03-10-1992 CCMu
MINUTES
REGULAR MEETING - HUTCHINSON CITY COUNCIL
TUESDAY, MARCH 10, 1992
1. The meeting was called to order at 7:30 P.M. by Mayor Ackland.
The following were present: Mayor Paul L. Ackland, Councilmen
Craig Lenz, Marlin Torgerson and Don Erickson. Absent: Coun-
cilman John Mlinar. Also present: City Administrator Gary D.
Plotz, City Engineer John Rodeberg, and City Attorney G. Barry
Anderson.
2. INVOCATION
The invocation was given by Bob Plowman of Shalom Baptist
Church.
3. MINUTES
The minutes of the regular meeting of February 25, 1992 were
approved as distributed.
4. ROUTINE ITEMS
(a) REPORTS OF OFFICERS, BOARDS AND COMMISSIONS
1. BUILDING OFFICIAL'S REPORT - FEBRUARY 1992
2. PLANNING COMMISSION MINUTES OF FEBRUARY 18, 1992
3. HOSPITAL/NURSING HOME BOARD MINUTES OF JANUARY 2,
1992 AND JANUARY 21, 1992
The motion was made by Councilman Torgerson, sec-
onded by Councilman Lenz and unanimously carried,
to order report and minutes filed.
5. PUBLIC HEARING - 8:00 P.M.
(a) INTOXICATING LIQUOR LICENSE - HUTCH PIZZA INC./J'S SPORTS
BAR, STEVE PICHA OWNER
Mayor Ackland called the hearing to order at 8:00 P.M.
and read Publication No. 4347. The motion was made by
Councilman Lenz, seconded by Councilman Torgerson and
unanimously carried, to close the hearing at 8:03 P.M.
During discussion Police Chief Madson reported the appli-
cant did not meet the intoxicating liquor requirements of
the City because of the ownership of the facilities, the
seating capacity, and the required parking spaces.
The motion was made by Councilman Erickson, seconded by
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CITY COUNCIL MINUTES - MARCH 10, 1992
Councilman Torgerson and unanimously carried, to close
the hearing at 8:13 P.M. and to reject the license.
(b) TAX INCREMENT FINANCING DISTRICT NO. 6
Mayor Ackland called the hearing to order at 8:14 P.M.
and read Publication No. 4339.
City staff and Consultant Bill Fahey reviewed the tax
increment district and the creation of a new District No.
6 adjacent to the existing district to facilitate the
downtown redevelopment for a grocery store and liquor
store.
Attorney Jerry Gilligan stated since this was an existing
tax increment district, it did not require amending the
program or holding a public hearing.
Following discussion, the motion was made by Councilman
Lenz, seconded by Councilman Torgerson and unanimously
carried, to close the hearing at 8:27 P.M.
The motion was made by Councilman Torgerson, seconded by
Councilman Erickson and unanimously carried, to approve
amendments to the Development Program, to adopt Redevel-
opment Tax Increment Financing District No. 6, and to
waive reading and adopt Resolution No. 9680.
6. COMMUNICATIONS, REQUESTS AND PETITIONS
(a) CONSIDERATION OF REQUEST FOR USE OF LIBRARY SQUARE BY
GIRL SCOUTS ON MARCH 12, 1992
The motion was made by Councilman Erickson, seconded by
Councilman Lenz and unanimously carried, to approve
request.
(b) CONSIDERATION OF COMMUNICATION FROM THE UNDERGROUND BAR
& GRILL REGARDING REFUSE COLLECTION
During discussion, it was the consensus of the Council to
prefer the island area for location of a dumpster. No
action was taken.
7. RESOLUTIONS AND ORDINANCES
(a) RESOLUTION NO. 9645 - RESOLUTION TO RENAME WEST RIVER
PARK TO MASONIC/WEST RIVER PARK
The motion was made by Councilman Erickson, seconded by
Councilman Torgerson and unanimously carried, to waive
reading and adopt.
CITY COUNCIL MINUTES - MARCH 10, 1992
(b) RESOLUTION NO. 9670 - RESOLUTION FOR PURCHASE
The motion was made by Councilman Lenz, seconded by Coun-
cilman'Torgerson and unanimously carried, to waive read-
ing and adopt.
(c) RESOLUTION NO. 9678 - RESOLUTION FOR RELEASE AND
SUBSTITUTION OF PLEDGED SECURITIES AT FIRST STATE FEDERAL
SAVINGS & LOAN ASSOCIATION, HUTCHINSON, MN
The motion was made by Councilman Erickson, seconded by
Councilman Lenz and unanimously carried, to waive reading
and adopt.
(d) ORDINANCE NO. 92-55 - AN ORDINANCE EXTENDING THE
CORPORATE LIMITS OF THE CITY OF HUTCHINSON TO INCLUDE
CERTAIN UNINCORPORATED LAND TOTALLY SURROUNDED BY THE
CITY OF HUTCHINSON (FAIR GROUNDS PROPERTY)
The motion was made by Councilman Torgerson, seconded by
Councilman Lenz and unanimously carried, to waive first
reading of Ordinance No. 92-55 and set second reading for
March 24, 1992.
