09-11-2012 CCMMINUTES
REGULAR MEETING — HUTCHINSON CITY COUNCIL
TUESDAY, SEPTEMBER 11, 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 — Pastor Howard Anderson, Hunter's Ridge Community Church, delivered the invocation.
3. PLEDGE OF ALLEGIANCE
4. RECOGNITION OF GIFTS, DONATIONS AND COMMUNITY SERVICE TO THE CITY
5. PUBLIC COMMENTS
Jim Fahey, 446 Main Street South, presented before the Council. Mr. Fahey spoke before the Council
representing Historic Hutchinson. Mr. Fahey provided an update on the church the City purchased
approximately one year ago on the corner of Hassan Street SE and Second Avenue SE. Mr. Fahey presented a
check to the City of Hutchinson in the amount of $5000 to assist in offsetting costs to maintain the church.
These funds were raised by Historic Hutchinson putting on a play in the church. In addition, meetings are being
held in the church and the Center for the Arts is considering using it for a small venue for arts activities. Mr.
Fahey also announced that the Harrington - Merrill House has been placed on the National Register. In addition,
the church property has received information to review whether or not to pursue a National Register application.
Mr. Fahey also announced that the next living history cemetery tour will be on September 23, 2012, from 1:00 —
2:30 p.m.
Chief Hatten spoke to the topic of dogs in the community and that the police department and other departments
are working together on updating the animal ordinance. A draft of a revised ordinance will be before the
Council at one of the upcoming meetings. Once the first reading of the ordinance is before the Council, Chief
Hatten noted that he will review it with the postal service so everyone understands the process.
Discussion was held regarding specific issues with dogs in the 5h Avenue SE neighborhood.
6. MINUTES
(a) CANVASSING BOARD MINUTES OF AUGUST 24, 2012
(b) REGULAR MEETING OF AUGUST 28, 2012
Motion by Christensen, second by Yost, 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 -0693 — AN ORDINANCE VACATING UTILITY AND DRAINAGE
EASEMENTS LOCATED IN MONTREAL PLACE (SECOND READING AND ADOPTION)
2. ORDINANCE NO. 12 -0694 — AN ORDINANCE VACATING UTILITY AND DRAINAGE
CITY COUNCIL MINUTES SEPTEMBER 11, 2012
EASEMENTS LOCATED IN STONEY POINT ADDITION (SECOND READING AND
ADOPTION)
(b) CONSIDERATION FOR APPROVAL OF SETTING PUBLIC MEETING FOR IMAGINE
HUTCHINSON OPEN HOUSE AT THE CENTER FOR THE ARTS ON SEPTEMBER 20, 2012,
FROM 6:00 — 8:00 P.M.
(c) CONSIDERATION FOR APPROVAL OF ISSUING SUNDAY LIQUOR LICENSE TO
LAMPLIGHTER LOUNGE 11, INC.
(d) CONSIDERATION FOR APPROVAL OF IMPROVEMENT PROJECT CHANGE ORDERS
- CHANGE ORDER NO. 1, 2 AND 3 — LETTING NO. 8, PROJECT NO. 12 -09 (LES KOUBA
PARKWAY IMPROVEMENTS — PHASE 2)
(e) CONSIDERATION FOR APPROVAL OF HDC PROPERTIES PETITION AND AGREEMENT —
LETTING NO. 8, PROJECT NO. 12 -09
(f) CONSIDERATION FOR APPROVAL OF RENEWING JOINT POWERS AGREEMENT BETWEEN
THE CITY OF HUTCHINSON AND THE STATE OF MINNESOTA FOR THE MINNESOTA
INTERNET CRIMES AGAINST CHILDREN TASK FORCE
(g) CONSIDERATION FOR APPROVAL OF ISSUING TATTOO LICENSE TO DOUGLAS T.
MOLTON LOCATED AT 15 WASHINGTON AVENUE EAST
(h) CLAIMS, APPROPRIATIONS AND CONTRACT PAYMENTS
Item 7(g) was pulled for separate discussion
Motion by Czmowski, second by Yost, to approve the consent agenda with the exception of Item 7(g).
Motion carried unanimously.
Item 7(g) had further discussion. Mayor Cook noted that with the tattoo license application there is some
additional documentation that is required that has yet to be received.
Motion by Czmowski, second by Christensen, to table Item 7(g) to September 25, 2012. Motion carried
unanimously.
