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01-24-2012 CCMMINUTES REGULAR MEETING — HUTCHINSON CITY COUNCIL TUESDAY, JANUARY 24, 2012 1. CALL TO ORDER — 5:30 P.M. Mayor Steve Cook called the meeting to order. Members present were Mary Christensen, Bill Arndt, Chad Czmowski, and Eric Yost. Others present were Jeremy Carter, City Administrator and Marc Sebora, City Attorney. 2. INVOCATION — Pastor Paulus Pilgrim, Faith Lutheran Church, delivered the invocation. 3. PLEDGE OF ALLEGIANCE 4. RECOGNITION OF GIFTS, DONATIONS AND COMMUNITY SERVICE TO THE CITY Council Member Arndt recognized Linda Krentz, Administrator of Burns Manor Nursing Home, now of Harmony River Living Center. The nursing home moved to their new location in one day and the coordination efforts Ms. Krentz and her staff facilitated are to be highly commended. Mayor Cook noted that the GFOA has awarded the City of Hutchinson a certificate of achievement in its financial reporting. This is the highest award given by the GFOA and was presented to Jeremy Carter, City Administrator /Finance Director. 5. PUBLIC COMMENTS 6. MINUTES (a) REGULAR MEETING OF JANUARY 10, 2012 Motion by Czmowski, second by Christensen, to approve the minutes as presented. Motion carried unanimously. 7. CONSENT AGENDA (Purpose: only for items requiring Council approval by external entities that would otherwise have been delegated to the City Administrator. Traditionally, items are not discussed.) (a) RESOLUTIONS AND ORDINANCES 1. ORDINANCE NO. 12 -0682 - CONSIDERATION FOR APPROVAL OF AUTHORIZING SALE OF CITY -OWNED PROPERTY TO VET VISIONS, LLC— 256 AND 264 4TH AVENUE NW (SECOND READING AND ADOPTION) (b) PLANNING COMMISSION ITEMS CONSIDERATION OF AMENDMENT TO THE ZONING ORDINANCE SECTION 154.067(C) ADDING LANGUAGE TO ALLOW BY CONDITIONAL USE PERMIT A TOWING COMPANY WITH IMPOUND /OUTDOOR STORAGE LOT IN THE I -1 (LIGHT INDUSTRIAL DISTRICT) REQUESTED BY MARK SHOUTZ, APPLICANT, WITH FAVORABLE PLANNING COMMISSION RECOMMENDATION (ADOPT FINDING OF FACT RESOLUTION NO. 13958 AND WAIVE FIRST READING AND SET SECOND READING AND ADOPTION OF ORDINANCE NO. 12 -0683 FOR FEBRUARY 14, 2012) 2. CONSIDERATION OF SITE PLAN REVIEW FOR PROPOSED DEPOT REDEVELOPMENT AND FARMER'S MARKET LOCATED AT 25 ADAMS STREET SE SUBMITTED BY MILES SEPPELT, HUTCHINSON EDA, WITH FAVORABLE PLANNING COMMISSION RECOMMENDATION (ADOPT RESOLUTION NO. 13961) CITY COUNCIL MINUTES JANUARY 24, 2012 (c) CONSIDERATION FOR APPROVAL OF ISSUING SHORT -TERM GAMBLING LICENSE TO THE HUTCHINSON ROTARY FOUNDATION ON APRIL 20, 2012, AT CROW RIVER GOLF CLUB (d) CONSIDERATION FOR APPROVAL OF ISSUING SHORT -TERM GAMBLING LICENSE TO THE MINNESOTA DEER HUNTERS' ASSOCIATION ON APRIL 7, 2012, AT MCLEOD COUNTY FAIRGROUNDS (e) SUMMARY OF CLOSED MEETING PROCEEDINGS FOR THE CITY ADMINISTRATOR PERFORMANCE APPRAISAL SESSION HELD ON JANUARY 10, 2012 (f) APPOINTMENT OF MONTY MORROW TO HUTCHINSON UTILITIES COMMISSION TO DECEMBER 2016 (g) CLAIMS, APPROPRIATIONS AND CONTRACT PAYMENTS Items 7(a)1 and 7(b)1 were pulled. Motion by Czmowski, second by Yost, to approve consent agenda with the exception of the items noted above. Motion carried unanimously. Item 7(a ) 1 had further discussion. Mayor Cook noted that a revised ordinance had been distributed that included the purchase price of the property in the amount of $14,600. Motion by Arndt, second by Christensen, to approve Item 7(a) 1. Motion carried unanimously. Item 7(b)1 had further discussion. Council Member Arndt noted that the applicant was present and had some revisions to the conditional use permit application. Dan Jochum, Planning/Zoning/Building Director, noted that tonight only the zoning ordinance is being considered and the conditional use permit will be considered for approval at the February 14, 2012, meeting. Discussion was held regarding the proper zoning area of the city for a towing /impound lot. Motion by Arndt, second by Czmowski, to approve Item 7(b)1. Motion carried unanimously. 