03-29-1980 CCMk
MINUTES
SPECIAL MEETING - HUTCHINSON CITY COUNCIL
SATURDAY, MARCH 29, 1980
The special meeting of the Hutchinson City Council was called to order by Mayor
Westlund at 12:07 P.M., with the following members present: Aldermen Peterson,
Lueneburg, Gruenhagen and Beatty, in addition to Mayor Westlund. Absent: None.
Also present were: Administrative Assistant Plotz and City Attorney Schantzen.
Mayor Westlund explained the purpose of the special meeting was to take action on
the recent lawsuit between the City of Hutchinson and the plaintiffs Developers Di-
versified and Hecht Associates. The plaintiffs were given a favorable decision by
the jury, and the City will have to adhere to the jury's decision. Therefore, the
following points have been agreed upon by both parties:
1. The City agrees forthwith to adopt a resolution rescinding action of January 8,
1980, and reaffirming the resolutions and agreements of August 14, 1979 and
December 29, 1979.
2. Setback Variance - The City agrees to grant the pending application submitted by
Developers Diversified for a setback variance as soon as possible.
3. Parking Variance - The City agrees either to grant the pending application of
Developers Diversified for a parking variance or to amend its ordinance or ordi-
nances as to parking requirements to accomplish the same results as soon as pos-
sible.
4. Issuance of Bonds - The City agrees to issue industrial revenue bonds or notes
in the amount of $2.2 million to Hecht Associates and $6.2 million to Developers
Diversified as described in the resolution of December 29, 1979, as soon as it
is practicable to do so.
5. Juran and Moody - Plaintiffs shall retain Juran & Moody, or other consulting
firm acceptable to the City, on behalf of the City to review all documents re-
lating to issuance of the bonds.
6. Fee of the City - The plaintiffs agree that upon issuance of the bonds and grant-
ing or adoption of the variance or ordinances described, they shall pay $15,000
to the City. The City agrees that fee shall represent payment in full of all ex-
penses and fees of the City and City Attorney relating to the bonds.
7. Dismissal of Litigation - Counsel for the parties to the litigation shall execute
a Stipulation of Dismissal.
8. Mutual Release - The parties agree that upon dismissal of the litigation this
Settlement Agreement shall operate as a mutual release by each plaintiff and de-
fendant.
9. It is the intent of the parties that the shopping center be developed, financed
by the bonds.
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COUNCIL MINUTES
MARCH 29, 1980
10. Authority to Execute Settlement Agreement - The parties have authorized their
respective litigation counsel to execute this Settlement Agreement.
Mayor Westlund stated the three defendants were in agreement with the settlement and
requested approval from the entire City Council.
Following discussion, Alderman Beatty made the motion to accept the conditions of
the Settlement Agreement and to authorize the Mayor and City Clerk to sign said Agree-
ment. He further moved to waive reading and adopt Resolution No. 6515 entitled Reso-
lution Accepting Conditions of Settlement Agreement Between City of Hutchinson and
Defendants and Plaintiffs, Developers Diversified and Hecht Associates and Author-
izing Signing of Said Agreement. Seconded by Alderman Lueneburg, the motion unani-
mously carried.
It was moved by Alderman Peterson, seconded by Alderman Beatty and carried unanimously,
to waive reading and adopt Resolution No. 6516 entitled Resolution Rescinding Resolu-
tion No. 6476 Under the Municipal Industrial Development Act.
Administrative Assistant Plotz reported that a special meeting of the Planning Com-
mission would be held at noon on April 1, 1980 to discuss the parking ordinance and
proposed revisions.
A special meeting of the City Council was scheduled for 3:00 P.M. on Tuesday, April 1,
1980 to meet with Westly Hendrickson of TKDA and representatives from the Police and
Fire Departments to discuss the proposed fire/police station. Also, a meeting would
be held with Clarence Simonowicz of C.R.S. to discuss his contract, and discussion
would be given to the intoxicating liquor license for T.L. Scalawags (Tom Dolder).
Administrative Assistant Plotz requested the City Attorney to attend this meeting.
It was further reported the Off Street Parking Committee would be meeting at 5:00 P.M.
on April 1, 1980.
Alderman Beatty commented on a special meeting of the Fire Department held March 27,
1980. Further discussion was tabled until the special Council meeting on April 1.
There being no further business, the meeting adjourned at 12:27 P.M. upon motion by
Alderman Peterson, seconded by Alderman Gruenhagen and unanimously carried.
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