHINERY & EQUIPMENT
DUES & SUBSCRIPTIONS
OPERATING SUPPLIES
COST OF SALES -WINE
COMPOST BAGS
OPERATING SUPPLIES
TRAVEL SCHOOL CONFERENCE
COST OF SALES -WINE
163995
2/8/2011
528.40
H.A.R.T.
ACCRUED DEFERRED COMP
163996
2/8/2011
174.00
HANNEMAN, MARK
TRAVEL SCHOOL CONFERENCE
163997
2/8/2011
1,170.00
HANSEN DIST OF SLEEPY EYE
COST OF SALES -BEER
163998
2/8/2011
5,697.50
HANSEN GRAVEL
SNOW REMOVAL
163999
2/8/2011
260.00
HANSEN & VASEK CONSTRUCTION
SNOW REMOVAL
164000
2/8/2011
267.14
HASLER, INC
RENTALS
164001
2/8/2011
20,311.64
HCVN -TV
CABLE TV
164002
2/8/2011
10,126.01
HEARTLAND CONSTRUCTION EQUIPME
RECEIVED NOT VOUCHERED
164003
2/8/2011
230.00
HEMMAH, LLOYD
OTHER CONTRACTUAL
164004
2/8/2011
1,396.85
HEWLETT - PACKARD CO
DATA PROC EQUIPMENT RENTAL
164005
2/8/2011
532.44
HILLYARD / HUTCHINSON
REPAIR & MAINTENANCE SUPPLIES
164006
2/8/2011
260.00
HJERPE CONTRACTING
SNOW REMOVAL
164007
2/8/2011
139.54
HOLT MOTORS INC
CENTRAL GARAGE REPAIR
164008
2/8/2011
495.00
HOLT TOUR & CHARTER
OTHER CONTRACTUAL
164009
2/8/2011
2,000.00
HUTCH AUTOBODY &
LOAN
164010
2/8/2011
252.00
HUTCH CAFE
OPERATING SUPPLIES
164011
2/8/2011
190.00
HUTCH ELECTRIC
PROFESSIONAL SERVICES
164012
2/8/2011
2,201.00
HUTCHINSON AREA HEALTH CARE
COMMON AREA MAINTENANCE
164013
2/8/2011
4,657.34
HUTCHINSON CONVENTION & VISITO
LODGING TAX REIMBURSEMENT
164014
2/8/2011
199.00
HUTCHINSON MEDICAL CENTER
PROFESSIONAL SERVICES
164015
2/8/2011
726.00
HUTCHINSON SENIOR ADVISORY BOA
OPERATING SUPPLIES
164016
2/8/2011
199.72
HUTCHINSON WHOLESALE
REPAIR & MAINTENANCE SUPPLIES
164017
2/8/2011
3,000.00
HUTCHINSON, CITY OF
MISCELLANEOUS
164018
2/8/2011
120.00
IACP
DUES & SUBSCRIPTIONS
164019
2/8/2011
130.00
INTERNATIONAL CODE COUNCIL INC
TRAVEL SCHOOL CONFERENCE
164020
2/8/2011
23.84
JACOBSEN, SEPTEMBER
OPERATING SUPPLIES
164021
2/8/2011
1,097.33
A TAYLOR DIST OF MN
COST OF SALES -BEER
164022
2/8/2011
35.00
JOCHUM, DANIEL
TRAVEL SCHOOL CONFERENCE
164023
2/8/2011
28,958.19
JOHNSON BROTHERS LIQUOR CO.
COST OF SALES -BEER
164024
2/8/2011
160.00
JOHNSON, RALPH
OTHER CONTRACTUAL
164025
2/8/2011
23,941.20
JUUL CONTRACTING CO
IMPROV OTHER THAN BLDGS
164026
2/8/2011
530.00
KLITZKE, LUKE
OTHER CONTRACTUAL
164027
164028
2/8/2011
2/8/2011
550.00
260.00
KLITZKE, RICHARD
KOSEK, JEFF
OTHER CONTRACTUAL
SNOW REMOVAL
164029
2/8/2011
70.77
L & P SUPPLY CO
OPERATING SUPPLIES
164030
2/8/2011
45,418.00
LEAGUE OF MN CITIES -INS TRUST
ACCURED WORKERS COMP
164031
2/8/2011
75.00
LEMA
DUES & SUBSCRIPTIONS
164032
2/8/2011
675.15
LIFE INSURANCE COMPANY OF AMER
EMPL.HEALTH & INS. BENEFIT
164033
2/8/2011
14,704.10
LOCHER BROTHERS INC
COST OF SALES -BEER
164034
2/8/2011
250.00
LOKENSGARD, THOMAS
OTHER CONTRACTUAL
164035
2/8/2011
137.00
MAGNUSSON, BRIAN
TRAVEL SCHOOL CONFERENCE
164036
2/8/2011
122.28
MARIPOSA PUBLISHING
OPERATING SUPPLIES
164037
2/8/2011
1,875.00
MBFTE
DUES & SUBSCRIPTIONS
164038
2/8/2011
68.40
MCKAY, KAREN
OPERATING SUPPLIES
164039
2/8/2011
200.00
MCLEOD COUNTY COURT ADMINISTRA
OTHER REVENUES
164040
2/8/2011
46.00
MCLEOD COUNTY RECORDER
MISCELLANEOUS
164041
2/8/2011
46.00
MCLEOD COUNTY RECORDER
PRINTING & PUBLISHING
164042
2/8/2011
246.00
MCLEOD COUNTY TREASURER
CONDITIONAL USE PERMITS
164043
2/8/2011
315.00
MCLEOD CTY DISTRICT COURT ADMI
MISCELLANEOUS
164044
2/8/2011
150.00
MECA
TRAVEL SCHOOL CONFERENCE
164045
2/8/2011
2,002.02
MENARDS HUTCHINSON
REPAIR & MAINTENANCE SUPPLIES
164046
2/8/2011
394.11
MID AMERICA BUSINESS SYSTEMS
CONTRACT REPAIR & MAINTENANCE
164047
2/8/2011
90.00
MIELKE, PHILLIP
OTHER CONTRACTUAL
164048
2/8/2011
92.86
MILLER, AMANDA
RENTS -BLDGS OTHER
164049
2/8/2011
215.28
MILLINER HERITAGE VINEYARD & WI
COST OF SALES -WINE
164050
2/8/2011
33.00
MINNEAPOLIS, CITY OF
OTHER CONTRACTUAL
164051
2/8/2011
51.00
MINNESOTA DEPT OF NATURAL RESO
MISCELLANEOUS
164052
2/8/2011
145.00
MINNESOTA ICE ARENA MANAGERS A
DUES & SUBSCRIPTIONS
164053
2/8/2011
1,090.00
MINNESOTA MUNICIPAL UTILITIES
TRAVEL SCHOOL CONFERENCE
164054
2/8/2011
375.00
MINNESOTA RURAL WATER ASSN
TRAVEL SCHOOL CONFERENCE
164055
2/8/2011
120.00
MINNESOTA SECRETARY OF STATE
DUES & SUBSCRIPTIONS
164056
2/8/2011
56.45
MINNESOTA SHREDDING
CONTRACT REPAIR & MAINTENANCE
164057
2/8/2011
750.27
MINNESOTA UNEMPLOYMENT INSURAN
UNEMPLOYMENT INSURANCE
164058
2/8/2011
2,752.00
MINNESOTA VALLEY TESTING LAB
OTHER CONTRACTUAL
164059
2/8/2011
70.00
MN SECTION CSWEA
TRAVEL SCHOOL CONFERENCE
164060
2/8/2011
36.00
MN STTE PATROL
EQUIPMENT PARTS
164061
2/8/2011
80.00
MOWER COUNTY SHERIFFS OFFICE
OTHER CONTRACTUAL
164062
2/8/2011
300.00
MPCA
TRAVEL SCHOOL CONFERENCE
164063
164064
164065
164066
164067
164068
164069
164070
164071
164072
164073
164074
164075
164076
164077
164078
164079
164080
164081
164082
164083
164084
164085
164086
164087
164088
164089
164090
164091
164092
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2,206.06 NASH FINCH COMPANY
420.62 NORTH CENTRAL LABORATORIES
3,978.29 NU- TELECOM
551.26 O'REILLY AUTO PARTS
151.38 OFFICE OF ENTERPRISE TECHNOLOG
117.31 OLSON'S LOCKSMITH
80.00 PAGGEN, JOSH
100.00 PAGGEN, MIKE
2,164.34 PAUSTIS & SONS WINE CO
14,357.53 PHILLIPS WINE & SPIRITS
1931 PLOTZ, GARY D
5,474.25 POLICE CENTRAL INC
23,202.00 POLY- AMERICA, L.P.
150.00 POPP, RANDY
1,720.00 POSTMASTER
22.62 PRO AUTO & TRANSMISSION REPAIR
140.11 PRO -BUILD
272.31 QUADE ELECTRIC
2,000.00 QUALITY CONTROL & INTEGRATION
20,538.27 QUALITY WINE & SPIRITS CO.
341.63 QUILL CORP
114.00 R & R SPECIALTIES INC
1,840.15
164093
250.00
164094
^-
164095
160.00
164096
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2/8/2011
2,206.06 NASH FINCH COMPANY
420.62 NORTH CENTRAL LABORATORIES
3,978.29 NU- TELECOM
551.26 O'REILLY AUTO PARTS
151.38 OFFICE OF ENTERPRISE TECHNOLOG
117.31 OLSON'S LOCKSMITH
80.00 PAGGEN, JOSH
100.00 PAGGEN, MIKE
2,164.34 PAUSTIS & SONS WINE CO
14,357.53 PHILLIPS WINE & SPIRITS
1931 PLOTZ, GARY D
5,474.25 POLICE CENTRAL INC
23,202.00 POLY- AMERICA, L.P.
