09-26-1978 CCMMINUTES
REGULAR MEETING - HUTCHINSON CITY COUNCIL
TUESDAY, SEPTEMBER 26, 1978
1. CALL TO ORDER
Mayor Black called the meeting to order at 7:30 P.M., with the following members
present: Aldermen Westlund, Peterson, Gruenhagen, and Huntwork, in addition to
Mayor Black. Absent: None. Also present were: Administrative Assistant Plotz,
City Engineer/Public Works Director Priebe, and City Attorney Schantzen.
2. INVOCATION
The Reverend R. S. Crouse of the Assembly of God Church gave the invocation.
3. MINUTES
The minutes of the Regular Meeting dated September 13, 1978 were approved upon
motion by Alderman Westlund, seconded by Alderman Huntwork, and unanimously carried.
4. PUBLIC HEARING - 9:00 P.M.
(a) CONSIDERATION OF PROPOSED 1979 BUDGET
Clarice Coston, Executive Vice President of the Chamber of Commerce, pre-
sented to the Council numerous letters requesting summer band concerts be
resumed in Library Square. Mrs. Coston asked that the expense of such con-
certs be included in the 1979 budget.
Mayor Black reported that the concerts had been discontinued due to a lack of
interest on the part of the citizens. After attendance declined, the appro-
priated $1,000 for band concerts was dropped from the budget.
Mrs. Bruce Kopesky inquired about the functions of the Bike Safety Patrol
Officer and expressed concern about the money expended for this position.
Personnel Coordinator Sitz informed Mrs. Kopesky that the Bike Safety Patrol
Officer is a work-study student from HAVTI, and the City pays only 20% of his
hourly wage.
The motion to close the hearing was made by Alderman Westlund, seconded by
Alderman Peterson, and unanimously carried.
5. COMMUNICATIONS, REQUESTS AND PETITIONS
(a) CONSIDERATION OF REQUEST TO AUTHORIZE HAZEL SITZ TO ATTEND ANNUAL MEETING
OF MINNESOTA PUBLIC TRANSIT ASSOCIATION OCTOBER 11-12, 1978
After discussion, it was moved by Alderman Peterson, seconded by Alderman
Gruenhagen, to approve the request of Hazel Sitz to attend the annual meeting
of the Minnesota Public Transit Association. Motion unanimously carried.
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Council Minutes
September 26, 1978
6. RESOLUTIONS AND ORDINANCES
(a) RESOLUTION NO. 6204 - RESOLUTION AMENDING RESOLUTION NO. 6177, PRECINCT #5
ELECTION JUDGES, STATE GENERAL ELECTION ON TUESDAY, NOVEMBER 7, 1978
Following discussion, it was moved by Alderman Westlund, seconded by Alder-
man Peterson, to waive reading and adopt Resolution No. 6204 entitled Reso-
lution Amending Resolution No. 6177, Precinct #5 Election Judges, State Gen-
eral Election on Tuesday, November 7, 1978. Motion unanimously carried.
(b) RESOLUTION NO. 6209 - TRANSFERRING $10,000 FROM LIQUOR STORE TO GENERAL FUND
After discussion, it was moved by Alderman Westlund to waive reading and
adopt Resolution No. 6209 entitled Transferring $10,000 from Liquor Store
to General Fund. Seconded by Alderman Gruenhagen, the motion unanimously
carried.
(c) RESOLUTION NO. 6210 - RESOLUTION AUTHORIZING RELEASE OF SECURITIES TO FIRST
NATIONAL BANK OF HUTCHINSON, MINNESOTA
After discussion, it was moved by Alderman Westlund, seconded by Alderman
Gruenhagen, to waive reading and adopt Resolution No. 6210 entitled Resolu-
tion Authorizing Release of Securities to First National Bank of Hutchinson,
Minnesota. Motion unanimously carried.
7. REPORTS OF OFFICERS, BOARDS AND COMMISSIONS
(a) MINUTES OF PARK AND RECREATION BOARD DATED SEPTEMBER 6, 1978
There being no discussion, the minutes were ordered by the Mayor to be re-
ceived for filing.
