08-28-2001 CCM
MINUTES
REGULAR MEETING - HUTCHINSON CITY COUNCIL
TUESDAY, AUGUST 28, 2001
1. CALL TO ORDER- 5:30 P.M.
Mayor Torgerson called the meeting to order at 5:30 p.m. Councilmembers Jim Haugen, John
Mlinar, Kay Peterson and Duane Hoversten were present. Also present were Gary Plotz, City
Administrator, John Rodeberg, Director of Engineering/Public Works and Marc Sebora, City
Attorney.
2. INVOCATION - Rev. Sam Grozdanov, Shalom Baptist Church, delivered the invocation.
3. MINUTES
(a) REGULAR MEETING OF AUGUST 14,2001
(b) BID OPENING OF AUGUST 22, 2001 FOR POLYMER FEED SYSTEM
Gary Plotz, City Administrator, explained that this polymer feed system is for the Wastewater
Treatment Facility. The current system is 15 years old and is in constant need of repair. Haugen
questioned if the City could accept only one bid. Marc Sebora explained that it is acceptable
when all proper actions have been taken to solicit bids.
Motion by Peterson, second by Haugen, to approve minutes as presented
4. CONSENT AGENDA
(a) REPORTS OF OFFICERS, BOARDS AND COMMISSIONS
1. PARKS, RECREATION & COMMUNITY EDUCATION ADVISORY BOARD
MINUTES FROM JULY 5,2001
2. PIONEERLAND LIBRARY SYSTEM BOARD MINUTES FROM JUNE 21, 2001
3. HUTCHINSON POLICE COMMISSION MINUTES FROM JUNE 25, 2001
4. HUTCHINSON POLICE COMMISSION MINUTES FROM MARCH 27,2001
5. HUTCHINSON AREA HEALTH CARE BOARD MEETING MINUTES FROM JULY
17,2001
6. HUTCHINSON AREA HEALTH CARE FINANCIAL REPORT FOR JULY, 2001
7. CITY OF HUTCHINSON FINANCIAL REPORT FOR JULY, 2001
8. CITY OF HUTCHINSON REPORT ON INVESTMENTS FOR JULY, 2001
9. HUTCHINSON PLANNING COMMISSION MINUTES FROM JULY 17,2001
(b) RESOLUTIONS AND ORDINANCES
1. RESOLUTION NO. 11778 - A RESOLUTION AMENDING CITY OF HUTCHINSON
RESOLUTION NO. 11757
2. RESOLUTION NO. 11780 - A RESOLUTION ESTABLISHING INCOME
GUIDELINES AND ASSET LIMITATIONS FOR SENIOR CITIZENS
3. RESOLUTION NO. 11781-RESOLUTIONTO SELL AT AUCTION UNCLAIMED
PROPERTY
CITY COUNCIL MINUTES - AUGUST 28, 2001
(c) PLANNING COMMISSION ITEMS
1. CONSIDERATION OF A VARIANCE TO REDUCE THE FRONT YARD SETBACK
FROM 25' TO A 0' SETBACK AND A CONDITIONAL USE PERMIT TO
CONSTRUCT A GARAGE LARGER THAN 1,000 SQUARE FEET AS REQUESTED
BY MICHAEL SCHLUETER, 405 MONROE ST WITH DENIAL RECOMMENDED
BY THE PLANNING COMMISSION (ADOPT RESOLUTION NO. 11775)
2. CONSIDERATION OF A VARIANCE TO REDUCE THE REQUIRED BOUNDARY
SETBACK FOR THE PLACEMENT OF MANUFACTURED HOMES AS
REQUESTED BY JEFF MUNSELL, COUNTRY CLUB TERRACE, 448
CALIFORNIA STREET NW WITH FAVORABLE RECOMMENDATION AND
STAFF RECOMMENDATION (ADOPT RESOLUTION NO. 11774)
3. CONSIDERATION OF A VARIANCE TO REDUCE THE REQUIRED FRONT AND
SIDE YARD SETBACK FOR THE LOT-SPLIT AT PLAZA 15 AS REQUESTED BY
THE CITY OF HUTCHINSON WITH FAVORABLE RECOMMENDATION AND
STAFF RECOMMENDATION (ADOPT RESOLUTION NO. 11776)
(d) APPOINTMENTS TO PARK & RECREATION/COMMUNITY EDUCATION
ADVISORY BOARD
1. JAY BEYTIEN - REAPPOINTMENT TO YEAR 2004
2. BERNIE MINER - REAPPOINTMENT TO YEAR 2004
3. PEGGY WESTLUND - FILLING VACANCY TO YEAR 2004
4. CLAIRE LENZ - NEW APPOINTMENT TO YEAR 2004
( e) CONSIDERATION OF ACCEPTING BIDS FOR SECURITY SYSTEM UPGRADES AT
HUTCHINSON AREA HEALTH CARE
(f) CONSIDERATION OF ACCEPTING BID AND AWARDING CONTRACT TO VESSCO
INC. FOR PURCHASE OF POLYMER FEED SYSTEM
Item 4(b) 1 - Julie Wischnack, Director of Planning/Zoning/ Building updated the Council on
the changes made to the resolution regarding the annexation issues. Boundaries have
changed in the immediate annexation areas with the removal of 12.2 acres. Ms. Wischnack
also explained some concerns that the City has if Hennen's Furniture does not develop in the
immediate future. There are considerable costs that will be incurred for water and utility
hook ups in order for development in that area. Concerns mainly relate to who would incur
those costs. This issue may be covered in a development agreement with a future developer.
