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cp02-11-2014No Workshop AGENDA REGULAR MEETING — HUTCHINSON CITY COUNCIL TUESDAY, FEBRUARY 11, 2014 CALL TO ORDER — 5:30 P.M. 2. INVOCATION — Bethlehem United Methodist 3. PLEDGE OF ALLEGIANCE 4. RECOGNITION OF GIFTS, DONATIONS AND COMMUNITY SERVICE TO THE CITY 5. PUBLIC COMMENTS 6. MINUTES (a) REGULAR MEETING OF JANUARY 28, 2014 Action — Motion to approve as presented 5 min. 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. 14240 — A RESOLUTION IN SUPPORT OF MCLEOD COUNTY SINGLE SORT RECYCLING PROGRAM 2. ORDINANCE NO. 14 -720 - AN ORDINANCE AMENDING SECTION 2.04 OF HUTCHINSON CITY CHARTER — FORM OF GOVERNMENT — ELECTIVE OFFICERS (SECOND READING AND ADOPTION) (b) SUMMARY OF CLOSED MEETING PROCEEDINGS FOR THE CITY ADMINISTRATOR PERFORMANCE APPRAISAL SESSION HELD ON JANUARY 28, 2014 (c) APPOINTMENT OF BECKY FELLING AS CITY REPRESENTATIVE TO HUTCHINSON HEALTH BOARD TO DECEMBER 2015 (FILLING UNEXPIRED TERM OF ERIC YOST) (d) CLAIMS, APPROPRIATIONS AND CONTRACT PAYMENTS — REGISTER A (e) CLAIMS, APPROPRIATIONS AND CONTRACT PAYMENTS — REGISTER B Action — Motion to approve consent agenda 8. PUBLIC HEARINGS — 6:00 P.M. 30 min. (a) ORDINANCE NO. 14 -721 -AN ORDINANCE ALLOWING THE HARBORING OF CHICKENS WITHIN CITY LIMITS (FIRST READING, SET SECOND READING AND ADOPTION FOR FEBRUARY 25, 2014) Action — Motion to reject — Motion to approve 9. COMMUNICATIONS, REOUESTS AND PETITIONS (Purpose: to provide Council with information CITY COUNCIL AGENDA FEBR UARY 11, 2014 necessary to craft wise policy. Always looking toward the future, not monitoring past) 10 min. (a) DISCUSSION ON USING FUTURE ADDITIONAL LOCAL GOVERNMENT AID APPROPRIATIONS IN THE GENERAL FUND Action - 10. UNFINISHED BUSINESS 11. NEW BUSINESS 10 min. (a) CONSIDERATION FOR APPROVAL OF ESTABLISHMENT OF PART -TIME RECREATION FACILITY MAINTENANCE TECHNICIAN POSITION AND ELIMINATION OF ARENA/REC CENTER MAINTENANCE SPECIALIST POSITION Action — Motion to reject — Motion to approve 5 min. (b) CONSIDERATION FOR APPROVAL OF A PROFESSIONAL SERVICES AGREEMENT TO PRE- DESIGN /DESIGN A NEW REFRIGERATION SYSTEM FOR THE CIVIC ARENAS Action — Motion to reject — Motion to approve 5 min. (c) CONSIDERATION FOR APPROVAL OF ENDS STATEMENTS Action — Motion to reject — Motion to approve 1 min. (d) CONSIDERATION FOR APPROVAL OF SETTING COUNCIL WORKSHOP TO DISCUSS CODE OF ETHICS POLICY Action — Motion to reject — Motion to approve 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 EDA BOARD MINUTES FROM NOVEMBER 27, 2013 AND DECEMBER 19, 2013 (b) HUTCHINSON UTILITIES COMMISSION BOARD MINUTES FROM JANUARY 2, 2014 (c) HUTCHINSON PUBLIC LIBRARY BOARD MINUTES FROM DECEMBER 23, 2013 (d) PARKS, RECREATION, COMMUNITY EDUCATION BOARD MINUTES FROM NOVEMBER 4, 2013 (e) CITY OF HUTCHINSON FINANCIAL REPORT AND INVESTMENT REPORT FOR DECEMBER 2013 13. MISCELLANEOUS 14. ADJOURN 2 MINUTES REGULAR MEETING — HUTCHINSON CITY COUNCIL TUESDAY, JANUARY 28, 2014 1. CALL TO Oho) — 5:30 P.M. Mayor Steve �'oo called the meeting to order. Members present were Mary Christensen, Bill Arndt, Gary Forcier 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 6. MINUTES (a) REGULAR MEETING OF JANUARY 14, 2014 Motion by Arndt, 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. RESOLUTION NO. 14235 - RESOLUTION ESTABLISHING NO PARKING RESTRICTIONS (JEFFERSON STREET SE — OAKLAND TO CENTURY) 2. RESOLUTION NO. 14236 - RESOLUTION ESTABLISHING NO PARKING RESTRICTIONS (WASHINGTON TO CLINTON) (b) PLANNING COMMISSION ITEMS 1. CONSIDERATION OF CONDITIONAL USE PERMIT TO AMEND THE PLANNED DEVELOPMENT DISTRICT TO ALLOW DRIVEWAY SETBACK TO BE ZERO FEET FROM THE SIDE PROPERTY LINE ON LOTS 2, 3, 4 AND 5 IN FAIRWAY ESTATES THIRD ADDITION WITH FAVORABLE PLANNING COMMISSION RECOMMENDATION (ADOPT RESOLUTION NO. 14234) (c) CONSIDERATION FOR APPROVAL OF THE 2014 CITY OF HUTCHINSON PAY EQUITY REPORT (d) CONSIDERATION FOR APPROVAL OF SNOW REMOVAL SERVICES AGREEMENT WITH HASSAN VALLEY TOWNSHIP (e) CONSIDERATION FOR APPROVAL OF MOVE MINNESOTA CAMPAIGN SUPPORT FORM CITY COUNCIL MINUTES JANUARY28, 2014 (f) CONSIDERATION FOR APPROVAL OF CHANGES TO VERIZON WIRELESS FRANCHISE AND LEASE AGREEMENT (g) CONSIDERATION FOR APPROVAL OF ISSUING SHORT -TERM GAMBLING LICENSES - MCLEOD COUNTY PHEASANTS FOREVER ON MARCH 22, 2014 - MINNESOTA DEER HUNTERS ASSOCIATION ON APRIL 5, 2014 (h) CLAIMS, APPROPRIATIONS AND CONTRACT PAYMENTS — REGISTER A (i) CLAIMS, APPROPRIATIONS AND CONTRACT PAYMENTS — REGISTER B Items 7(a) 1, 7(a)2, and 7(i) were pulled for separate discussion. Motion by Arndt, second by Forcier, to approve consent agenda with the exception of the items noted above. Motion carried unanimously. Items 7(a)1 and 7(a)2 had further discussion. Kent Exner, City Engineer, noted that the Resolution in Item 7(a)1 had a typographical error in the approval date and should be changed from February 11, 2014, to January 28, 2014. Motion by Christensen, second by Forcier, to approve Item 7(a)1 with the correction noted. Motion carried unanimously. Item 7(a)2 had two typographical errors — the approval date as well as the restriction is on the west side as opposed to the east side. Motion by Arndt, second by Christensen, to approve Item 7(a)2 with the corrections noted. Motion carried unanimously. Item 7(i) had further discussion. Council Member Forcier noted he will be abstaining from voting on this item. Motion by Arndt, second by Czmowski, with Forcier abstaining, to approve Item 7(i). Motion carried unanimously. Item 7(d) had further discussion. Kent Exner, City Engineer, explained that with the construction of the new roundabout on Hwy 15 South/CSAH 18, a new entrance point was created to a service road that serves approximately 12 homes along Hwy 15 South. A cooperative agreement was entered into pertaining to snow removal for this stretch of roadway. 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) UPDATE ON MCLEOD COUNTY'S PROGRESS TOWARDS TRANSITIONING TO SINGLE SORT RECYCLING McLeod County Board Chair Paul Wright presented before the Council. Commissioner Wright provided an update to the Council on the County's progress towards a single sort recycling program. Commissioner Wright provided an overview of the various recycling services provided and who is served along with the recycling rate. Commissioner Wright explained that not only does the facility support McLeod County it also serves a regional purpose stretching out to surrounding counties. 2 CITY COUNCIL MINUTES JANUARY28, 2014 Commissioner Wright reviewed the recycling facility operating expenses. The facility is offered and operated as a quality service and not operated as a for -profit business. Commissioner Wright reviewed the 2013 operating expenses and revenues as well as a history of the financials back to 2009. A review was provided of the tons received in to the facility which was over 6000 tons in 2013. The projection is to collect over 10,000 tons upon implementation of a single sort system. Sarah Young, Solid Waste Coordinator, explained what the abatement fund is. Ms. Young explained that the abatement fund is similar to a host fee that the State allows the facility to collect. There is no cost to McLeod County residents for the operation of the facility. Commissioner Wright introduced each staff member of the facility and their function. Commissioner Wright also noted that the facility uses many volunteers from WCI Industries, ATHC and sentence to service workers. Commissioner Wright explained that March 4, 2014, is scheduled for the county board to consider The single sort program. This will mean constructing an addition to the facility and perhaps some additional pieces of equipment and employees. Commissioner Wright spoke of the consultant being used for the design of the program and construction of the addition to the facility. No levy dollars are being used, but rather abatement funds only will be utilized for the additions. It was clarified that when this program is implemented, all the material is intended to be housed indoors. Discussion was held on odor issues with a higher capacity. The Council will consider a formal Resolution of support for the single sort program. (b) FACILITIES COMMITTEE UPDATE Dan Jochum, Facilities Committee Representative, presented before the Council. Mr. Jochum provided an overview of the schedule of projects in various city facilities and the priorities of them. Mr. Jochum explained the process used when evaluating various facility projects and the criteria used when priority lists are established. Mr. Jochum provided an overview of the projects completed/approved in 2013. Mr. Jochum then reviewed the projects scheduled for 2014, 2015, 2016, 2017 and 2018. A very lame project in 2014 includes a $2 million project at the civic arena. Mr. Jochum stressed that the scoring system determines the project needs and it is not determined on a department by department need or rotation. Jeremy Carter, City Administrator, reviewed the funding plan for the capital projects facilities plan. Mr. Carter reviewed a five year plan that has been established for facility projects. Mr. Carter reviewed a facility plan and a non - facility plan. Discussion was held on how these plans were put together and the use of LGA funding. The funding sources are working well. It was noted that a funding source has not been identified before for capital projects and the excess LGA funds have benefitted this program. Mr. Jochum reviewed some of the major projects completed/to be completed which include the Parks garage, historic band shell renovation, civic arena improvements, VMF ballpark, and Rec Center basketball backboards. Mr. Jochum reviewed how projects are implemented using quotes/bids dependent on the project cost. John Paulson, Environmental Specialist, presented before the Council. Mr. Paulson explained that the City had applied for a grant in Summer 2013 for a solar energy project. Last week, he and Mr. Carter attended a State Public Utilities Commission hearing at which the Commission authorized allocating grant dollars to the City for a solar energy project. 10. UNFINISHED BUSINESS (a) REVIEW OF CHICKEN ORDINANCE (FIRST READING, SET PUBLIC HEARING AND SECOND READING AND ADOPTION FOR FEBRUARY 11, 2014) Jeremy Carter, City Administrator, presented before the Council. Mr. Carter reviewed a draft CITY COUNCIL MINUTES JANUARY28, 2014 ordinance which allows for the harboring of chickens within city limits. Mr. Carter explained that he and City Attorney Marc Sebora met with John Dietel and other interested parties to review the draft ordinance and heard their feedback pertaining to the ordinance. Marc Sebora, City Attorney, reviewed the draft ordinance as provided in the Council packet. Key points of the ordinance include the necessity of a license. In addition, license requirements would include such items as properties in R -1 zones only, coops, fencing, maximum of four chickens, 20 foot setback/no front yards, neighbor approval and impounding. The ordinance also spells out licensing procedures and appeal hearing procedures should a license be revoked. General discussion was held on coops and setbacks. John Dietel presented before the Council and spoke about the size of coops and the necessity of the size for housing chickens. He suggested perhaps a 20 foot setback is excessive when a permanent structure only requires a five foot setback. Attorney Sebora explained that this ordinance is a big departure from its animal ordinance and the goal is to minimize nuisance conditions and neighbor complaints. Mayor Cook commented that perhaps a public hearing wouldn't be necessary as part of the licensing process if the abutting neighbors sign off on approval. Council Members Czmowski and Christensen suggested striking language from the draft ordinance requiring a public hearing as part of the licensing process, however keeping language that the abutting property owners sign off on approval. Council Member Arndt commented that perhaps an ordinance isn't required at all. The City allows Gopher Campfire to have thousands of geese and turkeys and there are no issues. Mayor Cook noted that the intention is to protect chicken owners and chicken neighbors and an ordinance needs to be put in place to regulate both sides. Discussion was held that perhaps the neighbors only sign off upon the initial application, but not annually. Attorney Sebora explained that some of the feedback received with interested parties was having a an overall license fee and not a fee per animal. The interested parties also suggested that chickens be allowed in areas zoned other than R -1. Other discussion items included fencing, the maximum number allowed, coop size, reduced setback requirements, and impounding issues. The Council will hold a public hearing on this matter at the next Council meeting. The following keypoints were noted that the Council would like addressed with the chicken ordinance: require abutting neighbor approval; no public hearing required as part of license process; 10 foot setback instead of 20 foot setback; chickens allowed in backyards only; coop height requirements; chicken coop structure enclosed year round required; little larger than 10 sq ft for each chicken (such as 15 sq ft per bird); perhaps lan guage such as "no crowing birds" in addition to or instead of "no roosters "; rescue operations could be considered instead of or as part of impounding; language noting that chickens are contained in chicken runs only, therefore no need to address fencing requirements; maximum number of six chickens instead of four. The revised ordinance will be considered a first reading at the next meeting and a public hearing hearing will be held. Motion by Forcier, second by Christensen, to set first reading and public hearing of Ordinance No. 14 -721 for February 11, 2014. Motion carried unanimously. F1 CITY COUNCIL MINUTES JANUARY28, 2014 (b) REVIEW OF ORDINANCE AMENDING SECTION 2.04 OF HUTCHINSON CITY CHARTER — FORM OF GOVERNMENT — ELECTIVE OFFICERS (FIRST READING, SET SECOND READING AND ADOPTION) Marc Sebora, City Attorney, presented before the Council. Mr. Sebora explained that over the last couple of months the mayor along with the Charter Commission and City Council have discussed increasing the mayoral terms from two years to four years. Before the Council tonight is a proposed ordinance for the Council to consider amending the Charter language increasing the term to four years. A revised ordinance has been distributed clarifying that the proposed change would not take place until the 2016 mayor's term. Motion by Czmowski, second by Forcier, to set second reading and adoption of Ordinance No. 14- 720 for February 11, 2014. Christensen — aye; Arndt — nay; Forcier — aye; Czmowski — aye; Cook — aye. Motion carried 4 to 1. 11. NEW BUSINESS (a) CONSIDERATION FOR APPROVAL OF TRANSPORTATION ALTERNATIVES PROGRAM GRANT APPLICATION (SCHOOL ROAD SW MULTI -USE PATHWAY) Kent Exner, City Engineer, presented before the Council. Mr. Exner explained that staff is in the process of preparing a final grant application for the potential construction of a multi -use pathway along School Road from the bridge to Roberts Road. MnDOT is distributing funds that would be allocated in 2017 or 2018. Mr. Exner distributed a final draft of the grant application. The project scope will include an off - street trail facility beginning at the south side of the bridge that will carry along the west side to Roberts Road. This trail will fill a gap that is open in the trail system. Several trees will need to be removed within the project, however they will be replaced where they can be. Mr. Exner explained that the 2017 estimated construction cost of the project is $487,704.83. Approximately $147,000 would be eligible from these grant dollars to go towards the project. The City would be required to match 20% of the grant dollars, or $29,387.00. Motion by Arndt, second by Christensen, to approve transportation alternatives program grant application, which includes adopting Resolution Nos. 14238 and 14239 and approving the 20% funding match in the amount of $29,387.00. Motion carried unanimously. Council Member Arndt asked if a hangar could be constructed along the bridge itself. Mr. Exner noted that options could be considered. 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) CITY SNOW REMOVAL REPORT FOR NOVEMBER AND DECEMBER 2013 (b) SIDEWALK SNOW REMOVAL MONTHLY REPORT FOR DECEMBER 2013 (c) PUBLIC ARTS COMMISSION MINUTES FROM DECEMBER 12, 2013 (d) PLANNING COMMISSION MINUTES FROM DECEMBER 3, 2013 (e) HUTCHINSON HOUSING & REDEVELOPMENT AUTHORITY BOARD MINUTES FROM DECEMBER 17, 2013 CITY COUNCIL MINUTES JANUARY28, 2014 13. MISCELLANEOUS Bill Arndt — Council Member Arndt commented that a WinterFest event is being held this Saturday at the McLeod County Fairgrounds. Gary Forcier — Council Member Forcier commented that he would like staff to work with vets on assisting with licensing dogs and cats. Kent Exner — Mr. Exner mentioned that staff is putting together a grant application for Safe Routes to School in conjunction with the School District. Mayor Cook — Mayor Cook noted that a code of conduct discussion should be held. He suggested scheduling a workshop to review /establish a code of conduct policy. The Ends statements were updated at the last workshop and they should be formally adopted at the next Council meeting. Council Member Arndt also suggested having a meeting with the state legislators before the session starts. Mayor Cook noted that it has been suggested for a universal meeting to be held with all entities within the county and area legislators to review common themes amongst local jurisdictions. Jeremy Carter noted that he is working with the Silver Lake City Administrator on contacting other cities in the county and putting together a list of the top items to be discussed with the legislators. The hope is to have the meeting in mid - February. 14. ADJOURN Motion by Arndt, second by Christensen, to adjourn at 8:40 p.m. Motion carried unanimously. 71 HUTCHINSON CITY COUNCIL oka� Request for Board Action 79 4w,,7 Agenda Item: Resolution No. 14240 - Supporting McLeod County Single Sort Recycling Department: Administration LICENSE SECTION Meeting Date: 2/11/2014 Application Complete N/A Contact: Jeremy Carter Agenda Item Type: Presenter: Reviewed by Staff ❑ Consent Agenda Time Requested (Minutes): 0 License Contingency N/A Attachments: Yes BACKGROUND /EXPLANATION OFAGENDA ITEM: As a follow up to the last Council meeting, attached is a Resolution in support of the McLeod County Single Sort Recycling Program. As you will recall, McLeod County Board Chair Paul Wright provided the Council a presentation on the County's plan to transition to a single sort recycling program. Based on the presentation and the information provided, the Council expressed their support of the program and noted that they would consider a formal Resolution showing their support. BOARD ACTION REQUESTED: Approve Resolution No. 14240 - Supporting McLeod County Single Sort Recycling Program Fiscal Impact: Funding Source: FTE Impact: Budget Change: No Included in current budget: No PROJECT SECTION: Total Project Cost: Total City Cost: Funding Source: Remaining Cost: $ 0.00 Funding Source: Resolution No. 14240 A Resolution In Support of McLeod County Single Sort Recycling Program Whereas, the City of Hutchinson prides itself on being environmentally conscious; and, Whereas, the City believes in the value of recycling as shown by its early adoption of household organic and composting programs; and, Whereas, the City worked with the State of Minnesota and McLeod County to establish Creekside Soils to utilize the household organics and compost products in a productive and sustainable manner; and, Whereas, the City enthusiastically supported McLeod County's source- separated recycling program for its environmental, economic and community benefits; and, Whereas, single sort recycling programs have been shown to significantly increase participation because of its ease and convenience, Now, therefore, be it resolved that the City Council of the City of Hutchinson supports McLeod County's efforts to investigate the feasibility of moving to a single sort recycling program and will participate in the program if the McLeod County Commissioners determine that such a move continues to provide environmental, economic and community benefits for county residents and businesses. Adopted by the City Council this 11th day of February, 2014. Steven W. Cook, Mayor ATTEST: Jeremy J. Carter, City Administrator HUTCHINSON CITY COUNCIL ci =W-f 0"'N Request for Board Action 79 Agenda Item: Consideration of Charter Commission Amendments - Ordinance No. 14 -720 Department: Administration LICENSE SECTION Meeting Date: 1/28/2014 Application Complete N/A Contact: Marc Sebora Agenda Item Type: Presenter: Marc Sebora Reviewed by Staff ❑ Unfinished Business Time Requested (Minutes): 10 License Contingency N/A Attachments: Yes BACKGROUND /EXPLANATION OFAGENDA ITEM: At the last City Council meeting, the Council held its first reading of Ordinance No. 14 -720 which amends Section 2.04 of the Hutchinson City Charter changing the mayoral term length from four years to two years. Before the Council is Ordinance No. 14 -720 for consideration of its second reading and adoption. The ordinance includes language noting that if the amendments are approved by the voters at the 2014 election, the new term length would take