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06-14-1983 CCMMINUTES REGULAR MEETING - HUTCHINSON CITY COUNCIL TUESDAY, JUNE 14, 1983 1. Mayor DeMeyer callled the meeting to order at 7:30 P.M., with the following present: Alderman Mike Carls, Alderman John Mlinar, Alderman Kenneth Gruenhagen, Alderman Ted Beatty (arrived at 8:15 P.M.), 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 Richard Coston. 3. MINUTES The minutes of the Board of Review of May 6, 1983, regular meeting of May 24, 1983, bid 6pening of May 31, 1983 and special meetings of May 31, 1983 and June 2, 1983 were approved as presented upon motion by Alderman Carls, seconded by Alderman Mlinar and carried unanimously. 4. PUBLIC HEARING None 5. COMMUNICATIONS, REQUESTS AND PETITIONS (a) CONSIDERATION OF RECOMMENDATION FROM LIBRARY BOARD TO PURCHASE MODEL OF PROPOSED LIBRARY ADDITION (PRESENTATION BY RALPH BERGSTROM) Mr. Ralph Bergstrom, representative for the Library Board, requested auth- orization to purchase a model of the proposed library addition. He reported that approximately $600 remained in the fund from the money allocated by the city for the initial library study. The model would cost $880 and the plas- tic case $75, for a total of $955. Therefore, the Library Board would need an additional $360 from the city. Mention was made that the Library Board had recently filed a letter of intent for a federal matching funds grant, and the application would be available in October. Attorney Schaefer stated that in 1903 an election was held to vote on ac- cepting the $10,000 donation from Andrew Carnegie to build a library. The people voted to accept the donation and to build in Library Square at an additional cost of $2,500 from the local residents. The motion was made by Alderman Mlinar to approve the purchase of the model of the proposed library addition for $360 additional money. The motion was seconded by Alderman Carls. Alderman Mlinar moved to amend the motion to approve the additional $360, with the remainder of the money from the library d, COUNCIL MINUTES JUNE 14, 1983 fund to be spent on the model, for a total cost of $955. Alderman Carls seconded the amendment, and the motion carried unanimously. The motion unanimously approved. (b) CONSIDERATION OF REQUEST TO HOLD PORK COOKOUT CHAMP CONTEST IN LIBRARY SQUARE ON JUNE 18, 1983 Following discussion, it was moved by Alderman Carls, seconded by Alderman Gruenhagen, to approve the request for the use of Library Square. Motion unanimously carried. (c) CONSIDERATION OF REQUEST FOR STREET LIGHT AT END OF ROBERTS ROAD The residents of the 600 block of Roberts Road South requested a street light to be placed at the southernmost end of the street. After discussion, Alderman Gruenhagen moved to approve and refer the request to the Hutchinson Utilities. Motion seconded by Alderman Mlinar and approved unanimously. (d) REPORT FROM POLICE CHIEF ON DAMAGE FROM TORNADO Police Chief O'Borsky reported that the estimated damage from the tornado that struck Hutchinson on Monday night, June 13, amounted to approximately $1.3 million. All of the electrical power is back on, and no one is hospi- talized. The barricades have now been removed, and the guards are no longer on duty. However, the fair grounds will be classified as "off limits" for some time. The city staff was commended for the way in which it carried out the emer- gency plan during the recent disaster. (e) COMMUNICATION FROM HOWARD MADSEN REGARDING CITY INSURANCE BID Mr. Howard Madsen stated that he and other local insurance agents felt the consultant hired by the city to review insurance policies had done some so- liciting of two firms in the Twin Cities, with a possible conflict of inter- est. The notice in the Leader stated the specifications would be available for pick up at 1:30 P.M. on April 25, 1983. These two firms, however, had their specifications delivered to them. It was their understanding the bids would be kept local. It was pointed out the consultant had discussed the matter with the City Attorney prior to delivering the specifications to the two firms in ques- tion. The City Attorney remarked the purpose for soliciting bids was to get as many bids as possible to assure the city would get the best proposal. The -method in which the specifications were obtained was insignificant -as long as