(b) MINUTES OF DOWNTOWN DEVELOPMENT COMMITTEE DATED SEPTEMBER 5, 1978
There being no discussion, the minutes were ordered by the Mayor to be re-
ceived for filing.
(c) MONTHLY FINANCIAL REPORT - AUGUST, 1978
There being no discussion, the report was ordered by the Mayor to be re-
ceived for filing.
(d) MINUTES OF SPECIAL MEETING OF HUTCHINSON PLANNING COMMISSION DATED SEPT. 5, 1978
There being no discussion, the minutes were ordered by the Mayor to be re-
ceived for filing.
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Council Minutes
September 26, 1978
(e) MINUTES OF TRANSPORTATION BOARD DATED SEPTEMBER 13, 1978
There being no discussion, the minutes were ordered by the Mayor to be re-
ceived for filing.
8. UNFINISHED BUSINESS
(a) CONSIDERATION OF AMENDING RESOLUTIONS NO. 6122, 6123, 6124, AND 6125
INCREASING OFFER VALUES AS RECOMMENDED BY THE CERTIFIED APPRAISER
Administrative Assistant Plotz reported that the three court-appointed ap-
praisers for the friendly condemnation suit were unable to agree on valua-
tions of the property for the elderly high rise. The City's appraiser, C.
R. Pelton & Associates, re-evaluated the property and increased the amounts
by 10%. The property owners were agreeable to the amended appraisal figures,
and City Attorney Schantzen has prepared purchase agreements.
Mr. Schantzen commented that two of the purchase agreements have been signed.
The McLeod County Historical Society will be allowed one year to remove the
historical musuem to a new site, with a closing date of November 1, 1979.
It was moved by Alderman Westlund to accept the amended appraisals and ap-
prove the purchase agreements for the elderly high rise site properties.
Seconded by Alderman Peterson, the motion unanimously carried.
Alderman Westlund moved to waive reading and adopt Resolution No. 6205 en-
titled Resolution Amending Resolution No. 6122 Establishing Just Compensa-
tion for Lots 1 & 2, Block 15, South Half of City. Seconded by Alderman Pet-
erson, the motion unanimously carried.
Alderman Westlund moved to waive reading and adopt Resolution No. 6206 en-
titled Resolution Amending Resolution No. 6123 Establishing Just Compensa-
tion for Lots 9 & 10, Block 15, South Half of City. Seconded by Alderman
Peterson, the motion unanimously carried.
Alderman Westlund moved to waive reading and adopt Resolution No. 6207 en-
titled Resolution Amending Resolution No. 6124 Establishing Just Compensa-
tion for Lot 8, Block 15, South Half of City. Seconded by Alderman Peterson,
the motion unanimously carried.
Alderman Westlund moved to waive reading and adopt Resolution No. 6208 en-
titled Resolution Amending Resolution No. 6125 Establishing Just Compensa-
tion for Lots 6 & 7, Block 15, South Half of City. Seconded by Alderman Pet-
erson, the motion unanimously carried.
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Council Minutes
September 26, 1978
(b) CONSIDERATION OF SELECTING A MOTEL PROPOSAL
Mayor Black summarized past action relating to motel proposals. The Council
had adopted Resolution No. 6159 which established guidelines for a motor inn/
motel type proposal and called for proposals to be due at City Hall at noon
on September 12, 1978. Two proposals were received on that date, namely,
Frank Fay Realty representing Travel Host and A & P Group representing Holi-
day Inn.
The Mayor further remarked he would like to go on record with a resolution
in favor of working with the A & P Group to locate a Holiday Inn in Hutchin-
son, with arrangements that would be economically feasible. Information on
the status of a franchise should be available within the next 30 days.
Alderman Westlund pointed out that the Travel Host had not submitted a de-
tailed proposal as requested in the resolution. Holiday Inn had met the re-
quirements, and it would work in with the downtown development plan. He felt,
however, that the Travel Host should not be turned away in the event the
franchise did not materialize for the Holiday Inn.
