Loading...
02-22-1983 CCMMINUTES REGULAR MEETING - HUTCHINSON CITY COUNCIL TUESDAY, FEBRUARY 22, 1983 1. CALL TO ORDER The meeting was called to order by Mayor James G. DeMeyer at 7:30 P.M., with the following present: Alderman Mike Carls, Alderman John Mlinar, Alderman Kenneth Gruenhagen, and Mayor DeMeyer. Absent: Alderman Ted Beatty. Also present: City Administrator Gary D. Plotz, City Engineer Marlow V. Rriebe,and City Attorney James Schaefer. 2. INVOCATION The invocation was given by the Reverend Emery Wallace. 3. MINUTES The minutes of the Regular Meeting of February 8, 1983 were approved as pre- sented and the minutes of the Special Meeting of February 14, 1983 were approved as amended upon motion by Alderman Carls, seconded by Alderman Mlinar and car- ried unanimously. 4. PUBLIC HEARING None 5. COMMUNICATIONS, REQUESTS AND PETITIONS Mayor DeMeyer read a letter of communication received prior to the meeting from Pat Mikulecky, Helga Nielson, Gayle Wick, and Tom Stibal regarding the questions presented to the City Council on February 14, 1983 and not yet addressed by the Council. City Attorney Schaefer responded that not everything presented to the Council is considered communication or is presented as part of the agenda. The Charter provides for a specific order of business, and communication means some new item of business to be considered by the Council. The questions presented were, in fact, not presented as communication or requested to be considered on the agenda but were regarding a specific item under old business. Discussion was given to the proper procedure and deadline for presenting commun- ications, requests and petitions, or other items, for the Council agenda. (a) CONSIDERATION OF APPOINTMENTS TO SENIOR ADVISORY BOARD: 1. HELEN PLAISANCE 2. EMMA LAKE 3. J. HAROLD BEYTIEN 4. JOAN PHILLIPS 19 COUNCIL MINUTES FEBRUARY 22, 1983 Mayor DeMeyer presented the aforementioned names as appointees to the Sen- ior Advisory Board for a two-year term. Alderman Carls moved to ratify the appointments. The motion was seconded by Alderman Mlinar and unanimously carried. (b) DISCUSSION OF ORDINANCE REGARDING TRANSIENT MERCHANTS (REQUESTED BY JOHN BRINKMAN) Mr. John Brinkman, a Chamber of Commerce board member, discussed the con- cerns of local retailers for better protection against transient merchants holding local one -day sales and auctions. It was suggested the peddlers be required to put up a bond and take responsibility for the wares sold. Dean Huber, Lonna Bauman and Clarice Coston also addressed the issue and expressed a need for restraints on non -reputable transients who come into the community by requiring a license and/or fee. This would protect the local businessman as well as the consumer. A copy of the resolution adopted by Worthington, Minnesota was presented to the Council as an example of fees for applications, bonds and licenses required for peddlers, canvassers and transient merchants. City Attorney Schaefer stated this action would be valid if enacted under the police powers of the community to protect the citizens and guarantee reputable merchants. However, the license fee should not be prohibitive to prevent all non -local merchants from coming into town. Alderman Mlinar moved to refer the proposed resolution and ordinance to City staff for research along with the City Attorney, to look at the League of Cities information on the subject, and to defer it to the City Council meeting on March 22, 1983. Motion seconded by Alderman Gruenhagen and car- ried unanimously. (c) CONSIDERATION OF REQUEST FOR CITY ADMINISTRATOR AND CITY ENGINEER TO ATTEND ANNUAL MINNESOTA PLANNING CONFERENCE MARCH 21-22, 1983 Following discussion, it was moved by Alderman Gruenhagen, seconded by Ald- erman Mlinar, to approve the request. Motion unanimously approved. (d) CONSIDERATION OF REQUEST TO ATTEND CONFERENCES: 1. DICK NAGY 2. FINLEY MIX 3. RANDY DEVRIES 4. MERLE MEECE -2- COUNCIL MINUTES FEBRUARY 22, 1983 Following discussion, the motion was made by Alderman Carls to approve attendance at the requested conferences. Motilin seconded by Alderman Mlinar and unanimously carried. 