08-28-1984 CCMMINUTES
REGULAR MEETING - HUTCHINSON CITY COUNCIL
TUESDAY, AUGUST 28, 1984
1. The meeting was called to order by Mayor Stearns at 7:30 p.m. The
following were present: Alderman Mike Carls, Alderman John Mlinar,
Alderman Marlin Torgerson, Alderman Pat Mikulecky and Mayor Robert
Stearns. Also present: City Administrator Gary D. Plotz, City
Engineer Marlow V. Priebe and City Attorney James Schaefer.
2. INVOCATION
The invocation was given by Reverend Larry Bauman.
3. MINUTES
The minutes of the Special Meeting of August 7, 1984, the Regular
Meeting of August 14, 1984, the Bid Opening of August 13, 1984, and
the Bid Opening of August 21, 1984 were approved as written.
4. ROUTINE ITEMS
(a) REPORTS OF OFFICERS, BOARDS AND COMMISSIONS
1. Financial Report - July, 1984
2. Planning Commission Minutes - July -, 1984
There being no discussion, the report and minutes were ordered
by the Mayor to be received for filing.
(b) ORDINANCE NO. 20/84 AMENDING SEC. 710:00 OF THE 1974 ORDINANCE
CODE OF THE CITY OF HUTCHINSON, ENTITLED ONE-WAY TRAFFIC
Motion was made by Alderman Mikulecky, seconded by Alderman
Mlinar and carried unanimously to waive second reading and
adopt Ordinance_ No. 697.
5. PUBLIC HEARING - 8:00 P.M.
(a) CONSIDERATION OF ISSUING INDUSTRIAL DEVELOPMENT REVENUE BONDS
TO FRANK FAY
Mayor Stearns opened the hearing at 8 p.m. City Administrator Plotz
explained that the City's bond counsel is now of the opinion that
the City cannot use General Revenue Sharing interest earnings to
pay for the proposed police station project and therefore there is
no need for a public hearing on the proposal. Hearing was closed
on a motion by Alderman Torgerson, seconded by Alderman Mikulecky
and carried unanimously.
(b) CONSIDERATION OF ISSUING INDUSTRIAL DEVELOPMENT REVENUE BONDS
TO F & T PROJECT
Mayor Stearns opened the hearing. John Bernhagen representing
-1- 4� 1
COUNCIL MINUTES
AiJGUST 28, 1984
Hutchinson Community Development Corporation and Michael Saxton
and Frank Fay of F & T Joint Ventures were present to summarize
the proposal for the Parkview Plaza project at 4 Main Street
South (Hutch Hotel) and 40 Washington Avenue West (old fire
station), involving acquisition, renovation and rehabilitation,
and requiring $400,000 in Industrial Revenue Bonds. There was
discussion of the fact that a developer's agreement guaranteeing
the tax increment will be entered into. City Attorney Schaefer
stated that if a preliminary resolution for the project is passed,
no obligation exists on the City's part. The City Attorney presented
the proposed "non -suit" contract between the City and F & T Joint
Ventures. Michael Saxton responded that the developers have no
problem with such an agreement and are in favor of it.
The hearing was closed on a motion by Alderman Torgerson, seconded
by, Alderman Mlinar and carried unanimously.
Based on the verbal agreement discussed, a motion was made by
Alderman Torgerson to enter into an Agreement with F & T Joint
Ventures for the issuance of indistrial development bonds, contingent
upon a favorable tax increment plan. Motion was seconded by
Alderman Mlinar and carried unanimously.
Motion was made by Alderman Torgerson, seconded by Alderman Mlinar
and carried unanimously to adopt Resolution No. 7844, Giving
Preliminary Approval to a Project and its Financing under MN
Ind. Rev. Act; and Referring Proposal to MN Energy & Ec. Dev. Auth.
(c) CONSIDERATION OF AMENDING TAX INCREMENT FINANCING PLAN (DIST. 4)
Mayor Stearns opened the hearing. City Administrator Plotz
recommended that the hearing be continued to September 25 at
8:00 p.m. Motion was made by Alderman Mlinar, seconded by Alderman
Torgerson and carried unanimously to continue the hearing for
amending tax increment financing plan until September 25, 1984.
