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08-12-2014 CCMMINUTES REGULAR MEETING — HUTCHINSON CITY COUNCIL TUESDAY, AUGUST 12, 2014 1. CALL TO ORDER — 4:00 P.M. Mayor Steve Cook called the meeting to order. Members present were Gary Forcier, Bill Arndt, Mary Christensen and Chad Czmowski. Others present were Marc Sebora, Interim City Administrator, Kent Exner, City Engineer and Jody Winters, Attorney 2. INVOCATION — Due to the absence of a pastor, the invocation was dispensed. 3. PLEDGE OF ALLEGIANCE 4. RECOGNITION OF GIFTS, DONATIONS AND COMMUNITY SERVICE TO THE CITY Mayor Cook mentioned that Sherry Ristau has resigned from the Southwest Initiative Foundation to take a new position in Iowa. Ms. Ristau has been instrumental in various programs and initiatives that have involved the City of Hutchinson. 5. PUBLIC COMMENTS 6. MINUTES (a) REGULAR MEETING OF JULY 22, 2014 Motion by Czmowski, second by Forcier, to approve 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 (b) CONSIDERATION FOR APPROVAL OF ISSUING TEMPORARY CONSUMPTION AND DISPLAY PERMIT TO HUTCHINSON CENTER FOR THE ARTS ON AUGUST 16, 2014, SEPTEMBER 9, 2014, AND OCTOBER 14, 2014 (c) CONSIDERATION FOR APPROVAL OF ITEMS FOR 2014 PAVEMENT MANAGEMENT PROGRAM PROJECT — LETTING NO. 3, PROJECT NO. 14 -03 (d) CONSIDERATION FOR APPROVAL OF ISSUING SHORT -TERM GAMBLING LICENSE AND TEMPORARY LIQUOR LICENSE TO ST. ANASTASIA CATHOLIC CHURCH ON SEPTEMBER 6 & 7, 2014 (e) CONSIDERATION FOR APPROVAL OF ISSUING SHORT -TERM GAMBLING LICENSE TO HUTCHINSON FIRE DEPARTMENT RELIEF ASSOCIATION ON SEPTEMBER 13, 2014 (f) CONSIDERATION FOR APPROVAL OF APPOINTING TIM PETERSON TO THE PARKS/RECREATION /COMMUNITY EDUCATION BOARD TO AUGUST 2015 (UNEXPIRED TERM OF JAY BARTHOLOMEW) (g) CONSIDERATION FOR APPROVAL OF PURCHASE OF ANNUAL BAG FILM ORDER FOR CITY COUNCIL MINUTES AUGUST 12, 2014 CREEKSIDE (h) CONSIDERATION FOR APPROVAL OF SIGNATORIES FOR 2014 FAA AND MNDOT AIRPORT GRANTS (i) CONSIDERATION FOR APPROVAL OF APPOINTMENTS TO BICYCLE - PEDESTRIAN ADVISORY COMMITTEE 0) CLAIMS, APPROPRIATIONS AND CONTRACT PAYMENTS — REGISTER A (k) CLAIMS, APPROPRIATIONS AND CONTRACT PAYMENTS — REGISTER B Items 7(b) and 7(k) were pulled for separate discussion. Motion by Czmowski, second by Christensen, to approve consent agenda with the exception of the items noted above. Motion carried unanimously. Item 7(b) had further discussion. Council Member Arndt noted that the Center for the Arts seems to apply frequently for licenses, therefore he inquired if they could apply for an annual license. Marc Sebora explained that various requirements are necessary for licenses and it is up to the applicant how they wish to apply for licenses. Motion by Arndt, second by Czmowski, to approve Item 7(b). Motion carried unanimously. Item 7(k) had further discussion. Council Member Forcier noted he will be abstaining from voting on this item. Motion by Czmowski, second by Christensen, with Forcier abstaining, to approve Item 7(k). Motion carried unanimously. 8. PUBLIC HEARINGS — 5:00 P.M. (a) ORDINANCE NO. 14 -731 - AN ORDINANCE PERTAINING TO THE REGULATION OF BREWERS (SECOND READING AND ADOPTION) Marc Sebora, Interim City Administrator, explained that tonight the Council is holding a public hearing for public comment and to consider the second reading and adoption of an ordinance to allow breweries in the City of Hutchinson and regulations related to it. Mr. Sebora explained that a slight change had been made to the ordinance since the last meeting, which included removing language requiring "Not for Public Consumption" to be printed on the seal and also to allow the effective date of the ordinance to be September 15, 2014. Mr. Sebora explained that state law requires that small brewers who sell off -sale must operate under the same hours of off -sale liquor license holders. The City only has one off -sale license holder, that being the municipal liquor store. Therefore, an establishment holding a small brewer license for off - sale would have to abide by the municipal liquor store hours. Dan Hart, 255 North High Drive #116, presented before the Council. Mr. Hart raised concerns of the hours that would be allowed for small brewers to sell off -sale and them being regulated by when the municipal liquor store is open. Mr. Hart is hoping that brewers could be open on days when the municipal liquor store is not required by law to be closed, but rather chooses to be closed. Mr. Hart requested the statute that regulates the hours of off -sale and how they relate to brewers. Mark Landreville, 760 Walnut Street, presented before the Council. Mr. Landreville owns Lamplighter Restaurant in the City, whom holds an on -sale intoxicating liquor license. Mr. Landreville raised concerns with establishments that will hold an on -sale license, such as a taproom, having the ability to hold an off -sale license. Mr. Landreville has concerns with the competition this will bring. Mr. Landreville requested that the Council hold off on considering and adopting this 2 CITY COUNCIL MINUTES AUGUST 12, 2014 ordinance until restaurant owners can gather more information. Mr. Landreville stated that restaurant owners feel that breweries have an "edge" over restaurants who have on -sale intoxicating liquor license, because of the off -sale opportunity. He also feels that with no food requirement on the