Loading...
12-10-1991 CCMMINUTES REGULAR'MEETING - HUTCHINSON CITY COUNCIL TUESDAY, DECEMBER 10, 1991 1. The meeting was called to order at 7:30 P.M. by Mayor Ackland. The following were present: Mayor Paul L. Ackland, Aldermen Craig Lenz, John Mlinar, Marlin Torgerson and Don Erickson. Also present: City Administrator Gary D. Plotz, City Engineer John Rodeberg and City Attorney G. Barry Anderson. 2. INVOCATION The invocation was given by the Reverend Don Kinzer. 3. MINUTES The minutes of the regular meeting of November 26, 1991, except for the public hearings, special meeting of December 2, 1991 and bid opening of December 3, 1991 were approved as dis- tributed. 4. ROUTINE ITEMS (a) REPORTS OF OFFICERS, BOARDS AND COMMISSIONS 1. BUILDING OFFICIAL'S REPORT - NOVEMBER 1991 2. HOSPITAL/NURSING HOME BOARD MINUTES - AUGUST 20, 1991 AND OCTOBER 15, 1991 (b) BINGO LICENSES 1. ELKS LODGE 2. V.F.W. (c) GAMBLING LICENSES 1. AMERICAN LEGION AUXILIARY UNIT #96 2. AMERICAN LEGION 3. ELKS LODGE 4. HUTCHINSON BASEBALL ASSN. 5. MILITARY ORDER OF COOTIE AUXILIARY #65 6. V.F.W. POST #906 7. V.F.W. AUXILIARY 8. MILITARY ORDER OF COOTIES 9. HUTCH HOCKEY ASSN. 10. HUTCHINSON 40 & 8 (d) CIGARETTE LICENSES (SEE LIST) (e) APPLICATION FOR SNOW REMOVAL PERMIT CITY COUNCIL MINUTES - DECEMBER 10, 1991 1. JUUL CONTRACTING 2. DOUGLAS W. PETERSON 3. FLORIAN THODE The motion was made by Alderman Torgerson, seconded by Alderman Erickson and unanimously carried, to order the report and minutes filed and to issue licenses and per- mits. 5. PUBLIC HEARING - 8:00 P.M. (a) PROPOSED PROPERTY TAXES (1992 CITY BUDGET AND TAX LEVY) Mayor Ackland called the hearing to order at 8:00 P.M. and read the notice of public hearing. Finance Director Kenneth B. Merrill reviewed the proposed 1992 tax levy and presented a summary of 1991 expendi- tures by department, with a fund balance of $1,157,000 at the end of 1992. He reviewed the tax comparisons between 1991 and 1992. Mr. Howard Rekstad, general partner of Super 8 Motel, asked if the hearing had anything to do with personal taxes. He commented that perhaps he had misunderstood the purpose of the hearing. It would have a very nega- tive impact for a 29 -unit motel if the levy was passed and became a 1992 tax. Mr. Rekstad stated the local tax is higher than in Glencoe or Litchfield. Mayor Ackland responded that sion of the 1992 tax levy stated the motel's assessed tax. the meeting was for discus - and 1992 City budget. He value would determine the Attorney Anderson commented the Board of Review hearing held in the spring dealt with taxes on individual prop- erty. It was mandated by State law that this particular hearing be held. The motion was made by Alderman Erickson, seconded by Alderman Mlinar and unanimously carried, to close the hearing at 8:35 P.M. Pat London, 675 Lakewood Drive, stated that in the sum- mary of expenditures by department a lot of 10% and 15% were listed. He inquired why there were increases in the budgets. Mr. London asked if the citizens could expect to see the budget stay as it was presented on paper. 2 CITY COUNCIL MINUTES - DECEMBER 10, 1991 Finance Director Merrill commented there were some new areas added to the budget. For instance, the police de- partment was adding personnel and capital expenditures had an increase. The capital equipment and professional services for this year were being taken out of the fund balance. Mayor Ackland reported the City could not go above the levy limit. There could be some budget changes by moving dollars from one area to another area. Following discussion of funding membership to the Coali- tion of Greater Minnesota Cities, the motion was made by Alderman Erickson to waive readings and adopt Resolutions No. 9614, No. 9615 and No. 9616. Motion seconded by Ald- erman Mlinar and unanimously carried. (b) PROPOSED INCREASES IN LIQUOR FEES Mayor Ackland called the hearing to order at 8:40 P.M. and read the notice of public hearing. No one was present to be heard. The motion was made by Alderman Mlinar, seconded by Ald- erman Lenz and unanimously carried, to close the hearing at 8:41 P.M. The motion was made by Alderman Lenz, seconded by Alder- man Mlinar and unanimously carried, to approve the liquor fees. 6. COMMUNICATIONS, REQUESTS AND PETITIONS (a) DISCUSSION OF CONNECTING ROUTE OF LUCE LINE TRAIL THROUGH CITY FOR CROW RIVER SNOW PROS John Reynolds, representative of the Crow River Snow Pros, informed the Council that the club had obtained in- surance and a grant which was to build the trail between Hutchinson and Glencoe. There was still a problem with the railroad tracks, and he had arranged a meeting with Elli Mills to discuss a right-of-way. Mr. Reynolds had talked to affected property owners, and some were agree- able to sign an easement. He stated the Luce Line Trail was becoming a major north/west corridor to Hwy. 71. It was recommended that the Police Chief, the Utilities Manager and the Parks and Recreation Director be included in meeting(s) regarding the Luce Line Trail. 