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07-12-1977 CCMMINUTES REGULAR MEETING - HUTCHINSON CITY COUNCIL TUESDAY, JULY 12, 1977 1. CALL TO ORDER Mayor Black called the meeting to order at 7:30 P.M. with the following members present: Aldermen Westlund, B. Peterson, Haag, and K. Peterson in addition to Mayor Black. Absent: None. Also present were: Adminis- trative Assistant Plotz, City Engineer/Public Works Director Priebe, Com- munity Development Director Pauley, and City Attorney Schantzen. 2. INVOCATION The invocation was given by the Reverend E. David Natwick of the Christ the King Lutheran Church. 3. MINUTES On motion by Alderman Haag, seconded by Alderman Westlund, the minutes of the Regular Meeting of June 28, 1977 were approved unanimously. 4. PUBLIC HEARING None 5. COMMUNICATIONS, REQUESTS AND PETITIONS (a) CONSIDERATION OF REQUEST TO USE LIBRARY SQUARE ON SEPTEMBER 16 AND 17, 1977 FOR THIRD ANNUAL ARTS AND CRAFTS FESTIVAL After discussion, it was moved by Alderman Haag, seconded by Alderman B. Peterson, to approve the request to use Library Square on September 16 and 17, 1977 for an Arts and Crafts Festival, contingent upon other provisions being made in the event of rain. Motion carried unanimously. (b) CONSIDERATION OF RECOMMENDATION TO PERMANENTLY APPOINT JODELL ANDERBERG After discussion, it was moved by Alderman Haag, seconded by Alderman K. Peterson, to approve the permanent appointment of Jodell Anderberg with the recommendation of Chief of Police O'Borsky. Motion carried unanimously. 6. RESOLUTIONS AND ORDINANCES (a) ORDINANCE NO. 16/77 - AN ORDINANCE AMENDING ORDINANCE NO. 464 CONCERNING ZONING REGULATIONS IN THE CITY OF HUTCHINSON AND THE OFFICIAL ZONING MAP (H. H. LEPEL) Council Minutes July 12, 1977 After discussion, it was moved by Alderman K. Peterson, seconded by Alderman Westlund, to waive second reading and adopt Ordinance No. 537 entitled An Ordinance Amending Ordinance No. 464 Concerning Zoning Regulations in the City of Hutchinson and the Official Zoning Map (H. H. Lepel). Motion carried unanimously. (b) RESOLUTION NO. 5982 - RESOLUTION AUTHORIZING THE SIX EAST COMMUNITY ACTION AGENCY TO APPLY FOR LOCAL SHARE OF MHFA GRANT MONEY After discussion, it was moved by Alderman Westlund, seconded by Alder- man B. Peterson, to waive reading and adopt Resolution No. 5982 entitled Resolution Authorizing the Six East Community Action Agency to Apply for Local Share of MHFA Grant Money. Motion carried unanimously. (c) ORDINANCE NO. 17/77 - ORDINANCE AMENDING ORDINANCE NO. 464 CONCERNING ZONING REGULATIONS IN THE CITY OF HUTCHINSON AND OFFICIAL ZONING MAP TO ALLOW VARIANCES FOR SIGNS After discussion, it was moved by Alderman Haag, seconded by Alderman B. Peterson, to waive second reading and adopt Ordinance No. 538 en- titled Ordinance Amending Ordinance No. 464 Concerning Zoning Regulations in the City of Hutchinson and Official Zoning Map to Allow Variances for Signs. Motion carried unanimously. 7. REPORTS OF OFFICERS, BOARDS AND COMMISSIONS (a) MINUTES OF HUTCHINSON PLANNING COMMISSION DATED MAY 17, 1977 There being no discussion, the minutes were ordered by the Mayor to be received for filing. (b) MINUTES OF HUTCHINSON COMMUNITY CENTER BOARD DATED JUNE 15, 1977 Alderman Westlund reported that the concrete floor in the Civic Arena has been completed and the bleachers are being moved into the Arena. Administrative Assistant Plotz commented that the final contract with the School District for use of the Civic Arena has not yet been drawn up, but it is anticipated to be completed within the next week. At that time, City Attorney Schantzen will review it. (c) BUILDING OFFICIAL'S MONTHLY REPORT - JUNE 1977 There being no discussion, the report was ordered by the Mayor to be received for filing. (d) MONTHLY FINANCIAL REPORT - JUNE 1977 There being no discussion, the report was ordered by the Mayor to be received for filing. -2- Council Minutes July 12, 1977 8. UNFINISHED BUSINESS - 8:00 P.M. (a) CONSIDERATION OF DISCUSSION WITH WILLIAM PAULSON FROM WM.