10-11-1983 CCMMINUTES
REGULAR MEETING - HUTCHINSON CITY COUNCIL
TUESDAY, OCTOBER 11, 1983
1. The meeting was called to order by Mayor DeMeyer at 7:30 P.M., with the fol-
lowing present: Alderman Mike Carls, Alderman John Mlinar, Alderman Kenneth
Gruenhagen, Alderman Ted Beatty, and Mayor James G. DeMeyer. Also present:
City Administrator Gary D. Plotz, City Engineer Marlow V. Priebe, and City
Attorney James Schaefer.
2. INVOCATION
The invocation was given by the Reverend Larry Baumann.
3. MINUTES
The minutes of the bid openings of September 26, 1983, October 4, 1983 and
October 6, 1983; Board of Review of September 27, 1983; and regular meeting
of September 27, 1983 were approved as presented upon motion by Alderman
Mlinar, seconded by Alderman Beatty and carried unanimously.
4. PUBLIC HEARING - 8:00 P.M.
(a) PROJECT 84-02
Mayor DeMeyer called the hearing to order at 8:05 P.M. City Engineer
Priebe presented a report on the six sections included in project 84-02.
He stated the subdivider had requested the improvements, at an estimated
cost of $422,300.
It was moved by Alderman Mlinar to close the hearing. Motion seconded by
Alderman Beatty and approved unanimously.
Alderman Mlinar made the motion to approve the project and to waive read-
ing and adopt Resolution No. 7539. Alderman Carls seconded the motion,
and it unanimously carried.
(b) CONSIDERATION OF ASSESSMENT ROLLS FOR PROJECT 83-02, OAKWOOD ADDITION:
1. ROLL NO. 172
The public hearing was called to order by Mayor DeMeyer with the reading
of Publication No. 3145.
The Director of Engineering reported on the improvement of Oakwood Ad-
dition by the construction of sanitary sewer and appurtenances. The
estimated cost of the project was $23,236.30.
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OCTOBER 11, 1983
The motion was made by Alderman Gruenhagen, seconded by Alderman Beatty,
to close the hearing. Motion unanimously approved.
2. ROLL NO. 174
Publication No. 3146 was read by Mayor DeMeyer.
A report was presented by the City Engineer on the improvement of Oakwood
Addition by the construction of trunk storm sewer and appurtenances. It
was stated the estimated cost would be $24,803.80.
Alderman Gruenhagen moved to close the hearing. Motion seconded by Ald-
erman Beatty and carried unanimously.
3. ROLL NO. 175
Mayor DeMeyer read Publication No. 3147 for Assessment Roll No. 175.
City Engineer Priebe reported on the improvement of Oakwood Addition by
the construction of lateral storm sewer and appurtenances, at an esti-
mated cost of $7,861.30 for the project.
It was moved by Alderman Gruenhagen, seconded by Alderman Beatty, to
close the hearing. Motion approved unanimously.
4. ROLL NO. 176
Publication No. 3148, for Assessment Roll No. 176, was read by Mayor
DeMeyer.
The City Engineer reviewed the improvement for California Street, School
Road and County Road 12 by construction of trunk storm sewer and appur-
tenances. The estimated cost of the improvement was $169,320.
The motion was made by Alderman Gruenhagen to close the hearing. Motion
seconded by Alderman Beatty and unanimously carried.
5. ROLL NO. 177
Publication No. 3149 was read by Mayor DeMeyer.
It was reported by the Director of Engineering that the proposed assess-
ment for the improvement of California Street, School Road and County
Road 12 would be for construction of lateral storm sewer and appurtenances.
The estimated cost of the project was $8,583.27.
Alderman Gruenhagen moved to close the hearing. Alderman Beatty seconded
the motion, and it carried unanimously.
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OCTOBER 11, 1983
Alderman Beatty made the motion to approve Assessment Rolls No. 172, 174,
175, 176 and 177 and to waive readings and adopt Resolutions No. 7540 -
No. 7544. Motion seconded by Alderman Carls and approved unanimously.
City Engineer Priebe reported that bids were received on September 12,
1983 for Project 83-02 and 83-02 S.A.P. It was his recommendation to
award the contract to Juul Contracting in the amount of $102,445 for
Project 83-02 and to Burschville Construction, Inc. in the amount of
$68,789.25 for Project 83-02 S.A.P.
