Loading...
08-26-1980 CCMMINUTES REGULAR MEETING - HUTCHINSON CITY COUNCIL TUESDAY, AUGUST 26, 1980 1. CALL TO ORDER Mayor Westlund called the meeting to order at 7:30 P.M., with the following mem- bers present: Aldermen Peterson, Lueneburg, Gruenhagen, and Beatty, in addition to Mayor Westlund. Absent: None. Also Present: City Administrator Plotz, City Engineer Priebe, and City Attorney Schantzen. 2. INVOCATION The invocation was presented by Reverend Maynard Johnson of the Shalom Baptist Church. 3. MINUTES The minutes of the Special and Regular Meetings of August 12, 1980 and Special Workshop Meeting of August 25, 1980 were approved as presented upon motion by Ald- erman Lueneburg, seconded by Alderman Gruenhagen and unanimously carried. 4. PUBLIC HEARING - 8:00 P.M. At 8:00 P.M. Mayor Westlund called to order the Public Hearing on the proposed Assessment Rolls 79-85. City Administrator Plotz explained the procedure for paying the assessment costs. He further pointed out the interest rate per annum on the unpaid balance of the assessments will be 7%. Assessment Rolls No. 79, 80, 81, 82, 83, 84 and 85 shall all be payable in equal annual installments extending over a period of 10 years. It was moved by Alderman Beatty, seconded by Alderman Gruenhagen, to approve the 7% interest rate on the Assessment Rolls No. 79, 80, 81, 82, 83, 84 and 85. Mo- tion unanimously carried. (a) CONSIDERATION OF PROPOSED ASSESSMENT ROLL NO. 79 Mayor Westlund read Publication No. 2324, Notice of Hearing On Proposed Assess- ment, Assessment Roll No. 79, Project 79-03. He then asked if there was any- one present wishing to be heard. N_ COUNCIL MINUTES AUGUST 26, 1980 Pat Mikulecky 385 Connecticut (Hilltop Addn.) Marlow Priebe City Engineer Referred to April 10, 1979 Council meeting St. at which time the 1979 Improvement Projects were approved and a public hearing date set. Stated the project was listed for curb and gutter, with no mention of driveway apron; however, the assessment lists curb and gut- ter and appurtenances. Felt the wording should be the same on both notices. Won- dered if he had to pay for the driveway panel; the bill should be for what they were notified of. His assessment was for $437.35 for a driveway panel, but a local contractor could do it for a savings of $202.35. Mike Stewart 400 Connecticut St. Marlow Priebe City Engineer -2- Requested a copy of the minutes from the April 10, 1979 Council meeting. Felt the tax payer should be informed and not go by the policy of what was always done. Had been told by an attorney that if anything is added on later, it could not be assessed. Commented driveway panels are placed where there are driveways in place. This is part of the project and is not listed; it has always been done this way. Curb cuts are part of curb and gutter. Commented on Mr. Mikulecky's remarks and stated he had a similar situation. He had no information on an apron, but came home one day and it was already in. He had no say on the matter and was not con- tacted for location. He had attended the public hearing and nothing was said about an apron, only curb and gutter. City policy is to contact everyone for location of the apron. Atkinson was the contractor for the project. If no one is reachable, the apron is put in as close as possible as to where the driveway is in. It is not feasible to consider panels as part of the project since some property does not have driveway panels. The sub- division agreement calls for all the im- provements. COUNCIL MINUTES AUGUST 26, 1980 Mayor Westlund Pointed out to keep in mind that on all subdivisions, this is required when the developer enters into agreement. Develop- ment includes all these items. Suggested discussing this matter further following the Council meeting. (b) CONSIDERATION OF PROPOSED ASSESSMENT ROLL NO. 80 Mayor Westlund called the hearing on proposed Assessment Roll No. 80, Project 79-01 & 79-07, with the reading of Publication No. 2322. There was no one present who wished to be,heard. (c) CONSIDERATION OF PROPOSED ASSESSMENT ROLL NO. 81 Mayor Westlund called the hearing on proposed Assessment Roll No. 81, Project 79-02 & 79-08, with the reading of Publication No. 2323. Richard Schmidtbauer 215 Echo Drive (Apts.) Marlow Priebe City Engineer -3- Stated he felt the assessed cost for the storm sewer was high since this was the second time in five years it had been put in. He also felt the two apartment buildings and bank in the area were the cause for the line being put in. Stated that