effect with the 2016 mayor's term. As a reminder, upon adoption of these amendments, they will be forwarded to the Charter Commission for their review. The Charter Commission then has between 60 -150 days to review the amendments and provide feedback to the Council. The Charter Commission may revise the amendments or approve or disapprove of them. The Council may then decide if they wish to put before the voters the original proposed amendments as they had recommended or a revised version of the Charter Commission. Following that decision, ballot language will be provided to the McLeod County Audtior- Treasurer for the Charter amendment question to be placed on the ballot. BOARD ACTION REQUESTED: Approve second reading and adoption of Ordinance No. 14 -720, amending Section 2.04 of the Hutchinson City Charter. Fiscal Impact: Funding Source: FTE Impact: Budget Change: No Included in current budget: No PROJECT SECTION: Total Project Cost: Total City Cost: Funding Source: Remaining Cost: $ 0.00 Funding Source: Ordinance No. 14 -720 Publication No. AN ORDINANCE ADOPTING REVISIONS TO SECTION 2.04 OF HUTCHINSON CITY CHARTER — FORM OF GOVERNMENT The City Council hereby ordains: WHEREAS, the Hutchinson City Council met on January 14, 2014, and discussed amending the Hutchinson City Charter to allow for four -year mayoral terms; and, WHEREAS, as part of the discussion, the Hutchinson City Council determined that they would like the proposed amendment to be put forth on the 2014 municipal election ballot; and, WHEREAS, Minnesota Statute 410.12, Subd. 5 allows for Charter amendments to be put forth to voters by the City Council by first adopting an ordinance and forwarding to the Hutchinson Charter Commission for review and recommendation; and, WHEREAS, the proposed amendment is attached to this ordinance, NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF HUTCHINSON, THAT The proposed amendment to Hutchinson City Charter Section 2.04 attached hereto as Exhibit A allowing for four -year mayoral terms be adopted by ordinance and forwarded to the Hutchinson Charter Commission for review and recommendation. Upon receiving a recommendation from the Charter Commission, the proposed amendment will be placed on the 2014 municipal election ballot. Any Charter amendment approved increasing the mayoral term to four years shall not take effect until the election for the office of mayor in the year 2016. Adopted by the City Council this day of , 2014. Attest: Jeremy J. Carter, City Administrator Steven W. Cook, Mayor HUTCHINSON CITY COUNCIL SUMMARY OF CLOSED MEETING PROCEEDINGS CITY ADMINISTRATOR ANNUAL PERFORMANCE REVIEW SESSION January 28, 2014 On January 28, 2014, the Hutchinson City Council closed its meeting at 4:06 p.m. to conduct the annual performance review for the City Administrator, Jeremy Carter. Individuals present included Hutchinson Mayor Steve Cook, City Council members Mary Christensen, Chad Czmowski, and Gary Forcier, City Administrator Jeremy Carter, City Attorney Marc Sebora, and Human Resources Director Brenda Ewing. Mr. Carter exercised his right to close the proceedings to the public. Motion by Christensen, second by Czmowski, to close the meeting at 4:06 p.m. The motion passed unanimously. The Council then proceeded into a closed session. Council member Arndt joined the closed session at 4:17 p.m. The Council reviewed with Mr. Carter his performance for the period of January 1 through December 31, 2013. Mr. Carter's performance in the following categories was reviewed by the Council: Organizational Management, Fiscal /Business Management, Program Development, Relationship & Communication with the Council, Long -Range Planning, and Relationship with Public & Outside Organizations. The appraisal system allows an individual to be rated on the scale of ratings range including Unsatisfactory (1), Needs Improvement (2), Meets Job Requirements (3), Exceeds Job Requirements (4), and Outstanding (5). The consensus of the Council is that Mr. Carter's cumulative performance for the review period was found to be exceeding job requirements on the ratings scale. The City Administrator communicated the following initiatives he has established for 2014: • Finalize City Policy review of Sections 2 & 3 of the City Policy document • Organizational structure & review o Discussions to keep organization effective and moving in the direction of the Council. • Communication with the Community • Communication Channels • Directors to City Administrator • Communications to all employees • City Administrator to Council (council update /newsletter) • Finalize Performance Measurement Initiative • Street lights and other miscellaneous projects • Payment is Lieu of Taxes (PILOT) Discussion — Hutchinson Utilities Commission (HUC) Board Meeting Communication • Review City Rental Property program as the function is transferred to the Planning /Building Department • Solar Project • City Facility Issues — pool, civic arena, etc. Consider partnering opportunities with the school district or other entities. The Council established the following addition initiatives for the City administrator for 2014: • Linden Park issues • Automated Metering Motion by Mr. Czmowski, second by Forcier to establish a performance appraisal score of 4.10. Motion passed unanimously. Motion by Arndt, second by Christensen, to open the closed proceedings at 5:23 p.m. The motion passed unanimously. Motion by Arndt, second by Christensen to grant a 2% performance increase for Mr. Carter effective March 2, 2014. Motion passed unanimously. Motion by Czmowski, second by Arndt to adjourn the meeting at 5:24 p.m. The motion passed unanimously. February 5, 2014 Dear City Council Members, As you know Eric Yost has been the City appointed representative on the Hutchinson Health Board. However, since Eric no longer lives in the city I felt it would be best to replace him with someone local. After talking to Eric and considering several candidates I would like to appoint Becky Felling to the position. Becky has a Masters degree in nursing, served as the Director of the Health Department in McLeod County for fifteen years, was an agency supervisor for ten years prior to that and was a recipient of the Commissioner of Health's Award for Distinguished Service in 2008. During her tenure as Public Health Director, Prime West Health Systems was created. Prime West is a County -Based Purchasing (CBP) health plan operated and governed by 13 rural Minnesota counties. As part of that process the Public Health Directors were instrumental in developing the case management model used by Prime West. With her experience Becky has a good background in health care as well as budgeting, reimbursement issues, and grant writing. Becky has also been involved in the community. She is a graduate of Hutchinson's first Blandin Community Leadership class, served on the Hutchinson Housing and Redevelopment Authority (three years as chairperson), Hutchinson Rotary Club, Prince of Peace Retirement Board Vice - Chair, is currently the Chair of the Heart of Hutch Connect Committee and is involved in a number of other organizations. The Hutchinson Health Board and CEO Steve Mulder also agree that Becky would be a good addition to the board. I ask for your approval. Sincerely, Mayor Steve Cook CITY OF HUTCHINSON Council Check Register 1 Check Issue Dates: 1/29/2014 - 2/11/2014 2/6/2014 Check Number Check Issue Date Amount Vendor Account Description 179375 1/29/2014 31,401.68 MERKINS CONSTRUCTION LLC Buildings & Structures 179380 2/11/2014 255.00 ACE HARDWARE Repair & Maintenance Supplies 179381 2/11/2014 200.00 AMBO Dues & Subscriptions 179382 2/11/2014 172.16 AMERICAN BOTTLING CO Cost of Sales - Miscellaneous 179383 2/11/2014 183.00 AMERICAN WATER WORKS ASSN Dues & Subscriptions 179384 2/11/2014 77.78 AMERIPRIDE SERVICES Contractual R &M 179385 2/11/2014 142.12 ARCTIC GLACIER PREMIUM ICE INC. Cost of Sales - Miscellaneous 179386 2/11/2014 363.72 ARROW TERMINAL LLC Shop Supplies 179387 2/11/2014 425.16 ARTISAN BEER COMPANY Cost of Sales - Beer 179388 2/11/2014 419.54 AUTO VALUE - GLENCOE Shop Supplies 179389 2/11/2014 2,000.00 AUTOMATIC SYSTEMS CO Other Professional Services 179390 2/11/2014 222.25 B & C PLUMBING & HEATING INC Contractual R &M 179391 2/11/2014 168.50 BERNICK'S Cost of Sales - Miscellaneous 179392 2/11/2014 11,100.00 BIOBAG AMERICAS INC Compost Bags 179393 2/11/2014 7,856.50 BOLTON & MENK INC. Other Professional Services 179394 2/11/2014 580.40 BRANDON TIRE CO Automotive R &M 179395 2/11/2014 1,319.67 BUSHMAN, RAQUEL Concession Supplies 179396 2/11/2014 2,514.03 BUSINESSWARE SOLUTIONS Printer Costs 179397 2/11/2014 30,032.80 C & L DISTRIBUTING Cost of Sales - Beer 179398 2/11/2014 378.00 CANNON RIVER WINERY Cost of Sales - Wine 179399 2/11/2014 349.99 CARS ON PATROL SHOP LLC Repair & Maintenance Supplies 179400 2/11/2014 16.80 CARTER, JEREMY Travel /Conference Expense 179401 2/11/2014 501.73 CENTRAL HYDRAULICS Contractual R &M 179402 2/11/2014 102.00 CENTRAL SELF STORAGE Operating Supplies 179403 2/11/2014 9,475.53 CIVIC SYSTEMS LLC Machinery & Equipment 179404 2/11/2014 1,260.00 COUNTRYSIDE FLAGPOLE Repair & Maintenance Supplies 179405 2/11/2014 123.25 CROW RIVER AUTO & TRUCK REPAIR Automotive R &M 179406 2/11/2014 300.00 CROW RIVER GOLF CLUB Grapevine 179407 2/11/2014 1,560.00 CROW RIVER OFFICIALS ASSN Other Professional Services 179408 2/11/2014 199.65 CROW RIVER PRESS INC Operating Supplies 179409 2/11/2014 316.98 CROW RIVER WINERY Travel /Conference Expense 179410 2/11/2014 1,216.77 CUMMINS NPOWER LLC Contractual R &M 179411 2/11/2014 3,418.90 DAY DISTRIBUTING Cost of Sales - Beer 179412 2/11/2014 8,650.00 DIGITAL ALLY INC Small Tools & Minor Equipment 179413 2/11/2014 1,253.98 DPC INDUSTRIES INC Chemicals & Chemical Products 179414 2/11/2014 11.95 DROP -N -GO SHIPPING INC Postage 179415 2/11/2014 150.00 DUENOW, TYLER Uniforms & Personal Equip 179416 2/11/2014 6.00 DVS RENEWAL Vehicle License 179417 2/11/2014 1,535.42 E2 ELECTRICAL SERVICES INC Repair & Maintenance Supplies 179418 2/11/2014 196.12 ECOLAB PEST ELIMINATION Contractual R &M 179419 2/11/2014 192.00 ELECTRO WATCHMAN Operating Supplies 179420 2/11/2014 400.00 ELITE PROTECTIVE SERVICES Travel /Conference Expense 179421 2/11/2014 1,282.08 FARM -RITE EQUIPMENT Automotive R &M 179422 2/11/2014 1,504.54 FASTENAL COMPANY Equipment Parts 179423 2/11/2014 125.00 FENSKE, BRUCE Uniforms & Personal Equip 179424 2/11/2014 268.50 FIRE SAFETY USA INC Safety Supplies 179425 2/11/2014 421.00 FIRST CHOICE FOOD & BEVERAGE SOLUTIONS Office Supplies 179426 2/11/2014 360.09 FISHER SCIENTIFIC Operating Supplies 179427 2/11/2014 3,134.46 FORCE AMERICA Automotive R &M 179428 2/11/2014 281.67 G & K SERVICES Operating Supplies 179429 2/11/2014 5,163.02 GARTNER REFRIGERATION & MFG INC Contractual R &M 179430 2/11/2014 180.00 GIFFERSON, LYNN Refund 179431 2/11/2014 117.24 GLACIAL RIDGE WINERY Cost of Sales - Wine 179432 2/11/2014 225.00 GMRPT COALITION Dues & Subscriptions 179433 2/11/2014 265.00 GOVERNMENT TRAINING SERVICES (GTS) Travel /Conference Expense 179434 2/11/2014 1,628.19 GRAINGER Repair & Maintenance Supplies 179435 2/11/2014 1,392.21 GURSTEL STALOCK & CHARGO PA Garnishments 179436 2/11/2014 1,548.82 H &L MESABI Shop Supplies 179437 2/11/2014 881.90 HACH COMPANY Chemicals & Chemical Products 179438 2/11/2014 897.00 HANSEN GRAVEL Contracted Snow Removal 179439 2/11/2014 897.00 HANSON & VASEK CONSTRUCTION Contracted Snow Removal 179440 2/11/2014 12,824.57 HCVN -TV Cable TV Franchise Fees 179441 2/11/2014 184.23 HENRY'S WATERWORKS INC Repair & Maintenance Supplies 179442 2/11/2014 1,131.00 HJERPE CONTRACTING Contracted Snow Removal 179443 2/11/2014 67.07 HOLT MOTORS INC Automotive R &M 179444 2/11/2014 2,246.79 HUTCH AUTO BODY Insurance Deductible 179445 2/11/2014 3,040.00 HUTCHINSON AREA CHAMBER OF COMMERCE Annual Membership 179446 2/11/2014 1,682.00 HUTCHINSON AREA HEALTH CARE Common Area Maintenance 179447 2/11/2014 3,732.80 HUTCHINSON CONVENTION & VISITORS BUREAU Lodging Tax Reimb 179448 2/11/2014 1,339.00 HUTCHINSON HEALTH Other Professional Services 179449 2/11/2014 526.00 HUTCHINSON LEADER Advertising 179450 2/11/2014 274.11 HUTCHINSON WHOLESALE Operating Supplies 179451 2/11/2014 4,470.25 HUTCHINSON, CITY OF Utilities 179452 2/11/2014 4,000.00 HUTCHINSON, CITY OF Miscellaneous Expense 179453 2/11/2014 412.88 I.M.S. SHARPENING SERVICE Shop Supplies 179454 2/11/2014 120.00 IACP Dues & Subscriptions 179455 2/11/2014 14,248.02 IFCO SYSTEMS NA INC. Inventory - Process Material 179456 2/11/2014 204.78 INDUSTRIAL PNEUMATIC SYSTEMS Equipment Parts 179457 2/11/2014 802.68 INTERSTATE BATTERY SYSTEM MINNEAPOLIS Shop Supplies 179458 2/11/2014 244.00 INTOXIMETERS INC Operating Supplies 179459 2/11/2014 869.89 JACK'S UNIFORMS & EQUIPMENT Safety Supplies 179460 2/11/2014 550.01 JEFF MEEHAN SALES INC. Accrued Payable - Commissions 179461 2/11/2014 668.65 JJ TAYLOR DIST OF MN Cost of Sales - Wine 179462 2/11/2014 110.50 JLR GARAGE DOOR SERVICE Building Repair Supplies 179463 2/11/2014 27,380.00 JOHNSON BROTHERS LIQUOR CO. Cost of Sales - Beer 179464 2/11/2014 1,131.00 JUUL CONTRACTING CO Contracted Snow Removal 179465 2/11/2014 8.42 KLOSS, TOM Travel /Conference Expense 179466 2/11/2014 93.93 KOBOW, BECKY Travel /Conference Expense 179467 2/11/2014 897.00 KOSEK, JEFF Contracted Snow Removal 179468 2/11/2014 3,917.19 KRIS ENGINEERING Shop Supplies 179469 2/11/2014 38.42 L & P SUPPLY CO Equipment Parts 179470 2/11/2014 1,131.00 LEAGUE OF MN CITIES -INS TRUST General Liability Insur 179471 2/11/2014 285.00 LEE'S SHOP Contractual R &M 179472 2/11/2014 143.00 LEXISNEXIS Other Professional Services 179473 2/11/2014 17,637.55 LOCHER BROTHERS INC Cost of Sales - Beer 179474 2/11/2014 14.09 MATHESON TRI -GAS INC Equipment Rental 179475 2/11/2014 1,575.00 MBFTE Travel /Conference Expense 179476 2/11/2014 69.95 MCGRAW -HILL CONSTRUCTION Dues & Subscriptions 179477 2/11/2014 1,600.00 MCLEOD COOP POWER ASSN Electric Territory Reimbursement 179478 2/11/2014 500.00 MCLEOD COUNTY COURT ADMINISTRATOR Bail Money 179479 2/11/2014 1,406.85 MENARDS HUTCHINSON Cleaning Supplies 179480 2/11/2014 3,006.33 MERKINS CONSTRUCTION LLC Buildings & Structures 179481 2/11/2014 68.40 MINNEAPOLIS, CITY OF Other Professional Services 179482 2/11/2014 1,280.00 MINNESOTA DEPT OF MOTOR VEHICLE Miscellaneous Expense 179483 2/11/2014 615.00 MINNESOTA POLLUTION CONTROL AGENCY Travel /Conference Expense 179484 2/11/2014 105.00 MINNESOTA RURAL WATER ASSN Travel /Conference Expense 179485 2/11/2014 696.60 MINNESOTA VALLEY TESTING LAB Other Professional Services 179486 2/11/2014 1,643.97 MMC Contractual R &M 179487 2/11/2014 3,550.00 MN DEPT OF NATURAL RESOURCES Other Professional Services 179488 2/11/2014 70.00 MN SECTION CSWEA Travel /Conference Expense 179489 2/11/2014 60.00 MOORE, ERIC Travel /Conference Expense 179490 2/11/2014 526.31 NASH FINCH COMPANY Contractual R &M 179491 2/11/2014 1,127.50 NEOPOST GREAT PLAINS Contractual R &M 179492 2/11/2014 268.39 NEOPOST USA INC Contractual R &M 179493 2/11/2014 3,095.50 NEW FRANCE WINE Cost of Sales - Wine 179494 2/11/2014 784.72 NOBLE INDUSTRIAL SUPPLY CORP Chemicals & Chemical Products 179495 2/11/2014 4,423.33 NU- TELECOM Phone Services 179496 2/11/2014 111.40 OFFICE DEPOT Office Supplies 179497 2/11/2014 532.96 O'REILLY AUTO PARTS Automotive R &M 179498 2/11/2014 60.00 PAULSON, DEB Travel /Conference Expense 179499 2/11/2014 301.98 PAUSTIS & SONS WINE CO Cost of Sales - Wine 179500 2/11/2014 30,700.46 PHILLIPS WINE & SPIRITS Cost of Sales - Wine 179501 2/11/2014 1,500.00 POSTMASTER Postage 179502 2/11/2014 1,512.28 PRO CARE SERVICES INC Contractual R &M 179503 2/11/2014 13,369.00 QUALITY FLOW SYSTEMS Contractual R &M 179505 2/11/2014 824.95 QUAST GEORGE &,VIKING SIGNS Sign Grant 179506 2/11/2014 6,027.00 RAMAKER & ASSOCIATES, INC Machinery & Equipment 179507 2/11/2014 797.94 REFLECTIVE APPAREL FACTORY INC Safety Supplies 179508 2/11/2014 961.95 RIDDELL ALL AMERICAN SPORTS CORP Operating Supplies 179509 2/11/2014 1,648.00 RJ THOMAS MFG CO INC Repair & Maintenance Supplies 179510 2/11/2014 880.00 RUNNING'S SUPPLY Equipment Parts 179511 2/11/2014 25.25 S ROBERTS CO Freight 179512 2/11/2014 7,650.00 SAFEASSURE CONSULTANTS INC Safety Training 179513 2/11/2014 1,603.28 SAM'S CLUB Concession Supplies 179514 2/11/2014 28,600.55 SCHMELING OIL CO Motor Fuels & Lubricants 179515 2/11/2014 2,969.25 SEH Other Professional Services 179516 2/11/2014 575.50 SENTRY FIRE PROTECTION INC Contractual R &M 179517 2/11/2014 29.53 SHELLENBARGER, VIRGENE Operating Supplies 179518 2/11/2014 45.00 SIBLEY COUNTY SHERIFF'S OFFICE Other Professional Services 179519 2/11/2014 7.00 SORENSEN'S SALES & RENTALS Automotive R &M 179520 2/11/2014 11,785.51 SOUTHERN WINE & SPIRITS OF MN Cost of Sales - Wine 179521 2/11/2014 100.00 SOUTHWEST MN CHAPTER OF ICC Dues & Subscriptions 179522 2/11/2014 6,100.30 SPARTAN STAFFING Other Professional Services 179523 2/11/2014 1,164.77 STAPLES ADVANTAGE Office Supplies 179524 2/11/2014 6,657.25 STEVENS ENGINEERS INC Buildings & Structures 179525 2/11/2014 3,413.42 STREICH TRUCKING Freight -in 179526 2/11/2014 96.71 TASC Admin Fees - HSA /Flex 179527 2/11/2014 65,200.09 TEK MECHANICAL Contractual R &M 179528 2/11/2014 37.40 THE FLOWER MILL DESIGN & GIFTS, LLC Employee Flowers 179529 2/11/2014 384.29 TITAN MACHINERY Automotive R &M 179531 2/11/2014 25,607.59 TREBELHORN & ASSOC Motor Fuels & Lubricants 179532 2/11/2014 128.75 TWIN CITY GARAGE DOOR CO Safety Supplies 179533 2/11/2014 553.22 TWO WAY COMMUNICATIONS INC Radio Repair 179534 2/11/2014 1,012.50 U.S. WATER SERVICES Chemicals & Chemical Products 179535 2/11/2014 35.43 ULINE Operating Supplies 179536 2/11/2014 40.61 UNCLE CHARLIE'S FLOWERS II Employee Flowers 179537 2/11/2014 385.50 UNIFORMS UNLIMITED Uniforms & Personal Equip 179538 2/11/2014 170.00 UNIVERSITY OF MINNESOTA Travel /Conference Expense 179539 2/11/2014 409.62 US BANK EQUIPMENT FINANCE Copy Machine 179540 2/11/2014 341.79 USA BLUE BOOK Equipment Parts 179541 2/11/2014 1,108.24 USPS - HASLER Postage 179542 2/11/2014 2,402.02 VERIZON WIRELESS Phone Services 179543 2/11/2014 69.95 VERTECH SOLUTIONS & SERVICES Contractual R &M 179544 2/11/2014 17,932.02 VIKING BEER Cost of Sales - Beer 179545 2/11/2014 602.25 VIKING COCA COLA Concession Supplies 179546 2/11/2014 705.00 VIKING SIGN & GRAPHICS INC 179547 2/11/2014 118.44 WAL -MART COMMUNITY 179548 2/11/2014 1,601.12 WASTE MANAGEMENT OF WI -MN 179549 2/11/2014 1,100.00 WASTEQUIP 179550 2/11/2014 11,700.00 WEBB PALLET 179551 2/11/2014 3,500.00 WESTAFER ENTERPRISES 179552 2/11/2014 16,373.90 WILKENS INDUSTRIES 179553 2/11/2014 230.30 WINE COMPANY, THE 179554 2/11/2014 704.00 WINE MERCHANTS INC 179555 2/11/2014 19,041.77 WIRTZ BEVERAGE MINNESOTA Grand Totals: 576,067.82 Sign Repair Materials Operating Supplies Refuse - Recycling Small Tools & Minor Equipment Inventory - Process Material Other Professional Services Contractual R &M Cost of Sales - Wine Cost of Sales - Wine Cost of Sales - Liquor CITY OF HUTCHINSON Check Register - Council Check Register Page: 1 Report Dates: 1/19/2014 - 2/1/2014 Feb 05, 2014 11:58AM Report Criteria: Transmittal checks included Pay Period Journal Check Check Date Code Issue Date Number Payee Amount 02/01/2014 CDPT 02/05/2014 179376 AFLAC 90.85- 02/01/2014 CDPT 02/05/2014 179377 HART 567.90- 02/01/2014 CDPT 02/05/2014 179378 MN Department of Revenue 70.00- 02/01/2014 CDPT 02/05/2014 179379 NCPERS Minnesota 368.00- 02/01/2014 CDPT 02/05/2014 2071401 EFTPS 15,677.05- 02/01/2014 CDPT 02/05/2014 2071401 EFTPS 15,677.05- 02/01/2014 CDPT 02/05/2014 2071401 EFTPS 4,702.03- 02/01/2014 CDPT 02/05/2014 2071401 EFTPS 4,702.03- 02/01/2014 CDPT 02/05/2014 2071401 EFTPS 42,059.91- 02/01/2014 CDPT 02/05/2014 2071402 ICMA 1,310.00- 02/01/2014 CDPT 02/05/2014 2071403 ING 15,002.96- 02/01/2014 CDPT 02/05/2014 2071404 Minnesota Dept. of Revenue 14,962.83- 02/01/2014 CDPT 02/05/2014 2071405 MN Child Support System 541.24- 02/01/2014 CDPT 02/05/2014 2071406 MNDCP 250.00- 02/01/2014 CDPT 02/05/2014 2071407 MSRS Health Savings Plan 219,920.25- 02/01/2014 CDPT 02/05/2014 2071408 PERA 10,105.81- 02/01/2014 CDPT 02/05/2014 2071408 PERA 10,105.81- 02/01/2014 CDPT 02/05/2014 2071408 PERA 4,118.52- 02/01/2014 CDPT 02/05/2014 2071408 PERA 6,177.75- 02/01/2014 CDPT 02/05/2014 2071408 PERA 36.16- 02/01/2014 CDPT 02/05/2014 2071408 PERA 36.16- 02/01/2014 CDPT 02/05/2014 2071408 PERA 20.02- 02/01/2014 CDPT 02/05/2014 2071408 PERA 1,596.86- 02/01/2014 CDPT 02/05/2014 2071409 TASC -Flex 200.00- 02/01/2014 CDPT 02/05/2014 2071409 TASC -Flex 1,514.55- 02/01/2014 CDPT 02/05/2014 2071410 TASC -HSA 4,354.94- 02/01/2014 CDPT 02/05/2014 2071410 TASC -HSA 3,338.08- 02/01/2014 CDPT 02/05/2014 2071410 TASC -HSA 1,039.44- 02/01/2014 CDPT 02/05/2014 2071410 TASC -HSA 592.24- 02/01/2014 CDPT 02/05/2014 2071410 TASC -HSA 849.22 - Grand Totals: 30 379,987.66- Check Number Check Issue Date 179530 2/11/2014 179504 2/11/2014 CITY OF HUTCHINSON Council Check Register 2 Check Issue Dates: 1/29/2014- 2/11/2014 Amount Vendor Account Description 897.00 TONY FORCIER TRUCKING Contracted Snow Removal 615.00 QUAST GEORGE &, CROW RIVER SIGNS Sign Grant 1,512.00 HUTCHINSON CITY COUNCIL ci =W-f 0"'N Request for Board Action 79 Agenda Item: Ordinance No. 14 -0721 Allowing the Harboring of Chickens within the City Department: Administration LICENSE SECTION Meeting Date: 2/11/2014 Application Complete N/A Contact: Jeremy Carter Agenda Item Type: Presenter: J Carter /M Sebora Reviewed by Staff ✓❑ Public Hearing Time