taprooms, that is also a disadvantage to the on -sale intoxicating liquor license holders who must have at least 40% of their sales from food. Marc Sebora explained the various options for brewers — taprooms, small brewers, brew pub on -sale and brew pub off - sales. Mr. Sebora also explained that current restaurants, whom hold on -sale liquor licenses, are also eligible to apply for a brew pub on -sale and brew pub off -sale license, which would allow for them to brew their own beer and sell that beer for on -sale and off -sale consumption. Dan Hart provided more information on breweries, brew pubs and tap rooms. Mr. Landreville asked if there will be a maximum number of brewers allowed within the city. Mr. Sebora noted that there is no maximum listed in the state law, but that would have to be considered by the Council. Motion by Arndt, second by Cook, to close public hearing. Motion carried unanimously. Mayor Cook noted that the initiative at the state level with allowing taprooms and brew pubs was for economic development. Partnerships were discussed. Council Member Forcier commented that with the additions of brewers in town, it could possibly enhance the restaurants' business. Council Member Christensen commented that the Council should reconsider the 60 %/40% liquor /food requirement for on -sale intoxicating liquor license holders. Motion by Forcier, second by Cook, to approve second reading and adoption of Ordinance No. 14- 731. Motion carried unanimously. At the next Council meeting, fees for various licenses will be considered. A workshop will be held September 9, 2014, to review the liquor ordinance and possible revisions. 9. COMMUNICATIONS, REQUESTS AND PETITIONS (Purpose: to provide Council with information necessary to craft wise policy. Always looking toward the future, not monitoring past) 10. UNFINISHED BUSINESS 11. NEW BUSINESS (a) CONSIDERATION FOR APPROVAL OF ISSUING FOOD VENDOR LICENSE TO ADAN RAMIREZ OF TAQUERIA DEL BUEN PASTOR Marc Sebora noted that Adan Ramirez has applied for a food vendor license to operate a food truck in the Best Buy parking lot. Mr. Sebora explained that Mr. Ramirez has submitted all required documentation. Mr. Ramirez operates a similar food truck in the City of Glencoe. Motion by Czmowski, second by Forcier, to approve issuing food vendor license to Adam Ramirez of Taqueria Del Buen Pastor. Motion carried unanimously. (b) CONSIDERATION FOR APPROVAL OF SETTING HEARING AS REQUESTED BY NANCY ANGERHOFER RELATED TO TAXI CAB LICENSE APPLICATION CITY COUNCIL MINUTES AUGUST 12, 2014 Marc Sebora explained that the City Council had previously considered issuing a taxi cab license to Nancy Angerhofer, however had denied issuing the license. City Code allows for an applicant to challenge the denial of a license and have a hearing before the Council. Ms. Angerhofer stated that she is prepared to hold the hearing next week if the Council's schedule allows. Motion by Czmowski, second by Christensen, to set hearing as requested by Nancy Angerhofer related to taxi cab application for August 21, 2014, at 5:00 p.m. Motion carried unanimously. (c) CONSIDERATION FOR APPROVAL OF SETTING JOINT CITY COUNCIL/HUTCHINSON UTILITIES COMMISSION WORKSHOP FOR AUGUST 26, 2014, AT 4:00 P.M. This workshop /meeting is the annual meeting that was postponed due to the change in the general manager position. Motion by Czmowski, second by Forcier, to approve setting joint City Council/Hutchinson Utilities Commission workshop for August 26, 2014, at 4:00 p.m. Motion carried unanimously. (d) CONSIDERATION FOR APPROVAL OF SETTING ANNUAL CITY OF HUTCHINSON RECOGNITION EVENT Motion by Czmowski, second by Christensen, to set annual City of Hutchinson recognition event for September 25, 2014, at 5:30 p.m. Motion carried unanimously. Motion by Arndt, second by Christensen, to set annual recognition event as public meeting so all council members can attend. Motion carried unanimously. 12. GOVERNANCE (Purpose: to assess past organizational performance, develop policy that guides the organization and Council and manage the logistics of the Council. May include monitoring reports, policy development and governance process items.) (a) PLANNING COMMISSION MINUTES FROM JUNE 17, 2014 (b) RESOURCE ALLOCATION COMMITTEE MINUTES FROM JULY 21, 2014 (c) PUBLIC LIBRARY BOARD MINUTES FROM JULY 28, 2014 13. MISCELLANEOUS Bill Arndt — Council Member Arndt commented that the McLeod County Fair starts tomorrow and commented on various activities being held. Mary Christensen — Council Member Christensen reminded citizens that today is Primary Election today so she reminded everyone to vote. Christensen also asked for an update on the Lynn Road improvement project, which Kent Exner, 11 CITY COUNCIL MINUTES AUGUST 12, 2014 City Engineer, provided. Mr. Exner explained that milling will begin this Thursday, with paving occurring next week. Kent Exner — Mr. Exner provided an update on the Jefferson Street improvement project. General discussion was also held regarding the dam and the river. Motion by Christensen, second by Forcier, to recess until 5:00 p.m. Motion carried unanimously. Mayor Cook reconvened the meeting to order at 5:00 p.m. 14. ADJOURN Motion by Arndt, second by Christensen, to adjourn at 5:40 p.m. Motion carried unanimously. Steven W. Cook Mayor ATTEST: Marc A. Sebora Interim City Administrator