6. RESOLUTIONS AND ORDINANCES (a) RESOLUTION NO. 7342 - RESOLUTION FOR PURCHASE The motion was made by Alderman Mlinar, seconded by Alderman Carls, to waive reading and adopt Resolution No. 7342. Motion unanimously approved. 7. REPORTS OF OFFICERS. BOARDS AND COMMISSIONS (a) MONTHLY FINANCIAL STATEMENT - DECEMBER 1982 AND JANUARY 1983 There being no discussion, the reports were ordered by the Mayor to be re- ceived for filing. (b) MINUTES OF HUTCHINSON PLANNING COMMISSION DATED JANUARY 18, 1983 There being no discussion, the minutes were ordered by the Mayor to be re- ceived for filing. (c) MINUTES OF PARKS AND RECREATION BOARD DATED JANUARY 5, 1983 There being no discussion, the minutes were ordered by the Mayor to be re- ceived for filing. (d) MINUTES OF TREE BOARD DATED JANUARY 18, 1983 There being no discussion, the minutes were ordered by the Mayor to be re- ceived for filing. 8. UNFINISHED BUSINESS (a) CONSIDERATION OF FRANCHISE AGREEMENT BETWEEN CITY OF HUTCHINSON AND ARTHUR BENJAMIN SR. (DEFERRED DECEMBER 14, 1982) City Attorney Schaefer requested this item be deferred to the next Council meeting. Mr. Arthur Benjamin Jr. asked that a meeting be held prior to the next meeting with the City Attorney, City Administrator and a Council representative to review the proposed franchise agreement. Alderman Gruenhagen moved to defer this item to the next Council meeting. Motion seconded by Alderman Carls and carried unanimously. (b) CONSIDERATION OF AWARDING BID FOR STREET SWEEPER (DEFERRED FEBRUARY 3, 1983) -3- COUNCIL MINUTES FEBRUARY 22, 1983 It was reported that three bids were received on February 3, 1983 for a street sweeper. The recommendation was to award the bid to MacQueen Equip- ment Inc. in the amount of $45,588.00. After discussion, it was moved by Alderman Gruenhagen to approve and award the bid. Motion seconded by Alderman Mlinar. The motion was amended by Alderman Gruenhagen to award the bid to MacQueen Equipment Inc. in the amount of $45,588.00. Motion seconded by Alderman Mlinar and unanimously approved. City Administrator Plotz pointed out that the financing of the sweeper would be over a two-year period. Inasmuch as First State Federal Savings & Loan of Hutchinson submitted the lowest quote for financing, it was recom- mended to enter into an agreement with them on the purchase of the equip- ment on a lease/purchase arrangement. Alderman Gruenhagen moved to authorize City staff to negotiate financing for the street sweeper through First State Federal Savings & Loan of Hutch- inson. Motion seconded by Alderman Carls and approved unanimously. (c) DISCUSSION OF SIGNED LEASE BETWEEN CITY OF HUTCHINSON AND CAMEO DRY CLEANERS (REQUESTED BY PATRICK SMITH) (DEFERRED FEBRUARY 8, 1983) The motion was made by Alderman Mlinar, seconded by Alderman Gruenhagen, to include item No. 8-c with No. 8-d on the agenda. Motion unanimously carried. (d) DISCUSSION OF SALE OF REAR GARAGE PORTION OF BRETZKE PROPERTY TO CAMEO CLEANERS ON CONTRACT FOR DEED (REQUESTED BY ALDERMAN KENNETH GRUENHAGEN) Alderman Gruenhagen made reference to the previous Council meeting at which time they were made aware of Cameo Cleaners' situation. Although the City is not obligated to pay relocation benefits, he felt the City should try to help the business. It was his proposal to sell the garage portion of the Bretzke property to Pat Smith at purchase price ($27,500) on a contract for deed, with a five-year balloon and 15 -year interest rate. Mayor DeMeyer stated the existing overhead doors are passage doors from one shop to the other. The doors would be shut off, with a common wall between the two buildings. The agreements in the option contract were then discussed. Attorney Roger Gilmer pointed out the City purchased this property with parking bond money, but parking would not be provided. Two weeks ago Mr. Smith's problem was relocation. If the garage was sold to him at or