at time the public hearing was held on the project, it was pointed out the line was for residential useage of land area. Since that time more de- velopment and parking has required an additional line for the area to handle the water, and the line on the west side of the street was added to connect to an existing line. Cost was based on area served and pro- rated accordingly on a square foot basis. It is higher than when the storm sewer originally went in in 1969 as costs have risen. The apartment buildings were not the reason for the new line, but rather because of the flooding problem on the street caused by backup in the line system. COUNCIL MINUTES AUGUST 26, 1980 (d) CONSIDERATION OF PROPOSED ASSESSMENT ROLL NO. 82 Mayor Westlund called the hearing on proposed Assessment Roll No. 82, Project 79-04, with the reading of Publication No. 2325. Bernie Knutson Stated he had a lot on Michigan Street Sioux Hills where Lynn Card Co. is located. Raised a question on the storm sewer and where it went. Commented that the line drains the park area and wondered if the busi- nesses should be assessed for the entire amount or pro -rated between Card Co. and Hands, Inc. He had discussed the cut line with the City and thought drainage should be done. Now he was paying the entire bill, and the line was draining two properties, his and Hands, Inc. Marlow Priebe Stated the storm sewer line goes between City Engineer Hands, Inc. and Lynn Card Co. He further pointed out it was Mr. Knutson's request to put in the line. If there is future development in the area, the City will try to put a sewer line charge on for build- ing in that area. (e) CONSIDERATION OF PROPOSED ASSESSMENT ROLL NO. 83 Mayor Westlund called the hearing on proposed Assessment Roll No. 83, Project 78-05, with the reading of Publication No. 2326. There was no one present who wished to be heard. (f) CONSIDERATION OF PROPOSED ASSESSMENT ROLL NO. 84 Mayor Westlund called the hearing on proposed Assessment Roll No. 84, Project 79-05, with the reading of Publication No. 2327. There was no one present who wished to be heard. (g) CONSIDERATION OF PROPOSED ASSESSMENT ROLL N0. 85 Mayor Westlund called the hearing on proposed Assessment Roll No. 85, Project 79-06, with the reading of Publication No. 2328. There was no one present who wished to be heard. It was moved by Alderman Lueneburg to declare the hearings closed at 8:55 P.M. Seconded by Alderman Beatty, the motion unanimously carried. -4- COUNCIL MINUTES AUGUST 26, 1980 RESOLUTION NO. 6606 It was moved by Alderman Lueneburg, seconded by Alderman Peterson, to waive reading and adopt Resolution No. 6606 entitled Adopting Assessment Roll No. 79, Project 79-03, with the exception of Item No. 17 for assessment to Pat- rick M. Mikulecky, which will be referred to the next Council meeting. Mo- tion carried unanimously. RESOLUTION NO. 6607 It was moved by Alderman Beatty, seconded by Alderman Gruenhagen, to waive reading and adopt Resolution No. 6607 entitled Adopting Assessment Roll No. 80, Project 79-01 & 79-07. Motion carried unanimously. RESOLUTION NO. 6608 It was moved by Alderman Beatty, seconded by Alderman Peterson, to waive reading and adopt Resolution No. 6608 entitled Adopting Assessment Roll No. 81, Project 79-02 & 79-08. Motion carried, with Alderman Gruenhagen abstain- ing from voting. RESOLUTION NO. 6609 It was moved by Alderman Lueneburg, seconded by Alderman Beatty, to waive reading and adopt Resolution No. 6609 entitled Adopting Assessment Roll No. 82, Project 79-04, with the exception of Items No. 11 and 46 assessed to Lynn Card Co. and Hands Inc. respectively for storm sewer only. Motion car- ried unanimously. RESOLUTION NO. 6610 It was moved by Alderman Beatty, seconded by Alderman Peterson, to waive read- ing and adopt Resolution No. 6610 entitled Adopting Assessment Roll No. 83, Project 78-05. Motion carried unanimously. RESOLUTION NO. 6611 It was moved by Alderman Beatty, seconded by Alderman Peterson, to waive read- ing and adopt Resolution No. 6611 entitled Adopting Assessment Roll No. 84, Project 79-05. Motion carried unanimously. RESOLUTION NO. 6612 It was moved by Alderman Beatty, seconded by Alderman Peterson, to waive read- ing and adopt Resolution No. 6612 entitled Adopting Assessment Roll No. 85, Project 79-06. Motion carried unanimously. -5- COUNCIL MINUTES AUGUST 26, 1980 (h) CONSIDERATION OF PROPOSED USE OF REVENUE SHARING - 8:30 P.M. The public hearing was called to order at 10:25 P.M. with the reading of Publication