8. PUBLIC HEARINGS — 6:00 P.M. (a) 5TH AVENUE NW IMPROVEMENTS PROJECT (LETTING NO. 1, PROJECT NO. 12 -01) Kent Exner, City Engineer, presented before the Council. Mr. Exner provided a brief overview of the proposed project. The project is proposed to consist of 5th Avenue NW from Kouwe Street NW to TH 15 /Main Street. The project will consist of a full reconstruction of the existing roadway surface /section, full utility replacements /upgrades, drainage /storm sewer improvements, draintile installation, signing /striping, street lighting, trails /sidewalks, and restoration. A portion of the proposed work will be funded by the City's Municipal State Aid allotment with the remainder of the work being funded by City bonds and property special assessments. With estimated average rates, a typical 66' -wide residential lot would incur an assessment of $7780. Construction of this project is anticipated to start in the spring /summer of 2012. The estimated total project cost is $1,933,400. The City pays for 50% of street rehabilitation, partial street reconstruction, full street reconstruction, mill & overlay and alley reconstruction and 100% of sanitary sewer & water main improvements and trails. Bids are proposed to be opened March 16, 2012. Mayor Cook asked if it would be worth considering moving assessment payments out 15 years in correlation to the 15 -year bond life. Jeremy Carter, City Administrator, explained that a 15 -year payment plan does cost the property owner more because of the interest although it reduces their yearly payment amount. If the yearly assessment amounts are reduced, it increases the annual debt levy amount. Mr. Carter explained that the main reason for a 10 -year assessment payment plan on a 15 -year bond is to 2 CITY COUNCIL MINUTES JANUARY 24, 2012 ensure that all funds have been collected from that source upfront to pay off the debt. There are delinquencies on properties, so on a 15 -year assessment full payment might not be received until years 16, 17, 18 which is why we the City is required to levy 105% of the project amount. Mr. Exner reviewed the trail costs and overall layout of the plan. Mike Marvan, 134 5t11 Avenue NW, presented before the council. Mr. Marvan presented a petition of property owners who are opposed to the proposed trail. Mr. Marvan's personal opposition is to the loss of space for parking in front of his property and in his driveway, as well as the snow removal maintenance that will be required. Mr. Exner addressed the petition language that was presented. Mr. Exner noted that speed limits are an enforcement issue and the traffic load isn't that dramatic with the year 2009 counts of approximately 1300 vehicles per day. Al Teubert, 105 5th Avenue NW, presented before the Council. Mr. Teubert noted that the vehicles go high rates of speed currently. Street parking for the park is proposed at 14 spots. Brenda Wiehr, 485 Kouwe Street, presented before the council. Ms. Wiehr asked if she will be paying the full assessment on 5t Avenue SW. Ms. Wiehr noted that was just assessed last year on Kouwe Street. Mr. Exner explained the corner credit program. Ms. Wierh also noted that she disagrees with the proposed trail. Karen Heydt, 253 5t11 Avenue NW, presented before the council. Ms. Heydt raised concerns with the curb coming in a couple of feet on her property. Garth Heydt, 253 5t11 Avenue NW, presented before the council. Mr. Heydt was in favor of the trail, however he raised concerns with the assessments, which will run approximately $28,000 on his property. He asked if there are any options for property owners who have a hardship with the assessment amount. Mayor Cook reminded Mr. Heydt of the deferral process. Jesse Troska & Mary Nelson, 490 Main Street North, presented before the Council. Mr. Troska explained that this project hugely impacts his property as they lose a fair amount of green space. Ms. Nelson