12-27-1983 CCMs
W
MINUTES
REGULAR MEETING - HUTCHINSON CITY COUNCIL
TUESDAY, DECEMBER 27, 1983
1. The meeting was called to order by
ing present: Alderman Mike Carls,
Beatty and Mayor James G. DeMeyer.
City Administrator Gary D. Plotz,
torney James Schaefer.
2. INVOCATION
Mayor DeMeyer at 7:30 P.M., with the follow -
Alderman Kenneth Gruenhagen, Alderman Ted
Absent: Alderman John Mlinar. Also present:
City Engineer Marlow V. Priebe, and City At -
In the absence of a pastor, there was a time of silent prayer.
3. MINUTES
The minutes of the bid opening of December 12, 1983 were approved as presented
and the minutes of the regular meeting of December 13, 1983 were approved as
---amended upon motion by Alderman Beatty, seconded by Alderman Carls and carried
unanimously.
4. PUBLIC HEARING - 8:00 P.M.
(a) IMPROVEMENT PROJECT 83-10
Mayor DeMeyer called the hearing to order. Director of Engineering Priebe
reported that project 83-10 pertained to construction of a watermain in
the alley to provide service for sprinkler systems and hookup to the Meyer
property. The estimated cost of the improvement was $8,370, to be assessed
on a per foot basis. The assessment would be deferred on the property not
asking for service at this time. It was further reported that Juul Con-
tracting had submitted to the City a change order in the amount of $5,725
to extend the watermain sprinkler service. It was the City Engineer's
recommendation that the work be done after April 15, 1984 to reduce the
cost of the project.
Attorney Roger Gilmer stated it was his understanding that the City would
not issue a certificate of occupancy to his client Lorraine Meyer until
such time as the sprinkler system was installed in the building. His client
objected to the procedure and unreasonable cost forced upon her to comply
with the law.
City Attorney Schaefer pointed out thatthe construction date created a
problem since it affected the time of occupancy. He informed the Council
that the Masons and Mrs. Meyer had increased their insurance coverage to
$1 million, with the City named as co-insured. Also, the property owner
was agreeable to execute a hold harmless agreement with the City.
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COUNCIL MINUTES
DECEMBER 27, 1983
Following discussion, Alderman Beatty moved to continue the hearing on
March 13, 1984 at 8:00 P.M. Motion seconded by Alderman Carls. Upon
roll call, Aldermen Gruenhagen, Beatty and Carls and Mayor DeMeyer voted
nay, and the motion failed.
It was moved by Alderman Gruenhagen, seconded by Alderman Beatty, to close
the hearing at 8:30 P.M. Motion approved unanimously.
The motion was made by Alderman Beatty to approve preparation of assessment
roll No. 186 for project 83-10 and to waive reading and adopt Resolution
No. 7605. Alderman Carls seconded the motion, and it unanimously carried.
Alderman Gruenhagen made the motion to hold a public hearing on January
10, 1984 at 8:00 P.M. regarding the proposed assessment cost and to waive
reading and adopt Resolution No. 7606. Motion seconded by Alderman Beatty
and carried unanimously.
It was moved by Alderman Beatty that the Building Official grant a tempor-
ary certificate of occupancy for that portion of the building involving
the Masons until such time as construction work can be done and that the
insurance policy carried by the Masons and Lorraine Meyer on the building
name the City as co-insured and that a hold harmless agreement be drafted
in favor of the City. Alderman Gruenhagen seconded the motion, and it
unanimously carried.
(b) IMPROVEMENT PROJECT 84-01, HILLTOP ADDITION
City Engineer Priebe reported that a hearing date on project 84-01, Part
II, had been fixed for tonight's meeting. The proposed improvement on
Hilltop Lane and Connecticut Street in Hilltop Addition called for con-
struction of gravel base, bituminous surfacing and appurtenances at an
estimated cost of $26,000.
Judy Kopesky, 430 Shady Ridge Road, objected to the assessment of $700.
She stated that three years ago she received a bill of assessment costs.
Her property in Hilltop Addition was sold in May, with a June closing,
and the assessment search did not indicate an upcoming assessment. She
wondered who was responsible to pay the bill.