No. 2329, Notice of Public Hearing On Proposed Use of Revenue Sharing,by Mayor Westlund. Betty Witcher, representing the senior citizens, and JoAnn Gehlen, Senior Citizens Coordinator, appeared before the Council. Mrs. Witcher reported that effective June 30, 1981 the funding from the Older Americans Act will no longer be available for their program. Also, on Octo- ber 1, 1980 the activities funded through the Nutrition program will no longer be funded. Therefore, there is a need for local and county funding to support the present programs. They are working toward a goal of a common Center for senior people. Since funds are needed, an application could be submitted to the Older Americans for a 3-B Multi -Purpose Center Grant. However, there will be need for a salaried Coordinator and equipment. Therefore, it was requested the Council consider money from the Revenue Funds for the Senior Citizens Cen- ter. JoAnn Gehlen stated most people see the "fun" part of the activities, which are self-supporting. Volunteer drivers are needed, with 85% of the out-of- town trips for referrals and medical reasons. The Senior Center offers a cen- tral location for people to obtain needed information about various available services. Mayor Westlund concurred there was a need for a Center for the senior people. He felt the proposed elderly high rise was the best location for the Center. He further expressed concern that federal funds are expiring by a certain date. The programs were established by another outside group. Now the federal and state governmental programs are being dropped onto the local government. The programs are necessary, but the funds may not be available to support them. He then suggested they apply for any available grants. It was moved by Alderman Beatty to close the hearing at 10:35 P.M. Seconded by Alderman Lueneburg, the motion unanimously carried. 5. COMMUNICATIONS, REQUESTS AND PETITIONS (a) CONSIDERATION OF REQUEST FOR REDUCED TRASH AND REFUSE RATES BY MRS. CHRISTINE HAKEL Following discussion, the motion was made by Alderman Gruenhagen to approve reduced rates for Mrs. Christine Hakel. The motion was seconded by Alderman Beatty and carried unanimously. (b) CONSIDERATION OF REQUEST FOR DICK NAGY TO ATTEND AMERICAN WATER WORKS ASSOCIATION CONFERENCE OCTOBER 1-3, 1980 COUNCIL MINUTES AUGUST 26, 1980 After discussion, Alderman Beatty moved to approve Dick Nagy attending the Water Works Conference. Seconded by Alderman Lueneburg, the motion carried unanimously. 6. RESOLUTIONS AND ORDINANCES (a) RESOLUTION NO. 6597 - RESOLUTION OF APPRECIATION (HOWARD P. QUADE) Following discussion, it was moved by Alderman Beatty, seconded by Alderman Lueneburg, to waive reading and adopt Resolution No. 6597 entitled Resolution of Appreciation. Motion carried unanimously. (b) RESOLUTION NO. 6598 - RESOLUTION OF APPRECIATION (RUTH ENGEL) After discussion, the motion was made by Alderman Gruenhagen, seconded by Alderman Lueneburg, to waive reading and adopt Resolution No. 6598 entitled Resolution of Appreciation. Motion unanimously carried. (c) RESOLUTION NO. 6601 - TRANSFERRING $10,000 FROM LIQUOR STORE TO GENERAL FUND Following discussion, Alderman Gruenhagen moved to waive reading and adopt Resolution No. 6601 entitled Transferring $10,000 from Liquor Store to Gen- eral Fund. Seconded by Alderman Beatty, the motion carried unanimously. (d) RESOLUTION NO. 6602 - RESOLUTION AUTHORIZING SUBSTITUTION OF SECURITIES TO CITIZENS BANK & TRUST CO. OF HUTCHINSON, MINNESOTA After discussion, it was moved by Alderman Beatty to waive reading and adopt Resolution No. 6602 entitled Resolution Authorizing Substitution of Securi- ties to Citizens Bank & Trust Co. of Hutchinson, Minnesota. The motion was seconded by Alderman Gruenhagen and unanimously carried. (e) RESOLUTION NO. 6600 - RESOLUTION OF AGREEMENT WITH MINNESOTA DEPARTMENT OF NATURAL RESOURCES FOR ELM WOOD UTILIZATION PROJECT Following discussion, the motion was made by Alderman Gruenhagen, seconded by Alderman Beatty and carried unanimously, to waive reading and adopt Reso- lution No. 6600 entitled Resolution of Agreement with Minnesota Department of Natural Resources for Elm Wood Utilization Project. 