It was moved by Alderman Beatty, seconded by Alderman Mlinar, to waive
readings and adopt Resolutions No. 7546 and No. 7547 to award contracts.
Motion unanimously carried.
(c) CONSIDERATION OF ISSUANCE OF "ON SALE" INTOXICATING LIQUOR LICENSE TO
ALLAN E. OTREMBA, PROSPECTIVE OWNER OF SCALAWAGS
Mayor DeMeyer opened the hearing with the reading of Publication No.
3155. There was no one present to object to the issuance of an "on -
sale" intoxicating liquor license to Allan E. Otremba, prospective owner
of Scalawags.
The motion was made by Alderman M1iAar to close the hearing at 8:25 P.M.
Motion seconded by Alderman Beatty and unanimously approved.
Alderman Carls moved that based on the report received from the Police
Department, to approve the application and issue an intoxicating liquor
license. Alderman Mlinar seconded the motion, and it carried unanimously.
(d) REVIEW OF PROPOSED RECONSTRUCTION OF T.H. 15 FROM SOUTH CITY LIMITS TO
LINDEN AVENUE
Mayor DeMeyer read a letter received from Roger L. Lund in which he pro-
tested the proposed reconstruction of highway 15. His main concern was
the driveway serving the residence of Edna A. Lund, located between So6th
Grade Road and the east entrance into the Hutchinson Mall on the west
side of T.H. 15. The State alignment map showed the driveway would be
closed off, with no apparent alternative access to the property.
Two representatives from the MQ/DOT District 8 Willmar office were present
at the meeting; namely, Ben Sieck, Design Engineer and Gene Setrum, Pre-
liminary Design Engineer.
Mr. Setrum reviewed the proposed plan on the map. He stated this was a
safety improvement project rather than reconstruction. He explained there
would be a raised concrete island erected to divide the two lanes of traf-
fic, starting at Linden Avenue and continuing to Baltimore Street, with
the provision for a left turn lane. There would be a semi -four traffic
control at South Grade Road intersection.
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OCTOBER 11, 1983
There was discussion of realigning Brown Street and Echo Drive to allow
for an intersection for traffic to flow to and from and across highway
15. On the south end of Main Street there was the possibility of three
property owners losing access to the street in front of their houses.
It was the consensus of the Council that the three property owners should
be made aware of the situation.
The City cost for the project was estimated at $200-250,000. It was
pointed out that Federal Aid Urban funding could be applied to the im-
provement. The State's goal was to have a construction letting in July
1985, with construction in 1986. At this time the State requested pre-
liminary approval of the plans, and a finalized plan would be presented
to the Council at a later date, with a hearing held for public input.
An inquiry was made regarding a sidewalk or walkway crossing in the area
of the Hutchinson Mall. The response was that no sidewalk was planned by
the State inasmuch as it would be the responsibility of the City to pro-
vide one. There would, however, be a push button crossing. City Engineer
Priebe stated the City would consider a sidewalk after the curbing was in
place.
Alderman Mlinar moved to close the hearing at 9:15 P.M. Motion seconded
by Alderman Carls and approved unanimously.
It was moved by Alderman Beatty, seconded by Alderman Mlinar, to approve
the proposed improvement of T.H. 15 and to waive reading and adopt Reso-
lution No. 7545. Motion carried unanimously.
5. COMMUNICATIONS, REQUESTS AND PETITIONS
(a) CONSIDERATION OF INITIATIVE PETITION CONCERNING SUNDAY SALE OF INTOXICATING
LIQUOR
City Administrator Plotz reported that a petition with 447 signatures was
submitted last Friday, and an additional petition of 65 signatures was sub-
mitted on Monday. The names on the petitions had been verified for 15 per
cent of the registered voters from the last City election.
Following discussion, Alderman Beatty moved to set a public hearing for
October 25, 1983 at 8:00 P.M. Motion seconded by Alderman Carls and unani-
mously approved.
