01-28-1986 CCMMINUTES
REGULAR MEETING - HUTCHINSON CITY COUNCIL
TUESDAY, JANUARY 28, 1986
1. The meeting was called to order by Mayor Ackland at 7:30 P.M. The follow-
ing were present: Alderman Mike Carls (arrived at 8:00 P.M.), Alderman John
M l i nar, Alderman Marlin Torgerson, Alderman Pat M i ku 1 ecky, and Mayor Paul L.
Ackland. Also present: City Administrator Gary D. Plotz, Director of En-
gineering Marlow V. Priebe, and City Attorney James Schaefer.
2. INVOCATION
The invocation was given by the Reverend Kenneth Veal.
3. MINUTES
The minutes of the bid openings of January 9, 1986 and January 21, 1986 were
approved as distributed and the minutes of the regular meeting of January
14, 1986 were approved as amended.
4. ROUTINE ITEMS
(a) REPORTS OF OFFICERS, BOARDS AND COMMISSIONS
1. FINANCIAL REPORT - DECEMBER 1985
2. PLANNING COMMISSION MINUTES DATED DECEMBER 17, 1985
3. NURSING HOME BOARD MINUTES DATED NOVEMBER 21, 1985 AND
DECEMBER 19, 1985
4. LIBRARY BOARD MINUTES DATED JANUARY 14, 1986
(b) APPOINTMENT OF REV. GERRIT MOLENAAR TO HHRA
(c) CONSIDERATION OF REQUEST FOR REDUCED TRASH AND REFUSE RATES BY
IVER HANSON
Alderman Torgerson moved to file the report and minutes and to ap-
prove the request for a reduced rate. Motion seconded by Alderman
Mikulecky and unanimously carried.
Alderman Mlinar moved to ratify the appointment of Rev. Gerrit Mole-
naar to the HHRA. Motion seconded by Alderman Torgerson and carried
unanimously.
5. PUBLIC HEARING - 8:00 P.M.
(a) CONSIDERATION OF APPLICATION FOR STATE FUNDING UNDER SMALL CITIES
ECONOMIC DEVELOPMENT PROGRAM - TY'S METAL FINISHING, INC.
Mayor Ackland called the public hearing to order at 8:00 P.M.
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CITY COUNCIL MINUTES - JANUARY 28, 1986
Community Development Director John Bernhagen explained the background
of the proposed project and the impact on the community if the business
closed. Mr. Dick Desens desired to purchase Ty's Metal Finishing to
keep it in operation, and he had an option to purchase. It was re-
quested that the City Council approve an application for state funding
of $1209000 under the Small Cities Economic Development Program. If
approved, this would be the first such grant in McLeod County, Region
6-E and/or Hutchinson.
Mr. Dick Desens stated he was short of equity and needed additional
funds to help pay for the purchase of Ty's Metal Finishing. The sav-
ings from low interest money would make the operation more viable.
The motion was made by Alderman Mlinar to close the hearing at 8:16
P.M. Motion seconded by Alderman Torgerson and unanimously carried.
Alderman M1inar moved to approve the application for state funding and
to waive reading and adopt Resolution No. 8214. Motion seconded by
Alderman Mikulecky and carried unanimously.
6. COMMUNICATIONS, REQUESTS AND PETITIONS
(a) CONSIDERATION OF STATUS REPORTS BY CITY ATTORNEY:
1. KLOCKMANN PROPERTY
City Attorney Schaefer stated he had sent a letter to Mr. Klockmann
regarding the two month timeframe to clean up his property.
2. GUTORMSON PROPERTY
City Attorney Schaefer stated there was nothing to report at this time.
(b) REPORT BY CITY ATTORNEY ON ROBERT MCGEE PRE-TRIAL CONFERENCE
It was reported that the City Attorney had attended a pre-trial con-
ference this afternoon regarding the lawsuit against the City by Robert
McGee. A trial was scheduled for March 26, 1986. Attorney Bill Haas
presented a proposed settlement that the City waive collection of the
1985 refuse charges and refund 50 percent of the 1981 through 1984 re-
fuse charges. This would amount to a reduction in charges of $196.94
for 1985 and $136.85 for the years 1981 through 1984. It was the City
Attorney's opinion that Junker Sanitation should be involved inasmuch
as the fees collected had been turned over to their company. Attorney
Schaefer felt it was in the City's best interest to settle the matter
out of court.