(d) CONSIDERATION OF ASSESSMENT ROLLS 187 AND 188 - MAC'S BLUFF ADDITION
Mayor Stearns opened the hearing. There being no one present to
be heard, the hearing was closed on a motion by Alderman Mlinar,
seconded by Alderman Torgerson and carried unanimously.
Resolutions No. 7842 and 7843 Adopting Assessment Rolls 187 and
188 were passed on a motion by Alderman Mlinar, seconded by Alderman
Carls and carried unanimously.
6. COMMUNICATIONS, REQUESTS AND PETITIONS
(a) CONSIDERATION OF REQUEST BY CLARA STURGES FOR SENIOR CITIZEN
REFUSE RATE
The request was approved on a motion by Alderman Torgerson, seconded
by Alderman Mikulecky and carried unanimously.
-2-
COUNCIL MINUTES
AUGUST 28, 1984
(b) PRESENTATION REGARDING LOCAL__ ACCESS TO CABLE TV - BY HAVTI
REPRESENTATIVES LARRY FRAZER AND MIKE GOEDE
HAVTI representatives Frazer and Goede explained that the
vocational school would like to coordinate local programming,
which would also provide training for students: They requested
a committee be appointed to coordinate the effort. Mayor
Stearns responded that the Council and representatives from
cable television and HAVTI should meet first to discuss plans.
A motion was then made by Alderman Mlinar to direct Attorney
Schaefer to draw up necessary documents to address the three
major points needed in an agreement; hiring a director, providing
equipment, and setting up the transmission center at HAVTI.
Motion was seconded by Alderman Mikulecky. The motion was amended
by Alderman Carls to have the agreement drawn up after a meeting
has taken place. The amendment was seconded by Alderman Torgerson.
The motion to have agreement drawn up after a meeting of council,
cable television and HAVTI was then carried unanimously. Larry
Frazer was directed to set up the meeting.
(c) REQUEST FOR AUTHORIZATION TO PURCHASE A MAMMOGRAPHY UNIT FOR
HUTCHINSON COMMUNITY HOSPITAL
Hospital Administrator Phil Graves presented the request
for the mammography unit costing $40,000, which request was
aLthorizai by the Hospital Board of Directors. Request was
approved on a motion by Alderman Mlinar, seconded by Alderman
Torgerson and carried unanimously.
(d) REPORT ON APPRAISAL OF VISION CENTER AND WENDORFF PROPERTY
(BY GARY PLOTZ)
City Administrator Plotz reported that the full appraisal documents
have now arrived and will be provided to the Council. In summary,
the Vision Center appraised value is $46,300. The Wendorff property
appraised value is $134,000; the land value is $4.75/sq. ft,
totaling $76,500, the house and garage total $57,500.
7. RESOLUTIONS AND ORDINANCES
(a) RESOLUTION AMENDING PARKING REGULATIONS FOR MUNICIPAL OFF-STREET
PARKING LOTS TO ALLOW ALL -DAY PARKING PERMITS
Motion was made by Alderman Mlinar to waive reading and adopt
Resolution 7840. Motion seconded by Alderman Carls and carried
unanimously.
-3-
COUNCIL MINUTES
AUGUST 28, 1984
8. UNFINISHED BUSINESS
(a) CONSIDERATION OF ENGINEER'S REPORT ON OPTIONS FOR STORM SEWER AT
GOEBEL FIXTURE CO.
Engineering Director Priebe reported there is no record of when
and by whom the old storm sewer in the affected area was constructed.
The line is quite flat. New line would be 15" in diameter and
installed 2 feet deeper. Public hearing would show if there are
objections to storm sewer assessment in the area. Mayor Stearns
directed that Engineer Priebe and representatives from Goebel's
should work out details of a proposed method of serving the area
with storm sewer. The matter will be discussed again at the
September 11, 1984, Council meeting.
(b) CONSIDERATION OF ENGINEER'S REPORT ON MEETING IN OWATONNA CONCERNING
CCBA PROCESS
Engineering Director Priebe reported Owatonna is considering
dropping the idea of the CCBA demonstration wastewater treatment
project. Alderman Carls requested that Dr. Harrison, the developer
of the process, be invited back to appear before the Council before
Hutchinson would end efforts to cooperate in the demonstration.