Richard Bausch, 420 Shady Ridge Road, commented he had no knowledge of
a pending assessment. He felt it should have been brought to his atten-
tion when the assessment search was done on the property.
Pat Mikulecky, 385 Connecticut, stated his property was located in the
subdivision under discussion. When he purchased his lot about five years
ago, he was given a copy of the subdivision agreement by the developer.
The City recently prepared an assessment search on his property, and it
showed a proposed project for surfacing. He inquired as to what options
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COUNCIL MINUTES
DECEMBER 27, 1983
the Council had at this point to proceed for the balance of the project
and keep in compliance with the subdivision agreement.
Discussion was given to subdivision agreements, and the City Attorney
reported he would check with the County to determine if all known sub-
division agreements had been recorded. If not, they would be recorded.
The motion was made by Alderman Gruenhagen to close the hearing. Alder-
man Beatty seconded the motion, and it was approved unanimously.
It was moved by Alderman Beatty, seconded by Alderman Gruenhagen, to order
the improvement and the preparation of plans and specifications for project
84-01 and to waive reading and adopt Resolution No. 7611. The motion car-
ried, with the Chair abstaining from voting.
5. COMMUNICATIONS, REQUESTS AND PETITIONS
(a) CONSIDERATION OF REQUEST FOR DIRECTOR OF ENGINEERING TO ATTEND CITY
ENGINEERS ASSOCIATION CONFERENCE JANUARY 18-20, 1984
Following discussion, Alderman Carls moved to approve the request. Motion
seconded by Alderman Beatty and carried unanimously.
(b) REPORT BY CITY ATTORNEY REGARDING PROCEDURAL AND COMPLIANCE AUDIT
City Attorney Schaefer reported he had received a phone call today from
Thomas Gilbertson of the State Auditor's office. The auditor's office had
reviewed Mr. Schaefer's letter and felt they were prepared to give an esti-
mate of the costs for a procedural and compliance audit. The estimated
cost was $8,400, which included approximately four weeks of research and
one week of on-site work. A follow-up letter would be forthcoming.
Mayor DeMeyer requested action from the Council members regarding the
State audit. It was the recommendation of the City Attorney to table the
item until the next meeting inasmuch as three of the Council members pres-
ent were "lame ducks." It was the consensus of the Council to wait for a
response from the Auditor's office, and no action was taken.
6. RESOLUTIONS AND ORDINANCES
(a) ORDINANCE NO. 23/83 - AN ORDINANCE AUTHORIZING THE SALE OF MUNICIPALLY
OWNED REAL PROPERTY LEGALLY DESCRIBED AS: LOT 10, BLOCK 13, SOUTH HALF
OF THE CITY OF HUTCHINSON
Mayor DeMeyer stated that the language in the proposed ordinance related
to action already taken and was, therefore, improper.
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COUNCIL MINUTES
DECEMBER 27, 1983
Alderman Beatty made the motion to waive the second reading and adopt
Ordinance No. 678. Motion seconded by Alderman Gruenhagen and carried,
with Aldermen Gruenhagen, Beatty and Carls voting aye and Mayor DeMeyer
voting nay.
(b) RESOLUTION NO. 7599 - RESOLUTION CLEARING AND CLOSING OFF STREET PARKING
FUND AND TRANSFERRING BALANCE TO THE GENERAL FUND
Finance Director Merrill reported that the City's auditing firm had recom-
mended closing the off street parking fund after it was no longer needed,
with the balance to be transferred to the general fund. However, the bal-
ance could also be transferred to the 1981 parking fund.
After discussion, it was the consensus of the Council members that the
balance should be transferred to the 1981 parking bond fund.
Alderman Beatty moved to approve the transfer of funds to the 1981 park-
ing bond fund and to waive reading and adopt Resolution No. 7599. Motion
seconded by Alderman Carls and carried, with the Chair abstaining from
voting.
(c) RESOLUTION NO. 7600 - RESOLUTION CLEARING AND CLOSING THE SPECIAL ASSESSMENT
BOND FUNDS OF 1971 AND 1972 AND TRANSFERRING ANY BALANCE TO THE SPECIAL
ASSESSMENT BOND FUND OF 1976
It was reported that these are old bond issues that are being finaled out.
