02-22-1982 CCMMINUTES
REGULAR MEETING - HUTCHINSON CITY COUNCIL
TUESDAY, FEBRUARY 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 and City Attorney James
Schaefer.
2. INVOCATION
In the absence of a pastor, there was a time of silent prayer.
3. MINUTES
The minutes of the Special Meeting of February 2, 1982 were approved as read
and the minutes of the Regular Meeting of February 9, 1982 were approved
as --amended upon motion by Alderman Carls, seconded by Alderman Mlinar and unani-
mously carried.
4. PUBLIC HEARING
None
5. COMMUNICATIONS, REQUESTS AND PETITIONS
(a) CONSIDERATION OF REQUEST FOR DOOR-TO-DOOR SOLICITATION
After discussion, it was moved by Alderman Beatty to grant a permit to Gale
Peterson to sell Zig Zigler Products door-to-door for one year. The motion
was seconded by Alderman 111inar and carried unanimously.
6. RESOLUTIONS AND ORDINANCES
(a) ORDINANCE NO. 1/82 - AN ORDINANCE AMENDING ORDINANCE NO. 464 CONCERNING
ZONING REGULATIONS IN THE CITY OF HUTCHINSON AND THE OFFICIAL ZONING MAP
(JOHN LIPKE)
Alderman Carls inquired about the restrictive covenants and where they ap-
plied. Attorney Schaefer responded that the covenants were contingencies
of the Conditional Use Permit. Alderman Carls then questioned item 1-a in
the covenants and felt it should be reworded.
Attorney Pat Flynn, representing Mr. John Lipke, pointed out the covenants
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COUNCIL MINUTES
FEBRUARY 22, 1982
had been presented at the last Council meeting, and there was no change in
them. There was no intent of putting restrictions on the City, and he would
be agreeable to amending the wording.
Following discussion, Alderman Mlinar moved to waive second reading and adopt
Ordinance No. 643 entitled An Ordinance Amending Ordinance No. 464 Concerning
Zoning Regulations In the City of Hutchinson and the Official Zoning Map (John
Lipke). Seconded by Alderman Beatty, the motion carried, with Aldermen Mlinar,
Gruenhagen, and Beatty and Mayor DeMeyer voting ave and Alderman Carls voting
nay.
(b) ORDINANCE NO. 2/82 - ORDINANCE AMENDING SECTION 715:20 OF THE 1974 ORDINANCE
CODE OF THE CITY OF HUTCHINSON, ENTITLED "NO PARKING AREAS" BY ADDING SUB-
DIVISION NO. 11 THERETO, RELATIVE TO "PARKING, LOCAL REGULATIONS"
The Director of Maintenance Operations, Ralph Neumann, presented a drawing
of the area involved to be designated No Parking. He further stated the
Ordinance had been amended since it was presented at the last Council meet-
ing.
After discussion, the motion was made by Alderman Beatty to waive the first
reading of amended Ordinance No. 2/82 entitled Ordinance Amending Section
715:20 of the 1974 Ordinance Code of the City of Hutchinson, Entitled "No
Parking Areas" By Adding Subdivision No. 11 Thereto, Relative to "Parking,
Local Regulations" and set the second reading for March 9, 1982. Seconded
by Alderman Gruenhagen, the motion unanimously carried.
(c) RESOLUTION NO. 7080 - RESOLUTION GRANTING CONDITIONAL USE PERMIT UNDER
SECTION 6.07, C.5 OF ZONING ORDINANCE NO. 464 TO ALLOW CONSTRUCTION AND
OPERATION OF A FULL-SERVICE BANKING FACILITY IN A REQUESTED C-2 ZONE
Discussion was given to the amendment of item 1-a in the covenants, and it
was recommended by the City Attorney to read as follows: "Should the City
accept donation of the property from the owner or any subsequent owner, the
City would be bound by the restrictive covenants placed upon the property."
Alderman Beatty moved to waive reading and adopt Resolution No. 7080 entitled
Resolution Granting Conditional Use Permit Under Section 6.07, C.5 of Zoning
Ordinance No. 464 to Allow Construction and Operation of A Full -Service Bank-
ing Facility In A Requested C-2 Zone, with the amended covenants. Seconded
by Alderman Mlinar, the motion carried unanimously.
