01-27-2004 CCM
MINUTES
REGULAR MEETING - HUTCHINSON CITY COUNCIL
TUESDAY, JANUARY 27, 2004
1. CALL TO ORDER - 5:30 P.M.
Mayor Marlin Torgerson called the meeting to order. Council Members present were Jim Haugen,
Bill Arndt, and Casey Stotts. Council Member absent was Kay Peterson. Others present were Gary
Plotz, City Administrator and Marc Sebora, City Attorney.
2. INVOCA TION - Reverend Howard Anderson, Hunter's Ridge Community Church
3. PLEDGE OF ALLEGIANCE
PRESENTA TION BY THE HUTCHINSON CITY COUNCIL TO DUANE HOVERS TEN
IN RECOGNITION OF HIS YEARS OF SERVICE TO THE CITY COUNCIL
4. MINUTES
(a) REGULAR MEETING OF JANUARY 13, 2004
Minutes were approved as presented
5. CONSENT AGENDA
(a) REPORTS OF OFFICERS, BOARDS AND COMMISSIONS
1. HUTCHINSON HOUSING & REDEVELOPMENT AUTHORITY REGULAR
BOARD MEETING DECEMBER 16, 2003
2. HUTCHINSON HOUSING PLANNING COMMISSION MEETING NOVEMBER 18,
2003
3. HUTCHINSON HOUSING PLANNING COMMISSION MEETING DECEMBER 16,
2003
4. CITY OF HUTCHINSON FINANCIAL REPORT FOR DECEMBER 2003
5. CITY OF HUTCHINSON INTEREST REPORT FOR DECEMBER 2003
6. CITY OF HUTCHINSON INCOME REPORTS - WATER SEWER
(b) RESOLUTIONS AND ORDINANCES
1. ORDINANCE NO. 04-366 - CONSIDERATION FOR APPROVAL OF FEES/RATE
ADmSTMENT (SECOND READING AND ADOPTION):
. WATER
. SEWER
. REFUSE
. STORM WATER
2. RESOLUTION NO. 12337 - CONSIDERATION OF APPROVAL OF A LOT SPLIT
SUBMITTED BY MARK SCHIERMAN TO SPLIT A LOT LOCATED AT 1020
GOLF COURSE ROAD NORTHWEST
3. RESOLUTION NO. 12338-CONSIDERATIONOF APPROVAL OF RESOLUTION
OF PURCHASE
CITY COUNCIL MINUTES - JANUARY 27, 2004
4. RESOLUTION NO. 12339 - RESOLUTION SUSPENDING THE ONSALE
INTOXICATING LIQUOR LICENSE OF MAIN STREET SPORTS BAR
(c) LETTING NO.5, PROJECT NO. 03-12 (APPROVAL OF CHANGE ORDER NO.7)
(d) LETTING NO.1, PROJECT NO. 03-01 (APPROVAL OF CHANGE ORDER NO.3)
(e) LETTING NO.1, PROJECT NO. 03-01 (APPROVAL OF CHANGE ORDER NO.2)
(f) CONSIDERATION FOR APPROVAL OF DRAINAGE AND UTILITY EASEMENT
(g) CONSIDERATION FOR APPROVAL OF APPOINTMENT TO ECONOMIC
DEVELOPMENT AUTHORITY BOARD DUANE HOVERSTEN (REPLACING JEFF
HAAG) AND REAPPOINTMENT OF BOB WINDEL FOR A SIX YEAR TERM
(h) CONSIDERATION FOR APPROVAL OF APPOINTMENT TO HUTCHINSON AREA
HEAL TH CARE BOARD MIKE MUELLER
(i) CONSIDERATION FOR APPROVAL OF SHORT-TERM GAMBLING LICENSE FOR
HUTCHINSON ROTARY FOUNDATION AT HUTCHINSON EVENT CENTER
G) CONSIDERATION FOR APPRO V AL OF SHORT-TERM GAMBLING LICENSE FOR
PHEASANTS FOREVER AT MCLEOD COUNTY FAIRGROUNDS
(k) CONSIDERATION FOR APPROVAL OF SHORT-TERM LIQUOR LICENSE FOR
PHEASANTS FOREVER AT MCLEOD COUNTY FAIRGROUNDS
Motion by Council Member Arndt, second by Council Member Haugen, to approve
consent agenda as presented. Motion carried unanimously.