above market value, Mr. Smith would not be ahead any and would own a building with no heat, water, sewer or utilities. -4- COUNCIL MINUTES FEBRUARY 22, 1983 Mr. Smith interjected he would have the cost of relocation as well as the expense of remodeling, which would come to approximately $10,000.00. Also, the roof of the building leaks. He stated the City looked at the building as a liability that would have to be torn down. Although the building was being made available to him, the offer was not low enough to enable him to borrow money against it from a lender. Alderman Gruenhagen commented that Mr. Smith had used the figure of $450.00 a month or less as an amount he could afford to continue to operate his business. The proposed offer would be within that price range. The next step would be for Mr. Smith to make a price offer to the City. The motion was made by Alderman Gruenhagen to defer item 8-d until the next Council meeting. Seconded by Alderman Mlinar, the motion carried unanimously. (e) DISCUSSION OF FUTURE USE OR EXPANSION OF HUTCHINSON LIQUOR STORE (REQUESTED BY ALDERMAN KENNETH GRUENHAGEN) Alderman Gruenhagen presented a proposal regarding city property which recom- mended selling the old fire hall and park land across from 3M (Lot 13 on Highway 22); building a new liquor store and remodeling the present store for a police station; relocating the Motor Vehicle Department to the re- modeled former Police Department area in City Hall; repaying the original cost of the Old Armory ($35,000.00) to the general fund; and constructing a new civic center. The suggestion was made that the New Armory be considered for recreational purposes inasmuch as the City pays $7,000.00 a year over a 25 -year period toward the debt retirement. Mr. Chuck Forss, National Guard Unit Adminis- trator, informed the Council that $61,000.00 remained on the debt, with final payment in 1999. He further stated that the Armory contained a bas- ketball court, and an arrangement could be worked out between the City and National Guard for use of the facility. During discussion, Recreation Director Bruce Ericson stated that the leagues were not willing to use the New Armory inasmuch as it had a cement floor. Mr. Forss replied it would be possible to apply a cork surface on the ce- ment floor, which the Rochester Armory had done. It was the consensus of the Council that the study by the Recreational Fa- cilities Task Force should cover a broader scope than only one building. Therefore, the appointment of members to the Task Force would be delayed until such time as the total area of research to be performed by the com- mittee had been determined. Following discussion of the liquor store, it was moved by Alderman Gruen - A hagen to include the future use or expansion of the Hutchinson liquor store ' as one of the items on the agenda for the City Council Workshop scheduled -5- AMENDMENT ADDITION UNDER AGENDA ITEM 8-e: Mr. Chuck Nelson, liquor store manager, commented on the proposed future expansion of the liquor store. He felt remodeling the existing liquor store would be too costly. He further pointed out that if the law changes to raise the legal drinking age to 21, it could affect the sale of liquor. Also, he would favor a downtown location to the proposed highway site. COUNCIL MINUTES FEBRUARY 22, 1983 for March 30, 1983. Motion seconded by Alderman Mlinar. The motion was amended by Alderman Gruenhagen to defer this item to a special meeting on March 15, 1983 at 3:30 P.M. Seconded by Alderman Mlinar and unanimously carried. In conjunction with agenda item 8-e, items 9-i and 9-j were also discussed at this time. Alderman Mlinar moved that items 9-i (old fire station) and 9-j (park sub- division, Lots 15 and 17) be included with 8-e for the special meeting on March 15, 1983. Motion seconded by Alderman Gruenhagen and carried unani- mous ly . City Administrator Plotz stated there needed to be clarification as to whether the City could sell park land. Alderman Gruenhagen moved that the City