asked that if the trail is put in, that the proposed turn lane at the intersection of 5th Avenue NW /Main Street not be put in, because it impedes on their green space. They have not seen much stacking at the corner and therefore they do not feel a tuT lane is necessary. Mr. Exner commented that the implementation of a designated right -turn lane on 5t Avenue at the TH 15 intersection is strongly recommended due to high traffic counts on TH 15 and 5th Avenue NW, sightline limitations on TH 15, and unknown future traffic patterns on 5th Avenue, and that some drivers will make poor decisions when they wait an extended time at an intersection. Lance Ketchum, 224 5th Avenue, presented before the Council. Mr. Ketchum voiced opposition to the proposed right -hand turn lane. He feels there are more issues with left hand turns. Mr. Ketchum clarified that in general 10 feet will be taken off the south side of the street bringing it narrower. Mr. Ketchum does agree that the street needs to be repaired, especially due to the route being used as a detour during the Hwy 7 reconstruction. Mr. Ketchum raised concerns with snow removal as well due to the narrowing of the street. Mr. Ketchum spoke of other methods for storm sewer piping. Kent Exner noted that the pipes must be replaced and now is the time to do it since the reconstruction project is intended to last 40 years. Mayor Cook asked that traffic counts be taken at 5th /Main Street to see if a turn lane is necessary. Janet Yerks, 2515 th Avenue NW, presented before the Council. Ms. Yerks likes the width of the street as it is currently. Ms. Yerks noted that she owns a large recreational vehicle and the wide street is necessary when parking the RV on their property. Ms. Yerks wanted to know where they would be able to park the RV during construction and had questions about access in general. Mr. Exner and the mayor noted that staff keeps residents informed of restrictions when necessary but typically access is available. Mr. Exner noted that property owners driveways could potentially be widened to 24 feet. Ann Martinson, 15 5th Avenue, presented before the Council. Ms. Martinson agreed with Mr. Troska and Ms. Nelson on their opposition to the proposed turn lane. She agreed that it was not necessary. Instead, Ms. Martinson expressed that snow removal and a narrower street are more of an issue. CITY COUNCIL MINUTES JANUARY 24, 2012 Jesse Troska asked why the proposed trail is 10 feet in width compared to other trails that are eight feet in width. Mr. Exner explained that municipal state aid funding requires that a 10' trail width be constructed if it can be achieved. If the City believes this width cannot be achieved, then a variance must be requested and a hearing held. Mr. Exner noted that there is room for a 10 foot trail in this area. In addition, a 10 foot width is more of an industry standard. Mike Marvan asked who pays for maintenance costs of the trail. Mr. Exner noted that trail maintenance costs are not assessed, but rather the City picks up the cost. Gordy Evenson, 17 5th Avenue, presented before the Council. Mr. Evenson agreed that the street needs to be reconstructed, however he is opposed to the proposed trail. Mr. Evenson noted that he would rather have the high speed drivers addressed in some manner. Lance Ketchum suggested that off - street parking for the Rocket Hill Park be created somehow in the area. Other residents suggested ideas for off - street parking, but the Council and staff noted that the construction of a parking lot is too cost - prohibitive. Gordy Evenson also spoke of snow removal issues. Council Member Arndt asked about the price comparison between sidewalks on both sides of the street versus trail on one side. Mr. Exner noted that a sidewalk on both sides costs more than a one -side trail. Motion by Arndt, second by Czmowski, to close public hearing. Motion carried unanimously. The Council discussed including the proposed trail. The Council also discussed parking issues and safety issues. Motion by Arndt, second by Christensen, to order improvement and preparation of plans and specifications, approve plans and specifications and order advertisement for bids. The Council conceded that the turn lane should be eliminated from the design. Motion carried unanimously. 