8. PUBLIC HEARINGS — 6:00 P.M. - NONE
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 ON PRELIMINARY 2013 GENERAL FUND BUDGET
Jeremy Carter, City Administrator, presented before the Council. Mr. Carter provided a brief update on the
proposed general fund budget for 2013. Mr. Carter provided property value information, which is declining
nationwide. The proposed 2013 budget sees a 1.4% increase from 2012. The City is fortunate in that the
insurance rates are proposed to remain flat with no increase. Mr. Carter spoke of the improvements made to
cut expenses and increase revenues. The City has not seen an increase in the budget since 2009. Mr. Carter
provided various scenarios should the Council decide to have general fund levy increases of 1 -2% and a
debt levy increases of 2.5 -5% and combinations thereof. Mr. Carter provided a proposed five -year budget
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CITY COUNCIL MINUTES SEPTEMBER 11, 2012
which includes a 0% levy increase. With this scenario, the budget deficit, with no other adjustments,
increases substantially each year over the five years.
Council Member Arndt commented that he does not like to see large unbalanced budgets and have to
consider mass layoffs to balance the budget.
Mr. Carter further detailed information pertaining to debt levies.
10. UNFINISHED BUSINESS
11. NEW BUSINESS
(a) DISCUSSION OF MN/DOT TRUNK HIGHWAY 7/22 BOX CULVERT REPLACEMENT FEASIBILITY
REPORT
Kent Exner, City Engineer, presented before the Council. Mr. Exner explained that MnDOT has completed
its Trunk Hwy 7/22 Box Culvert Replacement Feasibility Study. The key points of the study include that
the project is feasible with a replacement structure twice the existing length; construction limits and right -of-
way impacts and property acquisition will need to be addressed by the City; due to the funds being utilized
for the project, laws pertaining to recreational/park land would apply; soil borings and reports indicate that a
10 -foot su cut would be necessary to eliminate subgrade soils; hydraulic capacity of the structure would be
adequate; a coffer dam, dewatering and bypass pumping will be necessary; a detour will be necessary; if the
project proceeds, the City would be the lead agency for the improvements and responsible for various
aspects of the project. The preliminary cost estimate shows that MnDOT's cost share would be $145,000
which is the estimated cost of the proposed mill/overlay. The total project is estimated at $1,372,000 with a
City construction cost of $1.1 - $1.5 million. These costs are construction only and do not include other
project delivery costs such as engineering, permitting, right -of -way, etc. A $250,000 grant is pending 2013
state legislature approval. City preliminary engineering /cost estimating is estimated to cost $15,000-
$20,000. This project would gain three feet in height and six feet in width of the current culvert.
Mayor Cook and Council Member Christensen noted that the project is not feasible at the costs associated.
However, it was good to acknowledge the opportunity.
Rob Wersal, 710 Walnut Street, presented before the Council. Mr. Wersal had concerns with the cost of the
project.
Motion by Czmowski, second by Arndt, to not proceed with the Trunk Hwy 7/22 box culvert replacement
project. Motion carried unanimously.
(b) CONSIDERATION FOR APPROVAL OF SETTING HUTCHINSON REDEVELOPMENT AUTHORITY
2013 PRELIMINARY TAX LEVY (ADOPT RESOLUTION NO. 14049)
Jeremy Carter, City Administrator, presented before the Council. Mr. Carter explained that the 2013
statutory amount available to the HRA is $153,284. The HRA Board requests a 2013 levy amount of
$150,000. The 2012 tax levy was $140,000. The $10,000 increase is mainly to allow more loan funding
dollars for grant programs that the HRA administers. The Council spoke of the importance of HRA
programs and the maintenance and improvements made to homes in the community.
Motion by Arndt, second by Czmowski, to approve setting Hutchinson Redevelopment Authority 2013
preliminary tax levy, adopt Resolution No. 14049. Motion carried unanimously.
(c) CONSIDERATION FOR APPROVAL OF SETTING HUTCHINSON ECONOMIC DEVELOPMENT
AUTHORITY 2013 PRELIMINARY TAX LEVY (ADOPT RESOLUTION NO. 14050)
Jeremy Carter, City Administrator, presented before the Council. Mr. Carter explained that the 2013
statutory amount available to the EDA is $150,218. The EDA Board requests a 2013 levy amount of
$150,218. The 2012 EDA levy was $154,164.00.
CITY COUNCIL MINUTES SEPTEMBER 11, 2012
Motion by Czmowski, second by Christensen, to approve setting Hutchinson Economic Development
Authority 2013 preliminary tax levy, adopt Resolution No. 14050. Motion carried unanimously.
