11-27-2001 CCM
MINUTES
REGULAR MEETING - HUTCHINSON CITY COUNCIL
TUESDAY, NOVEMBER 27,2001
1. CALL TO ORDER- 5:30 P.M.
Mayor Marlm Torgerson called the meeting to order. Council Members present were John
Mlinar, Kay Peterson, Duane Hoversten and Jim Haugen. Also present were Gary Plotz, City
Administrator, Marc Sebora, City Attorney and John Rodeberg, Director of Engineering/ Public
Works.
2. INVOCATION - Father Andy Michaels, St. Anastasia Catholic Church, delivered the
mvocatlOn.
3. MINUTES
(a) REGULAR MEETING OF NOVEMBER 13,2001
The minutes were approved as presented.
4. CONSENT AGENDA
(a) REPORTS OF OFFICERS, BOARDS AND COMMISSIONS
1. HUTCHINSON AREA HEALTH CARE BOARD MEETING MINUTES FROM
OCTOBER 16,2001
2. HUTCHINSON PLANNING COMMISSION MINUTES FROM OCTOBER 16, 2001
3. CITY OF HUTCHINSON REPORT OF INVESTMENTS FOR OCTOBER 2001
4. CITY OF HUTCHINSON FINANCIAL REPORT FOR OCTOBER 2001
(b) RESOLUTIONS AND ORDINANCES
1. RESOLUTION NO. 11831 - RESOLUTION TO SELL AT AUCTION/DISPOSE OF
UNCLAIMED PROPERTY
(c) PLANNING COMMISSION ITEMS
1. CONSIDERATION OF A CONDITIONAL USE PERMIT TO EXPAND AN
EXISTING BUILDING LARGER THAN 1000 SQUARE FEET FOR PROPERTY
LOCATED AT 1150 13TH AVENUE NW, AS REQUESTED BY SCOTT AND JUDY
PLOWMAN WITH FAVORABLE RECOMMENDATION AND STAFF
RECOMMENDATION (ADOPT RESOLUTION NO. 11832)
2. CONSIDERATION OF A CONDITIONAL USE PERMIT TO CONSTRUCT A
POLE FRAME ADDITION TO AN EXISTING POLE STRUCTURE IN AN
INDUSTRIAL/COMMERCIAL DISTRICT AS REQUESTED BY BRENT REINER,
LOCATED AT 805 HWY7 WEST WITH FA VORABLE RECOMMENDATION AND
STAFF RECOMMENDATION (ADOPT RESOLUTION NO. 11833)
3. CONSIDERATION OF A CONDITIONAL USE PERMIT TO PLACE FILL IN THE
FLOODW A Y AS REQUESTED BY RHONDA BURGE, 1480 HWY 7 WEST WITH
DENIAL RECOMMENDED BY THE PLANNING COMMISSION (ADOPT
RESOLUTION NO. 11834)
4. CONSIDERATION OF A CONDITIONAL USE PERMIT TO CONSTRUCT A24' X
12' ADDITION TO AN EXISTING BUILDING IN AN
INDUSTRIAL/COMMERCIAL DISTRICT AS REQUESTED BY DOUG AND
NANCY DWINNEL AT 755 HWY 7 WEST WITH FAVORABLE
CITY COUNCIL MINUTES - NOVEMBER 27,2001
RECOMMENDATION AND STAFF RECOMMENDATION (ADOPT RESOLUTION
NO. 11835)
5. CONSIDERATION OF A 10' VARIANCE TO CONSTRUCT A PARKING LOT 10'
FROM THE RIGHT OF WAY AS REQUESTED BY MCLEOD COUNTY, 1065 5TH
AVENUE SE WITH FAVORABLE RECOMMENDATION AND STAFF
RECOMMENDATION (ADOPT RESOLUTION NO. 11836)
6. CONSIDERATION OF AN EXTENSION FOR A CONDITIONAL USE PERMIT
THA T WAS APPROVED IN JUNE TO BUILD A POLE CONSTRUCTED BUILDING
IN AN 1-2 DISTRICT AND A VARIANCE TO DECREASE THE REQUIRED YARD
SETBACK FROM 20 FEET TO 10 FEET, AS REQUESTED BY NGR, LLC WITH
FAVORABLE RECOMMENDATION AND STAFF RECOMMENDATION (ADOPT
RESOLUTION NO. 11838)
(d) CONSIDERATION OF TEMPORARY ON-SALE LIQUOR LICENSE FOR LITTLE
CROW FRIENDS OF NRA ON NOVEMBER 29,2001
(e) CONSIDERATION OF OUT-OF-STATE TRAVEL FOR JOHN RODEBERG TO
ATTEND THE NATIONAL TRANSPORTATION RESEARCH BOARD CONFERENCE
IN WASHINGTON, D.C. FROM JANUARY 12-17,2002
(f) CONSIDERATION FOR APPROVAL OF CHANGE ORDER NO.1 (LETTING NO.1,
PROJECT NO. 01-01)
(g) CONSIDERATION FOR APPROVAL OF INVESTMENT AUTHORIZATION
Item (g) was pulled from the Consent Agenda. Motion by Mlinar, second by Haugen, to
approve consent agenda, excluding Item (g). Motion camed unanimously.