Following discussion, the motion was made by Alderman Carls, seconded by
Alderman Beatty, to waive reading and adopt Resolution No. 7600. Motion
approved unanimously.
(d) RESOLUTION NO. 7602 - RESOLUTION ADOPTING THE 1983 FEDERAL REVENUE SHARING
BUDGET
After discussion, the motion was made by Alderman Beatty, seconded by Ald-
erman Gruenhagen, to waive reading and adopt Resolution No. 7602. Motion
unanimously carried.
(e) RESOLUTION NO. 7603 - TRANSFERRING INTEREST EARNED FROM WATER/SEWER FUND
TO GENERAL FUND
Finance Director Merrill explained the procedure for transfer of interest
earned from the water/sewer fund to the general fund.
Following discussion, it was moved by Alderman Beatty to waive reading and
adopt Resolution No. 7603. Motion seconded by Alderman Gruenhagen and
failed with Aldermen Gruenhagen and Beatty voting aye and Alderman Carls
and Mayor DeMeyer voting nay.
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COUNCIL MINUTES
DECEMBER 27, 1983
Alderman Carls made the motion to waive reading and adopt Resolution No.
7603 as amended to approve the transfer of the interest earned from the
water/sewer fund to the general fund, contingent upon the deficit in the
general fund and transfer only for the amount of the deficit. Alderman
Beatty seconded the motion, and it carried unanimously.
7. REPORTS OF OFFICERS, BOARDS AND COMMISSIONS
(a) MONTHLY FINANCIAL REPORT - NOVEMBER 1983
There being no discussion, the report was ordered by the Mayor to be re-
ceived for filing.
(b) MINUTES OF PLANNING COMMISSION DATED NOVEMBER 15, 1983
There being no discussion, the minutes were ordered by the Mayor to be
received for filing.
(c) MINUTES OF SENIOR ADVISORY BOARD DATED AUGUST 24, 1983
There being no discussion, the minutes were ordered by the Mayor to be
received for filing.
8. UNFINISHED BUSINESS
(a) CONSIDERATION OF SNOW REMOVAL OF PARKING LOT ON NORTHEAST CORNER OF
SECOND AVENUE AND GLEN STREET (DEFERRED DECEMBER 13, 1983)
City Attorney Schaefer reported that the City Council minutes dated Novem-
ber 25, 1980 reflected that the property in question had been rezoned to
C-3 to be utilized as a public parking lot, with the owner's permission.
Although the City had ceased to maintain private parking lots, it still
maintained this particular lot for municipal parking. Attorney Schaefer
stated that no charge was involved for use of the lot, but he recommended
a written agreement between the City and property owner for use of the
property as a public parking lot, with a lease of $1.00 per year.
Mr. Pat Mikulecky remarked that in 1980 or 1981 the parking lot was prob-
ably needed. However, the City now has a large off-street parking pro-
gram with adequate parking space downtown. If the elementary school had
need for the parking lot, they could enter into an agreement with the owner.
He felt the City should discontinue using the property.
Following discussion, Alderman Gruenhagen moved to defer this item to the
next Council meeting. Motion seconded by Alderman Beatty. Upon roll call,
Aldermen Gruenhagen and Beatty voted aye and Alderman Carls and Mayor De -
Meyer voted nay. The motion failed.
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COUNCIL MINUTES
DECEMBER 27, 1983
Alderman Carls moved that the City Attorney be authorized to obtain a
$1.00 a year lease from the property owner. Alderman Beatty seconded
the motion. Alderman Carls amended his motion to include the City main-
tain the public parking lot by snow removal and grading once a year.
Alderman Beatty seconded the amendment, and the amended motion carried
unanimously.. The motion carried with Aldermen Gruenhagen, Beatty and
Carls voting aye and Mayor DeMeyer voting nay.
9. NEW BUSINESS
(a) CONSIDERATION OF DELINQUENT WATER AND SEWER ACCOUNTS
No one was present to request an extension of the payment period. Upon
motion by Alderman Beatty, seconded by Alderman Gruenhagen, it was moved
to authorize discontinuation of service at 12:00 noon on January 3, 1984
unless otherwise stated. Motion unanimously approved.
