10-10-2000 CCM
MINUTES
REGULAR MEETING - HUTCHINSON CITY COUNCIL
TUESDAY, OCTOBER 10, 2000
1. Mayor Torgerson called the meeting to order at 5:30 p.m. with the following members
present: Mayor Marlin Torgerson, Council Members Jim Haugen, John Mlinar, Kay
Peterson and Duane Hoversten. Also present: City Administrator Gary D. Plotz, Director of
Engineering John Rodeberg, Finance Director Kenneth B. Merrill, and City Attorney Marc
A. Sebora.
2. In the absence of a pastor, there was no invocation.
PRESENTATION OF APPRECIATION GIFT TO FORMER CITY COUNCIL MEMBER
JEFF HAAG
The Mayor presented Jeff Haag with a shadow box in appreciation for his service on the City
Council.
3. MINUTES
The minutes of the regular meeting of September 26, 2000 were approved as presented.
4. CONSENT AGENDA
(a) REPORTS OF OFFICERS, BOARDS AND COMMISSIONS
1. LIBRARY BOARD MINUTES OF SEPTEMBER 25, 2000
2. TREE BOARD MINUTES OF AUGUST 28, 2000
3. BUILDING REPORT FOR SEPTEMBER 2000
4. AIRPORT COMMISSION MINUTES OF AUGUST 28, 2000 AND
SEPTEMBER 25,2000
(b) RESOLUTIONS AND ORDINANCES
1. ORDINANCE NO. 00-285 - AN ORDINANCE AMENDING SECTION
4.01 OF THE HUTCHINSON CITY CODE DELETING E.1306 SPECIAL
FIRE PROTECTION SYSTEMS (SECOND READING AND ADOPT)
2. RESOLUTION NO. 11583 - RESOLUTION OF SUPPORT FOR SOUTH
GRADE TRAIL
3. RESOLUTION NO. 11585 - RESOLUTION DESIGNATING THE
LOCATION OF POLLING PLACE FOR ALL PRECINCTS AND
APPOINTING JUDGES FOR THE 2000 FEDERAL GENERAL
ELECTION AND SPECIAL CITY ELECTION
4. RESOLUTION NO. 11596 - RESOLUTION AUTHORIZING GRANT
AGREEMENT WITH DEPARTMENT OF NATURAL RESOURCES
5. RESOLUTION NO. 11597 - RESOLUTION AUTHORIZING A TAX
RATE INCREASE FOR THE 2000 TAX LEVY, COLLECTIBLE IN 2001
6. RESOLUTION NO. 11598 - RESOLUTION PROCLAIMING THE WEEK
OF OCTOBER 16-22, 2000 AS MINNESOTA MANUFACTURERS WEEK
7.
RESOLUTION NO. 11584
RESOLUTION CERTIFYING
CITY COUNCIL MINUTES - OCTOBER 10, 2000
ASSESSMENTS OF THE CITY OF HUTCHINSON TO THE COUNTY
OF MCLEOD
8. RESOLUTION NO. 11599 RESOLUTION REJECTING
IMPROVEMENT, LETTING NO.5, PROJECT NO. 00-07, 00-08, 00-09,
00-10
(c) DANCE PERMIT FOR JOSE A. PALACIOS ON NOVEMBER 11 & 25, 2000
(d) TRANSIENT MERCHANT PERMIT FOR TA.P. ENTERPRISES INC. ON
NOVEMBER 1, 2000
(e) APPOINTMENTS TO BOARDS/COMMISSIONS:
y AIRPORT COMMISSION - CHARLES "CHUCK" BRILL (FIRST TERM)
Y PARKS,IRECREATION/ COMMUNITY EDUCATION ADVISORY BOARD
TODD ERTSGAARD (SECOND TERM)
DEBBIE KOGLIN (SECOND TERM)
BRUCE PETERSON (FIRST TERM)
(f) APPROVAL OF ECONOMIC DEVELOPMENT LOAN TO ALLIED
MECHANICAL SYSTEMS
Motion by Peterson, second by Hoversten to approve the consent agenda. Motion
unanimously carried.
5. PUBLIC HEARING - NONE
6. COMMUNICATIONS, REQUESTS AND PETITIONS
(a) UPDATE ON BID OPENING RESULTS FOR FIRE TRUCKS BY FIRE CHIEF
BRAD EMANS
Fire Chief Brad Emans reported the Fire Department combined the proposed 2000
and 2001 bids into one bid for a shared city/rural rescue truck and a telescoping
platform truck. Four bids were received and opened on October 6, which were
competitive.
