07-24-2001 CCM
MINUTES
REGULAR MEETING - HUTCHINSON CITY COUNCIL
TUESDAY, JULY 24, 2001
1. CALL TO ORDER- 5:30 P.M.
Mayor Torgerson called the meeting to order at 5:30 p.m. Council members Jim Haugen, John
Mlinar, Kay Peterson and Duane Hoversten were present. Others present were Gary Plotz, City
Administrator, John Rodeberg, Director of Engineering/Public Works, and City Attorneys Marc
Sebora and Dick Schieffer.
2. INVOCATION - Pastor Eric Goodwin of Peace Lutheran Church delivered the invocation
3. MINUTES
(a) REGULAR MEETING OF JULY 10,2001
(b) MINUTES FROM BID OPENING FOR LETTING NO.1 PROJECT NO. 01-01 (SCHOOL
ROAD SW) OF JULY 20,2001
The minutes were approved as presented.
4. CONSENT AGENDA
(a) REPORTS OF OFFICERS, BOARDS AND COMMISSIONS
1. HUTCHINSON HOUSING & REDEVELOPMENT AUTHORITY BOARD MEETING
MINUTES FROM JUNE 19,2001
2. PIONEERLAND LIBRARY SYSTEM BOARD MEETING MINUTES FROM MAY
17,2001
3. HUTCHINSON CHARTER COMMISSION MEETING MINUTES FROM JUNE 25,
2001, AND JULY 16,2001
4. HUTCHINSON PLANNING COMMISSION MINUTES FROM MAY 15, 2001,
MEETING
5. HUTCHINSON PLANNING COMMISSION MINUTES FROM JUNE 19, 2001,
MEETING
6. HUTCHINSON AREA HEALTH CARE BOARD OF DIRECTORS MEETING
MINUTES FROM JUNE 19,2001
7. HUTCHINSON AREA HEALTH CARE FINANCIAL REPORT FOR JUNE 2001
8. HUTCHINSON UTILITIES COMMISSION FINANCIAL REPORT FOR MAY 2001
9. CITY OF HUTCHINSON FINANCIAL REPORT FOR JUNE 2001
10. CITY OF HUTCHINSON REPORT ON INVESTMENTS FOR JUNE 2001
(b) RESOLUTIONS AND ORDINANCES
1. RESOLUTION NO. 11760 - RESOLUTION TO DONATE COMPUTER
EQUIPMENT TO INDEPENDENT SCHOOL DISTRICT 423
2. RESOLUTION NO. 11761 - RESOLUTION ESTABLISHING LOCATIONS FOR
TRAFFIC CONTROL DEVICES (MAHOGANY CT SW & ROBERTS ST SW)
CITY COUNCIL MINUTES - JULY 24,2001
3. RESOLUTION NO. 11769 - RESOLUTION FOR PURCHASE OF COMPUTER HUB
EQUIPMENT
(c) PLANNING COMMISSION ITEMS
1. CONSIDERATION OF A CONDITIONAL USE PERMIT TO DEVELOP
PARKLAND (PLAYGROUND, VOLLEYBALL COURT, BIKE AND PEDESTRIAN
TRAIL) IN AN AREA THAT IS CURRENTLY UNDEVELOPED, AS REQUESTED
BY THE CITY OF HUTCHINSON, PARKS DEPARTMENT, LOCATED IN THE
AREA OF ONTARIO STREET AND 2ND AND 3RD AVENUE (ADOPT
RESOLUTION NO. 11764)
2. CONSIDERATION OF A VARIANCE TO REDUCE THE REQUIRED SIDE YARD
SETBACK FROM 6' TO 3' AND THE REQUIRED DRIVEWAY SETBACK FROM
5' TO 2' AS REQUESTED BY JASON RUPRECHT, 575 HASSAN STREET SE
(ADOPT RESOLUTION NO. 11765)
3. CONSIDERATION OF A VARIANCE TO PLACE AN ACCESSORY BUILDING ON
THE PROPERTY LINE NEXT TO AN UNIMPROVED ALLEY AS REQUESTED BY
PAUL AND NICHOLE DIETEL, 237 COLLEGE AVENUE NE (ADOPT
RESOLUTION NO. 11766)
4. CONSIDERATION OF A CONDITIONAL USE PERMIT TO PLACE A 6'
PRIVACY FENCE IN THE FRONT YARD 2' FROM THE PROPERTY LINE AS
REQUESTED BY MURIEL FELSKA, 103 ELKS DRIVE (ADOPT RESOLUTION
NO. 11767)
5. CONSIDERATION OF A CONDITIONAL USE PERMIT TO RELOCATE GARY'S
GARAGE TO MCCLURE'S BUILDING WHICH IS ZONED 1-1, LOCATED AT 945
5TH AVENUE SE, AS REQUESTED BY DICK MCCLURE (ADOPT RESOLUTION
NO. 11768)
(d) CONSIDERATION OF PUBLIC DANCE PERMIT FOR JOSE PALACIOS FOR AUGUST
4,2001 AT HUTCHINSON NATIONAL GUARD ARMORY
(e) CONSIDERATION OF THE REAPPOINTMENT OF THOR SKEIE TO THE HRA
BOARD FOR A SECOND TERM