they were not obtained prior to anyone else having access to the -2- COUNCIL MINUTES JUNE 14, 1983 same information. The two companies contacted dealt in the field in which the city was seeking bids. It was the opinion of the agents that all the big companies were represented locally, and there was no need to go outside the city to seek insurance bids. Also, opposition was expressed against the city attempting to secure a quota- tion from the League of Minnesota Cities insurance plan and have an agent handle the program for the city. Following discussion, the consensus of the Council was that the contract with Risk Control, Inc. should be reviewed prior to the bid opening on June 21, 1983. 6. RESOLUTIONS AND ORDINANCES (a) ORDINANCE NO. 9/83 - AN ORDINANCE AMENDING ORDINANCE NO. 464 CONCERNING ZONING REGULATIONS IN THE CITY OF HUTCHINSON AND THE OFFICIAL ZONING MAP After discussion, Alderman Mlinar moved to waive second reading and adopt Or- dinance No. 665. Motion seconded by Alderman Carls and carried, with Alder- man Gruenhagen abstaining from voting. (b) ORDINANCE NO. 10/83 - ORDINANCE AMENDING SECTION 715:40 OF THE 1974 ORDINANCE CODE OF THE CITY OF HUTCHINSON ENTITLED TIME LIMIT, PARKING ZONES Following discussion, it was moved by Alderman Carls, seconded by Alderman Gruenhagen, to waive second reading and adopt Ordinance No. 666. Motion approved unanimously. (c) RESOLUTION NO. 7425 - RESOLUTION FOR PURCHASE After discussion, the motion was made by Alderman Gruenhagen to waive read- ing and adopt Resolution No. 7425. Motion seconded by Alderman Mlinar and carried unanimously. 7. REPORTS OF OFFICERS, BOARDS AND COMMISSIONS (a) BUILDING OFFICIAL'S REPORT - MAY 1983 There being no discussion, the report was ordered by the Mayor to be re- ceived for filing. (b) MINUTES OF TREE BOARD DATED APRIL 19, 1983 There being no discussion, the minutes were ordered by the Mayor to be re- ceived for filing. (c) MINUTES OF PARK AND RECREATION BOARD DATED APRIL 6, 1983 AND MAY 4, 1983 There being no discussion, the minutes were ordered by the Mayor to be re- ceived for filing. -3- COUNCIL MINUTES JUNE 14, 1983 (d) MINUTES OF NURSING HOME BOARD DATED APRIL 21, 1983 There being no discussion, the minutes were ordered by the Mayor to be re- ceived for filing. (e) MINUTES OF SENIOR ADVISORY BOARD DATED APRIL 13, 1983 There being no discussion, the minutes were ordered by the Mayor to be re- ceived for filing. (f) MINUTES OF AIRPORT ZONING BOARD DATED APRIL 27, 1983 There being no discussion, the minutes were ordered by the Mayor to be re- ceived for filing. 8. UNFINISHED BUSINESS DECISION ON DEFERRED RULINGS Mayor DeMeyer made reference to a letter from the City Attorney dated May 24, 1983 in which he addressed the issues of whether a majority vote of all members or a simple majority vote of the members present were required on the three items with deferred rulings. It was the City Attorneys opinion that a simple majority vote would apply to the deferred rulings from April 26, 1983 regarding the parking assessment appeals (Roll No. 152) and the special assessment appeal of Walt Kelley as well as the May 10, 1983 reassessment for Caroline Anderson. The Chair then ruled that the motion carried for the above stated deferred rulings. (a) CONSIDERATION OF AWARDING BID FOR PROJECT 83-01-16 (DEFERRED MAY 31, 1983) It was reported that tentative approval had been granted to the Second Avenue state aid project, and a response would be forthcoming from the State. The City Engineer recommended deferring action to award the bid until the last Council meeting in July. After discussion, Alderman Carls moved to defer a decision on awarding the bid until the July 26, 1983 meeting. Motion seconded by Alderman Mlinar and approved unanimously. (b) CONSIDERATION OF PLANS AND SPECIFICATIONS FROM ARTHUR BENJAMIN JR. FOR SIDEWALK REPAIR ON FIRST AVENUE SOUTHWEST (DEFERRED APRIL 26, 1983) Mr. Arthur Benjamin, Jr. presented a verbal proposal of plans to coincide his repair with the city's project. He stated Jim Hanson had reviewed the necessary work to be done. It was then suggested that Mr. Hanson prepare a sketch plan of the proposal for the city's review. -4- COUNCIL MINUTES JUNE 14, 1983 Alderman Gruenhagen moved to authorize the sidewalk repair on First Avenue Southwest and the plans submitted by the property