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07-22-1986 CCMMINUTES REGULAR MEETING - HUTCHINSON CITY COUNCIL TUESDAY, JULY 22, 1986 1. The meeting was called to order by Mayor Ackland at 7:30 P.M. The fol- lowing were present: Alderman Mike Carls, Alderman John Mlinar, Alderman Marlin T orgerson, Alderman Pat M i ku 1 ecky and Mayor Paul L. Ackland. Also present were: City Administrator Gary D. Plotz, Director of Engineering Marlow V. Priebe, and City Attorney James Schaefer. 2. INVOCATION The invocation was given by the Reverend Thor Skeie. 3. MINUTES The minutes of the regular meeting of July 8, 1986 were approved as amended and the minutes of the bid opening of July 17, 1986 were approved as dis- tributed. 4. ROUTINE ITEMS (a) REPORTS OF OFFICERS, BOARDS AND COMMISSIONS 1. FINANCIAL REPORT - JUNE 1986 2. PLANNING COMMISSION MINUTES DATED JUNE 16, 1986 3. NURSING HOME BOARD MINUTES DATED JUNE 26, 1986 4. HOSPITAL BOARD MINUTES DATED JUNE 17, 1986 The motion was made by Alderman Mikulecky, seconded by Alderman Mlinar, to order the report and minutes filed. Motion unanimously carried. 5. PUBLIC HEARING - 8:00 P.M. None 6. COMMUNICATIONS, REQUESTS AND PETITIONS (a) CONSIDERATION OF REQUEST FOR STREET LIGHT ON SHADY RIDGE ROAD Following discussion, Alderman T orgerson moved to approve and refer the request to the Hutchinson Utilities. Motion seconded by Alderman Carls and carried unanimously. (b) CONSIDERATION OF COMPLAINT CONCERNING USE OF CITY HALL Mr. John Padrnos of 840 Lynn Road raised a complaint that City Hall was used for free hearing tests, and the company was selling hearing aids. He felt these outside groups who come into town over charge the local residents and are not available to service the hearing aids. 1 a, CITY COUNCIL MINUTES - JULY 229 1986 City Administrator Plotz pointed out that City Hall space was avail- able for rental. The Police Chief had done a check on the company with the Better Business Bureau and Edina police department and found noth- ing to report. Discussion followed whether the Transient Merchant Or- dinance applied to this situation, and the City Attorney felt it did not. Alderman Torgerson moved to review the existing policy on rental regu- lations of facilities at City Hall and to discuss it at the next Coun- cil meeting. Motion seconded by Alderman Mlinar and unanimously car- ried. (c) CONSIDERATION OF MN/DOT T.H. 22 & 7 PROJECT AND ACCESS TO BIG BEAR Mr. Greg Johnson, a representative of Big Bear stores, expressed his concern regarding the MN/DOT design for T.H. 22 & 7 project and how it would affect Big Bear. The proposed plan will cut off their busi- ness to the west and exit from the east. It was pointed out that pub- lic access is crucial for a business establishment, and Mr. Johnson re- quested the Council to consider some other alternatives. One sugges- tion was a frontage road. It was also suggested that City representa- tives and Mr. Johnson meet with MN/DOT regarding the design. The motion was made by Alderman Carls to direct the City Engineer to take action on preparing a report for a temporary service road from Plowman's over to Big Bear and to waive reading and adopt Resolution No. 8333 for Project No. 86-12. Motion seconded by Alderman Mlinar. Alderman Carls amended the motion to include notifing the three prop- erty owners involved, and to waive reading and adopt Resolution No. 8335 receiving the report and setting a public hearing for August 12, 1986 at 8:00 P.M. Amended motion seconded by Alderman Mlinar and unanimously carried. Main motion carried unanimously. Mr. Ancher Nelsen suggested a meeting with the Highway Commissioner re- garding the situation and that perhaps Senator John Bernhagen could be instrumental since he has direct access to the Commissioner's office. Alderman Torgerson moved that the City Administrator contact Senator John Bernhagen regarding the City Council's concerns on this problem. Motion seconded by Alderman Carls and unanimously carried. 