3 CITY COUNCIL MINUTES - DECEMBER 10, 1991 (b) DISCUSSION BY COALITION REPRESENTATIVE REGARDING MEMBERSHIP IN COALITION OF GREATER MINNESOTA CITIES Larry Buboltz, Detroit Lakes Mayor and Vice -President of the Coalition of Greater Minnesota Cities, presented four reasons why the City of Hutchinson should retain member- ship in the Coalition. Following discussion, the Council deferred action on dues in the 1992 City budget. (c) DISCUSSION OF DIAMOND 5 WRECKING PROJECT REQUESTED BY LEON MADSEN Leon Madsen presented a packet of materials regarding the demolition project completed for the downtown development project. It was his contention that the City had denied his company salvage rights. Mayor Ackland stated he sat in on negotiation meetings with property owners, and they were given salvage rights. It was beneficial to the City that the buildings be stripped. Engineer Rodeberg reported there were two bids to the project, either to purchase and remove or to demolish the structures. City Attorney Anderson commented that he saw no reason to deviate from the established position on this issue. It was his legal opinion that the contract could be finaled out without claiming anything. If Mr. Madsen had a claim, he had to submit it to Engineering before the final payment. It was not necessary for the Council to take action at this time. There were no problems with Diamond 5 Wrecking's performance. The motion was made by Alderman Erickson, seconded by Alderman Mlinar and unanimously carried, to take no action other than what was done in the past. 7. RESOLUTIONS AND ORDINANCES (a) ORDINANCE NO. 91-51 - AN ORDINANCE REDISTRICTING CITY OF HUTCHINSON PRECINCTS Following discussion, the motion was made by Alderman Mlinar, seconded by Alderman Torgerson and unanimously carried, to table. 4 CITY COUNCIL MINUTES - DECEMBER 10, 1991 (b) RESOLUTION NO. 9617 - RESOLUTION FOR PURCHASE The motion was made by Alderman Lenz, seconded by Alder- man Mlinar and unanimously carried, to waive reading and adopt. (c) RESOLUTION NO. 9618 - RESOLUTION TRANSFERRING $55,000 FROM LIQUOR STORE FUND TO GENERAL FUND The motion was made by Alderman Mlinar, seconded by Ald- erman Torgerson and unanimously carried, to waive read- ing and adopt. (d) RESOLUTION NO. 9619 - RESOLUTION TO TRANSFER FUNDS FROM GENERAL FUND TO YOUTH CENTER The motion was made by Alderman Lenz, seconded by Alder- man Mlinar and unanimously carried, to waive reading and adopt. It (e) RESOLUTION NO. 9622 - RESOLUTION AMENDING FEE SCHEDULE FOR LICENSES AND PERMITS The motion was made by Alderman Mlinar, seconded by Ald- erman Lenz and unanimously carried, to waive reading and adopt. (f) RESOLUTION NO. 9623 - TRANSFERRING $715,000 FROM THE 1980 TAX INCREMENT DEBT SERVICE FUND TO 1990 TAX INCREMENT CONSTRUCTION SERVICE FUND The motion was made by Alderman Torgerson, seconded by Alderman Erickson and unanimously carried, to waive read- ing and adopt. 8. UNFINISHED BUSINESS (a) CONSIDERATION OF ISSUES AT COUNTRY CLUB TERRACE 1. EVACUATION PLAN FOR MOBILE HOME PARK Police Chief Madson reported the school district had requested the return of the key to the high school building and no future agreement with Mr. Block. Mayor Ackland stated evacuation plan which license. 61 the State was pushing the affects the mobile park CITY COUNCIL MINUTES - DECEMBER 10, 1991 Mr. Bill Block reported it was his intent to erect a concrete block building with precast roof, cen- trally located in the park, by spring 1992. It was the consensus of the Council that Mr. Block present a temporary evacuation plan, plans and spe- cifications for construction of a permanent shel- ter, and a completion schedule at the February 11, 1992 meeting. Mr. Block stated the State office did not provide any rules and regulations for the park to follow. He would prepare a proposal and have local contrac- tors prepare a plan. The motion was made by Alderman Torgerson, seconded by Alderman Mlinar and unanimously carried, to adopt Resolution No. 9629 requesting a temporary evacuation plan, plans and a completion schedule for construction of a permanent shelter at Country Club Terrace. 