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06-22-1982 CCMMINUTES REGULAR MEETING - HUTCHINSON CITY COUNCIL TUESDAY, JUNE 22, 1982 1. CALL TO ORDER The meeting was called to order by Mayor DeMeyer at 7:30 P.M., with the follow- ing present: Alderman Mike Carls, Alderman John Mlinar, Alderman Kenneth Gruen- hagen and Alderman Ted Beatty, in addition to Mayor James G. DeMeyer. Absent: None. Also present: City Administrator Gary D. Plotz, Director of Engineering Marlow V. Priebe, and City Attorney James Schaefer. 2. INVOCATION The invocation was given by the Reverend Tim Maaland. 3. MINUTES The minutes of the Regular Meeting dated June 8, 1982 were approved as presented on a motion by Alderman Carls, seconded by Alderman Beatty and unanimously ap- proved. 4. PUBLIC HEARING None. 5. COMMUNICATIONS, REQUESTS AND PETITIONS (a) COMMUNICATION FROM DORSEY LAW FIRM REGARDING LEGAL RESPONSIBILITY ON QUESTIONS CONCERNING TAX INCREMENT FINANCING AND INDUSTRIAL REVENUE BONDS - PRESENTED BY CITY ADMINISTRATOR PLOTZ City Administrator Plotz reported that subsequent to the June 8, 1982 City Council meeting some additional questions were raised pertaining to tax in- crement financing and industrial revenue bonds for referral to the Dorsey law firm. Therefore, on June 11, 1982 he sent a letter to the firm and requested an answer to the submitted questions for the June 22, 1982 City Council meeting. Since Mr. Mahoney had been on vacation, he was unable to respond at this time. Mr. Plotz then inquired if there were any other additional questions for the Dorsey firm to answer, and if so, to submit them to him. (b) CONSIDERATION OF REQUEST FOR INCREASED RESIDENTIAL AND COMMERCIAL REFUSE RATES BY JULY 1, 1982 FROM JUNKER SANITATION Lengthy discussion occurred over the request for rate increase by Junker Sanitation when three members of the audience raised questions about refuse service within the City limits. 41 COUNCIL MINUTES JUNE 22, 1982 It was moved by Alderman Carls to defer action until the next City Council meeting, with Jim Junker present. Seconded by Alderman Mlinar, the motion unanimously carried. (c) CONSIDERATION OF REQUEST TO BLOCK OFF A SECTION OF MCLEOD AVENUE FOR AN AUCTION BY FAHEY SALES AGENCY INC. Following discussion, the motion was made by Alderman Carls to approve the request to block off a section of McLeod Avenue for an auction, based on Police Chief O'Borsky's recommendation. Motion seconded by Alderman Beatty and unanimously approved. (d) CONSIDERATION OF REQUEST FOR CITY ACCOUNTANT TO ATTEND TRAINING SESSION FOR ELECTION SUPERVISORS ON JUNE 30, 1982 After discussion, Alderman Gruenhagen moved to approve the City Accountant to attend the training session for election supervisors. Seconded by Ald- erman Beatty, the motion carried unanimously. (e) CONSIDERATION OF CLAIM BY MARY LOU FUCHS FOR COMPENSATION FOR SEWER BACKUP A sewer system backup occurred when the power was lost at the sewer plant. A claim in the amount of $66.40 was filed against the City for lost time incurred by the Fuchs as a result of water backup in their house. Following discussion, it was moved by Alderman Gruenhagen, seconded by Alderman Mlinar, to approve paying the claim of $66.40 to Mary Lou Fuchs. Motion unanimously carried. (f) CONSIDERATION OF REQUEST FOR RANDY DEVRIES TO ATTEND MINNESOTA WASTEWATER OPERATORS ASSOCIATION INSTITUTE ON AUGUST 3-5, 1982 After discussion, the motion was made by Alderman Mlinar to approve the re- quest. Upon second by Alderman Carls, the motion unanimously carried. (g) CONSIDERATION OF REQUEST FROM MILLPOND COMMUNITY PLAYERS FOR USE OF OLD FIRE HALL FOR (1) STORAGE (2) SET CONSTRUCTION AND (3) PRESENTATION OF PLAY, IN SUMMER 1982 Fire Marshal Field stated the old Fire Hall could not be used for a