Requested (Minutes): 30 License Contingency N/A Attachments: Yes BACKGROUND /EXPLANATION OFAGENDA ITEM: Attached is a proposed chicken ordinance for the first reading to be reviewed and discussed at the public hearing. Based on feedback provided at the last Council meeting, some changes have been made to the original ordinance that was before the council for discussion purposes. These changes include no fencing requirements, changing maximum number of chickens allowed from four to six, not allowing crowing birds versus roosters, changing the size of the coop and run area, decreasing setback to 10 feet, removing language pertaining to impounding, not requiring a public hearing before a license is granted and adding a section on fostering chickens. Comments will be received from interested parties at the public hearing regarding the ordinance. Feedback will then be received from Council to staff and a second reading and adoption of the ordinance is proposed for February 25, 2014. BOARD ACTION REQUESTED: Approve the first reading of the ordinance and set second reading and adoption for February 25, 2014. Fiscal Impact: $ 0.00 Funding Source: FTE Impact: 0.00 Budget Change: No Included in current budget: No PROJECT SECTION: Total Project Cost: Total City Cost: Funding Source: Remaining Cost: $ 0.00 Funding Source: Ordinance No. 14 -0721 Publication No. AN ORDINANCE ADOPTING SECTION 93.415 OF THE HUTCHINSON CITY CODE - CHICKENS 93.415 Chickens Preamble: Due to the community concerns regarding noise, odor, waste accumulation and other nuisances, chickens are allowed within city limits only under certain circumstances and licensing requirements. Subdivision 1. License Required A. It is unlawful for any person to keep or harbor chickens in the city limits of Hutchinson without first having obtained an annual license therefore from the City. B. An application for a renewal license shall be filed with the City 30 days prior to the expiration of the current license. C. The fee for a license will be established yearly by the City Council. Subdivision 2. Licensing Requirements. A. Annual licenses will be granted for property in the R -1 residential zone only. B. There is a maximum of six chickens allowed per parcel, none of which will be crowing birds. C. All chickens will be kept in a coop which will sufficiently protect the chickens from the elements. The coop shall provide a minimum of two (2) square feet of space with a maximum of ten (10) square feet for each chicken. D. Incorporated with the coop area there shall be an enclosed chicken run area of at least 15 square feet for each bird kept on the licensed premises. E. No chicken coop shall be located in the front yard of any home and shall not be closer than 10 feet from any property line. F. Licensees shall provide chickens with sufficient food and water. G. Licensees shall permit city personnel on the licensed premises to ensure compliance with this ordinance. H. The annual license application must be consented to by all owners and occupants of the abutting properties. L Chickens shall be kept in sanitary conditions such that odors are not detectable outside of the confines of the property lines of the licensed premises. J. Chickens shall not be audible outside of the confines of the licensed premises. Subdivision 3. Licensing Procedures. Initial licenses to harbor chickens within city limits may be granted only by Hutchinson City Council. Before any license is to be considered by the City Council, an application for a license shall be submitted to the city which contains, among other things, the following: A. A diagram or picture of the coop and its location. B. A detailed plan of how the applicant will comply with requirements of this ordinance. C. The license fee as required by the city. D. All owners and occupants of property abutting the proposed licensed location shall consent to the application in writing Subsequent annual licenses may be issued by the City Administrator or their designee. Subdivision 4. Fostering With the written consent of the animal control officer of Hutchinson Police Services a license holder may exceed the maximum number of chickens allowed under this ordinance for a period of time not exceeding 30 days if that license holder is acting as a bona fide shelter for stray or abandoned chickens located within city limits. The total number of chickens allowed under this subdivision shall never exceed 12. Subdivision 5. License Revocation. A license granted under this chapter may be revoked for violating the provisions of this chapter or for being convicted of any nuisance offense under the Hutchinson city code or Minnesota state law. 1St violation and conviction will include a warning of license revocation 2" d violation and conviction will result in a revocation of license Subdivision 6. Hearing Upon service of a notice of license revocation by the City Administrator or his designee, a license holder under this chapter may request a hearing before the City Administrator or his designee. Request for a hearing by a license holder shall be made within 7 days of service of the notice of license revocation and the hearing itself shall occur within 10 days of the license holder's hearing request. A license holder whose license is revoked for violations of this chapter or other nuisance ordinances or law shall be required to remove all chickens from the property within 14 days of the upheld revocation and be ineligible to reapply for a license under this chapter for a period of two years from the date of revocation. Subdivision 7. Criminal penalty Violations of this chapter constitute a misdemeanor crime. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF HUTCHINSON, THAT Section 93.415 as described above is hereby adopted to be part of the Hutchinson City Code. Adopted by the City Council this day of Attest: Jeremy J. Carter, City Administrator Steven W. Cook, Mayor HUTCHINSON CITY COUNCIL City, of Request for Board Action 7AL =-w-7 Agenda Item: Discussion of Using Future Additional Local Government Aid Appropriations Department: Administration LICENSE SECTION Meeting Date: 2/11/2014 Application Complete N/A Contact: Jeremy Carter Agenda Item Type: Presenter: Jeremy Carter Reviewed by Staff ✓❑ Communications, Requests Time Requested (Minutes): 10 License Contingency N/A Attachments: Yes BACKGROUND /EXPLANATION OFAGENDA ITEM: As we begin planning for the 2015 budgeting phase, the purpose of this discussion will center around the Council's position on using additional LGA dollars outside of the facilities program and for the general fund budget if needed. BOARD ACTION REQUESTED: No formal action needed. Fiscal Impact: $ 0.00 Funding Source: FTE Impact: 0.00 Budget Change: No Included in current budget: No PROJECT SECTION: Total Project Cost: Total City Cost: Funding Source: Remaining Cost: $ 0.00 Funding Source: HUTCHINSON CITY COUNCIL ci =q­f 0"'N Request for Board Action 79 Agenda Item: Establish PT Grade 2 Recreation Facility Maintenance Technician Department: Administration LICENSE SECTION Meeting Date: 2/11/2014 Application Complete N/A Contact: Jeremy Carter Agenda Item Type: Presenter: Jeremy Carter Reviewed by Staff ❑ New Business Time Requested (Minutes): 10 License Contingency N/A Attachments: Yes BACKGROUND /EXPLANATION OFAGENDA ITEM: Effective January 1,2014, the Park and Recreation department has a vacant position as a result of the 2013 Retirement Incentive Program. The position vacated was the Grade 3, full time Arena /Rec Center Maintenance Specialist. To address the on -going custodial and maintenance needs at the Civic Arena facility and the Recreation Center facility, director Dolf Moon, recommended the following reorganization to City Administration for consideration: 1. Establish a Grade 2, 32 hours per week, custodial maintenance position to address these needs at the Civic Arenas and Rec Center that reports to the Recreation Facilities Operations Manager. During the winter season, this position will generally be scheduled to cover weekend hours of operation, the busier public hours at the Arenas and the Rec Center due to the high school hockey contests, the hockey association contests and tournaments, and the basketball and volleyball associations contests and tournaments. The title of this proposed position is PT Recreation Facility Maintenance Technician. 2. Redirect a portion of the duties of the Grade 5 Parks Maintenance Specialist position to include some oversight of this part time position and to assist in addressing the higher level maintenance needs of the facilities. The winter season is the busier period for the Arenas and the Rec Center, whereas the summer season is the busier period for the outdoor park properties and facilities. 3. Redirect a portion of the manual turf maintenance duties of the Maintenance Specialist to the Grade 3 position of Parks Maintenance Equipment Operator that generally occur from spring to fall at the park properties and for the Hutchinson school district properties for which the City provides such services. Designate additional hours of Operator manpower per week to the Arenas and Recreation Center. The new position is a full benefit earning position (insurance, vacation and sick leave, holiday pay, etc.) due to the scheduled hours. BOARD ACTION REQUESTED: Approval of establishing a grade 2 Park and Recreation part time position (32 hours /week) of Recreation Facility Maintenance Technician and elimination of the Grade 3 Arena /Civic Center Maintenance Position. Fiscal Impact: Funding Source: 2014 General Fund Budget FTE Impact: Budget Change: No Included in current budget: Yes PROJECT SECTION: Total Project Cost: Total City Cost: Funding Source: Remaining Cost: $ 0.00 Funding Source: TITLE DEPARTMENT SUPERVISED BY LOCATION 6111 1► /!1:�li '1 Part Time Recreation Facility Maintenance Technician Parks and Recreation Recreation Facilities Operations Manager QIJ011 Recreation Center /Outdoor Pool and Burich Arenas and other locations as needed and as assigned Responsible for care and maintenance of Recreation Center /Outdoor Pool and Burich Arenas DUTIES AND RESPONSIBILITIES 1 Greets the public and answers questions using good customer service skills and a professional presence at all times. 2 Performs opening and closing of the facilities. Collects admission and secures all collected monies. Supervises building and grounds during public usage. 3 Performs the following custodial and maintenance tasks: a. Performs custodial duties, including but not limited to: Sweeps, mops, washes and vacuums floors. Dusts, polishes, arranges and moves furniture and equipment. Empties wastebaskets and trash receptacles. b Works with other staff with minor repairs on plumbing and furnishings. c Washes windows, walls, doors and trim. Cleans restrooms and replenishes supplies. d Removes snow from building entrances and sidewalks. 4 Assists with the maintenance of the rink surfaces and the installation and removal of the hockey rink boards /glass. Resurfaces the ice rinks in both the East and West arenas using the ice resurfacing equipment. 5 Maintains decorative areas such as flower beds, shrubs and other landscaping. Performs turf maintenance including mowing and weeding of Arena /Recreation Center grounds. 6 Prevents accidents and allows for the enjoyment of all patrons through fair and consistent enforcement of policies, rules, and regulations governing the conduct of individuals using the facilities. 7 Uses and operates equipment but not limited to telephone, ice resurfacer, ice edger, floor scrubber, and personal computer, printer, and other general office equipment. Operates City vehicles as required. 8 Completes any necessary paperwork including accident /incident reports, season pass forms, and time records. 9 Sets up and takes down athletic equipment for recreation contests and events. Assists with set up and clean up of facility, including proper storage of supplies. 10 Oversees lost and found items receptacle. 11 Participates in PRCE work teams as needed and assigned. 12 Follows all city policies and procedures, including exceptional safety standards. Attends all required safety trainings. 13 Other duties as assigned. EQUIPMENT Custodial /maintenance equipment, ice resurfacing equipment, ice edger, floor scrubber, telephone, basic office equipment, and City vehicles. REQUIRED QUALIFICATIONS Must be 18 years of age, required for operation and maintenance of the ice resurfacing equipment. Must possess strong customer service and communication skills. Basic math skills along with experience working in a monetary operations system. Valid driver's license to operate City vehicles. DESIRABLE QUALIFICATIONS Previous ice arena work experience. Ice resurfacing equipment operation experience, knowledge and experience with refrigeration systems. Knowledge of cleaning materials, equipment and methods. Knowledge or experience with building and turf maintenance. Previous customer service experience. Ability to understand and carry out oral and written directions; communicate effectively with program participants, community members and staff; be versatile, flexible, friendly and cooperative. Able to independently initiate and complete work activities. Must perform duties to the safety standards set by the city. WORKING CONDITIONS Considerable contact with the public. Generally inside work in temperatures required for ice arena, outdoor pool, indoor gymnasium and may occasionally be required to work in all types of weather conditions, and all types of noise levels. This position is generally scheduled for an annual average of 32 hours per week. Scheduled hours will vary to cover facility events. Evening and weekend work is typical. Pay Grade: 2 Minimum Starting Pay Rate: $16.611/Hour CITY OF HUTCHINSON ADDENDUM TO JOB DESCRIPTIONS 1995 TO COMPLY WITH THE AMERICANS WITH DISABILITIES ACT (ADA) FOR POSITIONS: Building Custodian, Liquor Store Clerk, Laboratory Technician, Building / Recreation Facility Maintenance Specialist, Recreation Facility Maintenance Technician aMM0- -1rGYAN :IL /_V1& The physical demands described here are representative of those that must be met by an employee to successfully perform the essential functions of this job. Reasonable accommodations may be made to enable individuals with disabilities to perform the essential functions. While performing the duties of this job, the employee is regularly required to reach with hands and arms. The employee frequently is required to stand, walk and use hands to finger, handle, feel or operate objects, tools or controls. The employee is occasionally required to sit, climb or balance, stoop, kneel, crouch or crawl, and talk or hear, and smell. The employee must frequently lift and /or move 25 to 50 pounds and occasionally lift and /or move up to 100 pounds. Specific vision abilities required by this job include close vision, distance vision, color vision, peripheral vision, depth perception, and the ability to adjust focus. WORK ENVIRONMENT The work environment characteristics described here are representative of those an employee encounters while performing the essential functions of this job. Reasonable accommodations may be made to enable individuals with disabilities to perform the essential functions. While performing the duties of this job, the employee occasionally works near moving mechanical parts. The employee occasionally works in high, precarious places and is occasionally exposed to wet /or humid conditions, fumes or airborne particles, toxic or caustic chemicals, and vibration. The noise level in the work environment is usually moderate. The duties listed in job descriptions are intended only as illustrations of the various types of work that may be performed. The omission of specific statements of duties does not exclude them from the position if the work is similar, related or a logical assignment to the position. The job description does not constitute an employment agreement between the employer and employee and is subject to change by the employer as the needs of the employer and requirements of the job change. City of Hutchinson Amended Position Classification Table janua Februant 2014 Grade Position Title PT Office Specialist (Event Center) PT Compost Scale Operator PT Custodian (Fire Station /Library/Event Center) PT Permit Technician PT Human Resources Administrative Technician PT Liquor Sales Clerk PT Licensing Clerk PT Meter Technician PT Senior Office Specialist (PRCE & W /WW) PT Recreation Facility Maintenance Technician Administrative Secretary (Engineering) Administrative Secretary (Public Works) .PeRai120 GelpterK13intercriseSppeGialis Compost Equipment Operator General Maintenance Worker (City Center /Event Center) General Maintenance Worker (HATS) Heavy Equipment Operator Hospital Security Guard (FT /PT) Police Records Specialist Police Supplemental Services Specialist Parks Maintenance Equipment Operator Water Maintenance Technician Senior Liquor Sales Clerk Wastewater Services Operator Senior Accounting Specialist Utility Billing Specialist (FT /PT ) Accountant Compost Operations Specialist Emergency Dispatcher (FT /PT) Engineering Specialist Equipment Mechanic Lab Technician /WW Operator Lead Compost Equipment Operator Payroll /Benefits Specialist Planning and Building Specialist Police Investigations Specialist Plant Equipment Mechanic II Senior Public Works Maintenance Specialist Water Plant Operator Grade Position Title 5 Event Center Coordinator Executive Assistant/Paralegal GIS Specialist (position to remain vacant for 2014) Information Technology Specialist Parks Maintenance Specialist Police Officer (FT /PT) Maintenance Lead Operator /Supervisor Sales & Marketing Specialist Senior Engineering Specialist Senior Wastewater Operator Server /Network Technician Natural Resources Specialist Environmental Specialist Recreation Services Coordinator Building Official Motor Vehicle Deputy Registrar Parks Supervisor Police Sergeant Recreation Facilities Operations Manager 10 Police Lieutenant Fire Chief 11 Compost Manager Controller Public Works Manager Water /Wastewater Superintendent 12 Economic Development Director Human Resources Director IT Director Liquor Sales Manager Planning Director 14 Police Chief /Emergency Management Director PRCE Director 16 City Attorney Public Works Director /City Engineer 19 City Administrator HUTCHINSON CITY COUNCIL ci =W-f 0"'N Request for Board Action 79 Agenda Item: Stevens Engineers, Inc. Professional Engineering Services Agreement Department: Parks LICENSE SECTION Meeting Date: 2/11/2014 Application Complete N/A Contact: John Paulson /Mary Hauga Agenda Item Type: Presenter: John Paulson Reviewed by Staff ❑ New Business Time Requested (Minutes): 5 License Contingency N/A Attachments: Yes BACKGROUND /EXPLANATION OFAGENDA ITEM: The facilities committee had identified a variety of capital projects at the Civic (Burich) Arena as some of the priority projects when the facilities committee began doing assessments and project prioritization over two years ago. The variety of projects, and the specialized nature of many of them, required that the City have a technical assessment completed by an outside entity with the appropriate qualifications. Facility Committee and Parks Department staff met with three qualified consultants in late 2012 regarding the Civic Arena assessment. Stevens Engineers, Inc. was selected at that time to complete the site assessment and provide project estimates and different options for replacing outdated facility components and failing equipment. Stevens Engineers, Inc. was selected to complete the assessment because of both lower cost and long track record of highly visible successful projects. The City received the report in December 2013 and has incorporated the recommendations and project phasing into the Facilities Plan over the next 4 years. In 2013 there were major Ice System mechanical failures and system problems that were not only expensive but also were significant risks to losing sheets of ice. The significance of these failures, and ongoing system alarms, are the precipice for implementing the system replacements sooner than later. City staff and Stevens Engineers, Inc. have prepared an Agreement for Professional Engineering Services to create plans and specifications for the first phase of Civic Arena improvements as outlined in the assessment. The project includes replacement of the R -22 refrigeration system (R -22 will no longer be produced by 2020) with an ammonia system. Refrigeration room improvements, ventilation, plumbing, electrical, mold remediation, and waste heat recovery enhancements are also included in the first project phase design. The facilities committee and Parks Department staff recommend the City Council approve the not -to- excced amount of $115,960 from Stevens Engineers, Inc., of Hudson, WI, to prepare project plans, specifications, and bid documents. City staff is available to answer any questions that you may have. BOARD ACTION REQUESTED: Approval of Agreement for Professional Engineering Services with Stevens Engineers, Inc. Fiscal Impact: $ 115,960.00 Funding Source: Facilities /Capital Projects FTE Impact: Budget Change: No Included in current budget: Yes PROJECT SECTION: Total Project Cost: $ 115,960.00 Total City Cost: $ 115,960.00 Funding Source: Facilities Funding /Capital Projects Remaining Cost: $ 0.00 Funding Source: AGREEMENT FOR PROFESSIONAL ENGINEERING SERVICES THIS IS AN AGREEMENT made between the CITY OF HUTCHINSON, a municipal corporation in the County of McLeod, State of Minnesota, hereinafter called the "OWNER ", and Stevens Engineers, Inc., hereinafter called the "ENGINEER ". OWNER intends to secure professional ENGINEERING services, subject to and according to the terms of this Agreement. OWNER intends to secure professional consulting engineering and architectural services in connection with the Burich Arena Renovation Project ( "Project "), as set forth in Exhibit A, subject to and according to the terms of this agreement. SECTION 1. BASIC SERVICES OF ENGINEER 1.1. GENERAL 1.1.1. ENGINEER shall provide for OWNER professional engineering services in all phases of the Project to which this Agreement applies as hereinafter provided. These services will include serving as OWNER'S professional engineering representative for the Project, providing engineering consultation and advice and furnishing customary general municipal engineering and architectural services thereto. ENGINEER is an independent provider of professional engineering, responsible for means and methods used in performing ENGINEER'S services pursuant to this Agreement. 