7. RESOLUTIONS AND ORDINANCES (a) ORDINANCE NO. 18/86 - AN ORDINANCE RESTRICTING THE USE OF ENCLOSED OR FENCED PUBLIC PROPERTY Alderman Carls moved to waive second reading and adopt Ordinance No. 744. Motion seconded by Alderman Mlinar and carried unanimously. (b) RESOLUTION NO. 8327 - RESOLUTION FOR TRANSIT GRANT APPLICATION WITH MN/DOT VA CITY COUNCIL MINUTES - JULY 22, 1986 The motion was made by Alderman Mlinar, seconded by Alderman Mikulecky, to waive reading and adopt Resolution No. 8327. Motion unanimously carried. 8. UNFINISHED BUSINESS (a) CONSIDERATION OF PAYMENT TO KORNGIEBEL ARCHITECTURE FOR PREVIOUS SERVICES ON POLICE STATION (DEFERRED JULY 8, 1986) Following discussion, Alderman Carls moved to approve payment to Korn- giebel Architecture from the contingency fund. Motion seconded by Ald- erman T orgerson and carried unanimously. (b) CONSIDERATION OF PLAN FOR CUL-DE-SAC AND DRIVE ON EAST FREEMONT FOR GREENCASTLE PROJECT (DEFERRED JUNE 24, 1986) Mr. Newell Weed reviewed previous Council action concerning a cul-de- sac and drive on the end of East Freemont. He stated that Greencastle had agreed to the request for a cul-de-sac, easement and an additional cul-de-sac, if required, at their expense. In addition, they were pre- pared to give the two easements to the City at this time. However, he questioned if it might not be practical to wait for a couple of years to determine what development occurred in the area and if Freemont and Century Streets were extended. In the meantime, the parking lot could be used by emergency vehicles and a cul-de-sac put in at a later time. The City Engineer reported that part of the parking lot did not meet the 15 foot setback from right-of-way, and the parking had not been resolved as a complete layout. It was pointed out that the Fire Chief had concerns regarding adequate space for the fire trucks to enter and exit. Fire Marshal Field stated it was better to put in the cul-de-sac when the project was developed than to wait until later. Following extensive discussion, Alderman Carls moved that the plan to install a cul-de-sac as stated in the City Council action when the property was sold to Mr. Weed be carried out before the building was occupied. Motion seconded by Alderman Mikulecky and carried three to two, with Aldermen Carls, Mlinar and Mikulecky voting aye and Alderman Torgerson and Mayor Ackland voting nay. The motion was made by Alderman Carls that the usual procedure be util- ized and approved by the City Engineer. Motion seconded by Alderman Mlinar and unanimously carried. (c) CONSIDERATION OF BIDS FOR GROUP HEALTH INSURANCE (DEFERRED JUNE 24) City Administrator Plotz reported the City employees were given the opportunity to hear presentations by Blue Cross/Blue Shield and PHP representatives. 3 CITY COUNCIL MINUTES - JULY 22, 1986 Alderman Carls moved to grant the health insurance contract to PHP as presented and to accept the Administrator's recommendation to handle claims in-house and not have a local agent at this time. Motion sec- onded by Alderman Torgerson. During discussion, Sandy Haasl expressed some concerns regarding PHP and thought a local agent would be valuable inasmuch as it is sometimes difficult to reach the main office on a toll free number. Alderman Carts amended the motion to ask City staff to file a report with the City Council within 90 days reviewing the em- ployees' experience and reactions to PHP coverage and PHP in general and not have an agent in the community to service the policy. Motion seconded by Alderman Mlinar and carried unanimously. Main motion unan- imously carried. (d) CONSIDERATION OF BIDS FOR GROUP LIFE INSURANCE (DEFERRED JUNE 24) After discussion, the motion was made by Alderman Mlinar, seconded by Alderman Torgerson, to approve the life insurance bid with the present carrier, Minnesota Mutual. Motion unanimously carried. (e) CONSIDERATION OF RECONSTRUCTION OF 550 FEET OF SOUTHVIEW DRIVE (DEFERRED JULY 8, 1986) The motion was made by Alderman Mikulecky to table this item. Alderman