Loading...
09-13-2006 CCM MINUTES REGULAR MEETING - HUTCHINSON CITY COUNCIL WEDNESDAY, SEPTEMBER 13, 2006 1. CALL TO ORDER - 5:30 P.M. Mayor Steve Cook called the meeting to order. Members present were Kay Peterson, Jim Haugen, Casey Stotts and Bill Arndt. Others present were Gary Plotz, City Administrator, John Rodeberg, Director of Public Works and Marc Sebora, City Attorney. 2. INVOCATION - Due to the absence of Rev. Kevin Oster, Our Savior's Lutheran Church, the invocation was dispensed. 3. PLEDGE OF ALLEGIANCE 4. PUBLIC COMMENTS Gail Kolton, 620 Madson Avenue, presented before the Council. Ms. Kolton explained that her neighborhood has submitted two petitions to have a streetlight added to their block due to thievery and vandalism in the area. She asked the City please consider this. John Rodeberg noted that generally these petitions are referred to the Hutchinson Utilities Commission, however is reviewed by Engineering and the Police Department. These three entities will meet to review the request. 5. MINUTES (a) REGULAR MEETING OF AUGUST 22, 2006 Motion by Peterson, second by Stotts, to approve the minutes as presented. Motion carried unanimously. 6. CONSENT AGENDA (a) REPORTS OF OFFICERS, BOARDS AND COMMISSIONS 1. HUTCHINSON PUBLIC LIBRARY BOARD MINUTES FROM JUNE 26, 2006 2. CREEKSIDE ADVISORY BOARD MINUTES FROM MAY 17,2006 3. HUTCHINSON AIRPORT COMMISSION MINUTES FROM APRIL 27, 2006 4. FIRE DEPARTMENT MONTHLY REPORT FOR AUGUST 2006 5. BUILDING DEPARTMENT MONTHLY REPORT FOR AUGUST 2006 6. HUTCHINSON UTILITIES COMMISSION FINANCIAL REPORT FOR JULY 2006 (b) RESOLUTIONS AND ORDINANCES 1. RESOLUTION NO. 13018 (REVISED) - REVISED RESOLUTION CHANGING CONDITIONS OF APPROVAL TO REQUIRE PARKING TO BE PAVED WITHIN THREE YEARS 2. RESOLUTION NO. 13032 - RESOLUTION TO SELL AT AUCTION UNCLAIMED PROPERTY 3. RESOLUTION NO. 13033 - RESOLUTION FOR PURCHASE (HELP DESK SOFTWARE, BIODIESEL AND UNLEADED GASOLINE) 4. RESOLUTION NO. 13034 - RESOLUTION AUTHORIZING GRANT APPLICATION TO MINNESOTA INVESTMENT FUND AND CALLING FOR PUBLIC HEARING (WARRIOR MFG. LLC PROJECT) CITY COUNCIL MINUTES - SEPTEMBER 13, 2006 5. RESOLUTION NO. 13038 - RESOLUTION SETTING INTEREST RATE FOR 2006 ADOPTED ASSESSMENT ROLLS 6. ORDINANCE NO. 06-0444 - AN ORDINANCE VACATING EASEMENTS LOCATED BETWEEN 705 AND 715 PARK ISLAND DRIVE SW IN STEARNS WOODS ADDITION (SECOND READING AND ADOPTION) ( c) CONSIDERATION FOR APPROVAL OF SETTING PUBLIC HEARING FOR SEPTEMBER 26, 2006, AT 6:00 P.M. TO PRESENT FINAL REPORT ON FRANKLIN GROVE SCDP PROJECT CLOSEOUT (d) APPOINTMENT OF MICHAEL RETTERATH TO PARK, RECREATION, COMMUNITY EDUCATION BOARD TO AUGUST 2009 (e) CONSIDERATION FOR APPROVAL OF SUPPORTING HUTCHINSON UTILITIES COMMISSION'S PARTICIPATION IN THE PUBLIC POWER'S NATIONAL TREE PROGRAM (f) CONSIDERATION FOR APPROVAL OF TEMPORARY LIQUOR LICENSE FOR MCLEOD COUNTY VOITURE 414 ON SEPTEMBER 23,2006, AT MCLEOD COUNTY FAIRGROUNDS (g) CONSIDERATION FOR APPROVAL OF TEMPORARY LIQUOR LICENSE FOR AMERICAN LEGION POST 96 ON OCTOBER 14, 2006, AT MCLEOD COUNTY FAIRGROUNDS (h) CONSIDERATION FOR APPROVAL OF ADVERTISING FOR WASTEWATER TREATMENT FACILITY ADMINISTRATION BUILDING IMPROVEMENTS (i) CONSIDERATION FOR APPROVAL OF JOINING THE MINNESOTA CITIES STORMWATER COALITION (j) CONSIDERATION FOR APPROVAL OF CONSULTING CONTRACT WITH WOLD ARCHITECTS AND ENGINEERS FOR HATS STORAGE FACILITY Items 6(b)l, 6(b)3, 6(b)4, 6(e), 6(h) and 6(j) were pulled for separate action. Motion by Arndt, second by Haugen, to approve consent agenda with the exception of the items noted above. Motion carried unanimously. Item 6(b) 1 had further discussion. Mayor Cook noted that this amended resolution requires that the HATS cold storage facility be paved within three years as opposed to how it was previously approved, which allowed delay for at least two years. Mayor Cook also suggested removing the second sentence in condition #4 on the resolution. Motion by Haugen, second