(b) UPDATE ON OUT-OF-TOWN BUS SERVICE TO HUTCHINSON
Following a review of Hutchinson bus service by Transit Coordinator Hazel
Sitz, an up -date report was presented by Mr. Scott Lovaasen from the Jef-
ferson Lines. Future plans are that the Linder Bus Company of Hutchinson
will make a daily run by van between Hutchinson and the Brownton bus depot
to transport passengers and freight. The van will depart from the Hutch -
mobile office, which has served as a bus depot. It was also reported that
consideration was being made to move the shuttle service to Glencoe to con-
nect with other bus routes on Highway 19.
(c) CONSIDERATION OF REQUEST FOR CONDITIONAL USE PERMIT SUBMITTED BY DICK
AND JIM MCCLURE WITH FAVORABLE RECOMMENDATION OF PLANNING COMMISSION WITH
CONTINGENCIES
City Administrator Plotz commented that Dick and Jim McClure had requested
a conditional use permit to construct a 45 -unit building (PUD) on property
located on South Grade Road and owned by the First Bank of Minnesota. At
the time the bank was built, contingencies were placed on the adjacent
property. Several of the neighborhood residents had objected to the pro-
posed plan. It was the recommendation of the Planning Commission to grant
the conditional use permit subject to several contingencies.
The question was raised as to the Council's intent in zoning the property
R-2. All the Aldermen present concurred that it was their understanding
the zoning would be for single family housing.
Mr. Wade Padrnos, 955 Keith Street, stated thatwhen he purchased his prop-
erty it was with the understanding there would be no large units across
the street. He was not in agreement with the proposed plan and felt the
building would not be compatible with the area. Also, he had a concern
about the anticipated parking problem and felt it should be addressed.
COUNCIL MINUTES
DECEMBER 27, 1983
Linda Willmsen, 935 Steven Street, commented that she thought it was a
worthwhile project, but she did not want low income housing in the area.
Her main concern was parking, and she requested an increase in the number
of parking spaces required per unit.
Developer Jim McClure remarked that the architect had designed three simi-
lar projects, and he felt the parking space was adequate for the project.
The proposed plan allowed for 1.25 parking spaces per dwelling unit.
After extensive discussion, Alderman Beatty moved to defer the item to the
next Council meeting. Alderman Gruenhagen seconded the motion, and it car-
ried unanimously.
(d) CONSIDERATION OF ESTABLISHING MEETING DATE AND TIME FOR SPECIAL ORGANIZA-
TIONAL MEETING IN 1984
City Administrator Plotz reported that the City Charter requires a special
organizational meeting of the Council on the first business day of the year
following an election year.
It was the consensus of the 1984 Council members to hold a special meeting
on January 3, 1984 at 7:00 P.M.
(e) CONSIDERATION OF APPLICATIONS FOR CIGARETTE LICENSES FOR 1984
It was moved by Alderman Carls, seconded by Alderman Gruenhagen, to approve
the applications and issue cigarette licenses. Motion carried, with Alder-
man Beatty abstaining from voting.
(f) CONSIDERATION OF APPLICATION FOR BINGO LICENSE BY ELKS LODGE
Alderman Carls stated that based on the recommendation of the Police Chief,
he moved to approve the bingo license. Motion seconded by Alderman Beatty
and approved unanimously.
(g) CONSIDERATION OF APPLICATIONS FOR GAMBLING DEVICES LICENSE:
1. ELKS LODGE 4. AMERICAN LEGION POST 96
2. SONS OF AMERICAN LEGION 5. V.F.W. POST 906
3. AMERICAN LEGION AUXILIARY POST 96
The motion was made by Alderman Beatty, seconded by Alderman Gruenhagen,
to approve the applications and issue licenses. Motion unanimously car-
ried.
