08-08-2006 CCM
MINUTES
REGULAR MEETING - HUTCHINSON CITY COUNCIL
TUESDAY, AUGUST 8, 2006
1. CALL TO ORDER - 5:30 P.M.
Mayor Steve Cook called the meeting to order. Members present were Kay Peterson, Jim Haugen, and Bill
Arndt. Member absent was Casey Stotts. Others present were Gary Plotz, City Administrator, John Rodeberg,
Public Works Director and Marc Sebora, City Attorney.
2. INVOCATION - Due to the absence of Rev. James Rainwater, Seventh Day Adventist Church, the invocation
was dispensed.
3. PLEDGE OF ALLEGIANCE
4. PUBLIC COMMENTS
5. MINUTES
(a) REGULAR MEETING OF JULY 25,2006
Motion by Arndt, second by Haugen, to approve the minutes as presented. Motion carried unanimously.
6. CONSENT AGENDA
(a) REPORTS OF OFFICERS, BOARDS AND COMMISSIONS
1. PUBLIC ARTS COMMISSION MEETING MINUTES FROM MAY 16,2006, AND JUNE 20, 2006
2. FIRE DEPARTMENT MONTHLY REPORT FOR JULY 2006
3. BUILDING DEPARTMENT MONTHLY REPORT FOR JULY 2006
4. HUTCHINSON UTILITIES COMMISSION FINANCIAL REPORT FOR JUNE 2006
(b) RESOLUTIONS AND ORDINANCES
1. RESOLUTION NO. 13006 - RESOLUTION DESIGNATING THE LOCATION OF POLLING
PLACE FOR ALL CITY PRECINCTS AND APPOINTING JUDGES FOR THE 2006 CITY OF
HUTCHINSON AND STATE PRIMARY AND GENERAL ELECTIONS
2. RESOLUTION NO. 13009 - RESOLUTION FOR PURCHASE (SEAL COAT PROJECT, FIBER
CONNECTION, UNLEADED GASOLINE)
3. RESOLUTION NO. 13010 - RESOLUTION ACCEPTING PLEDGED SECURITIES FROM
HOME STATE BANK
4. ORDINANCE NO. 06-0440 - AN ORDINANCE ESTABLISHING A PROCEDURE FOR
ENFORCING ADMINISTRATIVE PENAL TIES FOR CERTAIN PETTY MISDEMEANORS AND
MUNICIPAL CODE VIOLATIONS (SECOND READING AND ADOPTION)
5. ORDINANCE NO. 06-0441 - AN ORDINANCE REZONING PROPERTY LOCATED AT 255 AND
287 HWY 7 EAST FROM INDUSTRIAL/COMMERCIAL TO R2 (SECOND READING AND
ADOPTION)
6. ORDINANCE NO. 06-0442 - AN ORDINANCE AMENDING CHAPTER 120 OF THE CURRENT
PAWNBROKERS ORDINANCE (SECOND READING AND ADOPTION)
CITY COUNCIL MINUTES - AUGUST 8, 2006
(c) CONSIDERATION FOR APPROVAL OF 32nd ANNUAL ARTS & CRAFTS FESTIVAL TO BE
HELD SEPTEMBER 15-16,2006, IN LIBRARY SQUARE AND SURROUNDING STREETS
(d) CONSIDERATION FOR APPROVAL OF RESOLUTION REQUESTING MUNICIPAL STATE AID
VARIANCE FOR HIGHWAY 7 UNDERPASS TRAIL
Items 6(b )2, 6(b )4, 6(b)5 and 6(b)6 were pulled for separate action.
Motion by Haugen, second by Peterson, to approve consent agenda with the exception of the items noted
above. Motion carried unanimously.
Item 6(b)2 had further discussion. John Rodeberg noted that this resolution includes an item that will be
discussed during the public hearing later on the agenda.
Motion by Arndt, second by Haugen, to defer action on this item until after the public hearing. Motion
carried unanimously.
Item 6(b )4 had further discussion. Marc Sebora noted that a memo had been included in the packet written
by Chief Hatten asking that this item be tabled to work out further details of the ordinance.
Motion by Peterson, second by Arndt, to table Item 6(b )4. Motion carried unanimously.
Item 6(b)5 had further discussion. Rebecca Bowers informed the Council that the applicant has requested
that this item not be rezoned due to a purchase agreement being entered into with a commercial buyer.
Therefore, he requests that the area remain commercial, as currently zoned.