2. REVISED AGREEMENT WITH HUTCH, INC. Mr. Bill Block commented on the City's agreement with Hutch, Inc. and made reference to a five-year agreement. During discussion, it was pointed out that Mr. Block had never signed and returned the agreement to the City. Mayor Ackland stated a one-year agreement was pre- viously written, but the Council had never approved a five-year agreement. There was no reason for the City to change its policy. The City Attorney informed the Council that if no agreement was made, there was the potential of lit- igation by Block whether there was an agreement and if an agreement had been reached. Mayor Ackland commented he would support the 1991 arrangement, but he would not support a 1992 agree- ment. The park had a 800,000 and 500,000 gallon loss. 3. WATER/SEWER BILLING FOR MOBILE HOME PARK Mr. Block contended that the City was using a dif- ferent method for meter readings. The water charge 0 CITY COUNCIL MINUTES - DECEMBER 10, 1991 was based on the master meter while the sewer bill- ing was from individual meters versus the master meter. Block stated the water meters were in- stalled for the new method of City billing. The park's meters were read manually. Attorney Anderson commented on the over -charge at the mobile home park. He stated the City had established a policy on how it would charge. Even if Mr. Block might be correct that he was paying too much, it was irrelevant to the City's policy. Rather, it was a question of whether or not the City would enter into an agreement at this time. The motion was made by Alderman Erickson, seconded by Alderman Torgerson and unanimously carried, to adjust the Country Club Terrace rates for 1991, and that the City make no commitment for any future ad- justment at this time beyond 1991. The motion was made by Alderman Torgerson, seconded by Alderman Mlinar and unanimously carried, to bill the 1991 sewer charges for the actual water usage on the water meter. Administrator Plotz referred to the large usage at the park and stated the City would be making an ex- ception to policy if it accepted Block's proposal. The Council had told staff to follow City policy. Director Randy DeVries stated the water from the park went into the sanitary sewer line, and it was treated. There was no water that surfaced to the ground. Alderman Mlinar asked if legally there may not be all that water going down the sanitary sewer. The City may not be able to bill for it. Attorney Anderson stated the issue did not rest on how the City calculated the water meter billing. (b) CONSIDERATION OF WORD OF LIFE SETTLEMENT Attorney Anderson reported the proposed agreement with Word of Life would include a $7,000 payment in 1991, the balance in subsequent payments, and final payment in 1998. 7 CITY COUNCIL MINUTES - DECEMBER 10, 1991 The motion was made by Alderman Mlinar, seconded by Ald- erman Torgerson and unanimously carried, to approve and enter into agreement. 9. NEW BUSINESS (a) CONSIDERATION OF ENTRANCE DIRECTIONAL SIGN FOR PRAIRIE HOUSE INC. Following discussion, the motion was made by Alderman Erickson, seconded by Alderman Mlinar and unanimously carried, to approve, subject to approval from MN/DOT. (b) CONSIDERATION OF ELIMINATING PARKING AREAS AT INTERSECTION OF WASHINGTON AVENUE AND FRANKLIN STREET Following discussion, the motion was made by Alderman Torgerson, seconded by Alderman Erickson and unani- mously carried, to approve items 1 and 2 but to delete item 3 and to waive reading and adopt amended Resolu- tion No. 9620. (c) CONSIDERATION OF TWO HOUR PARKING SIGNS ON NORTH SIDE OF THIRD AVENUE ALONG HCI'S PROPERTY LINE Following' discussion, the motion was made by Alderman Mlinar, seconded by Alderman Torgerson and unanimously carried, to approve. (d) CONSIDERATION OF AWARDING CAR IMPOUNDING CONTRACT Following discussion, the motion was made by Alderman Erickson, seconded by Alderman Torgerson and unanimous- ly carried, to approve and enter into contract with Modern Mazda. (e) CONSIDERATION OF TRAFFIC SIGNAGE ON NORTH HIGH DRIVE