-JAMES AUTO, INC. (FORMERLY MOEHRING MOTORS) REGARDING SPECIAL PERMIT TO USE BOULE- VARD Mayor Black deferred the above-mentioned topic and asked to meet with Mr. William Paulson on a more informal basis to discuss the use of the City boulevard for parking cars. 9. NEW BUSINESS (a) CONSIDERATION OF PROPOSED CHANGES IN SCHOOL SIGNS AROUND ELEMENTARY SCHOOL Chief of Police O'Borsky and Brian Buchmayer, Business Manager of School District No. 423, appeared before the Council and presented a report on the traffic problems around the Elementary School and reasons for changing the school signs in this area. They also gave several recommendations to rectify the situation. Chief O'Borsky estimated that the cost of executing the proposed changes would be less than $500, and he and Mr. Buchmayer will bring a recommen- dation back to the Council after they have secured a firm figure of the actual costs. (b) CONSIDERATION OF DOWNTOWN STUDY: 1. PRESENTATION OF DOWNTOWN STUDY WITH RECOMMENDATION BY DOWNTOWN STUDY COMMITTEE TO ACCEPT Chairman Howard (Skip) Quade represented the Downtown Study Com- mittee. He recommended the Council accept the Downtown Study and establish a date for a public hearing. He then called upon Jo Wil- mert, from the Downtown Council, who presented a petition of 62 names in support of the Downtown Study. It was moved by Alderman Westlund, seconded by Alderman Haag, to accept the Downtown Study with the recommendation of the Downtown Study Committee and the petitions. Motion carried unanimously. Mayor Black called upon Clarence Simonowicz to explain what is being accepted at this meeting. Mr. Simonowicz recommended that a date for a public hearing be set so that the public could attend and voice an opinion on the Downtown Study. It was moved by Alderman Westlund, seconded by Alderman B. Peterson, to set a public hearing on the Downtown Study for August 17, 1977, 7:30 P.M. in the Auditorium of the Elementary School. Motion car- ried unanimously. -3- Council Minutes July 12, 1977 Mayor Black opened the meeting to the public, and the following made comments about the Downtown Study: James DeMeyer - Referred to proposed moratorium and com- 364 Larson mented that he is opposed to it. He can- not see a reason for one, and if it is adopted, the moratorium should be for all areas and not just for certain situations to be fair. Commented that the City of Hutchinson was built to serve a wide range of people, and expansion has taken place over the years. Some of the downtown merchants would like to grow again. This Study can use growth downtown and elsewhere in the City as well, as there is a balance of need. Although Mr. DeMeyer favors the Downtown Study, he does not feel the people would favor a moratorium. Richard Peterson - Referred to Item 9-d on agenda regarding (Representing 40 acre property across from Shopping Cen- Orville Lund) ter and asked for discussion on the mora- torium. Sees moratorium as a means of get- ting the Downtown Study program together and resisting competition by using Zoning as a regulation of competition. Milton Lueneburg - Thinks the Downtown concept is fantastic 550 Third Ave. S.W. and supports the moratorium to allow time for an in-depth study. Richard Schmidtbauer - Referred to the Plaza 15 Shopping Center Century Avenue when it was built and the opposition and skepticism it received then. He owned property where shopping center is now. He views the proposed shopping center as a real asset to Hutchinson and would not favor a moratorium. Howard (Skip) Quade - Commented that the Downtown Study Com - Sioux Hills mittee is not asking for a moratorium of an extended length but only for a 6 -month period to explore the possibilities and give it study and evaluation. Opportunity should be given to the plan to see that it will be successful. The City warrants such a moratorium after all the expense of hir- ing a consultant to do the study. -4- Council Minutes July 12, 1977 LeRoy Christensen - Mentioned that Great Plains bought 8-1/2 Route 1 acres from him in January. Can't see any reason for waiting six -months to get per- mission to purchase property. John Korngiebel - Commented on zoning being for the com- Sioux Hills munity and not for one or two individuals. A moratorium should include everything. Robert Stearns - Commented that this plan was not to put 375 First Ave. N.W. "one against another". Money has been spent to make this study, and others, and he supports the moratorium so that the Planning Commission and City Council can review the study and make judgments and assess the situation. The moratorium should be for a short period of time. Made reference to situation in Duluth and Superior where the downtown suffered as a result of outer area businesses. Conse- quently, these two towns put a summer mora- torium on the development of fringe areas. Kenneth Born - Concerned about 6 -month moratorium as it (Property Owner imposes problems on private citizens in in Hutchinson) dollar values. The downtown area should have a program to help them, but the peo- ple on the fringe area should also be able to develop without a moratorium. It would be detrimental to the property owners. 