Emans commented that the rescue truck currently being used was 16 years old. He
stated it was estimated a replacement truck would cost between $250,000 and
$260,000. The low bid came in at $231,000, with one-half of the cost to be
absorbed by the township. Therefore, the City saved approximately $30,000.
The Fire Chief informed the City Council that the estimated cost for a 100' platform
truck was in the $650,000 to $670,000 range. Since the low bid came in at $610,000,
this was a saving of approximately $60,000.
The Fire Department Truck Committee will review the low bids to determine that
they meet the specifications. Then a recommendation for awarding the bids will be
presented to the City Council at a future meeting.
7. UNFINISHED BUSINESS
(a) DISCUSSION OF ANNEXATION AREA NEAR HWY. 7 EAST AND HWY. 22
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CITY COUNCIL MINUTES - OCTOBER 10, 2000
It was reported that staff held a neighborhood meeting in September to discuss the
issues of annexation in the Highway 7 area. No new issues were raised at the
meeting, and utility services, timing and costs were reviewed. As a result of City
Council direction, the staff met with the Township and their Attorney in an attempt
to accept an agreeable joint resolution. Some of the minor issues in the document
were resolved. However, the larger issue of annexation timing for the remaining
parcels remained unresolved.
City Attorney Richard Schieffer recommended not committing to a specific time
frame within the document because of specific future problems. He stated the City
had received multiple time extensions from the Office of Boundary Adjustments,
State Planning. If the City failed to act on the annexation by October 13,2000, the
State would assign a procedure for a "disputed annexation." One of two types of
procedures would be used: either mediation or arbitration. The parties involved
would pay for the service, namely the City and Township. The mediation process
would be less costly, and the arbitration process would involve an administrative law
judge.
Motion by Mlinar, second by Haugen to adopt a Resolution to return the annexation
issue back to the State Planning Agency for mediation or arbitration action since the
City and Township have been unable to reach a mutual agreement on the annexation.
Motion unanimously carried.
The Mayor acknowledged that a letter was received from U.S. Bank, Real Estate
Asset Management, on behalf of the Ag Systems property. It stated opposition to
the potential annexation of the three parcels along Hwy. 7 West since it would not
provide any benefit.
(b) CONSIDERATION OF ENTERING INTO AGREEMENT WITH HUTCHINSON
COMMUNITY VIDEO NETWORK, INC. (HCVN) TO INSTALL AN ANTENNA
ASSEMBL Y ON CITY CENTER ROOF
It was reported that the agreement for permission to install an antenna assembly on
the City Center roof would not be considered permanent or semi -permanent, and the
equipment would be removed by HCVN withm 10 days following written notice by
the City to HCVN.
Motion by Peterson, second by Haugen to approve and enter into agreement with
Hutchinson Community Video Network. Motion unanimously carried.
8. NEW BUSINESS
(a) CONSIDERATION OF CONSULTING CONTRACTS WITH EARTH TECH FOR:
(1) CONSTRUCTION RELATED SERVICES FOR SOUTH AREA TRUNK
SEWER; PHASE I (LETTING NO.1, PROJECT NO.1)
(2) WATER TREATMENT PLANT DESIGN REPORT AND WELL HEAD
PROTECTION PLANNING
Rodeberg reported on the two consulting contracts with Earth Tech. He
recommended to approve the contract for construction related services on the
south area trunk sewer, Phase I, and to defer the contract for water treatment
plant design/well head protection until the October 24 meeting.
Motion by Hoversten, second by Mlinar to approve and award the contract
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CITY COUNCIL MINUTES - OCTOBER 10, 2000
for the trunk sewer, Phase I, and to defer the second contract until October
24,2000. Motion unanimously carried.
(b) CONSIDERATION OF APPROVING SUBDIVISION AGREEMENTS FOR:
(1)
(2)
(3)
MENARD ADDITION
SUMMERSET ADDITION
BEAU RIDGE SUBDIVISION
Rodeberg reported there would be minimal City cost associated with the three
subdivision agreements. The Menard Addition and Summerset Addition would be
financed with private funding, and the Beau Ridge Subdivision located in the area of
Modem Mazda would not require any City cost.
Motion by Mlinar, second by Peterson to approve the subdivision agreements.
Motion unanimously carried.