Following discussion, Alderman Torgerson moved to defer to the next
meeting and to direct the City Attorney to contact Junker Sanitation.
Motion seconded by Alderman Mlinar and unanimously carried.
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(c) REPORT BY CITY ATTORNEY ON STATUS OF BENJAMIN-NEMITZ AND CITY OF
HUTCHINSON PARKING LOT DISPUTE
It was reported that Mayor Ackland, City Attorney James Schaefer and
Attorney Ronald McGraw met to discuss settlement on the parking lot
dispute. Attorney McGraw will prepare a written agreement for Council
consideration at its next meeting; however, a court case will be sched-
uled for the first week in February.
After discussion, Alderman Torgerson moved to defer this item to the
next Council meeting. Motion seconded by Alderman Mlinar and carried
unanimously.
(d) DISCUSSION OF MISSED REFUSE PICK UP FOR RICHARD DANIELSON
City Administrator Plotz presented background information on the missed
refuse pick up. Mr. Danielson did not notify the City within a 24 hour
period as was required and did not wish to appear before the Council.
Following discussion, Alderman Mlinar moved to deny the request for a
refund. Motion seconded by Alderman Torgerson and unanimously carried.
(e) REPORT FROM FINANCE DIRECTOR ON 1986 STATE FISCAL CRISIS
Finance Director Merrill reported on a recent Coalition of Outstate
Cities meeting attended by Mayor Ackland, Administrator Gary Plotz and
himself. Governor Rudy Perpich was present, and his proposed budget
cuts affecting cities were addressed. Mr. Merrill pointed out the im-
pact on Hutchinson would result in a 8.1% reduction of local govern-
ment aid amounting to $69,700 and a 8.78% reduction of homestead credit
amounting to $26,900, for a total proposed cut of $96,600.
Mr. Merrill's recommendations for
balance of the contingency account
view their general fund budget for
balance as a last resort.
7. RESOLUTIONS AND ORDINANCES
the general fund were to reserve the
at this time, ask directors to re -
possible cuts, and to use the fund
(a) RESOLUTION NO. 8198 - RESOLUTION FOR PURCHASE
Alderman Mikulecky moved to waive reading and adopt Resolution No.
8198. Motion seconded by Alderman Mlinar.
Finance Director Merrill requested the addition of purchasing a 6" pump
for the wastewater plant from Water Products Company in the amount of
$7,900.
The motion was amended by Alderman Torgerson to include the pump, sec-
onded by Alderman Mikulecky, and amended motion unanimously carried.
The main motion carried unanimously.
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CITY COUNCIL MINUTES - JANUARY 28, 1986
(b) ORDINANCE NO. 1/86 - AN ORDINANCE AMENDING SECTION 225 OF THE
ORDINANCES OF THE CITY OF HUTCHINSON ENTITLED "GARBAGE AND REFUSE
DEPARTMENT"
Alderman Torgerson moved to waive second reading and adopt Ordinance
No. 729. Motion seconded by Alderman Mikulecky and unanimously car-
ried.
(c) RESOLUTION NO. 8216 - TRANSFERRING $19,800 FROM 1980 TAX INCREMENT
DEBT SERVICE FUND TO 1982 TAX INCREMENT DEBT SERVICE FUND
Alderman Mlinar moved to waive reading and adopt Resolution No. 8216.
Motion seconded by Alderman Torgerson and carried unanimously.
(d) ORDINANCE NO. 2/86 - AN ORDINANCE AMENDING SECTION 1022 OF THE
ORDINANCES OF THE CITY OF HUTCHINSON ENTITLED "CITY TREE ORDINANCE"
Alderman Torgerson moved to waive first reading of Ordinance No. 2/86
and set second reading February 11, 1986. Motion seconded by Alder-
man Carls and unanimously carried.
(e) ORDINANCE NO. 3/86 - AN ORDINANCE TO ESTABLISH A "BUILDING CODE BOARD
OF APPEALS" AND TO DEFINE ITS DUTIES AND MEMBERSHIP
Alderman Carls moved to waive first reading of Ordinance No. 3/86 and
set second reading February 11, 1986. Motion seconded by Alderman
Mlinar and carried unanimously.