(h) CONSIDERATION OF VARIANCE REQUEST REFERRED BY MCLEOD COUNTY BOARD OF
ADJUSTMENT WITH FAVORABLE RECOMMENDATION OF PLANNING COMMISSION
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COUNCIL MINUTES
DECEMBER 27, 1983
City Engineer Priebe reported the property being considered for a variance
was within the two-mile radius of the City. Mr. Orion Lokensgard was re-
questing a variance to allow the reduction of the required sideyard set-
back of 30' to 15' from the property line for construction of a 30' x 70'
storage shed. It was the recommendation of the Planning Commission to ap-
prove the variance.
It was moved by Alderman Carls, seconded by Alderman Beatty, to approve
the variance. Motion approved unanimously.
(i) CONSIDERATION OF RETIREMENT POLICY
Personnel Coordinator Hazel Sitz reported that one City employee had re-
quested a change in the retirement policy which would allow accumulation
of compensatory time of not more than 120 hours of banked comp. time in
the year prior to retirement.
After discussion, the motion was made by Alderman Gruenhagen to make no
changes in the personnel policy. Motion seconded by the Chair and failed,
with Alderman Gruenhagen and Mayor DeMeyer voting aye and Aldermen Beatty
and Carls voting nay.
Alderman Carls moved to approve option 2 and allow a change in the retire-
ment policy. Motion seconded by Alderman Beatty and unanimously carried.
(j) CONSIDERATION OF APPLICATION FOR SNOW REMOVAL PERMIT:
1. RON HANSEN
2. FLORIAN THODE - HUTCH LANDSCAPING
3. EDWIN KARG
Following discussion, it was moved by Alderman Beatty, seconded by Alder-
man Gruenhagen, to approve the applications and issue permits. Motion ap-
proved unanimously.
(k) REVIEW OF 1984 WATER/SEWER FUND AND LIQUOR STORE FUND BUDGETS
Finance Director Merrill made a presentation of statements of income for
the water/sewer and liquor store funds and the 1984 budget.
After discussion, the motion was made by Alderman Beatty to approve and
adopt the 1984 water/sewer and liquor store fund budgets. Motion seconded
by Alderman Gruenhagen and carried, with Aldermen Gruenhagen, Beatty and
Carls voting aye and Mayor DeMeyer voting nay.
(1) CONSIDERATION OF CHANGE ORDER FOR WATER TREATMENT PLANT
Mr. Chuck Barger from RCM reported on change order #4 for the water treat-
ment plant. He stated three areas were involved, and the City could
COUNCIL MINUTES
DECEMBER 27, 1983
either reduce the scope of the project or limit certain portions of the
project to keep the costs in line. Mr. Barger pointed out that there was
a problem with condensation forming on the two walls of the tank and a
need to control the moisture. He then presented change order #4 address-
ing a solution to install styrofoam insulation and panel. The existing
four inch block would need to be removed. The estimated price for change
order #4 was $10,580, with RCM issuing a credit for 10-11% of the cost.
Following discussion, Alderman Gruenhagen moved to approve change order
A. Alderman Beatty seconded the motion, and it unanimously carried.
(m) CONSIDERATION OF TRACT OF LAND SALE BY CROW RIVER COUNTRY CLUB
Mr. Kevin Froemming stated he was interested in purchasing a tract of
land from the Crow River Country Club. However, the lot is landlocked,
and he would need an easement from the City to allow access across the
City water tower lot. Mr. Froemming commented that he would be respon-
sible for the cost of putting in an access road and maintaining it.
Mr. Bill Helland pointed out that he owns the adjoining land. An agree-
ment was made that there would be no interference to the golf course. He
has control of the access road into the Country Club. He expressed con-
cern about the expansion of development.
Mr. Neal Braun stated that when Mr. Helland develops the other end of his
property, the existing road into the Country Club will be relocated and
the gravel road removed.
After lengthy discussion, Alderman Beatty moved to grant Mr. Froemming
access through the City water tower lot to the lot in question and the
City Attorney be authorized to draw up the necessary documents to facili-
tate granting an easement. Motion failed for lack of a second.
It was the consensus of the Council that additional information should be
obtained prior to reaching a decision.
RECESS: Alderman Carls moved to recess for five minutes at 11:04 P.M. Motion
seconded by Alderman Gruenhagen and unanimously carried.