6. PUBLIC HEARINGS - 6:00 P.M.
7. COMMUNICATIONS, REQUESTS AND PETITIONS
The mayor read a letter from the State of Minnesota Office of the Auditor commending
the City employees and City Council on maintaining the unreserved fund balance within
the appropriate range of Minnesota Cities.
8. UNFINISHED BUSINESS
9. NEW BUSINESS
(a) ORDINANCE NO. 04-367 - CONSIDERATION FOR APPROVAL AN ORDINANCE
AMENDING THE OFFICIAL ZONING MAP OF THE CITY OF HUTCHINSON FOR A
PROPERTY TO BE REZONED FROM Rl TO R2 LOCATED AT 1245 ROBERTS ROAD
SOUTHWEST (FIRST READING AND SET SECOND READING AND ADOPTION FOR
FEBRUARY 10,2004)
Julie Wi schnack updated the council on this ordinance. The ordinance was not unanimously
approved by the planning commission (4 to 2 vote). Staff is recommending denial. R2
zoning is to the south of the property in question. The property was issued a certificate of
occupancy as a single-family dwelling. The application also indicated a single-family
dwelling. There was some discussion at the planning commission meeting regarding the
interior staircase in the home that outlets into the garage. This is unusual in a single-family
dwelling, if it was in fact built as a single-family home.
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Council Member Haugen discussed the vote. The applicant purchased the house with the
understanding that it was a duplex. The property was functioning as a duplex at the time of
purchase. It was previously a day care. The owner would now like to sell it as a duplex, but
it is not zoned for that. A R2 zoning is across the street. There is at least one adjacent
property owner concerned about a multiple family dwelling in that neighborhood. Council
Member Haugen originally voted against rezoning the property at the planning commission
meeting but stated, that in hindsight, the best use for the property is probably as a duplex.
Marc Sebora, City Attorney, also added that the homeowner bought the house as a duplex.
The real estate agent and two appraisal reports indicated it was a duplex. The homeowner is
now trying to sell the property, and its most viable use and most value is as a duplex. One
concern Mr. Sebora had was if this was rezoned R2, it would make it easier for other
properties in that block to apply for rezoning. There is currently nothing adjacent to the R2
district except the street.
The mayor asked if the property could remain a Rl but still be used as a duplex. Mr. Sebora
explained that the property has to be used in conformity of that zoning district. Therefore,
the property should only be used as a single-family dwelling.
Council Member Haugen is concerned that there are other original single-family houses
operating as duplexes. These property owners should alert the city so they can comply with
building and fire codes. If this were done, Mr. Haugen would not want them to be penalized.
Mr. Sebora stated that the only reason this property can be rezoned is because it is adjacent
to a R2 district. A property in the middle of the Rl district cannot be rezoned as that IS spot
zoning and prohibited by ordinance.
The property owner added that this property has to be an R2 in order for the buyer to obtain
financing as a duplex.
The mayor had a question about the current parking. Ms. Wi schnack explained that there is
a pull off parking area just to the west of the home that is in the right of way. There is no
driveway to the back ofthelard. Mr. Rodeberg stated that is an existing non-comforming
use. In order to be qualifie as a parking space it must be on their own property. They do
not need spaces to meet the required number for a duplex. There is enough room in the
driveway and garage. The issue is the parking in the right away which the city generally
tries to avoid. The homeowner added that the parking area was there prior to their
occupancy.
Robert Vance, 1395 Roberts Road SW, addressed the council with his concerns about the
property becoming R2. He is concerned about the overall impact on the neighborhood and
property values, especially with absent landlords. The property may not be maintained as
well as the rest of the neighborhood. He is concerned parking issues and where the rezoning
will stop.
Motion by Council Member Arndt, second by Council Member Stotts, to approve first
reading and set second reading and adoption of Ordinance No. 04-367 for February 10,2004.
Motion carried unanimously.