Mayor Stearns directed Engineer Priebe to invite Dr. Harrison again.
9. NEW BUSINESS
(a) CONSIDERATION OF DELINQUENT WATER AND SEWER ACCOUNTS
Motion was made by Alderman Carls, seconded by Alderman Mlinar
and carried unanimously to authorize discontinuation of service.
(b) (ITEM DELETED)
(c) DISCUSSION OF IMPROVEMENTS TO HANSON DRIVE (REQUESTED BY FLOYD NOEL)
Floyd Hoe1 and Mike Tucker appeared to request that hard surface
street be provided on Hanson Drive and asked that the Council
consider doing this at the same time the Lyndale Avenue improvement
is done. After discussion, it was decided the improvement should
be considered along with 1985 projects.
(d) CONSIDERATION OF ENGINEER'S REPORT FOR 1985 PUBLIC WORKS PROJECTS
Engineering Director Priebe summarized improvements he recommends
for 1985 in projects 85-01-1 to 85-01-25. Attorney Schaefer will
check concerning the requirement for two entrances per subdivision
agreement on project 85-01-21. After discussion on all projects,
-4-
COUNCIL MINUTES
AUGUST 28, 1984
Alderman Carls requested that the City Engineer provide information
for the next Council meeting on the total cost of projects for each
of the past ten years. Motion was then made by Alderman Carls that
action on project 85-01-24 be deferred until September 11, 1984
when cost information will be available. Motion was seconded by
Alderman Torgerson and carried by a 4-1 vote, with Alderman Mlinar
voting No.
Motion was made By Alderman Carls to adopt Resolution No. 7839
Receiving Report and Calling Hearing on Improvement for September
25, 1984, at 8 p.m., for projects as listed only: 85-01-1, 2, 4,
7(from Main Street to Hassan), 9, 11, 12, 13, 14, 15, 16, 17,
18, 19, 20, 25. Motion was seconded by Alderman Torgerson and
carried unanimously.
(e) CONSIDERATION OF SUBDIVISION AGREEMENT FOR WALLER'S SECOND ADDITION
Motion to approve Subdivision Agreement was made by Alderman
Torgerson, seconded by Alderman Mikulecky and carried unanimously.
(f) CONSIDERATION OF BID OPENING DATE OF SEPTEMBER 20 AT 2 P.M.
FOR LIBRARY PROJECT
Architect John Korngeibel appeared stating he would like to
have bids"taken also for Hassan Street improvements which are
related to the library project. Motion was made by Alderman
Carls to set library bid opening date for September 20 at 2 p.m.
Motion was seconded by Alderman Mlinar and carried unanimously.
(g) CONSIDERATION OF ACTIVATING DEFERRED ASSESSMENT FOR BERNARD C.
BRECHT
Due to construction on the Bernard C. Brecht property, the
deferred assessment was activated on a motion by Alderman Torgerson,
seconded by Alderman Mikulecky and carried unanimously.
(h) CONSIDERATION OF AWARDING BIDS FOR TWO PICKUP TRUCKS
Communication was received from Maintenance Director Ralph Neumann
recommending that the low bid from Wigen Chevrolet Co. be accepted
for the two pickup trucks, in the amount of $8383.60 for a 31 ton
and $13628.02 for a 3j4 ton. The Wigen bid was accepted on a
motion by Alderman Torgerson, seconded by Alderman Mlinar and
carried unanimously.
(i) CONSIDERATION OF RESERVING 1984 INDUSTRIAL REVENUE BOND ALLOCATION
(PRESENTED BY JOHN BERNHAGEN OF COMMUNITY DEVELOPMENT CORP.)
Information was presented by Mr. Bernhagen concerning the use
of Industrial Revenue Bonds. Hutchinson may reserve its
-5-
COUNCIL MINUTES
AUGUST 28, 1984
entitlement amount based on past usage of the bonds by making a
1% deposit fee of the entitlement amount to the MN Department of
Energy and Economic Development. The City may make use of the
funds locally or choose to allocate part of the entitlement to
another city in future years through a joint powers agreement.