7. REPORTS OF OFFICERS. BOARDS AND COMMISSIONS (a) MONTHLY FINANCIAL REPORT - JULY 1980 There being no discussion, the report was ordered by the Mayor to be received for filing. -7- COUNCIL MINUTES AUGUST 26, 1980 (b) MINUTES OF TREE BOARD DATED JULY 22, 1980 There being no discussion, the minutes were ordered by the Mayor to be re- ceived for filing. (c) MINUTES OF AIRPORT COMMISSION DATED AUGUST 13, 1980 There being no discussion, the minutes were ordered by the Mayor to be re- ceived for filing. (d) MINUTES OF NURSING HOME BOARD DATED JULY 17, 1980 There being no discussion, the minutes were ordered by the Mayor to be re- ceived for filing. (e) MINUTES OF PLANNING COMMISSION DATED JULY 15, 1980 There being no discussion, the minutes were ordered by the Mayor to be re- ceived for filing. 8. UNFINISHED BUSINESS (a) CONSIDERATION OF PURCHASE OF BLOOD GAS MACHINE FOR HOSPITAL (DEFERRED 6-24-80) The Hutchinson Community Hospital has requested approval to purchase a Corning 165/2 blood gas analyzer in the amount of $6,700 from Corning Medical. It was moved by Alderman Gruenhagen, seconded by Alderman Beatty, to approve the purchase of the blood gas machine for the Hospital. Motion carried unani- mously. (b) CONSIDERATION OF AWARDING BID FOR CONCRETING EXISTING PARKING LOT AT HOSPITAL (DEFERRED AUGUST 12, 1980) Bids were opened on August 12, 1980 for concreting the existing parking lot at the Hospital. It was recommended to award the bid to the Jim Hanson Con- struction in the amount of $12,775 for providing concrete in the Medical Of- fice Building parking lot. The motion was made by Alderman Gruenhagen to award the bid to the Jim Han- son Construction for concrete work at the Hospital. Seconded by Alderman Beatty, the motion unanimously carried. 9. NEW BUSINESS (a) CONSIDERATION OF APPLICATION FOR RETAIL "ON SALE" NON -INTOXICATING MALT LIQUOR LICENSE BY T. L. SCALAWAGS W:12 COUNCIL MINUTES AUGUST 26, 1980 Following discussion, the motion was made by Alderman Lueneburg, seconded by Alderman Beatty and unanimously carried, to issue a Retail "On Sale" Non - Intoxicating Malt Liquor License to T. L. Scalawags. (b) CONSIDERATION OF DELINQUENT WATER AND SEWER ACCOUNTS A copy of the letter sent to all delinquent account holders was read by the Mayor. He then inquired if there was anyone present who wished to be heard regarding his/her account. There was no response. Discussion was given to the outstanding bill for Trails End, Inc. The water has been shut off in the building, but it has not been turned off in the street. A letter was received from Attorney McGraw stating the amount will be paid by December 1, 1980. The City has the option to certify the account to taxes or accept the letter as proof of payment by stated date. It was the consensus of the Council to accept the letter. It was moved by Alderman Beatty to discontinue service on September 2, 1980 at 1:00 P.M. as recommended by staff, for the following unpaid water accounts: 04-1105-9-00, 05-0765-2-00, 08-0545-0-00, 12-1015-2-00, 20-0065- 0-00; with the exception of account No. 02-0645-2-00 which will be paid by December 1, 1980 as stated in letter; all other unpaid accounts will be cer- tified to taxes in October, 1980. The motion was seconded by Alderman Gruen- hagen and carried unanimously. (c) CONSIDERATION OF CHANGING CITY COUNCIL MEETING TIME TO 8:00 P.M. ON SEPTEMBER 9, 1980 Inasmuch as September 9, 1980 will be a State Primary Election day, it will be necessary to change the meeting time for the City Council to 8:00 P.M. on said date. The motion was made by Alderman Gruenhagen, seconded by Alderman Beatty and carried unanimously, to approve the change in meeting time to 8:00 P.M. on September 9, 1980. (d) CONSIDERATION OF 1979 ASSESSMENT ROLL NO. 86 City Engineer Priebe reported that Project 79-02 was for trunk storm sewer and appurtenances in Clifton Heights. The work was started last year and completed this year. It was his recommendation to set the public hearing date for September 9, 1980 at 8:30 P.M. Following discussion, it was moved by Alderman Beatty to waive reading and adopt Resolution No. 6595 entitled Declaring Cost to Be Assessed and Order- ing Preparation of Proposed Assessment, Assessment Roll 86, Project 79-02, Clifton Heights. Seconded by Alderman Lueneburg, the motion unanimously carried. �" COUNCIL MINUTES AUGUST 26, 1980 It was moved by Alderman Beatty, seconded by Alderman Lueneburg and carried unanimously, to waive reading and adopt Resolution No. 6596 entitled For Hear- ing on Proposed Assessment, Assessment Roll 86, Project 79-02, Clifton Heights. (e) CONSIDERATION OF DEFERRED COMPENSATION PLAN City Administrator Plotz reported that six or seven years ago a plan was authorized by the Council to allow City employees to enter into deferred com- pensation that