It was moved by Alderman Westlund to accept the A & P Group's proposal and
to waive reading and adopt Resolution No. 6211 entitled Selection of Holiday
Inn Motel Proposal. Seconded by Alderman Huntwork, the motion unanimously
carried.
9. NEW BUSINESS
(a) CONSIDERATION OF FUTURE PLANS FOR NUTRITION PROGRAM FOR THE ELDERLY IN
HUTCHINSON
Mr. James D. Carlson, Project Director for the Nutrition Program for the Elderly,
reported to the Council that their present site is no longer available inas-
much as the West Central Community Services needs the space for additional
offices. Negotiations are being made with the National Guard Armory to use
their facility for the next year or two. After that time the program will
again be in need of a location. Mr. Carlson pointed out that Title V Grants
are available for remodeling existing buildings for senior program uses and
are set up on a 90-10 match basis. He would like to see a permanent site
established in Hutchinson since the program has grown from 1974 when it ini-
tially began. A Senior Citizen Center could provide many different services,
and the nutrition program would be just one phase.
Mayor Black thanked Mr. Carlson for his presentation and commented that in
the downtown development plan there is a project for a community building
which would have facilities available for a senior citizens program. No date,
however, has been set for construction.
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Council Minutes
September 26, 1978
(b) CONSIDERATION OF FUNDING FOR MINNESOTA PIONEERLAND PRESENTED BY LLOYD VOLLMER
Mr. Lloyd Vollmer, Executive Director of Minnesota Pioneerland, gave a presen-
tation to the Council regarding his publication. He has met with the Cham-
ber of Commerce in the past, but he needs money appropriated by the City in
order to obtain state matched funding and to advertise the City of Hutchinson
in the publication. A new Agri -Tour Guide is being produced which will in-
clude Hutchinson regardless of whether or not it contributes funds.
Mr. Vollmer suggested the City appropriate $300 to Minnesota Pioneerland,
and the Chamber of Commerce has agreed to give an equal amount, for a half
page ad.
After discussion, it was the consensus of the Council that Hutchinson should
be included in this publication, but a final decision would be made after the
budget meeting on Friday morning.
It was moved by Alderman Westlund, seconded by Alderman Gruenhagen, to defer
action on this matter. Motion unanimously carried.
(c) CONSIDERATION OF BIRD ISLAND JOINING CROW RIVER REGIONAL LIBRARY
The City of Bird Island has requested to join the Crow River Regional Library
System, and it is the recommendation of the Crow River Regional Library Board
that the request be approved by the other participating cities.
After discussion, it was moved by Alderman Westlund to approve Bird Island
joining the Crow River Regional Library System and authorize the Mayor and
City Clerk to enter into signing the agreement. Seconded by Alderman Hunt -
work, the motion unanimously carried.
(d) CONSIDERATION OF REIMBURSEMENT EXPENSE OF EMPLOYEE COURSE
Personnel Coordinator Sitz attended a class at the Metropolitan State Uni-
versity and has requested reimbursement for one-half of her total expense
($80.00).
After discussion, it was moved by Alderman Westlund, seconded by Alderman
Peterson, to approve reimbursement of one-half the expense to Hazel Sitz.
Motion unanimously carried.
(e) CONSIDERATION OF EXTENDING DOWNTOWN DEVELOPMENT CONTRACT WITH C.R.S. & ASSOC.
The contract with C.R.S. & Associates expired on August 31, 1978, and it is
requested that the professional services for the Downtown Development Plan
be extended to December 31, 1978.
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Council Minutes
September 26, 1978
After discussion, it was moved by Alderman Westlund, seconded by Alderman
Peterson, to approve extending the professional services contract with
C.R.S. & Associates to December 31, 1978. Motion unanimously carried.
(f) CONSIDERATION OF REFUND TO FARMER'S INSURANCE GROUP
On November 22, 1977 a fire hydrant was damaged as a result of an accident.