1.2. DESIGN DEVELOPMENT PHASE After written authorization to proceed, ENGINEER shall: 1.2.1. Consult with OWNER to clarify and define OWNER'S requirements for the Project, review available data as included in the ENGINEER'S feasibility study. 1.3. PRELIMINARY DESIGN PHASE ENGINEER shall: 1.3.1. Prepare Preliminary Design documents consisting of final design criteria, preliminary drawings, and outline specifications. 1 1.3.2. Advise OWNER if additional data or services of the types described in paragraph 3.4 are necessary and assist OWNER in obtaining such data and services. 1.3.3. Based on the information contained in the Preliminary Design documents, submit a revised opinion of probable Total Project Costs. 1.3.4. Furnish three (3) copies of the above Preliminary Report documents and present and review them in person with OWNER. 1.3.5 The City may choose not to proceed with the Final Design Phase after reviewing the completed Preliminary Design Phase documents. At the end of the Preliminary Design Phase, the City will pay the Engineer as stipulated in Section 5.2.1. If the project is re- started for any reason, the contract will be re- initiated to complete the proj ect. 1.4. FINAL DESIGN PHASE After authorization to proceed with the Final Design Phase, ENGINEER shall: 1.4.1. On the basis of the accepted Preliminary Report documents and the revised opinion of probable Total Project Costs prepare for incorporation in the Bidding Documents final drawings to show the general scope, extent and character of the work to be furnished and performed by Contractor(s) (hereinafter called "Plans ") and Specifications. 1.4.2. Provide technical criteria, written descriptions and design data for use in filing applications for permits with or obtaining approvals of such governmental authorities as have jurisdiction to approve the design of the Project, and assist OWNER in consultations with appropriate authorities. The ENGINEER shall submit all applications to the appropriate agencies and submit copies to the OWNER. 1.4.3. Advise OWNER of any adjustments to the latest opinion of probable Total Project Costs caused by changes in general scope, extent or character or design requirements of the Project or Construction Costs. Furnish to OWNER a revised opinion of probable Total Project Costs based on the Plans and Specifications. 1.4.4. Prepare for review and approval by OWNER, its legal counsel and other advisors contract agreement forms, general conditions and supplementary conditions, and (where appropriate) bid forms, invitations to bid and instructions to bidders, and assist in the preparation of other related documents. 1.4.5. Attend necessary meetings and be available for general consultation. 2 1.4.6. Furnish three (3) copies of the above documents and of the Plans and Specifications and present and review them in person with OWNER. 1.4.7. The ENGINEER shall furnish one copy of all design calculations as requested by OWNER. 1.5. BIDDING OR NEGOTIATING PHASE 1.5.1. The ENGINEER shall prepare and forward the Advertisement for Bids to the designated publications, official newspaper and the OWNER. The ENGINEER shall supply and distribute final Plans and Specifications for use in obtaining bids and submitting for general review. The ENGINEER shall maintain a record of prospective bidders to whom Bidding Documents have been issued, attend pre -bid meetings and receive and process deposits for Bidding Documents. 1.5.2. Issue addenda as appropriate to interpret, clarify or expand the Bidding Documents. 1.5.3. Consult with and advise OWNER as to the acceptability of subcontractors, suppliers, and other persons and organizations proposed by the prime contractor(s) (herein called "Contractor(s) ") for the portions of the work where acceptability is required by the Bidding Documents. 1.5.4. Consult with and advise OWNER concerning and determining the acceptability of substitute materials and equipment proposed by Contractor(s) when substitution prior to the award of contracts is allowed by the Bidding Documents. 1.5.5. Attend the bid opening, prepare bid tabulation sheets and assist OWNER in evaluating bids or proposals and in assembling and awarding contracts for construction, materials, equipment and services. SECTION 2. ADDITIONAL SERVICES OF ENGINEER 2.1. SERVICES REQUIRING AUTHORIZATION IN ADVANCE If authorized in writing by OWNER, ENGINEER shall furnish or obtain from others Additional Services of the types listed in paragraphs 2. 1.1 through 2.1.10, inclusive. These services are not included as part of Basic Services except to the extent provided otherwise by attached Supplemental Agreement or Work Order and will be paid for by OWNER as indicated in Section 5. 2.1.1. Preparation of applications and supporting documents (in addition to those furnished under Basic Services) for private or governmental grants, loans or advances in 3 connection with the Project; preparation or review of environmental assessments and impact statements; review and evaluation of the effect on the design requirements of the Project of any such statements and documents prepared by others; and assistance in obtaining approvals of authorities having jurisdiction over the anticipated environmental impact of the Project. 2.1.2. Field Services to make measured drawings of or to investigate existing conditions or facilities, or to verify the accuracy of drawings or other information furnished to OWNER by others. 2.1.3. Services resulting from significant changes in the general scope, extent or character of the Project or its design including, but not limited to, changes in size, complexity, OWNER'S schedule, character of construction or method of financing; and revising previously accepted studies, reports, design documents or Contract Documents when such revisions are required by changes in laws, rules, regulations, ordinances, codes or orders enacted subsequent to the preparation of such studies, reports or documents, or are due to any other causes beyond ENGINEER'S control. 2.1.4. Providing renderings or models for OWNER'S use. 2.1.5. Investigations and studies involving, but not limited to, detailed consideration of operations, maintenance and overhead expenses; providing value engineering during the course of design; the preparation of feasibility studies, cash flow and economic evaluations, rate schedules and appraisals; assistance in obtaining financing for the Project; evaluating processes available for licensing; assisting OWNER in obtaining process licensing; detailed quantity surveys of material, equipment and labor; and audits or inventories required in connection with construction performed by OWNER. 2.1.6. Furnishing services of independent professional associates and consultants for other than Basic Services (which include, but are not limited to, customary civil, structural, mechanical and electrical engineering and customary architectural design incidental thereto); and providing data or services of the types described in paragraph 3.4 when OWNER employs ENGINEER to provide such data or services in lieu of furnishing the same in accordance with paragraph 3.4. 2.1.7. Services during out -of -town travel required of ENGINEER other than visits to the site or OWNER'S office as required by Section 1. 2.1.8. Assistance in connection with bid protests, rebidding or renegotiating contracts for construction, materials, equipment or services, except when such assistance is required to complete services called for in paragraph 6.2.2.5. 4 2.1.9. Preparing to serve or serving as a consultant or witness for OWNER in any litigation, arbitration or other legal or administrative proceeding involving the Project unless the ENGINEER is a defendant (except for assistance in consultations which is included as part of Basic Services under paragraphs 1.2.3 and 1.4.2). 2.1.10.Additional services in connection with the Project, including services which are to be furnished by OWNER in accordance with Article 3, and services not otherwise provided for in this Agreement. SECTION 3. OWNER'S RESPONSIBILITIES OWNER shall do the following in a timely manner so as not to delay the services of ENGINEER: 3.1. Designate in writing a person to act as OWNER'S representative with respect to the services to be rendered under this Agreement, such person shall have complete authority to transmit instructions, receive information, interpret and define OWNER'S policies and decisions with respect to ENGINEER'S services for the Project. 3.2. Provide criteria and information as to OWNER'S requirements for the Project, including design objectives and constraints, space, capacity and performance requirements, flexibility and expandability, and any budgetary limitations; and furnish copies of design and construction standards OWNER will require to be included in the Plans and Specifications. 3.3. Assist ENGINEER by placing at ENGINEER'S disposal all available information pertinent to the Project including previous reports and any other data relative to design or construction of the Project. 3.4. Furnish to ENGINEER as required for performance of ENGINEER'S Basic Services except to the extent provided otherwise by attached amendment, the following: 3.4.1. Data prepared by or services of others, including without limitation, borings, probings and subsurface explorations, hydrographic surveys, laboratory tests and inspections of samples, materials and equipment; 3.4.2. Appropriate professional interpretations of all the foregoing; 3.4.3. Environmental assessment and impact statements; 3.4.4. Property, boundary, easement, right -of -way, topographic and utility surveys; 3.4.5. Property descriptions; 5 3.4.6. Zoning, deed and other land use restrictions; and 3.4.7. Other special data or consultations not covered in Section 2; all of which ENGINEER may use and rely upon in performing services under this Agreement. 3.5. Provide engineering surveys or authorize ENGINEER to establish reference points for construction to enable Contractor(s) to proceed with the layout of the work. 3.6. Arrange for access to and make all provisions for ENGINEER to enter upon public and private property as required for ENGINEER to perform services under this Agreement. 3.7. Examine all studies, reports, sketches, Drawings, Specifications, proposals and other documents presented by ENGINEER. Obtain advice of an attorney, insurance counselor and other consultants as OWNER deems appropriate for such examination and render in writing decisions pertaining thereto within a reasonable time so as not to delay the services of ENGINEER. 3.8. Furnish approvals and permits from all governmental authorities having jurisdiction over the Project and such approvals and consents from others as may be necessary for completion of the Project. 3.9. Provide such accounting, independent cost estimating and insurance counseling services as may be required for the Project, such legal services as OWNER may require or ENGINEER may reasonably request with regard to legal issues pertaining to the Project including any that may be raised by Contractor(s), such auditing service as OWNER may require to ascertain how or for what purpose any Contractor has used the monies paid under the construction contract, and such inspection services as OWNER may require to ascertain that Contractor(s) are complying with any law, rule, regulations, ordinance, code or order applicable to their furnishing and performing the work. 3.10. If OWNER designates a person or persons to represent OWNER at the site who is not ENGINEER or ENGINEER'S agent or employee, the duties, responsibilities and limitations of authority of such other person and the affect thereof on the duties and responsibilities of ENGINEER and the Resident Project Representative (and any assistants) will be set forth in an exhibit that is to be identified, attached to and made a part of this Agreement before such services begin. 3.11. If more than one prime contract is to be awarded for construction, materials, equipment and services for the entire Project, designate a person or organization to have 0 authority and responsibility for coordinating the activities among the various prime contractors. 3.12. Furnish to ENGINEER data or estimated figures as to OWNER'S anticipated costs for services to be provided by others for OWNER (such as services pursuant to paragraphs 3.7 through 3.11, inclusive, and other costs) so that ENGINEER may make the necessary findings to support opinions of probable Total Project Costs. 3.13. Attend the pre -bid meeting, bid opening, pre - construction meetings, construction progress and other job related meetings and substantial completion inspections and final payment inspections. 3.14. Give prompt written notice to ENGINEER whenever OWNER observes or otherwise becomes aware of any development that affects the scope of timing of ENGINEER'S services, or any defect or nonconformance in the work of any Contractor. 3.15. Furnish, or direct ENGINEER to provide, Additional Services as stipulated in paragraph 2.1 of this Agreement or other services as required. 3.16. Bear all costs incident to compliance with the requirements of this Section 3. SECTION 4. PERIODS OF SERVICE 4.1. The provisions of Section 4 and the various rates of compensation for ENGINEER'S services provided for elsewhere in this Agreement have been agreed to in anticipation of the orderly and continuous progress of the Project through completion of the Construction Phase. ENGINEER'S obligation to render services hereunder will extend for a period which may reasonably be required for the design, award of contracts, construction and initial operation of the Project including extra work and required extensions thereto. 4.2. The services called for in the Design Development Phase will be completed and the Report submitted within the agreed period after written authorization to proceed with that phase of services which will be given by OWNER. 4.3. ENGINEER'S services under the Design Development Phase, shall be considered complete at the earlier of (1) the date when the submissions for that phase have been accepted by OWNER, or (2) thirty (30) days after the date when such submissions are delivered to OWNER for final acceptance, plus in each case such additional time as may be considered reasonable for obtaining approval of governmental authorities having jurisdiction to approve the design of the Project. 4.4. If OWNER has request for significant modifications or changes in the general scope, extent or character of the Project, the time of performance of ENGINEER'S services shall be adjusted equitably. SECTION 5. PAYMENTS TO ENGINEER 5.1. METHODS OF PAYMENT FOR SERVICES AND EXPENSES OF ENGINEER 5.1.1. For Basic Services. OWNER shall pay ENGINEER for Basic Services rendered under Section 1 by one of the following methods, or as specified by Supplemental Agreement or Work Order for each project: 5.1.1.1. The fee for all Basic Services (except services of ENGINEER'S Resident Project Representative and assistants furnished under paragraph 1.6.2.1) shall mean a fee based upon Schedule "A ". 5.1.2. For Additional Services. OWNER shall pay ENGINEER for Additional Services rendered under Section 2 as follows: 5.1.2.1. General. For Additional Services of ENGINEER'S principals and employees engaged directly on the Project and rendered pursuant to paragraph 2.1 or 2.2 on the basis of ENGINEER'S Hourly Costs in accordance with Schedule A. 5.1.2.2. Professional Associates and Consultants. For services and Reimbursable Expenses of independent professional associates and consultants employed by ENGINEER to render Additional Services pursuant to paragraph 2.1 or 2.2, the amount billed to ENGINEER therefor times a factor of 1.0, unless otherwise specified in the Supplemental Agreement. 5.1.3. For Reimbursable Expenses. In addition to payments provided for in paragraphs 5.1.1 and 5.1.2, OWNER shall pay ENGINEER the actual costs of all Reimbursable Expenses incurred in connection with all Basic and Additional Services. 5.1.4. As used in this paragraph 5.1, the terms "Hourly Costs" and "Reimbursable Expenses" have the meanings assigned to them in paragraph 5.4, and the term "Construction Cost" has the meaning assigned to it in paragraph 6.1. No deduction is to be made from Construction Costs on account of any penalty, liquidated damages, or other amounts withheld from payments to Contractor(s). 0 5.2. TIMES OF PAYMENTS 5.2.1. ENGINEER shall submit monthly statements for Basic and Additional Services rendered and for Reimbursable Expenses incurred. The statements will be based upon ENGINEER'S total services actually completed at the time of billing. OWNER shall make prompt monthly payments in response to ENGINEER'S monthly statements. 5.3. OTHER PROVISIONS CONCERNING PAYMENTS 5.3.1. If OWNER fails to make any payment due ENGINEER for services and expenses within thirty -five (35) days after receipt of ENGINEER'S statement therefore, the amounts due ENGINEER will be increased at the rate of one -half percent (1/2 %) per month from said thirtieth day, and in addition, ENGINEER may, after giving seven (7) days' written notice to OWNER, suspend services under this Agreement until ENGINEER has been paid in full all amounts due for services, expenses and charges. 5.3.2. In the event of termination by OWNER under paragraph 7.1 upon the completion of any phase of the Basic Services, progress payments due ENGINEER for services rendered through such phase shall constitute total payment for such services. In the event of such termination by OWNER during any phase of the Basic Services, ENGINEER will be paid for services actually and necessarily rendered during that phase by ENGINEER'S principals and employees engaged directly on the Project, on the basis of ENGINEER'S Hourly Costs on Schedule A to date of termination. In the event of any such termination, ENGINEER also will be reimbursed for the reasonable charges of independent professional associates and consultants employed by ENGINEER to render Basic Services, and paid for all unpaid Additional Services and unpaid reimbursables. 5.3.3. Records of ENGINEER'S Hourly Costs pertinent to ENGINEER'S compensation under this Agreement will be kept in accordance with generally accepted accounting principles. Copies will be made available to OWNER at cost on request prior to final payment for ENGINEER'S services and shall be submitted with each monthly statement as referred to in the section. 5.3.4. Whenever a factor is applied to Hourly Costs in determining compensation payable to ENGINEER that factor will be adjusted periodically and equitably to reflect changes in the various elements that comprise such factor. All such adjustments will be in accordance with generally accepted accounting practices as applied on a consistent basis by ENGINEER and consistent with ENGINEER'S overall compensation practices and procedures. D 5.4. DEFINITIONS 5.4.1. The Hourly Costs used as a basis for payment mean salaries and wages paid to all ENGINEER'S personnel engaged directly on the Project, including, but not limited to, engineers, architects, surveyors, designers, draftsmen, specification writers, estimators, other technical and business personnel; plus the cost of customary and statutory benefits including, but not limited to, social security contributions, unemployment, excise and payroll taxes, workers' compensation, health and retirement benefits, sick leave, vacation and holiday and other group benefits. For the purposes of this Agreement, the principals of ENGINEER and their Hourly Costs are as shown on Schedule A. 5.4.2. Reimbursable Expenses means the actual reasonable expenses incurred by ENGINEER or ENGINEER'S independent professional associates or consultants, directly or indirectly in connection with the Project, such as expenses for: transportation and subsistence incidental thereto; obtaining bids or proposals from Contractor(s); providing and maintaining field office facilities including furnishings and utilities; subsistence and transportation of Resident Project Representatives and their assistants; toll telephone calls and telegrams; reproduction of reports, Drawings, Specifications, Bidding Documents, and similar Project- related items in addition to those required under Section 1; and, if authorized in advance by OWNER, overtime work requiring higher than regular rates. SECTION 6. CONSTRUCTION COST AND OPINIONS OF COST 6.1. CONSTRUCTION COST The construction cost of the entire Project (herein referred to as "Construction Cost ") means the total cost to OWNER of those portions of the entire Project designed and specified by ENGINEER, but it will not include indirect costs such as ENGINEER'S compensation and expenses, the cost of land, rights -of -way, or compensation for or damages to, properties unless this Agreement so specifies, nor will it include OWNER'S legal, accounting, insurance counseling or auditing services, or interest and financing charges incurred in connection with the Project or the cost of other services to be provided by others to OWNER pursuant to paragraphs 3.7 through 3.11, inclusive. (Construction Cost is one of the items comprising Total Project Cost which is defined in paragraph 1.2.6). 