04-08-1986 CCMLl
MINUTES
REGULAR MEETING - HUTCHINSON CITY COUNCIL
TUESDAY, APRIL 8, 1986
1. The meeting was called to order by M ayor Ackland at 7:30 P.M. The follow-
ing were present: Alderman Mike Carls, Alderman John Mlinar, Alderman Mar-
lin
ar-
1in Torgerson, Alderman Pat M i ku 1 ecky and Mayor Paul L. Ackland. Also
present: City Administrator Gary D. Plotz, City Attorney James Schaefer, and
Assistant Engineer Cal Rice.
2. INVOCATION
No pastor was present for the invocation.
3. MINUTES
The minutes of the regular meeting of March 25, 1986 and special meetings of
March 31, 1986 and April 1, 1986 were approved as distributed.
4. ROUTINE ITEMS
(a) REPORTS OF OFFICERS, BOARDS AND COMMISSIONS
1. BUILDING OFFICIAL'S REPORT - MARCH 1986
(b) CONSIDERATION OF APPOINTMENTS TO BUILDING CODE BOARD OF APPEALS
(c) CONSIDERATION OF REQUEST FOR STREET LIGHTS ON WEST SIDE OF CLIFTON
HEIGHTS
(d) CONSIDERATION OF RELEASE OF PLEDGED SECURITIES FROM CITIZENS BANK &
TRUST CO.
Alderman Torgerson moved to order the report filed, ratify the appoint-
ments, refer the street light request to Hutchinson Utilities, and ap-
prove the release and waive reading and adopt Resolution No. 8265. Mo-
tion seconded by Alderman Mlinar and unanimously carried.
5. PUBLIC HEARING - 8:00 P.M.
(a) ASSESSMENT ROLL NO. 208
Mayor Ackland called the hearing to order at 8:00 P.M. No one was
present, and Alderman Torgerson moved to close the hearing at 8:01 P.M.
Motion seconded by Alderman Mlinar and carried unanimously.
The motion was made by Alderman Mlinar, seconded by Alderman Torgerson,
to approve assessment roll No. 208 and to waive reading and adopt Reso-
lution No. 8263. Motion unanimously carried.
(b) IMPROVEMENT PROJECT NO. 86-03A - COLORADO CIRCLE
Mayor Ackland called the hearing to order at 8:02 P.M. No one was
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CITY COUNCIL MINUTES - APRIL 8, 1986
present to be heard. Alderman Mlinar moved to close the hearing at
8:03 P.M. Motion seconded by Alderman Torgerson and carried unani-
mously.
During discussion City Attorney Schaefer stated it was not necessary to
have a final plat prior to approval of the improvement project. It was
his recommendation that the City Council might want to amend the sub-
division ordinance.
It was moved by Alderman Torgerson, seconded by Alderman Mikulecky, to
approve improvement project No. 86-03A and to waive reading and adopt
Resolution No. 8262. Motion unanimously carried.
(c) IMPROVEMENT PROJECT NO. 86-06 - NORTHWOODS AVENUE
Mayor Ackland called the hearing to order at 8:07 P.M.
Pastor Tim Maland, 855 Spruce, stated he was in favor of the project
and thought it was long over -due. He commented he was appalled at the
increase in his neighbor's cost. Approximately 20 years ago the street
was to continue on, but the work was never done.
It was reported that Merrill Lipke, 455 Northwoods Avenue, had paid for
a street base. He was given credit for the previous assessment payment
and was now being assessed for the proposed improvement project. Mr.
Lipke never had the same street as the other property owners.
Alderman Carls requested information for the next Council meeting on
what improvements the property owners were assessed.
Alderman Torgerson moved to close the hearing at 8:12 P.M. Motion sec-
onded by Alderman Mlinar and carried unanimously.
The motion was made by Alderman Torgerson to approve improvement proj-
ect No. 86-06 and to waive reading and adopt Resolution No. 8260. Mo-
tion seconded by Alderman Mlinar and unanimously carried.
(d) IMPROVEMENT PROJECT NO. 86-07 - NINTH AVENUE STORM SEWER
Mayor Ackland called the hearing to order at 8:13 P.M.
Mr. Lyndon Furst, principal of Maplewood Academy, stated the Academy
would not benefit from the project but instructed the Council to pro-
ceed with the work. The Academy would pay the amount assessed and
hoped it would resolve the water problem in the area of the Academy.
