05-11-2004 CCM
MINUTES
REGULAR MEETING - HUTCHINSON CITY COUNCIL
TUESDAY, MAY 11,2004
1. CALL TO ORDER - 5:30 P.M.
Mayor MarlIn Torgerson called the meeting to order. Members present were Kay Peterson, Jim Haugen,
Bill Arndt and Casey Stotts. Others present were Gary Plotz, City Administrator, Marc Sebora, City
Attorney and John Rodeberg, Director of EngineeringIPublic Works.
2. INVOCATION - Rev. Brian Brosz, Congregational- UCC Church, delivered the invocation.
3. PLEDGE OF ALLEGIANCE
4. MINUTES
(a) REGULAR MEETING OF APRIL 27,2004
Minutes were approved as presented.
5. CONSENT AGENDA
(a) REPORTS OF OFFICERS, BOARDS AND COMMISSIONS
1. FIRE DEPARTMENT MONTHLY REPORT FOR APRIL 2004
2. HUTCHINSON PUBLIC LIBRARY MEETING MINUTES FROM MARCY 22, 2004
3. COMPOST SITE ADVISORY BOARD MINUTES FROM APRIL 21,2004
4. BUILDING DEPARTMENT MONTHLY REPORT FOR APRIL 2004
5. HUTCHINSON UTILITIES COMMISSION FINANCIAL REPORT FOR MARCH 2004
6. HUTCHINSON AREA HEALTH CARE FINANCIAL REPORT FOR MARCH 2004
(b) RESOLUTIONS AND ORDINANCES
1. RESOLUTION NO. 12407 - SENIOR DEFERRAL
2. RESOLUTION NO. 12408 - RESOLUTION FOR PURCHASE
(c) CONSIDERATION FOR APPROVALS AND PERMITS FOR THE 62nd ANNUAL
HUTCHINSON JAYCEE WATER CARNIVAL FOR JUNE 14 - 20, 2004
(d) CONSIDERATION FOR APPROVAL OF TRANSIENT MERCHANT LICENSE FOR T.AP.
ENTERPRISES TO CONDUCT A TOOL SALE AT THE BEST WESTERN VICTORIAN INN
ON MAY 25, 2004
(e) CONSIDERATION FOR APPROVAL OF JOINT POWERS AGREEMENT WITH THE
SOUTHWEST METRO DRUG TASK FORCE
(t) CONSIDERATION FOR APROV AL OF SHORT-TERM GAMBLING LICENSE AND SHORT-
TERM ON-SALE NON-INTOXICATING MALT LIQUOR LICENSE FOR ST. ANASTASIA
CATHOLIC CHURCH FOR SEPTEMBER 11 & 12,2004
(g) CONSIDERATION FOR APPRO V AL OF USINGCITYRIGHT-OF-W A YFOR THE FARMERS
CITY COUNCIL MINUTES-MAY 11,2004
MARKET LOCATED ON FIRST AVENUE
(h) CONSIDERATION FOR APPROVAL OF USING CITY RIGHT-OF-WAY FOR POPCORN
WAGON LOCATED IN LIBRARY SQUARE
(i) LETTING NO.5, PROJECT NO. 04-05 (ROLLING MEADOWS EAST)
- RECEIVING REPORT AND CALLING FOR HEARING ON PROPOSED IMPROVEMENT
0) CONSIDERATION FOR APPROVAL OF SUBDIVISION AGREEMENT ON RA VENWOOD
WEST
(k) CONSIDERATION FOR APPROVAL OF SUBDIVISION AGREEMENT ON ROLLING
MEADOWS EAST
Items 5(g) and 50) was pulled for further discussion.
Motion by Arndt, second by Stotts, to approve consent agenda with the exceptions of Items 5(g)
and 50). Motion carried unanimously.
Item 5(g). Council member Haugen explained that the alley is essentially closed off when the
Farmers Market is open Wednesday afternoon. The alley way is used for delivery trucks to
businesses on Main Street. A loading/unloading area will be designated in the parking lot to aid
with resolving this issue. John Rodeberg will bring a resolution back to the next Council
meeting to address this issue.
Motion by Haugen, second by Peterson, to approve using city right-of-way for the Farmer's
Market on First Avenue. Motion carried unanimously.
Item 50). Council member Arndt stated asked if there was any protection for the Fairgrounds
when they hold events that have noise, etc. This development doesn't currently have any
provisions related to this because it is not adjacent to the Fairgrounds, however language can be
added to include provisions related to noise, etc. that may occur in this neighborhood.
Motion by Arndt, second by Peterson, to approve the Ravenwood West subdividers agreement
with the addition of including disclaimer language related to noise in the neighborhood directly
related to the Fairgrounds. Motion carried unanimously.