150.00 POPP, RANDY
1,720.00 POSTMASTER
22.62 PRO AUTO & TRANSMISSION REPAIR
140.11 PRO -BUILD
272.31 QUADE ELECTRIC
2,000.00 QUALITY CONTROL & INTEGRATION
20,538.27 QUALITY WINE & SPIRITS CO.
341.63 QUILL CORP
114.00 R & R SPECIALTIES INC
1,840.15
R.J.L. TRANSFER
250.00
RACH, PATRICK
130.00
REVIER, CORDERRO
160.00
REVIER, SHANE
440.00
RIDGEWATER COLLEGE
380.00
ROCHESTER ABORISTS WORKSHOP
313.86
RUNNING'S SUPPLY
1,697.72
SAM'S CLUB
2,000.00
SCHMELING &, KAREN
2,074.42
SCHMELING OIL CO
64.20
SCOTT'S WINDOW CLEANING SERVIC
60.42
SHOPKO
CONTRACT REPAIR & MAINTENANCE
OPERATING SUPPLIES
COMMUNICATIONS
CENTRAL GARAGE REPAIR
COMMUNICATIONS
PROFESSIONAL SERVICES
OTHER CONTRACTUAL
OTHER CONTRACTUAL
COST OF SALES -WINE
COST OF SALES -WINE
TRAVEL SCHOOL CONFERENCE
DATA PROC EQUIPMENT RENTAL
RECEIVED NOT VOUCHERED
OTHER CONTRACTUAL
POSTAGE
CENTRAL GARAGE REPAIR
OPERATING SUPPLIES
RECEIVED NOT VOUCHERED
PROFESSIONAL SERVICES
COST OF SALES- LIQUOR
CLEANING SUPPLIES
CSI PIi L•C�]i � L \I �:- a+I�I_ll�iix�IJon
FREIGHT
OTHER CONTRACTUAL
OTHER CONTRACTUAL
OTHER CONTRACTUAL
TRAVEL SCHOOL CONFERENCE
TRAVEL SCHOOL CONFERENCE
OPERATING SUPPLIES
FOOD PRODUCTS - CONCESSION
LOAN
CONTRACT REPAIR & MAINTENANCE
CONTRACT REPAIR & MAINTENANCE
OPERATING SUPPLIES
164097
2/8/2011
100.00
SOUTHWEST MN CHAPTER OF ]CC
DUES & SUBSCRIPTIONS
164098
2/8/2011
2,520.13
SPRINT
COMMUNICATIONS
164099
2/8/2011
11.76
STANDARD PRINTING
PRINTING & PUBLISHING
164100
2/8/2011
840.38
STAPLES ADVANTAGE
OPERATING SUPPLIES
164101
2/8/2011
222.85
STOTTS, CASEY
TRAVEL SCHOOL CONFERENCE
164102
2/8/2011
2,558.16
SUNCOAST GARDEN PRODUCTS, INC.
164103
2/8/2011
194.60
TEK MECHANICAL
RECEIVED NOT VOUCHERED
164104
2/8/2011
103.61
TENNANT SALES & SERVICE CO
EQUIPMENT PARTS
164105
2/8/2011
1,652.82
THE HARTFORD
EMPL.HEALTH & INS. BENEFIT
164106
2/8/2011
100.00
THE ODYSSEY GROUP
TRAVEL SCHOOL CONFERENCE
164107
2/8/2011
2,700.00
TKDA
PROFESSIONAL SERVICES
164108
2/8/2011
260.00
TONY FORCIER TRUCKING
SNOW REMOVAL
164109
2/8/2011
22,289.25
TREBELHORN & ASSOC
MOTOR FUELS & LUBRICANTS
164110
2/8/2011
2,598.85
USPS - HASLER
DUE FROM HRA
164111
2/8/2011
10,379.03
VIKING BEER
COST OF SALES -BEER
164112
2/8/2011
323.55
VIKING COCA COLA
COST OF MIX & SOFT DRINKS
164113
2/8/2011
181.48
WALL STREETJOURNAL
DUES & SUBSCRIPTIONS
164114
2/8/2011
815.78
WASTE MANAGEMENT OF WI -MN
REFUSE - RECYCLING
164115
2/8/2011
1,188.00
WASTEQUIP
EQUIPMENT PARTS
164116
2/8/2011
833.33
WELLS FARGO INSURANCE SERVICES
PROFESSIONAL SERVICES
164117
2/8/2011
5,128.05
WINE COMPANY, THE
COST OF SALES -WINE
164118
2/8/2011
1,707.50
WINE MERCHANTS INC
COST OF SALES -WINE
164119
2/8/2011
10,132.99
WIRTZ BEVERAGE MINNESOTA
FREIGHT
Grand Total
Payment Instrument
Totals
Check Total
402,202.39
Total Payments
402,202.39
PAYROLL ELECTRONIC FUNDS TRANSFERS
PAYROLL DATE: 1/28/2011
Period Ending Date: 1/22/2011
$50,395.44 IRS - Withholding Tax Account
Federal Withholding
Employee /Employer FICA
Employee /Employer Medicare
$10,237.50 MN Department of Revenue
State Withholding Tax
$37,605.26 Public Employee Retirement Association
Employee /Employer PERA/DCP Contributions
$2,412.47 TASC
Employee Flex Spending Deductions
$5,748.06
TASC
Employee Deductions & Employee Contribution to
Health Savings Account
$400.00
MNDCP
Employee Contributions - Deferred Comp
$1,339.60
ING
Employee Contributions - Deferred Comp
$2,420.00
ICMA Retirement Trust
Employee Contributions - Deferred Comp
$693.58
MN Child Support System
Employee Deductions
$111,251.91 Total Electronic Funds Transfer
$3,435.19
$697.92
i-1 11
$5,061.46
$4,290.88
$13,485.45
PAYROLL ELECTRONIC FUNDS TRANSFERS
PAYROLL DATE: 1/28/2011
Period Ending Date: 1/1/2011
IRS - Withholding Tax Account
Federal Withholding
Employee /Employer FICA
Employee /Employer Medicare
MN Department of Revenue
State Withholding Tax
Sick Leave Pay Out Checks
Public Employee Retirement Association
Employee /Employer PERA/DCP Contributions
TASC
Employee Deductions Health Savings Account
MSRS - Health Savings Plan
Employee Deductions to Health Savings Plan
Total Electronic Funds Transfer
�cf)
An Economic 0cvc1opmcn; Autnorrty
MEMORANDUM
Date: February 3, 2011
To: Honorable Mayor & City Council
From: Miles R. Seppelt, EDA Director
RE: 2010 Annual Report — Hutchinson Economic Development Authority
The EDA's annual report for 2010 has been completed and a copy is included in your
council packet. We'll have hard copies available for you on Tuesday as well.
I will have a short presentation at the City Council meeting of February 8th and will be
happy to answer any questions at that time.
In the meantime, if you have any questions or need additional information, please
give me a call at 234 -4223.
Thank you for your time and consideration.
� to-)
Hutchinson Economic Development Authority
Annual Report
Prepared by
Miles R. Seppelt, EDA Director
Colin Heintzeman, EDA Assistant
I � La)
Executive Summary
1
Governance
2
Table 1- EDA Board of Directors
2
Table 2 - EDA Finance Team
2
Internship Program
2
Activity Report
3
Business Retention & Expansion Program
3
Table 3 - Busines Retention & Expansion Visits, 2010
3
EDAM 2010 Business Recruitment Award
4
Marketing & Public Relations
4
New Industrial Park
5
Construction Completed
5
Chips Holding Company
5
Ribbon Cutting Event
5
Lot Pricing Established
5
Table 4 - Industrial Park Lot Pricing
6
Property Management
6
Grant Writing
7
Small Business Development Center
7
County Economic Development Project
7
Hutchinson Downtown Association
8
Table 5 - Downtown Association Board Members, 2010
9
Downtown Grant & Loan Programs
9
Table 6 - Sign & Awning Grants, 2010
9
Table 7 - Storefront Revitalization Matching Grants, 2010
10
Table 8 - Downtown Loans, 2010
10
Economic Development Loan Programs
10
Economic Development Loan Fund
10
MIF Loan Fund
11
EDA Finances
11
Table 9 - EDA Operations Budget, 2010
12
Summary
12
Table 10 - EDA Special Projects, 2010
13
Summary of Results: 2010 Work plan & Goals
14
2011 Work Plan & Goals
15
Appendix A - Downtown Revolving Loan Fund Status Report, 2010
Appendix B - Economic Development Loan Fund Status Report, 2010
Appendix C - MIF Loan Fund Status Report, 2010
Appendix D - EDA Year -end Financial Statements, 2010
Appendix E - Adopted EDA Budget, 2011
Appendix F - EDA Statements of Financial Position, 2008 -2010
Appendix G - Hutchinson EDA Land Holdings, 2010
� � bo-)
EXECUTIVE SUMMARY
After an extraordinarily busy 2007 — 2009, the pace of local economic development moderated
a bit in 2010, most likely due to the slower state and national economies. Even so, the
Hutchinson EDA had a busy and productive year of completing projects, closing out grants and
setting the stage for future economic development initiatives. The EDA's highlights for the year
include the following:
• Won the 2010 "Business Recruitment Award" from the Economic Development
Association of Minnesota (EDAM) for the NuCrane Manufacturing project.
• Completed 17 Business Retention & Expansion (BR &E) visits.
• Completed re- tiling of north 40 acres of the EDA -owned Stritesky property.
• Completed industrial park expansion project.
• Held ribbon - cutting / open house event to publicize new industrial park.
• Completed annexation, platting and rezoning of 5.65 acre Hackbarth property.