(f) CONSIDERATION OF SHORT-TERM ON-SALE NON-INTOXICATING MALT
LIQUOR LICENSE TO MCLEOD COUNTY AGRICULTURAL ASSOCIATION FOR
MCLEOD COUNTY FAIR
(g) CONSIDERATION OF OUT-OF-STATE TRAVEL FOR RANDY DEVRIES AND
MARION GRAHAM TO ATTEND THE WATER ENVIRONMENT FEDERATION
ANNUAL CONFERENCE IN ATLANTA, GA FROM OCTOBER 13 -17, 2001
Motion by Mlinar, second by Haugen, to approve consent agenda. Motion carried
unanimously.
5. PUBLIC HEARING - 6:00 P.M. - NONE
6. COMMUNICATIONS. REQUESTS AND PETITIONS
(a) PRESENTATION OF 2001 BIOCORP ENVIRONMENTAL AWARD TO CITY OF
HUTCHINSON
Mayor Torgerson read the letter from BioCorp awarding the City of Hutchinson the
environmental award. Mayor Torgerson presented the award to Lawrence Winter, Resource
Recovery Coordinator. Mr. Winter gave thanks to these types of corporations that are
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CITY COUNCIL MINUTES - JULY 24,2001
recognizing the City's composting efforts. Mr. Winter recognized the "team" that it took to
get the Composting Site up and running. He also thanked the city staff and City Council as
being part of the team.
Mr. Torgerson commented on the fact that he gave a tour to a gentleman from Florida. The
Floridian was very impressed with the composting facility.
(b) "THANK YOU" TO CITY OF HUTCHINSON FROM CITY OF LITCHFIELD FOR
ASSISTANCE IN STORM CLEAN-UP
Mayor Torgerson read a thank you letter from the mayor of Litchfield. Mayor Torgerson
asked that John Rodeberg pass the recognition on to his staff.
(c) UPDATE ON TAX AND LOCAL GOVERNMENT AIDS
Ken Merrill, Finance Director, explained the preliminary tax changes for the year 2002.
Levy limits are in place and will continue to be in place for the next year. Taxes must be set
by September 17, 2001. Taxes may not be increased by the levy date but may be reduced.
Mr. Merrill explained that there is no longer any Homestead and Agricultural Credit Aid
(HACA) money for cities. The City of Hutchinson did get a nice amount in local
government aid, however, due to the fact that there will be no funds from HACA, the City
actually will be receiving less money in 2002 than in 2001. Mr. Merrill noted that there is
only one other city in out-state MN that is receiving a lessor amount of funds. There is no
explanation as to why we are receiving a lessor amount. The only way these funds will be
recouped is by a local tax levy.
Mr. Merrill also explained that property taxes should be decreased within the City. The area
of concern for the city is the commercial-residential property tax decrease.
Truth In Taxation hearing is not required this year because of the late session. It would be
the City's option to hold a hearing, but the publication requirements would not have to be
met. A public notice will go out to the property owners if such hearing is scheduled.
The biggest concern for the City is that we are one of the very few cities losing state aids.
Mayor Torgerson asked Mr. Merrill to research it further. Mr. Merrill explained that he has
spoken to the League of MN Cities and they informed him that the only thing that can be
done is the fact that the formula needs to be looked at to ensure that the numbers are correct.