5. PUBLIC HEARING - 6:00 P.M. - NONE
6. COMMUNICATIONS. REQUESTS AND PETITIONS
7. UNFINISHED BUSINESS
8. NEW BUSINESS
(a) CONSIDERATION OF REQUESTING PARTNER SUPPORT FOR JEFFERSON STREET
INFRASTRUCTURE IMPROVEMENTS
John Rodeberg, Director of Engineering/Public Works explained to the Council that the
county is requesting the Jefferson Street residents to have their septic systems upgraded by
June 15,2002. He displayed a graphic as to the addresses that are in compliance and those
that need the immediate upgraded systems.
Mr. Rodeberg requested that the City of Hutchinson pledge their support to the township and
county for any infrastructure improvements. There are serious public health and safety
concerns for the areas that are not in compliance.
It is projected that sewer and water connections could be in place by next fall, as well as a
gravel road.
Mr. Rodeberg explained that the goal ofthe city, county and township is to work together to
reach a common solution. Mr. Rodeberg repeated that the city is not in favor of "forcing"
any of the residents to be annexed.
Mr. Rodeberg explained that ifthe sewer/water project is started next spring/summer, yet has
not met the June 15 upgrade deadline, the county would have to get a variance from the
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CITY COUNCIL MINUTES - NOVEMBER 27,2001
MPCA to continue with the project. The County Environmentalist believes that this would
not be an issue.
Mayor Torgerson stated that this is ultimately a county issue and not a city issue. The city is
truly willing to work with the county on this project.
Motion by Mlinar, second by Peterson, to approve Resolution No. 11837 pledging partner
support for Jefferson Street mfrastructure improvements. Motion carried unanimously.
(b) CONSIDERATION OF CONSULTING AGREEMENT WITH BARR ENGINEERING
COMPANY (EROSION CONTROL AT OLD CITY LANDFILL SITE)
John Rodeberg, Director of Engineering/Public Works, explained that the Crow River bank
by the old City Dump is eroding due to the numerous floods in the past few years. Mr.
Rodeberg is recommending entering into an agreement with Barr Engineering for erosion
control of the Crow River. Barr Engineering has indicated that there may be possible
funding sources for this project. Mr. Rodeberg explained that this is a two phase proJect with
the first phase being a design phase and the second phase consisting of the development of
plans and specifications.
Motion by Peterson, second by Hoversten, to approve the consulting agreement with Barr
Engineenng Company for erosion control at old city landfill. Motion carried unanimously.
(c) CONSIDERATION OF CONSULTING AGREEMENT WITH BARR ENGINEERING
COMPANY (CROW RIVER DAM EVALUATION)
John Rodeberg, Director of Engineering/Public Works, explained that there are additional
repairs that need to be completed on the dam since the 1990 project. The Department of
Natural Resources approached the City of Hutchinson and requested that the dam be
completely reconstructed. Mr. Rodeberg further explained that there is suspected damage to
the dam gates. This agreement is to develop a proposal for the reconstruction ofthe dam and
present it to the DNR.
Motion by Hoversten, second by Mlinar, to approve the consulting agreement with Barr
Engi~eering Company to conduct Crow River Dam evaluation. Motion carried
unammously.