(n) CONSIDERATION OF WATER RESERVOIR
Mr. Chuck Barger of RCM reported he had prepared a preliminary study of the
water storage reservoir at the water treatment plant. A crack in the con-
crete was observed around the perimeter of the tank. The estimated cost for
repair work was $35,000, with the work to be done in the spring.
Alderman Gruenhagen made the motion to approve the report and authorize
RCM to do testing and prepare plans and specifications. Motion seconded
by Alderman Beatty and approved unanimously.
COUNCIL MINUTES
DECEMBER 27, 1983
(o) CONSIDERATION OF 1984 OFFICERS FOR HUTCHINSON FIRE DEPARTMENT
The motion was made by Alderman Beatty, seconded by Alderman Carts, to
approve the fire department officers for 1984. Motion carried unanimously.
10. MISCELLANEOUS
(a) COMMUNICATIONS FROM CITY ADMINISTRATOR
City Administrator Plotz reported that a Directors meeting was held this
month, at which time they were instructed to meet with departmental em-
ployees to discuss salary adjustment. A second meeting will be held in
January.
Mr. Plotz commented that Donna Bauer had resigned as a police dispatcher,
and her last day would be December 30. Therefore, a resolution of appre-
ciation would be in order.
It was the consensus of the Council to adopt a resolution of appreciation
for Donna Bauer.
(b) COMMUNICATIONS FROM CITY FORESTER
Forester Mark Schnobrich requested approval of the purchase for 1984 boul-
evard plantings in the amount of $3,732.50.
The motion was made by Alderman Beatty, seconded by Alderman Carls, to ap-
prove the purchase. Motion approved unanimously.
(c) COMMUNICATIONS FROM CITY ENGINEER
City Engineer Priebe reported that bids were received this afternoon for
project No. 84-03. He then requested the Council to authorize preparation
of the assessment for Assessment Rolls No. 191 and No. 192 and to set a
public hearing for January 24, 1984 at 8:00 P.M.
The motion was made by Alderman Carls, seconded by Alderman Beatty, to
order preparation of the assessment for Rolls No. 191 and No. 192 and to
waive reading and adopt Resolutions No. 7607 and No. 7608. Motion car-
ried unanimously.
It was moved by Alderman Carls to set a hearing on assessment rolls No.
191 and 192 for January 24, 1984 at 8:00 P.M. and to waive readings and
adopt Resolutions No. 7609 and 7610. Motion seconded by Alderman Beatty
and approved unanimously.
(d) COMMUNICATIONS FROM CITY ATTORNEY
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COUNCIL MINUTES
DECEMBER 27, 1983
City Attorney Schaefer reported on the West River Park project and re-
quested Council authorization for relocation payment to Eldon Barkheim,
515 First Avenue Southeast, in the amount of $15,000 relocation expense
and $500 moving expense, contingent upon the purchase of proposed property
by December 31, 1983. A new application would be required after that date.
It was moved by Alderman Beatty, seconded by Alderman Gruenhagen, to ap-
prove the relocation benefits, with the contingency. Motion carried, with
the Chair abstaining from voting.
Attorney Schaefer reviewed a letter received from the Attorney General's
office regarding the public library. It was the Attorney General's deter-
mination that the public library could be. expanded at its present location.
(e) COMMUNICATIONS FROM ALDERMAN TED BEATTY
Alderman Beatty stated it had been his honor and pleasure to serve the
City of Hutchinson for the past four years.
(f) COMMUNICATIONS FROM MAYOR DEMEYER
Mayor DeMeyer thanked the citizens for giving him the opportunity of serv-
ing the City. He felt he had done his best to bring about the concerns
in the past, although some had not been resolved. In closing, the Mayor
thanked everyone for their contribution on the Council.
11. CLAIMS. APPROPRIATIONS AND CONTRACT PAYMENTS
(a) VERIFIED CLAIMS
The verified claims were approved for payment from the appropriate funds
upon motion by Alderman Carls, seconded by Alderman Beatty and carried,
with Mayor DeMeyer abstaining from voting.
12. ADJOURNMENT
The meeting adjourned at 12:32 P.M. upon motion by Alderman Beatty, seconded
by Alderman Carls and unanimously carried.
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