owner, contingent upon the City Engineer's approval. The motion was seconded by Alderman Beatty and carried unanimously. Mayor DeMeyer called attention to the letter received from Citizens Bank & Trust Co. requesting permission to put in the same type of sidewalk on the north side of the bank as that laid in front of the old S & L building, with the understanding the bank would pay the difference in cost. Following discussion, the motion was made by Alderman Beatty to approve the sidewalk project for the bank, with the City Engineer and bank personnel to work out the details. Motion seconded by Alderman Gruenhagen and unanimously approved. (c) CONSIDERATION OF PARKING LOT LAYOUT FOR MASONIC TEMPLE SITE City Engineer Priebe presented four alternative parking layouts fdr the Ma- sonic Temple site which would preserve some of the existing trees and shrubs. It was reported that the City Forester would review the area and make recom- mendations. After discussion, it was the consensus of the Council to defer action until a decision was made on one-way alleys in the downtown area. The motion was made by Alderman Carls to defer action to the July 26, 1983 meeting. Motion seconded by Alderman Mlinar and unanimously carried. (d) CONSIDERATION OF AWARDING BID FOR LETTING NO. 2 (DEFERRED APRIL 25, 1983) The City Engineer reviewed the two bids received for Letting No. 2 and recom- mended awarding the bid to the low bidder, Buffalo Bituminous, Inc. in the amount of $176,018.52. The motion was made by Alderman Beatty, seconded by Alderman Carls, to ap- prove and award the bid to Buffalo Bituminous and adopt -Resolution No. 7435. Motion approved unanimously. (e) CONSIDERATION OF PAYMENT FROM BASS POND AREA City Administrator Plotz reviewed the purchase of the bass pond from the DNR. He stated the figure of $1,800 was the original purchase price paid to the city for the 13 acres. Following discussion, Alderman Beatty moved to approve the payment of $1,800 for the bass pond. Motion seconded by Alderman Gruenhagen and carried unani- mously. (f) CONSIDERATION OF COMPROMISE ON PARKING ASSESSMENT APPEALS PRESENTED BY ATTORNEY WILLIAM HAAS -5- 0) o W After lengthy discussion, the motion was made by Alderman ca G COUNCIL MINUTES JUNE 14, 1983 ,m co W assessment pro- z v w W ao W posal agreement and to proceed with both the city and the appellants hiring o Pa Attorney William Haas presented a proposal for resolving the appeals of the an appraiser to move toward an agreement. Upon roll call, parking program special assessments on behalf of his clients. It was sug- o H gested that the city and the appellants each hire an appraiser to conduct 4-110before and after appraisals of the property in dispute. The appraisers would 0 W base the appraisal upon the increase in the fair market value of the property Cd after the improvement over the fair market value of the property before the �4 Q) improvement. Proper adjustments of the assessment would be made accordingly. U) ,c o Mr. Mel Ziemer stated he was willing to pay for his off-street parking assess- ment, but his building had been empty for 10 months. 4J � � It was pointed out by Caroline Anderson that her parking assessment had been rA 4..) adjusted downwards due to an error in computation.for homestead credits. a� a� 0) o W After lengthy discussion, the motion was made by Alderman Beatty, seconded Aby Alderman Mlinar, to accept the attorney's parking special assessment pro- w 'o posal agreement and to proceed with both the city and the appellants hiring o col u an appraiser to move toward an agreement. Upon roll call, the motion carried, ua with Aldermen Gruenhagen, Beatty, Carls and Mlinar voting aye and Mayor De - Meyer voting nay. (g) CONSIDERATION OF APPROVING PLANS AND SPECIFICATIONS AND ADVERTISING FOR BIDS ON PROJECT 83-06 After discussion, it was moved by Alderman Mlinar, seconded by Alderman Gruenhagen, to approve the plans and specifications for project 83-06 and to waive reading and adopt Resolution No. 7421 entitled Resolution Approv- ing Plans and Specifications And Ordering Advertisement for Bids, with bids to be opened at 2:00 P.M. on July 7, 1983. Motion approved unanimously. (h) CONSIDERATION OF ORDERING PREPARATION OF ASSESSMENT ROLL NO. 166 AND SETTING ASSESSMENT HEARING FOR PROJECT 83-01-16 City Engineer Priebe reported on Project 83-01-16 