by Stotts, to approve amended Resolution No. 13018. Motion carried unanimously. Item 6(b)3 had further discussion. Mayor Cook questioned the cost of the help desk software. Tom Kloss noted that the cost for the consultant will come out of the wages/benefits of the IT position that was delayed in being filled in 2006. The equipment will be paid for with funds that were originally going to be used for a piece of equipment that Engineering is now not going to purchase. The benefit of this software will aid in organization assistance to the IT department as well as tracking for cost of ownership and ICMA tracking. Motion by Peterson, second by Stotts, to approve Resolution No. 13033. Motion carried unanimously. Item 6(b)4 had further discussion. Mayor Cook reaffirmed that if the City applies for this grant, the City is obligated to follow through with the process. Miles Seppelt noted that this grant program really only has obligations on the business, however there are no financial obligations to the City. Mr. Seppelt also noted that an additional resolution was handed out tonight to set the public hearing date. Motion by Arndt, second by Haugen, to approve Resolution No. 13034, authorizing grant application. 2 CITY COUNCIL MINUTES - SEPTEMBER 13, 2006 Motion carried unanimously. Motion by Stotts, second by Arndt, to approve Resolution No. 13041, setting public hearing for September 26,2006, at 6:15 p.m. Motion carried unanimously. Miles Seppelt noted that the ground breaking for Warrior Manufacturing will take place on September 15,2006, at 8:00 a.m. Motion by Arndt, second by Peterson, to set public meeting for September 15,2006, at 8:00 a.m. for the Warrior Manufacturing ground breaking ceremony. Item 6( e) had further discussion. Mayor Cook noted that in the past the HUC has earmarked monies for a tree program for conservation. The state was not approving ofthat program, so the HUC has now budgeted $30,00 out of their general fund for this program and asked that the City of Hutchinson support this program. Motion by Peterson, second by Arndt, to support the HUC tree program. Motion carried unanimously. Item 6(h) had further discussion. John Rodeberg provided an update to the Council on this proj ect as staff is near the stage of going out for advertisement for bids for the Wastewater Treatment Facility Administration building improvements. Mr. Rodeberg eXplained that this project expansion was originally proposed in 2005. An operations review was completed by SEH and Bonestroo on staff and operational review in 2006 as well as a review of the laboratory needs. Based on the results ofthese reviews, as well as a study done by Wold Architects & Engineers, it was found that the existing physical structure was in generally good condition however the lab space does not meet current codes, the windows need upgrading, the HV AC systems need to be replaced and/or upgraded, the largest staff growth will be in repair & maintenance, a fire alarm system needs to be added, accessibility deficiencies, inadequate storage and office space and inadequate meeting/training space. The current space does not have a secure access and emergency and safety equipment is stored outside. Various options were reviewed with the ultimate recommendation being what is currently before the Council. The current estimate for the project is $1,245,000. Mayor Cook asked if staff could obtain estimates on the other options that were reviewed (such as adding on office space and remodeling the lab). John Rodeberg noted that could be done but it would not address all of the needs. There was general discussion on the layout and current needs. Motion by Cook to get other estimates to review other options and compare costs. Motion failed due to lack of a second. Motion by Peterson, second by Haugen, to approve advertising for bids for Wastewater Treatment Facility Administration Building improvements. Roll call vote