• Sold a 1.95 acre lot in the new industrial park to Chips Holdings, Inc.
• Demolished buildings on Wetherell site; graded & prepared site for future development.
• Created community marketing materials to assist Cornerstone Commons marketing.
• Obtained $37,500 Community Development Block Grant to establish Small Business
Development Center (SBDC) sub - center here in Hutchinson.
• Contracted with McLeod County to assist with an economic development project.
• Obtained JOBZ tax benefits for county project.
• Continued support of downtown Hutchinson by providing:
0 10 Sign & Awning Grants totaling $18,596.
0 6 Storefront Revitalization Matching Grants totaling $21,375.
0 2 Downtown loans totaling $52,370.
• Closed out $250,000 BDPI grant for the new industrial park.
• Closed out Warrior Manufacturing and Customer Elation MIF grants.
• De- federalized $700,000 in grant money; transferring $270,684 in cash to the economic
development loan fund and allocating all remaining loan payments to that fund.
I � LO-)
GOVERNANCE
The Hutchinson EDA is governed by a seven member Board of Directors comprised of business
and civic leaders from throughout the community. Two City Council members also sit on the
FDA Board and serve as a liaison between the City and the EDA. 2010 EDA Board
membership is shown in Table 1, below.
Table 1 — EDA Board of Directors
Tim Ulrich
EDA President
Citizens Bank
Mike McGraw
Vice - president
State Farm Insurance
Steve Jansick
Treasurer
Wells Fargo Bank
Jim Haugen
Member
City Council / Architect
Chad Czmowski
Member
City Council / Downtown Business
Mike Retterath
Member
3M
Daron Vanderheiden
Member
ISD 423
Advising the EDA Board on all financial matters is a 10- member Finance Team made up of
financial and legal professionals in the community. Table 2, below, lists the 2010 membership
of the EDA Finance Team.
Table 2 — EDA Finance Team
Jim Young
Chair
James Young & Associates
Mike Cannon
Member
Citizens Bank
Don Walser
Member
Kraft, Walser, Hettig & Honsey
Tim Ulrich
Member
Citizens Bank
Steve Jansick
Member
Wells Fargo Bank
Anthony Hanson
Member
Citizens Bank
Keith Fischer
Member
Wells Fargo Bank
Josh Gehlen
Member
Home State Bank
Gus Wurdell
Member
Hutchinson Mall
INTERNSHIP PROGRAM
The Hutchinson EDA continued its highly regarded internship program in
2010, hosting two interns over the course of the year. From January to
late August, Patrick Brama interned, and Eric Browne filled the position
from late August until the end of December. Both come to Hutchinson
from St. Cloud State University, where they are majoring in Community
Development.
Eric Browne
1 �
ACTIVITY REPORT
The general theme for the year's activities was "wrapping up projects." In addition to its on-
going programs, the EDA wrapped up the industrial park expansion project and completed the
implementation of various grants. The major new initiative for the year was bringing back a
Small Business Development (SBDC) sub - center to Hutchinson. In addition, the EDA won a
state -wide award for one of its 2009 projects: NuCrane Manufacturing.
Business Retention & Expansion Program
The cornerstone of the Hutchinson EDA's economic development efforts continues to be its
Business Retention & Expansion (BR & E) program. It is well established that the vast majority
of a community's job growth comes from its existing business base. In recognition of that fact,
the EDA strives to take care of Hutchinson's already existing cadre of businesses. Each year
EDA staff makes personal visits to area manufacturers with a goal of visiting every manufacturer
at least once every three years. For 2010, a total of 17 Hutchinson manufacturers were visited,
as detailed in Table 3, below:
Table 3 — Business Retention & Expansion Visits, 2010
1 Ashwill Industries
Tony Ashwill
3/26/2010
1
Busy March
2 Hutch Iron & Metal
Jay Freedland
415/2010
12
Doing well
3 SHOPKO
Myron Berry
416/2010
Doing well
4 Customer Elation
Rick Frederickson
4/28/2010
85
Doing well, adding emp.
5 Warrior Mfg,
Paul Soukup
4128/2010
38
Doing well
6 Hilliard Floor Care Company
Scott Haag
7/12/2010
Adding 3 emp. this year
7 Crow River Printing
Mark Tice
7/1212010
30
Employment steady
8 3D C -N -C
Mike Getzke
7113/2010
26
30% medical
9 Goebel Fixture Company
Dick Goebel
712712010
116
Business is great
10 Hutchinson COOP / Cenex
Mike Conner
8/3/2010
Adams Street
11 Ohly
Chad Gunderson
8/10/2010
40
need $400K for equipment?
12 Lynn Card Company
Eric Knudson
8/1712010
4
4 FT & 2 PT
13 Hutchinson Technology, Inc.
Kathleen Skarvin
8119/2010
Thailand production.
14 Nordic Components
Jermo Kumpula
11/10/2010
26
Needs building. 20K sf
15 RD Machine
Jeff Leway
11/12/2010
21
Sales up 5 %, need emp.
16 Ag Systems, Inc.
Craig Lenz
11/16/2010
70
Recent expansion
17 Pride Solutions
Justin Eggert
11117/2010
15
Four divisions
3
Iii)
EDAM 2010 Business Recruitment Award
In recognition of its efforts on the NuCrane Manufacturing project, the
Hutchinson EDA was named as the winner of the 2010 Business
Recruitment Award by the Economic Development Association of
Minnesota (EDAM).
Awards are given annually at the EDAM Summer Conference to
recognize individuals and organizations for outstanding achievement in
economic development, Nominations are submitted throughout the
spring and winners are selected by an awards committee comprised of
EDAM members.
Headquartered in Saint Paul, EDAM serves economic development
professionals throughout Minnesota and has nearly 500 members who
represent private enterprise, local and regional economic development
agencies, chambers of commerce and utilities.
� t�
Competing against the State of Georgia and the incentives they offered,
the Hutchinson EDA successfully recruited NuCrane Manufacturing to the State of Minnesota.
Project financing included an EDA - floated Industrial Development Revenue Bond, JOBZ and
loans from the Minnesota Investment Fund, Southwest Initiative Foundation and Mid- Minnesota
Development Commission.
The job creation at NuCrane. 20 within two years and up to 50 within five years, along with the
additional business it will provide to neighboring Hutchinson Manufacturing will add significantly
to the vitality of the economies of Hutchinson and the State of Minnesota.
The award is the result of a high degree of professionalism and great teamwork by the EDA
Board, EDA Finance Team, Hutchinson City Council and city staff.
Marketing & Public Relations
To help promote Hutchinson as a potential location for business expansions, EDA staff has
worked hard to develop an economic development web -site that is second to none. In
designing the site, staff considered what information would be most pertinent to businesses
looking to expand. From that exercise, it was clear that potentially expanding businesses
researching a particular community would want to know about land, buildings, financing, labor,
training & education and so forth. The EDA web -site is designed to provide all the answers a
prospective business is looking for, even for those questions that haven't thought of yet!
In addition to the web -site, the EDA maintains a listing of available land and buildings on the
State of Minnesota's "MNPRO" website. Both the EDA website and the MNPRO listings are
updated on a regular basis.
To promote good public relations on a local level, staff contributes a monthly column to "Crow
River Business" magazine, appears several times a year on KDUZ's "Community Affairs" radio
program and occasionally provides an economic development update at one of Hutchinson's
local service organizations, such as the Breakfast Club, Rotary and so forth.
4
New Industrial Park
Construction completed
Street construction on Hutchinson's new 68-
acre industrial park took place over the
course of the summer and was completed in
the fall of 2010.
Work included construction of a 10 -ton, 38-
foot wide roadway with curb & gutter
throughout- Underground infrastructure
included 10 -inch sanitary sewer and 6 -inch
water services to each of the lots in the
industrial park.
Hutchinson now has a full service state-of-
the -art industrial park providing a total of nine
lots ranging in size from 3.09 acres up to
10.5 acres
Chips Holding Company
Aerial view of the new industrial park,
provided by the Hutchinson Civil Air Patrol.
In July, Chips Holding Company. LLC purchased 1.95 acres on the east end of the new
industrial park for the establishment of a small distribution center. The location of the
warehouse, on the very east end of the new industrial park, was extremely advantageous to the
EDA as it resulted in natural gas and electric utilities being extended to all lots in the new
industrial park. The final sales price for the lot was $58,580 — which went to the city's
Community Improvement Fund as a partial reimbursement of funds that had been advanced to
purchase land for the new industrial park.
Ribbon Cutting Event
68 new acres for industrial growth
r n
To commemorate completion of the new industrial
park, a ribbon- cutting ! open house event was held
by the EDA in mid- October. Representatives of
the Hackbarth family (original owners of the land),
the City Council, EDA Finance Team, EDA Board
of Directors, the media and a number of business
leaders were in attendance — about 40 people in
all. The weather turned out very nice and the event gained significant publicity for the opening
of the new industrial park.
Lot Pricing Established
Following completion of the new industrial park, the EDA Board discussed appropriate pricing
for each of the lots. It was the consensus of the Board that it would be advantages to all
concerned to establish lot prices "up front' rather than negotiate them with each prospective
buyer. Taking into consideration the cost for land acquisition and infrastructure construction and
after evaluating the price of industrial park lots in other area cities, a price of $30,000 per acre
with no assessments was established for the majority of lots in the new industrial park. One lot
was priced at $40,000 per acre because of its high visibility location on 5" Avenue southeast
and one lot was priced at $35,000 per acre because it too had 9 Avenue frontage, but still
needed a storm water retention pond.
Brief descriptions of each lot, along with their respective prices, are provided in Table 4, bellow.