9. COMMUNICATIONS, REQUESTS AND PETITIONS (Purpose: to provide Council with information necessary to craft wise policy. Always looking toward the future, not monitoring past) (a) PRESENTATION OF CITY TREE INVENTORY PROJECT REPORT BY UNIVERSITY OF MINNESOTA John Olson, Public Works Manager, presented before the Council. Mr. Olson introduced Eric North from the University of Minnesota who was part of the tree inventory project. Mr. North explained that U of M staff and volunteers conducted an inventory of the City's urban forest. The funding for this project mainly came from emerald ash borer funds, which was of the most immediate concern. The inventory showed that there are approximately 21,513 privately -owned trees and approximately 6600 publicly -owned trees in the city. Approximately 16.75% of the privately -owned trees are ash and approximately 23.5% of the publicly - owned trees are ash. Other information contained in the inventory include tree identification, size, and condition. Mr. North shared inventory information pertaining to tree size relating to trunk diameter and to relative crown spread and tree crown condition ratings, as well as tree stem condition ratings. Mr. North stressed diversifying the tree population in order to deal with known and unknown tree disease infestations. Mr. North also spoke about a bare root growth/transplantation method that is very cost - effective. (b) UPDATE ON HOUSING FORECLOSURES — JEAN WARD Jean Ward, Hutchinson Housing and Rehabilitation Authority Executive Director, presented before the Council. Ms. Ward reviewed the foreclosure process used in Minnesota. Ms. Ward shared sheriff's sale data which included 40 in 2007 and 77 in 2011 for the city of Hutchinson. There are currently 17 sheriff s sales scheduled to date for 2012. Ms. Ward reviewed foreclosure revitalization efforts that the HRA has undertaken. Mayor Cook brought up the possibility of a vacant home registration program. 4 CITY COUNCIL MINUTES JANUARY 24, 2012 Dan Jochum, Planning/Zoning /Building Director, presented before the Council. Mr. Jochum noted that staff is beginning to research a foreclosure /vacant home registration program. The mortgage company would pay the registration fee. The Council felt it would be a good idea for staff to research this type of program more extensively and report back to the Council. Ms. Ward shared housing data information with the Council. Ms. Ward also spoke of the Home Affordability Refinance Program. 10. UNFINISHED BUSINESS 11. NEW BUSINESS (a) CONSIDERATION FOR APPROVAL OF SETTING COUNCIL WORKSHOPS TO REVIEW CITIZEN SURVEY RESULTS AND REVISIT ENDS STATEMENTS Motion by Czmowski, second by Cook, to set Council workshop for February 14, 2012, at 4:00 p.m. to review citizen survey results and revisit ends statements. Motion carried unanimously. 12. GOVERNANCE (Purpose: to assess past organizational performance, develop policy that guides the organization and Council and manage the logistics of the Council. May include monitoring reports, policy development and governance process items) (a) PLANNING, ZONING AND BUILDING DEPARTMENT MONTHLY REPORT FOR DECEMBER 2011 (b) PARKS, RECREATION, COMMUNITY EDUCATION ADVISORY BOARD MINUTES FROM NOVEMBER 7, 2011 (c) PLANNING COMMISSION MINUTES FROM DECEMBER 20, 2011 Motion by Czmowski, second by Yost, to accept corrected Director's Report. Motion carried unanimously. 13. MISCELLANEOUS 14. ADJOURN Motion by Arndt, second by Cook, to adjourn at 8:55 p.m. Motion carried unanimously. ATTEST: Steven W. Cook Jeremy J. Carter Mayor City Administrator