Mr. Furst inquired about the assessment for County Ditch 18 inasmuch as
the Academy had not used it for a number of years and had petitioned
the County Commissioners to use ditch 31 instead.
Commissioner Howard Christensen reported there was objection from some
neighbors; therefore, the Academy's petition for ditch 31 was removed,
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CITY COUNCIL MINUTES - APRIL 8, 1986
and they were put back on ditch 18.
The motion was made by Alderman Torgerson to close the hearing at 8:20
P.M. Motion seconded by Alderman Mikulecky and carried unanimously.
Alderman Carls moved to approve improvement project No. 86-07 and to
waive reading and adopt Resolution No. 8261. Motion seconded by Alder-
man Torgerson and carried unanimously.
(e) CONSIDERATION OF AMENDING CABLE TELEVISION FRANCHISE AGREEMENT BETWEEN
CITY OF HUTCHINSON AND NORTH AMERICAN COMMUNICATIONS CORPORATION
Mr. Barry Anderson reported that subsequent to the March 25, 1986 Coun-
cil meeting, a meeting was held with the cable television franchise,
holder. It was agreeable with the holder to increase the franchise fee
from three percent to five percent, with a subscriber basic rate in-
crease of $1 per month. Mr. Anderson recommended that the franchise
fee be split equally between the City of Hutchinson and public access
channel 10 (2-1/2% each).
Mr. Hubertus Sarrazin, Vice -President of North American Communications
Corporation, pointed out that effective January 1, 1987 the rates would
be deregulated. Therefore, the company would be allowed to increase
the rates to whatever the market would bear.
Alderman Mlinar moved to close the hearing at 8:30 P.M. Motion sec-
onded by Alderman Torgerson and unanimously carried.
The motion was made by Alderman Carls to approve the amendment, with
the change in the amendment being that the five percent franchise fee
be split three percent and two percent. Motion seconded by Alderman
Mikulecky and failed four to one, with Alderman Car1s voting aye and
Aldermen Mlinar, Torgerson, Mikulecky and Mayor Ackland voting nay.
After discussion, Alderman Carls moved to approve the amendment as pre-
sented to the City Council (2-1/2% each) and to waive first reading of
Ordinance No. 10/86 and set second reading April 22, 1986. Motion sec-
onded by Alderman Mlinar and carried unanimously.
6. COMMUNICATIONS, REQUESTS AND PETITIONS
(a) CONSIDERATION OF REQUEST FOR DIRECTOR OF ENGINEERING TO ATTEND APWA
SPRING CONFERENCE MAY 15-16, 1986
Alderman Mlinar moved to approve the request. Motion seconded by Ald-
erman Torgerson and unanimously carried.
(b) CONSIDERATION OF REQUEST BY CIVIC GROUPS TO INSTALL TWO BANNER POLES ON
MAIN STREET
The motion was made by Alderman Carls, seconded by Alderman Torgerson,
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CITY COUNCIL MINUTES - APRIL 8, 1986
to approve the installation. Motion carried unanimously.
(c) CONSIDERATION OF ATTENDANCE AT LEAGUE OF CITIES CONFERENCE -
JUNE 17-20, 1986
Alderman Torgerson moved to approve attendance. Motion seconded by
Alderman Carls and unanimously carried.
(d) CONSIDERATION OF COMPLAINT REGARDING LITTERING OF PROPERTY AT JEFFERSON
STREET
It was reported this issue had been discussed at the special Council
meeting on April 7, 1986. The owner will be cleaning up the area. No
action taken.
(e) CONSIDERATION OF ABANDONED HOME ON ROBERTS ROAD
During discussion it was pointed out that the abandoned house on
Roberts Road was a hazardous structure. It was suggested the building
be boarded up with a snow fence around the property.
The motion was made by Alderman Mlinar, seconded by Alderman Carls, to
instruct the Building Official to take care of this matter. Motion
unanimously carried.
7. RESOLUTIONS AND ORDINANCES
(a) ORDINANCE NO. 9/86 - RULES AND REGULATIONS FOR OAKLAND CEMETERY
Alderman Torgerson moved to waive second reading and adopt Ordinance
No. 735. Motion seconded by Alderman Mikulecky and unanimously car-
ried.
(b) RESOLUTION NO. 8251 - RESOLUTION ACCEPTING $75,000 FROM HUTCHINSON
UTILITIES COMMISSION
The motion was made by Alderman Carls, seconded by Alderman Mlinar, to
waive reading and adopt Resolution No. 8251. Motion carried unani-
mously.