6.2. OPINIONS OF COST 6.2.1. Since ENGINEER has no control over the cost of labor, materials, equipment or services furnished by others, or over the Contractor(s) methods of determining prices, or over competitive bidding or market conditions, ENGINEER'S opinions of probable Total Project Costs and Construction Cost provided for herein are to be made on the basis of ENGINEER'S experience and qualifications and represent ENGINEER'S best judgment as an experienced and qualified professional engineer, familiar with the construction industry; 10 but ENGINEER cannot and does not guarantee that proposals, bids or actual Total Project or Construction Costs will not vary from opinions of probable cost prepared by ENGINEER. If prior to the Bidding or Negotiating Phase OWNER wishes greater assurance as to Total Project or Construction Costs, OWNER shall employ an independent cost estimator as provided in paragraph 3.9. 6.2.2. If a Construction Cost limit is established by a written agreement between OWNER and ENGINEER and specifically set forth in this Agreement as a condition thereto, the following will apply: 6.2.2.1. The acceptance by OWNER at any time during the Basic Services /Additional Services of a revised opinion of probable Total Project or Construction Costs in excess of the then established cost limit will constitute a corresponding revision in the Construction Cost limit to the extent indicated in such revised opinion. 6.2.2.2. Any Construction Cost so established will include a contingency of ten percent (10 %) unless another amount is agreed upon in writing. 6.2.2.3. ENGINEER will be permitted to determine what types of materials, equipment and component systems are to be included in the Plans and Specifications and to make reasonable adjustments in the general scope, extent and character of the Project to bring it within the cost limit. 6.2.2.4. If the Bidding or Negotiating Phase has not commenced within six (6) months after completion of the Final Design Phase, the established Construction Cost limit will not be binding on ENGINEER, and OWNER shall consent to an adjustment in such cost limit commensurate with an applicable change in the general level of prices in the construction industry between the date of completion of the Final Design Phase and the date on which proposals or bids are sought. 6.2.2.5. If the lowest bona fide proposal or bid exceeds the established Construction Cost limit, OWNER shall (1) give written approval to increase cost limit, (2) authorize negotiating or rebidding the Project within a reasonable time, or (3) cooperate in revising the Project's general scope, extent or character to the extent consistent with the Project's requirements and with sound engineering practices. In the case of (3), ENGINEER shall modify the Contract Documents as necessary to bring the Construction Cost within the cost limits. In lieu of other compensation for services in making such modifications, OWNER shall pay ENGINEER, ENGINEER'S cost of such services, 11 all overhead expenses reasonably related thereto and Reimbursable Expenses, in accordance with Exhibit A, to ENGINEER on account of such services. The providing of such service will be the limit of ENGINEER'S responsibility in this regard and, having done so, ENGINEER shall be entitled to payment for services in accordance with this Agreement and will not otherwise be liable for damages attributable to the lowest bona fide proposal or bid exceeding the established Construction Cost. SECTION 7. GENERAL CONSIDERATION 7.1. TERMINATION The obligation to provide further services under this Agreement may be terminated by either party upon written notice in the event of a material breach of this agreement. However, the breaching party shall have a period of 10 days to cure the breach to the satisfaction of the non - breaching party. 7.2. REUSE OF DOCUMENTS All documents including Plans and Specifications prepared or furnished by ENGINEER (and ENGINEER'S independent professional associates and consultants) pursuant to this Agreement are instruments of service in respect of the Project and the OWNER will be provided with original record drawing copies for information and reference in connection with the use and occupancy of the Project by OWNER and others; however, such documents are not intended or represented to be suitable for reuse by OWNER or others on extensions of the Project or on any other project. Any reuse by either party without written permission of the other party is prohibited. Reuse of the engineer's documents is at the OWNER'S sole risk and without liability or legal exposure to ENGINEER, or to ENGINEER'S independent professional associates or consultants, and OWNER shall indemnify and hold harmless ENGINEER and ENGINEER'S independent professional associates and consultants from all claims, damages, losses and expenses including attorney's fees arising out of or resulting therefrom. Any such verification or adaptation will entitle ENGINEER to further compensation at rates to be agreed upon by OWNER and ENGINEER. 7.3. INSURANCE 7.3.1. ENGINEER shall secure and maintain such insurance as will protect ENGINEER from claims under the Worker's Compensation Acts and from claims for bodily injury, death, or property damage which may arise from the performance of services under this Agreement. 12 7.3.2. Professional Liability Insurance. The ENGINEER shall secure and maintain a professional liability insurance policy. Said policy shall insure payment of damages for legal liability arising out of the performance of professional services for the OWNER, in the insured's capacity as ENGINEER, if such legal liability is caused by a negligent error, omission, or negligent act of the insured or any person or organization for whom the insured is legally liable. Said policy shall provide minimum limits of $1,500,000 per claim and $1,500,000 aggregate; A certificate of insurance shall be provided that shall state that such insurance cannot be cancelled until thirty (30) days after the OWNER has received written notice (upon request) of the insurer's intention to cancel this insurance. The OWNER shall be named as an additional insured on the policy. 7.3.3. Before commencing work the ENGINEER shall provide the OWNER a certificate of insurance evidencing the required insurance coverage in a form acceptable to OWNER. 7.4. INDEMNIFICATION The ENGINEER agrees, to the fullest extent permitted by law, to indemnify and hold OWNER harmless from any damage, liability, or cost (including reasonable attorney's fees and costs of defense) to the extent caused by ENGINEER's negligent acts, errors, or omissions in the performance of professional services under this Agreement and those of his or her subcontractors or anyone for whom the ENGINEER is liable. 7.5. CONTROLLING LAW This Agreement is to be governed by the laws of the State of Minnesota. 7.6. SUCCESSORS AND ASSIGNS 7.6.1. OWNER and ENGINEER each is hereby bound and the partners, successors, executors, administrators and legal representatives of OWNER and ENGINEER (and to the extent permitted by paragraph 7.6.2, the assigns of OWNER and ENGINEER) are hereby bound to the other party, to this Agreement and to the partners, successors, executors, administrators and legal representatives (and said assigns) of such other party, in respect of all covenants, agreements, and obligations of this Agreement. 7.6.2. Neither OWNER nor ENGINEER shall assign, sublet or transfer any rights under or interest in (including, but without limitation, monies that may become due or monies that are due) this Agreement without the written consent of the other, except to the extent that any assignment, subletting or transfer is mandated by law or the effect of this limitation may be restricted by law. Unless specifically stated to the contrary in any written consent to an assignment, no assignment will release or discharge the assignor from any duty or responsibility under this Agreement. Nothing contained in this paragraph shall 13 prevent ENGINEER from employing such independent professional associates and consultants as ENGINEER may deem appropriate to assist in the performance of services hereunder. 7.6.3. Nothing under this Agreement shall be construed to give any rights or benefits in this Agreement to anyone other than OWNER and ENGINEER, and all duties and responsibilities undertaken pursuant to this Agreement will be for the sole and exclusive benefit of the OWNER and ENGINEER and not for the benefit of any other party. 7.7. COPYRIGHT 7.7.1. Copyright or Patent Infringement. ENGINEER shall defend actions or claims charging infringement of any copyright or patent by reason of the use or adoption of any designs, Drawings or Specifications supplied by it, and it shall hold harmless the OWNER from loss or damage resulting therefrom. 7.8. MEDIATION /ARBITRATION 7.8.1. In an effort to resolve any conflicts that arise during the design phase of the project or following the completion of the design phase, the OWNER and ENGINEER agree that all disputes between them arising out of or relating to this Agreement shall be submitted to nonbinding mediation unless the parties agree otherwise. The OWNER and ENGINEER further agree to consider including a similar mediation provision in all agreements with independent contractors and consultants retained for the project and to require all independent contractors and consultants also to include a similar provision in all agreements with subcontractors, subconsultants, suppliers, or fabricators so retained. SECTION 8. SPECIAL PROVISIONS, EXHIBITS AND SCHEDULES 8.1. The following exhibits are attached to and made a part of this Agreement: 8.1.1. Schedule A "Fee Schedule for Basic Services and Per Diem Hourly Rate Schedule for Additional Services" 8.2. This Agreement together with the Appendix and Schedules identified above constitute the entire agreement between OWNER and ENGINEER and supersede all prior written or oral understandings. This Agreement, Appendix and Schedules may only be amended, supplemented, modified or cancelled by a duly executed written instrument. 14 IN WITNESS WHEREOF, the parties hereto have made and executed this Agreement as of the day and year first above written. OWNER: CITY OF HUTCHINSON BY: Steve Cook Its Mayor AND Jeremy Carter Its Administrator ADDRESS FOR GIVING NOTICES: Hutchinson City Center 111 Hassan Street Hutchinson, Mimnesota 55350 15 ENGINEER: Steven Engineers, Inc. mm AND Scott Ward Its Vice - President Its ADDRESS FOR GIVING NOTICES: Stevens Engineers, Inc. 2211 O'Neil Road. Hudson, WI. 54016 SCHEDULE A FEE SCHEDULE FOR BASIC SERVICES & PER DIEM HOURLY RATE SCHEDULE FOR ADDITIONAL SERVICES A. Compensation for Basic Services - Standard Hourly Rate Method of Payment with a Not -To- Exceed amount + expenses. Owner shall pay Engineer for Basic Services as set forth in this agreement. Standard Hourly Rates Method of Payment with a Not -To- Exceed amount of $115,960 + expenses. 1. An amount equal to the cumulative hours charged to the Project by each class of Engineer's personnel times Standard Hourly Rates for each applicable billing class for all services performed on the Project, plus Reimbursable Expenses, if any. 2. Engineer's Reimbursable Expenses Schedule and Standard Hourly Rates are attached below. B. Hourly Rate Schedule 16 Prelim. Design Final Design Bid Phase (45 %) (50 %) (5%) Totals Firm & Hourly Total Role Staff Rate Hrs Total Hrs Total Hrs Total Hrs Total Fee 292 Principal Architect $135 13 $1,755 15 $2,025 2 $270 30 $4,050 292 Technician $75 45 $3,375 50 $3,750 5 $375 100 $7,500 Principal Mechanical NRA Engineer $175 13 $2,275 15 $2,625 2 $350 30 $5,250 NRA Project Electrical Engineer $130 30 $3,900 32 $4,160 3 $390 65 $8,450 NRA Project Mechanical Engineer $100 17 $1,700 18 $1,800 2 $200 37 $3,700 NRA Mechanical Designer $80 34 $2,720 37 $2,960 4 $320 75 $6,000 NRA Electrical Designer $80 22 $1,760 25 $2,000 3 $240 50 $4,000 Stevens Principal Engineer /Project Mgr /Specialists $185 80 $14,800 88 $16,280 8 $1,480 176 $32,560 Stevens Graduate Engineer $85 87 $7,395 98 $8,330 10 $850 195 $16,575 Stevens Technician $88 123 $10,824 138 $12,144 14 $1,232 275 $24,200 Stevens Administrative $49 34 $1,666 37 $1,813 4 $196 75 $3,675 TOTALS $52,170 $57,887 $5,903 1,108 $115,960 16 C. Reimbursable expenses for services performed on the date of the Agreement are: Reimbursable expenses for services performed on the date of the Agreement are: 8 "x11" B/W Copies $0.13 /pane 81/2x 14" B/W Copies $0.15 /pane 11" x 17" B/W Copies 8 "x11" Color Copies 81/2x 14" Color Copies 11 "x17" Color Copies 22 "x34" B/W prints 24" x 36" B/W prints 28" x 42" or larger B/W prints 22 "x34" Color prints 24" x 36" Color prints 28" x 42" or larger Color prints Binding plan sets (per set larger than 11x17) Specification and Report Assembly (Binder, Cover) Laminated Report Covers with Binder Mileage (auto) Mileage (Field Truck) Materials to assemble reports Other similar direct project related expenditures Meals and Lodging Other similar direct project related expenditures 10% will be added to all reimbursable expenses. 17 $0.20 /pane $0.80 /pane $0.90 /pane $1.50 /pane $2.60 /pane $2.85 /pane $4.20 /pane $5.00 /pane $5.50 /pane $6.00 /pane $5.00 each $8.00 each $17.00 each IRS Allowable Rate IRS Allowable Rate + $0.15 at cost at cost per diem or at cost at cost HUTCHINSON CITY COUNCIL 09-f Request for Board Action 104a� 7AL Agenda Item: Approval of Revised Ends Statements Department: Administration LICENSE SECTION Meeting Date: 2/11/2014 Application Complete N/A Contact: Jeremy Carter Agenda Item Type: Presenter: Jeremy Carter Reviewed by Staff ✓❑ New Business Time Requested (Minutes): 5 License Contingency N/A Attachments: Yes BACKGROUND /EXPLANATION OFAGENDA ITEM: As a follow up from the January 14, 2014, Council workshop, attached are the revised Ends Statements. BOARD ACTION REQUESTED: Approve revised Ends Statements. Fiscal Impact: $ 0.00 Funding Source: FTE Impact: 0.00 Budget Change: No Included in current budget: No PROJECT SECTION: Total Project Cost: Total City Cost: Funding Source: Remaining Cost: $ 0.00 Funding Source: Ends 01 -01 -10 /Revised 2 -11 -14 Global Statement: The City of Hutchinson exists so that residents, businesses, property owners, and visitors are provided with quality services and programs that support a safe, healthy, sustainable and business - friendly community with a small town atmosphere for a cost of government that is similar to, or less than, comparable out -state Minnesota cities. A. Basic Ends (on -eoine /day to day): (Public Safety — police /fire /inspections) 1. Residents and visitors of all ages feel safe and are confident that their property is adequately protected. 1.1 Dependable emergency and follow -up services are delivered in a responsive, effective, cost efficient manner. 1.1.1 Responsive and effective emergency services are provided and maintained. 1.1.2 Appropriate planning assures suitable response to local disasters & other emergency situations. 1.1.3 Response to social crimes (drugs, gang activity, domestic violence, etc.) is effective and proactive. 1.1.4 Prosecution of offenders is reasonably attained. 1.1.5 The public is adequately protected from dangerous animals. 1.1.6 Neighborhoods are provided with support consistent with their unique safety needs. 1.1.7 Vandalism, graffiti, and other property damage are dealt with quickly and effectively. 1.2 Delivery of services is focused on successfully mitigating and preventing un -safe situations and conditions. 1.2.1 Services, codes and regulations provide suitable protection of people and property. 1.2.2 Prevention -based programs and services enhance public safety and minimize severity of actual events. 1.2.3 Housing and work environments are safe and healthy. 1.2.4 Effective protection programs ensure safety for children and other vulnerable populations. (Health and Recreation) 2. City services and programs contribute to a healthy quality of life for residents and visitors. 2.1 Quality public utilities and services are provided and maintained in a safe, cost effective and responsible manner. 2.1.1 Suitable supply of clean, safe, good tasting water is provided. 2.1.2 Appropriate wastewater services protect health and property. 2.1.3 Citizens are protected from waste, hazardous materials, environmental, and other health risks. 2.1.4 Reasonable protection from disease carrying insects, rodents, and other pests is provided. 2.2 People of all ages use and enjoy a variety of cultural, recreational, educational, and social opportunities. 2.2.1 Various seasonal recreational, cultural and social opportunities enrich lifestyles for all ages, both indoors and outdoors. 2.2.2 Emphasis on participation maximizes the health benefits to the community. 2.2.3 Hutchinson is recognized as a senior friendly community. 2.2.4 Hutchinson has the amenities, programs and services that attract families to move to the community. 2.2.5 Hutchinson values its history and the City is a partner in historic preservation efforts. Ends 01 -01 -10 /Revised 2 -11 -14 2.3 Community & City partnerships assist residents' desire for healthy, balanced lives and provide mutual benefits to each party. 2.3.1 Cooperation with local program providers facilitates availability and quality of programs while minimizing direct city involvement when appropriate. 2.3.2 City government supports Hutchinson Health efforts to provide and maintain a healthy community. 2.3.3 City government supports local education providers in their efforts to provide and maintain quality education opportunities. 2.3.4 Partnerships with community organizations, volunteers and local social service providers contribute to a healthy and desirable community. 2.4 Hutchinson embraces diversity in residents, cultures, and employees. (Transportation and Mobility) 3. Citizens, visitors and commerce move easily and safely throughout the city and region. 3.1 Roadways, pedestrian paths and trails provide safe, efficient mobility within the city. 3.1.1 Roadways 3.1.2 Pedestrian paths 3.1.3 Trails 3.2 Roadways, pedestrian paths, and trails are maintained to a high level in a cost effective manner. 3.2.1 Roadways 3.2.2 Pedestrian paths 3.2.3 Trails 3.3 Regional transportation systems provide safe and timely travel for commuters and commercial users. 3.3.1 Regularly updated local and regional transportation plans are in place and effectively help guide future planning and development. 3.3.2 Air traffic moves in and out of Hutchinson safely and efficiently. 3.3.3 Local and regional rail line corridors are preserved for continued and /or possible future use. 3.4 Alternative modes of transportation are encouraged and facilitated. (Economic Development) 4. A diverse local economy provides economic stability, expanding job growth and employment opportunities, an average household income meeting or exceeding the state average, and an increasing local tax base. 4.1 City programs and services support businesses in their efforts to be successful. 4.1.1 Local utilities provide quality, highly reliable and competitively priced products and services. 4.1.2 Planning and zoning guides planned growth and assists business and industrial expansion. 4.1.3 Effective support programs are in place to assist new and existing businesses succeed and grow. 4.1.4 Adequate property and infrastructure is available for industrial and commercial growth. 4.1.5 Quality, affordable housing is available for the local workforce. 4.1.6 On -going partnerships are established with area colleges and universities that assist with local economic development. 4.2 Clean industrial, engineering /science technology and "green" jobs are economic development priorities. Ends 01 -01 -10 /Revised 2 -11 -14 4.3 Downtown Hutchinson is a vibrant and vital part of the community. 4.4 Hutchinson supports existing City enterprises and the development of new enterprises that provide economic benefit to the city, limit taxes, and reduces dependence on state aid. 4.5 Public art is recognized and supported for its community and economic benefits. 4.6 Industrial and commercial building vacancies are minimal and short - lived. (Environment) S. Residents and visitors enjoy a clean, environmentally healthy, beautiful city. 5.1 Sustainable, environmentally friendly practices are embraced and utilized whenever possible. 5.1.1 The watershed and the environment are adequately protected. 5.1.2 Air quality is adequately protected. 5.1.3 Resources are conserved in a manner that provides environmental and economic benefit. 