Mayor Torgerson's opinion was that a developer would need to pay up front costs and that it
would not be the taxpayer's responsibility to cover these costs.
Motion by Mlinar, second by Peterson, to approve consent agenda. Motion carried
unanimously.
5. PUBLIC HEARING- 6:00 P.M.
(a) REVIEW THE RE-SUBMISSION OF THE FRANKLIN-GROVE NEIGHBORHOOD
SMALL CITIES REHAB GRANT APPLICATION
Jean Ward, HRA Executive Director, presented a Power Point presentation on the re-
submission of the grant application. This presentation will be included with the minutes in
the next City Council packet.
Mayor Torgerson asked ifthere were any members of the audience that wished to be heard.
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CITY COUNCIL MINUTES - AUGUST 28, 2001
Duane Hoversten noted that the last Small Cities Development Project was a huge success
and this would greatly benefit the residents of this area.
Mary, resident from the area, questioned whether or not property taxes would raise after
improvements were made. Jean Ward explained that Minnesota statute ("This Old House")
provides for exemption from the property tax for all or a portion of the value of
improvements made to homes 35 years of age or older. This law is effective for
improvements made through January 2, 2003.
Ms. Brown, resident ofthe area, stated this would very much help her with improvements to
her home.
Motion by Mlinar, second by Peterson, to close public hearing. Motion carried
unanimously.
Mlinar asked what had changed that this grant needs to be re-submitted. Jean Ward
explained that the first application was denied by only 2.5 points. The HRA obtained more
leverage funds from rural development and from First Federal. Because they were so close
the first time, it was recommended to them to reapply again.
Motion by Mlinar, second by Haugen, to approve the Franklin-Grove Neighborhood Small
Cities Grant Application. Motion carried unanimously. With the approval of this grant
application, Resolution No. 11782 was adopted.
6. COMMUNICATIONS. REQUESTS AND PETITIONS
(a) REQUEST TO BE HEARD FROM JUDY OLSON REGARDING THE DENIAL OF THE
SALE OF EGGS TO MINORS BY LOCAL GROCERY STORES
Judy Olson, citizen of Hutchinson, explained that she had sent her children to two local
grocery stores to purchase eggs and they were denied due to an agreement between the
police department and the grocery stores to not allow the sale of eggs to minors. Ms. Olson
feels that this is a poor mechanism to use to control vandalism with children. Ms. Olson
suggested that the City Council look at alternatives to control vandalism, such as rewards to
kids that will inform the police department of other kids that are taking part in such
activities. She requested that a policy be put in place to adopt disciplinary actions in regards
to vandalism.
Mayor Torgerson noted that "egging" vandalism has reduced in the last few years and that
the Council will look at the issue and may be able to become more lenient.
7. UNFINISHED BUSINESS
(a) CONSIDERATION OF ALTERNATIVES TO THE SALE OF THE 1975 SEAGRAVE
LADDER TRUCK
Marc Sebora, City Attorney, stated that the City ofWinsted has agreed to purchase the above
mentioned truck for $100 and for a 5-year agreement under certain criteria established by the
City. The Council was provided with a copy of a purchase agreement the Mr. Sebora had
created. Stipulations required by the City are that the City ofWinsted maintain the truck in
good operating condition, that they will make the truck available to the City of Hutchinson if
needed in mutual aid situations and if the City ofWinsted does not comply with the required
conditions, the truck would be returned to the City of Hutchinson upon immediate demand.