Motion by Haugen, second by Arndt, to deny Item 6(b)5 due to applicant's request. Motion carried
unanimously.
Item 6(b)6 had further discussion. Mayor Cook noted that the approval date should be amended to an
adoption date of February 1,2007.
Motion by Arndt, second by Peterson to approve Item 6(b )6 with the contingency that the adoption date be
revised to February 1,2007. Motion carried unanimously.
7. PUBLIC HEARINGS - 6:00 P.M.
(a) CONSIDERATION FOR APPROVAL OF PROCEEDING WITH 2006 STREET/TRAIL/SIDEWALK
IMPROVEMENT PROJECTS (LETTING NO.5, PROJECT NO. 06-05) - ADOPTING ASSESSMENT
AND ACCEPTING BID
Kent Exner, City Engineer, presented before the Council. Mr. Exner explained that no assessments are
proposed for these improvements, however this public hearing is required for city bonding purposes. This
project includes general maintenance work including several small projects. This work will come out ofthe
general fund when the proposed phased inclusion of maintenance funding in the Street Department budget is
completed, which will be about three years. The total project is estimated at $80,000.
Motion by Peterson, second by Arndt, to close public hearing. Motion carried unanimously.
John Rodeberg reminded the Council that Resolution No. 13009, Resolution for Purchase needs to approved
along with this item.
Motion by Arndt, second by Haugen, to approve proceeding with 2006 street/trail/sidewalk improvement
projects, approving Resolution No. 13008. Motion carried unanimously.
Motion by Peterson, second by Haugen, to approve Resolution No. 13009, Resolution for Purchase. Motion
carried unanimously.
8. COMMUNICATIONS. REQUESTS AND PETITIONS
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CITY COUNCIL MINUTES - AUGUST 8, 2006
(a) ISSUES RELATED TO NORTHWEST CORNER OF MILLER WOODS PARK PRESENTED BY KATE
SEVERSON, 1270 7TH AVENUE NW
Kate Severson presented before the Council. Ms. Severson distributed a map ofthe area she is referring to.
First of all, Ms. Severson asked that City staff research a drain tile that runs through the area she lives in.
Ms. Severson stated that she purchased this property due to the privacy that Miller Woods provides in her
backyard. Ms. Severson was under the impression that the pathway to enter into the Woods was in the lot
next to her. She has since discovered that the location of this pathway is located on a private lot and the
actual proposed public entrance to the pathway runs parallel to her backyard with the entrance a couple of
blocks to the east.
Ms. Severson requested that the City exercise eminent domain and purchase the private lot that the
"manmade" trail is currently on. She further requested that the Council direct parks personnel not to
proceed with construction of the proposed entrance and trail until other alternatives have been considered.
Dolf Moon, Parks/Recreation/Community Education Director, and Mark Schnobrich, City Forester,
presented before the Council. Mr. Moon eXplained that he and Mr. Schnobrich met with neighborhood
members prior to the Council meeting regarding this issue.
Mark Schnobrich explained the easements surrounding Miller Woods park. The drain tile that Ms. Severson
had questioned is now connected to a City catch basin, which should deter the majority of water problems in
the neighborhood. Mr. Schnobrich noted that when park staff presented a perimeter trail around the park,
the neighborhood was opposed to it. Because of these concerns, this plan has been dropped. Mr.
Schnobrich stated that staff has offered to plant buffers to aid with privacy along a trail entrance. The City
currently has an easement for a trail entrance approximately 150 feet from the manmade trail currently on
Lot 3. This is located on Shady Ridge Road and plans to be enhanced. Mr. Schnobric~ informed the
Council that the City at no time has emphasized having a use for the private entrance off of7 Avenue NW.
Lyndon Peterson, 531 Shady Ridge Road, presented before the Council. Mr. Peterson was aware of the
easement that the City has on the south side, however he and his neighbor have maintained this area by
mowing it. Mr. Peterson raised concerns about the drain tile plugging up.
Marc Sebora spoke to eminent domain laws and the procedure, such as Ms. Severson had suggested.
Ms. Severson raised concerns about a park sign that appeared to indicate that her lot line was further to the
east, but is actually on the easement.
Motion by Arndt, second by Peterson, to discuss this item further and place it on the next Council agenda.
Marc Sebora stated that items to consider are language in the park dedication documents, utility lines and
easement locations. Mayor Cook noted that although he understands Ms. Severson's concerns, the proposed
plan, with the entrance coming off of Shady Ridge Road located on the City's easement, has been the vision
for the park. Haugen - aye; Arndt - aye; Peterson - aye; Cook - nay. Motion carried 3 to 1.