8. UNFINISHED BUSINESS
(a) HUTCH, INC. - COUNTRY CLUB TERRACE MOBILE HOME PARK
1. TEMPORARY EVACUATION PLAN
2. PLANS AND SPECIFICATIONS FOR PERMANENT STORM SHELTER
3. CONSTRUCTION SCHEDULE FOR SHELTER
Attorney Anderson informed the Council that he would
notify the State Department of Health that Hutch, Inc.
had no plan for a storm shelter or evacuation plan in
place. There was also discussion regarding the water
billing method used by Bill Block -to determine his pay-
ments.
Following discussion, the motion was made by Councilman
Torgerson to adopt Resolution No. 9679 stating the Coun-
cil's finding that Hutch, Inc. had no evacuation plan or
storm shelter in place and to direct the City Attorney to
notify the State of Minnesota to take proper action
against Bill Block's license. Motion seconded by Coun-
cilman Lenz and unanimously carried.
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CITY COUNCIL MINUTES - MARCH 10, 1992
(b) CONSIDERATION OF PROPOSAL FROM INSPEC, INC. FOR TENNIS
COURT REHABILITATION WITH HUTCHINSON PUBLIC SCHOOLS
(DEFERRED FEBRUARY 25, 1992)
City Administrator Plotz reported the School District was
willing to split the tennis courts rehabilitation cost
50/50 with the City. The estimated cost for a 2-1/2" to
3" surface was $4-6,000.
Attorney Anderson 'stated the cost for the work could be
added to a 429 project bond. If the City received a 100
percent petition, the public hearing process could be
waived.
Engineer Rodeberg recommended doing the work. He felt
the cost was reasonable.
No action was taken, and the item was deferred to the
continued regular Council meeting on March 13, 1992.
9. NEW BUSINESS
(a) CONSIDERATION OF EXERCISING ALL REMAINING OPTIONS FOR
PHASE II DOWNTOWN REDEVELOPMENT
Following discussion, the motion was made by Councilman
Torgerson, seconded by Councilman Lenz and unanimously
carried, to table this item to the continued meeting on
March 13, 1992 at 12:00 noon.
(b) CONSIDERATION OF SALE OF USED DASHER BOARDS FROM CIVIC
ARENA
Following discussion, the motion was made by Councilman
Torgerson, seconded by Councilman Erickson and unanimous-
ly carried, to approve the sale.
(c) CONSIDERATION OF AUTHORIZING CONDEMNATION FOR ANY
REMAINING PARCEL ON PHASE II FOR DOWNTOWN REDEVELOPMENT
Following discussion, the motion was made by Councilman
Torgerson, seconded by Councilman Lenz and unanimously
carried', to approve.
(d) CONSIDERATION OF ADOPTING 1992 RURAL FIRE DEPARTMENT
BUDGET
Following discussion, the motion was made by Councilman
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CITY COUNCIL MINUTES - MARCH 10, 1992
Torgerson, seconded by Councilman Erickson and unanimous-
ly carried, to approve and to waive reading and adopt
Resolution No. 9671.
(e) DISCUSSION OF USE OF TAX INCREMENT AT FARMERS ELEVATOR IN
INDUSTRIAL PARK
During discussion it was reported the issuance of tax
increment was decided with the tax increment District
No. 6 public hearing. It was the consensus of the
Council to place this item on the agenda for the March
24, 1992 meeting.
(f) CONSIDERATION OF AWARDING BID FOR 1992 SPRING TREE
PLANTING
Following discussion, the motion was made by Councilman
Torgerson, seconded by Councilman Lenz and unanimously
carried, to approve staff recommendations.
(g) CONSIDERATION OF SETTLEMENT WITH INSURANCE COMPANY
REGARDING JUNKER LITIGATION
Following a report by the City Attorney, it was the
consensus of the Council to continue discussion at the
continued meeting on March 13, 1992.
The City Forester commented on leaf pickup this spring
and reported Junker Sanitation agreed to pick up leaves
until its contract expired. The City recently learned
about a biodegradable plastic bag which the County will
help fund the purchase cost. Forester Schnobrich
requested authorization to order a supply for resale.
Following discussion, the motion was made by Councilman
Torgerson, seconded by Councilman Erickson and unanimous-
ly carried, to approve the concept and authorize the
order.
(h) DISCUSSION OF SETTING PUBLIC HEARING DATE REGARDING CROW
RIVER DAM OPERATION AND MAINTENANCE
Following discussion, the motion was made by Councilman
Torgerson, seconded by Councilman Erickson and unanimous-
ly carried, to authorize the City Engineer to set a pub-
lic hearing date and notify the individuals involved.
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CITY COUNCIL MINUTES - MARCH 10, 1992
(i) DISCUSSION OF PROPOSED 1992 AIRPORT IMPROVEMENTS
Following discussion of the proposed airport improve-
ments, no action was taken.
(j) DISCUSSION OF ASSESSMENT TO PROPERTIES ALONG DOWNTOWN
ALLEY IMPROVEMENTS
Engineer Rodeberg discussed the alley assessments for the
project from Fourth Avenue to Second Avenue. He stated
it needed a public hearing and assessment hearing.