was taken. Haugen - aye; Arndt - aye; Cook - nay; Peterson - aye; Stotts - aye. Motion carried 4 to 1. Item 6(j) had further discussion. John Rodeberg noted that this item is for a total architectural fee of $51 00. This work will include work assisting in developing bid documents for the HATS cold storage facility project. Council Member Arndt for the need ofthese architectural services when this is simply a pole-shed type building. Rodeberg noted there are specific criteria that must be met. Motion by Arndt, second by Stotts, to approve agreement with Wold Architects for HATS cold storage building. Motion carried unanimously. 7. PUBLIC HEARINGS - NONE 8. COMMUNICATIONS. REQUESTS AND PETITIONS (a) CONSIDERATION FOR APPROVAL OF SETTING DATE FOR JOINT MEETING WITH SCHOOL BOARD Lenore Flinn has suggested the date of September 28, 2006, at 4:30 p.m. for the City Council and School Board to hold ajoint meeting. Motion by Arndt, second by Haugen, to set joint meeting with ISD #423 officials for September 28,2006, at 4:30 p.m. Motion carried unanimously. 3 CITY COUNCIL MINUTES - SEPTEMBER 13, 2006 Gary Plotz reviewed that an earlier meeting was held with some representatives of the City and the School District to brainstorm partnership opportunities between the two entities. This meeting will be a continuation of that between the full bodies. 9. UNFINISHED BUSINESS (a) CONSIDERATION OF POLICY ON GRANT APPLICATIONS Gary Plotz noted at the last meeting this was discussed. The pU1."Pose of this policy is ultimately to ensure that the Council has knowledge and support of all grant applications and are aware of any financial obligations. Kay Peterson raised a concern on whether or not a grant becomes available that must be applied for prior to allowing time for the Council to consider it. Mayor Cook noted that he would foresee that projects are discussed in a timely manner and the Council could show support of grant applications. Casey Stotts noted that maybe an exception could be noted in the policy that the applications need to be approved by the Councilor the City Administrator. Motion by Peterson, second by Stotts, to table this item and rewrite it to address the issue of short-notice time lines and/or including a dollar amount. Motion carried unanimously. 10. NEW BUSINESS (a) CONSIDERATIONFORAPPROV AL OF AUTHORIZATION FOR STAFF TO PROCEED WITH THE IMPLEMENTATION OF A RETIREMENT HEALTH SAVINGS ACCOUNTS (RSA) PROGRAM WITH ICMA FOR ELIGIBLE CITY EMPLOYEES Brenda Ewing, Human Resources Director, presented before the Council. Ms. Ewing explained that this program is similar to the deferred compensation plans currently in place. Basically, pre-tax contributions can be placed into funds and accumulate. At retirement, these funds can be used for health care premiums, prescriptions, etc. Ms. Ewing explained the various allowable mandatory contributions. However, staff has considered recommending not implementing any mandatory contributions, however make this an optional program to employees. Ms. Ewing then explained the allowable optional contributions. Mayor Cook noted that the reason the City is reviewing this is because the City does not currently have a program for retirees health care costs. Ms. Ewing noted that she was informed by the ICMA representative that this program can be amended over time ifthere are changes to the City's benefit program. Motion by Peterson, second by Haugen, to approve authorization for staff to proceed with the implementation of a Retirement Health Savings Accounts Program with ICMA. Motion carried unanimously. (b) CONSIDERATION FOR APPROVAL OF AUTHORIZING LANDSCAPING PROJECT FOR THE HUTCHINSON FIRE STATION Brad Emans, Fire Chief, presented before the Council. Mr. Emans informed the Council that the fire station was built in 1981. Fire department personnel have purchased a 7 foot statute to be placed in front of the station to honor those who have served the