(b) ORDINANCE NO. 04-368 - CONSIDERATION FOR APPROVAL AN ORDINANCE
ESTABLISHING POLICY AND PROCEDURE RELATED TO THE CITY OF
HUTCHINSON CHARGING FOR FIRE CALLS (FIRST READING AND SET SECOND
READING AND ADOPTION FOR FEBRUARY 10, 2004)
Mayor Torgerson received a phone call today from a Senior Citizens group concerned about
and opposed to this fee ordinance. The mayor expressed concern about the wording of the
ordinance:
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CITY COUNCIL MINUTES - JANUARY 27, 2004
Section One: Purpose and Intent "That this Ordinance is adopted for the purpose of
establishing that the City of Hutchinson will charge all fire calls as allowed Minnesota
Statute Section 366.011 . . .". The mayor stated that this reads as a mandate, that the fire
department will charge for all fire calls. Perhaps it should read "may charge for fire" to be
closer to what the fire department was intending in the first place. The fire department made
a very concerted effort to make it clear that only people charged for fires would be those
abusing the use of the fire department by having multiple calls and those with insurance that
covers fire department calls. Section Four ". . . said rates will apply to all parties affected."
should read "may apply"; Section Five "Parties receiving fire service via a fire call will be
billed directly. . ." should read "may be billed"; " . . .that party will be charged for a fire
call" should read "may be charged"; "The City of Hutchinson will use all . . ." should read
"may use all"; and finally "The party receiving the fire service shall be liable. . ." should
read "may be liable". Section Five subd 3 also stated that any amount not paid by the
insurance company will be billed to the party receiving fire service but that is not what was
originally discussed. If these changes were made then the ordinance would be closer to the
original mtent. Fire Chief Brad Emans explained that the City is not going to bill for every
fire call that comes through, only those that insurance covers. Most people have insurance
that covers this service.
Council Member Bill Arndt has received several calls opposed to the billing mechanism.
Mr. Arndt talked to his own insurance agent about this. The premium can be charged, but if
it is, after one year, the premium could go up. One taxpayer suggested to Mr. Arndt that he
would rather pay $1 or $2 more in taxes rather than dealing with an insurance company. Mr.
Arndt commended Mr. Emans on his work in getting out in the community to discuss this
issue, but also commented that there are still many questions.
Brad Emans stated that he also received many calls today regarding this issue. The local
government aid reduction from the state resulted in the fire department cutting pay,
retirement, equipment and training instead of cutting staff. The department cannot contmue
to operate while cutting the training and equipment. Mr. Emans was given the mandate of
finding other revenue sources. The fire service fee was one idea that has been discussed for
five months. If this does not pass, the fire department will find another way to make this
happen. Mr. Emans stated that his number one priority is to make sure the fire department
has people that are highly trained, and that there is equipment.
Roger Petersen, 1300 Sherwood Avenue SE, stated that he believed that it was poor public
policy to implement user fees for the types of things that should be provided with taxpayer
money. He suggested that perhaps it was time to use tax money for public safety not things
like recreation centers, etc. For example if a new snow plow is needed how will they raise
the money for that? The should find other ways to raise money for public safety, not
charging for services. Everyone should be liable if the ordinance is passed, not just those
with insurance. Mr. Petersen discussed the results of an online survey conducted by the
Hutch Leader. According to this survey, 64% of respondents were not in favor of this
ordinance.
Council Member Arndt asked how this affects the Townships. Mr. Emans stated that a
meeting with the Townships is scheduled for February 27.
Council Member Haugen asked if there was a concern that insurance may be cancelled if
there are too many fire service calls and payouts by the insurance company. If the property
owner may not call the fire department when they should be because of the service fee. Mr.
Emans noted this is a concern. Mr. Emans said he talked to an insurance company that said
if the ordinance was passed the insurance company would cancel that portion of the coverage
and the bill would go directly to the homeowner. The firefighters, as a group, they support
this ordinance as long as no one gets hurt and no one refused to call for service.
Council Member Stotts noted he received some negative calls regarding this. He believes
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CITY COUNCIL MINUTES - JANUARY 27, 2004
that taxes were put in place to cover public safety costs and now the City is going back
trying to generate more funds. If more funds are needed, there are better ways to get those
funds. There will not be enough revenue generated from this to risk having someone not call
when they need the service.
Motion by Council Member Stotts, second by Council Member Haugen, to reject adoption of
Ordinance No. 04-368. Motion carried unanimously.
(c) CONSIDERATION FOR APPROVAL OF JOINT MEETING OF CITY COUNCIL AND
HRABOARD
The mayor read the memo from Jean Ward regarding the meeting and the council discussed
what day would work best. Council Member Arndt needs the meeting to start at 8:30.