6. PUBLIC HEARINGS - 6:00 P.M.
(a) CONSIDERATION OF FRANCHISE AGREEMENT WITH AMERICAN PAYMENT CENTERS
FOR DRIVE-UP PAYMENT CABINETS LOCATED AT III HASSAN STREET SE
John Rodeberg explained that the current payment centers are located on Main Street and the owners
of the cabinets are looking for another location. They have requested of the City to place the same
type of payment cabinets at the City Center located where the City Center's current payment centers
are. They would charge the City no fee for placing a payment slot in the cabinet and would maintain
the payment center. The franchise fee and the number of years needs to be decided on. Five years
was suggested for the initial franchise length.
Bill Arndt questioned the direction of traffic and the increased amount of traffic. John Rodeberg did
not think it would be an issue.
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CITY COUNCIL MINUTES-MAY 11,2004
Motion by Peterson, second by Haugen, to close public hearing. Motion carried unanimously.
Motion by Peterson, second by Haugen, grant a franchise to American Payment Centers for drive-up
payment cabinets to be located at III Hassan Street SE (City Center) for five years, but waive
franchise fee (this is the first reading of the ordinance granting a franchise agreement, with the
second reading and adoption scheduled for the May 25, 2004, Council meeting). Motion carried
unanimously.
(b) CONSIDERATION OF DISBURSING PUBLIC PROPERTY TO EARTHLY DELIGHTS, LTD
(STATE THEATER PROJECT) FOR THE PURPOSE OF CONSTRUCTING A GARAGE
LOCATED AT 35 WASHINGTON AVENUE EAST
Julie Wi schnack, Director of Planning/Zoning/Building, presented before the Council. Ms.
Wi schnack explained that at the last Council meeting a request was made by the owner of the State
Theatre to construct a garage directly behind and attached to the State Theatre building, which
would be on public property. A couple of options to achieve this would be to sell a piece of the
property to the property owner or grant a franchise to the property owner for a certain amount of
years.
Red McMonagle, property owner, explained that the main intention of constructing the garage is to
place the 11 units of HV AC equipment on top of the garage due to the fact that the roof of the
building is not stable enough.
Mayor Torgerson noted that a letter had been received from Piehl, Hanson, Beckman, who is also
housed on this block. This firm is in opposition to the request of selling the property for this
purpose. This parking lot was originally funded by property owners through assessments. The City
did add additional parking after this assessment project.
John Rodeberg stated that staff feels that by allowing this it would not set a precedent since it is a
safety and feasibility issue to a historic building. In addition, the funds received from the purchase
of the property will be used to recreate three parking spaces in the downtown area.
Julie Wi schnack stated that a parking study was completed several times of this parking lot and it
was occupied 62% of the time.
Tom Inglis, downtown property owner, stated that he is not opposed to this sale of this property for
this purpose. However, he does feel that there is a parking problem in the area and noted that there
is a lot available to the east of the current parking lot at issue that could possibly be used to create
another parking lot. Mr. Inglis stated that he had inquired of the property and the asking price is
approximately $160,000.
Scott Powell, owner of Hutch Auto Body, asked if he would be given the same opportunity (to
purchase parking spaces).
Motion by Arndt, second by Peterson, to close the public hearing. Motion carried unanimously.
Kay Peterson stated that this is a brand new endeavor and policy issues will need to be worked out.
Mayor Torgerson stated that he feels Mr. Powell should have the same opportunity to buy parking
spaces just like Mr. McGonagle.
Julie Wi schnack clarified that the use of these spots is for parking, as it will be used for tenants of
the building.
Jim Haugen suggested having annual parking permits for future uses.
Kay Peterson stated that she feels that this is an unusual instance, and the safety considerations of
the HV AC units need to be considered.
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CITY COUNCIL MINUTES-MAY 11,2004
Motion by Stotts, second by Peterson, with Haugen abstaining, to approve selling three parking
spaces to Miles McGonagle at the price of$12 per square foot for parking spaces and construction of
a garage. Motion carried unanimously.
(c) CONSIDERATION OF APPROVING THE GRANTING OF A BUSINESS SUBSIDY TO
HUTCHINSON PROPERTIES, LLC (HUTCHINSON HOTEL PROJECT) AND APPROVING
THE FORMS OF A BUSINESS SUBSIDY AGREEMENT
Lisa McClure, Interim EDA Director, presented before the Council. Ms. McClure explained that the
purpose of this public hearing is because, according to state statute, a public hearing must be held
when a subsidy is being granted in excess of$100,000. The subsidy will be used to rehabilitate the
Hutch Hotel building, which will help increase the tax base of the area. Ms. McClure covered items
included in the business subsidy agreement.
Motion by Stotts, second by Peterson, to close the public hearing. Motion carried unanimously.
Motion by Stotts, second by Peterson, with Haugen abstaining, to grant a business subsidy to
Hutchinson Properties, LLC, and approve a business subsidy agreement with Hutchinson Properties,
LLC. Motion carried unanimously.
7. COMMUNICATIONS, REQUESTS AND PETITIONS
8. UNFINISHED BUSINESS
(a) CONSIDERATION OF ALOT SPLIT LOCATED AT 165 5TH AVENUENW AS REQUESTED
BY PAUL BETKER WITH UNFAVORABLE STAFF RECOMMENDATION AND
UNF A VORABLE PLANNING COMMISSION RECOMMENDATION (ADOPT RESOLUTION
NO. 12390)
This item was requested to be deferred by the applicant until the second Council meeting in June.
