08-28-2012 CCMMINUTES
REGULAR MEETING — HUTCHINSON CITY COUNCIL
TUESDAY, AUGUST 28, 2012
1. CALL TO ORDER — 5:30 P.M.
Mayor Steve Cook called the meeting to order. Members present were Mary Christensen, Bill Arndt, Eric Yost
and Chad Czmowski. Others present were Jeremy Carter, City Administrator, Kent Exner, City Engineer and
Marc Sebora, City Attorney.
2. INVOCATION — Due to the absence of a pastor, the invocation was dispensed.
PLEDGE OF ALLEGIANCE
4. RECOGNITION OF GIFTS, DONATIONS AND COMMUNITY SERVICE TO THE CITY
5. PUBLIC COMMENTS
Herb Heidecker, 103 5h Avenue NE, presented before the Council. Mr. Heidecker commented that he is
frustrated with dogs running at large in his neighborhood and the lack of enforcement. There is a dog at 1215`
Avenue NE that is constantly at large. The US postal service has discontinued delivering mail to his residence
and others due to dogs at large in the neighborhood.
Jeremy Carter, City Administrator, noted that staff is currently working on the animal ordinance as well as other
ordinances, such as nuisance, noise, etc. Staff will be working on internal processes as they work on being more
proactive with ordinance enforcement. Mayor Cook encouraged Mr. Heidecker to continue to call the police as
soon as they see dogs at large and take pictures if when they see dogs loose.
6. MINUTES
(a) REGULAR MEETING OF AUGUST 14, 2012
Motion by Christensen, second by Arndt, 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. RESOLUTION NO. 14048 - RESOLUTION IN SUPPORT OF SOLID WASTE TO BE DIRECTED
TO MCLEOD COUNTY LANDFILL
(b) PLANNING COMMISSION ITEMS
CONSIDERATION OF CONDITIONAL USE PERMIT TO ALLOW A DOG DAYCARE
BUSINESS IN THE C -4 (FRINGE COMMERCIAL) DISTRICT AT 405 CALIFORNIA STREET
NW WITH FAVORABLE PLANNING COMMISSION RECOMMENDATION (ADOPT
RESOLUTION NO. 14043)
2. CONSIDERATION OF CONDITIONAL USE PERMIT TO ALLOW A LICENSED NURSING
HOME TO PROVIDE FOR RESIDENTS WITH DEBILITATING DISEASES LOCATED IN THE
R -2 (MEDIUM DENSITY RESIDENTIAL) DISTRICT AT 710 PARK ISLAND DRIVE SW
(FORMERLY BIRCHWOOD HOSPICE) WITH FAVORABLE PLANNING COMMISSION
RECOMMENDATION (ADOPT RESOLUTION NO. 14044)
CITY COUNCIL MINUTES AUGUST 28, 2012
3. CONSIDERATION OF PRELIMINARY AND FINAL THREE -LOT PLAT AND VACATION OF
EASEMENTS, A REPLAT OF MONTREAL PLACE, TO BE KNOWN AS MONTREAL PLACE
SECOND ADDITION AND SITE PLAN REVIEW OF A DOLLAR TREE DEVELOPMENT IN
MONTREAL PLACE SECOND ADDITION WITH FAVORABLE PLANNING COMMISSION
RECOMMENDATION (WAIVE FIRST READING AND SET SECOND READING AND
ADOPTION OF ORDINANCE NO. 12 -0693 FOR SEPTEMBER 11, 2012, AND ADOPT
RESOLUTION NO. 14045)
4. CONSIDERATION OF PRELIMINARY AND FINAL ONE -LOT PLAT AND VACATION OF
EASEMENTS TO BE KNOWN AS STONEY POINT REVIEW ADDITION LOCATED AT 1209
LEWIS AVENUE SW WITH FAVORABLE PLANNING COMMISSION RECOMMENDATION
(WAIVE FIRST READING AND SET SECOND READING AND ADOPTION OF ORDINANCE
NO. 12 -0694 FOR SEPTEMBER 11, 2012, AND APPROVE RESOLUTION NO. 14046)
5. CONSIDERATION OF LOT SPLIT AT 1485 SOUTH GRADE ROAD WITH FAVORABLE
PLANNING COMMISSION RECOMMENDATION (ADOPT RESOLUTION NO. 14047)
(c) CONSIDERATION FOR APPROVAL OF IMPROVEMENT PROJECT CHANGE ORDER NO. 1—
LETTING NO. 4 /PROJECT NO. 12 -05 (2012 STREET SEAL COATING)
(d) CONSIDERATION FOR APPROVAL OF DESIGNATION OF VEHICLES /EQUIPMENT AS
SURPLUS PROPERTY
(e) CONSIDERATION FOR APPROVAL OF ISSUING TEMPORARY LIQUOR LICENSE TO
HUTCHINSON CENTER FOR THE ARTS ON SEPTEMBER 20 -23, 2012
(f) CONSIDERATION FOR APPROVAL OF 381H ANNUAL ARTS AND CRAFTS FESTIVAL ON
SEPTEMBER 14 & 15, 2012
(g) CONSIDERATION FOR APPROVAL OF OUT -OF -STATE TRAVEL FOR LENNY RUTLEDGE TO
ATTEND THE INTERNATIONAL CODE COUNCIL ANNUAL CONFERENCE IN PORTLAND,
OREGON FROM OCTOBER 21— 28, 2012
(h) CONSIDERATION FOR APPROVAL OF ISSUING PARADE PERMIT TO HUTCHINSON HIGH
SCHOOL ON SEPTEMBER 21, 2012, FOR HOMECOMING PARADE
(i) CLAIMS, APPROPRIATIONS AND CONTRACT PAYMENTS
Items 7(a) 1, 7(b) 1, 7(b)2, and 7(d) were pulled for separate discussion.