play since the big over -head doors did not meet the exiting requirements of the Fire Code. It was the general consensus of the Council that the building should be retained for City use. Alderman Gruenhagen made the motion to deny the request of the Millpond Com- munity Players and keep the old Fire Hall for City use. Seconded by Ald- erman Beatty, the motion carried unanimously. -2- COUNCIL MINUTES JUNE 22, 1982 (h) CONSIDERATION OF REQUEST BY TIM KRASEN FOR REPAIRS TO OAKWOOD LANE (BY APPEARANCE BEFORE COUNCIL) Mr. Tim Krasen distributed copies of a signed letter from the residents of Oakwood Lane requesting repairs to the damaged portion of said lane to enable application of a seal coat of C-SS1 road tar to control dust prob- lems. It was further understood the residents would be responsible for the application and cost of the seal coat. Following discussion, the motion was made by Alderman Mlinar to grant the request for repairs of Oakwood Lane, with the City responsible for the frost heave and the residents responsible for the cost of the seal coat application. Seconded by Alderman Beatty, the motion unanimously carried. 6. RESOLUTIONS AND ORDINANCES (a) CONSIDERATION OF ORDINANCE NO. 6/82 - AN ORDINANCE TO ALLOW PARKING ON THE EAST SIDE OF FRANKLIN STREET BETWEEN WASHINGTON AVENUE AND FIRST AVENUE SOUTHWEST (WEST SIDE OF OLD FIRE STATION) (TO BE PROVIDED BY CITY ATTORNEY) City Attorney Schaefer stated that in the City Ordinance Book, under Sec- tion 700:169.34, Subd. 10, it specifies parking restrictions within the area of a fire station. It was his opinion that when the fire station was moved to a new location, the restrictions for parking also relocated. Therefore, parking was no longer prohibited on the east side of Franklin Street, across from the old fire station, and the two-hour parking limit would apply. It was moved by Alderman Carls to direct the no parking restriction on the west side of Franklin Street across from the old fire station be removed. Seconded by Alderman Beatty, the motion unanimously carried. Fire Marshal Field was directed to investigate and prepare a report on the parking situation at the new Fire Hall for the next Council meeting. (b) CONSIDERATION OF RESOLUTION NO. 7195 - RESOLUTION TO PURCHASE Following discussion, Alderman Gruenhagen moved to waive reading and adopt Resolution No. 7195 entitled Resolution to Purchase. Seconded by Alderman Beatty, the motion carried unanimously. (c) CONSIDERATION OF RESOLUTIONS NUMBERS 7141 THROUGH 7167 - RESOLUTIONS ORDERING PREPARATION OF ASSESSMENT ROLLS NUMBERS 125 THROUGH 151 Following a presentation by City Engineer Priebe, it was moved by Alderman Beatty to waive readings and adopt Resolutions Numbers 7141 through 7167 for Assessment Rolls Numbers 125 through 151, entitled Resolution Declaring -3- COUNCIL MINUTES JUNE 22, 1982 Cost to Be Assessed and Ordering Preparation of Proposed Assessment. The motion was seconded by Alderman Mlinar and unanimously carried. (d) CONSIDERATION OF RESOLUTIONS NUMBERS 7168 THROUGH 7194 - RESOLUTIONS FOR HEARINGS ON PROPOSED ASSESSMENT ROLLS NUMBERS 125 THROUGH 151 It was recommended to hold a public hearing on the 1981 Assessment Rolls No. 125 through 151 on July 13, 1982 at 8:00 P.M. After discussion, it was moved by Alderman Beatty to set a public hearing on the 1981 Assessment Rolls for July 13, 1982 at 8:00 P.M. Motion unani- mously approved by second of Alderman Gruenhagen. It was moved by Alderman Beatty, seconded by Alderman Gruenhagen and car- ried unanimously, to waive readings and adopt Resolutions No. 7168 through 7194 entitled Resolution for Hearing on Proposed Assessment, Assessment Rolls No. 125 through 151. 