Mr. Merrill will continue to keep on top of the situation.
7. UNFINISHED BUSINESS
(a) CONSIDERATION OF THE PURCHASE OF A COMBINATION SEWER
MAINTENANCE JETTER/V ACUUM TRUCK
Motion by Mlinar, second by Hoversten, to approve the purchase of a combination sewer
maintenance jetter/vacuum truck from MacQueen Equipment, Inc. (State ofMN Contract
#426147, Release S-845 (5)). Motion carried unanimously.
(b) CONSIDERATION OF A VARIANCE TO INCREASE THE MAXIMUM CANOPY SIZE
ALLOWANCE AND A 48 SQ FT VARIANCE FROM THE MAXIMUM TOTAL SQ FT
ALLOWED IN A C-4 DISTRICT AS REQUESTED BY MURPHY OIL (W ALMART)
WITH STAFF RECOMMENDATION TO REJECT
Mayor Torgerson spoke with Julie Wischnack and she informed him that this item could be
deferred until the next Council meeting without Murphy Oil being penalized or having to go
through the application process again.
Motion by Peterson, second by Hoverten, to defer this item until Aug. 14, 2001 Council
meeting. Motion carried unammously.
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CITY COUNCIL MINUTES - JULY 24,2001
8. NEW BUSINESS
(a) CONSIDERATION OF AIRPORT IMPROVEMENT PROGRAM FEDERAL GRANT
Mr. Rodeberg explained that the City's match ofthis grant was included in the 2001 budget.
Federal Aviation Administration will pay 90% and the City's 10% of the funds will be for
the pavement maintenance and snow removal equipment acquisition projects included.
Motion by Peterson, second by Mlinar, to approve Airport Improvement Program federal
grant. Motion carried unanimously.
(b) CONSIDERATION OF ORDINANCE NO. 01-296 AMENDING SECTION 10.14
RELATING TO THE SIGN REGULATIONS (GAS STATIONS) (WAIVE FIRST
READING AND SET SECOND READING AND ADOPTION FOR AUGUST 14,2001)
Mr. Rodeberg explained the changes to the ordinance. He explained that it is somewhat
more lenient but not as lenient than what Murphy Oil would like. He also explained that this
ordinance would be very difficult to be "fair" to all businesses. Ms. Peterson agreed that the
size ofthe sign should be in conjunction with the size ofthe lot. Mayor Torgerson explained
that there would not be a problem if Murphy Oil would conform with the size of other gas
station signs. Mr. Hoversten suggested the Downtown Sign Committee come up with a
recommendation for next meeting. Mayor Torgerson's opinion was that the Downtown Sign
Committee dealt with more conformity issues amongst downtown businesses.
There were no issues with the actual ordinance. Mayor Torgerson asked Mr. Rodeberg ifhe
had any recommendations. He thought the new ordinance and staff recommendations
seemed in line. Mr. Plotz suggested having a workshop to discuss the sign ordinance. Mr.
Haugen explained that the sign ordinance will not be able to please all businesses.
The Council decided to obtain more information from staff and hold a Council Workshop on
August 14,2001 to discuss the sign ordinance.
Motion by Mlinar, second by Peterson to waive first reading and set second reading for
August 14,2001. Motion carried unanimously.
Motion by Mlinar, second by Peterson to set Council Workshop for August 14, 2001 to
review information from staff for second reading of ordinance.
(c) CONSIDERATION OF RESOLUTION NO. 11763 ACCEPTING BID AND AWARDING
CONTRACT FOR LETTING NO.1 PROJECT NO. 01-01 (SCHOOL ROAD SW)
This project involves milling a portion of the current bituminous surface and placing a
new bituminous overlay on School Road SW from McDonald Drive SW to TH 7.
Motion by Hoversten, second by Peterson, to approve Resolution No. 11763. Motion carried
unanimously.
9. MISCELLANEOUS
(a) COMMUNICATIONS
John Mlinar - Mr. Mlinar commented on the Hwy 212 Corridor meeting with Glencoe. The
highway stretch from Eden Prairie to Cologne is a 65 mph speed zone. The group recommends
that that speed zone stretch out to Glencoe. There were also some revisions to the Vision
Statement.