Mlinar commented that this is a very good use of tax dollars. Hoversten commented that he
has been informed that the City of Winsted is very excited about this purchase.
Motion by Mlinar, second by Hoversten, with Peterson abstaining, to approve the sale ofthe
1975 Seagrave Ladder Truck to the City ofWinsted. Motion carried unanimously.
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8. NEW BUSINESS
(a) CONSIDERATION OF PURCHASING A 1997 MACK DUMP TRUCK
Mr. Rodeberg explained that staff has researched various options to purchase an updated
dump truck. Based on recommendations, a 1997 Mack RD690S chassis was chosen.
Motion by Haugen, second by Peterson, to approve the purchase of a 1997 Mack dump
truck. Motion carried unanimously.
(b) CONSIDERATION FOR PURCHASE OF FIRE AND PUBLIC WORKS RADIO
COMMUNICATIONS SYSTEMS
Motion by Hoversten, second by Mlinar, to table this item until a future meeting. Motion
carried unanimously.
(c) CONSIDERATION OF RESOLUTION NO. 11779 AWARDING BIDS FOR 2001
GENERAL OBLIGATION IMPROVEMENT BONDS
Steve Ehlers, Ehlers & Associates, explained that these general improvement bonds are sold
each year for water, sewer, street projects. Moody's Investor Service has reconfirmed the
A3 rating for the City. Seven bids were received with US Bank/Piper Jaffrey having the
lowest bid. Mr. Ehlers noted that obtaining 10-year money at 4 1;2 % is very good. This
resolution needs to be passed and then Ehlers will notify the bidder of the award.
Motion by Hoversten, second by Peterson, to approve Resolution No. 11779. Motion carried
unanimously.
(d) CONSIDERATION OF ORDINANCE NO. 01-299 AMENDING CHAPTER 6, ENTITLED
"OTHER BUSINESS REGULATION AND LICENSING" BY ADDING SECTION 6.50,
"PROHIBITING SMOKING IN RESTAURANTS AND LIQUOR ESTABLISHMENTS"
(WAIVE FIRST READING AND SET SECOND READING AND ADOPTION FOR
SEPTEMBER 11, 2001)
Gary Plotz explained background information regarding smoking restrictions in restaurants.
In Spring 2001, Marc Sebora, City Attorney, was asked to draft an ordinance regarding
smoking restrictions in restaurants. At that time the Council asked for further research
before an ordinance adoption. Mr. Plotz explained that a survey had been sent out to local
restaurants regarding smoking restrictions. Mr. Plotz reviewed the survey results with the
Council. Further research was done on how to present the proposed restrictions to the city.
The League of Minnesota Cities informed the City that the City Council cannot delegate the
adoption of an ordinance to the city at large. Per legal research that was conducted, the
Council would first need to either reject or accept the ordinance and then have it presented to
citizens.
Marc Sebora noted that several meetings were held in the past with restaurant owners.
Sebora's interpretation was that restaurant owners would not necessarily be against
restrictions as long as it was uniform amongst local establishments. Sebora explained that
the ordinance presented would prohibit smoking in local restaurants with the exception of
clubs. He also explained that penalties would be served to restaurant owners if smoking was
allowed and/or if they provided smoking accessories (i.e. matches, ashtrays).
Gail Plaisance, owner of Hutch Bowl, expressed that he feels "hurt" in regards to the
ordinance proposed. No notification was sent to those affected in regards to this agenda
item. Mr. Plaisance suggested having restaurant owners sit down again with the Council and
work out the details of the ordinance so that it can meet everybody's needs. He requested
only the people effected be present (Councilmembers and restaurant owners, not smoke- free
coalition members).
Mr. Mlinar explained that this is only the first reading and no final action will be made
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tonight. Mr. Plaisance feels that this ordinance may in effect have to make business owners
close their doors due to financial problems.
Mayor Torgerson stated that in a previous conversation he had with Mr. Plaisance, it was
stated that the ordinance would effect restaurants and not Mr. Plaisance's business due to the
fact that his business was not categorized as a restaurant. Things have changed and now Mr.
Plaisance's business would be in the restaurant category. Mr. Plaisance feels that it is
possible his establishment could also be classified as a private club.
Jean Johnson, McLeod County Public Health, presented some information on second-hand
smoke. Information on illnesses, cancer and disease in relation to second-hand smoke was
presented.