Gary Plotz stated that the applicant has requested this deferment in order to have time to look at
different options. The extension of the application has been approved by staff as required by state
statute.
Motion by Peterson, second by Stotts, to defer this item to June 22, 2004. Motion carried
unanimously.
(b) CONSIDERATION OF FINAL PLAT TO BE KNOWN AS SOUTHFORK RIDGE SUBMITTED
BY FARR DEVELOPMENT WITH STAFF RECOMMENDATION AND FAVORABLE
RECOMMENDATION (ADOPT RESOLUTION NO. 12391)
Julie Wi schnack stated that the survey of this property has been clarified. Ms. Wi schnack also stated
that there is a declaration in the final plat and subdividers agreement in relation to noise, odor,
industrial uses, etc.
Motion by Haugen, second by Arndt, to approve final plat of Southfork Ridge. Motion carried
unanimously.
9. NEW BUSINESS
(a) CONSIDERATION FOR APPROVAL OF PUBLIC WORKS REORGANIZATION
John Rodeberg explained that this reorganization has been in the planning/development stages for
approximately 18 months. Mr. Rodeberg further explained that the goal of this reorganization is to
have teams put together to better operate the public works department.
Brenda Ewing, Human Resources Director, presented before the Council. Ms. Ewing stated that the
approval staffis seeking tonight will complete the final stages of the reorganization. The final stages
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CITY COUNCIL MINUTES-MAY 11,2004
include appointments and reclassifications of new job titles and redefining of job descriptions.
Motion by Arndt, second by Peterson, to approve the final stage of the Public Works reorganization.
Motion carried unanimously.
(b) CONSIDERATION OF POLICE CIVIL SERVICE COMMISSION RECOMMENDATION FOR
POLICE CHIEF POSITION
Mayor Torgerson stated that the City Administrator, as defined in the City Charter, has the authority
to hire all positions.
Mr. Plotz explained that historically the City Council and other Commissions have been involved in
the interviewing process when hiring director-level positions.
Marc Sebora explained the process that had been used in the recruitment of this position. The final
recommendation of the Police Commission is to hire Daniel Hatten as the Police Chief.
Bob Bowen, Police Commission, stated that a correction will be made in a story that was published
in the Hutchinson Leader today regarding the Police Commission appointment. Mr. Bowen stated
the vote of the Police Commission was 2-1 in favor of Daniel Hatten. Mr. Bowen explained the
safety precautions that the Hutchinson police department currently has in place.
Motion by Arndt, second by Haugen, to offer employment to Daniel Hatten for the position of Police
Chief of Hutchinson. Casey Stotts thanked the Police Commission for all of their work on this
project. Motion carried unanimously.
(c) CONSIDERATION FOR APPROVAL OF MEMO OF UNDERSTANDING ON FORMER
PROPERTY TRANSFER TO SOUTHWEST MINNESOTA FOUNDATION
John Rodeberg explained that staff has been working on acquiring railroad property near the river
for quite some time. The property in question is near Dale's Auto. Dale's Auto intends to sell this
property to the Southwest MInnesota Foundation. A Memo of Understanding needs to be drafted
that would state it is the City's intention to sell this property to Southwest Minnesota Foundation
when it has been transferred from the Rail Authority. Mr. Rodeberg's goal is to be able to take
formal action on this by the June 8, 2004, Council meeting.
Motion by Peterson, second by Stotts, with Haugen abstaining, to approve a Memo of Understanding
on the transfer of the railroad property to the Southwest Minnesota Foundation. Motion carried
unanimously.
10. MISCELLANEOUS
(a) COMMUNICATIONS
Bill Arndt - Mr. Arndt informed residents that parks are not to be used as a "bathroom facility" for
their pets. Please pick up after them.
Gary Plotz - Mr. Plotz informed the viewing audience that an informational meeting had been
scheduled prior to the Council meeting covering the liquor store project. A presentation will be
made at the next Council meeting.
John Rodeberg - Mr. Rodeberg explained that on May 21st from llam - 1pm a Highway 15
Corridor Coalition meeting will be occurring. Discussion will be had on preserving this corndor.
Mayor Torgerson - Mr. Torgerson reminded the Council that a Board of Review meeting is set for
May 13th at 4:30 p.m.
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CITY COUNCIL MINUTES-MAY 11,2004
Lisa McClure reminded the Council that a meeting will be occurring next week with downtown
property owners regarding the street light proj ect.
11. CLAIMS, APPROPRIATIONS AND CONTRACT PAYMENTS
Motion by Peterson, second by Stotts, to approve claims, appropriations and contract payments. Motion
carried unanimously.
12. ADJOURN
With no further business to discuss, the meeting adjourned at 6:35 p.m.
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