would be tax exempt up to $7,500. He pointed out the Deferred Compensation Plan is not an exclusive plan. Following discussion, Alderman Beatty moved to authorize the Mayor and City Clerk to sign the Deferred Compensation Plan. The motion was seconded by Alderman Lueneburg and carried unanimously. (f) CONSIDERATION OF REQUEST FOR CONDITIONAL USE PERMIT (PUD AMENDMENT) SUBMITTED BY ELDRED MILLER WITH FAVORABLE RECOMMENDATION OF PLANNING COMMISSION, WITH CONTINGENCIES City Engineer Priebe explained the PUD amendment was made to allow five build- ings of two units instead of the original plan of one building of eight units, to be located on lots 1-10 of Stoney Point Addition. At the public hearing held by the Planning Commission, there was opposition by the members of the Townhouse Association to the change in the original plan. Alderman Beatty stated the concept was acceptable to the Planning Commission, and the parties involved seemed to be able to reach an agreement within the proposed plan. After discussion, the motion was made by Alderman Gruenhagen to table the matter to enable the parties to reach an agreement prior to Council approval. Seconded by Alderman Lueneburg, the motion unanimously carried. (g) CONSIDERATION OF REQUEST FOR DETERMINING THE FRONT AND SIDE YARDS FOR LOT 12, BLOCK 4, STONEY POINT ADDITION WITH FAVORABLE RECOMMENDATION OF PLANNING COMMISSION City Administrator Plotz reported a public hearing was held by the Planning Commission with no opposition to changing the front yard on Lot 12, Block 4, Stoney Point Addition to Allen Street. Following discussion, it was moved by Alderman Beatty, seconded by Alderman Gruenhagen, to approve the change in front and side yards. Motion carried unanimously. (h) CONSIDERATION OF REQUEST TO MOVE TRAILER HOUSE ENTRANCE INTO MOBILE HOME PARK -10- COUNCIL MINUTES AUGUST 26, 1980 Jeraldine Rohrbach requested permission to move a 6' x 12' structure to Lot 82, Country Club Terrace to be used as an entrance to a mobile home. The Building Official recommended approval, with the following stipulations: 1. If heated, provide separate heating facilities 2. Electrical service to be of a separate source than that of the mobile home 3. Provide adequate foundation blocking and anchoring 4. Make application and receive approval for all required permits relative to moving and installation of structure After discussion, Alderman Gruenhagen moved to approve the request, with the above -stated stipulations. Seconded by Alderman Beatty, the motion car- ried unanimously. (i) CONSIDERATION OF FINANCING PROPOSED SENIOR CITIZENS CENTER City Administrator Plotz commented there were several items to discuss re- garding the Senior Citizens Center, and they were all related to each other. Attorney Jack Hoeschler, of Doherty, Rumble & Butler Law Firm, presented the plan for the elderly high rise building. The seven -story structure will have parking on the south side for the Senior Citizens Center, which will be lo- cated on first floor. The north and south sides of the building will have no windows for safety reasons. There will be three handicapped units in the complex. The final plan will be submitted to HUD on September 15, 1980, at a 7-1/2% interest rate. Mr. Hoeschler pointed out the three items needed tonight are: 1) approval of the site plan, 2) Conditional Use Permit for zoning district, and 3) vacation of the north 132 feet of alley. Mr. Plotz stated the Senior Citizens Center would be the responsibility of the City, while the building itself would be the responsibility of the de- veloper. Therefore, financing is needed for the Center and parking lot. The sale of the property to the developer at $1,000 per unit ($62,000) would help pay for the cost of the Center. However, the estimated total cost, not including draperies and some furniture, would be $365,070. Discussion was given to tax increment financing. Mr. Plotz will ask Bill Fahey of Ehlers & Associates to prepare a financial report. -11- COUNCIL MINUTES AUGUST 26, 1980 City Administrator Plotz reported there are two other projects that the tim- ing coincides with the high rise project. First, the Farmers Elevator will be making track improvement by putting in a railroad spur at Industrial Park this fall in the amount of $100,000. City Engineer Priebe presented a drawing of the area at Industrial Park where the railroad line would be built. He pointed out the motel project will need the entire area with the railroad track removed. This will require