7. REPORTS OF OFFICERS, BOARDS AND COMMISSIONS (a) MINUTES OF PLANNING COMMISSION DATED MAY 18, 1982 There being no discussion, the minutes were ordered by the Mayor to be re- ceived for filing. (b) MINUTES OF SENIOR ADVISORY BOARD DATED APRIL 28, 1982 There being no discussion, the minutes were ordered by the Mayor to be re- ceived for filing. (c) MONTHLY FINANCIAL REPORT - MAY 1982 There being no discussion, the report was ordered by the Mayor to be re- ceived for filing. 8. UNFINISHED BUSINESS (a) CONSIDERATION OF FIRST AVENUE SOUTHWEST, NEMITZ PROPERTY (DEFERRED JUNE 8, 1982) City Engineer Priebe requested to defer this item inasmuch as he had re- ceived the necessary information late today and had not discussed it with Mr. Art Benjamin, Jr. The motion was made by Alderman Gruenhagen to defer discussion to the next City Council meeting. Upon second by Alderman Beatty, the motion carried unanimously. -4- COUNCIL MINUTES JUNE 22, 1982 9. NEW BUSINESS (a) CONSIDERATION OF PURCHASE OF PORTABLE RADIOS AND POLICE SCANNER RADIO It was moved by Alderman Carts that based on a meeting held with the Police Chief and discussion concerning radios and a scanner, to approve the pur- chase of two Motorola HT -440 radios ($1,200 per unit) and a scanner ($145), with the money to come out of the contingency fund. Seconded by Alderman Beatty and unanimously approved. (b) CONSIDERATION OF REQUEST FOR CONDITIONAL USE PERMIT SUBMITTED BY JACK KJOS, WITH FAVORABLE RECOMMENDATION OF PLANNING COMMISSION Mr. Jack Kjos requested a Conditional Use Permit to allow the addition of a porch to the west side of his house to conform with the zoning. The exist- ing garage/use of land is non -conforming. Alderman Beatty moved to approve and waive reading and adopt Resolution No. 7196 entitled Resolution Granting Conditional Use Permit Under Section 6.07, C.5 of Zoning Ordinance No. 464 to Allow the Addition of Porch to House. Alderman Gruenhagen seconded the motion, and it carried unanimously. (c) CONSIDERATION OF REQUEST FOR CONDITIONAL USE PERMIT SUBMITTED BY MR. HOVER- STEN/MR. CORNELL WITH FAVORABLE RECOMMENDATION OF PLANNING COMMISSION Mr. Duane Hoversten reported there were deferred assessments on the property, and the purchase would not be completed if the amount was too high. There- fore, he wished to defer action at this time. It was moved by Alderman Carls to defer this matter to the next Council meeting and to be provided with the assessment figures, with the interested parties to be notified prior to the next meeting. Alderman Mlinar seconded the motion, and it unanimously carried. (d) CONSIDERATION OF REQUEST SUBMITTED BY STAFF FOR AMENDMENT TO ZONING ORDINANCE NO. 464 It was the recommendation of the City staff and Planning Commission to amend Section 8: Zoning Districts and Zoning Map; Section 9: Tabulation - Dimensional Requirements for Zoning Districts and delete the entire Sec- tion 7.14: Mobile Home Park Requirements in the Zoning Ordinance No. 464. The addition of Districts R-4 and R-5 would allow for mobile homes and mo- bile home parks and establish districts giving specific regulations for same. Following discussion, the motion was made by Alderman Beatty to approve the findings of the Planning Commission to amend Ordinance No. 464 and to waive -5- 0 COUNCIL MINUTES JUNE 22, 1982 the first reading of Ordinance No. 7/82 entitled An Ordinance Amending Ordinance No. 464 Concerning Zoning Regulations In the City of Hutchinson and the Official Zoning Map, and set the second reading for July 13, 1982. Seconded by Alderman Mlinar, the motion unanimously carried. (e) CONSIDERATION OF DELINQUENT WATER AND SEWER ACCOUNTS There was no one present requesting an extension of the payment period. It was moved by Alderman Beatty to accept staff recommendation to discon- tinue service at 12:00 Noon on June 28, 1982, unless