REQUESTED BY MCLEOD COUNTY ENGINEER Following discussion, the motion was made by Alderman Torgerson, seconded by Alderman Lenz and unanimously carried, to approve and to waive reading and adopt Resolution No. 9621. (f) CONSIDERATION OF UNPAID CERTIFIED SPECIAL ASSESSMENTS It was reported that earlier this year the County auc- tioned two properties for back taxes. The City request- ed payment of property assessments to be payable immed- 8 CITY COUNCIL MINUTES - DECEMBER 10, 1991 iately after the sale. Since no payments had been re- ceived, it was recommended to certify to taxes the fol- lowing properties and assessment with 8% interest added for one year: East 82.51, Lot 2, Block 1, Paden's First Addn. Part of Lot 1, Block 3, Paden's First Addition The motion was made by Alderman Lenz, seconded by Alder- man Mlinar and unanimously carried, to approve. (g) CONSIDERATION OF ADDITIONAL RELOCATION BENEFITS FOR MIKE'S MOBIL BAIT & TACKLE AND HUNTER'S HAVEN REQUESTED BY MIKE COMMERFORD Attorney Roger Gilmer, representing Mike Commerford, stated that his client had underestimated his moving expenses and cost to relocate Hunter's Haven by about $15,099 when he accepted a flat payment from the City. Therefore, Mr. Commerford was requesting additional relocation payment. City Attorney Anderson stated the City had no exposure for liability or legal requirement. It was a question of whether or not Mr. ICommerford was entitled to any benefit for the second business located out of the development area, but perhaps the City would want to reimburse him for some of his additional cost. Administrator Plotz recommended that Dan Wilson review the claim and determine if it was eligible for payment. Following discussion, the motion was made by Alderman Mlinar, seconded by Alderman Lenz and unanimously car- ried, to direct the City Administrator to contact Dan Wilson for an opinion on the issue. RECESS: The Council adjourned at 11:00 P.M. for a recess and readjourned at 11:15 P.M. (h) CONSIDERATION OF MN/DOT COOPERATIVE COMMUNITY TREE PLANTING PROGRAM Following discussion, the motion was made by Alderman Torgerson, seconded by Alderman Erickson and unanimously carried, to approve and enter into agreement. Q7 CITY COUNCIL MINUTES - DECEMBER 10, 1991 (i) CONSIDERATION OF MN/DOT LIMITED USE PERMIT TO ALLOW LANDSCAPE PLANTING ON HIGHWAY RIGHT-OF-WAY Following discussion, the motion was made by Alderman Erickson, seconded by Alderman Mlinar and unanimously carried, to approve and to waive reading and adopt Resolution No. 9624. 10. MISCELLANEOUS (a) COMMUNICATIONS FROM CITY ADMINISTRATOR Administrator Plotz stated the Ulland lawsuit had been dismissed by the District Court. It was reported that the Economic Research Corporation had declined to do a liquor store proposal. (b) COMMUNICATIONS FROM ALDERMAN CRAIG LENZ Alderman Lenz commented that the Police Commission was short a member. He also inquired about the City policy regarding the liquor store and a potential sexual harass- ment charge on an advertisement. (c) COMMUNICATIONS FROM ALDERMAN JOHN MLINAR Alderman Mlinar stated the Fire Marshal was on the radio regarding fire hydrants. (d) COMMUNICATIONS FROM CITY ATTORNEY Attorney Anderson commented on a report from Twin City Testing for a ACM quantitative estimate of $600 to $700 for Block 47. Following discussion, the motion was made by Alderman Erickson, seconded by Alderman Mlinar and unanimously carried, to approve and enter into contract with Twin City Testing. The City Attorney stated Attorney Jerry Gilligan of the Dorsey law firm had sent a Resolution for a public hear- ing on the expansion of the Development District No. 4 area. He suggested holding a public hearing on December 23, 1991 at 5:00 P.M. 10 CITY COUNCIL MINUTES - DECEMBER 10, 1991 The motion was made by Alderman Torgerson, seconded by Alderman .Erickson and unanimously carried, to hold a hearing on December 23, 1991 at 5:00 P.M. (e) COMMUNICATIONS FROM DIRECTOR OF ENGINEERING Engineer Rodeberg reported Shopko was planning a ground- breaking for its new location on December 20, 1991 at 11:00 A.M. 11. CLAIMS. APPROPRIATIONS AND CONTRACT PAYMENTS The motion was made by Alderman Lenz, seconded by Alderman Mlinar and unanimously carried, to approve the claims and authorize payment from appropriate funds. 12. ADJOURNMENT There being no further business, the meeting adjourned at 11:45 P.M. 11