Table 4 — Industrial Park Lot Pricing
1
1
3.09
$92,700
$30,000
Needs water & sanitary sewer, has assessments
2
1
7.5
$225,000
$30,000
2
2
7.88
$236,400
$30,000
2
3
8.78
$263,400
$30,000
3
1
10.5
$315,000
$30,000
Sold to Warrior
3
2
4.11
$123,300
$30,000
3
3
3.18
$127,200
$40,000
Sth Avenue, north side
Outlot "A"
1.72
$51,600
$30,000
Sold to warrior
Hackbarth Lot
5.65
$197,750
$35,000
5th Avenue, south side; Needs pond
Total, All Lots Sold
$1,462,850
Property Management
In 2010 the EDA continued to lease out the 77.37 -acre Stritesky Property as crop land. A
competitive bidding process resulted in a high bid of $227.20 per acre, providing rental revenue
of $16,670 for the year.
In addition, the Wetherell property, located on Vh Avenue SE was leased out for the first eight
months of the year at $500 per month, providing an additional $4,000 of rental revenue to the
EDA.
Following its acquisition by the city in 1998,
the Wetherell property had been rented out
continuously for 144 months — exactly 12
years. In that time a total of $72,000 of
rental revenue was obtained and used to
provide supplemental funding for the EDA.
In mid- summer 2010 the Wetherell family
voided the time remaining on their lease,
moving out in September.
Given the potential liability of owning run-
down, vacant buildings, the FDA Board
decided to demolish all structures on the
property immediately, thereby preparing the
site for future industrial development.
C I
.e
low hid for the
Juul Contracting
provided the
demolition work_
6
C I
.e
low hid for the
An agreement was reached with Customer Elation, Inc., which has an option to purchase the
lot, to amend its option agreement with the city to include the costs of demolition. Should
Customer Elation decide to purchase the lot they would do so under the EDA's "213 land write-
down" program, which forgives 2/3 of the lot price over the course of 10 years, provided the
company does not relocate. The end result is that Customer Elation will end up covering 113 of
the demolition costs.
A breakdown of the demolition costs is provided in Table 10, on page 13, which summarizes the
EDA's special projects for 2010-
Grant Writing
The Hutchinson EDA obtained one grant in 2010 for $37,500. In the fall of the year the
Minnesota Department of Employment and Economic Development (DEED) put out a request
for proposals for the use of Community Development Block Grant Dollars to foster the creation
of microenterprises. Working in conjunction with the Southwestern Regional Small Business
Development Center the EDA was able to put together a winning proposal. Funds will be used
to establish a new SBDC sub - center in Hutchinson in 2011.
Small Business Development Center
After an absence of several years, the Small Business Development Center (SBDC) will once
again have an office in Hutchinson, thanks to the efforts of the Hutchinson EDA.
The process began this past fall, with an application to the Minnesota Department of
Employment and Economic Development for a grant to help promote the formation of
..microenterprises" (businesses having five or fewer employees) in the Hutchinson area. Funds
obtained through the grant have enabled the EDA to contract with the Southwest Regional
SBDC out of Marshall to open a sub - center here in Hutchinson. The new SBDC office will be
housed at the Ridgewater Business Center in the city's industrial park.
The SBDC provides confidential consulting at no cost to help give clients the tools they need to
run a successful business. Advice can be obtained on a variety of business topics including
feasibility analysis, start-up assistance, business plan development, finding capital, business
accounting, marketing, eCommerce, web -site development, strategic planning and more.
The SBDC provides the City of Hutchinson with another valuable tool with which to promote
economic development and foster new job creation.
County Economic Development Project
In February 2010, EDA staff was contacted by a company that was interested in establishing a
greenhouse operation for the large -scale production of 100% organic vegetables. All
vegetables produced would be sold to twin cities supermarket chains.
In addition to providing locally grown foodstuffs, the company planned to utilize "bio- energy' to
heat their greenhouses — capturing waste heat from electrical generators operated by Waste
7
'� � L)
Management, the operator of Spruce Ridge Landfill. These generators, in turn, are fueled by
methane generated by the land fill.
Staff contacted DEED about the project, and a preliminary determination was made that the
project would be eligible for both JOBZ and the Minnesota Investment Fund.
After it became evident that the project was
intended to take place outside the city limits
of Hutchinson, EDA staff notified officials at
McLeod County. That initiated a conversation
about the possibility of the county contracting
with the Hutchinson EDA for economic
development services.
Milestone Payment Award of JOBZ $6,000
Award of MIF Grant $6,000
Implementation of agreements $6,00 0
TOTAL $7
Ultimately, an agreement was reached whereby the County would pay the Hutchinson EDA a
total of $18,000 for services related to completing the project. Payments of $6,000 would be
made upon the completion of each of three steps: award of JOBZ, award of a MIF grant, and
final implementation of agreements for each.
DEED made a determination that up to $500,000 of federal MIF money could potentially be
available for the project. MIF funds would be in the form of a grant to the county, which in turn
would lend the money to the company for the purchase of equipment. As these funds are repaid
they could be used to establish a McLeod County revolving loan fund. As of this writing, the
MIF grant application is approximately 80% compete, however the company decided to delay
the final application for MIF funding until further notice.
EDA staff has completed the state's application for JOBZ and this was approved by DEED. In
support of the project, the Hutchinson EDA has transferred 10 of its JOBZ acres to Hassan
Valley Township. All that remains is for the company to sign the Business Subsidy Agreement
provided by DEED and the JOBZ portion of project financing will be complete.
As of yearend, the project was in a "standby" status as the company seeks additional equity
investors.
If successfully completed, it is estimated that the project will result in 60 jobs being created
within two years, with wages of $15 per hour with full benefits.
Hutchinson Downtown Association
The Hutchinson EDA continued to provide staff support for the Hutchinson Downtown
Association in 2010.
Comprised of 36 members, the Hutchinson Downtown Association (HDA) seeks to maintain and
enhance the vitality of downtown Hutchinson. To that end, the HDA sponsors the downtown
Farmer's Market each summer as well as "Picnic in the Park," the Library Square Popcorn
Wagon and "Main Street Christmas."
The 2010 Board of Directors for the HDA is shown in Table 5, on the following page.
� \ L611)
Table 5 — Hutchinson Downtown Association Board of Directors, 2010
Mike Cannon
Mark Cormier
Joanne Willmert
Tina McMillan
Gus Wurdell
Matt Pulkerbek
Chris Wilke
George Quast
Bill Corby
Chad Czmowski
Vice President
Hagar Jewelry
2011
Treasurer
The Village Shop
2012
Director
Hutchinson Leader
2010
Director
McKraut Holdings
2011
Director
Hometown Realty
2011
Director
Stream Computer Consulting
2012
Liaison
Historic Hutchinson
open
Liaison
Chamber of Commerce
open
Liaison
City Council / Outdoor Motion
open
Downtown Grant & Loan Programs
Between its three Main Street revitalization programs the EDA invested $92,341 into downtown
Hutchinson in 2010. When required matching dollars are factored in, a total of $113,716 was
invested in the downtown over the course of the year. Since their implementation, these
programs have played a considerable role in keeping downtown Hutchinson vibrant and
attractive.
The EDA's Sign & Awning Grant program provides up to $2,000 for downtown business owners
to purchase signage and / or awnings for their businesses. Grant awards for 2010 are shown in
Table 6, below.
Table 6 — Sign and Awning Grants, 2010
Approved -
2/24/2010 David Larson Financial $2,000
2/24/2010 Favorite Treasures $1,620
4/28/2010 LBC of Hutchinson $2,000
6/30/2010 Aquaria Pets $2,000
6/30/2010 BARTCO $2,000
10/27/2010 Crow River Wellness Center $1,842
10/27/2010 Town & Country Tire $2,000
10/27/2010 The Hanger $2,000
10/27/2010 Ann McMahon CPA, LLC $1,134
12/22/2010 Unity Uniform $2,000
TOTAL $18,596
� � kL)
The Storefront Revitalization Matching Grant program provides matching grants of up to $5,000
to downtown property owners wishing to upgrade the "curb appeal" of their buildings. Table 7,
below, lists grants awarded in 2010.
Table 7 — Storefront Revitalization Matching Grants, 2010
2/3/2010
Hutchinson Hospital Auxiliary
$740
4/28/2010
Kim Kotzer, State Farm
$5,000
6/30/2010
Aquaria Pets
$5,000
6/30/2010
Urban Hair Studio
$5,000
7/28/2010
Mark's Barber Shop
$3,100
11/24/2010 Unity Uniform $2,535
Total $21,375
The Commercial Rehabilitation Loan program provides very low interest loans to property
owners who desire to make more substantial improvements to their downtown buildings. Loans
can be for 10 years at 2% less than the Prime interest rate or for 15 years at Prime. For 2010
that translated into loans at either 1.25% or 3.25% respectively. Two loans were made in 2010,
and these are listed in Table 8, below.
Table 8 — Downtown Loans, 2010
Approved Recipient Amount
2/3/2010 Lorraine Meyer $35,000
9/22/2010 George Quast $17,370
Total $52,370
A comprehensive report on all downtown loans can be found in Appendix A.
Economic Development Loan Programs
The Hutchinson EDA has two revolving loan programs designed to facilitate manufacturing
development in the city.
Economic Development Loan Fund
At the close of 2010 the Economic Development Loan Fund had $403,080 cash available with
four loans outstanding: two to Warrior Mfg. and one each to Ashwill Industries and Customer
Elation. All loans were performing as required.
The Fund received a substantial boost when two "de- federalized" loans were transferred from
the EDA's MIF loan fund — making those dollars available for a wide variety of economic
development projects. Previously the EDA was able to obtain MIF grants of $200,000 and
$500,000 to make equipment loans to Warrior Mfg. and Customer Elation, respectively. Funds
were loaned out at a very low interest rate in exchange for a commitment by each company to
10
� � to-)
create a certain number of jobs. When both companies attained their job creation goals, the
MIF funds loaned to them were eligible to be "de- federalized" — removing all Federal restrictions
on their future use.