2. RECOMMENDATION BY DOWNTOWN STUDY COMMITTEE TO DECLARE A 6 -MONTH MORATORIUM ON ANY NEW MAJOR RETAIL DEVELOPMENT Alderman Westlund asked City Attorney Schantzen for his comments on a moratorium. Mr. Schantzen was skeptical if the City could declare a 6 -month moratorium on any major retail development. There are many questions that would have to be answered before he could determine an answer. Whatever is done would have to apply to all areas of the City and not to one or two locations or areas. Alderman K. Peterson expressed her concern about setting a moratorium at this time when there is a request from a private enterprise to establish a new business. She could not go along with a moratorium. Alderman Westlund commented on the time and study that has gone into this proposal and the enthusiasm that has been shown by the people for it. He felt the Council would not be giving the Study much sup- port if they did not show interest for the Study. He suggested -5- Council Minutes July 12, 1977 having a two-week moratorium and seek legal counsel. He would pre- fer to see development in the downtown area rather than the out- skirts of the city. Mayor Black responded that he is not in favor of a moratorium, al- though he is in support of the program that is proposed in the Down- town Study. There is no assurance that either of the propositions will be carried out. There has been very little response from the public up to this time, but all was favorable. He doesn't know why both concepts can't work, and he sees no reason for a moratorium. The motion was made by Alderman Westlund, seconded by Alderman Haag, to put a two-week moratorium only on major retail development in Hutchinson and secure legal advice from City Attorney. Aldermen Haag and Westlund voted yes; Aldermen B. Peterson and K. Peterson and Mayor Black voted no. Motion was defeated. Mayor Black declared a five-minute recess. (c) CONSIDERATION OF REQUEST FOR CONDITIONAL USE PERMIT SUBMITTED BY HUTCHIN- SON WAREHOUSE GROCERY WITH FAVORABLE RECOMMENDATION OF PLANNING COMMISSION City Engineer/Public Works Director Priebe reported that a Conditional Use Permit is required by the Flood Plain Ordinance to bury tanks in this area. It was moved by Alderman Westlund, seconded by Alderman Haag, to waive reading and adopt Resolution No. 5986 entitled A Resolution Granting Con- ditional Use Permit Under Sect -on 5.01 of the 1975 Zoning Ordinance to Allow for Placement of Gasoline Storage Tanks in the Flood Fringe Area. Motion carried unanimously. (d) CONSIDERATION OF REQUEST FOR REZONING FROM R-2 TO C-4 THE 40 ACRE PROPERTY ACROSS FROM PLAZA 15 SHOPPING CENTER WITH FAVORABLE RECOMMENDATION OF PLANNING COMMISSION Mayor Black reported that consideration of the rezoning for the 40 acre property across from Plaza 15 Shopping Center would be deferred to the next Council meeting inasmuch as a legal technicality had been overlooked by the Planning Commission. They had neglected to submit a written re- port of their recommendation within the 30 days since action was taken. It was moved by Alderman Westlund, seconded by Alderman K. Peterson, to defer the above referenced item until the next Council meeting. Motion carried unanimously. (e) CONSIDERATION TO AMEND SECTION 302 - FIRE ZONE AND BURNING REGULATIONS Building Inspector Willard reported that in order to allow the McLeod County Family Care Center to construct a Type V 1 Hour wood frame Council Minutes July 12, 1977 addition on Lots 9 & 10, Block 42, N 1/2 City of Hutchinson, the Fire Zone and Burning Regulations Section in the Ordinance would have to be amended to exclude this property. Fire Chief Smith is in agreement that above stated addition would cause no hazardous problems. After discussion, it was moved by Alderman Westlund, seconded by Alder- man K. Peterson, to approve the amendment of Section 302 - Fire Zone and Burning Regulations and waive first reading and set second reading for July 26, 1977. Motion carried unanimously. (f) CONSIDERATION OF EMPLOYMENT OF DAVID KRAUSE AS LIQUOR STORE MANAGER EFFECTIVE AUGUST 1, 1977 Alderman Westlund moved that David Krause be employed