8. UNFINISHED BUSINESS
(a) CONSIDERATION OF CHANGE ORDER NO. 1 FOR 1985 RAILROAD SPUR AND
CONNECTOR TRACK GRADING AND GRAVEL SUB -BASE PROJECT
(DEFERRED JANUARY 14, 1986)
Director of Engineering Priebe reported that backhoe excavating was
necessary on the grading project. This work was not part of the orig-
inal bid, and change order No. 1 covered the cost of $1,580.
Following discussion, Alderman Carls moved to approve change order
No. 1. Motion seconded by Alderman Mlinar and carried unanimously.
(b) CONSIDERATION OF ASSESSMENT STATEMENT FOR 1986 LEGISLATIVE SERVICES
FROM COALITION OF OUTSTATE CITIES
After discussion, Alderman Carls moved to approve paying the 1986
assessment statement for $1,896 to the Coalition of Outstate Cities,
contingent upon the Finance Director cutting another area in equal
amount to come up with the money. Alderman Torgerson seconded the
motion, and it unanimously carried.
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CITY COUNCIL MINUTES - JANUARY 28, 1986
(c) DISCUSSION OF ASCAP LICENSE FOR HUTCHINSON CIVIC ARENA
(REQUESTED BY ALDERMAN MIKE CARLS)
Alderman Carls commented that the Council action taken at the last
meeting to reject the ASCAP license was wrong and recommended rein-
stating music at the civic arena. The motion was made by Alderman
Carls to pay the $225 ASCAP fee as recommended by City staff. Motion
seconded by Alderman Mikulecky and carried unanimously.
(d) CONSIDERATION OF PURCHASING RUGS FOR RECREATION CENTER
(DEFERRED JANUARY 14, 1986)
Following discussion, Alderman Torgerson moved to approve the purchase
of rugs. Motion seconded by Alderman Mlinar and unanimously carried.
(e) CONSIDERATION OF PETITION FOR IMPROVEMENTS IN HELLAND'S SEVENTH
ADDITION (COLORADO CIRCLE) (DEFERRED JANUARY 14, 1986)
Director of Engineering Priebe reported the final plat for Helland's
Seventh Addition was in the process of being approved, and the owner
was requesting an improvement by petition.
After discussion, Alderman Torgerson moved to approve the petition, to
order the engineer's report, and to waive reading and adopt Resolution
No. 8215. Motion seconded by Alderman Mikulecky and carried four to
one, with Alderman Mlinar voting nay.
9. NEW BUSINESS
(a) CONSIDERATION OF DELINQUENT WATER AND SEWER ACCOUNTS
The motion was made by Aldermn Carls to authorize discontinuation of
service on Monday, February 3, at noon unless other arrangements had
been made. Motion seconded by Alderman Torgerson and unanimously car-
ried.
(b) CONSIDERATION OF CONTRACT FOR NUTRITION CENTER
City Administrator Plotz presented background information on the nu-
trition center program. He stated the Senior Nutrition Program was
proposing an annual sum of $1,920 for rental of the nutrition center in
Hutchinson effective January 1, 1986.
Following discussion, Alderman Mlinar moved to approve the City sub-
sidizing the program for $1,000. Motion seconded by Alderman Miku-
lecky and unanimously carried.
(c) CONSIDERATION OF RELINQUISHING MANAGEMENT OF HUTCHINSON SENIOR CENTER
BY HHRA
Mayor Ackland reported that the HHRA would not be managing the Ever -
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CITY COUNCIL MINUTES - JANUARY 28, 1986
green Apartments in the future. Therefore, it was his recommendation
to relinquish the management of the Senior Center to the Recreation
Department.
Alderman Carls moved to approve the recommendation. Motion seconded by
Alderman Mlinar and carried unanimously.
(d) CONSIDERATION OF HARVEY DAHLMAN SKETCH PLAN SUBMITTED TO COUNTY (WITHIN
TWO MILE RADIUS) WITH NO OBJECTION FROM PLANNING COMMISSION
Following discussion, the motion was made by Alderman Torgerson, sec-
onded by Alderman Carls, to approve recommendation to County with no
objection. Motion unanimously carried.