EDA staff completed the de- federalization process on both the Warrior Mfg. and Customer
Elation MIF loans in the fall of the year and that $700,000 has now been transferred out of the
city's MIF Loan Fund and into the EDA's Economic Development Loan Fund. Future payments
on both of these loans will flow directly to the ED loan fund.
In addition to its cash and loan portfolio, the Economic Development Loan Fund has a
receivable in the amount of $32,461 — which represents investments previously made to
develop the EDA's 77 -acre Stritesky Property. Collection of this receivable is dependent upon
there being sufficient proceeds from any future sale of that property.
Assets in the Economic Development Loan Fund totaled $927,071 as of end of the year.
Additional information on the status of economic development loans can be found in Appendix
B.
MIF Loan Fund
At the end of the year the MIF Loan Fund had $32,895 of cash available and one loan
outstanding: NuCrane Manufacturing, which was performing as required.
Once NuCrane Mfg. reaches its job creation goals, potentially as early as the second quarter of
2011, its $500,000 MIF loan will be de- federalized and those dollars transferred to the Economic
Development Loan Fund.
Total assets in the fund were $513,618 — which represented cash, loan balance outstanding and
accumulated interest earnings. Appendix C has detailed information on the remaining MIF loan
outstanding.
EDA FINANCES
The EDA's operations budget finished the year with revenues exceeding expenditures by
$12,140.
With uncertainty surrounding the future disposition of the Stritesky Property, the EDA Board
elected to budget for 2010 without any anticipated rental revenues from that property. With that
property being retained for the duration of the year, EDA revenues were $17,769 higher than
planned.
For the most part, expenditures were either on budget or slightly below. The primary exception
is the "Miscellaneous" line item, which covers membership dues, property taxes, assessments
and so forth. An assessment was levied against the new industrial park for maintenance of the
storm water drainage system. For the year this levy totaled $8,299 and was billed to the EDA
and may be reimbursed. A summary of the EDA's 2010 operations budget is provided in Table
9, on the following page.
I1
1 I ��
Table 9 — EDA Operations Budget Summary, 2010
Revenues
$167,024
$184,793
+$17,769
Expenditures
Salaries & Benefits
$126,536
$126,926
over by $390
Supplies, etc.
$4,200
$3,020
under by $1,180
Consulting
$9,000
$3,706
under by $5,294
Services & Charges
$10,450
$8,489
under by $1,961
Transfers
$5,000
$5,000
even
Miscellaneous (Taxes, etc.)
$11,100
$24,293
over by $13,193
Capital Outlays
$700
$1,181
over by $481
Total Expenditures
$166,986
$172,615
over by $5,629
OPERATIONS NET BALANCE
$38
$12,178
+$12,140
The major item here is a $8,299 storm water drainage assessment for the new industrial park, which may be reimbursed.
Over the course of 2010 the EDA Board of Directors authorized three special projects which
were funded through the operations budget. These projects, and the specific expenditures
associated with each are summarized in Table 10, shown on page 13.
Due to these projects, the cash position of the operations budget declined by $33,198, which is
reflected in the EDA Statements of Financial Position found in Appendix F.
The overall financial position of the EDA declined by $43,065 from 2009 to 2010; mostly due to
a $35,641 decline in the assets of the downtown revolving loan fund — reflecting dollars invested
into the downtown through the EDA's two grant programs. The balance of the decline is due to
special projects the EDA undertook to improve properties it owns.
The Hutchinson EDA ended the year with an estimated net worth of $3,355,000 — down slightly
from 2009's $3,398,065.
4IL'IVir 11 WI
The EDA completed a number of projects in 2010 that will set the stage for future economic
growth and job creation. Chief among these was completion of the new 68 -acre industrial park
with land that is priced below that of neighboring cities and is assessment free. By having land
that is available and ready to go today, the city is well positioned to meet the needs of any
company that is looking to expand or relocate.
Finally, in recognition of a job well done, and as a testament to excellent teamwork, the
Hutchinson EDA won the 2010 Business Recruitment Award from the Economic Development
Association of Minnesota. Now companies considering Hutchinson can factor "award - winning
economic development" into their location decision - making equation...
12
IILa)
Item
Tiling Contractor
Intake Installation
Table 10 — EDA Special Projects, 2010
Project Total
Item
Demolition Permit
Hazardous Materials Assessment
Hazardous Materials Removal
Utility Disconnect
Final Demolition
Contingency Items (15%)
Pre - demolition Inspection
Well Sealing
Furnace / sump / water heater / pressure tank
Electrical removals
Well Pit / Driveways / Fuel Tank / Cistern
Well Sealing Grant
Item
Program Fee
Geotechnical Testing
Phase I Environmental
Title Opinion
ALTA Survey
Project Total
Project Total
Expenditure Vendor
$9,725 Ewert Brothers, Inc.
150 Ewert Brothers, Inc.
".M
Expenditure
Vendor
$105
City of Hutchinson
$1,250
Assessco
$1,400
Assessco
$0
per utility
$18,450
Juul Contracting
$290
Butch Schulte
$606
Boener Well Company
$275
Advantage Plumbing & Heating
$0
Hutch Electric
$5,485
Juul Contracting
300
$Z_7�6Q.64
McLeod Soil & Water District
;hovel Ready Site
000 authorized
Certification
Expenditure
Vendor
$2,950
DEED
$2,220
Landmark Environmental
$1,700
Braun Intertec
$0
Crow River Title
$1,600
Pellinan Land Surveying
58.470
TOTAL, All Projects 4 Q�
13
I � La-)
Summary of Results: 2010 Work Plan & Goals
1 BUSINESS RENTENTION & EXPANSION STATUS
A Conduct 15 BR & E visits, as many as possible in conjunction Visited 17
with the Chamber of Commerce.
2 DOWNTOWN
A Promote new development on former Cenex site. Continuing
B Continue development of Downtown Gateway Awaiting mural
3 INDUSTRIAL PARK
Make Bio- science and renewable energy projects a
A development priority Continuing
B Complete new industrial park. DONE
Complete infrastructure construction DONE
Annex/ rezone / plat new lot (Hackbarth( DONE
C Recruit at least 1 new company for industrial park. DONE - CHIPS
D Obtain JOBZ designation for all lots in new industrial park.
4 MARKETING & PUBLIC RELATIONS
A Evaluate the need for new marketing materials. DONE
B Develop community marketing materials for Cornerstone DONE
Commons.
C Continue public relations activities. DONE
Regular appearances on KDUZ "Community Affairs" program DONE
Monthly column in Crow River Business Magazine DONE
Speaking engagements to services clubs, etc. - as invited DONE
Regular updates to EDA website DONE
5 GENERAL
A Obtain $100,000 in grants (various uses) $37,500 for SBDC
B Pursue development of McLeod County EDA. Continuing
C Do everything feasible to fill vacant "big box" buildings. Continuing
14
2011 Work Plan & Goals
1 BUSINESS RENTENTION & EXPANSION
STATUS
A Conduct 15 BR & E visits, as many as possible in conjunction with the
Chamber of Commerce.
2 DOWNTOWN
A Promote new development on former Cenex site.
Advocate paving of Les Kouba Parkway / Lind Street
B Continue development of Downtown Gateway
C Continue support of Hutchinson Downtown Association
3 INDUSTRIAL PARK & BUSINESS RECRUITMENT
A Make Bio- science and renewable energy projects a development priority
B Finalize "shovel ready" site certification for industrial park
C Recruit at least 1 new company for industrial park.
D Complete contracted McLeod County economic development project
4 MARKETING & PUBLIC RELATIONS
A Evaluate the need for new marketing materials.
B Develop community marketing materials for Cornerstone Commons.
C Continue public relations activities.
• Regular appearances on KDUZ "Community Affairs" program
Monthly column in "Crow River Business" Magazine
• Speaking engagements to services clubs, etc. - as invited
• Regular updates to EDA website
5 GENERAL
A Obtain $100,000 in grants (various uses)
B Pursue development of McLeod County EDA.
C Do everything feasible to fill vacant "big box" buildings.
15
APPENDIX A
Downtown Revolving Loan Fund
2010 Status Report
I � Lci)-
Loan
Borrower
Originated
Original Loan
Amount
Term
Rate
Monthly Pymt.