The estinate to repair the hydrant was for $800.00, and payment in this
amount was received from Farmer's Insurance Group. When repair work was
done on the hydrant, the actual cost was $241.45. It is, therefore, recom-
mended that a refund of $558.55 be returned to Farmer's Insurance Group.
After discussion, it was moved by Alderman Westlund, seconded by Alderman
Peterson, to refund the amount of $558.55 to Farmer's Insurance Group. Mo-
tion unanimously carried.
(g) CONSIDERATION OF DELINOUENT WATER AND SEWER ACCOUNTS
Mayor Black read a copy of the letter sent to all delinquent account holders.
He then asked if there was anyone present who wished to be heard regarding
his/her account. No one responded.
It was moved by Alderman Westlund to discontinue service on October 2, 1978
for the following accounts: 4-0545-0-00, 4-0850-8-00, 11-1155-2-00, 12-0170-
0-00, 12-0175-2-00, 12-0690-0-00, 12-1165-0-00, and 16-0362-1-00; and 12-0815-
2-00 to be discontinued October 10, 1978 if not paid as promised. Seconded
by Alderman Gruenhagen, the motion unanimously carried.
(h) CONSIDERATION OF REQUEST FOR CONDITIONAL USE PERMIT SUBMITTED BY MADELINE
SCHULTZ WITH FAVORABLE RECOMMENDATION OF PLANNING COMMISSION
After discussion, it was moved by Alderman Westlund to approve the Condi-
tional Use Permit upon recommendation of Planning Commission and to waive
reading and adopt Resolution No. 6197 entitled Resolution Granting Condi-
tional Use Permit under Section 6.07, C-3 of the 1975 Zoning Ordinance to
Allow Improvements on Property. Seconded by Alderman Huntwork, the motion
unanimously carried.
(i) CONSIDERATION OF REQUEST FOR VARIANCE SUBMITTED BY GOEBEL FIXTURE WITH
FAVORABLE RECOMMENDATION OF PLANNING COMMISSION
After discussion, Alderman Westlund moved that upon recommendation of Plan-
ning Commission to approve the variance and waive reading and adopt Resolu-
tion No. 6198 entitled Resolution Granting Variance from Section 6.05, B-3
of the Zoning Ordinance No. 464 to Construct A Warehouse Addition for Stor-
age of Wood Products. Seconded by Alderman Huntwork, the motion unanimously
carried.
Council Minutes
September 26, 1978
(j) CONSIDERATION OF REQUEST FOR CONDITIONAL USE PERMIT FOR TEXGAS CORP. WITH
FAVORABLE RECOMMENDATION OF PLANNING COMMISSION
After discussion, it was moved by Alderman Westlund to waive reading and
adopt Resolution No. 6199 entitled Resolution Granting Conditional Use Per-
mit Under Section 6.07, IC -1 of the 1975 Zoning Ordinance to Allow Construc-
tion of Office Building. Seconded by Alderman HLntwork, the motion carried
with Alderman Peterson abstaining from voting.
(k) CONSIDERATION OF REQUEST FOR PLANNED UNIT DEVELOPMENT FOR STONEY POINT THIRD
ADDITION WITH PRELIMINARY PLAT TO INCLUDE A MAXIMUM OF TWO UNITS PER LOT,
WITH FAVORABLE RECOMMENDATION OF PLANNING COMMISSION
City Engineer/Public Works Director Priebe explained that a Planned Unit
Development would allow constructed duplexes to be sold separately.
After discussion, it was moved by Alderman Westlund that with favorable recom-
mendation of the Planning Commission to waive reading and adopt Resolution No.
6200 entitled Resolution Granting Approval to Final Plan for P.D. 78-1 for
Stoney Point Third Addition Submitted by Richard Smith. Seconded by Alderman
Peterson, the motion unanimously carried.
