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01-09-2001 CCM MINUTES REGULAR MEETING - HUTCHINSON CITY COUNCIL TUESDAY, JANUARY 9, 2001 1. Mayor Torgerson called the meeting to order at 5:30 p.m. with the following members present: Mayor Marlin Torgerson, Jim Haugen, John Mlinar, Kay Peterson and Duane Hoversten. Also present: City Administrator Gary D. Plotz, Assistant Public Works Director John Olson and City Attorney Marc A. Sebora. 2. Pastor Brian Brosz gave the invocation. 3. MINUTES The minutes ofthe regular meeting of December 12, 2000 and bid opening of December 27, 2000 were approved as presented. 4. CONSENT AGENDA (a) REPORTS OF OFFICERS, BOARDS AND COMMISSIONS 1. BUILDING OFFICIAL'S REPORT FOR DECEMBER 2000 2. CHARTER COMMISSION MINUTES OF DECEMBER 28, 2000 3. PARKS, RECREATION & COMMUNITY EDUCATION ADVISORY BOARD MINUTES OF DECEMBER 7,2000 4. TREE BOARD MINUTES OF DECEMBER 12, 2000 5. HUTCHINSON AREA HEALTH CARE BOARD MINUTES OF OCTOBER 17,2000 (b) RESOLUTIONS AND ORDINANCES 1. RESOUTION NO. 11628 - RESOLUTION FOR PURCHASE 2. RESOLUTION NO. 11629 - DESIGNATING OFFICIAL NEWSPAPER 3. RESOLUTION NO. 11630 - APPOINTING CITY ADMINISTRATOR FOR 2001 4. RESOLUTION NO. 11631 - DESIGNATION OF DEPOSITORIES OF CITY FUNDS IN COMMERCIAL BANKS AND INSTITUTIONS 5. RESOLUTION NO. 11633 -RESOLUTION APPROVING SECURITIES FOR COLLATERAL FROM CITIZENS BANK AND TRUST CO. OF HUTCHINSON, MINNESOTA 6. RESOLUTION NO. 11634 - RESOLUTION APPROVING SECURITIES FOR COLLATERAL FROM MARQUETTE BANK OF HUTCHINSON, MINNESOTA 7. RESOLUTION NO. 11635 -RESOLUTION APPROVING SECURITIES FOR COLLATERAL FROM FIRST FEDERAL FSB OF HUTCHINSON, MINNESOTA 8. RESOLUTION NO. 11636 - RESOLUTION APPROVING SECURITIES FOR COLLATERAL FROM BREMER BANK OF HUTCHINSON, MN 9. RESOLUTIONNO. 11638 - AUTHORIZING RELEASE OF FUNDS FOR CITY COUNCIL MINUTES - JANUARY 9,2001 TRANSIT SERVICE TO MCLEOD COUNTY SOCIAL SERVICE CENTER 10. RESOLUTION NO. 11639 - TRANSFERRING $126,781.18 FROM WASTEWATER DEPARTMENT; $218,392.37 FROM 2000 IMPROVEMENT CONSTRUCTION FUND; $23,621.92 FROM 1999 IMPROVEMENT CONSTRUCTION FUND TO GENERAL FUND FOR ENGINEERING AND ADMINISTRATION FEES ( c) APPOINTMENTS TO HEALTH BOARD: . DR. JAMES ALLEN . DR. DAVID BYRON . DR. DENNIS MURPHY (d) SELECTION OF COUNCIL VICE-PRESIDENT - JOHN MLINAR (e) DESIGNATION OF COUNCIL REPRESENTATIVES: 1. AIRPORT COMMISSION - Marlin Torgerson 2. HUTCHINSON AREA HEALTH CARE BOARD - Duane Hoversten 3. HUTCHINSON COMMUNITY DEVELOPMENT CORP. BOARD (EDA) - Duane Hoversten and Jim Haugen 4. HUTCHINSON HOUSING, INC. (HRA) - Duane Hoversten 5 . LIBRARY BOARD - Kay Peterson 6. MID-MINNESOTA COMMISSION - John Mlinar 7. PARKS, RECREATION, COMMUNITY EDUCATION ADVISORY BOARD - John Mlinar 8. PLANNING COMMISSION - Jim Haugen 9. HUTCHINSON SAFETY COUNCIL - Kay Peterson 10. LIGHT TRAFFIC ADVISORY BOARD - Kay Peterson 11. TELECOMMUNICATIONS COMMISSION - Marlin Torgerson (f) REQUESTS FOR OUT-OF-STATE TRAVEL 1. JULIE WISCHNACK, BUILDING/PLANNING/ZONING DIRECTOR, TO ATTEND NATIONAL AMERICAN PLANNING ASSOCIATION CONFERENCE IN NEW ORLEANS, LA, MARCH 10-14,2001 2. DIRECTOR RANDY DEVRIES, ASSISTANT PUBLIC WORKS DIRECTOR JOHN OLSEN, AND BRUCE FENSKE TO ATTEND PUMPER AND CLEANER ENVIRONMENTAL EXPO IN NASHVILLE, TN, FEBRUARY 14-18,2001 3. POLICE OFFICER CHRIS DOBRATZ TO ATTEND SEMINAR IN OMAHA, NE, FEBRUARY 4-17,2001 2 CITY COUNCIL MINUTES - JANUARY 9,2001 (g) (h) SHORT-TERM GAMBLING LICENSE FOR DUCKS UNLIMITED GAMBLING LICENSE FOR MINNESOTA WATERFOWL (MIKE E. MCGINTY, GAMBLING MANAGER) TO BE CONDUCTED AT LAMPLIGHTER LOUNGE APPOINTMENT OF FIRE DEPARTMENT OFFICERS . ASSISTANT CHIEF (TWO-YEAR TERM) CASEY STOTTS AND STEVE SCHRAMM . LIEUTENANT (TWO-YEAR TERM) DUANE HOESCHEN, ROBERT HAGEN, TIM HUIRAS, AND WESTON SCOTT (i) Motion by Mlinar, second by Peterson to approve the consent agenda except for item 4-(h), which was pulled for discussion. Motion unanimously carried. Item 4-(h) - The City Attorney reported he had performed a check on Minnesota Waterfowl, and they are a non-profit organization. Skip Quade was listed as a local reference. He noted they also have operated other gambling within the State. Hoversten inquired ifthe City Council was obligated to approve their application since they were from outside the community. The response from the City Attorney was that the City Council was under no obligation to award a gambling license. Motion by Hoversten, second by Peterson to defer to the January 23, 2001 City Council meeting. Motion unanimously carried. 