09-25-2018 CCM
HUTCHINSON CITY COUNCIL
MEETING MINUTES
TUESDAY, SEPTEMBER 25, 2018
CITY CENTER – COUNCIL CHAMBERS
(The City Council is provided background information for agenda items in advance by city staff, committees and boards. Many
decisions regarding agenda items are based upon this information as well as: City policy and practices, input from constituents,
and other questions or information that has not yet been presented or discussed regarding an agenda item.)
1. CALL MEETING TO ORDER – 5:30 P.M.
Mayor Gary Forcier called the meeting to order. Members present were John Lofdahl, Steve Cook, Chad
Czmowski and Mary Christensen. Others present were Matt Jaunich, City Administrator, Marc Sebora,
City Attorney and Kent Exner, City Engineer
(a) Approve the Council agenda and any agenda additions and/or corrections
Motion by Christensen, second by Cook, to approve agenda as presented. Motion carried
unanimously.
2. INVOCATION – Vineyard United Methodist Church
(The invocation is a voluntary expression of the private citizen, to and for the City Council, and is not intended to affiliate the
City Council with, or express the City Council’s preference for, any religious/spiritual organization. The views or beliefs
expressed by the invocation speaker have not been previously reviewed or approved by the Council or staff)
3. PLEDGE OF ALLEGIANCE
4. RECOGNITION OF GIFTS, DONATIONS AND COMMUNITY SERVICE TO THE CITY
Council Member Christensen thanked all those who took part of the cemetery tour held this past
Sunday.
(a) Resolution No. 14948 – Resolution Accepting Donation from Hutch Health Hospital Auxiliary
($1000 to Hutchinson Fire Department)
Motion by Cook, second by Lofdahl, to approve Resolution No. 14948. Motion carried
unanimously.
PUBLIC COMMENTS
(This is an opportunity for members of the public to address the City Council. If the topic you would like to discuss is on the agenda,
please ask the Mayor if he will be accepting public comments during the agenda item if not a public hearing. If you have a question,
concern or comment, please ask to be recognized by the mayor – state your name and address for the record. Please keep
comments under 5 minutes. Individuals wishing to speak for more than five minutes should ask to be included on the agenda in
advance of the meeting. All comments are appreciated, but please refrain from personal or derogatory attacks on individuals)
5. CITIZENS ADDRESSING THE CITY COUNCIL
6. APPROVAL OF MINUTES
(a) Regular Meeting of September 11, 2018
(b) Special Workshop of September 11, 2018
Motion by Czmowski, second by Christensen, to approve minutes as presented. Motion carried
unanimously.
CONSENT AGENDA
(The items listed for consideration will be enacted by one motion unless the Mayor, a member of the City Council or
a city staff member requests an item to be removed. Traditionally items are not discussed.)
7. APPROVAL OF CONSENT AGENDA
(a) Consideration for Approval of Lease Agreement with RD Machine for Hutchinson Enterprise
Center
CITY COUNCIL MINUTES – SEPTEMBER 25, 2018
(b) Consideration for Approval of Out of State Travel for Police Chief Dan Hatten to Attend the
International Chiefs of Police Association Training Conference in Orlando, Florida, from October
5 – 10, 2018
(c) Consideration for Approval of Resolution No. 14952 – Resolution Adopting Findings of Fact and
Reasons for Approval of Conditional Use Permit and Site Plan for a Drug Store in a C-4 Zoning
District Located at 1460 Montreal Street SE with Favorable Planning Commission
Recommendation
(d) Consideration for Approval of Issuing Short-Term Gambling License to ISD 423 Foundation
(e) Consideration for Approval of Improvement Project Change Orders and Supplemental
Agreements
1. Change Order No. 1 – Letting No. 4, Project No. 18-04 (2018 Pavement Management
Program)
2. Change Order No. 1 – Letting No. 10, Project No. 18-10 (Trail & Parking Improvements)
3. Change Order No. 1 – Letting No. 13, Project No. 18-13 (2018 Lift Station Improvements)
(f) Claims, Appropriations and Contract Payments
Motion by Lofdahl, second by Cook, to approve Consent Agenda. Motion carried unanimously.