(e) CONSIDERATION OF CONDITIONAL USE PERMIT REQUESTED BY ASSEMBLY OF GOD
CHURCH SUBMITTED TO COUNTY (WITHIN TWO MILE RADIUS) WITH NO OBJECTION
FROM PLANNING COMMISSION
After discussion, Alderman Torgerson moved to approve recommendation to
County with no objection. Motion seconded by Alderman Carls and car-
ried unanimously.
(f) DISCUSSION ON HOW BEST TO RECOGNIZE INDIVIDUALS AND GROUPS WHO DONATE
TIME/MONEY IN CITY GOVERNMENT FOR COMMUNITY SERVICE
Several methods of recognizing individuals and groups were discussed.
The motion was made by Alderman Carls to have a recommendation from
City staff for the first Council meeting in February. Motion seconded
by Alderman Mlinar and unanimously carried.
(g) CONSIDERATION OF REPLACEMENT OF LIGHT STANDARDS FOR TARTAN PARK
Recreation Director Bruce Ericson presented a status report on Tartan
Park and stated the field should be ready in May. He also stressed
the strong interest in baseball.
Lee Cox, representative of the Baseball Association, gave an extensive
history of baseball in Hutchinson. He stated the Association had
raised funds to pay for installing lights at Tartan Park, and they re-
quested the City to approve $7,860 to purchase light standards. It was
also requested that there be a commitment from the City that the poles
would not be removed, as occurred in the past.
Due to the current shortfall of funds, no action was taken on the pur-
chase of light standards. The motion was made by Alderman Mlinar to
direct the City Attorney to draft a document to fill the request of
keeping the poles up at the baseball park. Motion seconded by Alder-
man Mikulecky and carried unanimously.
(h) CONSIDERATION OF CONTINUING INSURANCE CONSULTANT SERVICES WITH AMERICAN
RISK SERVICES, INC.
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CITY COUNCIL MINUTES - JANUARY 28, 1986
Mr. John Simacek, consultant for American Risk Services, Inc., reported
his firm would take over the City's contract with D.A. Tange Company at
the same fee until termination on June 1, 1986. At that time there
would be an adjustment of the fee charged for services.
City Administrator Plotz reported it was the recommendation of the four
entities to continue with American Risk Services, Inc. until the con-
tract terminates, and at that time obtain proposals from other com-
panies.
The motion was made by Alderman Torgerson to approve continuing the
insurance consultant services contract with American Risk Services,
Inc. until the contract expires June 1, 1986. Motion seconded by Ald-
erman Carls and unanimously carried.
RECESS: The Council took a recess at 9:20 P.M.
(i) CONSIDERATION OF RECOMMENDATION FOR MERIT INCREASES BY DEPARTMENT HEADS
Alderman Mikulecky moved to defer merit consideration until such time
as the City received an answer from the State on its financial situa-
tion. Motion seconded by Alderman Mlinar and carried unanimously.
(j) CONSIDERATION OF ASSESSMENT HEARING FOR ASSESSMENT ROLL NO. 209
Alderman Torgerson moved to order assessment roll No. 209, to set pub-
lic hearing February 25, 1986 at 8:00 P.M., and to waive readings and
adopt Resolutions No. 8199 and No. 8206. Motion seconded by Alderman
Mikulecky and unanimously carried.
(k) CONSIDERATION OF ASSESSMENT HEARING FOR ASSESSMENT ROLL NO. 210
Alderman Torgerson moved to order assessment roll No. 210, to set pub-
lic hearing February 25, 1986 at 8:00 P.M., and to waive readings and
adopt Resolutions No. 8200 and No. 8207. Motion seconded by Alderman
Mikulecky and unanimously carried.
(1) CONSIDERATION OF ASSESSMENT HEARING FOR ASSESSMENT ROLL NO. 211
Alderman Torgerson moved to order assessment roll No. 211, to set pub-
lic hearing February 25, 1986 at 8:00 P.M., and to waive readings and
adopt Resolutions No. 8201 and no. 8208. Motion seconded by Alderman
Mikulecky and unanimously carried.
(m) CONSIDERATION OF ASSESSMENT HEARING FOR ASSESSMENT ROLL NO. 212
Alderman Torgerson moved to order assessment roll no. 212, to set pub-
lic hearing February 25, 1986 at 8:00 P.M., and to waive readings and
adopt Resolutions No. 8202 and No. 8209. Motion seconded by Alderman
Mikulecky and unanimously carried.