as Liquor Store Manager, effective August 1, 1977. Seconded by Alderman K. Peterson, the motion carried unanimously. (g) CONSIDERATION OF EMPLOYMENT OF KENNETH MERRILL AS CITY ACCOUNTANT/ CONTROLLER EFFECTIVE JULY 25, 1977 After discussion, it was moved by Alderman Westlund, seconded by Alder- man B. Peterson, to approve the employment of Kenneth Merrill as City Accountant/Controller, effective July 25, 1977. Motion carried unani- mously. (h) CONSIDERATION OF LOT 10, BLOCK 11, BONNIWELL'S SECOND ADDITION This particular property is very unkempt, and some action needs to be taken to force the owner to clean it up. City Attorney Schantzen sug- gested bringing a misdemeanor of criminal offense against the owner and hold a fine against him until the area is cleared. After discussion, it was moved by Alderman Haag, seconded by Alderman Westlund, to authorize City Attorney Schantzen to proceed with above stated action. Motion carried unanimously. (i) CONSIDERATION OF DELINQUENT WATER AND SEWER ACCOUNTS Mayor Black read a copy of the letter which had been mailed to delinquent account holders and asked if there was anyone present wishing to be heard. It was moved by Alderman Westlund, seconded by Alderman B. Peterson, to discontinue service for the following accounts. Motion carried unani- mously. 3-1250-1-00 4-0850-5-00 8-0370-1-00 12-1450-1-00 It was moved by Alderman Haag, seconded by Alderman B. Peterson, to discontinue service as of July 16, 1977 if the promised payment was -7- Council Minutes July 12, 1977 not received on July 15, 1977 for account No. 11-0250-0-00. Motion carried unanimously. (j) CONSIDERATION OF INCREASING RATES FOR REFUSE SERVICE Administrative Assistant Plotz commented that it will be necessary to increase the rates for refuse service in accordance with the new con- tract that was recently signed with Junker Sanitation Service, Inc. He further pointed out that there are 87 senior citizens who have ap- plied for reduced rates and are presently paying $1.00 per month, with the City paying the difference of $2.25 per month. He wondered if this rate should be adjusted along with the other rate. After discussion, it was moved by Alderman Haag, seconded by Alderman K. Peterson, that the City continue to subsidize monies above the $1.00 per month rate charged senior citizens who qualify for subsidized bill- ing for refuse service. Motion carried unanimously. It was moved by Alderman K. Peterson, seconded by Alderman B. Peterson, to waive reading and adopt Resolution No. 5982 entitled Resolution In- creasing Rates for Refuse Service. Motion carried unanimously. (k) CONSIDERATION OF APPROVAL TO MOVE ACCESSORY BUILDING SUBMITTED BY RICHARD LARSON After discussion, it was moved by Alderman K. Peterson, seconded by Alderman Westlund, to approve the request of Richard Larson to move an accessory building from his property that is part of Lot 92, Southwest part of City to property near Highway 7 East. Motion carried unanimously. 10. MISCELLANEOUS (a) COMMUNICATIONS FROM CLERK -ADMINISTRATIVE ASSISTANT Administrative Assistant Plotz reported that budget preparation will begin shortly and worksheets will be sent to the department heads. Mr. Plotz informed the Council that the State Demographer had reversed an earlier decision regarding the City of Hutchinson's estimated popu- lation figure of 9,546. He and Clarence Simonowicz of CRS & Associates will be meeting with Hazel Reinhardt on Wednesday morning, July 13, 1977 to further discuss acceptance of the above stated figure. The four approved depositories for the City of Hutchinson have been con- tacted regarding investing monies received from the recent $780,000 bond issue. City Attorney Schantzen is working with Mr. Plotz on this matter, and it is anticipated that the closing will be completed later this week. The State Municipal Board has scheduled an annexation hearing on the Munsell property for August 4, 1977, 9:30 A.M., at City Hall. WZ Council Minutes July 12, 1977 The City of Hutchinson has requested a multi -project CETA Grant. The initial contract is in the amount of $14,495, extending through Novem- ber 18, 1977, and involves five positions. It is expected that a new contract after the November 18 expiration date will be written for the one or two positions that are projected to continue beyond that date. Mr. Plotz reported that he, Bill Rosenow, Philip Graves, and Rufus Alexander have done considerable review on computer