Motion by Council Member Haugen, second by Council Member Stotts, to set a joint
meeting of the City Council and HRA board for Tuesday, February 17, 2004 at 8:30 a.m.
Motion carried unanimously.
(d) PRESENTATION FROM MCLEOD COUNTY PUBLIC HEALTH AND DISCUSSION
OF THE SMOKE FREE POLICY
Denise Ertl, Health Educator with the McLeod County Public Health Board, presented
information on an ordinance that is being considered by the county commissioners in
Meeker, McLeod, and Sibley counties. A revision of the Minnesota Clean Indoor Air Act
went into effect on September 23,2003. This was designed to decrease workers' exposure to
second hand smoke in office, factories, and warehouses. Ms. Ertl spoke about extending this
protection to employees and patrons in restaurants throughout the county. Second hand
smoke is a serious health risk, especially for those who are forced to work III a smoke filled
environment. She continued to explain and give statistics on the risks of second hand smoke
on the general public.
The proposed ordinance is not about prohibiting an adult person from smoking but from
smoking in a public place. Ms. Ertl also stated that studies show that a smoke free ordinance
does not hurt businesses but has, in fact, resulted in an increase in sales. The smoke free
ordinance would only effect restaurants that receive 50% or more of their revenues in food
sales. Bars with 50% or more revenues in liquor would be exempt. An establishment could
maintain a bar and restaurant on the same premises, as long as there is no air exchange
between the two establishments. Private clubs are exempt, except when open for general
public use. Restaurants closed to the public for private use are also exempt during that time
period.
Enforcement of the ordinance would be mainly by the individuals. When this ordinance was
before the council three years ago, the council decided to challenge the restaurant owners to
go smoke free rather than passing an ordinance. Three restaurants went smoke free at that
time and are still in business. Clean air is just as important as any other ordinances for
public safety. A smoke free environment is the only way to ensure employee and patron
safety.
Ms. Ertl asked the council to support this ordinance with a "resolution of support" and to
allow the county commissioners to use the council chambers for public hearing on the smoke
free ordinance.
Council Member Stotts commended their effort. He does not feel that it is the right time to
approach the issue in the community. Rather the council should take baby steps to
ultimately reach this goal. Ms. Ertl clarified that she was not asking the council to pass an
ordinance banning smoking from restaurants. The county commissioners are working on
this and if passed, the ordinance will be enforced by all municipalities. She is requesting a
resolution of support.
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The mayor discussed the effort of the council to pass an ordinance a few years ago. A
survey was conducted and 98% of the respondents were in agreement with a no smoking
ordinance. The other 2% were the most vocal, and so the ordinance did not pass. The Elks,
American Legion, and VFW presented to the council at that time opposing the ordinance.
The Council decided it just wasn't time the to pass the ordinance. The mayor also
commended their effort.
Council Member Arndt gave his support of this issue. He worked to get smoke out of the
break rooms and meetings room at 3M. He does agree that it is a tough position because
cigarettes are so addictive.
The mayor commented on people he knows that no longer go to Hutch Cafe because of the
smoke. The restaurant owners that he has talked to about this have said that they are afraid a
no smoking ordinance would hurt their business. He believes it is a much smaller percentage
that don't smoke and than smoke. The mayor talked to the mayor of Duluth about this issue.
Duluth is doing some adjusting to their no smoking ordinance but they are not rescinding it
has it has been a very positive change. The restaurants that did close after the smoking
ordinance went into effect were in financial hardship before the ordinance went into effect.
Council Member Haugen also applauds what they are doing but he believes that it should be
up to the restaurant owner to make this decision. He also agrees with Council Member Stotts
that it is not the time to consider such an ordinance.
Ms. Ertl challenged the council to talk to people about this ordinance. The real heart of this
issue is health. Whatever they say about mdlvidual rights it is still a health issue. Smokers
are discharging a harmful chemical into the air.
Roger Petersen, 1300 Sherwood Avenue SE, stated that this should be an individual and
restaurant decision and should not be an ordinance. If it is such an imposition, why do non-
smokers go to restaurant with smokers. How can there be a distinction with bars since it is
just as dangerous for bar employees. Then there is the enforcement issue.