(d) RESOLUTION NO. 7081 - RESOLUTION REQUESTING RELEASE OF DNR BASS POND EASE-
MENT AND REQUEST FOR SPECIAL LEGISLATION (REQUESTED BY REP. ADOLPH KVAM)
Following discussion, it was moved by Alderman Carls, seconded by Alderman
Beatty and unanimously carried, to waive reading and adopt Resolution No.
7081 entitled Resolution Requesting Release of DNR Bass Pond Easement and
Request for Special Legislation.
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FEBRUARY 22, 1982
7. REPORTS OF OFFICERS, BOARDS AND COMMISSIONS
(a) MONTHLY FINANCIAL REPORT - JANUARY 1982
There being no discussion, the report was ordered by the Mayor to be received
for filing.
(b) MINUTES OF TREE BOARD DATED DECEMBER 3, 1981 AND DECEMBER 16, 1981
There being no discussion, the minutes were ordered by the Mayor to be re-
ceived for filing.
(c) MINUTES OF HOSPITAL BOARD DATED DECEMBER 15, 1981, JANUARY 11, 1982 AND
JANUARY 19, 1982
There being no discussion, the minutes were ordered by the Mayor to be re-
ceived for filing.
(d) MINUTES OF PLANNING COMMISSION DATED JANUARY 19, 1982 AND JANUARY 22, 1982
There being no discussion, the minutes were ordered by the Mayor to be re-
ceived for filing.
(e) MINUTES OF PARKS AND RECREATION BOARD DATED FEBRUARY 3, 1982
There being no discussion, the minutes were ordered by the Mayor to be re-
ceived for filing.
(f) MINUTES OF DOWNTOWN DEVELOPMENT ADVISORY BOARD DATED NOVEMBER 24, 1981
There being no discussion, the minutes were ordered by the Mayor to be re-
ceived for filing.
(g) MINUTES OF LIBRARY BOARD DATED FEBRUARY 11, 1982 AND FEBRUARY 17, 1982
There being no discussion, the minutes were ordered by the Mayor to be re-
ceived for filing.
(h) MINUTES OF TRANSPORTATION BOARD DATED NOVEMBER 18, 1981
There being no discussion, the minutes were ordered by the Mayor to be re-
ceived for filing.
(i) MINUTES OF NURSING HOME BOARD DATED JANUARY 21, 1982
There being no discussion, the minutes were ordered by the Mayor to be re-
ceived for filing.
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FEBRUARY 22, 1982
8. UNFINISHED BUSINESS
(a) DISCUSSION OF SENIOR CENTER TAX INCREMENT BOND AND PARKING PROGRAM BONDS
WITH FISCAL CONSULTANT (BILL FAHEY OF EHLERS & ASSOCIATES) AND BOND APPROVING
ATTORNEY (JERRY GILLAGAN OF DORSEY LAW FIRM)
The Fiscal Consultant, Mr. Bill Fahey of Ehlers & Associates, and the Bond
Approving Attorney, Mr. Jerry Gillagan of the Dorsey Law Firm, were present
at the Council meeting to answer questions and explain the Senior Center Tax
Increment Bond and the Parking Program Bonds.
At the conclusion of a two-hour discussion, both of the consultants assured
the Council that the City of Hutchinson was in good standing with their bond
program.
(b) CONSIDERATION OF CONFERENCES AND SCHOOLS FOR BUDGET YEAR 1982
(DEFERRED FEBRUARY 9, 1982)
Inasmuch as the City recently reduced department budgets, it was recommended
by Alderman Gruenhagen that each person ask permission from the City Council
to attend a specific school, conference, etc.
Alderman Gruenhagen moved to reject the list of conferences and schools as
presented. The motion was seconded by Alderman Beatty and carried unanimously.
The motion was amended by Alderman Gruenhagen to include "for the year 1982."
Seconded by Alderman Beatty, the motion unanimously carried.