Outstanding
Balance as of
12/31/10
Maturity
1
A
2/j/1990
6,670.99
20
0.00%
$16.81
$49.84
2/1/2011
2
B
5/1/1992
$7,310.00
20
0.00%
$30.46
$883.31
5/1/2013
3
C
2/10/1993
$25,637.10
20
0.00%
$106.82
$3,739.00
11/10/2013
4
D
6/1/1993
$3,749.00
20
0.00%
$15.62
$477.75
6/1/2013
5
E
1/1/1994
$1,610.75
20
0.00%
$6.71
$233.68
1/1/2014
6
F
1/1/1996
$3,536.43
20
0.00%
$140.16
$19.95
12/1/2015
7
G
3/1/2001
$4,411.00
10
2.00%
$40.59
$22.05
12 /1/2010
8
H
5/1/2001
$53,855.00
10
2.00%
$495.54
$2,569.74
6/1/2011
9
1
5/1/2001
$1,612.34
10
2.00%
$14.84
$53.76
3/1/2011
10
1
9/1/2001
$4,110.00
10
2.00%
$37.82
$251.36
5/11/2011
11
K
9/1/2001
$33,580.50
10
2.00%
$308.99
$3,417.29
1/1/2011
12
L
12/1/2001
$59,820.00
10
2.00%
$550.42
$7,000.81
12/1/2011
13
M
4/1/2002
$27,494.00
10
2.00%
$252.98
$5,153.33
9/1/2012
14
N
12/1/2002
$17,060.00
10
2.00%
$156.97
$1,694.00
10/1/2011
15
0
12/1/2002
$2,960.00
10
2.00%
$27.24
$319.49
12/1/2012
16
P
1/1/2003
$3,000.00
10
2.00%
$27.60
$673.80
1/1/2013
17
Q
5/8/2003
$65,000.00
10
2.00%
$598.09
$18,226.44
7/1/2013
18
R
1/1/2004
$130,000.00
10
2.00%
$1,196.17
$109,134.37
5/1/2014
19
5
4/1/2004
$11,055.52
10
2.00%
$157.56
$3,451.08
5/1/2014
20
T
9/10/2004
$130,000.00
10
2.00%
$1,196.17
$51,822.70
9/1/2014
21
U
12/1/2004
$65,000.00
15
4.50%
$497.25
$44,111.76
1/1/2020
22
V
2/1/2005
$130,000.00
10
2.75%
$1,240.34
$55,698.93
2/1/2015
23
W
6/15/2007
$6,400.00
10
6.25%
$71.86
$4,833.77
6/15/2017
24
X
8/1/2008
$130,000.00
10
3.25%
$1,270.35
$102,123.26
6/1/2018
25
Y
8/1/2008
$46,703.00
10
3.00%
$450.97
$37,077.96
8/1/2018
26
Z
3/27/2009
$8,300.00
15
3.25%
$58.32
$7,615.09
3/1/2024
27
AA
5/23/2009
$118,581.69
15
3.25%
$933.62
$113,524.36
3/23/2022
28
BB
10/1/2009
$9,226.09
10
1.25%
$81.83
$8,212.21
1/1/2020
29
CC
4/1/2010
$14,857.00
10
1.25%
$135.00
$13,755.34
3/1/2020
30
DD
6/1/2010
$35,000.00
10
1.25%
$310.43
$33,054.45
6/1/2020
Totals
$1,156,540.41
$10,427.53
$629,200.88
APPENDIX B
Economic Development Loan Fund
2010 Status Report
Outstanding
Original Loan Monthly Balance as of
Loan Borrower Originated Amount Term Rate Pymt. 12/31/10 Maturity
1 A
8/28/2007
$50,000
7
4.00%
$680
$28,683
8/27/2014
2 B
1/15/2009
$30,000
6
8.00%
$526
$20,900
1/14/2015
3 A2
8/28/2007
$200,000
7
2.50%
$2,600
$108,631
8/27/2014
4 C
8/1/2008
$500,000
7
0.00%
$5,952
$333,317
7/31/2015
TOTALS
$780.000
$9.758.38
5491531
APPENDIX C
MIF Loan Fund
2010 Status Report
� � 6)k-
Original
Loan
Outstanding
Monthly Balance as of
Loan Borrower Originated Amount Term Rate Pymt. 12131110 Maturity
A 7/2/2010 $500,000 8 2.00% $5,640 $480,723 7/2/2018
TOTALS $500.000 $5.640 $480.723
r'
ALIFBIPA Me
Economic Development Authority
2010 Year End Financial Statements
� Lo)-
Hutchinson Community Development Corp - EDA (9109)
AS OF DECEMBER 31, 2010
BALANCE SHEET OPERATIONS
FULL ACCRUAL
INTERNAL USE ONLY
ASSETS TOTAL
Cash $ 127,544
Accounts Receivable -
TOTAL ASSETS 127,544
LIABILITIES
Accounts Payable 351
Accrued Payroll & Vacation 4,917
TOTAL LIABILITIES 5,268
EQUITY
Reserved - Land (Warrior Sale)
56,736
Unreserved
65,540
TOTAL FUND BALANCE
122,276
TOTAL LIABILITIES & FUND BALANCE $ 127,544
199
Hutchinson Community Development Corp - EDA (9109)
AS OF DECEMBER 31, 2010
Statement of Revenues & Expenditures
FULLACCRUAL
INTERNAL USE ONLY
Object Available
Code Description Budget December YTD Balance
REVENUES
4011 TAXES
165,024
-
153,176
11,848
4012 DELIQUENTTAXES
-
-
-
-
4013 PENALTIES &INTEREST
-
-
-
4141 HOMESTEAD CREDIT
-
5,666
11,123
(11,123)
4316 RENTS
-
-
19,670
(19,670)
4340 SALES OF PROPERTY
-
-
-
-
4625 INTEREST INCOME
1.000
-
524
476
4720 REFUNDS & REIMBURSEMENTS
1,000
-
300
700
4840 CONTRIBUTIONS & DONATIONS
-
TOTAL REVENUES
167,024
5,666
184,793
- 17,769
EXPENDITURES
6110 WAGES REG. EMPLOYEES
83,834
6.359
73,867
9,967
6122 WAGES TEMPORARY EMPLOYEES
20,500
1,667
20.012
488
6131 VACATION PAY
-
-
6,889
(6,889)
6132 HOLIDAY PAY
-
335
3,444
(3,444)
6133 SICK PAY
-
-
2,133
(2,133)
6141 PERA - COORDINATED
5,690
469
6,037
(347)
6145 FICA -CITY PORTION
8,062
507
6,447
1,615
6150 MEDICARE
1,400
119
1,506
(106)
6160 EMPL. HEALTH & INS. BENEFIT
6,400
479
5,720
680
6167 HRA ADMINISTRATION FEE
-
-
54
(54)
6169 FLEX ADMINISTRATION FEE
-
-
42
(42)
617D WORKERS COMP INSURANCE
650
61
775
(125)
TOTAL SALARIES & FRINGE BENEFITS
126,536
9,996
126,925
(390)
6205 OFFICE SUPPLIES
700
-
295
405
6210 OPERATING SUPPLIES
3,500
211
2,725
775
TOTAL SUPPLIES, REPAIRS, & MAINT.
4,100
214
3,020
1,180
6301 PROFESSIONAL SERVICES
6,000
-
3,256
2,744
6305 OTHER CONTRACTUAL
3,000
-
450
2,550
TOTAL CONSULTING
9,000
-
3,706
5,294
6310 COMMUNICATIONS
3,200
59
2,568
632
6311 POSTAGE
400
22
547
(147)
6320 TRAVEL SCHOOL CONFERENCE
1400
9
1,148
252
6321 CAR ALLOWANCE - TRAVEL
2,500
150
1.625
875
6330 ADVERTISING
-
-
443
(443)
6340 PRINTING & PUBLISHING
1,500
137
721
779
6370 CONTRACT REPAIR & MAINTENANCE
-
142
1,437
(1,437)
6379 VEHICLE RENT
500
-
-
500
6385 DATA FROG EQUIPMENT RENTAL
950
950
TOTAL OTHER SERVICE & CHARGES
10,450
519
8,489
1,961
6735 SOUTHWEST MN FOUNDATION
5,000
-
5,000
TOTAL TRANSFERS
5,000
-
5,000
-
6901 DUES & SUBSCRIPTIONS
1,000
565
872
128
6902 TAXES
9,600
-
14.819
(5219)
5909 MISCELLANEOUS
500
911
8.602
(8,102)
TOTAL MISCELLANEOUS
11,100
1,476
24,293
(13,193)
7010 LAND
-
-
-
7015 IMPROVEMENTS TO LAND
-
-
600
(600)
7030 MACHINERY & EQUIPMENT
700
581
119
TOTAL CAPITAL OUTLAYS
700
-
1,181
(481)
TOTAL EXPENDITURES
166,986
12,202
172,615
(5,629)
Revenues over (under) expenditures - Operations
$ 38
S (6,536)
$ 12,178
$ (12,140)
Special Projects:
STRITESKY PROPERTY TILING (Auth $10K)
-
-
9,875
(9,875)
WEATHERALL PROP. DEMOLITION (Auth $30K)
-
-
27,561
(27,551)
SHOVEL READY CERTIFICATION (Auth $10k)
-
2,950
8,470
TOTAL SPECIAL PROJECTS
-
2,950
45,906
(45,906)
Revenues over (under) expeditures - Total
38
(9,4Sfi)
(33.726)
33,756
iii)
Hutchinson Community Development Corp - EDA
AS OF DECEMBER 31, 2010
209 3
ECONOMIC DEVELOPMENT LOAN FUND (9114)
523,991
FULLACCRUAL
(2,7401
INTERNAL USE ONLY
ASSETS
TOTAL
Cash
3 403,080
Amovms Receivable
4D3,08D
SimeSky Property
32,41131
Ncles Receivab;e
S 927.071
Wafter Marmiaclunng
28.683
Ash li industries
20.900
Total Notes Receivable
49,583
Loans Receivable
Warrior Manufacturing
108.631
CUetomer F13W(l
333316 �
Total Loans Receivable
441,947
TOTAL ASSETS
92'7,071
LIABILITIES
Acco.-as Payanlc
209 3
Geier <cU Rcveitwts
523,991
TOTAL LIABILITIES
(2,7401
EQUITY
tuna Balance
{25.0001
Re"Ned
276.6d7
Unreserved
4D3,08D
TOTAL FUND BALANCE
403,080
TOTAL LIABILITIES 8 FUND BALANCE
S 927.071
ECONOMIC DEVELOPMENT LOAN FUND (9114)
Statement of Revenues & Expenditures
FULL ACCRUAL
INTERNAL USE ONLY
Object Available
Corte OobcAption etrdgel December YTD Balance
REVENUES
4625 IN1f RFSt FARNED
4705 LOAN RF PAYMENTS
4720 REFUNDS d REPABURSI'MEN7S
4825 IRANSFERk4
TOTAL REVENUES
EXPENDITURES
6301 PROSESSADNAL 5F RVICES
6650 LOAN
TOTAL EXPENDITURES
Revenues over (under) expenditures
2500
4n7
209 3
10,000
1732
17.740
(2,7401
-
25,000
{25.0001
276.6d7
276.637
!27653 %)
_
12.500
278,389
314,784
4302,284)
50:000
50.000
So No
$0.000
$ 37,500 $ 278.359 _$ 114,784 $ , 352,284
� � bt�)-
Hutchinson Community Development Corp - EDA
1,212
AS OF DECEMBER 31, 2010
130.000 11.503
ENERGY LOAN FUND -DOWNTOWN LOAN FUND (9115)
'42
FULL ACCRUAL
400
INTERNAL USE ONLY
132,600 11,503
ASSETS
TOTAL
Cash
5 386.902
Loans Rece,vable
629.702
Ce x Property - CapMal Asset
157 -195
Nfnght Property - CaPAW Asset
44.134
TOTAL ASSETS
1,217,933
LIABILITIES
Accounts Payable
2,518
Deferred Revenues (loans receivable)
629,702
TOTAL LIABILITIES
632,220
EQUITY
Invesled In Capilai Assets
201.329
Unreserxed
384,394
TOTAL FUND BALANCE
585,713
TOTAL LIABILITIES 6 FUND BALANCE T1
ENERGY LOAN FUND • DOWNTOWN LOAN FUND (91 '15)
