06-24-1986 CCMMINUTES
REGULAR MEETING - HUTCHINSON CITY COUNCIL
TUESDAY, JUNE 24, 1986
1. The meeti ng was ca 1 1 ed to order by Mayor Ack 1 and at 7:30 P.M. The fol l ow-
ing were present: Alderman Mike Carls, Alderman John Mlinar, Alderman Pat
Mi ku 1 ecky, Alderman Marlin Torgerson, and Mayor Paul L. Ackland. Also
present: Finance Director Kenneth B. Merrill, Director of Engineering Mar-
low V. Priebe, and City Attorney James Schaefer.
2. INVOCATION
The invocation was given by the Reverend Tim Maland.
3. MINUTES
The minutes of the bid opening of May 15, 1986 and regular meeting of June
10, 1986 were approved as distributed.
4. ROUTINE ITEMS
(a) REPORTS OF OFFICERS, BOARDS AND COMMISSIONS
1. FINANCIAL REPORT - MAY 1986
2. HOSPITAL BOARD MINUTES DATED MAY 20, 1986
3. PLANNING COMMISSION MINUTES DATED MAY 20, 1986
The motion was made by Alderman Torgerson, seconded by Alderman Mlinar,
to order the report and minutes filed. Motion unanimously carried.
(b) CONSIDERATION OF APPOINTMENT:
1. NURSING HOME BOARD - ANCHER NELSEN
Alderman Carls moved to ratify the appointment of Ancher Nelsen. Mo-
tion seconded by Alderman Torgerson and carried unanimously.
5. PUBLIC HEARING - 8:00 P.M.
None
6. COMMUNICATIONS, REQUESTS AND PETITIONS
(a) CONSIDERATION OF REQUEST BY POLICE CHIEF TO ATTEND ANNUAL IACP
CONFERENCE OCTOBER 4-9, 1986
Following discussion, the motion was made by Alderman Carls, seconded
by Alderman Mikulecky, to reject the request. Motion unanimously car-
ried.
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CITY COUNCIL MINUTES - JUNE 24, 1986
(b) CONSIDERATION OF PETITION FOR "CAUTION -CHILDREN" SIGNS AT ECHO CIRCLE
Alderman Carls moved to approve installation of signs. Motion seconded
by Alderman Mlinar and carried unanimously.
7. RESOLUTIONS AND ORDINANCES
(a) RESOLUTION NO. 8302 - TRANSFERRING $8,852 FROM PUBLIC SITES TRUST FUND
TO RECREATION AND POOL CONSTRUCTION FUND
The motion was made by Alderman Mlinar, seconded by Alderman Carls, to
waive reading and adopt Resolution No. 8302. Motion unanimously car-
ried.
(b) RESOLUTION NO. 8307 - RESOLUTION AUTHORIZING DISPATCH AND UE OF CITY
EQUIPMENT AND SERVICES BY CITY ADMINISTRATOR IN EMERGENCY SITUATIONS
Alderman Torgerson moved to waive reading and adopt Resolution No.
8307. Motion seconded by Alderman Carls and carried unanimously.
(c) RESOLUTION NO. 8306 - RESOLUTION FOR PURCHASE
The motion was made by Alderman Mlinar, seconded by Alderman Torgerson
and unanimously carried, to waive reading and adopt.
(d) RESOLUTION NO. 8312 - RESOLUTION REJECTING IMPROVEMENT - ASSESSMENT
ROLL NO. 205
Following extensive discussion, Alderman Carls moved to waive reading
and adopt Resolution No. 8312. The motion was seconded by Alderman
Torgerson and carried four to one, with Mayor Ackland voting nay.
(e) RESOLUTION NO. 8313 - RESOLUTION REJECTING IMPROVEMENT - PROJECT
NO. 85-01-24
The motion was made by Alderman Torgerson, seconded by Alderman Miku-
lecky, to waive reading and adopt Resolution No. 8313. Motion carried
four to one, with Mayor Ackland voting nay.
(f) RESOLUTION NO. 8314 - RESOLUTION REJECTING IMPROVEMENT - ASSESSMENT
ROLL NO. 217
After considerable discussion regarding additional catch basins in the
northeast area of town, the motion was made by Alderman Mikulecky to
table Resolution No. 8314 and install two catch basins per the recom-
mendation of the City Engineer to alleviate the water problem. Motion
seconded by Alderman Carls. Alderman Torgerson moved to amend the mo-
tion to wait for catch basins until the City Engineer's report on Ninth
Street Northeast was ready. Amended motion seconded by Alderman Carls
and unanimously carried. The main motion failed, with Mayor Ackland
voting aye and Aldermen Carls, Mlinar, Torgerson and Mikulecky nay.