(c) CONSIDERATION OF SELECTING DEVELOPER FROM TWO PROPOSALS FOR S & L SITE
(DEFERRED FEBRUARY 9, 1982)
Mr. Jim McClure of Miller, Miller & Mac stated the only presentation left
to bring to the Council would be to request action be taken to approve the
Downtown Development Advisory Board's recommendation for a larger project
at the S&L site be done by Miller, Miller & Mac, with the use of industrial
revenue bonds and tax increment financing.
The larger project would be an increase of 3,000 square feet to the floor
space of the building and a reduction in rent rate. The developer also stated
that he has a written option from the owner for the S&L property, at a fixed
purchase price.
City Administrator Plotz poiht6d out that in order to qualify for the tax
increment financing, it would be necessary for the City to obtain an option
on the property and make the expenditure out of the tax increment bond fund.
The City would then sell the property to the developer. An appraisal of the
property would be at the discretion of the City Council.
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COUNCIL MINUTES
FEBRUARY 22, 1982
Mr. McClure stated that within 90 days he will have an answer on the direc-
tion of the project. If after that period of time it does not go forward,
the agreement would not be valid.
Following further discussion, Alderman Beatty moved to select Miller, Miller
& Mac (Jim and Dick McClure) as developer of the S & L project, using the
expanded project, and to encourage a restaurant rather than a cafe. Seconded
by Alderman Carls, the motion unanimously carried.
The motion was amended by Alderman Beatty, seconded by Alderman Carls, to
include a 90 -day agreement between the City of Hutchinson and Miller, Miller
& Mac. Motion unanimously carried.
It was moved by Alderman Beatty to authorize an appraisal of the S&L building
site. Seconded by Alderman Mlinar, the motion carried unanimously.
(d) CONSIDERATION OF RESCINDING REFERENDUM DATE OF APRIL 6, 19821FOR LIBRARY
EXPANSION AND RENOVATION
It was the recommendation of the Library Board to delay the referendum for
the year 1982 because of the present economy.
After discussion, the motion was made by Alderman Beatty to rescind the ref-
erendum date of April 6, 1982 for the Library expansion and renovation. The
motion was seconded by Alderman Gruenhagen and carried unanimously.
(e) CONSIDERATION OF CORRESPONDENCE FROM CITIZENS BANK REGARDING BID ON OLD
ARMORY
Mayor DeMeyer reported the City Attorney had prepared an answer to the Bank,
and he read the proposed letter. It was an oversight this matter was not acted
upon sooner.
Following discussion, it was moved by Alderman Beatty, seconded by Alderman
Mlinar, to formally reject the bid of Citizens Bank & Trust Co. on the Old
Armory in the amount of $135,000.00 and to return the deposit check. Motion
unanimously carried.
(f) CONSIDERATION OF PUBLIC BUILDINGS MEETING BUILDING CODE AND FIRE CODE
Mayor DeMeyer stated he had requested the Fire Marshal and Building Official
to review all City buildings to determine if they were in compliance with
building codes and fire codes. By the next Council meeting, they should have
a report ready to present.
Alderman Carls inquired if the buildings would have to meet the handicap
code. Building Official Pittman responded all buildings used by the public
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COUNCIL MINUTES
FEBRUARY 22, 1982
are supposed to meet the handicap code. Discussion was then given to the
cost of bringing the Old Armory up to code.
City Attorney Schaefer suggested closing the attics in the Old Armory to be
in compliance and save money. Also, the basement could be vacated instead
of installing a sprinkler system. This would mean relocating the Motor Ve-
hicle office and the Hospital Auxiliary Thrift Shop.
Alderman Gruenhagen stated he could not foresee spending any money on the
Old Armory and recommended closing the building and moving the offices. He
then commented he knew of space for rent on Main Street which would be big
enough to house the Motor Vehicle office.
Alderman Mlinar inquired about items 1 and 2 in the Fire Marshal's order
which had been given five days to comply with the order. It was pointed
out that the locks on the doors had not been corrected due to the cost in-
volved. Item No. 2 would require corrective electric wiring throughout the
building, which would be a big expense.
City Attorney Schaefer stated that if the Old Armory is closed, it is not
the Fire Marshal or his office that has required the closing. This is a
Council decision, and it is the law that requires meeting the code. He felt
the decision to close the Armory was an administrative decision based on
economic factors.