Carls seconded the motion and carried unanimously. (f) CONSIDERATION OF STORM SEWER FOLLOW-UP REPORT BY CITY ENGINEER Engineer Priebe presented a report on the City's storm sewer system. No action was taken. (g) CONSIDERATION OF PRELIMINARY PLAT OF PLAZA HEIGHTS SUBMITTED BY CITIZENS BANK OF GIBBON, STATE BANK OF MORGAN AND FIRST STATE BANK OF BROWNTON (LARRY HERRMANN & DENNIS ALBERTSON) WITH FAVORABLE RECOMMENDATION OF PLANNING COMMISSION (DEFERRED JUNE 24, 1986) City Attorney Schaefer stated that the existing ordinance required two platted entrances. It was his recommendation to amend the ordinance to allow the City Council discretion to require two entrances, if neces- sary. Alderman Torgerson moved to approve the preliminary plat of Plaza Heights and to waive reading and adopt Resolution No. 8310. Motion seconded by Alderman Mikulecky and unanimously carried. (h) CONSIDERATION OF DRAINAGE IMPROVEMENTS FOR ROBERTS FIRST ADDITION City Engineer Priebe stated the City Council had directed him to re- view the area for drainage problems. A storm sewer on Kay Street was built in 1969 and needs to be redone at an estimated cost of $21,900. An addition west of Larson Street has a heavy surface flow problem. It would be possible to connect a pipe so that sump pumps could be hooked 2 CITY COUNCIL MINUTES - JULY 22, 1986 up to carry water off. This project would cost approximately $7,200. A line to collect the water in the east area would cost about $4,400. Mr. Joe Wesley, 560 Larson Street, inquired if there were any other alternatives or trunk lines available for the storm sewer runoff. The City Engineer responded that the major line was on Kay Street. Mr. Wesley then asked about the size of the drain pipe on Larson Street and was told it was a 12" line, which should be adequate for yard surface drainage. It was pointed out by Mr. Wesley that his property gets the water first, due to his location on the end of Larson Street, and it will take up to two weeks for the water to drain off. The curbing has sunk because of water saturation over a number of years. Mr. Wesley suggested a trunk line be installed to drain to the south. Mr. Martin Briggs, 510 Larson Street, stated that Kay Street was raised four to five feet higher than the rest of the area during development. Therefore, his water problem comes from runoff around him. The Engineer stated he had proposed two lines rather than build new lines at the price that was submitted to the City Council and property owners. Mr. Wayne Scott, 525 Larson Street, asked who owned the undeveloped property south and east of Larson. He then inquired if it was permis- sible to farm within the City limits and how long property could be in the City limits before it was developed. Mr. Scott reported the City had dumped dirt on the property to the east, and fill was being dumped by Thode, which changed the outlay of the land and created some of the present water problems. City officials were notified of the situation a year ago. Mr. Scott commented he had put in a 6" drain in his back yard, which had been helpful. City Administrator Plotz stated the City Council had requested removal of the house on the property inasmuch as it was a hazard. However, the City was not aware of the fill. Mr. David Wieweck, 515 Larson Street, attested to Mr. Scott's comments. He reported the dirt was brought in about a year ago, but Hutchinson Landscaping was not the only one who dumped fill on the lot. The dirt was moved and leveled over the previous building site. Alderman Carls stated he would like to see about four additional catch basins built. He inquired how the property owners of lots 7, 8, 9 and 10 felt about the suggestion. Mr. Roger Reinhart, 545 Larson Street, commented that if the line was extended south on Larson, it would solve the problem north on Larson. The water problem comes from the surrounding area. Mr. Julius Rainwater, 565 Larson Street, asked about the feasibility of routing the drainage down Larson to the Wagner field. Engineer