department. This statute is proposed to be placed in front ofthe fire station and have landscaping be redone by a current firefighter who has experience in this field. Some new plantings will be put in place as well as the replacement of a flagpole. This will be funded by the Fire Department general fund. Motion by Arndt, second by Peterson, to approve authorizing landscaping project for the Hutchinson Fire Station. Motion carried unanimously. (c) CONSIDERATION FOR APPROVAL OF UTILIZING FIRE/POLICE TRAINING SITE TO HOST AREA-WIDE HAUNTED HOUSE AS REQUESTED BY HUTCHINSON FIRE DEPARTMENT AND HUTCHINSON JAYCEES Brad Emans, Fire Chief, introduced Troy Lenarz, Hutchinson Jaycees, and Gary Forcier, Assistant Fire 4 CITY COUNCIL MINUTES - SEPTEMBER 13, 2006 Chief. Troy Lenarz presented before the Council. Mr. Lenarz asked the Council for approval to use the fire/police training site on Adams Street for a community-wide haunted house. Mr. Lenarz and Mr. Forcier noted that this site is very advantageous as it is completely fenced in, as well as having a formal entrance and exit. Food shelf donations will be taken as patrons enter. Motion by Peterson, second by Arndt, to approve utilizing fire/police training site to host area-wide haunted house. Motion carried unanimously. (d) CONSIDERATION OF APPROVING PROPOSED LEVY AMOUNT ON BEHALF OF THE HUTCHINSON ECONOMIC DEVELOPMENT AUTHORITY Miles Seppelt, EDA Director, presented before the Council. Mr. Seppelt explained that ever since the EDA was implemented, the intention was for it to be self-funded from a separate tax levy. Due to technical reasons, the County was unable to implement the levy and the EDA funding was included in the City's general fund. The annual transfer to the EDA from the City's general fund has remained essentially unchanged since 1998. This has been workable because EDA expenditures have been significantly lower than budgeted due to staffing changes. However, EDA revenues will decline due to a rental property being vacated. Because of these issues, the EDA Board has recommended implementing an EDA tax levy and phase out the EDA's transfer from the general fund. This is a benefit to the City in that it is greater transparency in the City's budget, it eliminates an annual transfer to the EDA and the City can reduce its tax rate. It is a benefit to the EDA in that it provides a more stable funding source, protects the EDA from City budget pressures, gives the EDA Board more control over their own budget, provides better financial management and moves the EDA toward financial self-sufficiency. However, the City Council would se the EDA levy each year at the same time they set the City's levy. Mr. Seppelt explained the process to establish a levy for the EDA. This would include holding a public hearing to provide public input. The EDA Board is requesting that the City Council authorize the implementation of a levy on behalf of the EDA in the amount of$140,000, giving an estimated EDA tax rate of 1.525%. Each year going forward, the EDA would request that the EDA tax rate be kept the same. Mr. Seppelt then reviewed the value the EDA provides to the community, such as business retention & expansion program, new business recruiting, new business start-ups, downtown revitalization, project management, project support, grant writing, staff support and marketing the community. Mayor Cook noted that he felt this type of program takes away the Council's authority in setting the City's levy. Mayor Cook expressed he feels the EDA is very important and has accomplished a lot, however everything was accomplished with funding transfers from the City's general fund. Kay Peterson noted that she feels the EDA Board members have much more knowledge in business financials than members of the Council. In the end, the Council still has the final say on the levy amount. Mr. Seppelt stated that the main reason for this request is to have a more