(1) CONSIDERATION OF REQUEST FOR CONDITIONAL USE PERMIT SUBMITTED BY BETHLEHEM
UNITED METHODIST CHURCH WITH FAVORABLE RECOMMENDATION OF PLANNING COMMISSION
After discussion, Alderman Peterson moved that with favorable recommendation
of the Planning Commission to waive reading and adopt Resolution No. 6201.
entitled Resolution Granting Conditional Use Permit Under Section 6.07, C-5
of the 1975 Zoning Ordinance to Operate A Nursery School Program. Seconded
by Alderman Westlund, the motion carried unanimously.
(m) CONSIDERATION OF REQUEST FOR VARIANCE SUBMITTED BY DR. W. W. WHITE WITH
FAVORABLE RECOMMENDATION OF PLANNING COMMISSION
After discussion, it was moved by Alderman Westlund that with favorable recom-
mendation of the Planning Commission to waive reading and adopt Resolution
No. 6202 entitled Resolution Granting Variance from Section 6.05, B-3 of the
Zoning Ordinance No. 464 for Reduction In the Required Amount of Off -Street
Parking. Seconded by Alderman Peterson, the motion carried unanimously.
(n) CONSIDERATION OF CHAMBER OF COMMERCE POSITION STATEMENT ON SOLICITATIONS
DURING COMMUNITY SPONSORED FUNCTIONS
Administrative Assistant Plotz reported on the background of instances dur-
ing this year's Crazy Days where outsiders tried to sell merchandise which
led to the issuance of a Position Statement by the Chamber of Commerce. The
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Council Minutes
September 26, 1978
Chamber, therefore, wishes to have the City enforce its ordinance regarding
use of public streets and sidewalks.
Mayor Black remarked that it is required for the Chamber of Commerce to re-
quest permission from the City Council to sell merchandise and goods on pub-
lic sidewalks during Crazy Days. This action would prevent outside sellers
from participating. He further commented that no action needs to be taken
on the Position Statement, but the Police Department will be instructed to
enforce the ordinance under discussion.
(o) CONSIDERATION OF PUBLIC TRANSIT AID CONTRACT AMENDMENT
Administrative Assistant Plotz reported that he and the City Accountant had
requested the Department of Transportation extend the existing Transit Aid
Contract through December 31, 1978 to coordinate with the City's calendar
fiscal year. The request was approved by the Department of Transportation,
and the contract amendment needs Council approval.
Following discussion, Alderman Westlund made the motion to authorize the
Mayor and City Clerk to sign the amended Public Transit Aid Contract. Sec-
onded by Alderman Huntwork, the motion unanimously carried.
(p) CONSIDERATION OF SUPPORTING CITY OF RICHFIELD LAWSUIT CONTESTING PELRA
COMPULSORY BINDING ARBITRATION PROVISIONS
Mayor Black summarized the background of the lawsuit in which the City of
Richfield is challenging the compulsory binding arbitration provisions of
the Minnesota Public Employees Labor Relations Act. He further stated that
he favors the City of Hutchinson supporting Richfield by signing the proposed
resolution and contributing $100 toward the cost of appealing this lawsuit
to the Minnesota Supreme Court.
Following discussion, Alderman Westlund moved to authorize a $100 contribu-
tion to the City of Richfield and to waive reading and adopt Resolution No.
6203 entitled Resolution Supporting City of Richfield Lawsuit Contesting
PELRA Compulsory Binding Arbitration Provisions. Seconded by Alderman Gruen-
hagen, the motion unanimously carried.
(q) CONSIDERATION OF APPLICATION FOR LICENSE TO SELL CIGARETTES AT RETAIL
SUBMITTED BY T. L. SCALAWAGS
Following discussion, it was moved by Alderman Gruenhagen to approve the
application by T. L. Scalawags for a cigarette license. Seconded by Alder-
man Peterson, the motion unanimously carried.
(r) CONSIDERATION OF APPOINTMENT OF MARY SCHMALZ AS RECREATION DIRECTOR
Council Minutes
September 26, 1978
Mayor Black reported the applicant, Mary Barrick Schmalz, had telephoned
prior to the Council meeting to inform them she would be unable to accept
the position due to family complications.