(d) CONSIDERATION FOR APPROVAL OF SETTING CITY OF HUTCHINSON 2013 PRELIMINARY
TAX LEVY (ADOPT RESOLUTION NO. 1405 1)
Jeremy Carter, City Administrator, presented before the Council. The proposed levy includes a 2% general
fund levy increase and a 5% debt levy increase. Mr. Carter noted that the City is able to adjust the levy to a
general fund levy increase of 1 % and a 0% debt levy increase still with a balanced budget. The only issue
that could bubble up is open enrollment and adjustments to insurance coverages. Mr. Carter noted that if the
Senior Center should open again on Fridays, as it has been requested, it would be an annual cost of $12,000-
$13,000. Discussions have been held as to mechanisms to use to offset these costs. Mayor Cook would like
staff to include this into the 2013 budget. He suggested considering charging a user fee. Other Council
Members felt it was a good idea to include Fridays back into the budget, but to work with the seniors on
raising funds or using user fees to offset the costs.
Motion by Arndt, second by Christensen, to open Event Center /Senior Center on Fridays and include in
2013 budget. Discussion was held regarding how the levy would need to be adjusted with having the senior
center open on Fridays. The Council felt that staff and the senior citizen users should have a discussion as to
how much the seniors are willing to contribute. Council Member Arndt pulled his motion with the
expectation that a meeting will be held in the very near future to discuss user fees at the senior center.
Council Member Arndt and Council Member Christensen will meet with the senior citizens.
Motion by Czmowski, second by Christensen, to schedule a meeting with senior citizens to discuss
opportunities to have Senior Center open on Fridays. Motion carried unanimously.
Motion by Czmowski, second by Christensen, to approve setting City of Hutchinson 2013 preliminary tax
levy with a 1% general fund increase and 0% debt levy increase. A revised Resolution will be drafted.
Motion carried unanimously.
(e) CONSIDERATION FOR APPROVAL OF SETTING ENTERPRISE FUND BUDGET WORKSHOPS
Jeremy Carter, City Administrator, asked that the Council consider setting enterprise fund budget workshops
for October 9, 2012, and October 23, 2012. The Water /Sewer /Storm Water funds will be discussed on
October 9 and the Refuse, Creekside, Liquor Store funds will be discussed on October 23.
Motion by Arndt, second by Cook, to set enterprise fund budget workshops for October 9 and 23, 2012, at
4:00 p.m. Motion carried unanimously.
(f) DISCUSSION OF CITY COUNCIL MEETING SET FOR DECEMBER 25, 2012
Jeremy Carter, City Administrator, noted that the fourth Tuesday in December is Christmas Day, December
25t .
Motion by Czmowski, second by Arndt, to reset December 25, 2012, City Council meeting to December 20,
2012, at 5:30 p.m. 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) HUTCHINSON UTILITIES COMMISSION MINUTES FROM JULY 25, 2012
(b) HUTCHINSON HOUSING & REDEVELOPMENT AUTHORITY BOARD MINUTES FROM JULY 17,
2012, AND ANNUAL BOARD MINUTES FROM AUGUST 16, 2011
(c) FIRE DEPARTMENT MONTHLY REPORT FOR AUGUST 2012
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CITY COUNCIL MINUTES SEPTEMBER 11, 2012
(d) RESOURCE ALLOCATION COMMITTEE MEETING MINUTES FROM SEPTEMBER 4, 2012
(e) WEED NOTICE MONTHLY REPORT FOR AUGUST 2012
13. MISCELLANEOUS
Eric Yost— Council Member Yost commented that emerald ash borer has been identified in the City of St.
Paul. He asked that the City have their plan identified as to how to address the issue in our community. Mr.
Carter spoke about funds that have been set aside to address the issue of an emerald ash borer outbreak. Mr.
Carter also spoke about actions staff has taken and policies that have been put in place to address the issue.
Mayor Cook — Mayor Cook mentioned that ordinances need to be revised pertaining to licensing. They
could be strengthened to require that existing City ordinances must be adhered to or licenses could be
revoked. Mr. Carter noted that the applications will be amended as well to better clarify code requirements.
Mayor Cook also asked that the position of nuisance officer be discussed at the second Council meeting in
October.
Mayor Cook also spoke of Lindsay Whalen's accomplishments and the attempts made to have an event
scheduled in her honor. Mayor Cook also mentioned that some have suggested that a street be named after
her. Or, in the alternative, a street sub -named after her. Not officially change the name of the street but
have an honorary street name, perhaps on the street or block that she grew up on. It was suggested that
perhaps a sign could be placed at the city limits noting that Hutchinson is the home of Lindsay Whalen,
similar to the Les Kouba birthplace sign.
Motion by Yost, second by Christensen, to set September 23, 2012, from 4:00 — 6:00 pm as a public meeting
for Council Members to attend the Center for the Arts fund raising event. Motion carried unanimously.
14. ADJOURN
Motion by Arndt, second by Cook, to adjourn at 7:50 p.m. Motion carried unanimously.
ATTEST:
Steven W. Cook Jeremy J. Carter
Mayor City Administrator