Priebe 5 CITY COUNCIL MINUTES - JULY 229P 1986 replied there were no catch basins in the plowed field. Mr. Wagner could be asked not to allow water to run off his field. Mr. Merrill Wendlandt, 555 Larson Street, stated that Larson Street was very flat. He thought a catch basin on the south end of the street would alleviate the water problem and suggested a berm almost up to Kay Street. He commented the present line was not big enough to handle the water. Alderman Carls moved that the Engineering Department provide cost esti- mates for the proposed options, to include running a larger line the length of Larson and an additional catch basin, including from what was heard from Joe Wesley and Julius Rainwater to run a line from the end of Larson to west to tie in to the 70" line on Kay Street and include running the line to the south end tieing in to the 6' line in Wagner's field and berms and the cost of the drawings of additional back yard lines and lines between homes on the drawing before the City Council. Motion seconded by Alderman Torgerson and unanimously carried. Alderman Mlinar moved to direct the City Engineer to investigate the fill problem. Motion seconded by Alderman Carls and carried unani- mously. nani- mously. It was the consensus of the Council that it would review the Engineer's cost estimates before determining who would pay for the cost of the project. City Attorney Schaefer stated the City could require the property owner to put the land back into its previous condition if it had been inten- tionally altered. Ms. Aileene Parsons, 530 Larson Street, commented that the residents on Larson put in fill when it was developed, and Kay Street was raised when it was developed. (i) CONSIDERATION OF BIDS FOR DENTAL INSURANCE (DEFERRED JULY 17, 1986) Following discussion, the motion was made by Alderman Torgerson, sec- onded by Alderman Mlinar, to approve and award the bid to SunLife, with Bob Martin & Associates as agent. Motion unanimously carried. (j) CONSIDERATION OF CHANGE ORDER NO. 2 FOR PROJECT NO. 85-01-41 GRADING, RAILROAD CONNECTOR TRACK AND RAILROAD SPUR LINE (DEFERRED 7-8-86) City Engineer Priebe presented background information on Change Order No. 2 for Project No. 85-01-41 in the amount of $36,515.90. The pay- ment would come out of the tax increment fund. After discussion, Alderman Torgerson moved to approve Change Order No. 2 and pay the contractor. Motion seconded by Alderman Carls and car- ried, with Alderman Mikulecky abstaining from voting. 6 CITY COUNCIL MINUTES - JULY 220, 1986 (k) CONSIDERATION OF EXISTING CITY ORDINANCE, SECTION 275:05, REGARDING SUMP PUMPS City Administrator Plotz commented on the proposeed City policy regard- ing sump pumps and that a notice would be sent out to the public in the September utility billing. It was the consensus of the Council to have this issue on a voluntary basis at the present time, and no action was taken. 9. NEW BUSINESS (a) CONSIDERATION OF DELINQUENT WATER AND SEWER ACCOUNTS The motion was made by Alderman Carls to authorize discontinuation of service at noon on July 28, 1986 unless other arrangements were made. Motion seconded by Alderman Torgerson and carried unanimously. (b) CONSIDERATION OF ESTABLISHING A WRITTEN POLICY OF REPAIR AND MAINTENANCE OF WATER/SEWER SERVICE LINES AS RECOMMENDED BY STAFF City Administrator Plotz reviewed past practice and policy for repair and maintenance of the water and sewer service lines in the right-of- way. It was the City staff's proposal to recommend the following proposed policy: The landowner shall be responsible for the repair and maintenance of the water and sewer lines from the main into the prop- erty (including turnoff) unless it can be determined the City was negligent in repair and/or maintenance of the said lines. Following discussion, Alderman Torgerson moved to approve the recom- mended policy. Motion seconded by Alderman Mlinar and carried, with Alderman Mikulecky abstaining from voting. (c) CONSIDERATION OF 1986-87 WATER