Motion by Council Member Arndt, second by Mayor Torgerson, to pass a resolution of
support of this policy. Motion failed with a split vote (council member Stotts and Haugen
voted nay).
Motion by Council Member Haugen, second by Council Member Arndt, to allow County
CommissIOners to use facilities to have public forum to discuss the Smoke Free Policy.
Motion passed unanimously.
10. MISCELLANEOUS
(a) COMMUNICATIONS
1. HEARTLAND COMMUNITY ACTION AGENCY INFORMATIONAL
PRESENTATION ON POVERTY
Dana Melius from Heartland Community Action Agency, Inc. presented information on
the new and innovative ways of battling poverty. Heartland Community serves
Kandiyohi, Meeker, Renville, and McLeod counties. Mr. Melius discussed various
statistics regarding poverty and how Heartland Community is helping people overcome
the problems that cause poverty. Their primary programs include energy assistance,
weatherization, and head start. Mr. Melius handed out a packet of information to each
of the council members that included the annual report and information on Heartland.
No action required
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CITY COUNCIL MINUTES - JANUARY 27, 2004
2. CONSIDERATION FOR APPROVAL FOR PURCHASE OF FOUR (4) ISUZU NPR
CAB/CHASSIS, BIDDER SELECTION
John Olson discussed the bid information and explained the need for the new trucks.
They all fit under the CDL requirements. The budgeted trucks are replacing three
trucks and one car. Maney International, Inc. had the lowest bid of$27,355.00 per unit.
John Olson recommended going with this lowest bid.
Council Member Arndt asked if we could buy an American made vehicle. Mr. Olson
explained that this is the same as a Chevrolet (American made).
Council Member Haugen asked how many miles the city can expect to get on each
vehicle. Mr. Olson stated that they should last 12 years.
Motion by Council Member Haugen, second by Council Member Stotts, to accept the
bid by Maney International, Inc. of $27,3 55 .00 per unit to purchase four trucks. Motion
carried unanimously.
3. COMMUNICATIONS FROM COUNCIL MEMBER BILL ARNDT
Council Member Arndt commented that the City's 150th anniversary is coming up. The
mayor challenged the Historic Hutch Committee to spearhead this celebration with the
help of the other civic organizations such as the Jaycees and Chamber. The City of
Hutchinson will help where it can.
4. COMMUNICATIONS FROM COUNCIL MEMBER CASEY STOTTS
Council Member Stotts received a call regarding the city buying a second sheet of ice.
DolfMoon discussed the need for the purchase of a second sheet of ice. In 1999 there
was not enough ice to meet all the ice time to meet all the community demand. Through
the partnership of the City and the Hutch Hockey Association, a new $1.3 million
facility was built to help meet that need. Hutchinson City Council offered a 10 year
agreement to the Hutchmson Hockey Association to help them serve the debt that was
created by the $1.3 million cost to build arena. The city is currently in the fifth year of
that agreement. If the city stays with that agreement, we would not collect operational
fees for west portion of the arena until July 1,2009. One way to help with the operating
cost would be, if the city could eliminate the debt on the ice arena the city could turn the
payment that goes to the debt into an operating revenue for the parks department. By
doing this, they could eliminate the last five years of the agreement. The city talked
about making an investment of a $100,00 against a $250,000 debt. What that would
allow us to do would be to take the dollars in from the hockey association (about
$250,000 over the next five years) and put it into the operating fund.
5. COMMUNICATIONS FROM CITY ADMINISTRATOR GARY PLOTZ
Gary Plotz reminded the council about the Visionary Workshop and invited the public
to attend. A facilitator will be there to help keep everyone on track. There is also a
joint planning commission tour following the workshop.
There was a meeting with Senator Dill, Representative Newman, the directors, and
Mayor Torgerson. Each director was given the opportunity to discuss issues for
upcoming session. Senator Dill and Representative Newman requested that the
dIrectors send them a more detailed explanation of some of the items.
11. CLAIMS, APPROPRIATIONS AND CONTRACT PAYMENTS
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CITY COUNCIL MINUTES - JANUARY 27, 2004
Motion by Council Member Stotts, second Council Member Arndt to approve claims,
appropriations, and contract payments.
12. ADJOURN
With no further business, the meeting adjourned at 7: 15 p.m.
ATTEST:
Marlin Torgerson, Mayor
Gary D. Plotz, City Administrator
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