Hutchinson's entitlement for 1984 is $2,484,533.
Motion was made by Alderman Torgerson to waive reading and adopt
Resolution No. 7846 Relating to MN Industrial Revenue Act and to
to deposit 1% of the 1984 entitlement with the Department of Energy
and Economic Development. Motion was seconded by Alderman Mlinar
and carried unanimously.
(j) CONSIDERATION OF AUTHORIZING SOLICITATION OF BIDS FOR SALE OF
STRUCTURES FROM LAWCON GRANT PROJECT; AND IN THE ALTERNATIVE TO
SOLICIT BIDS FOR DEMOLITION OF SAID BUILDINGS, WITH BID OPENING
DATE SEPTEMBER 20, 2 P.M. (REQUESTED BY MIKE CARLS)
After discussion, authorization was given for the City Administrator
to solicit bids for sale or demolition of structures in LAWCON
grant (West River Park Phase IV) project. Motion was made by
Alderman Carls, seconded by Alderman Mlinar, and carried
unanimously.
(k) CONSIDERATION OF APPOINTING BUILDING COMMITTEE FOR RECREATION
FACILITY/SWIMMING POOL
Mayor Stearns suggested names of some individuals who might
be interested in serving on a building committee. He will
contact them to request they serve, with names to be copfirmed
at meeting of September 11, 1984.
(1) CONSIDERATION OF AUTHORIZING BUILDING COMMITTEE FOR RECREATION
FACILITY/SWIMMING POOL TO INTERVIEW ARCHITECTS AND FORWARD
RECOMMENDATION'TO CITY COUNCIL
Authorization was given to the building committee to interview
architects and recommend to the City Council, on a motion by
Alderman Mlinar, seconded by Alderman Torgerson and carried
unanimously.
(m) CONSIDERATION OF REQUEST FOR A SIGN VARIANCE AS SUBMITTED BY
S&L REHAB WITH RECOMMENDATIONS BY PLANNING COMMISSION
The request was approved on a motion by Alderman Mlinar, seconded
by Alderman Torgerson and carried unanimously, and Resol. No. 7849 adopted.
(n) CONSIDERATION OF REQUEST FOR A VARIANCE SUBMITTED BY KEN
STAPLETON WITH FAVORABLE RECOMMENDATION OF THE PLANNING COMMISSION.
The request was approved on a motion by Alderman Mlinar, seconded
by Alderman Torgerson and carried unanimously, and Resol. No. 7850 adopted.
-6-
COUNCIL MINUTES
AUGUST 28, 1984
(o) CONSIDERATION OF PRELIMINARY AND -FINAL PLAT TO BE KNOWN AS
"SANTELMAN'S SECOND ADDITION" WITH FAVORABLE RECOMMENDATION OF
PLANNING COMMISSION
The plat was approved on a motion by Alderman Mlinar, seconded
by Alderman Torgerson and carried unanimously. Resol. No. 7851 was
unanimously adopted.
(p) CONSIDERATION OF PLAT TO BE KNOWN AVORCHARD PARK FIRST ADDITION"
WITH FAVORABLE RECOMMENDATION OF PLANNING COMMISSION
The plat was approved on a motion by Alderman Torgerson, seconded
by Alderman Mikulecky and carried unanimously, and Resol. No. 7852 adopted.
(q) CONSIDERATION OF PLAT TO BE KNOWN AS "ROLLING OAKS FIFTH ADDITION"
WITH FAVORABLE RECOMMENDATION OF PLANNING COMMISSION
The plat was approved on a motion by Alderman Mlinar, seconded by
Alderman Torgerson and carried unanimously, and Resol. No. 7853 adopted.
(r) CONSIDERATION OF PRELIMINARY PLAT TO BE KNOWN AS "DAVID LEE ACRES"
SUBMITTED BY JIM REID TO COUNTY WITH FAVORABLE RECOMMENDATION OF
PLANNING COMMISSION
The plat was approved on a motion by Alderman Mlinar, seconded by
Alderman Torgerson and carried unanimously.