5. INFORMATIONAL PUBLIC HEARING - 6:00 P.M. (a) STORM WATER DRAINAGE UTILITY John Olson gave a power point presentation on the storm water utility which included: a description of the storm water utility, procedures established in 1996, goals, a schedule, comments on open houses held December 7 and December 19, 2000, NPDES program requirements, minimum control measures, an analysis of user charges and rationale, advantages, benefits to the community, programs funded by the utility, potential capital projects, the 2001 budget of$185,000, fees and charges, and the City's proposed three-year rate phase-in. It was reported that County Commissioner Bev Wangerin was working with the County Attorney to eliminate the County ditch assessments within the City limits. At the present time, there are four county ditches that go through the City, and County ditch #18 runs into the City's storm water system. Otto Rettig, 705 Oak Street NE, commented that in spring 2000, the City did work on College Avenue. The City tried to start a fund for street repair, but only one City Council member had an interest in it since there were other funds being considered. After he had studied the issue, he could not find anything that made this a utility. Rettig did not think he would get anything back from his payment, but he thought a person should receive a benefit from an assessment. He asked why he should pay for something that did not provide benefits. Therefore, he questioned if it was a tax on storm water. Rettig stated there was silt in the water, and he had no contact with it except on the farm. He thought the silt came from the country rather than the City, and the run-off would go into the water and lakes. Rettig thought that if the State wanted the work done, they should fund the project. He stated his expenses keep 3 CITY COUNCIL MINUTES - JANUARY 9,2001 going up, and he can't keep up with the increases. Consequently, he did not intend to pay for County ditch #18 and the storm water fund unless he saw a benefit. Gene Chrast, 76 N. High Drive NE, thanked the City Engineer and staff for their work. He was the person who brought up the issue about the common ditch problem and asked the City Council for assistance. Chrast did not think it was a question for the County to resolve, and he thought he was being double charged in certain areas. He stated that when people live in the country, they are notified of an assessment. However, he did not know about this one and wondered why the County had not informed the residents. Chrast also mentioned that County ditch #11 runs across the road and into the City. Following the presentation, Olson requested that the City Council adopt Resolution No. 11637 setting the storm water utility rates for years 2001, 2002 and 2003, to waive first reading of Ordinance No. 01-289 and set second reading for January 23, 2001, and to approve the calculation procedures of the storm water credits. Motion by Haugen, second by Peterson to close the hearing at 6:40 p.m. Motion unanimously carried. Motion by Hoversten, second by Mlinar to approve and waive first reading of Ordinance No. 01-289 and set second reading for January 23, 2001. Motion unanimously carried. Motion by Mlinar, second by Hoversten to adopt Resolution No. 11637. Motion unanimously carried. Motion by Haugen, second by Hoversten to approve the calculation procedures ofthe storm water credits. Motion unanimously carried. 