and stated the total cost of the improvement would be $94,320.00. It was his recommendation to hold a hearing on Assessment Roll No. 166 on July 12, 1983 at 8:00 P.M. Following discussion, Alderman Beatty moved to approve and waive readings and adopt Resolution No. 7422 entitled Resolution Declaring Cost To Be Assessed And Ordering Preparation Of Proposed Assessment, Assessment Roll No. 166, Project No. 83-01-16 and Resolution No. 7423 entitled Resolution For Hearing On Proposed Assessment, Assessment Roll No. 166. Motion seconded by Alderman Carts and carried unanimously. (i) CONSIDERATION OF RENT ADJUSTMENT FOR CAMEO CLEANERS (REQUESTED BY MAYOR JAMES G. DEMEYER) 10 COUNCIL MINUTES JUNE 14, 1983 Mayor DeMeyer referred to a letter dated May 16, 1983 regarding a meeting of city staff, the Mayor and the owner of the Cameo Cleaners concerning maintenance and repairs of the old Plowman building. Attorney Roger Gil- mer has been holding rent payments since Mr. Smith complained about the condition of the building. It was pointed out that approximately 30 per cent of the space was unusable due to water conditions. The Mayor recom- mended a 45 per cent rent adjustment for Cameo Cleaners from the time the city owned the building (February 1, 1983) to June 1983 and requested the funds held in escrow be released by Attorney Gilmer. After discussion, the motion was made by Alderman Beatty that the city grant Pat Smith a 40 per cent rent reduction from February 1, 1983 to June 1, 1983. The Chair seconded the motion and it carried, with Aldermen Beatty, Carls, Mlinar and Mayor DeMeyer voting aye and Alderman Gruenhagen voting nay. City Administrator Plotz reported the large front window of the building was blown out the previous evening during the tornado. It was not recom- mended to turn it over to the insurance company since the city had a $1,000 deductible policy. Following discussion, it was moved by Alderman Beatty to make repairs on the window at the Cameo Cleaners. Motion seconded by Alderman Mlinar and unanimously carried. Alderman Carls expressed concern about the money being spent out of the con- tingency fund and requested a report on the fund for the next Council meet- ing. 9. NEW BUSINESS (a) DISCUSSION OF ANNEXATION OF HORSWELL PROPERTY BY CITY OF HUTCHINSON (REQUESTED BY ALDERMAN JOHN MLINAR) City Engineer Priebe reported the Ronald Horswell property would be indi- rectly involved with some of the requested services for the Oakwood Lane project. The city could save approximately $40,000 by going across the Horswell property to install a sanitary sewer. The property is surrounded on three sides by 60 per cent of the city and is within the orderly annexa- tion area. Up to this time the city has not pursued annexation of this land. It was stated that the assessments could be deferred with the serv- ices available to the Horswell property. Mr. Horswell commented that several years ago there had been discussion of annexing his property. He requested an estimate of the costs he would be assessed and stated he would be agreeable to a deferred assessment with the services available. -7- COUNCIL MINUTES JUNE 14, 1983 Alderman Gruenhagen moved to approve and refer the matter to the Planning Commission. Motion seconded by Alderman Mlinar and carried unanimously. (b) CONSIDERATION OF APPLICATION FOR RETAIL "OFF SALE" NON -INTOXICATING MALT LIQUORS BY GEORGE THELEN After discussion, the motion was made by Alderman Carls, seconded by Alder- man Gruenhagen, to approve and issue the requested license. Motion approved unanimously. (c) CONSIDERATION OF APPLICATION FOR LICENSE TO SELL CIGARETTES AT RETAIL BY GEORGE THELEN Following discussion, it was moved by Alderman Gruenhagen to approve and issue a cigarette license. Motion seconded by Alderman Carls and carried unanimously. (d) CONSIDERATION OF REQUEST BY JUNKER SANITATION FOR INCREASED RESIDENTIAL REFUSE RATES EFFECTIVE JULY 1, 1983 Mr. Rick Junker and Attorney Lee LaBore were present to represent Junket Sanitation. A 65(� rate increase per month was requested for residential service, effective July 1, 1983 to July 1, 1984. Attorney LaBore stated the commercial rate was not being increased due to the fact it received a larger increase last year. City Administrator Plotz pointed out there was a problem with refuse pick-up in the