PUBLIC HEARINGS – 6:00 P.M. - NONE
COMMUNICATIONS, REQUESTS AND PETITIONS
(The purpose of this portion of the agenda is to provide the Council with information necessary to craft wise policy.
Includes items like monthly or annual reports and communications from other entities.)
UNFINISHED BUSINESS
NEW BUSINESS
8. APPROVE/DENY AMENDING BOBBING BOBBER BREWING COMPANY’S TAPROOM
LICENSE TO INCLUDE LIQUOR CONSUMPTION IN OUTSIDE SEATING AREA
Matt Jaunich, City Administrator, explained that Bobbing Bobber Brewing Company has requested
to amend their taproom license to allow for consumption of alcohol at picnic tables outside of their
establishment.
Motion by Czmowski, second by Lofdahl, to approve amending taproom license for Bobbing
Bobber Brewing Company to include outside seating area. Council Member Cook noted that there
is no identified designated area outside with delineation and asked if that should be physically
marked in the area. Mayor Forcier and Council Member Czmowski noted that they were
comfortable with the request and didn’t feel that anything needed to be physically marked. Matt
Jaunich noted that Bobbing Bobber Brewing Company will need to renew their license annually so
if there are issues that would be a good time to address them. Motion carried unanimously.
9. APPROVE/DENY AGREEMENT FOR ENVIRONMENTAL PERMITTING LEGAL SERVICES
Kent Exner, City Engineer, explained that in late June the City received notification from the MPCA
regarding new proposed wastewater effluent limits that would be included in the reissuance of the
City’s NPDES wastewater discharge permit. The permit included limits for some parameters that
were previously “monitor only” and did not have numeric limits. The monthly average Phosphorus
limit being proposed was also much lower than the current limit. City staff has
2
CITY COUNCIL MINUTES – SEPTEMBER 25, 2018
remained engaged with MPCA permitting staff to collect and review any pertinent information that
affects the development of these limits. The City is a MESERB member which includes permit
review services by Flaherty & Hood that is a high level analysis of the proposed permit limits and
includes limited support in responding the MPCA’s initial Permit Development letter. The MESERB
review service does not include a full comprehensive delve into the data used to develop 7Q10 flow.
Staff believes it would be very beneficial to utilize the environmental permitting legal services of
Flaherty & Hood for a not-to-exceed amount of $5000. This is the first step in what will be a
lengthy permitting process. Additional technical support and further evaluation of the nutrient
removal potential of the wastewater plant will be needed to fully understand the options available to
meet the final limits that have yet to be established.
Motion by Cook, second by Lofdahl, to approve agreement for environmental permitting legal
services. Motion carried unanimously.
10. APPROVE/DENY PROFESSIONAL SERVICES AGREEMENT WITH WSB & ASSOCIATES,
INC. FOR LAKES AND RIVER BASIN PRELIMINARY ENGINEERING STUDY
Kent Exner, City Engineer, noted that over the last two years staff has been working to analyze and
assess the existing conditions of Hutchinson’s public waters. These efforts included surveying the
entire water body above the dam to where the river discharges to the lake west of the city. Data
collected included depths, extent of vegetation growth and types, depth of sediment and its
chemistry and a historical review of information related to the water bodies.
John Paulson, Environmental Manager, presented before the Council. Mr. Paulson explained that
the information collected has indicated that the public waters in Hutchinson could be improved for
both recreational and environmental uses. The next step in project development is to conduct
preliminary engineering that will involve a comprehensive evaluation of existing conditions, develop
project goals and objectives and to prepare a preliminary concept plan and cost estimates. Upon
completion of the study there will be a need to determine if further project development is desired.
The next steps beyond this study effort would be to pursue funding opportunities and begin
development of environmental assessment and/or impact statements.
WSB is a leader in the development and delivery of these types of projects in recent years. The most
recent project of note has been the Mill Pond Restoration in the City of Champlin. The proposed
agreement with WSB is not-to-exceed $31,200.
Motion by Cook, second by Czmowski, to approve professional services agreement with WSB &
Associates, Inc. for lakes and river basin preliminary engineering study. Motion carried
unanimously.