stable funding base. Motion by Peterson, second by Haugen, to approve proposed levy amount at $140,000 on behalf of the Hutchinson EDA. Robert Vance, 1395 Roberts Road, presented before the Council. Mr. Vance commented that the tax rate will increase if the Council does not decrease the general fund by the amount of the levy that is set. Mr. Vance did comment on the benefit of the EDA Council Member Haugen did mention that the businesses that the EDA brings in does help the City's tax base. Miles Seppelt did clarify that the $100,000 transfer would be dropped off ofthe City's general fund and the increase of $40,000 as requested would make up for flat revenue. Roll call vote was taken. Haugen - aye; Arndt - aye; Cook - nay; Peterson - aye; Stotts - aye. Motion carried 4 to 1. (e) CONSIDERATIONFORAPPROV AL OF SETTING TRUTH IN TAXATION HEARING DATE (ADOPT RESOLUTION NO. 13035) 5 CITY COUNCIL MINUTES - SEPTEMBER 13, 2006 Motion by Peterson, second by Stotts, to set Truth in Taxation hearing for December 4,2006, at 5 :00 p.m. at the Event Center. Motion carried unanimously. (f) CONSIDERATION FOR APPROVAL OF SETTING 2007 PRELIMINARY TAX LEVY (ADOPT RESOLUTION NO. 13036) $5,467,326 is proposed for the 2007 tax levy. Ken Merrill did suggest adjusting up the $40,000 to include discussion surrounding around the EDA levy. Mr. Merrill reminded the Council that the levy can be decreased prior to adoption. It was clarified that if the EDA levy proceeds, that amount would be reduced from the City's tax levy. Motion by Peterson, second by Stotts, to approve setting 2007 preliminary tax levy at $5,467,326, plus $40,000 to include the additional money requested by the EDA, in the event that the EDA levy does not proceed. Motion carried unanimously. (g) CONSIDERATION FOR APPROVAL OF SETTING 2007 PRELIMINARY TAX LEVY FOR SPECIAL TAXING DISTRICT HUTCHINSON HOUSING REDEVELOPMENT AUTHORITY (ADOPT RESOLUTION NO. 13037) Ken Merrill, Finance Director, noted that the HRA is requesting $108,095 tax levy. Motion by Haugen, second by Cook, to approve setting 2007 preliminary tax levy for the Hutchinson Housing and Redevelopment Authority at $108,095. Motion carried unanimously. (h) CONSIDERATION FOR APPROVAL OF PURCHASE AGREEMENT BETWEEN DELAINE ROLFE AND CITY OF HUTCHINSON John Rodeberg reminded the Council that this is the property near Hutchinson Manufacturing. This property will be acquired for utility, trail, roadway improvements. These improvements were included in the bond that has already been approved for the Hwy 7 project. The total purchase price is $199,000. Motion by Stotts, second by Arndt, to approve purchase agreement between DeLaine Rolfe and the City of Hutchinson. Motion carried unanimously. (i) UPDATE ON WASTEWATER TREATMENT FACILITY IMPROVEMENTS FOR 2007 Randy DeVries, Water/Wastewater Director, presented before the Council. First, Mr. DeVries provided an update on the activities occurring at the water plant. Construction is on schedule and is scheduled to be operational in February. General discussion was held regarding capacity of the new plant. Mr . DeVries then provided an update on the wastewater plant upgrade, which will be moving to a membrane bioreactor system. The plan is to start construction in April 2007 with construction completing in July 2008. This current upgrade and expansion is estimated at $13.2 million. Grant funding is being sought currently, with $500,000 being secured thus far. Mr. DeVries then reviewed the proposed expansion layout. Motion by , second by , to. Motion carried unanimously. (j) UPDATE ON HIGHWAY 7 PROJECT John Rodeberg noted that Kelly Brunkhorst, Mn/DOT engineer, was slotted to be present tonight but could not make it. Mr. Rodeberg provided a brief update. Concrete is being poured on the roadway to the east of Main Street. The entire project is moving along very smoothly. The plan is to have the project complete up to Modern Mazda, as well as