Jeremy Hanson, MN Smoke Free Coalition, handed out a packet of information to the
Council titled, "Economic Benefits of Smoke-Free Ordinances". Mr. Hanson presented that
this information illustrates that smoke- free ordinances do not harm businesses, but actually
increases business.
Adam Ling, student at HHS, voiced that as a young adult working at a smoking-allowed
restaurant, it does effect him. He stated that he agreed that the restaurant owners and
councilmembers definitely should work together on the ordinance. He wanted it to be
known that young people do appreciate the concern of city officials in regards to this issue.
Judy Olson, concerned citizen, stated that she has asthma and is unable to frequent some
establishments due to the extreme second-hand smoke that is present. She also noted that
her husband obtained health problems due to second-hand smoke.
Hoversten commented that he has done extensive research on this issue. He does have
concern on how it will effect the small business owners. He has met with some restaurant
owners and they have brainstormed the impact of such an ordinance. Mr. Hoversten voiced
that this is a serious health concern and the questions need to be answered as to whether or
not the city should do something.
Kay Peterson noted that she feels it is not her decision as a city official to tell a local
business how to run their establishment.
Jay Landreville, Lamplighter Lounge, stated that at an earlier meeting he was under the
understanding that it was decided that the ordinance would effect all restaurants and not
exclude clubs. His concern was that this ordinance excludes clubs and would hurt his
business after a certain hour.
Jerry Messner, concerned citizen, stressed the responsibility of the local government. He
proposed an example of desegregation and the fact that the government had to make the
decision to allow African Americans the same rights as White Americans.
Evelyn Swanson, concerned citizen, commented on the Duluth ordinance and the fact that it
was revised and updated to meet needs of work places within the community. She asked the
council if this will effect all work places. Mayor Torgerson stated the council will look at
this situation.
Becky Felling, citizen of Hutchinson and Public Health nurse, spoke in addition to Mr.
Messner's comments in regards to government making the final decision to keep the air
clean for all citizens.
Denise Sertell (sp.), McLeod County Public Health, noted that the County adopted a policy
on restrictions as to where smokers could smoke outside their work building. She stated that
this policy went into effect with no ill effects.
Matt W oefel, Country Kitchen, spoke before the council stating that the restaurant owners do
not want to offend non-smokers nor smokers. He requested that the owners and Council
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work together on this issue.
Judy Olson made the comment that people that smoke amongst other non-smokers do harm
other people in the area and it is a serious health issue and that smokers need to be
accountable of their actions to other people.
Hoversten asked Marc Sebora if a first reading was adopted can changes be made before the
second reading. Mr. Sebora stated if more restrictions are added a third reading may be
needed. If the ordinance becomes more lenient a second reading should suffice.
Hoversten was concerned with children in the workplace. He feels that the ordinance should
possibly include work places and not just bars/restaurants. Mr. Sebora stated that a third
meeting would definitely be needed to accomplish these changes.
Mr. Haugen stated that an additional meeting should be held with business owners in regards
to the ordinance before the next reading.
Jay Landreville commented that if work places were going to be considered, it should be
considered now and not at a later date.
There was discussion as to how many work places there may be in the community that
currently restrict smoking.
Motion by Hoversten, second by Mlinar, to approve first reading of Ordinance No. 01-299
and set second reading for September 11, 2001 with a meeting with business owners to be
held before the second reading. When vote for motion was held, Councilmember Peterson
voted nay. Roll call was taken with the following results: Haugen - I, Mlinar- I, Peterson-
nay, Hoversten - I, Torgerson - I. Motion carried 4 to 1.
Pause for tape change.
Meeting called back to order at 7:05 p.m.
(e) CONSIDERATION OF AUTHORIZING STAFF TO SOLICIT BIDS FOR SALE OF
FOUR INVESSEL COMPO STING BINS WITH SYSTEM CONTROLS
Motion by Mlinar, second by Haugen, to approve. Motion carried unanimously.
(f) CONSIDERATION OF ENTERING INTO AGREEMENT WITH THE STATE OF
MINNESOTA FOR A $1 MILLION DOLLAR GRANT FOR EVENT/COMMUNITY
CENTER
Mr. Schieffer, City Attorney, presented on the grant contract with the State of MN. Mr.
Schieffer stated the history of this grant and the fact that last March the Council had voted
unanimously to allow Mayor Torgerson and City Administrator Plotz to sign the grant
agreement with the State of Minnesota. There were some errors in language in the original
agreement presented by the state that Dolf Moon, Director PRCE, and Mr. Schieffer had
requested be changed. Those changes were made, however the errors were not removed.