otherwise noted, for the following: Account No. 04-0240-0-00, 04-0290-0-00, 04-0370-2-00, 04- 0375-4-00, 04-0600-1-00, 04-0625-2-00,; 11-1100-2-00, 11-1160-0-00, 12- 0170-0-00, 12-0300-4-00,12-0415-0-00, 12-1000-2-00, 12-1710-1-003, 15- 0097-0-00, 15-0142-0-00, 15-0188-0-00, 16-0560-1-00, and 40-0086-0-00. Seconded by Alderman Gruenhagen, the motion carried unanimously. (f) CONSIDERATION OF AUTHORIZATION TO ADVERTISE FOR BIDS FOR LIGHTING SOUTHEAST AND SOUTHWEST FIELDS OF FRED ROBERTS PARK The Parks and Recreation Director, Bruce Ericson, reported on the signed project agreement from the Minnesota Department of Energy, Planning and Development, Parks and Recreation Grants Section for McDonald's Park, Phase II. The City will be receiving $40,125.00 in State funds, and it was re- quested to advertise for bids to light the southeast and southwest fields of Fred Roberts Park. After discussion, Alderman Beatty moved to approve advertising for light- ing at Fred Roberts Park. The motion was seconded by Alderman Mlinar and unanimously carried. (g) CONSIDERATION OF AUTHORIZATION TO ACCEPT LOW BID FOR RESURFACING HIGH SCHOOL TENNIS COURTS It was reported that the School District #423 opened bids on June 15, 1982 for tennis court resurfacing at the high school. The low bid for resurfacing was submitted by Tennis West of Minnetonka in the amount of $8,850.00. This will be a joint project, with a 50/50 split between the School District and the City of Hutchinson. It was recommended to accept the low bid. Following discussion, the motion was made by Alderman Mlinar, seconded by Alderman Carls, to accept the $4,425.00 share for resurfacing the tennis courts at the high school. Motion unanimously approved. (h) OPTION FOR CONSIDERATION OF SCHEDULING TAX INCREMENT HEARING ON PARK SQUARE PROPERTIES, ED MCCORMICK AND RON MCGRAW, PARTNERS, COMMONLY KNOWN AS THE S&L PROJECT (REQUESTED BY MAYOR DEMEYER) COUNCIL MINUTES JUNE 22, 1982 Mayor DeMeyer inquired about "findings" to justify a request for bonds to be tax exempt on the S&L Project. He felt it would be necessary to sched- ule another hearing. Extensive discussion then followed. It was the consensus of the City Council to delay discussion until the City receives a reply to the questions submitted to the Dorsey law firm. 10. MISCELLANEOUS (a) COMMUNICATIONS FROM CITY ADMINISTRATOR City Administrator Plotz commented on the joint meeting of the City Council with the members of the Community Development Corporation scheduled for June 30, 1982 at 7:30 P.M. in the Fire Station Conference Room. Mr. Plotz reported that in conjunction with the off-street parking program, Mr. Art Bretzke had requested an appraisal of the three-story building he owned in addition to the vacant lot. The appraisal would cost $500.00. The appraisals for Liepke's Auto Repair, Hutch Auto Body, and Hansen Pro- duce had been received. Alderman Beatty stated the Parking Committee felt the Bretzke building was not a prime target, whereas the vacant lot was for a parking lot. He then moved not to approve an appraisal for the Bretzke building. Seconded by Alderman Mlinar, the motion unanimously carried. It was reported that an appraisal for the two lots of the Masonic Temple had been received. Mr. Plotz requested authorization for the City Attorney and himself to negotiate options at less than the appraisal figure. Alderman Beatty moved to authorize the City Administrator and City Attorney to negotiate an option price for the Masonic Temple of $140,000.00. The motion was amended by Alderman Beatty that the City Administrator and City Attorney be authorized to start at a figure of $100,000.00. Seconded by Alderman Mlinar, the motion carried unanimously. An appraisal was received for three parcels on Hassan Street owned by