(c) RESOLUTION NO. 8252 - RESOLUTION RELATING TO $1,075,000 GENERAL
OBLIGATION IMPROVEMENT BONDS OF 1986; AUTHORIZING THE ISSUANCE AND
PROVIDING FOR THE PUBLIC SALE THEREOF
Bond Consultant Bill Fahey presented a report on interest rates for
five, 10 and 15 year bond sales. It was his recommendation to approve
a 15 year bond sale.
It was the consensus of the Council members for Mr. Fahey to present a
more detailed breakdown on a 10 and 15 year bond sale at a special
meeting scheduled for April 10, 1986 at 5:30 P.M.
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CITY COUNCIL MINUTES - APRIL 8, 1986
Following discussion, Alderman Torgerson moved to waive reading and
adopt Resolution No. 8252. Motion seconded by Alderman Mlinar and car-
ried unanimously.
(d) RESOLUTION NO. 8253 - A RESOLUTION CALLING FOR A SPECIAL ELECTION
It was the consensus of the Council to change the special election date
from May 20, 1986 to May 13, 1986. Also, several Council members felt
the dollar amount of the excess funds should be listed in the question
on the ballot.
Alderman Mikulecky moved to waive reading and adopt amended Resolution
No. 8253 with the change of the 1981 fund date stated by the City At-
torney and to have the excess funds substituted with the actual amount
at the date of the election. Motion seconded by Alderman Torgerson and
carried unanimously.
(e) RESOLUTION NO. 8264 - RESOLUTION SETTING ELECTION, TIME, PLACE
LOCATIONS OF PRECINCTS, AND APPOINTING OF JUDGES FOR THE CITY SPECIAL
ELECTION
The motion was made by Alderman Torgerson, seconded by Alderman Mlinar,
to waive reading and adopt Resolution No. 8264. Motion unanimously
carried.
8. UNFINISHED BUSINESS
(a) CONSIDERATION OF AWARDING BIDS FOR LETTINGS NO. 1, 2, 3, 4 AND 5
(DEFERRED JANUARY 21, 1986)
Following discussion, Alderman Mikulecky moved to approve and award
contracts and to waive readings and adopt Resolutions No. 8255, No.
8256, No. 8257, No. 8258 and No. 8259. Alderman Mlinar seconded the
motion and carried unanimously.
(b) CONSIDERATION OF 1986 LEASE FOR SENIOR NUTRITION PROGRAM
City Administrator Plotz reported the City had received a new lease
proposal for the senior nutrition program. It was pointed out that the
lease did not include use of office space which was being used in the
Senior Center.
After discussion, the motion was made by Alderman Torgerson to offer a
counter proposal of half way between the proposal in the amount of
$2,426 and use of office space at no charge. Motion seconded by Alder-
man Mlinar and unanimously carried.
(c) CONSIDERATION OF AWARDING BID FOR RAILROAD TRACK
(DEFERRED APRIL 2, 1986)
Attorney Ronald McGraw reported two easements for railroad right-of-way
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CITY COUNCIL MINUTES - APRIL 8, 1986
from the Farmers Elevator Association and Hutchinson Utilties Commis-
sion were ready to be signed. Mr. Eugene Daggett was willing to give
the easement; however, he did not intend to pay assessments for future
improvement projects and/or real estate property taxes that may be lev-
ied against the property. The owner of Dakota Rail agreed to pay the
taxes as long as the property was used for railroad purposes. Mr. Dag-
gett was also including an easement for a service road along the front
portion of his property on Highway 7 and 22 West, with no assessments
charged against the property.
Following lengthy discussion, it was the consensus of the Council to
award the contract for both the connector track and spur line.
Alderman Torgerson moved to approve and award the contract to Railroad
Services for the amount of $161,015, using 9030 rail, contingent upon
receiving all easements by the special meeting on April 10. Motion
seconded by Alderman Mlinar and carried, with Alderman Mikulecky ab-
staining from voting.
RECESS: The City Council took a recess at 10:22 P.M.
9. NEW BUSINESS
(a) CONSIDERATION OF CITY COMPOSTE PROJECT IN FALL 1986
Alderman Carls moved to defer this item until the next meeting for
someone to present additional information about the project. Motion
seconded by Alderman Mlinar and unanimously carried.