6. COMMUNICATIONS, REQUESTS AND PETITIONS (a) POST OFFICE PROJECT UPDATE BY DIRECTOR CHRISTIE ROCK HCDC/EDA Director Christie Rock informed the City Council that the public hearing scheduled for tonight was delayed until January 23 due to continued negotiations with the United States Postal Service. She reported that the Postal Service had completed the appraisals on all the property affected by the potential redevelopment project. Motion by Peterson, second by Mlinar to approve the hearing date of January 23, 2001 at 6:00 p.m. Motion unanimously carried. (b) CONSIDERATION OF REQUEST FROM DURWOOD "WOODY" LAMPRECHT TO SCHEDULE 2001 OKTOBERFEST THE WEEKEND OF ARTS & CRAFTS FESTIVAL Council Members Peterson and Hoversten expressed concern about holding the Oktoberfest at the same time as the annual Arts & Crafts Festival. Mlinar stated it could be a benefit to the community to have both events on the same week end, but he acknowledged that parking would be a problem. Motion by Mlinar, second by Hoversten to reject the request. Motion unanimously carried. 7. UNFINISHED BUSINESS 4 CITY COUNCIL MINUTES - JANUARY 9,2001 (a) CONSIDERATION OF CHANGE ORDER NO.8 FOR COMPOST OFFICE (DEFERRED OCTOBER 24, 2000) George Bender, Earth Tech Project Inspector, reported that Change Order No.8, (revised Change Order No.2) submitted by Raske Building Systems, was an alternate bid for the compo sting facility office. The original bid in the amount of $46,000 was deferred on October 24,2000 and never acted upon. Bender stated the final change order amount was $10,402.00 to cover the electrical and mechanical work done by on-site contractors. Since the City Park Department employees will be doing the plumbing and carpentry work in the office area, there will be a savings of $54,173.43 to the City by buying its own materials and providing the installation labor. Director Randy DeVries recommended that the City Council approve the change order. Motion by Mlinar, second by Haugen to approve Change Order No.8. Motion unanimously carried. 8. NEW BUSINESS (a) CONSIDERATION OF REQUEST TO PURCHASE A MECHANICAL FILING SYSTEM FOR PROPERTY INFORMATION PROJECT IN PLANNING/ ZONING/BUILDING DEPARTMENT Director Julie Wischnack requested authorization to purchase a mechanical filing system for the property information project in the Planning, Zoning and Building Department. She stated the Lektriever system from Mid America Business Systems would cost $14,092.81, with an additional file set up charge of approximately $2,000. Motion by Haugen, second by Hoversten to approve the purchase. Motion unanimously carried. (b) CONSIDERATION OF REQUEST FROM HUTCHINSON AREA HEALTH CARE BOARD TO PURCHASE REPLACEMENT CARDIAC MONITORING EQUIPMENT FOR SURGERY Motion by Mlinar, second by Peterson to approve the purchase of replacement cardiac monitoring equipment for surgery in the amount of $42,950. Motion unanimously carried. (c) CONSIDERATION OF CHANGE ORDER NO.2 FOR LETTING NO.9, PROJECT NO. 00-23; FIRST ADDITION TO ROLLING MEADOWS It was reported that Change Order No.2 was for drainage improvements in the First Addition to Rolling Meadows. The additional work would increase the project cost by $4,635.00 for a total cost of $223,673.03. Motion by Hoversten, second by Peterson to approve Change Order No.2. Motion unanimously carried. (d) CONSIDERATION OF REPLACEMENT OF ROTATING AIRPORT BEACON LIGHT 5 CITY COUNCIL MINUTES - JANUARY 9,2001 John Olson, Assistant Public Works Director, reported that the airport beacon needed to be replaced. MN/DOT had recommended a 60/40 grant match with the proportionate shares being $4,500 (60%) from the State and $3,000 (40%) from the City, for a total cost of$7,500. Motion by Haugen, second by Mlinar to approve and enter into grant agreement for airport improvement and to adopt Resolution No. 11640. Motion unanimously carried. (e) REMOVED FROM AGENDA (f) CONSIDERATION OF SETTING 2001 SEWER RATES Scott Young, Project Manager from Earth Tech, reviewed the wastewater rate study conducted by Earth Tech and the proposed new rates effective in 2001, as well as future rate adjustments through 2004. He reported the three primary recommendations from Earth Tech involved sewer service charge rates, sewer and water availability charges, and metering/billing practices. Young