After discussion, Alderman Beatty moved to give the tenants 30 -day notice
to vacate the Old Armory and close the building up. Seconded by Alderman
Gruenhagen, the motion unanimously carried.
Fire Marshal Field requested permission to have his letter printed in the
newspaper. It was moved by Alderman Beatty, seconded by Alderman Mlinar,
to grant permission to print a copy of the Fire Marshal's letter in The
Hutchinson Leader. Motion carried unanimously.
9. NEW BUSINESS
(a) CONSIDERATION OF 1982 TOURNAMENT POLICY
Recreation Director Ericson reported the 1982 policy is similar to the pre-
vious one; however, it will require a damage deposit for the first time.
There will also be a fee for beer being sold at a tournament.
Following discussion, the motion was made by Alderman Beatty to approve the
1982 tournament policy. The motion was seconded by Alderman Gruenhagen and
unanimously carried.
City Administrator Plotz reported that one service group was opposed to the
beer charge in the new policy.
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COUNCIL MINUTES
FEBRUARY 22, 1982
(b) DISCUSSION OF UNAUTHORIZED USE OF TIME AND MONIES FOR REMOVAL OF SNOW ON
PRIVATE PROPERTY (REQUESTED BY MAYOR DEMEYER)
City Attorney Schaefer commented on the practice over the past 22 years where-
by certain private lots have been cleaned of snow by the City. He stated
this is not an authorized expenditure unless the City receives something in
exchange for the use of facilities. The City should not use its equipment
to clean private property.
Maintenance Operations Director Neumann presented a map with 27 locations
of private property that are presently being cleaned by City crew, most of
which are in the downtown area. It was the understanding that the lot owners
would put the snow in a corner, and the City crews would remove it later.
This expedited traffic and safety in the downtown area. However, as the City
has expanded more businesses have requested to have their snow removed by
the City. The City Ordinance forbids putting snow on City streets, and some
lot owners have been plowing into the windrows. This year the City crew has
spent a great deal of time removing snow.
City Attorney Schaefer stated that the City must provide a designated area
for private enterprise to dump snow, and the City must enforce the regula-
tions regarding pushing snow out on the windrows.
Following discussion, Alderman Beatty moved that the City desist from remov-
ing snow from private property immediately. Seconded by Alderman Gruenhagen,
the motion carried unanimously.
Mr. Dick Lennes stated he was in support of the motion made, but he felt
to implement it immediately would not give the property owners enough warn-
ing. He, therefore, suggested a 30 -day period to go into effect.
Alderman Beatty moved to amend the motion to grant a 30 -day grace period.
The motion was seconded by Alderman Gruenhagen and unanimously carried.
(c) CONSIDERATION OF REQUESTING STATE AUDITOR TO AUDIT CITY PROCEDURE AND
ACCOUNTS (REQUESTED BY MAYOR DEMEYER)
Mayor DeMeyer requested this item be withdrawn from the Agenda inasmuch as
the Bond Counsel had answered his questions regarding the tax increment.
It was the consensus of the Council that the City Accountant and City Admin-
istrator have their support in the management of City affairs. And, further,
Alderman Carls moved to adopt Resolutions No. 7083 and No. 7084, Resolution
of Appreciation for the services of Kenneth B. Merrill and Gary D. Plotz.
The motion was seconded by Alderman Mlinar and carried unanimously.
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FEBRUARY 22, 1982
(d) CONSIDERATION OF DELINQUENT WATER AND SEWER ACCOUNTS
Mayor DeMeyer read a copy of the letter sent to all delinquent account hold-
ers. He then inquired if there was anyone present who wished to be heard
regarding his/her account. There was no response.
The motion was made by Alderman Beatty to accept the staff recommendation to
discontinue service at 12:00 noon on March 1, 1982, unless otherwise noted
for the following accounts: 08-0370-1-00, 08-0545-0-00, 08-0720-2-00, 09-
0355-1-00, 09-0845-1-00, 10-0569-1-00, 14-0110-2-00, 20-0065-0-00, 24-0131-
0-00. Seconded by Alderman Mlinar, the motion unanimously carried.