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CITY COUNCIL MINUTES - JUNE 24, 1986
Alderman Carls moved to waive reading and adopt Resolution No. 8314.
Motion seconded by Alderman Mikulecky and carried four to one, with
Mayor Ackland voting nay.
The City Engineer was directed by Alderman Carls to prepare a report
regarding the use of catch basins in the northeast area of town on
Tenth Street and other areas, with deliberate speed. Motion seconded
by Alderman Mlinar and carried unanimously.
(g) RESOLUTION NO. 8315 - RESOLUTION REJECTING IMPROVEMENT - PROJECT
NO. 86-07
The motion was made by Alderman Carls, seconded by Alderman Mikulecky,
to waive reading and adopt Resolution No. 8315. Motion carried four to
one, with Mayor Ackland voting nay.
RECESS: The City Council adjourned for a 10 -minute recess at 9:50 P.M.
(h) RESOLUTION NO. 8316 - RESOLUTION AUTHORIZING RELEASE OF SECURITIES TO
FIRST NATIONAL BANK OF HUTCHINSON, MINNESOTA
Alderman Carls moved to waive reading and adopt Resolution No. 8316.
Motion seconded by Alderman Torgerson and carried unanimously.
(i) ORDINANCE NO. 12/86 - AN ORDINANCE AMENDING SECTION 6.03 OF ZONING
ORDINANCES OF THE CITY OF HUTCHINSON ENTITLED "THE ZONING BOARD OF
APPEALS"
The motion was made by Alderman Torgerson, seconded by Alderman Miku-
lecky, to waive the second reading and adopt Ordinance No. 740. Motion
unanimously carried.
(j) ORDINANCE NO. 15/86 - AN ORDINANCE AMENDING SECTION 6.05 OF THE ZONING
ORDINANCES OF THE CITY OF HUTCHINSON ENTITLED "VARIANCES"
Alderman Torgerson moved to waive second reading and adopt Ordinance
No. 741. Motion seconded by Alderman Mlinar and carried unanimously.
(k) ORDINANCE NO. 16/86 - AN ORDINANCE AMENDING SECTION 6.08 OF THE ZONING
ORDINANCES OF THE CITY OF HUTCHINSON ENTITLED "PUBLIC HEARINGS"
The motion was made by Alderman Carls, seconded by Alderman Mikulecky,
to waive the second reading and adopt Ordinance No. 742. Motion car-
ried unanimously.
8. UNFINISHED BUSINESS
(a) CONSIDERATION OF REQUEST BY JUNKER SANITATION FOR RATE INCREASE
(DEFERRED JUNE 109 1986)
Alderman Torgerson stated that some of Jim Junker's records were not in
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CITY COUNCIL MINUTES - JUNE 24, 1986
agreement with the City records. He reviewed the landfill figures ob-
tained from the County and reported the basic cost per month per resi-
dential unit would be $1.14 and per Junker's contract. The $1.14 would
be the actual cost at the landfill.
The City Attorney commented the City needed documentation from Junker
showing the requested increase was for landfill cost and cost -of -living
increases.
Following discussion, Alderman Mikulecky moved to put the rate increase
at $1.50 per month, with a landfill increase of $1.14 and cost -of -
living increase of $0.36. Motion seconded by Alderman Carls and
failed, with Aldermen Carls and Mikulecky voting aye and Aldermen
Mlinar, Torgerson and Mayor Ackland voting nay.
Alderman Mlinar made the motion to increase the rate to $2.00. Motion
failed for lack of a second.
The motion was made by Alderman Torgerson to make the rate increase
$1.20 for landfill and $0.50 for cost -of -living increase for a total of
$1.70. Motion seconded by Alderman Mikulecky and carried four to one,
with Mayor Ackland voting nay.
(b) CONSIDERATION OF PLAN FOR CUL-DE-SAC AND DRIVE ON EAST FREEMONT FOR
GREENCASTLE PROJECT (DEFERRED JUNE 10, 1986)
It was reported the Greencastle Board had requested this item be de-
ferred. Alderman Torgerson moved to defer to July 22 Council meeting.