METER MONITORING It was reported that approximately 500 water meters, both inside and outside, would be monitored this summer. Next year 100 percent of the City would be monitored. After discussion, the motion was made by Alderman Carls, seconded by Alderman Mlinar, to approve the recommendation for water meter monitor- ing. Motion unanimously carried. (d) CONSIDERATION OF VARIANCE REQUEST SUBMITTED BY HILLYARD WITH UNFAVORAQBLE RECOMMENDATION OF PLANNING COMMISSION Alderman Torgerson moved to reject the variance. Motion seconded by Alderman Carls and carried unanimously. (e) CONSIDERATION OF CONDITIONAL USE PERMIT SUBMITTED BY SCHOOL DISTRICT NO. 423 WITH FAVORABLE RECOMMENDATION OF PLANNING COMMISSION 7 CITY COUNCIL MINUTES - JULY 229 1986 The motion was made by Alderman Mlinar, seconded by Alderman Carls and unanimously carried, to approve the conditional use permit and to waive reading and adopt Resolution No. 8328. (f) CONSIDERATION OF CONDITIONAL USE PERMIT SUBMITTED BY MARIE EWALD WITH UNFAVORABLE RECOMMENDATION OF PLANNING COMMISSION Marie Ewald informed the Council that the lack of a survey was the main reason her request for a conditional use permit was denied. The survey had been submitted to the Building Official, and it was his recommenda- tion that her board and room home met the requirement for parking spaces. Ms. Gloria Dansereau, adjacent property owner, objected to the location of the facility in this particular neighborhood of residential and single-family dwellings. The area is zoned R-1 and R-2, but the board and room home would be a business and commercial in nature. She also questioned the ability of the elderly residents to move about within the duplex. City Administrator Plotz questioned the density of the proposed use and wondered if it would meet the requirement and be "grandfathered" in. City Attorney Schaefer did not think it would be "grandfathered" in since the structure was originally built as a duplex. Following discussion, Alderman Carls moved to overturn the Planning Commission's action and to grant the conditional use permit and to waive reading and adopt Resolution No. 8329. Motion seconded by Ald- erman Mlinar and carried unanimously. (g) CONSIDERATION OF VACATION OF EASEMENTS SUBMITTED BY RICHARD SCHMIDTBAUER WITH FAVORABLE RECOMMENDATION OF PLANNING COMMISSION After discussion, the motion was made by Alderman Carls, seconded by Alderman Torgerson, to approve the vacation of easements and to waive first reading of Ordinance No. 19/86 and to set second reading August 129 1986. Motion unanimously carried. (h) CONSIDERATION OF APPLICATION FOR BINGO LICENSE BY ELKS LODGE FOR MCLEOD COUNTY FAIR Alderman Carls moved to approve the bingo license and to issue said license. Motion seconded by Alderman Mlinar and carried unanimously. (i) CONSIDERATION OF APPLICATION FOR GAMBLING DEVICES LICENSE BY ELKS LODGE FOR MCLEOD COUNTY FAIR Alderman Carls moved to approve the gambling devices license and to is- sue said license. Motion seconded by Alderman Mlinar and carried unan- imously. E CITY COUNCIL MINUTES - JULY 22, 1986 (j) CONSIDERATION OF NUMBERING BUILDINGS WITHIN CITY LIMITS (SECTION 615:00 OF CITY ORDINANCE BOOK) City Administrator Plotz commented on the numbering of buildings within the City limits and presented a proposed process and specifications for Council approval. It was noted that a notice would be mailed out to the public on numbering buildings with their August utility bill. Following discussion, Alderman Carls moved to approve the specifica- tions. Motion seconded by Alderman Mlinar and unanimously carried. (k) CONSIDERATION OF ESTABLISHING PUBLIC HEARING DATE FOR PHASE A OF IMPROVEMENTS PROJECT NO. 86-10 (WATER SERVICE TO ELEMENTARY SCHOOL CONSTRUCTION SITE) After discussion, the motion was made by Alderman Carls, seconded by Alderman Mlinar, to receive the report and set a public hearing August 129 1986 at 8:00 P.M., and to waive reading and adopt Resolution No. 8336. Motion carried unanimously. (1) CONSIDERATION