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. Council Member Arndt noted that a law was enacted in 1985 that
requires
all metropolitan waste to be diverted to the refuse derived fuel facility in Elk River. Although the law was
put in place in 1985, it has never been enforced or implemented. If the law were enforced, McLeod County
could lose an estimated $547,000 in revenue from landfill fees that are used to fund all of the recycling
programs. The implementation of this law would also significantly reduce the amount of methane gas
needed to provide electricity to nearly one -third of the homes in Glencoe. Therefore, the McLeod County
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CITY COUNCIL MINUTES AUGUST 28, 2012
Board of Commissioners passed a Resolution and is asking the City to pass a Resolution in support of
repealing the law or exempting McLeod County from it.
Motion by Arndt, second by Yost, to approve Item 7(a) 1. Motion carried unanimously.
Item 7(b)1 had further discussion. Mayor Cook noted that the applicant had stipulated that the use would be
for dogs only, therefore Mayor Cook suggested adding that as a condition to the conditional use permit.
Dan Jochum, Planning Director, noted staff would be agreeable to that condition.
Motion by Arndt, second by Christensen, to approve Item 7(b)1 with the additional condition that the use
permit be allowed for dogs only. Motion carried unanimously.
Item 7(b)2 had further discussion. Mayor Cook raised concerns with the language of "debilitating diseases ".
Mayor Cook suggested changing the language to better define the intended use. Dan Jochum, Planning
Director, suggested "Parkinsons and other similar movement disorders ". Any future uses would be brought
forth for consideration to be added to the conditional use permit.
Motion by Yost, second by Cook, to change the language use to "Parkinsons and other movement disorders"
and approve Item 7(b)2. Motion carried unanimously.
Item 7(d) had further discussion. Mayor Cook noted that the approval of this item shows how staff is
attempting to right -size equipment and vehicles throughout the City. Jeremy Carter, City Administrator,
elaborated on staff's effort to inventory and right -size the City's fleet. Mr. Carter spoke of the various ways
to rid of equipment — one of the ways being through auction. Council Member Arndt recommended using
local auctioneers as often as possible.
Motion by Christensen, second by Czmowski, to approve Item 7(d). Motion carried unanimously.
8. PUBLIC HEARINGS — 6:00 P.M. - NONE
9. COMMUNICATIONS REQUESTS AND PETITIONS (Purpose: to provide Council with information
necessary to cra t wise po icy. Always looking toward t e uture, not monitoring past)
(a) UPDATE ON MARKETING CAMPAIGN — HUTCHINSON ECONOMIC DEVELOPMENT
AUTHORITY
Miles Seppelt, EDA Director, presented before the Council. Mr. Seppelt provided an overview on the
progress of the EDA's marketing campaign. The EDA has used conventional media, the internet and social
media in marketing the City of Hutchinson. Mr. Seppelt detailed a new marketing website the EDA is
using, minnesotasmanufacturingcity .com. Mr. Seppelt also distributed new stationary and labels being used,
as well as a print brochure that was put together. Targeted groups the EDA is marketing include the
Minnesota Precision Manufacturing Association, Central Minnesota Manufacturer's Association and
Minnesota Manufacturer's Register. Mr. Seppelt also spoke of the networking that is integral to marketing
the City. Mayor Cook suggested placing banners on the MPR's web site if the funds are available.
10. UNFINISHED BUSINESS
(a) CONSIDERATION FOR APPROVAL OF REVISED CITY POLICIES
- POLICY NO. 1.18 — DELINQUENT UTILITY PAYMENTS
- POLICY NO. 1.19 — REFUSE SERVICE TERMINATION OR TEMPORARY DISCONTINUATION
- POLICY NO. 1.22 — DEVELOPER'S REQUEST FOR CITY INVOLVEMENT IN A PROJECT
PROPOSAL
- POLICY NO. 2.11— WATER TURN -ON AND OFF FEE
Jeremy Carter, City Administrator, presented before the Council. Mr. Carter reviewed the policies and the
proposed revisions.
Motion by Czmowski, second by Yost, to approve Policy Nos. 1. 18, 1.19, 1.22 and 2.11. Motion carried
unanimously.