(e) CONSIDERATION OF 1982 TREE REMOVAL AND STUMP REMOVAL SPECIFICATIONS
Parks and Recreation Director Ericson reported on the proposed 1982 tree and
stump removal specifications and explained the differences from the previous
year. The bids would be opened on March 12, 1982 at 2:00 P.M.
Following discussion, it was moved by Alderman Gruenhagen, seconded by Alder-
man Beatty and carried unanimously, to approve the 1982 tree and stump re-
moval specifications and authorize advertising for bids to be opened on
March 12, 1982 at 2:00 P.M.
(f) CONSIDERATION OF SUPERVISION AND SECURITY AT SENIOR CENTER
City Administrator Plotz reported that the City of Hutchinson has a contract
with the developer to lease the Senior Center. The City is, therefore, re-
sponsible for maintenance of this portion of the building.
Personnel Coordinator Sitz stated that a custodial worker puts in four hours
a day in the Senior Center under the Green Thumb Project, which is at no cost
to the City. The Senior Center caretaker would be available to provide secur-
ity and supervision responsibility for $50.00 per month compensation.
After discussion, the motion was made by Alderman Beatty to approve compen-
sating the caretaker for supervision and security at the Senior Center. Sec-
onded by Alderman Mlinar, the motion carried, with Aldermen Carls, Mlinar,
Gruenhagen and Beatty voting aye, and Mayor DeMeyer voting nay.
(g) CONSIDERATION OF FEES FOR LIQUOR LICENSES
Following discussion of increasing the liquor license fees, Alderman Beatty
moved to change the fees as follow:
COUNCIL MINUTES
FEBRUARY 22, 1982
TYPE
Off -Sale Non -Intoxicating Malt
Liquor (3.2 Beer)
On -Sale Non -Intoxicating Malt
Liquor (3.2 Beer)
Intoxicating Liquor
Club Intoxicating Liquor
FEE FOR YEAR
$ 100.00
25.00 (Short Term)
225.00
2,500.00
200.00
The motion was seconded by Alderman Mlinar and unanimously carried.
(h) CONSIDERATION OF LEASING CONCESSION STANDS ON CITY PROPERTY WITH APPROVAL
OF PARKS AND RECREATION BOARD
Parks and Recreation Director Ericson stated the Parks and Recreation Board
recommended leasing to private firms or individuals the concession stands on
City property, with bids to be opened on March 19, 1982 at 2:00 P.M.
After discussion, the motion was made by Alderman Gruenhagen, seconded by
Alderman Beatty and carried unanimously, to approve leasing the concession
stands and advertising for bids on March 19, 1982 at 2:00 P.M.
(i) CONSIDERATION OF MUTUAL AID AGREEMENT AND RELEASE OF LIABILITY BETWEEN
CITY AND MINNESOTA ARMY NATIONAL GUARD
In the past there has been an exchange of services between the City of Hutch-
inson and the Minnesota Army National Guard. The National Guard has requested
a release of liability stating the City will not hold them or the State of
Minnesota liable.
Following discussion, Alderman Gruenhagen moved to approve the Mutual Aid
Agreement and Release of Liability between the City of Hutchinson and the
Minnesota Army National Guard. Seconded by Alderman Mlinar, the motion car-
ried unanimously.
(j) CONSIDERATION OF APPLICATION FOR SNOW REMOVAL PERMIT BY CHARLES YERKS
After discussion, it was moved by Alderman Carls, seconded by Alderman Gruen-
hagen, to approve the application and issue a snow removal permit to Charles
Yerks. Motion unanimously carried.
(k) CONSIDERATION OF HANDICAP SIGNS
Maintenance Operations Director Neumann presented a list of five locations
for placement of handicap signs. It was recommended that the proposed sign
COUNCIL MINUTES
FEBRUARY 22, 1982
on Washington Avenue East to be posted by The Barbers be moved closer to
the alley.
Following discussion, the motion was made by Alderman Mlinar to approve the
placement of the handicap signs, including relocating the sign by The Bar-
bers. The motion was seconded by Alderman Beatty and carried unanimously.