OF PLANS AND SPECIFICATIONS FOR PROJECT NO. 86-10 AND ADVERTISEMENT FOR BIDS Following discussion, Alderman Torgerson moved to approve the plans and specifications and to advertise for bids August 11, 1986 at 2:00 P.M., to waive reading and adopt Resolution No. 8337. Motion seconded by Alderman Carls and unanimously carried. (m) CONSIDERATION OF ALLOWING LAND OWNERS TO INSTALL CURB AND GUTTER ON WALLER DRIVE City Engineer Priebe reported three property owners on Waller Drive had requested authorization to install curb and gutter at their own ex- pense. City Administrator Plotz stated it would be necessary to hold a public hearing for the ad valorem tax portion since 100 percent would not be assessed. After discussion, Alderman T orgerson moved to order a report and set a public hearing on Project No. 86-11 for August 12, 1986 at 8:00 P.M. and to waive readings and adopt Resolutions No. 8332 and No. 8334. Mo- tion seconded by Alderman Mlinar and unanimously carried. (n) DISCUSSION OF UMBRELLA LIABILITY INSURANCE COVERAGE FOR CITY OF HUTCHINSON AND HUTCHINSON UTILITIES This item was withdrawn from the agenda. (o) CONSIDERATION OF APPROVAL FOR HUTCHINSON MEDICAL CENTER, P.A. TO LEASE AN ADDITIONAL 3,000 SQUARE FEET EAST OF PRESENT SITE V CITY COUNCIL MINUTES - JULY 22, 1986 Following discussion, the motion was made by Alderman Carls, seconded by Alderman Mlinar, to approve the lease. Motion carried unanimously. (p) CONSIDERATION OF ESTABLISHING A COMMITTEE TO EVALUATE CONCEPT/PROPOSAL OF EDUCATIONAL INCENTIVE PROGRAM Officer Ringstrom explained to the Council that the educational incen- tive program would be on-going for obtaining higher education. After discussion, Alderman Torgerson moved to authorize the Mayor to appoint a committee. Motion seconded by Alderman Mlinar and carried unanimously. 10. MISCELLANEOUS (a) COMMUNICATIONS FROM CITY ADMINISTRATOR City Administrator Plotz displayed a sample of the plaque to be pre- sented to retiring board members. It was recommended that retiring firemen also receive a plaque. It was reported that the S & L Partnership was having financial prob- lems in paying its industrial revenue bond obligations, and the City had money outstanding for the tax increment portion. A motion was made by Alderman Carls to direct the City Attorney to take action on the S & L Rehab IRB bond. Motion seconded by Alderman Mlinar and carried unanimously. Due to the late hour, it was decided to put the objectives list on the agenda for August 12 for review. The Administrator reported a written complaint had been received re- garding rats at 725 Main Street South. After discussion, Mr. Plotz was instructed to refer this matter to the City Health Board and to follow up on it. (b) COMMUNICATIONS FROM DIRECTOR OF ENGINEERING Engineer Priebe reported bids were received from Juul Contracting for Project No. 86-08 in the amount of $14,160 and for Project No. 86-09 in the amount of $109929.50. Since Juul Contracting was the only bidder, he recommended awarding the contract. Alderman Carls moved to approve awarding the bids to Juul Contracting and to waive readings and adopt Resolutions No. 8330 and No. 8331. Mo- tion seconded by Alderman Mlinar and unanimously carried. (c) COMMUNICATIONS FROM MAYOR PAUL L. ACKLAND Mayor Ackland inquired if there was any new development regarding the contract between 3M and McKim. The City Attorney responded there was 10 CITY COUNCIL MINUTES - JULY 221 1986 nothing new on the issue. (d) COMMUNICATIONS FROM CITY ATTORNEY City Attorney Schaefer reported the trial of Robert McGee vs. the City of Hutchinson was coming to trial on July 24, and the City Administra- tor would be a witness. 11. CLAIMS, APPROPRIATIONS AND CONTRACT PAYMENTS (a) VERIFIED CLAIMS The motion was made by Alderman Carls, seconded by Alderman Mlinar, to approve the claims and authorize payment from the appropriate funds. Motion unanimously carried. 12. ADJOURNMENT There being no further business, the meeting adjourned at 12:35 P.M. 11