services, and it is their recommendation that the City dissolve its present shared ar- rangement. The Utilities Commission will continue with the present system, the Hospital will use Health Central, and the City will leave the billing for sewer, water and refuse service on the present system at the Utilities but take other services to the LOGIS System. All three entities will experience savings as a result. After discussion, it was moved by Alderman Westlund, seconded by Alder- man Haag, to waive reading and adopt Resolution No. 5984 entitled Reso- lution to Dissolve Present Shared Arrangement for Computer Services. Motion carried unanimously. It was moved by Alderman Westlund, seconded by Alderman B. Peterson, to waive reading and adopt Resolution No. 5985 entitled Resolution Author- izing the Mayor and City Administrator to Accept Local Government Infor- mation Systems (LOGIS) Joint and Cooperative Agreement and Appointing the City Administrator as Director and the Accountant/Controller as Alternate Director, with the following contingencies: "AND BE IT FURTHER RESOLVED, that participation by Hutchinson in LOGIS shall be contingent upon receiving a grant of monies from or through the State of Minnesota covering the first 12 -months administrative expenses, and also, contin- gent upon receiving a grant from or through the State of Minnesota cover- ing the first 24 -months of long distance telephone expenses." Motion carried unanimously. (b) COMMUNICATIONS FROM MAYOR BLACK Mayor Black commented on a letter received from City Attorney Schantzen and Chief of Police O'Borsky regarding parties held in the parks late at night. It was their recommendation to adopt an Ordinance that prohibits non -intoxicating malt liquor to be consumed in any of the parks after 10:00 P.M. After discussion, it was moved by Alderman Westlund, seconded by Alder- man Haag, to waive the first reading of Ordinance No. 20/77 and set the second reading for July 26, 1977. Motion carried unanimously. (c) COMMUNICATIONS FROM CITY ENGINEER/PUBLIC WORKS DIRECTOR City Engineer/Public Works Director Priebe commented on the memorandum he had sent the Mayor and City Council regarding the removal of Elm trees Mem Council Minutes July 12, 1977 on City property which are too large for City equipment. Assistance is, therefore, required from private contractors. It is Mr. Priebe's estimate that a maximum of 100 hours would be required, and he recom- mends Hutchinson Landscaping for work on the street right-of-way and Del Weis for assistance in City parks and cemetery property. After discussion, it was moved by Alderman Haag, seconded by Alderman B. Peterson, to accept the recommendation of City Engineer/Public Works Director Priebe as stated above and authorize the request. Motion car- ried unanimously. Mr. Priebe reported that there has been a problem of individuals sell- ing produce on City property. Mayor Black responded that there is an ordinance against such selling. The City's storm and sanitary sewer lines need to be cleaned so Mr. Priebe requested authorization to have an outside firm come in and do this work. The cost would be approximately $3,500, and money is in the budget to cover the expense. After discussion, it was moved by Alderman Haag, seconded by Alderman B. Peterson, to approve the request and authorize City Engineer/Public Works Director Priebe to hire someone to clean the City's storm and sanitary sewer lines for an approximate cost of $3,500. Motion carried unanimously. Mr. Doug Hedin has been working with Mr. Priebe in rewriting the two- way radio specifications, and they are ready for bids. They have been written so that all interested companies can submit proposals. After discussion, it was moved by Alderman Westlund, seconded by Alder- man Haag, to approve the specifications and authorize advertising for bids to be received Friday, August 5, 1977, 4:00 P.M., at City Hall. Motion carried unanimously. City Engineer/Public Works Director Priebe recommended the awarding of contract to Juul Contracting Co., Hutchinson, in the amount of $29,922.50 for the sanitary sewer and lift station improvements, Project 77-35 let- ting which was bid this afternoon, July 12, 1977. After discussion, it was moved by Alderman K. Peterson, seconded by Alderman B. Peterson, to award the bid to Juul Contracting Co., Hutchin- son, in the amount of $29,922.50 for Project 77-35 upon recommendation of City Engineer. Motion carried