parks. Mr. Junker stated the Parks and Recreation Director had not informed him of any problem. Last year it was suggested the city purchase its own dumpsters, and Junker would be willing to empty them free of charge. After discussion, it was the consensus of the Council to obtain a survey of other comparable communities and what they charged for refuse services. The motion was made by Alderman Carls to defer action until the Council had a chance to address other communities of comparable size as to their services and cost. Motion seconded by Alderman Gruenhagen and carried.upon roll call vote of Aldermen Gruenhagen, Beatty and Carts and Mayor DeMeyer voting aye and Alderman Mlinar voting nay. It was moved by Alderman Mlinar that the survey be finalized for the June 28 Council meeting. Motion seconded by Alderman Beatty and approved unani- mously. (e) CONSIDERATION OF STORM SEWER EXTENSION TO JUNIOR/SENIOR HIGH SCHOOL PROPERTY COUNCIL MINUTES JUNE 14, 1983 The Hutchinson Public Schools requested the city to extend the storm sewer on future Goebel Street from Kay Street extension west to the school dis- trict property in accordance with a previous plan when the tennis courts were jointly built by the city and Hutchinson Public Schools. City Engineer Priebe reported the extension of the storm sewer was planned for when the tennis courts were planned. The estimated cost of the exten- sion would be $3,000, and there could be a hearing for inclusion in the 1983 improvement projects. Following discussion, Alderman Beatty moved to approve the extension of the storm sewer. Motion seconded by Alderman Mlinar and unanimously approved. (f) CONSIDERATION OF LETTER FROM KLASSI TOGS REGARDING RELOCATION COMPENSATION Mayor DeMeyer stated he had both talked to the owner of the shop and visited the store. He then reviewed the items referred to in the letter from Klassi Togs. It was reported that the shop would be relocating on July 10 to the S & L building. After discussion, the motion was made by Alderman Carls to authorize payment of $34 to Klassi Togs to cover the cost of damaged clothing. Motion seconded by Alderman Beatty and carried unanimously. (g) CONSIDERATION OF CORRESPONDENCE FROM JIM CONNER REGARDING TRUCK TRAFFIC ON MCLEOD AVENUE/SIXTH AVENUE NORTHEAST Mr. Jim Conner expressed concern to the Council that children might be hit by trucks on McLeod Avenue and Sixth Avenue Northeast since it was used as a truck route by Rockite Silo. It was the consensus of the Council that Rockite Silo be contacted and recom- mend a reduction of speed or use a different route for their trucks. Alderman Mlinar moved that city staff contact Rockite Silo regarding this issue. Motion seconded by Alderman Beatty and approved unanimously. (h) CONSIDERATION OF ADVERTISING FOR BIDS ON STREET IMPROVEMENT PROJECTS 83-03, 83-04, AND 83-05 City Engineer Priebe reported the plans and specifications were completed for the street parking improvement on Franklin Street between Second Avenue Southwest and Fourth Avenue Southwest. It was his recommendation to adver- tise for bids on July 7, 1983 at 2:00 P.M. Following discussion, Alderman Beatty made the motion to approve advertis- ing for bids and to waive reading and adopt Resolution No. 7426 entitled COUNCIL MINUTES JUNE 14, 1983 Resolution Approving Plans And Specifications And Ordering Advertisement For Bids, Project No. 83-03, 83-04, And 83-05. The motion was seconded by Alderman Gruenhagen and unanimously carried. 10. MISCELLANEOUS (a) COMMUNICATIONS FROM CITY ADMINISTRATOR The City Administrator had nothing to report at this time. (b) COMMUNICATIONS FROM MAINTENANCE OPERATIONS DIRECTOR State Highway Dept. railroad Director Ralph Neumann reported the -ra3.-13^osd had blacktopped over the/track on Main Street. He had been contacted about blacktopping in other areas of town but was reluctant to do this until the railroad issue was resolved. 11. CLAIMS. APPROPRIATIONS AND CONTRACT PAYMENTS (a) VERIFIED CLAIMS The verified claims were approved for payment from the appropriate funds upon motion by Alderman Beatty, seconded by Alderman Gruenhagen and carried, with Mayor DeMeyer abstaining from voting. 12. ADJOURNMENT There being no further business, the meeting adjourned at 10:47 P.M. upon motion by Alderman Beatty, seconded by Alderman Gruenhagen and carried unanimously. -10-