Motion seconded by Alderman Mlinar and unanimously carried.
Alderman Mikulecky asked for clarification regarding the cul-de-sac
mentioned in the June 11, 1985 Council minutes and stated the purchase
agreement between the City of Hutchinson and Greencastle did not make
reference to the cul-de-sac. City Attorney Schaefer will prepare a
report for the next Council packet.
(c) CONSIDERATION OF BIDS FOR GROUP HEALTH INSURANCE (DEFERRED 6-10-86)
Mr. Jim Mandel reported 12 carriers responded to the advertisement for
bids on life and health insurance. It was his recommendation for the
City to retain the present carrier, Minnesota Mutual, for life insur-
ance. Blue Cross/Blue Shield had reduced its premiums over $23,000,
and P.H.P. reduced the premiums $50,000. Mr. Mandel explained how a
health maintenance program worked. Mr. Jim Breitbach, representing,
P.H.P., further explained the P.H.P. system.
Assistant Clerk Merrill reported there were seven potential P.H.P.
agents located within the community. The City would prefer not to
name an agent at this time and work directly with P.H.P.
Following discussion, Alderman Carls moved to defer a decision until
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CITY COUNCIL MINUTES - JUNE 24, 1986
the second meeting in July and, in the interim, have a presentation of
the plan for reaction and input from the City employees. Motion sec-
onded by Alderman Torgerson and unanimously carried.
(d) CONSIDERATION OF BIDS FOR GROUP LIFE INSURANCE (DEFERRED 6-10-86)
This item was deferred to the July 22, 1986 Council meeting.
(e) CONSIDERATION OF LAWSUIT SETTLEMENT FOR CITY OF HUTCHINSON VS. RANDALL
REID (FIRE TRUCK ACCIDENT)
Following discussion, Alderman Torgerson moved to not accept the 75%
settlement offer. Alderman Mlinar seconded the motion and unanimously
carried.
(f) CONSIDERATION OF WATER SERVICE REPAIR FOR MIKE'S MOBIL NORTH
It was noted that in the past the City had paid the costs for repair
work on the service leads between the main and the property line.
Following discussion, Alderman Torgerson made the motion that the City
pick up the $1,706.06 cost. Motion seconded by Alderman Mikulecky and
carried unanimously.
(g) CONSIDERATION OF ADDITIONAL STUDY BY RCM FOR WATER NEEDS UPDATE
Director of Engineering Priebe reported that an additional study to
determine the feasibility of utilizing the emergency generator at the
present sewage treatment plant for stand-by service at the water plant
would cost about $700.
After discussion, the motion was made by Alderman Carls, seconded by
Alderman Torgerson, to approve the $700 cost for the RCM study. Motion
carried three to two, with Aldermen Carls, Torgerson and the Mayor vot-
ing aye and Aldermen Mlinar and Mikulecky voting nay.
9. NEW BUSINESS
(a) CONSIDERATION OF DELINQUENT WATER AND SEWER ACCOUNTS
Alderman Carls moved to authorize discontinuation of service as recom-
mended unless other arrangements had been made. Motion seconded by
Alderman Torgerson and carried unanimously.
(b) CONSIDERATION OF APPROVAL TO REMODEL HOSPITAL BUSINESS OFFICE
Mr. Bill Rosenow presented the hospital's proposal to remodel the busi-
ness office area at an approximate cost of $65,000. Following discus-
sion, Alderman Carls moved to approve the remodeling. Motion seconded
by Alderman Mlinar and unanimously carried.
(c) CONSIDERATION OF PROPERTY AND CASUALTY INSURANCE RENEWAL
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CITY COUNCIL MINUTES - JUNE 249 1986
Mr. Dennis Potter, agent from Insurance Planners, presented insurance
proposals from the League of Minnesota Cities and First Valley View for
property and casualty insurance coverage. He pointed out there was no
coverage for the dam in the League's proposal. A third proposal from
Penco will be forthcoming in the next day or two; however, Mr. Potter
recommended accepting the League's quote of $429,456.
After discussion, the motion was made by Alderman Torgerson to accept
the League's proposal, with the stipulation that if Penco's proposal
is more competitive the City Administrator, Finance Director, the Mayor
and the Insurance Consultant Mark Flaten are authorized to accept it.
Motion seconded by Alderman Mlinar and unanimously carried.