unanimously. Mr. Priebe indicated that there have been some problems with large water bills resulting from estimated water meter readings over a period of time. He wondered what steps should be taken in this situation. -10- Council Minutes July 12, 1977 After discussion, it was moved by Alderman Haag, seconded by Alderman K. Peterson, to extend the billing period for three additional months to enable those with large water bills to pay the amount due. Motion carried unanimously. There are classes being conducted at the Hutchinson Area Vocational Technical Institute that employees from the Water and Sewer Department would like to attend, with Council approval. It was moved by Alderman Westlund, seconded by Alderman Haag, to ap- prove attendance of classes at HAVTI. Motion carried unanimously. (d) COMMUNICATION FROM ROGER ZIEMER CONCERNING EASEMENT Mr. Roger Ziemer appeared before the Council and protested that he was being forced to give 30 feet of property for an easement to the City. He didn't feel this demand was fair inasmuch as there is no place for a road to go. City Engineer/Public Works Director Priebe showed a drawing of the area and expressed his belief that this land is necessary for the full develop- ment of the area. Looking to the future, the City does not want the land on the back of the lot to be land -locked if it is ever developed. Mr. Ziemer conceded that he would release the legal papers for the ease- ment and turned them over to City Engineer Priebe. It was moved by Alderman K. Peterson, seconded by Alderman Westlund, to waive second reading and adopt Ordinance No. 531 entitled An Ordinance Amending Ordinance No. 464 Concerning Zoning Regulations in the City of Hutchinson and the Official Zoning Map (Wallner & Ziemer). Motion car- ried unanimously. , (e) COMMUNICATION FROM COMMUNITY DEVELOPMENT DIRECTOR Community Development Director Pauley made reference to his memorandum regarding National endowment for the Arts Grants and pointed out this is a private federat agency. To be accepted is a very high honor, and funds from this graft could help pay for the final planning of the Down- town Study if Hutchjnson were one of the chosen applicants. After discussion, it was moved by Alderman Westlund, seconded by Alder- man Haag, to authorize Clarence Simonowicz, Westly Hendrickson, and Don Pauley to prepare the application for the National Endowment for the Arts Grants. Motion carried unanimously. (f) COMMUNICATION FROM ALDERMAN HAAG Alderman Haag inquired about a report from City Attorney Schantzen and -11- Council Minutes July 12, 1977 City Engineer/Public Works Director Priebe regarding the two warehouses that had been discussed at the June 28, 1977 Council meeting. Mr. Schantzen replied that he had been unable to reach the property owner, but he would keep working on the matter. Alderman Haag commented that some time ago he had requested a report on parking meters. He felt a review should be made of costs and receipts to determine how we stand in this area. The dollar amount of fine money collected is down. Mayor Black then requested that this item be placed on the Council agenda for the next meeting. Mr. Haag posed a question on rusty street signs located in various areas of the city. Assistant Public Works Director Roberts reported that his department is in the process of replacing them, but it will take a while to complete the task. (g) COMMUNICATION FROM ALDERMAN K. PETERSON Alderman K. Peterson inquired about signs for the West River Park Camp- grounds. The State will provide signs along the highway, but signs are needed within the City limits to direct people to the camp site. Since the Gopher Campfire Wildlife Sanctuary is along the same route, perhaps it could be included on the sign. Community Development Director Pauley presented a proposed layout for a sign. Suggestions were made regarding the wording and size of lettering, and Mr. Pauley intends to meet with the sign maker regarding the sugges- tions. 11. CLAIMS. APPROPRIATIONS AND CONTRACT PAYMENTS (a) VERIFIED CLAIMS A motion was made by Alderman Westlund, seconded by Alderman B. Peterson, to approve the verified claims and authorize payment from the appropriate funds. Motion carried unanimously. 12. ADJOURNMENT There being no further business to come before the Council, the meeting was adjourned at 10:23 P.M. on motion by Alderman Westlund, seconded by Alderman B. Peterson. Motion carried unanimously. -12-