Kay Peterson - The ribbon cutting ceremony was held this afternoon for the automatic doors at
the Hutchinson Public Library. Also, on July 6, 2001, the National Guard delivered the tank to
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the McLeod County Veterans Park
Gary Plotz - Two sub-committees of the Charter Commission have been established. One is a
sub-committee working on a new chapter dealing with Hutchinson Area Health Care. A chapter
has been drafted and the sub-committee will be bringing it to the Charter Commission at the next
Commission meeting. The second sub-committee is working on language that should be used in
the Charter as it pertains to the Utilities. That sub-committee is meeting this week and should
have a draft also for the Charter Commission at the next meeting.
John Rodeberg - The SW Ring Road Open House was held last week and overall it went very
well. More meetings will be held in the future. FEMA funding may be granted for the bridge.
If funding is received, this will determine where the route goes dependent on where the bridge is
located.. Also, Rick Kjonaas, County Engineer, has resigned and accepted another position with
MnDOT.
Mr. Mlinar asked that a resolution be created to thank Rick for his services to the City. Mr.
Torge~son commended John Rodeberg for his working relationships with other government
agencies.
Mayor Torgerson read a certificate from the Board of Peace Officer Standards & Training. The
certificate was awarded to the Hutchinson Police Department in recognition of the compliance of
POST Board mandates.
10. CLAIMS. APPROPRIATIONS AND CONTRACT PAYMENTS
(a) VERIFIED CLAIMS A
Motion by Haugen, second by Mlinar to approve and authorize payment of V erified Claims A
from appropriate funds
(b) VERIFIED CLAIMS B
There were no Claims B presented to approve.
Mr. Dick Schieffer, city attorney, explained that the next portion of the meeting will be closed
due to the fact that the Council has asked for legal advice in regards to the BioSolids fire.
Members present at the closed meeting would consist of the Mayor and Council, Gary Plotz,
City Administrator, Melissa Starke, Council Secretary, Randy DeVries, Director of
Water/Wastewater Treatment Facility, and City Attorneys Dick Schieffer and Marc Sebora.
Mr. Schieffer went into some detail in regards to the events that have been happening since the
fire. Following the fire, he and Marc Sebora made the decision to shut down the facility so that
no information or equipment could be altered. There are various sub-contractors that worked on
the facility and each ofthem wanted their own opportunity to do an examination ofthe site so as
to disprove their role in regards to the fire. The League of MN Cities had a fire expert on site
and coordinated other fire experts to conduct examinations ofthe site. Those examinations were
completed in May. The computer at the site was also downloaded and that disc will be
distnbuted to the appropriate parties.
The general contractor ofthe project, McCormick, has notified the City of Hutchinson that they
will pay the re-construction costs, however they reserve the rights to sue the City or whomever
they so choose in regards to the cause of the fire. Mr. Schieffer stated that notice of claim
exceeding $300,000 had been received, including an allegation that certain controls had been
incorrectly set by city employees, and that certain parts of the equipment had not been properly
cleaned. He indicated that a discussion of legal strategy is advisable because the insurance
company sending the notice of claim would be suing for reimbursement. In addition, Mr.
Schieffer stated that the city authorized the rebuilding of the facility, but reserved it's right to
claim improper design and construction, and these legal issues should be discussed.
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Mr. Schieffer also explained the Open Meeting Law. He explained the first leg of the law states
that if there is threatened or impending litigation, the City Council has the right to a closed
meeting to obtain legal advice from their attorneys. The second leg of the law states that the
legal advice given does have to be specific to the threatened or impending litigation and not
miscellaneous matters.
Terry Davis, reporter from the Hutchinson Leader, voiced an official objection to the closing of
the meeting. His reasoning was that the filing of a contractor after an accident is very standard.
Mayor Torgerson explained that the Council will be taking the advice of their legal counsel and
will be closing the regular meeting. Mr. Hoversten stated that the reason for the closed meeting
is that legal counsel was seeking direction from the City Council and it was not just a regular
session of legal communication. Mr. Mlinar excused himself from the meeting.
Motion by Peterson, second by Hoversten to close the regular City Council meeting. Motion
carried unanimously. The regular Council Meeting was closed at 6:30 p.m.
11. ADJOURN
The regular meeting resumed at 7:25 p.m. With no further business to discuss the meeting
adjourned at 7:26 p.m.
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