(d) CONSIDERATION OF SUBDIVISION AGREEMENT FOR TARADIDDLE ACRES
The motion was made by Alderman Torgerson, seconded by Alderman Carls,
to approve the subdivision agreement for Taraddidle Acres. Motion car-
ried unanimously.
(e) CONSIDERATION OF SUBDIVISION AGREEMENT FOR STILLINGS-HOEFT ADDITION
Alderman Mlinar moved to approve the subdivision agreement for Still-
ings-Hoeft Addition. Motion seconded by Alderman Torgerson and unani-
mously carried.
(f) CONSIDERATION OF SUBDIVISION AGREEMENT FOR NORTHERN VIEW ACRES
It was moved by Alderman Mi ku 1 ecky, seconded by Alderman Mlinar, to
approve the subdivision agreement for Northern View Acres. Motion car-
ried unanimously.
(g) CONSIDERATION OF SPLITTING LOT 7, BLOCK 1, SCHMIDTBAUER'S SECOND
ADDITION
City Engineer Priebe reported a zero lot line concept was involved and
did not require City Council approval.
After discussion, Alderman Carls moved to approve splitting the lot in
Schmidtbauer's Second Addition. Motion seconded by Alderman Mlinar and
carried unanimously.
(h) CONSIDERATION OF REQUEST FOR DEFERRED ASSESSMENTS ON IMPROVEMENTS IN
PLACE FOR LOT 6 OF PADENS FIRST ADDITION
The motion was made by Alderman Carls to defer action for more informa-
tion to the July 8 Council meeting. Motion seconded by Alderman Mlinar
and unanimously carried.
City Attorney Schaefer questioned whether the City could defer assess-
ments already being paid. He quoted from M.S.S. 429.061, Subd. 2.
Alderman Carls moved to reconsider agenda item 9-H. Motion seconded by
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CITY COUNCIL MINUTES - JUNE 249 1986
Alderman Torgerson and carried unanimously.
Alderman Torgerson moved to deny the request on the basis of M.S.S.
429.061, Subd. 2. Alderman Carls seconded the motion and unanimously
carried.
(i) CONSIDERATION OF DRAINAGE IMPROVEMENTS FOR ROBERTS FIRST ADDITION
Following discussion regarding a storm sewer on Larson Street, Alder-
man Carls moved to invite the property owners to the Council meeting
of July 22 for discussion of the project. Motion seconded by Alderman
Mlinar and carried unanimously.
(j) CONSIDERATION OF WHETHER OR NOT TO RESEARCH,A RENTAL HOUSING ORDINANCE
Engineer Priebe reported the Planning Commission had discussed the pos-
sibility of a rental housing ordinance and wanted the Council's direc-
tion on pursuing the study. The City of Owatonna already has such an
ordinance. Alderman Torgerson moved to proceed with the study. Motion
seconded by Alderman Mlinar and unanimously carried.
(k) CONSIDERATION OF WOODRIDGE PRELIMINARY PLAT SUBMITTED BY PAT MIKULECKY
AND KEVIN COMPTON WITH FAVORABLE RECOMMENDATION OF PLANNING COMMISSION
Alderman Mikulecky excused himself from the Council table and joined
the audience.
Following discussion, Alderman Torgerson moved to approve the recommen-
dation of the Planning Commission and to waive reading and adopt Reso-
lution No. 8309. Motion seconded by Alderman Carls and unanimously
carried 4 to 0.
(1) CONSIDERATION OF PRELIMINARY PLAT OF PLAZA HEIGHTS SUBMITTED BY
CITIZEN'S BANK OF GIBBON, STATE BANK OF MORGAN AND FIRST STATE BANK
OF BROWNTON (LARRY HERRMANN AND DENNIS ALBERTSON) WITH FAVORABLE
RECOMMENDATION OF PLANNING COMMISSION
Following discussion of layout and entrances into the development, the
motion was made by Alderman Mlinar to defer the item until the City At-
torney has a decision on the front entrances proposed. Motion seconded
by Alderman Torgerson and carried unanimously.
(m) CONSIDERATION OF VACATION OF PORTION OF COLORADO STREET AS PETITIONED
BY TYRONE HELLAND WITH UNFAVORABLE RECOMMENDATION OF PLANNING
COMMISSION
Alderman Carls moved to uphold the Planning Commission's decision and
reject the vacation. Motion seconded by Alderman Torgerson and unani-
mously carried.