6. RESOLUTIONS AND ORDINANCES
(a) ORDINANCE NO. 12/83 - AN ORDINANCE RELATING TO THE LICENSING OF PEDDLERS,
SOLICITORS, AND TRANSIENT MERCHANTS AND PROVIDING PENALTIES FOR VIOLATIONS
THEREOF
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OCTOBER 11, 1983
After discussion, the motion was made by Alderman Carls, seconded by
Alderman Beatty, to waive the second reading and adopt Ordinance No. 673.
The motion carried with roll call vote of Aldermen Gruenhagen, Beatty,
Carls and Mlinar voting aye and Mayor DeMeyer voting nay.
(b) ORDINANCE NO. 20/83 - AN ORDINANCE TO VACATE UTILITY AND DRAINAGE
EASEMENTS LOCATED IN ROLLING OAKS FOURTH ADDITION
Following discussion, it was moved by Alderman Beatty to waive the second
reading and adopt Ordinance No. 674. Motion seconded by Alderman Carls
and approved unanimously.
(c) RESOLUTION NO. 7536 - RESOLUTION ACCEPTING $62,500 FROM THE HUTCHINSON
UTILITIES COMMISSION
After discussion, Alderman Beatty made the motion to waive reading and
adopt Resolution No. 7536. Motion seconded by Alderman Gruenhagen and
unanimously carried.
(d) RESOLUTION NO. 7537 - TRANSFERRING $20,000 FROM LIQUOR STORE TO GENERAL
FUND
Following discussion, it was unanimously approved to waive reading and
adopt Resolution No. 7537 upon motion by Alderman Gruenhagen and seconded
by Alderman Beatty.
(e) RESOLUTION NO. 7538 - RESOLUTION AUTHORIZING RELEASE OF SECURITIES TO
FIRST BANK MINNEAPOLIS
After discussion, the motion was made by Alderman Mlinar to waive reading
and adopt Resolution No. 7538. Motion seconded by Alderman Carls and car-
ried unanimously.
7. REPORTS OF OFFICERS, BOARDS AND COMMISSIONS
(a) BUILDING OFFICIAL`S MONTHLY REPORT - SEPTEMBER 1983
There being no discussion, the report was ordered by the Mayor to be re-
ceived for filing.
(b) MINUTES OF HOSPITAL BOARD DATED AUGUST 16, 1983 AND SEPTEMBER 7, 1983
There being no discussion, the minutes were ordered by the Mayor to be
received for filing.
(c) MINUTES OF LIBRARY BOARD DATED SEPTEMBER 23, 1983
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OCTOBER 11, 1983
There being no discussion, the minutes were ordered by the Mayor to be
received for filing.
(d) MINUTES OF NURSING HOME BOARD DATED AUGUST 18, 1983
There being no discussion, the minutes were ordered by the Mayor to be
received for filing.
8. UNFINISHED BUSINESS
(a) CONSIDERATION OF PARKS AND PLAYGROUND CONTRIBUTION BY RICHARD
SCHMIDTBAUER (DEFERRED SEPTEMBER 27, 1983)
The motion was made by Alderman Beatty to defer this item to the next
Council meeting. Motion seconded by Alderman Gruenhagen and unanimously
approved.
(b) CONSIDERATION OF PROJECT 84-01, HILLTOP ADDITION (DEFERRED SEPT. 27, 1983)
City Attorney Schaefer stated the subdivision agreement for Hilltop Addi-
tion was valid and showed how assessments were to be appropriated. At
this point the City has two viable alternatives: 1) The City could take
the position that the subdivision agreement was valid, and it had nothing
to do with the agreement, or 2) The City could take over that portion of
the special assessment that would be re -assessed so that no one paid a
higher assessment than what the subdivision agreement called for.
City Engineer Priebe explained the background of the addition. He stated
all the proposed costs had been lumped together for an equal total. One
other option would be for the City to discontinue the project until such
time as it was determined how the costs would be assessed.
The motion was made by Alderman Beatty to approve the project and assess
it on the basis of the subdivision agreement and to set a public hearing
date for October 25, 1983 at 8:00 P.M. The motion died for lack of a
second.
Alderman Gruenhagen moved to defer action to the first City Council meet-
ing in November. The motion was seconded by Alderman Mlinar and carried,
with Aldermen Gruenhagen, Carls, Mlinar and Mayor DeMeyer voting aye and
Alderman Beatty voting nay.