stated the sewer service charge rates would represent a 32.6% increase over the current rates, which were developed in 1988. It was recommended that the City change from a "trunk fee" for water and sewer utilities to the Sewer Availability Charge (SAC) and W ater Availability Charge (WAC) systems for new development. The proposed rates of $1 ,OOO/SAC unit and $750/WAC unit would generate approximately $155,000 a year. Earth Tech further recommended that the City consider a deduct meter system, whereby customers would be billed for their actual contribution to the sewer system. Motion by Mlinar, second by Hoversten to approve the 2001 sewer rates and recommendations. Motion unanimously carried. (g) CONSIDERATION OF AUTHORIZATION FOR SHORT -TERM INVESTMENT Motion by Peterson, second by Haugen to approve the short-term investment. Motion unanimously carried. (h) CONSIDERATION OF SETTING BUDGET WORKSHOP DATE The City Administrator distributed a proposed calendar for year 2001. It was suggested to schedule a budget workshop on January 23,2001, starting at 3:00 p.m., to discuss the City enterprise fund, budget process and parameters. Motion by Mlinar, second by Peterson to approve and set a budget workshop on January 23,2001 at 3:00 p.m. Motion unanimously carried. Plotz recommended that a visionary workshop be scheduled for February 22,2001 from 1:00 p.m. to 6:30 or 7:00 p.m. He also suggested an informational breakfast meeting of City Council Members and Directors with State Legislators on January 15,2001 from 7:30 to 9:30 a.m. at Rosie's Restaurant. In addition, Plotz mentioned holding annual meetings with the County Commissioners, Hospital Board, Utilities Commission, School Board and HCDC Board with the dates to be determined. The City Administrator also noted that the Wage Committee would be meeting in March, April and May 2001. Motion by Haugen, second by Peterson to approve the 2001 City Calendar. Motion 6 CITY COUNCIL MINUTES - JANUARY 9,2001 carried with roll call vote of Haugen, Peterson, Hoversten and Torgerson voting aye and Mlinar voting nay. (i) CONSIDERATION OF PROCEEDING WITH VEHICLE NOISE ORDINANCE The City Attorney presented a model ordinance obtained from the League of Minnesota Cities that pertained to vehicle noise within the city limits. He stated this ordinance would prohibit the jake braking system to be allowed in Hutchinson. It was also noted that the ordinance would cover problems not already addressed in existing ordinances. Following discussion, Sebora recommended that the City research what the State would allow for signage along the State highway. Motion by Mlinar, second by Peterson to direct the City Attorney to investigate the present City Ordinance regarding noise. Motion unammously carried. (j) CONSIDERATION OF AWARDING BID FOR COMPOST SCREENER Motion by Mlinar, second by Peterson to approve and award the bid to AEI- Aggregates in the amount of$233,310.00. Motion unanimously carried. (k) CONSIDERATION OF COMPOST BAGGING PROJECT Plotz recommended to table this item to the next City Council meeting since Mr. Robert Watson could not be present tonight. Motion by Mlinar, second by Peterson to defer this item to the next City Council meeting. Motion unanimously carried. 9. MISCELLANEOUS (a) COMMUNICATIONS FROM CITY ATTORNEY Sebora informed the Council that a concerned citizen had written a letter to Judge Leslie Metzen, the Chief Judge of the judicial district in Hastings, Minnesota, regarding the selection ofthe City's Charter Commission members. A meeting was held on January 8, 2001. The Judge, the concerned citizens, and the City Attorney had a discussion offthe record regarding appointment to a City Charter Commission and the outcome of the court ruling. Thereafter, the concerned citizens withdrew their objections, and the Judge appointed all persons currently sitting on the Charter Commission. (b) COMMUNICATIONS FROM COUNCIL MEMBER JOHN MLINAR Mlinar noted that the fire hydrants had been cleared of snow. He also asked for a comment from Assistant Public Works Director John Olson