Lyndon Peterson voiced that he felt all of the easements should be opened and maintained. Mark
Schnobrich noted that it is the City's full intention to maintain the easement on 7ili Avenue as a foot traffic
entrance.
(b) UPDATE BY CANDICE WOODS ON LIQUOR HUTCH OPERATIONS
Ms. Woods presented an update to the Council on happenings since the new store opened. Ms. Woods
shared pictures of the old store compared to the new store, which includes much more and better storage
capacity. Ms. Woods shared information that year to date, sales are up 12.7% compared to 2005. Likewise,
gross profit increases are up 14.7% year to date. Even with new construction, the store's sales are able to
support debt service and general fund transfer in the first year, as opposed to the first three years that was
pro] ected. Mayor Cook and Candice Woods reminded the public that the liquor store is not supported by tax
dollars, but is self-sufficient.
9. UNFINISHED BUSINESS
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CITY COUNCIL MINUTES - AUGUST 8, 2006
(a) CONSIDERATION FOR APPROVAL OF CALLING FOR SALE OF 2006 IMPROVEMENT BONDS,
GENERAL OBLIGATIONW ATERBONDS AND GENERAL OBLIGATION WASTEWATER BONDS
Steve Apfelbacher, Ehlers & Associates, presented before the Council. Mr. Apfelbacher explained that
these three bond issues are mainly driven by the Hwy 7 improvement project. The first series of bonds, $3.2
million general obligation improvement bonds, will be repaid with special assessments and tax levy. The
second series of bonds, $2.2 million general obligation sewer revenue bonds, will be repaid with revenue
from the wastewater facility. The third series of bonds, $2.2 million general obligation water revenue bonds
will be repaid with revenue from the water utility. All of these bonds will have a term of 15 years. The bids
will be opened in two weeks and are proposed to be awarded at the next Council meeting.
Mayor Cook noted that, due to the new water plant and proposed wastewater plant expansion, increases in
the wastewater and water rates are inevitable.
Motion by Peterson, second by Haugen, to approve calling for sale of 2006 improvements bonds -
Resolution No. 12310, 2006 general obligation water bonds - Resolution No. 12310, and 2006 general
obligation wastewater bonds - Resolution No. 12312. Motion carried unanimously.
(b) CONSIDERATION FOR APPROVAL OF OUT-OF-STATE TRAVEL FOR RANDY DEVRIES TO
ATTEND THE WATER ENVIRONMENT FEDERATION ANNUAL TECHNICAL EXHIBITION AND
CONFERENCE ON OCTOBER 21 - 25,2006, IN DALLAS, TEXAS
John Rodeberg noted that this item was tabled at the last meeting to allow time to review policy related to
out-of-state travel and to consider whether or not another individual in the department, Brian Mehr, should
attend instead. Mr. Rodeberg noted that this conference meets the needs related to Mr. DeVries's position
and other opportunities will be made available to the Wastewater Superintendent, Brian Mehr.
Motion by Peterson, second by Haugen, to approve out-of-state travel for Randy DeVries to attend the
Water Environment Federation Annual Technical Exhibition and Conference on October 21 - 25, 2006, in
Dallas, Texas. Motion carried unanimously.
10. NEW BUSINESS
(a) CONSIDERATION FOR APPROVAL OF COOPERATION BETWEEN CREEKSIDE AND PUBLIC
WORKS/PARKS FOR THE UPCOMING 2006-2007 SNOW REMOVAL SEASON
John Olson, Public Works Supervisor, presented before the Council. Mr. Olson explained that due to
increased efficiency at the compost facility, compost facility staff and equipment will be able to be made
available to assist with snow removal operations. This will allow for eqmpment and labor cost reductions.
Motion by Arndt, second by Peterson, to approve cooperation between Creekside and Public Works/Park for
the upcoming 2006-2007 snow removal season. Motion carried unanimously.
(b) CONSIDERATION FOR APPROVAL OF CONSULTING AGREEMENT WITH BOLTON & MENK
CONSULTING REGARDING CONSTRUCTION STAKING ON THE HIGHWAY 7 PROJECT
Kent Exner, City Engineer, presented before the Council. Mr. Exner stated that this agreement is for the
second half of the project related to staking on Hwy 7. Staff is requesting that Bolton & Menk continue to
be utilized to complete the project at a cost not to exceed $13,500. Council Member Haugen raised
concerns regarding the liability coverage amount in the contract. City Attorney Sebora stated that generally
the City is not in a position to raise liability amounts due to the fact that the work needs to be done in a cost-
effective manner. Council Member Peterson suggested that the League of Minnesota Cities Insurance Trust
review this issue to see if there are alternatives for the City to cover themselves.