Council authorize staff to hire C. R. Pelton & Associates to appraise the old fire hall and lots 13, 15, 16 and 17 on Highway 22. Motion seconded by the Chair. The motion was amended by Alderman Gruenhagen to include appraisal of the two lots 11 and 12 on Jorgenson Street. Motion seconded by the Chair and carried, with Aldermen Gruenhagen Carls and Mayor DeMeyer voting aye and Alderman Mlinar voting nay. (f) CONSIDERATION OF ADDITIONAL BLOCK GRANT RESOLUTION REQUIRED BY STATE OF MINNESOTA (TO BE PREPARED BY PROFESSIONAL PLANNING AND DEVELOPMENT CO. AND DISTRIBUTED AT MEETING) Following discussion, it was moved by Alderman Gruenhagen to waive reading and adopt Resolution No. 7344 entitled Resolution Naming City of Hutchinson As Sponsoring Unit of Government for Hutch Hotel Project. Motion seconded by Alderman Mlinar and unanimously approved. 9. NEW BUSINESS (a) CONSIDERATION OF DELINQUENT WATER AND SEWER ACCOUNTS Mayor DeMeyer reported he had been contacted by Robert McGee regarding the billing for his business, Arctic Refrigeration. Since there are no water and sewer to his business establishment, Mr. McGee felt his billing was un- just and refused to pay it. The Mayor requested staff to review the ac- count and give a report. No one was present to request an extension of the payment period. It was moved by Alderman Gruenhagen, seconded by Alderman Carts, to accept the staff recommendation of accounts to have discontinued service at 12:00 noon on February 28, 1983. Motion approved unanimously. COUNCIL MINUTES FEBRUARY 22, 1983 (b) CONSIDERATION OF AGREEMENT WITH CHAMBER OF COMMERCE FOR USE OF CIVIC ARENA In the past the Chamber of Commerce has considered the Civic Arena a rain location for the annual Arts & Crafts Fair held in the fall. It was the recommendation of the Parks and Recreation Board to enter into an agreement with the Chamber of Commerce for the use of the Civic Arena for this purpose, at no charge, for the year 1983. After discussion, the motion was made by Alderman Mlinar to approve and en- ter into an agreement. Motion seconded by Alderman Gruenhagen and carried unanimously. (c) CONSIDERATION OF CHANGES IN OPERATION OF WEST RIVER PARK CAMPGROUND Parks and Recreation Director Ericson explained the changes in the opera- tion of the West River Park Campground. Following discussion, the motion was made by Alderman Gruenhagen, seconded by Alderman Mlinar, to approve the changes. Motion unanimously approved. (d) CONSIDERATION OF REQUEST FOR CONDITIONAL USE PERMIT SUBMITTED BY DUANE LARSON WITH FAVORABLE RECOMMENDATION OF PLANNING COMMISSION Mr. Duane Larson requested a conditional use permit to move in a 9' x 14' utility storage shed onto his property at 670 Southview Drive. After discussion, Alderman Carls moved to waive reading and adopt Resolu- tion No. 7340 entitled Resolution Granting Conditional Use Permit Under Section 6.07, C.5 of Zoning Ordinance No. 464 to Allow Moving In A Utility Storage Shed. Motion was seconded by Alderman Gruenhagen and unanimously carried. (e) CONSIDERATION OF REQUEST FOR CONDITIONAL USE PERMIT SUBMITTED BY PURE CULTURE PRODUCTS WITH FAVORABLE RECOMMENDATION OF PLANNING COMMISSION It was reported that Pure Culture Products needed a conditional use permit to install a bulk liquid oxygen system in an IC -1 zone. Following discussion, it was moved by Alderman Gruenhagen, seconded by Ald- erman Mlinar, to waive reading and adopt Resolution No. 7341 entitled Reso- lution Granting Conditional Use Permit Under Section 6.07, C.5 of Zoning Ordinance No. 464 to Allow Installation of Bulk Liquid Oxygen System In IC -1 Zone. Motion carried unanimously. (f) CONSIDERATION OF FINAL PLAT FOR V.