additional trackage to Industrial Park. He then showed where the new line would connect at the Farmers Elevator, and the City would be making a right- of-way negotiation with the railroad. Mr. Ray Zimmerman, Elevator Manager, stated the railroad has offered a new rate for 54 railroad cars. This will require a third track to be installed, besides excessive switching. The Elevator will need about 4,700 feet of trackage for their operation. If they have to give up "B" to "C" track, it would require two additional tracks and a car mover. By the end of the week Mr. Zimmerman expected to have plans back from the railroad and contractors as to what could and could not be done regarding track. Mayor Westlund stated the motel project is not definite at this time, but it is possible something else would be built on the site. In that case, the railroad track would still have to be removed. Since a bond will be floated, it might be possible to include the railroad spur line. Administrator Plotz reported on the proposed location for the Historical Society. Mr. Weseloh has offered to sell 44 front feet of Main Street prop- erty to the City for $24,000. The Chamber of Commerce thought this additional footage plus their own property would make a potential site for a combined project with the Society. Since the site is located in the flood plain, it would require a permit from the Planning Commission and subject to review. Alderman Beatty reported he had attended a meeting recently where several alternatives had been discussed for the joint venture between the Chamber of Commerce and Historical Society. It was suggested that the financing for this project could be included in the tax increment bond. It was recommended that the City Administrator be authorized to work with the financial consultants in setting up a tax increment bond for the follow- ing four projects: 1) $300,000 - Senior Citizens Center 2) Purchase of Two Lots 3) Railroad Spur Line 4) $24,000 - Weseloh Property -12- COUNCIL MINUTES AUGUST 26, 1980 Alderman Beatty moved to authorize the City Administrator and financial con- sultants to prepare a preliminary financial report and tax increment resolu- tions for the four aforementioned projects. Seconded by Alderman Lueneburg, the motion unanimously carried. (j) CONSIDERATION OF CITY PURCHASING TWO HOUSES ADJACENT TO NEW ELDERLY BUILDING Extensive discussion was given to the location of the high rise building on the site and the parking area; also, whether or not the City could justify purchasing the two available lots adjacent to the elderly high rise building. It was the consensus of the Council to favor purchasing the two houses if the project could support the cost and HUD would approve moving the building back about 15 feet on the lot to the alley line. Administrator Plotz commented that at the next Council meeting the process would begin on public hearings to expand the tax increment district to square it off. He further reported he had talked to MHFA, and they liked the idea of improving the landscaping around the high rise building. It will have to be understood by the property owners that there are time constraints of No- vember 1, 1980 to move the houses. Both property owners, Anthony Forcier (136 Adams Street South - Parcel 155, Lot 4, except S 4', S 1/2 City) and Michael Guetter (126 Adams Street South - Parcel 154, Lot 3, S 1/2 City) were agreeable to selling, with a 90 -day notice to move and waiving of the time limit. Both parties were offered 60 -day options for $50,000 per parcel, including the potential homestead relocation payment of $15,000 and a contractual right to the property by a set date. It was moved by Alderman Beatty that the City enter into agreements with the two property owners to acquire properties to enhance the site of the high rise, with an option for 60 days with intent to purchase. Seconded by Ald- erman Gruenhagen, the motion carried unanimously. (k) CONSIDERATION OF PURCHASE OF NEW CEMETERY MOWER It was recommended that a Gravely mower be purchased from Felska Garage for $2,073.00, plus freight. Following discussion, the motion was made by Alderman Beatty to approve the purchase. Seconded by Alderman Gruenhagen, the motion carried unanimously. (1) CONSIDERATION OF REQUEST BY CLARENCE FREITAG TO SELL WESTERLY 150 FEET OF LOT 81, LYNN ADDITION WITH EASEMENT FOR INGRESS AND EGRESS TO LYNN ROAD City Engineer Priebe reported he had viewed the site subsequent to the Plan- ning Commission meeting, and he had also