(c) DISCUSSION OF TH 7 CENTRAL PROJECT STATUS
The City Engineer updated the City Council on the status of the TH 7 Central
Project. Since it will be a long process, he stated there would be many public
meetings regarding the project. He reported the project was scheduled to begin in
2006, and MN/DOT had started the process on the corridor to Culligan's on the east
end and were within their design plan. Rodeberg noted that it would take time to
acquire the necessary property to complete the project. Phase I would include Hwy.
7 to Main Street, including the Main Street bridge, and Phase II work would occur
west of Main Street. Rodeberg will keep the Council informed as information
becomes available.
(d) CONSIDERATION OF REVISED ASSESSMENT ROLLS
(1) SPECIAL ASSESSMENT ROLL NO. 5037; LETTING NO.4,
PROJECT NO. 00-05 & 00-06
Y RESOLUTION NO. 11586 - REVISED RESOLUTION DECLARING
COST TO BE ASSESSED AND ORDERING PREPARATION OF
PROPOSED ASSESSMENT, LETTING NO.4
Y RESOLUTION NO. 11587 RESOLUTION ADOPTING
REVISED ASSESSMENT, LETTING NO.4
Rodeberg reported that Assessment Roll No. 5037 pertained to improvements
on Jorgenson Street SE and Oak Lane SE. The assessment on Jorgenson was
25% less than originally assessed.
Motion by Peterson, second by Haugen to approve the revised assessment
roll and to adopt Resolutions No. 11586 and No. 11587. Motion
unanimously camed.
(2)
SPECIAL ASSESSMENT ROLL NO. 5039; LETTING NO.6
Y RESOLUTION NO. 11588-REVISED RESOLUTION DECLARING
COST TO BE ASSESSED AND ORDERING PREPARATION OF
PROPOSED ASSESSMENT, LETTING NO.6
Y RESOLUTION NO. 11589 - RESOLUTION ADOPTING REVISED
ASSESSMENT, LETTING NO.6
The City Engineer commented that the sanitary sewer project and Griffin
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CITY COUNCIL MINUTES - OCTOBER 10, 2000
(3)
(4)
Street were dropped from the revised Assessment Roll No. 5039.
Motion by Peterson, second by Hoversten to approve the revised assessment
roll and to adopt Resolutions No. 11588 and No. 11589. Motion
unanimously carried.
SPECIAL ASSESSMENT ROLL NO. 5046; LETTING NO.9
Y RESOLUTION NO. 11590 - RESOLUTION DECLARING COST TO
BE ASSESSED AND ORDERING PREPARATION OF PROPOSED
ASSESSMENT, LETTING NO.9
Y RESOLUTIONNO.11591-RESOLUTIONWAIVINGHEARINGON
PROPOSED ASSESSMENT, LETTING NO.9
Y RESOLUTION NO. 11592 RESOLUTION ADOPTING
ASSESSMENT, LETTING NO.9
Rodeberg stated an assessment cost had been added to Assessment Roll No.
5046.
Motion by Hoversten, second by Mlinar to approve the revised assessment
roll and to adopt Resolutions No. 11590, No. 11591, and No. 11592. Motion
unanimously carried.
SPECIAL ASSESSMENT ROLL NO. 5045, LETTING NO. 11
Y RESOLUTION NO. 11593 - RESOLUTION DECLARING COST TO
BE ASSESSED AND ORDERING PREPARATION OF PROPOSED
ASSESSMENT, LETTING NO. 11
Y RESOLUTIONNO.11594-RESOLUTIONWAIVINGHEARINGON
PROPOSED ASSESSMENT, LETTING NO. 11
Y RESOLUTION NO. 11595 RESOLUTION ADOPTING
ASSESSMENT, LETTING NO. 11
The City Engineer reported that $30,000 of the project cost would be
assessed to the benefited property owner, namely McLeod County Fair
Grounds.
Motion by Mlinar, second by Haugen to approve the revised Assessment Roll
No. 5045 and to adopt Resolutions No. 11593, No. 11594 and No. 11595.
Motion unanimously carried.
(e) CONSIDERATION OF OFFERING $50 DISCOUNT FOR COLUMBARIUM
NICHES TO PARTICIPANTS IN UPCOMING INFORMATIONAL SEMINAR
FOR CREMATION AND CREMATION-RELATED SERVICES
Rodeberg explained that Oakland Cemetery and Dobratz-Hantge Funeral Chapels
planned to co-host an informational seminar on cremation and related services. It
was recommended that the seminar participants be offered a a $50 discount for the
purchase of columbarium niches. The requirement was that the purchase be made
within 24 hours after the seminar concluded.