& H.JORGENSON WITH FAVORABLE RECOMMENDATION OF PLANNING COMMISSION -7- COUNCIL MINUTES FEBRUARY 22, 1983 The Jorgenson Subdivision lies within the two-mile radius of the City, and the agricultural zoning was retained as requested by the Planning Commis- sion. After discussion, Alderman Carls made the motion to approve the final plat for the Jorgenson Subdivision. The motion was seconded by Alderman Gruen- hagen and unanimously carried. (g) CONSIDERATION OF APPLICATION FOR CIGARETTE LICENSE FOR 1983 BY ELKS LODGE NO. 2427 Following discussion, the motion was made by Alderman Carls, seconded by Alderman Mlinar, to approve the application and issue a ciagarette license. Motion unanimously approved. (h) ITEM WITHDRAWN (i) DISCUSSION OF SALE OF OLD FIRE STATION (REQUESTED BY ALDERMAN KENNETH GRUENHAGEN) Discussion of this item was included with agenda item 8-e. (j) DISCUSSION OF SALE OF PARK SUBDIVISION (LOTS 15 & 17) (REQUESTED BY ALDERMAN KENNETH GRUENHAGEN) Discussion of this item was included with agenda item 8-e. (k) CONSIDERATION OF DEMOLITION DEPOSIT OF MELVIN KLOCKMAN Building Official Pittman reported on the demolition permit issued to Mel- vin Klockman in July 1982, with a $1,000.00 deposit. Several time exten- sions have been issued since that date, with the latest one in January 1983. To date the lot still has not been cleaned up. Therefore, it was Mr. Pitt - man's recommendation not to return the deposit. Following discussion, Alderman Cruenhagen moved that the City Attorney be instructed to give legal notice that the property be cleaned up within seven days or that portion of the deposit be forfeited for City crew to clean the property. Motion seconded by Alderman Mlinar and carried unanimously. (1) CONSIDERATION OF RECONVEYANCE OF EXCESS RIGHT-OF-WAY ADJACENT TO CITY PROPERTY (BLOCK 14, NORTH HALF CITY) City Engineer Priebe explained the background for the reconveyance of ex- cess right-of-way adjacent to the proposed liquor store site on Highway 7 and the water plant site. The Department of Transportation has informed the City the cost would be $5,725.00, which could be pro -rated equally to the liquor store fund and water/sewer fund. COUNCIL MINUTES FEBRUARY 22, 1983 After discussion, the motion was made by Alderman Mlinar to defer this item to the March 8, 1983 meeting, with the City Attorney and City En- gineer to research the entrance to the property and the description for reconveyance. The motion was seconded by Alderman Gruenhagen and unani- mously approved. (m) CONSIDERATION OF IMPLEMENTING THE VOLUNTARY PAYROLL DEDUCTION AND PROGRAM OF MINNESOTA BENEFIT ASSOCIATION (RECOMMENDED BY RUFUS ALEXANDER, PHIL GRAVES, MAVIS GEIER, AND GARY PLOTZ) (BRIEF PRESENTATION BY DICK PIEHL) Mr. Dick Piehl presented the Minnesota Benefit Association plan to the Coun- cil and explained it is a volunteer program which can be paid through pay- roll deduction. Following discussion, it was moved by Alderman Mlinar, seconded by Alder- man Gruenhagen, to consider implementing the volunteer payroll deduction of MBA. Motion unanimously carried. (n) CONSIDERATION OF DEDICATING PRINCIPAL AND INTEREST EARNED ON SALE OF OLD ARMORY TO CONSTRUCTION OF A NEW ACTIVITIES FACILITY (REQUESTED BY ALDERMAN MIKE CARLS) City Administrator Plotz reported the money from the sale of the Old Armory had been invested, and in a separate account at this time. After discussion, Alderman Gruenhagen made the motion that the fund be left in a separate account and not be removed from that account without City Council action. Motion seconded by Alderman Mlinar. The motion was amended by Alderman Gruenhagen that the fund be left in a separate invest- ment account at the City Accountant's option to enjoy the best rate of in- terest possible but not be removed or spent without City Council action. Motion seconded by Alderman Mlinar and carried unanimously. (o) CONSIDERATION OF DECORATIVE LIGHTING OF ONE TREE IN LIBRARY SQUARE PARK The Downtown Retail Association requested approval to light one tree adja- cent to the sidewalk in about the center of Library Square Park. The cost of the lights would be purchased by the Association, with the cost of oper- ating the lights included with the street lighting. The lighted tree would not only draw attention to the Park but also light up a dark area. Following discussion, the motion was made by Alderman Carls to defer ac- tion to the March 8, 1983 meeting. Motion seconded by Alderman Gruenhagen and unanimously approved. 