(d) CONSIDERATION OF CONSULTING AGREEMENT WITH EARTH TECH FOR PILOT
TESTING FOR PROPOSED WATER TREATMENT FACILITY UPGRADES
John Rodeberg requested that this item be deferred to an undetermined date. The cost ofthe
project, as well as other issues, have raised the question as to whether or not this should be
considered as the project is into further development.
Motion by Mlinar, second by Haugen, to defer this item to a later date. Motion carried
unanimously.
(e) CONSIDERATION TO SET BUDGET WORKSHOP FOR DECEMBER 11, 2001,AT 4:00
P.M.
Motion by Peterson, second by Hoversten, to schedule budget workshop for December 11,
2001, at 4:00 p.m. at the City Center. Motion carried unammously.
(f) CONSIDERATION OF ORDINANCE NO. 01-303 - APPROVING AN INTERIM
ORDINANCE (MORATORIUM) WHICH PROHIBITS ALL APPLICATIONS FOR
SUBDIVISIONS, REZONINGS, AND PERMITTING WITHIN THE HIGHWAY 7 EAST
AREA (WAIVE FIRST READING AND SET SECOND READING AND ADOPTION FOR
DECEMBER 11, 2001)
Julie Wischnack, Director of Planning/Zoning/Building, explained that the Hutchinson
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CITY COUNCIL MINUTES - NOVEMBER 27,2001
Planning Commission recently received a sketch plan for the newly annexed area on Hwy 7
East. The Planning Commission is recommending a moratorium due to the fact that there are
issues in this area regarding development without sanitary/sewer hook-up. There is some
interest from a few smaller local businesses to develop in this area. Staff has recommended
that a moratorium be granted while an ordinance can be written to address development in
this area.
Ms. Wischnack explained that according to current ordinance a developer must provide a
preliminary plat laying out streets, sewer lines, lot lines, etc. John Rodeberg commented that
staff needs to develop guidelines for development in this newly annexed area.
This moratorium will provide staff an ample amount of time to write an ordinance to address
issues regarding new developments without sewer hook-ups.
Motion by Peterson, second by Haugen, to approve first reading and set second reading and
adoption for December 11, 2001. Motion carried unanimously.
(g) CONSIDERATION OF APPROVAL OF DECLARING COST TO BE ASSESSED AND
CALLING FOR HEARING ON PROPOSED ASSESSMENT
John Rodeberg, Director of Engineering /Public Works, explained this is regarding a project
that occurred on Griffin Street last summer. There was a second property that did not
receive the notification due to the fact that the City was not aware of a lot split.
Motion by Mlinar, second by Hoversten, to approve the declaring of cost to be assessed and
calling for hearing on proposed assessment. Motion carried unanimously.
(h) UPDATE ON TAX INCREMENT DISTRICT #4
Christie Rock, HCDC/EDA Director, explained that there has been discussion amongst the
EDA Board regarding the residual funds from TIF District #4. Ms. Rock, on behalf of the
EDA Board, is requesting support from the Council for them to use the funds for
development in the dowtown area, as well is in Industrial Park. Ms. Rock explained that the
board is requesting that these funds be used specifically in TIF District #4. She is requesting
that these funds not be designated to areas outside of the downtown master plan project and
industrial park projects.
Ken Merrill, Finance Director, explained that these funds are from interest earnings and land
sales, and are not tax increment funds. The City has been advised from their financial
adviors to close out this fund. Tax increment dollars would need to be returned to the county
and disbursed. These residual funds can be used at the discretion of the Council. There
could be approximately $572,000 available.
Duane Hoversten questioned whether or not there was a time frame that these monies needed
to be allocated. Mr. Merrill explained that there really is no deadline that these funds need to
be designated by.
Kay Peterson stated that she would like a legal opinion as to whether or not these funds can
be used for what they are being requested for.
Mr. Merrill explained that there is a possibility of acquiring state funds, if available, ifthere
is a deficit in a TIF District. These funds can be designated after the City audit in June.