(1) CONSIDERATION OF REQUEST FOR CONDITIONAL USE PERMIT SUBMITTED BY HUTCHINSON
AREA VOCATIONAL TECHNICAL INSTITUTE WITH FAVORABLE RECOMMENDATION OF PLANNING
COMMISSION WITH CONTINGENCY
The Hutchinson Area Vocational Technical Institute requested a Conditional
Use Permit to allow the use of a portable training unit to be used in the
training of caring for the aged. It was the recommendation of the Planning
Commission to approve the Permit, with the contingency that the permit be re-
viewed and renewed in June of 1983.
After discussion, Alderman Gruenhagen moved to waive reading and adopt Reso-
lution No. 7082 entitled Resolution Granting Conditional Use Permit Under
Section 6.07, C.5 of Zoning Ordinance No. 464 to Allow Use of A Portable
Training Unit to Be Used In Training of Caring for Aged, with the contingency
that the permit be reviewed and renewed in June of 1983. The motion was
seconded by Alderman Beatty and unanimously carried.
(m) CONSIDERATION OF RECOMMENDATION BY PLANNING COMMISSION TO OPPOSE H.F. 1738
AND S.F. 1677 BILLS BEING CONSIDERED BY LEGISLATURE
The bill in question amends the municipal planning act to provide that a
city may not prohibit manufactured homes ("mobile homes"), which otherwise
comply with city zoning ordinances, from being placed on residential lots.
Following discussion, it was moved by Alderman Beatty to accept the Planning
Commission's recommendation and go on record as opposing H.F. 1738 and S.F.
1677 bills. The motion was seconded by Alderman Mlinar and carried unani-
mo us ly .
10. MISCELLANEOUS
(a) COMMUNICATIONS FROM CITY ADMINISTRATOR
City Administrator Plotz reported that the City Council would be completing
the budget cuts within the next few days.
(b) COMMUNICATIONS FROM PARKS AND RECREATION DIRECTOR
Parks and Recreation Director Ericson distributed copies of a report on exist-
ing parks and public open space sites in Hutchinson.
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COUNCIL MINUTES
FEBRUARY 22, 1982
Permission was requested for five employees to attend a Tree Inspectors Work-
shop in Eden Prairie.
The motion was made by Alderman Gruenhagen, seconded by Alderman Beatty, to
approve expenditures for the Workshop. Motion unanimously carried.
(c) COMMUNICATIONS FROM MAINTENANCE OPERATIONS DIRECTOR
Director Neumann reported he had met with the Hutchinson Safety Council and
informed them that half of the street lights would be turned off along High-
way No. 7 and Highway No. 15 to cut costs. There was no objection from the
Council.
A request was made for Ralph Neumann to attend the Governor's Conference on
Natural Disasters on March 5, 1982 and for Doug Meier to attend the American
Public Works Conference on March 11-12, 1982.
Alderman Beatty moved to approve the request for Ralph Neumann and Doug Meier
to attend the stated conferences. Seconded by Alderman Gruenhagen, the mo-
tion carried unanimously.
(d) COMMUNICATIONS FROM ALDERMAN BEATTY
Alderman Beatty stated that about two years ago the Planning Commission had
requested the City staff to prepare recommendations on agenda items.. It was
his understanding that the Mayor had requested this practice cease, and he
inquired why the recommendations had been removed from the agenda.
Mayor DeMeyer stated he had received complaints regarding this matter. He
personally had no objection to staff recommendations, but he felt each per-
son making a recommendation should be identified.
City Attorney Schaefer recommended that if the staff is unanimous in their
recommendation or disapproval of an item, it should read "staff recommends
approval or disapproval." However, if any staff member has reservations,
it should be listed.
It was the consensus of the City Council that staff recommendations should be
placed on the Planning Commission agenda.
11. CLAIMS, APPROPRIATIONS AND CONTRACT PAYMENTS
(a) VERIFIED CLAIMS
It was moved by Alderman Gruenhagen, seconded by Alderman Mlinar and carried
unanimously, to approve the verified claims and authorize payment from the
appropriate funds.
12. ADJOURNMENT
There being no further business, the meeting adjourned at 1:05 A.M. upon motion
by Alderman Gruenhagen, seconded by Alderman Mlinar and unanimously carried.