(e) CONSIDERATION OF PRELIMINARY PLAT FOR PETERSON ESTATES SUBMITTED
TO COUNTY WITH FAVORABLE RECOMMENDATION OF PLANNING COMMISSION
City Engineer Priebe reviewed the status of the streets in the
plat and his recommendation concerning through streets. After
discussion, the plat was approved on a motion by Alderman Mikulecky,
seconded by Alderman Torgerson and carried unanimously.
(t) CONSIDERATION OF REQUEST FOR CONDITIONAL USE PERMIT SUBMITTED BY
JAMES HEIKES TO COUNTY WITH FAVORABLE RECOMMENDATION OF PLANNING
COMMISSION.
The request was approved on a motion by Alderman Mlinar, seconded by
Alderman Torgerson and carried unanimously.
(u) CONSIDERATION OF ACCEPTING REIMBURSEMENT FOR OUT OF TOWN TRAVEL
BY POLICE CHIEF
A reimbursement check for out of town travel expenses in the amount
of $222.56 was received from the police Chief. A motion was made
by Alderman Mlinar to accept the reimbursement. Motion was seconded
by Alderman Torgerson. After discussion, motion was made by
Alderman Mlinar to call the question, seconded by Alderman Torgerson.
The motion carried on a roll call vote of 4-1, with Alderman
Mikulecky voting No. The motion to accept the reimbursement then
passed on a roll call vote of 4-1, with Alderman Mikulecky voting No.
Alderman Mikulecky stated he believed the amount to be inadequate.
-7-
COUNCIL MINUTES
AUGUST 28, 1984
(v) CONSIDERATION OF REQUEST FOR EQUIPMENT PURCHASE FOR WASTEWATER
PLANT.
Motion was made by Alderman Mlinar, seconded by Alderman
Mikulecky and carried unanimously to approve-and:waive.reading
and adopt Resolution No. 7841 authorizing purchase.
(`a) CONSIDERATION OF REQUEST FOR FUNDS TO COMPLETE INFORMATION SIGN
AT FIREMAN'S PARK
Park/Recreation Director Bruce Ericson requested that an
additional $500 be authorized to complete the project, for
which the total cost will be about $1,000. Request was
approved on a motion by Alderman Mlinar, seconded by Alderman
Torgerson and carried unanimously.
(x) CONSIDERATION OF ADDING OR DELETING 1985 IMPROVEMENT PROJECTS
BEFORE NOTICES ARE MAILED OUT
This item was discussed along with 9-d - Engineer's Report for
1985 Public Works Projects and certain projects were deleted in
that item of business.
10. MISCELLANEOUS
(a) COMMUNICATIONS FROM CITY ADMINISTRATOR
City Administrator Plotz discussed the fact that the City
precincts have different County commissioners. It would be
helpful to publish a map showing voters which commissioner
represents each precinct prior to the elections, as a public
service. Motion was made to have such a map published, by
Alderman Carls, seconded by Alderman Mlinar and carried unanimously.
(b) COMMUNICATIONS FROM ALDERMAN CARLS
Alderman Carls noted reports of recent disturbances in the
Public Square and the downtown area. After discussion, it was
determined the police department will be able to deal with the
situation.
(c) COMMUNICATIONS FROM CITY ATTORNEY SCHAEFER
The City Attorney reported that Attorney Roger Gilmer has
contacted him concerning settlement of the Anderson -River Valley
lawsuit.
In answer to a question, Attorney Schaefer reported he would check:
on whether the City may allow burning of leaves.
COUNCIL MINUTES
AUGUST 28, 1984
(d) COMMUNICATIONS FROM DIRECTOR OF ENGINEERING PRIEBE
Director of Engineering Priebe advised that the Council is
invited to tour the new Lester Prairie wastewater treatment
plant. There was agreement the Council would like to take
such a tour after budget hearings are completed.
He further reported study is being done on the Hutch Agri -Tech
sewer hookup.
11. CLAIMS, APPROPRIATIONS AND CONTRACT PAYMENTS
(a) Verified Claims
Motion was made by Alderman Torgerson, seconded by Alderman
Mlinar and carried unanimously to approve claims and authorize
payment from appropriate funds.
12. ADJOURNMENT
There being no further business, the meeting adjourned at 11:45 p.m.