Loading...
07-08-2008 CCMMINUTES REGULAR MEETING – HUTCHINSON CITY COUNCIL TUESDAY, JULY 8, 2008 CALL TO ORDER – 5:30 P.M. 1. Mayor Cook called the meeting to order. Members present were Casey Stotts, Kay Peterson, and Jim Haugen. Council Member absent was Bill Arndt. Others present were Gary Plotz, City Administrator, Kent Exner, City Engineer, and Marc Sebora, City Attorney. INVOCATION 2. – Rev. Gerhard Bode, Peace Lutheran Church, delivered the invocation. PLEDGE OF ALLEGIANCE 3. PUBLIC COMMENTS 4. MINUTES 5. (a)REGULARMEETING OF JUNE 24, 2008 Motion by Haugen, second by Peterson, to approve the minutes as presented. Motion carried unanimously. CONSENT AGENDA 6. (a) REPORTS OF OFFICERS, BOARDS AND COMMISSIONS 1.MOTOR VEHICLE MONTHLY REPORT FOR MAY 2008 2. HUTCHINSON FIRE DEPARTMENT MONTHLY REPORT FOR JUNE 2008 3. HUTCHINSON UTILITIES COMMISSION MINUTES FROM APRIL 30, 2008 4. HUTCHINSON UTILITIES COMMISSION FINANCIAL REPORT FOR MAY 2008 (b) RESOLUTIONS AND ORDINANCES 1. RESOLUTION NO. 13442 – RESOLUTION FOR PURCHASE 2. RESOLUTION NO. 13443 – RESOLUTION ACCEPTING PLEDGED SECURITIES FROM CITIZENS BANK 3. RESOLUTION NO. 13444 – RESOLUTION AUTHORIZING CLOSING OF VARIOUS DEBT AND CONSTRUCTION FUNDS AND TRANSFERRING FUND BALANCES TO EXCESS BOND FUND 4. ORDINANCE NO. 08-0506 – AN ORDINANCE VACATING UTILITY AND DRAINAGE ESEMENTS LOCATED IN KOTTKE COURT (SECOND READING AND ADOPTION) 5. ORDINANCE NO. 08-0507 – AN ORDINANCE ADDING SECTION 154.072 TO THE HUTCHINSON CITY CODE TO ESTABLISH REGULATIONS FOR A MIXED USE ZONING DISTRICT (SECOND READING AND ADOPTION) AND APPROVAL OF SUMMARY ORDINANCE (c)CONSIDERATION FOR APPROVAL OF SHORT-TERM 3.2 MALT LIQUOR LICENSE FOR ST. ANASTASIA CATHOLIC CHURCH ON SEPTEMBER 6 & 7, 2008 (d) CONSIDERATION FOR APPROVAL OF ENGINEERING SERVICES AGREEMENT WITH BARR ENGINEERING COMPANY FOR DESIGN AND CONSTRUCTION SUPPORT FOR HUTCHINSON DAM REPLACEMENT ND (e) CONSIDERATION FOR APPROVAL OF SUBDIVISION AGREEMENT FOR SOUTHWIND 2 ADDITION CITY COUNCIL MINUTES – JULY 8, 2008 (f) CONSIDERATION FOR APPROVAL OF REVISED ASSESSMENT FOR SA-5086 – PISHNEY ALLEY TH – 617 4 AVENUE SW (LETTING NO. 4, PROJECT NO. 08-04) – DECLARING ADEQUACY OF PETITION AND ADOPTING REVISED ASSESSMENT (g) CONSIDERATION FOR APPROVAL OF ON-SALE SHORT TERM 3.2 MALT LIQUOR LICENSE FOR THE MCLEOD COUNTY AGRICULTURAL ASSOCIATION ON AUGUST 13 – 17, 2008 (h) CONSIDERATION FOR APPROVAL OF TRANSIENT MERCHANT LICENSE FOR KEVIN MESSNER DBA CORNERSTONE CONTRACTING (i) CLAIMS, APPROPRIATIONS AND CONTRACT PAYMENTS Item 6(b)3, 6(b)5 and 6(d) were pulled for separate discussion. Motion by Stotts, second by Peterson, to approve consent agenda with the exception of the items noted above. Motion carried unanimously. Item 6(b)3 had further discussion. Mayor Cook asked what the amounts are in the bond funds that are requesting to be closed. Ken Merrill, Finance Director, explained that the funds being closed are the 1984 library construction fund, Event Center construction fund, Fire Hall refunding debt fund, pool & rec debt fund, 2002C refunding bonds and former excess bond fund. These funds total $1.4 million. The funds being transferred can be tracked separately. Motion by Haugen, second Cook, to approve Item 6(b)3. Motion carried unanimously. Item 6(b)5 had further discussion. Mayor Cook explained that discussion was held at the last meeting regarding the setback requirements. Mayor Cook also noted that there may be issues aesthetically. He questioned if the Council is comfortable with the language in the ordinance and noted that perhaps the variance process would be better for specific properties. Council Member Haugen noted that Rebecca Bowers, Planning/Zoning/Building Director, had noted that staff has the authority to adjust the setbacks for safety reasons. Mayor Cook suggested tabling this item until Ms. Bowers returns from vacation to discuss further. Motion by Stotts, second by Peterson, to refer