regarding over night parking. The Council Member further commented on the memo recently received from the Hutchinson Telephone Company. He stated that the people who had requested religious programs should contact the Phone Company or HCVN-TV. 7 CITY COUNCIL MINUTES - JANUARY 9,2001 Mlinar also inquired about the Alcoholic/Gambling Division compliance checks for violation of the liquor ordinance, and he asked if it had an effect on the ordinance. The City Attorney responded that the Police Department receives funding for the compliance checks. Therefore, if the establishments are found to be in violation, the City must enforce the existing ordinance. He reported that last week 11 businesses failed a compliance check. (c) COMMUNICATIONS FROM CITY ADMINISTRATOR Plotz summarized the discussion that took place at the Leadership Team meeting held this morning. He reported that since the ice arena consumes a large amount of energy, measures are being taken to reduce the energy conservation in this area. Also, the Police Department building has installed insulation in the roof to conserve energy. It was also recommended to turn down the thermostat and to turn off unnecessary lights in the City Center. The Mayor ordered some of the Christmas lights on Main Street to be turned off after Christmas. It was also suggested that every other street light be turned off, but the Police Chief did not recommend this action for security reasons. The City Administrator stated he was looking to the Directors for other areas in which to conserve energy. The City Administrator reported on the workshop held January 3 between the City Council and business owners regarding no smoking in restaurants. The discussion covered the span oftotal ban to limited ban on smoking. It was the consensus that an in-restaurant survey should be conducted, and the City Council would receive a summary of the results. He noted that the majority of the individuals who contacted the Mayor were concerned about no smoking in restaurants for a smoke-free environment for dining and were not concerned about the bars. Plotz commented on the City compost office to be constructed. He reported that some City employees would be doing part ofthe office construction work. The City Administrator also commented on bagging opportunities and trademark applications for the products. At the present time, the City is working on an exterior design for the bag wrapper. He also presented an update on the biosolids drying facility. Plotz reported that the Planning Coordinator position had been filled, and the City was advertising for the Building Official position. It was noted that as a result of restructuring the Downtown Study Committee and several other groups, they would be consolidated into a Main Street Group. It was requested that a City Council Member be appointed to this newly formed committee. Motion by Haugen, second by Mlinar to appoint Duane Hoversten to serve on the 8 CITY COUNCIL MINUTES - JANUARY 9,2001 Main Street Group. Motion unanimously carried. (d) COMMUNICATIONS FROM ASSISTANT PUBLIC WORKS DIRECTOR John Olson commented that he appreciated the response to "plea in share." He reported there were more than 1200 stick hours behind the snow equipment without any accidents or injuries. Olson also commended the maintenance crew and citizens for a goodjob. He further commented that some streets were signed "no parking," and he asked the residents to avoid street parking until they had been plowed curb to curb during snow removal. If the snow and ice were removed during the winter season, it would prevent potholes. 10. CLAIMS. APPROPRIATIONS AND CONTRACT PAYMENTS (a) VERIFIED CLAIMS A & B Motion by Mlinar, second by Peterson to approve the verified claims A and authorize payment from appropriate funds. Motion unanimously carried. Motion by Haugen, second by Peterson to approve the verified claims Band authorize payment from appropriate funds. Motion carried with Hoversten abstaining from voting. 11. ADJOURN There being no further business, the meeting adjourned at 7:40 p.m. 9