11. APPROVE/DENY ORDINANCE NO. 18-790 – AN ORDINANCE AMENDING SECTION
154.004 AND SECTION 154.064(C) OF CITY CODE ALLOWING DOG DAYCARE
BOARDING FACILITIES BY CONDITIONAL USE PERMIT IN THE C-4 (FRINGE
COMMERCIAL DISTRICT) AND AMENDING THE DEFINITION OF DOG DAYCARE TO
SECTION 154.004 WITH FAVORABLE PLANNING COMMISSION RECOMMENDATION
(WAIVE FIRST READING, SET SECOND READING AND ADOPTION FOR OCTOBER 9,
2018)
Dan Jochum, Planning Director, presented before the Council. Mr. Jochum explained that Dana’s
Dog Spa is requesting an amendment to the zoning ordinance to allow dog daycare boarding
facilities by conditional use permit in the C-4 district. Mr. Jochum noted that there has been a
demand within the last five years for dog boarding facilities that are much smaller in scale than a
commercial kennel. The requester has been running a successful dog spa/grooming facility in
Hutchinson for many years. The daycare/boarding concept is something that the requester has been
seeing increased demand for over the past few years.
3
CITY COUNCIL MINUTES – SEPTEMBER 25, 2018
The proposed ordinance amendment would allow up to 12 dogs on site at any given time for the
purposes of the daycare/boarding portion of the business. The amendment requires indoor kennel
runs and does not allow outdoor kennel runs. A fenced outdoor exercise area would be required and
any dogs outside need to be under the supervision of a staff person. In addition, dogs would not be
allowed outside between 9:00 pm and 8:00 am unless there is an emergency for a sick dog or
something similar. Mr. Jochum explained that staff feels dog daycare boarding facilities are very
similar to the scope and size to what a veterinarian might have in a vet clinic located in a C-4
District. Staff feels this is a reasonable request and proposes the following ordinance amendment.
The planning commission requested the hours be changed to no dogs outside between 10:00 pm and
7:00 am.
Motion by Czmowski, second by Christensen, to waive first reading and set second reading and
adoption of Ordinance No. 18-790 for October 9, 2018. Motion carried unanimously.
12. APPROVE/DENY ORDINANCE NO. 18-791 – AN ORDINANCE EXTENDING THE
CORPORATE LIMITS OF THE CITY OF HUTCHINSON TO INCLUDE CERTAIN LAND
OWNED BY HUTCHINSON TECHNOLOGY INC AND UPONOR LOCATED IN
HUTCHINSON TOWNSHIP, SECTION 32 WITH FAVORABLE PLANNING COMMISSION
RECOMMENDATION (WAIVE FIRST READING, SET SECOND READING AND
ADOPTION FOR OCTOBER 9, 2018)
Dan Jochum, Planning Director, presented before the Council. Mr. Jochum explained that the
property owners are requesting annexation of property for the purpose of a possible future public
street in this location. The access road off Hwy 7 has historically been one of the primary access
points to Hutchinson Technology Inc. Now that Uponor is in a former HTI property the volume of
vehicles to both HTI and Uponor has increased. Annexing the land into city limits is the first stop
required to turn the access road into a city street. A second separate process is required for the
property owners and the City to move forward with the public street concept. Mr. Jochum noted
that no tax payments are required to be paid to the township as the county does not have a value
placed on this parcel.
Motion by Lofdahl, second by Christensen, to waive first reading and set second reading and
adoption of Ordinance No. 18-791 for October 9, 2018. Motion carried unanimously.
13. APPROVE/DENY RESOLUTION NO. 14949 – RESOLUTION SETTING HUTCHINSON
HOUSING & REDEVELOPMENT AUTHORITY 2019 PRELIMINARY TAX LEVY
Andy Reid, Finance Director, presented before the Council. Mr. Reid explained that this preliminary levy must
be set by September 30, 2018, in accordance with state law. The HRA board is requesting a 2019 tax levy in
the amount of $186,023 which is an 8.6% increase over the 2018 levy. This tax levy will fund the 2019
operations of the HRA. The HRA’s 2018 tax levy requested was $1289 below the statutory limit. The HRA’s
statutory levy limit is based on .0185% of the City’s 2018 Estimated Market Value of $1,005,529,700.