10. MISCELLANEOUS (a) COMMUNICATIONS FROM CITY ADMINISTRATOR I&M COUNCIL MINUTES FEBRUARY 22, 1983 City Administrator Plotz addressed the water and sewer account for Robert McGee and his business of Arctic Refrigeration,which had been referred to under item 9-a. He reported this subject had been discussed before, and it involved Mr. McGee's house and garage, which had one water charge and two refuse charges. Last year the refuse charges for the place of busi- ness were certified to taxes since they were not paid. Mr. Plotz stated that complaints concerning refuse charges can be brought before the Board of Appeals when they meet annually. Mr. Plotz commented he had been contacted today by Bernard Stolpman with a request to discontinue water service in the building to which Mr. Stolpman holds the contract for deed. The account is not delinquent at this time; however, Mr. Stolpman wanted the water turned off on Friday, with a three day notice to the occupants. Attorney Schaefer stated that Mr. Stolpman was in the process of taking steps to cancel the contract for deed on the property. However, he would be hesitant to turn the water off at this time unless Mr. Stolpman had own- ership. The City Attorney will pursue this matter with Mr. Stolpman and report back to the Council at the next meeting. The City Council was informed that the City Accountant had reported the projected shortfall in the City's general fund was not as large as expected. The revenues are short approximately $8,800.00. A final report will be available soon. (b) COMMUNICATIONS FROM CITY ENGINEER City Engineer Priebe remarked that the consultant had contacted him regard- ing the work at the water plant. It was discovered that the insulation in the roof had deteriorated and may have to be replaced. A change order will be processed when the cost has been determined. Mr. Priebe stated the roof was due to be done in the near future. (c) COMMUNICATIONS FROM CITY ATTORNEY City Attorney Schaefer reported the final closing on the Bretzke property took place today, and the City now owns it. Mr. Schaefer requested permission to initiate the procedures necessary to defer payment on the special assessments on the parking program that have been appealed. The motion was made by Alderman Mlinar to grant permission for the City At- torney to draft the documents to defer payment of the special assessments certified to those property owners who are currently appealing to the Dis- trict Court. Motion seconded by Alderman Gruenhagen and carried unanimously. -10- COUNCIL MINUTES FEBRUARY 22, 1983 (d) COMMUNICATIONS FROM ALDERMAN JOHN MLINAR Alderman Mlinar inquired about the status of the Masonic Temple property. He was informed that the membership would have to hold another vote on the same question as when they submitted the option to the City inasmuch as it had expired. The City will hear from the Masonic Temple's attorney subsequent to the memberships' action on the matter. Reference was made to the City Charter, Chapter 3, Section 3.03 concern- ing the rules and order of business for the City Council. City Attorney Schaefer then stated that the Council had the right to determine its own rules and regulations, its proper order of business, to determine whether something is pertinent and an order of business. Alderman Mlinar requested that the concerns regarding the Council "guide- lines" and other matters be submitted in writing so they can be dealt with at a future meeting. 11. CLAIMS, APPROPRIATIONS AND CONTRACT PAYMENTS (a) VERIFIED CLAIMS Alderman Gruenhagen moved to approve the claims and authorize payment from the appropriate funds. Motion seconded by Alderman Mlinar and carried, with the Mayor abstaining from voting. 12. ADJOURNMENT There being no further business, the meeting adjourned at 10:45 P.M. upon motion by Alderman Carls, seconded by Alderman Mlinar and carried unanimously. -11-