received several telephone calls from people in the area. His recommendation was to withhold final approval -13- COUNCIL MINUTES AUGUST 26, 1980 until the survey of the two parcels had been completed. The survey will re- veal if there will be any drainage problems in conjunction with the proposed construction. Mr. John Swanson, 547 Milwaukee, expressed concern about what might happen to the valuation of the surrounding property. His biggest concern, however, was congestion in that area. He stated he didn't want his house abutted up against other houses. The house on the back lot will be deadlocked on three sides, with an east exit. There may be some water problems that would affect Jan Cumming- and him. He also wondered where the snow would be piled during the winter months. Mr. Gerhard Bahr, 590 Lynn Road, was concerned about fire, as it would be difficult for the fire truck to get into the back lot. He also wondered if there might be a problem when the present property owner decided to sell the lot with an easement on it. Mr. Bahr felt snow removal and parking could create a problem. Fire Marshal Field had two concerns: 1) blockage of driveway and dead end, and 2) house number on house would be remote from designated street and could cause confusion and problem for ambulance, fire, etc. There is an ordinance which states street numbers must be readily visible from the street. They could, however, be placed on the mail box or a building rather than the house. Mayor Westlund stated there was nothing in the building ordinance to prevent a person from building a house on the back lot, but there were several items to take into consideration and resolve. He, too, expressed concern for fire protection to the back structure. Also, parking in the driveway could be a problem. It would be better for the owner of the back lot to also own the driveway and the owner of the front lot have an easement to it. City Engineer Priebe pointed out the closest fire hydrant is south of the southwest corner of the property, and the hydrant would be accessible for the fire hoses to reach the house in the event of fire. Alderman Gruenhagen made the motion to table the matter until the next meet- ing for further review between the owners and City Engineer to discuss re- strictions and stipulation that the driveway of easterly lot be owned by the owner of westerly lot. Seconded by Alderman Peterson, the motion unanimously carried. (m) CONSIDERATION OF REQUEST FOR VACATION OF ALLEY SUBMITTED BY CITY OF HUTCHINSON WITH FAVORABLE RECOMMENDATION OF PLANNING COMMISSION City Administrator Plotz reported it was necessary to vacate the alley at the rear of the high rise site, and the property owners and Planning Commis- sion had approved the alley vacation. The alley could be vacated for either the north 132 feet or for the entire alley. If the City purchases the two adjacent lots to the high rise, it will be necessary to change the boundary of Tax Increment A re a No. 2 to include them. -14- COUNCIL MINUTES AUGUST 26, 1980 MHFA gave approval to the site plan presented to them, but they questioned the large amount of parking space and limited amount of green area around the structure. If the City purchased the two adjacent lots and moved the complex back to the east to allow more frontage, the developer would need to be informed immediately. The final plan goes to HUD on September 15, 1980, and the excavation permit would require a change in the boundary line. It was reported that part of the high rise building would be outside of the Tax Increment A r e a No. 2 if the boundary was not changed to include the two additional lots. Therefore, public hearings will need to be held within 60 days with the School and County. After discussion, Alderman Gruenhagen moved to vacate the north 132 feet of alley, with balance of alley vacation contingent upon the purchase of two properties. Seconded by Alderman Peterson, the motion carried unanimously. It was moved by Alderman Gruenhagen, seconded by Alderman Peterson, to waive first reading of Ordinance No. 17/80 entitled An Ordinance to Vacate An Alley In Block 15, S 1/2 City, N 132' and set second reading for September 9, 1980. It was moved by Alderman Beatty to accept the elderly high rise project as presented to the City Council and waive reading and adopt Resolution No. 6605 entitled Resolution Approving Elderly High Rise Site Plan. The motion was seconded by Alderman Lueneburg and unanimously carried. It was moved by Alderman Lueneburg