Motion by Mlinar, second by Peterson to approve the discount offer. Motion
unanimously carried.
(f) CONSIDERATION OF REQUEST BY HUTCHINSON AREA HEALTH CARE
TO PURCHASE ANESTHESIA MACHINES
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CITY COUNCIL MINUTES - OCTOBER 10, 2000
The HAHC Board requested authorization to purchase four Aestiva 3000 anesthesia
machines and four monitoring systems from Datex-Ohmedia in the amount of
$265,368, which included a trade-in allowance. The expected life of the machines
was seven years.
Motion by Mlinar, second by Haugen to approve the purchases. Motion
unanimously carried.
(g) CONSIDERATION OF AWARDING BIDS FOR SALE OF GENERAL
OBLIGATION YEAR 2000 BONDS
1. GENERAL OBLIGATION TEMPORARY PUBLIC UTILITY REVENUE
BONDS, SERIES 2000A ($4,000,000)
2. GENERAL OBLIGATION WASTEWATER TREATMENT REVENUE
BONDS, SERIES 2000B ($2,800,000)
3. GENERAL OBLIGATION IMPROVEMENT BONDS, SERIES 2000C
($2,425,000)
Mr. James D. Prosser, Financial Advisor of Ehlers & Associates, Inc., presented the
bid results for the three general obligation bonds the City of Hutchinson advertised.
He reported the following interest rates:
.:. G.O. Public Utility Revenue Bonds-Series 2000A: 4.8796%
.:. G.O. Wastewater Treatment Revenue Bonds-Series 2000B: 5.1564%
.:. G.O. Improvement Bonds-Series 2000C: 4.9414%
Motion by Mlinar, second by Peterson to approve the bids and award the sale on the
three General Obligation Bonds and to adopt Resolutions No. 11601, No. 11602 and
No. 11603. Motion unanimously carried.
9. MISCELLANEOUS
(a) COMMUNICATIONS FROM DIRECTOR OF ENGINEERING
1. Rodeberg reported that Change Order No.1, Project No. 00-20, Letting No.
7, was for the completion of street light installation on South Grade Road.
Since the Hutchinson Utilities did not have time to complete the work, a
quote was received from Duininck Bros. through Quade's. They offered a
price of$18,500, and the change order reflects this additional increase in the
contract amount. The City Engineer noted that the cost would be the same as
if the City did the work.
Motion by Haugen, second by Mlinar to approve Change Order No. 1.
Motion unanimously carried.
(2) The City Engineer stated that Change Order No.5 was for additional grading
work in the boulevards on Dale Street under Project Nos. 99-03 and 99-04,
Letting No.4. Duininck Bros. would perform the work at a net increase of
$3,482.20 in the contract amount.
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CITY COUNCIL MINUTES - OCTOBER 10, 2000
Motion by Peterson, second by Hoversten to approve Change Order No.5.
Motion unanimously carried.
(3) Rodeberg commented on several projects in progress, and he noted that today
Menards had started grading work on their site.
(b) COMMUNICATIONS FROM FINANCE DIRECTOR
Kenneth B. Merrill requested adoption of Resolution No. 11600, which would set the
interest rate for the year 2000 at 5.9%. He stated this rate was the true interest rate
of the 2000 improvement bonds plus 1 %.
Motion by Mlinar, second by Peterson to approve the 2000 interest rate and adopt
Resolution No. 11600. Motion unanimously carried.
(c) COMMUNICATIONS FROM CITY ADMINISTRATOR
Plotz suggested setting a budget workshop on October 24, 2000 at 4:00 p.m. as a
follow-up to the all-day budget workshop held today.
Motion by Mlinar, second by Haugen to set a budget workshop for October 24 at
4:00 p.m. Motion unanimously carried.
The City Administrator commented on a recent article in the October 9 edition ofthe
Star Tribune regarding garbage hauling and Waste Management. He noted that the
City was waiting for Waste Management's attorney to draw up a hauling contract
with the City of Hutchinson.
10. CLAIMS. APPROPRIATIONS AND CONTRACT PAYMENTS
(a) VERIFIED CLAIMS A & B
Motion by Peterson, second by Hoversten to approve the verified claims A and
authorize payment from appropriate funds. Motion unanimously carried.
Motion by Haugen, second by Mlinar to approve the verified claims B and authorize
payment from appropriate funds. Motion carried with Hoversten abstaining from
voting.
11. ADJOURN
There being no further business, the meeting adjourned at 6: 10 p.m.
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