11. NEW BUSINESS
CITY COUNCIL MINUTES AUGUST 28, 2012
(a) CONSIDERATION OF CONDITIONAL USE PERMIT TO ALLOW A TATTOO ESTABLISHMENT
IN THE C -E (CENTRAL COMMERCIAL DISTRICT AT 15 WASHINGTON AVENUE EAST WITH
SPLIT PLANNING COMMISSION VOTE (5 -1) (ADOPT RESOLUTION NO. 14042)
Dan Jochum, Planning Director, presented before the Council. Mr. Jochum explained that last month the
City's zoning code had been amended to allow tattoo establishments in the C -E district. Since that
amendment, an applicant has come forward to open a tattoo establishment at 15 Washington Avenue East.
Mr. Jochum explained that staff is recommending approval with the conditions that the applicant remain in
accordance state statutes and meet all health standards for their business, must provide the City with yearly
documentation of their State licensure and they must apply for a license to operate a tattoo establishment
within the City.
Motion by Czmowski, second by Christensen, to approve conditional use permit to allow a tattoo
establishment in the C -E District at 15 Washington Avenue East. Roll call vote was taken: Christensen —
aye; Arndt — nay; Yost — aye; Czmowski — aye; Cook — aye. Motion carried 4 to 1.
(b) CONSIDERATION FOR APPROVAL OF SEWER JET -VAC TRUCK REPLACEMENT
John Olson, Public Works Manager, presented before the Council. Mr. Olson explained that the sewer j et-
vac truck needs to be replaced due to the age of the truck. Staff is recommending that the Council consider
a lease - purchase agreement with MacQueen Equipment, Inc. The jet -vac truck is used to clean sanitary
sewers, lift stations, storm sewers and to maintain drainage systems at municipal facilities. The truck is
utilized on average approximately one full week each month. Various options were considered to purchase
a new truck, they being lease - purchase, buy or lease. The lease - purchase was deemed the best option
available. The lease -quote amount is $325,329.64 with six annual payments of $58,100.95 with an interest
rate of 2.85 %.
Jeremy Carter explained that due to the City's proactive, aggressive maintenance schedule, mainly due to
the use of the sewer jet -vac truck, the League of Minnesota Insurance Trust is generally successful in
closing out claims against the City in the City's favor. The funding for the truck will come from the sewer
fund.
Motion by Christensen, second by Arndt, to approve sewer jet -vac truck replacement. 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) RESOURCE ALLOCATION COMMITTEE MEETING MINUTES FROM AUGUST 9, 2012
(b) PLANNING /ZONING /BUILDING DEPARTMENT MONTHLY REPORT FOR JULY 2012
(c) CITY OF HUTCHINSON FINANCIAL REPORT FOR JULY 2012
(d) CITY OF HUTCHINSON INVESTMENT REPORT FOR JULY 2012
(e) CITY OF HUTCHINSON LOCAL SALES TAX UPDATE
(f) JOINT PLANNING BOARD MINUTES FROM JULY 18, 2012
(g) PLANNING COMMISSION MINUTES FROM JUNE 19, 2012
Jeremy Carter provided clarification on the liquor fund and cutting back part -time hours to bring the fund in
line with the budget.
13. MISCELLANEOUS
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CITY COUNCIL MINUTES AUGUST 28, 2012
Ralph Geier — 805 School Road NW 4105 — presented before the Council. Mr. Geier presented a business
proposal for the preservation of Burns Manor. Mr. Geier's proposal is to have Hutchinson Area Health Care
donate $400,000 to the City to assist the builder to take care of building code issues. In turn, Geier's
proposal would have the City give 20 acres of farmland to HAHC. A tax increment financing plan is also
part of the proposal. The proposal notes that 50 full -time jobs would be created.
Mayor Cook mentioned that he was informed that Hutchinson Area Health Care has accepted an offer from
another private party and they may be entering into a purchase agreement. He directed Mr. Geier to speak
with Dr. Mulder of Hutchinson Area Health Care regarding his proposal.
General discussion was held regarding the Event Center and the use of the Senior Center and how the 2014
budget may be affected.
Jeremy Carter— Mr. Carter noted that at the last Council meeting the Council had directed staff to come to
the Council with a lease amendment to allow release of Burns Manor to Hutchinson Health Care. Since that
time, Hutchinson Health Care has informed him that a viable offer has come forward to them for
redevelopment of the property. According to the current lease, the City has the option of right of first
refusal to match the offer. Upon receipt of the offer, Mr. Carter will inform the Council to consider whether
or not they would like to consider matching the offer.
Kent Exner - Mr. Exner provided an update on the improvement projects.
Mayor Cook — Mayor Cook noted that a committee met with HUC on the annual transfer and it was a very
informative, beneficial meeting. Another meeting will be held in September. The transfer percentage
formula adjustment may not take impact until 2014. Mayor Cook suggested, as talks continue, that the
Council fall on its authority allowed to them by the City Charter when discussing the annual transfer based
on financial resources and needs to determine the amount that will be transferred. The Council concurred
that that would be a good plan to follow.
14. ADJOURN
Motion by Arndt, second by Cook to adjourn at 7:25 p.m. Motion carried unanimously.
ATTEST:
Steven W. Cook Jeremy J. Carter
Mayor City Administrator