this item back to the Planning Commission for further discussion. Motion carried unanimously. Item 6(d) had further discussion. Mayor Cook inquired as to where the funds will be coming from to pay the additional engineering charges. Kent Exner, City Engineer, noted that an additional $7,000 is being requested for additional engineering services on the Crow River dam replacement project. Mr. Exner explained the Barr Engineering expended more time than originally estimated, hence the additional charges. The funds will be paid from the project fund. Motion by Stotts, second by Peterson, to approve Item 6(d). Motion carried unanimously. PUBLIC HEARINGS – 6:00 P.M. 7. (a) CONSIDERATION OF ISSUING ON-SALE INTOXICATING LIQUOR LICENSE TO FRATERNAL ORDER OF EAGLES LOCATED AT 1000 HWY 7 WEST Marc Sebora, City Attorney, explained that in April 2008 the City Council approved a club liquor license for the Fraternal Order of Eagles. Since that time, the Eagles would like to convert that license to a regular on- sale intoxicating liquor license. This will allow the licensee to serve to a broader clientele. Motion by Haugen, second by Stotts, to close public hearing. Motion carried unanimously. Motion by Peterson, second by Stotts, to approve issuing on-sale intoxicating and Sunday liquor license to Fraternal Order of Eagles. Motion carried unanimously. (b) CONSIDERATION FOR APPROVAL OF ITEMS FOR 2008 PAVEMENT MANAGEMENT PROGRAM 2 CITY COUNCIL MINUTES – JULY 8, 2008 PHASE 2 (LETTING NO. 5, PROJECT NO. 08-05) – ADOPTING ASSESSMENT, ACCEPTING BID AND AWARDING CONTRACT Kent Exner, City Engineer, presented before the Council. Mr. Exner provided an overview of the project which is mainly on College Avenue, Oakwood Lane, Hillcrest Road, an alley and Montreal Street. The project scope includes street rehabilitation, partial street reconstruction, mill & overlay and alley reconstruction. The total estimated project cost was $961,000. Financing for the project consists of city bonding and assessments. Bids were received today with the apparent low bidder being Reiner Contracting with a total bid of $491,529.06. Mr. Exner explained the formula used for the properties located in cul-de- sacs. Mark Jelkin, 1220 Oakwood Lane, spoke before the Council. Mr. Jelkin requested that Oakwood Lane be removed from this project as it wasn’t part of the original capital improvement plan. Mr. Jelkin feels that the deterioration of the street is due to lack of maintenance. He feels that a street with higher traffic would benefit more than Oakwood Lane. Mr. Jelkin also requested that the City put aside future funds for maintenance of streets. Motion by Stotts, second by Peterson, to close public hearing. Motion carried unanimously. Mayor Cook noted that there is some major deterioration needs to be taken care of on Oakwood Lane. Kent Exner noted that at least 25% of Oakwood Lane needs to be taken care of. Other issues need to be addressed to correct problems as opposed to patching and chasing problems. General discussion was held regarding the pavement management program and how it identifies projects that need to be addressed in the most cost-effective way. Motion by Stotts, second by Cook, to adopt assessment, accept bid and award contract for 2008 pavement management program. Motion carried unanimously. COMMUNICATIONS, REQUESTS AND PETITIONS 8. (a) PRESENTATION OF 2009 VOICE OVER INTERNET PROTOCOL – TOM KLOSS, INFORMATION TECHNOLOGY DIRECTOR Tom Kloss, Information Technology Director, presented before the Council. Mr. Kloss explained that voice over internet protocol is a new phone system that takes the place of the Hutchtel Centrex system. The City would be managing its own phone system. The main advantage is that the Voice Over IP system has all of the capabilities of a managed system but with a lower cost. The total one-time charge to implement the project is $226,649.00. The yearly service fees would be $49,109.40 which would see a savings of more than $500,000 in 10 years. Ken Merrill, Finance Director, presented before the Council. Mr. Merrill explained that funding for this project would come from either the excess bond fund or another reserve fund. Mayor Cook suggested stretching out the payback period to utilize the funds. (b) PRESENTATION ON ESTABLISHING A MOSQUITO CONTROL BOARD – MARC SEBORA, CITY ATTORNEY Marc Sebora, City Attorney, presented before the Council. Mr. Sebora provided a presentation on how a mosquito control board can be established. A board can be established either by City Council Resolution or by a petition of 250 or more property owners and election on the question. If the election fails, there may be no re-vote for at least two years.Such board is made up of three uncompensated people and serves at the pleasure of the Council. Council Members may serve on a mosquito control board. Powers of the board include entering on to property to see if mosquitoes are breeding, taking steps to abate mosquitoes, cleaning up stagnant ponds of water to prevent breeding, spraying insecticides, purchasing equipment and employing people for abatement and entering into contracts for mosquito abatement. Funding for abatement may be paid by levying taxes. The city can certify levies and collect monies as a separate tax. The city may issue “certificates of indebtedness”. Mr. Sebora also explained that the DNR must approve abatement plans affecting state lands and the abatement board must cooperate with state agencies and the University of Minnesota. An abatement program would probably be subject to levy limits. 3 CITY COUNCIL MINUTES – JULY 8, 2008 Council Member Peterson asked how having an abatement program provides benefit. Mr. Sebora explained that residents would be able to see how much money is being spent on mosquito abatement as a separate line item on their tax statement. In addition, having such a board may alleviate some issues that the Council handles and delegates those duties to a board specific to mosquito control. Mayor Cook noted he thinks citizens should vote on establishing a mosquito control board. Motion by Stotts, second by Peterson, to direct Gary Plotz, City Administrator, to draft a Resolution establishing a mosquito control board. Motion carried unanimously. UNFINISHED BUSINESS 9. (a) DISCUSSION OF FUTURE MAJOR CAPITAL IMPROVEMENT PROJECTS (FOLLOW-UP FROM JUNE 24, 2008) Mayor Cook noted that at the last meeting several projects were discussed, including the Industrial Park, Les Kouba Parkway, an aquatic center/ballfields, and the condition of the city’s current infrastructure. Mayor Cook provided a drawing of the plans that the Gopher Campfire Club has put together for improvements to the sanctuary. The Club intends to make improvements inside of the fenced area. Council Member Peterson noted that the roadway needs to have improvements completed in order for the improvements to the sanctuary itself to be complete. Mayor Cook noted that he feels a buildup of the roadway is a needed improvement. Kent Exner, City Engineer, noted that he will put together some options and numbers for the next meeting. He believes it may have a higher price tag than may be perceived. Council Member Peterson asked that at least the boulders be set and the roadway delineated so that Gopher Campfire can put in the new fencing and start their improvements. Mayor Cook asked if having driving restrictions on the roadway in the Spring would help with some of the issues. John Olson, Public Works Manager, explained that ruts and frost boils would still occur and traffic worsens the condition. Mayor Cook suggested waiting on putting numbers together until soil borings can be completed. Skip Quade, Gopher Campfire Club, presented before the Council. Mr. Quade noted that a quote for new fencing should be obtained within the next couple of weeks. It was noted that a survey