to authorize the City Administrator to take the necessary action to amend the boundary of A re a No. 2 to accom- plish the change of boundary lines and to set public hearing at earliest legal date. Seconded by Alderman Beatty, the motion carried unanimously. (n) CONSIDERATION OF REQUEST FOR CONDITIONAL USE PERMIT SUBMITTED BY CITY OF HUTCHINSON WITH FAVORABLE RECOMMENDATION OF PLANNING COMMISSION In conjunction with the elderly high rise project, it was necessary for the City of Hutchinson to obtain a Conditional Use Permit to allow the senior cit- izens high rise and senior citizens activity center to be located in a C-3 zone. Following discussion, the motion was made by Alderman Beatty, seconded by Alderman Lueneburg and unanimously carried, to waive reading and adopt Reso- lution No. 6603 entitled Resolution Granting Conditional Use Permit under Sec- tion 6.07, C.5 of Zoning Ordinance No. 464 to Allow Senior Citizens High Rise and Senior Citizens Activity Center to Be Located In C-3 Zone. (o) CONSIDERATION OF REQUEST FOR CONDITIONAL USE PERMIT SUBMITTED BY SWANKE MOTORS WITH FAVORABLE RECOMMENDATION OF PLANNING COMMISSION After discussion, Alderman Gruenhagen moved to waive reading and adopt -15- COUNCIL MINUTES AUGUST 26, 1980 Resolution No. 6604 entitled Resolution Granting Conditional Use Permit under Section 6.07, C.5 of Zoning Ordinance No. 464 to Allow Display and Sale of New and Used Vehicles. The motion was seconded by Alderman Beatty and carried unanimously. (p) CONSIDERATION OF STORAGE BUILDING TO BE CONSTRUCTED BY RONALD WHITE WITH UNFAVORABLE RECOMMENDATION OF PLANNING COMMISSION The proposed 40' x 75' storage building to be constructed by Ronald White would be outside the City limits. Since the building would not be compatible with the present or future land use in the Comprehensive Plan, the Planning Commission recommended rejecting it. Following discussion, Alderman Beatty moved to reject the storage building as recommended by the Planning Commission. Seconded by Alderman Lueneburg, the motion unanimously carried. (q) CONSIDERATION OF RESIGNATION OF RITA BURT, LIQUOR STORE CLERK After discussion, it was moved by Alderman Beatty, seconded by Alderman Gruen- hagen and carried unanimously, to accept the resignation of Rita Burt, effec- tive September 8, 1980. 10. MISCELLANEOUS (a) COMMUNICATIONS FROM CLERK -CITY ADMINISTRATOR City Administrator Plotz reported the City will be sponsoring an auction on September 11, 1980, 5:30 P.M., at the Street Garage to sell surplus and used equipment not in use. The monies received will go into the general fund. Everyone was reminded of the Appreciation Picnic to be held Wednesday, Aug- ust 27, 1980. Also, mention was made of the Directors Meeting at 7:00 A.M. and Department Heads meeting at 8:00 A.M. on Thursday morning, August 28. Mr. Plotz made reference to the letter received from the League of Minnesota Cities regarding the Governor's reduction in local government aid. The 1980- 1981 City reductions will amount to 8.3%. Final determination of the aid re- duction program has not been made yet. (b) COMMUNICATIONS FROM ALDERMAN BEATTY Alderman Beatty informed the Council the firemen would like to hold a meeting to discuss a new referendum for a Fire Hall, possibly for spring of 1981. It was the consensus of the Council to discuss this issue at the Thursday morning meeting. (c) COMMUNICATIONS FROM CITY ATTORNEY City Attorney Schantzen made reference to his statement for legal fees -16- COUNCIL MINUTES AUGUST 26, 1980 for Developers Diversified vs. City of Hutchinson Lawsuit which had been deferred at the previous Council meeting. Alderman Gruenhagen remarked that the $75 per hour rate being charged was higher than what other attorneys charge. The rate of $50 per hour is top fee of what cities pay the city attorney for special work. Alderman Beatty reiterated that $45-50 is the average range in other cities. It was the general consensus of the Council to discuss this matter further at a special meeting on Thursday, August 28, 1980 at 9:00 A.M. 11. CLAIMS, APPROPRIATIONS AND CONTRACT PAYMENTS (a) VERIFIED CLAIMS It was moved by Alderman Lueneburg, seconded by Alderman Gruenhagen and car- ried unanimously, to approve the verified claims and authorize payment from the appropriate funds. 12. ADJOURNMENT There being no further business to come before the Council, the meeting adjourned at 11:25 P.M. upon motion by Alderman Beatty, seconded by Alderman Gruenhagen and unanimously carried. -17-