Council Member Cook noted that under Other Expenses the Project fund has an asterisk next to it and shows
an increase from last year. Council Member Cook inquired what the significance of the asterisk was. Mr. Reid
noted he will find out the information from the HRA’s Executive Director.
Motion by Cook, second by Czmowski, to approve Resolution No. 14949, setting Hutchinson Housing &
Redevelopment Authority 2019 Preliminary Tax Levy in the amount of $186,023. Motion carried
unanimously.
14. APPROVE/DENY RESOLUTION NO. 14950 – RESOLUTION SETTING HUTCHINSON
ECONOMIC DEVELOPMENT AUTHORITY 2019 PRELIMINARY TAX LEVY
4
CITY COUNCIL MINUTES – SEPTEMBER 25, 2018
Andy Reid, Finance Director, presented before the Council. Mr. Reid explained that this preliminary levy also
must be set by September 30, 2018, in accordance with state law. The EDA board is requesting a 2019 tax
levy in the amount of $182,303 which is a 7.7% increase over the 2018 levy. This tax levy will fund the 2019
operations of the EDA. The amount being requested is the statutory limit allowed by law. The EDA’s
statutory levy limit is based on .01813% of the City’s 2018 Estimated Market Value of $1,005,529,700.
Motion by Czmowski, second by Christensen, to approve Resolution No. 14950, setting Hutchinson
Economic Development Authority 2019 Preliminary Tax Levy in the amount of $182,303. Motion
carried unanimously.
15. APPROVE/DENY RESOLUTION NO. 14951 – RESOLUTION APPROVING THE GENERAL
FUND AND DEBT SERVICE FUND PRELIMINARY 2019 TAX LEVIES
Andy Reid, Finance Director, presented before the Council. Mr. Reid explained that the City must certify
a preliminary 2019 tax levy to McLeod County by September 30, 2018, for the general fund and debt
service funds. The final tax levy will be set in December. Mr. Reid reminded the Council that at the
workshop held on September 11, 20187, the total tax levy was projected to increase 3.1% consisting of a
4.5% general fund levy increase and no increase to the debt levy. The general fund budget is currently
balanced with the 4.5% levy increase. Since the workshop, staff has received the estimated 2019 tax
capacity from the county, totaling $10,893,013. This represents an 8.9% increase over 2018 and the
workshop presentation included a conservative 3% increase. The 8.9% increase is very positive as the
City is starting to see new value added to its tax base. Mr. Reid provided a revised analysis of the tax
impact on the median home value. A 3.1% total tax levy increase results in a 3.8% reduction to the tax
rate. Staff also adjusted the median home value up to $160,000 was discussed at the workshop. The
increased tax capacity essentially offsets the increased home valuation. The median home could see a $26
increase in City taxes with a 3.1% levy increase.
The preliminary budget includes a 2% shift in the pay grid, a 5% increase in workers compensation rates
and no increase in the health premiums. There will be minor increases to dental, life and long term
disability rates for the final budget. Impact from the open enrollment for health and dental coverage will
also be known for the final budget.
The debt levy remains flat since the City is at the current target levy of $2,200,000 per the debt
management plan. The revised debt plan calls for a $400,000 per year increase in funding for street
improvements, starting in 2016, but the debt tax levy will remain at $2.2 million until 2023, at which point
moderate increases will be needed to reach the new target debt levy of $2.6 million in 2032.
Motion by Lofdahl, second by Cook, to approve Resolution No. 14951, setting City of Hutchinson total
tax levy in the amount of $7,332,849. Motion carried unanimously.
16. APPROVE/DENY SETTING TRUTH-IN-TAXATION HEARING FOR DECEMBER 4, 2018, AT
6:00 P.M.
Motion by Christensen, second by Lofdahl, to set truth-in-taxation hearing for December 4, 2018, at
6:00 p.m. Motion carried unanimously.