will need to be completed to determine where the property lines are. th Betsy Price, 17614 240 Street, presented before the Council. Ms. Price is representing a committee working on the music festival that is coming to Hutchinson next summer. The festival is being held in West River Park over three days. The committee working on the festival is estimating approximately 2500 people will be in attendance and will be run similar to the Jaycee Water Carnival. Mayor Cook noted that he feels partnerships with the school district needs to be a priority for use of facilities. Second on his list is streets and infrastructure, third is the Industrial Park expansion, fourth is energy conservation, fifth is Gopher Campfire sanctuary improvements and sixth is the aquatic center/ballfields. Other projects are also important as well, or even mandatory, such as the Hwy 212 improvements. Council Member Stotts noted he feels this topic needs to be discussed at a workshop because it will take more detailed discussion. Motion by Stotts, second by Peterson, to set a Council workshop for August 12, 2008, at 4:00 p.m. to prioritize city projects. Mayor Cook asked Dolf Moon to review personnel issues should an aquatic center/ballfield facility be constructed. Mr. Moon explained that some areas would be maintained by contractors but the Council needs to keep in mind that as new projects are added, it could mean adding employees. NEW BUSINESS 10. (a) CONSIDERATION FOR APPROVAL OF DEBT MANAGEMENT POLICY Ken Merrill, Finance Director, introduced Steve Apfelbacher of Ehlers & Associates. Mr. Apfelbacher 4 CITY COUNCIL MINUTES – JULY 8, 2008 presented before the Council. Mr. Apfelbacher provided a draft document of a debt management policy. The draft policy implements guidelines to determine the amount, structure and term of future debt for financing capital and equipment needs. The objective of the policy is to manage issuance of future debt so at a future date the City will not need to raise the property tax debt levy. Future debt would replace existing debt without an increase in the City’s property tax levy of debt. Mr. Apfeblacher reviewed the analysis Ehlers & Associates used in putting together the policy. Gary Plotz suggested adopting this in a Resolution format so it could be easier indexed. Motion by Peterson, second by Stotts, to approve Resolution No. 13445, debt management policy. Motion carried unanimously. (b) CONSIDERATION FOR APPROVAL OF SETTING COUNCIL WORKSHOP FOR JULY 22, 2008, AT 3:30 P.M. TO REVIEW THE 2007 ANNUAL FINANCIAL REPORT Ken Merrill, Finance Director, commented that the completed document and management letter is before the Council for their review prior to the workshop. Motion by Stotts, second by Haugen, to set City Council workshop for July 22, 2008, at 4:00 pm. to review the 2007 annual financial report. Motion carried unanimously. MISCELLANEOUS 11. Marc Sebora – Attorney Sebora noted that filing closes on July 15, 2008, to file for the open City Council/Mayor seats. In addition, an open house/forum is being held July 9, 2008, at 6:30 p.m. for interested candidates. Casey Stotts – Council Member Stotts noted that he has heard that a committee is forming to possibly put th of July celebration. together a 4 Gary Plotz – Mr. Plotz noted the individuals who have filed for office currently: Mayor – Steve Cook; Council Member Seat 3 – Steve Sherman; Council Member Seat 4 – Raymond Norton Kent Exner – Mr. Exner provided updates on the water treatment plant, wastewater treatment plant, Hwy 15 Roundabout and the TH212 projects. Steve Cook – Mayor Cook noted that Gary Plotz’s performance review needs to be scheduled in the near future. Motion by Peterson, second by Stotts, to set Gary Plotz’s performance review for July 22, 2008, at 3:30 p.m. Motion carried unanimously. ADJOURN 12. Motion by Peterson, second by Stotts, to adjourn at 7:50 p.m. Motion carried unanimously. 5