5.1.4 City -wide recycling & composting programs reduce material going to local landfills and provide economic benefits to the community. 5.1.5 Use of alternative fuels and renewable energy is utilized where feasible and a reasonable payback period is provided. 5.1.6 A well- maintained urban forest provides environmental benefits and contributes to community aesthetics. 5.1.7 Green spaces are maintained in an attractive, cost effective manner. 5.2 Appropriate planning and processes are in place to effectively manage city growth. 5.2.1 Community growth is managed in a controlled and efficient manner. 5.2.2 Reasonable maintenance and appearance of public and private property is assured through planning, codes and regulations. 5.3 The Crow River and its corridor are protected, maintained, and enhanced for public and private use. 5.4 Parks and a variety of park amenities are available throughout the community to assure adequate citizen accessibility, utilization, and year -round enjoyment. (Good Government) 6. Citizens believe that the City is progressive and innovative, delivering quality services at a reasonable price and that there is visionary planning for the future taking place. 6.1 Effective long range planning with community participation is actively done and followed. 6.1.1 Community members and stakeholders feel they are engaged and can be part of the process. 6.1.2 Community members and stakeholders see a connection between basic and long term ends. 6.2 Performance reporting is in place that is tied to council goals and ends. This includes appropriate measurements, key indicators, and trends compared to targets and benchmarks that are shared with the community. 6.3 City enterprises are recognized as running efficiently and providing optimal benefit to residents. Ends 01 -01 -10 /Revised 2 -11 -14 6.4 Citizens recognize that effective partnerships and positive relationships with private and other public entities are in place and provide mutual benefit. 6.5 Citizens believe that elected officials, appointed boards and commissions, and city employees set examples of good conduct, ethics and integrity. 6.6 Citizens recognize that the City is working effectively with volunteers for the betterment of the community. 6.7 The City of Hutchinson will be active in advocating for and in the promotion of regional and statewide issues that benefit the city. B. Lone Term Ends (2012 base): On -going 1. Advocate that Cub Foods and Office Max stores are filled /Understand options for Cub Foods & Office Max stores including alternative uses. ( #4 -ED) 2. Hutchinson's city tax rate is comparable to other outstate regional centers. ( #6 -GG) 3. Advocate that school facility needs are satisfactorily addressed. ( #2 -HR 4. Advocate that Luce Line Trail from Hutchinson to Winsted is paved. ( #2 -HR) 5. Implement energy conservation programs that provide reasonable payback. ( #5 -EV) 6. City will have direct involvement in renewable energy sources where economically feasible. ( #5- EV) 7. Advocate for a County EDA ( #4 -ED) 8. Institute automated meter reader system ( #5 -EV) 9. Opportunities to diversify tree species are identified and implemented. ( #5 -EV) 10. Advocate with legislature for lower commercial and business property taxes. ( #4 -ED) 11. Use other efforts to mitigate rates of water and wastewater. ( #4 -ED) 12. Have a local business incubator building and /or program operating. ( #4 -ED) 1 -2 Years 1. A values based ethics policy is adopted for elected officials and city employees. ( #6 -GG) 2. Additional recreation opportunities — downtown dock, bike path, downtown /community bike racks, Fishing Pier, Canoe Racks, summer watercraft rental program ( #2 -HR) 3. Work with the County, Winsted, Silver Lake and the DNR to complete paving of the Luce Line State Trail. ( #4 -ED & #2 -HR) 4. Work with County to develop plans to pave the Dakota Trail in McLeod County ( #4 -ED & #2 -HR) 5. Develop funding plan for miscellaneous infrastructure maintenance such as sidewalks, trails and street lighting. ( #6 -GG) 6. Install historic street signs for original Hutchinson town site streets. ( #2 -HR) 3- 5 Years 1. Orderly annexation agreements are in place with surrounding townships ( #6 -GG) 2. Office Max and Cub Food stores have new tenants. ( #4 -ED) 3. A regional transportation plan is adopted for county and other local governments. ( #5 -TM) 4. The outdoor pool is upgraded to a water park facility ( #2 -HR) Ends 01 -01 -10 /Revised 2 -11 -14 5. Hutchinson attains GFOA Distinguished Budget Presentation Award for results based budget ( #6 -GG) 6. A community horticultural /botanical garden along river is planted. ( #2 -HR) 6 -10 Years 1. Advocate and cooperate with school district to facilitate a new or improved high school facility being built ( #6 -GG) 2. The City reduces its fossil fuel - energy usage by half from its 2006 level by 2017. ( #5 -EV) 3. The City eliminates its dependence on LGA in the general fund. ( #6 -GG) 4. Hutchinson attains the Malcolm Baldridge Quality Award for Local Governments. ( #6 -GG) 5. Advocate for development of Greenleaf State Recreation Area ( #2 -HR) 6. Advocate for development of the Dakota Trail with links to the Luce Line Trail. ( #2 -HR) 7. An additional athletic field complex is built ( #2 -HR) 8. Les Kouba Parkway reconstruction is completed ( #3 -TM) 11 -15 YEARS 1. Hwy 22 connection to Hwy 212 is complete. ( #3 -TM) 2. Hutchinson has a local court (virtual or physical). ( #6 -GG) 3. New Industrial park is filled and expansion continues ( #4 -ED) 4. Hutchinson's industrial base is more diverse and not as dependent on a few major employers. ( #4 -ED) 16 -20 YEARS 1. Hutchinson is a recognized as an economic center. ( #4 -ED) 2. Advocate that a bike trail from Luce Line to Greenleaf Park is paved. ( #2 -HR) 3. Hutchinson is an eco- municipality (fossil fuel free energy, zero waste). ( #5 -EV) 4. Hutchinson and Glencoe area share a regional airport. ( #3 -TM) 5. A combined public safety facility is built ( #1 -PS) 6. The Crow River becomes a regional recreational attraction. ( #2 -HR) 20 plus 1. Light rail comes to Hutchinson. ( #3 -TM) 2. A new public safety training center is located away from residential areas. ( #1 -PS) 3. Northeast ring road is complete ( #3 -TM) Completed End Statement Posted Time Completion Removal Date Frame Date Date Industrial Park expansion and 1 -1 -10 1 -5 years September N/A infrastructure in place 2011 Pass a local sales tax to mitigate 1 -1 -10 1 -5 years 6 -1 -11 N/A rates of water & wastewater. Local civil defense system is added 1 -1 -10 1 -5 years 2010 N/A to and upgraded as necessary. Ends 01 -01 -10 /Revised 2 -11 -14 Hutchinson is a partner in a 1 -1 -10 1 -5 years May 2012 7 -24 -12 regional emergency communication center (virtual consolidation with county instead) A youth board is formed for 1 -1 -10 1 -5 years Dolf working with 7 -24 -12 acquiring ongoing youth input in student council and programming and planning. update in PR Board Minutes Hutch recognized as model of 1 -1 -10 1 -5 years No process in place 7 -24 -12 superior government processes to measure. Use bond rating and rating calls as indicators Environment /sustainability Board 1 -1 -10 1 -5 years With changes to the 7 -24 -12 forestry program use tree board for now. Community Facility Marketing 1 -1 -10 1 -5 years Continue current 7 -24 -12 Committee is formed efforts of cooperative efforts Updated Comprehensive Plan 1 -1 -10 1 -5 years 12 -10 -13 2 -11 -14 Community Visioning Plan 1 -1 -10 1 -5 years 4 -9 -13 2 -11 -14 (Downtown Plan) State Mandated Emergency 1 -1 -10 1 -5 years 7 -1 -12 2 -11 -14 Communication Equipment and 800 MHZ system Implemented Train Depot is cleaned up and 1 -1 -10 1 -5 years 11 -1 -13 2 -11 -14 redeveloped Tree Board is reactivated 7 -24 -12 1 -2 years 1 -29 -13 2 -11 -14 Others: Community Assets: Hutchinson Health is a strong regional health care provider; Ridgewater College grows in programs, students, and amenities, Hutchinson public schools are recognized for their quality of education. #1- Public Safety #2 - Health & Recreation #3 -Transportation & Mobility #4 - Economic Development #5 - Environment #6 — Good Government Residents and visitors of all ages feel safe and are confident that their property is adequately protected. Residents and visitors enjoy a clean, environmentally healthy, beautiful city. The City of Hutchinson exists so that residents, businesses, property owners and visitors are provided with quality services and programs that support a safe, healthy, sustainable and Long Term Ends business - friendly community with a small town atmosphere for a cost of government similar to, or less than, comparable out -state Minnesota cities. City services and programs contribute to a healthy quality of life for residents and visitors. Citizens, visitors and commerce move easily and safely throughout the city and region. Citizens believe that the City is A diverse local economy progressive and innovative, delivering provides expanding job growth and quality services at a reasonable price and employment opportunities, an average that visionary planning for the future taking household income meeting or exceeding the state average, and an place. increasing local tax base. HUTCHINSON CITY COUNCIL ci =W-f 0"'N Request for Board Action 79 Agenda Item: Set Council Workshop to Discuss Code of Ethics Policy Department: Administration LICENSE SECTION Meeting Date: 2/11/2014 Application Complete N/A Contact: Jeremy Carter Agenda Item Type: Presenter: Jeremy Carter Reviewed by Staff ❑ New Business Time Requested (Minutes): 1 License Contingency N/A Attachments: No BACKGROUND /EXPLANATION OFAGENDA ITEM: Over the last couple of months, the Council has discussed having a workshop to review materials related to a Code of Ethics policy. At the last Council meeting, it was mentioned that a workshop should be set for this discussion. It is suggested that the Council set this workshop prior to one of the next upcoming Council meetings. BOARD ACTION REQUESTED: Set Council workshop to discuss Code of Ethics policy. Fiscal Impact: $ 0.00 Funding Source: FTE Impact: Budget Change: No Included in current budget: No PROJECT SECTION: Total Project Cost: Total City Cost: Funding Source: Remaining Cost: $ 0.00 Funding Source: EDA Board Meeting Main Conference Room — City Center 11:30 AM Wednesday, November 27th, 2013 Members present in bold. MEETING MINUTES Members Tim Ulrich Steve Jansick Mary Christensen Mike McGraw Staff Lee Miller, EDA Director Nate Keller, EDA Assistant Andy Reid, City Controller Daron Vanderheiden Jonny Block Liaison Mary Hodson, Chamber President Call to order- The meeting was called to order at 11:34 a.m. II. Approve Agenda — No Action III. Review Meeting Minutes A. October 16th Finance Team Chad Czmowski M /S /P: Jansick, Czmowski to approve the October 16th Finance Team minutes as presented; passed unanimously. B. October 23rd Board of Directors M /S /P: Czmowski, Block to approve the October 23rd Board of Directors minutes as presented; passed unanimously. IV. Review October EDA Financial Statements — Andy Reid • Cash available in operations is $134,269. • $56,736 is reserved (proceeds from Warrior land sale) and $73,003 is unreserved. • The Economic Development Loan fund has $1,126,884 in cash available. • $100,000 is reserved (Luce Line Trail contribution) and $13,911 for Depot/ farmers market costs. $1,012,974 is unreserved. • Loan payments for the month were $9,233. • Downtown revolving loan fund has $183,784 in cash available; $171,218 is unreserved, loans totaling $759,821 and $201,329 in capital assets (Cenex & Wright property). • Loan repayments totaled $9,848 for the month. • MIF Loan fund has $233,238 in cash available and loans receivable of $301,333 (NuCrane). • Loan payments for the month were $11,281. M /S /P: Block, Christensen to approve the financials as presented; passed unanimously. V. Director's Report A. Depot Marketplace Redevelopment: Pavilion was completed last week. Soda - blasting has been completed on the western half of the building. B. MN Angel Network: Staff and representatives from the Finance Team attended a meeting with Minnesota Angel Network representatives talked about the discussions that took place. Staff will continue to look at ways to remain engaged with MNAN. C. Business Incubator: Staff is continuing to evaluate the project and alternatives. D. Land Write Down Program: Staff informed the Board about federal regulations that could hinder the utilization of a Land Write Down Program. E. SBDC: Staff informed the Board that the SBDC will be operating a satellite office in Hutchinson with regular office hours. VI. Grant and Loan Applications <NONE> VII. Chamber Update VIII. Other Business IX. Set Next meeting — December 19th, 2013 11:30 AM X. Adjourn - With no further business to attend to, the meeting was adjourned at 12:32 PM Respectfully Submitted, Nate Keller EDA Intern EDA Board Meeting Main Conference Room — City Center 11:30 AM Thursday, December 19th, 2013 Members present in bold. MEETING MINUTES Members Tim Ulrich Steve Jansick Mary Christensen Mike McGraw Staff Lee Miller, EDA Director Nate Keller, EDA Assistant Andy Reid, City Controller Brandon Sobotta, EDA Assistant Daron Vanderheiden Jonny Block Liaison Mary Hodson, Chamber President Call to order- The meeting was called to order at 11:31 a.m. II. Approve Agenda — No Action III. Review Meeting Minutes A. November 20th Finance Team Chad Czmowski M /S /P: Ulrich, Vanderheiden to approve the November 20th Finance Team minutes as presented; passed unanimously. B. November 27th Board of Directors M /S /P: Block, Christenson to approve the November 27th Board of Directors minutes as presented; passed unanimously. IV. Review November EDA Financial Statements — Andy Reid • Cash available in operations is $124,930. • $56,736 is reserved (proceeds from Warrior land sale) and $64,432 is unreserved. • The Economic Development Loan fund has $1,136,117 in cash available. • $100,000 is reserved (Luce Line Trail contribution). $1,021,117 is unreserved. • Loan payments for the month were $9,233. • Downtown revolving loan fund has $197,523 in cash available; $185,523 is unreserved, loans totaling $747,040 and $201,329 in capital assets (Cenex & Wright property). • Loan repayments totaled $14,305 for the month. • MIF Loan fund has $238,878 in cash available and loans receivable of $296,194 (NuCrane). • Loan payments for the month were $5,640. M /S /P: Block, Vanderheiden to approve the financials as presented; passed unanimously. V. Director's Report A. Depot Marketplace Redevelopment: Soda blasting is complete. Staff to seek quotes on replacing fire damaged wood. Once the charred wood is removed insulation will be put in western half of building. B. MN Angel Network: Staff is continuing to utilize the network for potential opportunities. C. Business Incubator: Staff is continuing to evaluate the project and potential alternatives. D. Land Write Down Program: Staff still researching possibilities for utilizing a Land Write Down Program. Staff needs input from Federal EDA as it relates to the infrastructure grant that was utilized to develop the industrial park. E. Update on business prospects: Staff continuing to champion a business expansion project and relocation project. F. Positively Minnesota Marketing Partnership: Staff informed the Board of the upcoming membership renewal and calendar of events for 2014. M /S /P: Jansick, Christensen to approve $600 to continue membership for 2014; passed unanimously. VI. Grant and Loan Applications Sion and Awning Grant Farm Bureau Financial Services (Ryan Elbert) $1,655.98 114 Main St N M /S /P: Czmowski, Vanderheiden to approve grant as presented; passed unanimously. VII. Chamber Update - Annual banquet is January 24th VIII. Other Business IX. Set Next meeting — January 28th, 2013 11:30 AM X. Adjourn - With no further business to attend to, the meeting was adjourned at 12:42p.m. Respectfully Submitted, Nate Keller EDA Intern MINUTES Regular Meeting — Hutchinson Utilities Commission Thursday, January 2, 2014 (December Regular Meeting) Call to order — 3:01 p.m. President Bordson called the meeting to order. Members present: President Dwight Bordson, Vice President Anthony Hanson; Secretary Monty Morrow; General Manager Michael Kumm; Attorney Marc Sebora. Members absent: Commissioner Mark Girard 1. Swearing in of New Commissioner — Donna Luhring Attorney Marc Sebora swore in the newly elected commissioner, Donna Luhring. 2. Approve Minutes of November 27, 2013 Regular and December 18, 2013 Special Meetings The minutes of the November 27, 2013 regular and December 18, 2013 regular meetings were reviewed. A correction was made to the November 27, 2013 regular meeting minutes, section Approve Bad Debt Write -Off, adding $4,316.12 as the total charge -offs for 2013. After discussion, a motion was made by Vice President Hanson, seconded by Secretary Morrow to approve the November 27, 2013 regular meeting minutes as amended and the December 18, 2013 special meeting minutes. Motion was unanimously carried. 3. Ratify Payment of Bills for November 2013 The November 2013 payables were discussed. A motion was made by Secretary Morrow, seconded by Vice President Hanson to ratify the payment of bills in the amount of $4,005,204.36 (detailed listing in payables book). Motion was unanimously carried. 4. Approve Financial Statements /Budget Year to Date Jared Martig presented the November 2013 financial statements /budget year -to- date. After discussion, a motion was made by Secretary Morrow, seconded by Vice President Hanson to approve the financial statements /budget year -to -date. Motion was unanimously carried. 5. Presentation on 2013 Conservation Improvement Program Nick Nelson, HUC Energy Conservation Administrator, gave a presentation on the 2013 Conservation Improvement Program. Information was based on the 2011 financial report. Future program plans include partnering with Missouri River Energy Services (MRES) at no charge to HUC as it is a benefit of being a member of MRES. (Presentation attached.) 1 6. Review Policies and Requirements Booklet GM Kumm presented the policies and requirements booklet, sections: • Landlord Acknowledgement • Inserts with Utility Bills • Inaccessible Utility Equipment /Meters • Identity Theft — "Red Flag Program" Discussion held regarding possible changes to the Landlord Acknowledgement if HUC considers implementing certification of outstanding accounts in the future. No changes were recommended. 7. Approve Changes to Exempt and Non - Exempt Handbooks GM Kumm presented changes to the exempt and non - exempt handbooks, sections: • Wage and Salary Information - Pay Period, Paydays • Payroll Deductions • Overtime Changes made to section Payroll Deductions were for clean -up purposes. No changes were recommended for sections, Wage and Salary Information — Pay Period, Paydays; and Overtime. A motion was made by Vice President Hanson, seconded by Commissioner Luhring to approve the changes to the exempt and non - exempt handbooks. Motion was unanimously carried. (Changes attached.) 8. Approve Changes to Parallel Generation Policy GM Kumm presented changes to the Parallel Generation Policy. The Board suggested adding alternative language on page 11, item #10 and page 5, item #10(c). After discussion, this policy was tabled until the January regular commission meeting. 9. Approve Changes to Policy on Payments of Hutchinson Utilities Commission Payables Jared Martig presented changes to the Policy on Payments of Hutchinson Utilities Commission Payables. The date was changed from 2013 to 2014 in the second to last paragraph. This is a part of HUC annual review of policies. A motion was made by Secretary Morrow, seconded by Commissioner Luhring to approve the changes to the Policy on Payments of Hutchinson Utilities Commission payables. Motion was unanimously carried. (Policy attached.) 10. Approve 3M Transportation Agreement John Webster presented the 3M Transportation Agreement explaining it is the same contract as last year. A motion was made by Vice President Hanson, seconded by Secretary Morrow to approve the 3M Transportation Agreement. (Agreement attached.) 2 11. Approve BP Operational Agency Agreement John Webster presented the BP Operational Agency Agreement explaining there was a decrease in the amount charged for swing gas and a reduced rate when purchasing from a third party. Also, a two year deal was negotiated versus a one year deal in the past. HUC should realize a savings of $3,000 - $5,000 annually. A motion was made by Vice President Hanson, seconded by Commissioner Luhring to approve the BP Operational Agency Agreement. (Agreement attached.) 12. Approve Changes to the Commercial /Industrial Deposit Requirement Vice President Hanson presented the changes to the Commercial /Industrial Deposit Requirement. Previous changes were made to the Residential and Commercial Deposit Requirements policy. Due to feedback from customers regarding those deposit requirement changes, the Board recommended Jan Sifferath research other alternatives. The alternative changes allow HUC to take into consideration a repurposed building to determine a deposit amount. Also, additional verbiage was added which allows HUC to accept an irrevocable letter of credit from an FDIC insured financial institution. After discussion, a motion was made by Secretary Morrow, seconded by Vice President Hanson to approve the changes to the Commercial /Industrial Deposit Requirement. (Changes attached.) 