Following discussion, the motion was made by Councilman
Torgerson, seconded by Councilman Lenz and unanimously
carried, to approve setting a hearing date on April 28,
1992 and to waive reading and adopt Resolution No. 9681.
(k) CONSIDERATION OF RECEIVING REPORT AND CALLING HEARING ON
IMPROVEMENT FOR LETTING NO. 2, PROJECT NO. 92-09
Following discussion, the motion was made by Councilman
Torgerson, seconded by Councilman Erickson and unanimous-
ly carried, to approve and accept report, to set hearing
for March 24, 1992 at 8:00 P.M., and to waive readings
and adopt Resolutions No. 9672 and No. 9673.
(1) CONSIDERATION OF RECEIVING REPORT AND CALLING HEARING ON
IMPROVEMENT FOR LETTING NO. 4, PROJECT NO. 92-07
Following discussion, the motion was made by Councilman
Erickson, seconded by Councilman Lenz and unanimously
carried, to approve and accept report, to set hearing for
March 24, 1992 at 8:00 P.M., and to waive readings and
adopt Resolutions No. 9674 and No. 9675.
(m) CONSIDERATION OF RECEIVING REPORT AND CALLING HEARING ON
IMPROVEMENT FOR LETTING NO. 6, PROJECT NO. 92-10
Following discussion, the motion was made by Councilman
Lenz, seconded by Councilman Torgerson and unanimously
carried, to approve and accept report, to set hearing for
March 24, 1992 at 8:00 P.M., and to waive readings and
adopt Resolutions No. 9676 and No. 9677.
(n) CONSIDERATION OF RECOMMENDATION FROM REFUSE CONTRACT
COMMITTEE THAT COMMERCIAL/ INDUSTRIAL ENTITIES OBTAIN
REFUSE SERVICE FROM PRIVATE SECTOR AT EARLIEST DATE
ESTABLISHED BY CITY ATTORNEY/STATE LAW
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CITY COUNCIL MINUTES - MARCH 10, 1992
Attorney Anderson requested to defer this item until the
continued meeting on March 13, 1992. The motion was made
by Councilman Erickson, seconded by Councilman Torgerson
and unanimously carried, to defer.
(o) CONSIDERATION OF SETTING PUBLIC HEARING TO CONSIDER
ADOPTION OF RESOLUTION CALLING FOR AN ORGANIZED REFUSE
COLLECTION SYSTEM FOR RESIDENTIAL ONLY
Following discussion, the motion was made by Councilman
Torgerson, seconded by Councilman Lenz and unanimously
carried, to approve and set a hearing for March 24, 1992
at 8:00 P.M.
(p) REVIEW OF 1992 BUDGET SHORTFALL
Finance Director Merrill reviewed the projected 1992
budget shortfall of seven percent State aid cut to
cities. He stated the City might need to cut $320,000
from its budget.
Following discussion, the motion was made by Councilman
Erickson, seconded by Councilman Torgerson and unanimous-
ly carried, to approve the four staff recommendations.
10. MISCELLANEOUS
(a) COMMUNICATIONS FROM CITY ADMINISTRATOR
Administrator Plotz reported on the meeting with Everest
regarding the condominium concept for the liquor store.
A condominium agreement will be ready for the March 24,
1992 meeting.
Mr. Plotz stated the Evergreen Apartments building was
sold to John Paulson from Golden Valley. The new owner
wanted additional parking on the Third Avenue property.
(b) COMMUNICATIONS FROM COUNCILMAN MARLIN TORGERSON
Councilman Torgerson commented the cemetery road needed
some improvement in the spring. It was in bad condition.
(c) COMMUNICATIONS FROM CITY ATTORNEY
Attorney Anderson commented on the proposals distributed
for the cable television audit. He suggested the City
and the Utilities split the audit cost 50/50. This item
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CITY COUNCIL MINUTES - MARCH 10, 1992
will be discussed further at the continued meeting on
March 13, 1992.
(d) COMMUNICATIONS FROM DIRECTOR OF ENGINEERING
Engineer Rodeberg commented on a delinquent bill for a
water hookup Juul Contracting had done. It will be sub-
mitted to the small claims court.
The Director of Engineering requested adoption of a Reso-
lution to request State funding for Adams Street. The
motion was made by Councilman Erickson, seconded by Coun-
cilman Lenz and unanimously carried, to waive reading and
adopt Resolution.
Engineer Rodeberg stated the City needed $1,500 for the
Hutchinson demolition landfill service fee or the license
would be revoked. It would qualify for County funding
since the landfill was under State Statute. He also
reported the City was looking at the old landfill situa-
tion since the river changed channel.
It was reported there will be an April letting by MN/DOT
for the Shopko stoplight.
11. CLAIMS, APPROPRIATIONS AND CONTRACT PAYMENTS
(a) VERIFIED CLAIMS
The motion was made by Councilman Torgerson, seconded by
Councilman Lenz and unanimously carried, to approve the
claims and authorize payment from appropriate funds.
12. ADJOURNMENT
There being no further business, the meeting was recessed
until Friday, March 13, 1992, at 11:30 A.M.
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