Discussion followed on an alternative choice for Recreation Director.
It was moved by Alderman Peterson to offer the position of Recreation Direc-
tor to Jeff Hoeft. Seconded by Alderman Westlund, the motion unanimously
carried.
(s) CONSIDERATION OF RESIGNATION OF DOUGLAS TEN EYCK
Following discussion, it was moved by Alderman Westlund, seconded by Alder-
man Gruenhagen, to accept the resignation of Douglas Ten Eyck effective
September 22, 1978. Motion unanimously carried.
(t) CONSIDERATION OF APPOINTMENT TO UTILITIES COMMISSION FOR SIX-YEAR TERM
Mayor Black re -appointed Herb Filk to the Utilities Commission for another
six-year term and asked for Council ratification.
The motion was made by Alderman Huntwork, seconded by Alderman Westlund, and
unanimously carried, to ratify the appointment of Herb Filk to the Utilities
Commission.
(u) CONSIDERATION OF EMPLOYMENT OF TWO POLICE RESERVE OFFICERS
Police Chief O'Borsky has requested the employment of Don Pankake and Tim
Schloeder as Police Reserve Officers.
After discussion, Alderman Peterson moved to approve the employment of the
two above-mentioned Police Reserve Officers. Seconded by Alderman Westlund,
the motion unanimously carried.
(v) CONSIDERATION OF HIRING PART-TIME BUS DRIVER
Following discussion, it was moved by Alderman Peterson to approve the em-
ployment of Juanita J. Rea as a part-time bus driver. Seconded by Alderman
Gruenhagen, the motion unanimously carried.
10. MISCELLANEOUS
(a) COMMUNICATIONS FROM CLERK -ADMINISTRATIVE ASSISTANT
Administrative Assistant Plotz reported on a recent meeting of the Airport
Zoning Board. After the Board reviewed the proposed Airport Zoning Ordi-
nance for Hutchinson, they instructed the consultant from TKDA to send a
draft to the Division of Aeronautics for the Commissioner's approval. Con-
tingent upon his approval, the Zoning Board will set a public hearing date
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Council Minutes
September 26, 1978
in Novmber when they meet on October 19, 1978.
Mr. Plotz commented on a meeting held today with the County Board to dis-
cuss tax increment plans.
(b) COMMUNICATIONS FROM THE MAYOR
Mayor Black commented on a Council and HRA Board meeting held at noon on
September 25, 1978 to discuss methods of development for the senior high rise.
The general consensus of the HRA Board was to have the project developed by
a private developer, but they would like to have input on the planning of
the facility. No official action was taken on the matter.
The consensus of the Downtown Development Committee is also to have the
high rise developed by a developer. A funding date is coming up in the near
future so it will be necessary to authorize someone to enter into some kind
of negotiation so an agreement can be reached. Mayor Black then suggested
the Council authorize an individual to enter into discussion with the A & P
Group regarding development of the high rise.
It was moved by Alderman Westlund to authorize Mayor Black to enter into
negotiations with the A & P Group regarding the senior high rise development.
Seconded by Alderman Gruenhagen, the motion unanimously carried.
Mayor Black made reference to the bridge opening on September 20 and read
two letters received after the event occurred from Don Kost and Frank Fleet -
ham.
(c) COMMUNICATIONS FROM CITY ATTORNEY
City Attorney Schantzen informed the Council that the jury trial for Lowell
Otto vs. the City will begin on Wednesday, September 27, 1978.
11. CLAIMS, APPROPRIATIONS AND CONTRACT PAYMENTS
(a) VERIFIED CLAIMS
It was moved by Alderman Westlund, seconded by Alderman Huntwork, to approve
the verified claims and authorize payment from the appropriate funds. Motion
unanimously carried.
12. ADJOURNMENT
There being no further business to come before the Council, the meeting was ad-
journed at 10:00 P.M. upon motion by Alderman Westlund, seconded by Alderman Hunt -
work, and unanimously carried.
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