Statement of Revenues & Expenditures
FULL ACCRUAL
INTERNAL USE ONLY
Object Available
Code Description Budget December YTD Balance
REVENUES
4625 INTEREST EARNED
470E COMMERCIAL LOAN REPAYMENTS
4720 REFUNDS & REIMB
TOTAL REVENUES
EXPENDITURES
6370 CONTRACT REPAIR & MAINT.
6650 LOANS
6909 MISCEt. tANEOUS
7-010 '—AND
TOTAL EXPENDITURES
Revenues over (under) expenditures
2 500 -
1,212
1,288
130.000 11.503
129.258
'42
400
0001
132,600 11,503
130,870
1,630
200,000 2 535
107,451
92.549
- -
539
1539)
200,000 2,535 107,990 92,010
(67,500) 8,968 22,880 {90,380)
) III L�)
Hutchinson Community Development Corp - EDA
AS OF DECEMBER 31, 2010
Code Description Budget December
MINN. INVEST. LOAN FUND (9120) - (NuCrane)
Balance
FULL ACCRUAL
INTERNAL USE ONLY
REVENUES
ASSETS
TOTAL
Casr,
5 3Z8�—
Loans Receivae?,
476; LOAN REPAYMENTS - 20.146
Loan INUGanei
480.723
TOTAL ASSETS
513,618
LIABILITIES
Accounts Payable
Deterred Revenues {loan rece,vable) 480723
TOTAL LIABILITIES 480,733
EQUITY
Unreserved 32,695
Reserved -
TOTAL FUND BALANCE 32,895
TOTAL LIABILITIES & FUND BALANCE 5 513,618
MINN. INVEST. LOAN FUND (9120) - (NuCrane)
Statement of Revenues & Expenditures
FULLACCRUAL
INTERNAL USE ONLY
Object
Available
Code Description Budget December
YTD
Balance
REVENUES
4625 INTEREST INCOME - -
763
1763)
476; LOAN REPAYMENTS - 20.146
136,791
(136791)
4166INTERGOVERNMENTAL REVENUE - -
_Na L030
1500,040)
4720 REFUNOS&REWS
TOTAL REVENUES - 20,146
631,554
(637.554)
EXPENDITURES
5550LOANS
67,50 TRANSFER OUT
6969 MISCELLANEOUS
7610 LAND
TOTAL EXPENDITURES
Revenues over (under) expenditures
5DO 0100 (500.`300)
276637 276,637
276,637 776.637 (500,000)
(256,499) (139,083) _ 131 7,354)
1�q
APPENDIX E
Adopted EDA Budget, 2011
oq
[included in hard copy only]
11��
APPENDIX F
Economic Development Authority
Statements of Financial Position, 2008 — 2010
iii)
Hutchinson Economic Development Authority
Statement of Financial Position, 2010
As of December 31, 2010 (UNAUDITED)
Cash
Operations
$127,544
Downtown Revolving Loan Fund
$386,902
Economic Development Revolving Loan Fund
$403,080
Minnesota Investment Fund (MIF) Loan Fund
$32,895
Total Cash
$950,421
Loans
Downtown Loans $629,902
Economic Development Loans $441,947
Minnesota Investment Fund (MIF) Loans $480,723
Land Write -Down Loans (forgivable) $91,784
Total Loans $1,644,356
Real Estate (Book value)
Wetherell Property (1.797 acres @ $51,694 / acre)
$92,894 Note 1, Note 1A
Stritesky Property (77.76 acres @ $5,208 ! acre)
$405,000
Goebel Property (5.7 acres @ $26,585.32 / acre)
$151,536
Cenex! Wright Property (3.03 acres, 3rd Ave. NW)
$351,329
Hackbarth Property (30.74 acres @ $30,000 / acre)
$922,200 Note 2
Hackbarth Property (3.18 acres $ 40K / ac; 5th Ave. n /s)
$127,200 Note 3
Hackbarth Property (5.65 acres, @ $35K / ac; 5th Ave. s /s)
$197,750
Total Real Estate
$2,247,909
TOTAL ASSETS 54.842.686
LIABILITIES
Real Estate
Cenex Property (repay CIF) ($150,000)
Cenex Property (1.75 ac. @ $32,967 / ac.; former RR right -of -way) ($57,692) Note 4
Hackbarth Property (Land Acquisition - to CIF) Note 7 ($933,221) Note 5
Hackbarth Property (Infrastructure - to CIF) ($346 773) Noce 6
Total Payable ($1,487,686)
TOTAL LIABILITIES
EDA EQUITY $13SUM
Note 1: Property initally priced at $35K / acre; adjusted to $51,694 / acre to reflect building demoliton costs
Note IA: Property subject to 2/3 land write -down program for Customer Elation ($30,965 actual)
Note 2: Reduced by $58,579.89 for sale of 1.95266 acres to CHIPS
Note 3: All Hackbarth lots north of 5th Avenue replated to be "dry" acres only and reflected in acre total noted.
Note 4: City has contract - for -deed in place; can be acquired sooner by paying McLeod County Rail Authority
Note 5: Reduced by $40,692.78 from 2009, proceeds from land sale to CHIPS
Note 6: Reduced by $17,426.80 from 2009, proceeds from infrastrucutre "sold" to CHIPS
Note 7: CIF is the city's Community Investment Fund
\ to-)-
Hutchinson Economic Development Authority
Statement of Financial Position, 2009
As of December 31, 2009 (UNAUDITED)
Cash
Operations $160,742
Downtown Revolving Loan Fund $361,672
Economic Development Revolving Loan Fund $86,544
Minnesota Investment Fund (MIF) Loan Fund $171,939
Total Cash $780,897
Deposits
Minnesota Community Capital Fund $25,000
Total Deposits $25,000
Grant Receivable
Minnesota Investment Fund
$500,000
Wetherell Property (1.797 acres @ $30,000 / acre)
$500,000
Loans
$405,000
Downtown Loans
$690,573
Economic Development Loans
$62,187
Minnesota Investment Fund (MIF) Loans
$541,485
Land Write -Down Loans (forgivable)
$116,204
Total Loans
$1,410,449
Real Estate (Book value)
Wetherell Property (1.797 acres @ $30,000 / acre)
$53,910
Stritesky Property (77.76 acres @ $5,208 / acre)
$405,000
Goebel Property (5.7 acres @ $26,585.32 / acre)
$151,536
Cenex / Wright Property (3.03 acres, 3rd Ave. NW)
$351,329
Hackbarth Property (44.79 acres)
$940,800
Hackbarth Property (6.99 acres, 5th Avenue, n /s)
$127,200
Hackbarth Property (5.65 acres, 5th Avenue, s /s)
$197,750
Total Real Estate
$2,227,525
TOTAL ASSETS 54.943.871
LIABILITIES
Real Estate
Cenex Property (repay CIF) ($150,000)
Cenex Property (1.75 ac @ $32,967 1 ac.; former RR right -of -way) ($57,692)
Hackbarth Property (Land Acquisition - to CIF) ($973,914)
Hackbarth Property (Infrastructure - to CIF) ($364 200)
Total Payable ($1,545,806)
TOTAL LIABILITIES ($1.545.806)
EDA EQUITY 3.398.065
Note: CIF = Community Investment Fund
IIg
Hutchinson Economic Development Authority
Statement of Financial Position, 2008
As of December 31, 2008 (UNAUDITED)
Cash
Operations $109,796
Downtown Revolving Loan Fund $324,140
Economic Development Revolving Loan Fund $109,349
Minnesota Investment Fund (MIF) Loan Fund $67,003
Total Cash $610,288
Deposits
Minnesota Community Capital Fund $25,000
Total Deposits $25,000
Loans
Downtown Loans
$713,067
Economic Development Loans
$59,184
Minnesota Investment Fund (MIF) Loan
$640,334
Land Write -Down Loans (forgivable)
$141,503
Total Loans
$1,554,088
Real Estate (Book value)
Wetherell Property (1.797 acres @ $30,000 / acre)
Stritesky Property (77.76 acres @ $5,208 / acre)
Goebel Property (3.86 acres @ $26,585.321 acre)
Cenex Property (2 acres total)
Hackbarth Property (68.07 acres @ $15,425 / acre)
Total Real Estate
$53,910
$405,000
$102,619
$300,000
$1.050.000
$1,911,529
TOTAL ASSETS 54.100.905
LIABILITIES
Real Estate
Cenex Property (repay City Development Fund) ($150,000)
Hackbarth Property (repay City Development Fund) ($200,000)
Hackbarth Property Contract for Deed (5 yrs @ $192,487) ($962.4351
Total Payable ($1,312,435)
TOTAL LIABILITIES (_t .312 435J
EDA EQUITY $2.788.470
) � t�)
APPENDIX G
Hutchinson EDA Land Holdings, 2010
Hutchinson EDA Land Holdings
INDUSTRIAL PARK
1140 5th Avenue SE
1.79
Goebel Property
1020 5th Avenue SE
3.86
Goebel Property
1030 5th Avenue SE
Price
Stritesky Property
Name
Location
Acres
Per Acre
Total Notes
Energy Park North 2nd Add.