(c) CONSIDERATION OF AWARDING BID FOR DEMOLITION OF PLOWMAN BUILDING
(DEFERRED OCTOBER 4, 1983)
City Attorney Schaefer reported he had received a telephone call from At-
torney Roger Gilmer requesting this item be deferred to the next Council
meeting. His client, Pat Smith, is in the process of locating another
COUNCIL MINUTES
OCTOBER 11, 1983
site for his dry cleaning business and might need to ask for an extension
of time to remain in the Plowman Building after his lease expires.
It was moved by Alderman Mlinar, seconded by Alderman Carls, to defer the
item to the next Council meeting. Motion unanimously carried.
(d) CONSIDERATION OF AWARDING BID FOR MASONIC TEMPLE PARKING LOT
(DEFERRED OCTOBER 6, 1983)
City Engineer Priebe reported one bid was
parking lot improvement. The bidder was
pany in the amount of $20,650.
Following discussion, the motion was made
Alderman Mlinar, to approve and award the
Company. Motion carried, with the Chair
received for the Masonic Temple
J. W. Hanson Construction Com-
by Alderman Beatty, seconded by
bid to J. W. Hanson Construction
abstaining from voting.
(e) CONSIDERATION OF REQUEST FOR CONDITIONAL USE PERMIT AS SUBMITTED BY JEFF
HAAG, WITH FAVORABLE RECOMMENDATION OF PLANNING COMMISSION, WITH CONTINGENCY
(DEFERRED SEPTEMBER 27, 1983)
The Director of Engineering reported the applicant had submitted addi-
tional material on his proposed four -unit condominium. It was recommended
to allow Jeff Haag to proceed with construction, contingent upon approval
of the County Recorder, with no sale or occupancy to take place prior to
the association papers being submitted to the City Council for review.
After discussion, Alderman Beatty moved to approve and waive reading and
adopt Resolution No. 7528, with the stipulations stated above. Motion
seconded by the Chair and approved unanimously.
9. NEW BUSINESS
(a) CONSIDERATION OF RECOMMENDATION OF PUBLIC FACILITIES TASK FORCE CONCERNING
PUBLIC BUILDINGS AND RECREATION FACILITY, AND PRESENTATION BY REPRESENTA-
TIVES OF TRUCKER DEVELOPMENT INC., REQUESTING TO BE DESIGNATED DEVELOPER
OF PROJECTS FOR SIX MONTHS WITH AN INDUSTRIAL REVENUE BOND PUBLIC HEARING
DATE TO BE SET
Prior to the presentation, City Attorney Schaefer commented on two areas
of concern he had regarding the proposed project; namely, the feasibility
of the City entering into a long-term lease and the necessity to comply
with competitive bidding statutes.
Mr. Michael Saxton, Development Director for Trucker Development Inc, pre-
sented a report on the four properties involved in their company's pro-
posed project. He stated Frank Fay would be a partner for the project
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OCTOBER 11, 1983
to renovate the Hutch Hotel. The first floor of the hotel would be re-
modeled for commercial retail space, while the second and third floor
would be used for residential condominium housing. However, parking
space was needed for initial benefits. In conjunction with the hotel
renovation, Trucker Development had secured an option to purchase for
the Leader building and the Vision Center building. The underground
area of the Leader building would provide a garage facility for hotel
parking, while the Vision Center property would release the easement
across the parking lot property needed to erect a public administration
building. It was proposed that Trucker Development would also acquire
the old fire station from the City at the appraised value of $1341000
to be used as a garage for the new 4,400 square foot, two-story City
building. A lease back arrangement would be made available to the City.
It was also proposed that Trucker Development be designated to work on
the construction of a two-stage recreation facility.
The company was prepared to begin architectural drawings and to develop
a financing plan for presentation at a public hearing and for Council ap-
proval. They would not request any reimbursement of the expenditures to
prepare the finance plan. Trucker Development would act as construction
manager of the project, with everything bid locally.