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CITY COUNCIL MINUTES - JANUARY 28, 1986
(n) CONSIDERATION OF ASSESSMENT HEARING FOR ASSESSMENT ROLL NO. 213
Alderman Torgerson moved to order assessment roll No. 213, to set pub-
lic hearing February 25, 1986 at 8:00 P.M., and to waive readings and
adopt Resolutions No. 8203 and No. 8210. Motion seconded by Alderman
Mikulecky and unanimously carried.
(o) CONSIDERATION OF ASSESSMENT HEARING FOR ASSESSMENT ROLL NO. 214
Alderman Torgerson moved to order assessment roll No. 214, to set pub-
lic hearing February 25, 1986 at 8:00 P.M., and to waive readings and
adopt Resolutions No. 8204 and No. 8211. Motion seconded by Alderman
Mikulecky and unanimously carried.
(p) CONSIDERATION OF ASSESSMENT HEARING FOR ASSESSMENT ROLL NO. 215
Alderman Torgerson moved to order assessment roll No. 215, to set pub-
lic hearing February 25, 1986 at 8:00 P.M., and to waive readings and
adopt Resolutions No. 8205 and No. 8212. Motion seconded by Alderman
Mikulecky and unanimously carried.
10. MISCELLANEOUS
(a) COMMUNICATIONS FROM CITY ADMINISTRATOR
City Administrator Plotz requested an hourly pay rate adjustment for
the fire department mechanic which was overlooked at budget time.
Alderman Torgerson moved to approve the salary adjustment. Motion
seconded by Alderman Mikulecky and carried unanimously.
Mr. Plotz reviewed the items in his newsletter. He commented on the
joint meeting scheduled for February 7, 11:00 A.M., for the townships,
City officials and State Municipal Board Director to discuss an order-
ly annexation agreement and a possible joint City/County/Township Plan-
ning Board. The Council was reminded of the special meeting on Jan-
uary 30, starting at 5:30 P.M., at which time the architect for the
proposed police station would be present. The meeting time was changed
to 6:00 P.M.
(b) COMMUNICATIONS FROM ALDERMAN PAT MIKULECKY
Alderman Mikulecky inquired about the Plowman parking lot being used
for construction material of First State Federal's building. It was
his understanding that an area would be available for public parking.
City Administrator Plotz stated the southwest corner of the lot was to
be fenced off and used for storing construction materials. A City of-
ficial would contact First State Federal regarding this matter.
Alderman Mikulecky asked if an agreement had been made with Jerry Ross
for five year service to Hutchinson. Since the City had put out sub -
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CITY COUNCIL MINUTES - JANUARY 28, 1986
stantial funding on the project, he felt Ross owed the City an agree-
ment. Mr. Mikulecky requested a report on the financial status of the
railroad line at the next Council meeting. Administrator Plotz re-
sponded that there were no guarantees to the questions raised; however,
Mr. Ross also had a substantial investment in the railroad venture.
(c) COMMUNICATIONS FROM DIRECTOR OF ENGINEERING
Engineer Priebe reported on the status of the flashing light proposed
for Highway 7 West and School Road. A permit would be required from
the State for anything put up on the state highway, and a hold harm-
less agreement could make the City liable. The cost would be $1,800
for the utilities to install a light.
Alderman Mikulecky moved to adopt Resolution No. 8217 to move the 55
m.p.h. sign west of Shady Ridge Road. Motion seconded by Alderman
Carls. The motion was amended by Alderman Mikulecky to obtain a permit
to instal l 40 m.p.h. speed signs along Highway 7 West. Amended motion
seconded by Alderman Carls and unanimously carried. Main motion car-
ried unanimously.
11. CLAIMS, APPROPRIATIONS AND CONTRACT PAYMENTS
(a) VERIFIED CLAIMS
The motion was made by Alderman Mlinar, seconded by Alderman Carls, to
approve the claims and authorize payment from the appropriate funds,
except for one bill to be reviewed by City Administrator. Motion car-
ried unanimously.
12. ADJOURNMENT
There being no further business, the meeting adjourned at 11:34 P.M.