Lot 1, Bilk 1
3.09
$30,000
$92,700
Energy Park North 2nd Add.
Lot 1, Blk 2
7.5
$30,000
$225,000
Energy Park North 2nd Add.
Lot 2, Elk 2
8.57
$30,000
$257,100
Energy Park North 2nd Add.
Lot 3, Bilk 2
7.23
$30,000
$216,900
Energy Park North 2nd Add.
Lot 1, Bilk 3
4.35
$30,000
$130,500
Energy Park North 2nd Add.
Lot 1, Blk 4, (5th Ave. n /s)
3.18
$40,000
$127,200
Energy Park / Hackbarth
5th Ave. (south side)
5.65
$35,000
$197,750 Will need retention pond.
Wetherell Property
1140 5th Avenue SE
1.79
Goebel Property
1020 5th Avenue SE
3.86
Goebel Property
1030 5th Avenue SE
1.84
Stritesky Property
765 Railroad Street SE
77.76
TOTALS
12432
Acres
Cenex Redevelopment
220 3rd Avenue NW
3.03
$51,694 $92,532 Customer Elation has option
$26,585 $102,619
$26,585 $48,917
$5,208 $405,000 Ponding requirements
$1.896,218
Developable
0.7575 acre $3.06 psf 25% shore land district limitation
(32,997 sf) 131,545 sq. feet total area
Hop us out .. keep your r hhcttxxxl firE rrydrant stxn-v fii3v
TO. Cifizens of the Hutchinson Fire District, Mayors, City Councils, and Town Board Supervisors
Fronx Brad Emans, Fire Chief
Date: 02/01/2011
Re: Monthly Update on Activities of the Hutchinson Fire Department for January 2011
Fire Department Response: The Fire Department responded to 44 calls for service in the month of
January.
Fire Officer Only Response: A "fire officer only" responded to 18 calls in January saving the
Hutchinson Fire District the cost of a "general" alarm estimated at $3,276.00 for the month.
Response Time (First Emergency Vehicle Out of the Door): January -4 minutes 30 seconds.
Example of a Few of the Calls:
• The FD responded to a large retailer on the south end of the city for a natural gas leak in the
service area. The gas in that area was isolated /shut off and the building ventilated;
• The FD responded to an apartment unit fire alarm, the alarm had been activating for a
considerable amount of time before anyone in the building contacted the FD;
• The FD responded to two different motor vehicle accidents in the city where victims of the accident
had to be extricated;
• The FD responded to a natural gas leak in an industrial building in the southeast part of the city, the
building was checked for high explosive levels. The building was then naturally ventilated;
• The FD responded to a person trapped in a new elevator in one of the multi -story apartment
buildings in the city. The problem turned out to be operator error;
• The FD responded to 10 carbon monoxide calls in the fire district, of the eight approximately half of
them actually had CO in their home. Causes: faulty water heater, car running in the garage, wood
buming stove exhaust pipe plugged, and a faulty furnace;
• The FD responded to residential chimney fire in the southwest part of the city. The chimney was
completely blocked due to poor maintenance on the wood buming system. The owner was advised
to have the chimney professionally inspected due to the potential damage the fire did;
• The FD responded to a large mufti- family apartment building in the southwest part of the city when
a resident forgot about the food cooking on the stove. The unit suffered minimal smoke damage.
• The FD responded to auto extrication in the rural fire district when a driver lost control of the vehicle
and struck a tree.
I I ��
Breakdown of the Calls for the Month:
City
Type of Call
Number for the Month
Residential
2
CommerciaVi ndustrial
6
Mufti-Family
4
School
1
Grass
0
Medical
5
CO
9
Rescue
5
Haz-Mat Leak/Spill
5
Vehicle
0
Sk -Wam
0
Mutual Aid
0
Total
37
Structure Fires
1
Arson
0
Rural:
Type of Call
Number for the Month
Residential
0
Commercial / Industrial
0
School
0
Farm Building
0
Grass
0
Medical
3
CO
1
Rescue
3
Haz -Mat Leak/Spill
0
Vehicle
0
Mutual Aid
0
Total
7
Structure Fires
0
Arson
0
Training: Firefighters trained on the following topicstequipment in December-
• Completed one of four annual training sessions on OSHA required subject training, they include
Lock- OutlTag -Out, Confined Space, Trench and Elevation Rescue Hazards;
• Completed the medical First Responder required training/testing as part of the 44 Plan. This
session was on CPR and AED's;
• Completed the annual equipment inventory in the building and trucks;
• Developed and implemented a "new" officer training class with a focus on incident command,
offensiveldefensive firefighting, firefighter safety, and the affects construction type has on fire.
• Page 2
I a)
Fire Prevention / Public Relations / Other information:
• Hutchinson FD developed and then hosted the first meeting of the area Fire Training Officers. This
is an attempt to start the "Shared Services" concept, originally addressed in 2010;
• The Rental Registration project for 2011 is approximately 2/3 complete; we have been very
impressed by the response from our rental property owners this year. The actual inspections of the
large apartment buildings will be taking place over the next 4-6 weeks; the apartment units are
already scheduled for the entire year and will start in the spring.
Measurements:
1. Number of calls that required more than one engine, one IC, and four firefighters and one Engine in
January: 12
2. Number of Calls that required more than the "standard required by law investigation" in January:1
3. Estimated dollars "saved in property" by the Hutchinson Fire Department response for the month
of January: $200,000
4. Estimated dollars "lost in property" to fire in January: $0
Pracacc S;alety ill the I- Ionic by fnslalling and NIuaraining Smokc I)ctcctois and GJr?x3r;
MutIoNidt. DcWchxs
• Page 3
nU)
Hutchinson Public Library Board Minutes
Monday, November 22, 2010
Present: John Paulsen, Stacey Nass, Abby Dahlquist, Guy Stone, Eric Yost, Janet Vacek, Roger Vacek, and Mary Henke, Ex-
officio
John called the meeting to order. The minutes from the Sept.27, 2010 meeting were reviewed. Abby moved the minutes
be accepted and Guy seconded the motion. Carried.
Old Business
1. Accidental Hero Program. Ninety people were present and the consensus was that it was a very good
program. Mary reviewed the event evaluation results. More men than usual were present and a lot of
people who don't usually attend our programs.
New Business
1. Legacy Funds. We are in the 2nd year of a two -year cycle and will have $7,700 to spend at the McLeod
Libraries by June 30. We brainstormed for program ideas and came up with a list of ideas.
a. Film Festival in partnership with the State Theatre
b. McLeod Co. Museum program in a trunk. Contract with Lori Pickell- Stangel, museum director to
develop another program like the Pioneer Trunk on a topic like Little Crow or McLeod County's Greatest
Generation.
c. Take a bus into the Twin Cities to go to the Science Museum to see the King Tut exhibit, the Swedish
Institute or the Bell Museum.
d. Cooperative project with the Clay Coyote, Crow River Arts, or Center for the Book Arts.
e. An event for the four McLeod Libraries to kick off the Summer Reading Program.
2. Disposal of the Old Computers. Pioneerland has cleared everything off the computers. 12
computers are about 4-5 years old and have the Windows XP program that can be added on. Other
libraries are selling their replaced computers and monitors for $50- $100. Mary asked if we should
donate them to the City if they could use them. Another option would be to give them to local charities,
Friends of the Library, Burich Foundation or the Hutchinson Community Foundation. Guy made the
motion to contact 1) City, 2) Funders of the computer replacement project, and 3) Local charities and
non - profits to find out if they could use them. Roger seconded the motion and the motion passed. If
there are any computers left, they will be offered to the library patrons.
3. Pioneerland Library System representative from Hutchinson. Roger volunteered. Steve Cook,
the mayor, may want to assign a city council member to the position. Steve, John Paulsen, and
Mary Christensen, the newly elected council member, will meet. Mary C. mayor may not be
interested in this position.
Next Meeting: There will be no December meeting unless needed. The board will be notified by email. The next
meeting will be on Monday, January 24, 2011.
Guy made a motion to adjourn the meeting, seconded by Roger, and motion carried.
Respectfully submitted,
Janet Vacek, Co- Secretary
I 10-
Sidewalk Snow Removal
Monthly Report
January 2011
Monthly Summary of Sidewalk Snow Removal Noncompliance
A summary of sidewalk snow removal notices left at properties not in compliance with Chapter
90.01 Ice and Snow on Public Sidewalks, of the Hutchinson City Code of Ordinances can be
found below. 24 hours were given to those receiving notice to remove snow deposited onto the
public sidewalk.
Number of properties that received snow removal notice I l
Number of properties cleared by City order 1 0 1
Number of properties pending compliance at month's end 1 0
Properties that were ordered to be cleared by the City
House
Street
Quadrant
Property Owner
City PID
Dean E & Amy J Hansen
417
Stoney Point Rd
SW
417 Stoney Point Rd SW
01- 116 -30 -05 -0380
Hutchinson, MN 55350
l�)