(b) CONSIDERATION OF RIGHT-OF-WAY AND FINAL DESIGN OF CUL-DE-SAC ON
FREEMONT AVENUE FOR GREENCASTLE PROJECT
It was stated that action on this matter was to verify there would be a
cul-de-sac on Freemont Avenue and that it would be paid for at the
builder's expense.
Alderman Torgerson moved that the cul-de-sac be a "fact" and to proceed
with the final design. Motion seconded by Alderman Carls and carried
unanimously.
(c) CONSIDERATION OF CITY INVOLVEMENT FOR NEW FENCE ALONG EAST BOUNDARY OF
GOPHER CAMPFIRE PROPERTY
Dr. Virgil Voight and Skip Quade requested the Council to approve the
expenditure of $3,300 for a fence along the east boundary of Gopher
Campfire's property at the sanctuary.
Following discussion, the motion was made by Alderman Carls, seconded
by Alderman Mlinar, to appropriate $3,300 to assist in construction of
fence. Motion unanimously carried.
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CITY COUNCIL MINUTES - APRIL 8, 1986
(d) CONSIDERATION OF GRANTING TEMPORARY CONSTRUCTION EASEMENT TO MINNESOTA
DEPARTMENT OF TRANSPORTATION
City Administrator Plotz explained MN/DOT needed the easement for a
temporary service road during construction along Highway 7/22 West.
The project will be let for bids July 1986.
After discussion, Alderman Torgerson moved to notify the property
owners along Highway 7 West of the proposed MN/DOT plans. Motion sec-
onded by Alderman Mikulecky and carried unanimously.
It was moved by Alderman Mlinar to approve the temporary construction
easement and waive reading and adopt Resolution No. 8254. Motion
seconded by Alderman Torgerson and unanimously carried.
(e) CONSIDERATION OF POLICY FOR MERIT GUIDELINES
Following discussion, Alderman Torgerson moved to approve the policy.
Motion seconded by Alderman Carls. Alderman Mikulecky moved to amend
the motion from 4% to "up to 3%" and from 2% to "1-1/2%% There was no
second, and the amended motion failed. The main motion carried unani-
mously.
10. MISCELLANEOUS
(a) COMMUNICATIONS FROM CITY ADMINISTRATOR
City Administrator Plotz reported he had met with the property owner of
the proposed police station site. He reviewed the negotiation terms of
$90,000 for both parcels of land and waiver of relocation benefits,
with a four or five year contract for deed.
Alderman Mlinar moved to authorize the City Administrator to present
the purchase agreement to Mrs. Goeders. Motion seconded by Alderman
Torgerson and carried unanimously.
It was reported that city staff will be meeting with Donohue represen-
tatives regarding Phase III of the treatment plant. The City Council
will be receiving a proposal.
(b) COMMUNICATIONS FROM ALDERMAN MIKE CARLS
Alderman Carls commented on the increased rent for leasing the Hutchin-
son Community Development Corporation office space from the Chamber of
Commerce.
(c) COMMUNICATIONS FROM ALDERMAN JOHN MLINAR
Alderman Mlinar inquired about the Donohue proposal to update the water
needs report. City Administrator Plotz commented that Donohue's mini-
mum fee would be $5,000; therefore, the City should proceed with RCM's
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CITY COUNCIL MINUTES - APRIL 8, 1986
proposal.
The water problem on Joe Wesley's property located on Larson Street has
reached the point where the ground is saturated with water. It was
suggested that the City Engineer review the matter again.
(d) COMMUNICATIONS FROM ALDERMAN PAT MIKULECKY
Alderman Mikulecky inquired about the status of the off-street parking
lot assessment appeals. He felt it should be resolved as soon as pos-
sible.
The suggestion was made that the common street address be included with
the legal description when public hearing notices are published in the
newspaper.
Mr. Russ Meade had expressed a complaint regarding the sidewalk on
Hassan Street. The sidewalk was put in last year, and now it is being
taken out this year for street construction. Two years ago Mr. Meade
was assessed for improvements. It was the consensus of the Council to
direct the City Administrator to contact the contractor to delay the
removal of the sidewalk until such time as it had been reviewed with
the Director of Engineering.
11. CLAIMS, APPROPRIATIONS AND CONTRACT PAYMENTS
(a) VERIFIED CLAIMS
The motion was made by Alderman Carls, seconded by Alderman Torgerson,
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 11:55 P.M.