Motion by Arndt, second by Haugen, to approve consulting agreement with Bolton & Menk Consulting for
construction staking on the Highway 7 Project. Motion carried unanimously.
(c) DISCUSSION OF HUTCHINSON AREA TRANSPORTATION SERVICES (HATS) FACILITY
DEVELOPMENT AND OPERATIONS
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CITY COUNCIL MINUTES - AUGUST 8, 2006
John Rodeberg explained that the HATS Facility is jointly owned and operated by a joint powers board
which consists of the City of Hutchinson, McLeod County and the State of Minnesota. Due to growth
amongst all of the entities, a study was completed by a consultant with the Center for Transportation Studies
to reView the current arrangement. Overall, the consultant's view is that although this venture is unique, it is
very successful.
(d) CONSIDERATION FOR APPROVAL OF SETTING HEARING FOR DETERMINATION OF
DANGEROUS ANIMAL AS REQUESTED BY DAVID FREUND
Marc Sebora noted that a dog owned by David Freund bit an individual causing injury requiring medical
attention. Because ofthis, the dog has been designated as dangerous. The dog owner has the right to appeal
this designation and have a hearing in front of the Council.
Motion by Peterson, second by Arndt, to approve setting hearing for determination of dangerous animal for
August 15,2006, at 3:00 p.m. Motion camed unanimously.
11. MISCELLANEOUS
(a) COMMUNICATIONS
Tom Kloss, Information Technology Director, presented before the Council. Mr. Kloss noted that there are
some sound issues in the room, however changes are scheduled that should alleviate these issues by the next
meeting.
Mayor Cook asked that the intent be made known as to the reason to delay discussion ofthe Millers Woods
item. Mayor Cook noted that privacy issues are already addressed by City staff by the option of planting
buffers. The mayor was also concerned that making an exception here could result in similar requests of
neighbors along the trail easement on the south side of the park. He also wondered if the Council is
seriously considering purchasing the vacant lot, when the City already has easements for two entrances
nearby?
Council Member Arndt stated that the purpose of his motion was to review all options available to Ms.
Severson to address her concerns. This does not include considering purchasing the vacant lot, but more to
review the plan and steer the entrance of the path away from her property if at all possible. Dolf Moon
stated that the parks department is open to offering bufferings near this entrance to try and qualm some of
Ms. Severson's concerns.
Marc Sebora - City Attorney Sebora noted that the September 12,2006, City Council meeting will need to
be rescheduled to a different date/time due to the primary election being held that day.
Motion by Arndt, second by Haugen, to reset the first meeting in September to September 13, 2006, at 5:30
p.m. Motion carried unanimously.
Council Member Arndt - Bill Arndt noted that the McLeod County Fair starts next week and runs from
August 16 - 20, 2006. He also asked for an update on the hospital privatization matter. City Attorney
Sebora stated that the City and the hospital are currently in negotiations regarding the details of a transaction
and are slowly but surely making progress.
Gary Plotz - Mr. Plotz reminded the Council that a budget workshop is scheduled for August 15,2006, at
3:30 p.m. Much information will be delivered to the Council prior to that date.
John Rodeberg - Mr. Rodeberg noted that watering restrictions are still in effect. He also noted that official
closure needs to be conducted on the City dump that closed decades ago. This will require funds to be
expended to comply with environmental requirements.
Motion by Peterson, second by Haugen, to approve expending up to $20,000 from the excess bond fund to
close this matter. Motion carried unanimously.
Mayor Cook - Mayor Cook expressed some ideas related to City policies. One idea is to formally approve
the addition of a position even after it has been adopted in a fiscal year's budget. Marc Sebora will research
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CITY COUNCIL MINUTES - AUGUST 8, 2006
this.
12. CLAIMS. APPROPRIATIONS AND CONTRACT PAYMENTS
Motion by Arndt, second by Peterson, to approve claims, appropriations and contract payments. Motion carried
unanimously.
13. ADJOURN
Motion by Arndt, second by Haugen, to adjourn at 8:00 p.m. Motion carried unanimously.
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