13. Discuss Industrial CIP Rebate Nick Nelson presented three rebate options for 3M and HTI: 1. Continue with existing $40,000 of CIP dollars allocated to 3M and HTI based on their prorated share of energy savings. 2. Consider providing HTI with their full dollar amount based on the $300 /KW saved and 3M with a fair amount based on projects done and the projected savings, which would result in additional rebate amounts beyond the 2013 budget. 3. Rebate on a first come, first served basis. No changes. Nick recommended HUC request each industrial customer submit rebate applications as each project is completed. After discussion regarding the three options, the Board tabled this agenda item until January's regular commission meeting. President Bordson abstained from discussion due to conflict of interest. 14. Approve Requisition #5680 for Purchase of Vehicles Steve Lancaster presented requisition #5680 for purchase of vehicles through a state bid which was budgeted for in 2014. After discussion, the Board tabled until the January regular commission meeting. 3 15. Discuss Joint Meeting with City Discussion held regarding the scheduling of the yearly joint meeting with City. President Bordson will contact Mayor Cook to discuss potential dates and agenda items. 16. Communication from the City Administrator City Administrator Carter was absent. Division Reports Electric — Steve Lancaster • Unit 1 General Electric portion complete. Finance — Jared Martig • Sent City of Brownton invoices of approximately $250,000. • Sales tax audit complete. HUC owes $25,600 reduced from the original amount of approximately $45,000. • HUC's sales tax refund will be $125,000. Business — Jan Sifferath • Working with Nick Nelson in setting up the CIP program with MRES. • Working on pay equity report due at the end of the month. Natural Gas — John Webster • Knife River Concrete is requesting natural gas next year. • KDUZ is interested in natural gas service. • Hutchinson Manufacturing will receive additional natural gas service for their preheat process. • Working with City of Brownton regarding natural gas issues with United Farmers Coop. United Farmers Coop has mentioned they may be interested in selling their pipeline. • Last night, HUC heater froze off in Brownton. It switched over to the second run so there was no loss of service to the customers. 17. Legal Update Nothing to report. Unfinished Business • Discuss Separate Business Unit for Wholesale Business Mike Kumm and Jared Martig are working on this. • Discuss Pre -Pay for Natural Gas Nothing to report New Business None 11 There being no further business, a motion was made by Vice President Hanson, seconded by Commissioner Luhring to adjourn the meeting at 4:32 p.m. Motion was unanimously carried. ATTEST: Dwight Bordson, President 5 Monty Morrow, Secretary Hutchinson Public Library Board Minutes Monday, December 23, 2013 4:30 pm Present: Roger Vacek, Mary Christensen, Steve Bailey, Dianne Wanzek, Jon Ross, Julie Lofdahl and Pam Dille, Ex- Officio. Absent: Stacey Nass Roger Vacek called the meeting to order. The minutes from the November meeting were reviewed. Steve Bailey motioned to approve the minutes. Jon Ross seconded the motion. Motion passed. PLS Update - Roger Vacek The full board agenda was planned and discussed appointment of members to various committees. Roger Vacek nominated as Treasurer. Reviewed new employees to the Pioneerland Library System. Old Business: 1. One Book, One Community Events Update -Pam Dille The Orphan Train, a Novel — author Christina Baker Kline Events have been planned for the months prior to the author visit: ➢ 1/26/14 2:00 to 4:00 Video to be shown at the McLeod County Historical Society ➢ 2/23/14 2:00 to 4:00 Renee Wedinger, leader of the orphan train descendants group and author of Newsboy will lead panel at the McLeod County Historical Society ➢ 3/30/14 2:00 to 4:00 Community Book Read - town players to read ➢ 4/27/14 2:00 to 4:00 Author, Christina Baker Kline to speak at the Civic Center More information at heartofhutch.com. Thank you to John Hassinger for work on obtaining a grant to help pay for speaker fees. Adult Winter Book Reading program runs from January 6, 2014 thru March 14, 2014. Dede Hard to prepare the desert buffet for those who read 12 books. Library staff to take care of this event. Past years about 200 have participated. Not all read 12 books. 3. Periodical Update: Budget is $5,000 per year. USA Today is $300 /year. There is an online publication, Newsbank, linked from the Hutchinson Library website that contains many newspapers, including the Hutchinson Leader and other Minnesota local and regional newspapers . Kris Jones and Kurt Dahlquist are working on updating the library website, blog and Facebook page. New Business: Project Book Shelf Update - Pam Dille Same donations as last year, $470 ($300 from Friends of the Library). Volunteers from the library distributed boxes to local schools to collect the books, including St. Anastasia, Park Elementary and Northwoods Elementary. Volunteers from Kiwanis took donated books to the social service offices in Glencoe to be distributed to families in need. The audio book display area has been updated. The new titles (2012 -2013) were moved to a carousel on top of the book case and the rest of the audio books have been moved to the top two shelves of the book cases. Talked about what our library is now and what services will be in 5 - 10 years: a. What do we need to do to be proactive — more computers, printers, wireless. b. All computers in PLS will be updated at about $1,000 per computer. Could we put an article in the newspaper for a fund drive for 2014 -2015. c. Old microfiche does not print — readers loosing Heritage d. E- reader circulation down in PLS. Expensive to purchase. Some have to be repurchased after so many downloads. e. On Strategic Plan staff training will be added after first year. f. Share with community. How can we do this? g. PLS does have state contract to get a volume discount for purchasing technology equipment. Next Meeting date is January 27th at 4:30 pm. Roger Vacek adjourned the meeting at 5:30 pm. Notes submitted by Julie Lofdahl MINUTES Parks, Recreation & Community Education Advisory Board November 4, 2013 Members present were Elizabeth Hanninen, John Rodeberg, Troy Scotting, and Mary Christensen. Also present were Dolf Moon and Karen McKay. Guests present were John Arlt and Bruce Rosenow from the Hutch Huskies Board of Directors. The meeting was called to order at 5:15 pm. A motion was made by John Rodeberg and seconded by Troy Scotting to approve the minutes dated October 7, 2013. The board unanimously agreed. OLD BUSINESS Fall Programs Numbers - The board reviewed an updated handout showing the fall programs registration numbers. Facilities Improvements - • The re- roofing of six park shelters this fall has been completed. • Approval has been obtained from the City for repairs to the Park Garage including repairing the roof and rewrapping the siding for a cost of $60,000. The siding may be done this year but the roof will be done in the spring. The parking lot will be addressed next year. • The Facilities Improvements committee is still working to prioritize city projects for 2014. Included in the list for Parks and Recreation are replacement of backstops at Roberts Park, replacement of backstops and dugouts at VMF Park, repairs to the bandstand in Library Square, and replacement of two restrooms at the boat landing in West River Park. NEW BUSINESS Hutch Huskies Presentation - John Arlt and Bruce Rosenow of the Hutch Huskies presented a slide show about Veterans Memorial Field showing the upgrades that have occurred in the past and improvements that are needed. Hutchinson has been awarded, along with Dassel, the 2016 State Amateur Baseball Tournament. The Huskies will be asking for a waiver of the 15% concession fee that the city currently receives. Middle Level Basketball Structure - The school is paying for three coaches for 71n and Stn grade basketball. This includes two head coaches and the third coach pay will be split among two assistant coaches provided by the Hutchinson Youth Basketball Association. Communitv Education Report - Community Education provides programing for Pre -K to adult. There is less money coming in as compared to 1979. The participation numbers are strong. PRCE Advisory Board November 4, 2013 Page two Scheduling Software - The school district's Activities Department is implementing a new software system to schedule fields and facilities for the various sporting events. Currently, they are receiving training on this system. This program may be considered in the future for city facilities and fields scheduling. BOARD MEMBER ITEMS Mary Christensen stated that the helicopter mounted in Veterans Memorial Park is a great addition to the park. Elizabeth Hanninen reported that a group of individuals had expressed to her a desire to have a broomball league. Dolf Moon stated that in the past this was done outdoors to save on the cost of indoor rental. He also inquired if they would need officials to referee the games. Elizabeth did not have any more information to offer at this time. ADJOURNMENT The meeting was adjourned at 6:17 pm on a motion by John Rodeberg and seconded by Mary Christensen. HUTCHINSON CITY COUNCIL ci =W-f 0"'N Request for Board Action 79 Agenda Item: December 2013 Financial and Investment Reports Department: Finance LICENSE SECTION Meeting Date: 2/11/2014 Application Complete N/A Contact: Andy Reid Agenda Item Type: Presenter: Reviewed by Staff ❑ Governance Time Requested (Minutes): License Contingency N/A Attachments: Yes BACKGROUND /EXPLANATION OFAGENDA ITEM: For Council review, attached are the Preliminary Financial Reports for the general fund and enterprise funds. Also attached is the December Investment Report. The financial statements are fairly complete at this point but there may be additional operating expenses over the next month as final invoices are turned into Finance by the various departments. Additional audit entries will be recorded over the next two months and a thorough review of each fund needs to be performed. The Compost Fund is not included this month due to the complexity of the software conversion related to the manufacturing operations. We believe we have made the final fixes within the system and the next few weeks will be spent getting things in order for reporting purposes. To give you some background on the issue, the software company basically developed an entirely new product to meet our needs for the Creekside operations, integrating with the Creekside scale software as well as the core reporting system. Any questions can be directed to Andy Reid. Thank you. BOARD ACTION REQUESTED: Fiscal Impact: Funding Source: FTE Impact: Budget Change: No Included in current budget: No PROJECT SECTION: Total Project Cost: Total City Cost: Funding Source: Remaining Cost: $ 0.00 Funding Source: REVENUES: Taxes Other Taxes Licenses & Permits Intergovernmental Revenue Charges for Services Fines & Forfeitures Miscellaneous Revenues Transfers -In Capital Contributions TOTAL REVENUES EXPENDITURES: Wages & Benefits Supplies Services & Charges Miscellaneous Expenses Transfers -Out Capital Outlay TOTAL EXPENDITURES TOTAL REVENUE OVER (UNDER) EXPENDITURES Comments Expenditures: Wages & Benefits Summary Income Statement - PRELIMINARY General Fund December 31, 2013 Month of YTD Actual Motor Vehicle 2013 Budget Information Technology YTD Actual Fire 66,638.59 December 2013 December 2013 2013 Budget Balance % Used December 2012 2012 Budget % Used 2,212,884.00 4,493,739.16 4,491,446.00 2,293.16 100.1% 4,518,186.37 4,491,446.00 100.6% (1,741.92) 136,534.32 140,000.00 (3,465.68) 97.5% 163,671.35 130,000.00 125.9% 21,082.62 317,308.78 222,775.00 94,533.78 142.4% 241,113.89 212,800.00 113.3% 26,469.87 1,147,966.25 1,099,265.00 48,701.25 104.4% 1,247,304.12 1,157,897.00 107.7% 692,818.42 2,079,470.15 2,056,731.00 22,739.15 101.1% 1,997,095.88 2,049,241.00 97.5% 3,520.14 56,370.78 45,000.00 11,370.78 125.3% 60,497.80 45,000.00 134.4% 177,008.50 475,660.31 325,625.00 150,035.31 146.1% 450,366.94 282,625.00 159.4% 990,976.31 2,167,013.32 2,108,846.00 58,167.32 102.8% 2,103,655.07 2,034,876.00 103.4% - 6,250.00 (6,250.00) 0.0% 10,000.00 0.0 4,123,017.94 10,874,063.07 10,495,938.00 378,125.07 103.6% 10,781,891.42 10,413,885.00 103.5% 1,071,175.97 7,132,390.28 6,778,616.00 (353,774.28) 105.2% 6,622,995.14 6,633,597.00 99.8% 94,665.91 730,454.04 783,840.00 53,385.96 93.2% 778,690.08 790,835.00 98.5% 178,668.05 2,262,021.75 2,393,441.00 131,419.25 94.5% 2,330,645.45 2,418,991.00 96.3% 32,311.19 484,588.26 446,805.00 (37,783.26) 108.5% 513,174.22 479,962.00 106.9% - 93,236.00 93,236.00 100.0% 276,366.19 90,500.00 305.4% 8,002.10 - (8,002.10) 100.0% - - 0.0 1,376,821.12 10,710,692.43 10,495,938.00 (214,754.43) 102.0% 10,521,871.08 10,413,885.00 101.0% 2,746,196.82 163,370.64 163,370.64 260,020.34 Severance related to the eight general fund employees who accepted the early retirement incentive was accrued in December and paid out in February. The departmental breakdown of the severance is as follows: Finance $ 52,695.69 Motor Vehicle 40,087.39 Information Technology 49,077.79 Fire 66,638.59 Building Inspections 35,674.40 Engineering 55,340.19 Civic Arena 50,715.43 Event Center 42,341.53 Total - General Fund $ 392,571.01 Water Fund $ 48,593.02 General Fund Expenditures by Department Department Month of YTD Actual 2013 Budget YTD Actual December 2013 December 2013 2013 Budget Balance % Used December 2012 2012 Budget % Used Mayor & City Council 4,745.88 45,336.09 52,016.00 6,679.91 872% 44,145.19 53,814.00 82.0% City Administrator 41,044.11 398,526.92 387,401.00 (11,125.92) 102.9% 375,593.11 380,851.00 986% Elections 49.51 5,297.60 10,000.00 4,702.40 53.0% 18,939.28 16,000.00 118.4% Finance Department 92,902.17 413,768.00 371,863.00 (41,905.00) 111.3% 363,546.38 364,529.00 99.7% Motor Vehicle 65,469.96 338,708.90 275,413.00 (63,295.90) 123.0% 285,282.76 271,910.00 104.9% Assessing - 61,005.00 61,911.00 906.00 98.5% 61,079.00 61,911.00 98.7% Legal 13,05127 199,678.83 252,067.00 52,388.17 792% 230,871.73 233,181.00 99.0% Planning 12,18429 139,474.75 123,210.00 (16,264.75) 113.2% 109,548.40 117,320.00 93.4% Information Services 107,115.31 554,074.48 499,332.00 (54,742.48) 111.0% 424,336.65 452,687.00 93.7% City Hall Building 7,760.36 85,826.60 121,096.00 35,269.40 70.9% 115,425.32 121,698.00 94.8% Police Department 371,441.52 2,871,853.75 2,889,291.00 17,43725 99.4% 2,996,985.10 2,989,966.00 100.2% Emergency Management 101.54 17,545.54 13,000.00 (4,545.54) 135.0% 12,706.09 13,025.00 97.6% Safety Committee - 8,568.51 13,450.00 4,881.49 63.7% 7,734.19 13,450.00 57.5% Fire Department 63,241.69 343,981.50 309,187.00 (34,794.50) 111.3% 286,352.48 296,805.00 96.5% Protective Inspections 64,529.17 233,939.52 208,350.00 (25,589.52) 112.3% 213,147.73 206,188.00 103.4% Engineering 101,043.47 563,287.27 465,756.00 (97,531.27) 120.9% 457,807.47 457,614.00 100.0% Streets & Alleys 113,115.08 1,322,522.51 1,369,738.00 47,215.49 96.6% 1,356,435.03 1,308,421.00 103.7% Park/Recreation Administration 19,819.92 217,332.52 213,127.00 (4,205.52) 102.0% 205,796.17 215,295.00 95.6% Recreation 17,319.01 203,347.41 217,610.00 14,262.59 93.4% 211,612.45 217,894.00 97.1% Senior Citizen Center 7,055.82 83,732.68 69,749.00 (13,983.68) 120.0% 63,433.72 67,635.00 93.8% Civic Arena 94,876.71 391,451.61 331,469.00 (59,982.61) 118.1% 321,414.83 326,765.00 984% Park Department 59,332.04 755,662.70 757,260.00 1,597.30 99.8% 741,219.70 721,981.00 102.7% Recreation Building & Pool 13,528.87 176,146.90 185,885.00 9,738.10 94.8% 194,268.63 187,760.00 103.5% Events Center 59,465.72 233,642.71 213,650.00 (19,992.71) 109.4% 184,733.54 231,225.00 79.9% Evergreen Building 1,243.89 14,798.80 11,880.00 (2,918.80) 124.6% 11,277.58 12,305.00 91.7% Library 2,451.89 191,999.34 190,937.00 (1,062.34) 100.6% 183,466.18 183,970.00 99.7% Cemetery 16,908.95 95,203.35 109,104.00 13,900.65 87.3% 89,979.60 108,400.00 83.0% Airport 11,956.93 93,488.49 99,700.00 6,211.51 93.8% 89,365.51 100,235.00 892% Revenue Department - - - - 0.0% 186,716.19 50,000.00 373.4% Unallocated General Expense 15,066.04 650,490.15 672,486.00 21,995.85 96.7% 678,651.07 631,050.00 107.5% TOTAL EXPENDITURES 1,376,821.12 10,710,692.43 10,495,938.00 (214,754.43) 102.0% 10,521,871.08 10,413,885.00 101.0% REVENUES: Sales - Liquor Sales - Wine Sales - Beer Sales - Other Other Revenues TOTAL REVENUES Gross Margin EXPENDITURES: Cost of Sales Wages & Benefits Supplies Services & Charges Miscellaneous Expenses Depreciation Expense Capital Outlay Debt Service Transfers -Out TOTAL EXPENDITURES TOTAL REVENUE OVER (UNDER) EXPENDITURES Comments REVENUES: Sales Liquor Wine Beer Other Total Sales YTD Customer Count Average Sale per Customer Summary Income Statement - PRELIMINARY Liquor Fund December 31, 2013 Month of YTD Actual December 2013 December 2013 223, 933.58 1,806,978.11 140,367.68 932,432.03 234,714.11 2,640,791.91 91.16 4,242.41 1,397.14 6,248.63 600,503.67 5,390,693.09 24.9% 24.8% 449,866.80 4,049,417.41 52,157.50 485,895.82 998.30 16,360.58 19,057.47 186,823.29 - 4,889.21 70,940.00 70,940.00 (14,098.05) - 35,969.42 35,969.42 435,000.00 435,000.00 2013 Budget 1,803,150.00 898,430.00 2,709,500.00 14,470.00 3,000.00 5,428,550.00 24.1 4,115,697.00 488,190.00 16,600.00 196,750.00 3,650.00 70,940.00 31, 000.00 128,295.00 435,000.00 1,049,891.44 5,285,295.73 5,486,122.00 (449,387.77) 105,397.36 (57,572.00) 2013 Budget Year to Date Sales YTD Actual Monthly Sales Balance % Used December 2012 2012 Budget % Used 3,828.11 100.2% 1,779,304.68 1,705,453.00 104.3% 34,002.03 103.8% 886,507.44 852,364.00 104.0% (68,708.09) 97.5% 2,645,850.21 2,601,267.00 101.7% (10,227.59) 29.3% 13,642.29 21,142.00 64.5% 3,248.63 208.3% 7,242.76 3,000.00 241.4 (37,856.91) 99.3% 5,332,547.38 5,183,226.00 102.9% 624,304 -4.0% 24.5% 24.1 -1.1% 66,279.59 98.4% 4,020,072.43 3,932,068.00 102.2% 2,294.18 99.5% 470,910.42 436,850.00 107.8 239.42 98.6% 14,499.56 16,600.00 87.3 9,926.71 95.0% 185,530.30 186,500.00 99.5 (1,239.21) 134.0% 13,143.47 3,650.00 360.1% - 100.0% 71,699.04 77,671.00 92.3 31,000.00 0.0% - - 0.0% 92,325.58 28.0% 39,723.35 128,035.00 31.0 - 100.0% 420,000.00 420,000.00 100.0 200,826.27 96.3% 5,235,578.57 5,201,374.00 100.7 162,969.36 96,968.81 (18,148.00) Year to Date Sales Monthly Sales 2013 2012 Change 2013 2012 Change 1,806,978 1,779,305 1.6% 223,934 224,792 -0.4% 932,432 886,507 5.2% 140,368 144,098 -2.6 2,640,792 2,645,850 -0.2% 234,714 243,841 -3.7% 4,242 13,642 -68.9% 91 11,574 -99.2 5,384,444 5,325,305 1.1% 599,107 624,304 -4.0% 222,591 225,068 -1.1% 21,542 22,109 -2.6% $24.19 $23.66 2.2% $27.81 $28.24 -1.5 REVENUES: Refuse Sales Intergovernmental Investment Earnings Reimbursements Transfers -In Fund Balance TOTAL REVENUES EXPENDITURES: Wages & Benefits Supplies Services & Charges Miscellaneous Expenses Depreciation Expense Capital Outlay Debt Service Transfers -Out TOTAL EXPENDITURES TOTAL REVENUE OVER (UNDER) EXPENDITURES Summary Income Statement - PRELIMINARY Refuse Fund December 31, 2013 Month of YTD Actual YTD Actual December 2013 December 2013 2013 Budget 94, 931.40 1,145,452.79 1,145,150.00 2,740.00 12, 230.51 12, 500.00 4,000.00 4,909.43 2,500.00 101, 671.40 1,162, 592.73 1,160,150.00 14, 209.38 170,417.65 172, 065.00 4,909.90 62,969.60 61,700.00 107,620.33 672,771.01 687,625.00 - 876.59 - 132, 510.00 132, 510.00 132, 510.00 (38,952.34) - 31,930.00 2,187.00 3,995.80 24,261.00 55,000.00 55,000.00 55,000.00 277,484.27 1, 098, 540.65 1,165, 091.00 (175,812.87) 64,052.08 (4,941.00) 2013 Budget YTD Actual Balance % Used December 2012 2012 Budget % Used 302.79 100.0% 1,135,883.76 1,143,100.00 99.4% (269.49) 97.8% 25,121.25 26,000.00 96.6% 2,409.43 196.4% 6,207.29 - 100.0 - 0.0% - 0.0 0.0% 14,040.46 100.0 - 0.0% - 0.0 2,442.73 100.2% 1,181,252.76 1,169,100.00 101.0% 1,647.35 99.0% 178,507.30 148,420.00 120.3 (1,269.60) 102.1% 35,428.15 68,700.00 51.6% 14,853.99 97.8% 665,328.21 678,417.00 98.1% (876.59) 100.0% 1,476.48 - 100.0 - 100.0% 171,189.03 163,073.00 105.0% 31,930.00 0.0% - - 0.0% 20,265.20 16.5% 2,483.00 - 100.0 - 100.0% 55,000.00 55,000.00 100.0 66,550.35 94.3% 1,109,412.17 1,113,610.00 99.6% 68,993.08 71,840.59 55,490.00 Summary Income Statement - PRELIMINARY Water Fund December 31, 2013 Comments Expenditures: Wages & Benefits Severance related to the one water fund employee who accepted the early retirement incentive was accrued in December and paid out in February, $48,593.02. Month of YTD Actual 2013 Budget YTD Actual December 2013 December 2013 2013 Budget Balance % Used December 2012 2012 Budget % Used REVENUES: Local Sales Tax 141,290.04 569,856.42 420,000.00 149,856.42 135.7% 546,385.34 252,000.00 216.8% Water Sales 168,404.97 2,432,938.73 2,347,500.00 85,438.73 103.6% 2,516,353.95 2,347,500.00 107.2% Intergovernmental Revenue - - - - 0.0% 9,270.54 - 100.0% Charges for Services 1,961.89 55,173.42 41,000.00 14,173.42 134.6% 45,704.88 32,000.00 142.8% Investment Earnings 27,984.71 30,912.86 20,000.00 10,912.86 154.6% 37,122.48 20,000.00 185.6% Reimbursements 4,718.00 9,159.75 64,148.00 (54,988.25) 14.3% 29,737.85 64,017.00 46.5% Other Financing Sources 11,325.80 11,325.80 - 11,325.80 100.0% - - 0.0% Fund Balance - - - 0.0% 584,631.24 100.0% TOTAL REVENUES 355,685.41 3,109,366.98 2,892,648.00 216,718.98 107.5% 3,769,206.28 2,715,517.00 138.8% EXPENDITURES: Wages & Benefits 89,820.85 478,368.89 465,623.00 (12,745.89) 102.7% 406,350.68 443,330.00 91.7% Supplies 16,405.15 114,479.12 128,825.00 14,345.88 88.9% 103,753.81 143,975.00 72.1% Services & Charges 39,107.56 422,329.52 440,470.00 18,140.48 95.9% 411,169.41 455,550.00 90.3% Miscellaneous Expenses 61.77 9,346.06 15,850.00 6,503.94 59.0% 11,855.43 15,850.00 74.8% Depreciation Expense 1,057,860.00 1,057,860.00 1,057,860.00 - 100.0% 1,047,600.26 1,020,000.00 102.7% Capital Outlay (292,950.00) - 250,000.00 250,000.00 0.0% - 250,000.00 0.0% Debt Service (570,029.00) 467,042.68 1,218,848.00 751,805.32 38.3% 517,941.22 1,218,884.00 42.5% Transfers -Out 120,359.00 120,359.00 43,145.00 (77,214.00) 279.0% 328,361.00 43,145.00 761.1 TOTAL EXPENDITURES 460,635.33 2,669,785.27 3,620,621.00 950,835.73 73.7% 2,827,031.81 3,590,734.00 78.7% TOTAL REVENUE OVER (UNDER) EXPENDITURES (104,949.92) 439,581.71 (727,973.00) 1,167,554.71 942,174.47 (875,217.00) Comments Expenditures: Wages & Benefits Severance related to the one water fund employee who accepted the early retirement incentive was accrued in December and paid out in February, $48,593.02. Summary Income Statement - PRELIMINARY Sewer Fund December 31, 2013 Month of YTD Actual 2013 Budget YTD Actual December 2013 December 2013 2013 Budget Balance % Used December 2012 2012 Budget % Used REVENUES: Local Sales Tax 195,116.73 786,793.69 580,000.00 206,793.69 135.7% 754,528.28 348,000.00 216.8% Sewer Sales 284,467.06 3,355,239.13 3,190,000.00 165,239.13 105.2% 3,336,057.00 3,190,000.00 104.6% Permits - 6,977.81 7,000.00 (22.19) 99.7% 6,996.34 7,000.00 99.9% Charges for Services 466.76 2,608.06 7,000.00 (4,391.94) 37.3% 13,905.75 7,000.00 198.7% Investment Earnings 32,984.71 37,009.78 20,000.00 17,009.78 185.0% 44,713.90 20,000.00 223.6% Reimbursements 5,882.44 25,412.76 64,148.00 (38,735.24) 39.6% 56,094.69 64,017.00 87.6% Other Financing Sources 11,410.00 11,410.00 - 11,410.00 100.0% 1,000.00 - 100.0% Fund Balance - - - 0.0% 75,793.90 100.0% TOTAL REVENUES 530,327.70 4,225,451.23 3,868,148.00 357,303.23 109.2% 4,289,089.86 3,636,017.00 118.0% EXPENDITURES: Wages & Benefits 54,427.70 577,827.52 653,623.00 75,795.48 88.4% 617,503.84 623,725.00 99.0% Supplies 27,861.22 207,553.74 254,700.00 47,146.26 81.5% 224,398.43 405,500.00 55.3% Services & Charges 51,746.41 672,450.82 837,960.00 165,509.18 80.2% 738,583.82 867,300.00 85.2% Miscellaneous Expenses 87,318.00 103,757.50 27,000.00 (76,757.50) 384.3% 19,835.65 27,000.00 73.5% Depreciation Expense 1,647,960.00 1,647,960.00 1,647,960.00 - 100.0% 1,625,644.10 1,620,000.00 100.3% Capital Outlay (68,199.57) - 350,000.00 350,000.00 0.0% - 350,000.00 0.0% Debt Service (923,664.00) 431,096.01 1,528,394.00 1,097,297.99 28.2% 484,439.01 1,527,212.00 31.7% Transfers -Out 368,191.00 368,191.00 43,145.00 (325,046.00) 853.4% 271,922.00 43,145.00 630.3% TOTAL EXPENDITURES 1,245,640.76 4,008,836.59 5,342,782.00 1,333,945.41 75.0% 3,982,326.85 5,463,882.00 72.9% TOTAL REVENUE OVER (UNDER) EXPENDITURES (715,313.06) 216,614.64 (1,474,634.00) 1,691,248.64 306,763.01 (1,827,865.00) Summary Income Statement - PRELIMINARY Stormwater Fund December 31, 2013 EXPENDITURES Wages & Benefits Month of YTD Actual 211,877.00 2013 Budget 60.8% YTD Actual 205,610.00 95.0% Supplies December 2013 December 2013 2013 Budget Balance % Used December 2012 2012 Budget % Used REVENUES: 5,246.96 81,908.02 144,300.00 62,391.98 56.8% 142,163.23 142,250.00 99.9% Storm Water Sales 56,478.08 671,081.96 664,350.00 6,731.96 101.0% 627,220.14 613,250.00 102.3 Licenses & Permits 35.00 2,915.00 - 2,915.00 100.0% 1,740.00 - 100.0 Charges for Services - - 1,000.00 (1,000.00) 0.0% 472.51 1,000.00 47.3% Investment Earnings 4,000.00 4,549.68 1,000.00 3,549.68 455.0% 6,292.56 1,000.00 629.3% Reimbursements - 3,641.14 - 3,641.14 100.0% 8,420.36 - 100.0 Fund Balance - - - - 0.0% 246,717.49 - 100.0 TOTAL REVENUES 60,513.08 682,187.78 666,350.00 15,837.78 102.4% 890,863.06 615,250.00 144.8% EXPENDITURES Wages & Benefits 10,385.31 128,869.28 211,877.00 83,007.72 60.8% 195,229.38 205,610.00 95.0% Supplies - 16,620.79 29,100.00 12,479.21 57.1% 23,804.25 33,100.00 71.9% Services & Charges 5,246.96 81,908.02 144,300.00 62,391.98 56.8% 142,163.23 142,250.00 99.9% Miscellaneous Expenses - 8,244.47 2,200.00 (6,044.47) 374.7% 923.03 2,200.00 42.0% Depreciation Expense 113,060.00 113,060.00 113,060.00 - 100.0% 107,276.77 90,000.00 119.2% Capital Outlay (57,823.55) - 120,000.00 120,000.00 0.0% - 157,000.00 0.0% Debt Service (106,547.00) 42,262.30 198,857.00 156,594.70 21.3% 49,268.08 165,340.00 29.8% Transfers -Out 150,468.00 150,468.00 - (150,468.00) 100.0% 74,528.00 - 100.0 TOTAL EXPENDITURES 114,789.72 541,432.86 819,394.00 277,961.14 66.1% 593,192.74 795,500.00 74.6 TOTAL REVENUE OVER (UNDER) EXPENDITURES (54,276.64) 140,754.92 (153,044.00) 293,798.92 297,670.32 (180,250.00) REVENUES: Intergovernmental Charges for Services Investment Earnings Reimbursements Transfers -In TOTAL REVENUES EXPENDITURES: Wages & Benefits Supplies Services & Charges Miscellaneous Expenses Depreciation Expense Capital Outlay Debt Service Transfers -Out TOTAL EXPENDITURES TOTAL REVENUE OVER (UNDER) EXPENDITURES Summary Income Statement - PRELIMINARY HATS Fund December 31, 2013 Month of YTD Actual 2013 Budget YTD Actual December 2013 December 2013 2013 Budget Balance % Used December 2012 2012 Budget % Used 5,689.67 136,396.04 136,396.00 0.04 100.0% 131,150.00 131,150.00 100.0% 86,957.63 538,321.02 535,000.00 3,321.02 100.6% 471,678.00 480,000.00 98.3% 500.00 642.67 1,000.00 (357.33) 64.3% 1,099.56 1,000.00 110.0% 2,255.23 20,890.85 2,000.00 18,890.85 1044.5% 4,985.78 2,000.00 249.3% - 93,236.00 93,236.00 - 100.0% 89,650.00 89,650.00 100.0 95,402.53 789,486.58 767,632.00 21,854.58 102.8% 698,563.34 703,800.00 99.3% 9,577.88 76,646.28 52,665.00 (23,981.28) 145.5% 52,617.28 55,375.00 95.0% 84,149.07 561,525.16 535,000.00 (26,525.16) 105.0% 488,069.09 492,900.00 99.0% 14,315.08 152,443.50 150,080.00 (2,363.50) 101.6% 135,479.17 150,455.00 90.0% 5,000.00 5,060.00 5,077.00 17.00 99.7% 5,903.50 5,070.00 116.4% - - - - 0.0% - - 0.0% 20,500.00 20,500.00 0.0% 0.0% - - 0.0% 0.0 - 0.0% - - 0.0% 113,042.03 795,674.94 763,322.00 (32,352.94) 104.2% 682,069.04 703,800.00 96.9 (17,639.50) (6,188.36) 4,310.00 (10,498.36) 16,494.30 Goa Executive summary as of December 31, 2013 Asset allocation summary Value on % of 12/31/2013 ($) portfolio A Cash 3,291,935.96 24.55 Cash 3,291,935.96 24.55 B Fixed Income 10,117,968.03 75.45 us 10,117,968.03 75.45 C Equity 0.00 0.00 D Commodities 0.00 0.00 E Non - Traditional 0.00 0.00 F Other 0.00 0.00 Total Portfolio $13,409,903.99 100% Balanced mutual funds are allocated in the 'Other' category 15 Equity sector analysis Prepared for City of Hutchinson RP 38446 • City of Hutchinson • Business Service Account Risk profile: Conservative Return Objective: Current Income Expected cash flow $ Thousands 53 44 35 27 OA 18 9 B 0 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 2014 2014 Taxable income Total expected cash flow: $136,143.59 Cash flows displayed account for known events such as maturities and mandatory puts. Portfolio does not contain applicable holdings - exhibit intentionally left blank. Credit quality of bond holdings Report created on: January 02, 2014 Page 1 of 3 Value on % of Effective credit ratinq Issues 12/31/2013 ($) port. A Aaa /AAA/AAA 5 4,281,435.48 4231 B Aa/AA/AA 2 1,953,120.00 1934 F C A/A/A 1 513,250.00 4.97 A D Baa/BBB /BBB 0 0.00 0.00 E Non - investment grade 0 0.00 0.00 C F Certificate of deposit 15 3,370,162.56 3339 B G Not rated 0 0.00 0.00 Total 23 $10,117,968.03 100% Report created on: January 02, 2014 Page 1 of 3 Goa Prepared for City of Hutchinson RP 38446 • City of Hutchinson • Business Service Account Risk profile: Conservative Return Objective: Current Income summaryIncludes all fixed -rate securities in the selected porfolio. Average yields and durations exclude Structured Product, Pass Through, Perpetual Preferred, and Foreign securities. as of December 31, 2013 Bond overview Total quantity Total market value Total accrued interest Total market value plus accrued interest Total estimated annual bond interest Average coupon Average current yield Average yield to maturity Average yield to worst Average effective maturity Credit quality of bond holdings Report created on: January 02, 2014 Page 1 of 2 Investment type allocation Value on % of Effective credit ratinq Issues 12/31/2013 ($) port. A Aaa /AAA/AAA 5 4,281,435.48 4231 B Aa/AA/AA 2 1,953,120.00 1934 C A/A/A 1 513,250.00 4.97 D Baa/BBB /BBB 0 0.00 0.00 E Non - investment grade 0 0.00 0.00 F Certificate of deposit 15 3,370,162.56 3339 G Not rated 0 0.00 0.00 Total 23 $10,117,968.03 100% Report created on: January 02, 2014 Page 1 of 2 Investment type allocation 10,234,000 $10,069,274.38 % of $48,693.65 Tax - exempt / bond $10,117,968.03 Investment type Taxable ($) deferred ($) Total ($) port. $149,484.25 Certificates of deposit 3,370,162.56 0.00 3,370,162.56 3331 1.49% Municipals 1,022,195.00 0.00 1,022,195.00 10.10 1.48% 0.97% U.S. federal agencies 5,725,610.48 0.00 5,725,610.48 56.59 0.97% Total $10,117,968.04 $0.00 $10,117,968.04 100% 5.66 Bond maturity schedule $ Millions 3.5 F 3.0 29.4sc A 25 � 2.0 15.9% 1.5 B 9.9% 1.0 0.5 0.0% t.4% 0.0% 0.0% 0.0% o.o% o.o% 0.0% 0.0 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 20242024+ Other E Effective maturity schedule Cash, mutual funds and some preferred securities are not included. Report created on: January 02, 2014 Page 1 of 2 Goa as of December 31, 2013 Prepared for City of Hutchinson RP 38446 • City of Hutchinson • Business Service Account Risk profile: Conservative Return Objective: Current Income SIncludes all fixed -rate securities in the selected porfolio. Average yields and durations exclude Structured Product, Pass Through, Perpetual Preferred, and Foreign securities. Summary of bond holdings Maturity Est. annual Current Yield to Yield to Adjusted Unrealized Year Issues Quantity income ($) yield ( %) maturity ( %) worst ( %) cost basis ($) gain /loss ($) Mkt. value ($) % of bond portfolio maturing 2013 0 0 NA NA 2014 3 998,000 29,986.00 3.00% 0.80% 0.80% 998,037.93 1,391.33 1,012,840.26 -9.93% 2015 8 1,853,000 17,897.00 0.96% 0.53% 0.53% 1,853,000 10,747.95 1,868,766.78 -1851% 2016 1 145,000 1,812.50 1.24% 1.03% 1.03% 145,000 806.20 146,521.2710 1.45% 2017 5 1,548,000 42,048.75 2.62% 1.44% 1.44% 1,598,032.45 8,622.22 1,624,356.811- 15.96% 2018 1 240,000 3,240.00 1.39% 2.05% 2.05% 240,000 - 7,627.20 232,612.47IN231% 2019 0 0 NA NA 2020 0 0 NA NA 2021 0 0 NA NA 2022 2 2,450,000 24,500.00 1.04% NA NA 2,450,000 - 94,016.50 2,358,562.67 -23.4% 2023 3 3,000,000 30,000.00 1.05% NA NA 3,000,000 - 134,720.00 2,874,307.78 2846% 2024 0 0 NA NA 1 2025 0 0 NA NA 1 2026 0 0 NA NA 1 2027 0 0 NA NA 1 2028 0 0 NA NA 1 2029 0 0 NA NA 1 2030 0 0 NA NA 1 2031 0 0 NA NA 2032 0 0 NA NA 2033 0 0 NA NA 2034 0 0 NA NA 2035 0 0 NA NA 2036 0 0 NA NA 2037 0 0 NA NA 2038 0 0 NA NA 2039 0 0 NA NA 2040 0 0 NA NA 2041 0 0 NA NA 2042 0 0 NA NA 2042+ 0 0 NA NA Other 0 0 NA NA Total 23 10,234,000 $149,484.25 1.48% 0.97% 0.97% $10,284,070.38 $- 214,796.00 $10,117,968.03 Report created on: January 02, 2014 Page 1 of 6 T T� Prepared for City Hutchinson U RP 38446 •City of Hutchinson •Business Service Account f?� Risk profile: Conservative Return Objective: Current Income Bond holdings - as of December 31, 2013 (continued) Details of bond holdings Effective rating/ Est. annual Adjusted % of Underlying rating Effective Call date/ income ($)/ YTM MY cost basis ($)/ Market Mkt. value ($)/ bond (Mdy /Fitch/S &P) Quantity Coupon maturity Call price ($) Curr. yield (%) YTW ( %) Unreal. gA ($) price ($) Accr. interest ($) port. 10,234,000 1.49% 08127/2019 NA $149,484.25 0.97% $10,284,070.38 NA $10,069,274.38 100% Total Bond Portfolio 1.48% 0.97% $- 214,796.00 $48,693.65 $10,117,968.03 Effective rating/ Est. annual Adjusted % of Underlying rating Effective Call date/ income ($)/ YTM MY cost basis ($)/ Market Mkt. value ($)/ bond (Mdy /Fitch/S &P) Quantity Coupon maturity Call price ($) Curr. yield ( %) Y1W ( %) Unreal. aA ($) price ($) Accr. interest ($) port. Maturing 2014 CHICAGO IF PROJ &TAX 20068 A3 /A - /A+ 500,000 5.30% 011012014 26,500.00 131% 500,037.93 100.000 500,000.00 4.97% OID99.702BE/R/ 5.300 010114 A3 /A - /A+ D 5.30% 1.31% -37.93 13,250.00 DTD 032906 /IL BANK OF CHINA NY US RT CD 249,000 0.60% 06/13/2014 1,494.00 0.19% 249,000.00 100.185 249,460.65 248 00.6000% MAT 06/13/14 FIXED 0.60% 019% 460.65 73.68 RATE CD /NY HUNTINGTON NATL BK OH US RT CD 249,000 0.80% 12/15/2014 1,992.00 039% 249,000.00 100.389 249,968.61 248 00.8000% MAT 12/15/14 FIXED 0.80% 0.39% 968.61 87.32 RATE CD /OH Total 2014 998,000 3.00% 05109/2014 $29,986.00 0.80% $998,037.93 $999,429.26 9.93% 3.00% 0.80% $1,391.33 $13,411.00 Effective rating/ Est. annual Adjusted % of Underlying rating Effective Call date/ income ($)/ YTM MY cost basis ($)/ Market Mkt. value ($)/ bond (Mdy /Fitch/S &P) Quantity Coupon maturity Call price ($) Curr. yield ( %) Y1W ( %) Unreal. M ($) price ($) Accr. interest ($) port. Maturing 2015 ALLY BANK UT US RT 00.9500% CD 248,000 0.95% 02/09/2015 2,356.00 032% 248,000.00 100.696 249,726.08 248 MAT 02/09/15 FIXED RATE CD 0.94% 0.32% 1,726.08 935.95 /UT GOLDMAN SACHS BANK NY US CD 248,000 1.05% 02/09/2015 2,604.00 0.73% 248,000.00 100.357 248,885.36 2.47% RT 01.0500% MAT 02/09/15 1.05% 0.73% 885.36 1,034.47 FIXED RATE CD /NY DORAL BANK PR RT 00.9500% CD 248,000 0.95% 02/10/2015 2,356.00 032% 248,000.00 100.697 249,728.56 2.48 MAT 02/10/15 FIXED RATE CD 0.94% 032% 1,728.56 923.04 /PR GE CAP BK UT US RT 01.1000% CD 115,000 1.10% 06/08/2015 1,265.00 0.79% 115,000.00 100.440 115,506.00 1.15% MAT 06/08/15 FIXED RATE CD 1.10% 0.79% 506.00 72.78 /UT Report created on: January 02, 2014 Page 2 of 6 O I UBS Bond holdings - as of December 31, 2013 (continued) Maturing 2015 BANK LEUMI NY US RT 00.8000% MAT 06/15/15 FIXED RATE CD /NY DISCOVER BANK DE US RT 01.0500% MAT 06/15/15 FIXED RATE CD /DE SALLIE MAE BANK UT US RT 01.1000% MAT 08/10/15 FIXED RATE CD /UT SAFRA NATL BK NY US RT 00.8000% MAT 08/17/15 FIXED RATE CD /NY Total 2015 Maturing 2016 AMERICAN EXPRESS C NY US RT 01.2500% MAT 08/09/16 FIXED RATE CD /NY Total 2016 Maturing 2017 MASSACHUSETTS DEPT TRANS TAX SR B RV BUR/ 2.408 010117 DTD 113011 /MA FED FARM CREDIT BANK 04.875 DUE 011717 DTD 010907 VC 07172007 GE CAP BK UT US RT 01.7500 MAT 08/03/17 FIXED RATE CD /UT Effective rating/ Of cost basis ($)/ Market Est. annual price ($) Underlying rating 100.601 1,496.49 Effective Call date/ income ($)/ YTM MY (Mdy /Fitch/S &P) Quantity Coupon maturity Call price ($) Curr. yield (%) YTW ( %) CD 249,000 0.80% 06/15/2015 1,992.00 039% 18.51% $10,747.95 Adjusted 0.80% 039% CD 248,000 1.05% 06/15/2015 2,604.00 0.64% $145,000.00 1.45% $806.20 1.04% 0.64% CD 248,000 1.10% 08/10/2015 2,728.00 0.74% 100.585 - 12,883.92 465,223.53 1.09% 0.74% CD 249,000 0.80% 08/17/2015 1,992.00 0.43% 0.80% 0.43 1,853,000 0.97% 05/11/2015 $17,897.00 0.53% 0.96% 0.53% Effective rating/ Est. annual Underlying rating Effective Call date/ income ($)/ YTM MY (Mdy /Fitch/S &P) Quantity Coupon maturity Call price ($) Curr. yield ( %) YTW ( %) CD 145,000 1.25% 08/09/2016 1,812.50 1.03% 1.24% 1.03% 145,000 1.25% 08/09/2016 $1,812.50 1.03% 1.24% 1.03% Effective rating/ Est. annual Underlying rating Effective Call date/ income ($)/ YTM MY (Mdy /Fitch/S &P) Quantity Coupon maturity Call price ($) Curr. yield ( %) YTW ( %) Aa3 /AA -/NR 500,000 2.41% 011012017 12,040.00 221 NR/NR/NR 2.39% 221% Aaa/AAA/AA+ 431,000 4.88% 011172017 21,011.25 0.84% NR/NR/NR 4.35% 0.84% CD 130,000 1.75% 08/03/2017 2,275.00 1.58% 1.74% 1.58% Prepared for City of Hutchinson RP 38446 • City of Hutchinson • Business Service Account Risk profile: Conservative Return Objective: Current Income Adjusted Of cost basis ($)/ Market Unreal. aA ($) price ($) 249,000.00 100.601 1,496.49 248,000.00 100.599 1,485.52 248,000.00 100.581 1,440.88 249,000.00 100.594 1,479.06 $1,853,000.00 18.51% $10,747.95 Adjusted Of cost basis ($)/ Market Unreal. aA ($) price ($) 145,000.00 100.556 806.20 $145,000.00 1.45% $806.20 Adjusted cost basis ($)/ Market Unreal. aA ($) price ($) 515,808.92 100.585 - 12,883.92 465,223.53 112.104 17,944.71 130,000.00 100.599 778.70 Report created on: January 02, 2014 Page 3 of 6 Of Mkt. value ($)/ bond Accr. interest ($) port. 250,496.49 2.49% 87.32 249,485.52 248 128.42 249,440.88 248 1,083.73 250,479.06 2.49% 753.14 $1,863,747.95 18.51% $5,018.83 Of Mkt. value ($)/ bond Accr. interest ($) port. 145,806.20 1.45 715.07 $145,806.20 1.45% $715.07 Report created on: January 02, 2014 Page 3 of 6 Of Mkt. value ($)/ bond Accr. interest ($) port. 502,925.00 4.99% 6,020.00 483,168.24 4.80 9,571.79 130,778.70 130 168.29 Report created on: January 02, 2014 Page 3 of 6 O 1 UBS Bond holdings - as of December 31, 2013 (continued) Maturing 2017 GE CAP RETAIL BK UT US RT 01.7500% MAT 08/03/17 FIXED RATE CD /UT SUN NATL BK NJ US RT 01.0000% MAT 10/03/17 FIXED RATE CD /NJ Total 2017 Maturing 2018 ENERBANK UT US RT 01.3500% MAT 10/04/18 FIXED RATE CD /UT Total 2018 Maturing 2022 FHLB STEP UP CALL BOND 01 000 DUE 092822 DTD 092812 VC 03282013 FHLB STEP UP CALL BOND 01 000 DUE 122822 DTD 122812 VC 06282013 Tota12022 Maturing 2023 FHLB STEP UP CALL BOND 01 000 DUE 013023 DTD 013013 VC 07302013 Effective rating/ 11/23/2022 $24,500.00 NA Market Est. annual NA Underlying rating Est. annual 1,479.53 Effective Call date/ income ($)/ YTM MY (Mdy /Fitch/S &P) Quantity Coupon maturity Call price ($) Curr. yield (%) YTW ( %) CD 247,000 1.75% 08/03/2017 4,322.50 1.58% price ($) 240,000.00 96.822 - 7,627.20 1.74% 1.58% CD 240,000 1.00% 101032017 2,400.00 0.85% Market Unreal. a4 ($) price ($) 950,000.00 0.99% 0.85 1,548,000 2.78% 04108/2017 $42,048.75 1.44% 2.62% 1.44 Effective rating/ Est. annual Underlying rating Effective Call date/ income ($)/ YTM MY (Mdy /Fitch/S &P) Quantity Coupon maturity Call price ($) Curr. yield ( %) YTW ( %) CD 240,000 1.35% 10/04/2018 3,240.00 2.05% 1.39% 2.05% 240,000 1.35% 10/04/2018 $3,240.00 2.05% 1.39% 2.05% Effective rating/ Est. annual Underlying rating Effective Call date/ income ($)/ YTM MY (Mdy /Fitch/S &P) Quantity Coupon maturity Call price ($) Curr. yield ( %) YTW ( %) Aaa/NR/AA+ 950,000 1.00% 09/28/2022 03/28/2014 9,500.00 NA NR/NR/NR 100.00 1.04% NA NR/NR/AA+ 1,500,000 1.00% 121282022 03282014 15,000.00 NA NR/NR/NR 100.00 1.04% NA 2,450,000 1.00% 11/23/2022 $24,500.00 NA Market 1.04% NA Effective rating/ Est. annual 1,479.53 Underlying rating Effective Call date/ income ($)/ YTM MY (Mdy /Fitch/S &P) Quantity Coupon maturity Call price ($) Curr. yield ( %) YTW ( %) Aaa/NR/AA+ 1,000,000 1.00% 01/30/2023 01/30/2014 10,000.00 NA NR/NR/NR 100.00 1.04% NA Prepared for City of Hutchinson RP 38446 • City of Hutchinson • Business Service Account Risk profile: Conservative Return Objective: Current Income Adjusted Of cost basis ($)/ Market Unreal. a4 ($) price ($) 247,000.00 100.599 1,479.53 965,070.00 240,000.00 100.543 1,303.20 $1,598,032.45 15.96% $8,622.22 Adjusted Of cost basis ($)/ Market Unreal. a4 ($) price ($) 240,000.00 96.822 - 7,627.20 $240,000.00 2.31 $-7,627.20 Adjusted cost basis ($)/ Market Unreal. a4 ($) price ($) 950,000.00 95.993 - 38,066.50 1,500,000.00 96.270 - 55,950.00 $2,450,000.00 $- 94,016.50 Adjusted cost basis ($)/ Market Unreal. a4 ($) price ($) 1,000,000.00 96.507 - 34,930.00 $2,355,983.50 23.40 Of Mkt. value ($)/ bond Accr. interest ($) port. 248,479.53 2.47 1,764.53 965,070.00 241,303.20 2.40% 177.53 $1,606,654.67 15.96% $17,702.14 Of Mkt. value ($)/ bond Accr. interest ($) port. 232,372.80 231 239.67 $232,372.80 2.31 $239.67 $2,355,983.50 23.40 Of Mkt. value ($)/ bond Accr. interest ($) port. 911,933.50 9.06% 2,454.17 965,070.00 1,444,050.00 1434 125.00 $2,355,983.50 23.40 $2,579.17 Of Mkt. value ($)/ bond Accr. interest ($) port. 965,070.00 9.58% 4,166.67 Report created on: January 02, 2014 Page 4 of 6 Bond holdings - as of December 31, 2013 (continued) Maturing 2023 FHLB STEP UP CALL BOND 01.000 DUE 013023 DTD 013013 EC 07302013 FHLB BOND STEP -UP 01.000 DUE 060623 DTD 060613 VC 12062013 Total 2023 Total Bond Portfolio Effective rating/ % of Est. annual Market Underlying rating bond Unreal. a4 ($) Effective Call date/ income ($)/ YTM MY (Mdy /Fitch/S &P) Quantity Coupon maturity Call price ($) Curr. yield (%) YTW ( %) Aaa/NR/AA+ 1,000,000 1.00% 01/30/2023 01/30/2014 10,000.00 NA NR/NR/NR 694.44 100.00 1.05% NA Aaa/NR/AA+ 1,000,000 1.00% 06/06/2023 03/06/2014 10,000.00 NA NR/NR/NR 100.00 1.05% NA Mkt. value ($)/ 3,000,000 1.00% 03114/2023 $30,000.00 NA $10,284,070.38 NA $10,069,274.38 100% 1.05% NA Effective rating/ Est. annual Underlying rating Effective Call date/ income ($)/ YTM MY (Mdy /Fitch/S &P) Quantity Coupon maturity Call price ($) Curr. yield ( %) YTW ( %) 10,234,000 1.49% 08/27/2019 NA $149,484.25 0.97% 1.48% 0.97% Prepared for City of Hutchinson RP 38446 • City of Hutchinson • Business Service Account Risk profile: Conservative Return Objective: Current Income Adjusted % of cost basis ($)/ Market Mkt. value ($)/ bond Unreal. a4 ($) price ($) Accr. interest ($) port. 1,000,000.00 94.842 948,420.00 9.42% -51,580.00 4,166.67 1,000,000.00 95.179 951,790.00 9.45% - 48,210.00 694.44 $3,000,000.00 $2,865,280.00 28.46% $- 134,720.00 $9,027.78 Adjusted % of cost basis ($)/ Market Mkt. value ($)/ bond Unreal. g/l ($) price ($) Accr. interest ($) port. $10,284,070.38 NA $10,069,274.38 100% $- 214,796.00 $48,693.65 $10,117,968.03 Report created on: January 02, 2014 Page 5 of 6