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CITY COUNCIL MINUTES - JUNE 249 1986
(n) CONSIDERATION OF FINAL PLAT OF STILLINGS-HOEFT ADDITION WITH FAVORABLE
RECOMMENDATION OF PLANNING COMMISSION
The motion was made by Alderman Mikulecky, seconded by Alderman Carls,
to approve the final plat and waive reading and adopt Resolution No.
8311. Motion carried four to one, with Alderman Mlinar voting nay.
The City Engineer raised a question regarding Graham Street having only
one entrance into the subdivision.
(o) CONSIDERATION OF SKETCH PLAN AS SUBMITTED BY DONALD SITZ TO COUNTY
(WITHIN TWO MILE RADIUS) WITH NO OBJECTION FROM PLANNING COMMISSION
Alderman Carls moved to recommend the sketch plan to the County with no
objection. Motion seconded by Alderman Torgerson. Engineer Priebe
stated the City staff recommended approval of the concept but not of
the layout, and he would like to see a layout of total Sitz property
with the preliminary plat. Alderman Carls amended the motion to pass
on staff concerns to the County. Amended motion seconded by Alderman
Mikulecky and carried unanimously. Main motion unanimously carried.
(p) CONSIDERATION OF FINAL PLAT OF TARADIDDLE ACRES SUBMITTED TO COUNTY
(WITHIN TWO MILE RADIUS) WITH NO OBJECTION FROM PLANNING COMMISSION
The motion was made by Alderman Torgerson, seconded by Alderman Carls,
to recommend the final plat to the County with no objection. Motion
carried unanimously.
(q) CONSIDERATION OF FINAL PLAT OF NORTHERN VIEW ACRES SUBMITTED TO COUNTY
WITHIN TWO MILE RADIUS) WITH NO OBJECTION FROM PLANNING COMMISSION
Alderman Torgerson made the motion to recommend the final plat to the
County with no objection. Alderman Carls seconded the motion and car-
ried unanimously.
(r) CONSIDERATION OF VACATION OF UTILITY EASEMENT AS PETITIONED BY GARY
MILLER WITH FAVORABLE RECOMMENDATION OF PLANNING COMMISSION
The motion was made by Alderman Carls to approve the vacation of
utility easements and to waive first reading of Ordinance No. 17186 and
set the second reading for July 8, 1986. Motion seconded by Alderman
Torgerson and unanimously carried.
10. MISCELLANEOUS
(a) COMMUNICATIONS FROM ASSISTANT CITY CLERK
Assistant City Clerk Merrill reported a meeting would be held on Mon-
day to review the plans for the police station project. City staff
will be reviewing the discharge permits of the four industries for the
wastewater treatment plant which were received from Donohue.
CITY COUNCIL MINUTES - JUNE 24, 1986
Mr. Merrill pointed out there could be a potential loss of funding for
the proposed wastewater treatment plant if the Clean Water Act was not
extended by Legislature. Alderman Carls moved that City staff send a
letter to all Senators and Representatives in the House requesting sup-
port of the Clean Water Act. Motion seconded by Alderman Mlinar and
carried unanimously.
(b) COMMUNICATIONS FROM MAYOR PAUL L. ACKLAND
Mayor Ackland inquired if the City would like to be one of the sponsors
of the "Business After Hours" event scheduled for July 16 at the Vic-
torian Inn. A financial contribution of $50 would be required. It was
suggested that the Directors could be available to answer questions
about their various departments. After discussion, it was the consen-
sus of the Council to obtain the Directors' opinions before committing
the City.
(c) COMMUNICATIONS FROM DIRECTOR OF ENGINEERING
Engineer Priebe reported the preliminary work for a boundary survey of
the police station site had been completed. It was his recommendation
to hire Pel linen Land Surveying to do an independent boundary survey
for a cost of approximately $200-300. Alderman Mlinar moved that the
survey be done by Pellinen Land Surveying and be paid for from the con-
struction cost budget. Motion seconded by Alderman Mikulecky and car-
ried unanimously.
The City Engineer made reference to a letter received from a property
owner east of the railroad spur regarding a drainage problem. There
are two ditch problems, and the Engineering Department is considering a
tile line to the area. The $2,000 cost would be included in the rail-
road project cost. The motion was made by Alderman Carls to approve
the tile line. Motion seconded by Alderman Mlinar and carried, with
Alderman Mikulecky abstaining.
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 12:30 P.M.
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