Mr. Schieffer and Mr. Moon will have a meeting with the State of MN to obtain a new
agreement with all required changes. Mr. Schieffer noted that the changes are very minor
and that there should be no delay with the Wold Architect contract. Once the appropriate
changes are made, proper signature will be obtained by Mayor Torgerson and Mr. Plotz and
will be sent into the State of Minnesota.
(g) CONSIDERATION OF ENTERING INTO AGREEMENT WITH WOLD ARCHITECTS
AND ENGINEERS TO SUPPL Y ARCHITECTURAL SERVICES FOR
EVENT/COMMUNITY CENTER
Motion by Hoversten, second by Haugen, to approve entering into agreement with Wold
Architects to supply architectural services for event/community center. Motion carried
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unanimously.
(h) CONSIDERATION OF ORDINANCE NO. 01-297 AMENDING SECTION 3 RELATING
TO THE DEFINITIONS OF LOT REAR AND YARD, REAR (WAIVE FIRST READING
AND SET SECOND READING AND ADOPTION FOR SEPTEMBER 11, 2001)
Mr. Rodeberg explained that the changes are clarifications with the definitions.
Motion by Haugen, second by Mlinar, to approve first reading of Ordinance No. 01-297.
Motion carried unanimously.
(i) CONSIDERATIONOF ORDINANCE NO. 01-298 AMENDING SECTION 8 RELATING
TO DRIVEWAY SETBACKS FOR RESIDENTIAL ZONED PROPERTY (WAIVE FIRST
READING AND SET SECOND READING AND ADOPTION FOR SEPTEMBER 11, 2001)
Mr. Rodeberg explained this amendment allows older driveways to be 3' from the property
line if they are already 3' from the property line. There was concern by staff over all the
variances that would need to be issued for these older driveways to meet the 5' requirement
and was much easier to make the amendment to this ordinance.
Motion by Haugen, second by Peterson, to approve first reading of Ordinance No. 01-298.
Motion carried unanimously.
(j) CONSIDERATION TO PURCHASE AIRPORT WHEEL LOADER WITH SNOW
REMOVAL EQUIPMENT FROM ST. JOSEPH EQUIPMENT, INC.
Mr. Rodeberg noted that this is the actual purchase from the Airport Improvement Fund
agreement that was approved.
Motion by Hoversten, second by Peterson, to approve purchase of airport wheel loader with
snow removal equipment. Motion carried unanimously.
9. MISCELLANEOUS
(a) COMMUNICATIONS
Haugen - Mr. Haugen thanked all of the citizens that were in attendance tonight regarding the
smoke free ordinance.
Mlinar - Mr. Mlinar requested that a meeting be scheduled with restaurant/club owners for 7 :00
p.m. on Thursday September 6,2001
Motion by Mlinar, second by Haugen to schedule meeting with restaurant/club owners for
Thursday September 6,2001 at 7:00 p.m. Motion carried unanimously.
Hoversten - Mr. Hoversten thanked the community for contacting councilmembers by phone
and in person with issues. He stressed that it is greatly appreciated.
Plotz - Mr. Plotz explained that there was a Budget Workshop earlier that day. He requested
that an additional Workshop be scheduled for September 11, 2001 at4:00 p.m. to further review
the budget. Hoversten explained that due to so many legislative changes, it is very hard to
determine what numbers will be available and agreed that another workshop should be held.
Motion by Peterson, second by Mlinar to set a budget workshop for September 11,2001, at 4:00
p.m.
Rodeberg - Mr. Rodeberg stated that most major work has been done on School Road and the
project should be complete by the end of the week (weather permitting). There is a project
occurring on South Grade Road that hopes to be completed by next week as well.
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Mayor Torgerson commented that the road improvements that have occurred the past two weeks
are a prime example that a third site needs to be looked at for a bypass. Mr. Rodeberg stated that
work is being done on locating a third site. Mayor Torgerson commended John and his staff on
the projects that were completed this season.
10. CLAIMS. APPROPRIATIONS AND CONTRACT PAYMENTS
(a) VERIFIED CLAIMS A
Motion by Peterson, second by Haugen, to approve and authorize payment of V erified Claims A
from appropriate funds. Motion carried unanimously.
11. ADJOURN
With no further business to discuss, the meeting adjourned at 7:25 p.m.
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