Mr. Saxton requested that Trucker Development be given a six month exclu-
sive developer agreement,whereby there would be no cost to the City and
the City would be under no obligation to the developer. The appropriate
hearings would be held for public input, with the Council to set a public
hearing date within 30 days from today. Trucker Development would be re-
questing an industrial revenue bond at the hearing. He further stated
the company would be willing to work with a committee appointed by the
Council to design the building, with possible construction in 1983.
Alderman Beatty made the motion to accept the recommendations of the Pub-
lic Facilities Task Force and sub -committee to designate Trucker Develop-
ment Inc. as developer of the two projects, public administration build-
ing and recreation building, for a six month period, with exclusive de-
velopment rights. Motion seconded by Alderman Carls and unanimously car-
ried.
(b) CONSIDERATION OF 1984 ASSESSMENT AGREEMENT BETWEEN CITY AND MCLEOD COUNTY
The 1984 Assessment Agreement between the City of Hutchinson and McLeod
County was presented. The assessment services would cover 3,540 parcels
at a rate of $5.20 per parcel for a total cost of $18,408.
After discussion, the motion was made by Alderman Beatty, seconded by
Alderman Gruenhagen, to approve and enter into a contract with McLeod
County. Motion approved unanimously.
we
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OCTOBER 11, 1983
10. MISCELLANEOUS
(a) COMMUNICATIONS FROM CITY ADMINISTRATOR
City Administrator Plotz reported two more candidates had filed for the
November 8 election, namely Pat Mikulecky and Marlin Torgerson for the
position of alderman.
Mr. Plotz stated there was interest in holding a workshop on the proposed
maintenance assessments prior to the public hearing scheduled for Octo-
ber 17, 1983. After discussion, it was the consensus of the Council mem-
bers not to hold another workshop.
(b) COMMUNICATIONS FROM DIRECTOR OF ENGINEERING
City Engineer Priebe reported one bid was received for the fire barn park-
ing lot from J. W. Hanson Construction Co. in the amount of $15,990.25.
It was his recommendation to award the contract.
Alderman Carls moved to approve awarding the contract to J. W. Hanson
Construction. Motion seconded by Alderman Beatty and carried unanimously.
(c) COMMUNICATIONS FROM CITY ATTORNEY
City Attorney Schaefer stated he had been successful in negotiating two
additional commitments for option of property for the West River Park
project. He then reported on the conditions of the contracts for parcels
6 and 7. Out of 10 parcels in the project, there were sevell property owners
to date who have agreed to sell to the City, which was 64 per cent of the
entire project.
It was moved by Alderman Beatty to approve and authorize the Mayor and
City Clerk to sign contracts for parcels 6 and 7. Motion seconded by Ald-
erman Gruenhagen and unanimously approved.
(d) COMMUNICATIONS FROM ALDERMAN TED BEATTY
Alderman Beatty inquired about the status of the Bretzke garage property.
He was informed by the City Administrator that the City's proposal of an
agreement had been completed, and we were awaiting a response from the Li-
brary Square Partnership.
(e) COMMUNICATIONS FROM ALDERMAN MLINAR
Alderman Mlinar pointed out that on page 3, Section 4 (k) of Ordinance
No. 673, the filing fee had not been determined. It was the recommenda-
tion of the City Attorney to set the filing fee at $25, which would be
applied toward the cost of the appropriate license fee. In the event
COUNCIL MINUTES
OCTOBER 11, 1983
the license was not awarded, the fee would not be refunded.
Following discussion, Alderman Mlinar moved to approve the filing fee
of $25. Motion seconded by Alderman Beatty and carried, with the Chair
abstaining from voting.
An inquiry was made by Alderman Mlinar regarding subdivision agreements.
He wondered if there could be uniformity to them. After discussion, the
City Engineer was instructed to give the Council copies of those sub-
divisions still in effect.
11. CLAIMS, APPROPRIATIONS AND CONTRACT PAYMENTS
(a) VERIFIED CLAIMS
Alderman Beatty moved to approve the payment of verified claims from the
appropriate funds. Motion seconded by Alderman Gruenhagen and carried,
with the Chair abstaining from voting.
12. ADJOURNMENT
The meeting adjourned at 11:12 P.M. upon motion by Alderman Beatty, seconded
by Alderman Carls and approved unanimously.
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