First State Federal Savings & Loan. The owner will consider a combined option for Parcels A and B, and a separate option for Parcel C. The motion was made by Alderman Gruenhagen to use a figure of $100,000.00 to start negotiation for Parcels A & B. The motion was seconded by Alder- man Mlinar and unanimously approved. Administrator Plotz reported one bid was received for repair of the Old Armory to bring it up to code. Also, one bid was received for weed cutting within the City limits from Jim's Garden Service in the amount of $30.00 per hour. It was recommended to accept the bid for weed cutting. -7- COUNCIL MINUTES JUNE 22, 1982 It was moved by Alderman Beatty, seconded by Alderman Gruenhagen, to ac- cept the bid of $30.00 per hour by Jim's Garden Service to cut weeds with- in the City limits. Motion unanimously carried. Mr. Plotz stated the Airport Commission was waiting for direction from the City Council to proceed with airport zoning. An early morning meet- ing will be scheduled to discuss this matter. The City's insurance for liability coverage will expire July 1, 1982, and the renewal rates have not been received. Therefore, it may be necessary to schedule a special meeting of the Council to act on this business. (b) COMMUNICATIONS FROM THE MAYOR Mayor DeMeyer reported the Hutchinson Utilities Commission had recommended the appointment of Dr. Thomas B. Lyke to replace Clinton Tracy on the Com- mission. He requested ratification of said appointment by the Council. Alderman Gruenhagen moved to ratify the appointment of Dr. Thomas B. Lyke to the Hutchinson Utilities Commission. Seconded by Alderman Mlinar and unanimously approved. There were two AFS students who were in Hutchinson for the school year 1981-82. The Mayor requested Council approval of a letter of recognition from the City of Hutchinson to be presented to them. The motion to approve the presentation of a letter of recognition to the two AFS students was made by Alderman Carls. Seconded by Alderman Beatty, the motion carried unanimously. (c) COMMUNICATIONS FROM THE CITY ENGINEER City Engineer Priebe requested a special City Council meeting to discuss the 1983 improvement projects. (d) COMMUNICATIONS FROM ALDERMAN MIKE CARLS Alderman Carls commented on some ideas gained from the Annual League of Cities Conference. He felt a Council Workshop should be established to review and implement these ideas. A date of July 13, 1982 at 1:00 P.M. was determined for the Workshop. (e) COMMUNICATIONS FROM ALDERMAN JOHN MLINAR Alderman Mlinar inq-kired about the progress of the Old Armory issue. It was reported that bids were not available to determine repair costs. The motion was made by Alderman Beatty to authorize City staff to contact 9 COUNCIL MINUTES JUNE 22, 1982 contractors for proposals. Alderman Gruenhagen seconded the motion, and it carried unanimously. Discussion was given to the crack in the floor of the Civic Arena on the north side of the building which was caused by frost heave. The Council instructed the City Administrator to have some builders examine the crack to see if there was a solution to the problem. (f) COMMUNICATIONS FROM DEVELOPER JIM MCCLURE Developer McClure requested that if a second hearing was necessary regard- ing tax increment financing, it be held prior to July 13, 1982. He stated he was anxious to meet a construction schedule. 11. CLAIMS, APPROPRIATIONS AND CONTRACT PAYMENTS (a) VERIFIED CLAIMS The verified claims were approved for payment from the appropriate funds on a motion by Alderman Beatty, seconded by Alderman Gruenhagen, and car- ried unanimously. 12. ADJOURNMENT There being no further business, the meeting adjourned at 11:05 P.M. upon a motion by Alderman Gruenhagen, seconded by Alderman Mlinar and unanimously car- ried.