17. APPROVE/DENY SETTING HEARING BEFORE THE COUNCIL REQUESTED BY PETER
NEUBAUER TO CHALLENGE DENIAL OF FOOD VENDOR LICENSE
Matt Jaunich, City Administrator, reminded the Council that at the last City Council meeting Peter
Neubauer’s food vendor license was denied. Per City Code, the applicant has a right to a hearing
before the Council to challenge the denial.
Motion by Czmowski, second by Lofdahl, to set hearing for October 23, 2018, at 4:00 p.m. before
the Council as requested by Peter Neubauer to challenge denial of food vendor license. Motion
carried unanimously.
GOVERNANCE
5
CITY COUNCIL MINUTES – SEPTEMBER 25, 2018
(The purpose of this portion of the agenda is to deal with organizational development issues, including policies,
performances, and other matters that manage the logistics of the organization. May include monitoring reports,
policy development and governance process items.)
18. MINUTES/REPORTS FROM COMMITTEES, BOARDS OR COMMISSIONS
(a) Tall Grass/Noxious Weed Monthly Report for August 2018
(b) Hutchinson Housing & Redevelopment Authority Board Minutes from August 21, 2018
(c) City of Hutchinson Financial Report and Investment Report for August 2018
(d) Planning Commission Minutes from August 21, 2018
MISCELLANEOUS
19. STAFF UPDATES
nd
Kent Exner – Mr. Exner provided some project updates: 2 Avenue Bridge is still pushing ahead –
inclement weather has delayed the project a bit with the bridge opening anticipated for October 5, 2018;
Century Avenue Phase 3 is in process; Pavement Management Program is delayed due to the weather
and the soils are very wet; South Central Drainage Area Phase 1 – public open house/neighborhood
meeting next Wednesday at the City Center – Mr. Exner noted that the ponding in this area will most
th
likely be similar to the pond at Northwoods Park; Leaf vacuuming starts October 9
Matt Jaunich – hard good pick up this Saturday; Creekside open house this Thursday from 4:00-7:00
pm
20. COUNCIL/MAYOR UPDATE
Steve Cook – Council Member Cook noted that he has been contacted regarding South Grade Road
bridge on the south side where people can walk down to go fishing. He asked if more gravel could
be laid down at the base where people stand/sit to fish.
Chad Czmowski – Council Member Czmowski noted that the second meeting in December is
scheduled for December 25, 2018, Christmas Day, and he suggested that discussions begin about
canceling it or rescheduling. Matt Jaunich noted that topic will be on a Council agenda in October.
Council Member Czmowski also noted for those that wish to take the survey regarding the City’s
park system, there is still a little bit of time.
Mary Christensen – Council Member Christensen reminded residents that this Saturday is the hard
goods pick up; she also noted that she, the mayor and Matt Jaunich will be attending a LMC regional
meeting next week; Christensen also asked if the trees/limbs are going to be cleaned up before the
snow flies and the freeze occurs. Kent Exner noted that the flow is high at this time and clean up
could occur naturally. Exner explained that this area is mother nature’s spillway and he asked of the
Council how proactive they would like staff to be on cleaning up this area. Exner noted that of
course if there is garbage or debris, that would be cleaned up, but his feeling is this area is mother
nature’s area of trees and branches. The Council felt that if the area gets heavily filled with trees and
limbs then staff should thin the area out. Exner proposed that we see what the winter/spring brings
for the area being cleaned up naturally, and if the area seems to be too thick come next summer, staff
will take care of thinning the area out.
th
John Lofdahl – Council Member Lofdahl noted that the property at 141 5 Avenue NE has been
removed. Lofdahl also noted that emerald ash borer is in Wright County and he feels that the City
might want to spend more money on that front since it is getting closer to Hutchinson.
Gary Forcier – Mayor Forcier noted that Dave Skaar’s term is up on the Airport Commission and he
is eligible for reappointment. If there are no objections, Mayor Forcier intends to reappoint him at
the next meeting.
6
CITY COUNCIL MINUTES – SEPTEMBER 25, 2018
ADJOURNMENT
Motion by Czmowski, second by Lofdahl, to adjourn at 6:55 p.m. Motion carried unanimously.
ATTEST:
________________________________ __________________________________
Gary T. Forcier Matthew Jaunich
Mayor City Administrator
7