the frontage road near Hutch Manufacturing. Hwy 7 and the Main Street bridge are scheduled to be open in mid-November. (k) CONSIDERATION FOR APPROVAL OF SUPPORTING CROW RIVER DAM REPLACEMENT FUNDING John Rodeberg gave an update on the current dam reconstruction proposal. A bill has finally passed in the US Senate for this project. This bill passed the US House in 2005 that included $1,000,000 in funding. The 6 CITY COUNCIL MINUTES - SEPTEMBER 13, 2006 House and Senate bills will go to conference committee to finalize. The City's senators have expressed support for the project and funding. Council Member Arndt suggested contacting Donn Winkler of the Mid-Minnesota Development Commission for support. Motion by Arndt, second by Stotts, to approve Resolution No. 13040, supporting replacement of Crow River Dam in the Water Resource Development Act (making recommended changes to letters being submitted to Senators and Representative). Motion carried unanimously. (1) CONSIDERATION OF SCHEDULING OF ANNUAL PERFORMANCE REVIEW OF CITY ADMINISTRATOR GARY PLOTZ Motion by Peterson, second by Arndt, to schedule annual performance review for Gary Plotz on October 11, 2006, at 4:30 p.m. and reset the City Council meeting to October 11,2006, at 5:30 p.m. due to the Supreme Court being in town on October 10, 2006. Motion carried unanimously. (m)CLOSED SESSION UNDER MINNESOTA STATUTE 13D.05, SUBD. 3(C) TO CONSIDER PROPERTY ACQUISITION (145 2nd AVENUE SE AND 115 2ND AVENUE SE) The Council convened into closed session at 8:25 p.m. Arndt/Stotts Motion by Peterson, second by Cook to reconvence at 8:51 p.m. Motion by Stotts, second by Arndt, to adjourn at 8:52 p.m. Motion carried unanimously. 11. MISCELLANEOUS (a) COMMUNICATIONS John Rodeberg noted that due to mandated regulations, the State is requesting that Mn/DOT enter into partnership contracts. This contract allows out-state Mn/DOT offices to bill the City directly for any services, thus minimizing the involvement ofMnlDOT's Central Office. Formal action will be taken on this at the next Council meeting. Motion by Haugen, second by Peterson, to set October 10, 2006, at 6:00 p.m. as a public meeting for the Council to attend a Supreme Court program at the Event Center. Motion carried unanimously. Council Member Arndt - Mr. Arndt noted that a radar speed indicator has been placed on South Grade Road and he noted that some trucks are traveling at 70 mph. He suggested moving it through different locations throughout the City. He thanked Chief Hatten for instigating this. Motion by Peterson, second by Cook, to set budget workshop for September 26,2006, at 3 :30 p.m. to review CIP and enterprise fund budgets. Motion carried unanimously. Gary Plotz - Mr. Plotz also reminded the Council that the City annual recognition event will be held on September 21,2006, at 5:30 p.m. John Rodeberg - Mr. Rodeberg noted that potentially $2million can be acquired for funding for the wastewater treatment plant. Don Roecker has suggested that a Council Member attend his lobbying in Washington D.C. in November. Mr. Rodeberg also noted that two months ago the City's Regulatory Specialist retired. Much work is ahead and staff feels they are losing ground. Staff would like to fill this position, but change the job title to Environmental Specialist and include work related to weed control and adding a preference of a four-year degree. Mr. Rodeberg asked the Council if they would like to review the job description, however the majority of the job duties have all remained the same. General discussion was held regarding the necessity of the position. Motion by Stotts, second by Peterson, to fill this position and advertise. Motion carried unanimously. 7 CITY COUNCIL MINUTES - SEPTEMBER 13, 2006 12. CLAIMS. APPROPRIATIONS AND CONTRACT PAYMENTS Motion by Stotts, second by Haugen, to approve claims, appropriations and contract payments. Motion carried unanimously. 13. ADJOURN 8