Steve Cook, resident, addressed the Council. Mr. Cook explained that there was a law
passed in July 1997 regarding TIF dollars. This law requires that these funds be transferred
into another TIF District or returned to the taxpayers through disbursements from county
auditor. Mr. Cook stated that, as a taxpayer, he would like to see a reduction in the tax levy
by using these additional dollars.
Mayor Torgerson explained that although the tax levy is raising 20%, that doesn't
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CITY COUNCIL MINUTES - NOVEMBER 27,2001
necessarily mean that the bottom line of property taxes will be raising 20%.
(i) CONSIDERATION OF APPROVAL OF PROCEDURE FOR ADOPTING 2002
GENERAL FUND BUDGET AND SETTING 2002 TAX LEVY
Ken Merrill, Finance Director, explained that there is no requirement for a truth-in-taxation
hearing this year. Mr. Merrill requested that a public hearing be held at the December 11,
2001, City Council meeting to discuss the 2002 budget and tax levy. Following the public
hearing, he requested action to be taken to adopt the 2002 general fund budget and tax levy,
barring no rejections during the public hearing.
Motion by Peterson, second by Mlinar, to set a public hearing to discuss 2002 budget and tax
levy for December 11,2001, at 6:00 p.m. Motion carried unanimously.
(i) CONSIDERATION FOR APPROVAL RESOLUTION NO. 11839 - EARLY CALL OF
1994 IMPROVEMENT BONDS
Ken Merrill, Finance Director, explained that our financial consultants have found that the
city has substantial funds from the 1994 improvement bonds and are recommending an early
call. This resolution will call for the early sales of these bonds and will save the city monies
all around.
Motion by Peterson, second by Hoversten, to approve the early call of 1994 improvement
bonds, adopting Resolution No. 11839. Motion carried unanimously.
Ken Merrill, Finance Director, explained to the Council that the Public Works department
has requested orders be placed for four police vehicles. These vehicles will not be arriving
until 2002, therefore the funding will be from the 2002 budget. It was stated that these
vehicles need to be ordered now, as to receiving them in early 2002.
Motion by Haugen, second by Mlinar to approve the purchase of four police vehicles,
adopting Resolution No. 11840. Motion carned unanimously.
9. MISCELLANEOUS
(a) COMMUNICATIONS
John Mlinar - Mr. Mlinar reminded the residents of the city to be sure to shovel out their fire
hydrants in case of emergencies. Also, be sure to keep snow offthe vents of houses so that they
do not become plugged and fill the houses with sewer gas.
Duane Hoversten - Mr. Hoversten requested that the Council re-schedule the second meeting in
December due to the fact that it falls on December 25, Christmas Day.
Motion by Hoversten, second by Haugen to re-schedule the regular City Council meeting for
December 21,2001, at 7:30 a.m. Motion carried unanimously.
Gary Plotz - Mr. Plotz reviewed the following items covered at the Leadership Meeting earlier
in the day: Water Treatment Plant, Jefferson Street Project, Crow River Dam, TIF District 4
funds and re-scheduling the second Council meeting in December.
John Rodeberg - Mr. Rodeberg explained that it took 50% more time to plow snow today due
to the weight of the snow. There was also some damage to city vehicles. Not all streets were
completely cleaned today and city staff will be starting up again at 12:00 a.m. to finish clean-up.
He asked that residents be patient with city staff due to the vast amount that was accumulated.
Mayor Torgerson - The Mayor explained that he has received several calls in regard to the
adult entertamment establishments that have opened in Cosmos and Nicollet. He has received
calls inquiring whether or not the City has an ordinance in regard to these establishments. The
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CITY COUNCIL MINUTES - NOVEMBER 27,2001
city does have an ordinance that prohibits these establishments exclusively from opening within
the city limits. This ordinance may need to be revisited and Marc Sebora, City Attorney, will
research this issue.
Gary Plotz stated that, due to the vast amount of snow on the boulevards, garbage and organic
carts can be placed at the end of driveways as an alternate placement.
10. CLAIMS. APPROPRIATIONS AND CONTRACT PAYMENTS
(a) VERIFIED CLAIMS A
Motion by Peterson, second by Haugen, to approve and authorize payment of Verified
Claims A from appropriate funds. Motion carried unanimously.
11. ADJOURN
With no further business to discuss, the meeting adjourned at 6:45 p.m.
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